FEDRAC Mins 02-25-2014Finance
.`A Federal Way
City Council
ional Affairs Committee
SUMMARY
1. CALL TO ORDER Committee Chair Dini Duclos called the meeting to order at 5:31 p.m.
Committee Members in Attendance: Committee Chair Dini Duclos, Committee Member Bob Celski and
Committee Member Susan Honda.
Elected Officials in Attendance: Councilmember Jeanne Burbidge
Staff Members in Attendance: Finance Director Bob Noland, Chief of Staff Brian Wilson, City Attorney Pat
Richardson, Community & Economic Development Director Patrick Doherty, IT Manager Thomas Fichtner,
Community Services Manager Jay Bennett, Financial Analyst Chase Donnelly and Executive Assistant Kathy
Arndt
2. PUBLIC COMMENT: None.
3. COMMITTEE BUSINESS:
Council
Topic
Title/ Description
Placement
A.
Approval of Minutes /Summary: November 26, 2013
N/A
Committee
The committee pointed out that the minutes indicate that Chair Duclos adjourned the
Action Only
meeting when in fact it was committee member Celski who did so. The change was
noted for revision.
Motion to approve with the change that Committee member Celski adjourned the
meeting. Motion second and carried 3 - 0.
B.
Approval of Minutes /Summary: January 28, 2014
N/A
Committee
Motion to approve as presented. Motion second and carried 3 - 0.
Action Only
C.
Fourth Quarter 2013 Report from Cascadia Velocity
N/A
Discussion Only
Mr. Doherty gave a brief history of the City's relationship with Cascadia Velocity over
the last two years. He introduced Mr. Graham Evans who would give the
organization's final quarterly report.
Mr. Evans discussed the challenges the organization has had with sustainability and
shared the options the Board identified for going forward.
Discussion took place regarding these options and their implications, as well as the
current state of involvement of local businesses and the obstacles they face.
The committee expressed interest in continuing to pursue opportunities with the
incubator, beginning with a solid business plan from Cascadia Velocity.
D.
Renewal of the Contract with King County for Providing Institutional Network (I -Net)
CONSENT
Services
3/4/2014
Mr. Fichtner presented his report and explained the relationship the City has with King
County to receive various connectivity and network services.
The committee inquired regarding the cost and Mr. Fichtner provided additional
background as to the charges and services.
Motion to approve as presented and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
FEDRAC SUMMARY
February 25, 2014, Page 2 of 4
E.
Professional Services Agreement with the National Development Council for Technical
BUSINESS
Assistance Relating to the CDBG Section 108 Loan Fund
3/4/2014
Mr. Bennett presented his report and provided background and a status regarding
the services agreement, indicating that he anticipates that the application will be
forwarded back to the City with approval and before the City Council for review very
soon.
He explained the various obligations involved in the establishment of funds, the cost
and estimated timeline involved.
Discussion took place regarding the placement of the topic on the Council agenda.
The committee determined that the item would be moved from Council consent to
Council business.
Motion to approve and forward to the March 4, 2014 Council meeting for approval.
Motion seconded and carried 3 - 0.
F.
Amend the Habitat for Humanity Memorandum of Understanding for the West Way
CONSENT
Project
3/4/2014
Mr. Bennett presented his report and gave background information on two
agreements the City entered into with Habitat for Humanity related to the West Way
project.
He explained each of the proposed amendments the memorandum.
Discussion took place regarding homes in the area purchased by Habitat and the
organization's plans in that regard.
Motion to approve amendments and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
G.
Program Year 2014 CDBG Annual Action Plan
BUSINESS
3/4/2014
Mr. Bennett gave background on the Annual Action Plan and the timing of the
application process due to the availability of information required by the application.
He pointed out various portions of the Action Plan and discussion took place
regarding those details. The committee inquired regarding various funding portions,
to which both Mr. Bennett and Mr. Doherty responded.
Discussion took place regarding the outreach methods identified in the plan and
additional ways to reach out to the community.
The committee discussed where this topic should be placed on the Council agenda.
