HomeMy WebLinkAboutQ4 2017 Financial Report
AGENDA BILL APPROVAL FORM
Agenda Subject: 4th Quarter 2017 Financial Report Date: February 13, 2018
Department: Finance
Attachments: Quarterly Financial
Report
Budget Impact: $0
Administrative Recommendation: For discussion only.
Background Summary:
The quarterly financial report summarizes the general state of Citywide financial affairs and highlights
significant items or trends that the City Council should be aware of. The attachment provides the year to
date through December 2017 status report based on financial data available as of February 5, 2018 for
the period ending December 31, 2017 and sales tax information representing business activity that
occurred through October 2017.
Staff: Coleman
Meeting Date: March 12, 2018 Item Number:
Quarterly Financial Report Through Q4-2017
General Fund Summary Property TaxesSales TaxesOther TaxesIntergovernmental(Grants, etc.)DevelopmentService FeesCulture &RecreationOther Fees& ChargesOtherRevenuesPersonnelSupplies& ServicesIntergovernmentalOther ExpendituresRevenues Expenditures
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
MillionsYE Budget YE
Actuals
(Favorable)
YE
Actuals
(Unfavorable)
General Fund Revenues and Expenditures(Through December 2017) Council& MayorAdministrativeServicesCommunity &Human ServicesMunicipal Court& ProbationHumanResourcesFinanceCity AttorneyCommunityDevelopmentJail - SCOREPolicePublic WorksParks, Arts& RecreationStreetsNon-Departmental$0
$5
$10
$15
$20
$25
$30
MillionsYE Budget YE
Actuals
(Favorable)
YE
Actuals
(Unfavorable)
General Fund Expenditures by Department
(Through December 2017)
1
Quarterly Financial Report Through Q4-2017 2
General Fund 2016
Summary of Sources and Uses Annual YE YE YE
Budget Budget Actual Actual Amount
Operating Revenues
Property Tax 6 20,652,000$ 20,652,000$ 20,837,874$ 17,932,830$ 185,874 0.9 %
Sales Tax 7-8 14,746,000 14,746,000 14,949,407 14,628,045 203,407 1.4 %
Sales Tax - Pierce County Parks 75,000 75,000 95,750 89,495 20,750 27.7 %
Sales Tax - Annexation Credit 2,032,100 2,032,100 2,085,949 2,006,028 53,849 2.6 %
Criminal Justice Sales Tax 1,889,400 1,889,400 2,038,296 1,968,679 148,896 7.9 %
Brokered Natural Gas Tax 351,800 351,800 176,067 223,900 (175,733)(50.0)%
City Utilities Tax 9-10 3,936,300 3,936,300 3,890,304 3,959,131 (45,996)(1.2)%
Admissions Tax 317,000 317,000 422,280 378,760 105,280 33.2 %
Electric Tax 9-10 3,560,000 3,560,000 3,694,954 3,525,357 134,954 3.8 %
Natural Gas Tax 9-10 1,001,200 1,001,200 1,072,751 946,959 71,551 7.1 %
Cable Franchise Fee 11 971,500 971,500 1,009,432 977,736 37,932 3.9 %
Cable Utility Tax - New 2017 12 1,000,000 1,000,000 801,150 - (198,850)(19.9)%
Cable Franchise Fee - Capital 66,200 66,200 66,428 66,315 228 0.3 %
Telephone Tax 9-10 1,451,800 1,451,800 1,379,949 1,494,354 (71,851)(4.9)%
Garbage Tax (external)9-10 120,000 120,000 129,831 124,007 9,831 8.2 %
Leasehold Excise Tax 40,000 40,000 203,034 204,446 163,034 407.6 %
Gambling Excise Tax 300,300 300,300 324,309 494,472 24,009 8.0 %
Taxes sub-total 52,510,600$ 52,510,600$ 53,177,765$ 49,020,516$ 667,165$ 1.3 %
Business License Fees 12-13 222,100$ 222,100$ 163,347$ 224,876$ (58,753)(26.5)%
Building Permits 14 1,575,000 1,575,000 1,191,974 2,008,970 (383,026)(24.3)%
Other Licenses & Permits 541,600 541,600 551,475 750,580 9,875 1.8 %
Intergovernmental (Grants, etc.)15 6,129,110 6,129,110 6,104,610 5,737,079 (24,500)(0.4)%
Charges for Services:16-18
General Government Services 16 60,700 60,700 72,710 76,218 12,010 19.8 %
Public Safety 16 875,700 875,700 887,535 638,440 11,835 1.4 %
Development Services Fees 17 1,007,600 1,007,600 906,687 1,046,249 (100,913)(10.0)%
Culture and Recreation 18 2,319,680 2,319,680 2,375,807 2,316,824 56,127 2.4 %
Fines and Penalties 19-20 876,100 876,100 882,255 905,921 6,155 0.7 %
Fees/Charges/Fines sub-total 13,607,590$ 13,607,590$ 13,136,398$ 13,705,158$ (471,192)$ (3.5)%
Interest and Investment Earnings 20-21 69,000$ 69,000$ 237,532$ 110,800$ 168,532 244.2 %
Rents and Leases 20-21 715,300 715,300 879,059 783,930 163,759 22.9 %
Contributions and Donations 20-21 35,000 35,000 47,926 32,435 12,926 36.9 %
Other Miscellaneous 20-21 232,500 232,500 308,578 286,520 76,078 32.7 %
Transfers In 79,000 79,000 79,000 217,482 0 0.0 %
Insurance Recoveries - Capital & Operating 25,000 25,000 134,103 83,737 109,103 436.4 %
Other Revenues sub-total 1,155,800$ 1,155,800$ 1,686,198$ 1,514,904$ 530,398$ 45.9 %
Total Operating Revenues 67,273,990$ 67,273,990$ 68,000,361$ 64,240,577$ 726,371$ 1.1 %
Operating Expenditures
Council & Mayor 1,240,618$ 1,240,618$ 1,136,527$ 1,065,395$ 104,091$ 8.4 %
Administration 1,640,533 1,640,533 1,434,930 1,197,355 205,603 12.5 %
Community & Human Services 1,103,040 1,103,040 1,076,539 872,023 26,501 2.4 %
Municipal Court & Probation 2,577,954 2,577,954 2,465,944 2,242,473 112,010 4.3 %
Human Resources 1,409,871 1,409,871 1,279,436 1,283,702 130,435 9.3 %
Finance 1,500,893 1,500,893 1,433,788 1,169,633 67,105 4.5 %
City Attorney 2,279,653 2,279,653 2,038,930 1,883,009 240,723 10.6 %
Community Development 4,803,783 4,803,783 4,225,865 4,109,092 577,918 12.0 %
Jail - SCORE 3,878,150 3,878,150 3,794,872 4,019,473 83,278 2.1 %
Police 26,897,517 26,897,517 24,947,225 23,430,625 1,950,292 7.3 %
Public Works 3,547,418 3,547,418 2,957,741 2,945,815 589,677 16.6 %
Parks, Arts & Recreation 12,240,387 12,240,387 12,030,393 11,322,293 209,994 1.7 %
Streets 3,798,094 3,798,094 3,677,312 3,209,370 120,782 3.2 %
Non-Departmental 6,264,415 6,264,415 4,327,753 3,934,038 1,936,662 30.9 %
Total Operating Expenditures 73,182,326$ 73,182,326$ 66,827,255$ 62,684,298$ 6,355,071$ 8.7 %
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
Page
Ref
2
Quarterly Financial Report Through Q4-2017 3
Executive Summary
This Executive Summary provides an overview of the City’s overall financial position for the
fiscal period ending December 31, 2017, reflecting financial data available as of February 5,
2018.
General Fund:
In 2017, General Fund revenues totaled $68.0 million compared to a budget of $67.3 million,
and were $3.8 million higher than revenues collected during 2016. Some notable variances to
budget this year include:
• Property tax collections in 2017 totaled $20.8 million, which was 0.9% or $186,000
above budget expectations and exceeded 2016 collections by $2.9 million, or 16.2%.
This year-over-year increase in property tax collections was attributable to an increase
in new construction and the use of banked capacity. [page 6]
• General Fund retail sales tax revenues totaled $14.9 million, and exceeded budget by
1.4% or $203,000, and exceeded 2016 collections by $321,000 or 2.2%. The primary
area of significant increase in sales activity compared to 2016 collections was seen in
the automotive category. [pages 7-8]
• The other taxes category performed favorably to budget in 2017, with revenues totaling
$13.2 million compared to a budget of $13.1 million. Electric tax and admission tax
revenues collected in 2017 exceeded budget by $135,000 and $105,000, respectively.
In addition, leasehold excise taxes collected were $163,000 higher than budget.
These revenues were somewhat offset by unfavorable variances in brokered natural
gas tax revenues and telephone tax revenues of $176,000 and $72,000, respectively.
Cable utility tax revenues were $199,000 below budget through the fourth quarter,
although this is just a timing issue whereby Q4-2017 cable tax revenues in the amount
of $267,000 were not received until January 2018. [pages 9-12]
• Building permit revenue collected in 2017 totaled $1.2 million, compared to a budget
of $1.6 million. The volume of building permits issued in 2017 was 680, which
represents a 20.0% decline over the number of permits issued in 2016. In addition,
there was a 40.4% decline in the average valuation of the projects for which permits
have been issued compared to valuations in 2016. [page 14]
• Development services revenues collected in 2017 were $101,000, or 10.0%,
unfavorable to budget. This variance was predominately due to plan check revenues
not meeting budget expectations. [page 17]
Ending 2017 fund balances will not be finalized until approximately June 2017 pending final
year-end adjustments and certification by the State Auditor’s Office. Once the final ending 2017
fund balances are available, budgeted beginning 2018 fund balances will be reconciled and
adjusted accordingly.
General Fund expenditures in 2017 totaled $66.8 million compared to a budget of $73.2 million,
representing an 8.7% favorable variance to budget. All departments operated within their
allocated budget in 2017.
3
Quarterly Financial Report Through Q4-2017 4
General Fund expenditures in 2017 were $4.1 million, or 6.6% higher than in 2016. Salary and
benefit costs increased by $2.5 million, or 7.2%, compared to 2016. This year-over-year
increase was due primarily to an increase in Council approved FTEs (Full Time Equivalents)
and increased costs associated with healthcare and pension benefits. In addition, interfund
charges for services increased $850,000, or 11.0%, compared to 2016. These increases were
mostly seen in equipment repair and replacement expenditures for fleet vehicles.
