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HomeMy WebLinkAboutFY 2025 Annual ReportCity of Port Orchard 2025 Annual Report For Fiscal Year Ended December 31, 2025 MCAG No. 0455 Submitted pursuant to RCW 43.09.230 to the STATE AUDITOR'S OFFICE ANNUAL REPORT CERTIFICATION City of Port Orchard (Official Name of Government) 0455 MCAG No. Submitted pursuant to RCW 43.09.230 to the Washington State Auditor's Office For the Fiscal Year Ended 12/31/2025 GOVERNMENT INFORMATION: Official Mailing Address 216 Prospect St Port Orchard, WA 98366 Official Website Address https://portorchardwa.gov/ Official E-mail Address ncrocker@portorchardwa.gov Official Phone Number (360) 876-7023 AUDIT CONTACT or PREPARER INFORMATION and CERTIFICATION: Audit Contact or Preparer Name and Title Rebecca Zick Assistant Finance Director Contact Phone Number 360-876-7021 Contact E-mail Address rzick@portorchardwa.gov I certify 30th day of May, 2026, that annual report information is complete, accurate and in conformity with the Budgeting, Accounting and Reporting Systems Manual, to the best of my knowledge and belief, having reviewed this information and taken all appropriate steps in order to provide such certification. I acknowledge and understand our responsibility for the design and implementation of controls to ensure accurate financial reporting, comply with applicable laws and safeguard public resources, including controls to prevent and detect fraud. Finally, I acknowledge and understand our responsibility for immediately submitting corrected annual report information if any errors or an omission in such information is subsequently identified. Signatures Rebecca Zick (rzick@portorchardwa.gov) City of Port Orchard Fund Resources and Uses Arising from Cash Transactions For the Year Ended December 31, 2025 Total for All 104 Special Funds 103 Criminal Investigative (Memo Only) 001 General Justice Unit Beginning Cash and Investments 308 Beginning Cash and Investments 101,222,208 26,155,856 576,826 106,096 388 / 588 Net Adjustments - - - - Revenues 310 Taxes 18,989,902 16,388,488 435,032 - 320 Licenses and Permits 1,448,385 1,421,535 - - 330 Intergovernmental Revenues 2,765,886 829,706 34,977 - 340 Charges for Goods and Services 33,073,759 855,361 - - 350 Fines and Penalties 217,796 157,518 - - 360 Miscellaneous Revenues 5,037,621 1,440,419 24,488 4,434 Total Revenues: 61,533,349 21,093,027 494,497 4,434 Expenditures 510 General Government 4,463,954 4,031,924 - - 520 Public Safety 7,159,452 6,708,054 451,398 - 530 Utilities 10,254,913 - - - 540 Transportation 3,635,505 2,610,978 - - 550 Natural/Economic Environment 2,769,529 2,677,108 - - 560 Social Services 63,672 63,672 - - 570 Culture and Recreation 964,718 964,718 - - Total Expenditures: 29,311,743 17,056,454 451,398 - Excess (Deficiency) Revenues over Expenditures: 32,221,606 4,036,573 43,099 4,434 Other Increases in Fund Resources 391-393, 596 Debt Proceeds 4,709,546 - - - 397 Transfers -In 3,497,098 - - - 385 Special or Extraordinary Items - - - - 381, 382, 389, Other Resources 121,038 27,772 - - 395, 398 Total Other Increases in Fund Resources: 8,327,682 27,772 - - Other Decreases in Fund Resources 594-595 Capital Expenditures 15,825,589 50,642 - - 591-593, 599 Debt Service 2,417,003 78,214 82,200 - 597 Transfers -Out 3,497,098 273,496 - - 585 Special or Extraordinary Items - - - - 581, 582, 589 Other Uses 49,725 49,725 - - Total Other Decreases in Fund Resources: 21,789,415 452,077 82,200 - Increase (Decrease) in Cash and Investments: 18,759,873 3,612,268 (39,101) 4,434 Ending Cash and Investments 50821 Nonspendable - - - - 50831 Restricted 26,726,793 3,244,386 537,725 110,530 50841 Committed - - - - 50851 Assigned 70,136,452 3,404,902 - - 50891 Unassigned 23,118,836 23,118,836 - - Total Ending Cash and Investments 119,982,081 29,768,124 537,725 110,530 The accompanying notes are an integral part of this statement. City of Port Orchard Fund Resources and Uses Arising from Cash Transactions For the Year Ended December 31, 2025 Beginning Cash and Investments 308 Beginning Cash and Investments 388 / 588 Net Adjustments Revenues 310 Taxes 320 Licenses and Permits 330 Intergovernmental Revenues 340 Charges for Goods and Services 350 Fines and Penalties 360 Miscellaneous Revenues Total Revenues: Expenditures 510 General Government 520 Public Safety 530 Utilities 540 Transportation 550 Natural/Economic Environment 560 Social Services 570 Culture and Recreation Total Expenditures: Excess (Deficiency) Revenues over Expenditures: Other Increases in Fund Resources 391-393, 596 Debt Proceeds 397 Transfers -In 385 Special or Extraordinary Items 381, 382, 389, Other Resources 395, 398 Total Other Increases in Fund Resources: Other Decreases in Fund Resources 594-595 Capital Expenditures 591-593, 599 Debt Service 597 Transfers -Out 585 Special or Extraordinary Items 581, 582, 589 Other Uses Total Other Decreases in Fund Resources: Increase (Decrease) in Cash and Investments: Ending Cash and Investments 50821 Nonspendable 50831 Restricted 50841 Committed 50851 Assigned 50891 Unassigned Total Ending Cash and Investments 107 Community 108 Paths & Events Trails 472,384 196,480 23,645 17,989 1,309 814 111 Impact Mitigation Fee 11,214,726 4,443,954 548,624 220,125 2,123 4,992,578 - - 432,030 - - 158,016 92,421 - - 92,421 - 590,046 127,704 2,123 4,402,532 1,173,171 1,173,171 206 Bond Redemption Fund 517,371 22,718 22,718 22,718 1,246,353 1,246,353 996,353 996,353 127,704 2,123 3,229,361 272,718 600,088 20,112 14,444,087 790,089 600,088 20,112 14,444,087 790,089 The accompanying notes are an integral part of this statement. City of Port Orchard Fund Resources and Uses Arising from Cash Transactions For the Year Ended December 31, 2025 Beginning Cash and Investments 308 Beginning Cash and Investments 388 / 588 Net Adjustments Revenues 310 Taxes 320 Licenses and Permits 330 Intergovernmental Revenues 340 Charges for Goods and Services 350 Fines and Penalties 360 Miscellaneous Revenues Total Revenues: Expenditures 510 General Government 520 Public Safety 530 Utilities 540 Transportation 550 Natural/Economic Environment 560 Social Services 570 Culture and Recreation Total Expenditures: Excess (Deficiency) Revenues over Expenditures: Other Increases in Fund Resources 391-393, 596 Debt Proceeds 397 Transfers -In 385 Special or Extraordinary Items 381, 382, 389, Other Resources 395, 398 Total Other Increases in Fund Resources: Other Decreases in Fund Resources 594-595 Capital Expenditures 591-593, 599 Debt Service 597 Transfers -Out 585 Special or Extraordinary Items 581, 582, 589 Other Uses Total Other Decreases in Fund Resources: Increase (Decrease) in Cash and Investments: Ending Cash and Investments 50821 Nonspendable 50831 Restricted 50841 Committed 50851 Assigned 50891 Unassigned Total Ending Cash and Investments 302 Capital 304 Street Construction Capital Projects 1,567,976 952,112 309 Real Estate Excise Tax 411 Water Utility 6,523,527 1,969,902 366,719 1,081,526 - 44,187 44,406 300,036 410,906 1,125,932 2,269,938 410,906 1,125,932 2,269,938 718,289 1,532,456 - 718,289 1,532,456 - 2,356,395 2,799,059 - 2,356,395 (1,227,200) 236,742 104,034 340,776 2,799,059 (140,671) 811,441 811,441 2,050,431 2,050,431 219,507 6,743,034 6,743,034 13,647,866 8,720,583 30,410 790,748 9,541,741 3,510,316 3,510,316 6,031,425 2,701,455 7,731 2,709,186 2,346,356 903,495 3,249,851 5,490,760 19,138,626 19,138,626 The accompanying notes are an integral part of this statement. City of Port Orchard Fund Resources and Uses Arising from Cash Transactions For the Year Ended December 31, 2025 500 Equipment 421 Storm 431 Sewer Rental and Drainage Utility Utility Revolving Beginning Cash and Investments 308 Beginning Cash and Investments 3,872,683 30,108,167 5,488,629 388 / 588 Net Adjustments - - - Revenues 310 Taxes - - - 320 Licenses and Permits 26,850 - - 330 Intergovernmental Revenues 130,000 321,649 - 340 Charges for Goods and Services 4,332,973 13,018,467 1,702,421 350 Fines and Penalties 17,510 12,358 - 360 Miscellaneous Revenues 186,808 1,370,747 235,547 Total Revenues: 4,694,141 14,723,221 1,937,968 Expenditures 510 General Government - - - 520 Public Safety - - - 530 Utilities 2,026,157 4,718,440 - 540 Transportation - - 866,511 550 Natural/Economic Environment - - - 560 Social Services - - - 570 Culture and Recreation - - - Total Expenditures: 2,026,157 4,718,440 866,511 Excess (Deficiency) Revenues over Expenditures: 2,667,984 10,004,781 1,071,457 Other Increases in Fund Resources 391-393, 596 Debt Proceeds - 2,008,091 - 397 Transfers -In - - - 385 Special or Extraordinary Items - - - 381, 382, 389, Other Resources - (5,794) 91,329 395, 398 Total Other Increases in Fund Resources: - 2,002,297 91,329 Other Decreases in Fund Resources 594-595 Capital Expenditures 792,645 5,989,976 1,490,516 591-593, 599 Debt Service 244,551 112,190 - 597 Transfers -Out - - - 585 Special or Extraordinary Items - - - 581, 582, 589 Other Uses - - - Total Other Decreases in Fund Resources: 1,037,196 6,102,166 1,490,516 Increase (Decrease) in Cash and Investments: 1,630,788 5,904,912 (327,730) Ending Cash and Investments 50821 Nonspendable - - - 5083 1 Restricted - - - 50841 Committed - - - 50851 Assigned 5,503,471 36,013,079 5,160,899 50891 Unassigned - - - Total Ending Cash and Investments 5,503,471 36,013,079 5,160,899 The accompanying notes are an integral part of this statement. City of Port Orchard Fiduciary Fund Resources and Uses Arising from Cash Transactions For the Year Ended December 31, 2025 Custodial 308 Beginning Cash and Investments 188 388 & 588 Net Adjustments - 310-390 Additions 142,553 510-590 Deductions 142,678 Net Increase (Decrease) in Cash and (125) Investments: 508 Ending Cash and Investments 63 The accompanying notes are an integral part of this statement. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Note 1 -Summary of Significant Accounting Policies The City of Port Orchard was incorporated on September 1, 1890, and operates under the laws of the state of Washington applicable to a city. The City is a general-purpose local government and provides public safety, street improvement, park and recreation, and general administrative services. In addition, the City owns and operates a water, sewer, and storm drainage system. The City 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. (See Note 11. Joint Ventures) • 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 for proprietary and fiduciary funds are presented using classifications that are different from the ending net position classifications in GAAP. A. Fund Accountin Financial transactions of the government are reported in individual funds. 