This Board of Health meeting will be held via Video Conference: https://youtu.be/jKYaPzPfYko
Event Date:
Thursday, July 14, 2022 - 4:00pm
Location
https://youtu.be/jKYaPzPfYko
July 2022 Board of Health Meeting
Main Page Content
Meeting Documents
Meeting held via video: https://youtu.be/jKYaPzPfYko
- Call to Order
- Agenda Approval
- Announcement of Conflict of Interest
- Approval of Minutes
- Regular Board Meeting: June 16, 2022
- Audit Committee Meeting Minutes: March 25, 2022
- Business Arising
- Board of Health Policies (N. Dupuis)
- Borrowing Policy (L. Gregg)
- User Fee Policy (L. Gregg)
- Board of Health Policies (N. Dupuis)
- Consent Agenda
- INFORMATION REPORTS – None
- CORRESPONDENCE – None
- RESOLUTIONS/RECOMMENDATION REPORTS
- Registered Charity Status (N. Dupuis)
- 2021 Annual Audited Financial Statements (L. Gregg)
- New Business
- CEO Quarterly Report (April – June 2022) (N. Dupuis)
- Committee of the Whole (Closed Session in accordance with Section 239 of the Municipal Act)
- Next Meeting: At the Call of the Chair, or August 11, 2022 – Via Video
- Adjournment
View Document page
TITLE
Borrowing Policy
DEPARTMENT
Finance
APPROVED BY
Chief Executive Officer
DATE OF ISSUE
2022/06/22
ISSUE BY
Director of Corporate Services
REVIEW/REVISE DATE:
Disclaimer: printed versions of this document may be out of date. Always refer to the Policies and Procedures Intranet site for the most current versions of documents in effect.
Preamble
In order to satisfy the operating or capital cash disbursement requirements, the Windsor-Essex County Health Unit (WECHU) may, from time-to-time, be required to obtain external temporary financing. The requirement to fund operating cash disbursements should be short-term, in that they do not exceed a period of six (6) months in any fiscal year. The requirement to funding capital cash disbursements may exceed a period of one (1) fiscal year.
Policy
The WECHU may enter into borrowing transactions under the following circumstances:
- Borrowing money upon the credit (credit cards or corporate accounts, and line of credit) of the WECHU;
- Issue, sell or pledge debt obligations of the WECHU, including without limitation, bonds debentures, notes or other similar obligations of the WECHU whether secured or unsecured;
- Charge, mortgage, hypothecate or pledge as or any currently owned or subsequently acquired real or personal, movable or immovable property of the WECHU, including book debts, rights, powers, franchises and undertaking, to secure any such debt obligations or any money borrowed, or other debt or liability of the WECHU.
Roles and Responsibilities
Chief Executive Officer (CEO) – The CEO shall be responsible for:
- Approving all credit card and corporate account applications in advance of submission;
- Submission of business cases in support of WECHU borrowing requirements to the Board of Health (Board);
- Signing all Borrowing Agreements including renewals with financial institutions or other acceptable lending agencies, in conjunction with on of the Chair, Vice-Chair or Treasurer of the Board.
Director of Corporate Services – The Director of Corporate Services shall be responsible for:
- Preparation of all credit card and corporate account applications for approval by the CEO.
- Preparation of the business case in support of WECHU borrowing requirements to be presented to the Board;
- Overseeing the repayment, reconciliation and reporting process on account of Borrowing;
- Reporting to the Board on an annual basis the annual audited financial statements and all supplemental reporting on account of the WECHU’s borrowing transactions.
The Finance Department – The Finance Department shall be responsible for:
- Processing, recording and reporting of all borrowing transactions throughout the course of the fiscal year.
Procedure
Borrowing:
Borrowings through a credit card or corporate account shall:
- Be short-term in nature (typically 30 to 45 days);
- Be on the WECHU corporate credit card;
- Be on the WECHU corporate accounts, supported by a credit application approved by the CEO.
For other borrowings, the CEO, supported by the Director of Corporate Services, shall submit a business case in support of the WECHU’s borrowing requirements to the Board for approval. The business case shall include:
- The purpose of the borrowing including the strategic and operational objectives it supports;
- The amount of borrowing and proposed timeframe;
- The cost of borrowing;
- The plan for repayment of borrowings over the proposed timeframe.
The CEO or their designate together with one of the Chair, Vice-Chair or Treasurer of the Board are authorized:
- To borrow from a financial institution or other acceptable lending agency on behalf of the WECHU as required from time-to-time;
- To sign all required Borrowing Agreements including renewals as required from time-to-time.
