HomeMy WebLinkAboutCity Council Committees - Operations Committee - 11/01/2016 (2)Operations Committee Agenda
Councilmembers: Bill Boyce – Les Thomas – Dana Ralph, Chair
November 1, 2016
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 10/01/2016 thru 10/15/2016
YES Chair Ralph 2
5. Approval of Meeting Minutes Dated
October 18, 2016
YES Chair Ralph 2 1
6. Public Facilities Board Reappointment -
Recommend
YES Ben Wolters 5 3
7. Ordinance Amending KCC 5.01 General
Business Licenses - Recommend
YES Barbara Lopez 10 5
8. Third Quarter Supplement Budget
Adjustment Ordinance - Recommend
YES Barbara Lopez 5 17
9. September Financial Report –
Information Only
NO Aaron BeMiller 5 23
This page intentionally left blank
OPERATIONS COMMITTEE MINUTES
October 18, 2016
Committee Members Present: Chair Dana Ralph, Bill Boyce, and Les Thomas.
The meeting was called to order by Dana Ralph at 4:01 p.m.
1. ROLL CALL.
2. CHANGES TO THE AGENDA.
There were no changes to the agenda.
3. APPROVAL OF THE CHECK SUMMARY REPORT DATED 9/16/2016 THRU
9/30/2016.
L. Thomas moved to approve the check summary report dated 9/16/2016 thru
9/30/2016. B. Boyce seconded the motion, which passed 3-0.
4. APPROVAL OF MINUTES DATED OCTOBER 4, 2016.
B. Boyce moved to approve the Operations Committee minutes dated October 4, 2016. L.
Thomas seconded the motion, which passed 3-0.
5. 2017 STATE LEGISLATIVE AGENDA - RECOMMEND.
Community and Public Affairs Manager Michelle Wilmot and Legislative Lobbyist Doug Levy
asked members to move forward the City’s legislative agenda. Kent partners with the
State in the delivery of critical services such as criminal justice, community and human
services, flood protection and other services.
High-profile priorities discussed for 2017 include:
The protection of Streamlined Sales Tax payments and other state-shared
revenues, with a combined annual impact of approximately $10 million.
Providing needed infrastructure improvements necessary to help secure a YMCA on
Kent’s East Hill.
Retaining the jobs and economic benefits derived by the presence of the corporate
headquarters of Blue Origin.
L. Thomas moved to recommend Council to adopt the City of Kent’s 2017 State
Legislative Agenda. B. Boyce seconded the motion, which passed 3-0.
6. 3RD QUARTER PROCUREMENT REPORT – INFORMATION ONLY.
Chief Administrative Officer (CAO) Derek Matheson reported on the third quarter
procurement report; there were no significant highlights discussed.
7. AUGUST FINANCIAL REPORT – INFORMATION ONLY.
Finance Director Aaron BeMiller reported overall the City is in line with what was reported
for the July report. Analysis through August show both revenues and expenditures ending
1
Operations Committee Minutes
October 4, 2016
Page: 2
the year favorable compared to budget, creating an overall positive variance amount of
$3.2 million. The current estimated ending fund balance reserves for 2016 calculates to
15.9 percent of estimated 2016 expenses. The following highlights were reported:
Revenues are estimated to end the year at nearly $4.1 million or 4.6 percent higher than
budgeted. Most of the City's major revenue sources show positive variances compared to
budget, including sales tax ($695,000), licenses and permits ($507,000),
intergovernmental revenue ($518,000) and B&O ($1.6 million). This is offset by
unfavorable variances compared to budget for other taxes ($150,000) and fines and
forfeitures ($44,000).
Through August, all departments are remaining fairly close to budget.
8. DIRECTOR’S REPORT – INFORMATION ONLY.
Mr. BeMiller and Accounting and Reporting Manager Lavina Brennecke discussed a couple
of topics:
Ms. Brennecke provided an update to the Department of Revenue’s excise tax
audit, in which the City files excise tax returns monthly. The audit findings were
extremely positive, so positive the City is getting a credit from the State for over
paying taxes in a higher tax bracket. The second part of the audit is in regards to
sales and use tax on goods purchased. With the trust of the State, Kent was
allowed to do a managed audit. Out of 450 items from 2012 – 2014, there was only
one error found.
Mr. BeMiller discussed the investment policy. The City is moving forward with hiring
PFM Asset Management who will take over the management of city investments.
PFM has already substantially added to the current investment policy keeping within
the robust changes to state law to what public entities can invest in. Later this year,
PFM’s Asset Management Liaison will present to committee members about who
they are and what they do. Later, the new investment policy will be forwarded to
the Washington Public Treasurer Association for review and certification.
The meeting was adjourned at 4:50 p.m. by D. Ralph.
J. Hays
Jennifer Hays
Operations Committee Secretary
2
ECONOMIC and COMMUNITY DEVELOPMENT
Ben Wolters, Director
Phone: 253-856-5454
Fax: 253-856-6454
220 Fourth Avenue S.
Kent, WA 98032-5895
November 1, 2016
TO: Chair Dana Ralph and Operations Committee
FROM: Ben Wolters, Economic & Community Development Director
RE: 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).
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.
Jeff Piecewicz’s original appointment was for a four-year term and expired on August 31,
2016. This motion is to reappoint Jeff for an additional four-year term of September 1,
2016 – August 31, 2020.
BUDGET IMPACT: None
MOTION: Recommend the City Council reappoint Jeff Piecewicz to
Position No. 1 of the Public Facilities District Board for a four-year term of
September 1, 2016 – August 31, 2020.
3
This page intentionally left blank
4
FINANCE
Aaron BeMiller Director
Phone: 253-856-5260
Fax: 253-856-6255
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: November 1, 2016
TO: Kent City Council Operations Committee
FROM: Barbara Lopez, Deputy Finance Director
SUBJECT: Ordinance Amending KCC 5.01 – General Business Licenses and
KCC 5.14 – Rental Housing Safety
SUMMARY: Over the past few weeks, Finance staff has been working with
Law on amendments to KCC 5.01 and 5.14, clarifying annual business re-
licensing requirements and establish more effective enforcement options.
Highlights of the proposed amendments outlined below.
Re-Licensing Requirements
The proposed amendment clarifies that:
1. A business license expires at the end of the calendar year for which it
was issued.
2. Ongoing businesses are required to obtain a new business license by
January 1st of each subsequent calendar year.
Enforcement Options:
The proposed amendment eliminates the current $50 penalty, which has not
been effective in ensuring compliance. The monetary penalty is replaced by
the following options:
• Civil Infraction
• Civil Code Enforcement
• Criminal Violation
• Injunction
These are not meant to be linear steps, but are options that can be utilized
based on the circumstances.
BUDGET IMPACT: None.
MOTION: Recommend Council adopt the ordinance amending Chapter
5.01 of the Kent City Code, entitled “General Business Licenses,” and
Chapter 5.14 of the Kent City Code, entitled “Rental Housing Safety,” to
clarify annual business licensing requirements and provide enforcement
options to encourage compliance.
5
This page intentionally left blank
6
ORDINANCE NO.
