Snowstorm cleanup drives Saskatoon deficit up to $20.1M
City officials had previously estimated the deficit at $14.6 million, citing the financial hit of COVID-19
The City of Saskatoon says the cost of cleaning up after the recent major snowstorm has driven the projected 2020 deficit up to $20.1 million.
City officials had previously estimated the deficit at $14.6 million, citing the financial hit of COVID-19.
The additional, unforeseen cost of plowing and cleaning snow-packed streets in the wake of last week's massive snow dump has added another $5.5 million, making for the revised estimated deficit of $20.1 million, according to a new report to city councillors.
"Budgetary impacts of the pandemic will continue to significantly affect city revenues and expenses into 2021," according to the report.
City councillors, including one new face — Ward 3's David Kirton — will set the final 2021 city budget during a special two-day session beginning Dec. 2.
Two controlled corporations owned by the city, SaskTel Centre and TCU Place, have reported their own deficits of $3.6 million and $3.1 million. Both have cut staff and worker hours, among other steps, to make up for the financial loss.
A third controlled corporation is not in the same boat, according to the report.
"Remai Modern anticipates a break even for 2020, achieved through significant expense reduction, a phased-in reopening, and continued support from granting agencies, donors and sponsors."
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