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City of Tukwila
Finance Committee
Verna Seal, Chair
Kathy Hougardy
Zak Idan
Distribution:
V. Seal
K. Hougardy
Z. Idan
D. Quinn
K. Kruller
T. McLeod
C. Delostrinos Johnson
Mayor Ekberg
D. Cline
R. Bianchi
C. O’Flaherty
A. Youn
L. Humphrey
AGENDA
MONDAY, DECEMBER 14, 2020 – 5:30 PM
HAZELNUT CONFERENCE ROOM
(At east entrance of City Hall)
THIS MEETING WILL NOT BE CONDUCTED AT CITY FACILITIES
BASED ON THE GOVERNOR’S PROCLAMATION 20-28.
THE PHONE NUMBER FOR THE PUBLIC TO LISTEN TO THIS
MEETING IS: 1-253-292-9750, Access Code 969998131#
Item Recommended Action Page
1. BUSINESS AGENDA
a. A lease renewal with Sound Cities Association for office
space in the 6300 building.
Brandon Miles, Business Relations Manager
b. 2020 3rd Quarter sales tax and miscellaneous revenue
report.
Vicky Carlsen, Finance Director
c. 2020 Committee work plan.
Laurel Humphrey, Legislative Analyst
2. MISCELLANEOUS
a. Forward to 1/4/21
Consent Agenda.
b. Discussion only.
c. Discussion only.
Pg.1
Pg.13
Pg.19
Next Scheduled Meeting: January 2021
TO: Mayor Ekberg
Finance Committee
FROM: Brandon Miles, Business Relations Manager
DATE: December 7, 2020
SUBJECT: Sound Cities Association Lease Agreement
ISSUE
The current lease agreement with Sound Cities Association (SCA) expires on December 31, 2020. Staff is
proposing to enter into a new two-year lease agreement with SCA.
BACKGROUND
SCA is a local non-profit corporation composed of member cities with a population of less than 150,000
people that act locally and partner regionally to create livable, vital communities through advocacy,
education, leadership, mutual support and networking. The City of Tukwila is a member of SCA. SCA began
leasing space from the City of Tukwila in 2006 in the 6300 Building. The current two-year lease with SCA
expires at the end of the year.
DISCUSSION
Staff is proposing a two-year lease agreement from January 1, 2021 – December 31, 2022 to coincide with the
biennium budget cycle. Due to COVID-19, staff is proposing that there be no increase in the rent from 2021
(compared to 2020 rent). For 2022 the lease will increase fifty (50) cents, which represents a 2.8% rent
increase. SCA is also required to pay the applicable leasehold tax to the City as part of their rent. Per Revised
Code of Washington 35A.11.010 and 35A.11.020 all lease agreements must go before City Council for
authorization.
FINANCIAL IMPACT
The base rent for SCA will be $25,550.00 per year, to be paid in monthly installments of $2,129.17 in 2021 and
$27,010.00 per year, to be paid in monthly installments of $2,250.83 in 2020. In addition to the base rent, SCA
will pay leasehold excise tax pursuant to RCW 82.29A at the rate of 12.84 percent of the base rent in the
amount of $273.39 per month in 2021 and $289.01 per month in 2022. Provisions also include internet services
at a rate of $100.00 per month, payment of long distance and toll calls, and after-hours emergency callouts or
mutually agreed upon project work at a flat rate of $150 an hour.
RECOMMENDATION
The Committee is being asked to move this item forward to the consent agenda of January 4, 2021 City
Council Meeting for approval and authorization for execution by the Mayor.
ATTACHMENTS
Draft Lease Agreement for 2021-2022
1
2
City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 1 of 9
LEASE AGREEMENT
THIS LEASE AGREEMENT is made between the City of Tukwila (“the City” or “Lessor”) and Sound
Cities Association (“Sound Cities Association” or “Lessee”).
IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto
agree as follows:
1. Premises. Lessor is the owner of the commercial property located at 6300 Southcenter
Boulevard, Tukwila, Washington (the “Property”). Lessor does hereby agree to lease to
Lessee, a portion of the Property consisting of approximately 1,460 rentable square feet (the
“Premises”). The Premises do not include the exterior walls, roof, land beneath, pipes, ducts,
conduits, wires, fixtures and equipment above the suspended ceiling, or any other portion of
the Property or the buildings thereon. The City and Lessee agree that the Lessee’s pro-rata
share of the Property that the Premises are a part of is 3.45%, based on the ratio of the agreed
rentable area of the Premises to the agreed rentable area of the entire Property as of the date
of this Lease.