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. Each fund is reported as a separate column in the financial statements, except for fiduciary funds, which are presented by fund types. The total column is presented as "memo only" because any interfund activities are not eliminated. The following fund types are used: Governmental Fund Types: General Fund This fund is the primary operating fund of the government. It accounts for all financial resources except those required or elected to be accounted for in another fund. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Special Revenue Funds These funds account for specific revenue sources that are restricted or committed to expenditures for specified purposes of the government. Criminal Justice Fund 103 was created to account for monies received for Criminal Justice purposes per RCW 82.14. These monies are to be used by the Police Department for criminal justice purposes. Special Investigative Unit Fund 104 was created to account for monies and property seized during drug investigations per RCW 69.50.505. Monies paid into the fund are to be used by the Police Department for drug enforcement purposes. Community Events Fund 107 is where monies received from Hotel/Motel Transient (Stadium) Tax per RCW 67.28 are 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. The Paths & Trails Fund 108 is used to account for a portion of the Motor Vehicle Fuel tax that is used to maintain paths and trails for pedestrians, equestrians or bicyclists as part of streets, roads & highways. 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. The Impact Fee Fund 111 accounts for Impact Fees collected on building permits within the City. Impact Fees are charged for parks, transportation, and schools. Impact fee expenditures for system improvements are expended only in conformance with the capital improvement plan. Debt Service Funds These funds account for the financial resources that are restricted, committed, or assigned to expenditures for principal, interest and related costs on general long-term debt. The Bond Redemption Fund 206 is a debt service fund for the purpose of paying general fund bond debt. Capital Projects Funds These funds account for financial resources which are restricted, committed, or assigned for the acquisition or construction of capital facilities or other capital assets. Capital Construction Fund 302 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 309, Impact Fee Fund 111) which provide cash flow to complete the projects. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 The Street Capital Projects Fund 304 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. Real Estate Excise Tax (REET) Fund 309 is used to account for the receipt of REET levied on all. sales of real estate. RCW 82.46 funding must be used for capital projects identified in the capital facilities plan of the City's comprehensive plan. Proprietary Fund Types: Enterprise Funds These funds account for operations that provide goods or services to the general public and are supported primarily through user charges. The Water Utility Fund 411 is used to account for the operation, maintenance, repair, capital construction, and debt service for the water utility service within Port Orchard. The Storm Drainage Utility Fund 421 is used to account for the operation, maintenance, repair, capital construction, and debt service for the storm drainage and surface water management system within Port Orchard. The Sewer Utility Fund 431 is used to account for the operation, maintenance, repair, capital construction, and debt service for the sewer utility service within Port Orchard. Internal Service Funds These funds account for operations that provide goods or services to other departments or funds of the government on a cost reimbursement basis. The Equipment Rental and Revolving Fund 500 is used for the repair, replacement, purchase and operation of vehicles and equipment to be used throughout the City. Fiduciary Fund Types: Fiduciary funds account for assets held by the government in a trustee capacity or as a custodian on behalf of others. Custodial Funds These funds are used to account for assets that the government holds on behalf of others in a custodial capacity. The Trust and Agency Fund 631 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 CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 include but are not limited to state court fines, county crime victim fines, state building code fees, state concealed pistol licenses and background checks. B. Basis of Accounting and Measurement Focus Financial statements are prepared using the cash basis of accounting and measurement focus. Revenues are recognized when cash is received and expenditures are recognized when paid. In accordance with state law the City also recognizes expenditures paid during twenty days after the close of the fiscal year for claims incurred during the previous period. C. Cash and Investments It is the City's policy to invest all temporary cash surpluses. The interest on these investments is prorated to the various funds. For further information see Note 3 — Deposits and Investments. D. Capital Assets Capital assets are assets with an initial individual cost of more than $5,000 and an estimated useful life in excess of one year. Capital assets and inventory are recorded as capital expenditures when purchased. E. Comnensated Absences Vacation leave may be accumulated up to 320 hours at year end for non -represented employees and 240 hours at year end for Teamsters represented employees. Vacation leave is payable up to 240 hours upon separation or retirement of an employee. LEOFF II employees' (excluding management) vacation leave may be accumulated up to 320 hours and up to 240 hours is payable in cash upon separation or retirement while the remaining 80 hours are payable to the employee's respective medical health retirement/voluntary employee's beneficiary association account (HRA/VEBA). Sick leave may be accumulated up to 960 hours at year end and for all employees except LEOFF II employees. Upon separation or retirement employees do not receive payment for unused sick leave except LEOFF II employees. LEOFF II employees' (excluding management) sick leave may be accumulated up to 1040 hours and up to 400 hours is payable upon separation or retirement to the employee's respective medical health retirement/voluntary employee's beneficiary association account (HRA/VEBA). LEOFF II employees (excluding management) earn 120 hours holiday leave annually and may carry over 96 hours at year end. Holiday leave is payable upon separation or retirement up to 96 hours. Payments are recognized as expenditures when paid. F. Liabilities See Note 5- Long -Term Liabilities, Note 8- OPEB Plans, and Note 9 -Pension Plans. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 G. Leases and Subscription Based Information TechnologArrangements (SBITA) Leases are reported as liabilities if the total payments over the life of the lease is more than $10,000. SBITAs are reported as liabilities if the total payments over the life of the SBITA is more than $10,000. For more information see Note 6 — Leases and Note 7 — SBITA. H. Restricted and Committed Portion of Ending Cash and Investments Beginning and Ending Cash and Investments are reported as restricted or committed when it is subject to restrictions on use imposed by external parties or due to internal commitments established by ordinance. When expenditures that meet restrictions are incurred, the City intends to use the most restricted resources first. Restrictions and commitments of Ending Cash and Investments consist of $26,726,793. Cash & Investments Purpose Amount Restricted Affordable Housing $ 232,834 Restricted 2021 Legislative Law Enforcement Funding 16,228 Restricted Law Enforcement 43,478 Restricted Vessel Registration Fees 6,674 Restricted PCB Settlement 17,984 Restricted Opoid Settlement 178,743 Restricted Public Transportation Projects 2,748,445 Restricted Criminal Justice 537,725 Restricted Law Enforcement Investigations 110,530 Restricted Tourism 600,088 Restricted Paths &Trails 20,112 Restricted Capital Projects 790,089 Restricted Capital Projects 6,743,034 Restricted Parks Projects 5,332,704 Restricted Transportation Projects 8,495,483 Restricted Anderson Hill Roundabout Project 330,890 Restricted Old Clifton/Anderson Hill Intersection Improvement Project 285,010 Restricted LTGO Bond Proceeds 234,282 Restricted SK Community Events Center Project 2,460 Total $ 26,726,793 Note 2— Budget Compliance A. Budgets 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 end of biennial period. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Biennial appropriated budgets are adopted on the same basis of accounting as used for financial reporting. The appropriated and actual expenditures for the legally adopted budgets were as follow: General Fund: Fund: 001 - Current Expense $ 50,047,366 $ 16,175,899 $ 33,871,467 Fund: 002 - City Street Fund 12,483,197 2,613,732 9,869,465 Fund: 003- Stabilization Fund 3,365,385 - 3,365,385 Total General Fund $ 65,895,948 $ 18,789,631 $ 47,106,317 Fund: 103 - Criminal Justice 1,404,126 533,598 870,528 Fund: 104 - Special Investigative Unit 106,096 - 106,096 Fund: 107 - Comunity Events 676,784 92,421 584,363 Fund: 108 - Paths & Trails 19,989 19,989 Fund: 109 - Real Estate Excise Tax 9,724,427 2,050,431 7,673,996 Fund: 111 - Impact tigation Fee 17,805,326 1,763,217 16,042,109 Fund: 206- Bond Redemption Fund 3,037,951 996,353 2,041,598 Fund: 302 - Capital Construction 5,963,472 2,356,395 3,607,077 Fund: 304- Street Capital Projects 26,017,392 2,799,059 23,218,333 Water Utility Fund: Fund: 411 -Water Operating 14,043,494 4,142,818 9,900,676 Fund: 412 - Water Stabilization 1,171,576 - 1,171,576 Fund: 413 - Water Capital 20,280,339 2,862,482 17,417,857 Fund: 414 - Water Debt Service 4,093,025 1,068,586 3,024,438 Total Water Utility Fund $ 39,588,434 $ 8,073,887 $ 31,514,547 Storm Drainage Utility Fund: Fund: 421 - Storm Drainage Utility 9,322,943 2,566,686 6,756,257 Fund: 422- Storm Drainage Stabilization 677,048 - 677,048 Fund: 423 - Storm Drainage Capital Facil 5,060,777 824,066 4,236,711 Fund: 424 - Storm Drainage Debt Service 759,120 220,641 538,479 Total Storm Drainage Utility Fund $ 15,819,888 $ 3,611,393 $ 12,208,495 Sewer Utility Fund: Fund: 431- Sewer Operating 22,333,988 6,818,385 15,515,603 Fund: 432 - Sewer Stabilization 1,703,655 - 1,703,655 Fund: 433 - Sewer Capital 28,751,309 6,068,557 22,682,752 Fund: 434 - Sewer Debt Service 3,804,509 87,557 3,716,952 Fund: 632 - Wastewater Treatment Facility Fe 9,928,819 - 9,928,819 Total Sewer Utility Fund $ 66,522,279 $ 12,974,499 $ 53,547,780 Fund: 500 - Equipment Rental and Revolving 10,149,634 2,357,027 7,792,607 Fund 109 Real Estate Excise Tax (above) is reported on the financial statements as Fund 309 Real Estate Excise Tax. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 The City adopts budgets for Fund 001 Current Expense, Fund 002 City Street Fund, and Fund 003 Stabilization Fund, these funds are not reported separately on the financial statements, but in the General Fund 001. The City adopts budgets for Fund 41.1 Water Operating, Fund 412 Water Stabilization, Fund 413 Water Capital, and Fund 414 Water Debt Service Fund, these funds are not reported separately on the financial statements, but in the Water Utility Fund 411. The City adopts budgets for Fund 421 Storm Drainage Utility, Fund 422 Storm Drainage Stabilization, Fund 423 Storm Drainage Capital Facility, and Fund 424 Storm Drainage Debt Service Fund, these funds are not reported separately on the financial statements, but in the Storm Drainage Utility Fund 421. The City adopts budgets for Fund 431 Sewer Operating, Fund 432 Sewer Stabilization, Fund 433 Sewer Capital, Fund 434 Sewer Debt Service Fund and Fund 632 Wastewater Treatment Facility Fee Fund these funds are not reported separately on the financial statements, but in the Sewer Utility Fund 431. Budgeted amounts are authorized to be transferred 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, hours, or other conditions of employment must be approved by the City's legislative body. Note 3 -Deposits and Investments Investments are reported at amortized cost. Deposits and investments by type at December 31, 2025 are as follows: Investments in the State Local Government Investment Pool (LGIP) The City is a voluntary participant in the Local Government Investment Pool, an external investment pool operated by the Washington State Treasurer. The pool is not rated and not registered with the SEC. Rather, oversight is provided by the State Finance Committee in CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 accordance with Chapter 43.250 RCW. Investments in the LGIP are reported at amortized cost, which is the same as the value of the pool per share. The LGIP does not impose any restrictions on participant withdrawals. The Office of the State Treasurer prepares a stand-alone financial report for the pool. A copy of the report is available from the Office of the State Treasurer, PO Box 40200, Olympia, Washington 98504-0200, online at www.tre.wa.gov. Investments in Kitsap County Investment Pool The City is a voluntary participant in the Kitsap County Investment Pool, an external investment pool operated by the County Treasurer. The pool is not rated or registered with the SEC. Rather, oversight is provided by the County Finance Committee in accordance with RCW 36.48.070. The City reports its investment in the pool at fair value, which is the same as the value of the pool per share. The KCIP does not impose liquidity fees or redemption gates on participant withdrawals. Custodial Credit Risk Custodial credit risk for deposits is the risk that, in event of a failure of a depository financial institution, the City would not be able to recover deposits or would not be able to recover collateral. securities that are in possession of an outside party. The City's deposits and certificates of deposit are mostly covered by federal depository insurance (FDIC) or by collateral held in a multiple financial institution collateral pool administered by the Washington Public Deposit Protection Commission (PDPC). All investments are insured, registered or held by the City or its agent in the government's name. Compensating Balances The amounts reported as cash and cash equivalents also include compensating balances maintained with certain banks in lieu of payments for services rendered. The average compensating balance maintained during 2025 was approximately $4,413,198. Note 4 - Property Tax The county treasurer acts as an agent to collect property tax levied in the county for all taxing authorities. Collections are distributed at the end of each month. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Property Tax Calendar January 1 Tax is levied and becomes an enforceable lien against the properties. February 14 Tax bills are mailed April 30 First of two equal installment payments are due May 31 Assessed value of property established for next year's levy at 100 percent of market value. October 31 Second installment is due Property tax revenues are recognized when cash is received by the City. Delinquent taxes are considered fully collectible because a lien affixes to the property after tax is levied. The City's regular levy for the year 2025 was $1.121095 per $1,000 on an assessed valuation of $3,611,661,259 for a total regular levy of $4,049,018. Washington State Constitution and Washington State law, RCW 84.55.010, limit the rate. Note 5 — Long -Term Liabilities The following table provides details of the outstanding debt of the City and summarizes the City's debt transactions for year ended December 31, 2025. The debt service requirements for general obligation bonds and intergovernmental loans are as follows: Due Date Principal Interest Amount Total Amount Amount 2026 $ 1,699,568 $ 1,433,016 $ 3,132,585 2027 1,872,612 946,453 2,819,065 2028 1,911,011 905,849 2,816,860 2029 1,945,549 863,811 2,809,361 2030 1,984,394 820,343 2,804,737 2031-2035 8,897,737 3,426,641 12,324,378 2036-2040 7,875,783 2,333,891 10,209,674 2041-2045 5,394,455 1,163,317 6,557,772 2046-2050 2,652,416 589,153 3,241,569 2051-2055 3,020,222 221,347 3,241,569 Grand Total $ 37, 253, 747 $ 12, 703, 822 $ 49, 957, 569 Compensated Absences During the year ended December 31, 2025, the following changes occurred in compensated absences: CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Beginning Additions Reductions Ending Balance Balance 12/31/2025 01/01/2025 Compensated Absences* $ 1,653,591 $ 264,953 $ 1,918,544 *additions and reductions are reported as a net The City has entered into agreements for the following loans with no activity or outstanding balances to report for Fiscal Year 2025: Maturity c ntract Payment Total Loan Nu rr r t3escraPtEu Pro ect interest Rate ?ue Crate Arrtount t1 f -2C Prd r rks 0crard ltd Cidton Rand Water System Int rtie 0,f10° 0 1 t2CJ30 i, Ord 0123-2 Cert€ficates of Participation, aeries 202 1333 Lloyd Pa ay Purchase 3 69 121112045 2,25}, Note 6 — Leases The City leases office space from Hillstrom Holdings for $3,745 per month under two lease agreements with an initial term of three years. These leases began January of 2023 and will end December of 2025. There is an option to be renewed twice for an additional three years each time ending in December of 2031. The City exercised its first renewal extension in 2025 and the lease now has a term expiration of December 2028. The City leases body cameras and tasers from Axon Enterprises for $82,200 the first year and then $73,771 each additional year thereafter under a lease agreement with a term of five years from 2025 to 2030. The total amount paid for leases in 2025 was $127,145. As of December 31, 2025, the future lease payments are as follows: Year ended December 31 Total 2026 119,615 2027 120,532 2028 121,467 2029 122,421 2030-2031 100,239 Tota 1 $ 584,274 Note 7 — Subscription Based Information Technology Arrangements (SBITA) The City made the final annual subscription payment of $8,587 in 2025 for agenda management software. The SBITA contract began in 2023 has a term for three years and includes an option to extend automatically in 12 -month terms unless either party chooses to terminate. This contract ended in 2025 and was not renewed or extended. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 The City made an annual subscription payment of $24,682 in 2025 for permitting software. The SBITA contract began in 2022 has a term for three years. In 2024, the contract was extended for another three year term and now has a term expiration date of December 31, 2028. The agreement includes an option to extend automatically in 12 -month terms unless either party chooses to terminate. The City made an annual subscription payment of $72,450 in 2025 for asset management software. The SBITA contract began in 2024 has a term for three years and ends January 31, 2027. The City entered into an agreement for Automated Meter Reading Interface software in 2024. The SBITA contract began in 2024 has an initial term for five years and there is an option to be renewed once for an additional five years ending in 2034. There was a delay in the start of project due to the timing of receiving and installing the equipment and no payments were made in 2024 and 2025. The City entered into an agreement for City Website, Agenda Management, and Public Records software in 2025. The SBITA contract began in 2025 has an initial term for two years. The agreement includes an option to extend automatically in 12 -month terms unless either party chooses to terminate. The total amount paid for leases in 2025 was $105,719. As of December 31, 2025, the future SBITA payments are as follows: Year ended December 31 Total 2026 $ 160,362 2027 94,340 2028 55,393 2029 28,928 2030 28,928 2031-2035 115,713 Total $ 483,664 Note 8— OPEB Plans The LEOFF I Retiree Medical Plan is a closed, single -employer, defined -benefit OPEB plan administered by the City as required by RCW 41.26. The plan pays for 100% of eligible retirees' healthcare costs on a pay-as-you-go basis. As of December 31, 2025, the plan had two members, all retirees. As of December 31, 2025, the City's total OPEB liability was $940,015 as calculated using the alternative measurement method. For the year ended December 31, 2025, the City paid $34,947 in benefits. Note 9 — Pension Plans A. State Sponsored Pension Plans CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Substantially all. City's full-time and qualifying part-time employees participate in the following statewide retirement systems administered by the Washington State Department of Retirement Systems (DRS), under cost -sharing, multiple -employer public employee defined benefit and defined contribution retirement plans: Public Employees' Retirement System (PERS) and Law Enforcement Officers' and Fire Fighters' Retirement System (LEOFF). The State Legislature establishes, and amends, laws pertaining to the creation and administration of all public retirement systems. The Department of Retirement Systems, a department within the primary government of the State of Washington, issues a publicly available Comprehensive Annual Financial Report (ACFR) that includes financial statements and required supplementary information for each plan. The DRS ACFR may be downloaded from the DRS website at www.drs.wa.gov. LEOFF Plan 1 The City also participates in LEOFF Plan 1. The LEOFF Plan 1 is fully funded and no further employer contributions have been required since June 2000. If the plan becomes underfunded, funding of the remaining liability will require new legislation. Starting on July 1, 2000, employers and employees contribute zero percent. LEOFF Plan 2 The City also participates in the LEOFF Plan 2. The Legislature, by means of a special funding arrangement, appropriates money from the state general fund to supplement the current service liability and fund the prior service costs of Plan 2 in accordance with the recommendations of the Pension Funding Council and the LEOFF Plan 2 Retirement Board. This special funding situation is not mandated by the state constitution and could be changed by statute. At June 30, 2025, the City's proportionate share of the collective net pension liabilities (assets) was as follows: Employer Plan Contributions Allocation % Liability (Asset) PERS 1 $ 186,351 0.033797% $ 398,465 PERS 2/3 464,430 0.043761% (1,669,997) LEOFF 1 0.006199% (196,418) LEOFF 2 152,362 0.055885% (1,082,781) Only the net pension liability is reported on the Schedule of Liabilities. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Note 10 — Risk Management The City of Port Orchard is a member of the Association of Washington Cities Risk Management Service Agency (AWC RMSA). Chapter 48.62 RCW authorizes the governing body of any one or more governmental entities to form together into or join a pool or organization for the joint purchasing of insurance, and/or joint self -insuring, and/or joint hiring or contracting for risk management services to the same extent that they may individually purchase insurance, self -insure, or hire or contract for risk management services. An agreement to form a pooling arrangement was made pursuant to the provisions of Chapter 39.34 RCW, the Interlocal Cooperation Act. The AWC RMSA was formed on January 1, 1989, when 32 municipalities in the State of Washington joined by signing an Interlocal Governmental Agreement to pool their self -insured losses and jointly purchase insurance and administrative services. As of December 31, 2025, 117 entities participate in the AWC RMSA pool. The AWC RMSA allows members to establish a program of joint insurance and provides risk management services to all members. All coverages, with the exception of pollution liability, are on an occurrence basis. The AWC RMSA provides all risk property, comprehensive crime, general liability, automobile liability, police liability, public officials' liability, employee fidelity and faithful performance, pollution liability, cyber liability, and equipment breakdown insurance coverage. Equipment breakdown, flood and earthquake is included with the property insurance carrier. Pollution and cyber liability coverages are stand-alone policies which the AWC RMSA procures for its members. The AWC RMSA allows members with airports to group purchase airport liability coverage, and members with drones to group purchase property and liability coverage. Members pay an annual assessment to the AWC RMSA. The AWC RMSA is responsible for payment of all covered causes of loss against the jurisdiction above the stated retention. All members in the AWC RMSA have $15 million in both per occurrence and aggregate liability limits. AWC RMSA is self -insured for its Self -Insured Retention (SIR) of $500,000, per occurrence.$9.5 million in excess liability coverage limits is provided through an excess liability policy purchased from National League of Cities Mutual Insurance Company (NLC MIC). The $5 million in excess liability coverage limits above the first layer of excess coverage is purchased from StarStone Specialty Insurance Company. Since AWC RMSA is a cooperative program, there is joint liability among the participating members. The property reinsurance coverage is purchased through NLC MIC and excess property coverage is purchased through a shared and layered program led by AIG Specialty Insurance Company with CHUBB in excess. In 2025, AWC RMSA carried a property Self -Insured Retention of $300,000, NLC MIC reinsures up to $3 million, the shared and layered program led by AIG Specialty Insurance Company provides excess insurance up to $50 million, and CHUBB provides the remaining limits up to a total of $250 million. All commercial policies have been purchased through the pool's Broker of Record, Aon. CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Members contract to remain in the AWC RMSA pool for a minimum of one year and must give a one-year notice before terminating participation. Even after termination, a member is still responsible for contributions to the Pool for any unresolved, unreported, and in -process claims for the period they were signatory to the Interlocal Governmental Agreement. The AWC RMSA establishes a loss fund for both reported and unreported insured events, which includes estimates of both future payments of losses and related claim adjustment expenses. In accordance with WAC 200.100.02023, the AWC RMSA is governed by a Board of Directors, which is comprised of elected officials of participating members. Note 11. Joint Ventures 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. In. April of 2014 the City and District signed an interlocal agreement for the management and operation of the joint wastewater treatment facility for an additional term of 25 years. This joint venture establishes a Sewer Advisory Committee (SAC) consisting of three representatives from each entity who prepare and monitor the Facility's budget. The District and the City share 50% ownership in the facility's total assets. 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 to cover maintenance, operation, capital improvements and debt monthly. The 2025 cost sharing was 49.81% City and 50.19% District and in 2025 the City paid $2,027,862. Note 12. Significant Commitments or Obligations 580 Zone Reservoir (Water CFC Reimbursement): At the year-end the City had a commitment for a development agreement C003-07 Amendment 1, adopted in 2019 with McCormick Communities, LLC. The agreement allows for reimbursement for construction of the 580 Zone Reservoir for a total of $2,789,915. The reimbursement is paid from the Water Capital Facility Fees collected by the City from development within the Western Service Area pursuant to the reimbursement agreement. The reimbursement amount is set and fixed at $1,000 per applicable connection of Water Capital Facility Charge Fees collected in the area by the City. In 2025, the City paid $189,000. As of December 31, 2025; the amount outstanding is $2,069,915. Note: The reimbursement amount is fixed at $1,000. Glenwood Connector Roadway(Transportation Impact Fee Reimbursement): At the year- end the City had a commitment for a development agreement C035-21 with McCormick Land Company. The agreement allows for a reimbursement for construction of the Glenwood Connector CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Roadway and the Old Clifton/Feigley intersection for a total of $2,200,296. The reimbursement is paid from the Transportation Impact Fees collected by the City from development within the McCormick Urban Village pursuant to the development agreement. Per the agreement reimbursement rate shall be increased annually by CPI -U (Seattle/Tacoma/Bellevue) for the most recent twelve-month period (January 1st to December 31st) prior to the date of the adjustment. Such adjustment shall take effect on March 1st each year, commencing on March 1, 2021. For 2021 the reimbursement amount was established at $720.80 and is adjusted on March 1, each year by CPI -U factor. From March 1, 2025, thru Feb 28,2026, the value for reimbursement was $916.98. In 2025, the City paid $158,015. As of December 31, 2025, the amount outstanding is $828,475. Note: The reimbursement amount is annually adjusted per CPI -U effective March 1 each year. Old Clifton Road/Campus Parkway Roundabout (Transportation Impact Fee Credit): At the year-end the City had a commitment for a development agreement C035-21 with McCormick Communities, LLC. The agreement allows for a credit for construction of the Old Clifton Rd/Campus Pkwy Roundabout Transportation Impact Fee (TIF) Study 1.5C and McCormick Woods Drive Intersection TIF 2.08 and for a total up to $3.2 million or $1,600,000 for each project. The total credit amount will be established upon project acceptance and final certified cost if less than the total $3.2 million. The City established the maximum credit for the Old Clifton Road/Campus Parkway Roundabout with Resolution 002-23 on February 28, 2023. The maximum credit was established pursuant to the agreement by adjusting the engineer's estimate of $1.6 million by CPI -U of 1.7% on March 1, 2021, and an additional CPI -U increase of 4.6% on March 1, 2022, for a total maximum credit value of $1,702,051. The credit is given at the time Transportation Impact Fees are collected by the City from development. Per the agreement reimbursement rate shall be increased annually by CPI -U (Seattle/Tacoma/Bellevue) for the most recent twelve-month period (January 1st to December 31st) prior to the date of the adjustment. Such adjustment shall take effect on March 1st each year. The Transportation Fee credit amount was established at $1,000 as of February 2021 and is adjusted on March 1, each year by CPI -U factor. From March 1, 2025, thru Feb 28,2026 the value for credit was $1,272.16. In 2025, the City provided a total credit amount of $219,221. As of December 31, 2025, the amount of credit available is $769,869. Note: The credit amount is annually adjusted per CPI -U effective March 1 each year. The Old Clifton Road/McCormick Woods Drive Intersection Improvement has not yet been constructed and therefore credit for this project has not yet been approved. Sidney Road Apartments (Park Impact Fee Credit): At the year-end the City had a commitment for a development agreement C076-21 with Sidney Road (Haven) Apartments, LLC. The agreement allows for the developer to receive a park impact fee credit for the Ruby Creek Regional CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 Park (PK4) up to a total of $126,144 or certified costs if less than the identified max, if the Developer transfers the Planned Park Property to the City. The credit is given at the time park impact fees are collected by the City from the development if the Park property is deeded over to the City. As of December 31, 2025, no credit has been provided. McCormick Communities, LLC (Water CFC Credit): As of March 14, 2022, the City had a commitment for a development agreement C048-22 with McCormick Communities, LLC. The agreement allows for a max credit amount of $11,840,625 for certified construction cost if less than the max for the following five Water Capital Improvement Projects: 1. CIP No. 09 Well 12 Development, Treatment, and Booster Pump Station ($7 mil) 2. CIP No. 13 390 to 580 Zone Booster Station 2nd Lift (Glenwood) ($725,000) 3. CIP No. 14 390 to 580 Zone Transmission Main (to Glenwood PS) ($515,624) 4. CIP No. 15 580 to 660 Zone Booster Station ($750,000) 5. CIP No. 16 660 Zone Storage ($2,850,000) The total credit amount will be established upon project acceptance and final certified cost if less than the total $11,840,625. The credit is given at the time water capital facility fees are collected by the City from the builders. The water capital facility fee credit amount was established at $5,920 and is adjusted on March 1, each year by CPI -U factor. From October 1, 2025, thru September 30, 2026, the fee is $7,267.88. In 2025, the City provided credit in the amount of $1,118,900 against CIP No.16 660 Zone Storage of $2,850,000 and CIP No.15 580 to 660 Zone Booster Station $750,00 leaving a total credit balance for these two projects of $794,211. Note: The credit amount is annually adjusted per CPI -U effective October 1 each year per POMC 13.04.065 McCormick Communities, LLC (Park Impact Fee Credit): As of September 26, 2022, the City had a commitment for a development agreement C1.10-22 with McCormick Communities, LLC for park improvements as identified below. The agreement allows for a max credit amount of $5,320,285, to be limited to the total park impact fees due on the Project, the estimated cost for the Park Improvements Projects or the actual costs incurred by McCormick (determined by the final certified construction cost) whatever amount is less. 1. Prior McCormick Payment C002-10 ($643,743) -Completed 2. McCormick Village Park Phase 3 ($1,250,000) 3. St. Andrew's Multi -Modal Trail (in McCormick Woods) ($979,012) 4. McCormick West Multi -Modal Trail Phase 1 ($1,468,518) 5. McCormick West Multi -Modal Trail Phase 2 ($979,012) CITY OF PORT ORCHARD Notes to Financial Statements For the Year Ended December 31, 2025 The City provided a credit amount of $643,743 to reflect the prior payment and contract with McCormick Communities for Project No. 1 above. The full credit for this project was provided in 2024. There is no more credit available for Project No. 1 identified above. The City provided a credit amount of $1,468,518 for Project No. 4- McCormick West Multi -Modal Trail Phase 1. In 2025, the City provided credit in the amount of $347,384 leaving a total credit balance remaining of $991,797 for Project No.4. Note: The maximum park impact fee credit per dwelling unit is fixed at $2,008 and will not be adjusted per the agreement. Blueberry Apartments (Transportation Impact Fee Credit): As of June 27, 2023, the City had a commitment for a development agreement C039-23 with Blueberry Apartments QOZB LLC. The agreement allows for a credit for dedication of certain property necessary for the City to construction a portion of Bethel Phase 1 of the Bethel/Sedgwick Corridor Ph. l (TIF) Study 2.04A. The credit shall be limited to the lessor of the total transportation impact fees due on the project (currently estimated at $245,246) or the value of the Transportation improvement project property dedication. The credit is given at the time Transportation Impact Fees are charged by the City for this development. In 2024 the City provided a credit amount of $33,773 for the dedication of right of way. The City does not expect to provide any additional credit related to this contract. Note 13. Continiencies & Liabilities Blake Decision. In February 2021, the Washington State Supreme Court issued an opinion in State of Washington v. Blake, declaring that RCW 69.50.4013, Washington's simple possession of a controlled substance statute violates the due process clause of the state and federal constitution. Individuals convicted under that statute beginning in 1971 may be eligible to have their convictions vacated and/or be resentenced. All penalties, fines and restitution (Legal Financial Obligations "LFO") imposed in connection with simple possess convictions must be refunded. At this time the City does not have the information necessary to make an estimate of any potential liability. It is the City's position that this liability is the responsibility of the State. The State has thus far provided funding sufficient for the City to process vacations and refund LFOs. City of Port Orchard Schedule 01 For the year ended December 31, 2025 0455 001 General 3111000 Property Tax $2,620,724 0455 001 General 3164100 Business and $1,198,605 Occupation Taxes on Utilities 0455 001 General 3611100 Investment Earnings $806,399 0455 001 General 3458300 Plan Checking Services $675,426 0455 001 General 3164400 Business and Occupation Taxes on Utilities $398,646 0455 001 General 3164500 Business and Occupation Taxes on Utilities $277,908 0455 001 General 3164800 Business and $161,905 Occupation Taxes on Utilities 0455 001 General 3625000 Rents and Leases $143,580 0455 001 General 3360695 Liquor Control Board $136,432 Profits 0455 001 General 3360694 Liquor/Beer Excise Tax $118,970 0455 001 General 3164600 Business and $105,566 Occupation Taxes on Utilities 0455 001 General 3360642 Marijuana Excise Tax $86,802 Distribution 0455 001 General 3172000 Leasehold Excise Tax $71,823 0455 001 General 3671100 Contributions and $58,780 Donations from Nongovernmental Sources 0455 001 General 3458100 Zoning and Subdivision $54,969 Services 0455 001 General 3540000 Civil Parking Infraction $50,006 Penalties 0455 001 General 3340110 State Award from $43,478 Criminal Justice Training Commission 0455 001 General 3694000 Judgments and $28,072 Settlements 0455 001 General 3370000 Local Awards, $24,685 Entitlements, Tribal Government Distributions, and Other Payments 0455 001 General 3614000 Other Interest $24,331 0455 001 General 3699100 Miscellaneous Other $19,523 Operating 0455 001 General 3458901 Other Planning and $18,000 Development Services 0455 001 General 3340120 State Award from Other $14,665 Judicial Agencies 0455 001 General 3340350 State Award from Traffic $13,455 Safety Commission 0455 001 General 3458900 Other Planning and $11,750 Development Services 0455 001 General 3221001 Buildings, Structures $10,000 and Equipment 0455 001 General 3424000 Protective Inspection $7,500 Services 0455 001 General 3360084 Vessel Registration Fees $6,674 0455 001 General 3340230 State Award from $6,372 Department Natural Resources 0455 001 General 3425000 Disaster Preparation $5,549 Services 0455 001 General 3168300 Gambling Tax - $4,904 Amusement Games 0455 001 General 3569000 Other Criminal Non- $4,554 Traffic Fines 0455 001 General 3552003 Driving Under Influence $4,050 (DUI) Fines 0455 001 General 3614001 Other Interest $3,466 0455 001 General 3229000 Other Non -Business $3,099 Licenses and Permits 0455 001 General 3573300 Public Defense Cost $2,644 0455 001 General 3624000 Rents and Leases $1,763 0455 001 General 3418100 Data/Word Processing, $1,429 Printing, Duplicating and IT Services 0455 001 General 3217000 Amusements $1,300 0455 001 General 3223000 Animal Licenses $914 0455 001 General 3213000 Police and Protective $875 0455 001 General 3691000 Sale of Surplus $644 0455 001 General 3565000 Investigative Fund $526 Assessments 0455 001 General 3624100 Rents and Leases $400 0455 001 General 3371000 Local Awards, $229 Entitlements, Tribal Government Distributions, and Other Payments 0455 001 General 3523000 Proof of Motor Vehicle $172 Insurance 0455 001 General 3419500 Legal Services $163 0455 001 General 3181100 Admissions Tax $111 0455 001 General 3216000 Professional and $70 Occupations 0455 001 General 3416200 Word Processing, $56 Printing and Duplicating Services - Municipal/District Court 0455 001 General 3625100 Rents and Leases $38 0455 001 General 3698100 Cash Adjustments ($1) 0455 001 General 3111000 Property Tax $1,411,159 0455 001 General 3132100 Public Transportation $915,910 Systems Sales and Use Tax 0455 001 General 3176000 Transportation Benefit $266,953 District Vehicle Fees 0455 001 General 3611100 Investment Earnings $194,914 0455 001 General 3360071 Multimodal $23,402 Transportation - Cities 0455 001 General 3625000 Rents and Leases $11,890 0455 001 General 3224000 Street and Curb Permits $9,470 0455 001 General 3671100 Contributions and $1,850 Donations from Nongovernmental Sources 0455 001 General 3441000 Roads/Streets $697 Maintenance/Repair/Con struction Services 0455 001 General 3691000 Sale of Surplus $599 0455 001 General 3611100 Investment Earnings $140,835 0455 103 Criminal Justice 3360626 Criminal Justice - Special $25,802 Programs 0455 103 Criminal Justice 3611100 Investment Earnings $24,488 0455 103 Criminal Justice 3360621 Criminal Justice - Violent $7,372 Crimes/Population 0455 104 Special Investigative Unit 3611100 0455 107 Community Events 3133100 0455 107 Community Events 3611100 0455 108 Paths & Trails 3360087 0455 108 Paths & Trails 3611100 Investment Earnings $4,434 Investment Earnings $23,645 Investment Earnings $814 0455 309 Real Estate Excise Tax 3183500 REET 2 - Second $984,951 Quarter Percent 0455 309 Real Estate Excise Tax 3611100 Investment Earnings $300,036 0455 111 Impact Mitigation Fee 3458500 Growth Management Act $2,158,838 (GMA) Impact Fees 0455 111 Impact Mitigation Fee 3611100 Investment Earnings $548,624 0455 111 Impact Mitigation Fee 3458900 Other Planning and $190,297 Development Services 0455 206 Bond Redemption Fund 3611100 Investment Earnings $22,718 0455 302 Capital Construction 3370000 Local Awards, $236,200 Entitlements, Tribal Government Distributions, and Other Payments 0455 302 Capital Construction 3611100 Investment Earnings $44,187 0455 304 Street Capital Projects 3340360 State Award from Department of Transportation $312,543 0455 304 Street Capital Projects 3611100 Investment Earnings $44,406 0455 411 Water Utility 3434000 Water Sales and $835,770 Services 0455 411 Water Utility 3434200 Water Sales and $147,941 Services 0455 411 Water Utility 3611100 Investment Earnings $114,810 0455 411 Water Utility 3620000 Rents and Leases $84,437 0455 411 Water Utility 3434000 Water Sales and $58,070 Services 0455 411 Water Utility 3590000 Non -Court Fines and $30,410 Penalties 0455 411 Water Utility 3691000 Sale of Surplus $6,531 0455 411 Water Utility 3458300 Plan Checking Services $2,949 0455 411 Water Utility 3699100 Miscellaneous Other $301 Operating 0455 411 Water Utility 3611100 Investment Earnings $51,384 0455 411 Water Utility 3434000 Water Sales and $4,038,557 Services 0455 411 Water Utility 3611100 Investment Earnings $472,608 0455 411 Water Utility 3611100 Investment Earnings $56,359 0455 421 Storm Drainage Utility 3431000 Storm Drainage Sales $1,771,592 and Services 0455 421 Storm Drainage Utility 3431000 Storm Drainage Sales $1,449,008 and Services 0455 421 Storm Drainage Utility 3611100 Investment Earnings $110,844 0455 421 Storm Drainage Utility 3340310 State Award from $107,596 Department of Ecology 0455 421 Storm Drainage Utility 3221000 Buildings, Structures $26,850 and Equipment 0455 421 Storm Drainage Utility 3340312 State Award from $22,404 Department of Ecology 0455 421 Storm Drainage Utility 3590000 Non -Court Fines and $17,510 Penalties 0455 421 Storm Drainage Utility 3458900 Other Planning and $11,760 Development Services 0455 421 Storm Drainage Utility 3671100 Contributions and $3,084 Donations from