Repayment of Borrowing:
Borrowings on account of credit cards or corporate accounts shall be repaid in accordance with the credit card or corporate card payment terms.
For all other borrowings, balances shall be repaid in accordance with their applicable repayment schedules included in the Borrowing Agreement. Early repayment of borrowings, if permitted by the Borrowing Agreement, shall be proposed by the Director of Corporate Services to the Board for approval.
Reconciliation and Reporting on account of Borrowing:
The Finance Department shall be responsible for reconciling all borrowing transactions on a monthly basis. Refer to the Cash Management Policy and Procedure for information regarding the reconciliation process.
Any borrowings on account of the line of credit by the WECHU of $100,000 and greater for a period extending beyond ten (10) business days, shall be reported to the Joint Board Extension Committee by the Director of Corporate Services. This includes any relevant information regarding the nature of the borrowing.
As required by the terms of the applicable Borrowing Agreement, the Director of Corporate Services, shall report compliance with covenants included in Borrowing Agreements to the Board of Health (Board).
On an annual basis, the balances outstanding on account of borrowing transactions, shall be reported to the Board through the presentation of the annual audited financial statements. For further details on the annual audited financial statements refer to the Financial Reporting Policy. To supplement this reporting the Director of Corporate Services shall report:
- The current (as at date of presentation) and projected borrowing levels. The projection shall be for a one (1) year timeframe.
- The amount of borrowings at a fixed and variable rate of interest.
- The term of the borrowings.
- Other information as determined appropriate.
Compliance
Failure to comply with this Policy and any associated Procedures may result in appropriate disciplinary measures. Please see WECHU’s Discipline Policy.
Related Documents
Financial Reporting Policy
View Document page
TITLE
User Fee Policy
DEPARTMENT
Finance Department
APPROVED BY
Chief Executive Officer
DATE OF ISSUE
2022/06/29
ISSUE BY
Director of Corporate Services
REVIEW/REVISE DATE:
Disclaimer: printed versions of this document may be out of date. Always refer to the Policies and Procedures Intranet site for the most current versions of documents in effect.
Preamble
The Windsor-Essex County Health Unit (WECHU) is a publicly funded entity. The WECHU is responsible for delivering programs and services in accordance with the Ontario Public Health Standards (OPHS). If the WECHU determines, based upon the nature of the service being delivered, that a user fee is reasonable and appropriate, the WECHU must have policies and procedures providing guidance on the assessment of services for which a user fee could apply, and how the user fee should be established.
Purpose and Scope
The purpose of the policy is to provide guidance on the establishment of user fees by the WECHU. Such fees may be charged for services that exceed the requirements of the Ontario Public Health Standards (OPHS), are not already funded by the Province of Ontario, the Federal Government, or other funding agency. User fees should provide for either full or partial cost-recovery of the service. Costs to be recovered through user fees include salaries, benefits, and material costs incurred to support the delivery of the service.
Roles and Responsibilities
Director and/or Manager:
- Identify or assess whether a user fee shall apply to a service based upon the User Fee Policy;
- Review the cost-recovery model;
- Review the user fee with the Chief Executive Officer (CEO) and the Leadership Team (LT), if appropriate;
Manager
- Identify service(s) that should be subject to a user fee in accordance with the User Fee Policy and discuss with their Director;
- Compile the cost-recovery model and discuss with their Director;
- Compilation of a Board Recommendation Report for review and approval.
Director of Corporate Services
- Review of services subject to user fees to ensure that they are appropriate and in accordance with the User Fee Policy;
- Review the User Fee Policy on a three (3) year basis or more frequently if determined appropriate, with approval required by the Board of Health.
Policy
The WECHU shall assess services delivered to determine if a user fee should be charged in accordance with the required procedure. In general, the assessment should consider whether the OPHS provides guidance on the application of a user fee to a service, and what benefit the service conveys to a specific individual, group or business (i.e. allowing an individual to earn income). If appropriate, a user fee shall be charged to fully or partially recover the cost of providing that service.
The calculation of the user fee shall include reference to the time required to deliver the service, the role(s) required to deliver the service, and material(s) required to deliver the service. On an annual basis, the calculation of the user fee shall be reviewed to ensure that it continues to be appropriate, in that it either fully or partially recovers the cost of providing the service.
The User Fee policy shall be reviewed by the WECHU on a three (3) year basis, or more frequently if appropriate, and approved by the Board of Health.
