The township is coming off a strong year with a strong financial standing in 2012, according to its financial statement released at the Sept. 9 council meeting.
The township sits with about $6.4 million in reserves and has been able to ensure taxes are collected on time and not left overdue, said accountant Matthew Venne of RLB LLP Charter Accountants and Business Advisors.
“Taxes receivable are down seven per cent. Your taxation revenue is up 4%,” the accountant said. “It shows you are collecting your taxes well.”
On the tax receivable side the 2012 figure translates into $1.3 million while the year prior it sat at $1.4 million.
Venne told council overall township expenses are also down about $2 million from 2011.
“It’s a good trend,” he said. “Your debt is not unhealthy.”
The decline in provincial and federal grants has meant the township has experienced a drop.
“You had $2 million extra last year for capital projects that wasn’t there this year,” he said of the changes from 2011 to 2012.
The township also holds a development charge reserve account of about $1.3 million, a figure according to Venne that is “not counted until used.” The development charge reserve is up from 2011 when it was $1.1 million.
The township’s tangible capital assets declined slightly from $117.6 million in 2011 to slightly more than $115 million in 2012. The assets include land owned by the township, its machinery and equipment, bridges, roads, water and sewer works.
Venne said the township is in good financial shape compared with other municipalities of a similar size.
“On a scale of one to 10 you’re in the top half,” he said.
The township also saw its long-term debt go down 11% from $11.4 million in 2011 to $10.1 million in 2012.
“We’re holding our own and putting a little in the bank,” Mayor Ray Tout said. “It’s nice to hear some good News for a change.”
The accountant urged council to plot a plan for capital work past the current tenure of council.
“You’re trending well,” he said. “You have to continue in the next five to 10 years.”
The township ended 2012 with a $219,000 surplus compared to a loss of $465,000 the year before.
“We are pleased that the financial trends, for the most part, are heading in the right direction,” newly appointed CAO and current treasurer Mikes Givens said. “We also recognize that there is still much work to do.”
