TO: Finance Committee

FROM: Administration

DATE: November 10 1 2015

RE: Grant-In-Aid, Kitwanga Community Association

The Kitwanga Community Association is requesting the release of the 2015 budgeted

Grant-in-aid funds under Function #0171 I Kitwanga Community Association Grant-in­ aid. The Association has submitted their reviewed financial statement for the fiscal year ended May 31 I 2015.

Recommendation:

That the Regional District release the 2015 Grant-In-Aid to the Kitwanga Community

Association in the amount of $29 1 150.

Voting Structure: Corporate

Prepared by/contact Verna Wickie Approved by Treasurer I

KITWANGA COMMUNITY ASSOCIATION Financial Statements As at May 31,2015 (Unaudited)

McAlpine &Co. CHARTERED PROFESSIONAL ACCOUNTANTS

I Pminem: Clfrtin Bille)', CPA, CA McAlpine Ray Reinbolt, CPA, CA Michael Johnson, CPA Ct. Principal: &Co. Sheryl RiCJ::, CPA, CGA CHARTERED PROFESSION/>L ACCOUNTANTS (Incorporated Profe~ion.Jis .)

101 - ~631) LAZELLE A\'EPIUE, TERRACE. B.C_ VBG 156 Web p~ge: http:liww'N.mc..lpine-cJ.n Telephone: (250)635-4925 E-mail: info~mc.alpine-ca_net Toll Free: 1-888-311-3356 Fax N.o.: (25lllo35-.4975

I REVIEW ENGAGEMENT REPORT

To the Members of Kitwanga Community Association

We have reviewed the statement of financial position of Kitwanga Community Association as at May 31, 2015 and the statements of revenues and expenses and changes in net assets and cash flow for the year then ended. Our review was made in accordance with Canadian generally accepted standards for review engagements and, accordingly, consisted primarily of inquiry, analytical procedures and discussion related to information supplied to us by the association.

A review does not constitute an audit and, consequently, we do not express an audit opinion on these financial statements.

Based on our review, nothing has come to our attention that causes us to believe that these financial statements are not, in all material respects, in accordance with Canadian accounting standards for not-for­ profit organizations.

Terrace, B.C. September 16, 2015 Chartered Professional Accountants I KITWANGA COMMUNITY ASSOCIATION Statement of Financial Position As at May 31, 2015 (Unaudited)

2015 2014

Assets Current Cash $ 42,482 $ 41,729 Accounts receivable 722 548 Pre12aid ex12enses 4!806 5,076

$ 48,010 $ 47,353

Liabilities Current Accounts payable $ 1,100 $ 1 '1 01 Net assets Unrestricted net assets 461910 46,252

$ 48,010 $ 47,353

See notes to financial statements 2 KITWANGA COMMUNITY ASSOCIATION Statement of Revenues and Expenses Year Ended May 31, 2015 (Unaudited)

2015 2014

Revenue Grant - Regional District of Kitimat-Stikine $ 29,150 $ 29,150 Recreational centre rental income 5,208 6,467 Miscellaneous 10,638 1,972 Grant- Canada Da:t 1,000

44,996 38,589

Expenses Administration Insurance and taxes 8,340 8,321 Professional fees 1,896 1,845 Interest and bank charges 80 Telephone and office 801 525 Societ:t fee 25

11,062 10,771

Electricity Street lighting 9,554 8,808 Ball park 94 83 Recreation Centre 4,119 5,299 Church 337 337 0 14129 14,527 1 Activities and Services Renovation projects 13,402 3,104 Canada Day and other community events 2,680 2,635 Repairs and maintenance 3,090 1,463 Scholarshi!2 500

19,172 7 702

Total expenses 44,338 33,000

Excess of revenue over ex~enses for the ;tear $ 658 $ 5,589

See notes to financial statements 3 -

I KITWANGA COMMUNITY ASSOCIATION Statement of Changes in Net Assets Year Ended May 31, 2015 (Unaudited)

2015 2014

Net assets - beginning of year $ 46,252 $ 40,663 I Excess of revenue over expenses 658 5,589 I Net assets - end of year $ 46,910 $ 46,252 I I I

See notes to financial statements 4 KITWANGA COMMUNITY ASSOCIATION Notes to Financial Statements Year Ended May 31, 2015 (Unaudited)

1. Purpose of the Organization

The purpose of the association is to serve the community of Kitwanga, B.C. in the fields of recreation, education, entertainment, charity, social interaction and environmental concerns. The association is incorporated under the Society Act of British Columbia as a non-profit organization and as such is exempt from income taxes.

