City of Kenora media release
Today, Council approved the 2019 Audited Consolidated Financial Statements. The City received an unqualified audit report and is financially stable.
The 2019 Financial Statements continue to reflect the healthy financial position currently enjoyed by the City of Kenora. The City continues to work to improve the current infrastructure deficit while maintaining an appropriate balance between services and property tax rates.
Highlights from the Consolidated Statement of Financial Position include:
- Cash and temporary investments on hand as at December 31, 2019 totalled $33.0 million;
- Investment in Synergy North Corporation totalled $10 million;
- In 2019 the City invested over $23 million in infrastructure and capital. This is a significant increase over recent years as the City took advantage of federal and provincial funding opportunities.
- The Kenora Citizens’ Prosperity Trust Fund balance was $28.1 million at the end of 2019 on the Consolidated Statement of Financial Position. The Trust Fund in fact has $40.9 million in investments. The difference arises because the City issued debentures to the Trust Fund to finance capital projects. The Canadian generally accepted accounting principles dictate that the Trust Fund be consolidated in the City of Kenora’s financial statements. As a result the investment in the Trust Fund and the corresponding debenture debt in the City are eliminated on consolidation. The debenture balance at year end is $12.9 million.
- The balance of the City’s reserves and reserve funds was $27.7 million at the end of 2019.
- The City’s accumulated surplus totals $242.2 million, (see tangible capital assets discussion below)
The City is required to include tangible capital assets in its accumulated surplus total. Therefore, the City’s Statements include assets like roads, bridges, water and wastewater networks, and City facilities and equipment to name just a few. The offsetting net investment in these assets is shown as a surplus on the City’s Consolidated Statement of Financial Position. The City’s surplus includes the Tangible Capital Assets recorded at cost less accumulated amortization. At the end of 2019, the investment in capital assets included in the City’s surplus is $176.4 million.
The City is also pleased to present the Consolidated Audited Financial Statements as part of its Annual Report. This Report will be available to the public for viewing along with the Auditors Report on August 26, 2020, both on the City’s website, as well as at the front desk at City Hall and the Library. This Report has been developed to provide users with some additional information about the City in conjunction with the Consolidated Audited Financial Statements.
Charlotte Edie CPA CA, Treasurer (807) 467-2013