Consolidated Financial Statements of the
CORPORATION OF THE TOWNSHIP OF ST. CLAIR
December 31, 2023
TABLE OF CONTENTS
PAGE
Management’s Report 1
Independent Auditor’s Report 2-3
Consolidated Statement of Financial Position 4
Consolidated Statement of Operations and Accumulated Surplus 5
Consolidated Statement of Change in Net Financial Assets (Debt) 6
Consolidated Statement of Cash Flows 7
Notes to the Consolidated Financial Statements 8-23
Schedule 1 – Consolidated Schedule of Deferred Revenues 24
Schedule 2 – Consolidated Schedule of Tangible Capital Assets 25-26
Schedule 3 – Consolidated Schedule of Accumulated Surplus 27
Schedule 4 – Moore Museum Statement of Revenue and Expenditures 28
Schedule 5 – Sombra Museum Statement of Operations and Accumulated Surplus 29
Schedule 6 – Consolidated Schedule of Segment Disclosure – 2023 Operating Revenues 30
Schedule 7 – Consolidated Schedule of Segment Disclosure – 2023 Operating Expenses 31
Schedule 8 – Consolidated Schedule of Segment Disclosure – 2022 Operating Revenues 32
Schedule 9 – Consolidated Schedule of Segment Disclosure – 2022 Operating Expenses 33
MANAGEMENT’S REPORT
The management of the Corporation of the Township of St. Clair (“Township) is responsible for the integrity, objectivity and accuracy of the financial information in the accompanying consolidated financial statements.
The Consolidated financial statements have been prepared by management in accordance with Canadian Generally Accepted Accounting Principles established by the Public Sector Accounting Board of the Chartered Professional Accountants of Canada. A summary of the significant accounting policies is disclosed in Note I to the consolidated financial statements.
To meet its responsibility, management maintains comprehensive financial and internal control systems designed to ensure the proper authorization of transactions, the safeguarding of assets and the integrity of the financial data. The Township employs highly qualified professional staff and deploys an organizational structure that effectively segregates responsibilities, and appropriately delegates authority and accountability.
The Finance and Administration Committee, a sub-committee of Township Council (“Council”), reviews and approves the consolidated financial statements before they are submitted to Council.
The 2023 consolidated financial statements have been examined by Corporation of the Township of St. Clair’s external auditors, MNP LLP, and their report precedes the consolidated financial statements.
Mooretown, Canada July 15, 2024
George Lozon
Treasurer
1odey
Chief Administrative Officer
Page 1 of33
Independent Auditor’s Report
To the Members of Council, Inhabitants and Ratepayers of the Corporation of the Township of St. Clair:
Opinion
We have audited the financial statements of Township of St. Clair (the “Municipality”), which comprise the consolidated statement of financial position as at December 31, 2023, and the consolidated statements of operations, accumulated operating surplus, changes in net financial assets and cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Municipality as at December 31, 2023, and the results of its operations, its remeasurement gains and losses, changes in its net financial assets and its cash flows for the year then ended in accordance with Canadian public sector accounting standards.
Basis for Opinion
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Municipality in accordance with the ethical requirements that are relevant to our audit of the financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance with Canadian public sector accounting standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Municipality’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Municipality or to cease operations, or has no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Municipality’s financial reporting process.
MNP LLP
Suite 700, 255 Queens Avenue, London ON, N6A 5R8
T: 519.679.8550 F: 519.679.1812
MNP.ca
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Municipality’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Municipality’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Municipality to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Municipality to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
London, Ontario
July 15, 2024
Chartered Professional Accountants Licensed Public Accountants
255 Queens Ave, Suite 700, London, Ontario, N6A 5R8 T: 519.679.8550 F: 519.679.1812 MNP.ca
CORPORATION OF THE TOWNSHIP OF ST. CLAIR
Consolidated Statement of Financial Position
As at December 31, 2023
2023 2022
$ $
FINANCIAL ASSETS
Cash $ 18,273,442 $ 13,688,552
Taxes receivable (Note 3) 1,318,461 1,120,623
Accounts receivable 5,136,567 4,682,304
Lons-term receivables (Note 7} 173,498 108,234
TOTAL FINANCIAL ASSETS 24,901,968 19,599,713
LIABILITIES
Accounts payable and accrued charges
$ 5,562,575
$ 4,869,453
Deferred revenue – Schedule I 5,942,653 3,395,543
Other current liabilities 198,157 201,934
Asset retirement obligation (Note 8) 75,393
Post employment benefits (Note 9) 1,994,677 1,972,625
Net long-term liabilities (Note lO} 8,153,906 7,022,730
TOTAL LIABILITIES 21,927,361 17,462,285
TOTAL NET FINANCIAL ASSETS 2,974,607 2,137,428
Commitments (Note 15)
NON-FINANCIAL ASSETS
Tangible capital assets – net – Schedule 2 235,541,267 231,691,424
Prepaid expenses 230,651 222,622
Inventories of material and sueelies 605,407 315,581
TOTAL NON-FINANCIAL ASSETS 236,377,325 232,229,627
ACCUMULATED SURPLUS- Schedule 3 $ 239,351,932 $ 234,367,055
Approved on behalfofCouncil:
Mayor C
Consolidated Statement of Operations and Accumulated Surplus
For the Year ended December 31, 2023
Budget 2023
(Note 13) Actual 2023 Actual 2022
REVENUES $ $ $
TAXATION AND USER CHARGES
Net municipal taxation
$ 16,666,357
$ 16,881,607
$ 15,880,313
User charges 16,629,796 15,777,037 14,619,909
33,296,153 32,658,644 30,500,222
GOVERNMENT TRANSFERS
Province of Ontario
3,800,311
1,847,802
3,979,206
Federal grant 466,163 26,451 527,781
Other municipalities 186,000 199,539 198,539
4,452,474 2,073,792 4,705,526
OTHER
Investment income
463,000
954,024
479,406
Penalties and interest on taxes 175,000 183,746 165,480
Deferred revenue earned 627,960 741,756 9,645
Contributed tangible capital assets 2,000,000 2,627,217 3,660,176
Donations and other revenues 1,243,000 279,736 249,264
Gain (loss) on sale of tangible capital assets – 181,008 (380,534)
4,508,960 4,967,487 4,183,437
TOTAL REVENUES 42,257,587 39,699,923 39,389,185
EXPENSES
General government
2,445,486
2,352,193
2,308,774
Protection to persons and property 5,694,886 6,110,203 5,682,323
Transportation services 5,913,810 6,066,706 5,913,604
Environmental services 12,232,447 11,581,328 11,760,417
Health services 68,000 112,191 100,541
Social and family services 15,000 22,509 21,217
Recreation and cultural services 7,594,041 7,312,116 6,190,658
Planning and development 2,707,531 2,107,290 1,752,300
TOTAL EXPENSES 36,671,201 35,664,536 33,729,834
ANNUAL SURPLUS 5,586,386 4,035,387 5,659,351
ACCUMULATED SURPLUS, BEGINNING OF YEAR 234,367,055 234,367,055 230,552,769
EQUITY INCREASE (DECREASE) IN LAWSS (Note 11) – 949,490 (1,845,065)
ACCUMULATED SURPLUS, END OF YEAR $ 239,953,441 $ 239,351,932 $ 234,367,055
Consolidated Statement of Change in Net Financial Assets (Debt)
