Current Temperature

-4.4°C

March 29, 2024 March 29, 2024

Residents get look into M.D. financials at AGM

Posted on May 4, 2016 by Taber Times

By Greg Price
Taber Times
gprice@tabertimes.com

Ratepayers got an inside look to the M.D. of Taber’s financial statements, thanks to the auditor’s report that was issued at the M.D. of Taber annual general meeting recently at the Heritage Inn.

Mitch Stevenson, a representative with KPMG Chartered Professional Accountants, was on hand to present the financial statements for the M.D. of Taber year end Dec. 31, 2015.

The accumulated surplus for the M.D. has increased nearly $8.5 million dollars at the end of the year of 2015 compared to 2014.

“That is mainly the result of an increase net financial in non-financial assets by roughly $10 million and a decrease in net financial assets of about roughly $1.5 million,” said Stevenson.

There was a decrease of $2.5 million in cash and temporary investments to $22,516,207 in 2015.

“Mainly that decrease was due to the result of the purchasing of a gravel pit by the M.D.,” said Stevenson. “That is corroborated through the non-financial assets inventory for consumption which increased by roughly $3 million dollars because of the purchase of that gravel pit.”

“You have to realize that these statements are done in December, so we still have until November (the following year in 2016), where basically we still have most of our year to get through on that banked amount. It certainly looks a lot different in November than it does in December,” added Brian Brewin, reeve for the M.D. of Taber.

The M.D. of Taber saw an increase in total revenue of about $555,000 dollars due to an increase in municipal property taxes. Total expenses increased in 2015 by about $1.5 million due to expanded work on roads, streets, walks and lighting.

The M.D. of Taber still managed to have an approximate increase of $8,430,000 accumulated surplus in 2015, due mainly to the transfer of land.

“During the year, the Municipal District of Taber received land from the province, roughly in the amount of $4.6 million. That is not cash, just a transfer of land. There was also government transfers of capital of roughly $3 million and that’s funding received by the M.D. of Taber that was spent for capital purchases,” said Stevenson.

Stevenson proceeded to key on what he noted is one of the most important financial statements in the consolidated statement of cash flows. There was a decrease of nearly $2 million in cash provided by operating transactions ($5,228,239) in 2015 which Stevenson attributed to the purchase of a gravel pit.

The financial statements included a glimpse of the net book value of tangible capital assets the M.D. of Taber possesses which saw an increase of about $8 million to $93,580,367 due to the gravel pit purchase, transfers of land, new construction, etc. The value was broken into land ($24,458,179), land improvements ($1,660,888), buildings ($1,485,143), engineered structures ($55,201,075), machinery and equipment ($8,028,935), and vehicles ($2,746,147).

For schedule of property and other taxes, the M.D. collected $20,794,268 in property taxes levied with requisitions for the Alberta School Foundation Fund, Holy Spirit School Division and Taber seniors Foundation totaling $5,449,048 to make net municipal taxes for 2015 at $15,363,402.

“You’ll see your property tax levies have increased from 2014 along with the various requisitions paid for the various organizations,” said Stevenson.

The slowdown in the economy shows up in the government transfers to the M.D. of Taber, showing more than $300,000 less for operating to $1,520,351, while being nearly even for provincial/federal transfers for capital at $3,047,010. On the schedule of consolidated expenses which totaled $19,408,806 in 2015, up from $17,803,145 in 2014, $6,393,470 came from salary, wages and benefits, a rise of $800,000. For 2015 M.D. councillors saw salaries/benefits paid out from a low of $27,293 for Division 1 to a high of $45,246 in Division 4. The municipal administrator took in a salary/benefits of $208,840. Other big-ticket items that made up the lion’s share of the consolidated expenses includes materials, goods, supplies and utilities ($4,579,355), and amortization of tangible capital assets ($4,074,918).

Leave a Reply

Get More The Taber Times
Log In To Comment Latest Paper Subscribe