Nongovernmental Sources 0455 421 Storm Drainage Utility 3699100 Miscellaneous Other $156 Operating 0455 421 Storm Drainage Utility 3691000 Sale of Surplus $32 0455 421 Storm Drainage Utility 3611100 Investment Earnings $26,413 0455 421 Storm Drainage Utility 3611100 Investment Earnings $46,254 0455 421 Storm Drainage Utility 3611100 Investment Earnings $25 0455 431 Sewer Utility 3435000 Sewer/Reclaimed Water $5,764,462 Sales and Services 0455 431 ! Sewer Utility 3435000 Sewer/Reclaimed Water $1,058,355 Sales and Services 0455 431 Sewer Utility 3611100 Investment Earnings $362,644 0455 431 Sewer Utility 3435000 Sewer/Reclaimed Water $23,790 Sales and Services 0455 431 Sewer Utility 3590000 Non -Court Fines and $12,358 Penalties 0455 431 Sewer Utility 3671100 Contributions and $4,318 Donations from Nongovernmental Sources 0455 431 Sewer Utility 3458300 Plan Checking Services $3,389 0455 431 Sewer Utility 3458900 Other Planning and $600 Development Services 0455 431 Sewer Utility 3691000 Sale of Surplus $206 0455 431 Sewer Utility 3699100 Miscellaneous Other $168 Operating 0455 431 Sewer Utility 3611100 Investment Earnings $74,721 0455 431 Sewer Utility 3435000 Sewer/Reclaimed Water $4,362,176 Sales and Services 0455 431 Sewer Utility 3611100 Investment Earnings $487,576 0455 431 Sewer Utility 3370000 Local Awards, $319,489 Entitlements, Tribal Government Distributions, and Other Payments 0455 431 Sewer Utility 3611100 Investment Earnings $66,966 0455 500 Equipment Rental and 3480000 Internal Service Funds $312,484 Revolving Sales and Services 0455 500 Equipment Rental and Revolving 0455 500 Equipment Rental and Revolving 0455 500 Equipment Rental and Revolving 3611100 Investment Earnings $230,117 3480000 Internal Service Funds $124,632 Sales and Services 3480000 Internal Service Funds $111,136 Sales and Services 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving 0455 500 Equipment Rental and 3480000 Revolving Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services Internal Service Funds Sales and Services $78,727 $50,991 $43,300 $32,600 $23,098 $9,500 $6,167 0455 500 Equipment Rental and 3670000 Contributions and $4,686 Revolving Donations from Nongovernmental Sources 0455 500 Equipment Rental and 3480000 Internal Service Funds ($4,137) Revolving Sales and Services 0455 431 Sewer Utility 3435000 Sewer/Reclaimed Water $1,766,305 Sales and Services 0455 431 Sewer Utility 3611100 Investment Earnings $374,148 0455 001 General 3084100 Committed Cash and $30,094 Investments - Beginning 0455 001 General 3089100 Unassigned Cash and $18,066,427 Investments - Beginning 0455 001 General 3083100 Restricted Cash and $180,966 Investments - Beginning 0455 001 General 3083101 Restricted Cash and $25,967 Investments - Beginning 0455 001 General 3083101 Restricted Cash and $150,671 Investments - Beginning 0455 001 General 3083101 Restricted Cash and $17,984 Investments - Beginning 0455 001 ! General 3083101 Restricted Cash and $1,745,390 Investments - Beginning 0455 001 General 3085100 Assigned Cash and $2,702,972 Investments - Beginning 0455 001 General 3089100 Unassigned Cash and $3,235,385 Investments - Beginning 0455 103 Criminal Justice 3083100 Restricted Cash and $576,826 Investments - Beginning 0455 104 Special Investigative Unit 3085100 Assigned Cash and $91,806 Investments - Beginning 0455 104 Special Investigative Unit 3083100 Restricted Cash and $14,290 Investments - Beginning 0455 107 Community Events 3083100 Restricted Cash and $472,384 Investments - Beginning 0455 108 Paths & Trails 3083100 Restricted Cash and $17,989 Investments - Beginning 0455 309 Real Estate Excise Tax 3083100 Restricted Cash and $6,523,527 Investments - Beginning 0455 111 Impact Mitigation Fee 3083100 Restricted Cash and $3,916,725 Investments - Beginning 0455 111 Impact Mitigation Fee 3083100 Restricted Cash and $6,847,926 Investments - Beginning 0455 111 Impact Mitigation Fee 3083100 Restricted Cash and $363,891 Investments - Beginning 0455 206 Bond Redemption Fund 3083100 Restricted Cash and $517,371 Investments - Beginning 0455 302 Capital Construction 3083100 Restricted Cash and $1,264,404 Investments - Beginning 0455 302 Capital Construction 3085100 Assigned Cash and $303,572 Investments - Beginning 0455 304 Street Capital Projects 3083100 Restricted Cash and $41,309 Investments - Beginning 0455 304 Street Capital Projects 3085100 Assigned Cash and $910,803 Investments - Beginning 0455 411 Water Utility 3085100 Assigned Cash and $2,754,462 Investments - Beginning 0455 411 Water Utility 3085100 Assigned Cash and $1,171,576 Investments - Beginning 0455 411 Water Utility 3085100 Assigned Cash and $8,436,823 Investments - Beginning 0455 411 Water Utility 3085100 Assigned Cash and $1,285,005 Investments - Beginning 0455 421 Storm Drainage Utility 3085100 Assigned Cash and ` $2,328,243 Investments - Beginning 0455 421 Storm Drainage Utility 3085100 Assigned Cash and $602,048 Investments - Beginning 0455 421 Storm Drainage Utility 3085100 Assigned Cash and $942,392 Investments - Beginning 0455 431 Sewer Utility 3085100 Assigned Cash and $8,754,383 Investments - Beginning 0455 431 Sewer Utility 3085100 Assigned Cash and $1,703,655 Investments - Beginning 0455 431 Sewer Utility 3085100 Assigned Cash and $10,194,669 Investments - Beginning 0455 431 Sewer Utility 3085100 Assigned Cash and $1,526,829 Investments - Beginning 0455 500 Equipment Rental and 3085100 Assigned Cash and $5,488,629 Revolving Investments - Beginning 0455 631 Trust and Agency 3083100 Restricted Cash and $188 Investments - Beginning 0455 431 Sewer Utility 3085100 Assigned Cash and $7,928,631 Investments - Beginning 0455 001 General 5113010 Official Publication $90,172 Services 0455 001 General 5593030 Property Development $16 0455 001 General 5113020 Official Publication $29,049 Services 0455 001 General 5213030 Crime Prevention $117 0455 001 General 5143030 Recording Services $170 0455 001 General 5256030 Disaster Preparedness $174 0455 001 General 5116010 Legislative Activities $95,747 0455 001 General 5131030 Executive Office $294 0455 001 General 5179140 Other Employee Benefit $398 Programs 0455 001 General 5181030 Personnel Services $416 0455 001 General 5116020 Legislative Activities $12,572 0455 001 General 5725030 Facilities $685 0455 001 General 5217030 Traffic Policing $808 0455 001 General 5246030 Enforcement of Codes $1,171 and Regulation 0455 001 General 5586030 Planning $1,199 0455 001 General 5182030 Property Management $1,595 Services 0455 001 General 5116030 Legislative Activities $1,665 0455 001 General 5142330 Financial Services $1,746 0455 001 General 5125110 Municipal Court $365,384 0455 001 General 5125130 Municipal Court $4,046 0455 001 General 5125120 Municipal Court $119,849 0455 001 General 5660040 Chemical Dependency $5,235 Services 0455 001 General 5212130 Police Operations $5,311 0455 001 General 5131010 Executive Office $139,812 0455 001 General 5585030 Building Permits and $7,485 Plan Reviews 0455 001 General 5739040 Other Cultural and $7,766 Community Events 0455 001 General 5215040 Facilities $22,929 0455 001 General 5131020 Executive Office $44,175 0455 001 General 5217030 Traffic Policing $8,533 0455 001 General 5142310 Financial Services $321,685 0455 001 General 5211030 Administration $10,251 0455 001 General 5212330 Police Operations $11,136 0455 001 General 5212540 Police Operations $11,240 0455 001 General 5142320 Financial Services $95,488 0455 001 General 5143010 Recording Services $99,625 0455 001 General 5214030 Training $14,111 0455 001 General 5212230 Police Operations $14,219 0455 001 General 5217040 Traffic Policing $15,046 0455 001 General 5593040 Property Development $15,165 0455 001 General 5143020 Recording Services $30,855 0455 001 General 5181010 Personnel Services $153,974 0455 001 General 5218040 Property and Evidence $21,283 Room 0455 001 General 5183030 Maintenance/Security/In $22,762 surance/Janitorial Services 0455 001 General 5213040 Crime Prevention $24,171 0455 001 General 5181020 Personnel Services $41,130 0455 001 General 5251040 Administration $29,331 0455 001 General 5116040 Legislative Activities $29,605 0455 001 General 5587040 Economic Development $30,000 0455 001 General 5182010 Property Management $125,969 Services 0455 001 General 5217040 Traffic Policing $32,080 0455 001 General 5131040 Executive Office $33,455 0455 001 General 5182020 Property Management $41,692 Services 0455 001 General 5725040 Facilities $36,073 0455 001 General 5143040 Recording Services $36,930 0455 001 General 5125140 Municipal Court $37,195 0455 001 General 5181040 Personnel Services $38,923 0455 001 General 5212340 Police Operations $39,166 0455 001 General 5183020 Maintenance/Security/In $89,047 surance/Janitorial Services 0455 001 General 5188820 Information Technology $49,039 Services 0455 001 General 5212140 Police Operations $44,344 0455 001 General 5246040 Enforcement of Codes $47,803 and Regulation 0455 001 General 5211010 Administration $845,924 0455 001 General 5117040 Lobbying Activities $48,279 0455 001 General 5211020 Administration $292,732 0455 001 General 5212110 Police Operations $379,264 0455 001 General 5768030 General Parks $55,019 0455 001 General 5543040 Animal Control $58,346 0455 001 ! General 5620040 Public Health Services $58,437 0455 001 General 5755040 Multipurpose and $59,604 Community Centers 0455 001 General 5212120 Police Operations $149,686 0455 001 General 5142340 Financial Services $64,319 0455 001 General 5182040 Property Management $68,164 Services 0455 001 General 5214040 Training $71,120 0455 001 General 5212210 Police Operations $1,738,775 0455 001 General 5149040 Voters Registration $83,343 Services 0455 001 General 5212220 Police Operations $654,355 0455 001 General 5212310 Police Operations $20,551 0455 001 General 5212510 Police Operations $132,927 0455 001 General 5212520 Police Operations $41,025 0455 001 General 5213010 Crime Prevention $87,399 0455 001 General 5213020 Crime Prevention $34,343 0455 001 General 5214010 Training $461 0455 001 General 5217010 Traffic Policing $93,533 0455 001 General 5217010 Traffic Policing $243,989 0455 001 General 5217020 Traffic Policing $19,911 0455 001 General 5586040 Planning $129,551 0455 001 General 5217020 Traffic Policing $64,638 0455 001 General 5218010 Property and Evidence $51,174 Room 0455 001 General 5232020 0455 001 General 5188840 0455 001 General 5246010 Monitoring of Prisoners ($1,949) Information Technology $183,429 Services Enforcement of Codes $153,268 and Regulation 0455 001 General 5585010 Building Permits and $1,103,774 Plan Reviews 0455 001 General 5154140 External Legal Services - $267,432 Advice 0455 001 General 5586010 Planning $256,558 0455 001 General 5768040 General Parks $305,417 0455 001 General 5586020 Planning $76,468 0455 001 General 5183040 Maintenance/Security/In $316,701 surance/Janitorial Services 0455 001 General 