HomeMy WebLinkAboutQ3 2018 Financial Report
AGENDA BILL APPROVAL FORM
Agenda Subject: 3rd Quarter 2018 Financial Report Date: December 5, 2018
Department: Finance
Attachments: Quarterly Financial
Report
Budget Impact: $0
Administrative Recommendation: For discussion only.
Background Summary:
The quarterly financial report summarizes the general state of Citywide financial affairs and highlights
significant items or trends that the City Council should be aware of. The attachment provides the year to
date through September 2018 status report based on financial data available as of October 24, 2018 for
the period ending September 30, 2018 and sales tax information representing business activity that
occurred through July 2018.
Staff: Coleman
Meeting Date: December 10, 2018 Item Number:
Quarterly Financial Report Through Q3-2018
General Fund Summary
$11.7
$13.9
$10.0
$4.4
$0.8
$2.1 $3.1
$1.0
$31.0
$10.6
$6.6 $7.3
$14.6
$10.2
$4.7
$2.2 $1.6
$29.7
$9.4
$5.2 $6.7
$11.6
$0.6
$3.0
Property TaxesSales TaxesOther TaxesIntergovernmental(Grants, etc.)DevelopmentService FeesCulture &RecreationOther Fees& ChargesOtherRevenuesPersonnelSupplies& ServicesIntergovernmentalOther ExpendituresRevenues Expenditures
$0
$5
$10
$15
$20
$25
$30
$35
$40
MillionsYTD
Budget
YTD
Actuals
(Favorable)
YTD
Actuals
(Unfavorable)
General Fund Revenues and Expenditures
(Through Q3-2018) $47.0
$55.5$48.5 $50.9
Total
Revenues
Total
Expenditures
$0
$10
$20
$30
$40
$50
$60
Millions$1.0 $1.5
$0.9 $0.7 $1.0 $1.2 $1.8
$3.5 $3.1
$20.8
$2.9
$9.7
$2.8
$4.7
$0.9 $1.2 $0.7 $0.6 $0.9 $1.1 $1.5
$3.0 $3.0
$19.8
$2.6
$9.6
$2.6 $3.3
Council& MayorAdministrativeServicesCommunity &Human ServicesMunicipal Court& ProbationHumanResourcesFinanceCity AttorneyCommunityDevelopmentJail - SCOREPolicePublic WorksParks, Arts& RecreationStreetsNon-Departmental$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20
$22
$24
MillionsYTD
Budget
YTD
Actuals
(Favorable)
YTD
Actuals
(Unfavorable)
General Fund Expenditures by Department
(Through Q3-2018)
1
Quarterly Financial Report Through Q3-2018 2
General Fund 2017
Summary of Sources and Uses Annual YTD YTD YTD
Budget Budget Actual Actual Amount
Operating Revenues
Property Tax 7 21,281,000$ 11,744,800$ 11,633,676$ 11,476,537$ (111,124)$ (0.9)%
Sales Tax 8-9 14,893,500 11,169,900 11,825,112 11,054,167 655,212 5.9 %
Sales Tax - Pierce County Parks 77,250 57,200 76,824 70,929 19,624 34.3 %
Sales Tax - Annexation Credit 1,250,000 1,250,000 1,056,364 1,530,028 (193,636)(15.5)%
Criminal Justice Sales Tax 1,908,300 1,406,600 1,664,826 1,499,435 258,226 18.4 %
Brokered Natural Gas Tax 353,600 275,100 126,785 134,037 (148,315)(53.9)%
City Utilities Tax 10-11 3,991,000 2,942,000 2,851,226 2,884,928 (90,774)(3.1)%
Admissions Tax 317,000 232,900 353,497 319,643 120,597 51.8 %
Electric Tax 10-11 3,577,800 2,767,100 2,890,368 2,850,764 123,268 4.5 %
Natural Gas Tax 10-11 1,006,200 894,000 912,333 960,214 18,333 2.1 %
Cable Franchise Fee 12 986,100 734,200 717,171 751,424 (17,029)(2.3)%
Cable Utility Tax - New in 2017 13 1,000,000 750,000 763,586 527,616 13,586 1.8 %
Cable Franchise Fee - Capital 67,200 50,400 46,766 50,038 (3,634)(7.2)%
Telephone Tax 10-11 1,408,200 1,078,100 966,456 1,055,709 (111,644)(10.4)%
Garbage Tax (external)10-11 - - 102,313 96,104 102,313 N/A %
Leasehold Excise Tax 40,000 36,000 189,560 187,275 153,560 426.6 %
Gambling Excise Tax 303,180 227,700 313,817 251,094 86,117 37.8 %
Taxes sub-total 52,460,330$ 35,616,000$ 36,490,680$ 35,699,942$ 874,680$ 2.5 %
Business License Fees 14 223,200$ 133,100$ 209,934$ 125,142$ 76,834$ 57.7 %
Building Permits 15 1,653,750 1,289,000 738,697 1,063,045 (550,303)(42.7)%
Other Licenses & Permits 543,000 425,400 452,625 437,296 27,225 6.4 %
Intergovernmental (Grants, etc.)16 6,134,150 4,401,844 4,678,784 4,571,803 276,940 6.3 %
Charges for Services:17-19
General Government Services 17 61,300 49,600 59,408 58,880 9,808 19.8 %
Public Safety 17 756,000 533,875 775,086 719,522 241,211 45.2 %
Development Services Fees 18 1,019,100 782,300 613,617 705,323 (168,683)(21.6)%
Culture and Recreation 19 2,366,680 2,075,700 2,155,549 2,039,089 79,849 3.8 %
Fines and Penalties 20-21 885,300 679,100 734,490 670,078 55,390 8.2 %
Fees/Charges/Fines sub-total 13,642,480$ 10,369,919$ 10,418,190$ 10,390,180$ 48,271$ 0.5 %
Interest and Investment Earnings 21 68,000$ 47,500$ 295,262$ 161,285$ 247,762$ 521.6 %
Rents and Leases 21 816,100 670,400 829,454 720,531 159,054 23.7 %
Contributions and Donations 21 35,000 28,400 46,595 38,345 18,195 64.1 %
Other Miscellaneous 21-22 236,800 193,300 250,421 257,127 57,121 29.6 %
Transfers In 144,300 77,500 77,500 76,500 0 0.0 %
Insurance Recoveries - Capital & Operating 105,000 18,750 84,434 106,886 65,684 350.3 %
Other Revenues sub-total 1,405,200$ 1,035,850$ 1,583,666$ 1,360,674$ 547,816$ 52.9 %
Total Operating Revenues 67,508,010$ 47,021,769$ 48,492,536$ 47,450,796$ 1,470,768$ 3.1 %
Operating Expenditures
Council & Mayor 1,332,443$ 1,013,400$ 859,322$ 850,556$ 154,078$ 15.2 %
Administration 1,963,814 1,473,300 1,227,242 997,121 246,058 16.7 %
Community & Human Services 1,488,828 907,200 714,451 609,707 192,749 21.2 %
Municipal Court & Probation 2,644,145 692,741 578,985 537,946 113,756 16.4 %
Human Resources 1,315,663 977,600 895,187 973,575 82,413 8.4 %
Finance 1,565,731 1,204,400 1,118,092 1,103,843 86,308 7.2 %
City Attorney 2,398,550 1,766,400 1,531,784 1,478,386 234,616 13.3 %
Community Development 4,801,325 3,546,300 3,016,097 3,141,340 530,203 15.0 %
Jail - SCORE 4,099,465 3,074,599 2,998,253 2,846,154 76,346 2.5 %
Police 27,855,395 20,807,000 19,816,945 18,646,001 990,055 4.8 %
Public Works 3,864,132 2,878,700 2,569,827 2,135,901 308,873 10.7 %
Parks, Arts & Recreation 12,799,606 9,671,400 9,598,326 9,017,914 73,074 0.8 %
Streets 4,039,204 2,816,900 2,633,146 2,546,081 183,754 6.5 %
Non-Departmental 7,346,343 4,690,951 3,339,930 3,062,055 1,351,021 28.8 %
Total Operating Expenditures 77,514,644$ 55,520,891$ 50,897,589$ 47,946,581$ 4,623,302$ 8.3 %
Page
Ref
2018 2018 YTD Budget vs. Actual
Favorable (Unfavorable)
Percentage
2
Quarterly Financial Report Through Q3-2018 3
Executive Summary
This Executive Summary provides an overview of the City’s overall financial position for the
fiscal period ending September 30, 2018, reflecting financial data available as of October 24,
2018.
General Fund:
Through September 2018, General Fund revenues totaled $48.5 million compared to a budget
of $47.0 million, and were $1.5 million (3.1%) higher than budget expectations. Some notable
variances to budget year-to-date include:
• Property tax collections through Q3-2018 totaled $11.6 million, which was $111,000
below budget expectations but $157,000 more than was collected through Q3-2017.
[page 7]
• General Fund retail sales tax revenues totaled $11.8 million, exceeding budget by
5.9% or $655,000 and exceeding Q3-2017 collections by $771,000. Due to the
Marketplace Fairness Act (MFA) which became effective on January 1, 2018, retail
sales taxes collected year-to-date includes $142,000 from retail sales taxes collected
on internet sales. (Note: This is collected as retail sales tax revenue and is deducted
from the amount the City receives for streamlined sales tax revenue.) Overall, the
primary areas of significant increase in retail sales activity compared to collections
through Q3-2017 were in the services and automotive categories. [pages 8-9]
• June 2018 was the last month in which the City received the sales tax annexation
credit. The sales tax annexation credit is a way for cities to offset the municipal service
costs to newly annexed areas if the cost to provide municipal services to the
annexation area exceeds the projected general revenue that the city would otherwise
receive from the annexation area. The City of Auburn received this sales tax credit
monthly for 10 years as a way to offset the municipal service costs of annexing Lea
Hill and West Hill in 2008. This revenue source was approximately $2.0 million per
year.
