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2026-03-18 Finance Committee Agenda Packet - Open Session Finance Committee Meeting Open Session December 9, 2025 MINUTES OPEN SESSION FINANCE COMMITTEE MEETING DECEMBER 9, 2025 AT 4:30 PM MEETING CONDUCTED BY ELECTRONIC PARTICIPATION Present: Mayor D. Noade Reardon Councillor G. Sullivan Councillor P. Radwan Councillor G. Stewart Councillor G. Norton Also Present: Chief Administrative Officer B. McGovern Commissioner of Finance and Treasurer K. Fudge Commissioner Growth & Community Services A. Poffenroth Commissioner Human Resources S. Hossack Commissioner Public Works & Transportation M. Hugenholtz Commissioner Utilities & Infrastructure I. Fogan Fire Chief R. Nichol Director Financial Services J. Forgie Director Financial Services C. Lavigne Director Engineering M. Baker Director Corporate Performance S. Rackley-Roach Intermediate Accountant V. Parikh Deputy City Clerk A. McLennan Administrative Assistant K. Tibbits 1. Meeting Called to Order Councillor Sullivan called the Finance Committee open session meeting to order. 2. Approval of Minutes 2.1 Minutes of November 12, 2025 Moved by Councillor Stewart, seconded by Councillor Norton: RESOLVED that the minutes of November 12, 2025 be approved. MOTION CARRIED. 3. Approval of Agenda Moved by Councillor Stewart, seconded by Councillor Norton: RESOLVED that the agenda of December 9, 2025 be approved. MOTION CARRIED. 4. Disclosures of Conflict of Interest No disclosures. 5. Consent Agenda 5.1 2025 Operating and Capital Reserves Finance Committee Meeting Open Session December 9, 2025 Moved by Councillor Stewart, seconded by Councillor Norton: RESOLVED that Finance Committee approve the transfers to and from the following reserves and forward a copy of the report to Common Council for approval: General Operating Reserves $564,809 from the General Operating Fund to the General Operating Reserve $729,057 from the General Operating Reserve to the General Operating Fund $580,000 from the General Capital Reserve to the General Operating Reserve General Capital Reserves $7,668,279 from the General Operating Fund to the General Capital Reserve $5,133,248 from the General Capital Reserve to the General Capital Fund $580,000 from the General Capital Reserve to General Operating Reserve Utility Operating Reserves $603,469 from the Utility Operating Fund to the Utility Operating Reserve (Industrial Rate Stabilization) $4,750,000 from the Utility Operating Reserve to the Utility Operating Fund $4,750,000 from the Utility Capital Reserve to the Utility Operating Reserve Utility Capital Reserves $1,802,839 from the Utility Operating Fund to the Utility Fund Capital Reserve $541,169 from the Utility Capital Reserve to the Utility Capital Fund $4,750,000 from the Utility Capital Reserve to the Utility Operating Reserve MOTION CARRIED. 5.2 2026-2029 Capital Renewal Plan (CRP) Moved by Councillor Stewart, seconded by Councillor Norton: RESOLVED that 2026- Finance Committee endorse the 20262029 Capital Renewal Plan (CRP) (Part 1 & Part 2) for the capital renewal funding allocation as set out in Exhibits 1 & 2; and recommend approval of the above noted item at the next meeting of Council. MOTION CARRIED. 6. Business Matters 6.1 5-Year Capital Investment Plan Update (Utility and General Fund) -Year Capital Investment Plan Update (Utility and Councillor Radwan joined the meeting. Mayor Noade Reardon joined the meeting. Moved by Councillor Stewart, seconded by Councillor Radwan: RESOLVED that -Year Capital Investment Plan Update (Utility and General Fund), the Finance Committee endorse the 5-Year Capital Investment Plan for the General Fund and Utility Fund as set out in Exhibits 1 & 2; and recommend to Council to approve the above noted items at the next meeting of Council. MOTION CARRIED. 7. Adjournment Moved by Councillor Radwan, seconded by Councillor Stewart: RESOLVED that the Finance Committee meeting be adjourned. Finance Committee Meeting Open Session December 9, 2025 MOTION CARRIED. The Finance Committee open session meeting held on December 9, 2025, was adjourned at 4:45 p.m. FINANCECOMMITTEEREPORT Report DateMarch 10, 2026 Meeting DateMarch 18, 2026 Chairman SullivanandMembers of Finance Committee SUBJECT: Gault Road/Manawagonish Road/ Ocean Westway&Route 7 Ramps Roundabout Design OPEN OR CLOSED SESSION This matter is to be discussed in open session of Finance Committee. AUTHORIZATION Primary AuthorCommissioner/Dept. HeadChief Administrative Officer Michael Baker Kevin Fudge/Michael Ian Fogan Baker RECOMMENDATION It is recommended that members of the Finance Committee: Endorse the reallocation of $250,000 ofCity Share funding within the approved 2026General Fund Capital Program from theHarbour Passage - Riverview DriveProject(26TC04)and add thisfunding to a new capital project titled Gault Road/Manawagonish Road/ Ocean Westway & Route7 Ramps Roundabout Design. It isfurther recommended thattheFinance Committee recommend approval of the above noted itemat the next meeting of Council. EXECUTIVE SUMMARY Roundabout Strategy, the intersectionofGault Road/Manawagonish Road/ Ocean Westway & Route7 Rampshas been identified as a strong candidate for reconfiguration into a roundabout. Accordingly, it is recommended that a new project be added to the 2026General Fund Capital Program, titled Gault Road/Manawagonish Road/ Ocean Westway & Route 7 RampsRoundabout Design, with the required $250,000 in City Share funding reallocated from the Harbour Passage -Riverview Driveproject(26TC04). The remaining City share funding ($482,000) within the Harbour Passage - - 2 - Riverview Drive project budget will be allocated to another City project at a future date. PREVIOUS RESOLUTIONS th February 24, 2025: M&C 2025-058 2024-2028 Capital Investment Plan for the Canada Community Building Fund (CCBF), approved. st December 1, 2025: M&C 2025-273 - 2026 General and Utility Fund Capital Budget, approved. STRATEGIC ALIGNMENT MOVE priority by enhancing safety and west side, including improved access to New Brunswick Route 7 highway. The project is also consistent with recommendations from MoveSJ, which identifies that the awkward layout of the intersection and irregular traffic control are cause for concern. The proposed roundabout would be a standard approach that would correct the configuration of this intersection. This roundabout would require provincial coordination in addition to property acquisitions near the intersection. REPORT In keeping intersection of Gault Road/ Manawagonish Road/ Ocean Westway & Route 7 Ramps has been identified as a priority location for a roundabout installation due to its awkward layout, irregular traffic control setup and a documented speeding issue on Manawagonish Road. The City currently has $1,235,000 of Canada Community Building Fund (CCBF) funding assigned to fund a portion of Gault Road/ Manawagonish Road/ Ocean Westway & Route 7 Ramps roundabout project within its approved 2024-2028 Capital Investment Plan (CIP) for the CCBF funding program. When this roundabout project was proposed to be included within the City CCBF CIP (2024-2028), staff were aware that more funding (City or Other Share) would be required in 2027 in order to fully design and construct the roundabout. In order to have a more accurate construction estimate for the amount of additional funding required to fully construct the roundabout staff are proposing to fund the design of the project in 2026 so that required investigations and design can be completed. Throughout the design process more accurate construction estimates are prepared therefore it will allow staff to be more accurate with required additional funding within the 2027 Capital Program. In addition, completing the design now will also allow staff to determine what land may be required from neighboring properties. - 3 - Included in the approved 2026 General Fund Capital Program is the following project. Project Description Other Share City Share Harbour Harbour Passage Extension including Passage - new lights, new curb on one side, Harbour Riverview Passage sidewalk, landscaping, required Drive (Civic $ $ paving, including design and construction # 399 to 1,098,000 732,000 management services. Project contingent Market on the City receiving Active Place Transportation Funding. Overpass) $ $ Total 1,098,000 732,000 Unfortunately, the City was not successful with any of its Active Transportation Funding (ATF) applications therefore it is proposed that $250,000 of City Share funding from the Harbour Passage - Riverview Drive project be reallocated to the to Gault Road/ Manawagonish Road/ Ocean Westway & Route 7 Ramps Roundabout Design project. SERVICE AND FINANCIAL OUTCOMES It is proposed that $250,000 be relocated from the approved Harbour Passage - Riverview Drive (26TC04) project within the 2026 General Fund Capital Program and be allocated to a new capital project titled Gault Road/ Manawagonish Road/ Ocean Westway & Route 7 Ramps Roundabout Design. The overall 2026 General Fund Capital City Share budget would remain unchanged. The outstanding $482,000 ($732,000 - $250,000) will be reallocated to another project in the future. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Name of Service Area/Stakeholder Name of Staff Person Public Works & Transportation Services Reilly Finance Department Craig Lavigne ATTACHMENTS N/A FINANCECOMMITTEEREPORT Report DateMarch 10, 2026 Meeting DateMarch 18, 2026 Service AreaStrategic Services Chairman SullivanandMembers of Finance Committee SUBJECT: Enterprise Risk Management OPEN OR CLOSED SESSION This matter is to be discussed in Finance Committee Open Session. AUTHORIZATION Primary AuthorCommissioner/Dept. HeadChief Administrative Officer Jodie ForgieKevin FudgeIan Fogan RECOMMENDATION It is recommended that Finance Committee recommend to Council to approve the Enterprise Risk Management Policy. EXECUTIVE SUMMARY As part of the Internal Audit Planthe Citywith significant support from BFLhas implemented an Enterprise Risk Management (ERM) Framework and developed an ERM Policy to guide the City in maturing our Enterprise Risk Managment system. PREVIOUS RESOLUTION N/A STRATEGIC ALIGNMENT This action aligns with the Council priority of tĻƩŅƚƩƒ by implementing an Enterprise Risk Management Framework that will optimize service delivery and ensure a more efficient use of the organ overall enhanced performance by supporting informed decision-making and compliance with applicable laws and regulations leading to better project management, minimization of waste, and promotes innovation to support the - 2 - REPORT Throughout 2024 and 2025 the City and BFL worked together on creating an ERM framework and conducting workshops with members of senior leadership to establish an approved risk matrix, identify the risks of the organization and to score them against the approved risk matrix. The outcome of this work is that the City now has an active risk register and a risk appetite matrix, both of which will evolve as time passes and risks change. The risk matrix provides a consistent way to measure risk for the City with clear criteria to measure the impact and probability of ris low, moderate, or high which dictates the priority to work on the risk. In 2025 a focus was put on the top risks with a detail review of controls in place and treatment plans were created. As we continue to evolve our ERM system, crucial to the success will be proper oversight and guidance to ensure that the risk management practices are effective. The ERM policy will define roles and responsibilities to support ERM and core principles to follow. The next steps in 2026 will be to develop clear documentation to formalize ERM governance, reporting and process and to continue to actively work on the top risks identified. Municipalities are faced with high impact risks which the City of Saint John has enterprise risk management process will help the City continue on the path of being strategic, proactive and managing risks effectively. The City will continue to embed ERM into the culture of the City and in the decision making process to help mitigiate negative risk and take advantage of the calculated opportunities. SERVICE AND FINANCIAL OUTCOMES An Enterprise Risk Management Framework that will optimize service delivery INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Name of Service Area/Stakeholder Name of Staff Person {ƷƩğƷĻŭźĭ {ĻƩǝźĭĻƭΉwźƭƉ ağƓğŭĻƒĻƓƷ /Ʃğźŭ \[ğǝźŭƓĻ ATTACHMENTS ERM Policy ERM POLICY FOR THE CITY OF SAINT JOHN 4¨³«¤Ȁ %­³¤±¯±¨²¤ 2¨²ª - ­ ¦¤¬¤­³ 0®«¨¢¸ ! Subject: Enterprise Risk Management Policy Category: Strategic Services (ERM) Policy No.: M&C Report No.: Effective Date: March 23, 2026 Next Review Date: (3 years) Areas this policy applies to: All City Service Areas Office Responsible for review of this Policy: Strategic Services (Finance) Related Instruments: Policy Sponsor: CFO and Chief of Staff FAS-028- Internal Audit Charter Document Pages: This document consists of 8 pages. Revision History: City Clerk's Annotation for Official Record I certify that the Enterprise Risk Management Policy was approved by Common Council on ____ ___ _____ City Clerk Date nd Contact: City Clerk, 2 floor City Hall, 15 Market Square, P.O.B. 1971, Saint John, NB, E2L 4L1 Telephone: 658-2862 Email: cityclerk@saintjohn.ca 2! 2!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN TABLE OF CONTENTS 1. PURPOSE ................................................................................................................................................... 3 2. POLICY STATEMENT .................................................................................................................................. 3 3. SCOPE ........................................................................................................................................................ 3 4.GENERAL PRINCIPLES ................................................................................................................................. 3 5. RELEVANT LEGISLATION, NORMS AND REGULATIONS ............................................................................. 5 6. ROLES AND RESPONSIBILITIES .................................................................................................................. 5 7. GLOSSARY .................................................................................................................................................. 