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Home My WebLink AboutCOW 2022-11-14 Item 5B.3 - Ordinance - 2021-2022 Biennial Budget AmendmentCOUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 11/14/22 VC 11/21/22 VC ITEM INFORMATION ITEM No. 4.B. (3) & 5.B. (3) STAFF SPONSOR: VICKY CARLSEN ORIGINAL AGENDA DATE: 11/14/22 AGENDA ITEM TITLE Ordinance amending the 2022 budget CATEGORY ® Discussion Mtg Date 11/14/22 U Motion Mtg Date ❑ Resolution Mtg Date ® Ordinance Mtg Date 11/21/22 Bid Award Altp Date 11 Public Hearing Altg Date 11/14/22 ❑ Other Mtg Date SPONSOR ❑ Council ❑ Mayor ❑ Admin Svcs ❑ DCD ® Finance ❑ Fire ❑ P&R ❑ Police ❑ PIS SPONSOR'S SUMMARY City Council is being asked to approve an ordinance amending the 2021-2022 biennial budget with final amendments for 2022 REVIEWED BY ❑ Trans&Infrastructure Svcs ❑ Community Svcs/Safety ® Finance & Governance ❑ Planning & Community Dev. L❑IAC ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. DATE: 10/24/22 COMMITTEE CHAIR: QUINN RECOMMENDATIONS: SPONsoR/ADMIN. Finance COMMITTEE Forward to 11/14/22 C.O.W. COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments: 11/14/22 11/21/22 MTG. DATE 11/14/22 11/21/22 RECORD OF COUNCIL ACTION ATTACHMENTS Informational Memorandum dated 10/24/22 (updated after 10/24 FIN Committee) Draft Ordinance (updated after 10/24 FIN Committee) Proposed Budget Changes - Summary by Fund Reconciliation of the 2021-2022 Budget Summary to Ordinance (updated after 10/24 FIN) Minutes from the Finance & Governance Committee meeting 10/24/22 29 30 City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Finance & Governance Committee FROM: Vicky Carlsen, Finance Director BY: Aaron Williams, Fiscal Manager CC: Mayor Ekberg DATE: October 24, 2022 (updated) SUBJECT: 2022 Biennial Budget Amendment Ordinance ISSUE Approve the administrative 2022 biennial budget amendments. BACKGROUND While amending the budget is only required when a fund, in total, is in danger of exceeding budget, it is a best practice to adjust the budget to identify significant changes in financial plans, policy decisions, and provide transparency for key decisions. Several of the proposed budget amendments have been reviewed and consensus given by Council Committee and/or Council process as noted below in the discussion. The proposed budget amendments make the following types of modification to the current biennium: • Housekeeping amendments such as adjusting budgeted beginning fund balance to actual beginning fund balance, • Increasing certain general fund revenue streams, • Reflect revenue -backed projects/expenditures, • Formalize budget amendments previously approved via Council consensus All budget amendments are detailed below with explanations provided for each amendment as well as the effect on ending fund balance. Budget amendments are summarized by fund in the tables attached to this memo. DISCUSSION General Fund Adjust Beginning Fund Balance A beginning fund balance increase of $3,525,024 to adjust the budgeted beginning fund balance to reflect the actual beginning fund balance. Fiscal year 2021 ended the year with a fund balance of $16.9 million, which exceeds the fund balance policy by approximately $5.3 million. This increase in beginning fund balance is one leg of the three-legged stool to balance the 2023-2024 budget. It should be noted that after all amendments, the general fund is expected to meet, and exceed, reserve policy in 2022. 31 INFORMATIONAL MEMO Page 2 Amendments by Department The footnotes following the chart provide additional details about each proposed amendment. Dept. ' Footnc' Description of Proposed Amendment 2022 Revenue Expenditure Recreation -Parks la Partners in Employment contract (part of SEEK) 64,000 64,000 Recreation 1b Summer Experience & Enrichment (SEEK) grant 30,000 30,000 Recreation lc You Got Next Tukwila Basketball Festival (held at TCC 9/17/22) 20,000 20,000 Recreation 1d Kaleidoscope Play & Learn (KPL) Program 10,000 10,000 Recreation Total $ 124,000 $ 124,000 Community Development 2 TDM Program, new Sustainable Transportation Communication Specialist 70,000 70,000 Community Development Total $ 70,000 $ 70,000 Fire 3 Increase to Contract -Karen Reed Fire Advisory Task Force 40,000 Fire 4 Dispatching-ValleyComm contract costs 80,000 Fire 5 Salaries/Benefits (Includes leave payouts and overtime) 355,000 Fire Department Total $ - $ 475,000 Dept. 20 - Transfers Out 6 Transfer out to 105, 10% PY constr sales tax 166,463 Dept. 20 - Transfers Out 7 Interfund Loan from 402 and subsequent tranfser out to 