HomeMy WebLinkAboutCity Council Meeting - Council Workshop - Minutes - 10/13/2012 Kent City Council Workshop
KENT October 13, 2012
Council members Present: Albertson, Boyce, Higgins, Perry, Ralph, Ranniger and
Thomas
The special meeting was called to order at 9:00 a.m. by Council President Higgins
Business & Occultation Tax. Research and Development. It was noted that the
Boeing Company has communicated concern about federally contracted research and
development issues. The City Attorney provided copies of suggested amendments to
the ordinances which would address those concerns, and Council and staff discussed
the issue. It was clarified that changes to the ordinance could be made later, allowing
time to research impacts.
Square Footage Tax. Higgins confirmed that it has been determined that a square
footage tax will be included in the ordinance.
Target Revenue Amount. Higgins noted that a decision on a target revenue amount
must be made and proposed setting it for $5,000,000 minus $300,000 for the
auditors, for a total of $4.7 million for streets from the B & O tax. After several
Council members had voiced their opinions, Higgins tabled this issue until after
discussion of the span of control and debt.
Higgins noted that the Chamber has indicated they could agree with the Mayor's
relative levels of taxation as long as the revenue amount remains the same. He said
the Mayor's proposal would have to be dialed back relatively, but the percentages
from category to category would remain the same.
Level of Exemption. Discussion was tabled until the target revenue amount is set.
Sunset Clause. Higgins proposed including a sunset clause in the ordinance, and
discussion both for and against followed, including concern about the city's bond
rating. Since there was no consensus, Higgins tabled discussion on this item.
Span of Control. CAO Hodgson distributed the Span of Control Findings and noted
that BERK & Associates can be available on October 30 to report on their progress and
their findings. Human Resources Director Lorraine Patterson then explained how the
city is organized, after which Hodgson explained the document and the summary of
findings. Each department director except the Police Chief, who was not in
attendance, then explained how and why their department is set up as it is. The
Parks Director and the Public Works Director then explained how they are cross-
purposed and work together.
Higgins asked Council members to compile any questions or concerns they have,
coordinate with committee chairs, and talk to department heads before the meeting
on October 23`d
1
Interfund Loans
Long Term Debt Obligations
Council Workshop
Saturday, October 13, 2012
Table of Contents
Cash Balances by Fund 3
Long Term Debt Obligations 4
Annual Debt Service Payments 7
Cumulative Revenue Decline in CIP Fund 10
Deficit Funds Summary it
`- Capital Improvement Fund 13
Other Capital Projects Fund 14
Golf Complex 16
City of Kent
.` Cash Balances by Fund
Cash as of
9/30/2012
General Fund & Annexation 1,478,531
Special Revenue Funds
Street Operating Fund 932,025
Public Safety Retiree Health 396,854
Lodging Tax Fund 63,774
Youth/Teen Fund 588,743
Capital Improvement Fund (9,370,664)
Criminal Justice Fund 1,062,920
ShoWare Operating Fund (2,719,685)
Other Operating Projects Fund 215,797
Debt Service Funds
Special Assessments Fund 2,417,963
Capital Project Funds
Street Capital Projects Fund 3,467,450
Parks Capital Projects Fund 536,441
Other Capital Projects Fund (9,356,275)
Technology Capital Projects Fund 373,842
Facilities Capital Projects Fund 1,190,015
Enterprise Funds
Water Fund 23,570,288
Sewer/Drainage Fund 13,441,735
Golf Complex Fund (1,973,259)
Internal Service Funds
Fleet Services Fund 1,921,363
Central Services Fund 85,152
Facilities Fund 1,558,810
Insurance Fund 12,180,145
42,061,965
10/12/2012 Page 3
CITY OF KENT
LONG TERM DEBT-DRAFT
'These numbers may not tie out to total bond issue as interest has been earned
on proceeds and cost of issuance may not be reflected.
Original
Issuance Maturity Interest Payment or Refunded
Date Date Rate Date Amount
GO BONDS&CONTRACTS
Limited Tax General Obligation Debt
G.0.2000 2000 2020 4.4/5.375 12/1
Total Issue 11,485,000 'New Portion
Facility Minor Renovations 95,539
City Hall Plumbing 250,000
Courtyard&Sidewalk Renov 161,500
Back Up Generators 580,000
Permit Center 1,196,419
Planning/Dev Services 296,297
Fire Prevention Move 242,815
Detectives/Probation Renov 135,554
Fire Apparatus 2000 1,140,000
Golf Complex Bldg Upgrades 26,957
IT Air Conditioning 103,907
Parks Nursery/Architect 2,901
Clark Lake Land 1,465,197 --�
Park Land Acquisition 118,667
Land Purchase-301 Smith St. 2,196,136
Corrections Improvements 49,612
Corrections Improvements 2003 369,119
PITA Access Improvements(R20041) 1,951,442
Kent Station(R90050) 1,015,280
G.0.2002 2002 2022 3.0/4.25 12/1
Total issue 13,685,000
Municipal Lot 174,261
Courtyard&Sidewalk Renovation 338,500
Employee Services Renovation 250,289
City Campus Seismic Improvements 471,296
Centennial Garage Seismic 478,413
Tech Plan 2 2012 2,000,000
Kent Station 2,991,147
Downtown Gateways 273,380
Town Square Park 624,795
Wilson Playfields 1,800,000
Kent Station(R90050) 1,530,500
Downtown ITS Improvements(R90051) 1,400,000
132nd Avenue Improvements(R90065) 950,000
224th-228th Corridor(R90093) 450,000
10/12/2012 Page 4
CITY OF KENT
OUTSTANDING LONG TERM DEBT
"These numbers may not tie out to total bond issue as interest has been earned
on proceeds and cost of issuance may not be reflected.
