The URL can be used to link to this page

Home My WebLink About04/18/2017 06J 2016 Year End Revenue & Expenditure ReportBUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDASTATEMENT Item No. 6.J. For Meeting of: April 18, 2017 ITEM TITLE: 2016 Year End Revenue & Expenditure Report SUBMITTED BY: Tara Lewis, Interim Director of Finance & Budget SUMMARY EXPLANATION: The 2016 Year End Revenue & Expenditure Report is attached and consists of the following: 1. Memo: Introduction including a list of Reports and Exhibits 2. Reports • Performance at a Glance • Citywide Overview • General Government Revenue Analysis • General Government Expenditure Analysis • Fund Balances and Analysis • Other Funds Analysis • Exhibits — Details of Other Funds and Capital Projects • Exhibit I — Other Governmental Operating Funds • Exhibit II — Governmental Capital Funds • Exhibit III — Enterprise Operating Funds • Exhibit IV— Enterprise Capital Funds • Exhibit V — Internal Service Funds • Exhibit VI — Employee Benefit Reserves Funds • Exhibit VII — Risk Management Reserve Fund • Exhibit VIII — Other Funds • Exhibit IX— Top 10 Capital Projects ITEM BUDGETED: NA STRATEGIC PRIORITY: Public Trust and Accountability APPROVED FORcl*� SUBMITTAL: '"'"City Manager STAFF RECOMMENDATION: Accept report. BOARD/COMMITTEE RECOMMENDATION: ATTACHMENTS: Description Upload Date Type D 2016 Year -End Re nue & Expenditure Report 416/2017 Presentation MEMORANDUM To: The Honorable Mayor and Members of the City Council From: Tara Lewis, Interim Director of Finance & Budget Date: April 18, 2017 Subject: 2016 Year -End Revenue & Expenditure Report We are submitting for your review the City of Yakima's 2016 Year -End Revenue & Expenditure Report with actual results compared to budget for all city funds. Balances shown are subject to final adjustments that are made as a result of the year-end closing process. The City's final financial report, the Comprehensive Annual Financial Report (CAFR) will be available once the audit has been done. General Government performance was somewhat better than predicted due to budget reduction activities, careful spending and the sale of two Tiger Mart properties during 2016. Stormwater interfund charges for street cleaning were increased which accomplished two goals: the street cleaning effort addresses the Stormwater permit with the state; and additional Streets revenue was realized to contribute to the ending fund balance in Streets, a general government fund. Citywide results were normal with overall revenues realized above expenditure levels. Total city revenues and expenditures were both under budgeted amounts due to large capital projects that are either ongoing or were delayed. This report is summarized by type of fund, and incorporates the Financial Monitoring System presentation. Information is reported by functional type, in the following order: ➢ Performance at a Glance - Financial Monitoring System ➢ City -Wide Overview ➢ General Government Revenue Analysis ➢ General Government Expenditure Analysis ➢ Other Funds Analysis ➢ Exhibits - Details of Other Funds and Capital Projects: • Exhibit I - Other Governmental Operating Funds • Exhibit II - Government Capital Funds • Exhibit III - Enterprise Operating Funds • Exhibit IV - Enterprise Capital Funds • Exhibit V - Internal Service Funds • Exhibit VI - Employee Benefit Reserves • Exhibit VII - Risk Management Reserve • Exhibit IX - Other Funds • Exhibit X - Top 10 Capital Project List PERFORMANCE AT A GLANCE General Government Revenues Expenditures General Government Fund Balance Other Funds Exhibits (1) Other Governmental Operating Funds Government Capital Funds Enterprise Operating Funds Enterprise Capital Funds Internal Service Funds Employee Benefit Reserve Risk Management Reserves Other Funds Top 10 Capital Projects STATUS PAGE NORMAL 2 - 5 NORMAL 2/6-7 WARNING 8 - 9 NORMAL 10-11 NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL Legend: Revenues & Expenditures Revenues exceed budget >5%, Expenditures below budget >5% Revenues exceed budget <5%, Expenditures below budget <5% Revenues below budget between 3-5% Revenues below budget >5% Fund Balance Percent of expenditure => 16.7% Percent of expenditure = 14.0%-16.6% Percent of expenditure = 9.0%-13.9% Percent of expenditure < 9.0% (1) These funds are graded on a Net Revenue measurement. 