HomeMy WebLinkAboutOctober 2012
AGENDA BILL APPROVAL FORM
Agenda Subject: October 2012 Financial Report
Date: 12/07/2012
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
Citywide 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 October status report is based on financial data available as of November 26, 2012. Sales tax
information represents business activity that occurred in August 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.
The General Fund is on target with expectations for the year and is expected to end 2012 with a fund
balance of approximately $12.1 million.
Revenue collections totaled $45.6 million and are running ahead of budget-to-date of $42.7 million due
primarily to increased revenues from building permits, plan check fees and retail sales tax collections. The
month of October saw several large one-time fees related to new construction. These included building
permit fees and development service fees related to The Outlet Collection Seattle as well as several
housing developments including Kersey III, Pinnacle Estates, and the Jovita Heights subdivision.
Expenses totaled $44.2 million and are running below budget of $48.2 million and compare to
expenditures of $40.4 million for the same period last year. 2012 departmental expenses are below
budget primarily due to the timing of payments to SCORE, earlier staff vacancies, and continued vigilance
in monitoring general expenditures.
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 October, the Water fund ended with operating income of $976,500; the Sewer fund ended
the period with a $629,200 operating loss; and the Storm Drainage fund ended with an operating loss of
$295,900.
The Golf Course ended the period with an operating loss of $186,900. Cemetery revenues at the end of
October totaled $713,500 and were below expenses of $834,700, resulting in a year-to-date operating
loss of $121,200 compared to an operating loss of $190,900 for the same period last year.
Agenda Subject: October 2012 Financial Report Date: 12/07/2012
Internal Service Funds:
Internal Service Funds provide services to other City departments and include functions such as
Insurance, Facilities, Information Services, and Equipment Rental. By the end of the year, revenues
received from charges to internal client departments are projected to be sufficient to meet expenses.
Investment Portfolio:
The City’s total cash and investments at the end of October was $92.2 million compared to $89.2 million
the previous month.
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: December 17, 2012 Item Number:
Monthly Financial Report October 2012
(1) The anticipated Streamlined Sales Tax for 2012 is $1.96 million. The year to date actual Sales Tax amount includes
$1,572,688 in Streamlined Sales Tax Mitigation received from the State through October 2012.
General Fund 2011
Summary of Sources and Uses Annual
Budget YTD Budget YTD ActualYTD Actual Amount Percentage
OPERATING REVENUES
Property Tax 12,562,565 11,499,365 11,523,423 11,562,342 24,058 0.2%
Sales Tax 12,267,000 10,162,700 10,578,433 10,662,415 415,733 4.1%
Sales Tax - Annexation Credit 1,383,730 1,141,730 1,249,656 1,218,787 107,926 9.5%
Criminal Justice Sales Tax 1,212,900 1,009,700 1,153,615 1,126,809 143,915 14.3%
Brokered Natural Gas Tax 260,000 223,900 265,787 259,202 41,887 18.7%
City Utilities Tax 2,620,200 2,190,900 2,444,837 2,093,649 253,937 11.6%
Admissions Tax 360,000 357,100 342,732 356,587 (14,368) -4.0%
Electric Tax 3,275,000 3,275,000 3,151,923 3,092,930 (123,077) -3.8%
Natural Gas Tax 1,295,820 1,293,620 1,113,400 1,120,789 (180,220) -13.9%
Cable TV Franchise Fee 703,600 703,600 812,229 800,067 108,629 15.4%
Cable TV Franchise Fee - Capital 75,000 75,000 47,269 63,678 (27,731) -37.0%
Telephone Tax 2,012,400 1,666,700 1,597,586 1,666,904 (69,114) -4.1%
Garbage Tax (external)150,000 129,700 95,742 129,392 (33,958) -26.2%
Leasehold Excise Tax 50,000 33,000 28,792 29,711 (4,208) -12.8%
Gambling Excise Tax 331,500 292,900 205,725 203,115 (87,175) -29.8%
Taxes sub-total 38,559,715 34,054,915 34,611,148 34,386,375 556,233 1.6%
Business License Fees 200,000 112,900 133,705 123,847 20,805 18.4%
Building Permits 700,000 614,800 1,353,503 997,232 738,703 120.2%
Other Licenses & Permits 229,000 196,600 321,502 409,433 124,902 63.5%
Intergovernmental (Grants, etc.) - (1)5,497,433 4,453,266 5,003,226 4,940,899 549,960 12.3%
Charges for Services:
General Government Services 64,600 54,200 99,084 73,320 44,884 82.8%
Public Safety 223,500 183,800 204,558 200,265 20,758 11.3%
Development Services Fees 627,000 518,100 1,122,531 454,296 604,431 116.7%
Culture and Recreation 920,000 818,700 775,846 707,536 (42,854) -5.2%
Fines and Forfeits 1,499,800 1,274,300 1,314,423 1,672,167 40,123 3.1%
Fees/Charges/Fines sub-total 9,961,333 8,226,666 10,328,377 9,578,994 2,101,711 25.5%
Interests and Other Earnings 115,000 89,800 70,456 64,982 (19,344) -21.5%
Rents, Leases and Concessions 311,000 262,600 264,107 293,530 1,507 0.6%
Contributions and Donations 20,500 15,900 44,059 42,725 28,159 177.1%
Other Miscellaneous 46,200 41,600 106,685 103,363 65,085 156.5%
Transfers In 17,000 17,000 17,000 1,078,439 - 0.0%
