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Home My WebLink AboutFIN 2021-09-27 COMPLETE AGENDA PACKETCity of Tukwila Finance and Governance Committee O Zak Idan, Chair O Kathy Hougardy O Cynthia Delostrinos Johnson AGENDA Distribution: Z. Idan K. Hougardy C. Delostrinos Johnson K. Kruller V. Seal D. Quinn T. McLeod Mayor Ekberg D. Cline R. Bianchi C. O'Flaherty A. Youn L. Humphrey MONDAY, SEPTEMBER 27, 2021 — 5:30 PM HAZELNUT CONFERENCE ROOM (At cast cntrancc 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 973303373# Click here to: Join Microsoft Teams Meeting For Technical Support during the meeting call: 1-206-433-7155 Item Recommended Action 1. BUSINESS AGENDA a. Appointment of Municipal Court Judge. a. Forward to 10/4 Regular Pg.1 Mayor Allan Ekberg Meeting. b. SCORE update and possible request for ARPA (American b. Discussion only. Rescue Plan Act) funds. Devon Schrum, Executive Director, SCORE Vicky Carlsen, Finance Director c. A resolution authorizing the cancellation of outstanding c. Forward to 10/4 Consent P9.9 General Fund claims and payroll checks and Municipal Agenda. Court checks. Cindy Wilkins, fiscal Specialist d. A resolution ordering the cancellation of past due d. Forward to 10/4 Consent Pg.17 accounts receivable. Agenda. Cindy Wilkins, Fiscal Specialist e. Monthly General Fund update. e. Discussion only. Pg.23 Tony Cuilerton, Deputy Finance Director 2. MISCELLANEOUS Next Scheduled Meeting: October 11, 2021 S. The City of Tukwila strives to accommodate individuals with disabilities. Please contact the City Clerk's Office at 206-433-1800 (TukwilaCityClerk@TukwilaWA.gov) for assistance. TO: City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM FINANCE COMMITTEE FROM: Mayor Ekberg David Cline, City Administrator DATE: September 21, 2021 SUBJECT: Reappointment of Municipal Court Judge ISSUE The term of office for Judge Kimberly Walden will expire at the end of this year and it is my intent to appoint Judge Walden for an additional 4 -year term commencing January 1, 2022. The Tukwila Municipal Code (TMC) 2.68.026 and the Revised Code of Washington (RCW) stipulate that the judge's salary shall be fixed by ordinance. BACKGROUND Judge Walden was first appointed to the Tukwila Municipal Court in 2003 and has served Tukwila since then. DISCUSSION Judge Walden has served admirably as the Tukwila Municipal Court Judge. Under her leadership the Court has implemented several innovative programs including the Jail Alternatives Program, a proactive Community Resource Center and several cost-cutting and efficiency producing procedures. An ordinance fixing the judge's salary is attached for your review maintaining the Judge's position as a .90 FTE with the salary set at .90 of the salary set for District Court Judges in the Salary Schedule adopted by the Washington Citizens' Commission on Salaries for Elected Officials adopted on an annual basis. Holidays and Healthcare/Dental benefits would also be prorated at 90%. RECOMMENDATION The Council is being asked to consider this item at the October 4, 2021 Regular meeting. ATTACHMENTS Draft Ordinance MOU 1 2 DRAFT AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, REPEALING ORDINANCE NOS. 2558 AND 2420, AS CODIFIED AT TUKWILA MUNICIPAL CODE (TMC) SECTION 2.68.026; AMENDING ORDINANCE NO. 2261 §2, AS CODIFIED AT TMC SECTION 2.68.026, REGARDING THE SETTING OF SALARY FOR THE MUNICIPAL COURT JUDGE; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City requires the services of a Municipal Court Judge who is appointed to a four-year term; and WHEREAS, the current Municipal Court Judge will be reappointed to a term commencing January 1, 2022, under the Contract for Municipal Court Judge Services (MOU), attached hereto as Exhibit A; and WHEREAS, pursuant to RCW 3.50.080 and Tukwila's Municipal Code, the salary of the Municipal Court Judge shall be fixed by ordinance; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Repealer. Ordinance Nos. 2558 and 2420, as codified at Tukwila Municipal Code Section 2.68.026, are hereby repealed in their entirety. Section 2. Ordinance Amended. Ordinance No. 2261 §2, as codified at Tukwila Municipal Code Section 2.68.026, is hereby amended to read as follows: 2.68.026 Municipal Judge Salary The salary of the Municipal Court Judge shall be set at the rate of 90% of the District Court Judges Salary as set by the Salary Schedule adopted by the Washington Citizens' Commission on Salaries for Elected Officials on an annual basis. CC: Legislative Development\Municipal Court Judge salary strike-thru 9-15-21 CT:bjs Page 1 of 2 3 Section 3. 