June 15, 2009 - District of Mission

Municipal Forest — 50 th Year Anniversary
Notes to the Consolidated Financial Statements
for the year ended December 31, 2008
Financial Statements
127
6. Provision for Retirement
District employees are eligible for retirement benefits, provided they retire in accordance with
the provisions of the Pension (Municipal) Act. The amount of retirement benefit is determined
by the number of full-time years of service the employee has accumulated upon retirement from
the District. The significant actuarial assumptions adopted in measuring the District's accrued
Provision for Retirement are as follows:
2008 2007
Discount Rates 4.5% 4 .5%
Expected Wage and Salary Increases 2.5% 2.5%
7. Tangible Capital Assets
Tangible Capital Assets, at cost
2008 2007
Buildings $ 36,870,418 $36,181,359
Engineering Structures 68,072,965 65,525,006
Land 7,025,824 6,950,824
Machinery and Equipment 19,006,375 18,411,478
Sewer Utility Capital (Non-regional) 17,054,311 16,983,595
Water Utility Capital (Non-regional) 16,297,353 16,216,920
Sewer Utility Capital (Regional) 11,722,435 10,082,437
Water Utility Capital (Regional) 18,295,640 17 213 034
Total $194,345,321 $187,564,653
The PSAB has issued a major new accounting standard, which comes into effect on January 1,
2009. This standard requires that the District create and maintain a detailed listing of all of its
Tangible Capital Assets (on a historical cost basis) and amortize the cost of these assets over
their respective useful lives. A considerable amount of work will be required to comply with this
standard and to meet the deadline. To date, the District has:
• completed necessary background research;
• drafted a capital asset management policy;
• formed an inter-departmental committee to oversee the implementation;
• drafted a list of asset categories, expected useful lives and capitalization
thresholds; and
• started drafting inventory collection procedures.
2008 Annual Report - District of Mission
I- 361