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HomeMy WebLinkAboutCST 18-11PICKERING From: Gillis A. Paterson Director, Corporate Services & Treasurer Report To Executive Committee Report Number: CST 18-11 Date: May 9, 2011 Subject: Cash Position Report as.at December 31, 2010 Recommendation: That report CST 18-11 from the Director, Corporate Services & Treasurer regarding Cash Position as at December 31, 2010 be received for information. Executive Summary: The attached schedules provide the City of Pickering's cash position, continuity of taxes receivable, outstanding investments, development charges collected and other development contribution information for the six months ended December 31, 2010. The cash position of the Corporation for six months ended December 31, 2010 was a net increase in cash of $9,519,792 resulting in a bank balance of $7,198,973. Sources 'of Funds totalled $121,787,941 and Uses of Funds totalled $112,268,149. In summary, 2010 has shown moderate improvements in most of the key indicators: • Tax arrears decreased slightly by 0.36% over 2009 to $6.6 million. • Development charges collected are up by 26% over the same period in 2009. • Building permits issued in 2010 are likewise up by 40% compared to 2009 but remain below previous years. The City's investment portfolio remains well balanced with a slight increase in interest rates on both short and long term investments over 2009. In summary, the City's cash position remains strongly positive as it has been in previous years reflecting sound financial management practices. Financial Implications: This report does not contain any financial implications. Report CST 18-11 Date: May 9, 2011 Subject: Cash Position Report as at December 31, 2010 Page 2 5 Sustainability Implications: This report does not contain any sustainability implications. Background: This reportpresents a six-month period of activity ending December 31, 2010. The discussion below describes the purpose and provides summary information contained in each of the attached schedules. Statement of Cash Position: Attachment 1 reflects the City's sources and uses of funds for the second half of 2010. Subcategories have been identified to highlight those cash transactions that are material in nature or with large dollar values for the City. This schedule summarizes the increase in cash of $9,519,792 over the last six months of the year. Although the 2010 year end balance of $7,198,973 is approximately $831,582 less than the 2009 year end balance, year to year periodical comparison may not be useful due to the timing differences of receipts and disbursements. Continuity of Taxes Receivable: Attachment 2 summarizes the tax related transactions from July 1 to December 31, 2010 and provides the outstanding taxes receivable as at December 31, 2010. This balance represents all three levels of taxes billed for the City, Region and School Boards. Year to year totals vary because of timing differences in due dates and amounts of supplementary billings. Current year's taxes receivable of about $6.6 million is approximately 3.9% (2009 - 4.8%, 2008 - 4.4%, 2007 - 4.3%, 2006 - 4.2%) of the $168.1 million total taxes billed as at December 31, 2010 and 38.8% (2009 - 45.6%, 2008 - 47.6%, 2007 - 49.6%, 2006 - 50.9%) of the $17.-OM total receivable. Outstanding Investments: Attachment 3 reflects the short- and long-term investments for both Current and Reserve Funds outstanding as at December 31, 2010. Total investments vary from year to year depending on the timing of collection and remittance of development charges and supplementary taxes. Total investment portfolio as at December 31, 2010 increased approximately $7.2M or 11.6% from 2009. This is primarily a result of the receipt of Gas Tax and debenture proceeds in the fall of 2010. Development Charges Collected: As the City is responsible for the collection of development charges on behalf of all levels of government, Attachment 4 shows the total amounts collected for the City, Region and School Boards. Compared to 2009, 2010 collection is up by 26% or $544,588 from $2,094,665 to $2,639,253.The total collection as reported under the Sources of Funds on Attachment 1 does not match the remittance amounts