HomeMy WebLinkAboutMarch 2012
AGENDA BILL APPROVAL FORM
Agenda Subject: March 2012 Financial Report
Date: 05/14/2012
Department: Finance
Attachments: Monthly Financial
Report
Budget Impact: $0
Administrative Recommendation:
Background Summary:
The purpose of the monthly financial reports is to summarize for the City Council the general state of city-
wide financial affairs and to highlight significant items or trends that the City Council should be aware of.
The following provides a high level summary of the City’s financial performance. Further detail can be
found within the attached financial report.
The March status report is based on financial data available as of April 30, 2012. Sales tax information
represents business activity that occurred in January 2012.
General Fund:
The general fund is the City’s largest fund and is used to account for the majority of City resources and
services except those required by statute or to be accounted for in another fund.
At the end of March, General Fund revenue collections totaled $9.6 million and compare to budget-to-
date of $10.0 million. Intergovernmental revenues are below budget due to the timing of payments from
the Muckleshoot Indian Tribe and lower revenue collections from the red light photo-enforcement
program.
General tax revenues, the largest category of revenue within the General Fund, totaled $7.4 million and is
on target with budget. The City’s sales tax totaled $3.5 million and is on target with budget and is running
about 4.6% below same period 2011 due primarily to a one-time adjustment by the State of Washington.
Accounting for this one-time adjustment, 2012 sales taxes are running about 2.1% below 2011 levels.
Property tax collections totaled $457,000 and is comparable to collections for the same period 2011.
Approximately 50% of property taxes will be collected in April, coinciding with the first half King County
due date for property tax payments.
General Fund expenses totaled $11.0 million and compare to budget of $13.0 million. Departmental
expenditures are within expectations. SCORE jail expenses are below budget due to the timing of
invoices. A potential issue facing SCORE in 2012 and 2013 may be the financial implications of lower
than expected non-member contracted beds. The SCORE 2012 budget contemplated $3.7 million in
contract bed revenue from non member cities, 75 daily beds. Currently, contract bed revenue is running
10% of projection, 7.5 beds daily. The Administration board is working with SCORE on how best to
market the beds to potential users. The financial implications of the lower than expected non member
contracted beds will potentially impact Auburn. The 2012 budget for Score is $4.7 million, which is based
on 2007 ADP of 100 at $112.50 per day plus an additional $600,000 added in the 2012 mid-term
correction in anticipation of lower than expected contract beds and the likelihood of an additional
Maintenance and Operation charge from SCORE.
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Agenda Subject: March 2012 Financial Report
Date: 05/14/2012
Enterprise Funds:
The City’s eight enterprise funds account for operations with revenues primarily provided from user fees,
charges or contracts for services.
At the end of March, the Water fund ended with a slight operating loss and the Sewer fund ended this
period with a $459,000 operating loss. Stormwater revenues are on target and are sufficient to meet
expenses.
The Golf Course ended the period with an operating loss of $284,000 and compare to an operating loss
of $246,000 for the same period last year, reflecting higher inventory expenses for the Pro Shop.
Financial performance for the Auburn Golf Course is expected to improve with improvement in weather
during the spring and summer.
Cemetery revenues at the end of March totaled $191,000 and were slightly below expenses of $224,000.
A transfer of $200,000 from the Cumulative Reserve Fund to the Cemetery Fund was approved by
Council as part of budget amendment #7 to support anticipated cash flow needs in 2012.
Internal Service Funds:
Internal Service Funds provide services to other City departments and include functions such as
Insurance, Facilities, Information Services, and Equipment Rental. At the end of the year, revenue from
charges assessed to internal client departments was sufficient to meet expenses.
Investment Portfolio:
The City’s total cash and investments at the end of March was $97.7 million and was comparable to
February 2012.
Reviewed by Council & Committees: Reviewed by Departments & Divisions:
Arts Commission COUNCIL COMMITTEES: Building M&O
Airport Finance Cemetery Mayor
Hearing Examiner Municipal Serv. Finance Parks
Human Services Planning & CD Fire Planning Park Board Public Works Legal Police
Planning Comm. Other Public Works Human Resources
Information Services
Action:
Committee Approval: Yes No
Council Approval: Yes No Call for Public Hearing ___/___/____
Referred to _________________________________ Until ____/___/____
Tabled ______________________________________ Until ___/___/____
Councilmember: Partridge Staff: Coleman
Meeting Date: May 21, 2012 Item Number:
2
Monthly Financial Report March 2012