2. Term. This Agreement shall be in full force and effect for a period commencing January 1,
2021 and ending December 31, 2022, unless sooner terminated under the provisions set forth
in Section 22. Upon termination of this Lease the Lessee shall surrender all keys and/or access
cards to the City.
3. Possession. Lessee shall be deemed to have accepted possession of the Premises in an “as-
is” condition. The City makes no representations to Lessee regarding the Premises including
the structural condition of the Premises and the condition of all mechanical, electrical and
other systems. Lessee shall be responsible for performing any work necessary to bring the
Premises into condition satisfactory to Lessee. Lessee shall not engage in any improvements
or alterations to the Premises without the express written consent of the City.
4. Rent. Base rent shall be set at $17.50 per square feet per year, or 25,550.00 per year, to be
paid in monthly installments of $2,129.17 for the period of January 1, 2021 – December 31,
2021 and $18.00 per square feet per year, or $27,010.00 per year, to be paid in monthly
installments of $2,250.83 for the period of January 1, 2022 – December 31, 2022. Rent shall
be due on the first day of each month. If payment is not received by the fifth day of each
month, Lessee shall be responsible for paying a late fee equivalent to five percent (5%) of the
delinquent amount in addition to the past due payment. All delinquent sums not paid within
thirty (30) days of the due date shall bear interest at the rate of twelve percent (12%) per
annum. Interest on all delinquent amounts shall be calculated from the original due date to
the date of payment. The City’s acceptance of less than the full amount of any payment due
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 2 of 9
from Lessee shall not be deemed an accordance and satisfaction or compromise of such
payment.
5. Leasehold Excise Tax. Lessee shall pay leasehold excise tax due pursuant to RCW 82.29A to
Lessor by the first day of each month at the rate of 12.84% of the base rent set forth in Section
4 herein, such amount being $273.39 per month for January 1, 2021 – December 31, 2021 and
$289.01 per month for January 1, 2022 – December 31, 2022. The leasehold excise tax shall
be paid in addition to the monthly rental payment and any other payments required under
this Lease. If the State of Washington changes the leasehold excise tax, the tax payable by
the Lessee each month under this Lease shall be correspondingly modified in compliance
with RCW 82.29A without further action by the parties.
6. Use of Premises by Lessee. Lessee shall use the Premises for general office use. The
Premises shall be used only for the uses specified herein and for not for any other business or
purpose without the prior written consent of the City. No act shall be done on or around the
Premises that is unlawful or that will increase the existing rate of insurance on the Premises
or cause the cancellation of any insurance on the Premises. Lessee shall not commit or allow
to be committed any waste upon the Premises or any public or private nuisance. Lessee shall
not do or permit anything to be done on the Premises which will obstruct, cause injury or
interfere with the rights of other tenants, or occupants of the Premises or their customers,
clients and visitors.
7. Lessee Maintenance and Repair Responsibility. Lessee shall, when and if needed, at
Lessee’s sole expense, make repairs to the Premises and every part thereof; and Lessee shall
maintain the Premises in a neat, clean, sanitary condition. Lessee shall surrender the
Premises to the City in good condition upon the termination of this Lease, reasonable wear
and tear expected.
8. Signage. Lessee shall obtain the City’s written consent before installing any signs on the
Premises and shall install any approved signage at Lessee’s sole expense and in compliance
with all applicable laws. Lessee shall not damage or deface the Premises when installing or
removing signage and shall repair any damage to the Premises caused by such installation or
removal.
9. Utilities, Equipment and Services. The City shall provide the Premises with the following
services, the cost of which shall be included in the rent paid by Lessee: water, electricity, and
heating/cooling seven (7) days per week and janitorial services five (5) nights per week,
exclusive of holidays.
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 3 of 9
The Lessee shall pay the City $100 per month for internet service, payable on the first of each
month along with rent.
The City’s Technology Services department shall provide the Lessee with basic technology
support to maintain hardware equipment and software applications, such support being
performed during the City’s regular, non-holiday business hours of 8:30 a.m. to 5:00 p.m. Any
after-hours emergency callouts or mutually agreed upon project work will be billed in one-
hour increments at a flat rate of $150/hour with a minimum charge of one hour. Charges will
be invoiced upon completion of the work and will be payable within 30-days.
