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Home My WebLink About06-17-2013 * � - y Finance Committee ciTVOF-_�"�_ •_. June 17, 2013 - 5:30 PM " Annex Conference Room 1 `1NA5H INGTON; MINUTES I. CALL TO ORDER ChairJohn Partridge calledthe meeting to order at 5:30 p.m. in Annex Conference Room 1 located on the second floor of the City Hall Annex at One East Main Street in Aubum. A. Roll Call Chair John Partridge, Vice Chair Largo Wales, and Member John Holman were present. City officials and staff members present included: Mayor Peter B. Lewis, Finance Director Shelley Coleman, Public Works Director Dennis Dowdy, Utilities Engineer Dan Repp, and City Clerk Danielle Daskam. Others present included: Scot Pondelick, Yolanda Trout, and Thomas Sauers. B. Announcements There was no announcement C. Agenda Modifications There was no change to the agenda. II. CONSENT AGENDA A. June 3, 2013 Minutes Member Holman moved and Vice Chair Wales seconded to approve the minutes as submitted. , MOTION CARRIED UNANIMOUSLY. 3-0 B. Claims Vouchers (Coleman) Claims check numbers 422966 through 423290 in the amount of $5,425;196.14 and dated June 17, 2013. Committee members reviewed claims and payroll vouchers and briefly discussed claims vouchers 422989 (Auburn Symphony Orchestra) and 423020 (Cayce 8� Grove). Page 1 of 4 Vice Chair Wales moved and Member Holman seconded to approve and forward claims and payroll vouchers to the full Council for consideration. Yice Ghair Wales requested an opportun.ity to review the Auburn Symphony Orchestra contract(s) and the expectations for the program. MOTION CARRIED UNANIMOUSLY. 3-0 C. Payroll Vouchers (Coleman) Payroll check numbers 533856through 533889 in the amount of $877,549.07 and electronic deposit transmissions in the amount of $1,305,077.45 for a grand total of$2,182,626.52 for the period covering May 9, 2013 to May 29, 2013. See Gaims vouchers above for action on payroll vouchers. III. ORDINANCES A. Ordinance No. 6462 (Coleman) An Ordinance of the City Council of the City of Auburn, Washington, amending Ordinance No. 643,2, the 2013-2014 Biennial Budget Ordinance, as amended by O�dinance No. 6456, authorizing an amendment to the City of Aubum 2013-2014 Budget as set forth in Schedule "A" and Schedule "B'' Finance Director Coleman presented Ardinance No. 6462, which amends the 2013-2014 Biennial Budget. The ordinance was reviewed by the Finance Committee on June 3rd and reviewed by other Council committees. There has been no change since the Committee lasf reviewed the ordinance. Vice Chair Wales moved and Member Holman seconded to approve and forward Ordinance No. 6462 to the full Council for consideration. MOTION CARRIED UNANIMOUSLY. 3-0 IV. RESOLUTIONS A. Resolution No. 4960 (Dowdy) A Resolution of the City Council of the City ofAuburn, Washington, _ authorizing the Mayor and City Clerkto execute an office space lease agreement between the City of Auburn and State Senator Joe Fain Pu.blic Works Director powdy presented:Resolution No. 4960. SenatorJoe Fain submitted a request to rent 323 square feet of available office space located afi2 First Street. Resolution No. 4960 authorizes the lease of the office space. Page 2 of 4 �ce ChairWales requested that staff review and ensure the ADA accessibility for both the areas leased by Senator Fain and Congressman Reichert. Vice ChairWales moved and Member Holman seconded to approve and forward Resolution No. 4960 to the full Council for consideration. MOTION CARRIED UNANIMOUSLY. 3-0 V. DISCUSSION ITEMS A. Apri12013 Financial Report (Coleman) Finance Director Coleman presented the April 2013 Monthly Financial Report: Through April, General Fund expenses totaled $16.9 million compared to expendi#ures of $15.4 million for the same period last year. The increase in year-over-year expenses is primarily due to the payment of SCORE debt serVice principal (prior to 2013, debt seroice payments were interest only), settlement of collective bargaining agreements, and increased payments for incarceration services (current period payments are based on prioryear City inmate counts). The increase in expenses is partially offset 6y the year-over-year reduction in Municipal Court and probation costs due to the outsourcing of court services. General Fund revenues for April were $19:7 million and exceed the budget by $1.1 million. The revenues include the first half of property tax revenues. The increase in revenues is primarily due to the increase in building permit.revenues and sales tax revenues. Director Coleman noted that previously $2.0 million of property tax revenue would go to the Save Our Streets Fund; now all property tax revenue comes to the General Fund. Member Holman noted that the current incarceration costs are based on last year's average daily jail population, but with the current reduction of about fifry percent of the inrimate count, costs will be reduced in the future. Member Holman esEimated a savings of approximately $1.7 million from the outsourcing of the court and pro6ation services to King County. There was brief discussion regarding SCORE staffing levels, jail population, and jail services confracts. Finance Director Coleman noted that the Ciry assessed approximately $400,000.00 less in property tax in 2013 compared to 2012 as the City has reached its property tax cap maximum. Per City Council policy, efFective January 1, 2013, $2.0 million in propertytax revenue will no longer be transferred to the Local Street Fund for street repair and Page 3 of 4 maintenance. All sales tax revenue from construction is transferred to the Local Street Fund for street repair and maintenance. Approximately $511,941.00 in consfruction sales tax has been transferred through April 2013. Committee members reviewed utility tax, cable tv franchise fees, licenses and permits, infergovernmental revenue, charges for services, fines and penalties, photo enforcement, real estate excise tax, and pet licensing. Director Coleman noted, that during the month ofiMay, 585 pet licenses were sold. Pet licensing revenue in May (not included in the April monthly report) is $16,424.00. Finance Director Coleman noted the water utility ended April with a $17,200.00 net operating loss compared to approximately $50,000.00 in net operating income in 2012. Director Coleman attributed the loss to the purchase of wholesale water while some City wells are off line for repair. Additionally, the highes4 months for water production and revenue are August through October. Year-to-date rounds at the Golf Gourse are 9,596 compared to 8,671 rounds in 2012. The Golf Course ended April with a net operating loss of$304,700.00 compared to a loss of$305,900.00 forthe same period last year. Chair Partridge stated#hat it appears that the City received less revenue for more rounds and requested'additional informa6on to explain the variables. The Cemetery Fund ended April with $33,000.00 in net operating income compared to a $50,400.00 net operating loss for the same period last year. B. Auburn School District Impact Fees (Coleman) Committee members reviewed the Auburn School District report on school impact fees for the fiscal year ending August 31, 2012. The report was presented for information only. VI. ADJOURNMENT There being no further business, the meeting adjourned at 6:40 p.m. APPROVED this L day of July, 2013. � L—� �� ,�i� ohn Partridge, Ghair Danielle Daskam, City Clerk. _ Page 4 of 4