For the Year ended December 31, 2023
Budget 2023
(Note 13) Actual 2023 Actual 2022
$ $ $
ANNUAL SURPLUS $ 5,586,386 $ 4,035,387 $ 5,659,351
Amortization of tangible capital assets 4,083,697 6,664,138 6,352,938
Acquisition of tangible capital assets (18,703,963) (10,543,549) (10,138,294)
Contribution (donated) tangible capital assets (2,000,000) (2,627,217) (3,660,176)
Share of LAWSS adjustment on tangible capital assets – (807,378) 1,600,452
Debenture of capital assets 3,500,000 – –
Net book value on disposal of tangible capital assets – 3,467,032 446,025
Acquisition of tangible capital assets for asset retirement obligation – (2,868) –
(Acquisition) of supplies inventories (10,000) (289,827) (68,887)
(Acquisition) use of prepaid expenses (10,000) (8,029) (29,330)
Change in LAWSS ownership 900,000 949,490 (1,845,065)
(DECREASE) INCREASE IN NET FINANCIAL (DEBT)
ASSETS (6,653,880) 837,179 (1,682,986)
NET FINANCIAL ASSETS, BEGINNING OF YEAR 2,137,428 2,137,428 3,820,414
NET FINANCIAL (DEBT) ASSETS, END OF YEAR $ (4,516,452) $ 2,974,607 $ 2,137,428
Consolidated Statement of Cash Flows
Year ended December 31, 2023
Cash provided by (used in)
Actual Actual
2023 2022
$ $
OPERATING ACTIVITIES
Annual surplus
$ 4,035,387 $
5,659,351
ITEMS NOT INVOLVING CASH
Amortization of tangible capital assets 6,664,138 6,352,938
Net book value on disposal of tangible capital assets 3,467,032 446,025
Donated tangible capital assets (2,627,217) (3,660,176)
Accretion expense 6,225 –
Unfunded liabilities for benefits 22,052 109,659
CHANGES IN WORKING CAPITAL
Prepaid expenses (197,241) (29,330)
Inventories of material and supplies (289,827) (68,887)
Deferred revenue 2,547,110 1,322,499
Taxes receivable (197,838) (13,086)
Accounts receivable (454,255) 2,079,061
Other current liabilities (3,777) –
Accounts payable and accrued charges 882,334 (349,214)
Net change in cash from operating activities 13,854,123 11,848,840
CAPITAL ACTIVITIES
Cash used to acquire tangible capital assets (10,477,249) (10,138,294)
Share of LAWSS adjustment on tangible capital assets (807,378) 1,600,452
Net change in cash from capital activities (11,284,627) (8,537,842)
INVESTING ACTIVITIES
(Increase) decrease in long-term receivables (65,272) 28,361
Decrease in investment – 8,000,000
Equity increase (decrease) in LAWSS due to change in ownership 949,490 (1,845,065)
Net change in cash from investment activities 884,218 6,183,296
FINANCING ACTIVITIES
Debt repayment (1,268,824) (1,459,003)
Acquisition of debt 2,400,000 –
Net change in cash from financing activities 1,131,176 (1,459,003)
NET CHANGE IN CASH 4,584,890 8,035,291
CASH, BEGINNING OF YEAR 13,688,552 5,653,261
CASH, END OF YEAR $ 18,273,442 $ 13,688,552
Cash paid for interest
$ 299,969
$ 291,588
Cash received from interest 929,930 380,613
The Corporation of the Township of St. Clair (the “Township”) was amalgamated in 2001 as a municipality under the Province of Ontario and operates under the provision of the Municipal Act, 2001.
1. SIGNIFICANT ACCOUNTING POLICIES
The consolidated financial statements of the Township are the representation of management and have been prepared in accordance with Canadian Public Sector Accounting Standards (“PSAS”) as defined in the CPA Canada Public Sector Accounting Handbook. Significant aspects of the accounting policies are as follows.
(a) (i) Basis of consolidation
These consolidated financial statements reflect the assets, liabilities, revenues and expenditures for all municipal organizations, committees, and boards which are owned or controlled by Council. All interfund assets and liabilities and revenues and expenditures have been eliminated on consolidation.
The following Boards controlled by Council have been consolidated: Brigden Community Hall
Moore Township Museum
Port Lambton Athletic Field Board Port Lambton Community Centre Sombra Athletic Field Board Sombra Community Centre Sombra Township Museum Wilkesport Community Centre
(ii) Joint Local Board
The Lambton Area Water Supply System (here after referred to as “LAWSS”) has been consolidated on a proportionate equity basis based upon the water flow of the Township in proportion to the entire flows provided by the joint board for the previous year. Under the proportionate equity basis, the Township’s pro rata share of each of the assets, liabilities, revenues, and expenditures of the board are consolidated with similar items in the Township’s consolidated financial statements. For 2023, the Township’s share of LAWSS was 28.29% (2022 – 27.40%). Material inter-organizational transaction and balances have been eliminated.
(iii) Accounting for county and school board transactions
The taxation, other revenues, expenditures, assets, and liabilities with respect to the operations of the school boards and the County of Lambton are not reflected in the municipal fund balances of these consolidated financial statements.
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(iv) Trust Funds
Trust funds and their related operations administered by the Township are not consolidated but are reported separately on the Trust Funds’ Statement of Continuity and Financial Position.
(b) Basis of accounting
(i) Accrual accounting
The accrual basis of accounting recognizes revenues in the period in which they are earned and measurable. Expenses are recognized as they are incurred and measurable as a result of receipt of goods and services and the creation of legal obligation to pay.
(ii) Investments
All of the investments are carried at amortized cost using the effective interest rate method. Council has the intention to hold investments until maturity.
(iii) Non-financial assets
Non-financial assets are not available to discharge existing liabilities and are held for use in the provision of services. They have useful lives extending beyond the current year and are not intended for sale in the ordinary course of operations.
(iv) Tangible Capital Assets
Tangible capital assets are recorded at cost, which includes all amounts that are directly attributable to acquisition, construction, development, or betterment of the asset. The cost, less residual value, of the tangible capital assets, excluding land are amortized on a straight- line basis over their estimated useful lives as follows:
Asset Useful Life – Years
Land improvements 10 – 25
Buildings and building improvements 5 – 50
Machinery and equipment 5 – 50
Linear assets 10 – 90
Amortization for non-infrastructure assets is calculated for six months if purchased before July. Assets purchased after July 1st are not amortized until the following year. For infrastructure assets amortization will be recorded in the year following acquisition. Assets under construction are not amortized until the asset is available for productive use.
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(a) Contribution of tangible capital assets
Tangible capital assets received as contributions are recorded at their estimated fair value at the date of receipt, and that fair value is also recorded as revenue.
(b) Works of art and cultural and historical assets
Works of art and cultural and historic assets are not recorded as assets in these consolidated financial statements.
(c) Inventories of materials and supplies
Inventories held for consumption are recorded at the lower of cost or replacement value.
