Council Highlights - July 27, 2020
Update on finances related to COVID-19
Estimates to year-end, December 31, 2020, were used in determining the financial impact of COVID-19 on the Town of Pelham.
The Town's current estimate of the tax levy supported 2020 total gross cost of COVID-19 pandemic is $1,251,659 and the current estimate of the 2020 net tax levy supported deficit as a result of COVID-19 pandemic is $669,336.
Just recently, it was announced that funding to offset these COVID-19 pandemic costs will be handed down to the municipalities. It was noted that within the next couple of weeks, the Town should know how the money will be distributed and how much Pelham will receive.
Actions taken by the Town during the pandemic include tax relief measures for residents, closing facilities to reduce costs, cancelling special events to the end of September, reducing user fees, and implementing cost reduction strategies such as decreasing the number of summer student hires and not attending conferences.
The tax levy operating deficit of approximately $669,336 has been forecasted to the end of December as a result of COVID-19. This is a decrease from the projection provided to the Council on May 19, 2020, of $180,484. In this projection, the Meridian Community Centre opened starting July 6, 2020, with summer camps running and one ice pad arena available for rent. The second ice pad opened July 27, 2020, due to the high demand for ice in the Niagara Region. The incremental net revenue increase in opening the second ice pad is $57,043. The swimming pool is open for swimming lessons as well.
Annual Report available
The Town of Pelham issued its first-ever annual report, for the year ending December 31, 2019.
The report provides details about the Town’s financial performance and strategic goal achievements in the 2019 fiscal year, of which there were many.
Highlights from 2019 include award-winning communications initiatives, updating and developing financial policies such as reserves, debt, and cash management, establishing an audit committee and a utility sustainability committee, and developing a capital asset strategic policy.
As the Town works on an asset management plan including service delivery reviews and new budget software, the focus on balancing service levels, sustainability and affordability remain important goals towards ensuring informed decision making and the management of financial pressures facing the Town. The Town achieved a positive surplus in both the Consolidated Financial Statements per Canadian Public Sector Accounting Standards and the budget on a modified cash basis.
Mask bylaw
Pelham Town Council asked staff to prepare a mask bylaw for consideration at the next regularly scheduled Council meeting on August 10. The Regional mandatory mask bylaw comes into effect July 31, and the Town's bylaw will take many of the same considerations and allowing of the Town to extend the local bylaw beyond the Regional end date if deemed necessary.