HomeMy WebLinkAboutCS 41-08
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REPORT TO
EXECUTIVE COMMITTEE
Report Number: CS 41-08
Date: September 8, 2008
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From:
Gillis A. Paterson
Director, Corporate Services & Treasurer
Subject:
Cash Position Report as at June 30, 2008
Recommendation:
Th~t Repo~ CS 41-08 of the Director, Corporate Services & Treasurer 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 June
30, 2008.
Financial Implications: The cash position of the Corporation for six months ended
June 30, 2008 was a net increase in cash of $4,616,927 to $7,965,887. Sources of
Funds totalled $114,194,202 and Uses of Funds totalled $109,577,275.
Mid-year cash balances and future revenues are set to meet the cash requirements for
the second half of 2008. The positive net cash balance shows the City is in a sound
financial position vis-a.-vis the 2008 budget.
Sustainability Implications: This report does not contain any sustainability
implications.
Background: This report presents a six-month period of activity ending June 30,
2008. The discussion below describes the purpose and the information contained in
each of the attached schedules.
Statement of Cash Position: Attachment 1 reflects the sources and uses of funds for
the first half of 2008. Subcategories have been identified to highlight those cash
transactions that are significant in nature or large dollar value transactions for the City
Report CS 41-08
Date: September 8, 2008
Subject: Cash Position Report as at June 30, 2008
Page 2
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of Pickering. This schedule summarizes the increase in cash of $4,616,927 over the
first six months. The 2008 mid-year balance is approximately $291,000 less compared
to 2007. However, year to year periodical comparisons may not be useful due to timing
of receipts and disbursements.
Continuity of Taxes Receivable: Attachment 2 summarizes the tax related transactions
from January 1 to June 30, 2008 and provides the outstanding taxes receivable as at
June 30, 2008. This balance represents all three levels of taxes billed, such as City,
Region and School Boards. This has increased over the past several years but may
vary where due dates and amounts for supplementary billings change from year to
year.
Current year's taxes receivable of $59.1 million is approximately 43.8% of the $134.8
million total taxes billed as at June 30, 2008. This percentage is comparatively high as a
large portion of the current year's taxes due on July 9, 2008 are reported as outstanding
as at June 30, 2008.
Of the total outstanding $68.2 miilion taxes receivable, $59.1 million or 86.7% are from
the current year and $9.1 million or 13.3% are from prior years.
Outstandinq Investments: Attachment 3 reflects the short-term and long-term
investments for both the Current Fund and the Reserve Funds outstanding as at June
30, 2008. Investments vary within every year depending on the timing of the collection
and remittance of development charges and supplementary taxes. Total investment
portfolio as at June 30, 2008 is $50.4 million with $4.2 million coming from internal
loans and $46.2 million from general investments.
Development Charqes Collected: Attachment 4 indicates the total development
charges for the City, Region and School Boards, as the City is responsible for collecting
development charges on behalf of all levels of government. The total amount collected
of $4,903,931 agrees with the balance indicated under Sources of Funds on
Attachment 1. However the remittance of development charges to the Region and
School Boards indicated under the Use of Funds is different than the total collected on
Attachment 4. This variance is a result of timing differences because payments to the
Region and School Boards are due 25 days following the month collected.
Development charges collected in the first six months of 2008 is approximately $3.2
million or 190.7% higher than the amount collected over the same period in 2007.
Other Development Contributions: Attachment 5 is provided to show other significant
development contributions that have been received.
Multi year Receipts: The balance of the tables shows multi year receipts. The first half
of 2008 total collections of the City portion of development charges are up over the
same period last year and the highest over the same period from 2003. This is
Report CS 41-08
Date: September 8, 2008
Subject: Cash Position Report as at June 30, 2008
Page 3
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consistent with the 383 Building Permits issued this year compared to 287 issue over
the same period last year, an increase of 33%.
