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HomeMy WebLinkAboutFinancial Statements 1991 Uer \ - get 0 FINANCIAL REPORT 1991 THE CORPORATION OF THE VILLAGE OF VIENNA COUNTY OF ELGIN Barker Stanley & Partners Chartered Accountants AUDITORS ' REPORT To the Members of Council, Inhabitants and Ratepayers of the Corporation of the Village of Vienna, Ontario We have audited the balance sheet of the Corporation of the Village of Vienna as at December 31, 1991 and the statement of operations for the year then ended. These financial statements are the responsibility of the village' s management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform an audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. In our opinion, these financial statements present fairly, in all material respects, the financial position of the Village as at December 31, 1991 and the results of its operations for the year then ended in accordance with the accounting principles disclosed in Note 1 to the financial statements. SaidegtA4 & , St. Thomas, Ontario February 7, 1992 CHARTERED ACCOUNTANTS Statement 1 THE MUNICIPALITY OF THE VILLAGE OF VIENNA CONSOLIDATED BALANCE SHEET AS AT DECEMBER 31, 1991 Assets 1991 1990 $ S Unrestricted Cash 253, 018 143, 237 Short term investments 11, 000 6, 000 Taxes receivable 50,411 67, 075 Accounts receivable 15, 053 36, 289 Other current assets 6, 260 4, 546 Long term investment 4, 213 4, 213 Mortgage receivable 625 1 , 250 340, 580 262, 610 Liabilities and Fund Balances Accounts payable and accrued liabilities 29,947 43, 309 Fund balances at the end of the year To be used to offset taxation or user charges (Note 4 ) 78, 920 34, 442 Unexpended capital financing (or capital operations not yet permanently financed) - 1, 146 Reserves (Note 5 ) 231, 713 183, 713 340, 580 262, 610 See accompanying notes to the financial statements. THE MUNICIPALITY OF THE VILLAGE OF VIENNA CONSOLIDATED STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 1991 Budget Actual Actual 1991 1991 1990 S $ S Sources of financing Taxation and user charges (Note 1 ) Residential and farm taxation 161, 717 162, 161 147, 934 Commercial, industrial and business taxation 46, 142 39, 210 43, 884 User charges 73, 700 88,675 78, 886 Deduct Amounts received or receivable for county and school boards (Note 2 ) ( 107, 310) (106, 587) ( 101, 091 ) Grants Canada 1, 530 1, 530 1, 785 Province of Ontario 89, 279 74, 850 73, 974 Other municipalities 1, 700 11, 559 1, 682 Other Investment income 14, 000 14, 949 17, 649 Donation of land - - 6, 000 Other 11, 800 12, 433 21, 949 Fund balances at the beginning of the year To be used to offset (or to be recovered from) taxation or user charges (Note 4 ) 34, 442 34, 442 40, 603 Unexpended capital financing (or capital operations not yet permanently financed) - 1, 146 - Total financing available during the year 327, 000 334, 368 333, 255 See accompanying notes to the financial statements. Statement 2 Budget Actual Actual 1991 1991 1990 $ $ $ Applied to Current operations General government 46, 660 48, 774 44, 771 Protection to persons and property 15, 000 10, 843 7, 261 Transportation services 39, 700 25, 004 17, 568 Environmental services 90, 000 59, 865 69, 018 Recreation and cultural services 22,000 35, 296 20, 432 Planning and development 5, 100 1,329 - 218, 460 181, 111 159, 050 Capital General government 6, 000 3, 992 8, 816 Transportation services 41, 500 22, 345 53, 498 Recreation and cultural services 13,040 - 17, 574 Planning and development - - 6, 725 60, 540 26, 337 86, 613 Net appropriations to reserves 48, 000 48, 000 52, 000 Fund balances at the end of the year To be used to offset (or to be recovered from) taxation or user charges (Note 4 ) - 78, 920 34, 442 Unexpended capital financing (or capital operations not yet permanently financed) - - 1, 146 Total applications during the year 327,000 334, 368 333, 255 See accompanying notes to the financial statements. THE MUNICIPALITY OF THE VILLAGE OF VIENNA NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1991 1 . Accounting policies The consolidated financial statements of the municipality are the representation of management prepared in accordance with accounting policies prescribed for Ontario municipalities by the Ministry of Municipal Affairs. Since precise determination of many assets and liabilities is dependent upon future events, the preparation of periodic financial