Original
Issuance Maturity Interest Payment or Refunded
Date Date Rate Date Amount
GO BONDS&CONTRACTS cont.
G.O;2003 2003 1.2/1
Total Issue 7,518,000
Series A-Kent St&Sat. Mkt 2018 5.45 1,878,000
Series B-Technology Plan 2013 3.55 3,526,000
Series C-Refund 1992 Bonds 2007 2.3 2,114,000
G,O.2004 2004 2021 2.OAJ25 12/1
Total Issue 23,280,OW
Parks- Refund 1996 LTGO Bonds 3,126,000
Streets-Refund 1996 LTGO Bonds 1,421,000
Centennial-Refund 1996 LTGO Bonds 11,958,000
Sewerage-Refund 1996 LTGO Bonds 6,775,000
G,0.2005 2005 2020 4.05 "' 12/1
Total issue 7,369,000
Sewerage- Refund 1993 Rev Bonds 2,437,000
Golf- Refund 1995 LTGO Bonds 1,555,000
General Purpose- Refund Part of 2000 Bonds(see 2000 Bonds for projects) 2,252,000
Sewerage- Refund 1996 Trust Fund Loan 1,125,000
G.O.2006 '2006 2024 4.0/4 5 1211
Total Issue 12,000,000
Events Center 394,528
Service Club Ballfields 3,500,000
East Hill"X"Park 100.000
Town Square Park 2,400,000
Land Acquisition 5,774,297
G.O.2008' .. % % ' 2008 12/1
,.. Twat issue 24,000,000
Series A-2008 Tech Plan 2025 5.176 2,867,293
Series A- Events Center 2025 5.176 5,207,806
Series A-Municipal Court 2025 5.176 7,260,327
Series A- East Hill Maint. 2025 5.176 5,260,410
Series A-Sidewalk Renov. 2025 5.176 2,104,164
Series B-Events Center 2011 4.113 1,300,000
G.O.2009 2009 2019` 3.0/4.0 12/1
Total Issue 8,410,000;,Refunded 1999 LTGOBonds
General Government 1,949,652
Police Corrections 1,698,847
Fire Station 75 1,033,361
Street Projects 3,071,465
Parks Projects 656,675
10/12/2012 Page 5
CITY OF KENT
OUTSTANDING LONG TERM DEBT
*These numbers may not tie out to total bond issue as interest has been earned
on proceeds and cost of issuance may not be reflected.
Original
Issuance Maturity Interest Payment or Refunded
Date Date Rate Date Amount
City Portion of Valley Comm Issue 2000 2015 4.3/5.75 12/1 2,551,600
City Portion of Valley Comm Issue 2010 2015 3.0/4.0 12/1 1,065,000
Energy Conservation Loan 2003 2013 3.8505 6/1&12/1 744,714
Energy Conservation Loan 2004 2014 4.03673 6/1&12/1 518,455
Trust Fund Loan-Streets 2004 2023 0.5 7/1 1,000,000
Trust Fund Loan-Streets 2005 2024 0.5 7/1 10,000,000
Trust Fund Loan-Streets 2008 2028 0.5 7/1 4,500,000
TOTAL G.O.BONDS&CONTRACTS 128,126,769
SPECIAL ASSESSMENT BOND/NOTES
LID 347/48 1998 2015 4.3/5.6 9/1 942,617
LID 340/49 1999 2016 4.1/5.9 8/1 13,221,661
LID 351 2000 2015 3.75/5.5 11/1 5,367,217
LID 350,352,354 2003 2013 3.75 3/1 1,363,439
LID 353 et al 2004 2019 2.5/4.65 12/15 11,758,557
LID 358 2006 468,892
TOTAL SPECIAL ASSESSMENT BONDS/NOTES 33,122,382
REVENUE BONDS&LOANS
Revenue Bonds,Series A 2009 2018 3.0/5.0 12/1 4,560,000
Revenue Bonds,Series B 2009 2029 5.06/6.12 12/1 7,940,000
Trust Fd Ln 1 -Tac Intertie 2001 0.5 6/1 10,000,000
Trust Fd Ln 2-Tac Intertie 2002 0.5 6/1 10,000,000
Tacoma Pipeline Contract 2002 2032 18,967,080
Tacoma Pipeline A&B Revenue Bonds 2010 2040 11,400,000
Total Water Bonds 62,867,080
Revenue Bonds,Series A 2009 2018 3.0/5.0 12/1 4,560,000
