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Home My WebLink AboutFebruary 2013 AGENDA BILL APPROVAL FORM Agenda Subject: February 2013 Financial Report Date: April 8, 2013 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 February status report is based on financial data available as of March 25, 2013. Sales tax information represents business activity that occurred in December 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. Through the first two months of 2013, General Fund expenses totaled $7.8 million and compare to $7.4 million for the same period last year. The increase in year-over-year expenses reflect the payment of SCORE debt service principal (prior to 2013, debt service payments were interest only) and increased payments for incarceration services (current period payments are based upon prior year City inmate counts). General Fund revenues, which were not sufficient to meet General Fund expenses, totaled $7.5 million for 2013 year-to-date, and compare to collections of $6.9 million for the same period last year. The increase in revenue reflect the current upswing in general construction activity locally and regionally and includes $399,000 in building permit revenues from the Auburn High School Reconstruction and Modernization project. During the month of February, 361 pet licenses were sold resulting in $10,875 in revenue. Year-to-date, 631 licenses have been sold bringing in a total of $18,150. 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 February, the Water fund ended with operating income of $92,700; the Sewer fund ended the period with a $250,700 operating loss; and the Storm Drainage fund ended with operating income of $242,300. The Golf Course ended the period with an operating loss of $177,200 as compared to an operating loss of $189,800 for the same period last year. The improvement in the Golf Course financial performance reflect an increase in year-to-date rounds played -- 3,041 as compared to 2,812 the previous year. The Cemetery ended with $14,200 in net operating income compared to an operating loss of $20,400 for the previous year, improvement of which is attributable to a decrease in operating expenses. 1 Agenda Subject: February 2013 Financial Report Date: 4/8/2013 Internal Service Funds: Internal Service Funds provide services to other City departments and include functions such as Insurance, Facilities, Innovation and Technology, 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 February was $91.8 million, compared to $90.6 million the month prior. 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: April 15, 2013 Item Number: 2 Monthly Financial Report February 2013 General Fund 2012 Summary of Sources and Uses Annual BudgetYTD BudgetYTD ActualYTD ActualAmountPercentage Operating Revenues Property Tax 14,299,417.00203,400.00169,370.63 163,591.38 (34,029.37)-16.7% Sales Tax 11,280,869.001,935,400.002,165,003.822,161,023.04229,603.82 11.9% Sales Tax - Annexation Credit 1,397,602.00240,400.00285,696.76 258,120.94 45,296.76 18.8% Criminal Justice Sales Tax 1,225,059.00214,400.00 268,017.81 247,880.41 53,617.81 25.0% Brokered Natural Gas Tax 301,500.00 72,900.00 64,173.75 75,623.17 (8,726.25)-12.0% City Utilities Tax 2,991,933.00465,100.00612,072.38 418,759.41 146,972.38 31.6% Admissions Tax 363,609.00 60,100.00 59,019.88 55,894.67 (1,080.12)-1.8% Electric Tax 3,340,500.00857,000.00786,368.23 812,586.09 (70,631.77)-8.2% Natural Gas Tax 1,201,900.00303,300.00244,173.48295,288.92 (59,126.52)-19.5% Cable TV Franchise Fee 808,000.00204,100.00 212,145.32 202,201.09 8,045.32 3.9% Cable TV Franchise Fee - Capital 62,000.00 15,600.00 15,820.88 15,823.75 220.88 1.4% Telephone Tax 2,032,574.00373,600.00270,364.48359,943.36(103,235.52)-27.6% Garbage Tax (external)151,504.00 25,700.00 7,899.52 12,380.69 (17,800.48)-69.3% Leasehold Excise Tax 50,501.00 8,400.00 10,350.27 2,400.87 1,950.27 23.2% Gambling Excise Tax 247,965.00 59,900.00 71,991.75 65,767.47 12,091.75 20.2% Taxes sub-total 39,754,933.005,039,300.005,242,468.965,147,285.26203,168.96 4.0% Business License Fees 202,005.00 74,000.00 71,961.00 89,782.50 (2,039.00)-2.8% Building Permits 1,182,066.00122,400.00626,702.17 155,934.35 504,302.17 412.0% Other Licenses & Permits 454,413.00 39,700.00 94,300.87 42,632.92 54,600.87 137.5% Intergovernmental (Grants, etc.) - (1)4,751,784.00803,000.00754,449.44802,018.69 (48,550.56)-6.0% Charges for Services: General Government Services 94,467.00 14,400.00 18,237.61 18,862.93 3,837.61 26.7% Public Safety 219,305.00 40,300.00 8,302.38 39,657.12 (31,997.62)-79.4% Development Services Fees 832,458.00 99,400.00164,563.46 148,307.44 65,163.46 65.6% Culture and