305 for engine purchase 1,100,000 1,100,000 Dept. 20 Transfers Total $ 1,100,000 $ 1,266,463 General Revenue 8 Increase to Retail Sales Tax revenue budget 500,000 General Revenue 8 Increase to utility tax revenue budget 500,000 General Revenue 8 Increase to Gambling tax revenue budget 1,000,000 Total General Revenue Amendments $ 2,000,000 $ - Total General Fund 3,294,000 1,935,463 1) Add revenue and expenditure budgets for Parks & Recreation grants awarded to the City. a. Partners in Employment, part of the SEEK program, provided youth with education opportunities to learn about ecosystem restoration. Program enrolled 91 youth over the summer. (authorized 6/6/22 Special meeting) b. SEEK grant, remaining activity incurred as part of the summer recreation experiences for the SEEK grant. A total of 131 participants took part. (authorized 2/28/22 Special meeting) c. You Got Next Tukwila Basketball Festival held at TCC on 9/17 in partnership with the Seattle Sports Commission, also includes some rental fees paid for TCC usage. Total attendance was approximately 450 with 250 of those being youth, event was provided to the public for free. (from 9/17/22 Community Services & Safety Committee) d. Funding for Kaleidoscope Play & Learn Program. KPL provides children and their caregivers with culturally and developmentally appropriate play activities as well as peer to peer activities for caregivers to learn what they can do at home to support their child's growth. (grant contract amended with additional funds) 2) Add revenue and expenditure budgets for the addition of a new FTE to the TDM Program, grant funded. The new grant -funded Sustainable Transportation Communications Specialist will coordinate TDM communications and media to reach residents, commuters, and employers in Tukwila and South King County. (authorized 6/6/22 regular meeting) 3) Budget expenditures for the Fire advisory task force, Consultant Karen Reed's contract was extended to allow her to continue leading the TFD annexation conversation. (approved 5/2/22 regular meeting) 4) Add expenditure budget for additional Valley Communications contract costs, 2022 budget was based on a low estimate; assessment increased 15% over prior year. 5) Adjustment to increase Fire salaries and benefits, which includes leave payouts and additional overtime. In anticipation of upcoming retirements, the department has been hiring several new employees. A portion of the amendment covers leave payouts for these retirements, as well as covering addition costs incurred to maintain minimum staffing levels. Leave payouts also include compensation time as specified in the Interlocal Agreement. 6) Annual transfer to Contingency Fund from General fund of 10% of prior year construction related sales taxes, per reserve policy. Based on 2021 construction sales taxes of $1,664,634. 32 INFORMATIONAL MEMO Page 3 7) Interfund loan from Sewer Fund (402) to the General Fund (000) and transfer to PSP Fund (305) for purchase of Fire Engine for PSRFA contract. (Interlocal Agreement with PSRFA approved 10/3) 8) Adjustments to reflect additional revenues anticipated above budget for Sales Tax, Gambling Tax and Utility Taxes. The City continues to see improvements in some revenue streams; however some revenues are still lagging behind pre -pandemic levels. Other Funds Included in the proposed budget amendments are amendments in other funds. In addition to the amendments listed below, beginning fund balances are being adjusted to reflect actual balance available in the fund. The footnotes following the chart provide additional details about each proposed amendment. Fund Footnote Description of Proposed Amendment 2022 Revenue Expenditure Contingency - Fund 105 6 Transfer Gen Fd - 10% Prior year constr sales tax revenues 166,463 Total Contingency Fund Amendments $ 166,463 $ - Drug Seizure - Fund 109 9 Mental Health Co -Responder (carryforward from 2021) 85,000 Drug Seizure - Fund 109 10 SPIDR Tech for public perception survey's 20,000 Drug Seizure - Fund 109 11 Purchase of armored truck for SWAT 100,000 Total Drug Seizure Fund Amendments $ - $ 205,000 Land Acq, Rec., & Park Dev. - Fund 301 19 Transfer from 301 to 306 of prior year available REET 500,000 Total Land Acq., Rec., & Park Dev. Amendments $ - $ 500,000 Gen Gov Improvements - Fund 303 12 City Hall siding repair additional budget 100,000 Total General GovernmentlmprovementsAmendments $ - $ 100,000 Public Safety Plan - Fund 305 7 Transfer In from General Fund and Engine purchase for RFA per contract 1,100,000 1,100,000 Public Safety