Statement of Financial Information

STATEMENT OF FINANCIAL INFORMATION

FOR THE FISCAL YEAR ENDED MARCH 31, 2019

TABLE OF CONTENTS

Documents are arranged in the following order:

1. Statement of Financial Information Approval 2. Management Report

3. Audited Financial Statements 4. Schedule of Debt 5. Schedule of Guarantee and Indemnity Agreements 6. Statement of Severance Agreements 7. Explanation of Differences to Audited Financial Statements 8. Schedule of Remuneration and Expenses 9. Schedule of Payments to Suppliers of Goods and Services

SELKIRK COLLEGE STATEMENT OF FINANCIAL INFORMATION APPROVAL Fiscal Year Ended March 31, 2019

The undersigned represents the Board of Governors of Selkirk College and approves all the statements and schedules included in this Statement of Financial Information, produced under the Financial Information Act.

______Bruce LeRose Chairperson, Selkirk College Board September 28, 2019

Prepared pursuant to the Financial Information Regulation, Schedule 1, section 9

SELKIRK COLLEGE MANAGEMENT REPORT Fiscal Year Ended March 31, 2019

The Financial Statements contained in this Statement of Financial Information under the Financial Information Act have been prepared by management in accordance with generally accepted accounting principles and the integrity and objectivity of these statements are management's responsibility.

Management is also responsible for all the statements and schedules and for ensuring this information is consistent, where appropriate, with the information contained in the financial statements and for implementing and maintaining a system of internal controls to provide reasonable assurance that reliable financial information is produced.

The Board of Governors is responsible for ensuring that management fulfils its responsibilities for financial reporting and internal control and exercises this responsibility through the Audit Committee of the Board. The Audit Committee meets with management and the external auditors two times a year.

The College’s Finance Committee has the responsibility for assessing the management systems and practices of the College.

The external auditors, BDO Canada LLP, conduct an independent examination, in accordance with generally accepted auditing standards, and express their opinion on the financial statements. Their examination does not relate to the other schedules and statements required by the Financial Information Act. Their examination includes a review and evaluation of the College's system of internal control and appropriate tests and procedures to provide reasonable assurance that the financial statements are presented fairly. The external auditors have full and free access to the Audit Committee of the Board and meet with it on a regular basis.

On behalf of Selkirk College

______Kerry Clarke Vice President College Services, CFO September 28, 2019

Prepared pursuant to Financial Information Regulation, Schedule 1, section 9 SELKIRK COLLEGE CONSOLIDATED FINANCIAL STATEMENTS MARCH 31, 2019 SELKIRK COLLEGE INDEX TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

Management's Responsibility for Financial Reporting Independent Auditor's Report Financial Statements Consolidated Statement of Financial Position

Consolidated Statement of Operations and Accumulated Surplus

Consolidated Statement of Change in Net Financial Debt

Consolidated Statement of Cash Flows

Notes to the Consolidated Financial Statements

Management’s Responsibility for Financial Reporting

The accompanying consolidated financial statements and related financial information are the responsibility of Selkirk College management and have been approved by the Board of Governors of Selkirk College. The Financial Statements were prepared in accordance with Generally Accepted Accounting Principles and the financial directives of the Ministry of Advanced Education and, of necessity, include some amounts that are based on estimates and judgments.

To discharge its responsibility for the integrity and objectivity of financial reporting, management maintains a system of internal accounting controls comprising written policies, standards and procedures, a formal authorization structure and satisfactory processes for reviewing internal controls. This system is designed to provide management with reasonable assurance that transactions are in accordance with governing legislation, are properly authorized, reliable financial records are maintained, and assets are adequately accounted for and safeguarded. The Board of Governors has established a code of ethics and corporate directives, which require communication of the code to the employees.

The Board of Governors carries out its responsibility for the financial statements through the Board Finance/Audit Committee. This Committee meets with management and the external auditor to discuss and review financial matters and recommends the financial statements to the Board for approval. The external auditor has full and free access to the Finance/Audit Committee.

______

Angus Graeme, President & CEO

May 16, 2019

______

Barb Ihlen, Director of Finance & Ancillary Services

May 16, 2019

SELKIRK COLLEGE CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at March 31, 2019

2019 2018

FINANCIAL ASSETS Cash and cash equivalents (Note 3) $ 12,137,595 $ 12,357,391 Accounts receivable (Note 4) 2,860,378 1,684,140 Inventories for resale (Note 5) 345,848 414,608 Portfolio investments (Note 6) 9,602,600 9,334,279 24,946,421 23,790,418

LIABILITIES Accounts payable and accrued liabilities (Note 7) 6,195,593 7,523,845 Deferred revenue (Note 8) 8,044,407 7,985,486 Employee future benefits (Note 9) 5,015,810 4,834,043 Deferred capital contributions (Note 10) 45,344,560 32,761,056 64,600,370 53,104,430

NET FINANCIAL DEBT (39,653,949) (29,314,012)

NON-FINANCIAL ASSETS Tangible capital assets (Note 11) 52,501,775 41,597,834 Inventories held for use 61,471 27,140 Prepaid expenses 643,019 762,894 53,206,265 42,387,868

ACCUMULATED SURPLUS (Note 12) $ 13,552,316 $ 13,073,856

Contractual rights (Note 13) Contractual obligations (Note 14)

Chairperson, Board of Directors Director of Finance & Ancillary Services

The accompanying notes form an integral part of these consolidated financial statements 2 SELKIRK COLLEGE CONSOLIDATED STATEMENT OF OPERATIONS AND ACCUMULATED SURPLUS For the Year Ended March 31, 2019

2019 2019 2018 Budget Actual Actual

REVENUE

Government grants $ 29,634,480 $ 28,808,275 $ 27,186,788 Industry Trades Authority funding 1,845,816 1,788,208 1,814,351 Tuition 12,168,729 12,796,422 12,179,484 Sales 2,399,000 2,372,414 2,345,771 Investment income 300,000 588,301 472,413 Donations 200,000 247,434 255,543 Amortization of deferred capital contributions 1,736,905 1,774,682 1,373,800 Contracts and other revenue 3,034,766 3,574,200 3,309,437 51,319,696 51,949,936 48,937,587

EXPENSES (Note 15)

Education programming 25,498,078 25,297,750 24,127,810 Student support 5,935,268 5,674,155 5,544,727 Research and innovation 1,565,966 1,517,158 1,177,192 Administrative support 6,258,878 6,627,862 5,868,795 Facilities support 9,417,896 9,694,817 8,740,391 Ancillary services 2,183,610 2,213,439 2,153,800 Awards and related costs 460,000 542,375 513,487 51,319,696 51,567,556 48,126,202

Annual surplus before endowment contributions - 382,380 811,385 Endowment contributions - 96,080 48,446