Recreation 809,717.00103,800.00 118,030.18 114,099.68 14,230.18 13.7% Fines and Forfeits 1,556,500.00 282,100.00 219,910.88 277,783.60 (62,189.12)-22.0% Fees/Charges/Fines sub-total10,102,715.001,579,100.002,076,457.991,689,079.23497,357.99 31.5% Interests and Other Earnings 64,900.00 8,900.00 7,942.84 12,036.92 (957.16)-10.8% Rents, Leases and Concessions 308,000.00 64,900.00 43,410.05 43,994.37 (21,489.95)-33.1% Contributions and Donations 30,000.00 2,200.00 1,766.44 4,837.82 (433.56)-19.7% Other Miscellaneous 92,200.00 8,300.00 12,060.86 12,476.45 3,760.86 45.3% Transfers In 193,000.00193,000.00 119,548.00 17,000.00 (73,452.00)-38.1% Insurance Recoveries- Capital & Operating 25,000.00 2,101.94 27,042.43 10,446.13 24,940.49 1186.5% Other Revenues sub-total 713,100.00279,401.94211,770.62100,791.69(67,631.32)-24.2% Total Operating Revenues 50,570,748.006,897,801.947,530,697.576,937,156.18632,895.63 9.2% Operating Expenditures Council & Mayor 960,930.00140,500.00155,922.89128,603.50 (15,422.89)-11.0% Municipal Court & Probation 549,494.00 80,300.00 62,482.60462,130.39 17,817.40 22.2% Human Resources 1,572,256.00239,800.00 221,713.25135,279.30 18,086.75 7.5% Finance 1,287,232.00194,800.00 186,144.49 171,314.66 8,655.51 4.4% City Attorney 1,728,391.00261,500.00259,027.06240,439.62 2,472.94 0.9% Planning 3,824,581.00612,000.00685,105.64 633,158.69 (73,105.64)-11.9% Community & Human Services 1,136,717.00 213,100.00188,965.76 200,259.17 24,134.24 11.3% Jail - SCORE 6,676,146.001,140,624.33796,633.96 286,419.41343,990.37 30.2% Police 19,434,846.003,146,600.002,965,425.222,993,330.61 181,174.78 5.8% Engineering 2,646,999.00410,700.00386,552.29 388,312.62 24,147.71 5.9% Parks and Recreation 7,719,646.001,123,500.001,195,598.801,073,879.19 (72,098.80)-6.4% Streets 3,263,864.00488,400.00441,222.30 417,931.61 47,177.70 9.7% Non-Departmental 3,567,437.00288,000.00325,688.58 286,813.09 (37,688.58)-13.1% Total Operating Expenditures 54,368,539.008,339,824.337,870,482.847,417,871.86469,341.49 5.6% 2013 2013 YTD Budget vs. Actual Favorable (Unfavorable) (1) Streamlined Sales Tax mitigation payments represent intergovernmental revenues from the State of Washington and are presented above in the Intergovernmental Revenue category. For the first two months of 2013, $333,333.33 in Streamlined Sales Tax mitigation payments is included based upon anticipated 2013 Streamlined Sales Tax mitigation payments of $2,000,000.00 and are reconciled at the end of each quarter based upon actual distributions from the State. 3 Monthly Financial Report February 2013 Overview This financial overview reflects the City’s overall financial position for the fiscal period ending February 28, 2013 and represents financial data available as of March 25, 2013. The budgeted year-to-date revenues and operating expenses are primarily based on collection/disbursement average for the same period of the two years prior. Through the first two months of 2013, General Fund revenue totaled $7.5 million. Significant activity include building permit revenues, which for the month of February include permit revenues from the Auburn High School Reconstruction and Modernization project. In general, building permit and plan check revenue are increased over the previous year, reflecting a broader improvement in housing that is seen locally and regionally. General Fund expenses totaled $7.9 million and compare to $7.4 million for the same period last year, increase of which is attributable to the payment of the City’s share of SCORE debt service principal and SCORE City inmate incarceration costs. 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 $169,000 and compare to budget of $203,000. 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. $0.0 $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 $14.0 $16.0 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Property Taxes 2013 budget 2013 actual to date 2012 actual Sales taxes, excluding transfers to construction which were effective January 2013, totaled $2.2 million and are nearly identical to collections for the same period the previous year. 4 Monthly Financial Report February 2013 Per City Council policy, effective January 2013, all sales tax revenue from construction is transferred to the Local Street Fund (Fund 103) for local street repair and maintenance. $0.0 $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 $14.0 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Sales & Use Tax 2013 budget 2013 actual to date 2012 actual 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. 