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 4. 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 5. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2021. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Allan Ekberg, Mayor APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: Office of the City Attorney Attachment: Exhibit A — Contract for Municipal Court Judge Services (MOU) CC: Legislative Development\Municipal Court Judge salary strike-thru 9-15-21 CT:bjs 4 Page 2 of 2 City of Tukwila Allan Ekberg, Mayor Mayor's Office - David Cline, City Administrator MEMORANDUM OF UNDERSTANDING TO: Honorable Kimberly Walden, Municipal Court Judge FROM: Allan Ekberg, Mayor DATE: September 21, 2021 RE: Term of Appointment as Tukwila Municipal Court Judge This Memorandum of Understanding will confirm your appointment as the Municipal Court Judge for the City of Tukwila for the period from January 1, 2022 through December 31, 2025 and is pursuant to judicial and legal mandates governing such appointments (RCW 3.50.040 and TMC 2.68). The following wages and benefits are provided to you effective January 1, 2022, during the term of your appointment: WAGE: Salary set at 90% of the District Court Judges Salary as set in the Salary Schedule adopted by the Washington Citizens' Commission on Salaries for Elected Officials on an annual basis. The current schedule, adopted on February 3, 2021 is attached hereto as Exhibit A. All taxes, social security and related deductions shall be made from your wages. BENEFITS: General Leave: You are entitled to accrue a general leave bank to use for sick leave and/or vacation, as you deem appropriate. This general leave shall accrue at the rate of 12 hours per month to a maximum accrual of 96 hours. Any hours over 96 that are not used are defaulted back to the City. Upon the ending of your appointment, any leave hours, up to a maximum of 96 hours will be paid off at the rate of $70.00 per hour. Holidays: You shall be entitled to the same holidays as the Non -Represented Employee group, paid at a prorated rate of 90% commensurate with your hours on the bench. Healthcare/Dental: You have the option of participating in the City of Tukwila Medical/Dental self-insured plan, Kaiser Permanente or waiving this benefit. The City will pay 90% of the premium for you and your dependents. Payments by you will be a minimum of 10% and may be higher if the Kaiser plan is selected and premiums are higher than the City's self-insured plan. Your share of the premium will be made by payroll deduction. Please sign the attached Personnel Action Form (PAF) and the bottom of this memorandum to indicate agreement. Agreed to this day of October, 2021. Allan Ekberg, Mayor Kimberly Walden, Judge Tukwila City Hall • 6200 Southcenter Boulevard • Tukwila, WA 98188 • 206-433-1800 • Website: TukwilaWA.gov 5 6 MOU Exhibit A «CCSE0 Washingtnn Citizens' Can nissiun LID 5ul-uri%c fpr Ekcctaci, Officials 2021 and 2022 Salary Schedule Adopted February 3, 2021 Judicial Branch Position Current Salary Salary Effective Salary Effective 7/1/2021 7/1/2022 Supreme Court Chief 223,499 223,499 227,410 Justice Supreme Court Justices 220,320 220,320 224,176 Court of Appeals Judges 209,730 209,730 213,400 Superior Court Judges 199,675 199,675 203,169 District Court Judges 190,120 190,120 193,447 7 8 City of Tukwila INFORMATIONAL MEMORANDUM TO: Finance Committee FROM: Vicky Carlsen, Finance Director BY: Cindy Wilkins — Fiscal Specialist CC: Mayor Ekberg DATE: September 27, 2021 Allan Ekberg, Mayor