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TOWN OF FAIRVIEW

FINANCIAL STATEMENTS

FOR THE FISCAL YEAR ENDED DECEMBER 31, 2015

TABLE OF CONTENTS

Fa

Statement of Managements Responsibility 1

Auditors Report 2

Consolidated Statement of Financial Position 3

Consolidated Statement of Financial Activities 4

Consolidated Statement of Change in Net Financial Assets 5

Consolidated Statement of Cash Flows 6

Schedule of Changes in Accumulated Surplus 7

Schedule of Tangible Capital Activities 8

Schedule of Property Taxes Levied

Schedule of Government Transfers 10

Schedule of Consolidated Expenses by Object 11

SchedLile of Segmented Disclosure 12

Notes to the Consolidated Financial Statements 13

ç Fjj,

TOWN -AIRVIEW

P.O. Box 730, Fairview, Alberta TOH 7 LOProvincial Building, 707, 70209— 109 Street

Phone: 780-835-5467 Fax: 780-835-3576

Email: lilieTai(ve.cXwww,firview!

Management’s Responsibility

To the Mayor and Council of Town of Fairview:

Managemcrn is responsible for the preparation and presentation of the accompanying consolidated financialsmtements, including responsit)ili(y for significant accounting judgments and estimates in accordance with Canadiangenerally acccptcd accounting principles. This responsibility includes selecting appropriate accounting principlesand methods, and making decisions affecting the measurement of transactions in which objective judgment isrclluired.

In discharging its responsibilities for the integrity and fairness of the consolidated financial statements, managementdesigns and maintains the necessary accounting systems and related internal controls to provide reasonableassurance that transactions are authorized, assets are safeguarded and financial records are properly maintained toprovide reliable information for the preparation of financial statements.

The Council is composed entirely of Councilluis who are neither management nor employees ot the Town. TheCouncil is responsible for overseeing management in the performance of its financial reporting responsibilities, andfor approving the financial information included in the financial statements. The Council fulfils theseresponsibilities by reviewing the financial information prepared by management and discussing relevant matterswith management, and external auditors. Council is responsible for the appointment of the Town’s externalauditors.

MNP LI.P, an independent firm of Chartered Professional Accountants, is appointed by the Council to audit theconsolidated financial statements and report directly to them; their report follows. The external auditors have fulland free access to, and meet periodically and separately with, both the Council and management to discuss theiraudit findings.

April 19, 2016

__________

Chief Adm’inistrativc Officer

Pro i’k/ing r qu ctlii’, . s Ulil i tblc’, ci:gciged uitid uttirGeti i’e ‘omiflu ii (11’.

MNPAuditors’ Report

To the Mayor and Council ofThe Town of Fairview

Report on the Consolidated Financial StatementsWe have audited the accompanying consolidated financial statements of the Town ofFairview, which comprise the statement of financial position as at December 31, 2015. andthe statements of financial activities, change in net financial assets and cash flows for theyear then ended, and a summary of significant accounting policies and other explanatoryinformation

Management’s Responsibility for the Consolidated Financial StatementsManagement is responsible for the preparation and fair presentation of these consolidatedfinancial statements in accordance with Canadian public sector accounting standards, and forsuch internal control as management determines is necessary to enable the preparation ofconsolidated financial statements that ate free from material misstatement, whether due tofraud or error.

Atiditors’ ResponsibilityOur responsibility is to express an opinion on these consolidated financial statements basedon our audit. We conducted our audit in accordance with Canadian generally acceptedauditing standards. Those standards require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether the consolidatedfinancial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the consolidated financial statements. The procedures selected depend on theauditors’ judgement, including the assessment of the risks of material misstatement of theconsolidated financial statements, whether due to fraud or error. In making those riskassessments, the auditor considers internal control relevant to the entity’s preparation andfair presentation of the consolidated financial statements in order to design audit proceduresthat are appropriate in the circumstances, but not for the purpose of expressing an opinion onthe effectiveness of the entity’s internal control, An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of accounting estimatesmade by management, as well as evaluating the overall presentation of the consolidatedfinancial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to providea basis for our audit opinion.

OpinionIn our opinion, the consolidated financial statements present fairly, in all material respects,the financial position of the Town of Fairview as at December 31, 2015, the results of itsoperations, change in net financial assets and its cash flows for the year then ended inaccordance with Canadian public sector accounting standards.

