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Home My WebLink AboutFS 2015-04-07 COMPLETE AGENDA PACKETCity of Tukwila Finance and Safety Committee O Kathy Hougardy, Chair O Joe Duffie O De'Sean Quinn AGENDA Distribution: Recommended Action K. Hougardy P. McCarthy J. Duffie C. C'Flaherty D. Quinn R. Turpin K. Kruller L. Humphrey D. Robertson Pg.i Mayor Haggerton D. Cline b. A resolution in support of the PSERN (Puget Sound TUESDAY, APRIL 7, 2015 — 5:30 PM HAZELNUT CONFERENCE ROOM (formerly known as CR #3) at east entrance of City Hall Item Recommended Action Page 1. PRESENTATION(S) 2. BUSINESS AGENDA a. 2014 4th Quarter Revenue Report. a. Information only. Pg.i Peggy McCarthy, Finance Director b. A resolution in support of the PSERN (Puget Sound b. Forward to 4/20 Regular Pg.9 Emergency Radio Network) proposition. Meeting -New Business Laurel Humphrey, Council Analyst Title: King County Proposition No. 1. Regular Property Tax Levy for Emergency Public Safety Radio Network Replacement Project. Public comments will be accepted. Q 3. ANNOUNCEMENTS 4. MISCELLANEOUS Next Scheduled Meeting: Tuesday, Apri /21, 2015 SThe City of Tukwila strives to accommodate individuals with disabilities. Please contact the City Clerk's Office at 206 - 433 -1800 ( TukwilaCityClerk (a)TukwilaWA.gov) for assistance. City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM TO: Mayor Haggerton Finance and Safety Committee FROM: Peggy McCarthy, Finance Director BY: Lily Jue, Fiscal Coordinator DATE: April 1, 2015 SUBJECT: Sales Tax and Miscellaneous Revenue Report - 4th Quarter 2014 Schedule I - Sales Tax in $1,000's Sales tax collections for the fourth quarter were $467K more than the same quarter in the previous year, an 11 % increase, comprised of a decline in construction sales tax of $40K or (15 %) and an increase in sales tax from other industries of $507K or 12 %. Year -to -date sales tax collections through the fourth quarter increased by $459K or 3% over prior year receipts comprised of a decline in construction sales tax of $343K or (29 %) and an increase in sales tax from other industries f $802K or 5 %. Revenue received from mitigation has been consistent. As of December 31St, the City collected $1,137,765 in sales tax mitigation, which is 95% of the annual mitigation budget. The City received $17.4 million in sales tax and mitigation through the end of the year. 2013 Actual 2014 Actual YOY Change -- Month -- Construct Other j Total Construct Other j Total Construction j Other Industries j Total Collect- Pd Recd tion Industries tion Industries Amount % Amount % lArnount % Jan Mar $ 76 ! $ 1,038 ! $ 1,114 $ 57 ! $ 1,0U111,321 $ (19) -25 %! $ 11 1%! $ (8) -1% Feb Apr 77 ! 1,127 ! 1,204 34 ! 1,0 (43) -56 %! (80) -7 %! (123) -10% Mar May 861 1,191 j 1,277 56 j 1,2 30 -35 %j 74 6 %j 44 3% Q -1 Totals $ 239 ' 3,356 ' $ 3,595 $ 147 ' 3,3$ (92) -38 %' 5 0 %' $ (87) -2% Apr Jun 117 1,109 1,226 57 1,1, (60) -51 %: 26 2 %: (34) -3% May Jul 119 1,165 1,284 53 1,201 1,254 (66) -55 %� 36 3 %� (30) -2% Jun Aug 104 1,264 1,368 75 1,303 1,378 29 -28 %: 39 3 %: 10 1% Q-2 Totals $ 340 3,538 $ 3,878 $ 185 3,639 $ 3,824 $ (155) -46 %! 101 3% $ (54) -1% Jul Sep 101 ! 1,300 ! 1,401 80 ! 1,315 ! 1,395 (21) -20 %! 15 1 %! (6) 0% Aug Oct 105 ! 1,240 ! 1,345 87 ! 1,301 ! 1,388 (18) -17 %! 61 5 %! 43 3% Sep Nov 1081 1,227 1 1,335 91 j 1,3401 1,431 17 -16 %1 113 9 %1 96 7% Q -3 Totals $ 314 ' 3,7671 $ 4,081 $ 258 ' 3,9561 $ 4,214 $ (56) -18 %' 189 5 %' $ 133 3% Oct Dec 92 1,157 1,249 64 1,319 1,383 (28) -30 %: 162 14 %: 134 11% Nov Jan 102 1,248 1,350 87 1,396 1,483 (15) -15 %i 148 12 %� 133 10% Dec Feb 75 ; 1,660 ; 1,735 78 ; 1,857 ; 1,935 3 4 %; 197 12 %: 200 11% Q -4 Totals $ 269 4,065 $ 4,334 $ 229 4,572 $ 4,801 $ (40) -15 %! 