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Public Accounts

of

British Columbia

For the fiscal year ended March 31 1978

Printed by K. M. MacDonald, Printer to the Queen’s Most Excellent Majesty in right of the Province of British Columbia.

1979

Printed by Authority of the Legislative Assembly

■R$ny library

JTY OF ALBERTA

* ”T

» . r

The Honourable Henry P. Bell-Irving, D.S.O., O.B.E., E.D.,

Lieutenant-Governor of the Province of British Columbia.

May it please Your Honour:

The undersigned has the honour to present the Public Accounts of the Province of British Columbia for the fiscal year ended March 31, 1978.

For the first time the accounts of the Government have been examined by the Auditor General, who is required to report annually to the Legislative Assembly on the financial statements of the Government. Accordingly, the first annual report of the Auditor General on the financial statements for the fiscal year ended March 31, 1978 is included in these Public Accounts.

EVAN M. WOLFE

Minister of Finance

Ministry of Finance,

Victoria, B.C.

January 31, 1979

The Honourable Evan M. Wolfe Minister of Finance

Victoria, B.C., January 31, 1979

Sir: I have the honour to submit herewith the Public Accounts of the Province of British Columbia for the fiscal year ended March 31, 1978.

The preliminary financial statements of the Government previously published contained certain minor errors and omissions which have now been corrected; neither the surplus accounts nor the results for the year are affected. Note 4 to the financial statements concerning superannuation and pension plans has been completely rewritten.

Respectfully submitted,

LIONEL G. BONNELL, C.A.

Comptroller-General

PUBLIC ACCOUNTS 1977/78

PROVINCE OF BRITISH COLUMBIA

ORDER OF PUBLIC ACCOUNTS

Section

Main financial statements of the Province A

Schedules to statement of assets and liabilities B

Schedules to General Fund revenue and expenditure C

Details of budgetary expenditure by departmental appropriations (Votes), and details of Special Purpose Fund (transactions) D

Details of payments E

Financial statements of Crown corporations and other Government agencies F

Securities deposited with the Government pursuant to various Acts G

Index to details of revenue and expenditure H

(Tables of contents are provided at the beginning of each section.)

PUBLIC ACCOUNTS 1977/78

SECTION A

MAIN FINANCIAL STATEMENTS OF THE PROVINCE

CONTENTS

Page

Statement of assets and liabilities as at March 31, 1978 A 2

Notes to financial statements A 4

Report of the Auditor General A 7

Summary of transactions for the fiscal year ended March 31, 1978 (General

Fund and Special Purpose Funds) A 9

Summary of General Fund revenues for the fiscal year ended March 31,

1978 A 10

Summary of General Fund expenditures for the fiscal year ended March 3 1 ,

Statement of source and application of funds for the fiscal year ended March

31, 1978 A 12

Statement of consolidated revenue by major sources for the fiscal years

ended March 31, 1973 through 1978 A 13

Statement of consolidated expenditure by major functions for the fiscal years

ended March 31, 1973 through 1978 A 14

(Where appropriate, comparative figures for the preceding year are given.)

PROVINCE OF BRITISH COLUMBIA

A 2

ASSETS

General Fund

Cash

Temporary investments

Accounts receivable from other govern- ments and agencies

Working capital advances

STATEMENT OF ASSETS AND

(with comparative figures Net increase

Taxes and other accounts receivable

Loans and other advances (note 2)

Investment in, and advances to, Crown cor- porations (notes 3 and 6)

Investments, other

Fixed assets

Special Purpose Funds

Cash

Investments

Other assets

Superannuation Funds

Cash

Investments

Trust Funds

Cash and investments

Notes:

1978

1977

or (decrease) during 1977/78

$

$

$

2,134,949

17,660,827

(15,525,878)

467,333,172

273,349,807

193,983,365

23,631,007

50,919,790

(27,288,783)

8,909,831

9,416,158

(506,327)

502,008,959

351,346,582

150,662,377

71,371,084

50,693,227

20,677,857

53,539,815

49,202,658

4,337,157

386,841,069

275,275,747

111,565,322

151,718,489

26,067,805

125,650,684

2,077,930,237

2,122,863,916

(44,933,679)

3,243,409,653

2,875,449,935

367,959,718

20,209

305,193

(284,984)

237,612,176

157,569,246

80,042,930

399,196,778

414,925,420

(15,728,642)

636,829,163

572,799,859

64,029,304

10,621

20,830

(10,209)

573,867,624

479,303,442

94,564,182

573,878,245

479,324,272

94,553,973

739,451,785

622,051,305

117,400,480

5,193,568,846

4,549,625,371

643,943,475

The notes on pages A 4 to A 6 are an integral part of this statement. Detailed schedules of the Asset and Liability accounts can be found in Section B.

