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HomeMy WebLinkAboutFIN 2018-08-21 COMPLETE AGENDA PACKETCity of Tukwila Finance Committee 0 De'Sean Quinn, Chair .0 Dennis Robertson 0 Kate Kruller GD TUESDAY, AUGUST 21, 2018— 5:30 PM HAZELNUT CONFERENCE ROOM (At east entrance of City Hall) Distribution: D. Quinn D. Robertson K. Kruller V. Seal K. Hougardy T. McLeod Z. Idan Mayor Ekberg D. Cline C. O'Flaherty L. Humphrey Item Recommended Action Page L PRESENTATION(S) 2. BUSINESS AGENDA a. Discussion on Business and Occupation (B&O) tax revenue. a. Discussion only. Pg. Peggy McCarthy, Finance Director b. Discussion on Commercial Parking Tax legislation. b. Forward to 8/27 C.O.W. Pg.53 Vicky Carlsen, Deputy Finance Director and 9/4 Regular Mtg. c. Compensation policy for City employees. c. Discussion only. Pg.55 Stephanie Brown,. Human Resources Director d. 2018 2nd Quarter financial report. d. Forward to 8/27 C.O.W. Pg.69 Peggy McCarthy, Finance Director Mtg. e. 2019-2020 Biennial Budget: e. Forward to 8/27 C.O.W. Pg.127 • City Council Mtg. Vicky Carlsen, Deputy Finance Director 3. ANNOUNCEMENTS 4. MISCELLANEOUS Next Scheduled Meeting: Wednesday, September 5, 2018 • The City of Tukwila strives to accommodate individuals with disabilities. Please contact the City Clerk's Office at 206-433-1800 (TukwilaCityClerk@TukwilaWA.gov) for assistance. City of Tukwila Allan Ekberg, Mayor INFOR ATIONAL MEMORANDU TO: Finance Committee FROM: Peggy McCarthy, Finance Director CC: Mayor Ekberg DATE: August 14, 2018 SUBJECT: Business & Occupation (B&O) Tax Next Steps ISSUE Following Committee guidance at the July 17, 2018 Finance Committee meeting, staff has the following goals for this agenda item: • Continue discussion with the Committee of the desirability of, and timeline for, enacting a Business and Occupation tax; • Report on the first stages of business outreach • Review preliminary draft legislation; and .Discuss alternative options for closing the budget gap. BACKGROUND Sales tax revenue has not grown in the past two years at the rate anticipated or budgeted. Additionally, the State's sales tax mitigation payments of approximately $1.1 million annually will cease in 2019, based on a decision by the state legislature. These two revenue shortfalls have the potential to create a more than $2 million annual budget gap. This budget gap was discussed with the Finance Committee in February through May in connection with the Public Safety Plan financing. The Administration has directed departments to underspend by 3°/0 in 2018 in order to meet the revenue shortfall, as well as identify 3% reductions for the next biennium. While the budget will continue to increase due to contractual obligations, it will not rise as quickly were these reductions not implemented. In addition, the City is transitioning to Priority Based Budgeting (PBB), which may help the Administration and Council identify other opportunities for expenditure reductions as the budget process progresses. However, from what we know today, without adding new revenue in 2019 the City will have to reduce service levels. Additional opportunities to better align revenues and expenditures include: • Establish a B&O tax, which could generate between $700K - $3 million • Increase the gambling tax rate by 1% - 5%,generating between $380K - $1.9 million • Transportation Benefit District car tabs, which would provide $200K to $500K annually to transportation -related projects • Increase other tax rates to the extent allowed without voter approval • Reduce General Fund operational expenditures across-the-board at a higher percentage than 3% • Reduce the General Fund contribution to the CIP by $500,000 annually The B&O tax provides the greatest potential additional revenue, better diversifying and stabilizing the city's revenues. B&O Tax rates are calculated on gross receipts multiplied by the tax rate set INFORMATIONAL MEMO Page 2 by government. The rate can be set at 0.2% or lower. For example, a business with gross revenue of $1 million would pay $2,000 per year. At the July 17, 2018 Finance Committee meeting, staff was asked to return to Committee with information on the outreach efforts, draft legislation and the following: 1. Can more business sectors be used in addition to the standard four — retail, wholesale, service and manufacturing? Per a telephone conversation with the Department of Revenue on 8/9/18, multiple sectors can be used each with a unique rate. A list of the State's B&O classifications is attached to this memorandum. 2. What is the logic used by other Cities in setting B&O tax rates? In the City of Kent, rates were set to encourage retail and manufacturing, not services and warehouses. In Renton, all rates are the same except retail which is lower to encourage retail development and activity. 3. What are the service impacts from different sectors? Of the four standard B&O sectors — retail, wholesale, services and manufacturing-- the retail sector receives the highest calls for service by both the Fire Department and the Police Department. However, it should be noted that the retail sector also generates the highest tax amount for the City and also has high foot traffic when compared to the other standard B&O sectors. 4. Why are we considering a B&O tax and how would the money fund City services? As mentioned above, sales tax revenue has not grown in the past two years at the rate anticipated or budgeted. Additionally, the State's sales tax mitigation payments of approximately $1.1 million annually will cease in 2019 based on a decision by the state legislature. These two revenue shortfalls have the potential to create a more than $2 million annual budget gap. While the Administration is proposing reductions, without additional revenues the City would need to reduce services. The additional revenue from a B&O tax would allow the current level of service to be maintained, including several police officers added over the past seven years. Additionally, the revenue would allow for continued investment in infrastructure including street overlay and bridge inspections. DISCUSSION Outreach The City has had some preliminary meetings with Westfield Southcenter and the Seattle Southside Chamber of Commerce to discuss a potential B&O tax and to discuss the overall budget situation of the City. These meetings were intended to help in the creation of an overall 2 W:12018 Info Memos\BO tax docx INFORMATIONAL MEMO Page 3 outreach strategy(see1]RAFTPotentia|B&C}|nop|ennent8tionCoOnrnunicabnnP|gn.ottachedtO this memo). The proposed communications plan is comprehensive. If the City decides to inno|a[nent o B&O beginning January 1, 2019, the communications plan would naaM to be streamlined. Some businesses may see a j2MU8ry 1. 2019inlp|eR1entation date ooa burden as many businesses develop budgets in advance of the beginning of the year. Finding the right balance of an implementation date that meets the {}itv'e needs and aUoVVa for adequate outreach will be important. Preliminary Draft Ordinances The draft ordinance to implement 2 B&C> is based on the nnoda| ordinance produced by the Association CfWashington Cities . When reviewing the ordinance, keep |Omind there are elements that are mandatory. Notes are included On the draft as comments. They highlight Council decision points. The Administrative draft code is provided as a separate chapter and is not included in the B&C] ordinance. This code can remain as aeeparot8 chapter or be incorporated into the B&(]tax chapter. Byestablishing the Administrative code separately for the B&(].the groundwork would be laid for the City toinclude administrative code for all taxes inone administrative code chapter making it easy to reference filing requirenneDto, payment rMeth0de, and penalty ratee, and promotes cohesive practices. Other Revenue Options Adoption of a B&{}tax, along with the previously discussed reductions in expenditures being proposed for the 2019/2020 budget, could close the budget gap created by the flattening sales tax and the discontinuation of the sales tax mitigation revenue and a||ovv the City to provide its current level Of service. FVrther, and importantly, adoption of'this tax VvoU|d better diversify and stabilize revanues, which would benefit the City long term. Additional revenue could reach $3 million or more. However, implementing a new tax is time consuming and requires significant education and outreach to the business community. Should the Council choose to consider other oodons, raising the Business License foe, in coordination with increases in other fees and taXes, could generate the goal of $2 million additional revenue. For example, the 2018 budget for business license revenue is $2.4 million and the City isUntrack to collect that and more in2O18. The current business license fee is $70 per full time employee or$35per part time employee. |fthe fee were raised to$112per full time employee and $50 per part time employee, an additional $1.5nlU|i0D could be generated. In oonlparison, the business license fee for the City of Kirkland is $105 per FTE and $112for Redmond — neither city has a B&C} tax. Raising the [)it'e fee would bring it in line with these rates. Another option that has been discussed ]sraising the gambling tax. |fitwere raised by1'% to 1 196 - the aenle rote charged by the City of Kent and in King County'a unincorporated areas - almost $400.000 could he generated in additional revenue. Revised Proposed Timeline If the best option is a B&O tax, the schedule below more realistically estimates the implementation dnneframe. The City of Renton used one year to inlo|o0eDt. The City of Shoreline hired a tax accountant effective January 1, 2018 for a January 1, 2019 B&O tax implementation date — thus � wA2018knfo MemosTO tax.dox � INFORMATIONAL MEMO Page 4 also o year of implementation time. The City of Kent implemented on a shorter time line but advises against this. The proposed 10-nlonth timeline that, while aggressive, meets the Citv'e needs to align revenues with expenditures while maintaining high service levels. REVISED PROPOSED TIMELINE: l[i00efraO0e Acton Item By Whom July and August, 2O18 Outreach to Seattle Southside Chamber of Commerce and Westfield SouthnenterMall Staff August 21.2O18Finance Committee Meeting Review and discuss revised implementation schedule, outreach and revenue options. Finance Committee September —December 2018 Continued outreach to business community On B&Otax or increasing existing rewsnVe—aee the Communication Plan attached tnthis memo. Council decision to institute B&D tax or pursue other revenue options Staff Finance Committee Full City Council January — June, 2O1Q ° Conduct outreach and education 'seethe Communications Plan attached to this memo ° Research requirements and strategies ° Recruit for a tax accountant if warranted based onCouncil decision ° Secure/establish ataxpayer payment portal * Establish policy and procedures ° Present status Updates and solicit policy decisions from City Council ° Ensure required legislation is enacted Staff Finance Committee Full City Council July 1.2O2O Effective date oflegislation RECOMMENDATION The Committee is being asked to provide direction on the next steps that should be undertaken, if any, U}establish and institute aBuSiO8SS &Occupation tax for the City and provide inputoD the draft communications plan ATTACHMENTS Proposed communications Plan Preliminary draft Business & Occupation tax ordinance Preliminary draft Tax Administration ordinance /\VVC Local Business B&C) Tax Rates, Effective January 1, 2018 State cfWashington B&C)tax rates � � WA2010Info mmrnosWtax.docx DRAFT Potential B&O Implementation Communications Plan Key Messages The City of Tukwila is committed to developing and adopting a fiscally -sound, balanced 2019/2020 biennial budget. • The Mayor will formally present his budget to the City Council on Monday, October 1, following Council review of each departments' preliminary budget during August and September committee meetings. • The City Council will deliberate on the Mayor's budget and ultimately pass a balanced budget prior to the end of the year. The City's ongoing revenues are not keeping up with ongoing expenditures due to a number of factors. • As a matter of course, more than one-third of the City's overall revenues come from sales tax, but sales tax growth has flattened and not keeping pace with the cost of ongoing expenditures. • On top of this, the State funding of sales tax mitigation, which was established to compensate cities like Tukwila hard-hit by the change to destination -based sales tax, will end by 2020, resulting in a $2 million shortfall to the 2019/2020 biennium. • All governments are limited as to what revenues are available, and property tax increases are restricted to 1% annually, leaving little tools to address the natural rise in the cost of delivering general government services. Tukwila's proven performance history of financial management and policies ensures a good foundation for the upcoming biennial budget. • The City is exploring all available tools to continue to provide a high level of services for the broader Tukwila community. The City enjoys a strong bond rating of AA by S&P, which was just affirmed in mi-July due to its "very strong financial management and policies." The City is exploring a two -pronged approach to address the 2019/2020 budget shortfall that includes identifying both potential expenditure reductions, as well as additional revenue tools. • Departments have been asked to undergo an exercise to determine options available to the city utilizing a 5% underspend in 2019 and 2020. • The City is also exploring revenue options, including ensuring that taxes and fees are in line with regional standards, as well sustainable revenue options such as a Business and Occupation Tax (B&O) on large businesses. DRAFT B&O Implementation Communications Plan 1 5 The City is only exploring a B&O on large businesses with gross receipts in excess of $250,000. o Small businesses would not be affected by the B&O. o The City has the flexibility to set different rates for different classifications, which may be explored. o Tukwila is learning from the great work done by cities who have implemented — some of which very recently— B&O taxes focused on larger businesses, such as Kent, Renton and Shoreline. 56% of the City's general fund goes to public safety and infrastructure, which support our business community. • The City spends nearly $19 million a year in police services; xx% of calls for services are in the City's commercial areas. • The Tukwila Fire Department has earned a Washington State Surveying and Rating Bureau rating of 3, which allows Tukwila property owners a better insurance record; of 600 fire departments in Washington State, only 35 rate as a3 or above. • Tukwila has a long history of funding critical infrastructure to support the City's commercial core; visible — such as roads — and hidden — such as water and sewers — are regularly maintained in order to support the business and residential community. • Investing in ongoing public works maintenance has been shown to reduce overall cost by extending life of roads and critical infrastructure. The Administration and Council are genuinely committed to a cooperative approach for this effort, which includes input and ideas from the community, staff and other stakeholders. • The City will be transparent in all of its decision -making, and steadfast in providing ongoing, comprehensive communications regarding the budget as it is developed and deliberated. • City staff are actively outreaching to the business community to discuss potential service reductions, revenue options and to better understand what a proposed B&O on large businesses would mean to the business community. External Communications Strategy Goals: • Undergo outreach to a variety of stakeholders that may be affected by a potential B&O tax. • Use this opportunity as a way to educate Tukwila's business community on the City's budget, revenue limitations and provision of City services. • Solicit ideas for other revenue sources, how a B&O could be structured and what any implementation would look like. • Utilize critical influencers to assist in disseminating outreach. DRAFT B&O Implementation Communications Plan 6 Vehicles • partner with both Andrea Reey from Seatt|eSouthside and Becky Smith from Westfield SoOthCeDte[toleverage their relationships within Tukvv|a~s business community to achieve the most successful outreach. Each will beasked tofacilitate meetings inorder for City Staff to.reach the broadest stakeholder group. • One-on-one or small group meetings with the following individuals and companies: o Mike Hansen, Sabey o Red Dot • Mark Se8a|e,Sega|e c/ Fatigue Technologies Propertieso Seattle Chocolate o Boeing o Baker Commodities o Co$tco o Continental Mills o Wig Family o Panzene|la o Regency o Industrial Revolution o Clarion c, Other Businesses Identified c/ Omar and Christine Lee inmeetings with businesses. o Ooub|etree ^• Small .Group !Meetings with �businesses. • Use the opportunity to attend boards and commissions meetings, TIBAC, etc. to educate residents on the 8&Oand the fact that it would only apply to large businesses, • The City will produce the following collateral for this effort: • Slide deck, nomore than IOslides o Two -pager (front/back) leave behind with an FA{} o Web page presence; narrated slide deck and leave behind posted o Single point email for questions • Should Council deliberate onthis topic, staff will ensure stakeholders are well -aware of opportunities to weigh in at public meetings. 84etrics: • Meetings held with everyone identified above that was interested in the topic. w Staff presentation at boards and commissions, TIBAC and other organizations as possible. • Materials are developed and disseminated. w Members of the business community feel part of the process and decision making, even ifunhappy with final decision. DRAFT 8&OImplementation Communications Plan � / 8 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON; AMENDING TUKWILA MUNICIPAL CODE TITLE 3 "REVENUE AND FINANCE", IMPOSING A BUSINESS AND OCCUPATION TAX AND ADOPTING A NEW CHAPTER 3.XX ENTITLED "BUSINESS AND OCCUPATION TAX CODE"; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, State law authorizes municipalities to impose a Business and Occupation tax on business activities within the City; and WHEREAS, in 2003, the Legislature passed EHB 2030 (RCW Chapter 35.102), establishing a more uniform system of City business and occupation taxes through mandatory adoption of a model Business and Occupation tax ordinance and subsequently updated the model in 2012; and WHEREAS, the City Council of the City of Tukwila has considered the City's anticipated structural budget gap; and WHEREAS, the City has implemented program cuts and Priority Based Budgeting to address expenditures; and WHEREAS, financial forecasts of the General Fund nevertheless project a budgetary gap due to the elimination of sales tax mitigation payments in 2020 and the underperformance of other revenue sources; WHEREAS, the Council wishes to adopt a Business and Occupation Tax Code in compliance with RCW Chapter 35.102 and the model ordinance; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Title III "Revenue and Finance" of the Tukwila Municipal Code is hereby amended to add a new Chapter XXX, entitled "Business and Occupation Tax Code" to read as follows: Draft B&O Ordinance Page 1 of 23 9 Section 2. Section Title. . 010 Purpose. This chapter implements Washington Constitution Article XI, Section 12 and RCW 35A.82.020 and 35A.11.020, which give municipalities the authority to license for revenue. In the absence of a legal or constitutional prohibition, municipalities have the power to define taxation categories as they see fit in order to respond to the unique concerns and responsibilities of local government. .020 Exercise of revenue license power. The provisions of this chapter shall be deemed an exercise of the power of the City to license for revenue. The provisions of this chapter are subject to periodic statutory or administrative rule changes or judicial interpretations of the ordinances or rules. The responsibility rests with the licensee or taxpayer to reconfirm tax computation procedures and remain in compliance with the City code. . 025 Adoption by reference. Where provisions of the Revised Code of Washington (RCW) are adopted or incorporated by reference in this chapter, the adoption or incorporation shall be deemed to refer to the provision as it now exists or as it may be hereafter amended. . 028 Administrative Provisions. The administrative provisions contained in chapter shall be fully applicable to the provisions of this chapter except as expressly stated to the contrary herein. .030 Definitions. In construing the provisions of this chapter, the following definitions shall be applied. Words in the singular number shall include the plural, and the plural shall include the singular. A. "Administrator" shall mean the Finance Director or designee, unless otherwise specified. B. "Business. ""Business" includes all activities engaged in with the object of gain, benefit, or advantage to the taxpayer or to another person or class, directly or indirectly. C. "Business and occupation tax." "Business and occupation tax" or "gross receipts tax" means a tax imposed on or measured by the value of products, the gross income of the business, or the gross proceeds of sales, as the case may be, and that is the legal liability of the business. D. "Commercial or industrial use." "Commercial or industrial use" means the following uses of products, including by-products, by the extractor or manufacturer thereof: 1. Any use as a consumer; and 2. The manufacturing of articles, substances or commodities; E. "Delivery" means the transfer of possession of tangible personal property between the seller and the buyer or the buyer's representative. Delivery to an employee of a buyer is considered delivery to the buyer. Transfer of possession of tangible 1 0 Draft B&O Ordinance Page 2 of 23 personal property occurs when the buyer or the buyer's representative first takes physical control of the property or exercises dominion and control over the property. Dominion and control means the buyer has the ability to put the property to the buyer's own purposes. It means the buyer or the buyer's representative has made the final decision to accept or reject the property, and the seller has no further right to possession of the property and the buyer has no right to return the property to the seller, other than under a warranty contract. A buyer does not exercise dominion and control over tangible personal property merely by arranging for shipment of the property from the seller to itself. A buyer's representative is a person, other than an employee of the buyer, who is authorized in writing by the buyer to receive tangible personal property and take dominion and control by making the final decision to accept or reject the property. Neither a shipping company nor a seller can serve as a buyer's representative. It is immaterial where the contract of sale is negotiated or where the buyer obtains title to the property. Delivery terms and other provisions of the Uniform Commercial Code (Title 62A RCW) do not determine when or where delivery of tangible personal property occurs for purposes of taxation. F. "Digital automated service," "digital code," and "digital goods" have the same meaning as in RCW 82.04.192. G. "Digital products" means digital goods, digital codes, digital automated services, and the services described in RCW 82.04.050(2)(g) and (6)(b). H. "Eligible gross receipts tax." The term "eligible gross receipts tax" means a tax which: 1. Is imposed on the act or privilege of engaging in business activities within section .050; and 2. Is measured by the gross volume of business, in terms of gross receipts and is not an income tax or value added tax; and 3. Is not, pursuant to law or custom, separately stated from the sales price; and 4. Is not a sales or use tax, business license fee, franchise fee, royalty or severance tax measured by volume or weight, or concession charge, or payment for the use and enjoyment of property, property right or a privilege; and 5. Is a tax imposed by a local jurisdiction, whether within or without the State of Washington, and not by a Country, State, Province, or any other non -local jurisdiction above the County level. I. "Engaging in business" - 1. The term "engaging in business" means commencing, conducting, or continuing in business, and also the exercise of corporate or franchise powers, as well as liquidating a business when the liquidators thereof hold themselves out to the public as conducting such business. 2. This section sets forth examples of activities that constitute engaging in business in the City, and establishes safe harbors for certain of those activities so that a person who meets the criteria may engage in de minimus business activities in the City without having to register and obtain a business license or pay City business and occupation taxes. The activities Draft B&O Ordinance Page 3 of 23 1 1 listed in this section are illustrative only and are not intended to narrow the definition of "engaging in business" in subsection (1). If an activity is not listed, whether it constitutes engaging in business in the City shall be determined by considering all the facts and circumstances and applicable law. 3. Without being all-inclusive, any one of the following activities conducted within the City by a person, or its employee, agent, representative, independent contractor, broker or another acting on its behalf constitutes engaging in business and requires a person to register and obtain a business license. (a) Owning, renting, leasing, maintaining, or having the right to use, or using, tangible personal property, intangible personal property, or real property permanently or temporarily located in the City. (b) Owning, renting, leasing, using, or maintaining, an office, place of business, or other establishment in the City. (c) Soliciting sales. (d) Making repairs or providing maintenance or service to real or tangible personal property, including warranty work and property maintenance. (e) Providing technical assistance or service, including quality control, product inspections, warranty work, or similar services on or in connection with tangible personal property sold by the person or on its behalf. (f) Installing, constructing, or supervising installation or construction of, real or tangible personal property. (g) Soliciting, negotiating, or approving franchise, license, or other similar agreements. (h) Collecting current or delinquent accounts. (i) Picking up and transporting tangible personal property, solid waste, construction debris, or excavated materials. (j) Providing disinfecting and pest control services, employment and labor pool services, home nursing care, janitorial services, appraising, landscape architectural services, security system services, surveying, and real estate services including the listing of homes and managing real property. (k) Rendering professional services such as those provided by accountants, architects, attorneys, auctioneers, consultants, engineers, professional athletes, barbers, baseball clubs and other sports organizations, chemists, consultants, psychologists, court reporters, dentists, doctors, detectives, laboratory operators, teachers, veterinarians. (I) Meeting with customers or potential customers, even when no sales or orders are solicited at the meetings. (m) Training or recruiting agents, representatives, independent contractors, brokers or others, domiciled or operating on a job in 1 2 Draft B&O Ordinance Page 4 of 23 the City, acting on its behalf, or for customers or potential customers. (n) Investigating, resolving, or otherwise assisting in resolving customer complaints. (o) In-store stocking or manipulating products or goods, sold to and owned by a customer, regardless of where sale and delivery of the goods took place. (p) Delivering goods in vehicles owned, rented, leased, used, or maintained by the person or another acting on its behalf. (q) Accepting or executing a contract with the City, irrespective of whether goods or services are delivered within or without the City, or whether the person's office or place of business is within or without the City. 4. If a person, or its employee, agent, representative, independent contractor, broker or another acting on the person's behalf, engages in no other activities in or with the City but the following, it need not register and obtain a business license and pay tax. (a) Meeting with suppliers of goods and services as a customer. (b) Meeting with government representatives in their official capacity, other than those performing contracting or purchasing functions. (c) Attending meetings, such as board meetings, retreats, seminars, and conferences, or other meetings wherein the person does not provide training in connection with tangible personal property sold by the person or on its behalf. This provision does not apply to any board of director member or attendee engaging in business such as a member of a board of directors who attends a board meeting. (d) Renting tangible or intangible property as a customer when the property is not used in the City. (e) Attending, but not participating in a "trade show" or "multiple vendor events". Persons participating at a trade show shall review the City's trade show or multiple vendor event ordinances. (f) Conducting advertising through the mail. (g) Soliciting sales by phone from a location outside the City. 5. A seller located outside the City merely delivering goods into the City by means of common carrier is not required to register and obtain a business license, provided that it engages in no other business activities in the City. Such activities do not include those in subsection 4. 6. The City expressly intends that engaging in business include any activity sufficient to establish nexus for purposes of applying the tax under the law and the constitutions of the United States and the State of Washington. Nexus is presumed to continue as long as the taxpayer benefits from the activity that constituted the original nexus generating contact or subsequent contacts. J. "Extracting." "Extracting" is the activity engaged in by an extractor and is reportable under the extracting classification. Draft B&O Ordinance Page 5 of 23 13 K. "Extractor." "Extractor" means every person who from the person's own land or from the land of another under a right or license granted by lease or contract, either directly or by contracting with others for the necessary labor or mechanical services, for sale or for commercial or industrial use, mines, quarries, takes or produces coal, oil, natural gas, ore, stone, sand, gravel, clay, mineral or other natural resource product; or fells, cuts or takes timber, Christmas trees, other than plantation Christmas trees, or other natural products; or takes fish, shellfish, or other sea or inland water foods or products. "Extractor" does not include persons performing under contract the necessary labor or mechanical services for others; or persons meeting the definition of farmer. L. "Extractor for Hire" "Extractor for hire means a person who performs under contract necessary labor or mechanical services for an extractor. M. "Gross income of the business." "Gross income of the business" means the value proceeding or accruing by reason of the transaction of the business engaged in and includes gross proceeds of sales, compensation for the rendition of services, gains realized from trading in stocks, bonds, or other evidences of indebtedness, interest, discount, rents, royalties, fees, commissions, dividends, and other emoluments however designated, all without any deduction on account of the cost of tangible property sold, the cost of materials used, labor costs, interest, discount, delivery costs, taxes, or any other expense whatsoever paid or accrued and without any deduction on account of losses. N. "Gross proceeds of sales." "Gross proceeds of sales" means the value proceeding or accruing from the sale of tangible personal property, digital goods, digital codes, digital automated services or for other services rendered, without any deduction on account of the cost of property sold, the cost of materials used, labor costs, interest, discount paid, delivery costs, taxes, or any other expense whatsoever paid or accrued and without any deduction on account of losses. O. "Manufacturing." "Manufacturing" means the activity conducted by a manufacturer and is reported under the manufacturing classification. P. "Manufacturer," "to manufacture." 1. "Manufacturer" means every person who, either directly or by contracting with others for the necessary labor or mechanical services, manufactures for sale or for commercial or industrial use from the person's own materials or ingredients any products. When the owner of equipment or facilities furnishes, or sells to the customer prior to manufacture, materials or ingredients equal to less than twenty percent (20%) of the total value of all materials or ingredients that become a part of the finished product, the owner of the equipment or facilities will be deemed to be a processor for hire, and not a manufacturer. 