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HomeMy Public PortalAbout2009 Financial StatementsCORPORATION OF THE MUNICIPALITY OF TWEED CONSOLIDATED FINANCIAL STATEMENTS December 31, 2009 Welch LLP fln Iudcpcndcnt Mcxnbu of BKII International elch LLP AUDITORS' REPORT To the Members of Council, Inhabitants and Ratepayers of the Corporation of the Municipality of Tweed We have audited the consolidated statement of financial position of the CORPORATION OF THE MUNICIPALITY OF TWEED as at December 31, 2009 and the consolidated statements of operations and accumulated surplus, change in net financial liabilities and cash flows for the year then ended. These financial statements are the responsibility of the Corporation's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we plan and perform an audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. In our opinion, these financial statements present fairly, in all material respects, the financial position of the Corporation as at December 31, 2009 and the results of its operations, change in net financial liabilities and cash flows for the year then ended in accordance with Canadian generally accepted accounting principles. Belleville, Ontario CHARTERED ACCOUNTANTS January 24, 2011 LICENSED PUBLIC ACCOUNTANTS Welch LLP — Chartered Accountants 525 Dundas Street East, Belleville, Ontario KSN 104 T: 613 966 2844 F: 613 966 2206 W: www.welchllp.com An Independent Member of BKR International Belleville 1 Campbellford I Cornwall J Gatineau I Napanee I Ottawa I Pembroke I Picton 1 Renfrew Trenton CORPORATION OF THE MUNICIPALITY OF TWEED CONSOLIDATED STATEMENT OF FINANCIAL POSITION DECEMBER 31, 2009 2009 2008 FINANCIAL ASSETS Cash - note 4 $ 2,997,850 $ 3,315,692 Taxes receivable 1,005,352 830,087 Accounts receivable 811,811 613,950 Long-term receivable - note 5 46,835 64,826 4,861,848 4,824,555 LIABILITIES Accounts payable and accrued liabilities 139,242 412,559 Accrued liability - Waste Disposal closure - note 6 300,000 300,000 Deferred revenue 5,609 219,604 Long-term debt - note 7 36,798 64,167 481,649 996,330 NET FINANCIAL ASSETS NON -FINANCIAL ASSETS Tangible capital assets - note 1, schedule 1 4,380,199 3,828,225 20,919,105 19,594,224 ACCUMULATED SURPLUS - note 9 $25,299,304 $23,422,449 Approved by Council: /1 n,4 Reeve CAO/Clerk (The accompanying notes are an integral part of these financial statements) Welch LLP An Independent Member of BIER International CORPORATION OF THE MUNICIPALITY OF TWEED CONSOLIDATED STATEMENT OF FINANCIAL OPERATIONS YEAR ENDED DECEMBER 31, 2009 REVENUE Municipal taxation Taxation from other governments Grants User charges Investment income Penalty and interest on taxes Other EXPENDITURE General government Protection to persons and property Transportation services Environmental services Recreation and cultural services Planning and development Total Expenditures NET EXPENDITURES 2009 Budget (unaudited) $ 2,048,099 42,200 2,154,737 827,760 42,652 112,000 77,579 5,305,027 2009 Actual $ 2,121,872 25,696 2,417,590 870,471 22,082 121,431 425,241 2008 Actual $ 1,816,771 34,672 1,994,248 866,456 99,832 114,226 157,146 6,004,383 5,083,351 739,439 811,110 724,515 1,104,444 1,164,662 1,057,183 2,689,768 2,644,012 2,690,282 774,322 760,427 697,985 465,507 437,938 469,457 8,752 660 440 5,782,232 5,818,809 5,639,862 (477,205) OTHER INCOME AND EXPENSES RELATED TO CAPITAL Municipal taxation for capital purposes Government transfers: Canada Ontario ANNUAL SURPLUS ACCUMULATED SURPLUS, ACCUMULATED SURPLUS, beginning of year end of year 1,148,901 366,667 406,667 1,922,235 1,445,030 185,574 (556,511) 1,148,901 1,297,593 271,190 423,662 271,190 2,393,520 1,691,281 4,114,775 1,876,855 3,558,264 23,422,449 23,422,449 19,864,185 $24,867,479 $25,299,304 $23,422,449 (See accompanying notes) Welch L,Le An Independent }(mber of BKR International CORPORATION OF THE MUNICIPALITY OF TWEED CONSOLIDATED STATEMENT OF CHANGE IN NET FINANCIAL ASSETS DECEMBER 31, 2009 ANNUAL SURPLUS Amortization of tangible capital assets Acquisition of tangible capital assets CHANGE IN NET FINANCIAL ASSETS NET FINANCIAL ASSETS, beginning of year NET FINANCIAL ASSETS, end of year 2009 Budget (unaudited) $ 1,453,141 1,050,000 (3,278,637) (775,496) 3,828,225 $ 3,052,729 (See accompanying notes) 2009 Actual $ 1,876,855 1,216,311 (2,541,192) 551,974 3,828,225 $ 4,380,199 2008 Actual $ 3,558,264 1,032,512 (5,140,106) (549,330) 4,377,555 $ 3,828,225 