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HomeMy WebLinkAbout2008 Final BudgetCity of Port Townsend Final Budget 2008 Table of Contents Page CityManager Budget Message ........................................................................................... ..............................i CityOfficials ..................................................................................................................... ..............................1 Citizen Advisory Boards, Commissions, and Committees ................................................ ..............................2 Overview........................................................................................................................... ..............................4 BudgetPolicies .................................................................................................................. ..............................6 FundSummary ................................................................................................................ .............................12 GeneralFund Summary .................................................................................................... .............................14 General Fund Revenues and Expenditures ...................................................................... .............................15 General Fund Departmental Budgets Legislative— City Council ............................................................................................. .............................22 CityManager ................................................................................................................. .............................24 CityAttorney ................................................................................................................. .............................26 CityClerk ...................................................................................................................... .............................29 PlanningDepartment ..................................................................................................... .............................32 Development Services Department .............................................................................. .............................35 PoliceDepartment ......................................................................................................... .............................38 FinanceDepartment ....................................................................................................... .............................42 FacilitiesMaintenance ................................................................................................... .............................45 Non - Departmental ....................................................................................................... ............................... 46 PEGAccess Studio ...................................................................................................... .............................47 FundEquity Transactions .............................................................................................. .............................49 Special Revenue Funds DrugEnforcement Fund ........................................................................................... ............................50, 54 ContingencyFund .................................................................................................... ............................50, 54 Community Development Block Grant Fund ........................................................... ............................50, 55 LodgingTax Fund .................................................................................................... ............................50, 56 Community Services Fund (Service Providers, Parks, Recreation and Pool Departments) .................52, 58 SystemDevelopment Charge Fund .......................................................................... ............................51, 55 StreetFund ............................................................................................................... ............................59, 61 Fireand EMS Fund ............................................................................................... ............................... 52,57 LibraryFund .................................................................................................................. .............................62 Public Works Administration and Engineering Fund ............................................... ............................79, 84 Debt Service Fund GeneralGovernment Debt Service ................................................................................ .............................67 UtilityDebt Service ....................................................................................................... .............................70 LegalStatutory Debt Margin ......................................................................................... .............................73 Capital Project Funds CapitalImprovement Fund ............................................................................................ .............................75 UtilityConstruction Fund .............................................................................................. .............................78 Enterprise Funds & Trust Funds Water /Sewer Utility Fund .............................................................................................. .............................85 StormwaterUtility Fund ................................................................................................ .............................96 EquipmentRental Fund ................................................................................................. .............................98 Firemen's Pension and Relief Fund ............................................................................... .............................99 City of Port Townsend Final Budget 2008 Table of Contents Transmission Line Replacement Fund ............................................. ............................... ............................100 MemorialFund ................................................................................. ............................... ............................101 GolfCourse Fund ............................................................................. ............................... ............................102 NWMaritime Center Fund ............................................................... ............................... ............................103 Appendices Comparison of Local Governments' Fund Balance Reserves ....... ............................... ............................105 TaxLevy Rate History .................................................................. ............................... ............................106 PersonnelServices ......................................................................... ............................... ............................107 Employee FTE (Full Time Equivalences) Table ........................... ............................... ............................110 Glossary......................................................................................... ............................... ............................112 City of Port Townsend Final Budget 2008 City Officials COUNCILMEMBERS Position #1 Michelle Sandoval Term expiring December 2009 Position #2 Catharine Robinson Term expiring December 2009 Position #3 Laurie Medlicott Term expiring December 2011 Position #4 George Randels Term expiring December 2011 Position #5 Mark Welch Term expiring December 2009 Position #6 David King Term expiring December 2011 Position # 7 Brent Butler Term expiring December 2011 City of Port Townsend CITY MANAGER David Timmons DEPARTMENT DIRECTORS Public Works Director Kenneth Clow Development Services Director Leonard Yarberry Finance Director Michael Legarsky Police Chief Conner Daily Library Direector Theresa Percy City Attorney John Watts City Clerk Pamela Kolacy Citizens Advisory Citizen Advisory Boards, Commissions, Task Forces, Committees and Subcommittees LIBRARY ADVISORY BOARD 5 DESIGN REVIEW ADVISORY COMMITTEE (5) CIVIL SERVICE COMMISSION (3) Bill Maxwell VACANT Ronald V. Kosec Weston Eng Gaiy Kennedy Gail A. Ryan Caitlin Harrison Amy Dahlberg VACANT Eileen Price Ian Keith Kate Schumann Guy Hupy TREE COMMITTEE HISTORIC PRESERVATION COMMITTEE (5 -7) DOWNTOWN PARKING ADVISORY BOARD Jeff Randall Gee Heckscher Sam Kyle Richard Hefley Michael Colbert Kristen Nelson George Bush Barbara Marseille Mark Cole Robert Schramek Charles Paul Marilyn Sta les Dave Keeler Richard Berg Mari Mullen James `Bond' DeLeo Marsha Moratti Scott Walker Nancy Stelow Rosalind Russell Fred Haynes UPTOWN DESIGN RELATED STRATEGIES COMMITTEE ARTS COMMISSION (up to 9) LODGING TAX ADVISORY COMMITTEE (11 voting members) Frank Benskin Stanley Rubin Laurie Medlicott (elected official) Brent Butler Linda Davis Okazaki Sherri Hanke (at large) Julian Ray VACANT VACANT (at large) Charles Paul Nancy Newman Keven Elliff (recipient) Richard Berg Clifford Wood Dave Robison (recipient) Mike Kenna Frank Vane Sue McIntire (recipient) Malcolm Dorn VACANT Steve Shively (recipient)) Cappy Mathias Sheriy Kack Jim Pivarnik (collector) Jeannie Moore David Speck VACANT (collector) Susan or Mike Webb Tim Stover (recipient) Rick Se ler John Eissin er (collector) John Owens (facilitator) Tim Caldwell (ex- officio) Main Street (ex- officio) NON - MOTORIZED TRANSPORTATION ADVISORY BOARD (9) UPTOWN PARKING STRATEGIES COMMITTEE PARK & RECREATION ADVISORY BOARD (7) Chauncey Tudhope- Locklear Geoff Masci Barbara McColgan Pastore Owen Fairbank David King Marilyn Muller Bly Windstorm Julian Ray Monica Mick -Hager Jane Whicher Ian Keith Patsy Caldwell Peter Lauritzen Bob Alei VACANT Andrew Reding Sally Chapin Brenda McMillan Pat Teal Pat Scott Pat Ryan Chris R. Jones Ken Clow /Dave Peterson/Rick Sepler Jolly Wahlstrom City of Port Townsend Citizens Advisory PLANNING COMMISSION HOUSING NEEDS ASSESSMENT ADVISORY GROUP PEG ACCESS COORDINATING COMMITTEE 8 VACANT L. Katherine Baril John Watts Harriet Capron Mike Blair David Kin Bill LeMaster Zoe Durham Mark Welch VACANT Steve Emery Julian Ray George Unterseher Linda Germau Theresa Percy Kristen Nelson Sandy Hershelman Tom O stall Jerauld Fry Kathy McKenna Gary Nelson Julian Ray Steve Pa sse Karen Nelson Steven Emery David R m h Kitti deLon (Producers Rep) Michelle Sandoval David Sullivan SHORELINE ADVISORY GROUP SIGN CODE REVIEW COMMITTEE ALTERNATIVE ELECTRIC MANAGEMENT COMMITTEE Steve Chapin Michelle Sandoval George Randels Andy Gale VACANT Larry Crockett Kevin Harris Brian Murray BOCC appointment Gary Kennedy Sheila Westerman Kees Kolff David King Ken Radon Andrew Reding Dave Robison J. Briar Kolp Crispin Hollinshead Heida Diefenderfer Kim Sands Jeff Randall Larry Crockett alt. Ken Radon (ex- officio) Mark Dumond Communications/Fiberoptics appointment Michelle Sandoval (ex- officio) Coila Sheard Je kerman Cindy Thayer (ex- officio) Jim Manier Bill Wise Ted Labbe (ex- officio) Albert Mendez Tribes appointment Kate Burke (ex- officio) Marsha Moratti Judy Surber (staff) Joel Colby (ex- officio) Malcolm Dorn Randi Thurston (ex- officio) Lois Sherwood Hugo Flores (ex- officio) Suzy Carroll SHORELINE AD -HOC COMMITTEE HOUSING ACTION PLAN NETWORK COMMITTEE Jeffree Stewart David Rymph Randi Thurston L. Katherine Baril Sam Gibboney Al Cairns Richard Berg Sandy Hershelman David King Dan McMilan Monica Mick -Hager Susan Miller Owen Fairbank Kees Kolff Judy Surber (staff) Michael Rody Phil Johnson Michelle Sandoval Judy Surber (staff) City of Port Townsend General Fund Revenues The City of Port Townsend provides what are considered general governmental services authorized by state law, including public safety, streets, parks and recreation, planning and zoning, permits and inspections, general administration, water, resources. The funds are segregated for the purpose of carrying on specific activities or attaining certain objectives. Funds are budgeted on a cash basis in accordance with the Revised sewer and storm services, garbage and Code of Washington (RCW) 36.33. library services. OVERVIEW Budgeting is an essential element of the financial planning, control, and evaluation processes of government. The planning process involves determining the types and levels of services to be provided and allocating available resources among various departments, programs or functions. Financial control and evaluation procedures typically focus upon assuring that fixed expenditure limitations (appropriations) are not exceeded, and on comparing estimated and actual revenues and expenditures. The budget authorizes and provides control of financial operations during the fiscal year. Upon adoption, the expenditure estimates, as modified by the Council, are enacted into law through the passage of an appropriations ordinance. The appropriations constitute maximum expenditure authorizations during the fiscal year, and cannot be exceeded until subsequently amended by the Council. Expenditures are monitored through the accounting system to assure budgetary compliance. The City of Port Townsend's accounting and budgeting systems are organized and operated on a fund basis as required by state law. A fund is defined as a fiscal and accounting entity with a self - balancing set of accounts recording cash and other financial City of Port Townsend While typically thought of as a financial activity done to satisfy state law, budgeting is a process of planning. Fiscal planning involves all elements of government and should be considered one of the most important functions for city officials. The process of budgeting will not only allocate fiscal resources to meet needs and provide services, but will set a direction for the future. The elements of good planning include identifying community needs, city resources, the capability to meet community needs, and a plan to match such resources to the needs. The planning for this document starts with the Council retreat in early spring. At that retreat Council discusses many issues including program priorities and capital project prioritization and timing. The City Manager's budget is presented to the full Council during several work sessions in October. Two public hearings are then scheduled for November with a final public hearing and adoption date in early December. Related to this process is the City's Capital Facilities Plan as required by the Growth Management Act (GMA). This plan has significant requirements in the area of facilities planning and capital improvement financing. The GMA is to ensure that those public facilities and services necessary to support General Fund Revenues development shall be adequate to serve the development at the time the development is available for occupancy and use, without decreasing current levels of service below locally established minimum standards. The Capital Facilities Plan (CFP) is segregated into major categories: General Governmental, Transportation, Water, Sewer, Storm and Surface Water and Parks and Recreation. The City adopted a Capital Facilities Plan as part of the Comprehensive Plan. Subsequent Council policy decisions and amendments to the Comprehensive Plan require periodic review and amendments to the Capital Facilities Plan. This budget document is developed in a manner to study and review the direction of the City of Port Townsend. This document outlines the manner in which financial resources will be managed during the fiscal year. The course the city is taking can be changed through the allocation of financial resources. The major groups who participate in the budget process are the City Manager, City Council, department directors, city committees and commissions, city staff, and interested Port Townsend citizens. A budget document is read by a diverse group of persons. The budget must describe clearly and completely the nature and scope of policies, plans and programs for the year. It must communicate this information at different levels and for different purposes. One of the most important functions of the budget document is to describe future implications and relationships of policies, plans and programs to members of the public. The budget document is an opportunity for the public to acquire background information necessary to City of Port Townsend provide meaningful comment and feedback to members of the City Council and City staff during the year. The City of Port Townsend's budget process is designed to provide essential structure for the financial planning, control, and evaluation process of government, presenting a forecast of expected resources and the purposeful distribution of those revenues. Once adopted, the budget is a formal expression of public policy on the City's objectives and priorities and on how resources will be provided to meet those objectives. State law establishes the budget process and time limits. The calendar for the City of Port Townsend's budget can be found at the end of this document in the addendum section. The financial aspects of the budget are monitored in regular monthly reports issued by the Finance Department comparing actual expenditures and revenues with the budget. The budget can be changed (amended) at any time after it is adopted by the City Council passing another ordinance in an open public meeting. Normally, the budget is reviewed during the year to identify any adjustments. In the City of Port Townsend, policy begins with general direction provided by the City Council. The City budget process serves the function of creating a framework to implement the policies set forth by that body to administer the City organization and deliver the various services to the community. General Fund Revenues Under the general guidance of the City Manager, department directors have primary responsibility for formulating budget proposals in line with Council priorities. Budget policy begins with an understanding of the needs and issues important to the community that the government serves. General goals and priorities are identified in order to apply the available financial resources of the City for specific funding proposals. Previous budgets are considered in this process, thereby providing continuity with previous programming. The Finance Department is responsible for coordinating all aspects of the budget process on behalf of the City Manager, analyzing department budget information, preparing budget revenue estimates, assembling the budget document and providing overview financial monitoring and reporting once the budget is adopted. The Finance Department assists in identifying budget problems, formulating solutions and alternatives, and implementing corrective action approved by the City Manager. The City uses a line -item budget development approach and uses that level of detail as a backbone to the actual budget document. However, the budget is formally adopted at the fund level. This budget seeks to achieve these four interrelated functions: A Policy Tool The City's budget process is conducted in a manner that allows City's officials an opportunity to comprehensively review the direction of the City and to redirect its activities by means of the allocation of City of Port Townsend financial resources. On this basis, the budget sets policy for the following year. This budget also facilitates the evaluation of City programs by providing a means to measurably examine the financial activities of the City departments over time. An Operations Guide This budget provides financial control by setting forth both legislative and administrative guidance to city employees regarding the character and scope of their activities. This direction is set forth in both summary and detail form in the various products of the budget process. A Financial Plan The budget outlines the manner in which the financial resources of the City will be managed during the budget period. This allocation of resources is based on understanding both the current year's needs and a long -term view of the development of the City's programs. The budget takes into account unforeseen contingencies and provides for the need for periodic adjustments. As a Communication Medium This budget provides management information as a comprehensive tabulation of information regarding both the character and scope of City activity. No budget can be effective unless it communicates. Since this budget has a diverse audience, it seeks to communicate at several levels and for several purposes. It seeks to communicate clear policy at a usable level of detail to City employees, to communicate significant policy issues and options in a form that can be acted on by officials, and to communicate the plans of the City to its constituents in a manner which affords them an opportunity General Fund Revenues to provide meaningful comments to the elected officials. BUDGET SUMMARY While the budget planning and adoption process is discussed above, there are many issues that are important to discuss in order to understand the dynamics of this document. For financial and accounting purposes, municipal operations are divided into two broad categories: general governmental and proprietary. Budgets are established for all funds. There are 28 budgeted funds in the City of Port Townsend and they are classified within seven basic fund groups, as described below General governmental funds include three funds. The first is the General Fund which provides basic City services such as city administration, legislative, legal, personnel services, risk management, financial services, public safety, street maintenance, planning, building, zoning, facilities, and associated support functions. The resources to support these activities are primarily taxes and user fees. Special Revenue funds account for the proceeds of specific revenue sources other than special assessments, expendable trusts or major capital projects. These revenues finance particular activities or functions as required by law or administrative regulations. Debt Service funds accumulate resources and account for the payment of principal and interest for the City's general obligation long -term debt and special assessment debt. The City pledges its full faith and credit for payment of these obligations. • Resources for redemption of Council- approved (limited) issues are usually from the general property City of Port Townsend tax levy. • Resources for payment of special assessment debt are from assessments levied against benefited properties. • Resources for redemption of revenue bonds are from the sales of the goods and services. The debt service funds are the General Obligation Debt Service Funds, and the Water /Sewer Revenue Bond Funds. Capital Project funds account for the acquisition or development of major capital facilities, except those projects financed by the enterprise funds. Sources of revenue for these funds can include bond proceeds, federal /state grants, general property taxes, interest earnings, and transfers from other funds. Enterprise funds are established for government activities that are financed and operate in a manner similar to private business. The user primarily finances costs of providing services to the general public. There are two types of enterprise funds. They are the Water /Sewer Fund and Storm and Surface Water Fund. Internal Service funds account for the financing of goods and services provided by one department or agency to other departments or agencies in the City. The City's internal service fund is the Equipment Rental and Reserve Fund. Fiduciary funds include Pension Trust, Expendable Trust, and Agency Funds, which are used to account for assets held by the City in a trustee capacity or as an agent for individuals, private organizations, other governmental units, and /or other funds. The City has five of these funds, which are: General Fund Revenues • Firemen's Pension and Relief • Transmission Line Replacement • Treasurer's Agency • Deferred Compensation- Kemper • Deferred Compensation -ICMA • Memorial • Golf Course • Northwest Maritime Center GENERAL FUND REVENUES The City's General Fund receives the greatest amount of its operating revenues from a variety of taxes. State law limits those taxes. Property Tax Property taxes are collected on 100 percent of assessed valuation (A.V.) as determined by the Jefferson County Assessor's Office in accordance with state law. The maximum that the City can levy is 101 percent of the highest of the three (3) most recent years' levies, plus the impact of new construction at the previous year's levy rate, plus miscellaneous adjustments. The new construction assessed value amount for 2008 is estimated at $15,000,000 as compared to $25,000,000 in 2007. State statutes do not allow the city to levy more than $3.60 per $1,000 of assessed valuation. The City of Port Townsend is well below the statutory limit, and it is at $1.56 per $1,000 of assessed valuation for 2008. In November 2001, the voters of the state approved Initiative 747, which sets limits for annual increases in property taxes to 1% without a vote of the people. This Initiative was found unconstitutional by the state supreme court in 2007, but the legislature enacted this requirement with House Bill City of Port Townsend 2416. In November of 1997, the voters of the state approved Referendum 47, which sets limits in three areas for property tax: 1) The State tax levy increases now annually limited to the lesser of the I.P.D. inflation factor or 1 %; 2) The 1997 temporary tax reduction was made permanent; and 3) A new limit factor for the local jurisdictions on property tax. As previously stated cities still are limited to 101 %, but now there is an inflation factor called an implicit price deflator (IPD). The IPD for personal consumption in the United States is published for the most recent twelve -month period by the Bureau of Economic Analysis of the Federal Department of Commerce in September of the year before the taxes are due. Following this definition the percentage change in the IPD has been calculated at 2.084 percent for 2008. As the referendum provides, cities may go above the IPD to any percentage up to the 101 percent. In order to levy the full 101 percent, a substantial need must exist, and a resolution or ordinance must be adopted by a supermaj ority of the City Council. Those provisions of Referendum 47 do not limit Cities under a population of 10,000. Property Tax Levy Rate by District District 2008 2007 2006 2005 2004 PUD $0.08929 Port $0.17304 City EMS $0.31785 Hospital $0.26360 County $1.29898 City Gen. $1.56180 State $2.04050 Local Sch. $2.31895 County Fu. $0.04054 Totals $8.10455 $0.10498 $0.21000 $0.31659 $0.34282 $1.52245 $1.40629 $2.35345 $2.06897 $0.04752 8.36641 $0.10826 $0.22038 $0.31544 $0.36373 $1.57006 $1.40629 $2.55206 $2.24764 $0.04900 8.81417 $0.09880 $0.10570 $0.22822 $0.22822 $0.44585 $0.43941 $0.41705 $0.11526 $1.76250 $1.76360 $1.39798 $1.97334 $2.76464 $2.81487 $3.11351 $3.40501 $0.05388 $0.05555 $10.81370 $11.19749 General Fund Revenues City Regular Levy The City remains highly dependent on property tax revenues, as other revenue sources are not increasing sufficiently to meet the basic needs in providing necessary services. 