(v) Financial instruments
(i) Measurement of financial instruments
The Township initially measures its financial assets and financial liabilities at fair value adjusted by, in the case of a financial instrument that will not be measured subsequently at fair value, the amount of transaction costs directly attributable to the instrument.
Related party financial instruments are measured at cost on initial recognition. When the financial instrument has repayment terms, cost is determined using the undiscounted cash flows, excluding interest, dividend, variable and contingent payments, less any impairment losses previously recognized by the transferor. When the financial instrument does not have repayment terms, but the consideration transferred has repayment terms, cost is determined based on the repayment terms of the consideration transferred. When the financial instrument and the consideration transferred both do not have repayment terms, the cost is equal to the carrying or exchange amount of the consideration transferred or received.
The Township subsequently measures its financial assets and financial liabilities at amortized cost, except for bonds, common shares and other marketable securities quoted in an active market, which are subsequently measured at fair value. Changes in fair value are recognized in net income.
Financial assets measured at amortized cost include cash, accounts receivable, investments, and long-term receivables.
Financial liabilities measured at amortized cost include accounts payable and accrued charges, other current liabilities, and net long-term liabilities.
Unrealized changes in fair value are recognized in the Statement of Remeasurement Gains and Losses until they are realized, when they are transferred to the Statement of Operations. As the Township has no financial instruments recognized at fair value, the Township does not have a Statement of Remeasurement Gains and Losses.
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Transaction costs incurred on the acquisition of financial instruments measured subsequently at fair value are expensed as incurred. All other financial instruments are adjusted by transaction costs incurred on acquisition and financial costs, which are amortized using the straight-line method.
(ii) Impairment
Financial assets measured at amortized cost are tested for impairment when there are indicators of possible impairment. When a significant adverse change has occurred during the period in the expected timing or amount of future cash flows from the financial asset or group of assets, a write- down is recognized in net income. The write down reflects the difference between the carrying amount and the higher of:
• the present value of the cash flows expected to be generated by the asset or group of assets;
• the amount that could be realized by selling the assets or group of assets;
• the net realizable value of any collateral held to secure repayment of the assets or group of assets.
When the events occurring after the impairment confirm that a reversal is necessary, the reversal is recognized in net income up to the amount of the previously recognized impairment.
(vi) Revenue recognition
Property tax billings are prepared by the Township based on assessment rolls issued by the Municipal Property Assessment Corporation. Tax rates are established annually by Council, incorporating amounts to be raised for local services. A normal part of the assessment process is the issue of supplementary assessment rolls, which provide updated information with respect to changes in property assessments. Once a supplementary assessment roll is received, the Township determines the taxes applicable and renders supplementary tax billings. Taxation revenues are recorded at the time the tax billings are issued.
The Township is entitled to collect interest and penalties on overdue taxes. These revenues are recorded in the period the interest and penalties are levied.
User Charges and other revenues are recognized when related goods or services are provided, and collectability is reasonably assured. Tangible capital assets received as contributions are recorded at their fair value at date of receipt and that fair value is recorded as revenues.
Government transfers are recognized in the financial statements as revenues in the period in which events giving rise to the transfer occur, providing the transfers are authorized, any eligibility criteria have been met, and reasonable estimate of the amounts can be made.
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Investment income earned on surplus funds is recognized when earned.
(vii) Deferred revenues
The Township receives development charges and sub-divider contributions under the authority of provincial legislation and municipal bylaws. These funds, by their nature, are restricted in their use and, until applied to specific capital works, are recorded as deferred revenue. These amounts will be recognized as revenue in the fiscal year they are expended.
(viii) Accumulated surplus
Accumulated surplus represents the Corporation’s net economic resources. It is an amount by which all assets (financial and non-financial) exceed liabilities. An accumulated surplus indicates that the Corporation has net resources (financial and physical) that can be used to provide future services. An accumulated deficit means that liabilities are greater than assets.
(ix) Use of Estimates
The preparation of financial statements in conformity with the Chartered Professional Accountants of Canada Public Sector Accounting Handbook requires management to make estimates and assumptions that affect the reported amounts of the assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenditures during the period. Actual results could differ from the estimates. Estimates are used with accounting for items such as accrued receivables, accrued liabilities, post-retirement benefits and tangible capital assets.
(x) Post retirement benefits
The Township provides certain benefits which will require funding in future periods. These benefits include life insurance, extended health and dental benefits for retirees.
The costs of life insurance, extended health and dental benefits are actuarially determined using management’s best estimate of salary escalation, insurance and health care cost trends, long-term inflation rates and discount rates.
For self-insured retirement and other employee future benefits that vest or accumulate over the periods of service provided by employees, health, dental and life insurance benefits for retirees, the cost is actuarially determined using the projected benefits method prorated on service. Under this method, the benefit costs are recognized over the expected average service life of the employee group.
Any actuarial gains and losses related to the past service of employees are amortized over the expected average remaining service life of the employee group.
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
For those self-insured benefit obligations that arise from specific events that occur from time to time, such as obligations for life insurance and health care benefits for those on disability leave, the cost is recognized immediately in the period the events occur. Any actuarial gains and losses that are related to these benefits are recognized immediately in the period they arise.
(xi) Asset Retirement Obligations
A liability for an asset retirement obligation is recognized when there is a legal obligation to incur retirement costs in relation to a tangible capital asset; the past transaction or event giving rise to the liability has occurred; it is expected that future economic benefits will be given up; and a reasonable estimate of the amount can be made. The liability is recorded at an amount that is the best estimate of the expenditure required to retire a tangible capital asset at the financial statement date. This liability is subsequently reviewed at each financial reporting date and adjusted for the passage of time and for any revisions to the timing, amount required to settle the obligation or the discount rate. Upon the initial measurement of an asset retirement obligation, a corresponding asset retirement cost is added to the carrying value of the related tangible capital asset if it is still in productive use. This cost is amortized over the useful life of the tangible capital asset. If the related tangible capital asset is unrecognized or no longer in productive use, the asset retirement costs are expensed.
2. CHANGE IN ACCOUNTING POLICY
Effective January 1, 2023, the Township adopted the new Public Sector Accounting Handbook Standard, Section PS 3280, Asset Retirement Obligations.
The standard requires a liability to be recognized as there is a legal obligation to incur retirement costs. This change in accounting policy has been applied using the prospective approach. See Note 8 for more details.
3. TAXES RECEIVABLE
As of December 31, 2023, the taxes receivable are as follows
2023 2022
Taxes receivable 1,122,946 965,904
Penalties and interest 195,515 154,719
1,318,461 1,120,623
4. OPERATIONS OF SCHOOL BOARDS AND THE COUNTY OF LAMBTON
Further to note 1(a)(iii), the taxation, other revenues and requisitions for the school boards and the County of Lambton are comprised of the following:
School Boards County of Lambton
Taxation 7,220,324 12,680,203
Add: Share of payments-in-lieu of taxes 29,192 285,268
Less: Share of write offs (127,862) (156,995)
Total amount transferred 7,121,654 12,808,476
5. TRUST FUNDS
The Bradshaw Cemetery Trust Fund, Water Well Contamination Deposits Trust Fund, the Zion Cemetery Trust Fund and the St. Clair River Trail Trust Fund are administered by the Township. The total fund balance amounting to $475,431 on December 31, 2023 (2022 – $439,426) has not been included in the Consolidated Statement of Financial Position nor have its operations been included in the Consolidated Statement of Operations.