• The other taxes category performed favorably to budget through Q3-2018. Actual
revenues collected through Q3-2018 were $10.2 million, which was $246,000, or 2.5%
favorable to budget. Leasehold excise tax revenues collected through Q3-2018
exceeded budget by $154,000 due to a one-time tax receipt for the Emerald Downs
property. Electric tax revenues collected during the same period exceeded budget by
$123,000. Admission taxes exceeded budget by $121,000 and gambling excise taxes
exceeded budget by $86,000 due to new revenues generated from amusement games
at Dave and Busters. These revenues were somewhat offset by unfavorable variances
in brokered natural gas tax revenues and telephone tax revenues in the amount of
$148,000 and $112,000, respectively. [pages 10-13]
• Building permit revenue collected through Q3-2018 totaled $739,000, compared to a
budget of $1.3 million, representing $550,000 below budget expectations. The
number of building permits issued through Q3-2018 was 403, which represents a 29%
decline from the number of permits issued through Q3-2017. [page 15]
3
Quarterly Financial Report Through Q3-2018 4
• Intergovernmental revenues through Q3-2018 totaled $4.7 million compared to a
budget of $4.4 million. The bulk of this favorable variance was seen in the
reimbursement for services provided to Muckleshoot, which exceeded budget
expectations by $257,000, and marijuana revenues, which exceeded budget
expectations by $143,000. These favorable variances to budget were somewhat
offset by lower than budgeted collections from streamlined sales tax revenues, as this
revenue was reduced by Marketplace Fairness Act (see explanation on the previous
page). [page 16]
• Public safety revenues collected through Q3-2018 totaled $775,000 compared to a
budget of $534,000. Revenues collected through the third quarter of 2018 were
$56,000 higher than what was collected through the third quarter of 2017. This
increased revenue was due to additional contracted Police Officer extra duty security
services (which are reimbursed by the hiring contractor) compared to the same period
last year. [page 17]
• Development services revenues collected through Q3-2018 were $169,000, or 22%,
unfavorable to budget. This variance was predominately due to plan check revenues
not meeting budget expectations. [page 18]
General Fund expenditures through the third quarter of 2018 totaled $50.9 million compared to
a budget of $55.5 million, representing an 8.3% favorable variance to budget. All departments
operated within their budget through Q3-2018. Due to the timing of the bimonthly payment to
Valley Communications for 911 services, the year-to-date actuals for the Police Department
does not yet include the $535,000 payment for these services. While the expenditures in the
Police Department are running favorable to budget, when factoring in this payment, the
department ended the period $455,000 (2.2%) favorable to budget.
Year-to-date General Fund expenditures ended the period $3.0 million, or 6.2% higher than
expenditures through Q3-2017. Salary and benefit costs increased by $2.3 million, or 8.6%,
compared to salary and benefit expenditures through Q3-2017. This year-over-year increase
was due primarily to an increase in Council-approved FTEs (Full Time Equivalents), cost of
living adjustments (COLAs), and increased costs associated with healthcare benefits. In
addition, payments made to SCORE (South Correctional Entity) for correctional services
increased by $152,000 through Q3-2018 compared to the same period last year.
4
Quarterly Financial Report Through Q3-2018 5
Street Funds:
The City’s three street funds are special revenue funds wherein the revenue sources and
expenditures are legally restricted. These funds are used for street capital construction
projects, local street repair, and arterial street repair and preservation projects. Through the first
three quarters of 2018, Arterial Street Fund revenues totaled $2.7 million as compared to
collections of $5.4 million through Q3-2017, while expenditures totaled $3.4 million as compared
to expenditures of $5.9 million spent during the same period last year. The Operator’s Union
strike began in August and lasted several weeks, delaying the schedule of many of the City’s
projects. This was especially impactful to street projects—many of the anticipated expenditures
will move into Q4-2018, and some will move into the spring of 2019. [pages 25–26]
Local Street Fund revenues of $2.0 million exceeded year-to-date budget expectations by
$562,000, or 40.2%, due to higher than anticipated sales tax revenues from local construction
projects. Last year’s collections through the third quarter also totaled $2.0 million. 2018
expenditures through Q3 were $1.2 million as compared with $538,000 in Q3-2017. [pages
27–28]
Lastly, Arterial Street Preservation Fund revenues totaled $2.3 million through Q3-2018,
which was approximately $31,000 higher than revenues through Q3-2017. Expenditures totaled
$2.3 million versus $2.9 million through Q3-2017. Historically, the majority of expenditures in all
three street funds occur during the second half of the year when weather conditions are optimal
for pavement construction. [pages 29–30]
$ 47.0M
$ 55.5M
$ 48.5M
$ 50.9M
$0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0
Revenues
Expenditures
$ Millions
General Fund
Revenues vs. Expenditures Through Q3-2018 2018 YTD Actual
2018 YTD Budget
5
Quarterly Financial Report Through Q3-2018 6
Enterprise Funds:
The City’s enterprise funds account for operations with revenues primarily provided from user
fees, charges or contracts for services.
Through September 30, 2018 the Water Fund experienced operating income before
depreciation of $4.4 million compared to $4.1 million during the same period last year. The
Sewer Fund ended the third quarter of 2018 with operating income before depreciation of $1.6
million versus $1.7 million through Q3-2017. The Stormwater Fund ended the third quarter with
operating income before depreciation of $2.0 million compared to $2.1 million in Q3-2017. The
Solid Waste Fund ended the quarter with operating income of $485,000 compared to $564,000
for the same period in 2017. [pages 32–35]
Internal Service Funds:
Internal service funds provide services to other City departments and include functions such as
Insurance, Worker’s Compensation, Facilities, Innovation and Technology, and Equipment
Rental. All funds had sufficient revenues to cover year-end expenditures. [page 35]
Investment Portfolio:
The City’s total cash and investments at the end of the Q3-2018 totaled $138.3 million, and
compares to $141.2 million at the end of Q2-2018. [attachment]
6
Quarterly Financial Report Through Q3-2018 7
General Fund
Revenues
The combined total of property, sales/use, utility, gambling, and admissions taxes provides
approximately 80% of all resources supporting general governmental activities. The following
section provides additional information on these sources.
Property Tax collections through Q3-2018 totaled $11.6 million and were $111,000, or 0.9%
below budget expectations. While year-to-date revenues fell slightly short of budget
expectations in 2018, they were $157,000, or 1.4% higher than revenues collected through Q3-
2017. The majority of property taxes are collected during the months of April and October,
coinciding with the due dates for the County property tax billings. Therefore, 2018 property tax
receipts are on track to be close to the annual budget of $21.3 million by year end.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
$22.0
$24.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsProperty Taxes
2018 Budget
2018 YTD Actual
2017 Actual
$12.6 $12.9
$14.4 $15.8
$17.2 $17.9
$20.8
$11.6
$0.0
$5.0
$10.0
$15.0
$20.0
$25.0
2011 2012 2013 2014 2015 2016 2017 2018
YTDMillionsProperty Tax Revenue
Actuals
7
Quarterly Financial Report Through Q3-2018 8
Sales tax collections through Q3-2018 totaled $13.6 million, of which $11.8 million was
distributed to the General Fund and $1.8 million was distributed to the Local Street Fund (SOS)
program as per current financial practice. Total sales tax revenue distributions to the General
Fund through Q3-2018 exceeded budget expectations by $655,000, or 5.9%, and were
$771,000 higher than what was collected through Q3-2017. Of the retail sales taxes collected
year-to-date, $142,000 represents new revenues collected on internet sales due to Marketplace
Fairness Act legislation, which was effective January 1, 2018.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsSales & Use Tax
(Net of Revenue from Construction)
2018 Budget
2018 YTD Actual
2017 Actual
$12.4
$13.8 $14.5 $14.6 $14.9
$11.8
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
2013 2014 2015 2016 2017 2018 YTDMillionsSales and Use Tax
General Fund Only
Actuals
8
Quarterly Financial Report Through Q3-2018 9
The following table breaks out the City’s base sales taxes, excluding Pierce County Parks sales
tax, Criminal Justice sales tax, and Annexation Credit sales tax, by major business sector.
Total sales tax revenue collected through Q3-2018 exceeded prior year collections by $690,000,
or 5.3%. The business sectors showing the largest dollar increase in revenues compared to last
year were the services and automotive industries.
Sales tax revenue on construction is transferred to the Local Street Fund (Fund 103) for local
street repair and maintenance. Through the third quarter of 2018, this totaled $1.8 million,
which was $521,000 higher than budget but $81,000 less than collections through Q3-2017.
2017 2018
Component Group Actual Actual Amount
Construction 1,844,760$ 1,763,440$ (81,320)$ (4.4)%
Manufacturing 523,810 556,018 32,208 6.1 %
Transportation & Warehousing 69,050 92,685 23,636 34.2 %
Wholesale Trade 985,731 1,100,407 114,676 11.6 %
Automotive 2,881,236 3,092,212 210,976 7.3 %
Retail Trade 3,651,905 3,756,570 104,665 2.9 %
Services 2,889,056 3,131,431 242,374 8.4 %
Miscellaneous 53,381 95,789 42,409 79.4 %
YTD Total 12,898,928$ 13,588,552$ 689,624$ 5.3 %
Comparison of Sales Tax Collections by Group
Through September
Change from 2017
Percentage
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsSales Tax on Construction Transfer
2018 Budget
2018 YTD Actual
2017 Actual
9
Quarterly Financial Report Through Q3-2018 10
Utility Taxes consist of interfund taxes on City utilities (Water, Sewer, Storm and Solid Waste)
and taxes on external utilities (Electric, Natural Gas, Telephone and Solid Waste). Utility taxes
collected through Q3-2018 totaled $7.7 million and exceeded year-to-date budget by $41,000,
or 0.5%.
$1.9 $1.8
$2.3 $2.3
$2.6
$1.8
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
2013 2014 2015 2016 2017 2018 YTDMillionsSales Tax On Construction Revenue
Actuals
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsUtility Tax
2018 Budget
2018 YTD Actual
2017 Actual
10
Quarterly Financial Report Through Q3-2018 11
Favorable variances in electric and solid waste revenues offset lower collections in telephone
and City utility taxes.
2017 2018 2018
Utility Tax Type YTD Actual YTD Budget YTD Actual Amount Amount
City Interfund Utility Taxes 2,884,928$ 2,942,000$ 2,851,226$ $ (33,702)(1.2)% $ (90,774)(3.1)%
Electric 2,850,764 2,767,100 2,890,368 39,604 1.4 %123,268 4.5 %
Natural Gas 960,214 894,000 912,333 (47,881) (5.0)%18,333 2.1 %
Telephone 1,055,709 1,078,100 966,456 (89,254) (8.5)%(111,644) (10.4)%
Solid Waste (external)96,104 0 102,313 6,209 6.5 %102,313 N/A %
YTD Total 7,847,719$ 7,681,200$ 7,722,696$ $ (125,023)(1.6)% $ 41,496 0.5 %
Through September 2018
Utility Tax by Type
2018 vs. 2017 Actual 2018 vs. Budget
Percentage Percentage
$9.5 $10.0 $9.7 $10.0 $10.2
$7.7
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2013 2014 2015 2016 2017 2018 YTDMillionsUtility Tax Revenues
Actuals
11
Quarterly Financial Report Through Q3-2018 12
Cable Franchise Fees, which are collected quarterly, totaled $717,000 and were $17,000, or
2.3%, under budget through Q3-2018.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
$1,100
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Franchise Fee
2018 Budget
2018 YTD Actual
2017 Actual
$0.9 $0.9 $0.9 $1.0 $1.0
$0.7
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
2013 2014 2015 2016 2017 2018 YTDMillionsCable Franchise Fee
Actuals
12
Quarterly Financial Report Through Q3-2018 13
Cable Utility Tax. In September 2016, City Council increased the Cable Utility Tax from 1.0%
to 6.0%, with the entirety of the new tax amount benefitting the General Fund. This tax became
effective on January 1, 2017 and is collected quarterly. Total cable utility tax collections through
Q3-2018 were $764,000 and were favorable to budget by $14,000, or 1.8%.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Utility Tax
(New in 2017)
2018 Budget
2018 YTD Actual
2017 Actual
13
Quarterly Financial Report Through Q3-2018 14
Licenses and Permits include business licenses, building permits, plumbing, electric and other
licenses and permit fees. Building permit fees and business licenses make up about 70% of the
annual budgeted revenue in this category.
