HomeMy WebLinkAbout2010 CAFRCity of Renton
2010 Comprehensive
Annual F*inanc*ial Report
CITY OF RENTON
2010
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
For Year Ended December 31, 2010
Iwen Wang, Administrator
Gina Jarvis, CPA, Fiscal Services Director
Finance and Information Technology Department
City of Renton
1055 South Grady Way
Renton, Washington 98057
(425) 430-6858
Website: www.rentonwa.gov
TABLE OF CONTENTS
DECEMBER 31, 2010
ITEM
PAGE
INTRODUCTORY SECTION
Letterof Transmittal.....................................................................................................................................1-1
2009 Comprehensive Annual Financial Report Award.................................................................................1-8
Corporate Organization Structure & Reporting Relations............................................................................1-9
FINANCIAL SECTION
Independent Auditor's Report.................................................................................................................... 2-1
Management Discussion and Analysis........................................................................................................3-1
Basic Financial Statements:
Government -wide Financial Statements:
Statementof Net Assets........................................................................................................................
4-1
Statementof Activities...........................................................................................................................
4-2
Fund Statements
Government Fund Financial Statements:
BalanceSheet..................................................................................................................................4-4
Reconciliation of Balance Sheet to the Statement of Net Assets....................................................4-6
Statement of Revenues, Expenditures and Changes in Fund Balances...........................................4-7
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Government Funds to the Statement of Activities........................................4-8
Proprietary Fund Financial Statements:
Statementof Net Assets..................................................................................................................
4-9
Statement of Revenues, Expenses, and Changes in Fund Balances..............................................4-11
Statementof Cash Flows...............................................................................................................4-12
Fiduciary Fund Statements:
Statement of Fiduciary Net Assets................................................................................................4-14
Statement of Changes in Fiduciary Net Assets..............................................................................4-15
Notes to Financial Statements:
Note 1: Significant Accounting Policies...........................................................................................4-16
Note 2: Compliance and Accountability..........................................................................................4-26
Note 3: Deposits and Investments..................................................................................................4-28
Note4: Property Taxes....................................................................................................................4-31
Note 5: Capital Assets and Depreciation.........................................................................................4-32
Note6: Pensions..............................................................................................................................4-37
Note 7: Other Post Employment Benefits.......................................................................................4-48
Note8: Contingencies.....................................................................................................................
4-50
Note9: Risk Management...............................................................................................................4-51
Note 10: Interfund Transactions.......................................................................................................4-54
Note11: Net Assets...........................................................................................................................4-56
Note 12: Prior Period Adjustments...................................................................................................4-57
Note13: Long Term Debt..................................................................................................................
4-58
Note 14: Deferred Charges in Proprietary Funds..............................................................................4-63
Note 15: Segment Information..........................................................................................................4-64
Note16: Joint Ventures.....................................................................................................................4-64
Note 17: Subsequent Events.............................................................................................................4-66
Required Supplementary Information Other than MD&A
Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget to Actual
GeneralFund..........................................................................................................................................5-1
TABLE OF CONTENTS
DECEMBER 31, 2010
ITEM PAGE
Actuarial Valuation of Firefighters' Pension Fund.................................................................................5-2
LEOFF I Retiree Medical Benefits - Schedule of Funding Progress........................................................
... 5-3
Combining Statements
Net Assets by Component....................................................................................................
Non -Major Fund Descriptions................................................................................................................6-1
Table 2:
CombiningBalance Sheet......................................................................................................................
6-5
Combining Statement of Revenues, Expenditures and Changes in Fund Balances.............................6-11
Fund Balance of Government Funds....................................................................................
Schedule of Revenues, Expenditures and Changes in Fund Balances
Table 4:
Budgetto Actual..................................................................................................................................6-17
Combining Statement of Net Assets, Non -Major Enterprise Funds....................................................6-32
General Government Tax Revenue by Source....................................................................7-10
Combining Statement of Revenues, Expenses and Changes in Fund Net Assets,
Revenue Capacity:
Non -Major Enterprise Funds.........................................................................................................
6-34
Statement of Cash Flows, Non -Major Enterprise Funds......................................................................6-35
7-11
Combining Statement of Net Assets, Internal Service Funds..............................................................6-37
Assessed Value Taxable Property.......................................................................................
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets,
Table 8:
InternalService Funds...................................................................................................................
6-39
Combining Statement of Cash Flows, Internal Service Funds..............................................................6-40
Property Tax Levies and Collections...................................................................................
Statement of Changes in Assets and Liabilities Agency Fund — Special Deposit.................................6-42
Table 10:
STATISTICAL SECTION
Statistical Section Description................................................................................................................7-1
Financial Trends:
Table 1:
Net Assets by Component....................................................................................................
7-2
Table 2:
Changes in Net Assets...........................................................................................................
7-4
Table 3:
Fund Balance of Government Funds....................................................................................
7-6
Table 4:
Changes in Fund Balances of Government Funds................................................................7-8
Table 5:
General Government Tax Revenue by Source....................................................................7-10
Revenue Capacity:
Table 6:
Principal Property Tax Payers.............................................................................................
7-11
Table 7:
Assessed Value Taxable Property.......................................................................................
7-12
Table 8:
Property Tax Rates Direct and Overlapping Governments................................................7-14
Table 9:
Property Tax Levies and Collections...................................................................................
7-16
Table 10:
Sales Tax Collections by Sector...........................................................................................
7-18
Debt Capacity:
Table 11:
Ratios of Outstanding Debt by Type...................................................................................
7-20
Table 12:
Legal Debt Margin Information..........................................................................................
7-22
Table 13:
Ratios of General Bonded Debt Outstanding.....................................................................7-24
Table 14:
Direct and Overlapping Governmental Activities Debt......................................................7-25
Table 15:
Pledged -Revenue Coverage for Water and Sewer and Golf Course Revenue Bonds ........7-26
Demographic and Economic Information:
Table 16:
Demographic and Economic Statistics................................................................................7-27
Table 17:
Principal Employers............................................................................................................
7-28
Operating Information:
Table 18:
Full Time Equivalent City Government Employees by Function.........................................7-30
Table 19:
Operating Indicators by Function.......................................................................................7-32
Table 20:
Capital Assets Statistics by Function...................................................................................
7-34
iv
City of t
� ht(t)n
June 30, 2011
Honorable Denis Law, Mayor
Members of the Renton City Council
Residents of Renton
City of Renton, Washington
RE: THE 2010 COMPREHENSIVE ANNUAL FINANCIAL REPORT
Dear Mayor Law, City Councilmembers, and Residents of Renton:
We are pleased to present the City's Comprehensive Annual Financial Report for the year
ended December 31, 2010. We publish this financial statement in conformity with generally
accepted accounting principles (GAAP). It has been audited in accordance with generally
accepted auditing standards by the Washington State Auditor's Office.
The report includes our own representations concerning the finances of the City of Renton.
Consequently, we assume full responsibility for the completeness and reliability of all of the
information presented in this report. To provide a reasonable basis for making these
representations, we have established a comprehensive internal control framework that is
designed both to protect the City of Renton's assets from loss, theft, or misuse and to maintain
sufficient reliable information for the preparation of the City's financial statements in
conformity with GAAP. Because the cost of internal controls should not outweigh the benefits,
the City's comprehensive framework of internal controls is designed to provide reasonable,
rather than absolute, assurance that the financial statements will be free from material
misstatement. As management, we attest that to the best of our knowledge and belief that this
financial report is complete and reliable in all material aspects.
These financial statements have been audited by the Washington State Auditor's Office. The
goal of this independent audit was to provide reasonable assurance that the City's financial
statements for the fiscal year ended December 31, 2010, are free of material misstatements.
The independent audit involved examining, on a test basis, evidence supporting the amounts
and disclosures in our financial statements; assessing the accounting principles used and
significant estimates made by management; and evaluating the overall financial statement
presentation. Based upon the audit, the independent auditor concluded that there was a
reasonable basis for issuing an unqualified opinion that the City of Renton's financial
statements for the fiscal year ended December 31, 2010, are fairly presented in conformity with
2010 Comprehensive Annual Financial Report City of Renton, Washington
GAAP. The State Auditor's report is included as the first component of the financial section of
this report.
The independent audit of the City of Renton's financial statements is part of a broader,
federally mandated "Single Audit" designed to meet the special needs of federal grantor
agencies. The standards governing Single Audit engagements require the independent auditor
to report not only on the fair presentation of the financial statements, but also the City's
internal controls and compliance to legal requirements with special emphasis on internal
controls and legal requirements involving the administration of federal grant programs.
The City's Single Audit Report is issued separately and is available upon request or directly from
the Washington State Auditor. Another State mandate requires the Washington State Auditor's
Office to perform additional tests of compliance with State laws and regulations as required by
RCW 43.09.260. This statute requires the State Auditor to inquire as to whether the City
complied with the laws and the Constitution of the State of Washington, its own ordinances
and orders, and the requirements of the State Auditor's Office. The City's State compliance
report is also available upon request from the Washington State Auditor.
GAAP requires that management provide a narrative introduction, overview, and analysis to
accompany the basic financial statements in the form of the Management's Discussion and
Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should
be read in conjunction with it. The City's MD&A can be found immediately following the
independent auditor's report.
THE CITY OF RENTON AND ITS SERVICES
The City of Renton was incorporated on September 6, 1901. Located at the south end of Lake
Washington, our city borders the City of Seattle to the north. We currently have a land area of
23.79 square miles. We have over 1,183 acres of parks that includes 30 active parks. As
presented by the Washington State Office of Financial Management, our 2010 population was
86,230.
The City of Renton has a strong mayor form of government with an appointed Chief
Administrative Officer. The Mayor is independently elected to a four-year term. The Mayor's
job is to manage and implement the policies established by the seven -member City Council.
The Council establishes policies, appropriates monies through the budget process and adopts
local laws through ordinances. Each Councilmember serves a four-year term and they are
elected on a staggered two-year cycle. Both the Council and the Mayor are elected on a non-
partisan basis.
The City is a general-purpose governmental entity and provides the full range of municipal
services allowed by statute or charter. These services include police, fire, emergency medical,
street construction and maintenance, planning and zoning, libraries, parks and recreation,
municipal court, and general administrative services.
Introduction, 1-2
2010 Comprehensive Annual Financial Report City of Renton, Washington
The City operates four utilities: water, sewer, surface water, and solid waste. These are
operated very similar to a private business where the revenues from rates and other direct
sources must pay for the operational, capital, and long-term debt costs. The City has its own
water rights and does not purchase water from outside sources. The City's sewage is treated by
King County, but the City is responsible for transferring and maintaining the system to King
County. The City bills Renton residents a monthly fee for the cost of sewer treatment
performed by King County.
The City also operates a golf course. All costs of the Maplewood Golf Course are paid from
green fees, driving range fees, revenue from the restaurant vendor, and other miscellaneous
revenue. The golf course has short-term operational costs, an active capital maintenance
program, and annual debt service payments for the construction of the clubhouse and the
driving range.
One operation the City has, which is somewhat unusual for cities our size, is its airport. The
Renton Municipal Airport is used by small private plane operators, a floatplane tourist
company, and Boeing initiates its maiden 737 flights from this airport. The operational costs of
the airport are paid from rental fees. Much of the major capital projects are paid by fees or
with Federal Aviation Administration grants.
The City of Renton complies with the Budgeting, Accounting, and Reporting System (BARS) as
delineated by the Office of the State Auditor as authorized under RCW 43.09.200 and
43.09.230. State law also mandates timely submission of annual financial reports to the State
Auditor for annual independent audits. The City of Renton's financial system incorporates
financial and administrative controls to ensure the safeguarding of assets and reliability of
financial reports. These controls are designed to provide reasonable assurance that
transactions are executed in accordance with management authorization and are recorded in
conformity with GAAP. They also provide accountability of and control over assets and
obligations, and sufficient reporting and review exist to provide adequate information for
analysis and comparability of data.
The City of Renton maintains budgetary controls to ensure compliance with legal provisions
embodied in the annual budget. All activities are appropriated through the annual budget
process and published in the City's Annual Budget document. The City Council must adopt an
ordinance to increase or decrease total appropriations in a Fund. The Mayor has the authority
to move appropriations within a Fund. A thorough discussion of the City's accounting policies
can be found under the Summary of Significant Accounting Policies in the Notes to the Financial
Statements.
FACTORS AFFECTING FINANCIAL CONDITION
The information presented in the financial statements is a perspective of past activities that
influence the City's financial condition. The following information is presented to place that
information in context with the general economy.
Introduction, 1-3
2010 Comprehensive Annual Financial Report City of Renton, Washington
Economic Condition and Outlook
From the City of Renton's most recent economic forecast:
The U.S. economy has moved to a somewhat firmer footing over the last few quarters — mainly
due to a pickup in consumer spending. In addition, recent surveys report solid advance in
activity in both manufacturing and service -producing industries. Upwardly -revised real GDP
forecasts call for growth slightly above 3.0 percent this year and next. Labor and housing
market conditions continue to disappoint preventing a more robust recovery. Meanwhile, the
Puget Sound economy, which suffered a deeper recession than the U.S. economy and is lagging
the national recovery, finally appears poised to resume job growth led by advances in service -
sector payrolls. This is expected to boost growth throughout the forecast period. The Renton
economy, unlike recent years is expected to benefit from growth in both Boeing and non -
Boeing jobs going forward — the former due to planned increases in 737 production rates and
the latter due to regional growth outside of aerospace. Like the region, sustained gains in
taxable retail sales are expected.
A key characteristic of the Renton economy over the long run is its superior growth relative to
King County as measured by retail spending, housing activity, and population contrasted with
its relative underperformance as measured by employment. This is mainly due to fewer Boeing
jobs over time offsetting gains in other industries. Thus, Renton's share of total King County
covered employment as dropped 0.7 percentage points from 5.6 percent to 4.9 percent over
the last twenty years, while its share of taxable retail sales has climbed 0.7 percentage points
and its share of housing stock and population has jumped 1.6 and 1.7 percentage points.
Excluding the large annexations in 2008 and 2009 the City's share of housing and population
has risen an estimated 0.7 percentage points. The Renton economy has thrived despite overall
stagnant job growth.
Population and housing activity tend to feed each other in the Renton economy and both move
with their respective King County and Puget Sound measures. Accordingly, growth in Renton
population is dependent on growth in regional population and Renton housing activity relative
to regional housing activity. And Renton housing activity depends on regional housing activity
and population growth in Renton relative to the region. These specifications result in a forecast
for Renton population growth (excluding annexations) of 2.1 percent per year between 2011
and 2016, and pickup in housing permits from 331 units this year to 555 units in 2016. At the
end of the forecast period, Renton population will exceed 97,000 residents and the housing
stock will approach 42,000 units.
In Renton, the beginnings of recovery are evident in the figures for retail trade sales — positive
year -over -year growth in each of the last three quarters for which data is available (fourth
quarter 2009 through the second quarter of 2010). However, continued decline in other
industry categories (especially construction) has stymied growth in over all taxable sales.
The favorable outlook for the key drivers of retail spending (personal income, housing activity,
unemployment, interest rates) is expected to stem the losses in taxable retail sales and set the
stage for renewed growth over the forecast period. This holds at the regional level, for King
Introduction, 1-4
2010 Comprehensive Annual Financial Report City of Renton, Washington
County, and for the Renton economy. The gains for total taxable retail sales amount to a 1.0
percent increase for 2010, a 4.4 percent increase in 2011, and a 7.5 percent increase in 2012.
The 2013 to 2016 average growth rate is 6.8 percent. The risk to the retail sales forecast is
predominantly on the downside. If employment growth is weaker than expected preventing
recovery in the unemployment rate, then personal income growth could remain depressed
acting to hold back consumer spending. Reduced credit availability to consumers and
continued slide in housing activity could also dampen spending.
UPDATE FROM 2011-2012 BUDGET DOCUMENT
The 2011-2012 adopted budget is the first biennial budget for the City of Renton. For the
upcoming biennium, the adopted total revenue is $440 million against total expenditures of
$445 million. The revenue shows a decrease of 2.9% from the combined 2009-2010 adopted
budget level and the expenditures reflect a decrease of 4.2% from the adopted 2009-2010
budgeted expenditures.
General Government Revenue
The adopted revenue projection is $98.2 million for 2011 and $100.1 million for 2012. This is an
overall growth of 0.4% from the adopted 2010 revenue or a 2.2% increase over the 2010 year-
end estimates. The 2012 adopted revenue is 1.9% over the adopted 2011 amount.
This budget anticipates that property tax collections will be $32 million in 2011 and $32.5
million in 2012. This is 2.2% growth in 2011 and 1.3% growth in 2012. The growth rate for
2011 is higher than we have anticipated due to higher new construction activity not captured in
2010 valuation, and a number of small annexations that took effect during 2010. The City will
maintain its 2010 1% property tax "banked capacity" for future needs.
We are projecting modest growth in some of our more volatile revenue sources. We are
projecting sales tax to grow by 3.5% and 5.5% over the biennium, development permit and plan
review fees by 6% in 2011 and 3% in 2012, and a 1.5% annual employment growth for business
license fees. We are projecting a 10% decrease in Real Estate Excise Tax in 2011, and a similar
10% increase in 2012, reflecting an improving economy.
As mentioned previously, the adopted budget assumes both Initiatives 1100 and 1105 will pass,
resulting in a loss of $200k in state distributed liquor profits in 2011 and $1 million in both
profits and excise tax in 2012.
General Government Expenditures
As we informed the Council at the second quarter financial update in September, the
preliminary budget projection was over $2 million out of balance.
The higher than anticipated new construction property tax helped to narrowed the gap slightly,
but cuts were still necessary to bridge the nearly $2 million gap.
Given prior reductions the additional $2 million reduction, while a relatively small percentage of
the budget, was more difficult to find than we anticipated. We approached the reduction by
focusing on administrative or indirect cost, in areas where workload has been reduced due to
the state of the economy or due to programming changes, by reviewing internal parity and
Introduction, 1-5
2010 Comprehensive Annual Financial Report City of Renton, Washington
sustainability, and by deferring capital outlays. These are to ensure reductions will have
minimal service impacts on the community and as recommended by the Community Budget
Advisory Group.
The resulting reductions total $2.03 million over the biennium, and include reducing another
4.5 FTEs as more fully described in the budget detail.
Fund Balance
With the reduced expenditure budget, the General Fund will end the 2011-2012 biennium with
a $70k increase to the estimated 2010 year end fund balance for a projected total of $10.1
million or a little over 10% of General Fund expenditures. This is below the 12% target but
above the 8% required minimum. The City also maintains a $5 million catastrophic reserve in
the Risk Management Fund and a well funded equipment replacement reserve. These reserves
and fund balances would provide a safety net during a turbulent and uncertain period in our
history.
OTHER INFORMATION
Cash Management
The City has adopted an Investment Policy that states that the primary objectives of investment
management, in priority order, are safety, liquidity, and return on investment. The Investment
Policy reflects provisions in state statute and authorizes investments in obligations with: the US
Government or its agencies; banker's acceptances; certificates of deposit issued by public
depositories in the State of Washington; the Washington State Local Government Investment
Pool; and any other investment authorized by law for taxing districts in the State of
Washington.
The City has a Fire Pension Fund that is managed by an Oversight Board with members
including Firefighters, the Mayor and one Councilmember. Their investment policies reflect the
long-term obligations of investing these funds, which are invested primarily in US Treasury
strips. The most recent independent actuarial study dated January 1, 2011 estimated a
(negative) net pension obligation of ($1,534,555) which is included as an asset in the City of
Renton's Government -wide Financial Statements.
Risk Management
The City belongs to the Washington Cities Insurance Authority (WCIA). The WCIA is a
consortium of Washington State cities that purchases excess coverage in large blocks, thus
leveraging the market and risk across a large base. It has a professional staff, but operates with
an Oversight Board comprised of City representatives. This Board meets monthly. In most
cases, the City of Renton has a variety of insurance deductibles that range from $5,000 to a
maximum of $350,000. The City maintains a self-insurance program for health and dental
coverage for City employees and dependents. The City purchases excess medical coverage for
cases that exceed $150,000. The City also purchases life and disability insurance from various
healthcare insurance providers.
Introduction, 1-6
2010 Comprehensive Annual Financial Report City of Renton, Washington
Awards and Acknowledgements
The Government Finance Officers Association of the United States and Canada (GFOA) awarded
a Certificate of Achievement for Excellence in Financial Reporting to the City of Renton for its
comprehensive annual financial report for the fiscal year ended December 31, 2009. The City
has a long history of achieving this prestigious award. In order to be awarded a Certificate of
Achievement, a government must publish an easily readable and efficiently organized
comprehensive annual financial report. This report must satisfy both generally accepted
accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current
comprehensive annual financial report continues to meet the Certificate of Achievement
Program's requirements and we are submitting it to the GFOA to determine its eligibility for
another certificate.
The dedicated staff of the Finance Division work hard each day to ensure that the City's
financial records always displays information in conformance with legal parameters. All
members of the division are to be commended for their consistent dedication to excellence in
local government finance. Significant contributors are specifically identified in the
acknowledgements on page ii of this document. We are pleased with the comprehensive
content and quality of this financial report knowing that the citizens of Renton can rely on this
report as the definitive assessment of all City financial operations.
Sincerely,
Iwen Wang
Finance & Information Technology Administrator
Gina L. Jarvis, CPA
Fiscal Services Director
Introduction, 1-7
Presented to
City of Renton
Washington
•`
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
December 31, 2009
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
sfa a AND
' ADA '
77��rgti s
and financial reporting,
President
Executive Director
CITY COUNCIL
Terri Briere, President
Randy Corman, Marcie Palmer, King
Parker, Don Persson, Greg Taylor,
Rich Zwicker
425-430-6500
COMMUNITY SERVICES
Terry Higashiyama, Administrator
425-430-6600
Facilities
Peter Renner, Director
Parks Planning & Natural
Resources
Leslie Betlach, Director
Recreation
Tim Williams, Director
Human Services
Karen Bergsvik, Manager
Parks & Golf Course
Kelly Beymer, Director
POLICE
Kevin Milosevich, Chief
425-430-7503
Support Operations Bureau
Tim Troxel, Deputy Chief
Special Operations
Investigations
Administrative
Services
Staff and Auxiliary
Services
Field Operations Bureau
Chuck Marsalisi, Deputy Chief
Patrol Services
Patrol Operations
RENTON CITIZENS
MAYOR J MUNICIPAL COURT JUDGE
Denis Law Terry Jurado
425-430-6500 425-430-6550
CHIEF ADMINISTRATIVE OFFICER
Jay Covington
425-430-6500
PUBLIC WORKS
Gregg Zimmerman, Administrator
425-430-7394
Maintenance Services
Michael Stenhouse, Director
Transportation Systems
Rich Perteet, Deputy PW
Administrator
Utility Systems
Lys Hornsby, Director
FIRE AND EMERGENCY SERVICES
Mark Peterson, Chief/ Administrator
425-430-7051
Response Operations
Bill Flora, Deputy Fire Chief
Safety and Support Services
Erik Wallgren, Deputy Fire
Community Risk Reduction
Emergency Management
Deborah Needham, Director
COMMUNITY AND ECONOMIC
DEVELOPMENT
Alex Pietsch, Administrator
425-430-6580
Economic Development
Suzanne Dale Estey, Director
Development Services
Neil Watts, Director
Planning
Chip Vincent, Director
CITY ATTORNEY
Larry Warren, Administrator
425-255-8678
HUMAN RESOURCES & RISK
MANAGEMENT
Nancy Carlson, Administrator
425-430-7650
Human Resources
Maria Boggs, Manager
Risk Management
Robin Robertson, Manager
Benefits
Communications
Preeti Shridhar, Director
EXECUTIVE
Marty Wine, Assistant CAO
425-430-6500
Mayor's Office
City Clerk / Cable Manager
Bonnie Walton, City Clerk
Hearing Examiner
Fred Kaufman, Hearing
Examiner
FINANCE AND INFORMATION
TECHNOLOGY
Iwen Wang, Administrator
425-430-6858
Finance
Gina Jarvis, Director
Information Technology
Mehdi Sadri, Director
Renton History Museum
Elizabeth Stewart, Manager
Neighborhoods, Resource
and Events
Bonnie Rerecich, Manager
Parks & Golf Course
Kelly Beymer, Director
POLICE
Kevin Milosevich, Chief
425-430-7503
Support Operations Bureau
Tim Troxel, Deputy Chief
Special Operations
Investigations
Administrative
Services
Staff and Auxiliary
Services
Field Operations Bureau
Chuck Marsalisi, Deputy Chief
Patrol Services
Patrol Operations
RENTON CITIZENS
MAYOR J MUNICIPAL COURT JUDGE
Denis Law Terry Jurado
425-430-6500 425-430-6550
CHIEF ADMINISTRATIVE OFFICER
Jay Covington
425-430-6500
PUBLIC WORKS
Gregg Zimmerman, Administrator
425-430-7394
Maintenance Services
Michael Stenhouse, Director
Transportation Systems
Rich Perteet, Deputy PW
Administrator
Utility Systems
Lys Hornsby, Director
FIRE AND EMERGENCY SERVICES
Mark Peterson, Chief/ Administrator
425-430-7051
Response Operations
Bill Flora, Deputy Fire Chief
Safety and Support Services
Erik Wallgren, Deputy Fire
Community Risk Reduction
Emergency Management
Deborah Needham, Director
COMMUNITY AND ECONOMIC
DEVELOPMENT
Alex Pietsch, Administrator
425-430-6580
Economic Development
Suzanne Dale Estey, Director
Development Services
Neil Watts, Director
Planning
Chip Vincent, Director
CITY ATTORNEY
Larry Warren, Administrator
425-255-8678
HUMAN RESOURCES & RISK
MANAGEMENT
Nancy Carlson, Administrator
425-430-7650
Human Resources
Maria Boggs, Manager
Risk Management
Robin Robertson, Manager
Benefits
Communications
Preeti Shridhar, Director
EXECUTIVE
Marty Wine, Assistant CAO
425-430-6500
Mayor's Office
City Clerk / Cable Manager
Bonnie Walton, City Clerk
Hearing Examiner
Fred Kaufman, Hearing
Examiner
FINANCE AND INFORMATION
TECHNOLOGY
Iwen Wang, Administrator
425-430-6858
Finance
Gina Jarvis, Director
Information Technology
Mehdi Sadri, Director
Washington State Auditor
Brian Sonntag
INDEPENDENT AUDITOR'S REPORT
June 30, 2011
Council
City of Renton
Renton, Washington
We have audited the accompanying financial statements of the governmental activities, the
business -type activities, each major fund and the aggregate remaining fund information of the
City of Renton, King County, Washington, as of and for the year ended December 31, 2010,
which collectively comprise the City's basic financial statements as listed in the table of
contents. These financial statements are the responsibility of the City's management. Our
responsibility is to express opinions on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation. We believe that
our audit provides a reasonable basis for our opinions.
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, the business -type activities, each
major fund and the aggregate remaining fund information of the City of Renton, King County,
Washington, as of December 31, 2010, and the respective changes in financial position and,
where applicable, cash flows thereof for the year then ended in conformity with accounting
principles generally accepted in the United States of America.
Insurance Building, P.O. Box 40021 • Olympia, Washington 98504-0021 • (360) 902-0370 • TDD Relay (800) 833-6388
FAX (360) 753-0646 • http://www.sao.wa.gov
As described in Note 1, during the year ended December 31, 2010, the City has implemented the
Governmental Accounting Standards Board Statement No. 51 - Accounting and Financial
Reporting for Intangible Assets.
In accordance with Government Auditing Standards, we will also issue our report dated June 30,
2011, on our consideration of the City's internal control over financial reporting and on our tests
of its compliance with certain provisions of laws, regulations, contracts and grant agreements
and other matters. That report will be issued under separate cover in the City's Single Audit
Report. The purpose of that report is to describe the scope of our testing of internal control over
financial reporting and compliance and the results of that testing, and not to provide an opinion
on the internal control over financial reporting or on compliance. That report is an integral part
of an audit performed in accordance with Government Auditing Standards and should be
considered in assessing the results of our audit.
The management's discussion and analysis on pages 3-1 through 3-14, budgetary comparison on
page 5-1, pension trust fund on page 5-2 , and information on postemployment benefits other
than pensions on page 5-3 are not a required part of the basic financial statements but are
supplementary information required by the Governmental Accounting Standards Board. We
have applied certain limited procedures, which consisted principally of inquiries of management
regarding the methods of measurement and presentation of the required supplementary
information. However, we did not audit the information and express no opinion on it.
Our audit was performed for the purpose of forming opinions on the financial statements that
collectively comprise the City's basic financial statements. The accompanying information
listed as combining financial statements and supplemental information on pages 6-5 through 6-
42 is presented for purposes of additional analysis and is not a required part of the basic financial
statements. This information has been subjected to auditing procedures applied in the audit of
the basic financial statements and, in our opinion, is fairly stated, in all material respects, in
relation to the basic financial statements taken as a whole.
The information identified in the table of contents as the Introductory and Statistical Sections is
presented for purposes of additional analysis and is not a required part of the basic financial
statements of the City. Such information has not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we express no opinion on
it.
Sincerely,
BRIAN SONNTAG, CGFM
STATE AUDITOR
2010 Comprehensive Annual Financial Report
City of Renton, Washington
MANAGEMENT'S DISCUSSION AND ANALYSIS
The City of Renton's discussion and analysis provides a narrative overview of the City's financial
activities for the fiscal year ended December 31, 2010. The intent of the discussion and analysis is
to review the City's financial performance as a whole.
This Management's Discussion and Analysis (MD&A) combined with the Transmittal Letter, the
Financial Statements, and the Notes to the Financial Statements represent the complete 2010
financial activities for the City of Renton. These are all intended to help the reader understand the
City's significant financial issues. This MD&A provides an overview of the City's financial records.
The data in this financial report also identifies any material deviations from the financial plan and
the adopted annual budget. Finally, the intent of the MD&A and other financial information is to
isolate and identify individual fund issues or concerns.
FINANCIAL INFORMATION
The City's Government -wide Financial Statements were prepared on the full accrual basis of
accounting in conformity with Generally Accepted Accounting Principles (GAAP). The City's Fund
Financial Statements for its major and non -major governmental funds were prepared on the
modified accrual basis of accounting in conformity with GAAP. The City's major and non -major
enterprise funds, internal service funds, and pension funds were accounted for on the full accrual
basis of accounting in conformity with GAAP.
The City of Renton, along with all cities, counties, and other governmental entities in Washington,
must comply with the Budgeting, Accounting, and Reporting System (BARS) as defined by the
Washington State Auditor's Office (SAO). SAO audits the financial records of all cities and other
governmental units within the State. The City of Renton's financial system integrates financial and
administrative controls that ensure the safeguarding of assets and the reliability of financial
reports. These controls are designed to provide:
1. reasonable assurance that transactions are executed in accordance to management
understanding and approval;
2. reasonable assurance that transactions are executed in accordance to GAAP;
3. accountability for control of assets and obligations; and
4. assurance that sufficient reporting and review exists to provide adequate information for
analysis and comparability of data.
Internal control is a high priority for the City. SAO reviews the City's internal controls, and the City
receives and takes action on all the recommendations made.
The City maintains strong budgetary controls in order to ensure compliance with legal provisions
embodied in the annual appropriated budget as approved by the City Council. The City Council
must authorize any budget increase or decrease to any fund.
Management's Discussion and Analysis, 3-1
2010 Comprehensive Annual Financial Report
Financial Highlights
City of Renton, Washington
• The City's total assets as of December 31, 2010, exceeded liabilities by $672.4 million.
• As of December 31, 2010, the City's Governmental Activities reported net assets of $440.6
million. Of this total, $45.9 million is defined as unrestricted and can be used for needs the
Mayor and Council deem necessary. These monies are intended to provide a cushion
against significant economic downturns in revenues and to maintain sufficient working
capital and cash flow to meet daily financial needs.
• Investment in capital assets (net of related debt) comprises $383.0 million of the $440.6
million in Governmental Activities net assets.
• The business type activities have total net assets of $231.8 million. 92.3% of this total,
$214.0 million, represents the City's investments in capital assets (net of related debt). An
unrestricted balance of $17.7 million remains and is used to meet day to day cash flow
requirements and to ensure we can meet all obligations of the utilities and other funds if
the revenues do not meet expectations.
• The City's total outstanding long-term debt as of December 31, 2010, was $128.0 million.
Of this amount, $44.3 million are revenue bonds and PWTF loans dedicated to the
waterworks projects. Employee leave balances and other post -employment benefits total
$8.2 million. The balance of $75.5 million of City debt is dedicated for general
governmental purposes, including the purchase of City Hall, the construction of the
downtown parking garage, replacement of a fire station, purchase of a fire station, the
construction of a regional communications center and construction of a regional jail facility.
OVERVIEW OF THE FINANCIAL STATEMENTS
This discussion and analysis provides an introduction and overview to the City of Renton's basic
financial statements. The basic financial statements are comprised of three components:
1. Government -wide Financial Statements;
2. Fund Financial Statements; and
3. Notes to the Financial Statements.
The graphic representation below illustrates the required components of the City's annual
financial report and how the required parts are arranged and relate to one another. This
illustration helps explain the City's financial presentation in 2010. This graphic representation
should be used in conjunction with the following explanations to help guide the reader in
understanding the financial condition of the City of Renton.
Management's Discussion and Analysis, 3-2
2010 Comprehensive Annual Financial Report
Figure 1
REQUIRED COMPONENTS OF THE
ANNUAL FINANCIAL REPORT
Management Discussion
and Analysis
{required supplementary information)
IC (new)
c e Government -wide Financial Statements (new)
r Fund financial Statements (refocused)
2 Notes to tlx: Financial Statements
(expanded/restructured)
� � o Required Supplementary
v ' Information
o Cr_ a (other than MD&A)
2 -
City of Renton, Washington
In addition to the required components shown in Figure 1, the City's annual report also includes
other voluntary supplementary information. The most significant section is the Combining
Statements. These provide Balance Sheets, Statement of Revenues, Expenditures, and Changes in
Fund Balances with Budget to Actual comparisons, Statement of Net Assets, and Cash Flows for all
Non -Major Funds.
The next section of information, the Statistical Section, provides a ten-year view of the City's
Revenue, Expenditures, Debt Obligations, and Debt Capacity; the City's largest taxpayers, and
those entities with the largest employment within the City of Renton. This section provides a long-
term perspective on the City's economy.
BASIC FINANCIAL STATEMENTS
Government -wide Financial Statements provide readers with a broad overview of the City of
Renton's finances in a manner similar to a private sector business. They provide both short-term
and long-term information about the City's overall financial status. The government -wide
statements distinguish between functions of the City that are principally supported by taxes and
intergovernmental revenues (referred to as "governmental activities") from functions that are
intended to recover all or a significant portion of their costs through user fees and charges
(referred to as "business -type activities.") The governmental activities of the City include a full
range of local government services provided to the public such as police and fire protection; road
maintenance and construction; community planning and economic development; libraries, parks,
and recreational opportunities; and other community services. The business -type activities of the
City include waterworks (water, sewer, and surface water), solid waste management and services,
golf course, and airport.
Management's Discussion and Analysis, 3-3
2010 Comprehensive Annual Financial Report City of Renton, Washington
The Statement of Net Assets presents information on all of the City's assets and liabilities with the
difference between the two reported as net assets. This statement combines and consolidates
governmental funds' current financial resources (short term available resources) with capital
assets and long-term obligations, which is primarily debt. The Statement of Net Assets serves a
purpose similar to that of the Balance Sheet of a private -sector business. Over time, increases or
decreases in net assets may serve as one indicator of whether the financial position of the City is
improving or deteriorating. Other indicators to consider when evaluating the financial position of
the City includes changes to the property tax base, general economic conditions as demonstrated
through business licenses fees or sales tax revenue, and the condition of the City's infrastructure
(roads, drainage systems, bridges, and water infrastructure).