PUBLIC ACCOUNTS 1977/78

LIABILITIES AS AT MARCH 31, 1978

as at March 31, 1977)

LIABILITIES

General Fund

Outstanding cheques ....

Accounts payable

Other current liabilities

A 3

Net increase

Unmatured debt

Deficit repayment

Other

Less sinking funds

Excess of assets over liabilities

Revenue surplus (note 8)

Deficit at March 31, 1976, funded

Capital surplus

Special Purpose Funds

Fixed capital funds

Capital accounts

Current accounts

Other funds

Miscellaneous statutory accounts

Superannuation Funds (note 4)

Public Service

Members of the Legislative Assembly

Trust Funds

Miscellaneous trust deposits

Guaranteed Debt

Debt of municipalities, other local govern ments, and Crown agencies, etc., guar- anteed by the Province (net) (note 6)

1978

$

92,417,903

147,030,787

45,941,561

1977

$

82,703,277

152,248,168

40,265,407

or (decrease) during 1977/78

$

9,714,626

(5,217,381)

5,676,154

285,390,251

275,216,852

10,173,399

261,447,790

261,447,790

422,150

(422,150)

(422,150)

422,150

261,447,790

261,447,790

216,618,708

(261,447,790)

76,129,730

(261,447,790)

140,488,978

(44,829,082)

2,741,400,694

(185,318,060)

2,524,103,353

140,488,978

217,297,341

2,696,571,612

2,338,785,293

357,786,319

3,243,409,653

2,875,449,935

367,959,718

90,000,000

8,016,805

534,280,208

4,532,150

90,000,000

7,024,861

472,149,176

3,625,822

991,944

62,131,032

906,328

636,829,163

572,799,859

64,029,304

572,276,598

1,601,647

478,012,366

1,311,906

94,264,232

289,741

573,878,245

479,324,272

94,553,973

. 739,451,785

622,051,305

117,400,480

5,193,568,846

4,549,625,371

643,943,475

i 6,288,180,152

5,484,270,450

Commitments (note 5)

LIONEL G. BONNELL, C.A.

Comptroller-General

PROVINCE OF BRITISH COLUMBIA

A 4

NOTES TO FINANCIAL STATEMENTS

1. Accounting

For purposes of the financial statements, funds or accounts held in trust and those set aside or earmarked for specific or special purposes are segregated from the general operating accounts of the government. Thus the accounts are presented in four separate fund divisions General, Special Purpose, Superannuation and Trust as shown in the Statement of Assets and Liabilities. The accounting policies and practices employed in the four divisions are summarized below:

A. General Fund

The accounts of the General Fund are maintained on a cash basis whereby revenues are taken into the accounts in the fiscal period in which they are received and expenditures are charged when the actual payments are made. The financial statements reflect this cash-basis accounting, but with the following major modifications:

(a) Moneys received in April of the next following year pertaining to cost-sharing programs with other governments (principally the Government of Canada), and for which the relative program expenditures have been charged to the current year, are included in revenues and shown as accounts receivable in the statement of assets and liabilities.

( b ) Accounts payable at March 31 for which cheques are issued during April of the next following year are included in current-year expenditures and are shown as accounts payable in the statement of assets and liabilities.

(c) Interest accrued on the unmatured deficit repayment debt at March 31 is included in budgetary expenditure and shown in other current liabilities in the statement of assets and liabilities.

General Fund revenues and expenditures are separated into two distinct categories:

(a) Budgetary transactions: All regular revenues and all ordinary expenditures of government. These are reported in the form of and are compared with the annual Estimates of Revenue and Expenditure as authorized by the Legislature.

( b ) Other, nonbudgetary transactions: Any extraordinary revenues of significant amount and all nonbudgetary expenditures and surplus appropriations, such as appropriations of moneys to and recoveries of balances from Special Purpose Funds, and capital investment in and advances to Crown corporations, boards, etc.

The overall net revenue or expenditure of the General Fund for a fiscal period increases or decreases the Revenue Surplus Account of the Province.

In addition to the operational or current assets and liabilities and the unmatured debt, the Province records certain assets for purposes of record only through credits to Capital Surplus Account. These are: Taxes and other accounts receivable which are not included in Revenue until received in cash, loans and other advances, investments in and advances to Crown corpo- rations, etc., and fixed assets.

