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The Wingham Advance-Times, 1984-07-04, Page 6if a Page .6_ 'i'he Winghann Advance -Times, July 4, 1984 Notes Hugh Sinnatnon received word .of Thursday of the --- passing of bis nephew, Mark Webster of Digby, Nova Scotia. Mark is the son of the former Dawn;..•SiIWamon, formerly of Wing. am. He was born in Halifax in 1956 and besides his mother he --leaves to mourn his passing his twin brother, Matthew, and an elder brother, John, also ,.grandparents and several aunts and uncles in this area. Hugh-Sinnamon, Mrs. Philip MacMillan of Lucknow, Mrs. ` Murray Wilken, Lucknow,„ and Mrs. Archie Hertel, Kitchener, attended the funeral on -lvi-onday at -Digby. Mr. and Mrs. Lorne Durnin visited Sunday with Mr. and Mrs. Reg Scholtz and family. Mrs. Olive Gillespie of Sarnia is spending a few days with 1". Garnet Farrier. Danny Joe Thompson spent a -few days last week 1.Vith his cousins, bean and Stephen Tiffin. Mr. and Mrs. ° Mack Stewart of Kitchener were Tuesday visitors with Mr. and Mrs. V. Emerson. Mrs. Stewart as a little girl spent holidays with Mr. and Mrs. Emerson- and when -Mack attended' school on the second concession Mrs. E.)rnerson taught him 70 years ago. Those having their driveways blacktopped were Bill Uuldriks, Mrs. Robert Mowbray, Wes Tiffin, Bill Purdon and Vic Emerson. Mrs. Gordon Rintoul at- tended' graduation exercises at Wawanosh school on Tuesday of last week for members of the kin- dergarten class, Kevin Rintoul, Stuart Rintoul and Debbie Ross. Gordon ' Rintoul was discharged last . ondO from Wingham an District Hospital. Tom Inglis w • also able to return home /rom hospital last week. As a wed 'ng anniversary gift from the family, Mr. and ° Mrs. Wallace. Milligan spent Wednesday and Thursday at Benmiller. Whitechurch Women's Institute members attended the Blyth Festival Tuesday evening and saw "G.arrison's Garage". They enjoyed it very much. A garage sale was held on Friday at the home of Mr. and Mrs. George Lubbers, with proceeds going to the Pro -Life organization. Karen Elliott. graduated from Grade 8 at Brookside School last week. She received the proficiency award, mathematics award and science award. She was' also tops in English. Award winners receive a trophy to keep and there is also an award left in the school. Mrs. Tom Vannus of London spent Monday and Tuesday with her parents, Mr. and Mrs. Elroy Laidlaw. itechurch Tony Falconer is assisting with farm work on the farm of Don Ross. Thiseoinmunity extends sincerest 'sympathy to Walter Moore, his wife and family, in the passing of his father, Ulmont Moore of Wroxeter. Mr. and Mrs.r of on Campbell and Hatter of Ancaster spent the weekend with her parents, Mr. and Mrs. Bill Rintoul. On Sunday Mr. and Mrs. Eldon Emerson, Sharon, Brenda and Darlene of St. Catharines, Mr. and Mrs. Fred Tiffin, Mr. and. Mrs. Bill Uuldriks, 'Mr. and Mrs. Wallace Milligan, Mrs. Mabel Frank „and Bessie MacGregor of Acton helped Mr. and Mrs. Victor Emerson quietly ,celebrate their 60th wedding an- niversary at home. On July 11 at 8 p.m., Whitechurch Women's Institute will hold its Education and Cultural Activities meeting in the Community Memorial Hall. Convener is , Miss Merle Wilson; roll call, "Bring an article of craftwork you have done"; motto, "Do not spend all your time polishing the tools instead of hoeing in the garden", Miss Wilson; report of District Annual, Miss Wilson; one -minute convener reports. Mrs. Jean Henderson of Ltle'know will show pictures of NeW, uinea where her son was for three years. Visitors on Monday for Mr. and Mrs. Vic Emerson's 60th anniversary were Mr. and Mrs. Alton of Goderich, Mrs. Jennie Porteous, Lucknow, Mr. and Mrs. Tony Straker, Wingham, Mrs. Olive Gillespie of Sarnia, Mrs. Garnet Farrier. TOWN OF WINGHAM 1983 Financial Report Auditor's Report on AUDITOR'S To the Members of Council, Inhabitants and Ratepayers of The Corporation of the Town of Wingham: I have examined the consolidated balance sheet of the Corporation of the Town of Wingham as at December'31 , 1983, and the consolidated statements of operations for the year then ended. My examination was made in accordance withenerally accepted auditing standards, and accordingly included such tests and other pro- cedures as I considered necessary in the circumstances. 