Procedure
A Director and/or Manager identifies a service provided to determine whether a user fee should be charged. The assessment should include:
- Determination whether the OPHS permits or prohibits a user fee for the service.
- Review to ensure that the service is not funded by the Province of Ontario, Federal Government or other funding agency.
- If permitted, and no other funding source is available, the Director and/or Manager would identify the benefit to be conveyed by the service and whether the user fee would be a barrier to the service. The following should be considered:
- Public service – Does the service provide benefit to the general public? If so, would a user fee act as a barrier limiting the ability for the general public to access the service?
- Private Service – Does the service provide benefit to an individual, group or business? If so, would a user fee act as a barrier limiting the ability for the individual, group, or business to access the service?
- Mixed service – Does the service provide benefit to the general public and the private sector? If so, would a user fee act as a barrier limiting the ability for the general public or specific individual, group or business to access the service.
- In addition to the assessment above, the Director or Manager shall solicit feedback from other Public Health Units as to whether they are charging a user fee and if so, how much?
- The Manager would compile a cost recovery model that considers the following:
- The time required to perform the service in its entirety;
- The salary and benefit costs incurred for the WECHU staff involved in the process;
- The materials required to support the provision of services.
Once the cost recovery model is developed the Manager shall review with the Director and arrive at an appropriate user fee. The proposed user fee can either be a full or partial cost recovery model.
- The Director shall discuss the assessment of the service, the proposed user fee and the communication plan with the impacted user groups, with the CEO and LT, if appropriate.
- The Manager shall compile a recommendation report in support of the user fee for review and approval by the Board. The report shall include a summary of the assessment completed, the results of the survey with other Public Health Units, a summary of the proposed user fee and the communication plan with relevant user groups.
Compliance
Failure to comply with this Policy and any associated Procedures may result in appropriate disciplinary measures. Please see WECHU’s Discipline Policy.
Related Documents
None
View Document page
Board Members Present:
Tracey Bailey, Treasurer
Board Member Regrets:
Robert Maich, Audit Committee Member
Administration Present:
Nicole Dupuis, Lorie Gregg, Amy Wolters, Lee Anne Damphouse
Guests:
Cynthia Swift, Partner, KPMG LLP
QUORUM: Confirmed
Call to Order
Board Treasurer, Tracey Bailey, called the Audit Committee meeting to order at 2:00 pm.
-
Agenda Approval
Motion: That the agenda be approved.
CARRIED - Announcement of Conflict of interest – None
-
Approval of Minutes
-
Audit Committee Meeting: July 15, 2021
Motion: That the minutes be approved.
CARRIED
-
-
Standing Items
- KPMG Audit Planning Report (C. Swift, Partner, KPMG LLP)
C. Swift walked through the audit planning report, noting that there has been some financial impact on the Health Unit resulting from the COVID-19 Pandemic. She touched upon risks and the approach from an audit perspective, namely the review transactions, and journal entries to ensure that management cannot manipulate. In addition, she spoke about the approach to the audit of future employee benefits, and the requirements to review the actuarial report, and the underlying assumptions. Lastly, she discussed the audit fees and reminded the Committee that they are based upon the fee proposal to the City of Windsor with a minor additional cost associated with work to be performed on account of management estimates.
Motion: That the information be received.
CARRIED
- KPMG Audit Planning Report (C. Swift, Partner, KPMG LLP)
-
In-Camera Sessions
- In-camera Session with External Auditors
L. Gregg noted that the Treasurer, T. Bailey, has the option to go into an in-camera session with the Auditor. T. Bailey waived the option to go in-camera. - In-camera Session with Management
L. Gregg noted that Management has the option to go into an in-camera session with the Auditor. Management waived the option to go in-camera
- In-camera Session with External Auditors
- New Business - None
-
Next Meeting: At the Call of the Chair, or Thursday, June 16, 2022 @ 3:30 pm
At the Audit Findings Committee meeting on June 16, 2022, draft Audited Financial Statements and a Recommendation Report with an Analytical Review will be provided to the Audit Committee for review. The Audit Committee will bring forward the Audited Financial Statements to the Board for approval in July 2022. -
Adjournment
Motion: That the meeting be adjourned.
CARRIED
The meeting adjourned at 2:08 pm.