2. "To manufacture" means all activities of a commercial or industrial nature wherein labor or skill is applied, by hand or machinery, to materials or ingredients so that as a result thereof a new, different or useful product is produced for sale or commercial or industrial use, and shall include: (a) The production of special made or custom-made articles; (b) The production of dental appliances, devices, restorations, substitutes, or other dental laboratory products by a dental laboratory or dental technician; 14 Draft B&O Ordinance Page 6 of 23 (c) Crushing and/or blending of rock, sand, stone, gravel, or ore; and (d) The producing of articles for sale, or for commercial or industrial use from raw materials or prepared materials by giving such materials, articles, and substances of trade or commerce new forms, qualities, properties or combinations including, but not limited to, such activities as making, fabricating, processing, refining, mixing, slaughtering, packing, aging, curing, mild curing, preserving, canning, and the preparing and freezing of fresh fruits and vegetables. "To manufacture" shall not include the production of digital goods or the production of computer software if the computer software is delivered from the seller to the purchaser by means other than tangible storage media, including the delivery by use of a tangible storage media where the tangible storage media is not physically transferred to the purchaser. Q. "Person." "Person" means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, co -partnership, joint venture, club, company, joint stock company, business trust, municipal corporation, political subdivision of the State of Washington, corporation, limited liability company, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, non-profit, or otherwise and the United States or any instrumentality thereof. R. "Retailing." "Retailing" means the activity of engaging in making sales at retail and is reported under the retailing classification. S. "Retail Service." "Retail service" shall include the sale of or charge made for personal, business, or professional services including amounts designated as interest, rents, fees, admission, and other service emoluments however designated, received by persons engaging in the following business activities: 1. Amusement and recreation services including but not limited to golf, pool, billiards, skating, bowling, swimming, bungee jumping, ski lifts and tows, basketball, racquet ball, handball, squash, tennis, batting cages, day trips for sightseeing purposes, and others, when provided to consumers. "Amusement and recreation services" also include the provision of related facilities such as basketball courts, tennis courts, handball courts, swimming pools, and charges made for providing the opportunity to dance. The term "amusement and recreation services" does not include instructional lessons to learn a particular activity such as tennis lessons, swimming lessons, or archery lessons. 2. Abstract, title insurance, and escrow services; 3. Credit bureau services; 4. Automobile parking and storage garage services; 5. Landscape maintenance and horticultural services but excluding (i) horticultural services provided to farmers and (ii) pruning, trimming, repairing, removing, and clearing of trees and brush near electric transmission or distribution lines or equipment, if performed by or at the direction of an electric utility; 6. Service charges associated with tickets to professional sporting events; and Draft B&O Ordinance Page 7 of 23 15 7. The following personal services: Physical fitness services, tanning salon services, tattoo parlor services, steam bath services, turkish bath services, escort services, and dating services. 8. The term shall also include the renting or leasing of tangible personal property to consumers and the rental of equipment with an operator. T. "Sale," "casual or isolated sale." 1. "Sale" means any transfer of the ownership of, title to, or possession of, property for a valuable consideration and includes any activity classified as a "sale at retail," "retail sale," or "retail service." It includes renting or leasing, conditional sale contracts, leases with option to purchase, and any contract under which possession of the property is given to the purchaser but title is retained by the vendor as security for the payment of the purchase price. It also includes the furnishing of food, drink, or meals for compensation whether consumed upon the premises or not. 2. "Casual or isolated sale" means a sale made by a person who is not engaged in the business of selling the type of property involved on a routine or continuous basis. U "Sale at retail," "retail sale." 1. "Sale at retail" or "retail sale" means every sale of tangible personal property (including articles produced, fabricated, or imprinted) to all persons irrespective of the nature of their business and including, among others, without limiting the scope hereof, persons who install, repair, clean, alter, improve, construct, or decorate real or personal property of or for consumers, other than a sale to a person who presents a resale certificate under ROW 82.04.470 and who: (a) Purchases for the purpose of resale as tangible personal property in the regular course of business without intervening use by such person; or (b) Installs, repairs, cleans, alters, imprints, improves, constructs, or decorates real or personal property of or for consumers, if such tangible personal property becomes an ingredient or component of such real or personal property without intervening use by such person; or (c) Purchases for the purpose of consuming the property purchased in producing for sale a new article of tangible personal property or substance, of which such property becomes an ingredient or component or is a chemical used in processing, when the primary purpose of such chemical is to create a chemical reaction directly through contact with an ingredient of a new article being produced for sale; or (d) Purchases for the purpose of consuming the property purchased in producing ferrosilicon which is subsequently used in producing magnesium for sale, if the primary purpose of such property is to create a chemical reaction directly through contact with an ingredient of ferrosilicon or 1 6 Draft B&O Ordinance Page 8 o 23 (e) Purchases for the purpose of providing the property to consumers as part of competitive telephone service, as defined in RCW 82.04.065. The term shall include every sale of tangible personal property which is used or consumed or to be used or consumed in the performance of any activity classified as a "sale at retail" or "retail sale" even though such property is resold or utilized as provided in (a), (b), (c), (d), or (e) of this subsection following such use. (f) Purchases for the purpose of satisfying the person's obligations under an extended warranty as defined in subsection (7) of this section, if such tangible personal property replaces or becomes an ingredient or component of property covered by the extended warranty without intervening use by such person. 2 "Sale at retail" or "retail sale" also means every sale of tangible personal property to persons engaged in any business activity which is taxable under this chapter. 3. "Sale at retail" or "retail sale" shall include the sale of or charge made for tangible personal property consumed and/or for labor and services rendered in respect to the following: (a) The installing, repairing, cleaning, altering, imprinting, or improving of tangible personal property of or for consumers, including charges made for the mere use of facilities in respect thereto, but excluding charges made for the use of coin -operated laundry facilities when such facilities are situated in an apartment house, rooming house, or mobile home park for the exclusive use of the tenants thereof, and also excluding sales of laundry service to nonprofit health care facilities, and excluding services rendered in respect to live animals, birds and insects; (b) The constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for consumers, including the installing or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation, and shall also include the sale of services or charges made for the clearing of land and the moving of earth excepting the mere leveling of land used in commercial farming or agriculture; (c) The charge for labor and services rendered in respect to constructing, repairing, or improving any structure upon, above, or under any real property owned by an owner who conveys the property by title, possession, or any other means to the person performing such construction, repair, or improvement for the purpose of performing such construction, repair, or improvement and the property is then reconveyed by title, possession, or any other means to the original owner; (d) The sale of or charge made for labor and services rendered in respect to the cleaning, fumigating, razing or moving of existing Draft B&O Ordinance Page 9 of 23 17 buildings or structures, but shall not include the charge made for janitorial services; and for purposes of this section the term "janitorial services" shall mean those cleaning and caretaking services ordinarily performed by commercial janitor service businesses including, but not limited to, wall and window washing, floor cleaning and waxing, and the cleaning in place of rugs, drapes and upholstery. The term "janitorial services" does not include painting, papering, repairing, furnace or septic tank cleaning, snow removal or sandblasting; (e) The sale of or charge made for labor and services rendered in respect to automobile towing and similar automotive transportation services, but not in respect to those required to report and pay taxes under chapter 82.16 RCW; (f) The sale of and charge made for the furnishing of lodging and all other services, except telephone business and cable service, by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of any similar license to use real property, as distinguished from the renting or leasing of real property, and it shall be presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or enjoy the same. For the purposes of this subsection, it shall be presumed that the sale of and charge made for the furnishing of lodging for a continuous period of one month or more to a person is a rental or lease of real property and not a mere license to enjoy the same; (g) The installing, repairing, altering, or improving of digital goods for consumers; (h) The sale of or charge made for tangible personal property, labor and services to persons taxable under (a), (b), (c), (d), (e), (f), and (g) of this subsection when such sales or charges are for property, labor and services which are used or consumed in whole or in part by such persons in the performance of any activity defined as a "sale at retail" or "retail sale" even though such property, labor and services may be resold after such use or consumption. Nothing contained in this subsection shall be construed to modify subsection 1 of this section and nothing contained in subsection 1 of this section shall be construed to modify this subsection. 4. "Sale at retail" or "retail sale" shall also include the providing of competitive telephone service to consumers. 5. "Sale at retail" or "retail sale" (a) shall also include the sale of prewritten software other than a sale to a person who presents a resale certificate under RCW 82.04.470, regardless of the method of delivery to the end user. For purposes of this subsection (5)(a) the sale of the sale of prewritten computer software includes the sale of or charge made for a key or an enabling or activation code, where the key or code is 1 8 Draft B&O Ordinance Page 10 of 23 required to activate prewritten computer software and put the software into use. There is no separate sale of the key or code from the prewritten computer software, regardless of how the sale may characterized by the vendor or by the purchaser. The term "sale at retail" or "retail sale" does not include the sale of or charge made for: (i) Custom software; or (ii) The customization of prewritten software. (b) (i) The term also includes the charge made to consumers for the right to access and use prewritten computer software, where possession of the software is maintained by the seller or a third party, regardless of whether the charge for the service is on a per use, per user, per license, subscription, or some other basis. (ii) (a) The service described in b.i of this subsection 5 includes the right to access and use prewritten software to perform data processing. (b) For purposes of this subsection (b)(ii) "data processing" means the systematic performance of operations on data to extract the required information in an appropriate form or to convert the data to usable information. Data processing includes check processing, image processing, form processing, survey processing, payroll processing, claim processing, and similar activities. 6. "Sale at retail" or "retail sale" shall also include the sale of or charge made for labor and services rendered in respect to the building, repairing, or improving of any street, place, road, highway, easement, right of way, mass public transportation terminal or parking facility, bridge, tunnel, or trestle which is owned by a municipal corporation or political subdivision of the state, the State of Washington, or by the United States and which is used or to be used primarily for foot or vehicular traffic including mass transportation vehicles of any kind (public road construction). 7. "Sale at retail" or "retail sale" shall also include the sale of or charge made for an extended warranty to a consumer. For purposes of this subsection, "extended warranty" means an agreement for a specified duration to perform the replacement or repair of tangible personal property at no additional charge or a reduced charge for tangible personal property, labor, or both, or to provide indemnification for the replacement or repair of tangible personal property, based on the occurrence of specified events. The term "extended warranty" does not include an agreement, otherwise meeting the definition of extended warranty in this subsection, if no separate charge is made for the agreement and the value of the agreement is included in the sales price of the tangible personal property covered by the agreement. 8. "Sale at retail" or "retail sale" shall also include the sale of or charge made for labor and services rendered in respect to the constructing, repairing, decorating, or improving of new or existing buildings or other structures under, Draft B&O Ordinance Page 11 of 23 19 upon, or above real property of or for the United States, any instrumentality thereof, or a county or city housing authority created pursuant to chapter 35.82 ROW, including the installing, or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation (government contracting). 9. "Sale at retail" or "retail sale" shall not include the sale of services or charges made for the clearing of land and the moving of earth of or for the United States, any instrumentality thereof, or a county or city housing authority. Nor shall the term include the sale of services or charges made for cleaning up for the United States, or its instrumentalities, radioactive waste and other byproducts of weapons production and nuclear research and development. 10. "Sale at retail" or "retail sale" shall not include the sale of or charge made for labor and services rendered for environmental remedial action. 11. "Sale at retail" or "retail sale" shall also include the following sales to consumers of digital goods, digital codes, and digital automated services: (a) Sales in which the seller has granted the purchaser the right of permanent use; (b) Sales in which the seller has granted the purchaser a right of use that is less than permanent; (c) Sales in which the purchaser is not obligated to make continued payment as a condition of the sale; and (d) Sales in which the purchaser is obligated to make continued payment as a condition of the sale. A retail sale of digital goods, digital codes, or digital automated services under this subsection [insert reference to section 5(11)] includes any services provided by the seller exclusively in connection with the digital goods, digital codes, or digital automated services, whether or not a separate charge is made for such services. For purposes of this subsection, "permanent" means perpetual or for an indefinite or unspecified length of time. A right of permanent use is presumed to have been granted unless the agreement between the seller and the purchaser specifies or the circumstances surrounding the transaction suggest or indicate that the right to use terminates on the occurrence of a condition subsequent. 12. "Sale at retail" or "retail sale" shall also include the installing, repairing, altering, or improving of digital goods for consumers. V. "Sale at wholesale," "wholesale sale." "Sale at wholesale" or "wholesale sale" means any sale of tangible personal property, digital goods, digital codes, digital automated services, prewritten computer software, or services described in [insert reference to "sale at retail" section 5(b)(i)], which is not a retail sale, and any charge made for labor and services rendered for persons who are not consumers, in respect to real or personal property and retail services, if such charge is expressly defined as a retail sale or retail service when rendered to or for 20 Draft B&O Ordinance Page 12 of 23 consumers. Sale at wholesale also includes the sale of telephone business to another telecommunications company as defined in RCW 80.04.010 for the purpose of resale, as contemplated by RCW 35.21.715. W. "Service." "Service" means any sale or charge made for personal, business or professional service, including amounts designated as rents, fees, or admissions, not otherwise included within any other tax classification defined herein; provided that, the term "service" excludes retail or wholesale services. X. "Taxpayer." "Taxpayer" means any "person", as herein defined, required to have a business license under this chapter or liable for the collection of any tax or fee under this chapter, or who engages in any business or who performs any act for which a tax or fee is imposed by this chapter. Y. "Value proceeding or accruing." "Value proceeding or accruing" means the consideration, whether money, credits, rights, or other property expressed in terms of money, a person is entitled to receive or which is actually received or accrued. The term shall be applied, in each case, on a cash receipts or accrual basis according to which method of accounting is regularly employed in keeping the books of the taxpayer. Z. "Value of products." (1) 1. The value of products, including by-products, extracted or manufactured, shall be determined by the gross proceeds derived from the sale thereof whether such sale is at wholesale or at retail, to which shall be added all subsidies and bonuses received from the purchaser or from any other person with respect to the extraction, manufacture, or sale of such products or by-products by the seller. 2. Where such products, including by-products, are extracted or manufactured for commercial or industrial use; and where such products, including by- products, are shipped, transported or transferred out of the City, or to another person, without prior sale or are sold under circumstances such that the gross proceeds from the sale are not indicative of the true value of the subject matter of the sale; the value shall correspond as nearly as possible to the gross proceeds from sales in this state of similar products of like quality and character, and in similar quantities by other taxpayers, plus the amount of subsidies or bonuses ordinarily payable by the purchaser or by any third person with respect to the extraction, manufacture, or sale of such products. In the absence of sales of similar products as a guide to value, such value may be determined upon a cost basis. In such cases, there shall be included every item of cost attributable to the particular article or article extracted or manufactured, including direct and indirect overhead costs. The Director may prescribe rules for the purpose of ascertaining such values. 3. Notwithstanding subsection 2 above, the value of a product manufactured or produced for purposes of serving as a prototype for the development of a new or improved product shall correspond to (a) the retail selling price of such new or improved product when first offered for sale; or (b) the value of materials incorporated into the prototype in cases in which the new or improved product is not offered for sale. Draft B&O Ordinance Page 13 of 23 21 AA. "Wholesaling." "Wholesaling" means engaging in the activity of making sales at wholesale, and is reported under the wholesaling classification. .040 .050 Imposition of the tax - tax or fee levied. A. Except as provided in subsection B of this section, there is hereby levied upon and shall be collected from every person a tax for the act or privilege of engaging in business activities within the City, whether the person's office or place of business be within or without the City. The tax shall be in amounts to be determined by application of rates against gross proceeds of sale, gross income of business, or value of products, including by-products, as the case may be, as follows: 1. Upon every person engaging within the City in businc-s as an extractor; as rate of of one percent ( ). The measure of the tax is the value of the products, including by products, so extracted, regardless • outside the City. 1. Upon every person engaging within the City in business as a manufacturer, as to such persons the amount of the tax with respect to such business shall be equal to the value of the products, including by-products, manufactured within the city, multiplied by the rate of rate of 0.02 of one percent _(0.002) _. The measure of the tax is the value of the products, including by-products, so manufactured, regardless of the place of sale or the fact that deliveries may be made to points outside the City. 2. Upon every person engaging within the City in the business of making sales at wholesale, as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of such sales of the business without regard to the place of delivery of articles, commodities or merchandise sold, multiplied by the rate of 0.02 of one percent _(0.002). 3. Upon every person engaging within the City in the business of making sales at retail, as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of such sales of the business, without regard to the place of delivery of articles, commodities or merchandise sold, multiplied by the rate of 0.02 of one percent _(0.002) periodicals, (iv) extracting for hire, and (v) proce-sing for hire; as to such persons, the amount 22 Draft B&O Ordinance Page 14 of 23 income of the business multi -plied by the rate _(0.002) 4. Upon every person engaging within the City in the business of making sales of retail services; as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of sales multiplied by rate of 0.02 of one percent (0.002) . Upon every other person engaging within the City in any business activity other than or in addition to those enumerated in the above subsections; as to such persons, the amount of tax on account of such activities shall be equal to the gross income of the business multiplied by the rate of rate of 0.02 of one percent _(0.002). This subsection includes, among others, and without limiting the scope hereof, whether or not title to material used in the performance of such business passes to another by accession, merger or other than by outright sale, persons engaged in the business of developing, or producing custom software or of customizing canned software, producing royalties or commissions, and persons engaged in the business of rendering any type of service which does not constitute a sale at retail, a sale at wholesale, or a retail service. B. The gross receipts tax imposed in this section shall not apply to any person whose gross proceeds of sales, gross income of the business, and value of products, including by-products, as the case may be, from all activities conducted within the City during any calendar year is equal to or less than $20,000, or is equal to or less than $5,000 during any quarter if on a quarterly reporting basis. .070 Multiple activities credit when activities take place in one or more cities with eligible gross receipt taxes. A. Persons who engage in business activities that are within the purview of two (2) or more subsections of .050 shall be taxable under each applicable subsection. B. Notwithstanding anything to the contrary herein, if imposition of the City's tax would place an undue burden upon interstate commerce or violate constitutional requirements, a taxpayer shall be allowed a credit to the extent necessary to preserve the validity of the City's tax, and still apply the City tax to as much of the taxpayer's activities as may be subject to the City's taxing authority. C. To take the credit authorized by this section, a taxpayer must be able to document that the amount of tax sought to be credited was paid upon the same gross receipts used in computing the tax against which the credit is applied. D. Credit for persons that sell in the City products that they extract or manufacture. Persons taxable under the retailing or wholesaling classification with respect to selling products in this City shall be allowed a credit against those taxes for any eligible gross receipts taxes paid (a) with respect to the manufacturing of the products sold in the City, and (b) with respect to the extracting of the products, or the ingredients used in the products, sold in the Draft B&O Ordinance Page 15 of 23 23 City. The amount of the credit shall not exceed the tax liability arising under this chapter with respect to the sale of those products. E. Credit for persons that manufacture products in the City using ingredients they extract. Persons taxable under the manufacturing classification with respect to manufacturing products in this City shall be allowed a credit against those taxes for any eligible gross receipts tax paid with respect to extracting the ingredients of the products manufactured in the City. The amount of the credit shall not exceed the tax liability arising under this chapter with respect to the manufacturing of those products. F. Credit for persons that sell within the City products that they print, or publish with respect to selling products in this City shall be allowed a credit against those taxes for any eligible gross receipts taxes paid with respect to the productsprinting, or the printing and publishing, of the sold within the City. .075 Deductions to prevent multiple taxation of manufacturing activities and prior to January 1, 2008, transactions involving more than one city with an eligible gross receipts tax. A. Amounts subject to an eligible gross receipts tax in another city that also maintains nexus over the same activity. For taxes due prior to January 1, 2008, a taxpayer that is subject to an eligible gross receipts tax on the same activity in more than one jurisdiction may be entitled to a deduction as follows: 1. A taxpayer that has paid an eligible gross receipts tax, with respect to a sale of goods or services, to a jurisdiction in which the goods are delivered or the services are provided may deduct an amount equal to the gross receipts used to measure that tax from the measure of the tax owed to the City. 2. Notwithstanding the above, a person that is subject to an eligible gross receipts tax in more than one jurisdiction on the gross income derived from intangibles such as royalties, trademarks, patents, or goodwill shall assign those gross receipts to the jurisdiction where the person is domiciled (its headquarters is located). 3. A taxpayer that has paid an eligible gross receipts tax on the privilege of accepting or executing a contract with another city may deduct an amount equal to the contract price used to measure the tax due to the other city from the measure of the tax owed to the City. B. Person manufacturing products within and without. A person manufacturing products within the City using products manufactured by the same person outside the City may deduct from the measure of the manufacturing tax the value of products manufactured outside the City and included in the measure of an eligible gross receipts tax paid to the other jurisdiction with respect to manufacturing such products. 24 Draft B&O Ordinance Page 16 of 23 .076 Assignment of gross income derived from intangibles. Gross income derived from the sale of intangibles such as royalties, trademarks, patents, or goodwill shall be assigned to the jurisdiction where the person is domiciled (its headquarters is located). .077 Allocation and apportionment of income when activities take place in more than one jurisdiction. Gross income, other than persons subject to the provisions of chapter 82.14A RCW, shall be allocated and apportioned as follows: A. Gross income derived from all activities other than those taxed as service or royalties under [insert city code reference to .050(1)(g)] shall be allocated to the location where the activity takes place. B. In the case of sales of tangible personal property, the activity takes place where delivery to the buyer occurs. C. In the case of sales of digital products, the activity takes place where delivery to the buyer occurs. The delivery of digital products will be deemed to occur at: 1. The seller's place of business if the purchaser receives the digital product at the seller's place of business; 2. If not received at the seller's place of business, the location where the purchaser or the purchaser's donee, designated as such by the purchaser, receives the digital product, including the location indicated by instructions for delivery to the purchaser or donee, known to the seller; 3. If the location where the purchaser or the purchaser's done receives the digital product is not known, the purchaser's address maintained in the ordinary course of the seller's business when use of this address does not constitute bad faith; 4. If no address for the purchaser is maintained in the ordinary course of the seller's business, the purchaser's address obtained during the consummation of the sale, including the address of a purchaser's payment instrument, if no other address is available, when use of this address does not constitute bad faith; and 5. If no address for the purchaser is obtained during the consummation of the sale, the address where the digital good or digital code is first made available for transmission by the seller or the address from which the digital automated service or service described in RCW 82.04.050 (2)(g) or (6)(b) was provided, disregarding for these purposes any location that merely provided the digital transfer of the product sold. Draft B&O Ordinance Page 17 of 23 25 D. If none of the methods in subsection [insert city code reference to .077(3)] for determining where the delivery of digital products occurs are available after a good faith effort by the taxpayer to apply the methods provided in subsections [insert city code reference to .077(3)(a) through .077(3)(e)], then the city and the taxpayer may mutually agree to employ any other method to effectuate an equitable allocation of income from the sale of digital products. The taxpayer will be responsible for petitioning the city to use an alternative method under this subsection [insert city code reference to .077(D)]. The city may employ an alternative method for allocating the income from the sale of digital products if the methods provided in subsections [insert city code reference to .077(3)(a) through .077(3)(e)] are not available and the taxpayer and the city are unable to mutually agree on an alternative method to effectuate an equitable allocation of income from the sale of digital products. E. For purposes of subsections [insert city code reference to .077(3)(a) through .077(3)(e)], "Receive" has the same meaning as in RCW 82.32.730. F. Gross income derived from activities taxed as services and other activities taxed under [insert city code reference to .050(1)(g)] shall be apportioned to the city by multiplying apportionable income by a fraction, the numerator of which is the payroll factor plus the service -income factor and the denominator of which is two. 1. The payroll factor is a fraction, the numerator of which is the total amount paid in the city during the tax period by the taxpayer for compensation and the denominator of which is the total compensation paid everywhere during the tax period. Compensation is paid in the city if: (a) The individual is primarily assigned within the city; (b) The individual is not primarily assigned to any place of business for the tax period and the employee performs fifty percent or more of his or her service for the tax period in the city; or (c) The individual is not primarily assigned to any place of business for the tax period, the individual does not perform fifty percent or more of his or her service in any city and the employee resides in the city. 2 The service income factor is a fraction, the numerator of which is the total service income of the taxpayer in the city during the tax period, and the denominator of which is the total service income of the taxpayer everywhere during the tax period. Service income is in the city if: (a) The customer location is in the city; or (b) The income -producing activity is performed in more than one location and a greater proportion of the service -income -producing activity is performed in the city than in any other location, based on costs of performance, and the taxpayer is not taxable at the customer location; or (c) The service -income -producing activity is performed within the city, and the taxpayer is not taxable in the customer location. 