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Report To: Council
Date of Meeting: June 23, 2025 Report Number: FSD-023-25
Authored By: Michelle Pick, Accounting Services Manager/Deputy Treasurer
Submitted By: Trevor Pinn, Deputy CAO/Treasurer, Finance and Technology
Reviewed By: Mary-Anne Dempster, CAO
By-law Number: Resolution Number:
File Number:
Report Subject: 2024 Audited Financial Statements
Recommendations:
1.That Report FSD-023-25, and any related delegations or communication items, be
received;
2.That the Financial Statements for the Board of Management for Historic Downtown
Bowmanville Business Improvement Area for the year ending December 31, 2024,
be approved;
3.That the Financial Statements for the Board of Management for the Newcastle
Central Business District Improvement Area for the year ending December 31, 2024,
be approved;
4.That the Financial Statements for the Board of Management for the Orono Central
Business District Improvement Area for the year ending December 31, 2024, be
approved;
5.That the Financial Statements for the Municipality of Clarington Trusts for the year
ending December 31, 2024, be approved;
6.That the Consolidated Financial Statements for the Municipality of Clarington for the
year ending December 31, 2024, be approved;
7.That the Deputy CAO/Treasurer and Accounting Services Manager/Deputy
Treasurer be authorized to sign the required letters to finalize each of the audits;
8.That Staff prepare the Annual Financial Report for the year ending December 31,
2024, for publication;
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Report FSD-023-25
9. That the Mayor be given delegated authority to approve the final version of the
financial statements, as substantially in the form attached to Report FS D-023-25;
and
10. That all interested parties listed in Report FSD-023-25 and any delegations be
advised of Council’s decision.
Municipality of Clarington Page 3
Report FSD-023-25
Report Overview
The Municipality is required to prepare financial statements in compliance with Public Sector
Accounting Standards (PSAS) as established by the Public Sector Accounting Board (PSAB)
annually.
To further enhance the transparency and understandability of the Municipality’s financial
data, an Annual Financial Report is also issued. This additional information includes five-
year trends for certain financial information, provides historical context and trends the
financial statements.
1. Background
1.1 Section 294.1 of the Municipal Act, 2001 requires that a municipality, for each fiscal
year, prepare annual financial statements for the municipality in accordance with
generally accepted accounting principles for local governments as recommended, from
time to time, by the Public Sector Accounting Board of the Chartered Professional
Accountants of Canada.
1.2 The statements included in the attachments to this report have been prepared in
accordance with the current Public Sector Accounting Standards (PSAS) that are in
force. Municipality of Clarington Finance and Technology Department staff continue to
monitor changes to PSAS as they become effective.
1.3 The Consolidated Financial Statements for the Municipality of Clarington include the
organizations, local boards and committees that are controlled by the Municipality and
form the reporting entity under PSAS. These include:
a. Board of Management for the Historic Downtown Bowmanville Business
Improvement Area
b. Board of Management for the Newcastle Central Business District Improvement
Area
c. Board of Management for the Orono Central Business District Improvement Area
d. Clarington Public Library Board and Clarington Museums and Archives
e. Newcastle Arena Board
f. Newcastle Community Hall Board
g. Solina Hall Board
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Report FSD-023-25
h. Tyrone Community Hall Board
i. Clarington Heritage Committee
j. Bowmanville Santa Clause Parade Committee
1.4 Section 295 of the Act requires the Municipality to publish, within 60 days, the audited
financial statements in a newspaper having general circulation within the municipality
and a notice that the statements and notes would be available at no cost to the
taxpayer upon request. The information may also be provided in a manner that the
Treasurer considers appropriate. As in the past, these statements will be made
available on the Municipality’s website, and copies may be obtained from Finance and
Technology Department.
1.5 The Finance and Technology Department drafts an Annual Financial Report, which
provides the audited financial statements as well as financial discussion and analysis.
This report is becoming a more common report from larger municipalities and is similar
to reports seen by publicly traded companies. The numbers in a financial statement
only provide a certain amount of information, to be usable to stakeholders’ additional
information may be beneficial. Staff include five-year charts to provide a trend analysis
of certain financial information.
2. Financial Statements for the Board of Management for
Historic Downtown Bowmanville Business Improvement Area
2.1 The Statement of Financial Position of the Bowmanville BIA increased in 2024 with
higher cash and cash equivalents stemming from increased fundraising revenue and
lower total expenses compared to prior year.
2.2 The fundraising revenue increased by $15,331, driven by successful events, such as
Maplefest, Moonlight Magic and Applefest.
2.3 Expenses were lower in 2024 versus 2023, with a total decrease of $15,147. The
decrease is mainly driven by lower streetscaping costs.
2.4 The Bowmanville BIA has an accumulated surplus of $103,567, which is higher than
the pre-pandemic level and is, in part, a result of the surpluses in the pandemic
periods.
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Report FSD-023-25
3. Financial Statements for the Board of Management for the
Newcastle Central Business District Improvement Area
3.1 The Newcastle BIA’s revenue was higher by $6,972 versus 2023, driven by higher
fundraising revenue during the year related to successful events.
3.2 Expenses are higher by $12,413, which primarily is due to increased event expenses
for Canada day, Christmas / parade expenses and 100th celebration events.
3.3 The annual deficit of $672 decreases the accumulated surplus to $80,298, which can
be utilized in future years to promote and support the Newcastle BIA.
3.4 The net financial assets of the Newcastle BIA equal the total accumulated surplus of
$80,298, as there are no non-financial assets (tangible capital assets). The Newcastle
BIA is in a strong financial position.
4. Financial Statements for the Orono Central Business District
Improvement Area
4.1 The main changes in the Orono BIA statement of financial position are an increase of
cash of approximately $2,733, which is related to the annual surplus of $4,213, and a
decrease in Accounts Payable of $1,480 due to the timing of purchases.
4.2 The Orono BIA saw an increase in revenue, of $478 for 2024 over 2023. This was
driven mainly by an increased transfer from reserve funds to support improved lighting,
branding and festival banners.
4.3 The expenses were slightly lower in 2024, mainly driven by lower landscaping costs.
4.4 The annual surplus of $4,213 increased the accumulated surplus to $14,362. The BIA
has an accumulated surplus which is sufficient to cover its liabilities.
5. Financial Statements for the Municipality of Clarington Trust
Funds
5.1 The Trust Funds are not included in the Municipality of Clarington’s consolidated
financial statements. The financial reporting follows PSAB and includes the trust funds
that the Municipality is responsible for. Most of the funds are related to cemetery trusts,
with an additional two bequests which are not cemetery related.
5.2 The Trusts do not have any liabilities and consist predominantly of investments, which
are primarily GICs. The due (to) from the Municipality of Clarington relates to expenses
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Report FSD-023-25
incurred at the cemetery or funds received by the Municipality, which are due to be
transferred to the trust fund.
5.3 During the year, $86,758 in care and maintenance receipts were received, with an
additional $108,990 of interest earned on the trust fund investments. The trusts
transferred $103,751 to the Municipality for the ongoing care and maintenance of the
cemeteries.
6. Consolidated Financial Statements for the Municipality of
Clarington
Administrative
6.1 The letter stating management’s responsibility for the financial statements is a
requirement of PSAS and serves to emphasize that the financial statements are the
responsibility of the Municipality, not the auditors.
6.2 The Independent Auditor’s Report is in accordance with requirements of Canadian
Auditing Standards (CAS). The report indicates the auditor’s opinion on whether the
financial statements and the notes are in accordance with Canadian public sector
accounting standards. The audit opinion is “clean” which indicates that we are
materially compliant with applicable accounting standards.
6.3 For the fiscal year ending December 31, 2024, the Municipality was required to adopt
new financial standards. As a result, the auditors are currently undertaking additional
quality reviews of the financial statements to ensure compliance. It is expected that any
changes would be to note wording and not the numbers as presented in the
attachments to this report. Staff recommend that the Mayor be delegated authority to
approve the financial statements, provided that any possible changes be minor in
nature (ie. does not change the bottom line), such as wording changes or formatting of
notes.
Statement of Financial Position
6.4 The Statement of Financial Position is the public sector accounting equivalent of a
balance sheet. The statement provides a snapshot, as at December 31, 202 4, of the
assets, liabilities and accumulated surplus (an indicator of service capacity) specifically
on that day.
6.5 Net Financial Assets (the difference between financial assets and liabilities) increased
by approximately $8.3 million in 2024. The financial asset-to-liability ratio of 1.6:1.0
shows that the Municipality is able to fulfill its financial obligations. The reserve and
Municipality of Clarington Page 7
Report FSD-023-25
reserve fund balances total $70.0 million and are slightly higher than the 2023 level of
$68.1 million.
6.6 A detailed breakdown of the accumulated surplus is presented in Note 20,
“Accumulated Surplus” of the Consolidated Financial Statements. The term
“accumulated surplus” does not mean and cannot be implied to mean that there are
“cash or funds” available for spending. Most of the value in the accumulated surplus
represents non-financial assets and reflects the Municipality’s investment in the
required infrastructure to deliver the programs and services that stakeholders expect.
Statement of Operations
6.7 The Statement of Operations is the public sector accounting equivalent of an income
statement in the private sector. The Statement of Operations provides a summary of
revenue and expenses for the year, with the annual surplus representing the difference
between the cost of providing the Municipality’s services and the revenues recognized
during the year.
6.8 In accordance with PSAS, the Municipality uses the accrual basis of accounting rather
than the cash-basis. Revenue is recognized when it is earned, and expenses are
recognized when they are incurred, as opposed to when funds transfer.
6.9 The Statement of Operations, as required by PSAS, lists revenues based on like
revenue streams (e.g., taxation, user charges, grants) and expenses based on
functional segments. The functional segments for expenses follows the Province of
Ontario’s Financial Information Return (FIR) segmentation on service lines.
6.10 Information on the segments’ revenues and expenses, including expense accounting
object (e.g., salaries and wages, operating materials, contract services), are included in
Schedule 2. Current year and prior year schedules are provided to allow for year -over-
year comparisons.
6.11 Schedule 3 shows the budgeted breakdown by segment for each accounting object.
This is not a required schedule; but is included to provide additional information to
users.
6.12 Property taxation includes the Municipality’s portion only. Funds which are collected on
behalf of the Region of Durham, and the Province of Ontario (for education purposes)
are not shown as part of the Statement of Operations. The notes to the financial
statements contain a note disclosure on the funds which have been collected and
remitted on behalf of the other levels of government.
6.13 Investment income and deferred revenue experienced increases. Most of the deferred
revenue earned relates to development charges and is recognized when the asset is
Municipality of Clarington Page 8
Report FSD-023-25
recognized. Deferred revenue may also be recognized when grant obligations or
performance obligations are met.
6.14 Amortization expense is a non-cash expense which allocates the capital cost of assets
across the useful life of the asset.
6.15 Overall, the expenses for the Municipality were below the 2024 budget, and higher than
2023 actuals. It should be noted that the surplus and budget shown on the statements
are in accordance with PSAB and are not shown on the same basis that the
Municipality budgets annually (which uses a modified cash -basis).
6.16 The Statement of Operations shows an annual surplus of $13.0 million for 2024; this
compares to a $5.0 million deficit indicated in the budget column. This surplus is a
result of the differing treatment between the cash-based budget process and the
accrual-based reporting process. Included in revenue is $9.1 million, the fair market
value of assets transferred from developers (assumed subdivisions) during the year. In
future years there will be expenses related to these assets' replacement, maintenance
and repairs. As well, there was a significant investment income variance in 2024, driven
primarily by higher-than-expected interest rate changes.
Statement of Remeasurement Gains (Losses)
6.17 The Statement of Remeasurement Gains (Losses) shows the impacts of certain
unrealized gains or losses on the financial instruments of the Municipality. In 2024, the
gains shown reflect the adjustment from cost to market value of the portfolio
investments as at December 31, 2024.
6.18 Unrealized gains and losses are not transferred to the Statement of Operations until
realized. The fluctuations in market are shown through this statement, as an indicator
of potential risk.
Statement of Changes in Net Financial Assets
6.19 The purpose of the Statement of Change in Net Financial Assets is to provide financial
statement users additional information on the Municipality’s financial activities during
the year.
6.20 The statement starts with the annual surplus and backs out non -financial activities such
as amortization, accounting gains/losses, and the purchase and sale of assets.
6.21 The main variances between 2024 and 2023 relate mostly to the acquisition of tangible
capital assets and the difference in the assets under construction transferred to
tangible capital assets in 2024, as well as the impact of unrealized remeasurement
gains for the year.
Municipality of Clarington Page 9
Report FSD-023-25
Statement of Cash Flows
6.22 The statement of cash flows explains how the organization financed its activities and
met its cash obligations. As is common with public sector entities, the Municipality uses
the indirect method of cash f low statements, which takes the annual surplus/deficit and
adjusts for non-cash transactions as well as the implied cash impact through changes
in the statement of financial position.
6.23 The cash position of the Municipality increased during the year from $69.3 million in
cash to $105.6 million. During the year, operating activities contributed to an increase
of $22.5 million, this includes the receipt of receivables as well as cash (development
charges) that are restricted to be used in future years.
6.24 Capital activities represent the investment the Municipality has made in its tangible
capital assets that are utilized in the delivery of services to stakeholders. The
Municipality invested $32.5 million in cash outlays in 2024.
6.25 The Municipality investment levels decreased during 2024 by $3.5 million. Dividends of
$0.5 million from our investment in Elexicon were received during the year.
6.26 Financing activities during the year included repayment of $2.0 million in the principal of
long-term debenture debt and an increase in proceeds of debenture issue of $51.9
million.
Changes to the Notes to the Financial Statements
6.27 As a result of the adoption of new accounting standards in the 2024 fiscal year, there
have been changes to the note disclosure requirements which have been reflected in
these statements. A summary of these changes can be found in Note 1 (a)(vii)
Adoption of new accounting standards.