Revenue Bonds,Series B 2009 2029 5.06/6.12 12/1 7,940,000
Total Sewerage Bonds 12,500,000
TOTAL REVENUE BONDS AND LOANS 75,367,080
TOTAL OUTSTANDING LONG TERM DEBT 236,616,231
PUBLIC FACILITIES DISTRICT DEBT
Sales Tax Bonds 2008 2037 4.0/5.25 12/1 53,150,000
Revenue Bonds 2008 2020 3.16/5.75 12/1 10,130,000
Total Public Facilities District Bonds 63,280,000
10/12/2012 Page 6
N V n n ri N M Ln M N N M C) 00 .--1 N ri M O CY Cf c-1 00 O O C) LO N 00 r-I f, ri M
O ri 1, .-i l0 O ri st O O C! O Lf) M r-I O r-I M Ln .--1 Ln Lf) Ln 1l N 00 Ct 00 O O .-4 0) Ln O
"* 00 O 1, fI) n M LO O O C M ri O C) LD CY N O n (I Ln M Cf LO M 00 lld fM LO f+') Ln M 00
eii r-I N 00 LD Ln ri LD r-I �' N 00 C) O N M N Ln �--I N 00 a 1, r-I 1, O C) N n Lf) � h LO LO
O
r-I N -Zr LO M N (3) N O M LD O Ln ri 1" M tl. Ln Ln LO rn r-I M VT Ln 00 ri 00 a ZT CT r-I Lo 00
N C) N ri N In M Ln ri ri r-I r-I ri zt N Ct N r-I r-I Ln to lO ri 11 ri M r-I
N r r
M Ln M LO C) r-I 00 00 N O Lf) 0) Ln O ri M " 00 1, Ln O w N w O Cl N to 00 h (14 C) Ln 00
00 00 ri CY N N n r-I 1, 00 N C) tl CY 0) f1') LO C) M M 00 (O w LO O O LO fM CY) n w Lf) Lf) LO
LO
lD C) ri 00 O lD Ln 1� M Lf) Ln V N M M l0 LO Ct N Lf) O0 Ln O 00 M n 00 N M lO M O !n a
0 1l N 00 l0 In 0) CY l0 C) M O C4 C) O rl N Cf Lf) N N M Cf LO zl- M l0 01 LO f, n l0 M W L0
p Ct N CY LO M r-I D7 N t M O N Ln �--4 1� M 1, Ln Ln 00 1, r-I M Cr n 07 r-I Ln Ct V Ci ri LO 00
N O N ri N Ct M l0 r-I ri ri r-I c-1 � N C7 N r-I ri In Lf) 1" ri ri r-i M ri
ri N c ri
M O M O w n O 00 N ri O n CF r-I CO Ln N Lf) r-I n N C) n ri O O O 0) 00 LO Cf Cf 00 00
00 w N 00 Ct Ln 00 Ct CY LO 00 M 1l O 00 C{ 11 LO N Q1 O N r-I N O O Lf) r-I Ct fV Ol 00 Ln C)
Ln o c M Ln .-i M 'R r' Ln M � rl� C cF Ln I� Cl lll� 7 Ln o LO Ln o C) ri rn ri Ln Ln ri o rl In
OC) M 00 1l, Ln O V LO r-I CF r-I fl C) O M M w LI) M -4 M V LD N N n C) to n C) 00 N fl w
Lf) N Cf LO M N C) N O M r-I M Ln -i n M 1, Lf1 Lfl O O ri M CT C) r•1 ri N C! CY Ct ri l0 00
ry e-i N ri N Lf1 M 00 ri ri ri r-I ri Ct N al M r-I r•i Ln w cl ri ri rl M 11
(N r-I r-I
w C) C) w N O V) O O CF Lf) C) w LD n Lf) N ri Lf) O Ln O Ln n O O LI) N N W LD Lf) -zl' r-I
C{ O) 00 Ln M Ct ri Ln CY LO r-I a 00 Ln C) M l0 w M O �t f-, N 1, LD Ci l0 M n ri n Ln 00 f, m
a Ct 1� N O l0 n n fl ri 1� n O cq V LO cl ri O LD fl M l0 O O Ln V C) O Ln fV C) 00 Ct
ri ri M 00 1- Ln C) V LO Lf) n c-1 cI ri C) O M Ct 0) w Ct (3) N Ch lD N O Ln Cl ri n 00 LO N 1\ w
O 1� N Ct l0 M ri M N O M M W Ln Lf) r-I 1\ M n Ln Ln r-1 M r-I M Ct -1 M r-I O) V Ct Ct r-I w 00
ry N N r-I fV Lf) (n (0 r-I r-i r-I ri ri Cf N Lfl M r-I ri LO LO OR r ri r-I M r
c N r-I ri ir-I
C) 1, Lf) LO Ln O) LO CT N Ln w V n 00 w Ct w N 00 M O w ri Ln Ln O O M O M O M Ct Lf) M
h ri w fV r-I Lf) Ln r-I n r-I w 00 O Cf rl Ln O ri LT 00 M M 00 O) M (14 00 00 C) 00 w Ln ri n O
M Cl N ri O r-I r-1 Ln n rl Ln r-I 00 Ln Cf M Cl 'I Ct N r u) 00 to M 00 Ct Lf) 00 Lfl M LD M n N Cl
-4ffl Ln 00 fl- Ln O Cr LD O m 00 fV C1 C) O M M w Ln C) w Wri ri LD C) n 1" w Lf) Cf r, LO
