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2019-2020 Final BudgetiuuVWquJllhuuuuuuuuuu 2019-2020 Biennial Budget —This page left blank intentionally— CITY OF PORT ORCHARD The mission of the City of Port Orchard is to promote economic development and prosperity within our community while simultaneously providing quality support and services to our residents. We are dedicated to providing a high level of public safety, infrastructure, and economic strength while preserving our small- town character. 2019-2020 BUDGET FOR FISCAL YEAR JANUARY 1, 2019 THROUGH DECEMBER 31, 2020 ADOPTED BY: The City Council Port Orchard, Washington ORDINANCE NO. 036-18 PREPARED BY: Office of the City Treasurer Noah Crocker FINANCE DIRECTOR Rebecca Nichols ASSISTANT FINANCE DIRECTOR ACCOUNTING ASSISTANTS Kathy Cain Heidi Draper Gretchen Isaksson Kori Pearson Patti Saltsgaver —This page left blank intentionally— TABLE OF CONTENTS INTRODUCTION Mayor's Letter 1 City Overview 5 General Information 9 Statistical Information 10 Budget Process 13 Budget Calendar 14 Ordinance No. 036-18 15 Organization Charts 19 Officials 21 Boards and Commissions 22 Council Committees 24 Council Goals 25 Financial Message 26 Budget Guide 27 Financial Policies 45 Citywide Revenues & Expenditures 47 Summary of Revenues 48 Summary of Expenditures 49 Budget Revenues by Category 50 Budget Expenditures by Category 51 Fund Balance Changes 52 Personnel List 54 Salary Schedule 55 Transfer Schedule 56 GENERAL FUNDS Overview 57 Revenues & Expenditures 58 Fund Balance and Reserves 59 GENERAL GOVERNMENTAL Current Expense Revenues REVENUES City Street Revenues GENERAL GOVERNMENTAL Administration Department........ ..... . . 60 63 EXPENDITURES .................................................................................................. 64 Legislative - City Council 74 Executive — Mayor 74 Record Services 74 Legal Services 75 Miscellaneous 75 Festival of Chimes & Lights 75 Finance Department 76 Finance 82 Human Resources 82 Information Technology 83 Municipal Court 85 PoliceDepartment 8U Police Department 92 Detention and Correction 04 Emergency Services 05 Community Development Department 06 Commute Trip Reduction 101 Building Inspections 101 Community Development 101 Property Development 101 Public Works Department 103 Other Governmental Services 109 Library Services and Facilities 189 Parks and Recreation 100 City Street 111 SPECIAL REVENUE FUNDS Criminal Justice 113 Special Investigative Unit 114 Community Events 115 Paths &Trails 116 Real Estate Excise Tax 117 Impact Fee Transportation 118 Impact Fee Parks 118 Impact Fee McCormick Woods 118 Impact Fee Bayeida 118 ENTERPRISE FUNDS -OPERATIONS Utility Overview (Water Sewer & Storm Drainage) 110 Water Sewer Utility Fund -Fund Closeout 122 Water Utility Operations 128 Storm Drainage Utility Operations 131 Sewer Utility Operations 134 �� ^�� ,�� FUNDS Bond Redemption Fund 135 Water Debt Service Fund 136 Storm Drainage Debt Service Fund 137 Sewer Debt Service Fund 138 CAPITAL PROJECTS FUNDS Capital Projects Overview 139 Capital Construction 140 Street Capital Projects 141 Water Capital Fund 143 Storm Drainage Capital Fund 144 Sewer Capital Fund 145 ii �� / |� � w��[��(7� , /^�� FUNDS General Fund Stabilization 146 Cumulative Reserve for Municipal Equipment -Fund Closeout 147 VVatorSoworEquipmentRop|amamont-FundC|oaoout 148 Water Sewer Cumulative Reserve -Fund Closeout 140 Water Stabilization Fund 150 Storm Drainage Stabilization Fund 151 Storm Drainage Equipment Reserve -Fund Closeout 152 Sewer Stabilization Fund 153 ��<��p[��U��pU��\�1U/��]/��U�\ �_.~ REPLACEMENT ... �� REVOLVING .~ v \�_'^^�"^� Equipment Replacement & Revolving Fund Overview 154 Revenues 157 Expenditures 157 GLOSSARY 159 iii CITY OF PORT ORCHARD Mayor 216 Prospect Street, Port Orchard, WA 98366 Voice: (360) 876-4407 • Fax: (360) 895-9029 rputaansuu@cityofportorchard.us www.cityofportorchard.us January 1, 2019 To: Citizens of Port Orchard Port Orchard City Council Mayor's Budget Message and Accomplishments The 2019-2020 Biennial Budget was crafted to address the vision presented by the council during their 2018 retreat. This budget completes the capital projects already underway, continues to support public safety and make critical investments for a sound and sustainable financial future. This budget establishes and funds an Equipment Rental and Revolving Fund which will be used to provide funding to operate, maintain and replace the City's aging vehicle fleet in a sustainable manner. The budget continues to focus on creating greater transparency and forward thinking. We have created separate enterprise funds for water and sewer while bringing city wide policy goals in alignment with the plan. There will be a standard and consistent approach to each of our funds by establishing an operating, stabilization, capital and debt service fund associated with each major fund category. This effort provides the public greater transparency of how tax dollars are being spent and demonstrates good public stewardship. It continues to promote fiscal responsibility by establishing appropriate fund balance levels while still reinvesting in our community. Operating Budget Highlights Administration Department • Renewal and management of required contracts Continue to invest in streamlining processes to allow the City to respond to the high volume of public records requests Police Department • Investments that keep public safety a high priority • Invests in new Police vehicles as part of the ER&R fund Page 1 of 170 CITY OF PORT ORCHARD Mayor 216 Prospect Street, Port Orchard, WA 98366 Voice: (36o) 876-4407 • Fax: (36o) 895-9029 rputaansuu@cityofportorchard.us www.cityofportorchard.us Public Works Department • Investments that keep public infrastructure and maintenance a high priority in our transportation, water, sewer and storm systems • Provides major investments in Bridge and Road maintenance • Invests in new Public Works vehicles as part of the ER&R fund Finance Department • Investing in a new accounting software to better align business practices Information Technology Department • Continue to replace outdated equipment and software • Establishing a base line technology budget which accounts for basic hardware and software needed to perform city business • Moves department specific software and hardware IT products to those departments to better manage IT needs and the cost of service Human Resources Department • Promotes wellness for city employees • Provides funding and support for Police Chief recruitment • Provides funding for future salary survey report update Department of Community Development • Provides funding in the Department of Community Development (DCD) to look forward by planning to address future growth and needs of our citizens • Continues investments in code enforcement and abatement Courts Department • Continues to operate our court system in an effective and efficient manner Capital Budget Highlights The Capital Budget completes major transportation, water and sewer projects and a park project within our current resources. The Tremont Widening is anticipated to be complete in 2019 and is a project of major significance as it will improve travel times, bring the roadway up to current standards, and improve safety for bicyclists and pedestrians. The water projects will provide the water we need now and into the future as well as improve our water quality. Our sewer projects will replace aging Page 2 of 170 CITY OF PORT ORCHARD Mayor 216 Prospect Street, Port Orchard, WA 98366 Voice: (36o) 876-4407 • Fax: (360) 895-9029 rputaansuu@cityofportorchard.us www.cityofportorchard.us infrastructure that will protect the environment and provide for future growth. The park project will further enhance our Bay Street Pedestrian Path. The Capital Budget was designed per council direction with the following guiding principles: • To maximize the return on investment and City resources, Council directed staff to focus on completing the prioritized Comprehensive Plan projects list • Finance budgeted against the Comprehensive Plan projects for the 2019-2020 Biennial Budget • No new projects outside of the Comprehensive Plan were considered • The City will maintain a list of new projects which carry a status of a lower priority and can be re- evaluated should any of the higher priority projects not advance • City staff will report back to the Mayor this project status updates Capital Budget Highlights: Sewer Capital Projects Water Capital Projects Storm Drainage Capital Projects Parks & Facilities Capital Projects Transportation Capital Projects Total Capital Projects Capital Budget Project Detailed List: Sewer Capital Projects: Marina Pump Station McCormick Pump Station Tremont Widening Sewer Improvements 3 5 1 1 3 13 8,296,600 6,350,000 168,800 500,000 5,032,500 20,347,900 Page 3 of 170 CITY OF PORT ORCHARD Mayor 216 Prospect Street, Port Orchard, WA 98366 Voice: (36o) 876-4407 • Fax: (360) 895-9029 rputaansuu@cityofportorchard.us www.cityofportorchard.us Water Capital Projects:: Telemetry Upgrades Water Main Replacement Program Pressure Reducing Valve Stations Well #9 Treatment Facility Well #13 Construction Storm Capita/ Projects: Comprehensive Plan Update Identification of stand-alone Storm Drainage Capital Projects Identification of multi -faceted projects which require Storm Drainage Investments Tremont Storm Drainage Infrastructure Parks & Facility Capital Projects.: Rockwell Park Transportation Tremont Bay Street Pedestrian Path Right of Way Acquisitions Old Clifton Design Conclusion I would like to thank the professional staff for their input and hard work in writing this budget. I look forward to working with the City's Finance Committee, Councilmembers and Citizens in the implementation of our 2019-2020 biennial budget. Sincerely, Robert Pulaahsuu Mayor Page 4 of 170 CITY OVERVIEW HISTORIC PORT ORCHARD Port Orchard is the county seat of Kitsap. But it was not always the county seat, nor was it always called Port Orchard. Originally called Sidney, Port Orchard was platted in 1886 by Frederick Stevens, who named it after his father Sidney. The Illinois inventor, Sidney M. Stevens came west from DeKalb, IL for a family visit to the Long Lake area. He liked what he saw so much that he paid $900 for 88 1/2 acres with the intention of creating a town. SIDNEY STEVENS The boundaries were similar to FREDERICK STEVENS those today -Sinclair Inlet on the north, Mitchell Road on the east, South Street on the south, and one block west of Short Street on the west. Early industry was primarily lumber and the loggers that frequented the nine saloons in town. The town of Sidney was incorporated September 15, 1890, and was the first in Kitsap County to be both platted and incorporated. Shortly after Sidney was platted, the Navy Department was looking for a site for a second naval installation on the Pacific Coast. Sidney residents took an active role in influencing the commission of the Port Orchard Navy Yard (now Puget Sound Naval Shipyard). Page 5 of 170 The same year the Navy officially dedicated the Port Orchard Navy Yard, Sidney had its first big fire. The town lost the original Sidney Hotel and a couple of residences on Prospect Street. In 1894, all buildings on both sides of Bay between Sidney and Frederick were burned down. When the county was first established, the county seat was placed in Port Madison. Sidney decided it wanted the county seat and at the general election in 1892, voters agreed since Sidney had such bright development prospects. In the middle of all this growth and occasional disaster was a political fight of major proportions. Harry Masterman Orchard, ship's clerk attached to the flagship Discovery received credit for discovering the body of water that now bears his name. In December 1892, the people of Sidney requested the legislature and separately to the Post Office Department to change the name of their town to Port Orchard. The legislature refused. Charleston (now West Bremerton) had also requested the name of Port Orchard. Commander Morong requested the Navy yard mail be routed through the proposed Port Orchard post office. Through a series of confusions and misunderstanding by various departments about the geography of this region, the Port Orchard post office ended up in Sidney and the Charleston post office was in Port Orchard. It stayed this way for ten years until Will Thompson, editor of the Sidney Independent, went into State legislature (1902-03) and succeeded in restoring the Charleston post office to Charleston and the Port Orchard post office to Port Orchard. In 1903 the legislature changed the name of Sidney to what we know it as today...Port Orchard. PORT ORCHARD TODAY Port Orchard is located on the Sinclair Inlet of the Puget Sound. As a waterfront community we are proud of our amenities. Our numerous marinas provide visitors and boat dwellers alike with convenient accommodations. Our downtown corridor offers shopping, museums, entertainment, galleries and dining. With ferry access from Bremerton and Seattle, an excursion to Port Orchard is an easy day trip or a weekend getaway. When visiting our city, it is hard to miss the majestic view of the Olympic Mountains and the pride of military heritage just across the water at the Puget Sound Naval Shipyard. Port Orchard is business -friendly and customer service is our top priority. All city employees are trained in customer service and are committed to providing you with services that exceed your expectations. If you are thinking about opening a new business, relocate your business, or grow your business, our staff are Page 6 of 170 here to help you move seamlessly through the steps and get your business up and running in the City of Port Orchard as soon as possible. The City has an Economic Development/Tourism Committee, comprised of City Councilmembers and City staff, whose goal this year is to adopt a Tourism Promotion Strategic Plan. The City of Port Orchard is also a part of the Kitsap Economic Development Alliance, whose mission is through a partnership of government and business, attract and retain primary businesses to Kitsap County and its individual communities, ensuring growth and a desirable quality of life. CULTURAL ACTIVITIES Port Orchard plays host to many festivals and events throughout the year. The Farmers Market is always a favorite of local citizens and operates every Saturday from April to October. Late spring/early summer brings the fun of the Seagull Calling Festival as part of the Kitsap Harbor Festival. Take pleasure in the evenings at Waterfront Park enjoying the free Concerts by the Bay series. Summertime fun includes the Fathoms O'Fun Festival and 4th of July Fireworks, concluding with the Cruz Classic Street Fair in August. Close out the year with the Annual Festival of Chimes and Lights and Jingle Bell Run in December — fun for the entire family. 2019 PUBLIC ACCESS & AMENITY PROJECTS This coming year will bring additional work on the Bay Street Pedestrian Pathway; McCormick Park; and the NEW Rockwell Park. In 2019 the City completes segment 3 of the Pedestrian Pathway and continues work to acquire properties necessary to proceed with the final construction phases of the pathway. Beginning at the foot -ferry dock at Sidney, the pathway will make its way along Bay Street ending at the Annapolis dock. A long-term project, the pathway is expected to be completed no later than 2023. The pathway is part of Kitsap's countywide Mosquito Fleet Trail. The Bay Street Pedestrian Pathway provides a safe area for walking and bicycling for local citizens and tourists alike. Page 7 of 170 McCormick Park began construction in 2014 with the completion of a restroom, parking area, and trail. In 2016 Phase II brought us the final design, partially funded with a grant from the Washington State Recreation and Conservation Office (RCO). The build -out of the park began in 2018 and is expected to be completed in 2019. Once construction is finished, the 27.4-acre McCormick Park will provide the Port Orchard community with playgrounds, a dog park, trails, picnic shelters and tables, and natural wetlands and forest. The Rockwell park project began in late 2018 and is expected to be completed by Summer 2019. This pocket park provides access to the Bay Street Pedestrian Path and also allows beach access. This will be a beautiful place for citizens to picnic and enjoy the views of the water. The City of Port Orchard continues to work towards making the city a place where its citizens want to live. As we move towards completion of these projects, rest assured that we will continue to look for ways to improve our city. Page 8 of 170 GENERAL INFORMATION: Form of Government Type of Government Location County Land Area Rank in Size/State Rank in Size/County Population - 2016 Assessed Valuation (Taxable) City Employees GENERAL INFORMATION Mayor -Council Second -Class City Kitsap Peninsula Kitsap 9.35 Sq. Miles 66 3 14,160 1,849,694,593 84 2019 PROPERTY TAX LEVY: Regular Levy $2,843,025 2019 PROPERTY TAX RATE: Port Orchard City State School Levy Kitsap County C.E. Kitsap County Mental Health Kitsap County Veterans Relief Kitsap County Conservation Futures P.U.D. Port of Bremerton S.K. Schools S.K. Fire & Rescue Kitsap Regional Library Total Property Tax Rate UTILITY TAX RATE: Electric, Telephone, Solid Waste Gas Cable PARKS & RECREATION: Total Acreage Number of Parks & Playgrounds 1.536781 2.661732 0.854767 .025000 .013000 .037255 .063834 .294305 2.123677 1.923686 .393802 9.927839 6% 6% 5% 53.1 9 STREETS: Total Streets in Miles Total Pedestrian Trails in Miles SALES TAX RATE: State Criminal Justice City Kitsap County Kitsap Transit County Jail Expansion Emergency Communications KC Mental Health Treatment Serv. State Administration Fee Sales Tax Rate STATE EXCISE TAX RATE: Water Utility Sewer Utility Storm Drainage Utility 65.67 1.53 6.50 0.10 0.84 0.15 1.10 0.10 0.10 0.10 0.01 9.00 5.029% 3.852% 1.800% HOTEL/MOTEL TAX RATE: 0.20% BUSINESS LICENSE FEE: General Business Non -Profit Business $35.00 No Cost LICENSES & PERMITS ISSUED IN 2018: General Business Licenses 868 Building Permits 564 ELECTION & VOTER REGISTRATION: Number of Registered Voters 8,322 2019 UTILITY BI-MONTHLY RATE: Water $74.50 base up to 5000 gal. + 3.35-3.65 for each add'I 1000 gal. Sewer $150.00 Storm (Residential) $28.00 Page 9 of 170 STATISTICAL INFORMATION Incorporated in 1890 Elevation: 140 feet Latitude: 47.53 N, Longitude: 122.64 W Population density: 1,476.5 people per square mile Population in 2014: 13,266. Population change since 2000: +72.4% Females 6963: males 6303: Washington median age: Median resident age: (47.5%) (52.5%) 37.7 years 32.4 years For population 25 years and over in Port Orchard: • High school or higher: 90.5% • Bachelor's degree or higher: 24.9% • Graduate or professional degree: 7.5% • Unemployed: 8.5% • Mean travel time to work (commute): 27.0 minutes For population 15 years and over in Port Orchard city: • Never married: 32.6% • Now married: 49.5% • Separated:2.3% • Widowed:6.3% • Divorced:9.3% June, July and August offer warm days and blue skies. August is usually the warmest summer month with an average high of 75F and low 53F. December and January are the coldest of the winter months with January averaging 44F high and 34F low. A day or two of snow is not uncommon during the winter. Our reputation for constant winter rain is undeserved although many fall and winter days are overcast. Page 10 of 170 Average Temperatures eO'F WF 70'F K'F s0DPF 4TF 0 » Precipitation �� mFeb Mar Apr May Jun Jt9w,ugSep WNov Full-time law enforcement employees in 2016, including police officers: 25 (23offimaro). Officers per 1.000residents here: Washington average: Estimated median household income in2U16: $67.700(it was 834.02Oin2000) Port Orchard: $67,700 Washington: Estimated per capita income in 2015: $29,401 (it was $16,382 in 2000) Estimated median house or condo value in 2016: $282,306 (it was $117,000 in 2000) Port Orchard: RVIVERMERVEANEIRMIN $282'308 Washington: mw Average US average Mean prices in 2016:AJ| housing units: $354.744; Detached houses: $378.276; Townhouses ovother attached units: $344.184; |n2'unkstructures: $286.470; In 3'to+4'undstrudmnos $456.350; In 5-or-more unit structures: $280.361; Mobile homes: $136.088; Occupied boats, RVs, vans. etc.: $147.936 Median gross rent in 2016: $1,152 Median real aabab» property taxes paid for housing units with mortgages in 2016: $2.435 K0.096> Median real estate property taxes paid for housing units with no mortgage in 2016: $2,698 (0.9%) Page 11or17o COVE( 220 1 2012 Home Sales in Port Orch rd, WA 2013 Single-family new house construction building permits • 1997: 22 buildings, average cost: $76,400 • 1998: 38 buildings, average cost: $72,400 • 1999: 51 buildings, average cost: $68,600 • 2000: 36 buildings, average cost: $81,800 • 2001: 28 buildings, average cost: $84,900 • 2002: 36 buildings, average cost: $75,800 • 2003: 69 buildings, average cost: $69,800 • 2004: 48 buildings, average cost: $135,900 • 2005: 23 buildings, average cost: $122,100 • 2006: 48 buildings, average cost: $135,900 • 2007: 37 buildings, average cost: $145,500 • 2008: 15 buildings, average cost: $162,800 • 2009: 54 buildings, average cost: $199,600 • 2010: 115 buildings, average cost: $209,500 • 2011: 66 buildings, average cost: $215,200 • 2012: 88 buildings, average cost: $244,800 • 2013: 42 buildings, average cost $195,600 • 2014: 49 buildings, average cost $229,300 2014 Pnce $220,000 $2K000 15180 000 SOURCES: City-Data.com - http://www.city-data.com/city/Port-Orchard-Washington.html U.S. Census Bureau - http://www.factfinder.census.gov Office of Financial Management - http://www.ofm.wa.gov/pop/aprill/default.asp *The data presented is the most current information available Page 12 of 170 �� _ �� Budget Process Preliminary Budget Development Treasurer prepares revenue projections for all funds: estimates ending fund balance for the General Fund. Departments provided Budget preparation material '-~~ /^ Department Heads submit / departmental budgets and `\~ supplemental requests -4 Council sets broad goals, initiatives and policy, which provides budget I Finance Department compiles the oo-J, "Preliminary Budget requests" and supplemental requests � -� /Mayor 8Treasurer review "Preliminary Budget" and supplemental \ requests and make budget recommendations / The Mayor's Preliminary Budget, including the Mayor's Budget Message, ispresented mthe { N~ Council, and made available mpublic. { City Council wmrkotudiesare held mdeliberate onsupplemental ` requests and budget issues Budget Adoption Final Budget adopted by City Council Midbiennium Review No City Clerk publishes notice orfiling orpreliminary budget and notice of public hearing date. City Council sets property tax levy Public hearing nnproposed budget isheld atCouncil meeting City transmits final budget to the / Division mMunicipal Corporation mthe � Budget document made OLaLe Auditor uunuemmmom / avai/uulemthe public Association orWashington Cities ,/ |CUyCounm»eanngon/ ' review outcome Page 13uf1r0 � Revenue Hearing and City Council sets property tax levy BUDGET CALENDAR 2018 CALENDAR FOR PREPARATION AND ADOPTION OF 2019-2020 BIENNIAL BUDGET JUNE JULY AUGUST • Review and Adopt an ERR Fund • Begin reviewing and identify funding for the Capital Budget Per Comp Plans • Mayor discusses 2019-2020 fiscal year goals and aspirations with Department Heads. The meetings are non -documentary • Project Revenue estimates for 2019-2020 • Current budget mid -year report to Finance Committee • Personnel Salary and Benefits projections for 2019-2020 • Dept provided budget preparation material to prepare detailed estimates for the 2019-2020 budget • Treasurer prepares revenue projections for all funds; estimate ending balance for the General Fund on December 31, 2018 SEPTEMBER • Dept Heads submit budget and supplemental requests to the Finance Department • Finance Department reviews budget requests for formatting and account coding • Mayor and Treasurer review "Preliminary Budget -Narrative" and dept requests • Treasurer schedules meetings with Mayor and Department Heads to review budget and supplemental requests • Finance Department prepares Preliminary Budget Publication OCTOBER • Preliminary Budget delivered to the City Council and available to the public • Council Meeting — Public Hearing on Revenue Sources • Finance Committee Meeting to Review Preliminary Budget • Council Study Session regarding 2019-2020 Budget and Revenue • Publication of notice of availability of the 2019-2020 Preliminary Budget for public review and public hearing notice for the proposed final budget to be published • All day Finance Committee meeting: Department budget review NOVEMBER • City Council Meeting for the first and final reading of an Ordinance setting the 2019- 2020 Property Tax Levy • Finance Committee meeting to review the budget • Council Study Session on proposed budget • Copies of Proposed Budget made available to the public • City Council meeting: Public hearing and first reading of the 2019-2020 Budget Ordinance • City Council meeting adopting the 2019-2020 final budget Page 14 of 170 ORDINANCE NO. 036-18 AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHUNGTON, ADOPTING THE 2019'2020 BIENNIAL BUDGET; PROVIDING FOR SEVERABILITY AND PUBLICATION; AND SETTING AN EFFECTIVE DATE. WHEREAS, the preliminary budget for the 3019'2030 biennium, available October l6,2Ol8,was submitted tothe City Council; and WHEREAS' the [bv Council held a comprehensive work study session on the 2019-2020 preliminary budget on October 16, 2018; and WHEREAS, the full Council was invited to meet on October 19, 2018 to conduct department interviews and discuss the preliminary budget to make final recommendations; and WHEREAS, the Council Finance Committee and two additional council members met on October 19, 20I8 and conducted department interviews and discussed the preliminary budget to make final recommendations to the full Council; and WHEREAS, the two remaining council members met on October 24, 2018 and discussed the preliminary budget as well as the City Council recommendations from the October l9,2O18meeting; and WHEREAS, the City Council held apublic hearing on revenue sources on October 33,3018;and WHEREAS, the City Council acted to adopt the 2019 Property Tax Levy on October Z3,3OI8;and WHEREAS, a Notice of Hearing was published on November 3, 2018L and November 9, 3018, in the Port Orchard independent newspaper stating the 3019'2020 preliminary budget was on file with the City Clerk and copies could be obtained at the Finance Department, and inviting the public to attend and/or submit written comments atthe public hearing held November l3,2OI8; and WHEREAS, the City Council held a public hearing on November 13, 3018 regarding the preliminary budget for the 2019-2020 biennium, seeking public input on city priorities, public safety enhancements, cultural and recreational opportunities, and other public services; and WHEREAS, the City Council held a work study session on November 20, 2019 to Page 15 of 170 Ordinance No. 036-18 Page 2 of 4 WHEREAS, a copy of the 2019-2020 preliminary budget has been on file with the City Clerk and copies available from the Finance Department for examination by the public during the time it was considered by the City Council; and WHEREAS, this Ordinance represents the 2019-2020 comprehensive biennial final budget, setting forth in summary form the totals of estimated revenues and appropriations of each separate fund and the aggregate totals of all such funds combined; and WHEREAS, a complete copy of the final budget as adopted shall be transmitted to the State Auditor and to the Association of Washington Cities per RCW 35.34.120; now, therefore, THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO ORDAIN AS FOLLOWS: SECTION 1. the Budget of the City of Port Orchard for the 2019-2020 biennium is hereby adopted in its entirety as set forth below: Page 16 of 170 Fund No. 001 002 003 103 104 107 108 109 206 302 304 401 403 411 412 413 414 421 422 423 424 431 432 433 434 500 Fund Name Current Expense Fund City Street Stabilization Criminal Justice Special Investigative Unit Community Events Paths & Trails Real Estate Excise Tax Impact Fee Bond Redemption Fund Capital Construction Street Capita Projects Water -Sewer Utilities Water -Sewer Cumulative Reserve Water- Operations Water - Stabilization Water - Capital Projects Water - Debt Service Storm Drainage - Operations Storm Drainage - Stabilization Storm Drainage - Capital Projects Storm Drainage - Debt Service Sewer - Operations Sewer- Stabilization Sewer- Capital Projects Sewer - Debt Service ER&R Grand Total Total Revenue Appropriation 23,143,600 4,021,508 1,311,11 930,873 70,000 252,500 9,780 3,496,331 1,649,638 757,383 818, 000 5,475,094 4,867, 7,427,3(X) 390,") 8,530,500 130,128 4,328,822 175,2(X) 670,440 354,754 11,425,..$ 606,700 9,469,00' 30,128 5,242,637 5,242,637 97,584,816 97,584,816 Ordinance No. 036-18 Page 3 of 4 Total Expense Appropriation 23,143,600 4,021,508 1,311,900 930,873 70,e a 252,500 9,780 3,496,331 1,649,638 757,383 000 5,475,094 4,867, 7,427,300 390, 8,530,500 130,128 4,328,822 175,200 670,, 354,754 111 1 425 600 I 606 700 9,469, 30,128 I II SECTION 2. Severability. If any section, sentence, clause or phrase of this Ordinance should be held to be unconstitutional or unlawful by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. SECTION 3. Publication. This Ordinance shall be published by an approved summary consisting of the title. SECTION 4. Effective Date. This Ordinance shall take effect and be in full force and effect five days after publication, as provided by law. Page 17 of 170 Ordinance No. 036-18 Page 4 of 4 PASSED by the City Council of the City of Port Orchard, APPROVED by the Mayor and attested by the Clerk in authentication of such passage this 27th day of November 2018. ATTEST: Brancfy Rinearson, MMC, City Clerk APPROVED AS TO FORM: ) on Cates, City Attorney Robert Pu aansuu, Mayor SPONSOR: n C auson, Councilmember PUBLISHED: December 7, 2018 EFFECTIVE DATE: December 12, 2018 Page 18 of 170 33110d JO 3311-13 NVi18 3AI1f13 H3N 1113 ivIDIcrn M 0 z n Page 19 of 170 Citizens Mayor Municipal Court Police Finance & Technology Administration Public Works — Engineering — Facilities Maintenance — Parks — Streets — Storm Drainage — Water I Sewer Community Development — Building — Code Enforcement — Planning Council Council Committees — Economic Development Tourism — Finance — Festival of Chimes & Lights — Lodging Tax Advisory — Public Property — Utilities Boards & Commissions — Animal Control Appeal Board — Building Board of Appeals — Civil Service Commission — Design Review Board — Kitsap County Public Facilities Board — Planning Commission — Solid Waste Advisory Board Page 20 of 170 OF FICIALS S ELECTED OFFICIALS TERm ExPIRATION COUNCIL MEMBERS POSITION No. 1 ShawnCuooiardi December 31.2010 POSITION No. 2 BokAohby December 31.2021 POSITION No. 3 Scott Diener December 31.2021 POSITION No. 4 JohnC|ausnn December 31.2U10 POSITION No. 5 CindyLuoaroUi December 31.2019 POSITION No. 0 Fred Chang December 31.2021 POSITION No. AT LARGE JayRnsapepe December 31.2U10 x��(��yJ��[j �� OFFICIALS Noah Crocker Finance Director Mark Dorsey Public Works Director/City Engineer Geoffrey Marti Police Chief Nicholas Bond Community Development Director Brandy0neansnn City Clerk Tim Drury Municipal Court Judge Sharon Cates ofLighthouse Law Group Attorney Page 21 of 170 BOARDS AND COMMISSIONS ANIMAL CONTROL APPEAL BOARD CURRENT MEMBERS: Lorraine Olsen, Dr. Nancy Isbell, and Bjorn Bjorke The animal control appeal board shall serve as the board of appeals for matters relating to declaration of potentially dangerous animals (levels 2 and 3) as established in Ordinance No. 1607, codified in POMC Title 7, and all subsequent amending ordinances thereto. Members shall consist of three members, who shall be appointed by the Mayor and two members shall be City residents, and one member shall be a veterinarian who is licensed by the State of Washington. Members shall serve a three-year term expiring December 31 st BUILDING BOARD OF APPEAL CURRENT MEMBERS: David Fall, Matt Zawlocki, Sean Hoynes, Scott Kiele, Robert McGee, Wayne Senter, Vacant The Building Board of Appeal consists of five individuals, one from each of the following professions or disciplines; and two alternate members, who shall be called by the board chairperson to hear appeals during the absence or disqualification of a member. The Alternate members shall be appointed for five years. Professionals or disciplines are as follows: 1.) Registered design professional with architectural experience or builder or superintendent of building construction with at least ten years' experience, five of which shall have been in responsible charge of work. 2.) Registered design professional with structural engineering experience. 