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Times-Advocate, 1982-06-30, Page 12• • Po* 12 • , t . + 'a •v 7► 's -446060446.** 60446+' Times -Advocate. June 30.1982 v Vt s • • •„ .1 .„ •+ • , r,,=.,''` 't 't • 4. , • , J, ., ,, r. •.l + • H •I: :rt 1 .,'1. ,A At . '1' •t• N . Report to the Ratepayers of Exeter For the Year 1981 To; The Nemebees of Council, Inhabitants and Ratepayers of the Corporation of the TOWN CO HE TER. We have examined the consolidated balance sheet of the Corporation of the Town of Exeter asatDecember 31, 1981 and the consolidated statements of revenue and expenditure and capital operations, fox the year then ended. Our examination was made in accordance with generally accepted auditing standards. and accordingly included such tests and other procedures as we considered necessary in the circumstances. In our opinion, these consolidated financial statements present fairly the financial position of the Corporation of the Town of'Exeteras at' December 31. 1981, and the results of its operations for the year then ended in accordance with accounting principles generally accepted for Ontario .unicipalities applied on a basis consistent with that of the previous year. CHARTERED ACCOUNTANTS London, Ontario February 22, 1982 Licence Number 536 TOWN OF EXETER PUBLIC UTIUTIES COMMISSION ELECTRIC DEPARTMENT BALANCE SHEET DECE!SEs 21, 1981 (with comparative figures at December 31, 1980) ASSETS 1 9 8 1 Current: • Cash' - $ 96,875 Investments - at cost 11,000 Accounts receivable 8,190 Inventory - at cost 2,232 Total current assets 118,297 Fixed - at cost: Land B uilding, plant and equipment Lena accumulated depreciation Other: Unaeortised discount • ' Equity. in H.E.P.C. Deferred past service pension cost Total assets LIABILITIES AND SURPLUS Current: Accounts payable Consumer deposits Current portion of long-term debt Total current liabilities Long.terms Bank loan Debenture debt outstanding Past service pension cost liability Less portidn due within one year . 16,298 1,507,326 ' 1,523,624 558,904 964,720 2,513 702,255 40,427 745,195 $1,828,212 $ 104,894 2,910 24,113 131,917 1 9 8 0 $ 85,810 11,000 11,134 3,745 111,689 16,290 1,419,309 1,435,607 495,199 940,408 '2,928 649,858 57,476 710,262 $1,762,359 $ 103,042 2,710' 24,526 130,278 16,000 - 25,500 161,367. 173,820 40,427 57,476 217,794 256,796 24,113 24,526 193,681 232,270 Deferred credit --contributed capital 761 360 Reserves: Equity in H.E.P.C. 702,255 649,858 Capital surplus: Equity in assets financed by debenture Contributed capital Retained earnings Total liabilities'and surplus TOWN OF EXETER PUBUC UTIUTIES COMMISSION ELECTRIC DEPARTMENT STATEMENT OF OPERATIONS 71,777 49,714 91,872 91,872 163.649 141,586 635,949. 608,007 $1,828,212 $1,762,359 FOR THE YEAR MNDe0 DECILBBR 31, 1901 (with comparative figures for the year ended December 31, 1980) *avenue Sale of anergy - residential - commercial - street lighting Rental Interest and late payment. charges Miscellaneous Expenses E nergy cost Operation haintenance Administration Financial expense Depreciation (net of contributed capital amortization) Net income 1 9 8 1 $ 679,837 543,054 20,491 4,636 27,272 5,472 1.280,762 1,003,601 62,354 82,473 26,004 56.324 1,230,757 $ 50,005 TOWN OF. EXETER PUBLIC UTIUTIES COMMISSION ELECTRIC DEPARTMENT STATEMENT OF RETAINED EARNINGS FOR THE YEAR ENDED DECEIBER 31 1981 (with comparative figures for the year ended December 31, 1980) 1 9 8 1 Retained earning., January 1 $ 608.007 Add: net income 50,005 1978 excess earnings refunded Less: appropriation for debt retirement (22,063) Astained earnings, December 31 $ 635,949 TOWN OF EXETER PUBUC UTIUTIES COMMISSION WATER DEPARTMENT BALANCE SHEET MCCN248ER 31, 1981 (with comparative figures at December 31, 1980) Curren: Cas Accounts receivable Inventory Prepaid rent Total current aseets Fixed - at oo.t, L'nd Pm:photws and wells Trmnmeluien and distribution system Equipment Les accumulated depreciation Other: Debenture disooent Total Meets .1980 $ 595,066, 483,032 18,177 4,532 17,554 6,200 1,124,561 885,246 67,663 76,279 13,634 53,779 1,096,601 $ 27,960 1 9 8 0 $ 557,406 27,960 25,027 (2,386) $ 608,007 1 9 8 1 1 9 8 0 $156,415 - $181,115 155 SS7 1,900 2,950 1,930 7.210 160,420 191,832 16,561 11,375 575,905 426,654 1,432,127 1,607,205 46,010 41,638 2,270,603 2,087.074 7)1.394. 