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Home My WebLink AboutReg 2014-11-17 Item 5B.1 - Ordinance - 2013-2014 Biennial Budget AmendmentCOUNCIL AGENDA SYNOPSIS Initia/s MeednADate Prepared by Mayo ' review Council review 11/10/14 PMC 11/10/14 E Motion Mtg Date 11/17/14 PMC 0 Bid Award Mtg Date 11 Public Hearing Ei Other 111 tg Date Alt Date Mtg Date 11/10/14 SPONSOR J Council II1 Mayor E FIR 0 DCD Finance Fire E IT E P R Po/ice Plr SPONSOR'S The City Council is being asked to approve an ordinance amending the 2013-2014 biennial SUMMARY budget for unanticipated costs or projected departmental deficits for fiscal year 2013. This item is scheduled for Council consideration at the 11/10/14 C.O.W. and 11/17/14 Regular Council meeting. Ri.xit.;wit BY COW Mtg. E] CA&P Cmte E Utilities Cmte E Arts Comm. DATE: 11/04/14 11 F&S Cmte E Transportation Cmte Comm. E Planning Comm. CHAIR: SEAL ITEM INFORMATION ITEM No. 5B.1 109 S1'AI1 SPONSOR: PEGGY MCCARTHY ORIGINAL AGENDA DA'IT:: 11/10/14 AG i.;NDA Imm TITLE An Ordinance amending the 2013-2014 biennial budget. CAmGoitY 11 Discussion 11/10/14 E Motion Mtg Date Ell Resolution MIA Date Z Ordinance Mtg Dale 11/17/14 0 Bid Award Mtg Date 11 Public Hearing Ei Other 111 tg Date Alt Date Mtg Date 11/10/14 SPONSOR J Council II1 Mayor E FIR 0 DCD Finance Fire E IT E P R Po/ice Plr SPONSOR'S The City Council is being asked to approve an ordinance amending the 2013-2014 biennial SUMMARY budget for unanticipated costs or projected departmental deficits for fiscal year 2013. This item is scheduled for Council consideration at the 11/10/14 C.O.W. and 11/17/14 Regular Council meeting. Ri.xit.;wit BY COW Mtg. E] CA&P Cmte E Utilities Cmte E Arts Comm. DATE: 11/04/14 11 F&S Cmte E Transportation Cmte Comm. E Planning Comm. CHAIR: SEAL 0 Parks COMMITTEE RECOMMENDATIONS: SPONSOR/ADMIN. Cowin-mi.; Finance Department Unanimous Approval; Forward to Committee of the Whole COST IMPACT / FUND SOURCE ExpiNDITuRI RI c),U11(1,D AMOUNT BUDGETED APPROPRIATION REQUIRED $ $ $ Fund Source: MISCELLANEOUS FUNDING SOURCES, SEE DETAIL Cotnments: MTG. DATE RECORD OF COUNCIL ACTION 11/10/14 Forward to next Regular Meeting MTG. DATE ATTACHMENTS 11/10/14 Informational Memorandum dated 10/29/14 Draft Ordinance City of Tukwila, 2013-2014 Budget Amendment Summary (narrative) City of Tukwila, 2013-2014 Budget Amendment Detail (spreadsheet) Minutes from the Finance & Safety Committee Meeting of 11/04/14 11/17/14 Ordinance 109 110 City of Tukwila Washington Ordinance No. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AMENDING ORDINANCE NO. 2389, WHICH ADOPTED THE CITY OF TUKWILA'S BIENNIAL BUDGET FOR THE 2013-2014 BIENNIUM, TO ADOPT AN AMENDED YEAR-END BUDGET; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, on December 3, 2012, the City Council of the City of Tukwila adopted Ordinance No. 2389, which adopted the 2013-2014 biennial budget of the City of Tukwila; and WHEREAS, on November 10, 2014, following required public notification, the City Council conducted a public hearing on the proposed 2014 Year-End Amendment to the 2013-2014 Biennial Budget; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Ordinance Amended. Tukwila Ordinance No. 2389 is hereby amended with the City Council's adoption of the document entitled "2014 Year-End Amendment to the 2013-2014 Biennial Budget," attached hereto and incorporated by this reference as if fully set forth herein, in accordance with RCW 35A.34.200. Section 2. Estimated Revenues and Appropriations. The totals of the estimated revenues and appropriations for each separate fund amended and the aggregate budget totals are as follows: FUND EXPENDITURES REVENUES 000 General $124,188,819 $124,188,819 503 LEOFF 1 Retiree Health Care 2,170,680 2,170,680 Aggregate budget totals $284,924,011 $284,924,0111 W: Word Processing\Ordinances\Budget amendment-2013-2014 year-end 10-30-14 PM:bjs Page 1 of 2 111 112 Section 3. Copies on File. A complete copy of the final budget for 2013-2014, as adopted, together with a copy of this amending ordinance, shall be kept on file in the City Clerk's Office, and a copy shall be transmitted by the City Clerk to the Division of Municipal Corporations of the Office of the State Auditor and to the Association of Washington Cities. 