ANNUAL SURPLUS - 478,460 859,831

ACCUMULATED SURPLUS, beginning of year 13,073,856 13,073,856 12,214,025

ACCUMULATED SURPLUS, end of year $ 13,073,856 $ 13,552,316 $ 13,073,856

The accompanying notes form an integral part of these consolidated financial statements 3 SELKIRK COLLEGE CONSOLIDATED STATEMENT OF CHANGE IN NET FINANCIAL DEBT For the Year Ended March 31, 2019

2019 2019 2018 Budget Actual Actual

ANNUAL SURPLUS $ - $ 478,460 $ 859,831

Acquisition of tangible capital assets - (12,706,154) (12,489,756) Amortization of tangible capital assets 1,771,363 1,802,213 1,403,431 1,771,363 (10,903,941) (11,086,325)

(Acquisition) consumption of inventories held for use - (34,331) 5,014 Use (acquisition) of prepaid expenses - 119,875 (487,300) - 85,544 (482,286)

Change in net financial debt 1,771,363 (10,339,937) (10,708,780)

NET FINANCIAL DEBT, beginning of year (29,314,012) (29,314,012) (18,605,232)

NET FINANCIAL DEBT, end of year $(27,542,649) $(39,653,949) $ (29,314,012)

The accompanying notes form an integral part of these consolidated financial statements 4 SELKIRK COLLEGE CONSOLIDATED STATEMENT OF CASH FLOWS For the Year Ended March 31, 2019

2019 2018

CASH FLOWS FROM (USED IN) OPERATING ACTIVITIES

Annual Surplus $ 478,460 $ 859,831

Items Not Requiring an Outlay of Cash Amortization of tangible capital assets 1,802,213 1,403,431 Amortization of deferred capital contributions (1,774,682) (1,373,800)

505,991 889,462 Changes in Non-Cash Working Capital Accounts receivable (1,176,238) 733,185 Prepaid expenses 119,875 (487,300) Inventories for resale 68,760 153,392 Inventories held for use (34,331) 5,014 Accounts payable and accrued liabilities (1,328,252) 572,953 Deferred revenue 293,702 1,954,625 Employee future benefits 181,767 115,013 (1,874,717) 3,046,882 CASH FLOWS FROM (USED IN) CAPITAL ACTIVITIES Acquisition of tangible capital assets (12,706,154) (12,489,756) Deferred capital contributions received 14,358,186 6,994,631 1,652,032 (5,495,125) CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES Increase in portfolio investments, net (503,102) (336,496)

Net Decrease in Cash and Cash Equivalents (219,796) (1,895,277) CASH AND CASH EQUIVALENTS, beginning of year 12,357,391 14,252,668 CASH AND CASH EQUIVALENTS, end of year $ 12,137,595 $ 12,357,391

The accompanying notes form an integral part of these consolidated financial statements 5 SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

1. Authority and Purpose Selkirk College (the College) is incorporated under the authority of the College and Institute Act of British Columbia. The College is a not-for-profit entity governed by a Board of Governors and is exempt from income tax under section 149 of the Income Tax Act.

The College is a comprehensive college offering a full range of undergraduate, graduate, continuing studies programs, and applied research. The College is economically dependent on the Provincial Government’s Ministry of Advanced Education, Skills and Training (AEST) for the provision of operating and capital funding.

2. Summary of Significant Accounting Policies (a) Basis of accounting In 2010, directive was provided by the Province of British Columbia Treasury Board (Treasury Board) through Government Organization Accounting Standards Regulation 257/2010 requiring all tax-payer supported organizations in the Schools, Universities, Colleges and Hospitals sectors to adopt Canadian Public Sector Accounting Standards (PSAS) established by the Public Sector Accounting Board (PSAB) of the Canadian Institute of Chartered Accountants (CICA) without any PS4200 elections from their first fiscal year commencing after January 1, 2012. Selkirk College’s transition date was effective April 1, 2011.

In March 2011, PSAB released a new Canadian Public Sector Accounting Standard PS 3410 “Government Transfers”. In November 2011, Treasury Board provided a directive in Section 23.1 of the Budget Transparency and Accountability Act of the Province of British Columbia and through Restricted Contributions Regulation 198/2011 providing direction for the reporting of restricted contributions whether they are received or receivable by the College before or after this regulation was in effect. The Treasury Board direction on the accounting treatment of restricted contributions is as described in Note 2(k)(i) and 2(k)(ii).

Further, the Office of the Comptroller General (OCG) provided direction in memorandum ref. 250955 on the treatment of endowment funds, financial instruments, pension plans and employee future benefits. The OCG direction requires:

(i) the College to treat endowment contributions as described in Note 2(k)(iii);

(ii) the College to implement PS 3450 Financial Instruments as at April 1, 2012; and (iii) the College to apply the discount rate for pension plans and/or employee future benefits at the next valuation date or within three years of transition to PSAS.

These consolidated financial statements have been prepared in accordance with the financial reporting framework described above.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

2. Summary of Significant Accounting Policies (continued) (b) Reporting entity The reporting entity includes Selkirk College and all related entities, which are accountable for the administration of their financial affairs and resources to the College and are either owned or controlled by the College.

The consolidated financial statements reflect the assets, liabilities, revenues, expenses, change in net financial debt, and cash flows of the Selkirk College Foundation, which is a non-profit organization and registered charity controlled by Selkirk College.

On consolidation, all inter-fund and inter-organizational transactions, balances, and activities have been eliminated.

(c) Cash and cash equivalents Cash and cash equivalents consist of cash-on-hand, bank balances, and guaranteed investment certificates or other highly liquid investments with a term to maturity of three months or less from the date of acquisition.

(d) Financial instruments Financial instruments are classified into two categories: fair value or cost.

(i) Fair value category: Portfolio instruments that are quoted in an active market are reflected at fair market value as at the reporting date. Other financial instruments, which the College has designated to be recorded at fair market value, include cash and cash equivalents and sinking funds. Sales and purchases of investments are recorded on the trade date. Transaction costs related to the acquisition of investments is recorded as an expense. All financial instruments held by the College with unrealized gains and losses are endowment assets. Any unrealized gains and losses as a result of a change in fair market value for the period are reported as deferred revenue on the Consolidated Statement of Financial Position. At the time of derecognition, the related realized gains and losses are recognized in the Consolidated Statement of Operations and Accumulated Surplus as investment income, or on the Consolidated Statement of Financial Position as deferred revenue if not yet spent as externally designated.

(ii) Cost category: All other financial instruments held by the College are measured at cost or amortized cost and include accounts receivable, accounts payable and accrued liabilities. Gains and losses are recognized in the Consolidated Statement of Operations and Accumulated Surplus when the financial asset is derecognized due to disposal or impairment. Sales and purchases of investments are recorded on the transaction date. Transaction costs related to the acquisition of investments is included in the cost of the related investments.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

2. Summary of Significant Accounting Policies (continued) (e) Inventories for resale Inventories held for resale, including books and college supplies, are recorded at the lower of cost and net realizable value. Cost includes the original purchase cost, plus shipping and applicable duties. Net realizable value is defined as the estimated selling price less any estimated costs necessary to make the sale.

