Coquitlam Annual Report 2013 - Financial Statements

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Consolidated Financial Statements For the year ending December 31, 2013

City of Coquitlam | British Columbia



Prepared by Financial Services Division

Consolidated Financial Statements For the year ending December 31, 2013


Table of Contents Introductory Section City of Coquitlam Civic Directory. . . . . . . . . . . 3 City of Coquitlam Organizational Chart. . . . 3

Statement of Financial Position. . . . . . . . . . . . . . . . . . . . . . . . . 49

Property Tax Collection, Other Major Levies and Collections 2009–2013. . . . . . . . . . . . . . . . . . . . . . . . . . 80

Statement of Operations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50

2013 Assessment and Taxation by Property Class . . . . . . . 81

GFOA Awards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Statement of Changes in Net Financial Assets . . . . . . . . . . 51

Total Value of Building Permits 2009–2013 . . . . . . . . . . . . . 81

Statement of Cash Flows. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52

Assessed Values for General Municipal Purposes 2009–2013 . . . . . . . . . . . . . 81

Financial Section Consolidated Financial Statements. . . . . . . . . 5

Independent Auditors’ Report . . . . . . . . . . . . . . . . . . . . . . . . . . 48

Notes to Financial Statements. . . . . . . . . . . . . . . . . . . . . . . . . . 53

Building Permits and Total Tax Collection 2009–2013 . . . 81

Report From the City Treasurer. . . . . . . . . . . . . 6

Financial Statements of Coquitlam Optical Network Corporation (QNet). . . . . . . . . . . . . . 63

Independent Auditors’ Report. . . . . . . . . . . . . . 8

Independent Auditors’ Report . . . . . . . . . . . . . . . . . . . . . . . . . . 64

Annual Consolidated Surplus. . . . . . . . . . . . . . . . . . . . . . . . . . . 82

Statement of Finanical Position. . . . . . . . . . . . . . . . . . . . . . . . . 65

Gross and Net Long-Term Debt 2009–2013 . . . . . . . . . . . . . 82

Consolidated Statement of Financial Position. . . . . . . . . . . . 9

Statement of Operations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66

Coquitlam Debt Per Capita 2009–2013 . . . . . . . . . . . . . . . . . 83

Consolidated Statement of Operations . . . . . . . . . . . . . . . . . 10

Statement of Changes in Net Debt . . . . . . . . . . . . . . . . . . . . . 67

Population Estimate 2009–2013. . . . . . . . . . . . . . . . . . . . . . . . 83

Consolidated Statement of Changes in Net Financial Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Statement of Cash Flows. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68

Legal Debt Limit 2009–2013. . . . . . . . . . . . . . . . . . . . . . . . . . . . 83

Notes to Financial Statements. . . . . . . . . . . . . . . . . . . . . . . . . . 69

Net Financial Assets 2009–2013. . . . . . . . . . . . . . . . . . . . . . . . 83

Notes to Consolidated Financial Statements . . . . . . . . . . . . 13

Statistical Section

General Fund - Statement of Financial Position Schedule A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

Statistical Analysis . . . . . . . . . . . . . . . . . . . . . . . 75

Comparison of the Average 2013 Annual Tax Bill for All City Services to Other Standard Household Costs. . . . . . . . . . . . . . . . . . 84

General Fund - Statement of Operations - Schedule B . . . 40

2013 Revenue Sources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77

Water Utility Fund - Statement of Financial Position Schedule C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

Revenues by Source 2009–2013 . . . . . . . . . . . . . . . . . . . . . . . 77

Coquitlam’s Population by Age as a Percentage of Population 2001 & 2006. . . . . . . . . . . . . . . 85

Revenue 5 Year Comparison . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77

Coquitlam Residents by Marital Status, 1996-2006. . . . . . 85

Water Utility Fund Statement of Operations - Schedule D. . . . . . . . . . . . . . . . 42

2013 Expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78

Top Ten Languages Spoken at Home in Coquitlam. . . . . . . 85

Sewer and Drainage Utility Fund Statement of Financial Position - Schedule E. . . . . . . . . . 43

Expenses by Function 2009–2013 . . . . . . . . . . . . . . . . . . . . . . 78

Principal Corporate Taxpayers . . . . . . . . . . . . . . . . . . . . . . . . . . 86

Expenses by Object 2009–2013. . . . . . . . . . . . . . . . . . . . . . . . 78

Permissive Tax Exemptions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 87

Expenses - 5 Year Comparison . . . . . . . . . . . . . . . . . . . . . . . . . . 79

Principal Employers in Coquitlam. . . . . . . . . . . . . . . . . . . . . . . 88

Consolidated Statement of Cash Flows . . . . . . . . . . . . . . . . . 12

Sewer and Drainage Utility Fund Statement of Operations - Schedule F. . . . . . . . . . . . . . . . 44 Reserve Fund Balances - Schedule G . . . . . . . . . . . . . . . . . . . . 45

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Financial Statements of Coquitlam Public Library Board . . . . . . . . . . . 47

City of Coquitlam 2013 Annual Report

Surplus for the Year 2009–2013 . . . . . . . . . . . . . . . . . . . . . . . . 80 Accumulated Surplus 2009–2013. . . . . . . . . . . . . . . . . . . . . . 80 Summary of Statutory Reserve Funds 2009–2013. . . . . . . 80

Net Book Value of Tangible Capital Assets 2009–2013. . . 82 Accumulated Consolidated Surplus. . . . . . . . . . . . . . . . . . . . . 82

Household Income in Coquitlam 2005 & 2010 . . . . . . . . . . 85


City of Coquitlam Organizational Chart as of December 31, 2013

City of Coquitlam Residents Mayor & Council

City Manager P. Steblin

City of Coquitlam Civic Directory

General Manager Engineering & Public Works J. Dioszeghy

General Manager Planning & Development J. McIntyre

Acting General Manager Parks, Recreation & Culture R. Allueva

General Manager Strategic Initiatives M. Gravelle

RCMP Superintendent C. Wilcott

Director Public Works Division J. Umpleby

Manager Building Permits - Approvals J. Bontempo

Director Planning & Business Services vacant

Manager Facilities & Parks Planning & Construction B. Cormack

Fire Chief Fire/Rescue W. Pierlot

Manager Design & Construction M. Zaborniak

Manager Building Permits - Inspections D. Vance

Manager Community, Recreation & Culture Services M. Morrison-Clark

Manager Lands & Properties P. Staniscia

City Solicitor H. Bradfield

Manager Environmental Services S. Warriner

Manager Community Planning C. Johannsen

Manager Parks K. Reinheimer

Manager Special Projects T. Kyle

Manager Corporate Communications K. Vincent

Manager Transportation Uitility Programs Planning D. Soong C. Mohoruk

Acting Manager Development Services I. Radnidge

Manager Parks Planning & Design A. Isakov

Manager Corporate Planning M. Hunt

Manager Utility Programs D. Soong

Deputy City Manager J. DuMont

Mayor Richard Stewart Councillors Brent Asmundson Craig Hodge Neal Nicholson Terry O’Neill Mae Reid Lou Sekora Chris Wilson Bonita Zarrillo

Officials P. Steblin

City Clerk

city manager

J. Gilbert

J. DuMont deputy city manager

J. Dioeszeghy general manager engineering and public works

J. McIntyre general manager planning and development

S. MacLeod manager financial services city treasurer

R. Allueva

acting general manager parks, recreation and culture services

M. Gravelle general manager strategic initiatives

W. Pierlot

Manager Financial Services S. MacLeod

Manager Recreation Facilities J. Fordyce

Manager Economic Development D. Munro

fire chief

C. Wilcott

superintendent r.c.m.p.

Manager Human Resources R. Price

Manager Information & Communications Technology R. Adams Manager Emergency Programs G. Kanya

City of Coquitlam 2013 Annual Report

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Awards The Financial Services Department received the Government Finance Officers Association (GFOA) awards for Excellence in Financial Reporting, the Popular Annual Financial Reporting award, and the Distinguished Budget Presentation award.

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City of Coquitlam 2013 Annual Report


Consolidated Financial Statements For the year ending December 31, 2013

City of Coquitlam 2013 Annual Report

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Report From the City Treasurer April 25, 2014

General Fund

Mayor and Council City of Coquitlam

The City’s General Fund is the primary fund for most municipal services including Police, Fire, Parks and Recreation, Engineering and Public Works and Planning. The City’s General Fund ended the year with a surplus of $2.5 million, primarily as a result of expenditure savings for policing and growth in tax and investment revenues. Another mild winter enabled the City to contribute approximately $800,000 of unused Snow and Ice funding to reserves, as directed by Council policy. I am pleased to report the City’s Snow and Ice Reserve is fully funded, enabling any further weather-related savings to be directed toward the shortfall in our Vehicle Replacement Reserve.

Your Worship and Members of Council: I am pleased to present the Annual Report for the fiscal year ending December 31, 2013. The purpose of this report is to publish the Consolidated Financial Statements and Auditors’ Report for the City of Coquitlam pursuant to Section 167 of the Community Charter. The preparation and presentation of the financial statements and related information in the 2013 Annual Report is the responsibility of the Financial Services Division of the City. These statements have been prepared in accordance with generally accepted accounting principles and the recommendations of the Public Sector Accounting Board of the Institute of Chartered Accountants and the Provincial Ministry of Community, Sport and Cultural Development. The City maintains a system of internal accounting controls designed to safeguard the assets of the corporation and provide reliable financial information. The audit firm of KPMG was appointed by Council and is responsible for expressing an opinion as to whether the Consolidated Financial Statements, prepared by management, fairly present the financial position of the City of Coquitlam and the results of its 2013 operations. The 2013 Audited Financial Statements were presented to and approved by the Finance Committee of Council which acts as the City’s Audit Committee.

Financial Overview 2013 Operating Results The Consolidated Financial Statements presented include the 2013 results for the City’s General Fund, Utility Fund, Trust and Reserve Funds, as well as the Coquitlam Public Library and QNet. From a financial perspective, the 2013 results are positive with a small surplus achieved overall. It is a credit to Council and the staff for working diligently on hundreds of activities and projects throughout the year to provide quality services and a positive bottom line. This is evident in our annual survey which indicates that the vast majority of taxpayers believe they receive good value for their tax dollars. During the year, the City’s net assets increased by $45 million from $1.67 billion to $1.72 billion. The City’s debt also increased from $27 million to $34 million, as a result of the 2013 borrowing for DCC-funded infrastructure projects. The City’s cash position at year end increased from $266 million to $321 million, primarily because of land sales and development activity in the community during the year. Consolidated revenues for the year totaled $282 million, which combined with additional funding from City reserves, covered operating costs of $207 million and capital additions of $82 million.

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City of Coquitlam 2013 Annual Report

General Fund revenues for the year totaled $211 million which covered operating costs of $159 million and capital additions of approximately $54 million. The key projects for the year included approximately $13 million in transportation infrastructure projects, $2.2 million on Phase 1 of the Burke Mountain Fire Hall, $2 million in fire truck replacement and $3.5 million in the development of City-owned lands in Northeast Coquitlam.

Utilities The City operates two major utilities which are funded by user fees. The Sewer and Drainage Utility includes over 400 kilometers of pipes for the collection and transmission of sewerage to the Greater Vancouver Sewerage and Drainage District’s (GVS&DD) Annacis Island Treatment Plant, as well as over 500 kilometers of drainage pipes and facilities to provide environmental and flood protection throughout the City. During 2013, the Utility collected and conveyed sewerage and run-off water from approximately 40,000 households and commercial customers. The Sewer and Drainage Utility Fund ended the year with a small operating surplus. During 2013, Sewer and Drainage revenues of $35 million and DCC-funded borrowing supported operations at a cost of $26 million and net capital additions of $12 million. The largest project of the year was the upgrade of the City Centre Pump Station. The Water Utility also uses over 400 kilometers of pipes to deliver water purchased from the Greater Vancouver Water District (GVWD). During 2013, the utility also provided water to approximately 40,000 households and commercial customers. The Water Utility Fund also ended the year with a small surplus. During 2013, Water revenues of $31 million were used for water operations at a cost of $21 million and net capital additions of $8 million. The largest projects of the year included a number of water main replacements totaling $3.6million and the continuation of Phase 3 of the Northeast Water Supply System.


Investment Portfolio

Financial Sustainability

It is the policy of the City of Coquitlam to invest City funds in a manner that will provide the optimal blend of investment security and return while meeting the daily cash flow demands of the City government and complying with the statutory requirements of the Community Charter. Investment income increased in 2013, from $4.4 million to $5.8 million due to increased cash balances achieved during the year as a result of the growth in development in the community as well as actuarial gains achieved on the City’s sinking fund assets. The average balance invested by the City of Coquitlam during the year was $305 million with an average rate of return of 1.5%.

The following improvements in the City’s Balance Sheet are the result of a number of long- range Financial Policies adopted by City Council aimed at ensuring the sustainability of City infrastructure:

Trusts and Reserves The City holds a number of Trust Funds that represent monies on deposit for particular purposes. During 2013, the Trust Fund balances increased from $20 million to $21 million because of land sale deposits related to the recent sale of 29 single family lots in the Smiling Creek Neighbourhood of Northeast Coquitlam. The City also has a number of Statutory Reserve Funds including the Land Sale Reserve, the Vehicle Replacement Reserve and Development Cost Charges. During 2013, the City’s Reserve Fund balances increased from $160 million to $193 million primarily because of land sales, development related fees and capital workin- progress. These funds are used to support the City’s Capital Program and the increase seen in 2013 will be needed to fund infrastructure expansion necessitated by population growth in the community.

hh The City of Coquitlam’s cash surplus (Note 10) increased from $34 million in 2012 to $38 million in 2013, as a result of RCMP and utility cost savings as well as increased assessment and interest revenues. The surplus of $38M is held for the purpose of maintaining an appropriate balance to provide working capital, interest earnings and an emergency fund. hh Revenue received through the Casino Host Agreement was contributed to a Casino Reserve allocated as follows: ÐÐ $840,000 was received to fund Community Capital Projects of which $340,000 was issued in grants to community organizations and funds to support community events during the year, and $500,000 was allocated to support Local Area Services. ÐÐ $6.7 million was received to fund Municipal Capital Projects. All of the Municipal Capital Funds received to date have been allocated to fund priority infrastructure projects in the City’s five year Capital Program. hh Savings totaling $1.8 million achieved as a result of debt retirement from prior years have been used to support the City’s annual contribution to growth related projects in the capital program. These Council policies are a very positive step in ensuring the long-term financial sustainability of City infrastructure in the future.

Debt Outstanding long-term debt at the end of 2013 is $34 million or approximately $270 per capita, which is an increase over 2012 as a result of borrowing during the year for growth related infrastructure projects which will be repaid from future DCC collections. During 2013, the City retired 50% of the short-term borrowing used to advance the completion of the New City Centre Library. The remainder of the library debt will be fully repaid in early 2015. The City continues to use the short-term borrowing offer by the MFA, at very favourable rates, to advance capital projects including the New Burke Mountain Fire Hall in Northeast Coquitlam.