507 12 %! $ 467 11% Totals $ 1,162 ! 14,726 ! $ 15,888 $ 819 ! 15,528 ! $ 16,347 $ (344) -29 %! 803 5 %! $ 459 3% Sales tax collections for the fourth quarter were $467K more than the same quarter in the previous year, an 11 % increase, comprised of a decline in construction sales tax of $40K or (15 %) and an increase in sales tax from other industries of $507K or 12 %. Year -to -date sales tax collections through the fourth quarter increased by $459K or 3% over prior year receipts comprised of a decline in construction sales tax of $343K or (29 %) and an increase in sales tax from other industries f $802K or 5 %. Revenue received from mitigation has been consistent. As of December 31St, the City collected $1,137,765 in sales tax mitigation, which is 95% of the annual mitigation budget. The City received $17.4 million in sales tax and mitigation through the end of the year. INFORMATIONAL MEMO Page 2 Budget to Actual - Sales Tax in $1,000's Schedule I - Sales Tax Sales tax revenue for the fourth quarter was $530K or 12% above budget. Year to date receipts collected through fourth quarter were $737K more than budget resulting in a 5% increase. The total receipts for the year exceeds $16 million. FS 04 -07 Info Memo Sales Tax - 2014 -Q4 FINAL.docx 4/1/2015 2 2013 2014 2014 Variance [Act Over(Under) -- Month - Amended Bdgt] Collect- Original Amended ed Rec'd Actual Budget Budget Actual Amt % Budget Pro ection Jan Mar $ 1,114 $ 1,077 $ 1,120 $ 1,106 $ (14) -1% $ 1,080 $ 1,200 Feb Apr 1,204 1,069 1,112 1,081 (31) -3% 1,072 I 1,200 Mar May 1,277 1,274 1,325 1,321 (4) 0% 1,277 ; 1,300 Q -1 Totals $ 3,595 $ 3,420 $ 3,557 $ 3,508 $ (49) -1% $ 3,429 3,700 Apr Jun 1,226 1,150 1,196 1,192 (4) 0% 1,153 1,300 May Jul 1,284 1,181 1,228 1,254 26 2% 1,1831 1,300 Jun Aug 1,368 1,321 1,374 1,378 4 0% 1,316 j 1,400 Q -2 Totals $ 3,878 $ 3,652 $ 3,798 $ 3,824 $ 26 1% $ 3,652 ' 4,000 Jul Sep 1,401 1,304 1,356 1,395 39 3% 1,293 1,370 Aug Oct 1,345 1,246 1,296 1,388 92 7% 1,243; 1,317 Sep Nov 1,335 1,281 1,332 1,431 99 7% I 1,280 ; 1,356 Q -3 Totals $ 4,081 $ 3,831$ 3,984 $ 4,214 $ 230 6% $ 3,816 I 4,043 Oct Dec 1,249 1,172 1,219 1,383 164 13% 1,171 j 1,241 Nov Jan 1,350 1,230 1,279 1,483 204 16% 1,231 1,304 Dec Feb 1,735 1,705 1,773 1,9351 162 9% 1,711 1,813 Q-4 Totals $ 4,3341 $ 4,107 $ 4,271 $ 4,801 1 $ 530 120% 1 $ 4,113 I 4,357 Totals $ 15,888 $ 15,010 $ 15,610 $ 16,347 $ 737 5% 1 $r 15;010 16,100' Sales tax revenue for the fourth quarter was $530K or 12% above budget. Year to date receipts collected through fourth quarter were $737K more than budget resulting in a 5% increase. The total receipts for the year exceeds $16 million. FS 04 -07 Info Memo Sales Tax - 2014 -Q4 FINAL.docx 4/1/2015 2 Page 3 Below is a graph of sales tax collections by type of industry showing overall change between 2014 annual revenue receipts and 2013 receipts. I n •`M !ig I W. Z-11 , M I - . The overall increase in the "Wholesale Trade" category is attributable to the NAICS category ,1,23, "Wholesale Trade in Durable Goods". Of the $285K increase in the "Services" categor, almost half, • $121 K, is from the NAICS category 72X, "Accomodation & Food Svcs"Soci Assistance". The miscellaneous category includes activities from agriculture, forestry, and fishing and unclassi'fiable establishments which continue to show declining sales as well as a decrease in the area • mining and utilities. FS 