6. PENSION AGREEMENTS
The Township makes contributions to the Ontario Municipal Employees Retirement System (OMERS), which is a multi-employer plan, on behalf of 133 (2022 – 98) members of its staff. The plan is a defined benefit plan, which specifies the amount of the retirement benefit to be received by the employees based on the length of service and rates of pay. Employees and employers contribute jointly to the plan. The employer amount contributed to OMERS for 2023 was $632,496 (2022 –
$554,656). The contribution rate for 2023 was 9.0% to 15.8% depending on age and income level (2022 – 9.0% to 15.8%).
OMERS is a multi-employer plan, therefore any pension plan surpluses or deficits are a joint responsibility of Ontario municipal organizations and their employees. As a result, the municipality does not recognize any share of the OMERS pension surplus or deficit.
The last available report for the OMERS plan was December 31, 2023. At that time the plan reported an actuarial fund deficit $4.20 billion (2022 – $6.68 billion actuarial deficit), and actuarial value adjustment of net assets of $3.37 billion deficit (2022 – $.578 billion surplus) for a net deficit $7.57 billion (2022 – $6.1 billion deficit). The ongoing adequacy of the current contribution rates will need to be monitored as declines in the financial markets may lead to increased future funding requirements.
7. LONG-TERM RECEIVABLES
The Township has self financed ratepayers capital drainage projects in amount of $144,518 (2022 –
$37,200) payable over five years bearing interest rates ranging from of 6.00% to 6.75%.
7. LONG-TERM RECEIVABLES (CONTINUED)
The Township has the following loans receivable:
– A loan in the amount of $20,638 to the Corunna Skate Park Committee for the replacement of the skate park financed by a five year interest free payment plan.
– A loan in the amount of $8,342 to residents of Froomfield for sanitary lateral connections financed by a ten year interest free payment plan.
Repayments of principal are summarized as follows:
2024 37,723
2025 34,019
2026 24,942
2027 22,053
2028 54,761
Total 173,498
8. ASSET RETIREMENT OBLIATIONS
The Township’s financial statements include an asset retirement obligation for the remediation of asbestos and other designated substances contained within buildings. The related asset retirement costs are being amortized on a straight-line basis. The liability has been estimated using a net present value technique with a discount rate of 5.57%. The estimated total undiscounted future expenditures are $1,263,098, which are to be incurred over the remaining productive useful life of the buildings. The liability is expected to be settled at the end of the buildings’ productive useful lives.
The carrying amount of the liability at December 31, 2023 is $75,393.
Note that the total amount of the liability may change due to changes in estimates noted above, such as the discount rate, estimated total undiscounted future expenditures, and expected remediation date.
9. POST EMPLOYMENT BENEFITS
The Township sponsors a defined benefit plan for retirement benefits other than pensions for all employees. The plan provides extended health and dental benefits to employees who have a minimum of 10 years of service and are a minimum age of 55. These employees may retire with the Township paying the dental and health benefits to the age of 65 and share 50% of the cost to the age of 70 for union and non union employees.
Actuarial valuations for accounting purposes are performed using the projected benefit method, pro- rated on services.
The most recent actuarial report was prepared as at December 31, 2021, with projections into December 31, 2023.
9. POST EMPLOYMENT BENEFITS (CONTINUED)
The actuarial valuation was based on several assumptions about future events, such as inflation rates, medical inflation rates, wage increases, employee turnover and mortality rates. The assumptions used reflect management’s best estimates.
Assumptions used are as follows:
a) a discount factor of 2.75% (2022 – 2.75%)
b) an annual increase in health and dental care cost of 3.5% ( 2022 – 3.5%)
c) rate of compensation increase of 3.0% (2022 – 3.0%)
d) in addition to the annual increase, inflation of 3.0% (2022 – 3.0%)
e) an employee is presumed to retire at the later of age 60 and their current age plus one year
f) It is assumed that 70% of union retirees who reach age 65 will remain in the program for which the cost is split 50%.
2023 2022
Current period benefit cost 124,748 121,409
Amortization of actuarial gain/loss 58,280 17,255
Interest 17,255 56,962
Total expense for the year 200,283 195,626
2023
2022
Accrued benefit as of January 1
1,972,625
1,862,966
Expense in period 200,283 195,626
Employer contribution (178,231) (85,967)
Projected accrued benefit as of December 31 1,994,677 1,972,625
2023
2022
Benefit obligation as of December 31 2,150,829 1,862,966
Unamortized gains (loss) (156,152) 109,659
Projected accrued benefit as of December 31 1,994,677 1,972,625
10. NET LONG-TERM LIABILITIES
(a) The principal payments of the long-term liabilities reported in (a) of this note are summarized as follows:
2023 2022
Long-term debt issued with Infrastructure Ontario at an interest
rate of 4.39% maturing February 2053 2,380,339 –
Long-term debt issued with Federation of Canadian Municipalities
rate of 3.65% maturing November 2029 717,460 822,618
Long-term debt issued with Infrastructure Ontario at an interest
rate of 2.77% maturing January 2023 – 142,002
Long-term debt issued with Infrastructure Ontario at an interest
rate of 4.69% maturing November 2029 401,798 458,556
Long-term debt issued with Infrastructure Ontario at an interest
rate of 4.84% maturing March 2026 141,010 192,860
Long-term debt issued with Canada Mortgage and Housing
Corporation at an interest rate of 3.91% maturing June 2030 3,736,516 4,193,039
Long-term debt issued with Infrastructure Ontario at an interest
rate of 2.01% maturing May 2025 570,971 942,213 Long-term debt issued with Infrastructure Ontario at an interest
The principal payments of the long-term liabilities reported in (a) of this note are summarized as follows:
From general municipal revenues:
2024 1,183,704
2025 1,028,546
2026 838,635
2027 768,350
2028 798,929
2029 and thereafter 3,535,742
8,153,906
(b) The long-term liabilities in (a) issued in the name of the Township have received approval of the Ontario Municipal Board for those approved on or before December 31, 1992. Those approved after January 1, 1993 have been approved by by-law. The annual principal and interest payments required to service these liabilities are within the annual debt payment limit prescribed by the Ministry of Municipal Affairs.
10. NET LONG-TERM LIABILITIES (CONTINUED)
(c) The Township is contingently liable for long-term liabilities issued by the Province of Ontario with respect to tile drainage and shoreline property assistance loans. The total amount outstanding as at December 31, 2023 is $114,496 (2022 – $148,160) bearing interest at 6% with maturity ranging from 2024 to 2031. These liabilities are not recorded on the Consolidated Statement of Financial Position.
(d) Total interest charges on net long-term debt reported on the Consolidated Statement of Operations are $303,626 (2022 – $285,124). The long-term liabilities bear interest at rates ranging from 2.01% to 4.84%.