Welch L_LLP An Independent Member of 13KR Luernaiional CORPORATION OF THE MUNICIPALITY OF TWEED CONSOLIDATED STATEMENT OF CASH FLOWS YEAR ENDED DECEMBER 31, 2009 2009 2008 Actual Actual OPERATING Annual surplus $ 1,876,855 $ 3,558,266 Non -cash charges to operations: Amortization 1,216,311 1,032,510 Changes in: Taxes receivable (175,265) (81,607) Accounts receivable (197,861) 428,364 Long-term receivables 17,991 (49,041) Accounts payable and accrued liabilities (273,317) 260,147 Deferred revenue (213,995) 72,095 2,250,719 5,220,734 CAPITAL Acquitision of tangible capital assets (2,541,192) (5,140,106) FINANCING Repayment of long-term debt NET CHANGE IN CASH AND EQUIVALENTS CASH AND CASH EQUIVALENTS, beginning of year CASH AND CASH EQUIVALENTS, end of year (See accompanying notes) (27,369) (31,880) (317,842) 48,748 3,315,692 3,266,944 $ 2,997,850 $ 3,315,692 Welch n ,_LP An indepentierAt Member of BKR International CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 The Corporation of the Municipality of Tweed is a municipality in the Province of Ontario and operated under the provisions of the Ontario Municipal Act. 1. SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements of the Corporation of the Municipality of Tweed are the representation of management prepared in accordance with accounting policies prescribed for local governments, as recommended by the Public Sector Accounting Board of the Canadian Institute of Chartered Accountants. Significant aspects of the accounting policies adopted by the Corporation are as follows: Reporting Entity The consolidated financial statements reflect the assets, liabilities, revenues, expenditures of the reporting entity. The reporting entity is comprised of all organizations and enterprises accountable for the administration of their financial affairs and resources to the Corporation and which are owned or controlled by the Corporation. In addition to general government tax -supported operations, they include the following: The Corporation of the Municipality of Tweed Public Library Board Interdepartmental and organizational transactions and balances are eliminated. Accounting for County and School Board Transactions The assets, liabilities, revenues, and expenditures with respect to the operations of school boards and the County of Hastings are not reflected in these consolidated financial statements. Trust Funds Trust funds and their related operations administered by the Corporation are not reflected in these consolidated financial statements, but are reported separately on the "Trust Funds Balance Sheet and Statement of Continuity". Basis of Accounting Revenues and expenditures are reported on the accrual basis of accounting. The accrual basis of accounting recognizes revenues as they become available and measurable. Expenditures are recognized as they are incurred and measurable as a result of a receipt of goods or services and a creation of a legal obligation to pay. Deferred Revenue The Corporation receives contributions under the authority of provincial legislation and funding agencies. These funds, by their nature, are restricted in their use, and, until applied to applicable projects, are recorded as deferred revenue. Amounts applied to projects are recorded as revenue in the fiscal period in which they are expended. Reserves and Reserve Funds Certain amounts, as approved by Council, are set aside in reserves and reserve funds for future operating and capital expenditures. Transfers to, or from, reserves and reserve funds are an adjustment to the respective fund when approved. Welch LLP An Iodcpcndcnt Member of 13KR lnterna& nal CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 1. SIGNIFICANT ACCOUNTING POLICIES (continued) Government Transfers Government transfers are recognized as revenues or expenditures in the year that the events giving rise to the transfer occurred, provided the transfer is authorized, eligibility criteria, if any, have been met by the recipient, and a reasonable estimate of the amount can be made. Use of Estimates The preparation of consolidated financial statements in conformity with accounting policies for local governments, as recommended by the Public Sector Accounting Board of the Canadian Institute of Chartered Accountants requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Taxation and Related Revenues Property tax billings are prepared by the Corporation based on