The Statement of Activities focuses upon both the gross and net cost of various activities that are
provided by the government's general tax and other revenues. This is intended to summarize and
simplify the user's analysis of cost to various governmental services and/or subsidy to various
business -type activities. By separating program revenue from general revenue, users of the
financial statements can identify the extent to which each program relies on taxes for funding.
The Governmental Activities reflect the City's basic functions: General Government, Judicial,
Security of Person and Property, Physical Environment, Mental and Physical Health, and Culture
and Recreation. Property, sales, and utility taxes finance the majority of these functions.
All changes in net assets are reported using the accrual basis of accounting, which is similar to the
accounting used in the private sector. The accrual basis of accounting requires that revenues are
reported when earned and expenses are reported when incurred, no matter when the revenue
will actually be received or the obligation will be paid. For example, property taxes are shown as a
receivable and revenue even though some amount of these taxes will not be available to the City
for several years. Unpaid vendor obligations are illustrated as an accounts payable obligation as of
December 31.
Fund Financial Statements
The City uses funds to ensure and demonstrate fiscal integrity and compliance with finance related
legal requirements with a focus on Major Funds. A fund is a group of related accounts that is used
to maintain control over resources that have been segregated for specific activities and objectives.
There are three types of funds: governmental, proprietary, and fiduciary.
A Major Fund has three elements as defined by GASB 34:
• Total assets, liabilities, revenues, or expenditures of that individual governmental or
enterprise funds are at least ten percent (10%) of the corresponding total (assets, liabilities,
etc.) for all funds of that category or type (i.e., governmental, proprietary, or fiduciary); and
• Total assets, liabilities, revenues, or expenditures/expenses of the individual government
fund or enterprise funds are at least five percent (5%) of the corresponding total for all
governmental and enterprise funds combined; or
Management's Discussion and Analysis, 3-4
2010 Comprehensive Annual Financial Report
City of Renton, Washington
• Any other governmental or enterprise fund that the government's officials believe is
particularly important.
Governmental Funds present most of a government's tax -supported activities. The Proprietary
Funds describe and financially manage the government's business -type activities where all or part
of the activities' costs are supported by fees and charges that are paid directly by those who
benefit from the activities. Fiduciary Funds control resources held by the government as a trustee
or agent for parties outside of the government. The resources of Fiduciary Funds cannot be used
to support the government's own programs.
Governmental Funds
The Governmental Fund Balance Sheet and Governmental Fund Statement of Revenues,
Expenditures, and Changes in Fund Balances present separate columns of financial data for the
General Fund, Municipal Facilities CIP Fund and Capital Improvement Fund. These comprise the
City's major governmental funds. Data from the remaining governmental funds are combined and
presented in a single, aggregated column in the fund statements. Individual fund data for each of
the non -major governmental funds is provided in the form of combining statements.
Governmental Funds are used to account for essentially the same functions reported as
governmental activities in the Government -wide Financial Statements. The focus of Governmental
Fund Financial Statements is on near-term inflows and outflows of available financial resources
and on balances of resources available at the end of the fiscal year. Such information is useful in
evaluating whether there are more or less financial resources that can be spent in the near future
to finance City services.
Because the focus of governmental Fund Financial Statements is a narrower view than that of the
Government -wide Financial Statements, it is useful to compare information presented for
governmental funds with similar information presented for governmental activities in the
Government -wide Financial Statements. This gives the reader a better understanding of the long-
term impact of the government's near-term financing decisions. The Governmental Fund Balance
Sheet and the Governmental Fund Statement of Revenues, Expenditures, and Changes in Fund
Balances provide reconciliation to the governmental activities column in the government -wide
statements to facilitate this comparison.
The City maintains budgetary controls over its governmental funds. Budgetary controls ensure
compliance with legal provisions embodied in the annual appropriated budget. Governmental
fund budgets are established in accordance with state law and are adopted on a fund level.
General fund budget variances are specifically addressed later in this discussion and analysis.
Proprietary Funds
These types of funds consist of two types of funds: Enterprise and Internal Service. They have
always been operated as private business activity. Enterprise Funds are used to report the same
functions as business -type activities in the Government -wide Financial Statements. Internal
Service Funds are used to report activities that provide supplies and services to various City
Management's Discussion and Analysis, 3-5
2010 Comprehensive Annual Financial Report City of Renton, Washington
departments and to accumulate and allocate the associated costs of providing these services to
the various functions. The revenues and expenses of Internal Service Funds that are duplicated in
other funds are eliminated in the government -wide statements. Because the remaining balances
primarily benefit governmental, rather than business -type activities, they have been included
within Governmental Activities in the Government -wide Statements.
The City of Renton has two major proprietary funds: Waterworks Utility (water, wastewater, and
stormwater) and Solid Waste. The Proprietary Fund Balance Sheet and the Proprietary Fund
Statement of Revenues, Expenses, and Changes in Fund Equity present separate columns of
financial data for the Waterworks Utility and Solid Waste. Data from the remaining Enterprise
Funds are combined and presented in a single, aggregated column in the fund statements.
Governmental Activities Internal Service Funds are reported separately in this section.
Proprietary Fund statements provide the same type of information as the Government -wide
Financial Statements, only in more detail, since both apply the accrual basis of accounting. In
comparing the total assets and total liabilities between the two statements, only slight differences
will be noticed. One notable difference is that the "due from other funds" (asset) and the "due to
other funds" (liability) in the proprietary fund statements are combined in a single line called
"internal balances" in the asset section of the Government -wide Statement of Net Assets.
Fiduciary Funds
Fiduciary Funds are used to account for resources held for the benefit of parties outside the
government. Fiduciary funds are not reported in the Government -wide Financial Statements
because the resources of those funds are not available to support the City's own operations. All of
the City's fiduciary activities are reported in a separate Statement of Fiduciary Net Assets and a
Statement of Changes in Fiduciary Net Assets.
Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data
provided, and are an integral part of the Government -wide and Fund Financial Statements.
Combining statements for non -major Governmental and Enterprise Funds, as well as Internal
Service Funds, are presented immediately following the required supplementary information.
GOVERNMENT -WIDE FINANCIAL ANALYSIS
Statement of Net Assets
Changes in Net Assets may serve as a useful indicator of a government's financial position. The
overall financial position has improved for the City of Renton over the prior year. Changes in Net
Assets from 2009 to 2010 shows an increase in total net assets of $7.1 million.
Management's Discussion and Analysis, 3-6
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Table 1 is a condensed version of the Government -wide Statement of Net Assets.
The majority of the City's net assets (89%) are investments in capital assets (e.g., streets, drainage,
construction in progress, buildings, equipment, water and sewer pipes) less any related
outstanding debt used to acquire these assets. The City's capital assets are used to provide
services to citizens. It should be noted that although the investment in capital assets is reported
net of related debt, resources needed to repay this debt must be provided from other sources
since the capital assets themselves cannot be used to liquidate these liabilities.
Investments in capital assets net of related debt increased from 2009 to 2010 by $9.9 million.
Investment in capital assets increased by $4.6 million in the Governmental activities and $5.3
million in the Business -type activities primarily due to capital activity as opposed to significant
reductions in debt although revenue bond debt in the Golf Course fund (a business -type activity)
was replaced by an interfund loan from the General Fund. Interfund loan debt is not included in
the calculation of Investments in capital assets net of related debt.
Restricted assets, representing resources that are subject to external restrictions on how they may
be used, equate to 1.7% of total net assets, down from 3.7% in 2009. The remaining balance
(unrestricted net assets) of $63.7 million may be used to meet the City's ongoing obligations.
As of December 31, 2010, the City reports positive balances in all three categories of net assets,
for the government as a whole, as well as for separate governmental and business -type activities.
Statement of Change in Net Assets
The City's total net assets (before prior period adjustments) increased in 2010 by $6.5 million.
Governmental activities generated 85% of this total or $5.5 million, while business -type activities
generated $1.0 million of this total.
Management's Discussion and Analysis, 3-7
TABLE 1
CONDENSED STATEMENT OF NET ASSETS
Governmental
Activities
Business -type Activities
Total
2010
2009
2010
2009
2010
2009
Current and other assets
$ 110,211,266
$ 108,157,536
$ 22,876,764
$ 24,521,489
$ 133,088,030
$ 132,679,025
Capital assets
426,430,381
424,156,417
258,268,233
257,787,336
684,698,614
681,943,753
TOTAL ASSETS
536,641,647
532,313,953
281,144,997
282,308,825
817,786,644
814,622,778
Long-term liabilities
83,035,094
85,005,048
44,940,693
49,784,751
127,975,787
134,789,799
Other liabilities
13,014,744
12,951,816
4,401,367
1,602,243
17,416,111
14,554,059
TOTAL LIABILITIES
96,049,838
97,956,864
49,342,060
51,386,994
145,391,898
149,343,858
NET ASSETS:
Invested in capital assets, net of related debt
383,016,494
378,440,636
214,001,083
208,682,683
597,017,577
587,123,319
Restricted
11,664,101
20,882,824
58,747
4,029,537
11,722,848
24,912,361
Unrestricted
45,911,214
35,033,629
17,743,107
18,209,611
63,654,321
53,243,240
TOTAL NET ASSETS
$ 440,591,809
$ 434,357,089
$ 231,802,937
$ 230,921,831
$ 672,394,746
$ 665,278,920
The majority of the City's net assets (89%) are investments in capital assets (e.g., streets, drainage,
construction in progress, buildings, equipment, water and sewer pipes) less any related
outstanding debt used to acquire these assets. The City's capital assets are used to provide
services to citizens. It should be noted that although the investment in capital assets is reported
net of related debt, resources needed to repay this debt must be provided from other sources
since the capital assets themselves cannot be used to liquidate these liabilities.
Investments in capital assets net of related debt increased from 2009 to 2010 by $9.9 million.
Investment in capital assets increased by $4.6 million in the Governmental activities and $5.3
million in the Business -type activities primarily due to capital activity as opposed to significant
reductions in debt although revenue bond debt in the Golf Course fund (a business -type activity)
was replaced by an interfund loan from the General Fund. Interfund loan debt is not included in
the calculation of Investments in capital assets net of related debt.
Restricted assets, representing resources that are subject to external restrictions on how they may
be used, equate to 1.7% of total net assets, down from 3.7% in 2009. The remaining balance
(unrestricted net assets) of $63.7 million may be used to meet the City's ongoing obligations.
As of December 31, 2010, the City reports positive balances in all three categories of net assets,
for the government as a whole, as well as for separate governmental and business -type activities.
Statement of Change in Net Assets
The City's total net assets (before prior period adjustments) increased in 2010 by $6.5 million.
Governmental activities generated 85% of this total or $5.5 million, while business -type activities
generated $1.0 million of this total.
Management's Discussion and Analysis, 3-7
2010 Comprehensive Annual Financial Report
Table 2 is a condensed version of the Statement of Activities for the City.
TABLE 2
CONDENSED STATEMENT OF ACTIVITIES
City of Renton, Washington
Expenses:
Governmental Activities
Business -type Activities
Total
2010
2009
2010
2009
2010
2009
Revenues:
18,808,404
Judicial
2,402,692
2,134,283
Program revenues:
2,134,283
Public safety
50,657,146
44,361,089
Charges for services
$ 15,895,357
$ 17,157,502
$ 55,064,203
$ 50,901,497
$ 70,959,560 $
68,058,999
Operating grants and contributions
10,520,151
11,029,657
125,819
46,267
10,645,970
11,075,924
Capital grants and contributions
9,102,331
16,091,934
1,056,961
7,556,701
10,159,292
23,648,635
General revenues:
6,669,911
Health and human services
882,740
328,333
Property taxes
32,586,884
32,300,319
-
-
32,586,884
32,300,319
Sales and use taxes
21,591,375
22,065,316
2,127,347
2,848,081
21,591,375
22,065,316
Other taxes
21,236,078
19,801,827
-
-
21,236,078
19,801,827
Other general revenues
877,145
1,291,483
397,637
1,604,646
1,274,782
2,896,129
Total revenues
111,809,321
119,738,038
56,644,620
60,109,111
168,453,941
179,847,149
Expenses:
General government
10,018,501
18,808,404
10,018,501
18,808,404
Judicial
2,402,692
2,134,283
2,402,692
2,134,283
Public safety
50,657,146
44,361,089
50,657,146
44,361,089
Physical environment
2,425,279
2,440,801
2,425,279
2,440,801
Transportation
16,903,492
11,765,835
16,903,492
11,765,835
Economic environment
7,363,396
6,669,911
7,363,396
6,669,911
Health and human services
882,740
328,333
882,740
328,333
Culture and recreation
13,518,312
16,992,266
13,518,312
16,992,266
Interest on long-term debt
2,127,347
2,848,081
-
-
2,127,347
2,848,081
Waterworks utility
-
-
36,574,469
35,617,861
36,574,469
35,617,861
Airport
1,993, 202
1,865,481
1,993,202
1,865,481
Solid waste utility
14,826,315
14,143,956
14,826,315
14,143,956
Golf course
-
-
2,296,870
2,303,192
2,296,870
2,303,192
Total expenses
106,298,905
106,349,003
55,690,856
53,930,490
161,989,761
160,279,493
Increase in net assets before transfers
5,510,416
13,389,035
953,764
6,178,621
6,464,180
19,567,656
Transfers
(17,095)
(100,000)
17,095
100,000
-
-
Increase in net assets
5,493,321
13,289,035
970,859
6,278,621
6,464,180
19,567,656
Net assets - beginning
434,357,089
420,652,779
230,921,831
223,857,729
665,278,920
644,510,508
Prior period adjustments
741,399
415,275
(89,753)
785,481
651,646
1,200,756
Net assets - ending
$ 440,591,809
$ 434,357,089
$ 231,802,937
$ 230,921,831
$ 672,394,746
$ 665,278,920
Sixty-six percent (66%) of the City's total activities are for governmental activities such as providing
police, fire, parks, libraries, recreation, building safety, and planning services. The remaining
activities relate to business -type services provided by the City. The largest business -type activities
include water, sewer, surface water and solid waste activities.
Governmental Activities Analysis
Governmental activities cost a total of $106.3 million in 2010, down just slightly from 2009. Of this
amount, $35.5 million was paid for either by those who directly benefited from the programs or by
other governments and organizations that subsidized certain programs with grants and
contributions. The net expense (total expenses less program revenues) of $70.8 million was the
cost of governmental services City taxpayers primarily paid through various taxes.
Management's Discussion and Analysis, 3-8
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Chart 1 portrays the cost of each of the City's governmental programs along with each program's
generated revenues (fees and intergovernmental revenues specifically related to that program).
$60,000,000
$50,000,000
$40,000,000
$30,000,000
$20,000,000
$10,000,000
$0
Chart 1
Expenses and Program Revenues - Governmental Activities
IITI
Program e� 11,1 se..,�
e •arog.am Revenues
Chart 2 depicts the sources of revenues that fund governmental activities. Approximately sixty-
seven percent (67%) is from various taxes. Charges for services, grants, and interest earnings
generate thirty-three percent (33%) of total revenue for general governmental activities.
Chart 2
Revenues by Source- Governmental Activities
Other General Revenues
1%
Charges for Services
14%
Other Taxes 0pera g tin Grants and
9T
Contrihutions
10%
Capital G rants and
Contributions
g%
Property Ta xes
29%
Business -Type Activities Analysis
Charts 3 and 4 present the same information on business -type activities as illustrated for
governmental activities. Chart 3 shows the expense of each of the City's business -type programs
along with each program's generated revenues (fees and intergovernmental revenues specifically
related to that program).
Management's Discussion and Analysis, 3-9
2010 Comprehensive Annual Financial Report
Chart 3
Expenses and Program Revenues- Business -Type Activities
$40,000,000
$35,000,000
$30,000,000
$25,000,000
$20,000,000
$15,000,000
FF$10,000,000
$5,000,000
$0
Waterworks Utility Airport Sol id Waste UtlI ty Golf Course
Program
Evpensez Program aevenues
City of Renton, Washington
The City's largest business -type activity, the Waterworks Utility had a slight positive net change
($21,000) at the end of 2010 compared to $1.1 million in 2009. The City generated $36.6 million in
various fees for services and other sources from waterworks activities and had $36.6 million in
expenses. The Airport's total expenses were $2.0 million. Total revenues for 2010 were $2.0
million compared to $5.4 million in 2009. 2009 revenue included an unusually large capital grant
of over $4.0 million. The Solid Waste Utility's revenues were $15.4 million generated from fees for
services and $122,752 in grants and contributions. The total expenses were $14.8 million. The
Golf Course generated a total of $2.1 million in green fees, driving range charges, and other user
fees. The total expenses for the Golf Course were $2.3 million. The Golf Course had a loss of
$201,119 for the year.
Chart4
Revenues by Source - Business -Type Activities
Capital Grants a nd
Contributions Other General R ... nues
2% 1%
Business -type activities are supported primarily from charges for services. In the City of Renton,
$55.1 million was generated from charges for services in the business -type activities. These
comprise ninety-eight percent (98%) of the total financial support for these activities. Grant
revenues decreased $6.4 million from 2009 to 2010 largely due to the 2009 airport grant as noted
earlier.
Management's Discussion and Analysis, 3-10
2010 Comprehensive Annual Financial Report City of Renton, Washington
FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS
Governmental Funds Analysis
The focus of the City's governmental funds is to provide information on near-term inflows,
outflows, and balances of spendable resources. Such information is useful in assessing the City's
financing requirements. In particular, unreserved fund balance may serve as a useful measure of a
government's net resources available for spending at the end of the fiscal year.
As of the end of the fiscal year, the City's governmental funds reported combined ending fund
balances of $32.0 million, a decrease of $2.3 million in comparison to last year. Approximately
seven percent (7%) constitutes unreserved, undesignated fund balance, which is available for
spending at the government's discretion. The remainder of the fund balance is reserved or
designated to indicate that it is not available for new spending because it has already been
committed for operating or capital reserves. The decrease in fund balances resulted from use of
fund balance in the Municipal Facilities CIP and Capital Improvement funds for major capital
projects including the Rainier Ave. and Stander Blvd. transportation projects.
The General Fund is the chief operating fund of the City. At the end of the current year,
unreserved, undesignated fund balance of the general fund was $47,595, while total fund balance
ended at $14.5 million. The fund balance increased by $1.0 million as the City was able to realize
expenditure savings in excess of revenue received.
The Municipal Facilities CIP fund has been included as a major fund of the City due to the
importance of municipal projects that may be accounted for in this fund in any given year. The
fund balance decreased by $1.6 million in 2010 as fund balance was used to fund multiple capital
and major maintenance projects in this fund.
The Capital Improvement fund is the last major governmental fund. This fund accounts for the
many transportation -related projects in the City. The fund balance decreased $888,508 as fund
balance was used to fund a portion of the capital program and $204,836 as a result of a prior
period adjustment related to the correction of a prior year accrual entry that was not correctly
reversed in the subsequent year.
Proprietary Funds Analysis
The fund financial statements for the proprietary funds are presented in more detail, but
essentially provide the same type of information found in the business -type activities in the
government -wide financial statements. Net assets in the Waterworks Utility Fund and the Solid
Waste Fund were $207.9 million and $2.2 million respectively. This represents an increase in the
Waterworks Utility Fund of $0.7 million and an increase in the Solid Waste Fund of $0.7 million. Of
the total net assets increase in the Waterworks Utility Fund, $322,357 relates to prior period
adjustments for inventories and capital assets and is discussed further in Note 12 of the financial
statements. Other factors concerning the finances of these two funds have already been
addressed in the discussion of business -type activities.
Management's Discussion and Analysis, 3-11
2010 Comprehensive Annual Financial Report
GENERAL FUND BUDGETARY HIGHLIGHTS
City of Renton, Washington
During the year there was a $3.8 million increase in appropriations between the original and final
amended budget. This increase was mainly due to an interfund loan disbursement to the Golf
Course fund for $1.9 million and department carryfoward requests. In addition, the General Fund
did not spend $3.7 million of the legally appropriated expenditures. As a result, the General Fund
fund balance increased by $1.0 million in 2010.
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
The City of Renton's investment in capital assets, including construction in progress, for its
governmental and business -type activities as of December 31, 2010, amounts to $684.7 million as
presented on the following table.
TABLE 3
CAPITAL ASSETS
(Net of Depreciation/Amortization)
Governmental Activities Business -Type Activities
2010 2009 2010 2009 2010
Total
Land and Land Improvements
$ 178,817,027
$ 177,624,727
$ 6,165,321
$ 6,976,321
$ 184,982,348
Buildings and Structures
66,856,417
67,647,963
11,642,209
12,091,442
78,498,626
Other Improvements
145,034,569
125,230,955
231,025,361
236,264,478
376,059,930
Machinery and Equipment
9,780,472
13,879,865
584,590
695,450
10,365,062
Intangible Assets
1,133,843
-
832,123
-
1,965,966
Construction in Progress
24,808,053
39,772,907
8,018,629
1,759,645
32,826,682
Total
$ 426,430,381
$ 424,156,417
$ 258,268,233
$ 257,787,336
$ 684,698,614
2009
$ 184,601,048
79,739,405
361,495,433
14,575,315
41,532,552
$ 681,943,753
The increase of $2.8 million in 2010 is made up of large capital projects such as Rainier Ave.,
Strander Blvd., Lake Washington Trail, Earlington Sewer Replacement and Stonegate/Summerwind
wastewater improvements. More detail about the City's Capital Assets can be found in Note 5 to
the financial statements.
Debt Administration
As shown in Table 4, the City's total outstanding debt at December 31, 2010, was $119.2 million.
This was a net decrease (new issues less principal payments and refundings) of $7.6 million.
General Obligation Bonds
Revenue Bonds
Other Long -Term Debt
Total
TABLE 4
LONG-TERM DEBT
Governmental Activities
2010 2009
$ 36,425,000 $ 38,480,000
Business -Type Activities Total
2010 2009 2010
- - 36,955,000
38,511,875 38,973,547 7,357,566
$ 74,936,875 $ 77,453,547 $ 44,312,566
$ - $ 36,425,000 $
41,110,000 36,955,000
8,284,983 45,869,441 _
$ 49,394,983 $ 119,249,441 $
2009
38,480,000
41,110,000
47,258,530
Management's Discussion and Analysis, 3-12
2010 Comprehensive Annual Financial Report City of Renton, Washington
The City was able to reduce aggregate debt service payments and realize present value gains by
refunding 2001 General Obligation Bonds and calling 1999 Golf Course Revenue Bonds. The Golf
Course Revenue Bonds were replaced with an interfund loan from the General Fund which served
to reduce interest costs to the Golf Course Fund and increase investment earnings to the General
Fund. In addition, Valley Communications Center refunded their 2000 General Obligation Bonds
in 2010 which will reduce the City's debt service obligation. More detailed information about the
City's long-term debt can be found in Note 13 to the financial statements.
FUTURE YEAR'S BUDGETARY IMPACTS
The City's 2011-2012 adopted budget is the first biennial budget for the City of Renton. For the
2011-2012 biennium, the adopted total revenue is $440 million against total expenditures of $445
million. The revenue shows a decrease of 2.9% from the combined 2009-2010 adopted budget
levels and the expenditures reflect a decrease of 4.2% from the adopted 2009-2010 budgeted
expenditures. In addition to implementing a biennial budget, the City also formed a Community
Budget Advisory Group comprised of local residents, business owners, and community leaders.
This group was asked several questions in order to solicit their suggestions on opportunities for
greater efficiencies and costs savings. They were able to provide the City with a number of
valuable recommendations, some of which have been included in the 2011-2012 adopted budget.
Though we saw some signs of recovery toward the end of 2009 and a promising start in early
2010, the recovery slowed to a crawl during the second quarter of 2010. Growth projections have
been repeatedly scaled back. Job growth was insufficient to reduce the unemployment rate.
Housing starts and permits reversed their upward trends. Our revenues continue to be lower
than anticipated. In preparing this budget, our preliminary projections indicated that maintaining
current levels of services in General Government Operations would result in a deficit of $2 million
in this budget period. We have made the necessary adjustments to bring our expenditures in line
with our revenue projections through the next biennium. Every department made difficult
choices, reducing or reorganizing services while minimizing adverse impacts to our citizens. In
addition, the 2011-2012 adopted budget does not restore any of the service reductions made
during 2010 even though some of these cuts and reductions cannot be sustained in the long run.
The City is committed to continuing efforts to evaluate the way we do business. We will continue
to right -size the structure of government. We will continue to engage our employees to help find
innovative and effective ways of serving our citizens. We will continue to practice fiscal
responsibility and reduce our debt. And we will continue to work with our labor groups to find
sustainable ways of managing our labor costs in order for us to continue to provide quality
services to our citizens with fewer dollars.
Management's Discussion and Analysis, 3-13
2010 Comprehensive Annual Financial Report City of Renton, Washington
The City continues to benefit from progressive economic development activities even as the
country continues to struggle through the worst economic recession in history.
• The Landing is a master planning development area on land previously owned by Boeing.
The development has added more than 900 residential units and 600,000 square feet of
retail, including a major entertainment district to the city's core. Restaurants and stores
at the Landing have enjoyed double-digit sales growth over the previous year. Several
new tenants have come in including Dick's Sporting Goods and Marshalls.
• Harrington Square, a very impressive apartment complex celebrated its grand opening in
the Highlands/Sunset area.
• A number of new companies located in Renton this year that resulted in over 500 new
local jobs for our community and new businesses opened in the Downtown, Cascade
Village, Renton Village, Southport and Highlands areas of the City. Downtown Renton
continues to attract new businesses including several new restaurants, Pike Place Bakery, a
new children's clothing store and a book store.
• The Farmers Market continues to enjoy record attendance — over 4,000 people every week
and 58 registered vendors. The market is planning to expand to Sundays at Valley Medical
Center in 2011.
• The Seahawks Training Camp brought over 22,000 people to Renton during the summer,
many who shopped and dined in our community.
• Private investors purchased the 21 acres south of the Landing and we are looking forward
to a significant redevelopment of this area.
• The City signed a historic agreement with Boeing for a 20 -year renewed lease for the
Renton Municipal Airport. Boeing continues to have over 2,000 orders worth more than
$157 billion, and announced it intends to increase production rates to 38 airplanes per
month by 2013.
• Waterways Cruises has been successfully operating their unique sightseeing and dining
cruises from Southport in Renton, bringing over 7,000 visitors to our community in its first
year of operation.
• The Compass Regional Veteran's Center opened in downtown Renton. This attractive four-
story building occupies nearly 60,000 square feet and offers 58 units of affordable housing
for veterans and their families and 8,500 square feet of retail space.
For more information regarding future year's budgetary impacts, please refer to the Transmittal
Letter within this document under: Factors Affecting Financial Condition - Economic Condition.
REQUESTS FOR FINANCIAL INFORMATION
This financial report is designed to provide our citizens, creditors, investors, and others interested
in the City's finances with a general overview of the City's finances and to show the City's
accountability for financial resources it receives. If you have any questions about this report or
need additional information, please contact Iwen Wang, Finance and Information Technology
Administrator, 1055 South Grady Way, Renton, WA 98057 or visit our web site at
www.rentonwa.gov.
Management's Discussion and Analysis, 3-14
2010 Comprehensive Annual Financial Report
ASSETS
Cash and cash equivalents
Cash with fiscal agent
Investments at fair value
Receivables (net of allowance
for uncollectibles)
Internal balances
Inventories
Prepayments
Other non-current assets
Intangible assets (net)
Land
Construction in progress
Capital assets (net of accumulated
depreciation)
Total assets
LIABILITIES
Accounts payable and
other liabilities
Interest payable
Unearned revenue
Non-current liabilities:
Due within one year
Due in more than one year
Total liabilities
NET ASSETS
Investment in capital assets,
net of related debt
Restricted for:
Judicial
Public safety
Transportation
Economic environment
Cuture and recreation
Debt service
Prepaid Items
Capital
OPEB liability
Unrestricted
Total net assets
City of Renton, Washington
STATEMENT OF NET ASSETS
December 31, 2010
PRIMARY GOVERNMENT
GOVERNMENTAL BUSINESS -TYPE
AI" I% IM CC A!` IIIMCC Tn1 Al
$ 28,464,089 $
8,179,820 $
36,643,909
106,404
-
106,404
24,614,544
7,760,049
32,374,593
14,344,293
6,821,081
21,165,374
1,876,456
(1,876,456)
-
-
316,538
316,538
266,191
-
266,191
40,539,289
1,675,732
42,215,021
1,133,843
832,123
1,965,966
178,817,027
6,165,321
184,982,348
24,808,053
8,018,629
32,826,682
221,671,458
243,252,160
464,923,618
536,641,647
281,144,997
817,786,644
10,536,828 3,922,626 14,459,454
228,758 171,760 400,518
2,249,158 306,981 2,556,139
5,614,814 3,092,699 8,707,513
77,420,280 41,847,994 119,268,274
96,049,838 49,342,060 145,391,898
383,016,494
214,001,083
597,017,577
45,526
-
45,526
2,583,383
2,583,383
1,119,849
1,119,849
64,016
64,016
1,523,421
1,523,421
1,009,555
1,009,555
8,000
-
8,000
1,369,720
58,747
1,428,467
3,940,631
-
3,940,631
45,911,214
17,743,107
63,654,321
$ 440,591,809 $
231,802,937 $
672,394,746
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-1
2010 Comprehensive Annual Financial Report
STATEMENT OF ACTIVITIES
For the Year Ended December 31, 2010
Page 1 of 2
City of Renton, Washington
Business -type activities
Waterworks utility
36,574,469 35,545,308
3,067
PROGRAM REVENUES
Airport
1,993,202 2,039,477
-
9,937
OPERATING
14,826,315 15,383,667
122,752
-
CHARGES FOR
GRANTS AND
CAPITAL GRANTS
FUNCTIONS/PROGRAMS
EXPENSES
SERVICES
CONTRIBUTIONS
& CONTRIBUTIONS
Primary government:
161,989,761 70,959,560
10,645,970
10,159,292
Governmental activities:
Taxes:
General government
$ 10,018,501 $
2,363,280
$ 1,191,644 $
903,240
Judicial
2,402,692
3,706,436
43,930
-
Public safety
50,657,146
761,835
6,714,870
-
Physical environment
2,425,279
1,233,424
664
50,000
Transportation
16,903,492
3,111,259
1,881,745
7,892,910
Economic environment
7,363,396
2,419,488
591,346
-
Health and human services
882,740
-
-
-
Culture and recreation
13,518,312
2,299,635
95,952
256,181
Interest on long-term debt
2,127,347
-
-
-
Total governmental activities
106,298,905
15,895,357
10,520,151
9,102,331
Business -type activities
Waterworks utility
36,574,469 35,545,308
3,067
1,047,024
Airport
1,993,202 2,039,477
-
9,937
Solid waste utility
14,826,315 15,383,667
122,752
-
Golf course
2,296,870 2,095,751
-
-
Total business -type activities
55,690,856 55,064,203
125,819
1,056,961
Total primary government
161,989,761 70,959,560
10,645,970
10,159,292
General revenues:
Taxes:
Property taxes
Retail sales taxes
Business taxes
Excise taxes
Penalties and interest
Interest and investment earnings
Miscellaneous
Transfers
Total general revenues and transfers
Change in net assets
Net assets - beginning
Prior Period Adjustment
Net assets - ending
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-2
2010 Comprehensive Annual Financial Report
STATEMENT OF ACTIVITIES
For the Year Ended December 31, 2010
Page 2 of 2
NET (EXPENSE) REVENUE AND CHANGES IN NET ASSETS
PRIMARY GOVERNMENT
GOVERNMENTAL
BUSINESS -TYPE
ACTIVITIES
ACTIVITIES
TOTAL
$ (5,560,337)
$
(5,560,337)
1,347,674
1,347,674
(43,180,441)
(43,180,441)
(1,141,191)
(1,141,191)
(4,017,578)
(4,017,578)
(4,352,562)
(4,352,562)
(882,740)
(882,740)
(10,866,544)
(10,866,544)
(2,127,347)
(2,127,347)
(70,781,066)
(70,781,066)
20,930
20,930
56,212
56,212
680,104
680,104
(201,119)
(201,119)
556,127
556,127
(70,781,066)
556,127
(70,224,939)
32,586,884
32,586,884
21,591,375
21,591,375
16,883,888
16,883,888
4,351,914
4,351,914
276
-
276
794,793
224,974
1,019,767
82,352
172,663
255,015
(17,095)
17,095
741,399 (89,753) 651,646
$ 440,591,809 $ 231,802,937 $ 672,394,746
City of Renton, Washington
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-3
2010 Comprehensive Annual Financial Report
ASSETS
Cash & cash equivalents
Cash with fiscal agent
Investments
Receivables (net of allowances)
Taxes
Customer accounts
Accrued interest & penalty
Special assessments
Interfund loans receivable
Due from other funds
Due from other governmental units
Prepayments
Advances to other funds
TOTAL ASSETS
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2010
Page 1 of 2
MUNICIPAL
FACILITIES CAPITAL
GENERAL CIP IMPROVEMENT
City of Renton, Washington
OTHER TOTAL
GOVERNMENTAL GOVERNMENTAL
FUNDS FUNDS
$ 6,146,910 $
3,232,243 $
2,266,256 $
3,858,500 $
15,503,909
-
-
-
106,404
106,404
5,318,401
2,794,587
1,959,579
3,336,015
13,408,582
2,995,738
-
-
-
2,995,738
3,237,276
-
413
54,823
3,292,512
14,441
6,244
3,717
8,973
33,375
-
-
-
21,555
21,555
358,517
-
358,517
42,517
-
-
163,067
205,584
4,499,497
5,436
926,007
2,330,061
7,761,001
8,000
-
-
-
8,000
1,516,483
-
-
1,516,483
$ 24,137,780 $
6,038,510 $
5,155,972 $
9,879,398 $
45,211,660
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-4
2010 Comprehensive Annual Financial Report
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable
Taxes payable
Retainage payable
Due to other funds
Custodial accounts
Deposits
Deferred revenue
Accrued employee wages and leave payable
Total liabilities
Fund balances
Reserved for:
Encumbrances
Continuing appropriations
Debt service
Loans/Advances receivable
Prepaid items
Unreserved, designated for:
Capital purposes
Operating reserves and carryforwards
Unreserved, undesignated reported in:
General fund
Special revenue funds
Total fund balances
TOTAL LIABILITIES AND FUND BALANCES
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2010
Page 2 of 2
MUNICIPAL
FACILITIES
GENERAL CIP
City of Renton, Washington
OTHER TOTAL
CAPITAL GOVERNMENTAL GOVERNMENTAL
IMPROVEMENT FUNDS FUNDS
$ 1,465,115 $
139,654 $
822,910 $
26,869 $
2,454,548
14,364
-
-
21,737
36,101
-
66,404
98,856
-
165,260
925,165
-
41,060
-
966,225
30,877
-
36,436
67,313
34,739
-
-
34,739
3,675,204
15,958
2,249,981
5,941,143
3,503,327
-
-
7,561
3,510,888
9,648,791
206,058
978,784
2,342,584
13,176,217
-
16,484
1,349,811
3,425
1,369,720
944,086
-
-
4,392,109
5,336,195
-
1,009,555
1,009,555
1,516,483
-
1,516,483
8,000
-
-
-
8,000
-
5,815,968
2,827,377
58,498
8,701,843
11,972,825
-
-
1,257
11,974,082
47,595
-
47,595
-
-
-
2,071,970
2,071,970
14,488,989
5,832,452
4,177,188
7,536,814
32,035,443
$ 24,137,780 $
6,038,510 $
5,155,972 $
9,879,398 $
45,211,660
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-5
2010 Comprehensive Annual Financial Report City of Renton, Washington
RECONCILIATION OF THE BALANCE SHEET
TO THE STATEMENT OF NET ASSETS
December 31, 2010
FUND BALANCES - TOTAL GOVERNMENTAL FUNDS $ 32,035,443
Amounts reported for governmental activities in the statement of net assets are
different because:
Capital assets and other non-current assets used in governmental activities
are not financial resources and therefore are not reported in the governmental funds
Other non-current assets 40,517,733
Intangible assets (net of accumulated amortization) 1,133,843
Capital assets (net of accumulated depreciation) 425,296,538
The focus of governmental funds is on short-term financing, assets are
offset by deferred revenue and are not included in fund balances.