20122013 Component GroupActualActualAmountPercentage Construction 212,147.60277,216.2665,068.6630.7% Manufacturing 9,896.95112,393.77102,496.821035.6% Transportation & Warehousing7,809.4212,267.454,458.0357.1% Wholesale Trade 215,398.01190,450.74(24,947.27)-11.6% Automotive 461,992.73488,424.3826,431.655.7% Retail Trade 790,290.02826,080.5535,790.534.5% Services 500,033.53557,656.5557,623.0211.5% Miscellaneous 6,886.8620,284.0013,397.14194.5% YTD Total 2,204,455.122,484,773.70280,318.5812.7% Change from 2012 February-2013 Comparison of Sales Tax Collections by SIC Group As shown above, sales taxes by business sector totaled $2.5 million and compare to $2.2 million for the same period last year. It is important to note that 2012 actuals for the Manufacturing sector include an adjustment of $74,000 by the State Department of Revenue as a result of an audit. After adjusting for this audit, the sectors of the local economy that grew over the previous year include construction, business services and retail trade. 5 Monthly Financial Report February 2013 Year to date sales tax revenue on construction, which are transferred to the Local Street Fund (Fund 103) for local street repair and maintenance, was $286,000. $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 $1.4 $1.6 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Sales Tax on Construction Transfer 2013 budget 2013 actual to date 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). Utility tax collections through February totaled $1.9 million and are comparable to collections for the same period last year. $0.0 $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Utility Tax 2013 budget 2013 actual to date 2012 actual 6 Monthly Financial Report February 2013 As shown in the table below, collections from City interfund utilities partially offset lower than expected collections from private utility providers. A mild winter has reduced consumer heating demands and resulted in year-over-year declines in electric and natural gas revenue collections. Telephone utility taxes are lower than the previous year, reflecting the competitiveness of rates for telephone plans. 201220132013 Month ActualBudgetActualAmountPercentageAmountPercentage City Interfund Utility Taxes418,759.41465,100.00612,072.38193,312.9746.2%146,972.3831.6% Electric 812,586.09857,000.00786,368.23(26,217.86)-3.2%(70,631.77)-8.2% Natural Gas 295,288.92303,300.00244,173.48(51,115.44)-17.3%(59,126.52)-19.5% Telephone 359,943.36373,600.00270,364.48(89,578.88)-24.9%(103,235.52)-27.6% Garbage (external)12,380.6925,700.007,899.52(4,481.17)-36.2%(17,800.48)-69.3% YTD Total 1,898,958.472,024,700.001,920,878.0921,919.621.2%(103,821.91)-5.1% February-2013 Utility Tax by Type 2013 vs. 2012 2013 vs. Budget Cable TV Franchise Fees, which are collected quarterly, totaled $212,000 and are on target with budget and historical actuals. $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 1st Quarter2nd Quarter3rd Quarter4th Quarter Th o u s a n d s Cable TV Franchise Fee 2013 budget 2013 actual to date 2012 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 through February was $627,000 and exceeded both budget and prior year actual. The spike in February is largely explained by building permit fees collected from the Auburn High School Reconstruction and Modernization project. 7 Monthly Financial Report February 2013 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 JanFebMarAprMayJunJulAugSepOctNovDec Th o u s a n d s Building Permits 2013 budget 2013 actual to date 2012 actual Business License revenues totaled $72,000 and reflect the timing of payments by business owners. The majority of business license payments are collected in December of the previous year and during the first two months of the current year. $0 $50 $100 $150 $200 $250 JanFebMarAprMayJunJulAugSepOctNovDec Th o u s a n d s Business Licenses 2013 budget 2013 actual to date 2012 actual 8 Monthly Financial Report February 2013 Intergovernmental includes Grants (Direct & Indirect Federal, State and Local), state shared revenues and compact revenue from the Muckleshoot Indian Tribe (MIT). Collections to date total $754,000 and are running lower than budget due to the timing of MIT payments. State shared revenue includes $333,000 in Streamlined Sales Tax mitigation payments. 