01. Financial Report REPORT r In my opinion, these consolidated financial statements present fairly the financial position of the Corporation of the Town of Wingham as at December 31, 1983, an u, the results of its operations for the year then ended in.accordanoe with accounting principles prescribed for Ontario municipalities applied, after.giving retroactive ef- fect to the changes in accounting policies explained -in nefter40 tp thei financi'el statements on'a.basis consistent wijth•that of theprereding year., Wingham, Ontario. April 26, 1984 License Number 768 CONSOLIDATED BALANCE SHEET as at December 31, 1983 • ASSETS A + •,a Unrestricted Cash Investments (note ) Taxes receivable User charges receivable Accounts receivable Other current assets Long term receivables 1983 $ 103,864 203,808 152,453 Restricted Cash Investments (note. ) Accounts receivable Other current assets Long term receivables Investment in own' debentures 1982, $ _• -15,030 324,453, 160,138 460,125 - 499,621 • 41,523 5=7,957 25,571 19,842 60,435 46,153 12P-529 123,952 Capital outlay financed,by long term liabilities and to be recovered in • • future years (note 5), • . LIABILITIES • Temporary loans Accounts payable and accrued liabilities Other current. liabilities 0 Net long term • liabilies (note 5) FUND BALANCES AT THE END OF THE YEAR (note 10) To be used to offset(or to be recovered from) taxation or user charges ,.(note 10) Unexpended capital fin- ancing (or capital opera- . -tions not .yet permanent- ly, financed) (note ) Reserves (note 7) Reserve funds (note 7•) 338,001 '393,831 926,655 1,017,404 168,000 106,255 100,512 9,683 ^' 4,200 115,938 272,712 338,001 393;831 '80,692 64,358 273,587 166,434 1/7,437 120,069 92_5,655 1,017,404 CONSOLIDATED STATEMENT OF OPERATIONS for the year ended December 31,1983 Budget 1983 $ SOURCES OF FINANCING: Taxation and user charges'(note 2) Residential and farm taxation ' Commercial,"industrial and business taxation Taxation from other governments User charges i+ Deduct: Amounts received or receivable for region or county. -and school boards Grants Government of Canatia . - Province of Ontario Other'municipalities Other , Contributions from developers , Investment income - Sale Of land Other • • Penalties and Interest • Miscellaneous • Proceeds from the issue of long term liabilities 's' Extraordinary gain (notes) 'Net appropriations from reserves and reserve funds .MUNICIPAL FUND BALANCES AT THE BEGINNING OF THE YEAR (note •6)' . To be used to offset (or to be re- - covered from) taxation or user • charges • Unexpended capital financing (or capital operations not yet financed) Total financing available during the year Actual 1983 $ Actual 1982 $. -• (11) 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 receipt of goods or services and the creation of a legal obligation to pay. - (iii) Capital Outlay Jo be Recovered in Future Years • • The historical cost and accumulated depreciation of- fixed assets are ndt reported for municipal• purposes. Instead the "Capital outlay to be recovered in future years,:'which represents the outstanding principal portion of unmatured long term liabilities for municipal expenditures or capital funds transferred ,to other organizations, is` reported on the "Consolidated Balance Sheet." 2. Operations of School Boards and the County of Huron Further to note 1(a)(i0 the taxation, other revenues, expenditures and -overlevies (underlevies) of the school boards and the County of Huron are com- prised of the following: . Extraordinary loss (note ) Net appropriations to reserves and reserve funds MUNICIPAL FUND BALANCES AT THE END OF THE YEAR (note 6) To be used to offset (or to be re- covered from) taxation or user 80,692 64,358'° charges Unexpended capital financing (or ' capital operations not yet -financed) Total applications during -the year .• - 1,5239.00- 1, 563,930 ' 1,487,099 • t^. a.4 Barry W. Reid Chartered Accountant The total value of sinking funds and the balance in the Ministry of the Environ - 112,800 112,800 95,700 ment Debt Retirement Fund which have been accumulated to the end of the year to retire the outstanding long term -liiabilities included above, amount to 'Net long term liabilities at the end of the year' NOTES TO THE FINANCIAL STATEMENTS 1. Accounting Policies" (a), Basis of Consolidation • • " ,(i) Consolidated Balance Sheet • This statement reflects the assets and liabilities of the revenue fund; reserve funds, the capital fund and includes the activities of all committees of Council • and the lollowing.ltical -boards which are. under the control of Council: Wingham Recreation and Community Centres Board • Riverside Park Development Board Wingham Public Cemetery - dr • Wingham' Day Care Board • • • - On the Consolidated Balance Sheet interfund assets and liabilities are eliminated . with the exception of formalized notes or'loans between the reserve funds and other funds of the Municipality. - (ii) Consolidated Statement of Operations This statement reflects the consolidated sources of. financing and expenditures of the revenue fund, reserves, ,reserve funds; and the capital fund of the , municipality and those local boards desc4'ibed Ili note 1(a)(i).'