Insurance Recoveries- Capital & Operating 50,000 37,955 142,057 137,756 104,102 274.3%
Other Revenues sub-total 559,700 464,855 644,365 1,720,795 179,510 38.6%
Total Operating Revenues 49,080,748 42,746,436 45,583,890 45,686,165 2,837,454 6.6%
Operating Expenditures
Council & Mayor 869,890 716,890 737,825 640,427 (20,935) -2.9%
Municipal Court & Probation 3,399,260 2,726,860 2,868,161 2,445,647 (141,301) -5.2%
Human Resources 942,164 770,130 698,695 652,215 71,435 9.3%
Finance 1,235,590 1,026,590 936,612 933,733 89,978 8.8%
City Attorney 1,699,500 1,417,200 1,352,971 1,291,803 64,229 4.5%
Planning 3,883,620 3,142,920 3,123,154 2,956,393 19,766 0.6%
Community & Human Services 1,160,360 988,360 888,990 807,530 99,370 10.1%
Jail - SCORE 4,764,750 3,855,350 3,019,159 4,170,826 836,191 21.7%
Police 20,682,698 16,675,898 14,816,084 14,837,832 1,859,814 11.2%
Engineering 2,718,870 2,202,970 2,079,903 1,829,720 123,067 5.6%
Parks and Recreation 7,598,230 6,329,130 6,124,982 5,879,029 204,148 3.2%
Streets 3,415,280 2,744,980 2,329,923 2,232,868 415,057 15.1%
Non-Departmental 7,130,550 5,625,850 5,246,816 1,701,940 379,034 6.7%
Total Operating Expenditures 59,500,762 48,223,128 44,223,275 40,379,962 3,999,853 8.3%
2012 2012 YTD Budget vs. Actual
Favorable (Unfavorable)
1
Monthly Financial Report October 2012
Overview
This financial overview reflects the City’s overall financial position for the fiscal period ending
October 31, 2012 and represents financial data available as of November 26, 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 $45.6 million and were above budget by 6.6%, or $2.8 million.
This period’s highlights include:
- Tax revenues totaled $34.6 million and were $556,000 above budget.
- Sales taxes totaled $10.6 million and were $416,000 above budget.
- Revenue from Fees/Charges/Fines totaled $10.3 million and was $2.1 million above
budget due to stronger than budgeted revenue from development activity.
- Other revenues totaled $644,000 and were 39% or $180,000 above budget primarily to
insurance recoveries.
General Fund expenses totaled $44.2 million compared to $40.4 million for the same period last
year, reflecting one-time transfers to Cemetery, Golf Course debt and Cumulative Reserve funds.
Departmental expenditures in 2012 continue to run under budget due to earlier vacancies, timing
of SCORE payments, and continued vigilance in monitoring general spending.
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 total $11.5 million to date and is consistent with expectations.
Total property tax collected during the month of October was $4.6 million. 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.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Property Taxes
2012 budget
2012 actual to date
2011 actual
2
Monthly Financial Report October 2012
Sales taxes totaled $10.6 million and exceeds budget by $416,000.
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.
As shown above, sales taxes by business sector totaled $10.6 million and are 0.8% less than the
same period last year due, in part, to two adjustments by the Washington State Department of
Revenue that reduced the City’s sales taxes by $93,9851.
1 Wa. State Department of Revenue adjustments reduced sales taxes within the manufacturing and services sectors
by $73,971 and $20,014, respectively.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Sales & Use Tax
2012 budget
2012 actual to date
2011 actual
20112012
Component Group ActualActual Amount Percentage
New Construction 1,055,688 926,842 (128,846) -12.2%
Manufacturing 490,413 317,062 (173,351) -35.3%
Transportation & Warehousing 66,960 48,157 (18,803) -28.1%
Wholesale Trade 1,037,928 1,103,711 65,783 6.3%
Automotive 2,322,643 2,506,212 183,569 7.9%
Retail Trade 3,151,696 3,236,542 84,846 2.7%
Services 2,340,425 2,396,964 56,539 2.4%
Miscellaneous 206,718 50,820 (155,898) -75.4%
YTD Total 10,672,471 10,586,310 (86,161) -0.8%
Change from 2011
Year to Date through October
Comparison of Sales Tax Collections by SIC Group
3
Monthly Financial Report October 2012
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). The following table
presents utility tax collections by source:
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
$8.0
$9.0
$10.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Utility Tax
2012 budget
2012 actual to date
2011 actual
201120122012
Month Actual Budget Actual Amount Percentage Amount Percentage
City Interfund Utility Taxes 2,093,649 2,190,900 2,444,837 351,188 16.8%253,937 11.6%
Electric 3,092,930 3,275,000 3,151,923 58,993 1.9%(123,077) -3.8%
Natural Gas 1,120,789 1,293,620 1,113,400 (7,389) -0.7%(180,220) -13.9%
Telephone 1,666,904 1,666,700 1,597,586 (69,317) -4.2%(69,114) -4.1%
Solid Waste 129,392 129,700 95,742 (33,650) -26.0%(33,958) -26.2%
YTD Total 8,103,663 8,555,920 8,403,489 299,825 3.7%(152,431) -1.8%
Year to Date through October
Utility Tax by Type
2012 vs. 2011 2012 vs. Budget
4
Monthly Financial Report October 2012
Cable TV Franchise Fees exceed budget by $109,000 and are comparable to 2011 levels. The final
quarterly payment has been received – closing the year at $812,000 in collected revenue.
