DISTRICT OF SOOKE STATEMENT OF FINANCIAL INFORMATION (SOFI .DISTRICT OF SOOKE STATEMENT OF FINANCIAL
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Transcript of DISTRICT OF SOOKE STATEMENT OF FINANCIAL INFORMATION (SOFI .DISTRICT OF SOOKE STATEMENT OF FINANCIAL
DISTRICT OF SOOKE
STATEMENT OF FINANCIAL INFORMATION
(SOFI)
Pursuant to section 2(3) of the
Financial Information Act
May 26, 2017
Statement of Financial Information Prepared under the Financial Information Act
For the Year ended December 31, 2016
Page
1. MANAGEMENT REPORT FOR STATEMENT OF FINANCIAL INFORMATION 1
2. STATEMENT OF APPROVAL OF FINANCIAL INFORMATION 2
3. AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED
DECEMBER 31, 2016 4 Managements Responsibility for the Financial Statements Independent Auditors Report Statement of Financial Position Statement of Operations Statement of Change in Net Debt Statement of Cash Flows Notes to Financial Statements
4. STATEMENT OF DEBTS
Prepared under the Financial Information Regulation Schedule 1, Subsection 4 Information on all long-term debts for this organization is included in Note 5 to the 2016 Audited Financial Statements.
5. SCHEDULE OF GUARANTEE OR INDEMNITY
Prepared under the Financial Information Regulation Schedule 1, Subsection 5 The District of Sooke has not given any guarantees or indemnities in 2016 under the Guarantees and Indemnities Regulations.
6. STATEMENT OF SEVERANCE AGREEMENTS
Prepared under the Financial Information Regulation Schedule 1, Section 6 to Subsection 6(7)
There were two severance agreements made between the District of Sooke and its non-unionized employees during 2016. One agreement represented 21 months of compensation and the other represented 3 months of compensation.
7. STATEMENT OF REMUNERATION AND EXPENSES 29
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Financial Statements of
DISTRICT OF SOOKE
Year ended December 31, 2016
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DISTRICT OF SOOKEFinancial Statements
Year ended December 31, 2016
Financial Statements
Management's Responsibility for the Financial Statements 1
Independent Auditors' Report 2
Statement of Financial Position 3
Statement of Operations 4
Statement of Change in Net Debt 5
Statement of Cash Flows 6
Notes to Financial Statements 7
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MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The accompanying financial statements of District of Sooke (the "District") are the responsibility ofmanagement and have been prepared in compliance with applicable legislation, and in accordancewith public sector accounting standards for governments as recommended by the Public SectorAccounting Board of the Chartered Professional Accountants of Canada. A summary of the significantaccounting policies are described in note 1 to the financial statements. The preparation of financialstatements necessarily involves the use of estimates based on managements judgment, particularlywhen transactions affecting the current accounting period cannot be finalized with certainty until futureperiods.
The Districts management maintains a system of internal controls designed to provide reasonableassurance that assets are safeguarded, transactions are properly authorized and recorded incompliance with legislative and regulatory requirements, and reliable financial information is availableon a timely basis for preparation of the financial statements. These systems are monitored andevaluated by management.
Mayor and Council meet with management and the external auditors to review the financialstatements and discuss any significant financial reporting or internal control matters prior to theirapproval of the financial statements.
The financial statements have been audited by KPMG LLP, independent external auditors appointedby the District. The accompanying Independent Auditors Report outlines their responsibilities, thescope of their examination and their opinion on the Districts financial statements.