26 Draft B&O Ordinance Page 18 of 23 3. If the allocation and apportionment provisions of this subsection do not fairly represent the extent of the taxpayer's business activity in the city or cities in which the taxpayer does business, the taxpayer may petition for or the tax administrators may jointly require, in respect to all or any part of the taxpayer's business activity, that one of the following methods be used jointly by the cities to allocate or apportion gross income, if reasonable: (a) Separate accounting; (b) The use of a single factor; (c) The inclusion of one or more additional factors that will fairly represent the taxpayer's business activity in the city; or (iv) The employment of any other method to effectuate an equitable allocation and apportionment of the taxpayer's income. G. The definitions in this subsection apply throughout this section. 1. "Apportionable income" means the gross income of the business taxable under the service classifications of a city's gross receipts tax, including income received from activities outside the city if the income would be taxable under the service classification if received from activities within the city, less any exemptions or deductions available. 2. "Compensation" means wages, salaries, commissions, and any other form of remuneration paid to individuals for personal services that are or would be included in the individual's gross income under the federal internal revenue code. 3. "Individual" means any individual who, under the usual common law rules applicable in determining the employer -employee relationship, has the status of an employee of that taxpayer. 4. "Customer location" means the city or unincorporated area of a county where the majority of the contacts between the taxpayer and the customer take place. 5. "Primarily assigned" means the business location of the taxpayer where the individual performs his or her duties. 6. "Service -taxable income" or "service income" means gross income of the business subject to tax under either the service or royalty classification. 7. "Tax period" means the calendar year during which tax liability is accrued. If taxes are reported by a taxpayer on a basis more frequent than once per year, taxpayers shall calculate the factors for the previous calendar year for reporting in the current calendar year and correct the reporting for the previous year when the factors are calculated for that year, but not later than the end of the first quarter of the following year. Draft MO Ordinance Page 19 of 23 27 8. "Taxable in the customer location" means either that a taxpayer is subject to a gross receipts tax in the customer location for the privilege of doing business, or that the government where the customer is located has the authority to subject the taxpayer to gross receipts tax regardless of whether, in fact, the government does so. H. Assignment or apportionment of revenue under this Section shall be made in accordance with and in full compliance with the provisions of the interstate commerce clause of the United States Constitution where applicable. .078 Allocation and apportionment of printing and publishing income when activities take place in more than one jurisdiction. Notwithstanding RCW 35.102.130, effective January 1, 2008, gross income from the activities of printing, and of publishing newspapers, periodicals, or magazines, shall be allocated to the principal place in this state from which the taxpayer's business is directed or managed. As used in this section, the activities of printing, and of publishing newspapers, periodicals, or magazines, have the same meanings as attributed to those terms in RCW 82.04.280(1) by the Department of Revenue. .090 Exemptions. A. Public utilities. This chapter shall not apply to any person in respect to a business activity with respect to which tax liability is specifically imposed under the provisions of [local utility tax cite]. B. Investments - dividends from subsidiary corporations. (a) This chapter shall not apply to amounts derived by persons, other than those engaging in banking, loan, security, or other financial businesses, from investments or the use of money as such, and also amounts derived as dividends by a parent from its subsidiary corporations. C. Insurance business. This chapter shall not apply to amounts received by any person who is an insurer or their appointed insurance producer upon which a tax based on gross premiums is paid to the state pursuant to RCW 48.14.020, and provided further, that the provisions of this subsection shall not exempt any bonding company from tax with respect to gross income derived from the completion of any contract as to which it is a surety, or as to any liability as successor to the liability of the defaulting contractor. D. Employees: This chapter shall not apply to any person in respect to the person's employment in the capacity as an employee or servant as distinguished from that of an independent contractor. For the purposes of this subsection, the definition of employee shall include those persons that are defined in the Internal Revenue Code, as hereafter amended. A booth renter is an independent contractor for purposes of this chapter. E. Amounts derived from sale of real estate. This chapter shall not apply to gross proceeds derived from the sale of real estate. This, however, shall not be construed to allow an exemption of amounts received as commissions from the sale of real estate, nor as fees, handling charges, discounts, interest or similar financial charges resulting from, or relating to, real estate transactions. This chapter shall also not apply to amounts received for the rental of real estate if the 28 Draft B&O Ordinance Page 20 of 23 rental income is derived from a contract to rent for a continuous period of thirty (30) days or longer. F. Mortgage brokers' third -party provider services trust accounts. This chapter shall not apply to amounts received from trust accounts to mortgage brokers for the payment of third -party costs if the accounts are operated in a manner consistent with RCW 19.146.050 and any rules adopted by the director of financial institutions. G. Amounts derived from manufacturing, selling or distributing motor vehicle fuel. This chapter shall not apply to the manufacturing, selling, or distributing motor vehicle fuel, as the term "motor vehicle fuel" is defined in RCW 82.36.010 and exempt under RCW 82.36.440, provided that any fuel not subjected to the state fuel excise tax, or any other applicable deduction or exemption, will be taxable under this chapter. H. Amounts derived from liquor, and the sale or distribution of liquor. This chapter shall not apply to liquor as defined in RCW 66.04.010 and exempt in RCW 66.08.120. I. Casual and isolated sales. This chapter shall not apply to the gross proceeds derived from casual or isolated sales. J. Accommodation sales. This chapter shall not apply to sales for resale by persons regularly engaged in the business of making retail sales of the type of property so sold to other persons similarly engaged in the business of selling such property where 1. The amount paid by the buyer does not exceed the amount paid by the seller to the vendor in the acquisition of the article and 2. The sale is made as an accommodation to the buyer to enable the buyer to fill a bona fide existing order of a customer or is made within fourteen (14) calendar days to reimburse in kind a previous accommodation sale by the buyer to the seller. K. Taxes collected as trust funds. This chapter shall not apply to amounts collected by the taxpayer from third parties to satisfy third party obligations to pay taxes such as the retail sales tax, use tax, and admission tax. .100 Deductions. In computing the license fee or tax, there may be deducted from the measure of tax the following items: A. Receipts from tangible personal property delivered outside the State. In computing tax, there may be deducted from the measure of tax under retailing or wholesaling amounts derived from the sale of tangible personal property that is delivered by the seller to the buyer or the buyer's representative at a location outside the State of Washington. B. Cash discount taken by purchaser. In computing tax, there may be deducted from the measure of tax the cash discount amounts actually taken by the purchaser. This deduction is not allowed in arriving at the taxable amount under the extracting or manufacturing classifications with respect to articles produced or manufactured, the reported values of which, for the purposes of this tax, have been computed according to the "value of product" provisions. Draft B&O Ordinance Page 21 of 23 29 C. Credit losses of accrual basis taxpayers. In computing tax, there may be deducted from the measure of tax the amount of credit losses actually sustained by taxpayers whose regular books of account are kept upon an accrual basis. D. Constitutional prohibitions. In computing tax, there may be deducted from the measure of the tax amounts derived from business which the City is prohibited from taxing under the Constitution of the State of Washington or the Constitution of the United States. E. Receipts From the Sale of Tangible Personal Property and Retail Services Delivered Outside the City but Within Washington. Effective January 1, 2008, amounts included in the gross receipts reported on the tax return derived from the sale of tangible personal property delivered to the buyer or the buyer's representative outside the City but within the State of Washington may be deducted from the measure of tax under the retailing, retail services, or wholesaling classification. F. Professional employer services. In computing the tax, a professional employer organization may deduct from the calculation of gross income the gross income of the business derived from performing professional employer services that is equal to the portion of the fee charged to a client that represents the actual cost of wages and salaries, benefits, workers' compensation, payroll taxes, withholding, or other assessments paid to or on behalf of a covered employee by the professional employer organization under a professional employer agreement. G. Interest on investments or loans secured by mortgages or deeds of trust. In computing tax, to the extent permitted by Chapter 82.14A ROW, there may be deducted from the measure of tax by those engaged in banking, loan, security or other financial businesses, amounts derived from interest received on investments or loans primarily secured by first mortgages or trust deeds on non - transient residential properties. .110 Application to City's business activities. Any department, division, employee association, or other subsection of the City that engages in any business activity which if engaged in by any person would under this chapter require a business license and the payment of any tax or fee shall make application, file returns, and pay any taxes or fees imposed by this chapter. .120 Tax part of overhead. It is not the intention of this chapter that the taxes or fees herein levied upon persons engaging in business be construed as taxes or fees upon the purchasers or customer, but that such taxes or fees shall be levied upon, and collectible from, the person engaging in the business activities herein designated and that such taxes or fees shall constitute a part of the cost of doing business of such persons. .130 Severability Clause. If any provision of this chapter or its application to any person or circumstance is held invalid, the remainder of the chapter or the application of the provision to other persons or circumstances shall not be affected. 30 Draft B&O Ordinance Page 22 of 23 Section 4. Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. Section 5. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 6. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2018. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel Turpin, City Attorney Allan Ekberg, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: Draft B&O Ordinance Page 23 of 23 31 32 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON; AMENDING TUKWILA MUNICIPAL CODE TITLE 3 "REVENUE AND FINANCE", ADOPTING A NEW CHAPTER XX, ENTITLED "BUSINESS AND OCCUPATION TAX ADMINISTRATIVE CODE", PROVIDING ADMINISTRATIVE PROCESSES FOR ADMINISTERING CITY BUSINESS AND OCCUPATION TAX CODES; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, state law authorizes municipalities to impose a Business and Occupation tax on business activities within the City; and WHEREAS, in 2001, the Legislature passed EHB 2030 (RCW Chapter 35.102), establishing a more uniform system of City Business and Occupation taxes through mandatory adoption of a model Business and Occupation tax ordinance; and WHEREAS, the 2003 Legislature also directed cities, working in conjunction with the Association of Washington Cities, to establish and set a model of administrative procedures in administering their business and occupation taxes based on; WHEREAS, the Council adopted a Business and Occupation Tax Code in compliance with RCW Chapter 35.102 and the model ordinance; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Section XXX, Administrative Provisions for Business and Occupation Taxes, of Chapter XXX Business and Occupation Tax, of Title III (Revenue and Finance) of the Tukwila Municipal Code, is hereby amended as follows: .010 Purpose. Washington Constitution Article XI, Section 12 and RCW 35A.82.020 and 35A.11.020 (code cities); RCW 35.22.280(32) (first class cities); RCW 35.23.440(8) (second class cities); and RCW 35.27.370(9) (fourth class cities and towns), which give municipalities the authority to license for revenue. In the absence of a legal or Draft B&O Administrative Provisions Page 1 of 16 33 constitutional prohibition, municipalities have the power to define taxation categories as they see fit in order to respond to the unique concerns and responsibilities of local government. It is intended that this chapter be as uniform as possible among the various municipalities and consistent with the mandatory requirements of Chapter 35.102 RCW for municipalities. Uniformity with provisions of state tax laws should not be presumed, and references in this chapter to statutory or administrative rule changes do not mean state tax statutes or rules promulgated by the Department of Revenue automatically apply. This chapter is to provide administrative specific guidelines and provisions to implement, administer, and enforce the City Business and Occupation tax code. .015 Application of chapter stated. The provisions of this chapter shall apply with respect to the taxes imposed under chapters and under other titles, chapters, and sections in such manner and to such extent as indicated in each such title, chapter or section. .020 Definitions. For purposes of this chapter: The definitions contained in chapter (tax portion of model ordinance) shall apply equally to the provisions of this chapter unless the term is defined otherwise in this chapter. In addition, the following definitions will apply. A. "Reporting period." "Reporting period" means: 1. A one -month period beginning the first day of each calendar month (monthly); or 2. A three-month period beginning the first day of January, April, July or October of each year (quarterly); or 3. A twelve-month period beginning the first day of January of each year (annual). B. "Return." "Return" means any document a person is required by the City to file to satisfy or establish a tax or fee obligation that is administered or collected by the City and that has a statutorily defined due date. C. "Successor." "Successor" means any person to whom a taxpayer quitting, selling out, exchanging, or disposing of a business sells or otherwise conveys, directly or indirectly, in bulk and not in the ordinary course of the taxpayer's business, any part of the materials, supplies, merchandise, inventory, fixtures, or equipment of the taxpayer. Any person obligated to fulfill the terms of a contract shall be deemed a successor to any contractor defaulting in the performance of any contract as to which such person is a surety or guarantor. D. "Tax year," "taxable year." "Tax year" or "taxable year" means the calendar year. .021 Definitions -- References to Chapter 82.32 RCW Where provisions of Chapter 82.32 RCW are incorporated in [insert city code reference to section .090] of this Title, "Department" as used in the RCW shall refer to the "Director" as defined in [insert city code reference to section .030 of the model ordinance — some cities may need to add definition to their .030 provisions from the guidelines] and "warrant" as used in the RCW shall mean "citation or criminal complaint." 34 Draft B&O Administrative Provisions Page 2 of 16 .025 Registration/license requirements. No person shall engage in any business or conduct any business activity without first obtaining a valid current business registration as required by TMC 5.04.015. .030 Registration/license certificates. CITIES WILL INSERT THEIR OWN REGISTRATION/LICENSES CERTIFICATE LANGUAGE. .040 When due and payable - Reporting periods - Monthly, quarterly, and annual returns - Threshold provisions or Relief from filing requirements - Computing time periods - Failure to file returns. A. Other than any annual license fee or registration fee assessed under this chapter, the tax imposed by this chapter shall be due and payable in quarterly installments. At the Director's discretion, businesses may be assigned to a monthly or annual reporting period depending on the tax amount owing or type of tax. Tax payments are due on or before the last day of the next month following the end of the assigned reporting period covered by the return. B. Taxes shall be paid as provided in this chapter and accompanied by a return on forms as prescribed by the Director. The return shall be signed by the taxpayer personally or by a responsible officer or agent of the taxpayer. The individual signing the return shall swear or affirm that the information in the return is complete and true. C. Tax returns must be filed and returned by the due date whether or not any tax is owed. D. For purposes of the tax imposed by chapter (tax portion of model ordinance), any person whose value of products, gross proceeds of sales, or gross income of the business, subject to tax after all allowable deductions, is equal to or less than (1st OPTION: Twenty Thousand Dollars ($20,000) (or higher threshold as determined by city) in the current calendar year) -or- (2nd OPTION: Five Thousand Dollars ($5,000) (or higher threshold as determined by the city) in the current quarter), shall file a return, declare no tax due on their return, and submit the return to the Director. The gross receipts and deduction amounts shall be entered on the tax return even though no tax may be due. (Subsection D. is mandatory) E. A taxpayer that commences to engage in business activity shall file a return and pay the tax or fee for the portion of the reporting period during which the taxpayer is engaged in business activity. F. Except as otherwise specifically provided by any other provision of this chapter, in computing any period of days prescribed by this chapter the day of the act or event from which the designated period of time runs shall not be included. The last day of the period shall be included unless it is a Saturday, Sunday, or City or Federal legal holiday, in which case the last day of such period shall be the next succeeding day which is neither a Saturday, Sunday, or City or Federal legal holiday. Draft B&O Administrative Provisions Page 3 of 16 35 G. If any taxpayer fails, neglects or refuses to make a return as and when required in this chapter, the Director is authorized to determine the amount of the tax or fees payable by obtaining facts and information upon which to base the Director's estimate of the tax or fees due. Such assessment shall be deemed prima facie correct and shall be the amount of tax owed to the City by the taxpayer. The Director shall notify the taxpayer by mail of the amount of tax so determined, together with any penalty, interest, and fees due, the total of such amounts shall thereupon become immediately due and payable. .050 Payment methods - Mailing returns or remittances - Time extension - Deposits - Recording payments - Payment must accompany return - NSF checks. A. Taxes shall be paid to the Director in United States currency by bank draft, certified check, cashier's check, personal check, money order, cash, or by wire transfer or electronic payment if such wire transfer or electronic payment is authorized by the Director. If payment so received is not paid by the bank on which it is drawn, the taxpayer, by whom such payment is tendered, shall remain liable for payment of the tax and for all legal penalties, the same as if such payment had not been tendered. Acceptance of any sum by the Director shall not discharge the tax or fee due unless the amount paid is the full amount due. B. A return or remittance that is transmitted to the City by United States mail shall be deemed filed or received on the date shown by the cancellation mark stamped by the Post Office upon the envelope containing it. The Director may allow electronic filing of returns or remittances from any taxpayer. A return or remittance which is transmitted to the City electronically shall be deemed filed or received according to procedures set forth by the Director. C. If a written request is received prior to the due date, the Director, for good cause, may grant, in writing, additional time within which to make and file returns. D. The Director shall keep full and accurate records of all funds received or refunded. The Director shall apply payments first against all penalties and interest owing, and then upon the tax, without regard to any direction of the taxpayer. E. For any return not accompanied by a remittance of the tax shown to be due thereon, the taxpayer shall be deemed to have failed or refused to file a return and shall be subject to the penalties and interest provided in this chapter. F. Any payment made that is returned for lack of sufficient funds or for any other reason will not be considered received until payment by certified check, money order, or cash of the original amount due, plus a "non -sufficient funds" (NSF) charge set by the Director is paid in full. Any license issued upon payment with a NSF check will be considered void, and shall be returned to the Director. No license shall be reissued until payment (including the NSF fee) is received. G. The Director is authorized, but not required, to mail tax return forms to taxpayers, but failure of the taxpayer to receive any such forms shall not excuse the taxpayer from filing returns and making payment of the taxes or fees, when and as due under this chapter. .060 Records to be preserved - Examination - Estoppel to question assessment. 36 Draft B&O Administrative Provisions Page 4 of 16 Every person liable for any fee or tax imposed by this chapter shall keep and preserve, for a period of five (5) years after filing a tax return, such records as may be necessary to determine the amount of any fee or tax for which the person may be liable; which records shall include copies of all federal income tax and state tax returns and reports made by the person. All books, records, papers, invoices, vendor lists, inventories, stocks of merchandise, and other data including federal income tax and state tax returns and reports shall be open for examination at any time by the Director or its duly authorized agent. Every person's business premises shall be open for inspection or examination by the Director or a duly authorized agent. A. If a person does not keep the necessary books and records within the City, it shall be sufficient if such person (a) produces within the City such books and records as may be required by the Director, or (b) bears the cost of examination by the Director's agent at the place where such books and records are kept; provided that the person electing to bear such cost shall pay in advance to the Director the estimated amount thereof including round-trip fare, lodging, meals and incidental expenses, subject to adjustment upon completion of the examination. B. Any person who fails, or refuses a Department request, to provide or make available records, or to allow inspection or examination of the business premises, shall be forever barred from questioning in any court action, the correctness of any assessment of taxes made by the City for any period for which such records have not been provided, made available or kept and preserved, or in respect of which inspection or examination of the business premises has been denied. The Director is authorized to determine the amount of the tax or fees payable by obtaining facts and information upon which to base the estimate of the tax or fees due. Such fee or tax assessment shall be deemed prima facie correct and shall be the amount of tax owing the City by the taxpayer. The Director shall notify the taxpayer by mail the amount of tax so determined, together with any penalty, interest, and fees due; the total of such amounts shall thereupon become immediately due and payable. .070 Accounting methods. A. A taxpayer may file tax returns in each reporting period with amounts based upon cash receipts only if the taxpayer's books of account are kept on a cash receipts basis. A taxpayer that does not regularly keep books of account on a cash receipts basis must file returns with amounts based on the accrual method. B. The taxes imposed and the returns required hereunder shall be upon a calendar year basis. .080 Public work contracts - Payment of fee and tax before final payment for work. The Director may, before issuing any final payment to any person performing any public work contract for the City, require such person to pay in full all license fees or taxes due under this title from such person on account of such contract or otherwise, and may require such taxpayer to file with the Director a verified list of all subcontractors supplying labor and/or materials to the person in connection with said public work. Draft B&O Administrative Provisions Page 5 of 16 37 .090 Underpayment of tax, interest, or penalty — Interest. If, upon examination of any returns, or from other information obtained by the Director, it appears that a tax or penalty less than that properly due has been paid, the Director shall assess the additional amount found to be due and shall add thereto interest on the tax only. The Director shall notify the person by mail of the additional amount, which shall become due and shall be paid within thirty (30) days from the date of the notice, or within such time as the Director may provide in writing. A. For the purposes of this section, the rate of interest to be charged for any late or underpayment of taxes and/or assessments shall be in accordance with ROW 82.32.050 as it now exists or as it may be amended. B. If subsection A of this section is held to be invalid, then the provisions of ROW 82.32.050 existing at the effective date of this ordinance shall apply. (Mandatory) .095 Time in which assessment may be made. The Director shall not assess, or correct an assessment for, additional taxes, penalties, or interest due more than four years after the close of the calendar year in which they were incurred, except that the Director may issue an assessment: A. Against a person who is not currently registered or licensed or has not filed a tax return as required by this chapter for taxes due within the period commencing 10 years prior to the close of the calendar year in which the person was contacted in writing by the Director; B. Against a person that has committed fraud or who misrepresented a material fact; or C. Against a person that has executed a written waiver of such limitations. .100 Over payment of tax, penalty, or interest - Credit or refund - Interest rate - Statute of limitations. A. If, upon receipt of an application for a refund, or during an audit or examination of the taxpayer's records and tax returns, the Director determines that the amount of tax, penalty, or interest paid is in excess of that properly due, the excess amount shall be credited to the taxpayer's account or shall be refunded to the taxpayer. Except as provided in subsection (2) of this section, no refund or credit shall be made for taxes, penalties, or interest paid more than four (4) years prior to the beginning of the calendar year in which the refund application is made or examination of records is completed. B. The execution of a written waiver shall extend the time for applying for, or making a refund or credit of any taxes paid during, or attributable to, the years covered by the waiver if, prior to the expiration of the waiver period, an application for refund of such taxes is made by the taxpayer or the Director discovers that a refund or credit is due. C. Refunds shall be made by means of vouchers approved by the Director and by the issuance of a City check or warrants drawn upon and payable from such funds as the City may provide. 38 Draft B&O Administrative Provisions Page 6 of 16 D. Any final judgment for which a recovery is granted by any court of competent jurisdiction for tax, penalties, interest, or costs paid by any person shall be paid in the same manner, as provided in subsection (3) of this section, upon the filing with the Director a certified copy of the order or judgment of the court. E. The rate of interest on overpayments of taxes on refunds or credits of amounts paid or other recovery allowed a taxpayer shall be in accordance with RCW 82.32.060 as it now exists or as it may be amended. F. If subsection E of this section is held to be invalid, then the provisions of ROW 82.32.060 existing at the effective date of this ordinance shall apply (Mandatory) .110 Late payment - Disregard of written instructions - Evasion - Penalties. A. If payment of any tax due on a return to be filed by a taxpayer is not received by the Director by the due date, the Director shall add a penalty in accordance with RCW 82.32.090(1), as it now exists or as it may be amended. B. If the Director determines that any tax has been substantially underpaid as defined in RCW 82.32.090(2), there shall be added a penalty in accordance with RCW 82.32.090(2), as it now exists or as it may be amended. C. If a citation or criminal complaint is issued by the Director for the collection of taxes, fees, assessments, interest or penalties, there shall be added thereto a penalty in accordance with RCW 82.32.090(3), as it now exists or as it may be amended. D. If the Director finds that a person has engaged in any business or performed any act upon which a tax is imposed under this title and that person has not obtained from the Director a license as required by TMC 5.04, the Director shall impose a penalty in accordance with RCW 82.32.090(4), as it now exists or as it may be amended. No penalty shall be imposed under this subsection (4) if the person who has engaged in business without a license obtains a license prior to being notified by the Director of the need to be licensed. E. If the Director determines that all or any part of a deficiency resulted from the taxpayer's failure to follow specific written tax reporting instructions, there shall be assessed a penalty in accordance with RCW 82.32.090(5), as it now exists or as it may be amended. F. If the Director finds that all or any part of the deficiency resulted from an intent to evade the tax payable, the Director shall assess a penalty in accordance with RCW 82.32.090(6), as it now exists or as it may be amended. G. The penalties imposed under subsections A through E above of this section can each be imposed on the same tax found to be due. This subsection does not prohibit or restrict the application of other penalties authorized by law. H. The Director shall not impose both the evasion penalty and the penalty for disregarding specific written instructions on the same tax found to be due. I. For the purposes of this section, "return" means any document a person is required by the City to file to satisfy or establish a tax or fee obligation that is administered or collected by the City, and that has a statutorily defined due date. J. If incorporation into the City code of future changes to RCW 82.32.090 is deemed invalid, then the provisions of RCW 82.32.090 existing at the time this ordinance is effective shall apply. (Mandatory) Draft B&O Administrative Provisions Page 7 of 16 39 .120 Cancellation of penalties. A. The Director may cancel any penalties imposed under subsections .110 if the taxpayer shows that its failure to timely file or pay the tax was due to reasonable cause and not willful neglect. Willful neglect is presumed unless the taxpayer shows that it exercised ordinary business care and prudence in making arrangements to file the return and pay the tax but was, nevertheless, due to circumstances beyond the taxpayer's control, unable to file or pay by the due date. The Director has no authority to cancel any other penalties or to cancel penalties for any other reason except as provided in subsection C. B. A request for cancellation of penalties must be received by the Director within 30 days after the date the Department mails the notice that the penalties are due. The request must be in writing and contain competent proof of all pertinent facts supporting a reasonable cause determination. In all cases the burden of proving the facts rests upon the taxpayer. C. The Director may cancel the penalties in subsections .110 one time if a person: 1. Was not licensed, and filing returns, 2. Was unaware of its responsibility to file and pay tax, and 3. Obtained business licenses and filed past due tax returns within 30 days after being notified by the Department. 