AN ORDINANCE of the City Council of the
City of Kent, Washington, amending various
sections within Chapters 5.01 and 5.14 of the Kent
City Code entitled General Business Licenses, to
clarify annual business licensing requirements and
provide enhanced enforcement options to
encourage compliance.
RECITALS
A. Chapter 5.01 Kent City Code establishes business licensing
requirements for all business enterprises conducting business within the
city.
B. While the City strives for equity in enforcement of the
established business licensing requirements, Chapter 5.01 Kent City Code
currently does not provide effective enforcement options to encourage
compliance with the requirements.
C. Clearly stated licensing requirements and effective
enforcement options are necessary to ensure that each business enterprise
doing business within the City is appropriately licensed for those activities.
D. Several provisions of Chapters 5.01 and 5.14 of the Kent City
Code erroneously refer to license “renewals,” despite business licenses
expiring at the end of each calendar year and the requirement that a new
license be obtained for each subsequent calendar year. This ordinance
7
amends those provisions to clarify that businesses must relicense, not
renew, for each year that they continue to engage in business within the
city.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
ORDINANCE
SECTION 1. – Amendment – KCC 5.01.020. Section 5.01.020 of
the Kent City Code, entitled “Definitions,” is amended as follows:
Sec. 5.01.020. Definitions. Unless the context clearly requires
otherwise, the definitions in this section apply throughout this chapter.
A. Business means all activities, occupations, pursuits, or professions
located and/or engaged in within the city, with the object of gain, benefit
or advantage to the person engaging in the same, or to any other person
or class, directly or indirectly, and includes nonprofit enterprisesBusiness
means all activities, occupations, trades, pursuits, professions, and
matters located within the city, whether operated with the object of gain,
benefit, advantage, or profit, or operated not for profit, to the business or
to another person, directly or indirectly. The term business shall also mean
apartment and residential rental properties of two (2) or more units, as
well as rental housing and rental property as those terms are defined in
Chapter 5.14 KCC, but shall not mean governmental agencies.
B. Business enterprise means each location at which business is
conducted within the city. A business may have more than one (1)
business enterprise within the city.
C. Director means the finance director of the city or his or her
designee.
8
D. Department means the finance department of the city.
E. Licensee means any business or business enterprise that applies for
or is granted a business license. The term licensee shall also mean the
person who submits a business license for approval, the owner or operator
of a business or business enterprise, and any corporation, partnership,
nonprofit, or organization which owns or operates the business or business
enterprise.
SECTION 2. – Amendment – KCC 5.01.090. Section 5.01.090 of
the Kent City Code, entitled “Application procedure, license fee,” is
amended as follows:
Sec. 5.01.090. Application procedure, license fee.
A. The city council shall, by resolution, establish the fees to be
assessed to implement and operate the regulations adopted in this
chapter. In the event of any conflict or ambiguity regarding any fees
established by council resolution, the finance director is authorized to
interpret the fee schedule(s) to resolve thatthe conflict or ambiguity.
B. All businesses operated not for profit or a qualifying participant in
the STAR program established in Chapter 5.14 KCC shall be required to be
licensed but shall be exempt from paying a business license fee upon
satisfactory proof to the director of their not-for-profit or STAR qualified
status.
C. The licensee shall make application for any business license required
under this chapter to the director on a form prepared by the department,
which application shall be accompanied by a receipt from the department
showing payment of the required fee. A new business license shall be
9
required annually. If the application for a new license is made within six
(6) months of the date fixed for expiration, the fee shall be one-half the
annual fee; provided, there shall be no reduction in the fee for a license
renewal.
SECTION 3. – Amendment – KCC 5.01.110. Section 5.01.110 of
the Kent City Code, entitled “Renewal,” is amended as follows:
Sec. 5.01.110. RenewalRelicensing.
A. A business license shall expire at the end of the calendar year for
which it is issued.
B. The director mayshall mail the forms for application for a new
business license renewals to business enterprises in the city to the last
address provided to the director by the licensee. Failure of the business to
receive any such form shall not excuse the business from securing the
required license or renewal or for payment offrom paying the license fee
when due.
CB. Failure to obtain a new business license for each subsequent
calendar year pay the license fee within ninety (90) days of the required
renewal date shall subject the licensee to the penalties set forth in
KCC 5.01.190 a monetary penalty in the amount of fifty dollars ($50) to
reinstate the license, in addition to the required license fee.
D. Business licenses shall be obtained by January 1 of each subsequent
calendar year that the person or business continues to engage in business
within the city.
10
SECTION 4. – Amendment – KCC 5.01.140. Section 5.01.140 of
the Kent City Code, entitled “Denial or revocation of license – Notice and
opportunity to be heard,” is amended as follows:
Sec. 5.01.140. Denial or revocation of license – Notice and
opportunity to be heard. In accordance with KCC 5.01.150 through KCC
5.01.180, Aa licensee shall have the right to notice and an opportunity to
be heard subsequent to the denial of a business license, or, prior to the
revocation ofin the case of a revocation of an existing license. or refusal to
renew a license following its annual expiration, prior to the revocation of
such business license. As an alternative to the process set forth in
sections KCC 5.01.150 through KCC 5.01.180, the city may seek an
injunction or other legal remedy in court.
SECTION 5. – Amendment – KCC 5.01.190. Section 5.01.190 of
the Kent City Code, entitled “Penalties,” is amended as follows:
Sec. 5.01.190. Violations and enforcement - Penalties. Any
violation of any provision of this chapter may be enforced as provided for
in this section. Each separate date, or portion thereof, during which any
violation occurs shall constitute a separate violation.
A. Civil violationinfraction. A business, licensee, or person who violates
any provision of this chapter commits a class 1 civil infraction as set forth
in RCW 7.80.120(1)(a), as currently enacted or hereafter amended. An
infraction issued pursuant to this section shall be issued by law
enforcement officers, filed in the Kent Municipal Court and processed in the
same manner as other infractions filed in the Kent Municipal Court.The
violation of any provision of this chapter is a civil violation as provided for
in Chapter 1.04 KCC, for which a monetary penalty may be assessed and
abatement may be required as provided therein. If a business, licensee, or
person cited for failure to obtain a business license appears before the
11
Kent Municipal Court and provides written evidence that he or she obtained
a business license prior to adjudication of the infraction, the monetary
penalty shall be reduced to one-hundred dollars ($100.00) and the court
may assess court administrative costs of twenty-five dollars ($25.00). The
court administrative costs shall be in lieu of the statutory assessments
referenced in RCW 7.80.120.
2. Any license fee or penalty due and unpaid and delinquent
under this chapter shall constitute a debt of the city. The city may,
pursuant to Chapter 19.16 RCW, use a collection agency to collect unpaid
license fees, or it may seek collection by court proceedings, which
remedies shall be in addition to all other remedies.
B. Civil code enforcement. A civil code enforcement action may be
instituted pursuant to Chapter 1.04 KCC to effectuate the abatement or
corrective action required as a result of a violation of this chapter. Failure
to timely abate the violation or take the required corrective action may
result in the issuance of a fine in accordance with KCC 1.04.080 and KCC
1.04.200.
