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Home My WebLink AboutFIN 2019-08-26 Item 2D - Report - June 2019 Departmental Budget-to-Actuals Report0A 47 , \ 44, Tu wlla Allan Ekberg, Mayor 1 TO: Finance Committee FROM: Vicky Carlsen, Finance Director BY: Jeff Friend, Fiscal Manager CC: Mayor Ekberg DATE* August 21, 2019 SUBJECT: Year -to -Date June 2019 General Fund Update Summary The purpose of the June 2019 General Fund Financial Report is to summarize for the City Council the general state of departmental expenditures and to highlight significant items. The following provides a high-level summary of the departmental financial performance. The June 2019 Report is based on financial data available as of August 21, 2019, for the period ending June 30, 2019. Additional details can be found within the attached financial report. Expenditures General Fund expenditures totaled $33.3M through June, which is about $47.7K over the allocated budget of $33.2M. The allocated budget is calculated to reflect year-to-date spending patterns of the previous year. Unbudgeted, Unplanned Events Three significant, unbudgeted events have occurred in 2019 that affect multiple departments. Andover Park East Propane Leak In June, faulty piping in a large propane tank on Andover Park East was discovered which required the safe burn off of vapors remaining after the removal of the liquid gas. On August 16, the party responsible for the propane system was billed $21,707 to reimburse the city for costs associated with the event. Department Labor Benefits Materials Total Police 1,532 262 1,666 3,461 Fire 8,409 2,397 707 11,512 Street Maintenance 4,161 2,037 - 6,198 Water 436 100 536 Total 14 538 i 4i 796 2 373 i 21,707 43 INFORMATIONAL MEMO Page 2 East Marginal Way Power Pole Accident On April 5th, there was a large accident where numerous power poles toppled over on East Marginal Way. Current estimates for this incident through July 9, 2019 are as follows: Department Oveitime and Benefits Repai'rs and Ma inter'iartee o bi`ried Street aintenance and Operations 30,281.39 214,890 16 245,171.55 A claim totaling $245.2K has been initiated with the Washington Cities Insurance Authority (WCIA) for reimbursement of the current estimated expenditures. A check was received in June for $178.9K (75%) with the balance to be received later, Snowstorms During the month of February, the City experienced two winter snowstorms. As of June 30th, unbudgeted costs related to the snow events are as follows: Department Overtime Supplies Combined PoliceS 143 143 Fire 30, il3285 30,598 Public VVorks - 286 286 Park aintenance 452 452 Street Miintenance and Operations 19,463 30,555 50,018 Total 49,777 31,721 S 81,497 Departmental Variances Eleven of fourteen General Fund departments were under their aDocated budget through June 2019. Major variances are: Community Development is $140.6K over budget through June as Professional Services expenditures have been greater than anticipated in the budget. The budget had assumed development activity would slow in 2019; however, this has not been the case. Therefore, services directly related to development activity, such as peer review, that are typically outsourced, are now over budget. It should be noted that a large portion of Professional