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.
Year to date building permit revenues were $1.4 million and exceeded both budget and prior
year levels of $615,000 and $997,000, respectively. October revenue collected for building
permits was $122,000 and included over $27,000 in building permit revenue generated by
Kersey III subdivision, $14,000 from Pinnacle Estates, $12,000 from Jovita Heights and $10,000
from The Outlet Collection Seattle. In general, building permit activity has increased, reflecting
the broader trend of increased construction activity in the region.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
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Cable TV Franchise Fee
2012 budget
2012 actual to date
2011 actual
5
Monthly Financial Report October 2012
Business License revenues totaled $134,000 and exceeded 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.
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Building Permits
2012 budget
2012 actual to date
2011 actual
$0
$50
$100
$150
$200
$250
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Business Licenses
2012 budget
2012 actual to date
2011 actual
6
Monthly Financial Report October 2012
Intergovernmental includes Grants (Direct & Indirect Federal, State and Local), State shared
revenues and compact revenue from the Muckleshoot Indian Tribe. Collections totaled $5.0
million and exceeds budget by $550,000 or 12.3%. State shared revenue includes June 2012
disbursement of $188,000 by the State of Washington from the sale of state owned liquor
stores2, as well as Streamlined Sales Tax of $1,572,688.
2 The City of Auburn received $188,230 from the sale of State owned liquor stores in the month of June 2012 and is
reflected in this report. In addition, the City’s share of liquor excise taxes and liquor profits will be revised starting
July 1. Liquor excise taxes will be suspended for a twelve month period and will be reinstated at a lowered level starting July 1, 2013 while liquor profits will be reduced to 2011 levels starting July 1. These changes were made as a result of the State Legislature’s effort to balance the State budget during the 2012 legislative session.
201120122012
Revenue Actual Budget Actual % Change% Change
Federal Grants 304,139 404,292 607,502 99.7%50.3%
State Grants 102,465 49,951 124,458 21.5%149.2%
Interlocal Grants 3,151 74,600 15,049 377.6%-79.8%
State Shared Revenue 3,711,970 3,370,123 3,532,003 -4.8%4.8%
Muckleshoot Casino Emerg.712,294 554,300 711,063 -0.2%28.3%
Intergovernmental Service 21,880 - 13,152 -39.9%N/A
YTD Total 4,855,899 4,453,266 5,003,226 3.0%12.3%
Year to Date through October
Intergovernmental
2012 vs. 2011 2012 vs. Budget
201120122012
Revenue Actual Budget Actual Amount Percentage Amount Percentage
Trial Court Improvements 22,468 21,400 22,632 164 0.7%1,232 5.76%
Court Interpreter Program 6,643 6,960 13,174 6,531 98.32%6,214 89.28%
Motor Vehicle Fuel Tax 1,172,717 800,150 816,466 (356,251) -30.4%16,316 2.0%
Criminal Justice -High Crime 146,442 - 149,088 2,645 1.8%149,088 N/A
Criminal Justice -Population 15,470 64,800 15,934 465 3.0%(48,866) -75.4%
Criminal Justice -Spec. Prog.58,404 55,850 59,908 1,504 2.6%4,058 7.3%
State DUI 14,720 7,000 13,217 (1,503) -10.2%6,217 88.8%
Fire Insurance Premium Tax 258 65,000 63,205 62,946 24361.0%(1,795) -2.76%
Liquor Excise Tax 249,869 159,430 260,420 10,551 4.2%100,990 63.3%
Liquor Profits 367,156 558,000 545,271 178,115 48.5%(12,729) -2.28%
Streamlined Sales Tax 1,657,824 1,631,533 1,572,688 (85,136) -5.1%(58,845) -3.61%
YTD Total 3,711,970 3,370,123 3,532,003 (179,968) -4.8%161,880 4.8%
Year to Date through October
State Shared Revenues
2012 vs. 2011 2012 vs. Budget
7
Monthly Financial Report October 2012
Charges for Services consists of general governmental services, public safety, development service
fees and cultural & recreation fees and totaled $2.2 million. Development service fees and
culture and recreation fees make up over 85% of the revenue within this category.
