Subscribe RSS Feed Email

City shares plan for long-term financial resilience

December 16, 2024 4:17 PM
(Red Deer, Alberta)

At Monday’s regular Council meeting, administration presented an update on the long-term business and financial systems plan. The report, accepted by Council for information, outlines how the organization will evolve to achieve a more mature financial state.

“It’s clear that meaningful changes are essential for The City to achieve a strong and stable financial position,” said Mike Olesen, General Manager of Growth and Finance. “Advancing our financial governance, systems, and processes is critical to reaching these goals. Both Council and administration recognize the importance of the long-term business and financial systems plan, which serves as a vital roadmap for ensuring our fiscal future.”

This plan will act as a roadmap for The City’s financial future, focusing on analyzing the current state, forecasting potential scenarios, and recommending steps to reach the desired outcomes. It will provide insights and strategies to strengthen financial management and prepare The City for growth and increased complexity.Key areas of focus include:

  • Future-focused financial modeling to anticipate long-term needs.
  • Assessments of policies, structure, and resources to align with best practices in financial governance.
  • Comprehensive financial risk profiling to understand potential challenges.
  • Development of a financial scorecard to track performance against key metrics.
  • Evaluation of financial reporting and digital systems to ensure they support desired performance standards.

The City will lead the project, supported by a consultant, using a phased approach to build progress incrementally. The project is scheduled for completion by the end of Q3 2025.

Work is already underway, and started with changes to the Budget 2025 process. To enhance transparency for both Council and the public, a Budget Charter was introduced to set clear standards for communicating the budget process.

“The Budget Charter is a key milestone in our long-term business and financial systems plan, showcasing how we are already refining our financial processes while the plan is being developed,” said Olesen. “The next three phases of the project will carry us through to April 2025, at which point we will have a fully developed plan. However, it’s important to recognize that this is an ongoing process, and we will continue to adapt and improve as we move forward.”

- end -