B. Special Purpose Funds

The accounts of all Special Purpose Funds are maintained on a cash basis with the excep- tion of the Housing, Lottery and Provincial Home Acquisition Funds, wherein mortgage loans, accounts and advances receivable, and investments in real estate, as well as investments in and advances to housing corporations are not charged to expenditure accounts but are capitalized and shown as assets of the respective Funds.

C. Superannuation Funds and Trust Funds

The individual Funds in these categories are maintained on a cash basis.

2. Loans and Other Advances

Loans and other advances are carried as assets at book value (net of reserves in certain cases), as the amount of their ultimate realization cannot be determined at this date.

3. Investment in and Advances to Crown Corporations

The interest of the Province in its Crown corporations is shown in the financial statements only to the extent of the amounts actually invested in or advanced to them; thus accumulated earnings (or deficits) of these organizations are not reflected therein. Financial statements of Crown corporations and other Government agencies are presented in Section F of this publication.

PUBLIC ACCOUNTS 1977/78

A 5

4. Superannuation and Pension Plans

A. Public Service Superannuation Plan

This plan is financed by employee contributions, matching employer contributions, and additional employer contributions paid at the time each allowance is granted for any shortfall between the actuarial present value of the allowance and the accumulated employee and match- ing employer contributions.

Under the Public Service Superannuation Act, an actuarial valuation of the plan is required to be conducted at least once every five years. The most recent valuation was conducted as at March 31, 1977.

In that report the actuary indicated that, if the plan were financed on the entry age normal basis, a basis frequently employed by private pension plans, there would be an actuarial liability as at March 31, 1977, of about $154 million in respect of basic benefits. In the actuary’s opinion, aggregate statutory contributions, as described above, will exceed entry age normal contributions and he has estimated that these contributions will be sufficient to fully amortize the $154 million actuarial liability over a period of approximately 20 years if all actuarial assumptions are realized.

Allowances in payment are automatically adjusted quarterly to reflect increases in the Consumer Price Index. Such pension supplements are financed on an approximate “pay-as- you-go” basis by contributions of one-half per cent of salary by both employees and employer. Actuarial liabilities associated with such increases are not funded under the statutory financing provisions, but there is provision for both employee and employer contributions to be increased to 1 per cent of salary when required to maintain the financing on a “pay-as-you-go” basis. There is no statutory provision for any additional contributions beyond this to finance these post-retirement supplements even though it is possible that in future such contributions would be required to maintain financing on the “pay-as-you-go” basis. The actuary reported that as at March 31, 1977, there was an actuarial liability of $37 million in respect of the pension supplements granted up to that date.

B. Teachers’ Pensions Plan

Under the Teachers’ Pensions Act the Province is responsible for the employer contribu- tions to the Teachers’ Pensions Fund administered by the Commissioner of Teachers’ Pensions; these contributions are included in the budgetary expenditures of the Ministry of Education. A report on the administration of the plan and fund is made annually to the Legislature.

This plan is financed by teacher contributions, matching Government contributions, and additional Government contributions made to ensure that at any time the assets in the fund are at least equal to the actuarial present value of all allowances which are in effect and the total amount of contributions, accumulated with interest, held in the fund on behalf of teachers in respect of whom no allowance has been granted.

Under the Teachers’ Pensions Act, an actuarial valuation of the plan is required to be conducted by an actuary at least once in each consecutive five-year period. The most recent valuation was conducted as at December 31, 1974. In that report the actuary recommended that the statutory basis of contributions be strengthened so that contributions, in future, would be sufficient to fully finance benefits for all new entrants to the plan and to hold the actuarial liability constant as a percentage of future teacher payroll. On this basis, he advised that the actuarial liability was $468 million for basic benefits. An actuarial valuation is presently being conducted as at December 31, 1977, and the actuary expects to submit his report by February 28, 1979. Preliminary indications are that the actuarial liability at December 31, 1977, will increase to about $550 million from the $468 million at December 31, 1974.

Discussions are continuing between Government and teachers as to the manner in which the recommended increase in contribution rates should be achieved and no change has yet been made. Any such change would require amendment of the Act.

Allowances in payment are automatically adjusted quarterly to reflect increases in the Consumer Price Index. Such pension supplements are financed on an approximate “pay-as- you-go” basis by contributions of 1 per cent of salary by both teachers and Government. Actuarial liabilities associated with such increases are not funded under the statutory financing provisions. There is no statutory provision for any additional contributions to finance these post-retirement supplements even though it is possible that in future such contributions would be required to maintain financing on the “pay-as-you-go” basis.