Director of Finance
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KPMG LLPSt. Andrew's Square II800-730 View StreetVictoria V8W 3Y7CanadaTelephone (250) 480-3500Fax (250) 480-3539
INDEPENDENT AUDITORS' REPORT
To the Mayor and Councillors of District of Sooke
We have audited the accompanying financial statements of District of Sooke, which comprise thestatement of financial position as at December 31, 2016, the statements of operations, change in netdebt and cash flows for the year then ended, and notes, comprising a summary of significant accountingpolicies and other explanatory information.Management's Responsibility for the Financial StatementsManagement is responsible for the preparation and fair presentation of these financial statements inaccordance with Canadian public sector accounting standards, and for such internal control asmanagement determines is necessary to enable the preparation of financial statements that are free frommaterial misstatement, whether due to fraud or error.Auditors' ResponsibilityOur responsibility is to express an opinion on these financial statements based on our audit. Weconducted our audit in accordance with Canadian generally accepted auditing standards. Thosestandards require that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the financial statements are free from material misstatement.An audit involves performing procedures to obtain audit evidence about the amounts and disclosures inthe financial statements. The procedures selected depend on our judgment, including the assessment ofthe risks of material misstatement of the financial statements, whether due to fraud or error. In makingthose risk assessments, we consider internal control relevant to the entitys preparation and fairpresentation of the financial statements in order to design audit procedures that are appropriate in thecircumstances, but not for the purpose of expressing an opinion on the effectiveness of the entitysinternal control. An audit also includes evaluating the appropriateness of accounting policies used andthe reasonableness of accounting estimates made by management, as well as evaluating the overallpresentation of the financial statements.We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis forour audit opinion.OpinionIn our opinion, the financial statements present fairly, in all material respects, the financial position ofDistrict of Sooke as at December 31, 2016, and its results of operations, its change in net debt and itscash flows for the year then ended in accordance with Canadian public sector accounting standards.
Chartered Professional Accountants
April 24, 2017Victoria, Canada
KPMG LLP is a Canadian limited liability partnership and a member firm of the KPMG network of independent memberfirms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. KPMG Canada providesservices to KPMG LLP.
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DISTRICT OF SOOKEStatement of Financial Position
December 31, 2016, with comparative information for 2015
2016 2015
Financial assets:Cash and cash equivalents (note 2) $ 10,101,784 $ 12,360,972Property taxes receivable 869,596 1,424,697Accounts receivable 231,856 319,995Other assets (note 10(a)) 132,747 129,138
11,335,983 14,234,802
Financial liabilities:Accounts payable and accrued liabilities 2,024,997 4,334,368Deposits 395,551 574,330Deferred revenue (note 3) 3,617,878 3,838,564Employee benefit obligations (note 4) 389,335 276,941
Long-term liabilities (note 5) 6,972,901 6,224,47313,400,662 15,248,676
Net debt (2,064,679) (1,013,874)
Non-financial assets:Tangible capital assets (note 6) 104,774,456 101,224,468Prepaid expenses 268,006 528,784
105,042,462 101,753,252
Accumulated surplus (note 7) $ 102,977,783 $ 100,739,378
Commitments and contingent liabilities (note 10)
The accompanying notes are an integral part of these financial statements.
On behalf of the District:
Director of Finance
3Page 7 of 29
DISTRICT OF SOOKEStatement of Operations
Year ended December 31, 2016, with comparative information for 2015
Financial Plan 2016 2015(note 11)
Revenue: Net taxes available for municipal
purposes (note 8) $ 6,878,341 $ 6,867,316 $ 6,814,555 Sales and user fees 169,641 151,586 150,068 Government transfers (note 9) 1,439,127 1,394,769 1,029,610 Investment income 60,000 252,812 196,862 Penalties and fines 205,000 181,298 210,908 Licenses and permits 531,404 579,567 450,201 Lease and rental 52,340 50,222 50,840 Donations and contributions 240,000 2,784,840 1,872,917 Developer cost charges 723,577 510,841 401,577 Sewer operating revenue 2,020,604 1,996,012 1,972,334 Casino revenue sharing 244,641 253,721 244,641
Total revenue 12,564,675 15,022,984 13,394,513
Expenses: General government 2,789,456 2,951,646 2,228,602 Protective services 3,286,691 3,407,165 3,100,839 Development service 3,702,784 4,076,253 3,931,388 Sewer 2,186,516 2,349,515 2,107,024
Total expenses 11,965,447 12,784,579 11,367,853
Annual surplus 599,228 2,238,405 2,026,660
Accumulated surplus, beginning of year 100,739,378 100,739,378 98,712,718 Accumulated surplus, end of year $ 101,338,606 $ 102,977,783 $ 100,739,378
The accompanying notes are an integral part of these financial statements.
4Page 8 of 29
DISTRICT OF SOOKEStatement of Change in Net Debt
Year ended December 31, 2016, with comparative in