Buffalo Pound Water Treatment Corporation - 2016 Annual Report

Information

Department:	Office of the City Clerk	Sponsors:
Category:	Administration Report

Attachments

Report Body

CONCLUSION

The Buffalo Pound Water Treatment Corporation (Corporation) has presented its annual report attached as Appendix A and its 2017 and its 2017 Operating and Capital Budget attached as Appendix B. The plan has been prepared based on the requirements defined in the Unanimous Membership Agreement.

BACKGROUND

The Buffalo Pound Water Treatment Corporation was established and is the non-profit corporation as of January 1, 2016. The Corporation is responsible for the operation and maintenance of the Buffalo Pound Water Treatment Plant and provides the Cities of Regina and Moose Jaw with a reliable and affordable supply of safe, high quality drinking water which meet the needs and expectations of consumers. Under the terms of the Unanimous Membership Agreement, the Corporation is owned jointly by the City of Regina (74 per cent) and the City of Moose Jaw (26 per cent).

The Buffalo Pound Board of Directors has the authority to make strategic business decisions, including approval of the operating and capital budgets for the Corporation and it is presented to City Council as information.

This is the first annual report of the newly incorporated entity.

DISCUSSION

The Buffalo Pound Water Treatment Corporation is exclusively managed by the Board of Directors who are independent from the City of Regina and City of Moose Jaw and have the full authority to make strategic business decisions. The requirements in the Unanimous Member Agreement are as follow:

1. The Corporation’s annual report which includes the following information:

a) audited financial statements for the period ending December 31st and the corporation’s financial and operational performance against stated goals and objectives for the previous year, including a key performance indicators review;

b) any revisions to long term strategic plans or capital asset plans;

c) an operating and capital budget for the next fiscal year and an operating and capital budget projection for subsequent fiscal years contemplated in the current strategic or capital assets plans;

d) pro forma audited financial statements prepared in accordance with generally accepted accounting principles;

e) accomplishments during the fiscal year along with explanations, notes and information as is required to explain and account for any variances between the actual results and the strategic and capital asset plans;

f) project major capital expenditures in excess of $1 million;

g) matters that require the approval of the Cities; and

h) the projected five year water demand as provided by each of the Cities.

2. In conjunction with the annual report, the corporations shall conduct its annual general meeting which will:

a. elect the Board of Directors;

b. appoint the auditor;

c. approve the financial statements; and

d. consider any other resolutions that may be brought forward.

The 2016 Annual Report and the 2017 Operating and Capital Budget are included as appendices to this report. This provides the requirement needed for compliance with the elements under Unanimous Member Agreement.

RECOMMENDATION IMPLICATIONS

Financial Implications

As Buffalo Pound Water Treatment Corporation is a municipal corporation of the City of Regina, their audited financial statements have been consolidated into the City’s 2016 Annual Report and Consolidated Financial Statements at the City’s ownership share of 74 per cent.

Environmental Implications