(f) Non-financial assets Non-financial assets are not available to discharge existing liabilities and are held for use in the provision of services. They have useful lives extending beyond the current year and are not intended for sale in the ordinary course of operations.

(g) Tangible capital assets Tangible capital assets are reported on the Consolidated Statement of Financial Position as non- financial assets. Purchased capital assets are recorded at cost and include amounts that are directly attributable to acquisition, construction, development or betterment of the asset. The cost, less residual value, of the tangible capital asset, excluding land, is amortized on a straight-line basis over their estimated useful life as follows:

Asset Rate

Buildings and major renovations 40 years Furniture and equipment 5 years Information technology (equipment, software and infrastructure) 5-15 years Leasehold improvements 5-40 years Siteworks 10 years

Amortization of assets under construction will not commence until the asset is put into service.

(h) Inventories held for use Inventories held for use are reported on the Consolidated Statement of Financial Position as non- financial assets and are recorded at the lower of cost and replacement cost.

Cost includes the original purchase cost, plus shipping and applicable duties. Replacement cost is the estimated current price to replace the items.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

2. Summary of Significant Accounting Policies (continued) (i) Employee future benefits Employee future benefits include vacation pay, banked overtime, sick leave benefits and other compensated absences, extended health benefits, retirement severance benefits, pension benefits, and post-retirement benefits available to the College’s current and past employees. The benefits that accumulate and do not vest are actuarially determined and reflect management’s best estimate of future trends associated with such benefits and interest rates. Adjustments to these costs arising from changes in estimates and experienced gains and losses are amortized over the estimated average remaining service life of the employee groups on a straight-line basis. The College and its employees make contributions to the College Pension Plan and the Municipal Pension Plan. These plans are defined benefit plans, providing a pension on retirement based on the member’s age, length of service, and earnings. As the assets and liabilities of the plans are not segregated by institution, the plans are accounted for as a defined contribution plan and any contributions made by the College to the plans are expensed as incurred.

(j) Liability for contaminated sites A contaminated site is a site at which substances occur in concentrations that exceed the maximum acceptable amounts under an environmental standard. Sites that are currently in productive use are only considered a contaminated site if an unexpected event results in contamination. A liability for remediation of contaminated sites is recognized when the organization is directly responsible or accepts responsibility, it is expected that future economic benefits will be given up, and a reasonable estimate of the amount can be made. The liability includes all costs directly attributable to remediation activities including post remediation operations, maintenance and monitoring. The liability is recorded net of any expected recoveries.

(k) Revenue recognition Tuition, student fees, and the sale of goods and services are reported as revenue as the services are provided or at the time the products are delivered, and collection is reasonably assured.

Unrestricted donations and grants are recorded as revenue when receivable if the amounts can be estimated and collection is reasonably assured. Pledges from donors are recorded as revenue when payment is received by the College or the transfer of property is completed.

Restricted contributions and grants received or receivable are reported as revenue depending on the nature of the restrictions on the use of the funds by the contributors as follows:

(i) Contributions for the purpose of acquiring or developing a depreciable tangible capital asset or in the form of a depreciable tangible capital asset, in each case for use in providing services are recorded as deferred capital contributions and recognized in revenue at the same rate that amortization of the tangible capital asset is recorded. The reduction of the deferred capital contributions and the recognition of the revenue are accounted for in the fiscal period during which the tangible capital asset is used to provide services.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

2. Summary of Significant Accounting Policies (continued) (k) Revenue recognition (continued)

(ii) Contributions restricted for specific purposes other than for those to be held in perpetuity or the acquisition or development of a depreciable tangible capital asset are recorded as deferred contributions and recognized in revenue in the fiscal period in which the stipulation or restriction on the contribution have been met.

(iii) Contributions restricted to be retained in perpetuity, allowing only the investment income earned thereon to be spent are recorded as direct increases to accumulated surplus for the portion to be held in perpetuity and as deferred contributions for any restricted investment income earned thereon.

Investment income includes interest recorded on an accrual basis and dividends recorded as declared, realized gains and losses on the sale of investments, and write-downs on non-portfolio investments where the loss in value is determined to be other-than-temporary.

For investments recorded at fair value, unrealized gains and losses are recorded in the Consolidated Statement of Remeasurement Gains and Losses. Currently, such fair value differences are not significant, and therefore, a Consolidated Statement of Remeasurement Gains and Losses has not been prepared.

(l) Use of estimates The preparation of the consolidated financial statements in accordance with Canadian Public Sector Accounting Standards requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets, liabilities, and related disclosures. Key areas where management has made estimates and assumptions include those related to the fair value of financial instruments, useful life of tangible capital assets, and the present value of employee future benefits and commitments. Where actual results differ from these estimates and assumptions, the impact will be recorded in periods when the difference becomes known.

(m) Budget figures Budget figures have been provided for comparative purposes and were approved by the Board of Governors of the College on May 22, 2018. The budget is reflected in the Consolidated Statement of Operations and Accumulated Surplus and the Consolidated Statement of Change in Net Financial Debt.

3. Cash and Cash Equivalents Cash and cash equivalents includes $6,284,392 (2018 - $4,850,535) in internally restricted cash for use on future capital projects.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

4. Accounts Receivable Accounts receivable consists of the following:

2019 2018

Federal government $ 247,358 $ 463,186 Provincial government 1,654,217 135,283 Other 958,803 1,085,671 $ 2,860,378 $ 1,684,140

Accounts receivable includes $185,206 (2018 - $199,815) receivable from the federal government for GST.

5. Inventories for Resale

2019 2018

Bookstore $ 299,526 $ 360,153 Cafeteria 46,322 54,455 $ 345,848 $ 414,608

In 2019, a total of $1,068,203 (2018 - $1,081,417) of inventories were included in the Consolidated Statement of Operations and Accumulated Surplus as an expense. None of the inventories are pledged as security for liabilities.

6. Portfolio Investments The investment portfolio is invested through a professional portfolio manager and consists of Canadian equity, bond and income funds. Financial assets and liabilities recorded at market value are comprised of the following:

Cost Market Value 2019 2018 2019 2018 Portfolio investments in equity instruments that are quoted in an active market: Equities $ 3,720,684 $ 4,571,099 $ 4,120,173 $ 4,529,558 Fixed income 5,395,602 4,042,084 5,455,071 4,798,476

Financial assets: Life annuity 27,356 6,245 27,356 6,245

$ 9,143,642 $ 8,619,428 $ 9,602,600 $ 9,334,279

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

6. Portfolio Investments (continued)

The College holds a beneficial interest in funds held by the Vancouver Foundation. The fund is held in perpetuity and controlled by the Vancouver Foundation. As these amounts are not controlled by the College and are not an asset owned by the College, these fund balances are not recorded in the financial statements. Investment income earned on the fund is paid to the College annually and recorded as interest income in the endowment fund. Investment income received by the College from the fund was $25,376 (2018 - $29,845).