3.) Registered design professional with mechanical and plumbing engineering experience or a mechanical contractor with at least ten years' experience, five of which shall have been in responsible charge of work. 4.) Registered design professional with electrical engineering experience or an electrical contractor with at least ten years' experience, five of which shall have been in responsible charge of work. 5.) Registered design professional with fire protection engineering experience or a fire protection contractor with at least ten years' experience, five of which shall have been in a position of responsibility. CITY'S REPRESENTATIVE TO THE SOLID WASTE ADVISORY BOARD CURRENT MEMBERS: Stephanie Bailey Solid Waste is an advisory committee to assist in the development of programs and policies concerning solid waste handling and disposal and to review and comment upon proposed rules, policies, or ordinances prior to their adoption. The committee shall consist of a minimum of nine members. The Mayor shall appoint a City representative at the end of their term. CIVIL SERVICE COMMISSION CURRENT MEMBERS: Ken Kambich, Jerry Childs, and Rick Wyatt The City of Port Orchard Civil Service Commission shall be composed of three members who shall serve without compensation and who shall have qualifications, powers, and duties prescribed and directed by Chapter 41.12 RCW. The commission members shall be appointed by the Mayor for six -year terms to expire on December 31 st. Page 22 of 170 DESIGN REVIEW BOARD CURRENT MEMBERS: John Purves, Scott Bonjukian, Ken Kambich, David Jeffcoat, Noel Larson The Design Review Board consists of five to seven members appointed by the Mayor for three-year terms which expire on December 31st. Board members review development applications associated with development of the downtown overlay district area and make recommendations to the Director of Community Development regarding the applications' consistency with adopted design guidelines. KITSAP COUNTY PUBLIC FACILITIES DISTRICT BOARD CURRENT MEMBERS: Bill Mahan Members of the board of directors shall serve four-year terms and one board member shall be appointed by the Port Orchard City Mayor at the end of their term. PLANNING COMMISSION CURRENT MEMBERS: Annette Stewart (Chair), Stephanie Bailey, Trish Tierney, David Bernstein, Marcus Lane, SuanneMartin Smith, Kathleen Wilson, Mark Trenary Planning Commission members serve a six -year term and are appointed by the Mayor and confirmed by the City Council. The commission may act as the research and fact-finding agency of the city. To that end it may make such surveys, analyses, researches and reports as are generally authorized or requested by the Council with the approval of the Council. The Commission is comprised of at least seven residents of the City and one may be a non-resident of the City who meets on the third Monday evening of each month in the City Council Chambers. Page 23 of 170 COUNCIL COMMITTEES Members of the City Council are assigned to the following committees to assist in research and recommendations to the full council. ECONOMIC DEVELOPMENT/TOURISM COMMITTEE CURRENT MEMBERS: Bek Ashby (Chair), Scott Diener, and Jay Rosapepe Committee responsibilities include public events and tourism related issues. FINANCE COMMITTEE CURRENT MEMBERS: John Clauson (Chair), Bek Ashby, Shawn Cucciardi Committee reviews contracts and financial issues of the city. CHIMES AND LIGHTS COMMITTEE CURRENT MEMBERS: Cindy Lucarelli Committee recommends activities and advertisements on the subject and issues that have been historically assigned to this committee. LODGING TAX ADVISORY COMMITTEE CURRENT MEMBERS: Jay Rosapepe (Chair), 2 Hoteliers, and 2 Non -profits Committee reviews lodging tax applications and provides recommendations to the Council for distribution. LAND USE COMMITTEE CURRENT MEMBERS: Scott Diener (Chair), Fred Chang, Shawn Cucciardi Committee reviews actions of the City regarding City property, including parks, streets, alleys and sidewalks. They also work on updating the City's Comprehensive Parks Plan. SEWER ADVISORY COMMITTEE CURRENT MEMBERS: Cindy Lucarelli, Fred Chang, and Jay Rosapepe The committee meets with the West Sound Utility District Commissioners to discuss the Joint Wastewater Treatment Facility. UTILITIES COMMITTEE CURRENT MEMBERS: Cindy Lucarelli (Chair), Fred Chang, and Jay Rosapepe Committee members also serve as City representatives on the Sewer Advisory Committee meeting with the West Sound Utility District Commissioners to discuss the Joint Wastewater Treatment Facility. The committee reviews utility issues related to sewer, water, and storm -water. Page 24 of 170 COUNCIL GOALS The role of the city council in cities of all sizes is becoming more demanding and complex. In order to get anything accomplished, elected officials must work together to define and agree upon mutual goals. This is one of the most challenging aspects of being a mayor and working with a city council. Goal setting provides a framework for city action. By setting short-term and long-term goals, and then deciding which are most important the city council, mayor and staff can define what your city government will try to achieve. Staff then have clear guidelines regarding what the council and mayor want to accomplish and have a way of evaluating the programs and services offered and managed. Establishing goals will keep the city on track and minimize distraction from the brush fires. The City of Port Orchard conducted a council retreat in the summer of 2018 to establish goals and priorities which provide framework for the 2019-2020 biennial budget. Furthermore, the mayor and city councilmembers participated in a visioning session in which they responded to the question: "Imagine it's 2036, what do you see, hear, smell etc. that is in line with your current vision for Port Orchard?" To answer this question, participants identified their top priorities from the Port Orchard 2016 Comprehensive Plan's list of "2036 Targeted Outcomes." The Mayor and City Councilmembers then distilled the themes and opportunities discussed into four guiding questions to help assess 2019 budget priorities. • Are we raising the bar? • Are we honoring the past, but not living in the past? • Are we building connections with outside partners? • Will this project (or action) make us proud? The City Council and Mayor committed to using these questions in guiding the development 2019-2020 budget. Page 25 of 170 City of Port Orchard Finance 216 Prospect Street, Port Orchard, WAP8366 Voice: H600764407 o Fax: (360895-9029 Dear Citizens, elected officials, staff, and friends The City ofPort Orchard has completed its first successful biennial budget asof Dec. 31, 2018. With its second biennial budget for 2019-2020 the City will continue to improve on its processes and delivery of services to the As the Finance Director it's been my goal to find ways to improve processes by incorporating best practices and maintaining the agility and flexibility to work smarter as our industry and technology improves. Over the next 24-months the City will be completing significant capital projects in parks sewer utilities, water utilities, storm drainage and transportation improvements. This budget includes successfully completing the Tremont Widening project, Rockwell Park, a sewer lift station, water treatment and expansion as well as other local street and safety improvements. The City is required to conduct a mid -biennial review and modification no sooner than September 1 and be completed by the end of the year. If there are recommendations to modify the budget a public hearing on the changes is required before actions are taken. The City is still required to set the property levy for the coming year through ahearing process that needs to be completed bxthe end ofNovember. Both nfthese provisions, the budget � modification hearing and the hearing setting the tax levy, will continue the strong public oversight that citizens have come to expect. |anmproud ofour finance staff and have been honored tohave had the opportunity to supervise such afine group of individuals. All city employees throughout the various departments provide excellent public service and help this city continue tngrow responsibly. | have been impressed by the support of the citizens and by their understanding and interest in their local government. | Finally, I would like to thank the Mayor and Council members who have provided their thoughtful guidance and leadership to make Port Orchard an even better place to live, work, and play. Noah DCrocker Finance Director Page 26 of10 BUDGET GUIDE The City of Port Orchard, Washington was incorporated on September 1, 1890 and operates under the laws of the State of Washington applicable to code cities with a Mayor/Council form of government. Title 35A of the Revised Code of Washington (RCW) states that preparing and adopting a budget is a legal requirement of all Cities. The budget is the lawful authority to expend public monies. It also controls how, when, and on what, those monies are expended. The City of Port Orchard's budget document is a policy document that reflects general principles or plans and provides direction for the progress of the city in the upcoming biennium. The guidelines developed during the budget process enable city departments to reach their goals as authorized by Council. This document is also an operational guide in that each city department has planned, formalized and described the actions it will take in the upcoming months to attain the goals of the City Council. The budget document also provides our public with a view into the operations of the City and can help develop an understanding of how each department relates with another and how all departments work together to serve the public's best interest. The budget discusses future goals and projects the City hopes to accomplish. BUDGETING, REPORTING & ACCOUNTING In 2018 the City changed its reporting methods from GAAP to Cash Basis. The City now reports financial activity in accordance with the Cash Basis Budgeting, Accounting and Reporting System (BARS) Manual prescribed by the State Auditor's Office under the authority of Washington State law, Chapter 43.09 RCW. This manual prescribes a financial reporting framework that differs from generally accepted accounting principles (GAAP) in the following manner: • Financial transactions are recognized on a cash basis of accounting as described below. • Component units are required to be disclosed but are not included in the financial statements. • Government -wide statements, as defined in GAAP, are not presented. • All funds are presented, rather than a focus on major funds. • The Schedule of Liabilities is required to be presented with the financial statements as supplementary information. • Supplementary information required by GAAP is not presented. • Ending balances are not presented using the classifications defined in GAAP. How B.A.R.S. WORKS B.A.R.S. utilizes a standard chart of accounts to report financial activities of an entity. The City is required to use the revenue/expense chart of accounts and procedures contained in the B.A.R.S. manual for reporting purposes. REVENUES: The 300 series of B.A.R.S. accounts designate all fund inflows by source. Revenue accounts 311-369 represent the source of revenues to a fund. Non -revenue accounts are indicated by account numbers 380 through 389. Accounts 391-397 characterize other financing sources in governmental -type funds. For proprietary and similar trust funds, 311-369 and account 395, represent revenues classified by source. Page 27 of 170 Below is a listing of the basic revenue accounts used by the City of Port Orchard. 310. Taxes 320. Licenses & Permits 330. Intergovernmental Revenues 340. Charges for Goods & Services 350. Fines & Penalties 360. Miscellaneous Revenues 370. Proprietary Income 380. Non -Revenues 390. Other Financing Sources The next two digits are required to further describe which resource the revenues come from. Most revenue accounts have a total of five digits; however, some accounts may have two additional digits added for descriptive purposes. EXPENDITURES: The 500 series of B.A.R.S. accounts designate all fund outflows by function, activity, and character. Expenditure accounts 510-579 represent current operating expenditures. 581-589 are non -expenditure accounts. Expenditure accounts 591-593 depict debt service expenditures and accounts 594-595 are capital outlay expenditures. Accounts 596-597 represent other financing uses. Below is the listing of basic expenditure accounts used by the City of Port Orchard. 510. General Government Services 520. Public Safety 530. Utilities & Environment 540. Transportation 550. Natural & Economic Environment 560. Social Services 570. Culture & Recreation 580. Non -Expenditures 591-593. Debt Service 594-595. Capital Expenditures/Expenses 596-597. Other Financing Uses An additional two digits are required to further describe which function the basic account supports (operating transfers being the exception to this rule). The last descriptive coding is the two -digit object code. The object code applies to the article purchased or the service obtained. OBJECT CODES: .10 Salaries & Wages .20 Benefits .30 Supplies .40 Other Services & Charges .50 Intergovernmental Services & Taxes .60 Capital Outlays .70 Debt Service: Principal .80 Debt Service: Interest and Related Costs .90 Interfund Payments for Services The following chart summarizes the amount of detail required for Revenue & Expenditure coding. Page 28 of 170 Fund Department Prime Digit Basic Account Sub -Account Element Sub -Element Object 001 001 1 0 500 (Expenditures) 300 (Revenues) 510 310 514 316 514.20 316.40 514.23 316.41 514.23.30 FUND: Used to identify funds created and maintained for a particular purpose. DEPARTMENT: The City uses the optional Department category to differentiate expenses for individual departments. Department Codes are as follows: 0 Revenues 1 Finance 2 Court 3 Police 4 Community Development 5 Public Works 6 Miscellaneous 7 Administration PRIME DIGIT: The first figure in the seven digit account number. If the first digit is: 1 - Indicates an asset account. 2 - Indicates a liability or equity account. It also denotes budgetary and nominal control accounts. 3 - Denotes revenue, non -revenue, or other financing source detail (subsidiary) account. 5 - Is an encumbrance, expenditure, non -expenditure or other financing use detail account. BASIC/SUBACCOUNT: Revenues - The numbers assigned to identify the source (origin or originating category) from which revenues are obtained. Expenditures - The numbers assigned to identify different categories of operations from which expenditures/expenses are incurred. ELEMENT/SUB ELEMENT: Revenues - The numbers assigned to further identify specific types of revenues with a particular Basic/Sub category. Expenditures - The numbers assigned to further identify specific types of activities related to the particular Basic/Sub category. OBJECT/SUB OBJECT: Revenues - The City does not use object codes for revenues. Page 29 of 170 Expenditures - The numbers assigned to identify expenditures according to the character and the type of items purchased or services obtained. FUND ACCOUNTING The City uses fund accounting to ensure compliance with legal requirements and to assist in the budgeting operations of the different activities of the City. The 2019-2020 budget contains 27 funds. Each fund has a unique purpose. Each fund uses a separate set of self -balancing accounts that comprises its cash and investments, revenues and expenditures. The government's resources are allocated to and accounted for in individual funds depending on their intended purpose. FUNDS: The City maintains budgetary controls over its operating funds. Budgetary controls ensure compliance with legal provisions embodied in the annual appropriated budget. Governmental funds budgets are established in accordance with state law and are adopted on a fund level. Personnel services are budgeted by position and by prorating the costs based on time allocation to the various funds. The City of Port Orchard accounts for and reports its resources in two fund types - Governmental and Proprietary. Governmental funds account for activities associated with the running of the City. These are supported largely by taxes. Proprietary funds account for services to the general public that are, for the most part, financed by user fees and charges for the services provided by the City. GOVERNMENTAL FUND TYPES Port Orchard's governmental funds are divided into the six categories, listed below, to ensure proper accounting and reporting of resources. GENERAL FUND (001-099) This fund is the primary operating fund of the City. It is used to account for all financial resources not accounted for in another fund. Included in the General Fund are Police, Municipal Court, Engineering, Streets, Parks, Building, Planning, Finance, Legislative and Administration. 84% of these services are supported by taxes (Property tax 24%, Sales tax 41 % Utility tax 16% and other taxes 3%). Other revenues include Charges for Goods and Services 4%, Fines and Forfeits 2%, Licenses & Permits 3% and Intergovernmental Revenues 4%. In 2019-2020 Miscellaneous Revenues and Transfers factor about 3%. SPECIAL REVENUES FUND (100-199) These funds account for specific revenue sources that are restricted or committed to expenditures for specified purposes of the City. The City has six special revenue funds that ensure the revenues are used only for activities that meet the requirements dictated by the source of the revenue. DEBT SERVICE FUNDS (200-299) Debt Service Funds account for the City's general governmental financial resources that are expenditures for principal and interest. The City has one general governmental debt service fund. The City's Enterprise funds use 414 water, 424 storm drainage, & 434 sewer for debt payments related to utilities and other business activities. CAPITAL PROJECTS FUNDS (300-399) Acquisition or construction of capital projects for the general governmental are accounted for here. The City has two Capital Project Governmental Funds. The Capital Construction Fund receives transfers from Page 30 of 170 other general funds or revenue from grant, bond, or loan proceeds to use on capital projects. The Street Capital Projects Fund is for street projects; revenues from grant, bond or loan dollars as well as transfers from other funds are placed here. PROPRIETARY FUND TYPES ENTERPRISE FUNDS (400-499) Enterprise Funds are used to account for services provided to the public where the majority of the costs are supported by user fees and charges. INTERNAL SERVICE FUNDS (500-599) These funds are used to report activity that provides goods or services to other funds, departments or agencies of the government. In late 2018 the City created an Equipment Rental & Revolving Fund (ER&R) No. 500. The ER&R fund is an Internal Service Fund that maintains and replaces the City's vehicle and equipment. It is utilized for the repair, replacement, purchase, and operation of vehicles and equipment and for the purchase of equipment, materials, and supplies to be used in the administration and operation of the fund. FIDUCIARY FUND TYPES AGENCY FUNDS (600-699): Agency Funds represent assets held in a trustee or agency capacity for others and do not report results of operation. The Trust and Agency Fund collects fees which the Treasurer, acting as intermediary depository, shall distribute to the proper agencies on a regular and timely basis. Examples of these fees include but are not limited to State court fines, County crime victim fines, State building code fees, State concealed pistol licenses and background checks. The Wastewater Treatment Facilities Fee Fund receives facility fees which are collected for the Joint Wastewater Treatment Facility. Page 31 of 170 General Fund (000'S) Funded by. Property Tax, Sales Tax, Utility Tax, Franchise Tax, Fuel Tax, Other fees & grants. Suppports the following services: • Legislative & Executive •Administratiye & Records Sys • Legal & Judicial •Central Services • Law Enforcement • Building & Planning • Engineering • Parks •Street Operations •Transfer & Other Special Revenue Funds (100's) State Shared Revenue, Hotel Motel Tax, Real Estate Excise Tax Fees Impact Fees, Developer Fees, Supports the following services •Criminal Justice • Tourism • Development Projects [Debt Funds (200's) Capital Projects (300's) Funded By: Grants, Loans, Bonds, Transfers in from REET, Impact Fees or other Funds •Street Projects • Facilities Projects Enterprise Funds (400's) Operations are funded by Rate Payers. Capital Projects funded by Connection charges, Grants, Bonds, Loans. • Water • Sewer • Storm Drainage Internal Service Funds (500's) Funded by Interfund Transfers • Equipment Replacement & Revolving Fund (ER&R) Agency Funds (600's) State and Local pass through funds Page 32 of 170 CITY FUNDS CURRENT EXPENSE —FUND 001 The Current Expense Fund isogeneral fund that accounts for all financial resources except those required to be accounted for in another fund. CITY STREET -FUND 002 City Street Fund is o general fund that accounts for City street revenue snuroes, including approximately 100Y6nfthe Motor Vehicle Fuel Tax, b)boused for city street purposes. |n2010oTransportation Benefit District (TBD)was created implementing o car tab fee hofund street maintenance and repair projects. Revenues from the TBDare deposited into the City Street Fund for projects. Expenses for all other street related operations, maintenance and improvements are coded here as well. STABILIZATION -FUND 003 A stabilization arrangement in an amount of two months of its five-year arithmetic mean of the General Fund expenditure budget may bemaintained annually asresources allow. Funding may come from one- time revenues, monthly budgeted amounts from general revenues, and transfers from ending fund balance as authorized by Council ordinance. The Finance Director must quantify, document and present the significance of qualifying event. Authorization for spending stabilization reserves requires a simple majority vote ofthe City Council. CRIMINAL JUSTICE -FUND 103 In 1990 the legislature passed a bill to provide funding for Criminal Justice to local governments. These revenues are placed in this account and must be used exclusively for Criminal Justice purposes. SPECIAL INVESTIGATIVE UNIT -FUND 104 This special revenue fund was created to account for monies and property seized during drug investigations per RCVV 60.50.505. Monies paid into the fund are to be used by the Police Department for drug enforcement purposes. COMMUNITY EVENTS -FUND 107 This is a special revenue fund where monies received from Hotel/Motel Transient (Stadium) Tax per RCW 67.28are accounted. These monies are to be used solely for the purpose of paying all or any part of the cost of tourism promotion and acquisition or operation of tourism related facilities. PATHS & TRAILS -FUND 108 The purpose of this fund is to establish and maintain paths and trails for podoothano, equestrians or bicyclists as part ofstreets, roads & highways. Revenues come from the Motor Vehicle Fuel tax. As required by RCW 47.30.030, no less than 0.42 percent of the total amount of funds received will be placed into this fund. These funds may be held for a period of not more than 10 years and are to be expended on the purposes described above. REAL ESTATE EXCISE TAX /REET\—FUND109 Real estate excise tax (F(EET) is levied on all sales of real estate. This tax is collected by the State of Washington and a percentage is passed ontothe City. There are two types ofREETfunds. Each has specific ways inwhich they may bospent. This fund tracks the receipt and disbursement ofREET1 and Page 33 of10 REET 2. According to RCW 82.46.010(2) REET 1 funding must be used for capital projects identified in the capital facilities plan of the City's comprehensive plan. RCW 82.46.010(6) defines capital projects as "...those public works projects of a local government for planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets; roads; highways; sidewalks; street and road lighting systems; traffic signals; bridges; domestic water systems; storm and sanitary sewer systems; parks; recreational facilities; law enforcement facilities; fire protection facilities; trails; libraries; administrative facilities; judicial facilities river flood control projects..." The second quarter percent (REET2) must also be used for financing capital projects specified in a capital facilities plan element of the comprehensive plan. With slight differences on what capital projects are eligible. For instance 82.46.035(5) defines REET 2 capital project funds to be used for planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets; roads; highways; sidewalks; street and road lighting systems; traffic signals; bridges; domestic water systems; storm and sanitary sewer systems; and planning construction, reconstruction, repair, rehabilitation or improvement of parks. Note that acquisition of land for parks is not a permitted use for REET 2 although it is permitted for street, water and sewer projects. In 2011 legislature expanded the uses of REET both the first and second quarter. Cities may, with restrictions, use REET 1 & 2 for operation and maintenance of existing capital facilities. The maximum amount of either REET 1 or REET 2 that may be spent on a maintenance is the greater of $100,000 or 25% of the available funds, not to exceed $1 million per year. There are additional reporting requirements for using REET 1 or 2 funds for maintenance projects. These reporting requirements must be adopted as part of the city's regular budget process. IMPACT FEE -FUND 111 The Impact Fee Fund establishes separate accounts within the fund and maintains records for each such account whereby impact fees collected can be segregated by type of facility and by service area. All interest is retained in the account and expended for the purposes for which the impact fees were imposed. Impact fee expenditures for system improvements are expended only in conformance with the capital improvement plan. Impact fees are expended or encumbered for a permissible use within ten years of receipt, unless there exists an extraordinary and compelling reason for fees to be held longer, which must be documented in writing by the governing body (RCW 82.02.070). BOND REDEMPTION -FUND 206 This is a debt service fund for the purpose of paying general fund bond debt. In 2019 the City pays the final payment ($162,914) of the 2003 refunding bond. The general fund portion of the 2017 LGTO Bond payment ($374,635.96) will also be paid from this fund. CAPITAL CONSTRUCTION -FUND 302 Capital Construction Fund is used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds and trust funds). This fund accounts for grant funding and transfers from other funds (i.e. REET Fund 109, Impact Fee Fund 111) which provide cash flow to complete the projects. STREET CAPITAL PROJECTS -FUND 304 This fund is used to monitor revenues and expenditures for Street capital projects. Revenues include street related grant funding and transfers in from REET or Impact Fee Funds. WATER OPERATING -FUND 411 New for 2019, Water Operating is an enterprise fund used to account for operations for the water portion of the Water Sewer Utility, that are normally financed and operated in a manner similar to private business enterprises — where the intent of the governing body is that the costs (expenses, including depreciation) of Page 34 of 170 providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. Prior to 2019 the Water and Sewer records were combined in one fund. WATER STABILIZATION -FUND 412 New for 2019, a reserve fund in which monies will be placed as designated by the City Council. Disbursement from said Fund by the Finance Director shall be made in accordance with financial policies and upon proper authorization by City Council. WATER CAPITAL -FUND 413 New for 2019, this fund will account for and report financial resources related to the construction of capital improvements for the water portion of the Water Sewer Utility. WATER DEBT SERVICE -FUND 414 New for 2019, this fund will account for and report financial resources related to debt service for the water portion of the Water Sewer Utility. STORM DRAINAGE OPERATING -FUND 421 Storm Drainage Utility is an enterprise fund used to account for the City's storm drainage operations and surface water management system — where the intent of the governing body is that the costs (including depreciation) of providing services to the general public will be financed or recovered primarily through user charges. STORM DRAINAGE STABILIZATION -FUND 422 New for 2019, a reserve fund in which monies will be placed for the Storm Drainage Utility as designated by the City Council. Disbursement from said Fund by the Finance Director shall be made in accordance with financial policies and upon proper authorization by City Council. STORM DRAINAGE CAPITAL -FUND 423 New for 2019, this fund will account for and report financial resources related to the construction of capital improvements for the Storm Drainage Utility. STORM DRAINAGE DEBT SERVICE -FUND 424 New for 2019, this fund will account for and report financial resources related to debt service for the Storm Drainage Utility. SEWER OPERATING -FUND 431 New for 2019, Sewer Operating is an enterprise fund used to account for operations for the sewer portion of the Water Sewer Utility, that are normally financed and operated in a manner similar to private business enterprises — where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. Prior to 2019 the Water and Sewer records were combined in one fund. SEWER STABILIZATION -FUND 432 New for 2019, a reserve fund in which monies will be placed as designated by the City Council. Disbursement from said Fund by the Finance Director shall be made in accordance with financial policies and upon proper authorization by City Council. Page 35 of 170 SEWER CAPITAL -FUND 433 New for 2019, this fund will account for and report financial resources related to the construction of capital improvements for the sewer portion of the Water Sewer Utility. SEWER DRAINAGE DEBT SERVICE -FUND 434 New for 2019, this fund will account for and report financial resources related to debt service for the sewer portion of the Water Sewer Utility EQUIPMENT REPLACEMENT & REVOLVING (ER&R) FUND 500 In late 2018 the City established an Equipment Rental and Revolving Fund (Ord. No. 023-18) to be used for the repair, replacement, purchase and operation of vehicles and equipment and for the purchase of equipment, materials & supplies to be used in the administration and operation of the fund. Motor vehicles and various equipment in all city departments were transferred to the ER&R Fund. The fund is administered by the finance director or designee. TRUST & AGENCY -FUND 631 This agency fund collects fees which the finance director, acting as an intermediary depositary, shall distribute to the proper agencies on a regular and timely basis. Examples of fees include but are not limited to state court fines, county crime victim fines, state building code fees, state concealed pistol licenses and background checks. WASTEWATER TREATMENT FACILITIES FEE -FUND 632 This agency fund receives money from the Joint Venture to repay both Public Works Trust Fund loans. Also deposited into this fund are Wastewater Treatment Facility fees. These monies are held in trust to mitigate the debt and future construction costs for the Wastewater Treatment Facility. BUDGET PROCESS The City of Port Orchard adopts biennial appropriated budgets for all funds. These budgets are appropriated at the fund level. The budget constitutes the legal authority for expenditures at that level. Biennial appropriations for these funds lapse at the fiscal year end and is reported on the cash basis of accounting. BASIS OF ACCOUNTING Basis of accounting refers to the point at which revenues and expenditures/expenses are recognized in the accounts and reported in the financial statements. In 2018 The City of Port Orchard changed their basis of accounting from GAAP to Cash basis. The basis for Cash accounting is: Revenues are recognized only when cash is received and expenditures are recognized then chargeable against the report year' s budget appropriations as required by state law. This generally results in revenues being recognized when delivered to the city and expenditures being recognized when paid. Checks are considered paid when issued. An exception to expenditure recognition would be during the open period after the close of the fiscal year when expenditures can be charged against the previous period for claims incurred in the previous period. Open periods are required by statute (RCW 35.33.151) which states: "All appropriations in any current operating fund shall lapse at the end of each fiscal year: PROVIDED, That this shall not prevent payments in the following year upon uncompleted programs or improvements in progress or on orders subsequently Page 36 of 170 filled or claims subsequently billed for the purchase of material, equipment and supplies or for personal or contractual services not completed or furnished by the end of the fiscal year, all of which have been properly budgeted and contracted for prior to the close of such fiscal year but furnished or completed in due course thereafter. All appropriations in a special fund authorized by ordinance or by state law to be used only for the purpose or purposes therein specified, including any cumulative reserve funds lawfully established in specific or general terms for any municipal purpose or purposes, or a contingency fund as authorized by RCW 35.33.145, shall not lapse, but shall be carried forward from year to year until fully expended or the purpose has been accomplished or abandoned, without necessity of re -appropriation. The accounts for budgetary control for each fiscal year shall be kept open for twenty days after the close of such fiscal year for the purpose of paying and recording claims for indebtedness incurred during such fiscal year; any claim presented after the twentieth day following the close of the fiscal year shall be paid from appropriations lawfully provided for the ensuing period, including those made available by provisions of this section, and shall be recorded in the accounts for the ensuing fiscal year." Revenues and expenditures should be reported at gross amounts by account and not netted against each other. Port Orchard budgets on a biennial basis. Prior to the first year of the biennium, the Budget process begins with discussions regarding priorities the City faces. Input is received from the public concerning the course the City should chart towards the future. Mayor and Council use this input along with other data and direction from City departments to develop a progression for the upcoming biennial period. In midsummer the Finance Department provides a beginning projection of the next periods revenue expectations. Data used to forecast revenues comes from many different sources. Historical values, trends, economic data are researched with other entities (State of Washington OFM, MRSC, AWC, Kitsap County Assessor), and with City Directors. The data is compiled and reviewed by Finance to provide the best estimates for the upcoming budget period. These calculations are used in concert with the Mayor/Council's goals for the biennium to provide the target for departmental expenditures. In early August the Finance Director provides departments with their budget targets and other pertinent information to help develop their budgets. Departments are also asked to provide any staffing changes as a supplemental budget. Capital projects are budgeted based on the City's Comprehensive Plan. Department budgets are returned to Finance by the 1st week of September, prior to the beginning of the biennial period, in compliance with RCW 35.33.031. These estimates are submitted to the Mayor for review. The Mayor discusses departmental needs with each director and reviews the budget to provide a balanced preliminary budget recommendation to Council. In accordance with RCW 35A.33.135, on or before the first Monday in October the Mayor submits the preliminary estimated revenues and expenditures to Council. Throughout October, Council conducts budget workshops and study sessions to discuss the budget with departments and allow taxpayer's comments. A public revenue hearing is also held preceding Councils vote on the Property Tax Levy. Council makes its adjustments to the preliminary budget and after two public hearings, and prior to December 31St, adopts an ordinance providing the final balanced budget. The adopted budget is published and made available to the public early the following year. The City begins implementing the adopted budget the first day of January following adoption. Directors monitor their expenditures to ensure adherence to the approved budget. The Finance Department also monitors expenditures and provides financial updates to Council and Department Directors. In September of the first year of the biennium a budget review is conducted. Based on the outcome of the mid period review, amendments and/or council hearings may occur to make any necessary adjustments. Page 37 of 170 BUDGET AMENDMENTS The City Finance Director is authorized to transfer budgeted amounts between departments within any fund; however, any revisions that alter the total expenditures of a fund or that affect the number of authorized employee positions, salary ranges or other conditions of employment must be approved by City Council. When the Council determines that it is in the best interest of the City to increase or decrease the appropriations for a particular fund, it may do so by ordinance. Budget amendments are typically expenditures or revenues received that were not planned for or could not have been foreseen during the budget process. CITY REVENUE SOURCES The City has a variety of revenue sources for its Governmental Funds, the largest of these being property tax and sales tax. Other revenue sources are: other taxes, licenses & permits, charges for goods & services, fines & forfeits, and intergovernmental revenues. PROPERTY TAX: The Kitsap County Treasurer acts as an agent to collect property taxes levied in the County for all taxing authorities. Collections are distributed after the end of each month. A City is permitted by law to levy up to $3.60 per thousand of assessed valuation for general governmental services. The City of Port Orchard is annexed into South Kitsap Fire District #7 (SKFD). In 2012 the City residents voted to annex into the Kitsap Regional Library District (KRL). SKFD may levy up to $1.50 per thousand of assessed valuation and KRL is allowed up to $0.50. The difference between SKFD & KRL levies and $3.60 is the City's capacity. Washington State Law, RCW 84.55.010 limits the rate. The 2019 assessed valuation for properties in the City of Port Orchard is $1,849,694,593. The 2019 Property tax levy is $9.927839 per thousand of assessed valuation of which the City receives $1.536781. 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 726,921,614 814,625,858 833,125,854 2.0768 1,509,652 1.8949 1.9488 1,543,671 1,623,607 1,165,037,143 2.1424 2,495,925 1,239,258,364 2.1192 2,626,382 1,192,138,362 1,312,770,504 1.8477 2,202,693 1.7573 2,307,207 1,319,792,155 1,347,919,629 1,405,166,175 1.6979 2,240,898 1.7252 1.7493 2,325,748 2,458,008 2017 1,532,610,083 1.7611 2,699,058 2018 1,631,598,525 1.6683 2,722,026 2019 1,849,694,593 1.5368 2,842,577 • The increase in 2010 is due to the McCormick Woods Annexation completed in July 2009 Page 38 of 170 • In 2010 Port Orchard residents approved annexation into the Kitsap Regional Library District. This became effective in 2012, which along with declining property values caused the decrease in revenues. • The 2013 increase is due to the Bethel North Annexation completed April 2012. • The City's Property tax dollars are distributed between the Current Expense Fund and City Street Fund. The actual distribution is determined during the regular budget sessions. 