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Home My WebLink AboutCOW 2012-11-13 Item 5I - Discussion - 2013-2014 Budget / 2013-2018 Capital Improvement ProgramCOUNCIL AGENDA SYNOPSIS nitials Meetin g Date Prepared b Ma or f review Co ncil 3 11/13/12 PMC ®Resolution Mtg Date 12/3/12 ®Ordinance Mtg Date 12/3/12 11/26/12 PMC Other Mtg Date SPONSOR Council Mayor .HR DCD Finance Fire IT P&R Police PIF/ 12/03/12 PMC RECOMMENDATIONS: SPONsoR /ADMIN. Finance /Public Works COMMITTEE For Information Only; Forward to Committee of the Whole COST IMPACT FUND SOURCE EXPENDTTURI� REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED $281,857,011 $281,857,011 Fund Source: MISCELLANEOUS FINDING SOURCES, SEE DETAIL. Comments: MTG. DATE RECORD OF COUNCIL ACTION 11/13/12 ITEM INFORMATION ITEM NO. 5.1. 185 STAFF SPONSOR: PEGGY MCCARTHY ORIGINAL AGENDA DATE 11/13/12 AGENDA ITEM TITLE An Ordinance adopting the 2013 -2014 biennial budget, and a resolution adopting the 2013 -2018 Capital Improvement Plan. CATEGORY ®DiscltsJ'ion Mtg Date 11/13/12 Motion Mt Date ®Resolution Mtg Date 12/3/12 ®Ordinance Mtg Date 12/3/12 BidAward Mt Date ®Public Hearing Mt Date 11126112 Other Mtg Date SPONSOR Council Mayor .HR DCD Finance Fire IT P&R Police PIF/ SPONSORS City Council is being asked to approve an ordinance adopting the 2013 -2014 biennial SUMMARY budget, and a resolution adopting the 2013 -2018 Capital Improvement Plan. These items are scheduled for Council consideration at the 11/26/12 Committee of the Whole and 12/03/12 Regular Council meeting. REVIEWED BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte Utilities Cmte Arts Comm. Parks Comm. Planning Comm. DATE: 11/06/12 COMMITTEE CHAIR: QUINN RECOMMENDATIONS: SPONsoR /ADMIN. Finance /Public Works COMMITTEE For Information Only; Forward to Committee of the Whole COST IMPACT FUND SOURCE EXPENDTTURI� REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED $281,857,011 $281,857,011 Fund Source: MISCELLANEOUS FINDING SOURCES, SEE DETAIL. Comments: MTG. DATE RECORD OF COUNCIL ACTION 11/13/12 11/26/12 MTG. DATE ATTACHMENTS 11/13/12 Informational Memorandum dated 11/07/12 Draft Ordinance and Draft Resolution Reconciliation of the 2013 -2014 Budget Summary to Ordinance <P /ease bring your copy of the preliminary budget C I P> 11/26/12 12/3/12 185 p itv o Jim Haggerton, Mayor MEMORANDUM TO: Mayor Haggerton Tukwila City Council FROM: Peggy McCarthy, Finance Director BY: Kimberly Matej, Government Relations DATE: November 8, 2012 SUBJECT: Preliminary 2013 -2014 Biennial Budget and Draft CIP Changes ISSUE As a result of Council work sessions and meetings, Mayoral direction, updated information, and ongoing staff discussions, changes have been made to the Mayor's Preliminary 2013 -2014 Biennial Budget and Draft 2013 -2018 Capital Improvement Program (CIP) since the Council received the document on October 22. Staff is seeking Council review of these changes and direction, as appropriate, for additional and necessary changes to the budget. BACKGROUND The Proposed Preliminary Biennial Budget for 2013 -2014 and Draft 2013 -2018 CIP were presented to Council on October 1, 2012. The Council held budget work sessions on October 10, 11, and 12, 2012, to discuss these documents. Suggestions made by the Council at the work sessions were taken into consideration, and incorporated into the Preliminary Budget per Mayoral direction. The Preliminary 2013 -2014 Budget was presented to Council on October 22, 2012. DISCUSSION The changes below have been made to the Preliminary 2013 -2014 Biennial Budget and Draft CIP since the Council received the budget document on October 22, 2012. New pages reflecting these changes accompany this memo for insertion into the Preliminary Budget document. Financial Projections for 2013 -2018 An overestimation was identified in the 2013 beginning fund balances for the City's General Fund and Bridges and Arterial Streets 104 Fund. The beginning fund balances for the General Fund and 104 Fund have been reduced by $1.2 million and $2.8 million, respectively. The following budgetary /CIP changes have been made as a result. 1. RESIDENTIAL STREETS Draft CIP Page 2: The 40 -42 Ave South (S 160 St S 131 PI) funding scheduled for 2014 has been moved to 2015 (replace with new page). Draft CIP Page 7: Residential Improvements (sidewalk) funding has been moved from 2015, and is now scheduled to begin in 2016 (replace with new page). 