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 - 2007
7. City Portion of Development Charges Collected 2003 - 2007 (Semi-annual)
8. City Portion of Development Charges Collected 1991-2007
Prepared By:
Approved I Endorsed By:
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Gillis A. Paterson
Director, Corporate Services & Treasurer
Dennis P. Arboleda
Supervisor, Accounting Services
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Copy: Chief Administrative Officer
Recommended for the consideration of
Pickering City Co "I _\
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TTACHMENT#-LTOREPORTh .,~ <-/1' ,
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City of Pickering
Cash Position Statement
for six months ending June 30, 2008
Sources of Funds:
Accounts Receivable collected $ 2,924,839
Development charges collected 4,903,931
Operating 2,024,907
Grants-in-lieu:
Federal 802,387
Provincial 338,681
Ontario enterprises 4,034,893
Municipal enterprises 651,457
Linear Properties -
Federal specific grants 10,935
Ontario specific grants 1,117,742
Interest Income 867,271
Sale of land -
Tax payments received 96,495,652
POA Revenue 21,507
Total $ 114,194,202
Use of Funds:
Operating and Capital Expenditures $ 29,575,317
Payroll 16,366,530
Region Levy 40,565,449
Regional portion of Dev. Charges 1,699,726
School Board Levies 20,808,126
School Board portion of Dev. Charges 163,170
Debenture payment to Region 398,957
Total $ 109,577,275
Net Cash Increase (Decrease) $ 4,616,927
FINANCIAL POSITION
Bank Balance Net Cash Bank Balance
January 1, 2008 Provided (Used) June 30, 2008
Current Fund $ 3,348,960 $ 4,616,927 $ 7,965,887
TOTAL $ 3,348,960 $ 4,616,927 $ 7,965,887
Note: Includes City, Region and School Boards
Cash Position June 2008NET CHANGES
City of Pickering
Continuity of Taxes Receivable
for six months ending June 30, 2008
Dec 31/07 Penalty and Taxes Supplementary Tax Payments and Jun 30/08
Receivable Interest Added Billed Taxes Billed Write Ofts Adjustments Receivable
$ $ $ $ $ $ $
Current Year
Taxes 134,792,915 (43,535) (75,618,140) 59,131,240
Penalty and Interest 251,584 (134,107) 117,477
2007
Taxes 6,465,409 (265,461 ) (2,322,972) 3,876,976
Penalty and Interest 353,262 414,708 (367,776) 400,194
2006
Taxes 2,682,996 (79,739) (766,598) 1,836,659
Penalty and Interest 357,171 175,215 (205,635) 326,751
2005
Taxes 1,011,874 (276) (338,751) 672,847
Penalty and Interest 252,683 86,386 (125,223) 213,846
Prior Years
Taxes 1,734,472 (323,711) 1,410,761
Penalty and Interest 279,700 64,579 (147,536) 196,743
TOTAL 13,137,567 992,472 134,792,915 - (389,011 ) (80,350,449) 68,183,494
2008 Tax installment due dates:
Commercial (February 28 & April 28, 2008)
Residential (February 28, April 28, July 9, September 26, 2008)
Tax Write Offs reflects "Minutes of Settlement", Assessment Review Board Decisions and Council approved adjustments under
Section 357 & 358 of the Municipal Act, 2001.
Cash Position June 2008TAXES RECVBL
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City of Pickering
Outstanding Investments
as at June 30, 2008
Name of Financial Purchase Maturity Interest Principal Interest #of Days Value at
Security Institution Date Date Rate Amount Payable OIS Maturity
SHORT TERM INVESTMENTS
Current & Reserve Fund Investments
Nesbitt Burns BNS BA 24-Apr-08 23-Jul-08 3.00% 3,026,589.85 22,410.15 90 3,049,000.00
Nesbitt Burns BNS BON DISCOUNT NOTE 14-May-08 14-Aug-08 3.00% 2,999,304.78 22,695.22 92 3,022,000.00
Nesbitt Burns BNS BON DISCOUNT NOTE 23-May-08 25-Aug-08 2.94% 3,039,004.38 22,995.62 94 3,062,000.00
Nesbitt Burns FIRST BANK BA 03-Jun-08 02-Sep-08 2.87% 4,831,451.40 34,548.60 91 4,866,000.00
