HomeMy WebLinkAboutCity Council Committees - Operations Committee - 07/18/2017 (2)
Unless otherwise noted, the Operations Committee meets at 4 p.m. on the first and third
Tuesday of each month in Kent City Hall, Council Chambers East, 220 Fourth Ave S, Kent, WA
98032.
For additional information please contact Jennifer Hays at 253-856-5700, or via email at
jhays@KentWA.gov.
Any person requiring a disability accommodation should contact the City Clerk’s
Office at 253-856-5725 in advance. For TDD relay service call Washington
Telecommunications Relay Service at 1-800-833-6388.
Operations Committee Agenda
Councilmembers: Bill Boyce – Les Thomas – Dana Ralph, Chair
July 18, 2017
4 p.m.
Item Description Action Speaker Time Page
1. Call to order Chair Ralph 1
2. Roll Call Chair Ralph 1
3. Changes to the Agenda Chair Ralph 1
4. Approval of Check Summary Report
dated 6/16/17 thru 6/30/17
YES Chair Ralph
5. Approval of Minutes dated July 5, 2017 YES Chair Ralph 2 1
6. Public Facilities District Board
Reappointment - Recommend
YES Ben Wolters 5 3
7. 2017 Property Insurance Program
Review – Information Only
NO Chris Hills 5 5
8. 2nd Quarter Procurement Report –
Information Only
NO Derek Matheson 10 9
9. Director’s Report – Information Only NO Aaron BeMiller 10 13
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Operations Committee
Minutes
Approval Pending
Page 1 of 2
Date: July 5, 2017
Time: 4:02 p.m.
Place: Chambers East
Attending: Bill Boyce, Les Thomas and Dana Ralph, Chair
Agenda:
1. Call to Order.
2. Roll Call.
3. Changes to the Agenda.
There were no changes to the agenda.
4. Approval of Check Summary Reports dated 6/01/2017 thru
6/15/2017.
B. Boyce moved to approve the check summary report dated 6/01/2017 thru
6/15/2017. L. Thomas seconded the motion, which passed 3-0.
5. Approval of Meeting Minutes dated June 20, 2017.
L. Thomas moved to approve the Operations Committee meeting minutes
dated June 20, 2017. B. Boyce seconded the motion, which passed 3-0.
6. ShoWare Europay, MasterCard and Visa (EMV) Chip Card Readers -
Recommend.
Information Technology (IT) Director Mike Carrington and Project
Manager/Business Analyst Annette Pape asked members to approve the Elavon
agreement. The agreement will tie together the previously approved upgrade
to ShoWare’s point-of-sale system, with credit card EMV chip card readers. The
Elavon system will provide a solution that ensures regulatory compliance as
well as meets the finance department’s compliance requirements for any
devices that take bankcard transactions.
Because transaction fees are dependent to the type of credit card used and the
amount of the transaction, it is difficult to pinpoint an exact cost. It is expected
that the annual contract cost will exceed $65,000 and the cost will be absorbed
by ShoWare’s operator, SMG. The budget impact to the City is $144 per year
plus a one-time annual fee.
Due to the point-of-sale system installation constraints, this request was on
the July 5 council meeting consent calendar.
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Operations Committee
Minutes
Approval Pending
Page 2 of 2
B. Boyce moved to recommend Council to authorize the Mayor to sign all
necessary documents to enter an agreement with Elavon to provide EMV chip
card readers related to bankcard transactions, subject to final terms and
conditions acceptable to the Information Technology Director and the City
Attorney. L. Thomas seconded the motion, which passed 3-0.
7. May Financial Report – Information Only.
Finance Director Aaron BeMiller reported an overall positive budget variance of
$2.2 million. The 2017 budget reflects an expected use of $2.4 million of fund
balance, including $2 million for Parks capital projects. The budgeted use of
fund balance is offset by the positive budget variance of $2.2 million, reducing
the estimated actual use of fund balance to $226,000. General Fund Reserves
are estimated to end the year at $16.8 million, or 17.6 percent.
The following highlights were reported:
Revenues are estimated to end the year at nearly $1.4 million (1.5 percent)
higher than budgeted.
Expenditures through April show all departments are remaining fairly close to
budget with an overall favorable budget variance of $816,000 or 0.8 percent.
8. Director’s Report – Information Only.
Mr. BeMiller updated members on two items:
State Auditor’s Office (SAO) audit: there was an difference of opinion
between the city and auditor about how the City and Public Facilities
District (PFD) recorded the 2016 PFD bond refunding. The atypical
transaction generated different opinions within the SAO as well.
Position Classification and update: finance’s customer service section
was authorized to hire an accounting tech for 2017. This position
provides analysis and auditing of integrity reports. So far, the account
tech has discovered that over $10,000 could be refunded to customer
due to reoccurring overpayments of utilities, and an error was
discovered in how adult family homes were being billed due to a 2011
rule change from commercial to residential billing.