The City shall provide six (6) extensions to the City phone system for use by the Lessee and
will maintain the phone system at no additional cost to the Lessee. Lessee shall be
responsible for all costs associated with long distance and other toll calls which may be billed
separately by the City. Charges will be invoiced upon receipt of phone bill and will be payable
within 30-days.
On an annual basis, the Lessee shall provide an inventory list to the City detailing hardware
equipment and software utilized by the Lessee. Any hardware equipment or software
requested for purchase by the City to update the Lessee’s inventory will be billed to the Lessee
at actual cost. Any hardware equipment or software purchased by the Lessee shall be
reviewed by the City’s Technology and Innovation Service Center for system compatibility
and supportability prior to purchase and installation.
Virus checking software and that has been approved by the City’s Technology and Innovation
Service Center is mandatory on all Lessee computers, laptops and servers in use by the
Lessee. Any virus signature files released by the virus checking software company shall be set
to automatically update to keep the Lessee’s software updated to the latest version available.
A data backup program approved by the City’s Technology and Innovation Service Center is
mandatory and will be configured to automatically back up any of the Lessee’s server-based
live, primary data. Data that is stored only locally (on computers, laptops, phones, tablets)
will NOT be backed up nor monitored at the Lessee’s own risk. The performance of the
backup program will be monitored and tested on a quarterly basis by both parties.
10. Destruction of Premises. If the Premises are completely or partially destroyed by fire or
other casualty, of if they are damaged by an uninsured casualty, or by an insured casualty to
such an extent that the damage cannot be repaired within sixty (60) days of the occurrence,
the City shall have the option to restore the Premises or to terminate this Agreement on thirty
(30) days written notice, effective as of any date not more than sixty (60) days after the
occurrence. If this Section becomes applicable, the City shall advise the Lessee within thirty
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 4 of 9
(30) days after such casualty whether the City elects to restore the Premises or to terminate
this Agreement. If the City elects to restore the Premises, it shall commence and complete
the restoration work with due diligence. For the period from the date of the casualty until
completion of the repairs (or the date of termination of this Agreement, if the City elects not
to restore the Premises) the monthly base rent shall be abated in the same proportion that
the untenantable portion of the Premises bears the whole thereof, unless the casualty results
from Lessee’s negligence or its breach of obligations under this Agreement.
11. Hazardous Substances. Lessee shall not generate, release, spill, store, deposit, transport or
dispose of (collectively “Release”) any hazardous substances, sewage, petroleum products,
radioactive substances, medicinal, bacteriological, or disease-producing substances,
hazardous materials, toxic substances or any pollutants or substances defined as hazardous
or toxic in accordance with applicable federal, state and local laws and regulations in any
reportable quantities (collectively “Hazardous Substances”) in, on or about the Premises.
Lessee shall attach a separate list of Hazardous Substances they propose to store on site and
the City must accept the list in writing or Hazardous Substances cannot be stored on site. The
Lessee shall indemnify, hold harmless and defend the City from any and all claims, liabilities,
losses, damages, clean-up costs, response costs and expenses, including reasonable
attorneys’ fees, arising out of or in any way related to the Release by the Lessee or any of its
agents, representatives or employees, or to the presence of such Hazardous Substances in,
on or about the Premises occurring at any time after the effective date of this Agreement to
the full extent of the Lessee’s liability.
12. Alterations and Additions. After obtaining the prior written consent of the City, Lessee may
make, at its sole expense, such additional improvements or alterations to the Premises which
it may deem necessary or desirable. Any repairs or new construction done by Lessee shall be
done in conformity with plans and specifications approved by the City. All work performed
shall be done in a workmanlike manner and shall become the property of the City.
13. Liens. Lessee shall keep the Premises free from any liens arising out of any work performed,
materials furnished, or obligations incurred by Lessee.
14. Insurance. The Lessee shall procure and maintain for the duration of the Lease, insurance
against claims for injuries to persons or damage to property which may arise from or in
connection with the Lessee’s operation and use of the leased Premises.
a. No Limitation
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 5 of 9
The Lessee’s maintenance of insurance as required by the Lease shall not be construed to
limit the liability of the Lessee to the coverage provided by such insurance, or otherwise
limit the City’s recourse to any remedy available at law or in equity.
b. Minimum Scope of Insurance. The Lessee shall obtain insurance of the types described
below:
i. Commercial General Liability insurance shall be at least as broad as Insurance Services
Office (ISO) occurrence form CG 00 01 and shall cover premises and contractual liability.