4. The Director has no authority to cancel any other penalties or to cancel penalties or interest charged upon amounts due for any other reason except as provided in subsection C of this section. .130 Taxpayer quitting business - Liability of successor. A. Whenever any taxpayer quits business, sells out, exchanges, or otherwise disposes of his business or his stock of goods, any tax payable hereunder shall become immediately due and payable. Such taxpayer shall, within ten (10) days thereafter, make a return and pay the tax due. B. Any person who becomes a successor shall become liable for the full amount of any tax owing. The successor shall withhold from the purchase price a sum sufficient to pay any tax due to the city from the taxpayer until such time as: 1. The taxpayer shall produce a receipt from the City showing payment in full of any tax due or a certificate that no tax is due, or 2. More than six (6) months has passed since the successor notified the Director of the acquisition and the Director has not issued and notified the successor of an assessment. C. Payment of the tax by the successor shall, to the extent thereof, be deemed a payment upon the purchase price. If such payment is greater in amount than the purchase price, the amount of the difference shall become a debt due such successor from the taxpayer. D. Notwithstanding the above, if a successor gives written notice to the Director of the acquisition, and the Department does not within six (6) months of the date it received the notice issue an assessment against the taxpayer and mail a copy of that assessment to the successor, the successor shall not be liable for the tax. 40 Draft B&O Administrative Provisions Page 8 of 16 THE FOLLOWING ARE SUGGESTED APPEAL PROCEDURES. INDIVIDUAL CITIES MAY ADOPT PROVISIONS SIMILAR TO THESE OR DEVELOP THEIR OWN PROCEDURES (WE ENCOURAGE CITIES TO CHECK WITH OTHER CITIES AND THE RCW): .140 Administrative Appeal. Any person, except one who has failed to comply with section .060, aggrieved by the amount of the fee or tax determined by the Director to be required under the provisions of this chapter may pay the amount due and appeal from such determination by filing a written notice of appeal with the City Clerk within 30 days from the date written notice of such amount was mailed to the taxpayer. A filing fee in an amount in accordance with the fee schedule adopted by resolution of the City Council shall be submitted with the appeal, which filing fee is required to process the appeal. The Hearing Examiner shall, as soon as practical, fix a time and place for the hearing of such appeal, and shall cause a notice of the time and place thereof to be delivered or mailed to the parties. The hearing shall be conducted in accord with the provisions of (applicable city ordinance). The decision of the Hearing Examiner shall indicate the correct amount of the fee or tax owing. .150 Judicial Review of Administrative Appeal Decision. The decision of the Hearing Examiner is final, subject to review by either party under the provision of RCW 7.16.040, so long as the appealing party files and serves upon all necessary parties the petition for granting a writ of review within twenty (20) days of the date of issuance of the hearing examiner's decision. The City shall have the same right of review from the administrative decision as does a taxpayer. .160 Director to make rules. The Director shall have the power, from time to time, to adopt, publish and enforce rules and regulations not inconsistent with this chapter or with law for the purpose of carrying out the provisions of this chapter and it shall be unlawful to violate or fail to comply with, any such rule or regulation. .170 Ancillary allocation authority of Director. The Director is authorized to enter into agreements with other Washington cities which impose an "eligible gross receipts tax": A. To conduct an audit or joint audit of a taxpayer by using an auditor employed by the City of Tukwila, another city, or a contract auditor, provided, that such contract auditor's pay is not in any way based upon the amount of tax assessed; B. To allocate or apportion in a manner that fairly reflects the gross receipts earned from activities conducted within the respective cities the gross proceeds of sales, gross receipts, or gross income of the business, or taxes due from any person that is required to pay an eligible gross receipts tax to more than one Washington city. C. To apply the City's tax prospectively where a taxpayer has no office or place of business within the City and has paid tax on all gross income to another Washington city where the taxpayer is located; provided that the other city Draft B&O Administrative Provisions Page 9 of 16 41 maintains an eligible gross receipts tax, and the income was not derived from contracts with the City. .180 Mailing of Notices. Any notice required by this chapter to be mailed to any taxpayer or licensee shall be sent by ordinary mail, addressed to the address of the taxpayer or licensee as shown by the records of the Director. Failure of the taxpayer or licensee to receive any such mailed notice shall not release the taxpayer or licensee from any tax, fee, interest, or any penalties thereon, nor shall such failure operate to extend any time limit set by the provisions of this chapter. It is the responsibility of the taxpayer to inform the Director in writing about a change in the taxpayer's address. .190 Tax declared additional. The license fee and tax levied within TMC 5 shall be additional to any license fee or tax imposed or levied under any law or any other ordinance of the City of Tukwila except as herein otherwise expressly provided. .200 Public disclosure - Confidentiality - Information sharing. A. For the purposes of this section, defined terms shall be as set forth in [reference this chapter] except as otherwise stated: 1. "Disclose" means to make known to any person in any manner whatever a return or tax information; 2. "Tax information" means: a. A taxpayer's identity; b. The nature, source, or amount of the taxpayer's income, payments, receipts, deductions, exemption, credits, assets, liability, net worth, tax liability deficiencies, over assessments, or tax payments, whether taken from the taxpayer's books and records or any other source; c. Whether the taxpayer's return was, is being, or will be examined or subject to other investigation or processing; or d. Other data received by, recorded by, prepared by, or provided to the City with respect to the determination or the existence, or possible existence, or liability, or the amount thereof, of a person under the [City's tax code] for a tax, penalty, interest, fine, forfeiture, or other imposition, or offense. However, data, material, or documents that do not disclose information related to a specific or identifiable taxpayer do not constitute tax information under this section. Nothing in this chapter requires any person possessing data, material, or documents made confidential and privileged by this section to delete information from such data, material or documents so as to permit its disclosure. 42 Draft B&O Administrative Provisions Page 10 of 16 3. "City agency" means every City office, department, division, bureau, board, commission, or other City agency. 4. "Taxpayer identity" means the taxpayer's name, address, telephone number, registration number, or any combination thereof, or any other information disclosing the identity of the taxpayer. B. Returns and tax information are confidential and privileged, and except as authorized by this section, neither the Director nor any other person may disclose any return or tax information. C. This section does not prohibit the Director from: 1. Disclosing such return or tax information in a civil or criminal judicial proceeding or an administrative proceeding: i. In respect of any tax imposed un [City's tax code] if the taxpayer or its officer or other person liable under this title is a party in the proceeding; or ii. In which the taxpayer about whom such return or tax information is sought and another state agency are adverse parties in the proceeding. 2. Disclosing, subject to such requirements and conditions as the Administrator prescribes, such return or tax information regarding a taxpayer to such taxpayer or to such person or persons as that taxpayer may designate in a request for, or consent to, such disclosure, or to any other person, at the taxpayer's request, to the extent necessary to comply with a request for information or assistance made by the taxpayer to such other person. However, tax information not received from the taxpayer must not be so disclosed if the Administrator determines that such disclosure would compromise any investigation or litigation by any federal, state, or local government agency in connection with the civil or criminal liability of the taxpayer or another person, or that such disclosure would identify a confidential informant, or that such disclosure is contrary to any agreement entered into by the Administrator that provides for the reciprocal exchange of information with other government agencies which agreement requires confidentiality with respect to such information unless such information is required to be disclosed to the taxpayer by the order of any court; 3. Publishing statistics so classified as to prevent the identification of particular returns or reports or items thereof; Draft B&O Administrative Provisions Page 11 of 16 43 4, Disclosing such return or tax information, for official purposes only, to the mayor, chief administrative officer, or city attorney, or to any city agency, or to any member of the City Council or their authorized designees dealing with matters of taxation, revenue, trade, commerce, the control of industry or the professions; 5. Permitting the City's records to be audited and examined by the proper city, state or federal officer, his or her agents and employees; 6. Disclosing any such return or tax information to a peace officer as defined in RCW 9A.04.110 or county or city prosecuting attorney, for official purposes. The disclosure may be made only in response to a search warrant, subpoena, or other court order, unless the disclosure is for the purpose of criminal tax enforcement. A peace officer or county or city prosecuting attorney who receives the return or tax information may disclose that return or tax information only for use in the investigation and a related court proceeding, or in the court proceeding for which the return or tax information originally was sought or where otherwise allowed to be disclosed under this section; 7. Disclosing any such return or tax information to the proper officer of the Internal Revenue Service of the United States, the Canadian government or provincial governments of Canada, or to the proper officer of the tax Department of any state or city or town or county, for official purposes, but only if the statutes of the United States, Canada or its provincial governments, or of such other state or city or town or county, as the case may be, grants substantially similar privileges to the proper officers of the City; 8. Disclosing any such return or tax information to the United States Department of Justice, including the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Department of Defense, the Immigration and Customs Enforcement and the Customs and Border Protection agencies of the United States Department of Homeland Security, the United States Coast Guard, the Alcohol and Tobacco Tax and Trade Bureau of the United States Department of Treasury, and the United States Department of Transportation, or any authorized representative of these federal agencies or their successors, for official purposes; 9. Publishing or otherwise disclosing the text of a written determination designated by the Administrator as a precedent pursuant to RCW 82.32.410. 44 Draft B&O Administrative Provisions Page 12 of 16 10. Disclosing, in a manner that is not associated with other tax information, the taxpayer name, entity type, business address, mailing address, revenue tax registration numbers and the active/closed status of such registrations, state or local business license registration identification and the active/closed status and effective dates of such licenses, reseller permit numbers and the status of such permits, North American Industry Classification System or Standard Industrial Classification Code of a taxpayer, and the dates of opening and closing of business. This subsection may not be construed as giving authority to any person receiving such information to use such information for any commercial purpose; 11. Disclosing such return or tax information that is also maintained by another Washington state or local governmental agency as a public record available for inspection and copying under the provisions of Chapter 42.56 RCW or is a document maintained by a court of record and is not otherwise prohibited from disclosure; 12. Disclosing such return or tax information to the United States Department of Agriculture, or successor Department or agency, for the limited purpose of investigating food stamp fraud by retailers; 13. Disclosing to a financial institution, escrow company or title company, in connection with specific real property that is the subject of a real estate transaction, current amounts due the City for a filed judgment, or lien against the real property; 14. Disclosing to a person against whom the Administrator has asserted liability as a successor under the City's tax codes any return or tax information pertaining to the specific business of the taxpayer to which the person has succeeded; 15. Disclosing real estate excise tax affidavit forms in the possession of the City, including real estate excise tax affidavit forms for transactions exempt or otherwise not subject to tax; or 16. Disclosing such return or tax information to the court or hearing examiner in respect to the Administrator's application for a subpoena if there is probable cause to believe that records in the possession of a third party will aid the Administrator in connection with its official duties under this title or a civil or criminal investigation. D. 1. The Administrator may disclose return or taxpayer information to a person under investigation or during any court or administrative proceeding against a Draft B&O Administrative Provisions Page 13 of 16 45 person under investigation as provided in this subsection D. The disclosure must be in connection with the Administrator's official duties under this title, or a civil or criminal investigation. The disclosure may occur only when the person under investigation and the person in possession of data, materials, or documents are parties to the return or tax information to be disclosed. 2. Before disclosure of any tax return or tax information under this subsection D, the Administrator must, through written correspondence, inform the taxpayer of the requested disclosure. The correspondence must clearly identify the data, materials, or documents to be disclosed. The Administrator may not disclose any tax return or tax information under this subsection D until the time period allowed in subsection D.3 of this section has expired or until the court has ruled on any challenge brought under subsection D.3 of this section. 3. The taxpayer has twenty (20) days from the receipt of the written request required under this subsection to petition the superior court of the county in which the petitioner resides (or with any court with jurisdiction over the matter that allows disclosure of information under this subsection D) for injunctive relief consistent with the provisions of applicable state law governing disclosure of taxpayer information. 4. Requesting information under this subsection that may indicate that a taxpayer is under investigation does not constitute a disclosure of tax return or tax information under this section. E. Service of and compliance with a subpoena issued by the court or any administrative body with authority to issue subpoenas does not constitute a disclosure of return or tax information under this section. Notwithstanding anything else to the contrary in this section, a person served with a subpoena issued by the court or administrative body may disclose the existence or content of the subpoena and the records therein identified to that person's legal counsel. F. Any person acquiring knowledge of any return or tax information in the course of his or her employment with the City and any person acquiring knowledge of any return or tax information as provided under subsections C.3, 4, 5, 6, 7, or 9 of this section, who discloses any such return or tax information to another person not entitled to knowledge of such return or tax information under the provisions of this section is guilty of a misdemeanor. If the person guilty of such violation is an officer or employee of the City, such person must forfeit such office or employment and is incapable of holding any public office or employment in this city for a period of two years thereafter. .210 Tax constitutes debt. 46 Draft B&O Administrative Provisions Page 14 of 16 Any license fee or tax due and unpaid under this chapter, and all interest and penalties thereon, shall constitute a debt to the City of Tukwila and may be collected in the same manner as any other debt in like amount, which remedy shall be in addition to all other existing remedies. .220 Unlawful actions — Violation — Penalties. A. It shall be unlawful for any person liable for fees under this chapter (or other chapters as listed): 1. To violate or fail to comply with any of the provisions of this chapter or any lawful rule or regulation adopted by the Director; 2. To make any false statement on any license application or tax return; 3. To aid or abet any person in any attempt to evade payment of a license fee or tax; 4. To fail to appear or testify in response to a subpoena issued pursuant to this chapter; 5. To testify falsely in any investigation, audit, or proceeding conducted pursuant to this Chapter. B. Violation of any of the provisions of this chapter is a gross misdemeanor. Any person convicted of a violation of this chapter may be punished by a fine not to exceed One Thousand Dollars ($1,000), imprisonment not to exceed one year, or both fine and imprisonment. Penalties or punishments provided in this chapter shall be in addition to all other penalties provided by law. C. Any person, or officer of a corporation, convicted of continuing to engage in business after the revocation of a license shall be guilty of a gross misdemeanor and may be punished by a fine not to exceed Five Thousand Dollars ($5,000), or imprisonment not to exceed one year, or both fine and imprisonment. Section 2. Section Title. Section 3. Repealer. Ordinance No. XXXX is hereby repealed. [if applicable] Section 4. Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. Section 5. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 6. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force five days after passage and publication as provided by law. Draft B&O Administrative Provisions Page 15 of 16 47 PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2016. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel Turpin, City Attorney Allan Ekberg, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: 48 Draft B&O Administrative Provisions Page 16 of 16 Local Business (B&O) Tax Rates Effective January 1, 2018 City Phone # Manufacturing rate Retail rate Services rate Wholesale rate Threshold Quarterly Annual Aberdeen (360) 533-4100 0.002 0.003 e 0.00375 e 0.003 e $5,000 $20,000 Algona (253) 833-2897 0.00045 0.00045 0.00045 0.00045 $10,000 $40,000 Bainbridge Island (206) 780-8668 0.001 0.001 0.001 0.001 $150,000 Bellevue (425) 452-6851 0.001496 0.001496 0.001496 0.001496 $160,000 Bellingham (360) 778-8010 0.0017 0.0017 0.0044 e 0.0017 $5,000 $20,000 Bremerton (360) 473-5311 0.0016 0.00125 0.002 0.0016 $160,000 Burien (206) 241-4647 0.001 0.001 0.001 0.001 $200,000 Cosmopolis (360) 532-9230 0.002 0.002 0.002 0.002 $5,000 $20,000 Darrington (360) 436-1131 0.00075 0.00075 0.00075 0.00075 $20,000 Des Moines (206) 878-4595 0.002 0.002 0.002 0.002 $50,000 DuPont (253) 964-8121 0.001 0.001 0.001 0.001 $5,000 $20,000 Everett (425) 257-8610 0.001 0.001 0.001 0.001 $5,000 $20,000 Everson (360) 966-3411 0.002 0.002 $1000,000 Granite Falls** (360) 691-6441 Hoquiam (360) 532-5700 0.00200 0.00200 0.00200 0.00200 $5,000 $20,000 Ilwaco (360) 642-3145 0.00200 0.00200 0.00200 0.00200 $20,000 Issaquah (425) 837-3054 0.00120 0.00120 0.00150 0.00120 $25,000 $100,000 Kelso (360) 423-0900 0.00100 0.00100 0.00200 0.00100 $20,000 Kenmore (425) 398-8900 0.00200 * $5,000' Kent (253) 856-6266 0.00046 0.00046 0.00152 0.00152 $62,500 $250,000 Lacey (360) 491-3214 0A0100 0.00200 $5,000' $20,000 Lake Forest Park (206) 368-5440 0.00200 0.00200 0.00200 0.00200 $5,000 Long Beach (360) 642-4421 0.00200 0.00200 0.00200 0.00200 $5,000 Longview (360) 442-5040 0.00100 0.00100 0.00200 0.00100 $20,000 Mercer Island (206) 275-7783 0.00100 0.00100 0.00100 0.00100 $150,000' North Bend (425) 888-1211 0.00200 0.00200 0.00200 0.00200 $5,000 Ocean Shores (360) 289-2488 0.00200 0.00200 0.00200 0.00200 $5,000 $20,000 Olympia (360) 753-8327 0.00100 0.00100 0.00200 0.00100 $5,000 $20,000 Pacific (253) 929-1100 0.00200 0.00200 0.00200 0.00200 $5,000 $20,000 Port Townsend**** (360) 385-2700 0.00200 0.00200 0.00200 0.00200 $0 $100,000 Rainier (360) 446-2265 0.00200 0.00200 0.00200 0.00200 $5,000 Raymond (360) 942-3451 0.00200 0.00200 0.00200 0.00200 $5,000 $20,000 Renton**** (425) 430-6400 0.00085 0.00050 = 0.00085 0.00085 $500,000 Roy (253) 843-1113 0.00100 0.00200 0.00200 0.00100 $5,000 $20,000 Ruston (253) 759-3544 0.00110 0.00153 0.00200 0.00102 $5,000 $20,000 Seattle*** (206) 684-8484 0.00222 v 0.00222 v 0.00427 v 0.00222 v $100,000 Shelton (360) 426-4491 0.00100 0.00100 0.00100 0.00100 $5,000 $20,000; '- Snoqualmie (425) 888-1555 0.0015 0.0015 0.0015 0.0015 $5,000 South Bend (360) 875-5571 0.001 0.002 0.002 0.002 $5,000 Tacoma (253) 591-5252 0.00110 0.00153 0.00400 e 0.00102 $250,000 Tenino (360) 264-2368 0.002 0.002 0.002 0.002 $5,000 $20,000 Tumwater (360) 754-5855 0.001 0.001 0.002 0.001 $5,000 $20,000 Westport (360) 268-0131 0.0025 e 0.005 e 0.005 e 0.0025 e $5,000 Yelm (360) 458-3244 0.001 0.002 0.002 0.001 $5,000 (v) = voter approved increase above statutory limit (e) = rate higher than statutory limit because rate was effective prior to January 1, 1982 (i.e., grandfathered). *Kenmore's B&O tax applies to heavy manufacturing only. **Granite Falls repealed its B&O tax for all businesses other than extracting. ** Seattle changed its rates effective January 1, 2018. **** Port Tonsend and Renton changed the minimal threshold in 2018 NOTE: Tax rates may apply to businesses categories other than those above. Thresholds are subject to change. Exemptions, deductions, or other exceptions may apply in certain circumstances. Contact the city finance department for more information. Association of Washington Cities Janua42917 50 Business & occupation tax classifications Page 1 of 2 Published on Washington Department of Revenue (https://dor.wa.gov) usiness occupation tax classifications Major B&O classifications B&O classification Rate Retailing .00471 Wholesaling .00484 Manufacturing .00484 Service & other activities .015 Specialized B&O tax classifications B&O classification Rate Extracting, Extracting for Hire .00484 .003424 Extracting Timber, Extracting for Hire Timber Slaughtering, Breaking and Processing Perishable Meat; Manufacturing Wheat into Flour; Soybean & Canola Processing Travel Agent Commission; Tour Operators; International Charter Freight 00275 Brokers; Stevedoring; Assisted Living Facilities Insurance Agents/Insurance Brokers Commissions; Child Care .00484 Prescription Drug Warehousing; Manufacturing Bio/Alcohol Fuel; 00138 Splitting/Processing Dried Peas Publication of Newspapers .0035 Processing for Hire; Printing and Publishing .00484 Processing for Hire Timber Products .003424 Sale of Standing Timber .003424 Non -Manufacturing Aerospace Product Development .0090 Federal Aviation Administration (FAR) Part 145 Repair Stations .002904 Manufacturing of Timber or Wood Products .003424 Manufacturing of Aluminum Smelter .002904 Manufacturing of Commercial Airplanes, Components, or Aerospace Tooling .002904 .00138 littps://dor.wa.gov/print/46223 51 8/15/2018 Business & occupation tax classifications Page 2 of 2 Wholesaling of Commercial Airplanes, Components, or Aerospace Tooling Retailing of Commercial Airplanes, Component, or Aerospace Tooling Manufacturers/Processors for Hire of Semiconductor Materials .002904 .002904 .00275 Royalties .015 Wholesaling of Timber or Wood Products .003424 Wholesaling of Manufactured Aluminum .002904 Warehousing; Radio & TV Broadcasting; Public Road Construction; Government Contracting; Chemical Dependency Center; Canned Salmon .00484 Labelers Radioactive Waste Disposal .0330 Public or Nonprofit Hospitals; Qualified Co-ops .015 For Profit Hospitals; Scientific R&D .015 Cleanup of Radioactive Waste for US Government .00471 Service & Other Activities; Gambling Contests of Chance (less than $50,000 a 015 year) Gambling Contests of Chance ($50,000 a year or greater) .0163 Parimutuel Wagering .0013 Retailing of Interstate Transportation Equipment .00484 Manufacturing or Wholesaling of Solar Energy .00275 Source URL: https://doma.gov/find-taxes-ratestusiness-occupation-tax/business-occupation-tax- classifications 52https://dor.wa.gov/print/46223 8/15/2018 City of Tukwila Allan Ekberg, Mayor INFOR ATIONAL MEMORANDU TO: Finance Committee FROM: Peggy McCarthy, Finance Director BY: Vicky Carlsen, Deputy Finance Director CC: Mayor Ekberg DATE: August 15, 2018 SUBJECT: Revisions to Tukwila Municipal Code 3.48 — Commercial Parking Tax (Updated from August 6, 2018 Committee of the Whole meeting) ISSUE Recommendation for Council to modify Tukwila Municipal Code (TMC) 3.48 to: 1) Increase the Commercial Parking Tax Rate and 2) add a penalty for late payment. BACKGROUND In 1998, the Tukwila City Council adopted Ordinance 1852 which provided for a five percent tax to be levied on gross revenues generated by commercial parking lots in the City. Since the adoption of the Ordinance, the taxation rate has remained unchanged. A public hearing on proposed revisions was held on November 21, 2017 and the draft ordinance has been further revised based upon comments at the hearing. TMC requires that parking taxes be remitted on or before the last day of the month following the month during which the taxes were collected. However, the Municipal Code does not outline a penalty for late payments, and so there is no incentive for payments to be made on time. DISCUSSION The initial proposed revision included a rate change from 5% to 15%, with the new rate effective January 1, 2018. That Ordinance has been revised to include a more gradual schedule of increase, shown below. • January 1, 2019 8% tax • January 1, 2020 11% tax • January 1, 2021 15% tax This change alleviates most of the concerns heard from the business community. In addition, over 50% of parking taxes in Tukwila were paid late. Implementing a 10% late fee would encourage businesses to submit taxes on time, improving the predictability of cash flow, and bringing the parking tax penalty in line with penalties assessed for other City taxes. Follow up after August 6, 2018 Committee of the Whole Starfire Sports spoke at the August 6, 2016 meeting asking for relief from the proposed increase in parking taxes. Staff was requested to have a legal review associated with non-profit agencies and parking taxes. After legal review, it was determined that there is nothing that would prohibit the City from allowing for a different tax rate for non-profit agencies. Per RCW 82.80.030(2)(e) "The tax rate 53 INFORMATIONAL MEMO Page 2 varies with zOOinqQ[location Ofthe facility, the duration of the parhiOg.the time ufentry o[exit, the type or use of the vehicle, or other reasonable factors." Staff ioreomnmendinQthat the ordinance bemodified to set the tax rate at5%for commercial parkinQfacilities operated bynonprofit aqencieeon[jtyovvnedpnoperUeo. ChanQiOQthe tax rate for 8torfire would result in a reduction in projected revenue of approximately $10 thousand in 2019. $21 thousand in 2020. and $38thoVaoOd in 2021� Another option to consider would be to increase the parkinq tax rate in two steps rather than three. Effective January 2O19the rate could increase bz1O% and January 2O2Qthe rate could increase to 15%. This would replace revenue lost if8tgdiroiecapped at596and would increase fundinqavailable for roadway projects. The hd|ovvinqchart shows possible p8d<inq tax revenue under different scenarios. Potential Parking Tax Revenue (Based on2O17revenue) 2019 2020 2021 (Starfire not capped at 5%) Proposed 2step increase (1Og6. 15%) 343000 472,000 643/000 643,000 607,000� 643,000 607,000� The City currently collects p8rkinJtax revenue from the fD|kJvvinqVGFhOOestablishments: SeaTaoHote| EnlbaaaK CHATukvx|e Ooub|ptree |nt'|Gateway E. Courtyard b«Marriott, RT Hotels Econo LodOe, RT Hotels 8e@Tec NE VVaShinqton Towere, CHATukwi|a. Gtarfina Sports, Republic FrarkinQ(Sounder etGtimone).R���b|icPg�ki��(154 ).8hutt|eF'arkTvvo.OiaOnDnd ParNngSvoa. FINANCIAL IMPACT The following projected revenues are based on 2017 tax revenues collected at the 5% rate. Projected Annual Commercial Parking Tax Revenue | | 201 January 2019,8% | 2020i 11% / 2021, 15% } �214,4K93;<B 343,1�]9 | 471,885 $ 643,479 | RECOMMENDATION The City Council is being asked to give policy direction on the options described above for incorporation into the draft ordinance for Committee of the Whole review. 54 WA208Info Memus�Porkin Tax 81o10docx City of Tukwila Allan Ekberg, Mayor .1906 INFOR ATIONAL E ORANDU TO: Finance Committee FROM: Stephanie Brown, Human Resources Director CC: Mayor Allan Ekberg DATE: August 15, 2018 SUBJECT: Review of Compensation Policy Resolution No. 1796 Update from July 17 Finance Committee Meeting Note: This is a new informational memorandum with the intent to capture the compensation policy review and discussion outcomes in preparation for discussion with the full Council. At the July 17, Finance Committee meeting, Administration sought committee direction to finalize the scope of the review of the City Council compensation policy. The committee requested that Administration bring back recommendations on the following proposed policy change considerations of above and below market adjustments, comparable cities, compression, recruitment incentives, and the process for non -represented compensation review. In addition, as directed by the Council, Administration has conducted the external market study using the Association of Washington Cities and County Employee Salary and Benefit Survey for 2018. Once the regressions analysis was applied to the raw data, the results show we are still close to market and are considered very competitive (Exhibit A.1 and A.2). This was also the case when we did the regression analysis for 2017. In future years, to address the potential for above and below market wage adjustments, it is recommended that Council adopt the Market Competitiveness standard provided by our Mr. Lawson, our compensation consultant as it provides an objective guide to address when positions are out of alignment with the market. Option 1 The Market Competitiveness Standard: +/-5% to +/-10% - Competitive with market +/-10% to +/-15% - Possibly Misaligned with market +/-15% and above - Significantly Misaligned with market For positions that are possibly and significantly misaligned with the market would require review of the data to ensure the appropriateness of market data and review of job classifications to ensure appropriate placement. 55 INFORMATIONAL MEMO Page 2 Below are three examples of a process Council could adopt using the Market Competitiveness Standard: OPTION A — External Market Study • During External Market Study (for even numbered years) — Positions that are 5% or more below market and up to 10% above are considered competitive with the market and will receive a market adjustment the year the market adjustment is to occur. • Those positions 10% to 15% above the market will not receive an adjustment during the year the market adjustment is to occur and will warrant further evaluation and possible reclassification. If further analysis results in reclassification, any adjustments will be made in alignment with City policy. OPTION B — Internal Equity • Considerations for cost of living adjustment (COLA) for odd numbered years will be based upon internal equity with represented groups to determine if an adjustment is warranted. Administration will inform City Council if an adjustment is warranted prior to implementation. OPTION C — Written Justification for Misaligned Positions The other option would be to update the current language in Resolution No. 1796 Section B.2. to state "If the City's pay schedule for any classification that does not represent the average of comparable salary ranges (+/-10%) written justification must be provided to the City Council." 