Zurich Citizens News, 1977-05-25, Page 12777,
Page 12 Citizens News, May 25, 1977
lIII11111111111mminI11111111111u1111111111unnf1nunf1111llllilllllll111111111111111111111111111111111111111111111111111119111111111111111111111111111111111111111111111111111111111111111111 nnuflounlinufllllllllllllllllllllllllllllllll11111111111111111111811ulin111111 mu
111M11111111111111
VILLAGE OF ZURICH ma AUDITOR'S REPORT, 1976
TO: The Members of Council, Inhabitants and Ratepayers of the Village off
Zurich
We have examined the 1976 financial statements of the Corporation of the
Village of Zurich. Our examination was made in accordance with generally
accepted standards, and accordingly included such tests and other procedures as
we considered necessary in the circumstances.
In our opinion, these financial statements present fairly the financial position
of the Village of Zurich as at December 31, 1976 and the results of its operations
for the year then ended, in accordance with accounting principles generally
accepted for Ontario Municipalities applied on a basis consistent with that of the
preceding year.
Woodstock, Ontario G. H. WARD & PARTNERS
February 28, 1977 Chartered Accountants
License Number 329
Statement of Revenue and Expenditure
for the year ended December 31, 1976
1976 1975
$ $
Accumulated net revenue (deficit) at
the beginning of the year (3,888) (10,700)
EXPENDITURE
General municipal purposes
General government 41,929 21,443
Protection to persons and property 8,204 6,362
Transportation services - 40,912 41,788
Environmental services 50,291 24,817
Social and family services 154 198
Recreation and cultural services 43,502 45,384
Planning and development 4,544 2,477
189,536 142,469
Region or county purposes 31,247 30,512
School board purposes 46,081 34,331
Total expenditure j 266,844 207,312
REVENUE
General municipal purposes
Taxation 88,865 59,271
Payments in lieu of taxes 2,485 2,644
Ontario grants 52,469 50,549
Other grants 5,634 5,525
Other 48,767 30,117
198,220 148,106
Region or county purposes
Taxation 17,971 25,346
Payments in lieu°of taxes 36 256
On ario grants 12,084 6,006
30,091 31,608
School board purposes
Taxation 45,937 33,933
Payments in lieu of taxes 86 477
46,023 34,410
Total revenue 274.334 214,124
Accumulated net revenue (deficit) at
the end of the year 3,602 (3,888)
Analysed as follows:
General revenue 4,098 (5,154)
Region or county (164) 992
School boards 80 118
Local boards (412) 156
3,602 (3,888)
Statement of Capital Operations
for the year ended December 31, 1976
1976 1975
Unfinanced capital outlay (Unexpended
capital financing) at the beginning
of the year 100,766 1,712
$ $
CAPITAL EXPENDITURE
General government
Recreation and cultural services
Total expenditure
CAPITAL FINANCING
Contributions from the revenue fund
Long term liabilities incurred
Ontario grants
Other
Total capital financing
58,540
44,455 44,114
44,455 102,654
10,722
27,000
32,843
38,400 3,600
108,965 3,600
Unfinanced capital outlay (Unexpended
capital financing) at the end of the
year 36,256 100,766
nce Sheet
as at December 31, 1976
CURRENT ASSETS
1976
Cash 8,921
Accounts receivable 25,902
Taxes receivable 4,129
Other current assets 6,131
45.083
Capital outlay to be recovered in
future years 251,581
Other long term assets 14,637
311,301
(b) Statement of capital operations
(i) This statement reflects the capital expenditures and the related
capital financing to be recovered from general municipal revenues of
the municipality and its local boards described in note 1(a).
(c) Balance sheet
This statement reflects the assets and liabilities of the revenue fund, the
capital fund, reserve funds and the local boards described in note 1(a).
The assets and liabilities. for municipal enterprises as defined in note 1(e)
are not reflected except to the extent of the related net long-term
liabilities and capital outlay to be recovered in future years.
(d) Fixed assets
The historical cost and accumulated depreciation of fixed assets is not
reported for municipal purposes. Instead the "Capital outlay to be
recovered in future years" which is the aggregate of the principal portion
of unmatured long-term liabilities, capital funds transferred to other
organizations, and the cost of capital projects not yet permanently financ-
ed, is reported on the "Balance Sheet".
Municipal enterprises
The revenue and expenditures for municipal enterprise activities are not
reflected in the "Statement of Revenue and Expenditure" except to the
extent that their expenditures are recovered from general municipal
revenues.
Municipal enterprise activities are those activities whose costs are sub-
stantially recovered from service charges on the users and are as follows:
Zurich Waterworks
Zurich Hydro Electric System
Charges for net Tong -term liabilities
Debt retirement costs including principal and interest are charged against
current revenues in the periods in which they are paid. Interest charges
are not accrued for the periods from the date(s) of the latest interest
payment(s) to the end of the financiaTyear.