General Fund 2011
Summary of Sources and Uses
Annual BudgetYTD BudgetYTD ActualYTD ActualAmountPercentage
OPERATING REVENUES
Property Tax 12,562,565 484,100 457,024 519,174 (27,076) -5.6%
Sales Tax 14,295,000 3,476,800 3,516,903 3,688,311 40,103 1.2%
Sales Tax - Annexation Credit 1,383,730 341,730 359,032 363,635 17,302 5.1%
Criminal Justice Sales Tax 1,212,900 301,900 343,891 327,712 41,991 13.9%
Brokered Natural Gas Tax 260,000 84,800 113,313 107,056 28,513 33.6%
City Utilities Tax 2,620,200 612,500 627,942 578,787 15,442 2.5%
Admissions Tax 360,000 67,600 57,779 62,344 (9,821) -14.5%
Electric Tax 3,275,000 826,000 812,586 789,549 (13,414) -1.6%
Natural Gas Tax 1,295,820 321,500 295,289 268,472 (26,211) -8.2%
Cable TV Franchise Fee 703,600 177,200 202,201 204,994 25,001 14.1%
Cable TV Franchise Fee - Capital 75,000 18,300 15,824 15,993 (2,476) -13.5%
Telephone Tax 2,012,400 524,800 481,944 512,939 (42,856) -8.2%
Garbage Tax (external)150,000 39,300 34,709 39,633 (4,591) -11.7%
Leasehold Excise Tax 50,000 12,600 2,401 12,346 (10,199) N/A
Gambling Excise Tax 331,500 143,900 66,942 60,029 (76,958) -53.5%
Taxes sub-total 40,587,715 7,433,030 7,387,780 7,550,973 (45,250) -0.6%
Business License Fees 200,000 45,100 103,350 85,379 58,250 129.2%
Building Permits 700,000 132,700 249,624 173,688 116,924 88.1%
Other Licenses & Permits 229,000 39,300 70,317 59,420 31,017 78.9%
Intergovernmental (Grants, etc)3,925,105 1,009,800 646,166 1,009,040 (363,634) -36.0%
Charges for Services:
General Government Services 64,600 18,000 31,763 21,778 13,763 76.5%
Public Safety 223,500 59,700 59,263 64,040 (437) -0.7%
Development Services Fees 627,000 136,500 236,174 85,761 99,674 73.0%
Culture and Recreation 920,000 265,100 220,237 221,544 (44,863) -16.9%
Fines and Forfeits 2,208,500 645,900 425,426 569,920 (220,474) -34.1%
Fees/Charges/Fines sub-total 9,097,705 2,352,100 2,042,321 2,290,571 (309,779) -13.2%
Interests and Other Earnings 115,000 26,900 18,279 18,468 (8,621) -32.0%
Rents, Leases and Concessions 311,000 93,900 67,907 121,342 (25,993) -27.7%
Contributions and Donations 20,500 4,100 12,494 9,209 8,394 204.7%
Other Miscellaneous 46,200 21,600 16,833 15,263 (4,767) -22.1%
Transfers In 17,000 17,000 17,000 78,439 - 0.0%
Insurance Recoveries- Capital & Operating 25,000 7,037 17,886 49,239 10,848 154.2%
Other Revenues sub-total 534,700 170,537 150,399 291,960 (20,138) -11.8%
Total Operating Revenues 50,220,120 9,955,667 9,580,500 10,133,504 (375,167) -3.8%
Operating Expenditures
Council & Mayor 869,890 214,490 228,163 177,759 (13,673) -6.4%
Municipal Court & Probation 3,399,260 776,900 718,934 704,107 57,966 7.5%
Human Resources 886,530 207,700 200,804 186,725 6,896 3.3%
Finance 1,235,590 292,500 255,325 265,011 37,175 12.7%
City Attorney 1,699,500 395,200 365,695 360,647 29,505 7.5%
Planning 3,889,620 921,700 914,047 853,275 7,653 0.8%
Community & Human Services 1,160,360 260,460 222,611 203,795 37,849 14.5%
Jail - SCORE 4,764,750 1,101,350 286,979 443,103 814,371 73.9%
Police 20,616,200 5,026,000 4,517,580 4,556,878 508,420 10.1%
Engineering 2,643,870 637,700 607,346 537,979 30,354 4.8%
Parks and Recreation 7,557,230 1,735,800 1,706,053 1,588,680 29,747 1.7%
Streets 3,215,280 769,280 601,550 658,274 167,730 21.8%
Non-Departmental 5,161,650 686,300 387,544 348,072 298,756 43.5%
Total Operating Expenditures 57,099,730 13,025,380 11,012,631 10,884,306 2,012,749 15.5%
2012 2012 YTD Budget vs. Actual
Favorable (Unfavorable)
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Monthly Financial Report March 2012
Overview
This financial overview reflects the City’s overall financial position for the fiscal period ending
March 31, 2012 and represents financial data available as of April 25, 2012. The budgeted year-
to-date revenues and operating expenses are based on the collection/disbursement average for
the same period of the two prior years.
General Fund revenues totaled $9.6 million as of the end of the first quarter and were under
budget by 3.8%, or $375,000.
Other General Fund revenue highlights include:
- Tax revenues totaled $7.4 million and were $45,000 below budget. Sales taxes totaled
$3.5 million and compare to collections of $3.7 million for the same period last year.
The lowered performance is due in part to two one-time adjustments totaling $94,000 by
the Washington State Department of Revenue that occurred during the January and
February sales tax distributions.
- The Fees/Charges/Fines category totaled $2.0 million and was under budget by
$310,000, reflecting the timing of payments from the Muckleshoot Indian Tribe and
lowered revenue from the City’s red-light photo enforcement program.
- Other revenues totaled $150,400 and were $20,000 below budget, reflecting lowered
revenue from parks recreation fees, reflecting the general economic conditions and lower
level of discretionary spending by consumers.
General Fund expenses totaled $11.0 million and were $2 million below budget and compare to
expenses of $10.9 million for this time last year. The majority of budget savings was due to
timing of payments for SCORE jail services and salary savings from vacancies within the Police
Department.