p n N Cr LO M N C) N O M O M M Lf) c-1 1\ M 00 Lf) Ln O O r-1 n9 CY N 00 r-I n V Ct Ct ri w 00
ry r-I fV r•i N Lf) (n r-I C) ri ri r-I r-I ri V N L() M ri ri M M M r-I r-I r-I M ri
c-1 fV r-I r-I
N C) O M r-I N n Ln Ln C M r-I M O n LA (14 N Ln CF C) 00 1\ 00 r-I O O Ln C) Ln C) LO a) M V
00 M C) ri It C) N 1l Lf) O O N O) M w ri LD LD <0 r, LO Cf 00 O Ch O O C) n r-I n LD 00 n M
Y N 1� M ri ri Ci M Ct lC 00 Cl Cl (= M Ln ri ri ri l0 Lf) C) Lfl O Ln O LO M n 00 ri Ct ll 00 n n Cl
M 00 n (14 M CT LD r-1 1, N LO LO 0) O M C) M LD LD Ln O Ct LD -4 1, N C) N r, M r-I 1, lD l0
3 p V N Ct LO M O M N N Ct Lf) LO M Lf) r-I n M 00 Lf) Lf) r-I O r-I N Cf 1, C) r•i 1, Ct O O M w 00
Y ry ri N ri N Ln M ri C) ri r-I r-I ri ri CT N LO rn r-I r-I M M M (V N M ri
CC ri N ri ri
C � N
L Y N
N U v N
m
3 r
Y
,`,_ > = o i E c0
Ln
wLn C tN0 i AA- A^ � O �
Q O a C Ln Lu ° c > c °o p o fl• c i
O Q O oa a m `0 c Y c mM a 4) a m
v >
N > m QCU
•L o c c ° �o M0 a o x -0(JOCm11 O E - w ` uui c
LIl c m m
c J
vui U C N tr N p u C Ul j N m C L yL, (7 O tZ >,
N i Y 0[ 2 Y N c O L1 0 Y H O 00 00 , Y E "a m N v 7
Q C C O 00 O C v m Y C ++ N N Ln O m fY0
•m % a C •gin Y ;= 01 m N Q fL Y m N N Z bD V M. ci C Y In
Y m C Y L E Y N > a "6 m N Ln C -M t m N N 'Y
E N m �_ m m 7 c tU �, � i) C C C t t' U 0 m 00 J 0O i Ly
m C 7 Q ° m H O N OJ C 7 O Y (D M C M C C
a) N 3 m x 3 U o N v 3 a LL LL op o v sZ a`i m c m o m o 0
_ � H N N N m - U Y N N Y N IY/1 N Y Q Y 3 c� m U m m
C: Z -a v a+ .2 a > Y a o m i - - Q O 'E pD UV) cO Y
Qj
C V U E U •u E 'U 7 H N it Ol N ~ H ~ i H N i Y M 3 Y C i C C
w m m w m m m m ec m C Y Lf) O m 7 f0 m m fp f0 ° m Gi m 03 N
U w Co fr LL LL u LLL G w w Ln N Q u {n a a a a u w a a a o a Y a Y Y
E —
fl. O. m Ct CL O1 -1 Cf
_ E E JO O E t4 N In O
7 x x C ON X .-O O tom/} ON
�) CD w O w . LL
1A O H E ELn H l0 l0
'O m m m a) m Q Q Z v o o m
C - H H i it H u U co v O O H
CD C Ln Ln Q Q Ln Q Y Y Y Ln N N Q
01 O O N N 00 00 O Y o N N 00 ry ry � C) p N C C M C) O O O fV M
Y Ol Ql al O p 0 0 0 0 U O O O O N N N i 0 0 0 0 0 C O C) C) O O O
C O ClO N N C) O O O >, m 0 0 0 0 M O N O CO M O O O O N O O
fL O O O N N N N a N N N N LL LL LL a NNN N N N
U N N N .O O0 . F �- O - 0 0 O
0 0 0 0 o 0 0 o (UY o 0 0 0 0 3 o o F o F o 000000
(� o (D (D J J kD 0 0 (J W � 0 0 (D Q 0 a a a Y 0 (7 6 d d J (D 0
l0 Q7 M M O O N (14 00 00 Cf O Lo O) N N 00 Ct Ct 00 4 LO M O N LD (O C)
N C) C) M C) 0 C) C) C) 0 C) C) 0) 0) O O O C) C) C) OJ C) M O O O O C) L
7 C) C) (n 0) 0 0 0 0 0 C) 0 y C) 0) O O O O O O p (7) C) O O O O C) LU C) O O O N M
N ri r-I r-I -4 N (14 N N N N N r-I ri N N N N N N y, r-I r-I N N N N ri O O O O O O
y a) 0 0 0 C C
U N
m m
LL to a C C C C C C
C
Y m 0 0 0 0 0 0
O m a+
V O) 07 T O/ L, Ol 61 01 2 2m m m f0 m /0
F N N N lA N N N N Y Y Y Y Y
C Y_ J-+ Y - Y - Y YO1 ++ Y � � � � � � � � N N N N N N N N N N N N N
LL •U •U •U •U •L.i •U •U •U •U •U •U
m m m m m m m m m m m Y Y Y Y Y Y Y + m m m m m m m 01 lU v v Gl
LL LL LL LL LL LL LL LL LL LL LL Ln Ln Ln Ln Ln Ln Ln Ln a a a a a a a Ne ]G le Ne Id le
