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HomeMy WebLinkAboutFIN 2024-07-22 Item 1B - Budget - Monthly General Fund Expenditure Update: June 2024Finance Department TO: Finance & Governance Committee CC: Mayor McLeod FROM: Tony Cullerton, Interim Finance Director DATE: July 22, 2024 SUBJECT: June 2024 General Fund Expenditure Report Thomas McLeod, Mayor SUMMARY The June 2024 General Fund Financial Report provides the City Council with a comprehensive overview of departmental expenditures and highlights significant financial items. This report is a high-level summary of the departmental financial performance based on data available as of July 10th, 2024, for the period ending June 30th, 2024. Expenditures General Fund departmental expenditures were $35.4 million through June, which is $3.0 million under the allocated budget of $38.5 million. Department 20, responsible for fund transfers, reported $2.5 million in year-to-date activity. Overall, the General Fund activity as of the end of June was $38 million, which is $2.98 million under budget. Allocated Budget As of the end of June, three departments were over their allocated budget. Municipal Court exceeded their allocated budget by 10k.The increase is attributed to the increase in Translation & Interpretation services. Fire has consistently been over budget as previously reported, due to higher contracted services and an increase in Insurance Liability. The overage in Non -Departmental is due to costs associated with Asylee expenditures. Expended The end of June marks 50% of the year completed. Two departments have spent over 50% of their annual budget. The Fire Department's increase is related to contracted services and insurance liability. The Public Works/Street Maintenance Department's increased costs are for street lighting repairs and roadway repair supplies. Both of these items have been previously reported. 2024 Compared to 2023 When comparing expenditures to the previous year, four departments reported increased spending over the same period last year that was both greater than $50,000 and 5%. Finance reported an increase of $572,881 and 33.8% over the prior year. The bulk of the increase is due to Insurance Liability and Software Implementation. These two areas accounted for 74% of the increase over the prior year. Municipal Court reported an increase of $118,568 and 14.4% over the prior year. The bulk of the increase is due to due to filling a vacant position and adding an additional full-time equivalent (FTE) for photo enforcement. This accounted for 80% of the increase over the prior year. Fire reported an increase of $773,545 and 10% over 1 53 the prior year. The increase pertains to Contracted Services and Insurance Liabilities. Police reported an increase of $947,018 and 9.2% over the prior year. The increase is a combination of several different accounts. These are all prior budgeted and approved expenditures, as demonstrated by the facts that PD is under their Allocated Budget and below % Expended. The details summarized below account for 84% of the increase over the prior year. 2023 2024 Variance: Contracted Services 27,103 122,026 94,923 Dispatch 693,082 750,046 56,964 Insurance -Liability 324,931 477,814 152,884 Salaries 5,034,331 5,359,345 325,014 Self -Insured Medical & Dental 960,213 1,124,695 164,482 Total 794,267 Departmental Variances Year to Date Department Expenditures Through June 2024: BUDGET ACTUAL Allocated Budget % 2024 2024 2022 2023 2024 vs Actual Expended $ Change % Change DEPARTMENT Annual Allocated OVER/(UNDER) 2023/2024 City Council 393,067 196,533 171,690 187,650 184,682 (11,851) 47.0% (2,968) -1.6% Mayor's Office 2,405,513 1,229,576 956,997 1,147,728 1,121,478 (108,098) 46.6% (26,250) -2.3% Administrative Services 5,621,624 2,810,812 2,265,591 2,624,522 2,532,949 (277,863) 45.1% (91,574) -3.5% Finance Department 4,625,307 2,685,508 1,808,435 1,694,394 2,267,275 (418,234) 49.0% 572,881 33.8% Rec Dept / Parks Maint 5,808,439 2,981,844 2,191,569 2,387,283 2,455,891 (525,953) 42.3% 68,608 2.9% Community Dev 5,063,237 2,531,619 2,088,414 2,174,326 2,171,017 (360,602) 42.9% (3,310) -0.2% Municipal Court 1,859,399 929,700 771,749 821,248 939,816 10,117 50.5% 118,568 14.4% Police Department 24,212,875 12,345,594 9,178,497 10,260,103 11,207,121 (1,138,473) 46.3% 947,018 9.2% Fire Department 15,605,441 8,010,181 7,437,654 7,518,435 8,291,980 281,799 53.1% 773 545 10.3% PW Dept / Street Maint 8,002,142 4,787,535 4,017,649 4,150,222 4,274,910 (512,625) 53.4% 124,688 3.0% Subtotal 73,597,044 38,508,902 30,888,246 32,965,911 35,447,119 (3,061,784) 48.2% 2,481,208 7.5% Non Departmental 5,865,345 2,453,172 2,677,415 3,016,316 2,542,370 89,197 43.3% (473,946) N/A Total Expenditures 79,462,388 40,962,074 33,565,661 35,982,227 37,989,488 (2,972,586) 47.8% 2,007,262 5.6% % of Year 50.0% General Fund by Category The City adopts a biennial budget by fund, as mandated by ordinance. This level of reporting is essential for external authoritative oversight, such as the Washington State Auditor's office. It is also utilized for debt issuance and by other stakeholders. For managerial reporting and internal use, the City reports activity at the departmental level, providing detailed information to support decision -making within the City and by those charged with governance. Allocated Budget All category totals are within the allocated budget. Expended Services is the only category that was greater than 50%. There are four accounts that make up the overage. The increase in Professional Services is the Contracted Services pertaining to Fire. Professional Development reported 53% spending. The increase is a return to onsite training. Examples are travel & training costs, membership fees, and Police mandatory trainings. Professional Dev is under Allocated Budget. Utilities reported 68% total expenditures at 50% of the year. Utilities are under allocated budget and total spending is 4.7% lower than the same period last year. Repairs and Maint. Svs. increase consists primarily of Fleet Oper and Maint Costs ($93,087) and Repair Services ($33,856). The short answer is that Repairs & Maintenance are trending slightly higher than previously anticipated. 2 54 $ Change 2023 / 2024 Accounts identified in this area are in tandem with accounts identified in % Expended. General Fund City of Tukwila General Fund Expenditures Year -to -Date as of June 30, 2024 I BUDGET ACTUAL COMPARISON OF RESULTS 2023 Annual 2023 Allocated 2021 2022 2023 Actual Budget vs Allocated OVER/(UN DER) % Change Expended $ 2023/2024 2023/2024 Salaries 28,083,897 14,041,949 14,928,225 11,490,805 11,917,591 (2,124,358) 42.4% 426,786 3.7% Extra Labor 794,977 397,488 163,404 205,045 251,004 (146,485) 31.6% 45,958 22.4% Overtime 797,180 398,590 1,355,822 784,420 769,833 371,242 96.6% (14,587) (1.9%) Holiday Pay 250,000 125,000 79,193 71,993 23,077 (101,923) 9.2% (48,917) N/A FICA 