HomeMy WebLinkAbout03-12-2018 STUDY SESSION AGENDACity Council Study Session Muni
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March 12, 2018 - 5:30 P M
Council Chambers - City Hall
A GE NDA
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I .C A L L TO O R D E R
A .Roll Call
I I .A NNO UNC E ME NT S , R E P O RT S , A ND P R E S E NTAT I O NS
I I I .A G E ND A I T E MS F O R C O UNC I L D I S C US S I O N
A .Ordinance No. 6671 (10 Minutes) (Gaub)
A n Ordinance of the City Council of the City of A uburn Washington, vacating real
property intended for right-of-way purposes located at 1412 3rd Street S E , within the
City of Auburn, Washington
B .Ordinance No. 6674 (5 Minutes) (Gaub)
A n Ordinance of the City Council of the City of A uburn, Washington, granting a
franchise agreement for a petroleum products pipeline to Olympic Pipe L ine Company,
L L C
C.L akehaven - Auburn Sewer Boundary A djustment (5 Minutes) (Gaub)
D.4th Quarter 2017 F inancial Report (20 Minutes) (Coleman)
I V.MUNI C I PA L S E RV I C E S D I S C US S I O N I T E MS
A .A irport 2018-2022 C I P Discussion (10 Minutes) (Gaub)
V.O T HE R D I S C US S I O N I T E MS
V I .NE W B US I NE S S
V I I .MAT R I X
A .Matrix
V I I I .A D J O UR NME NT
Agendas and minutes are available to the public at the City Clerk's Office, on the City website
(http://www.auburnwa.gov), and via e-mail. Complete agenda packets are available for review
at the City Clerk's Office.
Page 1 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
Ordinance No. 6671 (10 Minutes) (Gaub)
Date:
February 23, 2018
Department:
CD & PW
Attachments:
Draft Ordinance No. 6671
Staff Report
Vicinity Map
Budget Impact:
Current Budget: $0
Proposed Revision: $0
Revised Budget: $0
Administrativ e Recommendation:
For discussion only.
Background Summary:
The City of Auburn has determined that a 50 foot by 60 foot piece of real estate quit claim
deeded to the City in the vicinity of 1412 3rd Street SE was intended for right-of-way
purposes but was never opened as a street or used as such by the City. The right-was quit
claim deeded to the City on June 14, 1956. City staff and utility providers who have an
interest in this right-of-way have reviewed the proposed right-of-way vacation. Through this
review, City staff has determined that the right of way is no longer necessary to meet the
needs of the City and could be vacated.
A Public Hearing to consider this application and hear public comment is scheduled before
the City Council on March 19, 2018 in accordance with Auburn City Code Chapter 12.48.070.
Ordinance No. 6671, if adopted by City Council would approve Vacation No. V1-17 and
vacate the right-of-way.
Rev iewed by Council Committees:
Councilmember:Staff:Gaub
Meeting Date:March 12, 2018 Item Number:
Page 2 of 106
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Ordinance No. 6671
February 6, 2018
Page 1 of 3
ORDINANCE NO. 6 6 7 1
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
AUBURN WASHINGTON, VACATING REAL PROPERTY
INTENDED FOR RIGHT-OF-WAY PURPOSES LOCATED AT
1412 3RD STREET SE, WITHIN THE CITY OF AUBURN,
WASHINGTON
WHEREAS, in 1956, the City of Auburn received, through a quit claim deed, a portion
of property located within the corporate boundaries of the City at 1412 3rd Street SE, which
property was intended to couple up with other adjacent portions of property to provide for
an East-West roadway south of 3rd Street SE and north of the Burlington Northern Railroad
railway between M Street SE and R Street SE, within the City of Auburn; and
WHEREAS, the right-of-way was never developed, necessary adjacent parcels were
never acquired and King County did not segregate the portion of property the City acquired
through the 1956 quit claim deed from the adjacent parcels; and
WHEREAS, the City Council of the City of Auburn, Washington (“City Council”), has,
after a review of its needs for streets and rights-of-way in the vicinity of the 1412 3rd Street
SE between M Street SE and R Street SE, within the City, determined that consideration
should be given to the vacation of the same; and
WHEREAS, a public hearing was held in connection with the possible vacation, with
notice having been provided pursuant to statute; and
WHEREAS, the City Council has considered all matters presented at the public
hearing on the proposed vacation, held on the 19th day of March, 2018, at the Auburn City
Council Chambers in Auburn, Washington.
Page 3 of 106
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Ordinance No. 6671
February 6, 2018
Page 2 of 3
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON DO ORDAIN as a non-codified ordinance as follows:
Section 1. Vacation. That the right-of-way located at 1412 3rd Street SE,
located within the City of Auburn, Washington, legally described as follows:
The south 50 feet of the north 331.07 feet of the west 60 feet of
Lot 33 East Auburn Acres addition to Auburn, according to the
plat thereof recorded in Volume 14 of Plats, Page 41, records
of King County, Washington.
A portion of King County tax parcel number 2149800305,
the same is hereby vacated and the property lying in said portion of right-of-way described
hereinabove, shall inure and belong to those persons entitled to receive the property in
accordance with RCW 35.79.040.
Section 2. Constitutionality or Invalidity. If any portion of this Ordinance or
its application to any person or circumstances is held invalid, the remainder of the Ordinance
or the application of the provisions to other persons or circumstances shall not be affected.
Section 3. Implementation. The Mayor is hereby authorized to implement
such administrative procedures as may be necessary to carry out the directives of this
location.
Section 4. Effective Date. This Ordinance shall take effect and be in force
five (5) days from and after passage, approval, and publication as provided by law.
Section 5. Recordation. The City Clerk is directed to record this Ordinance
with the office of the King County Auditor.
Page 4 of 106
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Ordinance No. 6671
February 6, 2018
Page 3 of 3
INTRODUCED: ______________________
PASSED: ___________________________
APPROVED: ________________________
___________________________________
NANCY BACKUS, MAYOR
ATTEST:
____________________________
Danielle E. Daskam, City Clerk
APPROVED AS TO FORM:
____________________________
Daniel B. Heid, City Attorney
PUBLISHED: _________________
Page 5 of 106
1 of 2
2/14/2018
V2-16 Staff Report
RIGHT-OF-WAY VACATION
STAFF REPORT
Right-of-Way (ROW) Vacation Number V1-17
Applicant: City Initiated
Property Location: Right-of-Way located in the vicinity of 1412 3rd Street SE. Specifically the south 50
feet of the north 331.07 feet of the west 60 feet of Lot 33 East Auburn Acres
addition to Auburn.
Description of right-of-way:
This ROW proposed for vacation consists of a 50 foot by 60 foot portion of real property acquired for the intended
purpose of right-of-way that was Quit Claim Deeded to the City in 1956 under Recording Number 4702460,
Volume 3583, Page 617 of deeds records of King County on June 14, 1956. The City has determined that the
intent of the City’s acquisition was for right-of-way purposes based on the alignment with other similar pieces of
right-of-way that were dedicated for street purposes. These similar pieces of right-of-way were subsequently
vacated years later when City long range transportation plans determined that a road alignment extending 4th
Street SE between M Street SE and R Street SE was not needed and that unopened and partial alignments
should be considered for vacation back to adjacent property owners.
The ROW is located south of 3rd Street SE and north of the Burlington Northern Railroad and consists of a 50 foot
by 60 foot area. The total area of ROW proposed for vacation is 3,000 (+/-) square feet. The ROW is adjacent to
Parcel No. 2149800305 on the north side, Parcel No. 2149800302 on the south side, Parcel No. 2149800284 on
the west side and Parcel No. 2149800306 on the east side.
See the attached map.
Proposal:
The City proposes to vacate the above described right-of-way as it is not needed for public road purposes.
Applicable Policies & Regulations:
RCW’s applicable to this situation - meets requirements of RCW 35.79.
MUTCD standards - not affected by this proposal.
City Code or Ordinances - meets requirements of ACC 12.48.
Comprehensive Plan Policy - not affected.
City Zoning Code - not affected.
Public Benefit:
The street vacation decreases potential right-of-way maintenance obligation and liability of the City.
The vacated area will be subject to property taxes.
Discussion:
The vacation application was circulated to Puget Sound Energy (PSE), Comcast, CenturyLink, and City staff.
1. Puget Sound Energy (PSE) – PSE received the City’s request for comments regarding the proposed
street right-of-way vacation. PSE was unable to determine if they have existing facilities in the proposed
vacation area and stated that they would pursue their own easements if needed in the future.
2. Comcast – Comcast has no objection to the proposed vacation and does not require an easement.
3. CenturyLink – CenturyLink has not facilities on or in the area being requested for vacation and does not
required an easement.
4. Water – The City does not require an easement be reserved for water facilities.
Page 6 of 106
2 of 2
2/14/2018
V1-17 Staff Report
5. Sewer – The City does not require an easement be reserved for sewer facilities.
6. Storm – The City does not require an easement be reserved for storm facilities.
7. Transportation – No comments.
8. Planning – No comments.
9. Fire – The area proposed for vacation that is currently being used as a road and access to Parcel No.
2149800302 on the south side of the ROW will need to be maintained as such after vacation. The current
access to this parcel does not meet current code for fire apparatus access turnaround requirements. As
such the area currently being used as a road and access may not become any smaller than it currently is.
10. Police – No comments.
11. Streets – No comments.
12. Construction –No comments.
Assessed Value:
ACC 12.48 states “The City Council may require as a condition of the ordinance that the City be compensated for
the vacated right-of-way in an amount which does not exceed one-half the value of the right-of-way so vacated,
except in the event the subject property or portions thereof were acquired at public expense or have been part of
a dedicated public right-of-way for 25 years or more, compensation may be required in an amount equal to the full
value of the right-of-way being vacated. The City Engineer shall estimate the value of the right-of-way to be
vacated based on the assessed values of comparable properties in the vicinity. If the value of the right-of-way is
determined by the City Engineer to be greater than $2,000, the applicant will be required to provide the City with
an appraisal by an MAI appraiser approved by the city engineer, at the expense of the applicant. The City
reserves the right to have a second appraisal performed at the city’s expense.”
The City Engineer has not required an appraisal for the value of this right-of-way since the right-of-way vacation is
being initiated by the City. Additionally the right-of-way was dedicated to the City at no cost and the City has
never maintained or opened the right-of-way for public use.
Recommendation:
Staff recommends that the street vacation be granted with no conditions.
Page 7 of 106
192.3
NAD_1983_StatePlane_Washington_North_FIPS_4601_Feet
Feet192.396.20
1:1,154
ROW Vacation #V1-17 1412 3rd Street SE
1in =96 ft
2/6/2018Printed Date:
Map Created by City of Auburn eGIS
Imagery Date: May 2015
Information shown is for general reference
purposes only and does not necessarily
represent exact geographic or cartographic
data as mapped. The City of Auburn makes no
warranty as to its accuracy. Page 8 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
Ordinance No. 6674 (5 Minutes) (Gaub)
Date:
February 27, 2018
Department:
CD & PW
Attachments:
Draft Ordinance No. 6674
Budget Impact:
Current Budget: $0
Proposed Revision: $0
Revised Budget: $0
Administrativ e Recommendation:
Discussion of Draft Ordinance No. 6674 for Olympic Pipe Line Company, LLC Franchise
Agreement No. 17-22.
Background Summary:
Olympic Pipe Line Company LLC is currently operating under an agreement which has
recently expired and has applied for a new Franchise Agreement to continue to operate within
the City’s rights of way an interstate pipeline for the transportation of petroleum products.
Olympic has applied for a Franchise Agreement for a term of ten (10) years to continue to
operate and maintain their facilities within the City’s rights of way.
Olympic’s existing facilities consist of a 14-inch diameter pipeline located on the West Hill
and in North Auburn. Their facilities do not currently serve any customers in Auburn and they
have no plans to do so. Any construction, maintenance, improvements or changes to
Olympic’s facilities are managed through the City’s permitting processes that are a
requirement of the Franchise Agreement. Safety of Olympic’s facilities is regulated and
inspected through the Washington Utilities and Transportation Commission.
A Public Hearing to consider this application and hear public comment is scheduled before
the City Council on March 19, 2018 in accordance with Auburn City Code Chapter 20.06.030.
Rev iewed by Council Committees:
Councilmember:Staff:Gaub
Meeting Date:March 12, 2018 Item Number:
Page 9 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 1 of 27
ORDINANCE NO. 6 6 7 4
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF AUBURN, WASHINGTON, GRANTING A
FRANCHISE AGREEMENT FOR A PETROLEUM
PRODUCTS PIPELINE TO OLYMPIC PIPE LINE
COMPANY, LLC
WHEREAS, Olympic Pipe Line Company, LLC (“Grantee”) has applied to
the City of Auburn (“City”) for a non-exclusive Franchise for the right of entry, use,
and occupation of certain public right(s)-of-way within the City, expressly to install,
construct, erect, operate, maintain, repair, relocate and remove its facilities in, on,
over, under, along and/or across those right(s)-of-way; and
WHEREAS, following proper notice, the City Council held a public hearing
on Grantee’s request for a Franchise, at which time representatives of Grantee
and interested citizens were heard in a full public proceeding affording opportunity
for comment by any and all persons desiring to be heard; and
WHEREAS, from information presented at such public hearing, and from
facts and circumstances developed or discovered through independent study and
investigation, the City Council now deems it appropriate and in the best interest of
the City and its inhabitants that the franchise be granted to Grantee.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN
WASHINGTON, DO ORDAIN as follows:
Section 1. Grant of Right to Use Franchise Area
A. Subject to the terms and conditions stated herein, the City grants to
the Grantee general permission to enter, use, and occupy the right(s)-of-way
and/or other public property specified in Exhibit “A”, attached hereto and
incorporated by reference (the “Franchise Area”).
B. The Grantee is authorized to install, remove, construct, erect,
operate, maintain, relocate and repair, for provision of those services set forth in
Exhibit “B” (“Grantee Services”) pipeline or pipelines, and associated valves,
fittings, location markers and signs, communication systems, utility lines, signage,
protective apparatus, and all other appurtenances, equipment, and facilities,
Page 10 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 2 of 27
whether above or below grade, useful or incidental to or for the operation or
protection thereof (the “ Grantee Facilities”), and conduct such other activities as
may be convenient in connection therewith as determined by Grantee, for the
transportation of oil, gases, liquids, solids, or any mixtures thereof, and any
product, by-product, and derivatives thereof, on, over, under, across, and through
the Franchise Area.
C. This Franchise does not authorize the use of the Franchise Area for
any facilities or services other than Grantee Facilities and Grantee Services, and
it extends no rights or privilege relative to any facilities or services of any type,
including Grantee Facilities and Grantee Services, on public or private property
elsewhere within the City. This Franchise is intended to convey only a limited right
and interest and is not a warranty of title or interest in the City’s right-of ways. The
Agreement does not convey any right to Grantee to install Grantee Facilities on or
to otherwise impact, city-owned or leased properties, easements, or rights-of way
outside the ones identified in Exhibit A.
D. This Franchise is non-exclusive and does not prohibit the City from
entering into other agreements, including Franchises, impacting the Franchise
Area, unless the City determines that entering into such agreements interferes with
Grantee’s right set forth herein.
E. Except as explicitly set forth herein, this Franchise does not waive
any rights that the City has or may hereafter acquire with respect to the Franchise
Area or any other City roads, rights-of-way, property, or any portions thereof. This
Franchise shall be subject to the power of eminent domain, and in any proceeding
under eminent domain, the Grantee acknowledges its use of the Franchise Area
shall have no value.
F. The City reserves the right to change, regrade, relocate, abandon, or
vacate any right-of-way within the Franchise Area. If, at any time during the term
of this Franchise, the City vacates any portion of the Franchise Area containing
Grantee Facilities, the City shall reserve an easement for public utilities within that
vacated portion, pursuant to RCW 35.79.030, within which the Grantee may
continue to operate any existing Grantee Facilities under the terms of this
Franchise for the remaining period set forth under Section 3.
G. The Grantee agrees that its use of Franchise Area shall at all times
be subordinated to and subject to the City and the public’s need for municipal
Page 11 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 3 of 27
infrastructure, travel, and access to the Franchise Area, except as may be
otherwise required by law.
H. This Franchise is subject to the provisions of Auburn City Code
(“ACC”), including specifically ACC Chapter 20.10, “CONDITIONS OF PUBLIC
WAY AGREEMENTS, FRANCHISES, AND FACILITIES LEASES”, and all
applicable federal and state laws, codes and regulations as currently exist or as
amended. However, if the provisions of city code, as amended or superseded,
conflict with any terms and conditions of this agreement, the provisions of this
agreement shall govern.
Section 2. Notice
A. Whenever this Franchise calls for notice to or notification by any
party, the same (unless otherwise specifically provided) shall be in writing and
directed by certified mail to the recipient at the address set forth in this Section.
If the date for making any payment, notice, or performing any act is a legal holiday,
payment or notice may be made or the act performed on the next succeeding
business day which is not a legal holiday.
City: Engineering Aide,
Community Development and Public Works Department
City of Auburn
25 West Main Street
Auburn, WA 98001-4998
Telephone: (253) 931-3010; Fax: (253) 931-3048
with a copy to: City Clerk
City of Auburn
25 West Main Street
Auburn, WA 98001-4998
Grantee: Olympic Pipe Line Company, LLC.
Right of Way Agent
2319 Lind Ave SW
Renton, WA, 98057
Telephone: (425) 235-7736, Fax (425) 981-2525
Page 12 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 4 of 27
B. Any changes to the above-stated Grantee information shall be sent
to the City’s Engineering Aide, Community Development and Public Works
Department, with copies to the City Clerk, referencing the title of this agreement.
C. The above-stated Grantee voice and fax telephone numbers shall be
staffed at least during normal business hours, Pacific time zone.
Section 3. Term of Agreement
A. This Franchise shall run for a period of 10 (ten) years, from the date
of execution specified in Section 5.
B. Renewal Option of Term: The Grantee may renew this Franchise for
an additional ten (10) year period upon submission and approval of the application
specified under ACC 20.06.130, as it now exists or is amended, within the
timeframe set forth therein (currently between 180 and 240 days prior to expiration
of the then-current term). Any materials submitted by the Grantee for a previous
application may be considered by the City in reviewing a current application, and
the Grantee shall submit those materials that differ from the previous materials or
as deemed necessary by the City to address changes in the Grantee Facilities or
Grantee Services, or to reflect specific reporting periods mandated by the ACC.
C. Failure to Renew Franchise – Automatic Extension. If the Parties fail
to formally renew this Franchise prior to the expiration of its term or any extension
thereof, the Franchise automatically continues year to year until renewed or either
party gives written notice at least one hundred and eighty (180) days in advance
of intent not to renew the Franchise.
Section 4. Definitions
For the purpose of this agreement:
“ACC” means the Auburn City Code.
"Emergency" means a condition of imminent danger to the health, safety and
welfare of persons or property located within the City including, without limitation,
damage to persons or property from natural consequences, such as storms,
earthquakes, riots, acts of terrorism or wars.
Page 13 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 5 of 27
“Maintenance” or “Maintain” shall mean examining, testing, inspecting, repairing,
maintaining and replacing the existing Grantee Facilities or any part thereof as
required and necessary for safe operation.
“Relocation” means permanent movement of Grantee facilities required by the
City, and not temporary or incidental movement of such facilities, or other revisions
Grantee would accomplish and charge to third parties without regard to municipal
request.
“Rights-of-Way” or “Right-of-Way” means the surface and the space above and
below streets, roadways, highways, avenues, courts, lanes, alleys, sidewalks,
easements, rights-of-ways and similar public properties and areas.
“Grantee Facilities” or “Facilities” means, collectively, any and all systems owned
or operated by Grantee located in the City Rights-of-Way, including but not limited
to pipelines, mains, laterals, fixtures, communication systems, and any and all
other equipment appliances, attachments, appurtenances and other items
necessary, convenient, or in any way appertaining to any and all of the foregoing
for the purpose of transmission of petroleum products, whether the same be
located over or under ground.
“Hazardous Substance” shall specifically include, but shall not be limited to,
petroleum and petroleum products and their by-products, residue, and remainder
in whatever form or state.
“Operate” or “Operations” shall mean the operation, use, and maintenance of
Grantee Facilities, pursuant to the terms of this Agreement.
“Party” or “Parties” means collectively the City and Grantee, and individually either
the City or Grantee.
“Public Works Project” means, any City capital improvement or the construction,
relocation, expansion, repair, maintenance, or removal of any part of the Right-of-
Way or City-owned facilities located on or in the Right-of-Way for: parks; streets;
sidewalks; curbs; pedestrian and/or vehicle traffic; sewers, storm water drains;
water facilities, and; City-owned fiber optic cable, conduit or network facilities.
“Third Party” means any person, party, or entity other than the City and Grantee.
Page 14 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 6 of 27
“FERC” means the Federal Energy Regulatory Commission, or such other
successor regulatory agency having jurisdiction over interstate pipeline
companies.
