Hoogeveen has 12.1 million euros left: ‘Not as good as it seems’

The municipality of Hoogeveen closed the year 2021 with a plus of 12.1 million euros on the annual accounts. Although that does not give a realistic picture, according to the college of mayor and aldermen.

“It is nice that we have money left over, but it is not as good as it seems,” explains Derk Reneman, alderman for finance. “Society has stood still for a long time during the corona time. That means that we have so much money left over. Money that we may have to spend later.”

According to the alderman, incidental windfalls contributed to the positive result. The contribution that Hoogeveen received from the municipal fund payment was higher than usual. This also applies to the contribution to the educational disadvantage policy. The amount that the municipality puts into the cooperation organization with De Wolden each year turned out to be lower.

“It is a confluence of a lot of money that comes to the municipality from the government,” Reneman continues. “Now, as municipalities in the Netherlands, we are dealing with a Ukraine crisis. The consequences of this will also be reflected in the annual accounts for 2022.”

The money will be placed in the general reserve by the municipality. This increases the municipal piggy bank to an amount of 22.6 million euros. That is higher than the college had previously expected. “But we are not there yet”, can be read in the annual reports. “The benefits are incidental and do not contribute to a realistic, structurally balanced budget for the future.” The municipality hopes to continue working on this in the coming years.

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