(e) In lieu of providing refundable deposits for planning development and site plan agreements, the Township also allows applicants to provide an irrevocable letter of credit, the provision of which permits the Township to withdraw a set amount of funds from the applicant’s account. Funds are not exchanged at the time of entering irrevocable letters of credit and the letters of credit are terminated upon the required completion of set development milestones. As such, these amounts are not recorded in the financial statements. As at December 31, 2023, the Township held irrevocable letters of credit in the amount of $4,298,937.
11. JOINT LOCAL BOARD CONSOLIDATION – LAWSS
The following summarizes the financial position and operations of Lambton Area Water Supply System (LAWSS) which has been reported in these consolidated financial statements using the proportionate consolidation method.
The consolidated financial statements include the Township’s 28.29% (2022 – 27.4%) proportionate interest as follows:
2023 2022
Cash 5,194,597 4,300,834
Accounts receivable 270,896 172,873
Asset retirement obligation (75,393) –
Accounts payable (236,981) (29,320)
5,153,119 4,444,387
Tangible capital assets 26,311,500 24,853,471
Accumulated surplus 31,464,619 29,297,858
Total revenues
3,602,693
2,998,733
Total expenses 2,319,125 2,102,431
Annual surplus 1,283,568 896,302
12. EXPENDITURE BY OBJECT
Total expenditures for the year reported on the Consolidated Statement of Operations are as follows:
2023 2022
Wages and employee benefits 11,147,411 9,980,623
Materials 8,577,168 8,484,084
Contracted services 8,918,893 8,570,019
Rent and other charges 53,300 57,046
Amortization 6,664,138 6,352,938
Interest on long-term debt 303,626 285,124
35,664,536 33,729,834
13. BUDGET DATA
Budget data presented in these consolidated financial statements are based upon the 2023 operating and capital budgets approved by Council and actual for consolidated entities. The chart below reconciles the approved budget figures reported in these consolidated financial statements. The Township approved budget a net general expense includes amortization expense in the amount of
$5,653,386.
Township PSAB Adjustment Budget per Approved for Consolidated Financial Budget Entities Statements
General Revenues 42,114,587 143,000 42,257,587
General Expenses (36,461,201) (210,000) (36,671,201)
Annual Surplus (Deficit) 5,653,386 (67,000) 5,586,386
14. SEGMENT INFORMATION
The Corporation of the Township of St. Clair is a diversified Township and provides a wide range of services to its citizens. Distinguishable functional segments have been separately disclosed in segment information. Segmented information is presented on Schedule 6 through 9.
Inter-segment transfers are priced on a historical cost basis.
The nature of those segments and the activities they encompass are as follows.
14. SEGMENT INFORMATION (CONTINUED)
General Government
The departments within general government are responsible for the general management and control of the Township, including by-laws, adopting administrative policy, levying taxes, and providing administrative services. They also ensure that quality services are provided to the community and that the services are aligned with Council approved actions.
Protection Services
Protection is comprised of police services, fire protection, building department and animal control. The Police protection is provided by the Ontario Provincial Police (OPP) through a joint contract with nine other municipalities within Lambton County. The contract is administrated by the Lambton Group Police Services Board of which St. Clair is a member. The fire department is responsible to provide fire suppression services, fire prevention programs, training and education related to prevention, detection, or extinguishment of fires. The building department is responsible for permit processing and building inspection. The animal control department is responsible to providing a licensing system for dogs. By-Law enforcement is contracted with the administration provided by St. Clair Staff.
Transportation Services
Transportation includes the delivery of municipal public works services related to the planning, development and maintenance of the municipality’s infrastructure including roads, bridges, storm drains, sidewalks, streetlights, traffic signals and winter control.
Environmental Services
Environmental Services consist of providing sanitary and storm sewer, water, waste collection and disposal, and recycling services.
Health Services
Health Services include rental revenues from the Rapid Family Health Team and expenditures related to the building in which they operate.
Social and Family Services
Social and Family Services consist of a grant paid to the Moore Presbyterian Foundation, which operates a community center for seniors.
Recreation and Cultural Services
This service area provides services meant to improve the health and development of the Township’s citizens. The Township is responsible for the development, provision and maintenance of the Moore Sports Complex, Community Halls, as well as parks and recreation (including a golf course). The Township has five libraries administered by the County of Lambton and two Museum Boards.
14. SEGMENT INFORMATION (CONTINUED)
Planning and Development
The County of Lambton Planning Department provides guidance and recommendation to Council, the Committee of Adjustment, and staff members on all planning issues. The administration of all planning application is dealt with by municipal staff. The Township has a number of drains under its management and control. The drains are created and maintained pursuant to the Municipal Drainage Act and require an extensive amount of administration and supervision. The Township administers industrial park sales for land it owns in the industrial park. The Township also has three campgrounds.
15. COMMITMENTS
a) Waste Collection Services
The Township has entered into an agreement with Marcotte Disposal Inc. for waste collection service commencing July 1, 2023 to June 30, 2028 for $1,316,784 including HST for the first three years and 5% increases in year four and five.
b) Police Services
The Township has entered into a two-year extension agreement with Lambton Group Police Services Board for police services through the Ontario Provincial Police (OPP). The extension begins January 1, 2024 at an annual cost of $2,250,309. The contract expires December 31, 2025.
Further to note 11 the Township has proportionate interest in joint local board – LAWSS including their related commitments. Future capital commitments in the aggregate amount of $17,457,001 can be found within the standalone financial statements of Lambton Area Water Supply System (LAWSS).
16. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT
Unless otherwise noted it is management’s opinion that the Township is not exposed to significant risks. There have not been any changes from the prior year in the Township’s exposure to risk or the policies, procedures and methods it uses to manage and measure the risk.
Credit risk
Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Township is exposed to credit risk through its cash, trade and other receivables, loans receivable and long-term receivables. There is a possibility of non- collection of its trade and other receivables. The majority of the Township’s receivables are from rate payers and government entities. The Township mitigates its exposure to credit loss by placing its cash with major financial institutions.
16. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONTINUED)
Accounts receivable credit risk is resulting from the possibility that a customer or counterparty to a financial instrument defaults on their financial obligations; if there is a concentration of transactions carried out with same counterparty; or of financial obligations which have similar economic characteristics such that they could be similarly affected by changes in economic conditions.
The Township manages its credit risk by limiting the amount of days aged in accounts receivable before appropriate action is taken.
The Township’s maximum exposure to credit risk at the financial statement date is the carrying value of accounts receivable and other accounts receivable as presented on the statement of financial position.
At year end, the amounts outstanding for the Township’s accounts receivable are as follows:
2023
Current 31-60 days 61-90 days 91-120 days Over 120 days Total
Government receivable 275,235 181,424 – – – 456,659
Accounts receivable 1,137,587 574,764 341,164 371,335 2,255,868 4,680,718
Taxes receivable – – – – 1,318,461 1,318,461
Long-term receivables – – – – 173,498 173,498
Total 1,412,822 756,188 341,164 371,335 3,747,827 6,629,336
Less impairment allowance – – – – (810) (810)
Net receivable 1,412,822 756,188 341,164 371,335 3,747,017 6,628,526
2022
Current 31-60 days 61-90 days 91-120 days Over 120 days Total
Government receivable 267,682 324,576 – – – 592,258
Accounts receivable 894,004 487,209 406,660 279,562 2,023,421 4,090,856
Taxes receivable – – – – 1,120,623 1,120,623
Long-term receivables – – – – 108,234 108,234
Total 1,161,686 811,785 406,660 279,562 3,252,278 5,911,971
Less impairment allowance – – – – (810) (810)
Net receivable 1,161,686 811,785 406,660 279,562 3,251,468 5,911,161
Liquidity risk
Liquidity risk is the risk that the Township will encounter difficulty in meeting obligations associated with financial liabilities. The Township is exposed to this risk mainly in respect of its accounts payable and accrued liabilities, deferred revenue, other non-current liabilities, and net long-term liabilities.