5593010 Property Development $18,217 0455 001 General 5593020 Property Development $6,322 0455 001 General 5236040 Care and Custody of $378,722 Prisoners 0455 001 General 5211040 Administration $380,617 0455 001 General 5739020 Other Cultural and $4,612 Community Events 0455 001 General 5212240 Police Operations $442,184 0455 001 General 5585040 Building Permits and $554,495 Plan Reviews 0455 001 General 5755020 Multipurpose and $92 Community Centers 0455 001 General 5768010 General Parks $365,291 0455 001 General 5768020 General Parks $110,761 0455 001 General 5426330 Street Lighting $10 0455 001 General 5423010 Roadway $97,607 0455 001 General 5431030 Management $210 0455 001 General 5423020 Roadway $42,074 0455 001 General 5426140 Sidewalks $335 0455 001 General 5425010 Structures $301 0455 001 General 5425020 Structures $93 0455 001 General 5426530 Parking Facilities $931 0455 001 General 5426110 Sidewalks $7,593 0455 001 General 5426120 Sidewalks $3,099 0455 001 General 5433140 General Services $1,494 0455 001 General 5435030 Facilities $1,543 0455 001 General 5426310 Street Lighting $1,304 0455 001 General 5426230 Special Purpose Paths $2,075 0455 001 General 5426240 Special Purpose Paths $2,479 0455 001 General 5426320 Street Lighting $443 0455 001 General 5426410 Traffic Control Devices $108,400 0455 001 General 5426130 Sidewalks $3,432 0455 001 General 5427030 Roadside $4,604 0455 001 General 5426420 Traffic Control Devices $33,803 0455 001 General 5426510 Parking Facilities $3,070 0455 001 General 5426520 Parking Facilities $1,212 0455 001 General 5435040 Facilities $12,930 0455 001 General 5433030 General Services $15,200 0455 001 General 5426610 Snow and Ice Control $47,697 0455 001 General 5423030 Roadway $20,217 0455 001 General 5425040 Structures $20,435 0455 001 General 5431040 Management $21,727 0455 001 General 5426630 Snow and Ice Control $31,421 0455 001 General 5426620 Snow and Ice Control $18,297 0455 001 General 5427010 Roadside $108,548 0455 001 General 5427020 Roadside $38,921 0455 001 General 5428010 Ancillary Operations $11,095 0455 001 General 5426430 Traffic Control Devices $51,367 0455 001 General 5428020 Ancillary Operations $4,774 0455 001 General 5427040 Roadside $60,711 0455 001 General 5426440 Traffic Control Devices $85,082 0455 001 General 5431010 Management $162,766 0455 001 General 5431020 Management $52,706 0455 001 General 5433010 General Services $509,603 0455 001 General 5433020 General Services $171,750 0455 001 General 5426340 Street Lighting $211,432 0455 001 General 5433040 General Services $276,439 0455 001 General 5423040 Roadway $356,495 0455 103 Criminal Justice 5211030 Administration $6,569 0455 103 Criminal Justice 5212210 Police Operations $110,365 0455 103 Criminal Justice 5211040 Administration $22,039 0455 103 ' Criminal Justice 5212220 Police Operations $21,347 0455 103 Criminal Justice 5212240 Police Operations $291,078 0455 107 Community Events 5573010 Tourism $1,459 0455 107 Community Events 5573020 Tourism $499 0455 107 Community Events 5573040 Tourism $90,463 0455 111 Impact Mitigation Fee 5449040 Operations Administration and Overhead $158,016 0455 411 Water Utility 5344030 Water Utilities $1,581 0455 411 Water Utility 5344040 Water Utilities $23,740 0455 411 Water Utility 5341030 Water Utilities $29,981 0455 411 Water Utility 5343030 Water Utilities $38,352 0455 411 Water Utility 5342040 Water Utilities $73,645 0455 411 Water Utility 5342030 Water Utilities $216,614 0455 411 Water Utility 5343040 Water Utilities $229,056 0455 411 Water Utility 5341010 Water Utilities $1,109,369 0455 411 Water Utility 5341020 Water Utilities $420,697 0455 411 Water Utility 5341040 Water Utilities $1,107,509 0455 411 Water Utility 5341040 Water Utilities $70,772 0455 411 Water Utility 5341040 Water Utilities $189,000 0455 421 Storm Drainage Utility 5311030 Storm Drainage Utilities $21,635 0455 421 Storm Drainage Utility 5310030 Storm Drainage Utilities $43,393 0455 421 Storm Drainage Utility 5310040 Storm Drainage Utilities $100,087 0455 421 Storm Drainage Utility 5311010 Storm Drainage Utilities $636,125 0455 421 Storm Drainage Utility 5311020 Storm Drainage Utilities $236,420 0455 421 Storm Drainage Utility 5311040 Storm Drainage Utilities $956,700 0455 421 Storm Drainage Utility 5311040 Storm Drainage Utilities $31,797 0455 431 Sewer Utility 5353030 Sewer/Reclaimed Water $44,971 Utilities 0455 431 Sewer Utility 5353040 Sewer/Reclaimed Water $133,147 Utilities 0455 431 Sewer Utility 5351010 Sewer/Reclaimed Water $936,135 Utilities 0455 431 Sewer Utility 5351020 Sewer/Reclaimed Water $325,970 Utilities 0455 431 Sewer Utility 5352040 0455 500 Equipment Rental and 5485040 Revolving 0455 500 Equipment Rental and 5487040 Revolving 0455 500 Equipment Rental and 5483040 Revolving 0455 500 Equipment Rental and 5483010 Revolving 0455 500 Equipment Rental and 5483030 Revolving 0455 500 Equipment Rental and 5487030 Revolving 0455 500 Equipment Rental and 5483020 Revolving 0455 001 General 5083100 0455 001 General 5083100 0455 001 General 5083100 0455 001 General 5089100 0455 001 General 5085100 0455 001 General 5089100 0455 103 Criminal Justice 5083100 0455 104 Special Investigative Unit 5083100 0455 104 Special Investigative Unit 5083100 Sewer/Reclaimed Water $2,066,866 Utilities Sewer/Reclaimed Water $78,770 Utilities Fuel Depots $3,799 Mechanical Shops $93,528 Mechanical Shops $312,668 Mechanical Shops $119,950 Mechanical Shops $113,252 Restricted Cash and $59,707 Investments - Ending Restricted Cash and $178,743 Investments - Ending Restricted Cash and $17,984 Investments - Ending Restricted Cash and $6,674 Investments - Ending Unassigned Cash and $19,612,616 Investments - Ending Restricted Cash and $2,748,445 Investments - Ending Assigned Cash and $3,404,902 Investments - Ending Unassigned Cash and $3,506,220 Investments - Ending Restricted Cash and $537,725 Investments - Ending Restricted Cash and $14,886 Investments - Ending Restricted Cash and $95,644 Investments - Ending 0455 108 Paths & Trails 5083100 0455 309 Real Estate Excise Tax 5083100 0455 111 Impact Mitigation Fee 5083100 0455 111 Impact Mitigation Fee 5083100 0455 206 Bond Redemption Fund 5083100 0455 302 Capital Construction 5083100 0455 302 Capital Construction 5083100 0455 304 Street Capital Projects 5085100 0455 411 Water Utility 5085100 0455 411 Water Utility 5085100 0455 421 Storm Drainage Utility 5085100 0455 421 Storm Drainage Utility 5085100 0455 421 Storm Drainage Utility 5085100 Restricted Cash and $20,112 Investments - Ending Restricted Cash and $6,743,034 Investments - Ending Restricted Cash and $5,332,704 Investments - Ending Restricted Cash and $8,495,483 Investments - Ending Restricted Cash and $285,010 Investments - Ending Restricted Cash and $330,890 Investments - Ending Restricted Cash and $790,089 Investments - Ending Restricted Cash and $234,282 Investments - Ending Restricted Cash and $2,460 Investments - Ending Assigned Cash and $104,034 Investments - Ending Assigned Cash and $811,441 Investments - Ending Assigned Cash and $3,542,208 Investments - Ending Assigned Cash and $1,222,960 Investments - Ending Assigned Cash and $13,032,094 Investments - Ending Assigned Cash and $1,341,364 Investments - Ending Assigned Cash and $3,338,057 Investments - Ending Assigned Cash and $703,461 Investments - Ending Assigned Cash and < $1,239,129 Investments - Ending Assigned Cash and $222,824 Investments - Ending 0455 431 Sewer Utility 5085100 Assigned Cash and $1,778,376 Investments - Ending 0455 431 Sewer Utility 5085100 Assigned Cash and $13,371,941 Investments - Ending 0455 431 Sewer Utility 5085100 Assigned Cash and $1,593,794 Investments - Ending 0455 631 Trust and Agency 5083100 Restricted Cash and $63 Investments - Ending 0455 001 General 3821000 Refundable Deposits $22,125 0455 001 General 3899000 Holding and Clearing $5,556 Account Transactions 0455 001 General 3899000 Holding and Clearing ($777) Account Transactions 0455 206 Bond Redemption Fund 3970000 Transfers -In $1,246,353 0455 302 Capital Construction 3970000 Transfers -In $718,289 0455 304 Street Capital Projects 3970000 Transfers -In $1,532,456 0455 411 Water Utility 3981000 Insurance Recoveries $8,931 (Cash Basis) 0455 411 Water Utility 3821000 Refundable Deposits ($1,200) 0455 431 Sewer Utility 3899000 Holding and Clearing Account Transactions ($5,794) 0455 500 Equipment Rental and 3951000 Proceeds from Sales of $91,143 Revolving Capital Assets (Cash Basis Only) 0455 500 Equipment Rental and 3981000 Insurance Recoveries $186 Revolving (Cash Basis) 0455 631 Trust and Agency 3869100 Court Remittances $48,139 0455 631 Trust and Agency 3869200 Court Remittances $26,318 0455 631 Trust and Agency 3869700 Court Remittances $21,579 0455 631 Trust and Agency 3868331 Court Remittances $8,583 0455 631 Trust and Agency 3893003 Custodial Type $6,065 Collections 0455 631 Trust and Agency 3868332 Court Remittances $5,636 0455 631 Trust and Agency 3868926 Court Remittances $4,957 0455 631 Trust and Agency 3893001 Custodial Type $2,121 Collections 0455 631 Trust and Agency 3893004 Custodial Type $1,734 Collections 0455 631 Trust and Agency 3861200 Court Remittances $1,550 0455 631 Trust and Agency 3869900 Court Remittances $912 0455 631 Trust and Agency 3893006 Custodial Type $816 Collections 0455 631 Trust and Agency 3868800 Court Remittances ' $562 0455 631 Trust and Agency 3868909 Court Remittances $468 0455 631 Trust and Agency 3868914 Court Remittances $376 0455 631 Trust and Agency 3868300 Court Remittances $156 0455 631 Trust and Agency 3868915 Court Remittances $82 0455 631 Trust and Agency 3869017 Court Remittances $36 0455 631 Trust and Agency 3862002 Court Remittances $9 0455 001 General 5947660 Capital $6,029 Expenditures/Expenses- Park Facilities 0455 001 General 5947260 Capital $35,834 Expenditures/Expenses- Libraries 0455 001 General 5915870 Debt Repayment - $48,403 Community Planning and Economic Development 0455 001 General 5970000 Transfers -Out $273,496 0455 001 General 5951020 Capital $822 Expenditures/Expenses- Engineering 0455 309 Real Estate Excise Tax 5970000 Transfers -Out $948,340 0455 309 Real Estate Excise Tax 5970000 Transfers -Out $1,102,091 0455 111 Impact Mitigation Fee 5970300 Transfers -Out $48,833 0455 111 ' Impact Mitigation Fee 5970100 Transfers -Out $444,793 0455 111 Impact Mitigation Fee 5970000 Transfers -Out $679,545 0455 206 Bond Redemption Fund 5929580 Interest and Other Debt $45,030 Service Cost - Roads/Streets and Related Infrastructure 0455 206 Bond Redemption Fund 5919570 Debt Repayment - $216,900 Roads/Streets and Other Infrastructure 0455 206 Bond Redemption Fund 5921880 Interest and Other Debt $413,996 Service Cost - Centralized/General Services 0455 302 Capital Construction 5941820 Capital $4,781 Expenditures/Expenses - Centralized/General Services 0455 302 Capital Construction 5947620 Capital $2,699 