The latest financial forecast from the City of Winnipeg shows COVID-19 continues to drain the city’s funds.
Winnipeg’s general revenue fund saw a shortfall of $53.9 million during the first quarter of 2022.
There’s also an additional $10.5-million deficit with Winnipeg Transit as it continues to see a decline in ridership.
The city did note in its report that there have been more people riding the bus compared with 2021 but ridership is still about 48 per cent below normal.
The report said COVID-19 played the biggest role in the deficit. Officials set aside $41.3 million for pandemic-related costs but had to use an extra $15.3 million to deal with the virus.
The ruthless winter, along with money pressures from police and Winnipeg Fire Paramedic Service, also contributed to the shortfall.
To try and soften the blow, the public service suggests reductions of certain expenditures, as well as transfers to the general revenue fund from reserves, certain special operating agencies, and water and waste operations in excess of amounts already budgeted in 2022, totalling $7 million.
“The city anticipated continued challenges due to the pandemic in 2022, and we’re seeing the effects of COVID-19 on our finances in the first-quarter report,” said Coun. Jeff Browaty, chairperson of the standing policy committee on finance. “We will continue to take fiscally prudent steps to mitigate the impacts of the pandemic on our finances while minimizing impacts on city operations.”
You can explore the latest financial report online.
The report is expected to be discussed further at the next standing policy committee on finance regular meeting Monday.
Comments