Town of High River · 2017 Financial Report Town of High River, Alberta, Canada 7 Governance Structure High River council consists of mayor and six councillors. From left to right:

for the year ended December 31, 2017

Town of High River2017

Alberta, Canada

Financial Report

2017 Financial Report - Town of High River, Alberta, Canada2

2017 Financial Report - Town of High River, Alberta, Canada 3

2017 Town of High River

Financial ReportPrepared by the Town of High River

· Finance Department

· Communications Department

· Economic Development Department

Auditor: Avail LLP


Table of contents1. IntroductionOur Vision, Mission and Values .................................................................. 6Governance Structure .................................................................................. 7Organization Structure ................................................................................. 8Community Profile ....................................................................................... 10Message from the Chief Financial Officer ................................................ 12

2. Financial Statements2017 Audited Financial Statements .......................................................... 13Management Report .................................................................................... 14Independent Auditor’s Report .................................................................... 15Consolidated Financial Statements ........................................................... 16Consolidated Statement of Financial Position......................................... 16Consolidated Statement of Operations ..................................................... 17Consolidated Statement of Change in Net Financial Debt .................... 18Consolidated Statement of Cash Flow ...................................................... 19Notes to Consolidated Financial Statements ........................................... 20Schedules ...................................................................................................... 36

3. Statistical InformationFinancial Highlights ...................................................................................... 38Revenue Breakdown Charts ....................................................................... 44New Municipal Performance Indicators .................................................... 45


Our visionHigh River is a people first community on the Highwood River where we live, work and play.

Our missionDoing it better, being innovative, and daring to be different.

Our valuesRespectful, ethical, transparent and always acting in the best interests of the community.


Governance Structure

High River council consists of mayor and six councillors. From left to right: Councillor Kinghorn, Councillor Bruce Masterman, Councillor Don Moore, Councillor Michael Nychyk, Councillor Cathy Couey, Mayor Craig Snodgrass and Councillor Carol MacMillan. In Alberta, municipal councils are elected to four year terms with the next municipal election to be held in October of 2021. Photo Courtesy of Doug Mitchell.

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16 ST SE12 AVE SE

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Bob SnodgrassRecreation Complex &

Cargill Field House

EmersonLake

SunshineLake

River Valley

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High River Rodeo Grounds

Call of the West Museum

Stang Park

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HWY 543 498 AVE 498 AVE

TO HIGHWAY 22 LONGVIEW, BLACK DIAMOND, TURNER VALLEY, BAR U RANCH, KANANASKIS PROVINCIAL PARK

TO ALDERSYDE, OKOTOKS, CALGARY, EDMONTON

TO OKOTOKS, CALGARY, EDMONTON

TO BLACKIE, VULCAN, FRANK LAKE CONSERVATION AREA

TO NANTON, LETHBRIDGE, CROWSNEST PASS & USA BORDER

TO CAYLEY / HIGH RIVER AIRPORT

"X"C Hospital

"X Police Station

"X Fire Hall

Essential Services

Happy Trails

Pathways

Connector Route

"X Recycle Centre

"X Town Office

"X Campground

"X Community Centre

"X Library

"X Museum

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"X Cemetery

Town Amenities

"X Soccer Field "X Maccoy Cabin

"X Ball Diamond

"X Dog Park

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"X Fishing

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"X Outdoor Fitness Park

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"X Skate Park

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"X Tennis Court

"X Sheppard Family Park

"X River Valley Access "X Town Farm

"X Community Garden

"X Golf Course

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Organization Structure

Town Council

Citizens of High River

Town Manager

RenewalEconomic

Development

Engineering, Planning & Operations

Corporate Services Financial Services Community Services

Executive Assistant



Community ProfilePeople FirstHigh River is a “people first” community on the Highwood River that is a great place to live, work and play! The town offers an enviable quality of life for which people line up to be a part – all located just 30 minutes south of Calgary, Alberta, Canada.

High River now has a fresh new downtown complete with beautiful flowers and tree-lined, pedestrian-friendly streetscapes. Residents can enjoy a short walk or bike ride along the river pathways and visit their favourite shops, stop by the local library, and then head back to the comforts of home.

Innovation and ProtectionWith the Town’s progressive Council at the helm, High River dares to be different – to be innovative and to do it better. Building itself anew, High River is focused on connecting; people to business and opportunity, neighbours to each other, communities to land and nature.

High River is now the most well protected town in Canada from flooding. To date, over $100 million has been invested in flood mitigation and protection for our community.

What We OfferThe family-friendly neighborhoods and the vast array of cultural and recreational opportunities are just a few of the amenities that make High River such a desirable place to put down roots.

The town offers more than 1,000 unique businesses including fashion boutiques, coffee shops, and restaurants. A variety of churches, grocery stores and banks are available for day to day needs and, there’s live music, a movie theatre and a large Recreation Complex to keep you happy, healthy and entertained.

As a lifestyle community, High River has its own Hospital and a variety of medical and dental offices, including pharmacies. Veterinary Clinics, pet grooming and kennels are offered for your furry family members as well!

High River is also a senior-friendly community and offers long-term care facilities as well as handi-bus services for those residents with mobility concerns. A number of childcare options are also available for the professional family on the go.



Message from the Chief Financial OfficerJune 1, 2018

I am pleased to submit the 2017 Financial Report for the Town of High River for the fiscal year ended December 31, 2017 highlighting the financial performance of the Town over the last year.

The Town of High River is required by the Municipal Government Act to have an independent financial audit performed annually. The 2017 audited financial statements were approved at the April 23, 2018 regular meeting of council. The audit was performed by Avail LLP Chartered Professional Accounts with a clean audit opinion in accordance with Canada Public Sector Accounting Board Standards and Canadian Generally Accepted Accounting Principles. Town of High River management is responsible for the preparation of the financial statements and for internal controls to enable the preparation of these statements.

This financial report is comprised of three sections including the Introduction, Financial Statements and Statistical Information.

Within the Town’s financial statements there are three separate components. They are the Management Report that outlines the responsibilities, processes and guidelines that management must follow when preparing the financial statements; Independent Auditor’s Report; and financial statements with accompanying notes.

The Town ended the year in a strong financial position with good cash flow to meet payment obligations. Some of the highlights of 2017 include:

• Strong financial assets• Use of investments of excess cash• Improved net financial debt• 17% increase in accumulated surplus

Comparing 2016 to 2017, revenues decreased by 3%, but expenses also decreased by 13%. The rationale for both decreases are related. Repairs due to flood damages have decreased from one year to the next, as well as related grant programs have also decreased.

As we move through 2018, the Town’s goal is to continue with current positive performance and maintain financial discipline to effectively and efficiently manage tax payers’ dollars. We will continue to adhere to the Town’s long term financial principles to deliver high quality services to residents. Saving for the future remains a priority to replace aging critical infrastructure such as roads, water and sewer systems.

