Item No. 8.2

Council Report: C 192/2020

Subject: 2020 Third Quarter Operating Budget Variance Report

Reference:

Date to Council: November 9, 2020
Author: David Soave
Manager, Operating Budget Development & Financial Administration
519-255-6100 Ext. 1911
dsoave@citywindsor.ca

Financial Planning

Report Date: October 19, 2020

Clerk’s File #: AFB/13467

To : Mayor and Members of City Council

Recommendation:

THAT City Council RECEIVE FOR INFORMATION the 2020 3 rd Quarter Operating Budget Variance Report, including the updated COVID 19 financial impacts from the Chief Financial Officer and City Treasurer; and,

THAT the Chief Administrative Officer and the Chief Financial Officer & City Treasurer BE DIRECTED to monitor the 2020 Operating Budget and continue to seek further means of offsetting any potential variances that may arise.

Executive Summary:

The projected 3 rd Quarter Variance report, including the updated financial implications of the City’s response to the COVID -19 Pandemic is summarized in the following chart with the year-end projected variances estimated to the end of 2020. It is projected that once the grant funding announced by senior levels of government is factored in, the total net municipal financial impact for 2020 amounts to a preliminary deficit of approximately $0.4M. Due to the extraordinary circumstances in 2020 resulting from the Pandemic, the 3rd Quarter report this year also includes the financial projections for various Government Business Enterprises (GBEs), namely the Windsor Detroit Borderlink Limited (WDBL) / Windsor Detroit Tunnel Corporation (WDTC) and YQG Windsor International Airport. Given the significant financial impacts to these entities caused by the COVID travel restrictions, the City will be including these losses in our Safe Restart Municipal Phase 2 submission for funding that will be submitted to the Province by November 6th. Once these GBE variances totalling $9.4M are included, the overall corporate shortfall is projected to be $9.8M .