RECORDING SECRETARY: L. Damphouse
SUBMITTED BY: N. Dupuis
APPROVED BY: WECHU Audit Committee - June 16, 2022
View Document page
Board Members Present:
Gary McNamara, Joe Bachetti, Tracey Bailey, Rino Bortolin, Fabio Costante, Mark Ferrari, Gary Kaschak, Robert Maich, Ed Sleiman
Board Member Regrets:
Aldo DiCarlo, Judy Lund
Administration Present:
Nicole Dupuis, Dr. Shanker Nesathurai, Lorie Gregg, Kristy McBeth, Eric Nadalin, Dan Sibley, Lee Anne Damphouse
Administration Regrets:
Felicia Lawal
QUORUM: Confirmed
- Call to Order
The Chair, G. McNamara called the Regular meeting to order at 4:08 pm. - Agenda Approval
Motion: That the agenda be approved.
CARRIED - Announcement of Conflict of interest – None
- COVID-19 Update (Dr. S. Nesathurai)
Dr. Nesathurai provided a brief update on the status of COVID-19, noting that we are in period of increased disease activity, with increasing cases, higher percentage positivity, and outbreaks. Some have characterized this as the “7th wave” of COVID-19. The reality is that we are going to have to live with COVID-19 and there will be periods of increased and decreased activity, which essentially means:• Regular vaccinations
• Access to antiviral medications
• Allocating the right hospital space and resources based on demand
• Maintaining physical distancing and washing your hands regularly
• Accepting risk with certain activities, i.e. indoor dining and large events/gatheringsThe Province has increased vaccination eligibility for individuals aged 18-59 for second boosters, i.e. the fourth COVID-19 vaccination, and we have approximately 100,000 people in our region who are eligible to receive their fourth shot. Approximately 25,000 people in the 18-59 age group have not received any vaccine, and about 25,000 over the age of 60 have not received their fourth dose. Although 35% of individuals are up to date with their vaccinations, many received their last dose at least 6 months ago and there is the concern of weaning immunity.
We are also experiencing a strain on health care resources, and there are things that each of us can do to mitigate this risk to the community, recognizing that we may see greater activity with COVID-19 come the fall.
Motion: That the information be received.
CARRIED - Approval of Minutes
- Regular Board Meeting: June 16, 2022
- Audit Committee Meeting: March 25, 2022
Motion: That the minutes be approved.
CARRIED
- Business Arising
- Board of Health By-laws (N. Dupuis/L. Gregg)
- Borrowing Policy
N. Dupuis said that the Borrowing Policy is being brought to the board for review. This is a new policy and will be brought back with other by-laws for approval.
L. Gregg walked through the key aspects of the policy. We have identified that the policy review period will be every 2-3 years, or more frequently if appropriate. If any borrowings are required under the policy, those borrowings would be brought to the Board for approval and any changes would be according to best practices.
-
User Fee Policy
N. Dupuis said that the User Fee Policy is being brought to the board for review. The policy will be brought back with other by-laws for approval.L. Gregg walked through the key aspects of the policy. We have identified that the policy review period will be every three years, or more frequently if appropriate.
Motion: That the information be received.
CARRIED
- Borrowing Policy
- Board of Health By-laws (N. Dupuis/L. Gregg)
- Consent Agenda
- INFORMATION REPORTS - None
- CORRESPONDENCE – None
- Resolutions/Recommendation Reports
- Registered Charity Status (N. Dupuis)
N. Dupuis advised that the WECHU previously looked at the opportunity to achieve Registered Charitable Status. Our legal counsel has reviewed this opportunity and there are a number of advantages for us to achieve this designation. There are grants, donations and certain funding that we currently are not eligible to receive, however we would be if we achieved Registered Charitable Status. Potentially, obtaining this status would increase our financial reporting responsibility by having to file an Annual Registered Charity Information Return.M. Ferrari asked if there are other health units who have achieved this status and if the WECHU could draw upon their experiences. L. Gregg said that we do not know the exact number of health units who have achieved Registered Charitable Status, but that there are a number of them who have been able to take advantage of some significant cost savings, i.e. subscriptions for software licensing and property tax rebates.
T. Bailey would like a report on how Registered Charitable Status is being handled by other health units with this designation. G. Kaschak asked if the WECHU did obtain Registered Charitable Status would this provide the ability for people to donate and would the WECHU provide tax receipts. N. Dupuis said that asking the public for donations is not the WECHU’s intention of achieving Registered Charitable Status, but to take advantage of some significant savings.