Business license revenues collected through September 2018 totaled $210,000 due to a large
percentage of business owners having paid their 2018 annual business license fees early in the
year.
$0
$20
$40
$60
$80
$100
$120
$140
$160
$180
$200
$220
$240
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecThousandsBusiness Licenses
2018 Budget
2018 YTD Actual
2017 Actual
$236
$171
$282
$225
$163
$210
$0
$50
$100
$150
$200
$250
$300
$350
2013 2014 2015 2016 2017 2018 YTDThousandsBusiness License Revenues
Actuals
14
Quarterly Financial Report Through Q3-2018 15
Building permit revenues collected through September 2018 totaled $739,000, as compared to
a year-to-date budget of $1.3 million. A total of 403 building permits were issued through Q3-
2018 compared to 565 building permits issued through Q3-2017, representing a 28.7%
reduction year-over-year.
Major projects contributing to building permit revenues in Q3-2018 include projects at Boeing
and the Outlet Collection – Seattle. These revenues also include revenues from over 25
building permits issued for single family houses in the Wyncrest II development, as well as
permits in the Forest Glenn at Lakeland development. Of the building permit revenues collected
this quarter, 20% was attributable to commercial projects and the remaining 80% was
predominately single family housing permits.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsBuilding Permits
2018 Budget
2018 YTD Actual
2017 Actual
$2.1
$1.5
$1.2
$2.0
$1.2
$0.7
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
2013 2014 2015 2016 2017 2018 YTDMillionsBuilding Permits
Actuals
15
Quarterly Financial Report Through Q3-2018 16
Intergovernmental revenues include grants (direct and indirect federal, state and local),
compact revenue from the Muckleshoot Indian Tribe (MIT), intergovernmental service revenues,
and state shared revenues. Collections through Q3-2018 totaled $4.7 million and were
$277,000, or 6.3%, favorable to budget. The favorability to budget was mainly seen in revenues
collected from Muckleshoot for reimbursement of services provided to the casino, as well as
increases in marijuana excise tax revenues received from the state. These favorable variances
to budget were somewhat offset by lower than budgeted collections from streamlined sales tax
revenues, as this revenue was reduced by $142,000 year-to-date due to the Marketplace
Fairness Act. The Marketplace Fairness Act (MFA) was effective January 1, 2018, and is
intended to capture the retail sales tax lost on internet sales. MFA revenues are collected as
retail sales tax revenues and reduce the amount the City receives in streamlined sales tax
revenues.
2017 2018 2018
Revenue YTD Actual YTD Budget YTD Actual Amount Amount
Federal Grants 152,712$ 215,000$ 229,475$ $ 76,764 50.3 % $ 14,475 6.7 %
State Grants 143,220 164,400 137,359 (5,861) (4.1)%(27,041) (16.4)%
Interlocal Grants 74,136 40,000 47,255 (26,882) 0.0 %7,255 18.1 %
Muckleshoot Casino Services 627,570 509,244 766,217 138,647 22.1 %256,973 50.5 %
State Shared Revenues:
Streamlined Sales Tax 1,432,078 1,416,450 1,304,831 (127,247) (8.9)%(111,619) (7.9)%
Motor Vehicle Fuel Tax 844,363 943,900 891,422 47,059 5.6 %(52,478) (5.6)%
Criminal Justice - High Crime 338,764 144,000 161,902 (176,862) (52.2)%17,902 12.4 %
Criminal Justice - Population 16,226 18,600 17,043 817 5.0 %(1,557) (8.4)%
Criminal Justice - Special Prog.58,940 61,500 61,647 2,707 4.6 %147 0.2 %
Marijuana Revenues 37,871 48,750 191,463 153,591 405.6 %142,713 292.7 %
State DUI 8,779 9,000 8,755 (24) (0.3)%(245) (2.7)%
Fire Insurance Tax 78,078 75,000 79,798 1,720 2.2 %4,798 6.4 %
Liquor Excise 270,965 270,000 290,903 19,938 7.4 %20,903 7.7 %
Liquor Profit 488,101 486,000 490,715 2,615 0.5 %4,715 1.0 %
Total State Shared:3,574,166 3,473,200 3,498,479 (75,687)(2.1)%25,279 0.7 %
YTD Total 4,571,803$ 4,401,844$ 4,678,784$ 106,980$ 2.3 %276,940$ 6.3 %
Through September 2018
Intergovernmental Revenues (Grants, Entitlements & Services)
2018 vs. 2017 Actual 2018 vs. Budget
% Change % Change
$4.8 $5.1 $5.3 $5.7 $6.1
$4.7
$0
$1
$2
$3
$4
$5
$6
$7
$8
2013 2014 2015 2016 2017 2018 YTDMillionsIntergovernmental Revenues
(Grants, Entitlements & Services)
Actuals
16
Quarterly Financial Report Through Q3-2018 17
Charges for Services consist of general governmental service charges, public safety charges,
development service fees, and cultural & recreation fees. Total charges for services collected
through September 2018 totaled $3.6 million, which was $162,000 favorable to budget. While
development services revenues year-to-date were 21.6% unfavorable to budget due to plan
check revenues having declined year-over-year, this was more than offset by increased
revenues in public safety and culture and recreation revenues as explained below.
General governmental charges for service collected through Q3-2018 totaled $59,000 and were
$10,000 above the YTD budget.
Public safety revenues consist of revenues received for police officer extra duty security
services – whereby officers are contracted for and reimbursement is made by the hiring agency.
This also includes reimbursements from the Muckleshoot Indian Tribe (MIT) for a full-time
dedicated police officer and associated expenditures as well as monies collected from the
Auburn School District and the Criminal Justice Training Commission (CJTC) for services
rendered. Public safety revenues collected through Q3-2018 totaled $775,000 and compare to
a budget of $534,000. The majority of the favorability seen in this revenue source is due to
2017 2018 2018
Revenue YTD Actual YTD Budget YTD Actual Amount Amount
General Government 58,880$ 49,600$ 59,408$ $ 529 0.9 % $ 9,808 19.8 %
Public Safety 719,522 533,875 775,086 55,563 7.7 %241,211 45.2 %
Development Services 705,323 782,300 613,617 (91,706) (13.0)%(168,683) (21.6)%
Culture & Recreation 2,039,089 2,075,700 2,155,549 116,460 5.7 %79,849 3.8 %
YTD Total 3,522,815$ 3,441,475$ 3,603,661$ 80,846$ 2.3 % $ 162,186 4.7 %
Through September 2018
Charges for Services by Type
2018 vs. 2016 Actual 2018 vs. Budget
Percentage Percentage
$3.3
$3.9 $4.3 $4.1 $4.2
$3.6
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
2013 2014 2015 2016 2017 2018
YTDMillionsCharges for Services
Actuals
17
Quarterly Financial Report Through Q3-2018 18
extra duty overtime reimbursements exceeding budget expectations as a result of increased
requests for police officer security services.
Development services fee collections, which primarily consist of plan check fees, totaled
$614,000 and ended the quarter $169,000, or 21.6%, under budget expectations. Total plan
check revenues collected through Q3-2018 totaled $326,000 as compared to $492,000
collected through Q3-2017. Plan check revenues collected in the third quarter of 2018 include
both commercial and residential projects, including projects at Boeing and single family housing
developments including Hastings, Wyncrest II, and Forest Glen at Lakeland.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsDevelopment Service Fees
2018 Budget
2018 YTD Actual
2017 Actual
$1.1 $1.1
$1.4
$1.0
$0.9
$0.6
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2013 2014 2015 2016 2017 2018 YTDMillionsDevelopment Service Fees
Actuals
18
Quarterly Financial Report Through Q3-2018 19
Culture and recreation revenues collected through Q3-2018 totaled $2.2 million, exceeding
collections in the same period last year by $116,000 and exceeding Q3-2018 budget
expectations by $80,000. The majority of the year-over-year increase in revenues was seen in
recreation class revenues and greens fee revenues at the Auburn Golf Course. The majority of
culture and recreation revenues are derived from greens fees and pro shop sales at the Auburn
Golf Course, recreational classes, athletic league fees, and special events.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
$2.2
$2.4
$2.6
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsCulture & Recreation
2018 Budget
2018 YTD Actual
2017 Actual
$2.1 $2.2 $2.3 $2.3 $2.4
$2.2
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2013 2014 2015 2016 2017 2018
YTDMillionsCulture & Recreation Revenues
Actuals
19
Quarterly Financial Report Through Q3-2018 20
Fines & Penalties include traffic and parking infraction penalties, criminal fines (including
criminal traffic, criminal non-traffic and other criminal offenses) as well as non-court fines such
as false alarm fines. Total revenues collected through Q3-2018 totaled $734,000 and ended the
quarter $55,000, or 8.2%, favorable to budget. As seen in the table below, civil penalty
revenues collected through Q3-2018 exceed budget by $88,000. This is due to revenues
collected through September in the amount of $88,000 for code compliance penalties, which are
unbudgeted. These code compliance penalties are revenues collected from banks on vacant
bank-owned properties that are neglected and in non-compliance with City code.