12 12 13 13 13 14 14 14 15 E NORMAL WARNING NEGATIVE 4 FIN Report 4th Qtr 2016TL Page 1 of 15 CITY WIDE OVERVIEW REVENUE COMPARISON (Budget vs. Actual) General Parks and Recreation Street & Traffic Operations General Government Subtotal EXPENDITURE COMPARISON (Budget vs. Actual) 2015 2016 2015 Amended 14,417,243 2016 Actual Spent Budget Percent Amended $ 61,420,893 Percent $ 62,973,207 Actual Rec'd Budget Actual Rec'd General $ 59,414,511 100.0% $ 62,973,326 $ 62,884,554 99.9% Parks and Recreation 5,559,581 100.1% 5,510,965 5,170,147 93.8% Street & Traffic Operations 5,291,337 100.1% 5,059,850 5,352,949 105.8% General Government Subtotal 70,265,429 100.0% 73,544,141 73,407,650 99.8% Other Governmental Operating Funds 11,859,408 62.6% 14,285,488 12,069,847 84.5% Government Capital Funds 13,194,887 94.6% 24,880,568 11,134,789 44.8% Enterprise Operating Funds 50,971,840 100.6% 51,304,617 53,971,422 105.2% Enterprise Capital Funds 12,892,446 54.8% 23,913,003 17,554,784 73.4% Internal Service Funds 6,596,483 79.6% 7,046,266 5,426,615 77.0% Employee Benefit Reserve 11,273,511 100.4% 11,796,080 12,739,826 108.0% Risk Management Reserves 3,891,570 105.6% 4,894,000 3,748,370 76.6% Other Funds 7,867,355 96.9% 8,926,359 8,873,985 99.4% Total $188,812,929 89.9% $ 220,590,522 $198,927,288 90.2% General Parks and Recreation Street & Traffic Operations General Government Subtotal EXPENDITURE COMPARISON (Budget vs. Actual) 2015 2016 Other Governmental Operating Funds Percent Amended 14,417,243 Percent Actual Spent Budget Actual Spent $ 61,420,893 99.9% $ 62,973,207 $ 62,231,693 98.8% 5,554,286 99.9% 5,481,878 5,421,860 98.9% 5,549,823 99.6% 5,408,279 5,600,888 103.6% 72,525,002 99.9% 73,863,364 73,254,441 99.2% Other Governmental Operating Funds 12,834,807 65.2% 14,417,243 11,833,256 82.1% Government Capital Funds 14,073,975 62.3% 30,592,036 11,831,514 38.7% Enterprise Operating Funds 50,915,354 97.9% 52,845,465 50,955,869 96.4% Enterprise Capital Funds 2,653,430 10.5% 31,954,732 13,446,763 42.1% Internal Service Funds 7,167,055 85.1% 7,270,460 6,989,419 96.1% Employee Benefit Reserve 11,930,720 103.9% 13,248,506 12,689,899 95.8% Risk Management Reserves 4,684,994 128.6% 5,664,864 3,439,980 60.7% Other Funds 7,817,010 95.1% 8,943,423 8,617,218 96.4% Total $184,602,347 82.8% $ 238,800,093 $193,058,359 80.8% FIN Report 4th Qtr 2016TL Page 2 of 15 GENERAL GOVERNMENT REVENUE ANALYSIS General Sales Tax Crim. Justice Sales Tax Property Tax Utility & Franchise Taxes Charges for Services State Shared Revenue Other Intergovernmental Fines and Forfeitures Other Taxes Transfers from other Funds Licenses and Permits Other Revenue Total Revenue Beginning Fund Balance Total Resources GENERAL GOVERNMENT REVENUES 2016 Revenues through 12/30 Amended Percent 2014 2015 2016 Budget Receipted $15,461,201 $15,770,269 3,103,814 3,260,050 16, 016, 029 16,444,895 15, 848, 483 15, 689, 913 6,684,115 8,242,444 2,648,633 2,870,081 1,370,523 1,606,404 1,578,124 1,589,895 1,453,227 1,557,541 1,413,706 1,500,844 865,334 872,276 939,491 860,817 67,382,680 70,265,429 10,885,034 9,412,400 $78,267,714 $79,677,829 $ 16,588,736 $16,650,400 99.6% 3,283,170 3,361,500 97.7% 16, 793,571 16,653,030 100.8% 16,059,062 16,278,300 98.7% 8,718,557 8,813,528 98.9% 3,316,838 3,001,800 110.5% 1,514,798 1,733,137 87.4% 1,676,293 1,707,110 98.2% 1,410,146 1,535,000 91.9% 1,450,000 1,450, 000 100.0% 882,357 916,470 96.3% 1,714,122 1,443,866 118.7% 73,407,650 73,544,141 99.8% 7,152,826 7,152,826 $ 80,560,476 $80,696,967 99.8% Status ORMAL ORMAL ORMAL ORMAL NORMAL POSITIVE WARNING NORMAL WARNING NORMAL NORMAL OSITIVE NORMAL NORMAL Sales Tax - Sales tax revenues were just over $16.5 million in 2016. This is slightly below the amended budget, but ahead of the year-end estimate of $16.4 million. This represents a 5% increase over 2015 which saw a dip in Sales Tax mainly attributable to the drought experienced that spring. The budget was originally set at $16,650,400, and the estimate set after the third quarter was $16,400,000. However, year-end spending was better than anticipated and collections came in above the estimate used for the 2017 budget development. Property Tax - Property Tax revenues came in slightly over budget for the year as predicted in the 3rd Quarter report. Utility and Franchise Taxes - After falling off in 2015, this category experienced 2.4% growth over 2015 and 1.3% growth over 2014. The anomaly in 2015 was due to the mild, dry winter and raw energy price reductions. Overall, telephone taxes continue to decline, with the migration away from land lines and cell phone "talking minutes" to data which is not currently taxable. The early onset of winter and harsh conditions in the late fall caused increase usage which slightly increased the City's tax revenue from utility sources. State Shared Revenue - The 2016 budget was built assuming we would receive a similar amount to the prior year in the criminal justice distributions. The "high -crime" distribution is recalculated every year following the State's fiscal year (i.e. the 3rd calendar quarter), based on the number of communities reaching FIN Report 4th Qtr 2016TL Page 3 of 15 certain thresholds. Because of the change in eligible recipients, Yakima s allocation increased by about $315,000 over the 2016 budget. Other Intergovernmental - This category is lower than budget. An Air Service grant from DOT was awarded at a lower than expected amount. Also, certain Police grant revenue that was budgeted in general fund was received in the Police Grant fund due to the nature of the revenue and restrictions on its use. Related expenditures were recorded in the Police Grant fund to match this revenue. Other Taxes - This category consists primarily of Business Licenses and Gambling Taxes. Business licenses are due in January each year, but due to early billing at the end of 2015, some of this revenue was posted into the prior year. We anticipate the timing of the billing to return to the January time frame so that this revenue source will even out again in 2017. Gambling Taxes are performing slightly below our predictions as are Dangerous Building Tax Assessments. Other Revenue - This category consists primarily of interest earnings, concession revenue and sale of assets. Interest earnings were better than expected. Concessions were slightly below budget. The sale of two of the four Tiger Mart properties was completed in 2016 contributing $688,579 to General Fund revenues. Overall, general government revenues are up by $3.1 million or 4.5% over 2015. Certain tax and fee decreases were offset by good year-end sales tax activity, better than expected property tax revenues and property sales. If the one time revenue tied to the sale of the Tiger Mart properties is removed, revenue is up approximately $2,453,000 or 3.5%. FIN Report 4th Qtr 2016TL Page 4 of 15 8 GENERAL GOVERNMENT REVENUES - By Month 2014 2015 2016 Jan $ 4,775,515 $ 4,497,985 $ 5,041,214 Feb 4,770,901 4,721,588 5,025,995 Mar 4,984,701 5,504,709 4,977,453 Apr 10,717,557 11,332,602 11,269,683 May 4,573,329 4,855,896 5,909,110 Jun 4,307,587 3,922,536 4,751,018 Jul 4,304,052 4,604,158 4,599,067 Aug 4,290,971 4,636,646 4,385,199 Sep 5,180,804 5,084,171 5,516,076 Oct 9,891,373 10,623,480 10,711,391 Nov 4,395,161 4,782,114 4,781,901 Dec 5,190,725 5,699,544 6,439,544 $67,382,676 $70,265,429 $73,407,651 $12,500,000 $10,000,000 ■ 2014 $7,500,000 $5,000,000 — ■ 2015 $2,500,000 $- ■ 2016 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec GENERAL GOVERNMENT REVENUES - Cumulative By Month 2014 2015 2016 Jan $ 4,775,515 $ 4,497,985 $ 5,041,214 Feb 9,546,416 9,219,573 10,067,209 Mar 14,531,117 14,724,282 15,044,662 Apr 25,248,674 26,056,884 26,314,345 May 29,822,003 30,912,780 32,223,455 Jun 34,129,590 34,835,316 36,974,473 Jul 38,433,642 39,439,474 41,573,540 Aug 42,724,613 44,076,120 45,958,739 Sep 47,905,417 49,160,291 51,474,815 Oct 57,796,790 59,783,771 62,186,206 Nov 62,191,951 64,565,885 66,968,107 Dec 67,382,676 70,265,429 73,407,651 $80,000,000 $60,000,000 ■ 2014 $40,000,000 ■ 2015 $20,000,000 � ■ 2016 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec FIN Report 4th Qtr 2016TL Page 5 of 15 GENERAL FUND EXPENDITURE ANALYSIS GENERAL GOVERNMENT EXPENDITURES Police Fire Transfers To Other Funds Information Technology Code Administration Utility Services Legal Financial Services Municipal Court Police Pension Indigent Defense Economic Development