City of Saskatoon Administration is forecasting that at the end of the year the Operating Budget will have a $3 million surplus and the City’s Utilities are expected to realize a $10.9 million surplus.
Director of Finance, Kari Smith, says intentional efforts to save include $3.1 million from deferred hiring, $1.2 million from office, maintenance and other expenditure deferrals and $800,00 from reduced training investments.
The external factors for savings include relatively minor snow events this year meaning a projected $3.3 million surplus in the snow and ice management program and significant increases to Transit and Access Transit revenues and a quicker return to pre-pandemic ridership, resulting in $3.2 million in higher than budgeted revenues. Other external factors for savings: Higher than anticipated interest rate environment has resulted in $1.5 million in additional investment income, and the closure of Harry Bailey Aquatic Centre has contributed to an overall surplus for Leisure Centres of $1.7 million.
Part of the surplus will be used to offset the City’s $5.7 million in targeted annual savings as well as additional base budget challenges such as $3 million for Information Technology and just over $1 million for Facilities Management.
The projected surplus is still preliminary.