Street Funds:
The City’s three street funds are special revenue funds wherein the revenue sources and
expenditures are legally restricted. These funds are used for street capital construction
projects, local street repair, and arterial street repair and preservation projects. In 2017,
Arterial Street Fund revenues totaled $8.4 million as compared to collections of $4.2 million in
2016, while expenditures totaled $9.7 million as compared to expenditures of $6.8 million last
year. [pages 24–25]
Local Street Fund revenues of $2.8 million exceeded budget expectations through year-end by
$905,000 or 47.4%, due to higher than anticipated sales tax revenues from local construction
projects; last year’s collections through year-end totaled $2.5 million. Expenditures were $2.2
million as compared with $2.1 million in 2016. [pages 26–27]
Lastly, the Arterial Street Preservation Fund revenues totaled $3.9 million in 2017 as
compared to $2.1 million in 2016, while expenditures totaled $5.0 million versus $1.1 million in
2016. Historically, the majority of expenditures in all three street funds occur during the second
half of the year when weather conditions are optimal for pavement construction. [pages 28–29]
$67.3 M
$73.2 M
$68.0 M
$66.8 M
$0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0
Revenues
Expenditures
$ Millions
General Fund
Revenues vs. Expenditures Through Q4-2017 2017 YE Actual
2017 YE Budget
4
Quarterly Financial Report Through Q4-2017 5
Enterprise Funds:
The City’s seven enterprise funds account for operations with revenues primarily provided from
user fees, charges or contracts for services.
In 2017, the Water Fund experienced operating income before depreciation of $5.7 million
compared to $4.7 million in 2016. This increase is largely due to lower expenditures in 2017
compared to 2016, during which the City purchased water from the City of Tacoma. The
Sewer Fund ended the year with operating income before depreciation of $2.3 million versus
$2.1 million in 2016. The Sewer-Metro Fund operating revenues exceeded expenditures by
$421,000 as compared to $297,000 in 2016. The Stormwater Fund ended the year with
operating income before depreciation of $2.6 million compared to $2.7 million in 2016. The
Solid Waste Fund ended 2017 with operating income of $612,000, compared to $889,000 in
2016. [pages 31–34]
Internal Service Funds:
Internal service funds provide services to other City departments and include functions such as
Insurance, Worker’s Compensation, Facilities, Innovation and Technology, and Equipment
Rental. All funds had sufficient revenues to cover year-end expenditures. [page 35]
Investment Portfolio:
The City’s total cash and investments at the end of 2017 totaled $133.8 million, and compares
to $128.0 million at the end of 2016. [attachment]
5
Quarterly Financial Report Through Q4-2017 6
General Fund
Revenues
The combined total of property, sales/use, utility, gambling, and admissions taxes provides
approximately 80% of all resources supporting general governmental activities. The following
section provides additional information on these sources.
Property Tax collections in 2017 totaled $20.8 and were $186,000, or 0.9%, above budget
expectations. Property tax revenue collected in 2017 exceeded collections in 2016 by $2.9
million, or 16.2%. This year-over-year increase in property tax collections is attributable to an
increase in new construction and the use of banked capacity. The majority of property taxes are
collected during the months of April and October, coinciding with the due dates for the County
property tax billings.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
$22.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsProperty Taxes
2017 Budget
2017 YE Actual
2016 Actual
$12.9
$14.4
$15.8 $17.2 $17.9
$20.8
$0.0
$5.0
$10.0
$15.0
$20.0
$25.0
2012 2013 2014 2015 2016 2017MillionsProperty Tax Revenue
Actuals
6
Quarterly Financial Report Through Q4-2017 7
Sales tax collections in 2017 totaled $17.6 million, of which $14.9 million was distributed to the
General Fund and $2.6 million was distributed to the Local Street Fund (SOS) program as per
financial policy. Total sales tax revenue distributions to the General Fund in 2017 exceeded
budget expectations by $203,000, or 1.4%.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsSales & Use Tax
(Net of Revenue from Construction)
2017 Budget
2017 YE Actual
2016 Actual
$13.0 $12.4
$13.8 $14.5 $14.6 $14.9
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
2012 2013 2014 2015 2016 2017MillionsSales and Use Tax
General Fund Only
Actuals
7
Quarterly Financial Report Through Q4-2017 8
The following table breaks out the City’s base sales taxes, excluding Pierce County Parks Sales
Tax, Criminal Justice Sales Tax, and Annexation Credit Sales Tax, by major business sector.
Total sales tax revenue collected in 2017 totaled $17.6 million and exceeded prior year
collections by $661,000, or 3.9%. The business sectors showing the largest increase in
revenues compared to last year were the construction, automotive, and wholesale trade
categories.
Sales tax revenue on construction is transferred to the Local Street Fund (Fund 103) for local
street repair and maintenance. In 2017, this totaled $2.6 million, which was $340,000 more
than what was collected last year, and exceeds the 2017 budget by $882,000.
2016 2017
Component Group Actual Actual Amount
Construction 2,292,280$ 2,632,107$ 339,827$ 14.8 %
Manufacturing 761,091 677,596 (83,495)(11.0)%
Transportation & Warehousing 99,439 88,502 (10,937)(11.0)%
Wholesale Trade 1,264,976 1,363,083 98,107 7.8 %
Automotive 3,659,497 3,971,531 312,034 8.5 %
Retail Trade 4,852,592 4,871,580 18,988 0.4 %
Services 3,926,336 3,911,740 (14,596)(0.4)%
Miscellaneous 64,114 65,374 1,260 2.0 %
YE Total 16,920,325$ 17,581,514$ 661,189$ 3.9 %
Comparison of Sales Tax Collections by SIC Group
Through December
Change from 2016
Percentage
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsSales Tax on Construction Transfer
2017 Budget
2017 YE Actual
2016 Actual
8
Quarterly Financial Report Through Q4-2017 9
Utility Taxes consist of interfund taxes on City utilities (Water, Sewer, Storm and Solid Waste)
and taxes on external utilities (Electric, Natural Gas, Telephone and Solid Waste). Utility taxes
collected in 2017 totaled $10.2 million and exceeded budget expectations by $98,000, or 1.0%.
$1.9 $1.8
$2.3 $2.3
$2.6
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2012 2013 2014 2015 2016 2017MillionsSales Tax On Construction Revenue
Actuals
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsUtility Tax
2017 Budget
2017 YE Actual
2016 Actual
9
Quarterly Financial Report Through Q4-2017 10
Favorable variances in electric and natural gas revenues offset lower collections in telephone
utility taxes and City utility taxes.
2016 2017 2017
Utility Tax Type YE Actual YE Budget YE Actual Amount Amount
City Interfund Utility Taxes 3,959,131$ 3,936,300$ 3,890,304$ $ (68,827)(1.7)% $ (45,996)(1.2)%
Electric 3,525,357 3,560,000 3,694,954 169,596 4.8 %134,954 3.8 %
Natural Gas 946,959 1,001,200 1,072,751 125,791 13.3 %71,551 7.1 %
Telephone 1,494,354 1,451,800 1,379,949 (114,405) (7.7)%(71,851) (4.9)%
Solid Waste (external)124,007 120,000 129,831 5,824 4.7 %9,831 8.2 %
YE Total 10,049,809$ 10,069,300$ 10,167,789$ $ 117,980 1.2 % $ 98,489 1.0 %
Through December 2017
Utility Tax by Type
2017 vs. 2016 Actual 2017 vs. Budget
Percentage Percentage
$9.2 $9.5 $10.0 $9.7 $10.0 $10.2
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2012 2013 2014 2015 2016 2017MillionsUtility Tax Revenues
Actuals
10
Quarterly Financial Report Through Q4-2017 11
Cable Franchise Fees, which are collected quarterly, totaled $1.0 million and exceeded budget
by $38,000, or 3.9%.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
$1,100
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Franchise Fee
2017 Budget
2017 YE Actual
2016 Actual
$0.8 $0.9 $0.9 $0.9
$1.0 $1.0
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
2012 2013 2014 2015 2016 2017MillionsCable Franchise Fee
Actuals
11
Quarterly Financial Report Through Q4-2017 12
Cable Utility Tax (New in 2017). In September 2016, City Council approved Ordinance No.
6620, which increased the Cable Utility Tax from 1.0% to 6.0%, with the entirety of the new tax
amount benefitting the General Fund. This tax became effective on January 1, 2017 and is
collected quarterly. Although this revenue stream appears to be unfavorable to budget through
the end of 2017, this is just a timing issue whereas the revenues generated for October through
December 2017 in the amount of $267,000 was collected in January 2018. Including the
payment received in January 2018, the distributions totaled $1,068,000 and exceeded the
budget expectation of $1,000,000 by 6.8%.
Licenses and Permits include business licenses, building permits, plumbing, electric and other
licenses and permit fees. Building permit fees and business licenses make up about 70% of the
annual budgeted revenue in this category.
Business license revenues collected in 2017 totaled $163,000, compared to a budget of
$222,000. While this appears to be an unfavorable variance to budget, it is actually a timing
issue where the majority of business owners paid their 2018 business license fees in January
2018.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Utility Tax -New 2017
2017 Budget
2017 YE Actual
2016 Actual
12
Quarterly Financial Report Through Q4-2017 13
$0
$20
$40
$60
$80
$100
$120
$140
$160
$180
$200
$220
$240
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecThousandsBusiness Licenses
2017 Budget
2017 YE Actual
2016 Actual
$232 $236
$171
$282
$225
$163
$0
$50
$100
$150
$200
$250
$300
$350
2012 2013 2014 2015 2016 2017ThousandsBusiness License Revenues
Actuals
13
Quarterly Financial Report Through Q4-2017 14
Building permit revenues collected in 2017 totaled $1.2 million compared to 2016 collections of
$2.0 million. This year-over-year decline in building permit revenues is due to the combination
of a lower number of building permits issued and a decrease in the average valuation of each
project. Total permits sold in 2017 was 680 as compared with 850 sold in 2016, representing a
20.0% reduction. In addition, the average construction value per permit issued declined by
40.4%, which indicates that there weren’t as many large projects permitted in 2017. Of the
permit revenues collected in 2017, 39% was attributable to commercial projects and the
remaining 61% was predominately single family housing permits.
Major projects contributing to permit revenues in 2017 include Boeing, North Auburn Logistics,
the Holiday Inn Express, LA Fitness, and Dave & Buster’s as well as numerous single family
housing permits – most notably in Canyon Creek and Calla Crest.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
$2.2
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsBuilding Permits
2017 Budget
2017 YE Actual
2016 Actual
$1.7
$2.1
$1.5
$1.2
$2.0
$1.2
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
2012 2013 2014 2015 2016 2017MillionsBuilding Permits
Actuals
14
Quarterly Financial Report Through Q4-2017 15
Intergovernmental revenues include grants (direct and indirect Federal, state and local),
compact revenue from the Muckleshoot Indian Tribe (MIT), intergovernmental service revenues,
and state shared revenues. Collections in 2017 totaled $6.1 million and ended the year
$25,000, or 0.4%, under budget. Favorable variances in revenues collected from the
Muckleshoot Casino services reimbursement and Criminal Justice High Crime revenues were
somewhat offset by reduced revenues collected in Federal grants. Federal grant
reimbursements in 2017 were significantly lower than budget expectations primarily due to the
delayed hiring of the police officers who are to be partially funded by the Federal COPS
(Community Oriented Policing Services) grant.