2. Compression As it relates to defining Compression, Council Resolution No. 1796, states, "The goal of the City is to mitigate or avoid salary compression issues where possible. An example of salary compression would be when a non -represented supervisor earns less or is projected to earn less than those that he/she supervises due to contracted wage increase." During the Council work session Mr. Lawson, our consultant expressed that compression cannot be totally mitigated. Therefore, Administration recommends that Council retain the current definition reflected in the resolution as it is referenced above. It is further recommended to review the salary structure more frequently preferably in the year a market study is done to ensure that wage adjustments that occur over time do not create compression between salary bands. 3. Comparability During even numbered years when an external market study is conducted, the Administration uses Council Resolution No. 1796 parameters for comparability which looks at "All Puget Sound jurisdictions with +/-50% of Tukwila's annual assessed valuation, based upon the Department of Revenue data, will be used to create the list of comparable jurisdictions for evaluation of salary information." The issue of comparability has been discussed during the review of this resolution, specifically, do the parameters of +/-50% reflect the market to which we compare, or should the Committee also consider other factors to determine external market comparability. Mr. Lawson, our compensation consultant shared with the Council at their work session on June 19, that comparability factors could include employee population, assessed valuation double or half the size of Tukwila, geography, and demographics. Whereas, Administration would not recommend considering assessed valuation of double the size of Tukwila, consideration of going above +50% would provide more consistency where jurisdictions come in and out for comparison. For example, in the 2017 Market Study Issaquah and Shoreline were included since they were within +50% of A.V. In the 2018 Market Study, these two cities increased to 54% and 57% of A.V. and therefore were excluded (see table below). 56 INFORMATIONAL MEMO Page 3 Assessed valuation changes annually as reported by the Department of Revenue, Taxing District Levy Table 30. City 2017 Assessed Value Assessed Value % of Tukwila 2018 Assessed Value Assessed Value % of Tukwila Tukwila $5.040 1.00% $5.736 1.00% Shoreline $7.426 1.47% $8.848 1.54% Issaquah $7.385 1.46% $8.989 1.57% Assessed Value represented in Billions In addition, given that these concerns have been raised by the Non -Represented Employees group and in previous discussions, the following are some suggested options for your consideration that will mitigate the inconsistency the current policy parameters impose. OPTION 1 "All Puget sound jurisdictions with +75/-50% of Tukwila's annual assessed valuation, using the most current data from County Assessors, will be used to create the list of comparable jurisdictions for evaluation of salary information." As reflected in Exhibit B, the assessed valuation comparison table, this would serve to eliminate the in and out annually of comparator jurisdictions. If consideration were given to this option, Administration recommends a "second criteria to assessed valuation, to include employee population of similar size". As Exhibit B also shows, by increasing to +75% of assessed valuation there would be more similar employee populations to compare to Tukwila. OPTION 2 Make no change and retain current policy statement of comparison to "All Puget Sound jurisdictions of +/-50% of Tukwila's annual assessed valuation". New Recruitment Incentives The Finance Committee requested more information on what other cities do to recruit and retain employees. Twenty- five (25) Puget Sound Cities were surveyed and responded to our request on the attached Exhibit C. The data shows that some cities offer hiring bonuses specifically to law enforcement positions, additional vacation hours, or the ability to use vacation sooner than the typical six months. Several cities did not offer any recruitment incentives. As has been discussed in previous committee meetings, Tukwila currently offers hiring bonuses to attract applicants to highly competitive positions such as Building and Construction Inspector, or Law Enforcement positions. Mr. Lawson, our compensation consultant, shared with the Council that a market premium may be appropriate to implement specifically when you want to attract and retain jobs that are competitive in the labor market. Administration recommends the Committee define in its policy a statement that reflects its philosophy of providing above average benefits, hiring incentives and competitive pay to attract, and retain a highly skilled, qualified and trained workforce. 57 INFORMATIONAL MEMO Page 4 Non -Represented Compensation Review Process The final item for discussion is should the process for non -represented compensation review change. Currently Resolution No. 1796, provides that non -represented employee compensation be reviewed annually to consider external market or a cost of living adjustment. Unlike represented groups, the non - represented compensation review typically is presented in the fall prior to the year of implementation. This is a more public process. Administration recommends adopting review of non -represented compensation at the time the budget is being adopted so that external market and cola wage adjustments are a more efficient and seamless transition covering a two-year period versus an annual review process. The remainder of schedule for review of the City Council Resolution No. 1796 is as follows September 5 — Finalize recommendations for City Council consideration September 10- Bring recommendation to the City Council for review and discussion September 17 — Adoption of changes to Resolution No. 1796 for implementation We look forward to discussing these recommendations and options at the Finance Committee meeting on August 21, 2018. 58 16000 14000 12000 10000 8000 6000 4000 2000 0 0 City of Tukwila, WA Market Data Regression y = 1.1162x + 3376 132= 0.9851 ,.-•••• 2000 4000 6000 8000 10000 12000 Max Avg Max Median Linear (Max Median) Structure Comparison: Max Comparisons All Market Median Hrly Current Max Max Based on Regression Results % Diff N/A $27.12 $23.77 -12% Al2 N/A $29.30 $25.92 -12% A13 N/A $31.47 $28.06 -11% B21 N/A $33.65 $30.21 -10% B22 N/A $35.83 $32.36 -10% B23 $34.47 $38.00 $34.50 -9% C41 N/A $46.26 $43.09 -7% C42 $41.97 $48.89 $45.24 -7% C43 N/A $51.06 $47.38 -7% C51 N/A $53.79 $50.07 -7% C52 N/A $57.06 $53.28 -7% D61 $58.10 $58.04 $55.97 -4% D62 N/A $59.07 $58.11 -2% D63 $61.38 $61.15 $60.26 -1% D71 N/A $63.77 $62.94 -1% D72 $66.08 $66.88 $66.16 -1% E81 N/A $69.48 $68.85 -1% E82 $71.63 $71.58 $70.99 -1% E83 $74.61 $73.66 $73.14 -1% E91 $76.74 $76.23 $75.82 -1% E92 N/A $79.40 $79.04 0% F101 N/A $82.56 $82.26 0% F102 $81.71 $83.65 $85.48 2% Negative % = leading market Positive % = lagging market Average % Difference -4.8% Observations: Current maximums for DBM ranges All - C52 currently lead the market Beginning with D61, the ranges are aligned with market in a highly competitive manner ')(111;17 60 Puget Sound City Comparisons within +75%/-50% AV EXHIBIT B Assessed Valuation Comparisons Assessed Italue Value E F Dept Des Moines King 3,194,299,789 0.55 132 Maple Valley King 3,268,616,351 0.56 46 Lake Stevens Snohomish $ 3,324,196,683 0.57 93 Mukilteo Snohomish 4,354,213,237 0.75 124 X Puyallup Pierce 5,148,032,791 0.89 269 SeaTac Lakewood King $ 5,405,585,665 0.94 112 Pierce $ 5,410,414,843 0.94 209 Burien King $ 5,608,165,807 0.97 78 Lynnwood Snohomish $ 5,654,422,666 0.98 350 Tukwila King $ 5,736,568,228 1.00 321 X Marysville Snohomish Bainbridge Island Kitsap Edmonds Bothell Shoreline $ 6,425,149,097 $ 6,898,602,203 1.20 122 Snohomish $ 8,177,283,180 1.42 220 King/Snohomish 8,760,887,474 1.52 328 X 1.12 277 Snohomish Issaquah King Federal Way King Auburn King/Pierce 8,848,561,852 1.54 176 8,989,557,112 1.56 248 $ 9,420,224,291 1.64 323 9,555,039,113 1.66 437 61 62 Comparison on Recruiting Incentives EXHIBIT C Surveyed 25 Puget Sound Cities below are the responses received. Puget Sound Cities Recruiting Incentives Offered Auburn None Bainbridge Island None Bremerton Hiring Incentives Policy for difficult to fill positions. Bonus up to $5k Burien At times offer a bank of vacation hours (management positions) Edmonds None Federal Way Hiring bonus offered to lateral police officers; Director level positions receive 40 hours vac upon hire; have paid up to $5k in relocation expenses when applicable Issaquah None Kent Can offer vacation immediately upon hire; signing bonuses for PD; may advance to next salary step after 6 months instead of one year. Have paid for travel to and from for final interviews Kirkland Hiring bonus for police officer Lake Stevens May provide more vacation to non -reps at hire Lakewood Management level non -reps may receive initial leave upon hire, and an on occasion a higher vacation accrual rate Lynnwood None Maple Valley Managers & Directors may negotiate for additional vacation Mt. Lake Terrace Can offer higher vacation accruals and/or ability to use accrued vacation before 6 months Mukilteo On occasion have offered higher management positions vacation (2-3 weeks) upfront Renton Hiring bonus to lateral police officers; on occasion have given lump sum vacation or accelerated vacation accrual rate. SeaTac None 64 Washington Resolution No. J ' (3062 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ESTABLISHING A COMPENSATION POLICY FOR CITY OF TUKWILA EMPLOYEES AND REPEALING RESOLUTION NO. 1387. WHEREAS, the City believes that the purpose of a compensation program is to facilitate recruiting, retention, development and productivity of employees; and WHEREAS, the City desires to utilize standardized policies, procedures and processes, wherever possible, for compensating all employee groups, both represented and non -represented; and WHEREAS, the City recognizes that current economic conditions and forecasts, long-range City budget forecasts, position rates for comparable jurisdictions, as well as internal equity considerations should assist in guiding in the compensation of employees; and WHEREAS, the City has made a determination to, when economic conditions allow, review and adjust non -represented employee salaries via a market analysis to that of the average of comparable jurisdictions in even -numbered years, and to provide a cost -of -living (COLA) allowance in odd -numbered years; and WHEREAS, the City has made a determination to, when economic conditions and negotiations allow, provide represented employees with salaries that reflect the average of comparable jurisdictions; and WHEREAS, the City has made a determination to, when economic conditions allow, provide benefits to represented and non -represented employees that are slightly above the average of comparable jurisdictions; and WHEREAS, the City Council will participate in setting negotiation expectations and reviewing and approving represented employee group contracts; W:\Word Processing\Resolutions\Compensation policy for City employees 5-29-13 final SB:bjs Page 1 of 3 65 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The following statements and processes are adopted for the purpose of guiding compensation programs for employees of the City of Tukwila. A. Information to be provided to the City Council. 1. For Represented Employees. A written presentation of current internal and local external public agency salary and benefit trends, including a salary and benefits market survey of comparable jurisdictions, as defined herein, will be provided to the City Council. This presentation must be made to the Council prior to the commencement of negotiations with the bargaining units regarding salary and benefits. The City Council and Administration will discuss represented employee group negotiation expectations, negotiating points, salary and benefit change floors and/or ceilings prior to the beginning and at appropriate points during negotiation sessions. 2. For Non -Represented Employees. A written presentation of current internal and local external public agency salary and benefit trends, including a salary and benefits market survey of comparable jurisdictions, as defined herein, will be provided to the City Council every year that a non -represented salary increase is due. Relevant Association of Washington Cities (AWC) data from the previous year's Washington City and County Employee Salary and Benefit Survey, for the comparable jurisdictions, will be used in the salary market survey. B. Compensation Policy. 1. All Puget Sound jurisdictions with +/-50% of Tukwila's annual assessed valuation, based upon the Department of Revenue data, will be used to create the list of comparable jurisdictions for evaluation of salary information. It is desirable to use the same comparable jurisdictions for both represented and non -represented employee groups. 2. For non -represented employees, the City desires to pay the average salary for the particular pay scale, as derived from the comparable jurisdiction data described in Section B.1. If the City's pay scale for , any classification does not represent the average of comparable salary ranges (+/-5%), written justification must be provided to the City Council. For represented employees, the City desires to pay salaries that are competitive to the City's comparable jurisdictions. 3. The cost -of -living adjustment (COLA) in odd -numbered years for non - represented employees shall be based upon 90% of the Seattle -Tacoma -Bremerton Consumer Price Index (CPI-W) Average (June to June). It is desirable to calculate represented cost -of -living adjustments the same way, unless a different method is authorized by the Council. 66 W:IWord Processing\Resolutions\Compensation policy for City employees 5-29-13 strike-thru SB:bjs Page 2 of 3 4. The goal of the City is to establish parity between represented and non - represented employees' benefits. The City desires to provide employee benefits that are competitive to the comparable cities described herein. The City will endeavor to keep increases to annual health care costs under market averages. If costs exceed market averages, adjustments will be made to reduce benefit costs. 5. The goal of the City is to mitigate or avoid salary compression issues where possible. An example of salary compression would be when a non -represented supervisor earns less, or is projected to earn less than those that he/she supervises due to contracted wage increases. 6. If the Administration determines that a deviation from the above process (in its entirety or for individual positions) is necessary, it will provide justification to the City Council for review and approval prior to the adoption of any process change. Section 2. Resolution No. 1387 is hereby repealed. PASSED BY THE CITY COUNCIL at a Regular Meeting thereof this ATTEST AUTHENTICATED: Christy O'F ah y, MMCI City Cle APPROVED AS TO FORM BY: Shell rney F THE CITY OF TUK ILA, WASHINGTON, day of `,..) tjP , 2013. Filed with the City Clerk: - Passed by the City Council: to —)2 Resolution Number: 1 'Vf INe1Word ProcessingResolutions1Compensation policy for City employees 5-29-13 final SB:bjs Page 3 of 3 6 7 68 City of Tukwila Allan Ekberg, Mayor TO: CC: INFORMATIONAL MEMORANDUM Finance Committee Mayor Ekberg FROM: Peggy McCarthy, Finance Director DATE: August 15, 2018 SUBJECT: 2018 2nd Quarter Financial Report SUMMARY The quarterly financial report summarizes for the City Council the Citywide financial results and highlights significant items or trends. The second quarter financial report is based on financial data available as of August 14, 2018 for the reporting period ending June 30, 2018. Allocated budgets are calculated by analyzing the patterns of revenue received and expenditures made in the previous year and allocating the current year budget using the same patterns. The following provides a high-level summary of the City's financial performance on a cash basis. Additional details can be found in the attached financial reports. GENERAL FUND The general fund is the City's largest fund and accounts for most City resources and services with the major service being public safety. General Fund operating results for the first half of 2018 were positive with an increase in fund balance of $3.2 million beating the increase for the same period last year by $300,000. Revenues of $32.7 million approached budget falling short by a just $108,995. Departments responded cooperatively and successfully to the Administration's request to reduce expenditures for the year by 3%, or $1.7 million. This annual reduction goal has been met and exceeded within the first six months of the year with departmental expenditures coming in almost $2 million ($1,998,246) under budget for a 3.4% savings. A more detailed discussion of revenues and expenditures follow. General Fund 2018 Revenues vs Expenditures (Through June 2018) Revenues Expenditures $32.77 $29.54 $32.88 $34.26 $0 $5 $10 $15 $20 $25 $30 $35 $40 Mil'inns 69 INFORMATIONAL MEMO Page 2 The chart below provides a look at revenues and expenses over the last 14 months. The trend lines are calculated using a 2-month average for both revenues and expenses. The revenue peaks in April/May and October/November as the result of property tax revenue. $9 o $8 $7 $6 $5 $4 $3 $2 $1 $0 i eneral Fund ollin 14 rr onth 'evenue and xpense Summary Operating Revenues Expenses • • • • • • 2 per. Mov. Avg. (Operating Revenues) 2 per. Mov. Avg. (Expenses) Revenues (see the General Fund Revenue report attached) Revenues totaled $32.7 million compared with a budget of $32.8 million. Property tax, reported on line 11 of the General Fund Revenue report, exceeds budget due to the timing of collections - more revenue was received in the first half of the year than expected - with a small portion coming from the collection of prior year tax assessments. Annual revenue is expected to equal or slightly exceed budget. Sales tax, reported on line 12 of the General Fund Revenue Report, includes retail sales tax, criminal justice sales tax and natural gas sales tax. Retail sales tax collections, shown in this report on a cash basis (November and December of 2017 and January through April of 2018), were $774,495 less than expected. The actual 2018 retail sales tax collected through May however reflects a better picture with a 4% year over year increase and a lower negative budget variance of $338,000. If this trend continues, sales tax for the year is expected to come within $400,000 - $600,000 of budget. The second quarter sales tax report will be presented at the September 5th Finance Committee meeting and provide more detail. Admission Tax revenue, line 13, grew faster than expected due largely to the tax contributions from a new establishment. A closer review of Admission tax will take place at the September 5th Finance Committee meeting. Building permit fees, line 22, and plan check and review fees, line 35, combined are $553,000 more than expected, a 57% positive budget variance, and $340,000 more than the same period last year, a 29% increase, reflecting the active development climate in the City. 70 INFORMATIONAL MEMO Page 3 Security revenue, line 33, declined from prior years and is less than budget. Most of the revenue is derived from fees charged for Police Patrols at the Westfield Southcenter Mall. When the fee for service was increased in 2017, the service level was reduced to two patrols per week from seven patrols per week, thus reducing the revenue. Recreation fees, line 36, comprised of both facility rental fees and program fees are $146,396 or 11% less than expected and 19% below prior year revenue. Recreation staff provided the following explanation: "Facility rental income for 2018 and beyond will be lower than previous years due to increased use of facilities by programs. There is an increased focus on programs per council guidance. For example, the before and after school program in conjunction with the school district has not only reduced rental income, it has also decreased income for after school programs through offering discounts for families on free and reduced lunch. Please see council committee agenda packet from the 5/29/2018 CDN meeting for more information regarding the after -school program". Transfers in, line 47, has a budget of $6 million, however these transfers are not expected to occur in 2018. The anticipated sale of the urban renewal property to a developer, with a corresponding debt payoff, is expected to occur no later than 2022. The other budgeted land sales have been dedicated to the Public Safety Plan. Year -to -Date General Fund Revenues Compared to Budget (Through June 2018) Property Taxes Sales & Use Taxes Admissions Tax Utility Tax Interfund Utility Tax Gambling & Excise Tax Licenses and Permits Intergovernmental Charges for Services Fines & Penalites Misc Indirect Cost Allocation Tukwila Village $8,432 $8,096 $98 $112 $310 $263 $0 $0 $1,148 $971 $1,163 $1,163 $2,090 $2,238 $2,004 $1,994 $3,632 $3,261 $2,688 $2,633 $0 $2,000 $4,000 $6,000 $8,000 im Year to Date ■ Budget 9 597 $10,372 $10,000 Thousands 71 INFORMATIONAL MEMO Page 4 Expenditures (see the General Fund Expenditure report attached) Departmental Expenditures. As mentioned above, overall the budgetary savings from departmental under expenditures reached almost $2.00U.000with total expenditures of$27.5million aocompared hnabudget of$20.Smillion. The Finance Department had the best performance with a 10Y6 under expenditure, due to unfilled positions throughout the six-month period. Expenditures for two departments came in over budget — the City Attorney's office at 19% or $136,000 over and the Technology and Innovation Services department with a $223,000 or 11 % overage. The City Attorney costs are related to the services provided in negotiating land purchase agreements for the Public Safety Plan. Technology and Innovations Services expenditures include a software purchase that was budgeted in 2017 but purchased in 2018; this will be considered for a budget amendment. Their expenditures represent 53% of the annual budget with 50% of the year completed. Tranofaro'uutho Other Funds. Of the $9.5 million budgeted annual transfers out from the General Fund to other funds, only $4.3 million is expected tubetransferred. The $2.25million payoff ofthe urban renewal debt will not take place in2018 aeitwas refinanced in2017. The debt will bopaid off when the associated urban renewal property, the seized motel property, iasold hoadeveloper. This iaexpected tooccur by2022. The Arterial Street fund appears to have sufficient funding without the budgeted $31VI transfer -in from the General Fund -thio transfer isnot expected tobomade. Year to Date Department Expenditures Compared to A||Qc@f63d Budget '198 ^— [ThrOUOh|Un632018) City Council Mayor Human Resources Finance Attorney Recreation Municipal Court Police Fire Tech. &Innovation Public Works Park Maintenance Street Maint& 0pn Dept 20 A% No 374 NUFAMMem $1.808 $1.&1O 1,412 $1,682 1,441 $1.779 $1,836 Lim $1,081 own DNWAWAWM 5.051 0.184 $0 $1,000 $2.00 $3.00 $4.00 $5.00 $6.00 $7,000 $8,000 $9,000 $10,000 4Year to Date MAllocated Budget Thousands INFORMATIONAL MEMO Page 5 FUND SUMMARY The charts below is a summary of ending balances for each of the fund types as of June 30, 2018. Fund Summary General/ Contingency Special Revenue Capital Projects Enterprise Internal Service Debt Service Beginning Fund Balance 18,145,352 1,367,091 52,986,711 17,425,401 5,945,177 1,139,216 Revenues 32,786,443 311,949 14,825,594 12,275,164 7,498,457 2,120,120 Expenditures (29,543,278) (95,138) (23,607,154) (15,152,345) (7,534,230) (2,016,548) Ending Fund Balance 21,388,518 1,583,902 44,205,151 14,548,220 5,909,404 1,242,788 General/Contingency General Fund General Contingency Total Beginning Fund Balance 11,868,277 6,277,074 18,145,351 Revenues 32,767,446 18,997 32,786,443 Expenditures (29,543,278) - (29,543,278) Ending Fund Balance 15,092,445 6,296,071 21,388,516 Special Revenue Funds: Special revenue funds account for revenue sources and expenditures that are legally restricted to a specific purpose. The City has two special revenue funds: Lodging Tax and Seizure. The Lodging Tax fund receives a special excise tax on lodging charges and is used to promote tourism. The seizure fund accounts for the yearly accumulation of drug seizure funds and is used for seizure related expenditures. Special Revenue Funds Lodging Tax Seizure Beginning Fund Balance 1,139,775 227,316 Revenues 306,396 5,553 Expenditures (80,498) (14,640) Ending Fund Balance 1,365,673 218,229 Capital Projects Funds The City has eight capital projects funds. Revenue and expenditure details for the funds are as follows: Capital Project Funds Residential Streets Arterial Streets Land Acq, Rec. & Park Dev. Facility Replacement Gen Gov't Improvements Fire Impact Fees Public Safety Plan Public Works Shops P Beginning Fund Balance 6,176,418 3,436,437 4,067,756 2,205,169 368,801 7,210 36,724,920 - Revenues 359,576 5,422,195 415,007 21,214 52,131 234,915 320,556 8,000,000 Expenditures (2,289,642) (5,379,356) (3,072,693) (9,493) (19,075) - (5,690,858) (7,146,036) Ending Fund Balance 4,246,352 3,479,276 1,410,070 2,216,890 401,857 242,125 31,354,618 853,964 73 INFORMATIONAL MEMO Page 6 Through June 30, the major Residential Street projects were the 42nd Ave S Phase III and the 53rd Ave S street improvement projects which include undergrounding of utilities and installation of sidewalks. Several arterial street projects were under way during the second quarter including design work on the Strander Blvd Extension Phase 3, retrofitting of the Boeing Access Road bridge and major maintenance on three other bridges. A $3 million from the Land Acquisition, Recreation & Park Development fund has been dedicated to financing for the Public Safety Plan. The balance in the Fire Impact fee fund will be transferred to the Public Safety Plan to help fund the new fire stations. Design and property acquisition activity continues with the Public Safety Plan in addition to the purchase of fire equipment and apparatus. A deposit was made with the court in February for the purchase of property for the Public Works Shops. See the Public Safety Financial Oversight Committee August 6, 2018 report for more detailed information. Enterprise Funds The City's four enterprise funds account for operations with revenues primarily provided from user fees, charges, or contracts for services. The City has three utilities and one golf course. The following chart summaries activity for the second quarter: Enterprise Funds Water Sewer Foster Golf Surface Water' Beginning Fund Balance* 5,690,592 8,696,675 602,269 2,998,807 Revenues 3,080,857 5,151,450 839,446 3,203,411 Expenditures (3,834,238) (4,866,211) (902,549) (5,549,347) Ending Fund Balance 4,937,211 8,981,913 539,166 652,871 * Foster Golf Beginning Fund Balance is adjusted to remove effect of GASB 68 Net Pension Liability Revenue for water consumption and the golf course is weather dependent and is typically lower during the winter months while expenditures remain consistent throughout the year. Expenditures include a transfer from Utilities to Public Works of $1.2 million for land purchase for the new Public Works facility. Utility funds will be reimbursed when bonds are sold. Internal Service Funds Internal service funds provide services to other City departments and include functions such as employee and LEOFF 1 retiree medical insurance as well as equipment rental and replacement. Through the end of June, all internal service funds have sufficient funds to meet expenses. Expenditures include about $3.7M for the purchase of new fire trucks which was reimbursed by a transfer from the Public Safety Plan fund. Internal Service Funds Fleet Self Insured Healthcare - Actives Self Insured Healthcare Retirees Beginning Fund Balance 4,178,570 1,066,595 700,012 Revenues 4,458,442 2,913,634 126,382 Expenditures (4,483,016) (2,867,392) (183,822) Ending Fund Balance 4,153,996 1,112,837 642,572 74 E F H I J K M N 0 P 5 GENERAL FUND YTD AS OF JUNE 30, 2018 6 CITY OF TUKWILA 7 GENERAL FUND REVENUES 8 BUDGET ACTUAL COMPARISON OF RESULTS ACTUAL 9 SUMMARY BY REVENUE TYPE OVER/(UNDER) % CHANGE 2018 ALLOCATED 2016/ 2017/ 10 2018 ANNUAL ALLOCATED 2016 2017 2018 BDGT % RECD 2017 2018 11 PROPERTY TAX 15,279,302 8,095,685 7,799,265 7,872,347 8,431,899 336,214 55% 1% 7% 12 SALES TAX 20,607,102 10,371,805 9,474,472 9,453,723 9,597,309 (774,495) 47% (0)% 2% 13 ADMISSIONS TAX 774,000 399,487 352,284 375,163 500,310 100,823 65% 6% 33% 14 UTILITY TAX 4,205,513 2,237,867 2,122,520 2,217,480 2,090,161 (147,706) 50% 4% (6)% 15 INTERFUND UTILITY TAX 2,205,000 1,031,158 1,012,244 1,061,752 1,104,427 73,269 50% 5% 4% 16 GAMBLING & EXCISE TAX 4,045,414 1,994,414 1,745,709 1,966,648 2,003,990 9,577 50% 13% 2% 17 TOTAL GENERAL REVENUE 47,116,331 24,130,415 22,506,495 22,947,111 23,728,096 (402,319) 50% 2% 3% 18 19 RGRL - - - - - - 0% 0% 0% 20 BUSINESS LICENSES 2,834,790 2,584,110 2,386,291 2,324,298 2,604,540 20,429 92% (3)% 12% 21 RENTAL HOUSING 49,000 46,996 36,830 40,570 46,930 (66) 96% 10% 16% 22 BUILDING PERMITS 1,449,600 630,123 674,976 810,774 980,939 350,815 68% 20% 21% 23 TOTAL LICENSES AND PERMITS 4,333,390 3,261,229 3,098,097 3,175,643 3,632,408 371,179 84% 3% 14% 24 25 SALES TAX MITIGATION 1,140,000 571,830 566,726 551,309 531,733 (40,097) 47% (3)% (4)% 26 FRANCHISE FEE 2,199,500 1,079,458 1,123,539 1,111,149 1,187,097 107,639 54% (1)% 7% 27 GRANT 545,517 287,969 197,973 345,746 202,449 (85,519) 37% 75% (41)% 28 STATE ENTITLEMENTS 425,403 232,641 153,438 223,694 246,653 14,012 58% 46% 10% 29 INTERGOVERNMENTAL 531,454 460,996 53,309 459,806 520,165 59,169 98% 763% 13% 30 TOTAL INTERGOVERNMENTAL REVENUE 4,841,874 2,632,893 2,094,985 2,691,704 2,688,097 55,203 56% 28% (0)% 31 32 GENERAL GOVERNMENT 35,265 18,190 18,417 21,915 17,505 (685) 50% 19% (20)% 33 SECURITY 693,726 331,432 301,497 283,370 167,037 (164,396) 24% (6)% (41)% 34 TRANSPORTATION 109,000 59,000 22,550 6,281 540 (58,460) 0% (72)% (91)% 35 PLAN CHECK AND REVIEW FEES 905,090 344,041 478,369 378,123 547,095 203,054 60% (21)% 45% 36 CULTURE AND REC FEES 1,060,500 561,937 582,238 513,770 415,377 (146,560) 39% (12)% (19)% 37 TOTAL CHARGES FOR SERVICES 2,803,581 1,314,601 1,403,070 1,203,459 1,147,554 (167,046) 41% (14)% (5)% 38 39 FINES & PENALTIES 266,829 111,824 111,869 115,497 98,273 (13,551) 37% 3% (15)% 40 MISC 583,694 262,657 331,342 276,426 310,197 47,539 53% (17)% 12% 41 INDIRECT COST ALLOCATION 2,325,643 1,162,822 1,116,738 1,139,529 1,162,822 (0) 50% 2% 2% 42 TOTAL OTHER INCOME 3,176,166 1,537,302 1,559,949 1,531,452 1,571,291 33,988 49% (2)% 3% 43 44 TOTAL OPERATING REVENUE 62,271,342 32,876,441 30,662,595 31,549,369 32,767,446 (108,995) 53% 3% 4% 45 47 TRANSFERS IN (TUKWILA VILLAGE) 6,050,000 0% 0% 0% 48 Urban Renewal debt payoff 2,250,000 49 Tukwila Village 2,775,000 50 Former FS 53, other 1,025,000 52 TOTAL REVENUE 68,321,342 32,876,441 30,662,595 31,549,369 32,767,446 (108,995) 48.0% 3% 4% 75 "GENERALFUND CITY {FTUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS Variance as %ofAnnual Budget, (under spent) over spent SUMMARY OPEXPENDITURES BY DEPARTMENT 2018AwwuAL 2018 ALLOCATED 2016 2017 oom ACTUAL ovEnVuwoERV mcHAwos ALLOCATED eooT m sXpswosm 2016 /2017 2017 m018 01 City Council 430.319 198.401 169.503 170.803 188.549 (14.852) 43% 1% 7% '3"& 03 Mayor 4.143.051 1.819.197 1.790.259 1.700.083 1.808.411 (110.787) 44% (1)% 2% '3% 04 Human Resources 728.083 350.559 337.075 324.015 313.304 (43.185) 43% (4)% (3)% '0% 05 Finance 2.733.010 1.081.707 1.264.011 1.348.097 1.412.212 (269.405) 52% 6% 5% '10% OO Attorney 733.185 230.180 224.271 215.424 374.128 135.948 51% (4)% 74% 18"& 07 Parko& Recreation 15 4.791.778 2.504.092 1.990.312 2.171.471 2.130.269 (373.823) 44% O% (2)% 'O% 08 Community Development 3.071.100 1.035.814 1.539.530 1.017.048 1.638.701 (190.153) 45% 5% 1% '5% 09 Municipal Court 1.295.812 628.099 571.555 587.940 826.187 (2.712) 48% 5& 5% 0% 10 Police 18.899.049 9.644.201 9.101.296 8.837/452 8.791.007 (852.053) 46Y6 (3)% (1)Y6 4% 11 Fire 12,432.589 6.184,400 5.637.308 5.957.171 5.850.702 (333.758) 47% 6% (2)% '3% 12 Technology & Innovation Svcs m 2.040.071 848.296 584.490 713'029 1.081.145 232.849 53% 20% 51% 11% 16 Public Works & Street Maintenance 7.025.880 3,449.399 3.311.804 3.235.270 3.302.825 (146,473) 47% (2)% 2% '2Y6 Departmental Expenditures 59.025.013 28.489.305 26.540.874 20.853.700 27.514.201 (1.975.104) 47% 2% 2% '3Y6 20 Transfers toother Funds 9.539.021 4.709.811 2.563.114 1.493.002 2.029.017 (2.740.794) 21% (42)% 36% Debt service 5.848.580 4.585.290 2.412.818 1.343.002 1.078.003 (2.706.427) 32% (44)% 40% Capital Projects 3.322.000 1.001.000 975.500 1.050.000 (611.000) 32% Residential streets 100.000 Arterial Street 3.000.000 1.500.000 775.500 (1.500.000) Fund 301.arts program 122.000 61.000 (61.000) Gen1gnNimprovements 200.000 100.000 100.000 50.000 (50.000) 25& PVYshops 1.000.000 1.000.000 Other transfers: 369.041 184.521 150.00 150.00 150.00 (34.521) 41% 0% 0% Contingency fund Golf course 300.000 150.000 150.000 150.000 150.000 50% 0% 0% Firemen's pension 09.041 34.521 (34.521) Total Expenditures 68,564,634 34,259.175 