04-07 Info Memci Sales Tax-2014-Q4 FINAL.docx 41112015 3 % Change YTD by Category* $600,000 WholesaileTrade, $500,000 $485,664 $400,000 Services, $300,000 $285,993 $200,000 Retail Trade, $115,269 Automotive, $100,000 Transportation/ $73,582 Warehousing, $2,491 $(100,000) Miscellaneous, ($67,892) Manufacturing $(200,000) ($91,676) $(300,000) Construction $(400,000) (5344,092) I n •`M !ig I W. Z-11 , M I - . The overall increase in the "Wholesale Trade" category is attributable to the NAICS category ,1,23, "Wholesale Trade in Durable Goods". Of the $285K increase in the "Services" categor, almost half, • $121 K, is from the NAICS category 72X, "Accomodation & Food Svcs"Soci Assistance". The miscellaneous category includes activities from agriculture, forestry, and fishing and unclassi'fiable establishments which continue to show declining sales as well as a decrease in the area • mining and utilities. FS 04-07 Info Memci Sales Tax-2014-Q4 FINAL.docx 41112015 3 INFORMATIONAL MEMO Page 4 Schedule II shows the year -to -date sales tax from the top ten industry classifications. While the NAICS category 423 "Wholesale Trade, Durable Goods" is not the highest generator of sales tax, it continues to have the highest year over year increase at $471,542. This is followed by an increase of $61,851 in the NAICS category 722 "Food Services and Beverages category". Schedule II * Mitigated NAICS Code Schedule III shows the industries with the ten largest declines in sales tax revenue for industries with over $10,000 in 2014 collections. The "Construction of Buildings" NAICs category 236 resulted in a 42% decrease from the prior year due to significant decrease in construction activity throughout the year. Schedule III YTD YTD Dollar % Group Name Current Prior Diff. Diff. * 462 General Merchandise Stores $ 2,137,244.03 $ 2,154,523.21 $ (17,279) -0.80% * 448 Clothing and Accessories $ 2,013,039.55 $ 2,071,809.92 $ (58,770) -2.84% * 722 Food Services, Drinking Places $ 1,590,850.91 $ 1,528,999.75 $ 61,851 4.05% * 423 Wholesale Trade, Durable Goods $ 1,447,023.94 $ 975,482.22 $ 471,542 48.34% * 443 Electronics and Appliances $ 982,899.32 $ 997,181.74 $ (14,282) -1.43% * 463 Miscellaneous Store Retailers $ 744,801.92 $ 692,524.92 $ 52,277 7.55% * 441 Motor Vehicle and Parts Dealer $ 675,796.39 $ 615,271.73 $ 60,525 9.84% * 444 Building Material and Garden $ 600,553.48 $ 565,653.39 $ 34,900 6.17% * 461 Sporting Goods, Hobby, Books $ 581,195.33 $ 568,945.20 $ 12,250 2.15% 721 Accommodation $ 562,130.23 $ 502,720.70 $ 59,410 11.82% * Mitigated NAICS Code Schedule III shows the industries with the ten largest declines in sales tax revenue for industries with over $10,000 in 2014 collections. The "Construction of Buildings" NAICs category 236 resulted in a 42% decrease from the prior year due to significant decrease in construction activity throughout the year. Schedule III * Mitigated NAICS Code FS O4 -07 Info Memo Sales Tax - 2014 -Q4 FINAL.docx 4/1/2015 4 YTD YTD Dollar % Group Name Current Prior Diff. Diff. 236 Construction of Buildings $ 415,348.80 $ 716,944.13 $ (301,595) - 42.07% 999 Nonclassifiable Establishments $ 72,256.64 $ 187,778.37 $ (115,522) - 61.52% 336 Transportation Equipment Man $ 171,683.13 $ 251,447.04 $ (79,764) - 31.72% * 448 Clothing and Accessories $ 2,013,039.55 $ 2,071,809.92 $ (58,770) -2.84% 237 Heavy and Civil Construction $ 55,116.17 $ 111,237.44 $ (56,121) - 50.45% 631 Real Estate $ 59,351.37 $ 77,731.37 $ (18,380) - 23.65% * 462 General Merchandise Stores $ 2,137,244.03 $ 2,154,523.21 $ (17,279) -0.80% 622 