5. AND FURTHER THAT the resolution be forwarded to the Association of Municipalities of Ontario and the Ontario Ministry of the Environment, Conservation and Parks.
24-2020
Carried Unanimously
11. Finance and Administration
A. 2019 Audited Financial Statements
The Manager of Finance referred to page 42 of agenda package. She noted that the auditor’s report and financial reports are attached to the agenda.
The Manager of Finance stated that KPMG has issued an “unmodified” audit position meaning that the 2019 financial statements present fairly the financial position of the Authority at December 31, 2019.
The Manager of Finance noted at the bottom of page 42 regarding the City of Windsor owing the Authority money from strip bonds. The strip bonds mature in 2024 and they will be used for the development of cell 5 at the Regional Landfill.
The Manager of Finance stated that the line item regarding the Regional Landfill post closure is strictly a financial statement disclosure. She noted that this is a liability that must be included on the Authority’s financial statements. The actual post closure funding will begin in 2031 once the Regional Landfill debenture is paid.
The Manager of Finance stated that the balance of $60 million is a debenture to Sun Life for construction of the Regional Landfill. The last payment will be in 2031.
The Manager of Finance noted that on the top of page 44 of the agenda package is a summary of the Authority’s reserves and a brief description of what the reserves are used for. She also noted the net book value balance of tangible assets is $33 million.
The Manager of Finance noted on page 45 of the agenda package is the 2019 accumulated deficit. She noted that the material difference between 2018 and 2019 is the Regional Landfill post closure cost and stated there is a plan to fund this once the Regional Landfill debenture is paid in 2031.
The Manager of Finance stated that for 2019 there was a $323,000 operating surplus. She stated that this amount has been moved to the Rate Stabilization Reserve.
The Manager of Finance stated that the Authority utilizes their reserves for acquisition of capital items instead of external borrowing resulting in lower borrowing costs. The table on page 44 of the agenda package details the outstanding loan balances due to Authority reserves.