Engineering Planning Records / City Clerk Human Resources Purchasing City Hall Facility City Manager City Council Neighborhood Partnerships Intergovernmental State Examiner Position Vacancy Savings Total General Fund Parks & Recreation Fund Street & Traffic Ops. Expenditures through 12/30 2014 2015 2016 $26,377,103 $26,452,368 $27,069,183 10,395,013 12,171,410 12,258,513 5,007,938 4,750,225 4,839,545 2,849,321 3,087,092 3,072,104 2,621,485 1,626,019 1,750,782 1,477,078 1,518,454 1,559,540 1,368,033 1,467,922 1,479,124 1,502,372 1,532,581 1,546,084 1,288,302 1,346,861 1,420,308 1,193,161 1,038,660 925,129 604,480 910,981 952,414 456,317 784,085 711,003 798,763 809,739 663,965 452,903 535,201 597,187 581,099 533,284 700,223 527,703 649,024 607,585 559,928 610,041 625,121 399,719 504,382 487,271 386,675 504,402 418,042 293,237 280,679 258,909 - - - 251,047 180,054 189,360 109,905 127,429 100,301 - - - 59,501,582 61,420,893 62,231,693 4,553,121 5,554,286 5,421,860 4,800,608 5,549,823 5,600,888 2016 Amended Budget $27,313,858 12,379,172 4,839,545 3,126,390 1,855,499 1,704,433 1,651,505 1,530,716 1,431,404 1,252,510 935,500 889,964 833,710 658,184 654,256 653,258 630,092 505,447 418,138 285,340 206,735 189,551 113,000 (1,085,000) 62,973,207 5,481,878 5,408,279 Percent Spent 99.1% 99.0% 100.0% 98.3% 94.4% 91.5% 89.6% 101.0% 99.2% 73.9% 101.8% 79.9% 79.6% 90.7% 107.0% 93.0% 99.2% 96.4% 100.0% 90.7% n/a 99.9% 88.8% 0.0% 98.8% 98.9% 103.6% Status NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL Total General Government $68,855,311 $72,525,002 $73,254,441 $73,863,364 99.2% 1 NORMAL Total General Government Fund Expenditures - 0.8% below budget INORMAL FIN Report 4th Qtr 2016TL Page 6 of 15 HE SIGNIFICANT EXPENDITURE VARIANCES Expenditures overall came in slightly under budget. Savings were mostly in position vacancies and reduced use of professional services. Additional information on specific variances follows: ➢ Legal - This savings is the result of the City Attorney being paid out of the City Manager's budget as interim City Manager for part of 2016. Also, the Community Court program that was going to start in early 2016 was postponed in the budget reduction activity, but started up in the 3rd quarter. ➢ Police Pension - The cost of long term care dipped due to lower usage in 2016. This is expected to be temporary. ➢ Economic Development - Spending cut backs in professional and consulting services resulted in lower than budgeted expenditures. ➢ Engineering - Salary savings due to position vacancy and department reorganization resulted in significant savings for this division. ➢ Records/City Clerk - Election costs covered two separate elections causing a minor one time overage. ➢ Neighborhood Partnerships - This new program was postponed for budgetary savings. ➢ State Examiner - The accountability audit which is normally performed immediately after the financial and single audit in the summer and fall was delayed by the State Auditors and was not completed until 2017. Therefore approximately $26,000 of expenditure is being arbitrarily pushed into 2017. The amount cannot be accrued in 2016 because the final work represented by these invoices was not performed until 2017. ➢ Position Vacancy Savings - This is used to budget expected position vacancy savings that are unidentified. It is shown here for fund total purposes only - no "actual" expenditures are charged to this line item. FIN Report 4th Qtr 2016TL Page 7 of 15 FUND BALANCES CHANGE IN FUND BALANCE General Parks and Recreation Street & Traffic Operations General Government Subtotal Other Governmental Operating Funds Government Capital Funds Enterprise Operating Funds Enterprise Capital Funds Internal Service Funds Employee Benefit Reserve Risk Management Reserves Other Funds Total 20.0% 16.0% 12.0% 8.0% 4.0% 0.0% 2016 10.5% 284,189 Beginning 2016 2016 Balance Actual Rev. Actual Exp. $ 5,867,373 $ 62,884,554 $ 62,231,693 535,902 5,170,147 5,421,860 749,551 5,352,949 5,600,888 7,152,826 73,407,650 73,254,441 3,956,513 12,069,847 11,833,256 10, 616, 611 11,134, 789 11, 831, 514 11,092,660 53,971,422 50,955,869 24,076,378 17,554, 784 13,446, 763 5,106,962 5,426,615 6,989,419 2,919,612 12, 739, 826 12,689,899 733,243 3,748,370 3,439,980 3,305,875 