General Fund BudgetYTD Actual
% of
BudgetYTD Actual
% of
Budget
Operating Revenues
Taxes 40,587,715$ 7,387,780$ 18.2%7,550,973$ 19.2%
Fees/Charges/Fines 9,097,705 2,042,321 22.4%2,290,571 26.4%
Other Revenues 534,700 150,399 28.1%291,960 18.2%
Total 50,220,120$ 9,580,500$ 19.1%10,133,504$ 20.4%
Operating Expenses
Council & Mayor 869,890$ 228,163$ 26.2%177,759 20.5%
Municipal Court & Probation 3,399,260 718,934 21.1%704,107 21.4%
Human Resources 886,530 200,804 22.7%186,725 22.4%
Finance 1,235,590 255,325 20.7%265,011 22.7%
City Attorney 1,699,500 365,695 21.5%360,647 21.9%
Planning 3,889,620 914,047 23.5%853,275 22.5%
Community & Human Services1,160,360 222,611 19.2%203,795 18.7%
Jail - SCORE 4,764,750 286,979 6.0%443,103 7.0%
Police 20,616,200 4,517,580 21.9%4,556,878 22.9%
Engineering 2,643,870 607,346 23.0%537,979 22.4%
Parks and Recreation 7,557,230 1,706,053 22.6%1,588,680 21.6%
Streets 3,215,280 601,550 18.7%658,274 21.1%
Non-Departmental 5,161,650 387,544 7.5%348,072 9.2%
Total 57,099,730$ 11,012,631$ 19.3%10,884,306$ 19.6%
2012 2011
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Monthly Financial Report March 2012
Revenues
The combined total of property tax, sales/use tax, utility tax, gambling, and admissions tax
provide approximately 80% of all resources supporting general governmental activities. The
following section provides additional information on these sources.
Property Tax collections to date totaled $457,000 compared to budget of $484,000. The
majority of property tax revenues are collected during the months of April and October,
coinciding with the due date for County property tax billings.
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Property Taxes
2012 budget
2012 actual to date
2011 actual
Sales taxes totaled $3.5 million and are on target with budget. Sales taxes include a 1st Quarter
Payment of $500,000 for Streamlined Sales Tax Mitigation payments.
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Sales & Use Tax
2012 budget
2012 actual to date
2011 actual
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Monthly Financial Report March 2012
The following table breaks out the City’s base sales tax, excluding Criminal Justice, Annexation
Credit and Streamlined Sales Tax Mitigation by major business sectors.
20112012
Component GroupActualActualAmountPercentage
New Construction 311,897 282,028 (29,869) -9.6%
Manufacturing 180,612 44,882 (135,730) -75.2%
Transportation & Warehousing16,008 12,567 (3,441) -21.5%
Wholesale Trade 303,530 306,682 3,152 1.0%
Automotive 641,563 654,606 13,043 2.0%
Retail Trade 1,067,495 1,032,420 (35,075) -3.3%
Services 691,133 714,689 23,556 3.4%
Miscellaneous 17,870 9,353 (8,517) -47.7%
YTD Total 3,230,108 3,057,227 (172,881) -5.4%
Change from 2011
Year to Date through March
Comparison of Sales Tax Collections by SIC Group
As shown above, sales tax collections by business sector totaled of $3.06 million and are
$173,000 less than the same period last year due in part to two one-time corrections totaling
$94,000 by the Washington State Department of Revenue. Accounting for this correction,
March sales taxes would have increased to $3.15 million. These corrections are included in the
manufacturing sector (-$74,000) and in the services sector (-$20,000).
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Utility Tax
2012 budget
2012 actual to date
2011 actual
Utility Taxes consists of City inter-fund utility taxes (Water, Sewer, Storm and Solid Waste) and
external utility taxes (Electric, Natural gas, Telephone and Solid Waste). Year to date through
March collections totaled $2.3M million, or $71,000 below budget and reflect lowered revenues
in the City’s telephone and natural gas utility taxes. The following table presents utility tax
collections by source:
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Monthly Financial Report March 2012
201120122012
Month ActualBudgetActualAmountPercentageAmountPercentage
City Interfund Utility Taxes578,787 612,500 627,942 49,155 8.5%15,442 2.5%
Electric 789,549 826,000 812,586 23,037 2.9%(13,414) -1.6%
Natural Gas 268,472 321,500 295,289 26,817 10.0%(26,211) -8.2%
Telephone 512,939 524,800 481,944 (30,995) -6.0%(42,856) -8.2%
Solid Waste 39,633 39,300 34,709 (4,924) -12.4%(4,591) -11.7%
YTD Total 2,189,380 2,324,100 2,252,470 63,089 2.9%(71,630) -3.1%
Annual Total 8,890,614 9,353,420
Year to Date through March
Utility Tax by Type
2012 vs. 20112012 vs. Budget
Cable TV Franchise Fees remain unchanged as these fees are collected quarterly. To-date,
collections are above budget and similar to 2011 collection levels. This revenue source is likely to
outperform budget by the end of 2012 and end at levels similar to the previous year.
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Cable TV Franchise Fee
2012 budget
2012 actual to date
2011 actual
Licenses and Permits include business licenses, building permits, plumbing, electric and other
licenses and permit fees. Building permit fees and Business licenses make up 80% of the annual
budgeted revenue in this category.
Total building permit revenues at the end of March was $250,000 and was ahead of both
budget and prior year levels of $133,000 and $174,000, respectively.
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Monthly Financial Report March 2012
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Building Permits
2012 budget
2012 actual to date
2011 actual
Business License revenues totaled $103,000 and exceed budget, due to the timing of payments.
The revenue for the year is billed out late in December and most payments are received between
January and February. This revenue source is expected to level out for the remainder of the year
until December when collections increase as payments for 2013 are received.
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Business Licenses
2012 budget
2012 actual to date
2011 actual
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Monthly Financial Report March 2012
Intergovernmental include Grants (Direct & Indirect Federal, State and Local); State shared
revenues and compact revenue from the Muckleshoot Indian Tribe. March collections were
below budget by $364,000 or 36%, due primarily to the timing of reimbursements from the
Muckleshoot Casino for public safety services and state shared Motor Vehicle Fuel Taxes. The
2012 budget for the Motor Vehicle Fuel Tax has not yet been adjusted to reflect the change in
revenue recognition to the Arterial Street fund and Recreational Trails fund. This adjustment will
be included in the next budget adjustment ordinance to the City Council.
