Vaudreuil-Dorion 2017 financial report unveils surplus of just over $10 million
PHOTO BY JOHN JANTAK
Vaudreuil-Dorion Treasurer and Director of Financial Services Marco Pilon presents a summary of the city’s official audited financial report for 2017 at the Monday evening council meeting on June 18.
The sale of the Ericsson building in the Vaudreuil-Dorion industrial sector last year helped the city generate additional revenue of $3.8 million through a property tax transfer payment which helped boost the city’s total surplus to around $10.2 million.
The announcement was made by city Treasurer and Director of Financial Services Marco Pilon who presented a synopsis of the city’s fiscal health for 2017 at the start of the Monday evening council meeting on June 18. For the year ending on December 31, 2017, Vaudreuil-Dorion reported total revenues of $78.6 million versus $68.4 million in total expenditures.
Another $1.439 million was returned to the city because of a surplus rebate from the now defunct CIT de Presqu’Île public transportation service and the Transport Soleil adapted public transit service, which helped to lower the city’s share for public transportation.
Unanticipated tax revenues
The growth of property tax valuations attributable to new construction generated additional revenues of $1,164,000. “I’m very happy and proud about the financial report. The numbers are there so we can continue to grow and we have a bit of extra money to work with,” Mayor Guy Pilon told The Journal.
Mayor Pilon said the substantial tax revenue generated by the city from the Ericsson property sale was unanticipated. This transaction alone doubled the amount of revenue from this type of sale than what the city had forecast when it unveiled its 2017 budget in December, 2016, he said.
The building was sold by Ericsson to private investment firm GI Partners based in San Francisco, California in January, 2018.
“Ericsson is still in the building but they no longer own the property. They’re tenants now,” said Pilon. GI Partners is looking for other tenants to occupy unused portions of the sprawling 215,000 square feet data centre.
THE JOURNAL FILE PHOTO/CARMEN MARIE FABIO
The sale of the Ericsson building helped generate the substantial increase in town revenue.
Pilon said the Ericsson sale and the refunded public transit surplus were both “one-time” situations and he doesn’t expect the city to generate this type of revenue again for a long time.
“The CIT de Presqu’Île and Transport Soleil don’t exist anymore. They closed their bank accounts,” he said. Public transportation for the region is now provided by Réseau de transport métropolitain (RTM).
Vaudreuil-Dorion’s long-term debt decreased by $8 million between December 31, 2016 and the end of 2017. It represents 3.4 per cent of the taxable valuation of $ 5,784,790,300, which is very acceptable for a developing city like Vaudreuil-Dorion, said Treasurer Marco Pilon.
Capital works projects
Several capital works projects completed by the town last year included the construction of myriad bicycle lanes at a cost of $830,000, the installation of a new water playground at the corner of Avenue Saint-Charles and Chemin Paul-Guerin-Lajoie, the repaving of Route Harwood and paving at the Joseph-Carrier industrial park.
Pilon said the city will put about $6.5 million of its surplus aside for the construction of new municipal buildings, $1.5 million for future capital works projects and about $2 million for unexpected emergencies in its upcoming 2019 budget. The unanticipated spring flooding in May 2017 cost the city about $1.4 million, said Pilon.
The city’s finances were audited by the independent chartered accounting firm Goudreau Poirier Inc. Jocelyn Poirier represented the firm at the meeting and was present to answer questions from the public.