Credit Intermediation $ 70,774.79 $ 85,795.26 $ (15,020) - 17.51% * 443 Electronics and Appliances $ 982,899.32 $ 997,181.74 $ (14,282) -1.43% 611 Educational Services $ 49,997.91 $ 58,682.24 $ (8,684) - 14.80% * Mitigated NAICS Code FS O4 -07 Info Memo Sales Tax - 2014 -Q4 FINAL.docx 4/1/2015 4 INFORMATIONAL MEMO Page 5 The following charts show sales tax receipts the City collected from major industries between 2010 through the current year. These categories include retail, services, wholesale, construction, and other consisting of manufacturing, transportation & warehousing, automotive, and miscellaneous. $2,500,000 $2,400,000 $2,300,000 $2,200,000 $2,100,000 $2,000,000 $1,900,000 $1,800,000 $1,700,000 $1,600,000 $1,500,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 Retail Q1 Q2 Q3 Q4 Services Q1 Q2 Q3 Q4 111111112010 111111112011 10 2012 111111112013 11111112014 IIIIIII12010 2011 10 2012 111111112013 11111112014 FS 04 -07 Info Memo Sales Tax - 2014 -Q4 FINAL.docx 4/1/2015 5 INFORMATIONAL MEMO Page 6 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $450,000 $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 Wholesale Q1 Q2 Q3 Q4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Construction Q1 Q2 Q3 Q4 Other -Mfg. Trnsp /Wrhsng, Automotive, & Misc. 1111111 2010 11111112011 1111 2012 11111112013 1111112014 11111112010 11111112011 1111 2012 11111112013 111111 2014 FS 04 -07 Info Memo Sales Tax - 2014 44 FINAL.docx 4/1/2015 6 INFORMATIONAL MEMO Page 7 SALES TAX SUMMARY 4th Quarter 2014 (Received in March 2014 - February 2015) YTD NAICS CONSTRUCTION 13 YTD 14 YTD % Diff 236 Construction of Buildings 716,944 415,349 42.1 237 Heavy & Civil Construction 111,237 55,116 -50.5% 238 Specialty Trade Contractors 334,704 348,328 4.1 TOTAL CONSTRUCTION $ 1,162,885 $ 818,793 Overall Construction Change from Previous Year ($344,092) -29.6% YTD MANUFACTURING 13 YTD 14 YTD % Diff 311 Food Manufacturing 9,926 7,356 -25.9% 312 Beverage & Tobacco Products 5,267 5,848 11.0% 313 Textile Mills 670 651 -2.8% 314 Textile Product Mills 11,042 11,515 4.3% 315 Apparel Manufacturing 685 392 42.8% 316 Leather & Allied Products 3 1 -80.1 r- - - - - - - - - - - - - - - - 321* Wood Product Manufacturing - - - - - - - - 1,611 - - - - - - - - -� 2,224 38.0% 322* Paper Manufacturing 24,030 23,964 -0.3% -------------------- -62.8% - - - - -- 746 i 323* Printing &Related Support 28,377 25,507 0_0 -1_01% .1 -101% 324 Petroleum & Coal Products 23 20 -11.9% 325 Chemical Manufacturing 6,273 7,631 21.7% 326 Plastic & Rubber Products 4,565 3,999 -12.4% i 327* Nonmetallic Mineral Products 4,655 4,645 -0.2% 331 Primary Metal Manufacturing 11150 3,414 196.9% 332 Fabricated Metal Mfg Products 21,801 5,649 -74.1 333 ---------------------------------- Machinery Manufacturing 5,062 7,571 49.6% 334* Computer & Electronic Products 6,719 31609 46.3% i 335 Electric Equipment, Appliances 4,944 2,844 -42.5% 336 Transportation Equipment Mfg 251,447 171,683 -31.7% i 337* Furniture & Related Products 11,025 12,627 14.5% r - -------------- i 339* - - Miscellaneous Manufacturing - - - - - - - 13,014 - - - - - 19,464 - - - - 49.6% TOTAL MANUFACTURING $ 412,288 $ 320,613 Overall Manufacturing Change from Previous Year ($91,676) -22.2% YTD TRANSPORTATION & WAREHOUSING 13 YTD 14 YTD % Diff 481 Air Transportation 153 7 0.0% 482 Rail Transportation 1,597 1,162 -27.2% 484 Truck Transportation 5,820 1,647 -71.7% 485 Transit and Ground Passengers 395 740 87.4% 487 Scenic and Sightseeing Tran 876 1,044 0.0% 488 Transportation Support 39,511 46,626 18.0% 491 Postal Services 