2.00% 1941 Rate City EMS Levy Assessed Property Per 1965 Valuation Tax $1,000 1997 $490,190,800 $1,091,268 $2.22621 1998 $566,060,010 $1,184,232 $2.09206 1999 $571,156,455 $1,275,369 $2.23967 2000 $581,462,160 $1,304,964 $2.24428 2001 $598,546,125 $1,333,740 $2.22830 2002 $714,495,450 $1,365,808 $1.91157 2003 $730,161,880 $1,407,511 $1.92767 2004 $753,279,600 $1,465,001 $1.94483 2005 $775,296,585 $1,529,923 $1.97334 2006 $1,156,702,595 $1,617,047 $1.39798 2007 $1,193,600,895 $1,678,549 $1.40629 2008 $1,221,864,640 $1,908,308 $1.56180 The City remains highly dependent on property tax revenues, as other revenue sources are not increasing sufficiently to meet the basic needs in providing necessary services. 2.00% 1941 3.00% City EMS Levy 3.30% 1959 4.00% 1965 Rate 1967 Assessed Property Per 1979 Valuation Tax $1,000 1997 $490,190,800 $122,548 $0.25000 1998 $566,060,010 $132,209 $0.23356 1999 $571,156,455 $139,862 $0.24609 2000 $581,462,160 $290,731 $0.50000 2001 $598,546,125 $299,273 $0.50000 2002 $714,495,450 $309,462 $0.43312 2003 $730,161,880 $318,307 $0.43594 2004 $753,279,600 $330,999 $0.43941 2005 $775,296,585 $342,666 $0.44585 2006 $1,156,702,595 $364,870 $0.31544 2007 $1,193,600,895 $377,882 $0.31659 2008 $1,221,864,640 $388,370 $0.31785 Retail Sales & Use Tax Retail Sales and Use Tax consists of two city portions. The first portion is a local tax of one -half of one percent less fifteen percent paid to the county. The second portion includes an "optional" one -half of one percent, less the fifteen percent county share. This provides a combined city portion of 0.0085 from each dollar of local sales. This was authorized by the State Legislature in 1982 and further authorized by the city and provided for in Port Townsend's Municipal Code Title 3, Chapter 3.12. The sales tax was adopted in 1935 as an integral part of the Washington State Revenue Act. The state's portion of the sales tax history is: Year Rate 1935 2.00% 1941 3.00% 1955 3.30% 1959 4.00% 1965 4.20% 1967 4.50% 1976 4.60% 1979 4.50% 1981 5.50% 1982 5.40% 1983 6.50% There has been no adjustment to the state's portion since 1983. City Sales Tax Collections Year Amount 1997 $1,052,047 1998 $1,079,409 1999 $1,146,378 2000 $1,122,584 2001 $1,347,379 2002 $1,364,042 2003 $1,440,383 2004 $1,555,448 2005 $1,701,688 2006 $1,693,267 2007 $1,658,833 2008* $1,700,000 * = estimated Business and Occupation (B&O) Tax The business and occupation tax was imposed in 1968 with the adoption of Port Townsend Municipal Code Title 5, Chapter 5.04. This tax applies to the gross income of businesses at the rate of 0.002. This tax is due and payable in quarterly installments: March, June, September and December. City of Port Townsend 9 General Fund Revenues B &O Tax Collections Year Amount 1995 $257,569 1996 $262,360 1997 $269,241 1998 $287,864 1999 $298,308 2000 $299,379 2001 $353,538 2002 $347,203 2003 $378,963 2004 $414,029 2005 $536,150 2006 $622,305 2007 $646,752 2008* $636,076 * = estimated State Shared Revenues State shared revenues are derived from gasoline taxes, liquor receipts (profits and excise taxes) and motor vehicle fuel excise taxes. These taxes are collected by the State of Washington and shared with local governments based on population. The Office of Financial Management determines the population figures used for the distribution of state - shared revenues. Port Townsend's 2008 estimated population is 8,865. Port Townsend should be prepared for lower per capita distributions of state - shared revenues in the future. Liquor Receipts Profits and Taxes Cities and towns are responsible for the policing of liquor establishments located within their limits but are precluded from taxing them because of the state liquor monopoly. The law provides that a share of the state - collected profits and taxes be returned to cities and towns to help defray the cost of policing liquor establishments. Liquor Board profits consist of the difference between revenue from state liquor stores, taxes on wine and beer, license fees, penalties and forfeitures and board expenditures. Except for monies from administrative fees and those attributable to Class H licenses, the profits are divided among the state, counties, cities, and towns. Cities and towns receive a 40 percent share. An additional amount is distributed to border area cities and towns. Cities and towns also receive 28 percent of the liquor excise tax receipts. To be eligible to receive liquor taxes and profits, a city or town must devote at least 2 percent of its distribution to support an approved alcoholism or drug addiction program. Utility Tax The City imposes a utility tax on telecommunications, electricity, and natural gas at the rate of 6 percent. The City also imposes a utility tax on city provided utilities. Beginning in April 2007, the utility tax rate on city provided utilities is 20% for water, sewer, storm and garbage utilities. Leasehold Excise Tax Most leases of publicly -owned real and personal property in the state are subject to a leasehold excise tax in lieu of a property tax. The State Legislature in 1976 established a 12 percent tax to be levied on the contract rent. In 1987, the State Legislature increased the rate to a total of 12.84 percent. Cities and counties may collectively levy up to 6 percent of the 12.84 percent. The maximum rate for cities is 4 percent and, if a city levies this amount, the county can levy only 2 percent on leaseholds in the incorporated City of Port Townsend 10 General Fund Revenues areas. If a city chooses not to levy its maximum, the county captures the difference to the 6 percent lid. The City of Port Townsend imposes the leasehold excise tax at the rate of 4 percent. Doing so does not affect the rate that leaseholders must pay; it simply determines who receives the money. Traffic and Parking Fines Although the State Supreme Court establishes the schedule of fines for traffic infractions in the Washington Model Traffic Ordinance RCW Chapter 46.90, cities and towns share in the revenue for infractions committed within their boundaries. After the fines are collected, 35 percent is sent to the state. The remainder is deposited in the General Fund to pay for law enforcement services. Licenses, Permits & Fees The City collects license fees, building permit fees and miscellaneous user fees. Building Permit Fee Collections Year Amount 1996 $167,000 1997 $185,248 1998 $171,528 1999 $281,794 2000 $248,541 2001 $264,687 2002 $308,034 2003 $361,809 2004 $461,887 2005 $423,722 2006 $319,738 2007 $279,457 2008* $312,277 * = estimated City of Port Townsend 11 Fund Summary Fiscal Year 2008 Funds Operating Funds General Fund Public Works Admin & Engineering Fund Library Fund Community Services Fund Fire & EMS Services Fund LID #1 LID #2 Drug Enforcement Contingency Fund Street Fund Lodging Tax Fund CDBG Fund Water Sewer Fund Stormwater Fund Equipment Rental Fund Firemen's Pension Fund Operating Fund Subtotals Capital, Debt, & Trust Funds Capital Improvement Fund SDC Fund Transmission Line Replacement Fund G.O. Debt Service Fund 78 Water Sewer Revenue Bond Fund 92/98 Water Sewer Revenue Bond Res. Fund 92 Water Sewer Revenue Bond Red. Fund Utility Construction Fund NW Maritime Center Agency Fund Golf Course Fund 1/01/2008 1 /01 /2009 Estimated 2008 2008 Beginning Fund Estimated Estimated Fund Balance Revenues Appropriation Balance $ 346,479 $ 7,595,944 $ 7,451,360 $ 491,063 0 1,114,113 1,104,938 9,175 6,701 771,028 771,028 6,701 (18,414) 839,166 820,752 - 3,060 1,209,549 1,209,549 3,060 35 - - 35 20 - - 20 659 2 - 661 167,056 6,682 - 173,738 154,030 736,161 889,675 516 203,207 350,604 352,395 201,417 75,721 13,030 50,000 38,751 3,583,924 4,378,351 5,727,100 2,235,175 332,030 447,377 709,390 70,017 345,314 1,035,093 808,219 572,187 310,097 92,626 83,600 319,123 $ 5,509,920 $18,589,724 $ 19,978,006 $ 4,121,638 207,005 2,870,500 2,925,500 152,005 235,316 347,413 550,000 32,729 3,551,905 192,076 55,000 3,688,982 58,989 659,497 658,138 60,348 49,002 26,085 24,125 50,963 433,180 17,327 - 450,508 47,356 604,644 602,750 49,250 48,044 1,420,922 1,419,000 49,966 2 154,000 154,000 2 10,000 20,400 11,000 19,400 Memorial Fund 21,010 840 18,000 3,851 Capital, Debt, & Trust Fund Subtotals $ 4,661,810 $ 6,313,704 $ 6,417,513 $ 4,558,002 Grand Totals $ 10,171,730 $24,903,429 $ 26,395,519 $ 8,679,640 Notes: 1. CDBG means Community Development Block Grant. 2. SDC means System Development Charge. 3. G.O. means general obligation. 4. LID means Local Improvement District. City of Port Townsend 12 O LO C � O N (0 LL 0 o O °O VJ LL L L -a N � (2) (2) O N O - N O m :� C LL Q Q � r C m CN M �G N (A i O LL co E 000 O co U 1-- LL a) U a0 M a) U) 0o LO a) 63 0 Y U C a) 0) Q O � O a) O a -.4- a) LO U a) 61� E C, LL z O O a) co co � O 0 r— L a O N Ln LO O -a L O CD 4-- c (n N L � L to a N co N 00 N U_ a O a LL N co O co C 7 N -a "a .0 L LL U) O LL a a) U a a) a� (A co a) cu >>+"- 0_ m EN LL N � LL as co _- co co E co Zr ''/^� co VJ cc G L (u L E N N U) r— a) a W a) N C Q) Ln (A (� m U LL C _ Co 0 C� W C� 0 o O J U) O O O ao O O LL -a C Eu a LL O E vii a a) O co 21- o � lL cu � O O a � \ 0 O O co � O 0 a O N Ln LO O -a 7 J O I a N O -a c a O LO LL .--, LL a O a LL LO (Al a a) O a C 7 N -a E O LO O O — O LL Na) LL >Lo �( co co a) cu � 0_ m EN d co U) co a) N Sao 0 U E co _- a) °) co Zr Q' "a u (A Q N N U) r— a LL X co -a a Q) Ln (A (� m U LL LL _ Co 0 N W O O co O O r- (A a a LL a) co E 0 m co co � 0 a O 7 co I N a N O o LL LO O a 0) LL a) a U N d LL LO a �' LO U) O JW LO � CN co a) J � c E E co _- O U N H d 0 U � C 7 I LL LO O N O O co U CD N ?- L-0 "a 00 LO � a) a O c U) N a a co _- CD co w a) "a LL (A N N U) r— a LL X co -a a Q) Ln (A (� m LL LL _ Co 0 N U o J U) N H d 0 U General Fund Summary Budget Budget Contribution Estimated Estimated To Revenues Expenditures Fund Balance Estimated Beginning Fund Balance $ 346,479 General Fund Departments City Council $ 5,974,092 $ 91,458 $ 5,882,634 City Manager - 221,398 (221,398) City Attorney - 341,479 (341,479) City Clerk 4,500 230,044 (225,544) Planning Department 60,000 212,258 (152,258) Development Services 358,427 577,131 (218,704) Finance 726,667 319,524 407,143 Police Admin 56,531 592,356 (535,825) Police Operations 343,477 1,896,308 (1,552,831) Police Training - 7,840 (7,840) City Facilities 16,000 309,696 (293,696) Public Restrooms - 7,312 (7,312) Safety Committee - 1,100 (1,100) Non - Departmental - 112,062 (112,062) PEG TV Department 56,250 56,021 229 Transfer -out Debt Service - 171,000 (171,000) Transfer -out Community Services - 724,166 (724,166) Transfer -out Library - 759,028 (759,028) Transfer -out Fire /EMS - 821,178 (821,178) $ 7,595,944 $ 7,451,359 $ 144,585 Estimated Ending Fund Balance $ 491,064 General Fund Balance Reserve % achieved 6.5% City of Port Townsend 14 General Fund Estimated Revenues General Fund Revenue Summary by Category Increase Estimated Revenues 2008 2007 (Decrease) Taxes $5,711,094 $5,426,160 $ 284,934 Licenses & Permits 364,527 525,850 $ (161,323) Intergovernmental 186,235 187,404 $ (1,169) Charges for Services 1,194,238 1,216,396 $ (22,158) Fines & Forfeits 113,200 107,300 $ 5,900 Miscellaneous Receipts 26,650 28,583 $ (1,933) Operating Transfers -in - - $ - Totals $7,595,944 $7,491,693 $ 104,251 City of Port Townsend 15 General Fund Estimated Revenues General Fund Taxes by Category Property taxes $ 1,741,874 Retail sales taxes 1,813,800 Private utility taxes 695,518 Public utility taxes 672,650 Business & occupation taxes 636,076 Leasehold excise taxes 105,176 Cable franchise taxes 46,000 Total $ 5,711,094 General Fund Taxes by Category Leasehold excise taxes Cable franchise 2% taxes 1% Business & occupation taxes Property taxes 11 % 30% Public utility taxes 12% Private utility taxes 12% Retail sales taxes 32% City of Port Townsend 16 V •L N D A A J cv H C 7 O 0 ao N M O 2 5 w� a� L 7 0 0 o O o d 0 In 0 O U 0 U) m N CO U O J 0, 0 Co L.0 (n N a� N 0 0 H `o IL 0 0 General Fund Summary Category of Expenditure General Government Economic Environment Public Safety Transfers: Library, Community Services, Debt & Fire /EMS Object of Expendidture Personnel costs Operating costs Intergovernmental costs Capital Outlays Interfund transfers out $ 1,363,258 1,116,225 2,496,504 2,475,371 Total $ 7,451,359 $ 3,210,053 881,742 539,941 25,000 2,475,371 Total $ 7,451,359 City of Port Townsend 18 A� W O A/Y W L Q x LU LL Y L rI U T N O U N o C Lo C � O N L LL v o C C O L L QO O � N N ° > O co L LO co I1 V M C � 7 N C N O U 0) 0 Er L Q L U i }0}�� AV/ W U a� L C Q x LU C LL L rI U 06 N c N U_ U) J w -0 L N CO (n a) co LL C � E E O U PI a� 0 H `o a 0 0 c a� E c O L � O W Lo U_ E N E c C O U W o O co CD L V N CO U) o U co 7 d 06 N c N U_ U) J w -0 L N CO (n a) co LL C � E E O U PI a� 0 H `o a 0 0 N L C Q x W r.+ C Q E L Q Q 0 C 7 LL L Q c Q LM u L cm co co m C M o Co o N M .�' � A U C Cb 7 LO O o U rn co r— r r co U) o +� W o � � r O N L L LL C co O LO 2 o c +- oo O O O L J N C co N qt N a LO 0 Co m o c — q1t co EA c E (O LO Q CO o Cj Uco O LO ^O LL 1� a� U_ N O CD \ OM N E N >, co 'C co C o "= N U co a)N� E r" co QLO O C=) 0 CN co O cm N a) N � E I� C N D o\ ^^(o O E LL Q LO wCo M I U C L cm co co m C M o Co o N M .�' � A U C Cb 7 LO O o U rn co r— r r co U) o +� W o � � r O N L L LL C co O LO 2 o c +- oo O O O L J N C co N qt N a LO 0 Co m o c — q1t co EA c E (O LO Q CO o Cj Uco O LO ^O LL 1� E O E O O O — o U O Co Co C U O N E ,o O o N Q N � N D c O Z c o co co O L cvi Q O LO O co N N � U � O d O) C O co C6 o 0,.0 U E0- O d N N O O U Co 0 LL O CO •_�" Ef} U N E O 0 N N� CO o LL ,. O U E0- 7 d 1 N 0 H O d 0 U E U C O CN O Co EA (n O Q N N CD o o OK N I� U O (O O C=) � L y CV 0, E 0U_N O E L O wCo U v D C co E O E O O O — o U O Co Co C U O N E ,o O o N Q N � N D c O Z c o co co O L cvi Q O LO O co N N � U � O d O) C O co C6 o 0,.0 U E0- O d N N O O U Co 0 LL O CO •_�" Ef} U N E O 0 N N� CO o LL ,. O U E0- 7 d 1 N 0 H O d 0 U Legislative The City Council is the legislative branch of the city government within the City of Port Townsend. Policy- making is one of the most important responsibilities of the City Council. The general powers and duties of this body are provided in the Revised Code of Washington Chapters 35A.11 & 35.21. As a comprehensive policy setting directive, the Council develops various master plans. These plans are the foundation for developing the annual final budget. These plans are also opportunities for citizens to have direct input into the major policies affecting the community. City master plans include the GMA Comprehensive Plan, Water Master Plan, Transportation Master Plan, Storm Master Plan (draft), Parks & Recreation Master Plan, Non - motorized Plan, Arterial Street Master Plan, Port Townsend Shoreline Master Plan, Wastewater Collection Plan, Bio Compost Marketing Plan, Library Development Plan, and the Capital Facilities Plan. In developing the master plans, the City Council holds public hearings to allow public input and testimony. This represents hundreds and hundreds of hours of testimony and debate. These master plans are comprehensive and provide fiscal guidance both in the annual budget and the long -term strategic budget development. After master plans are adopted by the Council, the City's department directors develop annual budget requests to implement the master plans. Each director develops budget requests for the City Manager to review. This process results in the City Council debate and passage of the final annual budget in December each year. In the year 2000, the City Council adopted three budget policies to guide the City toward financial stability. Budget Policy #1 - requires the City to maintain a General Fund, beginning fund balance, between 5% to 8% of available General Fund revenues. Budget Policy #2 - requires the City to set aside in a General Fund Council Reserve, 1% of available General Fund revenues. Budget Policy #3 - requires the City to set aside in a Contingency Fund 2% of estimated General Fund revenues. The City Manager established a process to achieve the Council budget policies. This budget has achieved those goals. City of Port Townsend 22 Legislative Revenues By Program Taxes Licenses & permits Intergovernmental Revenues Charges for Services Fines and Forfeits Miscellaneous Receipts Equity transfers in Less: revenue provided to departments Total Estimated Revenues Expenditures By Program Legislative Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Capital Outlay Total Expenditures Performance Measures: Ending General Fund Balance (Policy amount needed = 5% to 8 %) General Fund Balance - City Council Amount Reserved (Policy amount needed = 1 %) General Fund Balance -total Ending Fund Balance Contingency Fund Balance as a percent of General Fund Estimated Revenues (Policy amount needed = 2 %) Notes: 1. Budget Budget Year Year Increase 2008 2007 <Decrease> $ 4,890,245 $ 4,724,343 $ 165,902 6,000 6,000 - 250 250 - 1,058,697 1,097,968 (39,271) 12,900 6,250 6,650 (5,876,634) (5,689,863) (186,770) Note 1 $ 91,458 $ 144,947 $ (53,489) $ 91,458 $ 144,947 $ (53,489) $ 91,458 $ 144,947 $ (53,489) $ 48,537 $ 48,864 $ (327) 37,921 84,083 (46,161) 5,000 12,000 (7,000) $ 91,458 $ 144,947 $ (53,489) U.J %0 These revenues are collected to provide City services through all General Fund departments, including =und Equity Transactions. City of Port Townsend 23 City Manager Port Townsend I Citizens City Council City Manager Citizen Boards and Commissions Administrative Assistant City Attorney City Clerk Police I I I Public Works Planning I I I Finance Library I I I Development m Services Community I I I Public Services n Utilities City of Port Townsend 24 City Manager The City Manager is the Chief Executive and Administrative Officer, and as such, is responsible for carrying out the policies of the Council. The City Manager's department includes the City Manager and a confidential receptionist. This department provides over -all administration of the city's affairs. This includes enacting the policies and officially representing the city for the public and other governmental entities. Mission Statement: The administration's mission is to equitably carry out the legislative goals, policies, and programs of the City of Revenues By Program Executive - General Fund Support Expenditures By Program Safety Committee Administrative Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Capital Outlay Total Expenditures Port Townsend within an atmosphere of mutual trust and respect. Budget Budget Year Year Increase 2008 2007 <Decrease> $ 222,498 $ 218,351 $ 4,147 $ 1,100 $ 1,100 $ - 221,398 217,251 4,147 $ 222,498 $ 218,351 $ 4,147 $ 206,778 $198,740 $ 8,038 14,220 17,611 (3,391) 1,500 2,000 (500) $ 222,498 $ 218,351 $ 4,147 City of Port Townsend 25 City Attorney City of Port Townsend 26 City Attorney Functions Provides legal advice /representation for all City Departments, officials, and employees, including civil litigation; City ordinance violation; drafting and reviewing ordinances, resolutions, agreements, contracts, and other City - related real estate and legal documents. Department Mission, Goals and Objectives: The City Attorney's Office provides legal services in a fair, efficient and effective manner. We provide legal advice, opinions and representation to the City Manager, City Council, and staff on a broad range of matters: • General civil litigation • Law enforcement/prosecution • Labor law, employment, personnel issues • Land use /environmental issues • Risk management • Utility and water law • Contract drafting and negotiation Real estate transactions Risk Management Priority and Litigation Response. The City Attorney's Office prioritizes aggressive and prompt response to lawsuits, and focuses on early pre - litigation involvement and intervention, thereby minimizing the City's litigation exposure and limiting our dependence on outside legal counsel. Good risk management, active legal consultation with City Departments and the City Council, open channels of communication with citizens, and early legal intervention reduce the risk of litigation and limit our taxpayers' exposure to the financial liabilities associated with lawsuits against the City. Year 2008 Goals • Continue providing legal perspective and assistance to City Council, all City Departments, City Boards and Commissions • Draft and /or review all City ordinances, resolutions • Draft and /or review all City agreements, contracts, leases, and real estate transactions • Review pending legislation of State Legislature and forward opinion /comments • Review and present policy alternatives and proposed solutions to any identified issues, and recommend ordinance amendments, as necessary, in the following areas: (1) Shoreline Management Act (SMA) amendments to comply with State Department of Ecology (DOE) mandates; (2) State Environmental Policy Act (SEPA); (3) Right -of -way /street use agreements, including vegetation management and telecommunication issues; (4) Temporary special event ordinance and procedures; (5) Permitting and approvals under City regulatory framework, to ensure provisions in various regulations (land use, SMA, critical areas) are clear and consistent; (6) Historic preservation and demolition regulations; (7) Essential public facilities regulations; (8) Personnel policies, and contract and code provisions relating to personnel; (9) Protection of City's domestic water resource; (10) Surplus property issues. City of Port Townsend 27 City Attorney Revenues By Program Legal Services - General Fund Support Expenditures By Program Muncipal Court Administration Legal Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Intergovernmental Services Capital Outlay Total Expenditures Note 1 Budget Budget Year Year Increase 2008 2007 <Decrease> $ 341,479 $ 332,558 $ 8,921 $115,668 $110,000 $ 5,668 Note 1 225,811 222,558 3,253 $ 341,479 $ 332,558 $ 8,921 $181,883 $174,049 $ 7,834 43,928 48,509 (4,581) 115,668 110,000 5,668 $ 341,479 $ 332,558 $ 8,921 Starting in 2006, the costs for Municipal Court are administered through an interlocal ;ontract with Jefferson County in the City Attorney's budget center. City of Port Townsend 28 City Clerk City Manager City Clerk Civil Service Function The office of the City Clerk serves as custodian of the city's legislative history Activities include maintenance of council minutes and other permanent city records, production of agendas and minutes for council and committee meetings, publishing required legal notices and all meeting notices required Deputy Clerk by the Open Public Meetings Act. Public information requests are processed and monitored to assure compliance with the state public records disclosure act. The city's web site was designed and established and is maintained by the clerk's office. The clerk also assists the City Manager in risk management and personnel issues. City of Port Townsend 29 City Clerk Mission Statement The mission of the City Clerk's office is to create, maintain, preserve and provide access to the city's legislative and administrative record. Accomplishments 2007 Provided agendas, packets, and minutes for all council meetings and committee meetings. Used grant funding to provide microfilm reader on site for archival records. Worked with IT to upgrade electronic imaging system with a direct link to web site. Coordinated all appointments to advisory boards and commissions. Revised Civil Service Rules. Fulfilled public records requests, including several major ones requiring multiple installments. Goals and Obiectives 2008 Expand use of electronic records management system; integrate electronic imaging and other systems with web site to provide greater direct access for information to public, including provision of Council packets on line. Continue archiving historic records and maintaining records according to state retention schedule. Conduct Civil Service hiring process for new and replacement Police staff positions. Finalize and implement updated personnel policies. Review municipal code to identify outdated references and inconsistencies. Performance Measures Indicator 2005 2006 2007 2008 Clerk 1 1 1 est Meetings 1 1 1 1 staffed 116 115 100 100 Civil 1 2 1 2 1 2.1 2.1 Service 1 2 3 3 Testing Agenda 212 135 184 180 Bills Council 2286 1,700 2,052 2,000 Corres . Staffing FTE Position 2005 2006 2007 2008 Clerk 1 1 1 1 Deputy 1 1 1 1 CC video 0 0 .1 .1 Total 1 2 1 2 1 2.1 2.1 City of Port Townsend 30 City Clerk Revenues By Program General Fund support Archive Fees Grants Total Revenues Expenditures By Program City Clerk Services Total Expenditures Expenditures by Object Personnel Operting Expenditures Capital Outlay Total Expenditures Percent of coverage of expenditures by revenues Budget Budget Year Year Increase 2008 2007 <Decrease> $ 225,544 $ 219,697 $ 5,847 4,500 4,500 - $230,044 $224,197 $ 5,847 $ 230,044 $ 224,197 $ 5,847 $230,044 $224,197 $ 5,847 $175,830 $161,278 $ 14,552 53,214 56,111 (2,897) 1,000 6,808 (5,808) $230,044 $224,197 $ 5,847 1.96% 2.01% -0.05% City of Port Townsend 31 Planning Department City of Port Townsend 32 Planning Department Mission Statement: Assist the community in their consideration of alternative future directions and implementation of policies in regards to the long -term development of the city. In addition, facilitate all long -range land use planning activities, including, but not limited to, those relating to comprehensive planning, shoreline master planning and critical area regulation. Value Statements: • Serve the public interest as it has been identified through continuous and open community discussion. • Provide timely, adequate, clear and accurate information on planning issues to all affected persons and to governmental decision makers. • Ensure that community members have a meaningful impact on the development of plans and programs that may affect them. • Promote excellence of design and endeavor to preserve and enhance the integrity and heritage of the natural and built environment. • Strive for a high standard of professional integrity, proficiency and knowledge. Strategic Goals & Objectives for 2008 Goals: • Ensure that identified community initiatives are facilitated in an effective, economically viable and timely manner. • Ensure that community involvement in developing long -range planning goals and implementing planning initiatives is focused and meaningful. • Ensure implementation of community goals through the development of appropriate regulations. Objectives: • Facilitate the development of the Upper Sims Way / Howard Street Strategy and Implementation Plan. • Facilitate the Town Meeting process to address long -term issues in the community and inform the Mid -Cycle review process for the Comprehensive Plan. Facilitate the public and environmental review process for the City's Transportation Plan. • Facilitate the Uptown Parking and Design Strategies process as identified at the Uptown Charette. • Address short and long -term issues associated with Washington State Ferries service to Port Townsend. • Prepare revisions to the Port Townsend Municipal Code for consideration by Planning Commission, Council and the Community. Focus area for proposed revision will be: Sign Code standards, teardowns and "megahomes ". • Facilitate the implementation of the Housing Action Plan. • Investigate the potential for municipal provision of electrical power service in Port Townsend. • Coordinate with the Department of Natural Resources on possible amendments to the City's Harbor Area pursuant to the SMP update • Support the Climate Action Committee in developing local approaches to reduce greenhouse gas emissions. Assist Development Services permitting function on a project-specific basis. City of Port Townsend 33 Planning Department Revenues By Program General Fund support Planning Services Misc Revenues Intergovernmental Total Revenues Expenditures By Program Planning Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Capital Outlay Total Expenditures Percent coverage of expenditures by revenues Budget Budget Year Year Increase 2008 2007 <Decrease> $ 152,258 $ 189,392 $ (37,134) 60,000 - 60,000 $ 212,258 $ 189,392 $ 22,866 $ 212,258 $ 189,392 $ 22,866 Note 1 $ 212,258 $ 189,392 $ 22,866 $ 192,990 $ 160,362 $ 32,628 19,268 29,030 (9,762) $ 212,258 $ 189,392 $ 22,866 28.27% 0.00% 28.27% Starting in 2008, Special Projects was segregated as the new Planning Department. City of Port Townsend 34 Department of Development Services Administration and Customer Services Counter Administrative Assistant City Manager Development Services Director Assistant Director Land Use I Public Permitting Rights -of -Way Permitting Land Use I Public Works SpecialistI u Development Review SpecialistI Land Use I Public Works Specialist LEI Development Review Specialist H Building Official I Senior I Development Building Permitting Planner 11 Review Engineer City of Port Townsend 35 Department of Development Services Function Descriptions: DSD Director: Manages the department, sets goals and priorities for land use permitting, public rights -of -way permitting, and building permitting divisions. Oversees work product of these divisions. Manages the permit center, which is a one -stop counter where the public may conduct all their business and receive information regarding development projects. Building Permitting Division: Intakes and process building permit applications. Assists the public with understanding applicable codes and regulations. Coordinates the issuance of building permits with other city permits and licenses. Enforces the City's municipal code in regards to building, land use, shoreline codes, and nuisance issues. Land Use Permitting Division: Intakes and process land use, shoreline, and design review applications. Coordinates the issuance of these permits with other city permits and licenses. Responsible for code updates and amendments including state mandated and council directed code amendments. Coordinates with county staff regarding issues that affects both jurisdictions. Public Rights -of -Way Permitting Division: Intakes and process building permit applications related to city rights -of -way and utilities. Assists the public with understanding applicable codes and regulations. Coordinates the issuance of building permits with other city permits and licenses. Administration: Supports the director and all DSD staff with their work functions. City of Port Townsend 36 Department of Development Services Revenues By Program General Fund support Permits Zoning Fees Planning Services Misc Revenues Intergovernmental Total Revenues Expenditures By Program Building & Planning Services Special Projects Total Expenditures Expenditures by Obiect Personnel Operating Expenditures Capital Outlay Total Expenditures Percent coverage of expenditures by revenues Budget Budget Year Year Increase 2008 2007 <Decrease> $ 218,704 $ 349,654 $ (130,949) 312,277 275,349 36,928 32,000 43,750 (11,750) 14,000 2,000 12,000 150 3,200 (3,050) $ 577,131 $ 673,953 $ (96,821) $ 577,131 $ 673,953 $ (96,821) - - - Note 1 $ 577,131 $ 673,953 $ (96,821) $ 405,800 $ 563,243 $ (157,443) 170,331 110,710 59,621 1,000 - 1,000 $ 577,131 $ 673,953 $ (96,821) 62.10% 48.12% 13.99% >tarting in 2008, Special Projects was segregated as the new Planning Department. City of Port Townsend 37 Police Department City Manager I Police Chief Administrative Patrol I Patrol Admin Patrol Supervisor Sergeant Sergeant Sergeant Sergeant Squad A Squad B Police Clerks Patrol Officers Patrol Officers Citizen School Liasion Volunteers Bike Safety Code Enforcement Detective Police Reserve Officers Police Cadets City of Port Townsend 38 Police Department MISSION STATEMENT The Police Department's mission is to build a partnership with the community by providing accountable, effective, and professional police services based upon mutual trust and respect. MAJOR PROGRAM SERVICES The Department is currently organized into three divisions: 1) Administration & Support Services 2) Patrol and 3) Investigations. ADMINISTRATION Consists of the Chief of Police who provides the overall management and direction, planning, budgeting, scheduling, inspections, and training for the Department. The Chief is assisted by one administrative sergeant. SUPPORT SERVICES Consists of a Police Administrative Supervisor/Evidence Technician and two Police Clerks. Support Services handles telephone and personal requests for service from the public; processes and maintains all reports generated by Police Department Officers and staff, performs data entry in department database and regional /national law enforcement telecommunications systems; conducts background checks on arrested persons, processes all citations, and prepares all report packages for dissemination; produces mandated State and Federal statistical reports. The Evidence Technician is responsible for the records management, maintenance, and security of the Police Department's evidence /property room. (city police department contracts with Jefferson County for Jail and Dispatch services.) PATROL Currently consists of three uniformed sergeants and ten uniformed officers. The Patrol Division is the `backbone' of the police operation and the "face" of the police department to the public. This program provides 24- hour -a -day, seven - days -a -week law enforcement coverage. The officers perform all facets of law enforcement, including responding to emergency situations and service calls. Other primary responsibilities are ensuring safety and protection of persons and property through proactive and directed patrol, conducting criminal investigations, collecting evidence, recovering lost or stolen property, and apprehending violators. Patrol also facilitates the safe, expeditious movement of vehicle, bicycle, and pedestrian traffic, and renders services of problem solving and community oriented policing to promote the peace and enhance the quality of life for residents and visitors. The Citizen Volunteer Program is coordinated and overseen by a Retired California Police Officer. INVESTIGATIONS The Investigations Division, (currently consisting of one officer), conducts professional and comprehensive follow -up investigations of reported major crimes and manages self - initiated investigations, criminal intelligence gathering, and crime trend analysis. The Investigations Division enhances contact with victims of major crimes and maintains an effective relationship with the Prosecutor, Courts, and other local, state, and national law enforcement agencies. 2008 GOALS AND OBJECTIVES • Enhance training for every officer in the area of Financial Crimes, Identity Theft, Computer and other Hi -Tech Crimes. • Implement a plan to increase cooperation and working relationships with other agencies and entities to combat the damaging effects of methamphetamine abuse. City of Port Townsend 39 Police Department • Bolster the Investigative Division to include an additional detective to aggressively pursue felony crime suspects. • Streamline the Patrol Division staffing schedule to put more officers on the road during historically, understaffed hours, as well as times of increased call for service volume. City of Port Townsend 40 Police Department Expenditures By Proaram Administration Budget Budget 32,762 Operations Year Year Increase Training 2008 2007 <Decrease> Revenues By Program $ 2,496,504 $ 2,535,550 $ (39,046) General Fund support $ 2,096,496 $ 2,136,980 $ (40,484) Court Appointed Inmate fees - - - Fines 107,200 108,000 (800) Grants 7,500 17,605 (10,105) Law enforcement services 26,000 26,000 - Retail Sales Taxes - Criminal Justice 113,800 112,708 1,092 Public Utility Taxes - Water, Sewer,Storm, Garbage 87,737 79,844 7,893 Criminal Justice Taxes 12,305 10,060 2,245 Liquor Excise Taxes 41,666 40,212 1,454 Motor Vehicle Taxes 2,000 1,940 60 Miscellaneous 1,800 2,200 (400) Total Revenues $ 2,496,504 $ 2,535,550 $ (39,046) Expenditures By Proaram Administration $ 592,356 $ 559,594 $ 32,762 Operations 1,896,308 1,968,956 (72,648) Note 1 Training 7,840 7,000 840 Total Expenditures $ 2,496,504 $ 2,535,550 $ (39,046) Expenditures by Obiect Personnel $1,637,715 $ 1,555,262 $ 82,453 Supplies 853,789 975,288 (121,499) Capital Outlay 5,000 5,000 - Total Expenditures $ 2,496,504 $ 2,535,550 $ (39,046) Percent of coverage of expenditures by revenues 16.02% 15.72% 0.30% Note 1 In 2006, interlocal contracts with Jefferson County for services were relocated in the Police Department from the city contracts cost center for monitoring and control: Animal control services Jail services Dispatch services City of Port Townsend 41 Finance Department City Manager Finance Director Deputy I I Information Technology Finance Director Administrator Customer I I Accounting & Services Treasury Utility Billing Accounting and B &O Taxes Assistant Clerk I Accounts Payable Utility Billing Payroll/ and B &O Taxes Benefits Clerk I Administrator Grants & Contract Compliance Specialist City of Port Townsend 42 Finance Department The Finance Department provides a variety of financial services for the City, which includes: • Cashiering services; • Cash and investment portfolio management; • Debt management; • Budget preparation and administration; • Annual financial report preparation; • Business license issuance and monitoring; • Business and Occupation Tax reporting; • Grant revenue and expenditure reporting; • Parking citation receipts; • Local Improvement District assessment collections; • Utility billing for water, sewer, and storm; • Payroll and employee benefits; • Federal and state payroll tax reporting; • Accounts payable and audit of vendor claims; • Project management reporting; • Computer systems technology; and • Monthly and annual financial reporting of all revenues and expenditures. Departmental Mission: The Finance mission is to manage and optimize the city's finances and provide professional, knowledgeable and courteous customer service. 2007 Accomplishments • Successfully completed the annual audit by the State Auditor; and • Closed out Fire Hall and City Hall capital project funds; and • Enhanced customer service information available on city web page; and • Completed equipment rental rate study for fleet and information technology; and • Completed cost of service analysis for water /sewer fund utilities; and • Designed and implemented a new treasury management system. 2008 Goals and Objectives In 2008, we will be establishing necessary project accounting for Upper Sims Way LID projects and reporting for project costs. In addition to establishing the accounting for the project, it will require interim financing and long term financing to pay for construction costs. Enhancing the capital project cost system and developing new reporting methods will be a focus this year. Goal: Determine financing plan for Upper Sims Way capital projects. • Work with Public Works to develop preliminary project costs; and • Establish project accounting records; and • Develop financing strategy for project. Goal: Implement new capital project reporting system. • Design project reporting system that will be network based; and • Train staff to utilize new system. Goal: Continue to enhance information availability on the city web page. • Utility customer service information; and • Utility payments via other payment methods, ACH automatic debit, and Internet payments. Goal: Continue to improve financial reporting of the city's revenues, expenditures, and financial condition. City of Port Townsend 43 Finance Department $260,837 $225,888 $ 34,949 • Strive for excellence in both budgeting 55,937 62,269 (6,332) and financial reporting; and 2,750 2,750 - • Continue to improve financial reporting $ 319,524 $ 290,907 $ 28,617 of the city's revenues, expenditures, and Percent coverage of expenditures by revenues 227.42% financial condition. -27.71% Budget Budget Year Year Increase 2008 2007 <Decrease> Revenues By Program B &O tax collections $636,076 $646,038 $ (9,962) Business & Other Licenses 40,000 46,000 (6,000) Interfund Services 40,591 38,271 2,320 Investment income 10,000 11,883 (1,883) Total Revenues $ 726,667 $ 742,193 $ (15,526) Expenditures By Program City Financial Services $ 319,524 $ 290,907 $ 28,617 Total Expenditures $ 319,524 $ 290,907 $ 28,617 Expenditures by Obiect Personnel $260,837 $225,888 $ 34,949 Operating Expenditures 55,937 62,269 (6,332) Capital Outlay 2,750 2,750 - Total Expenditures $ 319,524 $ 290,907 $ 28,617 Percent coverage of expenditures by revenues 227.42% 255.13% -27.71% City of Port Townsend 44 Facilities Maintenance Department Mission Statement: The mission of the Facilities Maintenance Division is to operate and maintain the city owned buildings and public restrooms. This work is accomplished with one Maintenance Worker and a janitorial contract that is administered by the Water Department Operations Manager and supervised by the Fleet/Facilities Crew Chief. The Crew Chief also performs or coordinates minor building repairs and modifications. In 2008, we will continue efforts to expand completion of deferred maintenance of existing facilities to include City Hall, Pope Marine Building, and Parks facilities. We will also be renewing the janitorial contract for City -owned facilities. Revenues By Program General Fund support Interfund maintenance charges- Lodging Tax Fund Federal grants Custodial Services Total Revenues Expenditures By Program Public Restrooms City Hall and Facilities Total Expenditures Expenditures by Obiect Personnel Operating Expenditures Capital Outlay Total Expenditures Percent of coverage of expenditures by revenues Budget Budget Year Year Increase 2008 2007 <Decrease> $ 301,008 $ 210,704 $ 90,304 16,000 10,000 6,000 - 6,442 (6,442) $ 317,008 $ 227,145 $ 89,863 $ 7,312 $ 7,200 $ 112 309,696 213,504 96,192 $ 317,008 $ 220,704 $ 96,304 $ 83,572 $ 75,199 $ 8,373 231,436 139,005 92,431 2,000 6,500 (4,500) $ 317,008 $ 220,704 $ 96,304 5.05% 4.53% 0.52% City of Port Townsend 45 Non - Departmental The General Fund cost center "Non - Departmental" is where costs, which are not directly assigned to an existing General Fund department, are summarized. In previous years, costs for contracted services to Jefferson Revenues By Program General Fund support Grants - Interagency for Outdoor Recreation Total Revenues Expenditures By Program Intergovernmental Services Reserve (medical benefits, garbage utility retiree) Total Expenditures County were listed here. In 2006, the city assigned the county services to specific city departments to manage. The expenditures remaining are for benefit reserves, and other state agency charges. Budget Budget Year Year Increase 2008 2007 <Decrease> $ 112,062 $ 57,529 $ 54,533 $ 112,062 $ 57,529 $ 54,533 3,969 3,935 $ 34 Note 1 108,093 53,594 54,499 $ 112,062 $ 57,529 $ 54,533 Expenditures by Object Intergovernmental Services - Jefferson County contract $ - $ - $ - Note 1 Operating Expenditures 112,062 57,529 54,533 Total Expenditures $ 112,062 $ 57,529 $ 54,533 Percent of coverage of expenditures by revenues 0.00% 0.00% 0.00% Note 1 n 2005, these services included the cost of contract services provided by Jefferson County: District Dourt, Dispatch, Alcohol and Drug Abuse, Animal Control, and Computer Network Support. Starting n 2006, the interlocal contract costs were reassigned to various city departments to monitor and administer as part of their department budgets. City of Port Townsend 46 PEG Access TV Studio Mission Statement The mission of the Public, Educational and Governmental (PEG) Access Studio is community through communication. Summary The PEG Access Studio fund supports the operation of PTTV Channels 47 (public) and 48 (government and educational) for non - commercial public, educational and governmental programming. Studio space is provided by Port Townsend School District No. 50. The studio is currently staffed by a contract station manager. Major capital equipment has been purchased or leased which will serve the basic needs of users for the next few years. The PEG Access Coordinating Committee provides policy recommendations regarding the studio. PEG funding also provides for televising of City Council and other government meetings and programs not produced in the studio. Accomplishments Increased PT High School sports coverage. Reviewed feasibility of public arm of the channel established as a non - profit. Established new fee schedule. Goals and Objectives Continue complying with Council directives regarding examination of: (3) responsibilities of stakeholders and station personnel and partners of the station; (4) improving and clarifying the 2001 interlocal agreement; (5) allocation of resources among public, educational and governmental programming (6) methods for providing accountability for the allocation of resources City of Port Townsend 47 PEG Access TV Studio Revenues General Fund support Utility Tax- TV Cable Franchise Fee TV Public Access Fee Program Fees Total Revenue Expenditures Operating Expenditures Capital Outlay Personnel Total Expenditures Program Revenues in Excess of Expenditures Percent coverage of expenditures by revenues Budget Budget Year Year Increase 2008 2007 <Decrease> 46,000 48,219 (2,219) 6,250 8,850 (2,600) 4,000 4,100 (100) $ 56,250 $ 61,169 $ (4,919) $ 42,503 $ 47,569 $ (5,066) - 235 (235) 13,518 13,518 - $ 56,021 $ 61,322 $ (5,301) $ 229 (1531 $ 382 100.0% 100.0% 0.0% City of Port Townsend 48 Fund Equity and Transactions This budget summary was developed to assist the City Council with monitoring the General Fund beginning fund balance amounts. Also, this budget summary enables the Council to provide policy guidance for budgeting a Council General Fund reserve amount in accordance with City Council policy. This cost center is where all General Fund transfers out to other city funds shall be recorded. This budgetary Ending General Fund Balance City Council Reserved Fund Balance - (1 %) Unreserved Fund Balance Total Ending Fund Balance Other Financing Uses provision allows the City Council and citizens to more clearly