The City of Yorkton managed to run a financial surplus in 2015.
That was the good news Yorkton Council heard at its regular meeting Monday.
Shannon Bell, Director of Finance told Council that 2015 revenues were $492,060 more than budgeted.
The majority of the surplus accumulated from three sources, explained Bell; $181,143 from tax growth, $123,562 in additional Crown surcharges from SaskPower and SaskEnergy, and $193,256 in interest.
Things are not quite as positive on the operations side of things, where only two departments ran surpluses.
Administration/Human Resources and Finance showed a surplus of $254,512, while Planning, Engineering, Building realized $260,636.
Overall the operating budget needed to draw $73,336 from the revenue surplus, explained Bell, leaving a net surplus to Budget of $418,697.
鈥淚n prior years, the City has transferred half of any department鈥檚 savings into a reserve for future capital expenditures. The only department that qualifies this year for a reserve transfer is Engineering & Asset Management and Planning, Building & Development. As these two departments have a net surplus and they have projects in 2016 that have surfaced, and have no budget for, I would recommend that Council designate $100,000 of the 2015 surplus to Engineering & Asset Management, $100,000 to Planning, Building & Development,鈥� said Bell.
Bell then recommended 鈥渢he remaining $219,000 be allocated to the rainy day fund.鈥�
鈥淭his $219,000 could potentially be accessed in 2016 depending on a couple large appeals that the City has at Saskatchewan Municipal Board. Currently the rainy day fund has a balance at $185,312 (before the $219,000 allocation from 2015),鈥� she added.
Council unanimously supported the recommendations.
Audited financial statements will be provided after the auditors have completed their review. The financial health and condition of the tangible capital assets will be discussed at that time.