529 597 0.0% 492 Couriers & Messengers 787 293 -62.8% 493* Warehousing & Storage 746 786 5.4% 1 5.6% TOTAL TRANSP & WISING $ 50,413 $ 52,903 6.0% - - - - 81X Overall Transportation Change from Previous Year $2,491 4.9% NAICS AUTOMOTIVE 13 YTD 14 YTD YTD % Diff 1 441* Motor Vehicle & Parts Dealer 615,272 YTD 9.8% WHOLESALE TRADE 13 YTD 14 YTD % Diff 1 423* Whls Trade Durable Goods 975,482 1,447,024 48.3% 1 424* Whls Trade - Nondurable Goods 132,473 146,480 10.6% - - - 425* - - - - - - - - - - - - - - Wholesale Electronic Markets - - - - - - 2,819 - - - - - - 2,934 - - - - r 4.1 2,071,810 WHOLESALE TRADE TOTAL $ 1,110,774 $ 1,596,438 Sporting Goods, Hobby, Books 568,945 Overall Wholesale Change from Previous Year $485,664 43.7% r- - i - - - - - - - - - - - - - - - - - Sales Tax Mitigation NAICS Codes- 2,137,244 -0.8% r---------------------------------- 453* NAICS AUTOMOTIVE 13 YTD 14 YTD YTD % Diff 1 441* Motor Vehicle & Parts Dealer 615,272 675,796 9.8% i r 447* Gasoline Stations 75,449 88,507 17.3% TOTAL AUTOMOTIVE $ 690,721 $ 764,303 600,553 Overall Automotive Change from Previous Year $73,582 10.7% NAICS RETAIL TRADE 13 YTD 14 YTD % Diff i 442* - - - - Furniture & Home Fumishings - - - - - - - - - - - - - - 408,005 - - - - - - - 449,665 - - - - - 10.2% - - - - - 443* Electronics & Appliances 997,182 982,899 -1.4% 444* Building Material & Garden 565,653 600,553 6.2% i 445* Food & Beverage Stores 206,924 224,707 86% 446* Health & Personal Care 219,169 256,077 16.8% F 448* ----------------------------------- Clothing & Accessories 2,071,810 2,013,040 -2.8% 451* Sporting Goods, Hobby, Books 568,945 581,195 2.2% 452* General Merchandise Stores 2,154,523 2,137,244 -0.8% r---------------------------------- 453* Miscellaneous Store Retailers 692,525 744,802 7.5% ----------------------------------- 454* Nonstore Retailers 174,653 184,477 5.6% TOTAL RETAIL TRADE $ 8,059,390 $ 8,174,659 Overall General Retail Change from Previous Year $115,269 1.4% YTD SERVICES 13 YTD 14 YTD % Diff 51X Information 587,449 652,905 11.1% 52X Finance & Insurance 97,434 79,451 -18.5% 53X Real Estate, Rental, Leasing 464,703 477,729 2.8% 541 Professional, Scientific, Tech 286,461 369,819 29.1 551 Company Management 29 0 - 100.0% 56X Admin, Supp, Remed Svcs 181,408 126,608 -30.2% 611 Educational Services 58,682 49,998 -14.8% 62X Health Care Social Assistance 91,502 137,974 50.8% 71X Arts & Entertainment 133,647 145,867 9.1% 72X* Accommodation & Food Svcs 2,031,720 2,152,981 6.0% - - - - 81X - - - - - - Other Services - - - - - - - - 216,087 - - - - - 238,486 - - - -� 10.4% 92X Public Administration 61,978 65,277 5.3% TOTAL SERVICES $ 4,211,101 $ 4,497,094 Overall Services Change from Previous Year $285,993 6.8% YTD MISCELLANEOUS 13 YTD 14 YTD % Diff 000 Unknown 0 49,474 0.0% 111 -115 Agriculture, Forestry, Fishing 668 326 -51.1% 211 -221 Mining & Utilities 2,071 567 -72.6% 999 Unclassifiable Establishments 187,778 72,257 -61.5% MISCELLANEOUS TOTAL $ 190,517 $ 122,624 Overall Miscellaneous Change from Previous Year ($67,892) -35.6% YTD 13 YTD 14 YTD % Diff GRAND TOTALS $15,888,089 $16,347,426 Grand Total Change from Previous Year $459,337 2.89% Grand Total Change from Previous Year - Without $803,430 5.46% New Construction FS 04 -07 Info Memo Sales Tax - 2014 44 FINAL.docx 4/1/2015 7 INFORMATIONAL MEMO Page 8 Below is Schedule IV which shows quarterly gambling tax earned for the prior year compared to the current year. Schedule IV - Gambling Tax (a) Quarter Earned 2013 Actual (c) 2014 Actual 2014 Prorated Budget INCREASE (DECREASE) YEAR OVER YEAR