201120122012
Revenue ActualBudgetActual% Change% Change
Federal Grants 557 7,300 - N/A-100.0%
State Grants 19,627 4,800 7,017 -64.2%0.0%
Interlocal Grants 12,501 11,800 2,500 -80.0%-78.8%
State Shared Revenue 629,391 633,300 473,368 -24.8%-25.3%
Muckleshoot Casino Emerg.335,525 352,600 163,281 -51.3%-53.7%
Intergovernmental Service11,440 - - -96.2%N/A
YTD Total 1,009,040 1,009,800 646,166 -36.0%-36.0%
Annual Total 3,432,394 3,925,105
YTD %29%26%16%
Year to Date through March
Intergovernmental
2012 vs. 20112012 vs. Budget
201120122012
Revenue ActualBudgetActualAmountPercentageAmountPercentage
Trial Court Improvements11,234 9,200 5,658 (5,576) N/A(3,542) N/A
Court Interpreter Program 4,931 5,200 7,307 2,376 N/A2,107 N/A
Motor Vehicle Fuel Tax 346,149 356,200 229,083 (117,066) -33.8%(127,117) -35.7%
Criminal Justice -High Crime37,353 - 35,698 (1,655) -4.4%35,698 N/A
Criminal Justice -Population3,817 25,100 3,884 67 1.8%(21,216) -84.5%
Criminal Justice -Spec. Prog.14,412 13,800 14,657 245 1.7%857 6.2%
State DUI 3,107 1,600 3,389 282 9.1%1,789 111.8%
Fire Insurance Premium Tax - - - - N/A - N/A
Liquor Excise Tax 81,197 84,400 81,587 390 0.5%(2,813) -3.3%
Liquor Profits 127,191 137,800 92,106 (35,085) -27.6%(45,694) N/A
YTD Total 629,391 633,300 473,368 (156,023) -24.8%(159,932) -25.3%
Annual Total 2,073,650 2,551,890
Year to Date through March
State Shared Revenues
2012 vs. 20112012 vs. Budget
Charges for Services consists of general governmental services, public safety, development service
fees and cultural & recreation fees. Development service fees and culture and recreation fees
make up 84% of the revenue within this category. Development services revenues totaled
$236,000 due to stronger revenues from development plan-check fees and offset lower than
expected revenue from recreation classes. Culture & Recreation revenues totaled $220,000 and
are running below budget due to lower revenue from adult health & fitness classes and
afterschool programs.
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Monthly Financial Report March 2012
201120122012
Revenue ActualBudgetActualAmountPercentageAmountPercentage
General Government 21,778 18,000 31,763 9,985 45.85%13,763 76.46%
Public Safety 64,040 59,700 59,263 (4,777) -7.5%(437) -0.7%
Development Services 85,761 136,500 236,174 150,413 175.4%99,674 73.0%
Culture & Recreation 221,544 265,100 220,237 (1,308) -0.6%(44,863) -16.9%
YTD Total 393,124 479,300 547,437 154,313 39.3%68,137 14.2%
Annual Total 1,651,371 1,835,100
Year to Date through March
Charges for Services by Type
2012 vs. 20112012 vs. Budget
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Development Service Fees
2012 budget
2012 actual to date
2011 actual
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Culture & Recreation
2012 budget
2012 actual to date
2011 actual
10
Monthly Financial Report March 2012
Fines & Penalties totaled $425,000 compared to a budget of $646,000. Financial performance is
$220,000 below budget due to lower photo enforcement revenues and reduced parking
infractions compared to 2011.
201120122012
Month ActualBudgetActualAmountPercentageAmountPercentage
Civil Penalties 4,983 3,900 4,235 (748) -15.0%335 8.6%
Civil Infraction Penalties 190,321 166,800 178,526 (11,795) -6.2%11,726 7.0%
Red Light Photo Enforcement248,649 358,100 153,120 (95,530) -38.4%(204,980) -57.2%
Parking Infractions 45,818 45,300 27,765 (18,053) -39.4%(17,535) -38.7%
Criminal Traffic Misdemeanor24,155 30,700 27,944 3,789 15.7%(2,756) -9.0%
Criminal Non-Traffic Fines24,442 26,000 20,606 (3,837) -15.7%(5,394) -20.7%
Criminal Costs 4,295 3,000 4,046 (249) -5.8%1,046 34.9%
Non-Court Fines & Penalties27,257 12,100 9,186 (18,070) -66.3%(2,914) -24.1%
YTD Total 569,920 645,900 425,426 (144,493) -25.4%(220,474) -34.1%
Annual Total 1,940,326 2,208,500
Year to Date through March
Fines & Forfeits by Type
2012 vs. 20112012 vs. Budget
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Fines & Penalties
2012 budget
2012 actual to date
2011 actual
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Photo Enforcement
2012 budget
2012 actual to date
2011 actual
11
Monthly Financial Report March 2012
Miscellaneous revenues include interest and other investment earnings, rents, leases &
concessions, contributions & donations and other miscellaneous income. March revenues in this
category totaled $116,000 and are below budget by $31,000 due primarily to lowered revenue
from facility rentals.
