New IT crisis at municipality: problems with ground lease computer system, council insufficiently informed

The City of Amsterdam is dealing with an IT crisis involving its leasehold management software as both the outdated legacy system and the long-delayed replacement platform face critical technical issues. Alderman Alexander Scholtes has apologized to the city council for failing to report these risks promptly, despite internal concerns being raised months earlier.
The City of Amsterdam is facing a significant IT crisis regarding its municipal leasehold management systems. The project to implement a new software system, known as NISE, has been delayed for years and will not be operational by 2026. Simultaneously, the legacy system, Hermes, has lost essential technical support as of this month, creating critical stability risks for the city. While current leaseholders are not yet experiencing service disruptions, the city is struggling to maintain the outdated infrastructure. Alderman Alexander Scholtes has formally apologized to the municipal council for providing incomplete information, acknowledging that he was not informed of the severity of these issues until October, despite officials knowing about the risks since March.
To address the situation, the municipal council will now classify the leasehold IT transition as a high-risk project to ensure stricter oversight. The city is currently assessing the total financial impact and required investments, with further updates expected in early 2025. This incident follows previous technical failures within the city administration, raising concerns regarding transparency and project management.
Based on reporting by rss. Translated and condensed by LocalHeadlines.


