The city of Ostend has to look for 92 million euros: “no tax increase for citizens and second residents, but indexations”

Limit own expenses: reduction of workforce

The city council first looked at itself and how it could limit its own expenditure. How can work be done more efficiently? Which processes can be simplified and digitized? Can tax money be used more efficiently? By doing this efficiency exercise together with the city staff, a reduction of the workforce of 3.5% is foreseen by 2025.

The satellites such as Tourism vzw, Economisch Huis and De Grote Post are doing the same exercise and thus contribute to the hard-won balance. The various autonomous municipal companies AGSO, Energiehuis, Renov’O and Mobil’O are merging into one AG Ostend. This means leaner operation and a more efficient cost structure.

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Swimming pool closed for several days and no more reception for weddings

Other own publications were also examined. In consultation with the various managements and services, operating costs were scrapped where possible. The opening hours in the Brigitte Becue Swimming Pool will be adjusted, which means savings on personnel and energy costs. For example, the swimming pool will only open on Tuesdays and Thursdays at 6.30 am and the recreational pool will close on Mondays, Tuesdays and Thursdays. The City of Ostend will no longer organize receptions after a wedding. In any case, Ostend was one of the only central cities to do so. From now on, married couples are referred to the local catering industry.

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Save energy

Ostend has been working hard for several years to limit its own energy consumption through the Energy Management Plan, which makes city buildings more energy-efficient with solar panels, connection to the heat network, better adjustment of heating systems, adjusting lighting, and so on.

Given the exponential increase in energy costs, it was nevertheless necessary to take additional measures. The street lighting, which is now being further ‘LED’, will be switched off between 11 p.m. and 5 a.m., but not in the city center and on regional roads. The Christmas lighting will be retained, which is already fully LED, but will of course be extinguished along with the public lighting. All fountains are turned off except those necessary to oxygenate fish. The temperature in all offices has been lowered by one degree and in the urban workhouses by two degrees. The Winter in the Park ice rink will be smaller, covered and cooled more energy-efficiently.

The Energy House and the Economic House are joining forces for actions for traders and companies: campaign with window stickers where the doors remain closed, free energy scans, information and network session on energy saving and investments. Private individuals can of course always turn to the Energiehuis and the social services for support.

No tax increase for Ostend citizens and second residences, but indexations

From the start of the discussions, the basic principle was that there will be no tax increase for the inhabitants of Ostend and second residents. The basic rates of taxes for residents will not be affected. The rates of personal income tax and property tax remain the same. The income from this property tax is estimated to be higher due to an adjustment of the estimate by the Flemish administration (due to inflation) and thanks to the many building projects in the city, which largely help to absorb the crisis.

The charges on vacancy, dilapidation and uninhabitability will be increased. The city of Ostend continues to fight neglect, dilapidation, slum landlords and vacancy. The higher tax rates will also contribute to a better streetscape, which will increase the feeling of safety. More budget is also being allocated for vacancy and neglect of industrial space.

Various rates that have remained the same for a long time are now indexed, such as the second residence tax. Ostend is a tourist center city, it cannot be the intention to have all services – safety, mobility, waste collection … – carried only by the inhabitants domiciled in Ostend. It is only natural that when all costs rise, second home residents and tourists also make a contribution. For example, tourists are asked to make an extra contribution, the city tax will rise to 5 euros per room per night in consultation with the accommodation sector. Those revenues also flow directly back into tourism investments.

Parking fee from 25 to 40 euros

A number of rates will be increased as the cost price for the City will also rise, such as the prices of luxury products in the meeting centres. The rates of the playground activities and Sport aan Zee will also be adjusted accordingly. The parking fee for those who do not pay correctly will be increased from 25 to 40 euros. By penalizing minor speeding offenses within built-up areas through Municipal Administrative Sanctions (according to the modalities provided for by the Flemish government), additional income is provided.

The policy on events is being reformed: the City is striving for a less and, above all, a better spread of events so that they have less impact on the public domain and on the deployment of city and security services. For example, large events will now be responsible for waste collection themselves. Our own events, both of the City and through Tourism, are also closely monitored.

Maintaining investments

The city of Ostend continues to invest, the administrative agreement is being implemented as well as possible. Poverty reduction, road safety, construction of new cycle paths, investments in (historical) buildings, etc. remain priorities. Only a limited number of investments are being shifted in view of the rising costs and the delay caused by successive crises. The reconstruction of Alfons Pieterslaan will be postponed to 2026. The same applies, for example, to the renovation of Huize Louise Marie and some smaller investments in other city buildings.

No savings are made on safety. The budget for the police and fire brigade is being increased considerably in view of the increased wage costs. The police force is still being expanded and the extra resources that were foreseen for this remain in place, but the ambition is being adjusted from 35 extra troops to 23 due to inflation, also given the fact that recruitment is slower than before.

In order to achieve a balanced budget, no new bank loans are taken out, there is only a limited increase in the debt due to some transfer loans and financial lease debt.