AAAt7Peace River, Alberta / ff V I

April 19, 2016 Chattered Professional Accountants

ACCOUNTING CONSULTING TAXPraxity Employers 9913 - 98TH AVENUE, PEACE RIVER AB, I$S 1j5

“K P: 780.624.3252 F’ 780.624.8758 MNP.ca

(r TOWN OF FAIRVIEW? CONSOL1DATD STATFMENT OF FiNANCIAL POSITION

FOR THE YEAR ENDED DECEMBER 31, 2015

2015$

2014S

FINANCIAL ASSETSCash and cash equivalents (Note 2)Receivables

Taxes and grants in lieu of taxes (Note 3)Debt charges recoverable (Note 5)Trade and other receivables

Land held for resaleLong-term investments (Note 4)

LIABILITIESAccounts payable and accrued liabilitiesDeposit liabilitiesDeferred revenue (Note 6)Long term debt (Note 7)

762.795650.577

22.3355,353.2766.788.983

NET FINANCIAL ASSETS 1,458,075 85,538

NON-FINANCIAL ASSETS

Tangible capital assets (Schedule 2)Prepaid expenses

36,991,99713,057

37,005,054

36,756.67620,227

36,776,903

ACCUMULATED SURPLUS (Note 10) 38,463,129 36,862,441

Commitments and contingencies - See Notes 13 and 14

Mayor Chief Administrative Officer

4,405,174 4,118,975

1,719,622187,425727,679120,800

206,874.521

1,629,129176,696428,491120,800

206,760,310

602,79455,77533,063

4,610,6035,302,235

Approved

See accompanying notes to the financial statements

3

TOWN OF FAIRVIEWCONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIESFOR THE YEAR ENDED DECEMBER 31, 2015

Budget 2015 2014S $ S

REVENUENet municipal property taxes (Schedule 3) 3664,129 3,630,323 3.627,285User fees and sale of goods 2,573,690 2,795,483 2,960,120Government transfers for operating (Schedule 4) 482.680 483,762 515.598Investment income 42,000 70,421 91,420Penalties and costs on taxes 105.218 163,011 180.675Franchise and concession contracts 371,669 402,457 400,860Other revenues 83,083 134,504 101,090

Total revenues 7,322.469 7,679,961 7,877,048

EXPENSES

OperatingLegislative 153,694 126,149 143,155Administration 1,142.559 873,505 677,769Protective services 311,407 267,709 239,264Transportation 1,696,732 1,557,561 1.490,342Water supply and distribution 2.032,599 1,433,922 1.628,590Wastewater treatment and disposal 470,748 409,976 399,631Waste management 430,340 427,331 474,169Culture 203,090 195,932 191,913Public health and economic development 87,971 61,804 189.336Recreation and parks 1.736.708 1,624,187 1.603.704Family and community services 192,716 183,668 223.100

Total Expenses 8.458,564 7,161,744 7,260,973

EXCESS (SHORTFALL) OF REVENUE OVEREXPENSES - BEFORE OTHER (1,136.095) 518,217 616.075

OTHERDevelopment Levies and Other Contributions 39,000 39,166 128.550Contributed assets

- 38,574 -

Government transfers for capital (Schedule 4) 1,023,173 1,004,731 2,072.306

EXCESS OF REVENUE OVER

EXPENSES (73.922) 1,600,688 2,816.931

ACCUMULATED SURPLUS, BEGINNING OF YEAR 36.862,441 36,862,441 34,045,510

ACCUMULATED SURPLUS, END OF YEAR 36,788,519 38,463,129 36,862,441


4

TOWN OF FAIRVIEW

CONSOLIDATED STATEMENT OF CHANGE IN NET FINANCIAL ASSETS (DEBT)FOR THE YEAR ENDED DECEMBER 31, 2014

Budget 2015 2014$ $ S

EXCESS OF REVENUES OVEREXPENSES (73,922) 1,600,688 2,816,931

Acquisition of tangible capital assets (1,835.450) (1,831,851) (5,798,357)Tangible capital assets received as contributions - (38,574) -

Proceeds on disposal of tangible capital assets --

Amortization of tangible capital assets 2.149.179 1,635,104 1,871 .716Gain on sale of tangible capital assets

-

313,729 (235,321) (3,926,641)

Acquisition of supplies inventories- - -

Acquisition of prepaid assets- (13,057) (20.227)

Use of supplies inventories- - -

Use of prepaid assets- 20,227 13.490

- 7,170 (6,737)

