The Finance and Administration Committee received a copy of the mid-year financial report on Wednesday morning and as one might imagine, COVID-19 has had an impact on Regina’s bottom line.
The report shows a deficit of $5.1 million dollars, but while daunting it is a figure that the city will make up when it comes to the 2021 operating budget which Mayor Michael Fougere says will be balanced.
“We have deferred $7.2 million from capital projects to alleviate the impact of COVID.” Fougere said. “It was a move that we did back in April so while that deficit was with us in June, we have been able to manage it and we should be able to get back to balance.”
A major area of concern is Mosaic Stadium. The report says the complete loss of revenue at the facility has resulted in a loss of between four and five million dollars.
The report states while it isn’t possible to reliably estimate the length and severity of the pandemic and the impact on the future financial result of the stadium, it is reasonable to assume that, at a minimum, there will be a negative affect to the operating results of Mosaic Stadium in 2020 and possibly beyond.
Fougere says conversations are being had with the provincial government, the Riders and Regina Exhibition Association Limited as to what can be done when it comes to the 30-year loan repayment plan currently in effect.