Development services revenues totaled $1.1 million compared to budget of $518,000 due to
strong development activity. October collections include plan check revenues of $58,000 which
is partially attributable to the growth at the Bristol Knoll development and the remodel of The
Outlet Collection Seattle. Culture and recreation revenues are improved over 2011 levels,
reflecting increased registrations for summer camps, classes and league enrollment.
201120122012
Revenue Actual Budget Actual Amount Percentage Amount Percentage
General Government 73,320 54,200 99,084 25,764 35.14%44,884 82.81%
Public Safety 200,265 183,800 204,558 4,292 2.1%20,758 11.3%
Development Services 454,296 518,100 1,122,531 668,236 147.1%604,431 116.7%
Culture & Recreation 707,536 818,700 775,846 68,310 9.7%(42,854) -5.2%
YTD Total 1,435,417 1,574,800 2,202,019 766,602 53.4%627,219 39.8%
Year to Date through October
Charges for Services by Type
2012 vs. 2011 2012 vs. Budget
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Development Service Fees
2012 budget
2012 actual to date
2011 actual
8
Monthly Financial Report October 2012
Fines & Penalties totaled $1.3 million and exceed budget by $40,000 which is primarily due to
higher than budgeted revenues from traffic infractions.
$0
$100
$200
$300
$400
$500
$600
$700
$800
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$1,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Culture & Recreation
2012 budget
2012 actual to date
2011 actual
201120122012
Month Actual Budget Actual Amount Percentage Amount Percentage
Civil Penalties 16,148 12,100 14,292 (1,856) -11.5%2,192 18.1%
Civil Infraction Penalties 556,701 470,100 517,872 (38,829) -7.0%47,772 10.2%
Red Light Photo Enforcement 720,310 415,400 460,245 (260,065) -36.1%44,845 10.8%
Parking Infractions 152,300 147,000 96,333 (55,967) -36.7%(50,667) -34.5%
Criminal Traffic Misdemeanor 71,437 91,400 79,694 8,257 11.6%(11,706) -12.8%
Criminal Non-Traffic Fines 76,213 76,100 76,061 (152) -0.2%(39) -0.1%
Criminal Costs 12,838 9,100 14,178 1,340 10.4%5,078 55.8%
Non-Court Fines & Penalties 66,221 53,100 55,748 (10,474) -15.8%2,648 5.0%
YTD Total 1,672,167 1,274,300 1,314,423 (357,744) -21.4%40,123 3.1%
Year to Date through October
Fines & Forfeits by Type
2012 vs. 2011 2012 vs. Budget
9
Monthly Financial Report October 2012
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Fines & Penalties
2012 budget
2012 actual to date
2011 actual
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Photo Enforcement
2012 budget
2012 actual to date
2011 actual
10
Monthly Financial Report October 2012
Miscellaneous revenues include interest and other investment earnings, rents, leases &
concessions, contributions & donations and other miscellaneous income. Revenues in this
category totaled $485,000 and exceeds budget by $75,000.
Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects Fund
and is used for governmental capital projects. Year to date REET revenue totals $1.5 million and
exceeds budget by $310,000. The revenue spike seen in October is primarily due to the sale of
Auburn Regional Medical Center to Multicare.
201120122012
Month Actual Budget Actual Amount Percentage Amount Percentage
Interest & Investments 64,982 89,800 70,456 5,474 8.4%(19,344) -21.5%
Rents & Leases 293,530 262,600 264,107 (29,423) -10.0%1,507 0.6%
Contributions & Donations 42,725 15,900 44,059 1,334 3.1%28,159 177.1%
Other Miscellaneous Revenue 103,363 41,600 106,685 3,323 3.2%65,085 156.5%
YTD Total 504,600 409,900 485,307 (19,293) -3.8%75,407 18.4%
Miscellaneous Revenues by Type
Year to Date through October
2012 vs. 2011 2012 vs. Budget
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Real Estate Excise Tax
2012 budget
2012 actual to date
2011 actual
11
Monthly Financial Report October 2012
Enterprise Funds
The following table provides an analysis of the City’s Enterprise funds – showing 2012 revenues
and expenditures by fund.
