My predictions were off ...I under estimated the municipality's incompetence!
Basically, the operating loss was not $300,000 (blog prediction - see links below) in 2008; it was more like, at least $500,000! In private I even mused that the 'loss' could approach $400,000 (including our annual operating surpluses); still I was off...
And the situation would have been worse if not for the insurance money for the collapsed warehouse; over $60,000 used to cover general operating expenses!
Funny thing is, the accumulated surplus at December 31, 2007 was $383,185. With 2 more operating surpluses in 2008 & 2009 we could have approached $600,000. If we had earmarked that amount in a special fund (provincial law), accumulated another surplus in 2010, we could have built our new town hall with little or no debt in, say 2011 or 2012. But I digress...
Finally, some have suggested that I am being too conservative, or rather too kind. Expenses did increase (by about 50%) $911,205.00 in 2008, ($1,911,246.00 to $2,822,451.00);
Hence there could be almost $1,000,000 of "loss &/or waste"! ...Municipal incompetence indeed!!!
~ Paul
Basically, the operating loss was not $300,000 (blog prediction - see links below) in 2008; it was more like, at least $500,000! In private I even mused that the 'loss' could approach $400,000 (including our annual operating surpluses); still I was off...
...$500,000 operating loss in one year, VOW!
And the situation would have been worse if not for the insurance money for the collapsed warehouse; over $60,000 used to cover general operating expenses!
...Over $560,000 operating loss in one year, double VOW!
Funny thing is, the accumulated surplus at December 31, 2007 was $383,185. With 2 more operating surpluses in 2008 & 2009 we could have approached $600,000. If we had earmarked that amount in a special fund (provincial law), accumulated another surplus in 2010, we could have built our new town hall with little or no debt in, say 2011 or 2012. But I digress...
Finally, some have suggested that I am being too conservative, or rather too kind. Expenses did increase (by about 50%) $911,205.00 in 2008, ($1,911,246.00 to $2,822,451.00);
- My spring prediction had been that our 2008 expenses increased from $1,954,162 ($2,009,820 revenues - $55,658 surplus) to $2,703,000, thus $755,658.
Hence there could be almost $1,000,000 of "loss &/or waste"! ...Municipal incompetence indeed!!!
~ Paul
Spring 2009 predictions...
Financial Review 2008
December 2008 financial letters...
Letter to Ministère de la Sécurité publique
Letter to Affaires municipales et des Régions
****************
$$$ Highlights From The Auditor Report $$$
July 2009
Expenses: Expenses for 2008 were $2,822,451. They were $1,911,246 in 2007. This represents a $911,205 increase in 2008; while revenues increased only $539,538 from 2,019,434 (2007) to $2558,972 (2008). "Expense" highlights include:
Net income: Operating deficit for 2008 was a loss of ($263,479) (deficit de l'exercice) as compared to an 2007 operating surplus of $108,188 (surplus de l'exercise). This represents a $371,667 negative change in fortunes.
Accumulated surplus: Accumulated surplus at December 31 2008 was $135,307. The accumulated surplus at December 31, 2007 was $383,185. This represents a ($247,878) loss.
Financial Review 2008
December 2008 financial letters...
Letter to Ministère de la Sécurité publique
Letter to Affaires municipales et des Régions
****************
$$$ Highlights From The Auditor Report $$$
July 2009
Cash: The December 31, 2008 balance sheet had a cash advance from Caisse Populaire of ($351,978) (decouvert bancaire). On December 31 2007, we started with cash $167,521 (encaisse). This represents a $519,499 negative change in fortunes in 2008.
Cash Flow
Cash Flow
- Acquisition immobilisations: increased from $43,423 (2007) to $521,631 (2008).
Expenses: Expenses for 2008 were $2,822,451. They were $1,911,246 in 2007. This represents a $911,205 increase in 2008; while revenues increased only $539,538 from 2,019,434 (2007) to $2558,972 (2008). "Expense" highlights include:
- "general administration" increased by $196,694; from $521,472 (2007) to $718,166 (2008)
- "transport" increased by $572,637; from $427,023 (2007) to $999,660 (2008).
Net income: Operating deficit for 2008 was a loss of ($263,479) (deficit de l'exercice) as compared to an 2007 operating surplus of $108,188 (surplus de l'exercise). This represents a $371,667 negative change in fortunes.
Accumulated surplus: Accumulated surplus at December 31 2008 was $135,307. The accumulated surplus at December 31, 2007 was $383,185. This represents a ($247,878) loss.