Services are revenue -backed. Additionally, an unexpected structural code compliance review was done for a local business ($51K) in the first quarter. Line item DCD - P-ofessional Services 2019 Annual Budget 130,000 2019 Allocated Budget through June 37,052 201.9 Actual; through June 171,460 44 INFORMATIONAL MEMO Page 3 Fire is $400.2K over budget. Salaries and benefits were $433.8K over budget resulting from three retirement payouts in June ($53K), unbudgeted pipeline positions ($214.6K) as well as overtime costs that were over budget through June ($166.2K). Services and supplies were under budget by about $33.6K partially offsetting the amount the department was over budget on salaries and benefits. As of the May 28th Finance Committee meeting, the Finance Committee began an ongoing analysis of options to address the Fire operating budget issues. Street Maintenance and Operations was $271.3K over budget through June primarily due to overtime and supplies costs related to the snow events and the East Marginal Way power pole event. Purchases of supplies to replenish street maintenance inventory (sand ($28.9K), aluminum poles and luminaries ($25K), a smart monitor ($16K), and salt brine ($6.5K)) also contributed to the variance. Overtime and Benefits Supplies Snow $ 19,463 $ 30,555 Power Poles* 13,297 129,233 Total $ 50,018 142,530 $ 32,760 $ 159,788 *Costs to be reimbursed by WCIA $ 192,548 Year to Date Department Expenditures Compared to Allocated Budget (Through June 2019) • S 83 City Council • 3209 Mayor 31.173 $1:193 Administrative Services MIMI 59117 31.059 131 36.3 $1,449 Finance Attorney Recreation Community Development Municipal Court 1111111 S623 S649 S264 $321 Police Fire $1,55.3 $1,617 $1,801 51 ,6610 $9,331 Technology & Innovation MIN= 31,022 Svcs S1,047 Public Works Park Maintenance 111111.1 5861 $865 Street Maintenance & Operations Dept 20 $1,897 $0 $2,017 $2.374 52,103 $2,000 33,401 $3,200 $4,000 $5.527 $6,126 $6,000 $8,000 $93720 $10,000 $12,000 Thousands • YTD Actual I, YTD Budget 45 INFORMATIONAL MEMO Page 4 GENERAL FUND CITY OF TUKWILA GENERAL FUND EXPENDITURES SUMMARY OF EXPENDITURES BY DEPARTMENT BUI)GET 2019 2919 ANNEJAL ALLOCATED ACTUAL YTD AS OFJUNE 30,2019 COMPARISON OF RESULTS ACTUAL OVER/CURE/BR) % CHANGE ALLOCATED % EDGT EXPENDED 2017/2018 2018/2019 01 City Council 03 Mayor 04 Administrative Services 05 Finance 06 Attorney 07 Recreation 08 Community Development 09 Municipal Court 10 Police 11 Fire 12 Technology& Innovation Svcs 13 Public Works 15 Park Maintenance 16 Street Maintenance & Operations Subtotal 20 Dept 20 Total Expenditures 432,111 2595,514 2,111,509 2,671,195 710,730 3,294,138 3,511,558 1,298,228 19,427,613 '2,473,387 2,843,934 3,948,613 1,630,586 3,354,733 208,965 1,193,004 1,059,361 1,449,349 320,875 1,617,262 1,660,112 648,705 9,720,234 6,126,344 1,047,187 2,017,013 866,097 2,103,183 59,503,849 30,037,690 8,662028,3,199,543 65,865,878 33,237,233 170,893 183,549 1,137,169 1,198,062 953,530 897,204 1,346,097 1,397,886 215,424 374,128 264,288 1,486,695 1,443,003 1,553,394 1,617,648 1,641,918 1,800,665 597,946 627,102 623,018 8,837,452 8,794,555 9,330,571 5,957,171 5,867,258 6,526,513 713,629 1,060,131 1,021,928 1,775,891 1,797,979 1,897,166 684,777 689,465 861,211 1,459,379 1,505,005 2,374,455 