Market risk is the risk that changes in market prices, such as interest rates, will affect the College’s income. The objective of market risk management is to control market risk exposures within acceptable parameters while optimizing the return on risk.

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in the market interest rates.

It is management's opinion that the College is not exposed to significant market or interest rate risk arising from its financial instruments.

7. Accounts Payable and Accrued Liabilities Accounts payable includes $593,517 (2018 - $410,460) payable to the federal government for payroll deductions withheld and $27,537 (2018 – $16,354) for GST.

8. Deferred Revenue

Opening Unrealized Revenue Ending Balance (Gain)/Loss Additions Recognized Balance

Endowment funds $ 1,585,176 $ (255,891) $ 717,395 $ ( 418,722) $ 1,627,958 Tuition 1,603,451 - 12,711,710 (12,796,422) 1,518,739 Industry Trades Authority 471,577 - 1,805,478 (1,788,208) 488,847 Other 4,325,282 - 4,092,269 (4,008,688) 4,408,863 $ 7,985,486 $ (255,891) $ 19,326,852 $ (19,012,040) $ 8,044,407

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

9. Employee Future Benefits a. Accumulated sick leave benefit and other retirement benefit arrangements liability: Employees of the College are entitled to sick leave in accordance with the terms and conditions of their employment contracts. Sick leave credits accumulate for employees of the College as they render services. The College recognizes a liability and an expense for sick leave in the period in which employees render services in return for the benefits. Retirement benefit payments represent the College’s share of the cost to provide employees with various benefits upon retirement. The accrued benefit obligation and the net periodic benefit cost were estimated by an actuarial valuation completed in April 2019. The accrued sick leave benefit liability is included as part of the employee future benefits.

Information about the accrued employee future benefits liabilities for the College’s employee benefit plans is as follows:

2019 2018 Accrued benefit obligation Balance, beginning of year * $ 1,373,300 $ 1,361,800 Net actuarial gain (529,100) - Current service cost 252,400 243,300 Interest cost 53,600 51,200 Benefits paid (188,900) (283,000) Accrued benefit obligation, end of year $ 961,300 $ 1,373,300

* The balance has been reclassified to conform to the current year’s presentation.

b. Accrued payroll benefits

The College accrues retirement allowances, holiday pay and sick leave as they are earned by the employee, however, it is expected that these unfunded liabilities will be met on a continuous basis over the long-term. Payment of these amounts will be funded from revenues of the period in which they are settled.

2019 2018

Holiday pay $ 3,037,512 $ 2,757,428 Sick leave * 1,236,878 1,373,300 Banked overtime 48,928 47,925 Retirement allowance 692,492 655,390 $ 5,015,810 $ 4,834,043

* The balance includes estimated sick leave in addition to the accrued benefit obligation in Note 9(a).

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

9. Employee Future Benefits (continued) c. Pension liability

The College and its employees contribute to the College Pension Plan and Municipal Pension Plan (jointly trusteed pension plans). The boards of trustees for these plans, representing plan members and employers, are responsible for administering the pension plans, including investing assets and administering benefits. The plans are multi-employer defined benefit pension plans. Basic pension benefits are based on a formula. As at August 31, 2018, the College Pension Plan has about 14,000 active members, and approximately 8,000 retired members. As at December 31, 2017, the Municipal Pension Plan has about 197,000 active members, including approximately 6,000 from colleges. Every three years, an actuarial valuation is performed to assess the financial position of the plans and adequacy of plan funding. The actuary determines an appropriate combined employer and member contribution rate to fund the plans. The actuary’s calculated contribution rate is based on the entry- age normal cost method, which produces the long-term rate of member and employer contributions sufficient to provide benefits for average future entrants to the plans. This rate may be adjusted for the amortization of any actuarial funding surplus and will be adjusted for the amortization of any unfunded actuarial liability.

The most recent actuarial valuation for the College Pension Plan as at August 31, 2015, indicated a $67 million surplus for basic pension benefits on a going concern basis.

The most recent valuation for the Municipal Pension Plan as at December 31, 2015, indicated a $2,224 million funding surplus for basic pension benefits on a going concern basis. As a result of the 2015 basic account actuarial valuation surplus and pursuant to the joint trustee agreement, $1,927 million was transferred to the rate stabilization account and $297 million of the surplus ensured the required contribution rates remained unchanged.

Selkirk College paid $2,690,852 for employer contributions to the plans in fiscal 2019 (2018 - $2,527,807).

The next valuation for the College Pension Plan will be as at August 31, 2018, with results available in 2019. The next valuation for the Municipal Pension Plan will be December 31, 2018, with results available in 2019.

Employers participating in the plans record their pension expense as the amount of employer contributions made during the fiscal year (defined contribution pension plan accounting). This is because the plans record accrued liabilities and accrued assets for each plan in aggregate, resulting in no consistent and reliable basis for allocating the obligation, assets and cost to individual employers participating in the plans.

SELKIRK COLLEGE NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

10. Deferred Capital Contributions Contributions specified and used for the acquisition of tangible capital assets are referred to as deferred capital contributions. Amounts are recognized into revenue as the liability is extinguished over the useful life of the asset. Treasury Board provided direction on accounting treatment as disclosed in Note 2. Changes in the deferred capital contributions balance are as follows:

2019 2018

Balance, beginning of year $ 32,761,056 $ 27,140,225 Contributions received during the year 14,358,186 6,994,631 Revenue recognized from deferred capital contributions (1,774,682) (1,373,800) Balance, end of year $ 45,344,560 $ 32,761,056

Selkirk College received contributions of $1,837,223 that remain unspent at the end of fiscal year 2019 (2018 - $Nil).

11. Tangible Capital Assets The College has no direct insurance coverage against liability or loss of any of its property and equipment except vehicles. AEST’s University, College & Institute Protection Program provides the College with property insurance and claims for loss of College property must be submitted to the Province of British Columbia to be considered for compensation.