2. Summary of significant accounting policies

Basis of presentation

The financial statements were prepared in accordance with Canadian accounting standards for not­ for-profit organizations (GAAP).

Cash equivalents

Cash includes cash, cash on hand and cash deposits. Highly liquid investments with maturities of one year or less at date of purchase are also classified as cash equivalents.

Property, Plant and Equipment

Property, plant and equipment are expensed to operations in the year of purchase. The association owns the following significant properties and equipment:

I - Recreation centre, community ball park, community playground, Centennial park campsite and a vacant lot at 1566 N Kitwanga Rd.

Contributed Materials and Services

Contributed materials and services are recognized in the financial statements when fair value can be reasonably estimated and when the materials and services would normally be used in the normal course of the association's operations and would otherwise have been purchased.

Volunteers contribute many hours per year to enable the organization to carry out its purpose. Because of the difficulty in determining their fair value, volunteer services contributed are not I recognized in the financial statements.

Revenue Recognition

The association follows the deferral method of accounting for contributions. Externally restricted contributions, including BC Gaming Commission grants, are recognized as revenue in the year in which the related expenses are incurred. Unrestricted contributions, including the Regional District of Kitimat - Stikine grant and miscellaneous contributions, are recognized as revenue when received or receivable if the amount to be received can be reasonably estimated and collection is reasonably assured.

(continues)

5 I KITWANGA COMMUNITY ASSOCIATION Notes to Financial Statements Year Ended May 31, 2015 (Unaudited)

2. Summary of significant accounting policies (continued)

Measurement Uncertainty

The preparation of financial statements in conformity with Canadian accounting standard for private enterprises requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Such estimates are periodically reviewed and any adjustments necessary are reported in earnings in the period in which they become known. Actual results could differ from these estimates.

Financial Instruments The association has designated all non-derivative financial assets and liabilities as held for trading with the exception of certain obligations designated as other liabilities and receivables which are designated as held to maturity. • The association initially records all non-derivative financial assets and liabilities at fair value. • Assets and liabilities classified as held for trading are measured at fair value and changes in fair value are recognized in the statement of operations. • Receivables are measured at amortized cost using the effective interest rate method. • Other liabilities are recorded at amortized cost. • All transaction costs incurred on receivables and other liabilities are incorporated in the fair value of the instrument and are amortized to operations using the effective interest rate method. Assets and liabilities classified as available for sale are measured at fair value and changes in fair value are recorded in the statement of changes in net assets until the financial instruments are re­ recognized or other than temporarily impaired at which time the amounts are recorded in the statement of operations. The association has not classified any assets or liabilities as available for sale.

3. Statement of cash flows

A statement of cash flows has not been included in these financial statements as no additional information would be provided by its inclusion.

6 KITWANGA COMMUNITY ASSOCIATION ANNUAL GENERAL MEETING: 2015-09-30

I. Meeting called to order at 7:37 pm.

II. Quorum established with 13 members present.

Ill. Agenda was adopted (Liz Pelsma/Rozlyn Madrid).

IV. Minutes from Annual General Meeting, 2014-09-24, were approved.

V. President's Report. Debbie distributed printed report thanking community volunteers for their time, dedication, ideas, and support throughout the year. Her report outlined projects initiated and completed during the 2014/15 term. Her report also included ongoing projects and plans. Written report attached.

VI. Consideration of Ordinary Resolutions a) Membership fee- Motion ( Francis Stokes/Rudi Mermans) that the membership fee remain at nil. Carried. b) Accounting Firm- Motion (Rudi Mermans/Dan Stephens) to retain McAlpine & Co. (Terrace) as our accounting firm. Carried.

VII. Year-end Financial Report. Financial Statements, as at May 31, 2015, as prepared by McAlpine & Co. perused and discussed. Motion (Dan Stephens/Liz Pelsma) to accept Year-end Financial Statements, as presented. Carried.