7 8. INQUIRIES .................................................................................................................................................. 8 3! 3!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN 1. PURPOSE A proper ERM framework is crucial to optimize service delivery and ensure a more efficient use of the decision-making and compliance with applicable laws and regulations leading to better project management, minimization of was accomplishing its mission. As such, the purpose of this policy is to provide a formalized governance structure to guide the implementation of a systematic, comprehensive and consistent approach to the management of risk at all levels of the organization. The policy seeks to: Allow Saint John to readily adapt to a changing environment (i.e., internal and external); Create and maintain an efficient risk management system; Guide strategic achievements and goals; Increase management transparency and accountability; Establish stronger compliance to regulations and best practice norms (e.g., ISO and COSO). 2. POLICY STATEMENT The City of Saint John (Saint John) has implemented an Enterprise Risk Management (ERM) framework tailored to its sector of operation and aligned with risk management best practices and ISO 31000 standards. The framework is designed to evolve over time in response to organizational changes, emerging risks, and continuous improvement objectives. Saint John has done so by adopting a centralized ERM framework to standardize how risks are identified, analyzed, evaluated, treated and reported. The ERM framework thereby supports initiatives to proactively prevent risks from threatening goals, and values. 3. SCOPE This policy is applicable to all Saint John employees, senior leadership, executive leadership, council and committee members. 4. General Principles The ERM framework follows a clear structure that will be maintained (reviewed and updated periodically) and approved by the Executive Leadership Team (ELT). The following procedures and principles will serve as a basis for the ERM framework to ensure a strategic approach to risk management. As such, the framework will be tightly knitted against the vision, mission, and values of the City thereby supporting achievements of its organizational objectives. 4! 4!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN a)The ERM Framework To support the management and oversight of risk across the City, this policy requires the establishment and maintenance, to international best practice, of an appropriate ERM framework. The framework that has been adopted is based on the ISO 31000 standards and applies across the entire organization. This ERM framework is managed and maintained by the Controller, owned by the Executive Leadership Team (ELT) and overseen by the Common Council through the Finance Committee. The Controller and their team will assist the ELT to deploy the relevant parts of the framework in a way that is appropriate to each area. The ERM framework is to be maintained in accordance with this policy. The ERM process will involve quarterly reporting to the SLT and ELT, semi-annually to Finance Committee, and annually to Common Council. In addition, materialized incidents assessed as exceeding approved risk appetite or tolerance levels, as * established in the risk appetite statement, will be escalated in accordance with process outside of the standard reporting cycle. b) Core Principles and guidelines A focus on creating a risk aware, rather than risk averse, culture. Risk management strategies are aligned and supportive of Saint Jo Risk management is the responsibility of all employees. Risk management is applied in a coordinated and efficient manner across the organization, using common definitions and framework. Risk management encompasses all Saint John operational activities and external factors, including human resources, health and safety, financial, information and technology, business developments, strategic, and legal/compliance risk. Collaboration and communication across corporate functions, departments, and operations is critical to prevent a siloed approach to risk management. The ERM framework will be continuously improved and updated to reflect best practices and Risk management at the City is to remain a dynamic and ever-evolving process in line with changes within and outside of the organization. across all decision-making processes, ensuring corporate excellence throughout its functions and operations. c) Risk Appetite * Saint John will set its risk appetite through risk appetite statements which document and explain Saint * Risk appetite statements shall be reviewed and approved by Common Council annually. Operations and risk-based decisions will be conducted within the !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! ! ! ! 5! 5!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN * boundaries established by the risk appetite statements, except where otherwise authorized by Common Council or through delegated authority. 5. Relevant Legislation, Norms and Regulations ERM Norms COSO (Committee of Sponsoring Organizations of the Treadway Commission) Framework for design, implement and evaluate internal controls ISO 31000 an international standard providing principles, a framework, and a process for managing risk systematically across any organization 6. ROLES AND RESPONSIBILITIES ! All employees at the City will manage risk and work collaboratively to ensure an effective ERM framework is in place. Defining clear roles and responsibilities for the ERM framework at all levels of the organization allows for the following: Risks to be identified, analyzed, evaluated, treated and reported effectively and efficiently. Risk incidents to be reported to the relevant parties. Assistance in the achievement of objectives. Protection and creation of value. Support of strong and consistent governance, risk management and internal controls. Empowerment of all employees to manage risk, capitalize on opportunities and innovate. All employees are responsible for following sound risk management practices, reporting, and escalating observed risks to management and (other roles or departments if applicable), as appropriate and in a timely manner. Common Council is responsible for: Providing oversight of the functioning of the ERM framework through regular council meetings. Approving the risk management policy. Rev appetite statements periodically. Reviewing and providing guidance with respect to risk status and treatment plans for top risks that are escalated by the Finance Committee. !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! ! 6! 6!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN Reviewing any risks escalated to the Council that are outside the risk appetite or risk tolerance of the City. Approving or delegating approval of significant enterprise decisions that may lead Saint John outside of its stated risk appetite and risk tolerance. The Finance Committee is responsible for: Providing oversight of the ERM framework functioning through regular committee meetings. Reviewing the risk management policy and recommending any changes to the ELT. Overseeing the effectiveness of Saint risk appetite / risk tolerance and escalating such risks to the Council if they are perceived to be outside the risk appetite / tolerance of the City. Reviewing and providing guidance with respect to risk status and treatment plans for all top risks and escalating those that require a wider discussion at the Council level. Communicating with the ELT and the Internal Audit function regarding risk governance and oversight. The Internal Audit is responsible for: Providing independent assurance to the Finance Committee on the adequacy and The Controller is responsible for: Advising the Council and Finance Committee with respect to the status of the ERM framework and providing them with periodic updates on the current risk ecosystem of the City and the action plans elaborated to address top risks. Coordinating the enterprise risk management process to ensure methodological consistency, including facilitating external support where required. Coordinating and monitoring the capacity and effectiveness of risk management efforts to support the ongoing treatment of key corporate risks. Monitoring risk exposures rel Coordinating escalations of critical risks to the ELT and Finance Committee that fall Collating and reviewing the Risk Register, risk status and treatment plans, and the risk reports, as applicable on a quarterly basis. Participating in the ERM process. Coordinating appropriate risk management training for all employees. The Executive Leadership Team (ELT) is responsible for: Developing an ERM framework for approval by Council. 7! 7!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN Reviewing the effectiveness of the ERM system and directing improvements where necessary. various types. Acting upon the guidance received from the Council and Finance Committee with respect to risks and risk management efforts. Allocating resources and determining priorities internally to address risks in line with the strategic goals and resources given by the Council. Communicating with the SLT any guidance received from the Council or Finance Committee on risks and risk management efforts. Participating in the ERM process. The Senior Leadership Team (SLT) is responsible for: Periodically discussing and addressing key risks that are escalated to the ELT, and, if / risk tolerance. Providing oversight to ensure that risk owners are fulfilling their responsibilities as outlined in this policy. Periodically communicating with staff to ensure proper downward reporting of risk, risk management processes, and risk appetite / risk tolerance. Making operational decisions and overseeing the management of risks within their respective functions. Identifying new and emerging risks within their functions and assigning an appropriate risk owner. Participating in the ERM process. Risk owners are responsible for: Participating in the ERM process. Proactively monitoring and managing (identify, analyze, evaluate, treat, and report on) their assigned risks and critical processes. Completing and updating risk status and treatment plans for all assigned risks on a quarterly basis. Informing the SLT or ELT when additional resources are needed to adequately control risk 7. GLOSSARY Employee: refers to full-time, part-time, temporary (contract) and student employees at Saint John. Enterprise Risk Management (ERM): is a process, effected by an entity's board of directors (or comparable governing body), management and other personnel, applied in strategy setting and 8! 8!}!Qbhf! ! ERM POLICY FOR THE CITY OF SAINT JOHN across the enterprise, designed to identify potential events that mayaffect the entity, and manage risks to be within its risk appetite, to provide reasonable assurance regarding the achievement of entity objectives (COSO, 2019). Enterprise Risk Management (ERM) Framework: consists of appropriate structures to support risk management, formal assignment of risk responsibilities, procedures and systems for risk identification, assessment, reporting and ongoing monitoring of the effectiveness of risk mitigation actions and controls. Impact: The result or effect of a risk. There may be a range of possible impacts associated with a business objectives. Likelihood: The possibility that a given event will occur. Risk: The possibility that events occur (i.e., threats and opportunities) and affect the achievement of strategy and business objectives. It is a function of Likelihood (the chance that the risk will occur) and Impact (the result of the risk happening). Risk Appetite: The amount of risk to which the organization is prepared to be exposed before it judges that action is necessary. Risk Owner: An individual with the authority and responsibility to monitor, manage, and report on a specific risk. Risk Tolerance: The variability that Saint John is willing to accept relative to the stated risk appetite of the organization. 8. INQUIRIES For more information on the Policy, please contact the Controller. 9! 9!}!Qbhf! ! CityofSaintJohn Long-TermFinancialPlan FinanceCommittee March18,2026 (GeneralFund) Background In December 2019, the City launched its first- ever 10-year plan This plan was contingent upon elimination of the $10M structural deficit in 2020 The provincial short-term assistance ended in 2020 Last refresh of Long Term Financial Plan was in 2023 Presentation will focus on updating the plan for 2027-2036 LTFP Structure STABILITY Base Case Model PROSPERITY -Stretch Goal Model STRATEGY Borrowing Capital Investment Growth Expense Management PLAN ELEMENTS Reserve Balances Balanced Budget Debt per Capita Debt Service Ratio Debt % Operating Budget Reserves Infrastructure Deficit Wage TARGETS Escalation % Debt Balance Pay-as-you-Go Operating Budget Debt Management Capital Reserves Asset Management POLICIES Wage Escalation Capital Budget Long-Term Sustainability Increased Flexibility Decreased Vulnerability Accountability PRINCIPLES Principles of the Long-Term Financial Plan 1. Manage Financial Sustainability: infrastructure assets without unplanned increases in rates or disruptive cuts to services. 2. Minimize Financial Vulnerability: The degree to which Saint John is dependent on external funding sources that it cannot control; it is the level of risk that could impact the ability to meet existing financial obligations and commitments, including the delivery of services. 3. Maximize Financial Flexibility: obligations while ensuring intergenerational equity. 