201120122012
Month ActualBudgetActualAmountPercentageAmountPercentage
Interest & Investments 18,468 26,900 18,279 (190) -1.0%(8,621) -32.0%
Rents & Leases 121,342 93,900 67,907 (53,435) -44.0%(25,993) -27.7%
Contributions & Donations 9,209 4,100 12,494 3,285 35.7%8,394 204.7%
Other Miscellaneous Revenue15,263 21,600 16,833 1,570 10.3%(4,767) -22.1%
YTD Total 164,282 146,500 115,514 (48,768) -29.7%(30,986) -21.2%
Annual Total 649,927 492,700
Miscellaneous Revenues by Type
Year to Date through March
2012 vs. 20112012 vs. Budget
Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects Fund
and is used for governmental capital projects. Revenue at the end of March totaled $354,000
and is exceeding budget by 4%.
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Real Estate Excise Tax
2012 budget
2012 actual to date
2011 actual
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Monthly Financial Report March 2012
Enterprise Funds
The following table provides an analysis of all City Enterprise funds through March 2012.
Water Sewer StormSolid WasteAirportCemetery Golf
OPERATING REVENUES
Charges for services 2,037,040 1,097,635 1,807,461 2,804,642 3,862 191,265 84,719
Sewer Metro Service Revenue - 3,104,990 - - - - -
Rents, Leases, Concessions & Other - - - - 153,493 - 41,494
TOTAL OPERATING REVENUES 2,037,040 4,202,625 1,807,461 2,804,642 157,355 191,265 126,213
OPERATING EXPENSES:
Administration 609,677 478,966 595,655 184,642 158,147 71,861 55,486
Operations & Maintenance 925,528 603,707 640,118 229,013 31 136,974 275,956
Waste Management Payments - - - 1,552,468 - - -
Sewer Metro Services - 3,132,695 - - - - -
Depreciation & Amortization 545,612 446,617 318,715 4,705 97,660 14,788 79,098
TOTAL OPERATING EXPENSES 2,080,817 4,661,985 1,554,487 1,970,827 255,838 223,624 410,539
OPERATING INCOME (LOSS)(43,777) (459,360) 252,974 833,815 (98,483) (32,359) (284,326)
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 13,632 3,381 3,131 125 379 29 108
Other Non Operating Revenue 551 330 2,244 388 195 18 -
Other Non Operating Expense - - - - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)14,183 3,711 5,375 513 574 47 108
(29,594) (455,649) 258,349 834,328 (97,909) (32,312) (284,218)
Contributions 88,888 54,239 70,906 - - - -
Transfers In - - - - - - 4,237
Transfers Out (50,000) (50,000) (50,000) - - - -
TOTAL CONTRIBUTIONS & TRANSFERS 38,888 4,239 20,906 - - - 4,237
CHANGE IN FUND BALANCE 9,294 (451,410) 279,255 834,328 (97,909) (32,312) (279,981)
BEGINNING FUND BALANCE, January 1, 2012 63,028,695 73,274,006 47,772,204 760,681 9,731,158 814,709 5,144,962
ENDING FUND BALANCE, March 31, 2012 63,037,990 72,822,597 48,051,458 1,595,009 9,633,249 782,398 4,864,980
INCOME (LOSS) BEFORE CONTRIBUTIONS &
TRANSFERS
13
Monthly Financial Report March 2012
The following table presents the Enterprise funds working capital statements. Working capital is
generally defined as the difference between current assets and current liabilities.
Water Sewer StormSolid WasteAirportCemetery Golf
OPERATING REVENUES
Charges for services 2,037,040 1,097,635 1,807,461 2,804,642 3,862 191,265 84,719
Sewer Metro Service Revenue - 3,104,990 - - - - -
Rents, Leases, Concessions & Other - - - - 153,493 - 41,494
TOTAL OPERATING REVENUES 2,037,040 4,202,625 1,807,461 2,804,642 157,355 191,265 126,213
OPERATING EXPENSES:
Salaries & Wages 512,666 342,538 453,836 105,789 4,768 107,385 130,432
Benefits 225,571 146,533 198,427 45,937 1,607 55,413 65,495
Supplies 35,716 7,914 6,782 6,734 - 14,131 64,907
Other Service Charges 502,984 391,586 234,794 209,070 151,803 15,380 30,105
Intergovernmental Services - - 9,098 - - - -
Waste Management Payments - - - 1,552,468 - - -
Sewer Metro Services - 3,132,695 - - - - -
Interfund Operating Rentals/Supplies 258,268 194,103 332,835 46,125 - 16,527 40,503
Depreciation & Amortization 545,612 446,617 318,715 4,705 97,660 14,788 79,098
TOTAL OPERATING EXPENSES 2,080,817 4,661,986 1,554,487 1,970,828 255,838 223,624 410,540
OPERATING INCOME (LOSS)(43,777) (459,361) 252,974 833,814 (98,483) (32,359) (284,327)
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 13,632 3,381 3,131 125 379 29 108
Other Non Operating Revenue 551 330 2,244 388 195 18 -
Other Non Operating Expense - - - - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)14,183 3,711 5,375 513 574 47 108
Plus Items Not Effecting Working Capital
Depreciation 545,612 446,617 318,715 4,705 97,660 14,788 79,098
516,018 (9,033) 577,064 839,032 (249) (17,524) (205,121)
Increase in Contributions -System Development 88,888 54,239 70,906 - - - -
Increase in Contributions -Area Assessments - - - - - - -
Increase in Contributions -FAA Grants - - - - - - -
Increase in Contributions -KC Flood Zone Dist.- - - - - - -
Operating Transfers In - - - - - - 4,237
Increase in Restricted Net Assets 3,231 10,825 - - (2,710) -
Decrease in Long term Receivables - - - - - - -
Increase in Deferred Credits - - - - (5,611) - -
TOTAL RESOURCES OTHER THAN OPERATIONS 92,119 65,064 70,906 - (8,321) - 4,237