SUBJECT: 2021 Reporting of Abandoned Property to the Washington State Department of Revenue Unclaimed Property Section ISSUE Annual write-off of outstanding and unredeemed accounts payable and payroll claims. BACKGROUND Each year by November 1st, the City of Tukwila reports abandoned or unclaimed property that is owed either to individuals or business vendors to the Washington State Department of Revenue Unclaimed Property Section and removes these items from the accounting records. All local governments are required to report unclaimed property except unclaimed restitution. Normal restitution is then reported each year by the County Treasurer to the State Treasurer. Current Finance Department policy dictates that all abandoned or unclaimed property be reported annually to the Washington State Department of Revenue Unclaimed Property Section through the Council approved resolution process. DISCUSSION For the 2021 unclaimed property report year, reporting of abandoned or unclaimed property totals $5,713.77 comprised of General Fund Accounts, payable Claims checks, Payroll checks and Court checks. To the extent possible, those individuals and businesses with unclaimed accounts payable claims and payroll checks have been notified by the City through "good faith" effort of being mailed due diligence letters. These individuals and businesses have either not responded to the due diligence notifications and/or cannot be located in order to claim their property. One of the largest contributors to Unclaimed Property are juror reimbursement checks. To help reduce unclaimed property, a member from Finance is reimbursing jurors from a petty cash fund in the courtroom prior to the start of the trial. Checks are no longer being issued for reimbursement. RECOMMENDATION The Council is being asked to approve the Resolution declaring the cancellation of unclaimed General Fund accounts payable claims and consider these items on the Consent Agenda at the October 4, 2021 Regular Council Meeting. ATTACHMENTS Proposed Draft Resolution 2020 Unclaimed Property Summary Detail Report. 9 10 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AUTHORIZING THE CANCELLATION OF OUTSTANDING GENERAL FUND CLAIMS AND PAYROLL CHECKS AND MUNICIPAL COURT CHECKS. WHEREAS, the State of Washington, Department of Revenue Unclaimed Property Section, for the reporting on year 2020, requires a one-year dormancy period for outstanding claims and payroll checks issued from the General Government Fund and a two-year dormancy period for Municipal Court checks; and WHEREAS, the City of Tukwila Finance Department has made all reasonable attempts to resolve the outstanding, unredeemed General Fund claims and payroll checks and Municipal Court checks; and WHEREAS, the City Council of the City of Tukwila wishes to cancel all outstanding, unclaimed General Fund claims and payroll checks and Municipal Court checks issued prior to July 1, 2020, and Municipal Court checks issued prior to July 1, 2019; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: The Tukwila City Council authorizes the cancellation of General Fund and payroll checks and Municipal Court checks as detailed on Attachment A, the 2021 Unclaimed Property Summary Report. W:\Word Processing\Resolutions\Cancellation of outstanding claims and checks 9-20-21 CW:bjs Review and analysis by Barbara Saxton Page 1 of 2 11 PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2021. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Kate Kruller, Council President APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Resolution Number: Office of the City Attorney Attachment A: 2021 Unclaimed Property Summary Report (07/20/2019 — 06/30/2020) W:\Word Processing\Resolutions\Cancellation of outstanding claims and checks 9-20-21 CW:bjs Review and analysis by Barbara Saxton Page 2 of 2 12 Attachment A - 2021 Unclaimed Property Summary Report Reporting Period: 07/20/2019 - 6/30/2020 Accounts Payable Check # Date Vendor Description DEPT GL CODE Invoice Inv. Date Amount Paid 382873 01/06/2020 006921 COMPLETE OFFICE