2. Capital outlay to be recovered in future years.
(a) .Some capital outlay to be recovered in future years does not represent a
burden on general municipal revenues, as it is to be recovered in future
years from other sources:
(e)
(f)
1976 1975
Municipal enterprises -
Zurich Waterworks $150,000 $154,000
(b) Capital outlays, including fixed assets and the transfers of capital funds in
the amount of $10,722, which have been financed from general revenues of
the current year, are reported on the "Statement of Revenue and Expen-
diture".
3. Reserves and reserve funds
(a) The "Statement of Revenue and Expenditure" does not reflect the follow-
ing revenues for the year which were credited directly to reserve funds.
(b) The total balance of reserves and reserve funds is $30,400 and is comprised
of the following:
The Ontario Home
Renewal Plan
1976. 1975
$ - $ 29,000
Interest earned 1,137 377
$ 1,137 $ 29,377
1976 1975
Reserves for working capital .... $ 800 $ 5,800
Reserve funds
from contributions
by subdividers $ 577 $ 1,650
for the Ontario
Home Renewal Plan 29,023 22,832
$29,600 $ 24,482
4. Net long-term liabilities
(a) The balance for net lona-term Liabilities reported on the "Balance Sheet"
is made up of the following:
Total long-term liabilities incurred by the municipality including those in-
curred on behalf of municipal enterprises and outstanding at the end of the
year amount to $215,325.
(b) Of the net long-term liabilities reported in (a) of this note $54,108 in prin-
cipal payments are payable from 1977 to 1981, $69,717 from 1982 to 1986, and
$91,500 thereafter and are summarized as follows:
1977 1982 1987
to to and
1981 1986 there-
after
From general
municipal revenues
From municipal
enterprises
5. Charges for net Tong -term liabilities
Total charges for the year for net long-term liabilities were as follows:
1976 1975
$30,108 $32,717
24,000 37,000
$54,108 $69,717
$ 2,500
89,000
$91,500
Principal payments $ 8,472 $ 7,423
Interest 17.922 17.532
$ 26,394 $ 24,955
Of the total charges shown above, $8,534 were paid from general municipal
1975
$ revenues of the municipality and are Included in expenditure on the "State-
ment of Revenue and Expenditure" classified under the appropriate functional
11,14
headings, The remaining $17,860 were recovered from municipal enterprises
4,4121for which the related net long-term liabilities were incurred, and are not
reflected in the statement.
96,188
297,563
393,751
CURRENT LIABILITIES
Temporary loans 39,200 145,240
Accounts payable and accrued liabilities 22,774 ' 48,152
61,974 193,392
Net long term liabilities 215,325 196,797
Reserves and reserve funds 30,400 7,450
Accumulated net revenue (deficit) and
unapplied capital receipts 3,602 (3,888)
311,301 393,751
Notes to Financial Statements
1. Accounting Policies
(a) Statement of revenue and expenditure
This statement reflects the revenues and expenditures of the revenue fund
of the municipality and includes the activities of all committees of council
and local boards for general municipal activities. The local boards whose
activities are included are as follows:
Zurich Municipal Recreation Committee
Zurich and Area Fire Board
6. Contractual obligations
Sewage Service Agreement
The Village of Zurich has entered into an agreement with the Ministry of the
Environment to provide a service of treatment and disposal of Sewage.
The Village of Zurich will be charged on the following basis:
(1) A gallonage charge which in 1976, was 59.23 cents per one thousand gallons,
for a total charge in 1976 of $15,046.
(2) All sums received by the Village of Zurich as sewage rates upon owners
and occupants of land which in 1976, was $32,he gallonage charge is financ-
ed by a sewage surcharge on the water billings which in 1976, amounted to
$18,994.
7. The Anti -Inflation Act
The municipality, its local boards and commissions are by agreement between
the Government of Canada and the Government of the Province of Ontario
dated January 13, 1976, subject to The Anti -Inflation Act (Canada) and the
national guidelines. This Legislation limits increases in compensation
payments effective October 14, 1975.
8. PRIOR PERIOD ADJUSTMENT
The Zurich and Area Fire Board has been consolidated in the accompanying
financial statements for the first time. The 1975 comparative amounts have
been restated to reflect this consolidation. The effect on the opening 1976
deficit was a decrease of $156.
I11ili1116I61I1111IIII
IIIIIIItlllllllllillllt1111111IIttlliillllllllllililllilimmiiimilEIIIII11111IIt111111111111111111111i1tl millillillllilllitlli1111I1I11111111111111i1111iiIi1111it11I111111milimitimiIllltl111111111111IIIIIIImmiltiitlmittillliiiiNili111illlillilllliill
111111111111111111111111111!1111111111111111111611t11llidiII11111111t111111111
1111111111111111111111111111111111111111
.�illllnnlllllllllllnnlllllllllln111fllllllnnlilllll11110111nI111nIlIIn1111n1t1111111nIi111111ninII111nIf11111111111nnII11,1111111IIn111111111Illlflllllllnl111111111111{IIIIIIIIIIIIIIIIIIIIIIIInllllllllf1111111nlllllfllt1111{nl1tl11111111tn1111111n11111111n11111111111111U11t