That Essex County Council reaffirms the long-term reserve strategy for the Corporation of the County of Essex, tailored to address the following principal areas:
- To provide working capital to support Corporate cash flow requirements.
- To stabilize the County Levy and assist Council with the challenges of meeting corporate fiscal targets.
- To demonstrate the financial strength of the organization for capital financing.
- To provide for the planned acquisition or replacement of significant fixed assets.
- To provide for unanticipated expenditures of a non-recurring nature, for unforeseen emergencies or for planned undertakings of a specific and non-recurring nature.
- To address the Corporation’s exposure to risk and liability, including fund balances held for insurance and WSIB purposes.
- To provide for the planned expansion of designated roadways throughout the County.
- To address corporate automation advancement.
- To protect the County’s sizeable investment in physical infrastructure;
That budgeted reserve allocations be allocated to/from specific Reserves based on targets and guidelines established in accordance with the Reserve Strategy, and will be presented annually during the Corporation’s budgeting process;
That corporate windfall recoveries and operating surpluses continue to be directed to the Corporation’s Rate Stabilization Reserve;
That $2 million be transferred from the Rate Stabilization Reserve to the Capital Reserve;
That the Health Benefit Reserve residual funds, beyond $750,000, be transferred to the Rate Stabilization Reserve (approx. $193,474);
That proceeds from the sales or disposal of corporate assets be contributed to reserves for the acquisition or replacement of capital assets; and
That the status of reserve balances and recommended adjustments between reserves, if necessary, be formally reported to County Council by the Director of Finance / Treasurer annually.