183,176 1,178,322 907,065 1,362,603 26 953 700 27 477 245 29 884 376 , 1,493,002 3,907,726 3,400,593 28,446,702 31,384,971 33,284,969 (25,789) 42% 7% (0)% (14,682) 45% 5% (2)% (152,296) 43% (6)% 1% (86.746) 51% 4% (3)% (56,587) 37% 74% (29)% (63,868) 47% (3)% 8% 140,553 51% 2 % 10 Vs (25,688) 48% 5% (1)% (389,663) 48% (0)% 6% 400,169 52% ( 2 ) % 1 1 % (25,258) 50% 49% (4)% (119,847) 48% 1% 6% (4,885) 53% 1H0 25% 271,272 71% 3% 58% (153,314) % 2% 9% 201,050 53% 162% (13)% 47,736 51% 10% 6% Percent of year completed 50% 46 INFORMATIONAL MEMO Page 5 GENERAL FUND CITY OF TUKWILA GENERAL FUND EXPENDITURES YID AS OFJUNE 30, 2019 SUMMARY OF SALARIES AND BENEFITS BUDGET ACTUAL, COMPARISON OF RESULTS 2019 ANNUAL 2019 ALLOCATED 2017 2018 2019 ACTUAL aVERI(HNDER) A CHANGE ALLOCATED EXIST '3'. BLPEX,DED 2017/2018 20113/2019 11 Salaries 28,891,480 14,445,740 13,442,632 13,466391 14177,655 (268,0E35) 49% 01/3 5% 12 Extra Labor 762,833 376 530 278,306 291,306 339.944 (36,586) 451/0 5% 17% 13 Overtime 1,350,099 682,349 834,294 689,733 923,383 241,034 6816 (17)3/0 341/0 15 Holiday Pay 504,517 94,113 74,220 94,903 75,442 (18,670) 151/0 281/0 (21)39 21 FICA 2,107 153 1,053 577 882,387 885,839 924,878 (128,699) 44% 0% 4% 22 Pension-LE0FF 2 922,206 461,103 404,422 415,357 442896 (18,207) 48% 3% 7% 23 Pension-PERS/PSERS 1,751,656 875,828 716,661 824.456 878,175 2,347 503/3 15% 7% 24 Industrial insurance 861,417 430,709 302,907 299,866 412,804 (17.905) 48% (1)% 381/0 25 Medical & Dental 5,998,564 2.999,282 2 815157 2,754,779 2.869,798 (129,484) 48% (2)1/3 4% 28 Uniform/Clothing 8,525 4 263 1,178 1,738 1,313 (2,949) 15% 481/3 (24)3/3 Total Salaries and Benefits 43,158,450 21,423,49 7 1,742,723 21,056,687 ,805) 498 (0)% 7'.4, SUMMARY oF suppu Es, SERVICES, AND CAPITAL BUDGET ACTUAL COMPARISON OF RESULTS 2019 ANNUAL 2019 ALLOCATED 2017 2018 0 ACTUAL OVER/(UNDER) % CHANGE ALLOCATOD BOOT % EXPENDED 2017/2018 2018/2019 0 Transfers 6,362029 3,199,543 1,493,002 3,907,726 3,400,593 201,050 53% 1623/3 (13)% 31 Supplies 1,072,087 499,428 637,853 479,787 755,123 285,695 73% (25)'! 64% 34 Items Purchased for resale 22,000 16,587 14,001 16,954 18,029 1,442 82% 21% 61/3 35 Small Tools 163,569 58,933 40,432 38,837 59,677 743 36% (4)1/ 54% 41 Professional Sereces 6,404,856 2,951,732 2.486,697 2,826,139 2,833,430 (118,302) 44% 1471 0% 42 Communication 434,600 195,004 170,497 179,975 184,333 (10,671) 42% 6% 2% 43 Travel 159.630 76,043 102,643 77,146 106,861 30,818 67% (25)9 39% 44 Advertising 47,550 21,317 9,932 19,946 10,377 (10,940) 22% 101% (48)8 45 Rentals and Leases 2,901,035 1,434,951 1,073,148 1199,713 1,548,697 113,746 53% 12% 29% 46 Insurance 1,005,775 1,005,775 887,617 974,066 889,957 (115,818) 88% 10% (0)% 47 Public Utilities 1,999.424 1,492,665 903,702 957,053 1,444,442 (48,223) 721 6% 51% 48 Repairs and Maintenance 623,150 309,584 244,682 199 954 356,616 47,032 573/3 (18)0/ 781/0 49 Miscellaneous 1,271,723 542,182 588.056 718,363 544,918 2,736 43% 22% (24)% 64 Machinery & Equipment 240,000 9,997 41,807 46,590 45,228 35,232 19R3 11% (3)% To al Supplies, Services, and Capital 22,707,428 11,813,741 8,694,069 11,842,248 12,228,281 414,541 54% 34% Total Expenditures 65,866,87 33,237,233 28,446,702 31,384,971 33,284,969 47,736 511 10% 6% Percent of year c0npeted 50% 47