7. Financial Considerations
Not Applicable.
8. Strategic Plan
Not Applicable.
9. Climate Change
Not Applicable.
Municipality of Clarington Page 10
Report FSD-023-25
10. Concurrence
Not Applicable.
11. Conclusion
It is respectfully recommended that the financial statements for the Municipality and its
components be approved (subject to the completion of the MNP quality control review,
and possible minor wording or note disclosure adjustments), that Staff be authorized to
sign the final letters to complete the audit, and that Staff be directed to finalize the
Annual Financial Report with the approved financial statements
Staff Contact: Michelle Pick, Accounting Services Manager/Deputy Treasurer, 905-623-3379
ext. 2605 or mpick@clarington.net.
Attachments:
Attachment 1 – Draft Financial Statements for the Board of Management for Historic
Downtown Bowmanville Business Improvement Area for the year ending December 31, 2024
Attachment 2 – Draft Financial Statements for the Board of Management for the Newcastle
Central Business District Improvement Area for the year ending December 31, 2024
Attachment 3 – Draft Financial Statements for the Board of Management for the Orono Central
Business District Improvement Area for the year ending December 31, 2024
Attachment 4 – Draft Financial Statements for the Municipality of Clarington Trusts for the year
ending December 31, 2024
Attachment 5 – Draft Consolidated Financial Statements for the Municipality of Clarington for
the year ending December 31, 2024
Interested Parties:
The following interested parties will be notified of Council's decision:
TD Bank
Ministry of Municipal Affairs and Housing
Bereavement Authority of Ontario
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Attachment 1 to Report FSD-023-25
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Attachment 1 to Report FSD-023-25
Independent Auditor's Report
MNP LLP
165 Kent Street West P.O. Box 358, Lindsay ON, K9V 4S3 T: 705-324-3579 F: 705-324-0774
MNP.ca
To the Members of the Corporation of the Municipality of Clarington Board of Management for Historic Downtown
Bowmanville Business Improvement Area, Members of Council, Inhabitants and Ratepayers of the Corporation of the
Municipality of Clarington:
Qualified Opinion
We have audited the accompanying financial statements of the Historic Downtown Bowmanville Business
Improvement Area of the Corporation of the Municipality of Clarington (the Entity), which comprise the statement of
financial position as at December 31, 2024, and the statements of operations, changes in net financial assets and cash
flows for the year then ended, and notes to the financial statements, including a summary of significant accounting
policies.
In our opinion, except for the possible effects of the matter described in the Basis for Qualified Opinion section of
our report, the accompanying financial statements present fairly, in all material respects, the financial position of the
Entity as at December 31, 2024, and its results of operations and its cash flows for the year then ended in accordance
with Canadian public sector accounting standards.
Basis for Qualified Opinion
The Entity derives revenue from fundraising activities the completeness of which is not susceptible to satisfactory
audit verification. Accordingly, verification of these revenues was limited to the amounts recorded in the records of
the Entity. Therefore, we were not able to determine whether any adjustments might be necessary to event and
donation revenue, annual surplus, and cash flows from operations for the years ended December 31, 2024 and 2023,
net financial assets as at December 31, 2024 and 2023, and accumulated surplus as at January 1 and December 31 for
both the 2024 and 2023 years. Our audit opinion on the financial statements for the year ended December 31, 2023
was modified accordingly because of the possible effects of this limitation in scope.
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities
under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements
section of our report. We are independent of the Entity in accordance with the ethical requirements that are relevant
to our audit of the financial statements in Canada, and we have fulfilled our other ethical responsibilities in
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our qualified audit opinion.
Other Matter
The financial statements for the year ended December 31, 2023 were audited by another auditor who expressed a
qualified opinion on those statements on August 6, 2024 for the reasons described in the Basis for Qualified opinion
paragraph.
Responsibilities of Management and Those Charged with Governance for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance with
Canadian accounting standards for private enterprises, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to
fraud or error. Draft - For Management Only
Attachment 1 to Report FSD-023-25
165 Kent Street West P.O. Box 358, Lindsay, Ontario, K9V 4S3
T: 705-324-3579 F: 705-324-0774 MNP.ca
In preparing the financial statements, management is responsible for assessing the Entity’s ability to continue as a
going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless management either intends to liquidate the Entity or to cease operations, or has no realistic
alternative but to do so.
Those charged with governance are responsible for overseeing the Entity’s financial reporting process.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
Canadian generally accepted auditing standards will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic decisions of users taken on the basis of these financial
statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness
of the Entity’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the Entity’s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor's report to the related
disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained up to the date of our auditor's report. However,
future events or conditions may cause the Entity to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
Lindsay, Ontario Chartered Professional Accountants
Date Licensed Public Accountants Draft - For Management Only
Attachment 1 to Report FSD-023-25
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Attachment 1 to Report FSD-023-25
If this information is required in an alternate format, please contact the Accessibility
Coordinator at (905) 623-3379 ext. 2131
Financial statements of
The Corporation of the
Municipality of Clarington
Board of Management for the
Newcastle Central Business
District Improvement Area
December 31, 2024
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Newcastle Central
Business District Improvement Area
December 31, 2024
Table of contents
Independent Auditor’s Report....................................................................................... 1-2
Statement of financial position ........................................................................................ 3
Statement of operations ................................................................................................. 4
Statement of change in net financial assets ................................................................... 5
Statement of cash flows ………………………………………………………………………. 6
Notes to the financial statements .................................................................................... 7
Attachment 2 to Report FSD-023-25
Independent Auditor's Report
To the Members of the Corporation of the Municipality of Clarington Board of Management for the Newcastle
Central Business District Improvement Area, Members of Council, Inhabitants and Ratepayers of the Municipality of
Clarington:
Qualified Opinion
We have audited the accompanying financial statements of the Newcastle Central Business District Improvement
Area of the Corporation of the Municipality of Clarington (the Entity), which comprise the statement of financial
position as at December 31, 2024, and the statements of operations, changes in net financial assets and cash flows
for the year then ended, and notes to the financial statements, including a summary of significant accounting
policies.
In our opinion, except for the possible effects of the matter described in the Basis for Qualified Opinion section of
our report, the accompanying financial statements present fairly, in all material respects, the financial position of the
Entity as at December 31, 2024, and its results of operations and its cash flows for the year then ended in accordance
with Canadian public sector accounting standards.
Basis for Qualified Opinion
The Entity derives revenue from fundraising activities the completeness of which is not susceptible to satisfactory
audit verification. Accordingly, verification of these revenues was limited to the amounts recorded in the records of
the Entity. Therefore, we were not able to determine whether any adjustments might be necessary to event and
donation revenue, annual surplus, and cash flows from operations for the years ended December 31, 2024 and 2023,
net financial assets as at December 31, 2024 and 2023, and accumulated surplus as at January 1 and December 31 for
both the 2024 and 2023 years. Our audit opinion on the financial statements for the year ended December 31, 2023
was modified accordingly because of the possible effects of this limitation in scope.
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities
under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements
section of our report. We are independent of the Entity in accordance with the ethical requirements that are relevant
to our audit of the financial statements in Canada, and we have fulfilled our other ethical responsibilities in
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our qualified audit opinion.
Other Matter
The financial statements for the year ended December 31, 2023 were audited by another auditor who expressed a
qualified opinion on those statements on August 6, 2024 for the reasons described in the Basis for Qualified opinion
paragraph.
Responsibilities of Management and Those Charged with Governance for the Financial Statements Draft - For Management OnlyManagement is responsible for the preparation and fair presentation of the financial statements in accordance with
Canadian accounting standards for private enterprises, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to
fraud or error.
MNP LLP
165 Kent Street West P.O. Box 358, Lindsay ON, K9V 4S3 T: 705-324-3579 F: 705-324-0774
Attachment 2 to Report FSD-023-25
In preparing the financial statements, management is responsible for assessing the Entity’s ability to continue as a
going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless management either intends to liquidate the Entity or to cease operations, or has no realistic
alternative but to do so.
Those charged with governance are responsible for overseeing the Entity’s financial reporting process.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
Canadian generally accepted auditing standards will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic decisions of users taken on the basis of these financial
statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness
of the Entity’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the Entity’s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor's report to the related
disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained up to the date of our auditor's report. However,
future events or conditions may cause the Entity to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit. Draft - For Management OnlyLindsay, Ontario Chartered Professional Accountants
Date Licensed Public Accountants
165 Kent Street West P.O. Box 358, Lindsay, Ontario, K9V 4S3
T: 705-324-3579 F: 705-324-0774 MNP.ca
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Newcastle Central
Business District Improvement Area
Statement of financial position
as at December 31, 2024
2024 2023
$ $
Financial assets
Cash and cash equivalents 82,021 81,846
Total financial assets 82,021 81,846
Liabilities
Accounts payable 1,723 876
Total liabilities 1,723 876
Net financial assets (liabilities) 80,298 80,970
Accumulated surplus (deficit) 80,298 80,970
The accompanying notes are an integral part of these financial statements.
Page 3
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Newcastle Central
Business District Improvement Area
Statement of operations
for the year ended December 31, 2024
2024 2023
Budget Actual Actual
$$ $
Revenues
Taxation - Municipality of Clarington 40,000 40,000 40,000
Fundraising 50,231 43,259
Total revenues 40,000 90,231 83,259
Expenses
Administration 2,000 5,296 4,419
Advertising 10,000 9,764 10,006
Events 5,000 53,695 43,705
Downtown safety and décor 23,000 22,148 20,360
Total expenses 40,000 90,903 78,490
Annual surplus (deficit) -(672) 4,769
Accumulated surplus, beginning of year 80,970 80,970 76,201
Accumulated surplus, end of year 80,970 80,298 80,970
The accompanying notes are an integral part of these financial statements.
Page 4
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for Newcastle Central
Business District Improvement Area
Statement of change in net financial assets
as at December 31, 2024
Budget 2024 2023
$ $ $
Annual surplus (deficit) -(672) 4,769
Change in net financial assets -(672) 4,769
Net financial assets, beginning of year 80,970 80,970 76,201
Net financial assets (liabilities), end of year 80,970 80,298 80,970
The accompanying notes are an inegral part of these financial statements.
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Newcastle Central
Business District Improvement Area
Statement of cash flows
for the year ended December 31, 2024
2024 2023
$ $
Operating activities
Annual surplus (672) 4,769
Changes in non-cash operating items
Decrease (increase) in accounts receivable -100
Increase (decrease) in accounts payable and accrued liabilities 847 261
175 5,130
Net increase in cash 175 5,130
Cash, beginning of year 81,846 76,716
Cash, end of year 82,021 81,846
The accompanying notes are an integral part of these financial statements.
Attachment 2 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Newcastle Central
Business District Improvement Area
Notes to the financial statements
December 31, 2024
The Corporation of the Municipality of Clarington Board of Management for the
Newcastle Central Business District Improvement Area is a Municipal Local Board in the
Province of Ontario, Canada. It conducts its operations guided by the provisions of
provincial statutes such as the Municipal Act and related legislation.
1.Significant accounting policies
The financial statements of the Board are the representations of management
prepared in accordance with Canadian public sector accounting standards
(“PSAS”).
The focus of the financial statements is on the financial position of the Board and
the changes thereto. The Statement of Financial Position includes the assets and
liabilities of the Board.
Financial assets are those assets which could provide resources to discharge
existing liabilities or finance future operations.
Non-financial assets are not available to discharge existing liabilities and are held
for use in the provision of services. They have useful lives extending beyond the
current year and are not intended for sale in the ordinary course of operations.
Accumulated surplus represents the difference between assets and liabilities of
the Board. This provides information about the Board’s overall future revenue
requirements and its ability to finance operations and meet its obligations.
a)Revenue recognition
Taxation revenue is recorded when earned and is based on a special
assessment. Other revenues are recorded in the period in which transactions
or events occurred that gave rise to the revenues.
b)Use of estimates
The preparation of financial statements in conformity with Canadian generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenue and expenses during the
year. Actual results could differ from those estimates.
c)Cash and cash equivalents
Cash and cash equivalents are made up of cash held in financial institutions as
well as temporary investments with maturities of 90 days or less.
Page 7
Attachment 2 to Report FSD-023-25
If this information is required in an alternate format, please contact the Accessibility
Coordinator at (905) 623-3379 ext. 2131.
Financial statements of
The Corporation of the
Municipality of Clarington
Board of Management for the
Orono Central Business
District Improvement Area
December 31, 2024
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Orono Central
Business District Improvement Area
December 31, 2024
Table of contents
Independent Auditor’s Report....................................................................................... 1-2
Statement of financial position ........................................................................................ 3
Statement of operations ................................................................................................. 4
Statement of change in net financial assets ................................................................... 5
Statement of cash flows ……………………………………………………………………….6
Notes to the financial statements .................................................................................... 7
Attachment 3 to Report FSD-023-25
Independent Auditor's Report
To the Members of the Corporation of the Municipality of Clarington Board of Management for Orono Central
Business District Improvement Area, Members of Council, Inhabitants and Ratepayers of the Municipality of
Clarington:
Qualified Opinion
We have audited the accompanying financial statements of the Orono Central Business District Improvement Area of
the Corporation of the Municipality of Clarington (the Entity), which comprise the statement of financial position as at
December 31, 2024, and the statements of operations, changes in net financial assets and cash flows for the year
then ended, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, except for the possible effects of the matter described in the Basis for Qualified Opinion section of
our report, the accompanying financial statements present fairly, in all material respects, the financial position of the
Entity as at December 31, 2024, and its results of operations and its cash flows for the year then ended in accordance
with Canadian public sector accounting standards.
