Sean Kavanagh

The financial picture for the City of Winnipeg remains clouded by the effects of the pandemic as revenues from some of its key operations remain well below normal.

The city is&nbsp;projecting a&nbsp;deficit&nbsp;of $12.7 million in its general revenues account and a further $13.9 million from Winnipeg Transit in the&nbsp;first quarter of 2021, according to 

an administrative&nbsp;report prepared for the city's finance committee

Transit&nbsp;fare income is still&nbsp;low, with&nbsp;ridership averaging 60 per cent below normal levels this year, according to the report.

The city had budgeted&nbsp;$61.2 million for the financial&nbsp;hit from the pandemic, but now sees an estimated $26.9 million in added losses and expenses due to the impacts of the health crisis.

The city faces further pressure on its fiscal stabilization reserve, currently sitting at just short of $120 million.

Giant financial hole for City of Winnipeg partially filled by federal government: year-end report

The City of Winnipeg's fiscal stabilzation fund would have been drained were it not for a big infusion of cash from the government of Canada, according to the city's year-end fiscal report.

A Winnipeg Transit bus travels along the newly opened Blue Line in April 2020. The city has launched a survey asking people to weigh in on whether they want priority seating on all standard buses.

Winnipeg Transit Blue Line Opens

Revenues from Winnipeg Transit fares and parking fees dropped significantly in 2020. 

Federal funds top up city coffers and soften COVID-19 cash crunch

$74.5 million from the government of Canada's safe restart agreement has helped cover massive losses in the transit department, poor revenues from parking and expenses related to the COVID-19 pandemic.

The city plowed through it's snowclearing budget in 2020, spending nearly $42 million keeping the streets cleared.

Snowplow

Revenue from parking and&nbsp;recreation fees, permits and the accommodation tax have continued to drag the city's budget numbers into the red.

The report to the city's finance committee acknowledges deficits are usually recorded in the first quarter, with the fiscal picture improving over the year.&nbsp;

"However, due to the uncertainty related to the pandemic, this trend may not hold true in the current year,"&nbsp;the report says.

Members of the finance committee will meet Friday to review the numbers.

COVID-19 is proving to be a financial pothole the city is having difficulty filling as income from many of revenue sources remains low. 

COVID crunch continues to bite into City of Winnipeg finances

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