As you review the 2017 Financial Report, I hope it provides you with more insight into the Town’s current financial position, as well as our long term financial plan for the future.

Kola Oladimeji, CPA, CGA, FCA(Ng), MBA Chief Financial Officer Town of High River


2017 Audited Financial Statements


MANAGEMENT REPORT

The accompanying consolidated financial statements of the Town of High River (the "Town") are theresponsibility of management and have been approved by the Town's Council.

These consolidated financial statements have been prepared in conformity with accounting principles formunicipal governments established by the Canadian Institute of Chartered Accountants, usingmanagement's best estimates and judgments, where appropriate. In the opinion of management, theseconsolidated financial statements reflect fairly the financial position, the results of its financial activitiesand changes in financial position of the Town within reasonable limits of materiality.

A system of internal accounting and administrative controls is maintained by management to providereasonable assurance that assets are safeguarded against loss from unauthorized use or disposition andthat the financial records are properly maintained to provide accurate and reliable financial statements.

Council is responsible for ensuring that management fulfills its responsibilities for financial reporting andinternal controls. Council carries out this responsibility through regular meetings with managementthroughout the year to review significant accounting and auditing matters.

These consolidated financial statements have been audited, in accordance with Canadian generallyaccepted auditing standards, Avail LLP Chartered Professional Accountants, who were appointed byCouncil. Avail LLP Chartered Professional Accountants has full unrestricted access to management andCouncil to discuss their audit and related findings. The Auditors' Report outlining the scope of theirexamination and their opinion on the consolidated financial statements is presented on the followingpage.

Kola Oladimeji, CPA, CGA, MBAChief Financial Officer

Tom Maier, CPA, CGATown Manager

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INDEPENDENT AUDITOR'S REPORT

To: The Mayor and Members of Council ofthe Town of High River

We have audited the accompanying consolidated financial statements of the Town of High River whichcomprise the consolidated statement of financial position as at December 31, 2017, and the consolidatedstatements of operations, change in net financial debt and cash flow for the year then ended, and asummary of significant accounting policies and other explanatory information.

Management's Responsibility for the Consolidated Financial StatementsManagement is responsible for the preparation and fair presentation of these consolidated financialstatements in accordance with Canadian public sector accounting standards, and for such internal controlas management determines is necessary to enable the preparation of consolidated financial statementsthat are free from material misstatement, whether due to fraud or error.

Auditor's ResponsibilityOur responsibility is to express an opinion on these consolidated financial statements based on our audit.We conducted our audit in accordance with Canadian generally accepted auditing standards. Thosestandards require that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the consolidated financial statements are free from materialmisstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures inthe consolidated financial statements. The procedures selected depend on the auditor's judgment,including the assessment of the risks of material misstatement of the consolidated financial statements,whether due to fraud or error. In making those risk assessments, the auditor considers internal controlrelevant to the entity's preparation and fair presentation of the consolidated financial statements in orderto design audit procedures that are appropriate in the circumstances, but not for the purpose ofexpressing an opinion on the effectiveness of the entity's internal control. An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of accountingestimates made by management, as well as evaluating the overall presentation of the consolidatedfinancial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis forour audit opinion.

OpinionIn our opinion, the consolidated financial statements present fairly, in all material respects, the financialposition of the Town of High River as at December 31, 2017 and the results of its operations, changes inits net financial debt, and its cash flows for the year then ended in accordance with Canadian publicsector accounting standards.

Lethbridge, Alberta

April 23, 2018 Chartered Professional Accountants

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TOWN OF HIGH RIVERCONSOLIDATED STATEMENT OF FINANCIAL POSITION

As at December 31, 2017

2017 2016

Financial assetsCash and temporary investments (note 2) $ 30,209,028 $ 39,101,560Taxes and grants in place of taxes receivable (note 3) 1,278,828 1,143,605Trade and other receivables (note 4) 9,124,140 6,912,244Investments (note 5) 49,645,992 -

90,257,988 47,157,409

LiabilitiesAccounts payable and accrued liabilities 5,040,983 3,475,135Employee benefit obligations (note 6) 452,515 451,747Deposit liabilities 804,164 686,360Deferred revenue (note 7) 83,450,210 62,889,846Long-term debt (note 9) 10,315,804 11,180,520

100,063,676 78,683,608

Net financial debt (9,805,688) (31,526,199)

Non-financial assetsPrepaid expenses 93,508 86,719Inventory for consumption 354,736 524,147Tangible capital assets (schedule 2) 227,278,216 217,074,482

227,726,460 217,685,348

Accumulated surplus (note 10 and schedule 1) $ 217,920,772 $ 186,159,149

Commitments and contingencies (note 22)

Approved on behalf of Council:

Councillor Councillor

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TOWN OF HIGH RIVERCONSOLIDATED STATEMENT OF OPERATIONS

For the year ended December 31, 2017

Budget 2017 2016(Unaudited)

RevenueNet municipal property taxes (note 13) $ 12,955,400 $ 13,076,970 $ 12,442,726User fees and sales of goods 8,692,400 9,108,622 8,806,153Government transfers for operating (note 14) 4,153,360 12,250,314 13,969,007Investment income 55,000 638,709 291,213Penalties and costs of taxes 165,000 172,754 178,224Development levies - 597,167 -Licenses and permits 748,000 634,870 732,217Proceeds on disposal of capital assets - 61,498 182,552Franchise and concession contracts 1,583,000 1,524,762 1,548,261Rental 447,120 391,128 420,151Other 263,700 808,768 1,101,160Insurance proceeds - 1,807,067 2,778,391Fines 206,500 135,884 197,781Transfers from local boards and agencies - - 672

29,269,480 41,208,513 42,648,508Expenses (note 16)

Legislative 669,750 651,251 623,061Administration 4,514,380 5,024,920 5,090,388Police 2,319,160 2,227,719 2,002,459Fire 2,721,120 2,577,079 2,669,554Disaster and emergency measures 1,152,100 1,220,848 8,335,109Bylaw enforcement 333,700 113,348 156,427Other protective services 251,590 482,767 409,449Transportation services 4,534,120 4,932,495 4,392,440Water supply and distribution 1,780,460 2,783,992 2,011,156Wastewater treatment and disposal 1,819,640 1,686,609 1,582,678Waste management 899,450 926,835 864,503Common and equipment pool 2,103,870 2,146,882 2,096,690Family and community support services 811,910 1,053,329 740,662Day care 499,460 503,705 524,337Cemeteries and crematoriums 61,170 42,809 51,469Public housing and other welfare 455,250 436,515 500,179Land use planning, zoning and development 1,512,320 1,325,541 1,887,260Economic and agricultural development 765,290 574,471 299,810Recreation and culture 5,760,660 5,880,896 5,579,297