CB. Criminal violation. In addition to or as an alternative to any penalty
provided in this chapter, the violation of any provision of this chapter shall
constitute a misdemeanor punishable by imprisonment in jail for a
maximum term fixed by the court of not more than ninety (90) days, or by
a fine in an amount fixed by the court of not more than one thousand
dollars ($1,000), or by both such imprisonment and fine.A person who
knowingly violates a provision of this chapter, or commits a repeat
violation of this chapter, is guilty of a misdemeanor, punishable by up to
the maximum penalty established in RCW 9A.20.021(3), as now enacted
or hereafter amended. For purposes of this section, “repeat violation”
means either a prior committed finding by the Kent Municipal Court of an
12
infraction issued under this chapter, or a committed finding by the hearing
examiner of a notice of violation issued under Chapter 1.04 KCC, or a
committed finding under KCC 1.04.130, that a violation of this chapter has
occurred or has been committed by the same business, licensee, or person
within a five (5) year period. To constitute a repeat violation, the violation
need not be the same violation as the prior violation.
D. Injunction. In addition to or as an alternative to any other
enforcement or penalty provided for in this chapter, and because a
violation constitutes an actual injury to the community, the city may seek
injunctive or other equitable relief to prevent any activity in violation of
this chapter.
E. Collections. Any license fee or penalty due, unpaid, and delinquent
under this chapter shall constitute a debt to the city. The city may,
pursuant to Chapter 19.16 RCW, use a collection agency to collect unpaid
license fees or penalties, or it may seek collection by court proceedings,
which remedies shall be in addition to all other remedies.
SECTION 6. – Amendment – KCC 5.14.030. Section 5.14.030 of
the Kent City Code, entitled “Business license required – Penalty,” is
amended as follows:
Sec. 5.14.030. Business license required – Penalty.
A. License Required. As a condition of operation, each and every rental
property within the city limits shall, in accordance with Chapter 5.01 KCC,
obtain and maintain a business license. The issuance of a license shall be
considered a privilege and not an absolute right of the landlord, and the
possession of such license shall not entitle the landlord to a new business
license for subsequent yearsn automatic renewal of a business license.
13
B. Penalty for not obtaining license. In addition to the penalties set
forth in Chapter 5.01 KCC, there shall be assessed a penalty of one
hundred dollars ($100) per day for each day that a rental property
operates without a valid and current business license for the first ten (10)
days of noncompliance with this section, and up to four hundred dollars
($400) per day for each day in excess of ten (10) days of noncompliance
with this section.
SECTION 7. – Amendment – KCC 5.14.040. Section 5.14.040 of
the Kent City Code, entitled “Business license period – Application and
renewal – Fee,” is amended as follows:
Sec. 5.14.040. Business license period – Application and
renewal relicensing – Fee. The business licensing period shall run from
January 1st through December 31st of each year. Any application for a
license required by this chapter shall be accompanied by a fee as
established in Chapter 5.01 KCC and any resolution established in
accordance with that chapter, as well as any fee required in accordance
with KCC 5.14.060, if applicable. Business licensing applications shall
comply with the requirements of KCC 5.01.090 and 5.01.110.
SECTION 8. – Amendment – KCC 5.14.060. Section 5.14.060 of
the Kent City Code, entitled “Business license fee – Increase for code
violations,” is amended as follows:
Sec. 5.14.060. Business license fee – Increase for code
violations.
A. Rental property shall be maintained in accordance with applicable
building codes pursuant to Chapter 14.01 KCC, and shall be free of
14
nuisances, graffiti, litter, rodents, weeds, and junk vehicles in conformance
with Chapters 8.01, 8.04, 8.06, 8.07, and 8.08 KCC as now enacted or
hereafter amended. The rental property shall be maintained in accordance
with all other codes applicable to rental property.
B. If, at the time a landlord applies for a subsequent business license
renewal, it is determined that a notice of violation pursuant to Chapter
1.04 KCC was issued relating to the condition of the rental property, and
the notice of violation was issued within the calendar year preceding the
year for which the new license is required, the rental property shall be
assessed an additional business license fee of one thousand dollars
($1,000), which shall be added to the fee required by Chapter 5.01 KCC;
provided, this additional fee shall not be assessed in the event that, prior
to the date of application for the business license, either a hearing
examiner or a court with jurisdiction has determined that the violation was
not committed or the city has determined that the code violation was
voluntarily corrected.
C. The additional fee established in subsection (B) of this section shall
also apply to the issuance of an new initial license if there is good cause to
believe that the landlord who owned the property transferred the property
to a new landlord in order to avoid the provisions of subsection (B) of this
section.
SECTION 9. – Severability. If any one or more section, subsection,
or sentence of this ordinance is held to be unconstitutional or invalid, such
decision shall not affect the validity of the remaining portion of this
ordinance and the same shall remain in full force and effect.
SECTION 10. – Corrections by City Clerk or Code Reviser. Upon
approval of the city attorney, the city clerk and the code reviser are
authorized to make necessary corrections to this ordinance, including the
15
correction of clerical errors; ordinance, section, or subsection numbering;
or references to other local, state, or federal laws, codes, rules, or
regulations.
SECTION 11. – Effective Date. This ordinance shall take effect and
be in force thirty (30) days from and after its passage, as provided by law.
SUZETTE COOKE, MAYOR
ATTEST:
KIMBERLEY A. KOMOTO, CITY CLERK
APPROVED AS TO FORM:
TOM BRUBAKER, CITY ATTORNEY
PASSED: day of , 2016.
APPROVED: day of , 2016.
PUBLISHED: day of , 2016.
I hereby certify that this is a true copy of Ordinance No.
passed by the City Council of the City of Kent, Washington, and approved
by the Mayor of the City of Kent as hereon indicated.
(SEAL)
KIMBERLEY A. KOMOTO, CITY CLERK
16
FINANCE
Aaron BeMiller Director
Phone: 253-856-5260
Fax: 253-856-6255
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: November 1, 2016
TO: Kent City Council Operations Committee
FROM: Barbara Lopez, Deputy Finance Director
SUBJECT: Consolidating Budget Adjustment Ordinance for Adjustments
between July 1, 2016 and September 30, 2016
SUMMARY: Authorization is requested to approve the technical gross
budget adjustment ordinance reflecting an overall budget increase of
$77,763,280.
Adjustments totaling $77,742,355 have been approved by Council or under the
provisions of KCC 3.70 – Public Contracting and Procurement.
$76,888,060 establishes the budget for refunding the 2008 and PFD bonds.
The remaining $854,295 represents various grant awards, including:
• $213,280 grant to support the Regional Trail Connector project
• $126,145 in criminal justice grants
• $60,000 highway safety improvement grant for improvements at the 108th
Avenue and 208th Street intersection.
• $216,080 King County storm water mitigation to support NPDES and Upper
Mill Creek Dam projects
• $238,790 to move and re-establish previously approved WA Department of
Ecology and King County grants for recycling programs in the new Solid
Waste Utility Fund.
The remaining amount, which is not yet approved by Council, is $20,925 to
transfer funds from the new Solid Waste Utility Fund to cover a deficit balance
for prior year recycling program activities.