Water Sewer Storm Solid Waste Airport Cemetery Golf
OPERATING REVENUES
Charges for Services 8,470,336 4,353,408 6,175,033 9,691,027 12,908 713,539 941,210
Sewer Metro Service Revenue - 10,927,413 - - - - -
Rents, Leases, Concessions & Other - - - - 484,833 - 353,467
TOTAL OPERATING REVENUES 8,470,336 15,280,821 6,175,033 9,691,027 497,741 713,539 1,294,677
OPERATING EXPENSES:
Administration 2,040,127 1,616,040 2,159,797 615,944 436,332 245,161 188,237
Operations & Maintenance 3,643,109 2,384,972 3,013,972 1,176,012 9,985 531,531 1,031,808
Waste Management Payments - - - 6,980,753 - - -
Sewer Metro Services - 10,451,399 - - - - -
Depreciation & Amortization 1,810,564 1,457,654 1,220,553 15,683 330,443 58,033 261,511
TOTAL OPERATING EXPENSES 7,493,800 15,910,065 6,394,322 8,788,392 776,760 834,725 1,481,556
OPERATING INCOME (LOSS)976,536 (629,244) (219,289) 902,636 (279,018) (121,186) (186,879)
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 31,438 29,374 15,446 652 1,793 314 698
Other Non Operating Revenue 172,221 63,576 80,738 97,840 820 14,617 9,846
Other Non Operating Expense (28,816) (20,541) - - (25,238) (11,134) -
TOTAL NON-OPERATING REVENUES (EXPENSES)174,843 72,409 96,184 98,493 (22,624) 3,798 10,544
1,151,379 (556,835) (123,105) 1,001,128 (301,643) (117,389) (176,335)
Contributions 347,438 2,303,506 471,279 - - - -
Transfers In - - - - - 222,300 47,063
Transfers Out (50,000) (50,000) (50,000) - - - -
TOTAL CONTRIBUTIONS & TRANSFERS 297,438 2,253,506 421,279 - - 222,300 47,063
CHANGE IN FUND BALANCE 1,448,817 1,696,671 298,174 1,001,128 (301,643) 104,911 (129,272)
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 October 31, 2012 64,477,512 74,970,677 48,070,378 1,761,809 9,429,516 919,621 5,015,689
INCOME (LOSS) BEFORE CONTRIBUTIONS &
TRANSFERS
12
Monthly Financial Report October 2012
The following table presents the Working Capital Statements for the City’s Enterprise funds.
Working capital is generally defined as the difference between current assets and current
liabilities.
Water Sewer Storm Solid Waste Airport Cemetery Golf
OPERATING REVENUES
Charges for Services 8,470,336 4,353,408 6,175,033 9,691,027 12,908 713,539 941,210
Sewer Metro Service Revenue - 10,927,413 - - - - -
Rents, Leases, Concessions & Other - - - - 484,833 - 353,467
TOTAL OPERATING REVENUES 8,470,336 15,280,821 6,175,033 9,691,027 497,741 713,539 1,294,677
OPERATING EXPENSES:
Salaries & Wages 1,727,268 1,137,516 1,599,607 332,545 16,551 374,105 475,659
Benefits 765,835 490,544 688,033 143,692 5,283 179,367 225,058
Supplies 166,318 57,310 64,089 43,853 - 116,381 239,316
Other Service Charges 2,090,735 1,678,544 1,690,268 821,015 424,484 51,749 145,002
Intergovernmental Services - - 19,122 297,101 - - -
Waste Management Payments - - - 6,980,753 - - -
Sewer Metro Services - 10,451,399 - - - - -
Interfund Operating Rentals/Supplies 933,081 637,099 1,109,429 153,750 - 55,090 135,010
Other Expenses - 3,222 - - - -
Depreciation & Amortization 1,810,564 1,457,654 1,220,553 15,683 330,443 58,033 261,511
TOTAL OPERATING EXPENSES 7,493,800 15,910,065 6,394,323 8,788,391 776,760 834,725 1,481,556
OPERATING INCOME (LOSS)976,536 (629,244) (219,290) 902,636 (279,019) (121,186) (186,879)
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 31,438 29,374 15,446 652 1,793 314 698
Contributions 37,954 24,561 43,930 97,080 - 13,279 9,846
Other Non Operating Revenue 134,268 39,015 36,809 760 820 1,388 -
Gain (Loss) on Sale of Fixed Assets - - - - - (50) -
Debt Service Interest (28,816) (20,541) - - (25,238) (11,134) -
TOTAL NON-OPERATING REVENUES (EXPENSES)174,843 72,409 96,184 98,493 (22,624) 3,798 10,544
Plus Items Not Effecting Working Capital
Depreciation 1,810,564 1,457,654 1,220,553 15,683 330,443 58,033 261,511
2,961,943 900,819 1,097,447 1,016,811 28,799 (59,355) 85,176
Increase in Contributions -System Development 344,232 2,303,506 471,279 - - - -
Increase in Contributions -Area Assessments 3,206 - - - - - -
Increase in Contributions -Other Governments - - - - - - -
Operating Transfers In - - - - - 222,300 47,063
Increase in Restricted Net Assets 17,472 28,393 - - (12,231) -
Decrease in Long term Receivables - 45,000 - - - - -
Increase in Deferred Credits - - - - 5,571 - -
TOTAL RESOURCES OTHER THAN OPERATIONS 364,910 2,376,899 471,279 - (6,660) 222,300 47,063
Net Change in Restricted Net Assets 525,854 142,489 218,154 - (12,812) (50) (19,342)
Increase in Fixed Assets - Salaries 125,602 88,759 51,727 - - -
Increase in Fixed Assets - Benefits 49,747 34,917 19,901 - - - -
Increase in Fixed Assets - Site Improvements 46,369 - - - 19,054 - -
Increase in Fixed Assets - Equipment 94,816 - - - - - -
Increase in Fixed Assets - Construction 8,580,899 1,482,897 758,025 - 82,790 - -
Operating Transfers Out 50,000 50,000 50,000 - - - -
Debt Service Principal 435,568 288,262 - - - - -
TOTAL USES OTHER THAN OPERATIONS 9,908,856 2,087,324 1,097,808 - 89,032 (50) (19,342)
NET CHANGE IN WORKING CAPITAL (6,582,003) 1,190,394 470,919 1,016,811 (66,893) 162,995 151,581
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 October 31, 2012 10,363,807 13,996,922 9,572,919 1,649,075 894,740 234,815 219,901
NET CHANGE IN WORKING CAPITAL (6,582,003) 1,190,394 470,919 1,016,811 (66,893) 162,995 151,581
NET WORKING CAPITAL FROM OPERATIONS
13
Monthly Financial Report October 2012
The Water Utility’s position improved to $976,500 in net operating income and compares to
$481,500 for the same period in 2011.