Section 5. Acceptance of Franchise
A. This Franchise, and any rights granted hereunder, shall not become
effective for any purpose unless and until Grantee files with the City Clerk (1) the
Statement of Acceptance, attached hereto as Exhibit “C,” and incorporated by
reference, (2) all verifications of insurance coverage specified under Section 17,
(3) the financial guarantees specified in Section 18 and (4) payment of any
outstanding application fees per the City fee schedule. These four items shall
collectively be the “Franchise Acceptance”. The date that such Franchise
Acceptance is filed with the City Clerk shall be the effective date of this Franchise.
B. Should the Grantee fail to file the Franchise Acceptance with the City
Clerk within thirty (30) days after the effective date of the ordinance approving the
Franchise Agreement, the City’s grant of the Franchise will be null and void.
Section 6. Construction and Maintenance
A. The Grantee shall apply for, obtain, and comply with the terms of all
permits required under ACC Chapter 12.24 for any work done upon Grantee
Facilities. Grantee shall comply with all applicable City, State, and Federal codes,
rules, regulations, and orders, as they now exist or as may be hereafter amended
or superseded, in undertaking such work, which shall be done in a thorough and
proficient manner.
B. Grantee agrees to coordinate its activities with the City and all other
utilities located within the Right-of-Way within which Grantee is under taking its
activity. Such efforts shall include, at a minimum, reasonable and diligent efforts to
keep the other party and other utilities within the Right-of-Way informed of its intent
to undertake such construction work.
C. In addition to complying with ACC 20.10.80, as hereafter amended
or superseded, Grantee Facilities shall be located and maintained within the Right-
of-Way so as not to interfere with the reasonable ingress or egress to the properties
abutting the Right-of-Ways as they existed or exist at the time of installation of the
Grantee Facilities. The City expressly reserves the right to prescribe how and
where Grantee Facilities shall be installed within the public right-of-way and may
Page 15 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 7 of 27
from time to time, pursuant to the applicable sections of this Franchise, require, at
no cost to the City, the removal, relocation and/or replacement thereof in the public
interest and safety at the expense of the Grantee.
D. Grantee shall continuously be a member of the State of Washington
One Number Locator service under RCW Chapter 19.122, or an approved
equivalent as determined by the City, and shall comply with all such applicable
rules and regulations. Before commencing any work within the Right-of-Way, the
Grantee shall comply with the One Number Locator provisions of RCW Chapter
19.122 to identify existing utility infrastructure.
E. Tree Trimming. Upon prior written approval of the City and in
accordance with City ordinances, Grantee shall have the authority to reasonably
trim trees upon and overhanging streets, Right-of-Way, and such other places in
the Franchise Area so as to prevent the branches of such trees from coming in
physical contact with the Grantee Facilities. Grantee shall be responsible for
debris removal from such activities. If such debris is not removed within twenty-
four (24) hours of completion of the trimming, the City may, at its sole discretion,
remove such debris and charge Grantee for the cost thereof. This section does
not, in any instance, grant automatic authority to clear vegetation for purposes of
providing a clear path for radio signals. Any such general vegetation clearing will
require a land clearing permit.
H. Markers demarcating the pipeline's location shall be placed on
the surface consistent with federal requirements to provide clear warning of the
presence of the pipeline but in a manner that does not interfere with trails or other
public uses in that area. Additionally, Grantee shall place continuous underground
markers demarcating the pipeline's location each time Grantee digs to the pipeline
for any reason.
Section 7. Repair and Emergency Work
In the event of an emergency, the Grantee may commence such repair and
emergency response work as required under the circumstances, provided that the
Grantee shall notify the City telephonically during normal business hours (at
253.931.3010 and during non-business hours at 253-876-1985 as promptly as
possible before such repair or emergency work commences, and in writing as soon
thereafter as possible. Such notification shall include the Grantee’s emergency
contact phone number for the corresponding response activity. For any
emergency or after normal business hour issues involving the Grantee’s facilities
Page 16 of 106
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Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 8 of 27
which requires the Grantee’s immediate response the City shall contact the
Grantee at 888-271-8880 which is operated 24 hours a day, seven days a week.
The City may act, at any time, without prior written notice in the case of emergency,
but shall notify the Grantee in writing as promptly as possible under the
circumstances of the nature of the emergency and the actions taken to address it.
Section 8. Damages to City and Third-Party Property
A. Grantee agrees that if any of its actions under this Franchise impairs
or damages any City property, survey monument, or property owned by a third-
party, Grantee will restore, at its own cost and expense, said property to a safe
condition and then to the condition it was in immediately prior to being damaged.
Such repair work shall be performed and completed to the satisfaction of the City
Engineer.
B. If Grantee has failed to perform any work required to be performed
in a timely manner under this Ordinance, or to correct an unsafe condition, the City
may itself perform or have performed such work. Grantee shall pay all reasonable
costs incurred by the City to perform such work upon demand of the City.
C. All survey monuments which are disturbed or displaced by Grantee
in its performance of any work under this Agreement shall be referenced and
restored by Grantee, as per WAC 332-120, as from time to time amended, and all
applicable federal, state, and local standards and specifications.
Section 9. Location Preference
A. Any structure, equipment, appurtenance or tangible property of a
utility, other than the Grantee’s, which was installed, constructed, completed or in
place prior in time to Grantee’s application for a permit to construct or repair
Grantee Facilities under this Franchise shall have preference as to positioning and
location with respect to the Grantee Facilities. However, to the extent that the
Grantee Facilities are completed and installed prior to another private utility’s
submittal of a permit for new or additional structures, equipment, appurtenances
or tangible property, then the Grantee Facilities shall have priority. These rules
governing preference shall continue in the event of the necessity of relocating or
changing the grade of any City road or Right-of-Way. A relocating utility shall not
necessitate the relocation of another utility that otherwise would not require
relocation. This Section shall not apply to any City facilities or utilities that may in
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the future require the relocation of Grantee Facilities. Such relocations shall be
governed by Section 11.
B. When constructing new facilities, or replacing or reconstructing
facilities, Grantee shall maintain a minimum underground horizontal separation of
ten (10) feet from City water and five (5) feet from City sanitary sewer and storm
sewer facilities; provided, that for development of new areas, the City, in
consultation with Grantee and shall coordinate with other utility purveyors or
authorized users of the Public Way, will develop and follow the City’s determination
of guidelines and procedures for determining specific utility locations, subject
additionally to this agreement.
Section 10. Grantee Information
A. Grantee agrees to supply, at no cost to the City, any information
reasonably requested by the City Engineer to coordinate municipal functions with
Grantee’s activities and fulfill any municipal obligations under state law. Said
information shall include, at a minimum, as-built drawings of Grantee Facilities,
installation inventory, and maps and plans showing the location of existing or
planned facilities within the City. Said information may be requested either in hard
copy or electronic format, compatible with the City’s data base system, as now or
hereinafter existing, including the City’s geographic information Service (GIS) data
base. Grantee shall keep the City Engineer informed of its long-range plans for
coordination with the City’s long-range plans.
B. Upon the City’s reasonable request, in connection with the design of
any Public Works Project, Grantee shall verify the location of Grantee Facilities at
no expense to the City. In the event Grantee performs excavation, the City shall
not require any restoration of the disturbed area in excess of restoration to the
same condition as existed immediately prior to the excavation.
C. The parties understand that Washington law limits the ability of the
City to shield from public disclosure any information given to the City. Grantee
shall clearly mark any information that it provides to the City as “Proprietary”
information if Grantee believes that disclosure of that information would be exempt
under the trade secrets exemption in RCW 42.56.270. The City agrees that if it
receives a request for Grantee’s proprietary information, it will initially assert the
exemption under 42.56.270, and will notify Grantee of the request.
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The City shall not initiate legal action to prevent disclosure of Grantee’s
proprietary information. If a requestor files a lawsuit to compel disclosure, Grantee
agrees to defend the action at Grantee’s sole expense.
Grantee shall indemnify and hold harmless the City for any loss or liability
for fines, penalties, and costs (including attorneys fees) imposed on the City
because of non-disclosures requested by Grantee under Washington’s open
public records act, provided the City has notified Grantee of the pending request
or Grantee is made aware of the request or claim.
Section 11. Relocation of Grantee Facilities
A. Except as otherwise so required by law, Grantee agrees to relocate,
remove, or reroute its facilities within one hundred and eighty (180) days of being
ordered by the City Engineer at no expense or liability to the City, except as may
be required by RCW Chapter 35.99. Such alternate location for relocation of
Grantee’s facilities shall be determined and approved jointly by the City and
Grantee at no cost to the City. Pursuant to the provisions of Section 16, Grantee
agrees to protect and save harmless the City from any customer or third-party
claims for service interruption or other losses in connection with any such change,
relocation, abandonment, or vacation of the Public Way.
B. If a readjustment or relocation of the Grantee Facilities is
necessitated by a request from a party other than the City (a “Third Party”), that
party shall pay the Grantee the actual costs thereof. Any contractor doing work
pursuant to contract with the City shall not be considered a Third Party for purposes
of this section.
C. Any condition or requirement imposed by the City upon any Third
Party (including, but not limited to, any condition or requirement imposed pursuant
to any contract or in conjunction with approvals or permits obtained pursuant to
any zoning, land use, construction or other development regulation) which requires
the relocation of Grantee’s Facilities within the Rights-of-Way shall be a condition
or requirement causing relocation of Grantee’s Facilities to occur subject to the
provisions of Subsection B above; provided, however in the event the City
reasonably determines and notifies Grantee that the primary purpose of imposing
such condition or requirement upon such Third party is to cause or facilitate the
construction of a Public Works Project to be undertaken within a segment of the
Right-of-Ways on the City’s behalf and consistent with the City’s Capital Facility
Plan or Transportation Improvement Program, then Grantee shall relocate its
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Facilities within such segment of the Rights-of-Way in accordance with this
Agreement.
D. As to any relocation of Grantee’s Facilities whereby the cost and
expense thereof is to be borne by Grantee in accordance with this Section 11,
Grantee may, after receipt of written notice requesting such relocation, submit in
writing to the City alternatives to relocation of its Facilities. Upon the City’s receipt
from Grantee of such written alternatives, the City shall evaluate such alternatives
and shall advise Grantee in writing if one or more of such alternatives are suitable
to accommodate the work which would otherwise necessitate relocation of
Grantee’s Facilities. In evaluating such alternatives, the City shall give each
alternative proposed by Grantee full and fair consideration with due regard to all
facts and circumstances which bear upon the practicality of relocation and
alternatives to relocation. In the event the City determines that such alternatives
are not appropriate, Grantee shall relocate its Facilities as otherwise provided in
this Agreement.
E. Nothing in this Section 11 shall require Grantee to bear any cost or
expense in connection with the relocation of any facilities under benefit of
easement independent of this Agreement or other rights not arising under this
Agreement, nor shall anything in this Section 11 require the City to bear any such
cost or expense. Nothing in this Section 11 shall be construed to be a waiver of
any right of either Grantee or the City to contest any claim or assertion by the other
of responsibility to pay such cost or expense.
F. Subject to ACC 20.10.160, in the event of an emergency posing a
threat to public safety or welfare requires the relocation of Grantee’s Facilities
within the Rights-of-Way, the City shall give Grantee notice of the emergency as
soon as reasonably practicable. Upon receipt of such notice from the City (and
subject to the issuance of any necessary order(s) of the Federal Energy Regulatory
Commission), Grantee shall endeavor to respond as soon as reasonably
practicable to relocate the affected Facilities.
Section 12. Abandonment and or Removal of Grantee Facilities
A. Within one hundred and eighty days (180) of Grantee’s permanent
cessation of use of the Grantee Facilities, or any portion thereof, the Grantee shall
(subject to any necessary approval(s) and/or order(s) to be provided by FERC
concerning abandonment), at the City’s discretion, either abandon in place or
remove the affected facilities. Abandonment or removal shall be at the sole cost
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and expense of Grantee. Any Facilities left in place shall be made inert by
disconnecting and sealing such Facilities, all in compliance with applicable
regulations and industry standards. The City’s consent shall not relieve Grantee
of the obligation and/or costs to subsequently remove or alter such Facilities in the
event the City reasonably determines that such removal or alteration is necessary
or advisable for the health and safety of the public, in which case Grantee shall
perform such work at no cost to the City. The obligations contained in this Section
shall survive the expiration, revocation, or termination of this Agreement.
Section 13. Encroachment Management
Grantee shall manage and inspect encroachments as defined by federal
and applicable state and local laws, rules, regulations and industry standards, as
now enacted or hereinafter amended, and any other future laws or regulations that
are applicable to Grantee, the Facilities, and business operations. Upon
notification to Grantee of planned construction by another within ten (10) feet of
Grantee’s pipeline, Grantee shall flag the precise location of its Facilities before
the construction commences, provide a representative to inspect the construction
when it commences, and periodically inspect thereafter to ensure that Grantee’s
pipeline is not damaged by the construction.
Section 14. Emergency Management, Leaks, Ruptures, and Emergency
Response.
A. Annually, upon the request of the City, Grantee shall meet with the
Valley Regional Fire Authority, the Auburn Police Department, and the City’s
Emergency Management Office to coordinate emergency management operations
and, at least once a year, at the request of the City, Grantee personnel shall
actively participate with the Valley Regional Fire Authority and the City in
emergency preparedness drills or planning sessions.
B. Grantee shall have in place, at all times during the term of this
Agreement, a system for remotely monitoring pressures and flows across the
Right-of-Way.
C. During the term of this Agreement, Grantee shall have a written
emergency response plan and procedure for locating leaks and ruptures and for
shutting down valves as rapidly as possible.
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D. Upon acceptance of this Agreement, Grantee shall provide the City
with a copy of its emergency response plans and procedures, including, but not
limited to, emergency rupture response.
E. Grantee's emergency plans and procedures shall designate
Grantee’s responsible local emergency response officials and a direct twenty four
(24) hour emergency contact number for the control center operator. grantee shall,
after being notified of an emergency, cooperate with the City and make every effort
to respond as soon as possible to protect the public's health, safety and welfare.
F. Grantee shall be solely responsible for all its necessary costs
incurred in responding to any leak, rupture or other release of petroleum products
from Grantee's Facilities, including, but not limited to, detection and removal of any
contaminants from air, earth or water, and all remediation costs.
G. If requested by the City in writing, Grantee shall provide a written
summary concerning any leak or rupture within thirty (30) days of the event,
including, but not limited to, the leak or rupture's date, time, amount, location,
response, remediation and other agencies Grantee has notified.
Section 15. Maintenance, Inspection, and Testing.
Grantee shall remain solely and separately liable for the function, testing,
maintenance, replacement and/or repair of the Facilities or other activities
permitted under this Agreement. Grantee shall operate, maintain, inspect, and test
the Facilities in full compliance with all applicable federal, state, and local laws,
rules, regulations, and industry standards, as now enacted or hereinafter
amended, and any other future laws or regulations that are applicable to Grantee,
the Facilities, and business operations.
Section 16. Indemnification and Hold Harmless
A. The Grantee shall defend, indemnify, and hold the harmless from
any and all costs, claims, injuries, damages, losses, suits, or liabilities of any nature
including attorneys’ fees arising out of or in connection with the Grantee’s
performance under this Franchise, except to the extent such costs, claims, injuries,
damages, losses, suits, or liabilities are caused by the sole negligence of the City.
B. The Grantee shall hold the City harmless from any liability arising out
of or in connection with any damage or loss to the Grantee Facilities caused by
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maintenance and/or construction work performed by, or on behalf of, the City within
any other City road, Right-of-Way, or other property, except to the extent any such
damage or loss is directly caused by the sole negligence of the City, or its agent
performing such work.
C. The Grantee acknowledges that neither the City nor any other public
agency with responsibility for firefighting, emergency rescue, public safety or
similar duties within the City has the capability to provide trench, close trench or
confined space rescue. The Grantee, and its agents, assigns, successors, or
contractors, shall make such arrangements as Grantee deems fit for the provision
of such services. The Grantee shall hold the City harmless from any liability arising
out of or in connection with any damage or loss to the Grantee for the City’s failure
or inability to provide such services, and, pursuant to the terms of Section 14(A),
the Grantee shall indemnify the City against any and all third-party costs, claims,
injuries, damages, losses, suits, or liabilities based on the City’s failure or inability
to provide such services.
D. Acceptance or inspection by the City of any work performed by the
Grantee shall not be grounds for avoidance of this section.
It is further specifically and expressly understood that the indemnification
provided herein constitutes the Grantee’s waiver of immunity under
Industrial Insurance, Title 51 RCW, solely for the purposes of this
indemnification. This waiver has been mutually negotiated by the parties.
The provisions of this section shall survive the expiration or termination of
this Agreement.
E. Grantee shall indemnify, defend and hold the City, its appointed and
elective officials, agents, officers, employees, and volunteers harmless from and
against any and all claims, demands, liability, loss, cost, damage or expense of
any nature whatsoever including all costs and attorney’s fees, made against the
City on account of violation of any environmental laws applicable to the Grantee
Facilities, or from any release of or hazardous substances on or from the Grantee
Facilities. This indemnity includes, but is not limited to: (a) liability for a
governmental agency’s costs of removal or remedial action for hazardous
substances; (b) damages to natural resources caused by hazardous substances,
including the reasonable costs of assessing such damages; (c) liability for any
other person’s costs of responding to hazardous substances; and (d) liability for
any costs of investigation, abatement, correction, cleanup, fines, penalties, or other
damages arising under any environmental laws.
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Section 17. Insurance
A. The Grantee shall procure and maintain, or cause its contractors to
maintain (in the case of Professional Liability), for the duration of this Franchise,
insurance against claims for injuries to persons or damage to property which may
arise from or in connection with the performance of the work hereunder by the
Grantee, its agents, representatives, or employees in the amounts and types set
forth below:
1. Automobile Liability insurance covering all owned, non-
owned, hired, and leased vehicles with a minimum combined single limit for bodily
injury and property damage of $2,000,000.00 (two million dollars) per accident.
Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a
substitute form providing equivalent liability coverage. If necessary, the policy shall
be endorsed to provide contractual liability coverage.
2. Commercial General Liability insurance with limits no less
than $100,000,000.00 (one hundred million dollars) each occurrence,
$100,000,000.00 (one hundred million dollars) general aggregate and a
$100,000,000.00 (one hundred million dollars) products-completed operations
aggregate limit. Coverage shall be written on ISO occurrence form CG 00 01 and
shall cover liability arising from premises, operations, independent contractors,
products-completed operations, stop gap liability, and personal injury and
advertising injury and liability assumed under an insured contract. There shall be
no endorsement or modification of the Commercial General Liability insurance for
liability arising from explosion, collapse, or underground property damage. To the
extent of the liabilities assumed by Grantee, the City shall be named as an
additional insured under the Grantee’s Commercial General Liability insurance
policy with respect to the work performed under this Franchise using ISO
Additional Insured Endorsement CG 20 10 10 01 and Additional Insured-
Completed Operations endorsement CG 20 37 10 01 or substitute endorsements
providing equivalent coverage.
3. Professional Liability insurance with limits no less than
$1,000,000.00 per claim for all professional engineers or surveyors contracted by
Grantee to perform services under this Franchise.
4. Workers’ Compensation coverage as required by the
Industrial Insurance laws of the State of Washington.
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B. The insurance policies are to contain, or be endorsed to contain, the
following provisions for Automobile Liability, Professional Liability (if applicable),
and Commercial General Liability insurance:
1. The Grantee’s insurance coverage shall be primary insurance
as respects the City. Any insurance, self-insurance, or insurance pool coverage
maintained by the City shall be in excess of the Grantee’s insurance and shall not
contribute with it.
2. To the extent of the liabilities assumed by Grantee, the
Grantee’s insurance shall be endorsed to state that coverage shall not be
cancelled by either party except after thirty (30) days’ prior written notice by
certified mail, return receipt requested, has been given to the City.
C. Acceptability of Insurers. Insurance is to be placed with insurers with
a current A.M. Best rating of not less than A:VII.
D. Verification of Coverage. Grantee shall furnish the City with
documentation of insurer’s A.M. Best rating and with original certificates and a
copy of amendatory endorsements, including but not necessarily limited to the
additional insured endorsement, evidencing the insurance requirements specified
herein before commencement of the work.
E. Grantee shall have the right to self-insure any or all of the above-
required insurance. Any such self-insurance is subject to approval by the City.
Furthermore, Grantee may utilize a combination of primary and excess insurance
policies to satisfy the requirements specified herein.
F. Grantee’s maintenance of insurance as required by this Franchise
shall not be construed to limit the liability of Grantee to the coverage provided by
such insurance, or otherwise limit the City’s recourse to any remedy to which the
City is otherwise entitled at law or in equity.
G. Pollution Legal Liability, to be in effect throughout the term of this
Franchise, with a limit not less than $50,000,000 per occurrence and in the
aggregate to the extent such coverage is reasonably available in the marketplace.
If the Pollution Legal Liability coverage is purchased on a “claims made” basis,
then the Grantee warrants continuation of coverage, either through policy renewals
or the purchase of an extended discovery period, if such extended coverage is
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available, for not less than three (3) years from the date of termination of this
Franchise and/or conversion from a “claims made” form to an “occurrence”
coverage form.