29.103,989 28,617,595 29,543.278 (4,715,898) 43% (2)% 3% Percent myear completed GENERAL FUND YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY OF SALARIES AND BENEFITS 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 28,339,011 14,158,130 13,200,954 13,442,632 13,466,275 (691,855) 48% 2% 0% 12 Extra Labor 754,693 315,685 290,979 278,306 291,422 (24,263) 39% (4)% 5% 13 Overtime 1,632,035 928,495 655,729 834,294 689,733 (238,762) 42% 27% (17)% 15 Holiday Pay 525,583 78,440 79,341 74,220 94,903 16,463 18% (6)% 28% 21 FICA 1,843,030 940,288 855,265 882,387 885,839 (54,450) 48% 3% 0% 22 Pension-LEOFF 2 880,275 406,330 396,304 404,422 415,357 9,027 47% 2% 3% 23 Pension-PERS/PSERS 1,608,904 784,550 690,084 716,661 824,466 39,916 51% 4% 15% 24 Industrial Insurance 940,895 451,190 315,495 302,907 299,866 (151,324) 32% (4)% (1)% 25 Medical & Dental 6,395,135 3,248,886 2,816,652 2,815,157 2,754,779 (494,107) 43% (0)% (2)% 26 Unemployment 13,000 - 19,276 471 18,354 18,354 141% (98)% 3794% 28 Uniform/Clothing 10,500 2,041 1,731 1,178 1,738 (303) 17% (32)% 48% Total Salaries and Benefits 42,943,061 21,314,035 19,321,810 19,752,633 19,742,732 (1,571,303) 46% 2% (0)% Percent of year completed 50.00% BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY OF SUPPLIES, SERVICES, AND CAPITAL 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED % BDGT EXPENDED 2016/2017 2017/2018 31 Supplies 34 Items Purchased for resale 35 Small Tools 41 Professional Services 42 Communication 43 Travel 44 Advertising 45 Rentals and Leases 46 Insurance 47 Public Utilities 48 Repairs and Maintenance 49 Miscellaneous 51 Inter -Governmental 53 Ext Taxes, Oper. Assess 64 Machinery & Equipment 1,176,504 22,000 97,318 3,304,461 436,370 189,880 51,500 2,313,038 976,992 1,928,305 799,988 1,564,472 3,191,119 5 30,000 663,993 15,003 31,331 1,085,044 185,974 109,601 18,817 1,238,585 976,344 908,286 267,237 1,075,921 1,582,171 1 17,023 541,264 15,203 30,840 998,812 166,010 75,062 11,870 1,308,261 810,799 819,837 308,226 503,410 1,261,325 7 368,336 637,853 14,001 40,432 1,032,464 170,497 102,643 9,932 1,073,148 887,617 903,702 244,682 587,940 1,454,234 115 41,807 487,678 16,954 38,837 1,391,524 179,920 81,957 19,946 1,196,604 974,873 957,053 201,124 710,107 1,468,089 429 46,590 (176,316) 1,951 7,506 306,480 (6,054) (27,644) 1,129 (41,981) (1,471) 48,767 (66,113) (365,814) (114,082) 427 29,567 41% 77% 40% 42% 41% 43% 39% 52% 100% 50% 25% 45% 46% 8571% 155% 18% (8)% 31% 3% 3% 37% (16)% (18)% 9% 10% (21)% 17% 15% 1445% (89)% (24)% 21% (4)% 35% 6% (20)% 101% 12% 10% 6% (18)% 21% 1% 271% 11% Total Supplies, Services, and Capital 16,081,952 8,175,332 7,219,263 7,201,067 7,771,683 (403,649) 48% (0)% 8% Percent of year completed 50.00% 77 CITY COUNCIL YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED % EXPENDED 2016/2017 2017/2018 BDGT 11 Salaries 201,663 100,206 95,969 99,101 102,174 1,968 51% 3% 3% 21 FICA 15,833 7,870 7,541 7,800 8,031 161 51% 3% 3% 23 Pension-PERS/PSERS 11,614 5,362 4,937 5,210 6,309 947 54% 6% 21% 24 Industrial Insurance 3,117 1,508 1,173 1,098 1,107 (401) 36% (6)% 1% 25 Medical & Dental 60,822 30,402 26,780 29,520 29,543 (860) 49% 10% 0% Total Salaries & Benefits 293,049 145,348 136,400 142,729 147,163 1,816 50% 5% 3% 31 Supplies 4,370 1,910 2,235 830 1,195 (716) 27% (63)% 44% 41 Professional Services 76,500 14,000 1,865 - 14,000 - 18% - - 42 Communication 6,000 3,228 2,622 2,256 2,432 (796) 41% (14)% 8% 43 Travel 40,000 30,040 19,736 21,273 15,013 (15,027) 38% 8% (29)% 49 Miscellaneous 10,400 3,875 6,645 3,806 3,746 (129) 36% (43)% -2% Total Operating Expenses 137,270 53,054 33,103 28,165 36,386 (16,668) 27% (15)% 29% Total Expenses 430,319 198,401 169,503 170,893 183,549 (14,852) 43% 1% 7% Percent of year completed 50.00% 78 MAYOR YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,538,960 790,765 750,434 735,026 739,223 (51,542) 48% (2)% 1% 12 Extra Labor 53,500 24,228 1,000 8,581 18,476 (5,752) 35% 758% 115% 13 Overtime 532 - - - - - - - - 21 FICA 114,605 60,386 56,793 56,881 58,158 (2,228) 51% 0% 2% 23 Pension-PERS/PSERS 184,336 87,755 80,286 78,764 94,523 6,768 51% (2)% 20% 24 Industrial Insurance 6,235 3,230 2,258 2,448 2,238 (992) 36% 8% (9)% 25 Medical & Dental 319,358 160,733 137,371 142,249 145,694 (15,039) 46% 4% 2% Total Salaries & Benefits 2,217,526 1,127,097 1,028,142 1,023,948 1,058,312 (68,785) 48% (0)% 3% 31 Supplies 59,544 22,925 20,796 16,218 24,954 2,029 42% (22)% 54% 35 Small Tools 5,500 - 1,239 - - - - - - 41 Professional Services 1,169,970 464,575 397,358 453,328 472,058 7,483 40% 14% 4% 42 Communication 112,600 34,230 33,100 23,966 27,279 (6,952) 24% (28)% 14% 43 Travel 41,550 18,706 16,090 11,838 12,306 (6,400) 30% (26)% 4% 44 Advertising 19,750 4,926 2,758 3,609 2,615 (2,311) 13% 31% (28)% 45 Rentals and Leases 40,026 22,247 11,568 19,612 20,434 (1,813) 51% 70% 4% 48 Repairs and Maintenance 32,460 3,278 17,407 1,166 8,429 5,151 26% (93)% 623% 49 Miscellaneous 407,725 218,399 202,141 210,039 179,061 (39,339) 44% 4% (15)% 51 Inter -Governmental 37,000 2,815 2,959 2,959 2,964 150 8% (0)% 0% Total Operating Expenses 1,926,125 792,101 762,117 742,736 750,099 (42,002) 39% (3)% 1% Total Expenses 4,143,651 1,919,197 1,790,259 1,766,683 1,808,411 (110,787) 44% (1)% 2% Percent of year completed MAYOR DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY DIVISION BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 956,084 467,900 425,841 457,446 479,238 11,338 50% 7% 5% ECONOMIC DEVELOPMENT 381,890 202,603 273,044 202,807 194,134 (8,469) 51% (26)% (4)% CITY CLERK 779,453 321,250 381,262 276,323 318,939 (2,312) 41% (28)% 15% COMMUNICATIONS 643,731 296,844 196,726 261,687 298,234 1,390 46% 33% 14% HUMAN SERVICES 820,380 415,443 303,949 367,827 316,748 (98,695) 39% 21% (14)% COURT DEFENDER 477,000 201,829 192,150 191,318 188,530 (13,298) 40% (0)% (1)% SISTER CITIES COMM. 6,475 - 4,613 - - - - - - PLANNING COMMISSION 3,750 2,518 549 570 2,415 (103) 64% 4% 324% EQUITY & DIVERSITY COMMISSION 3,200 967 30 44 1,306 339 41% 46% 2883% ARTS COMMISSION 5,000 2,516 2,596 2,612 2,634 118 53% 1% 1% PARKS COMMISSION 3,688 2,251 2,126 1,030 814 (1,437) 22% (52)% (21)% LIBRARY ADVISORY BOARD 5,000 1,191 1,064 840 517 (674) 10% (21)% (38)% COMMUNITY PROMOTION 26,000 3,588 5,946 3,833 4,572 984 18% (36)% 19% VOTER REGISTRATION COSTS 32,000 298 364 347 330 32 1% (5)% (5)% Total Expenses 4,143,651 1,919,197 1,790,259 1,766,683 1,808,411 (110,787) 44% (1)% 2% Percent of year completed 50.00% 79 MAYOR ADMINISTRATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 363,565 180,748 172,992 177,761 185,154 4,406 51% 3% 4% 12 Extra Labor 5,000 2,396 1,000 1,711 - (2,396) - 71% - 21 FICA 24,219 13,141 14,196 14,785 15,329 2,188 63% 4% 4% 23 Pension-PERS/PSERS 43,209 20,040 17,723 19,001 23,286 3,246 54% 7% 23% 24 Industrial Insurance 1,169 597 453 386 416 (181) 36% (15)% 8% 25 Medical & Dental 81,546 40,553 35,442 38,014 38,147 (2,406) 47% 7% 0% Total Salaries & Benefits 518,708 257,476 241,805 251,657 262,332 4,856 51% 4% 4% 31 Supplies 17,200 8,908 7,799 5,448 5,166 (3,742) 30% (30)% (5)% 41 Professional Services 190,000 74,676 40,806 70,828 69,249 (5,427) 36% 74% (2)% 42 Communication - - - 58 597 597 - - 930% 43 Travel 20,000 9,212 7,290 6,373 8,220 (992) 41% (13)% 29% 45 Rentals and Leases 25,926 15,400 8,017 12,998 12,204 (3,197) 47% 62% (6)% 48 Repairs and Maintenance 3,250 - - - - - - - - 49 Miscellaneous 181,000 102,227 120,124 110,085 121,471 19,244 67% (8)% 10% Total Operating Expenses 437,376 210,424 184,036 205,789 216,906 6,483 50% 12% 5% Total Expenses 956,084 467,900 425,841 457,446 479,238 11,338 50% 7% 5% Percent of year completed MAYOR ECONOMIC DEVELOPMENT 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 251,962 126,032 188,562 123,364 128,577 2,544 51% (35)% 4% 12 Extra Labor 8,000 8,000 - 6,450 120 (7,880) 2% (98)% 21 FICA 18,084 9,669 13,651 9,729 9,498 (170) 53% (29)% (2)% 23 Pension-PERS/PSERS 30,248 14,161 19,314 13,781 16,083 1,922 53% (29)% 17% 24 Industrial Insurance 779 534 416 730 265 (269) 34% 75% (64)% 25 Medical & Dental 23,067 11,526 17,660 10,423 10,520 (1,005) 46% (41)% 1% Total Salaries & Benefits 332,140 169,923 239,605 164,477 165,064 (4,859) 50% (31)% 0% 31 Supplies 1,000 635 665 294 597 (38) 60% (56)% 103% 41 Professional Services 16,000 9,841 6,100 27,295 10,715 874 67% 347% (61)% 43 Travel 6,000 4,034 245 574 416 (3,618) 7% 134% (28)% 44 Advertising 2,000 - - - - - - - - 49 Miscellaneous 24,750 18,170 26,429 10,165 17,342 (828) 70% (62)% 71% Total Operating Expenses 49,750 32,680 33,440 38,330 29,070 (3,610) 58% 15% (24)% Total Expenses 381,890 202,603 273,044 202,807 194,134 (8,469) 51% (26)% (4)% Percent of year completed 50.00% 80 MAYOR CITY CLERK YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 378,905 179,122 182,819 162,462 184,209 5,087 49% (11)% 13% 12 Extra Labor 35,000 8,832 - 8,832 - 25% - - 21 FICA 31,067 14,621 13,633 12,125 14,496 (125) 47% (11)% 20% 23 Pension-PERS/PSERS 45,490 20,019 20,356 18,087 24,438 4,418 54% (11)% 35% 24 Industrial Insurance 1,948 901 685 578 706 (195) 36% (16)% 22% 25 Medical & Dental 100,515 49,822 43,130 45,458 46,323 (3,500) 46% 5% 2% Total Salaries & Benefits 592,925 273,318 260,624 238,710 279,003 5,686 47% (8)% 17% 31 Supplies 12,308 6,724 5,212 5,115 4,807 (1,917) 39% (2)% (6)% 41 Professional Services 6,000 2,553 1,048 909 1,052 (1,501) 18% (13)% 16% 42 Communication 72,600 18,027 18,945 15,945 18,720 693 26% (16)% 17% 43 Travel 5,500 3,384 1,801 1,397 1,335 (2,049) 24% (22)% (4)% 44 Advertising 12,300 4,797 2,707 3,609 2,486 (2,311) 20% 33% (31)% 45 Rentals and Leases 10,100 3,197 1,919 3,826 5,129 1,932 51% 99% 34% 48 Repairs and Maintenance 24,710 1,278 17,407 1,166 1,391 113 6% (93)% 19% 49 Miscellaneous 43,010 7,973 14,899 5,646 5,015 (2,958) 12% (62)% (11)% 64 Machinery & Equipment - - 56,700 - - - - - - Total Operating Expenses 186,528 47,933 120,638 37,613 39,935 (7,997) 21% (69)% 6% Total Expenses 779,453 321,250 381,262 276,323 318,939 (2,312) 41% (28)% 15% Percent of year completed MAYOR COMMUNICATIONS 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 366,939 182,173 119,366 167,397 174,336 (7,836) 48% 40% 4% 12 Extra Labor 5,000 5,000 - 420 9,524 4,524 190% - 2168% 21 FICA 27,713 13,611 8,804 12,407 13,654 43 49% 41% 10% 23 Pension-PERS/PSERS 44,069 20,441 13,279 18,653 22,117 1,677 50% 40% 19% 24 Industrial Insurance 1,559 749 429 517 582 (167) 37% 21% 13% 25 Medical & Dental 78,951 37,190 25,986 34,191 38,403 1,212 49% 32% 12% Total Salaries & Benefits 524,231 259,164 167,863 233,586 258,617 (546) 49% 39% 11% 31 Supplies 9,000 2,112 2,127 1,153 8,622 6,510 96% (46)% 648% 35 Small Tools 5,500 - - - - - - - - 41 Professional Services 35,000 8,165 - 7,171 3,590 (4,575) 10% - (50)% 42 Communication 40,000 16,203 14,155 7,963 7,961 (8,242) 20% (44)% (0)% 43 Travel 4,000 2,058 2,408 3,494 2,317 259 58% 45% (34)% 44 Advertising 5,000 - - - - - - - - 45 Rentals and Leases 4,000 3,650 1,632 2,789 3,101 (548) 78% 71% 11% 48 Repairs and Maintenance 2,000 2,000 - - 7,038 5,038 352% - - 49 Miscellaneous 15,000 3,493 8,541 5,531 6,987 3,494 47% (35)% 26% Total Operating Expenses 119,500 37,681 28,863 28,101 39,616 1,936 33% (3)% 41% Total Expenses 643,731 296,844 196,726 261,687 298,234 1,390 46% 33% 14% Percent of year completed 50.00% 81 MAYOR HUMAN SERVICES YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 177,589 122,689 86,696 104,042 66,947 (55,742) 38% 20% (36)% 12 Extra Labor 500 - - - - - - - - 13 Overtime 532 - - - - - - - - 21 FICA 13,522 9,344 6,509 7,835 5,180 (4,164) 38% 20% (34)% 23 Pension-PERS/PSERS 21,320 13,093 9,613 9,242 8,599 (4,494) 40% (4)% (7)% 24 Industrial Insurance 780 448 275 237 268 (180) 34% (14)% 13% 25 Medical & Dental 35,279 21,641 15,153 14,162 12,301 (9,340) 35% (7)% (13)% Total Salaries & Benefits 249,522 167,216 118,245 135,518 93,295 (73,921) 37% 15% (31)% 31 Supplies 1,688 380 379 366 378 (2) 22% (3)% 3% 41 Professional Services 433,470 167,271 157,254 156,031 198,441 31,170 46% (1)% 27% 43 Travel 500 18 233 - 18 - 4% - - 49 Miscellaneous 135,200 80,557 27,839 75,912 24,616 (55,941) 18% 173% (68)% Total Operating Expenses 570,858 248,226 185,704 232,309 223,453 (24,774) 39% 25% (4)% Total Expenses 820,380 415,443 303,949 367,827 316,748 (98,695) 39% 21% (14)% Percent of year completed MAYOR COURT DEFENDER 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 41 Professional Services - 477,000 - 201,829 - 192,150 475 190,844 - 188,530 - (13,298) - 40% - - (1)% (1)% Total Operating Expenses 477,000 201,829 192,150 191,318 188,530 (13,298) 40% (0)% (1)% Total Expenses 477,000 201,829 192,150 191,318 188,530 (13,298) 40% (0)% (1)% Percent of year completed MAYOR SISTER CITIES COMM. 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 2018 ANNUAL ALLOCATED ACTUAL OVER/(UNDER) % CHANGE 2016 2017 2018 ALLOCATED % BDGT EXPENDED 2016/2017 2017/2018 31 Supplies 425 - - - - - - - - 41 Professional Services 500 - - - - - 43 Travel 5,050 - 4,113 - - - - - - 49 Miscellaneous 500 - 500 - - - Total Operating Expenses 6,475 - 4,613 - - - - - - Total Expenses 6,475 - 4,613 - - - - - - Percent of year completed 50.00% 82 MAYOR PLANNING COMMISSION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 43 Travel 49 Miscellaneous 1,000 500 2,250 1,000 - 1,518 99 - 450 - - 570 1,163 - 1,252 163 - (266) 116% - 56% - - 27% - - 120% Total Operating Expenses 3,750 2,518 549 570 2,415 (103) 64% 4% 324% Total Expenses 3,750 2,518 549 570 2,415 (103) 64% 4% 324% Percent of year completed MAYOR EQUITY & DIVERSITY COMMISSION 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 49 Miscellaneous 1,200 2,000 67 900 - 30 44 - 406 900 339 - 34% 45% - 827% - Total Operating Expenses 3,200 967 30 44 1,306 339 41% 46% 2883% Total Expenses 3,200 967 30 44 1,306 339 41% 46% 2883% Percent of year completed MAYOR ARTS COMMISSION 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 51 Inter -Governmental 5,000 2,516 2,596 2,612 2,634 118 53% 1% 1% Total Operating Expenses 5,000 2,516 2,596 2,612 2,634 118 53% 1% 1% Total Expenses 5,000 2,516 2,596 2,612 2,634 118 53% 1% 1% Percent of year completed 50.00% 83 MAYOR PARKS COMMISSION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 49 Miscellaneous 1,688 2,000 251 2,000 372 1,754 380 650 66 748 (185) (1,252) 4% 37% 2% (63)% (83)% 15% Total Operating Expenses 3,688 2,251 2,126 1,030 814 (1,437) 22% (52)% (21)% Total Expenses 3,688 2,251 2,126 1,030 814 (1,437) 22% (52)% (21)% Percent of year completed MAYOR LIBRARY ADVISORY BOARD 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 5,000 1,191 1,064 840 267 (924) 5% (21)% (68)% Total Operating Expenses 5,000 1,191 1,064 840 517 (674) 10% (21)% (38)% Total Expenses 5,000 1,191 1,064 840 517 (674) 10% (21)% (38)% Percent of year completed MAYOR COMMUNITY PROMOTION 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 9,035 1,659 3,080 2,103 3,482 1,823 39% (32)% 66% 41 Professional Services 12,000 239 - 250 481 242 4% - 93% 44 Advertising 450 129 51 - 129 - 29% - - 48 Repairs and Maintenance 2,500 - - - - - - - - 49 Miscellaneous 2,015 1,561 1,575 1,480 480 (1,081) 24% (6)% (68)% Total Operating Expenses 26,000 3,588 5,946 3,833 4,572 984 18% (36)% 19% Total Expenses 26,000 3,588 5,946 3,833 4,572 984 18% (36)% 19% Percent of year completed 50.00% MAYOR 84 YTD AS OF JUNE 30, 2018 VOTER REGISTRATION COSTS BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 51 Inter -Governmental 32,000 298 364 347 330 32 1% (5)% (5)% Total Operating Expenses 32,000 298 364 347 330 32 1% (5)% (5)% Total Expenses 32,000 298 364 347 330 32 1% (5)% (5)% Percent of year completed 50.00% 85 HUMAN RESOURCES YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOGY % EXPENDED 2016/2017 2017/2018 11 Salaries 413,405 209,452 206,203 203,530 191,773 (17,679) 46% (1)% (6)% 12 Extra Labor 6,000 - - - - - - - - 21 FICA 29,517 15,549 15,150 14,930 14,163 (1,385) 48% (1)% (5)% 23 Pension-PERS/PSERS 49,626 23,640 22,873 22,578 24,232 593 49% (1)% 7% 24 Industrial Insurance 1,564 764 550 515 480 (284) 31% (6)% (7)% 25 Medical & Dental 84,021 43,396 34,428 31,233 25,193 (18,202) 30% (9)% (19)% Total Salaries & Benefits 584,133 292,799 279,204 272,787 255,841 (36,958) 44% (2)% (6)% 31 Supplies 11,017 6,741 3,508 7,869 3,760 (2,981) 34% 124% (52)% 41 Professional Services 98,575 36,595 43,984 29,772 37,966 1,371 39% (32)% 28% 42 Communication 50 - - - - - - - - 43 Travel 3,000 1,646 591 677 - (1,646) - 15% - 44 Advertising 6,250 3,457 4,225 1,733 2,895 (562) 46% (59)% 67% 45 Rentals and Leases 5,108 871 2,520 872 775 (96) 15% (65)% (11)% 48 Repairs and Maintenance 15,500 10,730 2,790 - 10,730 - 69% - - 49 Miscellaneous 4,450 3,719 854 10,305 1,397 (2,322) 31% 1106% (86)% Total Operating Expenses 143,950 63,760 58,472 51,228 57,523 (6,237) 40% (12)% 12% Total Expenses 728,083 356,559 337,675 324,015 313,364 (43,195) 43% (4)% (3)% Percent of year completed 50.00% 86 FINANCE YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) %CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,074,555 539,178 507,570 518,237 500,853 (38,325) 47% 2% (3)% 12 Extra Labor 60,000 21,250 - 5,920 13,433 (7,818) 22% - 127% 13 Overtime 9,289 9,289 380 3,939 14,377 5,088 155% 938% 265% 21 FICA 81,183 41,464 38,336 40,024 40,379 (1,085) 50% 4% 1% 23 Pension-PERS/PSERS 130,302 60,864 56,676 57,251 64,738 3,874 50% 1% 13% 24 Industrial Insurance 4,676 2,285 1,564 1,503 1,611 (674) 34% (4)% 7% 25 Medical & Dental 241,615 120,794 96,396 106,117 94,268 (26,526) 39% 10% (11)% 26 Unemployment 13,000 - - - - - - - - Total Salaries & Benefits 1,614,620 795,124 700,920 732,991 729,658 (65,466) 45% 5% (0)% 31 Supplies 19,000 4,746 6,180 4,091 15,696 10,950 83% (34)% 284% 35 Small Tools 5,000 478 4,048 - 478 - 10% - - 41 Professional Services 170,000 41,040 30,907 66,338 29,423 (11,617) 17% 115% (56)% 42 Communication 1,000 423 - 202 240 (182) 24% - 19% 43 Travel 10,000 6,795 3,217 6,159 5,197 (1,598) 52% 91% (16)% 45 Rentals and Leases 3,500 1,280 1,368 1,098 295 (985) 8% (20)% (73)% 46 Insurance 399,096 398,448 338,340 352,082 393,975 (4,473) 99% 4% 12% 48 Repairs and Maintenance 68,900 31,152 59,781 66,785 15,029 (16,123) 22% 12% (77)% 49 Miscellaneous 441,900 402,223 120,048 116,349 222,222 (180,001) 50% (3)% 91% Total Operating Expenses 1,118,396 886,584 563,891 613,106 682,554 (204,030) 61% 9% 11% Total Expenses 2,733,016 1,681,707 1,264,811 1,346,097 1,412,212 (269,495) 52% 6% 5% Percent of year completed 50.00% 87 ATTORNEY YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVERJ(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 201612017 201712018 12 Extra Labor 5,000 2,579 1,302 1,272 3,877 1,297 78% (2)% 205% 21 FICA 355 183 100 97 297 113 84% (2)% 205% 24 Industrial Insurance 100 45 17 15 49 3 49% (9)% 221% Total Salaries & Benefits 5,455 2,808 1,418 1,384 4,222 1,414 77% (2)% 205% 31 Supplies 6,000 3,234 2,011 1,396 2,548 (686) 42% (31)% 83% 41 Professional Services 717,230 231,082 220,842 211,208 367,014 135,932 51% (4)% 74% 45 Rentals and Leases 2,100 1,053 - 1,435 340 (713) 16% - (76)% 48 Repairs and Maintenance 1,400 - - - - - - - - 49 Miscellaneous 1,000 4 - - 4 - 0% - - Total Operating Expenses 727,730 235,372 222,853 214,039 369,906 134,534 51% (4)% 73% Total Expenses 733,185 238,180 224,271 215,424 374,128 135,948 51% (4)% 74% Percent of year completed 50.00% 88 RECREATION DEPARTMENT CITY OF TUKWILA GENERAL FUND EXPENDITURES YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,428,670 862,431 658,188 706,932 664,527 (197,904) 47% 7% (6)% 12 Extra Labor 521,939 221,758 217,591 205,021 204,062 (17,695) 39% (6)% (0)% 13 Overtime 4,179 91 2,407 16 777 686 19% (99)% 4684% 21 FICA 147,242 84,450 66,372 68,491 65,770 (18,680) 45% 3% (4)% 23 Pension-PERS/PSERS 171,528 97,758 82,206 87,267 95,012 (2,746) 55% 6% 9% 24 Industrial Insurance 87,287 39,102 33,930 27,587 26,128 (12,974) 30% (19)% (5)% 25 Medical & Dental 346,798 202,800 148,235 163,956 156,926 (45,873) 45% 11% (4)% 26 Unemployment - - (2,894) 404 266 266 - (114)% (34)% 28 Uniform/Clothing 235 235 - 225 - (235) - - - Total Salaries & Benefits 2,707,878 1,508,624 1,206,035 1,259,898 1,213,469 (295,155) 45% 4% (4)% 31 Supplies 130,067 65,244 59,132 57,946 47,255 (17,989) 36% (2)% (18)% 34 Items Purchased for resale 22,000 15,003 15,203 14,001 16,954 1,951 77% (8)% 21% 35 Small Tools 11,000 2,323 - 1,631 1,425 (898) 13% - (13)% 41 Professional Services 199,300 58,291 69,341 52,241 59,549 1,258 30% (25)% 14% 42 Communication 12,150 10,119 5,458 4,054 3,858 (6,261) 32% (26)% (5)% 43 Travel 8,725 5,687 2,720 10,458 7,466 1,779 86% 285% (29)% 44 Advertising 22,500 8,934 4,424 4,137 6,916 (2,018) 31% (6)% 67% 45 Rentals and Leases 49,260 29,778 24,978 21,690 19,492 (10,286) 40% (13)% (10)% 48 Repairs and Maintenance 30,400 4,509 9,892 986 8,035 3,526 26% (90)% 715% 49 Miscellaneous 109,400 53,100 32,699 38,669 56,204 3,104 51% 18% 45% 64 Machinery & Equipment 30,000 17,022 - 20,983 - (17,022) - - - Total Operating Expenses 624,802 270,010 223,846 226,796 227,154 (42,856) 36% 1% 0% Total Expenses 3,332,680 1,778,634 1,429,881 1,486,695 1,440,623 (338,011) 43% 4% (3)% Percent of year completed RECREATION DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY DIVISION 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) %CHANGE 2017 ALLOCATED BOOT % EXPENDED 2015/2016 2016/2017 ADMINISTRATION 390,201 215,472 136,130 200,138 246,862 31,390 63% 47% 23% RECREATION 444,908 377,460 793,705 214,632 474,305 96,846 107% (73)% 121% PRESCHOOL PROGRAM 80,728 44,290 - 46,737 44,505 215 55% - (5)% YOUTH PROGRAMS 583,211 225,598 - 206,605 157,394 (68,204) 27% - (24)% TEEN PROGRAMS 205,557 88,520 - 90,235 80,574 (7,946) 39% - (11)% YOUTH WELLNESS AND ENRICHMEC 152,175 76,438 - 75,463 21,817 (54,621) 14% - (71)% ADULT WELLNESS AND ENRICHMEI 219,197 92,310 - 85,779 133,049 40,739 61% - 55% SENIOR ADULT PROGRAMS 180,186 89,802 - 87,067 90,236 434 50% - 4% COMMUNITY EVENTS AND VOLUNTE 286,272 119,567 136,847 100,749 76,925 (42,642) 27% (26)% (24)% PLANNING AND BUSINESS OPS 472,355 282,076 - 214,340 5,963 (276,113) 1% - (97)% RENTAL OPERATIONS 317,890 167,100 363,199 164,948 108,961 (58,140) 34% (55)% (34)% Total Expenses 3,332,680 1,778,634 1,429,881 1,486,695 1,440,592 (338,042) 43% 4% (3)% Percent of year completed 50.00% 89 RECREATION ADMINISTRATION YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BDGT % EXPENDED 2015/2016 2016/2017 11 Salaries 253,158 134,949 97,248 123,317 167,236 32,286 66% 27% 36% 12 Extra Labor 5,000 4,432 553 1,786 - (4,432) - 223% - 13 Overtime 464 - - - - - - - - 21 FICA 17,199 9,935 7,103 9,075 12,658 2,723 74% 28% 39% 23 Pension-PERS/PSERS 30,393 15,273 10,764 13,592 21,249 5,976 70% 26% 56% 24 Industrial Insurance 1,263 307 283 409 616 309 49% 44% 51% 25 Medical & Dental 35,557 18,035 15,108 22,580 31,921 13,886 90% 49% 41% Total Salaries & Benefits 343,034 182,932 131,060 170,759 233,679 50,748 68% 30% 37% 31 Supplies 5,917 5,917 1,369 4,749 2,233 (3,684) 38% 247% (53)% 41 Professional Services 2,500 2,500 - 1,020 274 (2,226) 11% - (73)% 42 Communication - - 305 293 373 373 - (4)% 27% 43 Travel 2,500 2,500 305 723 4,469 1,969 179% 137% 518% 48 Repairs and Maintenance 2,000 352 - - 352 - 18% - - 49 Miscellaneous 4,250 4,250 2,028 1,611 4,755 505 112% (21)% 195% 64 Machinery & Equipment 30,000 17,022 - 20,983 - (17,022) - - - Total Operating Expenses 47,167 32,541 5,069 29,379 13,183 (19,358) 28% 480% (55)% Total Expenses 390,201 215,472 136,130 200,138 246,862 31,390 63% 47% 23% Percent of year completed RECREATION RECREATION 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) °I° CHANGE 2017 ALLOCATED BDGT % EXPENDED 2015/2016 2016/2017 11 Salaries 197,480 197,480 329,700 94,920 244,337 46,857 124% (71)% 157% 12 Extra Labor 61,516 32,129 184,940 30,268 35,774 3,646 58% (84)% 18% 21 FICA 19,721 19,721 39,147 9,532 21,208 1,487 108% (76)% 122% 23 Pension-PERS/PSERS 23,708 23,708 43,621 12,107 32,979 9,271 139% (72)% 172% 24 Industrial Insurance 11,986 6,432 27,159 4,020 5,529 (903) 46% (85)% 38% 25 Medical & Dental 42,597 42,597 79,288 19,721 56,527 13,930 133% (75)% 187% Total Salaries & Benefits 357,008 322,067 700,961 170,982 396,620 74,553 111% (76)% 132% 31 Supplies 21,500 10,370 33,995 8,706 12,269 1,900 57% (74)% 41% 34 Items Purchased for resale - - (974) - - - - - 35 Small Tools 11,000 2,323 - 1,631 1,425 (898) 13% - (13)% 41 Professional Services 13,750 5,499 37,297 18,474 6,161 663 45% (50)% (67)% 42 Communication 2,850 1,319 1,727 895 1,897 578 67% (48)% 112% 43 Travel 1,800 613 2,246 2,123 1,146 533 64% (5)% (46)% 44 Advertising 4,800 3,070 110 260 - (3,070) - 137% - 45 Rentals and Leases - - 85 - 12,255 12,255 - - - 49 Miscellaneous 32,200 32,200 18,258 11,562 41,330 9,130 128% (37)% 257% Total Operating Expenses 87,900 55,393 92,744 43,651 77,686 22,293 88% (53)% 78% Total Expenses 444,908 377,460 793,705 214,632 474,305 96,846 107% (73)% 121% Percent of year completed 50.00% 90 RECREATION PRESCHOOL PROGRAM YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BDGT % EXPENDED 2015/2016 2016/2017 11 Salaries 37,990 18,498 - 17,815 19,577 1,079 52% - 10% 12 Extra Labor 20,900 12,754 - 14,080 10,622 (2,132) 51% - (25)% 21 FICA 4,454 2,376 - 2,438 2,304 (71) 52% - (5)% 23 Pension-PERS/PSERS 4,568 2,314 - 3,170 3,350 1,036 73% - 6% 24 Industrial Insurance 2,312 1,394 - 1,129 923 (471) 40% - (18)% 25 Medical & Dental 404 404 - 205 1,297 893 321% - 531% Total Salaries & Benefits 70,628 37,740 - 38,838 38,073 333 54% - (2)% 31 Supplies 8,600 5,964 - 7,208 6,165 201 72% (14)% 41 Professional Services 1,000 86 - - 86 - 9% - 49 Miscellaneous 500 500 - 691 181 (319) 36% (74)% Total Operating Expenses 10,100 6,550 - 7,899 6,432 (119) 64% - (19)% Total Expenses 80,728 44,290 46,737 44,505 215 55% (5)% Percent of year completed RECREATION YOUTH PROGRAMS 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BDGT % EXPENDED 2015/2016 2016/2017 11 Salaries 151,231 76,035 - 73,599 41,370 (34,666) 27% - (44)% 12 Extra Labor 230,203 77,789 - 69,521 65,946 (11,844) 29% - (5)% 21 FICA 30,552 12,373 - 10,858 8,101 (4,272) 27% - (25)% 23 Pension-PERS/PSERS 18,155 8,346 - 11,605 7,873 (473) 43% - (32)% 24 Industrial Insurance 30,133 11,179 - 7,882 6,696 (4,482) 22% - (15)% 25 Medical & Dental 51,337 25,656 - 23,743 13,399 (12,258) 26% - (44)% Total Salaries & Benefits 511,611 211,379 - 197,214 143,384 (67,995) 28% - (27)% 31 Supplies 31,100 12,917 - 8,364 11,500 (1,417) 37% 37% 41 Professional Services 24,500 1,280 - 1,010 1,699 419 7% - 68% 49 Miscellaneous 16,000 22 - 18 812 789 5% - 4516% Total Operating Expenses 71,600 14,220 - 9,392 14,011 (209) 20% - 49% Total Expenses 583,211 225,598 - 206,605 157,394 (68,204) 27% - (24)% Percent of year completed 50.00% 91 RECREATION YTD AS OF JUNE 30, 2018 TEEN PROGRAMS SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOOT EXPENDED 2015/2016 2016/2017 11 Salaries 67,796 33,767 - 32,520 32,365 (1,403) 48% - (0)% 12 Extra Labor 63,850 21,713 - 19,963 18,111 (3,602) 28% - (9)% 21 FICA 10,070 4,262 - 4,015 3,821 (441) 38% - (5)% 23 Pension-PERS/PSERS 8,140 3,866 - 4,378 4,940 1,074 61% - 13% 24 Industrial Insurance 9,191 3,543 - 2,671 2,513 (1,030) 27% - (6)% 25 Medical & Dental 25,630 12,809 - 11,856 10,450 (2,359) 41% - (12)% Total Salaries & Benefits 184,677 79,960 - 75,404 72,199 (7,761) 39% - (4)% 31 Supplies 7,650 2,694 - 2,987 2,732 37 36% (9)% 41 Professional Services 5,050 4,300 - 4,259 3,060 (1,241) 61% (28)% 45 Rentals and Leases 180 180 - 1,346 272 92 151% (80)% 49 Miscellaneous 8,000 1,385 - 1,173 1,736 351 22% - 48% Total Operating Expenses 20,880 8,560 - 14,832 8,375 (185) 40% - (44)% Total Expenses 205,557 88,520 - 90,235 80,574 (7,946) 39% (11)% Percent of year completed RECREATION YOUTH WELLNESS AND ENRICHMENT 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOOT EXPENDED 2015/2016 2016/2017 11 Salaries 67,929 33,958 - 32,658 (10,978) (44,936) (16)% - (134)% 12 Extra Labor 12,700 12,700 - 15,750 21,887 9,187 172% - 39% 21 FICA 6,169 3,631 - 3,703 829 (2,803) 13% - (78)% 23 Pension-PERS/PSERS 8,155 4,234 - 4,592 1,319 (2,915) 16% - (71)% 24 Industrial Insurance 4,247 2,344 - 1,946 336 (2,008) 8% - (83)% 25 Medical & Dental 17,775 8,881 - 8,220 3,050 (5,831) 17% - (63)% Total Salaries & Benefits 116,975 65,749 - 66,869 16,443 (49,307) 14% - (75)% 31 Supplies 5,600 4,854 - 5,036 4,144 (710) 74% (18)% 41 Professional Services 28,900 5,835 - 3,558 1,231 (4,604) 4% - (65)% 49 Miscellaneous 700 - - - - - - Total Operating Expenses 35,200 10,689 - 8,594 5,375 (5,315) 15% - (37)% Total Expenses 152,175 76,438 - 75,463 21,817 (54,621) 14% - (71)% Percent of year completed 50.00% 92 RECREATION YTD AS OF JUNE 30, 2018 ADULT WELLNESS AND ENRICHMENT SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOOT % EXPENDED 2015/2016 2016/2017 11 Salaries 83,581 41,791 - 40,194 59,998 18,208 72% - 49% 12 Extra Labor 24,000 12,211 - 12,521 12,940 729 54% - 3% 13 Overtime - - - - 686 686 - - - 21 FICA 8,036 4,006 - 3,941 5,601 1,595 70% - 42% 23 Pension-PERS/PSERS 10,034 4,727 - 5,099 7,355 2,629 73% - 44% 24 Industrial Insurance 5,339 2,762 - 1,840 3,369 607 63% - 83% 25 Medical & Dental 25,707 12,847 - 11,887 12,548 (299) 49% - 6% Total Salaries & Benefits 156,697 78,344 - 75,482 102,498 24,154 65% - 36% 31 Supplies 4,200 179 - 897 2,310 2,131 550k 158% 41 Professional Services 50,900 12,029 - 8,331 23,131 11,102 45% 178% 42 Communication - - - - 1,588 1,588 - - - 48 Repairs and Maintenance 7,200 1,559 - 548 545 (1,014) 8% - (1)% 49 Miscellaneous 200 200 - 522 2,978 2,778 1489% - 471% Total Operating Expenses 62,500 13,967 - 10,297 30,551 16,585 49% - 197% Total Expenses 219,197 92,310 - 85,779 133,049 40,739 61% 55% Percent of year completed 50.00% 93 RECREATION YTD AS OF JUNE 30, 2018 SENIOR ADULT PROGRAMS SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOLT % EXPENDED 2015/2016 2016/2017 11 Salaries 83,898 41,949 - 40,344 48,523 6,574 58% - 20% 12 Extra Labor 27,000 14,337 - 12,731 10,190 (4,147) 38% - (20)% 21 FICA 8,423 4,275 - 4,026 4,400 125 52% - 9% 23 Pension-PERS/PSERS 10,072 4,616 - 5,468 6,649 2,033 66% - 22% 24 Industrial Insurance 5,629 2,979 - 1,903 1,908 (1,071) 34% - 0% 25 Medical & Dental 22,164 11,076 - 10,247 12,244 1,168 55% 19% Total Salaries & Benefits 157,186 79,232 - 74,718 83,913 4,681 53% - 12% 31 Supplies 3,000 1,591 - 2,387 1,725 134 57% - (28)% 41 Professional Services 5,900 399 - 260 1,490 1,091 25% - 473% 43 Travel 2,100 696 - 1,166 1,275 579 61% - 9% 49 Miscellaneous 12,000 7,884 - 8,536 1,834 (6,050) 15% - (79)% Total Operating Expenses 23,000 10,570 - 12,349 6,323 (4,247) 27% - (49)% Total Expenses 180,186 89,802 - 87,067 90,236 434 50% - 4% Percent of year completed RECREATION COMMUNITY EVENTS AND VOLUNTEERS 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 2017 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2015/2016 2016/2017 11 Salaries 113,660 53,072 65,216 51,454 31,217 (21,855) 27% (21)% (39)% 12 Extra Labor 15,150 4,494 4,414 1,872 590 (3,904) 4% (58)% (68)% 13 Overtime 2,322 - 188 - - - - - - 21 FICA 9,629 4,224 5,273 3,776 2,354 (1,870) 24% (28)% (38)% 23 Pension-PERS/PSERS 13,645 5,808 6,729 5,868 4,019 (1,789) 29% (13)% (32)% 24 Industrial Insurance 4,022 1,739 1,464 1,646 995 (744) 25% 12% (40)% 25 Medical & Dental 23,094 10,535 11,795 10,736 7,915 (2,619) 34% (9)% (26)% Total Salaries & Benefits 181,522 79,872 95,078 75,352 47,090 (32,782) 26% (21)% (38)% 31 Supplies 25,400 10,652 7,955 7,019 2,868 (7,783) 11% (12)% (59)% 41 Professional Services 58,400 23,362 30,407 15,178 22,417 (945) 38% (50)% 48% 42 Communication 500 - - - - - - - - 43 Travel 600 178 - 106 - (178) - - - 44 Advertising 10,500 3,327 1,979 1,509 3,961 634 38% (24)% 162% 45 Rentals and Leases 6,800 820 905 688 - (820) - (24)% - 49 Miscellaneous 2,550 1,356 521 896 588 (768) 23% 72% (34)% Total Operating Expenses 104,750 39,695 41,769 25,397 29,835 (9,860) 28% (39)% 17% Total Expenses 286,272 119,567 136,847 100,749 76,925 (42,642) 27% (26)% (24)% Percent of year completed 50.00% 94 RECREATION PLANNING AND BUSINESS OPERATIONS YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOOT % EXPENDED 2015/2016 2016/2017 11 Salaries 242,377 163,712 - 136,066 - (163,712) - - - 13 Overtime 464 - - - - - - - - 21 FICA 18,481 12,367 - 10,293 - (12,367) - - - 23 Pension-PERS/PSERS 29,099 17,208 - 12,226 - (17,208) - - - 24 Industrial Insurance 3,799 2,047 - 1,110 - (2,047) - - - 25 Medical & Dental 68,120 42,382 - 28,820 - (42,382) - - - 28 Uniform/Clothing 235 235 - 225 - (235) - - - Total Salaries & Benefits 362,575 237,951 - 188,740 - (237,951) _ 31 Supplies 6,800 1,471 - 2,205 - (1,471) - - 41 Professional Services 3,000 3,000 - 151 - (3,000) - - 42 Communication 8,800 8,800 - 2,460 - (8,800) - - - 43 Travel 1,400 1,375 - 1,008 - (1,375) - - - 44 Advertising 500 - - - - - - - - 45 Rentals and Leases 40,280 26,778 - 17,832 5,963 (20,815) 15% - (67)% 48 Repairs and Maintenance 19,700 1,099 - 438 - (1,099) - - - 49 Miscellaneous 29,300 1,602 - 1,506 - (1,602) - - - Total Operating Expenses 109,780 44,125 25,600 5,963 (38,162) 5% - (77)% Total Expenses 472,355 282,076 - 214,340 5,963 (276,113) 1% - (97)% Percent of year completed RECREATION RENTAL OPERATIONS 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2017 ANNUAL 2017 ALLOCATED 2015 2016 ACTUAL OVER/(UNDER) % CHANGE 2017 ALLOCATED BOOT % EXPENDED 2015/2016 2016/2017 11 Salaries 129,570 67,220 166,025 64,045 30,883 (36,336) 24% (61)% (52)% 12 Extra Labor 61,620 29,198 27,684 26,529 28,003 (1,195) 45% (4)% 6% 13 Overtime 929 91 2,218 - 91 - 10% - - 21 FICA 14,508 7,280 14,849 6,834 4,494 (2,786) 31% (54)% (34)% 23 Pension-PERS/PSERS 15,559 7,657 21,093 9,163 5,279 (2,378) 34% (57)% (42)% 24 Industrial Insurance 9,366 4,376 5,023 3,031 3,243 (1,133) 35% (40)% 7% 25 Medical & Dental 34,413 17,578 42,044 15,940 7,577 (10,001) 22% (62)% (52)% Total Salaries & Benefits 265,965 133,400 278,935 125,541 79,571 (53,829) 30% (55)% (37)% 31 Supplies 10,300 8,635 15,812 8,388 1,309 (7,326) 13% (47)% (84)% 34 Items Purchased for resale 22,000 15,003 16,177 14,001 16,954 1,951 77% (13)% 21% 41 Professional Services 5,400 - 1,636 - - - - - - 42 Communication - - 3,426 406 - - - (88)% - 43 Travel 325 325 169 264 - (325) - 56% - 44 Advertising 6,700 2,537 2,335 2,368 2,955 418 44% 1% 25% 45 Rentals and Leases 2,000 2,000 22,925 1,824 276 (1,724) 14% (92)% (85)% 48 Repairs and Maintenance 1,500 1,500 9,892 - 5,936 4,436 396% - - 49 Miscellaneous 3,700 3,700 11,892 12,156 1,960 (1,741) 53% 2% (84)% Total Operating Expenses 51,925 33,700 84,264 39,407 29,390 (4,311) 57% (53)% (25)% Total Expenses 317,890 167,100 363,199 164,948 108,961 (58,140) 34% (55)% (34)% Percent of year completed 50.00% 95 PARK MAINTENANCE YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 589,976 288,403 243,439 275,635 316,879 28,475 54% 13% 15% 12 Extra Labor 20,000 9,324 6,107 11,211 7,588 (1,736) 38% 84% (32)% 13 Overtime 2,137 80 547 63 151 70 7% (89)% 140% 21 FICA 46,839 23,197 19,044 21,873 25,601 2,404 55% 15% 17% 23 Pension-PERS/PSERS 70,827 32,911 27,141 30,708 42,417 9,506 60% 13% 38% 24 Industrial insurance 26,087 12,732 7,847 8,461 7,931 (4,801) 30% 8% (6)% 25 Medical & Dental 145,861 73,455 51,432 67,080 72,212 (1,243) 50% 30% 8% 28 Uniform/Clothing 1,715 177 288 126 230 52 13% (56)% 83% Total Salaries & Benefits 903,442 440,280 355,844 415,155 473,585 33,305 52% 17% 14% 31 Supplies 53,800 49,607 38,197 63,284 35,596 (14,011) 66% 66% (44)% 35 Small Tools 5,000 5,000 326 5,318 4,928 (72) 99% 1533% (7)% 41 Professional Services 61,200 30,691 24,337 32,114 14,732 (15,958) 24% 32% (54)% 42 Communication - - 783 1,105 1,699 1,699 - 41% 54% 43 Travel 225 225 319 1,390 - (225) - 336% - 45 Rentals and Leases 103,206 63,265 62,888 59,637 51,148 (12,117) 50% (5)% (14)% 47 Public Utilities 302,725 117,814 82,222 97,148 99,248 (18,566) 33% 18% 2% 48 Repairs and Maintenance 25,500 14,577 1,085 3,257 6,752 (7,825) 26% 200% 107% 49 Miscellaneous 4,000 4,000 2,432 6,368 1,780 (2,220) 45% 162% (72)% Total Operating Expenses 555,656 285,179 212,587 269,621 215,883 (69,296) 39% 27% (20)% Total Expenses 1,459,098 725,458 568,432 684,777 689,468 _ (35,991) 47% 20% 1% Percent of year expired 50.00% 96 COMMUNITY DEVELOPMENT CITY OF TUKWILA GENERAL FUND EXPENDITURES YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED % EXPENDED 2016/2017 2017/2018 BDGT 11 Salaries 2,199,436 1,144,087 962,442 1,050,843 1,011,820 (132,268) 46% 9% (4)% 12 Extra Labor 36,574 16,795 32,934 24,677 34,640 17,845 95% (25)% 40% 13 Overtime 11,094 8,200 1,632 2,947 6,111 (2,089) 55% 81% 107% 21 FICA 172,850 90,895 75,467 81,952 80,803 (10,092) 47% 9% (1)% 23 Pension-PERS/PSERS 265,439 129,025 108,990 117,754 129,616 591 49% 80/. 