Plan - Fund 305 7 Fire Equipment additional for RFA per contract 200,000 Total Public Safety Plan Amendments $ 1,100,000 $ 1,300,000 City Facilities (PW Shops) - Fund 306 13 PWS Phase 1 Additional project costs, funding from land sale/utilities 1,000,000 1,000,000 City Facilities (PW Shops) - Fund 306 14 phase 2 -land sales 2,000,000 City Facilities (PW Shops) - Fund 306 14 Authorize PWS expenditures (carried forward budget) 1,500,000 City Facilities (PW Shops) - Fund 306 19 Transfer from 301 to 306 of prior year available REET 500,000 Total City Facilities (PW Shops) Amendments $ 3,500,000 $ 2,500,000 Golf Course - Fund 411 15 Golf operational adjustments 300,000 200,000 Total Golf Course Amendments $ 300,000 $ 200,000 Water - Fund 401 13 PWS Phase 1 - $500k utility fund transfer to 306 (@ 34% alloc) 170,000 Total Water Amendments $ - $ 170,000 Sewer- Fund 402 7 Interfund Loan to General Fund for RFA engine purchase 1,100,000 Sewer - Fund 402 13 PWS Phase 1 - $500k utility fund transfer to 306 (@ 19% alloc) 95,000 Total Sewer Amendments $ - $ 1,195,000 Surface Water - Fund 412 13 PWS Phase 1 - $500k utility fund transfer to 306 (@ 47% alloc) 235,000 Total Surface Water Amendments $ - $ 235,000 Equipment Rental & Replacement (501) 16 Carryforward of 2021 budget for Vactor truck (delayed in 2021) 600,000 Equipment Rental & Replacement (501) 17 Increase to fuel budget due to high gas prices 122,000 Equipment Rental & Replacement (501) 18 Repair costs for damaged aerial 97,000 Total Equipment Rental & Replacement Amendments $ - $ 819,000 6) Transfer to Contingency Fund from General fund of 10% of prior year construction related sales taxes. Based on 2021 construction sales taxes of $1,664,634. 7) Interfund loan from Sewer Fund (402) to the General Fund (000) and transfer to PSP Fund (305) for purchase of Fire Engine for PSRFA contract. Additionally, for PSP fund 305: Add budget for additional Fire equipment purchases for PSRFA contract. (Interlocal Agreement with PSRFA approved 10/3) 9) Drug Seizure fund 109: carryforward of 2021 budget for Mental Health Co -responder. The Department budgeted this pilot program for 2021 but the program actually began incurring expenses in 2022. 10) Drug Seizure fund 109: The Department partnered with SPIDR Tech to send out questionnaires, surveys, and updates to 911 -callers to gauge public perception of police services and to improve communication with victims of crimes. (discussion at 4/25 CSS Committee) 33 INFORMATIONAL MEMO Page 4 11) Drug Seizure fund 109: The Department purchased a covert armored personnel transport vehicle that will improve the safety of victims, perpetrators, and responding officers in high- risk scenarios. (authorized 9/19/22 regular meeting) 12) City Facilities fund 303: increase expenditures budget by $100,000 for City Hall siding repairs. (contract authorized 10/3/22 regular meeting) 13) PW Shop phase 1, additional $1 million in project costs with funding from the upcoming land sale of the George Long Shop ($500k) and from utility funds ($500k). These adjustments maintain the 50/50 split between the government and utility funds. Final true -up allocation will be determined once project is completed. (Consensus from 4/11/22 Committee of the Whole) 14) PW Shop phase 2, budget for land sales revenue from the George Long Shop. In addition, increasing the expenditure budget based on projected year end expenditures. The addition of land sale revenue will be balanced with utility fund contributions in the 2023 proposed budget to maintain the 50/50 balance between government and utility funds. (Consensus from 5/9/22 Committee of the Whole) 15) Foster Golf Course fund 411: Golf operational adjustments, increase for greens fees and adding budget for some unexpected repair projects at the course. 16) Adjust fleet fund purchases to reflect carry over from 2021 for the purchase of the Vactor truck, delivery of truck occurred in early 2022. 17) Increase for city fuel budgets due to abnormally high gas prices. 18) Additional budget for fleet repairs expenses related to repair costs due to damaged Aerial Truck 19) Budget to transfer $500,000 of prior year available REET revenues from fund 301 to fund 306. If the George Long Shops sale is delayed into 2023, this transfer will ensure the Public Works shop project has available funds to cover expenditures. In order to maintain the 50/50 balance between government and utility funds, the utility fund contribution from footnote 13 above will be utilized. 