The Sewer Utility’s position improved to a $629,200 net operating loss and compares to a $2
million net loss for the same period in 2011.
The Stormwater Utility ended the period with a $219,300 net operating loss and compares to
$295,900 in net income for the same period last year.
The number of rounds played at the Auburn Golf Course (AGC) in October was 2,503 as
compared to 2,805 rounds for the same month last year. The AGC ended October with a net
operating loss of $186,900 as compared to a loss of $118,600 for the same period last year.
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Water Revenues ($) vs Water Sold (ccf)
2011 -Present
2011 Water Sales ($)
2012 Water Sales ($)
2011 Water Sold (ccf)
2012 Water Sold (ccf)
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Golf Course Operating Revenues by Month
(2012 vs 2011)
2012 Monthly Budget
2012 Actual
2011 Actual
14
Monthly Financial Report October 2012
The Cemetery Fund ended October with a $121,200 net operating loss as compared to a
$190,900 net operating loss for the same period last year. Year-to-date operating revenues for
the Cemetery are up 7.2% over last year. ($713,500 in 2012 v. $665,500 in 2011)
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Cemetery Operating Revenues by Month
(2012 vs 2011)
2012 Monthly
Budget
2012 Actual
2011 Actual
15
Monthly Financial Report October 2012
Internal Service Funds
The following table provides an analysis of the City’s Internal Service funds – showing 2012
revenues and expenditures by fund.
Innovation Equipment
Insurance Facilities & Technology Rental
OPERATING REVENUES:
Interfund Charges for Services - 2,864,250 3,445,920 2,495,904
Rents, Leases, Concessions & Other - 119,841 67,376 -
TOTAL OPERATING REVENUES - 2,984,091 3,513,296 2,495,904
OPERATING EXPENSES:
Administration 328,059 - - 588,422
Operations & Maintenance - 2,750,826 3,450,713 1,125,167
Depreciation & Amortization - - 466,498 680,065
TOTAL OPERATING EXPENSES 328,059 2,750,826 3,917,211 2,393,654
OPERATING INCOME (LOSS)(328,059) 233,265 (403,915) 102,250
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 2,476 3,060 4,769 13,059
Other Non Operating Revenue - 13,072 - 13,510
Gain/Loss on Sale of Fixed Assets - - - 13,939
Other Non Operating Expense - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)2,476 16,133 4,769 40,508
INCOME (LOSS) BEFORE CONTRIBUTIONS & TRANSFERS (325,583) 249,398 (399,146) 142,758
Contributions - - 54,986 103,551
Transfers In - 300,000 - -
Transfers Out - (644,787) - (7,000)
TOTAL CONTRIBUTIONS & TRANSFERS - (344,787) 54,986 96,551
CHANGE IN FUND BALANCE (325,583) (95,389) (344,160) 239,309
BEGINNING FUND BALANCE January 1, 2012 2,184,680 1,570,419 4,350,183 10,135,919
ENDING FUND BALANCE October 31, 2012 1,859,098 1,475,029 4,006,023 10,375,228
16
Monthly Financial Report October 2012
The following table presents the Working Capital Statements for the City’s Internal Service funds.
Working capital is generally defined as the difference between current assets and current
liabilities.