OFFICE SUPPLIES FIN 000.05.514.230.35.00 1916769-0 12/26/2019 610.19 380767 04/22/2019 008122 WA ST ASSN OF PERMIT REG FEE DCD 000.08.558.600.49.00 4221935 04/15/2019 240.00 382815 12/23/2019 020072 LUN PIEPER INTERPRETER FEE CRT 000.09.512.500.41.03 12231906 11/13/2019 37.50 383479 03/16/2020 020328 JENNIFER P OLSON WITNESS FEE CRT 000.09.512.500.41.03 3062008 02/26/2020 18.63 381749 08/19/2019 019856 SAINI SAHIL WITNESS FEE CRT 000.09.512.500.49.00 8191967 07/24/2019 12.55 382044 09/23/2019 019952 SYLVIA SALMERON WITNESS FEE CRT 000.09.512.500.49.04 9231928 08/28/2019 11.16 382231 10/21/2019 020029 DEBORAH GIVENS WITNESS FEE CRT 000.09.512.500.49.04 6051741 09/25/2019 22.53 382441 11/18/2019 020079 ADRIANA V CRUZ WITNESS FEE CRT 000.09.512.500.49.04 11181902 10/30/2019 13.13 382871 01/06/2020 020201 CHRISTOPHER KEVIN CL WITNESS FEE CRT 000.09.512.500.49.04 12311940 12/18/2019 11.74 382096 10/07/2019 019459 BRETT HARTMAN REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -1861 09/19/2019 600.00 381573 08/05/2019 019837 KELLY FRANCIS REFUND CAMP TUKWILLY TCC 000.213.100 PYMT31411 07/23/2019 175.00 381700 08/19/2019 019772 ANGIE HERNANDEZ-BAQ REFUND - TCC CLASS TCC 000.213.100 PYMT33911 06/24/2019 100.00 381843 09/03/2019 019934 MCDONALDS REFUND -SECURITY DEPOSIT TCC 000.213.100 17975 08/16/2019 100.00 381881 09/03/2019 019941 CANDACE TINIFU REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -3271 08/27/2019 10.00 381892 09/03/2019 019947 DEVINA WEAFER REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -3182 08/26/2019 100.00 382672 12/16/2019 020135 PAIGE JONES REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -3210 12/10/2019 200.00 383182 02/03/2020 020224 JULIANA REYES REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -3974 01/10/2020 500.00 383185 02/03/2020 020223 RV WANG CHRISTIAN CH REFUND -SECURITY DEPOSIT TCC 000.213.100 FA -0808 01/10/2020 200.00 383284 02/18/2020 020276 RUDY OLSON REFUND -CASINO TRIP TCC 000.213.100 INV35676 02/06/2020 40.00 383569 04/06/2020 020392 MARIAM ALI REFUND - CLASS TCC 000.213.100 PYMT51036 03/13/2020 48.88 383735 05/04/2020 020400 LATEIKA DALE REFUND - CLASS TCC 000.213.100 PYMT-52106 04/10/2020 37.50 383744 05/04/2020 020412 RAYMOND GUZMAN REFUND - CLASS TCC 000.213.100 PYMT-51985 04/10/2020 37.50 384059 06/22/2020 020492 TALON SWANSON REFUND - RENTAL FEE TCC 000.213.100 FA -3775 06/12/2020 160.00 W -attachment A - 2021 Unclaimed Property Summary Report Reporting Period: 07/20/2019 - 6/30/2020 382742 381469 381494 381527 381537 381946 381958 381977 12/17/2019 07/22/2019 07/22/2019 07/22/2019 07/22/2019 09/16/2019 09/16/2019 09/16/2019 016070 ALLIED RESIDENTIAL 019778 TSEHAY HAILE 019777 JOSE & MANDEE MONTE 019793 UNITED SOURCE LLC 019799 STEVE & LINN WEDE 019964 STEPHEN KOURI 019972 DUNG NGUYEN 019986 THONGCHAIRAWEEWAT REFUND -SECURITY DEPOSIT REFUND SURFACE WATER REFUND SURFACE WATER REFUND SURFACE WATER REFUND SURFACE WATER REFUND SURFACE WATER REFUND SURFACE WATER REFUND SURFACE WATER TCC PWM PWM PWM PWM PWM PWM PWM 000.237.104 400.257.100 400.257.100 400.257.100 400.257.100 400.257.100 400.257.100 400.257.100 5833 Ref000909547 Ref000909546 Ref000909562 Ref000909568 Ref000921833 Ref000921841 Ref000921855 11/29/2017 07/12/2019 07/12/2019 07/12/2019 07/12/2019 09/05/2019 09/06/2019 09/06/2019 200.00 602.46 619.30 173.27 100.00 99.82 88.17 87.19 382140 10/07/2019 020027 TERRY PLUMB STORM 0/P PWM 412.361.400.00.00 00-4000-0680 09/27/2019 6.49 AP Total: $ 5,263.01 Attachment A - 2021 Unclaimed Property Summary Report Reporting Period: 07/20/2019 - 6/30/2020 Payroll Check # Date Paid to Pay Period Dates Amount 535942 09/20/2019 KALNASY, REBECCA 09/01/19 - 09/15/19 14.02 535945 09/20/2019 MOELLER, CHRISTINA 09/01/19 - 09/15/19 50.81 535953 09/20/2019 BORDEN, JOHN 09/01/19 - 09/15/19 Payroll Total: 69.90 536161 12/20/2019 STEPHENSON, ARTHUR 12/01/19 - 12/15/19 2.37 536185 01/03/2020 KAUFFMAN, SCOTT 12/16/19 - 12/31/19 59.56 54.00 $ 250.66 536299 03/05/2020 BASKIN, TOMAZ 02/16/20 - 02/29/20 Court Type Date Payee Name Amount Bail Refund Misc Trust Misc