City of Surrey 2019 Annual Financial Report

CITY OF SURREY OVERVIEWS FINANCE DEPARTMENT

The Finance Department provides financial expertise, risk management, internal audit services and guidance to support all City operations. It delivers responsive services and innovative solutions to streamline processes and facilitate citywide gains in efficiencies. In addition to leading process improvements, it sets and maintains financial practises, policies and standards. The Department’s core services include:

BUDGET This section prepares the City’s budgets and various financial reports for the Senior Management Team and Council to demonstrate public accountability. This group also monitors and analyzes expenditure and revenue trends throughout the fiscal year and assists other departments in achieving their financial targets. FINANCIAL REPORTING & COMPLIANCE Financial Reporting includes long-term financial planning, accounting and statutory financial reporting. This section is responsible for presenting an annual five-year financial plan which establishes financial and programming priorities. This group keeps management and Council informed about the City’s financial performance on a quarterly basis, ensuring the City meets its annual budget and targeted savings. REVENUE SERVICES Revenue Services provides for the billing and collection of annual and metered utilities, district energy charges, dog license fees, false alarm fees, secondary suite fees, parking tickets, property taxes, homeowner grants, and tax certificates. This section provides services at City Hall, including the main reception and switchboard, and the Surrey Operations Centre. Revenue Services also oversees Accounts Payable and Contract Management. This section’s responsibilities include making accurate, prompt supplier payments, providing guidance for the management of contracts and tracking supplier performance.

PROCUREMENT SERVICES Procurement Services coordinates the procurement of high quality, cost- effective goods and services, while ensuring all polices are followed and best practices implemented. The Procurement Services section follows applicable legislation and ensures appropriate public and competitive processes are applied. RISK MANAGEMENT SERVICES Risk Management provides service and expertise in risk identification and treatment, insurance, claims, litigation and loss control. By incorporating effective Risk Management practices, the City is able to identify, manage and reduce the overall cost of risk. TREASURY OPERATIONS Treasury Operations includes Payroll, Tangible Capital Assets, Accounts Receivable, Investments, Letters of Credit and Banking and Payment processing. Staff monitor cash flow and invest funds for maximum return while minimizing risk and adhering to the City’s Investment Policy. They ensure that staff are paid accurately and oversee billing and prompt collection of receivables. This group is responsible for the City’s relationship with its financial institution and credit/debit card payment processor and also assists City departments in obtaining securities by way of Letters of Credit. Treasury Operations oversees the recording and financial reporting for the City’s vast inventory of capital assets and is responsible for consolidation accounting for the City’s subsidiaries

2 0 1 9 A C C O M P L I S H M E N T S • Resolved long standing litigation claim where the City was seeking compensation from a third party.

• Completed the Request for Proposal process for merchant services and awarded a contract to a credit & debit card payment processor. • Prepared and posted a Request for Proposal for purchase card services. • Processed on average, 32% of accounts receivable invoice payments received online through MySurrey portal. • Continued to utilize a collection agency to ensure efficient revenue collection and the reduction of bad debts. • Continued to track accounts receivable key performance indicators to better focus collection efforts • Ensured that all financial transactions and reporting met appropriate statutory requirements.

• Continued to develop the Financial System by upgrading the processes, adding increased functionality, and continuing with overall process efficiencies. • Implemented a standardized application intake and assessment process to support the Council Initiatives Fund Utilization Policy. • Implemented a training and education initiative to increase collaboration and knowledge sharing between departments. • Integrated the City’s capital budget management and reporting with the City’s financial management system. • Implemented a financial dashboard for the Parks, Recreation and Culture Department.

• Added Fire Services Risk Register and updated Climate Adaptation Strategy Risk Register.

• Conducted 18 facility inspections and briefed Civic Facilities and Operations on results. • Requested Fire Prevention Services for compliance assessment on a facility area of concern. • Conducted threat analysis for facilities, staff and events with Corporate Security.

• Reviewed and actioned any threat analysis information provided by the RCMP.

• Continued to implement digital processes to reduce time and paper in contract payment process.

• Amalgamated procurement agreements to gain efficiencies

• Launched Dog Licensing e-Apply online.

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