Innovation Equipment
Insurance Facilities & Technology Rental
OPERATING REVENUES:
Interfund Charges for Services - 2,864,250 3,445,920 2,495,904
Rents, Leases, Concessions & Other - 119,841 67,376
TOTAL OPERATING REVENUES - 2,984,091 3,513,296 2,495,904
OPERATING EXPENSES:
Salaries & Wages - 543,295 1,104,650 353,539
Benefits - 236,530 443,528 142,949
Supplies - 100,731 262,283 704,810
Other Service Charges 328,059 1,076,622 1,399,351 334,109
Interfund Operating Rentals/Supplies - 81,580 240,900 178,183
Other Expenses - 712,068 - -
Depreciation & Amortization - - 466,498 680,065
TOTAL OPERATING EXPENSES 328,059 2,750,826 3,917,211 2,393,655
OPERATING INCOME (LOSS)(328,059) 233,265 (403,915) 102,250
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 2,476 3,060 4,769 13,059
Contributions - 13,072 - -
Other Non Operating Revenue - - - 13,510
Gain/Loss on Sale of Fixed Assets - - - 13,939
Other Non Operating Expense - - - -
TOTAL NON-OPERATING REVENUES (EXPENSES)2,476 16,133 4,769 40,508
Plus Items Not Effecting Working Capital
Depreciation - - 466,498 680,065
(325,583) 249,398 67,352 822,823
Increase in Contributions -Other Governments - - 51,756 -
Increase in Contributions -Other Funds - - 3,230 103,551
Operating Transfers In - 300,000 - -
TOTAL RESOURCES OTHER THAN OPERATIONS - 300,000 54,986 103,551
Net Change in Restricted Net Assets - - 3,230 39,730
Increase in Fixed Assets - Site Improvements - - - 18,493
Increase in Fixed Assets - Equipment - - 355,803 1,258,740
Increase in Fixed Assets - Construction - - 51,756 29,276
Operating Transfers Out - 644,787 - 7,000
TOTAL USES OTHER THAN OPERATIONS - 644,787 410,789 1,353,240
NET CHANGE IN WORKING CAPITAL (325,583) (95,389) (288,451) (426,866)
BEGINNING WORING CAPITAL January 1, 2012 2,184,680 1,622,449 3,118,686 5,793,165
ENDING WORKING CAPITAL October 31, 2012 1,859,098 1,527,059 2,830,235 5,366,299
NET CHANGE IN WORKING CAPITAL (325,583) (95,389) (288,451) (426,866)
NET WORKING CAPITAL FROM OPERATIONS
17
Monthly Financial Report October 2012
Operating expenses within the Insurance Fund represents 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 throughout the entire year. The Innovation & Technology Fund
ended with a net loss, reflecting the timing of expenses. No significant variances are reported in
the Facilities Fund or Equipment Rental Fund. Both funds have had sufficient revenues to cover
year-to-date expenses.
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
OCTOBER 2012 SALES TAX DISTRIBUTIONS (FOR NOVEMBER - AUGUST 2012 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-Aug '11)(Nov '11-Aug '12)% Diff NAICS AUTOMOTIVE (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff
236 Construction of Buildings 582,840 492,713 346,201 -29.7%441 Motor Vehicle and Parts Dealer 2,560,962 2,135,928 2,321,967 8.7%
237 Heavy and Civil Construction 108,727 77,313 91,456 18.3%447 Gasoline Stations 224,459 186,715 184,246 -1.3%
238 Specialty Trade Contractors 604,245 485,662 489,185 0.7%TOTAL AUTOMOTIVE 2,785,421$ 2,322,643$ 2,506,212$ 7.9%
TOTAL CONSTRUCTION 1,295,813$ 1,055,688$ 926,842$ -12.2%Overall Change from Previous Year 183,569$
Overall Change from Previous Year (128,846)$
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-Aug '11)(Nov '11-Aug '12)% Diff
NAICS MANUFACTURING (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff 442 Furniture and Home Furnishings 218,335 184,263 185,385 0.6%
311 Food Manufacturing 2,674 2,150 2,661 23.7%443 Electronics and Appliances 126,870 110,766 122,222 10.3%
312 Beverage and Tobacco Products 3,864 3,269 4,658 42.5%444 Building Material and Garden 382,504 317,826 344,677 8.4%
313 Textile Mills 959 1,058 81 -92.4%445 Food and Beverage Stores 330,776 277,060 283,318 2.3%
314 Textile Product Mills 2,625 1,853 3,965 114.0%446 Health and Personal Care Store 148,387 125,252 126,380 0.9%
315 Apparel Manufacturing 2,519 2,422 205 -91.5%448 Clothing and Accessories 754,407 626,489 634,350 1.3%
316 Leather and Allied Products 175 167 58 -65.5%451 Sporting Goods, Hobby, Books 126,042 105,951 101,982 -3.7%
321 Wood Product Manufacturing 24,075 19,484 22,567 15.8%452 General Merchandise Stores 967,627 819,931 821,600 0.2%