The City shall be named as additional an insured on Lessee’s Commercial General
Liability insurance policy using ISO Additional Insured-Managers or Lessors of Premises
Form CG 20 11 or a substitute endorsement providing at least as broad coverage.
ii. Property insurance shall be written on an all risk basis.
c. Minimum Amounts of Insurance. Lessee shall maintain the following insurance limits:
i. Commercial General Liability insurance shall be written with limits no less than
$2,000,000 each occurrence, $2,000,000 general aggregate.
ii. Property insurance shall be written covering the full value of the Lessee’s property and
improvements with no coinsurance provisions.
c. Other Insurance Provisions. The Lessee’s Commercial General Liability insurance policy or
policies are to contain or be endorsed to contain that they shall be primary insurance as
respect to the City. Any insurance, self-insurance, or insurance pool coverage maintained
by the City shall be in excess of the Lessee’s insurance and shall not contribute with it.
d. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M Best
rating of not less than A: VII.
e. Verification of Coverage. Lessee shall furnish the City with original certificates and a copy
of any applicable amendatory endorsements including, but not necessarily limited to, the
additional insured endorsement evidencing the insurance requirements of the Lessee.
f. Waiver of Subrogation. Lessee and the City hereby release and discharge each other from
all claims, losses, and liabilities arising from or caused by any hazard covered by property
insurance on or in connection with the Premises or said building. This release shall apply
only to the extent that such claim, loss or liability is covered by insurance.
g. City’s Property Insurance. The City shall purchase and maintain during the term of this
Lease, all-risk property insurance covering the Building for full replacement value without
any coinsurance provisions.
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 6 of 9
h. Notice of Cancellation. The Lessee shall provide the City with written notice of any policy
cancellation, within two (2) business days of receiving such notice.
i. Failure to Maintain Insurance. Failure on the part of the Lessee to maintain the required
insurance shall constitute a material breach of this Lease upon which the City may, after
giving five (5) business days notice to the Lessee to correct the breach, terminate this Lease
or, at its discretion, procure or renew such insurance and pay and all premiums in
connection therewith, with any sums so expended to be repaid to the City on demand.
j. City Full Availability of Lessee Limits. If the Lessee maintains higher insurance limits than
the minimums shown above, the City shall be insured for the full available limits of
Commercial General and Excess or Umbrella liability maintained by the Lessee, irrespective
of whether such limits maintained by the Lessee are greater than those required by this
Lease or whether any certificate of insurance furnished to the City evidence limits of liability
lower than those maintained by the Lessee.
15. Indemnification and Hold Harmless. Lessee shall defend, indemnify, and hold harmless the
City, its officers, officials, employees and volunteers from and against any and all claims,
suits, actions, or liabilities for injury or death of any person, or for loss or damage to property,
which arises out of Lessee’s use of Premises, or from the conduct of Lessee’s business, or from
any activity, work or thing done, permitted, or suffered by Lessee in or about the Premises,
except only such injury or damage as shall have been occasioned by the sole negligence of
the City. It is further specifically and expressly understood that the indemnification provided
herein constitutes the Lessee's waiver of immunity under Industrial Insurance, Title 51 RCW,
solely for the purposes of this indemnification. This waiver has been mutually negotiated and
agreed to by the Lessee and City. The provisions of this section shall survive the expiration or
termination of this Lease.
16. Assignment and Subletting. Lessee shall not assign this Lease or sublet any portion of the
Premises. Any sublease or assignment made in violation of this provision shall be void.
17. Default. Failure by Lessee to observe or perform any of the covenants, conditions or
provisions of this Lease, where such failure shall continue for a period of ten (10) days after
written notice from the City to cure the default, shall constitute a default and breach of this
Lease. Lessee shall notify the City promptly of any default not by its nature necessarily known
to the City.
18. Access. After reasonable notice from the City (except in the cases of emergency where no
notice is required) the Lessee shall permit the City and its agents, employees and contractors
to enter the Premises at all reasonable times to make repairs, alterations, improvements or
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 7 of 9
inspections. This section shall not impose any repair or other obligation upon the City not
expressly stated elsewhere in this Agreement.
19. Compliance with Laws, Rules and Regulations. Lessee shall, at its sole cost and expense,
promptly comply with all laws, statutes, ordinances and governmental rules, regulations or
requirements now in force or which may hereafter be in force relation to or affecting the
conditions, use, or occupancy of the leased premises. Lessee shall faithfully observe and
comply with City rules and regulations.
20. Permits. Lessee shall, at its sole cost and expense, be responsible for obtaining any required
permits and licenses necessary to perform the work and covenants of this Lease.