8,873,985 8,617,218 $68,960,680 $198,927,288 $193,058,359 GENERAL GOVERNMENT BALANCES 2013-2016 m 2016 Ending % of Balance Exp $ 6,520,234 10.5% 284,189 5.2% 501,612 9.0% 7,306,035 10.0% 4,193,104 35.4% 9,919,886 83.8% 14,108,213 27.7% 28,184,399 209.6% 3,544,158 50.7% 2,969,539 23.4% 1,041,633 30.3% 3,562,642 41.3% $74,829,609 38.8% Optimal 2013 2014 2015 2016 Positive Normal Warning Warning FUND BALANCE ANALYSIS The 2016 actual results of expenditures and revenues netted an overall increase in total City fund balances of $5.8 million. FIN Report 4th Qtr 2016TL Page 8 of 15 12 General Government fund balance increased by $153,000 from $7.15 million to $7.31 million. Earlier projections had estimated that General Government would use over $200,000 in fund balance during 2016. However, as previously mentioned, careful spending and budget reduction activities coupled with an increase in the interfund charge for street cleaning turned the actual results around to slightly increase the ending fund balance. Other Governmental Operating Funds increased ending fund balance by $237,000 after fund balance transfers for short term working capital in the Public Safety Communications fund to replenish cash after the move of the Center. An interfund loan of $450,000 has been provided by the Vehicle Replacement Reserve. Police Grants received Federal Equitable Share revenues in excess of current year expenditures by participating with federal agencies in special task forces. Governmental Capital Funds remained mostly budget neutral. A notable exception is the Parks Capital Fund which used approximately $2.5 million in fund balance that represented remaining 2015 bond proceeds to construct the City's portion of the soccer complex. The Fire Capital fund ended 2016 with a very low balance of $15,000. Current projects anticipate a 2017 financing that will recover cash and restore fund balances of about $1.5 million. While awaiting financing, Fire Capital borrowed $640,000 from the Vehicle Replacement Reserve. Other funds experienced normal increases or decreases in fund balance as capital spending often crosses over several fiscal years and ended the year as expected. Enterprise Operating Funds increased by $3 million. Most of this increase occurred in the Transit Operating Fund due to timing of grant revenues which lagged in 2015 from state billing issues. All Utility Operating funds performed as expected in 2016. Enterprise Capital Funds increased by $4 million with most of that increase attributable to the Stormwater, Wastewater and Irrigation Capital funds which all received and put into fund balances transfer revenue from the respective Operations funds in anticipation of large projects being planned for 2017 and beyond. Airport Capital saw a lot of activity from its ongoing capital projects, with revenues and expenses fairly well matched for the year. Internal Service Funds operated as expected. The Equipment Rental fund distributed $0.5 million of excess fund balance that had accumulated over several years. Internal Service funds are supposed to recover their costs as they service other city funds, realizing neither profit nor loss. Therefore fund balance levels should be modest in these types of funds. The Vehicle Reserve Fund loaned out $1.1 million to other funds short on working capital at year end. As previously discussed, Public Safety Communications and Fire Capital both needed interfund loans at year end. Employee Benefit Reserve Funds received increased contributions due to rate increases from participating funds. Fund balances grew by a modest $50,000. The Reserves' fund balances are funded at fairly low levels and will require some modest increases in contributions in future years. Risk Management Reserve Fund received additional contributions from other funds to begin rebuilding the fund balance after the settlement of the ACLU case used $1.8 million in 2016. Rates were increased by 10% in 2016 to address the needs of this fund. Other Funds include Bond Redemption funds, Agency and Trust funds. Bond redemption funds are all fully funded at levels that are prescribed by the City's bond covenants. Agency funds represent balances held in trust for other entities or beneficiaries. These funds all