Respectfully submitted,

Sheena MacLeod, C.A. City Treasurer

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Independent Auditors’ Report To the Mayor and Council of the City of Coquitlam We have audited the accompanying consolidated financial statements of the City of Coquitlam, which comprise the consolidated statement of financial position as at December 31, 2013, the consolidated statements of operations, changes in net financial assets and cash flows for the year then ended, and notes, comprising a summary of significant accounting policies and other explanatory information.

Management’s Responsibility for the Consolidated Financial Statements Management is responsible for the preparation and fair presentation of these consolidated 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 consolidated financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements 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. An audit also includes

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City of Coquitlam 2013 Annual Report

evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion In our opinion, the consolidated financial statements present fairly, in all material respects, the consolidated financial position of the City of Coquitlam as at December 31, 2013 and its consolidated results of operations, its changes in net consolidated financial assets and its consolidated cash flows for the year then ended in accordance with Canadian public sector accounting standards.

Other Matters Our audit was made for the purpose of forming an opinion on the consolidated financial statements taken as a whole. The current year’s supplementary information included in Schedules A through G is presented for purposes of additional analysis and is not a required part of the financial statements. Such supplementary information has been subjected to the auditing procedures applied in the audit of the consolidated financial statements and, in our opinion, is fairly stated in all material respects in relation to the consolidated financial statements taken as a whole.

Chartered Accountants April 14, 2014 Burnaby, Canada


Consolidated Statement of Financial Position December 31, 2013, with comparative figures for 2012 2013 2012 Financial Assets Cash (note 3)

$

14,664,503 $ 121,030,901

Temporary investments (note 3)

306,851,907

145,081,819

Accounts receivable (note 4)

33,288,085

37,268,039

Land held for resale

1,231,086

-

356,035,581 303,380,759 Liabilities Accounts payable and accrued liabilities (note 5) Deferred revenue (note 6) Deposits (note 7) Long-term liabilities (note 8)

51,028,882 51,944,817 21,823,750 34,491,499

45,158,758 44,360,678 20,365,355 26,822,087

159,288,948 136,706,878 Net financial assets Non-Financial Assets

196,746,633

166,673,881

Inventories of supplies 712,746 682,510 Prepaid expenses 641,978 797,259 Tangible capital assets (note 9) 1,718,333,408 1,673,208,995 1,719,688,132 1,674,688,764 Accumulated surplus (note 10)

$ 1,916,434,765 $ 1,841,362,645

Commitments and contingencies (note 16) See accompanying notes to consolidated financial statement

____________________________________________ City Treasurer

City of Coquitlam 2013 Annual Report

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Consolidated Statement of Operations Year ended December 31, 2013, with comparative figures for 2012

2013 budget

2013

2012

(notes 2(a) and 20) Revenue: Taxation (note 11) $ 132,267,320 $ 133,104,670 $ 126,365,623 Fees, rates and service charges 70,580,119 80,056,487 71,714,012 Grants and grants in lieu (note 12) 8,819,576 8,778,184 17,083,907 Investment income 3,861,180 5,858,896 4,438,210 Casino revenue 7,200,000 6,730,968 7,556,341 Municipal land sales - 1,265,221 15,704,619 Developer’s contribution (note 9(b)) - 36,209,937 27,248,902 Cost recoveries 7,003,852 6,869,307 8,526,001 Penalties and interest on taxes 905,500 1,111,029 1,047,459 Other 67,824 2,517,232 1,059,889 230,705,371 282,501,931 280,744,963 Expenses: General government 16,939,420 16,143,203 15,901,449 Police protection 31,112,197 29,429,031 28,714,218 Fire protection 22,709,650 22,421,742 22,060,469 Other protection 2,578,799 2,416,078 2,183,348 Engineering 27,094,198 28,317,525 26,394,940 Solid waste 8,764,297 8,891,970 8,765,566 Planning and development 6,650,963 6,476,006 6,370,912 Parks, recreation and culture 44,096,055 45,767,039 43,271,870 Evergreen Line (note 13) - - 15,411,632 Water utility 20,180,707 21,446,766 21,050,329 Sanitary sewer 25,487,868 26,120,451 24,882,801 205,614,154 207,429,811 215,007,534 Annual surplus Accumulated surplus, beginning of year Accumulated surplus, end of year See accompanying notes to consolidated financial statements.

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City of Coquitlam 2013 Annual Report

25,091,217

75,072,120

65,737,429

1,841,362,645 1,841,362,645 1,775,625,216

$ 1,866,453,862

$ 1,916,434,765 $ 1,841,362,645


Consolidated Statement of Changes in Net Financial Assets Year ended December 31, 2013, with comparative figures for 2012

2013 budget

2013

2012

(notes 2(a) and 20) Surplus for the year

$

Reclassification of land held for sale Acquisition of tangible capital assets in cash and financed by capital lease Contributed tangible capital assets from developers Amortization of tangible capital assets Loss (gain) on disposal of tangible capital assets Proceeds on sale of tangible capital assets

25,091,217

$

75,072,120 $

65,737,429

-

1,231,086

-

(61,152,874) - 30,400,000 - -

(46,446,749) (36,209,937) 33,592,911 1,385,238 1,323,038

(45,531,580) (27,248,902) 31,787,487 (5,268,044) 8,406,973

(5,661,657) 29,947,707 27,883,363

Acquisition of inventories of supplies ‑ Acquisition of prepaid expenses ‑ Consumption of inventories of supplies ‑ Use of prepaid expenses ‑

(712,746) (641,978) 682,510 797,259

(682,510) (797,259) 662,974 904,036

125,045

87,241

Change in net financial assets

(5,661,657)

30,072,752

27,970,604

Net financial assets, beginning of year

166,673,881

166,673,881

138,703,277

Net financial assets, end of year

161,012,224

196,746,633 $ 166,673,881

$

$

See accompanying notes to consolidated financial statements.

City of Coquitlam 2013 Annual Report

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Consolidated Statement of Cash Flows Year ended December 31, 2013, with comparative figures for 2012 2013 Cash provided by (used in):

2012

Operations: Annual surplus $ 75,072,120 $ 65,737,429 Items not involving cash: Amortization 33,592,911 31,787,487 Loss (gain) on disposal of tangible capital assets 1,385,238 (5,268,044) Developer contributions of tangible capital assets (36,209,937) (27,248,902) Change in non-cash operating working capital: Decrease (increase) in accounts receivable 3,979,954 (5,826,052) Decrease in prepaid expenses 155,281 106,777 Increase in inventories of supplies (30,236) (19,536) Increase in accounts payable and accrued liabilities 5,868,958 13,395,120 Increase (decrease) in deferred revenue 7,584,139 (1,114,544) Increase (decrease) in deposits 1,458,395 (74,004)

Net change in cash from operating activities

92,856,823

71,475,731

Capital activities: Cash used to acquire tangible capital assets Proceeds on disposal of tangible capital assets

(46,420,847) 1,323,038

(45,531,580) 8,406,973

Net change in cash from capital activities

(45,097,809)

(37,124,607)

Financing activities: Issuance of long-term debt Repayment of long-term debt Principal payments on tangible capital lease obligations

17,874,000 (10,204,588) (24,736)

6,700,000 (10,095,545) (39,636)

Net change in cash from financing activities

7,644,676

(3,435,181)

Investing activities: Change in temporary investments

(161,770,088)

(59,484,568)

Net change in cash

(106,366,398)

(28,568,625)

Cash, beginning of year

121,030,901

149,599,526

Cash, end of year Supplementary information: Non-cash transactions: Tangible capital assets financed by capital lease See accompanying notes to consolidated financial statements.

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City of Coquitlam 2013 Annual Report

$

$

14,664,503 $ 121,030,901

25,902 $

-


Notes to Consolidated Financial Statements Year ended December 31, 2013 1. Operations: The City of Coquitlam (the “City”) is incorporated under the Local Government Act of British Columbia. The City’s principal activities include the provision of local government services to residents of the incorporated area. These include administrative, protective, transportation, environmental, recreational, water and sewer. 2. Significant accounting policies: These consolidated financial statements are prepared in accordance with generally accepted accounting principles for local governments as recommended by the Public Sector Accounting Board (“PSAB”) of the Chartered Professional Accountants Canada. (a) Basis of consolidation: The consolidated financial statements are comprised of the City’s Operating, Capital and Reserve Funds consolidated with the Coquitlam Public Library (the “Library”) and the Coquitlam Optical Network Corporation (“QNet”). The Library financial statements are consolidated with the City’s, as the Library Board is appointed by the City and 92% of the Library’s funding comes from the City. QNet is consolidated as it is a wholly owned municipal corporation. Interfund transactions, fund balances and activities have been eliminated on consolidation. Budget reporting: The budget information reported in the consolidated statement of operations represents the 2013 component of the Financial Plan Bylaw adopted by City Council on December 4, 2012. Operating Funds: These funds include the General, Water Utility and Sewer and Drainage Utility Operating Funds as well as the Coquitlam Public Library and QNet. They are used to record the operating costs of the services provided by the City. Capital Funds: These funds include the General, Water Utility and Sewer and Drainage Utility Capital Funds. They are used to record the acquisition costs of tangible capital assets and any related long-term debt outstanding. Reserve Funds: Under the Community Charter, City Council may, by bylaw, establish reserve funds for specified purposes. Money in a reserve fund, and interest earned thereon, must be expended by bylaw only for the purpose for which the fund was established. If the amount in a reserve fund is greater than required, City Council may, by bylaw, transfer all or part of the amount to another reserve fund. Trust Funds: These funds account for assets which must be administered as directed by agreement or statute for certain beneficiaries. In accordance with PSAS recommendations on financial statement presentation for local governments, trust funds are not included in the City’s consolidated financial statements. Trust funds administered by the City are presented in note 17.

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Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (b) Basis of accounting: The City follows the accrual method of accounting for revenues and expenses. Revenues are normally recognized in the year in which they are earned and measurable. Expenses are recognized as they are incurred and measurable as a result of receipt of goods and services and/or the creation of a legal obligation to pay. (c) Temporary investments: Temporary investments are recorded at cost which approximates market value and are comprised of money market investments and bonds. (d) Land held for resale: Land held for resale includes properties which are ready and available to be sold and for which there is a market. They are valued at the lower of cost or expected net realizable value. (e) Deferred revenue: The City defers a portion of the revenue collected from permits, licences and other fees and recognizes this revenue in the year in which related inspections are performed or other related expenditures are incurred. Development cost charges, collected to pay for capital costs due to development, are recorded as deferred revenue upon receipt. Development cost charges are recognized as revenue when the related development capital costs are incurred. (f) Deposits: Receipts restricted by the legislation of senior governments or by agreement with external parties are deferred and reported as deposits and are refundable under certain circumstances. When qualifying expenditures are incurred, deposits are recognized as revenue at amounts equal to the qualifying expenditures. (g) Long-term debt: Long-term debt is recorded net of related sinking fund balances. (h) Government transfers: Restricted transfers from governments are deferred and recognized as revenue as the related expenditures are incurred or the stipulations in the related agreement are met. Unrestricted transfers are recognized as revenue when received or if the amount to be received can be reasonably estimated and collection is reasonably assured.

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City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (i) Non-financial assets: Non-financial assets are not available to discharge existing liabilities and are held for use in the provision of services. They are not intended for sale in the ordinary course of operations. (i) Tangible capital assets: Tangible capital assets have useful lives extending beyond the current year. They are recorded at cost which includes amounts that are directly attributable to acquisition, construction, development or betterment of the asset. The cost, less residual value, of the tangible capital assets, excluding land and landfill sites, are amortized on a straight line basis over their estimated useful lives as follows:

Asset

Information technology Park structures Buildings and building improvements Vehicles, machinery and equipment Water, sanitary and drainage infrastructure Roads infrastructure

Useful life – Years 3 – 85 10 – 60 10 – 50 1 – 70 1 – 100 1 – 75

Annual amortization is charged in the year of acquisition and in the year of disposal. Assets under construction are not amortized until the asset is available for productive use. (ii) Contributions of tangible capital assets: Tangible capital assets received as contributions are recorded at their fair value at the date of receipt and are also recorded as revenue. (iii) Natural resources: Natural resources are not recognized as assets in the financial statements. (iv) Works of art and historic assets: Works of art and historic assets are not recorded as assets in the financial statements. (v) Interest capitalization: The City does not capitalize interest costs associated with the acquisition or construction of a tangible capital asset. (vi) Leased tangible capital assets: Leases, which transfer substantially all of the benefits and risks incidental to ownership of property, are accounted for as leased tangible capital assets. All other leases are accounted for as operating leases and the related payments are charged to expenses as incurred.

City of Coquitlam 2013 Annual Report

15


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (vii) Inventories of supplies: Inventories of supplies held for consumption are recorded at the lower of actual cost and replacement cost. (j) Employee future benefits: The City and its employees participate in the Municipal Pension Plan. The Municipal Pension Plan is a multi-employer contributory defined benefit pension plan. Payments in the year are expensed. Sick leave benefits and retirement severance benefits are also available to the City’s employees. The costs of these benefits are actuarially determined based on service and best estimates of retirement ages and expected future salary and wage increases. The obligation under these benefit plans are accrued based on projected benefits as the employees render services necessary to earn the future benefits. (k) Use of accounting estimates: The preparation of financial statements 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 reporting period. Significant areas requiring the use of management estimates relate to the determination of accrued sick benefits, allowance for doubtful accounts receivable, useful lives of tangible capital assets, and provision for contingencies. Actual results could differ from those estimates. Adjustments, if any, will be reflected in the financial statements in the period that the change in estimate is made, as well as in the period of settlement if the amount is different. (l) Segment disclosures: A segment is defined as a distinguishable activity or group of activities of a government for which it is appropriate to separately report financial information to achieve the objectives of the standard. The City has provided definitions of segments used by the City as well as presented financial information in segmented format (note 19).

16

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 3. Cash and temporary investments:

Operating funds, unrestricted $ Reserve funds, internally restricted Deferred revenue and deposits, restricted

2013

2012

207,598,459 $ 164,423,170 58,126,044 56,787,580 55,791,907 44,901,970

$ 321,516,410 $ 266,112,720 Cash balances

$

Temporary investments: Money market securities and bonds maturing within three years

2013

2012

14,664,503 $ 121,030,901

306,851,907

145,081,819

$ 321,516,410 $ 266,112,720 Average portfolio yield is 1.50% (2012 - 1.51%). The City has available a revolving facility up to a maximum of $5,000,000 which bears interest at an annual rate of bank prime less 0.50% per annum, and standby letters of credit up to a maximum of $100,000, for its ongoing operating requirements. The City also has available a revolving facility of $500,000 which bears interest at an annual rate of bank prime for its ongoing capital requirements. The City provided security for these facilities by way of a general security agreement. No amounts are outstanding under these banking facilities.