2017 2018 2018
Month YTD Actual YTD Budget YTD Actual Amount Amount
Civil Penalties 6,306$ 6,300$ 94,411$ $ 88,105 1,397.1 % $ 88,111 1,398.6 %
Civil Infraction Penalties 359,912 365,600 372,626 12,715 3.5 %7,026 1.9 %
Redflex Photo Enforcement 7,793 0 6,613 (1,180) (15.1)%6,613 N/A %
Parking Infractions 112,412 112,300 99,176 (13,236) (11.8)%(13,124) (11.7)%
Criminal Traffic Misdemeanor 60,707 38,500 38,525 (22,182) (36.5)%25 0.1 %
Criminal Non-Traffic Fines 23,131 32,400 37,362 14,231 61.5 %4,962 15.3 %
Criminal Costs 37,501 33,500 31,969 (5,532) (14.8)%(1,531) (4.6)%
Non-Court Fines & Penalties 62,317 90,500 53,807 (8,511) (13.7)%(36,693) (40.5)%
YTD Total 670,078$ 679,100$ 734,490$ $ 64,411 9.6 % $ 55,390 8.2 %
Through September 2018
Fines & Penalties by Type
2018 vs. 2017 Actual 2018 vs. Budget
Percentage Percentage
$0.0
$0.1
$0.2
$0.3
$0.4
$0.5
$0.6
$0.7
$0.8
$0.9
$1.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFines & Penalties
2018 Budget
2018 YTD Actual
2017 Actual
20
Quarterly Financial Report Through Q3-2018 21
Miscellaneous revenues consist of investment earnings, income from facility rentals,
contributions & donations, and other income including the quarterly purchasing card (P-card)
rebate monies. Revenues collected in this category through Q3-2018 totaled $1.4 million and
exceeded budget expectations by $482,000. The majority of the increase in revenues was seen
in interest and investments as well as the rents and leases category.
Interest and investments revenues collected through Q3-2018 exceeded budget expectations by
$248,000. This year-over-year increase in investment revenue is primarily due to the increase
in the State Investment Pool interest rate.
Rents and lease revenue collected through Q3-2018 totaled $829,000 and was $109,000 higher
than what was collected through Q3-2017. The year-over-year increase in rents and leases
was primarily seen in the facility rental revenues, miscellaneous parks unearned revenue
(deposits), and golf cart rental revenues. Through the third quarter of 2018, facility rental
revenues increased $23,000 compared to revenues collected through Q3-2017. Golf cart
revenues and miscellaneous parks unearned revenue (facility deposits) increased $27,000 and
$45,000 respectively, over revenues collected through Q3-2017.
$1.4
$1.2
$0.9 $0.9 $0.9
$0.7
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
2013 2014 2015 2016 2017 2018 YTDMillionsFines & Penalties
Actuals
2017 2018 2018
Month YTD Actual YTD Budget YTD Actual Amount Amount
Interest & Investments 161,285$ 47,500$ 295,262$ 133,977$ 83.1 %247,762$ 521.6 %
Rents & Leases 720,531 670,400 829,454 108,923 15.1 %159,054 23.7 %
Contributions & Donations 38,345 28,400 46,595 8,250 21.5 %18,195 64.1 %
Other Miscellaneous Revenue 257,127 193,300 250,421 (6,706)(2.6)%57,121 29.6 %
YTD Total 1,177,288$ 939,600$ 1,421,732$ 244,444$ 20.8 %482,132$ 51.3 %
Miscellaneous Revenues by Type
Through September 2018
2018 vs. 2017 2018 vs. Budget
Percentage Percentage
21
Quarterly Financial Report Through Q3-2018 22
Lastly, other miscellaneous revenues exceeded budget expectations by $57,000 mainly due to
assessments for code compliance property abatements and sales of unclaimed property.
Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects
Fund and is used for governmental capital projects. REET revenues collected through Q3-2018
totaled $3.0 million, exceeding budget expectations by $1.2 million and exceeding prior year
collections through Q3-2017 by $308,000. Real estate sales in Q3-2018 represent the sale of
both commercial properties and single family residences. Commercial sales in Q3-2018
included the sale of multi-family properties, vacant land, warehouse space and offices.
$0.7
$1.0 $1.0
$1.2
$1.5 $1.4
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2013 2014 2015 2016 2017 2018 YTDMillionsMiscellaneous Revenues
Actuals
2017 2018 2018
Month Actual Budget Actual Amount Amount
Jan 224,044$ 200,800$ 240,414$ 16,371$ 7.3 %39,614$ 19.7 %
Feb 249,683 200,800 200,783 (48,899) (19.6)%(17) (0.0)%
Mar 326,044 200,800 255,218 (70,826) (21.7)%54,418 27.1 %
Apr 234,480 200,800 362,999 128,519 54.8 %162,199 80.8 %
May 299,251 200,800 427,054 127,803 42.7 %226,254 112.7 %
Jun 353,807 200,800 371,816 18,009 5.1 %171,016 85.2 %
Jul 330,707 200,800 342,006 11,299 3.4 %141,206 70.3 %
Aug 325,936 200,800 373,889 47,954 14.7 %173,089 86.2 %
Sep 309,422 200,800 387,673 78,251 25.3 %186,873 93.1 %
YTD Total 2,653,374$ 1,807,200$ 2,961,854$ 308,480$ 11.6 %1,154,654$ 63.9 %
Real Estate Excise Tax Revenues
September 2018
Percentage
2018 vs. 2017 2018 vs. Budget
Percentage
22
Quarterly Financial Report Through Q3-2018 23
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsReal Estate Excise Tax
2018 Budget
2018 YTD Actual
2017 Actual
$2.2 $2.5
$4.6
$4.3
$3.6
$3.0
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0
2013 2014 2015 2016 2017 2018
YTDMillionsReal Estate Excise Tax Revenues
Actuals
23
Quarterly Financial Report Through Q3-2018 24
Pet Licensing
Through the third quarter of 2018, 3,413 pet licenses were sold, resulting in $90,165 in revenue.
Through the third quarter of 2017, 3,271 licenses were sold, resulting in $84,925 in revenue. As
of March 2018, pet licensing services are provided by the Auburn Valley Humane Society.
Previously, these services were provided by PetData.
0
500
1,000
1,500
2,000
2,500
$0
$5
$10
$15
$20
$25
JanFebMarAprMayJunJulAugSepOctNovDecNumber of Licenses IssuedLicense Revenue( thousands )Pet Licensing Revenues vs Licenses Sold
2018 vs 2017
2017 License Revenue
2018 License Revenue
2017 Licenses Issued
2018 Licenses Issued
0
1,000
2,000
3,000
4,000
5,000
6,000
$0
$20
$40
$60
$80
$100
$120
$140
JanFebMarAprMayJunJulAugSepOctNovDecNumber of Licenses IssuedLicense Revenue( thousands )Cumulative Pet Licensing Revenue & Licenses Issued
2018 vs 2017
2018 License Revenue
2018 Licenses Issued
2017 Licenses Issued
24
Quarterly Financial Report Through Q3-2018 25
Street Funds
This section provides a financial overview of the City’s three street funds for the quarter ending
September 30, 2018. The City’s three street funds include the Arterial Street Fund (Fund 102),
the Local Street Fund (Fund 103), and the Arterial Street Preservation Fund (Fund 105).
Fund 102 – Arterial Street Fund
The Arterial Street Fund is a special revenue fund that is funded by transportation grants, traffic
impact fees, a portion of the City’s gas tax receipts, Public Works Trust Fund loans, developer
contributions, and other sources. As of September 30, 2018 there were 26 separate street
projects budgeted in this fund.
Through September, revenues collected totaled $2.7 million as compared with collections of
$5.4 million through Q3-2017. Total expenditures through Q3-2018 were $3.4 million as
compared to $5.9 million expended through Q3-2017. Variances in revenues and expenditures
are largely due to the timing of capital expenditures and any subsequent reimbursement via
federal grants. Expenditure timing is generally determined by the current phase of each
individual capital project, and tends to increase as projects move from design phase into
construction. Additionally, the Operator’s Union strike impacted several projects and has
delayed their anticipated expenditures during this quarter.
Fund 102 - Arterial Street 2017
Summary of Sources and Uses Annual YTD YTD YTD
Report Period: September 2018 Budget Budget Actual Actual Amount
Revenues
Federal Grants 2,247,600$ 1,506,945$ 711,936$ 2,893,962$ (795,009)$ (52.8)%
State Grants 176,500 114,771 31,585 906,031 (83,187) (72.5)%
Motor Vehicle Fuel and Multimodal Taxes 585,000 430,446 467,618 428,672 37,172 8.6 %
Developer Contributions - - (0) 222,575 (0)
Miscellaneous Revenue 466,200 310,800 498,885 - 188,085 60.5 %
Other Governmental Agencies - - - - -
Public Works Trust Fund Loans - - - - -
Operating Transfer In 1,833,417 1,238,930 933,729 977,326 (305,200) (24.6)%
Investment Income 2,600 1,962 22,567 7,419 20,606 1050.5 %
Total Revenues 5,311,317$ 3,603,854$ 2,666,321$ 5,435,984$ (937,533)$ (26.0)
Expenditures
Salary and Benefits $551,000 414,901$ 307,635$ 485,008$ 107,267$ 25.9 %
Capital Outlay 5,418,300 3,440,607 2,566,494 4,999,122 874,113 25.4 %
Subtotal - Capital Project Expenditures 5,969,300 3,855,508 2,874,128 5,484,129 981,380 25.5 %
Services and Charges 405,200 261,123 215,782 149,753 45,341 17.4 %
Interfund Payments for Services 78,859 59,144 59,148 57,510 (4) (0.0)%
Debt Service Principal and Interest 208,818 208,818 208,817 209,511 1 0.0 %
Operating Transfer Out 55,615 41,711 23,151 6,605 18,561 44.5 %
Total Expenditures 6,717,792$ 4,426,305$ 3,381,025$ 5,907,508$ 1,045,279$ 23.6 %
Net Change in Fund Balance (1,406,475)$ (822,451)$ (714,705)$ (471,523)$ 107,746$ (13.1)%
Beg. Fund Balance, January 2018 2,584,136$
Net Change in Fund Balance, September 2018 (714,705)
Ending Fund Balance, September 2018 1,869,431$
2018 Budgeted Ending Fund Balance 1,177,661$
2018 2018 YTD Budget vs. Actual
Favorable (Unfavorable)
Percentage
25
Quarterly Financial Report Through Q3-2018 26
This table presents the status of the projects with the most significant budget impact on the
fund:
Notes:
•Construction awards for several projects occurred in Q3-2018, with work completed for the City by the
Auburn School District and by WSDOT during that quarter. It is anticipated that these expenditures will be
reflected in Q4-2018.
$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 DecMillionsFund 102 -Capital Project Expenditures
2018 Budget
2018 YTD Actual
2017 Actual
2018 YTD Actual:
$2.9M
2018 Annual Budget:
$6.0M
2017 YTD Actual:
$5.5M
Name Annual Budget YTD Actual Remaining
22nd St NE & I St NE Intersection $1.1M $1.0M $0.1M
AWS Corridor Safety Improvements $0.8M $0.6M $0.2M
A St SE & 37th St SE $0.8M $0.2M $0.5M
All Other Projects (23 Others Budgeted)$3.2M $1.0M $2.2M
Total $6.0M $2.9M $3.1M
*Components may not sum to total due to rounding.