4. Accountability: Senior Leadership & Council must be responsible to all stakeholders for the actions and results of the plan. Council Approved Financial Policies Policy#Policy TitleStatus FAS-001Asset Management PolicyApproved FAS-002Investment Management PolicyApproved FAS-003Operating & Capital Reserves PolicyApproved FAS-004Operating Budget PolicyApproved FAS-005Capital Budget PolicyApproved FAS-006Debt Management PolicyApproved FAS-007Wage Escalation PolicyApproved FAS-020Long Term Financial Plan PolicyApproved FAS-021Budget Monitoring PolicyApproved FAS-022ABC Reporting PolicyApproved FAS-023Grant PolicyApproved Current 2023-2032 Long Term Financial Plan Targets 2026 LTFP 2026 LTFP MeasureDirection2026 Budget BaseStretch Debt per Lower is $815$1,258$1,050 Capita*better Debt Service Lower is 6.3%7.5%7.2% Ratiobetter Total Debt as a % of Lower is 31%39%37% Operating better Budget Debt Lower is $63.70M$72.40M$71.46M Balancebetter *Note Based on 2024 Population Data 78,165 Current 2023-2032 Long Term Financial Plan Targets 2026 LTFP 2026 LTFP MeasureDirection2026 Budget BaseStretch Assessment Higher is 1.53%3.0%5.0% Growthbetter Lower is Tax Rate$1.535$1.62$1.614 better Pay-as-you- Higher is Go $6.0M$5.45M$8.67M better Contribution Infrastructure Higher is Deficit 2.9%*11.4%15.90% better Reduction *Updated SOTI report in 2024 resulted in an increase of $75.66M in additional infrastructure deficit. Elements of the Long-Term Financial Plan 2026 Long Term Capital Financial Borrowing Investment Plan Update Expense Reserves Management Plan Requires Review and Updating Plan should be updated every 2-3 year to reflect current environment 2026 Long Inflation of goods and services has now stabilized Term Tax rate reduced to $1.535 much lower than prior plan Financial Interest rates are decreased and stabilized Special Pension payments are coming to an Plan end in first quarter of 2028 Province announced new stable funding for both operating and capital budgets Update Assumptions need to be revisited Financial performance better than current targets 2026 Tax Rate Comparison Saint JohnMonctonFrederictonRothesay Quispamsis $1.535 per $1.3614 per $1.3086 per $1.17 per $100 $1.2599 per $100 $100 $100 assessment$100 assessmentassessmentassessmentassessment City of Saint John needs to continue focus on being competitive 2026 Long Term Financial Plan Update Proposed Financial Targets PolicyMeasureTargetDue Date Operating Budget PolicyStructural budgetMaintain a structurally balanced budgetAnnual Debt Management PolicyDebt per capitaReduce to $575December 31, 2036 Debt Management PolicyDebt Service RatioReduce to 3.5%December 31, 2036 Debt Management PolicyDebt Outstanding as a % of Reduce to 20%December 31, 2036 Operating Budget Operating and Capital Reserves Operating fund balanceMaintain a minimum of 50% of allowable On going Policymaximum balance for unforeseen expenditures Asset Management PolicyInfrastructure DeficitReduce by 30%December 31, 2036 Wage Escalation PolicyAnnual Wages and Benefits Less than property tax growthAnnual Escalation % Debt Management PolicyDebt BalanceReduce to $47 millionDecember 31, 2036 VariousPay-as-you-GoIncrease to $17.5 million annuallyDecember 31, 2036 Financial Plan Assumptions -Base Property tax assessment growth of 2.77% per year Population growth estimated at 0.5% increase per year Pay-as-you-Go increases annually every year Inflation of goods and services of 2%-2.5% per year Tax rate reduced to 1.4450 by 2036 2026 Long Tax rate reduction of 6 cents between 2027 and 2029 to reflect large portion of savings from special pension Term payments. Strategic Plan funding remain stable at $1M annually Financial starting 2028 Interest rate on new borrowing at 3.5% per annum Plan Fiscal Capacity Funding fromPNB remains stable at 2026 level ($17.19M) Capital Renewal Fund from PNB remains stable at Update anticipated 2029 level ($7.295M) Annual borrowing levels to remain stable at $4.0M annually starting 2032 Saint John Energy Burchill windfarm benefit to remain stable at $1.2M annually 2026 Long Term Financial Plan Update 2028 End of Special Pension Payment Q1 Annual Savings Approx $11.7M $1.0M 8.55% $4.0M 34.19% $6.7M 6 cents 57.26% Property Tax Reduction Infrastructure Deficit Strategic Plan/Service Enhancements Base Plan Vs Stretch Plan City of Saint John Long-Term Financial Plan Financial Targets 2027-2036 2026 Long 202620362036 SustainabilityBudgetBaseStretch Debt per Capita$ 815$ 562 562 Term Assessment Growth1.5%2.8%5.0% Debt Service Ratio6.3%3.4%3.2% Total Debt as a % of Operating Budget31.1%19.3%17.8% Financial Infrastructure Deficit - Projected 2036 (Millions)$ 159.66$ 71.83$ 62.81 Plan Flexibility Tax Rate$ 1.535$ 1.445$ 1.287 Pay-as-you-Go (Millions)$ 6.00$ 17.62$ 25.20 Update New Capital (Millions)$ 3.50$ 4.48$ 5.84 Vulnerability Cumulative Debt Reduction (Millions since 2019)$ 39.8$ 54.3$ 56.70 Operating Reserves Total Balance (Millions)$ 7.7$ 7.7$ 7.7 Unconditional Grant % of Revenue8.4%7.1%6.5% 2027-2036 Base Case Long Term Financial Plan CityofSaintJohnµ 10YearPlanKeyPerformanceIndicators BaseModel 2027F2028F2029F2030F2031F2032F2033F2034F2035F2036F PropertyTaxRate 1.535 1.495 1.475 1.475 1.460 1.455 1.450 1.450 1.445 1.445 WageEscalationPolicy Allowable % Increase3.250%2.357%2.773%2.774%2.775%2.776%2.778%2.779%2.780%2.795% Allowable $ Value 2,648,393 1,981,138 2,138,718 2,105,713 2,164,946 2,225,864 2,288,516 2,352,952 2,419,223 2,500,116 Forecast $ Increase 2,558,198 (6,931,111) (1,218,641) 2,105,713 2,164,946 2,225,864 2,288,516 2,352,952 2,419,223 2,500,116 Result DebtPerCapita Forecast 805 797 790 853 793 735 681 637 602 562 Target 820 800 800 800 800 750 700 650 610 575 Result DebtServiceRatio Forecast 5.6%5.6%5.5%5.1%5.3%4.8%4.5%4.0%3.6%3.4% Target6.0%6.0%5.8%5.3%5.3%5.0%4.8%4.3%3.8%3.5% Result DebtOutstandingasa%ofOperatingBudget Forecast 30%30%30%32%29%27%24%22%21%19% Target32%32%32%32%30%30%25%25%23%20% Result AmountHeldinGeneralOperatingReserve-Totalheldreservesasa%ofprioryearbudgetedexpenditures Forecast 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 7,296,531 Target 5,125,974 5,213,684 5,212,112 5,272,892 5,391,131 5,468,413 5,576,875 5,687,898 5,817,544 5,934,320 Result InfrastructureDeficitReduction Forecast 17.0%25.7%30.6%34.8%37.3%39.9%42.7%46.2%50.0%54.3% Target17.5%20.0%25.0%25.0%30.0%35.0%35.0%35.0%35.0%35.0% Result Pay-As-You-Go Forecast 6,000,00010,022,37511,700,00012,715,00013,895,00014,545,000 14,750,000 16,155,000 16,792,500 17,615,000 Target 9,000,00010,000,00011,000,00012,000,00013,000,00014,000,000 14,500,000 15,500,000 16,500,000 17,500,000 Result BalanceofGeneralCapitalReserve Forecast 24,570,68927,570,68930,570,689 9,570,689 9,570,689 9,570,689 9,570,689 9,570,689 9,570,689 9,570,689 Result AnnualBorrowingandDebtBalance Borrowing 9,000,000 9,000,000 9,000,00014,000,000 4,500,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 Debt Balance 63,228,00062,927,00062,720,00068,013,00063,510,66659,198,333 55,100,333 51,792,666 49,221,333 46,845,333 2027-2036 Stretch Case Long Term Financial Plan CityofSaintJohnµ 10YearPlanKeyPerformanceIndicators Stretch 2027F2028F2029F2030F2031F2032F2033F2034F2035F2036F PropertyTaxRate 1.510 1.445 1.395 1.375 1.345 1.320 1.305 1.305 1.287 1.287 WageEscalationPolicy Allowable % Increase3.250%3.250%3.250%3.250%3.250%3.250%3.250%3.250%3.250%3.250% Allowable $ Value 2,648,393 2,731,534 2,506,273 2,466,667 2,546,834 2,629,606 2,715,068 2,803,308 2,894,416 2,988,484 Forecast $ Increase 2,558,198 (6,931,111) (1,218,641) 2,466,667 2,546,834 2,629,606 2,715,068 2,803,308 2,894,416 4,597,668 Result DebtPerCapita Forecast 805 797 790 853 793 735 681 637 602 562 Target 820 800 800 800 800 750 700 650 610 575 Result DebtServiceRatio Forecast 5.6%5.5%5.4%5.1%5.2%4.7%4.4%3.8%3.4%3.2% Target6.0%6.0%5.8%5.3%5.3%5.0%4.5%4.0%3.8%3.5% Result DebtOutstandingasa%ofOperatingBudget Forecast 30%30%30%31%28%26%23%21%19%18% Target32%32%32%32%30%30%25%25%23%20% Result AmountHeldinGeneralOperatingReserve-Totalheldreservesasa%ofprioryearbudgetedexpenditures Forecast 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 7,671,531 Target 5,125,974 5,213,684 5,212,112 5,272,892 5,391,131 5,468,413 5,576,875 5,687,898 5,817,544 5,934,320 Result InfrastructureDeficitReduction Forecast 17.0%26.0%31.0%35.3%37.9%40.7%44.5%49.8%56.2%63.9% Target17.5%25.0%30.0%30.0%35.0%35.0%40.0%45.0%50.0%60.0% Result Pay-As-You-Go Forecast 6,050,00010,677,37512,000,00013,000,00014,000,00015,000,001 17,000,000 20,000,000 22,594,000 25,196,000 Target 9,000,00010,000,00011,000,00012,000,00013,000,00014,000,000 14,500,000 15,500,000 16,500,000 17,500,000 Result BalanceofGeneralCapitalReserve Forecast 24,961,68928,476,68931,616,68910,679,68910,972,68911,341,689 11,397,889 13,829,679 16,288,369 19,760,829 Result AnnualBorrowingandDebtBalance Borrowing 9,000,000 9,000,000 9,000,00014,000,000 4,500,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 Debt Balance 63,228,00062,927,00062,720,00068,013,00063,510,66659,198,333 55,100,333 51,792,666 49,221,333 46,845,333 Long Term Financial Plan Journey 2036 LTFP 2036 LTFP MeasureDirection20192026 Target Base Target Stretch Lower is Tax Rate$1.785$1.535$1.445$1.287 better Debt per Lower is $1516$815$575$575 Capitabetter Debt Service Lower is 10.36%6.3%3.4%3.4% Ratiobetter Total Debt as a % of Lower is 64%31%20%20% Operating better Budget Lower is Debt Balance$102.41M$63.70M$46.85M$46.85M better Summary The plan is working both -2023 update and 2026 update resulted in actual results exceeding targets. Although 2026 resulted in lower property 2026 Long assessment than expected, following the plan allowed Council to approve a budget that met all financial policies, operational needs and a Term tax reduction. Financial The plan will form the Financial roadmap for the next Council over the next few years. Plan Staff will be back in April to bring final plan and policy updates based on Committee feedback Update file this presentation and direct any questions 2026 Long Term Questions? Financial Plan Update CityofSaintJohnLongTermFinancialPlan 2027-2036 1 Table of Contents Introduction 3 Conclusion 29 Financial Environment Discussion & Analysis 4 Appendices 31 !ƦƦĻƓķźǣ !ʹ /ƚǒƓĭźƌ͸ƭ tƩźƚƩźƷźĻƭʹ ЋЉЋЊΏЋЉЋЏ ЌЋ Opportunities 10 Appendix B: 10 Year Strategic Plan 34 Appendix C: Base Case Model Output 36 Financial Principles 13 Appendix D: Stretch Case Model Output 37 Appendix E: Allocation of Special Pension Payment 38 Savings Policies 15 Priorities and Strategic Plan 19 Financial Targets 21 Financial Strategy 23 Financial Health Monitoring 27 2 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Introduction Common Council passed its first Long Term Financial Plan in December 2019. The Strategic Plan makes a conscious commitment to update, develop and implement community and service plans and evaluate those plans to ensure all The pla n was implemented to address challenges in the following key areas: ƦƌğƓƭ ğƩĻ ƦƩƚƦĻƩƌǤ ƩĻƭƚǒƩĭĻķ ğƓķ ĬğƌğƓĭĻķ Ʒƚ ğĭŷźĻǝĻ ƷŷĻ /źƷǤ ƚŅ {ğźƓƷ WƚŷƓ͸ƭ 1. Stagnate tax base and population growth desired outcomes. The Strategic Plan is a living document intended to help Saint 2. The restrictions of the New Brunswick property tax system John grow upward and create a place where everyone can thrive over the next 3. The rising costs of labour and high debt service costs 10 years and beyond. LƷ Ĭǒźƌķƭ ƚƓ ƷŷĻ /źƷǤ͸ƭ ǝźƭźƚƓ ğƓķ ƒźƭƭźƚƓ Ʒƚ ĻƭƷğĬƌźƭŷ ƷŷĻ 4. The rising infrastructure deficit overarching strategic direction that will guide all other operational planning. In addition to the challenges, there were several barriers that were also Municipal action guided by the goals identified in the Strategic Plan will be identified. regularly updated to reflect the evolving needs, opportunities and challenges facing the community to ensure the City is focused on the right actions at the 1. Restrictive Collective Agreements right time. 2. Binding Arbitration 3. No Flexibility in operating expenses The Strategic Plan provides direction to ensure the City continues to keep other 4. Significant funding of temporary pension payments strategic plans and related policies current and up to date, while managing 5. Significant debt load resources so it can implement their respective recommendations. These 6. Infrastructure deficit ƭǒƦƦƚƩƷźƓŭ ƦƌğƓƭ źƓĭƌǒķĻ ƷŷĻ /źƷǤ͸ƭ aǒƓźĭźƦğƌ tƌğƓ ΛtƌğƓ{WΜͲ ƩğƓƭƦƚƩƷğƷźƚƓ tƌğƓ 7. New Deal obligations (MoveSJ), Parks & Recreation Plan (PlaySJ), Long-Term Financial Plan, City 8. Geographic footprint Market Strategic Plan and Climate Plans. 9. Cost of industry The implementation and adherence to the long-term financial plan over the The Strategic Plan guides service areas in the development of their work plans past six years has allowed the City to address several challenges and barriers over the next 10 years (strategies, actions, and initiatives) and alignment of identified. The City achieved population growth, higher than expected tax budgets to achieve the stated goals and objectives. The City is committed to assessment growth, property tax reforms, higher housing demands, and has implementing the plan, ensuring resources are invested in a balanced manner been able to reduce the tax rate to $1.535. over the course of its lifespan. The success of the plan assumes a continued healthy growth rate for the City of Saint John, as well as a disciplined approach These achievements exceeded the assumptions built into the current long-term to funding major projects, with planning to start well in advance of anticipated financial plan that was updated in 2023. timelines. The 2026 update to the Long-Term Financial Plan will update existing financial The 2027-2036 Long Term Financial Plan will offer updated financial strategies targets and goals, while continuing to adhere to existing financial policies. One to ensure the City can sustainably resource the Ten-Year Strategic Plan in these of the major factors that will drive the financial plan is the 2023-2032 Ten Year ǒƓĭĻƩƷğźƓ ĻĭƚƓƚƒźĭ ƷźƒĻƭ ǞŷźƌĻ ƌĻǝĻƩğŭźƓŭ ƭƷƩĻƷĭŷ ŭƚğƌƭ Ʒƚ źƓĭƩĻğƭĻ ƷŷĻ /źƷǤ͸ƭ Strategic Plan that was approved by Common Council in 2022. competitiveness. 