VIII. Treasurer's Report- Year-end financial reports approved.

IX. Directors' Reports a} Community Betterment - Liz Pelsma. No report. b) Finance- Cathy Morgan submitted a written report outlining financial business throughout the 2014-15 term. Written report attached. c) Properties -Archie Hippisley was absent but sent a report stating that the roof repairs on the Rec Center roof (Activity Area and Storage Room) were completed. Crew included Archie, Rod Naber, Tony Johnston, Derek Kerrison, Adam Jones, Caleb Jones, and Rennie Robinson. Thank-you notes will be sent to the individuals on the roofing crew. Also, a 'thank-you' card for Don Elsworth (for the Kitwanga Cemetery sign he constructed) was signed by those present. d) Publicity- Melanie Stephens absent. Notices for the AGM were posted. e) Recreation - Carolyne Wolos reported about some of the activities that were carried out over the past year. The first Humpy Run is scheduled for Sunday, Oct. 4th. It is hoped that this will be an annual event. Badminton will soon start at the Rec Center on lues and Thurs evenings. f) Social- Kerry Johnston absent. WA will be sponsoring a Craft Fair on Nov. 29th in the Activity Area of the Rec Center. WA will also have a concession that day.

X. Unfinished Business a) Small Town Love- Those involved with Small Town Love want the Kitwanga area businesses to be included under Hazelton. Local group of businesses want to stay independent and separate of Hazelton. Debbie is still continuing to pursue the issue to have Kitwanga stand alone. b) Lottery License Application - Cathy is working on application for a Class A Gaming Event License. In order to hold such a license the society must have a Gaming Account. Motion (Dan Stephens/Julie Carlson) that the KCA establish a Gaming Account at the BV Credit Union in order to apply for Class A Gaming Event License. Carried. c) Internet Service- Better internet service is still being pursued. Cathy was given Community Access and Network BC as suggested sites to check out for improved service which may be available for rural areas. d) BC Assessment Taxation Classification of Rec Center - No need to have the Rec Center inspected and/or reclassified at this time. There is no area rented by a commercial business at present.

XI. Correspondence a) BC Registry Sevice- Form for the Society Annual Report (2015) received. This form must be submitted after the AGM each year.

XII. New Business a) Election of Board of Directors - President - Debbie nominated by Rudi Mermans and Paul Hadfield. Debbie is President by acclamation. Vice-president- Dan Stephens nominated by Carolyne Wolos and Julie Carlson. Dan is vice-president by acclamation. Treasurer- Shirley is Treasurer by acclamation. Secretary- Carolyne Walas and Chris DeBruin nominated Julie Carlson. Julie is secretary by acclamation. Community Betterment- Lorraine Morgan nominated by Julie Carlson and Dan Stephens. Lorraine is Community Betterment Director by acclamation. Finance- Cathy Morgan nominated by Dan Stephens and Julie Carlson. Cathy is Finance Director by acclamation. Properties- Archie Hippisley nominated by Rozlyn Madrid and Dan Stephens. Rudi Mermand nominated by Sylvia Meek. Rudi declined. Archie is Property Director by acclamation. Publicity- Sylvia Meek volunteered for the position of Publicity Director. Recreation - Carolyne Wolos nominated by liz Pelsma and Dan Stephens. Carolyne is Recreation Director by acclamation. Social - Kerry Johnston currently holds the position of Social Director. This position is held by a WA member elected/appointed at their January meeting. b) Seal Coating- Ministry of Transport- During the summer seal coating was done on Highways 37 (north to 63 km). There was a discussion about the poor quality of work done by the contractor. Motion (Cathy Morgan/Rozlyn Madrid) that a letter be written to the Ministry of Transportation and Highways stating our displeasure of the quality of work done on the seal coating project. This motion to also include letters be written to surrounding communities asking them to write letters to the Ministry voicing their concerns about the state of the Highways 37 and 16 after the seal coating was done. Carried. Cathy also reported that the cement pieces needed for the improvements of the railway crossing in the village are ready for the job and being store at the Department of Highways' pit. CN is responsible for the next part of getting the job started. There appears to be a problem between CN and Gitwangak Band concerning the crossing. c) Pre-Winter Stakeholder's Meeting with Billabong- Debbie reported that she will be meeting with Billabong representatives October 9th, 9:30- 10:00 am. d) AVIV A Fund vote- Cathy reported that Hazelton Ice Arena is involved in AVIV A Fund application. Anyone may vote on-line in their support of the application from October 6- 23rd. Cathy was asked if Kitwanga residents would be willing to travel by bus (if one was sent out from Haz.) to attend a presentation regarding funding for the ice arena. Discussion. Those present said they would rather those involved come to Kitwanga and do a presentation here. e) Francis announced that a Mammogram Clinic is scheduled here for Oct. 7th and 8th. And Flu Clinic is scheduled for Nov. lOth. Both of these clinics will be held at the Rec Center. f) Federal Election - Elections Canada has leased the Meeting Area of the Rec Center for Federal Election on October 19, 2015.