Basis for Qualified Opinion
The Entity derives revenue from fundraising activities the completeness of which is not susceptible to satisfactory
audit verification. Accordingly, verification of these revenues was limited to the amounts recorded in the records of
the Entity. Therefore, we were not able to determine whether any adjustments might be necessary to event and
donation revenue, annual surplus, and cash flows from operations for the years ended December 31, 2024 and 2023,
net financial assets as at December 31, 2024 and 2023, and accumulated surplus as at January 1 and December 31 for
both the 2024 and 2023 years. Our audit opinion on the financial statements for the year ended December 31, 2023
was modified accordingly because of the possible effects of this limitation in scope.
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities
under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements
section of our report. We are independent of the Entity in accordance with the ethical requirements that are relevant
to our audit of the financial statements in Canada, and we have fulfilled our other ethical responsibilities in
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our qualified audit opinion.
Other Matter
The financial statements for the year ended December 31, 2023 were audited by another auditor who expressed a
qualified opinion on those statements on August 6, 2024 for the reasons described in the Basis for Qualified opinion
paragraph.
Responsibilities of Management and Those Charged with Governance for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance with
Canadian accounting standards for private enterprises, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to
fraud or error. Draft - For Management OnlyMNP LLP
165 Kent Street West P.O. Box 358, Lindsay ON, K9V 4S3 T: 705-324-3579 F: 705-324-0774
MNP.ca
Attachment 3 to Report FSD-023-25
In preparing the financial statements, management is responsible for assessing the Entity’s ability to continue as a
going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless management either intends to liquidate the Entity or to cease operations, or has no realistic
alternative but to do so.
Those charged with governance are responsible for overseeing the Entity’s financial reporting process.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
Canadian generally accepted auditing standards will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic decisions of users taken on the basis of these financial
statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness
of the Entity’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the Entity’s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor's report to the related
disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained up to the date of our auditor's report. However,
future events or conditions may cause the Entity to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit. Draft - For Management OnlyLindsay, Ontario Chartered Professional Accountants
Date Licensed Public Accountants
165 Kent Street West P.O. Box 358, Lindsay, Ontario, K9V 4S3
T: 705-324-3579 F: 705-324-0774 MNP.ca
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Orono Central
Business District Improvement Area
Statement of Financial Position
as at December 31, 2024
2024 2023
$ $
Financial assets
Cash and cash equivalents 14,362 11,629
Accounts receivable --
Total financial assets 14,362 11,629
Liabilities
Accounts payable -1,480
Total liabilities -1,480
Net financial assets 14,362 10,149
Accumulated surplus (deficit) 14,362 10,149
The accompanying notes are an integral part of these financial statements.
Page 3
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Orono Central
Business District Improvement Area
Statement of Operations
for the year ended December 31, 2024
Budget 2024 2023
$ $ $
Revenues
Taxation - Municipality of Clarington (Note 1) 6,000 6,000 6,000
Donations/fundraising/miscellaneous 9,500 9,891 12,913
Contr fr reserve funds -10,000 6,500
Total revenues 15,500 25,891 25,413
Expenses
Advertising and promotion 13,900 14,692 16,261
Landscaping 18,000 3,464 6,133
Miscellaneous 1,020 3,522 522
Total expenses 32,920 21,678 22,916
Annual surplus (deficit) (17,420) 4,213 2,497
Accumulated surplus, beginning of year 10,149 10,149 7,652
Accumulated surplus, end of year (7,271) 14,362 10,149
The accompanying notes are an integral part of these financial statements.
Page 4
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for Orono Central
Business District Improvement Area
Statement of Change in Net Financial Assets
as at December 31, 2024
Budget 2024 2023
$ $ $
Annual surplus (deficit) (17,420) 4,213 2,497
Net financial assets, beginning of year 10,149 10,149 7,652
Net financial assets (liabilities), end of year (7,271) 14,362 10,149
The accompanying notes are an integral part of these financial statements.
Page 5
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Orono Central
Business District Improvement Area
Statement of Cash Flows
for the year ended December 31, 2024
2024 2023
$ $
Operating activities
Annual surplus 4,213 2,497
Changes in non-cash operating items
Decrease (increase) in accounts receivable -260
Increase (decrease) in accounts payable and accrued liabilities (1,480) (2,094)
2,733 663
Net increase in cash 2,733 663
Cash, beginning of year 11,629 10,966
Cash, end of year 14,362 11,629
The accompanying notes are an integral part of these financial statements.
Page 6
Attachment 3 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Board of Management for the Orono Central
Business District Improvement Area
Notes to the financial statements
December 31, 2024
The Corporation of the Municipality of Clarington Board of Management for the Orono
Central Business District Improvement Area is a Municipal Local Board in the Province
of Ontario, Canada. It conducts its operations guided by the provisions of provincial
statutes such as the Municipal Act and related legislation.
1. Significant accounting policies
The financial statements of the Board are the representations of management
prepared in accordance with Canadian public sector accounting standards
(“PSAS”).
The focus of the financial statements is on the financial position of the Board and
the changes thereto. The Statement of Financial Position includes the assets and
liabilities of the Board.
Financial assets are those assets which could provide resources to discharge
existing liabilities or finance future operations.
Non-financial assets are not available to discharge existing liabilities and are held
for use in the provision of services. They have useful lives extending beyond the
current year and are not intended for sale in the ordinary course of operations.
Accumulated surplus represents the difference between assets and liabilities of
the Board. This provides information about the Board’s overall future revenue
requirements and its ability to finance operations and meet its obligations.
a) Revenue recognition
Taxation revenue is recorded when earned and is based on a special
assessment. Other revenues are recorded in the period in which transactions
or events occurred that gave rise to the revenues.
b) Use of estimates
The preparation of financial statements in conformity with PSAS requires
management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported amounts of
revenue and expenses during the year. Actual results could differ from those
estimates.
c) Cash and cash equivalents
Cash and cash equivalents are made up of cash held in financial institutions as
well as temporary investments with maturities of 90 days or less.
Page 7
Attachment 3 to Report FSD-023-25
If this information is required in an alternate format, please contact the Accessibility Co-Ordinator at
(905) 623-3379 ext. 2131
Financial statements of
The Corporation of the
Municipality of Clarington
Trust Funds
December 31, 2024
Attachment 4 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Trust Funds
December 31, 2024
Table of contents
Independent Auditor’s Report....................................................................................... 1-2
Statement of financial position ........................................................................................ 3
Statement of operations ................................................................................................. 4
Notes to the financial statements ................................................................................. 5-6
Attachment 4 to Report FSD-023-25
Independent Auditor's Report
To the Council Members of the Corporation of the Municipality of Clarington
Opinion
We have audited the financial statements of the Corporation of the Municipality of Clarington Trust Funds (the Entity),
which comprise the statement of financial position as at December 31, 2024, and the statement of operations and
accumulated surplus for the year then ended, and notes to the financial statements, including a summary of significant
accounting policies.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the
Entity as at December 31, 2024, and its operations and accumulated surplus for the year then ended in accordance with
Canadian public sector accounting standards.
Basis for Opinion
We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under
those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section
of our report. We are independent of the Entity in accordance with the ethical requirements that are relevant to our audit
of the financial statements in Canada, and we have fulfilled our other ethical responsibilities in accordance with these
requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our opinion.
Other Matters
The financial statements for the year ended December 31, 2023 were audited by another auditor who expressed an
unmodified opinion on those statements on September 16, 2024.
Responsibilities of Management and Those Charged with Governance for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with
Canadian public sector accounting standards, and for such internal control as management determines is necessary to
enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Entity’s ability to continue as a going
concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting
unless management either intends to liquidate the Entity or to cease operations, or has no realistic alternative but to do
so. Draft - For Management OnlyThose charged with governance are responsible for overseeing the Entity’s financial reporting process.
MNP LLP
165 Kent Street West P.O. Box 358, Lindsay ON, K9V 4S3 T: 705-324-3579 F: 705-324-0774
MNP.ca
Attachment 4 to Report FSD-023-25
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be
expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
Lindsay, Ontario Chartered Professional Accountants,
Date Licensed Public Accountants
We communicate with those charged with governance regarding, among other matters, the planned scope and timing
of the audit and significant audit findings, including any significant deficiencies in internal control that we identify
during our audit.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures,
and whether the financial statements represent the underlying transactions and events in a manner that
achieves fair presentation.
Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based
on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may
cast significant doubt on the Entity’s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the
financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based
on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions
may cause the Entity to cease to continue as a going concern.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by management.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
Entity’s internal control.
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
override of internal control. intentional omissions, misrepresentations, or the
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery,
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is Draft - For Management Only165 Kent Street West P.O. Box 358, Lindsay, Ontario, K9V 4S3
T: 705-324-3579 F: 705-324-0774 MNP.ca
Attachment 4 to Report FSD-023-25
Cash
Investments
(Note 3)
Interest revenue
receivable
Due (to) from
Municipality of
Clarington
Net Financial Assets
and Accumulated
Surplus
Advent Cemetery
Bondhead Cemetery
Bowmanville Cemetery
Hampton Cemetery
Lakeview Cemetery
Lovekin Cemetery
Orono Cemetery
St. George's Cemetery
Trulls Cemetery
Vanderveer Legacy Trust
- 918
-283,834
-1,406,440
- 52,389
69,666
- 10,000
-316,811
-50,390
- 1,774
- 1,000
3
780
3,868
144
191
28
871
139
5
3
-
1,519
2,492
-
-
-
1,062
-
-
-
921
286,133
1,412,800
52,533
69,857
10,028
318,744
50,529
1,779
1,003
Montague Trust
Estate of Irene Rinch/Newcastle Community Hall
-2,193,222
- 11,752
-161,332
6,032
190
2,618
5,073
-
-
2,204,327
11,942
163,950
Total - 2024 -2,366,306 8,840 5,073 2,380,219
Total - 2023 -2,196,265 12,175 10,315 2,218,755
The Corporation of the Municipality of Clarington
Trust Funds
Statement of financial position
as at December 31, 2024
The accompanying notes are an integral part of these financial statements.
Page 3
Attachment 4 to Report FSD-023-25
Balance
beginning of
year
Revenues
Less:
Contribution
to cemeteries
Investments
in Capital
Excess (shortfall)
of revenues over
expenses
Accumulated
surplus, end
of year
Care and
maintenance
receipts
(Note 4)
Interest
earned
Other
Contributions Total
Advent Cemetery
Bondhead Cemetery
Bowmanville Cemetery
Hampton Cemetery
Lakeview Cemetery
Lovekin Cemetery
Orono Cemetery
St. George's Cemetery
Trulls Cemetery
Vanderveer Legacy Trust
922
267,819
1,352,970
51,741
-
10,043
314,090
50,405
1,782
1,004
-
18,651
61,715
869
200
-
5,123
200
-
-
43
13,062
65,205
2,504
2,307
476
14,959
2,390
84
48
-
-
-
-
69,466
-
-
-
-
-
43
31,713
126,920
3,373
71,973
476
20,082
2,590
84
48
44
13,399
67,090
2,581
2,116
491
15,428
2,466
87
49
- (1)
- 18,314
- 59,830
- 792
- 69,857
- (15)
- 4,654
- 124
- (3)
- (1)
921
286,133
1,412,800
52,533
69,857
10,028
318,744
50,529
1,779
1,003
Montague Trust
Estate of Irene Rinch
2,050,776
11,405
156,575
86,758
-
-
101,078
537
7,375
69,466
-
-
257,302
537
7,375
103,751
-
-
-153,551
- 537
- 7,375
2,204,327
11,942
163,950
Total - 2024 2,218,756 86,758 108,990 69,466 265,214 103,751 - 161,463 2,380,219
Total - 2023 2,132,080 87,840 99,115 - 186,955 100,280 -86,675 2,218,755
The Corporation of the Municipality of Clarington
Trust Funds
Statement of operations and accumulated surplus
for the year ended December 31, 2024
The accompanying notes are an integral part of these financial statements
Page 4
Attachment 4 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Trust Funds
Notes to the financial statements
December 31, 2024
The Corporation of the Municipality of Clarington Trust Funds consist of various trust
funds administered by the Municipality of Clarington. The funds include holdings related
to the care and maintenance of cemeteries and funds bequest to the Newcastle
Community Hall.
1. Significant accounting policies
The financial statements of the Corporation of Municipality of Clarington Trust
Funds are the representations of management prepared in accordance with
Canadian public sector accounting standards and reflect the following policies:
Basis of accounting
Revenues are recorded in the period in which the transactions or events occurred
that gave rise to the revenue.
Expenditures are recorded in the period the goods and services are acquired and a
liability is incurred. Refunds are reported in the period issued.
Investments
Investments are recorded at a cost which approximates fair value.
Use of estimates
The preparation of the financial statements in conformity with Canadian public
sector accounting standards, requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial statements and the
reported amount of revenues and expenditures during the year. Actual results could
differ from these estimates.
Reporting Entity
As of January 1, 2024, the Municipality assumed operations of the Lakeview
Cemetery. The Bereavement Authority of Ontario has approved the transfer of the
license to the Municipality. The 2024 financial statements include a transfer to the
Municipality of $69,466 in care and maintenance funds previously collected by the
Lakeview Cemetery Board. These funds have been invested in line with the
regulations for cemetery care and maintenance funds.
2. Statement of cash flows
A statement of cash flow has not been included in these financial statements as the
information is readily determinable from the financial statements presented.
Page 5
Attachment 4 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Trust Funds
Notes to the financial statements
December 31, 2024
3. Investments
The total investments held by the trust funds of $2,366,306 (2023 – $2,196,265)
reported on the Statement of Financial Position at cost have a fair value of
$2,372,583 (2023 - $2,205,535) at the end of the year. The investments consist of
holdings pursuant to the provisions of the Municipality’s investment policy and
comprise guaranteed investment certificates (GICs) issued by a financial institution.