21. Notices. All notices under this Lease shall be in writing and shall be effective when mailed by
certified mail or delivered to the addresses listed below.
Notices to Lessor shall be sent to:
City of Tukwila
ATTN: Mayor’s Office
6200 Southcenter Boulevard
Tukwila WA 98188
Notices to Lessee shall be sent to:
Sound Cities Association
ATTN: Deanna Dawson, Executive Director
6300 Southcenter Blvd, Suite 206
Tukwila WA 98188
22. Termination. Either party may terminate this Agreement if the other party is in default as
outlined in Section 17 or at any time on or before the expiration of this Lease by providing a
minimum of thirty (30) days written notice to the other party.
23. Applicable Law; Venue: Attorneys’ Fees. This Agreement shall be governed by and
construed in accordance with the laws of the State of Washington. In the event any suit,
arbitration, or other proceeding is instituted to enforce any term of this Agreement, the
parties specifically understand and agree that venue shall be in King County, Washington.
The prevailing party in any such action shall be entitled to its attorneys’ fees and costs of suit.
24. Authority of Lessee. The Lessee and the individual executing this Lease on behalf of the
Lessee represent and warrant that s/he is duly authorized to execute and deliver this Lease
and upon execution this Lease is binding upon the Lessee in accordance with the terms
herein.
25. Waiver and Forbearance. No waiver by the City of any breach or default by the Lessee of any
of its obligations or covenants herein shall be deemed to be a waiver of any subsequent
breach or default of the same or any other obligation or covenant, nor shall forbearance by
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 8 of 9
the City to seek remedy for any break or default of the Lessee be deemed a waiver by the City
of its rights and remedies with respect to such breach or default.
26. Entire Agreement - Modification. This Lease Agreement together with all exhibits or
addenda expressly incorporated herein by reference and attached hereto shall constitute the
whole agreement between the parties. There are no terms, obligations, covenants or
conditions other than those contained herein. Except as otherwise provided, no modification
or amendment of this Lease Agreement shall be valid or effective unless evidenced by an
agreement in writing signed by both parties.
27. Severability and Survival. If any term, condition or provision of this Lease is declared void
or unenforceable or limited in its application or effect, such event shall not affect any other
provisions hereof and all other provisions shall remain fully enforceable.
CITY OF TUKWILA
By: _____________________________
Allan Ekberg
Mayor
SOUND CITIES ASSOCIATION
By: __________________________________
Deanna Dawson
Executive Director
Attest:
By: ___________________________
Christy O’Flaherty, City Clerk
Approved as to form:
By: __________________________
City Attorney
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City of Tukwila Agreement Number:
6200 Southcenter Boulevard, Tukwila WA 98188
Sound Cities Association 2021-2022 Lease Agreement Page 9 of 9
STATE OF WASHINGTON )
) ss.
COUNTY OF KING )
I certify that I know or have satisfactory evidence that Allan Ekberg is the person who
appeared before me, and said person acknowledged that he signed this instrument, on oath stated
that he was authorized to execute the instrument and acknowledged it as the Mayor of the City of
Tukwila to be the free and voluntary act of such party for the uses and purposes mentioned in the
instrument.
Dated this ____ day of _______________, 2021.
(Print Name)
Residing at
[Stamp or Seal] My appointment expires
STATE OF WASHINGTON )
) ss.
COUNTY OF KING )
I certify that I know or have satisfactory evidence that Deanna Dawson is the person who
appeared before me, and said person acknowledged that she signed this instrument, on oath stated
that she was authorized to execute the instrument and acknowledged it the Executive Director of
Sound Cities Association to be the free and voluntary act of such party for the uses and purposes
mentioned in the instrument.
Dated this ____ day of _______________, 2021.
Notary Public for Washington
(Printed or Stamped Name of Notary)
Residing at
[Stamp or Seal] My appointment expires:
11
12
City of Tukwila
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO: Finance Committee
FROM: Vicky Carlsen, Finance Director
BY: Aaron Williams, Fiscal Coordinator
CC: Mayor Ekberg
DATE: December 14, 2020
SUBJECT: Sales Tax & Misc. Revenues – 3rd Quarter 2020
Year Over Year Sales Tax Comparison:
The global COVID-19 pandemic began impacting businesses and city revenues late in the first quarter. By the
end of March many businesses were closed due to the stay home orders.
Through September sales taxes are $2.7M behind the total collected for the same period of the prior year.