SELKIRK COLLEGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

11. Tangible Capital Assets (continued)

Buildings Land and land and major Furniture and Information Leasehold Assets under- improvements renovations equipment technology improvements Siteworks construction 2019 Total Cost Opening balance $ 90,000 $ 41,721,224 $ 26,487,998 $ 2,343,867 $ 13,900,455 $ 2,383,244 $ 14,787,001 $ 101,713,789 Additions - 8,963,034 496,124 579,112 34,670 - 2,633,214 12,706,154 Transfers - 12,033,360 (386,384) 1,508,351 178,789 490,100 (13,824,216) - Closing balance 90,000 62,717,618 26,597,738 4,431,330 14,113,914 2,873,344 3,595,999 114,419,943

Accumulated amortization Opening balance - 24,346,168 25,312,025 1,899,318 7,082,704 1,475,740 - $ 60,115,955 Amortization - 948,301 274,308 193,370 234,753 151,481 - 1,802,213 Closing balance - 25,294,469 25,586,333 2,092,688 7,317,457 1,627,221 - 61,918,168

Net book value $ 90,000 $ 37,423,149 $ 1,011,405 $ 2,338,642 $ 6,796,457 $ 1,246,123 $ 3,595,999 $ 52,501,775

SELKIRK COLLEGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

11. Tangible Capital Assets (continued)

Buildings Land and land and major Furniture and Information Leasehold Assets under- improvements renovations equipment technology improvements Siteworks construction 2018 Total Cost Opening balance $ 90,000 $ 41,641,721 $ 26,170,258 $ 2,343,867 $ 13,820,721 $ 1,462,199 $ 3,695,267 $ 89,224,033 Additions - 79,503 317,740 - 79,734 921,045 11,091,734 12,489,756 Closing balance 90,000 41,721,224 26,487,998 2,343,867 13,900,455 2,383,244 14,787,001 101,713,789

Accumulated amortization Opening balance - 23,663,551 24,991,502 1,816,643 6,849,725 1,391,103 - $ 58,712,524 Amortization - 682,617 320,523 82,675 232,979 84,637 - 1,403,431 Closing balance - 24,346,168 25,312,025 1,899,318 7,082,704 1,475,740 - 60,115,955

Net book value $ 90,000 $ 17,375,056 $ 1,175,973 $ 444,549 $ 6,817,751 $ 907,504 $ 14,787,001 $ 41,597,834

SELKIRK COLLEGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

12. Accumulated Surplus Accumulated surplus is comprised of the following:

2019 2018

Investment in tangible capital assets $ 8,994,438 $ 8,836,778 Endowment fund 7,871,830 7,804,603 Internally restricted 874,147 868,986 Unrestricted 827,711 397,532 Unfunded employee future benefits (5,015,810) (4,834,043) Balance, end of year $ 13,552,316 $ 13,073,856

13. Contractual Rights

The College has annual contractual rights over the next five years as follows:

Doctors CBT (a) NSERC (b) NSERC (c) UVic (d) of BC (e) Total 2019/20 $ 1,000,000 $ 400,000 $ 400,000 $ 334,561 $ 324,892 $ 2,459,453 2020/21 1,000,000 400,000 400,000 334,561 329,790 2,464,351 2021/22 1,000,000 400,000 400,000 334,561 - 2,134,561 2022/23 - 400,000 200,000 334,561 - 934,561 2023/24 - 200,000 - - - 200,000 $ 3,000,000 $ 1,800,000 $ 1,400,000 $ 1,338,244 $ 654,682 $ 8,192,926

a. Columbia Basin Trust (CBT) Selkirk College project. b. Natural Sciences and Engineering Research Council of Canada (NSERC) funds for building an advanced manufacturing cluster in rural BC.

c. NSERC funds for building an innovative forestry technology cluster project. d. University of Victoria (UVic) funds for delivery of the baccalaureate degree in nursing program.

e. Doctors of BC Rural Pre-Med Program project.

SELKIRK COLLEGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

14. Contractual Obligations

The College has annual contractual operating lease payments over the next five years for the Tenth Street and Grand Forks campuses and Unit 4 enterprise resource planning (ERP) services, as follows:

Tenth Grand Street Forks Campus Campus Unit4 Total 2019/20 $ 331,054 $ 68,000 $ 390,400 $ 789,454 2020/21 331,054 22,667 406,400 760,121 2021/22 331,054 - 406,400 737,454 2022/23 331,054 - 406,400 737,454 2023/24 331,054 - 406,400 737,454 Thereafter 567,879 - 1,249,200 1,817,079 $ 2,223,149 $ 90,667 $ 3,265,200 $ 5,579,016

15. Expenses by Object

The following is a summary of expenses by object:

2019 2018

Salaries, wages and benefits $ 36,685,157 $ 34,672,715 Supplies and services 11,857,669 10,873,713 Operating lease payments 612,638 610,206 Student awards 448,295 434,714 Management fees 54,528 53,517 Amortization of tangible capital assets 1,802,213 1,403,431 Bad debt expense, net of recovery 107,056 77,906 $ 51,567,556 $ 48,126,202

16. Comparative Figures

Comparative figures from the prior year have been reclassified to conform to the current year’s presentation.

SELKIRK COLLEGE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended March 31, 2019

17. Impact of Accounting for Capital Contributions on a Deferral Basis

As set out in Notes 2(a) and (k), the College is required to defer recognition of government transfers for capital and recognize them in revenue over the life of the funded asset. This policy is not in accordance with PSAS which requires that such transfers be deferred only if the funding agreements contain stipulations that create a liability and then to recognize revenue over the period that the liability is extinguished.

The impact of this difference from PSAS is as follows:

Year ended March 31, 2018 understate revenue and understate annual surplus by $5,620,831. Year ended March 31, 2018 overstate liabilities, overstate net debt and understate accumulated surplus by $32,761,056. Year ended March 31, 2019 understate revenue and understate annual surplus by $10,701,281. Year ended March 31, 2019 overstate liabilities, overstate net debt and understate accumulated surplus by $43,507,337.

SELKIRK COLLEGE SCHEDULE OF DEBT (UNAUDITED) Fiscal Year Ended March 31, 2019

Selkirk College did not hold long-term debt during fiscal year 2018/2019.

Prepared under the Financial Information Regulation, Schedule 1, section 4 SELKIRK COLLEGE SCHEDULE OF GUARANTEE AND INDEMNITY AGREEMENTS (UNAUDITED) Fiscal Year Ended March 31, 2019

Guarantee agreements:

No guarantee agreements were in effect at March 31, 2019.

Indemnity agreements:

BMO Bank of Montreal Cansel Survey Equipment (Canada) Inc. City of Castlegar The Capital Theatre Restoration Society

Prepared under the Financial Information Regulation, Schedule 1, section 5

SELKIRK COLLEGE STATEMENT OF SEVERANCE AGREEMENTS (UNAUDITED) Fiscal Year Ended March 31, 2019

There were no severance agreements made between Selkirk College and its non-unionized employees during fiscal year 2018/2019.

Prepared under the Financial Information Regulation, Schedule 1, subsection 6(8)

SELKIRK COLLEGE EXPLANATION OF DIFFERENCES TO AUDITED FINANCIAL STATEMENTS (UNAUDITED) Fiscal Year Ended March 31, 2019 SOFI Report Scheduled Payments Remuneration $ 28,707,982 Employee Expenses 998,936 Employer CPP/EI 1,654,847 $31,361,765

Payments for Goods and Services 31,082,029

Total of Scheduled Payments $62,443,794

Total of Financial Statement Expenditures $51,567,556

The difference between the Total of Scheduled Payments and the Total Financial Statements Expenditures are due to:

 Adjustments to account for the difference between payments made on a cash basis, and the audited financial statements reporting expenses on an accrual basis of accounting. This would include adjustments for opening and closing balances of inventories, prepaid expenses, and accrued liabilities.  List of payments to suppliers include 100% GST while the expenses in the financial statements are net of the applicable GST rebate.

