City opts for flexible 15 per cent reserve allocation for 2016 Capital & Operations budget

first_imgFORT ST. JOHN, B.C. — Out of four scenarios for the Capital/Operations budget presented in yesterday’s Committee of the Whole, a 15 per cent scenario that would allow room for a maximum of 20 per cent and a minimum of 10 per cent was chosen by Council.This scenario sees 15 per cent reserve allocation, and all the projects listed in Scenario 1, with more room for Office Equipment and replacements in the budget.Credit: City of Fort St. JohnCredit: City of Fort St. John- Advertisement –Credit: City of Fort St. JohnCredit: City of Fort St. JohnWith the implementation of this flexible model would come the implementation of a policy to properly handle the budget and projects; City Manager Dianne Hunter says a higher percentage means more commitment to putting money away, and a lower percentage means addressing the needs of the city immediately.“There’s no right or wrong in the numbers — there’s no magic in the numbers, but they do speak to two different philosophical approaches to your financial sustainability,” she said.Advertisement The model sees no reserve allocation in Transportation — the section which receives the most funding from the Peace River Agreement — and slightly less in equipment reserve allocation than the 20 per cent scenario.last_img read more