INCREASE (DECREASE) IN NET FINANCIAL ASSETS 239.807 1,372,537 (1.116,447)

NET FINANCIAL ASSETS, BEGINNING OF YEAR 85.538 85,538 1.201,985

NET FINANCIAL ASSETS, END OF YEAR 325,345 1,458,075 85,538

5

TOWN OF FAIRVIEWCONSOLIDATED STATEMENT OF CASH FLOWSFOR THE YEAR ENDED DECEMBER 31, 2015

NET INFLOW (OUTFLOW) OF CASH RELATED TOTHE FOLLOWING ACTIVITIES:

2015$

2014$

Acquisition of tangible capital assetsSale of tangible capital assets

Cash applied to capital transactions

1,600,688

1,635,104

(38,574)

90,493299,188

7,170(160,001)(594,802)

10,7282,249,994

189,457(8,209)

(120.800)(6.737)

178.753502,7 96

(1,027,072)4,396,835

FINANCINGLong-term debt repaidLong-term debt issuedDebt charges recovered

Cash applied to financing transactions

(742,673) (613,658)- 2,200,000

CHANGE IN CASH AND EQUIVALENTS DURING THE YEAR 286,199

CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR 4,118,975 3,923,916

CASH AND CASH EQUIVALENTS, END OF YEAR (Note 2) 4,405,174 4.118.975


OPERATINGExcess of revenues over expensesNon-cash items included in shortfall of revenues over expenses:

Amortization of tangible capital assetsGain on disposal of tangible capital assetsTangible capital assets received as contributions

Non-cash charges to operations (net change).Decrease (increase) in taxes and grants in lieu receivableDecrease (increase) in trade and other receivablesDecrease (increase) in land held for resaleDecrease (increase) in prepaid expensesIncrease (decrease) in accounts payable and accrued liabilitiesIncrease (decrease) in deposit liabilitiesIncrease (decrease) in deferred revenue

Cash provided by operating transactions

CAPITAL

2.816,931

1.871.716

(1,831,851) (5,798.357)

(1,831,851) (5.798,357)

10,729(731,944)

10,2391,596,581

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8

TOWN OF FAIRVIEWSCHEDULE OF PROPERTY TAXES LEVIEDFOR THE YEAR ENDED DECEMBER 31, 2015SCHEDULE 3

Budget 2015 2014S $ $

TAXATIONReal property taxes 4.439,410 4,429,844 4.352,903Linear property taxes 95.877 95,877 95.369Government grants in place of property taxes 106,268 82,029 96,585

4,641,555 4,607,750 4,544,857

REQUISITIONSAlberta School Foundation Fund 875,350 875,350 847,002North Peace Housing Foundation 102,076 102,077 70.570

977,426 977,427 917,572

NET MUNICIPAL TAXES 3,664,129 3,630,323 3,627,285


9

TOWN OF FAIRVIEW

g SCHEDULE OF GOVERNMENT TRANSFERS““—‘‘ FOR THE YEAR ENDED DECEMBER 31, 2015

SCHEDULE 4Budget 2015 2014

$ $ S

TRANSFERS FOR OPERATING:Provincial Government 263,972 277,890 266,958Federal Government - - -

Other Local Governments 218,708 205,872 248,640482,680 483,762 515,598

TRANSFERS FOR CAPITAL:Provincial Government 829,512 811,889 1 .705,684Federal Government 165,761 165,761 314.596Other Local Governments 27,900 27,081 52,026

1,023,173 1,004,731 2,072.306

TOTAL GOVERNMENT TRANSFERS 1505,853 1,488,493 2,587,904


10

TOWN OF FAIRVIEW

IIT “SCHEDULE OF CONSOLIDATED EXPENSES BY OBJECTFOR THE YEAR ENDED DECEMBER 31, 2015SCHEDULE 5

Budget 2015 2014$ $ $

CONSOLIDATED EXPENSES BY OBJECTSalaries, wages and benefits 2,313,679 2,182,455 2,137.945Contracted and general services 852.057 758,695 850,952Materials, goods, supplies and utilities 2,197.274 1,697,517 1,555,795Provision for allowances 28.800 (3,430) 19,299Transfers to local boards and agencies 34.007 34,007 33,517Bank charges and short term interest 7.000 5,685 5,424Interest on capital long-term debt 192,397 186,970 194,264Amortization of tangible capital assets 2,149,179 1,635,104 1,871,716Other expenses 684,171 664,741 592,061