BUDGET IMPACT: These expenditures are funded by grants, bond proceeds,
or other new revenues.
MOTION: Recommend Council approve the consolidating budget
adjustment ordinance for adjustments made between July 1, 2016
and September 30, 2016, reflecting an overall budget increase of
$77,763,280.
17
This page intentionally left blank
18
1 2015-2016 Budget Adjustment
Third Quarter - 2016
ORDINANCE NO.
AN ORDINANCE of the City Council of the
City of Kent, Washington, approving the
consolidating budget adjustments made between
July 1, 2016 and September 30, 2016, reflecting
an overall budget increase of $77,763,280.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
ORDINANCE
SECTION 1. – Budget Adjustments. The 2015-2016 biennial
budget is amended to include budget fund adjustments for the third
quarter of 2016 from July 1, 2016 through September 30, 2016, as
summarized and set forth in Exhibit “A,” which is attached and
incorporated into this ordinance. Except as amended by this ordinance, all
terms and provisions of the 2015-2016 biennial budget Ordinance No.
4137, as amended by Ordinance Nos. 4149, 4168, 4173, 4185, 4200, and
4211 shall remain unchanged.
SECTION 2. – Severability. If any one or more section, subsection,
or sentence of this ordinance is held to be unconstitutional or invalid, such
decision shall not affect the validity of the remaining portion of this
ordinance and the same shall remain in full force and effect.
19
2 2015-2016 Budget Adjustment
Third Quarter - 2016
SECTION 3. – Corrections by City Clerk or Code Reviser. Upon
approval of the city attorney, the city clerk and the code reviser are
authorized to make necessary corrections to this ordinance, including the
correction of clerical errors; ordinance, section, or subsection numbering;
or references to other local, state, or federal laws, codes, rules, or
regulations.
SECTION 4. – Effective Date. This ordinance shall take effect and
be in force five days from and after its passage, as provided by law.
SUZETTE COOKE, MAYOR
ATTEST:
KIMBERLEY A. KOMOTO, CITY CLERK
APPROVED AS TO FORM:
TOM BRUBAKER, CITY ATTORNEY
PASSED: day of , 2016.
APPROVED: day of , 2016.
PUBLISHED: day of , 2016.
I hereby certify that this is a true copy of Ordinance No.
passed by the City Council of the City of Kent, Washington, and approved
by the Mayor of the City of Kent as hereon indicated.
(SEAL)
KIMBERLEY A. KOMOTO, CITY CLERK
P:\Civil\Ordinance\Budget Adjustment Ordinance 3rd Quarter 2016.docx
20
Fund Title Previously
Approved
Approval
Requested
Total
Adjustment
Ordinance
110 Street Fund 213,280 - 213,280
160 Criminal Justice Fund 126,145 - 126,145
220 Non-Voted Debt Service Fund 76,888,060 - 76,888,060
310 Street Capital Projects Fund 60,000 - 60,000
440 Drainage / Sewer Utility Fund 216,080 - 216,080
470 Solid Waste Fund 238,790 20,925 259,715
Total 77,742,355 20,925 77,763,280
Exhibit A
City of Kent
Budget Adjustment Ordinance
Adjustments July 1, 2016 to September 30, 2016
21
Approval
Date or
Other
Fund
Previously
Approved by
Council
Not
Previously
Approved
by Council
Total
Adjustment
Ordinance
110 Regional Trails Connector Budget 03/18/2014 213,280 - 213,280
Total Street Fund 213,280 - 213,280
160 State Farm Insurance Grant KCC 3.70 39,000 - 39,000
160 WIDAC Traffic Safety Grant KCC 3.70 39,000 - 39,000
160 Police STOP Act Grant Budget KCC 3.70 47,145 - 47,145
160 Police Mini Grant - Heros & Helpers KCC 3.70 1,000 - 1,000
Total Criminal Justice Fund 126,145 - 126,145
220 Budget LTGO 2016 Refunding 04/19/2016 76,888,060 - 76,888,060
Total Non-Voted Debt Service Fund 76,888,060 - 76,888,060
310 Highway Safety Improvement Grant 08/07/2012 60,000 - 60,000
Total Street Capital Projects Fund 60,000 - 60,000
440 King County Opp & Stormwater Grant KCC 3.70 25,000 - 25,000
440 King County Opp & Stormwater Grant 06/21/2016 191,080 - 191,080
Total Drainiage/Sewer Utility Fund 216,080 - 216,080
470 Reallocate Closing M17103 - 20,925 20,925
470 Establish Recycling Grant Budget 12/02/2015 238,790 - 238,790
Total Solid Waste Fund 238,790 20,925 259,715
Grand Total All Funds 77,742,355 20,925 77,763,280
470 - Solid Waste Fund
220 - Non-Voted Debt Service Fund
Budget Adjustment Detail for Budget Changes
July 1, 2016 to September 30, 2016
110 - Street Fund
160 - Criminal Justice Fund
310 - Street Capital Projects
440 - Drainage/Sewer Utility Fund
22
FINANCE
Aaron BeMiller, Director
Phone: 253-856-5260
Fax: 253-856-6255
Address: 220 Fourth Avenue S.
Kent, WA. 98032-5895
DATE: November 1, 2016
TO: Operations Committee
FROM: Aaron BeMiller, Finance Director
SUBJECT: September Financial Report – Information Only
MOTION: Information Only
SUMMARY: The Finance Director will report on the September 2016 financial report.
BUDGET IMPACT:
BACKGROUND:
23
2016
Adj Budget
2016
YTD
2016
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
Revenues 87,662,060 63,251,699 91,953,470 4,291,410 4.9%
Expenditures 89,155,760 56,427,053 89,948,770 (793,010)-0.9%
Net Revenues Less Expenditures (1,493,700) 6,824,647 2,004,700 3,498,400
Beginning Fund Balance 15,372,499 15,372,499 15,372,499
Ending Fund Balance 13,878,799 22,197,146 17,377,199
Ending Fund Balance Detail:
General Fund Reserves 11,036,189 14,489,299
12.4%16.1%
Contingency for Unanticipated Costs 1,500,000 1,500,000
Strategic Opportunities Fund 425,000 425,000
Restricted for Annexation 917,610 962,900
Revenue Overview
Expenditures Overview
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund Overview
Summary
Analysis through September show both revenues and expenditures ending the year favorable compared to budget,
creating an overall positive variance amount of $3.5m. The current estimated ending fund balance reserves for 2016
calculates to 16.1% of estimated 2016 expenses.
Revenues are estimated to end the year at $4.3m or 4.9% higher than budgeted. Most of the City's major revenue
sources show positive variances compared to budget, including sales tax ($677k), licenses and permits ($557k),
intergovernmental revenue ($514k) and B&O ($1.7m). This is offset by unfavorable variances compared to budget
for other taxes ($150k) and fines and forfeitures ($50k).
Through September, all departments are remaining fairly close to budget. Any significant variances are discussed on
the following pages.