2016 2017 2017
Revenue YE Actual YE Budget YE Actual Amount Amount
Federal Grants 294,006$ 630,715$ 241,952$ $ (52,055)(17.7)% $ (388,763)(61.6)%
State Grants 162,692 184,295 189,238 26,546 16.3 %4,943 2.7 %
Interlocal Grants 45,973 107,000 96,322 50,349 0.0 %(10,678) (10.0)%
Muckleshoot Casino Services 668,629 650,000 855,302 186,673 27.9 %205,302 31.6 %
Intergovernmental Service 17,304 0 0 (17,304) (100.0)%0 N/A %
State Shared Revenues:
Streamlined Sales Tax 1,924,487 1,907,700 1,908,971 (15,515) (0.8)%1,271 0.1 %
Motor Vehicle Fuel Tax 1,121,112 1,221,400 1,153,061 31,949 2.8 %(68,339) (5.6)%
Criminal Justice - High Crime 285,202 192,000 391,027 105,825 37.1 %199,027 103.7 %
Criminal Justice - Population 20,807 24,000 21,787 979 4.7 %(2,213) (9.2)%
Criminal Justice - Special Prog.75,865 80,000 79,077 3,212 4.2 %(923) (1.2)%
Marijuana Revenues 29,420 34,000 56,069 26,648 90.6 %22,069 64.9 %
State DUI 11,779 12,000 11,678 (100) (0.9)%(322) (2.7)%
Fire Insurance Tax 76,569 75,000 78,078 1,509 2.0 %3,078 4.1 %
Liquor Excise 352,467 360,000 371,440 18,973 5.4 %11,440 3.2 %
Liquor Profit 650,766 651,000 650,607 (159) (0.0)%(393) (0.1)%
Total State Shared:4,548,474 4,557,100 4,721,796 173,321 3.8 %164,696 3.6 %
YE Total 5,737,079$ 6,129,110$ 6,104,610$ 367,530$ 6.4 %(24,500)$ (0.4)%
Through December 2017
Intergovernmental Revenues (Grants, Entitlements & Services)
2017 vs. 2016 Actual 2017 vs. Budget
% Change % Change
$5.7
$4.8 $5.1 $5.3 $5.7 $6.1
$0
$1
$2
$3
$4
$5
$6
$7
$8
2012 2013 2014 2015 2016 2017MillionsIntergovernmental Revenues
(Grants, Entitlements & Services)
Actuals
15
Quarterly Financial Report Through Q4-2017 16
Charges for Services consist of general governmental service charges, public safety charges,
development service fees, and cultural & recreation fees. Overall, charges for services
collected in 2017 totaled $4.2 million, which was $165,000 higher than revenues collected in
2016, and $21,000, or 0.5%, unfavorable to budget in 2017.
General governmental charges for service collected in 2017 totaled $73,000 compared to a
budget of $61,000. The favorability to budget was mostly seen in passport services.
Public safety revenues consist of revenues generated for police officer extra duty security
services – where officers are contracted for and reimbursement is made by the hiring contractor
– as well as revenues generated for reimbursement from the Muckleshoot Indian Tribe (MIT) for
a full-time dedicated police officer and associated expenditures. These revenues also include
monies collected from the Auburn School District and the Criminal Justice Training Commission
(CJTC) for services rendered. Public safety revenues collected in 2017 totaled $888,000
compared to a budget of $876,000. Revenues collected in 2017 were $249,000 or 39.0%
higher than the revenues collected in 2016, predominately due to the reimbursement for
services from the CJTC for a full time police officer who is on loan from the City, as well as
increased revenues collected for extra duty security services due to a 27% increase in billable
hours.
2016 2017 2017
Revenue YE Actual YE Budget YE Actual Amount Amount
General Government 76,218$ 60,700$ 72,710$ $ (3,508)(4.6)% $ 12,010 19.8 %
Public Safety 638,440 875,700 887,535 249,094 39.0 %11,835 1.4 %
Development Services 1,046,249 1,007,600 906,687 (139,563) (13.3)%(100,913) (10.0)%
Culture & Recreation 2,316,824 2,319,680 2,375,807 58,983 2.5 %56,127 2.4 %
YE Total 4,077,733$ 4,263,680$ 4,242,738$ 165,005$ 4.0 % $ (20,942)(0.5)%
Through December 2017
Charges for Services by Type
2017 vs. 2016 Actual 2017 vs. Budget
Percentage Percentage
$3.6 $3.3
$3.9 $4.3 $4.1 $4.2
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
2012 2013 2014 2015 2016 2017MillionsCharges for Services
Actuals
16
Quarterly Financial Report Through Q4-2017 17
Development services fee collections, which primarily consist of plan check fees, totaled
$907,000 and ended the year $101,000, or 10.0%, lower than budget expectations. Total plan
check fees collected in 2017 totaled $664,000, compared to a budget of $800,000 and
compares with $759,000 collected in 2016. Plan check revenues collected in 2017 were from
numerous commercial and residential projects, including the Hudson Distribution Center, the
Auburn School District, Boeing, the Tru by Hilton hotel, as well as numerous housing plans
including Calla Crest and Hazelview. Of the $664,000 in plan check revenues collected in 2017,
55% was attributable to commercial projects in the City and the remaining 45% was
predominately single family housing projects.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsDevelopment Service Fees
2017 Budget
2017 YE Actual
2016 Actual
Revenue decreased in
September 2017 due to a
$49K refund for Plan Check
fees that were originally
paid in April 2017.
$1.2
$1.1 $1.1
$1.4
$1.0
$0.9
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2012 2013 2014 2015 2016 2017MillionsDevelopment Service Fees
Actuals
17
Quarterly Financial Report Through Q4-2017 18
Culture and recreation revenues collected in 2017 totaled $2.4 million, and exceeded budget by
$56,000, or 2.4%. Collections in 2017 increased by $59,000, or 2.5%, compared to collections
in 2016 primarily due to an increase in revenues collected for theater tickets sales and
increased revenues collected for recreational classes. The majority of the culture and
recreation revenues are derived from greens fees and pro shop sales at the Auburn Golf
Course, recreational classes, athletic league fees, and special events.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
$2.2
$2.4
$2.6
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsCulture & Recreation
2017 Budget
2017 YE Actual
2016 Actual
$2.0 $2.1 $2.2 $2.3 $2.3 $2.4
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2012 2013 2014 2015 2016 2017MillionsCulture & Recreation Revenues
Actuals
18
Quarterly Financial Report Through Q4-2017 19
Fines & Penalties include traffic and parking infraction penalties, criminal fines (including
criminal traffic, criminal non-traffic and other criminal offenses) as well as non-court fines such
as false alarm fines. Total revenues collected in 2017 totaled $882,000, compared to a budget
of $876,000. Revenues collected in 2017 were slightly lower than 2016 primarily due to
reduced collections in civil infraction penalties, criminal non-traffic fines, and non-court fines and
penalties.
2016 2017 2017
Month YE Actual YE Budget YE Actual Amount Amount
Civil Penalties 23,763$ 12,000$ 28,346$ $ 4,583 19.3 % $ 16,346 136.2 %
Civil Infraction Penalties 470,118 467,900 457,818 (12,300) (2.6)%(10,082) (2.2)%
Redflex Photo Enforcement 15,433 0 10,773 (4,660) (30.2)%10,773 N/A %
Parking Infractions 130,567 145,300 148,260 17,693 13.6 %2,960 2.0 %
Criminal Traffic Misdemeanor 58,885 51,000 73,578 14,692 25.0 %22,578 44.3 %
Criminal Non-Traffic Fines 47,125 43,500 31,077 (16,048) (34.1)%(12,423) (28.6)%
Criminal Costs 60,366 42,000 46,394 (13,972) (23.1)%4,394 10.5 %
Non-Court Fines & Penalties 99,662 114,400 86,009 (13,653) (13.7)%(28,391) (24.8)%
YE Total 905,921$ 876,100$ 882,255$ $ (23,667)(2.6)% $ 6,155 0.7 %
Through December 2017
Fines & Penalties by Type
2017 vs. 2016 Actual 2017 vs. Budget
Percentage Percentage
$0.0
$0.1
$0.2
$0.3
$0.4
$0.5
$0.6
$0.7
$0.8
$0.9
$1.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFines & Penalties
2017 Budget
2017 YE Actual
2016 Actual
19
Quarterly Financial Report Through Q4-2017 20
Miscellaneous revenues consist of investment earnings, income from facility rentals,
contributions & donations, and other income including the quarterly purchasing card (P-card)
rebate monies. Revenues collected in this category in 2017 totaled $1.5 million and exceeded
budget by $421,000, or 40.1%, largely due to higher interest earnings and rents and leases.
Interest and investments revenues collected in 2017 were $169,000 higher than budget
expectations primarily due to the fact that the State Investment Pool interest rate was
substantially higher in 2017 than 2016.
Rents and leases revenues in 2017 exceeded budget expectations by $164,000 primarily due to
higher than anticipated revenues from facilities rentals and parking space rentals. Facility rental
revenue realized a $42,000 year-over-year increase due primarily to the opening of the new
Community and Events Center in mid-2016, therefore only generating a half-year’s revenue in
2016 versus a full year in 2017. In 2017, additional inventory of parking spaces were added;
therefore, parking permit revenues collected in 2017 were $22,000 higher than collections in
2016.
Lastly, other miscellaneous revenues exceeded budget expectations by $76,000 predominately
due to unbudgeted code violation revenues collected, which amounted to $57,000 in 2017.
$1.6
$1.4
$1.2
$0.9 $0.9 $0.9
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
2012 2013 2014 2015 2016 2017MillionsFines & Penalties
Actuals
2016 2017 2017
Month YE Actual YE Budget YE Actual Amount Amount
Interest & Investments 110,800$ 69,000$ 237,532$ 126,732$ 114.4 %168,532$ 244.2 %
Rents & Leases 783,930 715,300 879,059 95,129 12.1 %163,759 22.9 %
Contributions & Donations 32,435 35,000 47,926 15,491 47.8 %12,926 36.9 %
Other Miscellaneous Revenue 286,520 232,500 308,578 22,058 7.7 %76,078 32.7 %
YE Total 1,213,685$ 1,051,800$ 1,473,095$ 259,410$ 21.4 %421,295$ 40.1 %
Miscellaneous Revenues by Type
Through December 2017
2017 vs. 2016 2017 vs. Budget
Percentage Percentage
20
Quarterly Financial Report Through Q4-2017 21
Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects
Fund and is used for governmental capital projects. REET revenues collected in 2017 totaled
$3.6 million and exceeded budget expectations by $744,000, or 26.5%. Real estate sales
include the sale of both commercial properties and numerous single family residences.
