Winnipeg, MB – The City of Winnipeg’s second quarter financial status and forecast report is forecasting a projected deficit in the tax-supported operating budget (General Revenue Fund) of $14.3 million and an additional shortfall of $12.4 million in Transit as at June 30, 2021. The financial status and forecast report will be presented at the meeting of the Standing Policy Committee on Finance on September 17, 2021.
As part of the 2021 budget update, the City had budgeted $61.2 million for anticipated COVID-19 related financial impacts. However, as at June 30, 2021, an estimated $23.6 million in further COVID-19 financial impacts are identified in the report. Among the challenges that COVID-19 is posing for the City, Transit ridership levels in 2021 have averaged approximately 57% below normal levels.
“The prolonged effects from the pandemic continue to have a significant impact on the City’s revenues,” said Councillor Scott Gillingham, Chair of the Standing Policy Committee on Finance. “The current forecast projects the need for another draw on the Financial Stabilization Reserve Fund by year end. It is very important to maintain prudent fiscal management throughout 2021 as the unknowns related to the Delta variant will make it challenging for the City to see the financial recovery typical in the latter half of most years.”
The City’s financial update is publicly available through the Decision Making Information System (DMIS).