H. Any deductibles shall be the sole responsibility of the Grantee. The
insurance certificate required by this section shall contain a clause stating that
coverage shall apply separately to each insured against whom a claim is made or
suit is brought, except with respect to the aggregate limits of the insurer’s liability.
I. The indemnity and insurance provisions herein under Sections 16
and 17 shall survive the termination of this Franchise and shall continue for as long
as the Grantee’s Facilities shall remain in or on the Franchise Area or until the
parties execute a new Franchise agreement that modifies or terminates these
indemnity or insurance provisions.
Section 18. Performance Security
The Grantee shall provide the City with a financial guarantee in the amount of Fifty
Thousand Dollars ($50,000.00) running for, or which shall annually automatically
renew over, the term of this Franchise, in a form and substance acceptable to the
City. In the event Grantee shall fail to substantially comply with any one or more
of the provisions of this Franchise, then there shall be recovered jointly and
severally from the principal and any surety of such financial guarantee any
damages suffered by City as a result thereof, including but not limited to staff time,
material and equipment costs, compensation or indemnification of third parties,
and the cost of removal or abandonment of facilities hereinabove described.
Grantee specifically agrees that its failure to comply with the terms of Section 22
(Enforcement & Remedies) shall constitute damage to the City in the monetary
amount set forth therein. Such a financial guarantee shall not be construed to limit
the Grantee’s liability to the guarantee amount, or otherwise limit the City’s
recourse to any remedy to which the City is otherwise entitled at law or in equity.
Section 19. Relationship of the Parties
A. Nothing in this Agreement shall be construed to create or confer any
right or remedy upon any person(s) other than the City and Grantee. No action
may be commenced or prosecuted against any Party by any Third Party claiming
as a Third Party beneficiary of this Agreement. This Agreement shall not release
or discharge any obligation or liability of any Third Party to either Party.
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B. Nothing contained in this Agreement shall be construed to create an
association, trust, partnership, agency relationship, or joint venture or to impose a
trust, partnership, or agency duty, obligation or liability on or with regard to any
party. Each party shall be individually and severally liable for its own duties,
obligations, and liabilities under this Agreement.
C. Grantee accepts any privileges granted by the City in an "as is"
condition. Grantee agrees that the City has never made any representations,
implied or express warranties or guarantees as to the suitability, security or safety
of Grantee's location of facilities or the facilities themselves in public property or
rights of way or possible hazards or dangers arising from other uses of the public
rights of way or other public property by the City or the general public. Grantee
shall remain solely and separately liable for the function, testing, maintenance,
replacement and repair of the pipeline or other activities permitted under this
Agreement.
D. Except as specifically provided herein, this Agreement shall not
create any duty of the City or any of its officials, employees or agents and no
liability shall arise from any action or failure to act by the City or any of its officials,
employees or agents in the exercise of powers reserved to the City. Further, this
Agreement is not intended to acknowledge, create, imply or expand any duty or
liability of the City with respect to any function in the exercise of its police power or
for any other purpose. Any duty that may be deemed to be created in the City shall
be deemed a duty to the general public and not to any specific party, group or
entity.
Section 20. Successors and Assignees
A. All the provisions, conditions, regulations and requirements herein
contained shall be binding upon the successors, assigns of, and independent
contractors of the Grantee, and all rights and privileges, as well as all obligations
and liabilities of the Grantee shall inure to its successors, assignees and
contractors equally as if they were specifically mentioned herein wherever the
Grantee is mentioned.
B. This Franchise shall not be leased, assigned or otherwise alienated
without the express prior consent of the City by ordinance.
C. Grantee and any proposed assignee or transferee shall provide and
certify the following to the City not less than sixty (60) days prior to the proposed
date of transfer: (a) Complete information setting forth the nature, term and
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conditions of the proposed assignment or transfer; (b) All information required by
the City of an applicant for a Franchise with respect to the proposed assignee or
transferee; and, (c) An application fee which shall be set by the City, plus any other
costs actually and reasonably incurred by the City in processing, and investigating
the proposed assignment or transfer.
D. Prior to the City’s consideration of a request by Grantee to consent
to a Franchise assignment or transfer, the proposed Assignee or Transferee shall
file with the City a written promise to unconditionally accept all terms of the
Franchise, effective upon such transfer or assignment of the Franchise. The City
is under no obligation to undertake any investigation of the transferor’s state of
compliance and failure of the City to insist on full compliance prior to transfer does
not waive any right to insist on full compliance thereafter.
Section 21. Dispute Resolution
A. In the event of a dispute between the City and the Grantee arising by
reason of this Agreement, the dispute shall first be referred to the operational
officers or representatives designated by Grantor and Grantee to have oversight
over the administration of this Agreement. The officers or representatives shall
meet within thirty (30) calendar days of either party's request for a meeting,
whichever request is first, and the parties shall make a good faith effort to achieve
a resolution of the dispute.
B. If the parties fail to achieve a resolution of the dispute in this manner,
then the City and the Grantee hereby agree that the matter shall be referred to
mediation. The City and the Grantee shall mutually agree upon a mediator to
assist them in resolving their differences, and any expense incidental to mediation
shall be borne equally by the parties.
C. If either the City or the Grantee are dissatisfied with the outcome of
the mediation, that party may then pursue any available judicial remedies. This
Franchise shall be governed by and construed in accordance with the laws of the
State of Washington. In the event any suit, arbitration, or other proceeding is
instituted to enforce any term of this Agreement, the parties specifically understand
and agree that venue shall be exclusively in King County, Washington. The
prevailing party in any such action shall be entitled to its attorneys’ fees and costs
of suit, which shall be fixed by the judge hearing the case, and such fees shall be
included in the judgment.
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D. Subject to state and federal regulation, the Grantee shall be
permitted to continuously operate its Facilities during dispute resolution.
Section 22. Enforcement and Remedies
A. If the Grantee shall willfully violate, or materially breaches any of the
provisions of this Franchise through willful or unreasonable negligence, or should
it fail to heed or comply with any notice given to Grantee under the provisions of
this agreement, the City may, at its discretion, provide Grantee with written notice
to cure the breach within thirty (30) days of notification. If the breach cannot be
cured within thirty days, the Parties shall agree upon a reasonable period of time
for cure, and condition the extension of time on Grantee’s submittal of a plan to
cure the breach within the specified period, commencement of work within the
original thirty day cure period, and diligent prosecution of the work to completion.
If the breach is not cured within the specified time, or the Grantee does not comply
with the specified conditions, the City may, at its discretion, either (1) revoke the
Franchise with no further notification, or (2) claim damages as provided in ACC
20.10.340per day against the financial guarantee set forth in Section 18 for every
day after the expiration of the cure period that the breach is not cured.
B. Should the City determine that Grantee is acting beyond the scope
of permission granted herein for Grantee Facilities and Grantee Services, the City
shall initiate dispute resolution as set forth in Section 21, above. Should Grantee
fail to participate in dispute resolution in accordance with Section 21, above, or
should Grantee fail to comply with any order by a court addressing the dispute, the
City reserves the right to cancel this Franchise upon thirty days (30) written notice
to Grantee and require the Grantee to apply for, obtain, and comply with all
applicable City permits, franchises, or other City permissions for such actions, and
if the Grantee’s actions are not allowed under applicable federal and state or City
laws, to compel Grantee to cease such actions.
Section 23. Compliance with Laws and Regulations
A. In carrying out any authorized activities under the privileges granted
herein, Grantee shall meet accepted industry standards and comply with all
applicable laws, rules, and regulations, of any governmental entity with jurisdiction
over the pipeline and its operation (specifically including, but not limited to, all
applicable requirements, rules, regulations, and orders of FERC). This shall
include all applicable laws, rules and regulations existing at the Effective Date of
this Franchise or that may be subsequently enacted by any governmental entity
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with jurisdiction over Grantee or the pipeline(s) and the Facilities. Furthermore,
notwithstanding any other terms of this agreement appearing to the contrary, the
Grantee shall be subject to the police power of the City to adopt and enforce
general ordinances necessary to protect the safety and welfare of the general
public in relation to the rights granted in the Franchise Area.
B. Unless pre-empted by or in conflict with the provisions of any Federal or
State statute or regulation, the City reserves the right at any time to amend this
Franchise to conform to any hereafter enacted, amended, or adopted federal or
state statute or regulation relating to the public health, safety, and welfare, or
relating to roadway regulation, or a City Ordinance enacted pursuant to such
federal or state statute or regulation upon providing Grantee with thirty (30) days
written notice of its action setting forth the full text of the amendment and identifying
the statute, regulation, or ordinance requiring the amendment. Said amendment
shall become automatically effective upon expiration of the notice period unless,
before expiration of that period, the Grantee makes a written call for negotiations
over the terms of the amendment. If the parties do not reach agreement as to the
terms of the amendment within thirty (30) days of the call for negotiations, the City
may enact the proposed amendment, by incorporating the Grantee’s concerns to
the maximum extent the City deems possible.
C. The City may terminate this Franchise upon thirty (30) days written
notice to the Grantee, if the Grantee fails to comply with such amendment or
modification.
Section 24. License, Tax and Other Charges
This Franchise shall not exempt the Grantee from any future license, tax, or
charge which the City may hereinafter adopt pursuant to authority granted to it
under state or federal law for revenue or as reimbursement for use and occupancy
of the Franchise Area.
Section 25. Consequential Damages Limitation
Notwithstanding any other provision of this Agreement, in no event shall
either party be liable for any special, incidental, indirect, punitive, reliance,
consequential or similar damages.
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Section 26. Force Majeure
In the event that either Party is prevented or delayed in the performance of
any of its obligations under this Agreement by reason beyond its reasonable
control (a “Force Majeure Event”), then that Party’s performance shall be excused
during the Force Majeure Event. Force Majeure Events shall include, without
limitation, war; civil disturbance; flood, earthquake or other Act of God; laws,
regulations, rules or orders of any governmental agency; sabotage; strikes or
similar labor disputes involving personnel of a party, its contractors or a Third party;
or any failure or delay in the performance by the other party, or a Third Party who
is not an employee, agent or contractor of the Party claiming a Force Majeure
Event, in connection with this Agreement. Upon removal or termination of the
Force Majeure Event, the Party claiming a Force Majeure Event shall promptly
perform the affected obligations in an orderly and expedited manner under this
Agreement. The Parties shall use all commercially reasonable efforts to eliminate
or minimize any delay caused by a Force Majeure Event. The occurrence of a
Force Majeure Event shall not alter or impair any of the provisions concerning
liability and/or insurance as provided in this Agreement.
Section 27. Severability & Survival
In the event that a court or agency of competent jurisdiction declares a
material provision of this Franchise to be invalid, illegal or unenforceable, the
parties shall negotiate in good faith and agree, to the maximum extent practicable
in light of such determination, to such amendments or modifications as are
appropriate actions so as to give effect to the intentions of the parties as reflected
herein. If severance from this Franchise of the particular provision(s) determined
to be invalid, illegal or unenforceable will fundamentally impair the value of this
Franchise, either party may apply to a court of competent jurisdiction to reform or
reconstitute the Franchise so as to recapture the original intent of said particular
provision(s). All other provisions of the Franchise shall remain in effect at all times
during which negotiations or a judicial action remains pending.
All provisions, conditions and requirements of this Franchise that may be
reasonably construed to survive the termination or expiration of this Agreement
shall survive the termination or expiration of the Agreement. The Parties’
respective rights and interests under this Agreement shall inure to the benefit of
their respective successors and assigns.
Page 31 of 106
------------------------------
Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 23 of 27
Section 28. Titles
The section titles used herein are for reference only and should not be used
for the purpose of interpreting this Franchise.
Section 29. Implementation.
The parties each represent and warrant that they have full authority to enter
into and to perform this Franchise, that they are not in default or violation of any
permit, license, or similar requirement necessary to carry out the terms hereof, and
that no further approval, permit, license, certification, or action by a governmental
authority is required to execute and perform this Franchise, except such as may
be routinely required and obtained in the ordinary course of business.
Whenever this Franchise sets forth a time for any act to be performed, such
time shall be deemed to be of the essence, and any failure to perform within the
allotted time may be considered a material violation of this Franchise.
Section 30. Entire Agreement
This Franchise, as subject to the appropriate city, state, and federal laws,
codes, and regulations, and the attachments hereto represent the entire
understanding and agreement between the parties with respect to the subject
matter and it supersedes all prior oral negotiations between the parties. All
previous agreements between the parties pertaining to GRANTEE's operation of
its pipeline(s) and/or Facilities are hereby superseded.
Section 31. Effective date.
This Ordinance shall take effect and be in force five days from and after its
passage, approval and publication as provided by law.
INTRODUCED: __________________
PASSED: _______________________
APPROVED: ____________________
________________________________
NANCY BACKUS, MAYOR
Page 32 of 106
------------------------------
Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 24 of 27
ATTEST:
___________________________
Danielle E. Daskam, City Clerk
APPROVED AS TO FORM:
__________________________
Daniel B. Heid, City Attorney
Published: _________________
Page 33 of 106
......
.... • Olympic Pipe Line
Olympic Pipe Line Company, LLC. Franchise Agreement #17-22
KING
COUNTY
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Printed On: 1/18/2018 Map ID: 5962
Information sho wn is for general ref erenc e purposes
onlyanddoesnotn ecessarltyrepresent exact
geographic or cartographic data as mapped. The
CityofAuburnmakesno w arrantyasto itsaccurac y.
Exhibit A
Ordinance No. 6674
Franchise No. 17-22
January 17, 2018
Page 25 of 27
Page 34 of 106
------------------------------
Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 26 of 27
Exhibit “B”
Grantee Facilities and Grantee Services
A 14 inch diameter pipeline for the interstate transportation of petroleum
products.
No local service is provided.
Page 35 of 106
------------------------------
Draft Ordinance No. 6674
Franchise No. 17-22
February 20, 2018
Page 27 of 27
EXHIBIT “C”
STATEMENT OF ACCEPTANCE
________________________________, for itself, its successors and assigns,
hereby accepts and agrees to be bound by all lawful terms, conditions and
provisions of the Franchise attached hereto and incorporated herein by this
reference.
[Grantee]
By: Date:
Name:
Title:
STATE OF _______________)
)ss.
COUNTY OF _____________ )
On this ____ day of _______________, 2018, before me the undersigned, a
Notary Public in and for the State of __________, duly commissioned and sworn,
personally appeared, __________________ of _________, the company that
executed the within and foregoing instrument, and acknowledged the said
instrument to be the free and voluntary act and deed of said company, for the uses
and purposes therein mentioned, and on oath stated that he/she is authorized to
execute said instrument.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
on the date hereinabove set forth.
Signature
NOTARY PUBLIC in and for the State of
___________, residing at
MY COMMISSION EXPIRES:
Page 36 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
Lakehaven - Auburn Sewer Boundary Adjustment (5 Minutes)
(Gaub)
Date:
March 5, 2018
Department:
CD & PW
Attachments:
Area Map
Res olution No. 5353
Exhibit A (Amendment #2)
Budget Impact:
Current Budget: $0
Proposed Revision: $0
Revised Budget: $0
Administrativ e Recommendation:
For discussion only.
Background Summary:
The boundary between the City of Auburn (Auburn) and the Lakehaven Water and Sewer
District (Lakehaven) was most recently modified in 2005 by Amendment #1 to their interlocal
agreement which added parcels involved in the Jovita Heights development to Auburn’s
sewer service area (See the attached map). Sewer extensions that were built as part of that
development within 56th Avenue Southeast are adjacent to and able to serve 19 additional
parcels that, at the time, remained within Lakehaven’s service area. Lakehaven staff does not
forsee sewer service being available to those parcels in the near future and has agreed to
modify their sewer service area boundary to allow those parcels to be connected to the
existing Auburn public sewer main and to become City of Auburn sewer customers.
Resolution No. 5353 authorizes the Mayor to execute Amendment #2 to the interlocal
agreement with the Lakehaven Water and Sewer District for the purpose of modifying the
sewer service boundary between the City of Auburn and Lakehaven in order to encompass
those parcels.
Rev iewed by Council Committees:
Councilmember:Staff:Gaub
Meeting Date:March 12, 2018 Item Number:
Page 37 of 106
0.3
NAD_1983_StatePlane_Washington_North_FIPS_4601_Feet
Miles0.30.10
Auburn-Lakehaven Sewer Service Area Modification 3/5/2018Printed Date:
Map Created by City of Auburn eGIS
Imagery Date: May 2015
Information shown is for general reference
purposes only and does not necessarily
represent exact geographic or cartographic
data as mapped. The City of Auburn makes
no warranty as to its accuracy.
Page 38 of 106
-----------------------------------------
Resolution No. 5353
03/05/18
Page 1
RESOLUTION NO. 5353
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
AUBURN, WASHINGTON, AUTHORIZING THE MAYOR TO
EXECUTE AN AMENDMENT TO THE INTERLOCAL AGREEMENT
WITH THE LAKEHAVEN WATER AND SEWER DISTRICT FOR
THE PURPOSE OF MODIFYING THE SEWER DISTRICT’S
SANITARY SEWER SERVICE AREA.
WHEREAS, pursuant to RCW 35.A.11.040, Auburn has the legal authority
to exercise its powers and perform any of its functions as set forth in RCW 39.34;
and
WHEREAS, in January 2004 the Commissioners of the Lakehaven Utility
District adopted Resolution No. 2004-1006 authorizing the General Manager to
execute an interlocal agreement with Auburn, which agreement was
subsequently signed by the City of Auburn as authorized under Auburn
Resolution No. 3651; and
WHEREAS, in March 2005 the Commissioners of the Lakehaven Utility
District adopted Resolution No. 2005-1038 authorizing the General Manager to
execute an amendment to the interlocal agreement with Auburn, which
amendment subsequently signed by the City of Auburn as authorized under
Auburn Resolution No. 3824; and
WHEREAS, the parties recognize the responsibility of public sanitary
sewer utilities to provide efficient and reliable service to their customers at
reasonable cost; and
Page 39 of 106
-----------------------------------------
Resolution No. 5353
03/05/18
Page 2
WHEREAS, portions of the Auburn sanitary sewer system have been
sized with sufficient wastewater conveyance capacity and are situated so as to
be capable of affording sewer service to a number of properties that lie within the
Lakehaven Sanitary Sewer Service Area and adjacent to Auburn’s Sanitary
Sewer Service Area; and
WHEREAS, Auburn has evaluated sanitary sewer service issues relative
to the adjacent properties and determined that it is feasible for Auburn to provide
sanitary sewer service to those properties; and
WHEREAS, Lakehaven has evaluated the request and determined that
Lakehaven can transfer to Auburn that portion of its Sanitary Sewer Service Area
adjacent to the City of Auburn’s infrastructure so that Auburn can provide sanitary
sewer service to those properties.
NOW, THEREFORE, THE COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, RESOLVES as follows:
Section 1. The Mayor is hereby authorized to execute an
amendment to the Interlocal Agreement with Lakehaven Utility District, in
substantial conformity with the agreement attached hereto, marked as Exhibit A
and incorporated herein by this reference.
Section 2. The Mayor is hereby authorized to implement such
administrative procedures as may be necessary to carry out the directions of
this legislation.
Page 40 of 106
-----------------------------------------
Resolution No. 5353
03/05/18
Page 3
Section 3. This Resolution shall take effect and be in force upon
passage and signatures thereon.
DATED and SIGNED on this ____ day of _________________, 2018.
CITY OF AUBURN
______________________________
NANCY BACKUS, MAYOR
ATTEST:
_________________________
Danielle E. Daskam, City Clerk
APPROVED AS TO FORM:
_________________________
Daniel B. Heid, City Attorney
Page 41 of 106
EXHIBIT A TO RESOLUTION 5353
AMENDMENT NO. 2
TO THE LAKEHAVEN WATER AND SEWER DISTRICT AND CITY OF AUBURN
INTERLOCAL AGREEMENT ESTABLISHING
SANITARY SEWER SERVICE BOUNDARIES
Page 42 of 106
-------------------------------------------------------------------
Amendment No. 2 to the Lakehaven Water and Sewer District
And the City of Auburn Interlocal Agreement
Establishing Sanitary Sewer Service Boundaries
AMENDMENT NO. 2
TO THE LAKEHAVEN WATER AND SEWER DISTRICT AND CITY OF AUBURN
INTERLOCAL AGREEMENT ESTABLISHING
SANITARY SEWER SERVICE BOUNDARIES
THIS AGREEMENT, made and entered into this ______ day of _______________2017,
by and between LAKEHAVEN WATER AND SEWER DISTRICT, a Washington municipal
corporation (hereinafter referred to as "Lakehaven"), and the CITY OF AUBURN, a
Washington municipal corporation, (hereinafter referred to as "Auburn"), both being duly
organized and existing under and by virtue of the laws of the State of Washington, as an
amendment to the lnterlocal Agreement dated February 2, 2004, between the parties and
executed on the 8th day of January, 2004, and the 20th day of January, 2004, respectively
(hereinafter referred to as "Original Agreement") as amended by Amendment No. 1 to
that agreement, dated February 22, 2005, between the parties and executed on the 10th
day of March, and the 22nd day of February, 2005, respectively.