R. Maich supports this concept but noted there is a Canada Revenue Agency Income Tax Application Rule that notes Voting Members be paid, and to ensure that there are no tax implications. N. Dupuis asked if the Board would like Administration to amend the proposed Motion. R. Maich said that it would not be necessary to amend the Motion since the WECHU is still in the investigative stages, and would be happy to second it.
Motion: That the Board of Health approve that WECHU Administration proceed with the process of investigating and applying for Registered Charity Status.
CARRIED -
2021 Annual Audited Financial Statements (L. Gregg)
L. Gregg presented the annual Audited Financial Statements to the Board for approval for the Windsor-Essex County Health Unit for the year ended December 31, 2021.L. Gregg presented the annual Audited Financial Statements to the Board for approval for the Windsor-Essex County Health Unit programs funded by the Ministry of Children, Community and Social Services for the year ended March 31, 2022. L. Gregg highlighted the key elements for the Board.
Motion: That the Windsor-Essex County Board of Health approve the Annual Audited Financial Statements of the Windsor-Essex County Health Unit for the year ended December 31, 2021, and the Annual Audited Financial Statements of the Windsor-Essex County Health Unit Ministry of Children, Community and Social Services Program Initiatives for the year ended March 31, 2022.
CARRIED
- Registered Charity Status (N. Dupuis)
- New Business
-
CEO Quarterly Report (April 2022 – June 2022) (N. Dupuis)
N. Dupuis noted that the WECHU is still operating in emergency response mode and our operations have shifted to meet the needs of the organization. One item to note is an insurance claim for an item that was stolen from the health unit, and there were no other issues to report.
Motion: That the information be received.
CARRIED
-
- Committee of the Whole (CLOSED SESSION, in accordance with Section 239 of the Municipal Act)
The Board moved into Committee of the Whole at 4:45 pm
The Board moved out of Committee of the Whole at 5:58 pm - Next Meeting: At the Call of the Chair, Thursday, August 11, 2022 – Via Video
- Adjournment
Motion: That the meeting be adjourned.
CARRIEDThe meeting adjourned at 6:00 pm.
RECORDING SECRETARY: L. Damphouse
SUBMITTED BY: N. Dupuis
APPROVED BY: The Board of Health - August 11, 2022
View Document page
Period: April 1, 2022 to June 30, 2022
- For the period covered by this CEO Quarterly Compliance Report:
- The undersigned has personal knowledge of the matters herein reported or has made due inquiry with respect to the same.
- Except as reported in any previous CEO Quarterly Compliance Report, the undersigned reports as follows:
- that the Health Unit has been in material compliance with all laws, regulations, orders, judgments or decrees applicable to it. Without limiting the generality of the foregoing the Health Unit is current in respect of all tax and related withholding and remittances required by law;
- the Health Unit has been in material compliance with its By-laws;
- the Health Unit has been in material compliance with all other Board resolutions;
- the Health Unit has been in material compliance with all contracts and commitments to which the Health Unit is a party including without limitation all funding and accountability agreements;
- the Health Unit is current with respect to the payment of all remuneration (including salary and benefits) to its employees;
- there are no material variances between what is contemplated by the Operational Plan and what in fact transpired or appears likely to transpire;
- more specifically, no material changes are required in respect of financial resource allocation plans to address shifts in need and capacity;
- no material adverse change has occurred in the operations of the Health Unit or its assets and liabilities taken as a whole;
- there have been no material breaches of the Ethics Code of Conduct by anyone who is subject to it;
- there have been no unplanned terminations of any Health Unit employees;
- there have been no claims made pursuant to any insurance policies maintained by the Health unit, except as noted below, and,
- nothing has come to the attention of the undersigned which would materially adversely change any previous CEO Quarterly Compliance Report, except as detailed below:
Items (vi), (vii), and (viii) have been revised due to the COVID -19 pandemic as follows:
- The WECHU continues through the Organizational Emergency Response. As such, operations are shifted, including redeployments to meet the needs of the organization. Operational plans and finances are shifted in accordance with current public health demands including the ongoing COVID-19 pandemic.
- The WECHU, in its response to COVID-19 within the communities of Windsor and Essex County has:
- Redeployed staff as considered appropriate to facilitate our response to the pandemic including transition of staff from case and contact management to support the vaccination efforts as directed by the province.
- Increased expenses related to vaccination to support resources required as per Ministry direction.