10/12/2012 Page 7
N N LO l0 n ri l0 l0 M m O O N m 00 l0 O o M m m O ri —N
n n 00 n Ln rn o o LO LD n n n o 00 n o o rn n ri 00 Ln
rn Ln mi oo ri m a0 m rn Ln + Ln Ln Ln Ln a n m
N n 00 n 1-I Lf) N O O 0 0 Ln l0 O n n 00 O O N N O LO N
p 0 N N .--1 c7 ri LD LO m M N ri V' n V n o 0 l0 LD Ln cn LO
N O ri N M M a) Ln Ln 00 In LD lD -T T l0 M N
r-I n Ln rmi
(3) ri 00 lD (N n Ln Lf) Ln Lf) m N ri 00 a V O O m (n a) M 10
Ln n O m M d' n n lD l0 V 00 r-I O V n O O n n LO m n
LO N La 00 Lf) n n N N N fV 00 Lfi l0 m L70 Lf) ri ri Lf) Ln LD a) n
,q 00 co n ri V N r-I r-I 00 00 a) rn M V a) 00 a) (7) N N m LO lO
p O N N r-I d' r-I Ln Ln N N N 0) KT n t n 0) 0) LO LD Le) r-I -�t
N O r-I (N R:r V C' m m ri Lf) Ln 00 Ln Ln V) �T RT LD Itt Ln
r-I 00 Lf) ri
00 00 O 00 N 00 LD eti r-I l0 LO n n O m 0 ri 0 C (n M a) Ln N
O m M LD 00 0) r-I ri r-I r-I r-I V 0) L!) n O n O O n n l0 C) Lf)
v m v m M m
Ln o0 L m m o o Ln to N a) Ln m v Ln Ln o v a
Cr-I a) r N C LO O 00 00 ri ri r-I LD LO n N 00 m m N N V C) 1-1
r-I (14 (14 ri V �t LD LO 1.0 m m ri U) Gt 00 L!) n 0) a) l0 LD Ln O r-I
N O r-1 N N lD V V m m lD LD LA 00 Ln U) L.!) V -Cl- l0 Ln ri
r-I oo Ln V
ri
Rt N 00 W n Ln O n n 00 co to Cr) a) 00 l0 00 O O M M a) ct ri
m Z1, O O m O O V V 00 00 00 Ln 00 ri L() LO O O n n LO O 0)
Ln ri m M n ri N o C n n ri M O0 Ln ri m rn Ci Ln Ln rn to n
ri O1 a) n N V n ri m Ln M M N O 00 00 L() 0) 00 00 (14 N ct 0) r-I
O O N N r-I V V LD 00 00 m M l0 N ZT 00 L() n a) (n LO LD L() LO m
N O 11 N N LD V C M rn 00 n Lf) 00 Ln Ln Ln V Rt LO Ln V
c 00 Lf) Kt
c-I
V M n to r-I O n n n a O O a) q n n OO O m In Ln Ln M M a) 00 n
a) r-1 M lO V m 00 M N lD 00 00 N Ln M a) N N r-I l0 n n n n (D n O
m N OO OO n O0 a) r-i ZT N l0 ri r-I m O r-I r-I m O 00 n O O Ln m Lf) m n
ri 00 00 n ri V n r-I Q) LO Lr O O Ln ri Ln a) ri O n 0) 00 00 (-I N O Ln
Q O N N ri Ln n n n «) M m 00 LO LD Ln Lf) O Ln n a) (n 1.0 l0 Lf) Ln m
N C ri N N lD d' V 0) m M n m LD ri Ln 0) L() Ln V) 't R* LO O 00
r 06 LD K
ri
Ln n N n n O m O r-I Ln L0 Rt a n O Ln O n a) a) N Ln Lf) M M (3) LO m
L!) n Ln n fV fr) lD Ln a Ln t N N «) -q 0) Ln LO O LO l0 n n n n l0 Ln ri
N V O0 00 00 V C C lD m O O ltl V n Ln N r-i ri L() lll ri M M Ln Ln Ln n Ln
ri t 00 n ri ri O O n O l0 V Kt d' LO O O 0) 4 O O O a) a) N N 4 M O
,3 p 'T N (N e-1 d' L!) LO RT 00 V n V V n (D m Ln Ln ri LO 00 0) 0) La l0 a) 0) n
Y N O r-I N N LO N �t Ln (Ij m m r-I m LO r-I Ln a) Lf) Ln Lf) -;t RT M n a)
iG O ri ri al Ln 1-4
11A N
N & a)
m 00 U v
3
6 u m N m M m
+-' M vL 00 E x Q
Y am+ GJ M "a C C m C O ¢ CO F v1
Y to O m m E m iA 0) < 0) m a
0 0 m m m O JO JO O p 01 p 0) O
Y y C U ri j i -O m a m N O N Q m
U > O C C C I- c 'C i O N
m 7 w 7 O h N h 7
> O LL 0 LL. a s
1-4
O •N m aJ C O O_' a +T' '^ L O a O a N
Car a 0 o ar c L� 00 m c m c v
¢ O m E N > N LL F-- i H N w co Co
7
3 m p C N C c_ C -a C aJ C aJ C
n _ a) 7 (U 7
O i) >. E O_ O a1 @ aJ al al C > C > C al
CO V O ,� E N OD L C O H O. f?. O. Ii � > > O.