34 INFORMATIONAL MEMO Page 5 Adjusting Beginning Fund Balances In addition to the budget amendments proposed for other funds, beginning fund balances in various funds are also being adjusted to true up to actual beginning fund balances. The chart below details the adjustments to beginning fund balances included with these budget amendments. $ 65,772,218 $ 10,088,650 $ 75,860,868 RECOMMENDATION The Council is asked to approve the Budget Amendment ordinance and consider this item at the November 14, 2022, Committee of the Whole, and November 21, 2022, Regular Council Meeting. ATTACHMENTS Draft Ordinance Proposed Budget Changes — Summary by Fund Reconciliation of 2021-2022 Budget Summary to Ordinance 35 Beginning Fund Balance Fund Adopted Budget Proposed Amendments Proposed Revised Budget General Fund: General Fund 13,392,295 3,525,024 16,917,319 Contingency 6,468,169 285,896 6,754,065 Special Revenue Funds: Lodging Tax 1,016,608 725,758 1,742,366 Drug Seizure 166,034 401,239 567,273 Debt Service Funds: LTGO Debt Service Funds (2XX) 36,541 (36,541) - UTGO Debt Service Fund 11,984 301,309 313,293 LID/Guaranty 1,298,797 41,474 1,340,271 Capital Projects Funds: Residential Streets 724,912 (17,106) 707,806 Bridges and Arterial Streets 2,516,741 1,165,446 3,682,187 Land Acquisition, Rec. and Park Dev. 1,541,330 1,354,515 2,895,845 Urban Renewal 1,452,144 1,010,117 2,462,261 General Government 573,148 104,885 678,033 Fire Impact Fees 500 (500) - Public Safety Plan 6,976,196 (6,898,524) 77,672 City Facilities (PW Shops) 3,138,454 361,590 3,500,044 Enterprise Funds: Water 4,386,963 2,600,671 6,987,634 Sewer 11,022,180 2,136,095 13,158,275 Golf 1,056,224 (12,075) 1,044,149 Surface Water 4,634,122 1,269,695 5,903,817 Internal Service Funds: Equipment Rental and Replacement 3,600,733 1,134,552 4,735,285 Employee Healthcare Plan 70,012 527,780 597,792 LEOFF 1 Retiree Healthcare Plan 165,675 98,583 264,258 Fiduciary Fund: Firemen's Pension 1,522,456 8,767 1,531,223 $ 65,772,218 $ 10,088,650 $ 75,860,868 RECOMMENDATION The Council is asked to approve the Budget Amendment ordinance and consider this item at the November 14, 2022, Committee of the Whole, and November 21, 2022, Regular Council Meeting. ATTACHMENTS Draft Ordinance Proposed Budget Changes — Summary by Fund Reconciliation of 2021-2022 Budget Summary to Ordinance 35 36 NOTE: Text in underline and strike-thru format shows text being added or deleted from the ordinance version that was included in the agenda packet at the Finance and Governance Committee packet of October 24, 2022. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AMENDING ORDINANCE NO. 2641, WHICH ADOPTED THE CITY OF TUKWILA'S BIENNIAL BUDGET FOR THE 2021-2022 BIENNIUM, TO ADOPT AN AMENDED YEAR-END BUDGET; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, on December 7, 2020, the City Council of the City of Tukwila adopted Ordinance No. 2641, which adopted the 2021-2022 Biennial Budget of the City of Tukwila; and WHEREAS, the City has determined a need to amend the 2021-2022 Biennial Budget before fiscal year-end; and WHEREAS, on November 14, 2022, following required public notification, the City Council conducted a public hearing on the proposed 2022 Year -End Budget Amendment to the 2021-2022 Biennial Budget; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Ordinance Amended. Tukwila Ordinance No. 2641 is hereby amended with the City Council's adoption of the document entitled "City of Tukwila 2021-2022 Year - End Budget Amendment," attached hereto and incorporated by this reference as if fully set forth herein, in accordance with RCW 35A.34.200. Section 2. Estimated Revenues and Appropriations. The totals of the estimated revenues and appropriations for each separate fund and the aggregate totals are as follows: CC:Legislative Development\Budget Amendment 2021-2022 Year -End strike-thru 10-24-22 VC:AY Review and analysis by Andy Youn Page 1 of 3 37 FUND EXPENDITURES REVENUES 000 General $158,906,119 $158,906,119 105 Contingency $6,940,529 $6,940,529 101 Lodging Tax $3,300,147 $3,300,147 103 Residential Streets $5,032,806 $5,032,806 104 Bridges and Arterial Streets $18,143,488 $18,143,488 109 Drug Seizure $863,773 $863,773 2XX LTGO Debt Service $16,960,329 $16,960,329 206 LID Guaranty $8,716,437 $8,716,437 213 UTGO Bonds $316,293 $316,293 233 2013 LID $1,831,397 $1,831,397 301 Land Acquisition, Recreation & Park Dev. $6,032,635 $6,032,635 302 Urban Renewal $5,147,261 $5,147,261 303 General Government Improvements $918,533 $918,533 304 Fire Impact Fees $600,500 $600,500 305 Public Safety Plan $10,245,489 $10,245,489 306 City