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Home My WebLink AboutQUARTER 2 2025Page 1 of 28 OVERVIEW This quarterly financial report reflects the city’s revenue and expenditures/expenses for the fiscal year through June 30, 2025. A detailed analysis, including current to prior year and budget to actual comparison, is included for each city fund. This report excludes the city’s fiduciary funds, as these funds are held on behalf of others and are not available for city use. Budget figures shown reflect amounts authorized in ORD 6163, which includes the second quarter budget adjustment approved July 21, 2025. GENERAL FUND The General Fund is used to account for resources that are not generally dedicated for a specific purpose. The General Fund is used to meet the basic services that the city provides, including, but not limited to, police protection, parks and recreation, human services, municipal court, street maintenance and planning, economic development, and administrative functions. The table below displays the YTD revenues and expenditures for the General Fund, including comparison to prior year, comparison to YTD budget amounts, and percentage of annual budget. YTD budget amounts are generally based on the collection/disbursement patterns for the same period of the preceding two (2) years, with the following exceptions: property tax revenue budgets are based on the collection patterns over the preceding four (4) years and sales tax revenue budgets are based on the collection patterns over the preceding five (5) years. Quarterly Financial Report 2nd Quarter 2025 General Fund YTD Prior Year YTD YTD Budget % BUDGET REVENUES Taxes 57,348,054$ 110,390,000$ 54,555,292$ 59,742,175$ 2,394,121$ 5,186,883$ 54.12% Licenses & Permits 3,105,895 5,765,000 3,085,353 4,022,595 916,700$ 937,242 69.78% Intergovernmental 5,235,038 4,971,549 2,380,783 2,391,288 (2,843,750)$ 10,505 48.10% Charges for Services 5,601,132 11,590,028 5,811,728 6,516,241 915,109$ 704,513 56.22% Fines and Penalties 1,801,706 3,465,000 1,759,901 1,547,882 (253,824)$ (212,019) 44.67% Miscellaneous 4,248,351 2,894,377 1,440,742 3,523,484 (724,867)$ 2,082,742 121.74% Other Financing Sources (Transfer-In, etc) 45,841 1,598,911 1,598,910 786,045 740,204$ (812,865) 49.16% TOTAL REVENUES 77,386,017 140,674,865 70,632,709 78,529,710 1,143,693 7,897,001 55.82% EXPENDITURES City Attorney 1,611,317 3,886,062 1,947,212 1,712,754 (101,437) 234,458 44.07% Community and Economic Development 6,628,199 15,585,011 7,707,274 6,753,117 (124,918) 954,157 43.33% Council 390,469 862,719 454,086 426,490 (36,021) 27,596 49.44% Court Services 1,664,721 4,087,009 2,033,539 1,700,819 (36,098) 332,720 41.62% Executive Services 3,434,565 8,682,604 4,423,726 3,946,682 (512,117) 477,044 45.46% Finance 2,248,395 6,418,396 2,821,755 2,527,776 (279,381) 293,979 39.38% Human Resources 880,913 2,685,331 1,385,418 1,113,503 (232,590) 271,915 41.47% Parks and Recreation 9,122,773 21,395,373 9,987,368 8,725,255 397,518 1,262,113 40.78% Police 25,519,850 54,907,345 26,999,148 27,330,796 (1,810,946) (331,648) 49.78% Public Works 8,474,529 19,286,767 9,762,914 8,936,453 (461,924) 826,461 46.33% Other Non-Departmental 911,190 15,503,042 2,927,854 901,784 9,406 2,026,070 5.82% TOTAL EXPENDITURES 60,886,921 153,299,659 70,450,294 64,075,429 (3,188,508) 6,374,865 41.80% Change in Fund Balance 16,499,096 (12,624,794) 182,416 14,454,281 (2,044,815) 14,271,866 N/A Beginning Fund Balance 99,226,475 115,968,225 115,968,225 115,968,225 16,741,750 - 100.00% ENDING FUND BALANCE 115,725,571$ 103,343,431$ 116,150,641$ 130,422,506$ 14,696,935$ 14,271,866$ 126.20% Operating Reserve 17,346,914 18,397,399 18,397,399 18,397,399 Economic Development Reserve 2,500,000 2,500,000 2,500,000 2,500,000 AVAILABLE FUND BALANCE 95,878,657$ 82,446,032$ 95,253,242$ 109,525,107$ Summary of Sources and Uses Favorable (Unfavorable) 2024 2025 Variance YTD Actual Annual Budget YTD Budget YTD Actual Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 2 of 28 GENERAL FUND REVENUES The following tables provide a more detailed summary of each revenue category within the General Fund. All variances are shown in a favorable/(unfavorable) format. TAXES Taxes overall are trending above budget approximately $5.2 million largely due to the increases experienced in sales tax, B&O taxes and utility taxes. When setting the biennial budget an economic downturn was expected in 2025 therefore several budgeted tax revenues were projected at a slight decrease from actual revenues received in 2024. Many of the tax categories are trending behind prior year figures as expected except for B&O taxes and utility taxes. Local Retail Sales Tax – The year-to-date sales tax receipts are approximately 2.4% behind the revenues from the prior year however beginning to trend up in the most recent months indicating recovery, with an average increase of 5.7% in the past two months. One of the largest drivers of this tax is retail sales which are beginning to rebound as the year-to-date comparison to prior year is only 2.5% behind last year’s collections; an improvement from the quarter 1 comparison of a decrease of 3.6%. Revenues are tracking approximately $1 million more than budget as the budget was projected with a larger anticipated decrease in sales tax revenues than we are currently experiencing. Admissions Tax – This tax comes from just a handful of local businesses; like retail sales taxes, when the economy is uncertain, the disposable income of the consumer spent on entertainment activities also typically goes down. Similar to retail sales taxes, the entertainment industry which drives much of this tax has seen a larger decrease in the past six months as the concerns of the economy continue to loom midway through this year. Utility Tax – The increase in utility tax for electrical, gas, garbage and water are largely due to higher customer utility rates. There has been a steady decrease in cable and cell service utility taxes over the past several years with the consumer choosing to discontinue cable television and instead choosing individual subscription-based plans. Cellular companies have also changed the allocation of their bundled plans with more of the revenues allocated to data usage which is not taxable. Gambling Excise Tax –Current year revenue is trending lower than in prior years due to the closure of a large gambling establishment in early 2025. Expected annual decrease due to this closer will be an overall reduction of $650K per year, however because gambling tax can fluctuate so much based on the economy and overall consumer spend, budget was established lower than previous years with expected economic downturn. Therefore, even with this decrease, revenues are expected to be within budget. Business and Occupation (B&O) Tax – The B&O tax structure was changed several years ago with a tiered increase annually for the maximum amount any one taxpayer would pay yearly. For 2025, the maximum tax cap was removed and instead created a tiered rate of a 75% reduction for all taxes more than $12M. The current year amount includes approximately $600K in taxes from ongoing audits. 2024 2025 2025 Actual Budget Actual $ % $ % Property Tax 13,504,222 13,954,545 13,755,760 251,538 1.9%(198,785) -1.4% Local Retail Sales Tax 18,650,099 17,174,468 18,204,614 (445,485) -2.4%1,030,146 6.0% State Sales Tax Credit 55,117 57,051 58,083 2,966 5.4% 1,032 1.8% Criminal Justice Sales Tax 1,857,763 1,736,467 1,886,653 28,890 1.6% 150,186 8.6% Natural Gas Use Tax 149,730 144,522 132,898 (16,832) -11.2% (11,624) -8.0% Admission Tax 502,455 490,760 471,367 (31,088) -6.2% (19,393) -4.0% Utility Tax 9,932,200 9,446,165 10,744,138 811,938 8.2% 1,297,973 13.7% Leasehold Excise Tax 126,036 113,218 124,944 (1,092) -0.9%11,726 10.4% Gambling Excise Tax 2,126,418 1,360,529 1,923,610 (202,808) -9.5%563,081 41.4% B&O Tax 10,444,014 10,077,566 12,440,108 1,996,094 19.1% 2,362,542 23.4% YTD Total 57,348,054$ 54,555,292$ 59,742,175$ 2,394,121$ 4.2% 5,186,883$ 9.5% Annual Total 117,053,045$ 110,390,000$ Taxes by Type Revenue 2025 vs. 2024 2025 vs. Budget Year to Date through June Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 3 of 28 LICENSES & PERMITS Business Licenses – The increased outreach by the city and ongoing efforts to identify and contact unregistered businesses has been the catalyst for the increase in business licenses. The number of registered businesses increased approximately 10% through our ongoing outreach. Building Permits – Building permits are collected upon permit issuance. The increase from prior year is related to an increase in building permits issued up 30% from prior year. Permits and development fees had seen a decrease in 2023 with a steady recovery the past few years signalling a slight recovery and growth in the housing and construction sectors. INTERGOVERNMENTAL State Shared Revenue – State shared revenue is comprised on various taxes collected by the state and then passed onto the city. Below is a summary of the individual taxes received. This year, the city received additional taxes for criminal justice which is distributed to certain cities with increased crime rates and population. Federal/State/Local Grants – Federal/State/Local grant revenue varies significantly from year-to-year based on volume of grant awards procured, timing of grant expenditures, and reimbursement of related expenditures. Grant revenue is budgeted at 100% of award at the time the grant agreement is executed, sometimes resulting in a budget variance due to reimbursement of grant expenditures occurring in a future year. Any grant revenue not received in award year is carried forward each year until the grant funds are fully received or the grant agreement expires. The variance from prior year is largely due to recognizing the remaining ARPA grant funds of $2.6M in Q1 of 2024. 