performed as expected. FIN Report 4th Qtr 2016TL Page 9 of 15 OTHER FUNDS ANALYSIS Other Governmental Operating Funds Government Capital Funds Enterprise Operating Funds Enterprise Capital Funds Internal Service Funds Employee Benefit Reserve Risk Management Reserves Other Funds Total Revenue Beginning Fund Balance Total Resources Other Governmental Operating Funds Government Capital Funds Enterprise Operating Funds Enterprise Capital Funds Internal Service Funds Employee Benefit Reserve Risk Management Reserves Other Funds Total Expenditures OTHER FUNDS REVENUES Revenues through 12/30 Pr 2014 Pr 2015 r 2016 $ 13,971,978 28,528,984 51,072,856 13,116,291 5,824,227 10,519,711 3,433,827 6,393,802 $ 11,859,408 13,194,887 50,971,840 12,892,446 6,596,483 11,273,511 3,891,570 7,867,355 132,861,676 118,547,500 51,022,832 56,161,007 $183,884,508 $174,708,507 $ 12,069,847 11,134,789 53,971,422 17,554,784 5,426,615 12,739,826 3,748,370 8,873,985 2016 Amended Budget $ 14,285,488 24,880,568 51,304,617 23,913,003 7,046,266 11,796,080 4,894,000 8,926,359 125,519,638 147,046,381 61,807,854 61,807,854 $187,327,492 $ 208,854,235 OTHER FUNDS EXPENDITURES Expenditures through 12/30 r 2014 Pr 2015 2016 $ 14,140,797 $ 12,834,807 26, 744, 285 14,073,975 48,400,780 50,915,354 11,627,330 2,653,430 5,820,940 7,167,055 11,901,985 11,930, 720 41035,225 4,684,994 6,741,730 7,817,010 $129,413,072 $112,077,345 2016 Amended Budget $ 11,833,256 $ 14,417,243 11,831,514 30,592,036 50,955,869 52,845,465 13,446,763 31,954,732 6,989,419 7,270,460 12,689,899 13,248,506 3,439,980 5,664,864 8,617,218 8,943,423 $119,803,918 $164,936,729 13 Percent Rec'd Status 84.5% 44.8% 105.2% 73.4% 77.0% 108.0% 76.6% 99.4% 85.4% NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL 89.7% NORMAL Percent Rec'd Status 82.1% 38.7% 96.4% 42.1% 96.1% 95.8% 60.7% 96.4% 72.6% NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL NORMAL Generally, year-end results are as expected. Variances in capital funds are related to timing so their status is "normal." Major projects originally budgeted in 2016 that did not get underway include a major street grind and overlay, fire apparatus that were not fully built by year end, North 1St Street and the Plaza. Capital Fund budgets include the full project, and are not expected to be 100% completed in the current year. The projects budgeted to be funded by limited tax general obligation bonds are currently "on hold" until we can identify available funds to repay the future debt service. Funding for North 1St Street is being researched, and the related utility projects will not go forward until the Street project does. Large FIN Report 4th Qtr 2016TL Page 10 of 15 14 equipment purchases (such as Transit buses and Fire apparatus) have been ordered, but were not received during 2016. The Airport taxi way project got under way in the 2nd quarter, and is the one project on the top ten capital project list that is substantially complete. The City purchased the land from SOZO in 2015, and has paid for improvements as they occur throughout 2016—the balance remaining at this point in time is for the purchase of additional land. A listing of the top ten budgeted projects and their status follows as Exhibit IX. FIN Report 4th Qtr 2016TL Page 11 of 15 EXHIBITS Fund Economic Development Neighborhood Development Community Relations Cemetery Emergency Services Public Safety Communication Police Grants P.B.I.A. (Parking &Bus Impr) Trolley Front Street Bus Impr Area Conv Center (Tourist Promo) Capitol Theatre PFD- Convention Center Tourism Promotion Area PFD- Capitol Theatre Capitol Theatre Reserve Cemetery Trust Total Other Operating Funds Fund Arterial Street Central Bus District Capital Capitol Theatre Construction Yakima Redevelopment Area Parks and Recreation Capital Fire Capital Law and Justice Capital Public Works Trust Constr REET 2 Capital Street Capital Convention Center Cap Impr Reserve for Capital Impr Total Capital Impr Funds OTHER GOVERNMENTAL OPERATING FUNDS 2016 % Actual Amended Beg Bal Budget $ 76,421 $ 183,000 897,054 3,338,886 657,412 666,600 37,538 262,950 203,162 1,326,026 (361,269) 3,499,468 371,378 448,000 (4,561) 205,340 73,180 91,433 4,679 3,735 528,261 1,683,800 26,567 414,700 514,586 828,750 80,822 687,000 166,911 