WITNESSETH:
WHEREAS, in January 2004 the Commissioners of the Lakehaven Water and
Sewer District adopted Resolution No. 2004-1006 authorizing the General Manager to
execute an interlocal agreement with Auburn, which agreement was subsequently signed
by the City of Auburn as authorized under Auburn Resolution No. 3651; and
WHEREAS, in March 2005 the Commissioners of the Lakehaven Water and Sewer
District adopted Resolution No. 2005-1038 authorizing the General Manager to execute
an amendment to the interlocal agreement with Auburn, which amendment subsequently
signed by the City of Auburn as authorized under Auburn Resolution No. 3824; and
WHEREAS, the parties recognize the responsibility of public sanitary sewer utilities
to provide efficient and reliable service to their customers at reasonable cost; and
WHEREAS, portions of the Auburn sanitary sewer system have been sized with
sufficient wastewater conveyance capacity and are situated so as to be capable of
affording sewer service to a number of properties that lie within the Lakehaven Sanitary
Sewer Service Area and adjacent to Auburn’s Sanitary Sewer Service Area; and
WHEREAS, Auburn has evaluated sanitary sewer service issues relative to the
adjacent properties and determined that it is feasible for Auburn to provide sanitary sewer
service to those properties; and
WHEREAS, Lakehaven has evaluated the request and determined that
Lakehaven can transfer to Auburn that portion of its Sanitary Sewer Service Area adjacent
to the City of Auburn’s infrastructure so that Auburn can provide sanitary sewer service
to those properties.
Page 43 of 106
-------------------------------------------------------------------
Amendment No. 2 to the Lakehaven Water and Sewer District
And the City of Auburn Interlocal Agreement
Establishing Sanitary Sewer Service Boundaries
NOW, THEREFORE in consideration of their mutual covenants, conditions, and
promises, IT IS HEREBY AGREED by and between the parties hereto as follows:
ITEM ONE REVISION TO SERVICE AREA BOUNDARY
The parties have agreed to modify the mutual sewer service planning boundary as
established in the Original Agreement and modified by Amendment No. 1. The properties
depicted in Exhibit A and described in Exhibit B are hereby designated to be within the
City of Auburn’s sanitary sewer service area and no longer within the Lakehaven Water
and Sewer District’s sanitary sewer service area.
ITEM TWO REMAINING TERMS UNCHANGED:
That all other provisions of the Original Agreement as modified by Amendment No. 1 not
herein amended shall remain in full force and effect.
IN WITNESS WHEREOF the parties hereto have executed this agreement as of the day
and year first below written.
LAKEHAVEN WATER AND SEWER DISTRICT
Approved by Resolution No. _____________ of the Lakehaven Water and Sewer District,
Federal Way, Washington, at its regular meeting held on the ________ day of
_____________, 2017.
By:
_________________________
Approved as to Form:
_________________________
CITY OF AUBURN
Approved by Resolution No. ________ of the City of Auburn, Washington, at its regular
meeting held on the _____ day of ________________, 2017.
Page 44 of 106
-------------------------------------------------------------------
Amendment No. 2 to the Lakehaven Water and Sewer District
And the City of Auburn Interlocal Agreement
Establishing Sanitary Sewer Service Boundaries
By:
_________________________
Attest: Approved as to form:
_________________________ _________________________
Page 45 of 106
-------------------------------------------------------------------
Amendment No. 2 to the Lakehaven Water and Sewer District
And the City of Auburn Interlocal Agreement
Establishing Sanitary Sewer Service Boundaries
Page 46 of 106
-------------------------------------------------------------------
Amendment No. 2 to the Lakehaven Water and Sewer District
And the City of Auburn Interlocal Agreement
Establishing Sanitary Sewer Service Boundaries
Page 47 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
4th Quarter 2017 Financial Report (20 Minutes) (Coleman)
Date:
March 5, 2018
Department:
Finance
Attachments:
Q4 2017 Financial Report
Budget Impact:
Administrativ e 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 December 2017 status report based on financial data
available as of February 5, 2018 for the period ending December 31, 2017 and sales tax
information representing business activity that occurred through October 2017.
Rev iewed by Council Committees:
Councilmember:Staff:Coleman
Meeting Date:March 12, 2018 Item Number:
Page 48 of 106
Quarterly Financial Report Through Q4-2017
General Fund Summary Property TaxesSales TaxesOther TaxesIntergovernmental(Grants, etc.)DevelopmentService FeesCulture &RecreationOther Fees& ChargesOtherRevenuesPersonnelSupplies& ServicesIntergovernmentalOther ExpendituresRevenues Expenditures
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
MillionsYE Budget YE
Actuals
(Favorable)
YE
Actuals
(Unfavorable)
General Fund Revenues and Expenditures(Through December 2017) Council& MayorAdministrativeServicesCommunity &Human ServicesMunicipal Court& ProbationHumanResourcesFinanceCity AttorneyCommunityDevelopmentJail - SCOREPolicePublic WorksParks, Arts& RecreationStreetsNon-Departmental$0
$5
$10
$15
$20
$25
$30
MillionsYE Budget YE
Actuals
(Favorable)
YE
Actuals
(Unfavorable)
General Fund Expenditures by Department
(Through December 2017)
1 Page 49 of 106
Quarterly Financial Report Through Q4-2017 2
General Fund 2016
Summary of Sources and Uses Annual YE YE YE
Budget Budget Actual Actual Amount
Operating Revenues
Property Tax 6 20,652,000$ 20,652,000$ 20,837,874$ 17,932,830$ 185,874 0.9 %
Sales Tax 7-8 14,746,000 14,746,000 14,949,407 14,628,045 203,407 1.4 %
Sales Tax - Pierce County Parks 75,000 75,000 95,750 89,495 20,750 27.7 %
Sales Tax - Annexation Credit 2,032,100 2,032,100 2,085,949 2,006,028 53,849 2.6 %
Criminal Justice Sales Tax 1,889,400 1,889,400 2,038,296 1,968,679 148,896 7.9 %
Brokered Natural Gas Tax 351,800 351,800 176,067 223,900 (175,733)(50.0)%
City Utilities Tax 9-10 3,936,300 3,936,300 3,890,304 3,959,131 (45,996)(1.2)%
Admissions Tax 317,000 317,000 422,280 378,760 105,280 33.2 %
Electric Tax 9-10 3,560,000 3,560,000 3,694,954 3,525,357 134,954 3.8 %
Natural Gas Tax 9-10 1,001,200 1,001,200 1,072,751 946,959 71,551 7.1 %
Cable Franchise Fee 11 971,500 971,500 1,009,432 977,736 37,932 3.9 %
Cable Utility Tax - New 2017 12 1,000,000 1,000,000 801,150 - (198,850)(19.9)%
Cable Franchise Fee - Capital 66,200 66,200 66,428 66,315 228 0.3 %
Telephone Tax 9-10 1,451,800 1,451,800 1,379,949 1,494,354 (71,851)(4.9)%
Garbage Tax (external)9-10 120,000 120,000 129,831 124,007 9,831 8.2 %
Leasehold Excise Tax 40,000 40,000 203,034 204,446 163,034 407.6 %
Gambling Excise Tax 300,300 300,300 324,309 494,472 24,009 8.0 %
Taxes sub-total 52,510,600$ 52,510,600$ 53,177,765$ 49,020,516$ 667,165$ 1.3 %
Business License Fees 12-13 222,100$ 222,100$ 163,347$ 224,876$ (58,753)(26.5)%
Building Permits 14 1,575,000 1,575,000 1,191,974 2,008,970 (383,026)(24.3)%
Other Licenses & Permits 541,600 541,600 551,475 750,580 9,875 1.8 %
Intergovernmental (Grants, etc.)15 6,129,110 6,129,110 6,104,610 5,737,079 (24,500)(0.4)%
Charges for Services:16-18
General Government Services 16 60,700 60,700 72,710 76,218 12,010 19.8 %
Public Safety 16 875,700 875,700 887,535 638,440 11,835 1.4 %
Development Services Fees 17 1,007,600 1,007,600 906,687 1,046,249 (100,913)(10.0)%
Culture and Recreation 18 2,319,680 2,319,680 2,375,807 2,316,824 56,127 2.4 %
Fines and Penalties 19-20 876,100 876,100 882,255 905,921 6,155 0.7 %
Fees/Charges/Fines sub-total 13,607,590$ 13,607,590$ 13,136,398$ 13,705,158$ (471,192)$ (3.5)%
Interest and Investment Earnings 20-21 69,000$ 69,000$ 237,532$ 110,800$ 168,532 244.2 %
Rents and Leases 20-21 715,300 715,300 879,059 783,930 163,759 22.9 %
Contributions and Donations 20-21 35,000 35,000 47,926 32,435 12,926 36.9 %
Other Miscellaneous 20-21 232,500 232,500 308,578 286,520 76,078 32.7 %
Transfers In 79,000 79,000 79,000 217,482 0 0.0 %
Insurance Recoveries - Capital & Operating 25,000 25,000 134,103 83,737 109,103 436.4 %
Other Revenues sub-total 1,155,800$ 1,155,800$ 1,686,198$ 1,514,904$ 530,398$ 45.9 %
Total Operating Revenues 67,273,990$ 67,273,990$ 68,000,361$ 64,240,577$ 726,371$ 1.1 %
Operating Expenditures
Council & Mayor 1,240,618$ 1,240,618$ 1,136,527$ 1,065,395$ 104,091$ 8.4 %
Administration 1,640,533 1,640,533 1,434,930 1,197,355 205,603 12.5 %
Community & Human Services 1,103,040 1,103,040 1,076,539 872,023 26,501 2.4 %
Municipal Court & Probation 2,577,954 2,577,954 2,465,944 2,242,473 112,010 4.3 %
Human Resources 1,409,871 1,409,871 1,279,436 1,283,702 130,435 9.3 %
Finance 1,500,893 1,500,893 1,433,788 1,169,633 67,105 4.5 %
City Attorney 2,279,653 2,279,653 2,038,930 1,883,009 240,723 10.6 %
Community Development 4,803,783 4,803,783 4,225,865 4,109,092 577,918 12.0 %
Jail - SCORE 3,878,150 3,878,150 3,794,872 4,019,473 83,278 2.1 %
Police 26,897,517 26,897,517 24,947,225 23,430,625 1,950,292 7.3 %
Public Works 3,547,418 3,547,418 2,957,741 2,945,815 589,677 16.6 %
Parks, Arts & Recreation 12,240,387 12,240,387 12,030,393 11,322,293 209,994 1.7 %
Streets 3,798,094 3,798,094 3,677,312 3,209,370 120,782 3.2 %
Non-Departmental 6,264,415 6,264,415 4,327,753 3,934,038 1,936,662 30.9 %
Total Operating Expenditures 73,182,326$ 73,182,326$ 66,827,255$ 62,684,298$ 6,355,071$ 8.7 %
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
Page
Ref
2 Page 50 of 106
Quarterly Financial Report Through Q4-2017 3
Executive Summary
This Executive Summary provides an overview of the City’s overall financial position for the
fiscal period ending December 31, 2017, reflecting financial data available as of February 5,
2018.
General Fund:
In 2017, General Fund revenues totaled $68.0 million compared to a budget of $67.3 million,
and were $3.8 million higher than revenues collected during 2016. Some notable variances to
budget this year include:
• Property tax collections in 2017 totaled $20.8 million, which was 0.9% or $186,000
above budget expectations and exceeded 2016 collections by $2.9 million, or 16.2%.
This year-over-year increase in property tax collections was attributable to an increase
in new construction and the use of banked capacity. [page 6]
• General Fund retail sales tax revenues totaled $14.9 million, and exceeded budget by
1.4% or $203,000, and exceeded 2016 collections by $321,000 or 2.2%. The primary
area of significant increase in sales activity compared to 2016 collections was seen in
the automotive category. [pages 7-8]
• The other taxes category performed favorably to budget in 2017, with revenues totaling
$13.2 million compared to a budget of $13.1 million. Electric tax and admission tax
revenues collected in 2017 exceeded budget by $135,000 and $105,000, respectively.
In addition, leasehold excise taxes collected were $163,000 higher than budget.
These revenues were somewhat offset by unfavorable variances in brokered natural
gas tax revenues and telephone tax revenues of $176,000 and $72,000, respectively.
Cable utility tax revenues were $199,000 below budget through the fourth quarter,
although this is just a timing issue whereby Q4-2017 cable tax revenues in the amount
of $267,000 were not received until January 2018. [pages 9-12]
• Building permit revenue collected in 2017 totaled $1.2 million, compared to a budget
of $1.6 million. The volume of building permits issued in 2017 was 680, which
represents a 20.0% decline over the number of permits issued in 2016. In addition,
there was a 40.4% decline in the average valuation of the projects for which permits
have been issued compared to valuations in 2016. [page 14]
• Development services revenues collected in 2017 were $101,000, or 10.0%,
unfavorable to budget. This variance was predominately due to plan check revenues
not meeting budget expectations. [page 17]
Ending 2017 fund balances will not be finalized until approximately June 2017 pending final
year-end adjustments and certification by the State Auditor’s Office. Once the final ending 2017
fund balances are available, budgeted beginning 2018 fund balances will be reconciled and
adjusted accordingly.
General Fund expenditures in 2017 totaled $66.8 million compared to a budget of $73.2 million,
representing an 8.7% favorable variance to budget. All departments operated within their
allocated budget in 2017.
3 Page 51 of 106
Quarterly Financial Report Through Q4-2017 4
General Fund expenditures in 2017 were $4.1 million, or 6.6% higher than in 2016. Salary and
benefit costs increased by $2.5 million, or 7.2%, compared to 2016. This year-over-year
increase was due primarily to an increase in Council approved FTEs (Full Time Equivalents)
and increased costs associated with healthcare and pension benefits. In addition, interfund
charges for services increased $850,000, or 11.0%, compared to 2016. These increases were
mostly seen in equipment repair and replacement expenditures for fleet vehicles.
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. In 2017,
Arterial Street Fund revenues totaled $8.4 million as compared to collections of $4.2 million in
2016, while expenditures totaled $9.7 million as compared to expenditures of $6.8 million last
year. [pages 24–25]
Local Street Fund revenues of $2.8 million exceeded budget expectations through year-end by
$905,000 or 47.4%, due to higher than anticipated sales tax revenues from local construction
projects; last year’s collections through year-end totaled $2.5 million. Expenditures were $2.2
million as compared with $2.1 million in 2016. [pages 26–27]
Lastly, the Arterial Street Preservation Fund revenues totaled $3.9 million in 2017 as
compared to $2.1 million in 2016, while expenditures totaled $5.0 million versus $1.1 million in
2016. 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 28–29]
$67.3 M
$73.2 M
$68.0 M
$66.8 M
$0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0
Revenues
Expenditures
$ Millions
General Fund
Revenues vs. Expenditures Through Q4-2017 2017 YE Actual
2017 YE Budget
4 Page 52 of 106
Quarterly Financial Report Through Q4-2017 5
Enterprise Funds:
The City’s seven enterprise funds account for operations with revenues primarily provided from
user fees, charges or contracts for services.
In 2017, the Water Fund experienced operating income before depreciation of $5.7 million
compared to $4.7 million in 2016. This increase is largely due to lower expenditures in 2017
compared to 2016, during which the City purchased water from the City of Tacoma. The
Sewer Fund ended the year with operating income before depreciation of $2.3 million versus
$2.1 million in 2016. The Sewer-Metro Fund operating revenues exceeded expenditures by
$421,000 as compared to $297,000 in 2016. The Stormwater Fund ended the year with
operating income before depreciation of $2.6 million compared to $2.7 million in 2016. The
Solid Waste Fund ended 2017 with operating income of $612,000, compared to $889,000 in
2016. [pages 31–34]
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 2017 totaled $133.8 million, and compares
to $128.0 million at the end of 2016. [attachment]
5 Page 53 of 106
Quarterly Financial Report Through Q4-2017 6
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 in 2017 totaled $20.8 and were $186,000, or 0.9%, above budget
expectations. Property tax revenue collected in 2017 exceeded collections in 2016 by $2.9
million, or 16.2%. This year-over-year increase in property tax collections is attributable to an
increase in new construction and the use of banked capacity. 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.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
$22.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsProperty Taxes
2017 Budget
2017 YE Actual
2016 Actual
$12.9
$14.4
$15.8 $17.2 $17.9
$20.8
$0.0
$5.0
$10.0
$15.0
$20.0
$25.0
2012 2013 2014 2015 2016 2017MillionsProperty Tax Revenue
Actuals
6 Page 54 of 106
Quarterly Financial Report Through Q4-2017 7
Sales tax collections in 2017 totaled $17.6 million, of which $14.9 million was distributed to the
General Fund and $2.6 million was distributed to the Local Street Fund (SOS) program as per
financial policy. Total sales tax revenue distributions to the General Fund in 2017 exceeded
budget expectations by $203,000, or 1.4%.
$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)
2017 Budget
2017 YE Actual
2016 Actual
$13.0 $12.4
$13.8 $14.5 $14.6 $14.9
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
2012 2013 2014 2015 2016 2017MillionsSales and Use Tax
General Fund Only
Actuals
7 Page 55 of 106
Quarterly Financial Report Through Q4-2017 8
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 in 2017 totaled $17.6 million and exceeded prior year
collections by $661,000, or 3.9%. The business sectors showing the largest increase in
revenues compared to last year were the construction, automotive, and wholesale trade
categories.
Sales tax revenue on construction is transferred to the Local Street Fund (Fund 103) for local
street repair and maintenance. In 2017, this totaled $2.6 million, which was $340,000 more
than what was collected last year, and exceeds the 2017 budget by $882,000.
2016 2017
Component Group Actual Actual Amount
Construction 2,292,280$ 2,632,107$ 339,827$ 14.8 %
Manufacturing 761,091 677,596 (83,495)(11.0)%
Transportation & Warehousing 99,439 88,502 (10,937)(11.0)%
Wholesale Trade 1,264,976 1,363,083 98,107 7.8 %
Automotive 3,659,497 3,971,531 312,034 8.5 %
Retail Trade 4,852,592 4,871,580 18,988 0.4 %
Services 3,926,336 3,911,740 (14,596)(0.4)%
Miscellaneous 64,114 65,374 1,260 2.0 %
YE Total 16,920,325$ 17,581,514$ 661,189$ 3.9 %
Comparison of Sales Tax Collections by SIC Group
Through December
Change from 2016
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
2017 Budget
2017 YE Actual
2016 Actual
8 Page 56 of 106
Quarterly Financial Report Through Q4-2017 9
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 in 2017 totaled $10.2 million and exceeded budget expectations by $98,000, or 1.0%.
$1.9 $1.8
$2.3 $2.3
$2.6
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2012 2013 2014 2015 2016 2017MillionsSales Tax On Construction Revenue
Actuals
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsUtility Tax
2017 Budget
2017 YE Actual
2016 Actual
9 Page 57 of 106
Quarterly Financial Report Through Q4-2017 10
Favorable variances in electric and natural gas revenues offset lower collections in telephone
utility taxes and City utility taxes.
2016 2017 2017
Utility Tax Type YE Actual YE Budget YE Actual Amount Amount
City Interfund Utility Taxes 3,959,131$ 3,936,300$ 3,890,304$ $ (68,827)(1.7)% $ (45,996)(1.2)%
Electric 3,525,357 3,560,000 3,694,954 169,596 4.8 %134,954 3.8 %
Natural Gas 946,959 1,001,200 1,072,751 125,791 13.3 %71,551 7.1 %
Telephone 1,494,354 1,451,800 1,379,949 (114,405) (7.7)%(71,851) (4.9)%
Solid Waste (external)124,007 120,000 129,831 5,824 4.7 %9,831 8.2 %
YE Total 10,049,809$ 10,069,300$ 10,167,789$ $ 117,980 1.2 % $ 98,489 1.0 %
Through December 2017
Utility Tax by Type
2017 vs. 2016 Actual 2017 vs. Budget
Percentage Percentage
$9.2 $9.5 $10.0 $9.7 $10.0 $10.2
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2012 2013 2014 2015 2016 2017MillionsUtility Tax Revenues
Actuals
10 Page 58 of 106
Quarterly Financial Report Through Q4-2017 11
Cable Franchise Fees, which are collected quarterly, totaled $1.0 million and exceeded budget
by $38,000, or 3.9%.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
$1,100
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Franchise Fee
2017 Budget
2017 YE Actual
2016 Actual
$0.8 $0.9 $0.9 $0.9
$1.0 $1.0
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
2012 2013 2014 2015 2016 2017MillionsCable Franchise Fee
Actuals
11 Page 59 of 106
Quarterly Financial Report Through Q4-2017 12
Cable Utility Tax (New in 2017). In September 2016, City Council approved Ordinance No.
6620, which 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. Although this revenue stream appears to be unfavorable to budget through
the end of 2017, this is just a timing issue whereas the revenues generated for October through
December 2017 in the amount of $267,000 was collected in January 2018. Including the
payment received in January 2018, the distributions totaled $1,068,000 and exceeded the
budget expectation of $1,000,000 by 6.8%.