It is the Municipality’s intention to hold these investments until maturity.
4. Care and maintenance funds
The Care and Maintenance Funds administered by the Municipality are funded by
the sale of cemetery plots. These funds are invested, and the interest earned is
used to perform care and maintenance to the Municipality's cemeteries. The
operations and investments of the Funds are undertaken by the Municipality in
accordance with the regulations of the Cemeteries Act.
Page 6
Attachment 4 to Report FSD-023-25
If this information is required in an alternate format, please contact the Accessibility Co-ordinator at
905-623-3379 ext. 2131
The Corporation of the Municipality of Clarington
Consolidated Financial Statements
December 31, 2024
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
December 31, 2024
Table of Contents
Page
Consolidated Financial Statements
Management's Responsiblity for the Consolidated Finanacial Statements 1
Independent Auditor's Report 2 -3
Consolidated Statement of Financial Position 3
Consolidated Statement of Operations 4
Consolidated Statement of Remeasurement Gains (Losses) 5
Consolidated Statement of Change in Net Financial Assets 6
Consolidated Statement of Cash Flows 7
Notes to the Consolidated Financial Statements 8 -36
Consolidated Schedule of Tangible Capital Assets - Schedule 1 3 -3
Consolidated Schedule of Segmented Information - Actual - Schedule 2 -
Consolidated Schedule of Segmented Information - Budget - Schedule 3 41 -42
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
December 31, 2024
Management’s Responsibility for the Consolidated Financial Statements
The accompanying consolidated financial statements of the Corporation of the
Municipality of Clarington are the responsibility of the Municipality’s management and
have been prepared in accordance with Canadian public sector accounting standards.
The preparation of the financial statements necessarily involves the use of estimates
based on management’s judgment, particularly when transactions affecting the current
accounting period cannot be finalized with certainty until future periods.
The Corporation maintains a system of internal controls designed to provide reasonable
assurance that the financial information is relevant, reliable, and accurate, that
transactions are properly authorized, and the Corporation’s assets are properly
accounted for and adequately safeguarded.
The financial statements have been audited by MNP LLP, Chartered Professional
Accountants, the external auditors for the Corporation. The responsibility of the external
auditor is to express an opinion on whether the financial statements are fairly
presented, in all material respects, in accordance with Canadian public sector
accounting standards.
Council is responsible for ensuring that management fulfills its responsibility for financial
reporting and internal control. Council meets periodically with management, as well as
the external auditors to satisfy itself that each party is properly discharging its
responsibilities with respect to internal controls and financial reporting.
The external auditor reviews the consolidated financial statements and discusses any
significant financial reporting or internal control matters prior to the approval of the
consolidated financial statements by Council.
Trevor Pinn, CPA, CA Michelle Pick, CPA, CGA
Deputy CAO / Treasurer Accounting Services Manager / Deputy Treasurer
June 13, 2025 June 13, 2025
1
Attachment 5 to Report FSD-023-25
Attachment 5 to Report FSD-023-25
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Statement of Financial Position
As at December 31, 2024
2024 2023
Financial assets
Cash and cash equivalents $105,646,870 $ 69,266,929
Investments (Note 5) 170,166,029 153,213,884
Accounts receivable 21,284,448 13,213,701
Taxes receivable (Note 6) 18,133,202 13,064,048
Inventories for resale 3,755 9,208
Inventory - surplus land 146,349 146,349
Promissory notes receivable (Note 7) 8,321,000 8,321,000
Investment in Elexicon Corporation (Note 8) 19,586,381 19,579,036
Total financial assets 343,288,034 276,814,155
Liabilities
Accounts payable and accrued liabilities 16,354,255 13,531,048
Employee future benefits liabilities (Note 9) 10,113,440 9,933,158
Debenture debt (Note 11) 80,164,952 30,337,689
Other long-term liabilities - ARO 462,416 449,907
Deferred revenue - general 21,297,535 20,508,114
Deferred revenue - obligatory reserve funds (Note 13) 88,351,472 83,818,835
Total liabilities 216,744,070 158,578,751
Net financial assets 126,543,964 118,235,404
Non-financial assets
Investment in tangible capital assets (Note 19) (Schedule 1) 483,339,815 465,854,595
Prepaid expenses 2,235,181 2,205,444
Inventory supplies 1,024,337 824,867
Total non-financial assets 486,599,333 468,884,906
Accumulated surplus (Note 20) 613,143,297 587,120,310
Accumulated surplus comprised of:
Accumulated operating surplus: 600,978,504 587,948,826
Accumulated remeasurement gain (loss) 12,164,793 (828,517)
Accumulated surplus $613,143,297 $587,120,309
Contingencies (Note 15) and Contractual Commitments (Note 16)
The accompanying notes are an integral part of these consolidated financial statements.
3
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Statement of Operations
For the year ended December 31, 2024
2023 2024
Budget Actual 2023
(Note 22)
Revenues
Taxation and user charges
Property taxation $ 78,142,505 $ 77,975,507 $ 73,770,910
Taxation from other governments 4,771,047 4,881,256 4,785,994
User charges 13,114,340 18,311,885 13,840,006
Grants
Government of Canada 10,500 477,810 315,410
Province of Ontario 103,481 214,638 945,004
Other
Deferred revenue earned 9,757,175 12,934,534 15,014,844
Investment income 2,469,000 8,912,578 5,868,924
Penalty and interest on taxes 1,700,000 2,536,811 1,935,206
Fines 278,300 298,171 485,587
Donations and contribution from others 96,000 4,342,432 560,917
Elexicon Corporation
Equity share of net income -512,524 462
Contributed tangible capital assets 9,088,680 9,088,680 2,886,036
Other income 5,054,750 639,399 4,878
Loss on disposal of tangible capital assets -(25,812) (180,520)
Total revenue 124,585,778 141,100,413 120,233,658
Expenses
General government services 10,341,574 10,558,263 9,352,939
Protection services 23,861,502 24,392,258 22,711,063
Transportation services 42,479,878 40,741,414 33,698,893
Enviromental services 4,514,641 4,701,428 3,805,726
Health services 1,008,947 1,132,418 1,006,906
Recreation and cultural services 37,838,262 38,063,189 35,254,345
Planning and development services 9,556,455 8,481,765 8,245,810
Total expenses 129,601,259 128,070,735 114,075,682
Annual surplus (5,015,481) 13,029,678 6,157,976
Accumulated surplus, beginning of year 587,948,826 587,948,826 581,790,850
Accumulated surplus, end of year $582,933,345 $600,978,504 $587,948,826
The accompanying notes are an integral part of these consolidated financial statements.
4
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Statement of Remeasurement Gains (Losses)
For the Year Ended December 31, 2024
2024 2023
Remeasurement Gains/Losses $ (828,517) $ -
Unrealized gains (losses) attributable to:
Foreign exchange --
Derivatives --
Portfolio investments 11,880,255 (828,517)
Remeasurement gains (losses) 11,880,255 (828,517)
Amounts reclassified to the statement of operations:
Foreign exchange --
Derivatives --
Portfolio investments 1,113,055 -
Amounts reclassified to statement of operations 1,113,055 -
Proportion of other comprehensive income from investment in
government enterprise --
Accumulated remeasurement gains (losses), end of year $12,164,793 $(828,517)
The accompanying notes are an integral part of these consolidated financial statements.
5
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Statement of Change in Net Financial Assets
For the year ended December 31, 2024
2023 2024 2023
Annual surplus
Amortization of tangible capital assets
Acquisition of tangible capital assets
Investment in assets under construction
Assets under construction transferred to tangible
capital assets
Net book value of tangible capital assets disposals
/ adjustments
Decrease in prepaid expenses
Decrease in inventory supplies
Net change in remeasurement gains (losses) for
the year
Increase(decrease) in net financial assets
Budget Actual
$ (5,015,481) $ 13,029,678
24,979,788 24,078,934
(26,441,056) (31,232,882)
- (19,777,532)
-9,230,417
-215,843
-(29,738)
-(199,470)
- 12,993,310
(6,476,749) 8,308,560
Actual
$ 6,157,976
23,218,292
(24,387,547)
(11,529,685)
8,170,591
280,484
(127,712)
(150,859)
(828,517)
803,023
Net financial assets, beginning of year 118,235,404 118,235,404 117,432,381
Net financial assets, end of year $ 111,758,655 $126,543,964 $118,235,404
The accompanying notes are an integral part of these consolidated financial statements.
6
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Statement of Cash Flows
For the year ended December 31, 2024
2024 2023
Operating activities
Annual surplus $ 13,029,678 $ 6,157,976
Non cash items
Amortization of tangible capital assets
Loss on disposal of tangible capital assets
Equity share of Elexicon Corporation net income
Contributed tangible capital assets recorded in revenue
Accretion expense
24,078,934
25,812
(512,524)
(9,088,680)
12,509
23,218,292
180,520
(462)
(2,886,036)
12,320
Change in non-cash operating items
Accounts receivable
Taxes receivable
Inventories for resale
Accounts payable and accrued liabilities
Employee future benefits liabilities
Deferred revenue - general
Deferred revenue - obligatory reserve funds
Prepaid expenses
Inventory supplies
(8,070,747)
(5,069,154)
5,453
2,823,207
180,282
789,421
4,532,637
(29,738)
(199,470)
(1,784,309)
(2,669,913)
428
2,415,737
30,262
(935,401)
1,629,958
(127,715)
(150,859)
22,507,620 25,090,798
Capital activities
Acquisition of tangible capital assets (net of contributed)
Proceeds on disposal of tangible capital assets
(32,691,317)
190,031
(24,860,605)
99,964
(32,501,286) (24,760,641)
Investing activities
Decrease (Increase) in investments
Dividends received from Elexicon Corporation
(3,958,835)
505,179
4,070,447
680,361
(3,453,656) 4,750,808
Financing activities
Repayment of long term liabilities
Proceeds of debenture issue
(2,039,737)
51,867,000
(1,975,103)
-
49,827,263 (1,975,103)
Net increase, of cash and cash equivalents
Cash and cash equivalents, beginning of year
36,379,941
69,266,929
3,105,862
66,161,067
Cash and cash equivalents, end of year $ 105,646,870 $ 69,266,929
The accompanying notes are an integral part of these consolidated financial statements.
7
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
The Municipality of Clarington (the “Municipality”) is a municipality in the Province of Ontario,
Canada. It conducts its operations guided by the provisions of provincial statutes such as the
Municipal Act, the Municipal Affairs Act and related legislation.
1. Significant accounting policies
The consolidated financial statements of the Municipality are the representations of management
prepared in accordance with Canadian Public Sector Accounting Standards (“PSAS”).
a. Significant accounting policies adopted are as follows:
i. Reporting entity
These consolidated financial statements reflect financial assets, liabilities, operating
revenues and expenses, and the changes in investment in tangible capital assets of
the Municipality of Clarington. The reporting entity is comprised of all organizations,
local boards and committees controlled by the Municipality, including the following:
- Board of Management for the Historic Downtown - Newcastle Arena Board
Bowmanville Business Improvement Area
- Board of Management for the Newcastle Central - Newcastle Community Hall
Business District Improvement Area Board
- Board of Management for the Orono Central - Solina Hall Board
Business District Improvement Area
- Clarington Public Library Board and Clarington - Tyrone Community Hall Board
Museums and Archives
- Bowmanville Santa Claus Parade Committee - Clarington Heritage Committee
All material inter-entity transactions and balances are eliminated on consolidation.
ii. Investment in Elexicon Corporation
The Municipality of Clarington, along with the City of Pickering, the Town of Ajax, and
the City of Belleville own 68% of Elexicon Corporation. The Town of Whitby owns the
remaining 32% of Elexicon Corporation. The Municipality of Clarington holds a 9.248%
share of ownership.
The Municipality’s investment in Elexicon Corporation and its subsidiaries is accounted
for on a modified equity basis, consistent with generally accepted accounting principles
as recommended by PSAS for investments in government business partnerships.
Under the modified equity basis of accounting, the business partnership’s accounting
principles are not adjusted to conform to those of the Municipality and inter-
organizational transactions and balances are not eliminated. The Municipality
recognizes its equity interest in the annual income or loss of Elexicon Corporation in its
“Consolidated Statement of Operations” with a corresponding increase or decrease in
its investment asset account. Any dividends that the Municipality may receive from
8
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
a. Significant accounting policies adopted are as follows: (continued)
ii. Investment in Elexicon Corporation (continued)
Elexicon Corporation and other capital transactions will be reflected as adjustments in
the investment asset account.
iii. Accounting for region and school board transactions
The taxation and other revenues, expenses, assets and liabilities with respect to the
operations of the school boards and the Regional Municipality of Durham are not
reflected in these financial statements.
iv. Accounting for phase-in/capping provisions
Increases/decreases in property taxes levied as a result of the application of phase-
in/capping legislation are not reflected in the Consolidated Statement of Operations but
are reported on the Consolidated Statement of Financial Position.
v. Trust funds
Trust funds and their related operations administered by the Municipality are not
included in these consolidated financial statements, but are reported separately on the
“Trust Funds Statement of Operations” and “Trust Funds Statement of Financial
Position”.
vi. Financial Instruments
Cash and equity instruments quoted in an active market are measured at fair value.
Accounts receivable, accounts payable, and long-term debt are measured at cost or
amortized cost. The carrying amount of each of these financial instruments is
presented on the statement of financial position.
Unrealized gains and losses from changes in the fair value of financial instruments are
recognized in the statement of remeasurement gains and losses. Upon settlement, the
cumulative gain or loss is reclassified from the statement of remeasurement gains and
losses and recognized in the statement of operations. Interest and dividends
attributable to financial instruments are reported in the statement of operations.