24
Revenue Categories 2016
Adj Budget
2016
YTD
2016
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
Taxes:
Property 22,210,230 12,440,688 22,299,200 88,970 0.4%
Sales & Use 18,633,990 14,507,647 19,311,600 677,610 3.6%
Utility 18,140,150 14,452,321 18,559,100 418,950 2.3%
Business & Occupation 6,500,000 4,459,787 8,184,780 1,684,780 25.9%
Other 1,100,100 519,373 949,800 (150,300) -13.7%
Licenses and Permits 5,139,120 4,240,332 5,696,400 557,280 10.8%
Intergovernmental Revenue 7,419,970 5,976,625 7,934,000 514,030 6.9%
Charges for Services 4,627,290 4,025,061 4,779,100 151,810 3.3%
Fines and Forfeitures 1,565,970 1,223,526 1,515,900 (50,070)-3.2%
Miscellaneous Revenue 1,393,650 1,406,340 1,792,000 398,350 28.6%
Transfers In 931,590 - 931,590 -
Total Revenues 87,662,060 63,251,699 91,953,470 4,291,410 4.9%
Variance Notes
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund Overview - Revenues
Other Taxes: Estimated reduction of $150,000 due to the closure of a casino in the first quarter of 2015.
The 2016 budget has not updated to reflect the closure.
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.
Miscellaneous Revenue: Continues a steady positive trend again this year, largely due to interest on
investments. Year-end projection is expected to exceed budget by nearly $400k, which equates to 28.6%.
B&O Taxes: Conservatively estimated to end the year at nearly $1.7m over budget, due to onboarding and
collection efforts of the expanded B&O team.
Sales & Use Taxes: Continues a steady positive trend this year with year-end revenues projected to be nearly
$700,000 over budget, which equates to 3.6%.
Licenses and Permits: Year-end projection is expected to exceed budget by $557,000, which equates to
10.8%.
25
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 5,234 4,899 4,829
February 4,537 5,263 5,138
March 6,375 7,118 6,546
April 15,434 14,001 16,091
May 6,025 6,815 6,600
June 5,793 6,138 5,578
July 6,619 5,508 6,545
August 4,702 4,683 5,395
September 6,462 6,411 6,531
October 15,775 14,340 0
November 5,636 5,753 0
December 8,678 6,731 0
Total 91,270 87,662 63,252
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 0 0 0
February 167 173 199
March 718 678 719
April 8,857 8,468 9,550
May 1,667 2,163 1,305
June 110 125 83
July 25 36 55
August 87 94 88
September 573 483 441
October 8,564 8,452 0
November 1,084 1,362 0
December 164 177 0
Total 22,016 22,210 12,441
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 1,435 1,429 1,461
February 1,817 1,867 2,026
March 1,414 1,347 1,519
April 1,408 1,335 1,575
May 1,493 1,539 1,739
June 1,333 1,363 1,236
July 1,456 1,542 1,560
August 1,681 1,674 1,798
September 1,605 1,581 1,594
October 1,478 1,553 0
November 1,718 1,696 0
December 1,745 1,708 0
Total 18,583 18,634 14,508
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund Revenues ($ in Thousands)
All Revenues Sources
Property Tax
Sales 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
16 Bud 15 Act 16 Act
$0
$5,000
$10,000
$15,000
$20,000
$25,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
16 Bud 15 Act 16 Act
$0
$5,000
$10,000
$15,000
$20,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
16 Bud 15 Act 16 Act
26
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund Revenues ($ in Thousands)
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 1,965 1,978 2,115
February 1,578 1,533 1,708
March 1,560 1,495 1,584
April 1,529 1,825 1,597
May 1,459 1,378 1,491
June 1,393 1,308 1,368
July 1,497 1,691 1,563
August 1,513 1,283 1,442
September 1,518 1,473 1,584
October 1,446 1,484 0
November 1,451 1,314 0
December 1,242 1,379 0
Total 18,152 18,140 14,452
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 11 7 1
February 18 52 2
March 103 148 165
April 1,784 1,704 1,383
May 77 245 737
June 52 121 115
July 1,790 1,339 1,632
August 115 200 775
September 77 102 169
October 1,893 1,326 0
November 254 283 0
December 2,505 2,072 0
Total 8,680 7,600 4,979
Prior Year
Revenues
Budgeted
Revenues
Actual
Revenues
January 1,444 1,387 1,252
February 957 921 1,203
March 2,579 2,631 2,559
April 1,477 1,292 1,986
May 1,329 1,381 1,328
June 2,905 2,989 2,775
July 1,461 1,408 1,734
August 1,305 1,319 1,290
September 2,690 2,678 2,743
October 2,006 1,597 0
November 1,129 1,000 0
December 3,000 2,474 0
Total 22,283 21,078 16,872
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
16 Bud 15 Act 16 Act
$0
$2,000
$4,000
$6,000
$8,000
$10,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
16 Bud 15 Act 16 Act
$0
$5,000
$10,000
$15,000
$20,000
$25,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
16 Bud 15 Act 16 Act
27
Department 2016
Adj Budget
2016
YTD
2016
Est Actual
Variance
Favorable
(Unfavorable)
%Variance
Favorable
(Unfavorable)
City Council 351,780 255,017 336,700 15,080 4.3%
Mayor's Office/City Clerk 2,415,270 1,632,652 2,263,000 152,270 6.3%
Economic & Community Dev 6,026,570 3,999,352 5,815,600 210,970 3.5%
Finance 2,644,570 2,035,358 2,713,980 (69,410)-2.6%
Fire Contracted Services 3,537,380 2,668,466 3,601,200 (63,820)-1.8%
Human Resources 2,133,970 1,174,866 1,752,500 381,470 17.9%
Information Technology 480,010 376,998 505,000 (24,990)-5.2%
Law 1,464,870 1,098,647 1,464,700 170 0.0%
Municipal Court 3,042,040 2,286,413 3,044,100 (2,060)-0.1%
Parks, Recreation & Comm Svcs 16,888,500 11,970,702 16,693,900 194,600 1.2%
Police 34,941,870 25,349,364 34,833,700 108,170 0.3%
Public Works 1,436,120 1,096,742 1,446,800 (10,680)-0.7%
Non-Departmental 13,792,810 2,482,477 15,477,590 (1,684,780) -12.2%
Total Expenditures 89,155,760 56,427,053 89,948,770 (793,010)-0.9%
Variance Notes
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund Overview - Expenditures
Human Resources - Salary savings due to vacant positions, coupled with underspending in contracted
services.
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.
Non-Departmental: Reflects additional transfers out to the Capital Resources Fund of nearly $1.7 million,
which
equals the anticipated B&O revenue collections in excess of the budgeted amount. A budget change will be
necessary to provide the budget authority to make the transfer.