Net Change in Restricted Net Assets 404 139 285 - (3,291) - (3,248)
Increase in Fixed Assets - Salaries 34,113 28,749 10,262 - - - -
Increase in Fixed Assets - Benefits 13,608 10,673 4,404 - - - -
Increase in Fixed Assets - Site Improvements 18,359 - - - - - -
Increase in Fixed Assets - Equipment 32,224 - - - - - -
Increase in Fixed Assets - Construction 709,386 311,040 114,193 - - - -
Operating Transfers Out 50,000 50,000 50,000 - - - -
Debt Service Principal - - - - - - -
TOTAL USES OTHER THAN OPERATIONS 858,094 400,601 179,144 - (3,291) - (3,248)
NET CHANGE IN WORKING CAPITAL (249,957) (344,570) 468,826 839,032 (5,279) (17,524) (197,636)
BEGINNING WORING CAPITAL, January 1, 2012 16,945,811 12,806,527 9,102,000 632,263 961,633 71,820 68,320
ENDING WORKING CAPITAL, March 31, 2012 16,695,854 12,461,957 9,570,826 1,471,295 956,354 54,296 (129,316)
NET CHANGE IN WORKING CAPITAL (249,957) (344,570) 468,826 839,032 (5,279) (17,524) (197,636)
NET WORKING CAPITAL FROM OPERATIONS
14
Monthly Financial Report March 2012
The Water Utility ended March with a $29,000 net operating loss and compares to a $167,000
net operating loss for the same period last year. Water utility revenues improved over the
previous year, reflecting a scheduled increase in rates at the beginning of the year.
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
JanFebMarAprMayJunJulAugSepOctNovDec
Water Revenues ($) vs Water Sold (ccf)
2011 -Present
2011 Water Sales ($)
2012 Water Sales ($)
2011 Water Sold (ccf)
2012 Water Sold (ccf)
The Sewer utility ended March with a $456,000 operating loss, comparable to 2011 when it
ended with an operating loss of $459,000. Year-to-date Metro billings totaled $3.1 million and
were slightly below Metro payments of $3.13 million. The Stormwater utility ended the period
with $258,000 in operating income as compared to a $151,000 operating income in 2011.
An update to the 2009 water, sewer, and stormwater rate study has been completed and revised
rates through the year 2017 was adopted by Council at its meeting on May 7 (Ordinance #6401).
This study evaluated the rate revenue requirements of each utility for the 2012-2017 study period
and identified annual adjustments to rates to fully fund forecasted utility expenses. Revised rates
will become effective June 1 2012.
The Auburn Golf Course (AGC) ended March 2012 with an increase in operating revenue
reflecting an improvement in the number of rounds played (4,798 versus 4,429). The gain in
operating revenue was offset by higher operating expenses from inventory purchases for the pro-
shop. As a result, the AGC ended the first quarter with a net operating loss of $284,000 as
compared to a net operating loss of $246,000 the same period previous year. The financial
performance for the AGC is expected to improve with the spring and summer period.
15
Monthly Financial Report March 2012
$0
$50
$100
$150
$200
$250
$300
$350
JanFebMarAprMayJunJulAugSepOctNovDec
Th
o
u
s
a
n
d
s
Golf Course Operating Revenues by Month
(2012 vs 2011)
2012 Monthly Budget
2012 Actual
2011 Actual
The Cemetery Fund ended March with a $32,000 net operating loss, comparable to the financial
performance for the same period last year. Operating revenues for the fund totaled $191,000 as
compared to $188,000 for the same period last year. Operating expenses totaled $224,000 and
were comparable the same period last year.
$0
$20
$40
$60
$80
$100
$120
$140
JanFebMarAprMayJunJulAugSepOctNovDec
Th
o
u
s
a
n
d
s
Cemetery Operating Revenues by Month
(2011 vs 2010)
2012 Monthly Budget
2012 Actual
2011 Actual
16
Monthly Financial Report March 2012
Internal Service Funds
The table below provides an analysis of all City Internal Service funds and shows 2012 revenues
and expenditures for each fund.
InformationEquipment
InsuranceFacilities Services Rental
OPERATING REVENUES:
Interfund Charges for services - 859,275 1,033,776 749,669
Rents, Leases, Concessions & Other - 28,008 19,350 -
TOTAL OPERATING REVENUES - 887,283 1,053,126 749,669
OPERATING EXPENSES:
Administration 815,423 - 55,074 165,907
Operations & Maintenance - 547,217 1,024,746 348,094
Depreciation & Amortization - - 136,305 180,760
TOTAL OPERATING EXPENSES 815,423 547,217 1,216,125 694,761
OPERATING INCOME (LOSS)(815,423) 340,066 (162,999) 54,908
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 431 634 1,063 1,256
Other Non Operating Revenue (sale of fixed asset)- - - 30,472
Other Non Operating Expense - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)431 634 1,063 31,728
INCOME (LOSS) BEFORE CONTRIBUTIONS & TRANSFERS (814,992) 340,700 (161,936) 86,636
Contributions - - - -
Transfers In - - - -
Transfers Out - 161,250 - (7,000)
TOTAL CONTRIBUTIONS & TRANSFERS - 161,250 - (7,000)
CHANGE IN FUND BALANCE (814,992) 501,950 (161,936) 79,636
BEGINNING FUND BALANCE, January 1, 2012 2,184,680 1,570,419 4,350,183 10,135,919
ENDING FUND BALANCE, March 31, 2012 1,369,688 2,072,369 4,188,247 10,215,555
17
Monthly Financial Report March 2012
The working capital statements for the Internal Service funds are presented on the table below.