Facilities $12,962,152 $12,962,152 $13,462,452 $13,462,452 401 Water $22,710,878 $22,710,878 402 Sewer $35,818,071 $35,818,071 411 Foster Golf Course $5,198,164 $5,198,164 412 Surface Water $25,544,931 $25,544,931 501 Equipment Rental and Replacement $10,660,984 $10,660,984 502 Employee Healthcare Plan $17,459,368 $17,459,368 503 LEOFF 1 Retiree Healthcare Plan $1,187,178 $1,187,178 611 Firemen's Pension $1,666,223 $1,666,223 Total $377,163,987 $377,663,987 $377,163,987 $377,663,987 Section 3. Copies on File. A complete copy of the amended budget for 2021-2022, as adopted, together with a copy of this amending ordinance, shall be kept on file electronically by the City Clerk and accessible from the City's website in accordance with Washington State records retention schedule requirements and City policy, and shall be made available to the public upon request. A copy of the amended budget for 2021-2022, as adopted, together with a copy of this amending ordinance, shall be transmitted by the City Clerk to the Division of Municipal Corporations of the Office of the State Auditor and to the Association of Washington Cities. CC:Legislative Development\Budget Amendment 2021-2022 Year -End strike-thru 10-24-22 VC:AY Review and analysis by Andy Youn 38 Page 2 of 3 Section 4. Corrections by City Clerk or Code Reviser Authorized. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. Section 5. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 6. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City and shall take effect and be in full force and effect five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2022. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Office of the City Attorney Allan Ekberg, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: Attachment: City of Tukwila 2021-2022 Year -End Budget Amendment CC:Legislative Development\Budget Amendment 2021-2022 Year -End strike-thru 10-24-22 VC:AY Review and analysis by Andy Youn Page 3 of 3 39 40 City of Tukwila Year -End Budget Amendment Reconciliation of Budget Summary to Ordinance REVENUES 2021 Beginning Fund Balance 2021 Revenues 2022 Revenues Total Revenues Mid -Biennial Amendments Mid -Biennial Amended Revenues Beginning Fund Balance Adjustment 2022 Year -End Amendments Total Revenues 000 General $ 11,631,350 $ 62,749,717 $ 67,597,992 $ 141,979,059 $ 10,108,037 $ 152,087,096 $ 3,525,023 $ 3,294,000 $ 158,906,119 105 Contingency 7,101,978 20,000 20,000 7,141,978 (653,809) 6,488,169 285,896 166,463 6,940,529 101 Lodging Tax 1,742,844 406,000 456,000 2,604,844 (30,455) 2,574,389 725,758 - 3,300,147 103 Residential Street 114,810 589,000 3,456,000 4,159,810 890,102 5,049,912 (17,105) - 5,032,806 104 Arterial Street 1,327,257 6,481,000 3,311,000 11,119,257 5,858,785 16,978,042 1,165,446 - 18,143,488 109 Drug Seizure Fund 333,243 60,500 70,500 464,243 (1,709) 462,534 401,240 - 863,773 2XX LTGO Debt Service 381,630 4,382,338 8,645,004 13,408,972 3,587,898 16,996,870 (36,541) - 16,960,329 213 UTGO Bonds 76,339 3,605,000 4,375,000 8,056,339 (66,380) 7,989,959 726,478 - 8,716,437 206 LID Guaranty 719,137 3,000 3,000 725,137 1,676 726,813 (410,519) - 316,293 233 2013 LID 692,373 601,000 581,000 1,874,373 (69,801) 1,804,572 26,825 - 1,831,397 301 Land Acquisition, Rec & Park Dev. 2,171,922 1,942,800 475,940 4,590,662 87,458 4,678,120 1,354,515 - 6,032,635 302 Urban Renewal 1,835,169 410,000 1,860,000 4,105,169 31,975 4,137,144 1,010,117 - 5,147,261 303 General Government Imprvmnts 500,021 300,500 500 801,021 12,627 813,648 104,885 - 918,533 304 Fire Impact Fees 9,259 300,500 300,500 610,259 (9,259) 601,000 (500) - 600,500 305 Public Safety Plan 147,873 6,705,000 6,100,000 12,952,873 3,091,140 16,044,013 (6,898,523) 1,100,000 10,245,489 306 City Facilities 4,249,144 3,450,000 - 7,699,144 1,901,718 9,600,862 361,590 3,500,000 13,462,452 401 Water 6,170,864 6,722,000 6,947,000 19,839,864 270,343 20,110,207 2,600,671 - 22,710,878 402 Sewer 12,762,798 10,032,000 10,285,000 33,079,798 602,178 33,681,976 2,136,095 - 35,818,071 411 Foster Golf Course 873,520 1,818,000 1,850,000 4,541,520 368,719 4,910,239 (12,075) 300,000 5,198,164 412 Surface Water 5,385,674 8,883,000 10,509,000 24,777,674 (502,438) 24,275,236 1,269,695 - 25,544,931 501 Equipment Rental 2,969,227 2,784,818 2,365,831 8,119,876 1,406,556 9,526,432 1,134,553 - 10,660,984 502 Insurance Fund 642,799 8,118,924 8,725,122 17,486,845 (555,257) 16,931,588 527,780 - 17,459,368 503 Insurance - LEOFF 1 Fund 243,203 316,000 436,000 995,203 93,392 1,088,595 98,584 - 1,187,178 611 Firemen's Pension 