8,458.564 7,161,744 7,260,973


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12

TOWN OF FAIRVIEWNOTES TO THE CONSOLIDATED FINANCIAL STATEMENTSFOR THE YEAR ENDED DECEMBER 31, 2015

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The consolidated financial statements of the Town of Fairview are the representations ofmanagement prepared in accordance with generally accepted accounting principles for localgovernments established by the Public Sector Accounting Board of the Canadian Institute ofChartered Professional Accountants. Significant aspects of the accounting policies adopted by theTown of Fairview are as follows:

a) Reporting entity

The consolidated financial statements reflect the assets, liabilities, revenues and expenditures.changes in fund balances and change in financial position of the entity. This entity iscomprised of the municipal operations plus all of the organizations that are owned orcontrolled by the town and are, therefore, accountable to the town Council for administrationof their financial affairs and resources. Included with the municipality are the following:

Town of Fairview Fire Department

The schedule of taxes levied also includes requisitions for education, health, social and other externalorganizations that are not part of the municipal reporting entity.

The statements exclude trust assets that are administered for the benefit of external parties.Interdepartmental and organizational transactions and balances are eliminated.

b) Basis of Accounting

1 he financial statements are prepared using the accrual basis of accounting The accrual basisof accounting records revenue as it is earned and measurable Expenses are recognized as theyare incurred and measurable based upon receipt of goods or services and/or the legal obligationto pay.

Funds from external parties and earnings thereon restricted by agreement or legislation areaccounted for as deferred revenue until used for the purpose specified.

Government transfers, contributions and other amounts are received from third parties pursuantto legislation, regulation or agreement and may only be used for certain programs. in thecompletion of specific work, or for the purchase of tangible capital assets. In addition. certainuser charges and fees ate collected for which the related services have yet to be performedRevenue is recognized in the period when the related expenses are incurred, services performedor the tangible capital assets are acquired.

C) Use of Estimates

The preparation of financial statements in conformity with Canadian generally acceptedaccounting principles requires management to make estimates and assumptions that affect thereported amount of assets and liabilities and disclosure of contingent assets and liabilities at thedate of the financial statements, and the reported amounts of revenue and expenditure during theperiod. Where measurement uncertainty exists, the financial statements have been preparedwithin reasonable limits of materiality. Actual results could differ from those estimates.

13

TOWN OF FAIRVIEW

NOTES TO THE CONSOUDATED FINANCIAL STATEMENTSFOR THE YEAR ENDED DECEMBER 31, 2015

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

U) Investments

Investments are recorded at amortized cost. Investment premiums and discounts are amortizedon the net present value basis over the term of the respective investments. When there has beena loss in value that is other than a temporary decline, the respective investment is written down torecognize the loss.

e) Inventories for Resale

Land held for resale is recorded at the lower of cost or net realizable value. Cost includes costsfor land acquisition and improvements required to prepare the land for servicing such as clearing,stripping and levelling charges. Related development costs incurred to provide infrastructuresuch as water and wastewater services, roads, sidewalks and street lighting are recorded asphysical assets under the respective function

f) Tax Revenue

Tax revenues are recognized when the tax has been authorized by bylaw and the taxable eventhas occurred.

Requisitions operate as a flow through and are excluded trom municipal revenue.

g) Government Transfers

Government transfers are the transfer of assets from senior levels of government that are not theresult of an exchange transaction, are not expected to be repaid in the future, or the result of adirect financial return.

Government ttansters are recognized in the financial statements as revenue in the period inwhich events giving rise to the transfer occur, providing the transfers are authorized, any eligibilitycriteria have been met, and reasonable estimates of the amounts can be determined.

h) Requisition Over-levies and Under-Levies

Over-levies and under-levies arise from the difference between the actual property tax levy madeto cover each requisition and the actual amount requisitioned.

lithe actual levy exceeds the requisition, the over-levy is accrued as a liability and property taxrevenue is reduced. Where the actual levy is less than the requisition amount, the under-levy isaccrued as a receivable and as property tax revenue.

Requisition tax rates in the subsequent year ate adjusted for any over-levies or under-levies ofthe prior year

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I) Non-Financial Assets

Non-financial assets are not available to discharge existing liabilities and are held for use in theprovision of services. They have useful lives extending beyond the current year and are notintended for sale in the normal course of operations. The change in non-financial assets duringthe year. together with the excess of revenues over expenses. provides the consolidated Changein Net Financial Assets (Debt) for the year.