2019-2020 property tax revenues are estimated to be 23% of the General Fund revenues. RETAIL SALES & USE TAX: Sales Tax is collected by the State and distributed to the City. The retail sales & use tax rate inside the City of Port Orchard is 9% of all retail sales. Of this amount only 0.84% is received by the City. The amount of sales tax received fluctuates from year to year due to the economy, resident spending and the construction market. Sales tax is one of the top two sources of revenue for the City. For 2019-2020 sales tax represents an estimated 41% of the General Fund revenues. UTILITY TAXES: Utility taxes are levied on the gross operating revenues of public and private utilities within the City's boundaries. State law enables cities to levy utility taxes on natural gas, telephone and electricity in an amount up to 6% of the total charges. Cable TV may be charged an amount up to 5%. The City of Port Orchard does impose utility taxes, but currently does not impose the maximum amount for all categories. A tax is also permitted on solid waste, water, sanitary sewer and storm drainage. No rate limitation exists on this second category of utilities. Port Orchard imposes the maximum allowable amount of 6% for electric, natural gas, garbage and telephone utility tax. A utility tax for water and sewer has been at the same rate of 5% since 1970. The storm drainage facility, which began operations in 2009, is also charged at 5%. Federal law permits a franchise tax on cable television of up to 5%. Beginning in 1989, the City imposed a rate of 4%. In 2006, Ordinance No. 016-06 increased the rate to the maximum allowed of 5%. LEASEHOLD EXCISE TAX: This tax is collected by the State on property that is in public ownership which is leased to private parties. These taxes are collected in lieu of property tax for which a public entity is exempt. The State taxes these properties at a rate of 12.84%. Of this, Port Orchard is given 32% of revenues collected for publicly owned properties within City limits. GAMBLING TAX: State law permits a variety of gambling taxes. With limitations on gambling in the City of Port Orchard, the collection of such taxes is also limited. Currently, the City does not impose the maximum rate allowed by the State in two out of the four sectors the City collects taxes on. Bingo/ Raffles 5% 5% Amusement Games 2% 2% Punchboardi/Pull Tabs 10% 3% Card Room 20% 10% Page 39 of 170 ADMISSIONS TAX: State law provides for a tax of up to 5% on admissions. Ordinance No. 039-07 set the tax at the maximum 5%, beginning in 2008. REAL ESTATE EXCISE TAX (REET): The real estate excise tax is levied on all sales of real estate. The tax is measured by the full selling price including the amount of any liens, mortgages, and other debts given to secure the purchase. The City receives REET funding from the State in two categories. REET 1 (a quarter percent of the Real Estate Excise Tax) funding is restricted in its uses, usually only for Capital Projects. REET 2 also may only be used for Capital Projects; however, this funding may not be used for the acquisition of land for parks. LICENSES & PERMITS The largest source of revenue in this category is building permits. Building permit revenues fluctuate depending on the economy and sales of new homes. INTERGOVERNMENTAL REVENUE Intergovernmental revenues include liquor revenues, fuel tax, marijuana tax, grants and miscellaneous interlocal agreements. Liquor Revenues: 1-1183 was approved by voters in 2011, privatizing liquor sales in the state. The results of this initiative for the City is that for liquor profits, instead of a calculation based on the profits generated from state -run liquor sales the revenue is now based on the license fees paid by retailers and distributors. In 2012 State legislation created a permanent diversion of $10 Million per year from the city and county liquor excise tax fund to the state general fund (RCW 82.08.170(3)). The results of this are a permanent deduction of $8 million annually for cities and towns and $2 million to counties. 35% of the liquor excise tax collected is deposited in the Liquor Excise Tax Fund for distribution to cities, towns & counties. $2.5 million per quarter ($10 million annually) is diverted to the state general fund. Of the remaining funds, 80% is distributed to Cities and towns on a per capita basis. For 2019 the per capita projection is $8.16 for liquor board profits and $5.14 for liquor excise tax. 2% of liquor profits and excise tax received by the City must be distributed to an approved alcohol or drug addiction program. Another 20.23% of liquor profits must be used for public safety programs. Motor Vehicle Fuel Tax: The State levies a tax per gallon on motor vehicle fuel not the dollar value of the sales. Cities receive a percentage of the tax levied by the State based on a state formula per capita. The City also receives Increased motor vehicle fuel tax and multimodal distributions which were created in 2015 by 2ESSB 5987. These funds consist of direct transfers from the state transportation fund and are not impacted by actual fuel tax collections. These revenues are restricted in use for street related expenses. In 2019-2020 biennium the City of Port Orchard estimates it will receive $ $20.73 per capita in Motor Vehicle Fuel Tax revenues. Of this amount 0.42% is required to be set aside for paths and trails. Type of Fuel Tax $ per Capita Motor Vehicle Fuel Tax 20.73 Increased Motor Vehicle Fuel Tax 1.21 Multi Modal Transportation 1.38 Page 40 of 170 Marijuana Excise Tax HB 2136 Marijuana -Reforms -Taxation was adopted during the 2015 legislative session and amended the state's marijuana regulatory and taxation system. This provides revenue sharing of the Marijuana Excise Tax. Per MRSC the formula for distribution is as follows: On a quarterly basis the state distributes a portion of the marijuana excise taxes to the Liquor and Cannabis Board (LCB) as well as other state agencies and programs. Any remaining unappropriated marijuana excise tax revenues are transferred to the state general fund at the end of its fiscal year. In 2018 the February ERCF forecast of state revenues exceeded the June 2017 forecast The State allowed $15 million distribution to Cities and Counties for FY 2017-2019. Legislature has stated its intent to maintain the $15 Million after 2019 though this could be changed in any future legislative session. The $15 Million is distributed as follows: $4.5 Million is the retail share. It goes to cities, towns and counties which have licensed marijuana retailers. This is divided in proportional share of the State total revenues generated. $10.5 Million is the per capita share. This is divided among all cities, towns and counties that allow marijuana producers, processors and retailers. Of the $10.5million eligible cities and towns receive $4.2 million which is divided per capita. The remaining $6.3 million goes to eligible counties. The City of Port Orchard receives both the retail distribution and the per capita distribution. These funds are distributed by the State treasurer's Office using the same BARS code. Based on the population estimates of the cities and counties that do not prohibit marijuana, MRSC has calculated a 2019 "per Capita" estimate of $1.17 for cities. The "retail share" is dependent upon marijuana retail sales within each jurisdiction and the state as a whole. GRANTS The City of Port Orchard applies for and is awarded grants to fund specific projects or activities. These grants have different requirements for local agency funding. This is commonly referred to as a grant match. Below is the list of grants that are budgeted in 2019-2020. FEDERAL GRANTS US DEPARTMENT OF TRANSPORTATION / WSDOT - BAY STREET PEDESTRIAN PATHWAY The Bay Street Pedestrian Pathway project started with a "no -match required" $300,000 Enhancement grant to design/permit a 1-mile long multi -use (bike/pedestrian) pathway between Kitsap Transits' Downtown Foot Ferry and the Annapolis Dock Foot Ferry facilities. This project has progressed over the years, 100% plans, specifications & estimates (PS&E) and permitting completed in 2012, and in 2013 partnerships with the Port of Bremerton and State grant funding administered by the Department of Commerce constructed segments 2 and 5 of the path. In 2014 the city was awarded WSDOT / FHWA funding for the overall pathway easement and right-of-way acquisition phase. This funding requires a 13.5% local funds match. In 2015 the City completed segment 4, Blackjack Creek Bridge, with state grant funding. The 2016 right of way properties were purchased. During the 2017-2018 biennium the City continued to work on right of way acquisition and construction of segment 3 of the path commenced in 2018 Page 41 of 170 funded by a state grant. The 2019-2020 budget continues funding for Right of Way purchases as the City moves forward with the ROW project. US DEPARTMENT OF TRANSPORTATION / WSDOT - TREMONT STREET WIDENING PROJECT This WSDOT pass through grant is part of the funding package for the Tremont Street Widening project. This project will provide four continuous lanes between Port Orchard Blvd and SR 16. Two existing signalized intersections at South Kitsap Blvd and Pottery Ave have been designed as roundabouts. In addition to providing roadway widening and aesthetic improvements, this will provide curb, gutter, and sidewalks along both sides of the road; intersection modifications; improvements to storm drainage facilities; traffic signal and illumination upgrades; retaining walls and bike path. This project continuers into 2019 with funds budgeted in the Street Capital Projects Fund. US DEPT OF HOMELAND SECURITY / WASHINGTON STATE PARKS BOATING SAFETY This grant allows funding for additional Police overtime, fuel and maintenance while utilizing our marine vessel to protect the waterfront areas that border the City. NATIONAL HIGHWAY TRAFFIC SAFETY ADMIN / WA TRAFFIC SAFETY COMMISSION These grants were awarded to the City to offset costs of extra DUI, Speeding, and Seatbelt Emphasis patrols. STATE GRANTS WA STATE TRANSPORTATION BUDGET — BAY STREET PEDESTRIAN PATH In 2016 the City was selected to receive $3.5 million award through the Connecting Washington Tiered Pedestrian and Bicycle Safety projects Funds in the state transportation package. $20,000 of the $3.5 million was utilized in 2016. In 2017-2018 $480,000 was obligated to construct Segment 3 of the pathway. WA STATE TRANSPORTATION BUDGET — TREMONT WIDENING The City received a $2 million award of MVA funds from the State Legislature. This is administered by WSDOT. TRANSPORTATION IMPROVEMENT BOARD — TREMONT WIDENING This is an $8million grant which is part of the funding to construct the Tremont Widening project. DEPARTMENT OF COMMERCE — ROCKWELL PARK CONSTRUCTION This grant funding in the amount of $299,730 will help to fund the construction of Rockwell Park CHARGES FOR GOODS AND SERVICES The Charges for Goods and Services category is comprised of user fees for services and activities provided by the City. In the General Fund the Charges for Goods and Services category includes Municipal Court related fines, penalties and other fees, building plan reviews, zoning and developer's fees and law enforcement services. These activities bring 4% of General Fund incoming revenues. The City's Proprietary funds, however, are funded almost exclusively on user fees. Charges for Goods and Services comprise 85% of the new revenues for water and 91% of revenues for sewer in the Water Sewer Utility Operations. The Storm Drainage Utility receives 98% of its new revenue from this category. Page 42 of 170 MISCELLANEOUS REVENUE Miscellaneous revenues generate 1% of the City's incoming revenues. Investment income, parking and rentals are the largest items in this category. In recent years the investment income category has fluctuated due to interest rates and less revenue available for investment. DEBT The City of Port Orchard's legal debt limit, including voter -approved debt, is approximately 38 million. The City's Debt Policy is located in the "Financial Policies" section of the Budget Document. In 2014 the City was awarded a low interest federal loan from the Drinking Water State Revolving Fund to design and construct Well 13. This is a reimbursement -based loan of up to six million dollars. During the initial 48-month period from contract execution to project completion, the City may draw on the loan to design and construct the well. Construction of the well must be complete at the end of the 48-month period, The City received an time extension to complete this project. The total cost of the well project (a maximum amount of six million dollars) becomes a 20-year loan with annual principle and interest payments beginning one year after the project completion date. In the 2019-2020 fiscal period the city has budgeted $4,500,000 for the Well 13 project. In 2016 the Washington State Department of Ecology awarded the City $1,015,000, in a combined financial assistance package, to construct a storm drainage decant station. This is a mixed package of grant and loan funding. The loan, in the amount of $255,441, is a low interest, federal, State Revolving Fund loan payable over 20 years. This loan provided the local match for the grant. Repayment began in 2018. G.O. BOND A City issues general obligation bonds to provide funds for the acquisition and construction of major capital facilities. Currently the City of Port Orchard has $5,750,000 in general obligation bonds outstanding on December 31, 2018. General obligation bonds are direct obligations and pledge the full faith and credit of the government. These bonds generally are issued as 20-year serial bonds with equal amounts of principal maturing each year. General obligation bonds are either created by 3/5 majority vote of the people and, therefore, financed by a special tax levy; or created by ordinance, adopted by the City Council, and normally financed from general revenues (councilmanic bonds). The City's Non -voted general obligation bonds are as shown below: 2003 LTGO Bond Capital project 3,000,000 12/1/2019 2%-3.8% 215,000 2017 LGTO Bond Capital Project 5,865,000 8/1/2032 2.23% 5,535,000 The City provides for cash to fund current debt service requirements as a part of the budgeting process. All bond issues comply with arbitrage regulations. NOTES In November of 1998 a promissory note was entered into for the purchase of the McCormick Water Company. This note is repaid with new McCormick water connection fees as the revenue source. $700 on each of the first 550 connections will be paid to McCormick Water Company after that $225 shall be paid Page 43 of 170 on the 551st through the 800th water connection. Payments are made no less frequent than quarterly. This type of note does not have a repayment schedule. Name Original Amount Purpose Issuance Maturity Interest Date Date Rate Debt Outstanding McCormick Note $441,250 Capital 11/23/1998 N/A 0.00% $88,450 JOINT VENTURE JOINT WASTEWATER TREATMENT FACILITY In 1983, the City of Port Orchard and West Sound Utility District (previously the Karcher Creek Sewer District) amended an intergovernmental agreement relating to the construction and management of the secondary Wastewater Treatment Facility. This Joint Venture establishes the Sewer Advisory Committee (SAC) consisting of three representatives from each entity who prepare and monitor the Facility's budget, after the City and District each adopt it. The District and the City share 50/50% ownership in the Facility's total assets. For the annual report, in accordance with the generally accepted accounting principles, the proportional shares of the Joint Venture's results of operations are presented as a single operating account on the City's proprietary fund's operating statement — Investment in Joint Venture. The Utility District is responsible for the daily operation of the facility. The participants pay their share of the expenses based on their portion of flow into the facility. The City and the District pay the Joint Venture, an amount determined during the budget process, monthly to cover maintenance, operation, capital improvements, and debt. The current cost sharing is 48% City and 52% District. Construction of the Joint Wastewater Treatment Facility Expansion began in 2004. Although both of the Public Works Trust Fund Loans for the Facility's expansion were issued in the City of Port Orchard's name, these loans are secured by the assets of the Facility and the revenues of the Facility are used to make the debt service payments. With a combined outstanding debt of $4,370,380 at the end of 2018, these loans will not be retired until 2022 and 2024. The Facility makes an annual payment to the City to cover the debt service on these loans. The SAC recommended and the City Council and the District Commissioners approved using a portion of Wastewater Treatment Facility Fees collected by each jurisdiction for the plant to help make the annual debt payments. This cost sharing formula is 50% for each entity. Public Works Trust Fund Loan 1 Loan 2 ._.__._._._..��,_... Tta Capital $10,000,000 2/29/2004 7/1/2022 Capital 6,800,000 6/30/2005 7/1/2024 0.50% 0.50% $2,210,380 $2,160,000 West Sound Utility District maintains separate accounting records and prepares separate financia statements of the operations of the Joint Wastewater Treatment Facility. Page 44 of 170 FINANCIAL POLICIES ADOPTION OF POLICES The City Council adopted a comprehensive set of Financial Polices on August 28, 2012. These policies address revenue, expenditures, operating budget, capital management, accounting debt, cash management, investments, and reserves. Adopted financial policies have many benefits, such as assisting the elected officials and staff in the financial management of the City, saving time and energy when discussing financial matters, engendering public confidence, and providing continuity over times as elected officials and staff members change. While these policies will be amended periodically, they will provide the basic foundation and framework for many of the issues and decisions facing the City. The policies are written to promote sound financial management and assist in the City's stability, efficiency, and effectiveness. The City's financial goals seek to ensure the financial integrity of the City; manage the financial assets in a sound and prudent manner; improve financial information for decision makers at all levels; maintain and further develop programs to ensure the long-term ability to pay all costs necessary to provide the level and quality of service required by the citizens; and maintain a spirit of openness and transparency while being fully accountable to the public for the City's fiscal activities. The policies are available to the public via the City's website. REVENUE POLICY The City structures a revenue system that will assure a reliable, equitable, diversified, and sufficient revenue stream to support desired City services. Current expenditures are to be funded by current revenues. Budgeted revenues are estimated conservatively using accepted standards and estimates provided by the state, other governmental agencies or reliable economic forecasters when available. General Fund and other unrestricted revenues will not be earmarked for specific purposes, activities, or services unless otherwise authorized by City Council or required by law, or generally accepted accounting practices. If revenues from "one-time" or limited duration sources are used to balance the City's annual operating budget, it is to be fully disclosed and explained at the time the budget is written. It is the City's goal to not rely on these types of revenues to balance the operating budget. Enterprise and Internal Service operations are to be self-supporting. Grant funding for programs or items which address current priorities and policy objectives should be considered to leverage City funds. RESERVE POLICY The City recognizes the importance of maintaining a reserve account to meet unanticipated needs and to fund emergency expenditures. If a reserve account is nonexistent or low, there is concern by bond rating agencies about the entity's ability to make payments in times of economic downturn. On the other hand, if a reserve is too high, there is concern that the entity is not using its resources adequately. Maintaining an adequate reserve is an essential component of cash management and good fiscal practice. The City's established reserve policy for the General Fund strives to maintain a two tier reserve structure. The policy substantiates an undesignated General Fund ending fund balance of at least five percent of budgeted General Fund operating revenues. A City Stabilization Arrangement in an amount of two months Page 45 of 170 of its five year arithmetic mean of General Fund expenditure budget maintained annually as resources allow. Funding may come from one time revenues, monthly budgeted amounts from general revenues, and transfers from ending fund balance as authorized by Council resolution. Authorization for spending stabilization reserves requires a simple majority vote of the City Council. CASH MANAGEMENT AND INVESTMENTS POLICY City funds are required to be managed in a prudent and diligent manner with an emphasis on safety of principal, liquidity to meet cash flow requirements, and financial return on principal (yield), in that order. Investable balances are held in the Local Government Investment Pool (LGIP) or the Kitsap County Treasurer local government investment pool. The LGIP is an investment vehicle maintained by the Office of the State Treasurer to help local governmental entities achieve higher rates of return by pooling local funds for economy of scale. The Kitsap County pool is invested in allowable investments authorized by the Revised Code of Washington. Both investment pools are transparent, easily accessible, and highly stable. EXPENDITURE POLICY The City seeks to identify priority services, establish appropriate service levels, and administer the expenditure of available resources to assure fiscal stability and the effective and efficient delivery of services. The City strives to adopt an annual balanced budget for the General Fund in which current expenditures do not exceed current projected revenues. Capital expenditures may be funded from one- time revenues. The City Council may approve a short-term interfund loan or use of one-time revenue sources to address temporary gaps in cash flow, although this will be avoided if possible. DEBT POLICY The use of bonds or certificates of participation will only be considered for significant capital and infrastructure improvements. The City will not use long-term debt to pay for current operations. The term of the debt may not extend beyond the useful life of the improvements being financed. The general policy of the City is to establish debt repayment schedules that use level annual principal and interest payments. The City strives to maintain its bond rating at the highest level fiscally prudent, so that future borrowing costs are minimized and access to the credit market is preserved. The City encourages good relations with financial bond rating agencies and is directed to follow a policy of full and open disclosure. The complete text of Port Orchard's financial policies can be accessed at: http://www.cityofportorchard.us/departments/finance Page 46 of 170 CITYWIDE REVENUES & EXPENDITURES The information below reflects the Citywide Operating Revenues and Expenditures, providing cumulative information from all City Funds. CITYWIDE OPERATING REVENUES: The Chart displays the projections for new revenues, by source, which the City estimates to receive in 2019- 2020. These revenues allow the City to operate in its best capacity to serve the Citizens. The largest source of incoming revenues in this period are Operating transfers (30.63%). Taxes are the next largest piece of the pie at 28.62%, followed closely by Charges for Goods and Services (26.48%). Charges for Goods and Services are comprised mainly of utility fees for the Water Sewer and Storm Drainage Utility funds. 2019-2020 Estimated Finance Sources Fines & Forfeits Miss Revenues 0.53% 1_01% Capital C©nlribu1ion 6 57°/© Operating Transfers 30.63% Intergo Revenue 5.12©/a Licenses Permits 1 05% CITYWIDE OPERATING EXPENDITURES: This chart contains the breakout by percentage of cost allocations throughout the City. The top three are Personnel Costs (Salary and Benefits) at 27.37%; Interfund Transfers (23.83%); and Capital Outlay (26.52%) which includes acquisitions or additions to capital assets. Next at 9.58% are Services which includes Professional Services, Repairs & Maintenance, Rents & Leases; Intergovernmental Services consist of 8.6%, Supplies at 2.54%, & debt service at 1.56%. 2019-2020 Estimated Uses Debt Service 1.56©/0 Interfund Transfers 23.83% Supplies 2.54°/© Page 47 of 170 SUMMARY OF REVENUES General Fund Current Expense Stabilization Special Revenue Funds BEET Special Investigative Unit Community Events 001 00 003 103 104 10 108 EllEMIEME Impact Fee Capital Construction Funds Capital Construction Cumulative Reserve for Equipment Replacement Street Capital Projects Proprietary Funds Water Sewer Equipment Replacement Cumulative Reserve for Water Sewer Water Operations Water Stabilization Water Capital Storm Drainage Operations Storm Drainage Stabilization Storm Drainage Equipment Replacement old Storm Drainage Capital Sewer Operations Sewer Stabilization Sewer Capital Debt Service Funds Bond Redemption Fund 1984 Refunding Water Debt Service Storm Drainage Debt Service Sewer Debt Service Enterprise Fund 09 El 30 303 304 19,600,873 4,624,576 669,768 1,007,160 67,475 255,894 4,545 4,150,243 1,428,352 3,045,057 629,610 2,346,184 24,523,048 4,078,740 933,147 401 402 403 411 412 413 421 423 431 315,674 9,633,285 4,395,580 401,524 695,241 79,023 331,130 8,667 2,645,700 2,066,869 2,117, 364 497,085 15,079,567 25,369,522 6,241,790 4,288,169 220,654 969,703 43 433 206 15,550 414 5,260 1,082,643 23,143,600 4,021,508 1,311,900 930,873 70,000 252,500 9,780 3,496,331 1,649,638 818,000 5,475,094 2,000,000 4,867,000 7,427,300 390,000 8,530,500 4,328,822 175,200 670,440 11,425,600 130,128 354,754 30,128 5,242,637 Page 48 of 170 General Fund Current Expense - Administration Current Expense - Finance Current Expense -Judicial Current Expense - Law Enforcement Current Expense - Community Development Current Expense - Public Works Current Expense - Parks & Recreation (PW) Current Expense Transfers Current Expense - Reserves & Fund Balance City Street Stabilization Special Revenue Funds Criminal Justice Special Investigative Unit Community Events Paths & Trails Real Estate Excise Tax Impact Fee Capital Construction Funds Capital Construction Cumulative Reserve for Equipment Replacement Street Capital Projects Proprietary Funds Water Sewer Utilities Water Sewer Equipment Replacement Cumulative Reserve for Water Sewer Water Operations Water Stabilization Water Capital Storm Drainage Operations Storm Drainage Stabilization Storm Drainage Equipment Replacement Storm Drainage Capital Sewer Operations Sewer Stabilization Sewer Capital Debt Service Funds Bond Redemption Fund 1984 Refunding Water Debt Service Storm Drainage Debt Service Sewer Debt Service Enterprise Fund ER&R SUMMARY OF EXPENDITURES 103 104 107 108 109 111 302 303 304 401 402 403 411 412 413 421 422 422 423 431 432 433 206 621 414 424 434 1,803,468 1,244,745 1,080,974 8,716,780 1,724,562 984,291 547,556 930,294 2,568,202 4,624,576 669,769 1,007,160 67,475 255,894 5,663 2,788,471 1,428,352 3,059,466 629,520 2,346,184 20,357,668 315,674 9,633,285 3,011,021 401,524 694,095 329,777 15,550 1,988,275 1,360,812 1,106,660 8,902,758 2,369,124 1,075,092 607,784 1,052,353 4,546,552 4,227,022 933,147 1,084,107 79,139 343,486 8,457 2,645,700 2,066,869 2,365,575 941,882 14,954,971 17,116,411 322,728 6,356,092 5,834,275 220,654 969,703 457,120 5,302 1,082,643 2,393,853 1,725,900 1,335,100 11,191,395 2,814,117 1,471,822 917,300 1,000,000 294,113 4,021,508 1,311,900 930,873 70,000 252,500 9,780 3,496,331 1,649,638 818,000 5,475,094 2,000,000 4,867,000 7,427,300 390,000 8,530,500 4,328,822 175,200 670,440 11,425,600 606,700 9,469,000 757,383 130,128 354,754 30,128 5,242,637 Page 49 of 170 0rei ti CO O 7 0 al N 0 0 0 0 a 0 O O O 00 Go O co a v 0 O O O W O O O W 0 0 CO 0 0 0 0 O iJ Current Expense CO D7 O O O 0 00 Ol M 00 N Go O O O 0 CO O O O c0 O O O O O W O O O 0 O O 0 O 0 C O 0 O O CO m 0 CO on Go 0 O 0 0 z C 0 Special Investig Community Even Paths & Trails Transportation I O O O CO a O ui Go O O O O b ti O O O 0 Go 0 m O 0 c5 0 O Go O e Reserve for Equipment Replaceme E 0 0 a`To 0 2,000,000 4,867,000 ' 7,427,300I 390,000 8,530,500I N CO W on Go '..... 175,200 670,440I O 0 i0 v1 N V N 0 0 N Go O l0 0 0 0 01 l0 Go 01 N M t0 N Go N v) 1,000,000 390,000 7,880,500 O 0 0 0 0 o 4,964,000 �1 0 N 0 0 N 0 t0 M N a 0 4,505,000 I 0 0 0 0 17,000 0 m O. ' 50,000 6,297,800 3,194,000 10,408,600 0 0 0 0 2,000,000 4,867,000 1,074,822 670,440.. M Go of 0 O N o m 0 .-I tial N N N N N N N m MO 0 V ,I. V Go d' Go Go Cr Go C Go C Go v1 Proprietary Funds Water Sewer Utilities 'Water Sewer Equipment Replacement Cumulative Reserve for Water Sewer `Water Operations Water Stabilization 'Water Capital Storm Drainage Utility 'Storm Drainage Equipment Replacement (Storm Drainage Stabilization 'Storm Drainage Capital Sewer Operations `Sewer Stabilization Sewer Capital CC 021 CO O Go m CO 0 CO O C rn m CO 0 a N a M c Go D Bond Debt Service Water Debt Se Storm Drainage Debt S on V m Page 50 of 170 aainaaS lgaa aaMaS naa5;ciao a2eu!ela wao;5 ID A A A 00 aa!naa5;qaa falem punj uo!ldwapag puog A N 1-4 A OO1 i-> J W In • J hJ W N CO CO W spuny aa!Mas;qaa Equipment Rental & Revolving Fu V1 0 N 0-1 O 01 A W CO W N O O O O W 00 W A 01 W V A A W W W N 00 N 01 01 O O F+ co V 0 N Q1 A V 0 0 Io A O1 01 O O O V 0 0 Su!lelado lamas elide) a2euieao wao;5 0 A A W N i-+ W 01 ID A 0 W 00 CO V 01 A 0 0 W 00 V IO V CO 01 W O O W In W O N hn O Q1 oo 0W O A 01 N V In O of A O O IS aseuiela wJolS n a8eu!eJo wao;S 0 O A A N N N F+ I-+ 01 ID N W O J A 0 O W W N 01 O 0 A W 01 N ID ✓ N 01 H N W 0 L11 A W V N In OJ N CO 0 IN N Water Stabilization Water Capital A A W N 0 O O O O 0 N CO l0 0 0 In O O 0 00 V1 W W i0 O O to O O 0 2u!leiado JaleM O O 0 W 00Co N V O O Cumulative Reserve for Water Sewer A O A 'co 01 V O O b3 aama5 JaleM luawaaeldag luaw !;n Jamas JateM h A A 0 0 N N N 0 0 O 0 O O m` M n 0 n Ln W A 01 O W N O O A N 01 A A V to A b3 anJasaa an!lelnwn) awaaeldaa luaw uoi;ana;suo) lel!de) O O N „CO 0 00 OJ O0 pun j as j laedwl CO In A W W 01 A W CO v v 0 v v 00 m m d 0 0 IO CO A W 00 CO 01co J W O W LO ID 01 t0 W 00 O sl1.1an3 Al!unwwo) 0 0 V A O O N O1 00 01 1- J 0 O tJ 04 V N O O O 0 0 aailsn[!eu!wu) 0 O O N A 0 O O 01 0 ID 0 0 00 01 W J J W O J W uo!lez!I!gelS O 0 O 0 W N 0 V 01 O O A N 0 0 0-1 W 'CO N VJ i-4 N 1-* CO O A 0 01 N W 0 h* N 1-4 O 0 0 00 n O M 0 0 O asap - asuadx3 lua aaueieg punj'8 sa LD A O N 0 l0 0 A O 1- O W Current Expense - Public Works Current Expense - Community Development 01 N W A to 0 0 0 0 1-` A 0 W O O 01 0 0 O W 0 N V V l0 J N CT N N w 00 00 F, t0 A N J Me"! - asuadx3 lua»n) O 3 N 0 nr - asuadx3 ;ua.un) V 0,) 1.0 N 0 0 W V CO 0 0 0 N h) A V V N 0 0 0 0 N h) N 0 O O O 0 O O CO ID A 0 V 1.0 0 A N H (0 D W i-> 11 LW0 0 to 0 c 0 0 m 0 a N O O IO O 0 O 00 0 O W 01 0 O 0 O c m m CL 3 O O O W A O O LD N coW O1 O A v Page 51 of 170 FUND BALANCE CHANGES Beginning fund balance is the projected amount of money at the beginning of the fiscal period. Expenditures made and revenues received result in the ending fund balance. The City strives to maintain a minimum amount of fund balance for cash flow purposes. Revenue inflows fluctuate and fund balance provides consistency to meet expenses and keep City operations moving forward. Amounts in excess of minimums required for cash flow purposes may be set aside as reserves or used to fund expenses the City did not anticipate when it adopted the budget. The table below represents budgeted fund balances for 2019-2020. 002 City Street 003 Stabilization 453,508 (425, 462) 911,900 400,000 28,046 1.311.900 - 94% 44% 103 Criminal Justice 104 Special Investigative Unit 107 Community Events 108 Paths & Trails 441,573 (427,786) 62.000 52,500 7,780 3,720 (24,400) 2,000 13,787 -97% 65,720 6% 28,100 -46% 9,780 26% 109 REST Fund 111 Impact Fees 302 Capital Construction Fund 304 Street Capital Projects Fund 401 Water Sewer Utility 403 Water Sewer Cumulative Reserve 411 Water Operations 2,096,331 1,369,638 318,000 (234,713) (205,285) 2, 884,625 (2,442,031) 2, 000, 000 (2,000,000) 4,867,000 (4,867,000) 1,078,184 1,861,618 - 11% 1,164, 353-14.99% 318,000 0% 442,594 -85% -100% -100% 1,078,184 100 412 Water Stabilization 390,000 390,000 100% 413 Water Capital 2,080,500 2,080,500 100% 421 Storm Drainage Operations 422 Storm Drainage Stabilization 423 Storm Drainage Capital 431 Sewer Operations 1, 074, 822 (153, 477) 175,200 670,440 (168,800) 382,183 921,345 -14% 175,200 100% 501.640 -25% 382,183 100% 432 Sewer Stabilization 606,700 606,700 100% 433 Sewer Capital 1,172,400 1,172,400 100% 500 Equipment Revolving, & Replacement Fund 1,009,603 2,380,355 Some of the significant increases and decreases are explained as follows: 3,389,958 100% • Current Expense Fund decreases largely due to a funds transfer to the New Equipment, Revolving & Replacement Fund (ER&R) and Stabilization Fund. • The City Street Fund also decreases due to a transfer to the ER&R Fund. • Stabilization Fund will increase with the transfer from Current Expense. • Criminal Justice Fund reduces with transfer of funds to ER&R. • Special investigative Unit is up slightly. • Paths and Trails ends the period with a higher fund balance due to fuel tax revenue. • The City's REET fund will decrease due to transfers out for Capital projects. • Impact Fee Fund decreases because of transfers to other funds for projects. • The Capital Construction fund will experience no change this biennium. • Cumulative Reserve for Municipal Equipment was closed, and all monies transferred to the ER&R fund. Page 52 of 170 * Street Capital Projects fund balance decreases due to the completion of the Tremont Widening Project ° Water Sewer was o|nsod with funds transferred to the newly formed separate water and sewer funds. w Water Sower Cumulative Reserve was o|osod, and funds transferred to Water Capital Projects Fund and Sewer Capital Projects Fund. ° Storm Drainage Utility fund balance decreases slightly due to transfers to Debt Service, ER&R and Stabilization funds * Storm Drainage Equipment Reserve was closed, and funds are transferred to the ER&R Fund. * Storm Drainage Capital Facilities Reserve: Fund name was changed toStorm Drainage Capital. It ionow acapital projects fund. Fund balance will decrease this biennium due tothe storm drainage improvement for the Tremont Widening construction project. * Six new funds, which will carry a fund balance, were created for Water and for Sewer (Operations, Capital, & Stabilization) These funds will all increase fund balances due to transfers from the old water sewer combined funds which are tobeclosed. * A Storm Drainage Stabilization fund is also created and will increase its fund balance from zero to $175.200due toatransfer from Storm Drainage Operations fund Page 53 of10 Council Total Legislative Ci Clerk Deputes ph/ Clerk Office Assistant II Total Administration Finance Director 1 1 3.0 1 PERSONNEL LIST 6,963 7,206 ,000 1,000 0 _. 0 7,181 8,710 0 4,755 5,770 1 1 0 3,976 4,824 3.0 3.0 0.0 1 1 0 9,998 12,126 Assistant Finance Director AccountingAssistants II Accounting Assistants III Human Resources Coordinator LAN Tech/IT Manager IT Support Specialist 1 1 0 4 4 4 0 2 2 ...