When investment income and realized and unrealized gains and losses from changes
in the fair value of financial instruments are externally restricted, the investment
income and fair value changes are recognized as revenue in the period in which the
resources are used for the purpose specified.
For financial instruments measured using amortized cost, the effective interest rate
method is used to determine interest revenue or expense.
All financial assets are tested annually for impairment. When financial assets are
impaired, impairment losses are recorded in the statement of operations.
9
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
a. Significant accounting policies adopted are as follows: (continued)
vi. Financial Instruments (continued)
Transaction costs are added to the carrying value for financial instruments measured
using cost or amortized cost. Transaction costs are expensed for financial instruments
measured at fair value.
vii. Adoption of new accounting standards and guidelines
The Municipality adopted the following standards concurrently beginning January 1,
2024, prospectively: PS 3160 - Public Private Partnerships (P3), PS 3400 - Revenue,
and Public Sector Guideline 8 - Purchased Intangibles.
PS 3160 - Public Private Partnerships (P3) - This accounting standard identifies
requirements on how to account for and disclose transactions in which public sector
entities procure major infrastructure assets and/or services from private sector entities.
Recognition of assets arising from P3 arrangements is ultimately dependent on
whether public sector entities control the purpose and use of the assets, access to the
future economic benefits and exposure to the risks associated with the assets, and
significant residual interest in the asset, if any, at the end of the P3 term. Measurement
of the asset and related liability will also be dependent on the overall model used to
compensate the private sector entity. The Municipality adopted the standard
prospectively. The implementation of this new standard did not result in identification of
transactions that would meet the definition of P3.
PS 3400 - Revenue - This standard establishes how to account for and report on
revenue. Specifically, it differentiates between revenue arising from transactions that
include performance obligations and those that do not. Adoption of this standard has
resulted in changes in the timing of revenue recognition for certain revenue streams
such as licenses and permits. The Municipality will recognize revenue from these
exchange transactions when it satisfies its performance obligations. The Municipality
adopted the standard prospectively resulting in an immaterial adjustment to decrease
user charges and increase deferred revenue for the year ended December 31, 2024.
Public Sector Guideline 8 - Purchased Intangibles - This new guideline allows public
sector entities to recognize intangibles purchased through an exchange transaction.
The Municipality adopted the standard prospectively. The implementation of this new
standard did not result in identification of assets that would meet the definition of
purchased intangibles.
b. Basis of accounting
i. Accrual basis of accounting
Revenues and expenses are reported on the accrual basis of accounting. The accrual
basis of accounting recognizes revenues in the period in which transactions or events
10
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
b. Basis of accounting (continued)
i. Accrual basis of accounting (continued)
occurred that gave rise to the revenues; expenses are recognized in the period the
goods and services are acquired and a liability is incurred or transfers are due.
ii. Non-financial assets
Non-financial assets are not available to discharge existing liabilities and are held for
use in the provision of services. They have useful lives extending beyond the current
year, and are not intended for sale in the ordinary course of operations. The change in
non-financial assets during the year, together with the excess of revenues over
expenses, provides the Changes in Net Financial Assets for the year.
(a) Tangible capital assets (“TCA”)
Tangible capital assets are recorded at cost, which includes all amounts that are
directly attributable to acquisition, construction, development or betterment of the
asset. The cost, less residual value, of the tangible capital assets are amortized on
a straight-line basis over their estimated useful lives as follows:
Land improvements 20-75 years
Buildings 5-75 years
Vehicles 7-20 years
Equipment 3-25 years
Linear road and related 7-75 years
Linear storm sewers 40-75 years
Amortization
The Municipality uses the straight line method of amortization. For pooled assets
and networks such as roads and storm sewers, one half of the annual amortization
is charged in the year of acquisition or in-service date and in the year of disposal.
For individual assets, if acquired (or in-service) in the first half of the year, the full
year of the amortization is charged. If acquired (or in-service) in the second half of
the year, one half of the annual amortization is charged. Similarly in the year of
disposal, if the asset is disposed of in the first half of the year, one half of the
amortization is charged but if disposed of in the second half of the year the full
annual amortization is charged. Assets under construction are not amortized until
the asset is available for productive use, at which time they are capitalized.
Contribution of tangible capital assets
Tangible capital assets received as contributions are recorded at their fair value at
the date received/assumed and that fair value is also recorded as revenue.
11
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
b. Basis of accounting (continued)
ii. Non-financial assets (continued)
Works of art and historic assets
The Municipality holds various works of art and historical trasures pertaining to the
heritage and history of the Municipality. These items are not recognized as tangible
caital assets in the consolidated financial statements as a reasonable estimate of
the future benefits associated with such property cannot be made.
(b) Inventories
Inventories held for consumption are recorded at the lower of cost or replacement
cost.
iii. Reserves and reserve funds
Certain amounts, as approved by Council, are set aside in reserves and reserve funds
for future operating and capital purposes. Transfers to and/or from reserves and
reserve funds are an adjustment to the respective fund when approved. Reserves and
reserve funds form part of the Municipality’s accumulated surplus.
iv. Deferred revenues
Deferred Revenues, which include advance payments for tickets, building permits and
program registration fees; contributions from developers according to Section 37 of the
Planning Act; and revenues set aside for specific purposes (obligatory reserve funds),
represent fees which have been collected, but for which the related services have not
yet been provided. Revenue is recognized when the related activity occurs or the
service is performed.
v. Employee future benefits
The present value of the cost of providing employees with future benefits programs is
expensed as employees earn these entitlements through service. The cost of the
benefits earned by employees is actuarially determined using the projected benefit
method prorated on service and management’s best estimate of retirement ages of
employees and expected health care and dental costs. Actuarial gains or losses are
amortized on a straight-line basis over the expected average remaining service life of
all employees covered.
vi. Contaminated sites
Contaminated sites are the result of contamination being introduced in air, soil, water
or sediment of a chemical, organic, or radioactive material or live organism that exceed
an environmental standard. A liability for remediation of contaminated sites is
12
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
b. Basis of accounting (continued)
vi. Contaminated sites (continued)
recognized when all of the following criteria are met: a) an environmental standard
exists; b) contamination exceeds the environmental standard; c) the organization is
directly responsible or accepts responsibility for the liability; d) future economic
benefits will be given up; and e) a reasonable estimate of the liability can be made.
Changes in this estimate are recorded in the Municipality’s statement of operations.
As of December 31, 2024, there was no liability recorded on the statement..
vii. Revenue Recognition
Taxation
Property tax billings are prepared by the Municipality based on assessment rolls issued
by the Municipal Property Assessment Corporation (“MPAC”). Tax rates are
established annually by Council, incorporating amounts to be raised for local services
and amounts the Municipality is required to collect on behalf of the Regional
Municipality of Durham and the Province of Ontario in respect of education taxes.
Taxes are recorded at estimated amounts when they meet the definition of an asset,
have been authorized and the taxable event occurs. For property taxes, the taxable
event is the period for which the tax is levied. As taxes recorded are initially based on
management’s best estimate of the taxes that will be received, it is possible that
changes in future conditions, such as reassessments due to audits, appeals and court
decisions, could result in a change in the amount of tax revenue recognized. Taxes
receivable are recognized net of an allowance for anticipated uncollectible amounts.
A normal part of the assessment process is the issuance of supplementary
assessment rolls which provide updated information with respect to changes in
property assessment. Once a supplementary roll is received, the Municipality
determines the taxes applicable and renders supplementary tax billings. Assessments
of the related property taxes are subject to appeal. Any supplementary billing
adjustments made necessary by the determination of such changes will be recognized
in the fiscal year they are determined and the effect shared with the Region of Durham
and school boards, as appropriate.
Government transfers
Government transfers are recognized as revenue in the financial statements when the
transfer is authorized and any eligibility criteria are met, except to the extent that
transfer stipulations give rise to an obligation that meets the definition of a liability.
Transfers are recognized as deferred revenue when transfer stipulations give rise to a
liability. Transfer revenue is recognized in the statement of operations as the
stipulation liabilities are settled.
13
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
1. Significant accounting policies (continued)
b. Basis of accounting (continued)
vii. Revenue Recognition (continued)
Government transfers and developer contributions-in-kind related to capital
acquisitions are required to be recognized as revenue in the consolidated financial
statements in the period in which the tangible capital assets are acquired.
User fees and service charges
User charges for licenses and permits are recognized when the services are
performed, good are delivered, all performance obiligations are satisfied and there is
reasonable assurance of collection. All other user user fee are recognized when the
services are performed or goods are delivered and there is reasonable assurance of
collection.
Other
Other revenue is recorded when it is earned and collection is reasonably assured.
Investment income
Investment income earned on operating surplus funds and reserve funds (other than
obligatory reserve funds) are recorded as revenue in the period earned. Investment
income earned on obligatory reserve funds are recorded directly to each respective
fund balance and forms part of the deferred revenue – obligatory reserve funds
balance.
viii. Inventory for resale
Inventory for resale is valued at the lower of cost or net realizable value on an average
cost basis.
ix. Use of estimates
Since precise determination of many assets and liabilities is dependent upon future
events, the preparation of periodic financial statements necessarily involves the use of
estimates and approximations. These have been made using careful judgment. Actual
results could differ from these estimates.
2. Financial Instruments
a. Classification
The carrying value of each class of the Municipality's financial instruments is provided in the
following tables.
14
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
2. Financial Instruments (continued)
a. Classification (continued)
Fair Value
Cost /
Amortized
Cost
2024
Total
Cash and cash equivalents
Investments
$105,646,870
40,196,827
$ -
129,969,202
$105,646,870
170,166,029
Accounts receivable -20,620,209 20,620,209
Taxes receivable -18,133,202 18,133,202
Promissory notes
Investment in Elexicon Corporation
Accounts payable and accrued liabilities
Debenture debt
-
-
-
-
8,321,000
19,586,381
(15,690,016)
(80,164,952)
8,321,000
19,586,381
(15,690,016)
(80,164,952)
Balance at the end of the year $145,843,697 $100,775,026 $246,618,723
Fair Value
Cost /
Amortized
Cost
2023
Total
Cash and cash equivalents
Investments
$ 69,266,929
58,513,983
$ -
94,699,901
$ 69,266,929
153,213,884
Accounts receivable -13,213,701 13,213,701
Taxes receivable -13,064,048 13,064,048
Promissory notes
Investment in Elexicon Corporation
Accounts payable and accrued liabilities
Debenture debt
-
-
-
-
8,321,000
19,579,036
(13,531,048)
(30,337,689)
8,321,000
19,579,036
(13,531,048)
(30,337,689)
Balance at the end of the year $127,780,912 $105,008,949 $232,789,861
The only financial instruments that are measured subsequent to initial recognition at fair
value are cash and cash equivalents and investments. These are fair value measurements
that are derived from quoted prices (unadjusted) in the active markets for identical assets or
liabilities using the last bid price.
15
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
2. Financial Instruments (continued)
b. Financial Instrument Fair Value Measurement
The following table provides an analysis of financial instruments that are measured at fair
value, using a fair value hierarchy of levels 1 to 3. The levels reflect the significance of the
inputs used in making the fair value measurements, as described below:
• Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities
• Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices)
• Level 3 - Inputs for the asset or liability that are not based on observable market data
(unobservable inputs)
Cash and cash equivalents
Investments
Total
Level 1 Level 2 Level 3 2024 Total
$105,646,870 $ - $ - $105,646,870
40,196,827 - - 40,196,827
$145,843,697 $ - $ - $145,843,697
Cash and cash equivalents
Investments
Total
Level 1 Level 2 Level 3 2023 Total
$ 69,266,929 $ - $ - $ 69,266,929
58,513,983 - - 58,513,983
$127,780,912 $ - $ - $127,780,912
There were no transfers between Level 1 and Level 2 for the year ended December 31,
2024. There were also no transfers in or out of Level 3.
c. Financial Instrument Risk Management
The Municipality is exposed to credit risk, liquidity risk, interest rate risk and other price risk
from its financial instruments. This note describes the Municipality's objectives, policies and
processes for managing those risks and the methods used to measure them. Further
qualitative and quantitative information in respect of these risks is presented below and
throughout these financial statements.
16
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
2. Financial Instruments (continued)
c. Financial Instrument Risk Management (continued)
Credit Risk
Credit risk is the risk of financial loss to the Municipality if a debtor fails to make payments of
interest and principal when due. The Municipality is exposed to this risk relating to its cash
and cash equivalents, investments, and accounts receivable. The Municipality holds its cash
accounts with federally regulated chartered banks who are insured by the Canadian Deposit
Insurance Corporation. In the event of default, the Municipality's cash accounts are insured
up to $100,000.
Accounts receivable are primarily due from the federal and provincial governments, as well
as various developers and residents. Credit risk is mitigated by the financial solvency of the
Provincial government and the highly diversified nature of the receivables.
The Municipality measures its exposure to credit risk based on how long the amounts have
been outstanding. An impairment allowance of $11,000 is set up based on the Municipality's
historical experience regarding collections. It is management's opinion that the Municipality
is not exposed to significant credit risk.
There have been no significant changes from the previous year in the exposure to risk or
policies, procedures and methods used to measure the risk.
Market Risk
Market risk is the risk that the fair value of future cash flows of a financial instrument will
fluctuate because of changes in market prices. Market risk comprises three types of risk:
currency risk, interest rate risk and equity risk.
There have been no significant changes from the previous year in the exposure to risk or
policies, procedures and methods used to measure the risk.
Currency Risk
Currency risk is the risk that the fair value of future cash flows of a financial instrument will
fluctuate because of changes in foreign currency rates. The Municipality is not exposed to
currency risk.
