qathet Regional District and qathet Regional Hospital District were presented clean audits of the 2024 financial statements by accounting firm MNP, which conducted the audits.
At the April 29 hospital board meeting, MNP representative Cory Vanderhorst thanked the regional district’s financial administration staff for its cooperation in helping the audit process go smoothly.
“We are happy to be providing a clean audit opinion again this year,” said Vanderhorst. “We are satisfied that the financial statements are prepared accurately in all material respects in accordance with our local government accounting standards.”
Vanderhorst said hospital district revenues for the year were $4.9 million. He said on the expense side of things, the regional hospital district had $1.9 million in expenses. At the end of the year, there was an annual surplus of $3 million.
In the statement of financial position, the hospital district has $9 million of cash and investments. Vanderhorst said at the end of the year, debenture debt is down to $15.1 million, which is being paid down on schedule.
Tangible capital assets at the end of the year were $21.3 million, with an accumulated surplus of $14.8 million.
qRD electoral Area E director Andrew Fall said when he looks at the auditing reports, he goes directly to the opinions.
“If the auditor is saying there is no problem, then it’s a thumbs-up and the rest of it is a relaxed read, as opposed to figuring out where the problem is,” said Fall. “Is that a correct reading of the report?”
Vanderhorst said it was a correct reading. He said there is a paragraph in the report that sums it up by saying that the audit was presented fairly in all material respects.
“That’s me telling you, as a board, that there are no significant differences or errors,” said Vanderhorst.
The hospital board approved the qathet Regional Hospital District financial statements for the year ended December 31, 2024.
At the qathet Regional District board meeting later in the day, Vanderhorst provided another presentation, outlining the regional district’s financial position.
Vanderhorst said the regional district has cash and investments of just over $24 million, with total financial assets of $57.6 million. He said the regional district’s debt has increased to $14.7 million. Total liabilities are on the books for $59.1 million, according to Vanderhorst.
“You are in a net debt position,” said Vanderhorst. “There are more liabilities than financial assets at the end of 2024. That frequently occurs when new debt is being taken on. So, there’s $1.5 million of net debt.
Tangible capital assets amount to $45.3 million, including equipment, infrastructure, buildings and items like that, said Vanderhorst. He said there was a significant increase from the $39.4 million in 2023.
At the end of the year, there was an accumulated surplus of $44.1 million, according to Vanderhorst.
There was a regional district total revenue of $18.8 million, which was down from the prior year, because in 2023 there were a couple of significant grants from the province, said Vanderhorst. Total expenses have increased in 2024 from $14.7 million from $12.8 million in 2023, which was under budget, which is a positive, said Vanderhorst. This resulted in a surplus of $4.1 million.
“We are happy to be providing what we call an unqualified audit opinion, so that’s a clean audit opinion,” said Vanderhorst. “We are satisfied that the financial statement that you have in your package is prepared accurately, in all material respects, in accordance with accounting standards for local government.
“We’re ready to sign our report. The last step is board approval.”
Vanderhorst said the auditors do not look at all transactions, which would take a year to review.
Electoral Area C director and regional board chair Clay Brander said it is always nice to receive a positive report from the auditor.
“I want to give kudos to our staff for keeping us on track and for producing the results of a clean audit,” said Brander.
The regional board approved the audited financial statements at the regional board meeting.
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