1,516,780 70,000 70,000 1,656,780 676 1,657,456 8,767 - 1,666,223 Total $ 63,599,214 $ 130,751,097 $ 138,440,389 $ 332,790,700 $ 26,424,171 $ 359,214,871 $ 10,088,653 $ 8,360,463 $ 377,663,987 EXPENDITURES 2021 Expenditures 2022 Expenditures 2022 Ending Fund Balance Total Expenditures Mid -Biennial Amendments Mid -Biennial Amended Expenditures P 2022 Year -End Amendments Net Effect on 2022 Ending Fund Balance Total Expenditures 000 General $ 63,146,050 $ 66,974,260 $ 11,858,749 $ 141,979,059 $ 10,108,037 $ 152,087,096 $ 1,935,463 $ 4,883,560 $ 158,906,119 105 Contingency - - 7,141,978 7,141,978 (653,809) 6,488,169 - 452,360 6,940,529 101 Lodging Tax 1,101,781 1,013,209 489,854 2,604,844 (30,455) 2,574,389 - 725,758 3,300,147 103 Residential Street 369,000 3,610,000 180,810 4,159,810 890,102 5,049,912 - (17,105) 5,032,806 104 Arterial Street 6,865,301 3,395,273 858,683 11,119,257 5,858,785 16,978,042 - 1,165,446 18,143,488 109 Drug Seizure Fund 200,000 40,000 224,243 464,243 (1,709) 462,534 205,000 196,240 863,773 2XX LTGO Debt Service 4,740,338 8,643,004 25,630 13,408,972 3,587,898 16,996,870 - (36,541) 16,960,329 213 UTGO Bonds 3,602,975 4,374,975 78,389 8,056,339 (66,380) 7,989,959 - 726,478 8,716,437 206 LID Guaranty - - 725,137 725,137 1,676 726,813 - (410,519) 316,293 233 2013 LID 648,588 628,563 597,222 1,874,373 (69,801) 1,804,572 - 26,825 1,831,397 301 Land Acquisition, Rec & Park Dev. 2,505,000 505,000 1,580,662 4,590,662 87,458 4,678,120 500,000 854,515 6,032,635 302 Urban Renewal 1,235,000 2,786,000 84,169 4,105,169 31,975 4,137,144 - 1,010,117 5,147,261 303 General Government Imprvmnts 240,000 200,000 361,021 801,021 12,627 813,648 100,000 4,885 918,533 304 Fire Improvements 300,000 300,000 10,259 610,259 (9,259) 601,000 - (500) 600,500 305 Public Safety Plan 2,967,817 2,390,467 7,594,589 12,952,873 3,091,140 16,044,013 1,300,000 (7,098,523) 10,245,489 306 City Facilities 7,662,408 - 36,736 7,699,144 1,901,718 9,600,862 2,500,000 1,361,590 13,462,452 401 Water 8,555,244 9,689,329 1,595,291 19,839,864 270,343 20,110,207 170,000 2,430,671 22,710,878 402 Sewer 11,751,296 11,801,825 9,526,677 33,079,798 602,178 33,681,976 1,195,000 941,095 35,818,071 411 Foster Golf Course 1,843,879 1,844,993 852,648 4,541,520 368,719 4,910,239 200,000 87,925 5,198,164 412 Surface Water 8,826,614 11,789,938 4,161,122 24,777,674 (502,438) 24,275,236 235,000 1,034,695 25,544,931 501 Equipment Rental 2,854,868 2,252,165 3,012,843 8,119,876 1,406,556 9,526,432 819,000 315,553 10,660,984 502 Insurance Fund 8,136,454 8,710,402 639,989 17,486,845 (555,257) 16,931,588 - 527,780 17,459,368 503 Insurance - LEOFF 1 Fund 486,920 497,040 11,243 995,203 93,392 1,088,595 - 98,584 1,187,178 611 Firemen's Pension 65,000 65,000 1,526,780 1,656,780 676 1,657,456 - 8,767 1,666,223 Total $ 138,104,533 $ 141,511,443 $ 53,174,724 $ 332,790,700 $ 26,424,171 $ 359,214,871 $ 9,159,463 $ 9,289,653 $ 377,663,987 41 42 Proposed Budget Changes - Summary by Fund Ending Fund Balance Proposed Adopted Proposed Revised Budget Amendments Budget 16,898,040 1,182,068 392,773 6,940,528 2,000 .- O CO h M (n .- O M N 553,806 4,586,088 CO CO .- N M O r N CO .- N 378,533 500 3,587,205 3,075,044 4,044,863 10,415,326 1,103,570 4,334,966 4,012,707 612,512 203,218 1,536,223 (O W � a 725,758 196,239 rn N v e- 7 co 0) .e). O IC O a co (17,106) 1,165,446 (n r .-00 (O O ro o LO a Cr (7,098,524) 1,361,590 2,430,671 941,095 87,925 1,034,695 315,552 527,780 (o ma OO CD 12,014,479 456,310 196,534 (00 W V d' M.N- O O N N 570,912 3,420,642 N V .7 CO ,- O O to ,- CO O t0 O r.- M 10,685,729 1,713,454 1,614,192 9,474,231 1,015,645 3,300,271 3,697,155 84,732 104,635 1,527,456 Expenditure Proposed Adopted Proposed Revised Budget Amendments Budget 76,517,963 1,016,298 245,000 8 O M (0 O ttl 4,374,975 628,563 4,010,000 9,307,099 1,005,000 3,196,000 300,000 300,000 3,690,467 3,925,000 9,889,771 13,027,949 2,090,579 12,077,851 3,088,409 8,710,402 497,040 65,000 (H O O 70,000 475,000 (h b (ti N 1,935,463 205,000 500,000 100,000 1,300,000 2,500,000 170,000 1,195,000 200,000 235,000 819,000 Oa O Lc) N oo Lo a 1,016,298 40,000 ' O O M g (b 4,374,975 628 563 4,010,000 9,307,099 505,000 3,196,000 200,000 300,000 2,390,467 1,425,000 9,719,771 11,832,949 1,890,579 11,842,851 2,269,409 8,710,402 497,040 65,000 Revenue Proposed Adopted Proposed Revised Budget Amendments Budget 76,498,684 456,000 70,500 (h.