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 and effect 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 , 2014. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel Turpin, City Attorney Jim Haggerton, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: Attachment: 2014 Year-End Amendment to the 2013-2014 Biennial Budget W Word Processing \Ordinances\Budget amendment-2013-2014 year-end 10-30-14 PM:bjs Page 2 of 2 City of Tukwila 2014 Year -End Amendment to 2013 -2014 Biennial Budget Ordinance Detail A B C D E F G H A +C +D B +F +G Fund 41 Fund Description 2013 -2014 BUDGET as Adopted and Amended ** AMENDMENTS 2013 -2014 AMENDED BUDGET Total Revenues Total Expenditures Revenue Beginning 2014 gFu ndce Revenues Total 2014 Expenses Expenditures Ending Balance Total Total Revenues Total Expenditures 000 General $ 122,930,819 $ 122,930,819 $1,258,000 $ 1,258,000 $ 1,038,600 $ 219,400 $ 1,258,000 $ 124,188,819 $124,188,819 101 Hotel/Motel 3,532,082 3,532,082 - 3,532,082 3,532,082 103 City Street 2,600,000 2,600,000 - 2,600,000 2,600,000 104 Arterial Street 41,577,820 41,577,820 - 260,000 (260,000) - 41,577,820 41,577,820 105 Contingency 5,278,632 5,278,632 - 5,278,632 5,278,632 107 Fire Equipment 1,030,000 1,030,000 - 1,030,000 1,030,000 Cumulative Reserve 109 Drug Seizure Fund 472,000 472,000 - 472,000 472,000 206 LID 33 bonds 2013 680,000 680,000 - 680,000 680,000 209 Limited Tax G.O. 3,379,788 3,379,788 - 3,379,788 3,379,788 Bonds 2003 210 Limited Tax G.O. Ref 979,750 979,750 - 979,750 979,750 Bonds, 2003 211 Limited Tax G.O. Ref 1,550,000 1,550,000 - 1,550,000 1,550,000 Bonds, 2008 212 Limited Tax G.O. 865,000 865,000 - 865,000 865,000 Bonds, 2009 - SCORE 214 Limited Tax G.O. 1,172,114 1,172,114 - 1,172,114 1,172,114 Bonds, 2010 216 Limited Tax G.O. Ref 472,000 472,000 - 472,000 472,000 Bonds, 2010 - Valley Comm 217 2011 Ref Bonds 717,000 717,000 - 717,000 717,000 233 2013 LID 1,707,400 1,707,400 - 1,707,400 1,707,400 301 Land Acquisition & 5,607,000 5,607,000 - 5,607,000 5,607,000 Park Devl. 302 Facility Replacement 6,366,204 6,366,204 - 6,366,204 6,366,204 303 General Govemment 2,623,684 2,623,684 - 2,623,684 2,623,684 Improvements 304 Fire Improvements 400,200 400,200 - 400,200 400,200 401 Water 18,814,000 18,814,000 - 18,814,000 18,814,000 402 Sewer 15,401,000 15,401,000 - 15,401,000 15,401,000 411 Foster Golf Course 4,033,594 4,033,594 - 4,033,594 4,033,594 412 Surface Water 13,288,800 13,288,800 - - 13,288,800 13,288,800 501 Equipment Rental 10,660,360 10,660,360 - - 10,660,360 10,660,360 502 Insurance Fund 13,818,784 13,818,784 - 800,000 (800,000) - 13,818,784 13,818,784 503 Insurance - LEOFF 1 1,606,680 1,606,680 564,000 564,000 300,000 264,000 564,000 2,170,680 2,170,680 Fund 611 Firemen's Pension 1,537,300 1,537,300 - - 1,537,300 1,537,300 Total All Funds Combined $ 283,102,011 $ 283,102,011 $ - $1,822,000 $ 1,822,000 $ 2,398,600 $(576,600) $ 1,822,000 $ 284,924,011 $ 284,924,011 Mid- biennium budget amendments were adopted on December 2, 2013. 