assessment rolls issued by the Municipal Property Assessment Corporation ("MPAC"). Tax rates are established annually by Council incorporating amounts to be raised for local services and amounts the Corporation is required to collect on behalf of Hastings County for general and library purposes and the Province of Ontario in respect of education taxes. Realty taxes are billed based on the assessment rolls provided by MPAC. Taxation revenues are recorded at the time tax billings are issued. A normal part of the assessment process is the issue of supplementary assessment rolls that provide updated information with respect to changes in property assessment. Once a supplementary assessment roll is received, the Corporation determines the taxes applicable and renders supplementary tax billings. Assessments and the related property taxes are subject to appeal. Any supplementary billing adjustments made necessary by the determination of such changes will be recognized in the fiscal year they are determined and the effect shared with the county and school boards as appropriate. Non -Financial Assets Non -financial assets are not available to discharge existing liablilites 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. The change in non -financial assets during the year, together with the annual surplus or deficit, provides the Change in Net Financial Assets for the year. 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 is amortized on a straight-line basis over their estimated useful life as follows: Welch LLP An Independent Member of BKR International CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 1. SIGNIFICANT ACCOUNTING POLICIES (continued) Tangible Capital Assets a) Asset Categories and Estimated Useful Land Buildings Vehicles Equipment Transportation Bridges and other structures Roads Sidewalks Waste and wastewater networks Underground networks Life not amortized 40 years 10 years 5 to 10 years 20 to 75 years 10 to 70 years 40 years 50 years No annual amortization is charged in the year of acquisition and in the year of disposal. Assets under construction are not amortized until the asset is available for productive use, at which time the costs are transferred to the appropriate asset category. (b) Contribution of Tangible Capital Assets Tangible capital assets received as contributions are recorded at their fair value at the date of receipt and also are recorded as revenue. Similarly, transfer of assets to third parties are recorded as an expense equal to the net book value of the assets as of the date of transfer. Use of Estimates The preparation of consolidated financial statements in conformity with Canadian generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from those estimates. 2. ACCOUNTING CHANGES Effective January 1, 2009, The Corporation changed its accounting principles to comply with the accounting principles for municipal governments established by the Canadian Institute of Chartered Accountants. Public Sector Accounting Handbook (PSAB) Section 1000 (Financial Statement Concepts), Section 1100 (Financial Statement Objectives) and Section 1200 (Financial Statement Presentation) which have replaced Sections 1700 (Objectives of Financial Statements) and 1800 (General Standards of Financial Statement Presentation), set out definitions of assets, liabilities, revenues and expenses, the scope of activities to be included in a government's financial position and results, reporting net debt, the change in net debt, statement of operations and information about non -financial assets. Welch TIP An Independent Member of BET. International CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 2. ACCOUNTING CHANGES (continued) Effective January 1, 2009, the Corporation adopted PSAB Handbook Section 3150 (Tangible Capital Assets), which establishes new standards for the measurement and disclosure of Tangible Capital Assets. It requires tangible capital assets to be measured at historical cost less accumulated amortization, provides guidance on when conditions indicate that a tangible capital asset should be written down and how to account for the disposal of tangible capital assets. The Corporation's financial statements have been prepared to comply with the provision of these Sections. Prior year data has been restated on the same basis wherever possible, to be comparable with current year's presentation. 