- to V (O O 8,645,004 4,375,000 584,000 3,856,000 10,211,000 482,290 1,860,000 500 300,500 7,200,000 3,500,000 6,947,000 10,285,000 2,150,000 10,509,000 N CO N O In In co N CO N- 436,000 70,000 t9 0 O ct 70,000 O 2,000, 000 3,294,000 M co 1,100,000 3,500,000 300,000 V co CO aO O N 1'- r 456,000 70,500 20,000 8,645,004 4,375,000 584,000 3,856,000 10,211,000 482,290 1,860,000 500 300,500 6,100,000 6,947,000 10,285,000 1,850,000 10,509,000 (0 N co N O O O N CO I0 tV O 436,000 70,000 Beginning Fund Balance Proposed Adopted Proposed Revised Budget Amendments Budget M I: 0 to 1,742,366 567,273 6,754,065 ' �� N N (h O CO COn ,- 707,806 3,682,187 2,895,845 2,462,261 678,033 �4 O O t` O in (h 6,987,634 13,158,275 1,044,149 5,903,817 4,735,285 597,792 264,258 1,531,223 Tr o N N 725,758 401,239 (0 O W N uqi co 301,309 41,474 (17,106) 1,165,446 co h iO ,- (0 O CO O co o roCD LO ,- (6,898,524) 361,590 2,600,671 2,136,095 (12,075) 1,269,695 1,134,552 527,780 (0 N- CO ° LOh m 0 N T co M 1,016,608 166,034 (m0 (OO V (O V nO') 11,984 1,298,797 724,912 2,516,741 1,541,330 1,452,144 573,148 500 OS criM (n co (h 4,386,963 11,022,180 `I' N O 0 O 7 3,600,733 70,012 165,675 1,522,456 N "O C C Li- General Fund Depts. Council N ca 0 h 2. Q Finance Recreation & Parks Community Development Municipal Court df a LL Public Works Transfers General Revenue Total General Fund Special Revenue Funds: Lodging Tax Drug Seizure Contingency Debt Service Funds: LTGO Debt Service Funds (2XX) UTGO Debt Service Fund LID/Guaranty Capital Projects Funds: Residential Streets Bridges and Arterial Streets Land Acquisition, Rec. and Park Dev. Urban Renewal General Government Fire Impact Fees Public Safety Plan City Facilities (PW Shops) Enterprise Funds: Water Sewer Golf •Surface Water Internal Service Funds: Equipment Rental and Replacement Employee Healthcare Plan LEOFF 1 Retiree Healthcare Plan Firemen's Pension N N to to to to t0 ♦9 43 Total Revenues $ 158,906,119 6,940,529 3,300,147 5,032,806 18,143,488 863,773 16,960,329 8,716,437 316,293 1,831,397 L CO CD O N N r M O (O N CO O CO O 0. N CO O O CA CD 10,245,489 13,462,452 22,710,878 35,818,071 V ,- O CO ,- al O 7 cA a .- O O O N 10,660,984 17,459,368 1,187,178 1,666,223 $ 377,663,987 2022 Year -End Amendments $ 3,294,000 166,463 725,758 (17,105) 1,165,446 196,240 (36,541) 726,478 (410,519) 26,825 854,515 1,010,117 4,885 (500) 1,100,000 3,500,000 2,430,671 941,095 300,000 315,553 527,780 $ 8,360,463 Beginning Fund Balance Adjustment $ 3,525,023 285,896 725,758 (17,105) 1,165,446 401,240 (36,541) 726,478 (410,519) 26,825 1,354,515 1,010,117 104,885 (500) (6,898,523) 361,590 2,600,671 2,136,095 (12,075) 1,269,695 1,134,553 527,780 98,584 8,767 $ 10,088,653 Mid -Biennial Amended Revenues $ 152,087,096 6,488,169 2,574,389 5,049,912 16,978,042 462,534 16,996,870 7,989,959 726,813 1,804,572 4,678,120 4,137,144 813,648 601,000 16,044,013 9,600,862 N- CO O r N CT O '- '- 00 CD O CO N M 4,910,239 24,275,236 N O CO CO 7 0) O N CO 47 O) 0) CD ,- 1,088,595 1,657,456 $ 359,214,871 Mid -Biennial Amendments $ 10,108,037 (653,809) (30,455) 890,102 Ln (P co O N� N 40 " O 4) 3,587,898 (66,380) (O r N` O O O .- 0) 0 87,458 31,975 r- O N 4) NCO- N O) ,- " O co 7 Cn O O CT M 270,343 602,178 368,719 (502,438) 1,406,556 (555,257) 93,392 676 $ 26,424,171 Total Revenues $ 141,979,059 7,141,978 2,604,844 4,159,810 N. M N V N N 0 V 0 13,408,972 8,056,339 725,137 1,874,373 4,590,662 4,105,169 801,021 610,259 12,952,873 7,699,144 19,839,864 33,079,798 4,541,520 24,777,674 8,119,876 17,486,845 995,203 1,656,780 $ 332,790,700 2022 Revenues $ 67,597,992 20,000 456,000 3,456,000 3,311,000 70,500 8,645,004 4,375,000 3,000 581,000 475,940 1,860,000 500 300,500 0 0 O ' O O O 6,947,000 10,285,000 1,850,000 10,509,000 ,- N M N O 0 O O N CO. n N co 436,000 70,000 $ 138,440,389 N C N N 0 C $ 62,749,717 20,000 406,000 589,000 6,481,000 60,500 0 0 CO 0 M O N in CO CO Ni. M 0 0 0 0 O O M CD 0 0 0 0 O O N (J 0) V 300,500 300,500 6,705,000 3,450,000 6,722,000 10,032,000 1,818,000 8,883,000 2,784,818 8,118,924 316,000 70,000 $ 130,751,097 2021 Beginning Fund Balance rs 11,631,350 7,101,978 1,742,844 114,810 1,327,257 333,243 381,630 76,339 719,137 692,373 2,171,922 1,835,169 500,021 9,259 147,873 4,249,144 6,170,864 12,762,798 873,520 5,385,674 2,969,227 642,799 243,203 1,516,780 $ 63,599,214 REVENUES 000 General 105 Contingency 101 Lodging Tax 103 Residential Street 104 Arterial Street 109 Drug Seizure Fund 2XX LTGO Debt Service 213 UTGO Bonds 206 LID Guaranty 233 2013 LID 301 Land Acquisition, Rec & Park Dev. 302 Urban Renewal 303 General Governmentlmprvmnts _ 304 Fire Impact Fees 305 Public Safety Plan 306 City Facilities 401 Water 402 Sewer 411 Foster Golf Course 412 Surface Water 501 Equipment Rental 502 