Industries such as retail trade and services (incl. restaurants) have been significantly impacted, accounting for
the majority of the total decline. At the same time, construction sales taxes have remained strong and exceed
the same period of the prior year by $332k.
13
INFORMATIONAL MEMO
Page 2
Budget to Actual Sales Tax Comparison:
The 2020 adopted budget for sales taxes is $19.911 million, which is nearly equal to total collections for 2019.
This budget has been revised to reflect a $7.6M anticipated impact from the COVID-19 pandemic; for a total
adjusted budget of $12.3M.
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INFORMATIONAL MEMO
Page 3
The chart above compares the prior year-to-date totals to the current year-to-date totals for the eight major
categories of sales tax. Construction sales taxes are up $332k which is helping offset declines in other
categories.
The decline in Automotive is related to one-time revenues received in 2019.
Retail Trade and Services were the hardest hit categories from the economic shutdowns and reflect a combined
$2.6M decline from the prior year.
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INFORMATIONAL MEMO
Page 4
Traditionally the top three categories have been (452) General Merchandise, (722) Food Services and (448)
Clothing & Accessories. During the ongoing pandemic and the mandated economic shut-downs, many of these
businesses experienced significant declines in taxable sales. Construction of Builidngs has been performing
strong and is currently in the top position with nearly $1.4M in taxes collected year-to-date.
The chart above shows the ten largest declines compared to the prior year.
Many of these categories were directly impacted by the economic shutdowns and changes to consumer
shopping habits. The decline in the Motor Vehicle and Parts Dealer category is related to one-time revenues
received in 2019 from bus deliveries.
16
INFORMATIONAL MEMO
Page 5
YTD YTD
NAICS CONSTRUCTION 19 TOTAL 19 YTD 20 YTD % Diff NAICS AUTOMOTIVE 19 TOTAL 19 YTD 20 YTD % Diff
236 Construction of Buildings 1,670,033 1,084,953 1,366,417 25.9% 441 Motor Vehicle & Parts Dealer 963,914 822,042 341,939 -58.4%
237 Heavy & Civil Construction 89,166 50,102 81,323 62.3% 447 Gasoline Stations 99,694 74,536 77,320 3.7%
238 Specialty Trade Contractors 459,712 343,364 362,391 5.5%TOTAL AUTOMOTIVE 1,063,607$ 896,578$ 419,259$
TOTAL CONSTRUCTION 2,218,910$ 1,478,420$ 1,810,131$ ($477,319) -53.2%
331,711$ 22.4%
NAICS RETAIL TRADE 19 TOTAL 19 YTD 20 YTD % Diff
YTD 442 Furniture & Home Furnishings 565,878 415,360 358,788 -13.6%
MANUFACTURING 19 TOTAL 19 YTD 20 YTD % Diff 443 Electronics & Appliances 1,149,541 771,021 567,897 -26.3%
311 Food Manufacturing 26,862 20,206 17,135 -15.2% 444 Building Material & Garden 835,211 634,721 752,984 18.6%
312 Beverage & Tobacco Products 12,837 9,661 7,005 -27.5% 445 Food & Beverage Stores 311,945 231,615 216,982 -6.3%
313 Textile Mills 130 27 1,620 5823.5% 446 Health & Personal Care 274,638 190,037 132,283 -30.4%
314 Textile Product Mills 11,628 9,626 6,627 -31.2% 448 Clothing & Accessories 1,996,280 1,397,686 734,064 -47.5%
315 Apparel Manufacturing 367 300 666 121.8% 451 Sporting Goods, Hobby, Books 508,525 361,269 283,167 -21.6%
316 Leather & Allied Products 73 41 154 272.0% 452 General Merchandise Stores 2,167,481 1,541,520 1,250,514 -18.9%
321 Wood Product Manufacturing 3,105 1,984 31,162 1470.9% 453 Miscellaneous Store Retailers 857,091 607,160 572,800 -5.7%
322 Paper Manufacturing 22,299 16,281 14,336 -11.9% 454 Nonstore Retailers 137,655 92,654 143,425 54.8%
323 Printing & Related Support 25,202 15,423 21,545 39.7%TOTAL RETAIL TRADE 8,804,245$ 6,243,042$ 5,012,907$