624,800 36,641 - 647,731 21,000 15 Exhibit I Revenues Appropriations 2016 Actual % Amended Actual % Ending Revenue Rec'd Budget Exp Eap'd Balance 178,329 97.4% $ 198,071 $ 207,132 104.6% $ 47,618 767,390 23.0% 3,349,462 1,162,007 34.7% 502,437 505,509 75.8% 618,913 560,671 90.6% 602,250 252,312 96.0% 274,712 254,482 92.6% 35,368 1,317,037 99.3% 1,417,895 1,373,260 96.9% 146,939 3,962,743 113.2% 3,563,096 3,504,215 98.3% 97,259 674,199 150.5% 401,716 358,017 89.1% 687,560 202,810 98.8% 208,993 198,017 94.7% 232 7,275 8.0% 164,855 80,450 48.8% 5 3,535 94.6% 10,279 8,097 78.8% 117 1,570,028 93.2% 1,694,510 1,641,387 96.9% 456,902 429,426 103.6% 420,497 420,497 100.0% 35,496 864,616 104.3% 727,720 724,692 99.6% 654,510 660,068 96.1% 687,000 662,836 96.5% 78,054 654,832 104.8% 630,883 628,855 99.7% 192,888 - n/a 36,641 36,641 100.0% - 19,738 94.0% 12,000 12,000 100.0% 655,469 $ 3,956,513 $ 14,285,488 $ 12,069,847 84.5% $ 14,417,243 $ 11,833,256 82.1% $ 4,193,104 GOVERNMENTAL CAPITAL FUNDS 2016 Revenues Actual Amended Actual Beg Bal Budget Revenue 1,281,875 10,397,841 2,944,121 $ (23,298) $ 2,826,220 $ 991,388 248,750 66,641 66,641 701,125 1,000,000 2,424,630 3,810,256 508,400 772,903 36,925 2,242,410 778,603 740,305 479,350 509,882 1,171,476 802,000 965,178 352,961 802,000 880,730 94,164 5,095,306 104,554 585,025 360,400 396,159 1,617,047 300,000 300,000 $ 10,616,611 $ 24,880,568 $ 11,134,789 Exhibit II 44.8% $ 30,592,036 $ 11,831,514 38.7% $ 8,291,062 FIN Report 4th Qtr 2016TL Page 12 of 15 Appropriations 2016 % Amended Actual % Ending Rec'd Budget Exp Exp'd Balance 28.3% 10,737,025 2,597,172 24.2% 1,628,824 n/a $ 2,881,000 $ 709,609 24.6% $ 258,481 n/a 242,351 164,825 n/a 150,566 242.5% 1,500,000 951,253 63.4% 2,174,502 n/a 3,344,049 3,020,576 90.3% 1,562,583 34.7% 2,239,976 800,298 35.7% 15,230 106.4% 693,000 468,792 67.6% 781,395 120.3% 1,011,385 618,569 61.2% 1,518,085 109.8% 978,250 977,372 99.9% 256,319 2.1% 5,000,000 167 n/a 198,551 109.9% 385,000 250,619 65.1% 730,565 100.0% 1,580,000 1,272,262 80.5% 644,785 44.8% $ 30,592,036 $ 11,831,514 38.7% $ 8,291,062 FIN Report 4th Qtr 2016TL Page 12 of 15 M Exhibit III ENTERPRISE OPERATING FUNDS Fund 2016 Actual Beg Bal Amended Budget Revenues Actual Revenue % Rec'd Appropriations Amended Actual Budget Exp % Exp'd 2016 Ending Balance Airport Operating $ 46,313 $ 1,134,929 $ 1,111,805 98.0% $ 1,128,985 $ 1,105,429 97.9% $ 52,689 Stormwater Operating 694,688 2,151,000 2,271,096 105.6% 2,650,375 2,702,882 102.0% 262,902 Transit Operating 1,954,958 8,701,402 10,073,425 115.8% 8,368,765 8,233,002 98.4% 3,795,381 Refuse 59,564 6,595,262 7,027,574 106.6% 6,459,053 6,416,963 99.3% 670,175 Wastewater Operating 4,309,330 22,102,484 22,417,957 101.4% 22,589,282 20,869,496 92.4% 5,857,791 Water Operating 3,130,380 8,816,000 9,163,778 103.9% 9,819,509 9,782,394 99.6% 2,511,764 Irrigation 897,427 1,803,540 1,905,787 105.7% 1,829,496 1,845,703 100.9% 957,511 Total Other Operating Funds $ 11,092,660 $ 51,304,617 $ 53,971,422 105.2% $ 52,845,465 $ 50,955,869 96.4% $ 14,108,213 Exhibit IV ENTERPRISE CAPITAL FUNDS Fund 2016 Actual Beg Bal Revenues Amended Actual Budget Revenue % Rec'd Appropriations Amended Budget Actual Exp % Exp'd 2016 Ending Balance Airport Capital 795,550 13,474,568 9,169,183 68.0%, 13,805,247 9,517,393 68.9% 447,340 Stormwater Capital 3,044,907 700,000 1,640,456 234.4% 2,400,000 107,762 4.5% 4,577,601 Transit Capital 4,464,872 3,849,875 1,057,087 27.5% 4,334,205 2,171,211 50.1% 3,350,748 Wastewater Facilities Capital 1,968,809 700,000 706,075 100.9% 700,000 127,357 18.2% 2,547,527 Wastewater Const Capital 6,874,767 500,000 800,000 160.0% 5,710,000 619,275 10.8% 7,055,492 Wastewater Capital 1,413,353 2,301,500 2,020,270 87.8% 1,380,000 124,087 9.0% 3,309,536 Water Capital 4,010,943 1,000,000 757,140 75.7% 2,257,738 312,384 13.8% 4,455,699 Irrigation Capital 1,503,177 1,387,060 1,404,573 101.3% 1,367,542 467,294 34.2% 2,440,456 Total Capital Impr Funds $ 24,076,378 $ 23,913,003 $ 17,554,784 73.4% $ 31,954,732 $ 13,446,763 42.1% $ 28,184,399 Exhibit V INTERNAL SERVICE FUNDS FIN Report 4th Qtr 2016TL Page 13 of 15 2016 Revenues Appropriations 2016 Actual Amended Actual % Amended Actual % Ending Fund Beg Bal Budget Revenue Rec'd Budget Exp Exp'd Balance Equipment Rental 4,057,425 4,722,942 4,104,192 86.9% 4,765,532 5,606,206 117.6% 2,555,411 Environmental 565,281 1,180,000 178,479 15.11% 1,247,950 184,160 14.8%) 559,600 Public Works Admin. 