3. FINANCIAL INSTRUMENTS The Corporation's financial instruments consist of cash, taxes receivable, trade and other receivables, long-term investments, accounts payable and accrued liabilities, deposits and municipal debt. Unless otherwise noted, it is management's opinion that the Corporation is not exposed to significant interest rate, currency or credit risks arising from these financial instruments. 4. CASH The balance of cash consists of the following: Undesignated cash Designated under Federal gas tax agreement Designated under the Planning Act - Parkland Deferred revenue 2009 $ 2,318,088 664,916 14,846 $ 2,997,850 2008 $ 2,666,960 364,589 70,149 213,994 $ 3,315,692 Cash received under the Federal Gas Tax agreement is restricted for expenditures on environmentally sustainable infrastructure. Cash raised under the Planning Act regarding Parkland is restricted for capital costs for the acquisition of land or other capital expenditures for park or other recreational purposes. Cash received under deferred revenue is restricted for capital costs for water services and other recreational facilities. Welch lie An Independent Member of 13KR International CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 5. LONG-TERM RECEIVABLE The balance of long-term receivable consists of the following: 2009 2008 MORTGAGE RECEIVABLE due January 15, 2018; repayable in monthly instalments of principal and interest in the amount of $857. Interest is calculated at the prime lending rate as established by the Bank of Montreal plus 1%. The mortgage is secured by the property located at 13 Bridgewater Road, Actinolite, Ontario Tile drainage and shore -line property assistance loans receivable 6. ACCRUED LIABILITY - WASTE DISPOSAL CLOSURE $ 38,453 $ 54,783 8,382 10,043 $ 46,835 $ 64,826 The Ontario Environmental Protection Act sets out the regulatory requirements to properly close and maintain all active and inactive landfill sites. The estimated liability for these expenditures is based on the cumulative capacity used to date, compared to the total estimated landfill capacity. 7. LONG-TERM DEBT The balance of long-term debt consists of the following: Debentures Lien notes payable - Chrysler Financial and GMAC; repayable in monthly instalments of principal and interest of $2,214. Interest is calculated at rates of 0% - 1.9% and the notes are secured by specific automotive units. 2009 2008 $ 8,382 $ 10,043 28,416 54,124 $ 36,798 $ 64,167 Outstanding debentures of $8,382 (2009 - $10,043) are recoverable through special charges levied directly on ratepayers. Outstanding debentures have a maturity date of December 31, 2015, bearing interest at 8%. Principal repayments over the next five years are estimated to be as follows: 2010 $ 22,611 2011 9,481 2012 1,076 2013 1,141 2014 1,206 Welch LLP An Independent Mtn -thee of BKR Tntnrnatinmd CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 8. OPERATIONS OF SCHOOL BOARDS AND THE COUNTY OF HASTINGS Further to note 1, the taxation, other revenues and expenditures of school boards and the County of Hastings are comprised of the following: Taxation $ Taxation from other governments 2009 School Boards County 2008 School Boards County 1,085,237 $ 1,302,263 $ 1,045,576 $ 1,221,553 5,275 10,655 7,182 13,288 Amounts received or receivable 1,090,512 1,312,918 Requisition 1,090,512 1,312,918 $ $ 9. ACCUMULATED SURPLUS The accumulated surplus position is comprised of the following: Equity in tangible capital assets Less: related debt Reserves and reserve funds - schedule 2 Amounts to be recovered Landfill closure and post closure costs Unrestricted surplus (deficit) Municipality of Tweed Municipality of Tweed Public Library Board 10. SEGMENTED INFORMATION 1,052,758 1,052,758 2009 $ 20,919,105 (28,416) 20,890,689 4,513,192 (300,000) 172,506 22,917 1,234,841 1,234,841 $ 2008 $19,594,224 (54,124) 19,540,100 3,882,349 (300,000) 277,608 22,392 $25,299,304 $23,422,449 Municipal services are provided by departments. Certain departments that have been separately disclosed in the segmented information, along with the services they provide, are as follows: Welch LIT An Indcpcndent Member of IIKR International CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 10. SEGMENTED INFORMATION (continued) General Goverment General government is comprised of council, chief administrative office (CAO/Clerk) department, and Treasury department. A municipal council is the ultimate authority, subject to provincial