• Similarly on the Consolidated Statement of Operations interfund sources of • • financing and applications are eliminated with the exception of interest income "and expense arising' from formalized notes or loans between the reserve funds ,and other funds of the Municipality. • (iiij Non -consolidated Entities • For those -municipal.enterprises, and utilities of the municipality which are not Consolidated, the "Consolidated Balance Sheet" does not reflect their assets or . liabilities except to the extent of amounts due to or from those entities. The " "Consblydated Statement of Operations" does not reflect their revenues and ex- penditures except to the extent of the' municipality's•contribution to those en- tities. ' • ' Those entities which are not consolidated are as•follows: • Wingham Public Utilities Commission - Water ,- Electric (iv) The taxation, other revenues, expenditures, assets and liabilities with • respect to the operations of the school boards, and the County of Huron are reflected in these financial statements. Overlevies are reported on the "Con- solidated -Balance Sheet" as "other liabilities." ' (v) Trust funds and their related operations administered by the municipality are not consolidated; but are reported separately on the "Trust Funds Statement••of Continuity and Balance Sheet. •• (b) Basis of Accounting.. •• (i) Sources of financing and expenditures are reported on the accrual basis of accounting with the exception of principal and interest charges on •long term . ' liabilities which are charged against operations in the periods in which they are paid. The principal and interest charges,are'not accrued for the periods from the dates of the latest instalment payments to •the end of the financial year. (b) Of the net Long term liabilities reported in (a) of this note, $294,207 in principal payments are payable from 1984 to 1988,•$29,663 from 1989 to 1993, and $14,131 thereafter and are summarized as follows: 828,940 5504740 36,720 231.600 (733, 400) • 456.800 28.800 .832.413 • 575,794 44,659 249.053- (769.627) ' 7,399, 475,490 28,834 12.600 . 791,844 549,686 49,990 230,914 • (694.386) 440,939 30,007 ' 14.506 ,•. 16,550 44,000 3.000 39,44 • 55.208' 1 .61 7 2.951 64,100 64.358 13.396 1 .5 23, 900 1 .563,930 1,487,099 frcV Budget 1983 $ Actual Actual 1983 1982 ' $ $ APPLIED TO: Current operations General government Protection to persons and property Transportation services . Environmental services Health services Social and family services Recreation and culturaljervices Planning and development Other. Capital General government - Protection to persdns and property .Transportation services Environmental services Health services ' Social and family services Recreation and cults iral services Planning and development Other '197,500 197,500 185.748 185.288 296.800 310,323 283.577 258.700 229,858 227909 115,800 1 1 7,214 1 21 .003 37,500 40.187 36.455 20'1.500 191.037 -187;078 162.00 170,684, • 155,790 School ' Boards County Taxation and user charges $626,966 $122,116 Grants• - 16,099 4,446 }$643,065 $126,562 Requisitions (637,706) (1.25,586) Supplementary taxes . (1,154) (224) Overlevies for'the year $4',205 $752 Overlevies at the beginning of the )fear 2,353 1,099 Overlevies at the end of the year , - • $6,558 $1,851' These revenues and expenditures are reflected in the "consolidated Statement of Operations -, , • The overlevies at the end of the year are reported as other liabilities on the "Consolidated Balance Sheet." 3. Trust Funds - Trust funds administered by the municipality amounting to $82,190 (1982 $80;391) have not been included in the "Consolidated Balance Sheet" nor have their operations been included in the "Consolidated Statement of Opera- tions 4. Liability of Vested Sick Leave Benefits 'Under the sick leave benefit, plan. unused sick ), leave n can naccla errmployeespimay become entitled to a cash pay they leavene municipality's employment The liability for these accumulated days. to the extent that they. have veste and could be taken in cash by 'an employee on terminating. amounted to $46,715 (1982 $45,108) at the end of the year No provision has been made for this liability. 1,2-70.300 1 .245,051 1.197,100 (6.182) 25,792 8.800 . 10,016 19.173 124.800 117 951 72.601 . 7.200 679 1.475 2.923 10.900 140.800 125,3'87 129,941 (111,601) (100,360) $338,001 $393,831 1984 to .. 1988 1989 1994 to and 1993 thereafter from general municipal revenues . $251,049 '$29,663 $14,131 interest' to be earned on Ministry of the Environment debt retirement funds 43;158 ' ^ $294,207 • $29,663 ) $14,131 Cc) Approval of the Ontario Municipal Board has been obtained for the long term( liabilities reported on the "C'onsolidated Balance Sheet." 6. Municipal Equity (or Deficit) at the end of the year - (a) The balance on the "Consolidated Statement of .Operations" of municipal equity of; $80,692.(1982 $64,358) at the end of the year is comprised of the following: for general reduction of taxation 7. Reserves and Reserve Funds The total balance .of reserves and reserve ,'$286,503), is made up' of the following: ; • Set aside for specific purpose by Cour'= cit $90, 587 $63, 287 for acquisition of fixed assets 1.83,000 103, 87 for working capital - w - • $273,587 ' $166,434 Set aside for specific ,purposes by legislation', regulation or agreement .