2,299,308 1,149,654 964,727 947,593 977,078 (172,576) 42.5% 29,486 3.1% Pension-LEOFF 690,494 382,247 541,531 345,845 273,673 (108,574) 39.6% (72,173) (20.9%) Pension-PERS/PSERS 1,877,476 938,738 726,451 756,478 699,217 (239,521) 37.2% (57,261) (7.6%) Industrial Insurance 616,066 308,033 362,920 201,979 204,247 (103,785) 33.2% 2,268 1.1% Medical & Dental 5,818,916 2,909,458 3,669,706 2,681,339 2,937,130 27,673 50.5% 255,791 9.5% Unemployment 0 0 15,108 2,076 8,957 8,957 - 6,881 N/A Uniform/Clothing 33,504 16,752 840 1,064 2,079 (14,673) 6.2% 1,016 N/A Total Salaries & Benefits 41,261,818 20,667,908 22,807,927 17,488,638 18,063, 5 (2,604,024) 43.8% 575,247 3.3% Supplies 640,401 320,201 136,391 178,890 157,156 (163,045) 24.5% ($21,735) (12.1%) Repairs & Maint Supplies 420,705 210,353 177,375 195,484 331,783 121,431 78.9% $136,299 69.7% Resale Supplies 2,580 1,290 93 0 2,247 957 87.1% $2,247 - Small Tools 228,078 114,039 27,306 47,621 91,017 (23,022) 39.9% $43,395 91.1% Technology Supplies 112,364 56,182 16,484 261,499 26,078 (30,104) 23.2% ($235,421) (90.0%) Fleet Supplies 7,260 3,630 3,217 3,169 3,820 190 52.6% $651 20.5% Total Supplies 1,411,387 705,694 360,866 686,663 612,100 (93,594) 43.4% ($74,564) (10.9%) Professional Services 23,292,740 12,644,536 3,528,467 11,233,283 13,071,579 427,044 56.1% $1,838,296 16.4% Communications 468,177 234,089 205,045 207,933 211,423 (22,666) 45.2% $3,490 1.7% Professional Dev 532,851 297,343 179,814 249,141 283,673 (13,670) 53.2% $34,532 13.9% Advertising 66,716 33,358 3,996 10,375 17,995 (15,363) 27.0% $7,620 N/A Rentals 319,003 159,502 94,546 533,098 56,085 (103,417) 17.6% ($477,014) (89.5%) Technology Services 1,081,907 571,954 385,886 506,017 514,680 (57,274) 47.6% $8,662 1.7% Utilities 2,387,484 1,807,040 1,638,520 1,708,352 1,628,790 (178,250) 68.2% ($79,562) (4.7%) Repairs & Maint Svs. 1,483,739 741,869 1,123,856 656,218 830,551 88,682 56.0% $174,333 26.6% Miscellaneous 701,220 350,610 281,372 173,362 212,648 (137,962) 30.3% $39,286 22.7% Total Services 30,333,839 16,840,300 7,441,502 15,277,782 16,827,424 (12,876) 55.5% 1,549,643 10.1% Capital Outlay -Land 0 0 0 0 0 0 0 Other Improvements 0 0 0 0 0 0 0 Machinery & Equipment 590,000 295,000 277,951 4,230 225,891 (69,109) 38.3% 221,661 N/A Construction Projects 0 0 0 0 0 Total Capital Outlay 590,000 295,000 277,951 4,230 225,891 (69,109) 38.3% 221,661 N/A Transfers Out 5,865,345 2,453,172 2,677,415 2,524,914 2,260,189 (192,983) 38.5% (264,725) N/A Total Non Operating Expen: 5,865,345 2,453,172 2,677,415 2,524,914 2,260,189 (192,983) 38.5% (264,725) N/A Total Expenditures 79,462,389 40,962,074 33,565,661 35,982,227 37,989,488 (2,972,586) 47.8% 2,007,262 5.6% % of Year 50.0% 3 55 Riverton Park United Methodist Church Response (RPUMC) Total costs to date are slightly over $500,000. These expenditures are a combination of consulting services/contracts, employee time, and services/supplies. Contracts include fencing and tenting. Consulting is for media prep and long-term strategy. The total contract amount is currently $752,950. Of that total, $372,770 has been spent, leaving a remaining encumbered amount of $380,180. Total Costs (Snapshot) SNAPSHOT Object Consulting Contracts Salaries/Benefits Services Supplies Subtotal Encumbered Grand Total 2023 $ 88,864 18,734 55,494 0 0 163,092 2024 $ 171,682 127,156 54,224 14,476 2,533 370,071 Total 260,547 49% 145,889 27% 109,718 21% 14,476 3% 2,533 0% 533,163 100% 380,180 913,342 56