5. Commitments

No provision is made in the accounts for commitments under construction or other con- tracts in force at the year-end. Such future expenditures are charged to appropriations in the years in which the work or service is performed.

PROVINCE OF BRITISH COLUMBIA

A 6

6. British Columbia Railway Company

The Province holds the entire issued share capital of the Railway and, pursuant to the British Columbia Railway Company Construction Loan Act, the Province guarantees the pay- ment of the principal and interest of all moneys borrowed by the Railway. The investment and guarantee are shown in the financial statements under

{a) Investment in and advances to Crown corporations:

The investment is carried at the historical cost of the shares, $185,572,900. {See note 3 above.)

( b ) Guaranteed debt:

The outstanding debt of the Railway at March 31, 1978, net of sinking funds held, aggregated $652,760,711.

The financial statements of the Railway at December 30, 1977 (reproduced in Section F of this report) show that the net overall shareholder’s position is a deficit of $9,090,706 after recording a net loss for the year then ended of $58,291,395. The Railway in a submission to the Royal Commission {see below) stated that “Substantial debt relief is required. B.C. Rail- way cannot in the foreseeable future expect to earn sufficient moneys to service let alone repay this debt.” The annual interest and debt repayment charges will average approximately $69 million over the next five years.

By Order in Council dated February 7, 1977, a Royal Commission was appointed “to make inquiry into and concerning all aspects of the management and development of the British Columbia Railway and the participation of the Crown therein as shareholder,” including a particular inquiry into “the foreseeable financial requirements of the Railway for all purposes.” The final report of the Commission was submitted to the Government on August 28, 1978, and is currently under review. An addendum dealing with specific statutory revisions to give effect to its recommendations has not yet been received.

7. Anti-inflation Legislation

The Province is subject to controls on compensation instituted by the Government of Canada pursuant to an agreement entered into under the Anti-Inflation Measures Act (1976, chap. 1), effective June 21, 1976.

8. Revenue Surplus Appropriation

Pursuant to the Revenue Surplus of 1976-77 Appropriation Act, 1978, $76,129,730 of the Revenue Surplus Account has been appropriated for specific purposes.

PUBLIC ACCOUNTS 1977/78

A 7

AUDITOR GENERAL S REPORT

To the Legislative Assembly

of the Province of British Columbia Parliament Buildings Victoria, British Columbia

I have examined the financial statements of the Government of the Province of British Columbia for the year ended March 31, 1978, as presented in the Public Accounts, and the related schedules contained in Sections B and C of the Public Accounts. These statements are:

Statement of Assets and Liabilities as at March 31, 1978.

Notes to Financial Statements.

Summary of Transactions for the Fiscal Year ended March 31, 1978.

Summary of General Fund Revenues for the Fiscal Year ended March 31, 1978.

Summary of General Fund Expenditures for the Fiscal Year ended March 31, 1978.

Statement of Source and Application of Funds for the Fiscal Year ended March 31, 1978.

These statements and schedules in my opinion constitute the statements of financial position, the results of operations and changes in financial position re- ferred to in section 7 of the Auditor General Act, S.B.C. 1976, chapter 3.

I did not examine and do not express an opinion on:

Statement of Consolidated Revenue by Major Sources for the fiscal years ended March 31, 1973, through 1978.

Statement of Consolidated Expenditure by Major Functions for the fiscal years ended March 31, 1973, through 1978.

The information contained in these statements is supplementary in nature and not an integral part of the financial statements on which I am required to report.

Except as explained in the following paragraph, my examination was made in accordance with generally accepted auditing standards, and accordingly in- cluded such tests and other procedures as I considered necessary in the circum- stances. I have received all the information and explanations I have required for the purpose of my examination.

My office commenced operations in January 1978, and staff resources and time available for this initial examination were limited. It was not feasible to satisfy myself as to the asset and liability position at the beginning of the 1978 fiscal year and, in addition, an independent audit was not performed for the preceding fiscal year. As a result of these conditions, the extent of my tests and procedures was insufficient to provide the level of assurance necessary for an unqualified opinion on the financial statements and on the consistency of the accounting bases followed as between the fiscal years 1977 and 1978.

I have relied upon information furnished by the Consulting Actuary for the Public Service Superannuation Fund and the Teachers’ Pensions Fund as to the accuracy of Note 4 to the financial statements as presented in the Public Accounts.