3 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Financial Environment Discussion & Analysis 4 Financial Environment Discussion & Analysis 1.2023-2032 Ten Year Strategic Plan - Creating a Place to Thrive: źĬƩğƓƷ Α \[ĻǝĻƩğŭźƓŭ 9ƓǝźƭźƚƓ {ğźƓƷ WƚŷƓ źƓ ƦƩƚƒƚƷźƓŭ ĻǣƦğƓƭźƚƓ ğƓķ promotion of arts and culture in branding and tourism. Support for the OurCommitmenttotheCommunity Saint John Theatre Company with grant commitment for new Theatre, implementing five new enhanced recreational programs (Pickleball Court, The long-term financial plan will continue to center around the 10-year Sunshine Programs). Continued implementation of the Affordable Housing strategic plan approved by the Common Council in 2022. The long-term Action Plan, enhancing Councils Community Champion Award. financial plan will balance the funding of resources needed for the strategic plan, while ensuring the City continues to be financially tƩƚƭƦĻƩƚǒƭ Α ŷĻ /źƷǤ ŅźƓźƭŷĻķ ǞźƷŷ ƷŷĻ ƩĻķĻǝĻƌƚƦƒĻƓƷ ƚŅ ağƩƉĻƷ {ƌźƦͲ ƷŷĻ sustainable. implementation of the City Market Strategic Plan is well underway, the ŅƩğƒĻǞƚƩƉ ŅƚƩ ƷŷĻ bƚƩƷŷ 9Ɠķ bĻźŭŷĬƚǒƩŷƚƚķ tƌğƓ źƭ ĭƚƒƦƌĻƷĻķͲ ƷŷĻ /źƷǤ͸ƭ The strategic plan sets out four goals to achieve the vison for serving Saint tax rate has been reduced by 25 cents since implementation of the long- John term financial plan. Some municipal reform has been implemented such 1.Vibrant - We value a city that pulsates with life through arts, as stable Fiscal Capacity Funding and Capital Renewal Funding. culture, recreation, education, employment, innovation, and diversity. {ĻƩǝźĭĻ Α ƷŷĻ źƓƷĻŭƩğƷĻķ /ǒƭƷƚƒĻƩ {ĻƩǝźĭĻ /ĻƓƷƩĻ źƭ ŅǒƌƌźƓŭ ƚƦĻƩğƷźƚƓğƌͲ ƷŷĻ 2.Prosperous - We are creating an environment where all our City has made significant investments modernizing Saint John Transit citizens, neighborhoods, natural spaces, and businesses thrive. including electronic fares, on demand service, and electric buses. Main 3.Service - We are a professional public service and an engaged, street active transportation corridor was completed in 2025. The City has informed community working together to ensure quality and continued investing annually in traffic calming measures such as speed innovative service delivery that benefits all citizens in a growing cushions. The Saint John Fire service review was completed, along with Saint John. additional security measures at City facilities including implementing card 4.!ĭĭƚǒƓƷğĬƌĻ Α ‘Ļ ğƩĻ ĭƚƒƒźƷƷĻķ ǞźƷŷ ƚǒƩ ƦğƩƷƓĻƩ ğŭĻƓĭźĻƭͲ access. boards and commissions to demonstrate transparency in financial stewardship, performance management and reporting outcomes Accountable - Enhanced reporting of agencies, boards and commissions so taxpayers and customers see value in their investments. with implementation of ABC policy. The implementation of an internal audit team has resulted in significant savings such as the Trade and Each goal within the strategic plan lists the objectives and actions to be Convention Centre contract. Staff brought forward the first 5-year capital undertaken to reach the goals set out in the plan. The objectives and plan in 2025, that will be updated annually through the annual capital actions are to be undertaken over the term of the plan. Many of the budget approval process. Work on the 10-year Human Resource Strategy objectives and actions in the strategic plan have a financial component. is continuing, along with enhancement of employee recognition. (Annual Examples of achievements to date in the plan include but are not limited ..v ğƷ .ƚĬĬǤ͸ƭ IƚƭƦźĭĻͲ /ŷƩźƭƷƒğs Breakfast, BRAVO recognition). to; 5 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 2. Economic Conditions Inflation and Interest Rate Risk and Tariffs FIGURE 1 - BANK OF CANADA INTEREST RATES In 2025, the Province had an average annual CPI of 1.7% down significantly Date*Target (%)Change from the historical annual CPI in 2023 and 2024. 2025 saw more stable CPI index largely due from the removal of the Federal Carbon Tax resulting in 28-Jan-26 2.25--- a sharp drop in in fuel prices. There is continued pressure on CPI largely 10-Dec-25 2.25--- due to continued cost of shelter, electricity and food. 29-Oct-25 2.25-0.25 17-Sep-25 2.50-0.25 Home prices and rental costs have continued to remain strong and 30-Jul-25 2.75--- housing affordability continues to be an issue in Saint John. The City 4-Jun-25 2.75--- reduced the property tax rate from $1.785 to $1.535 per $100 of assessed 16-Apr-25 2.75--- value over the past 5 years, recognizing the tax burden on residential 12-Mar-25 2.75-0.25 homeowners due to the current real estate market. 29-Jan-25 3.00-0.25 Interest rates have dropped since the last update to the plan as shown in 11-Dec-24 3.25-0.50 Figure 1. Interest rates can increase cost of debt which impacts how the 23-Oct-24 3.75-0.50 City funds its Capital program. The Long Term Financial Plan mitigates this 4.25-0.25 4-Sep-24 4.50-0.25 24-Jul-24 risk by reducing reliance on debt to fund capital and increasing pay as you 5-Jun-24 4.75-0.25 go. 10-Apr-24 5.00--- In 2025, the United States elected Donald Trump as President and one of 6-Mar-24 5.00--- the administrations main objectives was to implement additional tariffs. 24-Jan-24 5.00--- The additional tariffs has created a lot of business uncertainty and 6-Dec-23 5.00--- negative impacts on inflation. The tariffs have an impact on the cost of 25-Oct-23 5.00--- goods for business and ultimately the consumer which can fuel 6-Sep-23 5.00--- inflationary pressures. A war was launched by the US and Isreal in March 12-Jul-23 5.000.25 2026 with Iran which will have a significant impact on fuel cost and will 7-Jun-23 4.750.25 drive the cost of goods and services up. 4-Apr-23 4.50--- 8-Mar-23 4.50--- New Brunswick has a large exposure and vulnerability to this risk as 90% 25-Jan-23 4.500.25 of NB exports go to the United States. Saint John has been identified as 7-Dec-22 4.250.50 ƚƓĻ ƚŅ /ğƓğķğ͸ƭ ƒƚƭƷ ƷğƩźŅŅΏĻǣƦƚƭĻķ ĭźƷźĻƭ ķǒĻ Ʒƚ źƷƭ ƩĻƌźğƓĭĻ ƚƓ ŷĻğǝǤ 26-Oct-22 3.750.50 industry and cross border trade. These unknown factors can have a direct 14-Sep-22 3.250.75 impact on the City and its property tax revenues.ConsumerPriceIndexMonthly- IndiceDesPrixALaConsommationMensuel1.pdf 2.501.00 13-Jul-22 6 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 3. The Restrictions of the New Brunswick Property Tax System Property tax revenues account for 77% of total City revenues (2026 FIGURE 2 - 2026 PROPERTY TAX RATES General Fund Operating Budget). Both the previous Council and current Saint John RothesayQuispamsisFrederictonMoncton Council have continued to push for changes to the property tax system. The current property tax system does not allow the City to enter vacated ResNon-ResResNon-ResResNon-ResResNon-ResResNon-Res provincial tax room due to the limit on the multiplier. The need for the City NB Rate0.5617 1.8560 0.5617 1.8560 0.5617 1.8560 0.5617 1.8560 0.5617 1.8560 to enter this room is an important issue for the City as it continues to Municipal1.5350 2.6095 1.1700 1.9890 1.2599 2.1418 1.3086 2.2246 1.3614 2.3144 manage significant infrastructure, new social responsibilities such as Total 2.0967 4.4655 1.7317 3.8450 1.8216 3.9978 1.8703 4.0806 1.9231 4.1704 affordable housing and homelessness. Figure 2 compares the tax rate in *Owner-occupied residential properties do not pay the 0.5617 provincial rate Saint John to other municipalities in New Brunswick. There have been some reforms implemented by the Provincial FIGURE 2.1 - TAX BASE GROWTH Government. On May 31, 2022, legislative amendments were introduced that would establish a new tax classification for Heavy Industrial and Non- Residential to allow local governments and rural districts to establish a local tax rate between 1.4 and 1.7 times the residential rate. This change eliminated the fixed 1.5 rate established by the Province on these two classes only. For the 2026 Operating Budget, Council approved a rate of 1.7 times for Heavy Industry and Non-Residential. There are still significant challenges in terms of tax burden on residential properties versus non-residential and Industrial properties. Figure 2.1 ĭƚƒƦğƩĻƭ ƷŷĻ /źƷǤ͸ƭ Ʒğǣ ĬğƭĻ ŭƩƚǞth from 2019 to 2026. Residential tax base has increased by 47.42% versus 18.46% for non-residential and 12.33% for Industrial tax base cumulatively from 2019 to 2026. Residential homeowners, despite the decrease in the property tax rate reductions, still account for the largest portion of increased property tax revenues. 7 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 In Saint John, industrial assessment base has increased by approximately $63 formula, elimination of core funding component and indexing equalization million when comparing 2018 to 2026. Figure 2.2 highlights the assessment payments to the Provincial Growth. value year over year. The Gardner Pinfold Industrial Report released on Other recommendations from the expert panel included the Province should January 20, 2020, summarized the following cost recovery observations by review its property tax assessment process and as part of Phase 2 of the generating tax revenue from Industrial tax base. Comprehensive Property Tax Reform, that municipalities need to generate 1. Direct Costs - $2.5 million for roads, $1.2 million for fire, and not more sources of revenue and there should be exploration of transferring quantified for Police more property tax room, cannabis revenue sharing, enhancing HST rebate 2. hƦƦƚƩƷǒƓźƷǤ /ƚƭƷƭ Α ǒƦ Ʒƚ υЌЋ ƒźƌƌźƚƓ for lost residential property tax for municipalities and property tax exemption for local government revenues and lost residential properties properties. 3. .ĻƓĻŅźƷƭ Α !ĬƚǒƷ υЊЋ ƒźllion in municipal tax revenue from heavy The Province announced in 2025 a new funding model to replace the industrial properties. Community Grant and Equalization payment. The Fiscal Capacity Funding The current legislation exempts most machinery and equipment from model resulted in Saint John receiving an additional $4.38M on top of the property taxes. Given the prevalence of heavy industry in Saint John, an amount received as Community Grant and Equalization payment in 2025.The industry that has a large proportion of machinery and equipment would have Province has also committed to a Capital Renewal Fund for municipalities to a significant impact on City tax revenues if taxed. Another example of lack of address the significant infrastructure deficit and to a complete overhaul of control or risk in setting rates occurred in 2026 when NB Powers Coleson the existing property tax system in 2027 after the assessment freeze Cove had its assessment reduced by $22M which will result in a loss of implemented for 2026. approximately $574K in 2027 for the City. FIGURE 2.2 - HEAVY INDUSTRIAL PROPERTY TAX Figure 2.2 shows how much Industrial Property Tax was actually paid to the City. Property tax rate was reduced each year due to significant tax burden of residential. Due to the City having no control over the tax differential, this class paid less property taxes in 2024 and 2025 and an overall tax increase of $53.5K (0.372%) from 2023 to 2026, despite an overall assessment increase of 5.93%. With the new assessment for Coleson Cove, any gains in industrial taxes will be wiped out and Industrial Tax revenue will likely be negative year over year in 2027. The Provincial Government developed a white paper late in 2021 recognizing the equalization formula would need to be adapted for the new local governance structure. An expert panel was formed and tasked with identifying, assessing, and proposing options for a new system of fiscal transfers between the Province and Local Government. A report was published in September 2022, with recommendations that included a new 8 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 4. Affordable Housing and Housing Supply 5. Homelessness/Social Responsibility/Public Safety Affordable housing and housing supply issues continues to a predominate Saint John has seen a significant rise in homelessness, social related issues issue in Saint John and in much of Canada as recovery from the COVID such as mental health and drug abuse that is a very challenging issue for pandemic continues. The Saint John region has benefited from an increase in residents, Council and protective services. The City has put a lot of staff and international and interprovincial migration and has put pressure on housing financial resources into addressing these issues and unfortunately these demand and supply. issues while being addressed, will not be easily solved. Average home price in Saint John was $366,989 2025 vs $340,097 in 2024. The impact on financial resources cannot be understated. The City now must (https://blog.remax.ca/saint-john-housing-market-outlook/) and as result of invest in more security guards for several of City facilities, such the City ƷŷĻ źƓĭƩĻğƭĻ źƓ Ʒŷźƭ ƩĻğƌ ĻƭƷğƷĻ ƒğƩƉĻƷ ƷŷĻ /źƷǤ͸ƭ Ʒğǣ ĬğƭĻ ŷğƭ ŭƩƚǞƓ ƒǒĭŷ Market and Customer Service. There has been more Police hired which higher than expected except in 2026, the Province froze assessments. formed the Quick Response Team, to focus on the more challenging areas of the City. Most recently the City created a Community Safety Service team to LƓ {ĻƦƷĻƒĬĻƩ ƚŅ ЋЉЋЋͲ ƷŷĻ /źƷǤ͸ƭ DƩowth Committee released a draft address emerging and escalating community safety concerns through Affordable Housing Action Plan. The plan highlighted some of the most coordinated, non policing responses and targeting interventions. relevant trends in Saint John There has also been investment by the City to assist with providing Outreach 1. Recent growth and changing demographics services along with various temporary or transitional housing services. Along 2. Escalating rental costs and house prices with the services the City is providing, there is also significant cost being 3. Diminished housing access and affordability incurred annually with homeless encampments in terms of monitoring sites, 4. Emerging challenges, gaps and barriers within the housing market Public Safety responses and cost of cleaning up sites when vacated. This City, along with funding commitments from the Federal and Provincial This issue takes away the focus on thĻ /źƷǤ͸ƭ ĭƚƩĻ ĬǒƭźƓĻƭƭ ğƓķ ŷğƭ ŷğķ ğ Government have undertaken several strategies to increase access to large impact on staff resources but also a significant impact on financial affordable housing and increase housing supply. The Housing Accelerator resources which is not only putting pressure on the tax rate but diverting Funding and Rapid Housing Initiative are Federal funding programs that are funding from other core service delivery. helping to address these challenges. The outcome of the housing affordability and supply issue has created a homelessness crisis in Saint John. 9 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Opportunities 10 Opportunities While the financial environment may be challenging, there are opportunities from tourism, and transportation as the Commission continues to available for the City. These prospects, if leveraged, will help address some move forward. of the financial challenges previously discussed.  