32,965,400 34,592,011 39,816,928

(Deficiency) excess of revenue over expensesbefore other

(3,695,920) 6,616,502 2,831,580

OtherGovernment transfers for capital (note 14) 37,155,000 24,139,756 3,938,570Contributed assets (note 15) - 1,005,365 -

37,155,000 25,145,121 3,938,570

Excess of revenue over expenses 33,459,080 31,761,623 6,770,150

Accumulated surplus, beginning of year 186,159,149 186,159,149 179,388,999

Accumulated surplus, end of year $ 219,618,229 $ 217,920,772 $ 186,159,149

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TOWN OF HIGH RIVERCONSOLIDATED STATEMENT OF CHANGE IN NET FINANCIAL DEBT



Excess of revenue over expenses $ 33,459,080 $ 31,761,623 $ 6,770,150

Acquisition of tangible capital assets (37,565,000) (15,886,596) (10,887,005)Amortization of tangible capital assets 5,935,700 6,576,183 6,363,340Contributed assets - (1,005,365) -Gain on disposal of tangible capital assets - (32,666) (179,163)Proceeds on disposal of tangible capital assets - 144,710 454,303

(31,629,300) (10,203,734) (4,248,525)

Net change in inventory for consumption - 169,411 20,805Net change in prepaid expense - (6,789) (21,538)

- 162,622 (733)

Decrease in net financial debt 1,829,780 21,720,511 2,520,892Net financial debt, beginning of year (31,526,199) (31,526,199) (34,047,091)

Net financial debt, end of year $ (29,696,419) $ (9,805,688) $ (31,526,199)

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TOWN OF HIGH RIVERCONSOLIDATED STATEMENT OF CASH FLOW


2017 2016

Operating transactions

Excess of revenue over expenses $ 31,761,623 $ 6,770,150Adjustments for items which do not affect cash

Gain on disposal of tangible capital assets (32,666) (179,163)Amortization of tangible capital assets 6,576,183 6,363,340Contributed assets (1,005,365) -

37,299,775 12,954,327Net change in non-cash working capital items

Taxes and grants in place of taxes receivable (135,223) (104,803)Trade and other receivables (2,211,896) 8,352,539Inventory for consumption 169,411 20,805Prepaid expenses (6,789) (21,538)Accounts payable and accrued liabilities 1,565,848 (3,258,654)Employee benefit obligations 768 55,272Deposit liabilities 117,804 (443,648)Deferred revenue 20,560,364 23,839,496

Cash provided by operating transactions 57,360,062 41,393,796

Capital transactionsProceeds on disposal of tangible capital assets 144,710 454,303Acquisition of tangible capital assets (15,886,596) (10,887,005)

Cash applied to capital transactions (15,741,886) (10,432,702)

Investing transactionsChange in investments (49,645,992) -

Financing transactionsRepayment of long-term debt (864,716) (932,727)

(Decrease) increase in cash and temporary investments (8,892,532) 30,028,367

Cash and temporary investments, beginning of year 39,101,560 9,073,193

Cash and temporary investments, end of year $ 30,209,028 $ 39,101,560

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TOWN OF HIGH RIVERNOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS


1. Significant accounting policies

The consolidated financial statements of the Town of High River are the representations ofmanagement prepared in accordance with generally accepted accounting principles for localgovernments established by the Public Sector Accounting Board of the Chartered ProfessionalAccountants of Canada. Significant aspects of the accounting policies adopted by the Town areas follows:

(a) Reporting entityThe consolidated financial statements reflect the assets, liabilities, revenue and expenses,changes in fund balances and change in financial position of the reporting entity whichcomprises all of the organizations that are owned or controlled by the Town and are,therefore, accountable to the Council for the administration of their financial affairs andresources. These financial statements include the Family Community Support Services(FCSS).

Taxes levied also includes requisitions for educational, health care, social and otherexternal organizations that are not part of the municipal reporting entity.

The statements exclude trust assets that are administered for the benefit of external parties.Interdepartmental and organizational transactions and balances are eliminated.

(b) Basis of accountingThe financial statements are prepared using the accrual basis of accounting. The accrualbasis of accounting records revenue as it is earned and measurable. Expenses arerecognized as they are incurred and measurable based upon receipt of goods or servicesand/or the legal obligation to pay.

Funds from external parties and earnings thereon restricted by agreement or legislation areaccounted for as deferred revenue until used for the purpose specified.

Government transfers, contributions and other amounts are received from third partiespursuant to legislation, regulation or agreement and may only be used for certain programs,in the completion of specific work, or for the purchase of tangible capital assets. In addition,certain user charges and fees are collected for which the related services have yet to beperformed. Revenue is recognized in the period when the related expenses are incurred,services performed or the tangible capital assets are acquired.

(c) InvestmentsInvestments are recorded at amortized cost. Investment premiums and discounts areamortized on the net present value basis over the term of the respective investments.When there has been a loss in value that is other than a temporary decline, the respectiveinvestment is written down to recognize the loss.

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1. Significant accounting policies, continued

(d) Contaminated sites liabilityContaminated sites are a result of contamination being introduced into air, soil, water orsediment of a chemical, organic or radioactive material or live organism that exceeds anenvironmental standard. The liability is recorded net of any expected recoveries. A liabilityfor remediation of a contaminated site is recognized when a site is not in productive use andis management's estimate of the cost of post-remediation including operation, maintenanceand monitoring.

(e) Government transfersGovernment transfers are the transfer of assets from senior levels of government that arenot the result of an exchange transaction, are not expected to be repaid in the future, or theresult of a direct financial return.

Government transfers are recognized in the financial statements as revenue in the period inwhich events giving rise to the transfer occur, providing the transfers are authorized, anyeligibility criteria have been met, and reasonable estimates of the amounts can bedetermined.

(f) Requisition over-levy and under-levyOver-levies and under-levies arise from the difference between the actual property tax levymade to cover each requisition and the actual amount requisitioned.

If the actual levy exceeds the requisition, the over-levy is accrued as a liability and propertytax revenue is reduced. Where the actual levy is less than the requisition amount, theunder-levy is accrued as a receivable and as property tax revenue.

Requisition tax rates in the subsequent year are adjusted for any over-levies or under-leviesof the prior year.

(g) Use of estimatesThe preparation of financial statements in conformity with Canadian generally acceptedaccounting principles requires management to make estimates and assumptions that affectthe reported amount of assets and liabilities and disclosure of contingent assets andliabilities at the date of the financial statements, and the reported amounts of revenue andexpense during the period. Where measurement uncertainty exists, the financial statementshave been prepared within reasonable limits of materiality. Actual results could differ fromthose estimates.