Commercial sales in 2017 included the sale of multiple hotels, two auto dealerships, several
apartment complexes as well as several retail, industrial and warehouse properties. Real estate
excise tax receipts were down for a second consecutive year from a high in 2015 that included
the sale of several very large businesses including the Outlet Collection and the Lakeland Town
Center.
$0.8
$0.7
$1.0 $1.0
$1.2
$1.5
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2012 2013 2014 2015 2016 2017MillionsMiscellaneous Revenues
Actuals
2016 2017 2017
Month Actual Budget Actual Amount Amount
Jan 339,594$ 192,600$ 224,044$ (115,550)$ (34.0)%31,444$ 16.3 %
Feb 286,943 166,800 249,683 (37,261) (13.0)%82,883 49.7 %
Mar 293,361 170,800 326,044 32,683 11.1 %155,244 90.9 %
Apr 574,925 254,200 234,480 (340,445) (59.2)%(19,720) (7.8)%
May 255,078 249,000 299,251 44,173 17.3 %50,251 20.2 %
Jun 329,081 317,200 353,807 24,727 7.5 %36,607 11.5 %
Jul 360,857 294,200 330,707 (30,150) (8.4)%36,507 12.4 %
Aug 673,012 221,000 325,936 (347,076) (51.6)%104,936 47.5 %
Sep 338,340 234,800 309,422 (28,918) (8.5)%74,622 31.8 %
Oct 249,714 226,300 286,675 36,961 14.8 %60,375 26.7 %
Nov 321,895 230,200 289,045 (32,850) (10.2)%58,845 25.6 %
Dec 262,543 252,900 325,309 62,766 23.9 %72,409 28.6 %
YE Total 4,285,344$ 2,810,000$ 3,554,404$ (730,940)$ (17.1)%744,404$ 26.5 %
Real Estate Excise Tax Revenues
December 2017
Percentage
2017 vs. 2016 2017 vs. Budget
Percentage
21
Quarterly Financial Report Through Q4-2017 22
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsReal Estate Excise Tax
2017 Budget
2017 YE Actual
2016 Actual
$1.8
$2.2 $2.5
$4.6 $4.3
$3.6
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0
2012 2013 2014 2015 2016 2017MillionsReal Estate Excise Tax Revenues
Actuals
22
Quarterly Financial Report Through Q4-2017 23
Pet Licensing
In 2017, 4,378 pet licenses were sold, resulting in $114,265 in revenue. In 2016, 4,706 licenses
were sold, resulting in $128,680 in revenue.
0
500
1,000
1,500
2,000
2,500
$0
$2
$4
$6
$8
$10
$12
$14
$16
JanFebMarAprMayJunJulAugSepOctNovDecNumber of Licenses IssuedLicense Revenue( thousands )Pet Licensing Revenues vs Licenses Sold
2017 vs 2016
2016 License Revenue
2017 License Revenue
2016 Licenses Issued
2017 Licenses Issued
0
1,000
2,000
3,000
4,000
5,000
6,000
$0
$20
$40
$60
$80
$100
$120
$140
JanFebMarAprMayJunJulAugSepOctNovDecNumber of Licenses IssuedLicense Revenue( thousands )Cumulative Pet Licensing Revenue & Licenses Issued
2017 vs 2016
2017 License Revenue
2017 Licenses Issued
2016 Licenses Issued
23
Quarterly Financial Report Through Q4-2017 24
Street Funds
This section provides a financial overview of the City’s three street funds for the year ending
December 31, 2017. The City’s three street funds include the Arterial Street Fund (Fund 102),
the Local Street Fund (Fund 103), and the Arterial Street Preservation Fund (Fund 105).
Fund 102 – Arterial Street Fund
The Arterial Street Fund is a special revenue fund that is funded by transportation grants, traffic
impact fees, a portion of the City’s gas tax receipts, Public Works Trust Fund loans, developer
contributions, and other sources. As of December 31, 2017 there were 28 separate street
projects budgeted in this fund.
During 2017, revenues collected totaled $8.4 million as compared with collections of $4.2 million
in 2016. This variance is largely due to the timing of capital expenditures and their subsequent
reimbursement via federal grants. Total expenditures in 2017 were $9.7 million and compare to
$6.3 million spent in 2016. The increase from 2016 to 2017 is based on increased construction
activity as budgeted multi-year projects move from the design phase to the construction phase,
where most expenditures occur.
Fund 102 - Arterial Street 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
Federal Grants 7,054,082$ 7,054,082$ 2,991,037$ 580,492$ (4,063,045)$ (57.6)%
State Grants 2,995,210 2,995,210 2,339,312 1,193,710 (655,898) (21.9)%
Motor Vehicle Fuel and Multimodal Taxes 583,000 583,000 590,141 580,220 7,141 1.2 %
Developer Contributions 809,221 809,221 369,382 510,383 (439,839) (54.4)%
Miscellaneous Revenue 466,191 466,191 - 64,862 (466,191) (100.0)%
Other Governmental Agencies - - - - -
Public Works Trust Fund Loans - - - - -
Operating Transfer In 3,420,622 3,420,622 2,092,291 1,295,215 (1,328,331) (38.8)%
Investment Income 2,600 2,600 11,173 6,484 8,573 329.7 %
Total Revenues 15,330,926$ 15,330,926$ 8,393,335$ 4,231,365$ (6,937,591)$ (45.3)%
Expenditures
Salary and Benefits 285,000$ 285,000$ 618,410$ 490,836$ (333,410)$ (117.0)%
Capital Outlay 15,658,112 15,658,112 8,452,526 5,302,678 7,205,586 46.0 %
Subtotal - Capital Project Expenditures 15,943,112 15,943,112 9,070,936 5,793,514 6,872,176 43.1 %
Services and Charges 285,000 285,000 329,980 224,507 (44,980) (15.8)%
Interfund Payments for Services 76,681 76,681 76,680 74,556 1 0.0 %
Debt Service Principal and Interest 209,511 209,511 209,511 210,205 0 0.0 %
Operating Transfer Out 15,046 15,046 7,015 - 8,031 53.4
Total Expenditures 16,529,350$ 16,529,350$ 9,694,122$ 6,302,783$ 6,835,228$ 41.4 %
Net Change in Fund Balance (1,198,424)$ (1,198,424)$ (1,300,786)$ (2,071,418)$ (102,362)$ 8.5 %
Beg. Fund Balance, January 2017 2,655,913$
Net Change in Fund Balance, December 2017 (1,300,786)
Ending Fund Balance, December 2017 1,355,127$
2017 Budgeted Ending Fund Balance 1,457,489$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
24
Quarterly Financial Report Through Q4-2017 25
This table presents the status of the projects with the most significant impacts on this fund:
Notes:
• W. Main St. Multimodal Corridor & ITS Improvements is complete.
• S 277th Street Corridor Improvements is nearing completion but will continue into 2018.
• AWS Corridor Safety Improvements is nearing completion but will continue into 2018.
• Of the remaining projects in this fund: nine are in construction, two are partnership projects with other
entities that were delayed until 2018 due to the construction schedule of the other agencies, and one is a
grant-funded project that was delayed by Puget Sound Regional Council until 2019. These represent
approximately $4.9M of the remaining projects.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 102 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$15.9M
2017 YE Budget:
$5.8M
2017 YE Budget:
$9.1M
Name Annual Budget YE Actual Remaining
W. Main St Multimodal Corridor & ITS Imp $1.6M $1.3M $0.2M
S. 277th St Corridor Improvements $4.3M $3.9M $0.5M
AWS Corridor Safety Imp. -- Muckleshoot Pl.$3.3M $2.6M $0.7M
All Other Projects (25 Others Budgeted)$6.8M $1.3M $5.5M
Total $15.9M $9.1M $6.9M
*Components may not sum to total due to rounding.
Fund 102 - Arterial Street
Capital Projects Status *
25
Quarterly Financial Report Through Q4-2017 26
Fund 103 – Local Street Fund
The Local Street Fund is a special revenue fund where the revenues from sales taxes on
construction are used for local street repair. During 2017 the revenues in this fund totaled $2.8
million, exceeding budget expectations by $905,000 due to higher than anticipated sales tax
revenues from local construction projects. This also compares to collections of $2.5 million in
2016. Total expenditures in 2017 were $2.2 million and compare to expenditures of $2.1 million
in 2016. Historically, well over half of this fund’s annual expenditures occur in the final four
months of each year due to the weather sensitivity of pavement construction (this work needs to
be done primarily in the summer and early fall). Highlighted in the table below and shown in the
following graph are the fund’s total expenditures related to capital projects.
Fund 103 - Local Street Fund 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
Sales Tax on Construction 1,750,000$ 1,750,000$ 2,632,107$ 2,292,280$ 882,107$ 50.4 %
Operating Transfer In 150,000 150,000 150,000$ 150,000 - 0.0 %
Interest Earnings 9,100 9,100 32,475$ 11,532 23,375 256.9 %
Total Revenues 1,909,100$ 1,909,100$ 2,814,582$ 2,453,812$ 905,482$ 47.4 %
Expenditures
Salary and Benefits 148,568$ 148,568$ 124,325$ 122,298$ 24,243$ 16.3 %
Capital Project Expenditures 2,933,969 2,933,969 2,050,006 1,974,528 883,963 30.1 %
Services and Charges 25,680 25,680 23,703 708 1,977 7.7 %
Interfund Payments for Services 11,925 11,925 11,916 12,240 9 0.1 %
Operating Transfer Out 11,051 11,051 5,825 - 5,226 47.3
Total Expenditures 3,131,193$ 3,131,193$ 2,215,775$ 2,109,775$ 915,418$ 29.2 %
Net Change in Fund Balance (1,222,093)$ (1,222,093)$ 598,807$ 344,037$ 1,820,900$ (149.0)%
Beg. Fund Balance, January 2017 2,424,727$
Net Change in Fund Balance, December 2017 598,807
Ending Fund Balance, December 2017 3,023,534$
2017 Budgeted Ending Fund Balance 1,202,634$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
26
Quarterly Financial Report Through Q4-2017 27
This table presents the status of the projects with the most significant impacts on this fund:
Notes:
• 2016 Local Street Reconstruction Project received Final Acceptance by the City Council on April 17, 2017
and is complete.