BUDGET VARIANCE Amount % Amount % INCREASE (DECREASE) Q1 $ 557,272 $ 678,358 $ 537,068 $ 121,086 22% $ 141,290 26% Q2 630,650 666,716 537,068 36,066 6% 129,648 24% Q3 522,196 678,302 537,069 156,106 30% 141,233 26% Q4 583,347 698,517 537,069 115,170 20% 161,449 30% Totals $ 2,293,466 $ 2,721,893 $ 2,148,274 $ 428,427 19% $ 412,171 27% Gambling taxes for year ended 2014 are $428 thousand or 19% higher than 2013 and $412 thousand or 27% over 2014 budget. Casinos within the City continue to do well, showing consistent revenue each quarter and a very slight uptick during 4th quarter. Schedule V shows monthly admissions tax receipts for the prior year compared to the current year. Schedule V -Admissions Tax (b) Admissions tax receipts are $68 thousand or 11 % below 2013 collections but $9,614 or 2% above budget. Movie theatre attendance accounts for most of the admissions tax. Attendance fluctuates based the popularity of movies including the number of block busters and other factors. (a) Gambling tax currently includes card games, punch boards, pull tabs, and amusement games. (b) Excludes golf course admissions tax. (°) Actuals reflected in Schedules IV and V are amounts earned through fourth quarter 2014. FS 04 -07 Info Memo Sales Tax - 2014 44 FINAL.docx 4/1/2015 i (c) 2014 INCREASE (DECREASE) Quarter 2013 2014 Prorated YEAR OVER YEAR BUDGET VARIANCE Earned Actual Actual Budget Amount % Amount Q1 $ 111,254 $ 135,045 $ 137,500 $ 23,791 21% $ (2,455) -2% Q2 158,396 149,487 137,500 (8,909) -6% 11,987 9% Q3 154,463 135,919 137,500 (18,544) -12% (1,581) -1% Q4 203,324 139,163 137,500 64,161 -32% 1,663 1% Totals $ 627,437 $ 669,614 $ 660,000 $ (67, 823) -11% $ 9,614 2% Admissions tax receipts are $68 thousand or 11 % below 2013 collections but $9,614 or 2% above budget. Movie theatre attendance accounts for most of the admissions tax. Attendance fluctuates based the popularity of movies including the number of block busters and other factors. (a) Gambling tax currently includes card games, punch boards, pull tabs, and amusement games. (b) Excludes golf course admissions tax. (°) Actuals reflected in Schedules IV and V are amounts earned through fourth quarter 2014. FS 04 -07 Info Memo Sales Tax - 2014 44 FINAL.docx 4/1/2015 i City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM TO: Mayor Haggerton Finance and Safety Committee FROM: Laurel Humphrey, Council Analyst DATE: March 31, 2015 SUBJECT: Resolution supporting King County Proposition No. I on April 28, 2015. ISSUE The April 28, 2015 Special Election ballot includes a proposition to lift the lid of the existing property tax levy to generate funding to replace King County's current emergency radio network which is facing obsolescence. BACKGROUND The existing King County public safety voice radio system is nearly twenty years old and will no longer be supported by its vendor after December 31, 2018. King County, the City of Seattle, Eastside Public Safety Communications Agency cities, and Valley Communications Center cities have entered into an interlocal agreement to work through implementation of a replacement system to be known as Puget Sound Emergency Radio Network (PSERN). PSERN will replace aging components and establish new technology to support emergency dispatch and incident scene communications. On Monday, March 2, 2015 the Metropolitan King County Council passed Ordinance 17993, placing on the April 28, 2015 special election ballot a nine-year property tax levy lid lift proposal to fund the PSERN project. Based on 2015 home values, the cost to the median homeowner