Tangible Capital Assets

Tangible capital assets are recorded at cost which includes all amounts that are directlyattributable to acquisition, construction, development or betterment of the asset. The cost, lessresidual value, of the tangible capital assets is amortized on a straight-line basis over theestimated useful life as follows:

______________________

YEARS

Buildings 25-50Engineered structures

Roadway system 10-100Water systemWastewater systemOther engineered structures 4575

Machinery and equipment 4-25Vehicles 5-25

A full year of the annual amortization is charged in the year of acquisition and none tn the year ofdisposal. Assets under construction are not amortized until the asset is available for productiveuse.

ii. Contributions of Tangible Capital Assets

Tangible capital assets received as contributions are recorded at fair value at the date of receiptand also are recorded as revenue.

iii. Leases

Leases are classified as capital or operating leases. Leases which transfer substantially all of thebenefits and risks incidental to ownership of property are accounted for as capital leases. Allother leases are accounted for as operating leases and the related lease payments ate chargedto expenses as incurred.

iv. Inventories

Inventories held for consumption are tecotded at the lower of cost and replacement cost

v. Cultural and Historical Tangible Capital Assets

Works of art for display, if any, are not recorded as tangible capital assets but are disclosed

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TOWN OF FAIRVIEWNOTES TO THE CONSOLIDATED FiNANCIAL STATEMENTSFOR THE YEAR ENDED DECEMBER 31, 2015


j) Debt Charges Recoverable

Debt charges recoverable consist of amounts that ate recoverable from municipal agencies or other localboards with respect to outstanding debentures or other long term debt pursuant to annexation ordersor joint capital undertakings. These recoveries are recorded at a value that equals the offsetting portionof the un-matured long-term debt, less actuarial requirements for the retirement of any sinking funddebentures.

2. CASH AND CASH EQUIVALENTS2015 2014

$ $

CashTemporary investments with stated interest at 1.5%-i .8% per annum

1,935,2862,469,8884,405,174

551.3083.567,6674,118,975

I emporary investments are short-term deposits with original maturities of six months or less, includingaccrued interest to year end. Also included ate common shares held in the Commonwealth Credit Union.

Included in temporary investments is a restricted amount of $160,996 ($160,832 for 2014) which is theFairview Regional Aquatic Center Endowment Fund. This balance is also included in reserves.

3. TAXES AND GRANTS IN LIEU OF TAXES RECEIVABLES2015 2014

S S

Current taxes and grants in lieu of taxes 189,794 133.835Non-current taxes and grants in lieu 202,392 198.707Local improvement taxes receivable 1,298,607 1.454,150Allowance for doubtful accounts (61,664) (67,070)

1,629,129 1,719,622

4. INVESTMENTS2015 2014

Market MarketCost Value Cost Value

$ $ S $Shares in AAMDC 20 20 20 20

5. DEBT CHARGES RECOVERABLE2015 2014

$ $

Non current debt charges recoverable 176,696 187,425

The town has assisted the Fairview Golf Club with Clubhouse renovations by issuinga debenture totalling $250,000 The amount is recoverable with interest at 4.72%.Semi annual payments of principal and interest are $9,730 each, due in June andDecember each year This debt matures December 17. 2027

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TOWN OF FAIRVIEWNOTES TO THE CONSQLIDAThD FINANCiAL £TATEMENTFOR THE YEAR ENDED DECEMBER 31, 2015

6. DEFERRED REVENUE 2015 2014$ S

Deterred grants 28,881 18.153Other 4,182 4,182

33,063 22,335

Deterred Grants.Municipal Sustainability Initiative - Capital 6.381Other 22,500

28,881

Deferred grants listed above are federal and provincial capital grants and are restricted to eligible capitalprojects subject to preapproval by the funding agency.

Funding in the amount of $899775 was received in the current year from the Municipal SustainabilityInitiative. Of the S899,775 received, $796,373 is from the capital component of the program and isrestricted to eligible capital project. as approved under the funding agreement, of which $6,381 was notused in 2015 The remaining S103.402 is from the operating component of the program and is restricted toeligible operating projects, as approved under the funding agreement. which were completed in 2015.

