Chestermere City Council is working to complete the dissolution of Chestermere Utilities Incorporated (CUI) by the end of the year.
City of Chestermere Financial Services Manager, Ann Thai presented a progress update on the dissolution of the utility company during the Jan. 31 council meeting.
The dissolution of CUI has been a multiple-year process, with city council directing administration to completely dissolve the municipal-controlled company in November 2021, with asset management and appreciation accounting to roll the company back into the city.
In June 2022, residents were notified of the proposed dissolution of the utility company, and in July, a public hearing was held for residents to share their feedback.
On Jan. 27, all utility accounts were transferred to the city’s accounting system, Thai explained.
“The January billing will be run through the city’s accounting system. The revenue will now be city revenue,” Thai said. “Accounts payable and receivable balances as of Dec. 31, 2022, have been transferred to the city’s opening balance for 2023.”
Going forward, all assets will be reviewed and transferred to the city, consolidated debts will be transferred to the city, and the financial statement for 2022 will be completed.
Thai expects the review, liability transfer and final financial statement to be completed by March.
The dissolution of the utility company project will be completed by the end of the year, after the termination of services, agreements, and when the dissolution of corporation form is submitted.
“The plan is, we do the complete asset review,” Thai said.
She added, “The next update will be in March when we do the financial statement, and asset review, that will be a major report.”
