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Thursday, July 25, 2013 W NE NG! I IST
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Vol. 8 • Issue 31
Rossland Skatepark Association kicks it into gear
See Page 10
605 Dickens, Warfield 2bed/2ba/garage/fenced
$242,000
Fundraising campaign to help find Mika’s voice See Page 11
GREENER PASTURES
Jodie O.
368-7166 Realtor & Property Manager
2020 Washington St. Rossland
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MARIECLAUDE
Della Schafer photo
The green slopes of Red Mountain bask in the warm sun of summer and regenerate, awaiting the return of winter. This photo is part of one hot day in Rossland, July 13, and a photo feature called A Day in the Life of Rossland. See pages 12-19 for the entire feature in this issue.
Cash crunch crimps city coffers TIMOTHY SCHAFER Rossland News
The city is cash poor but asset rich, according to the latest financial audit, and has dipped into a financial debt position. 1st Trail Real Estate Rossland recorded a deficit 1993 Columbia Ave. Rossland position after the tale of the tape was in for 2012, according to the Yourlatest Horoscope For the Weekaudit by Berg, financial withNaqvi, Michael O’Connor inside Lehman chartered Horoscope the accountants West Kootenay Advertiser in Nelson. For the Week However, the deficit was not with Michael O’Connor due to mismanaged city operainside the West Kootenay Advertiser 250-512-1153
Your
tions, but the multi-million dollar cost of the Columbia Ave./ Washington Street project. The timing of the funding for the project eroded the city’s cash position, meaning it had to draw down its reserves to pay for the project when the bills came due, said Rossland chief administrative officer Cecile Arnott. A municipality is not allowed to pass a deficit budget according to the Community Charter, but it is allowed to come in at a deficit at the end of the year.
However, under the Charter, the city now has some work to do. “You have to clearly address that in your next plan as to how you are going to deal with that deficit,” she said. As a result, there will be a $4 million borrowing undertaken this year by the city to offset the existing deficit—and the current alternative approval process is underway to gain the community’s blessing, and to set the terms of the borrowing.
• See AUDIT, Page 4
IN THE RED
• The city has a net financial debt of $2.85 million. • Financial assets dropped to $3.89 million from $7.1 million. • Grants and accounts receivable rose from $440,150 to $2.9 million. • The city went from a cash basis of $6.38 million down to $468,000. • The end-of-the-year accumulated surplus was $40.5 million. • Expenditures in 2012 rose to $6.9 million from $6.1 million in 2011. • Revenue rose by $1.1 million to $8.2 million in 2012, largely on the strength of a $650,000 increase in grants. Source: City of Rossland audit