January 1, 2023 tax reforms allowed Saint John to move the Heavy Industrial and Non-Residential tax rate from 1.4 to 1.7 times the City 1. The End of the Shared Risk Pension Top-up Contributions residential rate, from the fixed 1.5 rate. On January 1st, 2013, the City converted its pension plan to a shared risk  January 1, 2026 Operating and Capital budgets include additional model. The objective of this new plan was to attain a minimum funded ratio stable funding due to the Provincial announcement of new Fiscal of 150% (as calculated under Pension legislation). To achieve this ratio, the Capacity Funding and Capital Investment Funding. City is required to make additional contributions over and above its annual 3. Catalytic Projects and Advocacy required contributions. As such, the city has been required to make an additional 17% of employee earnings for a period of 15 years. This additional Common Council is committed to working across all levels of government contribution is typically approximately $10 million. These payments end after ğƓķ ƭĻĭƷƚƩƭ Ʒƚ ǒƓƌƚĭƉ ƷŷĻ /źƷǤ͸ƭ ğƓķ ƩĻŭźƚƓƭ ŭƩƚǞƷŷ ƦƚƷĻƓƷźğƌ͵ /ƚǒƓĭźƌ ŷğƭ the first quarter in 2028. identified four catalytic infrastructure projects. 2. Ongoing Municipal Reform 1. LƓƓƚǝğƷźǝĻ /ĻƓƷƩğƌ tĻƓźƓƭǒƌğ \[ĻğƩƓźƓŭ /ƚƒƒƚƓƭ Α ŷĻ ƓĻǞ ǒƩĬğƓ school will also be a community hub to support and revitalize the The provincial government presented and released its white paper in 2021, south-central peninsula neighbourhood. ͻ‘ƚƩƉźƓŭ ƷƚŭĻƷŷĻƩ ŅƩƚƒ ǝźĬƩğƓƷ ğƓķ ƭǒƭƷğźƓğĬƌĻ ĭƚƒƒǒƓźƷźĻƭͼ͵ ŷźƭ ƩĻƦƚƩƷ 2. wĻķĻǝĻƌƚƦƒĻƓƷ ƚŅ CǒƓķǤ vǒğǤ Α {źte work is well underway with presented various items for municipal reform, however the most important construction beginning in 2023. This mixed used project will Ʒƚ {ğźƓƷ WƚŷƓ͸ƭ ŅźƓğƓĭźğƌ ŷĻğƌƷŷ ĭƚƓƭźƭƷĻķ ƚŅ ƷŷĻ ŅƚƌƌƚǞźƓŭ͵ ƷƩğƓƭŅƚƩƒ {ğźƓƷ WƚŷƓ͸ƭ ǒƩĬğƓ ǞğƷĻƩŅƩƚƓƷ ğƓķ ĬƚƚƭƷ ƷƚǒƩźƭƒ͵  Regional Service Commission: The mandates were expanded to 3. bĻǞ /ƚƒƦƩĻŷĻƓƭźǝĻ wĻĭƩĻğƷźƚƓğƌ CğĭźƌźƷǤ Α ! ƌğƩŭĻ ƒǒƌƷźƦǒƩƦƚƭĻ include economic development, community development, regional facility will also replace aging arenas. The more modern facility will tourism promotion, regional transportation and cost sharing of not only improve community wellness and service but boost regional recreation infrastructure. The new Fundy Regional Service attractiveness to our region. Commission came into effect, January 1, 2023. The most significant 4. LƓǝĻƭƷƒĻƓƷ źƓ LƓķǒƭƷƩźğƌ tğƩƉƭ Α ŷĻ /źƷǤ źƭ ƌƚƚƉźƓŭ Ʒƚ ĻǣƦğƓķ ƌğƓķƭ benefit was operating costs and capital costs for all regional facilities and investments in its industrial parks to fuel economic growth by would now be part of the contributions made by municipalities attracting new businesses and skilled workers. annually. There are opportunities for Saint John to receive benefits Common Council has also approved four catalytic advocacy efforts; continued comprehensive tax reform, matching dollars for bilateral funding, affordable housing, and post-secondary education. 11 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 4. Saint John Energy Growth Agenda Saint John Energy began in 2012 to strategically reposition the company to in Canada. This investment is expected to create up to 100 jobs by the end meet the technological change and societal expectations for the utility while of 2029.The growth will support regional suppliers and contractors, still maintaining the traditional services and benefits for the Saint John developing clustering opportunities to related businesses and generate tax ĭƚƒƒǒƓźƷǤ͵ {ğźƓƷ WƚŷƓ 9ƓĻƩŭǤ ƦǒĬƌźƭŷĻķ ƷŷĻźƩ ƭƷƩğƷĻŭǤ ŅƚƩ ŭƩƚǞƷŷͲ ͻ9ƓƭǒƩźƓŭ revenue. The potential of business growth, job growth and expansion of ğ {ǒƭƷğźƓğĬƌĻ CǒƷǒƩĻͼ źƓ ЋЉЊВ͵ business will lead to potential property tax growth. The strategy lays out initiatives across three broad categories. 6. North End Neighborhood Plan 1. Renewable energy generation and storage City staff completed the first draft of the North End Neighborhood Plan and 2. Smart energy services for consumers was brought forward to Common Council in December 2025. The density of 3. Strategic partnership opportunities. development will be a key element in the success of the plan. The benefits of density can expand customer base for local businesses, broaden the pool of As the owner, the City of Saint John receives benefits of approximately $2 employment opportunities, activate public spaces and street and ensure million annually in energy savings. Saint John Energy has undertaken a infrastructure investments by the City and other partners are financially project with a private partnership to build a wind farm known as the Burchill viable. Wind Farm that has a direct financial benefit of approximately $14.47 million from 2026-2035. This benefit has been built into the updated financial plan. The plan for the North End will help address the housing shortage, the affordability of housing and rental units and be a catalyst for investment and Under this agenda and a new structure for Saint John Energy, the return on revitalization of the area which in turn will increase property tax revenues for equity would contribute to additional growth opportunities aligned with the City. ŭƚǝĻƩƓƒĻƓƷ ƦƚƌźĭǤ ğƓķ ƷŷĻ /źƷǤ͸ƭ ƭǒƭƷğźƓğĬźƌźƷǤ͵ ŷĻ ŭƚğƌ ƚǝĻƩ ƷźƒĻ źƭ Ʒƚ ŷĻƌƦ the City reduce reliance on property tax revenue and the Provin cial 7. Enterprise Resource Planning/Enterprise Risk Management/Performance Community Capacity Funding. Management 5. Saint John Port Expansion The City is embarking on replacing its enterprise resource planning system starting in 2026. This is a generational transformation for the City allowing The Saint John Port completed in 2024 a $205 million initiative that has improved financial reporting, creating operational efficiency, better significantly expanded capacity and caƦğĬźƌźƷźĻƭ Ʒƚ ƭƷƩĻƓŭƷŷĻƓ ƷŷĻ tƚƩƷ͸ƭ workflows, increased data security. This will play a key role in better position as part of the Atlantic Gateway. performance management that is critical to increasing productivity, employee engagement, continuous improvement and decision making for The resulting growth in container cargo is expected to create an additional the operation of the City. The last key initiative is the continued 500 jobs over time. Industry has undertaken to modernize its existing implementation if the Enterprise Risk Management System. All three of transportation and rail operations as part of Logistics Park. these key initiatives will transform how the City operates, performs, makes Americold, a global leader in temperature-controlled logistics and decisions and provide value to the taxpayers of Saint John. warehouses is building its first Import-Export Hub at Port Saint John, its first 12 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Financial Principles 13 Financial Principles The current financial state of the City of Saint John did not happen overnight. The only way to continued long-term financial security is to diligently plan In fact, the road that has led to the present day is comprised of many factors and then continue to execute over the long-term. Four key financial and encompasses numerous decisions. The approval of a 10-year long term principles have been identified: Sustainability, Flexibility, Vulnerability and financial plan in 2019 has put Saint John on a path of long-term financial Accountability. sustainability. These principles remain the same for the updated plan. Principle Description & Importance Implementation Long-Term Sustainability  ͻ{ǒƭƷğźƓğĬźƌźƷǤ ŅƚĭǒƭĻƭ ƚƓ ƒĻĻƷźƓŭ ƷŷĻ ƓĻĻķƭ ƚŅ  Ensure goal congruence Α operating & capital budgets, debt management & the present without compromising the ability of expenditures take into account the overall organizational long-term financial 2 ŅǒƷǒƩĻ ŭĻƓĻƩğƷźƚƓƭ Ʒƚ ƒĻĻƷ ƷŷĻźƩ ƓĻĻķƭ͵ͼstrategy.  A decision that may benefit the short-term may  Maintaining appropriate reserve fund balances not necessarily be good for the long-term. This  Evaluation of long-term impact of decisions. Dismissing options that are principle ensures that due care is taken to evaluate detrimental to long-term sustainability. future considerations.  Exercising fiscal responsibility as it pertains to affordability and debt management. Increased Flexibility  Flexibility is the ability to cover expenditures while  The reduction of infrastructure deficit has increased flexibility. still having funds available for reserves, debt  Reducing debt load will reduce principal and interest payments. repayment, .and other opportunities  It is important to maintain a structurally sound operating budget where operating revenues naturally exceed operating expenditures to ensure the ability to meet future spending needs. Reduced Vulnerability  ŷĻ ĭźƷǤ ƓĻĻķƭ Ʒƚ ƩĻķǒĭĻͲ źŅ ƓƚƷ ĻƌźƒźƓğƷĻ źƷ͸ƭ ƓĻĻķ  To eliminate the reliance on provincial equalization to fund day-to-day of provincial government funding through the operations. equalization grant to meet its basic spending  To be able to fund demands of tax base without the need for outside assistance. needs.  The ability to grow own source revenue to cover required expenditures Accountability  !ĭĭƚǒƓƷğĬźƌźƷǤ ƒĻğƓƭ ƷŷğƷ ƷŷĻ /źƷǤ͸ƭ {ĻƓźƚƩ  Establishment of clear financial indicators that evaluate actual results compared Leadership and Council must be responsible to all to planned results. stakeholders for the actions and results of this  Monitoring of results on a regular basis. plan.  Making adjustments to goals, initiatives and actions when results are not  Accountability is important as it will ensure consistent to desired outcome. alignment of all departments and areas of the organization to ensure compliance to the plan. 2 https://www.investopedia.com/terms/s/sustainability.asp 14 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Policies 15 box Policies The purpose of having a long-term financial plan is to have a road map to will only be issued to finance projects approved in the Capital Budget and the ƩĻğĭŷ ğ ķĻŅźƓĻķ ƭĻƷ ƚŅ ŭƚğƌƭ͵ LƓ ƷŷĻ /źƷǤ͸ƭ ĭğƭĻͲ ƷŷĻ ƓǒƒĬĻƩ ƚƓĻ ŭƚğƌ źƭ Ʒƚ ĬĻ /ğƦźƷğƌ LƓǝĻƭƷƒĻƓƷ tƌğƓ Α ƓĻǝĻƩ Ʒƚ ŅǒƓķ ƚƦĻƩğƷźƓŭ ƚƩ ƒğźƓƷĻƓğƓĭĻ ĭƚƭƷƭ͵ ŷĻ financially sustainable. A number of best practice policies have been adopted other key limits and targets are as follows: by council to help achieve this goal. These policies are meant to follow Limits (From the New Brunswick Local Governance Act): several key financial values:  Borrowings in any one year shall not exceed: 1. Don͸t Spend More Money than you make  4% of budget or $15k per year, whichever is greater  2% of the assessed value of real property If every year a person uses credit cards to pay for things that they need, but  Total amount borrowed shall not exceed 6% of the assessed ĭğƓ͸Ʒ ğŅŅƚƩķͲ ƷŷĻǤ Ǟźƌƌ ķźŭ ƷŷĻƒƭĻƌǝĻƭ ğ ŅźƓğncial hole that will be very difficult value of real property to get out of. Every year, their debt levels will get higher and a larger portion Key Performance Indicators of Debt Limits of the General Fund: of their money will go to funding their minimum payments. That is why it is  Debt per Capita shall not exceed $1600 important to only spend the money you have made, thereby living within  The Debt Service Ratio shall not exceed 12% your means. The Operating Budget Policy (FAS-004) was established to  Total debt outstanding as a percentage of the Operating Budget strengthen financial sustainability and reduce financial vulnerability. It is shall not exceed 70% summarized as follows: Targets to be achieved and maintained after 2036:  Maintain a structurally balanced budget: Recurring operating  Debt per Capita of $600 expenses should be covered by recurring operating revenues  The Debt Service Ratio to be 4.0%  The City needs to be able to function without having to rely on Total debt outstanding as a percentage of the Operating Budget to be 25% revenue sources outside of its control  One time revenues should only be used for one time expenses 3. Save your Money for a Rainy Day 2. Borrow Wisely Everyone knows that surprises happen. There will always be unforeseen expenses that will come up and sometimes the money to cover said expenses While it would be great to be able to pay cash for everything, the reality is will not be available. So, in order to ensure the City remains in compliance that at some point or another debt will become a fact of life, especially when with the Debt Management and Operating Budget policies, an Operating and it comes to large ticket items such as houses or cars. The Debt Management Capital Reserves Policy (FAS-003) was created. This policy allows the City to Policy (FAS-006) sets out the acceptable conditions for the use of debt in set aside money to use for future operating expenses and capital addition to debt limits, targets and capacity. It stipulates that long-term debt expenditures. The stipulations are: 16 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 5. Take Control of Your Expenses before they take Control of You  Reserves are meant to provide for:  Major unanticipated events For the majority of people who do not receive significant pay increases every  Major Capital renewal year, the smallest of increase in basic expenses such as rent, mortgage  Future Liabilities payments and electricity have a major impact on their monthly spending.  One-time operating expenses which are greater than Think about how hard it would be to manage if your rent increased by 3% or $100,000 that are not part of the operating budget so every single year, when your pay only increased by 1%. There will come a  Infrastructure deficit point where living in your apartment will simply not be affordable any longer.  Investment growth opportunities For the City, as described earlier in this report, total wage expenses have been increasing at a much faster rate than revenue. It is to this end that the 4. Take Good Care of your Property Wage Escalation Policy (FAS-007) was created. This policy is meant to ensure that: When you own a car, you know that routine maintenance such as changing the oil and rotating the tires will help extend the life of your vehicle as well  The City spends within its means as minimize the operating expenses in the long run. Also, once the car gets  Wage escalation does not cause a tax rate increase in order to old, there is an optimal time to replace it before the maintenance charges balance the General Operating Budget become too high. City assets are very similar and for that reason, an Asset  Wage escalation does not cause a reduction in service levels in Management Policy (FAS-001) was created. The specific objectives of the order to balance the General Operating Budget Asset Management Policy are to:  Wage escalation does not excĻĻķ ƷŷĻ /źƷǤ͸ƭ ğƭƭĻƭƭƒĻƓƷ ĬğƭĻ growth  Improve the reliability of customer service by maintaining clearly  All employee groups are treated equitably defined levels of service by maintaining assets in good condition  LƒƦƩƚǝĻ ƷŷĻ ķĻĭźƭźƚƓƭ ƩĻƌğƷĻķ Ʒƚ ƷŷĻ ƒğƓğŭĻƒĻƓƷ ƚŅ ƷŷĻ /źƷǤ͸ƭ 6. Fix the roof before you buy new living room furniture assets  Improve the transparency and accountability of community The Capital Budget Policy (FAS-005) of the City advises that the capital budget źƓǝĻƭƷƒĻƓƷƭ źƓ ƷŷĻ ƒğƓğŭĻƒĻƓƷ ƚŅ ƷŷĻ /źƷǤ͸ƭ ğƭƭĻƷƭ shall comprise of 80% capital renewal and 20% for new capital. It also  LƒƦƩƚǝĻ ƷŷĻ ƒğƓğŭĻƒĻƓƷ ƚŅ ƷŷĻ /źƷǤ͸ƭ ĻǣƦƚƭǒƩĻ Ʒƚ ƩźƭƉƭ ƚŅ ƩĻķǒĭĻķ prescribes the priority in which capital money is spent each year, specifying service delivery that capital projects will be completed in the following order:  Facilitate the leveraging of partnerships and infrastructure funding from external sources. 