The committee determined that the item would be moved from Council consent to
Council business.
Motion to approve as presented and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
H.
Ordinance Amending the Business Registration Appeals Process
ORDINANCE
Ms. Richardson provided background regarding the ordinance.
3/4/2014
Motion to approve as presented and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
I.
Resolution: Modifying the Vehicle and Equipment Policy to Change Asset
RESOLUTION
Capitalization Threshold
3/4/2014
Mr. Noland provided detail on the City's current fixed asset capitalization threshold
and discussed the recommended change and the challenges it poses.
Implications of the change were discussed and the committee asked several
questions regarding those details, to which Mr. Noland responded.
Motion to approve as presented and forward to the March 4, 2014 Council meeting
FEDRAC SUMMARY
February 25, 2014, Page 3 of 4
for approval. Motion seconded and carried 3 - 0.
J. Score Update
N/A
Discussion Only
Mr. Noland gave his staff report, which included statistics and financial detail for the
first month of the year.
He drew attention to several areas of the report, including the fact that the average
daily population (ADP) continues to exceed budget estimates. The initial 2014 budget
was based on an ADP of 450 was later revised to 550. The average ADP over the past
several months has been 650.
Eight new correctional officer positions were approved last year and twelve this year,
plus three new administrative personnel.
Mr. Noland also mentioned that inmate housing agreements have been executed
with the Cities of Kirkland, Lynnwood and Duvall.
Discussion took place regarding the details of the report and structure of SCORE and
the committee asked several questions regarding those details, to which Mr. Noland
and Mr. Wilson both responded.
The committee expressed interest in knowing how much the City is paying to
participate in SCORE and ensuring that the relationship realizes a savings for the City.
Ms. Richardson and Mr. Noland both responded.
The committee asked that this topic be included in the next SCORE update provided.
K. December 2013 Monthly Financial Report
CONSENT
3/4/2014
Mr. Noland gave his year -end staff report and highlighted key areas, indicating that
the City's financial standing is positive overall.
Revenues are above the annual budget by $941 K or 2.8% with all revenues on target
or above annual budget except for public works permits and fees.
Expenditures are under annual budget by $2.6M or 6.2% with all departments below
estimates except for the jail, which exceeds annual budget estimates due to work
release and alternatives to confinement programs.
Sales tax exceeds annual 2012 by $812K or 7.7% and exceeds annual budget by
$154K or 1.4%
Red light photo /school zone cameras annual net revenue totals $2.13M and is below
annual 2012 by $130K or 5.7%.
The committee inquired regarding a portion of the Designated Operative Fund
Summary and discussion took place regarding this area of the report.
Motion to forward approval of the December 2013 Monthly Financial Report to the
March 4, 2014 consent agenda for approval. Motion seconded and carried 3 - 0.
L. 2014 Carry- Forward Budget Adjustment
ORDINANCE
Mr. Noland highlighted key areas in his year -end carry- forward budget adjustment
3/4/2014
report.
The committee inquired regarding the change in fund balance and whether the City
has been using those funds for operations this year, with which Mr. Noland agreed to
follow up.
Motion to approve as presented and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
M. Vouchers
CONSENT
Mr. Noland presented the vouchers for the review of the committee.
3/4/2014
The committee inquired and discussion took place regarding several areas of the
FEDRAC SUMMARY
February 25, 2014, Page 4 of 4
vouchers. Mr. Noland agreed to follow up with additional information regarding those
questions.
Discussion took place regarding the format of the vouchers packet and several
desired changes.
Motion to approve as presented and forward to the March 4, 2014 Council meeting
for approval. Motion seconded and carried 3 - 0.
4. OTHER: None.
5. FUTURE AGENDA ITEMS
6. NEXT MEETING: Tuesday, March 25, 2014
Chair Duclos adjourned the meeting at 7:05 p.m.
COMMITTEE
Councilmember Dini Duclos
Committee Chair
Councilmember Bob Celski
Committee Member
Assistant to the Mayor
Councilmember S�
Committee Member
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