Item (xi) notes the following claim:
- On June 6, 2022, an air conditioning unit was stolen from the WECHU office located at 1005 Ouellette Avenue, Windsor. The WECHU facilities department filed a report with the Windsor Police. The WECHU has filed a claim with its property insurer for replacement of the air conditioning unit. The WECHU is currently compiling estimates for replacement of the unit. The replacement value of the unit is estimated to be $6,000 to $10,000.
Date: June 30, 2022
Signature(s):
Nicole Dupuis, Chief Executive Officer
View Document page
The accompanying financial statements of the Windsor-Essex County Health Unit (“Health Unit”) are the responsibility of the Health Unit’s management and have been prepared in compliance with legislation, and in accordance with Canadian public sector accounting standards for local governments established by the Public Sector Accounting Board of the Chartered Professional Accountants of Canada. A summary of the significant accounting policies are described in Note 1 to the financial statements. The preparation of financial statements necessarily involves the use of estimates based on management’s judgment, particularly when transactions affecting the current accounting period cannot be finalized with certainty until future periods.
Annual Financial Statements Report - 2021 - Accessible PDF
View Document page
The accompanying financial statements of the Windsor-Essex County Health Unit (“Health Unit”) Ministry of Children, Community and Social Services Program Initiatives are the responsibility of the Health Unit’s management and have been prepared in compliance with legislation, and in accordance with Canadian public sector accounting standards for local governments established by the Public Sector Accounting Board of the Chartered Professional Accountants of Canada. A summary of the significant accounting policies are described in Note 1 to the financial statements. The preparation of financial statements necessarily involves the use of estimates based on management’s judgment, particularly when transactions affecting the current accounting period cannot be finalized with certainty until future periods.
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JULY 14, 2022
ISSUE/PURPOSE
The Windsor-Essex County Health Unit (WECHU) is a statutory corporation created pursuant to the Health Protection and Promotion Act, R.S.O. 1990, c.H.7 (HPPA). The WECHU is not a registered charity as defined by Section 149 of the Income Tax Act. As such, the WECHU is not eligible for certain funding, fundraising and cost-savings opportunities available to a registered charity.
BACKGROUND
In 2012, previous Administration explored the WECHU becoming a registered charity, however, the application remained incomplete and registered charity status was no longer pursued.
Over the next three (3) to five (5) years, the WECHU will continue to experience budget constraints as it navigates operations in a post-COVID-19 environment. Adding to this are the financial pressures associated with the Windsor Office Redevelopment Project. As such, the WECHU needs to seek funding, fundraising and other cost-saving opportunities to assist in managing financial pressures. Details regarding the advantages and disadvantages of becoming a registered charity are as follows:
Advantages:
- Ability to apply for property tax rebates for owned or leased premises.
- Ability to attract donations/funding.
- Ability to receive rebates and deductions through participating third party vendors.
- Additional grant opportunities.
Disadvantages:
- Increased financial reporting responsibilities as the WECHU would be required to file an annual return.
- Ensuring that the WECHU satisfies the disbursement requirements to maintain registered charity status.
Administration has concluded that the advantages of registered charity status out way any disadvantages noted and is therefore recommending that the WECHU move forward with its application.
PROPOSED MOTION
Whereas, the WECHU is not a registered charity as defined by Section 149 of the Income Tax Act, and
Whereas, registered charity status could result in additional funding, fundraising and cost-savings opportunities to the WECHU, and
Now therefore be it resolved that the Windsor-Essex County Board of Health approve Administration to proceed with the process of investigating and applying for registered charity status for the WECHU.
View Document page
JULY 14, 2022
ISSUE/PURPOSE
Approval of the annual audited financial statements. This includes:
- The annual audited financial statements for the Windsor-Essex County Health Unit for the year-ended December 31, 2021 (Appendix A)
- The annual audited financial statements for the Windsor-Essex County Health Unit Ministry of Children, Community and Social Services Program Initiatives for the year-ended March 31, 2022 (Appendix B)
(Hereinafter referred to collectively as “the annual financial statements”).
BACKGROUND
Paragraph 59(2) of the Health Protection and Promotion Act R.S.O. 1990 states that “A board of health shall cause to be prepared statements of its financial affairs in each year including but not limited to, (a) an annual statement of income and expenses; (b) an annual statement of assets and liabilities; (c) an annual estimate of expenses for the year.”
The annual financial statements are audited by KPMG LLP, independent external auditors appointed by the Corporation of the City of Windsor. On June 16, 2022, the Audit Committee of the Windsor-Essex County Board of Health (Audit Committee) convened to review the annual financial statements and audit findings report with Administration and KPMG LLP. The Audit Committee has recommended the financial statements for approval to the Board of Health (Board). KPMG LLP is prepared to issue, pending approval by the Board, an unmodified audit opinion on the annual financial statements.
