2018 Annual Financial Report

NOTESTOTHE CONSOLIDATED FINANCIAL STATEMENTS  CITY OF SURREY

For the year ended December 31, 2018 [tabular amounts in thousands of dollars]

7. DEFERRED DEVELOPMENT COST CHARGES

Development Cost Charges (DCCs) are collected to pay for 95% of the general capital costs due to development and 90% of utility capital costs on specified projects. In accordance with the Local Government Act, these funds must be recorded in a separate reserve fund. DCCs are deferred and recognized as revenue when the related costs are incurred.

2017

2018

Deferred DCCs: Arterial roads

$

67,322 28,171 41,668 23,823 18,758 14,713 57,040

$

63,430 49,422 43,637 25,965 15,800 15,893 60,988

Parkland

Drainage/storm water detention

Sanitary sewer Collector roads

Water

Area specific

Park development

2,799

2,546

$

254,294

$

277,681

$

266,968

Deferred DCCs, beginning of year

$

254,294

DCCs levied for the year

91,108

90,979

Investment income

1,181

761

Total DCCs deferred

92,289

91,740

Revenue recognized: General Capital

(86,516)

(52,233)

Water Capital

(3,980)

(5,150)

Sewer & Drainage Capital

(14,467)

(10,970)

Total DCCs recognized as revenue

(104,963)

(68,353)

Net increase for the year

(12,674) 254,294

23,387

$

Deferred DCCs, end of year

$

277,681

58