The City of Dryden has managed to financially survive the COVID-19 pandemic.
Treasurer Steven Lansdell-Roll says revenues have been impacted but the City has taken measures to mitigate the losses with some expense reductions.
To date, estimated revenue losses total $262,685 but savings come in at roughly $303,000 thanks to cost reductions, facility closures and staff savings.
Lansdell-Roll says the current projections are based on the assumption operations will return to more normal levels by the end of summer.
He believes the situation facing Dryden isn’t normal noting other municipalities have suffered financial hardships.
However, Lansdell-Roll warns there are still some big unknowns.
“If we have a second wave. We have further shutdowns. We are not able to open our Rec. facilities. The airport still has reduced activity. All of these things continue into the fall. That’s not reflected in the numbers.”
Municipal staff and administration are being praised for their work to keep the City running during the health crisis.
Councillor Norm Bush says the “OK” situation facing Dryden is important as they want to continue to be a viable and sustainable community.
“Certainly can’t rest on our laurels but it’s good to know that we’re not in bad shape as we go into the balance of the year. We do have a little bit of cash in our reserves as well. So it’s good to be in that position. I just thank everybody for the work that’s got us to that point.”
Mayor Greg Wilson says staff and administration have done an outstanding job to weather the storm.
Here is a breakdown of the financial impact from COVID-19:
Current Known Losses (estimates to June 30)
-$51,000: Interest/Penalties waived through to June 30
-$137,325: Recreation Centre Revenue (Pool, Fitness Centre and Arena)
-$19,410: Outdoor Recreation Facility Revenue
-$3,350: Library Revenue (fines, room rental, photocopying, etc.)
-$12,600: HISA Interest (interest rate dropped from 2.415% to 1.705%)
-$24,000: MAT Revenue (reduction of roughly 35%) through to June 30
-$15,000: Airport Revenue (As of April 30)
Current Known Cost Saving Measures (estimates to June 30)
-$26,990: Recreation Centre Utilities
-$10,750: Recreation Centre garbage, cleaning, etc.
-$79,995: Summer Student Recruitment delay
-$135,420: Staffing cost savings due to facility closures
-$50,000: Benefit Refund (based on claims lower than premiums)
Current Unknown Impacts:
-Water/Sewer Revenue reduction due to reduced consumption (No significant consumption impacts recorded in April or May)
-Building Permit Revenue reduction due to construction activity deemed non-essential (Unsure if any planned 2020 construction projects will be deferred)
-2020 Capital Plan delays due to contractor availability/travel restrictions (At this time, no delays anticipated)
-Travel/Training cost savings due to cancellation of conferences/travel restrictions (To Be Determined)