to the Region and School Boards indicated under the Use of Funds also in Attachment 1. This variance is a result of timing differences in payments to the Region and School Boards as monies become payable to these bodies 25 days following the month of collection by the City. Report CST 18-11 Date: May 9, 2011 Subject: Cash Position Report as at December 31, 2010 Page 3 5 Other Development Contributions: Attachment 5 is provided to show other significant development contributions received in 2010. Multi Year Receipts: The balance of the Attachments shows multi year receipts of the City's portion of development charges as presented on a linear chart. Collections in 2010 increased by 49.6% or $548,202 from $1,104,861 in 2009 to $1,653,063 in 2010. This increase shows a positive indicator of recovery following the recent economic downturn. Similarly, building permits issued in 2010 increased by 40% or 160 from 404 in 2009 to 564 in 2010. Again, a positive indicator of economic growth in the City. Attachments: 1. Statement of Cash Position 2. Continuity of Taxes Receivable 3. Outstanding Investments 4. Statement of Development Charges Collected 5. Other Development Contributions 6. Building Permits Issued 2000- 2010 7. City Portion of Development Charges Collected 1991-2010 Prepared By: Dennis P. Arboleda Supervisor, Accounting Services DA:da Copy: Chief Administrative Officer Approved / Endorsed By: Gillis A. Paterson Director, Corporate Services & Treasurer Recommended for the consideration of Pickering Cou it ~f 201l Tony P edel, P.Eng Chief Administrative Officer ATTACHMENT #-t-TO REPORT # "S'r If-)) 57 City of Pickering Cash Position Statement for six months ending December 31, 2010 Accounts Receivable collected Development charges collected ' Operating Grants-in-lieu: Federal Provincial Ontario enterprises Municipal enterprises Linear Properties Federal specific grants Ontario specific grants Interest Income Sale of land Tax payments received POA Revenue $ 796,520 2,639,253 49,636,099 Total )t Funds: Operating and Capital Expenditures Payroll Region Levy Regional portion of Dev. Charges School Board Levies School Board portion of Dev. Charges Debenture payment to Region Total Net Cash Increase (Decrease) FINANCIAL POSITION 991,230 60,636 2,471,366 719,664 504,875 14,919 255,153 187,525 63,416.,123 94,578 $ 121,787,941 $ 40,194,912 18,535,919 28,820,192 2,351,212 20,871,383 117,840 1,376,691 $ 112,268,149 $ 9,519,792 Bank Balance Net Cash Bank Balance July 1, 2010 2 Provided (Used) December 31, 2010 Current Fund $ (2,320,819) $ 9,519,792 $ 7,198,973 I TOTAL Is (2,320,819) $ 9,519,792 $ 7,198,973 Includes City, Region and School Boards 2 Adjusted to include levy and debenture payments to the Region issued in June 2010 but post dated to July 2010 in the amounts of $16,531,253.17 and $631,179.48 respectively. Report CST 18-11 Date: May 9, 2011 Subject: Cash Position Report as at December 31, 2010 Page 2 5 Sustainability Implications: This report does not contain any sustainability implications. Background: This reportpresents a six-month period of activity ending December 31, 2010. The discussion below describes the purpose and provides summary information contained in each of the attached schedules. Statement of Cash Position: Attachment 1 reflects the City's sources and uses of funds for the second half of 2010. Subcategories have been identified to highlight those cash transactions that are material in nature or with large dollar values for the City. This schedule summarizes the increase in cash of $9,519,792 over the last six months of the year. Although the 2010 year end balance of $7,198,973 is approximately $831,582 less than the 2009 year end balance, year to year periodical comparison may not be useful due to the timing differences of receipts and disbursements. Continuity of Taxes Receivable: Attachment 2 summarizes the tax related transactions from July 1 to December 31, 2010 and provides the outstanding taxes receivable as at December 31, 2010. This balance represents all three levels of taxes billed for the City, Region and School Boards. Year to year totals vary because of timing differences in due dates and amounts of supplementary billings. Current year's taxes receivable of about $6.6 million is approximately 3.9% (2009 - 4.8%, 2008 - 4.4%, 2007 - 4.3%, 2006 - 4.2%) of the $168.1 million total taxes billed as at December 31, 2010 and 38.8% (2009 - 45.6%, 2008 - 47.6%, 2007 - 49.6%, 2006 - 50.9%) of the $17.