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 in 2017 totaled $163,000, compared to a budget of
$222,000. While this appears to be an unfavorable variance to budget, it is actually a timing
issue where the majority of business owners paid their 2018 business license fees in January
2018.
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
1st Quarter 2nd Quarter 3rd Quarter 4th QuarterThousandsCable Utility Tax -New 2017
2017 Budget
2017 YE Actual
2016 Actual
12 Page 60 of 106
Quarterly Financial Report Through Q4-2017 13
$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
2017 Budget
2017 YE Actual
2016 Actual
$232 $236
$171
$282
$225
$163
$0
$50
$100
$150
$200
$250
$300
$350
2012 2013 2014 2015 2016 2017ThousandsBusiness License Revenues
Actuals
13 Page 61 of 106
Quarterly Financial Report Through Q4-2017 14
Building permit revenues collected in 2017 totaled $1.2 million compared to 2016 collections of
$2.0 million. This year-over-year decline in building permit revenues is due to the combination
of a lower number of building permits issued and a decrease in the average valuation of each
project. Total permits sold in 2017 was 680 as compared with 850 sold in 2016, representing a
20.0% reduction. In addition, the average construction value per permit issued declined by
40.4%, which indicates that there weren’t as many large projects permitted in 2017. Of the
permit revenues collected in 2017, 39% was attributable to commercial projects and the
remaining 61% was predominately single family housing permits.
Major projects contributing to permit revenues in 2017 include Boeing, North Auburn Logistics,
the Holiday Inn Express, LA Fitness, and Dave & Buster’s as well as numerous single family
housing permits – most notably in Canyon Creek and Calla Crest.
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
$2.2
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsBuilding Permits
2017 Budget
2017 YE Actual
2016 Actual
$1.7
$2.1
$1.5
$1.2
$2.0
$1.2
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
2012 2013 2014 2015 2016 2017MillionsBuilding Permits
Actuals
14 Page 62 of 106
Quarterly Financial Report Through Q4-2017 15
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 in 2017 totaled $6.1 million and ended the year
$25,000, or 0.4%, under budget. Favorable variances in revenues collected from the
Muckleshoot Casino services reimbursement and Criminal Justice High Crime revenues were
somewhat offset by reduced revenues collected in Federal grants. Federal grant
reimbursements in 2017 were significantly lower than budget expectations primarily due to the
delayed hiring of the police officers who are to be partially funded by the Federal COPS
(Community Oriented Policing Services) grant.
2016 2017 2017
Revenue YE Actual YE Budget YE Actual Amount Amount
Federal Grants 294,006$ 630,715$ 241,952$ $ (52,055)(17.7)% $ (388,763)(61.6)%
State Grants 162,692 184,295 189,238 26,546 16.3 %4,943 2.7 %
Interlocal Grants 45,973 107,000 96,322 50,349 0.0 %(10,678) (10.0)%
Muckleshoot Casino Services 668,629 650,000 855,302 186,673 27.9 %205,302 31.6 %
Intergovernmental Service 17,304 0 0 (17,304) (100.0)%0 N/A %
State Shared Revenues:
Streamlined Sales Tax 1,924,487 1,907,700 1,908,971 (15,515) (0.8)%1,271 0.1 %
Motor Vehicle Fuel Tax 1,121,112 1,221,400 1,153,061 31,949 2.8 %(68,339) (5.6)%
Criminal Justice - High Crime 285,202 192,000 391,027 105,825 37.1 %199,027 103.7 %
Criminal Justice - Population 20,807 24,000 21,787 979 4.7 %(2,213) (9.2)%
Criminal Justice - Special Prog.75,865 80,000 79,077 3,212 4.2 %(923) (1.2)%
Marijuana Revenues 29,420 34,000 56,069 26,648 90.6 %22,069 64.9 %
State DUI 11,779 12,000 11,678 (100) (0.9)%(322) (2.7)%
Fire Insurance Tax 76,569 75,000 78,078 1,509 2.0 %3,078 4.1 %
Liquor Excise 352,467 360,000 371,440 18,973 5.4 %11,440 3.2 %
Liquor Profit 650,766 651,000 650,607 (159) (0.0)%(393) (0.1)%
Total State Shared:4,548,474 4,557,100 4,721,796 173,321 3.8 %164,696 3.6 %
YE Total 5,737,079$ 6,129,110$ 6,104,610$ 367,530$ 6.4 %(24,500)$ (0.4)%
Through December 2017
Intergovernmental Revenues (Grants, Entitlements & Services)
2017 vs. 2016 Actual 2017 vs. Budget
% Change % Change
$5.7
$4.8 $5.1 $5.3 $5.7 $6.1
$0
$1
$2
$3
$4
$5
$6
$7
$8
2012 2013 2014 2015 2016 2017MillionsIntergovernmental Revenues
(Grants, Entitlements & Services)
Actuals
15 Page 63 of 106
Quarterly Financial Report Through Q4-2017 16
Charges for Services consist of general governmental service charges, public safety charges,
development service fees, and cultural & recreation fees. Overall, charges for services
collected in 2017 totaled $4.2 million, which was $165,000 higher than revenues collected in
2016, and $21,000, or 0.5%, unfavorable to budget in 2017.
General governmental charges for service collected in 2017 totaled $73,000 compared to a
budget of $61,000. The favorability to budget was mostly seen in passport services.
Public safety revenues consist of revenues generated for police officer extra duty security
services – where officers are contracted for and reimbursement is made by the hiring contractor
– as well as revenues generated for reimbursement from the Muckleshoot Indian Tribe (MIT) for
a full-time dedicated police officer and associated expenditures. These revenues also include
monies collected from the Auburn School District and the Criminal Justice Training Commission
(CJTC) for services rendered. Public safety revenues collected in 2017 totaled $888,000
compared to a budget of $876,000. Revenues collected in 2017 were $249,000 or 39.0%
higher than the revenues collected in 2016, predominately due to the reimbursement for
services from the CJTC for a full time police officer who is on loan from the City, as well as
increased revenues collected for extra duty security services due to a 27% increase in billable
hours.
2016 2017 2017
Revenue YE Actual YE Budget YE Actual Amount Amount
General Government 76,218$ 60,700$ 72,710$ $ (3,508)(4.6)% $ 12,010 19.8 %
Public Safety 638,440 875,700 887,535 249,094 39.0 %11,835 1.4 %
Development Services 1,046,249 1,007,600 906,687 (139,563) (13.3)%(100,913) (10.0)%
Culture & Recreation 2,316,824 2,319,680 2,375,807 58,983 2.5 %56,127 2.4 %
YE Total 4,077,733$ 4,263,680$ 4,242,738$ 165,005$ 4.0 % $ (20,942)(0.5)%
Through December 2017
Charges for Services by Type
2017 vs. 2016 Actual 2017 vs. Budget
Percentage Percentage
$3.6 $3.3
$3.9 $4.3 $4.1 $4.2
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
2012 2013 2014 2015 2016 2017MillionsCharges for Services
Actuals
16 Page 64 of 106
Quarterly Financial Report Through Q4-2017 17
Development services fee collections, which primarily consist of plan check fees, totaled
$907,000 and ended the year $101,000, or 10.0%, lower than budget expectations. Total plan
check fees collected in 2017 totaled $664,000, compared to a budget of $800,000 and
compares with $759,000 collected in 2016. Plan check revenues collected in 2017 were from
numerous commercial and residential projects, including the Hudson Distribution Center, the
Auburn School District, Boeing, the Tru by Hilton hotel, as well as numerous housing plans
including Calla Crest and Hazelview. Of the $664,000 in plan check revenues collected in 2017,
55% was attributable to commercial projects in the City and the remaining 45% was
predominately single family housing projects.
$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
2017 Budget
2017 YE Actual
2016 Actual
Revenue decreased in
September 2017 due to a
$49K refund for Plan Check
fees that were originally
paid in April 2017.
$1.2
$1.1 $1.1
$1.4
$1.0
$0.9
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2012 2013 2014 2015 2016 2017MillionsDevelopment Service Fees
Actuals
17 Page 65 of 106
Quarterly Financial Report Through Q4-2017 18
Culture and recreation revenues collected in 2017 totaled $2.4 million, and exceeded budget by
$56,000, or 2.4%. Collections in 2017 increased by $59,000, or 2.5%, compared to collections
in 2016 primarily due to an increase in revenues collected for theater tickets sales and
increased revenues collected for recreational classes. The majority of the 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
2017 Budget
2017 YE Actual
2016 Actual
$2.0 $2.1 $2.2 $2.3 $2.3 $2.4
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2012 2013 2014 2015 2016 2017MillionsCulture & Recreation Revenues
Actuals
18 Page 66 of 106
Quarterly Financial Report Through Q4-2017 19
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 in 2017 totaled $882,000, compared to a budget
of $876,000. Revenues collected in 2017 were slightly lower than 2016 primarily due to
reduced collections in civil infraction penalties, criminal non-traffic fines, and non-court fines and
penalties.
2016 2017 2017
Month YE Actual YE Budget YE Actual Amount Amount
Civil Penalties 23,763$ 12,000$ 28,346$ $ 4,583 19.3 % $ 16,346 136.2 %
Civil Infraction Penalties 470,118 467,900 457,818 (12,300) (2.6)%(10,082) (2.2)%
Redflex Photo Enforcement 15,433 0 10,773 (4,660) (30.2)%10,773 N/A %
Parking Infractions 130,567 145,300 148,260 17,693 13.6 %2,960 2.0 %
Criminal Traffic Misdemeanor 58,885 51,000 73,578 14,692 25.0 %22,578 44.3 %
Criminal Non-Traffic Fines 47,125 43,500 31,077 (16,048) (34.1)%(12,423) (28.6)%
Criminal Costs 60,366 42,000 46,394 (13,972) (23.1)%4,394 10.5 %
Non-Court Fines & Penalties 99,662 114,400 86,009 (13,653) (13.7)%(28,391) (24.8)%
YE Total 905,921$ 876,100$ 882,255$ $ (23,667)(2.6)% $ 6,155 0.7 %
Through December 2017
Fines & Penalties by Type
2017 vs. 2016 Actual 2017 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
2017 Budget
2017 YE Actual
2016 Actual
19 Page 67 of 106
Quarterly Financial Report Through Q4-2017 20
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 in 2017 totaled $1.5 million and exceeded
budget by $421,000, or 40.1%, largely due to higher interest earnings and rents and leases.
Interest and investments revenues collected in 2017 were $169,000 higher than budget
expectations primarily due to the fact that the State Investment Pool interest rate was
substantially higher in 2017 than 2016.
Rents and leases revenues in 2017 exceeded budget expectations by $164,000 primarily due to
higher than anticipated revenues from facilities rentals and parking space rentals. Facility rental
revenue realized a $42,000 year-over-year increase due primarily to the opening of the new
Community and Events Center in mid-2016, therefore only generating a half-year’s revenue in
2016 versus a full year in 2017. In 2017, additional inventory of parking spaces were added;
therefore, parking permit revenues collected in 2017 were $22,000 higher than collections in
2016.
Lastly, other miscellaneous revenues exceeded budget expectations by $76,000 predominately
due to unbudgeted code violation revenues collected, which amounted to $57,000 in 2017.
$1.6
$1.4
$1.2
$0.9 $0.9 $0.9
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
$1.8
$2.0
2012 2013 2014 2015 2016 2017MillionsFines & Penalties
Actuals
2016 2017 2017
Month YE Actual YE Budget YE Actual Amount Amount
Interest & Investments 110,800$ 69,000$ 237,532$ 126,732$ 114.4 %168,532$ 244.2 %
Rents & Leases 783,930 715,300 879,059 95,129 12.1 %163,759 22.9 %
Contributions & Donations 32,435 35,000 47,926 15,491 47.8 %12,926 36.9 %
Other Miscellaneous Revenue 286,520 232,500 308,578 22,058 7.7 %76,078 32.7 %
YE Total 1,213,685$ 1,051,800$ 1,473,095$ 259,410$ 21.4 %421,295$ 40.1 %
Miscellaneous Revenues by Type
Through December 2017
2017 vs. 2016 2017 vs. Budget
Percentage Percentage
20 Page 68 of 106
Quarterly Financial Report Through Q4-2017 21
Real Estate Excise Tax (REET) revenue is receipted into the Capital Improvement Projects
Fund and is used for governmental capital projects. REET revenues collected in 2017 totaled
$3.6 million and exceeded budget expectations by $744,000, or 26.5%. Real estate sales
include the sale of both commercial properties and numerous single family residences.
Commercial sales in 2017 included the sale of multiple hotels, two auto dealerships, several
apartment complexes as well as several retail, industrial and warehouse properties. Real estate
excise tax receipts were down for a second consecutive year from a high in 2015 that included
the sale of several very large businesses including the Outlet Collection and the Lakeland Town
Center.
$0.8
$0.7
$1.0 $1.0
$1.2
$1.5
$0.0
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
$1.6
2012 2013 2014 2015 2016 2017MillionsMiscellaneous Revenues
Actuals
2016 2017 2017
Month Actual Budget Actual Amount Amount
Jan 339,594$ 192,600$ 224,044$ (115,550)$ (34.0)%31,444$ 16.3 %
Feb 286,943 166,800 249,683 (37,261) (13.0)%82,883 49.7 %
Mar 293,361 170,800 326,044 32,683 11.1 %155,244 90.9 %
Apr 574,925 254,200 234,480 (340,445) (59.2)%(19,720) (7.8)%
May 255,078 249,000 299,251 44,173 17.3 %50,251 20.2 %
Jun 329,081 317,200 353,807 24,727 7.5 %36,607 11.5 %
Jul 360,857 294,200 330,707 (30,150) (8.4)%36,507 12.4 %
Aug 673,012 221,000 325,936 (347,076) (51.6)%104,936 47.5 %
Sep 338,340 234,800 309,422 (28,918) (8.5)%74,622 31.8 %
Oct 249,714 226,300 286,675 36,961 14.8 %60,375 26.7 %
Nov 321,895 230,200 289,045 (32,850) (10.2)%58,845 25.6 %
Dec 262,543 252,900 325,309 62,766 23.9 %72,409 28.6 %
YE Total 4,285,344$ 2,810,000$ 3,554,404$ (730,940)$ (17.1)%744,404$ 26.5 %
Real Estate Excise Tax Revenues
December 2017
Percentage
2017 vs. 2016 2017 vs. Budget
Percentage
21 Page 69 of 106
Quarterly Financial Report Through Q4-2017 22
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsReal Estate Excise Tax
2017 Budget
2017 YE Actual
2016 Actual
$1.8
$2.2 $2.5
$4.6 $4.3
$3.6
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0
2012 2013 2014 2015 2016 2017MillionsReal Estate Excise Tax Revenues
Actuals
22 Page 70 of 106
Quarterly Financial Report Through Q4-2017 23
Pet Licensing
In 2017, 4,378 pet licenses were sold, resulting in $114,265 in revenue. In 2016, 4,706 licenses
were sold, resulting in $128,680 in revenue.
0
500
1,000
1,500
2,000
2,500
$0
$2
$4
$6
$8
$10
$12
$14
$16
JanFebMarAprMayJunJulAugSepOctNovDecNumber of Licenses IssuedLicense Revenue( thousands )Pet Licensing Revenues vs Licenses Sold
2017 vs 2016
2016 License Revenue
2017 License Revenue
2016 Licenses Issued
2017 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
2017 vs 2016
2017 License Revenue
2017 Licenses Issued
2016 Licenses Issued
23 Page 71 of 106
Quarterly Financial Report Through Q4-2017 24
Street Funds
This section provides a financial overview of the City’s three street funds for the year ending
December 31, 2017. 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 December 31, 2017 there were 28 separate street
projects budgeted in this fund.
During 2017, revenues collected totaled $8.4 million as compared with collections of $4.2 million
in 2016. This variance is largely due to the timing of capital expenditures and their subsequent
reimbursement via federal grants. Total expenditures in 2017 were $9.7 million and compare to
$6.3 million spent in 2016. The increase from 2016 to 2017 is based on increased construction
activity as budgeted multi-year projects move from the design phase to the construction phase,
where most expenditures occur.
Fund 102 - Arterial Street 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
Federal Grants 7,054,082$ 7,054,082$ 2,991,037$ 580,492$ (4,063,045)$ (57.6)%
State Grants 2,995,210 2,995,210 2,339,312 1,193,710 (655,898) (21.9)%
Motor Vehicle Fuel and Multimodal Taxes 583,000 583,000 590,141 580,220 7,141 1.2 %
Developer Contributions 809,221 809,221 369,382 510,383 (439,839) (54.4)%
Miscellaneous Revenue 466,191 466,191 - 64,862 (466,191) (100.0)%
Other Governmental Agencies - - - - -
Public Works Trust Fund Loans - - - - -
Operating Transfer In 3,420,622 3,420,622 2,092,291 1,295,215 (1,328,331) (38.8)%
Investment Income 2,600 2,600 11,173 6,484 8,573 329.7 %
Total Revenues 15,330,926$ 15,330,926$ 8,393,335$ 4,231,365$ (6,937,591)$ (45.3)%
Expenditures
Salary and Benefits 285,000$ 285,000$ 618,410$ 490,836$ (333,410)$ (117.0)%
Capital Outlay 15,658,112 15,658,112 8,452,526 5,302,678 7,205,586 46.0 %
Subtotal - Capital Project Expenditures 15,943,112 15,943,112 9,070,936 5,793,514 6,872,176 43.1 %
Services and Charges 285,000 285,000 329,980 224,507 (44,980) (15.8)%
Interfund Payments for Services 76,681 76,681 76,680 74,556 1 0.0 %
Debt Service Principal and Interest 209,511 209,511 209,511 210,205 0 0.0 %
Operating Transfer Out 15,046 15,046 7,015 - 8,031 53.4
Total Expenditures 16,529,350$ 16,529,350$ 9,694,122$ 6,302,783$ 6,835,228$ 41.4 %
Net Change in Fund Balance (1,198,424)$ (1,198,424)$ (1,300,786)$ (2,071,418)$ (102,362)$ 8.5 %
Beg. Fund Balance, January 2017 2,655,913$
Net Change in Fund Balance, December 2017 (1,300,786)
Ending Fund Balance, December 2017 1,355,127$
2017 Budgeted Ending Fund Balance 1,457,489$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
24 Page 72 of 106
Quarterly Financial Report Through Q4-2017 25
This table presents the status of the projects with the most significant impacts on this fund:
Notes:
• W. Main St. Multimodal Corridor & ITS Improvements is complete.
• S 277th Street Corridor Improvements is nearing completion but will continue into 2018.
• AWS Corridor Safety Improvements is nearing completion but will continue into 2018.
• Of the remaining projects in this fund: nine are in construction, two are partnership projects with other
entities that were delayed until 2018 due to the construction schedule of the other agencies, and one is a
grant-funded project that was delayed by Puget Sound Regional Council until 2019. These represent
approximately $4.9M of the remaining projects.
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 102 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$15.9M
2017 YE Budget:
$5.8M
2017 YE Budget:
$9.1M
Name Annual Budget YE Actual Remaining
W. Main St Multimodal Corridor & ITS Imp $1.6M $1.3M $0.2M
S. 277th St Corridor Improvements $4.3M $3.9M $0.5M
AWS Corridor Safety Imp. -- Muckleshoot Pl.$3.3M $2.6M $0.7M
All Other Projects (25 Others Budgeted)$6.8M $1.3M $5.5M
Total $15.9M $9.1M $6.9M
*Components may not sum to total due to rounding.
Fund 102 - Arterial Street
Capital Projects Status *
25 Page 73 of 106
Quarterly Financial Report Through Q4-2017 26
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. During 2017 the revenues in this fund totaled $2.8
million, exceeding budget expectations by $905,000 due to higher than anticipated sales tax
revenues from local construction projects. This also compares to collections of $2.5 million in
2016. Total expenditures in 2017 were $2.2 million and compare to expenditures of $2.1 million
in 2016. Historically, well over half of this fund’s annual expenditures occur in the final four
months of each year due to the weather sensitivity of pavement construction (this work needs to
be done primarily in the summer and early fall). Highlighted in the table below and shown in the
following graph are the fund’s total expenditures related to capital projects.