2024 2025 2025 Actual Budget Actual $ % $ % Franchise Fees 664,050 689,656 614,288 (49,762) -7.5% (75,367) -10.9% Business Licenses 834,414 848,171 948,160 113,746 13.6% 99,988 11.8% Animal Licenses 29,650 32,217 25,610 (4,040) -13.6% (6,607) -20.5% Building Permits 1,561,971 1,495,671 2,418,762 856,791 54.9% 923,091 61.7% ROW/Street Excavation Permits 15,725 19,638 15,690 (35) -0.2% (3,948) -20.1% Special Event Permits 85 - 85 - 0.0% 85 100.0% YTD Total 3,105,895$ 3,085,353$ 4,022,595$ 916,699$ 29.5% 937,243$ 30.4% Annual Total 6,589,771$ 5,765,000$ Licenses & Permits by Type Year to Date through June Revenue 2025 vs. 2024 2025 vs. Budget 2024 2025 2025 Actual Budget Actual $ % $ % State Shared Revenue 2,000,557 1,934,625$ 2,035,537 34,980$ 1.7% 100,912$ 5.2% Federal Grants 2,746,655 111,583 97,836 (2,648,819) -96.4% (13,747) -12.3% State Grants 363,460 257,694 178,462 (184,998) -50.9% (79,232) -30.7% Local Grants 124,366 76,881 79,453 (44,913) -36.1%2,572 3.3% YTD Total 5,235,038$ 2,380,783$ 2,391,288$ (2,843,750)$ -54.3%10,505$ 0.4% Annual Total 7,887,395$ 4,971,549$ Intergovernmental by Type Revenue 2025 vs. 2024 2025 vs. Budget Year to Date through June 2024 2025 2025 Tax by Type YTD Actual YTD Budget YTD Actual $ % $ % Judicial Contribution 22,392$ 25,000$ 22,390$ (2)$ N/A (2,610)$ -10.4% Crim Just - High Crime - - 180,365 180,365 N/A 180,365 100.0% Crim Just - Pop 19,914 12,081 21,121 1,207 6.1% 9,040 74.8% Crim Just - Spec Prog 70,123 48,435 74,079 3,956 5.6% 25,644 52.9% WASPC Legislative 41,666 - - (41,666) N/A - N/A State DUI 5,872 3,419 4,341 (1,531) -26.1%922 27.0% Marijuana Distribution 147,306 122,616 127,334 (19,972) -13.6%4,718 3.8% Liquor Profits 407,271 399,989 405,569 (1,702) -0.4%5,580 1.4% Liquor Excise Tax 376,268 377,405 314,658 (61,610) 83.6%(62,747) -16.6% Fuel Tax 909,745 945,680 885,680 (24,065) -2.7% (60,000) -6.3% YTD Total 2,000,557$ 1,934,625$ 2,035,537$ 34,980$ 1.8%100,912$ 5.2% 2025 vs. 2024 2025 vs. Budget Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 4 of 28 CHARGES FOR SERVICES Public Safety Services – The higher-than-budgeted revenue in public safety services is primarily attributable to a one time increase for private security services at a local business. This agreement is not expected to be ongoing. Development Services –The increase from prior year and over budget is due to building and construction plan review and approval fees for projects taking place in the city by external companies. These fees like building permit have increased over the past several years after a sharp decline in 2023, signalling recovering in the construction sectors. FINES AND PENALTIES Photo Enforcement Program – The number of infractions issued has decreased approximately 13% in comparison to prior year and has decreased steadily by 10% each year since 2021. Non-Court Fines, Forfeitures and Penalties – Approximately $200K relates to fines and penalties related to business and occupation taxes paid after the tax was due. Penalties of this sort are typically not expected and therefore the budget is set low. MISCELLANEOUS REVENUES Interest and Other Investment Earnings – Investment earnings are highly influenced by the federal funds rate as a large amount of the city’s investments are maintained within the Local Government Investment Pool (LGIP). The LGIP maintains a high level of liquidity and will closely track with the federal funds rate as it decreases or increases; the city holds roughly 44% of the total cash and investments for the city in the LGIP. The budget anticipated several decreases in interest rates however the federal fund rates have yet to decrease in 2025. 2024 2025 2025 Actual Budget Actual $ % $ % Passport Fees 4,595 4,763 4,795 200 4.4% 32 0.7% Court Services 89,017 85,835 39,159 (49,857) -56.0% (46,675) -54.4% General Government Services 47 - 33 (14) -29.4%33 100.0% Public Safety Services 449,370 345,825 766,676 317,306 70.6% 420,851 121.7% Development Services 1,095,452 958,244 1,329,008 233,556 21.3% 370,764 38.7% Transportation Services 29,650 - 68,286 38,635 130.3% 68,285 100.0% Social Services 15,000 - 37 (14,963) -99.8%37 100.0% Parks and Recreation Fees 536,016 553,787 483,104 (52,912) -9.9% (70,683) -12.8% Interfund Services 3,381,986 3,863,274 3,825,143 443,157 13.1%(38,131) -1.0% YTD Total 5,601,132$ 5,811,728$ 6,516,241$ 915,109$ 16.3% 704,513$ 12.1% Annual Total 11,654,429$ 11,590,028$ Year to Date through June Charges for Services by Type Revenue 2025 vs. 2024 2025 vs. Budget 2024 2025 2025 Actual Budget Actual $ % $ % Civil Penalties 121,022$ 119,294$ 132,729$ 11,708$ 9.7% 13,435$ 11.3% Photo Enforcement Program 1,501,726 1,567,594 1,179,701 (322,025) -21.4% (387,892) -24.7% Criminal Traffic Misdemeanor Fines 5,617 13,167 4,442 (1,175) -20.9% (8,726) -66.3% Criminal Non-Traffic Fines 845 2,510 3,377 2,532 299.5% 868 34.6% Criminal Costs 8,529 8,643 5,762 (2,767) -32.4% (2,881) -33.3% Non-Court Fines, Forfeitures and Penalties 163,968 48,694 221,870 57,902 35.3% 173,177 355.6% YTD Total 1,801,706$ 1,759,901$ 1,547,882$ (253,825)$ -14.1% (212,020)$ -12.0% Annual Total 3,894,478$ 3,465,000$ Fines and Penalties by Type Revenue 2025 vs. 2024 2025 vs. Budget Year to Date through June 2024 2025 2025 Actual Budget Actual $ % $ % Interest and Other Investment Earnings 2,269,222$ 523,909$ 2,411,363$ 142,141$ 6.3% 1,887,454$ 360.3% Rents, Leases, and Concessions 957,729 773,553 885,123 (72,606) -7.6%111,570 14.4% Contributions/Donations from Private Sources 92,189 42,157 53,190 (38,999) -42.3%11,033 26.2% Other 929,211 101,123 173,808 (755,403) -81.3%72,685 71.9% YTD Total 4,248,351$ 1,440,742$ 3,523,484$ (724,867)$ -17.1%2,082,742$ 144.6% Annual Total 8,111,154$ 2,894,377$ Miscellaneous by Type Year to Date through June Revenue 2025 vs. 2024 2025 vs. Budget Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 5 of 28 Other – This category includes funds received for opioid settlements. Most of the opioid settlements are to be received over time however in 2024 there were two substantial opioid settlements in which the full settlement was paid at once; these settlements are one time funding and would not be expected to continue into future years. OTHER FINANCING SOURCES Transfers from Other Funds – Many budgeted transfers between funds occur at year end once a final analysis and assessment is complete. The remaining amount of budget is for an annual transfer as outlined in the financial management plan; 2026 will be the last year of this transfer. GENERAL FUND EXPENDITURES The following table summarizes expenditures by category for each department within the General Fund. Personnel – Personnel costs are budgeted at 100% of the position cost each year, resulting in a budget variance if positions remain open for any part of the year. The increase in personnel costs over prior year is due to the restructuring of the communications staff costs which were previously reported as an internal service fund and are now reported in the general fund. 2025 figures also include newly approved positions, and cost-of-living adjustments. Personnel costs under budget are due to open positions; approximately 8% of budgeted positions currently vacant. Contracted Services - These costs are typically cyclical in nature and/or are related large projects or projects funded by grants where the timing of costs may vary. A large amount of the unspent budget relates to reserves and legal services for ongoing litigation support. 