324 Petroleum & Coal Products 103 83 31 -63.0%($1,230,136) -19.7%
325 Chemical Manufacturing 4,124 3,544 2,550 -28.0%
326 Plastic & Rubber Products 4,068 3,326 2,746 -17.4%YTD
327 Nonmetallic Mineral Products 5,827 4,823 7,155 48.4%SERVICES 19 TOTAL 19 YTD 20 YTD % Diff
331 Primary Metal Manufacturing 872 726 207 -71.4% 51X Information 988,506 747,961 469,239 -37.3%
332 Fabricated Metal Mfg Products 6,122 4,223 4,960 17.5% 52X Finance & Insurance 65,075 46,897 79,040 68.5%
333 Machinery Manufacturing 4,188 3,581 3,007 -16.0% 53X Real Estate, Rental, Leasing 707,128 518,207 501,481 -3.2%
334 Computer & Electronic Products 14,628 10,458 10,593 1.3% 541 Professional, Scientific, Tech 704,072 426,353 510,473 19.7%
335 Electric Equipment, Appliances 18,412 13,293 19,079 43.5% 551 Company Management 53 53 0 0.0%
336 Transportation Equipment Mfg 41,256 36,431 3,329 -90.9% 56X Admin, Supp, Remed Svcs 325,783 236,976 233,758 -1.4%
337 Furniture & Related Products 7,015 5,730 3,388 -40.9% 611 Educational Services 5,953 4,635 3,627 -21.7%
339 Miscellaneous Manufacturing 29,576 18,244 16,281 -10.8% 62X Health Care Social Assistance 85,567 54,353 58,803 8.2%
TOTAL MANUFACTURING 238,694$ 178,010$ 173,577$ 71X Arts & Entertainment 314,765 243,698 79,899 -67.2%
($4,434) -2.5%721 Accommodation 744,823 585,862 195,973 -66.5%
722 Food Services, Drinking Places 2,080,421 1,551,243 952,284 -38.6%
YTD 81X Other Services 227,568 176,460 109,796 -37.8%
TRANSPORTATION & WAREHOUSING 19 TOTAL 19 YTD 20 YTD % Diff 92X Public Administration 14,275 10,722 12,787 19.3%
481 Air Transportation 0 0 -2,482 0.0%TOTAL SERVICES 6,263,989$ 4,603,419$ 3,207,159$
482 Rail Transportation 46 42 88 110.0%($1,396,260) -30.3%
483 Water Transportation 305 279 152 -45.4%
484 Truck Transportation 1,916 1,419 1,556 9.7%
485 Transit and Ground Passengers 859 671 448 -33.3%YTD
487 Scenic and Sightseeing Tran 1,338 1,076 197 -81.7%MISCELLANEOUS 19 TOTAL 19 YTD 20 YTD % Diff
488 Transportation Support 55,956 36,779 104,176 183.2% 000 Unknown 0 0 0 0.0%
491 Postal Services 797 613 526 -14.3% 111-115 Agriculture, Forestry, Fishing 1,991 506 521 3.0%
492 Couriers & Messengers 2,494 1,738 1,441 -17.1% 211-221 Mining & Utilities 1,235 821 340 -58.6%
493 Warehousing & Storage 1,845 1,482 3,396 129.1% 999 Unclassifiable Establishments 104,627 86,425 128,557 48.8%
TOTAL TRANSP & WHSING 65,555$ 44,100$ 109,498$ MISCELLANEOUS TOTAL 107,853$ 87,752$ 129,418$
$65,398 148.3%$41,666 47.5%
YTD
WHOLESALE TRADE 19 TOTAL 19 YTD 20 YTD % Diff
423 Whls Trade-Durable Goods 987,675 729,539 664,348 -8.9%YTD
424 Whls Trade-Nondurable Goods 163,323 119,711 110,703 -7.5%19 TOTAL 19 YTD 20 YTD % Diff
425 Wholesale Electronic Markets 2,609 2,219 2,028 -8.6%GRAND TOTALS $19,916,461 $14,382,791 $11,639,027
WHOLESALE TRADE TOTAL 1,153,607$ 851,470$ 777,079$ ($2,743,764) -19.08%
($74,391) -8.7%($3,075,475) -23.83%Grand Total Change from Previous Year - Without New Construction
Overall Miscellaneous Change from Previous Year
Overall Services Change from Previous Year
Overall Wholesale Change from Previous Year
Overall Construction Change from Previous Year
Overall Automotive Change from Previous Year
Overall General Retail Change from Previous Year
Overall Manufacturing Change from Previous Year
Overall Transportation Change from Previous Year
Grand Total Change from Previous Year
SALES TAX SUMMARY
JAN-SEPT 2020 Sales Taxes (Received in Mar-Nov '20)
17
INFORMATIONAL MEMO
Page 6
Gambling, Admission and Telecommunications Tax revenue totals in the charts below reflect the quarter in
which the economic activity occurred (accrual basis) as opposed to when the revenue is received (cash basis).
