Winnipeg, MB – The City of Winnipeg is forecasting a year-end deficit of $17.7 million in the tax-supported operating budget (General Revenue Fund) through the second quarter of 2025. The projected deficit has improved $1.2 million from the first-quarter forecast.
The forecasted deficit includes the following notable departmental deficits:
- $4.3 million in Planning, Property & Development mainly due to lower-than-expected revenues
- $3.1 million in Winnipeg Fire Paramedic Service mainly due to higher overtime and workers’ compensation costs
- $3.0 million in Assets & Project Management due to a lower-than-expected transfer from Municipal Accommodations
- $2.0 million in Winnipeg Police Service due to not yet achieving savings targets
The deficit has also been offset by:
- A $3.3 million surplus in Public Works due to lower-than-budgeted snow clearing and ice control costs in the first quarter, and
- A $2.7 million surplus in Corporate Finance due to higher interest earned on short-term investments.
“We are pleased to report a slight reduction in the deficit, as we work to balance the budget by the end of year,” said Councillor Jeff Browaty, Chairperson of the Standing Policy Committee on Finance and Economic Development. “We are now able to forecast that the majority of those savings are on-track to be achieved, which will help improve the City’s overall financial situation.”
The second-quarter report forecasts that $44.9 million of $51.8 million in savings targets identified in the 2025 budget will be achieved by year-end.
In June, Council approved interim measures to replenish the Financial Stabilization Reserve (FSR). With those measures in place, the FSR will be able to fund the forecasted deficit in the General Revenue Fund, leaving a balance of $14.7 million.
The financial status and forecast report will be presented at the meeting of the Standing Policy Committee on Finance and Economic Development on September 18, 2025.