Trust 04/04/2019 11/30/2018 01/30/2019 Pena, Luis David 150.00 0.10 50.00 Court Total: $ 200.10 Payor Unknown Clukey, Ethan Unclaimed Property Total: 5,713.77 16 City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Finance Committee FROM: Vicky Carlsen, Finance Director BY: Cindy Wilkins — Fiscal Specialist CC: Mayor Ekberg DATE: September 9/27/2021 SUBJECT: Cancellation of Accounts Receivable Updated after the Finance Committee Meeting on Monday, September 27, 2021 ISSUE Each year a resolution comes before the Council for the cancellation of uncollectable accounts receivable. For 2021, these items include: False Alarms equaling $3,950.00, Miscellaneous Billings equals $1,542.03 for a grand total of $5,492.03. BACKGROUND The process for tracking accounts receivable is quite thorough. The steps below are followed prior to preparation of the attached write-off resolution. • Invoice is sent to the recipient by the Finance Department payable in 30 days. • If payment is not received within 30 days, the receivable is forwarded to our collection agency, Armada Corp., and placed into pre -collect status. • At this time, Armada sends a Delinquency Notice to debtor notifying them of the past -due status of the receivable and asks them to contact the City to make payment. Payments can still be made directly to the City while in pre -collect status. • Once 30 days has passed in pre -collect status, the receivable then rolls over to active collections. At the onset of active collections, a letter is sent to the debtor notifying them of status change and advising that all payments must now be made through the collection agency. • When in active collections status, debtor is contacted both by phone and letter. A search is made for assets with which the debt could be satisfied. Once the debt has been in active collections for 45 days, it is then reported to the national credit bureaus. • The last process in the collections cycle is the pursuit of legal action. This includes attaching checking accounts, garnishments and lawsuits. • The City will not issue or renew a business license until all outstanding debt owed to the City is paid. • It should be noted that while a debt may be written off our books: it is still active in Armada's collection process. DISCUSSION The proposed amount of the 2021 Cancellation of Accounts Receivable is $5,492.03. This is an annual housekeeping item. FINANCIAL IMPACT The financial impact of cancelling $5,492.03 will be to reduce our accounts receivable balance by this amount. Please note that while we are writing off the accounts receivable for accounting 17 INFORMATIONAL MEMO Page 2 purposes., the accounts are still being actively worked for collection purposes with the exception of those accounts where a responsible party cannot be identified. Accounts covered by bankruptcy law cannot be pursued. RECOMMENDATION The Council is being asked to approve the annual resolution authorizing the cancellation of Accounts Receivable and to forward this item to the Regular Meeting Consent Agenda of 10/4/2021. ATTACHMENTS Attachment A — 2021 AR Write -Offs 2019 and Prior 18 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ORDERING THE CANCELLATION OF PAST DUE ACCOUNTS RECEIVABLE. WHEREAS, certain receivables and checks have been deemed uncollectable after efforts by both the City and a collection agency have been unsuccessful; and WHEREAS, the City will continue to pursue these receivables when practical; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Miscellaneous Accounts Receivable. The total of $5,492.03 (per Attachment A) is deemed uncollectable. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2021. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Kate Kruller, Council President APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Resolution Number: Office of the City Attorney Attachment A: 2021 AR Write -Offs 2019 and Prior CC: Legislative Development\Past Due Accts Receivables 9-17-21 CW:bjs Review and analysis by Barbara Saxton Page 1 of 1 19 20 Attachment A - 2021 AR Write -Offs 2019 and Prior Acct Customer Name Date I Invoice # I Billing Description I GL Account Amount TUKSVC 000180 000180 000193 000193 000193 000211 000248 000369 000371 000377 000378 LOWES SIMTH3 SOMALI WWGRAI TUKWILA SERVICE CENTER ELECTRONIC SERVICE PROVIDER IN ELECTRONIC SERVICE PROVIDER IN SEATTLE CHAR LLC SEATTLE CHAR LLC SEATTLE CHAR LLC PETSMART INC #377 LOUIE SANFT SINGH, TARAN DG FOODS AVURE TECHNOLOGIES LAVENDER LAUNDROMAT LLC TRANG T H DAO LOWE'S HOME CENTER LLC #10 SIMPLY THAI SOMGRO INC WW GRAINGER 11/14/18 08/26/19 09/12/19 04/24/19 06/13/19 12/31/19 09/13/19 12/31/19 12/26/19 12/31/19 12/31/19 12/31/19 08/26/19 09/13/19 10/03/19 12/31/19 PD -00192 PF -03930 PF -03951 PF -03890 PF -03905 PF -04018 PF -03961 PF -04000 PF -03997 PF -04001 PF -04026 PF -04028 PF -03937 PF -03965 PF -03991 PF -04017 POLICE FALSE ALARM #5 POLICE FALSE ALARM #3 POLICE FALSE ALARM #4 POLICE FALSE ALARM #3 POLICE FALSE ALARM #4 POLICE FALSE ALARM #5-8 POLICE FALSE ALARM #8-11 POLICE FALSE ALARM #3-6 POLICE FALSE ALARM #5 POLICE FALSE ALARM #3 POLICE FALSE ALARM #3 POLICE FALSE ALARM #3 POLICE FALSE ALARM #4 POLICE FALSE ALARM #3 POLICE FALSE ALARM #3 POLICE FALSE ALARM #3 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 000.342.800.00.00 200.00 150.00 200.00 150.00 200.00 800.00 800.00 150.00 200.00 150.00 150.00 150.00 200.00 150.00 150.00 150.00 $ 3,950.00 000262 AV HOOD CLEANING LLC 04/09/19 FI -00171 18H205 3/1/19 INSPECTION 401.343.403.00.00 436.44 000359 CURTIS B REEP 10/31/19 PM -00123 WO 21940131 TPD19-4929 401.343.403.00.00 754.93 000311 THALIA NUREKES-LARA 05/22/19 PW -00116 DAMAGED HYDRANT 4300 S 133RD 401.343.403.00.00 350.66 $ 1,542.03 Total Write-offs: $ 5,492.03 22 w z City of Tukwila Allan Ekberg, Mayor 19oa INFORMATIONAL MEMORANDUM TO: Finance & Governance Committee FROM: Vicky Carlsen, Finance Director BY: Aaron Williams, Fiscal Manager CC: Mayor Ekberg DATE: September 27, 2021 SUBJECT: July 2021 Departmental Budget -to -Actuals Report Summary The purpose of the July 2021 General Fund Financial Report is to summarize state of departmental expenditures and to highlight significant items. The summary of the departmental financial performance. The July 2021 Report is based on financial data available as of September 17, 31, 2021. Additional details can be found within the included financial report. Expenditures for the City Council the general following provides a high-level 2021, for the period ending July General Fund departmental expenditures totaled $32.64 million through June, which is $1.13 million less than the allocated budget of $33.77 million. Dept. 20, which is transfers to other funds totaled $2.73 million, which is $409 thousand less than the allocated budget. The allocated budget is calculated to reflect year-to-date spending patterns of the previous year. While all but one department is currently below the allocated budget, there continues to be concern that department budgets, in general, are too low and may be unable to absorb necessary costs without a budget amendment. General inflation is increasing the cost of both supplies and services purchased. In reviewing expenditures by type, insurance exceeds the annual budget by $84 thousand and utilities category has now expended 83% of the annual budget. Given that the City has 3 new facilities and the vacated fire stations are still owned by the City, it is very likely that the annual utilities budget will be exceeded in the 3rd quarter of 2021. Staff will be closely monitoring departmental budgets and will continue to keep the City Council fully informed of additional budgetary concerns. 