City of Coquitlam 2013 Annual Report

17


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 4. Accounts receivable:

Taxes $ Accrued interest Due from other governments Evergreen Line grant receivable Development cost charges Local area service fees Water, sewer and solid waste user charges Other

2013

2012

6,113,369 $ 5,563,471 956,239 448,869 4,639,937 3,520,763 7,000,000 7,000,000 8,189,917 11,238,488 2,074,478 2,788,378 1,219,872 1,071,245 3,094,273 5,636,825

$ 33,288,085 $ 37,268,039

5. Accounts payable and accrued liabilities:

Due to other governments $ Evergreen Line payable Accounts payable Wages payable Accrued sick and retirement liability (note 15) Tangible capital lease obligation

2013 19,364,724 $ 7,100,571 10,519,118 6,675,015 7,296,500 72,954

2012 10,061,815 7,236,571 13,425,837 7,847,047 6,515,700 71,788

$ 51,028,882 $ 45,158,758

18

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 6. Deferred revenue:

2013

2012

Taxes and utilities $ Parks and recreation fees Business licenses Federal, Provincial and Regional future capital works Other future capital works Development cost charges Other

7,297,428 $ 575,186 810,723 680,122 306,081 42,158,073 117,204

6,697,134 521,950 794,290 229,918 273,857 35,775,102 68,427

$ 51,944,817 $ 44,360,678 Development cost charges are comprised of restricted cash and temporary investments of $33,968,156 (2012 $24,536,614) and restricted accounts receivable of $8,189,917 (2012 - $11,238,488). 7. Deposits: Balance, December 31, 2012

Deposits, earnings and contributions

Public works performance deposits $ 14,883,818 $ Gravel remediation fund 759,424 Building performance bonds 2,500,358 Development permit bonds 2,101,355 Pinetree Community Centre contingency 41,658 Deposits on land sale - Other 78,742

$ 20,365,355 $

5,186,522 $ 10,683 1,035,199 800,827 6,003 1,170,000 5,738

Refunds Balance, and December 31, expenditures 2013 4,162,554 $ - 1,179,158 1,289,586 - 120,000 5,279

15,907,786 770,107 2,356,399 1,612,596 47,661 1,050,000 79,201

8,214,972 $ 6,756,577 $ 21,823,750

The City holds irrevocable letters of credit in the aggregate amount of $43,932,932 (2012 - $52,438,077) received from depositors to ensure their performance of works to be undertaken within the City. These amounts are not reflected in the financial statements.

City of Coquitlam 2013 Annual Report

19


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 8. Long-term liabilities:

Long-term debt, net of sinking fund deposits (a) $ Temporary borrowings

2013 24,992,807 $ 9,498,692

2012 9,909,487 16,912,600

$ 34,491,499 $ 26,822,087 (a) Long-term debt, net of sinking fund deposits: The City obtains debt instruments through the Municipal Finance Authority (“MFA�) pursuant to security issuing bylaws under authority of the Community Charter to finance certain capital expenditures. Sinking fund balances managed by the MFA are netted against related long-term debt. Gross amount of the debt and the amount of the sinking fund assets available to retire the debt are as follows: Gross debt

Sinking fund asset

Net debt 2013

Net debt 2012

General Fund $ 25,549,000 $ Water Utility Fund 5,930,000 Sewer and Drainage Utility Fund 2,734,000

9,220,193 $ 16,328,807 $ 9,088,378 - 5,930,000 423,738 - 2,734,000 397,371

9,220,193 $ 24,992,807 $ 9,909,487

$ 34,213,000 $

Interest rates on long-term debt range from 3.05% to 7.30%. The weighted average interest rate for 2013 was 3.01% (2012 - 6.64%).

20

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 8. Long-term liabilities (continued): (b) Principal payments and sinking fund installments on net outstanding debenture debt over the next five years and thereafter are as follows: Sewer and General Drainage Fund Utility Fund

Water Utility Fund

Total

2014 $ 8,928,431 $ 2015 3,251,638 2016 1,204,239 2017 1,160,925 2018 1,082,834 2019 and thereafter 10,199,432

91,813 $ 199,140 $ 9,219,384 95,485 207,105 3,554,228 99,304 215,390 1,518,933 103,277 224,005 1,488,207 107,408 232,965 1,423,207 2,236,713 4,851,395 17,287,540

Total

2,734,000 $ 5,930,000 $ 34,491,499

$ 25,827,499 $

City of Coquitlam 2013 Annual Report

21


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 9. Tangible capital assets:

Building Land & & Land Building Park Information Holdings Improvements Structures Technology

2013 Cost

Balance, beginning of year $ 759,166,175 $ 183,090,146 $ 66,356,763 $ 21,592,098 Additions, net of transfers 20,500,460 3,126,838 2,191,824 2,082,642 Disposals (31,185) (151,864) (227,012) (1,210,844) Transfers to land held for resale (1,231,086) - - - Balance, end of year

$ 778,404,364

$ 186,065,120

$ 68,321,575

$ 22,463,896

Accumulated amortization

Balance, beginning of year $ - $ 57,594,680 $ 27,518,853 $ 11,219,538 Disposals - (40,767) (124,379) (1,141,872) Amortization expense - 6,488,030 2,767,920 1,472,732

Balance, end of year $ - $ 64,041,943 $ 30,162,394 $ 11,550,398

22

Net book value, end of year

$ 778,404,364

$ 122,023,177

$ 38,159,181

$ 10,913,498

Net book value, beginning of year

$ 759,166,175

$ 125,495,466

$ 38,837,910

$ 10,372,560

City of Coquitlam 2013 Annual Report


Water, Vehicles, Sewer Machinery & & Drainage Roads Equipment Infrastructure Infrastructure Traffic

$ 36,226,356

$ 567,577,016

$ 409,111,128

Assets under Construction

Total

$ 49,137,223

$ 16,689,746

2,495,931

82,656,686

4,219,902

28,493,378

16,931,560

(1,983,043)

(1,234,907)

(3,092,642)

3,042

-

(7,928,455)

-

-

-

-

(1,231,086)

-

2,614,151

$ 2,108,946,651

$ 38,463,215

$ 594,835,487

$ 422,950,046

$ 51,754,416

$ 19,185,677

$ 16,804,162

$ 171,739,986

$ 126,790,931

$ 24,069,506

$

$ 2,182,443,796

- $

435,737,656

(1,812,163)

(321,597)

(1,780,795)

1,394

-

(5,220,179)

2,882,988

8,410,611

10,188,454

1,382,176

-

33,592,911

- $

464,110,388

$ 17,874,987 $ 179,829,000 $ 135,198,590

$ 25,453,076

$

$ 20,588,228

$ 415,006,487

$ 287,751,456

$ 26,301,340

$ 19,185,677

$ 1,718,333,408

$ 19,422,194

$ 395,837,030

$ 282,320,197

$ 25,067,717

$ 16,689,746

$ 1,673,208,995

City of Coquitlam 2013 Annual Report

23


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 9. Tangible capital assets (continued):

Building Land & & Land Building Park Information Holdings Improvements Structures Technology

2012 Cost

Balance, beginning of year $ 743,602,035 $ 169,305,961 $ 64,681,257 $ 18,805,839 Additions, net of transfers 15,965,895 13,837,186 2,037,527 3,093,067 Disposals (401,755) (53,001) (362,021) (306,808)

Balance, end of year $ 759,166,175 $ 183,090,146 $ 66,356,763 $ 21,592,098 Accumulated amortization

Balance, beginning of year $ - $ 51,726,428 $ 25,184,866 $ 10,237,401 Disposals - (135,141) (213,774) (307,148) Amortization expense - 6,003,393 2,547,761 1,289,285

24

Balance, end of year

$

Net book value, end of year Net book value, beginning of year

City of Coquitlam 2013 Annual Report

-

$ 57,594,680

$ 27,518,853

$ 11,219,538

$ 759,166,175

$ 125,495,466

$ 38,837,910

$ 10,372,560

$ 743,602,035

$ 117,579,533

$ 39,496,391

$

8,568,438


Water, Vehicles, Sewer Machinery & & Drainage Roads Equipment Infrastructure Infrastructure Traffic

$ 32,520,694

$ 548,292,298

5,328,315

(1,622,653)

$ 401,749,249

Total

$ 15,422,203

$ 2,042,792,926

21,866,335

8,121,499

1,263,115

1,267,543

72,780,482

(2,581,617)

(759,620)

(539,282)

-

(6,626,757)

$ 36,226,356 $ 567,577,016 $ 409,111,128

$ 15,195,695

$ 48,413,390

Assets under Construction

$ 164,376,652

$ 117,737,549

$ 49,137,223

$ 16,689,746

$ 22,979,406

$

$ 2,108,946,651

- $

407,437,997

(1,306,027)

(814,581)

(468,112)

(243,045)

-

(3,487,828)

2,914,494

8,177,915

9,521,494

1,333,145

-

31,787,487

- $

435,737,656

$ 16,804,162

$ 171,739,986

$ 126,790,931

$ 24,069,506

$

$ 19,422,194

$ 395,837,030

$ 282,320,197

$ 25,067,717

$ 16,689,746

$ 1,673,208,995

$ 17,324,999

$ 383,915,646

$ 284,011,700

$ 25,433,984

$ 15,422,203

$ 1,635,354,929

City of Coquitlam 2013 Annual Report

25


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 9. Tangible capital assets (continued): (a) Assets under construction: Assets under construction having a value of $19,185,677 (2012 - $16,689,746) have not been amortized. Amortization of these assets will commence when the assets are put into service. (b) Contributed tangible capital assets: Contributed tangible capital assets have been recognized at fair market value at the date of contribution. The value of contributed assets received is as follows:

2013

2012

Land and land holdings $ 14,391,145 $ Vehicles, machinery and equipment 37,811 Water infrastructure 5,244,348 Sewer infrastructure 4,741,649 Drainage infrastructure 4,039,235 Road infrastructure 6,557,987 Traffic 1,197,762

9,429,155 167,601 4,250,874 3,031,224 4,948,131 4,386,680 1,035,237

Developer’s contribution revenue

$

36,209,937 $

27,248,902

(c) Works of art and historical treasures: The City manages and controls various works of art and non-operational historical assets, including artifacts, paintings and sculptures located at City sites and public display areas. These assets are not recorded as tangible capital assets and are not amortized. (d) Write-down of tangible capital assets: There was no write-down of tangible capital assets during the year (2012 - nil).

26

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 10. Accumulated surplus: Invested in tangible Operating Capital Surplus/ capital reserves reserves deficit assets

Total

General Fund $ 26,864,331 $ 92,510,583 $ 17,211,538 $ 1,271,121,404 $ 1,407,707,856 Water Utility Fund 36,950 8,121,419 14,892,464 110,747,586 133,798,419 Sewer and Drainage 389,346 7,788,272 3,612,173 297,456,018 309,245,809 Statutory Reserves - 58,126,044 6,350,783 - 64,476,827 QNet - - (4,121,257) 2,783,073 (1,338,184) Library - - 789,955 1,754,083 2,544,038

Total for 2013

Total for 2012

$ 27,290,627

$ 166,546,318

$ 38,735,656

$ 1,683,862,164

$ 1,916,434,765

$ 25,797,736 $ 135,502,315 $ 33,572,391 $ 1,646,490,203 $ 1,841,362,645

11. Taxation revenue:

The City is required to collect taxes on behalf of and transfer these amounts to the government agencies noted below:

2013

2012

Tax collected: General purposes $ 114,844,905 $ 108,971,120 Collections for other governments 80,989,670 76,927,621 Sewer and drainage frontage tax 18,259,765 17,394,503 214,094,340 203,293,244 Less transfers to other governments: Province of B.C. - school taxes 63,886,105 Greater Vancouver Regional District 1,993,720 B.C. Assessment Authority 2,079,543 South Coast British Columbia Transportation Authority 12,902,771 Austin Heights BIA 121,000 MFA 6,531

60,660,191 1,782,763 1,958,669 12,417,807 102,000 6,191

80,989,670 76,927,621

Taxation revenue

$

133,104,670 $ 126,365,623 City of Coquitlam 2013 Annual Report

27


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 12. Government transfers:

Included in total grants and grants in lieu revenue are the following government transfers:

Federal $ Provincial and Regional

2013 80,740 $ 4,467,351

2012 7,300,139 5,745,900

$ 4,548,091 $ 13,046,039 13. Evergreen Line During 2012, the City entered into an agreement with the Province of British Columbia to contribute to the construction of Lincoln Station, an Evergreen Line skytrain station in the Coquitlam City Centre area. The total contribution from the City amounts to $15,411,632 which consists of provision of statutory rights of way, cash and resource contributions, and a P3 Canada grant which the City obtained for the project. 14. Pension Plan: The City and its employees contribute to the Municipal Pension Plan (the “Plan�), a jointly trusteed pension plan. The Board of Trustees, representing plan members and employers, is responsible for overseeing the management of the Plan, including the investment of the assets and administration of benefits. The pension plan is a multi-employer contributory pension plan. Basic pension benefits provided are based on a formula. The Plan has about 179,000 active members and approximately 71,000 retired members. Active members include approximately 35,000 contributors from local governments. The most recent valuation as at December 31, 2012 indicated a $1,370 million funding deficit for basic pension benefits. The next actuarial valuation will be performed as at December 31, 2015 with results available in 2016. Defined contribution plan accounting is applied to the Plan, as the Plan exposes the participating entities to actuarial risks associated with the current and former employees of other entities, with the result that there is no consistent and reliable basis for allocation the obligation, Plan assets and cost to individual entities participating in the Plan. The City paid $6,071,000 (2012 - $5,370,000) for employer contributions to the Plan in fiscal 2013. Employees paid $5,345,000 (2012 - $4,540,000) for employee contributions to the Plan in fiscal 2013. 15. Employee future benefits: The City provides benefits for sick leave and certain other retirement benefit arrangements to its employees. All employees accumulate sick leave entitlement on a monthly basis and can only use this entitlement for paid time off under certain circumstances. Retirement benefit payments represent the City’s share of the cost to provide employees with various benefits upon retirement. The accrued benefit obligation and the net periodic benefit cost were estimated by an actuarial valuation completed in February 2014.