-__....2.5 ...._.....w...w 0.5 1 1 1 0 1 1 0 -1 0 Total Finance/IT/HR Community Development Director 1 1 1 1 0 10.0 11.0 10.5 Office Manager Associate Planner Long Range Associate Planner Code Enforcement Building Inspector Permit Clerk 1 2 2 2 1 1 0 7,453 9,038 4,503 5,461 5,150 6,245 6,287 7,473 0 0 5,763 6,989 -0.5 0 9,587 11,627 1 1 1 1 1 0 0 0 0 0 1.35 2.7 2.7 0.00 5,647 6,848 5,737 6,959 6,583 7,982 5,380 6,527 5,576 mm 6,763 4,404 5,236 Total Community Development Judge._. Court Administrator Lead Clerk 8.35 9.70 9.70 0.00 0.6 0.6 0.8 0.20 1 1 1 0 1 1 1 0 Court Clerks Total Judicial Chief of Police D puty Chief of Police Sergeants 2.6 2.6 2.6 0 5.2 5.2 5.4 0.2 1 1 1 1 1 1 3 3 Office Manager 1 1 8,265 6,483 7,637 9,266 4,675 5,725 3,949 4,833 10,532 12,773 0 9,242 11,213 0 0 Records Evidence Clerks 2.25 2.25 3.25 1 Public Service Officer Court 0.75 0.75 0.75 0 Parking Enforcement Officer 1 1 1 _._._ 0 Patrol Officers 18 18 18 0 Total Police Department 28.00 28.00 29.000 1.00 Public Works Director/Ci Engineer 1 1 1 0 Assistant City Engineer 1 1 1 Civil Engineer 0 0 1 Stormwater Program Assistant 1 0 0 GIS Specialist/Devel. ReviewAsst 1 1 1 Public Works Office Manager 1 1 1 Public Works Office Assistants I 7,671 8, 789 5, 207 6.375 3,893 4,763 4,696 5,694 4,267 5,174 5,151 7,320 10,036 12,176 8,197 9,946 5,814 7,052 0 0 6,145 7,452 5,647 6,848 1.6 0.6 0.0 -0.6 I 0 0 Public Works Office Assistants II Public Works Foreman 0.0 0.0 1.0 1.0 j 3,976 4,824 0 ( 6,633 6,866 Utility Facility Operations Manager *replaced PW Sup/WA & SW Utility Mgr City Mechanic 0 1 0 7,878 9,458 1 5,210 6,010 C4. Electrician 1 1 1 0 5,210 6,010 PW Personnel 10 10 10 0___ 4,176 5,834 WA/SW/Storm Coordinators (3) 2 2 3 1 4,949 6,182 Stormwater Program Manager 0 1 1 0 5,897 7,151 PW Laborer - Parks Community Service 1 1 3,293 3,954 Seasonal Worker 2 4 4 0 2,340 2,340 Total Public Works 23.6 25.6 29.0 3.4 Page 54 of 170 SALARY SCHEDULE o Cu rOtal Ma or 58,820 0 6,920 6,920 6,920 6,920 0 86,500 Council (7) 84,000 0 0 0 0 0 0 84,000 City Clerk 57,585 0 15,705 15,705 10,470 5,235 0 104,700 Deputy Clerk 45,110 0 6,940 6,940 6,940 3,470 0 69,400 Office Assistant II 50,760 0 2,820 846 846 1,128 0 56,400 Finance Director 43,744 0 30,074 30,074 13,670 19,138 0 136,700 Assistant Finance Director 53,802 0 16,470 16,470 7,686 15,372 0 109,800 Finance Accountin. Assistants (6.5) 113,993 0 106,347 106,347 52,478 72,636 0 451,800 IT Sus sort S.ecialist 2 P 92,644 0 9,143 9,143 5,486 5,486 0 121,900 Human Resources Coordinator 80,724 0 3,364 3,364 4,805 3,844 0 96,100 Public Works Director/Ci Engineer 21,960 0 32,940 32,940 51,240 7,320 0 146,400 Assistant City Engineer 3,588 0 5,382 5,382 89,700 15,548 0 119,600 Civil Engineer 11,640 0 11,640 11,640 69,840 11,640 0 116,400 Utility Facility Operations Manager 7,525 0 48,375 24,725 8,600 18,275 0 107,500 Public Works Office Manaser 23,760 0 17,226 17,226 13,068 7,920 0 79,200 Public Works Office Assistants (1) 23,200 0 11,600 11,600 5,800 5,800 0 58,000 Public Works Foreman 21,250 0 10,625 10,625 21,250 21,250 0 85,000 Ci Mechanic 0 0 0 0 0 0 72,400 72,400 Electrician 0 0 0 73,300 0 0 0 73,300 PW Personnel (11) 162,997 0 163,712 0 304,547 83,643 0 714,900 PW Laborer 34,000 0 0 0 0 0 0 34,000 Seasonal Worker (4 Seasonal) 21,625 0 3,460 3,460 5,190 865 0 34,600 Communi Develo.ment Director 139,800 0 0 0 0 0 0 139,800 Office Manager 82,400 0 0 0 0 0 0 82,400 Associate Planner (2.7 FT) 263,300 0 0 0 0 0 0 263,300 Permit Clerk 3 136,515 0 2,874 2,395 958 958 0 143,700 Code Enforcement 78,500 0 0 0 0 0 0 78,500 Buildin. Ins.ector 81,400 0 0 0 0 0 0 81,400 Jude 104,000 0 0 0 0 0 0 104,000 Court Administrator 102,100 0 0 0 0 0 0 102,100 Court Clerks (2.60) 162,700 0 0 0 0 0 0 162,700 Lead Court Clerk 66,300 0 0 0 0 0 0 66,300 Total General Government 2,229,742 0 505,616 389,101 679,494 306,447 72,400 4,182,800 Chief of Police 153,600 0 0 0 0 0 0 153,600 Dec.] Chief of Police 146,000 0 0 0 0 0 0 146,000 Ser. eant (3) 339,600 0 0 0 0 0 0 339,600 Office Manaser 80,800 0 0 0 0 0 0 80,800 Records/Evidence S.ecialist (2 FT 2 PT ) 182,300 0 0 0 0 0 0 182,300 Public Service Officer Part Tme 51,400 0 0 0 0 0 0 51,400 Parkins Enforcement Officer (2 PT) 59,600 0 0 0 0 0 0 59,600 Patrol Officers (18) 1,509,435 92,365 0 0 0 0 0 1,601,800 Total Police Department 2,522,735 92,365 0 0 0 0 0 2,615,100 Water/Sewer/Storm Coordinators 0 0 78,120 70,442 0 78,638 0 227,200 GIS S.ecialist/Develo.ment Review Asst 0 0 22,425 22,425 22,425 22,425 0 89,700 Stormwater Pro.ram Manaser 0 0 0 0 0 81,800 0 81,800 Total Other Departmental 0 0 100,545 92,867 22,425 182,863 0 398,700 dd TOWS Not 6 ftl 48 2,400 x Page 55 of 170 Transfer To (397) o NO Cn O A W A A W co A W N 41. W - A N A A N) N A a A A a co A A a a N a W O A (a O N N 0 Cn O 0 (.4 O 0 N 2,356,906 W Cn O) CO O O) A O O O O O 0) O O O O O Cr) i C31 -CO J_JJ N O (G -co N 01 O N' :N A W O) Cn O P IX) 6) 1,634 713 0) V V W W ->. N 0 O O O 0 J Cn J W OD N) 485,285 A 00 Cn N CO (n N C3 £ O i OI CO o o O o O O O O O O O O O O A 00 J ,' O' o N J A O O N O co O O 1,945,751 j N W Cb N W W O Ni Co N CO V U1 0 O W CO O O O 0 0 O o is O O O O O Fs> CST. O) W J N co A J Cn A (Vn N O 0 W r CO CS1 :: W '; O. _.. W CO 0) CO A J Cn W O N 00 N CO O O O O O O O) J O O CO 0) N OD W A CO -P O -P co N A 0) O N CO CO CA 4P. O O O 0) O CA :N O 0 O O O O O 0 " W Cn 4P J Cn A J Cn N `: O 0 CO O N CO G) (0 O 01 O O W O CO 0 O 0 O O C1.0 O O: Cr) N 6) a Cr) N O O O 0 0 J 01 V -co 00 N 4 'O O O O O CS) O O O O 0 O a O O O W O CO a C) W W W 31f1a3HJS 2133SNVK OZOZ-6ZOZ Page 56 of 170 General Fund Operations Current Expense Fund No. 001 City Street Fund No. 002 —This page left blank intentionally— OVERVIEW The General Fund provides for the daily operations of the Port Orchard city government. The pie charts below indicate revenues and expenditures Port Orchard expects in 2019-2020. Projected Revenues 2019-2020 Transfers 2% TBD Vehicle Fees 2% Fines &Forfeits 2% Department Projected Expenditures Expenditures by Type 2019-2020 Supplies & Fuel 1 66% This table compares revenues received to expenditures incurred in the General Fund. For the 2015-2016 and 2017-2018 fiscal period actual expenses & revenues received are depicted. 2019-2020 is a projection of what the City anticipates for the year. Fund balance and reserves are not included in this graph. P area & Recreation 29% Interfund Transfers 11.22% 30.000,000 25,000,000 20,000,000 15,000,000 10,000,000 5;444,000 es General Fund Trends 2015-2016 Actual 19 600,873........ Expend.0 9,000 87 2017-2018 Actual 2019-2020 Budget 23,143,600 23,009,409 23,143,600 Page 57 of 170 REVENUES & EXPENDITURES General Fund information includes Current Expense and Street Fund Revenues Assigned Beginning Fund Balance Committed Beginning Fund Balance Restricted Beginning Fund Balance Unassigned Beginning Fund Balance Property Tax Sales Tax 956,537 287,818 7,500 1,434,581 4,791,297 8,674,710 847,906 110,053 7,500 2,376,884 5,426,507 9, 884,177 453,508 2,200,000 5,741,000 10,145, 000 Utility/Franchise Tax Gambling Tax Other Taxes 3,122, 271 159.477 219.524 3.616.550 75.310 628,474 3,843,000 170.300 580,000 Licenses & Permits 770,479 ,004,419 810,700 Intergovernmental Charges Goods & Services Fines & Forfeits 1, 037,836 949,122 449,773 1,185,312 ,206,004 379,376 1.019.800 883,500 356,000 Miscellaneous Revenue Operating Transfers In Expenditures 451,760 912,765 1.628.315 362.300 125,000 600,000 Personnel Costs (Salary & Benefits) 12,051,884 13,522,580 Supplies Services & Charges Intergovernmental Services Capital Outlay Interfund Services 560,151 760,391 4, 940,522 4,376,623 2,003,499 1,913,136 250,567 31,870 5.188 1.902 16, 578, 500 444,550 4,565,126 2,243,995 Interfund Transfers 1.061.294 1.421.624 3.010.778 Assigned Ending Fund Balance Committed Ending Fund Balance Restricted Ending Fund Balance Unassigned Ending Fund Balance 847.906 671.405 110,053 159,031 7,500 2,376,884 4,377,871 28.046 294.113 Page 58 of 170 FUND BALANCE & RESERVES GENERAL FUND BALANCE Fund balance is an important part of a City's General Fund budget. A city may use fund balance for many reasons. A healthy fund balance allows city operations to continue regardless of the timing of revenues received during a specific period. Fund balance is also used as a "Savings" account, enabling a city to put away dollars for large expenditures that would otherwise hinder the operating cash flow, or Council might choose to set aside funds for special projects anticipated in future years. This graph shows the trend for the budgeted general fund balance. Port Orchard's revenue proceeds fluctuate during the year. This can be due to the economy or simply the type of revenue. An example of this is Property Tax. The City budgets an amount for property tax. The County, which collects the tax revenues, remits payments to the City on a monthly basis. The bulk of the tax revenue is received in May and November. This is because taxpayers typically pay their taxes to the County twice per year, in April and in October. Without fund balance the City would be constrained by lack of revenue during many months of the year. Fund balance allows the City to continue to meet its expenditures even during the months where the revenues come in at a lesser amount. GENERAL FUND RESERVES Portions of fund balance dollars are designated for a specific use or to meet a future need. This funding is maintained in separate line item accounts sometimes known as reserve accounts. The City has reserve accounts in its Current Expense, City Street & Stabilization Funds. The chart below indicates the increases and decreases to the General Fund reserve accounts as funds are saved or spent on projects. 1,4,0m0 1,000,000 800,000 General Fund Ending Fund Balance 3500000 3,000,000 2,500000 2,000,000 1,500,000 1,000,000 500,000 gg Budgeted 2015-2016 Actual 2,339, 281 3,285,114 General Fund Reserves 600,000 -- 4000,000 200,000 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget ea Current Expense az Street Stabilization Page 59 of 170 Current Expense Fund 001 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.0.311.10.00 General Property Taxes 2,513,795.56 3,419,245.46 3,741,000 001.0.311.30.00 Sale of Tax Title Property 26.69 - - 001.0.313.11.00 Local Retail Sales & Use Tax 8,674,683.56 9,884,177.41 10,145,000 001.0.316.41.00 Utility Tax - Electric 1,250,323.12 1,396,475.97 1,400,000 001.0.316.42.00 Utility Tax - Water 194,466.09 253,922.93 295,000 001.0.316.43.00 Utility Tax - Gas 122,879.72 305,868.32 400,000 001.0.316.44.00 Utility Tax - Sewer 345,772.15 437,462.14 518,000 001.0.316.45.00 Utility Tax - Garbage 275,162.59 310,675.72 320,000 001.0.316.46.00 Utility Tax - Television Cable 170,386.77 177,105.82 180,000 001.0.316.47.00 Utility Tax - Telephone 609,047.13 563,557.18 550,000 001.0.316.48.00 Utility Tax - Storm Drainage 154,233.26 171,481.45 180,000 001.0.316.81.00 Punch Boards & Pull Tabs 156,425.69 172,022.96 168,300 001.0.316.82.00 Bingo & Raffles 4.75 - - 001.0.316.83.00 Amusement Games 3,046.07 3,287.10 2,000 001.0.317.20.00 Leasehold Excise Taxes 92,015.30 81,020.89 90,000 001.0.318.11.00 Admissions Tax 126,008.08 113,571.32 110,000 001.0.321.30.00 License & Permits - Police & Protect. 3,100.00 2,500.00 2,800 001.0.321.60.00 License & Permits - Profes & Occup 1,855.00 1,296.00 1,600 001.0.321.70.00 License & Permits - Amusements 3,930.00 4,740.00 4,200 001.0.321.99.00 Other Business Licenses & Pmt 181,682.08 180,328.74 182,400 001.0.321.99.02 Vendor Permits 1,210.00 3,810.00 - 001.0.322.10.00 License & Permits - Blds, Struct, Equip 548,835.70 785,270.56 600,000 001.0.322.10.01 Bldg Pmt Technology Fee 11,430.00 13,120.00 12,700 001.0.322.30.00 Animal License 387.00 1,004.00 - 001.0.322.40.00 Street & Curb Permits 7,635.25 950.25 1,000 001.0.322.90.00 License & Permits - Other non -bus 5,684.00 5,079.00 4,000 001.0.331.16.60 Bullet Proof Vest - 4,089.28 - 001.0.333.20.60 Police Grand Federal Ind' 3,510.91 1,164.97 - 001.0.333.66.12 WA Dept Commerce - USEPA TDR Gra 5,615.93 - - 001.0.333.97.00 Boating Safety Fin Assistance 18,133.67 24,640.10 - 001.0.334.01.20 Judicial Grants 20,827.72 35,959.80 - 001.0.334.03.10 DOE - Shoreline Master Update - - - 001.0.334.03.50 Traffic Safety Commission - - - 001.0.334.06.90 State Dir For L&l SHIP Grant - - - 001.0.336.00.84 Vessel Registration Fees 15,366.77 14,622.32 15,200 001.0.336.06.41 Marijuana Enforcement 85,265.60 55,981.37 40,000 001.0.336.06.42 Marijuana Excise Tax Distribut 58,469.83 26,000 001.0.336.06.94 Liquor Excise Tax 98,834.49 150,189.07 133,000 001.0.336.06.95 Liquor Control Board Profits 184,749.93 185,478.04 187,900 001.0.336.06.96 Liquor Profit - Public Safety 46,853.35 47,037.99 47,700 001.0.337.00.00 Local Grants 825.00 001.0.337.01.00 Interlocal Grant - Admin Courts - 13,000.00 - 001.0.337.01.01 SKF&R Marine Patrol 500.00 - - 001.0.337.06.00 City of P.O. Foot Ferry 13,911.80 6,024.25 - 001.0.337.08.00 City of P.O. Festival of Chimes 2,204.51 6,689.46 - 001.0.337.09.00 City of P.O. Tourism/Marketing 2,571.00 1,700.00 - 001.0.337.10.00 Timber State Forest 677.58 1,018.67 - 001.0.338.21.00 Intergovt'I Services - Law Enforcement - - - Page 60 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.0.341.22.00 Dist/Muni Civil filing 29.77 001.0.341.33.00 Municipal Court Admin Fees 26,604.50 14,617.37 14,100 001.0.341.62.00 Municipal Court Word Pro/Dupl 1,348.12 1,871.26 3,200 001.0.341.75.00 Sale of Maps & Publications 191.00 681.00 - 001.0.341.81.00 Other Word Processing & Print 4,500.95 4,817.71 - 001.0.341.95.00 Legal Services 13,178.03 14,307.85 13,900 001.0.342.10.00 Other Services 199,823.59 311,091.75 191,900 001.0.342.20.00 DUI Recovery Costs - Fire 99.60 0.40 - 001.0.342.33.00 Adult Probation Service Charge 380,673.74 277,564.93 283,200 001.0.342.36.00 Monitoring & Incarceration - 001.0.342.40.00 Protective Inspection Fees 1,890.00 975.00 - 001.0.342.40.01 Protective Inspection Fees - Fire - 37,662.50 34,300 001.0.342.50.00 Emergency Service Fees 8,553.39 9,850.65 8,100 001.0.345.29.00 Other Environmental Services 10,276.30 12,757.85 - 001.0.345.81.00 Zoning & Subdivision Fees 44,036.75 55,436.60 50,000 001.0.345.83.00 Plan Checking Fees 192,032.70 353,910.06 200,000 001.0345.83.01 Plan Checking Fees - Fire - 59,175.00 54,300 001.0.345.89.00 Other Planning & Devel. Fees & Chg 29,481.92 22,015.44 20,200 001.0.345.89.01 Other Plann Fees Hearing Examiner 13,507.50 15,610.00 10,300 001.0.347.90.00 Culture & REC other fees 1,600.00 3,900.00 001.0.352.30.00 Proof of Motor Vehicle Insurance 3,441.46 1,162.59 1,400 001.0.352.40.00 Boating Infraction 500.08 436.22 - 001.0.353.10.00 Traffic Infraction Penalities 195,869.18 142,596.72 141,400 001.0.353.70.00 Non -Traffic Infraction Penalties 4,886.56 5,446.83 5,100 001.0.354.00.00 Civil Parking Infraction Penalities 128,199.29 134,079.38 131,300 001.0.355.20.00 Driving under the Influence - - - 001.0.355.20.03 Criminal Conviction Fee - DUI 9,839.32 9,528.10 8,100 001.0.355.80.00 Other Criminal Traffic Misdemeanor - 22,794.15 - 001.0.355.80.02 Criminal Conviction Fee - Traffic 31,473.21 24,448.16 36,400 001.0.356.50.00 Investigative Fund Assessment 11,346.02 8,319.30 8,300 001.0.356.90.00 Other Criminal Non -Traffic Fees 26,310.35 491.26 - 001.0.357.30.00 Court Cost recoup - 469.71 001.0.357.31.00 Jury Demand Cost - - - 001.0.357.33.00 Public Defense Cost 33,307.49 26,029.06 24,000 001.0.357.37.01 Court Cost recoupment 1,078.05 1,183.05 001.0.357.39.00 Dist/Mun Court Cost Recoupment 1,047.72 - - 001.0.359.00.00 Non court fines & Penalties 1,410.80 153.45 - 001.0.359.90.00 Other Fines & Penalties 982.50 2,210.00 - 001.0.361.11.00 Investment Interest 16,093.86 68,681.20 16,000 001.0.361.19.00 Investment Service Fees (583.94) - - 001.0.361.40.00 Interest on Contracts, Notes, T. 4,442.36 10,731.20 3,000 001.0.361.40.01 Interest Collected Municipal Court 52,352.92 54,716.84 40,400 001.0.362.30.00 Parking 158,751.72 247,745.59 200,000 001.0.362.40.00 Active Club Rental 1,216.00 1,700.00 - 001.0.362.41.00 City Hall Rental 795.00 4,893.75 - 001.0.362.42.00 Police Firearms Range Rental - - - 001.0.362.50.00 Space & Facilities Leases Long -Term 128,595.23 86,831.94 86,900 001.0.362.51.00 Active Club Non -Refundable Cleaning Fee 150.00 150.00 - 001.0.367.11.00 Gifts, Pledges From Private Sources 5,429.03 8,492.28 - 001.0.369.10.00 Sale of Junk & Salvage 3,984.79 11,579.62 - 001.0.369.30.00 Confiscated and Forfeited Ppt 5,086.09 15,661.45 - 001.0.369.40.00 Other Judgments & Settlements 12,724.15 (2,602.42) - Page 61 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.0.369.81.00 Cashiers Overage & Shortage (20.00) 0.01 001.0.369.90.00 Other Misc. Revenue 2,863.42 4,378.36 001.0.388.80.00 Prior Year Corrections 840,159.00 001.0.389.10.00 Refundable Deposits 41,352.72 001.0.395.10.00 Proceeds from Sales Fixed Asset 1,435.00 2,611.67 - 001.0.395.20.00 Comp -Loss Cap Asset - Ins. 14,326.50 74,309.40 - 001.0.397.00.00 Operating Transfers In 5,765.00 - - 001.0.398.00.00 Insurance Recoveries 13,479.04 13,791.08 - 9�rO(I Qt�l+Lr`lxl�'#al"►��Cf 5owt'C�� 35,i;!05 *i 907124 ... ., t 001.8.308.32.00 - - - 001.8.308.40.00 Est Comm Fund Bal Recreation 287,817.54 110,053.12 - 001.8.308.52.00 Est Assigned Fund Bal Park 86,615.50 71,615.50 - 001.8.308.53.00 Est Assigned Fund Bal City Hall 33,609.53 9,649.36 - 001.8.308.54.00 Est Assigned Fund Bal Annex Prpty Tax - - - 001.8.308.55.00 Est Assigned Fund Bal Annex Sales Tax - - - 001.8.308.56.00 Est Assigned Fund Bal KCCHA - - - 001.8.308.90.00 Est Unassigned Fund Bal Beginning 1,434,580.70 2,376,884.46 2,200,000 Page 62 of 170 City Street Fund 002 Account Number Account Title REVENUE 2015-2016 2017-2018 Actual Actual 2019-2020 Budget 002.0.311.10.00 General Property Taxes 2,277,501.74 2,007,261.8 2,000,000.00 002.0.311.10.01 002.0.317.60.00 002.0.322.40.00 Diverted Road Tax TBD Vehicle Fees Street and Curb Permits 002.0.336.00.87 Motor Vehicle Fuel Tax - Street 1,500.26 4,730.00 537,987.61 433,881.90 6,320.00 579,247.22 380,000.00 2,000.00 570,000.00 002.0.344.10.00 Road/Street Maintenance Repair 3,389.20 3,596.55 002.0.345.81.00 Zoning & Subdivision Fees 100.00 120.00 002.0.345.89.00 Other Planning & Devel. Fees & Charges 17,835.00 6,012.35 002.0.359.90.00 Miscellaneous Fines & Penalties 80.78 27.54 - 002.0.361.11.00 Investment Interest 11,049.77 20,157.09 - 002.0.361.19.00 Investment Service Fees (668.77) - - 002.0.362.50.00 Space & Facilities Leases Long -Term 17,850.71 17,574.46 16,000.00 002.0.367.11.00 Pledges & Grants from Private Sources 500.00 3,955.94 - 002.0.369.10.00 Sale of Scrap and Junk 154.23 4,206.63 - 002.0.369.40.00 Other Judgements & Settlements 90.57 8,520.54 - 002.0.369.90.00 Other Miscellaneous Revenue 118.48 319.80 - 002.0.388.00.00 Prior Period Adjustments 42, 274.00 002.0.395.10.00 Proceeds from Sale Fixed Assets 1,203.00 43,863.00 002.0.395.20.00 Comp - Loss of Cap. Asset - Insurance 1,413.16 002.0.397.00.00 Operating Transfers In 907,000.00 125,000.00 600,000.00 002.0.398.00.00 002.8.308.30.00 Insurance Recoveries Est Reserve Fund Balance - St Vac Abut WA 341.27 846.72 7,500.00 7,500.00 002.8.308.57.00 Est Assigned Fund Balance Beginning 836,312.26 766,641.28 453,508.00 Page 63 of 170 MISSION STATEMENT Provide leadership, direction, and supervision of City government in a manner that creates a productive working environment, enhances public trust, and promotes understanding of City services and how they are delivered. DEPARTMENT DESCRIPTION The City Mayor is elected at large by the citizens of the City of Port Orchard and serves as the chief administrative officer. The Mayor is responsible to the City Council and managing the departments of the City and all of its employees. The Mayor is also responsible for preparing the annual budget, submitting it to the Council, and administering it after it is approved. This includes enacting the Council's policies; providing City Department overview and liaison; and representing the City officially to the public and other governmental agencies. 2019 & 2020 GOALS Goal 1: Jobs & Sustainable Development • Support Economic Growth and Jobs • Maintain Business Friendly Practices and Policies Goal 2: Public Safety • Prepare for all Hazards through Planning, Prevention, Protection, and Recovery • Engage the Community in Preparedness Actives • Respond Quickly and Effectively • Maintain Order, Enforce the Law, and Protect the Public Goal 3: Fiscal Responsibility • Effectively Manage the Public's Money • Improve Cost Effectiveness and Leverage Partnerships • Implement Innovative Technologies Goal 4: Quality of Life • Strengthen Neighborhoods • Improve our Parks • Provide Recreational, Wellness, and Educational Opportunities NON FINANCIAL LONG-TERM GOALS • Planning and implementation of our community centers concept • Advocate for changes that will energize our downtown with activity • Invite investment and development to our community that will fund our capital facilities needs • Encourage management and our elected leaders to be innovators by thinking out of the box Page 64 of 170 DEPARTMENT OBJECTIVE • Administer government of the City of Port Orchard and policies of the Council to promote the well- being of citizens • Proactively manage the budget process to minimize the need to cut services while still maintaining a deficit -free budget and healthy fund balance • Administer the City's personnel rules and regulations • Provides oversight to departmental operations • Provides oversight for capital projects • Provides oversight for City grant application and their administration STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Appointments with citizens, businesses, and members of the community 140 120 125 130 Number of Board Meetings with other Local Agencies 96 130 130 130 Participation in Community Events 144 110 110 110 160 140 120 100 80 60 40 20 0 Appointments with citizens, businesses, and members of the community Department Measures Number of Board Meetings with Participation in Community Events other Local Agencies 2017 Actual a 2018 Estimated 2019 Estimated • 2020 Estimated PERFORMANCE MEASURES The City-wide perfo, nuance measure is done by the citizens of Port Orchard. Departments align their goals and performance measures to the Mayor's priorities to ensure the City's strategic goals and objectives are accomplished; resulting in areas of improvement within the City. Page 65 of 170 STAFFING LEVELS Staffing Levels 2017. Actual 2018 Estimated 2019 Estimated 2020 Estimated Mayor 1 1 1 1 ACCOMPLISHMENTS The Mayor obtained grants and the bond debt needed to allow for the construction of the Tremont Gateway project. Completed the corridor study for Bethel and Sedgwick Roads that has given a plan to move forward on these commercial corridors. Constructed the McCormick Village Park, our Cities first regional park. Built an additional segment of the Bay Street Pedestrian. Designed and obtained State funding for the Rockwell Park. Worked with the Department of Community Development to modernize our building codes. Implemented our Downtown mixed -use pilot program. Our City through a competitive application prosses obtained Opportunity Zone status with the Department of Commerce. SIGNIFICANT BUDGET CHANGES There were no significant budget changes, however minor increases in various categories to strengthen the partnerships with our local businesses, local governmental agencies, and network opportunities with other local officials. Page 66 of 170 MISSION STATEMENT The mission of the City of Port Orchard is to provide a full range of municipal services to residents and businesses in accordance with City Council policy and direction. City staff shall deliver those services in an efficient, effective, and courteous manner with a commitment to operational excellence. DEPARTMENT DESCRIPTION The City Council is a body of seven individuals elected by the citizens of City of Port Orchard to establish policy for the City and its citizens. Port Orchard was incorporated as a second-class city in 1890. However, in 2017, the Council changed the classification to a Non -Charter Code City. The City is governed by a Mayor -Council plan of government and elected by its citizens to provide dedicated services to enhance the safety, livability, and prosperity of the community. 2018/2019 GOALS Be ahead of change: • Continue staff/Council communication regarding the Gorst project. • Track changes in WSDOT's plan for addressing the City's fish barrier culverts. Harness "the evolution" that is coming to Port Orchard: • Provide more funding to parks and open space. Invest in downtown and the waterfront: • Create a conceptual design for the next phase of the Bay Street pathway. • Determine the future of the marquee. • Look for funds to finish the Rockwell Pocket Park • Begin planning how to move parking off the waterfront. Engage community members: • Begin plans for additional sub -areas. Balance growth with affordability: • Begin planning for street preservation. • Implementing the Americans with Disabilities Act (ADA) plan as improvements are made. • Look for funding to construct the Bethel corridor. Create predictability in development: • Continue sharing the toolkit to attract businesses and developers to the City. Page 67 of 170 • Establish policies for development connectivity, and check if this is already in the comprehensive plan and development regulations. NON -FINANCIAL LONG-TERM GOALS The Council shall protect and improve the quality of life for City residents by adopting policies that reflect the needs and desires of the majority of citizens living within the City. DEPARTMENT OBJECTIVE • Ensure funding levels that reflect the priorities of City residents. • Monitor policy implementation by examining outcome statistics and financial records. • Improve services to citizens. STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Number of Council Meetings 37 36 36 36 Number of Council Committee Meetings 52 52 52 52 Number of Actions Items Approved 173 158 165 170 Number of Consent Agenda Items Approved 128 102 115 125 200 50 0 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated • Number of Council Meetings Number of Council Committee Meetings Number of Actions Items Approved • Number of Consent Agenda Items Approved PERFORMANCE MEASURES Insure the Mayor and staff are working to complete policies and goals set by the Council. Page 68 of 170 STAFFING LEVELS Staffing Levels 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Council Members 7 7 7 7 ACCOMPLISHMENTS Highlights of the accomplishment during the 2017/2018 biennial budget include; changing the classification of the City to a Code City, annual updates to the Comprehensive Plan, implemented an Unified Development Code, created a Permit Center, established a Mixed -Use Pilot Program and Development Regulations, established a designated Golf Cart Zone, updated the City's Sign Code, started participating in the Local Government Investment Pool, converted the City to the Cash basis BARS manual, finalized the Bond and funding to start construction on the Tremont Widening Project, started construction on Phase 2 of the McCormick Village Park, adopted policies and procedures for the management of the equipment rental and revolving fund for fleet standardization, procurement policies, approved funds to design the Anderson Hill Rod SW — SW Old Clifton Road Roundabout and approve funds for a preliminary design of the Waterfront Park. SIGNIFICANT BUDGET CHANGES No significant budget changes. Page 69 of 170 MISSION STATEMENT The mission of the Clerk is to present a courteous, service -oriented team of professionals who provide quality administrative support to the City's elected officials; accurately record, maintain, and preserve City records; ensure the City's legislative processes are open and public in accordance with Washington's Open Meetings Act; provide a link between constituents and government through the dissemination of information; direct an efficient and comprehensive city-wide records management program; perfoi in all mandated functions under the Revised Codes of Washington and Port Orchard Municipal Code; and conduct ourselves in an ethical, impartial, and professional manner. DEPARTMENT DESCRIPTION The City Clerk is assisted by a Deputy Clerk and Office Assistant II. The City Clerk provides support to the Mayor and City Council. This support includes providing public access to City records, the administration, and the policy -making process. The City Clerk oversees the City's records management program and public records access; risk management services for the City; provides contract administration; process street or alley vacation requests, City Code codification; preservation of the legislative history of the City; serves as the custodian of the City seal and official City documents, and serves as a conduit between the City Council, administration, and the public. The City Clerk coordinates City Council meetings and work study sessions, produces meeting packets, audio-visual record meetings, and provides records of the proceedings; drafts ordinances, resolutions, and contracts; administers programs assigned by the Council such as cabaret licenses, pawnbrokers licenses, peddlers and hawkers licenses, public event applications; and master vendor licenses; and staffs Town Hall meetings, Festival of Chimes and Lights, and the Lodging Tax Advisory Committee. 2019 & 2020 GOALS Goal 1: Deliver excellent customer service The best customer service requires constant improvement, which requires constant assessment based on feedback and active benchmarking. Proper delivery of customer service serves the people by providing accurate information and maximizing access to municipal government in an efficient, timely, professional, and courteous manner. Over the next year, the Department will move toward accomplishing this goal by focusing on the following objectives: • Respond quickly and accurately to customer requests • Provide current, comprehensive, and accurate information to meet customers' needs Page 70 of 170 Goal 2: Provide access to the City's official record and legislative documents in as many different mediums as possible Access to information is a core function of the Office of the City Clerk. To this end, the Department is dedicated to remaining on the cutting edge of information storage and retrieval. Over the next year, the Department will move toward accomplishing this goal by focusing on the following objective: • Maintain and preserve City Council proceedings and related documents (e.g., minutes, action sheets, resolutions/ordinances, contracts/agreements, leases, deed/easements) Goal 3: Administer records management program City-wide A viable records management program ensures that each department can maximize its operational goals by making information more readily available for service delivery. Consolidating responsibility for the City's Records Management Program increases accountability and ensures effective service delivery. Over the next one to two years, the Department will move toward accomplishing this goal by focusing on the following objective: • Understand each departments archiving needs • Provide training on the State's Retention Schedule • Realize efficiencies by coordinating activities and standardizing processes across the City • Provide input on a records management data base program; allowing each department access for maintaining and researching documents Goal 4: Effectively support the goal of operating as `One City' The Office of the City Clerk has a hand in almost every aspect of City business, bridging the legislative and executive sides of government. Over the next year, the Department will move toward accomplishing this goal by focusing on the following objectives: • Maintain easy access to needed points of contact across the City • Communicate effectively across the City • Provide assistance when needed across the City Goal 5: Utilize technology and best business practices in effective service delivery Technology provides the vehicle for enhanced access to information. Over the next one to two years, the Department will move toward accomplishing this goal by focusing on the following obj ectives: •Apply technology effectively to provide increased and improved access to materials on-line •Realize the fullest potential of existing technology and technical resources to provide the most complete service •Apply technology more effectively to increase staff's ability to provide the most efficient service •Ensure that the Department operates with fiscal responsibility •Employ best practices for effective service delivery and applying flexibility to resource allocation NON FINANCIAL LONG-TERM GOALS Continue to streamline processes, maintain consistency of managing electronic and paper records, and develop a Claims management program. Page 71 of 170 DEPARTMENT OBJECTIVE Provide excellent customer service to the public, assist the Mayor in day-to-day operations of the City, perform actions by the Council, and assist other departments when needed. STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Number of inquiries via phone/walk-in 5,244 4,728 4,800 4,900 Percentage of requests completed within 5 days 47 68 75 80 Percentage of minutes approved by Council w/no corrections 92% 100% 100% 100% Percentage of agendas posted on-line 3 days before meeting 100% 100% 100% 100% Number of meeting packets prepared 52 54 55 55 Number of public records requests received 124 200 215 235 Number of public records requests taking more than 10 days to complete 16 35 40 45 Number of staff hours spent on responding to public records requests; excluding police and court 266 350 365 380 Number of paper files created and inventoried 161 200 225 235 Number of electronic documents created and inventoried 4,315 3,746 4,500 4,750 Ordinances/Resolutions/Minute/Contracts processed 235 250 275 285 Number of followers/likes on City's Facebook page 2,629 3,650 3,785 4,000 Number of visits on the City's website 396 425 455 470 PERFORMANCE MEASURES Performance measures are to insure the public are getting records and infoiation on Council's actions and goal in an efficient and timely manner. STAFFING LEVELS Staffing Levels 2017 Actuals 2018 Actuals 2019. Estimated 2020 Estimated City Clerk 1 1 1 1 Deputy Clerk 1 1 1 1 Office Assistant II 1 1 1 1 Page 72 of 170 ACCOMPLISHMENTS • Maintained the Mayor's and Clerks records management database and retention schedule. • Continued the efforts of logging historic files into the records management database. • Maintained a streamlined process to responding and providing high volume of records for public records requests and acquired a public records request software for public use and staff. SIGNIFICANT BUDGET CHANGES No significant changes. Page 73 of 170 Account Number 001.7.511.30.10 001.7.511.30.20 001.7.511.30.30 001.7.511.30.3 001.7.511.30.40 001.7.511.30.42 001.7.511.30.43 001.7.511.30.44 001.7.511.30.46 001.7.511.30.49 Account Title Salaries & Wages Personnel Benefits Supplies - Official Pub. Sry Supplies - Official Pub. Sry Services- Official Pub. Sry Communication Travel Advertising Insurance Miscellaneous 2015-2016 2017-2018 2019-2020 Actual Actual Budget 113,516.76 37,837.13 140.00 1,108.35 1,496.79 118,219.00 61,395.25 444.33 140.00 3,538.38 1,984.92 67.50 2,785.79 134,300 82,500 800 4,800 001.7.511.60.10 Salaries & Wages 160,107.78 168,000.00 168,000 001.7.511.60.20 Personnel Benefits 21,712.99 23,797.68 40,100 001.7.511.60.30 Supplies - Legislative Sry - - 8,300 001.7.511.60.31 Office & Operating Expenses 1,835.15 15,418.56 - 001.7.511.60.40 Services - Legislative Sry - - 86,900 001.7.511.60.41 Professional Services 83,747.99 6,935.76 - 001.7.511.60.42 Communication 327.93 483.40 - 001.7.511.60.43 Travel 1,919.09 1,284.49 - 001.7.511.60.44 Advertising 5,501.20 - - 001.7.511.60.45 Operating Rentals & Leases 5,051.02 2,295.23 - 001.7.511.60.48 Repairs & Maintenance 3,129.35 2,779.50 - 001.7.511.60.49 Miscellaneous 55,572.32 58,885.51 - 001.7.511.60.52 Intergovernmental & Pay - - - 001.7.511.70.40 Services- Lobbying Activities 96,800 001.7.511.70.41 Prof Srv- LobbyingActivities 3,381.92 49,818.29 001.7.513.10.10 Salaries & Wages 92,060.37 110,767.86 115,800 001.7.513.10.20 Personnel Benefits 24,060.58 35,387.86 41,400 001.7.513.10.30 Supplies - Exec Admin - - 1,000 001.7.513.10.31 Office & Operating Supplies 3,296.46 495.74 - 001.7.513.10.40 Services- Exec Admin - - 21,600 001.7.513.10.41 Professional Services - - - 001.7.513.10.42 Communication 852.03 823.67 - 001.7.513.10.43 Travel 1,024.74 2,248.66 - 001.7.513.10.44 Advertising 8.50 - - 001.7.513.10.45 Operating Rentals & Leases 1,443.56 310.43 - 001.7.513.10.48 Repairs & Maintenance 515.30 481.01 - 001.7.513.10.49 Miscellaneous 4,532.09 2,046.07 - 001.7.514.30.10 Salaries & Wages 143,681.58 152,193.17 172,200 001.7.514.30.20 Personnel Benefits 51,531.85 78,705.01 103,500 001.7.514.30.30 Supplies - Record Sry - - 4,950 001.7.514.30.31 Office & Operating Supplies 4,660.84 6,333.29 - 001.7.514.30.40 Services - Record Sry - - 63,060 001.7.514.30.41 Professional Services 5,614.74 2,486.92 - 001.7.514.30.42 Communication 2,507.63 2,249.72 - 001.7.514.30.43 Travel 5,808.30 4,744.72 - 001.7.514.30.44 Advertising 2,276.87 173.69 - Page 74 of 170 Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 001.7.514.30.4 Operating Rentals & Leases 4,418.60 2,702.35 001.7.514.30.46 Insurance 710.00 857.00 001.7.514.30.48 Repairs & Maintenance 3,077.65 2,886.62 001.7.514.30.49 001.7.514.40.50 001.7.514.40.5 Miscellaneous ntergovt Prof Srv-Record Sry Intergovernmental Professional Svs 14,789.81 23,609.26 2,809.07 13,467.58 10,000 001.7.514.89.10 Salaries & Wages 001.7.514.89.20 Personnel Benefits 001.7.514.90.50 001.7.514.90.51 Intergovt Prof Srv-Voter Reg Intergovernmental Professional Svs 36,102.97 50,000 001.7.515.31.40 Prof Sry - Legal - Criminal - - 229,026 001.7.515.31.41 Professional Services 177,282.12 190,146.15 - 001.7.515.32.40 Services - Legal - Civil - - 330,000 001.7.515.32.41 Professional Services 248,715.32 270,308.51 - 001.7.515.32.49 Miscellaneous 18.00 - - 001.7.515.33.40 Services - Legal - Traffic - - 23,900 001.7.515.33.41 Professional Services 19,697.88 21,127.35 - 001.7.515.91.40 Services - Legal Indigent Def - - 299,500 001.7.515.91.41 Professional Services 258,393.42 288,278.05 - 001.7.518.90.40 Services - Other Central Syr 18,300 001.7.518.90.49 Miscellaneous 001.7.553.70.50 Intergovt Prof. Srv-Pollution - 18,697 001.7.553.70.51 Intergovernmental Professional Svs 16,922.00 18,225.00 - 001.7.554.30.50 Integovt'I Prof Svs - Animal Control - 92,232 001.7.554.30.51 Intergovernmental Professional Svs 79,779.00 84,638.00 - 001.7.562.00.50 Intergovt Prof. Srv-Public Hea 27,375 001.7.562.00.51 Intergovernmental Professional Svs 19,493.60 25,859.00 - 001.7.566.00.50 Intergovt Prof Sry - Substance 7,000 001.7.566.00.51 Intergovernmental Professional Svs 6,748.92 8,341.14 - 001.7.573.90.10 Salaries & Wages 25,105.29 32,052.81 50,500 001.7.573.90.20 Personnel Benefits 6,133.74 7,997.70 16,400 001.7.573.90.30 Supplies -Chimes & Lights - 3,800 001.7.573.90.31 Office & Operating Supplies 2,816.28 12,308.37 - 001.7.573.90.32 Fuel Consumed - 300.00 - 001.7.573.90.40 Services -Chimes & Lights - 21,000 001.7.573.90.44 Advertising 8,537.25 15,270.63 - 001.7.573.90.45 Operating Rentals & Leases - 3,332.96 - 001.7.573.90.48 Repairs & Maintenance - - - 001.7.573.90.49 Miscellaneous 5,501.26 4,247.46 - 001.7.573.91.31 supplies 11.91 - 001.7.573.91.49 Miscellaneous 7,662.06 - - 001.7.573.92.10 Salaries Banner 1,068.23 1,910.92 001.7.573.92.20 Wages Banners 582.28 1,074.48 001.7.573.92.31 Supplies Banners - 818.78 Page 75 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 2019-2020 Actual Budget 775.90 1 800 001.7.573.92.40 Services -Rentals -Banners Page 76 of 170 MISSION STATEMENT The Finance Department is committed to promoting and insuring financial integrity and accountability of the City to its citizens, elected officials, administrators, staff, and the media. Safeguarding public assets and providing the financial support needed to deliver quality public services. DEPARTMENT DESCRIPTION The Department is responsible for accounting, accounts payable, billing, budgeting, business licensing, collections, financial reporting, payroll, purchasing, and revenue accounting. The department consists of nine finance professionals. The City Finance Director is responsible for the Information Technologies (IT) Division, which provides technical and operational support to users, and includes procurement, setup and maintenance of all City computer hardware, and software. The City Finance Director provides supervisory support to Human Resource Management (HR) and the Human Resource Coordinator. 