Fund 103 - Local Street Fund 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
Sales Tax on Construction 1,750,000$ 1,750,000$ 2,632,107$ 2,292,280$ 882,107$ 50.4 %
Operating Transfer In 150,000 150,000 150,000$ 150,000 - 0.0 %
Interest Earnings 9,100 9,100 32,475$ 11,532 23,375 256.9 %
Total Revenues 1,909,100$ 1,909,100$ 2,814,582$ 2,453,812$ 905,482$ 47.4 %
Expenditures
Salary and Benefits 148,568$ 148,568$ 124,325$ 122,298$ 24,243$ 16.3 %
Capital Project Expenditures 2,933,969 2,933,969 2,050,006 1,974,528 883,963 30.1 %
Services and Charges 25,680 25,680 23,703 708 1,977 7.7 %
Interfund Payments for Services 11,925 11,925 11,916 12,240 9 0.1 %
Operating Transfer Out 11,051 11,051 5,825 - 5,226 47.3
Total Expenditures 3,131,193$ 3,131,193$ 2,215,775$ 2,109,775$ 915,418$ 29.2 %
Net Change in Fund Balance (1,222,093)$ (1,222,093)$ 598,807$ 344,037$ 1,820,900$ (149.0)%
Beg. Fund Balance, January 2017 2,424,727$
Net Change in Fund Balance, December 2017 598,807
Ending Fund Balance, December 2017 3,023,534$
2017 Budgeted Ending Fund Balance 1,202,634$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
26 Page 74 of 106
Quarterly Financial Report Through Q4-2017 27
This table presents the status of the projects with the most significant impacts on this fund:
Notes:
• 2016 Local Street Reconstruction Project received Final Acceptance by the City Council on April 17, 2017
and is complete.
• 2017 Local Street Reconstruction Project was awarded for construction by the City Council on July 3, 2017
and is under construction but will continue into 2018 due to weather limitations.
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 103 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$2.9M
2016 YE Actual:
$2.0M
2017 YE Actual:
$2.1M
Name Annual Budget YE Actual Remaining
2018 Local Street Pavement Reconstruction $0.1M $0.03M $0.07M
2017 Local St. Reconst. & Preservation $2.77M $1.95M $0.82M
All Other Projects (1 Other Budgeted)$0.07M $0.07M $0.0M
Total $2.9M $2.1M $0.9M
*Components may not sum to total due to rounding.
Fund 103 - Local Street
Capital Projects Status*
27 Page 75 of 106
Quarterly Financial Report Through Q4-2017 28
Fund 105 – Arterial Street Preservation Fund
The Arterial Street Preservation Fund is a special revenue fund which 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 2017 include 15th Street NE/NW Preservation, Auburn Way North
Preservation, and the B Street NW Reconstruction project. During 2017, revenues totaled $3.9
million and compare to collections of $2.1 million in 2016.
Total 2017 expenditures were $5.0 million, which compares to expenditures of $1.1 million in
2016. This increase is due to projects carried forward from the prior year that were under
construction in 2017. Historically, the majority of this fund’s expenditures occur in the second
half of each year due to the weather sensitivity of pavement construction (this work needs to be
done primarily in the summer and early fall). Highlighted in the table below and shown in the
following graph are the fund’s total expenditures related to capital projects.
Fund 105 - Arterial Street Preservation 2016
Summary of Sources and Uses Annual YE YE YE
Report Period: December 2017 Budget Budget Actual Actual Amount
Revenues
City Utility Tax 632,300$ 632,300$ 648,384$ 659,855$ 16,084$ 2.5 %
Electric Utility Tax 712,000 712,000 738,991 705,071 26,991 3.8 %
Natural Gas Utility Tax 200,200 200,200 214,550 189,392 14,350 7.2 %
Cable TV Tax 194,300 194,300 211,438 197,497 17,138 8.8 %
Telephone Utility Tax 290,400 290,400 275,990 298,871 (14,410) (5.0)%
Garbage Utility Tax (External Haulers)19,400 19,400 21,639 20,668 2,239 11.5 %
Grants 2,354,398 2,354,398 1,550,008 37,979 (804,390) (34.2)%
Developer Mitigation Fees - - - - -
Operating Transfer In 431,750 431,750 194,915 18,250 (236,835) (54.9)%
Interest Earnings 4,900 4,900 25,483 9,858 20,583 420.1 %
Total Revenues 4,839,648$ 4,839,648$ 3,881,397$ 2,137,442$ (958,251)$ (19.8)%
Expenditures
Salary and Benefits 368,000$ 368,000$ 391,456$ 286,880$ (23,456)$ (6.4)%
Capital Outlay 7,071,019 7,071,019 4,617,054 508,281 2,453,965 34.7 %
Subtotal - Capital Project Expenditures 7,439,019 7,439,019 5,008,510 795,161 2,430,509 32.7 %
Supplies - - - - -
Services and Charges - - - 62,500 -
Operating Transfer Out 56,535 56,535 14,389 195,636 42,146 74.5
Total Expenditures 7,495,554$ 7,495,554$ 5,022,898$ 1,053,297$ 2,472,656$ 33.0 %
Net Change in Fund Balance (2,655,906)$ (2,655,906)$ (1,141,501)$ 1,084,145$ 1,514,405$ (57.0)%
Beg. Fund Balance, January 2017 3,269,631$
Net Change in Fund Balance, December 2017 (1,141,501)
Ending Fund Balance, December 2017 2,128,130$
2017 Budgeted Ending Fund Balance 613,725$
2017 2017 YE Budget vs. Actual
Favorable (Unfavorable)
Percentage
28 Page 76 of 106
Quarterly Financial Report Through Q4-2017 29
This table presents the status of the projects with the most significant impacts on the fund:
Notes:
• Auburn Way North Preservation is complete.
• B Street NW Reconstruction was awarded for construction by the City Council on June 19, 2017 and is
nearing completion with minor work continuing into 2018.
• 15th Street NE/NW Preservation project construction was delayed until 2018 due to the Puget Sound
Regional Council’s (PSRC’s) modification of the Grant’s obligation year to FY 2018. This revision was part
of a region wide effort to address federal grant funding restrictions for FY 2017, 2018, 2019 and 2020, and
means that funds cannot be expended until 2018.
$0.0
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
$8.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecMillionsFund 105 -Capital Project Expenditures
2017 YE Budget
2017 YE Actual
2016 YE Actual
2017 YE Budget:
$7.4M
2016 YE Actual:
$0.8M
2017 YE Actual:
$5.0M
Name Annual Budget YE Actual Remaining
15th St NE/NW Preservation $1.5M $0.09M $1.5M
Auburn Way North Preservation $1.7M $1.7M $.0M
B Street NW Reconstruction $2.7M $1.9M $0.8M
All Other Projects (4 Others Budgeted)$1.4M $1.3M $0.1M
Total $7.4M $5.0M $2.4M
*Components may not sum to total due to rounding.
Capital Projects Status*
Fund 105 - Arterial Street Preservation
29 Page 77 of 106
Quarterly Financial Report Through Q4-2017 30
Fund 124 – Mitigation Fees
The Mitigation Fees Fund is a special revenue fund funded from revenues from new
development, which are assessed at the time applications are received for development activity.
These funds are used to mitigate costs associated with City growth. In 2017, revenues were
above budget expectations, at 37.0% above the annual budgeted amount. Projects contributing
substantially to these revenues include North Auburn Logistics and Holiday Inn Express.
Expenditures were below budget due to the timing of capital projects funded by these revenues.
Fund 124 - Mitigation Fees
Summary of Sources and Uses
Report Period Through:Ending Ending
December 2017 Fund Balance Fund Balance
Transportation Impact Fees 1,757,765$ 1,882,222$ 5,029,838$ 800,000$ 3,145,526$ 2,808,769$
Transportation Migitation Fees 67,877 101,307 230,848 - 148,946 115,331
Fire Impact Fees 181,528 400,000 81,339 170,000 400,000 69,811
Fire Mitigation Fees - - 81 - - 81
Parks Impact Fees 598,576 116,036 5,288,973 600,000 612,000 4,794,434
Parks Mitigation Fees - - 331,327 - - 331,327
School Impact Admin Fees 8,396 - 55,316 12,000 - 58,920
Wetland Mitigation Fees - - 68,835 - 31,570 37,265
Interest and Investment Income 112,605 - 112,605 8,200 - 8,200
Fees in Lieu of Improvements - - 122,525 - - 122,525
Operating Transfers - - - 400,000 - 400,000
Total 2,726,746$ 2,499,564$ 11,321,687$ 1,990,200$ 4,338,042$ 8,746,663$
Beginning Fund Balance, January 2017 11,094,505$
Net Change in Fund Balance, December 2017 227,182
Ending Fund Balance, December 2017 11,321,687$
2017 Budgeted Ending Fund Balance 8,746,663$
YE Actuals BUDGET
Revenues Expenditures Revenues Expenditures
30 Page 78 of 106
Quarterly Financial Report Through Q4-2017 31
Enterprise Funds
Detailed income and expense statements for Enterprise and Internal Service funds can be
found in the appendices at the end of this report. The appendices provide 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.
In 2017, the Water Utility had operating income before depreciation of $5.7 million as
compared with $4.7 million in 2016. Revenues ended the year slightly ahead of budget
expectations. The increase in operating income is largely due to lower expenditures in 2017
compared to 2016, during which the City purchased regional water from the City of Tacoma
while four of the City’s six major production wells were being rehabilitated. Regional water
purchases in 2017 were minimal.
Water sales by volume during 2017 totaled 3.2 million hundred cubic feet (ccf), compared to 3.6
million ccf in 2016, representing a 14.9% decrease due to lower water consumption. This is part
of a general trend of decreased year-over-year water 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 contract was renegotiated; last year, sales to
Water District #111 represented 11.3% of total water sales by volume.
The Sewer Utility finished 2017 with operating income before depreciation of $2.3 million as
compared to operating income of $2.1 million in 2016 due primarily to higher service revenues
in 2017.
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
$2,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec CCFThousandsWater Revenues vs Water Sold
2017 vs 2016
2016 Water Sales ($)
2017 Water Sales ($)
2016 Water Sold (ccf)
2017 Water Sold (ccf)
31 Page 79 of 106
Quarterly Financial Report Through Q4-2017 32
The Sewer-Metro Utility ended 2017 with operating income before depreciation of $421,000,
as compared with $297,000 in 2016. Variances in this fund are largely due to King County’s
internal billing process, by which King County bills the City a flat rate each quarter based on the
number of customers and consumption volume averaged over prior quarters. Therefore, the
Sewer-Metro Utility generally experiences a loss early in the year when revenues trend low, and
income later in the year when revenues trend higher. This increase is due to higher revenues
from service charges.
The Stormwater Utility ended 2017 with operating income before depreciation of $2.6 million,
compared with $2.7 million in 2016.
Through December 2017, the Solid Waste Utility Fund had $15.1 million in operating
revenues, compared to $14.5 million in operating expenditures, resulting in an increase in
Working Capital of $0.6 million.
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 December 2017,
Waste Management serviced 15,551 customers (80% of customers) and Republic Services
serviced 4,009 customers (20% of customers).
The current mix of customer account types is:
• 89% Residential
• 8% Commercial
• 3% 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. In 2017, the total diversion rate was 30%,
which represents a total of 19,500 tons of waste that was diverted from landfills.
2017 Solid Waste Diversion Rates:
Garbage -
10,200
tons (49%)
Yard Waste -
5,900 tons
(28%)
Recycling -
4,800 tons
(23%)
2017 Residential Waste Stream
Garbage
Yard Waste
Recycling
Garbage -
9,100 tons
(79%)
Yard Waste -
300 tons
(3%)
Recycling -
2,100 tons
(18%)
2017 Multifamily Waste Stream
Garbage
Yard Waste
Recycling
Total: 11,500 tons
Diversion Rate: 21%
Total: 20,900 tons
Diversion Rate: 51%
32 Page 80 of 106
Quarterly Financial Report Through Q4-2017 33
Of the total tonnage collected in 2017, 51% was collected from commercial customers, 32%
was collected from residential customers, and 18% was collected from multifamily customers,
as shown in the following graph.
Garbage -
26,900 tons
(81%)
Yard Waste -
100 tons (0%)
Recycling -
6,200 tons
(19%)
2017 Commercial Waste Stream
Garbage
Yard Waste
Recycling
Total: 33,200 tons
Diversion Rate: 19%
Garbage -
46,100 tons
(70%)
Yard Waste -
6,400 tons
(10%)
Recycling -
13,100 tons
(20%)
2017 Total Waste Stream
Garbage
Yard Waste
Recycling
Total: 65,600 tons
Diversion Rate: 30%
5,168 4,618
5,740 5,406
6,673
6,083
5,359 5,322 5,237 5,293 5,480 5,203
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17Tonnage2017 Solid Waste Tonnage by Customer Type
Residential Multifamily Commercial
33 Page 81 of 106
Quarterly Financial Report Through Q4-2017 34
Of the total tonnage collected in 2017, 70% was garbage, 20% was recyclables, and 10% was
yard waste, as shown in the following graph.
The Cemetery Fund ended 2017 with an operating income of $223,000 as compared with an
operating income of $188,000 in 2016. This variance is mainly due to slightly increased sales
revenue and slightly lower expenditures for supplies.
5,168 4,618
5,740 5,406
6,673
6,083
5,359 5,322 5,237 5,293 5,480 5,203
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17Tonnage2017 Solid Waste Tonnage by Waste Stream
Garbage Recycling Yard Waste
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecThousandsCEMETERY
2017 YE Budgeted
Revenue
2017 YE Actual
Revenue
2016 YE Actual
Revenue
2017 YE Actual
Expenses
Cumulative Revenues & Expenditures
2017 Budget vs. Actual
34 Page 82 of 106
Quarterly Financial Report Through Q4-2017 35
Internal Service Funds
No significant variances are reported in the Insurance, Worker’s Compensation, Facilities,
Innovation & Technology, or Equipment Rental funds.
Contact Information
This report is prepared by the Finance Department. Additional financial information can also be
viewed at our website: http://www.auburnwa.gov/. For any questions about this report please
contact Shelley Coleman at scoleman@auburnwa.gov.
35 Page 83 of 106
Investment Purchase Purchase Maturity Yield to
Type Date Price Date Maturity
State Investment Pool Various 116,427,623$ Various 1.28%
KeyBank Money Market Various 6,332,600 Various 0.02%
OpusBank Public Interest Acct Various 10,020,030 Various 1.36%
FNMA 3/11/2016 998,844 2/22/2019 1.20%
Total Cash & Investments 133,779,097$ 1.223%
Investment Mix % of Total
State Investment Pool 87.0%Current 6-month treasury rate 1.50%
KeyBank Money Market 4.7%Current State Pool rate 1.28%
OpusBank Public Interest Acct 7.5%KeyBank Money Market 0.02%
FNMA 0.7%OpusBank Public Interest Acct 1.36%
100.0%Blended Auburn rate 1.22%
City of Auburn
Investment Portfolio Summary
December 31, 2017
Summary
36
Page 84 of 106
SALES TAX SUMMARY
DECEMBER 2017 SALES TAX DISTRIBUTIONS (FOR OCTOBER 2017 RETAIL ACTIVITY)
2016 Annual Total 2016 YE 2017 YE YE 2016 Annual Total 2016 YE 2017 YE YE
NAICS CONSTRUCTION (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff NAICS AUTOMOTIVE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
236 Construction of Buildings 1,139,466 1,139,466 1,503,231 31.9%441 Motor Vehicle and Parts Dealer 3,409,019 3,409,019 3,703,385 e 8.6%
237 Heavy and Civil Construction 309,344 309,344 209,928 -32.1%447 Gasoline Stations 250,478 250,478 268,146 7.1%
238 Specialty Trade Contractors 843,470 843,470 918,947 8.9%TOTAL AUTOMOTIVE 3,659,497$ 3,659,497$ 3,971,531$ 8.5%
TOTAL CONSTRUCTION 2,292,280$ 2,292,280$ 2,632,107$ 14.8%Overall Change from Previous Year 312,034$
Overall Change from Previous Year 339,827$
2016 Annual Total 2016 YE 2017 YE YE
2016 Annual Total 2016 YE 2017 YE YE NAICS RETAIL TRADE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
NAICS MANUFACTURING (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff 442 Furniture and Home Furnishings 185,234 185,234 c 197,226 6.5%
311 Food Manufacturing 3,278 3,278 4,642 41.6%443 Electronics and Appliances 220,553 220,553 211,036 -4.3%
312 Beverage and Tobacco Products 9,601 9,601 7,842 -18.3%444 Building Material and Garden 579,076 579,076 580,347 0.2%
313 Textile Mills 415 415 264 -36.5%445 Food and Beverage Stores 397,177 397,177 a 368,971 -7.1%
314 Textile Product Mills 3,554 3,554 1,501 -57.8%446 Health and Personal Care Store 284,191 284,191 368,699 29.7%
315 Apparel Manufacturing 155 155 227 46.6%448 Clothing and Accessories 1,136,431 1,136,431 1,118,980 d -1.5%
316 Leather and Allied Products 38 38 46 20.6%451 Sporting Goods, Hobby, Books 237,555 237,555 199,717 -15.9%
321 Wood Product Manufacturing 58,391 58,391 16,528 -71.7%452 General Merchandise Stores 1,017,905 1,017,905 992,858 -2.5%
322 Paper Manufacturing 8,047 8,047 15,254 89.6%453 Miscellaneous Store Retailers 473,398 473,398 463,719 -2.0%
323 Printing and Related Support 52,610 52,610 54,391 3.4%454 Nonstore Retailers 321,071 321,071 370,027 15.2%
324 Petroleum and Coal Products 2,145 2,145 1,040 -51.5%TOTAL RETAIL TRADE 4,852,592$ 4,852,592$ 4,871,580$ 0.4%
325 Chemical Manufacturing 10,183 10,183 15,982 56.9%Overall Change from Previous Year 18,988$
326 Plastics and Rubber Products 8,168 8,168 8,856 8.4%
327 Nonmetallic Mineral Products 17,429 17,429 17,749 1.8%
331 Primary Metal Manufacturing 442 442 818 85.1%2016 Annual Total 2016 YE 2017 YE YE
332 Fabricated Metal Product Manuf 29,409 29,409 28,618 -2.7%NAICS SERVICES (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
333 Machinery Manufacturing 16,461 16,461 18,216 10.7%51*Information 630,158 630,158 662,460 5.1%
334 Computer and Electronic Product 10,780 10,780 32,957 205.7%52*Finance and Insurance 110,728 110,728 122,200 10.4%
335 Electric Equipment, Appliances 445 445 1,103 147.9%53*Real Estate, Rental, Leasing 358,628 358,628 367,828 2.6%
336 Transportation Equipment Man 471,441 471,441 385,842 -18.2%541 Professional, Scientific, Tech 237,656 237,656 238,617 0.4%
337 Furniture and Related Products 18,661 18,661 34,157 83.0%551 Company Management 330 330 13 -96.1%
339 Miscellaneous Manufacturing 39,437 39,437 31,567 -20.0%56*Admin. Supp., Remed Svcs 328,453 328,453 276,380 -15.9%
TOTAL MANUFACTURING 761,091$ 761,091$ 677,596$ -11.0%611 Educational Services 50,026 50,026 55,506 11.0%
Overall Change from Previous Year (83,495)$ 62*Health Care Social Assistance 91,643 91,643 74,678 -18.5%
71*Arts and Entertainment 156,301 156,301 109,577 -29.9%
72*Accommodation and Food Svcs 1,217,734 1,217,734 1,276,310 4.8%
2016 Annual Total 2016 YE 2017 YE YE 81*Other Services 646,579 646,579 546,059 -15.5%
NAICS TRANSPORTATION AND WAREHOUSING (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff 92*Public Administration 141,806 141,806 182,112 28.4%
481 Air Transportation 1 1 2 61.8%TOTAL SERVICES 3,970,042$ 3,970,042$ 3,911,740$ -1.5%
482 Rail Transportation 24,331 24,331 20,972 -13.8%Overall Change from Previous Year (58,302)$
484 Truck Transportation 7,067 7,067 4,014 -43.2%
485 Transit and Ground Passengers 114 114 -3,390 -3076.1%
488 Transportation Support 52,828 52,828 51,246 -3.0%2016 Annual Total 2016 YE 2017 YE YE
491 Postal Service 274 274 274 0.0%NAICS MISCELLANEOUS (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
492 Couriers and Messengers 301 301 1,859 518.5%000 Unknown 0 0 0 N/A
493 Warehousing and Storage 14,523 14,523 13,526 -6.9%111-115 Agriculture, Forestry, Fishing 5,534 5,534 6,486 17.2%
TOTAL TRANSPORTATION 99,439$ 99,439$ 88,502$ -11.0%211-221 Mining & Utilities 29,410 29,410 26,023 -11.5%
Overall Change from Previous Year (10,937)$ 999 Unclassifiable Establishments 32,161 32,161 b 32,865 2.2%
TOTAL SERVICES 67,105$ 67,105$ 65,374$ -2.6%
Overall Change from Previous Year (1,731)$
2016 Annual Total 2016 YE 2017 YE YE
NAICS WHOLESALE TRADE (Nov '15-Oct '16)(Nov '15-Oct '16)(Nov '16-Oct '17)% Diff
423 Wholesale Trade, Durable Goods 981,820 981,820 1,080,558 10.1%GRAND TOTAL 16,967,023$ 16,967,023$ 17,581,514$
424 Wholesale Trade, Nondurable 281,166 281,166 278,097 -1.1%Overall Change from Previous Year 614,491$ 3.6%
425 Wholesale Electronic Markets 1,991 1,991 4,428 122.4%
TOTAL WHOLESALE 1,264,976$ 1,264,976$ 1,363,083$ 7.8%Total December 2017 Sales Tax Distributions 1,428,780$
Overall Change from Previous Year 98,107$ Dollar Increase from December 2016 76,553$
Percent Increase from December 2016
Includes Adjustments in excess of +/- $10,000.Comparisons:
a. WA State Dept of Revenue audit adjustment to sales tax returns for period of November 2015 (adjustment: $10,572).December 2016 16,967,023 15,614,796 1,352,227$
b. WA State Dept of Revenue audit adjustment to sales tax returns for period of April 2016 (adjustment: - $52,898).December 2015 16,865,540 15,488,142 1,377,398$
c. WA State Dept of Revenue audit adjustment to sales tax returns for period of May 2016 (adjustment: - $16,496).
d. WA State Dept of Revenue audit adjustment to sales tax returns for period of April 2017 (adjustment: - $29,746).
e. WA State Dept of Revenue audit adjustment to sales tax returns for period of October 2017 (adjustment: $36,668).
