2026 - 2030 Surrey Financial Plan

FINANCIAL PLANNING PROCESS

BASIS OF BUDGETING AND FINANCIAL PLANNING POLICIES

This approach enhances transparency and accountability by aligning the City’s financial planning with its audited year end financial statements. All figures— revenues, expenses, and overall results— are presented using PSAS-consistent reporting and follow the same format as the audited financial disclosures. Additional Financial Planning policies include: - The Consolidated Financial Plan is inclusive of all components, capturing the complete range of revenues and expenditures the City anticipates during the five-year planning horizon. - Appropriated surplus funds intended for use by specific departments are incorporated into the respective departmental financial plans. Surplus amounts not allocated to departments are recorded separately to support accurate tracking and financial clarity. principles provide a reference for aligning financial planning objectives with other City objectives, thereby helping to preserve the on-going financial health of the City. These principles are of two types: those related to both the Capital and the Operating Financial Plan and those specific to the Operating Financial Plan. represents an objective, which is deemed to have positive consequences for the City over the long-term. Collectively, these

The Consolidated 5-Year Financial Plan is prepared in accordance with Public Sector Accounting Standards, following the same accounting framework as the City’s Consolidated Financial Statements. As with the financial statements, the City utilizes the accrual basis of accounting for budgeting—recognizing revenues when earned and expenses when incurred—to ensure a proper matching of income with related expenditures. In addition to revenues and expenses that meet the PSAS definition, the budget includes items such as transfers to and from appropriated funds, capital expenditures, and debt principal repayments. These items are not recognized as revenues or expenses under PSAS and are therefore presented separately in a dedicated section on the following page to provide clarity and maintain alignment with PSAS requirements. This Financial Plan has been prepared using the Principles of Municipal Governance as outlined in the Community Charter, Part 1. The rationale for incorporating a set of principles into a decision-making process of public office is twofold. First, principles provide structure and commonality in situations where interests and objectives may differ. Second, explicit reference to principles makes the decision process more comprehensible, which in turn fosters a greater degree of public confidence. The City has developed a set of principles to guide the financial planning process and the preparation of operating and capital plans. Individually, each principle

FINANCIAL PLANNING PRINCIPLES

City of Surrey | 2026—2030 Financial Plan | Executive Overview

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