1. Mandatory 2. Risk 3. Priority of Council 4. Positive Financial Impact 5. Discretionary 17 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 This means that given the limited available money to spend, the leaky roof Committees based on funding. The policy was established to address an will need to be replaced before new living room furniture can be purchased. opportunity of communication and build upon the mutual understanding The Capital budget policy follows four key principles and strategies: ĬĻƷǞĻĻƓ !./͸ƭ ğƓķ ƦƩƚƒƚƷĻ ƷƩğƓƭƦğƩĻƓĭǤ͵ affordability, ownership, fiscal responsibility, and asset management. 7. Keep track of your money The Budget Monitoring Policy (FAS-021) is a policy that enhances accuracy, accountability and control by ensuring budget allocations are managed and adhered to according to policy. The policy enhances fiscal responsibility and ŅźƓğƓĭźğƌ ŅƌĻǣźĬźƌźƷǤ ĬǤ źƓƷĻŭƩğƷźƓŭ ĬǒķŭĻƷ ƒƚƓźƷƚƩźƓŭ ƦƩğĭƷźĭĻƭ ǞźƷŷ ƷŷĻ /źƷǤ͸ƭ reserve fund and debt management strategies. The policy ensures personnel and non personnel budgets are managed separately, annual operating revenues and expenditures match forecasts, financial controls to ensure resources are funded and spent in a fiscally prudent manner. 8. Make sure your dependent is achieving results at university University is a significant investment. When a dependent goes off to university and you are helping pay for room and board, books, tuition and other expenses, there is an expectation they are meeting their obligations, which is going to class, performing, meeting their goals and this can be measured by the results the student receives for marks. Some Agencies, Boards, and Commissions are heavily subsidized and dependent on City taxpayer funds. ŷźƭ /źƷǤ͸ƭ ŅǒƓķźƓŭ ŅƚƩ !./͸ƭ źƭ ğ ƭźŭƓźŅźĭğƓƷ ƦƚƩƷźƚƓ ƚŅ ƷŷĻ ğƓƓǒğƌ ƚƦĻƩğƷźƓŭ ĬǒķŭĻƷ͵ LƷ źƭ źƒƦĻƩğƷźǝĻ ƷŷğƷ ƷŷĻ !./͸ƭ ğƩĻ ğƌźŭƓĻķ ǞźƷŷ ƷŷĻ /źƷǤ͸ƭ ƚĬƆĻĭƷźǝĻƭͲ various plans and is operating in a fiscally responsible manner. The Agencies, Boards, and Commissions (ABC) Policy (FAS-022) sets out standardized reporting templates and guidelines with reporting to the City. The reporting ensures there are key performance indicators, financial results, growth and operational results are included in the reporting requirements. ŷĻƩĻ źƭ ğƌƭƚ ƩĻƨǒźƩĻƒĻƓƷ Ʒƚ ƦƩĻƭĻƓƷ ğƓ ğƓƓǒğƌ ƩĻƦƚƩƷ Ʒƚ ƚƓĻ ƷŷĻ /źƷǤ͸ƭ 18 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Council Priorities and Strategic Plan 19 Priorities The strategic plan sets out the following four goals to achieve the vision for In addition to taking all the above items, the Ten-Year Financial Plan will take serving Saint John. źƓƷƚ ĭƚƓƭźķĻƩğƷźƚƓ /ƚǒƓĭźƌ͸ƭ tƩźƚƩźƷźĻƭ ğƭ defined in 2021. These priorities are  Vibrant - We value a city that pulsates with life through arts, culture, divided into four categories: recreation, education, employment, innovation, and diversity.  DƩƚǞ Α ‘Ļ ǝğƌǒĻ ƭƒğƩƷ ŭƩƚǞƷŷ  Prosperous - We are creating an environment where all our citizens,  DƩĻĻƓ Α ‘Ļ ǝğƌǒĻ ƷŷĻ ĻƓǝźƩƚƓƒĻƓƷ neighbourhoods, natural spaces, and businesses thrive.  .ĻƌƚƓŭ Α ‘Ļ ǝğƌǒĻ ğ ǞĻƌĭƚƒźƓŭ ĭƚƒƒǒƓźƷǤ  Service - We are a professional public service and an engaged,  aƚǝĻ Α ‘Ļ ǝğƌǒĻ ƭǒƭƷğźƓğĬƌe transportation choices informed community working together to ensure quality and  tĻƩŅƚƩƒ Α ‘Ļ ǝğƌǒĻ ƷŷĻ ĬĻƭƷ ǒƭĻ ƚŅ ƚǒƩ ƩĻƭƚǒƩĭĻƭ innovative service delivery that benefits all citizens in a growing Saint John.  Accountable - We are committed, with our partner agencies, boards, ŷĻ Ņǒƌƌ ƌźƭƷ ƚŅ /ƚǒƓĭźƌ͸ƭ tƩźƚƩźƷźĻƭ ĭğƓ ĬĻ ŅƚǒƓķ źƓ !ƦƦĻƓķźǣ !͵ and commissions, to demonstrate transparency in financial stewardship, performance management and reporting outcomes so our taxpayers and customers see value in their investments. Strategic Plan The strategic plan is an integral part of the updated financial plan. Additional information on the plan can be found in Appendix B. The Strategic Plan provides overarchinŭ ķźƩĻĭƷźƚƓ Ʒƚ ĻƓƭǒƩĻ ğƌƌ ƷŷĻ /źƷǤ͸ƭ plans and policies are working together, while also guiding the creation of new ones. The plan is the promise to keep the public updated as the City measures and improves progress. The City will uphold commitments, working together to take a transparent and financially sustainable approach to follow through on goals. The Strategic Plan has been developed through a comprehensive consultation process with citizens, key stakeholders, employees and economic development consultants. 20 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Financial Targets 21 Financial Targets As part of the first long term financial plan, the Finance Committee approved .ğƭĻķ ƚƓ ƷŷĻ /źƷǤ͸ƭ ğķƚƦƷĻķ tƩźƓĭźƦƌĻƭͲ Policies and Priorities, achieving the a number of key financial policies to guide decision making around long-term following financial targets have been identified as critical to sustainability. financial planning. Within these policies, the Finance Committee has set targets that served as the foundation of this financial plan. Policy Measure Target Due Date Operating Budget Policy Structural budget Maintain a structurally balanced budget Annual Debt Management Policy Debt per capita Reduce to $600 December 31, 2036 Debt Management Policy Debt Service Ratio Reduce to 4.0% December 31, 2036 Debt Management Policy Debt Outstanding as a % of Reduce to 25% December 31, 2036 Operating Budget Operating and Capital Reserves Operating fund balance Maintain a minimum of $2 million for unforeseen On going Policy expenditures Asset Management Policy Infrastructure Deficit Reduce by 25% December 31, 2036 Wage Escalation Policy Annual Wages and Benefits Less than property tax growth Annual Escalation % Debt Management Policy Debt Balance Reduce to $47 million December 31, 2036 Various Pay-as-you-Go Increase to $17.5 million annually December 31, 2036 22 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Financial Strategy 23 2026 Budget Α ͻThe Freezeͼ *Note for purposes of property tax, consideration must be given for The operating budget for 2026 was established with a frozen tax assessment competitiveness, if the gap grows between Saint John and other implemented by the Province. This freeze was partially due to significant municipalities, tax rate reduction must be considered. market increases in assessment over the last few years and a reset as the Province prepares to role out a new property tax system in 2027. The freeze Appendix C summarizes the 10-year annual operating results of the Base was partially offset by new operating and capital funding from the Province Case financial model. to replace the unconditional grant as part of the tax reform plan. The 10-year baseline forecast in Appendix C meets all the financial targets. Specifically, the budget is balanced, funding for strategic investments, the Base Case 10 Year Financial Plan total debt load has been reduced, and infrastructure deficit declines by 2036. Figure 4 displays the long-term debt balance from 2014 to 2036. The Base Case financial plan scenario is founded on maintaining and funding current service levels. It focuses on actioning the strategic plan while meeting CLD…w9 Ѝ Α D9b9w!\[ C…b5 LONG-TERM DEBT BALANCE the financial goals and targets set out in the plan. The following has been assumed within the Base Case Financial Plan:  Property tax assessment growth of 3.0% per year for Residential, 2.5% for Non-Residential and 2.0% for Heavy Industrial  Pay-as-you-Go to reach $17.5 million by 2036  Inflation of goods and services 2.25% annually  Tax rate target of $1.4450 by 2036  Interest rate on new borrowing 3.5% for balance of plan  Fiscal Capacity Funding portion from the Province of New Brunswick remain flat  Benefits from Saint John Energy included  Own source revenue increases between 0.5% to 1.5%  Population growth 0.5% annually  Strategic initiatives funding of $10.75M over term of plan 24 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 CźƓğƓĭźğƌ {ƷƩğƷĻŭǤ Α .ğƭĻ /ğƭĻ F igure 4.1 presents the trendline between outstanding long-term debt balance at the end of 2021 and new long-term debt balances expected to be outstanding by end of 2036. In addition to meeting the long-term debt balance targets, the 10-year base case builds in additional funding for starting in 2027 to fund strategic initiatives. See figure 4.2. Appendix C summarizes the 10-year annual results of the Base Goal financial model. FIGURE 4.2 - TAX RATE & STRATEGIC INITIATIVES FUNDING CLD…w9 Ѝ͵Ћ Α !– w!9 !b5 {w!9DL/ LbLL!L9{ C…b5LbD 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 TAX RATE $1.535 $1.495 $1.475 $1.475 $1.460 $1.455 $1.450 $1.450 $1.445 $1.445 STRATEGIC INITIATIVES $0.75M $1.00M $1.00M $1.00M $1.00M $1.00M $1.00M $1.00M $1.00M $1.00M FUNDING 25 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 CźƓğƓĭźğƌ {ƷƩğƷĻŭǤ Α {ƷƩĻƷĭŷ Dƚğƌ Stretch Goal 10 Year Financial Plan The goal in the stretch case is combination of tax rate reduction, accelerating The following has been assumed in the Stretch Case Financial Plan: the strategic plan and meeting or exceeding financial goals and targets set  5% Property Tax Base growth in Residential, Non-Residential and in out in the plan. Heavy Industry The stretch goals provide staff direction from Finance Committee and  Empowerment of municipalities to generate more of their own Common Council when the City exceeds base case targets. revenue  Inflation of goods and services of 2.25% in 2026 and onwards Figure 5 highlights the tax rate goals each year with a goal of $1.2865 by annually 2036. The annual funding starting in 2027 for strategic initiatives will equal  Fiscal Capacity Funding will remain flat for the purpose of this plan. approximately $37 million dollars over the term of the plan if the City  Accelerating the Strategic Plan with a competitive tax rate and achieves its stretch goals. approximately $37 million dollars over the term of the plan to be applied to strategic initiatives Appendix D summarizes the 10-year annual results of the Stretch FIGURE 5 - TAX RATE & STRATEGIC Goal financial model. INITIATIVES FUNDING CLD…w9 Ў Α !– w!9 !b5 {w!9DL/ LbLL!L9{ C…b5LbD 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 TAX RATE $1.5100 $1.4450 $1.3950 $1.3750 $1.3450 $1.3200 $1.3050 $1.3050 $1.2865 $1.2865 STRATEGIC INITIATIVES $0.75M $1.275M $1.970M $2.933M $4.233M $4.606M $5.344M $5.344M $5.344M $5.344M FUNDING 26 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Financial Health Monitoring 27 Financial Health Monitoring Now that the path to sustainability has been defined and the targets set, the 2026 results are very encouraging as several key performance indicators on key will be to monitor actual results as they compare to the plan and make the scorecard are on target of exceeding targets. Tax rate has exceeded the updates where necessary. Annual monitoring is done by the Finance base case, debt per capita, total debt as a % of the operating budget, pay as Committee for annual update and presentation to Council. In order to you go is exceeding target that was set for 2026 under the prior Long Term achieve subjective monitoring, a Financial Health Scorecard has been used to Financial Plan. track the progress compared to the plan. Below exhibit presents the financial health scorecard for 2026 based on the current Long-Term Financial Plan and the 2026 Operating Budget. EXHIBIT Α FINANCIAL HEALTH SCORECARD 2026 PRINCIPLE 2026 BUDGET 2026 BASE 2026 STRETCH Debt per Capita Sustainability $815 $1,258 $1,050 Assessment Growth Sustainability 1.53% 3.0% 5.0% Debt Service Ratio Sustainability 6.3% 7.5% 7.2% Tax Rate Flexibility $1.535 $1.62 $1.614 Total Debt as a % of Operating Budget Sustainability 31% 39% 37% Cumulative Debt Reduction (Millions $) since ending Sustainability $39,846,103 $31,146,770 $32,080,103 2019 Pay-as-you-Go Contribution Flexibility $6,000,000 $5,445,000 $8,671,300 Infrastructure Deficit Reduction since 2024 Sustainability 2.9% 11.4% 15.9% Unconditional Grant (% of Total Revenue) Vulnerability 8.38% 7.40% 7.20% 28 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Conclusion 29 Conclusion ŷźƭ źƭ ƷŷĻ /źƷǤ ƚŅ {ğźƓƷ WƚŷƓ͸ƭ {ĻĭƚƓķ ǒƦķğƷĻ Ʒƚ ƷŷĻ \[ƚƓŭΏĻƩƒ CźƓğƓĭźğƌ tƌğƓ͵ The plan was developed to ensure the City remains financially strong and that /ƚǒƓĭźƌ͸ƭ ƚŅ ƷƚķğǤ ğƓķ ƷƚƒƚƩƩƚǞ ŷğǝĻ ƷŷĻ ĬĻƭƷ ƦƚƭƭźĬƌĻ ŅźƓğƓĭźğƌ ğķǝźĭĻ ğƓķ best financial practices in place to make informed decisions. The strong financial policies and adherence to these policies have put Saint John on the right track. The goals set out in the previous version have been surpassed in many cases. Tax rate has been reduced, debt is falling, population is growing, and assessment value is up. The Long-Term Financial Plan reaffirms to Council and taxpayers that the plan is working. The updated plan confirms how the City is proceeding with the implementation of the 10 Year Strategic Plan. To summarize the road to sustainability and the financial plan in one graphic, Figure 6 outlines the steps that the City needs to continue with to ensure a sustainable Saint John. ŷĻ /źƷǤ͸ƭ źƓƷĻƓƷźƚƓ źƭ ƓƚƷ ƆǒƭƷ Finanicial Sustainablilty, but Finanical Excellence. 30 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendices 31 !ƦƦĻƓķźǣ !ʹ /ƚǒƓĭźƌ͸ƭ tƩźƚƩźƷźĻƭʹ ЋЉЋЊΏЋЉЋЏ Through good governance and with the support of the community, our focus is on growing Saint John. By being fiscally responsible, the City delivers services that contribute to a vibrant, attractive and prosperous city. Environmental Stewardship Θ 5ĻƒƚƓƭƷƩğƷĻ ĻƓǝźƩƚƓƒĻƓƷğƌ ƭƷĻǞğƩķƭŷźƦ ğƓķ ƌĻğķĻƩƭŷźƦ ĬǤ ƦƩƚƷĻĭƷźƓŭ Dwh‘ Α ‘Ļ ǝğƌǒĻ {ƒğƩƷ DƩƚǞƷŷ our natural environment, adapting and mitigating the risks on city infrastructure We enable population and business growth by focusing on key infrastructure associated with climate change. investments, strategic communications, service delivery, and partnerships to Θ LƒƦƌĻƒĻƓƷ ĭƌźƒğƷĻ ĭŷğƓŭĻ ƦƌğƓƭ Ʒƚ ƩĻķǒĭĻ ŭƩĻĻƓ ŷƚǒƭĻ ŭğƭ ĻƒźƭƭźƚƓƭ͵ achieve growth initiatives that align with the principles of smart growth in Θ !