XIII. The next KCA Board Meeting to be held on October 28, 2015 at 7:00 pm.

XIV. Meeting was adjourned by Rudi Mermans at 9:05 pm. September 30, 2015

President's Report to the Kitwanga Community Association, Annual General Meeting

I'd like to thank everyone for taking the time to attend this AGM, as well as express my thanks to the Board members and all our volunteers for their time, dedication, ideas, and support over this past year. You're contributions continue to make our community the place we all aspire it to be.

The Board has been pretty active over the past year, beginning with a small but successful Halloween Dance. In November we initiated the formation of a Health and Safety Sub­ committee who are currently looking into the possibility of relocating our current ambulance station into a newer facility and bringing in some educational programs for our membership. We have improved the safety within the Rec Center with an inspection/upgrade/certification to the fire suppression system in the kitchen, installation of emergency exit lighting in the activity area and upstairs, and repairs to the existing exit lights and florescent fixtures.

As our insurance policy was nearing renewal at an increase of $1,000, I negotiated with other agencies and obtained a quote for the same level of coverage, at the same cost as our previous policy, through another underwriter. The Board then voted to place our coverage with Lloyd's of London/Northern Savings and Insurance in Terrace. Northern Savings, at our request, is actively researching additional liability we may wish to consider in the future.

In consultation with B.C. Hydro, I was able to have our power consumption rating level re­ evaluated and we are now being charged at a lower rate for the power usage in the Rec Center.

A closed group Facebook page for the KCA was set up by Publicity Director, Melanie Stephens, to inform the membership of news, planned events, and other information of interest pertaining to the KCA and community's services and ongoing activities. Currently, Liz Pelsma and I are also administrators for this account. Anyone can ask for consideration to become a member of the KCA page.

Volunteers did a spring clean-up in Centennial Park and the Cemetery. Archie Hippisley, along with Sjoerd Pelsma, have worked diligently over the summer months to keep the grass cut on all KCA properties and along Nature's Way Trail. Improvements to the garbage can lids by Archie has been frustrating for the birds but is helping to keep our community refuse free.

The W.A. to the KCA initiated the replacement of the flooring in the front area of the Rec Center and they raised funds to cover most of the cost for flooring and installation with the KCA and Quilting Club each contributing $3,000 towards this project. The downstairs was then refurbished using KCA funds and volunteer help; the downstairs entrance, meeting area, kitchen, storage and washrooms were painted, storage cabinets replaced, Dennis and Cathy Morgan donated new light fixtures to replace the existing bare bulb fixtures, one toilet was re­ installed in the women's washroom and bulletin boards were added to the hallway. Finance Director's Report For Sept.30, 2015 KCA Annual General Meeting

• Celebrate Canada Grant was received for 2015, also helped to fund raise an additional $600. for July 1st. Nov. 16th is the deadline to apply for 2016 • Applied for EventHost B.C. and Equipment grant but did not receive. Applied for New Horiz~ms for Seniors Grant ($24,940 for flooring) and received notification that decision will be made in Jan. 2016, • Nov. 2015 apply for Northern Dev. Initiatives Trust Funds for Heaters and upgrades to Rec. Centre. • Apply in Dec. for Summer Students Funds from Service Canada. • Met with Battle Hill assessment team about new steps for 2016-17. • Still pursuing former Rod and Gun Club and Scouts funds. • Contacted Norene Park and Wendy Hall (Facilities for BCES). She sited "often modular construction for crew quarters and stick build for bay/s". Sent letter about the need for a new ambulance station to Doug Donaldson's office. Met with Debbie and Dan about location and feasibility of new station. • Convened meeting with Regional District (Andrew and Nelson) to begin work on information guidebook for Kitwanga. (First Small Town Love info given to us at this meeting,) Guidebook is now complete. • Followed up with Nathan Cullen's office and got contacts for CBC and Telus about a possible solution to the "no power, no CBC signal" problem. • Requested a small B.C. flag from MLA's office for Ambulance Station t1ag pole. • Collected $550. for Cemetery improvements • In the process of applying for Class A Gaming License for KCA and affiliated groups. KITWANGA COMMUNITY ASSOCIATION

P.O. BOX 98 KITWANGA, B.C. VOJ2AO

2015- 2016 Executive

President- Debbie Meek Vice President- Daniel Stephens Treasurer- Shirley Hobenshield Secretary- Julie Carlson

Directors

Community Betterment- Lorraine Morgan Finance - Cathy Morgan Properties- Archie Hippisley Publicity- Sylvia Meek Recreation - Carolyne Wolos Social- Kerry Johnston