would be $26.46 per year. DISCUSSION The proposed resolution expresses support for the passage of the levy and encourages registered voters in Tukwila to vote to approve it. Per the requirements of RCW42.17A.555 regarding ballot measures, public comments will be accepted at the Council Committee and full Council meetings where this topic is discussed. RECOMMENDATION The Committee is asked to approve the draft resolution and forward it to the April 20 Regular Meeting under New Business. ATTACHMENTS Draft resolution 10 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, EXPRESSING SUPPORT FOR KING COUNTY PROPOSITION NO. 1, REGULAR PROPERTY TAX LEVY FOR EMERGENCY PUBLIC SAFETY RADIO NETWORK REPLACEMENT PROJECT. WHEREAS, the safety of both emergency responders and those in need of emergency services is dependent upon a reliable communications network for emergency dispatch and incident scene communications; and WHEREAS, the current King County emergency radio communications system supporting 16,000 emergency responders county-wide is nearly 20 years old; and WHEREAS, the current network was originally designed to cover a smaller geographic area and population base; and WHEREAS, the vendor supporting the current network will discontinue provision of service and parts at the end of 2018; and WHEREAS, the current network is subject to increased risk of component failures, service outages, and dead spots in coverage, leading to critical response delays; and WHEREAS, the current network is co-owned by the City of Seattle, the Eastside Public Safety Communications Agency (EPSCA), the Valley Communications Center (ValleyCom), and King County; and WHEREAS, these entities are undertaking efforts to plan the replacement of the current network with new components and technology to be known as the Puget Sound Emergency Radio Network (PSERN); and WHEREAS, to address the need for funding a reliable public safety radio network, the King County Council passed Ordinance 17993 to place on the ballot for the April 28, 2015 Special Election a proposition to lift the lid of the existing property tax levy to generate the estimated $273 million needed to replace the current network; and W:\Word ProcessingResolutions\Support for PSERN levy 3-31-15 LH:bjs Page 1 of 2 11 WHEREAS, if approved, funding for the capital, financing, and other costs associated with the PSERN project would come from a levy increase of 7 cents per $1,000.00 of assessed property value over a nine-year period; and WHEREAS, the effective delivery of emergency services is an essential function of the public safety responsibilities of local and regional government, and the City Council recognizes the significant need for replacement of the King County emergency public safety radio network; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: The Tukwila City Council, by majority vote, hereby expresses support for King County Proposition No. 1, Regular Property Tax Levy for Emergency Public Safety Radio Network Replacement Project, placed on the ballot for the April 28, 2015 Special Election, which proposes a nine-year $0.07 per thousand dollars of assessed value county-wide levy, and urges all eligible Tukwila voters to vote to approve the levy. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of 12015. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel B. Turpin, City Attorney WAWord Processing\Resolutions\Support for PSERN levy 3-31-15 LH:bjs 12 Kate Kruller, Council President Filed with the City Clerk: Passed by the City Council: Resolution Number: Page 2 of 2