Expenditures/Expenses - Park Facilities 0455 302 Capital Construction 5947560 $755,288 0455 304 Street Capital Projects 5951010 Capital Expenditures/Expenses- Engineering $24,874 0455 304 Street Capital Projects 5952010 Capital Expenditures/Expenses - Right -Of -Way $74 0455 304 Street Capital Projects 5953010 Capital Expenditures/Expenses - Roadway $7,942 0455 304 Street Capital Projects 5952060 Capital Expenditures/Expenses- Right-Of-Way $42,273 0455 304 Street Capital Projects 5951060 0455 411 Water Utility 5943460 Capital Expenditures/Expenses - Cultural and Recreational Facilities Capital $1,492,183 Expenditures/Expenses- Engineering Debt Repayment - $23,908 Water Utilities Capital $142,280 Expenditures/Expenses- Water Utilities 0455 411 Water Utility 5943420 Capital Expenditures/Expenses- Water Utilities $7,749 0455 411 Water Utility 5923480 Interest and Other Debt $201,963 Service Cost - Water Utilities 0455 411 Water Utility 5913470 Debt Repayment - $677,624 Water Utilities 0455 421 Storm Drainage Utility 5943160 Capital $378 Expenditures/Expenses- Storm Drainage Utilities 0455 421 Storm Drainage Utility 5913170 Debt Repayment - $23,909 Storm Drainage Utilities 0455 421 Storm Drainage Utility 5943110 Capital $4,958 Expenditures/Expenses - Storm Drainage Utilities 0455 421 Storm Drainage Utility 5943160 Capital Expenditures/Expenses- Storm Drainage Utilities $785,646 0455 421 Storm Drainage Utility 5913170 Debt Repayment - Storm Drainage Utilities $12,320 0455 421 Storm Drainage Utility 5913170 Debt Repayment - Storm Drainage Utilities $153,500 0455 431 Sewer Utility 5913570 Debt Repayment - Sewer/Reclaimed Water Utilities $24,633 0455 431 Sewer Utility $12,884 5943520 Capital Expenditures/Expenses - Sewer/Reclaimed Water Utilities 0455 431 Sewer Utility $39,876 5923580 Interest and Other Debt Service Cost - Sewer/Reclaimed Water Utilities 0455 500 Equipment Rental and 5944860 Revolving $7,531 Capital Expenditures/Expenses - Public Works Centralized Services 0455 500 Equipment Rental and 5944860 Revolving $226,531 Capital Expenditures/Expenses - Public Works Centralized Services 0455 500 Equipment Rental and 5944860 Revolving $271,806 Capital Expenditures/Expenses- Public Works Centralized Services 0455 631 Trust and Agency 5893000 Custodial Type $250 Remittances 0455 631 Trust and Agency 5860300 Court Remittances $1,550 0455 631 Trust and Agency 5893000 Custodial Type $2,121 Remittances 0455 631 Trust and Agency 5893000 Custodial Type $12,329 Remittances 0455 631 Trust and Agency 5860200 Court Remittances $117,813 MCAG No 0455 City of Port Orchard SCHEDULE SUMMARY OF BANK RECONCLIATION Forthe Fiscal period ended December31, 2025 FROM BANK STATEMENTS Bank & Investment Account name (1) Beginning Bank Balance (2) Deposits Withdrawals Ending Bank Balance (7) Receipts (3) Inter -bank transfers In (4) Disbursements (5) Interbanktransfers out (6) Kitsap Bank MainAccount $ 9,527,197 $ 43,025,007 $ 5,000,000 $ 45,763,285 $ 6,500,000 $ 5,288,918 Local Government Investment Pool $ 70,649,947 $ 14,045,875 $ 6,500,000 $ - $ - $ 91,195,822 Kitsap County Investment Pool $ 25,258,308 $ 7,165,583 $ - $ - $ 5,000,000 $ 27,423,891 Kitsap BankMoney Market $ 25,804 $ 52 $ - $ - $ - $ 25,855 Kitsap Bank Municipal Court $ 39,233 $ 20,313 $ 319,228 $ 52,806 $ 319,228 $ 6,740 Kitsap BankAdvance Travel $ 2,000 $ - $ - $ - $ - $ 2,000 Kitsap Bank Special Investigative Unit $ 1,000 $ - $ - $ - $ - $ 1,000 $ $ $ $ $ Bank Totals $ 105,503,489 $ 64,256,829 $ 11,819,228 $ 45,816,091 $ 11,819,228 $ 123,944,227 FROM GENERAL LEDGER Beginning Cash & Revenues & Other it;1 Expenditures & y{ t Ending Cash & Investment Increases t y;; Other Decreases Investment Balance Balance (21) sfrs (22) (19) (20) t yV y?;( C4/C5 or Trial Balance Totals (18) $ 101,222,396 $ 70,003,584'IIII f; $ 51,243,836 $ ,: $ 119,982,144 $ Unreconciled Variance (23) $ $ City of Port Orchard Schedule of Liabilities For the Year Ended December 31, 2025 ID. No. Debt ID Title Description General Obligation Debt/Liabilities 251.11 Non -voted General obligation G O Debt bonds Total General Obligation Debt/Liabilities: Revenue and Other (non G.O.) Debt/Liabilities 259.12 Compensated Absences Compensated Absences 263.82 Loans and other obligations to the Drinking Water State Revolving Fund Loan federal government or other out -of -state governments 263.82 Loans and other obligations to the Water Quality Loan federal government or other out -of -state governments 264.30 Pension Liabilities Pension Liabilities 264.40 OPEB Liabilities OPEB Liabilities 263.84 Loans and other obligations to Drinking Water State Revolving Fund Loan Washington state agencies (Except LOCAL and PWTF loans) 263.84 Loans and other obligations to Drinking Water State Revolving Fund Loan Washington state agencies (Except LOCAL and PWTF loans) 263.84 Loans and other obligations to Public Works Board Washington state agencies (Except LOCAL and PWTF loans) 263.84 Loans and other obligations to Public Works Board Washington state agencies (Except LOCAL and PWTF loans) 263.84 Loans and other obligations to Public Works Board Washington state agencies (Except LOCAL and PWTF loans) Beginning Ending Balance Additions Reductions Balance 13,775,000 - 730,000 13,045,000 - 13,775,000 730,000 13,045,000 1,653,591 264,953 - 1,918,544 4,216,588 - 324,353 3,892,235 177,418 - 12,320 165,098 579,533 - 181,068 398,465 1,538,338 - 598,323 940,015 402,929 - 57,561 345,368 3,588,617 2,345,538 262,567 5,671,588 226,505 - 13,324 213,181 111,350 355,917 9,343 457,924 123,385 60,983 10,557 173,811 City of Port Orchard Schedule of Liabilities For the Year Ended December 31, 2025 Beginning ID. No. Debt ID Title Description Balance 263.84 Loans and other obligations to Department of Ecology Washington state agencies (Except LOCAL and PWTF loans) 263.84 Loans and other obligations to Public Works Board Washington state agencies (Except LOCAL and PWTF loans) 263.57 Leases, SBITA, and PPPs Building Lease 263.57 Leases, SBITA, and PPPs Body Camera & Taser Lease 263.57 Leases, SBITA, and PPPs Agenda Management Software Based IT Arrangement 263.57 Leases, SBITA, and PPPs Permitting Software Based IT Arrangement 263.57 Leases, SBITA, and PPPs Asset Management Software Based IT Arrangement 263.57 Leases, SBITA, and PPPs Automated Meter Interface Software Based IT Arrangement 263.57 Leases, SBITA, and PPPs Agenda, Website, Public Records Software Based IT Arrangement Total Revenue and Other (non G.O.) Debt/Liabilities: Total Liabilities Ending Additions Reductions Balance 11,065,132 2,212,170 - I'� 977 302 12,240 334,136 - 377,283 - 8,587 - 106,383 - 148,523 - 267,206 - - 58,684 24,925,504 5,310,485 38,700,504 5,310,485 12,240 44,945 289,191 82,200 295,083 8,587 - 24,682 81,701 72,450 76,073 - 267,206 - 58,684 1,702,280 28,533,709 2,432,280 41,578,709 City of Port Orchard Schedule of Expenditures of State Financial Assistance For the Year Ended December 31, 2025 State Agency Name Program Title Identification Number Total State Award from Criminal Justice Training Accredition Grant N/A 43,478 Commission Sub -Total: 43,478 State Award from Other Judicial Agencies Funding for Public Defense GRT24039 12,000 Improvement State Award from Other Judicial Agencies Court Interpreter services IAA25498 3,130 Sub -Total: 15,130 State Award from Department Natural Resources Derelict Vessels & Marine Salvage 16122 23,610 Sub -Total: 23,610 State Award from Recreation and Conservation Youth Athletic Facilities 22-1588D 148,159 Office State Award from Recreation and Conservation Brain Abbott Fish Barrier Removal 21-1498 49,233 Office Board Sub -Total: 197,392 State Award from Department of Ecology Water Quality Combined Financial WQSWCAP-2325- 22,404 Assistance POORPW-00057 Sub -Total: 22,404 State Award from Traffic Safety Commission Emphasis Patrol 2025-HVE-5438-Region 13,455 9 Target Zero Task Force Sub -Total: 13,455 State Award from Department of Transportation Safe Routes to School LA -10834 689,815 State Award from Department of Transportation Fed Bike Safety LA -1 1015 176,895 Report based on unaudited annual report submissions as of 5/30/2026 Page: 1 of 2 State Agency Name Program Title Identification Number Total Sub -Total: 866,710 State Award from Transportation Improvement Urban Arterial Program 8-2-153(003)-1 18,252 Board (TIB) Sub -Total: 18,252 State Award from Department of Commerce Middle Housing 24-63336-132 25,000 State Award from Department of Commerce Public Works Board Pre -Construction PR24-96103-006 2,954 Program Sub -Total: 27,954 Total State Grants Expended: 1,228,385 Report based on unaudited annual report submissions as of 5/30/2026 Page: 2 of 2 City of Port Orchard Schedule of Expenditures of Federal Awards For the Year Ended December 31, 2025 Expenditures From Pass- Passed through Federal Agency ALN Other Award Through From Direct to (Pass -Through Agency) Federal Program Number Number Awards Awards Total Subrecipients Note FEDERAL HIGHWAY Highway Planning and 20.205 CDS-0166 334,035 - 334,035 - ADMINISTRATION, Construction (013) TRANSPORTATION, DEPARTMENT OF (via WA State Dept of Transportation) FEDERAL HIGHWAY Highway Planning and 20.205 HSIP-000S 2,000 - 2,000 - ADMINISTRATION, Construction (721) TRANSPORTATION, DEPARTMENT OF (via WA State Dept of Transportation) Total ALN 20.205: 336,035 - 336,035 - U.S. COAST GUARD, Boating Safety Financial 97.012 n/a 19,077 - 19,077 - HOMELAND SECURITY, Assistance DEPARTMENT OF (via WA State Parks & Recreation Commission) Total Federal Awards Expended: 355,112 - 355,112 - The accompanying notes are an integral part of this schedule. CITY OF PORT ORCHARD Notes to Schedule of Expenditures of Federal Awards January 1, 2025 through December 31, 2025 NOTE 1. Basis of Accounting This Schedule is prepared on the same cash basis of accounting as the City's financial statements and in accordance with requirements contained in the Uniform Guidance. NOTE 2. — Federal De Minimis Indirect Cost Rate The City has not elected to use the 10 -percent de minimis indirect cost rate allowed under the Uniform Guidance. NOTE 3. Program Costs The amounts shown as current year expenditures represent only the federal award portion of the program costs. Entire program costs, including the City's portion are more than shown. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administration Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. City of Port Orchard Schedule 21 Questions 1-6 (unaudited) For Fiscal Year Ended: 2025 Belong to a public entity risk pool Belong to a public entity risk pool Report based on unaudited annual report submissions as of 5/30/2026 Pay taxes to the Department of Employment Pay premiums to the Department of Security ("Taxable' Labor and Industries Pay premiums to the State's program City of Port Orchard for both benefits Report based on unaudited annual report submissions as of 5/30/2026 City/Town