Nesbitt Burns BNS BON DISCOUNT NOTE 12-Jun-08 17 -Sep-08 2.95% 4,274,483.76 33,516.24 97 4,308,000.00
Nesbitt Burns BNS BON DISCOUNT NOTE 26-Jun-08 25-Sep-08 3.00% 1,195,066.32 8,933.68 91 1,204,000.00
Nesbitt Burns BNS BON DISCOUNT NOTE 26-Jun-08 25-Sep-08 3.00% 3,234,818.22 24,181.78 91 3,259,000.00
TOTAL SHORT TERM INVESTMENTS $ 22,600,718.71 $ 169,281.29 $ 22,770,000.00
LONG TERM INVESTMENTS
Current & Reserve Fund Investments
Nesbitt Burns PROVINCE OF ONTARIO 09-May-06 19-May-09 4.00% $ 616,251.64 SEMI-ANNUAL (MAY 19 & NOV 19) $ 619,000.00
Nesbitt Burns CANADA HOUSING TRUST 02-Aug-06 15-Sep-09 4.65% 3,930,566.75 SEMI-ANNUAL (MAR 15 & SEP 15) 3,883,000.00
Nesbitt Burns BNS DEPOSIT NOTES 18-Mar-08 18-Feb-08 3.93% 1,276,697.70 SEMI-ANNUAL (FEB 18 & AUG 18) 1,266,000.00
Nesbitt Burns CANADA HOUSING TRUST 01-May-08 15-Mar-10 3.75% 2,624,132.73 SEMI-ANNUAL (MAR 15 & SEP 15) 2,589,000.00
Nesbitt Burns CANADA HOUSING TRUST 01-May-08 15-Sep-10 3.55% 2,986,422.15 SEMI-ANNUAL (MAR 15 & SEP 15) 2,957,000.00
Nesbitt Burns ALBERTA DEPOSIT NOTES 22-Apr-08 01-Jun-11 4.10% 3,059,400.00 SEMI-ANNUAL (JUN 1 & DEC 1) 3,000,000.00
Nesbitt Burns CANADA HOUSING TRUST 18-Mar-08 15-Sep-11 4.60% 2,584,568.25 SEMI-ANNUAL (MAR 15 & SEP 15) 2,475,000.00
Nesbitt Burns PROVINCE OF ONTARIO 22-Apr-08 02-Dec-11 4.40% 3,087,900.00 SEMI-ANNUAL (JUN 2 & DEC 2) 3,000,000.00
Nesbitt Burns BANK OF MONTREAL 26-Feb-08 26-Feb-14 4.05% 2,000,000.00 SEMI-ANNUAL (FEB 26 & AUG 26) 2,000,000.00
Nesbitt Burns BANK OF MONTREAL 25-Jun-08 25-Jun-12 4.60% 1,620,000.00 SEMI-ANNUAL (MAY 19 & NOV 19) 1,620,000.00
TOTAL LONG TERM INVESTMENTS $ 23,785,939.22 $ 23,409,000.00
TOTAL INVESTMENTS $ 46,386,657.93 $ 46,179,000.00
Internal Investments to Capital Projects Yield: 3.67 - 4.70% $ 4,184,100.00 Term: 3 - 10 years
Cash Position June 2008SECURITIES
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City of Pickering
Development Charges Collected
for six months ending June 30, 2008
Durham District Durham Catholic
City's Portion Region of Durham School Board School Board Total
$ $ $ $ $
AMOUNT COLLECTED
January 232,314 752,715 3,832 1,348 990,209
February 54,672 5,115 6,706 2,359 68,852
March 840,647 898,069 103,464 36,396 1,878,576
April 0 1,321 0 0 1,321
May 91,586 26,596 3,832 1,348 123,362
June 671,184 1,059,057 82,388 28,982 1,841,611
TOTAL 1,890,403 2,742,873 200,222 70,433 4,903,931
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City of Pickering
Other Development Contributions
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for six months ending June 30, 2008
CONTRIBUTIONS:
Cash - In - Lieu of Parkland $446,900
TOTAL CASH-tN-LIEU $446,900
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Cash Position June 20080ther Dev,Contrbtns
900
850
800
750
700
650
600
550
500
450
400
350
300
250
200
150
100
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Building Permits Issued
2000 - 2008
I -+- No. of Permits I
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3,000,000.00
2,500,000.00
2,000,000.00
1,500,000.00
1,000,000.00
500,000.00
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City Portion of
Development Charges Collected
2003 - 2008
I--+- City Portion I
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2003
1st half 2nd
2004 half
2004
1 st half 2nd
2005 half
2005
1st half 2nd
2006 half
2006
1st half 2nd
2007 half
2007
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City Portion of
Development Charges Collected
1991 - 2008
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3,500,000
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