statements necessarily involves the use of estimates and approximations. These have been made using careful judgements. a) Basis of consolidation ( i ) Consolidated balance sheet This statement reflects the assets and liabilities of the revenue fund, reserve funds, the capital fund and includes the activities of all committees of Council and the following local boards, municipal enterprises which are under the control of council : - Vienna Community Centre Board - Museum Board ( ii ) Consolidated statement of operations This statement reflects the consolidated sources of financing and expenditures of the revenue fund, reserves, reserve funds and the capital fund of the Municipality and those local boards, described in Note 1( a) ( i ) . All interfund sources of financing and expenditures are eliminated with the exception of interest income and expenses arising from loans and advances between the reserve funds and other funds of the Municipality. ( iii ) Accounting for County and School Board Transactions (gross less reduction) The taxation and other revenues with respect to the operations of the school boards, and the County of Elgin are reflected in the Consolidated Statement of Operations but with no effect on the Municipal Fund Balances since the total is shown as a deduction. In addition the expenditures, assets and liabilities, with respect to the operations of the school boards and the County of Elgin, are not reflected in these financial statements except to the extent that overlevies (underlevies) are reported on the "Consolidated Balance Sheet" as "other current liabilities" ( "other current assets" ) . Page 2 THE MUNICIPALITY OF THE VILLAGE OF VIENNA NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1991 a) Basis of consolidation - (continued) ( iv) Trust funds Trust funds and their related operations administered by the Municipality are not consolidated, but are reported separately on the "Trust Funds Balance Sheet and Statement of Continuity" . b) Basis of accounting ( i ) Sources of financing and expenditures are reported on the accrual basis of accounting with the exception of principal and interest charges on long-term liabilities which are charged against operations in the periods in which they are paid. ( ii ) The accrual basis of accounting recognizes revenues as they become available and measurable, expenditures are recognized as they are incurred and measurable as a result of receipt of goods or services and the creation of a legal obligation to pay. ( iii ) Fixed assets The historical cost and accumulated depreciation for fixed assets are not recorded for municipal purposes. Fixed assets are reported as an expenditure on the Consolidated Statement of Operations in the year of acquisition. ( iv) Capital outlay to be recovered in future years "Capital outlay to be recovered in future years, " which represents the outstanding principal portion of unmatured long-term liabilities for municipal expenditures or capital funds transferred to other organizations, is reported on the "Consolidated Balance Sheet. " 2. Operations of school boards and County of Elgin Further to Note 1( a) ( iii ) , the taxation, other revenues, expenditures and overlevies (underlevies) of the school boards and the County of Elgin are comprised of the following: Page 3 THE MUNICIPALITY OF THE VILLAGE OF VIENNA NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1991 2. Operations of school boards and County of Elgin - (continued) School County Boards of Elgin Taxation and user charges $ 81, 450 $ 25, 137 Requisitions 81 , 430 25, 712 Overlevies (underlevies ) for the year 20 ( 575 ) Overlevies (underlevies ) at the beginning of the year ( 20) 575 Overlevies (underlevies ) at the end of the year 3 . Trust funds Trust funds administered by the Municipality amounting to $21, 346 ( 1990 - S26, 853 ) have not been included in the "Consolidated Balance Sheet" nor have their operations been included in the "Consolidated Statement of Operations. 