660.033 1.539.209 1,427.041 3,440 3,655 41,703,069 $1,622,528 LEM:11411118 AND SURPLUS Current, Accounts payable Due to electric department Current portion of logy -term debt Total current liabilities Long-term: Debenture debt outatendirg Less: portion due within one year Capital surplus: Equity in assets tiasaced by debenture Contributed capital Retained earnings Total liabilities and surplus TOWN OF EXETER PUBLIC UTIUTIES COMMISSION WATER DEPARTMENT STATMENT OF OPERATIONS AND RETAINED EARNINGS $ 19.511 $ 8,295 6,872 4j,,733 18.000 11.800 $ 44.383 23.028 544,000 560,000 16.000 '_16,000 526.000 _mass 345,400 329,400 318,971 317,732 664,371 647.132 468,315 408,368 $1,703,069 41.622,52e FOR TIM YEAR ENDED Ds>`otteot 31, 1981 (with comparative figures for the year entad De enter 31, 1980) 1 9 8 1 1 9 8 0 Revenue Sale of water - domestic - commercial - fire protection Investment income Late payment charges Miscollaeeous 'Expenses General administration Billing and data processing Power add pumping Maintenance - mains and water tower' services Rent Principal and interest charges Depreciation Net income Retained earnings, January 1 Renamed earnings, December 31 TOWN OF EXETER PUBUC UTILITIES COMMISSION NOTES TO FINANCIAL STATEMENTS DIMMER 31, 1981 • $140,505 1.06,516 26,166 31,544 1,076 2,539 308,346 22,203 10,848 52,575 13,657 4,325 5,280 73.240 66,271 $13+,980 '110,456 25,807 17,559 1,064 3.232 284.096 20,750 10,480 42,510 8;593 3,971 4,560 81,350 60.612 '248,399 232,826 . 59.947 51,272 408,368 357.096 11468,315 $408,368 The following summarized balance sheet and income statement indicates thechanges which would be required in order to report on a fund accounting basis: IUCONE STATO®fr Revenue Bestatep On Fund Accounting pasts 8706.346 Excesses Capital expenditures out of revenue 182,290 Depreciation Principal and interest charges 73,240 Other expenses 103.798 359.328 Net income (loss) BAIANCE SHEET Analysed u follow: General revenue. Region or county School boards Special charges Spacial use* Local boards Municipal entwining 79,387 147,495 ' 70 2,497 269 1,394 7.925 1,478 137,477 188,459 STATEMENT OF CAPITAL OPERATIONS Ion he year ended Drevrmbee 31, 19$1 Unfinanced capital outlay (Uncxpendtd capital financing) at the beginning of the year , Capital expenditure Central government Protection to persons and property Transportation services- Environmcntal services Health services Social and family services Recreation and cultural services Planning and development Other Total expenditure Capital financing Contributions from the revenue fund Contributions from reserves and reserve funds Long term liabilities incurred (hiurio grants Other Tool npital financing Unfinanctd capital outlay (Unexpended capital financing) at the end of the year BALANCE SHEET ASSETS Current assets Cash Taxes receivable Accounts receivable Other current assets As ted Capital owday to be hoovered )a 1308.346 .9 , ' holm yeses Other )Dag term awns • 66,371- 73,240' 108. NB 244.399 $(50,982) 8 59,947 Assets Current $160,420 $160,420 Fined - net 1,539,209 Capital outlay to be recovered 544,000 Other ' 3,440 3.440 8707.1960 • $1,703.069 Liabilities and surplus Liabilities . Capital surplus Retained earnings 4570,383 8570,383 664,371 468,315 137,477 4707,860 81,703,069 The Commission bilieves that the fund accounting presentation doss not present as fairly its financial position and operating results and has not adopted the Ministry's suggested reporting forget. ' Put service pension liability This liability represents the present value of the future payments required to fully fund the vested past service pension benefits. This. payments will be made annually through 1992. TOWN OF EXETER STATEMENT Of REVENUE AND EXPENDITURE for rhe year ended December 31, 1981 Accumulated net revenue (deficit) al the beginning of the year Expenditures sad transfer Municipal eapenditum General government Protection to persons Ind property Transportation services Environmental service Health services Social and family services Recreation and cultural services Planning and development Other 1981 Bi}I • 341.]2] 145,150 364,937 322,809 961,363 57,417 2,000 259,754 33,128 Total expenditure . 