113 114 2014 Year -End Amendments to the 2013 -2014 Biennial Budget GENERAL FUND 000 New proposals Information Technology (IT). An additional $70K in capital is budgeted for the purchase of two SAN servers; one as a replacement and another as a backup. Capacity and functionality of the existing server has diminished creating this need; purchasing a backup server will support continuity of operations should functionality of the main server be compromised. A separate informational memorandum from the Information Technology Director has been included as an attachment. Court (CRT). An additional $50K in capital has been budgeted to fund an electronic court document and case integration system. This system will provide electronic case scheduling, a calendaring wizard, as well as an electronic forms dashboard. A separate informational memorandum from the presiding Municipal Court Judge has been included as an attachment. Unbud_geted Expenditures Fire (FIRE). Additional $224K of budget has been added to fund the LEOFF 1 Retiree Healthcare plan should sufficient funds be available at the end of the year to do so. The plan has experienced high claims in 2013 and in 2014; this funding infusion would bolster the plan fund balance. Police (POL). Additional $340K of budget has been added to fund the LEOFF 1 Retiree Healthcare plan should sufficient funds be available at the end of the year to do so. The plan has experienced high claims in 2013 and in 2014; this funding infusion would bolster the plan fund balance. Fire (FIRE). Additional $89K of budget has been added to fire suppression overtime and benefits for the unreimbursed costs of the Oso landslide deployment. Revenue Backed Expenditures Fire (FIRE). Additional budget of $170K has been added to general fund revenue and to Fire department overtime and benefits for funds received from Pierce County and the Washington State Task Force 1 in reimbursement for the department's assistance and deployment to the Oso landslide. Fire (FIRE). Additional budget of $335K has been added to general fund revenue and to Fire equipment to reflect the funds received from Homeland Security for 54 Motorola radios and related equipment. Fire (FIRE). Additional budget of $20K has been added to general fund revenue and to Fire department supplies to reflect a change in the hazardous material supplies and insurance reimbursement arrangements with EF Recovery. Formerly, EF Recovery credited the Fire Department account with insurance proceeds collected; then reduced the account balance for supplies purchased. Under the current arrangement, all insurance proceeds are remitted to the City and the City directly pays for the purchase of hazardous material supplies. Revenue Increases Grant Revenue. The budget for grant revenue is increased by $133K to reflect funding for the Auto Theft Task Force police sergeant position. Retail Sales Tax Revenue. The budget is increased by $600K to reflect estimated tax collections for 2014. The estimate is based on the revenue trend through August 2014 and on the seasonal nature of the receipts, with a higher percentage received in November and December for non - construction sales tax. The 2014 revenue collected through August is approximately $500K more than budget. A 115 year over year comparison indicates that construction sales tax is down 36% but non - construction sales tax is up 3 %. Should this trend continue through the end of the year, retail sales tax will exceed $15,600,000 or $600K more than the current budget. Retails sales tax for 2013 exceeded $15,888,000. Transfers Amonq Departments • Mayor /Economic Development Division (MAY) and Department of Community Development (DCD). Early in 2014, one staff was transferred to the Economic Development division of the Mayor's Office from the Community Development department. Budget of approximately $98K representing the salaries and benefits of the transferred staff has been added to the Economic Development division and removed from the Community Development department. Mayor /Communications Division (MAY) and Information Technology department (IT). Early in 2014, two staff were transferred to the newly established Communications division of the Mayor's Office from the Information Technology department. Budget of approximately $150K for the salaries and benefits of the transferred staff has been added to the Communications division and removed from the Information Technology department. Additionally, $24K of budget has been transferred from the Information Technology department to the Communications division for the purchase of Channel 21 communications equipment. Public Works (PW) and Arterial Street Fund (104). Salary and benefits for certain Public Works department staff was budgeted in the Public Works department but has been charged to the Arterial Street fund through the project accounting system for work associated with capital projects. Budget of $260K is transferred to Fund 104 from the Public Works department to cover the salary and benefit costs. ARTERIAL STREET FUND 104 Transfers Amonq Departments Public Works (PW) and Arterial Street Fund (104). Salary and benefits for certain Public Works department staff was budgeted in the Public Works department but has been charged to the Arterial Street fund through the project accounting system for work associated with capital projects. Budget of $260K is transferred to Fund 104 from the Public Works department to cover the salary and benefit costs. EMPLOYEE HEALTHCARE FUND 502 Unbudqeted Expenditures Healthcare costs are 88% over budget through September 30, 2014. Additional expenditure budget of $800K is added to the fund to cover these costs. The offset is a reduction of Fund 502 fund balance. LEOFF 1 RETIREE HEALTHCARE FUND 503 Unbudqeted Expenditures Healthcare costs are 102% over budget through September 30, 2014. Additional $564K of revenue budget and $300K of expenditure budget is added to the fund to cover these costs and build up the ending fund balance. (See Unbudgeted Expenditures under General Fund, above). 116 2014 Year End Amendment to 2013-2014 Biennial Budget ' Increase (Decrease :- Increase (Decrease) ,..:( : Dept : Explana ion Acct Desc :Fund Revenue Expense ,:, Revenue Expense : Ending, Fund , New Proposals t" T purchase two SANS servers - one for !Capital equipment !000 replacement and one for technology backup I I 2 CRT purchase Code Smart software to create :Software :000 electronic, fdlable forms; online calendar, and ! other case management efficiencies I I I ,r,. ' i :„" , Unbudgeted Expenditures 3 POL 4 FIRE Fund the Leoff 1 Retiree healthcare plan for 2014 Fund the Leoff 1 Retiree healthcare plan for 2014 5 FIRE omuepyvment overtime costs in eacess of reimbursement --'---'---'---'-'---'-'---'-' s FIRE Oso deployment overtime costs in excess of reimbursement Retiree healthcare 'mm | | ,premiums ��h��,e'_-�0� ._-- !premiums | . -- -----' -- ;Fire suppression overtime 000 Fire suppression benefitsl000 m | | 9,500 Revenue Backed Expenditures 7 Reirribursement for Oso landslide assistance :Revenue: from Pierce County and Washington State Task !Intergovernmental Force 1 'mm 8 FIRE Fire Department overtime for 050 Iandslide Fire suppression overtime ,mm | y FIRE Fire Department overtime for omlandslide ,Fire suppression benefits :mm | --'-'-----'---- 10 Radio grant :Revenue: Grant Dept of :mm !Homeland Security | 11 FIRE Radio grant-reimbursement for purchase of 54 :copita/e*uinmam 'mm I | radios __________________ —I- 12 z Revenue from MVA hazardou material / 'mm 1 / ,cost recovery 13 FIRE MVA hazardous material supplies Operating supplies 'mm / 127,0yD . 335,000 43,000 335,000 20L000!' _ 20,000 | | 224,0� (224,000) i | . . | | 340,000 (340,000). / | . . -_/ -_80,100 L. -V80,100� / | - | 9,500 (9,500 � | | ! | ! | 170,000 - | 170,000 ----1�----- - 127,000 | (127,000) 43,000 | (43/000 | | s 3»5�� L__--335,000 | | ' ' ) �� (335,000) ---_�- |-- . . . . | | .20,000 - 20,000 ! | / ' . 