City of Surrey's 2022-2026 Financial Plan

MESSAGE FROMTHE CFO/GENERAL MANAGER, FINANCE

For 2022, the rates were increased by 2.2%, as supported by an independent External Rate Review Panel. This increase enables the Utility to recover its capital and operating costs, while providing stable and competitive energy rates for its customers. This rate increase would result in an annual increase of $18 (Charge and Levy) for a 65m2 (700 square foot) residential dwelling unit that consumes an average of 6.8 MWh/year of energy. 9.0 WATER UTILITY FINANCIAL PLAN—SERVICE PRIORITIES Any projected additional funding requirements for water utilities are met by a corresponding increase in user fees. The City adopted its Residential Water Metering Program over 15 years ago, and now provides service to more than 72,000 metered water utility accounts. The Water Utility’s funding requirements are affected by the following factors: • Greater Vancouver Regional District’s (“GVRD”) increases of 4.1% for 2022 and an average of 10.0% for each of the remaining four years of the 2022 - 2026 Financial Plan; • Operating and maintenance cost increases; and • Capital replacement needs for aging infrastructure. To meet these funding requirements, water rates will increase in 2022 and beyond. Excluding a base charge of $66 ($66 in 2021), the average metered single-family dwelling will pay $427 in 2022 ($412 in 2021) based on an average yearly consumption of 360 cubic meters. 10.0 GENERAL CAPITAL FINANCIAL PLAN—SERVICE PRIORITIES In recent years, the City has built world class recreation and parks facilities for our residents to enjoy, and this trend will continue into future years with support from Mayor and Council to ensure our City offers the best civic facilities in the country and the world. The adopted Financial Plan focuses on stimulating the local economy through its commitment to invest in short-term and long-term capital infrastructure projects. These projects will improve access to and quality of cultural, recreational and community spaces within the City for a long period of time. This adopted plan includes 16 significant capital projects in 2022, including a new community centre in Newton, Cloverdale Sport and Ice Complex, Bear Creek Park Athletics Centre and upgrades to several arts, recreation and sporting facilities. The City also dedicates significant resources to its ongoing capital initiatives that include exterior and interior upgrades to facilities including building envelope repairs, playground renovations, minor park improvements, roof repairs, technology updates, washroom improvements and other equipment replacement and upgrades.

Additional details of planned capital projects can be found in the Capital Program section of this document.

City of Surrey | 2022—2026 Financial Plan | Executive Overview

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