201220132013 Revenue ActualBudgetActual% ChangeAmount% Change Federal Grants 0.00 0.002,229.96 N/A2,229.96 N/A State Grants 0.00 0.009,961.01 N/A9,961.01 N/A Interlocal Grants 2,500.00300.002,000.00 N/A1,700.00 566.7% State Shared Revenue 636,237.69557,400.00550,530.77-13.5%(6,869.23)-1.2% Muckleshoot Casino Emerg.163,281.00245,300.00182,594.00 11.8%(62,706.00)-25.6% Intergovernmental Service 0.00 0.007,133.70 0.0%7,133.70 N/A YTD Total 802,018.69803,000.00 754,449.44 -5.9%(48,550.56)-6.0% February-2013 Intergovernmental 2013 vs. 20122013 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 over 85% of the revenue within this category. Development service fee collections this period reflect charges as a result of city utility extension projects as well as plan check fees related to the Auburn High School Modernization and Reconstruction project and the Lakeland Villas project. Culture and recreation revenues are improved over 2012 levels and are higher than budget, reflecting increased activity from city special events, class registrations and league enrollments. Year-to-date 2013 Public Safety charges for services reflect the elimination of revenue from Adult Probation and explain the variance to budget and historical actual. These revenues are now retained by King County under the City-King County District Court contract for municipal court services. The 2013 budget will be amended starting with the March financial report, consistent with the timing of Council approved BA#1. 201220132013 Revenue ActualBudgetActualAmountPercentageAmountPercentage General Government18,862.9314,400.0018,237.61(625.32)-3.32%3,837.6126.65% Public Safety 39,657.1240,300.008,302.38(31,354.74)-79.1%(31,997.62)-79.4% Development Services148,307.4499,400.00164,563.4616,256.0211.0%65,163.4665.6% Culture & Recreation114,099.68103,800.00118,030.183,930.503.4%14,230.1813.7% YTD Total320,927.17257,900.00309,133.63(11,793.54)-3.7%51,233.6319.9% February-2013 Charges for Services by Type 2013 vs. 20122013 vs. Budget 9 Monthly Financial Report February 2013 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 JanFebMarAprMayJunJulAugSepOctNovDec Th o u s a n d s Development Service Fees 2013 budget 2013 actual to date 2012 actual $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000 JanFebMarAprMayJunJulAugSepOctNovDec Th o u s a n d s Culture & Recreation 2013 budget 2013 actual to date 2012 actual 10 Monthly Financial Report February 2013 Fines & Penalties include traffic and parking infraction penalties, Redflex photo enforcement violations, criminal fines (including criminal traffic, criminal non traffic and criminal costs) as well as non court fines such as false alarm and shopping cart fines. Total revenue to date is $220,000 compared to budget of $282,000. 201220132013 Month ActualBudgetActualAmountPercentageAmountPercentage Civil Penalties 2,439.912,100.002,028.95(410.96)-16.8%(71.05)-3.4% Civil Infraction Penalties 117,577.14118,700.0069,647.22(47,929.92)-40.8%(49,052.78)-41.3% Red Light Photo Enforcement100,943.7993,600.0095,919.91(5,023.88)-5.0%2,319.912.5% Parking Infractions 18,496.7428,600.0021,428.882,932.1415.9%(7,171.12)-25.1% Criminal Traffic Misdemeanor19,046.5516,900.007,820.32(11,226.23)-58.9%(9,079.68)-53.7% Criminal Non-Traffic Fines14,343.4314,400.008,153.50(6,189.93)-43.2%(6,246.50)-43.4% Criminal Costs 2,824.122,500.002,392.45(431.67)-15.3%(107.55)-4.3% Non-Court Fines & Penalties2,111.925,300.0012,519.6510,407.73492.8%7,219.65136.2% YTD Total 277,783.60282,100.00219,910.88(57,872.72)-20.8%(62,189.12)-22.0% February-2013 Fines & Forfeits by Type 2013 vs. 20122013 vs. Budget $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 $1.4 $1.6 $1.8 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Fines & Penalties 2013 budget 2013 actual to date 2012 actual 11 Monthly Financial Report February 2013 $0 $100 $200 $300 $400 $500 $600 $700 JanFebMarAprMayJunJulAugSepOctNovDec Th o u s a n d s Photo Enforcement 2013 budget 2013 actual to date 2012 actual Miscellaneous revenues include interest and other investment earnings, rents, leases & concessions, contributions & donations and other miscellaneous income. Revenues in this category totaled $65,000 and were below budget by $19,000 primarily due to reduced facility rental revenues. 201220132013 Month ActualBudgetActualAmountPercentageAmountPercentage Interest & Investments 12,036.928,900.007,942.84(4,094.08)-34.0%(957.16)-10.8% Rents & Leases 43,994.3764,900.0043,410.05(584.32)-1.3%(21,489.95)-33.1% Contributions & Donations4,837.822,200.001,766.44(3,071.38)-63.5%(433.56)-19.7% Other Miscellaneous Revenue12,476.458,300.0012,060.86(415.59)-3.3%3,760.8645.3% YTD Total 73,345.5684,300.0065,180.19(8,165.37)-11.1%(19,119.81)-22.7% Miscellaneous Revenues by Type February-2013 2013 vs. 20122013 vs. Budget 12 Monthly Financial Report February 2013 Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects Fund and is used for governmental capital projects. Total revenue at the end of February was $221,000 and exceeds budget and prior year actuals by $65,000 and $4,000 respectively, reflecting local and regional improvement in real estate transactions. $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 $1.4 $1.6 $1.8 JanFebMarAprMayJunJulAugSepOctNovDec Mi l l i o n s Real Estate Excise Tax 2013 budget 2013 actual to date 2012 actual 13 Monthly Financial Report February 2013 Pet Licensing During the month of February, 361 pet licenses were sold resulting in $10,875 in revenue. Year- to-date, 631 licenses have been sold bringing in a total of $18,150. 