322 Paper Manufacturing 11,026 10,176 3,257 -68.0%453 Miscellaneous Store Retailers 489,259 388,959 394,809 1.5%
323 Printing and Related Support 38,511 32,399 23,796 -26.6%454 Nonstore Retailers 235,923 195,198 221,820 13.6%
324 Petroleum and Coal Products 9,771 8,033 9,043 12.6%TOTAL RETAIL TRADE 3,780,129$ 3,151,696$ 3,236,542$ 2.7%
325 Chemical Manufacturing 7,937 6,575 6,278 -4.5%Overall Change from Previous Year 84,846$
326 Plastics and Rubber Products 9,777 7,882 7,940 0.7%
327 Nonmetallic Mineral Products 16,218 12,895 13,750 6.6%
331 Primary Metal Manufacturing 452 246 1,713 595.6%2011 Annual Total 2011 YTD 2012 YTD YTD
332 Fabricated Metal Product Manuf 19,661 16,365 20,009 22.3%NAICS SERVICES (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff
333 Machinery Manufacturing 14,242 11,747 9,955 -15.3%51*Information 481,043 330,934 329,260 -0.5%
334 Computer and Electronic Produc 16,776 15,077 7,711 -48.9%52*Finance and Insurance 65,518 53,792 39,842 b -25.9%
335 Electric Equipment, Appliances 780 529 344 -35.0%53*Real Estate, Rental, Leasing 303,750 246,103 254,260 3.3%
336 Transportation Equipment Man 362,149 307,505 142,320 a -53.7%541 Professional, Scientific, Tech 174,718 149,680 142,127 -5.0%
337 Furniture and Related Products 13,135 9,448 15,499 64.0%551 Company Management 351 108 14 -87.5%
339 Miscellaneous Manufacturing 25,531 21,134 21,255 0.6%56*Admin. Supp., Remed Svcs 294,603 251,871 221,890 -11.9%
TOTAL MANUFACTURING 582,858$ 490,413$ 317,062$ -35.3%611 Educational Services 52,563 40,520 40,003 -1.3%
Overall Change from Previous Year (173,351)$ 62*Health Care Social Assistance 40,737 35,443 23,909 -32.5%
71*Arts and Entertainment 148,629 134,268 138,559 3.2%
72*Accomodation and Food Svcs 838,924 696,244 764,479 9.8%2011 Annual Total 2011 YTD 2012 YTD YTD 81*Other Services 389,241 323,005 325,882 0.9%NAICS TRANSPORTATION AND WAREHOUSING (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff 92*Public Administration 92,163 78,455 116,741 48.8%
481 Air Transportation 24 24 - -100.0%TOTAL SERVICES 2,882,241$ 2,340,425$ 2,396,964$ 2.4%
482 Rail Transportation 17,831 12,650 18,235 44.2%Overall Change from Previous Year 56,539$
484 Truck Transportation 36,261 34,784 8,440 -75.7%
485 Transit and Ground Passengers 68 68 268 292.1%
488 Transportation Support 18,083 15,315 15,592 1.8%2011 Annual Total 2011 YTD 2012 YTD YTD
491 Postal Service 202 170 333 96.1%NAICS MISCELLANEOUS (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff
492 Couriers and Messengers 1,492 1,341 439 -67.3%000 Unknown 1,958 1,958 1 -99.9%
493 Warehousing and Storage 3,121 2,607 4,849 86.0%111-115 Agriculture, Forestry, Fishing 7,355 6,991 2,244 -67.9%
TOTAL TRANSPORTATION 77,083$ 66,960$ 48,157$ -28.1%211-221 Mining & Utilities 21,830 16,947 26,041 53.7%
Overall Change from Previous Year (18,803)$ 999 Unclassifiable Establishments 192,496 180,822 22,533 -87.5%
TOTAL SERVICES 223,639$ 206,718$ 50,820$ -75.4%
Overall Change from Previous Year (155,898)$
2011 Annual Total 2011 YTD 2012 YTD YTDNAICSWHOLESALE TRADE (Nov '10-Oct '11)(Nov '10-Aug '11)(Nov '11-Aug '12)% Diff
423 Wholesale Trade, Durable Goods 1,095,905 900,446 972,362 8.0%GRAND TOTAL 12,887,267$ 10,672,472$ 10,586,311$
424 Wholesale Trade, Nondurable 150,480 126,193 126,960 0.6%Overall Change from Previous Year (86,161)$ -0.8%
425 Wholesale Electronic Markets 13,698 11,288 4,389 -61.1%
TOTAL WHOLESALE 1,260,083$ 1,037,928$ 1,103,711$ 6.3%
Overall Change from Previous Year 65,784$
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: -$20,014).
10/24/12 file:Monthly Sales Tax Report.xls
Prepared by Auburn Finance Department
19
Investment Purchase Purchase Maturity Yield to
Type Date Price Date Maturity
State Investment Pool Various 80,220,761$ Various 0.18%
KeyBank Money Market Various 9,941,710 Various 0.15%
US Treasury 05/04/1990 57,750 05/15/2016 5.72%
FHLMC 12/19/2011 2,000,000 12/19/2014 1.000%
Total Cash & Investments 92,220,221$ 0.196%
Investment Mix % of Total
State Investment Pool 87.0%Current 6-month treasury rate 0.15%
KeyBank Money Market 10.8%Current State Pool rate 0.18%
US Treasury 0.1%KeyBank Money Market 0.15%
FHLMC 2.2%Blended Auburn rate 0.20%
FNMA 0.0%
100.0%
City of Auburn
Investment Portfolio Summary
October 31, 2012
Summary
20