ƌźŭƓ ĻƒĻƩŭźƓŭ ƷƩĻƓķƭ ğƓķ ĬĻƭƷ ƦƩğĭƷźƭĻƭ Ʒƚ źƒƦƩƚǝĻ ƚǒƩ ƩĻƭƦƚƓƭĻ Ʒƚ PlanSJ. climate change. Population Growth Θ DƩƚǞ ƚǒƩ ƦƚƦǒƌğƷźƚƓ ğƷ ğ ƩğƷĻ ƚŅ Ћі ğƓƓǒğƌƌǤ ĬǤ ƷŷĻ ĻƓķ ƚŅ /ƚǒƓĭźƌ͸ƭ ƷĻƩƒ͵ Θ 5ĻǝĻƌƚƦͲ ĻƒĬƩğĭĻͲ ğƓķ ƩĻźƓŅƚƩĭĻ ğ ƭƷƩƚƓŭ ĬƩğƓķ ŅƚƩ {ğźƓƷ WƚŷƓ͵ .9\[hbD Α‘Ļ ǝğƌǒĻ ğ welcoming community Economic Growth We enhance the quality of life and social well-being in a safe place to live; Θ !ĭŷźĻǝĻ Ќі ğƓƓǒğƌ ƦƩƚƦĻƩƷǤ Ʒğǣ ĬğƭĻ ŭƩƚǞƷŷ ğƓķ ƚƓŭƚźƓŭ ǞƚƩƉ Ʒƚ źƓĭƩĻğƭĻ offering recreation, arts, and cultural opportunities that align with PlanSJ, the target. PlaySJ and other related plans. Θ ‘ƚƩƉ ǞźƷŷ ƦğƩƷƓĻƩƭ Ʒƚ ĭƩĻğƷĻ ƚƦƦƚƩƷǒƓźƷźĻƭ Ʒƚ ğƷƷƩğĭƷ ğƓķ ŭƩƚǞ ĬǒƭźƓĻƭƭĻƭ including development of the waterfront and industrial parks. Livable Neighbourhoods Θ {ƷƩĻƓŭƷŷĻƓ ƓĻźŭŷĬƚǒƩŷƚƚķ ŭƩƚǒƦƭ ƷŷğƷ ƚŅŅĻƩ ƦƩƚŭƩğƒƒźƓŭ Ʒƚ ƷŷĻ community. Θ LƒƦƩƚǝĻ ƨǒğƌźƷǤ ƚŅ ƌźŅĻ ǞźƷŷ ƷğƩŭĻƷĻķ long-term neighbourhood planning. Θ CğĭźƌźƷğƷĻ ğ ƒźǣ ƚŅ ğŅŅƚƩķğĬƌĻ ŷƚǒƭźƓŭ źƓ ğƌƌ ƚǒƩ ƓĻźŭŷĬƚǒƩŷƚƚķƭ͵ Dw99b Α ‘Ļ ǝğƌǒĻ ƷŷĻ ĻƓǝźƩƚƓƒĻƓƷ Vibrant City We encourage sustainable growth by continuing green practices and Θ /ǒƌƷźǝğƷĻ ĭƚƒƒǒƓźƷǤ ƦƩźķĻ ğƓķ ǒƓźƷǤ ĬǤ ƦƩƚƒƚƷźƓŭ ĬĻğǒƷźŅźĭğƷźƚƓͲ ğƩƷƭͲ investing in climate adaptation initiatives with the implementation of the culture, and heritage. City of Saint John Corporate and Community GHG & Energy Action Plans. Θ CƚƭƷĻƩ ķźǝĻƩƭźƷǤ ğƓķ źƓĭƌǒƭźƚƓ͵ Θ ağźƓƷğźƓ ƩĻŭźƚƓğƌ ğƓķ ķźƭƷƩźĭƷ ƦğƩƉƭ ğƓķ ĻƓŷğƓĭĻ 5ƚƒźƓźƚƓ tğƩƉ͵ Θ LƒƦƩƚǝĻ ƩĻĭƩĻğƷźƚƓ ƦƩƚŭƩğƒƒźƓŭͲ ŅğĭźƌźƷźĻƭͲ ğƓķ źƓŅƩğƭƷƩǒĭƷǒƩĻ 32 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 !ƦƦĻƓķźǣ !ʹ /ƚǒƓĭźƌ͸ƭ tƩźƚƩźƷźĻƭʹ ЋЉЋЊΏЋЉЋЏ t9wChwa Α ‘Ļ ǝğƌǒĻ ƷŷĻ ĬĻƭƷ ǒƭĻ ƚŅ ƚǒƩ ƩĻƭƚǒƩĭĻƭ ah9 Α ‘Ļ ǝğƌǒĻ ƭǒƭƷğźƓğĬƌĻ ƷƩğƓƭƦƚƩƷğƷźƚƓ ĭŷƚźĭĻ We ensure the City is accountable for results in delivering public service by We offer safe, accessible travel options for the movement of people and adhering to its plans, policies, procedures, and best practices. goods through trails, paths, sidewalks, and roads that align with MoveSJ and related plans. Financial Health Θ Ensure accountable and transparent financial management that adheres Transportation & Mobility to the Long-Term Financial Plan. Θ /ƚƓƓĻĭƷ ƓĻźŭŷĬƚǒƩŷƚƚķƭ ǞźƷŷ ƭğŅĻͲ ğĭĭĻƭƭźĬƌĻͲ ğƓķ źƓƷĻŭƩğƷĻķ Θ \[ĻǝĻƩğŭĻ ǝźğĬƌĻ ƚƦƦƚƩƷǒƓźƷźĻƭ Ʒƚ ŭĻnerate alternate sources of revenue. transportation options. Θ !ĭŷźĻǝĻ ğ ĬğƌğƓĭĻ ğƒƚƓŭ ƷƩğƓƭƦƚƩƷğƷźƚƓ ĭŷƚźĭĻƭ ƷŷğƷ ƒĻĻƷ ĭƚƒƒǒƓźƷǤ Transparent & Accountable needs. Θ 9ƭƷğĬƌźƭŷ ğ ƦĻƩŅƚƩƒğƓĭĻ ƒğƓğŭĻƒĻƓƷ ƦƩƚŭƩğƒ Ʒƚ ğĭŷźĻǝĻ ƩĻƭǒƌƷƭ ğƓķ Θ /ƩĻğƷĻ ğ ƒƚķĻƩƓ ƷƩğƓƭźƷ ƭĻƩǝźĭĻ ĬğƭĻķ ƚƓ ķğƷğͲ źƓƓƚǝğƷźƚƓͲ ğƓķ ĬĻƭƷ drive continuous improvement. practices. Θ 9ƓŷğƓĭĻ ƷŷĻ ĬǒƭźƓĻƭƭ ƒƚķĻƌƭͲ ƚǒƷĭƚƒĻƭͲ ğƓķ ƩĻƦƚƩƷźƓŭ ƚŅ ƷŷĻ /źƷǤ͸ƭ agencies, boards, and commissions. Core Service Delivery Θ 9ƓŷğƓĭĻ ƷŷĻ ĭǒƭƷƚƒĻƩ ƭĻƩǝźĭĻ ĻǣƦĻƩźĻƓĭĻ ğƓķ ƩĻƭƦƚƓƭĻ źƓĭƌǒķźƓŭ ƷŷĻ timely and consistent communication on service expectations. Θ 9ǣƦƌƚƩĻ ƚƦƦƚƩƷǒƓźƷźĻƭ ŅƚƩ ĭƚƭƷΏƭŷğƩźƓŭ ğƓķ ǞƚƩƉźƓŭ ƷƚŭĻƷŷĻƩ źƓ ƷŷĻ ƩĻŭźƚƓ to efficiently deliver public service. 33 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendix B: Saint John 10 Year Strategic Plan Uplift the Community Α ŷĻ {ƷƩğƷĻŭźĭ tƌğƓ {ĻƷ ƚǒƷ ŅƚǒƩ ŭƚğƌƭ Ʒƚ ğĭŷźĻǝĻ ƚǒƩ vision for serving Saint John 34 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendix B: Saint John 10 Year Strategic Plan (continued) Summary of Action Items Enhanced or New Recreation Programs Active Transportation & Traffic Calming Invest in Parks & District Parks Affordable Housing Action Plan City Catalytic Projects Revitalization of the City Industrial Parks & Barge Terminal Developing framework for North End Neighborhood Plan Improve the municipal tax rate competitiveness Modernize, reliable & convenient public transit service Implement internal audit program 35 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendix C: Base Case Model Output 36 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendix D: Stretch Case Model Output 37 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 Appendix E: Allocation of Special Pension Payment Savings 38 CITY OF SAINT JOHN | TEN YEAR FINANCIAL PLAN 2027-2036 th March 18, 2026 Finance Committee December312025UnauditedYear EndFinancialResults General and Utility Fund 2025 Year End Unaudited Results Purpose of presentation is to provide Finance Committee an overview of the 2025 unaudited year end fund based financial results. includes the results of the various Staff and Auditors are working toward having audited consolidated financial statements to the Finance Committee for approval in late May General Fund Year End Results The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Revenues Property Taxes 156,964,319 156,964,319 150,579,477 PILT Adjustment 23,453 23,453 - Equalization & Unconditional Grant 12,803,691 12,803,691 13,773,578 Regional Services Grant 1,006,997 1,006,997 1,009,640 Surplus 2nd Previous Year 272,858 272,858 2,336,841 Transfer from Operating Reserves 676,000 729,057 1,134,758 Growth & Community Development Services 7,216,812 13,222,851 5,257,906 Public Safety Services 2,208,312 2,436,327 2,311,180 Transportation & Environment Services 6,726,933 7,303,145 7,193,369 Finance & Adminstrative Services 5,154,553 6,937,456 10,472,470 Corporate Services - 2,875,000 - May 2021 Operating Budget Utilities & Infrastructure Services 340,635 460,171 295,717 Saint John Energy Rebates 1,000,000 1,715,185 1,442,276 May 2021 Operating Results Total Revenues 194,394,563 206,750,510 195,807,212 Expenditures Growth & Community Development Services 22,628,358 25,906,778 18,898,526 Transportation & Environment Services 49,464,684 53,513,195 47,908,465 Public Safety Services - Fire, EMO & PSCC 33,675,248 34,068,949 32,502,908 Public Safety Services - Saint John Board of Police Commissioners 30,751,388 30,411,012 28,466,478 Strategic Services 9,072,153 7,957,265 7,737,365 Corporate Services 8,424,251 8,322,523 8,233,498 Other Charges 34,924,754 37,693,948 44,407,497 Utilities & Infrastructure Services 5,453,727 5,337,623 7,613,379 Total Expenditures 194,394,563 203,211,292 195,768,115 Surplus (Deficit) - 3,539,218 39,097 General Fund Year End Results The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252025 BudgetActualVariance $$$ Revenues Property Taxes 156,964,319 156,964,319 - PILT Adjustment 23,453 23,453 - Equalization & Unconditional Grant 12,803,691 12,803,691 - Regional Services Grant 1,006,997 1,006,997 - Surplus 2nd Previous Year 272,858 272,858 - May 2021 Operating Budget Transfer from Operating Reserves 676,000 729,057 53,057 May 2021 Operating Results Growth & Community Development Services 7,216,812 13,222,851 6,006,039 Public Safety Services 2,208,312 2,436,327 228,015 Transportation & Environment Services 6,726,933 7,303,145 576,212 Finance & Adminstrative Services 5,154,553 6,937,456 1,782,903 Corporate Services - 2,875,000 2,875,000 Utilities & Infrastructure Services 340,635 460,171 119,536 Saint John Energy Rebates 1,000,000 1,715,185 715,185 Total Revenues 194,394,563 206,750,510 12,355,947 2025 Unaudited General Fund Financial Results Year End Revenue Projections -$12,355,947 Surplus Revenue Surplus that are not reoccurring Interest Revenue -$780,000 Work Safe NB -$511,709 City Lands Sales -$2,875,000 Building/Other Permits -$2,221,125 Housing For All Fund -$1,138,422 Insurance Proceeds -$310,580 Rapid Housing Initiative -$3,419,695 Parking Revenues -$349,633 SJ Energy Burchill Benefits -$715,185 Public Safety Communication Centre -$149,000 2025 Unaudited General Fund Financial Results December 2025 December 2025 Year End Variance Operating BudgetOperating Results $66,346,326$66,154,366$191,960 Wages and Benefits $93,123,483$99,362,978($6,239,495) Goods and Services May 2021 Operating Budget May 2021 Operating Results $34,924,754$37,693,948($2,769,194) Fiscal/Pension $194,394,563$203,211,292($8,816,729) Total 2025 Unaudited General Fund Financial Results Expenditure by Service Area $70,000,000 $64,479,961 $64,426,636 $53,513,195 $60,000,000 $49,464,694 $50,000,000 $37,693,948 $40,000,000 $34,924,754 $25,906,778 $30,000,000 $22,628,358 $9,072,153 $20,000,000 $8,424,251 $5,453,727 $7,957,265 $8,322,523 $10,000,000 $5,337,623 $0 Growth andPublic WorksPublic SafetyCorporateUtilities andStrategicOther Charges DevelopmentandServicesServicesInfastructureServices ServicesTransportationServices Services BudgetUnaudited Actuals 2025 Unaudited General Fund Financial Results The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252025% BudgetActualVarianceVariance $$$ Expenditures Growth & Community Development Services 22,628,358 25,906,778 (3,278,420)-14.49% Transportation & Environment Services 49,464,684 53,513,195 (4,048,511)-8.18% Public Safety Services - Fire, EMO & PSCC 33,675,248 34,068,949 (393,701)-1.17% Public Safety Services - Saint John Board of Police Commissioners 30,751,388 30,411,012 340,3761.11% Strategic Services 9,072,153 7,957,265 1,114,88812.29% Corporate Services 8,424,251 8,322,523 101,7281.21% May 2021 Operating Budget Other Charges 34,924,754 37,693,948 (2,769,194)-7.93% May 2021 Operating Results Utilities & Infrastructure Services 5,453,727 5,337,623 116,1042.13% Total Expenditures 194,394,563 203,211,292 (8,816,729)-4.54% 2025 Unaudited General Fund Financial Results High-level Variance Analysis Growth and Development Services Rapid Housing Initiative Grant ($3,357,477) relates to grants paid out, offset by RHI Grant Revenue Housing for All ($1,139,075) was a new program in 2025 with no budget, however expense of offset by funding in revenue. Housing Accelerator Fund -$1,353,738 positive variance largely relates to timing around grants to be paid out. Protective Services Fire and EMO Services ($649,275) variance largely due to significant fleet costs, bunker gear, safety supplies and building maintenance. Saint John Board of Police Commissioners $340,376 positive variance 2025 Unaudited General Fund Financial Results High-level Variance Analysis Continued Public Works & Transportation Services Fleet Charges ($735K) Combination of Parts and increase cost of vehicles and equipment being replaced. Winter Streets and Sidewalks variance largely due to Salt ($565K), Parts, Safety and Equipment Rentals Pedestrian and Traffic overage due upgrades to rail crossings, paint costs, other goods and equipment replacement Overtime ($750K) significantly overbudget largely due to winter season, fleet shortages, stormwater failures Tipping Fees ($228K) overbudget Transit Subsidy ($155K) largely due to fuel and parts cost Tree Planting ($120K) Tree Planting offset by funding Arena ($275K) for work on Multiplex offset by reserves Stormwater variance largely due to unexpected repairs and infrastructure failure Utilities and Infrastructure No significant variance to note -$116,104 positive variance Corporate Services No significant variance to note -$101,728 positive variance 2025 Unaudited General Fund Financial Results High-level Variance Analysis Continued Strategic Services Finance variance largely due to vacancies Information Technology -$768,727 variance combination of combination of staff vacancies and delays in some projects and less than expected license cost. Other Charges Transfer to Capital Reserves ($2.3M) variance $511,709 transfer from Work Safe NB Refund offset in revenue $583,793 transfer related to auction and insurance proceeds offset by revenue received Interest of $1.15 earned on Reserves Other Charges relates to various legal liabilities and actuarial adjustments 2025 Unaudited Utility Fund Financial Results Saint John Water 2025 Water & Sewerage Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualsActuals Revenues Flat Rate Accounts 21,883,500 21,835,501 22,174,223 Meter Rate Accounts 19,389,500 18,520,063 18,304,674 Industrial Raw Water Accounts 7,438,122 7,826,417 8,625,898 Fire Protection Levy 2,500,000 2,500,000 2,317,033 Storm Sewer Levy 1,000,000 945,000 1,087,234 Other Revenues 1,667,360 2,047,638 14,763,838 Previous Year's Surplus 764,858 764,858 737,476 Transfer from Reserves 750,000 4,750,000 1,637,804 Total Revenues 55,393,340 59,189,477 69,648,180 Expenditures Drinking Water Service 25,974,629 26,570,642 36,021,420 Wastewater Service 20,538,918 24,693,740 20,665,313 Infrastructure Management 861,410 922,260 791,820 Industrial Water Service 8,018,383 8,003,621 9,576,676 Total Expenditures 55,393,340 60,190,263 67,055,229 Surplus (Deficit) - (1,000,786) 2,592,951 Potable (deficit) (1,403,843) Industrial surplus 403,057 (1,000,786) 2025 Unaudited Utility Fund Financial Results Saint John Water 2025 Water & Sewerage Operating Budget December 31, 2025 Unaudited 202520252025 BudgetActualsVariance Revenues Flat Rate Accounts 21,883,500 21,835,501(47,999) Meter Rate Accounts 19,389,500 18,520,063(869,437) Industrial Raw Water Accounts 7,438,122 7,826,417388,295 Fire Protection Levy 2,500,000 2,500,0000 Storm Sewer Levy 1,000,000 945,000(55,000) Other Revenues 1,667,360 2,047,638380,278 Previous Year's Surplus 764,858 764,8580 Transfer from Reserves 750,000 4,750,0004,000,000 Total Revenues 55,393,340 59,189,4773,796,137 2025 Unaudited Utility Fund Financial Results Revenue overall surplus of $3,796,137 Meter revenue ($869,437) negativevariance Drought conditions resulted in Utility being unable to supply potable water to large industrial customer for several months Decrease in estimated consumption among metered customers Industrial revenue -$388,295 positive variance This only impact industrial uses, not potable ratepayers Other revenue -$380,278 positive variance largely due to interest revenue Transfer from Reserves $4,000,000 positive variance to offset the unanticipated expenditures from Wastewater 2025 Unaudited Utility Fund Financial Results December 2025 December 2025 Year End Variance Operating BudgetOperating Results $10,141,858$10,874,466($732,608) Wages and Benefits $45,251,482$49,315,797($4,064,315) Goods and Services May 2021 Operating Budget May 2021 Operating Results $55,393,340$60,190,263($4,796,923) Total 2025 Unaudited Utility Fund Financial Results Saint John Water 2025 Water & Sewerage Operating Budget December 31, 2025 Unaudited 202520252025 BudgetActualsVariance Expenditures Drinking Water Service 25,974,629 26,570,642(596,013) Wastewater Service 20,538,918 24,693,740(4,154,822) Infrastructure Management 