28

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 15. Employee future benefits (continued):

Information about liabilities for the City’s employee benefit plans is as follows:

Sick leave

Retirement benefit payments

2013 Total

2012 Total

Accrued benefit obligation: Balance, beginning of year $ 5,060,900 $ Current service cost 457,000 Interest cost 185,700 Benefits paid (423,500) Actuarial loss (1,506,800)

3,544,500 $ 8,605,400 $ 8,253,000 319,400 776,400 744,100 130,000 315,700 309,900 (186,000) (609,500) (895,500) (161,500) (1,668,300) 193,900

3,646,400

Accrued benefit obligation, end of year

$ 3,773,300

$

$

7,419,700 $

8,605,400

Actuarial gains and losses are amortized over 11.4 years, being the expected average remaining service period of the related employee group, commencing the year after the gain or loss arises. Sick leave

Retirement benefit payments

2013 Total

2012 Total

Accrued benefit obligation: Liability, end of year $ 3,773,300 $ Unamortized actuarial loss 338,700

3,646,400 $ (461,900)

7,419,700 $ (123,200)

8,605,400 (2,089,700)

3,184,500

7,296,500 $

6,515,700

Accrued benefit liability, end of year

$ 4,112,000

$

$

The accrued benefit liability is included as part of accounts payable and accrued liabilities on the statement of financial position (note 5). The significant actuarial assumptions adopted in measuring the City’s accrued benefit obligation are as follows: 2013 2012

Discount rates Expected future inflation rates Expected wage and salary increases

4.10% 3.50% 2.50% 3.00% 2.50% 3.00% City of Coquitlam 2013 Annual Report

29


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 16. Commitments and contingencies: (a) The City has entered into various agreements and contracts for services and construction with periods ranging from one to five years. (b) The City has a contingent liability with respect to debentures of the Greater Vancouver Water District, Greater Vancouver Sewerage and Drainage District and Greater Vancouver Regional District, to the extent provided for in their respective Enabling Acts, Acts of Incorporation and Amending Acts. Management does not consider payment under this contingency to be likely and therefore no amounts have been accrued. (c) The City is obligated to collect and transmit property taxes levied on Coquitlam taxpayers in respect of the following bodies: Ministry of Education, Province of B.C. Greater Vancouver Regional District B.C. Assessment Authority Greater Vancouver Transportation Authority MFA (d) There are several lawsuits pending in which the City is involved. The potential claims against the City resulting from such litigation and not covered by insurance are currently undeterminable. Management considers that any outcome would not materially affect the consolidated financial statements of the City. (e) As of January 1, 2012, the City self-insures liabilities up to $1,500,000. Historical liabilities with an occurrence date prior to December 31, 2011 are insured by the Municipal Insurance Association of British Columbia. (f) The City obtains debt instruments through the MFA. The City is also required to execute demand notes in connection with each debenture whereby the City may be required to loan certain amounts to the MFA. The demand notes are contingent in nature and are not reflected in the accounts. Details of the contingent demand notes are as follows: Operating funds: General $ Water utility Sewer and drainage utility

2013

2012

980,918 $ 1,019,605 154,422 171,912 71,196 184,078

$ 1,206,536 $ 1,375,595

30

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 16. Commitments and contingencies (continued): (g) The City is a shareholder of the Emergency Communications for Southwest British Columbia Incorporated (E-Comm) whose services provided include: regional 9-1-1 call centre for the Greater Vancouver Regional District; Wide Area Radio network; dispatch operations; and records management. The City has 2 Class A shares and 1 Class B share (of a total of 28 Class A and 23 Class B shares issued and outstanding as at December 31, 2013). As a Class A shareholder, the City shares in both funding the future operations and capital obligations of E-Comm (in accordance with a cost sharing formula), including any lease obligations committed to by E-Comm up to the shareholder’s withdrawal date. 17. Trust funds: (a) Cemetery perpetual care fund: The City operates the Robinson Memorial Park Cemetery and maintains a cemetery perpetual care fund in accordance with the Cremation, Interment and Funeral Services Act. (b) Gravel pit fund: The City is holding funds in trust for a third party to be used for the future remediation of land. Interest earned since March 1993 accrues to the City. Trust fund balance sheet:

2013

2012

2,484,332 $ 30,721

2,415,180 23,123

Assets: Investments $ Due from City of Coquitlam

$ 2,515,053 $ 2,438,303 Net assets: Cemetery perpetual care fund Gravel pit fund

1,737,124 $ 777,929

1,660,374 777,929

$ 2,515,053 $ 2,438,303

City of Coquitlam 2013 Annual Report

31


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 18. Related party transactions: The City provides facilities to the following cultural groups at no cost: Evergreen Cultural Centre Place Des Arts Mackin House Museum These cultural groups provide services to the community. 19. Segmented information: The City is a diversified municipal government institution that provides a wide range of services to its citizens, including Protection Services, Recreation and Culture Services, General Government Services, Engineering Services, Solid Waste Services, Planning and Development Services, Water Supply Services, and Sewer and Drainage Services. For management reporting purposes, the City’s operations and activities are organized and reported by Service Areas. Service Areas were created for the purpose of recording specific activities to attain certain objectives in accordance with regulations, restrictions and limitations. City Services are provided by departments and their activities are reported in these Service Areas. Departments disclosed in the segmented information, along with the services they provide, are as follows: General Government Services - Mayor & Council, City Manager and Deputy City Manager, Corporate Services, Corporate Planning, Clerk’s Office, Strategic Initiatives, Legal Services, Financial Services, Information Technology, Coquitlam Optical Network Corporation, Communications, and Human Resources Departments The Departments within General Government Services are responsible for adopting bylaws; adopting administrative policy; levying and collecting taxes and utilities; acquiring, disposing and managing City assets; support of the City’s integrated software, internet and intranet applications, ensuring effective financial management and communication, monitoring performance, and ensuring that high quality City service standards are met. Water Supply Services The Water Utility Department operates and distributes over 21 million cubic meters of drinking water, maintains water mains, pump stations and storage reservoirs. Protection Services – Police, Fire/Rescue, Emergency Planning, Licensing, and Bylaw Enforcement The mandate of the Protection Services areas is to enforce laws, prevent crime, and maintain peace, order, and security by protecting life, property and the environment through the provision of emergency response, ensuring safety for the public. Engineering Services Engineering and Public Works is responsible for the systems that enable the community to use transportation facilities, including roads and signal systems. Solid Waste Services The Solid Waste Department is responsible for the garbage collection, green waste collection and recycling.

32

City of Coquitlam 2013 Annual Report


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 19. Segmented information (continued): Sewer and Drainage Services The Sewer and Drainage Department is responsible for the disposal of sanitary sewage and drainage, as well as the network of sewer mains, storm sewers and pump stations. Planning and Development Services The Planning and Development Department is responsible for preparing land use plans, bylaws and policies for sustainable development of the City and for reviewing and approving new development. Recreation and Culture –Parks, Recreation and Culture and Public Library The Recreation and Culture area is responsible for providing, facilitating the development of, and maintaining high quality parks, recreation facilities and cultural services, including public libraries.

City of Coquitlam 2013 Annual Report

33


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013

19. Segmented Information (continued): General Water Supply Protection Engineering Solid Waste Government Services (Including QNet)

Sewer & Drainage Utility

Taxation, net $ 114,844,905 $ - $ - $ - $ - $ 18,259,765 User rates - 23,193,522 - - - 5,220,603 Grants 1,508,200 - 1,117,718 1,979,940 - 39,000 Grants, in lieu of taxes 3,650,441 - - - - - Fees and service charges 1,356,089 1,726,667 3,082,359 4,631,469 - 1,885,243 Solid waste levies - - - - 9,295,477 - Rents and leases 963,999 - 41,375 124,201 - - Inspection and other fees 11,200 227,985 - - - 350,280 Investment income 3,819,883 637,489 - - - 429,034 Municipal land sale 1,265,221 - - - - - Penalties and interest on taxes 982,145 - - - 67,351 - Casino revenue 6,730,968 - - - - - Developer built/gifted assets 22,161,695 5,244,348 - - - 8,780,885 Cost recoveries 314,974 7,442 3,164,212 1,032,783 3,675 293,782 Sundry 804,742 222,055 46,734 127,523 - 264,882

Total Revenues:

34

City of Coquitlam 2013 Annual Report

$ 158,414,462

$ 31,259,508

$ 7,452,398

$ 7,895,916

$ 9,366,503

$ 35,523,474


Planning and Development

Recreational and Cultural (Incl. Library)

Reserves & other Funds

Total 2013

Total 2012

$ - $ - $ - $ 133,104,670 $ 126,365,623 - - - 28,414,125 26,717,943 - 482,885 - 5,127,743 13,442,330 - - - 3,650,441 3,641,577 15,371,909 10,726,244 - 38,779,980 32,486,282 - - - 9,295,477 9,087,268 - 1,847,865 - 2,977,440 2,917,303 - - - 589,465 505,216 - 39,295 933,195 5,858,896 4,438,210 - - - 1,265,221 15,704,619 - 61,533 - 1,111,029 1,047,459 - - - 6,730,968 7,556,341 - 23,009 - 36,209,937 27,248,902 14,990 566,427 1,471,022 6,869,307 8,526,001 18,437 31,744 1,001,115 2,517,232 1,059,889

$ 15,405,336

$ 13,779,002

$ 3,405,332

$ 282,501,931

$ 280,744,963

City of Coquitlam 2013 Annual Report

35


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 19. Segmented Information (continued): General Water Supply Protection Engineering Solid Waste Government Services (Including QNet)

Sewer & Drainage Utility

Salaries and benefits $ 12,835,313 $ 2,322,004 $ 28,441,758 $ 9,210,695 $ 251,055 $ 2,715,281 Consulting and professional services 1,586,427 540,495 21,498,524 3,699,168 6,028,048 1,578,649 Legal 114,155 - 116,803 - - - Telephone and communications 261,396 14,716 107,412 39,993 632 14,667 Utilities 9,117 313,729 238,930 998,000 - 120,988 Regional District utility charges - 11,785,190 - 21,847 - 10,509,307 Garbage collection and disposal - 119,112 17,816 124,134 2,070,119 214,584 Maintenance 1,497,436 5,715 112,413 296,963 - 2,293 Insurance and claims 895,619 31,353 20,764 239,736 - 8,440 Courses and meetings 293,052 29,195 156,874 85,843 2,710 41,139 Supplies and equipment 1,062,886 1,439,769 2,062,694 6,784,176 163,224 1,877,829 Advertising and media 157,929 5,043 25,204 8,622 32,192 301 Internal allocations (5,447,133) 1,947,558 - (6,670,359) 343,974 2,409,547 Grants and sponsorship 523,367 - 18,500 - - - Amortization 2,181,862 2,522,170 1,379,012 12,427,599 - 6,267,952 Sundry 48,951 33,254 29,709 409 16 95,538 Debenture interest payments - 239,553 - 1,029,777 - 202,552 Other 122,826 97,910 40,438 20,922 - 61,384 Contribution to Evergreen Line - - - - - -

36

Total Expenses:

$ 16,143,203

$ 21,446,766

$ 54,266,851

$ 28,317,525

$ 8,891,970

$ 26,120,451

Annual Surplus (Deficit)

$ 142,271,259

$ 9,812,742

$ (46,814,453)

$ (20,421,609)

$ 474,533

$ 9,403,023

City of Coquitlam 2013 Annual Report


Planning and Development

Recreational and Cultural (Incl. Library)

Reserves & other Funds

Total 2013

Total 2012

$ 6,092,814 $ 20,729,818 $ 250,223 3,617,791 - - 25,598 57,266 - 1,736,153 - - - 176,110 94 1,889 - - 63,167 57,601 148,086 3,102,186 1,307 71,187 (113,306) (147,663) - 6,770,950 - 8,814,316 358 755,430 - - 7,665 24,005 - -

- $ - - - - - - - - - - - - - - - - - -

$ 6,476,006

$ 45,767,039

$

-

$ 207,429,811

$ 215,007,534

$ 8,929,330

$ (31,988,037)

$ 3,405,332

$ 75,072,120

$

82,598,738 $ 38,799,325 230,958 521,680 3,416,917 22,316,344 2,721,875 1,916,803 1,195,912 729,581 16,640,850 301,785 (7,677,382) 7,312,817 33,592,911 963,665 1,471,882 375,150 -

78,280,856 39,087,123 240,565 508,268 3,255,697 20,943,420 2,668,267 1,910,159 1,246,610 746,980 15,889,391 367,177 (6,639,488) 5,827,075 31,787,487 1,320,732 1,731,143 424,440 15,411,632

65,737,429

City of Coquitlam 2013 Annual Report

37


Notes to Consolidated Financial Statements (continued) Year ended December 31, 2013 20. Budget data: The budget data presented in these consolidated financial statements is based upon the 2013 operating and capital budgets approved by Council on December 4, 2012. The chart below reconciles the approved budget to the budget figure reported in these consolidated financial statements. Budget Amount Revenues: Operating budget $ 230,705,371 Expense: Operating budget (205,614,154)

Annual surplus per statement of operations

25,091,217

Less capital expenses Add: capital funding from reserves

(61,152,874) 36,061,657

Approved budget $

21. Comparative information: Certain comparative information has been reclassified to conform with the financial statement presentation adopted for the current year.

38

City of Coquitlam 2013 Annual Report

-


General Fund - Statement of Financial Position

Schedule A

December 31, 2013, with comparative figures for 2012

2013

2012

Financial Assets Cash and short-term deposits $ Accounts receivable Deposit, MFA

173,279,801 $ 135,982,304 23,548,782 23,969,158 410,982 459,516

197,239,565 160,410,978 Liabilities Accounts payable and accrued liabilities Deferred revenue Long-term debt

44,673,652 9,786,743 25,827,499

38,905,418 8,585,576 26,000,978

80,287,894 73,491,972 Net financial assets

116,951,671

86,919,006

Non-Financial Assets Tangible capital assets 1,289,541,749 1,265,305,303 Inventories of supplies 629,034 602,166 Prepaid expenses 585,402 733,443 1,290,756,185 1,266,640,912 Accumulated surplus

$ 1,407,707,856 $ 1,353,559,918

City of Coquitlam 2013 Annual Report

39


General Fund - Statement of Operations

Schedule B

Year ended December 31, 2013, with comparative figures for 2012 Revenue: Taxation, net $ Grants Grants, in lieu of taxes Fees and service charges Solid waste levies Rents Investment income Penalties and interest on taxes Casino revenue Developer’s contribution Cost recoveries Sundry Municipal land sale

Budget

2013

2012

114,257,120 $ 114,844,905 $ 108,971,120 4,733,573 4,816,353 13,136,061 3,805,000 3,650,441 3,641,577 23,933,995 35,154,032 29,193,159 9,541,714 9,295,477 9,087,268 2,364,784 2,641,860 2,437,638 2,852,576 3,918,814 3,127,445 855,500 1,049,496 988,860 7,200,000 6,730,968 7,556,341 - 22,161,695 14,991,688 6,749,352 5,068,712 5,937,784 43,824 1,007,676 922,178 - 1,265,221 15,704,619

176,337,438 211,605,650 215,695,738 Expenses: General government 14,399,536 13,212,187 13,240,667 Police protection 30,716,070 29,013,718 28,283,827 Fire protection 20,518,287 21,422,776 19,730,684 Other protection 2,557,199 2,351,379 2,140,710 Engineering 13,178,546 12,160,905 11,123,541 Solid waste 8,744,497 8,885,716 8,761,566 Planning and development 6,495,679 6,267,947 6,133,115 Parks, recreation and culture 35,418,909 35,208,998 33,899,336 Contribution to Evergreen Line - - 15,411,632 Debenture interest payments 1,462,684 1,029,777 1,243,306 Retroactive and severance pay 1,765,780 625,369 2,165,848 Amortization 21,600,000 24,087,098 22,574,998 Tangible capital assets adjustments - 4,876,763 4,410,176 156,857,187 159,142,633 169,119,406 19,480,251 52,463,017 46,576,332 Transfer to Land Sale Reserve Transfer to Vehicle Replacement Reserve Transfer from Land Sale Reserve Transfer from Reserve Funds