2. FACILITIES Draft CIP Page 73: City Hall Campus /Community Justice Center (facilities scoping /needs analysis) funding for 2013 has been reduced from $1.5 million to $500,000. This new reduced amount is considered sufficient to fund preliminary work that is anticipated to be conducted for facilities scoping and needs analysis in relation to existing City buildings. The $1 million was moved into the Beyond column (replace with new page). 187 Preliminary Budget Draft CIP: Changes page 2 DRAFT CIP Page 76: Projected expenditures for Facilities Improvements in the 303 General Government Improvements Fund have been reduced from $300,000 to $200,000 in years 2015 -2018. Improvements made to existing facilities will be for operating necessities only (replace with new page). 3. EQUIPMENT RENTAL Preliminary Budget Pages 325 and 188: The two fire engine pumpers budgeted on Page 325 of the Preliminary Budget will be purchased via financing rather than a cash payment. This does not affect that financial layout of page 325, but will affect the 2013 and 2014 Fire Suppression budget on Page 188 (replace with new page). Position Addition The Preliminary Budget includes the addition of a Government Relations Manager position to the Mayor's Office. This position will be responsible for federal, state, regional and local government relations and affairs; and actively engage with federal, state and regional elected officials and associations such as the National League of Cities (NLC), Association of Washington Cities (AWC), Suburban Cities Association (SCA), and various King County regional committees. Additionally, this position will be heavily involved with communications and public information fostering a responsive government by connecting our community to information, services and solutions. This will be part of a larger effort, as identified through the Strategic Plan, for the need to strengthen the City's organizational culture of customer service and enhance our current community engagement and public information efforts. This position will also play an integral part in obtaining additional revenue opportunities for the City as well as be dedicated to State legislative issues. This will predominantly affect Preliminary Budget Pages 68 -70 (replace with new pages). Attachment A Attachment A has been updated to reflect significant changes as outlined in this memo. Since Attachment A is included in several areas of the budget, replacement pages with numbers will be distributed as appropriate. Special Note Regarding Replacement Pages. In an effort to minimize confusion while maintaining efficiency, staff is only replacing Preliminary Budget pages that reflect significant changes. There are, and may be, additional pages affected by a change which will not be updated at this time as the change will not substantially affect the information provided. RECOMMENDATION Staff is seeking Council feedback on the changes outlined in this memo as well as any additional areas of discussion or changes relating to the full Council initiatives. This item will be scheduled for additional Council discussion and public hearing at the November 26 Committee of the Whole. Draft ordinances, resolutions and reconciliations relating to the budget are included as attachments to this memo for ongoing Council review. ATTACHMENTS Preliminary Budget Replacement Pages Draft Budget Ordinance Draft CIP Resolution Reconciliation of the 2013 -2014 Budget Summary to Ordinance DRAFT AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ADOPTING THE BIENNIAL BUDGET OF THE CITY OF TUKWILA FOR THE 2013- 2014 BIENNIUM; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the preliminary budget of the City of Tukwila for the 2013 -2014 biennium was submitted to the City Council in a timely manner for their review; and WHEREAS, a Public Hearing on the proposed budget was advertised and held on November 26, 2012; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. The City Council hereby adopts the document entitled "City of Tukwila 2013 -2014 Budget," incorporated by this reference as if fully set forth herein, in accordance with RCW 35A.34.120. Section 2. The totals of the estimated revenues and appropriations for each