23 INFORMATIONAL MEMO Page 2 Departmental Variances All but one General Fund department was under their allocated budget through July 2021. Noteworthy variances are: • The Fire Department is now $713 thousand over the allocated budget of $7.16 million. The variance is related to overtime & associated benefits compared to the allocated budget. Council recently gave consensus for a year-end budget amendment to increase fire overtime by $200k. An additional budget amendment will be needed to account for overtime that is reimbursable. Any reimbursable overtime will have no effect on the general fund. However, given the use of minimum staffing overtime in 2021, unless action is taken to reduce expenditures, a budget amendment that will affect the general fund will be needed. The 2nd quarter report for the Fire Department was presented to the Community Services and Safety Committee on August 16, 2021 where additional details on overtime usage was provided. The chart below provides additional details on overtime associated with the Fire Department. Fire Overtime Summarized Reimbursable OT Category Salary Benefits Total -Through July 31, 2021 Unreimbursable OT Category Salary Benefits Total Billable Contractor $ 8,395 $ 1,102 $ 9,497 Minimum Staffing $ 290,598 $ 38,156 $ 328,754 COVID Testing Site 174,721 22,941 197,662 Instructor 17,393 2,284 19,677 Repeater Malfunction 70,826 9,299 80,125 Training 15,104 1,983 17,087 Fire Prevention 41,468 5,445 46,913 Fire Investigation 5,306 697 6,003 Academy 21,911 2,877 24,788 Public Safety Plan 8,660 1,137 9,797 Meetings 7,672 1,007 8,679 Shift Extension 6,094 800 6,894 Special Assignment 9,929 1,304 11,233 Other 21,768 2,858 24,626 Totals $ 253,942 $ 33,343 $ 287,285 $ 445,903 $ 58,547 $ 504,450 Budget Amendments The list on the next page outlines budget amendments the City Council has already given consensus for and will be included in the final budget amendment at year-end. 24 INFORMATIONAL MEMO Page 3 Council Meeting Date 4/5 regular meeting Summary of Budget Amendment Contract for BHC Consultants for structural plan review. Cost neutralas this is a revenue backed contract. Any increase in i expenditures will also include the same increase in revenue 4/5 regular meeting Contract for Reid Middleton for structural plan review. Cost neutral as this is a revenue backed contract. Any increase in expenditures will also include the same increase in revenue 5/10 COW i 5/17 regular meeting ;5/24 COW 16/14 COW i 6/14 COW 6/21 regular meeting 8/2 regular meeting 8/2 regular meeting F8/23COW------ i Consensus to use new funding (SST) to restore service levels and cover certain contractual obligations. Budget amendment will include increasing both revenue and expenditures by the same amount. Acceptance of Sound Transit System Access grant. Both revenue and expendiitures will be increased by the same amount, net i effect of zero Grant contract with King County Dept. of Community and Human Services. Award amount of $115,384 so both revevenue and expenditures will be adjusted, net effect of zero Use of SST funds to complete the transfer of records from the offsite storage location to City Hall. Use of SST is estimated to be $40k. Again revenue backed so net effect of zero to the general fund BNSF Alternative Access Study for up to $1.25 million Fire advisory Task Force Consulting for up to $80 thousand TDM regional mobility grant award, no effect on general fund Summer Experience & Enrichment for Kids Fund (SEEK) grant no effect on the general fund as there is no match required Restore before and after school programming, funded by ARPA so both revenue and expenditure budgets will be adjusted Reclassify Jail Alternative Specialist to Court Support Services Case Manager and increase from .75 FTE to 1.0 FTE. Will require ongoing funding source 25 26 INFORMATIONAL MEMO Page 4 Year to Date Department Expenditures Compared to Allocated Budget Through July 2021 City Council ; Mayor's Office Administrative Services Finance Recreation Community Development , Municipal Court Police Fire Public Works Dept 20 $0 $2,000 $4,000 GENERAL FUND CITY OF TUKW ILA GENERAL FUND EXPENDITURES $6,000 $8,000 ■YTD Actual ■YTD Budget $10,000 $12,000 Thousands Year -to -Date as of July, 31, 2021 Percent of year completed 58% 27 EXPENDITURES BY DEPARTMENT BUDGET ACTUAL COMPARISON OF RESULTS 2021 ANNUAL 2021 ALLOCATED 2019 2020 2021 Allocated Budget vs Actuals OVER/(UNDER) % CHANGE % EXPENDED 2019/ 2020 2020/ 2021 01 City Council $ 363,618 $ 211,434 $ 217,793 $ 