Fund 102 - Arterial Street
Capital Projects Status *
26
Quarterly Financial Report Through Q3-2018 27
Fund 103 – Local Street Fund
The Local Street Fund is a special revenue fund where the revenues from sales taxes on
construction are used for local street repair. Through September 30, 2018 revenues in this fund
totaled $2.0 million, exceeding year-to-date budget expectations by $562,000 due to higher than
anticipated sales tax revenues from local construction projects. This is consistent with
collections of $2.0 million through Q3-2017. Total expenditures through Q3-2018 were $1.2
million and compare to expenditures of $538,000 through Q3-2017. Historically, well over half of
this fund’s annual expenditures occur in the final four months of each year due to the weather
sensitivity of pavement construction (this work needs to be done primarily in the summer and
early fall). Highlighted in the table below and shown in the following graph are the fund’s total
expenditures related to capital projects.
Fund 103 - Local Street Fund 2017
Summary of Sources and Uses Annual YTD YTD YTD
Report Period: September 2018 Budget Budget Actual Actual Amount
Revenues
Sales Tax on Construction 1,750,000$ 1,242,400$ 1,763,440$ 1,844,760$ 521,040$ 41.9 %
Operating Transfer In 150,000 150,000 150,000$ 150,000 - 0.0 %
Interest Earnings 9,100 6,455 47,781$ 22,129 41,326 640.2 %
Total Revenues 1,909,100$ 1,398,855$ 1,961,221$ 2,016,889$ 562,366$ 40.2 %
Expenditures
Salary and Benefits 148,817$ 110,245$ 101,947$ 92,810$ 8,298$ 7.5 %
Capital Project Expenditures 3,429,298 1,544,832 1,047,594 410,911 497,238 32.2 %
Services and Charges 700 555 2,414 19,791 (1,858) (334.8)%
Interfund Payments for Services 12,239 9,179 9,180 8,937 (1) (0.0)%
Operating Transfer Out 516 511 229 5,766 282 55.1
Total Expenditures 3,591,570$ 1,665,323$ 1,161,364$ 538,216$ 503,958$ 30.3 %
Net Change in Fund Balance (1,682,470)$ (266,468)$ 799,856$ 1,478,674$ 1,066,324$ (400.2)%
Beg. Fund Balance, January 2018 2,943,350$
Net Change in Fund Balance, September 2018 799,856
Ending Fund Balance, September 2018 3,743,206$
2018 Budgeted Ending Fund Balance 1,260,880$
2018 2018 YTD Budget vs. Actual
Favorable (Unfavorable)
Percentage
27
Quarterly Financial Report Through Q3-2018 28
This table presents the status of the projects with the most significant budget impact on the
fund:
Notes:
• 2018 Local Street Pavement Reconstruction was awarded by Council on 6/18/2018. Work on this project
was impacted by the Operators Union strike in the 3rd quarter.
• 2018 Citywide Pavement Patching and Overlay was awarded by Council on 6/25/2018. Work on this project
was impacted by the Operators Union strike in the 3rd quarter.
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 103 -Capital Project Expenditures
2018 Budget
2018 YTD Actual
2017 Actual
2018 Annual
Budget :
$3.4M
2017 YTD Actual:
$0.4M
2018 YTD Actual:
$1.0M
Name Annual Budget YTD Actual Remaining
2018 Local Street Pavement Reconstruction $1.8M $0.4M $1.4M
2018 Citywide Pavement Patching & Overlay $0.9M $0.3M $0.6M
2017 Local Street Reconstruction & Preservation $0.7M $0.4M $0.3M
All Other Projects (1 Other Budgeted)$0.1M $0.0M $0.1M
Total $3.4M $1.0M $2.4M
*Components may not sum to total due to rounding.
Fund 103 - Local Street
Capital Projects Status*
28
Quarterly Financial Report Through Q3-2018 29
Fund 105 – Arterial Street Preservation Fund
The Arterial Street Preservation Fund is a special revenue fund that is primarily funded by a
1.0% utility tax that was adopted by Council in 2008; these utility tax revenues are restricted for
arterial street repair and preservation projects. Major projects budgeted within the Arterial Street
Preservation Fund in 2018 include 15th Street NE/NW Preservation, South 277th Street
Preservation, and Citywide Pavement Patching and Overlay. Through Q3-2018, revenues
totaled $2.3 million, approximately $31,000 higher than the same period last year.
Total expenditures through Q3-2018 were $2.3 million, as compared to expenditures of $2.9
million through Q3-2017. Historically, the majority of this fund’s expenditures occur in the
second half of each year due to the weather sensitivity of pavement construction (this work
needs to be done primarily in the summer and early fall). Highlighted in the table below and
shown in the following graph are the fund’s total expenditures related to capital projects.
Fund 105 - Arterial Street Preservation 2017
Summary of Sources and Uses Annual YTD YTD YTD
Report Period: September 2018 Budget Budget Actual Actual Amount
Revenues
City Utility Tax 700,000$ 541,598$ 475,204$ 480,821$ (66,394)$ (12.3)%
Electric Utility Tax 715,600 549,573 578,074 570,153 28,500 5.2 %
Natural Gas Utility Tax 201,200 178,583 182,467 192,043 3,883 2.2 %
Cable TV Tax 197,200 146,501 152,717 156,731 6,217 4.2 %
Telephone Utility Tax 281,600 215,584 181,330 211,142 (34,254) (15.9)%
Garbage Utility Tax (External Haulers)- - 16,681 16,017 16,681
Grants 1,511,840 612,710 106,627 508,325 (506,083) (82.6)%
Developer Mitigation Fees - - - - -
Operating Transfer In 2,212,400 3,318,600 594,560 131,750 (2,724,040) (82.1)%
Interest Earnings 4,900 3,675 30,658 20,536 26,983 734.2 %
Total Revenues 5,824,740$ 5,566,824$ 2,318,317$ 2,287,518$ (3,248,507)$ (58.4)%
Expenditures
Salary and Benefits 225,000$ 161,192$ 287,288$ 301,737$ (126,096)$ (78.2)%
Capital Outlay 5,895,840 5,325,315 2,033,538 2,626,020 3,291,777 61.8 %
Subtotal - Capital Project Expenditures 6,120,840 5,486,507 2,320,826 2,927,757 3,165,681 57.7 %
Supplies - - - - -
Services and Charges 150,000 90,060 - - 90,060 100.0 %
Operating Transfer Out 46,100 69,150 - 14,141 69,150 100.0 %
Total Expenditures 6,316,940$ 5,645,717$ 2,320,826$ 2,941,899$ 3,324,891$ 58.9 %
Net Change in Fund Balance (492,200)$ (78,893)$ (2,509)$ (654,380)$ 76,384$ (96.8)%
Beg. Fund Balance, January 2018 2,039,837$
Net Change in Fund Balance, September 2018 (2,509)
Ending Fund Balance, September 2018 2,037,328$
2018 Budgeted Ending Fund Balance 1,547,637$
2018 2018 YTD Budget vs. Actual
Favorable (Unfavorable)
Percentage
29
Quarterly Financial Report Through Q3-2018 30
This table presents the status of the projects with the most significant impacts on the fund:
Notes:
• Construction on the 15th Street NE/NW Preservation project was underway in the 3rd quarter but was
significantly impacted by the Operators Union strike.
• South 277th Street Preservation was awarded by Council on 7/16/2018; work on this project was impacted
by the Operators Union strike.
• 2018 Citywide Pavement Patching and Overlay was awarded by Council on 6/25/2018; work on this project
was impacted by the Operators Union strke.
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 105 -Capital Project Expenditures
2018 Budget
2018 YTD Actual
2017 Actual
2018 Annual
Budget:
$6.1M
2017 YTD Actual:
$2.9M
2018 YTD Actual:
$2.3M
Name Annual Budget YTD Actual Remaining
15th St NE/NW Preservation $2.2M $1.5M $.6M
S 277th Street Preservation $1.3M $0.1M $1.2M
2018 Citywide Pavement and Patching Overlay $1.7M $0.6M $1.1M
All Other Projects (6 Others Budgeted)$1.0M $.2M $0.8M
Total $6.1M $2.3M $3.8M
*Components may not sum to total due to rounding.
Capital Projects Status*
Fund 105 - Arterial Street Preservation
30
Quarterly Financial Report Through Q3-2018 31
Fund 124 – Mitigation Fees
The Mitigation Fees Fund is a special revenue fund funded from revenues from fees for new
development that are assessed at the time applications are received for development activity.
These funds are used to address costs associated with City growth.
The fund houses two types of revenues: mitigation fees and impact fees. Mitigation fees are
variable charges collected as a result of State Environmental Policy Act (SEPA) reviews and the
City’s determination that a project must pay additional fees to compensate for a unique effect
that it has on the community. Impact fees are set charges collected automatically for a variety of
projects. These fees are adopted annually by the City Council based on projects anticipated in
the Capital Facilities plan over the next six years.
Through Q3-2018, revenues were below budget expectations, at 41.9% of the annual budgeted
amount. This variance is largely due to a decrease in single-family housing development, which
is the source of parks impact fees and a significant source of transportation impact fees.
Additionally, there is a budgeted transfer-in of $400,000 from the Capital Improvement Projects
fund that has not occurred; this is anticipated either in Q4-2018 or early 2019. This transfer is to
pay for traffic impact fees associated with two multifamily development proposals: Auburn
Apartments and Auburn Senior Living. Expenditures were also below budget due to the timing
of capital projects funded by these revenues.
Fund 124 - Mitigation Fees
Summary of Sources and Uses
Report Period Through:Ending Ending
September 2018 Fund Balance Fund Balance
Transportation Impact Fees 800,000$ 1,498,517$ 4,517,955$ 382,817$ 816,029$ 4,783,257$
Transportation Migitation Fees - 188,800 45,505 - 117,700 116,605
Fire Impact Fees 100,000 50,000 136,373 119,483 - 205,856
Fire Mitigation Fees - - 81 - - 81
Parks Impact Fees 600,000 967,000 4,963,136 154,000 201,985 5,282,152
Parks Mitigation Fees - - 335,302 - - 335,302
School Impact Admin Fees 12,000 - 68,115 2,454 - 58,569
Wetland Mitigation Fees - 31,600 38,061 - - 69,661
Interest and Investment Income 8,200 - 8,200 145,448 - 145,448
Fees in Lieu of Improvements - - 123,313 - - 123,313
Operating Transfers 400,000 100,000 300,000 - - -
Total 1,920,200$ 2,835,917$ 10,536,041$ 804,202$ 1,135,714$ 11,120,244$
Beginning Fund Balance, January 2018 11,451,755$
Net Change in Fund Balance, September 2018 (331,511)
Ending Fund Balance, September 2018 11,120,244$
2018 Budgeted Ending Fund Balance 10,536,041$
YTD ACTUALSBUDGET
Revenues ExpendituresRevenuesExpenditures
31
Quarterly Financial Report Through Q3-2018 32
Enterprise Funds
Detailed income and expense statements for Enterprise and Internal Service funds can be
found in an attachment at the end of this report. The attachment provides operating and, as
applicable, capital fund reports for these funds showing budget, actuals, and variances.