see when budgetary transfers are to occur, and where those transfers went. Finally, this summary provides the totals for the General Fund, ending fund balance as projected in the budget development. Interfund Subsidies - Transfer out to Bond 2005 Fund Interfund Subsidies - Transfers -Out to Street Fund Interfund Subsidies - Transfers -Out to Emergency Services Fund Interfund Subsidies - Transfers -Out to Library Fund Interfund Subsidies - Transfers -Out to Community Services Fund Total Other Financing Uses Total Fund Equity and Other Financing Uses Notes: Budget Budget Year Year Increase 2008 2007 <Decrease> $ 59,741 $ 58,348 $ 1,393 see Note 1 431,322 288,131 143,191 $ 491,063 $ 346,479 $ 144,584 $ 171,000 $ 171,000 $ 821,178 819,000 2,178 759,028 714,847 44,181 724,166 659,089 65,077 $ 2,475,371 $ 2,363,935 $ 111,436 $ 2,966,434 $ 2,710,414 $ 256,020 Beginning in year 2000, the City Council established a financial policy requiring a reserve in the General Fund equal to 1 % of General Fund revenues. The reserve may only be spent by Council authorization through a supplemental budget. City of Port Townsend 49 Special Revenue Funds Special revenue fund types are used to account for the proceeds of specific revenue sources (other than expendable trusts or for major capital projects) that are legally restricted to expenditure for specified purposes. The city presently budgets ten special revenue funds: • Drug Enforcement and Education Fund • Contingency Fund • Community Development Block Grant Fund • Lodging Tax Fund • System Development Charge Fund • Library Fund • Fire and EMS Services Fund • Public Works Administration and Engineering Fund • Community Services Fund • Street Fund Drug Enforcement & Education Fund The Drug Enforcement and Education Fund receives all monies and proceeds of the sale of property seized during drug investigations and forfeitures pursuant to RCW 69.50.050. The monies received shall be used solely for the purposes of drug enforcement, drug awareness education, and the purchase, lease and maintenance of equipment and other items necessary for drug enforcement. There is no staff assigned to operate this fund. It is used primarily to account for earmarked monies. Contingency Fund Beginning in 2000, the City Council authorized a contingency fund to accumulate resources from the general property tax levy for future unforeseen needs and emergencies. The policy adopted by the City Council seeks to set aside up to 2% of General Fund revenues as a contingency reserve. This reserve may only be used by an appropriation of the City Council. State law (RCW 35A.33.145) authorizes this fund and limits the reserve level to a maximum of $ 0.375 per thousand dollars of assessed valuation of property within the city. There are no staff assigned to operate this fund. It is used primarily to account for earmarked monies. Community Development Block Grant Fund This fund accounts for the federal community development block grant (CDBG) program that provided federal aid to stimulate local development. The CDBG program provided housing and economic development grants. The federal program has long since closed, but loan repayments are deposited into this fund and become program income to the program in accordance with federal regulations. This process, in effect, recycles the original federal grant on a continual basis enabling other qualified applicants to have access to the federal program. Lodging Tax Fund A lodging tax is imposed upon recommendation of the city's Lodging Tax Advisory Committee, in accordance with Port Townsend Municipal Code Title 3, Chapter 3.20. All such taxes collected in this fund are for the purpose of paying all or part of the cost of tourism promotion, acquisition of tourism, related facilities, operation and maintenance of tourism, and for such other purposes as authorized in RCW Chapter 67.28. Lodging tax funds may be used to pay for any engineering, planning, financial, legal and professional services incident to the development and operation of tourism - related facilities, to secure the payment of all or any portion of general obligation bonds or revenue bonds issued for City of Port Townsend 50 Special Revenue Funds such purpose as specified. The sole source of revenue is the lodging tax This tax is derived by taking 2 percent of the state's 6.5 percent sales tax and rebating it back to the community for local programs to promote and accommodate tourism. On October 5, 1998, the City Council passed Ordinance 2663 authorizing an imposition of an additional "special" 2% excise tax. This special 2% excise tax was effective starting February 1, 1999. This results in a combined lodging tax of 4 %. System Development Charge Fund The System Development Charge (SDC) Fund was created as authorized by Ordinance 2666 in November 1998. Pursuant to Chapter 13.03 PTMC, the City has determined that it is reasonable and in the public interest to collect water and wastewater system development charges for the purpose of recovering a proportionate share of the actual and projected costs of water and wastewater facilities from those properties which, as a part of their development and use, create the need for those facilities. The SDC Fund was created to account for system development charges assessed by the city's water and wastewater utilities to property developers. Also, this fund is used to account for deferrals of system development charges for selected low - income housing projects. Those projects selected for deferral of SDC's shall be accounted for in a special account as authorized by the City Council. Authorized deferrals of SDC charges shall be paid by a contribution from the city's General Fund with a transfer of monies to the System Development Low - Income Deferral Account. As cities nationwide face increased costs for expanding and upgrading water and wastewater (sewer) facilities, they are looking for ways to charge the costs equitably among the utility customers who are receiving the benefits. Port Townsend is one of many cities challenged with funding the most costly capital projects in its history. State and federal regulations are forcing the city to construct expensive improvements to existing water and wastewater systems. When new facilities are constructed, excess capacity for future growth must be included to avoid frequent costly future expansions. Historically, as new growth occurs, the existing ratepayers have subsidized these expenses. Now, as in many other communities, the City of Port Townsend has decided to more fairly charge those who are benefiting directly, by establishing System Development Charges, or SDCs. With SCDs (also known as Impact Fees for certain services), those responsible for growth pay a more realistic proportion of the costs associated with growth. State law requires that SDCs collected be placed in a dedicated fund for use only on construction projects that are being oversized to accommodate growth. The law further states that all money be spent within five years. If it is not spent on appropriate projects within this time frame, the city is required to refund the money collected. Collections can also be used to pay for extra capacity in already constructed facilities. In essence, they help pay the debt service for those projects. In Port Townsend's case, water SDC revenue is being spent on pipeline improvements, including property purchases, which have been mandated by the State Department of Health. Wastewater SDC revenue will pay for the final stages of the wastewater treatment plant project. These fees will pay only for the excess capacity portion, offsetting debt service payments for these projects. City of Port Townsend 51 Special Revenue Funds State law authorizes establishment of SDCs for water, wastewater and storm drainage. Impact Fees are also allowed for streets, parks, fire and schools. The citizen Impact Fee Advisory Committee originally recommended adoption of SDC /Impact Fees for all of these services except fire. Currently, only the water and wastewater recommendations have been adopted. Library Fund Starting in 2005, a new accounting fund was created for the operation of the city library with enabling city Ordinance No. 2889. In prior years the library was part of the city's general fund. Detail budget information follows. Fire and EMS Services Fund Starting in 2005, a new accounting fund was created for the operation of the city fire department with enabling city Ordinance No. 2889. In prior years the fire department was part of the city's general fund. Detail budget information follows. Public Works and Engineering Fund Starting in 2005, a new accounting fund was created for the operation of the city public works administration and engineering services with enabling city Ordinance No. 2889. In prior years the public works administration and engineering services was part of the city's general fund. Detail budget information follows. Community Services Fund Starting in 2005, a new accounting fund was created for the operation of city community services (parks maintenance, pool, recreation, and domestic violence programs) with enabling city Ordinance No. 2889. In prior years these services were included in various city general fund departments. This new fund includes funding for other city services contract providers. They include Domestic Violence for $30,000, Boiler Room for $5,000, UGN for $4,555, Main Street for $30,000, YMCA for $91,350, and Arts Commission for $11,050. Detail budget information follows. Street Fund The street fund is responsible for the administration and maintenance of the city's transportation network, which includes approximately 74 miles of public roadways together with roadside improvements, sidewalks, bicycle facilities, signalization and illumination systems. The duties associated with this responsibility include: • Street sweeping • Roadside vegetation management and mowing • Landscape maintenance • Pavement and shoulder repair • Pavement markings • Snow and ice control • Traffic signal and illumination system maintenance • Signage • Traffic counts • Transportation planning • Street tree maintenance The street fund receives revenues from state distributions of motor vehicle fuel taxes for two programs: city streets and arterial streets. State law restricts these revenues: City streets: to be used for any street purposes (RCW 46.68.070.110, 47.24.040 and 35.76 RCW) Arterial streets: to be used for highways and arterial streets. For cities with populations less than City of Port Townsend 52 Special Revenue Funds 15,000, cities may use these monies for the maintenance of arterial highways and city streets (RCW 46.68.070). The city consolidated its Arterial Street Fund into the Street Fund in 2000 as allowed by RCW 46.68.070 for cities with populations less than 15,000. These state distributions are not sufficient resources to maintain city streets. The city's general fund provides subsidies in order for the street fund to operate. Detail budget information follows. City of Port Townsend 53 Special Revenue Funds Drug Enforcement and Education Fund Revenues Investment Interest Expenditures Supplies Capital Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Contingency Fund Revenues Property Tax Investment Interest Total Revenues Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Year 2008 Budget Year Increase 2007 <Decrease> 2 $ - $ 2 $ 659 $ 659 $ - 2 - 2 $ 661 $ 659 $ 2 Budget Budget Year Year Increase 2008 2007 <Decrease> $ 6,682 $ 6,180 502 $ 6,682 $ 6,180 $ 502 $ 167,056 $ 160,876 $ 6,180 6,682 6,180 502 $ 173,738 $ 167,056 $ 6,682 City of Port Townsend 54 Special Revenue Funds Community Development Block Grant Fund Revenues Program Income Investment Interest Income Total Revenues Expenditures Community Development Loans Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Revenues Interest Income Water SDCs -City Water SDCs- Outside city Sewer SDCs Total Revenues Expenditures Residual Equity Transfers Interfund Subsidies (Water) Interfund Subsidies (Sewer) Total Expenditures Budget Budget Year Year Increase 2008 2007 <Decrease> $ 10,001 $ 16,000 $ (5,999) 3,029 4,480 (1,451) $ 13,030 $ 20,480 $ (7,450) $ 50,000 $ 25,000 $ 25,000 $ 50,000 $ 25,000 $ 25,000 $ 75,721 $ 80,241 $ (4,520) (36,970) (4,520) (32,450) $ 38,751 $ 75,721 $ (36,970) System Development Charge Fund Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 9,413 $ 25,092 $ (15,680) 180,000 180,202 (202) 13,000 13,000 - 145,000 142,382 2,618 $ 347,413 $ 360,676 $ (13,263) $ - $ 100,000 $ (100,000) 165,000 280,000 (115,000) 385,000 335,000 50,000 $ 550,000 $ 715,000 $ (165,000) $ 235,316 $ 589,640 $ (354,324) (202,587) (354,324) 151,737 $ 32,729 $ 235,316 $ (202,587) City of Port Townsend 55 Special Revenue Funds Lodging Tax Fund Expenditures Professional Services -PT Chamber Budget Budget $ 72,500 Year Year Increase 2008 2007 <Decrease> Revenues (5,000) Professional Services -Other Hotel Motel Taxes $ 342,476 $ 343,322 $ (846) Investment Interest 8,128 6,350 1,778 122,850 Total Revenues $ 350,604 $ 349,672 $ 932 Expenditures Professional Services -PT Chamber $ 66,000 $ 72,500 $ (6,500) Professional Services -PAW 45,000 50,000 (5,000) Professional Services -Other - - - Advertising 125,000 122,850 2,150 Advertising -Joint Marketing 20,000 20,000 Communications 5,000 6,000 (1,000) Miscellaneous - Special Events 32,000 34,500 (2,500) General Fund Overhead Charges 16,000 16,000 - Interfund Services & Charges - Public Restrooms 16,000 10,000 6,000 Interfund Subsidies - McCurdy Pavilion debt service 21,412 22,000 (588) Interfund Subsidies - PT Marine Science Center debt 5,983 6,000 (17) Total Expenditures $ 352,395 $ 359,850 $ (7,455) Estimated Beginning Fund Balance $ 203,207 $ 213,385 $ (10,178) Increase <Decrease> in Fund Balance (1,791) (10,178) 8,387 Estimated Ending Fund Balance $ 201,417 $ 203,207 $ (1,791) City of Port Townsend 56 Special Revenue Funds Fire and Emer2ency Services Fund Revenues By Program General Fund support EMS Levy Residual Equity Transfer in Total Revenues Expenditures By Program Fire Emergency Medical Services (EMS) Contract Emergency Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Intergovernmental Charges -EJFR Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Notes 1 Budget Budget Year Year Increase 2008 2007 <Decrease> $ 821,178 $ 819,000 $ 2,178 388,371 382,500 5,871 - 10,248 (10,248) $ 1,209,549 $ 1,211,748 $ (2,199) $ - $ 13,359 $ (13,359) - 21,920 $ (21,920) 1,209,549 1,183,500 26,049 $ 1,209,549 $ 1,218,779 $ (9,230) $ - $ 32,235 $ (32,235) - 3,044 (3,044) 1,209,549 1,183,500 26,049 Note 1 $ 1,209,549 $ 1,218,779 $ (9,230) 3,059.81 10,091.12 (7,031.31) - (7,031.74) 7,031.74 $ 3,059.81 $ 3,059.38 $ 0.43 Starting in 2007, all fire employees and fire apparatus was transferred to the new ;onsolidated fire district, East Jefferson Fire Rescue. The city contracts directly for fire ind emergency medical services from this new fire district. City of Port Townsend 57 Special Revenue Funds Community Services Fund Revenues By Program General Fund support Charges for services - pool Rental income Miscellaneous event revenues Donations Total Revenues Expenditures By Program Other Contract Service Providers Parks Maintenance Recreation Pool Interfund Charges Events Coordination Total Expenditures Expenditures by Object Personnel Operating Expenditures Capital Outlay Total Expenditures Actual Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 724,166 $ 659,089 $ 65,077 99,000 75,000 24,000 10,000 8,000 2,000 6,000 6,207 (207) $ 839,166 $ 748,296 $ 90,870 $ 80,605 $ 86,855 $ (6,250) 284,758 250,307 34,451 91,564 91,564 - 224,645 215,250 9,395 77,366 74,977 2,389 61,814 47,757 14,057 $ 820,752 $ 766,710 $ 54,042 $ 406,923 $ 351,135 $ 55,788 413,329 415,074 (1,745) r1nn r1nn $ S2U, /b2 $ ibb, / 1 U $ b4,U42 $ (18,414) $ (0) $ (18,414) 18,414 (18,414) 36,828 $ (0) $ (18,414) $ 18,414 Vote 1: Prior to 2005, the Community Services Fund was included as various departments of the 3eneral Fund. City of Port Townsend 58 Street Fund (In conjunction with Wastewater /Storm) Function: The Street Fund provides the resources for the Street Operating Division of Public Works. The Street Division is responsible for the maintenance of streets, gravel roads, alleys, sidewalks and shoulders within the City of Port Townsend. This includes street sweeping, vegetation management, tree removal, grading, pavement and shoulder repair, snow and ice removal, pavement markings and signage. The Arterial Street Fund is incorporated within the Street Fund for the construction, improvement, chip sealing, overlaying with asphalt, seal coating and repair of arterial highway and city streets. Goals and Objectives Goal: Evaluate, identify and prioritize failed road surfaces for reconstruction or overlay and develop an overall Street Operations & Maintenance Plan. Develop a pavement management program using the City's GIS system to identify and map locations of failing roads to create a priority list for repairs. Develop an O & M Plan for Streets. Goal: Continue to work on overlaying the streets and the surfacing of gravel roads throughout the City of Port Townsend. Identify streets that need to be resurfaced with the money that is appropriated for making these improvements. Reduce the number of miles of gravel roads that is needed to be maintained by resurfacing them using either chip sealing or asphalt. This will reduce our maintenance cost and the dust concerns that are raised by the residents on these types of roads. The Arterial Street Fund is incorporated within the Street Fund for the construction, improvement, chip sealing, overlaying with asphalt, seal coating and repair of arterial highway and city streets. In 2007, the city council approved a new dedicated public utility tax for the street fund. The proposed budget reflected a full year of this tax, but the final ordinance enacted it starting in April. As a result, the budget for street capital improvements was reduced from the original adopted ordinance by $204,000 to match the timing of the new public utility tax collections. Goal: Continue to work on replacing problem sidewalks. Identify and replace critical sidewalks with the money appropriated for doing this through the CIP program. Goal: Implement the Streets Capital Improvement Program. 2007 Accomplishments Continued to install hot tape bicycle symbols and arrows on streets that were previously painted to reduce the labor hours to maintain the paint. Continued making spot repairs to the downtown and uptown sidewalks to prevent tripping hazards. Spent approximately 40 hours doing this work. Chip sealed 0.772 miles of gravel streets utilizing the Jefferson County Road Department to do the work with the City forces for the preparation of the streets done. Dug out 230 feet by 8 feet of asphalt on Washington Street between Madison and Monroe ROW'S and repaved with two inches of new asphalt to repair settling in this section City of Port Townsend 59 Street Fund of roadway (Work done by Lakeside Industries). Dug out 30 x 6 feet of asphalt on Washington Street between Tyler and Polk Streets and repaved with two inches of new asphalt to repair settling in this section of roadway (Work done by Lakeside Industries). Prepared a reclamation plan for submittal to the Washington State Department of Natural Resources for the City's Cape George Gravel Pit. (Work done by Parametrixs out of Bremerton). City of Port Townsend 60 2007 as of Street Division Performance Measures 2005 2006 2008 Est. 10/31/07 Citizen concern /requests received 245 307 161 150 Painting of crosswalks, curbs, and parking stalls Time Spent, Hrs. 500 500 500 500 Miles of gravel road maintained twice a 7.0 6.4 5.17 5.0 year Miles of roadway maintained in the City. 76.9 76.9 78 80 Miles of road re- striped —one time per 40 40 40 40 year Street Shoulders - Miles pulled 1.5 1.0 0.5 2 Right -of -Way chip sealed or Paved 0.772 Chip 1.5 1.1 0.80 Depending on (Miles) Sealed Funding City of Port Townsend 60 Street Fund Revenues State Grants Federal Grants (Indirect) Motor Vehicle Fuel Tax Public Utility Taxes - Water,Sewer,Storm,Garbage Street Development Permits Investment Interest Street Payback Collection Miscellaneous Income Operating Transfers- In Total Revenues Expenditures by program Operations Capital Improvement Projects Total Expenditures Expenditures by object Repairs & Maintenance Utility Services Supplies Services & Charges Personnel Capital Outlay Interfund Services Total Expenditures Actual Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> 92,906 112,766 (19,860) 222,423 213,653 8,770 497,176 437,492 59,684 1,000 26,000 (25,000) 6,161 - 6,161 9,100 - 9,100 300 - 300 $ 736,161 $ 677,145 $ 59,015 $ 540,675 $ 507,577 $ 33,098 349,000 116,962 232,038 $ 889,675 $ 624,539 $ 265,136 $ 889,675 $ 624,539 $ 265,136 $ 154,030 $ 101,423 $ 52,606 (153,514) 52,606 (206,120) $ 516 $ 154,030 $ (153,514) City of Port Townsend 61 72,800 72,800 - 41,000 41,500 (500) 92,906 112,766 (19,860) 151,903 149,567 2,336 349,000 116,962 232,038 182,066 130,944 51,122 $ 889,675 $ 624,539 $ 265,136 $ 154,030 $ 101,423 $ 52,606 (153,514) 52,606 (206,120) $ 516 $ 154,030 $ (153,514) City of Port Townsend 61 Library Fund Library Support I Network Library Board of Trustees Public Library Foundation Youth Services Youth Services Librarian (1 FTE) Senior Library Associate (0.75 FTE) Library Associate (0.5 FTE) City Manager Library Director Friends of the Port Townsend Library Port Townsend Library Volunteers Circulation Services Administrative Assistant/ Circulation /Co. (1 FTE) Library Associate Circulation (0.75 FTE) Library Assistant (0.5 FTE) Library Page/ (1 FTE) Information /Technical Services Information & Technical Services Librarian (1 FTE) Associate Librarian (0.5 FTE) Library Associate (0.75 FTE) Processing Technician (1 FTE) City of Port Townsend 62 Library Fund MISSION The Port Townsend Public Library encourages a lifelong love of reading and learning, and supports the quest for knowledge, creativity, and adventure by providing free and open access to information and ideas. RESOURCES AND SERVICES Collections The library has almost 60,000 items including books, magazines and newspapers, videos /dvds, audio books, music cds, and online reference databases which offer many full text articles covering a broad range of topics. The Maritime Resource Center is a major collection of maritime books, videos, and magazines, with a focus on boat building and design. Interlibrary Cooperation The library participates and shares an automated card catalog and circulation system with CLAN (Cooperative Libraries Automated Network) a consortium which includes Jefferson County Library, and Quilcene and Brinnon School libraries. The library shares in providing courier services between the two public libraries. Interlibrary loan items may be borrowed from libraries outside CLAN through OCLC a national interlibrary loan network. Technology The library provides computer software and public access to the Internet. Information about the library, access to the library catalog, useful links, current information about special programs and upcoming events, and additional library services are made available on the library's web site. Public Programs The library offers a continuing series of programs for adults, teens, and children including a community read, special interest topics, workshops, story hours, concerts, well -known authors and illustrators, book discussion groups, summer reading, homework help, and curriculum support. Information Services The library has a knowledgeable staff that provides reference and research assistance, readers' advisory for popular materials, and training in the use of reference databases. Operations The library's collection management and administrative team provides collection development, book processing, cataloging, outreach and program planning, and fund raising. 2007 Accomplishments As the Port Townsend Public Library ends 2007, it experienced the busiest year yet in its history. Circulation rose from 225,449 in 2006 to an estimated 236,956 in 2007 with October boosting an all time monthly high of 22,000 items checked out. Consequently, the Port Townsend Public Library has earned for a third year in a row the status of highest circulation per capita of all public libraries in the State of Washington. The library is very fortunate to have the generous support from the Friends of the Port Townsend Public Library and the Port Townsend Public Library Foundation to help sustain this high level of public service to the community. 