Lead feet helped push a projected city surplus to $5.2 million.
The operating surplus from 2015 was fuelled in part by a higher fine and penalty revenue than anticipated, low gas prices and lower than expected spending.
The estimated surplus amount is a preliminary one. The final surplus number will be determined after the 2015 financial statements are finalized.
The preliminary estimate of $5.2 million represents an overall 3.73 per cent variance over the approved $140-million operating budget for 2015.
Brenda Barclay, the city’s financial operations and reporting manager, told council’s standing committee of the whole meeting on Monday that revenues exceeded the budget by $3.4 million while the city spent $1.8 million less than it expected.
One of the largest variances making up the higher-than-expected revenues was money from fines and penalties, which exceeded the budgeted amount by 63 per cent.
The city collected $6.4 million in fines and penalties, including $2.7 million more in photo radar tickets than anticipated, in 2015. The original budget estimate had been $3.9 million.
Photo radar wasn’t the only bump up in the fines and penalties category, Barclay noted, pointing out there was also an increase in provincial fine amounts.
Licence and permit revenue was up 23 per cent over the original estimate, while interest revenue on investments was 28 per cent higher than anticipated.
In terms of expense savings, the city benefited from the lower cost of fuel, natural gas and electricity price decreases and other factors outside of the city’s control, like RCMP staffing.
Some expenses, like bank charges and short-term interest, were higher than expected, but generally savings were found in several categories.
Council has started filing notices of motion on how to spend the surplus, be it stuffing the cash in reserves, tackling a variety of projects, giving some back to taxpayers or increasing amounts put aside for capital projects each year.
Some members of council celebrated the news of such a large surplus, while others fretted about it.
“It seems frighteningly large,” said Coun. Sheena Hughes. She said it looked like the largest surplus in 10 years, based on a chart the mayor had shown her.
“I want to be able to justify to residents why we’re increasing their taxes,” she said.
Coun Cathy Heron sees an opportunity to patch some holes in the capital budget with the money.
“We have a huge deficit in our capital budget in the next 10 years coming forward, and $5.2 million, although it’s a small drop in the pot … is something that should be celebrated,” she said.