10% 24 Industrial Insurance 25,899 13,321 7,109 8,085 6,946 (6,375) 27% 14% (14)% 25 Medical & Dental 482,597 252,859 172,600 193,082 178,699 (74,160) 37% 12% (7)% 28 Uniform/Clothing 2,975 225 142 203 169 (56) 6% 43% (17)% Total Salaries & Benefits 3,196,864 1,655,407 1,361,316 1,479,542 1,448,804 (206,604) 45% 9% (2)% 31 Supplies 35,180 20,808 16,868 34,635 16,703 (4,105) 47% 105% (52)% 35 Small Tools 500 500 - 181 495 (5) 99% - 174% 41 Professional Services 203,900 47,168 98,079 54,920 103,681 56,513 51% (44)% 89% 42 Communication 6,500 3,322 2,212 5,012 4,641 1,319 71% 127% (7)% 43 Travel 13,800 3,923 848 1,010 3,047 (876) 22% 19% 202% 44 Advertising - - - - - - - - - 45 Rentals and Leases 12,954 6,134 13,003 7,173 4,298 (1,836) 33% (45)% (40)% 47 Public Utilities 2,500 1,900 586 2,023 1,291 (609) 52% 245% (36)% 48 Repairs and Maintenance 53,185 39,853 8,862 9,040 454 (39,398) 1% 2% (95)% 49 Miscellaneous 144,777 56,399 37,754 20,184 56,131 (268) 39% (47)% 178% 51 Inter -Governmental 1,000 500 - 3,821 - (500) - - - 53 Ext Taxes, Oper Assess - - 1 107 216 216 - 8855% 101% Total Operating Expenses 474,296 180,507 178,214 138,106 190,957 10,451 40% (23)% 38% Total Expenses 3,671,160 1,835,914 _ 1,539,530 1,617,648 1,639,761 (196,153) 45% 5% 1% Percent of year completed COMMUNITY DEVELOPMENT DIVISION SUMMARY 50.00 % YTD AS OF JUNE 30, 2018 SUMMARY BY DIVISION BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 380,509 182,321 167,783 173,508 177,402 (4,919) 47% 3% 2% CODE ENFORCEMENT 533,335 270,504 217,169 208,751 195,453 (75,051) 37% (4)% (6)% PERMIT CENTER 411,455 206,883 199,832 168,499 160,124 (46,759) 39% (16)% (5)% BUILDING, PERMIT AND PLAN REVIEW 871,623 461,336 321,740 374,960 329,938 (131,398) 38% 17% (12)% PLANNING 1,285,783 612,856 536,191 545,739 600,198 (12,657) 47% 2% 10% RECYCLING PROGRAM 46,000 20,105 26,098 19,800 21,119 1,014 46% (24)% 7% TDM PROGRAM 142,455 81,909 70,719 126,392 155,526 73,617 109% 79% 23% Total Expenses 3,671,160 1,835,914 1,539,530 1,617,648 1,639,761 (196,153) 45% 5% 1% Percent of year completed 50.00% 97 COMMUNITY DEVELOPMENT ADMINISTRATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT °I° EXPENDED 201612017 2017/2018 11 Salaries 235,080 117,693 113,915 116,067 120,143 2,450 51% 2% 4% 13 Overtime 1,114 1,114 - 661 1,132 18 102% - 71% 21 FICA 15,729 8,479 8,474 8,695 9,002 523 57% 3% 4% 23 Pension-PERS/PSERS 28,221 13,111 12,619 12,950 15,187 2,076 54% 3% 17% 24 Industrial Insurance 779 375 280 253 257 (118) 33% (9)% 2% 25 Medical & Dental 52,606 26,257 23,875 20,793 21,047 (5,209) 40% (13)% 1% Total Salaries & Benefits 333,529 167,029 159,162 159,418 166,769 (260) 50% 0% 5% 31 Supplies 9,680 3,370 4,044 7,405 6,338 2,968 65% 83% (14)% 41 Professional Services 20,000 1,200 - - 1,200 - 6% - - 43 Travel 500 50 64 83 284 234 57% 30% 242% 45 Rentals and Leases 4,800 3,330 3,162 3,173 221 (3,109) 5% 0% (93)% 48 Repairs and Maintenance 500 227 759 566 454 227 91% (25)% (20)% 49 Miscellaneous 11,500 7,115 590 2,755 1,919 (5,195) 17% 367% (30)% 53 Ext Taxes, Assessments - 1 107 216 216 - 8855% 101 Total Operating Expenses 46,980 15,292 8,620 14,090 10,633 (4,659) 23% 63% (25)% Total Expenses 380,509 182,321 167,783 173,508 177,402 (4,919) 47% 3% 2% Percent of year completed COMMUNITY DEVELOPMENT CODE ENFORCEMENT 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT °I° EXPENDED 2016/2017 2017/2018 11 Salaries 308,088 172,603 140,145 138,433 122,288 (50,315) 40% (1)% (12)% 12 Extra Labor 5,574 5,574 7,680 980 - (5,574) - (87)% - 13 Overtime 2,786 2,507 - 131 - (2,507) - - - 21 FICA 24,209 13,818 11,309 10,937 9,348 (4,470) 39% (3)0k (15)% 23 Pension-PERS/PSERS 36,991 18,754 15,388 14,194 15,531 (3,224) 42% (8)% 9% 24 Industrial Insurance 9,634 4,833 3,411 2,719 2,174 (2,659) 23% (20)% (20)% 25 Medical & Dental 81,731 46,015 27,783 35,386 32,425 (13,590) 40% 27% (8)% 28 Uniform/Clothing 475 225 142 203 169 (56) 36% 43% (17)% Total Salaries & Benefits 469,488 264,330 205,859 202,982 181,934 (82,396) 39% (1)% (10)% 31 Supplies 500 500 950 156 1,591 1,091 318% (84)% 922% 41 Professional Services - - 3,578 - 7,848 7,848 - - - 42 Communication 3,000 1,945 1,496 1,680 680 (1,265) 23% 12% (60)% 43 Travel 600 - 39 - - - - - - 45 Rentals and Leases 3,820 1,636 4,278 1,875 1,910 274 50% (56)% 2% 47 Public Utilities 2,500 1,900 586 2,023 1,291 (609) 52% 245% (36)% 49 Miscellaneous 53,427 194 382 35 200 6 0% (91)% 471% Total Operating Expenses 63,847 6,174 11,310 5,769 13,520 7,345 21% (49)% 134% Total Expenses 533,335 270,504 217,169 208,751 195,453 (75,051) 37% (4)% (6)% Percent of year completed 50.00% 98 COMMUNITY DEVELOPMENT PERMIT CENTER YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT °I° EXPENDED 2016/2017 2017/2018 11 Salaries 209,384 102,912 127,747 100,752 99,438 (3,475) 47% (21)% (1)% 13 Overtime 1,847 1,847 - - 3,899 2,052 211% - - 21 FICA 16,171 8,007 9,773 7,708 8,029 22 50% (21)% 4% 23 Pension-PERS/PSERS 25,144 11,650 14,046 11,264 12,805 1,155 51% (20)% 14% 24 Industrial Insurance 1,169 585 527 371 335 (250) 29% (30)% (10)% 25 Medical & Dental 65,540 33,095 33,757 30,271 26,972 (6,123) 41% (10)% (11)% Total Salaries & Benefits 319,255 158,096 185,849 150,365 151,477 (6,618) 47% (19)% 1% 31 Supplies 3,000 1,433 699 1,182 2,279 846 76% 69% 93% 41 Professional Services 5,000 881 301 4,124 253 (628) 5% 1271% (94)% 43 Travel 3,700 111 - 24 1,924 1,813 52% - 7962% 48 Repairs and Maintenance 44,000 31,491 - 4,237 - (31,491) - - - 49 Miscellaneous 36,500 14,871 12,873 8,566 4,190 (10,681) 11% (33)% (51)% Total Operating Expenses 92,200 48,788 13,982 18,133 8,647 (40,141) 9% 30% (52)% Total Expenses 411,455 206,883 199,832 168,499 160,124 (46,759) 39% (16)% (5)% Percent of year completed COMMUNITY DEVELOPMENT BUILDING, PERMIT AND PLAN REVIEW 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 524,335 291,268 170,099 242,339 200,301 (90,967) 38% 42% (17)% 13 Overtime 3,500 2,161 1,062 1,762 1,080 (1,081) 31% 66% (39)% 21 FICA 40,307 22,435 12,913 18,509 15,266 (7,169) 38% 43% (18)% 23 Pension-PERS/PSERS 64,314 33,458 19,136 26,505 24,940 (8,518) 39% 39% (6)% 24 Industrial Insurance 10,225 5,510 1,502 3,216 2,799 (2,711) 27% 114% (13)% 25 Medical & Dental 123,808 67,368 32,188 46,262 42,592 (24,776) 34% 44% (8)% 28 Uniform/Clothing 2,500 - - - - - - - - Total Salaries & Benefits 768,989 422,201 236,899 338,593 286,978 (135,222) 37% 43% (15)% 31 Supplies 3,000 2,664 4,700 1,845 2,112 (551) 70% (61)% 14% 35 Small Tools 500 500 - 181 495 (5) 99% - 174% 41 Professional Services 83,400 27,225 68,648 25,794 30,904 3,679 37% (62)% 20% 42 Communication 500 500 606 3,332 3,084 2,584 617% 450% (7)% 43 Travel 1,500 604 661 135 68 (535) 5% (80)% (49)% 45 Rentals and Leases 4,334 1,168 5,563 2,126 2,167 999 50% (62)% 2% 48 Repairs and Maintenance 550 - - - - - - - - 49 Miscellaneous 8,850 6,475 4,662 2,955 4,129 (2,346) 47% (37)% 40% Total Operating Expenses 102,634 39,135 84,840 36,367 42,960 3,824 42% (57)% 18% Total Expenses 871,623 461,336 321,740 374,960 329,938 (131,398) 38% 17% (12)% Percent of year completed 50.00% 99 COMMUNITY DEVELOPMENT PLANNING YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 201612017 2017/2018 11 Salaries 830,955 407,806 372,765 392,855 419,934 12,128 51% 5% 7% 12 Extra Labor 31,000 11,221 8,797 4,107 4,120 (7,101) 13% (53)% 0% 13 Overtime 1,847 571 570 393 - (571) - (31)% - 21 FICA 69,427 34,364 28,917 30,053 33,123 (1,242) 48% 4% 10% 23 Pension-PERS/PSERS 99,775 46,416 41,739 43,899 51,893 5,477 52% 5% 18% 24 Industrial Insurance 3,313 1,648 1,128 1,141 1,074 (574) 32% 1% (6)% 25 Medical & Dental 140,331 69,498 51,183 54,863 52,505 (16,993) 37% 7% (4)% Total Salaries & Benefits 1,176,648 571,524 505,099 527,311 562,649 (8,875) 48% 4% 7% 31 Supplies 8,000 3,565 1,554 2,721 2,315 (1,250) 29% 75% (15)% 41 Professional Services 64,000 5,021 14,174 5,550 31,887 26,865 50% (61)% 475% 42 Communication 3,000 877 - - 877 - 29% - - 43 Travel 2,000 718 46 689 581 (137) 29% 1395% (16)% 48 Repairs and Maintenance 8,135 8,135 8,104 4,237 - (8,135) - (48)% - 49 Miscellaneous 24,000 23,016 7,215 5,232 1,890 (21,126) 8% (27)% (64)% Total Operating Expenses 109,135 41,332 31,092 18,428 37,550 (3,783) 34% (41)% 104% Total Expenses 1,285,783 612,856 536,191 545,739 600,198 (12,657) 47% 2% 10% Percent of year completed COMMUNITY DEVELOPMENT RECYCLING PROGRAM 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries - - 7,152 2,777 3,291 3,291 - (61)% 18% 21 FICA - - 481 205 243 243 - (57)% 19% 23 Pension-PERS/PSERS - - 800 311 417 417 - (61)% 34% 24 Industrial Insurance - - 23 8 10 10 - (64)% 16% 25 Medical & Dental - - 895 22 25 25 - (97)% 11% Total Salaries & Benefits - - 9,350 3,324 3,986 3,986 (64)% 20% 31 Supplies 9,000 7,536 3,887 5,187 1,175 (6,361) 13% 33% (77)% 41 Professional Services 30,000 11,340 11,378 10,692 15,651 4,311 52% (6)% 46% 49 Miscellaneous 7,000 1,229 1,484 598 307 (921) 4% (60)% (49)% Total Operating Expenses 46,000 20,105 16,748 16,476 17,133 (2,972) 37% (2)% 4% Total Expenses 46,000 20,105 26,098 19,800 21,119 1,014 46% (24)% 7% Percent of year completed 50.00% 100 COMMUNITY DEVELOPMENT TDM PROGRAM YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 201612017 2017/2018 11 Salaries 91,594 51,804 30,620 57,620 46,425 (5,379) 51% 88% (19)% 12 Extra Labor - - 16,457 19,590 30,520 30,520 - 19% 56% 21 FICA 7,007 3,792 3,601 5,846 5,792 2,000 83% 62% (1)% 23 Pension-PERS/PSERS 10,994 5,636 5,263 8,632 8,843 3,207 80% 64% 2% 24 Industrial Insurance 779 371 237 375 298 (73) 38% 58% (21)% 25 Medical & Dental 18,581 10,626 2,919 5,485 3,133 (7,494) 17% 88% (43)% Total Salaries & Benefits 128,955 72,228 59,098 97,549 95,010 22,782 74% 65% (3)% 31 Supplies 2,000 1,741 1,034 16,140 893 (848) 45% 1460% (94)% 41 Professional Services 1,500 1,500 - 8,761 15,937 14,437 1062% - 82% 43 Travel 5,500 2,440 38 79 191 (2,250) 3% 107% 142% 49 Miscellaneous 3,500 3,500 10,548 43 43,495 39,995 1243% (100)% 101288% 51 Inter -Governmental 1,000 500 - 3,821 - (500) - - - Total Operating Expenses 13,500 9,681 11,621 28,843 60,516 50,836 448% 148% 110% Total Expenses 142,455 81,909 70,719 126,392 155,526 73,617 109% 79% 23% Percent of year completed 50.00% 101 MUNICIPAL COURT YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED % EXPENDED 2016/2017 2017/2018 BDGT 11 Salaries 768,806 373,211 352,691 367,242 393,351 20,140 51% 4% 7% 12 Extra Labor 4,180 4,180 6,066 558 - (4,180) - (91)% - 13 Overtime 4,661 - 320 - - - - - - 21 FICA 58,057 28,509 27,089 27,702 29,686 1,177 51% 2% 7% 23 Pension-PERS/PSERS 92,113 42,174 40,310 41,285 49,762 7,588 54% 2% 21% 24 Industrial Insurance 3,839 1,947 1,275 1,321 1,393 (555) 36% 4% 5% 25 Medical & Dental 199,448 97,693 77,896 80,144 84,249 (13,443) 42% 3% 5% Total Salaries & Benefits 1,131,104 547,713 507,577 518,252 558,440 10,727 49% 2% 8% 31 Supplies 14,283 8,666 5,592 9,243 7,689 (978) 54% 65% (17)% 41 Professional Services 107,200 47,590 43,054 43,463 39,137 (8,454) 37% 1% (10)% 42 Communication 10,550 4,928 1,913 4,243 2,493 (2,435) 24% 122% (41)% 43 Travel 7,500 5,773 3,156 7,229 2,192 (3,581) 29% 129% (70)% 45 Rentals and Leases 2,000 2,000 872 3,404 3,171 1,171 159% 290% (7)% 48 Repairs and Maintenance 2,300 2,300 521 348 4,075 1,775 177% (33)% 1070% 49 Miscellaneous 20,870 9,927 8,869 10,811 8,989 (938) 43% 22% (17)% 53 Ext Taxes, Assessments 5 1 - - 1 - 22% - - Total Operating Expenses 164,708 81,186 63,978 79,694 67,747 (13,439) 41% 25% (15)% Total Expenses 1,295,812 628,899 571,555 597,946 626,187 (2,712) 48% 5% 5% Percent of year completed 50.00% 102 POLICE YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) °l° CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 9,259,438 4,597,477 4,233,834 4,309,912 4,282,589 (314,888) 46% 2% (1)% 13 Overtime 928,495 542,650 403,747 477,984 386,294 (156,357) 42% 18% (19)% 15 Holiday/Kelly Payoff 201,063 70,558 77,875 74,220 87,021 16,463 43% (5)% 17% 21 FICA 770,554 387,829 357,418 370,027 362,192 (25,636) 47% 4% (2)% 22 Pension-LEOFF 2 484,606 231,462 211,992 216,053 224,407 (7,055) 46% 2% 4% 23 Pension-PERS/PSERS 148,889 78,014 64,835 68,457 73,652 (4,362) 49% 6% 8% 24 Industrial Insurance 299,281 145,231 101,018 91,395 94,255 (50,976) 31% (10)% 3% 25 Medical & Dental 2,083,565 1,047,454 936,581 895,899 885,965 (161,489) 43% (4)% (1)% Total Salaries & Benefits 14,175,891 7,100,675 6,396,734 6,504,016 6,410,613 (690,063) 45% 2% (1)% 31 Supplies 184,250 109,862 132,232 147,471 118,492 8,631 64% 12% (20)% 35 Small Tools 15,600 4,362 358 3,186 3,300 (1,062) 21% 791% 4% 41 Professional Services 70,000 36,536 30,173 22,869 47,377 10,841 68% (24)% 107% 42 Communication 121,000 61,935 49,345 60,512 51,739 (10,196) 43% 23% (14)% 43 Travel 41,880 22,333 23,487 25,858 28,989 6,656 69% 10% 12% 44 Advertising 1,500 1,500 - 453 7,520 6,020 501% - 1561% 45 Rentals and Leases 872,046 488,379 646,209 435,790 428,981 (59,398) 49% (33)% (2)% 46 Insurance 253,245 253,245 240,000 230,223 254,359 1,114 100% (4)% 10% 47 Public Utilities - - 1,097 1,488 1,377 1,377 - 36% (7)% 48 Repairs and Maintenance 246,922 53,499 73,596 24,392 26,930 (26,569) 11% (67)% 10% 49 Miscellaneous 79,641 41,101 33,559 33,751 51,839 10,738 65% 1% 54% 51 Inter -Governmental 2,937,074 1,470,834 1,162,871 1,347,445 1,360,090 (110,744) 46% 16% 1% 64 Machinery & Equipment - - 311,636 - - - - - - Total Operating Expenses 4,823,158 2,543,585 2,704,562 2,333,436 2,380,993 (162,592) 49% (14)% 2% Total Expenses 18,999,049 9,644,261 9,101,296 8,837,452 8,791,605 (852,655) 46% (3)% (1)% Percent of year completed POLICE DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY DIVISION 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 1,853,693 1,061,131 931,591 1,071,671 1,128,779 67,648 61% 15% 5% INVESTIGATION 2,202,519 1,179,605 1,127,770 1,147,446 1,032,113 (147,492) 47% 2% (10)% PATROL 6,658,951 3,191,768 3,225,744 3,064,067 3,104,046 (87,722) 47% (5)% 1% RECORDS/EVIDENCE 1,393,844 652,293 557,629 536,798 524,065 (128,228) 38% (4)% (2)% ANTI -CRIME 869,025 427,292 364,146 399,107 390,052 (37,240) 45% 10% (2)% PROFESSIONAL STANDARDS 2,066,539 1,115,808 888,884 778,251 797,404 (318,404) 39% (12)% 2% TRAINING 291,273 158,816 155,211 164,318 161,516 2,700 55% 6% (2)% TRAFFIC 607,031 330,093 354,949 273,389 232,761 (97,332) 38% (23)% (15)% FACILITIES 110,000 53,494 - 55,300 60,379 6,885 55% - 9% PRISONER CARE & CUSTODY 1,658,405 826,214 676,234 739,058 794,924 (31,290) 48% 9% 8% ANIMAL SERVICES 118,852 63,288 - 59,582 - (63,288) - - - COMMUNICATION, DISPATCH 1,168,917 584,459 507,503 548,465 565,567 (18,892) 48% 8% 3% Total Expenses 18,999,049 9,644,261 8,796,280 8,837,452 8,791,605 (852,655) 46% 0% (1)% Percent of year completed 50.00°% 103 POLICE ADMINISTRATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 948,589 476,708 448,316 559,370 524,696 47,988 55% 25% (6)% 13 Overtime 2,923 143 - - 143 - 5% - - 21 FICA 63,301 33,131 32,488 40,922 39,024 5,893 62% 26% (5)% 22 Pension-LEOFF 47,627 22,091 19,260 21,537 23,773 1,682 50% 12% 10% 23 Pension-PERS/PSERS 9,032 9,032 4,035 8,155 10,062 1,030 111% 102% 23% 24 Industrial Insurance 20,201 8,459 5,966 5,570 7,308 (1,151) 36% (7)% 31% 25 Medical & Dental 167,935 78,418 60,545 77,851 85,255 6,837 51% 29% 10% Total Salaries & Benefits 1,259,608 627,981 570,609 713,406 690,524 62,543 55% 25% (3)% 31 Supplies 24,000 12,048 13,462 12,543 20,162 8,114 84% (7)% 61% 41 Professional Services 15,000 15,000 5,267 7,746 34,623 19,623 231% 47% 347% 42 Communication 121,000 61,935 19,300 45,017 51,739 (10,196) 43% 133% 15% 43 Travel 10,000 4,233 2,769 2,483 3,694 (540) 37% (10)% 49% 44 Advertising 1,100 1,100 - - 7,520 6,420 684% - - 45 Rentals and Leases 61,822 37,362 44,146 29,304 30,838 (6,524) 50% (34)% 5% 46 Insurance 253,245 253,245 240,000 230,223 254,359 1,114 100% (4)% 10% 48 Repairs and Maintenance 86,518 36,342 33,958 22,368 23,297 (13,045) 27% (34)% 4% 49 Miscellaneous 5,500 5,500 2,081 2,665 7,252 1,752 132% 28% 172% 51 Inter -Governmental 15,900 6,385 - 5,916 4,770 (1,614) 30% - (19)% Total Operating Expenses 594,085 433,150 360,982 358,265 438,255 5,105 74% (1)% 22% Total Expenses 1,853,693 1,061,131 931,591 1,071,671 1,128,779 67,648 61% 15% 5% Percent of year completed POLICE INVESTIGATION 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,346,030 708,287 688,277 727,939 673,967 (34,320) 50% 6% (7)% 13 Overtime 173,542 95,117 83,206 82,547 66,455 (28,662) 38% (1)% (19)% 21 FICA 115,963 62,129 58,620 62,509 56,268 (5,862) 49% 7% (10)% 22 Pension-LEOFF 74,196 38,116 36,724 37,742 34,686 (3,430) 47% 3% (8)% 23 Pension-PERS/PSERS 16,237 7,448 7,280 7,295 8,655 1,206 53% 0% 19% 24 Industrial Insurance 45,390 23,457 16,831 15,247 13,433 (10,024) 30% (9)% (12)% 25 Medical & Dental 285,339 152,283 130,166 129,414 110,009 (42,274) 39% (1)% (15)% Total Salaries & Benefits 2,056,697 1,086,837 1,021,106 1,062,693 963,472 (123,365) 47% 4% (9)% 31 Supplies 12,000 7,224 4,829 17,647 5,999 (1,225) 50% 265% (66)% 41 Professional Services 4,000 4,000 2,081 6,795 4,216 216 105% 227% (38)% 42 Communication - - 333 1,700 - - - 411% - 43 Travel 5,000 633 4,410 790 1,978 1,345 40% (82)% 150% 45 Rentals and Leases 112,322 80,004 87,805 56,906 56,161 (23,843) 50% (35)% (1)% 48 Repairs and Maintenance 9,000 - 5,781 - - - - - - 49 Miscellaneous 3,500 907 840 201 192 (715) 5% (76)% (5)% Total Operating Expenses 145,822 92,768 106,664 84,753 68,641 (24,127) 47% (21)% (19)% Total Expenses 2,202,519 1,179,605 1,127,770 1,147,446 1,032,113 (147,492) 47% 2% (10)% Percent of year completed 50.00% 104 POLICE PATROL YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 3,670,273 1,737,492 1,721,533 1,702,455 1,785,147 47,655 49% (1)% 5% 13 Overtime 553,184 322,013 178,762 256,734 191,029 (130,984) 35% 44% (26)% 15 Holiday Pay 201,063 70,558 77,875 74,220 87,021 16,463 43% (5)% 17% 21 FICA 331,292 159,394 150,997 155,673 157,318 (2,076) 47% 3% 1% 22 Pension-LEOFF 228,652 106,283 100,885 104,403 109,998 3,716 48% 3% 5% 23 Pension-PERS/PSERS 6,232 2,855 2,669 2,819 3,477 621 56% 6% 23% 24 Industrial Insurance 143,545 66,497 50,375 45,589 49,619 (16,879) 35% (10)% 9% 25 Medical & Dental 902,143 439,272 466,436 416,580 421,954 (17,318) 47% (11)% 1% Total Salaries & Benefits 6,036,384 2,904,364 2,749,531 2,758,473 2,819,537 (84,827) 47% 0% 2% 31 Supplies 59,450 26,317 45,605 51,953 34,828 8,510 59% 14% (33)% 35 Small Tools 600 6 358 245 - (6) - (32)% - 41 Professional Services 8,000 5,670 1,133 2,595 2,118 (3,552) 26% 129% (18)% 42 Communication - - 26,087 5,279 - - - (80)% - 43 Travel 500 500 276 170 2,549 2,049 510% (39)% 1403% 45 Rentals and Leases 484,513 251,620 374,454 244,569 242,256 (9,364) 50% (35)% (1)% 48 Repairs and Maintenance 65,404 997 25,445 26 428 (569) 1% (100)% 1518% 49 Miscellaneous 4,100 2,294 2,855 757 2,330 36 57% (73)% 208% Total Operating Expenses 622,567 287,405 476,213 305,594 284,509 (2,895) 46% (36)% (7)% Total Expenses 6,658,951 3,191,768 3,225,744 3,064,067 3,104,046 (87,722) 47% (5)% 1% Percent of year completed POLICE RECORDS/EVIDENCE 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 878,659 435,771 359,397 356,748 348,154 (87,617) 40% (1)% (2)% 13 Overtime 32,248 14,922 16,764 19,223 16,931 2,008 53% 15% (12)% 21 FICA 63,229 31,153 28,352 28,428 27,993 (3,160) 44% 0% (2)% 22 Pension-LEOFF 4,236 - - - - - - - - 23 Pension-PERS/PSERS 98,968 45,940 41,574 41,526 45,860 (81) 46% (0)% 10% 24 Industrial Insurance 5,409 2,629 1,603 1,538 1,422 (1,207) 26% (4)% (8)% 25 Medical & Dental 183,695 92,658 74,694 73,145 70,916 (21,742) 39% (2)% (3)% Total Salaries & Benefits 1,266,444 623,074 531,818 520,676 511,276 (111,798) 40% (2)% (2)% 31 Supplies 29,400 14,743 14,729 7,756 5,550 (9,193) 19% (47)% (28)% 35 Small Tools 15,000 4,356 - 2,941 3,300 (1,056) 22% - 12% 41 Professional Services 9,000 2,355 826 156 1,250 (1,105) 14% (81)% 703% 42 Communication - - 472 2,882 - - - 511% - 43 Travel - - - 560 - - - - - 45 Rentals and Leases - - 2,973 1,049 - - - (65)% - 48 Repairs and Maintenance 71,500 5,266 6,362 682 - (5,266) - (89)% - 49 Miscellaneous 2,500 2,500 449 96 2,690 190 108% (78)% 2688% Total Operating Expenses 127,400 29,219 25,811 16,122 12,790 (16,429) 10% (38)% (21)% Total Expenses 1,393,844 652,293 557,629 536,798 524,065 (128,228) 38% (4)% (2)% Percent of year completed 50.00% 105 POLICE ANTI -CRIME YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 505,117 234,829 193,824 221,348 212,556 (22,273) 42% 14% (4)% 13 Overtime 58,459 34,419 25,052 51,606 45,563 11,144 78% 106% (12)% 21 FICA 43,067 20,862 16,721 20,859 19,700 (1,162) 46% 25% (6)% 22 Pension-LEOFF 30,093 14,311 11,395 14,223 13,962 (349) 46% 25% (2)% 24 Industrial Insurance 18,202 9,237 5,074 5,722 5,519 (3,718) 30% 13% (4)% 25 Medical & Dental 113,408 52,736 41,763 45,736 52,585 (151) 46% 10% 15% Total Salaries & Benefits 768,346 366,394 293,829 359,494 349,885 (16,509) 46% 22% (3)% 31 Supplies 2,000 232 1,745 567 1,047 815 52% (68)% 85% 42 Communication - - 1,348 2,890 - - - 114% - 45 Rentals and Leases 87,679 58,982 65,123 35,179 33,125 (25,857) 38% (46)% (6)% 48 Repairs and Maintenance 1,000 50 - - 50 - 5% - - 49 Miscellaneous 10,000 1,633 2,100 857 5,945 4,312 59% (59)% 594% Total Operating Expenses 100,679 60,898 70,316 39,613 40,167 (20,731) 40% (44)% 1% Total Expenses 869,025 427,292 364,146 399,107 390,052 (37,240) 45% 10% (2)% Percent of year completed POLICE PROFESSIONAL STANDARDS 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,424,185 748,574 542,417 506,481 536,562 (212,012) 38% (7)% 6% 13 Overtime 45,303 45,303 65,197 50,367 50,189 4,886 111% (23)% (0)% 21 FICA 112,132 59,382 46,381 42,503 44,806 (14,576) 40% (8)% 5% 22 Pension-LEOFF 74,114 38,528 29,122 26,756 29,616 (8,912) 40% (8)% 11% 23 Pension-PERS/PSERS 10,405 4,723 5,352 4,741 5,599 876 54% (11)% 18% 24 Industrial Insurance 48,711 25,562 13,448 12,144 12,345 (13,218) 25% (10)% 2% 25 Medical & Dental 333,001 180,149 117,238 109,283 105,865 (74,284) 32% (7)% (3)% Total Salaries & Benefits 2,047,851 1,102,221 819,155 752,275 784,982 (317,240) 38% (8)% 4% 31 Supplies 8,300 4,178 8,552 13,818 5,012 833 60% 62% (64)% 42 Communication - - 1,770 1,519 - - - (14)% - 43 Travel - - 1,659 (35) 222 222 - (102)% (736)% 44 Advertising 400 400 - 453 - (400) - - - 45 Rentals and Leases 4,388 3,409 56,787 9,927 2,194 (1,215) 50% (83)% (78)% 47 Public Utilities - - 512 123 - - (76)% 48 Repairs and Maintenance 1,000 1,000 449 42 - (1,000) - (91)% - 49 Miscellaneous 4,600 4,600 - 130 4,995 395 109% - 3747% Total Operating Expenses 18,688 13,587 69,728 25,976 12,423 (1,164) 66% (63)% (52)% Total Expenses 2,066,539 1,115,808 888,884 778,251 797,404 (318,404) 39% (12)% 2% Percent of year completed 50.00% 106 POLICE TRAINING YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVERI(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 102,193 49,533 49,447 49,447 52,504 2,972 51% 0% 6% 13 Overtime 15,500 7,567 10,018 4,507 5,539 (2,028) 36% (55)% 23% 21 FICA 8,816 4,273 4,457 4,041 4,352 79 49% (9)% 8% 22 Pension-LEOFF 6,281 2,901 3,097 2,809 3,211 310 51% (9)% 14% 24 Industrial Insurance 3,719 1,766 1,234 1,097 1,118 (649) 30% (11)% 2% 25 Medical & Dental 21,643 10,752 9,302 9,127 9,742 (1,011) 45% (2)% 7% Total Salaries & Benefits 158,152 76,792 77,555 71,027 76,466 (327) 48`)/0(8)% 8%, 31 Supplies 44,500 40,519 36,618 41,619 35,550 (4,968) 80% 14% (15)% 41 Professional Services 9,000 - - - - - - - - 43 Travel 26,380 16,967 14,373 21,769 20,546 3,579 78% 51% (6)% 45 Rentals and Leases 1,800 899 1,150 739 548 (352) 30% (36)% (26)% 48 Repairs and Maintenance 2,500 - 306 - - - - - - 49 Miscellaneous 48,941 23,639 25,210 27,939 28,407 4,768 58% 11% 2% Total Operating Expenses 133,121 82,024 77,656 93,291 85,051 3,027 64% 20% (9)% Total Expenses 291,273 158,816 155,211 164,318 161,516 2,700 55% 6% (2)% Percent of year completed POLICE FACILITIES 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 45 Rentals and Leases 47 Public Utilities 110,000 - 53,494 - - 53,542 - 651 59,098 1,281 5,604 1,281 54% - - 10% - 97% Total Operating Expenses 110,000 53,494 - 55,300 60,379 6,885 55% - 9% Total Expenses 110,000 53,494 - 55,300 60,379 6,885 55% - 9% Percent of year completed 50.00% 107 POLICE TRAFFIC YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 384,392 206,284 230,625 186,125 149,004 (57,281) 39% (19)% (20)% 13 Overtime 47,336 23,167 24,747 13,001 10,446 (12,721) 22% (47)% (20)% 21 FICA 32,754 17,504 19,401 15,091 12,731 (4,773) 39% (22)% (16)% 22 Pension-LEOFF 19,407 9,232 11,510 8,583 9,160 (71) 47% (25)% 7% 23 Pension-PERS/PSERS 8,015 8,015 3,924 3,921 - (8,015) - (0)% - 24 Industrial Insurance 14,104 7,624 6,488 4,489 3,492 (4,132) 25% (31)% (22)% 25 Medical & Dental 76,401 41,187 36,437 34,763 29,639 (11,547) 39% (5)% (15)% Total Salaries & Benefits 582,409 313,012 333,131 265,972 214,472 (98,540) 37% (20)% (19)% 31 Supplies 4,600 4,600 6,693 1,568 10,345 5,745 225% (77)% 560% 42 Communication - - 35 - - - - - - 45 Rentals and Leases 9,522 2,608 13,770 4,575 4,761 2,153 50% (67)% 4% 48 Repairs and Maintenance 10,000 9,844 1,296 1,274 3,155 (6,689) 32% (2)% 148% 49 Miscellaneous 500 28 24 - 28 - 6% - - Total Operating Expenses 24,622 17,081 21,818 7,417 18,289 1,208 74% (66)% 147% Total Expenses 607,031 330,093 354,949 273,389 232,761 (97,332) 38% (23)% (15)% Percent of year completed 50.00% 108 POLICE PRISONER CARE & CUSTODY YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 41 Monitoring of Prisoners 51 Score Jail 25,000 1,633,405 9,511 816,703 20,866 655,368 5,576 733,482 5,171 789,753 (4,340) (26,950) 21% 48% (73)% 12% (7)% 8% Total Operating Expenses 1,658,405 826,214 676,234 739,058 794,924 (31,290) 48% 9% 8% Percent of year completed POLICE ANIMAL SERVICES 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 2018 ANNUAL ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED % BDGT EXPENDED 2016/2017 2017/2018 51 King County Animal Control 118,852 63,288 - 59,582 - (63,288) - - - Total Operating Expenses 118,852 63,288 59,582 (63,288) - - - Percent of year completed POLICE COMMUNICATION, DISPATCH 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 51 Valley Communications 1,168,917 584,459 507,503 548,465 565,567 (18,892) 48% 8% 3% Total Operating Expenses 1,168,917 584,459 507,503 548,465 565,567 (18,892) 48% 8% 3% Percent of year completed 50.00% 109 FIRE YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 7,209,250 3,460,514 3,467,487 3,583,376 3,541,425 80,911 49% 3% (1)% 12 Extra Labor - - 8,416 1,852 2,071 2,071 - (78)% 12% 13 Overtime 650,648 357,798 222,969 288,604 264,970 (92,828) 41% 29% (8)% 15 Holiday Pay 324,520 7,882 1,465 - 7,882 - 2% - - 21 FICA 130,361 61,702 59,020 65,717 66,400 4,698 51 % 11% 1% 22 Pension-LEOFF2 395,669 174,868 180,824 188,369 190,951 16,082 48% 4% 1% 23 Pension-PERS/PSERS 45,514 21,459 20,806 21,025 25,090 3,631 55% 1% 19% 24 Industrial Insurance 404,145 192,815 132,064 135,153 134,756 (58,059) 33% 2% (0)% 25 Medical & Dental 1,598,500 802,793 810,478 754,635 714,805 (87,988) 45% (7)% (5)% Total Salaries & Benefits 10,758,607 5,079,830 4,903,529 5,038,731 4,948,350 (131,480) 46% 3% (2)% 31 Supplies 234,477 189,562 122,307 134,808 86,896 (102,666) 37% 10% (36)% 35 Small Tools 37,268 12,000 - 4,228 3,307 (8,693) 9% - (22)% 41 Professional Services 81,000 37,972 26,287 10,414 31,269 (6,703) 39% (60)% 200% 42 Communication 32,170 17,028 19,395 22,241 17,684 655 55% 15% (20)% 43 Travel 7,000 4,187 4,415 9,938 6,764 2,577 97% 125% (32)% 45 Rentals and Leases 602,262 372,616 267,784 294,999 301,279 (71,337) 50% 10% 2% 46 Insurance 190,615 190,615 90,000 173,286 191,453 838 100% 93% 10% 47 Public Utilities 73,360 37,422 34,658 42,898 46,288 8,867 63% 24% 8% 48 Repairs and Maintenance 41,921 23,859 32,164 31,091 18,579 (5,280) 44% (3)% (40)% 49 Miscellaneous 157,874 111,346 41,275 86,595 93,798 (17,548) 59% 110% 8% 51 Inter -Governmental 216,045 108,023 95,495 100,010 105,035 (2,987) 49% 5% 5% 64 Machinery & Equipment - - - 7,934 - - - - - Total Operating Expenses 1,673,992 1,104,630 733,779 918,440 902,352 (202,277) 54% 25% (2)% Total Expenses 12,432,599 6,184,460 5,637,308 5,957,171 5,850,702 (333,758) 47% 6% (2)% Percent of year completed FIRE DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY DIVISION 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 902,844 545,779 428,897 504,766 532,751 (13,028) 59% 18% 6% SUPPRESSION 9,425,081 4,540,977 4,285,947 4,407,559 4,263,148 (277,829) 45% 3% (3)% PREVENTION 853,880 412,726 393,125 417,293 438,695 25,969 51% 6% 5% TRAINING 466,687 286,224 189,421 262,337 239,205 (47,019) 51% 38% (9)% EMERGENCY PREPAREDNESS 360,371 175,351 162,611 177,466 167,772 (7,579) 47% 9% (5)% FIRE FACILITIES 110,860 60,146 40,705 53,195 53,065 (7,081) 48% 31% (0)% HAZARDOUS MATERIALS UNIT 40,331 28,278 26,311 8,942 19,113 (9,166) 47% (66)% 114% RESCUE TEAM 13,250 79 - 157 3,164 3,085 24% - 1917% RESCUE AND EMERGENCY AID 43,250 26,877 14,797 25,447 28,754 1,877 66% 72% 13% COMMUNICATION - DISPATCH 216,045 108,023 95,495 100,010 105,035 (2,987) 49% 5% 5% Total Expenses 12,432,599 6,184,460 5,637,308 5,957,171 5,850,702 (333,758) 47% 6% (2)% Percent of year completed 50.00% 110 FIRE ADMINISTRATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 451,037 223,984 221,545 209,703 218,016 (5,968) 48% (5)% 4% 12 Extra Labor - - 4,473 - - - - - - 13 Overtime 464 9 - - 9 - 2% - - 21 FICA 14,345 7,280 7,253 11,042 11,503 4,223 80% 52% 4% 22 Pension-LEOFF 16,079 1,412 8,022 7,381 8,055 6,643 50% (8)% 9% 23 Pension-PERS/PSERS 16,275 7,620 7,438 7,358 8,485 865 52% (1)% 15% 24 Industrial Insurance 10,126 4,836 3,568 3,579 3,586 (1,251) 35% 0% 0% 25 Medical & Dental 83,043 42,023 34,910 40,177 39,239 (2,784) 47% 15% (2)% Total Salaries & Benefits 591,369 287,164 287,209 279,240 288,891 1,727 49% (3)% 3% 31 Supplies 10,877 4,653 3,887 3,708 5,901 1,248 54% (5)% 59% 41 Professional Services 25,000 13,777 2,137 - 13,777 - 55% - - 42 Communication 23,170 12,803 13,157 15,164 12,030 (773) 52% 15% (21)% 43 Travel 2,250 772 - 559 1,320 548 59% - 136% 45 Rentals and Leases 26,559 13,779 10,558 12,414 12,675 (1,105) 48% 18% 2% 46 Insurance 190,615 190,615 90,000 173,286 191,453 838 100% 93% 10% 48 Repairs and Maintenance 20,421 12,967 8,478 8,496 3,244 (9,723) 16% 0% (62)% 49 Miscellaneous 12,583 9,248 1,892 3,966 3,461 (5,788) 28% 110% (13)% Total Operating Expenses 311,475 258,614 141,688 225,526 243,860 (14,755) 78% 59% 8% Total Expenses 902,844 545,779 428,897 504,766 532,751 (13,028) 59% 18% 6% Percent of year completed FIRE SUPPRESSION 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) %CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 11 Salaries 5,726,863 2,716,244 2,748,755 2,824,876 2,822,390 106,146 49% 3% (0)% 13 Overtime 560,822 324,148 184,479 246,180 198,005 (126,143) 35% 33% (20)% 15 Holiday Pay 324,520 