0 100 200 300 400 500 600 700 800 900 1000 $0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 JanFebMarAprMayJunJulAugSepOctNovDec Pet Licensing Revenue & Sales By Month 2013 2013 License Revenue (L)2013 Licenses Sold (R) Enterprise Funds The detailed Working Capital and Fund Balance statements for Enterprise and Internal Service funds can be found in the Appendix at the end of this Report. The Water Utility ended February with $92,700 in net operating income and compares to $28,500 in net operating income for the same period in 2012. Water sales continue to improve over the previous year as planned while water usage is remaining relatively stable. 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 JanFebMarAprMayJunJulAugSepOctNovDec Water Revenues vs Water Sold 2013 vs 2012 2012 Water Sales ($) 2013 Water Sales ($) 2012 Water Sold (ccf) 2013 Water Sold (ccf) The Sewer Utility ended the period with a $250,700 net operating loss and compares to a $248,400 net loss for the same period in 2012. 14 Monthly Financial Report February 2013 The Stormwater Utility ended the period with $242,300 in net operating income which compares to $186,900 in net income for the same period last year. The number of rounds played at the Auburn Golf Course (AGC) in February totaled 1,764 which compares to 1,687 for the same period last year. Year-to-date rounds total 3,041 compared to 2,812 rounds in 2012. The AGC ended February with a net operating loss of $177,200 compared to a loss of $189,800 for the same period last year, reflecting seasonal revenue patterns as compared to relatively stable operating costs. 0 50,000 100,000 150,000 200,000 250,000 300,000 JanFebMarAprMayJunJulAugSepOctNovDec Golf Course Operating Revenues & Expenses By Month 2013 vs 2012 2013 Bud. Revenue 2013 Act. Revenue 2012 Act. Revenue 2013 Act. Expenses 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 JanFebMarAprMayJunJulAugSepOctNovDec Cumulative Golf Course Revenues & Expenses 2013 vs 2012 2013 Bud. Revenue 2013 Act. Revenue 2012 Act. Revenue 2013 Act. Expenses 15 Monthly Financial Report February 2013 The Cemetery Fund ended February with $14,200 in net operating income compared to a $20,400 net operating loss for the same period last year, reflecting a decrease in fund operating expenses. 0 20,000 40,000 60,000 80,000 100,000 120,000 JanFebMarAprMayJunJulAugSepOctNovDec Cemetery Operating Revenues & Expenses By Month 2013 vs 2012 2013 Bud. Revenue 2013 Act. Revenue 2012 Act. Revenue 2013 Act. Expenses 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 JanFebMarAprMayJunJulAugSepOctNovDec Cumulative Cemetery Revenues & Expenses 2013 vs 2012 2013 Bud. Revenue 2013 Act. Revenue 2012 Act. Revenue 2013 Act. Expenses 16 Monthly Financial Report February 2013 Internal Service Funds Operating expenses within the Insurance Fund represents the premium cost-pool that will be allocated monthly to other City funds over the course of 2013. As a result, this balance will gradually diminish each month throughout the year. The Innovation & Technology Fund ended with a net loss, reflecting the timing of expenses. No significant variances are reported in the Facilities Fund or Equipment Rental Fund. Both funds have had sufficient revenues to cover year- to-date expenses. Contact Information This report is prepared by the Finance Department. Additional financial information can also be viewed at our website: http://www.auburnwa.gov/. For any questions about the report please contact us at mchaw@auburnwa.gov or scoleman@auburnwa.gov. 17 Investment Purchase Purchase Maturity Yield to Type Date Price Date Maturity State Investment Pool Various 84,271,074$ Various 0.17% KeyBank Money Market Various 7,513,599 Various 0.15% US Treasury 05/04/1990 57,750 05/15/2016 5.72% Total Cash & Investments 91,842,423$ 0.167% Investment Mix % of Total State Investment Pool 91.8%Current 6-month treasury rate 0.12% KeyBank Money Market 8.2%Current State Pool rate 0.17% US Treasury 0.1%KeyBank Money Market 0.15% Blended Auburn rate 0.17% 100.0% City of Auburn Investment Portfolio Summary February 28, 2013 Summary 18 SALES TAX SUMMARY FEBRUARY 2013 SALES TAX DISTRIBUTIONS (FOR DECEMBER 2012 RETAIL ACTIVITY) 2012 Annual Total 2012 YTD 2013 