Chestermere City Council accepted the quarter 3 financial results report for information during the Nov. 15 council meeting.
In the third quarter, city expenses decreased by almost 3 per cent, and revenues increased by almost 2 per cent, resulting in the city saving more than $5 million.
“This is unprecedented for the City of Chestermere,” City of Chestermere Director Kim Wallace said. “The city’s third quarter financials reflect the resiliency and expertise of the team in place who are working to deliver efficiencies while effectively saving.”
Wallace explained that at the beginning of the year, council removed $12 million off the top of the budget they were given from the previous year, cut an additional $3 million and repurposed $5 million for council initiatives.
“With all those savings, additionally, to date, our budget we’ve saved an additional 14 per cent in expenses,” Wallace said. “The city is doing tremendously well, and quarter 3 was another exceptional quarter.”
In 2022, the city recorded a total revenue of more than $38 million, with total expenses of more than $33 million.
“In most areas, we are tremendously better both in revenue and in expenses. We are really excited about how we are doing compared to the budget we were provided with,” Wallace said. “Our expenses are lower than our revenue.”
Between 2021 and 2022, the city also increased license and permit revenue by almost 2 per cent.
“It’s fantastic. It’s the hard work of our planning and development group,” Wallace said.
The 2022 budget had estimated more than $39 million in expenses. However, the actual expenses were more than $33 million, resulting in a total revenue of $38 million.
City departments that have contributed to revenue include community growth, corporate services, community and people, community operations, and community safety.
City departments with significant expenses include community growth, corporate services, community and people, community operation, community safety, strategic advisory, and council expenses.
The $38 million revenue was contributed by the sale of goods and user charges, penalties and costs on taxes, licenses and permits, investment income, government transfers, restricted surplus, and from equity.
“This is showing overall where revenue is coming in and expenses going out,” Wallace said. “This is where we have the 15 per cent savings from our budget from what we anticipated.”
Significant expenses for the city include salaries, wages, and benefits, contracted and general services, purchases from other government, goods and supplies, transfers to other organizations, interest and principal on long-term debts, bank and charges.
“Salaries, wages, and benefits, and our expenses are down which indicates that our staff is tremendously well in the teams they have built, we’re confident with the teams we’ve built. We have a little bit more growth in our planning and development department, but otherwise, I feel like we’re doing well,” Wallace said.
Adding, “The third quarter of 2022 was an exceptional quarter for the City of Chestermere. The city continues to deliver strong financial results, underpinned by strategic decisions made over the past year.”