(2,251,250) (1,853,388) 1,076,671 2,368,000

(5,734,233) (2,563,209) 6,979,390 3,002,973

(18,414,740) (2,292,636) 1,631,300 1,363,521

Annual surplus

18,820,284

54,147,938

28,863,777

Accumulated surplus, beginning of year Accumulated surplus, end of year

40

City of Coquitlam 2013 Annual Report

1,353,559,918 1,353,559,918 1,324,696,141

$ 1,372,380,202

$ 1,407,707,856 $ 1,353,559,918


Water Utility Fund - Statement of Financial Position Schedule C December 31, 2013, with comparative figures for 2012

2013

2012

Financial Assets Cash and short-term deposits

$

24,641,183 $

17,334,149

Accounts receivable

815,239

703,396

Deposit, MFA

60,734

99,795

25,517,156 18,137,340 Liabilities Accounts payable and accrued liabilities

5,292,445

4,636,386

Long-term debt 5,930,000 423,738 11,222,445 5,606,124 Net financial assets

14,294,711

13,077,216

Tangible capital assets

119,443,480

111,025,337

Inventories of supplies

60,228

55,622

Non-Financial Assets

119,503,708 111,080,959 Accumulated surplus

$

133,798,419 $ 124,158,175

City of Coquitlam 2013 Annual Report

41


Water Utility Fund - Statement of Operations

Schedule D

Year ended December 31, 2013, with comparative figures for 2012

2013

2012

Revenue: User rates $ Water connection fees Inspection and other fees Investment income Developer’s contribution Sundry Sinking fund surplus Cost recoveries

23,037,458 $ 3,070,000 180,000 496,300 - - - -

26,783,758 31,259,508 27,167,042

Expenses: Administration Water supply Pumping Maintenance Debenture interest payments Amortization Tangible capital assets adjustments

3,891,673 10,926,320 869,913 2,101,067 205,196 2,300,000 -

20,294,169 21,446,766 21,050,329

42

Budget

23,193,522 $ 1,726,667 227,985 637,489 5,244,348 - 222,055 7,442

3,743,760 11,785,190 846,418 2,350,480 239,553 2,522,170 (40,805)

6,489,589

21,751,596 492,228 260,710 400,374 4,250,874 7,000 4,260

3,458,106 10,871,358 809,547 2,126,853 236,821 2,336,912 1,210,732

9,812,742 6,116,713

Transfer from Statutory Reserves Transfer to Statutory Reserves

850,000 (258,408)

98,000 (270,498)

98,000 (127,767)

Annual surplus

7,081,181

9,640,244

6,086,946

Accumulated surplus, beginning of year

124,158,175

124,158,175

118,071,229

Accumulated surplus, end of year

131,239,356

133,798,419 $ 124,158,175

City of Coquitlam 2013 Annual Report

$

$


Sewer and Drainage Utility Fund - Statement of Financial Position

Schedule E

December 31, 2013, with comparative figures for 2012

2013 2012 Financial Assets Cash and short-term deposits

$

8,603,527 $

9,990,520

Accounts receivable

149,687

178,644

Deposit, MFA

28,001

108,184

8,781,215 10,277,348

Liabilities Accounts payable and accrued liabilities

549,043

875,503

Long-term debt

2,734,000

397,371

3,283,043 1,272,874

Net financial assets

5,498,172

9,004,474

Tangible capital assets

303,724,153

291,075,735

Inventories of supplies

23,484

24,722

Non-Financial Assets

303,747,637 291,100,457 Accumulated surplus

$

309,245,809 $ 300,104,931

City of Coquitlam 2013 Annual Report

43


Sewer and Drainage Utility Fund - Statement of Operations

Schedule F

Year ended December 31, 2013, with comparative figures for 2012

Budget 2013 2012 Revenue: Sewer frontage tax $ User rates Grants Fees and service charges Inspection and other fees Investment income Sundry Developer’s contribution Sinking fund surplus Cost recoveries

18,010,200 $ 5,267,910 - 2,577,500 267,000 500,304 - - - 254,500

26,877,414 35,523,473 34,156,271

Expenses: Administration Collection and disposal Pumping Greater Vancouver Sewerage & Drainage District Debenture interest payments Amortization Tangible capital assets adjustments

5,224,997 2,218,254 712,976 10,070,789 427,191 6,500,000 -

25,154,207 26,120,451 25,072,004

44

18,259,765 $ 5,220,603 39,000 1,885,243 350,280 429,033 - 8,780,885 264,882 293,782

4,973,895 2,661,828 763,276 10,076,789 202,552 6,267,952 1,174,159

1,723,207

17,394,503 4,966,347 31,806 2,790,902 244,506 381,764 11,382 7,979,354 355,707

4,837,808 2,467,569 634,399 9,620,716 440,219 6,205,181 866,112

9,403,022 9,084,267

Transfer from Statutory Reserves Transfer to Reserves

110,000 (338,034)

110,300 (372,444)

98,000 (233,074)

Annual surplus

1,495,173

9,140,878

8,949,193

Accumulated surplus, beginning of year

300,104,931

300,104,931

291,155,738

Accumulated surplus, end of year

301,600,104

309,245,809 $ 300,104,931

City of Coquitlam 2013 Annual Report

$

$


Reserve Fund Balances

Schedule G

Year ended December 31, 2013, with comparative figures for 2012 General Fund

Sewer and Drainage Utility Fund

Water Utility Fund

Statutory Reserves

2013 Total

Reserves for capital purposes: Specific projects - in progress reserve $ 14,748,059 $ 4,776,923 $ 2,097,184 $ - $ Infrastructure reserve 9,170,585 - - - Equipment and component replacement reserve 4,535,108 2,079,041 932,000 - Restricted debt reserve 2,401,289 264,882 222,054 - Debt reserve 6,875,203 667,000 4,551,538 - Local area service reserve 1,697,881 - - - Prepaid water main reserve - - 318,643 - Casino revenue reserve - municipal capital 5,252,215 - - - Casino revenue reserve - community 953,207 - - - Internal financing reserve 483,170 - - - Drainage internal borrowing - 426 - - Affordable housing bylaw #3866 1,720,439 - - - Bonus density - City Centre amenities 10,485,414 - - - Bonus density - Austin Heights amenities 566,277 - - - Community amenity contribution 201,237 - - - Waste utility reserve 592,620 - - - Water/sewer connections reserve - - - - Legacy building replacement reserve 19,418,967 - - - Legacy road replacement reserve 7,484,556 - - - DCC matching reserve 5,924,356 - - - Statutory reserves: Land sale statutory reserve - - - 35,579,563 Vehicle replacement statutory reserve - - - 13,590,943 Water utility statutory reserve - - - 775,324 Parkland statutory reserve - - - 8,097,083 Capital street works statutory reserve - - - 83,131 Capital drainage works statutory reserve - - - - Total

$ 92,510,583

$

7,788,272

$

8,121,419

$ 58,126,044

2012 Total

21,622,166 $21,296,877 9,170,585 8,620,949 7,546,149 7,428,282 2,888,225 1,934,222 12,093,741 1,697,881 1,404,286 318,643 316,996 5,252,215 4,716,344 953,207 978,531 483,170 396,620 426 426 1,720,439 1,063,907 10,485,414 363,235 566,277 557,909 201,237 592,620 590,285 - 14,163 19,418,967 16,528,197 7,484,556 6,614,329 5,924,356 5,889,177

35,579,563 13,590,943 775,324 8,097,083 83,131 -

$ 166,546,318

36,223,828 13,188,413 763,866 6,517,270 81,903 12,300

$ 135,502,315

City of Coquitlam 2013 Annual Report

45


Reserve Fund Balances

Schedule G (continued)

Year ended December 31, 2013, with comparative figures for 2012 Sewer and Water General Drainage Utility 2013 Fund Fund Fund Total

Reserves for operating purposes: Insurance reserve $ Waste utility reserve Soil removal fees reserve Work in progress reserve Public safety reserve Tax appeals reserve Building maintenance reserve Commodity tax payable reserve Cemetery reserve Other operating reserves WCB/Powersmart reserve Specified area reserve Election reserve Snow and ice reserve Total reserves for operating purposes

46

City of Coquitlam 2013 Annual Report

9,061,847 $ 5,553,512 642,567 321,709 2,488,155 1,140,201 2,170,467 1,024,206 237,052 731,332 142,532 850,747 500,004 2,000,000

$ 26,864,331

$

- $ - - - - - 389,346 - - - - - - -

- $ - - - - - 36,950 - - - - - - -

389,346

36,950

$

9,061,847 $ 5,553,512 642,567 321,709 2,488,155 1,140,201 2,596,763 1,024,206 237,052 731,332 142,532 850,747 500,004 2,000,000

$ 27,290,627

2012 Total

8,106,886 5,009,766 918,954 173,511 2,881,839 1,210,203 2,198,035 980,119 239,937 619,782 254,311 788,720 415,673 2,000,000

$ 25,797,736


Financial Statements of Coquitlam Public Library Board For the year ending December 31, 2013

City of Coquitlam 2013 Annual Report

47


Coquitlam Public Library Board

Independent Auditors’ Report To the Chair and Members of Coquitlam Public Library We have audited the accompanying financial statements of the Coquitlam Public Library, which comprise the statement of financial position as at December 31, 2013, the statements of operations, changes in net financial assets and cash flows for the year then ended, and notes, comprising a summary of significant accounting policies and other explanatory information. Management’s Responsibility 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. Auditors’ Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the entity’s preparation and fair presentation of the financial statements 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. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of the Coquitlam Public Library as at December 31, 2013 and its results of operations, its changes in net financial assets and its cash flows for the year then ended in accordance with Canadian public sector accounting standards.

Chartered Accountants February 26, 2014 Burnaby, Canada

48

City of Coquitlam 2013 Annual Report


Coquitlam Public Library Board

Statement of Financial Position December 31, 2013, with comparative figures for 2012

2013

2012

Cash $

903,568 $

945,666

Temporary investments (note 3) Accounts receivable

168,535 26,331

166,341 48,022

Financial assets

1,098,434 1,160,029

Financial Liabilities Accrued salaries and benefits Accounts payable and accrued liabilities Tangible capital lease obligations (note 7)

317,416 42,798 72,954

323,099 60,082 71,788

433,168

454,969

Net financial assets

665,266

705,060

Tangible capital assets (note 4) Prepaid expenses

1,827,037 51,735

1,986,546 59,126

1,878,772 2,045,672

Non-financial assets

Commitment (note 10) Accumulated surplus (note 5)

$

2,544,038 $

2,750,732

See accompanying notes to financial statements. Approved on behalf of the Library Board:

______________________________ Chair ___________________________ Director Coquitlam Public Library Board

City of Coquitlam 2013 Annual Report

49


Coquitlam Public Library Board

Statement of Operations Year ended December 31, 2013, with comparative figures for 2012 Revenue: Grants (note 6) $ Interest Fines and fees Photocopying services Book sales Fundraising activities Contribution of tangible capital assets Other

2013

2012

4,769,810 $ 15,000 50,000 9,000 4,000 5,000 - 15,500

4,764,697 $ 16,951 61,533 14,038 5,133 2,773 23,009 13,598

Expenses: Amortization Building and grounds maintenance Conferences and courses Insurance InterLINK assessment Loss on disposal of tangible capital assets Magazines and online subscriptions Professional fees Promotion and publicity Salaries and benefits Supplies and equipment Telecommunications, computer charges and utilities Transportation Rental, administration and other

4,868,310

4,901,732 5,641,273

- 150,000 21,000 29,238 66,455 - 100,000 23,000 13,000 3,645,543 94,504 240,570 19,000 39,000

582,725 151,960 18,364 29,071 66,455 - 98,913 39,770 9,213 3,774,759 58,834 221,297 24,004 33,061

4,441,310

5,108,426 4,737,554

4,634,197 15,690 58,599 9,994 3,569 1,067 904,752 13,405

564,410 107,879 15,282 26,583 68,036 10,295 106,476 15,551 11,643 3,465,665 52,914 241,386 18,795 32,639

Annual surplus (deficit)

427,000

(206,694)

903,719

Accumulated surplus, beginning of year

2,750,732

2,750,732

1,847,013

Accumulated surplus, end of year

3,177,732

2,544,038 $

2,750,732

See accompanying notes to financial statements.

50

2013 Budget - note 2(a)

City of Coquitlam 2013 Annual Report

$

$


Coquitlam Public Library Board

Statement of Changes in Net Financial Assets Year ended December 31, 2013, with comparative figures for 2012 Annual surplus (deficit)

Budget

2013

2012

(206,694) $

903,719

(400,207) (23,009) 582,725 - -

(375,565) (904,752) 564,410 10,295 5,963

(note 2(a) ) $

Acquisition of tangible capital assets Contributed tangible capital assets Amortization of tangible capital assets Loss on disposal of tangible capital assets Proceeds on disposal of tangible capital assets

427,000

$

(427,000) - - - -

Acquisition of prepaid expenses Use of prepaid expenses

-

(47,185)

204,070

- -

(51,735) 59,126

(59,126) 80,873

Change in net financial assets

-

(39,794)

225,817

Net financial assets, beginning of year

705,060

705,060

479,243

Net financial assets, end of year

705,060

665,266 $

705,060

$

$

See accompanying notes to financial statements.

City of Coquitlam 2013 Annual Report

51


Coquitlam Public Library Board

Statement of Cash Flows Year ended December 31, 2013, with comparative figures for 2012

2013

2012

Cash provided by (used in): Operations: Annual surplus (deficit) $ Items not involving cash: Amortization Contribution of tangible capital asset Loss on disposal of tangible capital assets Change in non-cash operating working capital: Decrease (increase) in accounts receivable Decrease in prepaid expenses Increase (decrease) in accrued salaries and benefits Increase (decrease) in accounts payable and accrued liabilities

582,725 (23,009) -

903,719 564,410 (904,752) 10,295

21,691 7,391 (5,683) (17,284)

(11,234) 21,747 35,495 26,111

359,137

645,791

Capital activities: Cash used to acquire tangible capital assets Principal payments under tangible capital lease obligations Proceeds from disposal of tangible capital assets

(374,305) (24,736) -

(375,565) (21,544) 5,963

(399,041)

(391,146)

Investing activities: Increase in temporary investments

(2,194)

(166,341)

Net change in cash

(42,098)

88,304

Cash, beginning of year

945,666

857,362

Cash, end of year

$

903,568 $

945,666

Non-cash transactions: Tangible capital assets financed by capital lease

$

25,902 $

-

See accompanying notes to financial statements.

