Yorkton Council had a look at the City鈥檚 preliminary year-end for 2020 at its regular meeting Monday.
And it was overall, good news, said Ashley Stradeski, Director of Finance with the City,
Stradeski began his report by noting 鈥�2020 is the strangest year we鈥檝e ever encountered鈥� and while initially he said he was 鈥渜uite concerned鈥� regarding the potential impact the COVID-19 pandemic might have on City finances, the City did well.
鈥淩ecreational facilities obviously took a huge hit,鈥� he said, but many operations continued close to normal. 鈥淲e didn鈥檛 pave any less roads. Grass still needed to be cut ... Snow fell when it fell (and needed to be cleared).
As for the numbers, Stradeski said, audit work on the 2020 year end is still progressing, with our auditors working both on premises and remotely.
The City is hoping to have its audited Financial Statements for Council鈥檚 review within the next few Council meetings.
That said the preliminary estimate of our 2020 year-end departmental surplus / deficitswas presented.
Overall the net surplus to budget was $799,719, but that was in-large part to the timing of a 2019 Gas Tax grant of $465,477, said Stradeski.
The truer operating budget surplus was $325,281.
As in previous years, it was recommended to transfer 50 per cent of any departmental surpluses to reserves depending upon which departments had net savings, said Stradeski.
After those transfers to reserves it left $88,281, to go into the City鈥檚 鈥楻ainy Day Reserve鈥� for unspecified use.
鈥淭his surplus would add to the existing 鈥淩ainy Day鈥� surplus of $716,000, for a total of $804,000 in the reserve. This does NOT include the $300,000 that Council has earmarked for the Brick Mill project out of the Rainy Day reserves, nor does it include the $974,000 COVID Safe Restart Funding,鈥� explained Stradeski鈥檚 report to Council.
鈥淭he entire COVID Safe Restart funding will be, separate from these operations, recorded into the Rainy Day reserve. The net result, factoring out the funds allocated to the Brick Mill and including the COVID Safe Restart amount is $1,478,000, some of which has been allocated to the 2021 budget.
When excluding COVID Safe Restart and funds previously allocated, the rainy day reserve fund will have $504,000 available.鈥�
Some highlights of the report included Deer Park having a $50,000 surplus to budget; this was due to increased green fee revenue as well as savings on salaries.
While it is a self-sufficient utility Environmental Services had a great year.
Revenues exceeded budget by nearly $1.2 million 鈥� this is in large part due to the revenue from the contaminated soil removed from the Public Works construction site. The remainder is general landfill earnings that were up by $400,000 due to increased compost and general usage.
Water sales revenues were higher than budget by $758,000, despite the budget being increased by 7.6 per cent from prior year. Water use was particularly higher in our industrial users, utilizing $500,000 more than estimated.
鈥淚t was one of the best years Deer Park has had,鈥� said Stradeski.
On the opposite side of the scale the water park and Gallagher Centre saw a combined deficit of $158,000, as virtually all operations at the Gallagher Centre were affected by closures due to COVID-19.
Revenues in the water park were down by 67 per cent and while costs were cut as much as possible, operating a water park is costly and this is compounded when it has a reduced capacity, resulting in a deficit to budget of $45,000, said Stradeski.
At the Gallagher Centre, aside from the Water Park, revenues were down by $435,000 due to closures and reduced capacity. Cost savings were seen across the board, with costs being cut to match the adjusted service levels, resulting in an overall deficit to budget of $113,000.
Council was unanimous in approving the allocation of reserves as presented by Administration.