InformationEquipment
InsuranceFacilities Services Rental
OPERATING REVENUES:
Interfund Charges for services - 859,275 1,033,776 749,669
Rents, Leases, Concessions & Other - 28,008 19,350
TOTAL OPERATING REVENUES - 887,283 1,053,126 749,669
OPERATING EXPENSES:
Salaries & Wages - 163,257 326,106 105,486
Benefits - 71,291 135,039 41,253
Supplies - 19,240 58,015 219,086
Other Service Charges 815,423 268,955 488,389 94,685
Interfund Operating Rentals/Supplies - 24,474 72,270 53,492
Depreciation & Amortization - - 136,305 180,760
TOTAL OPERATING EXPENSES 815,423 547,217 1,216,124 694,762
OPERATING INCOME (LOSS)(815,423) 340,066 (162,998) 54,907
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 431 634 1,063 1,256
Other Non Operating Revenue (sale of fixed asset)- - - 30,472
Other Non Operating Expense - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)431 634 1,063 31,728
Plus Items Not Effecting Working Capital
Depreciation - - 136,305 180,760
(814,992) 340,700 (25,630) 267,395
Increase in Contributions -Other Government - - - -
Increase in Contributions -Other Funds - - -
TOTAL RESOURCES OTHER THAN OPERATIONS - - - -
Net Change in Restricted Net Assets - - - -
Increase in Fixed Assets - Equipment - - 172,545 321,949
Increase in Fixed Assets - Construction - - - -
Operating Transfers Out - 161,250 - 7,000
TOTAL USES OTHER THAN OPERATIONS - 161,250 172,545 328,949
NET CHANGE IN WORKING CAPITAL (814,992) 179,450 (198,175) (61,554)
BEGINNING WORING CAPITAL, January 1, 2012 2,184,680 1,622,449 3,118,686 5,793,165
ENDING WORKING CAPITAL, March 31, 2012 1,369,688 1,801,899 2,920,511 5,731,611
NET CHANGE IN WORKING CAPITAL (814,992) 179,450 (198,175) (61,554)
NET WORKING CAPITAL FROM OPERATIONS
Other services and charges within the Insurance Fund represent the premium cost-pool that will
be allocated monthly to other City funds over the course of 2012. As a result, this balance will
gradually diminish each month through December. The Information Services Fund ended March
with an operating loss, reflecting the timing of expenditures. No significant variances are
reported for the Facilities Fund and Equipment Rental Fund. Both funds had sufficient revenues
to cover expenses during March.
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 the report please
contact us at mchaw@auburnwa.gov or scoleman@auburnwa.gov.
18
SALES TAX SUMMARY
MARCH 2012 SALES TAX DISTRIBUTIONS (FOR NOVEMBER - JANUARY 2011 RETAIL ACTIVITY)
2011 Annual Total 2011 YTD 2012 YTD YTD 2011 Annual Total 2011 YTD 2012 YTD YTD
NAICS CONSTRUCTION (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff NAICS AUTOMOTIVE (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff
236 Construction of Buildings 582,840 126,902 104,019 -18.0%441 Motor Vehicle and Parts Dealer 2,560,962 587,714 599,012 1.9%
237 Heavy and Civil Construction 108,727 23,469 33,336 42.0%447 Gasoline Stations 224,459 53,850 55,595 3.2%
238 Specialty Trade Contractors 604,245 161,526 144,673 -10.4%TOTAL AUTOMOTIVE 2,785,421$ 641,563$ 654,606$ 2.0%
TOTAL CONSTRUCTION 1,295,813$ 311,897$ 282,028$ -9.6%Overall Change from Previous Year 13,043$
Overall Change from Previous Year (29,869)$
2011 Annual Total 2011 YTD 2012 YTD YTD
2011 Annual Total 2011 YTD 2012 YTD YTD NAICS RETAIL TRADE (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff
NAICS MANUFACTURING (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff 442 Furniture and Home Furnishings 218,335 54,885 60,106 9.5%
311 Food Manufacturing 2,674 477 923 93.5%443 Electronics and Appliances 126,870 36,340 40,962 12.7%
312 Beverage and Tobacco Products 3,864 961 965 0.4%444 Building Material and Garden 382,504 76,170 87,777 15.2%
313 Textile Mills 959 61 36 -41.8%445 Food and Beverage Stores 330,776 84,205 81,241 -3.5%
314 Textile Product Mills 2,625 427 645 51.0%446 Health and Personal Care Store 148,387 41,240 43,087 4.5%315 Apparel Manufacturing 2,519 2,361 154 -93.5%448 Clothing and Accessories 754,407 216,671 207,849 -4.1%
316 Leather and Allied Products 175 8 40 413.5%451 Sporting Goods, Hobby, Books 126,042 39,888 37,669 -5.6%
321 Wood Product Manufacturing 24,075 5,885 4,342 -26.2%452 General Merchandise Stores 967,627 315,643 282,096 -10.6%
322 Paper Manufacturing 11,026 2,979 1,029 -65.5%453 Miscellaneous Store Retailers 489,259 129,397 116,557 -9.9%