2019 - 2020 GOALS • Manage Biennial Budget to include the mid -biennial review • Transition and manage new financial software for the City • Update Financial Policies of the City • Implement and manage the cities Equipment Rental and Revolving Fund (ER&R) • Process Improvements through the use of technology • Create a citywide Information Technology (IT) Policy • Create transparency and simplification in the cities accounting structure NON FINANCIAL LONG-TERM GOALS • Secure unqualified audit opinions • Support training opportunities to staff • Provide cross training opportunities that allow for professional enhancement DEPARTMENT OBJECTIVE Finance • Professional and courteous finance staff that responds promptly to public inquires and requests. • Emphasize accountability, efficiency, innovation, and partnerships. • Prudent investment of cash reserves while adhering to the traditional principles applicable to the investment of public funds. Page 77 of 170 • Process Payroll, Accounts Payable, and Receivables efficiently and accurately. Operate an efficient water, sewer, storm utility billing, and accounting program. • Prepare and monitor financial records for grant funding and prepare grant progress billings. • Maintain the City's capital assets and inventory records. • Provide debt service on bond issues and loans. • Strong internal controls to ensure accuracy and efficiency. • Promptly respond to requests for financial information, reports, and recommendations. • Accurate and transparent financial reporting in a format that is easily understood by the public. • Provide accurate, timely and appropriate financial reporting to City staff, administrative and elected officials, the media, and citizens. • Provide timely, accurate and effective support services to departments including financial planning and financing options to support capital needs. Information Technology • Establish and perform scheduled network system backups. • Maintain all information system hardware and software on the City network, including real time off -site "mirror" server application. • Establish, monitor, and maintain the network health and security for citywide computer operations. • Monitor software applications to ensure that appropriate software licensing requirements are met. • Maintain miscellaneous electronic items, such as the clock tower, chimes, and courtroom video arraignment system. • Maintain and support City telephones and telephone system. • Provide on call support 24/7/365 for all City systems by staff or contract services. Human Resources Provide effective Human Resource Management by developing and implementing policies, programs, and services which contribute to the attainment of employee goals by: • Ensuring a diverse workforce in a safe and discrimination/harassment free environment by maintaining compliance with employment laws, government regulations and employee training. • Continuing to standardize human resources management practices in the areas of hiring, retention, employee development, benefits, and compliance with federal, state, and local regulations. HR will continue to collaborate with Regional TRAIN Consortium for Public Agencies and WSHRM to expand resources and training opportunities for the City. • Continuing to promote wellness programs and employee incentive options, HR will maintain the Well City status as a cost-effective health and productivity management strategy for the City, yielding important benefits to our individual workers and their families. • Offering benefit services to all employees by administering orientation sessions for all new staff and continuing to provide individualized benefits counseling. Also providing appropriate training, resources, and contacts for employee's specific benefits advising needs. • Promoting safety awareness, training, and safe work habits among City employees and responding timely to concerns, questions, or complaints about health and safety issues to minimize damages resulting from accidents and Workman's Compensation time loss claims. HR will support L&I's Stay at Work program as a financial incentive encouraging City Directors to provide their injured workers with light duty or transitional work. Page 78 of 170 • Maximizing technology to streamline HR transactional activities in order to improve and enhance workflow efficiency and improve customer service. STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actuals 2018 Actuals 2019 Estimated 2020 Estimated Estimated Number of Utility Billing Accounts Serviced 4715 4826 4951 5101 Estimated Number of inquiries via walk in/calls 13500 13500 14000 14000 Estimated Number of Business Licenses Processed 579 511 545 545 16000 14000 12000 10000 8000 6000 4000 2000 0 2017 Actuals Department easures 2018 Actuals 2019 Estimated 2020 Estimated Estimated Number of Utility Billing Accounts Serviced Estimated Number of inquiries via wall< in/calls Estimated Number of Business Licenses Processed PERFORMANCE MEASURES • Earn the 2019 and 2020 AWC Well City Award. • Have all City Employees trained in First Aid and CPR in 2019. • Conduct ADA awareness training for Supervisors. Page 79 of 170 STAFFING LEVELS Staffing Levels 2017 Actual 2018 Actual 2019. Estimated 2020 Estimated Treasurer 1 1 1 1 Assistant Treasurer 1 1 1 1 Accounting Assistant III 2 2.5 2.5 2.5 Accounting Assistant II 4 4 4 4 Information Technology 1.5 1 1 1 Human Resource Coordinator 1 1 1 1 Summer Student Intern 1 1 1 1 ACCOMPLISHMENTS • Implementation of the city's first Biennial Budget • Comprehensive upgrade to Information Technology infrastructure, systems, and procedures • Completed the fiscal years 2016 and 2017 State Auditors' Office (SAO) Annual Audits. Worked to address audit deficiencies identify in the Public Works department regarding procurement. Continued to establish and maintain strong internal controls for the City to receive unmodified audit opinions from SAO. • Integration of new IT Specialist position providing computer support • Well City Award. For the past eight years the City earned the Well City Award from the Association of Washington Cities (AWC) Employee Benefit Trust. The award is based on meeting stringent best practice standards in employee health promotion. As a recipient of this award, the City receives a 2% premium discount on their Regence BlueShield or Group Health medical coverage for employee & spouses for 2019 budget year. • Provided support through the research and development of materials and comparison data needed for the medical negotiation process in reaching a successful Collective Bargain Agreements between the City and Teamsters 589 and the City and the Port Orchard Police Guild. • Transitioned the city accounting structure from Generally Accepted Accounting Principles (GAAP) to Cash Basis reporting structure following SAO prescribed guidelines. • Obtained and completed the cities first Washington Finance Officers Association (WFOA) internship grant program. Providing real world experience in governmental finance to college students pursuing finance careers. • Established an Equipment Rental and Revolving Fund (ER&R) for the City and created the policy framework to operate the program. Page 80 of 170 SIGNIFICANT BUDGET CHANGES An expenditure for Tyler Incode software conversion has been included in the budget. The cost will be allocated across various funds using the Cost Allocation Module. The budget includes funding for one-time implementation costs associated with transitioning financial software. The Human resources budget include expenditures for Police Chief recruitment services and a non - represented employee salary survey. Page 81 of 170 Account Number Account Title Current Expense Fund 001 Expenditures Account Number 001.1.514.22.10 001.1.514.22.20 Account Title Salaries & Wages Personnel Benefits 2015-2016 2017-2018 2019-2020 Actual Actual Budget 2015-2016 Budget 2017-2018 Budget 42,169.25 52,866.53 14, 206.50 14,482.18 2019-2020 Combined 001.1.514.23.10 Salaries & Wages 310,307.18 334,395.51 423,400 001.1.514.23.20 Personnel Benefits 140,113.31 140,890.20 209,600 001.1.514.23.30 Supplies - - 10,100 001.1.514.23.31 Office & Operating Supplies 8,707.97 10,477.46 - 001.1.514.23.40 Services - - 124,200 001.1.514.23.41 Professional Services 46,262.84 43,414.88 - 001.1.514.23.42 Communication 5,029.38 6,785.46 - 001.1.514.23.43 Travel 4,268.81 3,543.73 - 001.1.514.23.44 Advertising -Financial Sys - 37.69 001.1.514.23.45 Operating Rentals & Leases 4,302.18 5,305.25 - 001.1.514.23.46 Insurance - - - 001.1.514.23.48 Repairs & Maintenance 3,451.11 8,910.67 - 001.1.514.23.49 Miscellaneous 33,593.16 24,919.56 - 001.1.517.90.10 Salaries - Employee Wellness - - - 001.1.517.90.20 Benefits - Employee Wellness - - - 001.1.517.90.30 Supplies - Employee Wellness - - 1,400 001.1.517.90.31 Office & Operating Supplies 1,615.23 1,770.88 - 001.1.517.90.40 Services- Employee Wellness - - 4,400 001.1.517.90.43 Travel 191.62 74.15 - 001.1.517.90.45 Operating Rentals & Leases - - - 001.1.517.90.49 Miscellaneous 1,243.11 3,029.03 - 001.1.518.10.10 Salaries & Wages 138,883.20 151,335.38 176,100 001.1.518.10.20 Personnel Benefits 28,760.53 33,670.78 95,400 001.1.518.10.30 Supplies - Personnel Sry - - 800 001.1.518.10.31 Office & Operating Supplies 1,087.85 972.18 - 001.1.518.10.40 Services- Personnel Sry - - 95,000 001.1.518.10.41 Professional Services 46,257.20 27,869.92 - 001.1.518.10.42 Communication 723.36 832.00 - 001.1.518.10.43 Travel 1,381.66 1,561.21 - 001.1.518.10.44 Advertising 1,484.00 5,061.77 - 001.1.518.10.45 Operating Rentals & Leases 1,518.22 897.40 - 001.1.518.10.48 Repairs & Maintenance 927.98 680.57 - 001.1.518.10.49 Miscellaneous 3,720.41 4,581.90 - 001.1.518.11.10 Salaries & Wages - - - 001.1.518.11.20 Personnel Benefits - - - 001.1.518.11.31 Supplies - - - 001.1.518.11.41 Professional Services - - - 001.1.518.11.43 Travel - - - 001.1.518.11.49 Miscellaneous - - - Page 82 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.1.518.88.10 Salaries & Wages 130,097.88 133,466.53 157,400 001.1.518.88.20 Personnel Benefits 60,184.60 41,875.33 50,300 001.1.518.88.30 Supplies - IT Svs - - 83,600 001.1.518.88.31 Office & Operating Supplies 52,068.38 88,345.94 - 001.1.518.88.40 Services- Information Technology - - 258,200 001.1.518.88.41 Professional Services 30,942.28 49,716.80 - 001.1.518.88.42 Communication 1,602.24 713.53 - 001.1.518.88.43 Travel 2,784.69 1,641.59 - 001.1518.88.44 Advertising 23.23 - - 001.1.518.88.45 Operating Rentals & Leases 82.49 82.50 - 001.1.518.88.48 Repairs & Maintenance 38,398.18 33,153.61 - 001.1.518.88.49 Miscellaneous 21,774.45 133,450.37 - 001.1.518.88.50 Intergovt'I Prof Srv- IT Svs - - 36,000 001.1.518.88.51 Intergovernmental Professional Svs - 1,565.82 - 001.1.594.14.64 Machinery & Equipment 6,994.10 001.1.594.18.64 Machinery & Equipment 59,586.60 Page 83 of 170 Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 001.6.511.60.52 Intergovernmental & Other Payments 001.6.589.10.00 Refund of deposits 41,352.72 001.6.597.00.00 Operating Transfers (Out) 930, 294.09 1, 011, 000.00 1,000,000 001.9.508.40.00 Est Committed Fund Balance Recreation 110,053.12 159,031.35 - 001.9.508.52.00 Est Assigned Fund Balance Parks 71,615.50 - - 001.9.508.53.00 Est Assigned Fund Balance City Hall 9,649.36 9,649.36 - 001.9.508.54.00 Est Assigned Fund Bal Annex Prop Tax - - - 001.9.508.90.00 Est Unassigned Fund Balance 2,376,884.46 4,377,870.93 294,113 Page 84 of 170 MISSION STATEMENT The mission of Port Orchard Municipal Court is to establish and maintain public trust and confidence in the Court by ensuring independence, accessibility, accountability, and fairness for all citizens. DEPARTMENT DESCRIPTION The Municipal Court as a separate yet equal branch of government is responsible for adjudicating misdemeanor and gross misdemeanor criminal cases for violations occurring within the City limits including criminal traffic cases (such as DUI's), criminal non -traffic cases (such as Assault 4 Domestic Violence), non -criminal traffic infractions (such as speeding) and non -traffic infractions (such as code enforcement violations), and parking tickets. In addition, the Municipal Court is responsible for maintaining all court records involving these cases, to efficiently and effectively administer justice, and to serve the public as well as maintain compliance with the law. The Court is committed to a strong justice system based on public awareness and prevention in order to ensure a safe community for all citizens. 2019 GOALS • Continue to maintain all court records within the parameters required by State law, local laws, and court rules • Continue to efficiently and effectively administer justice • Continue scanning all post -conviction DUI and DV cases for record retention purposes • Continue maintenance of bail schedules, court forms and procedures as legislation dictates • Continue monitoring of interpreter Language Assistance Plan • Prepare Court for electronic filings and retention (paperless court) 2020 GOALS • Convert to digital (paperless) court by converting to electronic Case Management System • Continue to maintain all court records within the parameters required by State law, local laws, and court rules • Continue to efficiently and effectively administer justice • Continue maintenance of bail schedules, court forms and procedures as legislation dictates • Continue monitoring of interpreter Language Assistance Plan NON- FINANCIAL LONG-TERM GOALS • Continue to maintain all court records within the parameters required by State law, local laws, and court rules • Continue to efficiently and effectively administer justice • Continue maintenance of bail schedules, court forms and procedures as legislation dictates • Continue monitoring of interpreter Language Assistance Plan Page 85 of 170 DEPARTMENT OBJECTIVE The Court's objective for 2020 is to convert to an electronic (paperless) court management system. STATISTICS/WORKLOAD MEASURES Department Measures 2017. Actuals 2018. Estimated 2019. Estimated 2020 Estimated Criminal - DUI 42 35 37 40 Criminal - Other Traffic 252 379 299 320 Criminal - Non -Traffic 332 550 588 629 Infractions - Traffic 786 801 857 917 Infractions - Non -Traffic 18 50 53 57 Criminal - Dui N Criminal - Other Traffic Criminal - Non -Traffic Infractions -Traffic Infractions - Non -Traffic 0 2017 Actuals 2018 2019 2020 Estimated Estimated Estimated PERFORMANCE MEASURES Pursuant to the provisions of RCW 2.56 and GR 32, and to ensure that minimum service levels of the administration of justice are in place, the Administrative Office of the Courts (AOC) is directed to conduct performance audits of courts under authority of the Supreme Court, in conformity with criteria and methods developed by the Board for Judicial Administration which have been approved by the Supreme Court. Page 86 of 170 STAFFING LEVELS Staffing Levels 2017. Actuals 2018 Estimated 2019 Estimated 2020 Estimated Judge 0.6 0.8 0.8 0.8 Court Administrator 1 1 1 1 Lead Clerk 1 1 1 1 Court Clerk 2.6 2.6 2.6 2.6 ACCOMPLISHMENTS The Court continues to efficiently and accurately maintain all court records and effectively administer justice. SIGNIFICANT BUDGET CHANGES No significant budget changes. Page 87 of 170 Account Number Account Title 001.2.512.50.10 Salaries & Wages 2015-2016 2017-2018 2019-2020 Actual Actual Budget 675,171.54 743,842.83 818,100 001.2.512.50.20 Personnel Benefits 283, 292.51 270,056.29 389,000 001.2.512.50.30 Supplies - Court 17,200 001.2.512.50.31 Office & Operating Supplies 16,933.87 16,840.70 001.2.512.50.40 001.2.512.50.41 001.2.512.50.42 001.2.512.50.43 001.2.512.50.45 001.2.512.50.48 001.2.512.50.49 Services - Court Professional Services Communication Travel Operating Rentals & Leases Repairs & Maintenance Miscellaneous 43,284.37 29,158.93 8,361.76 8,200.25 6,586.46 5,682.31 7,246.25 5,899.73 5,412.69 4,306.31 26,568.56 22,672.80 110,800 Page 88 of 170 MISSION STATEMENT The mission of the Port Orchard Police Department is to work in partnership with the community to protect life and property and to enhance the quality of life in our city through proactive problem solving, fair and equitable law enforcement, and the effective use of resources. DEPARTMENT DESCRIPTION The Chief of Police is the Director of the Police Department. The Police Department consists of 30 employees and 4 volunteers. The department has one Chief, one Deputy Chief, 3 Sergeants, 2 Detectives, and 16 Police Officers. The department is also supported by an office manager, a full time records/evidence specialist, 2 part-time record/evidence specialists, 2 part-time parking enforcement officers and a part-time court security/crime prevention officer. Our volunteer base is made up of one traffic safety assistant, 2 reserve police officers, and a police Chaplain. The police department is a full service problem oriented community based law enforcement agency offering regular patrol functions, detective functions, major crime investigation, crime scene technicians, traffic investigation, motorcycle patrol, bicycle patrol, marine patrol, liquor and vice, narcotics canine, court security, emergency management, parking enforcement, and a school resource officer program. 2019 GOALS • Maintain and manage a threat assessment group for the South Kitsap School District • Maintain appropriate staffing levels for the demands of the City • Complete 50 community policing projects • Maintain high clearance rates • Implement updated General Orders • Update office workspace and equipment 2020 GOALS • Maintain and manage a threat assessment group for the South Kitsap School District • Maintain appropriate staffing levels for the demands of the City • Complete 50 community policing projects NON -FINANCIAL LONG-TERM GOALS • Continue community based problem oriented policing • Keep crime clearance rates the highest in Kitsap County Page 89 of 170 DEPARTMENT OBJECTIVES • Identify Opportunities • Imagine the Possibilities • Align Partners • Empower Employees • Think, Act and Move as One • Engage the Community • Fulfill the Promise • Map the Future DEPARTMENT VALUES • Every employee and their contribution to the department. • Provide opportunities for individual achievement, personal growth and professional development. • Maintain the highest level of integrity, ethics, and morals. • Commit to the concept of teamwork. • Create positive working relationships through community, problem based policing. • We value the sanctity of life and equitable treatment of all people. • We value working with our citizens to solve community based problems. • We serve with pride within ourselves and the community we serve. STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Calls for service 22,276 22,203 22,500 22,500 PERFORMANCE MEASURES The Port Orchard Police Department reports all crime info, (nation through NIBRS (National Incident Based Reporting System). Each year WASPC publishes these crime statistics for public view. This includes crime types, number of reported offences, and clearance rates. https://www.waspc.org/crime- statistics-reports Many people will look at the crimes/1000 residents as a measure of how safe your city is. This can be deceptive, and you must look deeper into variables that can have a great impact on this number. For example, Port Orchard is located in a large urban growth area that contributes to higher theft reports in the city. Thefts make up the highest category of crimes within the city. Crimes/1000 have decreased in Port Orchard every year since 2012. (132/1000-2012, 105/1000-2017) Page 90 of 170 STAFFING LEVELS Staffing Levels 2017. Actual 2018 Actual 2019 Estimated 2020 Estimated Police Chief 1 1 1 1 Deputy Chief 1 1 1 1 Police Sergeant 3 3 3 3 Office Manager 1 1 1 1 Records/Evidence Specialist -Full 2.75 2.75 3.75 3.75 Public Service Officer Part -Time 0.75 0.75 0.75 0.75 Parking Enforcement Officer 1 1 1 1 Patrolmen 18 18 18 18 TOTALS 28.5 28.5 29.5 29.5 ACCOMPLISHMENTS Our internal disciplinary process provides accountability and transparency. Crime occurrence per 1000 residents has been decreasing. The Police Department has been fiscally responsible, operating within its budget. SIGNIFICANT BUDGET CHANGES. NONE. Page 91 of 170 Account Number 001.3.521.10.10 Account Title Salaries & Wages 2015-2016 2017-2018 2019-2020 Actual Actual Budget 886,735.64 992,077.57 1,149,300 001.3.521.10.20 Personnel Benefits 425,028.12 449,132.24 650,100 001.3.521.10.21 Uniforms 2,438.36 166.62 001.3.521.10.30 Supplies - PD Admin 30,300 001.3.521.10.31 Office & Operating Supplies 21,626.84 24,257.36 001.3.521.10.32 Fuel Consumed 1,921.20 2,525.09 001.3.521.10.40 Services- PD Admin 70,600 001.3.521.10.41 Professional Services 3,080.18 5,863.91 001.3.521.10.42 Communication 26,501.79 32,202.95 001.3.521.10.43 Travel 3,333.43 344.66 001.3.521.10.44 Advertising 42.50 474.58 001.3.521.10.45 Operating Rentals & Leases 13,279.94 8,625.76 001.3.521.10.46 Insurance 45.00 001.3.521.10.48 Repairs & Maintenance 19,539.77 25,745.62 001.3.521.10.49 Miscellaneous 53,148.29 13,449.05 001.3.521.10.50 Intergvmntl Prof Sry - PDAdmin 345,341 001.3.521.10.51 Intergovernmental Professional Sys 269,091.84 317,436.00 001.3.521.10.98 Interfund Repairs & Maintenance VVP 117 001.3.521.21.10 Salaries & Wages 358,646.87 372,824.04 480,200 001.3.521.21.20 Personnel Benefits 83,566.96 84,933.60 116,300 001.3.521.21.21 Uniforms 1,336.04 886.55 - 001.3.521.21.30 Supplies - Investigation - - 23,000 001.3.521.21.31 Office & Operating Supplies 10,322.31 4,149.28 - 001.3.521.21.32 Fuel Consumed 4,407.73 3,611.33 - 001.3.521.21.40 Services- Investigation - - 16,000 001.3.521.21.41 Professional Services - - - 001.3.521.21.42 Communication 572.98 234.73 - 001.3.521.21.43 Travel 79.25 36.20 - 001.3.521.21.47 Public Utility Service - - - 001.3.521.21.48 Repairs & Maintenance 2,648.37 3,266.53 - 001.3.521.21.49 Miscellaneous 7,064.48 15,214.81 - 001.3.521.21.95 Interfund Operating Rentals - - - 001.3.521.21.98 Interfund Repairs & Maintenance - - - 001.3.521.22.10 001.3.521.22.20 001.3.521.22.21 001.3.521.22.30 001.3.521.22.31 001.3.521.22.32 001.3.521.22.40 Salaries & Wages Personnel Benefits Uniforms Supplies - Patrol Office & Operating Supplies Fuel Consumed Services -Patrol 001.3.521.22.42 Communication Patrol 001.3.521.22.43 Travel 001.3.521.22.45 Operating Rentals & Leases 001.3.521.22.48 Repairs & Maintenance 001.3.521.22.49 001.3.521.22.98 Miscellaneous Interfund Repairs & Maintenance IA 2,378,407.10 801,400.38 22,348.44 2,568,887.02 925,061.04 25,654.06 22,846.30 54,631.16 64,070.97 88,292.39 37.77 295.50 468.00 15,725.74 23,718.73 5,599.12 5,657.55 pv 2,839,400 1,186,000 23,500 1,400 001.3.521.23.10 Salaries & Wages 11,276.50 23,069.65 36,300 001.3.521.23.20 Personnel Benefits 3,129.81 6,934.60 11,200 Page 92 of 170 2015-2016 2017-2018 2019-2020 Account Number Account Title Actual Actual Budget 001.3.521.23.30 Supplies - Marine Patrol 2,800 001.3.521.23.3 Office & Operating Supplies 1,159.68 5,269.28 001.3.521.23.32 Fuel Consumed 3,659.22 6,736.49 001.3.521.23.40 Services- Marine Patro 11,300 001.3.521.23.43 Travel 732.26 670.26 001.3.521.23.44 Advertising 318.29 001.3.521.23.4 Operating Rentals & Leases 1,864.80 1,906.74 001.3.521.23.47 Public Utility Services 72.12 68.27 001.3.521.23.48 Repairs & Maintenance 6,583.15 36,059.63 001.3.521.23.49 Miscellaneous 12,797.65 11,231.58 001.3.521.23.98 Interfund Repairs & Maintenance 001.3.521.25.10 Salaries & Wages 175,317.86 177,890.42 199,800 001.3.521.25.20 Personnel Benefits 79,454.79 81,899.52 103,400 001.3.521.25.21 Uniforms 1,071.93 168.15 - 001.3.521.25.30 Supplies - Gambling - - 1,500 001.3.521.25.31 Office & Operating Supplies 3,911.13 315.12 - 001.3.521.25.32 Fuel Consumed 6,855.93 4,095.30 - 001.3.521.25.40 Services- Gambling - - 600 001.3.521.25.48 Repairs & Maintenance 966.22 3,374.04 - 001.3.521.25.49 Miscellaneous 195.66 399.46 - 001.3.521.25.98 Interfund Repairs & Maintenance - - - 001.3.521.30.10 Salaries & Wages 374,008.01 243,410.82 281,400 001.3.521.30.20 Personnel Benefits 118,928.24 84,670.23 137,700 001.3.521.30.21 Uniforms 1,288.02 544.04 - 001.3.521.30.30 Supplies - Crime Preven. - - 1,200 001.3.521.30.31 Office & Operating Supplies 3,668.28 621.06 - 001.3.521.30.32 Fuel Consumed 8,127.71 5,516.56 - 001.3.521.30.40 Services- Crime Preven. - - 4,000 001.3.521.30.48 Repairs & Maintenance 799.87 1,924.97 - 001.3.521.30.49 Miscellaneous 3,603.90 2,823.17 - 001.3.521.30.98 Interfund Repairs & Maintenance - - - 001.3.521.40.10 Salaries & Wages 98.01 - - 001.3.521.40.20 Personnel Benefits 22.34 - - 001.3.521.40.30 Supplies - - 22,200 001.3.521.40.31 Office & Operating Supplies 18,988.70 9,079.53 - 001.3.521.40.40 Services - Training - - 48,500 001.3.521.40.41 Professional Services 973.12 815.53 - 001.3.521.40.43 Travel 11,664.61 4,734.38 - 001.3.521.40.45 Operating Rentals & Leases 650.00 - - 001.3.521.40.47 Public Utility Service 6,150.00 6,720.00 - 001.3.521.40.48 Repairs & Maintenance - - - 001.3.521.40.49 Miscellaneous 20,087.38 28,158.73 - 001.3.521.40.98 Interfund Repairs & Maintenace - - - 001.3.521.50.10 Salaries & Wages - - - 001.3.521.50.20 Personnel Benefits - - - 001.3.521.50.30 Supplies - PD Facilities - - 4,000 001.3.521.50.31 Supplies 52.30 1,147.05 - 001.3.521.50.40 Services - PD Facilities - - 26,700 Page 93 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.3.521.50.45 Operating Rentals & Leases 2,400.00 16,418.70 - 001.3.521.50.47 Public Utility Svs - - - 001.3.521.50.48 Repairs & Maintenance 1,573.50 2,092.17 - 001.3.521.50.49 Miscellaneous 944.10 - - 001.3.521.50.95 Interfund Operating Rentals 15,188.36 1,902.00 - 001.3.521.70.10 Salaries & Wages 446,848.67 469,215.74 468,600 001.3.521.70.20 Personnel Benefits 182,620.70 198,467.16 244,100 001.3.521.70.21 Uniforms 1,957.49 2,067.17 - 001.3.521.70.30 Supplies - Traffic - - 7,000 001.3.521.70.31 Office & Operating Supplies 16,597.41 19,847.77 - 001.3.521.70.32 Fuel Consumed 10,008.24 14,418.12 - 001.3.521.70.40 Services - Traffic - - 12,700 001.3.521.70.41 Professional Services - - - 001.3.521.70.42 Communication 96.79 21.49 - 001.3.521.70.43 Travel 264.00 446.00 - 001.3.521.70.45 Operating Rentals & Leases 14.34 0.09 - 001.3.521.70.48 Repairs & Maintenance 15,337.36 13,384.63 - 001.3.521.70.49 Miscellaneous 7,499.86 3,833.90 - 001.3.521.70.50 Intergovt Prof Sry - Traffic - - 5,000 001.3.521.70.51 Intergovernmental Professional Svs 5,000.00 5,000.00 - 001.3.521.70.98 Interfund Repairs & Maintenance - - - 1 1, 001.3.523.20.10 Salaries & Wages 30.58 001.3.523.20.20 Personnel Benefits 6.64 001.3.523.20.30 Supplies - Monitor Prisoners 500 001.3.523.20.31 Office & Operating Supplies 149.53 575.98 001.3.523.20.32 Fuel Consumed 4,037.42 5,902.07 001.3.523.20.40 Services - Monitor Prisoners 500 001.3.523.20.41 001.3.523.20.45 001.3.523.20.48 001.3.523.20.49 001.3.523.20.50 001.3.523.20.51 001.3.523.20.98 Professional Services Rentals & Leases Repairs & Maintenance 560.89 Miscellaneous Intergovt Prof Sry - Monitor P Intergovernmental Professional Svs 87,178.08 Interfund Repairs & Maintenance 686.03 95,246.40 NN 101,000 001.3.523.60.30 001.3.523.60.31 001.3.523.60.40 001.3.523.60.41 001.3.523.60.43 Supplies - Care/Custody Prison Office & Operating Supplies Services- Care/Custody Prison Professional Services Travel 4,314.69 5,263.22 48,817.07 25,331.46 540.20 814.77 7,100 26,300 001.3.523.60.49 Misc 270.10 001.3.523.60.50 001.3.523.60.51 Intergovt Prof Sry - Care/Cust Intergovernmental Professional Svs 1,444,156.51 1,179,694.34 1,400,000 001.3.525.10.50 001.3.525.10.51 Intrgvt Prf Sry - Disaster Rsp Intergovernmental Professional Svs 36,217.00 40,618.00 43,050 001.3.525.60.10 Salaries & Wages 001.3.525.60.20 Personnel Benefits Page 94 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.3.525.60.30 Supplies - Disaster Prepare - 1,600 001.3.525.60.31 Office & Operating Supplies - 106.79 - 001.3.525.60.40 Services- Disaster Prep - 2,000 001.3.525.60.42 Communication 840.21 960.24 - 001.3.525.60.43 Travel - - - 001.3.525.60.48 Repairs & Maintenance - - - 001.3.525.60.49 Miscellaneous - 4.34 - 001.3.597.01.03 001.3.597.02.03 Transfer-500 O&M Transfer-500 Replacement 300,200 747,704 Page 95 of 170 MISSION STATEMENT Provide and administer planning, building, permitting, and code enforcement services that emphasize efficient and effective customer service and professional expertise while supporting the goals of the community, the Mayor, and the City Council. DEPARTMENT DESCRIPTION The Department of Community Development is responsible for the City's planning, building, permitting, and code enforcement functions. Department staff is responsible for long range planning, which includes tasks such as reviewing and processing amendments to the City's comprehensive plan, updating the city's plans, ensuring consistency between the City's technical infrastructure plans and its land use plans, capital budgeting, staffing for the City Council's Land Use and Economic Development & Tourism committees, and updates to the City's development and environmental regulations. Long range planning tasks also include public outreach, such as staffing public hearings at the Planning Commission, creating and administering surveys to gather public input, and other innovative methods of facilitating communication between the City, its elected officials, and the public. The Department is also responsible for short range planning activities which include tasks such as building permit application review, business license application review, sign permit review, meeting with prospective developers, conducting environmental review, and ensuring that site development permits issued through the Public Works department also comply with the City's land use regulations and critical area protections. The Department also coordinates with other local, state, and federal agencies on plan development and project review. This includes attending and actively participating in regional planning meetings, providing notice of planning activities and development projects to affected agencies such as WSDOT, South Kitsap Fire and Rescue, Kitsap Public Health, Kitsap Transit, the Department of Ecology, the Department of Fish and Wildlife, FEMA, and/or the Department of Natural Resources, and reporting to state and federal agencies as required by law. 2019-2020 GOALS • Shoreline Master Program Update. The City is required to complete an update to its Shoreline Master Program by June 30, 2020. • Transportation Impact Fee Update. The City is required to update its transportation impact fee calculation every 3 years to consider projects that have been completed and changes to the comprehensive plan. The Department will coordinate with Public Works on this Q1 2019 project. • Hire and manage a consultant to develop a sub area plan for the Bethel Sedgwick sub area. • Work with the Public Works department to complete an Old Clifton Road corridor plan and 60% design. This work will likely begin in mid-2019 with completion scheduled for late 2020. Page 96 of 170 • Hire and manage a consultant for an update to the City's parks plan, to ensure that the City is eligible to apply for grant funding during the next application round at the state Recreation Conservation Office (RCO), and to update the City's parks impact fee. • Dangerous/Abandoned Buildings. Continue to enforce land use codes concerning dangerous and abandoned buildings and seek abatement if required (1-2 houses annually). • Expand the SmartGOV public permit application portal. NON -FINANCIAL LONG-TERM GOALS • Professional policy guidance. Provide professional policy guidance to the Mayor, City Council, Council Committees, Planning Commission, Design Review Board and other City departments on all matters related to land use, the built environment, building, code enforcement, and long-range planning within the City and its unincorporated urban growth area (UGA). • Community planning activities. Provide direction for community planning efforts, including the development of neighborhood and sub -area plans, economic and community development, future capital facility needs and facilitation of community participation in City planning efforts, including periodic updates to the City's comprehensive plan, thus insuring compliance with the State of Washington Growth Management Act (GMA) goals and policies. • Public Participation. Provide a variety of opportunities for public participation in the planning process. • Permit Center. Administer the City's Permit Center, including the review and processing of development under the City's Development Regulations, Title 20 of the Port Orchard Municipal Code (POMC); shoreline management permits under the State Shoreline Management Act (RCW 90.58) and city Shoreline Master Program; subdivisions, short plats and boundary line adjustments; environmental policy per RCW 43C.21; design review pursuant to POMC Title 20; and review and update City land use development codes and maps, as appropriate. • Port Orchard Design Review Board. Provide staff support and professional guidance to the City's Design Review Board, pertaining to the City's optional design review process. • Port Orchard Planning Commission. Provide staff support and professional guidance to the City Planning Commission. • Hearing Examiner. Provide administrative services for the office of the Hearing Examiner. Prepare staff reports, public notices, distributions, and professional representation for public hearings. • Urban Growth Area Project Review. Review applications and environmental assessment reports on projects within unincorporated Kitsap County lying within the City's urban growth area, to provide comment on the impacts and to recommend mitigation measures to the Kitsap County Department of Community Development. • Annexation Guidance. Provide guidance to landowners or interest groups who desire to annex unincorporated areas into the City of Port Orchard, consistent with state law and the city's annexation policy. Process annexation petitions and reports with Kitsap County, the Kitsap Regional Coordinating Council, and the Kitsap Boundary Review Board. • Code Enforcement. Provide enforcement of the City's land -use development, environmental and nuisance codes in a fair, equitable and timely manner. Enforcement coordinates with other departments and agencies in resolving complaints and provides a positive