Windsor-Essex County Health Unit (WECHU)
The enclosed is a summary analytical review addressing material changes in the annual audited financial statement captions year-over-year.
Statement of Financial Position
- Cash and short-term investments increased $3,162,047. Refer to the Statement of Cash Flows for details.
- Accounts receivable increased $148,637 primarily due to the following: a) Decrease in grants receivable from the Province of Ontario of $207,303 over 2020. This balance varies on an annual basis based upon the extent and timing of funding approvals for one-time business cases typically funded at a rate of 100%. b) Increase in other receivables of $314,542. The most notable grants outstanding for the year-ended December 31, 2021, include $67,161 relating to the Infectious Disease and Climate Change Program and $266,547, relating to the IPAC Hub Funding.
- Due to Province of Ontario increased $3,356,486. This balance is comprised of:
2021 Settlement $2,880,732 Prior Settlements (2020, 2019) 1,921,315 Total $4,802,047
Of noteworthy mention is the following:
- In the period January to March of 2022, $915,766 was clawed back by the Ministry of Health (MOH) on account of the 2021 settlement. The remaining, will be clawed back upon completion of the settlement review.
- The 2019 settlement review is nearing completion with a final reconciliation notice to be issued by the MOH shortly. The total amount remaining to be clawed back on account of the 2019 settlement is $518,577.
- The 2018 settlement of $213,422 was clawed back in 2021;
- Due to Municipalities decreased $949,475. This balance is comprised of:
2021 Settlement $1,260,800 Prior Settlements (2020, 2019) 1,621,433 Total $2,882,233
Of noteworthy mention is the following:
- The 2021 Settlement relates to the 2021 Cost-Sharing Mitigation Funding of $1,260,800;
- As noted in Due to Province of Ontario, the 2019 settlement review is nearing completion and will result in $1,285,794 being repaid to the Obligated Municipalities, based upon their pro-rata share of the population of Windsor and Essex County (2016 Census).
- Due to Community Programs increased $518,817. This financial statement caption includes amounts owing to the other WECHU administered programs not included in the WECHU financial statements. More specifically, this include balances relating to the WECHU Healthy Babies Healthy Children Program and the WECHU Nurse Practitioner Program. These Programs do not have separate bank accounts. Funds received from the Ministry of Children, Community and Social Services (MCCSS) are included in the primary WECHU bank account and are reconciled regularly.
- Accrued payroll and deductions decreased $119,861. The decrease in this financial caption primarily relates to the discharging of obligations on account of management overtime (2020 - $176,584).
- Deferred revenue increased $409,999. Fluctuations in deferred revenue year-over-year typically relate to the nature and timing of grant funding. At December 31, 2021, significant sources of deferred revenue include: a) School-Focused Nurses funding of $439,134; b) Ontario Active Transportation grant of $24,000; c) Grant received from the Greater Essex County District School Board of $26,000 to support the Windsor-Essex Community Opioid and Substance Strategy.
- Tangible capital assets decreased $11,760. The net decrease is attributed to: i) Tangible capital asset additions of $294,788; ii) Amortization expense of $306,548. Of the tangible capital assets acquired in the year, $231,024 were funded by the Ministry of Health using Mandatory Program funding (70%), and $63,764 were funded using Ontario Seniors Dental Care Program funding (100%). Refer to note 9 for additional details.
Statement of Operations and Accumulated Deficit:
- Increase in Revenue from the Province of Ontario of $6,758,354. The increase is attributed to the following:
- Increase in Ontario Seniors Dental Care Program (OSDCP) Funding in the amount of $557,562. This increase is attributed to the OSDCP Program being in operation for a full fiscal year, impacted on a limited basis by COVID-19 restrictions.
- Increase in Other of $6,203,821. This is attributed to: a) COVID-19 Vaccination Program funding in the amount of $5,739,845; b) School-Focused Nurses Initiative funding in the amount of $1,425,807.