law, for all actions taken on behalf of the municipal corporation in that it exercises both executive and legislative roles. It fulfills its role by making policies in accordance with the wishes and concerns of the general public, subject to provincial laws, policies and directives. Council plays a managerial role by monitoring ongoing administrative performance and ensuring the best care of resources. The CAO/Clerk is responsible to municipal council for the general control and management of the affairs of the municipality as prescribed by municipal council. The CAO/Clerk, as head of the corporation's civic administration, provides leadership and direction to the Senior Management team, co-ordinates the administrative functions of the Corporation and exercises general management and control of Municipal operations. The CAO/Clerk ensures coordinated responsive services are delivered to the Municipality's residents and businesses in accordance with the approved policies and directions along with providing the following services: birth and death registrations, marriage, lottery and taxi licensing, commissioning oaths, Municipal by-laws and minutes. The Treasury department is responsible for the administration of taxes, accounts payable and receivable, financial statements and all other financial information and reporting for the Municipality. Protection to Persons and Property Protection to persons and property is comprised of police services, fire services, and by-law enforcement. Police services are provided by the Ontario Provincial Police whose mandate is the safety of lives and property of citizens to, preserve peace and good order, prevent crimes from occurring, detect offenders and enforce the law, Fire Services are provided to the Municipality by volunteer firefighters. By-law enforcement is committed to serve, protect and provide a desired quality of life for citizens and visitors to the Municipality through education to raise awareness of community standards, and enforcement of Municipal by-laws to ensure timely compliance with a professional, unbiased approach. Transportation Services The public works department is responsible for the delivery of municipal public works services related to the planning, development and maintenance of roadway systems, storm water management and street lighting. Environmental Services The Municipality contracts with Dave Moore & Sons for the collection and disposal of household and commercial solid waste within the village of Tweed. The Municipality contracts with Quinte Waste Solutions for the collection of household recycling. The Municipality owns and operates two landfill sites within the Municipal limits. The Municipality contracts with Ontario Clean Water Agency for the management of municipal drinking water and sanitary sewer systems. Welch [ LP An Indepenrlenr \Member of BKR Intornationai CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 10. SEGMENTED INFORMATION (continued) Recreation and Cultural Services The Parks and Recreation department is a social service with its purpose: to assist individual and community development to enhance social functioning and to improve the quality of life. The Parks and Recreation department provides accessible recreational programs including aquatics, minor ball and skating and operates Municipal facilities, including community halls, arenas, parks, ball diamonds and soccer fields. Planning and Development The Municipality of Tweed, the Township of Stirling-Rawdon, the Town of Deseronto and the Township of Tyendinaga have entered into an agreement for joint building services. The joint building services agreement carne into effect April 1, 2005. Building services is responsible for all economic development, building and planning matters, including the issuance of building permits, land severance and minor variance applications, applications for official plan amendments and zoning by-law amendments, site plan control and subdivision matters and property standards inspections. Tweed Public Library Tweed Public Library contributes towards the information needs of the Municipality's citizens through the provision of library services. 11. PENSION AGREEMENTS The Corporation makes contributions to the Ontario Municipal Employees Retirement Fund (OMERS), which is a multi -employer plan, on behalf 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 rate of pay. The amount contributed to OMERS for 2009 was $55,623 (2008 - $39,105) for current service and is included as an expenditure on the "Consolidated Statement of Financial Operations". 