Financial situation of the City described in the audited statements

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Council approved the City of Timmins’ 2020 audited financial statements at Tuesday’s meeting.

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Tracey Potvin, MNP’s Timmins office partner, was on hand in the boardroom to make a presentation and answer questions during the session.

She indicated that she had met with members of the audit committee in August to review the financial statements in detail and answer their questions at that time.

“We have audited the consolidated financial statements of the City of Timmins corporation, which include the consolidated statement of financial position as at December 31, 2020, and the consolidated statements of operations and accumulated surplus, changes in debt. net and cash flow. for the year then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies, ”said Potvin.

“In our opinion, these accompanying consolidated financial statements present fairly, in all material respects, the financial position of the City as at December 31, 2020, as well as the results of its consolidated operations and its consolidated cash flows for the year. closed on that date. in accordance with Canadian public sector accounting standards.

“If I may, in English terms, that’s fine. It is an unequivocal audit opinion. We did not find any material anomalies. “

Potvin noted that the statement of financial position contained in the written report accompanying his presentation provides “a snapshot at the end of December 2020.

“So, at the end of December, there were a total of financial assets of just over $ 48 million, a total of liabilities of $ 99 million and non-financial assets of $ 338 million,” he said. she declared.

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“The consolidated statement of operations and accumulated surplus shows income and expenses for a 12-month period ending December 31.

“There were total revenues, excluding capital grants, of $ 145 million, expenses of $ 142 million and just under $ 5 million for capital grants, for a net surplus at the end of the year. $ 8.4 million year.

“Adding that to the accumulated surplus at the start of the year leaves the city with an accumulated surplus of $ 287 million at the end of the year.

Mayor George Pirie added: “I am very happy to see that this is an unequivocally verified report.

District 3 Council. Joe Campbell, who sits on the committee, admitted that the majority of his questions were answered at the audit committee meeting, but he was hopeful that he could sort it out.

“The materiality (impact of an omission or inaccuracy of information in a company’s financial statements) of $ 3 million, the majority of our transactions are well below $ 3 million,” he said. -he declares.

“So I would suggest that for next year’s audit we look at weaker materiality going forward.

“Otherwise, I’m pretty confident that what you’re producing is representative of the city’s financial health to date.

Potvin said, “Although we use $ 3 million materiality, it’s not like we ignore anything under $ 3 million.

“It’s just a number that’s used, either as a percentage or as a base to use, like 25 percent, I’m just using examples, of course, or if something is 10 percent material, it may not make a difference to decisions that would be made about the financial statements.

“So I just wanted to make it clear that we don’t ignore anything under $ 3 million but, of course, yes, we can consider a different amount of materiality.”

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