(h) Deferred revenueRevenue related to certain grants, user charges, fees and donations are collected for whichthe related services have yet to be performed or expenditures made. Revenue isrecognized in the period when the related expenses are incurred, services performed ortangible capital assets acquired.

(i) Local Authorities Pension PlanThe Town participates in a multi-employer defined benefit pension plan. This plan isaccounted for as a defined contribution plan whereby contributions are expensed asincurred.

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1. Significant accounting policies, continued

(j) Non-financial assetsNon-financial assets are not available to discharge existing liabilities and are held for use inthe provision of services. They have useful lives extending beyond the current year and arenot intended for sale in the normal course of operations. The change in non-financial assetsduring the year, together with the excess of revenues over expenses, provides theconsolidated Change in Net Financial Debt for the year.

(i) Tangible capital assetsTangible capital assets are recorded at cost which includes all amounts that are directlyattributable to acquisition, construction, development or betterment of the asset. Thecost, less residual value, of the tangible capital assets is amortized on a straight-linebasis over the estimated useful life as follows:

Years

Land improvements 15-50Buildings 25-50Engineered structures 15-95Machinery and equipment 5-40Vehicles 10-25

Amortization is pro-rated by month in the year of acquisition and in the year ofdisposal. Assets under construction are not amortized until the asset is available forproductive use.

(ii) Contributions of tangible capital assetsTangible capital assets received as contributions are recorded at fair value at the dateof receipt and also are recorded as revenue.

(iii) LeasesLeases are classified as capital or operating leases. Leases which transfer substantiallyall of the benefits and risks incidental to ownership of property are accounted for ascapital leases. All other leases are accounted for as operating leases and the relatedlease payments are charged to expenses as incurred.

(iv) InventoriesInventories held for consumption are recorded at the lower of cost and replacementcost.

(v) Cultural and historical tangible capital assetsCultural and historical properties are held in the Town in various locations. Due to thesubjective nature of the assets they are not included in the values shown on theconsolidated financial statements.

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2. Cash and temporary investments

2017 2016

Cash $ 29,673,434 $ 38,563,443Temporary investments 211,735 210,158Cash held with CIBC Wood Gundy 323,859 -Restricted cash - 327,959

$ 30,209,028 $ 39,101,560

Temporary investments are investments with an original maturity of three months or less.

Temporary investments consist of a money market fund investment with AMSC (MuniFunds)that has a current value of $211,735.

The Town holds a balance of $804,164 (2016 - $686,360) related to security on futuredevelopments. This cash is to be refunded to the developer once the terms of the agreement aremet or used to fund the correction of deficiencies.

3. Taxes and grants in place of taxes receivables

2017 2016

Taxes and grants in place of taxes receivable $ 838,565 $ 573,381Less: Allowance for doubtful accounts (6,450) (7,478)

832,115 565,903Arrears 446,713 577,702

$ 1,278,828 $ 1,143,605

4. Trade and other receivables

2017 2016

Receivable from other governments $ 5,292,575 $ 1,381,674Utility and other trade accounts receivable 3,439,861 5,596,574Interest receivable 402,380 -Allowance for doubtful accounts (10,676) (66,004)

$ 9,124,140 $ 6,912,244

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5. Investments

2017 2016Cost Market value Cost Market value

Fixed income $ 37,142,980 $ 36,678,604 $ - $ -Principal protected notes 12,500,000 12,323,300 - -Other 3,012 3,012 - -

$ 49,645,992 $ 49,004,916 $ - $ -

Investments includes all investments with an original maturity of greater than three months.

The fixed income portfolio has effective interest rates of 2.50% - 9.98%, with maturity dates from2022 to 2108.

The other long-term investments are recorded at fair market value. These instruments are tradedin an organized financial market.

The carrying value of certain investments have not been written down to market value becausemanagement has concluded, based on a review of market information for these investments,there is no obvious indication of significant impairment that is other than temporary. As a result,no write down has occurred in 2017.

6. Employee benefit obligations

2017 2016

Vacation, overtime, and accrued benefits $ 452,515 $ 451,747

Vacation, overtime, and other accrued benefits

The vacation, overtime, and other accrued benefits liability is comprised of the vacation,overtime, and other accrued benefits that employees are deferring to future years. Employeeshave either earned the benefits (and are vested) or are entitled to these benefits within the nextbudgetary year.

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7. Deferred revenue

2017 2016

Disaster recovery program $ 60,236,899 $ 31,252,560Municipality sustainability initiative - capital 8,536,830 7,872,225Flood recovery erosion control grant 4,900,258 5,042,407Flood mitigation grant 4,158,425 6,605,351Augmented staff renewal grant 3,220,287 10,301,015Federal gas tax fund 1,145,812 1,048,364CRC High River recovery toolkit 466,024 -Red Cross building community capacity 226,078 -Other 358,706 257,638Watershed resiliency and restoration program 105,051 300,385Tax prepayment 95,840 65,284Secondary suites - 101,126Insurance proceeds - 27,574United Way resiliency fund phase II - 8,941Fire feasibility study - 6,226Disaster recovery program advocacy committee - 750

$ 83,450,210 $ 62,889,846

8. Credit facilities

In order to facilitate temporary financing for operating expenses the Town has passed aborrowing bylaw approving an operating loan from the Royal Bank of Canada (RBC). The loan isapproved to a maximum of $4,000,000, with interest payable at RBC's prime rate minus one-halfpercent. Security for the loan is on the property taxes of the Town. As at December 31, 2017, nil(2016 - nil) was drawn upon this credit facility. At December 31, 2017, the effective rate ofinterest on the credit facility was 2.70%.

9. Long-term debt

2017 2016

Mundy Park Affordable Housing - self supported $ 1,006,288 $ 1,043,618Affordable Housing Phase II - self supported 564,227 577,699Hwy 543 Extension - tax supported 1,721,479 1,914,703RecPlex Field House - tax supported 5,557,998 6,010,068Canadian Pacific Railway Lands - tax supported 1,465,812 1,634,432

$ 10,315,804 $ 11,180,520

Current portion $ 890,236 $ 864,716

12




9. Long-term debt, continued

Principal and interest repayments are due as follows:

Principal Interest Total

2018 $ 890,236 $ 309,432 $ 1,199,6682019 916,567 283,101 1,199,6682020 943,737 255,931 1,199,6682021 971,774 227,894 1,199,6682022 1,000,709 198,959 1,199,668Thereafter 5,592,781 1,221,915 6,814,696

$ 10,315,804 $ 2,497,232 $ 12,813,036

Debenture debt is repayable to Alberta Capital Finance Authority and bears interest between1.52% and 4.454% per annum and matures between 2025 and 2041.

Debenture debt is issued on the credit and security of the Town at large.

Interest on long-term debt amounted to $329,873 (2016 - $355,740).