12. BUDGET FIGURES Budgets established by the Corporation are based on a project oriented basis, that costs of which may be carried out over one or more years. Although they are not directly comparable with current year actual amounts, budget figures have been reflected on the "Consolidated Statement of Financial Operations" and the "Consolidated Statement of Change in Net Financial Assets". Budget figures have been reclassified for the purpose of these financial statements to conform with PSAB reporting requirements. Welch LLP An Tndoyond,nt Member of BKR Tnrernauonai CORPORATION OF THE MUNICIPALITY OF TWEED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED DECEMBER 31, 2009 13. PRIOR YEAR ADJUSTMENTS The Corporation has restated the 2008 comparative figures to comply with the provisions of Section PS 1200 and PS 3150 of the Public Sector Accounting Board Handbook. The following summarizes these adjustments: Tangible Opening Annual Capital Accumulated Surplus Assets Surplus (Deficit) As previously reported $ $ 4,377,555 $ (549,330) Adjustments Cost 28,838,070 Accumulated amortization (13,357,440) Net book value of tangible capital assets - 15,486,630 Tangible capital assets previously expensed 5,140,106 Amortization - {1,032,512) $15,480,630 $19,864,185 $ 3,558,264 Welch LLP An Independent Member of BKR International CORPORATION OF THE MUNICIPA LITY OF TWEED SCHEDULE 1 - CONSOLIDATED STATEM ENT OF TANGIBLE CAPITAL ASSETS DECEMBER 31, 2009 GENERAL La nd INFRASTRUCTURE TOTALS Assets Plants Under a nd Buildings Vehicles Equipment Other Construction Facilities Roads Unde rground Bridge s and Other and Other Networks Stru ctures 2009 COST Balance, beginning of year $ 1,159,712 $ 1,842,674 $ 2,116,893 $ 837,875 $ 133,401 $ 5 2, 955,070 2 14,679,069 $ 2.921,849 5 7,131,633 $ 33,978,176 Additions during year 138,556 724,349 16,003 44,011 9,995 3,344 1,065,114 292,835 246,984 2 .541,152 Disposals during year - - - Balance, end of year ACCUMULATED AMO RTIZATION Balance, beginning of ye ar Amortiz ation during year Accu mulated amortization on disposals Balance. end of year Nat B ook V alue at Tangible Capital A ssets 1, 298,2668 2,567,023 2,132,896 881,886 143,396 3,344 2,955,070 15,944,183. 3,214,685 7,378,617 980,208 974,278 2.87.857 55.205 - 916,014 9,082,562 694,933 1,392,895 53,214 152,069 51,865 14,763 - 98,502 676,262 53,936 115,740 36,519,358 14;383,952 1 .216,311 1,033,422 1,126,347 339,722 69,968 1,014,516 9,758,824 748,869 1,508,595 15,600,263 1,298,268 $ 1,533,601 $ 1,006,549 $ 542,164 $ 73,428 $ 3,344 $ 1,940,554 $ 6,185.359 $ 2,465,816 $ 5,870,022 $ 20,919,105 December 31, 2006 GENERAL INFRASTRUCTURE TOTALS Assets Plants Under and Land Buildings Vehicles Equ ipment Other Construction Facilities Roads Underground Bridges and Other and Other Networks Str uctures. COST Balance, be ginning of yea r $ 1,159,712 5 1,711,264 3 1,845,156 S 656,606 $ 116,272 $ $ 2 ,896 ,036 $ 12,483,160 $ 2,457,587 5 5,512,277 Additions during year 131,410 271,736 181,270 17,129 - 59,035 2,395,908 464,262 1,619,356 Disposals during year - - - - - Balance, e nd of year 1,159,7 12 1,842,674 2.116,892 837,876 133,401 2008 28,838 ,070 5,140,106 2,955,071 14,879,068 2,921,849 7,131,633 33,978,176 ACCUMULATED AMORTIZATION. Balance, beginning of year 948, 388 849,382 245, 646 41,990 - 819,479 8,484,381 558,860 1,303,214 Amortization during year 31,820 124.896 42;211 13,215 96,535 598,181 35,973 89,681 Accumulatedamortization on dtsposals - - - Balance, end of year 13,351 ,440 1,032,512 980,208 974,278 287,857 55,205 - 916,014 9,082,562 694,933 1,392,895 14 .383,952 Net Book Value of Tan gible Capita! Assets $ 1,155,712 $ 862,466 $ 1,142,614 5 550,019 5 78,196 6 $ 2,039,057 $ 5,796,506 $ 2,226,916 $ 5,738,738 $ 19,594,224 An Indepe nd ent M emb er of BTC R Tater nation al CORPORATION OF THE MUNICIPALITY OF TWEED SCHEDULE 2 - CONSOLIDATED SCHEDULE OF CONTINUITY OF RESERVES AND RESERVE FUNDS December 31, 2009 Rev enue Co ntributions Tran sfe rs Balance, Interest on beginning Rese rve From of year Funds Operations Total To Balance, To Capital End of Operations Acqu isitions Tota l Year Res erv e Funds Waste Site reclamation $ 681,119 $ 1,294 $ 96,582 $ 778,995 $ $ 76, 700 $ 76,700 $ 702,295 Roads 47,008 134 8,906 56,048 - 56,048 Park la nds 70,149 