861,410 922,260(60,850) Industrial Water Service 8,018,383 8,003,62114,762 Total Expenditures 55,393,340 60,190,263(4,796,923) 2025 Unaudited Utility Fund Financial Results Variance Analysis Wages and Benefits overbudget largely due to overtime related to watermain issues and wastewater treatment repairs in 2025 Drinking Water Services ($596,013) Majority of variance relates several watermain breaks Drought conditions that required advance design of emergency pumping, obtaining regulatory approvals and engagement of contractors and suppliers to carry out construction work and pumping if required Wastewater Services ($4,154,822) A specialty contractor was engaged to perform a condition assessment on the equipment and the Eastern Wastewater Treatement facility. This assessment resulted in immediate repairs and operational work that was completed under the guidance of safety professionals and wastewater treatment experts to ensure the facility met regulatory requirements and approvals Conclusion The2025GeneralFundwillclosewithasurplus.Thissurplusislargelydrivenby one-time,non-recurringrevenuenotbyreductionsinexpenditures. ExpensepressuresparticularlyinTransportationandEnvironmentwereableto beabsorbedthroughstrongrevenuesperformanceparticularlyfrompermitand interestincome. TheUtilityfundhadaverychallengingyearduesignificantinfrastructurerelated costpressures,however,wasabletoabsorbmuchofthedeficitthroughreserve supportwhichwascriticalinbringingthedeficitdowntoamoremanageable level. *LandSalesof$2.875Mclosedverylateintheyearandwasnotpartofthe annualreservetransfer.Staffarerecommendingtheseone-timefundsbedirected backtowardaCapitalReserves. Conclusion Recommendation Committeeendorsetransferring$2.875Mofthe2025surplusintoa Capitalrenewalfundaspartofthe2027OperatingBudgetandthebalanceof 2025surplusbedirectedintotheCapitalReserveforthenewMultiplex Committeereceiveandfilethepresentationanddirectanyquestions to The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Revenues Property Taxes156,964,319 156,964,319 150,579,477 PILT Adjustment23,453 23,453 - Equalization & Unconditional Grant12,803,691 12,803,691 13,773,578 Regional Services Grant1,006,997 1,006,997 1,009,640 Surplus 2nd Previous Year272,858 272,858 2,336,841 Transfer from Operating Reserves676,000 729,057 1,134,758 Growth & Community Development Services7,216,812 13,222,851 5,257,906 Public Safety Services2,208,312 2,436,327 2,311,180 Transportation & Environment Services6,726,933 7,303,145 7,193,369 Finance & Adminstrative Services5,154,553 6,937,456 10,472,470 Corporate Services- 2,875,000 - Utilities & Infrastructure Services340,635 460,171 295,717 Saint John Energy Rebates1,000,000 1,715,185 1,442,276 Total Revenues194,394,563 206,750,510 195,807,212 Expenditures Growth & Community Development Services22,628,358 25,906,778 18,898,526 Transportation & Environment Services49,464,684 53,513,195 47,908,465 Public Safety Services - Fire, EMO & PSCC33,675,248 34,068,949 32,502,908 Public Safety Services - Saint John Board of Police Commissioners30,751,388 30,411,012 28,466,478 Strategic Services9,072,153 7,957,265 7,737,365 Corporate Services8,424,251 8,322,523 8,233,498 Other Charges34,924,754 37,693,948 44,407,497 Utilities & Infrastructure Services5,453,727 5,337,623 7,613,379 Total Expenditures194,394,563 203,211,292 195,768,115 Surplus (Deficit) 3,539,218- 39,097 1 The City of Saint John 2025 General Fund Operating Budget December 31, 2025 dited Unau 202520252024 BudgetActualActual $$$ Growth & Community Services Salaries 6,773,3537,138,317 6,225,221 Goods & Services15,490,041 19,133,425 12,673,305 TOTAL 22,628,358 2 5,906,778 18,898,526 Transportation & Environment Services Salaries 19,296,68718,456,763 17,660,935 Goods & Services31,007,921 34,216,508 30,247,530 TOTAL 49,464,684 5 3,513,195 47,908,465 Public Safety Services - Fire, EMO & PSCC Salaries 26,787,94926,733,140 25,581,114 Goods & Services6,942,108 7,281,000 6,921,794 TOTAL 33,675,248 3 4,068,949 32,502,908 Public Safety Services - Saint John Board of Police Commissioners Grant 30,411,01230,751,388 28,466,478 TOTAL 30,751,388 3 0,411,012 28,466,478 Strategic Services Salaries 4,309,9074,704,798 4,094,953 Goods & Services4,367,355 3,647,358 3,642,412 TOTAL 9,072,153 7,957,265 7,737,365 Corporate Services Salaries 5,907,6706,059,634 5,728,085 Goods & Services2,364,617 2,414,853 2,505,413 TOTAL 8,424,251 8,322,523 8,233,498 Other Charges Goods & Services34,924,754 37,693,948 44,407,497 TOTAL 34,924,754 3 7,693,948 44,407,497 Utilities & Infrastructure Services Salaries 3,078,7993,253,673 3,784,053 Goods & Services2,200,054 2,258,824 3,829,326 TOTAL 5,453,727 5,337,623 7,613,379 TOTAL EXPENDITURES 194,394,563 203,211,292 195,768,115 2 The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Revenues Property Taxes156,964,319 156,964,319 150,579,477 PILT Adjustment23,453 23,453 - Equalization & Unconditional Grant12,803,691 12,803,691 13,773,578 Regional Services Grant1,006,997 1,006,997 1,009,640 Surplus 2nd Previous Year272,858 272,858 2,336,841 Transfer from Operating Reserves676,000 729,057 1,134,758 Growth & Community Development Services7,216,812 13,222,851 5,257,906 Public Safety Services2,208,312 2,436,327 2,311,180 Public Works & Transportation Services6,726,933 7,303,145 7,193,369 Strategic Services5,154,553 6,937,456 10,472,470 Corporate Services- 2,875,000 - Utilities & Infrastructure Services340,635 460,171 295,717 Saint John Energy Rebates1,000,000 1,715,185 1,442,276 Total Revenues194,394,563 206,750,510 195,807,212 Expenditures Growth & Community Development Services Growth & Community Planning Services1,680,262 1,616,692 1,715,779 Development Engineering391,301 356,236 364,438 Community Development 1,249,403 1,099,653 754,126 Animal Control120,000 111,188 105,112 Dangerous & Vacant Buildiings278,451 185,265 328,810 Minimum Property Standards 370,375506,126 442,421 Heritage Conservation Service207,018 202,095 196,394 Cultural Affairs -- 107,814 Other By-laws297,552 270,016 286,006 Permitting & Inspection Services1,459,850 1,555,451 1,411,067 Envision Saint John3,087,500 3,271,242 3,243,635 Market Square 2,500,000 2,537,260 1,728,225 Saint John Trade & Convention Centre156,543 162,790 377,023 Imperial Theatre322,021 314,521 308,048 Saint John Aquatic Centre 527,915423,225 512,906 Saint John Arts Centre128,549 125,555 195,220 TD Station 542,715502,796 553,436 Library 544,840544,840 492,397 City Market1,316,629 1,680,189 1,326,952 Arts & Cluture Board70,000 60,385 47,190 New Years & Canada Day Celebrations- - 68,826 PRO Kids 204,864243,677 133,027 3 The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Succeed & Stay -- 121,909 Local Immigration Partnership62,831 68,375 108,297 Carleton Community Centre193,167 193,167 190,313 Loch Lomond Community Centre45,000 - 45,000 North End Community Centre193,167 193,167 190,313 Recreation Programming1,222,380 1,114,048 656,048 Neighbourhood Development172,000 150,000 150,000 YMCA - Contracted Services155,564 210,564 153,265 Boys & Girls - Contracted Services144,181 144,181 142,050 Unspecified Grants289,000 229,228 289,000 Lifeguards 212,116203,398 207,957 Play SJ -45,000 26,317 Lord Beaverbrook Rink182,000 170,444 160,854 Regional Services Commission396,772 396,687 358,248 Growth Reserve Fund350,000 454,587 691,756 Affordable Housing197,583 3,555,060 215,664 Housing Accelerator Fund2,775,572 1,421,834 492,683 Housing for All 1,139,075- - Total Growth & Community Development Services 25,906,77822,628,358 18,898,526 Public Safety Services - Fire, EMO & PSCC Fire Rescue and Suppression Service25,198,937 26,069,492 25,000,351 Fire Training 3,9393,000 447 Technical Rescue Response62,489 91,022 42,352 Hazardous Materials76,417 65,419 69,139 Fire Prevention970,571 815,546 862,570 Fire Investigation67,743 32,224 70,037 Emergency Management Service330,971 281,762 225,209 Water Supply and Hydrants2,500,000 2,500,000 2,317,033 Public Safety Communications3,205,120 3,051,071 2,838,288 Street Lighting1,210,000 1,133,467 1,077,483 Total Public Safety Services 34,068,94933,675,248 32,502,908 Public Safety Services - Saint John Board of Police Commissioners Grant 30,411,01230,751,388 28,466,478 Total Public Safety Services - Saint John Board of Police Commissioners 30,411,01230,751,388 28,466,478 4 The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Public Works & Transportation Services Snow Control Streets5,509,025 7,184,061 5,776,919 Street Cleaning1,741,677 2,411,143 2,730,604 Utility Cuts1,222,667 1,413,067 1,309,996 Street Services - Surface Maintenance8,608,264 8,334,625 8,363,601 Snow Control Sidewalk1,197,743 1,406,704 1,147,936 Sidewalk Maintenance941,593 737,661 592,387 Pedestrian & Traffic Management Service2,607,775 3,124,580 3,093,747 Solid Waste Management4,145,894 4,064,604 4,255,383 Landscape - Parks & Open Spaces 3,668,9003,094,029 2,666,971 Rockwood Park588,051 376,322 585,149 Urban Forestry413,438 499,498 309,490 Saint John Horticultural Association70,000 70,000 60,000 Arena Operation and Maintenance1,518,945 1,774,153 1,629,275 Sportsfield Operation and Maintenance1,428,466 1,453,597 1,401,470 Other Facility Operation and Maintenance 386,266539,241 365,309 Parking Administration 1,170,062971,023 889,384 Transit Debt1,411,000 1,401,043 1,624,131 Transit Subsidy7,405,172 7,591,162 7,104,058 Fleet Stockroom340,934 345,013 363,456 Stormwater Rural4,213,366 4,464,173 2,073,407 Peel Plaza 289,658330,676 329,701 Market Square Parking160,036 328,871 234,760 Off Street Parking1,005,669 1,018,034 1,001,330 Total Public Works & Transportation Services 53,513,19549,464,684 47,908,465 Strategic Services Finance 1,131,7231,402,392 1,276,837 Assessment1,879,282 1,879,282 1,767,493 Supply Chain Management449,812 454,307 421,318 Information Technology4,129,730 3,360,903 3,199,587 Corporate Planning487,610 411,006 369,916 Insurance 162,369153,327 157,653 Liability Insurance570,000 557,675 544,561 Total Strategic Services9,072,153 7,957,265 7,737,365 5 The City of Saint John 2025 General Fund Operating Budget December 31, 2025 Unaudited 202520252024 BudgetActualActual $$$ Corporate Services Chief Administrors Office808,249 559,563 860,627 Mayor's Office199,201 175,103 169,618 Common Council583,959 612,159 560,376 Common Clerk737,800 684,480 728,695 Human Resources2,801,678 2,925,357 2,452,233 Legal Department1,302,142 1,247,344 1,450,421 Real Estate 463,761325,144 204,284 Saint John Industrial Parks- - 253,522 External Relations188,430 188,898 204,466 Corporate Communications520,949 553,409 447,746 Customer Service956,699 912,449 901,510 Total Corporate Services8,424,251 8,322,523 8,233,498 Utilities & Infrastructure Services Engineering1,457,303 1,353,544 1,301,871 Carpenter Shop404,336 418,343 351,046 Facilities Management1,763,069 1,590,313 1,632,194 City Hall Building1,089,123 1,151,519 1,245,381 GIS 574,299517,550 437,857 Stockroom 249,605222,346 179,477 Stormwater Urban - - 2,465,553 Total Utilities & Infrastructure Services5,453,727 5,337,623 7,613,379 Other Charges Fiscal Charges14,202,504 14,054,650 15,390,295 Landfill Closure300,000 300,000 300,000 Special Pension Contributions10,222,250 10,167,494 10,230,416 Reserves 5,313,8893,000,000 8,751,543 Other Charges400,000 1,057,914 2,935,242 Capital from Operating6,800,000 6,800,000 6,800,000 Total Other Charges34,924,754 37,693,948 44,407,497 Total Expenditures194,394,563 203,211,292 195,768,115 Surplus (Deficit) 3,539,218- 39,097 6 {ğźƓƷ WƚŷƓ ‘ğƷĻƩ ЋЉЋЎ ‘ğƷĻƩ ε {ĻǞĻƩğŭĻ hƦĻƩğƷźƓŭ .ǒķŭĻƷ 5ĻĭĻƒĬĻƩ ЌЊͲ ЋЉЋЎ …ƓğǒķźƷĻķ ЋЉЋЎЋЉЋЎЋЉЋЍ BudgetActualsActuals wĻǝĻƓǒĻƭ Flat Rate Accounts21,883,500 21,835,501 22,174,223 Meter Rate Accounts19,389,500 18,520,063 18,304,674 Industrial Raw Water Accounts7,438,122 7,826,417 8,625,898 Fire Protection Levy2,500,000 2,500,000 2,317,033 Storm Sewer Levy1,000,000 945,000 1,087,234 Other Revenues1,667,360 2,047,638 14,763,838 Previous Year's Surplus764,858 764,858 737,476 Transfer from Reserves750,000 4,750,000 1,637,804 ƚƷğƌ wĻǝĻƓǒĻƭЎЎͲЌВЌͲЌЍЉ ЎВͲЊБВͲЍАА ЏВͲЏЍБͲЊБЉ 9ǣƦĻƓķźƷǒƩĻƭ 5ƩźƓƉźƓŭ ‘ğƷĻƩ {ĻƩǝźĭĻ Watershed Management879,877 569,743 745,556 Water Treatment9,577,589 9,092,299 8,911,456 Water Pumping & Storage1,256,362 1,299,311 1,327,690 Transmission & Distribution4,623,509 5,387,174 5,245,607 Customer Metering707,124 807,770 761,227 Internal Charges470,000 349,509 547,893 Other Charges575,142 586,636 574,206 Debt Servicing3,410,695 3,391,088 3,642,873 Transfer to Operating/Capital Reserve180,673 793,454 12,549,290 Capital from Operating4,293,658 4,293,658 1,715,622 ƚƷğƌ 5ƩźƓƉźƓŭ ‘ğƷĻƩ {ĻƩǝźĭĻЋЎͲВАЍͲЏЋВ ЋЏͲЎАЉͲЏЍЋ ЌЏͲЉЋЊͲЍЋЉ Wastewater Service Wasterwater Pumping3,318,002 3,664,039 4,008,605 Wastewater Collection3,368,215 3,249,784 3,450,949 Wastewater Treatment6,166,572 10,340,435 5,452,591 Internal Charges470,000 407,470 402,500 Other Charges575,142 586,636 574,206 Debt Servicing2,746,973 2,734,034 2,951,328 Transfer to Operating/Capital Reserve180,672 - - Capital from Operating3,713,342 3,711,342 3,825,134 ƚƷğƌ ‘ğƭƷĻǞğƷĻƩ {ĻƩǝźĭĻƭЋЉͲЎЌБͲВЊБ ЋЍͲЏВЌͲАЍЉ ЋЉͲЏЏЎͲЌЊЌ Infrastructure Management Engineering Services861,410 922,260 791,820 ƚƷğƌ LƓŅƩğƭƷƩǒĭƷǒƩĻ ağƓğŭĻƒĻƓƷБЏЊͲЍЊЉ ВЋЋͲЋЏЉ АВЊͲБЋЉ Industrial Water Service Watershed Management894,359 953,151 611,982 Water Pumping & Transmission3,081,035 2,830,210 4,089,662 Customer Metering245,421 214,982 132,898 Debt Servicing1,661,162 1,661,162 1,846,570 Transfer to Capital Reserves836,677 985,516 1,025,544 Transfer to Operating Reserve703,469 762,340 1,234,810 Capital from Operating596,260 596,260 635,210 ƚƷğƌ LƓķǒƭƷƩźğƌ ‘ğƷĻƩ {ĻƩǝźĭĻБͲЉЊБͲЌБЌ БͲЉЉЌͲЏЋЊ ВͲЎАЏͲЏАЏ ƚƷğƌ 9ǣƦĻƓķźƷǒƩĻƭЎЎͲЌВЌͲЌЍЉ ЏЉͲЊВЉͲЋЏЌ ЏАͲЉЎЎͲЋЋВ {ǒƩƦƌǒƭ Λ5ĻŅźĭźƷΜΏ ΛЊͲЉЉЉͲАБЏΜ ЋͲЎВЋͲВЎЊ {ğźƓƷ WƚŷƓ ‘ğƷĻƩ ЋЉЋЎ ‘ğƷĻƩ ε {ĻǞĻƩğŭĻ hƦĻƩğƷźƓŭ .ǒķŭĻƷ 5ĻĭĻƒĬĻƩ ЌЊͲ ЋЉЋЎ {ğƌğƩźĻƭ ğƓķ Dƚƚķƭ ε {ĻƩǝźĭĻƭ ЋЉЋЎЋЉЋЎЋЉЋЍ BudgetActualsActuals Drinking Water Service Wages and Benefits3,835,962 4,177,232 4,202,214 Goods & Services22,138,667 22,393,410 31,819,206 Total 25,974,629 2 6,570,642 3 6,021,420 Wastewater Service Wages and Benefits4,448,415 4,724,828 4,261,530 Goods & Services16,090,503 19,968,912 16,403,783 Total 20,538,918 2 4,693,740 2 0,665,313 Infrastructure Management Wages and Benefits614,431 703,944 572,070 Goods & Services246,979 218,316 219,750 Total 8 61,410 9 22,260 7 91,820 Industrial Water Service Wages and Benefits1,243,050 1,268,462 1,250,407 Goods & Services6,775,333 6,735,159 8,326,269 Total 8 ,018,383 8 ,003,621 9 ,576,676 TOTAL EXPENDITURES 5 5,393,340 6 0,190,263 6 7,055,229