City releases Financial Status and Forecast Report to November 30, 2021
City now projecting an over-expenditure in snow removal and ice control operations for the year with final costs currently being compiled
Released: 10:13 a.m.
Winnipeg, MB – The City of Winnipeg’s financial status and forecast report to November 30, 2021 discloses a projected deficit in the tax-supported operating budget (General Revenue Fund) of $17.9 million and an additional shortfall of $3.5 million in Transit. This financial status and forecast report will be presented at the meeting of the Standing Policy Committee on Finance on January 18, 2022.
The City had built $61.2 million in anticipated COVID-19 financial impacts into the 2021 Budget, but have identified an additional $14 million in COVID-19 financial impacts for the year included in this report. This has resulted in an estimated total of $75.2 million in COVID-19 financial impacts to the City for 2021. It is expected that the Financial Stabilization Reserve Fund will be used to cover any forecasted shortfall in the General Revenue Fund for 2021.
The City is forecasting an over-expenditure related to snow removal and ice control for 2021 following a significant snow event in November that saw an estimated 30 centimeters of snow fall in Winnipeg. The over-expenditure has been projected at $4.6 million for the year based on financial results to November 30, 2021, however costs associated with December snow operations are still being compiled. The total 2021 snow removal and ice control budget is $35.0 million.
“Recent snow clearing costs and the ongoing financial impact of COVID-19 are significant reasons for the City’s projected year-end deficit,” said Scott Gillingham, Chairperson of the Standing Policy Committee on Finance. “We will continue to carefully manage the City’s finances while navigating the challenges of the Omicron variant. The City is also looking to the future and will implement the Economic Response and Recovery Plan to support Winnipeg residents and strengthen the local economy.”
The City’s financial update is publicly available through the Decision Making Information System (DMIS).