currently working with YQG & Windsor Tunnel staff to put forward a case to secure financial relief for these two entities which is due on Nov 6th.

As these organizations are wholly owned by the City, there is a high likelihood the City may be required to provide them financial assistance due to their losses in order to ensure they remain viable. To date the City is working with Windsor Detroit Borderlink Limited (WDBL) to establish a $5 million intercompany open line of credit to assist with anticipated cash flow shortfalls expected in early 2021. As the Phase 2 funding for municipal operations includes recognition of external transfers and loans, and seeks to understand what unique circumstances a municipality may have to support the need for funding, Administration will include the projected losses for these GBEs in our Phase 2 submission request.

While there is no certainty that our application for financial relief will be successful, we feel it is necessary to put forth our submission for financial assistance to the Province for this unique situation. It is clear, that the extraordinary 2020 revenue losses of both entities are permanent foregone revenues that will not be recovered and therefore represent a permanent reduction in reserves/equity for future investments in the infrastructure requirements for both entities.

2020 Flooding Prevention

Throughout this year, water levels have remained extremely high, bringing with it the risk of localized flooding. The City has undertaken various flood mitigation measures, including offering sand and sandbags, where and as needed.

Although there have been costs of approximately $275,000 associated with this event, departments have been able to generally absorb these expenditures within their departmental budgets. It is however possible that these costs may have an impact on the final corporate variance for 2020. Any variances will be reported at year-end.

Risk Analysis:

The largest risk by far this year has been the implications of the COVID 19 Pandemic and its impact on City operations.

Administration has attempted to quantify the impact of the COVID pandemic to the City’s finances for the remainder of the year with the use of significant assump tions and uncertainty. As the situation continues to change daily due to COVID 19, it is extremely difficult to provide any degree of certainty as to the full financial impacts to the Corporation. There remain many variables, including:

1. The length of the crisis. It is still unknown when the restrictions will be fully lifted or if additional restrictions will need to be reinstated. Although we have projected the financial impacts to the end of the year, there remain significant uncertainties as to the recovery from the COVID 19 crisis.