•for• loans under the Ontario Home 86;027 100,674 Renewal Plan • for renewals, etc., under the 21 ,4.10 19,395 Ministry of the Environment $117,437 $120,069 Total' - • $391,024 $286,503 8. Charges for Net Long Term Liabilities Total charges for the year for net long term fiabilities which are reported on the • "Consolidated Statement of Operations" are as follows: • 1983 1982 1983 1982 - $80,692 $64,358 funds of $391,024 (1982 1983 1982 . .ts Principal payments including contribu- tions to sinkingfunds and to. the , • -• - - Ministry of the Environment Debt Retire- ment Fund • 46,351 Interest • • • ' 10 • , ' . $82,261 . • The charges for long term liabilities assumed by the non -consolidated entities are not reflected in these statements. $51,743 39,995 $91,738 • 9. Contingent Liabilities.- The municipality is •contingently liable for long term liabilities with respect to those for which the responsibility for the payment of principal and interest has • been assumed by school boards and municipal enterprises= The rota) amount outstanding as at ,December 31, 1983, is $357,000 (1.982 $457,000) and is not recordedon the "Consolidated' Balance Sheet." 10.Other Notes ' ` (a) Nonaccrual of Interest on Long Term Liabilities No'provision has been made in these financial statements for the.accrual of in- terest on the net long term liabilities. 7 • .. ° • • (b), Included in the "Consolidated Statement of Operations" are charges from the Ministry of the Environment for MOE operated• sewer•systems in the amount • of $13,089 (1982 $53,803). (c) Changes in Accounting Policies • Effective January 1, 1.983, Ontario municipalities and their local boards must follow the accounting principles outlined in the Municipal Financial Reporting Handbook. The riew Handbook substantially revised many of the accounting and reporting requirements applicable to Ontario municipalities for the fiscal year 1983. The 1982 'figures presented for comparative purposes have been restated, where determinable, to conform with the new presentation in 1983. The following summary outlines the more significant changes made. (i) All local boards. municipal enterprises and utilities that are politically accoun- table tp the municipality as listed in note 1(a)(i) are consolidated. The only.major change is the deletion of the Wingham Public Utilities Commission -'Water. it is not consolidated whereasit wa§--previously. • (ii) Previously, assets were not segregated between restricted and unrestricted. For 1983, the assets of reserves funds are now reported as restricted asseis71 (iii) "Capital outlay financed by long term liabilities and to be recovered in future years" on the Consolidated Balance Sheet includes the amounts previously • described as "Capitaf outlay to be recovered in future years" with certain excep- tions. These include 'amounts related to the long-term liabilities for uncon- solidated entities. 5. Met Long Term Liabilities 'a •w s reported . (a) The balance of net liar JD the "Consolidated Ba once Sheet" �s made up of the following Total long term liabilities incurred by the municipality including those incurred on behalf of school boards and municipal enterprises and.outstanding at the end of the year amount to Of the longterm liabilities shown above. the responsibility for payment of prin• c pal and interest charges has been assumed by municipal enterprises and school boards At the end of the year. a the outstand_ ing principal amount of this liability IS , 1983 1982 FA r $806.602 $951.191 rs; (357,000) (457,000) • Similarly the related long-term liabilities with respect to unconsolidated entities are also excluded from the Consolidated Balance Sheet. - (iv) The underlevies (or overlevies) for school boards and the county, which had previously been recorded as fund balances at ,the end"of the year on the Con- solidated Balance Sheet, are now reported as liabilities. -' As a result of the above changes, the effect on the Consolidated Statement of Operations has been an increase of $8,202 in the net change inmunicipal fund balances for 19$+3. The retroactive effect on the fund batances on the Con- solidated Balance Sheet as at December 31 • 1982. have been reflected in the 1982 comparative figures in this report and'is summarized below: •- Originally • Reported Restated To be used to offset (or to be recovered from) taxation or user charges .Unapplied capital receipts Capital operations not yet permanently financed Reserves Reserve funds Opening 1983 Fund Balances This restatement arises from the following Deletion of municipal enterprise Underlevies (or overlevies) tor school - - boards and county Net Effect '3134;273 $64,358 O „ 0 O 0 166,434 166:434 120,069 120,069 $420,776 $350,861 changes in principles: • $(66,463) (3,452) 3(69,915) r,> • ,