The Township manages this risk by establishing budgets and funding plans to fund its expenses and debt payments. The Township also maintains certain credit facilities, which can be drawn upon as needed.
16. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONTINUED)
The following tables sets out the expected maturities (representing undiscounted contractual cash- flow of financial liabilities):
2023
Within 1 year 1-5 years Over 5 years Total
Accounts payable and
accrued charges 3,556,281 1,837,458 168,836 5,562,575
Deferred revenue 871,884 5,070,769 – 5,942,653
Other current liabilities 198,157 – – 198,157
Net long-term liabilities 1,183,704 3,434,460 3,535,742 8,153,906
Total 5,810,026 10,342,687 3,704,578 19,857,291
2022
Within 1 year 1-5 years Over 5 years Total
Accounts payable and
accrued charges 3,035,024 1,664,194 170,236 4,869,453
Deferred revenue 407,532 2,988,011 3,395,543
Other current liabilities 201,934 – – 201,934
Net long-term liabilities 1,249,163 3,645,589 2,127,978 7,022,730
Total 4,893,653 8,297,794 2,298,214 15,489,660
Interest rate risk
Interest rate risk is the risk of potential loss caused by fluctuations in fair value of cashflow of financial instruments due to the changes in market interest rates. The Township is exposed to this risk through its interest-bearing investments. The Township manages this risk through investing in fixed-rate securities of short to medium term maturity and plans to hold the securities to maturity.
17. BANK INDEBTEDNESS
An operating line of credit was available by way of bank overdraft in the amount of $5,000,000 as of December 31, 2023 ($5,000,000 as at December 31, 2022). Amounts obtained under this credit are due on demand and bear interest at bank’s prime rate less 0.75%, calculated and paid monthly. The amount drawn on this line as of December 31, 2023 is $Nil (2022 – $Nil).
Consolidated Schedule of Deferred Revenues
Year ended December 31, 2023 Schedule 1
Increase in Deferred Revenues Decreases in Deferred Revenues
Balance,
Beginning of 2023 Interest Other
Increases Total To
Operations To Capital
Acquisitions Total Balance,
End of 2023
Legislative deferred revenues
Payments-in-lieu of park land
83,909
5,031
15,408
20,439
–
–
–
104,348
Development charges 1,363,434 72,700 199,956 272,656 19,905 388,516 408,421 1,227,669
AMO Gas Tax 226,373 11,695 466,163 477,858 – 353,240 353,240 350,991
Non-legislative deferred revenues 1,721,827 – 3,878,158 3,878,158 876,090 464,250 1,340,340 4,259,645
Total for 2023 $ 3,395,543 89,426 4,559,685 4,649,111 895,995 1,206,006 2,102,001 $ 5,942,653
Increase in Deferred Revenues Decreases in Deferred Revenues
Balance,
Beginning of 2022 Interest Other
Increases Total To
Operations To Capital
Acquisitions Total Balance,
End of 2022
Legislative deferred revenues
Payments-in-lieu of park land
6,579
1,350
85,625
86,975
– 9,645
9,645
83,909
Development charges 718,868 29,980 614,586 644,566 – – – 1,363,434
AMO Gas Tax 169,789 5,855 446,740 452,595 – 396,011 396,011 226,373
Non-legislative deferred revenues 1,177,808 – 1,684,440 1,684,440 1,066,483 73,938 1,140,421 1,721,827
Total for 2022 $ 2,073,044 37,185 2,831,391 2,868,576 1,066,483 479,594 1,546,077 $ 3,395,543
General Infrastructure
Land Machinery Transportation Work in Total
Land Improvements Buildings and Equipment Vehicles and Storm Water Wastewater Progress 2023
COST
Balance, beginning of year 7,089,223 10,937,531 18,404,163 5,245,671 9,878,247 102,458,556 130,790,076 63,641,347 5,706,188 354,151,002
Add: Share in LAWSS Adjustment – – – – – – 1,294,149 – – 1,294,149
Add: Additions during the year – 98,784 5,550,907 380,107 241,637 2,179,579 1,347,915 747,489 – 10,546,418
Less: Disposals during the year – – – 166,805 32,198 633,796 236,819 188,756 3,249,099 4,507,473
Other Contribution from Developer – – – – – 1,879,347 405,833 342,037 – 2,627,217
BALANCE, END OF YEAR 7,089,223 11,036,315 23,955,070 5,458,973 10,087,686 105,883,686 133,601,154 64,542,117 2,457,089 $ 364,111,313
ACCUMULATED AMORTIZATION
Balance, beginning of year – 3,928,000
Add: Share in LAWSS Adjustment – –
8,255,747
–
2,315,923
–
3,776,417
–
44,469,704
–
43,650,552
486,771
16,063,235 – 122,459,578
– – 486,771
Add: Amortization during the year – 339,778
693,450
327,000
414,601
2,056,811
1,661,984
1,170,514
–
6,664,138
Less: Accumulated amortization
on disposals – –
–
136,286
32,198
618,955
135,648
117,354
–
1,040,441
BALANCE, END OF YEAR – 4,267,778 8,949,197 2,506,637 4,158,820 45,907,560 45,663,659 17,116,395 – $ 128,570,046
NET BOOK VALUE OF
TANGIBLE CAPITAL ASSETS 7,089,223 6,768,537 15,005,873 2,952,336 5,928,866 59,976,126 87,937,495 47,425,722 2,457,089 $ 235,541,267
General Infrastructure
Land Machinery Transportation Work in Total
Land Improvements Buildings and Equipment Vehicles and Storm Water Wastewater Progress 2022
COST
Balance, beginning of year
7,089,223
9,970,324
18,161,421
4,997,123
9,808,438
96,176,330
131,700,352
63,081,671
2,826,713
343,811,595
Less: Share in LAWSS Adjustment
–
–
– –
–
–
(2,543,255)
–
– (2,543,255)
Add: Additions during the year
–
986,691
857,282
296,999
69,809
3,763,466
1,219,287
65,285
2,879,475
10,138,294
Less: Disposals during the year – 19,484 614,540 48,451 – 197,726 35,607 – – 915,808
Other Contribution from Developer – – – – – 2,716,486 449,299 494,391 – 3,660,176
BALANCE, END OF YEAR 7,089,223 10,937,531 18,404,163 5,245,671 9,878,247 102,458,556 130,790,076 63,641,347 5,706,188 354,151,002
ACCUMULATED AMORTIZATION
Balance, beginning of year – 3,640,672
7,982,756
2,034,103
3,357,953
42,566,773
43,046,145
14,890,824 – 117,519,226
Less: Share in LAWSS Adjustment
–
–
– –
–
–
(942,803)