A 8 PROVINCE OF BRITISH COLUMBIA

I report in accordance with section 7 of the Auditor General Act. In my opinion, except for the effect of any adjustments which might have been indicated by a more extensive audit examination, these financial statements present fairly the financial position of the Government of the Province of British Columbia as at March 31, 1978, and the results of operations and changes in financial position for the year then ended in accordance with the stated accounting policies as set out in Notes 1, 2, 3, and 5 to the financial statements. For the reasons stated, I do not express an opinion with respect to the consistency of the accounting bases followed as between the fiscal years 1977 and 1978, nor on the 1977 comparative figures presented in the financial statements.

It is emphasized that my opinion above is limited under section 7 of the Act to an opinion on presentation of the financial statements in accordance with the stated accounting policies of the Government. Under section 8 of the Act I report separately to the Legislative Assembly on other matters. That report, dated January 31, 1979, contains a number of comments in regard to accounting policies and disclosure. The most important of these comments relates to the treatment in the Government’s financial statements of debt of other parties guaranteed by the Province when the debtor appears unable to meet his obligations. This is of particular importance this year in relation to debt of British Columbia Railway Company guaranteed by the Province.

Erma Morrison, C.A.

Auditor General

Victoria, B.C.

January 31, 1979.

PUBLIC ACCOUNTS 1977/78

A 9

SUMMARY OF TRANSACTIONS FOR THE FISCAL YEAR ENDED MARCH 31, 1978

GENERAL FUND

Revenue $ $

Budgetary revenue 4,055,491,833

Nonbudgetary revenue 84,251,098

Expenditure

Budgetary expenditure

Nonbudgetary expenditure

4,139,742,931

3,895,464,582

103,789,371

3,999,253,953

Net Revenue for the year 140,488,978

Revenue Surplus Account1

Balance at beginning of year 76,129,730

Balance at end of year 216,618,708

Revenue and Credits

SPECIAL PURPOSE FUNDS

Transfers from General Fund

Budgetary expenditure

Ministry of Agriculture (Vote 97)

Ministry of Municipal Affairs and Housing (Vote 199) Nonbudgetary expenditure

28,381,594

16,000,000

6,665,099

51,046,693

Interest on investments and loans 37,726,944

Other receipts 50,088,191

Expenditure

Grants

Fixed-capital (perpetual) funds

Other funds

Miscellaneous statutory accounts

138,861,828

7,148,611

4,342,302

15,134

11,506,047

Expenditures

Fixed-capital (perpetual) funds 111,341

Other funds 59,558,623

Miscellaneous statutory accounts 3,656,513

74,832,524

Net Increase in funds 64,029,304

Balance of funds at beginning of year 572,799,859

Balance at end of year (page B 11) 636,829,163

i Not including deficit at March 31, 1976. $261,447,790 funded pursuant to the British Columbia Deficit Repayment Act, 1975-76.

A 10

PROVINCE OF BRITISH COLUMBIA

SUMMARY OF GENERAL FUND REVENUES FOR THE FISCAL YEAR ENDED MARCH 31, 1978

(With comparative figures for the preceding fiscal year.)

Estimated,

1978 1978 1977

$ Budgetary Revenue $ $

20.400.000 Property taxes 21,562,622 21,738,190

980.500.000 Social services, fuel taxes, etc. ... . 987,175,258 889,194,512

1,443,500,000 Corporation, personal, succession, and gift taxes 1,287,193,360 1,124,181,413

451.390.000 Privileges, licences, and natural resources taxes

and royalties 712,949,614 500,339,740

55.800.000 Sales and service fees 57,310,264 45,908,951

8,500,000 Fines and penalties 10,377,029 9,295,256

12.000. 000 Interest, discount, premium, and exchange 34,896,363 16,494,886

627.810.000 Contributions from other governments 707,418,676 671,730,802

203,000,000 Contributions from Government enterprises 195,677,062 211,054,141

27.000. 000 Miscellaneous 40,931,585 39,965,588

3,829,900,000 Total budgetary revenue .... 4,055,491,833 3,529,903,479

Nonbudgetary Revenue

Government of Canada contribution to assist in

the construction of Dease Lake rail line 79,852,785

Interest earned on above 1,315,295

Recovery of advance to B.C. Harbours Board .... 2,000,000

Proceeds on windup of Consolidated Sinking

Fund 1,083,018

Sale of ferry vessels 48,442,000

Recovery of special purpose fund balances 29,760,388

Recovery of an advance to a special purpose fund 10,800,000

Total nonbudgetary revenue 84,251,098 89,002,388

Combined General Fund Revenues 4,139,742,931 3,618,905,867

Details of revenue are shown on pages C 2 and C 3.