-OM total receivable. Outstanding Investments: Attachment 3 reflects the short- and long-term investments for both Current and Reserve Funds outstanding as at December 31, 2010. Total investments vary from year to year depending on the timing of collection and remittance of development charges and supplementary taxes. Total investment portfolio as at December 31, 2010 increased approximately $7.2M or 11.6% from 2009. This is primarily a result of the receipt of Gas Tax and debenture proceeds in the fall of 2010. Development Charges Collected: As the City is responsible for the collection of development charges on behalf of all levels of government, Attachment 4 shows the total amounts collected for the City, Region and School Boards. Compared to 2009, 2010 collection is up by 26% or $544,588 from $2,094,665 to $2,639,253.The total collection as reported under the Sources of Funds on Attachment 1 does not match the remittance amounts to the Region and School Boards indicated under the Use of Funds also in Attachment 1. This variance is a result of timing differences in payments to the Region and School Boards as monies become payable to these bodies 25 days following the month of collection by the City. Report CST 18-11 Date: May 9, 2011 Subject: Cash Position Report as at December 31, 2010 Page 3 5 Other Development Contributions: Attachment 5 is provided to show other significant development contributions received in 2010. Multi Year Receipts: The balance of the Attachments shows multi year receipts of the City's portion of development charges as presented on a linear chart. Collections in 2010 increased by 49.6% or $548,202 from $1,104,861 in 2009 to $1,653,063 in 2010. This increase shows a positive indicator of recovery following the recent economic downturn. Similarly, building permits issued in 2010 increased by 40% or 160 from 404 in 2009 to 564 in 2010. Again, a positive indicator of economic growth in the City. Attachments: 1. Statement of Cash Position 2. Continuity of Taxes Receivable 3. Outstanding Investments 4. Statement of Development Charges Collected 5. Other Development Contributions 6. Building Permits Issued 2000- 2010 7. City Portion of Development Charges Collected 1991-2010 Prepared By: Dennis P. Arboleda Supervisor, Accounting Services DA:da Copy: Chief Administrative Officer Approved / Endorsed By: Gillis A. Paterson Director, Corporate Services & Treasurer Recommended for the consideration of Pickering Cou it ~f 201l Tony P edel, P.Eng Chief Administrative Officer ATTACHMENT #-t-TO REPORT # "S'r If-)) 57 City of Pickering Cash Position Statement for six months ending December 31, 2010 Accounts Receivable collected Development charges collected ' Operating Grants-in-lieu: Federal Provincial Ontario enterprises Municipal enterprises Linear Properties Federal specific grants Ontario specific grants Interest Income Sale of land Tax payments received POA Revenue $ 796,520 2,639,253 49,636,099 Total )t Funds: Operating and Capital Expenditures Payroll Region Levy Regional portion of Dev. Charges School Board Levies School Board portion of Dev. Charges Debenture payment to Region Total Net Cash Increase (Decrease) FINANCIAL POSITION 991,230 60,636 2,471,366 719,664 504,875 14,919 255,153 187,525 63,416.,123 94,578 $ 121,787,941 $ 40,194,912 18,535,919 28,820,192 2,351,212 20,871,383 117,840 1,376,691 $ 112,268,149 $ 9,519,792 Bank Balance Net Cash Bank Balance July 1, 2010 2 Provided (Used) December 31, 2010 Current Fund $ (2,320,819) $ 9,519,792 $ 7,198,973 I TOTAL Is (2,320,819) $ 9,519,792 $ 7,198,973 Includes City, Region and School Boards 2 Adjusted to include levy and debenture payments to the Region issued in June 2010 but post dated to July 2010 in the amounts of $16,531,253.17 and $631,179.48 respectively. CD Y V a 0 V as V Li k 0 r~+ C 0 v 0 r O N r M L E V C d N 0 E x In L O N M M 0 IT O M II- N I- O O ICT N O O co Il- M d f` I` O N N M V N. 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