Deferred revenue 3,691,985
Certain liabilities (such as bonds payable and accrued expenses) are not due and
payable in the current period and therefore are not reported in the governmental funds
Interest payable (228,758)
Long-term liabilities (83,035,094)
Internal service funds are used by management to charge the costs of
certain activities to individual funds.
Total assets and liabilities of the internal service funds that are reported with
governmental activities, less amounts reported above. 21,180,119
NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 440,591,809
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-6
2010 Comprehensive Annual Financial Report City of Renton, Washington
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 1 of 1
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-7
MUNICIPAL
OTHER
TOTAL
FACILITIES
CAPITAL
GOVERNMENTAL
GOVERNMENTAL
GENERAL
CIP
IMPROVEMENT
FUNDS
FUNDS
REVENUES
Taxes
$ 69,857,863 $
559,902 $
- $
4,805,985 $
75,223,750
Licenses and permits
2,235,637
-
1,691,145
48,659
3,975,441
Intergovernmental revenues
9,484,755
10,833
5,162,255
1,545,656
16,203,499
Charges for services
3,794,168
-
-
841,334
4,635,502
Fines and forfeits
3,439,926
-
3,439,926
Interfund revenues
3,244,928
-
-
-
3,244,928
Contributions
133,806
56,912
2,441,429
320,502
2,952,649
Investment earnings
357,417
75,706
36,436
80,575
550,134
Miscellaneous revenues
76,893
721
-
4,739
82,353
TOTAL REVENUES
92,625,393
704,074
9,331,265
7,647,450
110,308,182
EXPENDITURES
Current:
General government
9,853,746
6,093
-
672,698
10,532,537
Judicial
2,402,692
-
-
2,402,692
Public safety
48,904,653
48,904,653
Physical environment
2,345,459
-
2,345,459
Transportation
8,499,342
-
2,249,051
-
10,748,393
Economic environment
6,531,155
380,693
-
293,652
7,205,500
Health and human services
787,768
-
-
787,768
Culture and recreation
11,857,457
403,026
-
50,047
12,310,530
Capital outlay
334,426
1,218,554
9,837,461
825,711
12,216,152
Debt service:
Principal payments
-
-
-
2,682,672
2,682,672
Interest and fiscal charges
-
-
-
2,231,823
2,231,823
TOTAL EXPENDITURES
91,516,698
2,008,366
12,086,512
6,756,603
112,368,179
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
1,108,695
(1,304,292)
(2,755,247)
890,847
(2,059,997)
OTHER FINANCING SOURCES (USES)
Transfer in
13,058
1,880,000
652,601
2,545,659
Transfer (out)
(119,491)
(290,238)
(13,261)
(2,399,340)
(2,822,330)
Refunding bonds issued
6,170,000
6,170,000
Premium on general obligation debt
443,484
443,484
Payment to refunded bond escrow agent
-
(6,406,088)
(6,406,088)
TOTAL OTHER FINANCE SOURCES (USES)
(106,433)
(290,238)
1,866,739
(1,539,343)
(69,275)
NET CHANGE IN FUND BALANCE
1,002,262
(1,594,530)
(888,508)
(648,496)
(2,129,272)
FUND BALANCE JANUARY 1
13,486,727
7,426,982
5,270,532
8,185,310
34,369,551
Prior Period Adjustment
-
-
(204,836)
-
(204,836)
FUND BALANCES JANUARY 1 RESTATED
13,486,727
7,426,982
5,065,696
8,185,310
34,164,715
FUND BALANCE DECEMBER 31
$ 14,488,989 $
5,832,452 $
4,177,188 $
7,536,814 $
32,035,443
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-7
2010 Comprehensive Annual Financial Report City of Renton, Washington
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
GOVERNMENTAL ACTIVITIES
For the Year Ended December 31, 2010
NET CHANGES IN FUND BALANCES -TOTAL GOVERNMENTAL FUNDS $ (2,129,272)
Amounts reported for governmental activities in the statement
of activities are different because:
Governmental funds report capital outlays as expenditures. However, in the
statement of activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense. This is the
amount by which capital outlays exceeded depreciation expense in the
current period. 3,108,716
Revenues in the statement of activities that do not provide current financial resources
are not reported as revenue in the funds. (340,416)
The issuance of long-term debt (e.g., bonds, leases) provides current financial
resources to governmental funds, while the repayment of the principal of
long-term debt consumes the current financial resources of governmental
funds. Neither transaction, however, has any effect on net assets. Also,
governmental funds report the effect of issuance costs, premiums, discounts,
and similar items when debt is first issued, whereas these amounts are deferrec
and amortized in the statement of activities. This amount is the net effect of
these differences in the treatment of long-term debt and related items 1,788,468
Increase (decrease) in other non-current assets which include the Net Pension
Asset and Investments in Joint Ventures which are not reported in governmental
funds. 384,679
Internal service funds are used by management to charge the costs of certain
activities to individual funds. The net revenue (expense) of the internal service
funds are reported with governmental activities. 2,681,146
CHANGES IN NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 5,493,321
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-8
2010 Comprehensive Annual Financial Report
ASSETS
Current assets:
Cash & cash equivalents
Investments at fair value
Receivables (net of allowances):
Customer accounts
Special assessments
Interest - investments
Due from other funds
Interfund loan receivable
Due from other governmental units
Inventory of materials and supplies
Prepayments
Total current assets
Noncurrent assets:
Special assessments deferred
Advances to other funds
Capital assets (net)
Intangible assets (net)
Deferred charges and other assets
Total noncurrent assets
TOTAL ASSETS
STATEMENT OF N ET ASSETS
PROPRIETARY FUNDS
December 31, 2010
Page 1 of 2
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
OTHER TOTAL
WATERWORKS SOLID ENTERPRISE ENTERPRISE
UTILITY WASTE FUNDS FUNDS
City of Renton, Washington
GOVERNMENTAL
ACTIVITIES
INTERNAL SERVICE
FUNDS
$ 5,982,067 $
856,635 $
1,341,118 $
8,179,820 $
12,960,179
5,859,767
740,717
1,159,564
7,760,048
11,205,962
4,590,615
1,576,884
195,679
6,363,178
44,890
168,020
-
-
168,020
-
15,748
1,456
2,696
19,900
23,321
-
-
-
-
762,098
91,679
-
-
91,679
-
127,806
122,607
19,569
269,982
193,460
266,783
-
49,755
316,538
-
-
-
-
-
258,191
17,102,485
3,298,299
2,768,381
23,169,165
25,448,101
1,109,710
-
-
1,109,710
-
294,743
-
294,743
-
235,561,846
21,874,262
257,436,108
7,496,720
832,123
-
832,123
508,809
566,022
-
566,022
-
238,364,444
21,874,262
260,238,706
8,005,529
$ 255,466,929 $
3,298,299 $
24,642,643 $
283,407,871 $
33,453,630
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-9
2010 Comprehensive Annual Financial Report
LIABILITIES
Current liabilities:
Accounts payable
Claims incurred but not reported
Retainage payable
Due to other funds
Interfund loans payable
Due to other governments
Accrued interest payable
Accrued employee wages and benefits payable
Accrued taxes payable
Custodial accounts
Revenue bonds payable
Operating leases payable
Total current liabilities
Long-term liabilities:
Revenue bonds payable
Unamortized premium on revenue bonds
Unamortized discount on revenue bonds
Deferred amount on revenue bond refunding
Advances from other funds
Deferred revenue
Accrued employee wages and benefits payable
Public works trust fund loan payable
Total long-term liabilities
TOTAL LIABILITIES
NET ASSETS
Investment in capital assets,
net of related debt
Restricted
Unrestricted
TOTAL NET ASSETS
STATEMENT OF NET ASSETS
PROPRIETARY FUNDS
December 31, 2010
Page 2 of 2
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
WATERWORKS SOLID
UTILITY WASTE
City of Renton, Washington
OTHER TOTAL
ENTERPRISE ENTERPRISE
FUNDS FUNDS
GOVERNMENTAL
ACTIVITIES
INTERNAL SERVICE
FUNDS
$ 1,843,744 $
985,692 $
237,222 $
3,066,658 $
637,196
-
-
-
-
3,293,490
142,563
7,862
150,425
9,259
1,456
-
11456
-
-
450,196
450,196
904,291
-
904,291
164,867
-
6,893
171,760
-
368,025
22,665
83,047
473,737
318,565
54,909
62,522
78,312
195,743
9,461
27,239
-
157,170
184,409
11
2,030,000
-
2,030,000
-
-
-
10,059
10,059
-
5,537,094
1,070,879
1,030,761
7,638,734
4,267,982
34,925,000
-
-
34,925,000
-
570,588
570,588
(127,900)
(127,900)
(478,049)
-
(478,049)
-
1,811,225
1,811,225
270,199
36,782
306,981
-
418,030
19,833
77,274
515,137
303,343
6,443,218
-
-
6,443,218
-
42,021,086
19,833
1,925,281
43,966,200
303,343
47,558,180
1,090,712
2,956,042
51,604,934
4,571,325
192,126,821 21,874,262 214,001,083 8,005,529
- 58,747 58,747 3,940,631
15,781,928 2,207,587 (246,408) 17,743,107 16,936,145
$ 207,908,749 $ 2,207,587 $ 21,686,601 $ 231,802,937 $ 28,882,305
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-10
2010 Comprehensive Annual Financial Report City of Renton, Washington
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
For the Year Ended December 31, 2010
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-11
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
GOVERNMENTAL
OTHER
TOTAL
ACTIVITIES
WATERWORKS
SOLID
ENTERPRISE
ENTERPRISE
INTERNAL SERVICE
UTILITY
WASTE
FUNDS
FUNDS
FUNDS
OPERATING REVENUES:
Charges for services
$ 34,588,655 $
15,381,698 $
4,135,228 $
54,105,581 $
15,980,453
Interdepartmental services
956,652
1,969
-
958,621
-
Other services
57,718
-
-
57,718
12,734,832
TOTAL OPERATING REVENUES
35,603,025
15,383,667
4,135,228
55,121,920
28,715,285
OPERATING EXPENSES:
Operations and maintenance
20,490,553
12,430,031
2,512,765
35,433,349
23,707,565
Administrative and general
5,056,054
411,008
591,424
6,058,486
641,960
Taxes
2,636,882
1,985,277
12,357
4,634,516
4,237
Depreciation
6,846,195
-
836,405
7,682,600
2,029,984
TOTAL OPERATING EXPENSES
35,029,684
14,826,316
3,952,951
53,808,951
26,383,746
OPERATING INCOME (LOSS)
573,341
557,351
182,277
1,312,969
2,331,539
NON-OPERATING REVENUES(EXPENSES):
Intergovernmental revenues
3,067
122,752
-
125,819
146,519
Investment earnings
187,845
13,540
23,593
224,978
244,660
Gain (loss) on sale of capital assets
45,135
-
-
45,135
15,000
Other non-operating revenues (expenses)
54,692
1,696
13,422
69,810
650,583
Interest expense
(1,453,023)
-
(310,411)
(1,763,434)
-
Amortization of debt discount and expense
(91,762)
-
(26,712)
(118,474)
-
NON-OPERATING REVENUE NET OF EXPENSE
(1,254,046)
137,988
(300,108)
(1,416,166)
1,056,762
INCOME (LOSS) BEFORE CONTRIBUTIONS
AND TRANSFERS
(680,705)
695,339
(117,831)
(103,197)
3,388,301
Capital contributions
1,047,024
-
9,937
1,056,961
177,107
Transfers in
17,095
-
17,095
163,985
Transfers (out)
-
-
-
(17,095)
CHANGE IN NET ASSETS
383,414
695,339
(107,894)
970,859
3,712,298
NET ASSETS, JANUARY 1
207,202,978
1,512,248
22,206,605
230,921,831
26,201,161
Prior Year Adjustment
322,357
-
(412,110)
(89,753)
(1,031,154)
NET ASSETS, JANUARY 1 RESTATED
207,525,335
1,512,248
21,794,495
230,832,078
25,170,007
NET ASSETS, DECEMBER 31
$ 207,908,749 $
2,207,587 $
21,686,601 $
231,802,937 $
28,882,305
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-11
2010 Comprehensive Annual Financial Report City of Renton, Washington
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For the Year Ended December 31, 2010
Page 1 of 2
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-12
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
GOVERNMENTAL
OTHER
TOTAL
ACTIVITIES
WATERWORKS
SOLID
ENTERPRISE
ENTERPRISE
INTERNAL SERVICE
UTILITY
WASTE
FUNDS
FUNDS
FUNDS
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash received for services
$ 33,515,397 $
14,992,142 $
3,970,912 $
52,478,451 $
-
Cash received from other funds for services
732,385
-
-
732,385
28,666,875
Cash paid to suppliers for goods & services
(26,229,900)
(13,170,688)
(3,019,407)
(42,419,995)
(19,364,216)
Cash paid to other funds for goods & services
384,777
-
384,777
Cash paid to employees
(1,096)
1,440
(1,954)
(1,610)
(2,986,363)
Other operating receipts
-
(570,891)
88,673
(482,218)
(2,241,561)
Other non-operating receipts
99,827
-
(276,983)
(177,156)
-
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
8,501,390
1,252,003
761,241
10,514,634
4,074,735
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers to/from other funds
17,095
-
-
17,095
146,890
NET CASH PROVIDED (USED) BY
NONCAPITAL FINANCING ACTIVITIES
17,095 $
17,095
146,890
CASH FLOWS FROM CAPITAL
FINANCING ACTIVITIES:
Acquisition & construction of capital assets
(6,670,701)
(488,727)
(7,159,428)
(1,280,145)
Capital contributions
-
-
177,107
Capital grants
3,067
-
3,067
-
Principal payments on debt
(2,859,291)
93,296
(2,765,995)
Interest payments on debt
(1,409,413)
(330,932)
(1,740,345)
NET CASH PROVIDED (USED) BY
CAPITAL FINANCING ACTIVITIES
(10,936,338)
(726,363)
(11,662,701)
(1,103,038)
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of investments
100,260
100,260
Payments for investments
-
(603,214)
(129,229)
(732,443)
(2,416,013)
Interest on investments
385,392
25,087
66,017
476,496
574,603
NET CASH PROVIDED (USED) BY
INVESTING ACTIVITIES
485,652
(578,127)
(63,212)
(155,687)
(1,841,410)
NET INCREASE (DECREASE) IN CASH &
CASH EQUIVALENTS
(1,932,201)
673,876
(28,334)
(1,286,659)
1,277,177
CASH & CASH EQUIVALENTS, JANUARY 1
7,914,268
182,759
928,094
9,025,121
11,683,002
RESTRICTED CASH & CASH EQUIVALENTS, JANUARY 1
-
-
441,358
441,358
-
TOTAL CASH & CASH EQUIVALENTS, DECEMBER 31
$ 5,982,067 $
856,635 $
1,341,118 $
8,179,820 $
12,960,179
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-12
2010 Comprehensive Annual Financial Report
RECONCILIATION OF OPERATING INCOME
(LOSS) TO NET CASH PROVIDED (USED)
BY OPERATING ACTIVITIES:
Operating income (loss)
Adjustments to reconcile operating income
(loss) to net cash provided (used)
by operating activities:
Depreciation & amortization of
deferred charges
Other non-operating revenue
(Increase) decrease in
accounts receivable
(Increase) decrease in due from
other funds/governmental units
(Increase) decrease in inventory
& prepaid items
Increase(decrease)in vouchers
retainage payable
Increase(decrease)in due to
other funds/governmental units
Increase(decrease)in payables
& other short-term liabilities
Increase(decrease)in
customer deposits
Increase(decrease)in
deferred revenues
Increase(decrease)in accrued
employee leave benefits
Total adjustments
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
NONCASH INVESTING, CAPITAL, AND
FINANCING ACTIVITIES
Prior Period Adjustment
Contributions of capital assets
Net amort. bond prem. discount & bond issue costs
Depreciation
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For the Year Ended December 31, 2010
Page 2 of 2
WATERWORKS
UTILITY
City of Renton, Washington
BUSINESS -TYPE ACTIVITIES
GOVERNMENTAL
ENTERPRISE FUNDS
ACTIVITIES
OTHER
TOTAL INTERNAL
SOLID ENTERPRISE
ENTERPRISE SERVICE
WASTE FUNDS
FUNDS FUNDS
$ 573,341 $ 557,351 $ 182,277 $ 1,312,969 $ 2,331,539
6,846,195
-
836,405
7,682,600
2,029,984
99,827
124,448
(313,842)
(89,567)
812,102
(1,130,976)
(391,525)
(156,040)
(1,678,541)
(29,026)
159,054
(23,099)
125,532
261,487
(943,653)
228,520
(10,127)
218,393
8,653
102,799
96,080
198,879
(552,473)
1,456
-
-
1,456
-
1,501,625
983,388
15,071
2,500,084
3,412,625
-
-
18,189
18,189
-
120,645
-
(30,350)
90,295
(1,096)
1,440
(1,954)
(1,610)
(2,995,016)
7,928,049
694,652
578,964
9,201,665
1,743,196
$ 8,501,390 $
1,252,003 $
761,241 $
10,514,634 $
4,074,735
$ 322,357 $
- $
(412,110) $
(89,753) $
(1,031,154)
1,047,024
9,937
1,056,961
91,762
26,712
118,474
-
6,846,195
836,405
7,682,600
2,029,984
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-13
2010 Comprehensive Annual Financial Report
City of Renton, Washington
STATEMENT OF FIDUCIARY NET ASSETS
FIDUCIARY FUNDS
December 31, 2010
ASSETS
Cash & cash equivalents
Investments at fair value:
Federal National Mortgage Association
US Treasury Strips
Certificates of deposit
Receivables (net of allowances)
Interest on investments
TOTAL ASSETS
LIABILITIES
Vouchers & contracts payable
Deposits payable
TOTAL LIABILITIES
NET ASSETS
Held in trust for pension benefits
& other purposes
PENSION TRUST AGENCY
FIREFIGHTER'S SPECIAL
PENSION DEPOSITS
$ 846,644 $ 638,311
125,633 -
3,825,958
732,053
2,959,834 -
8,490,123 638,311
$ 8,490,123 $
7,951
630,360
638,311
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-14
2010 Comprehensive Annual Financial Report
STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS
FIREMEN'S PENSION FUND
For the Year Ended December 31, 2010
DEDUCTIONS:
Benefit payments 364,831
Administrative and general 469
TOTAL DEDUCTIONS 365,300
NET INCREASE (DECREASE) 398,097
NET ASSETS - JANUARY 1 8,092,026
NET ASSETS - DECEMBER 31 $ 8,490,123
City of Renton, Washington
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-15
PENSION TRUST
FIREMEN'S
PENSION
ADDITIONS:
Other contributions:
Fire insurance premiums transferred in
$ 112,686
Investment income
Investment interest
365,188
Net increase / (decrease) in the fair value of investments
285,523
TOTAL ADDITIONS
763,397
DEDUCTIONS:
Benefit payments 364,831
Administrative and general 469
TOTAL DEDUCTIONS 365,300
NET INCREASE (DECREASE) 398,097
NET ASSETS - JANUARY 1 8,092,026
NET ASSETS - DECEMBER 31 $ 8,490,123
City of Renton, Washington
The notes to the financial statements are an integral part of this statement. Basic Financial Statements, 4-15
2010 Comprehensive Annual Financial Report City of Renton, Washington
NOTES TO THE FINANCIAL STATEMENTS
January 1, 2010 through December 31, 2010
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Renton was incorporated on September 6, 1901, and operates under the laws of the
State of Washington applicable to a Non -Charter code city with a Mayor/Council form of
government. A full-time Mayor and seven part-time Council members serve the City, all elected
at large to four-year terms. The City provides the full range of municipal services authorized by
state statues, together with a Municipal Airport, a Waterworks Utility, a Solid Waste Utility, and
a Municipal Golf Course.
The accounting and reporting policies of the City related to the funds included in the
accompanying financial statements conform to generally accepted accounting principles (GAAP)
applicable to state and local governments. GAAP for local governments include those principles
prescribed by the Governmental Accounting Standards Board (GASB), the Financial Accounting
Standards Board (FASB), when applicable, and the American Institute of Certified Public
Accountants (AICPA) pronouncements that have been made applicable by GASB Statements or
Interpretations.
In accordance with GASB Statement 20, the City has not applied to its enterprise activities FASB
Statements and Interpretations, Accounting Principles Board opinions, and Accounting
Research Bulletins of the Committee of Accounting Procedure issued after November 30, 1989.
Effective for Fiscal Year 2010 reporting, the City implemented the following new accounting and
reporting standards issued by the Governmental Accounting Standards Board (GASB):
GASB Statement No. 51- Accounting and Financial Reporting for Intangible Assets -
This Statement establishes accounting and financial reporting requirements for
intangible assets including easements, water rights, timber rights, patents, trademarks,
and computer software. The Statement requires that all intangible assets not specifically
excluded by its scope provisions be classified as capital assets. This statement also
requires that an intangible asset be recognized in the Statement of Net Assets only if it is
considered identifiable.
GASB Statement No. 53 - Accounting and Financial Reporting for Derivative Instruments -
This statement establishes accounting and financial reporting requirements for
derivative instruments entered into by state and local governments. This statement
requires the City to report derivative instruments at fair value as assets or liabilities in
the financial statements and to disclose a summary of derivative instrument activity as
well as the objectives, significant terms, and risks associated with derivative
instruments.
Basic Financial Statements, 4-16
2010 Comprehensive Annual Financial Report
City of Renton, Washington
GASB Statement No. 58 - Accounting and Financial Reporting for Chapter 9
Bankruptcies -This Statement establishes accounting and financial reporting guidance for
governments that have petitioned for protection from creditors by filing for bankruptcy
under Chapter 9 of the United States Bankruptcy Code.
A. REPORTING ENTITY
As required by GAAP the City's financial statements present the City of Renton — the primary
government.
The City of Renton's Mayor appoints the Governing Board for the Renton Housing Authority,
which is not considered a component unit of the City. The City is under no obligation to
subsidize, nor does it exercise any other prerequisite for inclusion.
The City of Renton has no component units (either blended or discretely presented) included in
these statements.
B. BASIC FINANCIAL STATEMENTS— GASB 34 PRESENTATION
The City's basic financial statements include both government -wide (reporting the City as a
whole) and fund financial statements (reporting the City's major funds). Both the government -
wide and fund financial statements categorize primary activities as either government or
business -type.
GOVERNMENT -WIDE STATEMENTS
In the Government -wide Statement of Net Assets, both the governmental and business -type
activities columns (a) are presented on a consolidated basis by column, and (b) are reported on
a full accrual, economic resource basis, which recognized all long-term assets and receivables as
well as long-term debt and obligations. The City's net assets are reported in three parts —
investment in capital assets, net of related debt; restricted net assets; and unrestricted net
assets. The City first utilizes restricted resources to finance qualifying activities.
The Government -wide Statement of Activities reports both the gross and net cost of each of the
City's functions and business -type activities (general government, judicial, public safety,
physical environment, transportation, economic environment, health and human services,
culture and recreation, waterworks utility, airport, solid waste utility, and golf course). General
government revenues (property taxes, timber taxes, retail sales and use taxes, business taxes,
excise taxes, and other taxes) also support the functions. The Statement of Activities reduces
gross expenses (including depreciation) by related program revenues, operating and capital
grants and contributions. Program revenues must be directly associated with the function or a
business -type activity. Operating grants include operating specific and discretionary (either
operating or capital) grants while the capital grants column reflects capital specific grants.
General revenues normally cover the net cost, by function or business -type activity.
Basic Financial Statements, 4-17
2010 Comprehensive Annual Financial Report City of Renton, Washington
The Government -wide focus is more on the sustainability of the City as an entity and the
change in the City's net assets resulting from the current year's activities.
The City's fiduciary funds are presented in the fund financial statements. Since the assets are
being held for the benefit of a third party and cannot be used for obligations of the City, they
are not included in the Government -wide statements.
FUND FINANCIAL STATEMENTS
In the fund financial statements, the financial transactions are recorded in individual funds,
each accounted for by a separate set of self -balancing accounts that comprise assets, liabilities,
reserves, fund equity, revenues, and expenditures or expenses. The presentation is by major
funds in either the governmental or business -type categories. GASB Statement 34 sets forth
the minimum criteria for the determination of a major fund. The non -major funds are
combined in the fund financial statements and are detailed in the combining section.
The governmental major fund statements in the fund financial statement are presented on
current financial resources and modified accrual basis of accounting. Since governmental fund
statements are presented on a different measurement focus and basis of accounting than the
Government -wide statements' governmental column, reconciliation is presented at the end of
the statement, which briefly explains the adjustments necessary to transform the fund
statements into the Government -wide presentation.
Internal service funds of a government are presented in summary form as part of the
proprietary fund financial statements. Since the principal users of the internal services are the
City's governmental activities, financial statements for internal service funds are consolidated
into the governmental column when presented at the governmental level. These services are
reflected in the appropriate functional activity (general government, judicial, public safety,
physical environment, transportation, economic environment, health and human services,
culture and recreation).
Interfund fund activity has been eliminated from the Government -wide financial statements.
Exceptions are payments in lieu of taxes, external type transactions within the internal service
funds (revenue and expenses for interest or services provided to other governmental
organizations), and other charges for utilities. Elimination of these charges would distort the
direct cost and program revenues for these functions.
The following describes each fund as presented in the fund financial statements.
MAJOR FUNDS
GOVERNMENTAL FUNDS
GENERAL FUND
The General Fund is the primary operating fund of the city. It is used to account for the
resources and disbursements of ordinary City operations that are not required to be accounted
Basic Financial Statements, 4-18
2010 Comprehensive Annual Financial Report City of Renton, Washington
for in another fund. These include the costs of legislative and executive departments, court
services, finance and legal departments, development services, police and fire departments,
human resources and technical services, community services, parks, economic development,
streets, library and museum, fire memorial, and fire department's health and wellness
programs. The major sources of revenue are property taxes, utility taxes, and sales taxes.
Licenses and permits, charges for services, and fines and forfeits provide additional support.
Community development block grant activities are accounted for within this fund, which is
federally funded.
MUNICIPAL FACILITIES CIP FUND
The Municipal Facilities Construction Fund accounts for the acquisition and development of
municipal facilities. Resources include general and special revenue taxes, grants, and Council -
approved general obligation bonds.
CAPITAL IMPROVEMENT FUND
This fund supports the City of Renton transportation projects and projects linked with various
State and Federal funding programs. Many of the projects depend on grants, LIDs, and
mitigation revenue.
40111 a 14:2R141:11110111.1
WATERWORKS UTILITY FUND
The Waterworks Utility Fund accounts for all operation and capital improvement programs for
water, wastewater, and storm water services within the City. The activities primarily supported
by user fees include: administration, billings and collections, debt service, engineering and
operation, maintenance and repairs. The primary resources for the capital improvement
programs are revenue bond proceeds, grants (as available), and utility connection charges.
SOLID WASTE FUND
Solid waste, recycling, and yard waste collection services for the City are accounted for in this
fund, supported entirely by service fees. The expenses include payment to the City's garbage
contractor and other service charges.
NON -MAJOR FUNDS
SPECIAL REVENUE FUNDS
ARTERIAL STREET FUND
The Arterial Street Fund was established pursuant to state law allocating the one-half cent State
Gasoline Tax revenue to cities and towns for construction, improvements, and major repair of
streets.
LEASED CITY PROPERTY FUND
Accounts for revenue and expenditures related to City property leased to outside entities.
Basic Financial Statements, 4-19
2010 Comprehensive Annual Financial Report City of Renton, Washington
HOTEL/MOTEL TAX FUND
Accounts for monies collected through an increase of one percent in hotel/motel taxes for the
purpose of increasing tourism in the City of Renton.
PATHS AND TRAILS RESERVE FUND
The Paths and Trails Reserve Fund was created for the purpose of planning, accommodating,
and establishing and maintaining certain paths and trails within the City of Renton.
1% FOR ART FUND
The City of Renton established this fund to account for one percent of construction project
actual costs to be used for the selection, acquisition and/or installation of works of art to be
placed in, on, or about City public facilities.
CABLE COMMUNICATIONS DEVELOPMENT FUND
The Cable Communications Development Fund accounts for funding for promotion and
development of cable communications as established by City ordinance.
SPRINGBROOK WETLANDS BANK FUND
The City of Renton established this fund in 2007 for the purpose of providing accounting for the
Springbrook Creek Wetland and Habitat Mitigation Bank project. The fund will receive revenue
by selling Wetlands Credits to third parties and to the City's internal departments.
DEBT SERVICE FUNDS
GENERAL GOVERNMENTAL MISCELLANEOUS DEBT SERVICE FUND
This debt service fund accounts for the following outstanding debt issues:
• 2000 intergovernmental debt related to the construction of a new facility
for Valley Communications Center.
• 2001 limited tax general obligation refunding bonds which refunded a
portion of the 1997 limited tax general obligation bonds for the purchase
of Renton City Hall.
• 2001 limited tax general obligation bonds which provided funding for the
construction of a downtown parking facility.
• 2002 limited tax general obligation bonds which provided funding for the
construction of a new fire station.
• 2006 limited tax general obligation bonds which provided funding for the
construction of South Lake Washington infrastructure improvements.
• 2009 intergovernmental debt related to the Fire District #40 asset transfer
as a result of the Benson Hill annexation.
Basic Financial Statements, 4-20
2010 Comprehensive Annual Financial Report
City of Renton, Washington
• 2010 intergovernmental refunding debt which refunded a portion of the
2000 intergovernmental debt for the construction of a new facility for
Valley Communications Center.
• 2010 limited tax general obligation refunding bonds which refunded a
portion of the 2001 limited tax general obligation bonds for the
construction of a downtown parking facility.
1989 UNLIMITED GENERAL OBLIGATION BOND REDEMPTION FUND
This debt service fund accounts for debt service on a voter -approved bond issue, which
provided financing to acquire, construct, rehabilitate, equip, and develop low-income
housing for the elderly.
CAPITAL PROJECT FUNDS
COMMUNITY DEVELOPMENT IMPACT MITIGATION FUND
Accounts for monies collected from developers to offset impacts created by their developments
to City facilities.
FIRE IMPACT MITIGATION FUND
Accounts for monies collected from developers to offset impacts created by their developments
to City facilities.
TRANSPORTATION IMPACT MITIGATION FUND
Accounts for monies collected from developers to offset impacts created by their developments
to City facilities
SOUTH LAKE WASHINGTON INFRASTRUCTURE PROJECT FUND
The South Lake Washington Infrastructure Project Fund accounts for the infrastructure
improvements at the south end of Lake Washington. Primary resources include: REET, sales
tax, grants, and GO Bonds which provide for the design, construction, labor wages and benefits,
and equipment required to implement the project.
ENTERPRISE FUNDS
AIRPORT FUND
Provides accounting for revenues and expenses, which provides administration, debt services,
operation, capital improvements, and maintenance of the Renton Municipal Airport and Will
Rodger -Wily Post Memorial Seaplane Base. Sources of support to the fund are leases, fuel
charges, investment interest, and grant funding as available.
GOLF COURSE FUND
The Golf Course Fund was created after the City acquired the Maplewood Golf Course. The
fund accounts for the operation, maintenance, debt service, and capital improvements of the
facility.
Basic Financial Statements, 4-21
2010 Comprehensive Annual Financial Report
OTHER FUND TYPES
INTERNAL SERVICE FUNDS
City of Renton, Washington
EQUIPMENT RENTAL
The Equipment Rental Fund accounts for the costs of maintaining and replacing all City vehicles
and auxiliary equipment, except for fire apparatus and replacement of police patrol vehicles. In
addition, this fund accounts for the City's information technology, facilities and
communications costs. All costs, including depreciation, are factors in calculating the rates that
are charged to each user department.
INSURANCE FUND
The Insurance Fund provides accounting for self-insurance services to all City departments,
including provisions for losses on property, liability, worker's compensation, unemployment
compensation, and the health care program. The Insurance Fund pays expenses and rates are
charged to departments based on use and/or coverage requirements.
FIDUCIARY FUNDS
Fiduciary funds 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 one Pension Trust Fund and one Agency Fund.
PENSION TRUST FUND
FIREMEN'S PENSION FUND
The Firemen's Pension Fund accounts for the payment of administrative costs and benefits for
retired firefighters and their beneficiaries, who were employed prior to March 1, 1970. Primary
revenues sources are general property tax allocations in accordance with actuarial calculations,
the fire premium tax, and investment income.
AGENCY FUND
SPECIAL DEPOSIT FUND
The Special Deposit Fund was established for the purpose of holding or retaining cash deposits
or other securities pending fulfillment of certain conditions and/or requirements by the
depositor. Refunds are made when all obligations have been met and only upon authorization
from the transmitting department.
Basic Financial Statements, 4-22
2010 Comprehensive Annual Financial Report City of Renton, Washington
C. MEASUREMENT FOCUS AND BASIS OF ACCOUNTING
Basis of Accounting refers to the point at which revenues or expenditures/expenses are
recognized in the accounts and reported in the financial statements. It relates to the timing of
the measurement made regardless of the measurement focus applied:
1. Accrual
Both governmental and business -type activities in the Government -wide financial statements
and the proprietary and fiduciary fund financial statements are presented on the accrual basis
of accounting. Revenues are recognized when earned and expenses are recognized when
incurred.
Substantially all governmental fund revenues are accrued. Property taxes are billed and
collected within the same period in which taxes are levied. Subsidies and grants to proprietary
funds, which finance either capital or current operations, are reported as non-operating
revenue based on GASB Statement 33. In applying GASB Statement 33 to grant revenues, the
provider recognizes liabilities and expenses and the recipient recognizes receivables and
revenue when the eligibility requirements, including time requirements, are met. Resources
transmitted before the eligibility requirements are met, are reported as advances by the
provider and deferred revenue by the recipient.
2. Modified Accrual
The governmental funds financial statements are presented on the modified basis of
accounting. Under the modified accrual basis of accounting, revenues are recorded when
susceptible to accrual: i.e., both measurable and available. "Available" means collectible within
the current period or soon enough thereafter to be used to pay liabilities of the current period.
The City considers all revenue reported in the governmental funds to be available if the
revenues are collected within sixty days after year-end. Expenditures are generally recognized
under the modified accrual basis of accounting when the related liability is incurred. The
exception to this general rule is that principal and interest on general obligation long-term
debt, if any, is recognized when due.
D. ASSETS, LIABILITIES, AND FUND EQUITY
1. Cash and Cash Equivalents
The City has defined cash and cash equivalents as cash on hand, demand deposits, and all
highly liquid investments (including restricted assets) with maturity of three months or less
when purchased. These amounts are classified on the balance sheet or in the statement of net
assets as cash and cash equivalents or investments in the various funds. The interest on these
investments is prorated to the applicable funds. Included in this category are all funds invested
in the Local Government Investment Pool and Municipal Investor Account. Excluded from this
category are cash balances held by Fiscal Agents since the City does not have discretionary use
of these funds.
Basic Financial Statements, 4-23
2010 Comprehensive Annual Financial Report
2. Investments (refer to Note 3B.)
City of Renton, Washington
3. Receivables and Payables — Amounts owed/payable to/by the City at year-end.
Taxes receivable consists of property taxes and related interest and penalties (refer to Note 4).
Accrued interest receivable consists of amounts earned on investments, notes, and contracts.
Accrued interest payable consists of amounts owed on notes, loans, and contracts.
Customer accounts receivable/payable consists of amounts owed from/to private individuals or
organizations for goods and services. If the transactions are with another governmental unit, it
is accounted for within "due from/to other governments."
Special assessments are recorded when levied and are liens against the property benefited.
Special assessments receivable consist of current and delinquent assessments and related
interest and penalties. Deferred assessments consist of special assessments not due within one
year.
Receivables have been reported net of estimated uncollectible accounts. Because property
taxes, special assessments, and utility billings are considered liens on property, no estimated
uncollectible amounts are established.