52

(206,694) $

City of Coquitlam 2013 Annual Report


Coquitlam Public Library Board

Notes to Financial Statements Year ended December 31, 2013 1. Operations: The Coquitlam Public Library (the “Library”), which is funded principally by the City of Coquitlam (the “City”), was established in 1977 pursuant to the Library Act of British Columbia (Part 2) as a Municipal Public Library. The Library is governed by a nine member municipally appointed Board of Trustees (the “Board”). The Board, on behalf of the residents and taxpayers of the City, oversees the management and operation of the Library and further serves as a policy making body for the organization. 2. Significant accounting policies: These financial statements are prepared in accordance with Canadian public sector accounting standards, and include the following specific policies: (a) Budget information: Budget information, presented in these financial statements, is based on the 2013 operating and capital budgets developed by management. The 2013 budget was not approved by the Board. Amortization was not contemplated in the budget and, as such, has not been included. Note 11 reconciles the budget developed by management to the budget figures reported in the financial statements. (b) Temporary investments: Temporary investments are recorded at cost which approximates market value. (c) Unspent capital and program specific grants: Contributions received specifically for the acquisition of tangible capital assets are recorded as unspent capital grants and are recorded as revenue in the period that the funds are spent. Contributions received specifically for program related expenditures are recorded as unspent program grants and are recorded as revenue in the period that the funds are spent. (d) 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.

City of Coquitlam 2013 Annual Report

53


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (e) Tangible capital assets: Tangible capital assets are recorded at cost, which includes amounts that are directly attributable to acquisition, construction, development or betterment of the asset. The cost, less residual value of the tangible capital assets, is amortized on either on a straight-line basis or declining balance over their estimated useful lives as follows: Asset Rate Automotive Leasehold improvements Library collections Security equipment Computer equipment Furniture and equipment Assets under capital lease

Straight line – 5 to 10 years Straight line – 5 years Straight line – 5 years Straight-line – 5 years Declining balance – 30% Declining balance – 7% to 20% Straight-line over lease term

Land and buildings acquired for library purposes but are funded by the City are recorded in the City’s financial statements and are not included in these financial statements. Amortization commences when the asset is available for use. (i) Contributions of tangible capital assets: Tangible capital assets received as contributions are recorded at their fair value at the date of receipt and are recorded as revenue. (ii) Leased tangible capital assets: Leases, which transfer substantially all of the benefits and risks incidental to ownership of property, are accounted for as leased tangible capital assets. All other leases are accounted for as operating leases and the related payments are charged to expenses as incurred. (f) Functional and object reporting: The operations of the Library are comprised of a single function, library operations. As a result, the expenses of the Library are presented by object in the statement of operations.

54

City of Coquitlam 2013 Annual Report


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (g) Employee future benefits: The Library and its employees make contributions to the Municipal Pension Plan (the “Plan”). These contributions are expensed as incurred. Sick leave benefits and retirement severance benefits are also available to the Library’s employees. The costs of these benefits are actuarially determined based on service and best estimates of retirement ages and expected future salary and wage increases. The obligation under these benefit plans are accrued based on projected benefits as the employees render services necessary to earn the future benefits. (h) Government transfers: Restricted transfers from governments are deferred and are recognized as revenue in the year in which the related expenditures are incurred. Unrestricted transfers are recognized as revenue when received. (i) Fines and fees revenue: The Library recognizes fines and fees as revenue upon receipt. ( j) Use of estimates: The preparation of the financial statements 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 dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant areas requiring the use of management estimates relate to the determination of accrued sick and retirement benefits and useful lives of tangible capital assets. Actual results could differ from those estimates. These estimates are reviewed periodically, and, as adjustments become necessary, they are reported in earnings in the year in which they become known. 3. Temporary investment: The temporary investments balance is comprised of GICs earning interest at 1.25% (2012 – 1.15%) and maturing on March 31, 2014.

City of Coquitlam 2013 Annual Report

55


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 4. Tangible capital assets: Balance, Balance, December 31, December 31, Cost 2012 Additions Disposals 2013 Automotive $ 47,385 $ - $ - $ 47,385 Leasehold improvements 81,817 - - 81,817 Library collections 2,120,869 335,267 393,070 2,063,066 Security equipment 121,978 1,833 - 123,811 Computer equipment 409,882 16,808 - 426,690 Furniture and equipment 1,083,110 43,406 - 1,126,516 Assets under capital lease 127,664 25,902 - 153,566

$ 3,992,705

$ 423,216

$ 393,070 $ 4,022,851

Balance, Balance, Accumulated December 31, Amortization December 31, Amortization 2012 Disposals Expense 2013 Automotive $ 32,796 $ - $ 5,319 $ 38,115 Leasehold improvements 60,663 - 12,733 73,396 Library collections 1,303,707 393,070 341,492 1,252,129 Security equipment 50,332 - 24,701 75,033 Computer equipment 292,898 - 37,617 330,515 Furniture and equipment 209,912 - 134,334 344,246 Assets under capital lease 55,851 - 26,529 82,380

56

City of Coquitlam 2013 Annual Report

$ 2,006,159

$ 393,070

$ 582,725 $ 2,195,814


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 4. Tangible capital assets (continued):

Net book value December 31, 2012

Net book value December 31, 2013

Automotive $ 14,589 $ 9,270 Leasehold improvements 21,154 8,421 Library collections 817,162 810,937 Security equipment 71,646 48,778 Computer equipment 116,984 96,175 Furniture and equipment 873,198 782,270 Assets under capital lease 71,813 71,186

$ 1,986,546 $ 1,827,037

5. Accumulated surplus:

Accumulated surplus consists of fund surplus and reserve funds as follows:

2013

2012

Surplus: Invested in tangible capital assets $ 1,754,083 $ 1,914,758 Operating 789,955 835,974

$ 2,544,038 $ 2,750,732

City of Coquitlam 2013 Annual Report

57


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 6. Grant revenue:

2013 budget

2013

2012

City of Coquitlam $ 4,492,307 $ 4,492,307 $ 4,359,734 Province of British Columbia 264,503 264,503 265,463 Community Service Clubs 13,000 7,887 9,000

$ 4,769,810 $ 4,764,697 $ 4,634,197 7. Obligations under capital leases:

2014 $ 27,919 2015 21,508 2016 19,950 2017 8,778 2018 520

Total minimum lease payments

78,675

Less amount representing interest (at Municipal Finance Authority borrowing rate of 2.20% to 3.25%)

(5,721)

Present value of net minimum capital lease payments $ 72,954

58

City of Coquitlam 2013 Annual Report


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 8. Pension Plan: The Library and its employees contribute to the Plan, a jointly trusteed pension plan. The Board of Trustees, representing plan members and employers, is responsible for overseeing the management of the Plan, including the investment of the assets and administration of benefits. The Plan is a multi-employer contributory pension plan. Basic pension benefits provided are based on a formula. The Plan has about 179,000 active members and approximately 71,000 retired members. Active members include approximately 35,000 contributors from local governments. Every three years an actuarial valuation is performed to assess the financial position of the Plan and the adequacy of plan funding. The most recent valuation as at December 31, 2012 indicated a $1,370 million funding deficit for basic pension benefits. The next actuarial valuation will be performed as at December 31, 2015 with results available in 2016. Employers participating in the Plan record their pension expense as the amount of employer contributions made during the fiscal year (defined contribution pension plan accounting). This is because the Plan records accrued liabilities and accrued assets for the Plan in aggregate with the result that there is no consistent and reliable basis for allocating the obligation, assets and cost to the individual employers participating in the Plan. The Library paid $258,000 (2012 - $240,000) for employer contributions to the Plan in fiscal 2013. Employees paid $200,000 (2012 - $192,000) for employee contributions to the Plan in fiscal 2013. 9. Employee future benefits: The Library provides benefits for sick leave and certain other retirement benefit arrangements to its employees. All employees accumulate sick leave entitlement on a monthly basis and can only use this entitlement for paid time off under certain circumstances. Retirement benefit payments represent the Library’s share of the cost to provide employees with various benefits upon retirement. The accrued benefit obligation and the net periodic benefit cost were estimated by an actuarial valuation completed in February 2013. The total expenses recorded in the financial statements in respect of obligations under these plans amount to $38,900 (2012 - $38,800).

City of Coquitlam 2013 Annual Report

59


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 9. Employee future benefits (continued):

Information about liabilities for the Library’s employee benefit plans is as follows:

Sick leave

Retirement benefit payments

2013 Total

2012 Total

Accrued benefit obligation: Balance, beginning of year $ 164,400 $ 73,600 $ 238,000 $ 244,100 Current service cost 13,100 6,200 19,300 18,600 Interest cost 5,800 2,700 8,500 8,800 Benefits paid (22,600) (12,900) (35,500) (31,900) Actuarial gain (17,200) 2,900 (14,300) (1,600)

Benefit obligation, end of year Unamortized actuarial gain (loss)

Accrued sick and retirement liability

143,500 (56,700)

$ 86,800

72,500 1,300

$ 73,800

216,000 (55,400)

238,000 (80,800)

$ 160,600 $ 157,200

The accrued sick and retirement liabilities are included as part of accrued salaries and benefits on the statement of financial position. The significant actuarial assumptions adopted in measuring the Library’s accrued benefit obligation are as follows:

60

2013

2012

4.1% 2.5% 2.5%

3.5% 3.0% 3.0%

City of Coquitlam 2013 Annual Report

Discount rates Expected future inflation rates Expected wage and salary increases


Coquitlam Public Library Board

Notes to Financial Statements (continued) Year ended December 31, 2013 10. Commitment: The Library is a member of InterLINK, which provides interlibrary loans for Coquitlam Public Library patrons from 16 other participating libraries in other municipalities. The Library has a contractual agreement with InterLINK to pay the annual assessment fee which, for 2013, is $66,455 (2012 - $68,036). 11. Budget data: The budget data presented in these financial statements is based upon the 2013 budget developed by management. The 2013 budget was not approved by the Board. The chart below reconciles the budget developed by management to the budget figures reported in these financial statements. Revenues: Operating budget $ 4,868,310 Expenses: Operating 4,441,310 Capital 427,000 4,868,310

Annual surplus per budget

-

Add items included in expenses above and tangible capital assets on the statement of financial position

427,000

427,000

Annual surplus per statement of operations

$

City of Coquitlam 2013 Annual Report

61



Financial Statements of Coquitlam Optical Network Corporation (QNet) For the year ending December 31, 2013

City of Coquitlam 2013 Annual Report

63


Coquitlam Optical Network Corporation (QNet)

Independent Auditors’ Report To the Board of Directors of Coquitlam Optical Network Corporation (QNET)

We have audited the accompanying financial statements of Coquitlam Optical Network Corporation (QNET), which comprise the statement of financial position as at December 31, 2013, the statements of operations, changes in net debt and cash flows for the year then ended, and notes, comprising a summary of significant accounting policies and other explanatory information. Management’s Responsibility 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. Auditors’ Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform an audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the entity’s preparation and fair presentation of the financial statements 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. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of Coquitlam Optical Network Corporation (QNET) as at December 31, 2013, and its results of operations and the changes in its net debt and its cash flows for the year then ended in accordance with Canadian public sector accounting standards.

Chartered Accountants March 25, 2014 Burnaby, Canada

64

City of Coquitlam 2013 Annual Report


Coquitlam Optical Network Corporation (QNet)

Statement of Financial Position December 31, 2013, with comparative information for 2012

2013

2012

1,845 $ 58,412

4,190 462,836

Financial Assets Cash $ Accounts receivable

60,257 467,026 Financial Liabilities Accounts payable and accrued liabilities 80,574 Due to City of Coquitlam (note 4) 5,119,697

286,482 5,338,194

5,200,271 5,624,676 Net debt (5,140,014) (5,157,650) Non Financial Assets Tangible capital assets (note 3) 3,796,990 Prepaid expenses 4,841

3,816,077 4,687

3,801,831 3,820,764 Accumulated deficit

$ (1,338,183)

$ (1,336,886)

Accumulated deficit is comprised of: Share capital $ 1 $ 1 Accumulated deficit (1,338,184) (1,336,887)

$ (1,338,183) $ (1,336,886)

Economic dependence (note 6) See accompanying notes to financial statements. Approved on behalf of the Board:

________________________________

City of Coquitlam 2013 Annual Report

65


Coquitlam Optical Network Corporation (QNet)

Statement of Operations Year ended December 31, 2013, with comparative information for 2012

2013 Budget

2013

2012

(note 7) Revenue: Lease $ 321,000 $ 335,580 $ Installation fees 9,758 11,200 Power cost recovery - 28,349 Professional consulting fees - - Service cost contracts - - Interest - -

118,280 2,400 19,804 339,136 44

330,758

375,129

479,664

Expenses: General and administrative Service costs Amortization Interest (note 4)

195,932 - - -

166,874 - 132,966 76,586

252,461 292,498 105,986 70,254

195,932 376,426 721,199 Annual surplus (deficit)

134,826

(1,297)

(241,535)

Accumulated deficit, beginning of year (1,336,887) (1,336,887) (1,095,352)

Accumulated deficit, end of year (1,202,061) (1,338,184) (1,336,887) See accompanying notes to financial statements.

66

City of Coquitlam 2013 Annual Report


Coquitlam Optical Network Corporation (QNet)

Statement of Changes in Net Debt Year ended December 31, 2013, with comparative information for 2012

2013 Budget

(note 7)

Annual surplus (deficit) for the year

$ 134,826

2013

$

(1,297)

$

2012

(241,535)

Acquisition of tangible capital assets Amortization of tangible capital assets Decrease (increase) in prepaid expense

(125,874) - -

(113,879) (1,026,904) 132,966 105,986 (154) 145

Change in net debt

8,952

17,636 (1,162,308)

Net debt, beginning of year (5,157,650) (5,157,650) (3,995,342) Net debt, end of year

$ ( 5,148,698)

$ ( 5,140,014)

$ (5,157,650)

See accompanying notes to financial statements.

City of Coquitlam 2013 Annual Report

67


Coquitlam Optical Network Corporation (QNet)

Statement of Cash Flows Year ended December 31, 2013, with comparative information for 2012

2013

2012

Cash provided by (used in): Operations: Annual deficit $ Amortization of tangible capital assets, an item not involving cash Change in non-cash operating working capital balances: Prepaid expenses Accounts receivable Accounts payable and accrued liabilities

(241,535)

132,966

105,986

(154) 404,424 (205,908)

145 (380,889) 226,571

Net change in cash from operating activities

330,031

(289,722)

Capital activities: Cash used to acquire tangible capital assets

(113,879)

(1,026,904)

Financing activities: Increase (decrease) in due to City of Coquitlam

(218,497)

1,300,970

Net change in cash

(2,345)

(15,656)

Cash, beginning of year

4,190

19,846

Cash, end of year

1,845 $

4,190

See accompanying notes to financial statements.