u m 0 c o u ar a v a il 'a a ar v ar v 'a
@ fl n U ° o V 00 ma m m m OO m 0O z m
Y u u >- Cl- c �" '^ c `0 C E E E m mE
LJ jU N L L W C 7 7 O O O ~ C C y O
.- .a - u u 0 al `�- m w u u u •m m •m m u
LL a 07. > (u H r4 Lu LY o CC F F F a o ?i 3: F
Q) a)
O O
O O m
ri N E N N 06
a a ; Ec as a
E E O a s
x z a ° m ° `0 0 0 c C a
Y m Lu u.1 C) F � o o mo cO
X X m0
- L N V >r aJ a)
U a a C C
C C aJ aJ
m e E n ¢ ¢ m o o a 0 0 > > Q
E 0 0 0 0 o 0 0 0 0 Ln Ln 0-0 3 o m m m N z a
0 0 0 0 0 >. 0 0 0 C:) N N NM
E E LL C C :E :EE
v v (uO O 0 0 0 0 F- a) w m m O
> O O O O p 0 0 0 a, O C7 O (7 u u u
00005
l7 C7 C7 C7 Y v J C7 J H H F o r m F F H Y
w u w O0 c 0 v
0
3 E a) a) a) O O Ln N M 00 O 00 U m M LO LO ri N N � Qt O) O a) O ,� O
H 0) m C) O O o 0 o O O H *' 0) 0) 0) C C 0 0 C) C) 0 0 ri
Ca) 0) a) 0 c) .v 0 0 0 C O C M 0) 0) 0 0 0 0 0 0 0 0 0 •y,, V
O rH ri c-I N N N N NC:N N (U ri r-I r-I N N N N N N N N N _ U
LLI H N N +>+ d F LLJ m
C - _ _ _ 00 to 00
00 to 00 _
_O m m m m m m - O O O m aJ - > aJ al a) W a) a) Y C _�
t'j O Ln Ln Ln Ln Ln O O O O O U O O 00 00 00 00 UO 00 O C
C ~ u_ u u u_ u c c c ~ N ~ (D m m m m m m I- ¢
_ _ C c c_ v v 0) c_ c v C v v
L L L C La �.r Y Y Y m
LL L L L L L u u u aJ 1m0 m m (0 m (0 m m m m m m Y
aaada r°J- � � l>J �° 000333003033
10/12/2012 Page 8
Ln
M Ln N N 1 e-1 �-•1 f, O �
M V M I- N 00 e-! O n
V
Ol d° O O o0 L!1 -zr O
O N lD V O L!1 O O
N
O M OO N rN Vl to V OO In
N 01
m
rn
Ln V 'i V1 n Tr O LA
N lD - N I: l0 tt 00 O O
'.{ N r, e I e-/ i, Lt) M O r-I
NM c-I N -i O 00
00
m
N v1 -:r Q1 lD I, n O to
a tl' '-I fM fM V 113: I, O O
�••I M Il e-4 r-4 I, Ln M O ip
M r-I N r-I O p�
M
00 0
00 00 0 00 0 0 00 C 00 lD a° 0 O�
00 O N
fr1 M .--I lD lD 00
,y M I, Ln '-I I, O M O ry
C M '-I r-I .-i a-i O r-I
M
o° 0° o° a° o off° a° o° O
N N Ln 00 01 00 Ln O
�. N M Lfl IT 00
•� 'q N LD V r-I Il M M O 00'
NM r-I '-I r-I Iq O
d M
= 0
t Y N
u
3 c
w
Y � N
Y
O O
(J Q a
R
a G o
.3
in
C
O
V
OJ
m
0
O
L
to
T
Y
Vf N
C C
O 61
d 00
7 � c
Y
C
O. 0
c a p u
p
m �" OJ c
a Z �
E ^ ar L`
v a
o Y v �n 3 u
:0 GJ
Y p Y N V
ai p ar m Gi p
3 v p v N V
p V c-Nd yi C oj
N
C '- L C W u
V O V w E N
LL LA0- LL 0_ Fw Lu C •+_' O
O �o io m ro Y y Y > U ec
c FO- H H H H H H 0 c C7 C
O 7 LL
F a
10/13/2012 Page 9
Revenue Decline in CIP Fund
Revenue Comparison 2008 vs 2010
2008 Revenues: For:
Sales Tax $5.7m Debt $5.9m
REET $3.2m Lifecycle
Total $8.9m
Grant/Other $.6m Projects
versus
2010 Revenues: For:
Sales Tax $3.6m Debt $9.6m
REET $1.8m Minimal Lifecycle
Total $5.4m
Grant/Other $1.9m Grant Project
Cumulative Revenue Decline in CIP Fund
(in millions)
Year Sales Tax REET Total
2005 $ 5.930
2006 $ (0.415) $ (0.415)
2007 $ 6.100 $ (0.978) $ (0.978)
2008 $ (0.427) $ (2.704) $ (3.131)
2009 $ (2.314) $ (4.042) $ (6.356)
2010 $ (2.475) $ (4.124) $ (6.599)
2011 $ (2.316) $ (3.695) $ (6.011)
2012 $ (1.763) $ (3.469) $ (5.232)
$ (9.295) $ (19.427) $ (28.722)
10/13/2012 Page 10
Deficit Funds - Capital
Capital Improvement Fund
Estimated Dec 2012 Deficit: $12.4 million
Background:
• Sales Tax has decreased by 40% since its high in 2007.
■ REET has decreased by 70% since its high in 2005.
■ Revenue reductions have significantly compromised our ability to pay debt and fund
necessary general government projects, i.e. Parks, Police and Information
Technology.