2.146.558 Transfers Transfers to region or county TrasNtn t0 school boards Total transfers Total expenditures and transfers Revenue by purpose Municipal purports Taxation Payments in lieu of taxes Ontario grants Other grants Fees and aeMoe charges Other • Reverse* to ps7 for m.nlcipsl purposes Region or Cooney requisition Taxation Payments in lieu of taxa Ontario grants Other 166,615 . 674,663 841, 278 . 2,987,836 1,011,679 17,361 398,462 91,555 182,908 107,162 1,819,127 162,715 1,402 Revenue to pay the region or county requiitio. 1444117 School board tgvWtien _ Taxation 669, 227 Payments in lieu of taxes 4,042 Other Revenue to pay the school hoard requbft(os . 671.269 Total reunite ].64a.e13 Accumulated net mune (deficit) at IM end of the year 1 0, H41 Aad. • 341.313 • • 128,382 365,420 295,545 857,339 60,847 911 244,290 31,472 1,984,206 168;449 682,221 850,670 2,834,876 1,017,684 18,578 420,231 78,774 178,684 157,612 1,871,563 164,543 1, 479 166.022 676,732 4,364 • 681,096 2.718.681 22"4 1110 Awed$ 269,212 212,957 368,676 130,649 660,241 50,101 $31 240,818 22,667 3,686,940 143,132 • 590,364. 733,496 • 2,420,436 982,299 18,654 384,068 97,145 176,553 . 98,586 1,757,305 142,292 1,644 112.316 586,905 4,401 17 • _.2,4111,1v. -1114.12.1 as at December 31, I581 1161 nasal .6 109.074 U 5,065 . 17,104 • 242,942 • 302,007 4,638 147,477 710.291 458,149 . 10,331 . 145,000 . 169,807 56.992 A30.279 - Mel Ansel 8 388,246 77,171 178,965- 50012 695.094 2,071,930 347,338 3,114,362 341,323 1180 Seoul $ Nil • • 102,173 • 150,702 . 60,180 . 366,612 528 (b) Capital outlays, including fixed assets and the treatefees of capital funds in the amount of $458,149 which have boon llaascsd IV= getera1 municipal reoonow of the current year, are reported On the Btatemsnt of Revenue and 'vendible*. ' 3. RUM, FUND" .During the year 835.462 were credited -directly to reserve funds without being recorded as revenues and expenditures of the Nevenue rued. rho .Dort.. were: • Investment income $35.462 4. NET MING TERN LIABILITIES 25,221 10,000 111.334 5. • 873.930 330,763 318,5.34 69,000 46.579 764.876 (a) eh. balance for net long tarn liabilities reported on the Balance Sheet is made op of the following: Total long term liabilities incurred by the municipality including those incurred on behalf of forms school boards, other municipalities and municipal enterprises and outstanding at the'end of the year amount bP $2,522,460 Of the long tare liabilities shown above, the responsibility for payment of principal and other interest charges has been assumed by others for a principal 5.0001 (241,000) The total value of sinking funds and the balance in the Ministry of the inviroament Debt Retirement Fund which have been accumulated to the end of the year to retire the outstanding long term liabilities included above, amount to (88,530) Long term liabilities issued by the municipality and held by reserve funds as investments amount to (121,000). Net long term liabilities at the end of the year $2,071.930 ACCUMULATED NET REVENUE (DEFICIT) AT THE END OP TM YEAR The balance in the revenue fund at the yepr ond is available to reduce (to be added to) the levies of the following classes of ratepayers. - 1 9 8 1 1 9 8 0 General ratepayers $79,387 $147,495 .. School board ratepayers 269 1,394 County ratepayers 70 2,497 $79,726- $151,386 6. CHARGES FOR NET LONG TERM LIABILITIES Total charges for the year for long term liabilitieswere as follow: 1 9 8 1 1 9 8 0 Principal payments including contributions to sinking funds and to the Ministry of Enviror1ent Debt Retirement Fund $104,311 ' $ 67,884 Interest - 217,819 191,230 .109.074 $322.130 8259.114 1980 Ansel 8 444,878 Of the. total charges shown above, $264,498 were paid from general municipal revenues of the municipality and ars included in expenditure on the Statement of *avenue and Expenditure classified under the appropriate functional headings. The reseieing $57,632 were recovered from municipal enterprises for which the related net long term liabilities were incurred and are. not reflected in the statement. 7. LIABILITY FOR VESTED SICK LEAVE BENEFITS Under the sick leave benefit plan, unused sick leave can accumulate and an 79.708 employee may become entitled to a cash payment when they leave the municipality's employment. The liability for these accumulated dews, to the extent that they have 79,877 vested and could be taken in cash by an employes on ruminating, amounted to $13,804 at• the end of. the year. Mb provision hes been made .for this liability. . 