4. Fund balance at the end of the year 1991 1990 $ $ The balance on the "Consolidated Statement of Operations" of municipal equity of $78, 920 ( 1990 - $34, 442 ) at the end of the year is comprised of the following: For general reduction of taxation 78, 920 34, 442 5. Reserves The total balance of reserves of $231, 713 ( 1990 - $183, 713 ) are made up of the following: 1991 1990 $ $ Set aside for specific purposes by Council for acquisition of fixed assets 142, 500 104, 500 for working capital 75,000 65, 000 for museum purposes 14, 213 14, 213 231, 713 183, 713 Page 4 THE MUNICIPALITY OF THE VILLAGE OF VIENNA NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1991 6. Contractual obligation - Ministry of the Environment In accordance with the services agreement entered into by the Municipality in 1974 with the Ministry of the Environment, the existing water system is owned and operated by the Ministry. The Municipality is obligated to meet all operating costs and repay the long-term liabilities related to these projects. Included in the "Consolidated Statement of Operations" are the 1991 charges from the Ministry - water $23, 094. The "Consolidated Balance Sheet" does not reflect any assets or liabilities pertaining to the water system except to the extent of service charges due to the Ministry. Information received from the Ministry as at March 31, 1991, indicates the following: Total Accumulated 1991 outstanding net debt long-term (deficit ) charges liabilities $ $ $ Water system - for this municipality only ( 1, 858 ) 7, 418 70, 625 Water system - share of integrated project ( 9, 767 ) 1, 525 15, 866 The operating deficits and long-term liabilities indicated above are not reflected in the accompanying financial statements. THE CORPORATION OF THE VILLAGE OF VIENNA UNCONSOLIDATED TRUST FUND FINANCIAL STATEMENTS DECEMBER 31, 1991 Barker Stanley & Partners Chartered Accountants AUDITORS ' REPORT To the Council, Inhabitants and Ratepayers of The Corporation of the Village of Vienna: We have audited the balance sheet of the trust fund of the Corporation of the Village of Vienna as at December 31, 1991 and the statement of continuity of trust fund for the year then ended. These financial statements are the responsibility of the village' s management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform an audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. In our opinion, these financial statements present fairly, in all material respects, the financial position of the trust fund of the Village as at December 31, 1991 and the continuity of trust fund for the year then ended in accordance with the accounting principles disclosed in Note 1 to the financial statements. Vel.41 " cievdtaov St. Thomas, Ontario / February 7, 1992 CHARTERED ACCOUNTANTS THE MUNICIPALITY OF THE VILLAGE OF VIENNA ONTARIO HOME RENEWAL PLAN TRUST FUND BALANCE SHEET DECEMBER 31, 1991 Assets 1991 1990 $ $ Cash 17, 063 19, 253 O.H.R.P. loans repayable 2, 533 3, 250 O.H.R.P. loans forgivable 1, 750 4, 350 21,346 26, 853 Liabilities Trust balance at end of year 21,346 26, 853 STATEMENT OF CONTINUITY YEAR ENDED DECEMBER 31, 1991 1991 1990 $ $ Balance at beginning of year 26, 853 26, 872 Add (deduct) Interest earned on funds 1, 148 2, 033 Loans forgiven during year (2, 600) ( 2, 050 ) Administration fee (4, 055) ( 2 ) Balance at end of year 21, 346 26, 853 See accompanying notes to the financial statements. THE CORPORATION OF THE VILLAGE OF VIENNA TRUST FUND NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1991 1 . Accounting policies Basis of accounting Capital receipts and income are reported on the cash basis of accounting. Expenditures are reported on the cash basis of accounting with the exception of administrative expenses which are reported on the accrual basis of accounting, which recognizes expenditures as they are incurred and measurable as a result of the receipt of goods or services and the creation of a legal obligation to pay. 2. Ontario home renewal program The Ontario Home Renewal Program was established by the Ontario Ministry of Housing in 1973 to provide grants for municipalities to make loans to assist owner occupants to repair, rehabilitate and improve their homes to local property standards. Individual loans are limited to $7, 500 of which the maximum forgivable portion is $4, 000. Ontario Home Renewal Program loans receivable at December 31, 1991 comprise repayable loans of $2, 533 ( 1990 - $3, 250) and forgivable loans of $1, 750 ( 1990 - $4,350) . Loan forgiveness is earned and recorded at a rate of up to $600 per year of continued ownership and occupancy. In the event of the sale or lease of the home or in the event of the homeowner ceasing to occupy the home, the balances of the repayable loan and the unearned forgivable loan immediately become due and payable by the homeowner.