The Town’s total cash payments for interest in 2017 were $334,952 (2016 - $360,745).

10. Accumulated surplus

Accumulated surplus consists of internally restricted and unrestricted amounts and equity intangible capital assets as follows:

2017 2016

Unrestricted deficit $ (13,141,839) $ (31,501,134)Internally restricted surplus (reserves) (note 11) 14,100,199 11,766,321Equity in tangible capital assets (note 12) 216,962,412 205,893,962

$ 217,920,772 $ 186,159,149

13




11. Reserves

Council has set up reserves for various purposes. These reserves are either required bylegislation or set up at the discretion of Council to provide funding for future expenses.

2017 2016

OperatingAdministration $ 547,552 $ 540,763Sale of Town land 418,197 418,197Safety Codes 334,066 497,838Snow Maintenance 200,098 68,746FCSS projects 120,303 112,207Affordable housing maintenance 98,811 71,707Community arts 97,735 90,735Health and safety 62,400 31,400Cemetery 31,492 31,492United Way 26,451 42,698Economic development 8,099 8,099

1,945,204 1,913,882CapitalWater & waste assessment 3,531,816 3,340,356Roads assessment 3,136,550 2,793,139Community infrastructure reinvestment fund 2,914,030 1,010,594Infrastructure 1,428,630 2,121,769Roads 379,246 138,351Sanitary sewer utility 291,957 107,026Engineering assessment 144,625 144,625Sanitary sewer offsite 129,602 -Fire 128,831 127,555Shop equipment 58,826 58,243Storm sewer 10,189 10,088Streets reserve 693 693

12,154,995 9,852,439

$ 14,100,199 $ 11,766,321

14




12. Equity in tangible capital assets

2017 2016

Tangible capital assets (schedule 2) $ 304,263,830 $ 287,963,842Accumulated amortization (schedule 2) (76,985,614) (70,889,360)Long-term debt (note 9) (10,315,804) (11,180,520)

$ 216,962,412 $ 205,893,962

13. Net municipal property taxes


TaxationReal property taxes $ 18,030,287 $ 18,141,160 $ 17,643,126Linear property taxes 185,000 184,247 182,857Government grants in place of property taxes 235,000 233,091 16,605Special assessments and local improvements 2,700 2,715 5,608

18,452,987 18,561,213 17,848,196

RequisitionsSchool Foundation Fund 4,834,407 4,828,477 4,766,711Christ the Redeemer RCSSD 405,570 405,570 401,648Foothills Foundation 257,610 250,196 237,111

5,497,587 5,484,243 5,405,470

$ 12,955,400 $ 13,076,970 $ 12,442,726

15




14. Government transfers


Transfers for operating:Provincial government $ 2,992,760 $ 11,067,942 $ 12,777,192Federal government 15,000 47,568 16,128Other local governments 1,145,600 1,134,804 1,175,687

4,153,360 12,250,314 13,969,007

Transfers for capital:Provincial government 37,155,000 24,139,756 3,938,570

$ 41,308,360 $ 36,390,070 $ 17,907,577

15. Contributed assets

Contributed assets have been recognized at fair value at the date of contribution. The value ofcontributed assets received during the year is $1,005,365 (2016 - nil).

Contributed assets received consists of:

2017 2016

Roadway system $ 1,005,365 $ -

16. Expenses by object


Salaries, wages and benefits $ 14,522,950 $ 14,223,674 $ 14,699,655Contracted and general services 6,228,110 7,343,408 12,929,258Materials, goods, supplies and utilities 2,983,040 3,107,483 2,732,817Bank charges and short term interest 33,400 33,755 27,279Interest on long term debt 334,900 329,873 355,740Transfers to organizations and others 1,003,400 1,061,298 989,405Purchases from other governments 1,920,000 1,854,369 1,665,858Provision for allowances 3,900 33,136 50,187Amortization of tangible capital assets 5,935,700 6,576,183 6,363,340Loss on disposal of tangible capital assets - 28,832 3,389

$ 32,965,400 $ 34,592,011 $ 39,816,928

16




17. Budget amounts

The 2017 operating and capital budgets for the Town were approved by Council on December12, 2016 and January 7, 2017 and have been reported in the consolidated financial statementsfor information purposes only. These budget amounts have not been audited, reviewed, orotherwise verified.

The approved budgets contained reserve transfers, capital additions and principal payments ondebt as expenditures. Since these items are not included in the amounts reported in theconsolidated financial statements, they have been excluded from the budget amounts presentedin these financial statements.

Budgeted surplus per financial statements $ 33,459,080

Less: Capital expenditures (37,565,000)Long-term debt repayments (864,700)Transfers to reserves 844,020

Add: Amortization 5,935,700Transfers from reserves (1,809,100)

Equals: Balanced budget $ -

18. Financial instruments

The Town's financial instruments consist of cash and temporary investments, accountsreceivable, investments, debt charges recoverable, bank indebtedness, accounts payable andaccrued liabilities, deposit liabilities, requisition over-levy, and long-term debt. It ismanagement's opinion that the Town is not exposed to significant interest or risk arising fromthese financial instruments.

The Town is subject to credit risk with respect to taxes and grants in place of taxes receivablesand trade and other receivables. Credit risk arises from the possibility that taxpayers and entitiesto which the Town provides services may experience financial difficulty and be unable to fulfiltheir obligations. The large number and diversity of taxpayers and customers minimizes thecredit risk. As such the related risk is low.

Unless otherwise noted, the carrying value of the financial instrument approximates fair value.

17




19. Debt limits

Section 276(2) of the Municipal Government Act requires that debt and debt limits as defined byAlberta Regulation 255/00 for the Town be disclosed as follows:

2017 2016

Total debt limit $ 61,812,770 $ 63,972,762Total debt 10,315,804 11,180,520

$ 51,496,966 $ 52,792,242

Debt servicing limit $ 10,302,128 $ 10,662,127Debt servicing 1,199,668 1,199,668

$ 9,102,460 $ 9,462,459

The debt limit is calculated at 1.5 times revenue of the municipality (as defined in AlbertaRegulation 255/00) and the debt service limit is calculated at 0.25 times such revenue. Incurringdebt beyond these limitations requires approval by the Minister of Municipal Affairs. Thesethresholds are guidelines used by Alberta Municipal Affairs to identify municipalities which couldbe at financial risk if further debt is acquired. The calculation taken alone does not represent thefinancial stability of the municipality. Rather, the financial statements must be interpreted as awhole.

20. Local authorities pension plan

Employees of the Town participate in the Local Authorities Pension Plan (LAPP), which is one ofthe plans covered by the Alberta Public Sector Pensions Plans Act. The plan serves about254,000 people and 417 employers. The LAPP is financed by the employer and employeecontributions and by investment earnings of the LAPP Fund.