64,211 668,274 2,297,241 128,547 3,094,062 LIABILITIES Curtest liabilities Tetnporuy loans Accounu psyab'.• and accrued liabilities Other current liabilities Net Tong term liabilities Reserves and reserve funds Accumulated net revenue (deficit) and unapplied capital receipu NOTES TO THE FINANCIAL STATEMENTS AOLOIEITING POLICIES (a) 135,010 . -2�04i _142.055 2,071,510 673,277 227,100 1980 . Ansel $ 71,862 �2.22A 2,152,241 . 492,344 Statement of Revenue and Expenditure This statement reflects the revenues and expenditures of the revenue fund and the following local boards: Exeter Cemetery Board South Huron Recreation Committee Easter Public Utilities Commission - water Department (b) Statement of Capital Operations This statement reflects the capital expenditure of the municipality to be reoovered.1rom the general municipal revenue of the municipality and its local bo.,rds as 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 local boards as described in note 1(a). The assets and liabilities of enterprises that heve not been consolidated are reflected only to the extent of their related net long term liabilities and capital outlay to be recovered in future years. (d) Fixed Asset. The historical cost and accumulated depreciation of fixed assets is not reported for municipal purposes. Instead, the 'Capital oulny to be recovered in future years* which is the aggregate of the principal portion of umstured long term liabilities, capital funds transferred to other organizations, and the cost of capital projects not yet permanently financed is reported on the Balance Beset. (e) Municipal enterprises Municipal enterprises are those activities whose costs are substantially recovered from service charges on the users. The enterprlsoa of this municipality whose revenues and expenditures have not boon consolidated In three financial statements are, . Beater Public Utilities Commission - Hydro Department (f) 1]ar9es foo net long torn liabilities Debt, retirement costs including principal and interest are charged_ against current revenues In the periods in which they aro paid. Interest °Mingo• are not accrued for the periods from the dates of the latest interest peymeate to the end of the financial year. 2 C1PI7RL OUTLAY 1018 MOVE= IM FUTURE YEARS (a) Same capital outlay.to be recovered in future years does not represent a buratto ma general municipal revenues, as it is to be recovered in fetes years from other sources:. ee.51itting landowners IBwlolpel enterprises Downtown euelnesemen'. Associations re 1 9 8 1 1 9 9 0 $ 9.310 $ 10.000 721,167 759.320 90,000 100.000 '$ 820,677 $869,320 TOWN OF EXETER CEMETERY BOARD BALANCE SHEET POR THE YSJsH ENDED DECENSAI 31, '4981 (with comparative figures for the year ended December 31', 1980) Revenue: Sale of plots Burial charges Foundations and markers. Interest transferred frm Perpetual Caro Transfer fro. Toon of Easter Sundry Expenses: Administration and general .Depreciation Heat and light Supplies and repairs Wagis and benefits Excess of revenue over expenditure (expenditure over revenue' Surplus, January 1 Surplus, December 31 TOWN OF'EXETER CEMETERY BOARD STATEMENT OF REVENUE, EXPENDITURE AND SURPLUS TOWN cc t315711l CD1EIT IT BOARD 1 9 8 1 1 9 8 0 $ 4,665 8,040 2,745 3,896 6,000 593 $ 9,621 7,765 2,653 18,464 14,000 e1,107 5S,939 53,610' 2,429 913 2,084 2,727 48,968 1,702 681 2,033 1,682 44,157 S7,121 50,255 (1,182) 25.425 $24,243 BALANCE 811btT DEMU=R 31 1981 (with comparative figures at December 31, 1980) ASSETS Current: Cash Accounts receivable Fixed - at cost: Land Buildings Tools and equipment Less accumulated deprsclatlon Other - at cost: Perpetual Care assets Pre -need Pund assets 4 LIABILITIES AND SURPIAS payable genual Care Pard Total current liabilities Current: Accounts Due to Per Total assets Reserves, Re fon Perpetual Care contracts Reserve for Pre -need Service contracts Reserve for Perpetual Flowers Surplus Total liabilities and surplus 3,355 22070 $25,425 1 9 8 1 1 9 8 0 $ 9,803 $ 4,709 23,696 1,325 33,499 6,094 10.225 10,225 10,714 8,032 7.552 5,595 28,491 23,852 ' 5.171 4,258 23.320 19,594 206,388 1,947 195,148 1,935 208,335 197,083 $222.771 $ SOO $ 162 7,045 101 7,545 263 134,842 105,680 1,947 1,935 96,578 89,468 233,367 197.087 24,243 25.42S 1265,155 -$222071 Please turn to pag46J3 • 1'