9. Adjournment.
The meeting was adjourned at 4:28 p.m. by D. Ralph.
J. Hays
Jennifer Hays
Operations Committee Secretary
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ECONOMIC and COMMUNITY DEVELOPMENT
Ben Wolters, Director
Phone: 253-856-5454
Fax: 253-856-6454
220 Fourth Avenue S.
Kent, WA 98032-5895
DATE: July 18, 2017
TO: Operations Committee
FROM: Ben Wolters, Director
SUBJECT: Public Facilities District Board Reappointment - Recommend
SUMMARY: In accordance with Ordinance No. 3852 and the Public Facilities
District Resolution No. 1769, the Director and the Board shall be selected and
appointed by the City Council consistent with RCW 35.57.010(3)(a)(i).
The Public Facilities District Board members were initially appointed staggered one,
two, three and four-year terms. At the expiration of the initial terms, all Directors
are appointed to four-year terms of office.
Mike Miller was reappointed to an additional 4-year term that will expire on August
31, 2017. This motion is to reappoint Mike Miller for an additional four-year term -
September 1, 2017 – August 31, 2021.
BUDGET IMPACT: None
MOTION: Recommend the City Council confirm the reappointment of Mike
Miller to Position No. 2 of the Public Facilities District Board for a four-
year term of September 1, 2017 – August 31, 2021.
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HUMAN RESOURCES DEPARTMENT
Marty Fisher, Director
PHONE: 253 856-5270
Fax: 253 856-6270
400 West Gowe Street
Kent, WA 98032
DATE: July 11, 2017
TO: Operations Committee
FROM: Chris Hills, ARM-P, CRM, Risk Manager
SUBJECT: 2017 Property Insurance Program Review – Information Only
MOTION: Information Only
SUMMARY: Briefing on the City’s 2017-2018 Property Insurance Program.
BACKGROUND: Property Insurance renewal was July 1, 2017.
The recent premium history is as follows:
July 2014 to July 2015: $432,856
Premium decrease of 7.9 percent. No change in Earthquake/Flood limits
($50 million).
July 2015 to July 2016: $404,800
Premium decrease of 6.5 percent. Includes increase in Earthquake/Flood limit
from $50 million to $75 million. ShoWare remains at $5 million.
July 2016 to July 2017: $370,725
Premium decrease of 10.3 percent, despite having negotiated a “flat” renewal
for 2016-2017.
July 2017 to July 2018: $346,323
Premium decrease of 7 percent. Decrease based on adding another layer to
EQ/Flood coverage at a lower rate than Lexington’s rate for the $10 million to
$25 million layer.
A detailed chart of the current program is attached.
BUDGET IMPACT: Property insurance premium remains within budget projected
during the 2016 Budget process.
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CITY OF KENT
$25,000,000
($15M x $10M)
$25,000,000
$10,000,000
$300M Primary
2016 / 2017 2017 / 2018
*Excludes Surplus Lines Taxes & Fees
Lexington
100.00%
All Risk
$300,000
All Risk Earthquake and Flood
Deductibles: $100,000
Earthquake: 5%/$100,000 Minimum
Flood: $250,000 except 5%/$1M at ShoWare
TIV: $302,328,325
Premium: $362,500*
Rate: .120* (-10.5%)
Flood -
ShoWare
Lexington
100.00%
All Risk
$210,000
$300,000,000
$75,000,000
($50M x $25M)
$5,000,000
All Risk Earthquake and Flood
Deductibles: $100,000
Earthquake: 5%/$100,000 Minimum
Flood: $250,000 except 5%/$1M at ShoWare
TIV: $302,591,943
Premium: $338,000*
Rate: .112* (-7%)
Flood -
ShoWare
$300,000,000
$75,000,000
($50M x $25M)
$5,000,000
Empire
15%
$9,375
Lexington
$25M
General
Security
25%
$15,625
QBE
60%
$37,500
Empire
15%
$8,700
Lexington
$10M
General
Security
25%
$14,500
QBE
60%
$34,800
Empire
41.67%
$29,169
General
Security
25%
$29,169
Ironshore
Europe Ltd.
16.67%
$11,669
Ironshore
Europe Ltd.
16.66%
$11,662
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MAYOR’S OFFICE
Derek Matheson, Chief Administrative Officer
Phone: 253-856-5700
Fax: 253-856-6050
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: July 18, 2017
TO: Operations Committee
FROM: Derek Matheson, CAO
SUBJECT: 2nd Quarter Procurement Report – Information Only
MOTION: Informational only.
SUMMARY: The city council adopted a new procurement policy in 2015 that
requires staff to provide a quarterly report to council on new procurements over
specified dollar amounts and not previously approved by the city council,
specifically all contracts/agreements over $25,000 and all leases/agreements that
convey an interest in real property. The attached report is for the second quarter
of 2017.