client -service attitude to enhance the City's enforcement of land -use and nuisance codes. Page 97 of 170 • Inter -Governmental Relations. Act as liaison between City, county, regional, state, tribal and federal governmental organizations and agencies, representing the interests of the City of Port Orchard and its citizens. This includes continued involvement in inter jurisdictional coordination under the Growth Management Act. • Grant Development. Develop grant applications with county, regional, state, and federal agencies for City projects related to parks, planning, building, engineering, public works, capital facilities and economic development. • Economic Development. Facilitate and produce products that assist the City in the pursuit of the adopted goals and funding for the economic development projects identified by the Mayor and City Council. • Staff Participation in the KRCC Planning Directors Meeting. Attend and participate in monthly meetings of the Planning Directors to develop policies and recommendations for the KCRC. • Development Review. Review applications as submitted within the required timelines. • Staff Participation at the Puget Sound Regional Council include membership on the Regional Staff Committee and expected work on the update to Vision 2040 (to be called Vision 2050). • Ongoing participation in stakeholder groups such as the Kitsap Home Builders, Chamber of Commerce, etc. DEPARTMENT OBJECTIVE Annual Comprehensive Plan update. Annually consider amendments to the Port Orchard Comprehensive Plan to include possible revisions to the land use map and/or comprehensive plan text, based upon City -initiated amendments and/or privately initiated amendments. STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Actual 2019. Estimated 2020 Estimated YTD Number of Building Permits Issued 451 410* 450 450 Number of Code Enforcement Actions Initiated 92 62* 95 95 Number of Land Use Permits Processed 90 88* 85 85 Number of Public Works Permits Processed 170 175* 170 170 Number of Comprehensive Plan Amendments Processed 6 4 6 6 Business Licenses Reviewed 767 675* 800 800 Event, Cabaret, and Marijuana Licenses Approved/Reviewed 43 38* 38 38 Pre -Application Meetings 24 9 10 10 Population 13,990 14,160 14,560 14,860 City Area (Square Miles) 9.35 9.35 9.35 9.35 Page 98 of 170 PERFORMANCE MEASURES Permitting activity has increased slightly since 2015. While the department sees signs of a weakening housing market, there are a large number of vacant lots under development at this time with approximately 1,000 lots that are expected to receive final plat by the end of 2020. Building permit activity could continue to increase in 2019-2020. In addition, the possibility of a new courthouse, school district projects, and several multifamily and mixed -use projects will continue to fully utilize existing staff resources. Staffing levels are proposed to be maintained at current levels in 2019-2020. However, should the city see applications for multiple major development projects, additional support may be sought at a later date. STAFFING LEVELS Staffing Levels 2017. Actual 2018. Actual 2019. Projected 2020 Projected City Development Director 1 1 1 1 Administrative Assistant Planning 0.7 0 0 0 Office Manager/Permit Coordinator 1 1 1 1 Associate Planner 2 2 2 2 Long -Range Associate Planner 1 1 1 1 Code Enforcement 1 1 1 1 Building Inspector 1 1 1 1 Building/Planning Office Assistant 1 0 0 0 Permit Clerk 0 2.7 2.7 2.7 Total FTE 8.7 9.7 9.7 9.7 ACCOMPLISHMENTS The implementation of the 2016 Comprehensive Plan was the Department's biggest accomplishment of the 2017-18 biennium. The City has continued its efforts to update the City's development regulations including the adoption of the City's new unified development code, architectural design standards, and a total overhaul of the City's zoning regulations. Other accomplishments include completion of the McCormick Village Park (December 2018), closing on the sale of the Rockwell Park Property, the sale of the 640 Bay Street Property, and the recording of 7 final plats containing 302 residential lots during the biennium. Numerous ordinances were brought forward for City Council approval during the biennium including: • The 2017 Unified Development Code • A revision to the Shoreline Master Program • The creation of a McCormick Woods zoning district Page 99 of 170 • A zoning map update • Architectural design standards • A new sign code • An ordinance amending the View Protection Overlay District • A housekeeping ordinance to update Title 20 • An ordinance dealing with self -storage uses • Ordinances amending the Comprehensive Plan in 2017 and 2018. SIGNIFICANT BUDGET CHANGES In 2019-20, the City will continue to implement the 2016 comprehensive plan and the updated development regulations adopted in furtherance of this plan. The City will remain focused on current planning with a few new long-range planning projects including a parks plan, an updated traffic impact fee study, a shoreline master program update, and some subarea planning activities. In addition, the Department will be engaged in regional planning efforts including the Vision 2050 update through PSRC and with updates to the Countywide Planning Policies. Finally, as the City continues to uses its new codes, some fine tuning will ultimately be required through a series of housekeeping amendments. None of the anticipated 2019-2020 projects amount to a significant budget change. Page 100 of 170 Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 001.4.517.91.30 Supplies -Commute Trip Red. - - 200 001.4.517.91.31 Office & Operating Supplies 50.00 - - 001.4.517.91.40 Services -Commute Trip Red. - - 3,800 001.4.517.91.43 Travel - 4.00 - 001.4.517.91.49 Miscellaneous aa 761.85 2,176.59 - 001.4.519.20.49 001.4.524.20.10 Salaries & Wages 283,387.80 351,182.13 407,900 001.4.524.20.20 Personnel Benefits 126,552.41 174,190.23 219,300 001.4.524.20.30 Supplies - Build Insp. - - 9,200 001.4.524.20.31 Office & Operating Supplies 8,409.28 4,051.59 - 001.4.524.20.32 Fuel Consumed 1,919.09 2,237.85 - 001.4.524.20.40 Services- Build Insp. - - 93,850 001.4.524.20.41 Professional Services 27,854.90 55,976.25 - 001.4.524.20.42 Communication 2,834.79 4,304.01 - 001.4.524.20.43 Travel 2,253.79 3,854.11 - 001.4.524.20.45 Operating Rentals & Leases 1,302.49 3,172.51 - 001.4.524.20.46 Insurance 38.25 - - 001.4.524.20.48 Repairs & Maintenace 784.25 1,164.92 - 001.4.524.20.49 Miscellaneous 12,475.23 13,100.14 - 001.4.524.20.50 Intergovt Prof Sry - Build Ins - - 108,300 001.4.524.20.51 Intergovernmental Professional Svs - 101,500.00 - 001.4.524.20.98 Interfund Repairs & Maintenance - - - 001.4.558.60.10 001.4.558.60.20 001.4.558.60.30 001.4.558.60.31 001.4.558.60.32 001.4.558.60.40 001.4.558.60.41 Salaries & Wages Personnel Benefits Supplies - Planning Office & Operating Supplies Fuel Consumed Services- Planning Professional Services 796,338.90 301,711.23 1,008,526.62 396,951.58 14,669.27 19,485.15 720.51 1,046.00 71,778.40 77,495.35 1,134, 300 498,200 11,900 186,200 001.4.558.60.42 Communication 6,397.04 7,191.13 001.4.558.60.43 Travel 5,263.31 5,928.15 001.4.558.60.44 Advertising 2,184.56 2,618.49 001.4.558.60.45 Operating Rentals & Leases 5,945.34 11,564.87 001.4.558.60.46 Insurance 6.75 001.4.558.60.48 Repairs & Maintenance 1,715.64 1,686.67 001.4.558.60.49 Miscellaneous 24,728.51 67,527.17 001.4.558.60.98 Interfund Repairs & Maintenance 001.4.559.30.10 Salaries & Wages 1,216.94 3,244.40 4,100 001.4.559.30.20 Personnel Benefits 725.17 1,890.93 2,100 001.4.559.30.30 Supplies - Property Development - - 600 001.4.559.30.31 Office & Operating Supplies - - - 001.4.559.30.40 Services - Property Development - - 116,400 001.4.559.30.41 Professional Services - 10,923.28 - Page 101 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.4.559.30.44 Advertising - - - 001.4.559.30.45 Operating Rentals & Leases - - - 001.4.559.30.49 Miscellaneous 205.00 36,129.64 - 001.4.597.01.04 001.4.597.02.04 Transfer-500 O&M Transfer-500 Replacement 9,100 8,667 Page 102 of 170 PUBLIC WORKS DEPARTMENT MISSION STATEMENT The Public Works Department for the City of Port Orchard strives to provide safe and reliable utilities by exceeding expectations and setting excellence as the standard. These standards are met through efficient and effective customer service responses, prudent leadership and by fostering a dedicated staff focused on sustainable infrastructure. These tenets guide Public Works in providing reliable service to a growing and robust community. DEPARTMENT DESCRIPTION The City of Port Orchard Public Works Department is the proud caretaker of the City's infrastructure. Public Works currently operates and maintains two water systems with a daily water supply capacity of 4.77 million gallons and manages 28.73 miles of sanitary sewer system. Public Works is responsible for more than 59.5 lane miles of roads with 1,024 traffic signs and 16 traffic control devices. For stormwater, the department owns and operates 26.77 miles of culverts/stoiiii water pipe, 17.59 miles of ditch/swales and 3,212 municipal stoliii catch basins. The department is also responsible for 71.76 acres of parks and 31 structures and buildings within the city. DIVISIONAL OVERVIEW The success of the City of Port Orchard Public Works Department is a direct result of deep partnerships among its divisions and the diverse talent and qualifications of its highly motivated staff. The Public Works Department is comprised of Engineering, Public Works Utilities, and Administration. ADMINISTRATION MISSION STATEMENT To plan, oversee and improve each Department's administrative activities and to ensure that expectations are met or exceeded in the most efficient, effective, responsive and responsible manner. Page 103 of 170 ENGINEERING MISSION STATEMENT To provide engineering expertise, architectural design and construction management services for the City, its departments and other governmental agencies in the most efficient, effective, responsive and responsible manner. PUBLIC WORKS UTILITIES MISSION STATEMENTS Roads & Park Maintenance Mission Statement: To provide and maintain all City roads and parks in a safe and accessible condition in the most efficient, effective, responsive and responsible manner. Facilities Management Mission Statement: To provide and maintain a safe, accessible and functional environment for employees, tenants and visitors of all City facilities and grounds in the most efficient, effective, responsive and responsible manner. Utilities Management Mission Statement: To provide City consumers with safe and reliable water, and wastewater treatment services at the lowest reasonable rates in the most efficient, effective, responsive and responsible manner. Shop Mechanic Mission Statement: To provide and maintain safe, reliable and appropriate vehicles, heavy equipment and fleet services for all City Departments in the most efficient, effective, responsive and responsible manner. Stormwater Management Mission Statement: To regulate and manage use of the City's Municipal Separate Storm Sewer System as required by the City's NPDES peililit while conscientiously managing and protecting surface and receiving waters for public health and enjoyment. 2019 GOALS • Commence Well #13 Project Drilling and Construction • Complete Annual Water Main Replacement Program • Complete Annual Fire Hydrant and Valve Inspection and Maintenance Program • Improve Annual Cross Connection Program • Clean and Inspection all City Reservoirs • Water Rights Management Plan Completion • Annual Sidewalk and ADA Upgrade Program • Complete Design and Construction Upgrade for McCormick #1 & #2 Sewer Lift Stations • Complete Marina Sewer Lift Station Design Page 104 of 170 • Complete Sinclair Inlet Storm Drainage Outfall #1 (in conjunction with MPS) • Complete McCormick Step System Conversions • Install stand-alone Emergency Generator at Eagle Crest Sewer Lift Station • Annual Lund & Pedestrian Bridge Repairs & Inspections • Pavement Management System (PMS) Implementation • Sidney & Pottery Paving Projects Designed in-house in 2019 • Complete Construction Phase for the Tremont Street Widening Project • Storm Utility LID Code Implementation • Continue the Bay Street Pedestrian Pathway ROW Acquisitions • Complete Construction of Rockwell Park • Complete Ad Ready Design of POB Waterfront Park 2020 GOALS • Well #13 Project Construction Completion • Commence Well #12 Construction • Complete Annual Water Main Replacement Program • Complete Annual Fire Hydrant Inspection and Maintenance Program • Improve Annual Cross Connection Program • Installation of City Water PRV's • Water Rights Management Plan Completion • Complete City -Wide Leak Detection • Complete Marina Sewer Lift Station Design and Construction • Continue utilizing Pavement Management System (PMS) • Annual Sidewalk and ADA Upgrade Program • Complete Bay Street Pedestrian Pathway ROW Acquisitions • Commence Final Ad Ready Design of Bay Street Pedestrian Pathway • Utility Design in Conjunction with WSDOT Roundabout at SR 166/Bethel/Bay Page 105 of 170 NON -FINANCIAL LONG-TERM GOALS • Cross -train Public Works Crew across diverse disciplines • Improve Public Works Crew ability to keep construction work in-house • Increase Public Works talent pool • Streamline Public Works workflow through improved staffing organization • Provide positive and meaningful direction for Public Works staff • Continue to improve response time to public service requests • Coordinate with the public on challenges for local developers DEPARTMENT OBJECTIVE • Maintain & improve reliable services • Maintain & improve reliable utilities • Increase efficiency of Public Works responsiveness to its citizens Page 106 of 170 STATISTICS/WORKLOAD MEASURES Department Measures 2017 Actual 2018 Estimated 2019 Estimated 2020 Estimated Number of Public Works Contracts Issued 33 30 39 40 Number of Public Works Purchase Orders 43 30 40 40 Number of Public Works Complaints Received 510 400 410 420 Number of Facilities Request Received 0 100 105 110 City Area 9.35 9.35 9.35 9.35 Locates 859 800 810 820 850 800 750 700 650 600 550 500 450 400 350 300 250 200 150 100 50 0 Statistics/Workload Measures Number of Number of Number of Number of Public Works Public Works Public Works Facilities Contracts Issued Purchase Orders Complaints Request Received Received City Area 2017 Actual m 2018 Estimated a 2019 Estimated *12020 Estimated PERFORMANCE MEASURES Locates With a growing population, the Public Works Department has seen increased volume in customer requests/complaints resulting in additional front desk and call out activity. Due to a significant increase in development within Port Orchard, the demand for various public works services and information requests has risen significantly. Page 107 of 170 STAFFING LEVELS Staffing Levels 2017 Actuals 2018 Estimated 2019. Estimated 2020 Estimated PW Director/City Engineer 1 1 1 1 Assistant City Engineer 1 1 1 1 Civil Engineer I 0 0.20 1 1 Storm Program Assistant 0 0 0 0 GIS Specialist/Inspector 1 1 1 1 PW Office Manager 1 1 1 1 PW Office Assistants I 0.6 0.6 0 0 PW Office Assistant 11 0 0 1 1 Public Works Foreman 1 1 1 1 PW Utility Manager 1 1 1 1 City Mechanic 1 1 1 1 City Electrician 1 1 1 1 PW Crew 8 8 8 8 WS Coordinator (PW Crew) 1 1 1 1 Storm Program Manager 1 1 1 1 Storm Employee (PW Crew) 1 1 1 1 Parks Maintenance 2 2 2.6 2.6 Parks (Summer Help) 4 4 4 4 TOTALS 25.6 25.80 27.6 27.6 ACCOMPLISHMENTS Public Works has invested time and energy into designing significant improvements for both its water and sewer systems. These efforts will allow for construction to begin on projects that will certainly improve those utilities not just for the near future, but generations to come. A list of 2017 & 2018 accomplishments include: • Annapolis Box Culvert 60% Design Completed • Bay Street East Ditching • Bay Street East/Tracy Avenue Sink Hole/Storm Outfall Repair • Well #13 Project Restarted • Bay Street Pedestrian Pathway ROW Acquisitions Restarted • Well #9 Water Quality Retrofit Construction Completed • McCormick Park Phase 2 Construction Completed • Bay Street Pedestrian Pathway Segment #3 Construction Completed • Rockwell Park Design Completion • Tremont Street Widening Construction Ongoing • McCormick Sewer Lift Station #1 and #2 Retrofit Designs Completed • Well #12 Water Campus Agreement Completed SIGNIFICANT BUDGET CHANGES No significant budget changes. Page 108 of 170 Account Number 001.5.518.20.10 001.5.518.20.20 001.5.518.20.30 001.5.518.20.31 001.5.518.20.32 001.5.518.20.40 001.5.518.20.41 001.5.518.20.42 001.5.518.20.43 001.5.518.20.44 001.5.518.20.45 001.5.518.20.46 001.5.518.20.48 001.5.518.20.49 001.5.518.20.98 Account Title Salaries & Wages 2015-2016 2017-2018 2019-2020 Actual Actual Budget 142,727.47 Personnel Benefits 55,468.37 Supplies - Engineering Office & Operating Supplies 2,102.60 Fuel Consumed 416.86 Services- Engineering Professional Services 6,704.00 Communication Travel Advertising Operating Rentals & Leases Insurance Repairs & Maintenance Miscellaneous Interfund Repairs & Maintenance 658.87 59.31 2,076.99 18.00 1,167.94 13,668.81 92,515.36 36,069.12 5,745.86 268.73 10,863.79 3,420.13 501.34 472.51 336.40 27,101.39 144,300 83,600 3,000 57,600 001.5.518.30.10 Salaries & Wages 32,450.51 52,839.38 58,000 001.5.518.30.20 Personnel Benefits 15,956.41 32,235.60 36,900 001.5.518.30.30 Supplies - Facilities - - 9,400 001.5.518.30.31 Office & Operating Supplies 29,985.39 41,009.74 - 001.5.518.30.32 Fuel Consumed 233.43 42.69 - 001.5.518.30.40 Services- Facilities - - 789,600 001.5.518.30.41 Professional Services 100,467.51 115,690.11 - 001.5.518.30.42 Communication 4,850.22 5,315.17 - 001.5.518.30.43 Travel 24.10 340.43 - 001.5.518.30.44 Advertising 45.00 441.33 - 001.5.518.30.45 Operating Rentals & Leases 42,339.21 38,422.72 - 001.5.518.30.46 Insurance 262,237.53 298,451.18 - 001.5.518.30.47 Public Utility Service 93,538.98 102,941.37 - 001.5.518.30.48 Repairs & Maintenance 93,319.88 111,727.67 - 001.5.518.30.49 Miscellaneous 3,388.60 (5,597.02) - 001.5.518.30.98 Interfund Repairs & Maintenace - - - 001.5.572.50.10 001.5.572.50.20 001.5.572.50.30 Salaries & Wages Personnel Benefits Supplies - Library 2,105.74 1,461.84 2,190.97 1,345.18 3,300 2,200 001.5.572.50.31 Office & Operating Supplies 874.98 2,894.97 001.5.572.50.40 001.5.572.50.41 Services- Library Professional Svs-Library 3,800.00 42,000 001.5.572.50.47 Public Utility Services 29,564.89 32,979.98 001.5.572.50.48 Repairs & Maintenance 7,227.39 36,307.88 001.5.572.50.49 Miscellaneous 001.5.573.90.10 Salaries & Wages 15,715.20 - 001.5.573.90.20 Personnel Benefits 3,699.42 - 001.5.573.91.49 Miscellaneous 6,249.74 12,713.71 001.5.576.80.10 Salaries & Wages 247,201.87 281,816.28 431,800 001.5.576.80.20 Personnel Benefits 93,491.29 102,476.68 215,000 001.5.576.80.30 Supplies - Parks - - 46,000 001.5.576.80.31 Office & Operating Supplies 39,483.78 53,424.54 - 001.5.576.80.32 Fuel Consumed 7,526.46 16,189.10 - Page 109 of 170 Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 001.5.576.80.40 Services - Parks - - 224,500 001.5.576.80.41 Professional Services 27,896.65 32,571.38 - 001.5.576.80.42 Communication 2,007.60 3,704.80 - 001.5.576.80.44 Advertising - 484.50 001.5.576.80.43 Travel 56.07 191.47 - 001.5.576.80.45 Operating Rentals & Leases 928.86 8,043.32 - 001.5.576.80.47 Public Utilty Services 60,819.88 66,212.11 - 001.5.576.80.48 Repairs & Maintenance 40,845.55 39,440.26 - 001.5.576.80.49 Miscellaneous 1,634.05 3,229.87 - 001.5.594.18.10 001.5.594.18.20 001.5.594.18.62 001.5.594.18.64 001.5.594.76.10 001.5.594.76.20 001.5.594.76.62 001.5.594.76.63 001.5.594.76.64 001.5.597.01.05 001.5.597.02.05 Salaries & Wages Personnel Benefits Buildings & Structures Machinery & Equipment Salaries & Wages Personnel Benefits Buildings & Structures Other Improvements Machinery & Equipment Transfer-500 O&M Transfer-500 Replacement 1,328.53 300.68 16,163.08 19,077.23 6,041.03 18,376.89 47,300 194,622 Page 110 of 170 City Street Account Number Account Title Expenditures 2015-2016 2017-2018 2019-2020 Actual Actual Budget 002.5.542.30.10 Salaries & Wages 165,998.5 130,846.09 155,400.00 002.5.542.30.20 Personnel Benefits 82,432.89 59,398.72 83,900.00 002.5.542.30.30 002.5.542.30.40 Supplies Other Services & Charges 31,295.46 1,263,744.63 30,453.05 261,642.50 24,000.00 130,100.00 002.5.542.50.10 Salaries & Wages 3,093.76 3,352.73 3,600.00 002.5.542.50.20 Personnel Benefits 1,559.89 1,207.40 2,300.00 002.5.542.50.30 002.5.542.50.40 Supplies Other Services & Charges 100.67 55,502.18 2,125.36 63,439.71 2,000.00 259,500.00 002.5.542.61.10 002.5.542.61.20 002.5.542.61.30 002.5.542.61.40 Salaries & Wages Personnel Benefits Supplies Other Services & Charges 13,689.11 6,921.32 2,152.61 952.56 8,544.68 6,302.61 8,459.86 22,660.39 15,700.00 11,600.00 6,000.00 70,000.00 002.5.542.62.10 Salaries & Wages 3,344.40 298.15 1,600.00 002.5.542.62.20 Personnel Benefits 1,265.58 123.89 800.00 002.5.542.62.30 002.5.542.62.40 Supplies Other Services & Charges 1,652.24 4,538.94 260.52 3,096.98 002.5.542.63.10 Salaries & Wages 1,078.01 1,271.18 1,200.00 002.5.542.63.20 Personnel Benefits 449.45 545.73 900.00 002.5.542.63.30 002.5.542.63.40 Supplies Other Services & Charges 4,177.37 286, 209.06 1,357.39 262,592.05 400.00 278,000.00 002.5.542.64.10 002.5.542.64.20 002.5.542.64.30 002.5.542.64.40 Salaries & Wages Personnel Benefits Supplies Other Services & Charges 50,526.98 251,230.11 65,096.21 219,915.15 91,900.00 37,000.00 29,000.00 200,000.00 002.5.542.65.10 002.5.542.65.20 002.5.542.65.30 002.5.542.65.40 Salaries & Wages Personnel Benefits Supplies Other Services & Charges 9,314.92 3,180.05 4,460.30 2,541.53 6,312.50 3,007.16 6,514.01 2,790.57 10,400.00 5,000.00 1,000.00 1,500.00 002.5.542.66.10 Salaries & Wages 17,158.66 22,944.99 36,700.00 002.5.542.66.20 Personnel Benefits 6,632.24 11,510.91 16,800.00 002.5.542.66.30 Supplies 6,838.58 22,799.25 22,000.00 002.5.542.66.40 Other Services & Charges 002.5.542.70.10 Salaries & Wages 78,952.39 232,334.19 235,100.00 002.5.542.70.20 Personnel Benefits 38,169.36 126,818.50 159,000.00 002.5.542.70.30 Supplies 15,959.13 65,547.26 8,000.00 002.5.542.70.40 Other Services & Charges 13,502.18 54,542.81 2,000.00 Page 111 of 170 247.80 Account Number Account Title 2015-2016 2017-2018 Actual Actual 2019-2020 Budget 002.5.542.80.10 Salaries & Wages 21,756.90 24,607.38 22,300.00 002.5.542.80.20 Personnel Benefits 7,774.04 5,899.90 12, 600.00 002.5.542.80.30 002.5.542.80.40 Supplies Other Services & Charges 583.64 1,236.25 1,109.14 484.50 200.00 2,000.00 002.5.542.90.10 Salaries & Wages 34,237.58 43,182.55 002.5.542.90.20 002.5.542.90.30 002.5.542.90.40 Personnel Benefits Supplies Other Services & Charges 15,907.78 19,039.23 2,833.81 19,422.95 19,900.86 10,734.20 8,000.00 2,000.00 002.5.543.10.10 002.5.543.10.20 002.5.543.10.30 002.5.543.10.40 Salaries & Wages Personnel Benefits Supplies Other Services & Charges 115,698.86 49, 213.46 49.06 2,103.24 158,023.02 66,959.72 286.90 260.09 172,800.00 79,400.00 2,000.00 002.5.543.30.10 Salaries & Wages 227,910.92 431,493.41 652,300.00 002.5.543.30.20 002.5.543.30.30 002.5.543.30.40 Personnel Benefits Supplies Other Services & Charges 90, 310.36 9,810.28 382,475.74 177,906.23 9,500.25 318,379.34 354,400.00 1,000.00 58,790.00 002.5.543.31.10 Salaries & Wages 2,837.19 4,320.98 4,100.00 002.5.543.31.20 002.5.543.31.40 Personnel Benefits Other Services & Charges 1,493.91 2,113.54 3,133.64 8,946.39 1,900.00 8,000.00 002.5.543.32.10 002.5.543.32.20 Salaries TBD Benefits TBD 002.5.543.50.10 Salaries & Wages 18,852.16 2,299.6 13,800.00 002.5.543.50.20 Personnel Benefits 8,271.77 1,022.61 7,200.00 002.5.543.50.30 002.5.543.50.40 Supplies Other Services & Charges 7,354.37 19,394.88 8,902.03 24,872.27 6,000.00 28,400.00 002.5.594.42.64 002.5.597.00.00 Operating Transfers Out 131,000.00 369,271.13 002.5.597.01.06 002.5.597.02.06 Transfer-500 O&M Transfer-500 Replacement 79,800.00 574,072.00 002.9.508.30.00 Est Restricted Fund Balance St. Vac Abut 7,500.00 002.9.508.51.00 Street Project Reserve 002.9.508.57.00 Est Assigned Fund Balance City Street 766,641.28 661,755.26 28,046.00 Page 112 of 170 Special Revenue Funds Criminal Justice Fund No. 103 Special Investigative Unit Fund No. 104 Community Events Fund No. 107 Paths & Trails Fund No. 108 Real Estate Excise Tax Fund No. 109 Impact Fee Fund No. 111 —This page left blank intentionally— Criminal Justice Fund 103 REVENUE Account Number Account Title Actuals 2U15-201G 2O17'2U1O Actua|s Budget 2U19-2020 103.0.31371.00 Criminal Justice Funding ]0l965.5G 461,928.13 380,000.00 03.0.336.06.20 Criminal Justice High Crim 204,351.22 75,970.33 60,000.00 03.0.336.06.2 Criminal Justice Crime Pop 34,378.35 31,459.45 20,000.00 03.0.336.06.26 103.0.336.06.51 103<0.36111.00 103.0.361.19.00 103.0.369.90.00 Criminal Justice Special Progra DUI Cities 26/44171 4,098.60 Investment Interest 2,861.15 Miscellaneous 9.43 M 28,83401 4'l§lIB 12,807.39 25,000.00 4,300.00 103.0.388.00.00 Prior Period Adjustment 37,156.00 103.0.398.00.00 103.8.308.30.00 Insurance Recoveries Est. Beginning Restricted Fund Balance Criminal Justice Fund 103 Expenditures Account Number Account Title Actuals 2U15-201G 2017'2018 2019-2020 Actuals Budget 03.3.521.1030 Supplies Admin 24,000.00 03.3.52110.3 Supplies 32,176.89 3�872.78 03.3.521.10.40 Repairs & Maintenance - Admin 5,000.00 03.3.521.10.48 Repairs & Maintenance 03.3.521.10.49 isceUaneous 5,230.47 1033.521.10.50 1033.521.10.51 1033.521J2.10 1033.52122.20 ntergovt Prof. Sr Admin ntergovernmenta| Professiona|Svs Salaries & Wages Personnel Benefits 41,505.42 49,487.77 97,500.00 103.3.562l0/0 Services SAIVES 0.00 1,000.00 103.3.562.00.41 5A|VES 0.00 0.00 0.00 103.3.566.00.51 Intergovernmental Services Drug Court 0.00 0.00 0.00 103.3.59421.64 Capital Equipment 134'224.14 289'43522 0.00 103.9.508.30.00 Est. Restricted Fund Balance Ending 469,91536 513,801]2 13,787.00 Page 113vr1r0 Special Investigative Unit Fund 104 REVENUE Account Number Account Title 104.0.356.50.00 Investigative Fund Assessment 104.0.361.11.00 104.0.361.19.00 Investment Interest nvestment Service Fees 2015-2016 Actual 8,770.97 667.67 (35.30) 2017-2018 2019-2020 Actual Budget 12,021.68 1 8,000.00 1,977.06 104.0.369.30.00 Confiscated & Forfeited Property 5,114.50 1,040.04 104.0.369.90.00 Other Misc Rev 437.00 104.0.395.10.00 Proceeds from Sales of Fixed Assets 1,945.00 436.67 104.8.308.30.00 Est Restricted Fund Balance Beginning Special Investigative Unit Fund 104 Expenditures Account Number Account Title 50,574.72 63,547.90 62,000.00 2015-2016 2017-2018 2019-2020 Actual Actual Budget 04.3.521.21.2 Uniforms 04.3.521.21.30 Supplies- SIU Investigation ,550.00 04.3.521.21.3 SIU Investigation Supplies 800.24 04.3.521.21.32 Fuel Consumed 04.3.521.21.40 Services - SIU 2,730.00 04.3.521.21.4 Professional Services 531.8 25.04 04.3.521.21.42 Communications 359.97 365.17 04.3.521.21.43 Trave 04.3.521.21.48 Repairs & Maintenance 600.00 600.00 104.3.521.21.49 104.3.521.21.98 iscellaneous nterfund Repairs & Maintenance 104.9.508.30.00 tEst Restricted Fund Ba p 634.64 284.49 65,720.00 Page 114 of 170 Community Events Fund 107 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 107.0.313.31.00 Motel/Transient Tax 00% g;,,`Ostk ti$ wa,tolvt; 4,,,Awntoa\' oz4, 204,352.28 * .4141*14141MMIVn 00 *AO vo#0, ,44A 227,121.93 34DAkbkv.kn%A.A,,,%%,, skk\, 200,000.00 WA,p4A,4, 107.0.361.11.00 107.0.361.19.00 107.0.388.00.00 107.8.308.30.00 Investment Interest nvestment Service Fees Prior Period Adjustment Est Restricted Fund Balance Beginning Community Events Fund 107 Expenditures Account Number Account Title 557.57 (7.32) 50,991.08 2015-2016 Actual 3,959.72 15,474.00 84,574.18 2017-2018 Actual 52,500.00 2019-2020 Budget 107.1.557.30.10 Salaries - Finance - - 3,400.00 107.1.557.30.20 Benefits - Finance - - 1,600.00 107.6.557.30.40 Services - Admin 200,000.00 107.6.557.30.41 Professional Services 171,319.43 208,239.57 - 107.7.557.30.10 Salaries - Admin - - 13,400.00 107.7.557.30.20 Benefits - Admin - - 6,000.00 Page 115 of 170 Paths & Trails Fund 108 REVENUE Account Number Account Title 108.0.336.00.87 Motor Vehicle Fuel Tax - Paths & Trails 2015-2016 2017-2018 2019-2020 Actual Actual Budget 2,388.52 2,593.99 2,000.00 08.0.361 11.00 Investment Interest 29.83 209.69 08.0.361.19.00 nvestmen Service Fees (0.40) 108.0.388.00.00 108.0.397.00.00 Prior Period Adjustments Operating Transfers In re 108.8.308.30.00 tEst Restricted Fund Ba Paths & Trails Fund 108 Expenditures Account Number Account Title 108.9.508.30.00 tEst Restricted Fund Ba VIIM, wow 2015-2016 Actual ance Ending 5,663.36 200.00 2017-2018 Actual 2019-2020 Budget 9,780.00 Page 116 of 170 Real Estate Excise Tax Fund 109 REVENUE AccoumNumber AccontTitle Actual 2U15-201G 2O17'2U1O Actual 2019-2O20 Budget �34.00 Real Estate Excise Tax REET 700,000.00 109.031835.00 Real Estate Excise Tax REET 2 700,000.00 10].0.]61.11.00 Investment Interest 10'112.59 12,099l2 109.0361.11.01 Investment Interest REET1 4,064.80 39,02523 109.0.361.11.02 Investment Interest REET2 5'925l5 109.0361.19.00 Investment Service Fees (0.91) 109.0.361.19.01 Investment Service Fees REETl (506D9) 109.0361.19.02 Investment Service Fees REET2 (734.17) 09.0.388.00.00 Prior Period Adjustment 109/0.397l0.01 109.0.397.00.02 Operating Transfers In REET 1 Operating Transfers In REET 2 385,239.55 97(i532.]l 109.8.30830.01 109.8.308.30.02 Estimated Beginning Restricted Fund 8a|R Estimated Beginning Restricted Fund 8a| R2 Real Estate Excise Tax Fund109 Expenditures AccountNumber AccontTitle 385,239.55 976532.] 201S-2016 Actual 718,071.16 378,413.66 95G'7OO75 2O17'201O Actual 702,609.13 398,000.00 1,698'331.00 2019-2020 Budget 159,932.00 109/9.50830.01 109.9.508.30.02 Estimated Ending Restricted Fund 8a|R1 Estimated Ending Restricted Fund Ba|R2 '~~-~~WW~--MM--~--~-N-----~-` 378,413.66 95G'7OO75 PEM 585,7B/46 1,217'673.27 _ 1,474,781.00 938,068.00 923,550.00 Page 11rvr1r0 Impact Fee Fund 111 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 111.0.361.11.00 Transp Impact Interest Earning 9,179.17 41,997.86 - 111.0.361.11.01 Parks Impact Fee Interest 844.95 - - 111.0.361.11.02 McWoods Park Interest 1,147.36 - - 111.0.361.11.03 Int - Bayside SEPA Trans Mitigation 343.06 - - 111.0.361.19.00 Trans Impoact Investment Service Fee (228.27) - - 111.0.361.19.01 Parks Impact Investment Service Fee (95.07) - - 111.0.361.19.02 McWoods Park Investment Service Fee (142.96) - - 111.0.361.19.03 Bayside SEPA Trans Investment Svc Fee (42.17) - - 111.0.367.12.00 MW Transportation Impact Fee 159,134.82 230,791.35 - 111.0.367.12.01 Parks Impact Fee 67,672.20 170,378.00 80,000 111.0.367.12.03 Bayside SEPA Trans Mitigation Fees 183,207.00 123,903.00 - 111.0.367.12.04 Transportation Impact Fee 164,890.69 411,454.88 200,000 .8.308.30.00 .8.308.31.00 Est Restricted Fund Bal - MW Transportation Est Restricted Fund Bal - Parks Beg. 501,836.27 165,812.28 463,858.31 235,584.09 536,942 17,920 .8.308.32.00 .8.308.33.00 Restricted Fund Balance - McWds Park Beg Est Restricted Fund Bal - Bayside Beg. 174,792.90 39,109.96 184,360.10 313,285 8.308.34.00 Est Restricted Fund Bal - Trans Beg. Impact Fee Fund 111 Expenditures Account Number Account Title .5.544.70.49 Impact Fees to Developer 165,431.14 501,491 2015-2016 2017-2018 Actual Actual 83,585.52 57,818.47 2019-2020 Budget 111.5.597.00.00 Transfers Out - MW Transportation 118,923.11 115,392.00 172,000 111.5.597.01.00 Transfers Out - Parks - 368,700.00 - 111.5.597.02.00 Transfers Out - McCormick Woods 137,500.00 39,739.56 - 111.5.597.03.00 Trans Out-Bayside SEPA Trans M - 313,285 111.5.597.04.00 Transfers Out -Transportation 47,000.00 .9.508.30.00 Est Restricted Fund Bat - MW Transportation 463,858.3 536,159.74 364,942 .9.508.31.00 Est Restricted Fund Bat - Parks Ending 235,584.09 44,127.29 97,920 9.508.32.00 Est Restricted Fund Bat - McWds Park End 39.109.96 .9.508.33.00 .9.508.34.00 Est Restricted Fund Bat - Bayside End Est Restricted Fund Bat -Trans. End 184,360.10 165,431.14 316,109.21 541,822.42 701,491 Page 118 of 170 Enterprise Funds Operations Water Sewer Utility Fund No. 401-Fund Closeout Water Utility Operations Fund No. 411 Storm Drainage Utility Fund No. 421 Sewer Utility Fund No. 431 —This page left blank intentionally— WATER SEWER UTILITY The City of Port Orchard provides water and sewer services for its residents. Customers are billed bi- monthly as prescribed by Ordinance. Water fees are calculated based on how many units, meter size, and consumption. Sewer is billed at a flat rate based on the type of service, number of units and fixture fees. Water usage typically increases during the warm summer months returning to lower levels for the other months of the year. Port Orchard is very proactive with water conservation, offering programs, literature, and education to help our citizens conserve water. The water sewer utility's operation and maintenance are funded, by and large, from payments for water and sewer services. Water and sewer mains, wells, pump stations, and other infrastructure require constant maintenance and repair. The City strives to provide the best services and rates to its customers. Water charges are calculated based on water used per Equivalent Residential Unit (ERU). An ERU for residential connections is one single-family dwelling unit. R For nonresidential connections an ERU is 180 gallons per day. Commercial ERU's have remained steady over a ten-year period, however residential ERU's are steadily increasing due to the demand from new homes constructed within our City limits. Due to aging infrastructure and the continuing increase in demand to Expenditures the utility, in the spring of 2014 the City hired a consultant to prepare an analysis of the water sewer infrastructure needs and how to fund them. After many meetings, Intergovernmental Services & ILA's venues Beginning Unreserved Fund Balance 10,116,384 9,647,376 2,000,000 Charges Goods & Services 0,929,910 14,050,652 Fines and Penalties 162,154 179,822 Miscellaneous Revenue 329,218 675,120 Proprietary Gains (Losses) and Other Income (Expenses) (93,602) (7,632) Other Financing Sources (72,506) 818,185 Personnel Costs (Salary & Benefits) 2,582,495 2,812,918 Supplies & Fuel 916,283 1,511,523 Services & Charges 2,659,196 2,445, 851 3,782,321 4,242,729 fact gathering and public hearings, Capital Outlay 2,565,036 the City enacted ordinance #020- Debt Service 15 effective January 1, 2016, which provides a rate increase to offset the rising costs of operating the utility. The ordinance increases water and sewer rates over a five-year period. The multiyear approach was adopted to lessen the 120,400 Other Expenditures 34,242 23,806 Interfund Transfers* 735,756 2,000,000 Unreserved Ending Fund Balance 9,647,376 3,394,148 M 2019 the Water/Sew er Utility Funds w ere realigned to track w ater (411,412,413,414) and Sew er (431,432,433,434) separately, impact of the increase on the Utility's customers. New rates offer incentives to conserve water. The less water used the lower the rate. Sewer is charged at a flat rate for single family residences. Commercial properties are charged dependent upon the type of business and number of fixtures. The City must maintain fund balance with enough revenue levels for operations and maintenance throughout the year. Unexpected emergencies which might arise, and future infrastructure upgrades are also factored into the fund balance equation. The City's goal is to provide safe, reliable, and efficient water and sewer service for its residents. Page 119 of 170 Beginning in 2019 The Water Sewer Utility Funds were restructured to include Operations (Water-411, Sewer-431), Stabilization/Reserves (Water-412, Sewer-432), Capital Projects (Water-413, Sewer-433) and Debt Service (Water 414, Sewer-434). The City has also created a new citywide Equipment Replacement & Revolving Fund (500). All vehicles and heavy equipment are now maintained by the ER&R fund. Annually Water Operations Fund No. 411 and Sewer Operations Fund No. 431 provide funding to the ER&R Fund to maintain existing vehicles/equipment used by Water operations and Sewer Operations. These funds also provide for future vehicle/equipment replacement. As our infrastructure ages and demand for service continues to grow, we must look ahead and plan for replacing and improving the system in order to keep it at peak performance. To that effect the City has Stabilization/reserve accounts where funds are saved for necessary infrastructure improvements. The Capital Project funds for both water and sewer receive their revenue primarily from Beginning Unreserved Fund Balance Charges Goods & Services developer fees. Revenue Miscellaneous Revenue 6,297,800 129,500 Other Financin Sources 1,000,000 Tot Expenditures Personnel Costs (Salary & Benefits) Supplies Services & Charges Intergovernmental Services & ILA's