City of Winnipeg predicting $53.8 million deficit in 2020

By | June 8, 2020

WINNIPEG — The City of Winnipeg is predicting a $25.8 million deficit in the first quarter and projecting a total year-end shortfall of $53.8 million.
Outlined in the city’s Q1 Financial Status Report and Forecast, it cites COVID-19 as a significant reason for the shortfalls.
The report said temporary operational changes will allow the city to recoup some funds. Essential services will continue to be delivered, but there will be some temporary reductions to programs and services.
“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.”
The city said its current money-saving measures have resulted in $12.9 million in forecasted savings.
Strategic measures implemented include a reduction of discretionary spending, temporary layoffs of non-permanent Community Services staff, a hiring freeze for the remainder of the year, voluntary furlough program, and temporary reduction of Winnipeg Transit service with temporary layoffs.

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