PUBLIC ACCOUNTS 1977/78

A 11

SUMMARY OF GENERAL FUND EXPENDITURES FOR THE FISCAL YEAR ENDED MARCH 31, 1978

(With comparative figures for the preceding fiscal year.)

Estimated,

1978 1978 19771

$ Budgetary Expenditure $ $

3,580,426 Legislation 5,280,369 3,345,188

Auditor General 344,966

119,810,768 Ministry of Finance 134,297,718 127,727,355

713,648 Executive Council 691,125 553,458

107,689,915 Ministry of the Provincial Secretary and Travel

Industry 114,832,084 88,352,267

147,108,802 Ministry of the Attorney-General 152,669,696 118,510,162

7,086,857 Ministry of Economic Development 10,220,302 4,537,262

45,543,610 Ministry of the Environment 45,520,646 38,987,412

64,569,333 Ministry of Agriculture 55,671,527 54,875,367

64,294,319 Ministry of Energy, Transport and Communi- cations 80,456,445 103,400,069

8,560,926 Ministry of Mines and Petroleum Resources .... 7,974,777 7,148,147

104,025,393 Ministry of Forests 100,849,814 87,866,010

336,012,897 Ministry of Highways and Public Works 431,021,965 378,160,016

947,709,405 Ministry of Education 940,584,501 854,546,043

981,237,356 Ministry of Health 954,710,057 857,980,426

569,826,615 Ministry of Human Resources 545,140,791 481,011,458

223,017,301 Ministry of Municipal Affairs and Housing 215,567,548 219,038,162

35,540,134 Ministry of Labour 39,613,181 18,096,869

8,633,118 Ministry of Consumer and Corporate Affairs ..... 8,630,049 6,261,259

54,939,177 Ministry of Recreation and Conservation 51,387,021 41,032,809

3,829,900,000 Total budgetary expenditure 3,895,464,582 3,491,429,739

Nonbudgetary Expenditure Charged to Current Revenue

Special purpose funds

Appropriation to funds 1,665,099 6,000,000

Advances to a fund 5,000,000 5,000,000

6,665,099 11,000,000

Crown corporations

Advances 2,000,000

Investments 7,631,250 312,505

Grants 85,668,080 32,600,000

95,299,330 32,912,505

Other

Book adjustment to capital surplus account 2,873,008

Elimination of publication services working

capital account 4,560,885

Transfer of investment in Canadian Cellu- lose Company Ltd. shares to British Co- lumbia Resources Investment Corporation in exchange for noncash asset (promissory

note) 1,824,942

1,824,942 7,433,893

Total nonbudgetary expenditure 103,789,371 51,346,398

Combined General Fund Expenditures 3,999,253,953 3,542,776,137

Details of expenditures are shown on pages C 4 to C 12.

1 The 1977 figures have been restated to reflect reorganizational changes between ministries made in the fiscal year 1976/77, pursuant to the Constitution Act.

A 12

PROVINCE OF BRITISH COLUMBIA

STATEMENT OF SOURCE AND APPLICATION OF FUNDS FOR THE FISCAL YEAR ENDED MARCH 31, 1978

Source

Budgetary revenue

Nonbudgetary revenue .....

Application

Budgetary expenditure Nonbudgetary expenditure

GENERAL FUND

$ $ 4,055,491,833 84,251,098

4,139,742,931

3,895,464,582

103,789,371

3,999,253,953

Net Funds Received accounted for by the increase in current position during the

year 140,488,978

$

Increase in current assets (page A 2) 150,662,377

Less increase in current liabilities (page

A 3) 10,173,399

140,488,978

Source

SPECIAL PURPOSE FUNDS

Transfers from General Fund

Interest and other receipts

Decrease in other assets (net)

51,046,693

87,815,135

15,728,642

154,590,470

Application

Grants and other expenditures 74,832,524

Increase in investments 80,042,930

154,875,454

(284,984)

Net Cash Applied accounted for by the decrease in cash position during the year (page A 2) s

PUBLIC ACCOUNTS 1977/78

A 13

STATEMENT OF CONSOLIDATED REVENUE BY MAJOR SOURCES FOR THE FISCAL YEARS ENDED MARCH 31, 1973 THROUGH 1978

1973

1974

1975

1976

1977

1978

Taxes

$

$

$

$

$

$

Individual income

316,388,858

410,598,661

521,816,612

674,166,400

810,577,894

985,990,685

Corporation income

89.508,677

128,532,258

250,497,077

206,635,400

236,893,932

245,699,084

Corporation capital ... .