68

(1,297) $

City of Coquitlam 2013 Annual Report

$


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements Year ended December 31, 2013 1. Operations: Coquitlam Optical Network Corporation (QNet) (the “Company�) was incorporated on November 12, 2008 under the British Columbia Business Corporations Act. The Company’s business involves providing open access to optical fibre networks. It is a wholly municipal-owned subsidiary of the City of Coquitlam and operates its business within the City of Coquitlam municipality boundaries. The Company is a local government corporation and is exempt from income taxes. 2. Significant accounting policies: These financial statements have been prepared by management in accordance with Canadian public sector accounting standards: (a) Revenue recognition: The Company recognizes revenue when services are provided to customers, the price is fixed or determinable, and collectability is reasonably assured. (b) Non-financial assets: Non-financial assets are not available to discharge existing liabilities and are held for use in the provision of services. They are not intended for sale in the ordinary course of operations. (i) Tangible capital assets: Tangible capital assets have useful lives extending beyond the current year and are recorded at cost, which includes amounts that are directly attributable to acquisition, construction, development or betterment of the asset. The cost, less residual value of the tangible capital assets, is amortized on a straight-line basis over their estimated useful lives as follows: Asset Software Data centre equipment Building entrance - civil Building entrance - fibre Arterial fibre - civil Arterial fibre - fibre Leasehold improvements and leased equipment

Rate

8 years 5 - 25 years 85 years 25 years 85 years 25 years over term of lease

Any assets under construction are not amortized until the asset is available for productive use. Leases which transfer substantially all of the benefits and risks incidental to ownership of property are accounted for as leased tangible capital assets. Amortization is provided over the term of the lease.

City of Coquitlam 2013 Annual Report

69


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements (continued) Year ended December 31, 2013 2. Significant accounting policies (continued): (ii) Impairment of tangible capital assets: Tangible capital assets are written down when conditions indicate that they no longer contribute to the Company’s ability to provide goods and services, or when the value of future economic benefits associated with the tangible capital assets are less than their net book value. The net write-downs are accounted for as expenses in the statement of operations. (c) Use of estimates: The preparation of financial statements requires management to make estimates and assumptions that could 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 reporting period. Significant areas requiring the use of management estimates relate to the determination of allowance for doubtful accounts, useful lives for amortization of tangible capital assets, and provisions for contingencies. Actual results could differ from those estimates. (d) Functional and object reporting: The operations of the Company are comprised of a single function, optical fibre networks operations. As a result, the expenses of the Company are presented by object in the statement of operations.

70

City of Coquitlam 2013 Annual Report


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements (continued) Year ended December 31, 2013 3. Tangible capital assets: Leasehold Building Building Arterial Arterial improvements Data centre entrance entrance fibre fibre and leased Assets under December 31, 2013 Software equipment - fibre - civil - civil - fibre equipment construction

Cost: Balance, beginning of year Additions, net of transfers

Balance, end of year

Accumulated amortization: Balance, beginning of year Amortization expense

$

Balance, end of year

Total

84,050 $ 923,196 $ 200,517 $ 264,885 $ 1,416,716 $ - 10,678 22,630 3,571 253,042

56,776 $ 932,876 $ 217,317 $ 4,096,333 14,567 - (190,609) 113,879

84,050

933,874

223,147

71,343

932,876

48,766 10,231

142,178 67,264

16,433 8,334

7,182 3,119

33,500 17,832

7,310 2,854

24,887 23,332

- -

280,256 132,966

58,997

209,442

24,767

10,301

51,332

10,164

48,219

-

413,222

268,456 1,669,758

26,708 4,210,212

Net book value, end of year

$

25,053 $ 724,432 $ 198,380 $ 258,155 $ 1,618,426 $

61,179 $ 884,657 $

26,708 $ 3,796,990

Net book value, beginning of year $

35,284 $ 781,018 $ 184,084 $ 257,703 $ 1,383,216 $

49,466 $ 907,989 $ 217,317 $ 3,816,077

City of Coquitlam 2013 Annual Report

71


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements (continued) Year ended December 31, 2013 3. Tangible capital assets (continued): Leasehold Building Building Arterial Arterial improvements Data centre entrance entrance fibre fibre and leased Assets under December 31, 2012 Software equipment - fibre - civil - civil - fibre equipment construction

Total

Cost: Balance, beginning of year $ Additions, net of transfers

84,050 $ 533,683 $ 172,814 $ 260,553 $ 892,384 $ - 389,513 27,703 4,332 524,332

55,413 $ 932,876 $ 137,656 $ 3,069,429 1,363 - 79,661 1,026,904

Balance, end of year

84,050

923,196

200,517

56,776

932,876

Accumulated amortization: Balance, beginning of year Amortization expense

38,535 10,231

93,135 49,043

9,704 6,729

5,062 2,248

1,555 23,332

264,885 1,416,716

4,101 3,081

22,178 11,322

217,317 4,096,333

- -

174,270 105,986

Balance, end of year 48,766 142,178 16,433 7,182 33,500 7,310 24,887 - 280,256 Net book value, end of year

$

35,284 $ 781,018 $ 184,084 $ 257,703 $ 1,383,216 $

49,466 $ 907,989 $ 217,317 $ 3,816,077

Net book value, beginning of year $

45,515 $ 440,548 $ 163,110 $ 256,452 $ 870,206 $

50,351 $ 931,321 $ 137,656 $ 2,895,159

There was no write-down of tangible capital assets during the year (2012 – nil)

72

City of Coquitlam 2013 Annual Report


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements (continued) Year ended December 31, 2013 4. Due to City of Coquitlam: The amount due to City of Coquitlam at December 31, 2013 of $5,119,697 (2012 - $5,338,194) is related to funding for the purchase of tangible capital assets and funding for operating expenses of the Company. These transactions are in the normal course of operations and are measured at the exchange amount, which is the amount of consideration negotiated and agreed to by the related parties. During 2011, the Company entered into a lease agreement to lease leasehold improvements and equipment from the City of Coquitlam until December 15, 2051. Included in the amount due to City of Coquitlam is $932,876 (2012 $932,876) for the use of leasehold improvements and equipment for the term of the lease. Amounts due to City of Coquitlam are unsecured, bear interest at 1.50% (2012 - 1.51%) and have no set terms of repayment.

5. Related party transactions During the year, certain employees of the City of Coquitlam performed administrative services for the Company, including purchasing, accounting, clerical and other operational-type services. The Company was not charged by the City of Coquitlam for these services for the year ended December 31, 2013 (2012 - nil). Management costs and direct infrastructure services related to the Company of $22,839 (2012 - $42,985) were charged from the City of Coquitlam and are shown as expenses in the financial statements. 6. Economic dependence: The Company’s operations are currently partially funded by the City of Coquitlam and accordingly, future operations of the Company are dependent upon the continued financial support of the City of Coquitlam for the foreseeable future.

City of Coquitlam 2013 Annual Report

73


Coquitlam Optical Network Corporation (QNet)

Notes to Financial Statements (continued) Year ended December 31, 2013 7. Budget data: The budget data presented in these financial statements is based upon the 2013 budget approved by the Board of Directors on April 4, 2013. Amortization was not contemplated on development of the budget and, as such, has not been included. The chart below reconciles the approved budget figures reported in these financial statements. Revenue: Operating budget $ Expenses: Operating budget

74

City of Coquitlam 2013 Annual Report

330,758 321,806

Annual deficit per approved budget

8,952

Add items included in expenses above and tangible capital assets on the statement of financial position

125,874

Annual deficit per statement of operations $

134,826


Statistical Analysis For the year ending December 31, 2013

City of Coquitlam 2013 Annual Report

75



2013 Revenue Sources

Revenues by Source 2009-2013

(Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

DOLLARS (millions)

Taxation 47%

300 Penalties & Interest on Taxes 1% Developer's Contribution 13%

Cost Recoveries Casino Revenue

250

Municipal Land Sales Grants & Grants in Lieu

200

Investment Income Developer’s Contribution

Cost Recoveries 3% Municipal Land Sales 1%

Investment Income 2% Casino Revenue 2%

150

Fees, Rates & Service Charges Penalties & Interest on Taxes Taxation

100 50

Grants 3%

Fees, Rates & Service Charges 28%

0 2009

2010

2011

2012

2013

Revenues Last Five Fiscal Years Comparison 2013 Expenses

Statistical Analysis

(Source: City of Coquitlam Financial Services Department) 2009 2010 2011 2012 2013 Sanitary Sewer System General Government 13% 8% Taxation $ 109,315,413 $ 117,223,648 $ 121,758,535 $ 126,365,623 $ 133,104,670 Planning and Development Penalties & Interest 3% on Taxes 866,460 918,913 1,008,513 1,047,459 1,111,029 Fees, Rates & Police Protection Service Charges 52,249,398 56,483,288 60,909,149 71,714,012 80,056,487 14% Developer’s Contribution 22,413,177 30,317,356 34,705,276 27,248,902 36,209,937 Engineering Investment Income 3,657,307 3,377,697 4,216,578 4,438,210 5,858,896 14% Grants & Grants in Lieu 11,089,776 23,157,080 14,393,696 17,083,907 8,778,184 Municipal Land Sales 338,804 3,534,208 9,423,840 15,704,619 1,265,221 Fire Protection Casino Revenue 8,937,571 8,366,662 7,422,836 7,556,341 6,730,968 11% Cost Recoveries 6,370,648 8,178,079 7,826,679 9,585,890 9,386,539 Water Utility 10% Other Protection Total Revenue $ 215,238,554 1% $ 251,556,931 $ 261,665,102 $ 280,744,963 $ 282,501,931 Solid Waste 4% Parks, Recreation and Culture 22%

City of Coquitlam 2013 Annual Report

77


Statistical Analysis

2013 Expenses

Expenses by Function 2009-2013

(Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

Sanitary Sewer System 13%

General Government 8% Planning and Development 3% Police Protection 14%

DOLLARS (millions) 2009

2010

2011

2012

2013

$60.00 $50.00 $40.00

Engineering 14%

$30.00 Fire Protection 11% Water Utility 10%

Other Protection 1% Solid Waste 4%

$20.00 $10.00 $0.00

General Government

Parks, Recreation and Culture 22%

Engineering Police, Fire & Other Protection

Planning & Development

Parks, Recreation & Culture

Water, Sewer, & Solid Waste

Evergreen Line

Evergreen Line represents the agreement between the City and the Province of BC for Lincoln Station and Evergreen Line Sky station. Refer to Note 13 in the consolidated financial statements.

Expenses by Object 2009-2013 (Source: City of Coquitlam Financial Services Department)

DOLLARS (millions)

2009

2010

2011

2012

2013

90 80 70 60 50 40 30 20 10 Wages, Professional Contracted Supplies and Salaries Development Services Equipment and Benefits

Other

Debt Interest Amortization Contribution to Evergreen Charges Line

Evergreen Line represents the agreement between the City and the Province of BC for Lincoln Station and Evergreen Line Sky station. Refer to Note 13 in the consolidated financial statements.

78

City of Coquitlam 2013 Annual Report


Expenses Last Five Fiscal Years Comparison

2009 2010 2011 2012 2013 Analysis by Function General Government $ 13,169,997 $ 14,865,227 $ 14,995,100 $ 15,901,449 $ 16,143,203 Police, Fire & Other Protection 45,391,172 47,215,464 49,283,597 52,958,035 54,266,851 Engineering 22,950,524 26,147,853 27,637,309 26,394,940 28,317,525 Planning & Development 5,668,140 5,643,467 5,867,803 6,370,912 6,476,006 Parks, Recreation and Culture 37,396,716 38,680,691 41,162,082 43,271,870 45,767,039 Water, Sewer,& Solid Waste 42,832,225 50,375,717 52,904,205 54,698,696 56,459,187 Evergreen Line - - - 15,411,632 Total Expenses by Function $ 167,408,774

$ 182,928,419

$ 191,850,096

$ 215,007,534

$ 207,429,811

Analysis by object Wages, Salaries and Benefits $ 65,622,834 $ 70,564,212 $ 72,863,525 $ 78,280,856 $ 82,598,738 Professional Development 123,833 119,337 764,307 746,980 729,581 Contracted Services 34,985,940 38,043,763 37,394,804 39,087,123 38,799,325 Supplies and Equipment 38,967,071 44,249,925 47,856,089 47,537,873 49,862,224 Other 506,126 453,451 435,808 424,440 375,150 Debt Interest Charges 1,656,363 1,651,676 1,838,050 1,731,143 1,471,882 Amortization 25,546,607 27,846,055 30,697,513 31,787,487 33,592,911 Evergreen Line - - - 15,411,632 $ 167,408,774

$ 182,928,419

$ 191,850,096

$ 215,007,534

$ 207,429,811

Annual surplus

$ 47,829,780

$ 68,628,512

$ 69,815,006

$ 65,737,429

$ 75,072,120

Net financial assets

$ 106,503,926

$ 105,983,116

$ 138,703,277

$ 166,673,881

$ 196,746,633

City of Coquitlam 2013 Annual Report

Statistical Analysis

Total Expenses by object

79


Statistical Analysis

Surplus for the Year for General, Water and Sewer & Drainage Funds 2009-2013

Summary of Statutory Reserve Funds 2009-2013 (Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department) DOLLARS (millions)

General

10

Sewer & Drainage

Water

Land Sale Reserve Development Cost Charges Amortization Reserve Other

DOLLARS (millions) 45

5

40 35

0

30 25

(5)

20

(10)

15 10

(15) 2009

2010

2011

2012

5

2013

0

In 2012 the Sewer and Drainage Utility Fund utilized the Accumulated Surplus from prior years to repay $12.5 million of debt to the General Fund for construction of sewer infrastructure.

2009

Accumulated Surplus for General, Water and Sewer & Drainage Funds 2009-2013

2010

2012

2013

Property Tax Collection, other Major Levies and Collections 2009-2013 (Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

General Purposes Tax Sewer Frontage Tax

DOLLARS (millions) General

2011

Sewer & Drainage

45

Water User Rates Solid Waste Levies Collections for Other Governments

Water 2013

40 35

2012

30 25

2011

20 15

2010

10 2009

5 0 2009

2010

2011

2012

2013

In 2012 the Sewer and Drainage Utility Fund utilized the Accumulated Surplus from prior years to repay $12.5 million of debt to the General Fund for construction of sewer infrastructure.