1. The Library facilities are accessible, flexible, inviting, and functional to meet the community needs. • Completed facilities assessment study and created the design direction for the library capital expansion /improvement project. City Council approved this study and capital project and planning is underway to formulate a funding strategy that utilizes private and public resources. • Rearranged the Popular Materials Room to improve collections access and to create a distinct area for teens. • Added two shelving units in the nonfiction area to accommodate collection growth and oversize materials. 2. The Library collections in all formats are developed and managed to meet the diverse needs of all users. • Weeded adult nonfiction and strengthened targeted subject areas including aviation, alternative energy, animal husbandry, and educational references. City of Port Townsend 63 Library Fund • Increased young adult, Large Print, audio book collections. Young Adult circulation increased by 32 %. 3. The Library will strengthen its role as a community resource through the development of programs and services and the creation of community and professional partnerships. Received just under $50,000 in support from both public and private sources to support public programs, equipment and new materials. Included was a grant for the design and production of informational materials (brochures, posters, bookmarks, rack cards, dvd) to better inform the public about library services, programs, and resources. Developed new and expanded existing programming for children: Baby Book Lapsit (0 -12 months); Wobbler Time (12 -24 months) and Pre - school Storytime (3 -5 years). For teens: Teen Advisory Board, Teen Writer's Group, and Teen Cafe; For adults: Adventures in Learning, an annual thematic program collaboration with the Jefferson County Library, Community Read /One Book -One City, popular author programs, and Books on Wheels, a home delivery service. The library offered a total of 585 special and outreach programs with over 13,000 attendances. Installed people counter to record number of individuals that enter the library per day. An average of 500 people come through the library doors to take advantage of the many resources and services from checking out books to searching the Internet. Friends of the Library, Library Foundation, and Library Advisory Board will be working closely with the City Administration to organize and conduct the most effective strategies and partnerships for securing financial resources not only for the construction but also for sustaining the operation of the new facility. Throughout this capital project, library staff will be working hard to continue to deliver the high level of service the community needs and expects. 4. The Library has adequate stable and predictable financial support from diverse public and private sources to ensure a sound financial future. Participated with board officers of library volunteer support organizations (Friends of the Library, Library Foundation, Library Advisory Board) in a series of training workshops to build internal capacity for more successful fund raising to support needs outside the library's operating budget. An outgrowth of this training was the formation of a Development Steering Committee to coordinate each organization's fund raising goals and activities, especially in light of the library's future capital improvement project. 5. The Library cultivates and celebrates professional and support staff and volunteer leadership essential for continuing excellence in providing guali . library service. • Formed Development Steering Committee to coordinate and implement fund raising strategies to meet library's needs beyond the scope of the library's general operating budget. Major 2008 Priorities and Initiatives The Port Townsend Public Library capital expansion /improvement project is the main priority for 2008. The Development Steering Committee consisting of library staff and the leadership of the volunteer support groups: Additional 2008 priorities include completing the rearrangement of public spaces to better accommodate better the adult non fiction, maritime, music cd and DVD collections; reassessing the online reference resources in terms of public need and use; and identify new resources to help enhance the library's budget for the purchase of new materials in all formats. Program planning for 2008 will consists of strengthening existing programs and developing new ones in response to community needs and interests. Books on Wheels, home delivery service, City of Port Townsend 64 Library Fund will continue to expand in response to an ever increasing public demand. The library's technology plan outlines redeploying selected computers for additional internet and library catalog use and it will be expanded to include social networking. The installation of improved and more functional external and internal signage for better orientation of users into and within the library will concluded the library's marketing grant project. With the strong support of the people of Port Townsend, the library will succeed in building a much improved facility that will serve as a conduit for the community to connect with the world and with each other. Over 500 individuals walk through the library door six days a week to fulfill some need either for information or social interaction. The challenge of 2008 is therefore to secure the resources to build and sustain such a library that will meet the needs of the community for the present and for the future. Performance Measure 2007 Estimate 46 hr /wk 2008 Estimate 46 hr /wk Circulation total 236,956 246,000 Reference Questions 8088 8500 Interlibrary Loans 1721 1850 Public Computer Use to ins 33,128 34,453 Total Library Cardholders Residents Non - Residents 8900 7750 1150 9200 7950 1250 Collections size (books, videos, dvds, books on tape & cd; music cds, periodicals) Periodical subscriptions 58,014 160 60,000 160 Online databases 26 26 Youth Programs includes outreach 327 340 Young Adult Programs 62 65 Adult Programs includes outreach 235 245 Library Attendance 164,000 170,000 City of Port Townsend 65 Library Fund Budget Budget Year Year Increase 2008 2007 <Decrease> Revenues By Proaram General Fund support $ 759,028 $ 704,547 $ 54,481 State grants 23,500 (23,500) Private grants 2,706 (2,706) Fines 12,000 10,000 2,000 Total Revenues $ 771,028 $ 740,753 $ 30,275 Expenditures By Program Library Services $ 771,028 $ 737,052 $ 33,976 Total Expenditures $ 771,028 $ 737,052 $ 33,976 Expenditures by Obiect Personnel $ 490,598 $ 462,208 $ 28,390 Operating Expenditures 215,430 212,844 2,586 Capital Outlay 65,000 62,000 3,000 Total Expenditures $ 771,028 $ 737,052 $ 33,976 Estimated Beginning Fund Balance $ 6,701 $ 3,000 $ 3,701 Increase <Decrease> in Fund Balance - 3,701 (3,701) Estimated Ending Fund Balance $ 6,701 $ 6,701 $ - Notes: 1. Prior to 2005, the Library Fund was a department of the General Fund. City of Port Townsend 66 General Government Debt Service The city issues long term debt instruments to finance large capital projects. These are typically for items that have long useful lives for which this financing method will reduce the annual debt service burden on its citizens. Since local governments are permitted to issue tax - exempt bonds, this financing option helps reduce the cost of borrowing. State law limits general obligation bond issues. These bonds may be issued in two different methods: voted bonds and non -voted bonds. Washington State law limits the voted bond indebtedness to two and one -half percent (2.5 %), including non -voted debt, of the city's current assessed valuation (A.V.). Cities are also authorized to issue general obligation bonds for an additional two and one -half percent (2.5 %) of the city's current assessed valuation for parks and open spaces and utilities. Both of these bond issues must be voted and approved by a 60 percent majority vote of the registered voters. Bonds of this type are unlimited tax obligations of the city, and are backed by the full faith and credit of the city. The city presently has no voted bonds outstanding. Non -voted bonds are called "Councilmanic" bonds and are limited by state law to one and one -half percent (1.5 %) of the city's current assessed valuation. The city currently has five general government Councilmanic bonds outstanding totaling $7,431,862. In 1991, the city issued $250,000 limited tax general obligation bonds for the Balloon Hanger at Fort Worden for performing arts as authorized by Ordinance 2235. The source of monies to repay the debt service for this issue comes from an annual operating transfer from the city's Lodging Tax Fund, which collects the lodging tax. In 1999, the city issued $645,000 limited tax general obligation bonds for various capital improvements. These capital items include: library improvements, police station improvements, fire station improvements, city hall facilities and Port Townsend Marine Science Center improvements as authorized by Ordinance 2709. The source of monies to repay the debt service for this issue comes from a portion of the city's general property tax levy and annual operating transfers from the Lodging Tax Fund. In 2002, the city issued $3,465,000 limited tax general obligation bonds for the construction of the city hall annex building and remodel of old city hall as authorized by Ordinance 2812. The source of monies to repay the debt service for this issue comes from a portion of the city's general property tax levy and real estate excise tax revenues. In 2003, the city issued $2,390,000 in limited tax general obligation bonds for the construction of the city hall annex building and remodel of old city hall as authorized by Ordinance 2844. The source of monies to repay the debt service for this issue comes from a portion of the city's general property tax levy and real estate excise tax revenues. In 2005, the city issued $1,525,000 in limited tax general obligation bonds for the construction of the city hall annex building and remodel of old city hall as City of Port Townsend 67 General Government Debt Service authorized by Ordinance 2908. The source of monies to repay the debt Located in the Appendix is a schedule service for this issue comes from a that computes the city's legal debt portion of the city's general property tax limitation as established by state law. levy and real estate excise tax revenues. Summary of General Government Non -voted Limited Tax Obligation Bonds City of Port Townsend 68 Total Total Total Year Principal Interest Debt Service 2008 345,741 311,396 657,137 2009 351,800 300,145 651,945 2010 367,920 288,046 655,966 2011 383,401 274,646 658,047 2012 393,000 260,635 653,635 2013 390,000 245,648 635,648 2014 410,000 229,623 639,623 2015 425,000 212,262 637,262 2016 445,000 195,288 640,288 2017 460,000 176,825 636,825 2018 480,000 157,320 637,320 2019 505,000 135,740 640,740 2020 525,000 112,530 637,530 2021 550,000 88,385 638,385 2022 580,000 62,975 642,975 2023 405,000 36,183 441,183 2024 205,000 18,051 223,051 2025 210,000 9,135 219,135 2026 - - - 2027 - - - Totals $ 7,431,862 $ 3,114,830 $ 10,546,692 City of Port Townsend 68 General Government Debt Service General Government Debt Service Fund Revenues Property Taxes Investment Interest Intergovernmental Charges Operating Transfers- In Total Revenues Expenditures Debt Service Principal Debt Service Interest Professional Services Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 100,000 $ - $ 100,000 2,360 2,585 (226) 53,742 60,000 (6,258) 503,395 586,824 (83,429) $ 659,497 $ 649,409 $ 10,087 $ 345,741 $ 319,744 $ 25,997 311,397 321,380 (9,983) 1,000 1,000 - $ 658,138 $ 642,124 $ 16,014 $ 58,989 $ 51,704 $ 7,285 1,359 7,285 (5,927) $ 60,348 $ 58,989 $ 1,359 City of Port Townsend 69 Utility Debt Service The city's utility funds may also issue long -term debt instruments to finance large capital projects. These are typically for utility plant improvements that have long useful lives for which this financing method will reduce the annual debt service burden on its utility customers (ratepayers). Since local governments are permitted to issue tax - exempt bonds, this financing option helps reduce the cost of borrowing. These debt instruments are usually issued as revenue bonds. The source of monies to repay the revenue bond debt service comes from utility revenues, not property taxes. In addition to revenue bonds, cities may apply to Washington State for low interest and /or interest -free loans. This is a competitive process that involves city staff presenting a proposal in Olympia for an application for Public Works Trust Fund Loans and State Revolving Fund Loans. Because of the low interest and interest -free loans, this method of financing public works is very beneficial to the city's ratepayers. The application process is comprehensive and competitive. Those cities scoring highest in the State's evaluation process receive the favorable loans. The more significant qualifying criteria requires cities to: • Impose the 1/4 of one percent real estate excise tax • Develop a long -term plan for financing public work needs • Use all local revenue sources which are reasonably available for funding public works • Adopt a comprehensive plan • Demonstrate a history of maintaining the city's utility system • Demonstrate a commitment to professional management The evaluating criteria are weighted 60% professional management and 40% city need. The city has received four Public Works Trust Fund (PWTF) low interest State loans. One is a PWTF 1998 loan for water projects totaling $2,138,740, for 20 years at an interest rate of 1 %. Another is a PWTF 1999 loan for sewer projects totaling $1,593,739 at an interest rate of 1 %. The third is a PWTF 2001 loan for sewer outfall totaling $1,153,350 at an interest rate of 0.5% for 19 years. A fourth is a PWTF 2002 loan for Morgan Hill water system upgrades totaling $1,242,743, for 20 years at an interest rate of 0.5 %. There are also two no- interest or low interest State Revolving Fund (SRF) loans. One is for the wastewater master plan for $182,620, and the second is for a wastewater conveyance system totaling $1,000,000, for 19.5 years at 1.5 %. The city sold its Tri -Area Water System in December 2001 to the Public Utility District #1 (PUD). As part of that transaction, certain revenue bonds were defeased, and certain state loans were transferred to the PUD. The city rescheduled the state loans when the amounts were finalized. In 1978, the city utility issued $395,000 revenue bonds for capital improvements to the utility as authorized by Ordinance 1798. The source of monies to repay the City of Port Townsend 70 Utility Debt Service debt service for this issue comes from the revenues of the utility. In 1992, the city utility issued $6,820,000 revenue bonds for capital improvements to the utility as authorized by Ordinance 2305. The source of monies to repay the debt service for this issue comes from the revenues of the utility. Subsequently, the city refunded $4,350,000, of these bonds with a 1998 revenue refunding bond issue to reduce the total debt obligation with new low interest bonds. tcevenue anu tceiunuing lsonus i orai In 1998, the city utility issued $4,950,000 revenue refunding bonds and $1,000,000 revenue bonds for capital improvements to the utility as authorized by Ordinance 2625. The revenue refunding bonds refinanced $115,000 of the remaining 1978 - Series B revenue bonds and most of the 1992 revenue bonds. The refunding issued produced significant savings in future interest costs to the utility ratepayers. The source of monies to repay the debt service for this issue comes from the revenues of the utility. State Loans Total Total Total Total Year Principal Interest Debt Service 2008 525,000 100,875 625,875 2009 545,000 78,195 623,195 2010 575,000 54,125 629,125 2011 455,000 27,335 482,335 2012 15,000 6,125 21,125 2013 15,000 5,375 20,375 2014 20,000 4,500 24,500 2015 20,000 3,500 23,500 2016 20,000 2,500 22,500 2017 20,000 1,500 21,500 2018 20,000 500 20,500 Totals $ 2,230,000 $ 284,530 $ 2,514,530 In 1998, the city utility issued $4,950,000 revenue refunding bonds and $1,000,000 revenue bonds for capital improvements to the utility as authorized by Ordinance 2625. The revenue refunding bonds refinanced $115,000 of the remaining 1978 - Series B revenue bonds and most of the 1992 revenue bonds. The refunding issued produced significant savings in future interest costs to the utility ratepayers. The source of monies to repay the debt service for this issue comes from the revenues of the utility. State Loans Total City of Port Townsend 71 Total Total Total Year Principal Interest Debt Service 2008 265,931 32,217 298,147 2009 266,527 29,967 296,494 2010 267,133 27,708 294,841 2011 267,748 25,440 293,188 2012 268,372 23,163 291,535 2013 269,006 20,876 289,882 2014 269,649 18,580 288,229 2015 270,302 16,274 286,576 2016 270,965 13,958 284,923 2017 271,637 11,633 283,270 2018 272,320 9,297 281,617 2019 228,295 6,951 235,246 2020 169,404 5,042 174,445 2021 170,118 3,718 173,835 2022 115,566 2,383 117,949 2023 49,600 1,314 50,914 2024 50,347 567 50,914 Totals $ 3,742,920 $ 249,087 $ 3,992,007 City of Port Townsend 71 Utility Debt Service The utility debt service payments for the revenue and revenue refunding bonds are budgeted in a utility debt service fund as listed below. The debt service payments for the State trust and revolving loans are budgeted as a debt service line item in the Water /Sewer Fund. A debt service fund for the State loans is not necessary. Water /Sewer Bond Funds Revenues Investment Interest Operating Transfers- In from Water Utility Operating Transfers- In from Sewer Utility Total Revenues Expenditures Debt Service Principal Debt Service Interest Professional Services Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 21,182 $ 27,098 $ (5,916) 66,318 66,777 (460) 560,558 556,703 3,855 $ 648,057 $ 650,578 $ (2,521) $ 525,000 $ 500,000 $ 25,000 100,875 122,480 (21,605) 1,000 1,000 - $ 626,875 623,480 $ 3,395 $ 529,539 $ 502,441 $ 27,098 21,182 27,098 (5,916) $ 550,720 $ 529,539 $ 21,182 City of Port Townsend 72 Limitation of Indebtedness Computation of Legal Debt Margin General Purposes - Non Voted and Voted Debt Capacity Non -Voted Voted Description Bonds Bonds 2008 Assessed Value (AV) _ $1,221,864,640 2.5 % of AV 1.5% of AV STATUTORY DEBT LIMIT Less Debt Outstanding: Bonds Issued Add amount available in Debt Service Fund REMANING DEBT CAPACITY $ 30,546,616 $ 18,327,970 $ 18,327,970 $ 30,546,616 $ (7,431,862) $ (7,431,862) $ 58,989 $ 58,989 $ 10,955,097 $ 23,173,743 City of Port Townsend 73 Limitation of Indebtedness Total Non -voted Debt Capacity Outstanding Debt 40% Remaining Capacity 60% (:::1 Total Voted Debt Capacity Outstanding Debt 24% Remaining Capacity 76% City of Port Townsend 74 Capital Project Funds Capital project funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds and trust funds). The City has one non - utility capital project funds called the Capital Improvement Fund, and one utility capital improvement fund called the Utility Construction Fund. Capital Improvement Fund Revenues come from several different sources for this fund. The real estate excise tax, bond proceeds, and fund transfers are major sources of revenue for this fund. Some transfers from other funds like the General Fund and Street Fund. Some are revenues deposited into this fund from grants via state and federal sources, "fee in lieu of," "mitigation fees," "impact fees" for applicable projects, and interest income. The real estate excise tax (R.E.E.T.) that is levied by the State is deposited into this fund. This tax is levied on all sales of real estate, measured by the full selling price, including any liens, mortgages and other debts given to secure the purchase. The state levies this tax at the rate of 1.28 percent. A locally imposed tax is also authorized. In 1990 and 1992, the State Legislature made a number of changes in the locally imposed R.E.E.T. As Port Townsend is required to plan under the Growth Management Act (GMA), new language was enacted regarding the first quarter (.025) percent of the tax. Based on the GMA, Port Townsend was given the option of levying a second quarter percent to help defray the costs of implementing the Growth Management Act. The city receives the second quarter of R.E.E.T, which results in a combined rate of 1.78 %. The first quarter percent of the R.E.E.T. receipts must be spent solely on capital projects that are listed in the Capital Facilities Plan element of the comprehensive plan. Capital projects are defined as: "Those public works projects of a local government for planning acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting systems; traffic signals; bridges; domestic water systems; storm and parks recreational facilities; fire /protection facilities; trails; libraries; administrative judicial facilities; and river and /or waterway flood control." The second quarter percent of the R.E.E.T. that is levied and is part of this budget can only be levied by those cities that are required to plan under GMA. In this quarter percent of R.E.E.T. "capital projects" mean: "Those public works projects of a local government for planning acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting systems; traffic signals; bridges; domestic water systems; storm and sanitary sewer systems and planning, construction, reconstruction, repair, rehabilitation, or improvement to parks." When other operating divisions or funds expend monies for qualified projects, City of Port Townsend 75 Capital Project Funds transfers -out of the R.E.E.T. Fund are used to reimburse the operating division. The interest income is based on prudent investing with the inclusion of construction project scheduling and cash flow analysis. Utility Construction Fund The Utility Construction Fund is a capital project fund restricted to expenditures for approved utility improvements. The interest earnings on this fund are also restricted to the approved utility improvement. City of Port Townsend 76 Capital Project Funds Capital Improvement Fund Revenues Real Estate Excise Tax #1 Real Estate Excise Tax #2 Federal Grants - indirect State Grants State Grants - CIF State Grants - WSDOT State Grants - Transportation Improvement Board State Grants -Sims Way Signal Public Works Trust Fund Loans Local Improvement District Proceeds Investment Interest Miscellaneous Income Interfund Transfer -in Street Fund Interfund Transfer -in 2003 Bond Proceeds Donations Total Revenues Capital Project Expenditures Personnel Building & Structures Streets Capital Improvements Parks Capital Improvements Vessel Removal -RR Trestle Operating Transfer 2002 Bond Payment Operating Transfer 2003/2004 Bond Payment Operating Transfer 1999 Bond Payment Operating Transfer 2005 Bond Payment Interfund Charges Intergovernmental Loans - Recreation Center Miscellaneous Expense Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 220,000 $ 236,986 $ (16,986) 220,000 236,986 (16,986) 730,000 600,000 130,000 265,000 - 265,000 570,000 - 570,000 172,500 - 172,500 440,000 89,000 351,000 - 250,000 (250,000) 10,306 (10,306) 86,000 - 86,000 149,000 - 149,000 - 100,000 (100,000) 18,000 15,000 3,000 $ 2,870,500 $ 1,538,278 $ 1,332,222 $ 2,925,500 $ 1,617,324 $ 1,308,176 207,005 88,489 $ 118,516 (55,000) (79,046) 24,046 $ 152,005 $ 9,443 $ 142,562 City of Port Townsend 77 2,447,413 1,192,000 1,255,413 302,500 - 302,500 - 10,000 (10,000) 31,292 79,398 (48,106) - 143,061 (143,061) 24,687 72,312 (47,625) 92,108 93,053 (945) 2,500 2,500 - 25,000 25,000 - $ 2,925,500 $ 1,617,324 $ 1,308,176 207,005 88,489 $ 118,516 (55,000) (79,046) 24,046 $ 152,005 $ 9,443 $ 142,562 City of Port Townsend 77 Capital Project Funds Utility Construction Fund Miscellaneous Total Revenues Canital Proiect Exnenditures General Fund Overhead Expenditures Improvements - Water Improvements - Sewer Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Note: $ 1,420,922 $ 616,848 $ 804,074 $ 129,000 $ 65,000 $ 64,000 280,000 254,546 25,455 1,010,000 295,455 714,545 $ 1,419,000 $ 615,000 $ 804,000 $ 48,044 $ 46,196 $ 1,848 1,922 1,848 74 $ 49,966 $ 48,044 $ 1,922 Starting in 2002, all capital improvements for water /sewer are budgeted in anew fund (Fund 415). In prior years capital improvements were budgeted directly in the Water /Sewer Fund. City of Port Townsend 78 Budget Budget Year Year Increase 2008 2007 <Decrease> Revenues Investment Interest $ 1,922 $ 1,848 $ 74 Operating Transfers -In from Water Fund 143,000 280,000 (137,000) Operating Transfers -In from Sewer Fund 726,000 335,000 391,000 Operating Transfers -In from SDC Fund 550,000 - 550,000 Miscellaneous Total Revenues Canital Proiect Exnenditures General Fund Overhead Expenditures Improvements - Water Improvements - Sewer Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Note: $ 1,420,922 $ 616,848 $ 804,074 $ 129,000 $ 65,000 $ 64,000 280,000 254,546 25,455 1,010,000 295,455 714,545 $ 1,419,000 $ 615,000 $ 804,000 $ 48,044 $ 46,196 $ 1,848 1,922 1,848 74 $ 49,966 $ 48,044 $ 1,922 Starting in 2002, all capital improvements for water /sewer are budgeted in anew fund (Fund 415). In prior years capital improvements were budgeted directly in the Water /Sewer Fund. City of Port Townsend 78 Public Works Administration Engineering Division see Organizational Chart City Manager Public Works Director Office Lead Street/Sewer /Storm Division see Organizational Chart Parks & Recreation Division see Organizational Chart Water & Facilities Division see Organizational Chart City of Port Townsend 79 Parks and Recreation Department City Manager Public Works Director City of Port Townsend 80 Public Works Engineering Department City Manager I Public Works Director City Engineer Public Works Engineering I Assistant Development Review I Work Group Development I Review Engineer Development Review I Specialist Public Works I Inspector Project Management, Design, GIS /CADD Work Group Civil Engineer Engineering Technician GIS Coordinator/ I Project Manager City of Port Townsend 81 Public Works Administration and Engineering Mission Statement: To provide overall leadership, management, administration, and support for all the divisions of the Public Works Department. To provide safe, reliable, efficient Public Works services to the community. To provide sound technical advice to the City Manager, City Council, City staff, and the public. To ensure the effective and efficient integration of Public Works efforts into the overall operation of the City as well as appropriate County /State plans. 