City of Courtenay Annual Report 2021 draft

The Corporation of the City of Courtenay

Notes to Consolidated Financial Statements Year ended December 31, 2021 14. RESTATEMENT OF 2021 BUDGET The budget amounts presented throughout these consolidated financial statements are based upon the Five Year Fi nancial Plan approved by Council on April 19, 2021 except in regard to budget amounts for amortization, tangible capital assets, and the use of debt, reserves and prior year surpluses. The summary below shows the adjustments to the April 19, 2021 budget approved by Council and reflected in these consolidated financial statements:

Adjustments to 2021 Budgeted Annual Surplus Budgeted Surplus per Council approved Budget

$

Purchase of Capital Assets Amortization Budgeted Transfer from Reserves

19,229,800 (5,650,000) (9,406,000) 4,087,700 (3,427,200) (3,400,000) 1,003,100

Transfer to Reserves

Use of Prior Year Surplus Debt Issues in Financial Plan

Debt principle repayments in Financial Plan

Budgeted Surplus per Consolidated Statement of Operations

$2,437,400

15. CONTRACTUAL RIGHTS Following is the breakdown of the contractual rights at December 31, 2021:

Contractual Right with Courtenay Fire Protection District

Description of Contractual Right

2022

2023

2024

2025

2026

Total

Courtenay Fire Protection

475,367

484,875

494,572

504,464

514,553

$2,473,831

16. SIGNIFICANT EVENT During the 2020 and 2021 years, there was an outbreak of COVID-19 (coronavirus), which has had a significant impact on organizations through the restrictions put in place by the Canadian, provincial and municipal governments regarding travel, municipal operations and isolation/quarantine orders. The pandemic caused disruption to work plans, supply chain issues and minor staffing shortages which delayed some purchases and other projects to future years. At this time, the extent of the impact the COVID-19 outbreak may have on the City is unknown as it will depend on future developments that are highly uncertain and that cannot be predicted with confidence. These uncertainties arise from the inability to predict the ultimate geographical spread of the disease, and the duration of the outbreak, including the duration of travel restrictions, office closures or disruptions, and quarantine/isolation measures that are currently, or may be put, in place by Canada and other countries to fight the virus.

City of Courtenay | 2021 Annual Report

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