• 2017 Local Street Reconstruction Project was awarded for construction by the City Council on July 3, 2017
and is under construction but will continue into 2018 due to weather limitations.
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 103 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$2.9M
2016 YE Actual:
$2.0M
2017 YE Actual:
$2.1M
Name Annual Budget YE Actual Remaining
2018 Local Street Pavement Reconstruction $0.1M $0.03M $0.07M
2017 Local St. Reconst. & Preservation $2.77M $1.95M $0.82M
All Other Projects (1 Other Budgeted)$0.07M $0.07M $0.0M
Total $2.9M $2.1M $0.9M
*Components may not sum to total due to rounding.
Fund 103 - Local Street
Capital Projects Status*
27
Quarterly Financial Report Through Q4-2017 28
Fund 105 – Arterial Street Preservation Fund
The Arterial Street Preservation Fund is a special revenue fund which is primarily funded by a
1.0% utility tax that was adopted by Council in 2008; these utility tax revenues are restricted for
arterial street repair and preservation projects. Major projects budgeted within the Arterial Street
Preservation Fund in 2017 include 15th Street NE/NW Preservation, Auburn Way North
Preservation, and the B Street NW Reconstruction project. During 2017, revenues totaled $3.9
million and compare to collections of $2.1 million in 2016.
Total 2017 expenditures were $5.0 million, which compares to expenditures of $1.1 million in
2016. This increase is due to projects carried forward from the prior year that were under
construction in 2017. Historically, the majority of this fund’s expenditures occur in the second
half of each year due to the weather sensitivity of pavement construction (this work needs to be
done primarily in the summer and early fall). Highlighted in the table below and shown in the
following graph are the fund’s total expenditures related to capital projects.
Fund 105 - Arterial Street Preservation 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
City Utility Tax 632,300$ 632,300$ 648,384$ 659,855$ 16,084$ 2.5 %
Electric Utility Tax 712,000 712,000 738,991 705,071 26,991 3.8 %
Natural Gas Utility Tax 200,200 200,200 214,550 189,392 14,350 7.2 %
Cable TV Tax 194,300 194,300 211,438 197,497 17,138 8.8 %
Telephone Utility Tax 290,400 290,400 275,990 298,871 (14,410) (5.0)%
Garbage Utility Tax (External Haulers)19,400 19,400 21,639 20,668 2,239 11.5 %
Grants 2,354,398 2,354,398 1,550,008 37,979 (804,390) (34.2)%
Developer Mitigation Fees - - - - -
Operating Transfer In 431,750 431,750 194,915 18,250 (236,835) (54.9)%
Interest Earnings 4,900 4,900 25,483 9,858 20,583 420.1 %
Total Revenues 4,839,648$ 4,839,648$ 3,881,397$ 2,137,442$ (958,251)$ (19.8)%
Expenditures
Salary and Benefits 368,000$ 368,000$ 391,456$ 286,880$ (23,456)$ (6.4)%
Capital Outlay 7,071,019 7,071,019 4,617,054 508,281 2,453,965 34.7 %
Subtotal - Capital Project Expenditures 7,439,019 7,439,019 5,008,510 795,161 2,430,509 32.7 %
Supplies - - - - -
Services and Charges - - - 62,500 -
Operating Transfer Out 56,535 56,535 14,389 195,636 42,146 74.5
Total Expenditures 7,495,554$ 7,495,554$ 5,022,898$ 1,053,297$ 2,472,656$ 33.0 %
Net Change in Fund Balance (2,655,906)$ (2,655,906)$ (1,141,501)$ 1,084,145$ 1,514,405$ (57.0)%
Beg. Fund Balance, January 2017 3,269,631$
Net Change in Fund Balance, December 2017 (1,141,501)
Ending Fund Balance, December 2017 2,128,130$
2017 Budgeted Ending Fund Balance 613,725$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
28
Quarterly Financial Report Through Q4-2017 29
This table presents the status of the projects with the most significant impacts on the fund:
Notes:
• Auburn Way North Preservation is complete.
• B Street NW Reconstruction was awarded for construction by the City Council on June 19, 2017 and is
nearing completion with minor work continuing into 2018.
• 15th Street NE/NW Preservation project construction was delayed until 2018 due to the Puget Sound
Regional Council’s (PSRC’s) modification of the Grant’s obligation year to FY 2018. This revision was part
of a region wide effort to address federal grant funding restrictions for FY 2017, 2018, 2019 and 2020, and
means that funds cannot be expended until 2018.
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
$8.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 105 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$7.4M
2016 YE Actual:
$0.8M
2017 YE Actual:
$5.0M
Name Annual Budget YE Actual Remaining
15th St NE/NW Preservation $1.5M $0.09M $1.5M
Auburn Way North Preservation $1.7M $1.7M $.0M
B Street NW Reconstruction $2.7M $1.9M $0.8M
All Other Projects (4 Others Budgeted)$1.4M $1.3M $0.1M
Total $7.4M $5.0M $2.4M
*Components may not sum to total due to rounding.
Capital Projects Status*
Fund 105 - Arterial Street Preservation
29
Quarterly Financial Report Through Q4-2017 30
Fund 124 – Mitigation Fees
The Mitigation Fees Fund is a special revenue fund funded from revenues from new
development, which are assessed at the time applications are received for development activity.
These funds are used to mitigate costs associated with City growth. In 2017, revenues were
above budget expectations, at 37.0% above the annual budgeted amount. Projects contributing
substantially to these revenues include North Auburn Logistics and Holiday Inn Express.
Expenditures were below budget due to the timing of capital projects funded by these revenues.
Fund 124 - Mitigation Fees
Summary of Sources and Uses
Report Period Through:Ending Ending
December 2017 Fund Balance Fund Balance
Transportation Impact Fees 1,757,765$ 1,882,222$ 5,029,838$ 800,000$ 3,145,526$ 2,808,769$
Transportation Migitation Fees 67,877 101,307 230,848 - 148,946 115,331
Fire Impact Fees 181,528 400,000 81,339 170,000 400,000 69,811
Fire Mitigation Fees - - 81 - - 81
Parks Impact Fees 598,576 116,036 5,288,973 600,000 612,000 4,794,434
Parks Mitigation Fees - - 331,327 - - 331,327
School Impact Admin Fees 8,396 - 55,316 12,000 - 58,920
Wetland Mitigation Fees - - 68,835 - 31,570 37,265
Interest and Investment Income 112,605 - 112,605 8,200 - 8,200
Fees in Lieu of Improvements - - 122,525 - - 122,525
Operating Transfers - - - 400,000 - 400,000
Total 2,726,746$ 2,499,564$ 11,321,687$ 1,990,200$ 4,338,042$ 8,746,663$
Beginning Fund Balance, January 2017 11,094,505$
Net Change in Fund Balance, December 2017 227,182
Ending Fund Balance, December 2017 11,321,687$
2017 Budgeted Ending Fund Balance 8,746,663$
YE Actuals BUDGET
Revenues Expenditures Revenues Expenditures
30
Quarterly Financial Report Through Q4-2017 31
Enterprise Funds
Detailed income and expense statements for Enterprise and Internal Service funds can be
found in the appendices at the end of this report. The appendices provide operating and, as
applicable, capital fund reports for these funds showing budget, actuals, and variances.
Operating funds house all the operating costs along with debt service and financing obligations.
Capital funds show costs associated with capital acquisition and construction. Both the
operating and capital funds have a working capital balance. This approach isolates those funds
available for capital and cash flow needs for daily operations, and project managers will know
exactly how much working capital is available for current and planned projects.
In 2017, the Water Utility had operating income before depreciation of $5.7 million as
compared with $4.7 million in 2016. Revenues ended the year slightly ahead of budget
expectations. The increase in operating income is largely due to lower expenditures in 2017
compared to 2016, during which the City purchased regional water from the City of Tacoma
while four of the City’s six major production wells were being rehabilitated. Regional water
purchases in 2017 were minimal.
Water sales by volume during 2017 totaled 3.2 million hundred cubic feet (ccf), compared to 3.6
million ccf in 2016, representing a 14.9% decrease due to lower water consumption. This is part
of a general trend of decreased year-over-year water consumption per account due largely to
conservation efforts and appliance efficiency improvements. Additionally, the City has not
provided water to Water District #111 since its contract was renegotiated; last year, sales to
Water District #111 represented 11.3% of total water sales by volume.
The Sewer Utility finished 2017 with operating income before depreciation of $2.3 million as
compared to operating income of $2.1 million in 2016 due primarily to higher service revenues
in 2017.
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec CCFThousandsWater Revenues vs Water Sold
2017 vs 2016
2016 Water Sales ($)
2017 Water Sales ($)
2016 Water Sold (ccf)
2017 Water Sold (ccf)
31
Quarterly Financial Report Through Q4-2017 32
The Sewer-Metro Utility ended 2017 with operating income before depreciation of $421,000,
as compared with $297,000 in 2016. Variances in this fund are largely due to King County’s
internal billing process, by which King County bills the City a flat rate each quarter based on the
number of customers and consumption volume averaged over prior quarters. Therefore, the
Sewer-Metro Utility generally experiences a loss early in the year when revenues trend low, and
income later in the year when revenues trend higher. This increase is due to higher revenues
from service charges.
The Stormwater Utility ended 2017 with operating income before depreciation of $2.6 million,
compared with $2.7 million in 2016.
Through December 2017, the Solid Waste Utility Fund had $15.1 million in operating
revenues, compared to $14.5 million in operating expenditures, resulting in an increase in
Working Capital of $0.6 million.
The City of Auburn’s Solid Waste services are outsourced to Waste Management and to
Republic Services, who manages the contract for the annexed areas. As of December 2017,
Waste Management serviced 15,551 customers (80% of customers) and Republic Services
serviced 4,009 customers (20% of customers).
The current mix of customer account types is:
• 89% Residential
• 8% Commercial
• 3% Multifamily
The “diversion rate” is a measure of how much generated waste is not sent to the landfill; i.e.,
waste that is either recycled or collected yard waste. In 2017, the total diversion rate was 30%,
which represents a total of 19,500 tons of waste that was diverted from landfills.
2017 Solid Waste Diversion Rates:
Garbage -
10,200
tons (49%)
Yard Waste -
5,900 tons
(28%)
Recycling -
4,800 tons
(23%)
2017 Residential Waste Stream
Garbage
Yard Waste
Recycling
Garbage -
9,100 tons
(79%)
Yard Waste -
300 tons
(3%)
Recycling -
2,100 tons
(18%)
2017 Multifamily Waste Stream
Garbage
Yard Waste
Recycling
Total: 11,500 tons
Diversion Rate: 21%
Total: 20,900 tons
Diversion Rate: 51%
32
Quarterly Financial Report Through Q4-2017 33
Of the total tonnage collected in 2017, 51% was collected from commercial customers, 32%
was collected from residential customers, and 18% was collected from multifamily customers,
as shown in the following graph.