 Payments to suppliers include employee payroll deductions made on behalf of employees that are not reported as goods or services.

 Capital expenditures are shown as payments to the supplier in this report. However, the total financial statement expenses do not reflect these payments as they report amortization of all the tangible capital assets.  The Schedule of Payments to Suppliers of Goods and Services includes payments made on behalf of third parties that are recovered from these parties and the expense is excluded from the Financial Statements.  Payments to some suppliers are reported directly to the Statement of Financial Position and therefore are not reported as expenses.

Prepared under the Financial Information Regulation, Schedule 1, section 6(2), (3), (4), (5) and (6)

SELKIRK COLLEGE SCHEDULE OF REMUNERATION AND EXPENSES FISCAL YEAR ENDED MARCH 31, 2019

NAME POSITION REMUNERATION EXPENSES

APPOINTED OFFICIAL

BRADFORD, DANNY BOARD MEMBER$ 1,167 $ 98 DOOLEY, PAT BOARD MEMBER 667 540 DUTTON, JOHN BOARD MEMBER 1,333 279 GARBULA, GREGORY BOARD MEMBER 667 - LEROSE, BRUCE BOARD CHAIR 2,375 115 HERNANDEZ, SANTANNA BOARD MEMBER, STUDENT 1,525 627 MCINDOE, MICHAEL BOARD MEMBER 667 90 MOREHOUSE, MADISON BOARD MEMBER, STUDENT 1,000 - REPIN, AUDREY BOARD MEMBER 1,333 - SALIKIN, KRIS BOARD MEMBER 1,333 102 SUTHERLAND, MARGARET BOARD MEMBER 1,333 - WALLACE, SHAREL BOARD MEMBER, PAST BOARD CHAIR 2,125 115 WEAGER, DANICA BOARD MEMBER 667 188 WEATHERFORD, SCOTT BOARD VICE CHAIR 2,000 419