2008 Revenues: For:
Sales Tax: $5.7m Debt: $5.9m
REET: $3.2m Lifecycle Projects
Total: $8.9m Projects
Grant/Other: $.6m
versus
2010 Revenues: For:
Sales Tax: $3.6m Debt: $9.6m
REET: $1.8m Minimal Lifecycle
Total: $5.4m
Grant/Other: 1.9m Grant specific project
Proposed Solution:
■ Sell available assets, using proceeds to reduce deficit.
■ Use any REET in excess of budget to reduce deficit.
• Dedicate 4% internal utility tax to debt payments.
■ Dedicate $1m of B&O Tax to debt payments.
Other Capital Projects Fund
Estimated Dec 2012 Deficit: $9.7 million
Background:
■ In March 2007, the Events Center project was approved by Council, with expected
construction costs of $70 million.
■ Actual construction costs, at the height of the building industry, were nearly $80
million.
■ Two capital projects were cancelled with the intent of diverting those revenues to
covering the additional construction costs.
■ Due to the economic downturn, those project revenues were not realized, leaving a
deficit of $9.7 million for the construction of ShoWare.
Proposed Solution:
■ Formalize a 10-year interfund loan to fund the remaining portion of the project.
■ Pay annual debt service from the CIP Fund to pay off the loan.
10/13/2012 Page 11
Deficit Funds - Operating
ShoWare Operating Fund
Estimated Dec 2012 Deficit: $2.3 million
Background:
■ Due to the economic downturn, ShoWare Center is not operating consistent with the
expectations outlined in the 2006 Brailsford & Dunlavey study.
■ Recession impacts on ShoWare include:
o Events scheduling and canceling
o Attendance
o Advertising
o Suite and club seat sales
■ Deficit includes $700,000 in startup monies, plus a cumulative 4-year operating
shortage of approximately $1.6 million.
Proposed Solution:
■ Transfer $200,000 annually from the General Fund to the ShoWare Operating Fund
to help offset the deficit.
Golf Complex
Estimated Dec 2012 Deficit: $2.3 million -�
Background:
■ Through 2010, the Golf Complex carried outstanding long-term debt. This resulted
in required annual debt service payments of nearly $600,000. Proceeds to cover the
debt primarily came from operations at the Golf Complex and $260,000 from the
Capital Improvements Fund.
■ Beginning in 2010, the Golf Complex began paying Admissions Tax to the City
resulting in an increased annual expense of approximately $70,000.
■ As the result of a well/water pump issue, the Golf Complex saw its water utility bill
soar during 2009 through 2011. Annual water utility expenses of approximately
$1,500 in 2008 increased to just over $100,000 in 2011.
Proposed Solution:
■ Options will be presented to the Parks Committee.
10/13/2012 Page 12
Capital Improvements Fund
2001 through 2014
(in millions)
Other Total Rev. Debt Capital Total Exp. Net Cash Ending
Sales Tax REET Rev(A) to CIP Service Projects(B) to CIP Flow F/B
2001 $ 5.099 $ 3.156 $ 1.227 $ 9.482 $ 5.280 $ 4.849 $ 10.129 $ (0.647) $ 2.781
2002 $ 4.758 $ 3.274 $ 0.108 $ 8.140 $ 5.131 $ 4.460 $ 9.591 $ (1.451) $ 1.330
2003 $ 3.698 $ 3.650 $ 0.382 $ 7.730 $ 5.717 $ 2.468 $ 8.185 $ (0.455) $ 0.875
2004 $ 5.164 $ 3.776 $ 0.087 $ 9.027 $ 5.289 $ 2.586 $ 7.875 $ 1.152 $ 2.027
2005 $ 5.193 $ 5.930 $ 0.008 $ 11.131 $ 5.243 $ 4.787 $ 10.030 $ 1.101 $ 3.128
2006 $ 5.960 $ 5.515 $ 1.434 $ 12.909 $ 6.489 $ 4.970 $ 11.459 $ 1.450 $ 4.578
2007 $ 6.100 $ 4.952 $ 0.320 $ 11.372 $ 6.061 $ 5.945 $ 12.006 $ (0.634) $ 3.944
2008 $ 5.673 $ 3.226 $ 0.596 $ 9.495 $ 5.874 $ 6.193 $ 12.067 $ (2.572) $ 1.372
2009 $ 3.786 $ 1.888 $ 0.146 $ 5.820 $ 8.980 $ 2.475 $ 11.455 $ (5.635) $ (4.263)
2010 $ 3.625 $ 1.806 $ 1.886 $ 7.317 $ 9.627 $ 1.534 $ 11.161 $ (3.844) $ (8.107)
2011 $ 3.784 $ 2.235 $ 0.553 $ 6.572 $ 9.272 $ 1.154 $ 10.426 $ (3.854) $ (11.961)
2012 (C) $ 4.337 $ 2.461 $ 2.354 $ 9.152 $ 9.089 $ 0.380 $ 9.469 $ (0.317) $ (12.278)
2013 (D) $ 4.340 $ 2.036 $ 9.698 $ 16.074 $ 9.572 $ 0.500 $ 10.072 $ 6.002 $ (6.276)
2014 (D) $ 4.406 $ 2.298 $ 3.763 $ 10.467 $ 9.612 $ 0.500 $ 10.112 $ 0.355 $ (5.921)
