Edmonton Economic Development Corporation Notes to Financial Statements December 31, 2012, December 31, 2011 and January 1, 2011
21 Internally restricted net assets Shaw Conference Centre operations $
Shaw Conference Centre capital $
2012 $
2011 $
Balance – Beginning of year Transfer (from) to reserve
40,000 -
1,926,121 (20,460)
1,966,121 (20,460)
1,878,978 87,143
Balance – End of year
40,000
1,905,661
1,945,661
1,966,121
22 Subsequent events a)
Destination Marketing Fund In 2005, the Province of Alberta agreed to allow Edmonton hotels to retain a portion of the provincial room tax, for the purpose of funding local marketing efforts. The Company became the operating party to a series of agreements with individual hotels, creating the Destination Marketing Fund (DMF). With general direction from a steering committee, the Company received self-assessed remittances from the hotels, and disbursed the funds on their behalf. In October 2012, the DMF incorporated as a separate legal entity. Effective January 1, 2013, the DMF will assume control of the fund balance of $3,108,166. Effective December 31, 2012, the Company classified the amount as accounts payable, removing it from deferred revenues. The transfer of the fund balance is being arranged between the Company and the DMF.
b)
Edmonton Film Entertainment Fund The Company has entered into agreements with the City of Edmonton and an external party to establish an Edmonton Film Fund (EFF or the Fund). EFF is an initiative through which the Company will co-fund with the external party the costs of pre-sold film projects to be shot in Edmonton. The primary purpose of the Fund is to support the development of a sustainable film industry in Edmonton, and to generate a positive financial return on investments made through the Fund. The Company will act as agent on behalf of the City and will receive up to $5,000,000 in funding from the City, who will release funds based on individual projects. Any amounts paid by the City will be matched by the external party. On November 30, 2012, the Company established a wholly owned subsidiary, incorporated as a nondistributing company under the Alberta Business Corporations Act, to segregate Fund activities for reporting and accounting purposes. The first project approved under the EFF agreements began filming in January, 2013.
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