484,256 1,143,324 1,143,944 100.1% 1,256,978 1,199,053 95.4% 429,147 Total Other Operating Funds $ 5,106,962 $ 7,046,266 $ 5,426,615 77.0% $ 7,270,460 $ 6,989,419 96.1% $ 3,544,158 FIN Report 4th Qtr 2016TL Page 13 of 15 Fund Unemployment Comp Res Employees Health Ben Res Worker's Compensation Res Wellness/EAP Total Employee Ben Reserve EMPLOYEE BENEFIT RESERVES 2016 Revenues Actual Amended Actual Beg Bal Budget Revenue $ 441,244 $ 197,000 $ 207,271 1,616,969 10,407,500 11,334,3 74 734,214 1,069,780 1,137,718 127,185 121,800 60,463 $ 2,919,612 $ 11,796,080 $ 12,739,826 17 Exhibit VI RISK MANAGEMENT RESERVE Exhibit VII 2016 Appropriations Appropriations 2016 % Amended Actual % Ending Rec'd Budget Exp Exp'd Balance 105.2%, $ 227,351 $ 157,319 69.2%, $ 491,196 108.9%, 11,588,338 11,050,950 95.4% 1,900,393 106.4% 1,311,017 1,424,351 108.6% 447,581 49.6% 121,800 57,279 47.0% 130,369 108.0% $ 13,248,506 $ 12,689,899 95.8% $ 2,969,539 RISK MANAGEMENT RESERVE Exhibit VII 2016 Revenues Appropriations 2016 Actual Amended Actual % Amended Actual % Ending Fund Beg Bal Budget Revenue Rec'd Budget Exp Exp'd Balance Risk Management Reserve $ 733,243 $ 4,894,000 $ 3,748,370 76.6% $ 5,664,864 $ 3,439,980 60.7% $ 1,041,633 Fund GO Bond Redemption LID Guaranty 2002 GO Convention Center 2005 GO Various Bonds 1996 GO LTD - Conv Center LID Debt Service Control Total G.O. Bond Redemption Water/Sewer Revenue Bond Redemption Water Rev Bonds &Debt Service WW Rev Bond & 2008 Debt Service Irrigation Bond Debt Service WW Rev Bond Reserve & 2012 Debt Svc Total W/S Rev Bond Red Agency Funds YakCorps Firemens' Relief and Pension Total Agency Funds OTHERFUNDS 2016 Revenues Actual Amended Actual Beg Bal Budget Revenue $ 25,329 $ 50 $ - 163,591 1,026,103 1,026,039 8,734 3,312,239 3,312,239 69,030 428,750 429,653 - 48,000 - $ 266,684 $ 4,815,142 $ 4,767,931 Exhibit VIII Appropriations 2016 % Amended Actual % Ending Rec'd Budget Exp Exp'd Balance 0.01/1) $ - $ - n/a $ 25,329 100.0% 1,024,025 1,024,025 100.0% 165,605 100.0% 3,312,239 3,312,239 100.0% 8,734 100.2% 424,700 424,700 100.0% 73,983 0.0%) 48,000 - 0.0%) - 99.0% $ 4,808,964 $ 4,760,964 99.0% $ 273,651 $ 366,380 $ 235,125 $ 234,700 99.8% $ 234,700 $ 234,700 100.0% $ 366,380 - 411,813 411,813 100.0% 411,813 411,813 100.0% - 34,813 317,542 317,541 100.0% 317,541 317,541 100.0% 34,813 1,618,148 1,166,700 1,165,000 99.9% 1,165,000 1,165,000 100.0% 1,618,148 $ 2,019,341 $ 2,131,180 $ 2,129,054 99.9% $ 2,129,054 $ 2,129,054 100.0% $ 2,019,341 $ - $ 655,777 $ 664,615 101.3% $ 655,777 $ 564,546 86.1% $ 100,069 1,019,850 1,324,260 1,312,385 99.1% 1,349,628 1,162,654 86.1% 1,169,581 $ 1,019,850 $ 1,980,037 $ 1,977,000 99.8% $ 2,005,405 $ 1,727,200 86.1% $ 1,269,650 FIN Report 4th Qtr 2016TL Page 14 of 15 18 Exhibit IX TOP 10 CAPITAL PROJECTS Total Actual $ 39,719,000 FIN Report 4th Qtr 2016TL Page 15 of 15 2016 2016 Expected Project Number/Description Dept Budget Expended Funding Source Completion 2376 Airport -Alpha Taxiway AP $10,120,000 $ 9,475,952 FAA Grant FY2016 Construction Passenger Facility Charges 2390 N 1st St Revitalization Phase II ST 6,855,000 370,856 Street Capital Reserves n/a State Grant, $6m LTGO Bond 2426 Road Improvements ST 5,000,000 - LTGO Bond n/a 2416 Beech St Interceptor Phase III WW 4,000,000 437,302 Charges for Services FY 2017/18 Capital Reserves 2406 SOZO Improvement & Land PK 3,350,000 2,428,854 LTGO Bond (carryover) FY 2016/17 Purchase Phase II n/a Transit Bus Replacement (7) TR 3,094,000 1,415,900 Transit Sales Tax, Capital FY 2016/17 (3 received, 4 on order in 2017) Reserves, WSDOT Grant 2405 Yakima Central Plaza Phase II CBD 2,800,000 654,325 Community Donations, FY 2018/19 LTGO Bonds TBD N 1st St Revitalization - Stormwater SW 1,790,000 - Charges for Services n/a Capital Reserves 2391 N 1st St Revitalization - W 1,200,000 - Charges for Services n/a Water Main Replacement Capital Reserves n/a Fire ladder truck replacement F 1,510,000 521,244 Fire Capital Reserves, FY 2015-17 (on order) State LOCAL lease program $ 39,719,000 FIN Report 4th Qtr 2016TL Page 15 of 15