2019 City of Maple Ridge Annual Report

Notes to the Consolidated Financial Statements

Consolidated Financial Statements

For the year ended December 31, 2019

7. Contingencies, Commitments and Unrecognized Liabilities: (a) Third Party Claims Where losses related to litigation are likely and can be reasonably estimated management accrues its best estimate of loss. These amounts are included in accounts payable and accrued liabilities. There are various other claims by and against the City, the outcome of which cannot reasonably be estimated. Any ultimate settlements will be recorded in the year the settlements occur and are not expected to be material. (b) Contractual Obligations In 1998 the City entered into an agreement to purchase ice sheet time for five years commencing in 1999, with five five-year renewal options. In 2018, the agreement was renewed for an additional five-year period. The minimum annual payment due for the provision of ice time is $638,000. Additional ice time is purchased separately. These payments are recorded as expenses when the ice time is provided. (c) Unrecognized Liability The City holds shares in a non-profit organization that provides protective services to its members. Should the organization dissolve or the City choose to withdraw from the organization the City would be liable for its proportionate share of any debt the organization held at that time. The liability is expected to be discharged over time through payments by the City and others for the provision of these services by the organization. Due to the ongoing operations of the organization the liability could only be quantified if the City chose to withdraw. Consequently no liability has been recognized in these financial statements.

Deferred Revenues Deferred revenues held by the City were comprised as follows: Prepaid Taxes

8.

Connection Revenues

2019

2018

2019

2018

Beginning balance Deferred during the year Revenue recognized

$ 7,216,123 $ 6,864,267

$ 1,694,045 $ 1,035,037

15,011,307 (14,625,327)

14,250,434 (13,898,578)

1,274,748 (1,504,482)

1,370,294 (711,286)

Ending balance

$ 7,602,103 $ 7,216,123

$ 1,464,311 $ 1,694,045

Other

Total Deferred Revenues

2019

2018

2019

2018

Beginning balance Deferred during the year Revenue recognized

$ 6,850,336 $ 6,298,878

$ 15,760,504 $ 14,198,182

5,206,249 (4,321,187)

4,931,744 (4,380,286)

21,492,304 (20,450,996)

20,552,472 (18,990,150)

Ending balance

$ 7,735,398 $ 6,850,336

$ 16,801,812 $ 15,760,504

50 City of Maple Ridge - 2019 Annual Report