Interest Rate Risk
Interest rate risk is the potential for financial loss caused by fluctuations in fair value or
future cash flows of financial instruments because of changes in market interest rates. The
Municipality is exposed to this risk through its municipal debt and interest bearing
investments.
17
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
2. Financial Instruments (continued)
c. Financial Instrument Risk Management (continued)
The Municipality holds investments which consist of guaranteed investment certificates
(GICs), fixed income securities and principal protected notes with varying maturities from
January 2025 to August 2034 and bearing interest rates between 0.95% and 12.0%.
Investments with a maturity of less than 90 days are reported within cash and cash
equivalents, due to the highly liquid nature of these investments.
The Municipality holds municipal debt with variable interest rates which involve risks of
default on interest and principal and price changes due to, without limitation, such factors as
interest rate changes and general economic conditions.
The Municipality structures its finances so as to stagger the maturities of debt, thereby
minimizing exposure to interest rate fluctuations.
There has been an increase in interest rate risk in the December 31, 2024 year end as the
amount invested in the investment portfolio increased in the year.
Equity Risk
Equity risk is the uncertainty associated with the valuation of assets arising from changes in
equity markets. The Municipality is exposed to this risk for investments measured at fair
value. Refer to note 5 for a breakdown of investments by type.
Liquidity Risk
Liquidity risk is the risk that the Municipality will encounter difficulty in meeting its obligation
associated with financial liabilities. Liquidity risk includes the risk that, as a result of
operational liquidity requirements, the Municipality will not have sufficient funds to settle a
transaction on the due date; will be forced to sell financial assets at a value, which is less
than what they are worth; or may be unable to settle or recover a financial asset. The
Municipality is exposed to this risk mainly in respect of accounts payable and accrued
liabilities and long-term debt. The Municipality's approach to managing liquidity is to ensure
as far as possible, that it will always have sufficient cash flows to fund its operations and to
meet its liabilities when due, under both normal and stressed conditions. There have not
been any changes to these risks from the prior year.
Unless otherwise noted, the expected cash outflows are within one year. The following table
sets out the contractual maturities (representing undiscounted contractual cash-flows) of
financial liabilities:
18
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
2. Financial Instruments (continued)
c. Financial Instrument Risk Management (continued)
2024
Within 6 6 months to
months 1 year 1 to 5 years Over 5 years
Accounts payable and accrued
liabilities $ 16,008,759 $ 345,496 $ - $ -
Debenture debt - 3,794,826 20,617,419 55,752,707
$ 16,008,759 $ 4,140,322 $ 20,617,419 $ 55,752,707
2023
Within 6 6 months to
months 1 year 1 to 5 years Over 5 years
Accounts payable and accrued
liabilities $ 13,038,502 $ 492,546 $ - $ -
Debenture debt - 2,039,737 10,474,796 17,823,156
$ 13,038,502 $ 2,532,283 $ 10,474,796 $ 17,823,156
3. Trust funds
Trust funds administered by the Municipality amounting to $2,380,219 (2023 – $2,218,755) have
not been included in the “Consolidated Statement of Financial Position” nor have their financial
activities been included in the “Consolidated Statement of Operations”.
4. Operations of school boards and The Regional Municipality of Durham
Further to Note 1(a)(iii), requisitions were made by the Regional Municipality of Durham and
School Boards requiring the Municipality of Clarington to collect property taxes and payments in
lieu of property taxes on their behalf. The amounts levied and remitted are summarized below:
19
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
4. Operations of school boards and The Regional Municipality of Durham (continued)
Regional
School Municipality
Boards of Durham
2024
Property taxes $ 34,697,695 $119,368,139
Taxation from other governments 107,011 3,446,298
Total $ 34,804,706 $122,814,437
2023
Property taxes $ 33,980,454 $109,177,985
Taxation from other governments 114,886 3,199,901
Total $ 34,095,340 $112,377,886
5. Investments
Total investments consist of investments pursuant to provisions of the Municipality’s investment
policy and comprise guaranteed investment certificates (GICs), principal protected notes, and
government bonds issued by various financial institutions. It is the Municipality’s intention to hold
these investments until maturity.
2024 2023
GICs $ 19,466,866 $ 22,829,469
Principal Protected Notes 86,117,800 64,501,500
Bonds 52,416,570 58,979,183
Pooled Funds Equity -3,178,866
Pooled Funds Bonds -4,553,383
Subtotal 158,001,236 154,042,401
Adjustment to Fair Value 12,164,793 (828,517)
Total $170,166,029 $153,213,884
The Municipality holds investments with a maturity of less than 90 days, in a High Interest
Savings Account. This value is reported within cash and cash equivalents, due to the highly liquid
nature of these investments. Total investments, with a maturity of less than 90 days, have a value
20
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
5. Investments (continued)
of $18,138,354 (2023 - $16,242,639) on the Consolidated Statement of Financial Position.
6. Taxes receivable
The balance in taxes receivable, including penalties and interest, is comprised of the following:
2024 2023
Current year taxes $ 13,224,917 $ 9,951,358
5,008,285 3,212,690
18,233,202 13,164,048
Allowance for uncollectible taxes (100,000) (100,000)
$ 18,133,202 $ 13,064,048
7. Promissory notes receivable
2024 2023
Promissory note receivable from Elexicon Corporation due on
demand and bearing interest at the Ontario Energy Board
deemed long-term debt rate on an annual basis to maturity
(4.13% for the current year). $ 2,355,000 $ 2,355,000
Promissory note receivable from Elexicon Energy Inc. maturing
November 1, 2039 and bearing interest at the Ontario Energy
Board deemed long-term debt rate on a annual basis to
maturity (4.13% for the current year). 5,966,000 5,966,000
$ 8,321,000 $ 8,321,000
Interest revenue earned from these notes receivable totaled $343,658 (2023 -$343,658). The
Municipality has waived its right to demand repayment of any portion of the principal of the
promissory notes payable before the date of January 1, 2026.
8. Investment in Elexicon Corporation
a. Investment in Elexicon Corporation
The Municipality of Clarington, along with the City of Pickering, the Town of Ajax, and the
City of Belleville own 68% of Elexicon Corporation. The Town of Whitby owns the remaining
32% of Elexicon Corporation. The Municipality of Clarington holds a 9.248% share of
ownership. The Municipality is accounting for this investment using a modified equity basis
in these financial statements. The financial impact to the Municipality of Clarington's
investment and equity are reported below.
21
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
8. Investment in Elexicon Corporation (continued)
a. Investment in Elexicon Corporation (continued)
The following table provides condensed supplementary financial information of Elexicon
Corporation and its subsidiaries for the year ended December 31:
2024 2023
Financial position
Assets
Current $ 124,314,000 $ 116,654,000
Capital and intangibles 786,041,000 720,727,000
Other 701,000 708,000
Regulatory balances 53,757,000 56,310,000
Total assets and regulatory balances 964,813,000 894,399,000
Liabilities
Current 193,653,000 175,942,000
Long-term debt 283,463,000 253,465,000
Other 218,555,000 196,842,000
Total liabilities 695,671,000 626,249,000
Shareholders' equity
Share capital 97,692,000 97,692,000
Contributed capital 25,000 25,000
Retained earnings 156,746,000 159,051,000
Regulatory balances 14,679,000 11,382,000
Total shareholders' equity and regulatory balances 269,142,000 268,150,000
Total liabilities, equity and regulatory balances 964,813,000 894,399,000
22
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
8. Investment in Elexicon Corporation (continued)
a. Investment in Elexicon Corporation (continued)
2024 2023
Financial activities
Revenues 564,962,000 518,981,000
Other income 9,721,000 (2,428,000)
Expenses (563,200,000) (512,314,000)
Net movements in regulatory balances, net of tax (5,941,000) (4,234,000)
Net income for the year $ 5,542,000 $ 5,000
b. Municipality's equity is represented by:
2024 2023
Promissory notes receivable (Note 7) $ 8,321,000 $ 8,321,000
Initial investment in shares of the Corporation 10,146,495 10,146,495
Accumulated net income 24,204,131 23,691,607
Net increase in value of investment 400,126 400,126
Accumulated dividends received (15,164,371) (14,659,192)
Total equity 27,907,381 27,900,036
Municipality of Clarington's investment represented by:
Investment in Corporation 19,586,381 19,579,036
Promissory notes receivable 8,321,000 8,321,000
$ 27,907,381 $ 27,900,036
c. Contingencies and guarantees of Elexicon Corporation (the “Corporation”) as
disclosed in their financial statements are as follows:
(i) Insurance claims
The Corporation is a member of the Municipal Electric Association Reciprocal Insurance
Exchange (“MEARIE”) which was created on January 1, 1987. A reciprocal insurance
exchange may be defined as a group of persons formed for the purpose of exchanging
reciprocal contracts of indemnity or inter-insurance with each other. MEARIE provides
general liability insurance to member electric utilities. MEARIE also provides vehicle and
property insurance to the Corporation.
23
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
8. Investment in Elexicon Corporation (continued)
c. Contingencies and guarantees of Elexicon Corporation (the “Corporation”) as
disclosed in their financial statements are as follows: (continued)
Insurance premiums charged to each member electric utility consist of a levy per $1,000
of service revenue subject to a credit or surcharge based on each electric utility’s claims
experience.
(ii) Contractual obligation - Hydro One Networks Inc.
The Corporation's subsidiary, Elexicon Energy Inc. (EEI), is party to a connection and
cost recovery agreement with Hydro One related to the construction by Hydro One of a
transformer station designated to meet EEI's anticipated electricity load growth.
Construction of the project was completed during 2007 and EEI connected to the
transformer station during 2008.
To the extent that the cost of the project is not recoverable from future transformation
connection revenues, EEI is obliged to pay a capital contribution equal to the difference
between these revenues and the construction costs allocated to EEI. The construction
costs allocated to EEI for the project are $19,950,000.
Hydro One has performed a true-up based on actual load at the end of the tenth
anniversary of the in-service date and is expected to perform a true-up based on actual
load at the end of the fifteenth anniversary of the in-service date.
d. Lease commitments - Elexicon Corporation
Future minimum non-cancellable lease payment obligations under finance leases are as
follows:
2025 $ 95,000
2026 71,000
2027 44,000
$ 210,000
9. Employee future benefits liabilities
a. Accumulated sick leave entitlement
(i) Firefighters
The Municipality provides two sick leave accumulation plans for firefighters. Plan A
accumulates at the rate of one day per month of completed years of service to a
maximum of 182 days. These employees may become entitled to a cash payment on
retirement, early retirement, termination or death, at the rate of 50% of the accumulated
credit, to a maximum of one-half a year’s salary. Plan B accumulates at the rate of one
day per month once the employees complete five years of service. The estimated liability
24
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
9. Employee future benefits liabilities (continued)
a. Accumulated sick leave entitlement (continued)
at December 31, 2024 was $1,405,844 (2023 -$1,249,533).
(ii) Other
During the 1993 fiscal year, the Municipality negotiated an agreement with all employees
(except firefighters) to terminate the sick leave benefit plan which had been in effect for
many years. The Municipality agreed to pay to those employees covered by the plan and
who had at least five-years’ service with the Municipality a cash equivalent of 50% of sick
leave days accumulated to July 1, 1993 to a maximum of 120 days of salary.
Remuneration for the buying out of sick days identified will be available to the employee
at any time up to the time that the employee either leaves the Corporation or retires, at
the rate of remuneration in effect at July 31, 1993. The estimated liability at December
31, 2024 amounted to $15,405 (2023 -$17,758).
b. Post-employment benefits - other
The Municipality makes available to qualifying employees who retire before the age of 65
(firefighters - age 60) the opportunity of continuing their coverage for benefits such as
medical (extended health), dental, and life insurance benefits. Coverage ceases at age 65.
Dependent upon the eligibility, the cost of this coverage may be a shared responsibility
between the Municipality and the retired employees.
An actuarial valuation was performed as at December 31, 2024 based on data as at the
valuation date and plan provisions. The accrued benefit obligation and net benefit costs
(i.e. the expense) for the 2024 fiscal year end was determined by this valuation.
The significant actuarial assumptions employed for the valuation are as follows:
(i) Discount rate will be 4.10% per annum, remaining stable in 2025.
(ii) Future inflation rates will be 2.75%.
(iii) Dental cost trend rates will be 5.00% in fiscal 2024 and remain stable at that
level until 2027.
(iv)Extended health care trend rates will be 5.60% in fiscal 2024; and remain stable
at that level until 2027.
25
Attachment 5 to Report FSD-023-25
Accrued benefit obligation
Balance, beginning of year $ 8,314,232 $ 8,105,014
Employer current service cost 511,874 471,461
Interest cost 345,967 360,717
Benefits paid (533,140) (685,340)
Actuarial (gain) loss (161,485) 62,380
Balance, end of year 8,477,448 8,314,232
Unamortized net actuarial gains 1,635,993 1,618,926
Employee future benefits liabilities, end of year $ 10,113,441 $ 9,933,158
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
9. Employee future benefits liabilities (continued)
c. Information about the Municipality’s employee future benefits liabilities is as follows:
2024 2023
10. Pension agreements
The Municipality makes contributions to the Ontario Municipal Employees Retirement Fund
(“OMERS”). OMERS is a multi-employer defined benefit pension plan which provides pensions
for employees of Ontario municipalities, local boards, public utilities and school boards. The
pension plan is financed by equal contributions from participating employers and employees, and
by the investment earnings of the fund. The most recent actuarial valuation of the Plan was
conducted at December 31, 202. The results of this valuation disclosed total going concern
actuarial liabilities of $142,489 million with respect to benefits accrued for service with actuarial
assets at that date of $139,576 million indicating an actuarial deficit of $2,913 million. Because
OMERS is a multi-employer plan, any Plan surpluses or deficits are the joint responsibility of
Ontario municipal organizations and their employees. As a result the Municipality does not
recognize any share of the Plan surplus or deficit.