Contributions for current service are recorded as expenditures in the year in which they becomedue.

The Town is required to make current service contributions to the LAPP of 11.39% ofpensionable earnings up to the year's maximum pensionable earnings under the CanadaPension Plan and 15.84% on pensionable earnings above this amount. Employees of the Townare required to make current service contributions of 10.39% of pensionable salary up to theyear's maximum pensionable salary and 14.84% on pensionable salary above this amount.

Total current service contributions by the Town to the LAPP in 2017 were $1,022,763 (2016 -$939,731). Total current service contributions by the employees of the Town to the LAPP in2017 were $942,572 (2016 - $866,190).

At December 31, 2016, the LAPP disclosed an actuarial deficiency of $637 million.

18




21. Salary and benefits disclosure

Disclosure of salaries and benefits for elected municipal officials, the chief administrative officerand designated officers as required by Alberta Regulation 313/2000 is as follows:

(a)

Salary

(b)Benefits &

allowances 2017 2016

CouncilMayor Craig Snodgrass $ 52,592 $ 6,459 $ 59,051 $ 57,640Councillor Bruce Masterman 27,005 5,464 32,469 31,630Councillor Michael Nychyk 26,630 5,450 32,080 4,944Councillor Cathy Couey 26,943 2,698 29,641 32,149Councillor Don Moore 29,293 138 29,431 30,587Councillor Emile Blokland 22,636 4,520 27,156 31,500Councillor Dragan Brankovich 22,636 4,520 27,156 31,500Councillor Carol McMillan 4,097 934 5,031 -Councillor Jamie Kinghorn 4,097 934 5,031 -Councillor Peter Loran - - - 20,703

Chief Administrative Officer (c) 177,287 37,615 214,902 415,971Designated Officer (2) $ 109,972 $ 24,425 $ 134,397 $ 173,150

(a) Salary includes regular base pay, bonuses, overtime, lump sum payments, gross honorariaand any other direct cash remuneration.

(b) Benefits and allowances include the employer's share of all employee benefits andcontributions or payments made on behalf of employees including pension, health care,dental coverage, vision coverage, group life insurance, accidental disability anddismemberment insurance, long- and short-term disability plans, professional memberships,and tuition.

(c) Chief Administrative Officer total salaries and benefits in the prior year related to twoemployees.

19




22. Commitments and contingencies

The Town is a member of the Alberta Municipal Insurance Exchange (MUNIX) which providesliability insurance. The investment in this program is not reflected as an asset in theaccompanying financial statements. Under the terms of membership, the Town could becomeliable for its proportionate share of any claim losses in excess of the funds held by the exchange.Any liability incurred would be accounted for as a current transaction in the year the losses aredetermined.

The employees of the Town are allowed to accrue sick leave to a maximum of 140 days. Theamount was not recorded in the financial statements as there is no certainty the full amount willbe used. The amount of accrued sick leave is not paid out to employees when they leave theirposition.

The Town is committed to fund its portion of future operating deficits incurred by the followingentities:

- Foothills Regional Services Commission - Foothills Regional Emergency Services Commission

23. Segmented disclosure

The Town provides a range of services to its ratepayers. For each reported segment, revenuesand expenses represent both amounts that are directly attributable to the segment and amountsthat are allocated on a reasonable basis. The accounting policies used in these segments areconsistent with those followed in the preparation of the financial statements as disclosed in Note1.

Refer to the schedule of segmented disclosure (schedule 3).

24. Disaster Recovery Program

The Town has submitted most of its detailed claims to the Government of Alberta's DisasterRecovery Program (DRP), mitigation grant programs, staff augmentation funding program, andits insurance provider, relating to the recovery and replacement of the impaired buildings,municipal infrastructure, and operating expenditures, that were incurred due to the floodemergency response. It is currently awaiting final approvals for some of its DRP claims.

Due to uncertainty in measurement, as well as uncertainty of collectability, the Town has notrecognized accounts receivable or revenue for Provincial funding that it expects to receive in thefuture related to remediation or mitigation costs. These amounts will be recorded as revenue inthe fiscal year they are approved.

25. Contaminated sites liability

The Town has adopted PS3260 liability for contaminated sites. The Town did not identify anyfinancial liabilities in 2017 (2016 - nil) as a result of this standard.

20




26. Approval of financial statements

These financial statements were approved by Council and Management on April 23, 2018.

21


TOWN OF HIGH RIVERSCHEDULES TO THE CONSOLIDATED FINANCIAL STATEMENTS


Schedule of changes in accumulated surplus Schedule 1

Unrestricted RestrictedEquity in tangible

capital assets 2017 2016

Balance, beginning of year $ (31,501,134) $ 11,766,321 $ 205,893,962 $ 186,159,149 $ 179,388,999Excess of revenue over

expenses 31,761,623 - - 31,761,623 6,770,150Unrestricted funds

designated for future use (3,594,658) 3,594,658 - - -Restricted funds used for

operations 374,649 (374,649) - - -Restricted funds used for

tangible capital assets - (886,131) 886,131 - -Current year funds used for

tangible capital assets (14,927,075) - 14,927,075 - -Contributed tangible capital

assets (1,005,365) - 1,005,365 - -Disposal of tangible capital

assets 38,654 - (38,654) - -Amortization of tangible

capital assets 6,576,183 - (6,576,183) - -Long-term debt repaid (864,716) - 864,716 - -

Change in accumulatedsurplus

18,359,295 2,333,878 11,068,450 31,761,623 6,770,150

Balance, end of year $ (13,141,839) $ 14,100,199 $ 216,962,412 $ 217,920,772 $ 186,159,149

22


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23


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24


2017 Statistical

Information

2017 Financial Report - Town of High River, Alberta, Canada 392017 Financial Report - Town of High River, Alberta, Canada

Financial HighlightsThe financial tables below provide an overview of key financial performance of The Town of High River over the past five years.

The following numbers are in the (‘000).

The following numbers are in the ($‘000).