Garbage -
26,900 tons
(81%)
Yard Waste -
100 tons (0%)
Recycling -
6,200 tons
(19%)
2017 Commercial Waste Stream
Garbage
Yard Waste
Recycling
Total: 33,200 tons
Diversion Rate: 19%
Garbage -
46,100 tons
(70%)
Yard Waste -
6,400 tons
(10%)
Recycling -
13,100 tons
(20%)
2017 Total Waste Stream
Garbage
Yard Waste
Recycling
Total: 65,600 tons
Diversion Rate: 30%
5,168 4,618
5,740 5,406
6,673
6,083
5,359 5,322 5,237 5,293 5,480 5,203
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17Tonnage2017 Solid Waste Tonnage by Customer Type
Residential Multifamily Commercial
33
Quarterly Financial Report Through Q4-2017 34
Of the total tonnage collected in 2017, 70% was garbage, 20% was recyclables, and 10% was
yard waste, as shown in the following graph.
The Cemetery Fund ended 2017 with an operating income of $223,000 as compared with an
operating income of $188,000 in 2016. This variance is mainly due to slightly increased sales
revenue and slightly lower expenditures for supplies.
5,168 4,618
5,740 5,406
6,673
6,083
5,359 5,322 5,237 5,293 5,480 5,203
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17Tonnage2017 Solid Waste Tonnage by Waste Stream
Garbage Recycling Yard Waste
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecThousandsCEMETERY
2017 YE Budgeted
Revenue
2017 YE Actual
Revenue
2016 YE Actual
Revenue
2017 YE Actual
Expenses
Cumulative Revenues & Expenditures
2017 Budget vs. Actual
34
Quarterly Financial Report Through Q4-2017 35
Internal Service Funds
No significant variances are reported in the Insurance, Worker’s Compensation, Facilities,
Innovation & Technology, or Equipment Rental funds.
Contact Information
This report is prepared by the Finance Department. Additional financial information can also be
viewed at our website: http://www.auburnwa.gov/. For any questions about this report please
contact Shelley Coleman at scoleman@auburnwa.gov.
35
Investment Purchase Purchase Maturity Yield to
Type Date Price Date Maturity
State Investment Pool Various 116,427,623$ Various 1.28%
KeyBank Money Market Various 6,332,600 Various 0.02%
OpusBank Public Interest Acct Various 10,020,030 Various 1.36%
FNMA 3/11/2016 998,844 2/22/2019 1.20%
Total Cash & Investments 133,779,097$ 1.223%
Investment Mix % of Total
State Investment Pool 87.0%Current 6-month treasury rate 1.50%
KeyBank Money Market 4.7%Current State Pool rate 1.28%
OpusBank Public Interest Acct 7.5%KeyBank Money Market 0.02%
FNMA 0.7%OpusBank Public Interest Acct 1.36%
100.0%Blended Auburn rate 1.22%
City of Auburn
Investment Portfolio Summary
December 31, 2017
Summary
36
SALES TAX SUMMARY
DECEMBER 2017 SALES TAX DISTRIBUTIONS (FOR OCTOBER 2017 RETAIL ACTIVITY)
2016 Annual Total 2016 YE 2017 YE YE 2016 Annual Total 2016 YE 2017 YE YE
NAICS CONSTRUCTION (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff NAICS AUTOMOTIVE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
236 Construction of Buildings 1,139,466 1,139,466 1,503,231 31.9%441 Motor Vehicle and Parts Dealer 3,409,019 3,409,019 3,703,385 e 8.6%
237 Heavy and Civil Construction 309,344 309,344 209,928 -32.1%447 Gasoline Stations 250,478 250,478 268,146 7.1%
238 Specialty Trade Contractors 843,470 843,470 918,947 8.9%TOTAL AUTOMOTIVE 3,659,497$ 3,659,497$ 3,971,531$ 8.5%
TOTAL CONSTRUCTION 2,292,280$ 2,292,280$ 2,632,107$ 14.8%Overall Change from Previous Year 312,034$
Overall Change from Previous Year 339,827$
2016 Annual Total 2016 YE 2017 YE YE
2016 Annual Total 2016 YE 2017 YE YE NAICS RETAIL TRADE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
NAICS MANUFACTURING (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff 442 Furniture and Home Furnishings 185,234 185,234 c 197,226 6.5%
311 Food Manufacturing 3,278 3,278 4,642 41.6%443 Electronics and Appliances 220,553 220,553 211,036 -4.3%
312 Beverage and Tobacco Products 9,601 9,601 7,842 -18.3%444 Building Material and Garden 579,076 579,076 580,347 0.2%
313 Textile Mills 415 415 264 -36.5%445 Food and Beverage Stores 397,177 397,177 a 368,971 -7.1%
314 Textile Product Mills 3,554 3,554 1,501 -57.8%446 Health and Personal Care Store 284,191 284,191 368,699 29.7%
315 Apparel Manufacturing 155 155 227 46.6%448 Clothing and Accessories 1,136,431 1,136,431 1,118,980 d -1.5%
316 Leather and Allied Products 38 38 46 20.6%451 Sporting Goods, Hobby, Books 237,555 237,555 199,717 -15.9%
321 Wood Product Manufacturing 58,391 58,391 16,528 -71.7%452 General Merchandise Stores 1,017,905 1,017,905 992,858 -2.5%
322 Paper Manufacturing 8,047 8,047 15,254 89.6%453 Miscellaneous Store Retailers 473,398 473,398 463,719 -2.0%
323 Printing and Related Support 52,610 52,610 54,391 3.4%454 Nonstore Retailers 321,071 321,071 370,027 15.2%
324 Petroleum and Coal Products 2,145 2,145 1,040 -51.5%TOTAL RETAIL TRADE 4,852,592$ 4,852,592$ 4,871,580$ 0.4%
325 Chemical Manufacturing 10,183 10,183 15,982 56.9%Overall Change from Previous Year 18,988$
326 Plastics and Rubber Products 8,168 8,168 8,856 8.4%
327 Nonmetallic Mineral Products 17,429 17,429 17,749 1.8%
331 Primary Metal Manufacturing 442 442 818 85.1%2016 Annual Total 2016 YE 2017 YE YE
332 Fabricated Metal Product Manuf 29,409 29,409 28,618 -2.7%NAICS SERVICES (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
333 Machinery Manufacturing 16,461 16,461 18,216 10.7%51*Information 630,158 630,158 662,460 5.1%
334 Computer and Electronic Product 10,780 10,780 32,957 205.7%52*Finance and Insurance 110,728 110,728 122,200 10.4%
335 Electric Equipment, Appliances 445 445 1,103 147.9%53*Real Estate, Rental, Leasing 358,628 358,628 367,828 2.6%
336 Transportation Equipment Man 471,441 471,441 385,842 -18.2%541 Professional, Scientific, Tech 237,656 237,656 238,617 0.4%
337 Furniture and Related Products 18,661 18,661 34,157 83.0%551 Company Management 330 330 13 -96.1%
339 Miscellaneous Manufacturing 39,437 39,437 31,567 -20.0%56*Admin. Supp., Remed Svcs 328,453 328,453 276,380 -15.9%
TOTAL MANUFACTURING 761,091$ 761,091$ 677,596$ -11.0%611 Educational Services 50,026 50,026 55,506 11.0%
Overall Change from Previous Year (83,495)$ 62*Health Care Social Assistance 91,643 91,643 74,678 -18.5%
71*Arts and Entertainment 156,301 156,301 109,577 -29.9%
72*Accommodation and Food Svcs 1,217,734 1,217,734 1,276,310 4.8%
2016 Annual Total 2016 YE 2017 YE YE 81*Other Services 646,579 646,579 546,059 -15.5%
NAICS TRANSPORTATION AND WAREHOUSING (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff 92*Public Administration 141,806 141,806 182,112 28.4%
481 Air Transportation 1 1 2 61.8%TOTAL SERVICES 3,970,042$ 3,970,042$ 3,911,740$ -1.5%
482 Rail Transportation 24,331 24,331 20,972 -13.8%Overall Change from Previous Year (58,302)$
484 Truck Transportation 7,067 7,067 4,014 -43.2%
485 Transit and Ground Passengers 114 114 -3,390 -3076.1%
488 Transportation Support 52,828 52,828 51,246 -3.0%2016 Annual Total 2016 YE 2017 YE YE
491 Postal Service 274 274 274 0.0%NAICS MISCELLANEOUS (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
492 Couriers and Messengers 301 301 1,859 518.5%000 Unknown 0 0 0 N/A
493 Warehousing and Storage 14,523 14,523 13,526 -6.9%111-115 Agriculture, Forestry, Fishing 5,534 5,534 6,486 17.2%
TOTAL TRANSPORTATION 99,439$ 99,439$ 88,502$ -11.0%211-221 Mining & Utilities 29,410 29,410 26,023 -11.5%
Overall Change from Previous Year (10,937)$ 999 Unclassifiable Establishments 32,161 32,161 b 32,865 2.2%
TOTAL SERVICES 67,105$ 67,105$ 65,374$ -2.6%
Overall Change from Previous Year (1,731)$
2016 Annual Total 2016 YE 2017 YE YE
NAICS WHOLESALE TRADE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
423 Wholesale Trade, Durable Goods 981,820 981,820 1,080,558 10.1%GRAND TOTAL 16,967,023$ 16,967,023$ 17,581,514$
424 Wholesale Trade, Nondurable 281,166 281,166 278,097 -1.1%Overall Change from Previous Year 614,491$ 3.6%
425 Wholesale Electronic Markets 1,991 1,991 4,428 122.4%
TOTAL WHOLESALE 1,264,976$ 1,264,976$ 1,363,083$ 7.8%Total December 2017 Sales Tax Distributions 1,428,780$
Overall Change from Previous Year 98,107$ Dollar Increase from December 2016 76,553$
Percent Increase from December 2016
Includes Adjustments in excess of +/- $10,000.Comparisons:
a. WA State Dept of Revenue audit adjustment to sales tax returns for period of November 2015 (adjustment: $10,572).December 2016 16,967,023 15,614,796 1,352,227$
b. WA State Dept of Revenue audit adjustment to sales tax returns for period of April 2016 (adjustment: - $52,898).December 2015 16,865,540 15,488,142 1,377,398$
c. WA State Dept of Revenue audit adjustment to sales tax returns for period of May 2016 (adjustment: - $16,496).
d. WA State Dept of Revenue audit adjustment to sales tax returns for period of April 2017 (adjustment: - $29,746).
e. WA State Dept of Revenue audit adjustment to sales tax returns for period of October 2017 (adjustment: $36,668).
