Third quarter projections anticipate budget surplus at Okanagan-Similkameen Regional District

PENTICTON – The Regional District of Okanagan Similkameen is looking forward to a budget surplus this year, based on its third quarter financial report.

Finance Manager Sandy Croteau says an overall surplus of $745,000 was anticipated on this year’s $37.2 million budget, amounting to two per cent of the budget total.

Croteau reported a $50,000 surplus was budgeted for general government but only $2,800 was realized. Projections for the end of the year anticipate a budget surplus in general government of $20,000, but Croteau says savings are expected to be realized in building maintenance expenses through the regional district’s headquarters renovation taking place this year.

Consultants fees for the regional airport analysis will also be deferred, as the analysis will not get underway this year.

Electoral Area administration also had a smaller than anticipated surplus for 2014, from $25,000 forecast to only $400 realized. Croteau reported an anticipated 2015 surplus of $15,000.

The regional district budget for public works is on track, except for the Keremeos landfill, which had a higher than budgeted 2014 deficit of $49,000, up from a projected $25,000. Overages in ancillary items related to renovations at the landfill are reasons for the higher than projected deficit.

Croteau said later budget surpluses and deficits are often the result of timing of budget items like grant funding.
“It’s often the difference between our expectation of what is going to happen and what eventually does happen,” she said, adding budget projects are usually made in November of the previous year,  prior to all data for the current year coming in.

Fire departments in the regional district are all expected to finish the year with small surpluses, except for West Bench, which is anticipated to finish the year with a $12,000 deficit.

Recreation departments are also on track, with the exception of Princeton Recreation Service, which had unbudgeted roof repairs to the Riverside Centre in 2014. The $75,000 shortfall will have to be included in the 2016 requisition.

A successful legal claim won by the regional district will likely see the Naramata Water System finish the year with a $80,000 surplus.

To contact the reporter for this story, email Steve Arstad at sarstad@infonews.ca or call 250-488-3065. To contact the editor, email mjones@infonews.ca or call 250-718-2724.