–
– (942,803)
Add: Amortization during the year
–
306,812
518,807
310,326
418,464
2,076,024
1,550,094
1,172,411
–
6,352,938
Less: Accumulated amortization on disposals
–
19,484
245,816
28,506
–
173,093
2,884
–
–
469,783
BALANCE, END OF YEAR – 3,928,000 8,255,747 2,315,923 3,776,417 44,469,704 43,650,552 16,063,235 – 122,459,578
NET BOOK VALUE OF
TANGIBLE CAPITAL ASSETS 7,089,223 7,009,531 10,148,416 2,929,748 6,101,830 57,988,852 87,139,524 47,578,112 5,706,188 $ 231,691,424
CORPORATION OF THE TOWNSHIP OF ST. CLAIR
Consolidated Schedule of Accumulated Surplus
Year Ended December 31, 2023 Schedule 3
2023 2022
Reserves $ $
Working Capital $ 643,500 $ 643,500
Election 13,325 –
General operating reserve 769,087 650,575
Capital expenditures 9,841,253 7,895,555
Water distribution 7,945,666 7,669,803
Water distribution LAWSS 5,153,119 4,444,387
Sanitary sewage system 188,541 928,185
Uncollectible taxes 137,559 131,009
Moore Industrial Park 924,285 994,907
St. Clair Parkway 490,889 467,513
Total Reserves 26,107,224 23,825,434
Surplus
Invested in tangible capital assets General $ 95,396,311 $ 94,786,649
Invested in tangible capital assets LAWSS 26,311,500 24,853,471
Invested in tangible capital assets Water 62,355,662 62,364,243
Invested in tangible capital assets Sanitary 43,328,757 42,664,331
Local boards 281,482 243,287
Unfunded post employment benefits (1,994,677) (1,972,625)
Deficit (12,434,327) (12,397,735)
Total Surplus 213,244,708 210,541,621
ACCUMULATED SURPLUS $ 239,351,932 $ 234,367,055
Statement of Revenue & Expenditures
Year ended December 31, 2023 Schedule 4
2023
Budget (Unaudited) 2023
Actual 2022
Budget (Unaudited) 2022
Actual
$ $ $ $
Revenues
Ministry of Culture, Tourism and Recreation Operating grant
$ 17,340
$ 17,840
$ 47,566
$ 47,566
Other federal grants 3,635 3,789 3,015 4,013
Museum revenue
Admissions, proceeds and donations 10,300 21,247 10,300 18,831
Net sales 1,250 1,335 1,000 1,642
Municipal contribution 395,837 313,963 313,172 228,323
428,362 358,174 375,053 300,375
Expenditures
Advertising $ 5,450 $ 2,940 $ 7,675 $ 4,575
Amortization 6,264 15,337 6,264 6,264
Building maintenance 16,500 25,470 14,000 15,976
Capital expenditures 94,500 57,348 43,479 6,181
Gift shop 1,700 581 1,700 1,317
Ground maintenance 14,750 12,684 14,750 9,890
Insurance 6,600 5,835 5,745 5,399
Janitorial service and supplies 1,600 811 1,600 915
Membership 650 513 650 636
Mileage 800 309 800 485
Office and miscellaneous 9,300 5,788 10,160 11,460
Postage and deliver 750 92 750 274
Salaries, wages and benefits 243,678 207,409 243,145 220,340
Seminars, education and training 1,400 84 1,400 334
Supplies 13,530 13,656 12,535 8,523
Utilities 10,890 9,317 10,400 7,806
428,362 358,174 375,053 300,375
Excess (deficiency) of revenues over expenditures – – – –
Statement of Operations and Accumulated Surplus
For the year ended December 31, 2023
Schedule 5
2023
Budget (Unaudited) 2023
Actual 2022
Budget (Unaudited) 2022
Actual
Revenues $ $ $ $
Ministry of Culture, Tourism and Recreation $ 2,946 $ 2,946 $ – $ 5,121
Federal grant 7,054 13,982 20,000 22,329
Museum revenue
Admissions, membership, proceeds and donations 16,940 41,184 15,640 2,893
Events 2,500 14,232 2,000 654
Interest income 1,500 2,181 1,100 1,376
Other grants 7,500 5,500 – 4,625
Municipal contribution 77,230 87,327 77,530 104,905
115,670 167,352 116,270 141,903
Expenditures
Wages & benefits
$ 60,700
$ 68,314
$ 54,500
$ 75,318
Advertising and membership 2,150 2,194 1,400 1,264
Amortization 12,600 10,590 12,600 10,301
Capital – – 6,500 7,238
Events 2,200 12,717 3,220 4,017
Utilities, security and telephone 14,650 13,832 13,850 12,860
Insurance 4,500 5,128 4,500 4,771
Office supplies & exhibits 3,000 1,710 7,800 3,146
Maintenance and supplies 12,170 10,615 11,900 11,312
Workshop & conservation Seminars & miscellaneous 3,700 1,344
– –
– –
48
115,670 126,444 116,270 130,275
Excess of revenues over expenditures – 40,908 – 11,628
Surplus balance, beginning of year 69,576 69,576 57,948 57,948
Surplus balance, end of year 69,576 110,484 57,948 69,576
Consolidated Schedule of Segment Disclosure – Operating Revenues
Year ended December 31, 2023 Schedule 6
Taxation User
Charges Government
Transfers Developer
Contributions Deferred
Revenues Gain (Loss) on
Sales of Assets
Other Total
2023
General Government
16,881,607
150,669
972,100
–
–
–
907,276
18,911,652
Fire
– 18,325
8,568
– 52,000
53,605
27,840
160,338
Police – – 101,152 – – – – 101,152
Other Protection Services – 263,714 54,287 – – – 60 318,061
Total Protection Services – 282,039 164,007 – 52,000 53,605 27,900 579,551
Transportation Services
–
282,526
57,290
1,879,347
509,390
263,373
–
2,991,926
Water
–
5,970,792
4,055
405,833
–
(101,171)
343,838
6,623,347
Waste Water – 3,176,580 – 342,037 75,000 (71,402) – 3,522,215
Storm Systems – 13,650 – – – (990) – 12,660
Solid Waste and diversion – 1,120,027 138,903 – – – – 1,258,930
Total Environmental Services – 10,281,049 142,958 747,870 75,000 (173,563) 343,838 11,417,152
Health Services
–
–
–
–
–
–
80,250
80,250
Parks and Recreation
–
348,687
–
– 87,275
–
2,000
437,962
Recreational Facilities – 750,800 500,000 – 18,091 1,593 48,713 1,319,197
Golf Course – 2,043,236 1,914 – – 36,000 2,081,150
Museum – 29,284 38,557 – – – 7,529 75,370
Total Recreation and Culture Services – 3,172,007 540,471 – 105,366 37,593 58,242 3,913,679
Planning and Zoning
– 81,975
– – – – – 81,975
Commercial and Industrial – – – – – – – –
Campgrounds – 830,456 – – – – – 830,456
Agriculture and Reforestation – 696,316 196,966 – – – – 893,282
Total Planning and Development – 1,608,747 196,966 – – – – 1,805,713
Total Revenues
16,881,607
15,777,037