Activity between funds that are representative of lending/borrowing arrangements outstanding
at the end of the fiscal year are referred to either "due to/from other funds" (i.e., the current
portion of interfund loans) or "advances to/from other funds" (i.e., the non-current portion of
interfund loans). All other outstanding balances between the governmental activities and
business -type activities are reported in the Government -wide financial statements as "internal
balances" (Refer to Note 10).
Advances between funds, as reported in the fund financial statements, are offset by a fund
balance reserve account in applicable governmental funds to indicate that they are not
available for appropriation and are not expendable available financial resources.
In the Government -wide financial statements, and proprietary fund types in the fund financial
statements, long-term liabilities are reported in applicable governmental activities, business -
type activities, or proprietary fund type statement of net assets.
Unamortized Premium — the unamortized portion of the excess of bonds proceeds over their
face value (excluding accrued interest and issuance costs).
Deferred Amount -Refunding — The difference between the carrying amount of
redeemed/defeased debt and its reacquisition price. This amount is deferred and amortized
over the remaining life of the debt, or the life of the new debt, whichever is shorter.
4. Inventories and prepaid items
Basic Financial Statements, 4-24
2010 Comprehensive Annual Financial Report City of Renton, Washington
All City inventories are maintained on a consumption basis of accounting where items are
purchased for inventory and charged to the budgetary accounts as the items are consumed.
Any material inventories at year-end are included in the balance sheet of the appropriate fund.
All inventories are carried at cost on the first in, first out — FIFO basis, with the exception of the
Public Works Maintenance shops inventory. The value of this inventory is calculated using the
average cost method. Certain payments to vendors reflect costs applicable to future accounting
periods and are reported as prepaid items in both the Government -wide and fund statements.
5. Capital Assets and Depreciation (refer to Note 5).
6. Deferred Revenues
This account includes amounts recognized as receivables but not revenues in the governmental
funds because the revenue recognition criterion has not been met.
7. Custodial Accounts
This account reflects the liability for net monetary assets being held by the City in its agency
capacity.
8. Compensated Absences
The City accrues accumulated unpaid vacation and other leave and associated employee -
related costs when earned (or estimated to be earned) by the employee. The non-current
portion (the amount estimated to be used in subsequent fiscal years) for governmental funds is
maintained separately and represents a reconciling item between the fund and Government -
wide presentations.
9. Fund Balance Designations and Reservations
In the fund financial statements, governmental funds report reservations of fund balance for
amounts that are not available for appropriation or are legally restricted by outside parties for
use for a specific purpose. Designations of fund balance represent tentative management plans
that are subject to change.
10. Net Assets (refer to Note 11).
11. Encumbrances
An encumbrance system is maintained to account for commitments resulting from approved
purchase orders, contracts, and other commitments. Encumbrances remaining at year-end
lapse and are canceled. Upon request by the department and approval of the City Council,
encumbrances may be re -appropriated in the following year.
E. REVENUES, EXPENDITURES, AND EXPENSES
1. Program Revenues
Program revenues include charges for services to customers for goods and services provided,
operating grants and contributions, and non-operating grants and contributions within the
Basic Financial Statements, 4-25
2010 Comprehensive Annual Financial Report City of Renton, Washington
Government -wide Statement of Activities. Charges for services include business licenses,
construction permits, and weapon permits.
2. General Revenues
Property taxes, timber taxes, retail taxes, business taxes, excise taxes, and associated penalties
and interest, and interest and investment earnings are classified as general revenues within the
Government -wide Statement of Activities.
3. Interfund Transfers
Permanent reallocation of resources between funds of the reporting entity are classified as
interfund transfers. For purposes of the Government -wide Statement of Activities, all interfund
transfers between individual governmental funds have been eliminated.
4. Expenditures/Expenses
Expenses in the Government -wide Statement of Activities are reported by function as a
governmental activity (general government, judicial, public safety, physical environment,
transportation, economic environment, health and human services, culture and recreation, or
interest on long-term debt) or business -type activity (waterworks utility, airport, solid waste
utility, or golf course). In the fund financial statements, expenditures of governmental funds
are classified by: function, debt service principal and interest payments, or purchases of capital
items. Proprietary expenditures are classified as operating or non-operating. In 2010,
operating expenses were consolidated to Operations and maintenance, Administrative and
general, Taxes and Depreciation. The other categories reported previously (Benefit payments,
Professional services, and Insurance were assigned to Operations and maintenance and
Administrative and general as appropriate.
5. Operating and Non-operating Revenues and Expenses
Operating revenues and expenses for proprietary funds are those that result from providing
services and producing and delivering goods and/or services in connection to the proprietary
fund's principle ongoing operations. It includes all revenue and expenses not related to capital
and related financing, non -capital financing, or investing activities. All revenues and expenses
not meeting this definition are non-operating revenues and expenses.
NOTE 2. COMPLIANCE AND ACCOUNTABILITY
The City of Renton budgets its funds under Generally Accepted Accounting Principles (GAAP) at
the fund level. Annual appropriated budgets are adopted for governmental funds. Budgets for
proprietary funds are "management budgets" and are not legally required to be reported.
Included in the Required Supplemental and Combining sections of the CAFR are Schedules of
Revenues, Expenditures, and Changes in Fund Balances (Budget to Actual) reporting the Actual
Budgetary GAAP Basis verses Actual GAAP Basis of Accounting for all legally adopted budgets.
There have been no material violations of finance -related legal or contractual provisions, and
there have been no expenditures exceeding legal appropriations in any of the funds of the City.
A. PROCEDURES FOR ADOPTING THE ORIGINAL BUDGET
Basic Financial Statements, 4-26
2010 Comprehensive Annual Financial Report
City of Renton, Washington
The City of Renton's budget procedures are mandated by the Chapter 35A.33 of the Revised
Code of Washington (RCW). The steps in the budget process are as follows:
1. Prior to November 1, the Mayor submits a proposed budget to the City Council. This budget
is based on priorities established by the Council; estimates provided by the City
departments during the preceding months; balanced by revenue estimates made by the
Mayor.
2. The City Council conducts public hearings on the proposed budget in November and
December.
3. The Council makes their adjustments to the proposed budget and adopts, by ordinance, a
final balanced budget no later than December 31.
4. The final operating budget, as adopted, is published and distributed within the first four
months of the following year.
B. AMENDING THE BUDGET
The budget, as adopted, constitutes the legal authority for expenditures. Budgets are adopted
on the GAAP basis of accounting. Any comparisons between budget and actual revenues and
expenditures are reported under the GAAP basis. The annual budget is adopted with budgetary
control at the fund level, so expenditures may not legally exceed appropriations at that level of
detail. Transfers or revisions within funds are allowed, but only the City Council has the legal
authority to increase or decrease a given fund's annual budget. This is accomplished by City
ordinance. The budget was amended three times during 2010.
Jriginal budgeted Intlows as comaared to the final budgeted Intlows are as tollows:
Fund
Original
Budgeted
Inflows
Final
Budgeted
Inflows
Increase
(Decrease)
Budgeted
Inflows
General Fund
$ 92,388,004
$ 94,515,535
$ 2,127,531
Arterial Street Fund
620,000
620,000
-
Leased City Properties Fund
941,533
1,669,586
728,053
Hotel/Motel Tax Fund
245,000
245,000
-
1% for Art Fund
15,000
35,000
20,000
Cable Communications Development Fund
85,000
85,000
-
General Government Miscellaneous Debt Service Fund
5,450,694
11,446,529
5,995,835
Community Development Impact Mitigation Fund
60,000
60,000
-
Fire Impact Mitigation Fund
100,000
100,000
Transportation Impact Mitigation Fund
200,000
200,000
-
Municipal Facilities CIP Fund
730,000
1,363,553
633,553
General Government Capital Improvement Fund
15,692,002
31,412,816
15,720,814
Airport Fund
3,495,163
3,495,163
-
Solid Waste Utility Fund
15,000,000
15,136,538
136,538
Golf Course Fund
2,633,545
4,508,545
1,875,000
Waterworks Utility Fund
42,352,430
45,436,664
3,084,234
Equipment Repair and Replacement / Information Technology /
Facilities/ Communications Fund
13,341,784
13,588,661
246,877
Insurance Fund
17,881,739
17,881,739
-
Firemen's Pension
300,000
300,000
-
TOTAL
$ 211,531,894
$ 242,100,329
$ 30,568,435
Basic Financial Statements, 4-27
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Jriginal budgeted outtlows as compared to the final budgeted outtlows are as tollows:
Fund
Original
Budgeted
Outflows
Final
Budgeted
Outflows
Increase
(Decrease)
Budgeted
Outflows
General Fund
$ 93,343,753
$ 97,172,759
$ 3,829,006
Arterial Street Fund
620,000
620,000
-
Leased City Properties Fund
581,940
1,654,561
1,072,621
Hotel/Motel Tax Fund
245,000
310,000
65,000
1% for Art Fund
50,000
50,000
-
Cable Communications Development Fund
85,674
85,674
-
General Government Miscellaneous Debt Service Fund
4,494,945
11,360,632
6,865,687
1989 UGO Bond Redemption Fund
1,388
79,340
77,952
Fire Impact Mitigation Fund
560,000
560,000
-
Transportation Impact Mitigation Fund
700,000
1,810,000
1,110,000
Municipal Facilities CIP Fund
1,753,454
7,911,771
6,158,317
General Government Capital Improvement Fund
16,126,973
33,183,734
17,056,761
South Lake Washington Infrastructure Project Fund
-
114,000
114,000
Airport Fund
2,579,800
2,938,489
358,689
Solid Waste Utility Fund
15,000,000
15,146,668
146,668
Golf Course Fund
2,716,837
4,744,336
2,027,499
Waterworks Utility Fund
42,554,259
51,710,409
9,156,150
Equipment Repair and Replacement / IT / Facilities /
Communications Fund
11,561,273
13,512,013
1,950,740
Insurance Fund
18,881,824
18,881,824
-
Firemen's Pension
550,475
550,475
-
TOTAL
$ 212,407,593
$ 262,396,683
$ 49,989,090
For the year 2011 and on, the City will operate and adopt a biennial budget.
NOTE 3. DEPOSITS AND INVESTMENTS
A. Deposits
The City's deposits and certificates of deposit are insured by the Federal Depository Insurance
Corporation (FDIC) and the State of Washington Public Deposit Protection Commission
(WPDPC) Act of 1969.
B. Investments
The City invests excess and inactive funds in accordance with the City's Investment Policy (last
updated and approved on February 23, 2009), which complies with the guidelines within
Chapter 35A.40.050 RCW. This allows for investment of excess cash and inactive cash, directs
that the responsibility for determining available cash for investment is placed upon the
department administering the funds, and allows for pooling of the cash provided that the
allocation of income is proportionate to the investment of each fund.
Basic Financial Statements, 4-28
2010 Comprehensive Annual Financial Report City of Renton, Washington
Currently, the City invests in obligations of the U.S. Government, U.S. agency issues, Certificates
of Deposit with Washington State banks and savings and loan institutions, the State of
Washington Local Government Investment Pool (LGIP), and general obligations of Washington
State municipalities.
The LGIP, managed by the Washington State Office of the Treasurer, is comparable to a Rule
2a7 -pools recognized by the Securities and Exchange Commission. A 2a7 -like -pool is an
external investment pool that is not registered with the SEC as an investment company but
nevertheless has a policy that it will, and does, operate in a manner consistent with the SEC's
Rule 2a7 of the Investment Company Act of 1940. Rule 2a7 allows SEC -registered mutual funds
to use amortized cost rather than fair value to report net assets and compute share prices.
Investments are shown on the entity -wide Statement of Net Assets at fair value or for 2a7 -like
pools at amortized cost, which approximates fair value. Investments are reported within Cash
and Investments of Governmental Activities and within Cash and Cash Equivalents or
Investments of Business -type Activities.
C. Deposit and Investment Schedule
As of December 31, 2010, the City of Renton had the following investments:
Reconcilation to Statements of Net Assets
Weighted
Governmental
Fiduciary
Average
Security Type
Cost
Fair Value
Maturity
Cash Equivalents
-
-
-
Local Government Investment Pool (LGIP)
$ 27,354,920 $
27,354,920
0.00
Investments
36,643,909
1,484,955
38,128,864
Certificates of Deposit (within WPDPC)
33,106,647
33,106,647
1.93
FNMA ZERO COUPON
99,556
125,633
0.08
US TREASURY ZERO COUPON
2,606,093
3,825,958
2.22
TOTAL
$ 35,812,296 $
37,058,237
Reconcilation to Statements of Net Assets
Governmental
Fiduciary
Total
Cash
$ 9,288,990 $
1,484,955 $
10,773,945
Restricted Cash
-
-
-
Cash Equivalents (LGIP)
27,354,920
-
27,354,920
Total Cash & Cash Equivalents
36,643,909
1,484,955
38,128,864
Investments
32,374,593
4,683,644
37,058,237
Total Investments
32,374,593
4,683,644
37,058,237
Total Cash & Investments
$ 69,018,503 $
6,168,599 $
75,187,102
Credit risk. Credit Risk is the risk that an issuer or other counter party to an investment will not
fulfill its obligations. All Agency securities in the City's portfolio are rated "Aaa" by Moody's
Basic Financial Statements, 4-29
2010 Comprehensive Annual Financial Report City of Renton, Washington
Investors Service and "AAA" by Standard & Poor — each rating is the highest possible.
Certificates of Deposit are insured by the FDIC up to $250,000 and, additionally, by collateral
held in a multiple financial institution collateral pool administered by the Washington Public
Deposit Protection Commission (WPDPC). The Washington State Local Government Investment
Pool (LGIP) is a 2a7 -like -pool and is operated in a manner consistent with the SEC's Rule 2a7 of
the Investment Company Act of 1940.
Security Type
Cost
Fair Value
Moody's
S&P
Cash Equivalents
U.S. Agencies 75%
50%
Local Government Investment Pool (LGIP)
$ 27,354,920 $
27,354,920
unrated
unrated
Investments
Certificates of Deposit (within WPDPC)
33,106,647
33,106,647
unrated
unrated
FNMA ZERO COUPON
99,556
125,633
N/A
N/A
US TREASURY ZERO COUPON
2,606,093
3,825,958
AAA
AAA
TOTAL
$ 35,812,296 $
37,058,237
The City's Investment Policy directs that the standard of prudence for investment activities shall
be the Prudent Investor Standard that states: "Investments shall be made with judgment and
care, under circumstances then prevailing, which person of prudence, discretion, and
intelligence would use in the management of their own affairs, not for speculation, but for
investment purposes, considering the probable safety of their capital as well as the probable
income to be derived."
Custodial Credit Risk. Custodial credit risk for investments is the risk that, in the event of the
failure of the counter party to a transaction, a government will not be able to recover the value
of investment or collateral securities that are in the possession of an outside party. All security
transactions, including collateral for repurchase agreements, entered into by the City are
conducted on a delivery -versus -payment (DVP) basis. Securities held by a third -party custodian
are designated by the City's Finance and Information Services Administrator. Certificates of
Deposit are delivered to and held by the Finance Division.
Concentration of Credit Risk. Concentration of credit risk is the risk of loss attributed to the
magnitude of a government's investment in a single issuer. The City diversifies its investment
instruments to avoid incurring unreasonable risk inherent with the over -investment of
instruments and issuers as follows:
Instrument
Issuer
Maximum's per Policy Maximum
Maximum
U.S. Treasuries 100%
100%
U.S. Agencies 75%
50%
Certificates of Deposit (within WPDPC) 75% 20%
Local Governmental Investment Pool (LGIP) 75% 75%
Commercial Paper 25% 5%
Interest Rate Risk. Interest rate risk is the risk that changes in interest rates over time, adversely
affecting the fair value of an investment. The City's portfolio is managed within the parameters
Basic Financial Statements, 4-30
2010 Comprehensive Annual Financial Report City of Renton, Washington
established by the Investment Policy, which limits the weighted average maturity of the
portfolio to five years.
Security Type
0-6
months
6 months -
1 year
1-3
years
3+
years
Totals
Cash Equivalents
Local Government
Investment Pool
$ 27,354,920
$
27,354,920
Investments
Certificates of Deposit
(within WPDPC)
6,500,000
8,808,950
17,797,697
33,106,647
FNMA ZERO COUPON
125,633
125,633
US TREASURY ZERO COUPON
221,855
475,580
3,128,523
3,825,958
TOTAL INVESTMENTS
$ 6,500,000 $
9,030,804 $
18,273,277 $
3,254,156 $
37,058,237
NOTE 4. PROPERTY TAXES
The King County Finance Director acts as an agent to collect property taxes levied in the county
for all taxing authorities. Taxes are levied annually, January 1, on property value listed as of the
prior August 31. Assessed values are established by the King County Assessor at 100 percent of
fair market value. A revaluation of all property is required every two years; however, King
County has the ability to revalue annually.
Property taxes levied by the King County Assessor and collected by the King County Finance
Director become a lien on the first day of the levy year and may be paid in two equal
installments if the total amount exceeds $30. The first half of real property taxes is due on April
30 and the balance is due October 31. Delinquent taxes bear interest at the rate of 12 percent
and are subject to additional penalties if not paid as scheduled. No allowance for uncollectible
taxes is established because delinquent taxes are considered fully collectible.
At year-end, property taxes are recorded as a receivable with the portion not expected to be
collected within 60 days offset by deferred revenue. During the year, property tax revenues are
recognized when cash is received.
The tax rate for general City operations is limited to $3.60 per $1,000 of assessed value (RCW
84.52.043). Of this amount, up to .45 cents per thousand dollars may be designated for
contribution to the Firemen's Pension Fund. If a report by a qualified actuary on the condition
of the Firemen's Pension Fund establishes that this amount (or portion of) is not necessary to
maintain the actuarial soundness of the fund, the amount can be used for any other municipal
purpose (RCW 41.16.060).
The tax rate limit may be reduced for any of the following reasons:
1. The Levy Limit: the levy limit calculation applies to a taxing district's budget, and not to
increases in the assessed value or tax bill of individual properties. Initiative 747 which
Basic Financial Statements, 4-31
2010 Comprehensive Annual Financial Report
City of Renton, Washington
restricted individual taxing districts from collecting, in any year, more than a one percent
increase in their regular, non -voted, levy over the highest levy amount since 1985 was
overturned by the courts. However during 2007, the state legislature reinstated this limit
with the passage of HB2416. New construction, annexations, and excess levies approved by
the voters are not included in the levy limit calculation. If the assessed valuation increases
by more than one percent due to revaluation, the levy rate will be decreased.
2. The One Percent Constitution Limit: The Washington State Constitution limits the regular
(non -voted) combined property tax rate applied to an individual's property to one percent
($10 per $1,000) on the market valuation. Voters may approve special levies that are added
to this figure. If the taxes of all districts exceed this amount, each is proportionately
reduced until the total is at or below the one percent limit.
3. The City may voluntarily levy taxes below the legal limit.
Special levies approved by the voters are not subject to the above limitations. There is
currently no excess levy for General Obligation Bond debt. The City's regular levy per the King
County Assessor's 2010 Annual Report is 2.71184.
NOTE S. CAPITAL ASSETS AND DEPRECIATION
A. GENERAL POLICIES
Major expenditures for capital assets, including capital leases and major repairs that increase
the useful life, are capitalized. The capitalization threshold applied to the City's assets is
$5,000. Maintenance, repairs, and minor renewals are accounted for as expenditures or
expenses when incurred.
All capital assets are valued at historical cost (or estimated cost, where historical cost is not
known/or estimated market value for donated assets/or the original historical cost when
transferred between proprietary and governmental funds.)
Intangible assets, either purchased or internally developed, with a cost of $5,000 or more that
are identifiable by meeting one of the following conditions:
• The asset is capable of being separate or divided and sold, transferred, licensed, rented,
exchanged; or
• The asset arises from contractual or other legal rights, regardless of whether those
rights are transferable or separable.
The City has acquired certain assets with funding provided by federal financial assistance
programs. Depending on the terms of the agreements involved, the federal government could
retain an interest in these assets. However, the City has sufficient legal interest to accomplish
the purposes for which the assets were acquired, and has included such assets within the
applicable statements.
Basic Financial Statements, 4-32
2010 Comprehensive Annual Financial Report City of Renton, Washington
The City capitalizes art and historical treasures. Art and historical treasures are expected to be
maintained or enhanced over time and thus, are not depreciated.
B. GOVERNMENTAL CAPITAL ASSETS
Governmental long-lived assets of the City purchased, leased, or constructed are recorded as
expenditures in the governmental funds and are capitalized, net of depreciation, in the
Government -wide statements. The infrastructure component of GASB 34 for assets acquired
after January 1, 1980 was implemented retroactively in 2004. Any gain on the sale of capital
assets is recorded in the Statement of Activities as General revenues, Miscellaneous. Donated
capital assets are capitalized at estimated fair value of the item at the date of its donation.
C. PROPRIETARY FUND CAPITAL ASSETS
Capital assets of proprietary funds are capitalized in their respective statement of net assets,
net of depreciation. Any gain on the sale of capital assets is recorded in the Statement of
Activities as General revenues, Miscellaneous.
D. DEPRECIATION AND AMORTIZATION
Depreciation on all depreciable assets is provided on the straight-line basis over the following
useful lives:
Estimated
Type of Asset Service Life
Buildings and structures, except utility plant 10-50 years
Other improvements 10-80 years
Utility plant 25-75 years
Machinery and equipment 3-40 years
Infrastructure 25-50 years
Amortization on all intangible assets is provided on the straight-line basis over the following
useful lives:
Depreciation and Amortization Expense was charged to functions/programs of the primary
government as follows:
Basic Financial Statements, 4-33
Estimated
Type of Asset
Service Life
Computer Software
3-15 years
Land Use Rights
3-12 years
Patents, Trademarks, Copyrights
3-50 years
Other Intangibles with definite useful lives
3-12 years
Depreciation and Amortization Expense was charged to functions/programs of the primary
government as follows:
Basic Financial Statements, 4-33
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Governmental Activities
Depreciation
Amortization
Total
General Government
$ 2,160,012
$ 207,862 $
2,367,874
Public Safety
957,743
289,953
1,247,696
Physical Environment
1,145
78,675
79,820
Transportation
3,860,097
3,227
3,863,324
Economic Development
46,104
-
46,104
Culture and Recreation
94,973
5,992
100,965
Health and Human Services
1,311,567
-
1,311,567
Internal Service Funds (General Governmental)
1,827,624
202,360
2,029,984
Total -Governmental Activities
$ 10,259,265
$ 788,069 $
11,047,334
Business -Type Activities
Waterworks
$ 6,841,898 $
4,296 $
6,846,194
Airport
541,075
- $
541,075
Golf Course
295,330
- $
295,330
Total -Business -Type Activities
$ 7,678,303 $
4,296 $
7,682,599
Basic Financial Statements, 4-34
2010 Comprehensive Annual Financial Report
E. SUMMARY OF CHANGES
Capital asset activity for the year ended December 31, 2010 was as follows:
City of Renton, Washington
Primary Government Adjusted
Beginning GASB 51 Prior Period Beginning Ending
Balance Adjustments Adjustments Balance Increases Decreases Balance
Governmental activities :
Capital assets, not being depreciated
Land and land improvements
$
177,624,727 $
- $
-
$ 177,624,727
$ 1,192,299
$ - $
178,817,026
Construction in progress
39,772,907
-
857,924
40,630,831
7,243,692
23,066,470
24,808,053
Total capital assets, not being depreciated
217,397,634
-
857,924
218,255,558
8,435,991
23,066,470
203,625,079
Capital assets, being depreciated:
Buildings and structures
93,802,376
-
93,802,376
1,689,083
40,004
95,451,455
Other improvements
173,276,531
1,124,176
174,400,707
24,470,648
441,342
198,430,013
Machinery and equipment
37,069,398
(4,829,487)
(2,600,779)
29,639,132
1,275,715
61,802
30,853,045
Total capital assets being depreciated
304,148,305
(4,829,487)
(1,476,603)
297,842,215
27,435,446
543,148
324,734,513
Less accumulated depreciation for:
Buildings and structures
26,154,413
-
-
26,154,413
2,440,626
-
28,595,039
Other improvements
48,045,577
4,711
48,050,288
5,345,156
-
53,395,444
Machinery and equipment
23,189,533
(2,964,287)
(1,569,625)
18,655,621
2,473,483
56,531
21,072,573
Total accumulated depreciation
97,389,523
(2,964,287)
(1,564,914)
92,860,322
10,259,265
56,531
103,063,056
Total capital assets, being depreciated, net
206,758,782
(1,865,200)
88,311
204,981,893
17,176,180
486,617
221,671,457
Intangible Assets:
Intangible assets, not being amortized
-
-
-
-
-
-
-
Intangible assets, being amortized
4,829,487
4,829,487
56,712
4,886,199
Less accumulated amortization
2,964,287
2,964,287
788,069
3,752,356
Total intangible asset, being amortized, net
1,865,200
1,865,200
(731,357)
1,133,843
Total Intangible assets
-
1,865,200
-
1,865,200
(731,357)
-
1,133,843
Governmental activities capital assets, net
$
424,156,416 $
0 $
946,235
$ 425,102,651
$ 24,880,815
$ 23,553,087 $
426,430,379
Business -type Activities:
Capital assets, not being depreciated:
Land and land improvements
$
6,976,321 $
(811,000) $
-
$ 6,165,321
$ -
$ - $
6,165,321
Construction in progress
1,759,645
(634,765)
1,124,880
7,050,949
157,201
8,018,628
Total capital assets, not being depreciated
8,735,966
(811,000)
(634,765)
7,290,201
7,050,949
157,201
14,183,949
Capital assets, being depreciated:
Buildings and structures
17,195,908
-
-
17,195,908
-
-
17,195,908
Other improvements
326,411,102
-
780,547
327,191,649
1,626,946
663,211
328,155,384
Machinery and equipment
6,079,398
(70,088)
-
6,009,310
48,318
-
6,057,628
Total capital assets being depreciated
349,686,408
(70,088)
780,547
350,396,867
1,675,264
663,211
351,408,920
Less accumulated depreciation for:
Buildings and structures
5,104,466
-
5,104,466
449,234
-
5,553,700
Other improvements
90,146,624
3,698
90,150,322
7,095,311
115,610
97,130,023
Machinery and equipment
5,383,948
(44,669)
-
5,339,279
133,759
-
5,473,038
Total accumulated depreciation
100,635,038
(44,669)
3,698
100,594,067
7,678,303
115,610
108,156,760
Total capital assets, being depreciated, net
249,051,370
(25,419)
776,849
249,802,800
(6,003,039)
547,601
243,252,160
Intangible Assets:
Intangible assets, not being amortized
811,000
811,000
811,000
Intangible assets, being amortized
70,088
70,088
-
70,088
Less accumulated amortization
-
44,669
-
44,669
4,296
-
481965
Total intangible asset, being amortized, net
-
25,419
-
25,419
(4,296)
-
21,123
Total Intangible assets
-
836,419
-
836,419
(4,296)
-
832,123
Business -type capital assets, net
$
257,787,336 $
- $
142,084
$ 257,929,420
$ 1,043,613
$ 704,802 $
258,268,232
Basic Financial Statements, 4-35
2010 Comprehensive Annual Financial Report
City of Renton, Washington
At the end of 2010, 44 projects comprise the Construction in Progress. Upon completion,
the projects will be capitalized in the Government -wide statements in their appropriate
categories and in the fund statements for proprietary funds, if applicable. Construction
commitments as of December 31, 2010, are as follows:
Governmental Activities Projects
BENSON HILL CONDUIT PROJECT
CEDAR RIVER TRAIL RENOVATION
CITY ATTORNEY'S OFFICE FURNITURE/EQUIP
CITY WIDE SECURITY UPGRADES
GARDEN AVE N WIDENING
HIGHLANDS TO LANDING
LAKE WASH TRAIL CONN
LED LIGHT SIGNAL UPGRADE
MAY CRK/HWKS LAND ACQUISITION
NE 31ST ST CULVERT
NE 3RD/NE 4TH CORRIDOR
PAPERLESS IMAGING SYSTEM
PHILLIP ARNOLD LIGHT UPGRADE
RAINIER AV GRDY WY TO 2ND
SENIOR CENTER LOUNGE
STRANDER BLVD - SW 27TH ST CONNECT
WALKWAY PROGRAM
WINGS AND WHEELS
Total governmental activities
Business -Type Activities Projects
126TH AVENUE SE SEWER EXTENSION
196 ZONE RESERVOIR & PUMP STATION
AUTOMATIC METER READING CONVERSION
CASCADEINTERCEPTOR
DUVALL/UNION SURFACE WATER DRAINAGE
EARLINGTON SEWER REPLACEMENT
EAST RENTON LIFT STATION ELIMINATION
EMERGENCY POWER TO PUMP STATION
HARDIE AVE UNDERPASS STORM SYSTEM IMPROVEMENT
LAKE AVE S - RAINIER AVE S STORM IMPROVEMENTS
LK WA BLVD -HAWKS LAND WATER IMPROVEMENTS
LK WA BLV -HAWKS LAND STORM SYSTEM IMPROVEMENTS
LK WASH BEACH LS ELIM/REHAB
PRESIDENT PARK SEWER REPLACEMENT
RAINIER PUMP SURFACE WATER DRAINAGE
RENTON GATEWAY UTILITIES
SANITARY SEWER HYD MODEL
STONEGATE/SUMMERWIND REPLACEMENT
SURFACE WATER SYSTEM REHAB
TAXIWAY BRAVO REHAB
THUNDER HILLS SURFACE WATER DRAINGE
TRANSMISSION MAIN REPLACEMENT
WEST HILL RESERVOIR RECOATING
WESTVIEW LIFTSTATION REHAB
WSDOT 1-405 WATER RELOCATIONS
WTER INTR-TIES WITH ADJACENT WATER DISTRICT
Total business -type activities
in progress
Commitment
$ 452
$
37,723
50,000
S0,000
34,029
-
328,731
38,601
418
-
1,169,651
575,897
155,980
-
23,333
7,354
5,195
-
31,434
21,660
221,061
16,484
18,234,496
627,214
1,106
-
4,475,349
108,099
9,999
-
21,743
3,425
$ 24,808,053
$ 1,441,380
$ 661,492
-
191,927
31,563
148,482
-
142,152
174,012
2,693,080
-
138,574
119,542
130,683
4,281
9,339
-
180,105
119,089
2,699
-
165,748
9,943
192,795
315,944
14,646
35,928
57,130
-
274,313
-
147,647
18,237
1,950,140
930,322
1,840
-
48,032
52,158
23,912
69,175
44,185
4,363
378,678
110,732
111,778
16,970
38,669
-
96,570
2,931
$ 8,018,628
$ 1,841,177
Basic Financial Statements, 4-36
2010 Comprehensive Annual Financial Report
NOTE 6. PENSION PLANS
City of Renton, Washington
With the exception of firefighters employed prior to March 1, 1970, substantially all City's full-
time and qualifying part-time employees participate in one of the following statewide
retirement systems administered by the Washington State Department of Retirement Systems,
under cost-sharing multiple -employer public employee defined benefit and defined
contribution retirement plans. The Department of Retirement Systems (DRS), a department
within the primary government of the State of Washington, issues a publicly available
comprehensive annual financial report (CAFR) that includes financial statements and required
supplementary information for each plan. The DRS CAFR may be obtained by writing to:
Department of Retirement Systems, Communications Unit, P.O. Box 48380, Olympia, WA
98504-8380.
The City is the administrator of the Firefighter Pension Plan for all firefighters employed prior to
March 1, 1970. The Firefighter Pension Plan is included within the City of Renton's statements
as a pension trust fund. There is no separate GAAP -based audited report. A schedule of
employer contributions for six years, prepared by Milliman, Consultants and Actuaries, is
included in the Required Supplemental Information section. Additional information from the
actuarial report prepared for the Firefighter Pension Plan, by Milliman, Consultants and
Actuaries, may be obtained by contacting the City of Renton, Finance Division, 1055 South
Grady Way, Renton, WA 98057.
The following disclosures are made pursuant to GASB Statements No. 27, Accounting for
Pensions by State and Local Government Employers and No. 50, Pension Disclosures, an
Amendment of GASB Statements No. 25 and No. 27.
Public Employees' Retirement System (PERS) Plans 1, 2, and 3
Plan Description
PERS is a cost-sharing multiple -employer retirement system comprised of three separate plans
for membership purposes: Plans 1 and 2 are defined benefit plans and Plan 3 is a defined
benefit plan with a defined contribution component.
Membership in the system includes: elected officials; state employees; employees of the
Supreme, Appeals, and Superior courts (other than judges currently in a judicial retirement
system); employees of legislative committees; community and technical colleges, college and
university employees not participating in national higher education retirement programs;
judges of district and municipal courts; and employees of local governments.
PERS participants, who joined the PERS system by September 30, 1977, are Plan 1 members.
Those who joined on or after October 1, 1977; and by either, February 28, 2002 for state and
higher education employees, or August 31, 2002 for local government employees, are Plan 2
members unless they exercise an option to transfer their membership to Plan 3. PERS
participants joining the system on or after March 1, 2002 for state and higher education
employees, or September 1, 2002 for local government employees, have the irrevocable option
Basic Financial Statements, 4-37
2010 Comprehensive Annual Financial Report City of Renton, Washington
of choosing membership in either PERS Plan 2 or PERS Plan 3. The option must be exercised
within 90 days of employment. An employee is reported in Plan 2 until a choice is made.
Employees who fail to choose within 90 days default to PERS Plan 3. Notwithstanding, PERS
Plan 2 and Plan 3 members may opt out of plan membership if terminally ill, with less than five
years to live.
PERS defined benefit retirement benefits are financed from a combination of investment
earnings and employer and employee contributions. PERS retirement benefit provisions are
established in state statute and may be amended only by the State Legislature.
PERS Plan 1 members are vested after the completion of five years of eligible service. Plan 1
members are eligible for retirement at any age after 30 years of service, or at age 60 with five
years of service, or at age 55 with 25 years of service. The annual benefit is two percent of the
average final compensation (AFC) per year of service, capped at 60 percent. (The AFC is based
on the greatest compensation during any 24 eligible consecutive compensation months.) Plan
1 members who retire from inactive status prior to the age of 65 may receive actuarially
reduced benefits. The benefit is actuarially reduced to reflect the choice of a survivor option. A
cost -of -living allowance (COLA) is granted at age 66 based on years of service credit times the
COLA amount, increased by three percent annually. Plan 1 members may also elect to receive
an additional COLA amount that provides an automatic annual adjustment based on the
Consumer Price Index. To offset the cost of this annual adjustment, the benefit is reduced.
PERS Plan 2 members are vested after completion of five years of eligible service. Plan 2
members may retire at age 65 with five years of service with an allowance of two percent of the
AFC per year of service. (The AFC is based on the greatest compensation during any eligible
consecutive 60 -month period.) Plan 2 members who retire prior to the age of 65 receive
reduced benefits. If retirement is at 55 or older with at least 30 years of service, a three
percent per year reduction applies; otherwise an actuarial reduction will apply. The benefit is
also actuarially reduced to reflect the choice of a survivor option. There is no cap on years of
service credit; and a cost -of -living allowance is granted (based on the Consumer Price Index),
capped at three percent annually.
PERS Plan 3 has a dual benefit structure. Employer contributions finance a defined benefit
component, and member contributions finance a defined contribution component. The
defined benefit portion provides a benefit calculation at one percent of the AFC per year of
service. (The AFC is based on the greatest compensation during any eligible consecutive 60 -
month period.) Effective June 7, 2006, Plan 3 members are vested in the defined benefit
portion of their plan after ten years of service; or after five years if twelve months were earned
after age 44; or after five service credit years earned in PERS 2 prior to June 1, 2003. Plan 3
members are immediately vested in the defined contribution portion of their plan. Vested Plan
3 members are eligible to retire with full benefits at age 65, or at age 55 with 10 years of
service. Plan 3 members who retire prior to age 65 receive reduced benefits. If retirement is at
age 55 or older with at least 30 years of service, a three percent per year reduction applies;
otherwise an actuarial reduction will apply. The benefit is also actuarially reduced to reflect the
Basic Financial Statements, 4-38
2010 Comprehensive Annual Financial Report City of Renton, Washington
choice of a survivor option. There is no cap on years of service credit; and Plan 3 provides the
same cost -of -living allowance as Plan 2.