8,676,056

16,678,306

21,364,834

37,628,253

41,462,917

Property

Sales

17,875,326

18,505,325

21,024,822

20,628,748

23,498,823

23,314,586

Pari mutuel betting tax:

2,692,196

3,957,876

4,557,706

5,856,180

7,042,894

8.002,981

Social services (net)... ..

274,984.588

340,043,688

399,163,662

443,685,045

663,026,914

748,383,192

Motor-fuel and fuel-oil .

119,749,418

133,662,302

149,232,721

173,356,286

179,718,740

189,281,840

Cigarette and tobacco tax

19,387,777

20,482,007

20,903,500

21,191,787

32,042,971

33,255,747

Hotel and motel room tax .. _

4,275,086

5,267,573

6,447,918

6,831,710

7,362,993

8,251,499

Succession duties ... ...

25,088,578

24,712,133

24,904,803

28,364,644

39,081,334

14,050,675

Insurance premiums

8,523,286

9,139,743

7,395,949

8,595,187

10,937,059

12,356,562

Privileges, Licences, and Permits

878,473,790

1,103,577,622

1,422,623,076

1,610,676,221

2,047,811,807

2,310,039,768

Liquor control and regulation

1,334,241

1,520,454

1,943,551

2,829,191

3,453,430

7,135,465

Motor-vehicle licences and permits

Natural resources

45,351,342

49,793,685

54,254,745

42,992,275

58,945,136

57,791,570

Fish and game

2,955,580

3,299,679

5,560,242

5,216,516

5,250,154

5,541,912

Lands and forests .. .. __

Petroleum and natural gas

British Columbia Petroleum Corpo-

157,318,723

287,186,131

189,012,472

74,800,877

85,856,837

145,597,552

poration

26,000,000

198,950,000

149,500,000

170,800,000

Permits and fees ._

31,052,223

25,684,630

30,786,021

39,657,825

60,267,792

213,148,413

Other, including royalties

15,640,547

23,443,969

55,223,217

45,967,379

45,349,230

42,743,179

Other minerals

6,511,867

13,576,062

51,774,873

43,575,787

60,693,516

35,373,216

Water resources ;

5,815,080

6,408,403

6,177,201

11,317,612

12,780,450

14,716,393

Other :

7,638,264

7,784,637

8,030,076

9,139,569

10,067,612

11,903,730

Sales and Services

273,617,867

418,697,650

428,762,398

474,447,031

492,164,167

704,751,430

Farm income assurance

530,540

9,704,578

13,035,535

22,428,405

Land Registry

9,708,786

13,870,834

12,554,427

15,814,044

17,407,618

19,269,289

Institutional maintenance

8,554,672

7,032,642

5,877,026

6,000,138

7,523,223

15,082,041

Lottery

.

1,508,991

1,897,468

6,160,882

14,757,432

Other

24,097,475

31,534,536

49,216,787

43,964,487

54,157,657

64,407,728

British Columbia Ferries

32,066,560

37,111,263

42,974,824

47,744,321

48,457,2041

. .

74,427,493

89,549,275

112,662,595

125,125,038

146,742,119

135,944,895

Fines and Penalties r._

Interest, Discount, Premium, and Ex-

2,443,181

2,929,211

7,154,146

8,450,821

9,295,256

10,377,029

change .._

Contributions From Other Governments

Federal Government

34,370,193

43,263,049

83,330,977

59,547,061

48,835,709

75,021 ,618

Established programs financing2

188,441,678

210,801,114

269,594,223

333,850,532

394,567,651

383,185,645

Canada assistance plan

66,921,231

82,401,344

138,426,657

183,096,091

182,790,189

198,562,599

Statutory and other subsidies

5,895,127

6,324,236

8,965,576

4,396,871

4,306,740

2,594,468

Other shared costs, and grants in aid ...

45,602,136

37,005,903

61,160,367

48,825,399

57,643,019

170,169,824

Other governments, shared costs

20,734,024

25,975,211

23,287,856

27,708,721

32,423.203

32.758,925

Contributions From Government Enter- prises

327,594,196

362,507,808

501 ,434,679

597,877,614

671,730,802

787,271 ,461

Net profit, Liquor Distribution Branch

Dividends, British Columbia Develop-

95,962,701

107,101,526

118,356,848

146,855,390

159,143,507

173,541,597

ment Corporation

Debt repayment and dividend, British

' '