separate fund and the aggregate totals are as follows: W: Word Processing \Ordinances\Adopt 2013 -2014 Biennial Budget for COW 11 -26 -12 VC:bjs Page 1 of 3 -0 Total Total Fund Expenditures Revenues 000 General $119,730,819 $119,730,819 101 Hotel /Motel 3,712,082 3,712,082 103 City Street 2,300,000 2,300,000 104 Arterial Street 48,887,820 48,887,820 105 Contingency 5,203,632 5,203,632 107 Fire Equipment Cumulative Reserve 1,030,000 1,030,000 109 Drug Seizure Fund 472,000 472,000 209 Limited Tax G.O. Bonds 2003 3,379,788 3,379,788 210 Limited Tax G.O. Refunding Bonds, 2003 979,750 979,750 211 Limited Tax G.O. Refunding Bonds, 2008 1,550,000 1,550,000 212 Limited Tax G.O. Bonds, 2009A 865,000 865,000 W: Word Processing \Ordinances\Adopt 2013 -2014 Biennial Budget for COW 11 -26 -12 VC:bjs Page 1 of 3 -0 Section 3. A complete copy of the final budget for 2013 -2014, as adopted, together with a copy of this adopting ordinance, shall be kept on file in the City Clerk's Office, and a copy 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. Section 4. 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 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 five days after passage and publication as provided by law. W: Word Processing \OrdinancesWdopt 2013 -2014 Biennial Budget for COW 11 -26 -12 VC:bjs Page 2 of 3 •m Total Total Fund Expenditures Revenues 214 Limited Tax G.O. Bonds, 2010A 1,172,114 1,172,114 216 Limited Tax G.O. Refunding Bonds, ValleyComm 472,000 472,000 217 2011 Refunding Bonds 717,000 717,000 233 2013 LID 1,707,400 1,707,400 301 Land Acquisition, Recreation Park Devl. 4,577,000 4,577,000 302 Facility Replacement 6,366,204 6,366,204 303 General Government Improvements 2,173,684 2,173,684 304 Fire Improvements 400,200 400,200 401 Water 16,814,000 16,814,000 402 Sewer 14,401,000 14,401,000 411 Foster Golf Course 4,033,594 4,033,594 412 Surface Water 13,288,800 13,288,800 501 Equipment Rental 10,660,360 10,660,360 502 Insurance Fund 13,818,784 13,818,784 503 Insurance LEOFF 1 Fund 1,606,680 1,606,680 611 Firemen's Pension 1,537,300 1,537,300 Total All Funds Combined 281,857,011 281,857,011 Section 3. A complete copy of the final budget for 2013 -2014, as adopted, together with a copy of this adopting ordinance, shall be kept on file in the City Clerk's Office, and a copy 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. Section 4. 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 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 five days after passage and publication as provided by law. W: Word Processing \OrdinancesWdopt 2013 -2014 Biennial Budget for COW 11 -26 -12 VC:bjs Page 2 of 3 •m PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of 2012. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Shelley M. Kerslake, City Attorney Jim Haggerton, Mayor Filed with the City Clerk:_ Passed by the City Council: Published: Effective Date: Ordinance Number: Attachment: City of Tukwila 2013 -2014 Budget W: Word Processing \Ordinances\Adopt 2013 -2014 Biennial Budget for COW 11 -26 -12 VC:bjs Page 3 of 3 191 192 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ADOPTING THE 2013 -2018 FINANCIAL PLANNING MODEL AND THE CAPITAL IMPROVEMENT PROGRAM FOR GENERAL GOVERNMENT AND THE CITY'S ENTERPRISE FUNDS. WHEREAS, when used in conjunction with the biennial City budget, the Capital Improvement Program (CIP) and the Financial Planning Model for the period 2013 -2018 are resource documents to help plan directions the City will consider for the future; and WHEREAS, the Financial Planning Model and Capital Improvement Program are not permanent fixed plans, but are guidelines or tools to help reflect future goals and future resources at the time budgets are being planned; and WHEREAS, the commitment of funds and resources can only be made through the budget process; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The City Council hereby adopts the 2013 -2018 Financial Planning Model and accompanying Capital Improvement Program, incorporated by this reference as if fully set forth herein. Section 2. A copy of the 2013 -2018 Financial Planning Model and accompanying Capital Improvement Program shall be kept on file in the City Clerk's Office. Section 3. The assumptions, revenues and expenditures will be reviewed and updated annually, or as necessary, by the City Council. Section 4. The detail of Capital Improvement Program projects will be reflected in the published Financial Planning Model and Capital Improvement Program 2013 -2018. W: \Word Processing- City \Resolutions \Financial Planning Model CIP 10 -26 -12 VC:bjs Page 1 of 2 193 PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of 2012. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Verna Seal, Council President APPROVED AS TO FORM BY: Filed with the City Clerk:_ Passed by the City Council: Resolution Number: Shelley M. Kerslake, City Attorney Attachment: Financial Planning Model and Capital Improvement Program 2013 -2018 W: \Word Processing- City \Resolutions \Financial Planning Model CIP 10 -26 -12 VC:bjs Page 2 of 2 Reconciliation of 2013 -2014 Budget Summary to Ordinance 2013 2014 2014 Ending Total Fund Expenditures Expenditures Fund Balance Expenditures 000 General 55,526,548 59,976,109 5,428,162 120,930,819 101 Hotel /Motel 1,646,282 1,649,003 416,797 3,712,082 103 City Street 1,027,000 3,550,000 23,000 4,600,000 104 Arterial Street 23,583,425 25,212,291 192,104 48,987,820 105 Contingency 5,203,632 5,203,632 107 Fire Equipment Cumulative Reserve 1,030,000 1,030,000 109 Drug Seizure Fund 55,000 55,000 362,000 472,000 209 Limited Tax G.O. Bonds 2003 3,379,787 1 3,379,788 210 Limited Tax G.O. Refunding Bonds, 2003 490,500 488,250 1,000 979,750 211 Limited Tax G.O. Refunding Bonds, 2008 737,000 812,000 1,000 1,550,000 212 Limited Tax G.O. Bonds, 2009A 429,815 431,166 4,019 865,000 214 Limited Tax G.O. Bonds, 2010A 585,074 584,424 2,616 1,172,114 216 Limited Tax G.O. Refunding Bonds, ValleyComm 240,880 229,280 1,840 472,000 217 2011 Refunding Bonds 167,975 547,675 1,350 717,000 233 2013 LID 859,000 848,400 1,707,400 301 Land Acquisition, Recreation Park Devl. 1,122,000 2,682,000 773,000 4,577,000 302 Facility Replacement 1,590,000 4,365,000 411,204 6,366,204 303 General Government Improvements 1,454,937 460,205 258,542 2,173,684 304 Fire Improvements 400,200 400,200 401 Water 6,596,809 7,099,456 3,117,735 16,814,000 402 Sewer 7,163,884 6,683,813 553,302 14,401,000 411 Foster Golf Course 1,707,617 1,751,908 574,069 4,033,594 412 Surface Water 5,126,694 7,129,092 1,033,014 13,288,800 501 Equipment Rental 3,883,538 2,414,633 4,362,189 10,660,360 502 Insurance Fund 5,012,149 5,373,006 3,433,629 13,818,784 503 Insurance LEOFF 1 Fund 508,491 553,078 545,111 1,606,680 611 Firemen's Pension 70,900 72,727 1,393,673 1,537,300 Total 123,995,304 132,968,517 28,493,189 285,457,011 195 Reconciliation of 2013 -2014 Budget Summary to Ordinance 2013 Beginning Fund Fund Balance 2013 Revenues 2014 Revenues Total Revenues 000 General 5,000,000 59,515,079 56,415,741 120,930,819 101 Hotel /Motel 650,000 1,524,766 1,537,316 3,712,082 103 City Street 700,000 839,000 3,061,000 4,600,000 104 Arterial Street 3,000,000 20,994,820 24,993,000 48,987,820 105 Contingency 1,500,000 1,501,816 2,201,816 5,203,632 107 Fire Equipment Cumulative Reserve 1,030,000 1,030,000 109 Drug Seizure Fund 280,000 96,000 96,000 472,000 209 Limited Tax G.O. Bonds 2003 3,303,000 76,788 3,379,788 210 Limited Tax G.O. Refunding Bonds, 2003 1,000 490,500 488,250 979,750 211 Limited Tax G.O. Refunding Bonds, 2008 1,000 737,000 812,000 1,550,000 212 Limited Tax G.O. Bonds, 2009A 1,000 432,000 432,000 865,000 214 Limited Tax G.O. Bonds, 2010A 1,000 586,057 585,057 1,172,114 216 Limited Tax G.O. Refunding Bonds, ValleyComm 1,000 241,000 230,000 472,000 217 2011 Refunding Bonds 1,000 168,000 548,000 717,000 233 2013 LID 859,000 848,400 1,707,400 301 Land Acquisition, Recreation Park Devl. 500,000 1,149,000 2,928,000 4,577,000 302 Facility Replacement 2,000,000 5,602 4,360,602 6,366,204 303 General Government Improvements 200,000 1,347,842 625,842 2,173,684 304 Fire Improvements 300,000 50,100 50,100 400,200 401 Water 4,000,000 5,392,000 7,422,000 16,814,000 402 Sewer 1,100,000 6,655,000 6,646,000 14,401,000 411 Foster Golf Course 200,000 1,791,597 2,041,997 4,033,594 412 Surface Water 2,000,000 4,206,900 7,081,900 13,288,800 501 Equipment Rental 4,000,000 3,823,058 2,837,302 10,660,360 502 Insurance Fund 4,500,000 4,659,392 4,659,392 13,818,784 503 Insurance LEOFF 1 Fund 1,600,000 3,340 3,340 1,606,680 611 Firemen's Pension 1,420,000 58,650 58,650 1,537,300 Total 37,289,000 117,204,306 130,963,705 285,457,011 W