The defined contribution portion can be distributed in accordance with an option selected by
the member, either as a lump sum or pursuant to other options authorized by the Employee
Retirement Benefits Board.
Judicial Benefit Multiplier
Beginning January 1, 2007 through December 31, 2007 judicial members of PERS were given
the choice to participate in the Judicial Benefit Program (JBM). Justices and judges in PERS 1
and 2 may make a one-time irrevocable election to pay increased contributions that would fund
a retirement benefit with a 3.5% multiplier. The benefit would be capped at 75% of AFC.
Judges in PERS Plan 3 can elect a 1.6% of pay per year of service benefit, capped at 37.5% of
average compensation.
Members who choose to participate in JBM will accrue service credit at a higher multiplier
beginning with the date of their election, be subject to the benefit cap of 75% of AFC, pay
higher contributions, stop contributing to the Judicial Retirement Account (JRA), and be given
the option to increase the multiplier on past judicial service. Members who do not choose to
participate will: continue to accrue service credit at the regular multiplier; continue to
participate in JRA, if applicable; never be a participant in the JBM Program; and continue to pay
contributions at the regular PERS rate.
Newly elected or appointed justices and judges who chose to become PERS members on or
after January 1, 2007, or who have not previously opted into PERS membership, were required
to participate in the JBM Program. Members required into the JBM program would: return to
prior PERS Plan if membership had previously been established; be mandated into Plan 2 and
not have a Plan 3 transfer choice, if a new PERS member; accrue the higher multiplier for all
judicial service; not contribute to JRA; and not have the option to increase the multiplier for
past judicial service.
Membership in PERS consisted of the following as of the latest actuarial valuation date for the
plans of June 30, 2009:
Retirees and beneficiaries receiving benefits 74,857
Terminated plan members entitled to but not yet receiving benefits 28,074
Active plan members vested 105,339
Active plan members non -vested 53,896
Total 262,166
Following is a summary of the number of government employers participating in PERS as of
June 30, 2010.
Basic Financial Statements, 4-39
2010 Comprehensive Annual Financial Report
Number of Participating Employers
City of Renton, Washington
Total 487 229 645 965 2,326
Funding Policy
Each biennium, the state Pension Funding Council adopts Plan 1 employer contribution rates,
Plan 2 employer and employee contributions rates, and Plan 3 employer contribution rates.
Employee contribution rates for Plan 1 are established by statute at six percent for state
agencies and local government unit employees, and 7.5 percent for state government elected
officials. The employer and employee contribution rates for Plan 2 and the employer
contribution rate for Plan 3 are developed by the Office of the State Actuary to fully fund Plan 2
and the defined benefit portion of Plan 3. All employers are required to contribute at the level
established by the Legislature. Under PERS 3, employer contributions finance the defined
benefit portion of the plan, and member contributions finance the defined contribution
portion. The Employee Retirement Benefits Board sets Plan 3 employee contribution rates. Six
rate options are available ranging from 5 to 15 percent; two of the options are graduated rates
dependent on the employee's age. As a result of the implementation of the Judicial Benefit
Multiplier Program in January 2007, a second tier of employer and employee rates was
developed to fund, along with investment earnings, the increased retirement benefits of those
justices and judges that participate in the program. The methods used to determine the
contribution requirements are established under state statute in accordance with Chapters
41.40 and 41.45 RCW.
The required contribution rates expressed as a percentage of current -year covered payroll, as
of December 31, 2010, were as follows:
Members not participating in JBM:
Contributor PERS Plan 1 PERS Plan 2 PERS Plan 3
Employer* 5.31% 5.31% 5.31%**
Employee 6.00% 3.90% ***
* The employer rates include the employer administrative expense
fee currently set at 0.16%.
** Plan 3 defined benefit portion only.
*** Variable from 5% to 15% based on rate selected by the member.
Basic Financial Statements, 4-40
Counties/
Other Political
Plan
State Agencies School Districts
Municipalities
Subdivisions
Total Members
PERS 1
146 229
166
193
734
PERS 2
178 -
270
485
933
PERS 3
163
209
287
659
Total 487 229 645 965 2,326
Funding Policy
Each biennium, the state Pension Funding Council adopts Plan 1 employer contribution rates,
Plan 2 employer and employee contributions rates, and Plan 3 employer contribution rates.
Employee contribution rates for Plan 1 are established by statute at six percent for state
agencies and local government unit employees, and 7.5 percent for state government elected
officials. The employer and employee contribution rates for Plan 2 and the employer
contribution rate for Plan 3 are developed by the Office of the State Actuary to fully fund Plan 2
and the defined benefit portion of Plan 3. All employers are required to contribute at the level
established by the Legislature. Under PERS 3, employer contributions finance the defined
benefit portion of the plan, and member contributions finance the defined contribution
portion. The Employee Retirement Benefits Board sets Plan 3 employee contribution rates. Six
rate options are available ranging from 5 to 15 percent; two of the options are graduated rates
dependent on the employee's age. As a result of the implementation of the Judicial Benefit
Multiplier Program in January 2007, a second tier of employer and employee rates was
developed to fund, along with investment earnings, the increased retirement benefits of those
justices and judges that participate in the program. The methods used to determine the
contribution requirements are established under state statute in accordance with Chapters
41.40 and 41.45 RCW.
The required contribution rates expressed as a percentage of current -year covered payroll, as
of December 31, 2010, were as follows:
Members not participating in JBM:
Contributor PERS Plan 1 PERS Plan 2 PERS Plan 3
Employer* 5.31% 5.31% 5.31%**
Employee 6.00% 3.90% ***
* The employer rates include the employer administrative expense
fee currently set at 0.16%.
** Plan 3 defined benefit portion only.
*** Variable from 5% to 15% based on rate selected by the member.
Basic Financial Statements, 4-40
2010 Comprehensive Annual Financial Report
Members participating in JBM:
Contributor PERS Plan 1
City of Renton, Washington
PERS Plan 2 PERS Plan 3
Employer -State Agency* 7.81%
7.81%
7.81%**
Employer -Local Govt.* 5.31%
5.31%
5.31%**
Employee -State Agency 9.76%
7.25%
7.50%***
Employee-Locat Govt. 12.26%
9.75%
7.50%***
* The employer rates include the employer administrative expense
75,956
fee currently set at 0.16%.
287,302
** Plan 3 defined benefit portion only.
*** Minimum rate.
Both the City and the employees made the required contributions. The City's required
contributions for years ended December 31, were as follows:
Year
PERS Plan 1
PERS Plan 2
PERS Plan 3
2010
$ 47,133 $
1,318,045 $
225,748
2009
71,860
1,826,401
312,631
2008
75,956
1,692,603
287,302
Law Enforcement Officers' and Firefighters' Retirement Svstem (LEOFF) Plans 1 and 2
Plan Description
LEOFF is a cost-sharing multiple -employer retirement system comprised of two separate
defined benefit plans. LEOFF participants who joined the system by September 30, 1977, are
Plan 1 members. Those who joined on or after October 1, 1977, are Plan 2 members.
Membership in the system includes all full-time, fully compensated; local law enforcement
officers, firefighters and as of July 24, 2005, those emergency medical technicians who were
given the option and chose LEOFF Plan 2 membership. LEOFF membership is comprised
primarily of non -state employees, with the Department of Fish and Wildlife enforcement
officers, who were first included prospectively effective July 27, 2003, being an exception.
Effective July 1, 2003, the LEOFF Plan 2 Retirement Board was established by Initiative 790 to
provide governance of LEOFF Plan 2. The Board's duties include adopting contribution rates
and recommending policy changes to the Legislature for the LEOFF Plan 2 retirement plan.
LEOFF defined benefit retirement benefits are financed from a combination of investment
earnings, employer and employee contributions, and a special funding situation in which the
state pays through state legislative appropriations. LEOFF retirement benefit provisions are
established in state statute and may be amended by the State Legislature.
LEOFF Plan 1 members are vested after the completion of five years of eligible service. Plan 1
members are eligible for retirement with five years of service at the age of 50. The benefit per
year of service calculated as a percent of final average salary (FAS) is as follows:
Basic Financial Statements, 4-41
2010 Comprehensive Annual Financial Report City of Renton, Washington
Percent of Final
Term of Service Average Salary
20 or more years 2.0%
10 but less than 20 years 1.5%
5 but less than 10 years 1.0%
The FAS is the basic monthly salary received at the time of retirement, provided a member has
held the same position or rank for 12 months preceding the date of retirement. Otherwise, it is
the average of the highest consecutive 24 months' salary within the last ten years of service. A
cost -of -living allowance is granted (indexed to the Consumer Price Index).
LEOFF Plan 2 members are vested after the completion of five years of eligible service. Plan 2
members may retire at the age of 50 with 20 years of service, or at age 53 with five years of
service, with an allowance of two percent of the FAS per year of service. The FAS is based on
the highest consecutive 60 months. Plan 2 members who retire prior to age 53 receive reduced
benefits. Benefits are actuarially reduced for each year that the benefit commences prior to age
53 and to reflect the choice of a survivor option. If the member has at least 20 years of service
credit and is age 50, the reduction is three percent for each year prior to age 53. There is no
cap on years of service credit; and a cost -of -living allowance is granted (indexed to the
Consumer Price Index), capped at three percent annually.
Membership in LEOFF consisted of the following as of the latest actuarial valuation date for the
plans of June 30, 2009:
Retirees and beneficiaries receiving benefits 9,454
Terminated plan members entitled to but not yet receiving benefits 674
Active plan members vested 13,363
Active plan members non -vested 3,944
Total 27,435
Following is a summary of the number of government employers participating in LEOFF as of
June 30, 2010.
Number of Participating Employers
Counties/ Other Political
Plan State Agencies School Districts Municipalities Subdivisions Total Members
LEOFF 1 - 54 15 69
LEOFF2 8 215 149 372
Total 8 269 164 441
Funding Policy
Starting on July 1, 2000, LEOFF Plan 1 employers and employees will contribute zero percent as
long as the plan remains fully funded. Employer and employee contribution rates are
developed by the Office of the State Actuary to fully fund the plan. LEOFF Plan 2 employer and
employees are required to pay at the level adopted by the LEOFF Plan 2 Retirement Board. All
employers are required to contribute at the level required by state law. The Legislature, by
Basic Financial Statements, 4-42
2010 Comprehensive Annual Financial Report City of Renton, Washington
means of a special funding arrangement, appropriated money from the state General Fund to
supplement the current service liability and fund the prior service cost of LEOFF Plan 2 in
accordance with the requirements of the Pension Funding Council and the LEOFF Plan 2
Retirement Board. However, this special funding situation is not mandated by the state
constitution and this funding requirement could be returned to the employers by a change in
statute.
The required contribution rates expressed as a percentage of current -year covered payroll, as
of December 31, 2010, were as follows:
Contributor LEOFF Plan 1 LEOFF Plan 2
Employer* 0.16% 5.24%
Employee 0.00% 8.46%
* The employer rates include the employer admin-
istrative expense fee currently set at 0.16%.
Both the City and the employees made the required contributions. The City's required
contributions for years ended December 31, were as follows:
Year LEOFF Plan 1 LEOFF Plan 2
2010 $ 394 $ 1,278,378
2009 487 1,258,217
2008 1,348 1,200,963
Public Safety Employee's Retirement System (PSERS) Plan 2
Plan Description
PSERS is a cost-sharing multiple -employer retirement system comprised of a single defined
benefit plan, PSERS Plan 2. PSERS was created by the 2004 legislature and became effective
July 1, 2006.
PSERS Plan 2 membership includes full-time employees of a covered employer on or before July
1, 2006, who met at least one of the PSERS eligibility criteria, and elected membership during
the election period of July 1, 2006 to September 30, 2006; and those full-time employees, hired
on or after July 1, 2006 by a covered employer, that meet at least one of the PSERS eligibility
criteria.
A "covered employer" is one that participates in PSERS. Covered employers include: State of
Washington agencies: Department of Corrections, Department of Natural Resources, Parks and
Recreation Commission, Gambling Commission, Washington State Patrol, Liquor Control Board;
Washington state counties; and Washington state cities except for Seattle, Tacoma and
Spokane.
To be eligible for PSERS, an employee must work on a full-time basis and:
Basic Financial Statements, 4-43
2010 Comprehensive Annual Financial Report
City of Renton, Washington
• have completed a certified criminal justice training course with authority to arrest,
conduct criminal investigations, enforce that criminal laws of Washington, and carry a
firearm as part of the job; or
• have primary responsibility to ensure the custody and security of incarcerated or
probationary individuals; or
• function as a limited authority Washington peace officer, as defined in RCW 10.93.020;
or
• have primary responsibility to supervise eligible members who meet the above criteria.
PSERS defined benefit retirement benefits are financed from a combination of investment
earnings and employer and employee contributions. PSERS retirement benefit provisions are
established in state statue and may be amended only by the State Legislature.
PSERS Plan 2 members are vested after the completion of five years of eligible service. Plan 2
members may retire at the age of 65 with five years of service, or at the age of 60 with at least
ten years of PSERS service credit, with an allowance of two percent of the average final
compensation (AFC) per year of service. The AFC is the monthly average of the member's 60
consecutive highest-paid service credit months, excluding any severance pay such as lump -sum
payments for deferred sick leave, vacation or annual leave. Plan 2 retirees who retire prior to
the age of 60 receive reduced benefits. If retirement is at age 53 or older with at least 20 years
of service, a three percent per year reduction for each year between the age at retirement and
age 60 applies. There is no cap on years of service credit; and a cost -of -living allowance is
granted (based on the Consumer Price Index), capped at three percent annually.
Membership is PSERS consisted of the following as of the latest actuarial valuation date for the
plan of June 30, 2009:
Retirees and beneficiaries receiving benefits 2
Terminated plan members entitled to but not yet receiving benefits -
Active plan members vested -
Active plan members non -vested 4,340
Total 4,342
Following is a summary of the number of government employers participating in PSERS as of
June 30, 2010.
Number of Participating Employers
Counties/ Other Political
Plan State Agencies School Districts Municipalities Subdivisions Total Members
PSERS 10 63 73
Funding Policy
Each biennium, the state Pension Funding Council adopts PSERS Plan 2 employer and employee
contribution rates. The employer and employee contribution rates for Plan 2 are developed by
the Office of the State Actuary to fully fund Plan 2. All employers are required to contribute at
the level established by the Legislature. The methods used to determine the contribution
Basic Financial Statements, 4-44
2010 Comprehensive Annual Financial Report City of Renton, Washington
requirements are established under state statute in accordance with Chapters 41.37 and 41.45
RCW.
The required contribution rates expressed as a percentage of current year covered payroll, as of
December 31, 2010 were as follows:
Contributor PSERS Plan 2
Employer* 7.85%
Employee 6.55%
* The employer rates include the
employer administrative expense
fee currently set at 0.16%.
Both the City and the employees made the required contributions. The City's required
contributions for years ended December 31, were as follows:
Year PSERS Plan 2
2010 $ 64,909
2009 73,255
2008 63,747
Firefighter's Pension
Plan Description
The Firefighter's Pension Plan is a closed, single -employer, defined benefit pension plan
established in accordance with RCW 41.18 and Renton Municipal Code. This plan provides
retirement and disability benefits, annual cost -of -living adjustments, and death benefits to plan
members and beneficiaries. This system was established for firefighters employed prior to
March 1, 1970, when the LEOFF retirement system was established. The retirement benefits
vest after 20 years of service. Members may retire after 25 years of service regardless of age,
and after age 50 with 20 or more years of service. At December 31, 2010, there were 35
members in the System:
Retirees and beneficiaries receiving benefits 30
Retirees and beneficiaries currently receiving full retirement through LEOFF 5
Active plan members vested -
Active plan members non -vested -
Total 35
Funding Policy
Under state law, the Firefighter's Pension Plan is provided an allocation of all monies received
by the state from taxes on fire insurance premiums; interest earnings; member contributions
made prior to the inception of LEOFF; and City contributions required to meet projected future
pension obligations. Costs of administering the Firefighter's Pension Plan are paid by the Plan.
For 2010, this cost was $469.
Basic Financial Statements, 4-45
2010 Comprehensive Annual Financial Report City of Renton, Washington
An actuarial valuation is done every two years and was completed as of January 1, 2011. The
Actuarial Valuation of Firefighters' Pension Fund table is reported in the Required Supplemental
Information section, and a recap of the Schedule of Funding Progress for the last five valuations
is as follows:
(rounded to thousands)
Valuation
Unfunded Actuarial
UAAL as a
Date
Actuarial Value
Actuarial Accrued
Accrued Liabilities
Funded Covered
Percentage of
January 1
of Assets
Liabilities
(UAAL)
Ratio Payroll
Covered Payroll
2001
$ 7,067
$ 6,780 $
(287)
104% $
n/a
2003
9,189
6,472
(2,717)
142%
n/a
2005
7,777
6,254
(1,523) *
124%
n/a
2007
7,847
6,364
(1,483)
123%
n/a
2009
8,941
6,517
(2,424)
137%
n/a
2011
8,940
3,914
(4,576)
217%
n/a
* A $29 decrease in the actuarial accrued liabilities was made after the City's financial report was published
and before the valuation was released.
Significant actuarial assumptions used in the January 1, 2011, valuation include:
Valuation date: January 1, 2011
Actuarial cost method: entry age normal
Amortization method: 30 -year, closed as of January 1, 2000
Remaining amortization period: 20 years
Asset valuation method: fair value
Actuarial assumptions: 1) investment rate of return — 4%; 2) projected salary increases —
3.75%; 3) inflation — 2.75%; and, 4) cost -of -living adjustments — based upon salary increase
assumption for FPF benefits, inflation assumption for LEOFF benefits.
The Annual Required Contribution (ARC) was computed using the Entry Age Normal Cost
Method. Under this method the projected benefits are allocated on a level basis as a
percentage of salary over the earnings of each individual between entry age and assumed exit
age. The amount allocated to each year is called the Normal Cost and the portion of the
Actuarial Present Value of all benefits not provided for by future Normal Cost payments is
called the Actuarial Accrued Liability. Since all members have already retired, the amount of
the Normal Cost is zero. The Unfunded Actuarial Accrued Liability (UAAL) is the Actuarial
Accrued Liability minus the actuarial value of the Fund's assets.
The following Annual Pension Cost and Net Pension Obligation table presents the annual
Normal Cost and the ARC as of January 1, 2011, assuming the UAAL is amortized over a closed
30 -year period beginning January 1, 2000.
Basic Financial Statements, 4-46
2010 Comprehensive Annual Financial Report
66,055
70,327
City of Renton, Washington
9. Change in Net Pension Obligation [7-8]
(155,302)
Fiscal Year Ending
(240,047)
io. Net Pension Obligation at Beginning of Year
12/31/2008
12/31/2009
12/31/2010
Annual required contribution (ARC)
$ (1,082,280)
$ (1,294,508)
$ (1,534,555)
1. Annual Normal Cost Beginning of Year
$ -
$ -
$ -
2. Amortization of UAAL Beginning of Year
(104,731)
(166,142)
(166,142)
3. Interest to End of Year*
(5,237)
(6,646)
(6,646)
4. ARC at End of Year [1+2+3]
$ (109,968)
$ (172,788)
$ (172,788)
5. Interest on Net Pension Obligation
$ (46,349)
$ (43,291)
$ (51,780)
6. Adjustment to ARC
(67,070)
(74,178)
(91,589)
7. Annual pension cost (APC) [4+5-6]
(89,247)
(141,901)
(132,979)
8. Employer Contributions**
66,055
70,327
107,068
9. Change in Net Pension Obligation [7-8]
(155,302)
(212,228)
(240,047)
io. Net Pension Obligation at Beginning of Year
$ (926,978)
$ (1,082,280)
$ (1,294,508)
11. Net Pension Obligation at End of Year [9+10]
$ (1,082,280)
$ (1,294,508)
$ (1,534,555)
* Assumed interest rate: 5.0% in 2008, 4.0% in 2009, 4.0% in 2010.
** Employer contributions for pensions are total contributions to the fund net of disbursements for
medical and administrative expenses.
The Annual Development of Pension Cost is recapped as follows:
Fiscal Year
Ending
ARC at EOY
Interest
on NPO
ARC
Adjustment
Annual
Pension Cost
Total Employer
Contributions
Change in
NPO
Obligation (NPO)
[1]
[2]
[3=pyr7/9]
[4=1+2-3]
[5]
[6=4-5]
12/31/2005
$ (113,541)
$ (24,553)
(31,545)
$ (106,549)
$ 58,029
$ (164,578)
12/31/2006
(113,541)
(33,604)
(44,035)
(103,110)
59,068
(162,178)
12/31/2007
(109,968)
(38,658)
(54,591)
(94,035)
59,777
(153,812)
12/31/2008
(109,968)
(46,349)
(67,070)
(89,247)
66,055
(155,302)
12/31/2009
(172,788)
(43,291)
(74,178)
(141,901)
70,327
(212,228)
12/31/2010
(172,788)
(51,780)
(91,589)
(132,979)
107,068
(240,047)
Fiscal Year
Amort.
Amort. Of
Ending
NPO Balance
(Gain)/Loss
Factor**
(Gain)/Loss
Ending Balance
[7=6+pryr7]
[8=1-5]
[9]
[10=pyr11/9]
[11=7]
12/31/2005
$ (610,988)
$ (171,570)
14.15170
$ (31,545)
$ (610,988)
12/31/2006
(773,166)
(172,609)
13.87500
(44,035)
(773,166)
12/31/2007
(926,978)
(169,745)
14.16300
(54,591)
(926,978)
12/31/2008
(1,082,280)
(176,023)
13.82120
(67,069)
(1,082,280)
12/31/2009
(1,294,508)
(243,115)
14.59030
(74,178)
(1,294,508)
12/31/2010
(1,534,555)
(279,856)
14.13390
(91,589)
(1,534,555)
Three year trend information is recapped as follows:
Basic Financial Statements, 4-47
Annual
Contribution as a
Net Pension
Fiscal Year Ending
Pension Cost (APC)
Percentage of APC
Obligation (NPO)
December 31, 2008
$ (89,247)
N/A % $
(1,082,280)
December 31, 2009
(141,901)
N/A
(1,294,508)
December 31, 2010
(132,979)
N/A
(1,534,555)
Basic Financial Statements, 4-47
2010 Comprehensive Annual Financial Report City of Renton, Washington
Employees are not required to make contributions. The contributions to the System for 2010
include $112,686 from fire insurance premiums and $365,188 of investment income. Benefits
and refunds of the defined benefit pension plan are recognized when due and payable in
accordance with the terms of the plan. For 2010, $359,681 was paid for benefit payments and
$5,149 for medical payments.
The Net Pension Obligation moves from ($1,294,508) to ($1,534,555) and is included, as a non-
current asset, in the City of Renton's Governmental -wide Statement of Net Assets.
NOTE 7. OTHER POST EMPLOYMENT BENEFITS
Plan Description
In accordance with the Revised Code of Washington (RCW) 41.26, the City provides lifetime
medical care for members of the Law Enforcement Officers and Firefighters (LEOFF) retirement
system hired prior to October 1, 1977. The plan is a closed, single -employer defined benefit
healthcare plan administered by the City.
Under authorization of the LEOFF Disability Board, direct payment is made for other retiree
medical expenses not covered by standard benefit plan provisions. Financial reporting for the
LEOFF retiree healthcare plan is included in the City's Comprehensive Annual Financial Report.
The plan does not issue stand-alone financial statements. An actuarial valuation financial
report is prepared by Nicolay Consulting, and may be obtained by contacting the City of Renton,
Finance Division, 1055 South Grady Way, Renton, WA 98057.
As of December 31, 2010, there were 96 retirees and 3 active employees.
Funding Policy
Funding for LEOFF retiree healthcare costs is provided entirely by the City as required by RCW.
The City's funding policy is based upon pay-as-you-go financing requirements. The plan
member is not required to contribute to the cost of the plan.
Annual OPEB Cost and Net OPEB Obligation
The City's annual other postemployment benefit (OPEB) cost is calculated based on the annual
required contribution (ARC), an amount actuarially determined in accordance with the
parameters of GASB Statement 45.
The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the
normal cost each year and amortize any unfunded actuarial liabilities over a period not to
exceed thirty years. The following table shows the components of the City's annual OPEB cost
for the year, the amount actually contributed to the plan, and changes in the City's net OPEB
obligation.
Basic Financial Statements, 4-48
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Fiscal Year Ending
12/31/2008 12/31/2009 12/31/2010
Annual required contribution (ARC)
Annual Normal Cost (BOY) $ 154,545 $ 20,000 $ 54,262
Amortization of UAAL (BOY)* 1,869,523 1,903,621 1,679,491
Interest to End of Year - -
ARC at end of year $ 2,024,068 $ 1,923,621 $ 1,733,753
Interest on Net OPEB Obligation $ - $ 24,311 $ 62,627
Adjustment to ARC - (35,785) (93,961)
Annual OPEB cost 2,024,068 1,912,147 1,702,419
Employer Contributions (1,266,192) (1,104,351) (983,868)
Change in Net OPEB Obligation 757,876 807,796 718,551
Net OPEB Obligation at BOY $ - $ 757,876 $ 1,565,672
Net OPEB Obligation at EOY $ 757,876 $ 1,565,672 $ 2,284,223
* Unfunded Actuarial Accrued Liability (UAAL)
The net OPEB obligation of $2,284,223 is included as a noncurrent liability on the Statement of
Net Assets.
The City's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and
the net OPEB obligation for 2010, 2009 and 2008 are as follows:
Annual Employer Percentage of OPEB Net OPEB
Year OPEB Cost Contribution Cost Contributed Obligation
2010 $ 1,702,419 $ 983,868 57.79% $ 2,284,223
2009 1,912,147 1,104,351 57.75% 1,565,672
2008 2,024,068 1,266,192 62.56% 757,876
Funded Status and Funding Progress
As of January 1, 2011, the most recent actuarial valuation date, the plan was 0% funded. The
accrued liability for benefits was $27,835,211 and the actuarial value of the assets was $0
resulting in a UAAL of $27,835,211. Net assets of $3,940,631 are restricted in the Insurance
Fund for the purpose of funding a portion of the UAAL.
Actuarial valuations involve estimates of the value of reported amounts and assumptions about
the probability of occurrence of events far into the future. Amounts determined regarding the
funded status of the plan and the annual required contributions of the employer are subject to
continual revision as actual results are compared with past expectations and new estimates are
made about the future.
The schedule of funding progress, presented as required supplementary information following
the notes to the financial statements, presents multi-year trend information that shows
Basic Financial Statements, 4-49
2010 Comprehensive Annual Financial Report City of Renton, Washington
whether the actuarial value of plan assets is increasing or decreasing over time relative to the
actuarial liabilities for benefits.
Actuarial Methods and Assumptions
Projections of benefits for financial reporting purposes are based on the substantive plan (the
plan as understood by the employer and plan members) and include the types of benefits
provided at the time of each valuation. The actuarial methods and assumptions used include
techniques that are designed to reduce the effects of short-term volatility in actuarial accrued
liabilities, consistent with the long-term perspective of the calculations.
The January 1, 2011 actuarial valuation report was prepared using the projected unit credit
method. The actuarial assumptions used included a 4.00% discount rate, which is based upon
the long-term investment yield on the investments that are expected to be used to finance the
payment of benefits. The following health care trend rate assumptions were used:
Expected Annual Increase in Health Care Cost
The UAAL is being amortized based on a level dollar amortization over a closed 30 year -period
that began in 2008 at the assumed discount rate.
NOTE 8. CONTINGENCIES
Litigation
The City has recorded in its financial statements all material liabilities, including an estimate for
situations that are not yet resolved but where, based on available information, management
believes it is probable that the City will have to make payment. In the opinion of management,
the City's insurance policies and/or self-insurance reserves are adequate to pay all known or
pending claims.
Contingencies under Grant Provisions
The City participates in a number of federal and state assisted programs. These grants are
subject to audit by the grantors of their representatives. Such audits could result in requests
for reimbursement to grantor agencies for expenditures disallowed under the terms of the
grants. The City's management believes that such disallowances, if any, will be immaterial.
Bond Indentures
The City is in compliance with all significant bond indentures and restrictions.
Basic Financial Statements, 4-50
Medicare
Dental and
Year
Medical
Part B
Nursing Home
Vision
2012
7.6%
7.6%
4.0%
2.0%
2013
7.3%
7.3%
4.0%
2.0%
2014
7.0%
7.0%
4.0%
2.0%
2015
6.7%
6.7%
4.0%
2.0%
2016
6.4%
6.4%
4.0%
2.0%
2017
6.1%
6.1%
4.0%
2.0%
2018
5.8%
5.8%
4.0%
2.0%
2019+
5.5%
5.5%
4.0%
2.0%
The UAAL is being amortized based on a level dollar amortization over a closed 30 year -period
that began in 2008 at the assumed discount rate.
NOTE 8. CONTINGENCIES
Litigation
The City has recorded in its financial statements all material liabilities, including an estimate for
situations that are not yet resolved but where, based on available information, management
believes it is probable that the City will have to make payment. In the opinion of management,
the City's insurance policies and/or self-insurance reserves are adequate to pay all known or
pending claims.
Contingencies under Grant Provisions
The City participates in a number of federal and state assisted programs. These grants are
subject to audit by the grantors of their representatives. Such audits could result in requests
for reimbursement to grantor agencies for expenditures disallowed under the terms of the
grants. The City's management believes that such disallowances, if any, will be immaterial.
Bond Indentures
The City is in compliance with all significant bond indentures and restrictions.
Basic Financial Statements, 4-50
2010 Comprehensive Annual Financial Report City of Renton, Washington
Leases
The City leases a temporary Parks Maintenance facility. Total cost for this lease was $100,996
for the year ended December 31, 2010. The lease term ends December 31, 2010, however, the
City may extend the lease for two (2) additional periods of one (1) year each beginning January
1, 2011. If the extension term is exercised, the future minimum lease payments for 2011 are
$106,248.
The City also leases office facilities for the City Attorney's office. Total cost for this lease was
$90,000 for the year ended December 31, 2010. The lease term ends December 31, 2011.
However, the City may extend the lease for one (1) additional year. The future minimum lease
payments for 2011 are $90,000.
Construction Commitments
Refer to Note 5.
NOTE 9. RISK MANAGEMENT
The City of Renton is exposed to various risks of loss related to tort; theft of, damage to, and
destruction of assets; errors and omissions; injuries to employees; and natural disasters. The
City of Renton protects itself against unforeseen losses by utilizing a three -pronged risk
management approach. First, the City self -funds first level losses through its Insurance Fund.
Second, excess insurance is purchased to cover medium and large losses. Third, the City
reserves the right to utilize the provisions of Chapter 35A.31.060 RCW to fund catastrophic or
uninsured losses. This State statute allows cities to levy a non -voted property tax increase to
pay for uninsured claims. An analysis of the self-insurance retention levels, limits of insurance,
and claims administrator for the major types of coverage are as follows:
Basic Financial Statements, 4-51
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Expires 01/01/2011
Risk
Authority
Equipment breakdown —
Retention
50,000,000
Zurich
Type of Coverage
Occurrence
Aggregate Amount
Carrier
Property— Expires
$25,000
$500,000,000 (per
WA Cities Ins
01/01/2011
occurrence subject to
Authority
Airport liability — Expires
0
annual aggregate &
Ace Property &
1/01/2011
sub -limits)
Casualty
Liability— Expires
250,000
20,000,000
WA Cities Ins
01/01/2011
(per occurrence)
Authority
Auto Liability — Expires
25,000
ACV or Replacement
WA Cities Ins
01/01/2011
Cost; per Occurrence
Authority
Public Officials (E&O) —
250,000
15,000,000
WA Cities Ins
Expires 01/01/2011
Authority
Equipment breakdown —
5,000*
50,000,000
Zurich
Expires 1/01/2011
Crime—Expires 12/31/2011
10,000
2,500,000
National Union
Fire
Airport liability — Expires
0
100,000,000
Ace Property &
1/01/2011
Casualty
Underground storage tank—
25,000
2,000,000
Colony Insurance
Expires 1/01/2011
Co.
Excess Worker's comp —
350,000
1,000,000
Safety National
Expires 1/01/2011
Excess Employee health —
150,000
N/A
Optum
Expires 1/01/2011
* There is a 4 -hour utility interruption clause, prior to the deductible becoming applicable
For policy term January 1, 2010 to January 1, 2011, there were no reductions in insurance
coverage and an increase in premiums; however, settlements for the last three years have not
exceeded insurance coverage.
The City of Renton is a member of the Washington Cities Insurance Authority (WCIA).
Utilizing Chapter 48.62 RCW (self-insurance regulation) and Chapter 39.34 RCW (Interlocal
Cooperation Act), nine cities originally formed WCIA on January 1, 1981. WCIA was created for
the purpose of providing a pooling mechanism for jointly purchasing insurance, jointly self-
insuring, and/or jointly contracting for risk management services. WCIA has a total of 145
members.
New members initially contract for a three-year term and thereafter automatically renew on an
annual basis. A one-year withdrawal notice is required before membership can be terminated.
Termination does not relieve a former member from its unresolved loss history incurred during
membership.
Liability coverage is written on an occurrence basis, without deductibles. Coverage includes
general, automobile, police, public officials' errors or omissions, stop gap, and employee
benefits liability. Limits are $4 million per occurrence self insured layer, and $16 million per
occurrence in the re -insured excess layer. The excess layer is insured by the purchase of
Basic Financial Statements, 4-52
2010 Comprehensive Annual Financial Report
City of Renton, Washington
reinsurance and insurance and is subject to aggregate limits. Total limits are $20 million per
occurrence subject to aggregate sublimits in the excess layers. The Board of Directors
determines the limits and terms of coverage annually.
Insurance coverage for property, automobile physical damage, fidelity, inland marine, and boiler
and machinery are purchased on a group basis. Various deductibles apply by type of coverage.
Property insurance and auto physical damage are self-funded from the members' deductible to
$500,000 for all perils other than flood and earthquake, and insured above that amount by the
purchase of insurance.
In-house services include risk management consultation, loss control field services, claims and
litigation administration, and loss analyses. WCIA contracts for the claims investigation
consultants for personnel issues and land use problems, insurance brokerage and lobbyist
services.
WCIA is fully funded by its members, who make annual assessments on a prospectively rated
basis; as determined by an outside, independent actuary. The assessment covers loss, loss
adjustment, and administrative expenses. As outlined in the interlocal, WCIA retains the right to
additionally assess the membership for any funding shortfall.
An investment committee, using investment brokers, produces additional revenue by
investment of WCIA's assets in financial instruments which comply with all State guidelines.
These revenues directly offset portions of the membership's annual assessment.
A Board of Directors governs WCIA, which is comprised of one designated representative from
each member. The Board elects an Executive Committee and appoints a Treasurer to provide
general policy direction for the organization. The WCIA Executive Director reports to the
Executive Committee and is responsible for conducting the day to day operations of WCIA.
The City's Risk Management Program is administered by the Human Resources and Risk
Management Administrator, with claims being processed by the independent claims
administrators noted above. As of December 31, 2010, the City had accrued the following
amounts for outstanding claims:
Total Claims Payable
Coverage 12/31/2010
Property & liability $697,531
Worker's compensation 696,880
Employee health 1,899,079
TOTAL $3,293,490
Basic Financial Statements, 4-53
2010 Comprehensive Annual Financial Report
City of Renton, Washington
NOTE 10. INTERFUND TRANSACTIONS
Interfund transactions are classified as follows:
1. Services Provided — Transactions that would be treated as revenues, expenditures, or
expenses if they involve external organizations, such as buying goods and services or
payments in lieu of taxes, are similarly treated when they involve other funds of the City
of Renton.