YTD YTD 2012 Annual Total 2012 YTD 2013 YTD YTD NAICS CONSTRUCTION (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff NAICS AUTOMOTIVE (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 236 Construction of Buildings 483,409 81,952 127,934 56.1%441 Motor Vehicle and Parts Dealer 2,795,164 424,631 446,190 5.1% 237 Heavy and Civil Construction 114,823 26,097 15,630 -40.1%447 Gasoline Stations 223,463 37,362 42,235 13.0% 238 Specialty Trade Contractors 622,980 104,099 133,652 28.4%TOTAL AUTOMOTIVE 3,018,627$ 461,993$ 488,424$ 5.7% TOTAL CONSTRUCTION 1,221,212$ 212,148$ 277,216$ 30.7%Overall Change from Previous Year 26,432$ Overall Change from Previous Year 65,069$ 2012 Annual Total 2012 YTD 2013 YTD YTD 2012 Annual Total 2012 YTD 2013 YTD YTD NAICS RETAIL TRADE (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff NAICS MANUFACTURING (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 442 Furniture and Home Furnishings 226,309 45,362 43,600 -3.9% 311 Food Manufacturing 2,932 708 255 -64.0%443 Electronics and Appliances 145,391 32,694 37,854 15.8% 312 Beverage and Tobacco Products 5,855 772 1,499 94.2%444 Building Material and Garden 425,494 59,716 63,656 6.6% 313 Textile Mills 570 24 32 33.2%445 Food and Beverage Stores 341,379 57,374 53,425 -6.9% 314 Textile Product Mills 4,457 484 641 32.6%446 Health and Personal Care Store 148,812 31,881 30,341 -4.8% 315 Apparel Manufacturing 218 149 123 -17.3%448 Clothing and Accessories 772,153 168,950 189,628 12.2% 316 Leather and Allied Products 59 36 1 -97.4%451 Sporting Goods, Hobby, Books 120,507 29,870 29,147 -2.4% 321 Wood Product Manufacturing 31,417 3,223 15,999 396.3%452 General Merchandise Stores 967,039 223,261 214,610 -3.9% 322 Paper Manufacturing 3,944 606 664 9.5%453 Miscellaneous Store Retailers 508,326 83,878 95,304 13.6% 323 Printing and Related Support 28,275 6,162 3,817 -38.1%454 Nonstore Retailers 268,503 57,305 68,516 19.6% 324 Petroleum and Coal Products 10,532 1,413 1,647 16.5%TOTAL RETAIL TRADE 3,923,913$ 790,290$ 826,081$ 4.5% 325 Chemical Manufacturing 8,089 899 1,078 19.9%Overall Change from Previous Year 35,791$ 326 Plastics and Rubber Products 9,469 1,907 1,346 -29.4% 327 Nonmetallic Mineral Products 17,324 2,478 2,425 -2.1% 331 Primary Metal Manufacturing 1,766 435 12 -97.3%2012 Annual Total 2012 YTD 2013 YTD YTD 332 Fabricated Metal Product Manuf 24,965 2,003 15,837 690.7%NAICS SERVICES (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 333 Machinery Manufacturing 12,890 1,965 2,629 33.8%51*Information 396,353 65,882 72,949 10.7% 334 Computer and Electronic Produc 10,260 844 1,848 119.1%52*Finance and Insurance 53,291 (6,861) 18,512 -369.8% 335 Electric Equipment, Appliances 426 164 114 -30.6%53*Real Estate, Rental, Leasing 326,259 62,860 53,957 -14.2% 336 Transportation Equipment Man 187,175 (20,287) a 54,787 -370.1%541 Professional, Scientific, Tech 173,274 34,206 30,948 -9.5% 337 Furniture and Related Products 18,721 1,789 3,080 72.1%551 Company Management 16 4 1 -85.9% 339 Miscellaneous Manufacturing 25,368 4,122 4,559 10.6%56*Admin. Supp., Remed Svcs 334,354 42,152 55,131 30.8% TOTAL MANUFACTURING 404,712$ 9,897$ 112,394$ 1035.6%611 Educational Services 53,672 5,178 4,908 -5.2% Overall Change from Previous Year 102,497$ 62*Health Care Social Assistance 114,833 9,891 21,598 118.4% 71*Arts and Entertainment 153,417 65,193 64,473 -1.1% 72*Accomodation and Food Svcs 920,556 144,224 158,205 9.7% 2012 Annual Total 2012 YTD 2013 YTD YTD 81*Other Services 388,279 64,575 63,797 -1.2% NAICS TRANSPORTATION AND WAREHOUSING (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 92*Public Administration 142,188 12,731 13,176 3.5% 481 Air Transportation - - - N/A TOTAL SERVICES 3,056,492$ 500,034$ 557,657$ 11.5% 482 Rail Transportation 19,182 1,627 5,560 241.6%Overall Change from Previous Year 57,623$ 484 Truck Transportation 10,245 1,845 2,427 31.6% 485 Transit and Ground Passengers 268 212 12 -94.5% 488 Transportation Support 18,841 2,852 3,446 20.8%2012 Annual Total 2012 YTD 2013 YTD YTD 491 Postal Service 470 46 177 281.7%NAICS MISCELLANEOUS (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 492 Couriers and Messengers 568 108 239 122.5%000 Unknown 1 - - N/A 493 Warehousing and Storage 5,376 1,119 407 -63.7%111-115 Agriculture, Forestry, Fishing 2,868 264 1,171 344.1% TOTAL TRANSPORTATION 54,952$ 7,809$ 12,267$ 57.1%211-221 Mining & Utilities 30,229 3,596 2,186 -39.2% Overall Change from Previous Year 4,458$ 999 Unclassifiable Establishments 27,601 3,027 16,927 459.2% TOTAL SERVICES 60,699$ 6,887$ 20,284$ 194.5% Overall Change from Previous Year 13,397$ 2012 Annual Total 2012 YTD 2013 YTD YTD NAICS WHOLESALE TRADE (Nov '11-Oct '12)(Nov '11 - Dec '11)(Nov '12 - Dec '12))% Diff 423 Wholesale Trade, Durable Goods 1,137,932 192,995 165,180 -14.4%GRAND TOTAL 13,037,326$ 2,204,455$ 2,484,774$ 424 Wholesale Trade, Nondurable 153,721 21,544 24,543 13.9%Overall Change from Previous Year 280,319$ 12.7% 425 Wholesale Electronic Markets 5,065 859 728 -15.3% TOTAL WHOLESALE 1,296,718$ 215,398$ 190,451$ -11.6% Overall Change from Previous Year (24,947)$ a. Wa. State Dept of Revenue audit adjustment to sales tax returns for period Nov 2011 (adjustment: -$73,971). 