- The Ministry of Health funds the WECHU to a maximum of 70% of admissible expenditures. Admissible expenditures for the purposes of the Ministry of Health Settlement Process is defined below:
| Total General Program expenses at December 31, 2021 | $ 28,791,415 |
| Less: AMOH/MOH Compensation Initiative expenses | 3,493 |
| $ 28,787,922 | |
| Less: Non-admissible expenses | |
| Amortization | (306,548) |
| Plus: Change in Employee Future Benefits Liability | 28,390 |
| Tangible capital asset additions – Mandatory Program | 231,024 |
| $ 28,740,788 | |
| Less: Offset revenue | (170,086) |
| Total admissible expenditures | $ 28,570,702 A |
| Ministry portion (70%) | $ 15,981,600 B |
| 100% of admissible expenditures | $ 22,830,857 C (B/70%) |
| Municipal portion (30%) | $ 6,849,257 D (C-B) |
| Mitigation funding | $ 1,260,800 E |
| Final contributions – Obligated Municipalities | $ 5,588,457 (D-E) |
- Increase in Expenses of $6,728,629. Notable increases include:
- Increase in Salaries and Benefits in the amount of $4,775,348. Notable increases from 2021 include:
- Increase in FTEs year-over-year. At January 1, 2021, total FTEs amounted to 267. At December 31, 2021, total FTEs amounted to 295.
- One (1) percent cost of living increase for employees represented by the Canadian Union of Public Sector Employees (CUPE) and non-union staff and two (2) percent increase for employees represented by the Ontario Nurses Association (ONA).
- Total payments on account of overtime, premium pay, and retroactive payments for the 2021 fiscal year amounted to $1,576,876.
- Increase in Purchased Services in the amount of $1,559,727. Notable increases from the prior year include:
- Professional supports (immunizers) for mass vaccination clinics of $256,638;
- Third party support for case and contact management of $698,476;
- Third party support for call centre and other support services for case and contact management and vaccinations of $344,852.
- Increase in Supplies and other in the amount of $420,131. Notable increases from prior year include:
- $134,974 increase in Mileage in 2021 incurred on account of staff working at mass vaccination clinics;
- $285,157 increase in Supplies and other relate to program costs incurred on account of COVID-19 vaccination efforts. Examples include: a) Licensing for scheduling application and website support of $63,979; b) Personal Protective Equipment of $52,271; c) Sharps disposal costs of $41,438; d) Transportation of vaccines to health care providers of $10,452.
- Increase in Salaries and Benefits in the amount of $4,775,348. Notable increases from 2021 include:
Windsor-Essex County Health Unit Ministry of Children, Community and Social Services Program Initiatives
The annual audited financial statements for the Windsor-Essex County Health Unit Ministry of Children, Community and Social Services Program Initiatives include financial information for the Nurse Practitioner Program and the Healthy Babies Healthy Children Program for the period April 1, 2021 to March 31, 2022.
The enclosed summary analytical review addresses material changes in financial statement captions year-over-year.
Statement of Financial Position:
- Due from the Windsor-Essex County Health Unit: Refer to the statement of cash flow for details on the increase of $694,762 from March 31, 2022.
- Due to Ministry of Children, Community and Social Services: The amount outstanding is as follows:
- Settlement for the year-ended March 31, 2022, in the amount of $734,310;
- Settlement for the year-ended March 31, 2021, in the amount of $581,637. This settlement was clawed back in April of 2022.
Statement of Operations and Accumulated Deficit:
Year-over-year variations in the financial results are primarily due to the impact the COVID-19 pandemic had on service delivery for the period April 1, 2021 to March 31, 2022. A substantial portion of the nursing staff that would historically support theses Programs were deployed to support the WECHU’s pandemic response including case and contact management and vaccinations.
A summary of the settlement with the Ministry of Children, Community and Social Services is as follows:
| Total Program expenses at March 31, 2022 | $ 2,186,591 |
| Non-admissible expenses | |
| Amortization | (29,295) |
| Change in Employee Future Benefits Liability | 20,045 |
| Tangible capital asset additions | 9,944 |
| Other | (26,754) |
| Total admissible expenditures | $ 2,160,531 |
| Ministry approval | $ 2,894,841 |
| Due to Ministry of Children, Community and Social Services | $ 734,310 |
PROPOSED MOTION
Whereas, at the June 16, 2022, meeting, the Audit Committee of the Windsor-Essex County Board of Health reviewed the annual audited financial statements and recommended them to the Board for approval,
Now therefore be it resolved that the Windsor-Essex County Board of Health approve:
The annual audited financial statements of the Windsor-Essex County Health Unit for the year-ended December 31, 2021; and
The annual audited financial statements for the Windsor-Essex County Health Unit Ministry of Children, Community and Social Services Program Initiatives for the year-ended March 31, 2022.
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