Operating funds house all the operating costs along with debt service and financing obligations.
Capital funds show costs associated with capital acquisition and construction. Both the
operating and capital funds have a working capital balance. This approach isolates those funds
available for capital and cash flow needs for daily operations, and project managers will know
exactly how much working capital is available for current and planned projects.
Through September 30, 2018 the Water Utility had operating income before depreciation of
$4.4 million as compared with $4.1 million during the same period last year. Revenues are
slightly below budget expectations, mainly due to a budgeted $1.1 million Drinking Water State
Revolving Fund (DWSRF) Loan which has not yet been fully drawn down.
Water sales by volume through Q3-2018 totaled 2.33 million hundred cubic feet (ccf), which is
nearly identical to the volume sold through Q3-2017. For many years, the Water utility has seen
a general trend of decreased year-over-year consumption per account due largely to
conservation efforts and appliance efficiency improvements. Additionally, the City has not
provided water to Water District #111 since its take-or-pay agreement expired and the Interlocal
Agreement was amended at the end of 2016. However, the overall volume of water
consumption has increased due to City growth, offsetting lower per-account consumption.
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec CCFThousandsWater Revenues vs Water Sold
2018 vs 2017
2017 Water Sales ($)
2018 Water Sales ($)
2017 Water Sold (ccf)
2018 Water Sold (ccf)
32
Quarterly Financial Report Through Q3-2018 33
The Sewer Utility finished Q3-2018 with operating income before depreciation of $1.6 million as
compared to operating income of $1.7 million through Q3-2017. This decrease is due primarily
to lower revenue from charges for service and slightly increased expenditures.
The Stormwater Utility ended Q3-2018 with operating income before depreciation of $2.0
million compared with $2.1 million through Q3-2017. This decrease is due primarily to increases
in operating expenditures.
Through Q3-2018, the Solid Waste Utility Fund had $11.7 million in operating revenues,
compared to $11.2 million in operating expenditures, resulting in an increase in Working Capital
of $485,000.
The City of Auburn’s Solid Waste services are outsourced to Waste Management and to
Republic Services, who manages the contract for the annexed areas. As of September 2018,
Waste Management serviced 15,494 customers (79% of customers) and Republic Services
serviced 4,060 customers (21% of customers).
The current mix of customer account types is:
• 90% Residential
• 8% Commercial
• 2% Multifamily
The “diversion rate” is a measure of how much generated waste is not sent to the landfill; i.e.,
waste that is either recycled or collected yard waste. Through Q3-2018, the total diversion rate
was 28%, which represents a total of 14,200 tons of waste that was diverted from landfills.
Q3-2018 Tons Collected and Diversion Rates:
Garbage -
8,300 tons
(50.9%)
Yard Waste -
4,800 tons
(29.8%)
Recycling -
3,100 tons
(19.3%)
Q3-2018 Residential Waste Stream
Garbage
Yard Waste
Recycling
Garbage -
5,300 tons
(77.3%)
Yard Waste -
400 tons
(5.7%)
Recycling -
1,200 tons
(17.0%)
Q3-2018 Multifamily Waste Stream
Garbage
Yard Waste
Recycling
Total: 6,900 tons collected
Diversion Rate: 23%
Total: 16,200 tons collected
Diversion Rate: 49%
33
Quarterly Financial Report Through Q3-2018 34
Of the total tonnage collected through Q3-2018, 32% was collected from residential customers,
14% from multifamily customers, and 54% from commercial customers, as shown in the
following graph.
Garbage -22,600
tons (82.8%)
Yard Waste
-100 tons
(0.5%)
Recycling -
4,600 tons
(16.7%)
Q3-2018 Commercial Waste Stream
Garbage
Yard Waste
Recycling
Total: 27,300 tons collected
Diversion Rate: 17%
Garbage -
36,200 tons
(71.7%)
Yard Waste -
5,300 tons
(10.7%)
Recycling -
8,900 tons
(17.6%)
Q3-2018 Total Waste Stream
Garbage
Yard Waste
Recycling
Total: 50,400 tons collected
Diversion Rate: 28%
5,808
4,715
5,541
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18Tonnage2018 YTD Solid Waste Tonnage by Customer Type
Residential Multifamily Commercial
5,850 5,966 5,974 5,764 5,965
5,395
34
Quarterly Financial Report Through Q3-2018 35
Through Q3-2018 the Cemetery Fund experienced operating income of $174,000, as
compared with an operating income of $120,000 through Q3-2017. This variance is mainly due
to increased revenue from lot sales.
Internal Service Funds
Operating expenditures within the Insurance Fund represent the premium cost pool that will be
allocated monthly to other City funds over the course of 2018. As a result, the expenditure
balance will gradually diminish each month throughout the year.
No significant variances are reported in the Workers’ Compensation, Facilities, Innovation &
Technology, or Equipment Rental Funds.
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecThousandsCEMETERY
2018 Budgeted
Revenue
2018 YTD Actual
Revenue
2017 Actual Revenue
2018 YTD Actual
Expenses
Cumulative Revenues & Expenditures
2018 Budget vs. Actual
35
Quarterly Financial Report Through Q3-2018 36
P-Card Statistics
The City has been actively promoting the use of P-Cards in lieu of purchase orders to minimize
effort and maximize incentive payments from the vendor and the State. In Q3-2018, 4,128
P-Card transactions were processed as compared with 1,064 purchase order transactions. A
comparison of year-to-date transactions continues to show increasing use of P-Cards relative to
purchase orders.
Total incentive payments received from US Bank in Q3-2018 totaled $24,413. These are
estimated payments since the quarterly rebate checks are not actually received until the next
quarter. Additionally, there is an annual incentive payment from the State that is received in Q2
of each year. The annual State incentive payment for 2017 was $24,693 and was received in
April of 2018.
Contact Information
This report is prepared by the Finance Department. Additional financial information can also be
viewed at our website: http://www.auburnwa.gov/. For any questions about this report please
contact Shelley Coleman at scoleman@auburnwa.gov.
1,001
3,722
1,064
4,128
-
1,000 2,000 3,000 4,000 5,000
Purchase
Order
Transactions
PCard
Transactions
PCard
Incentives
Received
(see text)
Purchase Order and PCard Transactions
Q3 2017 and Q3 2018 $23,792 $24,413
3,290
11,660
$95,117
3,103
12,318
$94,191
-
5,000
10,000
15,000
20,000
25,000
Purchase
Order
Transactions
PCard
Transactions
PCard
Incentives
Received
(see text)
YTD Q3 2017 and YTD Q3 2018
2017 2018
36
Investment Purchase Purchase Maturity Yield to
Type Date Price Date Maturity
State Investment Pool Various 109,698,071$ Various 2.06%
KeyBank Money Market Various 5,629,710 Various 0.02%
OpusBank Public Interest Acct Various 10,156,777 Various 2.11%
FNMA 3/11/2016 998,844 2/22/2019 1.20%
FHLB 2/28/2018 2,000,000 2/28/2023 2.65%
FFCB 5/21/2018 2,000,000 10/21/2019 2.48%
FAMCA 6/27/2018 2,000,000 7/16/2020 2.50%
FFCB 7/16/2018 2,000,000 7/16/2020 2.60%
TX ST-BABs-A 8/8/2018 1,769,425 4/1/2020 2.68%
FFCB 8/27/2018 1,999,360 2/23/2021 2.70%
Total Cash & Investments 138,252,187$ 2.022%
Investment Mix % of Total
State Investment Pool 79.3%Current 6-month treasury rate 2.34%
KeyBank Money Market 4.1%Current State Pool rate 2.06%
OpusBank Public Interest Acct 7.3%KeyBank Money Market 0.02%
FNMA 0.7%OpusBank Public Interest Acct 2.11%
FHLB 1.4%Blended Auburn rate 2.02%
FFCB 4.3%
FAMCA 1.4%
TX ST-BABs-A 1.3%
100.0%
City of Auburn
Investment Portfolio Summary
September 30, 2018
Summary
37
SALES TAX SUMMARY
SEPTEMBER 2018 SALES TAX DISTRIBUTIONS (FOR JULY 2018 RETAIL ACTIVITY)
2017 Annual Total 2017 YTD 2018 YTD YTD 2017 Annual Total 2017 YTD 2018 YTD YTD
NAICS CONSTRUCTION (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff NAICS AUTOMOTIVE (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff
236 Construction of Buildings 1,503,231 1,049,044 993,660 -5.3%441 Motor Vehicle and Parts Dealer 3,703,385 b 2,686,816 2,883,183 7.3%
237 Heavy and Civil Construction 209,928 138,807 117,481 -15.4%447 Gasoline Stations 268,146 194,420 209,029 7.5%
238 Specialty Trade Contractors 918,947 656,909 652,299 -0.7%TOTAL AUTOMOTIVE 3,971,531$ 2,881,236$ 3,092,212$ 7.3%
TOTAL CONSTRUCTION 2,632,107$ 1,844,760$ 1,763,440$ -4.4%Overall Change from Previous Year 210,976$
Overall Change from Previous Year (81,320)$
2017 Annual Total 2017 YTD 2018 YTD YTD
2017 Annual Total 2017 YTD 2018 YTD YTD NAICS RETAIL TRADE (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff
NAICS MANUFACTURING (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff 442 Furniture and Home Furnishings 197,226 148,394 152,512 2.8%
311 Food Manufacturing 4,642 3,763 5,419 44.0%443 Electronics and Appliances 211,036 152,928 170,495 11.5%