2024 2025 2025 Actual Budget Actual $ % $ % Transfers from Other Funds -$ 1,551,911$ 651,911$ 651,911 100.0%(900,000) -58.0% Interfund Loan Payment Received 22,435 46,999 22,660 225 1.0%(24,339) -51.8% Insurance Recoveries 2,706$ -$ 111,474$ 108,768 4019.5% 111,474 100.0% YTD Total 45,841$ 1,598,910$ 786,045$ 740,204$ 1614.7%(812,865)$ -50.8% Annual Total 1,079,079$ 1,598,910$ Revenue 2025 vs. 2024 2025 vs. Budget Year to Date through June Other Financing Sources by Type General Fund Summary of Uses 2024 Year to Date through June YTD Actual YTD Budget YTD Actual $%$% Personnel 37,442,337$ 45,002,390$ 40,330,659$ (2,888,322)$ -7.7%4,671,731$ 10.4% Supplies 1,178,140 1,046,087 1,041,082 137,058 11.6% 5,005 0.5% Contracted Services 11,707,480 12,970,934 11,276,941 430,539 3.7% 1,693,993 13.1% Capital Outlay 71,674 31,581 25,755 45,919 64.1% 5,826 18.4% Internal Services 10,487,290 11,328,493 11,330,183 (842,893) -8.0% (1,691) 0.0% Transfers Out - 70,809 70,809 (70,809) 100.0% - 0.0% Total Expenditures 60,886,921 70,450,294 64,075,429 (3,188,508) -5.2% 6,374,865 9.0% Annual Total 139,527,678 153,299,659 2025 2025 vs. 2024 2025 vs. Budget Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 6 of 28 DEBT SERVICE FUNDS Debt service funds are used to account for the accumulation of resources for the payment of principal and interest related to the city’s general obligation bond issues. YTD budgets are not prepared for debt service funds. Detailed explanations will be provided for material annual budget differences at year-end. GENERAL GOVERNMENTAL MISCELLANEOUS DEBT FUND The General Governmental Miscellaneous Debt Fund is the only debt service fund maintained by the city. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental 16,191$ 27,000$ 8,202$ (7,989)$ (18,798)$ 30.38% Investment Earnings 105,102 - 105,435 333 105,435 N/A TOTAL REVENUES 121,293 27,000 113,637 (7,656) 86,637 420.88% EXPENDITURES: Principal - 2,075,000 - - 2,075,000 0.00% Interest 479,745 877,717 437,079 42,666 440,638 49.80% TOTAL EXPENDITURES 479,745 2,952,717 437,079 42,666 2,515,638 14.80% Transfers In - 2,923,225 - - (2,923,225) 0.00% NET TRANSFERS - 2,923,225 - - (2,923,225) 0.00% CHANGE IN FUND BALANCE (358,451) (2,492) (323,442) 35,009 (320,950) N/A BEGINNING FUND BALANCE, Jan 1 5,412,174 5,812,247 5,812,247 400,073 - 100.00% ENDING FUND BALANCE, Jun 30 5,053,723$ 5,809,755$ 5,488,805$ 435,082$ (320,950)$ 94.48% Debt Service Reserve 2,717,575 2,706,325 2,706,325 AVAILABLE FUND BALANCE 2,336,148$ 3,103,430$ 2,782,480$ VARIANCE FAVORABLE (UNFAVORABLE) GENERAL GOVERNMENTAL MISCELLANEOUS DEBT Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 7 of 28 SPECIAL REVENUE FUNDS Special revenue funds are used to account for revenues that are to be used for a specific purpose as required by law or legislative action. YTD budgets are not prepared for special revenue funds. Detailed explanations will be provided for material annual budget differences at year-end. Hotel/Motel Fund The Hotel/Motel Fund accounts for monies collected through an increase of 1% in hotel/motel taxes for the purpose of increasing tourism in the City of Renton, as authorized under RCW 67.28.180. The Lodging Tax Advisory Committee solicits applications for awards and brings their recommendations to Council for approval at least once per year. Awards for events are paid to applicants at the conclusion of the event once certain reporting requirements have been met. Cable Communications Fund The Cable Communications Fund accounts for funding for promotion and development of cable communications as established by city ordinance. The main use of the fund is to support the broadcasting of City Council meetings on Channel 21. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Taxes 217,755$ 350,000$ 205,590$ (12,165)$ (144,410)$ 58.74% Contributions 25,000 5,000 - (25,000) (5,000) 0.00% Investment Earnings 18,704 - 22,486 3,782 22,486 N/A TOTAL REVENUES 261,459 355,000 228,076 (33,383) (126,924) 64.25% EXPENDITURES: Contracted Services 139,040 644,939 97,016 42,024 547,923 15.04% TOTAL EXPENDITURES 139,040 644,939 97,016 42,024 547,923 15.04% CHANGE IN FUND BALANCE 122,419 (289,939) 131,060 8,641 420,999 -45.20% BEGINNING FUND BALANCE, Jan 1 889,271 1,184,977 1,184,977 295,706 - 133.25% ENDING FUND BALANCE, Jun 30 1,011,690$ 895,038$ 1,316,037$ 304,347$ 420,999$ 130.08% VARIANCE FAVORABLE (UNFAVORABLE) HOTEL/MOTEL 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Licenses and permits 24,041$ 60,000$ 20,804$ (3,237)$ (39,196)$ 34.67% Investment Earnings 7,314 - 6,844 (470) 6,844 N/A TOTAL REVENUES 31,355 60,000 27,648 (3,707) (32,352) 46.08% EXPENDITURES: Supplies 2,755 6,302 5,336 2,581 966 84.67% Contracted Services 26,054 51,372 34,301 8,247 17,071 66.77% Capital Outlay - 40,000 - - 40,000 0.00% TOTAL EXPENDITURES 28,809 97,674 39,637 10,828 58,037 40.58% CHANGE IN FUND BALANCE 2,546 (37,674) (11,989) (14,535) 25,685 N/A BEGINNING FUND BALANCE, Jan 1 358,300 372,210 372,210 13,910 - 100.00% ENDING FUND BALANCE, Jun 30 360,846$ 334,536$ 360,221$ (625)$ 25,685$ 107.68% CABLE COMMUNICATIONS VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 8 of 28 Housing & Supportive Services In accordance with HB 1590, the City Council passed ORD 5983 authorizing an additional 0.1% sales and use tax, effective January 1, 2021. The additional sales and use tax is restricted for housing and related services, in accordance with RCW 82.14.530. Contracted Services – The City entered a new two-year contract with the Renton School District to support a Renton Student Health Hub that began in Q4 2024. The payments for the project are based on completion of project phases, which is to continue through 2026. Springbrook Wetlands Fund The Springbrook Wetlands Fund was established in 2007 for the purpose of providing accounting for the Springbrook Creek Wetland and Habitat Mitigation Bank project. The proceeds of selling wetlands credits will be used to fund the ongoing maintenance of the wetland in perpetuity. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Taxes 2,194,904$ 4,000,000$ 2,138,220$ (56,684)$ (1,861,780)$ 53.46% Investment Earnings 227,385 30,000 294,122 66,737 264,122 980.41% TOTAL REVENUES 2,422,289 4,030,000 2,432,342 10,053 (1,597,658) 60.36% EXPENDITURES: Contracted Services 144,719 3,195,719 427,229 282,510 2,768,490 13.37% TOTAL EXPENDITURES 144,719 3,195,719 427,229 282,510 2,768,490 13.37% Transfers Out - (3,400,000) - - - N/A NET TRANSFERS - (3,400,000) - - - N/A CHANGE IN FUND BALANCE 2,277,570 (2,565,719) 2,005,113 (272,457) 4,570,832 N/A BEGINNING FUND BALANCE, Jan 1 10,811,847 15,430,640 15,430,640 4,618,793 - 100.00% ENDING FUND BALANCE, Jun 30 13,089,417$ 12,864,921$ 17,435,753$ 4,346,336$ 4,570,832$ 135.53% HOUSING & SUPPORTIVE SERVICES VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental 4,132$ -$ 4,256$ 124$ 4,256$ N/A Investment Earnings 13,839 - 13,154 (685) 13,154 N/A TOTAL REVENUES 17,971 - 17,410 (561) 17,410 N/A EXPENDITURES: Personnel 3,076 - 3,644 (568) (3,644) N/A Contracted Services 261 40,000 901 (641) 39,099 2.25% TOTAL EXPENDITURES 3,337 40,000 4,545 (1,209) 35,455 11.36% CHANGE IN FUND BALANCE 14,634 (40,000) 12,865 (1,770) 52,865 N/A BEGINNING FUND BALANCE, Jan 1 711,119 722,963 722,963 11,844 - 100.00% ENDING FUND BALANCE, Jun 30 725,753$ 682,963$ 735,828$ 10,074$ 52,865$ 107.74% SPRINGBROOK WETLANDS VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 9 of 28 Police Seizure Funds The Police Seizure and CSAM Funds were established in the 2nd quarter of 2020 for the purpose of providing transparency in the accounting for assets seized by Police in accordance with RCW 9A.83.030, RCW 9A.88.150 and 69.50.505, previously accounted for within the General Fund. These seizure funds are restricted to use exclusively for the expansion and improvement of controlled substances-related law enforcement activity, or for provisions of chapter 9A.88 RCW, Indecent Exposure-Prostitution, or chapter 9.68A RCW, Sexual Exploitation of Children. The total fund balance remaining at the end of the year is budgeted in full the following year in the supplies line item and contracted services line item for CSAM. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Contributions 393,772$ -$ 177,497$ (216,275)$ 177,497$ N/A Investment Earnings 12,022 - 13,922 1,900 13,922 N/A TOTAL REVENUES 405,794 - 191,419 (214,375) 191,419 N/A EXPENDITURES: Supplies 11,473 790,432 44,676 33,203 745,756 5.65% Contracted Services 104,122 - 64,873 (39,249) (64,873) N/A Capital Outlay 86,900 - 22,308 (64,592) (22,308) N/A TOTAL EXPENDITURES 202,495 790,432 131,857 (70,638) 658,575 16.68% CHANGE IN FUND BALANCE 203,299 (790,432) 59,562 (143,737) 849,994 N/A BEGINNING FUND BALANCE, Jan 1 731,929 790,432 790,432 58,503 - 100.00% ENDING FUND BALANCE, Jun 30 935,228$ -$ 849,994$ (85,234)$ 849,994$ N/A POLICE SEIZURE VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Fines and penalties 1,670$ -$ 14,173$ 12,503$ 14,173$ N/A Investment Earnings 2,657 - 2,493 (164) 2,493 N/A TOTAL REVENUES 4,327 - 16,666 12,339 16,666 N/A EXPENDITURES: Supplies - - 272 272 (272) N/A Contracted Services 44 132,667 12,703 12,659 119,963 9.58% Capital Outlay 40,278 - - (40,278) - N/A TOTAL EXPENDITURES 40,322 132,667 12,975 (27,347) 119,692 9.78% CHANGE IN FUND BALANCE (35,995) (132,667) 3,691 39,686 136,358 N/A BEGINNING FUND BALANCE, Jan 1 169,577 132,667 132,667 (36,910) - 100.00% ENDING FUND BALANCE, Jun 30 133,582$ -$ 136,358$ 2,776$ 136,358$ N/A POLICE CSAM SEIZURE VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 10 of 28 Affordable Housing Development Fund The Affordable Housing Development Fund was created in 2024, per ordinance 6137. The city expanded its current affordable housing program under RMC-4-9-065 to allow receipt of additional payment from developers who prefer to contribute financially towards the development of low-income housing rather than incorporate such housing within developments. Fire Impact Mitigation Fund This fund accounts for fire impact fees collected from developers as authorized under RCW 82.02.050-.110. These fees are used to offset the cost of system improvements necessary to serve the new development. The impact fee collections are subsequently disbursed to the Renton Regional Fire Authority for use on qualifying capital projects. School District Impact Mitigation This fund accounts for school district impact fees collected from developers as authorized by RCW 82.02.050-.110. These fees are used to help offset the cost of improvements to service the new development. Impact fees are held in this fund and subsequently transferred to the Kent, Issaquah, or Renton School District for qualifying capital projects. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Investment Earnings -$ -$ 5,293$ 5,293$ 5,293$ N/A TOTAL REVENUES - - 5,293 5,293 5,293 N/A EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A CHANGE IN FUND BALANCE - - 5,293 5,293 5,293 N/A BEGINNING FUND BALANCE, Jan 1 - 292,923 292,923 292,923 - 100.00% ENDING FUND BALANCE, Jun 30 -$ 292,923$ 298,216$ 298,216$ 5,293$ 101.81% AFFORDABLE HOUSING DEVELOPMENT VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 20,246$ 200,000$ 20,350$ 104$ (179,650)$ 10.18% TOTAL REVENUES 20,246 200,000 20,350 104 (179,650) 10.18% EXPENDITURES: Contracted Services 15,248 200,000 20,729 5,481 179,271 10.36% TOTAL EXPENDITURES 15,248 200,000 20,729 5,481 179,271 10.36% CHANGE IN FUND BALANCE 4,998 - (379) (5,377) (379) N/A BEGINNING FUND BALANCE, Jan 1 - 2,490 2,490 2,490 - 100.00% ENDING FUND BALANCE, Jun 30 4,998$ 2,490$ 2,111$ (2,887)$ (379)$ 84.78% FIRE IMPACT MITIGATION VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 50,086$ 600,000$ 65,192$ 15,106$ (534,808)$ 10.87% Investment Earnings 343 - 595 252 595 N/A TOTAL REVENUES 50,429 600,000 65,787 15,358 (534,213) 10.96% EXPENDITURES: Contracted Services 48,031 600,000 44,457 (3,574) 555,543 7.41% TOTAL EXPENDITURES 48,031 600,000 44,457 (3,574) 555,543 7.41% CHANGE IN FUND BALANCE 2,398 - 21,330 18,932 21,330 N/A BEGINNING FUND BALANCE, Jan 1 33 2,367 2,367 2,334 - 100.00% ENDING FUND BALANCE, Jun 30 2,431$ 2,367$ 23,697$ 21,266$ 21,330$ 1001.14% SCHOOL DISTRICT IMPACT MITIGATION VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 11 of 28 CAPITAL PROJECT FUNDS Capital project funds are used to account for the acquisition and construction of major capital facilities and equipment. YTD budgets are not prepared for capital project funds. Project budgets are adopted when funding is secured, and balances are carried forward each year until they are either 1) fully spent or 2) reallocated to another project through the budget adjustment process. Detailed explanations will be provided for material differences between prior year and or budgeted amounts. Community Services Impact Mitigation Fund This fund accounts for park impact fees collected from developers as authorized under RCW 82.02.050-.110. These fees are used to help offset the cost of improvements to service the new development. Impact fees are held in this fund and subsequently transferred to the Municipal Facilities CIP Fund when qualifying capital projects are budgeted. Transportation Impact Mitigation Fund This fund accounts for transportation impact fees collected from developers as authorized under RCW 82.02.050-.110. These fees are used to offset the cost of system improvements necessary to serve the new development. Impact fees are held in this fund and subsequently transferred to the Capital Improvement Fund when qualifying projects are budgeted. Charges for Services – The increase from prior year is primarily due to permit revenue related to a new grocery store soon to open at the Landing. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 55,699$ 100,000$ 131,058$ 75,359$ 31,058$ 131.06% Investment Earnings 13,766 - 7,858 (5,908) 7,858 N/A TOTAL REVENUES 69,465 100,000 138,916 69,451 38,916 138.92% EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A Transfers Out - (105,000) - - (105,000) 0.00% NET TRANSFERS - (105,000) - - 105,000 0.00% CHANGE IN FUND BALANCE 69,465 (5,000) 138,916 69,451 143,916 -2778.32% BEGINNING FUND BALANCE, Jan 1 681,332 359,743 359,743 (321,589) - 100.00% ENDING FUND BALANCE, Jun 30 750,797$ 354,743$ 498,659$ (252,138)$ 143,916$ 140.57% COMMUNITY SERVICES IMPACT MITIGATION VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 352,395$ 1,000,000$ 10,576,933$ 10,224,539$ 9,576,933$ 1057.69% Investment Earnings 47,048 - 107,661 60,613 107,661 N/A TOTAL REVENUES 399,443 1,000,000 10,684,594 10,285,152 9,684,594 1068.46% EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A Transfers Out - (1,450,935) - - (1,450,935) 0.00% NET TRANSFERS - (1,450,935) - - (1,450,935) 0.00% CHANGE IN FUND BALANCE 399,443 (450,935) 10,684,594 10,285,151 11,135,529 N/A BEGINNING FUND BALANCE, Jan 1 2,220,269 3,613,321 3,613,321 1,393,052 - 100.00% ENDING FUND BALANCE, Jun 30 2,619,712$ 3,162,386$ 14,297,915$ 11,678,203$ 11,135,529$ 452.12% TRANSPORTATION IMPACT MITIGATION VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 12 of 28 REET 1 and REET 2 Funds These funds were established in the 2nd quarter of 2020 to account for the first and second quarter percent of real estate excise tax (REET) levied in accordance with RCW 82.46.010 and RCW 82.46.035. The tax may be used for eligible capital projects, as defined in RCW.82.46.010(6) or RCW.82.46.035(5), that are included in the capital facilities element of the city’s comprehensive plan. REET tax revenues are held in the respective fund and subsequently transferred to the appropriate capital project fund when qualifying projects are budgeted. REET 1 and REET 2 Taxes – The decrease in taxes from prior year are due to a decrease in real estate transactions as real estate sales slowed with the higher cost to borrow money as well as the prior year included a large sale of a hotel and conference center that occurred in 2024 ($180K). 