2,073,792
2,627,217
741,756
181,008
1,417,506
39,699,923
Consolidated Schedule of Segment Disclosure – Operating Expenses
Year ended December 31, 2023 Schedule 7
Wages & Benefits
Material Contracted Services Rent & Finance Charges
Amortization Inter-functional Transfers Total 2023
General Government 1,596,863 822,600 190,837 2,874 100,173 (361,154) 2,352,193
Fire 1,404,579 1,036,182 22,314 27,701 601,791 76,821 3,169,388
Police – 28,092 2,293,317 10,207 62,668 (33,456) 2,360,828
Other Protection Services 111,932 23,086 430,296 – 5,524 9,149 579,987
Total Protection Services 1,516,511 1,087,360 2,745,927 37,908 669,983 52,514 6,110,203
Transportation Services 2,677,091 2,242,121 1,072,232 32,263 1,893,742 (1,850,743) 6,066,706
Water 495,701 214,026 1,679,084 – 1,661,984 1,054,484 5,105,279
Waste Water 459,423 908,533 413,066 192,828 1,170,514 757,933 3,902,297
Storm Systems 89,659 181,811 174,401 – 264,080 262,450 972,401
Solid Waste and diversion 375 120,476 1,436,149 – 834 43,517 1,601,351
Total Environmental Services 1,045,158 1,424,846 3,702,700 192,828 3,097,412 2,118,384 11,581,328
Health Services – 4,846 89,991 – 13,350 4,004 112,191
Social and Family Services – 21,540 – – – 969 22,509
Parks and Recreation 1,085,462 431,335 120,320 19,000 320,744 (60,019) 1,916,842
Recreational Facilities 1,271,957 1,175,645 78,724 69,753 407,443 (61,592) 2,941,930
Golf Course 925,592 887,639 28,078 2,300 106,326 27,443 1,977,378
Libraries 16,454 674 – 4,894 14,764 36,786
Museum 275,726 115,109 860 – 25,927 21,558 439,180
Total Recreation and Culture services 3,558,737 2,626,182 228,656 91,053 865,334 (57,846) 7,312,116
Planning and Zoning 103,356 61,167 26,477 – 11,107 202,107
Commercial and Industrial 68,004 10,550 – – 9,920 6,254 94,728
Campgrounds 409,457 247,918 29,130 – 14,224 38,107 738,836
Agriculture and Reforestation 172,234 28,038 832,943 – 38,404 1,071,619
Total Planning and development 753,051 347,673 888,550 – 24,144 93,872 2,107,290
Total Expenses 11,147,411 8,577,168 8,918,893 356,926 6,664,138 – 35,664,536
Annual Surplus 4,035,387
Consolidated Schedule of Segment Disclosure – Operating Revenues
Year ended December 31, 2022 Schedule 8
Taxation User
Charges Government
Transfers Developer
Contributions Deferred
Revenues Gain (Loss) on
Sales of Assets
Other
2022
General Government
15,880,313
119,365
1,212,498
–
– –
646,262
17,858,438
Fire
– 3,780
6,144
– – – 14,789
24,713
Police – – 100,152 – – – – 100,152
Other Protection Services – 300,872 55,337 – – – – 356,209
Total Protection Services – 304,652 161,633 – – – 14,789 481,074
Transportation Services
–
645,807
2,314,281
2,716,486
–
18,894
–
5,695,468
Water
–
5,604,880
271,797
449,299
–
(32,723)
30,281
6,323,534
Waste Water – 3,139,208 – 494,391 – – – 3,633,599
Storm Systems – 17,955 – – – (19,234) – (1,279)
Solid Waste and diversion – 995,428 176,273 – – – – 1,171,701
Total Environmental Services – 9,757,471 448,070 943,690 – (51,957) 30,281 11,127,555
Parks and Recreation
–
249,479
16,259
–
9,645
–
146,485
421,868
Recreational Facilities – 406,235 – – – (347,471) 5,046 63,810
Golf Course – 1,850,562 34,155 – – – 34,000 1,918,717
Museum – 14,547 79,029 – – – 17,287 110,863
Total Recreation and Culture Services – 2,520,823 129,443 – 9,645 (347,471) 202,818 2,515,258
Planning and Zoning – 135,418 – – – – – 135,418
Commercial and Industrial – – – – – – – –
Campgrounds – 897,197 12,500 – – – – 909,697
Agriculture and Reforestation – 239,176 427,101 – – – – 666,277
Total Planning and Development – 1,271,791 439,601 – – – – 1,711,392
Total Revenues 15,880,313 14,619,909 4,705,526 3,660,176 9,645 (380,534) 894,150 –
39,389,185
Consolidated Schedule of Segment Disclosure – Operating Expenses
Year ended December 31, 2022 Schedule 9
Wages & Benefits
Material Contracted Services Rent & Finance Charges
Amortization Inter-functional Transfers Total 2022
General Government 1,483,439 969,923 127,487 2,714 96,434 (371,223) 2,308,774
Fire 1,047,169 778,657 158,569 51,530 596,579 100,394 2,732,898
Police – 22,134 2,331,634 11,503 61,729 (32,977) 2,394,023
Other Protection Services 101,351 25,065 413,847 – 5,524 9,615 555,402
Total Protection Services 1,148,520 825,856 2,904,050 63,033 663,832 77,032 5,682,323
Transportation Services 2,530,723 2,092,413 903,136 36,843 1,935,575 (1,585,086) 5,913,604
Water 470,819 360,768 1,605,723 – 1,550,094 985,331 4,972,735
Waste Water 368,845 922,994 520,518 223,916 1,172,411 556,920 3,765,604
Storm Systems 84,702 582,243 203,260 – 239,120 237,719 1,347,044
Solid Waste and Diversion 874 231,096 1,400,284 – 833 41,947 1,675,034
Total Environmental Services 925,240 2,097,101 3,729,785 223,916 2,962,458 1,821,917 11,760,417
Health Services – 28,513 55,899 – 13,350 2,779 100,541
Social and Family Services – 20,713 – – – 504 21,217
Parks and Recreation 768,414 398,176 170,008 14,009 276,684 (52,865) 1,574,426
Recreational Facilities 1,289,496 853,433 8,010 1,655 242,631 (40,011) 2,355,214
Golf Course 852,097 763,445 24,880 – 108,201 24,930 1,773,553
Libraries – 22,259 922 – 4,894 14,009 42,084
Museum 295,771 101,440 315 – 25,638 22,217 445,381
Total Recreation and Culture services 3,205,778 2,138,753 204,135 15,664 658,048 (31,720) 6,190,658
Planning and Zoning 103,426 38,773 174 – – 10,623 152,996
Commercial and Industrial 68,004 9,896 – – 9,920 9,379 97,199
Campgrounds 347,537 252,622 37,831 – 13,321 28,067 679,378
Agriculture and Reforestation 167,956 9,521 607,522 – – 37,728 822,727
Total Planning and development 686,923 310,812 645,527 – 23,241 85,797 1,752,300
Total Expenses 9,980,623 8,484,084 8,570,019 342,170 6,352,938 – 33,729,834
Annual Surplus 5,659,351