02/07/18
Prepared by Auburn Finance Department
5.7%
37
3/6/2018 3:33 PM
Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
OPERATING FUND:460 460 461 461 462 462
OPERATING REVENUES
Charges For Service 14,730,511 14,781,300 50,789 8,102,441 8,667,587 565,146 17,237,490 17,703,367 465,877 9,242,676 9,766,428 523,752
Grants - - - - - -
Interest Earnings 10,000 82,223 72,223 20,000 33,522 13,522 1,000 10,721 9,721 15,000 26,219 11,219
Rents, Leases, Concessions, & Other 212,939 246,896 33,957 72,849 73,739 890 - - - 60,951 78,397 17,446
TOTAL OPERATING REVENUES 14,953,450 15,110,419 156,969 8,195,290 8,774,849 579,559 17,238,490 17,714,088 475,598 9,318,627 9,871,044 552,417
OPERATING EXPENSES
Salaries & Wages 2,688,501 2,622,309 66,192 1,742,176 1,713,165 29,011 - - - 2,500,996 2,549,112 (48,116)
Benefits 1,314,301 1,232,638 81,663 842,110 799,993 42,117 - - - 1,233,452 1,208,249 25,203
Supplies 334,444 289,182 45,262 116,750 80,398 36,352 - - - 94,750 59,412 35,338
Other Service Charges 5,096,580 2,986,248 2,110,332 2,951,890 2,584,553 367,337 - 147 (147) 1,778,290 1,547,734 230,556
Intergovernmental Services (Less Transfers Out)9,500 3,663 5,837 83,000 62,848 20,152
Waste Management Payments
Sewer Metro Services 17,359,700 17,292,837 66,863
Debt Service Interest 1,345,282 856,805 488,477 276,483 276,483 0 - - - 361,418 361,417 1
Interfund Loan Repayment - - -
Net Change Restricted Assets
Interfund Operating Rentals & Supplies 1,422,716 1,422,819 (103) 1,039,865 1,041,678 (1,813) - - - 1,441,066 1,442,839 (1,773)
TOTAL OPERATING EXPENSES 12,201,824 9,410,000 2,791,824 6,978,774 6,499,935 478,839 17,359,700 17,292,983 66,717 7,492,972 7,231,612 261,360
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION 2,751,626 5,700,419 2,948,793 1,216,516 2,274,914 1,058,398 (121,210) 421,105 542,315 1,825,655 2,639,432 813,777
NON-OPERATING REVENUES
Operating Transfers-in
NON-OPERATING EXPENSES
Transfer to Capital Subfund 2,500,000 2,500,000 - 1,000,000 800,000 200,000 1,400,000 300,000 1,100,000
Other Operating Transfers-out 336,966 143,862 193,104 399,632 112,839 286,793 506,112 216,047 290,065
Debt Service Principal 1,799,827 1,468,080 331,747 541,127 541,127 0 413,162 413,162 -
Net Change in Restricted Net Assets - 5,691,021 5,691,021 - 518,591 518,591 - 1,586,244 1,586,244
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2017 7,977,666 7,977,666 - 2,810,410 2,810,410 - 2,672,022 2,672,022 - 2,005,792 2,005,792 -
ENDING WORKING CAPITAL - December 31, 2017 6,092,499 3,875,122 (2,217,377) 2,086,167 3,112,766 1,026,599 2,550,812 3,093,127 542,315 1,512,173 2,129,770 617,598
NET CHANGE IN WORKING CAPITAL (see Note)(1,885,167) (4,102,544) (2,217,377) (724,243) 302,356 1,026,599 (121,210) 421,105 542,315 (493,619) 123,979 617,598
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue - 22,342 22,342 - 120,323 120,323 - 125,514 125,514
Grants 175,000 5,400 (169,600) - - -
Contributions - - - - - - -
Other Non-Operating Revenue - 4,072,557 4,072,557 - - - - 800,501 800,501
Gain (Loss) On Sale Of Fixed Assets - - - - - - - - -
Increase In Contributions - System Development 1,000,000 597,556 (402,444) 500,000 458,574 (41,426) 500,000 817,846 317,846
Interfund Revenues - - - - - - - - -
Increase In Contributions - FAA - - - - - - - - -
Proceeds of Debt Activity 5,402,159 70,798 (5,331,361) - - - - - -
Transfers In from Operating Sub-Fund 2,500,000 2,500,000 - 1,000,000 800,000 (200,000) 1,400,000 300,000 (1,100,000)
Transfer In from Other Funds 200,000 - (200,000) - - - - -
Other Sources - - - - 22,500 22,500 - - -
TOTAL CAPITAL REVENUES 9,277,159 7,268,652 (2,008,507) 1,500,000 1,401,397 (98,603) 1,900,000 2,043,861 143,861
CAPITAL EXPENSES
Other Non-Operating Expense - - - - - - - - -
Increase In Fixed Assets - Salaries 382,143 167,840 214,303 86,429 50,500 35,929 152,143 164,788 (12,645)
Increase In Fixed Assets - Benefits 152,857 76,798 76,059 34,571 23,739 10,832 60,857 74,002 (13,145)
Increase In Fixed Assets - Services - 8,357 (8,357) - 8,005 (8,005) - 13,918 (13,918)
Increase In Fixed Assets - Site Improvements - 54,768 (54,768) - - - - -
Increase In Fixed Assets - Equipment 20,000 19,955 45 40,000 19,955 20,045 20,000 19,955 45
Increase In Fixed Assets - Construction 10,524,977 7,136,458 3,388,519 2,647,218 1,478,761 1,168,457 4,229,504 1,767,092 2,462,412
Operating Transfers Out 50,000 50,000 - 50,000 50,000 - 156,000 156,000 -
TOTAL CAPITAL EXPENSES 11,129,977 7,514,177 3,615,800 2,858,218 1,630,960 1,227,258 4,618,504 2,195,757 2,422,747
BEGINNING WORKING CAPITAL - January 1, 2017 1,936,373 1,936,373 - 12,710,295 12,710,295 - 13,379,700 13,379,700 -
83,555 1,690,848 1,607,293 11,352,077 12,480,733 1,128,655 10,661,196 13,227,804 2,566,608
NET CHANGE IN WORKING CAPITAL (see Note)(1,852,818) (245,525) 1,607,293 (1,358,218) (229,563) 1,128,655 (2,718,504) (151,896) 2,566,608
Total Change in Working Capital (3,737,985) (4,348,069) (610,084) (2,082,461) 72,793 2,155,254 (121,210) 421,105 542,315 (3,212,123) (27,917) 3,184,206
(*) Depreciation 3,140,000 3,269,581 2,315,000 2,199,711 - - 2,080,000 1,885,931
OPERATING & CAPITAL FUNDS
WATER
ENTERPRISE FUNDS
SEWER SEWER METRO STORMCash Basis through December 2017
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures; payments will be made as scheduled in December 2017.
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
38
3/6/2018 3:33 PM
OPERATING FUND:
OPERATING REVENUES
Charges For Service
Grants
Interest Earnings
Rents, Leases, Concessions, & Other
TOTAL OPERATING REVENUES
OPERATING EXPENSES
Salaries & Wages
Benefits
Supplies
Other Service Charges
Intergovernmental Services (Less Transfers Out)
Waste Management Payments
Sewer Metro Services
Debt Service Interest
Interfund Loan Repayment
Net Change Restricted Assets
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
NON-OPERATING EXPENSES
Transfer to Capital Subfund
Other Operating Transfers-out
Debt Service Principal
Net Change in Restricted Net Assets
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2017
ENDING WORKING CAPITAL - December 31, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Contributions
Other Non-Operating Revenue
Gain (Loss) On Sale Of Fixed Assets
Increase In Contributions - System Development
Interfund Revenues
Increase In Contributions - FAA
Proceeds of Debt Activity
Transfers In from Operating Sub-Fund
Transfer In from Other Funds
Other Sources
TOTAL CAPITAL REVENUES
CAPITAL EXPENSES
Other Non-Operating Expense
Increase In Fixed Assets - Salaries
Increase In Fixed Assets - Benefits
Increase In Fixed Assets - Services
Increase In Fixed Assets - Site Improvements
Increase In Fixed Assets - Equipment
Increase In Fixed Assets - Construction
Operating Transfers Out
TOTAL CAPITAL EXPENSES
BEGINNING WORKING CAPITAL - January 1, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through December 2017
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
464 464 465 465 466 466 -
15,316,200 15,067,667 (248,533) 826,800 874,790 47,990 927,500 1,336,570 409,070 - - -
87,300 25,120 (62,180) - - - - -
9,000 41,712 32,712 2,500 6,451 3,951 800 4,323 3,523 1,500 11,646 10,146
- 441 441 3,000 9,932 6,932 - - -
15,412,500 15,134,940 (277,560) 832,300 891,173 58,873 928,300 1,340,894 412,594 1,500 11,646 10,146
325,910 326,131 (221) - - - 475,628 470,184 5,444 - - -
147,414 146,021 1,393 - - - 258,734 250,268 8,466 225,750 54,502 171,248
27,542 5,520 22,022 2,500 435 2,066 221,700 209,208 12,492 - - -
1,645,565 1,519,615 125,950 484,950 482,003 2,947 156,750 140,684 16,066 4,230 (1,956) 6,186
363,600 366,065 (2,465) - - - - - - - - -
12,475,500 12,048,375 427,125
- - - 24,357 9,841 14,516 (0) - (0) - - -
- - - - -
111,587 111,588 (1) 1,400 1,404 (4) 47,833 47,832 1 - - -
15,097,118 14,523,314 573,804 513,207 493,682 19,525 1,160,645 1,118,176 42,469 229,980 52,546 177,434
315,382 611,626 296,244 319,093 397,490 78,397 (232,345) 222,717 455,062 (228,480) (40,899) 187,581
200,000 - (200,000) 670,715 670,715 -
- - - - - - 1,332 397 935
165,000 171,023 (6,023) - - -
- (169,681) (169,681) - - -
39,942 39,900 42
4,411,853 4,411,853 - 236,649 236,649 - 293,829 293,829 - 1,385,685 1,385,685 -
4,727,235 5,023,479 296,244 350,800 592,898 242,098 260,152 516,149 255,997 1,827,920 2,015,500 187,581
315,382 611,626 296,244 114,151 356,249 242,098 (33,677) 222,320 255,997 442,235 629,816 187,581
- 3,378 3,378 - 2,404 2,404
17,167 529 (16,638) - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
310,900 5,642 (305,258) - - -
- - - - - -
- - - - - -
275,000 274,937 (63)
- - - - - -
603,067 284,486 (318,581) - 2,404 2,404
- - - - - -
21,429 14 21,415 - - -
8,571 7 8,564 - - -
- 46 (46) - - -
- - - -
- -
729,034 348,776 380,258 - - -
- - - - - -
759,034 348,843 410,191 - - -
360,602 360,602 - 256,633 256,633 -
204,635 296,245 91,610 256,633 259,037 2,404
(155,967) (64,357) 91,610 - 2,404 2,404
315,382 611,626 (41,816) 291,892 333,708 (33,677) 224,724 258,401 442,235 629,816 187,581
19,000 18,819 468,000 462,843 50,500 47,383 - -
Note: Working capital balance only includes eleven Waste
Management payments due to the timing of December's
payment ($2,126,572), which will be made in December.