2017 2016 2015 2014 2013Consolidated Financial Position

Financial Assets 90,258 47,157 25,377 27,796 54,877Liabilities 100,064 78,684 59,424 65,037 56,719Net Financial Assets/(Debts) (9,806) (31,526) (34,047) (37,241) (1,843)Non-financial Assets 448 611 610 589 546Net Tangible Capital Assets 227,726 217,685 213,436 200,754 143,362Total Non-financial assets 227,726 217,685 213,436 200,755 143,362

Accumulated Surplus 217,921 186,159 179,389 163,513 141,519

Revenue By Segment

General Government 18,204 17,716 17,183 14,114 13,432 Protective Services 10,987 13,019 18,178 34,712 46,406 Transportation Services 282 396 296 270 1,406 Environmental Services 7,867 7,527 7,155 6,730 4,990 Public Health Services 1,355 1,058 1,590 1,684 1,034 Planning and Development 1,142 1,562 1,321 1,693 1,858Recreation & Culture 1,371 1,371 1,318 1,674 862

Total Revenue 41,209 42,649 47,041 60,878 69,988

Expenses By Segment

General Government 5,676 5,713 5,757 5,388 4,968 Protective Services 6,622 13,573 21,049 36,502 47,891 Transportation Services 4,932 4,392 4,991 3,900 5,672 Environmental Services 7,544 6,555 7,580 6,377 7,036 Public Health Services 1,682 1,438 1,666 1,760 1,102 Planning and Development 2,254 2,565 2,092 2,354 1,886Recreation & Culture 5,889 5,580 5,516 5,231 4,508

Total Expenses 34,592 39,817 48,651 61,512 73,064

Annual Surplus/(Deficit) by Segment

General Government 12,528 12,003 11,427 8,726 8,464 Protective Services 4,366 (554) (2,871) (1,790) (1,485)Transportation Services (4,651) (3,996) (4,696) (3,630) (4,266)Environmental Services 323 972 (425) 354 (2,046)Public Health Services (327) (381) (77) (76) (68)Planning and Development (1,113) (1,003) (771) (661) (28)Recreation & Culture (4,510) (4,208) (4,197) (3,557) (3,646)Total Surplus/(Deficit) 6,617 2,832 (1,610) (635) (3,076)

2017 Financial Report - Town of High River, Alberta, Canada40 2017 Financial Report - Town of High River, Alberta, Canada

2017 2016 2015 2014 2013

Revenue By Object

Net Municipal Property Taxes 13,076 12,443 12,160 9,515 10,548

User Fees & Sales of Goods 9,109 8,806 8,447 7,774,000 5,821

Government Transfers for Operating 12,250 13,969 19,749 25,497 41,504

Investment Income 639 291 84 272 399

Penalties & Costs of Taxes 173 178 125 154 87

Development Levies 597 - 688 349 626

Licenses & Permits 635 732 954 1,180 1,515

Proceeds on Disposal of Capital Assets 62 183 45 1 1,557

Franchise & Concession Contracts 1,525 1,548 1,628 1,385 1,127

Rental 391 420 417 431 350

Other 809 1,101 1,455 2,251 329

Insurance Proceeds 1,807 2,778 1,040 11,814 5,802

Fines 136 198 1816 185 223

Transfers From Local Boards & Agencies - 1 62 71 98

Total Revenue 41,209 42,649 47,041 60,878 69,988

Expenses By Object

Salaries, Wages & Benefits 14,224 14,700 14,984 16,675 14,305

Contracted & General Services 7,343 12,929 19,274 31,271 38,407

Materials, Goods, Supplies & Utilities 3,107 2,733 3,049 3,775 8,568

Bank Charges & Short Term Interest 34 27 27 34 28

Interest on Long Term Debt 330 356 360 394 450

Transfers to Arganizations & Others 1,061 989 998 2,335 1,048

Purchases From Other Governments 1,854 1,666 1,890 1,630 1,789

Provision for Allowances 33 50 4 (10) 35

Loss on disposal of Tangible Capital Assets 29 3 2,164 303 3,544

Total Expenses Before Amortization 28,016 33,454 42,751 56,407 68,176

Net Surplus/(Deficit) Before Amortization 13,193 9,195 4,290 4,470 1,812

Amortization of Tangible Capital Assets 6,576 6,363 5,900 5,105 4,888

Net Surplus/(Deficit) After Amortization 6,617 2,832 (1,610) (635) (3,076)

Other

Government Transfer for Capital 24,140 3,939 17,486 12,914 4,495 Contributed Assets 1,005 - 9,716 -

Net Surplus/(Deficit) 31,762 6,770 15,876 21,994 1,419

Financial HighlightsThe following numbers are in the ($‘000).


The following numbers are in the (‘000).


2017 2016 2015 2014 2013

Revenue By Object

Net Municipal Property Taxes 13,076 12,443 12,160 9,515 10,548

User Fees & Sales of Goods 9,109 8,806 8,447 7,774,000 5,821

Government Transfers for Operating 12,250 13,969 19,749 25,497 41,504

Investment Income 639 291 84 272 399

Penalties & Costs of Taxes 173 178 125 154 87

Development Levies 597 - 688 349 626

Licenses & Permits 635 732 954 1,180 1,515

Proceeds on Disposal of Capital Assets 62 183 45 1 1,557

Franchise & Concession Contracts 1,525 1,548 1,628 1,385 1,127

Rental 391 420 417 431 350

Other 809 1,101 1,455 2,251 329

Insurance Proceeds 1,807 2,778 1,040 11,814 5,802

Fines 136 198 1816 185 223

Transfers From Local Boards & Agencies - 1 62 71 98

Total Revenue 41,209 42,649 47,041 60,878 69,988

Expenses By Object

Salaries, Wages & Benefits 14,224 14,700 14,984 16,675 14,305

Contracted & General Services 7,343 12,929 19,274 31,271 38,407

Materials, Goods, Supplies & Utilities 3,107 2,733 3,049 3,775 8,568

Bank Charges & Short Term Interest 34 27 27 34 28

Interest on Long Term Debt 330 356 360 394 450

Transfers to Arganizations & Others 1,061 989 998 2,335 1,048

Purchases From Other Governments 1,854 1,666 1,890 1,630 1,789

Provision for Allowances 33 50 4 (10) 35

Loss on disposal of Tangible Capital Assets 29 3 2,164 303 3,544

Total Expenses Before Amortization 28,016 33,454 42,751 56,407 68,176

Net Surplus/(Deficit) Before Amortization 13,193 9,195 4,290 4,470 1,812

Amortization of Tangible Capital Assets 6,576 6,363 5,900 5,105 4,888

Net Surplus/(Deficit) After Amortization 6,617 2,832 (1,610) (635) (3,076)

Other

Government Transfer for Capital 24,140 3,939 17,486 12,914 4,495 Contributed Assets 1,005 - 9,716 -

Net Surplus/(Deficit) 31,762 6,770 15,876 21,994 1,419

2017 Financial Report - Town of High River, Alberta, Canada

2017 2016 2015 2014 2013Asessment

Property Tax Assessment 1,985,577 1,990,469 1,934,616 1,655,135 1,878,815

Mill Rates

Municipal - Residential/Farmland 6.2914 6.0451 6.1904 5.7351 5.6166Municipal - Non-Residential 7.7070 7.2541 7.1190 5.7351 5.6166School - Residential & Farmland 2.4875 2.4777 2.2868 2.8499 2.5999School - Non-Residential 3.4853 3.5291 3.2577 4.4475 3.7823Seniors - Residential & Farmland 0.1258 0.1164 0.1419 0.1437 0.1374Seniors - Non-Residential 0.1541 0.1397 0.1632 0.1437 0.1374