2o,000 / (20,000 Revenue Increases 14 Auto Theft Task Force grant !Grant revenue 1000 . . 15 Increase budget base on 2014 experience :Revenue: Local Retail 'mm through August | | 133,000 600,000 Transfers Among Oepartments and Funds | | -^-`---`-`-`-`-^--' | | 133,000�--- - 600,000 _ ! | 133,000 600,000 16 MAY Transfer budget to the Economic Development ;Salaries Division of the Mayor's budget for 1 Community Development FTE -_-___'_'_'__'_-_-_'_'__ _'_'__'_— 17 MAY Transfer budget to the Economic Development Benefits imm DivisiOn of the Mayor's budget for 1 Community oeve/opmentnE _ _ �_ 18 DCD r�m�/u�u�onmt�mmm"n� !Salaries Development department to the Economic ' | "~~/.~..�n^*�"�*°�="/ budget for ~'~~~—--'—-'—'—'�-| znE '_-_'—'_'—'_'_'— -/ 19 DCD Transfer budget from the Community 'Benefits '000 Development department to the Economic , Development Division of the Mayor's budget for 1 | zFTE | | i 00 |mm � 78,000 20,000 (78,000) (20,000) . 7o�vn| (78,000) 20,000 (20,000) | (78,000)! 74000 | � p0,000)| 20,000� 2014 Year End Amendment to 2013-2014 Biennial Budget Dept Explanation e C "S-Let. 20 MAY Transfer budget to the Communications Division (Salaries of the Mayor's budget for 2 Information Technology FTE's 21 MAY Transfer budget to the Communications Division ;Benefits Acct Desc ;Fund 2014 Increase (Decrease) 2013-2014 increase (Decrease) Revenue Expense Revenue Expense j Ending Fund Balance 1000 -- 110,000 _ 1000 of the Mayor's budget for 2 Information Technology FTE's 22 MAY Transfer Information Technology budget to Equipment ;000 Communications Division for purchase of Channel 21 hardware and other equipment. 23 IT Transfer budget to the Communications Division Salaries '000 of the Mayor's budget for 2 Information Technology FTE's 24 IT To transfer budget to the Communications Benefits 1000 Division of the Mayor's budget for 2 IT FTE transferred 25 IT Transfer Information Technology budget to Miscellaneous 000 Communications Division for purchase of Channel 21 hardware and other equipment. 26 PW Transfer budget to the Arterial Street fund from !Salaries & benefits 0 00 Public Works to cover payroll costs charged to I the projects in the fund 40,000 24,000 (110,000) (40,000) (24,000) (260,000) GENERAL FUND TOTALS ,258,000 ; 1,038,600 - 110,000 j (110,000) 40,000 i (40,000) 24,000 (24,000) (110,000): 110,000 - (40,000): 40,000 (24,000)! 24,000 (260,000); 260,000 1,258,000 1,038,600 I 219,400 rer WIFTF"i rkVia Transfers Among Departments and Funds 27 104 Transfer budget from the Public Works department to the Arterial Street department for salaries charged to the Arterial Street fund but budgeted in the Public Works department Salaries '104 28 104 Transfer budget from the Public Works ,Benefits ,104 department to the Arterial Street department for benefits charged to the Arterial Street fund but budgeted in the Public Works department 199,000 61,000 Agl ERIAL STREET FUND TOTALS 260,000 .M010211,4 Unbudgeted Expenditures ri - 199,000 (199,000) 61,000 ; (61,000) 260,000 (260,000) 29 502 Increase expenditure budget to cover high claim ;healthcare costs costs. EMPLOYEE HEALTHCARE PLAN TOTALS 1502 800,000 800,000 ; (800,000) 800,000 (800,000) Unbudgeted Expenditures crtiVI•704,S4 30 503 Increase funding to cover high claim costs and ihealthcare costs 150 bolster fund balance • 31 503 Increase expenditure budget to cover high claim 'healthcare costs '503 564,000 564,000 costs. LEOFF 1 RETIREE HEALTHCARE PLAN TOTALS 564,000 564,000 564,000 300,000 (300,000) 300,000 264,000 YEAR-END BUDGET AMENDMENT TO 2013-2014 BIENNIAL BUDGET 1,822,000 5 1,798,600 $ 1,822,000 $ 2,398,600 $ (576,600) 118 2 of 2