202,742 $ 195,815 $ (15,619) 54% -7% -3% 03 Mayor's Office 2,104,126 1,171,470 1,256,432 1,240,174 1,126,617 (44,854) 54% -1% -9% 04 Administrative Services 4,984,464 2,780,836 2,677,208 2,435,936 2,589,024 (191,812) 52% -9% 6% 05 Finance 3,049,858 1,947,203 1,553,278 1,547,299 1,579,430 (367,774) 52% 0% 2% 07 Recreation 4,260,543 2,647,568 2,908,685 2,436,792 2,292,274 (355,294) 54% -16% -6% 08 Community Development 4,069,943 2,305,277 2,111,887 1,837,941 2,236,499 (68,778) 55% -13% 22% 09 Municipal Court 1,272,888 744,852 739,291 742,750 709,037 (35,815) 56% 0% -5% 10 Police 18,286,665 10,448,230 10,886,466 10,108,148 9,972,531 (475,699) 55% -7% -1% 11 Fire 12,706,860 7,156,552 7,530,964 7,216,878 7,869,189 712,637 62% -4% 9% 13 Public Works 6,584,325 4,363,603 4,836,329 4,110,452 4,075,531 (288,072) 62% -15% -1% Subtotal 57,683,290 33,777,026 34,718,331 31,879,112 32,645,947 (1,131,079) 57% -8% 2% 20 Dept 20 5,462,760 3,140,951 3,425,593 2,068,215 2,732,130 (408,821) 50% -40% 32% Total Expenditures $ 63,146,050 $ 36,917,977 $ 38,143,924 $ 33,947,327 $ 35,378,077 $ (1,539,900) 56% -11% 4% Percent of year completed 58% 27 INFORMATIONAL MEMO Page 5 GENERAL FUND CITY OF TUKW ILA GENERAL FUND EXPENDITURES Year -to -Date as of July, 31, 2021 Percent of year completed 28 58% SALARIES AND BENEFITS BUDGET ACTUAL COMPARISON OF RESULTS 2021 ANNUAL 2021 ALLOCATED 2019 2020 2021 Allocated Budget vs Actuals OVER/(UNDER) % CHANGE % EXPENDED 2019/ 2020 2020/ 2021 11 Salaries $ 28,723,860 $ 17,059,386 $ 16,501,687 $ 16,633,051 $ 16,136,684 $ (922,702) 56% 1% -3% 12 Extra Labor 347,528 285,588 479,403 119,135 65,831 (219,757) 19% -75% -45% 13 Overtime 1,218,115 647,303 1,067,992 629,536 1,262,551 615,248 104% -41% 101% 15 Holiday Pay 515,500 85,575 76,376 65,888 72,268 (13,307) 14% -14% 10% 21 FICA 1,872,655 1,123,224 1,082,335 1,038,550 1,021,535 (101,689) 55% -4% -2% 22 Pension-LEOFF 899,828 563,204 513,617 655,392 577,157 13,953 64% 28% -12% 23 Pension-PERS/PSERS 1,631,377 980,475 1,026,153 990,803 937,993 (42,482) 57% -3% -5% 24 Industrial Insurance 875,820 539,679 477,242 533,038 539,456 (223) 62% 12% 1% 25 Medical & Dental 6,904,119 3,926,534 3,349,666 3,663,712 3,948,258 21,724 57% 9% 8% 26 Unemployment -- 1,032,306 10,400 27,319 20,710 20,710 - 163% -24% 28 Uniform/Clothing 8,525 2,160 1,783 1,334 1,391 (769) 16% -25% 4% Total Salaries & Benefits $ 42,997,327 $ 25,213,128 $ 24,586,654 $ 24,357,759 $ 24,583,835 $ (629,293) 57% -1% 1% Percent of year completed 28 58% SUPPLIES, SERVICES AND CAPITAL BUDGET ACTUAL COMPARISON OF RESULTS 2021 ANNUAL 2021 ALLOCATED 2019 2020 2021 Allocated Budget vs Actuals OVER/(UNDER) % CHANGE % EXPENDED 2019/ 2020 2020/ 2021 0 Transfers $ 5,462,760 $ 3,140,951 $ 3,425,593 $ 2,068,215 $ 2,732,130 $ (408,821) 50% 32% -40% 31 Supplies 1,055,711 524,508 932,596 393,825 405,733 (118,775) 38% -58% 3% 34 Items Purchased for resale 13,000 11,484 18,029 1,417 1,323 (10,161) 10% -92% -7% 35 Small Tools 66,450 30,027 63,941 46,731 42,382 12,355 64% -27% -9% 41 Professional Services 5,439,071 2,682,024 3,480,234 2,578,831 2,692,730 10,706 50% -26% 4% 42 Communication 481,810 279,781 215,105 249,691 235,099 (44,681) 49% 16% -6% 43 Travel 83,196 64,769 124,216 30,082 11,830 (52,939) 14% -76% -61% 44 Advertising 34,750 13,516 11,651 5,720 2,695 (10,821) 8% -51% -53% 45 Rentals and Leases 2,166,137 1,032,306 1,776,771 755,319 1,180,729 148,424 55% -57% 56% 46 Insurance 1,030,329 1,030,329 889,957 987,671 1,113,881 83,552 108% 11% 13% 47 Public Utilities 1,991,445 1,564,112 1,535,863 1,449,898 1,652,887 88,775 83% -6% 14% 48 Repairs and Maintenance 651,669 324,456 394,623 419,153 193,472 (130,984) 30% 6% -54% 49 Miscellaneous 1,153,730 704,031 643,462 597,521 453,167 (250,864) 39% -7% -24% 64 Machinery& Equipment 518,665 302,555 45,228 5,495 76,184 (226,371) 15% -88% 1287% Total Operating Expenses 20,148,723 11,704,849 13,557,270 9,589,569 10,794,242 (910,607) 54% -29% 13% Total Expenses $63,146,050 $36,917,977 $38,143,924 $33,947,327 $35,378,077 $ (1,539,900) 56% -11% 4% Percent of year completed 28 58%