80

City of Coquitlam 2013 Annual Report

0

50

100

150

200

250 DOLLARS (millions)

300


2013 Assessment and Taxation by Property Class

Assessed Values for General Municipal Purposes 2009-2013

(Source: British Columbia Assessment Authority)

(Source: British Columbia Assessment Authority) Assessment

Taxation

100%

DOLLARS (billions)

Total Land

Total Improvement

20

90%

18

80%

16

70%

14

60%

12 10

50%

8 40%

6

30%

4 2

20%

0

10%

2009

2010

2011

2012

2013

0% Residential

Commercial

Industrial

Other

Building Permits And Total Tax Collection 2009-2013

Total Value of Building Permits 2009-2013 (Source: City of Coquitlam Planning and Development Department) DOLLARS (millions)

2013

(Source: City of Coquitlam Planning and Development Department & Financial Services Department) DOLLARS (millions)

347

Building Permits - Total Value

Total Tax Collection

450

2012

379

400 350 300 250 200

2010

272

150 100

2009

196

50 0 2009

2010

2011

2012

2013

City of Coquitlam 2013 Annual Report

Statistical Analysis

394

2011

81


Statistical Analysis

Net Book Value of Tangible Capital Assets 2009 - 2013

Annual Consolidated Surplus

(Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

DOLLARS (millions)

2009

2010

2011

2012

2013

DOLLARS (Millions) 80

900 800

70

700

60

600 50

500

40

400 300

30

200 20

100 0

10

Land

Building

Park Structures

ICT

Vehicles, Water, Machinery Sewer, Equipment Drainage

Roads

Traffic

Under Construction

0

2009

2010

2011

2012

2013

In 2012 the Sewer and Drainage Utility Fund utilized the Accumulated Surplus from prior years to repay $12.5 million of debt to the General Fund for construction of sewer infrastructure.

Accumulated Consolidated Surplus

Gross and Net Long-Term Debt 2009-2013

(Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

DOLLARS (millions)

DOLLARS (millions)

$1,950 45

$1,900

Gross Debt Supported by Property Taxes

40

$1,850

35 $1,800

30

$1,750

25

Gross Debt Supported by Utilities

20

$1,700

Net Debt Supported by Utilities

15

$1,650

10

$1,600

5

0 $1,550 $1,500 2009

82

Net Debt Supported by Property Taxes

2010

City of Coquitlam 2013 Annual Report

2011

2012

2013

2009

2010

2011

2012

2013

$9.5 million of debt supported by property taxes is going to be repaid within the next five years.


Coquitlam Debt Per Capita 2009-2013

Legal Debt Limit 2009-2013

(Source: City of Coquitlam Financial Services Department)

(Source: City of Coquitlam Financial Services Department)

DOLLARS DOLLARS (millions)

Borrowing

300

Borrowing Power

1,200 250

1,000

200

800 600

150 400 100 200 50

0

2009

2010

2011

2012

2013

0 2009

2010

2011

2012

2013

Population Estimate 2009-2013

Net Financial Assets 2009-2013

(Source: BC STATS - Ministry of Management Services)

(Source: City of Coquitlam Financial Services Department) Dollars (millions)

POPULATION

200

140,000

180 160

135,000

140 120 100

125,000

80 120,000

60 115,000 2009

2010

2011

2012

2013

40 20 0 2009

2010

2011

2012

2013

City of Coquitlam 2013 Annual Report

Statistical Analysis

130,000

83


Statistical Analysis

Comparison of the Average 2013 Annual Tax Bill for all City Services to other Standard Household Costs (Source: City of Coquitlam Financial Services Department) Standard Household Costs 1,016

Fortis (Gas Bill) 948

BC Hydro (Electric Bill)

875

Home Insurance 693

Internet (Telus) 466

Home Security System

440

Cable (Basic) 315

Telephone (Basic) Cost of all City Services Snow and Ice Control

26

Planning & Development

27

Cultural & Community Grants

115

Parks & Environmental Services

129

Roads Maintenance & Traffic Control

149

Recreational Facilities & Programs

199

Capital (Including Debt Payments)

311

Fire

347

Garbage Pickup & Recycling

349

Sewer & Drainage

414

Police Services

421

Water

423

Based on 2013 average single family residence. 2,910

Total for City's Services 0

84

City of Coquitlam 2013 Annual Report

500

1,000

1,500

2,000

2,500

3,000 DOLLARS


Household Income in Coquitlam - 2005 & 2010

Coquitlam Residents by Marital Status, 1996 - 2006

(Source: Statistics Canada)

(Source: Statistics Canada, 2006 Census) 2005

2010

35%

Marital Status

32%

30% 24%

25% 19%

20% 15%

16%

18%

13% 13%

15%

15%

13%

11% 11%

10% 5%

2006

2001

1996

Legally Married

53%

54%

55%

Never Married

32%

31%

30%

Separated

3%

3%

3%

Divorced

7%

7%

7%

Widowed

5%

5%

5%

0% Under $20,000

$20,000 $39,999

$40,000 $59,999

$60,000 $79,999

$80,000 $99,999

$100,000 & above

Coquitlam's Population by Age - 100% Data

Top Ten Languages Spoken at Home in Coquitlam

(Source: Statistics Canada 2011 & 2006 Censuses)

(Source: Statistics Canada, 2011 Census)

20.0% 18.0% 16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0%

2011 17.4% 16.4% 14.4%

16.6%

15.3%

15-24 years

12.8% 11.9% 10.9% 10.9%

11.2%

25-34 years

35-44 years

2011 Language

14.7% 12.2%

0-14 years

2006

17.6% 17.7%

45-54 years

55-64 years

65+ years

%

English

84,920

72.0%

Korean

6,210

5.3%

Mandarin

4,640

3.9%

Cantonese

4,350

3.7%

Persian (Farsi)

4,275

3.6%

Chinese (not otherwise specified)

3,560

3.0%

Spanish

1,115

0.9%

Russian

1,105

0.9%

Tagalog (Pilipino, Filipino)

940

0.8%

Romanian

615

0.5%

Note: 100% data for the first time in the 2011 Census. Definition of Home Language: Refers to the language spoken most often or on a regular basis at home.

City of Coquitlam 2013 Annual Report

Statistical Analysis

Number

85


Statistical Analysis

Principal Corporate Taxpayers

86

City of Coquitlam 2013 Annual Report

(Source: City of Coquitlam Financial Services Division) Corporate taxpayers over $250,000 Registered Owner Primary Property Taxes Levied Pensionfund Realty Ltd. Shopping Centre $6,636,928 Loblaw Properties West Inc. Shopping Centre $3,191,490 Great Canadian Casinos Inc. Stores & Service Commercial $1,483,845 BC Hydro & Power Authority Electric Power Systems $1,395,303 Ikea Properties Ltd. Miscellaneous $1,316,521 Sun Life Assurance Co of Canada Shopping Centre $1,309,554 Pinetree Village Holdings Inc. Shopping Centre $1,251,295 Fraser Mills Properties Ltd. Industrial $1,015,505 Burquitlam Building Ltd. Shopping Centre $889,566 Sunnyland Enterprises Ltd. Shopping Centre $811,408 Lafarge Canada Inc. Concrete Mixing Plants $748,640 655870 BC Ltd. Storage & Warehousing $744,940 FortisBC Energy Inc. Gas Distribution Systems $720,707 Brenhill Developments Ltd. Theatre Buildings $687,116 Spire LP (Lougheed Super Centre) Lumber Yard or Building Supplies $610,612 South Coast BC Transportation Auth. Parking-Lot $592,208 Busung Investment Co Ltd. Shopping Centre $555,879 Home Depot Holdings Inc. Stores & Service Commercial $538,162 Jack Cewe Ltd. Gravel Pit $490,110 No. 186 Seabright Holdings Ltd. Warehouse Storage $473,852 Barnes Wheaton (Surrey) Ltd. Shopping Centre $444,084 WKR Inc. Storage & Warehousing $430,391 Double Beta Holdings Ltd. Vacant Land $428,563 Viam Holdings Ltd. Strata Apartment $426,234 West Mall Hotels Ltd. Hotel $423,532 Coquitlam Inn & Convention Centre Ltd. Motel & Auto Court $422,125 Standard Life Assurance Co of Canada Storage & Warehousing $421,107 Aragon (Austin Station) Properties Ltd. Shopping Centre $420,702 Kebet Holdings Ltd. Storage & Warehousing $416,265 Henderson Civic Centre Ltd. Shopping Centre $404,934 SDLP Snowcat Ltd. Vacant Land $372,388 70 Golden Drive Ltd. Storage & Warehousing $366,242 B U K Investments Ltd. Auto. Paint Shop. Garage, Etc. $359,593

Registered Owner Primary Property Taxes Levied 424116 BC Ltd. Apartment (High Rise) $356,312 Unimet Investments Ltd. Developer $356,127 Toys R Us (Canada) Ltd. Retail Sales $354,278 Investors Group Trust Co. Ltd. Shopping Centre $350,990 Rosebrook Investments Corp. Commercial Strata Lot $333,909 Pacific Reach Home Furnishings Stores & Service Commercial $321,228 Provincial Rental Housing Corp. Detached Housing SFD $317,669 Honeysuckle Developments Inc. Manufacturing Operation $312,495 Sony of Canada Ltd. Storage & Warehousing $311,229 Mason Investments Ltd. Strata Warehouse $305,623 Petro Canada Convenience Store/Service Station $302,734 0854995 BC LTD Warehouse, Storage $300,297 John Volken Foundation Inc. Warehouse Showroom Store $299,893 Domtar Inc. Miscellaneous & Industrial $297,406 Coca-Cola Refreshments Canada Storage & Warehousing $296,819 Crown Provincial Gravel Pit $292,997 Concert Cottonwood Lands Ltd. Multi Family Apartment Block $291,312 390200 BC LTD Shopping Centre - Neighbourhood $287,026 925834 Ontario Inc. Stores & Service Commercial $279,820 655868 BC Ltd. Storage & Warehousing $277,346 Robco Enterprises Ltd. Stores & Offices/Mobile Home Park/Restaurant $274,742 Telus Communications (BC) Inc. Telephone $273,431 Apollo Sheet Metal Holdings Ltd. Storage & Warehousing $271,530 Artis King Edward Property Ltd. Shopping Centre - Neighbourhood $269,522 437909 BC Ltd. Auto. Paint Shop. Garage $268,929 ONNI Holdings Ltd. Storage & Warehousing $265,438 Balaclava Holdings Ltd. Storage & Warehousing $262,534 32 Fawcett Investments Ltd. Warehouse Distribution $260,438 Boma Industries Ltd. Storage & Warehousing $250,978


Permissive Tax Exemptions (Source: City of Coquitlam Financial Services Division) The intent of Taxation Exemption Bylaw is to grant property taxation exemptions to the following categories of land and/ or improvements:

This list does not include statutory exemptions provided by the province or the permissive exemptions provided by the City of Coquitlam under section 224 subsection (2) (f) [buildings for public worship] and the City’s properties. The tax figures provided are estimates only.

Total 313,064 City of Coquitlam 2013 Annual Report

Statistical Analysis

Burquitlam Care Society . . . . . . . . . . . . . . . . . . . . . . . . . . . . $21,753 Nursing homes for seniors Burquitlam Senior Housing Society . . . . . . . . . . . . . . . . . $10,563 Accommodations for senior residents on limited incomes Colony Farm Community Gardens Society . . . . . . . . . . . . . $2,591 Gardening opportunities for community and related activities Community Living Society Inc.. . . . . . . . . . . . . . . . . . . . . . . . . $2,409 Supports people with disabilities Community Living Society Inc.. . . . . . . . . . . . . . . . . . . . . . . . . $2,409 Supports people with disabilities Earl Haig Society (Coquitlam). . . . . . . . . . . . . . . . . . . . . . . . . . $9,262 Accommodations for seniors Greater Vancouver Water District . . . . . . . . . . . . . . . . . . . . . $1,018 Land leased to the City of Coquitlam Howe Sound Rehabilitation Services Society. . . . . . . . . . . $2,031 Residential and day program to people with brain injuries, developmental, physical and medical health care needs Nature Trust of British Columbia . . . . . . . . . . . . . . . . . . . . . . . $274 Land conservation organization Nature Trust of British Columbia . . . . . . . . . . . . . . . . . . . . . . $2,845 Land conservation organization Nature Trust of British Columbia . . . . . . . . . . . . . . . . . . . . $28,885 Land conservation organization Nature Trust of British Columbia . . . . . . . . . . . . . . . . . . . . $80,053 Land conservation organization Nature Trust of British Columbia . . . . . . . . . . . . . . . . . . . . $99,564 Land conservation organization Royal Canadian Legion Branch No. 263 . . . . . . . . . . . . . . $29,659 Support for veterans, members and the community Simon Fraser Society For Community Living . . . . . . . . . . . $1,928 Supports healthy development of all people Simon Fraser Society For Community Living . . . . . . . . . . . $2,247 Supports healthy development of all people Sisters of The Immaculate Heart of Mary Society. . . . . . . $1,554 Education based daycare centre Societe du Foyer Maillard . . . . . . . . . . . . . . . . . . . . . . . . . . . $14,019 Bilingual services via cultural activities and health related program

87


Principal Employers in Coquitlam (source: City of Coquitlam) (Over 150 employees reported) Business Type . . . . . . . . . . . . . . . . . . Name Education. . . . . . . . . . . . . . . . . . . . . . .School District #43 Education. . . . . . . . . . . . . . . . . . . . . . .Douglas College Local Government. . . . . . . . . . . . . . . . . City of Coquitlam Retail Sales . . . . . . . . . . . . . . . . . . . . . .The Real Canadian Superstore (2 stores) Retail Sales . . . . . . . . . . . . . . . . . . . . . .Ikea Casino . . . . . . . . . . . . . . . . . . . . . . . . .Hard Rock Casino Vancouver Manufacturer . . . . . . . . . . . . . . . . . . . . Factors Group of Nutritional Companies Inc. Restaurant Sales. . . . . . . . . . . . . . . . . . .McDonald’s Restaurants (6 restaurants) Sales . . . . . . . . . . . . . . . . . . . . . . . . . .Target Store Warehouse . . . . . . . . . . . . . . . . . . . . . .WN Pharmaceuticals Ltd. Retail Sales . . . . . . . . . . . . . . . . . . . . . .Canada Safeway (2 stores) Unclassified . . . . . . . . . . . . . . . . . . . . . Superior Poultry Processors Ltd. Manufacturer . . . . . . . . . . . . . . . . . . . . Jack Cewe Ltd. Retail Sales/Warehouse. . . . . . . . . . . . . .Leavitt Machinery Retail Sales . . . . . . . . . . . . . . . . . . . . . .Home Depot Canada Contractor Licence . . . . . . . . . . . . . . . . . Waste Management of Canada Corporation Theatre/Concert Hall. . . . . . . . . . . . . . . .SilverCity (Theatres) Retail Sales . . . . . . . . . . . . . . . . . . . . . .Shoppers Drug Mart (4 stores) Retail Sales . . . . . . . . . . . . . . . . . . . . . .T&T Supermarket Retail Sales . . . . . . . . . . . . . . . . . . . . . .Pricesmart Foods Retail Sales . . . . . . . . . . . . . . . . . . . . . .Sears Canada Inc. Warehouse . . . . . . . . . . . . . . . . . . . . . .McKesson Canada Restaurant Sales. . . . . . . . . . . . . . . . . . .Joey’s Mediterranean Grill

Note: Information on employment numbers (over 150) provided by the business licence applicant and may or may not be the most current.

88

City of Coquitlam 2013 Annual Report


City of Coquitlam


City of Coquitlam Financial Services 3000 Guildford Way, Coquitlam, BC, V3B 7N2 604-927-3000 Fax: 604-927-3035 www.coquitlam.ca


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