02/26/13 file:Monthly Sales Tax Report.xls Prepared by Auburn Finance Department 19 INNOVATION EQUIPMENT & TECHNOLOGY RENTAL OPERATING REVENUES Charges For Service 1,593,943.89 1,061,601.19 - 1,324,950.96 2,114,344.83 2,495.00 147,278.30 48,866.86 - - - - Interfund Charges For Service - - - - - - - - - 581,632.00 796,280.00 488,060.91 Sewer Metro Service Revenue - - 2,258,182.53 - - - - - - - - - Rents, Leases, Concessions, & Other - - - - - 98,742.20 - 30,313.38 - 28,480.78 10,475.00 - TOTAL OPERATING REVENUES 1,593,943.89 1,061,601.19 2,258,182.53 1,324,950.96 2,114,344.83 101,237.20 147,278.30 79,180.24 - 610,112.78 806,755.00 488,060.91 OPERATING EXPENSES Salaries & Wages 374,150.40 246,398.22 - 314,082.38 63,335.38 3,250.83 64,556.31 90,676.66 - 106,049.79 226,182.65 75,444.50 Benefits 167,117.84 108,284.85 - 137,946.14 27,739.43 1,109.29 30,744.89 45,331.20 - 47,389.57 93,265.53 34,041.26 Supplies 20,005.49 3,612.94 - 5,173.29 2,496.68 - 11,995.34 26,626.65 - 16,489.94 60,213.34 115,803.21 Other Service Charges 372,528.04 477,800.67 - 147,470.20 153,772.33 108,245.78 6,838.42 14,988.03 845,802.87 146,608.96 422,928.17 51,730.70 Intergovernmental Services - 153.98 - 9,536.65 - - - - - - - - Waste Management Payments - - - - 859,218.83 - - - - - - - Sewer Metro Services - - 2,399,170.30 - - - - - - - - - Interfund Operating Rentals & Supplies 184,784.00 161,677.21 - 213,966.00 30,150.00 - 9,366.00 27,416.00 - 19,868.00 50,284.00 41,272.37 Other Expenses - - - - - - - - - - - - Depreciation & Amortization 382,678.76 314,342.29 - 254,489.76 3,136.55 67,293.04 9,613.91 51,360.23 - - 78,491.55 131,040.87 TOTAL OPERATING EXPENSES 1,501,264.53 1,312,270.16 2,399,170.30 1,082,664.42 1,139,849.20 179,898.94 133,114.87 256,398.77 845,802.87 336,406.26 931,365.24 449,332.91 OPERATING INCOME (LOSS)92,679.36 (250,668.97) (140,987.77) 242,286.54 974,495.63 (78,661.74) 14,163.43 (177,218.53) (845,802.87) 273,706.52 (124,610.24) 38,728.00 NON-OPERATING REVENUES & EXPENSES Interest Revenue 3,038.39 3,501.62 1.86 2,658.28 185.62 266.72 57.89 103.34 315.72 470.98 791.61 1,499.49 Contributions - - - - 54,267.75 - - - - - - - Other Non-Operating Revenue 278.36 109,978.35 - 668.35 - (16,042.40) - - - - - 6,505.41 Gain (Loss) On Sale Of Fixed Assets - - - - - - - - - - - - Debt Service Interest - - - - - - - - - - - - Other Non-Operating Expense - - - - - - - - - - - - TOTAL NON-OPERATING REVENUES & EXPENSES 3,316.75 113,479.97 1.86 3,326.63 54,453.37 (15,775.68) 57.89 103.34 315.72 470.98 791.61 8,004.90 PLUS ITEMS NOT EFFECTING WORKING CAPITAL Depreciation 382,678.76 314,342.29 - 254,489.76 3,136.55 67,293.04 9,613.91 51,360.23 - - 78,491.55 131,040.87 NET WORKING CAPITAL FROM OPERATIONS 478,674.87 177,153.29 (140,985.91) 500,102.93 1,032,085.55 (27,144.38) 23,835.23 (125,754.96) (845,487.15) 274,177.50 (45,327.08) 177,773.77 Increase In Contributions - System Development 1 71,920.00 2,110,875.50 - 81,851.28 - - - - - - - - Increase In Contributions - Area Assessments - 2,253.61 - - - - - - - - - - Increase In Contributions - Other Governments - - - 705,853.09 - - - - - - - - Increase In Contributions - Other Funds - - - - - - - - - - - - Increase In Contributions - FAA - - - - - - - - - - - - Proceeds of Debt Activity - - - - - - - - - - - - Operating Transfers In - - - - - - - 2,443.34 - - - - Increase In Restricted Net Assets (104.22) 10,825.12 - - - 2,098.30 - - - - - - Decrease In Long-Term Receivables - - - - - - - - - - - - Increase In Deferred Credits - - - - - 16,175.78 - - - - - - TOTAL RESOURCES OTHER THAN OPERATIONS 71,815.78 2,123,954.23 - 787,704.37 - 18,274.08 - 2,443.34 - - - - Net Change In Restricted Net Assets (385.22) 113.24 - (2,090.09) - 2,098.30 - 3,550.41 - - - - Increase In Fixed Assets - Salaries 47,377.08 7,859.36 - 23,472.17 - - - - - - - - Increase In Fixed Assets - Benefits 19,746.57 3,374.67 - 9,887.38 - - - - - - - - Increase In Fixed Assets - Site Improvements 4,248.52 - - - - - - - - - - - Increase In Fixed Assets - Equipment - - - - - - - - - - 12,884.50 13,115.91 Increase In Fixed Assets - Construction 394,875.63 29,308.84 - 211,643.54 - - - - - - - - Operating