The Municipality recognizes the expense related to this plan as contributions are made. The
contribution rates and year's maximum pensionable earnings (YMPE) are outlined in the table
below.
NRA 65 up NRA 65 up NRA 60 up NRA 60
Year YMPE to YMPE to YMPE to YMPE over YMPE
2024 $ 71,300 9.00 % 14.60 % 9.20 % 15.80 %
2023 $ 66,600 9.00 % 14.60 % 9.20 % 15.80 %
The amount contributed to OMERS for 202 was $6, (2023 – $4,063,068) for
current services and is included as an expense on the statement of operations.
26
Attachment 5 to Report FSD-023-25
Regional
Maturity Date Interest Rate %1 By-law # 2024 2023
July 2, 202 1.95 to 3. 38-2014 $ -$ 158,000
1.25 to 2.80 8-201 2,460,600 2,909,600
1, 203 1.70 to 3.30 -201 496,000 561,000
April 13, 2032 1.70 to 3.30 56-2017 586,182 650,451
, 20 to -20 752,170 834,638
July 5, 202 3.35 to 4.30 32-2022 18,698,000 19,361,000
July 5, 2032 3.70 to 4.60 -0 5,305,000 5,863,000
October 25, 2044 3.70 to 4.60 2024-044 40,000,000 -
October 25, 2034 3.70 to 4.10 2024-044 650,000 -
October 25, 2044 3.70 to 4.60 2024-044 3,217,000 -
October 25, 2044 3.70 to 4.60 2024-044 8,000,000 -
$ 80,164,952 $ 30,337,689
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
Debenture Debt
The debenture debt consists of several debentures that mature in the years 202 to 2042.
Debenture debt details
At the end of the year, the outstanding principal amount of this liability is $80,164,952 (2023
- $30,337,689).
1 Interest rates gradually increase to the upper limits noted in the table.
27
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
11. Debenture Debt (continued)
b. Principal repayments
Of the municipal debt reported in (a) of this note, principal payments are payable from
general municipal revenues follows:
2025 $ 3,794,826
2026 3,949,915
2027 4,083,457
2028 4,224,000
2029 4,369,598
Thereafter 59,743,156
$ 80,164,952
c. Principal and interest
The annual principal and interest payments required to service these liabilities are within the
annual debt repayment limit prescribed by the Ministry of Municipal Affairs and Housing.
d. Interest expense
Total interest expense related to the net long-term liabilities amounted to $1,660,494 (2023
-$1,332,539) and is reported on the Consolidated Statement of Operations.
12. Internal Loans
As a means of funding various capital acquisitions, funds are borrowed from the Municipal Capital
Reserve Fund. These funds are secured by promissory notes with interest rates ranging from
% to % and payment terms of 15 years. The financing arrangements and ultimate
repayment are approved by Council through the budget process.
a. The following is a summary of the individual loans:
Major Parking Lot Rehabilitation $ 1,142,245
LED Street lighting Conversion 1,697,755
$ 2,840,000
28
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
12. Internal Loans (continued)
b. Of the internal loans reported in (a) of this note, principal payments are as follows:
2025 $ 279,000
2026 287,000
2027 296,000
2028 304,000
2029 314,000
Thereafter 1,360,000
$ 2,840,000
29
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
13. Deferred revenue - obligatory reserve funds
The continuity of “deferred revenue - obligatory reserve funds” of the Municipality is summarized
as follows:
2024 2023
Balance, beginning of year $ 83,818,835 $ 82,188,877
Contributions:
Contributions from developers 4,533,465 8,271,330
Investment Income 6,345,996 2,041,566
Canada community-building 3,234,339 3,045,085
Provincial infrastructure 3,353,372 3,286,821
17,467,172 16,644,802
Utilization:
Transfer to operating 3,554,483 4,992,558
Acquisition of TCA - construction 9,380,051 10,022,286
12,934,534 15,014,844
Change in deferred revenue during the year 4,532,637 1,629,958
Balance, end of year 88,351,472 83,818,835
Balance, end of year - analyzed as follows:
Parkland cash-in-lieu 9,251,640 8,173,177
Canada community-building 3,821,009 4,165,905
Building code act (2,448,667) 269,126
Provincial infrastructure 9,630,972 6,993,237
Development charges (Note 14) 68,096,518 64,217,390
Total deferred revenue – obligatory reserve funds $ 88,351,472 $ 83,818,835
30
Attachment 5 to Report FSD-023-25
2024 2023
Transactions
Dividends received $ 505,179 $ 680,361
Interest earned on promissory notes 343,658 343,658
Property taxes 36,607 35,241
Energy and services purchases 670,152 575,464
Balances
Promissory notes receivable 8,321,000 8,321,000
Accounts payable and accrued liabilities $ 54,010 $ 99,967
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
14. Continuity of development charges reserve funds
2024 2023
Balance at the beginning of the year $ 64,217,390 $ 63,977,558
Development charges collections 4,975,087 7,052,175
Investment income 5,623,697 1,695,019
Tangible capital assets acquisitions and construction (4,620,206) (6,155,076)
Operating expenses (2,099,450) (2,352,286)
Balance at the end of the year $ 68,096,518 $ 64,217,390
Contingencies
Various legal actions and claims have been initiated by and against the Municipality, the
outcomes of which cannot be determined at the time of reporting. Accordingly, no provision has
been made in these consolidated financial statements for any liability which may result. Should
any gain or loss occur as a result of the above legal actions the Municipality will account for the
gain/loss when it is likely that such a gain/loss will occur and the amount is measurable.
Contractual commitments
During the year the Municipality had work done on several major projects with contract values
totaling approximately $23,669,084 (2023 - $42,860,745). These contracts relate to the
construction and expansion of certain permanent facilities. As at December 31, 202, $3,000,121
(2023 - $5,569,216) relating to these contracts had not been expended.
Related party transactions and balances - Elexicon Corporation
The Municipality's investment in Elexicon Corporation is accounted for on a modified equity basis.
Transactions of a non-investment nature are recorded at cost.
31
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
18. Guarantees
In the normal course of business, the Municipality enters into agreements which contain
guarantees. The Municipality’s primary guarantees are as follows:
(i) The Municipality has provided indemnities under lease agreements for the use of various
facilities or land. Under the terms of these agreements the Municipality agrees to indemnify
the counterparties for various items including, but not limited to, all liabilities, losses, suits, and
damages arising during, on or after the term of the agreement. The maximum amount of any
potential future payment cannot be reasonably estimated.
(ii) The Municipality indemnifies employees and elected officials for various items including, but
not limited to, all costs to settle suits or actions due to association with the Municipality,
subject to certain restrictions. The Municipality has purchased liability insurance to mitigate
the cost of any potential future suits or actions. The term of the indemnification is not explicitly
defined, but is limited to the period over which the indemnified party served as an employee or
elected official of the Municipality. The maximum amount of any potential future payment
cannot be reasonably estimated.
(iii) The Municipality has entered into agreements that may include indemnities in favour of third
parties, such as purchase and sale agreements, confidentiality agreements, engagement
letters with advisors and consultants, outsourcing agreements, leasing contracts, information
technology agreements and service agreements. These indemnification agreements may
require the Municipality to compensate counterparties for losses incurred by the
counterparties as a result of breaches in representation and regulations or as a result of
litigation claims or statutory sanctions that may be suffered by the counterparty as a
consequence of the transaction. The terms of these indemnities are not explicitly defined and
the maximum amount of any potential reimbursement cannot be reasonably estimated.
The nature of these indemnification agreements prevents the Municipality from making a
reasonable estimate of the maximum exposure due to the difficulties in assessing the amount of
liability which stems from the unpredictability of future events and the unlimited coverage offered
to counterparties. Historically, the Municipality has not made any significant payments under such
or similar indemnification agreements and therefore no amount has been accrued in these
consolidated financial statements with respect to these agreements.
19. Tangible capital assets
The continuity of the historical cost and accumulated amortization for various categories of
tangible capital assets can be found in Schedule 1.
Further information relating to tangible capital assets is as follows:
a. Contributed tangible capital assets
The Municipality of Clarington records all tangible assets contributed by an external party at
32
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
Tangible capital assets (continued)
Contributed tangible capital assets (continued)
fair value on the earlier of the date received or of the transfer of risk and responsibility.
Typical examples are roadways, parks, land, and storm sewer lines installed by a developer
as part of a subdivision agreement. For subdivision assets, the recorded date is considered
to be the date of acceptance with the exclusion of streetlights with the recorded date as the
date of completion. In 202, there were contributed assets of $9,088,680 (2023 -
$2,886,036).
Works of Art and Historical Treasures
The Municipality has one historical collection. The Clarington Museums and Archives
collection is currently insured for $287,800. Also included in historical treasures are the
cenotaphs located in Bowmanville, Newcastle, Orono and Newtonville. Due to the rural
history, there are several abandoned cemeteries located throughout the Municipality. All
associated physical items, including historical signs and cairns, or concrete structures build
for old headstones, are considered a historical treasure.
Accumulated surplus
Accumulated surplus is comprised of the following:
2024 2023
Investment in tangible capital assets $483,339,816 $465,854,595
General surplus 3,521,818 5,070,701
Capital surplus 96,796,437 50,926,372
Inventory - surplus land 146,349 146,349
Debenture debt (80,164,952) (,,)
Unfunded employee benefits and post-employment liabilities (4,614) (938,780)
Other long-term liabilities - ARO (462,416) (449,907)
Accumulated remeasurement losses (12,164,793) 828,517
Reserves set aside for specific purposes by Council:
Acquisition of capital assets reserves 10,060,101 8,555,498
Legal / consulting 3,240,304 3,035,289
Election expenses 391,965 266,965
Fire prevention 305,489 304,552
Burketon park improvements 7,569 7,569
Samuel Wilmot nature area 3,373 3,430
Secondary plans 24,093 65,494
33
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
20. Accumulated surplus (continued)
2024 2023
Clarington Heritage committee board 12,262 6,315
Library and Museum 1,580,406 1,388,674
Reserve funds set aside for specific purposes by Council:
General municipal purposes 7,459,135 8,594,305
Rate stabilization 13,750,978 13,598,413
Strategic capital 8,753,953 9,651,793
Recreation programs and facilities 836,751 1,027,506
Debenture repayment 940,489 898,243
Economic development 683,111 717,536
Other cultural 38,508 154,287
Acquisition of capital assets reserve funds 6,484,077 9,864,589
Newcastle waterfront 5,995 46,732
Municipal capital works 8,608,758 4,753,853
Roads contributions 2,898,375 2,609,599
Climate Action 184,104 -
Port Granby LLRW 336,016 326,637
Community improvement plan 2,204,883 1,228,604
Business improvement areas 129,680 136,096
Cemetery perpetual care 149,818 119,157
Community emergency management 880,661 758,979
Equity in Elexicon Corporation 27,835,212 27,900,036
Accumulated surplus $613,143,297 $587,120,309
21. Segmented information
The Municipality provides a wide range of services to its residents. Distinguishable functional
segments have been separately reported on Schedule 2. For each segment, revenues and
expenses represent amounts that are directly attributable to each segment. Tax revenues are
reported as part of general government.
The nature of the segments and the activities they encompass are as follows:
34
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
21. Segmented information (continued)
a. General government services
General government is comprised of all departments that support the corporate governance,
management and program support for the Municipality.
b. Protection services
Protection services includes protection to persons and property and is comprised of
Emergency and Fire Services, Municipal Law Enforcement, Animal Services and Building
Inspection / Enforcement services. Emergency and Fire Services includes responsibility for
emergency management, fire prevention and public education, fire suppression,
communication, and training.
c. Transportation services
Transportation services includes services provided by the Public Works department. The
primary responsibilities include the inspection, planning and maintenance of the roads,
bridges, sidewalks, streetlights, roadsides, winter snow clearing, subdivision planning, traffic
engineering, development, and municipal servicing reviews. Other services include fleet
maintenance, parking and school crossing guards.
d. Environmental services
Environmental services includes storm-water management, erosion control and resale of
waste diversion goods.
e. Health services
Health services includes the maintenance and operation of the Municipality’s active and
abandoned cemeteries and crematorium, cemetery records management and the sale of
cemetery plots, permits and headstones.
f. Recreation and cultural services
Recreation and cultural services includes the administration, operation and maintenance of
all recreational, aquatic, arena, community recreational facilities, parks and trails. Clarington
Libraries, Museums and other external cultural agencies are also included in this segment.
g. Planning and development services
Planning and development services includes the development of planning policies, urban
design, development approvals, heritage preservation, real estate services and geomatics.
This segment further includes business improvement areas and tourism activities.
35
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Notes to the Consolidated Financial Statements
December 31, 2024
22. Budget amounts
The budget figures reflected in these consolidated statements are those approved by Council on
December 05, 2023. Budget figures have been translated to reflect Public Sector Accounting
Board standards (PSAS).
23. Comparative figures
Certain comparative figures have been reclassified to conform to the financial statement
presentation adopted in the current year.