The budgets for Gambling and Admissions Taxes were revised down based on the anticipated impacts of the
economic shutdowns related to the ongoing pandemic.
The Telecommunications Utility Tax was not anticipated to have measurable impacts related to the coronavirus
pandemic; this tax has been on a downward trend over the past few years. The trend is reflective of consumer
preferences and changes in the communications industry.
(a) Gambling tax includes card games, punch boards, pull tabs and amusement games.
(b) Telecommunications Utility tax includes cellular, pager and telephone usage.
(c) Actuals reflected in Schedules IV, V and VI are amounts earned for the quarter.
18
Tukwila City Council Finance Committee – 2020 Work Plan
1 City of Tukwila Updated December 8, 2020
Verna Seal, Chair; Kathy Hougardy, Zak Idan
Description Qtr Dept Action or
Briefing Status/Notes
1. ORCA Business Passport Program 1 HR A Complete
2. City Attorney Service Proposals 1 Mayor A Complete
3. 42nd Avenue South Bridge Replacement funding strategy 1 PW A Complete
4. Dell Laptop Refresh Contract 1 TIS A Complete
5. Tukwila Heritage & Cultural Center grant application 1 ED A Complete
6. Financial Impacts from COVID-19 emergency 1-2 FIN A Ongoing – Bimonthy reporting to COW
7. 42nd Avenue South Bridge Replacement Funding 1 FIN A Complete
8. Contract: Employee Laptop Refresh 1 TIS A Complete
9. Budget Software Purchase 1 FIN A Complete
10. City Attorney Service Proposals 1 MO A Complete
11. Non-represented employee compensation study 2 HR B On hold
12. Agreement: Coronavirus Relief Funds 2 FIN A Complete
13. Ordinance: Reissuing LTGO Bonds 2 FIN A Complete
14. Replacement financial software system 2 FIN A Complete
15. Contract: Facility Study 2 FIN A Complete – did not advance past COW
16. False Alarm Fees Update 3 FIN A Complete
17. City Revenue Guide 3 FIN B Complete
18. Resolution: Police Department Change Fund 3 PD A Complete
19. Resolution: Video Redaction Fee 3 PD A Complete
20. Resolution cancelling uncollectible accounts 3 FIN A Complete
21. Resolution cancelling unclaimed property 3 FIN A Complete
22. Contract: Internet Services 3 TIS A Complete
23. Resolution: Fingerprint Fees 3 PD A Complete
24. Land Acknowledgement Practice 4 CNCL A Complete
25. 2021-2022 Budget Components: Healthcare/Leoff,
Mayor, Council, HR, Finance, TIS, Special Revenues 3-4 Multiple A Budget components handled in work sessions this
year
26. Regular Budget Process check-ins 3-4 FIN B Complete
27. Resolution: Purchasing policy 4 FIN A Complete
28. Resolution: Financial Policies 4 FIN A Complete
29. Fleet funding Update 4 FIN B Part of Budget Process; Complete
30. Resolution: Discontinue pay reduction/furlough for non-
reps 4 FIN A Complete
31. D-20 Financial Framework Update 4 FIN A Part of Budget process
1
9
Tukwila City Council Finance Committee – 2020 Work Plan
2 City of Tukwila Updated December 8, 2020
32. Budget Amendments 4 FIN A Complete
33. 2021-2022 Budget Adoption 4 FIN A Complete
34. Property Tax Legislation 4 FIN A Complete
35. Newporter land sale ED A Postponed to 2021
36. Longacres Parcel land sale ED A Postponed to 2021
37. Travelers Choice land sale ED A Postponed to 2021
38. Cloud PBX Phone System TIS A Postponed to 2021
39. City-wide Fee Schedule FIN B Postponed to 2021
40. Investment Policy FIN A Postponed to 2021
41. Debt policy FIN A Postponed to 2021
42. Public Records Requests Impacts Clerk B Postponed to 2021
Standard Reports/Briefings Frequency Dept.
Revenue and Investment Reports Quarterly FIN
Department Budget to Actual Reports Monthly FIN
Committee work plan 2-4 x Council
Public Safety Bond Financial Oversight Committee Report(s) 10/12 Complete
Fire Department Budget Proviso reporting requirements Report presented 2/24; 5/28
2
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