Sarnia records smaller budget surplus in 2023

The City of Sarnia finished 2023 with another surplus, but a smaller one than in recent years.

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The preliminary operating budget result, pending the usual audit, shows Sarnia $56,760 in the black, representing 0.03 per cent of the year’s $171.7-million budget, a recent staff report says.

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That’s after surpluses of nearly $4.6 million in 2020, $3.7 million in 2021 — both helped by COVID-19 relief funding and labor-related savings — and $3.3-million in 2022.

Money goes to reserves, sitting at $9.9 million collectively — after including the preliminary 2023 surplus — for operating contingency, police and tax stabilization reserves, the staff report says.

Those reserves are a little low, but within the target range of five to 10 per cent of gross expenditures, city treasurer Jane Qi said.

Water and sewer rate stabilization reserves are at $3.3 million, the city report says.

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The big difference in 2023 was staffing, Qi said.

Sarnia was able to fill more jobs, and keep people in them longer, something the city has struggled with in recent yearssaid David Stockdale, the corporate services general manager.

“We found it difficult to recruit some staff in key roles you’ll recall, but we’ve filled those roles,” he said, adding the city also is recruiting people faster.

Stockdale credited administrative changes by the city.

Sarnia’s attrition rate — the yearly rate at which people retire or find jobs elsewhere — is about two per cent, he said.

It’s been as high as seven per hundred in recent years, including in 2029, ’20 and ’22, he said.

The average is about four or five per cent, he said.

“We’ve done a really good job about monitoring and being deliberate about that in the last two years,” he said.

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The city still spent about $1.7 million less than expected on salaries, wages and benefits in 2023, the city report says.

Balancing those savings were larger than expected expenses for building, grounds and equipment maintenance, emergency water and sewer main repairs, higher garbage and compost collection costs, and emergency air conditioning costs at Progressive Auto Sales Arena (PASA), the report says.

A warmer winter also helped save about $94,000 in seasonal maintenance costs, more ice rentals than expected at PASA brought in another $128,000, and city software and licensing costs were about $67,000 over budget, the report says.

In 2019, several senior city staff left after Mayor Mike Bradley decisively won re-election.

Bradley had been at odds with chief administrator Marg Misek-Evans, and was found in 2016 by an independent, third-party workplace investigator to have bullied and harassed Misek-Evans and three other senior managers.

An integrity investigation also found Bradley created a toxic work environment.

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