The city of Winnipeg’s budget deficit is expected to be significantly reduced, according to a recent report. The deficit, which was initially projected to be $79.5 million, has been nearly cut in half to $41.6 million.
This positive news comes from the city’s third quarter financial report, which was released on Wednesday. The report shows that the city’s operating budget is on track to end the year with a surplus of $2.5 million, thanks to cost-saving measures and increased revenue.
One of the main factors contributing to the reduced deficit is the city’s efforts to control spending. The report states that the city has been able to save $20.5 million in operating costs, mainly through reduced staffing levels and lower-than-expected expenses in areas such as snow clearing and road maintenance.
In addition, the city has seen an increase in revenue, particularly from property taxes and grants from other levels of government. This has helped to offset the impact of the COVID-19 pandemic on the city’s finances.
Mayor Brian Bowman expressed his satisfaction with the report, stating that it is a testament to the city’s responsible financial management. He also acknowledged the challenges that the pandemic has brought, but remains optimistic about the city’s ability to weather the storm.
The report also highlights the city’s continued investment in infrastructure, with $1.2 billion being spent on capital projects this year. This includes investments in roads, bridges, and public transit, which are crucial for the city’s growth and development.
While the deficit has been significantly reduced, the report cautions that there are still uncertainties and risks that could impact the city’s finances in the future. These include potential changes in provincial funding and the ongoing effects of the pandemic.
Overall, the city’s financial report paints a positive picture of its current financial situation and its efforts to mitigate the impact of the pandemic. With responsible spending and increased revenue, the city is on track to end the year with a much smaller deficit than initially projected.
