reviewed by the Ministry of Municipal Affairs - as of October 24, 2003
Population: 1,030 Households: 664
CRF is Community Reinvestment Fund
INDICATOR/THRESHOLD REVIEW |
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Financial Indicator |
Threshold |
Value for this Municipality |
Indicator for Northwest Municipal Grouping |
Risk Level |
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Median |
Average |
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CRF as a % of Municipal Operating Expenditures |
A high % indicates a municipality with a dependency on the CRF to operate. 35% or less in acceptable per Royal Bank of Canadian Standards |
14.4% |
#N/A |
22.7% |
LOW |
Per household debt burden |
Less than $400.00 is considered low, $400 - $1,000 is moderate. Over $1,000 is considered high per Royal Bank of Canada Standards. Significantly high debt load should be explored further. |
$281.00 |
#N/A |
$429.00 |
LOW |
Own purpose debt charges as a % of Municipal Operating Expenditures |
Normal growth municipalities should have percentages < 20% and higher growth municipalities <25% per Royal Bank of Canada Standard. A high % indicates a municipality that has high fixed costs and may not be able to respond to sudden demands on the budget. |
1.8% |
#N/A |
2.2% |
LOW |
FINANCIAL INDICATOR REVIEW FOR THE MUNICIPALITY OF MACHIN |
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Financial Indicator |
Threshold |
Value for this Municipality |
Indicator for Northwest Municipal Grouping |
Risk Level |
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|
Median |
Average |
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Total reserves and Discretionary reserves funds as a % for municipal operating expenditures |
This is a lower/single tier measure. The % should not exceed 10% per Royal Bank of Canada standards |
22.5% |
#N/A |
34.6% |
LOW |
Total taxes receivable as a % of total taxes levied |
This is a lower/single tier measure. This % should not exceed 10% per Royal Bank of Canada Standards |
7.3% |
#N/A |
13.8% |
LOW |
Surplus/ Deficit as a % of own purpose taxation |
10% is considered acceptable per MAH; RBC measures budget variance and uses 5% as satisfactory |
12.5% |
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|
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ARL own purpose debt charges as a % of net revenue fund revenues |
Ontario Reg. 403/02 limits a municipality’s debt and financial obligation limit to 25% of its net revenue fund revenues |
4.2% |
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|
LOW |
Annual repayment limit |
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$262,287 |
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|
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Borrowing Capacity @5% over 25 years |
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$3,696,658 |
Interest Rate |
5.00% |
Term in Years 25% |
The Municipality of Machin is required to upgrade the Vermilion Bay water Treatment Plant, a system which services approximately 200 users. The total estimated cost of the project is $4,356,924 of which $4,339,414 is deemed as eligible. Bother federal and provincial assistance has been confirmed for a total contribution of $2,892,942. Provided that NOHFC assistance is received, the municipality will be required to contribute $740,818. Machin has advised the Ministry of Municipal Affairs of their inability to fund their share. |
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