EXHIBITS: Report is attached
BUDGET IMPACT: N/A
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CONTRACTS GREATER THAN $25,000 NOT APPROVED BY COUNCIL
QTR CONTRACT NO.CONTRACTOR'S NAME PROJECT NAME TERM CONTRACT
AMOUNT
APPROVAL
AUTHORITY DEPARTMENT
Q2 PW17-155 ICF Jones & Stokes Inc North Hytek Mitigation - S 216th St 4/4/2017-5/31/2018 $50,887.61 Mayor Public Works
Q2 PW17-165 Transpo Group USA Inc 212th & 72nd Traffic Signal 4/14/2017-10/1/2017 $27,749.00 Mayor Public Works
Q2 PW17-178 Tetra Tech Inc Lakes Monitoring & Leber Homestead 4/18/2017-4/15/2018 $42,204.99 Mayor Public Works
Q2 PW17-187 Shearer Design LLC Garrison Creek Bridge 4/24/2017-12/31/2017 $62,252.00 Mayor Public Works
Q2 PW17-200 A Plus Demolition & Excavation Inc Recycling Events 4/28/2017-12/31/2017 $48,000.00 Mayor Public Works
Q2 EC17-214 Van Ness Feldman LLP Federal Lobbying 5/4/2017-12/31/2017 $56,000.00 Mayor
Economic and
Community
Development
Q2 PW17-215 GeoEngineers Inc S 218th Street Improvements 5/11/2017-12/31/2018 $48,442.00 Mayor Public Works
Q2 PK17-221 NETServices LLC Kent Memorial Park Pole Replacement and
Barrier Netting Installation 5/15/2017-8/14/2017 $46,417.85 Mayor Parks
Q2 IT17-223 VeriPic PD Digital Evidence and Mobile Licensing 11/1/2016-12/31/2017 $25,459.50 Mayor IT
Q2 PW17-239 JECB LLC 2017 Plastic Markings 5/22/2017-12/31/2018 $34,733.33 Mayor Public Works
Q2 PW17-240 JECB LLC 2017 Paint Line Striping & RPM
Replacement 5/22/2017-12/31/2018 $38,375.00 Mayor Public Works
Q2 HR17-351 RL Evans Inc Health Care Insurance Brokerage 1/1/2016-12/31/2017 $45,000.00 Mayor Human
Resources
Q2 PK17-352 Stripe Rite Inc Service Club Ballfields-Sealcoating and
Restriping of Parking Lot 5/31/2017-9/29/2017 $25,411.30 Mayor Parks
Q2 PD17-377 Washington State Department of
Social and Health Services (DSHS)
Interlocal Agreement for CSEC Task Force
Support - Fund a human trafficking victim
advocate at Kent Youth and Family
Services
6/27/2017-6/30/2018 $50,000.00 Mayor Police
Q2 PW17-386 Raedeke Associates Inc Valley Floor Community Park Wetland
Delineation 6/30/2017-6/15/2018 $26,700.00 Mayor Public Works
Q1 PW17-013 SH&H Valuation LLC 132nd Ave SE Sidewalk Improvements 1/5/2017-12/31/2017 $29,650.00 Mayor Public Works
Q1 PW16-012-003 GeoEngineers Inc Amendment No 2
S 228th St UPRR Grade Separation 1/13/2017-12/31/2017 $30,562.00 Mayor Public Works
Q1 PW17-036 David Evans and Associates Inc 132nd Pedestrian Improvements 1/23/2017-4/1/2017 $41,124.00 Mayor Public Works
Q1 PW17-037 David Evans and Associates Inc East valley Highway Overlay 1/23/2017-5/1/2017 $40,868.00 Mayor Public Works
Q1 PK17-124 Middleton, Reid Lake Fenwick Floating Walkway
Replacement Oversight 3/10/2017-12/31/2018 $56,683.00 Mayor Parks
Q1 PK17-131 Washington State Slo-Pitch Umpires
Association
2017 Softball Umpires Goods and Services
Agreement 4/12/2017-9/30/2017 $45,000.00 Mayor Parks
Q1 PK17-136 Highline School District No 401 2017 Camp Waskowitz 7/31/2017-8/4/2017 $40,500.00 Department
Director Parks
Q1 PK17-145 Miller Hayashi Architects PLLC Lake Meridian Bathhouse Renovation
Project Oversight 3/7/2017-12/31/2018 $42,400.00 Mayor Parks
Q1 PK17-148 Vital Mechanical Service Heat Exchanger Replacement at Kent-
Meridian Pool 4/1/2017-6/30/2017 $37,041.97 Mayor Parks
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FINANCE DEPARTMENT
Aaron BeMiller, Director
Phone: 253-856-5260
Fax: 253-856-6255
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: July 18, 2017
TO: Operations Committee
FROM: Aaron BeMiller, Director
SUBJECT: Director’s Report – Information Only
MOTION: No motion: Non-action item
SUMMARY: The Finance Director will report out financial or operational item(s).
BUDGET IMPACT: N/A
BACKGROUND: N/A
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