Insurance Fund 503 Insurance - LEOFF 1 Fund 611 Firemen's Pension Total 44 Total Expenditures $ 158,906,119 6,940,529 3,300,147 5,032,806 18,143,488 863,773 16,960,329 8,716,437 316,293 1,831,397 CO CD O N N r M O (O 6' CO O CO O 4) 4 CO O O CP O 10,245,489 13,462,452 22,710,878 35,818,071 V CO CO O V m a N O 4) N 10,660,984 17,459,368 1,187,178 1,666,223 $ 377,663,987 Net Effect on 2022 Ending Fund Balance $ 4,883,560 452,360 725,758 (17,105) 1,165,446 196,240 (36,541) 726,478 (410,519) 26,825 854,515 1,010,117 4,885 (500) (7,098,523) 1,361,590 2,430,671 941,095 87,925 1,034,695 315,553 527,780 98,584 8,767 $ 9,289,653 2022 Year -End Amendments $ 1,935,463 205,000 0 0 O 0 0) 0 0 O 0 ,- 1,300,000 2,500,000 170,000 1,195,000 200,000 235,000 819,000 $ 9,159,463 Mid -Biennial Amended Expenditures $ 152,087,096 6,488,169 2,574,389 5,049,912 16,978,042 462,534 16,996,870 7,989,959 726,813 1,804,572 4,678,120 4,137,144 813,648 601,000 16,044,013 9,600,862 20,110,207 33,681,976 4,910,239 24,275,236 9,526,432 16,931,588 1,088,595 1,657,456 $ 359,214,871 Mid -Biennial Amendments $ 10,108,037 (653,809) (30,455) 890,102 5,858,785 (1,709) 3,587,898 (66,380) 0 N. O 'CI CCI OD 87,458 31,975 r O N 0) O N N O) 3,091,140 1,901,718 CO CO 7 N. - M O NO N O 368,719 (502,438) 1,406,556 (555,257) 93,392 676 $ 26,424,171 Total Expenditures $ 141,979,059 7,141,978 2,604,844 4,159,810 11,119,257 464,243 13,408,972 8,056,339 725,137 1,874,373 4,590,662 4,105,169 801,021 610,259 12,952,873 7,699,144 19,839,864 33,079,798 4,541,520 24,777,674 8,119,876 17,486,845 995,203 1,656,780 $ 332,790,700 2022 Ending Fund Balance $ 11,858,749 7,141,978 489,854 180,810 858,683 224,243 O a) CO O CO_ M CO N r 725,137 597,222 1,580,662 84,169 361,021 10,259 7,594,589 36,736 .- r O) N0 N O 4) co O) N 0 0) 0) 852,648 4,161,122 3,012,843 639,989 11,243 1,526,780 $ 53,174,724 2022 Expenditures 0 N' NI - W COO CH 1,013,209 3,610,000 3,395,273 40,000 8,643,004 4,374,975 CO ' COC) N CO 505,000 2,786,000 200,000 300,000 2,390,467 9,689,329 11,801,825 1,844,993 11,789,938 2,252,165 8,710,402 497,040 65,000 $ 141,511,443 2021 Expenditures $ 63,146,050 1,101,781 369,000 6,865,301 200,000 4,740,338 3,602,975 O CO CO CO a CO 2,505,000 1,235,000 240,000 300,000 2,967,817 7,662,408 V O a 0) N N 4) 0) 4) O O r.- `O cc; 1,843,879 8,826,614 2,854,868 8,136,454 486,920 65,000 $ 138,104,533 EXPENDITURES 000 General 105 Contingency 101 Lodging Tax 103 Residential Street 104 Arterial Street 109 Drug Seizure Fund 2XX LTGO Debt Service 213 UTGO Bonds 206 LID Guaranty 233 2013 LID 301 Land Acquisition, Rec & Park Dev. 302 Urban Renewal 303 General Government Imprvmnts 304 Fire Improvements 305 Public Safety Plan 306 City Facilities 401 Water 402 Sewer 411 Foster Golf Course 412 Surface Water 501 Equipment Rental 502 Insurance Fund 503 Insurance - LEOFF 1 Fund 611 Firemen's Pension Total City of Tukwila City Council Finance & Governance Committee Meeting Minutes October24, 2022 - 5:30 p.m. - Hybrid Meeting; Duwamish Conference Room & MS Teams Councilmembers Present: Staff Present: De'Sean Quinn, Chair; Kate Kruller, Cynthia Delostrinos Johnson Vicky Carlsen, Rachel Bianchi, Tony Cullerton, Laurel Humphrey, Griffin Lerner, Brittany Robinson, David Cline, David Rosen I. BUSINESS AGENDA A. Tax Levy Legislation Staff is seeking approval of: 1. Ordinance levying the general taxes for 2023. 2. Ordinance increasing the regular tax levy for 2023. Committee Recommendation Unanimous approval. Forward to November 14, 2022 Committee of the Whole for Public Hearing. B. Resolution Authorizing an Interfund Loan for a Fire Engine Staff is seeking approval of a resolution authorizing a loan of up to $1,100,000 from the Sewer Fund to the General Fund, establishing interest rate and repayment schedule, to purchase a new fire engine. Committee Recommendation Unanimous approval. Forward to November 14, 2022 Committee of the Whole. C. Budget Legislation Staff is seeking Council approval of: 1. Ordinance adopting the 2023-2024 Biennial Budget 2. Resolution Adopting the 2023-2028 Financial Planning Model and Capital Improvement Program 3. Ordinance amending the 2021-2022 Biennial Budget Item(s) for follow-up: Provide information on how REET can be leveraged in the budget. Committee Recommendation Forward to November 14, 2022 Committee of the Whole for Public Hearings. D. Proposed Business & Occupation Tax Staff presented an overview of a proposed Business & Occupation Tax included in the Mayor's budget as a new revenue source to address maintenance of city services in the next biennium. 45