Mayor’s Key Takeaways from the 2018 Financial Report and External Auditor’s Report

Mayor Guillaume Lamoureux presented the highlights of the 2018 financial report during the Municipal Council meeting on Monday, June 3, 2019. Please find his full comments below.

In accordance with the provisions of Article 176.2.2 of the Municipal Code of Québec, at this regular meeting of the Municipal Council today, June 3, 2019, it is my pleasure to share with the residents of La Pêche the highlights of the financial report and the external auditor’s report for the fiscal year ending December 31, 2018, as audited by the chartered professional accountants at Dignard Ethier CPA Inc. 

Fiscal Year 2018 closed with a surplus of $501,471 for the reporting period, based on revenue of $14,704,030 and expenses and capital reserves of $14,202,559, as audited by the external auditor. A portion of the surplus was appropriated for FY 2019 and a balance of $136,029 remains to be allocated. To this end, the external auditor made certain adjustments to the financial statements so that they comply with the financial disclosure presentation manual, which had an impact on the unallocated surplus.   

Achievements in 2018 

Out of total expenses of more than $14 million, road improvements accounted for $1.30 million and non-negotiable obligations or shares accounted for just under $10 million: 

• MRC share including public safety: $3.35 million
• Waste management: $1.40 million
• Debt management: $1.27 million
• Salaries including benefits: $3.98 million

In 2018, the Municipality installed two platforms on the north shore of Rivière La Pêche in Parc des Fondateurs. It also created a second entrance to the William-Gonzalez fire station to make it easier for the fire trucks to manoeuver. The Municipality purchased a truck for installing signs and two pickup trucks for the Public Works and Fire Departments. The Municipality also took over ownership of the La Pêche Sports Complex from Coopérative de solidarité de La Pêche, an acquisition which became necessary after the province adopted Bill 122. 

Road work was completed on the following roads, among others: Beurrerie, Prairie, de la Montagne, Lac Bernard, Wakefield Heights, Burnside, Sully, Butternut, Birch, Burnt Hill, Manoir, Lac Pike, Rivière, Geggie, and des Sources.

The Municipal Council will need to consider two items recommended by the external auditor. The first item is the adoption of a fixed-asset capitalization and depreciation policy. Such a policy could provide guidelines for the Municipality’s asset management and loan-based financing practices. The second item is the adoption of a policy for the use of amounts deposited in the local fund set aside for the repair and maintenance of certain public roads affected by the operation of sand and other quarries. The policy could formalize how the fund is used, addressing for example (but not exclusively) the question of who pays user fees, which municipal roads are intended for transport truck traffic, and the condition of municipal roads affected by the operation of sand and other quarries.

According to the financial profile published on the Ministère des Affaires municipales et de l’habitation website, the total net long-term debt to equity ratio per $100 of standardized property wealth is $0.49, compared to the average ratio of $1.14 for all municipalities in MRC des Collines-de-l’Outaouais. 

In conclusion, the financial report as at December 31, 2018, shows that the Municipality is in a good financial position.

Guillaume Lamoureux,