You are a senior member of the financial reporting team reporting to the Commissioner of Finance of the Town of Greenville. The following is a list of units and their relationship with the town council.
Unit - Relationship with Town Council
1. Roads department
Department head prepares an annual budget for approval by council and manages the department in accordance with town policies.
2. Blood donor clinic
Residents come to the public health office to donate blood. The clinic is operated and funded by a federal agency.
3. Public library
Library CEO is appointed by council. The annual budget is approved by council. Although the library is operated in accordance with town policies, aspects of its operations are subject to provincial legislation.
4. Electric utility
Distributes electricity to residents of Greenville and two neighboring municipalities. No municipal shareholder has a majority interest; Greenville holds 25% of the equity. The electric utility is self-sustaining. Town council appoints two of the seven board members.
5. Bike sharing program
Town has a contract with a private operator who leases space behind the arena and at kiosk locations throughout town. Private operator hires own staff.
6. Seniors' home
Operated in accordance with provincially set standards for long-term care facilities. A day rate set by the province is received for each resident in care. One board member is appointed by the province, one is a resident, one is appointed by town council, and two others are community members.
The town is responsible for any operating deficit.
7. Blue box curbside recycling
Operates in the town and two neighboring municipalities. Each municipality program appoints one member of the board, funding operations in accordance with a service agreement. Each municipality shares the operating surplus or deficit based on the volume of recycling materials collected within its boundary.
8. Water commission
Board members are elected by residents. Council approves the commission's mandate and its annual budget. The utility pays an annual dividend to the town and has not received operating or capital grants from the town since it was established.
9. Transit commission
Commission is composed of two town councilors, two citizens appointed by council, and a union representative. Operating budget and fares are approved by council. The CEO is appointed by council.
10. Transit for disabled residents
A private operator provides vehicles and staff, collecting fares and operating in accordance with a service agreement that requires the transit commission to fund the operating deficit.
Provide advice to the Commissioner of Finance, who has asked you, for each of the units above, to:
-Indicate whether the unit is controlled by the town, subject to joint control, or not controlled; and
-In the case of units that are controlled or jointly controlled, indicate how the unit would be accounted for in the town's consolidated financial statements.