HomeMy WebLinkAboutCS 27-02
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REPORT TO THE
FINANCE & OPERATIONS COMMITTEE
Report Number: CS 27-02
Date: October 28,2002
From:
Gillis A. Paterson
Director, Corporate Services & Treasurer
Subject:
Establish a Reserve for Continuing Studies and Reserve
Recommendation:
1. It is recommended that Report CS 27-02 of the Director, Corporate Services be
adopted by Council and that:
2. the Treasurer be authorized to establish a Reserve to be known as the Reserve for
Continuing Studies and Consulting and that the Treasurer be authorized to transfer
any funds in the annual Current and Capital Budget approved for such undertakings
and unspent at year end in each year hereafter to the Reserve;
3a)the $75,000 approved in the 2002 Current Budget General Government (2126-
2392) for the City's portion of the asset equalization payment in regards to APT A be
transferred to this Reserve;
b) the amount of $75,000 as approved in the 2001 Capital Budget for asset
equalization be transferred to this Reserve; and,
4. the appropriate officials of the City of Pickering be authorized to take the necessary
action to give effect hereto.
Executive Summary:
Not Applicable
Financial Implications: Transfer of $75,000 approved under general consulting for a
portion of the asset equalization payment necessary regarding APT A.
Report CS 27-02
Date: October 28,2002 177
Subject: Establish a Reserve for Continuing Studies and Consulting
Page 2
Background:
Reserve for ContinuinQ Studies and ConsultinQ
Quite often the annual current budget contains provisions for studies, consultants,
lawyers etc. to be engaged in some respect to assist in the business of the City. Often
these efforts are not completed by year end. Under accounting rules, the approval to
expend the funds for these efforts ceases at year end, however, the work may continue
beyond that date. Recommendation #2 provides for the establishment of a Reserve to
transfer unspent funds into and accommodate this frequent timing difference between
the approval and the expenditure. Should the efforts continue into the following year
the Treasurer is authorized to continue to pay bills under the original Council approval.
However, the Current Budget for the immediately following year must include the
balance of the expenditures with the funding to be provided from the Reserve. In this
way, efforts can continue as originally approved by Council.
In the 2002 Current Budget there was $75,000 approved under General Government
Consulting (2126-2392). This represented a portion of the funds to pay to the Town of
Ajax for asset equalization purposes in regards to APT A. This payment will be
necessary once the assets are transferred to APT A. Similar action is required in
regards to the 2001 provision. The 2003 Current Budget will contain a similar provision.
Attachments:
Not applicable
Prepared I Approved I Endorsed By:
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Gillis A. Paterson
Director, Corporate Services & Treasurer
GAP:vw
Copy: Chief Administrative Officer
Recommended for the consideration of
Pickering City Council
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