2008 Goals and Objectives Goal: Develop and manage plans and execute programs that aid in the informed decision making by Public Works divisions, other City Departments, City Manager, and Council. Manage utility system upgrades to ensure regulatory compliance and the safe, reliable provision of essential City services including improvements to the water distribution and wastewater collection systems, sewer trunk line improvements and continued planning and design efforts on other elements of the water and waste water systems. Projects include the Wastewater Treatment Plant Outfall, Kanu Drive Pump Station Replacement and a plan for sewer extension in the southwest quadrant of the City. Ensure continued reliable, safe water supply through completion of environmental analyses and permit renewals. Provide assistance to the City Manager, Council, and citizens to examine and adopt a City Storm Water Management Plan. Improve the quality of life in Port Townsend through continual review and improvement of City parks, recreation, and swimming pool services. Provide engineering review of proposed development in support of the Development Services Department and update the Engineering Design Standards as needed. Increase emphasis on transportation planning and street maintenance and improvement operations. Develop plans for Upper Sims Way Improvement, and Downtown and Uptown Streetscape projects, as well as sidewalk extension on north San Juan Avenue and Discovery Road (Hastings Avenue to 19th Street). Provide assistance to the City Manager, Council, and citizens to examine and adopt a City Transportation Plan Support the activities of all Public Works elements and other City departments by providing current, accurate GIS data to fullest extent possible. Goal: Oversee the development and timely, cost - efficient administration of capital projects. Provide project management and technical support for the development, bidding, contract compliance. City of Port Townsend 82 Public Works Administration and Engineering Continue planning for the relocation of the Police Department from its current Goal: Work toward increased site. Initiate planning efforts for customer satisfaction with Public improvements to the Wave Gallery Works services. facilities. Continue to support and improve the Goal: Secure the means to finance Customer Request Program. capital projects necessary to a healthy infrastructure by careful management of current resources and a continuing vigilance for favorable financing. Continue search for grant funding opportunities and low interest loans in conjunction with the City's capacity to finance the loans. Provide assistance in grant and loan preparation to all Public Works divisions and City departments. Goal: Create administrative systems to increase efficiencies and save tax - and rate - payers money. Update procurement policies and methods that assure the best value at the best price while maintaining strict compliance with state and city bidding and procurement laws. Continue working towards full compliance on budget and bidding processes on an ongoing basis. Provide updates and training on the latest procurement methods, laws, and policies. Ensure the efficient and effective organization of critical information through daily emphasis on the Records Management Program. City of Port Townsend 83 Public Works Administration and Engineering Revenues By Program Interfund Services General Fund support Total Revenues Expenditures By Program Administration Engineering Services Total Expenditures Expenditures by Object Personnel Operating Expenditures Interfund Charges Capital Outlay Total Expenditures Actual Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget 749,958 Year Year Increase 2008 2007 <Decrease> $ 1,114,113 $ 1,001,493 $ 112,620 $ 1,114,113 $ 1,001,493 $ 112,620 $ 277,255 $ 282,841 $ (5,586) 827,682 718,652 109,030 $ 1,104,938 $ 1,001,493 $ 103,445 $ 882,185 $ 749,958 $ 132,227 114,805 138,078 (23,273) 102,948 93,457 9,490 5,000 20,000 (15,000) $ 1,104,938 $ 1,001,493 $ 103,445 $ (1) $ (1) $ - 9,175 - 9,175 $ 9,174 $ (1) $ 9,175 City of Port Townsend 84 Water /Facilities /Equipment Divisions City Manager Public Works Director Operations Manager Water & Facilities Water Crew Chief Maintenance Workers /Operators (4 FTE) Seasonals (0.7 FTE) Water Resources Crew Chief Equipment & Facilities Crew Chief Mechanic Maintenance Worker City of Port Townsend 85 Water /Sewer Utility Fund Water Utility Division Mission Statement: The water utility shall provide a safe, reliable water supply that meets all federal and state standards and shall provide high quality service to its customers. Goals for 2008 • The water utility will stay informed on state and federal issues and regulatory trends. • The utility will plan for compliance with new regulations on water quality. • The utility will stay involved in the regional water resource planning process. • The water utility will obtain special use permit renewals from the U.S. Forest Service. • The water utility will concentrate capital improvement programs on areas identified as having deficient fire protection and restricted flow. • The water utility will improve its cross connection control program. ater Distribution Year 2007 accomplishments • Reliably delivered safe clean drinking water to 4,456 taps / 8,500 customers at up to 2,000,000 gallons per day. • Reliably delivered safe clean drinking water to Fort Worden State Park and to P.U.D. Number One of Jefferson County. • Accurately read 4,456 meters each month. • Flushed the entire distribution system twice to remove accumulated sediment and stale water. • Installed 74 new water taps and meters. • Installed 158 replacement meters. • Repaired 7 water main breaks. • Installed 15 new fire hydrants. • Replaced 2142 feet of old, undersized, galvanized water main. • Tested flow and residual pressure on 95 fire hydrants. • Completed an inventory of cross connection control devices. • Purchased new meter reading hardware that will allow conversion to radio reads in the future. Water Quality and Treatment • Treated an average of 15 million gallons per day. • Delivered an average of one million gallons a day to the distribution system and 14 million gallons a day to Port Townsend Paper Company. • Continued extensive, required monitoring and testing programs to maintain and document water quality, at the source, after treatment, and in the distribution system. • Continued required watershed control program in cooperation with the U.S. Forest Service. • Continued to meet the stringent water quality criteria for avoidance of filtration. • Continued participation in regional water resource planning efforts. City of Port Townsend 86 Water /Sewer Utility Fund • Continued the process for renewal of our U.S. Forest Service special use permits. City of Port Townsend 87 Street /Sewer /Storm Divisions Wastewater Treatment Biosolids Composting Facility Biosolids /Compost Treatment Operators (2 FTE) City Manager Public Works Director Operations & Maintenance Manager Street /Sewer /Storm Wasterwater Treatment Facility Wastewater Treatment Operators (3 FTE) Street /Sewer /Storm Crew Chief Equipment Operators (4 FTE) Maintenance Worker (1 FTE) Seasonal Part time (1.5 FTE) City of Port Townsend 88 Water /Sewer Utility Fund Wastewater Collection Division (In coniunction with Street /Storm Funds) Function: To maintain the Wastewater Collection System in order to provide for the safe transmission of wastewater from the source to the Wastewater Treatment Facility. Goals and Obiectives Goal: Reduce the number of sewer overflows and back -ups, emergency calls and liability to the City. Rehabilitate or replace failing portions of the collection system as CIP funding allows. Adhere to the three month, six -month and annual sewer cleaning schedule of problem lines. Clean one complete sewer basin as established in the yearly basin -by -basin cleaning schedule. This is to clean all sewer lines throughout the collection system over a five -year schedule. This effort is in addition to the six -month cleaning of problem sewer lines. Perform maintenance and treatment of known grease problem sewer lines. To work cooperatively with the businesses on reducing the discharge of grease into the wastewater collection system. This will be done by enforcement of the City's sewer ordinance and working with the businesses on the installation and maintenance of grease traps. To root cut approximately 2,000 feet of sewer line as identified in the Wastewater Comprehensive Master Plan and known lines with root problems. 2007 Accomplishments Cleaned all sewer lines on the list of problem lines that require a three month, six -month and annual cleaning schedule. Cleaned 25 % of one of the five basins as identified in the five year cleaning program. Root cut approximately 2,000 feet of problem sewer lines. Now televising the lines to see the effectiveness of the application of RootX on controlling the roots coming into these lines. Performance Indicators 2007 as of 2008 2005 2006 10/31/2007 Estimated Number of citizen concern/requests received 26 25 21 15 Number of feet of line cleaned 8,000 7,500 7,500 7,500 on 6 month schedule Maintenance holes installed /rebuilt 3 0 3 6 Complete cleaning of one sewer basin (five year 30% 25% 25% 50% program) Length of sewer lines (feet) performed root cutting 3,000 1,000 2,000 3,000 Length of sewer lines (miles) in the city 72,45 73.47 74 80 Hours spent on televising sewer lines (inspecting 90 90 100 100 City of Port Townsend 89 Water /Sewer Utility Fund Wastewater Treatment Division Function: To provide for the treatment of wastewater and the operating, monitoring and maintenance of the facilities in compliance with federal and state laws and regulations and in agreement with the City's concerns for public safety and health and environmental quality. The wastewater treatment facility (WWTF) is responsible for the operation and maintenance of eight sewage lift stations that support the City's wastewater collection system and is responsible for one storm water lift station. Goals and Obiectives Goals: • Operate the wastewater treatment facility within all limits required by our N.P.D.E. S. (National Pollution Discharge Elimination System) permit. • Operate and maintain all of the lift stations to assure optimal performance and reliability. Objectives: • Continue to operate the wastewater treatment facility to prevent violations of the N.P.D.E.S. Permit by providing monitoring and maintenance of the facility and by enforcement of the City's sewer use ordinance (PTMC 13.21 through PTMC 13.24). • Continue to operate and maintain the lift stations to provide optimal performance and reliability by performing regular scheduled maintenance on all of the equipment. • Continue to implement the approved capital improvement program (CIP). • Continue to work with the wastewater collection division in the removal of infiltration and inflow (rain) from the collection system. • Continue to operate the facilities as efficiently and economically as possible to produce the best effluent quality possible within the available resources. Maintain the facility to ensure the prolonged life of the capital investment. 2007 Accomplishments • We have operated the WWTF within all the N.P.D.E.S. permit limits. • All maintenance activities were performed on all of the equipment at the wastewater facility and sewage lift stations and we had no failures in our system. • Received operations award for 2006 from the Washington State Department of Ecology for exemplary performance in the operation of the City's Wastewater Treatment and Collection systems. • Successfully passed both (2 /year) lab accreditation performance evaluation studies in order to maintain our lab accreditation. • Successfully completed the on -site assessment (audit) with the Department of Ecology Lab Accreditation Program. • Changed odor control carbon at the WWTF and Gaines Street Lift Station. • Replaced an influent pump at the WWTF (new pump). The existing pump wore out and needed to be replaced. • Replaced check valves at the Kearney Street Stormwater pump station. • Replaced inlet valves at Monroe Street Lift Station. • Replaced a pump at the Island Vista Lift Station. • Replaced vacuum /air release valve on the force main from Gaines Street pump Station. City of Port Townsend 90 Water /Sewer Utility Fund (1) N.P.D.E.S. is National Pollution Discharge Elimination System. (2) When the facility reaches 85% the City is required to submit a plan and a schedule for continuing to maintain capacity at the facility sufficient to achieve the effluent limitations and other conditions of the permit. City of Port Townsend 91 2007 Performance Indicators 2005 2006 As of 2008 10/31/07 Est. Oversee the treatment facility within the N.P.D.E.S. permit limits. (1) 100% 100% 100% 100% Wastewater treatment facility capacity (% used) Flow 63.0 % 67.9% 63.8% 67% based on the new rating of the facility 2 Wastewater treatment facility capacity (% used) BOD based on the new rating of the facility (2) 66.4% 65.8% 65.8% 68% Wastewater treatment facility capacity (% used) TSS 56.6% 56.8% 58.1 % 59% based on the new rating of the facility 2 Average flow rate per day (million gallons) 0.907 0.977 0.919 0.980 Cost to treat the wastewater (per gallon) $ 0.0020 $ 0.0034 $ 0.0048 $ 0.0036 (1) N.P.D.E.S. is National Pollution Discharge Elimination System. (2) When the facility reaches 85% the City is required to submit a plan and a schedule for continuing to maintain capacity at the facility sufficient to achieve the effluent limitations and other conditions of the permit. City of Port Townsend 91 Water /Sewer Utility Fund Biosolids Composting Division Function: To provide biosolids, septage and yard waste composting treatment and the operation, monitoring and maintenance of such facilities in compliance with federal and state laws and regulations and in agreement with the City's concerns for public safety, health and environmental quality. Goals Operate the biosolids composting facility within all limits required by our State Waste Discharge permit. This is the liquid portion of our process. To produce Class "A" exceptional quality compost materials that meets all federal and state regulations for distribution to the public. Operate and maintain all of the equipment at the facility to assure optimal performance and reliability. Operate the biosolids composting facility in a fiscally responsible manner to reduce the costs to the utility rate - payers. Objectives Continue to efficiently operate the biosolids composting facility to prevent violations of the State Waste Discharge permit by providing continued monitoring and maintenance of the facility. Continue to operate and maintain the equipment to provide optimal performance and reliability by performing regular scheduled maintenance on all of the equipment. Investigate charging for yard waste materials to cover the cost of processing and handling of the materials coming into the facility. Continue to operate the wastewater treatment facility as efficiently and economically as possible to produce the best effluent quality possible within the available resources. Monitor and test the compost materials for compliance with all federal and state regulations to be classified as Class "A" exceptional quality compost materials for distribution to the public. 2007 Accomplishments The facility has been operated within the State Waste Discharge permit limits. To 10/31/2006 we have produced two batches of compost for distribution to the public. To 10/31/2007 we have sold 3,066.5 cubic yards of compost to the public. Have provided 94 cubic yards of compost for general City use and City projects. Also donated 13 cubic yards to community projects. Continued the discussions with Jefferson County on charging for yard waste materials to cover the cost of processing and handling of the materials coming into the facility. City of Port Townsend 92 Water /Sewer Utility Fund (1) N.P.D.E.S. is National Pollution Discharge Elimination System. City of Port Townsend 93 2007 2008 Performance Indicators 2005 2006 as of Est. 10/31/07 Oversee the treatment facility within the N.P.D.E. S. permit 100% 100% 100% 100% limits. 1 To produce class "A" compost for distribution to the public with a goal of having at least three sale events during the year. 4 2 2 3 Batches produced are: Septage received (Gallons) 497,622 265,251 387,670 400,000 Dry Tons of biosolids processed 241 247 204 250 Yard Waste Received (Tons) 6,854 6,728.13 6,187 7,000 Finished Compost Produced (cubic yards) 3,234 2,188 3,173 3,500 (1) N.P.D.E.S. is National Pollution Discharge Elimination System. City of Port Townsend 93 Water /Sewer Utility Fund Solid Waste Utility Function: To provide efficient solid waste collection for the residents of Port Townsend with uniform, managed collection for the preservation of public health and safety. The Solid Waste Utility collection and billing services are contracted to DM Disposal, Inc. Customer charges are collected to recover the costs of this service contract and the costs associated with the disposal of solid waste at the Jefferson County Waste Management Facility. The contractor bills the customers directly for the services provided based upon the current contract agreement rates. Goals and Objectives Goal: Provide an efficient and cost - effective solid waste collection system that meets essential health standards to preserve sanitary conditions throughout the city. Goal: To promote curbside recycling as a way to reduce the city's waste stream to solid waste landfills. 2007 Accomplishments Continued to provide the administrative functions needed by the Public Works Department and the city finance department in the management of the agreement between the City and DM Disposal, Inc. Contract was extended for an additional five years as allowed for in the Contract Agreement between the City of Port Townsend and Waste Connections Inc. (DM Disposal, Inc) with the City Council in concurrence. City of Port Townsend 94 Water /Sewer Utility Fund Revenues Revenues from Utility Sales Miscellaneous Operating Revenues Engineering Fees Investment Interest Biosolids Compost SDC Residual Equity Transfers Water /Sewer Latecomer Fees System Development Charges Total Revenues Expenditures by Program Utility Billing City Water Operations City Water Supply Wastewater Treatment Wastewater Collection Biosolids Water Resources Total Expenditures Expenditures by Object Personnel Supplies & Services Utility Taxes Intergovernmental Services Interfund Services Equipment Rental Debt Service Transfers Out Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase (Decrease) in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 < Decrease> $ 4,074,694 $ 4,471,327 $ (396,633) 39,000 37,106 1,894 143,357 184,488 (41,131) 15,300 15,000 300 100,000 100,000 - 6,000 3,000 3,000 $ 4,378,351 $ 4,810,920 $ (432,569) 405,156 441,959 $ (36,803) 1,363,287 1,709,590 (346,302) 417,516 404,426 13,089 1,891,101 1,669,904 221,196 1,126,357 1,090,019 36,339 427,238 434,066 (6,827) 96,445 89,224 7,221 $ 5,727,100 $ 5,839,188 $ (112,087) $ 1,428,997 $ 1,359,681 $ 69,316 699,594 733,957 (34,363) 126,813 993,430 (866,617) 11,500 11,500 - 1,156,018 1,144, 954 11,064 373,506 301,895 71,611 925,022 928,020 (2,999) 919,000 50,000 869,000 86,650 315,750 (229,100) $ 5,727,100 $ 5,839,188 $ (112,087) $ 3,583,924 $ 4,612,192 $ (1,028,267) (1,348,749) (1,028,266) (320,483) $ 2,235,175 $ 3,583,925 $ (1,348,750) City of Port Townsend 95 Storm Water Utility Fund Storm Water Division (In conjunction with Streets/Wastewater) Function: To clean and maintain the Storm water Collection System to provide for the safe and efficient transmission of storm water to prevent damage to public and private property. Goals and Objectives Goal: Continue to maintain the Storm water Collection System in the most efficient and cost - effective manner possible. • Continue the use of Community Service Work Crews to provide clearing of vegetation from the storm water collection system (gutters). • Continue the installation of new catch basins that are needed throughout the system for better treatment of storm water. • Continue to assist the Engineering Department in evaluating storm water issues. • Identify shoulders that need to be pulled to allow water to get into drainage ditches (swales). This is to prevent damage to the streets by allowing the water to get away from the asphalt area. Goal: Adopt a Storm water Master Plan and implement approach decided by Council • Develop a scope of work to work towards getting the Draft Plan adopted by the Community and Council. Goal: Increase the percentage of storm systems cleaned annually. 