7. LONG-TERM DEBT

____________________

2015 2014$ S

Tax supported debentures 2,845,114 3,403,912Self supported debentures 1,588,793 1.761 .939Recoverable debentures 176,696 187.425

4,610,603 5,353,276

Principal and interest repayments are as follows.

____________ ____________________________

Principal Interest Total$ $ S

2016— 742.726 167,511 910,237

2017 766.620 143,617 910,2372018 688.050 118,698 806.7482019 477.146 99,050 576.1962020 235.704 84,630 320,334Thereafter 1.700.357 328,643 2,029,000

4,610,603 942,149 5,552,752

Debenture debt is repayable to Alberta Municipal Financing Corporation and bears interest at ratesranging from 1.722% to 8.625% per annum, and matures in years 2015 through 2030.The average annual interest rate is 5.0% (5.3% for 2014).

Debenture debt is issued on the credit and security of the Town of Fairview at large.

The Town’s total cash payments for interest in were $192400(5197.251 for 2014).

The Town did not obtain any new debentures in 2015In 2014, the Town obtained a new debenture in the amount of $2200000 to finance the construction ofcapital projects. It is repayable semiannually over 5 years. bearing interest at 1.722%

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TOWN OF FAIRVIEW

NOThS TO TH CONOL1DATD FINANCIAL TATEMNTSFOR THE YEAR ENDED DECEMBER 31, 2015

8. DEBT LIMITS

Section 276(2) of the Municipal Government Act requires that debt and debt limits as defined byAlberta Regulation 255/00 for the Town of Fairview be disclosed as follows

2015 2014$ $

Total debt limit 11,519,942 11,815,572Total debt 4,610,603 5,353,276Amount of debt limit unused 6,909,339 6,462,296

Debt servicing limit 1,919,990 1.969.262Total debt payments 910,237 935.072Amount of debt servicing limit unused 1,009,753 1,034,190

The debt limit is calculated at 1.5 times revenue of the municipality (as defined in Alberta Regulation255/00) and the debt service limit is calculated at 0.25 times such revenue. Incurring debt beyondthese limitations requires approval by the Minister of Municipal Affairs. These thresholds areguidelines used by Alberta Municipal Affairs to identify municipalities that could be at financial risk iffurther debt is acquired. The calculation taken alone does not represent the financial stability of themunicipality. Rather, the financial statements must be interpreted as a whole.

9. EQUITY IN TANGIBLE CAPITAL ASSETS2015 2014

$ S

Tangible capital assets (Schedule 2) 58,780,585 57,251 974Accumulated amortization (Schedule 2) (21,788,588) (20,495,298)Long-term debt (Note 7) (4,610,603) (5,353.276)Debt charges recoverable (Note 5) 176,696 187,425

32,558,090 31,590,825

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10. ACCUMULATED SURPLUSAccumulated surplus consists of restricted and unrestricted amounts and equity in tangible capitalassets as follows:

______________

2015 2014$ $

Unrestticted surplus (deficit) 600,412 600,412Restricted surplus 5,304,627 4,671,204Equity intangible capital assets 32,558,090 31590.825

38,463,129 36,862,441

Council has set aside funds as an internal allocation of accumulated surplus to restricted operating andcapital reserves

as follows.

__________________________

2015 2014$ $

Operating ReservesAirport Terminal - 150.000Disaster Relief - 2.023Downtown Revitalization - 105.000Economic Development 50,400 45.400Environmental Conference - 5,000FCSS 17,863 8,926Fire department 179,913 168,988General Operating 73,796 71,773Handi Bus 13,000 -

Local Improvements 1,298,608 1.454,151Mill Rate Stabilization 126,000 88,000Operating building - 8,187Recreation projects - 10,194Resource Centre 8,130 8.130

Capital ReservesCommunity Services 260,995 166.156Downtown Revitalization - 62.000Emergency Operating Centre - -

Fine Arts - 400Fire department/emergency mgmt 127,907 117.907General Capital 1,748,855 1,331.373Handi Bus - 8.000Land Development - 2.630Off Site Services - 2.095

Off Site WaterPlant 102,891 102.691

Parks & Playgrounds - 137

Public Works 713,788 217.618Sidewalks - 25.468

Streets 14,105 75.268Swimming Pool Endowment Fund 160,996 160.832Town Beautification - 23.435Town Revitalization 172,658 -

Water Developer’s Levy - 1 .000Water Treatment Plant 234,722 248.222Water/Sewer Capital Replacement - -

