2013 Municipal Budget
Financial Plan Public Hearing
February 19, 2013
Overview
Council’s Priorities Quality of life Controlled growth Efficiency Sustainability Prudent financial management
Format
Revenue Operating Expenses Major Initiatives – Capital Budget Utility Reserves and Debt Summary Questions
Revenue - Assessment
Assessment largely residential 2 ½% residential growth in 2012
Reassessment each 2 years makes long-term comparisons impossible
2012 total assessment $71.420 million 2013 “ “ $72.878 “
Year-over-year growth 2.0% Growth = inflation
Revenue – Taxes
Average annual increase 1.5%
Revenue – Other Income
Varies depending on revenue from province, grants, etc.
Bump in 2013 due to expected growth
Revenue - Total
Expected Revenue in 2013: General Taxes $851,300 Local Improvement Taxes (Utility) 137,800 Other Revenue 323,900 Transfer from Reserves 218,100 Total $1,531,100*
*2012 Actual $1,655,000. The major difference is in transfer of McCaughan sub-division roads, valued at $190,000.
Operating Expenses
Overall Historical Expenses (less Utility) Increase related to
increased operating spending
Expenses exactly match revenue - $1,531,100
2008 – 2011 actual expenditures; 2012 estimated; 2013 budget
Operating Expenses – General Government Involves office costs
and expenses relating to whole of government, such as the cost of tax assessment
Non-capital spending Powersmart lighting
upgrade Repair foundation
Operating Expenses – Protective
Services Fire protection, emergency measures, 9-1-1 response
2011 spike due to flood, reimbursement in 2012 reducing numbers
No major changes
Operating Expenses – Transportation Public works: roads,
drainage work, gravel, dust control, snow, grass, street lighting
Share operator with Environmental Health
No real reduction change after applying provincial accounting rules to cash budget
Operating Expenses – Environment Nuisance grounds,
recycling, sewage lagoon
Share operator with Transportation
New pit, $10,000 Wastewater
Management Plan $5,000
Operating Expenses – Public Health and Welfare Fee paid to Province to
cover welfare costs
Operating Expenses – Economic Development Building
inspection, planning, zoning
2012 drop due to using temporary building inspector for much of year
Operating Expenses – Environmental Development Pest control, weed
control, drainage costs
Increases reflect increased work on drainage (non-flood related), and internal accounting move of drainage accounts
Operating Expenses – Recreation, Culture Grants to
organizations, parks and playgrounds
SFX CC Assessment, $6,000
SFX CC grant for washroom improvements, $8,000
Increased grants, $4,000
Operating Expenses - Debt
Debt includes general (e.g., fire trucks) and utility (e.g., water west)
Debt analyzed further on in presentation
No new or retired debt
2012 Surplus
Large surplus in 2012 before transfer to reserves – everything broke our way Taxes added $32,000 Fire Department highway calls $16,000 SFX Trailer Park use of lagoon $16,000 2011 census led to grant increase $8,000 Capital levies $56,000 Transfer of Stanley Cove roads $190,000 Expenditures generally under budget
Operating Expenses – Contribution to Reserves Reserves used to
pay for capital projects
Reserve contributions are treated as an operating expense
Reserves based on a 20-year capital plan
Capital Program - 1
IT Upgrades, office $ 1,300 Fire Department Turnout Gear 3,800 Fire Department Tanker Replace. 10,000 Fire Department Wildfire Truck 18,000 Road network, Landfill 21,000 Lagoon expansion License 5,000 Trailer, shed, Landfill 23,000 Fencing, Landfill 10,000
Capital Program - 2
Repair crawler/loader 25,000 Skateboard point
60,000 New furniture, Council
10,000 Sustainability – trail network
10,000 TOTAL CAPITAL
$197,100
Utility - 1
Charges unchanged since 2008
Surplus less each year as costs increase
Rate review to be finalized in 2013
2012: hot weather = high consumption
2012: assume assets, $315,000
Utility - 2
Utility Capital 1 x fire hydrants 17,000 Software upgrades 1,300 Radio frequency water meters 21,000 TOTAL $,39,300
Utility Reserves As at end 2011 $351,000 Sufficient for major emergencies
Clean water lines in 2013
Reserves Accumulation
Based on 20-year capital plan
Aim to cover most of major capital items with cash, not borrowing
Chart shows end-of-year balance
Spike due to major residential development
Debt
2008 Fire truck, $172,000 At large
2009 Water west, $243,000 Specific properties
Chart shows end of year balances expected 0
200000
400000
600000
800000
1000000
1200000
1400000
1600000
2008 2009 2010 2011 2012 2013 2014 2015 2016
Summary
No tax increase Costs rise each year and residential growth is
necessary to prevent tax increases in future Most capital dedicated to sustainability –
roads, environment, quality of life Debt load currently moderate, decreasing
quickly Utility in deficit soon without rate review
Questions?
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