28
2014 2015 2016 2016 2016
Actual Actual Adj Budget YTD Est Actual
Beginning Fund Balance 7,471,860 *11,312,140 15,372,499 15,372,499 15,372,499
Revenues
Taxes:
Property 20,696,272 22,015,525 22,210,230 12,440,688 22,299,200
Sales & Use 17,761,585 18,583,057 18,633,990 14,507,647 19,311,600
Utility 17,775,687 18,151,853 18,140,150 14,452,321 18,559,100
Business & Occupation 303,600 7,656,220 6,500,000 4,459,787 8,184,780
Other 1,106,821 1,023,500 1,100,100 519,373 949,800
Licenses and Permits 5,818,615 5,827,474 5,139,120 4,240,332 5,696,400
Intergovernmental Revenue 7,515,935 7,783,935 7,419,970 5,976,625 7,934,000
Charges for Services 6,182,649 5,814,133 4,627,290 4,025,061 4,779,100
Fines and Forfeitures 1,284,798 1,660,366 1,565,970 1,223,526 1,515,900
Miscellaneous Revenue 1,533,392 1,756,485 1,393,650 1,406,340 1,792,000
Transfers In 931,217 996,921 931,590 - 931,590
Total Revenues 80,910,572 91,269,469 87,662,060 63,251,699 91,953,470
Expenditures
City Council 293,125 298,884 351,780 255,017 336,700
Mayor's Office/City Clerk 1,927,073 2,211,861 2,415,270 1,632,652 2,263,000
Economic & Community Dev 5,251,662 5,345,212 6,026,570 3,999,352 5,815,600
Finance 2,363,613 2,419,039 2,644,570 2,035,358 2,713,980
Fire Contracted Services 3,422,675 3,513,988 3,537,380 2,668,466 3,601,200
Human Resources 1,167,331 1,039,875 2,133,970 1,174,866 1,752,500
Information Technology 349,002 456,328 480,010 376,998 505,000
Law 1,003,202 1,198,769 1,464,870 1,098,647 1,464,700
Municipal Court 2,849,954 2,988,951 3,042,040 2,286,413 3,044,100
Parks, Recreation & Comm Svcs 14,854,585 15,897,126 16,888,500 11,970,702 16,693,900
Police 31,263,200 32,992,234 34,941,870 25,349,364 34,833,700
Public Works 4,929,327 4,896,300 1,436,120 1,096,742 1,446,800
Non-Departmental 7,395,544 13,950,543 13,792,810 2,482,477 15,477,590
Total Expenditures 77,070,292 87,209,110 89,155,760 56,427,053 89,948,770
Net Revenues less Expenditures 3,840,280 4,060,359 (1,493,700)2,004,700
Ending Fund Balance 11,312,140 15,372,499 13,878,799 17,377,199
Ending Fund Balance Detail:
General Fund Reserves 8,159,940 11,749,159 11,036,189 14,489,299
9.4%13.2% 12.4%16.1%
Contingency for Unanticipated Costs 1,500,000 1,500,000 1,500,000 1,500,000
Strategic Opportunities Fund 425,000 425,000 425,000 425,000
Restricted for Annexation 1,652,200 1,698,340 917,610 962,900
* 2014 beginning fund balance reduced by $2,026,000 to reflect the prior period adjustment required to properly
record repayment to the Utility Funds.
September 2016 Monthly Financial Report
City of Kent, Washington
General Fund
29
2014 2015 2016 % of
thru Sept thru Sept thru Sept Budget
Revenues
Taxes:
Property 11,378,181 12,204,370 12,440,688 236,318 1.9%56.0%
Sales & Use 12,802,222 13,642,154 14,507,647 865,493 6.3% 77.9%
Utility 14,546,767 15,158,660 14,452,321 (706,339) -4.7% 79.7%
Business & Occupation 300,000 3,506,740 4,459,787 953,047 27.2% 68.6%
Other 557,209 521,188 519,373 (1,814) -0.3% 47.2%
Licenses and Permits 3,647,718 3,216,066 4,240,332 1,024,265 31.8% 82.5%
Intergovernmental Revenue 5,608,969 5,687,360 5,976,625 289,264 5.1% 80.5%
Charges for Services 4,980,547 4,554,260 4,025,061 (529,199) -11.6% 87.0%
Fines and Forfeitures 1,031,647 1,366,075 1,223,526 (142,549) -10.4% 78.1%
Miscellaneous Revenue 1,063,856 1,324,121 1,406,340 82,219 6.2% 100.9%
Transfers In - - - -
Total Revenues 55,917,116 61,180,994 63,251,699 2,070,705 3.4% 72.2%
Expenditures
City Council 212,891 224,648 255,017 30,369 13.5% 72.5%
Mayor's Office/City Clerk 1,386,796 1,559,479 1,632,652 73,173 4.7% 67.6%
Economic & Community Dev 3,871,285 3,852,884 3,999,352 146,468 3.8% 66.4%
Finance 1,645,759 1,805,641 2,035,358 229,717 12.7% 77.0%
Fire Contracted Services 2,515,691 2,658,449 2,668,466 10,016 0.4% 75.4%
Human Resources 914,856 781,646 1,174,866 393,220 50.3% 55.1%
Information Technology 259,741 327,789 376,998 49,208 15.0% 78.5%
Law 688,570 895,319 1,098,647 203,327 22.7% 75.0%
Municipal Court 2,093,183 2,226,910 2,286,413 59,503 2.7% 75.2%
Parks, Recreation & Comm Svcs 10,690,858 11,709,928 11,970,702 260,774 2.2% 70.9%
Police 23,226,850 24,370,348 25,349,364 979,017 4.0% 72.5%
Public Works *2,752,975 3,554,733 1,096,742 (2,457,991) -69.1% 76.4%
Non-Departmental 618,874 3,936,078 2,482,477 (1,453,602) -36.9% 18.0%
Total Expenditures 50,878,328 57,903,852 56,427,053 (1,476,799) -2.6% 63.3%
* Most Public Works costs were moved to the Street Operating Fund effective January 1, 2016. Only costs
allocated to the Panther Lake annexation remain in the General Fund.
2015-16
Variance
September 2016 Monthly Financial Report
City of Kent, Washington
Year-to-Year Month Comparison
General Fund
30
2014 2015 2016 2016 2016
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 Fund
Revenues 10,654,053 11,793,043 12,065,140 8,439,694 12,544,550
Expenditures 10,351,988 9,072,561 14,606,290 6,539,726 14,424,970
Net Revenues Less Expenditures 302,065 2,720,483 (2,541,150)1,899,968 (1,880,420)
LEOFF 1 Retiree Benefits
Revenues 1,055,840 1,341,722 1,164,510 573,049 1,118,430
Expenditures 887,036 1,279,216 1,125,890 722,081 1,083,020
Net Revenues Less Expenditures 168,803 62,506 38,620 (149,033)35,410
Lodging Tax
Revenues 249,581 279,878 210,230 202,540 276,000
Expenditures 71,441 257,164 271,500 181,802 258,530
Net Revenues Less Expenditures 178,140 22,714 (61,270)20,738 17,470
Youth/Teen Programs
Revenues 888,250 894,592 912,600 693,159 921,890
Expenditures 898,524 920,380 942,000 942,000
Net Revenues Less Expenditures (10,274)(25,788)(29,400)693,159 (20,110)
Capital Resources
Revenues 16,413,708 20,561,359 14,414,120 12,101,123 19,140,870
Expenditures 11,997,869 11,538,631 15,332,300 3,283,689 15,170,000
Net Revenues Less Expenditures 4,415,838 9,022,728 (918,180)8,817,435 3,970,870
Criminal Justice
Revenues 3,780,757 4,753,967 3,953,990 3,511,704 4,162,500
Expenditures 3,096,924 2,965,408 4,124,915 2,135,671 3,120,000
Net Revenues Less Expenditures 683,833 1,788,558 (170,925)1,376,033 1,042,500
Community Development Block Grant
Revenues 835,776 808,466 914,740 192,970 914,740
Expenditures 835,776 808,466 914,740 501,987 914,740
Net Revenues Less Expenditures (309,017)
ShoWare Operating
Revenues 3,456,124 1,680,882 1,065,810 471,942 1,313,350
Expenditures 980,046 518,720 835,930 645,203 711,650
Net Revenues Less Expenditures 2,476,077 1,162,163 229,880 (173,261)601,700
Other Operating
Revenues 134,073 143,726 140,280 35,310 140,280
Expenditures 70,478 64,765 140,280 80,550 96,000
Net Revenues Less Expenditures 63,595 78,961 (45,240)44,280
Water Utility
Revenues 20,948,199 20,140,494 18,870,370 16,160,091 20,645,000
Expenditures 15,890,786 17,620,354 19,214,740 11,783,143 18,458,060
Net Revenues Less Expenditures 5,057,413 2,520,140 (344,370)4,376,948 2,186,940
Special Revenue Funds
Enterprise Funds
September 2016 Monthly Financial Report
Other Funds Overview (Revenues and Expenditures)
City of Kent, Washington
2015: Net revenues less expenditures include $2.27m street operating revenues returned from LID funded
projects. These funds have been allocated to projects in the 2016 budget.