2007 Accomplishments • Cleaned 75% of the system using a basin by basin approach to cleaning the entire storm water system. • Provide routine maintenance inspections for storm water collection facilities. • Performed contract maintenance on storm water filters at Washington & Taylor and Blaine & Tyler. • Mowed froggy bottoms storm water basin two times to maintain growth and noxious weeds. Performance Indicators 2005 2006 2007 as of 10/31/07 2008 Est. Number of citizen concerns received 16 37 22 15 Number of catch basins cleaned (in percent) 90 90 75 90 Number of Catch Basins (new or replaced) 15 60 10 10 Miles of street shoulders pulled for storm water control 1.5 1.0 0.5 2 Storm water piping installed, new or replaced, (Feet) 400 200 263 800 Number of catch basins in the storm water system 1025 1231 * 1150 * 1175 * = Updated information in the GIS System. City of Port Townsend 96 Stormwater Utility Fund Revenues Revenues from Utility Sales Engineering Fees Investment Interest Miscellaneous Receipts State Grant Total Revenues Expenditures by Program Stormwater Operations Capital Improvement Projects Total Expenditures Expenditures by Object Personnel Supplies & Services Utility Taxes Interfund Services Equipment Rental Debt Service Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 421,377 $ 568,006 $ (146,629) 4,000 4,000 - 22,000 22,343 (343) 38,241 (38,241) $ 447,377 $ 632,591 $ (185,214) $ 489,390 $ 567,853 $ (78,463) 220,000 141,287 78,713 $ 709,390 $ 709,140 $ 250 $ 238,311 $ 197,298 $ 41,013 17,318 19,080 (1,762) 6,321 111,753 (105,432) 135,774 140,015 (4,241) 91,666 99,707 (8,041) 220,000 141,287 78,713 $ 709,390 $ 709,140 $ 250 332,030 408,580 $ (76,549) (262,013) (76,549) (185,464) $ 70,017 $ 332,030 $ (262,013) City of Port Townsend 97 Equipment Rental Fund Equipment Rental Fund has two divisions starting in 2006. The first is the Fleet Division, which is a division under the Public Works Director and Operations Manager for Water, Fleet, and Facilities. This division manages the vehicle and heavy equipment rental, repair, and replacement for each city department (inspection, excavation, grading, paving, sewer maintenance, etc.). The Fleet Division is supervised by a Crew Chief, who also has responsibilities for city facilities. The division has one mechanic. The fleet currently consists of approximately Revenues Revenues from Equipment Rentals -Fleet Revenues from Equipment Rentals -IT Sale of Surplus Equipment Miscellaneous Receipts Investment Interest Total Revenues Expenditures by Proaram 60 vehicles and 70 other pieces of motorized or hydraulic equipment. This year we intend to purchase one new pickup and a compost mixer. The second division is the Information Technology Division, which operates under the Finance Director's administration. Starting in 2006, the Equipment Rental Fund has added a new division for Information Technology (IT). The IT division will be responsible for all city computer information systems as well as other technology equipment. Budget Budget 553,519 Year Year Increase 2008 2007 <Decrease> $ 870,513 $ 734,188 $ 136,325 149,767 99,208 50,559 - 19,000 (19,000) 5,000 5,000 - 9,813 34,165 (24,352) $ 1,035,093 $ 891,561 $ 143,531 Operations and Maintenance -Fleet Division $ 513,718 $ 553,519 $ (39,801) Operations and Maintenance - Information Tech Division 113,371 125,143 (11,772) Capital Asset Additions -Fleet Division 125,000 632,000 (507,000) Capital Asset Additions - Information Tech Division 56,130 89,700 (33,570) Total Expenditures Expenditures by Obiect Personnel Supplies & Services Interfund Services Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance $ 808,219 $ 1,400,362 $ (592,143) $ 208,322 $ 191,112 $ 17,210 214,855 247,062 (32,207) 203,912 240,488 (36,576) 181,130 721,700 (540,570) $ 808,219 $ 1,400,362 $ (592,143) 345,314 854,115 $ (508,801) 226,873 (508,801) 735,674 $ 572,187 $ 345,314 $ 226,873 City of Port Townsend 98 Firemen's Pension and Relief Fund Pension funds are used to account for financial resources to pay retiree benefits. "In order to make provisions for retirement and pension for members of the Port Townsend volunteer fire department" (Ord 1294 § 2, 1953), this fund was created to accumulate monies for pension benefits for members of the volunteer fire department that existed prior to the creation of the State's Law Enforcement Officer's and Fire Fighters' (LEOFF) Retirement System. The City has five remaining Fire Department retirees covered under this pension system (five persons are entitled to pension benefits and four are entitled to medical benefits). The remainder of the Fire Department firefighters are covered under the State's Revenues Real Property Tax Fire Insurance Premium Tax Investment Interest Total Revenues Expenditures by Program Pension Benefits Total Expenditures Expenditures by Object Professional Services Interfund Services Pension Benefits Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Retirement system. Budget Budget Year Year Increase 2008 2007 <Decrease> $ 73,000 $ 71,000 $ 2,000 7,222 7,411 (189) 12,404 11,783 621 $ 92,626 $ 90,194 $ 2,432 $ 83,600 $ 74,679 $ 8,921 $ 83,600 $ 74,679 $ 8,921 $ 7,000 $ 1,000 $ 6,000 7,600 1,894 5,706 69,000 71,785 (2,785) $ 83,600 $ 74,679 $ 8,921 $ 310,097 $ 294,582 $ 15,515 9,026 15,515 (6,489) $ 319,123 $ 310,097 $ 9,026 City of Port Townsend 99 Transmission Line Replacement Fund The city established the Transmission Line Replacement Fund in 1956 to set aside moneys held in trust for system replacements or betterments to the Olympic Gravity Water System pipeline. This pipeline carries water from the Quilcene Rivers to the city. The trust fund was established 1956 for specific capital improvement purposes (Ordinance 1321). The Water Utility Fund contributes moneys each year to this trust fund to build up resources for future needs of the pipeline. Revenues Operating Transfers -in Investment Interest Total Revenues Expenditures by Program Capital Improvements Operations Total Expenditures Expenditures by Object Professional Services Interfund Charges Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> $ 50,000 $ 50,000 $ - 142,076 135,266 6,811 $ 192,076 $ 185,266 $ 6,811 55,000 15,000 40,000 $ 55,000 $ 15,000 $ 40,000 $ 50,000 $ 5,000 $ 45,000 5,000 10,000 (5,000) $ 55,000 $ 15,000 $ 40,000 $ 3,901,905 $ 3,731,640 $ 170,265 137,076 170,266 (33,189) $ 4,038,982 $ 3,901,906 $ 137,076 City of Port Townsend 100 Memorial Fund The city established the Memorial Fund in 1988 to accept any money or property donated, devised or bequeathed to it. This is a trust fund Revenues Contributions and Donations Investment Interest Total Revenues Expenditures by Program Operations & Maintenance Capital Improvements Total Expenditures Expenditures by Object Professional Services Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance established to carry out the terms of the donation, devise or bequest if within the powers granted by law (Ordinance 2016 and 1933). Budget Budget Year Year Increase 2008 2007 <Decrease> $ - $ 7,913 $ (7,913) 840 807 33 $ 840 $ 8,720 $ (7,880) $ 18,000 $ 15,000 $ 3,000 $ 18,000 $ 15,000 $ 3,000 18,000 15,000 3,000 $ 18,000 $ 15,000 $ 3,000 $ 21,010 $ 27,290 $ (6,280) (17,160) (6,280) (10,880) $ 3,851 $ 21,010 $ (17,160) City of Port Townsend 101 Golf Course Fund The city established the Golf Course Fund in 2006 to set aside moneys for long -term care and maintenance of the city golf course. Lease income from lease of the golf facilities are deposited into this fund. Revenues Contributions and Donations Facility Rentals - Long Term Investment Interest Total Revenues Expenditures by Program Operations & Maintenance Capital Improvements Total Expenditures Expenditures by Object Professional Services Capital Outlay Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance Budget Budget Year Year Increase 2008 2007 <Decrease> 20,000 20,000 - 400 - 400 $ 20,400 $ 20,000 $ 400 $ 1,000 $ 2,000 $ (1,000) 10,000 14,000 (4,000) $ 11,000 $ 16,000 $ (5,000) 11,000 16,000 (5,000) $ 11,000 $ 16,000 $ (5,000) $ 10,000 $ 6,000 $ 4,000 9,400 4,000 5,400 $ 19,400 $ 10,000 $ 9,400 City of Port Townsend 102 NW Maritime Fund The city established the NW Maritime Fund to account for any money or grants passed through to the NW Maritime Center non - profit Revenues Federal Grants - Pass Through State IAC grant - Pass Through Investment Interest Total Revenues Expenditures by Program Subrecipient Pass Through Capital Improvements Total Expenditures Estimated Beginning Fund Balance Increase <Decrease> in Fund Balance Estimated Ending Fund Balance organization. This is a trust fund established to carry out the terms of the grant and contract requirements for the fund. Budget Budget Year Year Increase 2008 2007 <Decrease> 154,000 17,505 136,495 0 - 0 $ 154,000 $ 17,505 $ 136,495 $ 154,000 $ 17,505 $ 136,495 $ 154,000 $ 17,505 $ 136,495 $ 2 $ 2 $ - 0 - 0 $ 2 $ 2 $ 0 City of Port Townsend 103 Appendices Comparison of Local Governments' Fund Balance Reserves Tax Levy Rate History Personnel Services Employee FTE (full time equivalences) table Glossary City of Port Townsend 104 IUI m 0 0 0 0 0 0 0 N w— M 00 O LO co I-* +�+ co O O O O O 4 r L N O N a) Co CD N a co O co Nt co Nt I-- O� co .a N Lo Lo Lo M N L — 1- 1- — � Ni 3 I-- N co I-- O LO N U- -4 O M LO a0 LO m N M co U Co (f} 60-60- (f} 64 64 64 O O O— Nt Nt co ch — O M B Nt O M N O co co Nt O O O 7 0 M w O L O O (fl O O U N C' C' N I� C M ° 00 (n O - O L N O (f} (f} (f} (f} 60-60- (f} a) c co o co CD co O N c>o C O — LO O L y D) Z U LO O LO 0-0 L O Z O O 00 N D O — O = O N U N N N Q >, L _ a a) O (o (D ++ O a) 0 �' a = -0 O N y d a) (2) U J N LV > C Co o > LL C U c 0 O_ c c N iC a 0 a o O c a O O O O O L d U-t 2 U L C U H E c o c c O c c 0 0 0 0 L0 0 0 0— L O L L O r L L 0 -M)0- �-M)wU0- �-M) LO 0 O IL O T U c O ° L N O a) Co CD N O O co U Co O (o a) U cn > 0 (fl O O U N ° 00 (n O - O L N O p U) 0 0 ~ Z O "a M a) ° a) O a) C O O N to 0 Q a) �. Q% C U a) O Q co co U _ > — • W� co > > a) a) cn LL 0 Co Q o = LO O O i C (O .T L N s= GY a o i (o aiUC) V � N r.+ ° NO Z _ CL (n U Q 0 ° O 0 d a) Lo to O O C O 2� N ° C N .T L Q N O � N U 0000000000 0 0 0 0 0 0 0 0 0 0 0000000000 00 (O r r I-t r N r O r 00 (O '9t N LO 0 O IL O T U L 0 r.+ C M Q J � X N cv N Q L Q 0 O 0 CL 0 � L Q V Q U �� O O O O O O U� O U� O U� O N N O O Ef} 6rk EA EA EA EA ap o O O N r- C) O N O O N LO O O N O O N M O O N N O O N 0 0 N O O O N co r r— r r LO r N N CF) O r O IL O U Personnel Services The City of Port Townsend provides quality services and programs for its citizens with a responsive staff of 82 full - time and 24 part-time budgeted positions for 2008. Port Townsend has a competitive, market -based salary and benefits. Salary and benefits make up a major portion of the operating budgets. The General bargaining unit employees received a COLA increase in January 2008 of 3.5 % with an additional 2% market adjustment increase. Police Union wages are currently under negotiations for 2008. Non - represented employees received a COLA increase in January 2008 of 3.5 %. Benefits for regular status full -time employees include vacation and sick leave and paid holidays. Employees may qualify for additional types of leave such as jury, emergency, bereavement, military and family medical leave. The City provides comprehensive benefits to its retired LEOFF I employees. Police, bargaining unit employees and non - represented employees participate in the Social Security program and the city matches their contributions (7.65 %). Substantially all City full -time and qualifying part-time employees participate in either the Public Employees Retirement System (PERS) or the Law Enforcement Officer's and Firefighters Retirement System (LEOFF). PERS and LEOFF are statewide local government retirement systems administered by the Department of Retirement Systems. Pension Rate of Contribution Plan Citv Employee Total LEOFF II 5.35% 8.64% 13.99% PERS I 6.13% 6.00% 11.46% PERS II 6.13% 4.15% 8.96% PERS III 6.13% variable variable The City of Port Townsend pays $829.06 for medical, dental and vision coverage for employees in the general government and $925.81 for police bargaining units. Police and General government employees pay 10% towards their medical for dependents. The City funds positions at their full annual cost for budgetary purposes even if it is projected that vacancies might occur. It is the City Council's objective to provide sufficient funding for recruiting and maintaining highly qualified personnel. BARGAINING UNITS • General Government Teamsters Local 589 (41 members, contract expires December 31, 2008) Police Department Teamsters Local 589 (15 members, contract currently in negotiations for 2008 -2010) LABOR RELATIONS The City employees who are eligible under state law to be represented by a Labor organization are employed under provisions on such matters as salaries, vacation, sick leave, medical and dental insurance, working conditions and grievance procedures. The City strives to complete these agreements in a timely manner, consistent with all applicable state laws and promote labor relations policies mutually beneficial to administrative management and employees. City of Port Townsend 107 Personnel Services Police Department Officer Salary Schedule Classification Minimum Hourly Maximum Hourly Police Sergeant $26.86 $30.39 Police Officer $22.76 $25.76 Library Department Non - represented Salary Schedule Classification Minimum Maximum Manager $3934.25 $4808.53 Assoc. Librarian $3341.96 $4084.62 Sr. Associate 11 $17.47 $21.35 Senior Associate $15.41 $18.83 Library Associate $14.26 $17.43 Assistant $12.79 $15.63 Processing Tech. $11.80 $14.43 Courier/Page $10.01 $12.23 Page $8.21 $10.03 General Government Salary Schedule Classification Minimum Monthly Maximum Monthly Equipment Operator 1 $3538.75 $4004.92 Equipment Operator 2 $3619.13 $4095.89 Maintenance Worker $2971.74 $3363.23 Maintenance Worker 2 $3146.80 $3561.34 Lead Equipment Operator $4113.41 $4655.27 Crew Chief- St/WWC /Storm $4464.38 $5052.49 Crew Chief -Water Dist. $4464.38 $5052.49 Park Crew Supervisor $3950.69 $4471.13 Park Assistant 1 $2512.28 $2843.23 Park Assistant 2 $2749.76 $3112.00 Crew Chief - Support Service $4464.38 $5052.49 Treatment Plant Operator 1 $3363.09 $3806.13 Treatment Plant Operator 2 $3619.13 $4095.89 Asst. Treatment Plant Oper. $3208.59 $3631.26 Water Resource Asset Mgr $4464.38 $5052.49 GIS Coordinator $4074.39 $4611.11 Classification Minimum Monthly Maximum Monthly PW Assistant Admin. Mgr. $2987.25 $3380.77 Public Works Office Lead $3751.94 $4246.20 Public Works Assistant 1 $2512.28 $2843.23 Public Works Assistant 2 $2749.76 $3112.00 Land Use Develop. Spec. $3797.06 $4297.26 Land Use Specialist/ Development Review $3649.62 $4130.39 Public Works Receptionist $2512.29 $2843.23 Inspector $4074.38 $4611.11 Mechanic $3690.56 $4176.73 Engineering Assistant 3 $3430.49 $3882.40 Police Admin. Supervisor $3507.92 $3970.03 Police Clerk $2839.67 $3213.76 Parking Enforcement/Prop $2981.60 $3374.39 Project Accountant $3778.78 $4276.57 Accounting Assistant 1 $3011.00 $3407.65 Accounting Assistant 2 $3191.66 $3612.11 Utility Billing Clerk $3011.00 $3407.65 Lead Utility Billing Clerk $3359.81 $3802.42 Customer Service Rep. $2575.68 $2914.97 Code Enforcement/Plan Review/Bldg. Inspector 1 $3850.08 $4357.26 Code Enforcement/Plan Review/Bldg. Inspector 2 $3993.50 $4519.57 Permit Coordinator $3993.50 $4519.57 DSD Administrative Assist. $3081.94 $3487.94 Event Coordinator $2711.38 $3068.56 IS Network Administrator $5045.27 $5709.90 *These tables represent base salaries and do not include longevity, or incentive pay. They may also not be currently staffed or filled. City of Port Townsend 108 Personnel Services Elected Officials Salary Schedule Classification Annual Salary Mayor $9,000 Council Members $6,000 Non - represented Staff Salary Schedule Classification Minimum Monthly Maximum Monthly City Manager $7703.30 $9415.14 Admin. Assistant $3264.40 $3989.82 City Attorney $6396.03 $7817.37 Legal Assistant $3174.55 $3880.01 City Clerk $4740.86 $5794.38 Deputy City Clerk $3855.38 $4712.14 DSD Director $6031.66 $7372.02 DSD Assist. Director $5419.99 $6624.43 Planning Director $6031.66 $7372.02 Senior Planner $5075.29 $6203.13 Planner 2 $4390.47 $5366.13 Public Works Director $6484.88 $7925.96 PW Operations Mgr. $4845.68 $5922.50 Finance Director $6466.91 $7904.01 Deputy Finance Director $4691.94 $5734.60 Payroll/Benefits Admin. $3458.19 $4226.67 Library Director $5360.81 $6552.10 Police Chief $6289.21 $7686.81 Deputy Police Chief $5204.08 $6360.54 City Engineer $5435.68 $6643.60 Project/Civil Engineer $5019.39 $6134.81 Development Review Engineer I $4873.25 $5956.19 Development Review Engineer II $5240.35 $6404.87 Project Manager $5403.22 $6603.94 CivilEngineer/EIT $4836.75 $5911.59 Pool Manager $3026.30 $3698.82 Public Safety Analyst $3961.44 $4841.76 Building Official $5058.68 $6182.84 City of Port Townsend 109 W N ai O _O C� O Q" O O i W H W O O O C� N i. O co: E TT�^ v1 V O 0000 0 0 0 0 0 0 0 0 0 0 0 0,l- O M N O O O O O O O O O O O O O O O 0 0 0 0 0 0 0 0 0 0 O � � s U O O O O LO O LO M O O M O LO LO O O M O LO O LO M O co O N O 4 N 00 O O O N O O O O M O M O O M O M LO O O Cl) O— O C0 Cfl O ti O O N N O M LO LO N O O N N O O M O 4 N I— O O O N O O O O M � N M O O M O LO O M I` M O O O M � O O O O N N O co Co N O O O co I-- co O N I-- O O O M � N F 111 O O O O M O M LO M O M O I� O N CO M O LO O M�',T Lf) O O N N CO N L N 00 0 0 Cfl M M O N CO O O O M N "To O O Cl) O O LO Cl) O Cl) O CO O O LO O O O M I'- Iq O O N N M N O M N O O O O M N Lo O"1 O N Lo M 0 O N ',T O O O M O M O M O M O ',T M N M O LO O LO M',T Cl) O O N N I- N LO N N 00 0 0 NT N M M M O NT N M M O O M N ',T M M M O O M O N O O I— CO N L I- LO CO N O O N N I- N� m N 0 0 0 0 U') � M M N M M N� m O N LO —. 0 0 0 0 0 0 M M N M O M I- O M C O N N O N 000 0 M 00 N N M M I-- I O M N 0 0 LO L 0 LO T O O O O O 1` ',T N— O LO O O O N CO O CO O O 00 NT O co N co "i co co O M N O O Cfl O O L Cfl M M "To LO LO LO O LO Cfl O O N CO O Cfl 00 N M N'�T LO I� O r O O M - M LO co co co 1` O O LO LO LO O co O N O CO CO O O N O "1 N "i U-) O 00 O r O 3 �. 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M N LO 'l- N M N N N 00 O O M LO LO LO Lq M Lq (D N M N N N N m O H O N U E 0 N O O U 0 U (6 L L N N .� �. _ (6 J N Q' a) 0 � N m L L Q� Q� 0 y+ L (6 N E O O— E N CU M M M »mLi >((O Mu �� » U) 0 0 0 0 0- E 0 0 0) m m U Glossary ACCOUNTING SYSTEM: The total set of records and procedures that are used to record, classify, and report information on the financial status and operations of an entity. ACCOUNTS PAYABLE: A short-term liability account reflecting amounts owed to private persons or organizations for goods and services received by a government. ACCOUNTS RECEIVABLE: An asset account reflecting amounts due from private persons or organizations for goods and services furnished by a government (but not including amounts due from other funds or other governments). ACCRUAL BASIS OF ACCOUNTING: The method of accounting under which revenues are recorded when they are earned (whether or not cash is received (whether cash disbursements are made at that time or not). ACCUMULATED DEPRECIATION: A contra -asset account used to report the accumulation of periodic credits to reflect the expiration of the estimated service life of fixed accounts. AD VALOREM TAXES: A tax levied on the assessed value of real property. AGENCY FUND: A fund used to account for assets held by a government as an agent for individuals, private organizations, other governments and /or other funds. ALLOCATION: To set aside or designate funds for specific purposes. An allocation does not authorize the expenditure of funds. AMORTIZATION: (1) The portion of the cost of a limited life or intangible asset charged as an expense during a particular period. (2) The reduction of debt by regular payments of principal and interest sufficient to retire the debt by maturity. ANNUAL DEBT SERVICE: The amount required to be paid in a calendar year for (1) interest on all Parity Bonds then outstanding; (2) principal of all Parity Bonds then outstanding, but excluding any outstanding Term Bonds, and (3) payments into any Sinking Fund Account for the amortization of outstanding Parity Bonds divided by the number of calendar years to the last maturity or mandatory redemption date thereof. ANNUAL FINANCIAL REPORT: The official annual report of a government. It includes (a) the five combined financial statements in the combined statements - overview and their related notes and (b) combined statements by fund type and individual fund and account group financial statements prepared in conformity with GAAP and organized into a financial reporting pyramid. It also includes supporting schedules necessary to demonstrate compliance with finance - regulated legal and contractual provisions, required supplementary information, extensive introductory material and a detailed statistical section. APPROPRIATION: An authorization made by the City Council, which permits officials to incur obligations against and to make expenditures of governmental resources. Appropriations are usually made for fixed amounts and are typically granted for a one -year period. City of Port Townsend 112 Glossary APPROPRIATIONS ORDINANCE: The official enactment by the City Council establishing the legal authority for City officials to obligate and expend resources. ASSESSED VALUATION: The estimated value placed upon real and personal property by the Jefferson County Assessor as the basis for levying property taxes. ASSETS: Property owned by a government, which has monetary value. AUDIT: A systematic examination of resource utilization concluding in a written report. It is a test of management's internal accounting controls and is intended to: * ascertain whether financial statements fairly present financial position and result of operations; * test whether transactions have been legally performed; * identify areas for possible improvements in accounting practices and procedures, * ascertain whether transactions have been recorded accurately and consistently; and * ascertain the stewardship of officials responsible for governmental resources. AUDITOR'S REPORT: In the context of a financial audit, a statement by the auditor describing the scope of the audit and the auditing standards applied in the examination and setting forth the auditor's opinion on the fairness of presentation of the financial information in conformity with generally accepted accounting practices or some other comprehensive basis system of accounting. BALANCE SHEET: A statement presenting the financial position of an entity by disclosing the value of its assets, liabilities, and equities as of a specified date. BARS: The State of Washington prescribed Budgeting, Accounting Reporting System Manual required for all governmental entities in the state of Washington. BASE BUDGET: Ongoing expense for personnel, contractual services, and the replacement of supplies and equipment required to maintain service levels previously authorized by the City Council. BASIC FINANCIAL STATEMENTS: Those financial statements, including notes thereto, necessary for the fair presentation of the financial position and results of operations of an entity in conformity with GAAP. The basic financial statements include a balance sheet, an "all- inclusive" operating statement, a budget comparison statement (for all government funds for which annual appropriated budgets are adopted), and a statement of changes in financial position (for proprietary funds, pension trust funds and non - expendable trust funds). BASIS OF ACCOUNTING: A term used to refer to when revenues, expenditures, expenses and transfers - and the related assets and liabilities - are recognized in the accounts and reported in the financial statements. Specifically, it relates to the timing of the measurements made, regardless of the City of Port Townsend 113 Glossary nature of the measurement, on either the cash or accrual method. BOND: (Debt Instrument) A written promise to pay (debt) a specified sum of money (called principal or face value) at a specified future date (called the maturity date) along with periodic interest paid at a specified percentage of the principal (interest rate). Bonds are typically used for long -term debt to pay for specific capital expenditures. BOND ANTICIPATION NOTES: (BANS) Short- term interest - bearing notes issued in anticipation of bonds to be issued at a later date. The notes are retired from proceeds of the bond issue from which they are related. BOND REGISTRAR: The fiscal agency of the State of Washington in either Seattle, Washington, or New York, New York, for the purposes of registering and authenticating the bonds, maintaining the bonds, maintaining the bond register, effecting transfer of ownership of the bonds and paying interest on the principal of (and any premium pursuant to call on) the bonds. BUDGET (Operating): A plan of financial operation embodying an estimate of proposed expenditures for a given period (typically a fiscal year) and the proposed means of financing them (revenue estimates). The term is also sometimes used to denote the officially approved expenditure ceilings under which the City and its departments operate. BUDGET CALENDAR: The schedule of key dates or milestones, which the City follows in the preparation and adoption of the budget. BUDGET DOCUMENT: The official written statement prepared by the Finance Department and supporting staff for the city manager to present the proposed budget to the City Comic CAPITAL ASSETS: Assets of significant value and having a useful life of several years. Capital assets are also called fixed assets. CAPITAL BUDGET: A plan of proposed capital expenditures and the means of financing them. The capital budget may be enacted as part of the complete annual budget including both operating and capital outlays. The capital budget is based on the Capital Improvement Plan (CIP). CAPITAL