2. Transfers — Transactions to support the operations of other funds are recorded as
"Transfers" and classified with "Other Financing Sources or Uses" in the fund
statements. Transfers between governmental or proprietary funds are netted as part of
the reconciliation to the Government -wide financial statements.
3. Contributions — Contributions to the capital of enterprise or internal service funds,
transfers of capital assets between proprietary and governmental funds, transfers to
establish or reduce working capital in other funds, and transfers remaining balances
when funds are closed are classified non-operating revenue.
4. Loans/Advances — Loans between funds are classified as interfund loans receivable and
payable or as advances to and from other funds in the fund statements. Interfund loans
do not affect total fund equity, but advances to other funds are offset by a reservation
of fund equity. Loans and advances are subject to elimination upon consolidation.
Basic Financial Statements, 4-54
Property &
Worker's
Employee
2010
Liability
Compensation
Health
Totals
IBNR claims at beginning of the year
$332,713
$830,652
$1,835,494
$2,998,859
Current year and changes in estimates
1,961,920
738,167
10,166,174
12,866,261
Claims payments
(1,597,102)
(871,939)
(10,102,589)
(12,571,630)
IBNR claims at end of the year
$697,531
$696,880
$1,899,079
$3,293,490
Property &
Worker's
Employee
2009
Liability
Compensation
Health
Totals
IBNR claims at beginning of the year
$591,052
$590,708
$1,744,915
$2,926,675
Current year and changes in estimates
1,091,855
1,396,542
9,697,684
12,186,081
Claims payments
(1,350,194)
(1,156,598)
(9,607,105)
(12,113,897)
IBNR claims at end of the year
$332,713
$830,652
$1,835,494
$2,998,859
NOTE 10. INTERFUND TRANSACTIONS
Interfund transactions are classified as follows:
1. Services Provided — Transactions that would be treated as revenues, expenditures, or
expenses if they involve external organizations, such as buying goods and services or
payments in lieu of taxes, are similarly treated when they involve other funds of the City
of Renton.
2. Transfers — Transactions to support the operations of other funds are recorded as
"Transfers" and classified with "Other Financing Sources or Uses" in the fund
statements. Transfers between governmental or proprietary funds are netted as part of
the reconciliation to the Government -wide financial statements.
3. Contributions — Contributions to the capital of enterprise or internal service funds,
transfers of capital assets between proprietary and governmental funds, transfers to
establish or reduce working capital in other funds, and transfers remaining balances
when funds are closed are classified non-operating revenue.
4. Loans/Advances — Loans between funds are classified as interfund loans receivable and
payable or as advances to and from other funds in the fund statements. Interfund loans
do not affect total fund equity, but advances to other funds are offset by a reservation
of fund equity. Loans and advances are subject to elimination upon consolidation.
Basic Financial Statements, 4-54
2010 Comprehensive Annual Financial Report
City of Renton, Washington
The following is a recap of interfund balances for 2010 at the fund level for the purpose of
reclassifying revenue/expenditures between funds:
Fund
Due From
Other Funds
Due To
Other Funds
General Fund
General Debt Service Fund
Capital Improvement Fund
$ 42,516
163,067
$ 925,165
41,060
Subtotal Governmental Funds
205,583
966,225
Waterworks Utility Fund
-
1,456
Subtotal Enterprise Funds
-
1,456
Equipment Rental Fund
Insurance Fund
19,384
742,714
-
-
Subtotal Internal Service Funds
762,098
-
TOTAL
$ 967,681
$ 967,681
At the government wide level, only one interfund balance occurred for the purpose of
reclassifying revenue/expenditures between activities:
The following is a recap of interfund loans for 2010 at the fund level for capital improvement
purposes:
Fund
Due From
Due To
Fund
Other Funds
Other Funds
General Fund
$ 1,456
$ -
Waterworks Utility Fund
-
1,456
TOTAL
$ 1,456
$ 1,456
The following is a recap of interfund loans for 2010 at the fund level for capital improvement
purposes:
Fund
Interfund Loans
Receivable
Interfund Loans
Payable
General Fund
$ 1,875,000
$
Subtotal Governmental Funds
1,875,000
-
Airport Fund
Golf Course Fund
Waterworks Utility Fund
-
-
386,421
386,421
1,875,000
-
Subtotal Enterprise Funds
386,421
2,261,421
TOTAL
$ 2,261,421
$ 2,261,421
Basic Financial Statements, 4-55
2010 Comprehensive Annual Financial Report
City of Renton, Washington
At the government wide level, only one interfund loan occurred for capital improvement
purposes:
The following is a recap of interfund transfers for 2010 at the fund level:
Interfund Loans
Interfund Loans
Fund
Receivable
Payable
General Fund
$ 1,875,000
$
Golf Course Fund
-
1,875,000
TOTAL
$ 1,875,000
$ 1,875,000
The following is a recap of interfund transfers for 2010 at the fund level:
At the government wide level, only one transfer occurred as follows:
Transfer
Transfer
Fund
In
Out
General Fund
$ 13,058
$ 119,491
Arterial Street Fund
-
620,000
One Percent for Art Fund
13,261
-
General Debt Service Fund
639,340
-
1989 Unlim GO Bond Debt Service Fund
-
79,340
Fire Impact Mitigation Fund
560,000
Transportation Impact Mitigation Fund
1,140,000
Municipal Facilities CIP Fund
-
290,238
Capital Improvement Fund
1,880,000
13,261
Subtotal Governmental Funds
2,545,659
2,822,330
Waterworks Utility Fund
17,095
-
Subtotal Enterprise Funds
17,095
-
Equipment Rental Fund
163,985
17,095
Subtotal Internal Service Funds
163,985
17,095
Firemen's Pension Trust Fund
112,686
-
TOTAL
$ 2,839,425
$ 2,839,425
At the government wide level, only one transfer occurred as follows:
NOTE 11. NET ASSETS
The Government -wide and business type fund financial statements utilize a net asset
presentation. Net assets are the difference between assets and liabilities. Net assets are
categorized as investments in capital assets (net of related debt), restricted, and unrestricted.
Basic Financial Statements, 4-56
Transfer
Transfer
Fund
In
Out
Waterworks Utility Fund
17,095
-
Equipment Rental Fund
-
17,095
TOTAL
$ 17,095
$ 17,095
NOTE 11. NET ASSETS
The Government -wide and business type fund financial statements utilize a net asset
presentation. Net assets are the difference between assets and liabilities. Net assets are
categorized as investments in capital assets (net of related debt), restricted, and unrestricted.
Basic Financial Statements, 4-56
2010 Comprehensive Annual Financial Report
City of Renton, Washington
A. Investment in Capital Assets (net of related debt) is intended to reflect the portion of net
assets that are associated with non -liquid, capital assets less outstanding capital asset
related debt.
The net related debt is the debt less the outstanding liquid assets and any associated
unamortized costs.
B. Restricted net assets are liquid assets (generated from revenues and not bond proceeds),
which have third party (statutory, bond covenant, or granting agency) limitations on their
use. The City would typically use restricted net assets first, as appropriated opportunities
arise, but reserve the right to selectively defer the use thereof to a future project or
replacement equipment acquisition.
Restricted net assets are as follows:
C. Unrestricted net assets represent unrestricted liquid assets. The City's management may
have plans or tentative commitments to expend resources for certain purposes in future
periods. Further legal action will be required to authorize the actual expenses or
expenditures.
NOTE 12. PRIOR PERIOD ADJUSTMENTS
Governmental Activities
A prior period adjustment in the amount of ($204,836) is necessary to reverse an amount
accrued in 2005. The revenue was received in 2006 and the accrual entry was not properly
reversed during that year.
A prior period adjustment in the amount of $857,924 was required for construction in progress
additions and disposals related to expenditures for capital investment program projects not
properly capitalized.
Capital Contributions in 2009 in the amount of $1,124,176 were not properly recorded as such
and the related assets were not recorded at the full amount. A prior period adjustment is
Basic Financial Statements, 4-57
Purpose
Fund
Judicial Public Safety Transportation Economic
Culture and
Debt service Prepaid items Capital OPEB liability
Totals
Environment Recreation
General
$ 45,526 $ 654,569 $
- $
64,016 $ 179,975
$ - $
8,000 $ - $
-
$ 952,086
1% for Art
- -
-
- -
-
- 3,425
-
3,425
General Debt
- -
-
- -
1,009,555
- -
-
1,009,555
C.D. Impact Mitigation
- -
-
- 1,343,446
-
- -
-
1,343,446
Fire Impact Mitigation
- 1,928,814
-
- -
-
- -
-
1,928,814
Transportation Impact Mitigation
- -
1,119,849
- -
-
- -
-
1,119,849
Municipal Facilities CIP
- -
-
- -
-
- 16,484
-
16,484
Capital Improvement
- -
-
- -
-
- 1,349,811
-
1,349,811
Insurance
3,940,631
3,940,631
Governmental Activities subtotal
$ 45,526 $ 2,583,383 $
1,119,849 $
64,016 $ 1,523,421
$ 1,009,555 $
8,000 $ 1,369,720 $
3,940,631
$ 11,664,101
Airport
58,747
58,747
Business -Type Activities subtotal
$ - $ - $
- $
- $ -
$ - $
- $ 58,747 $
-
$ 58,747
Totals
$ 45,526 $ 2,583,383 $
1,119,849 $
64,016 $ 1,523,421
$ 1,009,555 $
8,000 $ 1,428,467 $
3,940,631
$ 11,722,848
C. Unrestricted net assets represent unrestricted liquid assets. The City's management may
have plans or tentative commitments to expend resources for certain purposes in future
periods. Further legal action will be required to authorize the actual expenses or
expenditures.
NOTE 12. PRIOR PERIOD ADJUSTMENTS
Governmental Activities
A prior period adjustment in the amount of ($204,836) is necessary to reverse an amount
accrued in 2005. The revenue was received in 2006 and the accrual entry was not properly
reversed during that year.
A prior period adjustment in the amount of $857,924 was required for construction in progress
additions and disposals related to expenditures for capital investment program projects not
properly capitalized.
Capital Contributions in 2009 in the amount of $1,124,176 were not properly recorded as such
and the related assets were not recorded at the full amount. A prior period adjustment is
Basic Financial Statements, 4-57
2010 Comprehensive Annual Financial Report City of Renton, Washington
necessary in 2010 to properly record these capital assets. The prior period accumulated
depreciation for these assets amounted to ($4,711).
Finally, the prior period adjustment decreasing machinery and equipment in the amount of
($2,600,779) resulted from additions and disposals related to a physical inventory of the
equipment managed by Fleet and a separate capital asset not properly capitalized in 2009. The
associated accumulated depreciation related to the additions and disposals amounted to a
decrease of $1,569,625.
Business -Type Activities
Capital Contributions in 2009 in the amount of $780,547 were not properly recorded as such
and the related asset was not recorded at the full amount. A prior period adjustment is
necessary in 2010 to properly record these capital assets. The prior period accumulated
depreciation for these assets amounted to ($3,698).
Additionally, a prior period adjustment in the amount of ($634,765) required to dispose of
construction in progress improperly capitalized.
A final prior period adjustment ($231,838) was necessary to correct prior period public works
shops inventory balances.
NOTE 13. LONGTERM DEBT
The City of Renton's long-term debt consists of General Obligation Debt, repaid mainly from
general governmental revenue sources, Proprietary Debt, repaid from proprietary revenues and
compensated absences/other post employment benefits. These debts are accounted for in the
following areas: 1) The outstanding general obligation debt is reported in the Government -
wide financial statements; 2) The repayment, or debt service of the same, is recorded in the
Debt Service Funds; and, 3) The proprietary debt liability and repayment of the same are
reported in individual Proprietary Funds. Compensated absences and other post employment
benefits are generally liquidated mainly from the general fund and to a lesser extent, the
internal service funds.
Basic Financial Statements, 4-58
2010 Comprehensive Annual Financial Report
Outstanding debt issues as of December 31, 2010 are as follows:
City of Renton, Washington
Type of Debt
Interest Rates
Issued
Maturity
Original Issued
Date
Date
Amount
GOVERNMENTAL DEBT:
General Obligation Bonds:
Limited:
2001 GO Refunding Bonds
2.10%-5.25%
11/01/2001
12/01/2017
13,505,000
2002 GO Bonds
2.50%-5.00%
07/15/2002
12/01/2022
3,895,000
2006 GO Bonds
4.25%-5.00%
08/08/2006
12/01/2028
17,980,000
2010 GO Refunding Bonds
3.00%-4.50%
05/11/2010
12/01/2021
6,170,000
SUBTOTAL LIMITED GO
41,550,000
Other Miscellaneous debt - Intergovernmental,
Backed by full faith and credit of the City:
2009 FD 40 Loan for acquisition of FS13
3.75%
03/01/2009
09/01/2028
6,798,085
2009 (A) SCORE Tax Exempt
4.00%-5.00%
11/04/2009
01/01/2022
2,953,800
2009 (B) SCORE BABS
3.00%-6.62%
11/04/2009
01/01/2039
28,090,800
2010 GO Valley Comm Refunding Bonds
3.00%-4.00%
04/05/2010
12/01/2015
1,065,000
SUBTOTAL MISCELLANEOUS
38,907,685
TOTAL GOVERNMENTAL -TYPE DEBT ISSUANCE
80,457,685
BUSINESS -TYPE DEBT:
Revenue Bonds:
1998 Water/Sewer Refunding
4.46%
03/01/1998
06/01/2013
6,120,000
2002 Water/Sewer
4.80%
07/01/2002
12/01/2022
11,980,000
2003 Water/Sewer Refunding
3.20%
09/15/2003
06/01/2013
8,035,000
2004 Water/Sewer
4.33%
11/01/2004
12/01/2027
10,335,000
2007 Water/Sewer
4.00%-5.00%
11/06/2007
12/01/2022
1,430,000
2007 Water/Sewer Refunding
4.00%-5.00%
11/06/2007
12/01/2022
8,320,000
2008 Water/Sewer Revenue (a)
4.17%
01/04/2008
12/01/2027
9,975,000
2008 Water/Sewer Revenue (b)
4.17%
01/04/2008
12/01/2016
2,035,000
TOTAL REVENUE BONDS
58,230,000
Public Works Trust Fund Loans:
Sierra Heights Sewer Improvements
2.00%
01/20/1992
07/01/2012
888,462
Central Renton Sewer Replacement
1.00%
05/04/1993
07/01/2015
1,631,800
East Renton Interceptor
1.00%
06/07/1993
07/01/2013
2,542,704
Dayton Avenue NE
2.00%
05/12/1994
07/01/2014
96,958
NE 27th /Aberdeen Drainage Improvements
1.00%
05/15/1995
07/01/2015
731,000
East Kennydale Interceptor
2.00%
01/24/1998
07/01/2016
2,093,740
Honeycreek Interceptor
2.00%
12/04/1995
07/01/2016
1,840,568
Corrosion Control Treatment Facilities
1.00%
01/06/1997
07/01/2017
1,106,000
Maplewood Water Treatment Improvement
0.50%
01/22/2002
07/01/2021
567,831
Construct CT Pipeline for Wells
0.50%
11/05/2002
07/01/2022
814,527
Maplewood Water Treatment Improvement
0.50%
06/03/2004
07/01/2024
5,150,000
TOTAL PUBLIC WORKS TRUST FUND LOANS
17,463,590
Leases:
Golf Course Operating Lease
5.25%
06/15/2007
05/15/2011
87,800
TOTAL LEASES
87,800
TOTAL BUSINESS -TYPE DEBT ISSUANCE
75,781,390
TOTAL AMOUNT ISSUED ON OUTSTANDING DEBT AS OF DECEMBER 31, 2010
$156,239,075
Basic Financial Statements, 4-59
2010 Comprehensive Annual Financial Report
Outstanding debt additions and retirements are summarized as follows:
City of Renton, Washington
Basic Financial Statements, 4-60
Beginning Balance
Ending Balance
Due Within One
General Governmental Debt
01/01/2010
Additions
Deductions
12/31/2010
Year
Limited General Obligation Debt
2001 GO Refunding Bonds
12,700,000
1,350,000
11,350,000
1,400,000
2001 GO Bonds
6,000,000
6,000,000
-
-
2002 GO Bonds
2,860,000
170,000
2,690,000
175,000
2006 GO Bonds
16,920,000
565,000
16,355,000
585,000
2010 GO Refunding Bonds
-
6,170,000
140,000
6,030,000
5,000
Unamortized (discount)/premium
559,834
37,395
31,617
565,612
-
Total Limited GO Bonds
39,039,834
6,207,395
8,256,617
36,990,612
2,165,000
Other Miscellaneous debt - Intergovernmental,
Backed with full faith and credit of the City
2000 GO Valley Comm. Bonds
1,253,000
-
1,253,000
-
-
2009 FD 40 Loan for acquisition of FS13
6,675,947
252,672
6,423,275
262,236
2009 (A) SCORE Tax Exempt
2,953,800
-
2,953,800
-
2009 (B) SCORE BABS
28,090,800
-
-
28,090,800
-
2010 GO Valley Comm. Refunding Bonds
-
1,065,000
21,000
1,044,000
196,000
Total Miscellaneous
38,973,547
1,065,000
1,526,672
38,511,875
458,236
Total General Obligation Debt
78,013,381
7,272,395
9,783,289
75,502,487
2,623,236
Other:
Employee Leave Benefits (Comp. Absences)
5,425,995
2,915,204
3,092,817
5,248,382
2,991,578
Other post -employment benefits payable
1,565,672
1,702,419
983,868
2,284,223
-
Total Governmental Debt
$ 85,005,048
$ 11,890,019
$ 13,859,974
$ 83,035,092
$ 5,614,814
Basic Financial Statements, 4-60
2010 Comprehensive Annual Financial Report
City of Renton, Washington
Outstanding debt additions and retirements are summarized as follows (continued):
DEEP DISCOUNT DEBT
As of December 31, 2010, the City of Renton has no deep discount debt outstanding.
SPECIAL ASSESSMENT DEBT WITH GOVERNMENTAL COMMITMENT
As of December 31, 2010, the City of Renton has no special assessment debt outstanding.
DEBT LIMIT CAPACITIES
State law provides that debt cannot be incurred in excess of the following percentages of the
value of the taxable property of the City: 1.5 percent without a vote of the people provided the
indebtedness with a vote is 1 percent or less; 2.5 percent with a vote of the people; 5.0 percent
with a vote of the people, provided the indebtedness in excess of 2.5 percent is for utilities; and
Basic Financial Statements, 4-61
Beginning Balance
Ending Balance
Due Within One
Business -Type Debt
01/01/2010
Additions
Deductions
12/31/2010
Year
Revenue Bonds:
1998 Water/Sewer Refunding
$ 2,320,000
$
$ 625,000
$ 1,695,000
$ 650,000
1999 Golf System Refunding
2,200,000
2,200,000
-
-
2002 Water/Sewer Bond
2,665,000
630,000
2,035,000
1,010,000
2003 Water/Sewer Refunding
1,845,000
685,000
1,160,000
355,000
2004 Water/Sewer Bond
10,335,000
-
10,335,000
-
2007 Water/Sewer Bond
1,430,000
-
1,430,000
-
2007 Water/Sewer Bond (02)
8,305,000
15,000
8,290,000
15,000
2008 Water/Sewer Bond (a)
9,975,000
-
9,975,000
-
2008 Water/Sewer Bond (b)
2,035,000
2,035,000
Unamortized (discount)/premium
(257,148)
(221,787)
(35,361)
-
Total Revenue Bonds
40,852,852
3,933,213
36,919,639
2,030,000
Public Works Trust Fund Loans:
Sierra Heights Sewer Improvements
76,928
25,642
51,286
25,642
Central Renton Sewer Replacement
453,970
87,483
366,487
87,483
East Renton Interceptor
538,280
134,570
403,710
134,570
Dayton Avenue NE
25,515
5,103
20,412
5,103
NE 27th/Aberdeen Drainage Improvement
255,539
42,590
212,949
42,590
East Kennydale Interceptor
817,982
116,855
701,127
116,855
Honeycreek Interceptor
678,104
96,872
581,232
96,872
Corrosion Control Treatment Facilities
394,855
49,357
345,498
49,357
Maplewood Water Improvement
363,611
30,301
333,310
30,301
Const. CT Pipeline for Wells
557,308
42,870
514,438
42,870
Maplewood Water Improvements
4,089,706
272,647
3,817,059
272,647
Total Public Work Trust Fund Loan
8,251,798
904,290
7,347,508
904,290
Other:
Golf Course Cart Operating Lease
33,185
-
23,127
10,058
10,058
Employee Leave Benefits (Comp.Absences)
646,915
173,142
156,570
663,488
148,351
Total Business -Type Debt
49,784,750
173,142
5,017,199
44,940,693
3,092,700
GRAND TOTALS
$ 134,789,799
$ 12,063,161
$ 18,877,174
$ 127,975,785
$ 8,707,513
DEEP DISCOUNT DEBT
As of December 31, 2010, the City of Renton has no deep discount debt outstanding.
SPECIAL ASSESSMENT DEBT WITH GOVERNMENTAL COMMITMENT
As of December 31, 2010, the City of Renton has no special assessment debt outstanding.
DEBT LIMIT CAPACITIES
State law provides that debt cannot be incurred in excess of the following percentages of the
value of the taxable property of the City: 1.5 percent without a vote of the people provided the
indebtedness with a vote is 1 percent or less; 2.5 percent with a vote of the people; 5.0 percent
with a vote of the people, provided the indebtedness in excess of 2.5 percent is for utilities; and
Basic Financial Statements, 4-61
2010 Comprehensive Annual Financial Report City of Renton, Washington
7.5 percent with a vote of the people provided the indebtedness in excess of 5.0 percent is for
open space development and parks facilities. Table 12 in the Statistical Section shows the
computation of legal debt margin for general and special purpose capacities for the City of
Renton.
ARBITRAGE
The City engages an outside agency to calculate its' arbitrage rebate liability on outstanding tax-
exempt bonds and certificates of participation under Section 148(f) of the Internal Revenue
Code. No additional rebate was found due for any revenue or general obligation bonds for
2010.
REFUNDED DEBT
On April 5, 2010, the Valley Communications Center (Valley Comm) issued $5,325,000 in Valley
Comm General Obligation Refunding Bonds with an average interest rate of 3%-4% to advance
refund $5,345,000 of outstanding 2000 Valley Comm General Obligation Bonds. The City's
portion of the issuance was $1,065,000.
On May 11, 2010, the City issued $6,170,000 in Limited Tax General Obligation Refunding Bonds
with an average interest rate of 4.49% to advance refund $6,000,000 of outstanding 2001
Limited Tax General Obligation Bonds. The net proceeds were used to purchase U.S.
government securities which were deposited with an escrow agent to provide for all future
debt service payments on the refunded bonds. As a result, these bonds are considered
defeased. The advance refunding resulted in a reduction in the aggregate debt service
payments of $335,632 and a present value gain of $277,042.
On December 1, 2010, the City issued $1,875,000 in an interfund loan (from General Fund to
Golf Course Fund) with an average interest rate of 2.25% to advance repay the $1,875,000 of
outstanding 1999 Golf Course Revenue Bonds. As a result, these bonds are considered
defeased. The advance repayment resulted in a reduction in the aggregate debt service
payments (interest only) of $175,009.
In prior years the City defeased certain bond issues by placing the proceeds of new bonds in an
irrevocable trust to provide for all future debt service payments on the old bonds. Accordingly,
the trust account assets and the liability for the defeased bonds are not included in the City's
financial statements. The schedules of assets, liabilities, and net assets of the City's escrow
accounts as of December 31, 2010 are provided in the following table.
US Bank Corporate Trust US Bank Corporate Trust
(2007 Revenue Bonds) (2010 LTGO Bonds)
Cash with Trustee $
1 $
1
Investments with Trustee
8,322,457
6,261,450
Estimated Interest Receivable
325,566
45,956
it Assets
8,648,024
6,307,407
ilities
Refunded Bonds Payable
8,160,000
6,000,000
d Liabilities
8,160,000
6,000,000
Assets
Earnings with Trustee
488,024
307,407
d Net Assets $
488,024 $
307,407
Basic Financial Statements, 4-62
2010 Comprehensive Annual Financial Report City of Renton, Washington
ANNUAL DEBT SERVICE REQUIREMENTS
The annual debt service requirements to maturity, including principal and interest, for long-
term debt as of December 31, 2010, are as follows:
AMOUNT AVAILABLE FOR DEBT SERVICE
Fund balances that have been reserved for debt repayment are $1,009,555 in the general
governmental funds.
OPERATING LEASES
The City has Golf Course Operating Lease agreement for the amount of $87,800 and dated June
2007. This lease is for the purchase of 50 Club Car Golf Carts. The lease qualifies as an
operating lease for accounting purposes because the individual cost of each golf cart is below
the City's capitalization threshold of $5,000. Payments are made monthly at an interest rate of
5.25%. The debt service for this lease is accounted for in the Municipal Golf Course System
Fund (404). As of December 31, 2010, the current portion of operating leases payable is
$10,058. The following table provides the future minimum lease obligations and the net
present value of these minimum lease payments as of December 31, 2010:
Operating Lease Obligations
Governmental Activities
Business -Type Activities
Year
Principal
Interest
Principal
Interest
2011
2,623,236
3,921,772
2,944,324
1,673,172
2012
2,742,517
3,818,599
3,019,290
1,577,350
2013
3,551,839
3,676,065
2,488,648
1,485,133
2014
3,692,130
3,517,764
2,368,612
1,423,451
2015
3,850,625
3,343,899
2,433,509
1,346,396
2016-2020
19,039,034
13,964,803
11,946,530
5,424,814
2021-2025
14,260,804
9,692,773
13,411,629
3,076,174
2026-2030
10,954,889
6,153,591
5,700,000
406,293
2031-2035
7,234,200
3,548,287
-
-
2035+
6,987,600
949,012
-
-
Totals
74,936,875
52,586,564
44,312,541
16,412,783
AMOUNT AVAILABLE FOR DEBT SERVICE
Fund balances that have been reserved for debt repayment are $1,009,555 in the general
governmental funds.
OPERATING LEASES
The City has Golf Course Operating Lease agreement for the amount of $87,800 and dated June
2007. This lease is for the purchase of 50 Club Car Golf Carts. The lease qualifies as an
operating lease for accounting purposes because the individual cost of each golf cart is below
the City's capitalization threshold of $5,000. Payments are made monthly at an interest rate of
5.25%. The debt service for this lease is accounted for in the Municipal Golf Course System
Fund (404). As of December 31, 2010, the current portion of operating leases payable is
$10,058. The following table provides the future minimum lease obligations and the net
present value of these minimum lease payments as of December 31, 2010:
Operating Lease Obligations
YEAR ENDING DECEMBER 31, 2010
GOLF COURSE
FUND
2011
$ 10,058
Total Minimum Lease Payments
10,058
Less: Interest
(127)
PRESENT VALUE OF MINIMUM LEASE PAYMENTS
$ 9,931
NOTE 14 - DEFERRED CHARGES IN PROPRIETARY FUNDS
As of December 31, 2010, the total amount of deferred charges and other assets reported in
the proprietary funds is $566,022. 100% of this amount is reported in the Waterworks Utility
Fund and is for debt issuance costs related to the 2002-2008 Revenue Bonds. This amount will
Basic Financial Statements, 4-63
2010 Comprehensive Annual Financial Report City of Renton, Washington
be fully amortized by 2027. See Note 13 — Long Term Debt regarding 1999 Golf Course
Revenue Bonds.
NOTE 15. SEGMENT INFORMATION
An identifiable activity (or grouping of activities) required to be accounted for separately, which
(a) is reported as or within an enterprise fund; (b) for which one or more revenue bonds are
outstanding; and, (c) where the revenue stream is pledged for payment of, are required to
disclose segment information. The City of Renton has no required segment information to
disclose for 2010.
NOTE 16. JOINT VENTURES
A joint venture is a legal entity or other organization that results from a contractual agreement
and that is owned, operated, or governed by two or more participants as a separate and
specific activity subject to joint control in which the participants retain (a) an on-going financial
interest or (b) an on-going financial responsibility. The City participates in two joint ventures.
VALLEY COMMUNICATIONS CENTER
The Valley Communications Center (Valley Comm) was established August 20, 1976, when an
Interlocal Agreement was entered into by four original participating municipal corporations,
including the cities of Renton, Kent, Auburn, and Tukwila. Federal Way was formally admitted
in 2000. The agreement is sanctioned by the provisions and terms of the Interlocal Cooperation
Act pursuant to Chapter 39.34 RCW. The initial duration of the agreement was five years, and
thereafter is automatically extended for consecutive five-year periods.
The purpose of the joint operation, hereafter referred to as Valley Comm, is to provide
improved consolidated emergency communications (dispatch) services for police, fire, and
medical aid, to the five participating cities and to several subscribing agencies that include:
King County Fire Districts 2, 17 (Black Diamond), 20, 26, 40, 43, 44, 47; City of Pacific Police and
Fire Departments; City of Black Diamond Police Department; City of Des Moines Police
Department; SeaTac Fire Department; North Highline Fire Department; King County EMS Units;
and Vashon Island Fire Department. Separate agreements between Valley Comm and the
subscribing agencies have been executed, which set forth conditions of services and rates
charged.
The City of Renton reports its share of equity interest in the Governmental Activities column
within the Government -wide financial statements under non-current assets. The following is
condensed financial information as of December 31, 2010 related to Valley Comm:
Basic Financial Statements, 4-64
2010 Comprehensive Annual Financial Report City of Renton, Washington
Completed Financial Statements for Valley Comm can be obtained from the Valley
Communications Center, 23807 — 98th Avenue South, Kent, WA 98031.
SOUTH CORRECTIONAL ENTITY (SCORE)
The South Correctional Entity (SCORE) consolidated correctional facility was established
February 25, 2009, when an Interlocal Agreement (the "Original Interlocal Agreement") was
entered into by seven participating municipal governments, the "Member Cities" of Auburn,
Burien, Des Moines, Federal Way, Renton, SeaTac and Tukwila, under the authority of the
"Interlocal Cooperation Act" (RCW 39.34). This "Original Interlocal Agreement" was amended
and restated October 1, 2009 and named the City of Des Moines as the "Host City" and the
remaining Member Cities as "Owner Cities". This interlocal agreement is known as the
"Formation Interlocal Agreement". Pursuant to a separate "Host City Agreement" dated
October 1, 2009, the Host City will not enjoy the same equity position as the Owner Cities until
all debts issued are paid and the Host City fulfills all of its obligations as outlined in the
Agreement.
SCORE, an governmental administrative agency pursuant to RCW 39.34.030 (3), has the power
to acquire, construct, own, operate, maintain, equip, and improve a correctional facility known
as the "SCORE Facility" and to provide correctional services and functions incidental thereto, for
the purpose of detaining arrestees and sentenced offenders in the furtherance of public safety
and emergencies within the jurisdiction of the Member Cities. The SCORE Facility may serve
the Member Cities and Subscribing Agencies which are in need of correctional facilities. Any
agreement with a Subscribing Agency shall be in writing and approved by SCORE as provided
within the SCORE Formation Interlocal Agreement.
Financing for the acquisition, construction, equipping, and improvement of the SCORE Facility
will be provided by bonds issued by the South Correctional Entity Facility Public Development
Authority (the "SCORE PDA"), a public development authority chartered by the City of Renton
pursuant to RCW 35.21.730 through 35.21.755 and secured by the full faith and credit of the
Cities of Auburn, Burien Federal Way, Renton, SeaTac, and Tukwila (the "Owner Cities"). The
SCORE PDA issued $86 million in special obligation bonds in 2009 to carry out the facility
Basic Financial Statements, 4-65
Valley Communications Center
2010 Owner Cities Equity Allocation
Member City
Percent of Equity
2009 Equity Balance 2010 Distribution
2010 Equity Balance
Auburn
20.72%
$ 4,408,776 $
166,762
$ 4,575,538
Federal Way
14.00%
2,903,476
187,172
3,090,648
Kent
30.99%
6,628,171
213,723
6,841,894
Renton
21.89%
4,653,923
179,748
4,833,671
Tukwila
12.41%
2,661,250
78,210
2,739,460
Grand Totals
100.00%
$ 21,255,596 $
825,615
$ 22,081,211
Completed Financial Statements for Valley Comm can be obtained from the Valley
Communications Center, 23807 — 98th Avenue South, Kent, WA 98031.
SOUTH CORRECTIONAL ENTITY (SCORE)
The South Correctional Entity (SCORE) consolidated correctional facility was established
February 25, 2009, when an Interlocal Agreement (the "Original Interlocal Agreement") was
entered into by seven participating municipal governments, the "Member Cities" of Auburn,
Burien, Des Moines, Federal Way, Renton, SeaTac and Tukwila, under the authority of the
"Interlocal Cooperation Act" (RCW 39.34). This "Original Interlocal Agreement" was amended
and restated October 1, 2009 and named the City of Des Moines as the "Host City" and the
remaining Member Cities as "Owner Cities". This interlocal agreement is known as the
"Formation Interlocal Agreement". Pursuant to a separate "Host City Agreement" dated
October 1, 2009, the Host City will not enjoy the same equity position as the Owner Cities until
all debts issued are paid and the Host City fulfills all of its obligations as outlined in the
Agreement.
SCORE, an governmental administrative agency pursuant to RCW 39.34.030 (3), has the power
to acquire, construct, own, operate, maintain, equip, and improve a correctional facility known
as the "SCORE Facility" and to provide correctional services and functions incidental thereto, for
the purpose of detaining arrestees and sentenced offenders in the furtherance of public safety
and emergencies within the jurisdiction of the Member Cities. The SCORE Facility may serve
the Member Cities and Subscribing Agencies which are in need of correctional facilities. Any
agreement with a Subscribing Agency shall be in writing and approved by SCORE as provided
within the SCORE Formation Interlocal Agreement.
Financing for the acquisition, construction, equipping, and improvement of the SCORE Facility
will be provided by bonds issued by the South Correctional Entity Facility Public Development
Authority (the "SCORE PDA"), a public development authority chartered by the City of Renton
pursuant to RCW 35.21.730 through 35.21.755 and secured by the full faith and credit of the
Cities of Auburn, Burien Federal Way, Renton, SeaTac, and Tukwila (the "Owner Cities"). The
SCORE PDA issued $86 million in special obligation bonds in 2009 to carry out the facility
Basic Financial Statements, 4-65
2010 Comprehensive Annual Financial Report City of Renton, Washington
development project. The following is a summary of the debt service requirements for the
bond issue:
The City of Renton reports its share of equity interest in the Governmental Activities column
within the Government -wide financial statements under non-current assets. The following is
condensed financial information as of December 31, 2010 related to SCORE:
South Correctional Entity (SCORE)
2010 Owner Cities Equity Allocation
Summary of Debt Service Requirements
Member City
Percent of Equity
2009 Equity Balance 2010 Distribution
2010 Equity Balance
Auburn
31.00%
Debt Service
Schedule
$ 1,601,588
Burien
4.00%
218,383
Debt Service Allocation to Owner Cities
206,656
Federal Way
18.00%
982,725
(52,771)
35% BAB,
Renton
Auburn
Bunn
Federal Way
Renton
SeaTac
Tukwila
Year
Principal
Interest
Subsidy
Total
31%
4%
18%
36%
3%
8%
2011
$ - $
5,155,732 $
(1,675,089) $
3,480,643
$ 1,078,999 $
139,226 $
626,516 $
1,253,031 $
104,419 $
278,451
2012
-
5,155,732
(1,675,089)
3,480,643
1,078,999
139,226
626,516
1,253,031
104,419
278,451
2013
1,915,000
5,126,998
(1,675,089)
5,366,909
1,663,742
214,676
966,044
1,932,087
161,007
429,353
2014
1,950,000
5,066,566
(1,654,975)
5,361,591
1,662,093
214,464
965,086
1,930,173
160,848
428,927
2015
1,990,000
4,995,069
(1,632,787)
5,352,282
1,659,207
214,091
963,411
1,926,822
160,568
428,183
2016-2020
11,145,000
23,535,189
(8,001,883)
26,678,306
8,270,275
1,067,132
4,802,095
9,604,190
800,349
2,134,264
2021-2025
13,405,000
20,377,998
(7,211,504)
26,571,494
8,237,163
1,062,860
4,782,869
9,565,738
797,145
2,125,720
2026-2030
16,325,000
15,803,611
(5,715,798)
26,412,813
8,187,972
1,056,513
4,754,306
9,508,613
792,384
2,113,025
2031-2035
20,095,000
9,856,351
(3,682,383)
26,268,968
8,143,380
1,050,759
4,728,414
9,456,828
788,069
2,101,517
2036-2039
19,410,000
2,636,145
(1,147,380)
20,898,765
6,478,617
835,951
3,761,778
7,523,555
626,963
1,671,901
Totals
$ 86,235,000 $
97,709,391 $
)34,071,977) $
149,872,414
$ 46,460,447 $
5,994,898 $
26,977,035 $
53,954,068 $
4,496,171 $
11,989,792
Note: Interest is to be paid from bond proceeds during the construction
period (2010-2011)
The City of Renton reports its share of equity interest in the Governmental Activities column
within the Government -wide financial statements under non-current assets. The following is
condensed financial information as of December 31, 2010 related to SCORE:
Completed financial statements for SCORE and SCORE PDA can be obtained from the SCORE
office, City of Renton, 1055 South Grady Way, Renton, WA 98057.