TOTAL APPOINTED OFFICIALS $ 18,192 $ 2,573

DETAILED EMPLOYEES > $75,000

ALDER, ALLISON SCHOOL CHAIR$ 97,099 $ 8,669 ANDERSON, WENDY FACULTY 100,165 7,916 ANDREWS, CAROL FACULTY 92,990 1,222 ANDREWS, RHYS VICE PRESIDENT EDUCATION 138,784 7,004 BABOTT, TOM FACULTY 91,889 1,775 BAKKEN, LORI FACULTY ASSISTANT 73,480 3,329 BALLAM, WAYNE FACULTY 80,064 13,187 BARRON, JENNIFER FACULTY 75,213 2,076 BATTY, MARIANNE FACULTY 80,981 523 BEATTY, DANNY MANAGER OF INTERNATIONAL EDUCATION & DEVELOPMENT 100,189 39,684 BEAULIEU, CHARLA FACULTY 90,087 - BIDART, PAT DEAN 113,772 19,323 BIERMANN, MARCO INFORMATION TECHNOLOGY MANAGER 71,894 10,501 BIRD, KRISTEN FACULTY 91,850 3,793 BRAZEAU, DANIEL FACULTY 92,826 531 BRIGGEMAN, DAVE FACULTY 97,283 - BROWN, NICOLE FACULTY 78,354 2,192 BURR, SUSAN FACULTY 81,782 603 BUTTLE, JONATHAN FACULTY 86,522 1,250 CARRASCO, MARISSA FACULTY 74,872 1,196 CLARKE, KERRY VICE PRESIDENT COLLEGE SERVICES, CFO 138,792 19,521 CLARKE, TAMMIE FACULTY 91,850 4,100 CLIFF-MARKS, JENNIFER FACULTY 83,986 2,476 COMRIE, LESLIE HEALTHY CAMPUS ADVISOR 90,087 1,908 CROMARTY, CHRISTETTE FACULTY 93,687 1,418 CURRIE, DONALD COLLEGE LIBRARIAN 96,622 5,915 DA COSTA, JASON FACULTY 76,222 - DENNIS, IAN RESEARCH ASSISTANT 74,140 3,740 DIACHUN, MELODY FACULTY 91,850 2,960 DIETRICH, LU ANN COUNSELLOR 90,087 2,695 DODD, GREG FACULTY 99,447 6,520 DREW, BRENNAN FACULTY 92,971 521 FAHRENBRUCH, ANITA FACULTY 82,583 4,625 FALKENHAGEN, DARCY LEARNING SKILLS COORDINATOR 88,797 6,281 FARR, KAMREN EDUCATION DIVISION LEAD AURORA 92,693 4,929 FAWCETT, SARAH FACULTY 96,579 - FELDMAN, DAVID DEAN 111,345 10,454 GALLO, ARLEEN EXECUTIVE DIRECTOR HUMAN RESOURCES 112,358 13,390 GAUVREAU, SUMMER FACULTY ASSISTANT 72,070 3,811 GIESLER, MICHAEL JOURNEYMAN FIELD TECHNICICAN & PROJECT MANAGER 73,764 5,441 GOULD, LUREE FACULTY 91,889 3,633 GRAEME, ANGUS PRESIDENT & CEO 184,789 22,607 GREAVISON, RON FACULTY 91,889 - GREEN, JANE FACULTY 91,915 5,674 GULLEN, ANDY FACULTY 95,946 1,208 HACKETT, SUE FACULTY 92,450 8,763 HALL, ANDREA MANAGER REPORTING, PLANNING & ACCOUNTABILITY 88,909 - HAMILTON, JULIE-CLAIRE FACULTY 85,439 7,946 HARRIS, STEPHEN FACULTY 76,222 2,384 HARVEY, TRACEY FACULTY 105,717 8,197 HARWOOD, LINDA FACULTY 91,850 4,715 HAYDEN, SARGENT FACULTY 92,284 1,298 HEENKENDA, MUDITHA FACULTY 100,779 2,140 HENDERSON, DOUG FACULTY 91,421 4,543 HICKS, DARRELL INFRASTRUCTURE & STRATEGIC PROJECT MANAGER 98,907 11,688 IHLEN, BARB EXECUTIVE DIRECTOR OF FINANCE & ANCILLARY SERVICES 114,423 14,466 INGRAM, DARCY FACULTY 91,850 20,542 JACOBSON, REBECCA FACULTY 80,730 636 JANZEN, RANDY FACULTY 86,209 8,040 JARRETT, JUSTINE PROJECT AURORA - FINANCE LEAD 89,898 1,353 JOLLY, DARYL SCHOOL CHAIR 97,320 10,075 KECZAN, MAGGIE MARKETING MANAGER 81,314 2,759 KETTNER, TODD FACULTY 91,850 3,083 KEYSERLINGK, MARTIN SCHOOL CHAIR 96,873 12,537 KINCAID, JOHN VICE PRESIDENT STUDENT & ADVANCEMENT, REGISTRAR 135,923 4,495 KONKIN, MICHAEL FACULTY 92,508 5,006 KOZAK, LEANNA FACULTY 76,416 2,059 LAING, KEN LIBRARIAN 75,854 2,230 LANDIS, SIAN INSTRUCTIONAL SERVICES & DIGITAL INITIATIVES LIBRARIAN 90,087 572 LANGHAM, JULIA FACULTY 71,000 4,096 LARSEN, TAKAIA FACULTY 90,889 4,694 LAURIN, MICHELE PROJECT AURORA - HUMAN RESOURCES LEAD 76,202 2,853 LEITCH, JIM FACULTY 93,687 843 LESSARD, KEYES FACULTY 94,253 223 LONG, JILL SYSTEMS & SCHEDULING MANAGER 71,896 5,708 LUCKHURST, IAN FACULTY 85,015 5,538 LUTZ, ALLISON FACULTY 80,178 2,026 MACDONALD, DONALD FACULTY 91,850 7,117 MACDONALD, TERRI DIRECTOR APPLIED RESEARCH & INNOVATION 110,581 24,010 MACGILLIVRAY, DAVID FACULTY 86,081 585 MACRAE, ROBERT FACULTY 92,015 1,641 MADHYASTHA, SAHANA COUNSELLOR 81,129 4,376 MAHE, DARREN FACULTY 91,850 - MAKEIV, COLIN FACULTY 93,687 3,414 MARINELLI, LUI FACULTY 91,850 1,146 MATTHEWS, RON FACULTY 93,687 7,384 MATTHEWS, STACEY LABOUR RELATIONS SPECIALIST 76,873 5,993 MAYR, JANET FACULTY 84,604 754 MCCALL, ERNA FACULTY 93,687 1,018 MCCALLUM, CRAIG FACULTY 93,687 1,375 MCIVOR, JUDY FACULTY 91,889 2,387 MCMASTER, BRUCE FACULTY 92,297 623 MCVITTIE, BRAD FACULTY 93,687 - MILLER, ALMEDA FACULTY 91,850 747 MITZ, ROBYN FACULTY 100,151 10,772 NAHAR, BODRUN FACULTY 86,407 1,529 NIELSEN, JESPER FACULTY 90,087 499 O'MEARA, JIM DEPUTY REGISTRAR 97,092 4,330 O'MEARA, TAMI COUNSELLOR, DEPARTMENT HEAD 114,968 3,362 PADILLA, JOSE FACULTY 93,261 693 PARENTEAU, GILLES FACULTY 83,364 - PARFITT, IAN FACULTY 91,912 9,498 PARISH, STEVEN FACULTY 92,153 - PARR, SIMON FACULTY 80,928 3,931 PASTOR, PABLO FACULTY 74,436 2,315 PAUN, NICOLAE NETWORK & SYSTEMS SPECIALIST 96,113 710 PERROTT, ALLYSON FACULTY 91,421 - PETRICK, TERESA DEAN 103,776 5,982 PHILLIPS, ANGELENE FACULTY 73,404 3,169 PUNCHARD, TRACY SCHOOL CHAIR 96,622 6,218 RABLAH, SHANA SCHOOL CHAIR 96,691 5,625 REIN, GORDON SCHOOL CHAIR 74,959 1,596 RILKOFF, LAREENA ACCOUNTING SERVICES MANAGER 81,563 1,884 ROY, ALISON FACULTY 93,687 2,700 SCHMITZ, RHONDA DIRECTOR STUDENT DEVELOPMENT 112,008 9,426 SCHRODER, PETER FACULTY 91,850 1,140 SCHWARZER, ROBERT SCHOOL CHAIR 98,583 3,939 SEABORN, STEPHEN FACULTY ASSISTANT 87,258 1,353 SHAH, SHANNON FACULTY 92,519 7,609 SHONIKER, KAREN FACULTY 86,380 450 SNAUWAERT, TIFFANY DEAN 114,423 21,248 SOLARIK, TODD LEARNING SKILLS COORDINATOR 90,087 2,249 SOUTHAM, THERESA TEACHING & LEARNING INSTITUTE COORDINATOR 82,814 12,059 SPENCER, MYRIAM ACCESSIBILITY SERVICES COORDINATOR 91,850 1,361 SPIELMAN, MARK FACULTY 90,087 938 STEENVOORDEN, HOLLY CHANGE MANAGER 78,086 10,042 STEVEN, DEANNE FACULTY 88,750 2,652 STOLTZ, JO-ANNE COUNSELLOR 82,647 4,594 STORVOLD, ESTHER FACULTY 93,687 730 STRELAEFF, ELLEN FACULTY 94,746 4,022 SUTHERLAND, DUFF FACULTY 91,850 1,719 TANNER, ROB FACULTY 96,240 4,115 TAYLOR, JASON FACULTY 94,923 9,592 TELLIER, GEOFF FACULTY 93,687 138 THURSTON, TIM FACULTY 76,827 1,345 TRACY, SPENCER FACULTY 91,889 391 TUCKER, JOHN FACULTY 92,201 - VANDENBOS, RENA FACULTY 89,740 1,723 VANDERHOEK, JONATHAN FACULTY 70,590 6,249 VAYKOVICH, KELLY FACULTY 70,660 5,417 VERIGIN, KIM DEPARTMENT HEAD - ATHLETICS 80,972 2,738 VILLA, VICTOR FACULTY 103,308 4,000 WALSH, MARIANNE IT MANAGER - PROJECT AURORA LEAD 82,551 5,161 WEBB, KERRI FACULTY 90,087 588 WHITE, ROSS FACULTY 91,889 5,517 WHITEHEAD, TAYA SCHOOL CHAIR 97,879 8,069 WILSON, BRENDAN SCHOOL CHAIR 94,767 2,896 WILSON, DEBORAH FACULTY 82,825 1,110 ZAITSOFF, RON DIRECTOR OF FACILITIES 111,603 3,135 ZAYTSOFF, LAWRENCE FACULTY 86,380 - ZWICK, LIANA PROJECT AURORA TRANSFORMATION LEAD 93,584 6,967

TOTAL DETAILED EMPLOYEES > $75,000 $ 13,829,338 $ 706,174

TOTAL EMPLOYEES <= $75,000 14,860,452 290,189

TOTAL $ 28,707,982 $ 998,936

TOTAL EMPLOYER PREMIUM FOR CPP/EI $ 1,654,847 SELKIRK COLLEGE SCHEDULE OF PAYMENTS TO SUPPLIERS OF GOODS AND SERVICES FISCAL YEAR ENDED MARCH 31, 2019