INSURANCE
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures;
payments will be made as scheduled in December 2017.
ENTERPRISE FUNDS
SOLID WASTE AIRPORT CEMETERY
INTERNAL SERVICE FUNDS
see Note
39
3/6/2018 3:33 PM
OPERATING FUND:
OPERATING REVENUES
Charges For Service
Grants
Interest Earnings
Rents, Leases, Concessions, & Other
TOTAL OPERATING REVENUES
OPERATING EXPENSES
Salaries & Wages
Benefits
Supplies
Other Service Charges
Intergovernmental Services (Less Transfers Out)
Waste Management Payments
Sewer Metro Services
Debt Service Interest
Interfund Loan Repayment
Net Change Restricted Assets
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
NON-OPERATING EXPENSES
Transfer to Capital Subfund
Other Operating Transfers-out
Debt Service Principal
Net Change in Restricted Net Assets
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2017
ENDING WORKING CAPITAL - December 31, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Contributions
Other Non-Operating Revenue
Gain (Loss) On Sale Of Fixed Assets
Increase In Contributions - System Development
Interfund Revenues
Increase In Contributions - FAA
Proceeds of Debt Activity
Transfers In from Operating Sub-Fund
Transfer In from Other Funds
Other Sources
TOTAL CAPITAL REVENUES
CAPITAL EXPENSES
Other Non-Operating Expense
Increase In Fixed Assets - Salaries
Increase In Fixed Assets - Benefits
Increase In Fixed Assets - Services
Increase In Fixed Assets - Site Improvements
Increase In Fixed Assets - Equipment
Increase In Fixed Assets - Construction
Operating Transfers Out
TOTAL CAPITAL EXPENSES
BEGINNING WORKING CAPITAL - January 1, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through December 2017
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
- - 568 568 560 560
961,300 935,127 (26,173) 3,453,700 3,485,034 31,334 6,038,376 6,065,744 27,368 2,263,102 2,281,867 18,765
- - - - - -
2,600 13,175 10,575 8,800 19,817 11,017 5,000 14,170 9,170 - 27,787 27,787
93,000 6,522 (86,478) - 57,928 57,928 - - - - 100,621 100,621
1,056,900 954,823 (102,077) 3,462,500 3,562,779 100,279 6,043,376 6,079,914 36,538 2,263,102 2,410,275 147,173
76,324 73,291 3,033 655,000 624,384 30,616 1,822,981 1,817,194 5,787 681,943 581,087 100,856
362,638 122,180 240,458 358,001 338,027 19,974 817,418 780,508 36,910 349,650 295,408 54,242
- - - 150,220 132,230 17,990 508,250 506,972 1,278 1,074,000 752,592 321,408
494,915 231,601 263,314 1,818,387 1,484,323 334,064 2,882,325 2,324,104 558,221 427,580 417,524 10,056
- - - - - - - - - - - -
- - - - - - - - - 3,843 3,581 262
- - - -
- - - 140,784 140,784 - 191,031 191,016 15 231,152 231,447 (295)
933,877 427,071 506,806 3,122,392 2,719,748 402,644 6,222,005 5,619,794 602,211 2,768,168 2,281,638 486,530
123,023 527,752 404,729 340,108 843,031 502,923 (178,629) 460,120 638,749 (505,066) 128,637 633,703
662,611 279,724 (382,887) 100,000 100,000 -
961,452 888,503 72,949 400 400 - - - -
- - -
- - - - (173,155) (173,155)
1,097,368 1,097,368 - 1,853,016 1,853,016 - 1,064,713 1,064,713 - 2,749,240 2,749,240 -
1,220,391 1,625,120 404,729 1,231,672 1,807,545 575,873 1,548,295 1,804,157 255,862 2,344,174 3,151,032 806,858
123,023 527,752 404,729 (621,344) (45,471) 575,873 483,582 739,444 255,862 (405,066) 401,792 806,858
- 18,996 18,996 - 30,156 30,156
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - 1,703,631 1,703,628 (3)
- - - - - -
- - - - - -
- - - - - -
96,537 88,570 (7,967) 1,010,927 372,032 (638,895)
- - - - - -
96,537 107,566 11,029 2,714,558 2,105,816 (608,742)
- - - - - -
- 1,983 (1,983) - - -
- 728 (728) - - -
- 263 (263) - 413 (413)
- -
779,437 469,273 310,164 1,961,665 1,662,097 299,568
163,000 61,710 101,290 710,000 9,900 700,100
55,900 55,900 - - - -
998,337 589,857 408,480 2,671,665 1,672,410 999,255
2,319,577 2,319,577 - 3,020,402 3,020,402 -
1,417,777 1,837,285 419,509 3,063,295 3,453,808 390,513
(901,800) (482,291) 419,509 42,893 433,406 390,513
123,023 527,752 404,729 (621,344) (45,471) 575,873 (418,218) 257,153 675,371 (362,173) 835,198 1,197,371
- - - - 701,000 680,431 985,000 1,182,134
INTERNAL SERVICE FUNDS
WORKER'S COMPENSATION FACILITIES INNOVATION & TECHNOLOGY EQUIPMENT RENTAL
40
INNOVATION EQUIPMENT
& TECHNOLOGY RENTAL
OPERATING REVENUES
Charges For Services 14,781,300$ 8,667,587$ -$ 9,766,428$ 15,067,667$ 70,750$ 1,336,570$ -$ -$ -$ -$ -$
Interfund Charges For Services - - - - - - - - 941,648 3,374,196 5,973,720 3,985,495
Sewer Metro Services Revenue - - 17,703,367 - - - - - - - - -
Rents, Leases, Concessions & Other - - - - - 804,040 - - - 110,838 92,023 -
TOTAL OPERATING REVENUES 14,781,300$ 8,667,587$ 17,703,367$ 9,766,428$ 15,067,667$ 874,790$ 1,336,570$ -$ 941,648$ 3,485,034$ 6,065,744$ 3,985,495$
OPERATING EXPENSES
Administration & Other 4,803,489$ 4,535,047$ 147$ 3,517,353$ 1,773,467$ 71,307$ 329,242$ 52,546$ -$ -$ 263$ 839,667$
Operations & Maintenance 3,750,012 1,696,409 17,292,837 3,366,760 12,749,847 412,580 788,934 - 427,071 2,719,748 5,619,794 1,438,804
Depreciation & Amortization 3,269,581 2,199,711 - 1,885,931 18,819 462,843 47,383 - - - 680,431 1,182,134
TOTAL OPERATING EXPENSES 11,823,082$ 8,431,167$ 17,292,983$ 8,770,044$ 14,542,133$ 946,731$ 1,165,559$ 52,546$ 427,071$ 2,719,748$ 6,300,488$ 3,460,605$
OPERATING INCOME (LOSS)2,958,219$ 236,420$ 410,384$ 996,384$ 525,533$ (71,941)$ 171,012$ (52,546)$ 514,577$ 765,286$ (234,745)$ 524,890$
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 104,565$ 153,845$ 10,721$ 151,733$ 41,712$ 9,829$ 6,727$ 11,646$ 13,175$ 19,817$ 33,166$ 57,943$
Other Non-Operating Revenue 252,296 73,739 - 78,397 25,561 16,102 - - - 57,928 - 84,109
Gain (Loss) On Sale Of Fixed Assets - - - - - - - - - - - 16,512
Other Non-Operating Expense*(856,805) (276,483) - (361,417) - (9,841) - - - - - (3,581)
TOTAL NON-OPERATING REVENUES & EXPENSES (499,945)$ (48,899)$ 10,721$ (131,287)$ 67,274$ 16,090$ 6,727$ 11,646$ 13,175$ 77,745$ 33,166$ 154,984$
2,458,274$ 187,521$ 421,105$ 865,097$ 592,807$ (55,851)$ 177,739$ (40,899)$ 527,752$ 843,031$ (201,579)$ 679,874$
Contributions 597,556$ 458,574$ -$ 817,846$ -$ -$ -$ -$ -$ -$ -$ -$
Transfers In 2,500,000 800,000 - 300,000 - 274,937 - 670,715 - - 368,294 472,032
Transfers Out (2,693,862) (962,839) - (672,047) - - (397) - - (888,503) (56,300) -
TOTAL CONTRIBUTIONS & TRANSFERS 403,694$ 295,735$ -$ 445,799$ -$ 274,937$ (397)$ 670,715$ -$ (888,503)$ 311,994$ 472,032$
CHANGE IN FUND BALANCE 2,861,967$ 483,256$ 421,105$ 1,310,896$ 592,807$ 219,087$ 177,342$ 629,816$ 527,752$ (45,471)$ 110,415$ 1,151,906$
BEGINNING FUND BALANCE - January 1, 2017 75,751,705$ 81,919,221$ 2,672,022$ 64,010,652$ 4,245,695$ 9,514,116$ 1,374,410$ 1,385,685$ 1,064,528$ 1,530,324$ 4,291,351$ 10,920,413$
ENDING FUND BALANCE - December 31, 2017 78,613,672$ 82,402,477$ 3,093,127$ 65,321,548$ 4,838,503$ 9,733,202$ 1,551,752$ 2,015,500$ 1,592,280$ 1,484,853$ 4,401,766$ 12,072,319$
*Note: This report includes actuals through December 2017, with the exception of Water, Sewer, and Storm which includes the Debt Service Interest Payments that will be made in Period 13.
The following table provides an analysis of each of the City's Enterprise and Internal Service funds - showing 2017 revenues and expenditures by fund through December and includes the Fund Balance in the associated Capital Sub-Fund.
FUND BALANCE ENTERPRISE FUNDS INTERNAL SERVICE FUNDS
WATER SEWER SEWER METRO STORM SOLID WASTE AIRPORT CEMETERY INSURANCE WORKER'S
COMPENSATION FACILITIES
INCOME (LOSS) BEFORE CONTRIBUTIONS &
TRANSFERS
41