200,000

Columbia Buildings Corporation

15,000,000

95,962,701

107,101,526

118,356,848

147,055,390

159,143,507

188,541,597

Miscellaneous

Nonrevenue Receipts

2,311,273

2,426,508

3,104,703

5,333,128

21 ,544,433

8,053,490

Refund of previous year’s expenditure

2,212,637

2,525,189

2,646,638

2,488,322

52,417,485

4,622,949

Repayment of advances

60,283

69,071

84,336

57,285

4,587,715

2,933,829

2,272,920

2,594,260

2,730,974

2,545,607

57,005,200

7,656,778

Total gross revenue

1,691,473,614

2,132,646,909

2,680,160,396

3,031,057,909

3,654,272,990

4,227,558,066

Reconciliation With Summaries of Revenue

(page A 9)

General Fund

1,667,217,819

2,108,879,721

2,625,723,749

2,972,721,575

3,618,905,867

4,139,742,931

Less transfers from special purpose funds

(40,560,388)

Special purpose funds

109,255,795

188,817,188

183,853,864

179,313,210

175,031,295

138,861,828

Less transfers from General Fund

(85,000,000)

(165,050,000)

(129,417,217)

(120,976,876)

(99.103,784)

(51,046,693)

1,691,473,614

2,132,646,909

2,680,160,396

3,031,057,909

3,654,272,990

4,227,658,066

1 Covers the period from April 1 to December 31, 1976, after which revenues are reported by the British Columbia Ferry Corporation.

2 For the years prior to fiscal 1978, the amounts shown are the revenues received from the Federal Government for Medicare, hospital insurance, and post-secondary education under shared-cost arrangements which were replaced by the Established Program Financing arrangements for fiscal 1978.

A 14

PROVINCE OF BRITISH COLUMBIA

STATEMENT OF CONSOLIDATED EXPENDITURE BY MAJOR FUNCTIONS FOR THE FISCAL YEARS ENDED MARCH 31, 1973 THROUGH 1978

General Government

Administrative

General

Employees’ benefits .

Construction and maintenance of pub- lic buildings.

Legislative

Elections

Legislative Assembly and Government House

Protection of Persons and Property

Law enforcement.

Corrections

Police protection

Registration, regulation, inspection, trus- teeship

Transportation and Communications

Highways, roads, and bridges

Waterways, ferries, docks, and wharves.—

British Columbia Ferries

Provincial Transit Services

Health and Social Services

Health-

Administration I

Public health

Medical, dental, and allied services ... Hospital care

Administration

Payments to local hospitals

Provincial mental hospitals.

Provincial tuberculosis hospitals

Social Services

Administration

Aid to aged persons

Aid to blind persons

Social assistance

Child welfare

Labour relations, industrial concilia- tion and arbitration

Recreational and Cultural Services

Archives, art galleries, museum, and li- braries

Parks, beaches, and other recreational

areas

Physical culture

Bi-centennial celebrations

Other

Education

Administration

Schools operated by local authorities

Operating grants

Home-owner grants (school-levy por- tion)

Aids and services

Universities, colleges, vocational and

other schools

Education of the handicapped

Teachers’ pensions and unemployment insurance

1973

1974

1975

1976

1977

1978

$

$

$

$

$

$

16,948,693

21,189,823

44,456,205

45,547,104

52,627,559

65,230,589

21,628,805

25,422,791

35,739,154

50,557,144

70,457,989

79,244,460

19,212,219

32,736,119

41,211,668

53,792,033

31,686,3031

7,093,202

3,136,000

473,253

1,079,380

4,379,629

1,075,665

651,959

2,075,041

2,338,107

4,020,233

4,006,212

4,103,574

7,139,056

63,000,768

82,160,093

126,506,640

158,282,122

159,951,090

159,359,266

11,630,899

15,873,706

43,831,010

54,674,999

55,854,146

63,271,352

19,660,299

21,896,527

31,100,379

35,268,451

41,904,792

54,220,014

10,545,824

13,227,035

16,543,558

21,696,360

23,650,152

28,946,764

13,414,346

18,428,929

30,017,716

41,683,566

45,378,574

55,373,309

65,251,368

69,426,197

121,492,663

153,323,376

166,787,664

201 ,811,439

182,445,785

168,339,750

210,336,636

223,269,601

274,387,012

399,866,001

4,262,137

2,010,462

4,588,656

8,203,541

15,742,399

18,599,713

43,738,294

63,299,798

116,081,929

117,449,246

78,497,1382

48,378,500

20,843,088

19,859,978

30,565,266

6,653,670

230,446,216

233,650,010

351,850,309

368,782,366

399,191,815

473,497,884

4,003,326

5,531,765

5,460,709

6,408,130

6,770,462

10,362,580

16,507,931