City of Surrey's 2024-2028 Financial Plan

FINANCIAL PLANNING PROCESS

PRINCIPLES FOR BOTH CAPITAL & OPERATING FINANCIAL PLANNING

Reflect the goals of corporate and departmental strategic plans. The departmental strategic and financial plans should include capital projects and operating programs which are consistent with Council-approved strategic plans. Balance citizens' service expectations with their ability and willingness to pay. The departmental strategic and financial plans should include capital projects and operating programs which balance the expectations of citizens for services with their ability and willingness to pay for those services. Provide funding for on-going maintenance and asset replacement. The departmental strategic and financial plans should incorporate the costs associated with on-going maintenance and replacement of investments in facilities, equipment and infrastructure into the cost of capital projects.

Target total debt service charges to below five percent of expenditures. The departmental strategic and financial plans should strive to keep the annual cost of total debt servicing below five percent of the City’s annual expenditures. Strive to finance capital projects on a ‘pay-as-you-go’ basis. The departmental strategic and financial plans should ensure that capital projects be financed on a “pay-as-you-go” basis first, with debt financing utilized only when necessary. Charge new development the appropriate share of new infrastructure costs. The strategic and financial plans for new capital infrastructure should be financed through development cost charges by an appropriate proportion of the cost of the new development, as determined by Council Policy.

Encourage cost-effective service delivery.

The departmental strategic and financial plans should support capital projects and operating programs which deliver cost effective services through entrepreneurship, creativity, and innovation.

Staff Board Meeting

City of Surrey | 2024—2028 Financial Plan | Executive Overview

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