Percent Changes
REET $ 5.930 $ 1.806 -69.54%
�. Sales
Tax $ 6.100 $ 3.625 -40.57%
A Other revenue includes all grants,donations, asset sales, misc. revenues, and transfers in
In 2013 and 2014 this includes$1.5 million from B&O tax
B Capital projects includes lifecycle and projects
C 2012 is an estimated actual
D 2013 &2014 are proposed budget
Cumulative Revenue Decline in CIP Fund
(in millions)
Sales Tax Reet Total
2005
2006 $ (0.415) (0.415)
2007 $ (0.978) (0.978)
2008 $ (0.427) $ (2.704) (3.131)
2009 $ (2.314) $ (4.042) (6.356)
2010 $ (2.475) $ (4.124) (6.599)
2011 $ (2.316) $ (3.695) (6.011)
2012 $ (1.763) $ (3.469) (5.232)
$ (9.295) $ (19.427) $ (28.722)
10/12/2012 Page 13
R55JCO21 City of Kent 10/12/2012 9:18:41-
Fiscal Year: 12 Period: 9 Other Capital Projects Fund Page- 1
Budget Prior Years Fiscal YTD Prj to Date Variance 70
Intergovernmental 78,600,000- 63,575,208.71- 63,575,208.71- 15,024,791.29- 80.88
Miscellaneous Revenues 131,929- 339,194.73- 1,365.65- 340,560.38- 208,631.38 258.14
Non Revenues 347,076- 343,641.11- 343,641.11- 3,434.89- 99.01
Other Financing Sources 35,264,500- 34,764,500.00- 34,764,500.00- 500,000.00- 98.58
Operating Transfers In 8,120,463- 7,658,155.52- 7,658,155.52- 462,307.48- 94.31
Total Available Resources 122,463,968- 106,680,700.07- 1,365.65- 106,682,065.72- 15,781,902.28- 87.11
ShoWare Center Marquee 225,000 213,308.48 213,308.48 11,691.52 94.80
Kent Station 1,300,000 300,000.00 300,000.00 1,000,000.00 23.08
Event Center 85,695,463 80,455,308.88 80,455,308.88 5,240,154.12 93.89
LTGO Bonds 2002 9,486,429 9,485,126.12 9,485,126.12 1,302.88 99.99
GO Refunding 2009 8,757,076 8,757,076.15 8,757,076.15 .15- 100.00
Kent City Center Garage 126,188.29 10,325.28 136,513.57 136,513.57-
LTGO Bonds 2008 17,000,000 16,109,050.81 618,515.66 16,727,566.47 272,433.53 98.40
Total Expenditures 122,463,968 115,146,058.73 928,840.94 116,074,899.67 6,389,068.33 94.78
Ending Balance 8,465,358.66 927,475.29 9,392,833,95'
10/12/2012 Page 14
o 0 0
p O O O
o 0 0
o o LO LO
LO LO o
O CM O
cn 00
'0 E c;)
E •— O
C:
� p > 4 O
LL. U m E o
U � cn > C:
o
U L Z3 C�
O 0
-
. . L p o
^, U) � � �—
W L
. � U)
O ^, -' U
W , L
U •— .a/
v c
LLI -' cn Q -
p — — CD
4�
>
0 a)
A� 0 � ULli
C: L L
�= 0) O O U) LLcz
Cn
L
U O >> O o .0 o
Co Aj -0 U �.
LOO U O O —
O _ E i
� a) E� a) O
p
F- .0 U I—
0
10/12/2012 Page 15
GOLF OPERATING FUND -
As of August 31, 2012
2011 2012 2012 2012
Actuals Budget YTD Est Actual
Beginning Working Capital (1,740,829) (2,174,297) (2,174,297) (2,174,297)
Revenues
18 Hole Course
Green Fees 1,022,112 1,438,000 758,625 1,186,037
Cart & Club Rentals 141,477 204,000 118,672 165,839
Restaurant Lease 50,724 60,000 29,912 56,975
Par 3 Course
Green Fees 222,051 285,000 169,444 200,921
Cart & Club Rentals 12,082 14,000 9,197 11,601
Food & Beverage Sales 11,065 20,000 8,223 10,221
Driving Range
Driving Range Fees 449,488 415,000 302,035 449,488
Mini Putt Fees 23,909 60,000 26,002 30,261
Lesson Fees 86,947 120,000 65,491 91,219
Cart & Club Rentals 756 1,602 1,602
Food & Beverage Sales 29,464 35,000 24,611 35,624
Merchandising
Merchandise Sales 449,538 563,344 347,768 494,492
Other
Insurance Reimbursement 115,861 115,861 115,861
Miscellaneous Revenues 1,498 3,925 3,925
Driving Range Cell Tower Lease 20,100 13,787 20,681
Total Revenues 2,521,209 3,330,205 1,995,157 2,874,746
Total Resources 780,380 1,155,908 (179,141) 700,449
Expenditures (Transfers)
18 Hole Course 1,751,861 1,683,062 1,080,499 1,620,748
Par 3 Course 308,692 325,284 205,573 308,359
Driving Range 408,786 452,223 283,993 425,990
Merchandising 442,200 549,161 311,689 467,534
Repair Damaged Assets 115,861 117,861 117,861
Other Expenses 3,246 3,504 3,504
Total Expenditures (Transfers) 2,914,785 3,125,591 2,003,118 2,943,995
Net Change in Working Capital (393,576) 204,614 (7,962) (69,250)
Total Working Capital (2,134,405) (1,969,683) (2,182,259) (2,243,547)
10/12/2012 Page 16