312 Beverage and Tobacco Products 7,842 5,000 9,021 80.4%444 Building Material and Garden 580,347 432,287 427,143 -1.2%
313 Textile Mills 264 134 394 194.5%445 Food and Beverage Stores 368,971 277,210 285,107 2.8%
314 Textile Product Mills 1,501 1,129 1,243 10.0%446 Health and Personal Care Store 368,699 278,053 312,578 12.4%
315 Apparel Manufacturing 227 147 213 44.3%448 Clothing and Accessories 1,118,980 823,174 a 863,543 4.9%
316 Leather and Allied Products 46 31 136 341.2%451 Sporting Goods, Hobby, Books 199,717 147,826 160,584 8.6%
321 Wood Product Manufacturing 16,528 12,359 10,250 -17.1%452 General Merchandise Stores 992,858 760,849 678,091 -10.9%
322 Paper Manufacturing 15,254 11,034 6,856 -37.9%453 Miscellaneous Store Retailers 463,719 351,082 498,062 41.9%
323 Printing and Related Support 54,391 41,083 36,400 -11.4%454 Nonstore Retailers 370,027 280,101 208,455 -25.6%
324 Petroleum and Coal Products 1,040 777 7,682 888.6%TOTAL RETAIL TRADE 4,871,580$ 3,651,905$ 3,756,570$ 2.9%
325 Chemical Manufacturing 15,982 12,473 9,407 -24.6%Overall Change from Previous Year 104,665$
326 Plastics and Rubber Products 8,856 6,468 7,269 12.4%
327 Nonmetallic Mineral Products 17,749 13,785 14,703 6.7%
331 Primary Metal Manufacturing 818 583 950 63.0%2017 Annual Total 2017 YTD 2018 YTD YTD
332 Fabricated Metal Product Manuf 28,618 22,676 19,717 -13.0%NAICS SERVICES (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff
333 Machinery Manufacturing 18,216 14,409 19,631 36.2%51*Information 662,460 498,272 487,341 -2.2%
334 Computer and Electronic Product 32,957 16,958 4,858 -71.4%52*Finance and Insurance 122,200 88,190 105,510 19.6%
335 Electric Equipment, Appliances 1,103 873 395 -54.8%53*Real Estate, Rental, Leasing 367,828 270,980 271,291 0.1%
336 Transportation Equipment Man 385,842 322,157 363,573 12.9%541 Professional, Scientific, Tech 238,617 176,597 190,908 8.1%
337 Furniture and Related Products 34,157 17,001 13,802 -18.8%551 Company Management 13 12 9 -24.9%
339 Miscellaneous Manufacturing 31,567 20,969 24,097 14.9%56*Admin. Supp., Remed Svcs 276,380 206,016 303,074 47.1%
TOTAL MANUFACTURING 677,596$ 523,810$ 556,018$ 6.1%611 Educational Services 55,506 36,688 32,771 -10.7%
Overall Change from Previous Year 32,208$ 62*Health Care Social Assistance 74,678 57,945 62,303 7.5%
71*Arts and Entertainment 109,577 80,275 89,259 11.2%
72*Accommodation and Food Svcs 1,276,310 940,434 1,062,325 13.0%
2017 Annual Total 2017 YTD 2018 YTD YTD 81*Other Services 546,059 407,786 409,512 0.4%
NAICS TRANSPORTATION AND WAREHOUSING (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff 92*Public Administration 182,112 125,861 117,127 -6.9%
481 Air Transportation 2 2 3 27.1%TOTAL SERVICES 3,911,740$ 2,889,056$ 3,131,431$ 8.4%
482 Rail Transportation 20,972 19,425 17,032 -12.3%Overall Change from Previous Year 242,374$
484 Truck Transportation 4,014 2,669 23,737 789.4%
485 Transit and Ground Passengers -3,390 -3,390 44 -101.3%
488 Transportation Support 51,246 39,746 39,291 -1.1%2017 Annual Total 2017 YTD 2018 YTD YTD
491 Postal Service 274 209 833 298.3%NAICS MISCELLANEOUS (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff
492 Couriers and Messengers 1,859 1,125 1,233 9.6%000 Unknown 0 0 0 N/A
493 Warehousing and Storage 13,526 9,265 10,513 13.5%111-115 Agriculture, Forestry, Fishing 6,486 5,236 2,848 -45.6%
TOTAL TRANSPORTATION 88,502$ 69,050$ 92,685$ 34.2%211-221 Mining & Utilities 26,023 19,077 19,400 1.7%
Overall Change from Previous Year 23,636$ 999 Unclassifiable Establishments 32,865 29,067 73,541 153.0%
TOTAL SERVICES 65,374$ 53,381$ 95,789$ 79.4%
Overall Change from Previous Year 42,409$
2017 Annual Total 2017 YTD 2018 YTD YTD
NAICS WHOLESALE TRADE (Nov '16-Oct '17)(Nov '16-Jul '17)(Nov '17-Jul '18)% Diff
423 Wholesale Trade, Durable Goods 1,080,558 782,910 864,620 10.4%GRAND TOTAL 17,581,514$ 12,898,928$ 13,588,552$
424 Wholesale Trade, Nondurable 278,097 198,873 232,167 16.7%Overall Change from Previous Year 689,624$ 5.3%
425 Wholesale Electronic Markets 4,428 3,948 3,620 -8.3%
TOTAL WHOLESALE 1,363,083$ 985,731$ 1,100,407$ 11.6%Total September 2018 Sales Tax Distributions 1,519,880$
Overall Change from Previous Year 114,676$ Dollar Increase from September 2017 75,640$
Percent Increase from September 2017
Includes Adjustments in excess of +/- $10,000.Comparisons:
a. WA State Dept of Revenue audit adjustment to sales tax returns for period of April 2017 (adjustment: - $29,746).September 2017 12,898,928 11,454,688 1,444,240$
b. WA State Dept of Revenue audit adjustment to sales tax returns for period of October 2017 (adjustment: $36,668).September 2016 12,667,897 11,248,515 1,419,382$
09/20/18
Prepared by Auburn Finance Department
5.2%
38
Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance
OPERATING FUND:460 460 461 461 462 462
OPERATING REVENUES
Charges For Service 15,203,431 10,831,586 (4,371,845) 8,142,100 6,332,101 (1,809,999) 18,189,923 12,988,613 (5,201,310) 9,242,676 7,352,670 (1,890,006)
Grants - - - - - -
Interest Earnings 10,000 107,711 97,711 20,000 59,794 39,794 1,000 16,326 15,326 15,000 56,044 41,044
Rents, Leases, Concessions, & Other 219,024 163,294 (55,730) 75,570 35,517 (40,053) - - - 63,226 50,997 (12,229)
TOTAL OPERATING REVENUES 15,432,455 11,102,590 (4,329,865) 8,237,670 6,427,412 (1,810,258) 18,190,923 13,004,939 (5,185,984) 9,320,902 7,459,711 (1,861,191)
OPERATING EXPENSES
Salaries & Wages 2,799,131 1,952,174 846,957 1,808,531 1,337,817 470,714 - - - 2,716,743 1,989,054 727,689
Benefits 1,416,014 958,075 457,939 906,551 654,026 252,525 - - - 1,396,377 981,075 415,302
Supplies 334,244 221,093 113,151 136,550 115,702 20,848 - - - 94,550 105,144 (10,594)
Other Service Charges 5,285,350 2,133,612 3,151,738 2,990,471 1,822,428 1,168,043 - - - 1,847,779 1,092,994 754,785
Intergovernmental Services (Less Transfers Out)9,500 12,482 (2,982) 83,000 66,596 16,404
Waste Management Payments
Sewer Metro Services 18,250,200 13,053,674 5,196,526
Debt Service Interest 1,313,575 395,512 918,063 264,928 138,410 126,518 - - - 350,697 175,348 175,349
Interfund Operating Rentals & Supplies 1,422,040 1,066,574 355,466 1,034,321 775,737 258,584 - - - 1,444,254 1,083,746 360,508
TOTAL OPERATING EXPENSES 12,570,354 6,727,039 5,843,315 7,150,852 4,856,601 2,294,251 18,250,200 13,053,674 5,196,526 7,933,400 5,493,956 2,439,444
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION 2,862,101 4,375,551 1,513,450 1,086,818 1,570,810 483,992 (59,277) (48,735) 10,542 1,387,502 1,965,755 578,253
NON-OPERATING REVENUES
Operating Transfers-in - - -
Intergovernmental Loan 1,196,600 60,494 1,136,106
Other Non-Operating Revenues 22,500
NON-OPERATING EXPENSES
Transfer to Capital Subfund 2,446,600 1,311,409 1,135,191 - - - 1,200,000 - 1,200,000
Other Operating Transfers-out 279,291 51,364 227,927 253,020 34,367 218,653 369,192 145,759 223,433
Debt Service Principal 1,760,291 624,107 1,136,184 550,947 288,262 262,685 425,578 - 425,578
Net Change in Restricted Net Assets - 391,749 391,749 - 119,494 119,494 - 190,931 190,931
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2018 5,574,972 5,574,972 - 3,609,377 3,609,377 - 3,033,467 3,033,467 - 2,910,117 2,910,117 -
ENDING WORKING CAPITAL - September 30, 2018 5,147,491 7,632,388 2,484,897 3,892,228 4,760,564 868,336 2,974,190 2,984,732 10,542 2,302,849 4,539,182 2,236,333
NET CHANGE IN WORKING CAPITAL (see Note)(427,481) 2,057,416 2,484,897 282,851 1,151,188 868,336 (59,277) (48,735) 10,542 (607,268) 1,629,065 2,236,333
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue - 11,523 11,523 - 154,717 154,717 - 144,201 144,201
Grants 152,600 35,545 (117,055) 210,000 19,323 (190,677)
Other Non-Operating Revenue - - - - - - - - -
Increase In Contributions - System Development 1,250,000 225,412 (1,024,588) 600,000 206,166 (393,834) 600,000 335,923 (264,077)
Interfund Revenues - - - - - - - - -
Increase In Contributions - FAA - - - - - - - - -
Proceeds of Debt Activity 2,500,000 - (2,500,000) - - - - - -
Transfers In from Operating Sub-Fund 2,446,600 1,311,409 (1,135,191) - - - 1,200,000 - (1,200,000)
Transfer In from Other Funds 200,000 - (200,000) - - - - -
TOTAL CAPITAL REVENUES 6,549,200 1,583,889 (4,965,311) 600,000 360,884 (239,116) 2,010,000 499,446 (1,510,554)
CAPITAL EXPENSES
Other Non-Operating Expense - - - - 13,751 (13,751) - - -
Increase In Fixed Assets - Salaries 307,857 95,647 212,210 87,857 65,353 22,504 95,714 110,592 (14,878)
Increase In Fixed Assets - Benefits 123,143 43,127 80,016 35,143 29,047 6,096 38,286 47,748 (9,462)
Increase In Fixed Assets - Services - - - - - - - - -
Increase In Fixed Assets - Site Improvements - 38,099 (38,099) - - - - -
Increase In Fixed Assets - Equipment - - - - 18,854 (18,854) - - -
Increase In Fixed Assets - Construction 6,650,786 1,903,050 4,747,736 2,212,300 172,076 2,040,224 3,192,300 673,354 2,518,946
Operating Transfers Out 50,000 50,000 - 150,000 50,000 100,000 150,000 50,000 100,000
TOTAL CAPITAL EXPENSES 7,131,786 2,129,922 5,001,864 2,485,300 349,082 2,136,218 3,476,300 881,694 2,594,606