Tax Levies & CollectionTotal Tax Levy 18,561,213 17,848,196 17,192,368 14,906,205 16,047,995 School Foundation Fund 4,828,477 4,766,711 4,384,485 4,758,418 4,836,157 Christ the Redeemer RCSSD 405,570 401,648 366,139 394,507 404,678 Foothills Foundation 250,196 237,111 281,463 237,795 259,209

Net municipal taxes 13,076,970 12,442,726 12,160,281 9,515,485 10,547,951 Tax Levy Per Capita - Municipal 947 916 898 705 784 Tax Levy Per Capita - School 379 380 351 382 390 Tax Levy Per Capita - Foundation 18 17 21 18 19

Total tax levy per capita 1,344 1,314 1,270 1,105 1,193

Tax Levy Per Dwelling - Municipal 2,423 2,363 2,290 1,772 1,987 Tax Levy Per Dwelling - School 970 982 895 959 987 Tax Levy Per Dwelling - Foundation 46 45 53 44 49

Total Taxy Levy Per Dwelling 3,439 3,390 3,238 2,775 3,023

Tax Arrears, End of Year (prior to allowance for doubtful accounts)

446,713 577,702 335,239 283,665 233,028

Arrears As a % of Total Tax Levy 2.41% 3.24% 1.95% 1.90% 1.45%Municipal Tax Levy as % of Revenue 31.73% 29.18% 25.85% 15.63% 15.07%Total Taxes Collected 18,296,029 17,979,058 17,350,410 14,748,519 15,821,149 Total Taxes Receivable 838,565 573,381 704,243 862,285 704,599 % Taxes Receivable 4.52% 3.21% 4.10% 5.78% 4.39%

Financial HighlightsThe following numbers are in the ($‘000).

2017 Financial Report - Town of High River, Alberta, Canada42 2017 Financial Report - Town of High River, Alberta, Canada

Financial Highlights2017 2016 2015 2014 2013

Long- Term Debt

Total Debt Outstanding, Beg. of Year 11,180,520 12,113,247 11,459,995 12,319,920 8,311,178 Debt Issued During Year - - 1,800,000 - 7,500,000 Debt Repayments During Year 864,716 932,727 1,146,748 859,925 3,491,258 Total Debt Outstanding, Dec. 31 10,315,804 11,180,520 12,113,247 11,459,995 12,319,920 General Municipal Debt Outstanding, end of year 8,745,289 9,559,203 10,443,312 9,341,570 10,149,088 Affordable Housing Debt Oustanding, end of year 1,570,515 1,621,317 1,669,935 2,118,425 2,170,832 Total Debt Outstanding 10,315,804 11,180,520 12,113,247 11,459,995 12,319,920 Authorized Debt Limit, Dec. 31 61,812,770 63,972,762 70,561,113 91,316,444 104,981,306 Debt Per Capita 747 823 895 849 916 Debt Per Dwelling 1,911 2,124 2,281 2,134 2,321 Debt as % of Taxable Assessment 0.52% 0.56% 0.63% 0.69% 0.66%Debt as % of Revenue 25.0% 26.2% 25.8% 18.8% 17.6%

Demographic & Economic InformationPopulation 13,815 13,584 13,539 13,494 13,450 Building Permits Number 206 203 333 236 148 Value (in millions) 39.4 44.9 59.8 37.9 40.8Urban Dwelling Starts 41 42 63 82 46Inflation Rate for High River 1.6% 1.0% 0.2% 0.2% 0.3%Number of Businesses 1,015 1,018 1,057 1,108 1,334 Unemployment Rate High River 7.5% 8.2% 7.5% 6.8% 6.0% Alberta 7.0% 8.6% 7.1% 4.9% 4.8% Canada 5.7% 7.0% 6.9% 6.9% 7.1%Average House Assessment 326,700 332,000 314,000 281,000 250,000



Revenue Breakdown By Object

32%

22%

30%

4%

4%

1% 7%

RevenueBreakdown(2017)

NetMunicipalPropertyTaxes

UserFeesandSalesofGoods

GovernmentTransfersforOperating

FranchiseandConcessionContracts

InsuranceProceeds

Investment Income

Other

Expenses Breakdown By Segment

15%

6%

7%

4%

14%

8% 5%

3%

6%

3%

4%

17%

8%

Expenses Breakdown(2017)

Administration

Police

Fire

DisasterandEmergencyMeasures

Transportation

WaterSupplyandDistribution

Wastewater Treatment andDisposal

WasteManagement

Operations

FamilyandCommunitySupportServices

LandUsePlanning,ZoningandDevelopment

RecreationandCulture

Others

Net Municipal Property Taxes

User Fees & Sales of Goods

Government Trasnsfer for Operating

Franchise & Concession Conctracts

Insurance Proceeds

Investment Income

Other

Administration

Police

Fire

Disaster & Emergency Measures

Transportation

Water Supply & Distribution

Wastewater Treatment & Disposal

Waste Management

Operations

Family & Community Support Services

Land Use Planning, Zoning & Development

Recreation & Cultre

Others


Alberta Municipal Affairs introduced new performance measures for municipalities as part of the Government of Alberta’s Municipal Sustainability Strategy. As such, these indicators will be provided beginning in 2017 and onward.

The ministry performance measure will calculate the percentage of municipalities that are deemed to be “not at risk” based on defined financial, governance, and community indicators. The new ministry performance measures build on the work of the Government of Alberta’s Municipal Sustainability Strategy. Although the ministry performance measure is reported as an aggregate percentage, the underlying municipal indicators can provide each municipality and the department with useful information and alerts to emerging challenges.

Town of High River Municipal Performance Indicators 2017 Benchmark

Best Practice/Standard

1. Tax Base Ratio: 81% residential <95%

2. Tax Collection Rate: 95% >90%

3. Current Ratio: 1:1 >1

4. Debt to Revenue Percentage: 25% Max 120%

5. Debt Service Percentage: 2.9% Max 20%

6. Assets Sustainability Ratio: 1:2.6 Min 1:1

7. NBV of Tangible Capital Assets Percentage : 75% >40%

Each indicator above is intended to measure a specific aspect of the municipality’s governance and finances.

Each indicator has a defined benchmark. The benchmarks established by Municipal Affairs for each indicator are rules of thumb that provide a general indication of acceptable risk; however, a municipality may have unique circumstances or alternative strategies that justify a different result.

New MunicipalPerformance Indicators

www.highriver.ca

Documents

Town of High River · 2017 Financial Report Town of High River, Alberta, Canada 7 Governance Structure High River council consists of mayor and six councillors. From left to right: