HomeMy WebLinkAboutCity Council Committees - Operations Committee - 01/05/2016 (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 4th Ave S, Kent, 98032.
For additional information please contact Jennifer Hays at 253-856-5700.
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 - Dana Ralph - Les Thomas, Chair
January 5, 2015
4 p.m.
Item Description Action Speaker Time Page
1. Call to order Chair Thomas 1
2. Roll Call Chair Thomas 1
3. Changes to the Agenda Chair Thomas 1
4. Approval of Check Summary Report dated
11/16/2015 thru 11/30/2015 and
12/1/2015 thru 12/15/2015
YES Chair Thomas 2
5. Approval of Meeting Minutes Dated
December 1, 2015
YES Chair Thomas 2 1
6. Riverbend Restaurant Update NO Jeff Watling &
Arnold Shain
5 7
7. November Financial Report NO Aaron BeMiller 5 9
8. Director’s Report NO Aaron BeMiller 5 21
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OPERATIONS COMMITTEE MINUTES
December 1, 2015
Committee Members Present: Les Thomas, Chair, Dana Ralph and Bill Boyce.
The meeting was called to order by Les Thomas at 4:00 p.m.
1. ROLL CALL.
2. CHANGE TO AGENDA.
There were no changes to the agenda.
3. APPROVAL OF THE CHECK SUMMARY REPORT DATED 11/1/2015 THROUGH
11/15/2015.
B. Boyce moved to approve the check summary report dated 11/1/2015 through
11/15/2015. D. Ralph seconded the motion, which passed 3-0.
4. APPROVAL OF MINUTES DATED NOVEMBER 17, 2015.
D. Ralph moved to approve the Operations Committee minutes dated November 17,
2015. B. Boyce seconded the motion, which passed 3-0.
5. 2016 STATE LEGISLATIVE AGENDA - RECOMMEND.
Communication and Public Affairs Manager Michelle Wilmot and Lobbyist Doug Levy
presented the draft legislative agenda. Categories on the agenda include: top priorities;
issues that are key; and a laundry list of issues that are tracked and monitored
throughout the session.
Kent partners with the state in the delivery of critical services such as criminal justice,
community and human services, flood protection and other services. However, the City
has a limited number of revenue sources available to mitigate impacts of budget
reductions at the state level. Ongoing challenges with education funding at the state level
threaten state-shared revenues the City relies upon.
City priorities in the upcoming session include, but are not limited to, protecting
Streamlined Sales Tax payments and other state-shared revenues, with a combined
annual impact of approximately $10 million.
It is clear the City will need an aggressive and effective lobbying effort during the 2016
legislative session by all elected leadership of Kent.
B. Boyce moved to recommend to Council to adopt the City of Kent’s 2016 State
Legislative Agenda. D. Ralph seconded the motion, which passed 3-0.
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Operations Committee Minutes
December 1, 2015
Page: 2
6. CULTURAL COMMUNITIES BOARD ORDINANCE - RECOMMEND.
Human Services Planner Dinah Wilson briefed committee members on the Mayor’s
vision for the Cultural Communities Board. The role of the Cultural Communities Board
will be to facilitate communication and understanding among City government leaders,
residents, and diverse cultures, with the objective of increasing civic engagement by
and with Kent’s diverse cultural and ethnic communities. The new Board will have 18
members with two being youth and will serve one-year terms.
The Mayor and Council have both put forward efforts to address community cultural
issues, which have merged into a “Community Engagement Initiative” that is currently
managed through a Consultant Services Contract with LueRachelle Brim-Atkins. As part
of this initiative, the Mayor has proposed amending the Kent City Code to officially
disband the Diversity Advisory Board and establish a new Cultural Communities Board.
D. Ralph moved to recommend to Council to adopt an ordinance as amended that
repeals existing Chapter 2.56 of the Kent City Code and enacts a new Chapter 2.56 to
create a “Cultural Communities Board.” B. Boyce seconded the motion, which passed
3-0.
7. COMPREHENSIVE PLAN/CAPITAL FACILITIES ELEMENT AMENDMENT AND
UPDATE TO KENT CITY CODE CHAPTER 12.13 SCHOOL IMPACT FEES -
RECOMMEND.
Long Range Planning Manager Charlene Anderson discussed Kent City Code authorizing
school impact fees on behalf of any school district which provides to the City a capital
facilities plan; the plan is adopted by reference as part of the Capital Facilities Element
of the Kent Comprehensive Plan. The Kent, Federal Way, Auburn and Highline School
Districts submitted the annual update to their capital facilities plans, and on October 20,
2015, the City Council held a public hearing on the plans and updated school impact
fees. Any council action on the comprehensive plan amendment pertaining to the school
district capital facilities plans and associated impact fees is taken concurrently with
adoption of the budget.
B. Boyce moved to recommend Council to adopt two ordinances updating the Capital
Facilities Element of the Kent Comprehensive Plan and Chapter 12.13 Kent City Code to
incorporate the 2015/16 - 2020/21 Capital Facilities Plans of the Kent, Federal Way,
Auburn and Highline School Districts with updated School Impact Fees. D. Ralph
seconded the motion, which passed 3-0.
8. ORDINANCE AMENDING KCC 2.34.050 REGARDING MUNICIPAL JUDGE
SALARIES – RECOMMEND.
City Attorney Tom Brubaker explained pursuant to the direction of the administrator for
the courts, as authorized by the Chief Justice of the Washington Supreme Court, the city
codifies its past practice regarding municipal judge salaries, and will affirmatively state
that the city will automatically adjust Kent Municipal Court judge salaries to reflect future
adjustments made by the Washington Citizens’ Commission of Salaries for Elected
Officials.
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Operations Committee Minutes
December 1, 2015
Page: 3
There is no budget impact, rather a change to the ordinance.
D. Ralph moved to recommend to Council to adopt an Ordinance amending Section
2.34.050 of the Kent City Code regarding municipal judge salaries and costs. B. Boyce
seconded the motion, which passed 3-0.
9. 2015-2018 AMENDMENT TO THE CITY OF KENT AND THE KENT FIRE
DEPARTMENT REGIONAL FIRE AUTHORITY INTERLOCAL AGREEMENT FOR THE
DIVISION OF SERVICES RESULTING FROM THE FORMATION OF THE KENT FIRE
DEPARTMENT REGIONAL FIRE AUTHORITY – RECOMMEND.
Chief Administrative Officer Derek Matheson provided updates and agreement
extensions between the City and RFA to the following:
Extends the agreement to December 31, 2017
Adds enhanced reporting requirements, primarily for audit purposes
Reduces facilities maintenance services and reduces the RFA's payment to the
city by $60,000
Realigns IT services and increases the RFA's payment to the City by
approximately $80,000
Adds an exhibit on CPR/first aid classes (largely to memorialize current practice)
Adjusts other payments for inflation
As the RFA matures as an organization, the City can expect it will continue to assume
more responsibility for its own IT and facilities maintenance needs.
B. Boyce moved to recommend to Council authorize the Mayor to enter into an
amended interlocal agreement with the Kent Fire Department Regional Fire Authority
subject to final terms and conditions acceptable to the Chief Administrative Officer and
City Attorney. D. Ralph seconded the motion, which passed 3-0.
10. PROPERTY TAX SUBSTANTIAL NEED ORDINANCE - RECOMMEND.
Finance Director Aaron BeMiller made a request requiring a substantial need ordinance
for the City to levy a one percent increase although the implicit price deflator is less
than one percent. By approving this ordinance, it is expected that the King County
Assessor’s Office to levy nearly $221,000.
It was noted that currently there are no final numbers from the King County Assessor’s
Office. Sometime around November 2016, adjustments will be made once the City
receives that information.
D. Ralph moved to recommend to Council adopt the substantial need ordinance for the
2016 budget. B. Boyce seconded the motion, which passed 3-0.
3
Operations Committee Minutes
December 1, 2015
Page: 4
11. PROPERTY TAX LEVY ORDINANCE – RECOMMEND.
Mr. BeMiller requested a property tax increase of 3.89 percent, which includes an
increase of one percent on property plus new construction and adjustments from the
2015 levy. The tax is for the City’s 2016 budget, to be applied to the general fund for
the purpose of paying the general expenses of municipal government.
B. Boyce moved to recommend to Council adopt the property tax levy and ordinance
for the 2016 budget as amended. D. Ralph seconded the motion, which passed 3-0.
12. ORDINANCE AMENDING THE CAPITAL FACILITIES ELEMENT OF THE
COMPREHENSIVE PLAN FOR THE 2016-2021 CAPITAL IMPROVEMENT PLAN –
RECOMMEND.
Mr. BeMiller’s next request is to assure that the comprehensive plan remains relevant and
up-to-date per procedures established in KCC 12.02. The Capital Facilities Element of the
Comprehensive Plan is amended concurrently with the adoption or amendment of the
City’s budget to reflect the updated 2016-2021 Capital Improvement Plan. The 2016-2021
Capital Improvement Plan identifies a six-year plan for capital improvement projects,
including costs and revenue sources.
D. Ralph moved to recommend to Council adopt the ordinance amending the Capital
Facilities Element of the Comprehensive Plan for the 2016-2021 Capital Improvement
Plan. B. Boyce seconded the motion, which passed 3-0.
13. 2015-2016 MID-BIENNIAL BUDGET MODIFICATION ORDINANCE –
RECOMMEND.
Mr. BeMiller explained that the City has completed a mid-biennial review of the 2016
budget and identified modifications to the budget. The budget adjustment totals
$19,654,720 and is outlined by fund in Exhibit “A.”
Consistent with the Mayor Cooke’s proposal, the adjustments include a change for 2016 in
the distribution of internal utility tax dollars previously allocated as 50 percent IT and 50
percent Streets capital funding. For the 2016 adjustment, the allocation is changed to:
50 percent IT capital
25 percent Parks for Morrill Meadows/YCMA
25 percent Place Making for Meeker Street.
He further explained, the 2016 adjustment eliminates the use of banked property tax
capacity and instead balances the General Fund by:
Increasing the General Fund sales tax budget by $430,000
A one-time reallocation of $432,970 of sales tax revenues from the Capital
Improvement Fund.
B. Boyce moved to recommend to Council adopt the ordinance approving the 2015-
2016 Mid-Biennium Budget Adjustment Ordinance. D. Ralph seconded the motion,
which passed 3-0.
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Operations Committee Minutes
December 1, 2015
Page: 5
14. CONSOLIDATING BUDGET ADJUSTMENT ORDINANCE FOR ADJUSTMENTS
BETWEEN OCTOBER 1, 2015, AND DECEMBER 31, 2015 – RECOMMEND.
Assistant Finance Director Barbara Lopez requested authorization to approve the
technical gross budget adjustment ordinance reflecting an overall budget increase of
$2,481,824.
An overall increase of $1,913,924 was previously approved by Council, returning
business and occupation (B&O) tax dollars borrowed for the 256th Street project. With
this transfer, the full $2 million of B&O funding has been returned.
The remaining amount not yet approved by Council is an overall increase of $567,900,
including:
$250,000 for additional LEOFF 1 retiree claims
$54,000 for Kent Arts DIY
$263,900 for IT Services billed to outside agencies and offset by revenues
received from those agencies.
D. Ralph moved to recommend to Council adopt the ordinance amending the Capital
Facilities Element of the Comprehensive Plan for the 2016-2021 Capital Improvement
Plan. B. Boyce seconded the motion, which passed 3-0.
15. OCTOBER FINANCIAL REPORT.
Mr. BeMiller provided some highlights that include:
$1.1 million for the transfer of excess B&O into the CIP fund which slightly
changes numbers to end the year with an estimated fund balance of $15 million;
from the general fund reserves after taking out the $1.1 million for contingency,
the strategic opportunities and the amount that is restricted for annexation will
leave about $11.5 million or 13.5 percent of actual expenditures
there is a reporting change to the general fund overview of revenues section that
moves streamlined sales tax mitigation dollars out of the sales tax line and
moved to the intergovernmental revenue line which is the appropriate accounting
practice.
other funds overview of revenue and expenditures section shows LEOFF 1over
budget expenses but will be fixed in the fourth quarter supplemental
there has been an adjustment to the original $188,500 in the Lodging tax but in
a supplemental $150,000 was added for an overall $338,500.
The meeting was adjourned at 4:57 p.m. by Les Thomas.
J. Hays
Jennifer Hays
Operations Committee Secretary
5
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6
PARKS, RECREATION AND COMMUNITY SERVICES
Jeff Watling, Director
Phone: 253-856-5100
Fax: 253-856-6050
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
TO: Operations Committee
DATE: January 5, 2015
FROM: Jeff Watling, Director of Parks, Recreation and Community Services
SUBJECT: Riverbend Restaurant Update
MOTION: Informational only.
SUMMARY: Jeff Watling and Arnold Shain, Consultant with Restaurant Group Inc.,
will provide an update on the recruitment and selection process that has been
underway for a new restaurant tenant at the Riverbend Golf Complex. Through the
selection process a preferred candidate has been identified. Jeff will provide an
update to the Committee on the Lease Agreement negotiation process that is
currently underway. It is anticipated that a final Lease Agreement will be coming to
the Operations Committee for consideration/recommendation at the January 19 or
February 2 meeting.
EXHIBITS:
BUDGET IMPACT:
7
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8
2015
Budget
2015
YTD
2015
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
Revenues 86,360,018 82,591,942 89,895,600 3,535,582 4.1%
Expenditures 87,228,127 76,662,389 86,912,761 315,366 0.4%
Net Revenues Less Expenditures (868,109) 5,929,553 2,982,839 3,850,948
Beginning Fund Balance 11,312,140 11,312,140 11,312,140
Ending Fund Balance 10,444,031 17,241,693 14,294,979
Ending Fund Balance Detail:
General Fund Reserves 7,307,931 10,879,979
8.4%12.5%
Contingency for Unanticipated Costs 1,500,000 1,500,000
Strategic Opportunities Fund 425,000 425,000
Restricted for Annexation 1,211,100 1,490,000
Revenue Overview
Expenditures Overview
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund Overview
Summary
Analysis through November show both revenues and expenditures ending the year favorable compared to budget,
resulting in an overall favorable variance amount of over $3.8m. The current estimated ending fund balance reserves
for 2015 calculates to 12.5% of estimated 2015 expenses and 12.4% of the 2016 proposed general fund expense of
$87,552,060.
Revenues are trending to end the year at $3.5m or 4.1% higher than budgeted. Most of the City's major revenue
sources show favorable variances compared to budget, including sales tax ($1.5m). This is offset by unfavorable
variances compared to budget for other taxes ($96k).
Most departments are remaining fairly close to budget. The four departments experiencing the greatest favorable
variances as a result of vacancies or underspending other line items are Human Resources, City Council, Economic &
Community Development, and Public Works.
9
Revenue Categories 2015
Budget
2015
YTD
2015
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
Taxes:
Property 21,807,268 21,851,719 22,034,900 227,632 1.0%
Sales Tax 17,003,978 16,838,461 18,536,500 1,532,522 9.0%
Utility 19,452,335 18,444,152 19,874,400 422,065 2.2%
Business and Occupation Tax 6,572,190 5,468,822 6,876,100 303,910 4.6%
Other 1,083,014 706,362 986,500 (96,514)-8.9%
Licenses and Permits 3,894,278 3,858,067 4,159,200 264,922 6.8%
Intergovernmental Revenue 7,431,869 6,079,506 7,665,000 233,131 3.1%
Charges for Services 5,342,632 5,426,834 5,747,200 404,568 7.6%
Fines and Forfeitures 1,565,961 1,578,267 1,466,800 (99,161)-6.3%
Miscellaneous Revenue 1,285,374 1,561,712 1,628,000 342,626 26.7%
Transfers In 921,119 778,039 921,120 1 0.0%
Total Revenues 86,360,018 82,591,942 89,895,720 3,535,702 4.1%
Variance Notes
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund Overview - Revenues
Sales Tax: Continues a steady positive trend again this year. Year-end projection is expected to exceed budget
by over $1.53m, which equates to 9.0%.
Other Taxes: Estimated reduction of $96,000 due to the closure of a casino in the first quarter of this year.
Miscellaneous Revenue: Continues a steady positive trend again this year. Year-end projection is expected to
exceed budget by $342,000, which equates to 26.7%. Major positive contributors include interest income
($100k) and school resource officer revenues ($140k).
Variance analysis for revenues is provided for particular line items or those in which the estimated actual
amount differs from the budgeted amount by at least 10% or minimum of $500,000.
10
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 4,806 4,608 5,234
February 4,758 5,055 4,537
March 6,340 6,866 6,375
April 11,990 13,937 15,434
May 7,286 7,157 6,025
June 5,755 5,934 5,793
July 4,853 4,821 6,619
August 4,375 4,349 4,702
September 5,753 6,198 6,462
October 13,369 14,412 15,775
November 4,800 6,177 5,636
December 6,824 6,845 0
Total 80,911 86,360 82,592
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 1 0 0
February 153 162 167
March 872 607 718
April 7,185 8,143 8,857
May 2,408 2,142 1,667
June 200 109 110
July 61 44 25
August 70 92 87
September 429 421 573
October 8,124 8,083 8,564
November 978 1,823 1,084
December 217 181 0
Total 20,696 21,807 21,852
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 1,273 1,260 1,435
February 1,666 1,668 1,817
March 1,250 1,172 1,414
April 1,191 1,179 1,408
May 1,449 1,402 1,493
June 1,400 1,228 1,333
July 1,449 1,359 1,456
August 1,615 1,474 1,681
September 1,509 1,458 1,605
October 1,474 1,451 1,478
November 1,648 1,581 1,718
December 1,838 1,771 0
Total 17,762 17,004 16,838
Sales Tax
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund Revenues ($ in Thousands)
All Revenues Sources
Property Tax
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
$90,000
$100,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15 Bud 14 Act 15 Act
$0
$5,000
$10,000
$15,000
$20,000
$25,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15 Bud 14 Act 15 Act
$0
$5,000
$10,000
$15,000
$20,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15 Bud 14 Act 15 Act
11
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund Revenues ($ in Thousands)
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 2,078 2,059 2,343
February 1,709 1,648 1,578
March 1,608 1,595 1,560
April 1,934 1,954 1,909
May 1,464 1,486 1,459
June 1,264 1,406 1,393
July 1,826 1,776 1,886
August 1,371 1,350 1,513
September 1,292 1,560 1,518
October 1,779 1,596 1,834
November 1,326 1,403 1,451
December 1,585 1,620 0
Total 19,237 19,452 18,444
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 2 99 11
February 20 0 18
March 66 210 103
April 462 1,816 1,784
May 55 549 77
June 36 220 52
July 133 924 1,790
August 58 401 115
September 26 212 77
October 120 821 1,893
November 53 417 254
December 379 1,986 0
Total 1,410 7,655 6,175
Prior Year
Revenues
Planned
Revenues
Actual
Revenues
January 1,452 1,652 1,444
February 1,210 1,217 957
March 2,543 1,586 2,579
April 1,218 1,508 1,477
May 1,911 2,049 1,329
June 2,855 2,049 2,905
July 1,385 1,677 1,461
August 1,261 1,529 1,305
September 2,496 1,591 2,690
October 1,872 2,066 2,006
November 795 1,132 1,129
December 2,805 2,386 0
Total 21,805 20,441 19,282
Utility Tax
Other Taxes
Other Revenues
(Intergovernmental, Licenses & Permits, Charges for Service, Fines & Forfeits, and Misc Revenues)
$0
$5,000
$10,000
$15,000
$20,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
15 Bud 14 Act 15 Act
$0
$2,000
$4,000
$6,000
$8,000
$10,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15 Bud 14 Act 15 Act
$0
$5,000
$10,000
$15,000
$20,000
$25,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15 Bud 14 Act 15 Act
12
Department 2015
Budget
2015
YTD
2015
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
City Council 353,001 274,481 296,300 56,701 16.1%
Mayor's Office/City Clerk 2,318,617 1,910,562 2,225,100 93,517 4.0%
Economic & Community Dev 5,872,056 4,751,730 5,308,700 563,356 9.6%
Finance 2,638,487 2,176,131 2,458,400 180,087 6.8%
Fire Contracted Services 3,454,298 3,196,469 3,560,500 (106,202)-3.1%
Human Resources 1,606,838 929,690 1,089,100 517,738 32.2%
Information Technology 467,705 413,181 453,500 14,205 3.0%
Law 1,262,302 1,091,063 1,242,900 19,402 1.5%
Municipal Court 3,020,623 2,731,888 2,980,240 40,383 1.3%
Parks, Recreation & Comm Svcs 16,224,254 14,145,761 15,851,740 372,514 2.3%
Police 33,104,095 30,441,220 33,087,100 16,995 0.1%
Public Works 5,526,170 4,437,819 4,979,500 546,670 9.9%
Non-Departmental 11,379,681 10,162,394 13,379,681 (2,000,000) -17.6%
Total Expenditures 87,228,127 76,662,389 86,912,761 315,366 0.4%
Variance Notes
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund Overview - Expenditures
City Council: The favorable variance of 16.1% is primarily based on professional services expense trends
averaging $40k below budget.
Variance analysis for expenditures is provided for particular departments or those in which the estimated actual
amount differs from the budgeted amount by at least 10% or a minimum of $500,000.
Economic & Community Dev: The favorable variance of $563,000 is primarily due to vacancies ($320k) and
expenses for professional services trending ($230k) below budget.
Human Resources: The favorable variance of $517,000 is primarily due to vacancies ($210k) and a decrease
to other professional services ($220k).
Public Works: The favorable variance of $546,000 is primarily due to vacancies ($450k) as well as for other
operating line items ($100k) below budget.
Parks, Recreation & Comm Svcs: The favorable variance of $372,000 is primarily due to a decrease to other
professional services ($140k) as well as other operating line items ($180k).
Non-Departmental: Includes planned transfers of one time monies out of the general fund.
13
2013 2014 2015 2015 2015
Actual Actual Adj Budget YTD Est Actual
Beginning Fund Balance 4,129,976 7,471,860 *11,312,140 11,312,140 11,312,140
Revenues
Taxes:
Property 20,125,761 20,696,272 21,807,268 21,851,719 22,034,900
Sales Tax 15,787,973 17,761,585 17,003,978 16,838,461 18,536,500
Utility 19,119,138 19,237,242 19,452,335 18,444,152 19,874,400
Business and Occupation Tax 299,907 303,600 6,572,190 5,468,822 6,876,100
Other 1,101,844 1,106,821 1,083,014 706,362 986,500
Licenses and Permits 3,688,807 4,357,060 3,894,278 3,858,067 4,159,200
Intergovernmental Revenue 7,462,288 7,515,935 7,431,869 6,079,506 7,665,000
Charges for Services 5,125,968 6,182,649 5,342,632 5,426,834 5,747,200
Fines and Forfeitures 1,493,381 1,284,798 1,565,961 1,578,267 1,466,800
Miscellaneous Revenue 1,300,392 1,533,392 1,285,374 1,561,712 1,628,000
Transfers In 1,036,877 931,217 921,119 778,039 921,000
Total Revenues 76,542,336 80,910,572 86,360,018 82,591,942 89,895,600
Expenditures
City Council 290,156 293,125 353,001 274,481 296,300
Mayor's Office/City Clerk 2,252,478 1,927,073 2,318,617 1,910,562 2,225,100
Economic & Community Dev 5,132,560 5,251,662 5,872,056 4,751,730 5,308,700
Finance 2,066,623 2,363,613 2,638,487 2,176,131 2,458,400
Fire Contracted Services 3,365,890 3,422,675 3,454,298 3,196,469 3,560,500
Human Resources 1,063,471 1,167,331 1,606,838 929,690 1,089,100
Information Technology 253,021 349,002 467,705 413,181 453,500
Law 935,778 1,003,202 1,262,302 1,091,063 1,242,900
Municipal Court 2,781,005 2,849,954 3,020,623 2,731,888 2,980,240
Parks, Recreation & Comm Svcs 14,168,549 14,854,585 16,224,254 14,145,761 15,851,740
Police 30,353,335 31,263,200 33,104,095 30,441,220 33,087,100
Public Works 4,753,472 4,929,327 5,526,170 4,437,819 4,979,500
Non-Departmental 3,758,009 7,395,544 11,379,681 10,162,394 13,379,681
Total Expenditures 71,174,348 77,070,292 87,228,127 76,662,389 86,912,761
Net Revenues less Expenditures 5,367,988 3,840,280 (868,109)2,982,839
Ending Fund Balance 9,497,964 11,312,140 10,444,031 14,294,979
Ending Fund Balance Detail:
General Fund Reserves 6,145,764 7,734,940 7,307,931 10,879,979
8.6% 10.0%8.4%12.5%
Contingency for Unanticipated Costs 1,500,000 1,500,000 1,500,000 1,500,000
Strategic Opportunities Fund 425,000 425,000 425,000
Restricted for Annexation 1,852,200 1,652,200 1,211,100 1,490,000
* 2014 beginning fund balance reduced by $2,026,000 to reflect the prior period adjustment required to properly
record the repayment owed to the Utility Funds.
November 2015 Monthly Financial Report
City of Kent, Washington
General Fund
14
2013 2014 2015
thru Nov thru Nov thru Nov
Revenues
Taxes:
Property 19,971,491 20,479,673 21,851,719 1,372,046 6.7%
Sales Tax 14,276,023 15,924,025 16,838,461 914,437 5.7%
Utility 17,601,433 17,651,871 18,444,152 792,282 4.5%
Business and Occupation Tax 300,000 303,600 5,468,822 5,165,222 1701.3%
Other 806,473 727,366 706,362 (21,004) -2.9%
Licenses and Permits 3,514,815 4,043,320 3,858,067 (185,253) -4.6%
Intergovernmental Revenue 5,779,056 5,930,974 6,079,506 148,532 2.5%
Charges for Services 4,735,490 5,691,721 5,426,834 (264,887) -4.7%
Fines and Forfeitures 1,389,718 1,291,214 1,578,267 287,052 22.2%
Miscellaneous Revenue 1,299,967 1,342,610 1,561,712 219,102 16.3%
Transfers In 762,522 700,000 778,039 78,039 11.1%
Total Revenues 70,436,987 74,086,373 82,591,942 8,505,568 11.5%
Expenditures
City Council 266,983 256,914 274,481 17,568 6.8%
Mayor's Office/City Clerk 1,955,610 1,686,416 1,910,562 224,146 13.3%
Economic & Community Dev 4,610,144 4,800,670 4,751,730 (48,941) -1.0%
Finance 1,850,358 2,126,340 2,176,131 49,791 2.3%
Fire Contracted Services 2,990,865 3,036,613 3,196,469 159,856 5.3%
Human Resources 940,744 1,071,010 929,690 (141,320) -13.2%
Information Technology 230,899 318,597 413,181 94,584 29.7%
Law 853,523 832,026 1,091,063 259,037 31.1%
Municipal Court 2,505,229 2,570,326 2,731,888 161,561 6.3%
Parks, Recreation & Comm Svcs 12,682,817 13,183,870 14,145,761 961,891 7.3%
Police 27,343,331 28,966,020 30,441,220 1,475,199 5.1%
Public Works 4,151,660 4,451,034 4,437,819 (13,215) -0.3%
Non-Departmental 3,081,695 3,240,229 10,162,394 6,922,165 213.6%
Total Expenditures 63,463,857 66,540,066 76,662,389 10,122,323 15.2%
The large 2014-15 variance in Business & Occupation Tax revenues is due to an accounting change.
All B&O revenues will be booked into the General Fund and then transferred to cover expenditures per
ordinance, which will simplify overall B&O reporting.
General Fund
2014-15
Variance
November 2015 Monthly Financial Report
City of Kent, Washington
Year-to-Year Month Comparison
15
2013 2014 2015 2015 2015
Actual Actual Budget YTD Est Actual
Operating revenues and expenditures only, capital is excluded.
In instances where expenditures exceed revenues, fund balance is being utilized.
Street Operations
Revenues 9,593,607 9,678,827 9,717,034 9,408,318 10,073,530
Expenditures 9,163,761 9,451,094 7,806,734 6,028,874 7,776,870
Net Revenues Less Expenditures 429,846 227,732 1,910,300 3,379,444 2,296,660
2015: Added 10.6% solid waste utility tax (+ $2.5m); consolidated B&O in General Fund (- $4.7m)
Estimated actual revenues include $2.27m street operating revenues returned from LID funded projects
LEOFF 1 Retiree Benefits
Revenues 945,258 1,055,840 1,085,460 959,866 1,082,000
Expenditures 782,543 887,036 1,335,460 1,162,213 1,267,870
Net Revenues Less Expenditures 162,715 168,803 (250,000)(202,347)(185,870)
Lodging Tax
Revenues 217,703 249,581 208,145 256,032 279,310
Expenditures 119,436 71,441 338,500 121,381 127,230
Net Revenues Less Expenditures 98,266 178,140 (130,355)134,652 152,080
Youth/Teen Programs
Revenues 894,305 888,250 907,028 837,743 913,900
Expenditures 823,426 898,524 932,000 776,587 913,260
Net Revenues Less Expenditures 70,879 (10,274)(24,972)61,156 640
Capital Resources
Revenues 14,223,132 16,082,908 14,699,231 15,759,170 17,191,820
Expenditures 10,567,405 11,955,720 11,144,332 3,119,775 11,037,190
Net Revenues Less Expenditures 3,655,727 4,127,188 3,554,899 12,639,395 6,154,630
Criminal Justice
Revenues 2,270,987 2,384,593 2,317,405 2,472,810 2,697,610
Expenditures 1,863,620 2,458,933 2,600,826 1,995,983 2,189,750
Net Revenues Less Expenditures 407,367 (74,340)(283,421)476,827 507,860
ShoWare Operating
Revenues 751,405 3,456,124 959,325 699,291 762,860
Expenditures 471,684 980,046 528,003 487,495 523,810
Net Revenues Less Expenditures 279,721 2,476,077 431,322 211,796 239,050
2015: Estimated actual revenues include $258k of admissions tax and $500k subsidy from the General Fund
to cover estimated expenditures.
Water Utility
Revenues 19,332,623 20,948,199 18,827,192 18,881,739 21,000,870
Expenditures 17,018,210 15,890,786 18,932,058 15,324,516 18,117,650
Net Revenues Less Expenditures 2,314,413 5,057,413 (104,866)3,557,223 2,883,220
Sewer/Drainage Utility
Revenues 44,310,390 46,608,123 45,479,299 44,669,710 47,330,590
Expenditures 45,704,519 43,535,541 47,432,885 43,660,353 45,629,470
Net Revenues Less Expenditures (1,394,129)3,072,581 (1,953,586)1,009,356 1,701,120
Special Revenue Funds
Enterprise Funds
November 2015 Monthly Financial Report
Other Funds Overview (Revenues and Expenditures)
City of Kent, Washington
16
2013 2014 2015 2015 2015
Actual Actual Budget YTD Est Actual
Operating revenues and expenditures only, capital is excluded.
In instances where expenditures exceed revenues, fund balance is being utilized.
November 2015 Monthly Financial Report
Other Funds Overview (Revenues and Expenditures)
City of Kent, Washington
Golf Complex
Revenues 2,409,232 2,453,544 2,673,936 2,509,231 2,550,000
Expenditures 2,668,103 2,657,222 3,044,022 2,616,271 2,860,000
Net Revenues Less Expenditures (258,871)(203,678)(370,086)(107,041)(310,000)
Fleet Services
Revenues 3,973,663 4,446,115 4,448,514 4,184,284 4,564,670
Expenditures 3,395,723 3,955,111 5,107,202 2,890,862 3,653,670
Net Revenues Less Expenditures 577,940 491,003 (658,688)1,293,422 911,000
Central Services
Revenues 422,740 356,338 422,324 343,825 375,080
Expenditures 341,578 336,633 401,744 334,910 365,360
Net Revenues Less Expenditures 81,162 19,704 20,580 8,915 9,720
Information Technology
Revenues 6,337,175 6,878,827 7,015,985 6,497,686 7,088,380
Expenditures 5,792,205 6,130,328 7,402,896 6,249,651 6,817,800
Net Revenues Less Expenditures 544,970 748,499 (386,911)248,035 270,580
Facilities
Revenues 4,905,684 5,096,650 5,295,397 4,900,379 5,345,860
Expenditures 4,586,962 4,673,883 5,910,632 5,049,279 5,508,300
Net Revenues Less Expenditures 318,722 422,768 (615,235)(148,900)(162,440)
Unemployment
Revenues 378,487 380,356 402,724 366,045 398,690
Expenditures 186,813 112,106 401,396 95,900 98,890
Net Revenues Less Expenditures 191,674 268,250 1,328 270,145 299,800
Workers Compensation
Revenues 1,508,564 1,506,197 1,023,800 1,010,993 1,102,900
Expenditures 821,107 726,688 1,494,351 1,320,569 1,440,620
Net Revenues Less Expenditures 687,457 779,509 (470,551)(309,576)(337,720)
2015: Revenues reflect 2015-16 rate reduction, with GF savings going to the CR Fund to reduce the deficit.
Employee Health & Wellness
Revenues 10,950,327 9,626,446 10,279,224 9,596,423 10,468,820
Expenditures 9,796,568 9,809,909 11,453,024 9,726,849 11,172,650
Net Revenues Less Expenditures 1,153,759 (183,463)(1,173,800)(130,426)(703,830)
Liability Insurance
Revenues 2,346,418 543,969 1,136,000 1,041,059 1,135,700
Expenditures 1,030,374 1,543,321 1,888,265 1,806,999 1,874,900
Net Revenues Less Expenditures 1,316,043 (999,353)(752,265)(765,939)(739,200)
2014: Revenues reflect a one-time adjustment to reduce cash reserves.
2015: Revenues reflect 2015-16 rate reduction, with GF savings going to the CR Fund to reduce the deficit.
Property Insurance
Revenues 562,508 568,107 582,900 534,361 582,950
Expenditures 526,864 508,423 577,729 697,802 526,170
Net Revenues Less Expenditures 35,644 59,684 5,171 (163,441)56,780
Internal Service Funds
17
2013 2014 2015
thru Nov thru Nov thru Nov
Operating revenues and expenditures only, capital is excluded.
Street Operations
Revenues 7,802,570 8,406,897 9,408,318 1,001,421 11.9%
Expenditures 5,378,964 7,921,866 6,028,874 (1,892,992)-23.9%
Net Revenues Less Expenditures 2,423,606 485,031 3,379,444
LEOFF 1 Retiree Benefits
Revenues 933,667 680,187 959,866 279,680 41.1%
Expenditures 672,626 780,620 1,162,213 381,593 48.9%
Net Revenues Less Expenditures 261,042 (100,433)(202,347)
Expenditures: Claims nearly $360k higher through November
Lodging Tax
Revenues 198,773 226,981 256,032 29,051 12.8%
Expenditures 123,500 71,341 121,381 50,040 70.1%
Net Revenues Less Expenditures 75,273 155,640 134,652
Expenditures: 2013 includes $40k for South Sound Visitors Service and $35k for Love on Ice commercial
Youth/Teen Programs
Revenues 817,994 804,770 837,743 32,973 4.1%
Expenditures 637,522 700,000 776,587 76,587 10.9%
Net Revenues Less Expenditures 180,472 104,770 61,156
Capital Resources
Revenues 12,677,363 13,092,140 15,759,170 2,667,030 20.4%
Expenditures 3,865,786 3,913,174 3,119,775 (793,399)-20.3%
Net Revenues Less Expenditures 8,811,577 9,178,965 12,639,395
Revenues: REET $3.3m higher than 2014 including $900k in State REET; Sales Tax $330k higher than 2014
Criminal Justice
Revenues 2,064,816 2,187,270 2,472,810 285,540 13.1%
Expenditures 1,715,774 2,247,936 1,995,983 (251,953)-11.2%
Net Revenues Less Expenditures 349,041 (60,666)476,827
ShoWare Operating
Revenues 629,241 139,171 699,291 560,120 402.5%
Expenditures 355,059 942,309 487,495 (454,814)-48.3%
Net Revenues Less Expenditures 274,182 (803,138)211,796
Water Utility
Revenues 17,427,790 18,802,893 18,881,739 78,846 0.4%
Expenditures 15,636,727 16,264,813 15,324,516 (940,297)-5.8%
Net Revenues Less Expenditures 1,791,063 2,538,080 3,557,223
Sewer/Drainage Utility
Revenues 39,529,849 45,350,757 44,669,710 (681,047)-1.5%
Expenditures 39,581,554 38,874,227 43,660,353 4,786,126 12.3%
Net Revenues Less Expenditures (51,705)6,476,530 1,009,356
Golf Complex
Revenues 2,288,913 2,324,001 2,509,231 185,230 8.0%
Expenditures 2,549,790 2,500,488 2,616,271 115,784 4.6%
Net Revenues Less Expenditures (260,877)(176,487)(107,041)
2014-15
Variance
Year-to-Year Month Comparison
November 2015 Monthly Financial Report
City of Kent, Washington
Other Funds Overview (Revenues and Expenditures)
Special Revenue Funds
Enterprise Funds
18
2013 2014 2015
thru Nov thru Nov thru Nov
Operating revenues and expenditures only, capital is excluded.
2014-15
Variance
Year-to-Year Month Comparison
November 2015 Monthly Financial Report
City of Kent, Washington
Other Funds Overview (Revenues and Expenditures)
Fleet Services
Revenues 3,692,975 4,040,151 4,184,284 144,133 3.6%
Expenditures 3,092,837 3,106,952 2,890,862 (216,090)-7.0%
Net Revenues Less Expenditures 600,138 933,199 1,293,422
Central Services
Revenues 392,111 324,071 343,825 19,754 6.1%
Expenditures 309,676 290,250 334,910 44,660 15.4%
Net Revenues Less Expenditures 82,435 33,821 8,915
Information Technology
Revenues 5,539,687 6,260,656 6,497,686 237,030 3.8%
Expenditures 5,298,105 5,680,868 6,249,651 568,784 10.0%
Net Revenues Less Expenditures 241,582 579,789 248,035
Facilities
Revenues 4,496,483 4,671,894 4,900,379 228,485 4.9%
Expenditures 4,021,933 4,232,932 5,049,279 816,347 19.3%
Net Revenues Less Expenditures 474,550 438,962 (148,900)
Unemployment
Revenues 346,849 347,474 366,045 18,571 5.3%
Expenditures 148,378 109,570 95,900 (13,670)-12.5%
Net Revenues Less Expenditures 198,472 237,904 270,145
Workers Compensation
Revenues 1,387,480 1,383,114 1,010,993 (372,121)-26.9%
Expenditures 754,159 662,119 1,320,569 658,450 99.4%
Net Revenues Less Expenditures 633,321 720,995 (309,576)
Employee Health & Wellness
Revenues 10,061,862 9,103,383 9,596,423 493,040 5.4%
Expenditures 8,929,039 8,661,269 9,726,849 1,065,579 12.3%
Net Revenues Less Expenditures 1,132,823 442,114 (130,426)
Liability Insurance
Revenues 2,150,872 1,827,870 1,041,059 (786,811)-43.0%
Expenditures 1,355,464 1,125,032 1,806,999 681,966 60.6%
Net Revenues Less Expenditures 795,408 702,838 (765,939)
Property Insurance
Revenues 515,636 520,767 534,361 13,594 2.6%
Expenditures 775,771 750,515 697,802 (52,713)-7.0%
Net Revenues Less Expenditures (260,134)(229,748)(163,441)
Internal Service Funds
19
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Kent Council Operations Committee Consolidating Budget Adjustment
FINANCE
Aaron BeMiller, Director
Phone: 253-856-5260
Fax: 253-856-6255
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: January 5, 2016
TO: Kent City Council Operations Committee
FROM: Aaron BeMiller, Finance Director
SUBJECT: Director’s Report
MOTION: No motion: Non-action item
SUMMARY: The Finance Director will report out financial or operational item(s).
BUDGET IMPACT:
BACKGROUND:
21