02/07/18
Prepared by Auburn Finance Department
5.7%
37
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Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
OPERATING FUND:460 460 461 461 462 462
OPERATING REVENUES
Charges For Service 14,730,511 14,781,300 50,789 8,102,441 8,667,587 565,146 17,237,490 17,703,367 465,877 9,242,676 9,766,428 523,752
Grants - - - - - -
Interest Earnings 10,000 82,223 72,223 20,000 33,522 13,522 1,000 10,721 9,721 15,000 26,219 11,219
Rents, Leases, Concessions, & Other 212,939 246,896 33,957 72,849 73,739 890 - - - 60,951 78,397 17,446
TOTAL OPERATING REVENUES 14,953,450 15,110,419 156,969 8,195,290 8,774,849 579,559 17,238,490 17,714,088 475,598 9,318,627 9,871,044 552,417
OPERATING EXPENSES
Salaries & Wages 2,688,501 2,622,309 66,192 1,742,176 1,713,165 29,011 - - - 2,500,996 2,549,112 (48,116)
Benefits 1,314,301 1,232,638 81,663 842,110 799,993 42,117 - - - 1,233,452 1,208,249 25,203
Supplies 334,444 289,182 45,262 116,750 80,398 36,352 - - - 94,750 59,412 35,338
Other Service Charges 5,096,580 2,986,248 2,110,332 2,951,890 2,584,553 367,337 - 147 (147) 1,778,290 1,547,734 230,556
Intergovernmental Services (Less Transfers Out)9,500 3,663 5,837 83,000 62,848 20,152
Waste Management Payments
Sewer Metro Services 17,359,700 17,292,837 66,863
Debt Service Interest 1,345,282 856,805 488,477 276,483 276,483 0 - - - 361,418 361,417 1
Interfund Loan Repayment - - -
Net Change Restricted Assets
Interfund Operating Rentals & Supplies 1,422,716 1,422,819 (103) 1,039,865 1,041,678 (1,813) - - - 1,441,066 1,442,839 (1,773)
TOTAL OPERATING EXPENSES 12,201,824 9,410,000 2,791,824 6,978,774 6,499,935 478,839 17,359,700 17,292,983 66,717 7,492,972 7,231,612 261,360
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION 2,751,626 5,700,419 2,948,793 1,216,516 2,274,914 1,058,398 (121,210) 421,105 542,315 1,825,655 2,639,432 813,777
NON-OPERATING REVENUES
Operating Transfers-in
NON-OPERATING EXPENSES
Transfer to Capital Subfund 2,500,000 2,500,000 - 1,000,000 800,000 200,000 1,400,000 300,000 1,100,000
Other Operating Transfers-out 336,966 143,862 193,104 399,632 112,839 286,793 506,112 216,047 290,065
Debt Service Principal 1,799,827 1,468,080 331,747 541,127 541,127 0 413,162 413,162 -
Net Change in Restricted Net Assets - 5,691,021 5,691,021 - 518,591 518,591 - 1,586,244 1,586,244
Interfund Loan Repayment
BEGINNING WORKING CAPITAL - January 1, 2017 7,977,666 7,977,666 - 2,810,410 2,810,410 - 2,672,022 2,672,022 - 2,005,792 2,005,792 -
ENDING WORKING CAPITAL - December 31, 2017 6,092,499 3,875,122 (2,217,377) 2,086,167 3,112,766 1,026,599 2,550,812 3,093,127 542,315 1,512,173 2,129,770 617,598
NET CHANGE IN WORKING CAPITAL (see Note)(1,885,167) (4,102,544) (2,217,377) (724,243) 302,356 1,026,599 (121,210) 421,105 542,315 (493,619) 123,979 617,598
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue - 22,342 22,342 - 120,323 120,323 - 125,514 125,514
Grants 175,000 5,400 (169,600) - - -
Contributions - - - - - - -
Other Non-Operating Revenue - 4,072,557 4,072,557 - - - - 800,501 800,501
Gain (Loss) On Sale Of Fixed Assets - - - - - - - - -
Increase In Contributions - System Development 1,000,000 597,556 (402,444) 500,000 458,574 (41,426) 500,000 817,846 317,846
Interfund Revenues - - - - - - - - -
Increase In Contributions - FAA - - - - - - - - -
Proceeds of Debt Activity 5,402,159 70,798 (5,331,361) - - - - - -
Transfers In from Operating Sub-Fund 2,500,000 2,500,000 - 1,000,000 800,000 (200,000) 1,400,000 300,000 (1,100,000)
Transfer In from Other Funds 200,000 - (200,000) - - - - -
Other Sources - - - - 22,500 22,500 - - -
TOTAL CAPITAL REVENUES 9,277,159 7,268,652 (2,008,507) 1,500,000 1,401,397 (98,603) 1,900,000 2,043,861 143,861
CAPITAL EXPENSES
Other Non-Operating Expense - - - - - - - - -
Increase In Fixed Assets - Salaries 382,143 167,840 214,303 86,429 50,500 35,929 152,143 164,788 (12,645)
Increase In Fixed Assets - Benefits 152,857 76,798 76,059 34,571 23,739 10,832 60,857 74,002 (13,145)
Increase In Fixed Assets - Services - 8,357 (8,357) - 8,005 (8,005) - 13,918 (13,918)
Increase In Fixed Assets - Site Improvements - 54,768 (54,768) - - - - -
Increase In Fixed Assets - Equipment 20,000 19,955 45 40,000 19,955 20,045 20,000 19,955 45
Increase In Fixed Assets - Construction 10,524,977 7,136,458 3,388,519 2,647,218 1,478,761 1,168,457 4,229,504 1,767,092 2,462,412
Operating Transfers Out 50,000 50,000 - 50,000 50,000 - 156,000 156,000 -
TOTAL CAPITAL EXPENSES 11,129,977 7,514,177 3,615,800 2,858,218 1,630,960 1,227,258 4,618,504 2,195,757 2,422,747
BEGINNING WORKING CAPITAL - January 1, 2017 1,936,373 1,936,373 - 12,710,295 12,710,295 - 13,379,700 13,379,700 -
83,555 1,690,848 1,607,293 11,352,077 12,480,733 1,128,655 10,661,196 13,227,804 2,566,608
NET CHANGE IN WORKING CAPITAL (see Note)(1,852,818) (245,525) 1,607,293 (1,358,218) (229,563) 1,128,655 (2,718,504) (151,896) 2,566,608
Total Change in Working Capital (3,737,985) (4,348,069) (610,084) (2,082,461) 72,793 2,155,254 (121,210) 421,105 542,315 (3,212,123) (27,917) 3,184,206
(*) Depreciation 3,140,000 3,269,581 2,315,000 2,199,711 - - 2,080,000 1,885,931
OPERATING & CAPITAL FUNDS
WATER
ENTERPRISE FUNDS
SEWER SEWER METRO STORMCash Basis through December 2017
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures; payments will be made as scheduled in December 2017.
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
38
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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 Loan Repayment
Net Change Restricted Assets
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
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, 2017
ENDING WORKING CAPITAL - December 31, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Contributions
Other Non-Operating Revenue
Gain (Loss) On Sale Of Fixed Assets
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
Other Sources
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, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through December 2017
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
464 464 465 465 466 466 -
15,316,200 15,067,667 (248,533) 826,800 874,790 47,990 927,500 1,336,570 409,070 - - -
87,300 25,120 (62,180) - - - - -
9,000 41,712 32,712 2,500 6,451 3,951 800 4,323 3,523 1,500 11,646 10,146
- 441 441 3,000 9,932 6,932 - - -
15,412,500 15,134,940 (277,560) 832,300 891,173 58,873 928,300 1,340,894 412,594 1,500 11,646 10,146
325,910 326,131 (221) - - - 475,628 470,184 5,444 - - -
147,414 146,021 1,393 - - - 258,734 250,268 8,466 225,750 54,502 171,248
27,542 5,520 22,022 2,500 435 2,066 221,700 209,208 12,492 - - -
1,645,565 1,519,615 125,950 484,950 482,003 2,947 156,750 140,684 16,066 4,230 (1,956) 6,186
363,600 366,065 (2,465) - - - - - - - - -
12,475,500 12,048,375 427,125
- - - 24,357 9,841 14,516 (0) - (0) - - -
- - - - -
111,587 111,588 (1) 1,400 1,404 (4) 47,833 47,832 1 - - -
15,097,118 14,523,314 573,804 513,207 493,682 19,525 1,160,645 1,118,176 42,469 229,980 52,546 177,434
315,382 611,626 296,244 319,093 397,490 78,397 (232,345) 222,717 455,062 (228,480) (40,899) 187,581
200,000 - (200,000) 670,715 670,715 -
- - - - - - 1,332 397 935
165,000 171,023 (6,023) - - -
- (169,681) (169,681) - - -
39,942 39,900 42
4,411,853 4,411,853 - 236,649 236,649 - 293,829 293,829 - 1,385,685 1,385,685 -
4,727,235 5,023,479 296,244 350,800 592,898 242,098 260,152 516,149 255,997 1,827,920 2,015,500 187,581
315,382 611,626 296,244 114,151 356,249 242,098 (33,677) 222,320 255,997 442,235 629,816 187,581
- 3,378 3,378 - 2,404 2,404
17,167 529 (16,638) - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
310,900 5,642 (305,258) - - -
- - - - - -
- - - - - -
275,000 274,937 (63)
- - - - - -
603,067 284,486 (318,581) - 2,404 2,404
- - - - - -
21,429 14 21,415 - - -
8,571 7 8,564 - - -
- 46 (46) - - -
- - - -
- -
729,034 348,776 380,258 - - -
- - - - - -
759,034 348,843 410,191 - - -
360,602 360,602 - 256,633 256,633 -
204,635 296,245 91,610 256,633 259,037 2,404
(155,967) (64,357) 91,610 - 2,404 2,404
315,382 611,626 (41,816) 291,892 333,708 (33,677) 224,724 258,401 442,235 629,816 187,581
19,000 18,819 468,000 462,843 50,500 47,383 - -
Note: Working capital balance only includes eleven Waste
Management payments due to the timing of December's
payment ($2,126,572), which will be made in December.
INSURANCE
(*) Debt service interest as shown represents actual cash outlay. Debt service principal represents actual expenditures;
payments will be made as scheduled in December 2017.
ENTERPRISE FUNDS
SOLID WASTE AIRPORT CEMETERY
INTERNAL SERVICE FUNDS
see Note
39
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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 Loan Repayment
Net Change Restricted Assets
Interfund Operating Rentals & Supplies
TOTAL OPERATING EXPENSES
OPERATING REVENUES LESS EXPENSES
BEFORE DEPRECIATION
NON-OPERATING REVENUES
Operating Transfers-in
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, 2017
ENDING WORKING CAPITAL - December 31, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
CAPITAL FUND:
CAPITAL REVENUES
Interest Revenue
Grants
Contributions
Other Non-Operating Revenue
Gain (Loss) On Sale Of Fixed Assets
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
Other Sources
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, 2017
NET CHANGE IN WORKING CAPITAL (see Note)
Total Change in Working Capital
(*) Depreciation
OPERATING & CAPITAL FUNDS
Cash Basis through December 2017
Working Capital = Current Assets
minus Current Liabilities
ENDING WORKING CAPITAL - December 31, 2017
Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance Budget
YE
Actual Variance
- - 568 568 560 560
961,300 935,127 (26,173) 3,453,700 3,485,034 31,334 6,038,376 6,065,744 27,368 2,263,102 2,281,867 18,765
- - - - - -
2,600 13,175 10,575 8,800 19,817 11,017 5,000 14,170 9,170 - 27,787 27,787
93,000 6,522 (86,478) - 57,928 57,928 - - - - 100,621 100,621
1,056,900 954,823 (102,077) 3,462,500 3,562,779 100,279 6,043,376 6,079,914 36,538 2,263,102 2,410,275 147,173
76,324 73,291 3,033 655,000 624,384 30,616 1,822,981 1,817,194 5,787 681,943 581,087 100,856
362,638 122,180 240,458 358,001 338,027 19,974 817,418 780,508 36,910 349,650 295,408 54,242
- - - 150,220 132,230 17,990 508,250 506,972 1,278 1,074,000 752,592 321,408
494,915 231,601 263,314 1,818,387 1,484,323 334,064 2,882,325 2,324,104 558,221 427,580 417,524 10,056
- - - - - - - - - - - -
- - - - - - - - - 3,843 3,581 262
- - - -
- - - 140,784 140,784 - 191,031 191,016 15 231,152 231,447 (295)
933,877 427,071 506,806 3,122,392 2,719,748 402,644 6,222,005 5,619,794 602,211 2,768,168 2,281,638 486,530
123,023 527,752 404,729 340,108 843,031 502,923 (178,629) 460,120 638,749 (505,066) 128,637 633,703
662,611 279,724 (382,887) 100,000 100,000 -
961,452 888,503 72,949 400 400 - - - -
- - -
- - - - (173,155) (173,155)
1,097,368 1,097,368 - 1,853,016 1,853,016 - 1,064,713 1,064,713 - 2,749,240 2,749,240 -
1,220,391 1,625,120 404,729 1,231,672 1,807,545 575,873 1,548,295 1,804,157 255,862 2,344,174 3,151,032 806,858
123,023 527,752 404,729 (621,344) (45,471) 575,873 483,582 739,444 255,862 (405,066) 401,792 806,858
- 18,996 18,996 - 30,156 30,156
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - 1,703,631 1,703,628 (3)
- - - - - -
- - - - - -
- - - - - -
96,537 88,570 (7,967) 1,010,927 372,032 (638,895)
- - - - - -
96,537 107,566 11,029 2,714,558 2,105,816 (608,742)
- - - - - -
- 1,983 (1,983) - - -
- 728 (728) - - -
- 263 (263) - 413 (413)
- -
779,437 469,273 310,164 1,961,665 1,662,097 299,568
163,000 61,710 101,290 710,000 9,900 700,100
55,900 55,900 - - - -
998,337 589,857 408,480 2,671,665 1,672,410 999,255
2,319,577 2,319,577 - 3,020,402 3,020,402 -
1,417,777 1,837,285 419,509 3,063,295 3,453,808 390,513
(901,800) (482,291) 419,509 42,893 433,406 390,513
123,023 527,752 404,729 (621,344) (45,471) 575,873 (418,218) 257,153 675,371 (362,173) 835,198 1,197,371
- - - - 701,000 680,431 985,000 1,182,134
INTERNAL SERVICE FUNDS
WORKER'S COMPENSATION FACILITIES INNOVATION & TECHNOLOGY EQUIPMENT RENTAL
40
Page 88 of 106
INNOVATION EQUIPMENT
& TECHNOLOGY RENTAL
OPERATING REVENUES
Charges For Services 14,781,300$ 8,667,587$ -$ 9,766,428$ 15,067,667$ 70,750$ 1,336,570$ -$ -$ -$ -$ -$
Interfund Charges For Services - - - - - - - - 941,648 3,374,196 5,973,720 3,985,495
Sewer Metro Services Revenue - - 17,703,367 - - - - - - - - -
Rents, Leases, Concessions & Other - - - - - 804,040 - - - 110,838 92,023 -
TOTAL OPERATING REVENUES 14,781,300$ 8,667,587$ 17,703,367$ 9,766,428$ 15,067,667$ 874,790$ 1,336,570$ -$ 941,648$ 3,485,034$ 6,065,744$ 3,985,495$
OPERATING EXPENSES
Administration & Other 4,803,489$ 4,535,047$ 147$ 3,517,353$ 1,773,467$ 71,307$ 329,242$ 52,546$ -$ -$ 263$ 839,667$
Operations & Maintenance 3,750,012 1,696,409 17,292,837 3,366,760 12,749,847 412,580 788,934 - 427,071 2,719,748 5,619,794 1,438,804
Depreciation & Amortization 3,269,581 2,199,711 - 1,885,931 18,819 462,843 47,383 - - - 680,431 1,182,134
TOTAL OPERATING EXPENSES 11,823,082$ 8,431,167$ 17,292,983$ 8,770,044$ 14,542,133$ 946,731$ 1,165,559$ 52,546$ 427,071$ 2,719,748$ 6,300,488$ 3,460,605$
OPERATING INCOME (LOSS)2,958,219$ 236,420$ 410,384$ 996,384$ 525,533$ (71,941)$ 171,012$ (52,546)$ 514,577$ 765,286$ (234,745)$ 524,890$
NON-OPERATING REVENUES & EXPENSES
Interest Revenue 104,565$ 153,845$ 10,721$ 151,733$ 41,712$ 9,829$ 6,727$ 11,646$ 13,175$ 19,817$ 33,166$ 57,943$
Other Non-Operating Revenue 252,296 73,739 - 78,397 25,561 16,102 - - - 57,928 - 84,109
Gain (Loss) On Sale Of Fixed Assets - - - - - - - - - - - 16,512
Other Non-Operating Expense*(856,805) (276,483) - (361,417) - (9,841) - - - - - (3,581)
TOTAL NON-OPERATING REVENUES & EXPENSES (499,945)$ (48,899)$ 10,721$ (131,287)$ 67,274$ 16,090$ 6,727$ 11,646$ 13,175$ 77,745$ 33,166$ 154,984$
2,458,274$ 187,521$ 421,105$ 865,097$ 592,807$ (55,851)$ 177,739$ (40,899)$ 527,752$ 843,031$ (201,579)$ 679,874$
Contributions 597,556$ 458,574$ -$ 817,846$ -$ -$ -$ -$ -$ -$ -$ -$
Transfers In 2,500,000 800,000 - 300,000 - 274,937 - 670,715 - - 368,294 472,032
Transfers Out (2,693,862) (962,839) - (672,047) - - (397) - - (888,503) (56,300) -
TOTAL CONTRIBUTIONS & TRANSFERS 403,694$ 295,735$ -$ 445,799$ -$ 274,937$ (397)$ 670,715$ -$ (888,503)$ 311,994$ 472,032$
CHANGE IN FUND BALANCE 2,861,967$ 483,256$ 421,105$ 1,310,896$ 592,807$ 219,087$ 177,342$ 629,816$ 527,752$ (45,471)$ 110,415$ 1,151,906$
BEGINNING FUND BALANCE - January 1, 2017 75,751,705$ 81,919,221$ 2,672,022$ 64,010,652$ 4,245,695$ 9,514,116$ 1,374,410$ 1,385,685$ 1,064,528$ 1,530,324$ 4,291,351$ 10,920,413$
ENDING FUND BALANCE - December 31, 2017 78,613,672$ 82,402,477$ 3,093,127$ 65,321,548$ 4,838,503$ 9,733,202$ 1,551,752$ 2,015,500$ 1,592,280$ 1,484,853$ 4,401,766$ 12,072,319$
*Note: This report includes actuals through December 2017, with the exception of Water, Sewer, and Storm which includes the Debt Service Interest Payments that will be made in Period 13.
The following table provides an analysis of each of the City's Enterprise and Internal Service funds - showing 2017 revenues and expenditures by fund through December and includes the Fund Balance in the associated Capital Sub-Fund.
FUND BALANCE ENTERPRISE FUNDS INTERNAL SERVICE FUNDS
WATER SEWER SEWER METRO STORM SOLID WASTE AIRPORT CEMETERY INSURANCE WORKER'S
COMPENSATION FACILITIES
INCOME (LOSS) BEFORE CONTRIBUTIONS &
TRANSFERS
41
Page 89 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
Airport 2018-2022 CIP Discussion (10 Minutes) (Gaub)
Date:
March 5, 2018
Department:
CD & PW
Attachments:
Airport CFP
Budget Impact:
Current Budget: $0
Proposed Revision: $0
Revised Budget: $0
Administrativ e Recommendation:
For discussion only.
Background Summary:
Previously, Council asked for a review of the Capital Improvement Program for the Auburn
Airport. Please find attached a copy of the current Capital Facilities Plan for discussion at the
Study Session on March 12, 2018.
Rev iewed by Council Committees:
Councilmember:Staff:Gaub
Meeting Date:March 12, 2018 Item Number:
Page 90 of 106
City of Auburn Capital Facilities Plan
247
AIRPORT
Current Facilities
The City of Auburn operates the Auburn Municipal Airport, providing hangar and tie-down
facilities/leasing space for aircraft-related businesses. As of 2016, there were approximately
142,000 take-offs and landings (aircraft operations) at the airport annually. Table A-1 “Facilities
Inventory” lists the facilities with current capacity and location. The Airport Master Plan was
completed in May 2015 for the period 2012 through 2032.