117 25,291 95,557 80,711 - 80,711 14,846 Village infrastructure 677,683 3,782 681,465 87,300 87,300 594,165 G as tax 364,589 5,425 311,054 681,068 16,152 16,152 664,916 Libra ry 20,112 74 12,130 32,316 - - 32,316 1,860,660 10,826 453,963 2,325,449 184,163 76,700 260,863 2,064,586 Res erv es Capital asset acquisitio n 264,803 264,803 Working capital 1,001,996 1,001,996 Con tingencie s 150,000 150,000 Roads 25,000 25,000 Water and se wer 250,000 250,000 Municipal building expenditure 71,821 - 71,821 Capital acquisitions - Fire 61,600 - 45,000 106,600 Capital acquisitions - Arena 6,300 21,000 27,300 Fire 11,269 - 11,269 Heritage 30,000 30,000 Library 40,000 - 10,000 50,000 Pool 70,000 70,000 Parks 38,900 - 5,000 43,900 Public works - Equipment - 150,000 150,000 Transpo rtatio n - Clement's Bridge 359,167 359,167 Library - building - - 104,166 104,166 Transpo rtation - Maribank ro ad - 175,834 175,834 264,803 316,800 316,800 685,196 150,000 25,000 250,000 59,500 59,500 12,321 106,600 27,300 7,470 - 7,470 3,799 30,000 50,000 40,000 40,000 30,000 19,480 19,480 24,420 150,000 359,167 104,166 175,834 2,021,689 870,167 2,891,656 7,470 435,780 443,250 2,448,606 Tota l $ 3,882,349 $ 10,826 $ 1,324,130 $ 5,217,305 $ 191,633 $ 512,480 $ 704,113 $ 4,513,192 An Ind ependent Member of I3K R Internatinnal REVENUES CORPORATIO N OF THE MUNICIPALITY OF TWEED SCHED ULE 3 - CONSO LIDATED SCHEDULE OF SEGMENT D ISCLOSURE STATEMENT OF O PERATION S DECEMBER 31,20419 BUD GET G ENERAL. PROTECTION T AN SPORTATION ENVIROMF.NTAL RECRE ATION AND PLANNING AND TWEED PUBLIC ELIMINATIONS CONSOLID ATED GOV ERNMENT SERV ICES SERVICES SERVICES CULTURAL DEVELOPM ENT LIBRARY SERVICES BOAR D Municipal Taxation $ (725.9651 5 889.525 9 1,648.434 $ (10. 670) $ 252.075 $ (5,300) $ - $ - 2.048,099 Tax atio n fr om other go vern ments 42,200 42,200 Gov ernment Transfe rs Government ofCanada 328#280 32.983 900 2 ,102 364,265 Province of O ntario 1.600,400 138,200 32,983 - - 18,889 - 1,790,472 Other Mun icipa lities - - - - - 70,452 (70,452) U ser charges 16,51)) 6;000 45,000 621,000 135,200 5,400 650 (6,000) 827,760 Investment Income 4101)0 652 43.652 Pen alty and interest on taxes 112,000 - - - - 112.000 D evelo pmen t charges - - 8,000 R.nlIO Donations - - 3.650 - 3-650 Miscellaneous 47,700 7,0{)0 - - 11,229 65 ,929 1.465.125 1,042,725 1.759,400 616,330 388,175 8 ,752 106,972 (76,452) 5-305 ,027 CURRENT - EXPENDITURES Salaries wages and emplo yee benefits In terest on Zone -lean debt Materials and Supplies Contracted se rvices and general serv ices R ents and Fin anc ial Expen ses External Transfers Amo rtization 424. 120 128. 310 616,500 181,960 175.700 301.900 920. 860 1,105, 400 185,370 140,475 793.555 37,500 243,000 - - - - 72,000 13,419 61,719 930, 368 163,992 35,097 739.439 1,104.444 2,689,768 774 ,322 423,272 725,686 $ (61,719) $ (930,368) $ (163,992) $ (35,097) $ 79,011 - 1.61}5 ,601 652 - 652 1.200 21,961 1,677,166 1,074.1755 6.nn)i (6.00n) - 6 ,900 (70.452) 8,448 11,715 - 1,216,310 8 .752 118,687 (76,452) 9,782,23.2 (11,715) $ $ (477 ,2{15) An Ind ependent Member of BKR International REVENUES CORPORATION OF THE MUNICIPALITY OF TWEED SCH EDULE 3 - CONSO LIDATED SCHEDULE OF SEGMENT DISCLOSUR E STATEMENT OF O PERATIO NS DECEMBER 31, 20119 ACTUAL GENERA L PROTECTIO N TANSPORTATIO N ENVIROMENTAL RE CREATION A ND PLANNING AND TWEED PUBLIC 17_IMINATIONS CONSOLIDATED GO VERNMENT SERVICES SERVICES SERVICES CULTURAL DEVELOPMENT LIBRARY SERVICES BO ARD Municipal to anon S (655. 1191 9 889,525 9 1.650.134 $ (9.373) $ 252;075 .$ (5,3110) $ $ - 11 2.121.972 Taxation from other gnre rnmcrts 25.696 - - - 25,690 Govern men I Transfers Gov ernment of Canada 1,36$ - 2711.269 533 33 - 1 ,140 326,116 Pro vin ce o (On€ario 1.6[(74011 138,2110 87.917 40,000 65,858 - 13.176 1,945.551 Olhermunic ipalitie s - - 145.929 - 72:000 (72.11017) 145.929 Us rr nharees 6,)1(0 4.0(18 64, 436 644,042 L57,31)2 - 641 !6,99(1) 970.471 Invest went Income 20.486 - - 652 944 22 .1182 Penally and intergsl Inn taus 121.431 - - - - 121 .431 Don ations - - 268,944 - 5.257 - 2742111 Miscellaneous I22,509. 5,935 - 5,859 1,773 11 .785 3.911 15L040 1.242. 79(1 1.937.660 2.218.735 679,727 799,285 7,137 97,139 (78,0110) 6.1(14 .393 CURRENT - EXPEND ITU RES Salaries pr ates and employer benefits Interest on long-term debt Materials and Supplies Co ntracted service s and general se rvices Rents and Financial Es penseS External Tr ansfers Inlerfuncti anal adjustments Anvil 405.535 134.748 632, 726 180.486 167 .285 - 8(1:$99 - 1 .601,219 - 223 - - 6752 - - 675 397,156 128,547 1,045.5111 177.288 206,146 66(1 8 .806 (72.111)0) 1 .897,1114 838.996 _35,194 238,661 - - 1,1 12.151 6,808 (671(11]) 13;419 61,719 930, 368 163.992 35,097 - 1 L715 - 1 ,216.319 811,110 1,164. 