NOTE 17. SUBSEQUENT EVENTS
PARKS MAINTENANCE FACILITY PURCHASE
A Purchase and Sale Agreement with R&J Properties, LLC in the amount of $1,125,000 for the
acquisition of property at 1100 Bronson Way N. (United Rentals Shops site) for continued use as
parks maintenance shop was signed in May 2011. The Purchase and Sale Agreement provides
for termination of the current lease between United Rentals and the City of Renton on or
before closing.
Basic Financial Statements, 4-66
South Correctional Entity (SCORE)
2010 Owner Cities Equity Allocation
Member City
Percent of Equity
2009 Equity Balance 2010 Distribution
2010 Equity Balance
Auburn
31.00%
$ 1,692,471 $
(90,883)
$ 1,601,588
Burien
4.00%
218,383
(11,727)
206,656
Federal Way
18.00%
982,725
(52,771)
929,954
Renton
36.00%
1,965,450
(105,540)
1,859,910
SeaTac
3.00%
163,787
(8,795)
154,992
Tukwila
8.00%
436,767
(23,454)
413,313
Grand Totals
100.00%
$ 5,459,583 $
(293,170)
$ 5,166,413
Completed financial statements for SCORE and SCORE PDA can be obtained from the SCORE
office, City of Renton, 1055 South Grady Way, Renton, WA 98057.
NOTE 17. SUBSEQUENT EVENTS
PARKS MAINTENANCE FACILITY PURCHASE
A Purchase and Sale Agreement with R&J Properties, LLC in the amount of $1,125,000 for the
acquisition of property at 1100 Bronson Way N. (United Rentals Shops site) for continued use as
parks maintenance shop was signed in May 2011. The Purchase and Sale Agreement provides
for termination of the current lease between United Rentals and the City of Renton on or
before closing.
Basic Financial Statements, 4-66
2010 Comprehensive Annual Financial Report
City of Renton, Washington
CITY OF RENTON LIMITED TAX GENERAL OBLIGATION BONDS
On June 20, 2011, Ordinance #5613 was approved providing for the issuance of Limited Tax
General Obligation (LTGO) Bonds of the City in the principal amount of not to exceed $18
million to finance all or a portion of the costs of acquiring land for and constructing, improving,
and equipping two new public library facilities and repairing, renovating and improving existing
library facilities; providing the form and terms of the bond; and delegating the authority to
approve the final terms of the bonds.
Basic Financial Statements, 4-67
2010 Comprehensive Annual Financial Report City of Renton, Washington
REQUIRED SUPPLEMENTARY INFORMATON
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - GENERAL FUND
For the Year Ended December 31, 2010
NOTE TO THE REQUIRED SUPPLEMENTARY INFORMATION
NOTE 1: Budget and actual information is presented on a GAAP basis of accounting.
Required Supplementary Information, 5-1
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
REVENUES
Taxes
$ 69,599,044 $
70,548,525 $
69,857,863 $
(690,662)
Licenses and permits
2,386,376
2,386,376
2,235,637
(150,739)
Intergovernmental revenues
9,449,951
10,140,143
9,484,755
(655,388)
Charges for services
3,637,313
3,810,288
3,794,168
(16,120)
Fines and forfeits
3,577,193
3,577,193
3,439,926
(137,267)
Interfund revenues
3,080,927
3,335,677
3,244,928
(90,749)
Contributions
111,900
158,975
133,806
(25,169)
Interest
434,300
434,300
357,417
(76,883)
Miscellaneous revenues
111,000
111,000
76,893
(34,107)
TOTAL REVENUES
92,388,004
94,502,477
92,625,393
(1,877,084)
EXPENDITURES
Current:
General government
12,008,134
12,212,634
9,853,746
(2,358,888)
Judicial
2,011,393
2,054,861
2,402,692
347,831
Public safety
49,118,915
49,788,563
48,904,653
(883,910)
Physical environment
2,215,469
2,397,728
2,345,459
(52,269)
Transportation
8,476,980
8,549,762
8,499,342
(50,420)
Economic environment
7,219,549
7,771,788
6,531,155
(1,240,633)
Health and human services
20,000
20,000
787,768
767,768
Culture and recreation
12,273,313
12,494,923
11,857,457
(637,466)
Capital outlay
-
-
334,426
334,426
Debt service:
Principal payment
-
1,875,000
-
(1,875,000)
TOTAL EXPENDITURES
93,343,753
97,165,259
91,516,698
(5,648,561)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(955,749)
(2,662,782)
1,108,695
3,771,477
OTHER FINANCING SOURCES (USES)
Transfer in
13,058
13,058
-
Transfer (out)
(7,500)
(119,491)
111,991
TOTAL OTHER FINANCE SOURCES (USES)
5,558
(106,433)
111,991
NET CHANGE IN FUND BALANCE
(955,749)
(2,657,224)
1,002,262
3,883,468
FUND BALANCE JANUARY 1
8,909,178
13,486,727
13,486,727
-
FUND BALANCE DECEMBER 31
$ 7,953,429 $
10,829,503 $
14,488,989 $
3,659,486
NOTE TO THE REQUIRED SUPPLEMENTARY INFORMATION
NOTE 1: Budget and actual information is presented on a GAAP basis of accounting.
Required Supplementary Information, 5-1
2010 Comprehensive Annual Financial Report
FISCAL YEAR ENDING
December 31, 2005
December 31, 2006
December 31, 2007
December 31, 2008
December 31, 2009
December 31, 2010
City of Renton, Washington
REQUIRED SUPPLEMENTARY INFORMATION
ACTUARIAL VALUATION OF FIREFIGHTERS' PENSION FUND
EMPLOYER CONTRIBUTIONS
December 31, 2010
ANNUAL
FIRE TOTAL
REQUIRED
EMPLOYER
INSURANCE EMPLOYER CONTRIBUTION
CONTRIBUTIONS*
PREMIUMS CONTRIBUTIONS
(ARC)
$ (14,375)
$ 72,404 $ 58,029 $
(113,541)
(18,753)
77,821 59,068
(113,541)
(25,285)
85,062 59,777
(109,968)
(19,894)
85,949 66,055
(109,968)
(36,296)
106,623 70,327
(172,788)
(5,618)
112,686 107,068
(172,788)
PERCENTAGE
OF ARC
CONTRIBUTED
N/A %
N/A
N/A
N/A
N/A
N/A
* Employer contributions for pension are total contributions to the Fund net of disbursements from the Fund for medical expenses
under RCW 41.26.150 and administrative expenses.
Required Supplementary Information, 5-2
2010 Comprehensive Annual Financial Report
REQUIRED SUPPLEMENTARY INFORMATION
LEOFF 1 RETIREE MEDICAL BENEFITS
SCHEDULE OF FUNDING PROGRESS
December 31, 2010
City of Renton, Washington
UNFUNDED
ACTUARIAL ACTUARIAL
VALUE OF ACCRUED
VALUATION DATE
ASSETS LIABILITIES
January 1, 2008
$ $ 32,327,794
January 1, 2009
32,331,107
Januray 1, 2010
27,985,358
Januray 1, 2011
27,835,211
City of Renton, Washington
UNFUNDED
UAAL AS A
ACTUARIAL
PERCENTAGE
ACCRUED
FUNDED
COVERED
OF COVERED
LIABILITIES
RATIO
PAYROLL
PAYROLL
$ 32,327,794
0%
$
N/A
32,331,107
0%
$
N/A
27,985,358
0%
$
N/A
27,835,211
0%
$
N/A
Required Supplementary Information, 5-3
2010 Comprehensive Annual Financial Report
Non -Major Governmental Funds
Special Revenue Funds
ARTERIAL STREET FUND
City of Renton, Washington
The Arterial Street Fund was established pursuant to state law allocating the one-half
cent State Gasoline Tax revenue to cities and towns for construction, improvements,
and major repair of streets.
LEASED CITY PROPERTIES
Accounts for revenue and expenditures related to City property leased to outside
entities.
HOTEL/MOTEL TAX 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.
PATHS AND TRAILS RESERVE FUND
The Paths and Trails Reserve Fund was created for the purpose of planning,
accommodating, and establishing and maintaining certain paths and trails within the
City of Renton.
1% FOR ART FUND
The City of Renton established this fund to account for one percent of construction
project actual costs to be used for the selection, acquisition and/or installation of works
of art to be placed in, on, or about City public facilities.
CABLE COMMUNICATIONS DEVELOPMENT FUND
The Cable Communications Development Fund accounts for funding for promotion and
development of cable communications as established by City ordinance.
SPRINGBROOK WETLANDS BANK FUND
The City of Renton established this fund in 2007 for the purpose of providing accounting
for the Springbrook Creek Wetland and Habitat Mitigation Bank project. The fund will
receive revenue by selling Wetlands Credits to third parties and to the City's internal
departments.
Combining Statements & Schedules, 6-1
2009 Comprehensive Annual Financial Report City of Renton, Washington
Debt Service Funds
GENERAL GOVERNMENTAL MISCELLANEOUS DEBT
This debt service fund accounts for the following outstanding debt issues:
• 2001 limited tax general obligation refunding bonds which refunded a
portion of the 1997 limited tax general obligation bonds for the purchase of
Renton City Hall
• 2001 limited tax general obligation bonds which provided funding for the
construction of a downtown parking facility
• 2002 limited tax general obligation bonds which provided funding for the
construction of a new fire station
• 2006 limited tax general obligation bonds which provided funding for the
construction of South Lake Washington infrastructure improvements
• 2000 intergovernmental debt related to the construction of a new facility
for Valley Communications Center
• 2009 intergovernmental debt related to the Fire District #40 asset transfer
as a result of the Benson Hill annexation
• 2010 limited tax general obligation refunding bonds which refunded the
2001 limited tax general obligation bonds related to the downtown parking
facility
• 2010 intergovernmental debt which refunded the 2000 intergovernmental
debt related to the construction of a new facility for Valley Communications
Center
1989 UNLIMITED GENERAL OBLIGATION BOND REDEMPTION FUND
This debt service fund accounts for debt service on a voter -approved bond issue, which
provided financing to acquire, construct, rehabilitate, equip, and develop low-income
housing for the elderly.
Combining Statements & Schedules, 6-2
2010 Comprehensive Annual Financial Report
Capital Project Funds
COMMUNITY DEVELOPMENT IMPACT MITIGATION FUND
City of Renton, Washington
Accounts for monies collected from developers to offset impacts created by their
developments to City facilities.
FIRE IMPACT MITIGATION FUND
Accounts for monies collected from developers to offset impacts created by their
developments to City facilities.
TRANSPORTATION IMPACT MITIGATION FUND
Accounts for monies collected from developers to offset impacts created by their
developments to City facilities.
SOUTH LAKE WASHINGTON INFRASTRUCTURE PROJECT FUND
The South Lake Washington Infrastructure Project Fund accounts for the infrastructure
improvements at the south end of Lake Washington. Primary resources include: REET,
sales tax, grants, and GO Bonds which provide for the design, construction, labor wages
and benefits, and equipment required to implement the project.
Combining Statements & Schedules, 6-3
2009 Comprehensive Annual Financial Report
Non -Major Proprietary Funds
Enterprise Funds
AIRPORT FUND
City of Renton, Washington
The Airport Fund accounts for revenues and expenses for administration, debt services,
operation, capital improvements, and maintenance of the Renton Municipal Airport and
Will Rodger -Wily Post Memorial Seaplane Base. Sources of support to the fund are
leases, fuel charges, investment interest, and grant funding as available.
GOLF COURSE FUND
The Golf Course Fund was created after the City acquired the Maplewood Golf Course.
The fund accounts for the operation, maintenance, debt service, and capital
improvements of the facility.
Internal Service Funds
EQUIPMENT RENTAL
The Equipment Rental Fund accounts for the costs of maintaining and replacing all City
vehicles and auxiliary equipment, except for fire apparatus and replacement of police
patrol vehicles. In addition, this fund accounts for the City's information technology,
facilities and communications costs. All costs, including depreciation, are factors in
calculating the rates that are charged to each user department.
INSURANCE FUND
The Insurance Fund provides accounting for self-insurance services to all City
departments, including provisions for losses on property, liability, worker's
compensation, unemployment compensation, and the health care program. Expenses
are paid from the Insurance Fund and rates are charged to departments based on use
and/or coverage requirements.
Combining Statements & Schedules, 6-4
2010 Comprehensive Annual Financial Report
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 1 of 6
SPECIAL REVENUE FUNDS
City of Renton, Washington
ASSETS
STREET
PROPERTIES
MOTELTAX
TRAILS
Cash & cash equivalents
$
91,850
$ 295,161
$ 114,052
$ 1,767
Cash with fiscal agent
-
106,404
-
-
Investments
79,382
255,209
98,612
1,528
Receivables (net of allowances):
Customer accounts
-
53,323
-
-
Accrued interest & penalty
344
433
214
3
Due from other governmental units
199,017
-
28,404
-
TOTAL ASSETS
370,593
710,530
241,282
3,298
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable
$
$ 19,438
$ -
$ -
Taxes payable
21,737
Custodial accounts
36,436
Deferred revenue
133,807
Accrued employee wages and leave payable
7,561
Total liabilities
218,979
Fund balances
Reserved for:
Encumbrances
-
Unreserved, designated for:
Operating reserves and carryforwards
-
-
-
Unreserved, undesignated reported in:
Special revenue funds
370,593
491,551
241,282
3,298
Total fund balances
370,593
491,551
241,282
3,298
TOTAL LIABILITIES AND FUND BALANCES
$
370,593
$ 710,530
$ 241,282
$ 3,298
Combining Statements & Schedules, 6-5
2010 Comprehensive Annual Financial Report
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 2 of 6
SPECIAL REVENUE FUNDS
City of Renton, Washington
ASSETS
ART
& DEVELOPMENT
WETLANDS
SRF
Cash & cash equivalents
$
76,783
$ 91,797
$ 353,793
$
1,025,203
Cash with fiscal agent
-
-
-
106,404
Investments
66,389
79,378
305,917
886,415
Receivables (net of allowances):
Customer accounts
-
1,500
-
54,823
Accrued interest & penalty
137
142
617
1,890
Due from other governmental units
-
-
-
227,421
TOTAL ASSETS
143,309
172,817
660,327
2,302,156
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable
$
6,525
$ -
$ -
$
25,963
Taxes payable
-
21,737
Custodial accounts
36,436
Deferred revenue
133,807
Accrued employee wages and leave payable
-
7,561
Total liabilities
6,525
225,504
Fund balances
Reserved for:
Encumbrances
3,425
3,425
Unreserved, designated for:
Operating reserves and carryforwards
1,257
-
-
1,257
Unreserved, undesignated reported in:
Special revenue funds
132,102
172,817
660,327
2,071,970
Total fund balances
136,784
172,817
660,327
2,076,652
TOTAL LIABILITIES AND FUND BALANCES
$
143,309
$ 172,817
$ 660,327
$
2,302,156
Combining Statements & Schedules, 6-6
2010 Comprehensive Annual Financial Report
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 3 of 6
City of Renton, Washington
Combining Statements & Schedules, 6-7
GENERAL
1989 UGO BOND
TOTAL
ASSETS
DEBT
REDEMPTION
DSF
Cash & cash equivalents
$
449,187
$ $
449,187
Investments
388,371
388,371
Receivables (net of allowances):
Accrued interest & penalty
1,815
1,815
Due from other funds
163,067
163,067
Due from other governmental units
2,102,640
2,102,640
TOTAL ASSETS
3,105,080
31105,080
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable
$
906
$ $
906
Deferred revenue
2,094,619
2,094,619
Total liabilities
2,095,525
21095,525
Fund balances
Reserved for:
Debt service
1,009,555
11009,555
Total fund balances
1,009,555
11009,555
TOTAL LIABILITIES AND FUND BALANCES
$
3,105,080
$ $
3,105,080
Combining Statements & Schedules, 6-7
2010 Comprehensive Annual Financial Report
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 4 of 6
City of Renton, Washington
Combining Statements & Schedules, 6-8
C.D. IMPACT
FIRE IMPACT
TRANS. IMPACT
SO LK WA INFRA -
ASSETS
MITIGATION
MITIGATION
MITIGATION
STRUCTURE
Cash & cash equivalents
$ 719,788 $
1,033,428 $
599,550
$
31,344
Investments
622,359
893,501
518,272
27,097
Receivables (net of allowances):
Accrued interest & penalty
1,299
1,885
2,027
57
Special assessments
-
-
21,555
-
TOTAL ASSETS
1,343,446
1,928,814
1,141,404
58,498
LIABILITIES AND FUND BALANCES
Liabilities
Deferred revenue
$ - $
- $
21,555
$
-
Totalliabilities
-
-
21,555
Fund balances
Reserved for:
Continuing appropriations
1,343,446
1,928,814
1,119,849
-
Unreserved, designated for:
Capital purposes
-
-
-
58,498
Total fund balances
1,343,446
1,928,814
1,119,849
58,498
TOTAL LIABILITIES AND FUND BALANCES
$ 1,343,446 $
1,928,814 $
1,141,404
$
58,498
Combining Statements & Schedules, 6-8
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 5 of 6
ASSETS
Cash & cash equivalents
Investments
Receivables (net of allowances):
Accrued interest & penalty
Special assessments
TOTAL ASSETS
LIABILITIES AND FUND BALANCES
Liabilities
Deferred revenue
Total liabilities
Fund balances
Reserved for:
Continuing appropriations
Unreserved, designated for:
Capital purposes
Total fund balances
TOTAL LIABILITIES AND FUND BALANCES
TOTAL
CPF
$ 2,384,110
2,061,229
5,268
21,555
4.472.162
$ 21,555
21,555
4,392,109
58,498
4,450,607
$ 4,472,162
Combining Statements & Schedules, 6-9
2010 Comprehensive Annual Financial Report
ASSETS
Cash & cash equivalents
Cash with fiscal agent
Investments
Receivables (net of allowances):
Customer accounts
Accrued interest & penalty
Special assessments
Due from other funds
Due from other governmental units
TOTAL ASSETS
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable
Taxes payable
Custodial accounts
Deferred revenue
Accrued employee wages and leave payable
Total liabilities
Fund balances
Reserved for:
Encumbrances
Continuing appropriations
Debt service
Unreserved, designated for:
Capital purposes
Operating reserves and carryforwards
Unreserved, undesignated reported in:
Special revenue funds
Total fund balances
TOTAL LIABILITIES AND FUND BALANCES
COMBINING BALANCE SHEET
OTHER GOVERNMENTAL FUNDS
December 31, 2010
Page 6 of 6
TOTAL TOTAL
SRF DSF
City of Renton, Washington
TOTAL OTHER
TOTAL GOVERNMENTAL
$ 1,025,203
$ 449,187
$
2,384,110
$
3,858,500
106,404
-
-
106,404
886,415
388,371
2,061,229
3,336,015
54,823
-
-
54,823
1,890
1,815
5,268
8,973
-
-
21,555
21,555
-
163,067
-
163,067
227,421
2,102,640
-
2,330,061
$ 2,302,156
$ 3,105,080
$
4,472,162
$
9,879,398
$ 25,963
$ 906
$
-
$
26,869
21,737
-
21,737
36,436
-
-
36,436
133,807
2,094,619
21,555
2,249,981
7,561
-
-
7,561
225,504
2,095,525
21,555
2,342,584
3,425
-
-
3,425
-
-
4,392,109
4,392,109
1,009,555
-
1,009,555
-
-
58,498
58,498
1,257
-
1,257
2,071,970
-
-
2,071,970
2,076,652
1,009,555
4,450,607
7,536,814
$ 2,302,156
$ 3,105,080
$
4,472,162
$
9,879,398
Combining Statements & Schedules, 6-10
2010 Comprehensive Annual Financial Report City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 1 of 6
SPECIAL REVENUE FUNDS
REVENUES
Taxes
Licenses and permits
Intergovernmental revenues
Charges for services
Contributions
Interest
Miscellaneous revenues
TOTAL REVENUES
EXPENDITURES
Current:
General government
Economic environment
Culture & recreation
Capital outlay
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfer in
Transfer (out)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
ARTERIAL LEASED CITY HOTEL/ PATHS &
STREET PROPERTIES MOTELTAX TRAILS
$ $
$
195,930 $
584,098
466,938
-
488,390
-
-
255,502
65,000
4,707
2,308
2,275
34
-
1,739
-
-
588,805
1,214,877
263,205
34
-
672,698
-
-
-
293,652
787,501
-
-
1,460,199
293,652
-
(30,447)
(245,322)
34
588,805
(620,000)
(620,000)
-
(245,322)
34
(31,195)
(30,447)
401,788
736,873
271,729
3,264
$ 370,593 $
491,551 $
241,282 $
3,298
Combining Statements & Schedules, 6-11
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 2 of 6
REVENUES
Taxes
Licenses and permits
Intergovernmental revenues
Charges for services
Contributions
Interest
Miscellaneous revenues
TOTAL REVENUES
EXPENDITURES
Current:
General government
Economic environment
Culture & recreation
Capital outlay
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfer in
Transfer (out)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
1% FOR CABLE COMM. SPRINGBROOK TOTAL
$ $ 80,674 $ $ 276,604
48,659 48,659
- 1,051,036
195,640 684,030
- - 320,502
1,470 1,139 5,159 17,092
- 3,000 - 4,739
1,470 133,472 200,799 2,402,662
- 50,047
21,743 -
21,743 50,047
(20,273) 83,425
13,261 -
13,261
672,698
293,652
50,047
_ 809,244
1,825,641
200,799 577,021
13,261
(620,000)
(606,739)
143,796
89,392
459,528
2,106,370
$ 136,784 $
172,817 $
660,327 $
2,076,652
Combining Statements & Schedules, 6-12
2010 Comprehensive Annual Financial Report City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 3 of 6
EXPENDITURES
GENERAL
1989 UGO BOND
TOTAL
-
DEBT
REDEMPTION
DSF
REVENUES
Interest and fiscal charges
2,231,823
2,231,823
Taxes
$ 4,529,381
$ $
4,529,381
Intergovernmental revenues
252,492
OVER EXPENDITURES
252,492
Interest
7,163
(34)
7,129
TOTAL REVENUES
4,789,036
(34)
4,789,002
EXPENDITURES
639,340
639,340
Debt service:
-
(79,340) (79,340)
Principal payments
2,682,672
2,682,672
Interest and fiscal charges
2,231,823
2,231,823
TOTAL EXPENDITURES
4,914,495
- 4,914,495
EXCESS (DEFICIENCY) OF REVENUES
846,736
(79,340) 767,396
OVER EXPENDITURES
(125,459)
(34) (125,493)
OTHER FINANCING SOURCES (USES)
Transfer in
639,340
639,340
Transfer (out)
-
(79,340) (79,340)
Refunding bonds issued
6,170,000
6,170,000
Premium on general obligation debt
443,484
443,484
Payment to refunded bond escrow agent
(6,406,088)
(6,406,088)
TOTAL OTHER FINANCE SOURCES (USES)
846,736
(79,340) 767,396
NET CHANGE IN FUND BALANCE 721,277 (79,374) 641,903
FUND BALANCE JANUARY 1 288,278 79,374 367,652
FUND BALANCE DECEMBER 31 $ 1,009,555 $ - $ 1,009,555
Combining Statements & Schedules, 6-13
2010 Comprehensive Annual Financial Report
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 4 of 6
City of Renton, Washington
NET CHANGE IN FUND BALANCE
C.D. IMPACT
FIRE IMPACT
TRANS. IMPACT
FUND BALANCE JANUARY 1
MITIGATION
MITIGATION
MITIGATION
REVENUES
$ 1,343,446 $
1,928,814 $
1,119,849
Intergovernmental revenues
$ 242,128 $
- $
-
Charges for services
21,793
67,618
67,893
Interest
12,932
17,670
24,822
TOTAL REVENUES
276,853
85,288
92,715
EXPENDITURES
Capital outlay
-
(40,004)
-
TOTAL EXPENDITURES
-
(40,004)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
276,853
125,292
92,715
OTHER FINANCING SOURCES (USES)
Transfer (out)
-
(560,000)
(1,140,000)
TOTAL OTHER FINANCE SOURCES (USES)
(560,000)
(1,140,000)
NET CHANGE IN FUND BALANCE
276,853
(434,708)
(1,047,285)
FUND BALANCE JANUARY 1
1,066,593
2,363,522
2,167,134
FUND BALANCE DECEMBER 31
$ 1,343,446 $
1,928,814 $
1,119,849
Combining Statements & Schedules, 6-14
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 5 of 6
REVENUES
Intergovernmental revenues
Charges for services
Interest
TOTAL REVENUES
EXPENDITURES
Capital outlay
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfer (out)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
SO LK WA INFRA- TOTAL
$ $
242,128
157,304
930
56,354
930
455,786
56,471
16,467
56,471
16,467
(1,700,000)
(1,700,000)
114,039 5,711,288
$ 58,498 $ 4,450,607
Combining Statements & Schedules, 6-15
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
OTHER GOVERNMENTAL FUNDS
For the Year Ended December 31, 2010
Page 6 of 6
REVENUES
Taxes
Licenses and permits
Intergovernmental revenues
Charges for services
Contributions
Interest
Miscellaneous revenues
TOTAL REVENUES
EXPENDITURES
Current:
General government
Economic environment
Culture & recreation
Capital outlay
Debt service:
Principal payments
Interest and fiscal charges
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfer in
Transfer (out)
Refunding bonds issued
Premium on general obligation debt
Payment to refunded bond escrow agent
TOTAL OTHER FINANCE SOURCES (USES)
IPl�tya_1►[el�1►�19►111:1_1�_1►[�]A
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
(29,718) 641,903 (1,260,681) (648,496)
2,106,370 367,652 5,711,288 8,185,310
$ 2,076,652 $ 1,009,555 $ 4,450,607 $ 7,536,814
Combining Statements & Schedules, 6-16
TOTAL OTHER
TOTAL
TOTAL
TOTAL
GOVERNMENTAL
SRF
DSF
CPF
FUNDS
$ 276,604 $
4,529,381 $
$
4,805,985
48,659
-
48,659
1,051,036
252,492
242,128
1,545,656
684,030
-
157,304
841,334
320502
-
-
320,502
17,092
7,129
56,354
80,575
4,739
-
-
4,739
2,402,662
4,789,002
455,786
7,647,450
672,698
-
-
672,698
293,652
293,652
50,047
-
50,047
809,244
-
16,467
825,711
-
2,682,672
2,682,672
-
2,231,823
-
2,231,823
1,825,641
4,914,495
16,467
6,756,603
439,319
890,847
577,021
(125,493)
13,261
639,340
-
652,601
(620,000)
(79,340)
(1,700,000)
(2,399,340)
6,170,000
6,170,000
443,484
443,484
(6,406,088)
(6,406,088)
(606,739)
767,396
(1,700,000)
(1,539,343)
(29,718) 641,903 (1,260,681) (648,496)
2,106,370 367,652 5,711,288 8,185,310
$ 2,076,652 $ 1,009,555 $ 4,450,607 $ 7,536,814
Combining Statements & Schedules, 6-16
2010 Comprehensive Annual Financial Report
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - ARTERIAL STREET FUND
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL ACTUAL
City of Renton, Washington
VARIANCE
REVENUES
Intergovernmental revenues $
615,000 $
615,000 $
584,098 $
(30,902)
Interest
5,000
5,000
4,707
(293)
TOTAL REVENUES
620,000
620,000
588,805
(31,195)
EXPENDITURES
TOTAL EXPENDITURES
-
-
-
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
620,000
620,000
588,805
(31,195)
OTHER FINANCING SOURCES (USES)
Transfer (out)
(620,000)
(620,000)
(620,000)
TOTAL OTHER FINANCE SOURCES (USES)
(620,000)
(620,000)
(620,000)
NET CHANGE IN FUND BALANCE
-
-
(31,195)
(31,195)
FUND BALANCE JANUARY 1
261,306
401,788
401,788
FUND BALANCE DECEMBER 31 $
261,306 $
401,788 $
370,593 $
(31,195)
Combining Statements & Schedules, 6-17
2010 Comprehensive Annual Financial Report
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - LEASED CITY PROPERTIES
For the Year Ended December 31, 2010
REVENUES
Intergovernmental revenues
Charges for services
Contributions
Interest
Miscellaneous revenues
TOTAL REVENUES
EXPENDITURES
Current:
General government
Capital outlay
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
BUDGETED AMOUNTS
ORIGINAL FINAL
City of Renton, Washington
ACTUAL VARIANCE
$ $ 470,065 $ 466,938 $ (3,127)
941,533 941,533 488,390 (453,143)
- 257,988 255,502 (2,486)
- 2,308 2,308
- 1,739 1,739
941,533 1,669,586 1,214,877 (454,709)
581,940 624,940 672,698 47,758
- 1,029,621 787,501 (242,120)
581,940 1,654,561 1,460,199 (194,362)
359,593
615,151 736,873 736,873
$ 974,744 $ 751,898 $ 491,551 $ (260,347)
Combining Statements & Schedules, 6-18
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - HOTEL/MOTEL TAX FUND
For the Year Ended December 31, 2010
REVENUES
Taxes
Contributions
Interest
TOTAL REVENUES
EXPENDITURES
Current:
Economic environment
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
$ 180,000 $
180,000 $
195,930 $
15,930
65,000
65,000
65,000
-
-
-
2,275
2,275
245,000
245,000
263,205
18,205
245,000 310,000 293,652 (16,348)
245,000 310,000 293,652 (16,348)
265,146 271,729 271,729
$ 265,146 $ 206,729 $ 241,282 $ 34,553
Combining Statements & Schedules, 6-19
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF
REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - PATHS AND TRAILS FUND
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL ACTUAL
VARIANCE
REVENUES
Interest
$ $ $
34
$ 34
TOTAL REVENUES
34
34
EXPENDITURES
TOTAL EXPENDITURES
-
-
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
34
34
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
-
-
NET CHANGE IN FUND BALANCE
34
34
FUND BALANCE JANUARY 1
3,243 3,264
3,264
-
FUND BALANCE DECEMBER 31
$ 3,243 $ 3,264 $
3,298
$ 34
Combining Statements & Schedules, 6-20
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - 1% FOR ART FUND
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL
ACTUAL
VARIANCE
REVENUES
Interest
$ $ $
1,470
$ 1,470
TOTAL REVENUES
1,470
1,470
EXPENDITURES
Current:
General government
50,000
-
-
Capital outlay
- 50,000
21,743
(28,257)
TOTAL EXPENDITURES
50,000 50,000
21,743
(28,257)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(50,000) (50,000)
(20,273)
29,727
OTHER FINANCING SOURCES (USES)
Transfer in
15,000 35,000
13,261
(21,739)
TOTAL OTHER FINANCE SOURCES (USES)
15,000 35,000
13,261
(21,739)
NET CHANGE IN FUND BALANCE
(35,000) (15,000)
7,988
(7,012)
FUND BALANCE JANUARY 1
121,678 143,796
143,796
-
FUND BALANCE DECEMBER 31
$ 86,678 $ 128,796 $
136,784
$ 7,988
Combining Statements & Schedules, 6-21
2010 Comprehensive Annual Financial Report City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - CABLE COMMUNICATIONS DEVELOPMENT FUND
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL ACTUAL VARIANCE
REVENUES
Taxes $
40,000 $
40,000 $
80,674 $
40,674
Licenses and permits
45,000
45,000
48,659
3,659
Interest
-
-
1,139
1,139
Miscellaneous revenues
-
-
3,000
3,000
TOTAL REVENUES
85,000
85,000
133,472
48,472
EXPENDITURES
Current:
Culture and recreation
45,674
45,674
50,047
4,373
Capital outlay
40,000
40,000
-
(40,000)
TOTAL EXPENDITURES
85,674
85,674
50,047
(35,627)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(674)
(674)
83,425
84,099
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
-
-
-
-
NET CHANGE IN FUND BALANCE
(674)
83,425
84,099
(674)
FUND BALANCE JANUARY 1
112,369
89,392
89,392
-
FUND BALANCE DECEMBER 31 $
111,695 $
88,718 $
172,817 $
84,099
Combining Statements & Schedules, 6-22
2010 Comprehensive Annual Financial Report City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - SPRINGBROOK WETLANDS BANK FUND
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL ACTUAL VARIANCE
REVENUES
Charges for services
Interest
TOTAL REVENUES
EXPENDITURES
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
200,799 200,799
200,799 200,799
$ 19,002 $ 459,528 $ 660,327 $ 200,799
Combining Statements & Schedules, 6-23
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - GENERAL GOVERNMENTAL MISCELLANEOUS DEBT SERVICE FUND
For the Year Ended December 31, 2010
REVENUES
Taxes
Intergovernmental revenues
Interest
TOTAL REVENUES
EXPENDITURES
Debt service:
Principal payments
Interest and fiscal charges
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
BUDGETED AMOUNTS
nDIr InIAI CIKIAI ArTI IAI X/ADIAKirC
$ 4,890,694 $ 3,941,213 $ 4,529,381 $ 588,168
- 252,493 252,492 (1)
- - 7,163 7,163
4,890,694 4,193,706 4,789,036 595,330
2,394,238 9,064,442 2,682,672 (6,381,770)
2,100,707 2,296,190 2,231,823 (64,367)
4,494,945 11,360,632 4,914,495 (6,446,137)
J 77,/47 1/,lOD, 7LDI (1LJ,4J7) /, U'+.L,'+u/
Transfers in
560,000
639,340
639,340
Refunding bonds issued
-
6,613,483
6,170,000
(443,483)
Premium on general obligation debt
-
443,484
443,484
Payment to refunded bond escrow agent
-
-
(6,406,088)
(6,406,088)
TOTAL OTHER FINANCE SOURCES (USES)
560,000
7,252,823
846,736
(6,406,087)
NET CHANGE IN FUND BALANCE
85,897
955,749
635,380
721,277
FUND BALANCE JANUARY 1
(545,749)
288,278
288,278
-
FUND BALANCE DECEMBER 31 $
410,000 $
374,175 $
1,009,555 $
635,380
Combining Statements & Schedules, 6-24
2010 Comprehensive Annual Financial Report City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - 1989 UNLIMITED GENERAL OBLIGATION BOND REDEMPTION FUND (Coulon Park)
For the Year Ended December 31, 2010
REVENUES
Interest
TOTAL REVENUES
EXPENDITURES
Debt service:
Interest and fiscal charges
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfer (out)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
1,388
1,388
(34) (34)
(1,388) (34) (34)
(79,340) (79,340) -
(22,013) 79,374 79,374 -
$ (23,401) $ 34 $ - $ (34)
Combining Statements & Schedules, 6-25
2010 Comprehensive Annual Financial Report