Level of Service (LOS)
The Auburn Municipal Airport Master Plan provides a maximum runway capacity (LOS
standard) of 231,000 aircraft operations annually; one take-off or landing equals one aircraft
operation. This LOS is recognized by the Federal Aviation Administration (FAA). The FAA
requires the airport to have the capital facilities capacity (i.e., runways, taxiways, holding areas,
terminal, hangars, water/sewer system, etc.) necessary to accommodate 100% of aircraft
operations during any one year. By 2022, the Airport Master Plan forecasts the number of
operations to be 198,623 – well below the capacity of the airport runway.
Capital Facilities Projects and Financing
The City’s Airport facilities include nine non-capacity capital projects at a cost of $ 7,533,187.
These projects include the Runway Enhancements project, Jet A Fueling facility, Automated
Weather Observation System, seal coating and land acquisition for future approaches. Table A-
2 shows the proposed financing plan followed by individual worksheets showing the project
detail.
Impact on Future Operating Budgets
As Table A-3 shows, operating budget impacts of $16,000 are forecasted for Airport facilities
during the six years 2019 – 2024.
TABLE A-1
Facilities Inventory
Airport
FACILITY # of Aircraft # of Feet LOCATION
Existing Inventory:
Hangars (Public)145 2301 E Street NE
Hangars (Private)103 2301 E Street NE
Tiedowns 153 2301 E Street NE
Air Strip 3,400 2301 E Street NE
Total Existing Inventory 401 3,400
Proposed Capacity Projects:
2020 Land Acquisition 30 2301 E Street NE
2018 Runway Extension - 718 2301 E Street NE
Total Proposed Capacity Projects 30 718
2022 Projected Inventory Total 431 4,118
CAPACITY
Page 91 of 106
City of Auburn Capital Facilities Plan
248
TABLE A-2
CAPITAL FACILITIES PLAN PROJECTS AND FINANCING
AIRPORT
2018 2019 2020 2021 2022 2023 Total
Capacity Projects:
None -
Non-Capacity Projects:
1 Runway Enhancements
Capital Costs 1,833,334 - - - - - 1,833,334
Funding Sources:
Airport Fund 91,667 - - - - - 91,667
Grants 1,741,667 - - - - - 1,741,667
2 Jet A Fueling Facility
Capital Costs - - 50,000 350,000 - - 400,000
Funding Sources:
Airport Fund - - 50,000 - - - 50,000
Other - - - 350,000 - - 350,000
Grants - - - - - - -
3 Annual Repair and Replacement of Airport Facilities
Capital Costs 20,000 20,000 20,000 20,000 20,000 20,000 120,000
Funding Sources:
Airport Fund 20,000 20,000 20,000 20,000 20,000 20,000 120,000
Grants - - - - - - -
4 Automated Weather Observation System
Capital Costs - - - - - 166,666 166,666
Funding Sources:
Airport Fund - - - - - 8,333 8,333
Grants - - - - - 158,333 158,333
5 Airport Security Camera & Gate Access Upgrades
Capital Costs - 70,000 - - - - 70,000
Funding Sources:
Airport Fund - 70,000 - - - - 70,000
Grant - - - - - - -
6 Precision Approach Path Indicator (PAPI) for Runway
Capital Costs - - - - 168,000 - 168,000
Funding Sources:
Airport Fund - - - - 168,000 - 168,000
Grants - - - - - - -
7 Land Acquisition for Future Approaches
Capital Costs 555,600 - - 3,666,667 - - 4,222,267
Funding Sources:
Airport Fund 27,800 - - 183,333 - - 211,133
Grants 527,800 - - 3,483,334 - - 4,011,134
8 Runway RSA Improvements
Capital Costs - 500,000 - - - - 500,000
Funding Sources:
Airport Fund - 25,000 - - - - 25,000
Grants - 475,000 - - - - 475,000
9 West Side Fencing
Capital Costs - - - - - 52,920 52,920
Funding Sources:
Airport Fund - - - - - 2,646 2,646
Grants - - - - - 50,274 50,274
Page 92 of 106
City of Auburn Capital Facilities Plan
249
TABLE A-2 (continued)
2018 2019 2020 2021 2022 2023 Total
SUMMARY:
CAPITAL COSTS
Capacity Projects - - - - - - -
Non-Capacity Projects 2,408,934 590,000 70,000 4,036,667 188,000 239,586 7,533,187
Total Costs 2,408,934 590,000 70,000 4,036,667 188,000 239,586 7,533,187
FUNDING SOURCES:
Airport Fund 139,467 115,000 70,000 203,333 188,000 30,979 746,779
Other - - - 350,000 - - 350,000
Grants (Fed,State,Local)2,269,467 475,000 - 3,483,334 - 208,607 6,436,408
Total Funding 2,408,934 590,000 70,000 4,036,667 188,000 239,586 7,533,187
Page 93 of 106
City of Auburn Capital Facilities Plan
250
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Runway Enhancements
Project No:cp1516
Project Type:Non-Capacity
Project Manager:Seth Wickstrom
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue 11,633 16,666 91,667 - 119,966
Federal - Non-Primary Entitlement - 300,000 150,000 - 450,000
Federal Grant -Secured 209,384 - - 209,384
Federal Grant -Unsecured - - 1,500,000 - 1,500,000
State Grant -Secured 11,632 - - 11,632
State Grant -Unsecured - 16,667 91,667 - 108,334
232,649 333,333 1,833,334 - 2,399,316
Capital Expenditures:
Design - 317,674 - - 317,674
Environmental Assessment 232,649 15,659 - - 248,308
Construction - - 1,833,334 - 1,833,334
232,649 333,333 1,833,334 - 2,399,316
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - - - 91,667
Federal - Non-Primary Entitlement - - - - 150,000
Federal Grant -Unsecured - - - - 1,500,000
State Grant -Unsecured - - - - 91,667
- - - - 1,833,334
Capital Expenditures:
Design - - - - -
Environmental Assessment - - - - -
Construction - - - - 1,833,334
- - - - 1,833,334
Grants / Other Sources:Federal Aviation Administration and Washington State Department of Transportation
Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
Enhance Runway 16/34 per Airport Layout Plan & Master Plan Update for increased safety and utilization. This also includes the
As-built AGIS Survey that is required following the runway construction.
Progress Summary:
Environmental Assessment is complete. Design planned for Federal FY 2017 and construction is anticipated to begin in
Federal FY 2018. Budget has been adjusted to account for the anticipated funding plan identified by FAA for design and
construction of the project per their letter of April 17, 2017.
Future Impact on Operating Budget:
Page 94 of 106
City of Auburn Capital Facilities Plan
251
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Jet A Fueling Facility
Project No:apbd04
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - 10,000 - -
Other -Unsecured - - - - -
State Grant -Unsecured - - - - -
- 10,000 - - -
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction - 10,000 - 10,000
- 10,000 - - 10,000
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue 50,000 - - - 50,000
Other -Unsecured - 350,000 - - 350,000
State Grant -Unsecured - - - - -
50,000 350,000 - - 400,000
Capital Expenditures:
Design 50,000 - - - 50,000
Right of Way - - - - -
Construction - 350,000 - - 350,000
50,000 350,000 - - 400,000
Construct any necessary site improvements to accommodate a temporary 2,200 gallon fueling truck for Jet A fuel on site in 2017.
Design and construct a permanent 12,000 gallon fuel tank for Jet A service at the airport in 2020 and 2021 after the runway
extension is complete and demand for Jet A fuel is established.
Progress Summary:
Future Impact on Operating Budget:
On-going operational costs will be minimal as the estimated $5,000/month expenses will be offset by fuel sale revenues.
Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
Page 95 of 106
City of Auburn Capital Facilities Plan
252
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Annual Repair and Replacement of Airport Facilities
Project No:apbd05
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - 20,000 20,000 20,000 40,000
Grants (Fed,State,Local)- - - - -
Other - - - - -
- 20,000 20,000 20,000 40,000
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction - 20,000 20,000 20,000 40,000
- 20,000 20,000 20,000 40,000
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue 20,000 20,000 20,000 20,000 120,000
Grants (Fed,State,Local)- - - - -
Other - - - - -
20,000 20,000 20,000 20,000 120,000
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction 20,000 20,000 20,000 20,000 120,000
20,000 20,000 20,000 20,000 120,000 Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
This is an annual repair and replacement program for the purpose of completing repairs to site fencing, hanger doors, fueling
facilities, roof repairs, etc.
Progress Summary:
Future Impact on Operating Budget:
None
Page 96 of 106
City of Auburn Capital Facilities Plan
253
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Automated Weather Observation System
Project No:cpxxxx
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - - - -
Federal - Non-Primary Entitlements - - - - -
State Grant -Unsecured - - - - -
- - - - -
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction - - - - -
- - - - -
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - - 8,333 8,333
Federal - Non-Primary Entitlements - - - 150,000 150,000
State Grant -Unsecured - - - 8,333 8,333
- - - 166,666 166,666
Capital Expenditures:
Design - - - 111,112 111,112
Right of Way - - - - -
Construction - - - 55,554 55,554
- - - 166,666 166,666
Grants / Other Sources:Federal Aviation Administration and Washington State Department of Transportation
Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
Install weather reporting equipment for instrument approach.
Progress Summary:
This project is dependent on grant funding which has been delayed from 2019 to 2022 in order to complete the Runway
Enhancement project per FAA requirements.
Future Impact on Operating Budget:
$2,000 annually for on-going maintenance and repair
Page 97 of 106
City of Auburn Capital Facilities Plan
254
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Airport Security Camera & Gate Access Upgrades
Project No:cpxxxx
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - - 70,000 -
Federal Grant -Unsecured - - - - -
State Grant -Unsecured - - - - -
- - - 70,000 -
Capital Expenditures:
Design - - - 10,500 -
Right of Way - - - - -
Construction - - - 59,500 -
- - - 70,000 -
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - - - 70,000
Federal Grant -Unsecured - - - - -
State Grant -Unsecured - - - - -
- - - - 70,000
Capital Expenditures:
Design - - - - 10,500
Right of Way - - - - -
Construction - - - - 59,500
- - - - 70,000
Grant / Other Sources:Project is not AIP Eligible
Total Funding Sources:
Total Expenditures:
Total Expenditures:
Total Funding Sources:
Forecasted Project Cost:
Increased security identified by the Federal Aviation Administration and the Transportation Security Administration for
Airport control access gates (both vehicle and personnel). This project will install security cameras and replace the
obsolete gate operator access control units. The proposed system will include cards and keypad operation with both
inbound and outbound tracking of the authorized tenant/guest. Personnel gates will also have the same system.
Progress Summary:
Future Impact on Operating Budget:
Estimated to be $2,000 annually to conduct maintenance and repair activities as needed.
Page 98 of 106
City of Auburn Capital Facilities Plan
255
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Precision Approach Path Indicator (PAPI) for Runway
Project No:cpxxxx
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - - - -
Federal Grant -Unsecured - - - - -
State Grant -Unsecured - - - - -
- - - - -
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction - - - - -
- - - - -
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - 168,000 168,000
Federal - Non-Primary Entitlement - - - -
Federal Grant -Unsecured - - - - -
State Grant -Unsecured - - - - -
- - 168,000 - 168,000
Capital Expenditures:
Design - - 33,600 - 33,600
Right of Way - - - -
Construction - - 134,400 - 134,400
- - 168,000 - 168,000 Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
Install Precision Approach Path Indicator (PAPI) for Runway to replace aging Visual Approach Slope Indicator (VASI) system.
Progress Summary:
Future Impact on Operating Budget:
$2,000 annually for on-going maintenance and repair
Page 99 of 106
City of Auburn Capital Facilities Plan
256
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Land Acquisition for Future Approaches
Project No:cpxxxx
Project Type:
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - 27,800 - 27,800
Federal - Non-Primary Entitlement - - - - -
Federal Grant -Unsecured - - 500,000 - 500,000
State Grant -Unsecured - - 27,800 27,800
- - 555,600 - 555,600
Capital Expenditures:
Design - - - - -
Acquisition - - 555,600 555,600
Construction - - - - -
- - 555,600 - 555,600
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - 183,333 - - 211,133
Federal - Non-Primary Entitlement - 300,000 - - 800,000
Federal Grant -Unsecured - 3,000,000 - - 3,500,000
State Grant -Unsecured - 183,334 - - 211,134
- 3,666,667 - - 4,722,267
Capital Expenditures:
Design - - - - -
Acquisition - 3,666,667 - 4,222,267
Construction - - - - -
- 3,666,667 - - 4,222,267
Grants / Other Sources:Federal Aviation Administration and Washington State Department of Transportation
Non-Capacity
Acquire a portion of land at the current Park and Ride for addressing the Runway Safety Area (RSA) and acquire the
remainder of the Park and Ride for addressing the Runway Protection Zone (RPZ).
Progress Summary:
Per discussions with the FAA, the acquisition for the RSA was moved from 2021 to 2018 and the acquisition for the RPZ
area was added to 2021. Budget has been adjusted to account for the anticipated funding plan identified by the FAA for
design and construction of the project per their letter of April 17, 2017.
Future Impact on Operating Budget:
Total Expenditures:
Total Expenditures:
Total Funding Sources:
Forecasted Project Cost:
None
Total Funding Sources:
Page 100 of 106
City of Auburn Capital Facilities Plan
257
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: Runway RSA Improvements
Project No:cpxxxx
Project Type:
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - - 25,000 -
Federal - Non-Primary Entitlement - - - 150,000 -
Federal Grant -Unsecured - - - 300,000 -
State Grant -Unsecured - - - 25,000 -
- - - 500,000 -
Capital Expenditures:
Design - - - 125,000 -
Right of Way - - - - -
Construction - - - 375,000 -
- - - 500,000 -
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - - - 25,000
Federal - Non-Primary Entitlement - - - - 150,000
Federal Grant -Unsecured - - - - 300,000
State Grant -Unsecured - - - - 25,000
- - - 500,000
Capital Expenditures:
Design - - - - 125,000
Right of Way - - - - -
Construction - - - - 375,000
- - - - 500,000 Total Expenditures:
Non-Capacity
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
This project will complete necessary improvements to the property purchased from the Park and Ride to be in compliance with the
FAA requirements for the Runway Safety Area.
Progress Summary:
Future Impact on Operating Budget:
Page 101 of 106
City of Auburn Capital Facilities Plan
258
AIRPORT FUND (465)Capital Facilities Plan
Six Year Capital Facilities Plan, 2018-2023 Enterprise Funds
Project Title: West Side Fencing
Project No:cpxxxx
Project Type:Non-Capacity
Project Manager:Kevin Snyder
Description:
Activity:
2017 YE 2018 Year End
Funding Sources:Prior to 2017 Estimate 2018 Budget 2019 Budget Project Total
Unrestricted Airport Revenue - - - - -
Federal Grant -Unsecured - - - - -
State Grant -Unsecured - - - - -
- - - - -
Capital Expenditures:
Design - - - - -
Right of Way - - - - -
Construction - - - - -
- - - - -
Total
2020 2021 2022 2023 2018-2023
Funding Sources:
Unrestricted Airport Revenue - - - 2,646 2,646
Federal Grant -Unsecured - - - 47,628 47,628
State Grant -Unsecured - - - 2,646 2,646
- - - 52,920 52,920
Capital Expenditures:
Design - - - 5,292 5,292
Right of Way - - - - -
Construction - - - 47,628 47,628
- - - 52,920 52,920
Grants / Other Sources:Federal Aviation Administration and Washington State Department of Transportation
Total Expenditures:
Total Funding Sources:
Total Expenditures:
Forecasted Project Cost:
Total Funding Sources:
Install fence on west side of property to complete perimeter security fencing and help control wildlife on the airport.
Progress Summary:
Future Impact on Operating Budget:
Page 102 of 106
City of Auburn Capital Facilities Plan
259
TABLE A-3
Impact on Future Operating Budgets
AIRPORT
Project:2019 2020 2021 2022 2023 2024 Total
1 Airport Security Camera &
Gate Access Upgrades -$ 2,000$ 2,000$ 2,000$ 2,000$ 2,000$ 10,000$
2 Precision Approach Path
Indicator (PAPI) for Runway - - - 2,000 2,000 2,000 6,000
Total -$ 2,000$ 2,000$ 4,000$ 4,000$ 4,000$ 16,000$
Page 103 of 106
AGENDA BILL APPROVAL FORM
Agenda Subject:
Matrix
Date:
March 6, 2018
Department:
City Council
Attachments:
Special Focus Areas Key
Matrix
Budget Impact:
Current Budget: $0
Proposed Revision: $0
Revised Budget: $0
Administrativ e Recommendation:
Background Summary:
Rev iewed by Council Committees:
Councilmember:Staff:
Meeting Date:March 12, 2018 Item Number:
Page 104 of 106
Revised 01-08-2018
HEALTH & HUMAN SERVICES FINANCE & ECONOMIC
DEVELOPMENT
PUBLIC WORKS & COMMUNITY
DEVELOPMENT MUNICIPAL SERVICES
HUMAN SERVICES FUNDING CITY BUDGET & AMENDMENTS UTILITIES POLICE
PUBLIC WELLNESS RISK MANAGEMENT ZONING, CODES & PERMITS SCORE JAIL
DOMESTIC VIOLENCE SERVICES EQUIPMENT RENTAL INNOVATION & TECHNOLOGY DISTRICT COURT
HOMELESSNESS SERVICES FACILITIES TRANSPORTATION PARKS & RECREATION
AFFORDABLE HOUSING CITY REAL PROPERTY STREETS ANIMAL CONTROL
COMMUNITY SERVICES LEGAL ENGINEERING SOLID WASTE
HUMAN RESOURCES DEVELOPMENT INCENTIVES CAPITAL PROJECTS EMERGENCY PLANNING
MEDICAL COMMUNITY RELATIONS BUSINESS DEVELOPMENT SUSTAINABILITY AIRPORT
ECONOMIC DEVELOPMENT STRATEGIES ENVIRONMENTAL PROTECTION AIRPORT BUSINESSES
CULTURAL ARTS & PUBLIC ARTS SISTER CITIES
PLANNING MULTIMEDIA
Councilmember Trout-Manuel, Chair Councilmember Holman, Chair Councilmember DaCorsi, Chair Councilmember Brown, Chair
Councilmember Wales, Vice Chair Councilmember Brown, Vice Chair Deputy Mayor Baggett, Vice Chair Councilmember Peloza, Vice Chair
2018 MEETING DATES 2018 MEETING DATES 2018 MEETING DATES 2018 MEETING DATES
January 22, 2018 February 12, 2018 February 26, 2018 January 8, 2018
March 26, 2018 April 9, 2018 April 23, 2018 March 12, 2018
May 29, 2018 June 11, 2018 June 25, 2018 May 14, 2018
July 23, 2018 August 13, 2018 August 27, 2018 July 9, 2018
September 24, 2018 October 8, 2018 October 22, 2018 September 10, 2018
November 26, 2018 December 10, 2018 December 24, 2018 November 13, 2018
SPECIAL FOCUS AREAS
Page 105 of 106
Updated 01-23-2018
NO.TOPIC Chair STAFF LEAD(S)STUDY SESSION REVIEW
DATE(S)
COUNCIL DISCUSSION
SUMMARY ACTION DATE
1
Capital Projects Update and
Featured Capital Project
Discussion
Chair DaCorsi
Vice Chair Deputy Mayor
Baggett
Asst. Director Gaub TBD
2
Community Sustainability
Series: Economic and
Statutory Considerations for
Municipalities
Chair DaCorsi
Vice Chair Deputy Mayor
Baggett
Asst. Director Tate 4/23/2018
4 Sign Requerments
Chair DaCorsi
Vice Chair Deputy Mayor
Baggett
Asst. Director Tate TBD
5 Airport Facilities Assessment
Report
Chair Brown
Vice Chair Peloza Asst. Director Gaub TBD
6 Airport Capital Needs Update Chair Brown
Vice Chair Peloza Asst. Director Gaub 3/12/2018
7 Service Line Presentation Chair Brown
Vice Chair Peloza Asst. Director Gaub 3/26/2018
8 Court Fees Chair Brown
Vice Chair Peloza City Attorney Heid TBD
9 Homelessness Update Chair Trout-Manuel
Vice Chair Wales Director Hinman 3/26/2018
10
Update on Court-DV
Filings/Hearings and DV
Model Firearms Program
Chair Trout-Manuel
Vice Chair Wales City Attorney Heid
TBD
11 R.E.A.D.Y. Program Update Chair Trout-Manuel
Vice Chair Wales
Pat Bailey and City
Attorney Heid
3/26/2018
12
Cost of Service Study -
Planning and Development
Fees
Chair Holman
Vice Chair Brown Finance Director Coleman
TBD
13 Livable Cities Update Chair Holman
Vice Chair Brown Asst. Director Tate TBD
COUNCIL MATRIX
Page 106 of 106