9111 2,644. 012 760,427 . 498,528 1 ,312 107.4111 (78,(190) 5.818,9119 431. 59(1 $ (126.35(1) $ (425. 277) $ (80,700) $ 390.757 $ 5,825 $ (10171) $ 185.574 V Re ven ues CORPORATION OF THE MUNICIPALITY OF TWEED SCH EDULE 3 - CONSOLIDATED SCHEDULE OF SEG MENT DISCLO SURE STATEMENT OF OPERATIONS DECEMBER 31, 2098 ACTUAL GENERAL PROTECTION TANSPORTATIO N ENVIROMENTA L RECREATION AND PLANNING AN D TWEED PUBLIC ELIMINATI ONS CONS OLID ATE D (GOVERNMENT SERV ICES SERVICES SERVICES CULTURAL DEVELOPMENT LIBRARY SERVICES BOARD Municipallax alio n $ (1030,242) 5 893, 343 $ 1,726,147 $ (19,379) $ 249,752 $ (2,850) $ $ 1,916,771 Taxation Fro m o ther governments 34. 672 - - - 3.4,672 Governmen t. Tra nsfe rs Government of Canada - - 900 1,172 2 ,1772 Province of Ontario 1,643.588 155.887 164. 121 - 28.580 1.992.176 Other municipalities - _ _ - 70.452 (7{1,452] User charees 41,7113 15.180 37,344 597. 298 160.444 487 16,000) 866.456 Inv estment Inco me 72,943 7. 132 16,356 2,318 1 .085 99.832 Penalty and in leresl on taxes.' 114.226 - 114 .226 Sale of capital assets 29.629 _ 29.629 Don ation s - 58,721 27,657 96,378 Development charses - - - 15,100 - - 15.1(111 Miscellaneous 5,042 7,472 - 3.525 16.039 9115.519 1,071,340 1,947,612 599,317 489,607 13,335 131 ,873 (76 ,452) 5 .0$3,351 CT IR R ENT - EXPENDITURES Salaries wages and employee henc fiis 412,046 123,057 599.034 154.646 164.683 83,195 1,538.691 Interest on loom -term richt - 1 ,085 - 1.085 Materials and Supplies 241,(1(17 135.540 1.5141,1115 178,186 247.126 440 19,952 (70.452). 1.792,9114 C ontracted services and general services 4.7I0 729, 154 249.138 182,475 - - - 1,165.477 Rents and Finan cia l Expen ses 53.888 5. 742 434 - - 6 ,000 (6.000} 62.064 External Transfers - - - 47 ,159 - - - 47.139 Amortization 1I}, 854 60,605 8(10.571 135,519 111,149 - 8,804 - 1 ,5)32.512 724,515 1, 036,098 2.690.282 697,985 427,958 1,525 117,951 (76.452) 5.639.862 ,$ 182,0(14 5 15. 442 $ (742,670) 8 (98,668) 5 61,649 $ 11,810 $ 13 .922 $ - $ (556,511.) CORPO RATION OF THE MUNICIPALITY OF TWEED SCHEDULE 4 - CONSO LIDATED SCHEDULE OF RECONCILATION OF FINANICAL PLAN TO THE BUDGET YEAR EN DED DECEM BER 31,2009 TANGIBLE TWEED CAPTIAL PUBLIC OPERATING CAPITA L RESERV ES AND ASSET LIBRARY PSAB BUDG ET BUDGET RESERVE FUNDS ADJUSTM ENTS BOARD ELIM INATIONS BUDGET REVEN UES Municipal Tax ation $ 2,048,099 $ $ $ $ - $ $ 2,048,099 Taxation from other envemmcnts 42,200 - 42,200 Governme nt tran sfers Cana da 362,163 2,102 364,265 On tario 1,771,583 - 18,889 1,790,472 Other Municipal 70,452 (70,452) User fees an d sale of goods and services. 887,610 - 650 (6,000) 882,460 Investment income 42,652 - 42,652 Pena lty and interest on taxes 112,000 - 112,000 Dev elo pment c ha rges 8,000 - 8,000 Donation s - 3,650 3,650 M iscellaneous - 11, 229 11,229 5,274,507 - 106,972 (76,452) 5,305,027 EXPENDIT URES Curren t Gene ra l govern ment 726,020 - 13,419 739,439 Protection services 1,042,725 - 61,719 1,104,444 Tran sportation services 1,759,400 - 930,368 - 2,689,768 Environmental services 610,330 - /63,992 - - 774.322 Recreation and cultural services 388,175 - 46,812 106,972 (76,452) 465,507 Planning a nd development 8,752 - - - - 8,752 Capital Generai government 186,000 (186,000) Protection services 20,000 - (20,000) Transpo rtation services 1,934,710 (1,934,710) Environmenta l services 453,930 (453,930) Recreation and cultura l services 668,835 (668,835) 4, 535,402 3,263,475 (2,047,165) 106,972 (76,452) 5,782,232 N ET REVENUES(EXPEND IT URES) 739,105 (3,263,475) 2,047,165 - - (477,205) OT HER IN COME AND EX PENSES RELATED TO CAPITAL Municpal taxatio n - 1,145,901 - 1,148,901 Government tran sfers Canada - 366,667 366.667 Ontario 406,667 - - - 406,667 1,922,235 - - 1,922,235 FINANCING AND TRANSFER S Debenture and other long-term bo rrowings Debt repayment (1,661) (15,162) 16,823 Renefitting landowners principal repayments 1,661 (1,661) Transfers From Ito) other funds 473,367 1 ,356,402 (1,829,769) - 473,367 1,341,240 (1,829,769) 15,162 ANNUAL SURPLUS (DEFIC IT) $ 1,212,472 $ $ (1,829,769) $ 2,062 ,327 $ $ - $ 1 ,445 ,030 An ind ep endent Member of BKR I nternati onal