Town ended 2013 with a surplus
Wednesday, Mar 26, 2014 03:23 pm
The Town of Okotoks is off to a good financial start for the 2014 year.
On Monday, town council deposited a $524,000 surplus from 2013 into reserve funds for snow removal and to limit the impact of annnexation on taxes. Council is putting $60,000 goes into the snow removal reserve fund, bringing it up to $200,000, and $460,000 to the tax stabilization reserve, bringing it up to $744,000.
“We are trying to position the town for success going forward,” said Wayne Braun, the Town’s financial services manager.
Braun said the surplus was an unexpected surprise and mostly the result of projects starting later than anticipated and unplanned staff vacancies.
With the Town’s plan to expand the community, he said there is often a lot of unexpected costs associated with annexing land. The additional $460,000 will help beef up an account for such emergent and unexpected expenses, he said.
As for snow removal, Braun said the additional $60,000 is also important as the cost to contract snow removal in Okotoks is $100,000. This means contracting the service more than once this spring would have put the town in a deficient position.
Okotoks Mayor Bill Robertson said although each year is different, the Town must be prepared when it costs $100,000 for contracted snow removal services.
“The last thing you want is staff to second guess and people can’t get in the street,” he said.