BEGINNING WORKING CAPITAL - January 1, 2018 1,485,010 1,485,010 - 12,467,191 12,467,191 - 13,194,888 13,194,888 -
902,424 938,977 36,553 10,581,891 12,478,993 1,897,102 11,728,588 12,812,640 1,084,052
NET CHANGE IN WORKING CAPITAL (see Note)(582,586) (546,033) 36,553 (1,885,300) 11,802 1,897,102 (1,466,300) (382,248) 1,084,052
Total Change in Working Capital (1,010,067) 1,511,384 2,521,451 (1,602,449) 1,162,989 2,765,438 (59,277) (48,735) 10,542 (2,073,568) 1,246,817 3,320,385
(*) Depreciation 3,250,000 2,561,164 2,430,000 1,676,905 - - 2,210,000 1,555,034
OPERATING & CAPITAL FUNDS
WATER
ENTERPRISE FUNDS
SEWER SEWER METRO STORMCash Basis through September 2018
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures; payments will be made as scheduled in December 2018. Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - September 30, 2018
39
OPERATING FUND:
OPERATING REVENUES
Charges For Service
Grants
Interest Earnings
Rents, Leases, Concessions, & Other
TOTAL OPERATING REVENUES
OPERATING EXPENSES
Salaries & Wages
Benefits
Supplies
Other Service Charges
Intergovernmental Services (Less Transfers Out)
Waste Management Payments
Sewer Metro Services
Debt Service Interest
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
Intergovernmental Loan
Other Non-Operating Revenues
NON-OPERATING EXPENSES
Transfer to Capital Subfund
Other Operating Transfers-out
Debt Service Principal
Net Change in Restricted Net Assets
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2018
ENDING WORKING CAPITAL - September 30, 2018
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Other Non-Operating Revenue
Increase In Contributions - System Development
Interfund Revenues
Increase In Contributions - FAA
Proceeds of Debt Activity
Transfers In from Operating Sub-Fund
Transfer In from Other Funds
TOTAL CAPITAL REVENUES
CAPITAL EXPENSES
Other Non-Operating Expense
Increase In Fixed Assets - Salaries
Increase In Fixed Assets - Benefits
Increase In Fixed Assets - Services
Increase In Fixed Assets - Site Improvements
Increase In Fixed Assets - Equipment
Increase In Fixed Assets - Construction
Operating Transfers Out
TOTAL CAPITAL EXPENSES
BEGINNING WORKING CAPITAL - January 1, 2018
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through September 2018
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - September 30, 2018
Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance
464 464 465 465 466 466 -
14,955,350 11,614,818 (3,340,532) 843,300 702,357 (140,943) 933,000 1,062,913 129,913 - - -
88,600 15,862 (72,738) - - - - -
9,000 65,166 56,166 2,500 10,974 8,474 800 8,845 8,045 1,500 16,912 15,412
- 882 882 3,000 5,444 2,444 - - -
15,052,950 11,696,728 (3,356,222) 848,800 718,775 (130,025) 933,800 1,071,758 137,958 1,500 16,912 15,412
339,207 253,787 85,420 49,200 - 49,200 490,917 369,025 121,892 - - -
159,496 117,606 41,890 33,700 - 33,700 277,863 196,786 81,077 237,000 50,898 186,102
33,400 7,276 26,124 2,500 2,377 124 221,700 179,889 41,811 - - -
1,655,795 1,131,666 524,129 588,550 448,220 140,330 157,980 115,705 42,275 4,230 344,167 (339,937)
367,050 185,087 181,963 - - - - - - - - -
12,301,000 9,430,842 2,870,158
- - - 16,425 4,023 12,402 - - - - - -
114,279 85,707 28,572 1,500 1,125 375 48,898 36,675 12,223 - - -
14,970,227 11,211,969 3,758,258 691,875 455,744 236,131 1,197,358 898,080 299,278 241,230 395,065 (153,835)
82,723 484,759 402,036 156,925 263,030 106,105 (263,558) 173,678 437,236 (239,730) (378,153) (138,423)
250,000 - (250,000) - - -
- - - 5,000 - 5,000 1,033 459 574
175,000 - 175,000 - - -
- 4,368 4,368 - - -
40,100 30,322 9,778
5,083,854 5,083,854 - 422,608 422,608 - 514,788 514,788 - 2,015,500 2,015,500 -
5,166,577 5,568,614 402,037 359,433 650,947 291,514 500,197 688,007 187,810 1,775,770 1,637,347 (138,423)
82,723 484,759 402,037 (63,175) 228,340 291,514 (14,591) 173,219 187,810 (239,730) (378,153) (138,423)
- 3,107 3,107 - 3,363 3,363
- - - - - -
- - - - - -
- - - - - -
786,000 12,744 (773,256) - - -
- - - - - -
- - - - - -
- - - 75,000 5,908 (69,092)
830,467 15,851 (814,616) 75,000 9,271 (65,729)
- - - - - -
106,429 - 106,429 - - -
42,571 - 42,571 - - -
- - - - 33 (33)
- - - -
- 12,000 - 12,000
799,034 49,300 749,734 63,000 5,908 57,092
- - - - - -
948,034 49,300 898,734 75,000 5,941 69,059
260,972 260,972 - 259,037 259,037 -
143,405 227,524 84,119 259,037 262,367 3,330
(117,567) (33,448) 84,119 - 3,330 3,330
82,723 484,759 (180,742) 194,891 375,633 (14,591) 176,549 191,140 (239,730) (378,153) (138,423)
19,500 14,114 481,000 330,255 51,000 25,009 - -
Note: Working capital balance only includes eight Waste
Management payments due to the timing of September's
payment ($1,133,600), which will be made in October.
INSURANCE
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures;
payments will be made as scheduled in December 2018.
ENTERPRISE FUNDS
SOLID WASTE AIRPORT CEMETERY
INTERNAL SERVICE FUNDS
40
OPERATING FUND:
OPERATING REVENUES
Charges For Service
Grants
Interest Earnings
Rents, Leases, Concessions, & Other
TOTAL OPERATING REVENUES
OPERATING EXPENSES
Salaries & Wages
Benefits
Supplies
Other Service Charges
Intergovernmental Services (Less Transfers Out)
Waste Management Payments
Sewer Metro Services
Debt Service Interest
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
Intergovernmental Loan
Other Non-Operating Revenues
NON-OPERATING EXPENSES
Transfer to Capital Subfund
Other Operating Transfers-out
Debt Service Principal
Net Change in Restricted Net Assets
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2018
ENDING WORKING CAPITAL - September 30, 2018
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Other Non-Operating Revenue
Increase In Contributions - System Development
Interfund Revenues
Increase In Contributions - FAA
Proceeds of Debt Activity
Transfers In from Operating Sub-Fund
Transfer In from Other Funds
TOTAL CAPITAL REVENUES
CAPITAL EXPENSES
Other Non-Operating Expense
Increase In Fixed Assets - Salaries
Increase In Fixed Assets - Benefits
Increase In Fixed Assets - Services
Increase In Fixed Assets - Site Improvements
Increase In Fixed Assets - Equipment
Increase In Fixed Assets - Construction
Operating Transfers Out
TOTAL CAPITAL EXPENSES
BEGINNING WORKING CAPITAL - January 1, 2018
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through September 2018
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - September 30, 2018
Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance Budget
YTD
Actual Variance
- - 568 568 560 560
1,008,100 772,711 (235,389) 3,463,200 2,705,594 (757,606) 6,212,031 4,653,882 (1,558,149) 2,260,325 1,700,851 (559,474)
- 49,000 - (49,000) - -
2,600 23,678 21,078 8,800 27,898 19,098 5,500 26,432 20,932 - 43,256 43,256
93,000 17,300 (75,700) - - - - 1,248 1,248 - 140,222 140,222
1,103,700 813,690 (290,010) 3,521,000 2,733,491 (787,509) 6,217,531 4,681,563 (1,535,968) 2,260,325 1,884,329 (375,996)
80,132 59,109 21,023 678,651 474,781 203,870 1,909,554 1,357,514 552,040 628,983 451,753 177,230
367,336 146,563 220,773 383,710 260,690 123,020 887,603 608,405 279,198 331,116 232,094 99,022
- - - 140,220 83,643 56,577 464,650 164,529 300,121 1,081,000 587,124 493,876
415,215 220,112 195,103 2,152,962 1,151,098 1,001,864 3,035,130 2,230,564 804,566 435,180 351,672 83,508
- - - - - - - - - - - -
- - - - - - - - - 2,618 2,167 451
- - - 143,811 107,856 35,955 190,795 143,100 47,695 220,212 165,279 54,933
862,683 425,784 436,899 3,499,354 2,078,068 1,421,286 6,487,732 4,504,113 1,983,619 2,699,109 1,790,089 909,020
241,017 387,905 146,888 21,646 655,423 633,777 (270,201) 177,450 447,651 (438,784) 94,240 533,024
255,000 161,266 (93,734) 972,496 170,055 (802,441) 150,000 150,000 -
846,939 276,930 570,009 60,500 500 60,000 - - -
- - -
- 300 300 - - - - (160,242) (160,242)
1,625,120 1,625,120 - 1,741,924 1,741,924 - 1,804,816 1,804,816 - 3,110,811 3,110,811 -
1,866,137 2,013,025 146,888 1,171,631 2,281,383 1,109,752 2,446,611 2,151,821 (294,790) 2,822,027 3,515,293 693,266
241,017 387,905 146,888 (570,293) 539,459 1,109,752 641,795 347,005 (294,790) (288,784) 404,482 693,266
- 21,324 21,324 - 47,636 47,636
- - - - - -
- - - - - -
- - - 1,703,631 1,277,721 (425,910)
- - - - - -
- - - - - -
- - - - - -
232,300 - (232,300) 930,858 163,355 (767,503)
232,300 21,324 (210,976) 2,634,489 1,488,712 (1,145,777)
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- -
1,001,100 127,995 873,105 1,615,951 1,168,938 447,013
98,600 171,232 (72,632) 800,100 68,664 731,436
- - - - - -
1,099,700 299,226 800,474 2,416,051 1,237,602 1,178,449
1,837,285 1,837,285 - 3,453,808 3,453,808 -
969,885 1,559,383 589,498 3,672,246 3,704,917 32,671
(867,400) (277,902) 589,498 218,438 251,109 32,671
241,017 387,905 146,888 (570,293) 539,459 1,109,752 (225,605) 69,103 294,708 (70,346) 655,591 725,937
- - - - 726,000 358,634 987,000 872,565
INTERNAL SERVICE FUNDS
WORKER'S COMPENSATION FACILITIES INNOVATION & TECHNOLOGY EQUIPMENT RENTAL
41