VENDOR NAME EXPENSE ACE COURIER $ 28,741 ADVANCED BIOCARBON 3D LTD 110,941 AIR LIQUIDE CANADA INC 36,450 AM FORD 39,759 APPLE CANADA INC 112,860 AVI-SPL CANADA LTD 90,044 BCGEU 114,318 BCNET 121,628 BDO CANADA LLP 32,025 BLACK PRESS GROUP LTD 29,457 BLACKBAUD CANADA 34,676 BRANDT TRACTOR LTD 84,000 BRITISH COLUMBIA FEDERATION OF STUDENTS 40,679 BUDGET CAR SALES 91,793 CAMOSUN COLLEGE 33,534 CARLETON TECHNOLOGIES INC 33,479 CDW CANADA 152,942 CES ENGINEERING LTD 28,627 CINTAS 29,835 COCA-COLA REFRESHMENTS CANADA 31,071 COLLEGE PENSION FUND 4,118,366 COLLIERS PROJECT LEADERS INC 151,972 COLUMBIA BASIN ALLIANCE FOR LITERACY 77,600 COLUMBIA BASIN BROADBAND CORP 209,627 COMMUNITY FUTURES CENTRAL KOOTENAY 31,500 COMPUGEN INC 157,011 CORPORATION OF THE CITY OF NELSON 473,141 COVER ARCHITECTURAL COLLABORATIVE INC 72,185 CULLEN DIESEL POWER 65,813 CUMIS GROUP LTD 33,902 DELL CANADA INC 44,675 DHC COMMUNICATIONS INC 88,476 EBSCO CANADA LTD 35,053 ECONOMIC MODELLING LLC 31,696 FORTIS BC 243,099 FORTIS BC NATURAL GAS 152,331 FRASER VALLEY BUILDING SUPPLIES INC 66,586 FULCRUM MANAGEMENT SOLUTIONS LTD 39,200 GET COLOUR COPIES LTD 27,313 GLACIER VIEW GLASS LTD 25,384 GLOBAL INDUSTRIAL CANADA INC 35,280 GLOBAL KNOWLEDGE NETWORK CANADA INC 45,819 GORDON FOOD SERVICE CANADA LTD 406,408 GUARD ME INTERNATIONAL INSURANCE 63,703 HARRIS & COMPANY 66,733 HERITAGE ROOFING & SHEET METAL LTD 36,965 HOTEL EQUIPMENT & SUPPLY CO 425,143 HOULE ELECTRIC LTD 119,620 HRX TECHNOLOGY INC 63,163 ICBC 37,658 INTERNATIONAL WEB EXPRESS 25,419 JONATHAN MORGAN & COMPANY 136,914 KALAWSKY CHEVROLET BUICK GMC 105,928 KAPLAN INC 37,287 KOOTENAY BOUNDARY DIVISION OF FAMILY PRACTICE 71,400 KTUNAXA NATION GOVERNMENT 49,634 LAERDAL MEDICAL CANADA LTD 28,849 LOGIN CANADA 41,163 LONG VIEW SYSTEMS CORPORATION 185,322 LOWER COLUMBIA INITIATIVES CORPORATION 25,000 M SQUARE BUSINESS SOLUTIONS INC 356,946 MANULIFE FINANCIAL 2,168,370 MARTECH ELECTRICAL SYSTEMS 66,728 MATRIX VIDEO COMMUNICATIONS 119,020 MCGRAW-HILL RYERSON LIMITED 64,461 MICRO FOCUS SOFTWARE (CANADA) INC 60,886 MILLS BASICS 42,472 MINISTER OF FINANCE 87,123 MINISTRY OF FORESTS, LANDS, NATURAL RESOURCE OPERATIONS AND RURAL DEVELOPMENT 46,191 MNP LLP 72,900 MPS 40,240 MS STEEL DESIGN 66,682 MUNICIPAL PENSION FUND 1,107,910 NATIONAL ASSOCIATION OF PHARMACY REGULATORY AUTHORITIES 57,356 NELSON CHRYSLER 42,733 NELSON EDUCATION LTD 33,371 NELSON FORD LTD 37,208 NELSON HYDRO 365,242 NETINTEGRATE SOLUTIONS INC 55,370 NORTHERN COMPUTER 119,279 NUFLOORS 31,766 OPUS CONSULTING GROUP 240,589 PALADIN SECURITY 34,083 PAPER LEAF DESIGN LTD 31,500 PEARSON EDUCATION CANADA 84,485 POST-SECONDARY EMPLOYERS' ASSOCIATION 31,500 POWER PAVING LTD 43,470 POWERLAND COMPUTERS LTD 82,599 PPWC LOCAL 26 128,683 QUEEN CITY TRANSPORTATION LTD 86,462 RE DEV RA HOLDINGS LTD 71,579 REGIONAL DISTRICT OF KOOTENAY BOUNDARY 368,228 REVENUE SERVICES OF BC 231,251 RICOH CANADA INC 44,002 SELKIRK COLLEGE FACULTY ASSOCIATION 189,052 SELKIRK COLLEGE STUDENTS' UNION 619,774 SFU-BC ELECTRONIC LIBRARY 68,110 SIRSI DYNIX 25,129 SOURCE OFFICE FURNITURE & SYSTEMS LTD 64,446 STANTEC ARCHITECTURE INC 392,339 STAPLES ADVANTAGE 120,423 STARGARDEN CORPORATION 59,710 SYSCO/HRI SUPPLY 132,572 TA INSTRUMENTS - WATERS LLC 60,095 TELUS COMMUNICATIONS (BC) INC 94,566 TELUS MOBILITY CELLULAR 56,447 TWIN RIVERS CONTROLS LTD 138,835 UK ENTERPRISE CONSULTANTS LTD 50,905 UNIT4 BUSINESS SOFTWARE 921,285 VVSS CONSULTING LTD 50,802 VAN HOUTTE COFFEE INC 35,570 VARSTEEL 27,498 VERTIV CANADA 40,820 VORTEX RESTAURANT EQUIPMENT 25,162 WARD ENGINEERING & LAND SURVEYING LTD 41,227 WASTE MANAGEMENT 65,360 WASTE WISE PRODUCTS INC 42,049 WESCO DISTRIBUTION CANADA LP 260,453 WHITE PAPER CO 35,346 WOOD WYANT INC 106,165 WORKSAFE BC 125,625 WSA ENGINEERING 42,042 XEROX CANADA 80,812 YELLOWRIDGE CONSTRUCTION LTD 6,980,456 ZAK'S BODY SHOP LIMITED 81,282

TOTAL DETAILED VENDORS > $25,000 $ 26,984,235

TOTAL VENDORS < $25,000 4,097,794

CONSOLIDATED TOTAL OF GRANTS > $25,000 -

CONSOLIDATED TOTAL OF CONTRIBUTIONS > $25,000 -

TOTAL PAYMENTS FOR GOODS AND SERVICES$ 31,082,029