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Taxes 1,549,764$ 2,500,000$ 1,133,866$ (415,898)$ (1,366,134)$ 45.35% Investment Earnings 45,843 20,000 99,270 53,427 79,270 496.35% TOTAL REVENUES 1,595,607 2,520,000 1,233,136 (362,471) (1,286,864) 48.93% EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A Transfers Out - (4,560,000) - - (4,560,000) 0.00% NET TRANSFERS - (4,560,000) - - 4,560,000 0.00% CHANGE IN FUND BALANCE 1,595,607 (2,040,000) 1,233,136 (362,471) 3,273,136 -60.45% BEGINNING FUND BALANCE, Jan 1 1,765,153 5,060,894 5,060,894 3,295,741 - 100.00% ENDING FUND BALANCE, Jun 30 3,360,760$ 3,020,894$ 6,294,030$ 2,933,270$ 3,273,136$ 208.35% REET 1 VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Taxes 1,549,764$ 2,500,000$ 1,133,867$ (415,897)$ (1,366,133)$ 45.35% Investment Earnings 72,586 20,000 49,705 (22,881) 29,705 248.53% TOTAL REVENUES 1,622,350 2,520,000 1,183,572 (438,778) (1,336,428) 46.97% EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A Transfers Out - (2,799,625) - - (2,799,625) 0.00% NET TRANSFERS - (2,799,625) - - 2,799,625 0.00% CHANGE IN FUND BALANCE 1,622,350 (279,625) 1,183,572 (438,778) 1,463,197 -423.27% BEGINNING FUND BALANCE, Jan 1 3,145,503 2,312,665 2,312,665 (832,838) - 100.00% ENDING FUND BALANCE, Jun 30 4,767,853$ 2,033,040$ 3,496,237$ (1,271,616)$ 1,463,197$ 171.97% REET 2 VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 13 of 28 Municipal Facilities CIP Fund This fund accounts for general governmental facility construction, improvement, and renovation; property acquisitions for parks and city space needs; parks development and equipment; and major maintenance of existing general governmental assets. Transportation capital improvements are accounted for in a separate fund. Grants/Intergovernmental – Federal/State/Local grant revenue is budgeted at 100% of award at the time the grant agreement is executed, and budgeted grant revenue not received in award year is carried forward each year until the grant funds are fully received or the grant agreement expires. The current year budget includes approximately $3M for improvements to the downtown pavilion remodel and world cup square, both of which should be completed by early 2026. The other grants include CDBG funding for senior center improvements currently in the planning phase. Project costs vary by project timeline and status. Below is a list of current budgeted projects and actual costs to date: 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental 1,010,908$ 7,055,336$ 331,666$ (679,242)$ (6,723,670)$ 4.70% Charges for services - - 10,250 10,250 10,250 N/A Contributions 26,457 25,000 - (26,457) (25,000) 0.00% Investment Earnings 418,782 100,000 504,657 85,875 404,657 504.66% TOTAL REVENUES 1,456,147 7,180,336 846,573 (609,574) (6,333,763) 11.79% EXPENDITURES: Personnel 31,559 - 62,158 30,599 (62,158) N/A Supplies - - 3,559 3,559 (3,559) N/A Contracted Services 545,516 4,499,904 383,539 (161,977) 4,116,365 8.52% Capital Outlay 2,878,069 38,251,586 1,841,376 (1,036,693) 36,410,210 4.81% TOTAL EXPENDITURES 3,455,144 42,751,490 2,290,632 (1,164,512) 40,460,858 5.36% Transfers In - 13,132,000 - - (13,132,000) 0.00% Transfers Out (164,955) - - 164,955 - N/A NET TRANSFERS (164,955) 13,132,000 - 164,955 (13,132,000) 0.00% CHANGE IN FUND BALANCE (2,163,952) (22,439,154) (1,444,059) 719,893 20,995,095 6.44% BEGINNING FUND BALANCE, Jan 1 21,980,020 28,180,516 28,180,516 6,200,496 - 100.00% ENDING FUND BALANCE, Jun 30 19,816,068$ 5,741,362$ 26,736,457$ 6,920,389$ 20,995,095$ 465.68% MUNICIPAL FACILITIES CIP VARIANCE FAVORABLE (UNFAVORABLE) PROJECT BUDGET ACTUAL PROJECT BUDGET ACTUAL DOWNTOWN STREETSCAPE 39,873 - PARKS MM - STRUCTURAL REVIEWS & REPAIRS 38,398 - RENTON TRAIL CONNECTOR 81,946 - COULON SWIM BEACH 559,774 19,259 RENTON COMMUNITY CENTER 100,000 - KIWANIS PARK 111,105 - ESCO PROJECT PHASE 3A 471,195 147,969 COULON - TRESTLE BRIDGE 24,752 - LOBBY REMODEL 2,884,752 27,056 MAY CREEK TRAIL SOUTH 3,322,440 74,566 PAVILION REMODEL 7,026,068 182,623 CEDAR RIVER TRAILS FLOOD DISASTER 252,913 38,550 SENIOR CENTER IMPROVEMENTS 2,055,236 11,119 MAPLEWOOD PLAYGROUND REPLACEMENT 403,493 - ESCO FACILITIES ENERGY AUDIT PHASE 4 3,048,833 98,400 LIBERTY SPORTS AND SKATE PARK 238,043 - CITY HALL STRUCTURAL REPAIRS 200,000 - CITY HALL TURF DRAINAGE 50,000 - PUBLIC WORKS SHOPS IMPROV 200,000 - TALBOT SPORT COURT IMPROVEMENTS 1,057,043 145,890 200 MILL MAJOR MAINTENANCE 400,000 - CLEVELAND RICHARDSON PARK 260,304 56,008 CARCO THEATER UPGRADES 50,000 - MAY CREEK PARK 1,060,425 - BOATHOUSE IMPROVEMENTS 100,000 - PROPERTY ACQUISITION 85,888 92,473 HISTORICAL MUSEUM IMPROVEMENTS 350,000 - PIAZZA PARK IMPROVEMENTS 1,509,920 182,901 HIGHLANDS NEIGHBORHOOD CTR GYM 50,000 - HIGHLAND PARK PLAYGROUND 850,000 - EV CHARGER INSTALLATIONS 99,000 1,841 SPRINGBROOK BOARDWALK 55,000 - BOATHOUSE - PROFESSIONAL SERVICES 53,387 - CEDAR RIVER TRAIL PARK EXPANSION 1,000,000 - HENRY MOSS AQUATIC CENTER 2,375,861 1,051,248 EARLINGTON PARK RENOVATION 300,000 - PARKS RECREATION AND OPEN SPACE PLAN 269,555 90,442 EDLUND-CARR RD PARK 215,000 - PATHWAY SIDEWALK PATIO BOARDWALK REPLACE 200,000 - WORLDCUP LEGACY SQUARE 2,632,000 46,102 URBAN FORESTRY PROGRAM 169,287 24,185 LAND ACQUISITION 8,500,000 - MUNICIPAL FACILITIES CIP PROJECT BUDGETS as of 6/30/2025 Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 14 of 28 Capital Improvement Fund This fund accounts for the city’s transportation capital projects. Capital projects are budgeted in their entirety at the inception of the project; funds are spent as the project progresses and may span over multiple years. Taxes – Include sales taxes received through the formation of a Transportation Benefit District (TBD) in 2024. Currently tax revenue is within budget as expected. Grants/Intergovernmental – Federal/State/Local grant revenue is budgeted at 100% of award at the time the grant agreement is executed, and budgeted grant revenue not received in award year is carried forward each year until the grant funds are fully received or the grant agreement expires. The current year budget includes $10M in federal grants for the Rainier Ave improvement project to be completed this fall. Project costs vary by project timeline and status. Below is a list of current budgeted projects and actual costs to date: 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Taxes 346,887$ 3,962,726$ 2,107,361$ 1,760,473$ (1,855,365)$ 53.18% Grants / intergovernmental 3,882,335 20,696,683 7,446,946 3,564,611 (13,249,737) 35.98% Charges for services 650 90,000 9,648 8,998 (80,352) 10.72% Contributions 3,072,893 4,028,371 3,574,232 501,339 (454,139) 88.73% Investment Earnings 292,006 75,000 313,333 21,327 238,333 417.78% TOTAL REVENUES 7,594,771 28,852,780 13,451,520 5,856,748 (15,401,260) 46.62% EXPENDITURES: Personnel 34,273 - 142,912 108,639 (142,912) N/A Supplies - - 6,965 6,965 (6,965) N/A Contracted Services 66,345 973,918 224,935 158,590 748,983 23.10% Capital Outlay 7,046,722 41,822,228 7,865,969 819,247 33,956,259 18.81% Internal Services 28,000 - - (28,000) - N/A TOTAL EXPENDITURES 7,175,340 42,796,146 8,240,781 1,065,441 34,555,365 19.26% Transfers In - 4,326,935 - - (4,326,935) 0.00% NET TRANSFERS - 4,326,935 - - (4,326,935) 0.00% CHANGE IN FUND BALANCE 419,431 (9,616,431) 5,210,739 4,791,308 14,827,170 N/A BEGINNING FUND BALANCE, Jan 1 15,282,117 14,132,445 14,132,445 (1,149,672) - 100.00% ENDING FUND BALANCE, Jun 30 15,701,548$ 4,516,014$ 19,343,184$ 3,641,636$ 14,827,170$ 428.32% VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 15 of 28 Family First Center Fund This fund is used to account for the construction of the new Family First Center, which was substantially completed in 2023. The fund will remain open until formal action is taken to close the fund for financial transactions in 2025. ENTERPRISE FUNDS Enterprise funds are used to account for operations that are financed and operated in a manner similar to private business enterprises. YTD budgets are not prepared for Enterprise Funds. Detailed explanations will be provided for material annual budget differences at year-end. Most Enterprise Funds maintain two separate “management funds”, an operating fund and a capital fund. The funds are consolidated for budget/reporting purposes. Operating budgets lapse at the end of the year. Project budgets are adopted when funding is secured, and balances are carried forward each year until they are either 1) fully spent or 2) reallocated to another project through the budget adjustment process. Airport Fund: This fund accounts for revenues and expenses for administration, debt service, operation, capital improvements, and maintenance of the Renton Municipal Airport. Capital Outlay – The largest planned capital projects for the airport include a pavement management program at $2.5M and the rehabilitation of the Taxiway Alpha at almost $4M. Both projects are in the planning phases. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Contributions 145,522$ -$ -$ (145,522)$ -$ N/A Investment Earnings 71,403 - 71,557 154 71,557 N/A TOTAL REVENUES 216,925 - 71,557 (145,368) 71,557 N/A EXPENDITURES: TOTAL EXPENDITURES - - - - - N/A CHANGE IN FUND BALANCE 216,925 - 71,557 (145,368) 71,557 N/A BEGINNING FUND BALANCE, Jan 1 3,643,436 3,937,547 3,937,547 294,111 - 100.00% ENDING FUND BALANCE, Jun 30 3,860,361$ 3,937,547$ 4,009,104$ 148,743$ 71,557$ 101.82% FAMILY FIRST CENTER VARIANCE FAVORABLE (UNFAVORABLE) 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental 272,007$ 77,963$ 77,963$ (194,044)$ -$ 100.00% Charges for services 2,256,903 4,899,430 2,409,190 152,287 (2,490,240) 49.17% Interest and other misc 226,856 169,958 272,424 45,568 102,466 160.29% TOTAL REVENUES 2,755,766 5,147,351 2,759,577 3,811 (2,387,774) 53.61% EXPENSES: Personnel 601,986 1,752,471 721,461 (119,475) 1,031,010 41.17% Supplies 50,412 74,089 33,300 17,112 40,789 44.95% Contracted Services 281,889 502,162 264,511 17,378 237,651 52.67% Internal Services 228,775 555,294 277,647 (48,872) 277,647 50.00% TOTAL OPERATING EXPENSES 1,163,062 2,884,016 1,296,919 (133,857) 1,587,097 44.97% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 1,592,704 2,263,335 1,462,658 (130,046) (800,677) 64.62% CAPITAL OUTLAY 704,618 12,367,083 573,978 130,640 11,793,105 4.64% TRANSFERS IN 164,955 3,882 3,882 (161,073) - 100.00% NET TRANSFERS 164,955 3,882 3,882 (161,073) - 100.00% CHANGE IN FUND BALANCE 1,053,041 (10,099,866) 892,562 (160,479) 10,992,428 N/A BEGINNING FUND BALANCE, Jan 1 11,276,837 13,353,300 13,353,300 2,076,463 - 100.00% ENDING FUND BALANCE, Jun 30 12,329,878$ 3,253,434$ 14,245,862$ 1,915,984$ 10,992,428$ 437.87% Operating Reserve 266,810 285,902 285,902 AVAILABLE FUND BALANCE 12,063,068$ 2,967,532$ 13,959,960$ VARIANCE FAVORABLE (UNFAVORABLE) AIRPORT Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 16 of 28 Solid Waste Fund This fund accounts for revenues and expenses for administration and operating of solid waste, recycling, and yard waste collection services for the city. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental 68,987$ 521,618$ 371,326$ 302,339$ (150,292)$ 71.19% Charges for services 13,221,123 26,728,744 14,246,339 1,025,216 (12,482,405) 53.30% Interest and other misc 72,331 5,001 85,018 12,687 80,017 1700.02% TOTAL REVENUES 13,362,441 27,255,363 14,702,683 1,340,242 (12,552,680) 53.94% EXPENSES: Personnel 309,853 741,287 340,901 (31,048) 400,386 45.99% Supplies 6,939 48,100 20,825 (13,886) 27,275 43.30% Contracted Services 10,100,089 26,293,115 11,625,821 (1,525,732) 14,667,294 44.22% Internal Services 271,955 632,144 316,072 (44,117) 316,072 50.00% TOTAL OPERATING EXPENSES 10,688,836 27,714,646 12,303,619 (1,614,783) 15,411,027 44.39% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 2,673,605 (459,283) 2,399,064 (274,541) 2,858,347 N/A TRANSFERS IN - 29,756 29,756 29,756 - 100.00% NET TRANSFERS - 29,756 29,756 29,756 - 100.00% CHANGE IN FUND BALANCE 2,673,605 (429,527) 2,428,820 (244,785) 2,858,347 N/A BEGINNING FUND BALANCE, Jan 1 3,928,543 3,972,833 3,972,833 44,290 - 100.00% ENDING FUND BALANCE, Jun 30 6,602,148$ 3,543,306$ 6,401,653$ (200,495)$ 2,858,347$ 180.67% Operating Reserve 400,000 400,000 400,000 AVAILABLE FUND BALANCE 6,202,148$ 3,143,306$ 6,001,653$ SOLID WASTE VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 17 of 28 Golf Course Fund This fund accounts for revenues and expenses for administration, debt service, operation, capital improvements, and maintenance of the Maplewood Golf Course. Budgeted transfers are typically recorded annually in December, therefore, throughout the year transfers may show variances between current year budget and actuals. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 1,540,623$ 3,348,080$ 1,500,588$ (40,035)$ (1,847,492)$ 44.82% Rents, leases, and misc fees 263,663 545,050 245,053 (18,610) (299,997) 44.96% Interest and other misc 43,631 1,370 52,646 9,015 51,276 3842.77% TOTAL REVENUES 1,847,917 3,894,500 1,798,287 (49,630) (2,096,213) 46.18% EXPENSES: Personnel 932,999 2,139,080 955,587 (22,588) 1,183,493 44.67% Supplies 245,751 422,800 187,274 58,477 235,526 44.29% Contracted Services 122,288 446,761 142,178 (19,890) 304,583 31.82% Internal Services 240,199 634,685 317,342 (77,143) 317,343 50.00% TOTAL OPERATING EXPENSES 1,541,237 3,643,326 1,602,381 (61,144) 2,040,945 43.98% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 306,680 251,174 195,906 (110,774) (55,268) 78.00% DEBT SERVICE: Principal 22,435 45,434 22,660 (225) 22,774 49.87% Interest 673 782 448 225 334 57.29% TOTAL DEBT SERVICE 23,108 46,216 23,108 - 23,108 50.00% CAPITAL OUTLAY - 1,147,631 458,295 (458,295) 689,336 39.93% TRANSFERS IN 82,500 756,094 329,544 247,044 (426,550) 43.59% TRANSFERS OUT (82,500) (553,100) (326,550) 244,050 (226,550) 59.04% NET TRANSFERS - 202,994 2,994 2,994 (200,000) 1.47% CHANGE IN FUND BALANCE 283,572 (739,679) (282,503) (566,075) 457,176 N/A BEGINNING FUND BALANCE, Jan 1 1,884,907 2,611,726 2,611,726 726,819 - 100.00% ENDING FUND BALANCE, Jun 30 2,168,479$ 1,872,047$ 2,329,223$ 160,744$ 457,176$ 124.42% Operating Reserve 764,018 997,854 997,854 AVAILABLE FUND BALANCE 1,404,461$ 874,193$ 1,331,369$ GOLF COURSE VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 18 of 28 Water Utility Fund This fund accounts for revenues and expenses for administration, debt service, operation, capital improvements, and maintenance of the city’s water utility. Charges for Services – Water rates increased 2% in 2025; current year revenues are on par for this increase. Capital Outlay –Budget for capital outlay includes approximately $20M for the Highland reservoir replacement currently in the planning stages and projected to be completed in 2028. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Licenses and permits 1,025$ -$ -$ (1,025)$ -$ N/A Grants / intergovernmental 121,824 - - (121,824) - N/A Charges for services 8,264,342 19,699,293 8,490,195 225,853 (11,209,098) 43.10% Rents, leases, and misc fees 82,773 136,591 72,487 (10,286) (64,104) 53.07% Interest and other misc 1,804,602 46,000 1,146,053 (658,549) 1,100,053 2491.42% TOTAL REVENUES 10,274,566 19,881,884 9,708,735 (565,831) (10,173,149) 48.83% EXPENSES: Personnel 2,537,763 5,825,065 2,627,878 (90,115) 3,197,187 45.11% Supplies 445,475 886,189 492,204 (46,729) 393,985 55.54% Contracted Services 1,506,541 3,828,553 1,704,295 (197,754) 2,124,258 44.52% Internal Services 1,508,961 2,920,385 1,460,193 48,768 1,460,192 50.00% TOTAL OPERATING EXPENSES 5,998,740 13,460,192 6,284,570 (285,830) 7,175,622 46.69% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 4,275,826 6,421,692 3,424,165 (851,661) (2,997,527) 53.32% DEBT SERVICE: Principal 272,647 1,292,050 - 272,647 1,292,050 0.00% Interest 67,036 100,075 49,730 17,306 50,345 49.69% TOTAL DEBT SERVICE 339,683 1,392,125 49,730 289,953 1,342,395 3.57% CAPITAL OUTLAY 1,607,257 37,023,474 4,262,155 (2,654,898) 32,761,319 11.51% TRANSFERS IN - 30,847 30,847 30,847 - 100.00% TRANSFERS OUT - (13,300) (27) 27 (13,273) N/A NET TRANSFERS - 17,547 30,820 30,820 13,273 175.64% CHANGE IN FUND BALANCE 2,328,886 (31,976,360) (856,900) (3,185,786) 31,119,460 N/A BEGINNING FUND BALANCE, Jan 1 52,071,466 56,673,940 56,673,940 4,602,474 - 100.00% ENDING FUND BALANCE, Jun 30 54,400,352$ 24,697,580$ 55,817,040$ 1,416,688$ 31,119,460$ 226.00% Restricted for Debt Service 1,394,050 1,394,050 1,394,050 Operating Reserve 1,775,696 1,760,471 1,760,471 AVAILABLE FUND BALANCE 51,230,606$ 21,543,059$ 52,662,519$ WATER UTILITY VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 19 of 28 Wastewater Utility Fund This fund accounts for revenues and expenses for administration, debt service, operation, capital improvements, and maintenance of the city’s wastewater utility. Charges for Services – In 2025, there was no rate increase in sewer rates, thus explaining the flat growth. 2024 revenue figure included a large one-time back billing amount of over $200K that would not be expected in the current year. Capital Outlay –Budget for capital outlay includes approximately $6.5M for the Kennydale Lakeline sewer upgrade to be completed in 2027. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Licenses and permits 49,854$ 62,111$ 40,275$ (9,579)$ (21,836)$ 64.84% Charges for services 6,402,881 12,595,638 6,311,842 (91,039) (6,283,796) 50.11% Interest and other misc 1,119,653 74,000 705,183 (414,470) 631,183 952.95% TOTAL REVENUES 7,572,388 12,731,749 7,057,300 (515,088) (5,674,449) 55.43% EXPENSES: Personnel 1,322,321 3,172,726 1,447,667 (125,346) 1,725,059 45.63% Supplies 43,598 75,141 43,329 269 31,812 57.66% Contracted Services 1,279,329 2,769,927 1,295,393 (16,064) 1,474,534 46.77% Internal Services 1,054,261 1,950,962 975,481 78,780 975,481 50.00% TOTAL OPERATING EXPENSES 3,699,509 7,968,756 3,761,870 (62,361) 4,206,886 47.21% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 3,872,879 4,762,993 3,295,430 (577,449) (1,467,563) 69.19% DEBT SERVICE: Principal - 615,050 - - 615,050 0.00% Interest 29,746 45,279 22,490 7,256 22,789 49.67% TOTAL DEBT SERVICE 29,746 660,329 22,490 7,256 637,839 3.41% CAPITAL OUTLAY 2,713,611 19,183,931 1,911,116 802,495 17,272,815 9.96% TRANSFERS IN - 33,690 33,690 33,690 - 100.00% TRANSFERS OUT (1,347) (41,650) (27) (1,320) (41,623) N/A NET TRANSFERS (1,347) (7,960) 33,663 35,010 41,623 N/A CHANGE IN FUND BALANCE 1,128,175 (15,089,227) 1,395,487 267,312 16,484,714 N/A BEGINNING FUND BALANCE, Jan 1 26,162,848 27,706,297 27,706,297 1,543,449 - 100.00% ENDING FUND BALANCE, Jun 30 27,291,023$ 12,617,070$ 29,101,784$ 1,810,761$ 16,484,714$ 230.65% Restricted for Debt Service 661,227 661,227 661,227 Operating Reserve 1,045,195 1,014,902 1,014,902 AVAILABLE FUND BALANCE 25,584,601$ 10,940,941$ 27,425,655$ WASTEWATER UTILITY VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 20 of 28 King County Metro Fund This fund accounts for revenues and expenses for operation of the city’s wastewater utility, as it relates to charges for and payment to King County Metro for water treatment services. Charges for Services and Contracted Services – King County sewer rates increased approximately 6% in 2025 which accounts for the large change in these figures. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 10,906,425$ 22,791,462$ 11,347,311$ 440,886$ (11,444,151)$ 49.79% Interest and other misc 127,163 - 138,122 10,959 138,122 N/A TOTAL REVENUES 11,033,588 22,791,462 11,485,433 451,845 (11,306,029) 50.39% EXPENSES: Contracted Services 10,626,659 22,791,462 11,391,337 (764,678) 11,400,125 49.98% TOTAL OPERATING EXPENSES 10,626,659 22,791,462 11,391,337 (764,678) 11,400,125 49.98% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 406,929 - 94,096 (312,833) 94,096 N/A CHANGE IN FUND BALANCE 406,929 - 94,096 (312,833) 94,096 N/A BEGINNING FUND BALANCE, Jan 1 6,589,443 7,647,812 7,647,812 1,058,369 - 100.00% ENDING FUND BALANCE, Jun 30 6,996,372$ 7,647,812$ 7,741,908$ 745,536$ 94,096$ 101.23% Operating Reserve 380,000 380,000 380,000 AVAILABLE FUND BALANCE 6,616,372$ 7,267,812$ 7,361,908$ KING COUNTY METRO VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 21 of 28 Surface Water Utility Fund This fund accounts for revenues and expenses for administration, debt service, operation, capital improvements, and maintenance of the city’s surface water utility. Grants/Intergovernmental – Federal/State/Local grant revenue is budgeted at 100% of award at the time the grant agreement is executed, and budgeted grant revenue not received in award year is carried forward each year until the grant funds are fully received or the grant agreement expires. The current year budget includes approximately $9.5M in grants for the Monroe Ave facility to be completed this fall and the Cedar River levee project to be completed in 2026. Capital Outlay –Budget for capital outlay includes approximately $5.2M for the SE 172nd Street storm system improvement, $3.7M for the Cedar River levee recertification and $3.3M for the Windsor Hills storm system improvement all to be completed within the biennium. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Licenses and permits 12,750$ 50,708$ 20,250$ 7,500$ (30,458)$ 39.93% Grants / intergovernmental 1,640,469 18,694,873 4,795,355 3,154,886 (13,899,518) 25.65% Charges for services 6,712,454 13,877,586 7,087,860 375,406 (6,789,726) 51.07% Interest and other misc 547,122 61,000 513,637 (33,485) 452,637 842.03% TOTAL REVENUES 8,912,795 32,684,167 12,417,102 3,504,307 (20,267,065) 37.99% EXPENSES: Personnel 1,956,520 4,797,498 2,209,080 (252,560) 2,588,418 46.05% Supplies 44,344 175,850 68,564 (24,220) 107,286 38.99% Contracted Services 855,655 4,380,205 1,056,526 (200,871) 3,323,679 24.12% Internal Services 1,522,298 3,254,398 1,627,199 (104,901) 1,627,199 50.00% TOTAL OPERATING EXPENSES 4,378,817 12,607,951 4,961,369 (582,552) 7,646,582 39.35% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 4,533,978 20,076,216 7,455,733 2,921,755 (12,620,483) 37.14% DEBT SERVICE: Principal - 697,900 - - 697,900 0.00% Interest 36,667 55,869 27,793 8,874 28,076 49.75% TOTAL DEBT SERVICE 36,667 753,769 27,793 8,874 725,976 3.69% CAPITAL OUTLAY 9,024,427 27,214,536 3,185,672 5,838,755 24,028,864 11.71% Transfers In - 30,268 30,268 30,268 - 100.00% Transfers Out 596 (41,650) (1,163) 1,759 (40,487) N/A NET TRANSFERS 596 (11,382) 29,105 28,509 40,487 N/A CHANGE IN FUND BALANCE (4,526,520) (7,903,471) 4,271,373 8,797,893 12,174,844 N/A BEGINNING FUND BALANCE, Jan 1 29,287,066 25,766,980 25,766,980 (3,520,086) - 100.00% ENDING FUND BALANCE, Jun 30 24,760,546$ 17,863,509$ 30,038,353$ 5,277,807$ 12,174,844$ 168.15% Restricted for Debt Service 754,868 754,868 754,868 Operating Reserve 1,330,313 1,312,012 1,312,012 AVAILABLE FUND BALANCE 22,675,365$ 15,796,629$ 27,971,473$ SURFACE WATER UTILITY VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 22 of 28 INTERNAL SERVICE FUNDS Internal service funds are used to account for the goods and services furnished by one city department to other city departments on a cost reimbursement basis. YTD budgets are not prepared for Internal Service Funds. Detailed explanations will be provided for material annual budget differences at year-end. Equipment Rental Fund This fund accounts for revenues and expenses for administration, purchase, and maintenance of the city’s vehicle and equipment fleet services. Departments pay in monthly amounts for maintenance and operations. Replacement reserves are paid monthly over the estimated useful lives of each individual vehicle or piece of equipment. These reserves are accumulated in fund balance so that they are available to fund the replacement of the vehicle/equipment when the time comes. Contracted Services & Supplies – Vehicle parts, supplies, services and fuel have increased significantly over the last several years with very little increase in the budget to account for the increase in price of these supplies and services. Unfortunately, the cost of vehicle supplies and fuel continues to be at an all-time high, therefore a budget adjustment will be suggested at the mid-biennial budget adjustment to increase supplies and contracted services for both years of the biennium. Capital Outlay – Vehicles purchased from manufacturers or dealerships are paid upon receipt of the vehicle. These replacements were included in the replacement schedule of vehicles based on age, mileage and condition. It has been increasingly difficult to purchase replacement vehicles, with many vehicles awaiting replacement as inventory comes available. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Charges for services 32,414$ -$ 30,140$ (2,274)$ 30,140$ N/A Interdepartmental services 3,268,837 6,598,956 3,388,668 119,831 (3,210,288) 51.35% Interest and other misc 380,987 12,000 358,548 (22,439) 346,548 2987.90% TOTAL REVENUES 3,682,238 6,610,956 3,777,356 95,118 (2,833,600) 57.14% EXPENSES: Personnel 593,472 1,283,255 594,200 (728) 689,055 46.30% Supplies 746,133 1,531,153 907,454 (161,321) 623,699 59.27% Contracted Services 269,732 133,166 266,085 3,647 (132,919) 199.81% Internal Services 67,635 152,034 76,017 (8,382) 76,017 50.00% TOTAL OPERATING EXPENSES 1,676,972 3,099,608 1,843,756 (166,784) 1,255,852 59.48% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 2,005,266 3,511,348 1,933,600 (71,666) (1,577,748) 55.07% CAPITAL OUTLAY 1,512,732 8,951,119 2,498,486 (985,754) 6,452,633 27.91% TRANSFERS IN - 552,780 - - (552,780) 0.00% NET TRANSFERS - 552,780 - - (552,780) 0.00% CHANGE IN FUND BALANCE 492,534 (4,886,991) (564,886) (1,057,420) 4,322,105 N/A BEGINNING FUND BALANCE, Jan 1 18,278,075 19,535,828 19,535,828 1,257,753 - 100.00% ENDING FUND BALANCE, Jun 30 18,770,609$ 14,648,837$ 18,970,942$ 200,333$ 4,322,105$ 129.50% Operating Reserves 12,995,059 14,648,837 14,648,837 AVAILABLE FUND BALANCE 5,775,550$ -$ 4,322,105$ EQUIPMENT RENTAL VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 23 of 28 Insurance Fund This fund accounts for the administration and operation of the city’s self-insurance programs for property losses, liability, workers’ compensation, and unemployment compensation. Expenses are paid by the Insurance Fund and rates are charged to departments based on their claims history over the preceding five years and coverage requirements. Contracted Services – Insurance premiums continue to be the main driver for the increase in this category. Insurance premiums increased 20% over prior year rates. This increase is consistent with industry trends. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Interdepartmental services 2,397,044$ 5,820,527$ 2,772,281$ 375,237$ (3,048,246)$ 47.63% Interest and other misc 523,867 200,000 925,483 401,616 725,483 462.74% TOTAL REVENUES 2,920,911 6,020,527 3,697,764 776,853 (2,322,763) 61.42% EXPENSES: Personnel 619,176 2,407,010 826,704 (207,528) 1,580,306 34.35% Supplies - 5,058 1,666 (1,666) 3,392 32.94% Contracted Services 1,425,864 4,550,619 1,699,458 (273,594) 2,851,161 37.35% TOTAL OPERATING EXPENSES 2,045,040 6,962,687 2,527,828 (482,788) 4,434,859 36.31% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 875,871 (942,160) 1,169,936 294,065 2,112,096 N/A Transfers In - 2,000,000 - - (2,000,000) 0.00% Transfers Out - (1,007,868) - - (1,007,868) N/A NET TRANSFERS - 992,132 - - (992,132) 0.00% CHANGE IN FUND BALANCE 875,871 49,972 1,169,936 294,065 1,119,964 2341.18% BEGINNING FUND BALANCE, Jan 1 24,691,220 25,781,347 25,781,347 1,090,127 - 100.00% ENDING FUND BALANCE, Jun 30 25,567,091$ 25,831,319$ 26,951,283$ 1,384,192$ 1,119,964$ 104.34% Operating Reserves 20,147,927 20,253,866 20,253,866 AVAILABLE FUND BALANCE 5,419,164$ 5,577,453$ 6,697,417$ INSURANCE VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 24 of 28 Information Technology Fund This fund accounts for the administration, purchase, and operation of the city’s information technology systems, including computer hardware and software, network servers and infrastructure, phone systems, and cell phones. Expenses are paid by the Information Technology Fund and rates are charged to departments based on use. Contracted Services – The increase from prior year is due to inflationary increases for software service contracts and addition of new software. Capital Outlay –Approximately $3M of the capital outlay budget relates to the replacement of the accounting software. The conversion to the new software will be a multiyear project expected to start October of 2025. Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 25 of 28 Facilities Fund This fund accounts for the administration, maintenance, and operation of city-owned facilities. Expenses are paid by the Facilities Fund and rates are charged to departments based on square footage and work orders. Contracted Services – This category includes the added cost for parks restroom cleaning. As part of the biennial budget process, the city decided to devote additional budget to contract with a cleaning agency to help maintain the parks bathrooms. This contract is almost $400K per year. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Interdepartmental services 3,586,338$ 7,631,815$ 3,931,882$ 345,544$ (3,699,933)$ 51.52% Interest and other misc 15,385 5,000 31,559 16,174 26,559 631.18% TOTAL REVENUES 3,601,723 7,636,815 3,963,441 361,718 (3,673,374) 51.90% EXPENSES: Personnel 1,939,712 4,808,252 1,908,814 30,898 2,899,438 39.70% Supplies 297,581 456,056 305,157 (7,576) 150,899 66.91% Contracted Services 801,210 2,490,395 1,262,206 (460,996) 1,228,189 50.68% Internal Services 139,700 209,135 104,567 35,133 104,568 50.00% TOTAL OPERATING EXPENSES 3,178,203 7,963,838 3,580,744 (402,541) 4,383,094 44.96% AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND TRANSFERS 423,520 (327,023) 382,697 (40,823) 709,720 N/A CAPITAL OUTLAY 1,065 - 14,466 (13,401) (14,466) N/A Transfers In - 60,000 13,115 13,115 (46,885) 21.86% Transfers Out - 82,300 - - 82,300 0.00% NET TRANSFERS - (22,300) 13,115 13,115 35,415 N/A CHANGE IN FUND BALANCE 422,455 (349,323) 381,346 (41,109) 730,669 N/A BEGINNING FUND BALANCE, Jan 1 1,046,533 1,962,169 1,962,169 915,636 - 100.00% ENDING FUND BALANCE, Jun 30 1,468,988$ 1,612,846$ 2,343,515$ 874,527$ 730,669$ 145.30% Operating Reserves - 965,537 965,537 AVAILABLE FUND BALANCE 1,468,988$ 647,309$ 1,377,978$ FACILITIES VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 26 of 28 Communications Fund Communications is a major activity of the city’s administration responsible for external communications, employee communications, media relations, and coordination of all departments in producing the city’s website. The communication services were approved in the 2025-26 Biennium Budget to be budgeted in the general fund. The fund will be closed in 2025. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Interdepartmental services 831,884$ -$ -$ (831,884)$ -$ N/A Interest and other misc 11,505 3,791 3,791 (7,714) - 100.00% TOTAL REVENUES 843,389 3,791 3,791 (839,598) - 100.00% EXPENSES: Personnel 535,220 - - 535,220 - N/A Supplies 19,252 - - 19,252 - N/A Contracted Services 167,802 - - 167,802 - N/A Internal Services 2,406 - - 2,406 - N/A TOTAL OPERATING EXPENSES 724,680 - - 724,680 - N/A AMOUNT AVAILABLE FOR DEBT SERVICE, CAPITAL, AND 118,709 3,791 3,791 (114,918) - 100.00% Transfers Out - (783,348) (783,348) 783,348 - N/A NET TRANSFERS - (783,348) (783,348) (783,348) - N/A CHANGE IN FUND BALANCE 118,709 (779,557) (779,557) (898,266) - N/A BEGINNING FUND BALANCE, Jan 1 641,437 779,557 779,557 138,120 - 100.00% ENDING FUND BALANCE, Jun 30 760,146$ -$ -$ (760,146)$ -$ N/A COMMUNICATIONS VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 27 of 28 Health Insurance Fund This fund accounts for the city’s self-insured health insurance program. Expenses/claims are paid by the Health Insurance Fund and rates are charged to employees and departments based on annual premiums determined by the city’s Employee Health Plan Board for each type of coverage elected by the employee; paid semi-monthly in conjunction with each payroll. Medical/Dental Claims – As a self-insured healthcare plan, costs incurred will vary year to year based on actual medical costs and health of the insured population. Industry standard expects an increase of 7% year to year whereas the city’s average increase is typically much better at approximately 3%. Current increase is significantly higher at 12.3% however still within budgeted figures. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Premiums 6,882,091$ 16,018,492$ 6,987,928$ 105,837$ (9,030,564)$ 43.62% Interest and other misc 551,149 520,000 526,667 (24,482) 6,667 101.28% TOTAL REVENUES 7,433,240 16,538,492 7,514,595 81,355 (9,023,897) 45.44% EXPENSES: Personnel 161,429 390,871 165,323 (3,894) 225,548 42.30% Medical/Dental Claims 6,193,967 15,903,575 7,000,467 (806,500) 8,903,108 44.02% Supplies 2,210 8,025 3,234 (1,024) 4,791 40.30% Contracted Services 270,050 622,510 246,226 23,824 376,284 39.55% Internal Services 57,029 124,379 62,190 (5,161) 62,189 50.00% TOTAL OPERATING EXPENSES 6,684,685 17,049,360 7,477,440 (792,755) 9,571,920 43.86% CHANGE IN FUND BALANCE 748,555 (510,868) 37,155 (711,400) 548,023 N/A BEGINNING FUND BALANCE, Jan 1 8,946,971 10,517,643 10,517,643 1,570,672 - 100.00% ENDING FUND BALANCE, Jun 30 9,695,526$ 10,006,775$ 10,554,798$ 859,272$ 548,023$ 105.48% Insurance Reserves 4,920,868 5,114,808 5,114,808 AVAILABLE FUND BALANCE 4,774,658$ 4,891,967$ 5,439,990$ HEALTH INSURANCE VARIANCE FAVORABLE (UNFAVORABLE) Quarterly Financial Report City of Renton, Washington 2nd Quarter 2025 Page 28 of 28 Retiree Healthcare Fund This fund accounts for the city’s self-insured health insurance program for LEOFF1 retirees. Benefits include medical, prescription drug, Medicare Part B premiums, long-term care, and vision coverage for retired law enforcement officers and firefighters that were employed by the city prior to October 1, 1977. Dependent spouses and children are not covered. 100% of premiums are provided by the General Fund with annual contributions determined after review of a report prepared by actuaries. Intergovernmental: Contributions include state fire insurance premium previously reported in the fire pension fund. CONTACT INFORMATION This report is prepared by the Finance Department. For additional financial information, please also review our website: http://www.rentonwa.gov/. For any questions about the report, please feel free to contact Kristin Trivelas ktrivelas@rentonwa.gov or Kari Roller kroller@rentonwa.gov. 2024 2025 2025 YTD YTD ACTUAL ANNUAL BUDGET YTD ACTUAL PRIOR YEAR BUDGET % BUDGET REVENUES: Grants / intergovernmental -$ 220,000$ 237,294$ 237,294$ 17,294$ 107.86% Premiums 285,000 600,000 150,000 (135,000) (450,000) 25.00% Interest and other misc 518,442 100,000 478,840 (39,602) 378,840 478.84% TOTAL REVENUES 803,442 920,000 866,134 62,692 (53,866) 94.15% EXPENSES: Personnel 51,718 116,193 50,707 1,011 65,486 43.64% Medical/Dental Claims 606,594 1,495,153 621,753 (15,159) 873,400 41.58% Contracted Services 25,697 74,876 32,012 (6,315) 42,864 42.75% TOTAL OPERATING EXPENSES 684,009 1,686,222 704,472 (20,463) 981,750 41.78% CHANGE IN FUND BALANCE 119,433 (766,222) 161,662 42,229 927,884 N/A BEGINNING FUND BALANCE, Jan 1 20,320,818 20,672,180 20,672,180 351,362 - 100.00% ENDING FUND BALANCE, Jun 30 20,440,251$ 19,905,958$ 20,833,842$ 393,591$ 927,884$ 104.66% Insurance Reserves 20,440,251 19,905,958 20,833,842 AVAILABLE FUND BALANCE -$ -$ -$ RETIREE HEALTHCARE VARIANCE FAVORABLE (UNFAVORABLE)