Capital Outlay* 1,869 050 1,030 775 961.540 542, 000 Debt Service ** nterfund Transfers* Unreserved Endin. Fund Balance Total xPenditur In 2019 the Water/Se Revenues 1,945,751 1,078,184 Funds w ere realigned to track w ater (411,412,413,414) and Sew er (431,432,433,434) separately. Beginning Unreserved Fund Balance Charges Goods & Services Fines and Penalties 10,408.600 Miscellaneous Revenue 17,000 Proprietary Gains (Losses) and Other Income (Expenses) Other Financin. Sources 1,000,000 Total 1425,1600 Expenditures Personnel Costs (Salary & Benefits) Supplies & Fuel 1.694.60 158, 875 Services & Charges Intergovernmental Services & ILA's Capital Outlay 1,614 900 3,879,738 Debt Service Other Expenditures Interfund Transfers Unreserved Endin Fund Balance 3,695,303 382,183 Total Expentotor In 2019 the Water/Sewer Utility Funds w ere realigned to track w ater (411,412,413,414) and Sew er (431,432,433,434) separately. Page 120 of 170 STORM DRAINAGE UTILITY The City established the Storm Drainage Utility in 2009 (Ordinance #036-08). Federal Clean Water Act regulations required the City of Port Orchard to have a Storm Management Program to protect the public health, safety, and welfare by minimizing uncontrolled surface erosion, and water pollution while enhancing water quality and environmental habitat. The Storm Drainage Utility receives most of its funding from user fees. Fees collected from customers fund operations and maintenance of storm drains, ponds, culverts, and street sweeping. The City of Port Orchard bills its residents for storm drainage fees on the same bi-monthly schedule as the water and sewer billings. Single-family residences, duplexes, and triplexes are billed the minimum storm drainage rate for each residential unit. Commercial and other developed properties are calculated based on the amount of impervious ground cover on each property. The number of accounts continues to grow as new areas are developed or annexed into the City. Rates charged for storm drainage services need to be adequate to provide for system operations and maintenance, administration, engineering and legal expenses, and to fund infrastructure replacement, reserve accounts and system improvement projects. The City conducted a Storm Water GAP Analysis study which reviewed the Utilities infrastructure and operations. From the GAP Analysis results, the City developed a plan for operations and maintenance which includes necessary infrastructure and equipment repair or replacement. To provide adequate funding for the proper operation and maintenance of the utility, a rate increase was approved in 2015. This allowed the utility to hire additional staff to meet the NDPES requirements and to begin building a capital improvement program to repair or replace the aging infrastructure. Revenues Beginning Unreserved Fund Balance 580,804 769,071 1,074,822 Licenses & Permits 5,200 18,300 10,000 Intergovernmental 758,139 25,000 Charges Goods & Services 3,079,178 3,355,175 3,194,000 Fines and Penalties 635 60, 047 0,000 Miscellaneous Revenues 3,884 57,800 Proprietary Gains (Losses) and Other Income (Expenses) 1,413 Prior Period Adjustments (337,259) Other Financing Sources 250,000 1,363 4 Expenditures Personnel Costs (Salary & Benefits) 1,172,550 1,189,013 1,592,301 Supplies & Fuel 99,409 121,036 57,400 Services & Charges 374,647 381,163 382,550 Intergovernmental Services & ILA's 110,457 224"811 232,100 Capital Outlay* 1,794,863 Debt Services ** 215 216,571 Interfund Transfers Unreserved Ending Fund Balance "" Beginning in 2019 Debt Services moved to Fund No. 424 793,850 315,000 1,143,126 The Storm Drainage Utility's fund balance allows the utility to continue to maintain a positive cash flow for operations. Revenue inflows fluctuate throughout the year and it is important to have enough cash on hand to allow operations and maintenance to continue unhindered. Fund balance also provides for emergency repairs that may be required during the year. Beginning in 2019 The Storm Drainage Utility funds were restructured to include Operations (421), Stabilization/Reserves (422), Capital Projects (423) and Debt Service (424). The City has also created a citywide Equipment Replacement & Revolving Fund (500) All vehicles and heavy equipment are now maintained by this fund. Annually Storm Drainage Operations Fund No. 421 provides funding to the ER&R Fund to maintain existing vehicles/equipment used by Storm Drainage operations and for future vehicle/equipment replacement. Page 121 of 170 Water Sewer Utility Fund 401 REVENUE Account Number Other Word Processing & Printing 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 401.0.343.40.10 Water Sales - 67,461.73 40103.43.40.90 Charges fo9r Services 3,092.70 - 401.0.343.41.90 Unmetered Sales Customers 7,453.37 23,231.37 - 401.0.343.41.99 Other Fees & Charges 208.00 1,462.24 - 401.0.343.42.10 Metered WA Sales - Residential 2,939,042.26 3,752,338.74 - 401.0.343.42.20 Metered WA Sales - Commercial 688,509.76 860,593.55 - 401.0.343.42.30 Sales to Public Municipalities 19,517.89 30,947.88 - 401.0.343.42.40 Metered WA Sales - Irrigation 179,426.00 217,302.78 - 401.0.343.42.50 Metered WA Sales - Churches 12,295.47 15,620.70 - 401.0.343.42.70 Metered WA Sales - Other Public Auth. 174,839.90 251,732.88 - 401.0.343.42.90 Metered WA Sales - Other 3,674.20 17,508.24 - 401.0.343.42.96 Admin Fee - WA 2,817.79 3,568.14 - 401.0.343.42.98 After Hours Turn On/Off 150.00 75.00 - 401.0.343.49.00 401.0.343.49.01 Other Fees and Charges - WA Other Fees 22,750.62 54,646.25 11,305.00 401.0.343.50.10 Sewer Service Charges 161,663.88 401.0.343.51.10 Sewer Services - Residential 5,525,045.71 6,864,932.31 - 401.0.343.51.20 Sewer Services - Commericial 1,004,755.83 1,234,704.56 - 401.0.343.51.30 Sewer Services - Industry (City) 21,901.46 29,557.44 - 401.0.343.51.50 Sewer Services - Church 11,716.75 14,403.21 - 401.0.343.51.70 Sewer Services - Public Auth. 232,699.27 322,577.28 - 401.0.343.51.90 Sewer Charges - Leachate 44,730.00 22,590.00 - 401.0.343.51.96 Admin Fee - SW 3,477.79 4,318.14 - 401.0.343.59.00 Other Fees and Charges - Sewer 401.0.343.59.01 Sewer Inspection Fees 15,441.30 15, 703.17 20,554.00 401.0.345.83.34 Plan Review Fees 24,455.70 401.0.345.83.35 Plan Review Fees -SW 19,821.60 401.0.345.89.34 Water Concurrency 7,650.00 3,300.00 - 401.0.345.89.35 Sewer Concurrency 7,630.00 3,000.00 - 401.0.359.42.80 Late Payment Penalties - WA 27,788.74 36,917.87 Page 122 of 170 Water Sewer Utility Fund 401 Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 401.0.359.42.86 NSF Fee - WA 360.00 380.00 - 401.0.359.42.87 Final Notice Fee - WA 19,550.00 20,500.00 - 401.0.359.42.88 Turn On/Off Fee - WA 9,990.00 9,360.00 - 401.0.359.42.89 Lien Fee - WA 685.64 447.72 - 401.0.359.51.80 Late Payment Penalties - SW 401.0.359.51.86 401.0.359.51.89 NSF Fee - SW ien Fee - SW 01,171.79 390.00 2,217.64 09,738.20 470.00 2,007.72 401.0.361.11.00 Investment Interest 11,228.95 88,578.52 401.0.361.19.00 Investment Service Fee (280.05) 401.0.361.30.00 Gain(lossess) on investments 192,963.77 446,143.16 401.0.362.10.34 Equipment & Vehicle Rental Short Ter 2,950.52 24,351.66 401.0.362.50.00 Space & Facility Leases Long Term ,360.96 112,542.46 401.0.369.10.00 Sale of Junk & Salvage 1,851.16 471.20 - 401.0.369.10.34 Sale of Junk & Salvage - WA 1,983.58 1,992.85 - 401.0.369.10.35 Sale of Junk & Salvage - SW 61.14 251.93 - 401.0.369.40.00 Other Judgements & Settlements 7,008.86 102.35 - 401.0.369.81.00 Cashiers Over/Short 0.31 2.00 - 401.0.369.90.00 Miscellaneous 88.85 684.17 401.0.372.00.00 Insurance Recoveries 7,367.70 401.0.373.00.00 Gains/Losses (93,602.35) (15,000.00) 401.0.388.80.00 Prior Year Corrections (795,246.00) - - 401.0.389.10.00 Refundable Deposits 6,000.00 401.0.391.80.00 Intergovernmental Loan Proceed - 14,341.81 - 401.0.395.10.00 Proceeds from Fixed Assets 8,864.00 11,210.90 - 401.0.397.00.00 Operating Transfers In 699,154.92 792,632.63 - 401.0.398.00.00 Insurance Recoveries 14,721.27 - - 401.8.308.10.00 Reserved Fund Balance - - 401.8.308.80.00 Estimated Unreserved Fund Balance Beg 10,116,384.20 9,647,375.87 2,000,000.00 Water Sewer Utility Fund 401 Expenditures Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 401.5.534.10.10 Salaries & Wages 66,369.29 66,760.52 - 401.5.534.10.20 Personnel Benefits 32,171.39 32,956.39 - 401.5.534.10.30 Supplies 7,685.11 4,784.92 - Page 123 of 170 Water Sewer Utility Fund 401 Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 401.5.534.10.40 Other Services & Charges 15,590.92 44,756.32 - 401.5.534.10.41 Professional Services 262.04 52,449.49 - 401.5.534.10.46 Property insurance - WA 108,285.42 195,108.96 - 401.5.534.10.53 Utility Tax State 201,319.20 280,442.81 - 401.5.534.10.54 Utility Tax City 194,466.09 253,922.93 - 401.5.534.11.10 Salaries & Wages 40,458.02 244,402.13 401 5.534. .20 Personnel Benefits 57,564.85 02,148.2 401 5.534. 46 Liability Insurance 48, 205.94 21,222. 401.5.534.12.10 Salaries & Wages 233,164.04 252,856.33 - 401.5.534.12.20 Personnel Benefits 95,663.13 114,446.16 - 401.5.534.12.30 Supplies 0.85 2,361.91 401.5.534.12.40 Other Services & Charges 1,391.42 2,963.77 - 401.5.534.40.10 Salaries & Wages 4,892.64 16,085.22 - 401.5.534.40.20 Personnel Benefits 1,435.40 7,332.74 - 401.5.534.40.30 Supplies 174.46 88.50 - 401.5.534.40.40 Other Services & Charges 11,152.83 26,154.36 - 401.5.534.50.10 Salaries & Wages 6,677.15 3,019.49 - 401.5.534.50.20 Personnel Benefits 3,931.39 1,593.54 - 401.5.534.50.30 Supplies 7,409.69 13,798.34 - 401.5.534.50.40 Other Services & Charges 8,681.90 17,390.95 - 401.5.534.51.10 Salaries & Wages 16,221.27 16,156.01 - 401.5.534.51.20 Personnel Benefits 6,240.68 6,788.15 - 401.5.534.51.30 Supplies 29,213.80 43,749.61 - 401.5.534.51.40 Other Services & Charges 15,067.85 14,276.89 - 401.5.534.52.10 Salaries & Wages 88,300.63 90,298.40 - 401.5.534.52.20 Personnel Benefits 44,827.63 44,329.91 - 401.5.534.52.30 Supplies 47,122.76 39,855.85 - 401.5.534.52.40 Other Services & Charges 31,710.02 15,934.64 - 401.5.534.53.10 Salaries & Wages 489.77 11,713.07 - 401.5.534.53.20 Personnel Benefits 317.63 5,778.03 - 401.5.534.53.30 Supplies 9,937.79 1,408.95 - 401.5.534.53.40 Other Services & Charges 140.65 285.33 - Page 124 of 170 Water Sewer Utility Fund 401 Account Number Actual Actual 2015'2016 2017-2018 2019-2O20 Budget 401.5.53454.10 Salaries &Wages 125,80650 120602.52 401.5.534.5420 Personnel Benefits 61,97277 61,332.02 401.5.534.54.30 Supplies 56,663.51 17,729I8 401.5.53455.10 Salaries &Wages 32,759.61 37,288.59 401.5.534.5520 Personnel Benefits 16i693.88 27'163.25 401.5.534.55.30 Supplies 31,60516 28,185.45 401.5.534.55.40 Other Services &Charges 16'211.61 21'480.59 401.5.53456.10 Salaries &Wages 152,73055 55,00456 401.5.534.5620 Personnel Benefits 77,460.33 3I41722 401.5.534.56.30 Supplies 44,137.49 41,395.53 401.5.534.56.40 Other Services &Charges 239'688.30 297'886.60 401.5.53457.10 Salaries &Wages 7,693.90 1,613.96 401.5.534.5720 Personnel Benefits 3,036.09 764.49 401.5.534.5730 Supplies 6,13531 7,7I0.87 401.5.537.57.40 Other Services &Charges 33'393.91 21'60826 401.5.53458.10 Salaries &Wages 15,019.26 6,750.61 401.5.534.5820 Personnel Benefits 7,581.90 3'425.87 401.5.534.5830 Supplies 76,555.58 80,037.01 401.5.534.58.40 Other Services &Charges 2'182.44 401.5.53459.10 Salaries &Wages 14,77735 23,078.68 401.5.534.5920 Personnel Benefits 7,359.70 11,54828 401.5.534.59.30 Supplies 29,964.25 27,203.30 401.5.534.59.40 Other Services &Charges 1'011.00 1'363.50 401.5.53472.10 Salaries &Wages 23,248.88 27,012.63 401.5.5347220 Personnel Benefits 20,177.10 24,323.94 401.5.534.72.30 Supplies ~ 401.5.5347I.10 Salaries &Wages 105775/5 102,188.23 401.5.53473.20 Personnel Benefits 50,251.59 52,495.10 401.5.534.7I30 Supplies 1,914.96 3,515.07 401.5.534.77.30 Supplies Page 125 of 170 Water Sewer Utility Fund 401 Account Number 401.5.534.77.40 Other Services & Charges 2015-2016 2017-2018 Actual Actual 800.00 1,000.00 2019-2020 Budget 401.5.534.80.30 Supplies 16,494.56 42,770.43 - 401.5.534.80.32 Fuel Consumed 8,120.27 - - 401.5.534.80.33 WA Purchase for Resale 333,887.55 952,887.50 - 401.5.534.80.40 Other Services & Charges 31,769.25 32,985.49 - 401.5.534.99.20 401.5.535.10.10 Salaries & Wages 58,391.17 68,412.13 - 401.5.535.10.20 Personnel Benefits 27,201.91 34,463.52 - 401.5.535.10.30 Supplies 4,124.15 4,704.86 - 401.5.535.10.40 Other Services & Charges 12,661.42 47,290.06 - 401.5.535.10.41 Professional Services 762.04 10,656.87 - 401.5.535.10.46 Property Insurance 99,981.58 171,515.67 - 401.5.535.10.53 Utility Tax State 80,639.28 112,219.53 - 401.5.535.10.54 Utility Tax City 345,772.15 437,462.14 - 401.5.535.11 10 Salaries & Wages 40,458.02 206.690.43 401 5.535. .20 Personnel Benefits 401 5.535. .46 Liability Insurance 57,566.71 136,047.95 84,695.21 106,563.49 401.5.535.12.10 Salaries & Wages 232,407.59 252,222.26 - 401.5.535.12.20 Personnel Benefits 95,643.02 114,154.37 - 401.5.535.12.30 Supplies 0.85 1,714.44 401.5.535.12.40 Other Services & Charges 1,391.42 2,790.31 - 401.5.535.20.40 401.5.535.40.10 Salaries & Wages 637.22 1,685.72 401.5.535.40.20 Personnel Benefits 300.11 683.05 401.5.535.50.10 Salaries & Wages 6,312.83 2,304.43 - 401.5.535.50.20 Personnel Benefits 3,035.36 1,054.73 - 401.5.535.50.30 Supplies 3,705.96 8,882.29 - 401.5.535.50.40 Other Services & Charges 8,445.81 16,538.04 - 401.5.535.51.10 Salaries & Wages 13,522.18 15,950.99 - 401.5.535.51.20 Personnel Benefits 5,249.74 6,706.92 - 401.5.535.51.30 Supplies 27,661.96 43,332.35 - Page 126 of 170 Water Sewer Utility Fund 401 Account Number 401.5.535.51.40 Other Services & Charges 2015-2016 2017-2018 Actual Actual 13,508.16 14,287.95 2019-2020 Budget 401.5.535.52.50 401.5.535.54.10 Salaries & Wages 87,128.04 56,260.81 - 401.5.535.54.20 Personnel Benefits 42,600.94 28,762.92 - 401.5.535.54.30 Supplies 15,161.60 10,171.23 - 401.5.535.54.40 Other Services & Charges 355,223.05 3,146.21 - 401.5.535.55.10 Salaries & Wages 29,398.54 27,957.79 - 401.5.535.55.20 Personnel Benefits 16,583.40 16,538.87 - 401.5.535.55.30 Supplies 8,565.54 15,219.86 - 401.5.535.55.40 Other Services & Charges 25,787.18 32,073.53 - 401.5.535.56.10 Salaries & Wages 161,184.87 171,564.12 - 401.5.535.56.20 Personnel Benefits 82,065.43 95,384.21 - 401.5.535.56.30 Supplies 130,961.89 103,646.51 - 401.5.535.56.40 Other Services & Charges 968,848.08 861,835.10 - 401.5.535.73.10 Salaries & Wages 61,059.27 60,347.45 - 401.5.535.73.20 Personnel Benefits 22,887.47 28,903.67 - 401.5.535.73.30 Supplies 1,513.50 2,893.22 - 401.5.535.73.40 Other Services & Charges 40,098.14 52,832.30 - 401.5.535.80.30 Supplies 9,444.13 13,456.08 401.5.535.80.32 401.5.535.99.20 Fuel Consumed 8,120.26 401.5.591.34.71 Redemption of Long Term Debt - WA 28,350.00 401.5.591.34.77 Other Notes 63, 700.00 401.5.592.34.83 Interest on Long Term Debt - WA 26,094.69 5,217.04 401.5.592.34.84 Amortization of Debt Prem/Refund (357.56) (178.78) 401.5.592.34.88 Interest on Long Term Debt - DWSRF 13,729.04 Page 127 of 170 Water Sewer Utility Fund 401 Account Number 401.5.592.35.83 Interest on Long Term Debt - SW 2015-2016 Actual 8,862.08 2017-2018 Actual 5,217.03 2019-2020 Budget 401.5.592.35.84 Amoritzation of Debt Prem/Refund (357.56) (178.78) 401.5.594.34.10 Salaries - WA Capital Outlay - 6,298.65 - 401.5.594.34.20 Personnel Benefits - WA Capital Outlay - 3,284.48 - 401.5.594.34.63 Other Improvements - Water - 1,711,511.27 - 401.5.594.34.64 Machinery & Equipment - Water - 4,786.11 - 401.5.594.35.63 Other Improvements - 820,829.28 - 401.5.594.35.64 Machinery & Equipment - Sewer - 27,909.13 - 401.5.597.00.00 Operating Transfers Out 735,755.59 - - 401.05.597.00.01 Transfer out-411 - 1,000,000.00 401.05.597.00.02 Transfers -431 - 1,000,000.00 401.9.508.80.00 Estimated Unreserved Fund Balance End 9,647,375.87 3,394,147.91 -o re c Page 128 of 170 Water Operations Fund 411 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 411-0-343-40-00 Water Sales -Residential - - 4,563,300.00 411-0-343-40-01 Water Sales -Commercial - - 1,418,300.00 411-0-343-40-02 Water Sales -Irrigation - - 254,200.00 411-0-343-41-00 Construction Water Sales - - 17,500.00 411-0-343-42-00 Other Fees & Charges - Connection - - 25,400.00 411-0-343-42-01 Water Inspection Fees - - 13,400.00 411-0-343-81-00 Water/Sewer Unapplied Cash - - - 411-0-345-83-00 Plan Reveiw Fees - - 3,300.00 411-0-345-89-00 Other Planning & Development Services - - 2,400.00 Operating Transfers -In (401 CloseOut) 411-8-308-80-00 Est Unreserved Fund Bal - Beg Water Operations Fund 411 Expenditures Account Number ca 2015-2016 Actual 2017-2018 Actual 17,000.00 12,500.00 1,000,000.00 2019-2020 Budget 411-5-534-10-10 Salaries - Administration 1,233,100.00 411-5-534-10-20 Benefits - Administration 635,950.00 411-5-534-10-30 Supplies-Adminstration 15,875.00 411-5-534-10-40 Other Service & Charges - Administration 591,390.00 411-5-534-10-50 Intergovernmental Services & Payments-Admi - - 542,000.00 411-5-534-20-30 411-5-534-20-40 Supplies - Distribution Services - Distribution Supplies - Source Services - Source Supplies - Storage Services -Storage 127,800.00 81,150.00 883,000.00 252,000.00 4,100.00 37,000.00 411-5-597-00-01 Operating Transfers - Out (412) 390,000.00 411-5-597-00-02 Operating Transfers - Out (413) 1,287,500.00 411-5-597-00-03 Operating Transfers - Out(414) 30,128.00 Page 129 of 170 Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 411-5-597-02-07 411-5-597-01-07 Operating Transfers - Out to 500 (Replcmnt) Operating Transfers - Out to 500 (O&M Pmt) 69,623.00 68,500.00 Page 130 of 170 Storm Drainage Utility Fund 421 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 421-0-343-10-00 Storm Drainage-Residentia ,390,000.00 421-0-343-10-0 Storm Drainage -Commercial ,780,000.00 421-0-343-10-02 Other Fees & Charges 8,000.00 421.0.343.10.10 Storm Sales - Residential ,252,651.45 ,416,297.96 421.0.343.10.20 Storm Sales - Commercia ,715,273.83 ,824,841.10 421.0.343.10.30 Storm Sales - Residential Multiplier 75,297.63 78, 806.00 421.0.343.10.70 Storm Sales - Government 4,789.39 6,121.2 421.0.343.10.80 ate Payment Penalties - Storm 421.0.343.10.86 Admin/NSF Fee - Storm 5,220.48 7,433.72 421.0.343.10.89 'en Fee/Other Stor 421.0.343.10.96 421.0.343.10.99 Admin Fee - Storm Decant Usage Fees 20.00 3,250.00 421.0.345.89.00 421.0.359.00.00 Penalties - - 50,000.00 421.0.359.10.80 Late Payments Penalties - Storm 49,306.05 52,718.79 - 421.0.359.10.86 NSF Fee - Storm 480.00 590.00 - 421.0.359.10.89 Lien Fee - Storm 5,848.72 6,738.56 - 421.0.361.11.00 Investment Interest 3,819.04 48,496.53 421.0.361.11.01 Investment Interest -Bonds 8,618.77 421.0.369.10.00 421.0.369.90.00 421.0.372.00.00 Sale of Junk and Salvage iscellaneous Revenue nsurance Recoveries 478.03 206.73 ,413.16 421.0.374.03. State Direct/Indirect DOE - Project 25,000.00 421.0.374.03.12 State Direct/Indirect DOE - Project 758,138.86 421.0.388.80.00 Prior Period Adjustments (337,259.00) 421.0.389.10.00 Refundable Deposits ,000.00 421.0.398.00.00 nsurance Recoveries 362.88 421.0.397.00.00 421.8.308.80.00 Operating Transfers In Estimated Unreserved Fund Balance Beg. 250,000.00 580,803.56 769,070.72 1,074,822.00 Page 131 of 170 2,415.26 1,932.38 Storm Drainage Utility Fund 421 Expenditures Account Number 2015-2016 Budget 2017-2018 Budget 2019-2020 Budget 421.5.531.00.10 Salaries & Wages 255,817.72 90,970.30 - 421.5.531.00.20 Personnel Benefits 105,165.60 48,788.98 - 421.5.531.00.30 Supplies 17,030.35 27,807.54 - 421.5.531.00.40 Other Services & Charges 225,825.02 87,231.40 - 421.5.531.00.53 Utility Tax State - Storm Drainage 26,812.22 53,329.85 - 421.5.531.00.54 Utility Tax City - Storm Drainage 83,644.83 171,481.45 - 421.5.531.10.10 421.5.531.10.20 Salaries & Wages Personnel Benefits 234,604.23 93,138.77 418,249.02 175,037.78 1,039,725.00 552,576.00 421.5.531.10.30 Supplies 421.5.531.10.40 Other Services & Charges 2,853.87 7,438.77 4,341.54 58,030.84 25,600.00 212,950.00 421.5.531.10.46 Insurance 421.5.531.10.50 Intergovernmental Services & Payments - Admi 1,544.18 3,110.21 232,100.00 421 5.531. .46 Liability Insurance 421-5-531-20-30 Supplies - Operations 421-5-531-20-40 Services - Operations OA 31,800.00 169, 600.00 421.5.531.51.10 Salaries & Wages 6,220.76 12,671.95 - 421.5.531.51.20 Personnel Benefits 2,332.13 5,353.64 - 421.5.531.51.30 Supplies 16,977.95 43,518.72 - 421.5.531.51.40 Other Services & Charges 1,618.83 7,926.69 - 421.5.531.70.10 Salaries & Wages 52,950.79 112,538.76 - 421.5.531.70.20 Personnel Benefits 19,867.37 54,114.36 - 421.5.531.70.30 Supplies 751.58 3,998.70 421.5.531.70.40 Other Services & Charges 11,227.09 38,374.70 - 421.5.542.40.10 Salaries & Wages 201,742.30 48,908.16 421.5.542.40.20 Personnel Benefits 03,657.97 83,422.37 421.5.542.40.30 421.5.542.40.40 Supplies Other Services & Charges 35,722.2 12,747.85 35,429.87 170,392.74 421.5.542.67.10 Salaries & Wages 55,407.64 68,648.27 Page 132 of 170 nterest on LT debt -GO Bonds nterest on LT debt 214.96 63,584.16 26,490.52 421.5.542.67.20 Personnel Benefits 27,061.99 33,641.41 421.5.542.67.30 Supplies 26,073.36 5,939.97 421.5.589.10.00 Refund of Deposits ,000.00 421.5.591.31.7 Redemption of LT debt 25,496.48 421.5.592.31.80 421.5.592.31.83 421.5.594.31.63 Aw MOVIANV 421-5 597-00-00 Operating Transfers - Out 793,850.00 315,000.00 421-5-597-00-02 Operating Transfers - Out Debt Services 424 354,754.00 421-5-597-00-03 Operating Transfers - Out -Stabilization 422 75,200.00 421-5-597-02-08 Operating Transfers - Out-500 (Replacemen 557,472.00 421-5-597-01-08 421.9.508.80.00 Operating Transfers - Out to 500 (O&M) Estimated Unreserved Fund Balance End 459,891.90 1,591,817.04 55,700.00 921,345.00 Page 133 of 170 Sewer Operations Fund 433 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 431-0-343-50-00 Sewer Services - Residential - - 8,415,100.00 431-0-343-50-01 Sewer Services - Commercial - - 1,946,500.00 431-0-343-50-02 Other Fees & Charges - - 12,200.00 431-0-343-50-03 Sewer Inspection Fees - - 15,900.00 431-0-345-83-00 Plan Review Fees - - 17,300.00 431-0-345-89-00 Sewer Concurrency - - 1,600.00 Sewer Operations Fund 433 Expenditures Account Number 431-5-535-10-10 Salaries - Administration 431-5-535-10-20 Benefits - Administration 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 1,116,325.00 578,276.00 431-5-535-10-30 Supplies - Administration 431-5-535-10-40 Services - Administration 8,875.00 450,550.00 431-5-535-20-30 Supplies - Distribution 8,000.00 431-5-535-20-40 Services - Distribution 73,200.00 431-5-535-20-50 Intergovernmental Services & Payments - Distribution 3,228,338.00 431-5-535-30-30 Supplies - Lift Stations 42,000.00 431-5-535-30-40 Services - Lift Stations 1,091,150.00 431-5-597-00-00 Operating Transfers -Out (Transfer to 434) 30,128.00 431-5-597-00-0 Operating Transfers -Out (Transfer to 432) 606, 700.00 431-5-597-00-03 Operating Transfers -Out (Transfer to 433) 2,190,000.00 431-5-597-01-09 431-5-597-02-09 Operating Transfers -Out to 500 (O&M) Operating Transfers -Out to 500 (Replacement Pmt 73,500.00 794,975.00 Page 134 of 170 Debt Service Funds Bond Redemption Fund No. 206 Water Debt Service Fund No. 414 Storm Drainage Debt Service Fund No. 424 Sewer Debt Service Fund No. 434 —This page left blank intentionally— Bond Redemption Fund Fund 206 REVENUE Account Number Account Title 206.0.397.00.00 Operating Transfers In Bond Redemption Fund Fund 206 Expenditures Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 329,777.00 623,794.13 757,383.00 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 206.6.591.18.70 GO Bond Redemption LT Debt -CH 156,950.00 206.6.591.18.71 GO Bonds 281,050.00 302,950.00 0.00 206.6.591.76.70 GO Bond LT Debt (McCormick) 83,400.00 206.6.591.95.70 GO Bond Redemption LT Debt 368,350.00 206.6.592.18.80 Interest on Long Term Debt CH 2,982.00 206.6.592.18.83 Interst on Long Term Debt 48,727.00 28,660.00 0.00 206.6.592.76.80 Interest on LT Debt McCormick 26,899.00 206.6.592.95.80 GO Bond Interest & other 118,802.00 Page 135 of 170 Water Debt Service Fund 414 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 414-0-397-00-00 414-0-397-00-0 Operating Transfers In (4 Operating Transfers In (413) Water Debt Service Fund 414 Expenditures Account Number 2015-2016 Actual 2017-2018 Actual 30,128.00 00,000.00 2019-2020 Budget 414-5-591-34-70 414-5-591-34-72 414-5-591-34-77 414-5-592-34-80 Redemption of LT Debt -WA Redemption of LT Debt-DWSRF Other Notes nterest on LT Debt -WA 29,025.00 100,000.00 03.00 Page 136 of 170 Storm Drainage Debt Service Fund 424 REVENUE Account Number Account Title 2015-2016 Budget 2017-2018 Budget 2019-2020 Budget 424.0.397.00.00 Operating Transfers In 354,754.00 423.8.308.80.00 Beginning Unreserved Fund Balance Storm Drainage Debt Service Fund 424 Expenditures Account Number Account Title 2015-2016 2017-2018 2019-2020 Budget Budget Budget 424-5-591-31-7 Redemption of LT Deb 264,847.00 424-5-592-31-80 nterest on LT Debt -GO Bonds 89,907.00 424-9-508-80-00 Est End Unreserved Fund Bal Page 137 of 170 Sewer Debt Service Fund 434 REVENUE Account Number 434-0-397-00-0 Operating Transfers In-431 Sewer Debt Service Fund 434 Expenditures Account Number 434-5-591-35-70 Debt Principal -City Hall 434-5-591-35-71 Debt Principal -Marina 434-5-592-35-80 Debt Interest -City Hall 2015-2016 Actual 2015-2016 Actual 2017-2018 Actual 2017-2018 Actual 2019-2020 Budget 30,128.00 2019-2020 Budget 29,025.00 Page 138 of 170 Capital Projects Funds Capital Construction Fund No. 302 Street Capital Projects Fund No. 304 Water Capital Fund No. 413 Storm Drainage Capital Fund No. 423 Sewer Capital Fund No. 433 —This page left blank intentionally— Summary of 2019-2020 Biennial Capital Budget At their 2018 retreat, Port Orchard City Council determined guiding principles for developing the capital budget: • To maximize the return on investment and City resources, Council directed staff to focus on completing the prioritized Comprehensive Plan projects list • Finance budgeted against the Comprehensive Plan projects for the 2019-2020 Biennial Budget • No new projects outside of the Comprehensive Plan were considered • The City will maintain a list of new projects which carry a status of low priority and can be re- evaluated should any of the higher priority projects slip • City staff will report back to the Mayor and council on a quarterly basis on project status updates These processes determined by Council guide the capital plan budgeted in the 2019-2020 Biennial budget. Capital Projects Projects 2019-2020 Capital Construction Fund No. 302 500,000 Rockwell Park 500,000 Street Capital Construction Fund No. 304 5,032,500 Old Clifton Anderson- Design 150,000 Bay St Pedestrian Path ROW 1,145,500 Tremont Widening Road Improvements 3,737,000 Water Capital Fund No. 413 6,450,000 Telemetry Upgrades 200,000 Water Main Replacement Program 500,000 Pressure Reducing Valve Stations 950,000 Well #9 Treatment Facility 200,000 Well #13 Development & Construction 4,500,000 McCormick Woods Water Note 100,000 Storm Drainage Capital Fund No. 423 168,800 Tremont Widening -Storm Drainage Improvements 168,800 Sewer Capital Fund No. 433 8,296,600 Marina Pump Station 5,500,000 McCormick Woods Pump Station 2,780,000 Tremont Widening Sewer Improvements 16,600 Total Capital Projects Total Capital Projects (Including Related Debt Service) 20,347,900 20,447,900 Page 139 of 170 Capital Construction Fund 302 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 302.0.333.15.90 USNPS - RCO Blackjack Cr. Trail - - - 302.0.334.02.70 St Direct/Indirect - RCO MW Park 62,500.00 284,450.00 - 302.0.334.04.20 DeKalb Pier - Dept of Commerce 683,850.00 99,205.35 - 302.0.334.04.21 Bay Street Ped. Path - Dept of Commerce - - 300,000.00 302.0.341.75.00 Sale of Non -Taxable Merchandise - - - 302.0.361.11.00 Investment Interest 818.32 5,992.58 - 302.0.361.19.00 Investment Service Fees (12.44) - - 302.0.361.40.00 Interest on Contracts, Notes & Loans - - - 302.0.388.80.00 Prior Period Adjustments - - - 302.0.397.00.00 Operating Transfers In 935,963.49 1,540,915.63 200,000.00 302.8.308.30.00 Est Restricted Fund Bal - REET Beg 1,361,937.86 - - 302.8.308.50.00 Est Assigned Fund Balance - 186,800.93 318,000.00 Capital Construction Fund 302 Expenditures Account Number Account Title 302.5.594.18.10 Salaries & Wages 2015-2016 Actual 4,052.32 2017-2018 Actual 8,622.13 2019-2020 Budget 302.5.594.18.20 Personel Benefits 1,888.37 4,036.96 302.5.594.18.61 Land & Land Improvements 139,384.15 302.6.594.76.10 302.6.594.76.20 302.05.594.76.60 302.6.594.76.63 Salaries & Wages Personnel Benefits Other Improvements Other Improvements 0.00 0.00 500,000.00 0.00 302.6.594.77.10 Salaries & Wages 656.59 4,710.05 0.00 302.6.594.77.20 Personnel Benefits 129.17 2,010.58 0.00 302.6.594.77.62 Buildings & Structures - - 0.00 302.6.594.77.63 Other Improvements 221,367.70 1,408,727.18 0.00 302 6.597 00.00 Operating Transfers Out 0.00 302.9.508.50.00 Estimated Assigned Fund Balance 318,000.00 Page 140 of 170 Street Capital Projects Fund 304 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 304.0.333.20.20 304.0.334.02.71 304.0.334.03.60 304.0.334.03.80 304.0.334.04.21 St Direct/Indirect RCO-Rockwell St Direct/Indirect BSPP & Tremont State Grant Direct - Tib DOC Bay Street Pedestrian Path 6,919.71 15,431.52 304,579.39 187,085.58 1,344,883.76 5,062,900.36 769,834.00 769,835.00 304.0.336.00.71 Multimodal Transporation 13,823.91 34, 205.06 304.0.336.00.87 Motor Vehicle Fuel Tax 28,321.10 25,697.7 304.0.359.90.00 Miscellaneous Fines & Penalties (657.44) 304.0.361.11.00 Investment Interest 3,281.93 66,678.44 - 304.0.361.11.01 Investment Interest -Bonds 14,820.26 304.0.361.19.00 Investment Service Fees (59.19) - - 304.0.362.50.00 Space & Facilities Leases Long -Term 8,034.46 1,002.00 - 304.0.369.90.00 Other Miscellaneous Revenue (179.98) - - 304.0.386.00.00 Leasehold Excise Tax (103.33) - - 304.0.388.00.00 Prior Period Adjustment 2,306.00 304.0.391.10.00 GO Bond Issued 3,799,952.42 304.0.397.00.00 Operating Transfers In 430,948.65 2,021,771.06 1,312,316.00 304.8.308.30.00 Estimated Restricted Fund Balance 735,055.79 518,348.80 112,309.00 304.8.308.31.00 Est Restr Beg FB-Bond - 1,460,000.00 Fund 304 Expenditures Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 304.5.595.10.10 Salaries & Wages 1,939.14 203.42 304.5.595.10.20 Personnel Benefits 673.34 45.89 304.5.595.10.63 Other Improvements 265,896.20 27,033.92 304.5.595.12.10 Salaries & Wages 841.33 304.5.595.12.20 304.5.595.12.63 Personnel Benefits Other Improvements 19,981.52 415.10 536,918.14 304.5.595.14.63 Other Improvements 118,923.11 107,479.67 150,000.00 304.5.595.20.10 Salaries & Wages 6,232.49 304.5.595.20.20 Personnel Benefits 1,483.55 304.5.595.20.61 Land 21,059.94 32,094.23 304.5.595.20.63 ROW Other Improvements - 1,010.99 Page 141 of 170 Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 304.5.595.21.10 Salaries & Wages 165.69 315.0 304.5.595.21.20 Personnel Benefits 45.97 108.46 304.5.595.21.60 Land - Bay St Ped Path ROW 1,145,500.00 304.5.595.21.6 Land 680,035.74 668,613.5 304.5.595.30.10 Salaries & Wages 9,668.68 304.5.595.30.20 Personnel Benefits 4,540.52 304.5.595.30.60 Other Impr.-Construction 3,737,000.00 304.5.595.30.63 Other Impr-Construction 10,760,851.04 304.5.595.62.10 Salaries & Wages 5,370.68 304.5.595.62.20 Personnel Benefits 2,510.67 304.5.595.62.63 Other Improvements 403,517.10 304.6.597.00.00 Operating Transfers Out 300,000.00 717,731.75 304.9.508.30.00 304.9.508.31.00 Estimated Restricted Fund Balance Ending Restricted Fund Balance -Bond 518,348.80 699,063.28 1,388,036.10 442,594.00 Page 142 of 170 Water Capital Fund 413 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 413-0-379-10-34 Water Connection Charges 650,000.00 413-0-397-00-00 Operating Transfers In 4,500,000.00 413-0-397-00-01 Operating Transfers In (411) 1,287,500.00 413-0-397-00-02 Operating Transfers In (403) - - 2,093,000.00 8,530,500.00 413-8-308-80-00 Est Unreserved Fund Bal - Beg Water Capital Fund 413 Expenditures Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 413-5-594-34-63 Other Improvements -Water 6,350,000.00 413-5-597-00-00 Operating Transfers - Out (414) 100,000.00 Page 143 of 170 Storm Drainage Capital Fund 423 REVENUE Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actual Budget 423 0.36 .00 Investment Interest ,393.87 24,461.62 423.0.361.19.00 Investment Service Fee (2.56) 423 0.397 00.00 Operating Transfers In 423.8.308.80.00 Beginning Unreserved Fund Balance Storm Drainage Capital Fund 423 Expenditures 693,850.00 250,000.00 695,241.3 670,440.00 2015-2016 2017-2018 2019-2020 Account Number Account Title Budget Budget Budget 423.5.594.31.63 Capital Expense - 168,800.00 423.9.508.80.00 Estimated Unreserved Fund Balance End 694,095.00 969,702.93 501,640.00 Page 144 of 170 Sewer Capital Fund 433 REVENUE Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 433-0-334-60-00 Ecologoy Loan Proceeds 4,100,000.00 433-0-379-20-35 Sewer Connection Charges 405,000.00 433-0-397-00-00 Operating Transfers In (413) 2,190,000.00 433-0-397-00-01 Operating Transfers In (403) - - 2,774,000.00 Sewer Capital Fund 433 Expenditures Account Number 433-5-594-35-63 Other Improvements-Sw 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 8,296,600.00 433-9-508-80-00 ,172,400.00 Page 145 of 170 q,,earegazaw,...„„ ' tVk\KteaaWW'''' Stabilization/Reserves Funds General Fund Stabilization Fund No. 003 Cumulative Reserve for Municipal Equipment Fund No. 303 (Fund Close Out) Water Sewer Equipment Replacement Fund No. 402 (Fund Closeout) Water Sewer Cumulative Reserve Fund No. 403 (Fund Closeout) Water Stabilization Fund No. 412 Storm Drainage Equipment Reserve Fund No. 422 (Fund Closeout) Storm Drainage Stabilization Fund No. 422 Sewer Stabilization Fund No. 432 —This page left blank intentionally— Stabilization Fund 003 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Budget 2019-2020 Budget 003.0.361.11.00 Investment Interest J 2,589.64 23,378.11 - 003.0.361.19.00 Investment Service Fee - - - 003.0.397.00.00 Operating Transfers - In 148,000.00 240,000.00 400,000.00 003.8.308.90.00 Est. Unassigned Fund Balance Beginning 519,178.57 669,768.54 911,900.00 Stabilization Fund 003 Expenditures Account Number Account Title 2015-2016 Actual 2017-2018 Budget 2019-2020 Budget 933,147.00 1,311,900.00 Page 146 of 170 Cumulative Reserve for Municipal Equipment Fund 303 REVENUE Account Number 303.0.361.11.00 Account Title nvestment Interest 2015-2016 2017-2018 Actual Actual 3,335.84 10,216.02 2019-2020 Budget 303.0.361.19.00 Investment Service Fee (123.88) 303.0.369.90.00 Other Miscellaneous Revenue 2,062.00 - - 303.0.397.00.00 Operating Transfers In 319,384.75 94,587.00 - 303.8.308.52.00 Estimated Assigned Fund Balance Police - Beg 89,889.77 79,286.32 - 308.8.308.53.00 Estimated Assigned Fund Balance Street 96,242.31 107,852.56 - 303.8.308.54.00 Estimated Assigned Fund Balance Misc - Beg 106,167.64 192,467.70 - 303.8.308.55.00 Estimated Assigned Fund Balance Computer 12,651.13 12,675.04 - Cumulative Reserve for Municipal Equipment Fund 303 Expenditures Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 303.6.594.18.64 Machinery & Equipment - 27,103.08 - 303.6.594.21.64 Machinery & Equipment 170,396.40 - - 303.6.594.42.64 Machinery & Equipment 35,537.43 - - 303.6.594.58.64 Machinery & Equipment 31,304.11 - - 303.6.594.76.64 Machinery & Equipment - - - 303.6.597.00.00 Operating Transfers Out 469,981.56 303.9.508.52.00 Estimated Assigned Fund Balance - Police 79,286.32 102,652.83 0.00 303.9.508.53.00 Assigned Fund Balance Street 107,852.56 127,158.28 0.00 303.9.508.54.00 Estimated Assigned Fund Balance - End 192,467.70 199,573.31 0.00 303.9.508.55.00 Estimated Assigned Fund Balance - end 12,675.04 15,412.67 0.00 Page 147 of 170 Water Sewer Equipment Replacement Fund 402 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 402 0.36 .00 nvestment Interest 4,106.42 7,054.39 402.0.361.19.00 nvestment Service Fee (253.03) Water Sewer Equipment Replacement Fund 402 Expenditures Account Number Account Title 402.5.597.00.00 Operating Transfers Out 402.9.508.80.00 lEst 2015-2016 Actual 2017-2018 Actual 322,728.37 2019-2020 Budget Page 148 of 170 Water Sewer Cumulative Reserve Fund 403 REVENUE Account Number Account Title 2015-2016 Actual 2017-2018 Budget 2019-2020 Budget 403 0.36 .00 Investment Interest 403.0.361.19.00 Investment Service Fees 403 0.379. 0.34 Water Connection Charges 370,863. 