2016: Includes street and transportation revenues and costs moved from the General Fund.
31
2014 2015 2016 2016 2016
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.
September 2016 Monthly Financial Report
Other Funds Overview (Revenues and Expenditures)
City of Kent, Washington
Sewer/Drainage Utility
Revenues 46,608,123 48,525,436 46,370,710 36,589,504 47,497,165
Expenditures 43,535,541 47,086,396 47,992,300 30,942,215 49,180,470
Net Revenues Less Expenditures 3,072,581 1,439,040 (1,621,590)5,647,289 (1,683,305)
Solid Waste Utility
Revenues 814,540 459,069 606,600
Expenditures 365 512,995 322,129 404,010
Net Revenues Less Expenditures (365)301,545 136,940 202,590
Golf Complex
Revenues 2,489,362 2,661,490 2,774,450 2,128,850 2,580,000
Expenditures 2,693,040 2,867,873 3,143,490 2,420,275 3,140,000
Net Revenues Less Expenditures (203,678)(206,383)(369,040)(291,425)(560,000)
Fleet Services
Revenues 4,425,076 4,537,950 4,674,240 3,591,064 4,787,370
Expenditures 3,955,111 3,194,529 5,892,350 2,674,030 4,208,000
Net Revenues Less Expenditures 469,965 1,343,420 (1,218,110)917,034 579,370
Central Services
Revenues 356,338 372,070 422,320 290,206 402,330
Expenditures 336,633 350,962 401,760 295,489 394,580
Net Revenues Less Expenditures 19,704 21,108 20,560 (5,283)7,750
Information Technology
Revenues 6,878,827 7,603,220 7,127,530 5,665,375 7,566,540
Expenditures 6,130,328 6,708,773 7,481,090 4,159,674 7,441,770
Net Revenues Less Expenditures 748,499 894,447 (353,560)1,505,700 124,770
Facilities
Revenues 5,096,650 5,429,412 5,382,650 4,014,669 5,362,930
Expenditures 4,673,883 5,527,155 5,402,190 3,180,801 5,117,300
Net Revenues Less Expenditures 422,768 (97,744)(19,540)833,869 245,630
Unemployment
Revenues 380,356 397,641 402,720 312,308 414,900
Expenditures 112,106 98,860 401,740 117,923 145,000
Net Revenues Less Expenditures 268,250 298,781 980 194,385 269,900
Workers Compensation
Revenues 1,506,197 1,095,382 1,074,910 882,593 1,140,520
Expenditures 80,344 681,822 1,495,730 661,622 1,321,680
Net Revenues Less Expenditures 1,425,853 413,560 (420,820)220,971 (181,160)
2015: Revenues reflect 2015-16 rate reduction, with GF savings going to the CR Fund to reduce the deficit.
Employee Health & Wellness
Revenues 9,626,446 10,487,102 10,210,310 7,669,236 10,680,500
Expenditures 9,809,909 11,298,096 11,583,040 8,947,726 11,532,110
Net Revenues Less Expenditures (183,463)(810,993)(1,372,730)(1,278,490)(851,610)
Internal Service Funds
32
2014 2015 2016 2016 2016
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.
September 2016 Monthly Financial Report
Other Funds Overview (Revenues and Expenditures)
City of Kent, Washington
Liability Insurance
Revenues 543,969 1,135,932 1,187,110 856,636 1,141,700
Expenditures 1,543,321 1,187,054 1,926,880 1,628,366 1,802,510
Net Revenues Less Expenditures (999,353)(51,122)(739,770)(771,730)(660,810)
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 568,107 582,938 612,050 459,604 612,800
Expenditures 508,423 471,003 604,600 241,693 532,100
Net Revenues Less Expenditures 59,684 111,935 7,450 217,911 80,700
33
2014 2015 2016
thru Sept thru Sept thru Sept
Operating revenues and expenditures only, capital is excluded.
Street Fund
Revenues 6,729,330 6,440,520 8,439,694 1,999,174 31.0%
Expenditures 3,343,312 996,893 6,539,726 5,542,832 556.0%
Net Revenues Less Expenditures 3,386,019 5,443,626 1,899,968
2016 includes street and transportation revenues and costs moved from the General Fund.
LEOFF 1 Retiree Benefits
Revenues 607,906 571,542 573,049 1,506 0.3%
Expenditures 684,376 960,166 722,081 (238,084)-24.8%
Net Revenues Less Expenditures (76,470)(388,623)(149,033)
2015 claims were up dramatically compared to 2014, while 2016 thru April is consistent with past years.
Lodging Tax
Revenues 167,177 189,147 202,540 13,393 7.1%
Expenditures 43,088 71,497 181,802 110,305 154.3%
Net Revenues Less Expenditures 124,090 117,650 20,738
2016 expenditures reflect increased marketing activities.
Youth/Teen Programs
Revenues 672,805 695,945 693,159 (2,786)-0.4%
Expenditures - - -
Net Revenues Less Expenditures 672,805 695,945 693,159
Capital Resources
Revenues 9,341,130 13,484,365 12,101,123 (1,383,242)-10.3%
Expenditures 2,903,278 2,459,518 3,283,689 824,171 33.5%
Net Revenues Less Expenditures 6,437,852 11,024,847 8,817,435
Criminal Justice
Revenues 2,667,451 3,173,170 3,511,704 338,535 10.7%
Expenditures 2,330,626 2,083,012 2,135,671 52,660 2.5%
Net Revenues Less Expenditures 336,825 1,090,158 1,376,033
2016 increase in revenues due to strong sales tax trends and an increase in seized assets.