5,304,627 4,671204

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11. SALARY AND BENEFITS DISCLOSUREUisclosure ot salaries and benetits for municipal officials, the chief administrative othcer anddesignated officers as required by Alberta Regulation 313/2000 is as follows:

2015 2014

_______ _____

_$ $

Benefits &Salary’ allowances Total Total

CouncillorsGordon MacLeod 14.773 - 14773 16,725Larry Chorney 9.853 - 9,853 11.325Anne Grayson - - - 2.950Tim Schindel 8.934 - 8,934 8.663Dennis Radbourne 9.372 - 9,372 9,188Owen Stanford 10.172 3,435 13,607 15,292Paul Buck 8.734 8.734 8,600Peter Robertson 10,297 - 10.297 2.850

CAO 105,331 20.431 125.762 90,892Designated Officers (2 positions) 181,648 34.163 215.811 195.999

1 Salary includes regular base pay, bonuses, overtime, lump sum payments, gross honoraria andany other direct cash remuneration.

2 Employer’s share of all employee benefits and contributions or payments made on behalf ofemployees including pension, health care, dental coverage, vision coverage, group life insurance.accidental disability and dismemberment insurance, long and short-term disability plans,professional memberships and tuition.

Benefits and allowances figures also include the employer’s share of the costs of additionaltaxable benefits including special leave with pay. financial and retirement planning services,concessionary loans, travel allowances, car allowances and club memberships

3 Note that in 2014, the CAO position was vacant for part of the year

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1. LOCAL AUTHORITIES PENSION PLAN

Employees of the Town participate in the Local Authorities Pension Plan (LAPP), which is one of theplans coveted by the Alberta Public Sector Pension Plans Act. The LAPP serves about 238000people and 420 employers. The LAPP is financed by employer and employee contributions and byinvestment earnings of the LAPP Fund.

Contributions for current service are recorded as expenditures in the year in which they become due.

The Town is requited to make current service contributions to the LAPP of 1 1.39% of pensionableearnings up to the years maximum pensionable earnings under the Canada Pension Plan and 15.84%on pensionable earnings above this amount. Employees of the Town are required to make currentservice contributions of 10.39% of pensionable salary up to the years maximum pensionable salaryand 15.84% on pensionable salary above this amount.

Total current service contributions by the Town to the LAPP were $173153 ($166,555 for 2014).Total current service contributions by the employees of the Town to the Local Authorities Pension Planwere $1 59,057 ($152,999 for 2014).

At December 31. 2014. the LAPP disclosed an unfunded liability of $2455 billion.

13. COMMITMENTS

The Town has entered into a five year lease agreement for the spaces occupied by the Town office and thelibrary for a total of $74.01 5 per year.

14. CONTINGENCIES

The Town is a member of the Alberta Municipal Insurance Exchange (MUNIX). Under the terms of themembership, the Town could become liable for its proportionate share of any claim losses in excess ofthe funds held by the exchange. Any liability incurred would be accounted for as a current transactionin the year the losses are determined

15. FINANCIAL INSTRUMENTS

The Towns financial instruments consist of cash and temporary investments, accounts receivable,

investments, debt charges recoverable, bank indebtedness, accounts payable and accrued liabilities,

deposit liabilities, requisition over-levy, and long-term debt. It is managements opinion that the Town

is not exposed to significant interest or currency risks arising from these financial instruments.

The Town is subject to credit risk with respect to taxes and grants in place of taxes receivables and

trade and other receivables. Credit risk arises from the possibility that taxpayers and entities to which

the Town provides services may experience financial difficulty and be unable to fulfill their obligations.

The large number and diversity of taxpayers and customers minimizes the credit risk

Unless otherwise noted, the carrying value of the financial instrument approximates fair value

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16. SEGMENTED DISCLOSURE

The Town of Fairview provides a range of services to its ratepayers. For each reported segment. revenuesand expenses represent both amounts that are directly attributable to the segment and amounts that areallocated on a reasonable basis. The accounting policies used in these segments ate consistent with thosefollowed in the preparation of the financial statements as disclosed in Note 1

Refer to the Schedule of Segmented Disclosure (Schedule 6).

17. APPROVAL OF FINANCIAL STATEMENTS

Council and Management have approved these financial statements.

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çrr - fairview, ab, canada · 2020. 11. 25. · pro i’k/ing r qu ctlii’, . s ulil i tblc’,...

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