The City of Winnipeg says that the COVID-19 pandemic has had a significant impact on their first-quarter finances.

According to the city’s first-quarter financial status report and forecast a projected deficit in the tax-supported operating budget (General Revenue Fund) of 25.8 million as of March 31, 2020, will grow to $53.3M by the end of the year when combined with other projected operating shortfalls.

“The City has been working to address the challenges of the COVID-19 pandemic in order to ensure residents receive the services they depend on,” said Councillor Scott Gillingham, Chair of the Standing Policy Committee on Finance. “It has been a significant challenge for all departments and will continue to be for as long as the pandemic lasts. However, actions taken to date and possible future steps noted in the report follow the COVID-19 Crisis Cash Flow Management Plan and will continue to support the City’s ability to respond and maintain services for residents.”

According to a statement from the City of Winnipeg, COVID-19 has resulted in revenue shortfalls in a number of areas causing temporary reductions in certain programs and services.

According to the city they have taken a number of measures to reduce the financial impact of COVID-19 on the budget which has resulted in a forecasted saving of $12.9 million.

In order to achieve those savings, the city implemented a reduction in discretionary spending, temporary lay-off of non-permanent Community Services staff, freeze on fleet purchases, Hiring freeze for the remainder of the year, Freeze of non-union Public Services salaries, Voluntary furlough program and a temporary reduction of Winnipeg Transit service with temporary lay-offs.

The report will be presented at a meeting of the Standing Policy Committee on Finance on June 12, 2020.

You can read the report here: Financial Status and Forecast Report to March 31, 2020

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