7,882 1,465 - 7,882 - 2% - - 21 FICA 88,818 41,082 38,333 40,212 39,494 (1,588) 44% 5% (2)% 22 Pension-LEOFF 335,646 153,347 151,965 159,964 159,859 6,512 48% 5% (0)% 24 Industrial Insurance 360,225 171,439 117,003 119,531 118,039 (53,400) 33% 2% (1)% 25 Medical & Dental 1,335,086 668,955 698,557 637,886 601,772 (67,183) 45% (9)% (6)% Total Salaries & Benefits 8,731,980 4,083,097 3,940,557 4,028,649 3,947,441 (135,656) 45% 2% (2)% 31 Supplies 129,100 129,100 80,831 90,953 39,537 (89,563) 31% 13% (57)% 35 Small Tools 12,000 12,000 - 4,228 3,307 (8,693) 28% - (22)% 41 Professional Services 26,500 11,248 4,661 7,269 3,817 (7,431) 14% 56% (47)% 45 Rentals and Leases 482,710 282,844 224,178 235,880 241,355 (41,489) 50% 5% 2% 48 Repairs and Maintenance 20,000 10,891 23,330 22,265 15,335 4,443 77% (5)% (31)% 49 Miscellaneous 22,791 11,797 12,380 18,305 12,349 552 54% 48% (33)% Total Operating Expenses 693,101 457,880 345,391 378,910 315,707 (142,173) 46% 10% (17)% Total Expenses 9,425,081 4,540,977 4,285,947 4,407,559 4,263,148 (277,829) 45% 3% (3)% Percent of year completed 50.00% 111 FIRE PREVENTION/INVESTIGATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) %CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 568,784 279,596 273,509 276,404 272,423 (7,173) 48% 1% (1)% 13 Overtime 61,143 22,550 23,693 33,146 54,679 32,129 89% 40% 65% 21 FICA 18,538 9,077 9,203 9,446 10,205 1,127 55% 3% 8% 22 Pension-LEOFF 23,795 10,346 10,554 10,811 12,649 2,304 53% 2% 17% 23 Pension-PERS/PSERS 18,751 8,956 8,857 9,002 11,216 2,259 60% 2% 25% 24 Industrial Insurance 18,765 9,043 5,855 6,558 7,295 (1,748) 39% 12% 11% 25 Medical & Dental 94,017 47,744 38,828 43,176 41,572 (6,172) 44% 11% (4)% Total Salaries & Benefits 803,793 387,313 370,499 388,545 410,039 22,726 51% 5% 6% 31 Supplies 12,000 5,144 7,211 4,289 7,734 2,589 64% (41)% 80% 41 Professional Services 5,000 - 329 - - - - - - 42 Communication - - 1,080 1,355 1,080 1,080 - 26% (20)% 43 Travel 1,500 1,415 721 2,132 970 (445) 65% 195% (54)% 45 Rentals and Leases 24,587 13,230 11,209 13,670 13,047 (184) 53% 22% (5)% 49 Miscellaneous 7,000 5,624 1,992 6,972 5,825 201 83% 250% (16)% Total Operating Expenses 50,087 25,413 22,626 28,748 28,656 3,242 57% 27% (0)% Total Expenses 853,880 412,726 393,125 417,293 438,695 25,969 51% 6% 5% Percent of year completed FIRE TRAINING 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) %CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 239,374 127,539 116,461 146,489 113,412 (14,127) 47% 26% (23)% 13 Overtime 18,813 9,703 4,123 8,530 11,158 1,455 59% 107% 31 21 FICA 1,849 856 837 1,680 1,793 937 97% 101% 7% 22 Pension-LEOFF 12,913 6,341 6,254 6,661 6,739 398 52% 7% 1% 24 Industrial Insurance 9,755 5,120 3,477 3,822 3,871 (1,249) 40% 10% 1% 25 Medical & Dental 46,829 24,413 20,122 15,175 13,920 (10,493) 30% (25)% (8)% Total Salaries & Benefits 329,533 173,972 151,273 182,356 150,893 (23,079) 46% 21% (17)% 31 Supplies 8,500 6,807 2,322 3,722 532 (6,275) 6% 60% (86)% 41 Professional Services 4,500 3,000 1,400 2,800 2,800 (200) 62% 100% 0% 42 Communication - - 480 560 240 240 - 17% (57)% 43 Travel 2,000 2,000 3,491 7,234 4,190 2,190 209% 107% (42)% 45 Rentals and Leases 17,154 16,609 5,938 8,409 8,577 (8,032) 50% 42% 2% 49 Miscellaneous 105,000 83,835 24,516 57,257 71,973 (11,862) 69% 134% 26% Total Operating Expenses 137,154 112,252 38,148 79,981 88,312 (23,940) 64% 110% 10% Total Expenses 466,687 286,224 189,421 262,337 239,205 (47,019) 51% 38% (9)% Percent of year completed 50.00% 112 FIRE YTD AS OF JUNE 30, 2018 EMERGENCY PREPAREDNESS BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 223,192 113,151 107,218 125,905 115,185 2,034 52% 17% (9)% 12 Extra Labor - - 3,943 1,852 2,071 2,071 - (53)% 12% 13 Overtime 9,406 1,388 10,674 748 1,119 (269) 12% (93)% 50% 21 FICA 6,811 3,406 3,394 3,335 3,405 (1) 50% (2)% 2% 22 Pension-LEOFF 7,236 3,422 4,030 3,552 3,649 227 50% (12)% 3% 23 Pension-PERS/PSERS 10,488 4,883 4,510 4,665 5,389 507 51% 3% 16% 24 Industrial Insurance 5,274 2,377 2,161 1,664 1,965 (412) 37% (23)% 18% 25 Medical & Dental 39,525 19,658 18,061 18,221 18,302 (1,356) 46% 1% 0% Total Salaries & Benefits 301,932 148,285 153,991 159,941 151,085 2,801 50% 4% (6)% 31 Supplies 12,000 9,054 11,900 5,179 3,644 (5,410) 30% (56)% (30)% 35 Small Tools 24,268 - - - - - - - - 42 Communication - - 3,562 4,053 3,328 3,328 - 14% (18)% 45 Rentals and Leases 17,171 17,171 3,767 8,184 8,586 (8,585) 50% 117% 5% 49 Miscellaneous 5,000 841 495 96 190 (651) 4% (81)% 98% Total Operating Expenses 58,439 27,067 8,620 17,525 16,687 (10,380) 29% 103% (5)% Total Expenses 360,371 175,351 162,611 177,466 167,772 (7,579) 47% 9% (5)% Percent of year completed FIRE FACILITIES 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 42 Communication 47 Public Utilities 28,500 9,000 73,360 18,498 4,226 37,422 4,942 1,105 34,658 9,199 1,098 42,898 5,779 998 46,288 (12,719) (3,228) 8,867 20% 11% 63% 86% (1)% 24% (37)% (9)% 8% Total Operating Expenses 110,860 60,146 40,705 53,195 53,065 (7,081) 48% 31% (0)% Total Expenses 110,860 60,146 40,705 53,195 53,065 (7,081) 48% 31% (0)% Percent of year completed 50.00% 113 FIRE HAZARDOUS MATERIALS UNIT YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVEFNUNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 41 Professional Services 45 Rentals and Leases 2,000 20,000 18,331 - 9,947 18,331 - 17,760 8,550 - - 8,942 - 9,947 9,165 - - (9,166) - 50% 50% - - 5% - - 3% Total Operating Expenses 40,331 28,278 26,311 8,942 19,113 (9,166) 47% (66)% 114% Total Expenses 40,331 28,278 26,311 8,942 19,113 (9,166) 47% (66)% 114% Percent of year completed FIRE RESCUE TEAM 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 201712018 31 Supplies 5,000 79 - 157 3,164 3,085 63% - 1917% 35 Small Tools 1,000 - - - - - - - - 43 Travel 1,250 - - - - - - - - 48 Repairs and Maintenance 500 - - - - - - - - 49 Miscellaneous 5,500 - - - - - - - - Total Operating Expenses 13,250 79 - 157 3,164 3,085 24% - 1917% Total Expenses 13,250 79 - 157 3,164 3,085 24% - 1917% Percent of year completed FIRE RESCUE AND EMERGENCY AID 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 201612017 201712018 31 Supplies 41 Professional Services 45 Rentals and Leases 48 Repairs and Maintenance 26,500 - 15,750 1,000 16,226 10,651 - 11,214 - 3,583 - 17,602 344 7,500 - 20,605 274 7,875 - 4,379 274 (2,776) - 78% - 50% - 57% - 109% - 17% (20)% 5% - Total Operating Expenses 43,250 26,877 14,797 25,447 28,754 1,877 66% 72% 13% Total Expenses 43,250 26,877 14,797 25,447 28,754 1,877 66% 72% 13% Percent of year completed 50.00% 114 FIRE COMMUNICATIONS, ALARMS AND DISPATCH YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED % EXPENDED 201612017 2017/2018 BOOT 51 Inter -Governmental 216,045 108,023 95,495 100,010 105,035 (2,987) 49% 5% 5% Total Operating Expenses 216,045 108,023 95,495 100,010 105,035 (2,987) 49% 5% 5% Total Expenses 216,045 108,023 95,495 100,010 105,035 (2,987) 49% 5% 5% Percent of year completed 50.00% 115 TECHNOLOGY & INNOVATION SERVICES YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 886,678 412,396 370,417 341,596 441,417 29,021 50% (8)% 29% 12 Extra Labor 2,500 - 1,057 - - - - - - 13 Overtime - - 12,513 41,004 2,071 2,071 - 228% (95)% 21 FICA 64,905 31,608 28,725 28,858 33,520 1,912 52% 0% 16% 22 Pension-LEOFF 2 - - 3,488 - - - - - - 23 Pension-PERS/PSERS 106,354 47,600 29,141 42,775 56,744 9,144 53% 47% 33% 24 Industrial Insurance 3,505 1,570 1,906 1,063 1,229 (341) 35% (44)% 16% 25 Medical & Dental 210,338 101,605 70,010 69,829 88,908 (12,697) 42% (0)% 27% Total Salaries & Benefits 1,274,280 594,778 517,257 525,124 623,888 29,111 49% 2% 19% 31 Supplies 16,266 16,266 2,435 22,048 1,274 (14,992) 8% 806% (94)% 35 Small Tools - - 8,035 17,895 18,996 18,996 - 123% 6% 41 Professional Services 314,686 32,705 3,434 44,684 165,691 132,985 53% 1201% 271% 42 Communication 120,900 44,737 48,009 41,540 64,339 19,602 53% (13)% 55% 43 Travel 11,500 8,654 - 6,151 - (8,654) - - - 45 Rentals and Leases 153,839 3,424 3,239 3,327 140,790 137,366 92% 3% 4132% 48 Repairs and Maintenance 2,000 532 2,747 8,996 534 2 27% 227% (94)% 49 Miscellaneous 147,200 147,200 9,335 37,865 19,043 (128,157) 13% 306% (50)% 64 Machinery & Equipment - - - 6,000 46,590 46,590 - - 676% Total Operating Expenses 766,391 253,518 77,233 188,505 457,257 203,739 60% 144% 143% Total Expenses 2,040,671 848,296 594,490 713,629 1,081,145 232,849 53% 20% 51% Percent of year completed 50.00 % 116 PUBLIC WORKS YTD AS OF JUNE 30, 2018 CITY OF TUKWILA GENERAL FUND EXPENDITURES SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 1,950,915 973,109 942,309 866,537 881,750 (91,359) 45% (8)% 2% 13 Overtime 10,000 4,167 7,806 10,438 11,290 7,123 113% 34% 8% 21 FICA 144,330 73,807 71,550 66,001 67,950 (5,856) 47% (8)% 3% 23 Pension-PERS/PSERS 234,231 112,549 105,604 97,447 109,303 (3,247) 47% (8)% 12% 24 Industrial Insurance 40,491 20,057 13,223 11,798 11,182 (8,875) 28% (11)% (5)% 25 Medical & Dental 407,548 206,878 171,010 174,700 172,257 (34,622) 42% 2% (1)% 28 Uniform/Clothing 3,200 841 586 180 777 (63) 24% (69)% 332% Total Salaries & Benefits 2,790,715 1,391,408 1,322,636 1,227,102 1,254,510 (136,898) 45% (7)% 2% 31 Supplies 110,950 56,738 50,078 47,254 42,056 (14,682) 38% (6)% (11)% 35 Small Tools 4,250 2,770 369 602 1,686 (1,084) 40% 63% 180% 41 Professional Services 30,900 5,836 8,036 8,330 8,098 2,262 26% 4% (3)% 42 Communication 9,150 4,134 2,454 4,525 1,710 (2,423) 19% 84% (62)% 43 Travel 2,000 1,430 308 475 93 (1,337) 5% 54% (80)% 45 Rentals and Leases 163,842 85,243 76,317 76,803 75,742 (9,500) 46% 1% (1)% 46 Insurance 106,805 106,805 106,805 107,271 107,581 776 101% 0% 0% 47 Public Utilities 375,000 184,238 158,361 191,306 198,913 14,675 53% 21% 4% 48 Repairs and Maintenance 252,400 81,323 88,667 94,814 92,985 11,663 37% 7% (2)% 49 Miscellaneous 30,035 22,841 6,607 10,518 14,545 (8,295) 48% 59% 38% Total Operating Expenses 1,085,332 551,357 498,465 548,789 543,410 (7,947) 50% 10% (1)% Total Expenses 3,876,047 1,942,765 1,821,101 1,775,891 1,797,920 (144,845) 46% (2)% 1% Percent of year expired PUBLIC WORKS DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY DIVISION 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 462,586 243,975 291,681 215,968 204,539 (39,436) 44% (26)% (5)% MAINTENANCE ADMINISTRATION 405,203 199,405 187,587 190,066 170,247 (29,159) 42% 1% (10)% PUBLIC WORKS DEVELOPMENT 501,197 247,154 233,015 245,496 244,499 (2,655) 49% 5% (0)% ENGINEERING PLANS AND SERVICE: 660,377 332,654 247,479 209,461 236,516 (96,138) 36% (15)% 13% FACILITY MAINTENANCE 1,846,684 919,577 861,339 908,009 940,982 21,405 51% 5% 4% Total Expenses 3,876,047 1,942,765 1,821,101 1,769,001 1,796,782 (145,983) 46% (3)% 2% Percent of year expired 50.00% 117 PUBLIC WORKS ADMINISTRATION YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 323,119 164,973 215,473 155,767 144,794 (20,179) 45% (28)% (7)% 21 FICA 21,950 12,111 16,030 11,593 10,853 (1,259) 49% (28)% (6)% 23 Pension-PERS/PSERS 38,790 20,941 23,842 17,249 18,389 (2,552) 47% (28)% 7% 24 Industrial Insurance 1,169 602 531 364 385 (217) 33% (31)% 6% 25 Medical & Dental 41,015 22,093 24,899 22,712 23,589 1,496 58% (9)% 4% Total Salaries & Benefits 426,043 220,720 280,775 207,686 198,010 (22,710) 46% (26)% (5)% 31 Supplies 9,000 5,486 3,634 4,327 4,203 (1,283) 47% 19% (3)0/0 42 Communication 1,500 808 594 280 160 (648) 11% (53)% (43)% 43 Travel 200 200 2 8 71 (129) 35% 312% 761% 45 Rentals and Leases 3,443 1,373 1,447 1,454 852 (521) 25% 0% (41)% 48 Repairs and Maintenance 1,400 467 450 360 270 (197) 19% (20)% (25)% 49 Miscellaneous 21,000 14,921 55 1,853 973 (13,948) 5% 3269% (47)% Total Operating Expenses 36,543 23,255 10,906 8,282 6,529 (16,725) 18% (24)% (21)% Total Expenses 462,586 243,975 291,681 215,968 204,539 (39,436) 44% (26)% (5)% Percent of year expired PUBLIC WORKS MAINTENANCE ADMINISTRATION 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 264,410 132,724 127,667 129,292 112,019 (20,706) 42% 1% (13)% 21 FICA 18,790 9,516 9,454 9,624 8,526 (990) 45% 2% (11)% 23 Pension-PERS/PSERS 31,742 14,845 14,212 14,342 14,276 (568) 45% 1% (0)% 24 Industrial Insurance 1,168 559 424 371 428 (131) 37% (12)% 15% 25 Medical & Dental 68,599 34,288 29,381 31,694 29,043 (5,245) 42% 8% (8)% Total Salaries & Benefits 384,709 191,932 181,137 185,323 164,975 (26,957) 43% 2% (11)% 31 Supplies 4,250 1,349 488 241 611 (739) 14% (51)% 154% 35 Small Tools 750 - - - - - - - - 41 Professional Services 500 - - - - - - - - 42 Communication 750 403 389 406 350 (53) 47% 4% (14)% 43 Travel 300 208 213 412 - (208) - 94% - 45 Rentals and Leases 11,909 4,472 3,825 3,244 3,001 (1,471) 25% (15)% (7)% 49 Miscellaneous 2,035 1,041 1,535 440 1,310 269 64% (71)% 198% Total Operating Expenses 20,494 7,473 6,449 4,743 5,272 (2,202) 26% (26)% 11% Total Expenses 405,203 199,405 187,587 190,066 170,247 (29,159) 42% 1% (10)% Percent of year expired 50.00% 118 PUBLIC WORKS PUBLIC WORKS DEVELOPMENT YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 340,902 168,841 164,164 164,218 169,516 675 50% 0% 3% 13 Overtime 9,000 4,102 1,999 10,192 3,821 (282) 42% 410% (63)% 21 FICA 26,629 13,242 12,622 13,230 13,335 93 50% 5% 1% 23 Pension-PERS/PSERS 40,925 19,045 18,546 19,462 21,387 2,342 52% 5% 10% 24 Industrial Insurance 4,187 2,037 1,448 1,544 1,039 (998) 25% 7% (33)% 25 Medical & Dental 79,304 39,637 34,057 36,672 35,214 (4,423) 44% 8% (4)% 28 Uniform/Clothing 250 250 180 180 187 (63) 75% 0% 4% Total Salaries & Benefits 501,197 247,154 233,015 245,496 244,499 (2,655) 49% 5% (0)% Total Expenses 501,197 247,154 233,015 245,496 244,499 (2,655) 49% 5% (0)% Percent of year expired PUBLIC WORKS ENGINEERING PLANS AND SERVICES 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 427,967 214,403 171,015 132,845 150,415 (63,988) 35% (22)% 13% 21 FICA 31,442 16,348 12,904 9,969 11,139 (5,209) 35% (23)% 12% 23 Pension-PERS/PSERS 51,378 24,318 18,962 14,694 15,291 (9,027) 30% (23)% 4% 24 Industrial Insurance 6,822 3,591 1,235 1,018 1,217 (2,373) 18% (18)% 20% 25 Medical & Dental 79,370 40,665 25,556 20,125 20,008 (20,657) 25% (21)% (1)% 28 Uniform/Clothing 950 - - - - - - - - Total Salaries & Benefits 597,929 299,323 229,672 178,651 203,933 (95,390) 34% (22)% 14% 31 Supplies 7,000 2,797 1,658 2,897 3,360 563 48% 75% 16% 35 Small Tools 1,000 858 - - 858 - 86% - - 41 Professional Services 28,400 5,572 3,220 8,211 7,625 2,053 27% 155% (7)% 42 Communication 2,300 1,236 998 688 415 (821) 18% (31)% (40)% 43 Travel 1,500 1,023 94 55 22 (1,001) 1% (41)% (60)% 45 Rentals and Leases 15,248 14,981 6,408 7,491 7,624 (7,357) 50% 17% 2% 48 Repairs and Maintenance 1,000 863 512 4,275 454 (408) 45% 734% (89)% 49 Miscellaneous 6,000 6,000 4,454 7,193 12,224 6,224 204% 61% 70% Total Operating Expenses 62,448 33,330 17,807 30,811 32,583 (748) 52% 73% 6% Total Expenses 660,377 332,654 247,479 209,461 236,516 (96,138) 36% (15)% 13% Percent of year expired 50.00% 119 PUBLIC WORKS FACILITY MAINTENANCE YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT EXPENDED 2016/2017 2017/2018 11 Salaries 594,517 292,168 263,990 284,415 305,007 12,839 51% 8% 7% 13 Overtime 1,000 65 5,807 247 922 857 92% (96)% 274% 21 FICA 45,519 22,589 20,540 21,585 24,098 1,509 53% 5% 12% 23 Pension-PERS/PSERS 71,396 33,401 30,043 31,702 39,959 6,558 56% 6% 26% 24 Industrial Insurance 27,145 13,268 9,586 8,501 8,112 (5,156) 30% (11)% (5)% 25 Medical & Dental 139,260 70,195 57,117 63,497 64,403 (5,792) 46% 11% 1% 28 Uniform/Clothing 2,000 591 406 - 591 - 30% - - Total Salaries & Benefits 880,837 432,278 398,036 409,946 443,093 10,815 50% 3% 8% 31 Supplies 90,700 47,105 44,297 39,789 33,882 (13,223) 37% (10)% (15)% 35 Small Tools 2,500 1,912 369 602 828 (1,084) 33% 63% 38% 41 Professional Services 2,000 264 93 119 473 210 24% 28% 297% 42 Communication 4,600 1,687 473 3,151 785 (902) 17% 567% (75)% 45 Rentals and Leases 133,242 64,416 64,637 64,615 64,266 (150) 48% (0)% (1)% 46 Insurance 106,805 106,805 106,805 107,271 107,581 776 101% 0% 0% 47 Public Utilities 375,000 184,238 158,361 191,306 198,913 14,675 53% 21% 4% 48 Repairs and Maintenance 250,000 79,993 87,705 90,179 91,123 11,130 36% 3% 1% 49 Miscellaneous 1,000 879 563 1,031 39 (840) 4% 83% (96)% Total Operating Expenses 965,847 487,299 463,302 498,063 497,889 10,590 52% 8% (0)% Total Expenses 1,846,684 919,577 861,339 908,009 940,982 21,405 51% 5% 4% Percent of year expired 50.00% 120 STREET MAINTENANCE & OPERATIONE CITY OF TUKWILA GENERAL FUND EXPENDITURES YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 2018 ACTUAL OVER/(UNDER) % CHANGE ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 11 Salaries 817,259 406,902 409,972 384,666 398,494 (8,408) 49% (6)% 4% 12 Extra Labor 45,000 15,571 16,508 19,215 7,275 (8,296) 16% 16% (62)% 13 Overtime 11,000 6,219 3,408 9,299 3,692 (2,528) 34% 173% (60)% 21 FICA 66,399 32,841 32,659 32,034 32,889 48 50% (2)% 3% 23 Pension-PERS/PSERS 98,131 45,441 46,281 46,141 53,069 7,629 54% (0)% 15% 24 Industrial Insurance 34,669 16,582 11,563 12,463 10,562 (6,021) 30% 8% (15)% 25 Medical & Dental 214,664 108,026 83,435 106,713 106,061 (1,964) 49% 28% (1)% 28 Uniform/Clothing 2,375 562 715 444 562 (0) 24% (38)% 27% Total Salaries & Benefits 1,289,497 632,145 604,798 610,974 615,878 (16,267) 48% 1% 1%, 31 Supplies 297,300 107,684 79,695 90,758 , 83,564 (24,120) 28% 14% (8)% 35 Small Tools 13,200 3,899 16,466 6,441 4,224 324 32% (61)% (34)% 41 Professional Services 4,000 964 1,116 2,782 1,529 565 38% 149% (45)% 42 Communication 4,300 1,890 720 840 1,804 (85) 42% 17% 115% 43 Travel 2,700 201 175 187 890 689 33% 7% 376% 44 Advertising 1,500 - - - - - - - - 45 Rentals and Leases 302,895 162,295 197,514 147,308 149,858 (12,437) 49% (25)% 2% 46 Insurance 27,231 27,231 35,455 24,755 27,351 120 100% (30)% 10% 47 Public Utilities 1,174,720 566,913 542,913 568,839 609,937 43,024 52% 5% 7% 48 Repairs and Maintenance 27,100 1,627 10,715 3,808 8,593 6,966 32% (64)% 126% 49 Miscellaneous 5,200 1,786 1,192 2,681 1,379 (407) 27% 125% (49)% 53 Ext Taxes, Oper Assess - - 6 6 - - - (1)% Total Operating Expenses 1,860,146 874,489 885,966 848,406 889,128 14,639 48% (4)% 5% Total Expenses 3,149,643 1,506,633 _ 1,490,764 1,459,379 1,505,005 (1,628) 48% (2)% 3% Percent of year expired STREET MAINTENANCE & OPERATIONE DIVISION SUMMARY 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY DIVISION BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) %CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 ADMINISTRATION 1,290,497 632,200 605,188 611,416 616,374 (15,825) 48% 1% 1% GENERAL SERVICES 347,526 195,340 237,144 176,693 183,254 (12,086) 53% (25)% 4% ROADWAY 833,420 400,058 393,151 387,615 411,489 11,431 49% (1)% 6% STRUCTURES 2,500 1,317 1,181 3,808 2,546 1,229 102% 223% (33)% LIGHTING 296,100 149,757 142,096 164,460 169,681 19,924 57% 16% 3% TRAFFIC CONTROL 271,500 98,725 82,425 77,476 78,224 (20,500) 29% (6)% 1% SNOW & ICE CONTROL 10,300 10,000 871 14,155 14,385 4,385 140% 1525% 2% STREET CLEANING 62,000 17,610 16,469 21,862 28,053 10,443 45% 33% 28% VIDEO & FIBER 33,500 - 3,462 - - - - - - SIDEWALKS 2,300 1,626 8,777 1,893 998 (628) 43% (78)% (47)% Total Expenses 3,149,643 1,506,633 1,490,764 1,459,379 1,505,005 (1,628) 48% (2)% 3% Percent of year expired 50.00% 121 STREET MAINTENANCE & OPERATIONS ADMINISTRATION YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 11 Salaries 817,259 406,902 409,972 384,666 398,494 (8,408) 49% (6)% 4% 12 Extra Labor 45,000 15,571 16,508 19,215 7,275 (8,296) 16% 16% (62)% 13 Overtime 11,000 6,219 3,408 9,299 3,692 (2,528) 34% 173% (60)% 21 FICA 66,399 32,841 32,659 32,034 32,889 48 50% (2)% 3% 23 Pension-PERS/PSERS 98,131 45,441 46,281 46,141 53,069 7,629 54% (0)% 15% 24 Industrial Insurance 34,669 16,582 11,563 12,463 10,562 (6,021) 30% 8% (15)% 25 Medical & Dental 214,664 108,026 83,435 106,713 106,061 (1,964) 49% 28% (1)% 28 Uniform/Clothing 2,375 562 715 444 562 (0) 24% (38)% 27% Total Salaries & Benefits 1,289,497 632,145 604,798 610,974 615,878 (16,267) 48% 1% 1% 31 Supplies 1,000 55 - - 55 5% - Total Operating Expenses 1,000 55 390 442 497 442 50% 13% 12% Total Expenses 1,290,497 632,200 605,188 611,416 616,374 (15,825) 48% 1% 1% Percent of year expired STREET MAINTENANCE & OPERATIONS GENERAL SERVICES 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 31 Supplies 5,000 2,600 2,754 1,671 2,478 (122) 50% (39)% 48% 35 Small Tools 3,000 154 - - 154 - 5% - - 41 Professional Services 1,100 348 555 198 406 58 37% (64)% 105% 42 Communication 2,500 920 - - 920 - 37% - - 43 Travel 2,000 129 175 187 818 689 41% 7% 337% 44 Advertising 1,500 - - - - - - - - 45 Rentals and Leases 299,495 162,172 197,014 147,201 149,748 (12,424) 50% (25)% 2% 46 Insurance 27,231 27,231 35,455 24,755 27,351 120 100% (30)% 10% 48 Repairs and Maintenance 500 - - - - - - - - 49 Miscellaneous 5,200 1,786 1,192 2,681 1,379 (407) 27% 125% (49)% Total Operating Expenses 347,526 195,340 237,144 176,693 183,254 (12,086) 53% (25)% 4% Total Expenses 347,526 195,340 237,144 176,693 183,254 (12,086) 53% (25)% 4% Percent of year expired 50.00% 122 STREET MAINTENANCE & OPERATIONS ROADWAY YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 31 Supplies 39,000 5,849 14,902 5,191 12,113 6,265 31% (65)% 133% 35 Small Tools 4,000 45 11,515 28 1,167 1,122 29% (100)% 4003% 41 Professional Services 100 - - - - - - - - 43 Travel 100 - - - - - - - - 45 Rentals and Leases 3,400 123 500 107 - (123) - (79)% - 47 Public Utilities 786,720 393,942 366,234 382,288 390,826 (3,116) 50% 4% 2% 48 Repairs and Maintenance 100 100 - - 7,383 7,283 7383% - - Total Operating Expenses 833,420 400,058 393,151 387,615 411,489 11,431 49% (1)% 6% Total Expenses 833,420 400,058 393,151 387,615 411,489 11,431 49% (1)% 6% Percent of year expired STREET MAINTENANCE & OPERATIONS STRUCTURES 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 31 Supplies 48 Repairs and Maintenance 1,000 1,500 1,000 317 1,181 - - 3,808 2,546 - 1,546 (317) 255% - - - - - Total Operating Expenses 2,500 1,317 1,181 3,808 2,546 1,229 102% 223% (33)% Total Expenses 2,500 1,317 1,181 3,808 2,546 1,229 102% 223% (33)% Percent of year expired STREET MAINTENANCE & OPERATIONS LIGHTING 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 25,000 18,707 1,402 18,156 4,928 (13,779) 20% 1195% (73)% 35 Small Tools 500 - - - - - - - 41 Professional Services 500 147 171 186 303 156 61% 9% 63% 43 Travel 100 - - - - - - - - 47 Public Utilities 270,000 130,902 140,523 146,118 164,449 33,547 61% 4% 13% Total Operating Expenses 296,100 149,757 142,096 164,460 169,681 19,924 57% 16% 3% Total Expenses 296,100 149,757 142,096 164,460 169,681 19,924 57% 16% 3% Percent of year expired 50.00% 123 STREET MAINTENANCE & OPERATIONS TRAFFIC CONTROL YTD AS OF JUNE 30, 2018 SUMMARY BUDGET ACTUAL COMPARISON OF RESULTS BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 31 Supplies 166,000 54,522 48,487 33,448 30,910 (23,612) 19% (31)% (8)% 35 Small Tools 2,500 2,500 1,361 4,704 1,564 (936) 63% 246% (67)% 41 Professional Services 100 100 - 1,281 377 277 377% - (71)% 42 Communication 1,800 969 720 840 884 (85) 49% 17% 5% 43 Travel 100 - - - - - - - - 47 Public Utilities 81,000 39,424 31,857 37,203 43,279 3,855 53% 17% 16% 48 Repairs and Maintenance 20,000 1,210 - - 1,210 - 6% - - Total Operating Expenses 271,500 98,725 82,425 77,476 78,224 (20,500) 29% (6)% 1% Total Expenses 271,500 98,725 82,425 77,476 78,224 (20,500) 29% (6)% 1% Percent of year expired STREET MAINTENANCE & OPERATIONS SNOW & ICE CONTROL 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 43 Travel 10,000 300 10,000 - 871 - 14,155 - 14,385 - 4,385 - 144% - 1525% - 2% - Total Operating Expenses 10,300 10,000 871 14,155 14,385 4,385 140% 1525% 2% Total Expenses 10,300 10,000 871 14,155 14,385 4,385 140% 1525% 2% Percent of year expired STREET MAINTENANCE & OPERATIONS STREET CLEANING 50.00% YTD AS OF JUNE 30, 2018 SUMMARY BY EXPENDITURE TYPE BUDGET ACTUAL COMPARISON OF RESULTS 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BDGT % EXPENDED 2016/2017 2017/2018 31 Supplies 18,000 13,326 10,020 16,242 15,260 1,934 85% 62% (6)% 35 Small Tools 1,200 1,200 207 1,709 1,339 139 112% 727% (22)% 41 Professional Services 2,200 368 - 675 - (368) - - - 43 Travel 100 72 - - 72 - 72% - - 47 Public Utilities 37,000 2,645 4,299 3,231 11,383 8,738 31% (25)% 252% 48 Repairs and Maintenance 3,500 - 1,937 - - - - - - 53 Ext Taxes, Assessments - - 6 6 - - - (1)% - Total Operating Expenses 62,000 17,610 16,469 21,862 28,053 10,443 45% 33% 28% Total Expenses 62,000 17,610 16,469 21,862 28,053 10,443 45% 33% 28% Percent of year expired 50.00% 124 STREET MAINTENANCE & OPERATIONS VIDEO & FIBER YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 2018 ANNUAL ALLOCATED ACTUAL OVER/(UNDER) % CHANGE 2016 2017 2018 ALLOCATED % BDGT EXPENDED 2016/2017 2017/2018 31 Supplies 35 Small Tools 48 Repairs and Maintenance 30,000 2,000 - 1,500 - 79 - - 3,384 - - - - - - - - - - - - Total Operating Expenses 33,500 - 3,462 - - - - Total Expenses 33,500 - 3,462 - - - - Percent of year expired STREET MAINTENANCE & OPERATIONS SIDEWALKS 50.00% YTD AS OF JUNE 30, 2018 BUDGET ACTUAL COMPARISON OF RESULTS SUMMARY BY EXPENDITURE TYPE 2018 ANNUAL 2018 ALLOCATED 2016 2017 ACTUAL OVER/(UNDER) % CHANGE 2018 ALLOCATED BOOT % EXPENDED 2016/2017 2017/2018 31 Supplies 2,300 1,626 - 1,893 888 (738) 39% - (53)% Total Operating Expenses 2,300 1,626 8,777 1,893 998 (628) 43% (78)% (47)% Total Expenses 2,300 1,626 8,777 1,893 998 (628) 43% (78)% (47)% Percent of year expired 50.00% 125 126 City of Tukwila Allan Ekberg, Mayor INFORMATIONAL E ORANDUU TO: Finance Committee FROM: Laurel Humphrey, Council Analyst By: Jeff Friend, Fiscal Manager DATE August1E, 2018 SUBJECT: Proposed City Council Departmental Budget, 2Q19'2O2O Issue City departments are developing their proposals for the 2019-2020 biennial budget while also incorporating methods of Priority Based Budgeting (PBB). The 2019-2020 biennial budget will include general fund department budgets allocated toprograms, programs scored, and programs tiered bysupport tnofthe [ity'sstrategic goals. The City Council requested that individual departmental budgets be presented to its standing committees as they become Background The City is committed to developing and passing a fiscally -sound, balanced budget. Two challenges the City isencountering are l)sales tax revenue growth of3%projected for 2018 has not been realized to date, and 2) sales tax mitigation payments will end in late 2019. As a result, the City is seeking a balanced budget with expenditure reductions and possible new revenue opportunities. The City Council departmental budget covers compensation and benefits for the seven Councilmembers and the staff person dedicated to providing legislative and administrative support tothe Council. |talso includes supplies, travel, technology, registrations, and professional services. Discussion The proposed budget for the City Council increases .27% for 2019 and 1.51% for 2020. The following will summarize the proposed changes to the City Council: Changes from 2017-2018 Budget * Supplies and services decreased bvI9.9%and 7/45%, respectively. • Salaries and benefits were adjusted according to contractual obligations. 1��7 /u-/ INFORMATIONAL MEMO Page 2 Priority Based Budgeting Three programs were identified during the PBB process. To allocate Full Time Employees (FTEs) between the three programs, staff polled Councilmembers in February 2018 on the percentage of the three categories, then averaged the responses. The results were • Community Engagement and Events — 20% • Governmental Affairs and Appointments — 25% • Legislative Oversight — 55% Recommendation Staff is seeking Committee feedback on the proposed department budget and direction to forward it for discussion at the August 27, 2018 Committee of the Whole. Other steps in the overall budget review process will include Council -led work sessions, the Mayor's formal budget delivery on October 1, community outreach, and a public hearing. ATTACHMENTS Draft 2019-2020 City Council Budget 128 WABudget12019-2020 BUDGETIBudget Memos101CNCL - Memo.docx City Council Tukwila Residents City Council (7) Council Analyst (1) 129 130 DEPARTMENT: City Council (01) FUND: General RESPONSIBLE MANAGER: Council President Description FUND NUMBER: 000 The City Council is the legislative branch of the City government and is responsible for establishing policy through the passage of legislation, adoption of the biennial budget, approval of comprehensive plans and capital improvement programs, and other responsibilities as set forth by state law. Councilmembers also represent the City in regional intergovernmental affairs as well as through communications with state and federal legislators. Tukwila has a seven -member City Council, each elected at -large and serving a four- year term. 2017-2018 Accomplishments • Hired a Program Management Quality Assurance (PMQA) consultant and convened a Bond Financial Oversight Committee to provide independent reporting and advice on accomplishing the goals of the Public Safety Plan. • Adopted a citywide Equity Policy • Adopted a Disadvantaged Business Enterprise and a Local Hiring Policy for the Public Safety Plan construction projects. • Participated on over 25 external and regional boards, committees and commissions per year. 2019-2020 Outcome Goals • Set policies and support programs that are in alignment with the City's mission, vision and strategic goals. Strategic Goal 4. • Optimize the committee process to monitor and discuss the implementation of strategic goals, budget priorities, and work plan items. Strategic Goal 4. • Foster robust civic engagement via participation at community gatherings and City outreach events. Strategic Goal 5. • Maximize opportunities to engage diverse cultures within Tukwila. Strategic Goal 5. • Work cooperatively with partners to address shared issues and concerns. Strategic Goals I & 2. • Continue to review, improve and document Council processes and methods. Strategic Goal 4. 2019-2020 Indicators of Success • City legislation, policies, and budget are adopted as appropriate and reflective of strategic goals. • All Councilmembers regularly participate in community and City sponsored events. • Robust participation on external and regional boards, committees and commissions. • Council meetings are efficient, effective, and reflect responsiveness to the community. 131 Budget Change Discussion Salaries & Benefits COLA and step increases were applied to salaries, and benefits were adjusted to account for changes in healthcare and retirement. Supplies & Services Budget amounts were reduced to more closely reflect actual levels of expenditure. Department Detail Staffing and Expenditure by Program PROGRAMS FIE BUDGET PERCENT CHANGE 0 2019 2020 - 2019-20 Community Engagement and Events 1.6 65,562 66,614 1.6'Yo GoverrImental Affairs and Appointments 1,95 90,810 91,933 1.2% Legislative Owrsight 4.45 273,939 277,022 11- PROGRAM TOTALS 8.00 430,311 435,569 1.2% *Priority Based Budgeting was implemented beginning with the 2019 - 2020 biennium budget. Therefore; no historical data is available, Program Descriptions • Community Engagement and Events: Constituent relations, participation in local groups, and facilitation of special events. • Governmental Affairs and Appointments: Liaise with other government entities. Includes travel and registrations to regional, state, and national boards. • Legislative Oversight: Study information and attend meetings to provide policy direction and budget authority for City services including training. 132 Expenditure Summar Expenditures By Type Salaries & Wages Personnel Benefits Supplies SeNices City Council Actual 2016 2017 2018* $ 193,841 81,903 3,925 47,764 199,439 $ 205,968 88,305 90,171 1,899 3,802 66,733 118,273 2018 Budget 2019 2020 $201,663 $ 210,144 $212,760 91,386 94,847 98,765 4,370 3,500 3,500 132,900 123,000 123,000 Percent Change 2018-19 2019-20 4,21% 3.79°/0 -19.91% -7,45% 1.24°/0 4.13% 0,00% 0.00% Department Total *Projected $ 327,433 $ 356,375 $ 418,213 Expenditure Detail - Salaries and Benefits $ 430,319 $ 431,491 $ 438,025 0.27% 1.51% Salaries are based on actual costs for existing positions and include a cost of living adjustment. city council Position Description 2018 FTE 2019 FTE 2019 Budgeted Salaries Benefits 2020 FTE 2020 Budgeted Salaries Benefits Councilmembers Council Analyst Department Total 7 8 7 1 8 $ 105,000 $ 50,719 105,144 44,128 $ 210,144 94,847 7 1 8 $ 105,000 $ 52,974 107,760 45,791 $ 212,760 98,76 Expenditure Detail - Supplies, Services and Other Supplies include office and other miscellaneous supplies. Professional services include retrea travel expenses, memberships and dues among other items. City Council cilitator fees, Account Number 2016 Actual 2017 2018* 2018 Budget 2019 2020 000,01.511,600,31,00 Supplies - Office $ 3,180 927 $ 2,882 ,370 $ 2,000 $ 2,000 000 01.511,600,31.43 Supplies - Meeting meals 745 972 420 500 1 000 , 1,000 000,01.511.600.31.44 Supplies - Training materials - - 500 500 500 500 Total Supplies 3,925 1,899 3,802 4,370 3,500 3,500 000.01.511,600.41.00 Prof Svcs - Facilitator fees 1,865 24,000 76,500 76,500 76,500 76,500 000.01,511,600,42.00 Communication - Technology costs 4,514 4,194 5,205 6,000 6,000 6,000 000,01.511.600.43.00 Trawl - Trawl expenses for tmg, mtgs, retreat: NLC. AWC, SCA, Chamber 30,988 28,326 25,128 40,000 30,000 30,000 000,01,511.600.49.44 Misc - Training registration 10,397 9,990 9,040 8,000 10,000 10,000 000,01.511.600.49.00 Misc - Memberships - 223 2,400 2,400 500 500 Total Services 47,764 66,733 118,273 132,900 123,000 123,000 Total Supplies, Services and Other $ 51,689 $ 68,632 22,075 1 7,270 $ 126,500 $ 126,500 *Projected 133 134