Item - 2013.BU41.2

Tracking Status

This item was considered by Budget Committee on June 6, 2013. The Budget Committee postponed consideration of this item. Consult the text of the decision for further information on the deferral.

BU41.2 - Operating Variance Report for the Year Ended December 31, 2012

Decision Type:: Information

Status:: Deferred

Wards:: All

Committee Decision

The Budget Committee deferred consideration of the item to a special meeting of the Budget Committee to be held prior to the July 3, 2013 Executive Committee meeting, for public presentations and debate.

Origin

(May 23, 2013) Report from the Deputy City Manager and Chief Financial Officer

Summary

The purpose of this report is to provide Council with the City of Toronto Operating Variance for the year ended December 31, 2012 and allocation of the 2012 year-end under-spending.

The preliminary 2012 year-end operating position for Tax Supported Operations resulted in a net favourable variance of $248.183 million available for distribution after Council/Legislative Requirements are met. Consistent with the City Council's approved Surplus Management Policy, at least 75 percent of the surplus or $186.116 million of the 2012 final year-end operating results will be allocated to the Capital Financing Reserve and $62.067 million will be allocated to underfunded liabilities and/or reserve funds. In addition, Rate Supported Programs reported a year-end net favourable variance of $63.186 million.

It should be noted that the audit of the 2012 financial statements is not complete. As a result, there is a possibility that changes to the final surplus amount could occur but staff anticipate that any further adjustments will be minor in nature.

Background Information

(May 23, 2013) Report with Appendices A to D, from the Deputy City Manager and Chief Financial Officer on Operating Variance Report for the Year Ended December 31, 2012
https://www.toronto.ca/legdocs/mmis/2013/bu/bgrd/backgroundfile-59160.pdf
(May 23, 2013) Report from the Deputy City Manager and Chief Financial Officer on Operating Variance Report for the Year Ended December 31, 2012 - Notice of Pending Report
https://www.toronto.ca/legdocs/mmis/2013/bu/bgrd/backgroundfile-58502.pdf

Motions

1 - Motion to Defer Item moved by Councillor James Pasternak (Carried)

That consideration of the item be deferred until the September 3, 2013 meeting of the Budget Committee for public presentations and debate.

2 - Motion to Reconsider Item moved by Councillor James Pasternak (Carried)

3 - Motion to Defer Item moved by Councillor James Pasternak (Carried)

That consideration of the item be deferred to a special meeting of the Budget Committee to be held prior to the July 3, 2013 Executive Committee meeting, for public presentations and debate.