36
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Tangible Capital Assets - Schedule 1
For the Year Ended December 31, 2024
2024
General
Land
Land Improvements Buildings
Infrastructure
Linear Road Linear Storm
Vehicles Equipment Land & Related Sewers Buildings Vehicles
Assets under
Equipment construction Total
Cost
Balance, beginning
of year
Add: additions
during the year
Less: disposals
during the year
Balance, end of year
Accumulated
amortization
Balance, beginning
of year
Add: amortization
during the year
Less: accumulated
amortization on
disposals
Balance, end of year
Net book value of
tangible capital
assets
$ 72,823,374 $ 47,987,193 $113,436,785 $
-5,502,891 5,766,435
-(168,331) (822,436)
72,823,374 53,321,753 118,380,784
- 18,920,560 61,620,810
-1,620,964 3,430,305
-(168,331) (785,105)
-20,373,193 64,266,010
$ 72,823,374 $ 32,948,560 $ 54,114,774 $
9,796,389 $ 16,200,670 $ 9,448,254 $437,788,911 $102,632,133 $ 2,510,405 $ 17,881,727 $
943,710 1,668,524 5,626,000 9,067,297 1,419,461 - 1,121,491
(486,731) (933,284) - (1,752,783) -- (1,897,713)
10,253,368 16,935,910 15,074,254 445,103,425 104,051,594 2,510,405 17,105,505
7,397,468 10,273,847 -244,881,085 25,688,128 1,776,797 10,795,019
635,775 1,364,713 - 14,376,551 1,381,435 84,624 1,136,498
(486,731) (933,284) - (1,575,995) -- (1,890,990)
7,546,512 10,705,276 -257,681,641 27,069,563 1,861,421 10,040,527
2,706,856 $ 6,230,634 $ 15,074,254 $187,421,784 $ 76,982,031 $ 648,984 $ 7,064,978 $
358,577 $ 16,436,245 $847,300,663
122,071 19,777,533 51,015,413
- (9,230,417) (15,291,695)
480,648 26,983,361 883,024,381
92,354 -381,446,068
48,069 -24,078,934
--(5,840,436)
140,423 -399,684,566
340,225 $ 26,983,361 $483,339,815
3
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Tangible Capital Assets - Schedule 1
For the Year Ended December 31, 2024
2023
General
Land
Land Improvements Buildings Vehicles Equipment
Infrastructure
Linear Road Linear Storm
Land & Realated Sewers Buildings Vehicles
Assets under
Equipment construction Total
Cost
Balance, beginning
of year
Add: additions
during the year
Less: disposals
during the year
Balance, end of year
$ 72,823,374 $ 44,203,339 $109,648,965 $
-4,001,819 4,730,734
-(217,965) (942,914)
72,823,374 47,987,193 113,436,785
8,623,259 $ 15,225,737 $
1,215,305 1,788,456
(42,175) (813,523)
9,796,389 16,200,670
8,490,554 $431,909,562 $100,722,179 $ 2,260,968 $ 16,783,340 $
957,700 7,818,724 1,909,954 249,437 1,689,984
- (1,939,375) --(591,597)
9,448,254 437,788,911 102,632,133 2,510,405 17,881,727
333,146 $ 13,077,151 $824,101,574
25,431 11,529,685 35,917,229
- (8,170,591) (12,718,140)
358,577 16,436,245 847,300,663
Accumulated
amortization
Balance, beginning
of year
Add: amortization
during the year
Less: accumulated
amortization on
disposals
Balance, end of year
Net book value of
tangible capital
assets
- 17,692,264 59,261,377
-1,428,273 3,255,679
-(199,977) (896,246)
- 18,920,560 61,620,810
$ 72,823,374 $ 29,066,633 $ 51,815,975 $
6,933,083 9,751,224
506,560 1,336,146
(42,175) (813,523)
7,397,468 10,273,847
2,398,921 $ 5,926,823 $
-232,467,076 24,320,411 1,697,275 10,321,812
- 14,151,570 1,367,717 79,522 1,050,791
- (1,737,561) --(577,584)
-244,881,085 25,688,128 1,776,797 10,795,019
9,448,254 $192,907,826 $ 76,944,005 $ 733,608 $ 7,086,708 $
50,320 -362,494,842
42,034 -23,218,292
--(4,267,066)
92,354 -381,446,068
266,223 $ 16,436,245 $465,854,595
3
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Segmented Information - Schedule 2
For the Year Ended December 31, 2024
2024
General
government
services
Protection
services
Transportation
services
Environmental
services
Recreation and
Health services cultural services
Planning and
development Consolidated
Operating revenue
Taxation and user charges
Grants
Other
Elexicon Corporation
Contributed tangible capital assets
Other income
Loss on disposal of tangible capital assets
$ 83,671,952 $
41,906
11,342,195
512,524
-
994
7,516
1,244,922 $
-
3,353,874
-
-
-
-
5,660,407 $
344,909
9,989,127
-
2,355,332
9,905
3,924
139,328 $
-
2,679
-
1,107,348
-
-
474,117 $
-
133,374
-
-
-
-
6,906,084 $
318,133
3,912,260
-
5,626,000
-
(37,252)
3,071,838 $
(12,500)
291,017
-
-
628,500
-
101,168,648
692,448
29,024,526
512,524
9,088,680
639,399
(25,812)
Total operating revenue 95,577,087 4,598,796 18,363,604 1,249,355 607,491 16,725,225 3,978,855 141,100,413
Operating expenses
Salaries and wages
Operating materials and supplies
Contract services
Rent and financial expenses
External transfers to others
Amortization expense
Interest on long-term liabilities
7,084,749
791,886
1,276,466
192,269
-
1,187,802
25,091
20,849,909
1,245,087
1,243,363
-
-
1,053,899
-
10,399,607
7,497,743
7,071,595
13,615
-
15,566,055
192,799
726,205
1,419,864
775,674
-
-
1,779,685
-
491,999
588,071
-
-
-
52,348
-
19,619,843
7,616,138
3,754,665
147,523
1,036,941
4,388,088
1,499,991
6,394,917
461,497
1,574,294
-
-
51,057
-
65,567,229
19,620,286
15,696,057
353,407
1,036,941
24,078,934
1,717,881
Total operating expenses 10,558,263 24,392,258 40,741,414 4,701,428 1,132,418 38,063,189 8,481,765 128,070,735
Annual surplus (deficit) $ 85,018,824 $ (19,793,462) $ (22,377,810) $ (3,452,073) $ (524,927) $ (21,337,964) $ (4,502,910) $ 13,029,678
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Segmented Information - Schedule 2
For the Year Ended December 31, 2024
2023
General
government
services
Protection Transportation Environmental Recreation and Planning and
services services services Health services cultural services development Consolidated
Operating revenue
Taxation and user charges
Grants
Other
Elexicon Corporation
Contributed tangible capital assets
Other income
Loss on disposal of tangible capital assets
Total operating revenue
Operating expenses
Salaries and wages
Operating materials and supplies
Contract services
Rent and financial expenses
External transfers to others
Amortization expense
Interest on long-term liabilities
Total operating expenses
Annual surplus (deficit)
$
$
79,332,601 $
95,284
7,590,411
462
-
3,595
7,333
87,029,686
6,101,948
1,325,877
521,338
326,011
-
1,050,585
27,180
9,352,939
77,676,747 $
2,599,265 $ 2,258,696 $ 82,324 $ 411,943 $ 5,894,104 $ 1,817,977 $ 92,396,910
10,000 182,696 --472,434 500,000 1,260,414
2,334,642 6,404,655 13,825 775,158 6,435,961 310,826 23,865,478
------462
-656,673 1,271,663 -957,700 -2,886,036
-----1,283 4,878
-(125,328) --(62,525) -(180,520)
4,943,907 9,377,392 1,367,812 1,187,101 13,697,674 2,630,086 120,233,658
19,302,596 9,146,810 592,092 429,607 16,584,651 5,518,641 57,676,345
1,172,910 6,768,049 613,988 557,982 7,698,697 621,926 18,759,429
1,146,267 2,397,442 841,685 -3,318,391 2,060,591 10,285,714
-11,496 --86,626 -424,133
1,750 ---2,315,547 -2,317,297
1,087,540 15,160,219 1,757,961 19,317 4,098,018 44,652 23,218,292
-214,877 --1,152,415 -1,394,472
22,711,063 33,698,893 3,805,726 1,006,906 35,254,345 8,245,810 114,075,682
(17,767,156) $ (24,321,501) $ (2,437,914) $ 180,195 $ (21,556,671) $ (5,615,724) $ 6,157,976
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Segmented Information - Schedule 3
For the Year Ended December 31, 2024
2024 - Budget
General
government Protection Transportation Environmental Recreation and Planning and
services services services services Health services cultural services development Consolidated
Operating revenue
Taxation and user charges
Grants
Other
Contributed tangible capital assets
Other income
$ 83,537,052 $ 2,503,200 $ 781,500 $ 154,300 $ 382,600 $ 6,198,270 $ 2,470,970 $ 96,027,892
-----113,981 -113,981
4,102,800 807,911 7,683,550 --1,643,214 63,000 14,300,475
--2,355,332 1,107,348 -5,626,000 -9,088,680
--5,054,750 ----5,054,750
Total operating revenue
Operating expenses
Salaries and wages
Operating materials and supplies
Contract services
Rent and financial expenses
External transfers to others
Amortization expense
Interest on long-term liabilities
Total operating expense
Annual surplus (deficit)
87,639,852 3,311,111 15,875,132 1,261,648 382,600 13,581,465 2,533,970 124,585,778
7,261,958 20,129,219 11,162,589 545,632 481,289 19,138,698 7,826,129 66,545,514
909,123 1,178,300 7,193,418 1,148,234 508,341 8,107,937 618,613 19,663,966
792,975 1,458,087 7,633,035 1,048,267 -3,713,361 1,067,061 15,712,786
162,300 -11,374 --127,726 -301,400
-----1,044,519 -1,044,519
1,189,644 1,095,896 16,279,222 1,772,508 19,317 4,578,549 44,652 24,979,788
25,574 -200,240 --1,127,472 -1,353,286
10,341,574 23,861,502 42,479,878 4,514,641 1,008,947 37,838,262 9,556,455 129,601,259
$ 77,298,278 $ (20,550,391) $ (26,604,746) $ (3,252,993) $ (626,347) $ (24,256,797) $ (7,022,485) $ (5,015,481)
41
Attachment 5 to Report FSD-023-25
The Corporation of the Municipality of Clarington
Consolidated Schedule of Segmented Information - Schedule 3
For the Year Ended December 31, 2024
2023 - Budget
General
government Protection Transportation Environmental Recreation and Planning and
services services services services Health services cultural services development Consolidated
Operating revenue
Taxation and user charges
Grants
Other
Contributed tangible capital assets
Total operating revenue
Operating expenses
Salaries and wages
Operating materials and supplies
Contracted services
Rent amd financial expenses
Enternal transfers to others
Amortization expense
Interest on long-term liabilities
Total operating expense
Annual surplus (deficit)
$ 79,142,063 $ 2,109,800 $ 727,500 $ 144,300 $ 365,900 $ 5,210,736 $ 2,356,970 $ 90,057,269
-22,000 ---112,481 -134,481
3,811,500 3,606,934 8,803,600 --2,594,979 -18,817,013
--656,673 1,271,663 -957,700 -2,886,036
82,953,563 5,738,734 10,187,773 1,415,963 365,900 8,875,896 2,356,970 111,894,799
6,295,854 19,089,190 9,811,014 516,054 423,149 16,735,750 6,715,204 59,586,215
899,795 1,053,201 5,483,817 461,800 478,167 7,948,581 808,718 17,134,079
876,975 1,415,629 3,230,167 991,396 -3,686,850 1,818,751 12,019,768
225,000 -11,468 --76,311 -312,779
-10,000 ---797,065 -807,065
1,089,585 1,095,202 14,365,593 1,713,676 4,494 3,986,526 64,749 22,319,825
27,625 -180,093 --1,198,395 -1,406,113
9,414,834 22,663,222 33,082,152 3,682,926 905,810 34,429,478 9,407,422 113,585,844
$ 73,538,729 $ (16,924,488) $ (22,894,379) $ (2,266,963) $ (539,910) $ (25,553,582) $ (7,050,452) $ (1,691,045)
42
Attachment 5 to Report FSD-023-25
Statement of Operations - Library
Supplementary Schedule
for the year ended December 31, 2024
2024 2023
Actual Actual
$ $
Revenues
Municipality of Clarington – operating grant 3,989,337 3,529,104
Municipality of Clarington – capital grant -382,575
Province of Ontario grant 125,911 94,368
Government of Canada grant -8,454
Fines, fees, sales, discards, programming, events, sponsorships 44,142 43,324
Donations and bequests 8,008 4,379
Interest 184,678 174,953
Miscellaneous 10,011 2,440
Contributions from reserves 78,511 -
Total revenues 4,440,598 4,239,597
Expenses
Personnel costs 3,379,237 3,301,578
Collections, operating and materials 191,103 7,316
Facility support 190,322 161,480
Products & supplies 74,109 85,045
Public programs, exhibits, collections, events, gift shop 41,826 60,078
Contracted services 74,059 291,724
Computer expenses 188,810 123,996
Staff development 44,396 44,956
Amortization expense 542,941 556,079
Transfer to reserves 256,916 -
Total expenses 4,983,719 4,632,252
Annual surplus (deficit) (543,121) (392,655)
43
Attachment 5 to Report FSD-023-25
Statement of Operations - Museum
Supplementary Schedule
for the year ended December 31, 2024
2024 2023
Actual Actual
$ $
Revenues
Municipality of Clarington – operating grant 328,114 340,524
Province of Ontario grant 39,353 50,322
Government of Canada grant 8,394 -
Grants from others -6,546
Fines, fees, sales, discards, programming, events, sponsorships 2,801 6,055
Donations and bequests 441 343
Interest 35,750 33,703
Miscellaneous -(50)
Contributions from reserves 65,185
Total revenues 480,038 437,443
Expenses
Personnel costs 319,021 261,371
Collections, operating and materials 1,707
Facility support 54,910 28,890
Products & supplies 2,484 8,601
Public programs, exhibits, collections, events, gift shop 5,686 18,132
Contracted services 93,198 38,748
Computer expenses 1,954 4,444
Staff development 1,078 344
Amortization expense 1,132 1,176
Total expenses 481,170 361,706
Annual surplus (deficit) (1,132) 75,737
44
Attachment 5 to Report FSD-023-25