IMPROVEMENT PROGRAM: A plan of proposed capital expenditures to be incurred each year over a period of six future years setting forth each capital project, identifying the expected beginning and ending date for each project, the amount to be expended in each year, and the method of financing those expenditures. CAPITAL PROGRAM: A plan for capital expenditures to be incurred each year over a fixed period of years to meet capital needs arising from the long -term work program or otherwise. It sets forth each project or other contemplated expenditure in which the government is to have a part and specifies the full resources estimated to be available to finance the projected public facilities. CAPITAL OUTLAY: Expenditures, which result in the acquisition of or additions to fixed assets. Examples include land, buildings, machinery and equipment, and construction projects. City of Port Townsend 114 Glossary CAPITAL PROJECTS: Projects, which purchase or construct capital assets. Typically, a capital project encompasses a purchase of land or construction of a building or facility, with a life expectancy of more than 10 years. CASH BASIS: The method of accounting under which revenues are recorded when received in cash and expenditures are recorded when paid. CASH FLOW BUDGET: (CASH BUDGET) A projection of the cash receipts and disbursements anticipated during a given time period. CDBG: Community Development Block Grants - grant funds administered through Department of Community Trade and Economic Development (CTED) of the State of Washington. CENTENNIAL CLEAN WATER PROGRAM: (CCWP) In 1986, legislation was passed which provides grants to public entities for financing water pollution control activities and facilities to protect surface and underground water from pollution. In addition, a state revolving loan program was established to provide loans or combinations of grants /loans to finance public facilities. CERTIFICATE OF DEPOSIT: A negotiable or non - negotiable receipt for monies deposited in a bank or other financial institution for a specified period for a specified rate of interest. COLA: Cost of Living Allowance. COMMUNITY PARK: Those parks so designated in the City of Port Townsend Parks and Recreation Plan. CONCURRENT OR CONCURRENCY: The improvements that are in place at the time the impacts of development occur, or that the necessary financial commitments are in place. Public facilities and services shall be adequate to serve the development at the time the development is available for occupancy and use without decreasing current service levels below locally established minimum standards. CONTINGENCY: A budgetary reserve set -aside for emergencies or unforeseen expenditures not otherwise budgeted for. COST ACCOUNTING: Accounting that assembles and records all costs incurred to carry out a particular activity or to deliver a particular service. COUNCILMANIC BONDS: Councilmanic bonds refer to bonds issued with the approval of the Council, as opposed to voted bonds that must be approved by vote of the public. Councilmanic bonds must not exceed 1.50 percent of the assessed valuation, and voted bonds 2.50 percent. CPI: Consumer Price Index is a measure of the change in prices over time for a fixed market basket of goods and services. DEBT: An obligation resulting from the borrowing of money or from the purchase of goods and services. Debts of governments include bonds, time warrants and notes. DEBT LIMITS: The maximum amount of gross or net debt, which is legally permitted. DEBT SERVICE: Payment of interest and repayment of principal to holders of City of Port Townsend 115 Glossary the City's debt instruments. DEBT SERVICE FUND: A fund established to account for the accumulation of resources for, and the payment of, general long- term debt principal and interest. DEFICIT: (1) The excess of an entity's liabilities over its assets (See Fund Balances). (2) The excess of expenditures or expenses over revenues during a single accounting period. DELINQUENT TAXES: Taxes remaining unpaid on and after the date to which a penalty for nonpayment is attached. Even though the penalty may be subsequently waived and a portion of the taxes may be abated or canceled, the unpaid balances continue to be delinquent taxes until abated, canceled, paid or converted into tax liens. DEMAND DEPOSIT: A bank deposit of monies that are payable by the bank upon demand to the depositor. DEPRECIATION: (1) Expiration in the service life of capital assets attributable to wear and tear, deterioration, action of the physical elements, inadequacy or obsolescence. (2) That portion of the cost of a capital asset, which is charged as an expense during a particular period. DEVELOPMENT ACTIVITY: Any construction or expansion of a building, structure, or use, any change in use of a building or structure, or any change in the use of land, that creates additional demand and need for public facilities. DOUBLE BUDGETING: The result of having funds or departments within a government purchase services from one another rather than from outside vendors. When internal purchasing occurs, both funds must budget the expenditure (one to buy the service and the other to add the resources to its budget so they have something to sell). This type of transaction results in inflated budget values because the same expenditure dollar is budgeted twice: once in each fund's budget. The revenue side of both funds is similarly inflated. DUE FROM OTHER FUNDS: An asset account used to indicate amounts owed to a particular fund by another fund for goods or services rendered. This account includes only short-term obligations on open account, not interfund loans. ENCUMBRANCES: Obligations in the form of purchase orders, contracts or salary commitments that are chargeable to an appropriation and for which a part of the appropriation is reserved. They cease to be encumbrances when paid or when an actual liability is set up. ENDING FUND BALANCE: The cash balance remaining at the end of the fiscal year available for appropriation in future years. ENTERPRISE FUND: Separate financial accounting used for government operations that are financed and operate in a manner similar to business enterprises, and for which preparation of an income statement is desirable. EQUIPMENT RENTAL: The Equipment Rental Fund operates as a self - sufficient motor and equipment pool. Customer departments pay for the equipment used through charges billed monthly. These charges include a form of depreciation, which is accumulated as City of Port Townsend 116 Glossary a sinking fund for future asset replacement, a factor for maintenance of the equipment, and charges for fuel (if applicable). EXPENDITURES: Where accounts are kept on the accrual or modified accrual basis of accounting, the cost of goods received or services rendered whether cash payments have been made or not. Where accounts are kept on a cash basis, expenditures are recognized only when the cash payments for the above purposes are made. FEDERAL AID URBAN SYSTEM: (FADS) Provides funds for the construction, reconstruction, and improvement of urban streets and roads A local match of 16.6 percent is required. FEE IN LIEU OF: (FILO) Charges are contributions made by developers toward future improvements of City facilities resulting from the additional demand on the City's facilities generated from the development. FISCAL YEAR: A twelve (12) month period designated as the operating year by an entity. For Port Townsend, the fiscal year is the same as the calendar year (also called budget year). FIXED ASSETS: Long- lived tangible assets obtained or controlled as a result of past transactions, events or circumstances. Fixed assets include buildings, equipment, improvements other than buildings and land. FLOAT: The amount of money represented by warrants outstanding and in the process of collection. FULL FAITH AND CREDIT: A pledge of the general taxing power of a government to repay debt obligations (typically used in reference to bonds). FTE: Full -time equivalent employee. FUND: An independent fiscal and accounting entity with a self - balancing set of accounts recording cash and /or other resources together with all related liabilities, obligations, reserves, and equities which are segregated for the purpose of carrying on specific activities or attaining certain objectives. FUND BALANCE: The excess of an entity's assets over its liabilities. A negative fund balance is sometimes called a deficit. GAAFR: Governmental Accounting, Auditing and Financial Reporting. The "blue book" published by the Government Finance Officers Association to provide guidance for the application of accounting principles for governments. GAAP: Generally Accepted Accounting Principles are standards used for accounting and reporting used for both private industry and governments. GASB: Government Accounting Standards Board, established in 1985, to regulate the rules and standards for all governmental units. GENERAL FIXED ASSETS: Capital assets that are not a part of any fund, but of the government unit as a whole. Most often these assets arise from the expenditure of the financial resources of governmental funds. GENERAL FUND: The fund supported by taxes, fees and other revenues that City of Port Townsend 117 Glossary may be used for any lawful purpose GENERAL OBLIGATION BONDS: Bonds for which the full faith and credit of the insuring government are pledged for payment. GOALS: The objective of specific tasks and endeavors. GRANT: A contribution of assets (usually cash) by one governmental unit or other organization to another. Typically, these contributions are made to local governments from the State and Federal governments. Grants are usually made for specified purposes. GUARANTY FUND: A fund established by a bond issuer, which is pledged, as security for the payment of one or more bond issues. Normally used for local improvement districts (LID). IAC: Interagency Committee for Outdoor Recreation. IMPACT FEES: A fee assessed on new development that creates additional demand and need for public facilities. INFRASTRUCTURE: Assets that are the underlying foundation especially the basic installations and facilities on which the continuance and growth of a jurisdiction depends (streets, roads, sewer, and water systems). INTERFUND PAYMENTS: Expenditures made to other funds for services rendered. This category includes interfund repairs and maintenance. INTERGOVERNMENTAL COSTS: Costs or expenses paid from one government to another government for services. These costs include but are not limited to such things as: dispatch and jail services, animal control services, audit and voter costs. INTERGOVERNMENTAL SERVICES: Intergovernmental purchases of those specialized services typically performed by local governments. INTERNAL CONTROL: A plan of organization for purchasing, accounting, and other financial activities, which, among other things, provides that: * The duties of employees are subdivided so that no single employee handles financial action from beginning to end, * Proper authorization from specific responsible officials are obtained before key steps in the processing of a transaction are completed. * Records and procedures are arranged appropriately to facilitate effective control. INTERNAL SERVICE FUND: Funds used to account for the financing of goods or services provided by one department or agency to other departments or agencies of the City, or to other governments, on a cost - reimbursement basis. INVESTMENT: Securities and real estate purchased and held for the production of income in the form of interest, dividends, rentals and base payments. IPD: Implicit Price Deflator. LATECOMER FEES: Fees paid by developers or future service users for their share of past improvements City of Port Townsend 118 Glossary financed by others. LEASING: A financial technique whereby ownership of the projector equipment remains with the financing entity, and where title may or may not transfer to the City at the end of the lease. LEOFF: Law Enforcement Officers and Firefighters Retirement System provided in the State of Washington. LEVY: (1) To impose taxes, special assessments or service charges for the support of government activities. (2) The total amount of taxes, special assessments or service charges imposed by a government. LEVY LID: A statutory restriction on the annual increase in the amount of property tax a given public jurisdiction can assess on regular or excess levies. LIABILITY: Debt or other legal obligations arising out of transactions in the past that must be liquidated, renewed or refunded at some future date. LID: Local Improvement District for special assessments made against certain properties to defray part or all of the cost of a specific improvement or service deemed to primarily benefit those properties. MATURITIES: The dates on which the principal or stated values of investments or debt obligations mature and may be reclaimed. MILL: The property tax rate, which is based on the valuation of property. A tax rate of one mill produces one dollar of taxes on each $1,000 of property valuation. MITIGATION FEES: Contributions made by developers toward future improvements of city facilities resulting from the additional demand on the city's facilities generated from the development. MODIFIED ACCRUAL BASIS: The basis of accounting under which expenditures, other than accrued interest on general long -term debt, are recorded at the time liabilities are incurred and revenues are recorded when received in cash except for material and /or available revenues, which should be accrued to reflect properly the taxes levied and revenue earned. NET REVENUE: The revenue of the system less the cost of maintenance and operation of the system. NOTES TO THE FINANCIAL STATEMENTS: The disclosures required for a fair presentation of the financial statements of government in conformity with GAAP and not included on the face of the financial statements themselves. The notes to the financial part of the GPFS /CUFS. OBJECT: As used in expenditure classification, this term applies to the type of item purchased or the service obtained (as distinguished from the results obtained from expenditures). OPERATING FUNDS: Resources derived from recurring revenue sources used to finance ongoing operating expenditures and pay -as- you -go capital proj ects. OPERATING TRANSFER: Routine and /or recurring transfers of assets between funds. City of Port Townsend 119 Glossary ORDINANCE: A statute or regulation enacted by City Council. OTHER SERVICES AND CHARGES: A basic classification for services, other than personnel services, which are needed by the City. This item includes professional services, communication, travel, advertising, training, dues and subscriptions, printing, equipment rental and costs (ER &R), insurance, public utility services, repairs and maintenance. PARITY BOND: Any and all water and sewer revenue bonds of the City the payment of which, both principal and interest, constitutes a lien and charge upon the revenue of the system and upon assessments equal in rank with the lien and charge on such revenue of the system and assessments for payments required to pay and secure the payment of the bonds. PERS: Public Employees Retirement System provided for, other than Police and Fire, by the State of Washington. PERSONNEL BENEFITS: Those benefits paid by the City as part of the conditions of employment. Examples include insurance & retirement benefits. PERSONNEL COSTS: Costs that include all salaries, wages, and benefits for all part-time, full -time, seasonal and temporary employee costs. PROCLAMATION: An official act by the Mayor or Executive Officer made through a public forum. PROGRAM: A specific and distinguishable unit of work or service performed. PROGRAM ENHANCEMENT: Programs, activities or personnel requested to improve or add to the current baseline services. PROGRAM MEASURES: A unit of standard used for the quantitative comparison in the manner of functioning to capacity or quantity as determined. PROGRAM REVENUE: These are revenues that are produced as a result of an activity of a program and are subject to quantity of services provided to the public or governmental units (i.e. permits, charges for fire services, recreational activities), or revenues dedicated to a specific use (i.e. grants taxes or debt funds). PROPRIETARY FUND TYPES: Sometimes referred to as income determination or commercial -type funds, the classification used to account for a government's ongoing organizations and activities that are similar to those often found in the private sector. The GAAP used are generally those applicable to similar businesses in the private sector and the measurement focus is on determination of net income, financial position and changes in financial position. PUBLIC FACILITIES: The capital owned or operated by the City or other governmental entities. PUBLIC WORKS TRUST FUND: (PWTF) Is a low- interest revolving loan fund which helps local governments finance critical public works needs. To be eligible for trust fund financing, the applicant must be a local government entity, with a long -term plan for financing public works needs. If the applicant is a city or county, it must be imposing the optional one - quarter City of Port Townsend 120 Glossary percent real estate excise tax for capital purposes. Eligible projects include streets and roads, bridges, storm sewers, sanitary sewers, and water systems. Loans will only be made for the purpose of repair, replacement, reconstruction, or improvement of existing eligible public works systems to meet current standards and to adequately serve the needs of the existing populations. New capital improvement projects are not eligible. The maximum loan amount has been two million with a minimum local match of ten percent. Interest rates vary from one to three percent, depending on the match. RCW: Revised Code of Washington. Laws of the State of Washington enacted by the State Legislature. BEET: (Real Estate Excise Tax) A tax upon the sale of real property from one person or company to another. RESERVE: An account used to indicate that a portion of fund equity is legally restricted for a specific purpose. RESOLUTION: A formal statement of a decision or expression of an opinion of the City Council. RESOURCES: Total dollars available for appropriations including estimated revenues, fund transfers, and beginning fund balances. RETAINED EARNINGS: An equity account reflecting the accumulated earnings of the City's proprietary funds REVENUE: income received by the City in support of a program of services to the community. It includes such items as property taxes, fees, user charges, grants, fines and forfeits, interest income and miscellaneous revenue. REVENUE BONDS: Bond issued pledging future revenues, usually water, sewer or drainage charges, to cover debt payments. REVENUE ESTIMATE: A formal estimate of how much revenue will be earned from a specific revenue source for some future period, typically, a future fiscal year. STP: Surface Transportation Program. STPE: Surface Transportation Program - Enhancement. STPH: Surface Transportation Program - Hazard Elimination STPUS: Surface Transportation Program - Urban Small. SALARIES AND WAGES: Amounts paid for personal services rendered by employees in accordance with rates, hours, terms and conditions authorized by law or stated in employment contracts. SERVICE MEASURES: Specific quantitative measures of work performed within an activity or program (e.g., total miles of street cleaned). Also, a specific quantitative measure of results obtained through a program or activity (e.g., reduced incidence of vandalism due to new street lighting program). SINGLE AUDIT: An audit performed in accordance with the Single Audit Act of 1984 and office of Management and Budget (OMB) Circular A -128, Audits of State and Local Governments. The Single Audit Act allows or requires governments (depending on the amount City of Port Townsend 121 Glossary of federal assistance received) to have one audit performed to meet the needs of all federal grantor agencies. SINKING FUND ACCOUNT: An account created in the bond fund to amortize the principal of term bonds. SPECIAL ASSESSMENT: A compulsory levy made against certain properties from earnings of enterprise funds. In addition to a pledge of revenues, such bonds sometimes contain a mortgage on the enterprise fund's property. SPECIAL REVENUE FUND: A fund used to account for the proceeds of specific revenue sources that are legally restricted to expenditure or specified purposes. SUPPLEMENTAL APPROPRIATION: An appropriation approved by the Council after the initial budget appropriation. SUPPLIES: A basic classification of expenditures for articles and commodities purchased for consumption or resale. Examples include office and operating supplies, fuel, power, water, gas, inventory or resale items, and small tools and equipment. SURETY BOND: Any letter of credit, insurance policy, surety bond or other equivalent credit facility or any combination thereof issued to the City to satisfy all or part of the amount required to be maintained in the Reserve Account to make such payments of principal and interest as the same become due at maturity or on any mandatory redemption date. TIA: Transportation Improvement Account. TAX: Charge levied by a government to finance services performed for the common benefit. TAX ANTICIPATION NOTES: (TANS) Notes issued in anticipation of taxes, which are retired usually from taxes collected (typically by school by school districts). TAX LEVY ORDINANCE: An ordinance through which taxes are levied. TAX RATE LIMIT: The maximum legal rate at which a municipality may levy a tax. The limit may apply to taxes raised for a particular purpose or for general purposes. TERM BONDS: Any parity bonds designated by the Council as "term bonds" pursuant to an ordinance which authorizes the issuance of parity bonds and provides for mandatory payments into a sinking fund account established for the term bonds so designated and provides for mandatory redemption of such term bonds from such sinking fund account. THIRTEENTH MONTH: This is the month (January) following the end of the fiscal year in which prior expenditures shall be charged against the prior year's budget. This is a budgetary provision in state law (35A.33.150 RCW). It requires cities to charge the previous budget for items purchased before year- end, but not yet invoiced to the city up to the twentieth day in January. This provision is similar to accounts payable accruals in the private business community. City of Port Townsend 122 Glossary TRANSPORTATION IMPROVEMENT ACCOUNT (TIA): Provides funding for transportation projects through two urban programs. Urban projects must be attributable to congestion caused by economic growth. They must be consistent with state, regional and local selection processes. The TIB requires multi- agency planning and coordination and public /private cooperation to further the goal of achieving a balanced transportation system in Washington State. TRANSPORTATION IMPROVEMENT BOARD (TIB): The purpose of the TIB is to administer funding for local governments for transportation projects. This is accomplished through the Transportation Improvement Account Program and the Urban Arterial Trust Account Program. Revenues are from the state fuel tax, local matching funds, and private sector contributions. TRUST FUND: Funds used to account for assets held by a government in a trustee capacity for individuals, private organizations, and /or other funds. DATA: Urban Arterial Trust Account. UTILITY LOCAL IMPROVEMENT DISTRICTS: (ULID) Created only for improvement to sewer, water, and other utilities and differs from a LID in that all assessment revenues must be pledged for payment of debt service of bonds issued to finance the improvements. WAC: Washington Administrative Code. WARRANT: An order drawn by a municipal officer(s) directing the treasurer of the municipality to pay a specified amount to the bearer, either after the current or some future date. WCIA: Washington Cities Insurance Authority is a group of cities across the state that provides pooled and self - insurance services for liability, auto, property, and all other insurance coverage. YIELD: The rate earned on an investment based on the price paid for the investment, the interest earned during the period held, and the selling price or redemption value of the investment. City of Port Townsend 123