Fernie City Council held their ninth regular Council Meeting of the year on May 9. At the meeting, Gerald Price from GPI Accounting, reviewed the City’s 2015 financial highlights.
According to Price, the City earned more revenue than anticipated, bringing in $17 million. The budget was for $14.6 million, making a revenue surplus of $2.4 million.
“The higher revenue was due to higher developer contribution,” read Price from a statement.
Along with higher revenue, the City also had lower than projected expenditures. The budget was for $12.4 million in expenses, but the final total was $11.9 million, saving half a million dollars.
Price reported the City’s tangible capital assets increased by over $3.3 million. Capital assets include work to roads, street reconstruction, building and equipment acquisitions, along with work on the water and sewer systems.
The City’s long-term debt was decreased by $109,000, which leaves a balance of $1,045,000. Price concluded the City’s cash and temporary investments increased by over $2.2 million from 2014, with a total of just under $16 million. Along with this, the annual surplus for 2015 was over $5 million. Since incorporation, the City of Fernie has a cumulative surplus of over $84 million, and $74 million of that is invested in capital assets.
Council also voted in favour of adopting the 2016-2020 Financial Plan. The plan, which has been in the works since December 2015, went through two public processes, including the Tax Talk Survey and a Town Hall meeting. It details the City’s budget and spending expectations for the next five years and, by law, had to be voted on by May 16.
Councillor Phil Iddon was the only council member opposed to adopting the Financial Plan.