9 873,778.60 403.0.379.20.35 Sewer Connection Charges 430,812.76 704,437.04 403.0.388.80.00 403.0.397.00.00 Prior Period Adjustments Operating Transfers In 403.8.308.80.00 Estimated Unresevered Fund Balance Beg Water Sewer Cumulative Reserve Fund 403 Expenditures Account Number Account Title 735,755.59 8,059,929.16 4,516,204.63 4,867,000.00 2015-2016 Actual 2017-2018 Budget 2019-2020 Budget 403.5.597.00.00 Operating Transfers Out 699,154.92 792,552.72 0.00 403 05.597 00.0 Transfers out to 413 2,093,000.00 403.05.597.00.02 Tranfers out -433 2,774,000.00 403.9.508.80.00 Estimated Unreserved Fund Balance End 8,934,129.99 5,563,539.07 0.00 Page 149 of 170 Water Stabilization Fund 412 REVENUE Account Number 412-0-397-00-00 Operating Transfers -In 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 390,000.00 412-8-308-80-00 Est Unreserved Fund Bal - Beg Water Stabilization Fund 412 Expenditures Account Number 412-9-508-80-00 Est Unreserve Fund Bal - End 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 390,000.00 Page 150 of 170 Storm Drainage Stabilization Fund 422 REVENUE Account Number 422-0-397-00-00 Operating Transfers -In (421) 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 175,200.00 422-8-308-80-00 Est Unreserved Fund Bal - Beg Storm Drainage Stabilization Fund 422 Expenditures Account Number 422.9.508.80.00 Est Unreserve Fund Bal - End 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 175,200.00 Page 151 of 170 Storm Drainage Equipment Reserve Fund 422 REVENUE Account Number Account Title 2015-2016 2017-2018 2019-2020 Actual Actuals Budget 422 0.36 .00 Investment Interest 768.62 4,129.75 422.0.361.19.00 Investment Service Fee (0.85) 422 0.397 00.00 Operating Transfers In 00.000.00 65,000.00 422.8.308.80.00 Beginning Unreserved Fund Balance Storm Drainage Equipment Reserve Fund 422 EXPENDITURES Account Number 422.5.597.00.00 Account Title Operating Transfers Out 2015-2016 Actual 250,000.00 2017-2018 Actuals 220,654.15 2019-2020 Budget 422.9.508.80.00 Estimated Unreserved Fund Balance End 151,524.40 Page 152 of 170 Sewer Stabilization Fund 432 REVENUE Account Number 432-0-397-00-00 Operating Transfers -In 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 606, 700.00 432-8-308-80-00 Est Unreserved Fund Bal - Beg Sewer Stabilization Fund 432 Expenditures Account Number 2015-2016 Actual 2017-2018 Actual 2019-2020 Budget 432-9-508-80-00 606, 700.00 Page 153 of 170 Equipment Replacement & Revolving (ER&R) Fund No. 500 —This page left blank intentionally— Equipment Rental & Revolving Fund 2019-2020 Biennial Summary Schedule: RCW 35.21.088 requires every city having a population of more than eight thousand to establish an equipment rental fund in its street department or any other department of city government. The purpose is to create a centralized Fund in which to manage your equipment (assets) in a programmatic way. At the August 21, 2018 the City Council determined that it is in the best interest of the city to amend Title 3 of the Port Orchard Municipal Code to set forth the requirements of an equipment rental and revolving fund and to adopt appropriate policies and procedures. The following table represents the vehicles scheduled for acquisition during the 2019-2020 biennium: Replacements & Additions 2019 2020 Biennial ttft ttftt stfttft� } ,}l {f a ent 5Sf }t � t �, ttfttftsf S.� ft'r e/ Eciu`4 4tSS i{f � , ttf, ft im S {t Tim �}? ty}y■ttft }{ t�sti {{ (yay�y t{rt t f, tt F Cos YiWi� imate " Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Police Police Staff SUV $50,000 $50,000 Public Works Street Standard Truck $39,000 $39,000 Public Works Water Standard Truck $39,000 $39,000 Public Works Water Standard Truck $39,000 $39,000 Public Works Sewer Standard Truck $39,000 $39,000 Public Works Water/Sewer Vac Truck - Addition $450,000 $450,000 Public Works Sewer CCTV Truck - Addition $225,000 $225,000 Administration Staff Car - Addition $45,000 $45,000 Total $1,176,000 $50,000 $1,226,000 Page 154 of 170 Equipment Rental & Revolving Fund REVENUES 2019-2020 Current Expense (001) Administrative Operation & Maintenance Pmts Capital Replacment Pmts Administrative Sub -Total Police Operation & Maintenance Pmts Capital Replacment Pmts Police Sub -Total Department of Community Development Operation & Maintenance Pmts Capital Replacment Pmts Dept. of Community Development Sub -Total Public Works Operation & Maintenance Pmts Capital Replacment Pmts Public Works Sub -Total $ $ $ 49,313 49,313 $ 300,200 $ 747,704 $ 1,047,904 $ 9,100 $ 8,667 $ 17,767 $ $ $ 47,300 194,622 241,922 Grand Total (001) $ 1,356,906 Street Fund (002) Public Works Operation & Maintenance Pmts Capital Replacment Pmts $ $ 79,800 574,072 Grand Total (002) $ 653,872 Criminal Justice (103) Police Operation & Maintenance Pmts Capital Replacment Pmts Grand Total (103) Water (411) Public Works Operation & Maintenance Pmts Capital Replacment Pmts $ $ 502,486 $ 502,486 $ 68,500 $ 169,623 $ 238,123 $ 55,700 $ 557,472 $ 613,172 $ 73,500 $ 794,975 Grand Total (411) Storm Drainage (421) Public Works Operation & Maintenance Pmts Capital Replacment Pmts Grand Total (421) Sewer (431) Public Works Operation & Maintenance Pmts Capital Replacment Pmts Grand Total (431) $ 868,475 Page 155 of 170 Equipment Rental & Revolving Fund EXPENSES Maintenance Salaries Benefits Supplies Sub -Total Operations Insurance Fuel Sub -Total 2019-2020 139,227 81,038 108,990 329,255 57,591 239,833 297,424 Total Operations & Maintenance 626,679 Capital Purchases Capital -Administrative Capital -Engineering Capital -Police Capital -Building Capital -Storm Capital -Water Capital -Sewer Capital -Streets Capital -Planning Capital -Parks Sub -Total 45,000 350,000 337,500 78,000 376,500 39,000 1,226,000 Total Capital Purchases 1,226,000 Grand Total 1,852,679 Page 156 of 170 Equipment Rental & Revolving Fund 500 REVENUE Account Number 2015-2016 2017-2018 2019-2020 Actual Actual Combined Budget 500.0.361.11.00 nvestment Interest 3,891.92 500-0-397-01-00 Transfer (O& 469,981.56 634,100.00 500-0-397-02-01 Transfer from 001 (IT Replacement Paymen 500-0-397-02-02 Transfer from 001 (Admin Replacement Paym 49,313.00 500-0-397-02-03 Transfer from 001 (Police Replacement Paymen 65,387.00 747.704.00 500-0-397-02-04 Transfer from 001 (DCD Replacement Paymen 8,667.00 500-0-397-02-05 Transfer from 001 (Public Works Replacemen 94,622.00 500-0-397-02-06 Transfer from 002 (Replacement Payment) 574,072.00 500-0-397-02-07 Transfer from 411 (Replacement Payment) 61,364.18 69,623.00 500-0-397-02-08 Transfer from 421 (Replacement Payment) 220,654.15 557,472.00 500-0-397-02-09 500-0-397-02-10 Transfer from 431 (Replacement Payment) Transfer from 103 (Police Replacement Paym srkiT Ark 61,364.19 794,975.00 502,486.00 500-8-308-00-00 Est Assign Fnd Bal O&M -Beg 500-8-308-00-01 Est Assign Fnd Bal IT -Beg 52,134.00 500-8-308-00-02 Est Assign Fnd Bal Admin-Beg 500-8-308-00-03 Est Assign Fnd Bal Police -Beg 50,000.00 500-8-308-00-04 Est Assign Fnd Bal DCD -Beg 25,000.00 500-8-308-00-05 Est Assign Fnd Bal Public Works (Parks&Eng 25,000.00 500-8-308-00-06 Est Assign Fnd Bal Street -Beg 215,000.00 500-8-308-00-07 Est Assign Fnd Bal PW-Water - Beg 61,094.00 500-8-308-00-08 500-8-308-00-09 Est Assign Fnd Bal PW-Storm - Beg Est Assign Fnd Bal PW-Sewer - Beg Equipment Replacement & Revolving Fund 500 EXPENDITURES Account Number 500-1-548-30-10 Salaries 500-1-548-30-20 Benefits 500-1-548-30-30 Supplies 500-1-548-70-40 Insurance 500-1-548-70-30 Fuel 2015-2016 Actual 2017-2018 Actual 220,281.00 161,094.00 2019-2020 Combined Budget 139,227.00 81,038.00 108,990.00 57,591.00 239,833.00 500-1-594-13-60 Capital-Admin - - 45,000.00 500-1-594-18-60 Capital -IT - - - 500-1-594-18-61 Capital -Engineering - - - 500-1-594-21-60 Capital -Police - - 350,000.00 500-1-594-24-60 Capital -Building - - - 500-1-594-31-60 Capital -Storm - - 337,500.00 500-1-594-34-60 Capital -Water - - 78,000.00 500-1-594-35-60 Capital -Sewer - - 376,500.00 500-1-594-42-60 Capital -Streets - - 39,000.00 Page 157 of 170 Account Number 2015-2016 2017-2018 2019-2020 Actual Actual Combined Budget 500-1-594-59-60 Capital -Planning 500-1-594-76-60 500-9-508-00-00 Est Assign Fnd Bal O&M -End - - 7,421.00 500-9-508-00-01 Est Assign Fnd Bal IT -End - 55,179.92 52,134.00 500-9-508-00-02 Est Assign Fnd Bal Admin-End - - 4,313.00 500-9-508-00-03 Est Assign Fnd Bal Police -End - 216,164.07 1,050,190.00 500-9-508-00-04 Est Assign Fnd Bal DCD -End - 25,090.20 33,667.00 500-9-508-00-05 Est Assign Fnd Bal Public Works (Parks&Eng - 25,090.20 219,622.00 500-9-508-00-06 Est Assign Fnd Bal Street -End (Replacement) - 215,775.68 750,072.00 500-9-508-00-07 Est Assign Fnd Bal PW-Water -End - 161,946.35 252,717.00 500-9-508-00-08 Est Assign Fnd Bal PW-Storm - End - 221,450.23 440,253.00 500-9-508-00-09 Est Assign Fnd Bal PW-Sewer - End - 161,946.36 579,569.00 Page 158 of 170 GLOSSARY —This page left blank intentionally— GLOSSARY OF BUDGET TERMS ACCOUNT: A chronological record of public funds showing receipts, disbursements, and balances. ACCOUNTING SYSTEM: The total set of records and procedures, which are used to record, classify, and report, information on the financial status and operations of an entity. ACCOUNTS PAYABLE: A short-term liability account reflecting amounts owed to private person(s) or organization(s) for goods and services received by a government. ACCOUNTS RECEIVABLE: An asset account reflecting amounts due from a private person(s) or organization(s) for goods and services furnished by a government (not including amounts due from other funds or governments). ACCRUAL BASIS OF ACCOUNTING: The method of accounting under which revenues are recorded when they are earned and expenses are recognized when incurred. The actual receipt or distribution of cash is not a determining factor. AD VALOREM TAXES: A tax levied on the assessed value of real property. ADOPTED BUDGET: The financial plan adopted by the City Council which forms the basis for appropriations. ALLOCATION: To set aside or designate funds for specific purposes. An allocation does not authorize the expenditure of funds. AMORTIZATION: (1) The portion of the cost of a limited life or intangible asset charged as an expense during a particular period. (2) The reduction of debt by regular payments of principal and interest sufficient to retire the debt by maturity. ANNEXATION: The incorporation of land into an existing city with a resulting change in the boundaries of that city. ANNUAL DEBT SERVICE: The amount required to be paid in a calendar year for (1) interest on all bonds then outstanding; and (2) principal of all bonds then outstanding, but excluding any outstanding term bonds. ANNUAL FINANCIAL REPORT: The official annual report of a government. It includes (a) the five combined statements — overview and their related notes, and (b) combines statements by fund type and individual fund financial statements prepared in conformity with GAAP. It also includes necessary supporting schedules to demonstrate compliance with finance -regulated legal and contractual provisions, required supplementary information, extensive introductory material and a detailed statistical section. Page 159 of 170 APPROPRIATION: An authorization made by the City Council, which permits officials to incur obligations against and to make expenditures of governmental resources. Appropriations are usually made for fixed amounts and are typically granted for a one-year period. ARBITRAGE: Classically, the simultaneous purchase and sale of the same or an equivalent security in order to profit from price discrepancies. In government finance, the most common occurrence of arbitrage involves the investment of the proceeds from the sale of tax-exempt securities in a taxable money market instrument that yields a higher rate, resulting in interest revenue in excess of interest costs. ASSESSED VALUATION: The estimated value placed upon real and personal property by the County Assessor as the basis for levying property taxes. ASSETS: Property owned by a government, that has a recognized monetary value. AUDIT: An examination to determine the accuracy and validity of records and reports or the conformity of procedures with established policies. BALANCED BUDGET: A budget in which current expenditures do not exceed current projected revenues. BALANCE SHEET: A statement presenting the financial position of an entity by disclosing the value of its assets, liabilities, and equities as of a specific date. BARS: The State of Washington prescribed Budgeting, Accounting, and Reporting System Manual required for all governmental entities in the state of Washington. BASE BUDGET: Ongoing expense for personnel, contractual services, and the replacement of supplies and equipment to maintain service levels previously authorized by the City Council. BASIC FINANCIAL STATEMENTS: Those financial statements necessary for the fair presentation of the financial position and results of operations of an entity in conformity with GAAP. The basic financial statements include a balance sheet, an "all-inclusive" operating statement, a budget comparison statement (for all governmental funds for which annual appropriated budgets are adopted), and a statement of changes in financial position (for proprietary funds, pension trust funds and non -expendable trust funds). BASIS OF ACCOUNTING: A term used to refer to when revenues, expenditures, expenses, and transfers — and the related assets and liabilities - are recognized in the accounts and reported in the financial statements. Specifically, it relates to the timing of the measurements made, regardless of the nature of the measurement, on either the cash or accrual method. Page 160 of 170 BIENNIAL BUDGET: A plan of financial operation embodying an estimate of proposed expenditures for a two year period of time and the proposed means of financing them. BOND: A written promise to pay a specified sum of money, called the maturity date(s), together with periodic interest at a specified rate. The difference between a note and a bond is that the latter runs for a longer period of time and requires greater legal formality. BOND ANTICIPATION NOTES (BANS): Short term interest -bearing notes issued in anticipation of bond proceeds to be received at a later date. The note is retired from proceeds of the bonds to which it is related. BOND REGISTRAR: The fiscal agency of the State of Washington in either Seattle, WA or New York, NY, for the purposes of registering and authenticating the bonds, maintaining the bonds, and bond register, effecting transfer of ownership of the bonds and paying interest on and principal of the bonds. BUDGET: A plan of financial operation embodying an estimate of proposed expenditures for a given period and the proposed means of financing them. BUDGET AMENDMENT: A change to a budget adopted in accordance with state law. A budget may be amended to increase expenditures/expenses at a fund level by ordinance without public notice or public hearing requirements, when unanticipated revenues occur or emergencies exist. CAPITAL ASSETS: Land, improvements to land, easements, buildings, building improvements, vehicles, machinery, equipment, works of art and historical treasures, infrastructure, and all other tangible or intangible assets that are used in operations and that have initial useful lives extending beyond a single reporting period. CAPITAL BUDGET: A plan of proposed capital outlays and the means of financing them. The capital budget may be enacted as part of the complete annual budget including both capital and operating outlays. CAPITAL OUTLAYS: Expenditures which result in the acquisition of or addition to capital assets. CAPITAL PROJECTS: Projects which purchase or construct capital assets. Typically, a capital project encompasses a purchase of land or construction of a building or facility, with a life expectancy of more than 10 years. CASH BASIS: A basis of accounting under which transactions are recognized only when cash is received or disbursed. CASH DISCOUNT: An allowance received or given if payment is completed within a stated period of time. CASH EQUIVALENT: Short-term, highly liquid investments that are both (1) readily convertible into cash and (2) so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Page 161 of 170 CERTIFICATE OF DEPOSIT: A negotiable or non-negotiable receipt for monies deposited in a bank or other financial institution for a specified period for a specified rate of interest. COLA: Cost of Living Allowance. COMPREHENSIVE PLAN: A general plan that outlines growth and land use for residential, commercial, industrial, and open space areas. CONCURRENCY: The improvements that are in place at the time the impacts of development occur, or that the necessary financial commitments are in place. Public facilities and services shall be adequate to serve the development at the time the development is available for occupancy and use without decreasing current service levels below locally established minimum standards. CONNECTION FEES: Fees charged to join or to extend an existing utility system. CONSUMER PRICE INDEX (CPI): A statistical description of price levels for a fixed market basket of goods and services provided by the U.S. Department of Labor. The index is used as a measure of the increase in the cost of living. CONTINGENCY: A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise budgeted for. COST ACCOUNTING: Accounting which assembles and records all costs incurred to carry out a particular activity or to deliver a particular service. CURRENT: A term which, applied to budgeting and accounting, designates the operations of the present fiscal period as opposed to past or future periods. It usually connotates items likely to be used up or converted into cash within one year. CURRENT LIABILITIES: Liabilities which are payable within the next operating cycle. DEBT: An obligation resulting from the borrowing of money or from the purchase of goods and services. Debts of governments include: bonds, registered warrants, notes, contracts and accounts payable. DEBT LIMIT: The maximum amount of gross or net debt which is legally permitted. DEBT SERVICE FUND: Funds used to account for and report financial resources that are restricted, committed, or assigned to expenditure for principal and interest. Debt service funds should be used to report resources if legally mandated. Financial resources that are being accumulated for principal and interest maturing in future years also should be reported in debt service funds. Page 162 of 170 DEBT SERVICE REQUIREMENT: The amount of money required to pay interest on outstanding debt, serial maturities of principal for serial bonds, and required contributions to accumulate monies for future retirement of term bonds. DEFICIT: (1) The excess of the liabilities of a fund over its assets. (2) The excess of expenditures over revenues during an accounting period; or, in the case of proprietary funds, the excess of expense over income during an accounting period. DELINQUENT TAXES: Taxes remaining unpaid on and after the date on which a penalty for nonpayment is attached. Even though the penalty may be subsequently waived and a portion of the taxes may be abated or canceled, the unpaid balances continue to be delinquent taxes until abated, canceled, paid or converted into tax liens. DEPLETION: (1) The reduction in quantity of a natural resource (wasting asset), such as: coal, standing timber, or a rock quarry. (2) The portion of the cost of a wasting asset which is charged as an expense during a particular period. DEPRECIATION: (1) Expiration in the service life of capital assets, other than wasting assets. (2) The portion of the cost of a capital asset other than a wasting asset which is charged as an expense during a particular period. In accounting for depreciation, the cost of a capital asset, less any salvage value, is prorated over the estimated service life of such an asset, and each period is charged with a portion of such cost. Through this process, the entire cost of the asset is ultimately charged off as an expense. DUE FROM OTHER FUNDS: An asset account used to indicate amounts owed to a particular fund by another fund for goods or services rendered. This account includes only short-term obligations on open account, not interfund loans. ENCUMBRANCES: Obligations in the form of purchase orders, contracts or salary commitments which are chargeable to an appropriation and for which a part of the appropriations is reserved. They cease to be encumbrances when paid or when actual liability is set up. ENDING FUND BALANCE: The cash balance remaining at the end of the fiscal year available for appropriation in future years. ENTERPRISE FUND: Proprietary fund type used to report an activity for which a fee is charged to external users for goods or services. ENTITLEMENT: The amount of payment to which a state or local government is entitled as determined by the federal government pursuant to an allocation formula contained in applicable statues. EXPENDITURES/EXPENSES: Where accounts are kept on the accrual or modified accrual basis of accounting, the cost of goods received or services rendered whether cash payments have been made or not. Where accounts are kept on a cash basis, expenditures are only recognized when the cash payments for the above purposes are made. Page 163 of 170 FICA: Federal Insurance Contribution Act is an employment tax levied against both an employee and employer for Social Security and Medicare taxes. FISCAL YEAR: A 12-month period to which the annual operating budget applies and at the end of which a government determines its financial position and results of its operations. FIXED ASSETS: Long-lived tangible assets obtained or controlled as a result of past transactions, events or circumstances. Fixed assets include: buildings, equipment, improvement other than buildings, and land. FUND: A fiscal and accounting entity with a self -balancing set of accounts recording cash and other financial resources, together with all related liabilities and residual equities or balances, and charges therein, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. FUND BALANCE: The excess of an entity's assets over its liabilities. A negative fund balance may be called a deficit. GAAFR: "Governmental Accounting, Auditing and Financial Reporting". Published by the Government Finance Officers Association to provide guidance for the application of accounting principles for governments. GAAP: Generally Accepted Accounting Principles are standards used for accounting and reporting in both private industry and government. GASB• Government Accounting Standards Board, established in 1985 to regulate the rules and standards for all governmental agencies. GENERAL FUND: Fund used to account for and report all financial resources not accounted for and reported in another fund. GENERAL LEDGER: A book, file or other device which contains the accounts needed to reflect the financial position and the results of operations of an entity. In double entry bookkeeping, the debits and credits in the general ledger are equal. Therefore, the debit balance equals the credit balance. GOVERNMENTAL FUNDS Funds generally used to account for tax -supported activities. There are five different types of governmental funds: the general fund, special revenue funds, debt service funds, capital projects funds, and permanent funds. GRANT: A contribution of assets (usually cash) by one governmental unit or other organization to another. Typically, these contributions are made to local governments from the State and Federal governments. Grants are usually made for specific purposes. Page 164 of 170 IMPACT FEES: Fees charged to developers to cover, in whole or in part, the anticipated cost of improvements that will be necessary as a result of the development. IMPROVEMENTS: An addition made to, or change made in, a capital asset, other than maintenance, to prolong its life or to increase its efficiency or capacity. The cost of the addition or change is added to the book value of the asset. INDEBTEDNESS: The state of owing financial resources to other financial institutions and investors. INTERFUND LOANS: A loan made by one fund to another and authorized by resolution or ordinance. INTERFUND PAYMENTS: Expenditures made to other funds for services rendered. This category includes interfund repairs and maintenance. INTERFUND TRANSFERS: Contributions from one City fund to another in support of activities of the receiving fund. Loans are not included. INTERGOVERNMENTAL COSTS: Costs or expenses paid from one government to another government for services. These costs include, but are not limited to, such things as: dispatch and jail services, animal control services, audit and voter costs. INTERNAL CONTROL: A plan of organization for purchasing, accounting and other financial activities, which, among other things, provides that: • The duties of employees are subdivided so that no single employee handles financial action from beginning to end. • Proper authorization from specific responsible officials is obtained before key steps in the processing of a transaction are completed. • Records and procedures are arranged appropriately to facilitate effective control. INTERNAL SERVICE FUND: Funds used to account for the financing of goods or services provided by one department or agency to other departments or agencies of the City, or to other governments, on a cost -reimbursement basis. INVESTMENT: Securities and real estate purchased and held for the production of income in the form of interest, dividends, rentals, and base payments. This does not include capital assets used in governmental operations. JOINT VENTURE: A legal entity or other organization that results from a contractual arrangement and that is owned, operated, or governed by two or more participants as a separate and specific activity subject to joint control, in which the participants retain (a) an ongoing financial interest, or (b) an ongoing financial responsibility. Page 165 of 170 JOURNAL: A book of original entry. Journals provide a chronological history of financial transactions and systematic means by which the transactions can be distributed and summarized for convenient posting to ledger accounts. LEDGER: A group of accounts in which are recorded the financial transactions of an entity. LEVY: (verb) To impose taxes, special assessments, or service charges for the support of governmental activities. (noun) The total amount of taxes, special assessments, or service charges imposed by a government. LIABILITIES: Debt or other legal obligations arising out of transactions in the past which must be liquidated, renewed, or refunded at some future date. LONG TERM DEBT: Debt with a maturity of more than one year after the date of issuance. MAINTENANCE: Activities that ensure the right-of-way and each type of roadway, roadway structure and facility remain, as nearly as practical, in its original, as constructed condition or its subsequent improved condition. Also known as the act of keeping capital assets in a state of good repair. It includes preventative maintenance, normal periodic repairs, replacement of parts or structural components, and other activities needed to maintain the asset so that it continues to provide normal services and achieves its optimum life. MATCHING REQUIREMENT: A requirement that grant recipients contribute resources to a program that equal or exceed a predetermined percentage of amounts provided by the grantor. MODIFIED ACCRUAL BASIS: Basis of accounting according to which (a) revenues are recognized in the accounting period of which they become available and measureable and (b) expenditures are recognized in the accounting period in which the fund liability is incurred, if measureable, except for unmatured interest on general long-term debt and certain similar accrued obligations, which should be recognized when due. MODIFIED CASH BASIS: Modified cash basis is the cash basis of accounting adjusted for Washington State statute. RCW 35.33.515 and RCW 35QA.33.150 require cities to keep their books open in order to pay December bills by the following January 20. RCW 36.40.200 requires counties to keep their books open until January 30 in order to pay December bills and charge the prior -year budget. NET REVENUE: The revenue of the system less the cost of maintenance and operation of the system. NET ASSETS: The difference between assets and liabilities reported in government -wide financial statements, proprietary fund financial statements, and fiduciary fund financial statements. NOMINAL INTEREST RATE: Page 166 of 170 The contractual interest rate shown on the face and in the body of a bond and representing the amount of interest to be paid, in contrast to the effective interest rate. NOTE PAYABLE: In general, an unconditional written promise signed by the maker to pay a certain sum in money on demand or at a fixed or determinable time either to the bearer or to the order of a person designated therein. NOTE RECEIVABLE: An unconditional written promise signed by the maker, to pay a certain sum in money on demand or at a fixed or determinable future time either to the bearer or to the order of a person designated therein. The note may be held by the reporting governmental unit as designated payee or by endorsement. OBJECT: As used in expenditure classification, this term applies to the type of item purchased or the service obtained (as distinguished from the results obtained from expenditures). Examples include: personnel services, supplies, and services and charges. OFM: Office of Financial Management OPERATING FUNDS: Resources derived from recurring revenue sources used to finance ongoing operating expenditures and pay-as-you-go capital projects. OPERATING REVENUES: Those revenues received within the present fiscal year. OPERATING BUDGET: Plans of current expenditures and the proposed means of financing them. The annual operating budget is the primary means by which most of the financing, acquisition, spending, and service delivery activities of a government are controlled. The use of annual operating budgets is usually required by law. ORDINANCE: A statute or regulation enacted by the City Council. OTHER SERVICES AND CHARGES: A basic classification for services, other than personnel services, which are needed by the City. This item includes professional services, communication, travel, advertising, training, dues and subscriptions, printing, equipment rental and costs, insurance, public utility services, repairs and maintenance. PERS: Public Employees Retirement Systems provided by the State of Washington for all employees other than Police and Fire. PERSONNEL COSTS: Costs that include all salaries, wages, and benefits for all full-time, part-time, seasonal and temporary employees. Page 167 of 170 PETTY CASH: A sum of money set aside on an imprest basis for the purpose of making change or paying small obligations for which the issuance of a formal voucher and warrant would be too expensive and time consuming. Petty cash accounts are sometimes referred to as petty cash "funds". However, they are not "funds" in the sense of governmental accounting fund types. Petty cash accounts should be reported as assets of the fund of ownership. POSTING: The act of transferring to an account in a ledger the data, either detailed or summarized, contained in a book or document of original entry. PRIOR YEAR: The fiscal year immediately preceding the current year. PROPERTY TAXES: Ad valorem tax certified to the county assessor by a local government unit. PROPRIETARY FUND: Funds that focus on the determinations of operating income, changes in net assets (or cost recovery), financial position and cash flows. There are two different types of proprietary funds: enterprise funds and internal service funds. QUALIFIED OPINION: A modification of the independent auditor's report on the fair presentation of the financial statements indicating that there exists one or more specific exceptions to the auditor's general assertion that the financial statements are fairly presented. RCW: Revised Code of Washington. Laws of the State of Washington enacted by the State Legislature. REET: Real Estate Excise Tax. A tax upon the sale of real property from one person or company to another. REGISTERED WARRANT: A warrant which is registered by the paying officer for future payment due to a present lack of money and which is to be paid in the order of its registration. RESERVE FUND: A fund established to accumulate money from year to year for a specific purpose, such as the purchase of new equipment. RESTRICTED ASSETS: Moneys or other resources, the use of which is restricted by legal or contractual requirements. In governmental accounting, special treatments are applied to restricted assets arising out of revenue bond indentures in enterprise funds. RESTRICTED FUND BALANCE: Portion of fund balance that reflects constraints placed on the use of resources (other than nonspendable items) that are either: a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments; or b) imposed by law through constitutional provisions or enabling legislation. RETAINED EARNINGS: Page 168 of 170 An equity account reflecting the accumulated earnings of the City. REVENUE: Income received by the City in support of a program of services to the community. STANDARD COSTING: Method of estimating the historical cost of a capital asset by establishing the average cost of obtaining the same or a similar asset at the time of acquisition. SPECIAL REVENUE FUND: Funds used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditure for specific purposes other than debt service or capital projects. STATE SHARED REVENUE: Revenues received from the State of Washington from sources like the liquor tax and gas taxes. SUBSIDIARY ACCOUNT: One of a group of related accounts supporting in detail the debit and credit summaries recorded in a control account (e.g. the individual property taxpayers' accounts for the taxes receivable control account in the general ledger). SUBSIDIARY LEDGER: A group of subsidiary accounts, the sum of balances of which should equal the balance of the related control account. SUPPLIES: A basic classification of expenditures for articles and commodities purchased for consumption or resale. Examples include: office and operating supplies, fuel, power, water, gas, inventory or resale items, small tools, and equipment. SYSTEM DEVELOPMENT CHARGES: A charge levied on new construction to help pay for additional expenses created by this growth or to compensate for already existing capacity in key facilities and systems already in place which support the new development. TAX: Compulsory charges levied by a government for the purpose of financing services performed for the common benefit. This term does not include specific charges made against particular persons or property for current or permanent benefits such as special assessments. Neither does the term include charges for services rendered only by those who pay, for example, water service charges. TAX ANTICIPATION NOTES: Short-term, interest —bearing notes issued by a government in anticipation of tax revenues to be received at a later date. The note is retired from the tax revenues to which it is related. TAX LEVY: Total amount of ad valorem tax certified by the city. TAX RATE: Page 169 of 170 The amount of tax stated in terms of units per $1,000 of assessed value of taxable property. The tax rate is the result of dividing the tax levied by the assessed value of the taxing district. TRIAL BALANCE: A list of the balances of the accounts in a ledger kept by double entry, with the debit and credit balances shown in separate columns. If the totals of the debit and credit columns are equal or their net balance agrees with a control account, the ledger from which the figures are taken is said to be "in balance". UNAPPROPRIATED ENDING FUND BALANCE: An amount set aside in the budget to be used as cash carry over to the next year's budget to provide needed cash flow until other money is received. No expenditures can be made from the Unappropriated Ending Fund Balance during the fiscal year in which it is budgeted. UNASSIGNED FUND BALANCE: Residual classification for the general fund. This classification represents fund balance that has not been assigned to other funds and that has not been restricted, committed, or assigned to specific purposes within the general fund. The general fund should be the only fund that reports a positive unassigned fund balance amount. UNQUALIFIED OPINION: An auditor's opinion, which states that the basic financial statements of a specified entity are fairly presented in conformity with GAAP, applied on a basis consistent with the prior year. USER FEES: The payment of a fee for direct receipt of a public service by the person benefiting from the service. VOUCHER: A written document which evidences a propriety of transactions and usually indicates the accounts in which they are to be recorded. WARRANT: An order drawn by the legislative body or an officer of a government upon its treasurer directing the latter to pay a specified amount to the person named or to the bearer. It may be payable upon demand, in which case it usually circulates the same as a bank check; or it may be payable only out of certain revenues when and if received, in which case it does not circulate as freely. Page 170 of 170