Transfers Out 50,000.00 50,000.00 - 50,000.00 - - - - - - - 7,000.00 Debt Service Principal - - - - - - - - - - - - TOTAL USES OTHER THAN OPERATIONS 515,862.58 90,656.11 - 292,913.00 - 2,098.30 - 3,550.41 - - 12,884.50 20,115.91 NET CHANGE IN WORKING CAPITAL 34,628.07 2,210,451.41 (140,985.91) 994,894.30 1,032,085.55 (10,968.60) 23,835.23 (126,862.03) (845,487.15) 274,177.50 (58,211.58) 157,657.86 BEGINNING WORKING CAPITAL - January 1, 2013 10,196,281.10 12,072,579.09 - 10,218,848.21 1,018,487.34 818,912.00 182,098.05 90,691.62 2,028,681.08 1,473,040.96 2,885,527.19 5,559,564.94 ENDING WORKING CAPITAL - February 28, 2013 10,230,909.17 14,283,030.50 (140,985.91) 11,213,742.51 2,050,572.89 807,943.40 205,933.28 (36,170.41) 1,183,193.93 1,747,218.46 2,827,315.61 5,717,222.80 NET CHANGE IN WORKING CAPITAL 34,628.07 2,210,451.41 (140,985.91) 994,894.30 1,032,085.55 (10,968.60) 23,835.23 (126,862.03) (845,487.15) 274,177.50 (58,211.58) 157,657.86 ENTERPRISE FUNDS INTERNAL SERVICE FUNDSWORKING CAPITAL The following table presents the Working Capital Statement for each of the City's Enterprise and Internal Service funds. Working Capital is generally defined as the difference between current assets and current liabilities. CEMETERY GOLF INSURANCE FACILITIESWATERSEWERSEWER METRO STORM SOLID WASTE AIRPORT 20 INNOVATION EQUIPMENT & TECHNOLOGY RENTAL OPERATING REVENUES Charges For Service 1,593,943.89 1,061,601.19 - 1,324,950.96 2,114,344.83 2,495.00 147,278.30 48,866.86 - - - - Interfund Charges For Service - - - - - - - - - 581,632.00 796,280.00 488,060.91 Sewer Metro Service Revenue - - 2,258,182.53 - - - - - - - - - Rents, Leases, Concessions, & Other - - - - - 98,742.20 - 30,313.38 - 28,480.78 10,475.00 - TOTAL OPERATING REVENUES 1,593,943.89 1,061,601.19 2,258,182.53 1,324,950.96 2,114,344.83 101,237.20 147,278.30 79,180.24 - 610,112.78 806,755.00 488,060.91 OPERATING EXPENSES Administration 433,099.92 334,864.16 - 415,072.89 111,955.73 112,590.33 44,165.17 38,275.76 845,802.87 - - 128,456.14 Operations & Maintenance 685,485.85 663,063.71 - 413,101.77 165,538.09 15.57 79,335.79 166,762.78 - 336,406.26 852,873.69 189,835.90 Waste Management Payments - - - - 859,218.83 - - - - - - - Sewer Metro Services - - 2,399,170.30 - - - - - - - - - Depreciation & Amortization 382,678.76 314,342.29 - 254,489.76 3,136.55 67,293.04 9,613.91 51,360.23 - - 78,491.55 131,040.87 TOTAL OPERATING EXPENSES 1,501,264.53 1,312,270.16 2,399,170.30 1,082,664.42 1,139,849.20 179,898.94 133,114.87 256,398.77 845,802.87 336,406.26 931,365.24 449,332.91 OPERATING INCOME (LOSS)92,679.36 (250,668.97) (140,987.77) 242,286.54 974,495.63 (78,661.74) 14,163.43 (177,218.53) (845,802.87) 273,706.52 (124,610.24) 38,728.00 NON-OPERATING REVENUES & EXPENSES Interest Revenue 3,038.39 3,501.62 1.86 2,658.28 185.62 266.72 57.89 103.34 315.72 470.98 791.61 1,499.49 Other Non-Operating Revenue 278.36 109,978.35 - 668.35 54,267.75 (16,042.40) - - - - - 6,505.41 Gain (Loss) On Sale Of Fixed Assets - - - - - - - - - - - - Other Non-Operating Expense - - - - - - - - - - - - TOTAL NON-OPERATING REVENUES & EXPENSES 3,316.75 113,479.97 1.86 3,326.63 54,453.37 (15,775.68) 57.89 103.34 315.72 470.98 791.61 8,004.90 95,996.11 (137,189.00) (140,985.91) 245,613.17 1,028,949.00 (94,437.42) 14,221.32 (177,115.19) (845,487.15) 274,177.50 (123,818.63) 46,732.90 Contributions 1 71,920.00 2,113,129.11 - 787,704.37 - - - - - - - - Transfers In - - - - - - - 2,443.34 - - - - Transfers Out (50,000.00) (50,000.00) - (50,000.00) - - - - - - - (7,000.00) TOTAL CONTRIBUTIONS & TRANSFERS 21,920.00 2,063,129.11 - 737,704.37 - - - 2,443.34 - - - (7,000.00) CHANGE IN FUND BALANCE 117,916.11 1,925,940.11 (140,985.91) 983,317.54 1,028,949.00 (94,437.42) 14,221.32 (174,671.85) (845,487.15) 274,177.50 (123,818.63) 39,732.90 BEGINNING FUND BALANCE - January 1, 2013 67,719,034.00 74,779,493.00 - 49,964,488.00 1,128,442.00 9,439,263.00 872,103.00 8,578,904.00 2,028,681.00 1,415,971.00 4,069,294.00 10,502,921.00 ENDING FUND BALANCE - February 28, 2013 67,836,950.11 76,705,433.11 (140,985.91) 50,947,805.54 2,157,391.00 9,344,825.58 886,324.32 8,404,232.15 1,183,193.85 1,690,148.50 3,945,475.37 10,542,653.90 1 Sewer contributions reflect System Development Charges resulting from the Goedecke land swap agreement with the WA Department of Transportation. FUND BALANCE ENTERPRISE FUNDS INTERNAL SERVICE FUNDS The following table provides an analysis of each of the City's Enterprise and Internal Service funds - showing 2013 revenues and expenditures by fund. INCOME (LOSS) BEFORE CONTRIBUTIONS & TRANSFERS CEMETERY GOLF INSURANCE FACILITIESWATERSEWERSEWER METRO STORM SOLID WASTE AIRPORT 21