Community Development Block Grants
Revenues 492,959 221,912 192,970 (28,942)-13.0%
Expenditures 557,976 441,008 501,987 60,978 13.8%
Net Revenues Less Expenditures (65,016)(219,096)(309,017)
Lag in grant reimbursement for expenses incurred.
ShoWare Operating
Revenues 118,874 617,944 471,942 (146,001)-30.9%
Expenditures 935,495 464,376 645,203 180,827 38.9%
Net Revenues Less Expenditures (816,622)153,568 (173,261)
2016 reveues include $225k for the ice plant settlement.
2015-16
Variance
Year-to-Year Month Comparison
September 2016 Monthly Financial Report
City of Kent, Washington
Other Funds Overview (Revenues and Expenditures)
Special Revenue Funds
2016 increase in revenues due to strong REET and sales tax trends.
2015 expenditures reflect one-time land acquisition costs; 2016 includes Pine Tree Park settlement.
34
2014 2015 2016
thru Sept thru Sept thru Sept
Operating revenues and expenditures only, capital is excluded.
2015-16
Variance
Year-to-Year Month Comparison
September 2016 Monthly Financial Report
City of Kent, Washington
Other Funds Overview (Revenues and Expenditures)
Other Operating
Revenues 12,750 14,340 35,310 20,970 146.2%
Expenditures 41,944 20,768 80,550 59,781 287.9%
Net Revenues Less Expenditures (29,194)(6,428)(45,240)
Includes City Art Program, Neighborhood Matching Grants and Human Services Emergency Programs
Water Utility
Revenues 15,751,592 15,820,785 16,160,091 339,306 2.1%
Expenditures 11,901,390 10,545,289 11,783,143 1,237,854 11.7%
Net Revenues Less Expenditures 3,850,202 5,275,496 4,376,948
Sewer/Drainage Utility
Revenues 37,771,418 36,180,752 36,589,504 408,752 1.1%
Expenditures 27,031,024 27,465,824 30,942,215 3,476,391 12.7%
Net Revenues Less Expenditures 10,740,394 8,714,927 5,647,289
Solid Waste Utility
Revenues 459,069 459,069 100.0%
Expenditures 322,129 322,129 100.0%
Net Revenues Less Expenditures 136,940
Solid Waste Utility established in 2016.
Golf Complex
Revenues 2,142,610 2,316,292 2,128,850 (187,442)-8.1%
Expenditures 1,997,073 2,233,535 2,420,275 186,740 8.4%
Net Revenues Less Expenditures 145,537 82,757 (291,425)
2016 revenues down due to inclement weather conditions in Q1.
Fleet Services
Revenues 3,289,096 3,419,831 3,591,064 171,233 5.0%
Expenditures 2,596,984 2,424,383 2,674,030 249,647 10.3%
Net Revenues Less Expenditures 692,113 995,448 917,034
Central Services
Revenues 256,830 284,979 290,206 5,227 1.8%
Expenditures 241,700 284,066 295,489 11,423 4.0%
Net Revenues Less Expenditures 15,130 913 (5,283)
Information Technology
Revenues 5,097,108 5,318,946 5,665,375 346,429 6.5%
Expenditures 4,089,507 4,574,850 4,159,674 (415,176)-9.1%
Net Revenues Less Expenditures 1,007,601 744,096 1,505,700
Internal Service Funds
Enterprise Funds
35
2014 2015 2016
thru Sept thru Sept thru Sept
Operating revenues and expenditures only, capital is excluded.
2015-16
Variance
Year-to-Year Month Comparison
September 2016 Monthly Financial Report
City of Kent, Washington
Other Funds Overview (Revenues and Expenditures)
Facilities
Revenues 3,822,413 3,988,496 4,014,669 26,173 0.7%
Expenditures 2,976,829 3,171,206 3,180,801 9,594 0.3%
Net Revenues Less Expenditures 845,583 817,290 833,869
Unemployment
Revenues 282,579 299,017 312,308 13,291 4.4%
Expenditures 85,677 79,775 117,923 38,148 47.8%
Net Revenues Less Expenditures 196,902 219,242 194,385
Workers Compensation
Revenues 1,128,970 830,094 882,593 52,500 6.3%
Expenditures 555,491 726,456 661,622 (64,835)-8.9%
Net Revenues Less Expenditures 573,480 103,637 220,971
Employee Health & Wellness
Revenues 7,418,481 7,819,843 7,669,236 (150,607)-1.9%
Expenditures 7,009,017 8,073,998 8,947,726 873,728 10.8%
Net Revenues Less Expenditures 409,464 (254,155)(1,278,490)
Liability Insurance
Revenues 1,495,470 851,686 856,636 4,950 0.6%
Expenditures 1,055,862 1,293,425 1,628,366 334,941 25.9%
Net Revenues Less Expenditures 439,608 (441,739)(771,730)
Property Insurance
Revenues 426,087 437,215 459,604 22,389 5.1%
Expenditures 723,138 671,234 624,455 (46,779)-7.0%
Net Revenues Less Expenditures (297,051)(234,019)(164,851)
36
2016 2016 2016 2016
Beginning
Fund Balance
Estimated
Revenues
Estimated
Expenditures
Ending Fund
Balance
Operating funds only, capital funds are excluded.
General Fund 15,372,499 91,714,840 89,987,040 17,100,299
Street Fund 4,092,055 12,544,550 14,424,970 2,211,635
LEOFF 1 Retiree Benefits 1,093,532 1,118,430 1,083,020 1,128,942
Lodging Tax 394,516 276,000 258,530 411,986
Youth/Teen Programs 121,275 921,890 942,000 101,165
Capital Resources 5,775,064 19,140,870 15,170,000 9,745,934
Criminal Justice 3,981,627 4,162,500 3,120,000 5,024,127
Community Development Block Grants 914,740 914,740
ShoWare Operating 1,596,543 1,313,350 711,650 2,198,243
Other Operating 364,242 140,280 96,000 408,522
Councilmanic Debt Service 8,329 9,083,790 9,083,790 8,329
Special Assessments Debt Service 2,070,434 1,709,750 3,032,750 747,434
Water Utility 8,285,372 20,645,000 18,458,060 10,472,312
Sewer/Drainage Utility 10,162,058 47,497,165 49,180,470 8,478,753
Solid Waste Utility (365) 606,600 404,010 202,225
Golf Complex (3,043,675) 2,580,000 3,140,000 (3,603,675)
Fleet Services 4,301,237 4,787,370 4,208,000 4,880,607
Central Services (46,226) 402,330 394,580 (38,476)
Information Technology 2,808,737 7,566,540 7,441,770 2,933,507
Facilities 1,672,947 5,362,930 5,117,300 1,918,577
Unemployment 1,038,938 414,900 145,000 1,308,838
Workers Compensation 2,541,813 1,140,520 1,321,680 2,360,653
Employee Health & Wellness 6,122,922 10,680,500 11,532,110 5,271,312
Liability Insurance 2,452,656 1,141,700 1,802,510 1,791,846
Property Insurance 348,579 612,800 532,100 429,279
Internal Service Funds
General Fund
September 2016 Monthly Financial Report
City of Kent, Washington
Fund Balances
Special Revenue Funds
Enterprise Funds
Debt Service Funds
37