323 Printing and Related Support 38,511 10,988 8,858 -19.4%454 Nonstore Retailers 235,923 73,056 75,078 2.8%324 Petroleum and Coal Products 9,771 610 2,227 265.1%TOTAL RETAIL TRADE 3,780,129$ 1,067,495$ 1,032,420$ -3.3%
325 Chemical Manufacturing 7,937 1,458 1,298 -11.0%Overall Change from Previous Year (35,075)$
326 Plastics and Rubber Products 9,777 2,096 2,773 32.3%
327 Nonmetallic Mineral Products 16,218 2,513 3,500 39.3%
331 Primary Metal Manufacturing 452 30 850 2755.9%2011 Annual Total 2011 YTD 2012 YTD YTD332Fabricated Metal Product Manuf 19,661 5,090 2,664 -47.7%NAICS SERVICES (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff
333 Machinery Manufacturing 14,242 3,106 3,738 20.3%51*Information 481,043 100,895 96,633 -4.2%334 Computer and Electronic Produc 16,776 3,735 1,258 -66.3%52*Finance and Insurance 65,518 15,611 (1,501) b -109.6%
335 Electric Equipment, Appliances 780 28 176 528.9%53*Real Estate, Rental, Leasing 303,750 68,748 85,919 25.0%
336 Transportation Equipment Man 362,149 127,230 307 a -99.8%541 Professional, Scientific, Tech 174,718 45,812 47,119 2.9%
337 Furniture and Related Products 13,135 2,249 3,917 74.2%551 Company Management 351 41 4 -90.3%
339 Miscellaneous Manufacturing 25,531 8,317 5,182 -37.7%56*Admin. Supp., Remed Svcs 294,603 64,403 65,193 1.2%
TOTAL MANUFACTURING 582,858$ 180,612$ 44,882$ -75.1%611 Educational Services 52,563 13,724 13,089 -4.6%
Overall Change from Previous Year (135,729)$ 62*Health Care Social Assistannce 40,737 3,658 11,443 212.8%
71*Arts and Entertainment 148,629 70,262 71,104 1.2%
72*Accomodation and Food Svcs 838,924 191,609 214,406 11.9%
2011 Annual Total 2011 YTD 2012 YTD YTD 81*Other Services 389,241 96,896 92,945 -4.1%
NAICS TRANSPORTATION AND WAREHOUSING (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff 92*Public Administration 92,163 19,474 18,336 -5.8%
481 Air Transportation 24 24 - -100.0%TOTAL SERVICES 2,882,241$ 691,133$ 714,689$ 3.4%482 Rail Transportation 17,831 7,598 2,178 -71.3%Overall Change from Previous Year 23,556$
484 Truck Transportation 36,261 2,688 4,010 49.2%
485 Transit and Ground Passengers 68 39 212 448.4%
488 Transportation Support 18,083 4,194 4,231 0.9%2011 Annual Total 2011 YTD 2012 YTD YTD
491 Postal Service 202 61 61 0.4%NAICS MISCELLANEOUS (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff
492 Couriers and Messengers 1,492 558 141 -74.8%000 Unknown 1,958 - 1 N/A
493 Warehousing and Storage 3,121 847 1,734 104.6%111-115 Agriculture, Forestry, Fishing 7,355 1,666 370 -77.8%
TOTAL TRANSPORTATION 77,083$ 16,008$ 12,567$ -21.5%211-221 Mining & Utilities 21,830 3,463 5,319 53.6%
Overall Change from Previous Year (3,441)$ 999 Unclassifiable Establishments 192,496 12,740 3,663 -71.2%
TOTAL SERVICES 223,639$ 17,870$ 9,353$ -47.7%
Overall Change from Previous Year (8,517)$
2011 Annual Total 2011 YTD 2012 YTD YTD
NAICS WHOLESALE TRADE (Nov '10-Oct '11)(Nov '10-Jan '11)(Nov '11-Jan '12)% Diff
423 Wholesale Trade, Durable Goods 1,095,905 265,513 274,764 3.5%GRAND TOTAL 12,887,267$ 3,230,108$ 3,057,227$ 424 Wholesale Trade, Nondurable 150,480 37,170 30,657 -17.5%Overall Change from Previous Year (172,881)$ -5.4%
425 Wholesale Electronic Markets 13,698 847 1,261 48.9%
TOTAL WHOLESALE 1,260,083$ 303,530$ 306,682$ 1.0%
Overall Change from Previous Year 3,152$
a. Wa. State Dept of Revenue audit adjustment to sales tax returns for period Nov 2011 (adjustment: -$73,971).
b. Wa. State Dept of Revenue audit adjustment to sales tax returns for period Dec 2011 (adjustment: -$20,014).
03/26/12 file:Monthly Sales Tax Report.xls
Prepared by Auburn Financial Planning
19
Investment Purchase Purchase Maturity Yield to
Type Date Price Date Maturity
State Investment Pool Various 79,116,452$ Various 0.14%
KeyBank Money Market Various 10,524,785 Various 0.15%
US Treasury 05/04/1990 57,750 05/15/2016 5.72%
FFCB 6/6/2011 2,000,000 6/6/2014 1.180%
FHLB 6/13/2011 2,000,000 6/13/2014 1.150%
FHLMC 12/19/2011 2,000,000 12/19/2014 1.000%
FNMA 12/29/2011 2,000,000 12/29/2014 0.900%
Total Cash & Investments 97,698,987$ 0.217%
Investment Mix % of Total
State Investment Pool 81.0%Current 6-month treasury rate 0.14%
KeyBank Money Market 10.8%Current State Pool rate 0.14%
US Treasury 0.1%KeyBank Money Market 0.15%
FHLB 2.0%Blended Auburn rate 0.22%
FFCB 2.0%
FHLMC 2.0%
FNMA 2.0%
100.0%
City of Auburn
Investment Portfolio Summary
March 31,2012
Summary
20