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGETTO ACTUAL- COMMUNITY DEVELOPMENT IMPACT MITIGATION FUND
For the Year Ended December 31, 2010
REVENUES
Intergovernmental revenues
Charges for services
Interest
TOTAL REVENUES
EXPENDITURES
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
TOTAL OTHER FINANCE SOURCES (USES)
NET CHANGE IN FUND BALANCE
FUND BALANCE JANUARY 1
FUND BALANCE DECEMBER 31
City of Renton, Washington
VARIANCE
60,000 60,000 21,793 (38,207)
- - 12,932 12,932
60,000 60,000 276,853 216,853
60,000 60,000 276,853 216,853
1,970,013 1,066,593 1,066,593 -
$ 2,030,013 $ 1,126,593 $ 1,343,446 $ 216,853
Combining Statements & Schedules, 6-26
2010 Comprehensive Annual Financial Report City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
Combining Statements & Schedules, 6-27
BUDGET TO ACTUAL - FIRE IMPACT MITIGATION FUND
For the Year Ended December
31, 2010
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
REVENUES
Charges for services
$ 100,000 $
100,000 $
67,618 $
(32,382)
Interest
-
-
17,670
17,670
TOTAL REVENUES
100,000
100,000
85,288
(14,712)
EXPENDITURES
Capital outlay
-
-
(40,004)
(40,004)
TOTAL EXPENDITURES
-
-
(40,004)
(40,004)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
100,000
100,000
125,292
25,292
OTHER FINANCING SOURCES (USES)
Transfer (out)
(560,000)
(560,000)
(560,000)
-
TOTAL OTHER FINANCE SOURCES (USES)
(560,000)
(560,000)
(560,000)
-
NET CHANGE IN FUND BALANCE
(460,000)
(460,000)
(434,708)
25,292
FUND BALANCE JANUARY 1
2,375,768
2,363,522
2,363,522
-
FUND BALANCE DECEMBER 31
$ 1,915,768 $
1,903,522 $
1,928,814 $
25,292
Combining Statements & Schedules, 6-27
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES
BUDGET TO ACTUAL
- TRANSPORTATION IMPACT MITIGATION FUND
For the Year Ended December
31, 2010
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
REVENUES
Charges for services $
190,000 $
190,000 $
67,893
$ (122,107)
Interest
10,000
10,000
24,822
14,822
TOTAL REVENUES
200,000
200,000
92,715
(107,285)
EXPENDITURES
TOTAL EXPENDITURES
-
-
-
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
200,000
200,000
92,715
(107,285)
OTHER FINANCING SOURCES (USES)
Transfer (out)
(700,000)
(1,810,000)
(1,140,000)
(670,000)
TOTAL OTHER FINANCE SOURCES (USES)
(700,000)
(1,810,000)
(1,140,000)
670,000
NET CHANGE IN FUND BALANCE
(500,000)
(1,610,000)
(1,047,285)
562,715
FUND BALANCE JANUARY 1
732,475
2,167,134
2,167,134
-
FUND BALANCE DECEMBER 31 $
232,475 $
557,134 $
1,119,849
$ 562,715
Combining Statements & Schedules, 6-28
2010 Comprehensive Annual Financial Report
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - MUNICIPAL FACILITIES CAPITAL IMPROVEMENT FUND
For the Year Ended December 31, 2010
City of Renton, Washington
Combining Statements & Schedules, 6-29
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
REVENUES
Taxes
$ 560,000 $
560,000 $
559,902 $
(98)
Intergovernmental revenues
50,000
680,000
10,833
(669,167)
Charges for services
120,000
120,000
-
(120,000)
Contributions
-
3,553
56,912
53,359
Interest
-
75,706
75,706
Miscellaneous revenues
-
721
721
TOTAL REVENUES
730,000
1,363,553
704,074
(659,479)
EXPENDITURES
Current:
General government
-
-
6,093
6,093
Physical environment
100,000
200,000
-
(200,000)
Economic environment
-
-
380,693
380,693
Culture & recreation
68,454
68,454
403,026
334,572
Capital outlay
1,585,000
7,360,269
1,218,554
(6,141,715)
TOTAL EXPENDITURES
1,753,454
7,628,723
2,008,366
(5,620,357)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(1,023,454)
(6,265,170)
(1,304,292)
4,960,878
OTHER FINANCING SOURCES (USES)
Transfer (out)
(283,048)
(290,238)
7,190
TOTAL OTHER FINANCE SOURCES (USES)
(283,048)
(290,238)
(7,190)
NET CHANGE IN FUND BALANCE
(1,023,454)
(1,594,530)
(6,548,218)
4,953,688
FUND BALANCE JANUARY 1
1,398,788
7,426,982
7,426,982
-
FUND BALANCE DECEMBER 31
$ 375,334 $
878,764 $
5,832,452 $
4,953,688
Combining Statements & Schedules, 6-29
2010 Comprehensive Annual Financial Report City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL - GENERAL GOVERNMENT CAPITAL IMPROVEMENT FUND
For the Year Ended December 31, 2010
Combining Statements & Schedules, 6-30
BUDGETED AMOUNTS
ORIGINAL
FINAL
ACTUAL
VARIANCE
REVENUES
Licenses and permits
$ 1,600,000 $
1,600,000 $
1,691,145 $
91,145
Intergovernmental revenues
12,482,002
26,502,042
5,162,255
(21,339,787)
Contributions
-
-
2,441,429
2,441,429
Interest
36,436
36,436
TOTAL REVENUES
14,082,002
28,102,042
9,331,265
(18,770,777)
EXPENDITURES
Current:
Transportation
-
-
2,249,051
2,249,051
Capital outlay
16,111,973
33,153,734
9,837,461
(23,316,273)
TOTAL EXPENDITURES
16,111,973
33,153,734
12,086,512
(21,067,222)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(2,029,971)
(5,051,692)
(2,755,247)
2,296,445
OTHER FINANCING SOURCES (USES)
Transfer in
1,610,000
3,310,774
1,880,000
(1,430,774)
Transfer (out)
(15,000)
(30,000)
(13,261)
(16,739)
TOTAL OTHER FINANCE SOURCES (USES)
1,595,000
3,280,774
1,866,739
(1,414,035)
NET CHANGE IN FUND BALANCE
(434,971)
(1,770,918)
(888,508)
882,410
FUND BALANCE JANUARY 1
443,334
5,270,532
5,270,532
-
Prior Period Adjustment
-
(204,836)
(204,836)
FUND BALANCE JANUARY 1
443,334
5,065,696
5,065,696
-
FUND BALANCE DECEMBER 31
$ 8,363 $
3,294,778 $
4,177,188 $
882,410
Combining Statements & Schedules, 6-30
2010 Comprehensive Annual Financial Report
City of Renton, Washington
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BUDGET TO ACTUAL
- SOUTH LAKE WASHINGTON INFRASTRUCTURE
For the Year Ended December 31, 2010
BUDGETED AMOUNTS
ORIGINAL FINAL
ACTUAL
VARIANCE
REVENUES
Interest $
$ $
930
$ 930
TOTAL REVENUES
-
930
930
EXPENDITURES
Capital outlay
109,000
56,471
(52,529)
TOTAL EXPENDITURES
109,000
56,471
(52,529)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
(109,000)
(55,541)
53,459
OTHER FINANCING SOURCES (USES)
Transfer (out)
(5,000)
(5,000)
TOTAL OTHER FINANCE SOURCES (USES)
(5,000)
5,000
NET CHANGE IN FUND BALANCE
(114,000)
(55,541)
58,459
FUND BALANCE JANUARY 1
51,377 114,039
114,039
-
FUND BALANCE DECEMBER 31 $
51,377 $ 39 $
58,498
$ 58,459
Combining Statements & Schedules, 6-31
2010 Comprehensive Annual Financial Report
COMBINING STATEMENT OF NET ASSETS
NON -MAJOR ENTERPRISE FUNDS
December 31, 2010
Page 1 of 2
ASSETS
Current assets:
Cash & cash equivalents
Investments at fair value
Receivables (net of allowances):
Customer accounts
Interest - investments
Due from other governmental units
Inventory of materials and supplies
Total current assets
Noncurrent assets:
Capital assets (net)
TOTAL ASSETS
City of Renton, Washington
TOTAL
NON -MAJOR
AIRPORT GOLF COURSE ENTERPRISE FUNDS
$ 776,396 $
564,722 $
1,341,118
671,316
488,248
1,159,564
174,026
21,653
195,679
1,387
1,309
2,696
19,569
-
19,569
-
49,755
49,755
1,642,694
1,125,687
2,768,381
13,205,828
8,668,434
21,874,262
$ 14,848,522 $
9,794,121 $
24,642,643
Combining Statements & Schedules, 6-32
2010 Comprehensive Annual Financial Report
LIABILITIES
Current liabilities:
Accounts payable
Retainage payable
Interfund Loan Payable
Accrued interest payable
Accrued wages payable
Accrued taxes payable
Custodial Accounts
Operating leases payable
Total current liabilities
Long-term liabilities:
Deferred revenue
Accrued employee wages and benefits payable
Advances from other funds
Total long-term liabilities
TOTAL LIABILITIES
NET ASSETS
Investment in capital assets,
net of related debt
Restricted
Unrestricted
TOTAL NET ASSETS
City of Renton, Washington
COMBINING STATEMENT OF NET ASSETS
NON -MAJOR ENTERPRISE FUNDS
December 31, 2010
Page 2 of 2
TOTAL
NON -MAJOR
AIRPORT GOLF COURSE ENTERPRISE FUNDS
$ 236,154 $
1,068 $
237,222
7,862
-
7,862
91,679
358,517
450,196
3,381
3,512
6,893
30,889
52,158
83,047
68,943
9,369
78,312
-
157,170
157,170
-
10,059
10,059
438,908
591,853
1,030,761
36,782
-
36,782
22,706
54,568
77,274
294,742
1,516,483
1,811,225
354,230
1,571,051
1,925,281
793,138
2,162,904
2,956,042
13,205,828 8,668,434 21,874,262
58,747 - 58,747
790,809 (1,037,217) (246,408)
$ 14,055,384 $ 7,631,217 $ 21,686,601
Combining Statements & Schedules, 6-33
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
NON - MAJOR ENTERPRISE FUNDS
For the Year Ended December 31, 2010
OPERATING REVENUES:
Charges for services
TOTAL OPERATING REVENUES
OPERATING EXPENSES:
Operations and maintenance
Administrative and general
Taxes
Depreciation
TOTAL OPERATING EXPENSES
OPERATING INCOME (LOSS)
NON-OPERATING REVENUES(EXPENSES):
Interest revenues
Other non-operating revenues(expenses)
Interest expense
Amortization of debt discount and expense
NON-OPERATING REVENUE NET OF EXPENSES
INCOME (LOSS) BEFORE CONTRIBUTIONS
AND TRANSFERS
Capital Contributions
CHANGE IN NET ASSETS
NET ASSETS, JANUARY 1
Prior year adjustments
NET ASSETS, DECEMBER 31
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
TOTAL
NON -MAJOR
AIRPORT GOLF COURSE ENTERPRISE FUNDS
$ 2,039,477 $
2,095,751 $
4,135,228
2,039,477
2,095,751
4,135,228
1,311,741
1,201,024
2,512,765
118,564
472,860
591,424
1,818
10,539
12,357
541,075
295,330
836,405
1,973,198
1,979,753
3,952,951
66,279
115,998
182,277
12,730
10,863
23,593
9,719
3,703
13,422
(20,006)
(290,405)
(310,411)
-
(26,712)
(26,712)
2,443
(302,551)
(300,108)
(186,553)
68,722
(117,831)
9,937 9,937
io,u_n, klou,_)») klui,oZ'r)
14,388,835 7,817,770 22,206,605
(412,110) - (412,110)
$ 14,055,384 $ 7,631,217 $ 21,686,601
Combining Statements & Schedules, 6-34
2010 Comprehensive Annual Financial Report
STATEMENT OF CASH FLOWS
NON -MAJOR ENTERPRISE FUNDS
For the Year Ended December 31, 2010
Page 1 of 2
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash received for services
Cash paid to suppliers for goods & services
Cash paid to employees
Other operating receipts
Other non-operating receipts
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
NET CASH PROVIDED (USED) BY
NONCAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM CAPITAL
FINANCING ACTIVITIES:
Acquisition & construction of capital assets
Principal payments on debt
Interest payments on debt
NET CASH PROVIDED (USED) BY
CAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES:
Payments for investments
Interest on investments
NET CASH PROVIDED (USED) BY
INVESTING ACTIVITIES
NET INCREASE(DECREASE)IN CASH &
CASH EQUIVALENTS
CASH & CASH EQUIVALENTS, JANUARY 1
RESTRICTED CASH, JANUARY 1
CASH , RESTRICTED CASH ,& CASH EQUIVALENTS,
DECEMBER 31
City of Renton, Washington
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
TOTAL
NON -MAJOR
AIRPORT GOLF COURSE ENTERPRISE FUNDS
$ 1,851,281 $
2,119,631 $
3,970,912
(1,275,740)
(1,743,667)
(3,019,407)
1,653
(3,607)
(1,954)
88,673
88,673
9,719
(286,702)
(276,983)
675,586
85,655
761,241
(338,754)
(149,973)
(488,727)
(88,579)
181,875
93,296
(330,932)
(330,932)
(427,333)
(299,030)
(726,363)
(155,128)
25,899
(129,229)
(2,811)
68,828
66,017
(157,939)
94,727
(63,212)
90,314
(118,648)
(28,334)
686,082
242,012
928,094
-
441,358
441,358
S 776.396 S
564.722 S
1.341.118
Combining Statements & Schedules, 5-35
2010 Comprehensive Annual Financial Report
STATEMENT OF CASH FLOWS
NON -MAJOR ENTERPRISE FUNDS
For the Year Ended December 31, 2010
Page 2 of 2
RECONCILIATION OF OPERATING INCOME
(LOSS) TO NET CASH PROVIDED (USED)
BY OPERATING ACTIVITIES:
Operating income (loss)
Adjustments to reconcile operating income
(loss) to net cash provided (used)
by operating activities:
Depreciation & amortization of
deferred charges
Other non-operating revenue
(Increase) decrease in
accounts receivable
(Increase) decrease in due from
other funds/governmental units
(Increase) decrease in inventory
& prepaid items
Increase(decrease)in vouchers
retainage payable
Increase(decrease)in payables
& other short-term liabilities
Increase (decrease)in
customer deposits
Increase (decrease)in
deferred revenues
Increase (decrease)in accrued
employee leave benefits
Total adjustments
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
NONCASH INVESTING, CAPITAL, AND
FINANCING ACTIVITIES
Prior Period Adjustment
Depreciation
Net amort. bond prem. discount & bond issue costs
Contributions of capital assets
City of Renton, Washington
BUSINESS -TYPE ACTIVITIES
ENTERPRISE FUNDS
TOTAL
NON -MAJOR
AIRPORT GOLF COURSE ENTERPRISE FUNDS
$ 66,279 $ 115,998 $ 182,277
541,075
295,330
836,405
(27,140)
(286,702)
(313,842)
(157,846)
1,806
(156,040)
125,532
-
125,532
-
(10,127)
(10,127)
122,071
(25,991)
96,080
34,312
(19,241)
15,071
-
18,189
18,189
(30,350)
-
(30,350)
1,653
(3,607)
(1,954)
609,307
(30,343)
578,964
85,655 $
$ 675,586 $
761,241
(412,110)
-
(412,110)
$ 541,075 $
295,330 $
836,405
-
26,712
26,712
9,937
-
9,937
Combining Statements & Schedules, 6-36
2010 Comprehensive Annual Financial Report
COMBINING STATEMENT OF NET ASSETS
INTERNAL SERVICE FUNDS
December 31, 2010
Page 1 of 2
ASSETS
Current assets:
Cash & cash equivalents
Investments at fair value
Receivables (net of allowances):
Customer accounts
Interest - investments
Due from other funds
Due from other governmental units
Prepayments
Total current assets
Noncurrent assets:
Capital assets (net)
Intangible assets (net)
Total noncurrent assets
TOTAL ASSETS
EQUIPMENT
RENTAL
$ 4,159,553 $
3,596,568
INSURANCE
FUND
8,800,626 $
7,609,394
City of Renton, Washington
TOTAL
INTERNAL
SERVICE FUNDS
12, 960,179
11,205,962
30,761
14,129
44,890
7,299
16,022
23,321
19,384
742,714
762,098
193,460
-
193,460
150,562
107,629
258,191
8,157,587
17,290,514
25,448,101
7,496,720
-
7,496,720
508,809
508,809
8,005,529
8,005,529
$ 16,163,116 $
17,290,514 $
33,453,630
Combining Statements & Schedules, 6-37
2010 Comprehensive Annual Financial Report
LIABILITIES
Current liabilities:
Accounts payable
Claims incurred but not reported
Retainage payable
Accrued employee benefits payable
Accrued taxes payable
Custodial accounts
Total current liabilities
Long-term liabilities:
Accrued employee wages and benefits payable
Total long-term liabilities
TOTAL LIABILITIES
NET ASSETS
Investment in capital assets,
Net of related debt
Restricted
Unrestricted
TOTAL NET ASSETS
City of Renton, Washington
COMBINING STATEMENT OF NET ASSETS
INTERNAL SERVICE FUNDS
December 31, 2010
Page 2 of 2
8,005,529 - 8,005,529
- 3,940,631 3,940,631
7,338,781 9,597,364 16,936,145
$ 15,344,310 $ 13,537,995 $ 28,882,305
Combining Statements & Schedules, 6-38
TOTAL
EQUIPMENT
INSURANCE
INTERNAL
RENTAL
FUND
SERVICE FUNDS
$ 214,477 $
422,719 $
637,196
-
3,293,490
3,293,490
9,259
-
9,259
297,382
21,183
318,565
9,461
-
9,461
11
11
530,590
3,737,392
4,267,982
288,216
15,127
303,343
288,216
15,127
303,343
818,806
3,752,519
4,571,325
8,005,529 - 8,005,529
- 3,940,631 3,940,631
7,338,781 9,597,364 16,936,145
$ 15,344,310 $ 13,537,995 $ 28,882,305
Combining Statements & Schedules, 6-38
2010 Comprehensive Annual Financial Report
City of Renton, Washington
COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
INTERNAL SERVICE FUNDS
For the Year Ended December 31, 2010
NON-OPERATING REVENUES (EXPENSES)
Intergovernmental revenues
146,519
-
TOTAL
Interest revenues
EQUIPMENT
INSURANCE
INTERNAL
Gain (loss) on sale of capital assets
RENTAL
FUND
SERVICE FUNDS
OPERATING REVENUES:
4,208
646,375
650,583
Charges for services
$ 12,386,155 $
3,594,298 $
15,980,453
Other operating revenues
4,269
12,730,563
12,734,832
TOTAL OPERATING REVENUES
12,390,424
16,324,861
28,715,285
OPERATING EXPENSES:
177,107
-
177,107
Operations and maintenance
10,020,895
13,686,670
23,707,565
Administrative and general
250,021
391,939
641,960
Taxes
1,684
2,553
4,237
Depreciation
2,029,984
-
2,029,984
TOTAL OPERATING EXPENSES
12,302,584
14,081,162
26,383,746
OPERATING INCOME (LOSS)
87,840
2,243,699
2,331,539
NON-OPERATING REVENUES (EXPENSES)
Intergovernmental revenues
146,519
-
146,519
Interest revenues
81,071
163,589
244,660
Gain (loss) on sale of capital assets
15,000
-
15,000
Other non-operating revenues (expenses)
4,208
646,375
650,583
NON-OPERATING REVENUE NET OF EXPENSE
246,798
809,964
1,056,762
INCOME (LOSS) BEFORE CONTRIBUTIONS
AND TRANSFERS
334,638
3,053,663
3,388,301
Contributed capital
177,107
-
177,107
Transfers in
163,985
163,985
Transfers (out)
(17,095)
(17,095)
CHANGE IN NET ASSETS
658,635
3,053,663
3,712,298
NET ASSETS, JANUARY 1
15,716,829
10,484,332
26,201,161
Prior year adjustments
(1,031,154)
-
(1,031,154)
NET ASSETS, DECEMBER 31
$ 15,344,310 $
13,537,995 $
28,882,305
Combining Statements & Schedules, 6-39
2010 Comprehensive Annual Financial Report
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
For the Year Ended December 31, 2010
Page 1 of 2
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash received from other funds for services
Cash paid to suppliers for goods & services
Cash paid to employees
Other operating receipts
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers to/from other funds
NET CASH PROVIDED (USED) BY
NONCAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM CAPITAL
FINANCING ACTIVITIES:
Acquisition & construction of capital assets
Capital contributions
NET CASH PROVIDED (USED) BY
CAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES:
Payments for investments
Interest on investments
NET CASH PROVIDED (USED) BY
INVESTING ACTIVITIES
NET INCREASE(DECREASE)IN CASH &
CASH EQUIVALENTS
CASH & CASH EQUIVALENTS, JANUARY 1
CASH & CASH EQUIVALENTS, DECEMBER 31
City of Renton, Washington
146,890 146,890
146,890 146,890
(1,280,145) (1,280,145)
177,107 177,107
(1,103,038) (1,103,038)
(737,222) (1,678,791) (2,416,013)
282,745 291,858 574,603
(454,477) (1,386,933) (1,841,410)
359,105 918,072 1,277,177
3,800,448 7,882,554 11,683,002
$ 4,159,553 $ 8,800,626 $ 12,960,179
Combining Statements & Schedules, 6-40
TOTAL
EQUIPMENT
INSURANCE
INTERNAL
RENTAL
FUND
SERVICE FUNDS
$ 12,340,279 $
16,326,596 $
28,666,875
(10,809,045)
(8,555,171)
(19,364,216)
72,769
(3,059,132)
(2,986,363)
165,727
(2,407,288)
(2,241,561)
146,890 146,890
146,890 146,890
(1,280,145) (1,280,145)
177,107 177,107
(1,103,038) (1,103,038)
(737,222) (1,678,791) (2,416,013)
282,745 291,858 574,603
(454,477) (1,386,933) (1,841,410)
359,105 918,072 1,277,177
3,800,448 7,882,554 11,683,002
$ 4,159,553 $ 8,800,626 $ 12,960,179
Combining Statements & Schedules, 6-40
2010 Comprehensive Annual Financial Report
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
For the Year Ended December 31, 2010
Page 2 of 2
RECONCILIATION OF OPERATING INCOME
(LOSS) TO NET CASH PROVIDED (USED)
BY OPERATING ACTIVITIES:
Operating income (loss)
Adjustments to reconcile operating income
(loss) to net cash provided (used)
by operating activities:
Depreciation & amortization of
deferred charges
Other non-operating revenue
(Increase) decrease in
accounts receivable
(Increase) decrease in due from
other funds/governmental units
(Increase) decrease in inventory
& prepaid items
Increase(decrease)in vouchers
retainage payable
Increase (decrease)in payables
& other short-term liabilities
Increase (decrease)in accrued
employee leave benefits
Total adjustments
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
NONCASH INVESTING, CAPITAL, AND
FINANCING ACTIVITIES
Prior Period Adjustment
Depreciation & amortization
EQUIPMENT
RENTAL
City of Renton, Washington
TOTAL
INSURANCE INTERNAL
FUND SERVICE FUNDS
a , a
2,029,984
-
2,029,984
165,727
646,375
812,102
(30,761)
1,735
(29,026)
(200,939)
(742,714)
(943,653)
60,498
(51,845)
8,653
(39,706)
(512,767)
(552,473)
(315,184)
3,727,809
3,412,625
12,271
(3,007,287)
(2,995,016)
1,681,890
61,306
1,743,196
$ 1,769,730 $
2,305,005 $
4,074,735
$ (1,031,154) $
- $
(1,031,154)
2,029,984
2,029,984
Combining Statements & Schedules, 6-41
2010 Comprehensive Annual Financial Report
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUND - SPECIAL DEPOSIT
For the Year Ended December 31, 2010
Page 1 of 1
City of Renton, Washington
Combining Statements & Schedules, 6-42
BEGINNING
ENDING
BALANCE
DEBITS
CREDITS
BALANCE
ASSETS
Cash
$
518,893
$
865,321
$ 745,903
$ 638,311
Investments at fair value
390,400
390,400
780,800
-
TOTAL ASSETS
$
909,293
$
1,255,721
$ 1,526,703
$ 638,311
LIABILITIES
Vouchers & contracts payable
$
63,706
$
668,907
$ 613,152
$ 7,951
Deposits payable
845,587
673,633
458,406
630,360
TOTAL LIABILITIES
$
909,293
$
1,342,540
$ 1,071,558
$ 638,311
Combining Statements & Schedules, 6-42
2010 Comprehensive Annual Financial Report
STATISTICAL SECTION
December 31, 2010
City of Renton, Washington
Presentations included in the Statistical Section of the Comprehensive Annual Financial Report
(CAFR) provide users detailed information as a context for understanding what the information
in the financial statements, note disclosures and the supporting schedules say about the
government's overall financial health. The section is divided into five categories based on the
following:
FINANCIAL TRENDS
These schedules contain trend information to help the reader understand how the
government's financial performance and well-being have changed over time.
REVENUE CAPACITY
These schedules present information to help the reader assess the government's most
significant local revenue source — property tax.
DEBT CAPACITY
These schedules present information to help the reader assess the affordability of the
government's current levels of outstanding debt and the government's ability to issue
additional debt in the future.
DEMOGRAPHIC AND ECONOMIC INFORMATION
These schedules offer demographic and economic indicators to help the reader understand
the environment within which the government's financial activities take place.
OPERATING INFORMATION
These schedules contain service and infrastructure data to help the reader understand how
the information in the government's financial report relates to the services the government
provides and the activities it performs.
Statistical Section, 7-1
2010 Comprehensive Annual Financial Report
TABLE 1
NET ASSETS BY COMPONENT
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 1 of 2
FISCAL YEAR
City of Renton, Washington
2003 2004 2005 2006 2007
Governmental activities
Invested in capital assets, net of related debt
$
89,360,313
$
195,282,055
$
203,297,293
$
209,964,556
$
232,714,563
Restricted
6,816,559
21,460,395
28,578,305
42,261,663
32,648,993
Unrestricted
41,699,232
25,746,196
29,272,573
29,340,290
32,075,613
Total governmental activities net assets
$
137,876,104
$
242,488,646
$
261,148,171
$
281,566,509
$
297,439,169
Business -type activities
Invested in capital assets, net of related debt
$
158,886,497
$
163,891,546
$
171,827,746
$
181,515,939
$
188,518,151
Restricted
3,048,210
3,555,690
3,555,690
3,555,690
3,586,667
Unrestricted
15,886,887
21,612,156
21,541,563
19,357,695
17,973,237
Total business -type activities net assets
$
177,821,594
$
189,059,392
$
196,924,999
$
204,429,324
$
210,078,055
Primary government
Invested in capital assets, net of related debt
$
248,246,810
$
359,173,601
$
375,125,039
$
391,480,495
$
421,232,714
Restricted
9,864,769
25,016,085
32,133,995
45,817,353
36,235,660
Unrestricted
57,586,119
47,358,352
50,814,136
48,697,985
50,048,850
Total primary government net assets
$
315,697,698
$
431,548,038
$
458,073,170
$
485,995,833
$
507,517,224
'The City implemented GASB Statement No. 34 during 2003; historical information prior to 2003 is not available.
Source : City of Renton Finance Division
Statistical Section, 7-2
2010 Comprehensive Annual Financial Report
TABLE 1
NET ASSETS BY COMPONENT
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 2 of 2
Fiscal Year
City of Renton, Washington
2008 2009 2010
Governmental activities
Invested in capital assets, net of related debt
$
353,197,782
$
378,440,636
$
383,016,494
Restricted
33,294,987
20,882,824
11,664,101
Unrestricted
34,160,010
35,033,629
45,911,214
Total governmental activities net assets
$
420,652,779
$
434,357,089
$
440,591,809
Business -type activities
Invested in capital assets, net of related debt
$
202,255,997
$
208,682,683
$
214,001,083
Restricted
4,171,525
4,029,537
58,747
Unrestricted
17,430, 207
18, 209,611
17,743,107
Total business -type activities net assets
$
223,857,729
$
230,921,831
$
231,802,937
Primary government
Invested in capital assets, net of related debt
$
555,453,779
$
587,123,319
$
597,017,577
Restricted
37,466,512
24,912,361
11,722,848
Unrestricted
51,590,217
53,243,240
63,654,321
Total primary government net assets
$
644,510,508
$
665,278,920
$
672,394,746
Statistical Section, 7-3
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(7 (7 F m F F U A m H
2010 Comprehensive Annual Financial Report
$18,000,000
$16,000,000
$14,000,000
$12,000,000
$10,000,000
$8,000,000
$6,000,000
$4,000,000
$2,000,000
City of Renton, Washington
TABLE 3
FUND BALANCE OF GOVERNMENT FUNDS
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 1 of 2
General fund
General fund
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
All other governmental funds
Reserved
$ 920,000
$ 1,260,000
FISCAL YEAR
$ 500,000
$ 240,000
Unreserved, reported in:
2001
2002
2003
2004
2005
General fund
4,938,021
3,361,529
3,985,917
3,238,246
2,929,692
Reserved
$ 318,053
$ 83,000
$ 83,000
$ 108,742
$ 8,000
Unreserved
6,428,315
3,920,136
6,758,364
8,603,003
9,189,871
Total general fund
$ 6,746,368
$ 4,003,136
$ 6,841,364
$ 8,711,745
$ 9,197,871
All other governmental funds
Reserved
$ 920,000
$ 1,260,000
$ 880,000
$ 500,000
$ 240,000
Unreserved, reported in:
Special revenue funds
4,938,021
3,361,529
3,985,917
3,238,246
2,929,692
Debt service funds
2,546,129
2,030,335
1,916,243
1,486,894
2,752,445
Capital project funds
29,133,681
33,742,638
22,628,512
26,202,437
27,890,457
Total all other governmental funds
$ 37,537,831
$ 40,394,502
$ 29,410,672
$ 31,427,577
$ 33,812,594
Source : City of Renton Finance Division
Statistical Section, 7-6
2010 Comprehensive Annual Financial Report
TABLE 3
FUND BALANCE OF GOVERNMENT FUNDS
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 2 of 2
All other governmental funds
$60,000,000
$50,000,000
$40,000,000
$30,000,000
$20,000,000
$10,000,000
City of Renton, Washington
All other governmental funds
Reserved
2001 2002 2003 2004
2005 2006
2007 2008
2009 2010
$ 6,771,384
Unreserved, reported in:
FISCAL YEAR
Special revenue funds
2006
2007
2008
2009
2010
General fund
3,068,587
1,392,915
1,270,936
367,652
-
Reserved
$ 8,000
$ 8,000
$ 8,000
$ 8,000
$ 2,468,569
Unreserved
10,737,097
16,474, 384
13,509,097
13,478,727
12,020,420
Total general fund
$ 10,745,097
$ 16,482,384
$ 13,517,097
$ 13,486,727
$ 14,488,989
All other governmental funds
Reserved
$ 63,900
$ 975,000
$ 1,000,000
$ -
$ 6,771,384
Unreserved, reported in:
Special revenue funds
4,243,189
2,616,596
2,806,667
2,106,370
2,073,227
Debt service funds
3,068,587
1,392,915
1,270,936
367,652
-
Capitalprojectfunds
42,152,437
29,057,397
29,217,384
18,408,802
8,701,843
Total all other governmental funds
$ 49,528,113
$ 34,041,908
$ 34,294,987
$ 20,882,824
$ 17,546,454
Statistical Section, 7-7
2010 Comprehensive Annual Financial Report
TABLE 4
CHANGES IN FUND BALANCES OF GOVERNMENT FUNDS
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 1 of 2
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines
Interfund revenues
Special assessments
Contributions
Interest
Miscellaneous
Total revenues
EXPENDITURES
General government
Judicial
Public safety
Physical environment
Transportation
Economic environment
Health and human services
Culture and recreation
Capital outlay
Debt service
Principal
Interest
Total expenditures
Excess of revenues
over(under)expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Proceeds of long-term debt
Interfund loan proceeds
Interfund loan repayments
Payment to refunded bond escrow agent
Refunding bonds issued
Premium on general obligation debt
Sale of capital assets
Total other financing
sources(uses)
Net change in fund balances
Debt service as a percentage of
non capital expenditures
FISCAL YEAR
City of Renton, Washington
2001 2002 2003 2004 2005
$ 50,218,530 $ 49,901,849 $ 53,722,322 $ 55,344,506 $ 58,794,081
4,065,518
4,229,501
4,226,883
4,329,086
4,686,608
6,129,103
6,212,359
4,533,544
7,570,570
5,687,169
7,301,538
7,777,778
6,016,704
6,593,153
5,563,289
993,093
1,043,199
1,055,564
1,008,984
731,286
-
-
3,482,110
3,638,574
3,796,042
333,056
312,908
295,673
20,852
23,340
191,877
118,103
255,102
249,938
317,600
2,583,931
1,073, 538
1,081,420
1,059, 886
1,060, 353
1,231,574
1,198,846
40,314
122,799
569,881
73,048,220
71,868,081
74,709,636
79,938,348
81,229,649
11,193,462
12,523,577
13, 283,955
13,660,095
14,382,634
23,569,864
24,924,380
26,029,354
27,462,613
29,031,626
1,878,956
1,898,665
2,015,562
2,201,777
2,190,228
13,885,329
10,622,373
4,461,387
4,615,345
4,711,924
4,484,526
4,479,582
4,613,587
4,947,080
5,123,024
6,756
11,445
10,368
11,723
12,700
7,263,056
7,382,069
7,585,936
8,563,967
8,876,250
5,359,801
10,532,479
21,089,534
13,246,669
11,438,104
2,086,447 1,849,269 1,417,042 1,477,579 1,375,738
882,748 1,382,717 1,833,102 1,763,893 1,713,525
70,610,945 75,606,556 82,339,827 77,950,741 78,855,753
2,437,275 (3,738,475) (7,630,191) 1,987,607 2,373,896
6,850,944
9,441,451
(8,873,294)
(10,009,962)
6,023,484
3,879,038
363,800
860,000
(363,800)
(860,000)
3,511,700 6,563,978 5,476,360
(3,551,700) (7,764,278) (5,443,660)
61,685 104,825 171,249 117,328 464,547
4,062,819 3,415,352 131,249 (1,082,972) 497,247
$ 6,500,094 $ (323,123) $ (7,498,942) $ 904,635 $ 2,871,143
4.55% 4.97% 5.31% 5.01% 4.58%
Tables prior to 2010 used the titles "Security of persons and property" and "Mental and physical health" for functions now being referred to as
"Public Safety" and "Health and Human Services", respectively.
Source : City of Renton Finance Division
Statistical Section, 7-8
2010 Comprehensive Annual Financial Report
TABLE 4
CHANGES IN FUND BALANCES OF GOVERNMENT FUNDS
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
Page 2 of 2
FISCAL YEAR
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines
Interfund revenues
Special assessments
Contributions
Interest
Miscellaneous
Total revenues
EXPENDITURES
General government
Judicial
Public safety
Physical environment
Transportation
Economic environment
Health and human services
Culture and recreation
Capital outlay
Debt service
Principal
Interest
Total expenditures
Excess of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Proceeds of long-term debt
Interfund loan proceeds
Interfund loan repayments
Payment to refunded bond escrow agent
Refunding bonds issued
Premium on general obligation debt
Sale of capital assets
Total other financing
sources (uses)
Net change in fund balances
Debt service as a percentage of
non capital expenditures
City of Renton, Washington
2006 2007 2007 2009 2010
$ 64,005,567 $ 66,698,876 $ 72,514,388 $ 71,545,700 $ 75,223,750
4,962,507
5,828,230
4,975,585
6,226,371
3,975,441
9,769,225
9,791,830
27,549,621
23,968,449
16,203,499
6,543,289
10,048,879
7,145,950
4,543,420
4,635,502
906,685
1,150,079
2,002,854
3,724,162
3,439,926
2,843,147
3,352,411
3,072,526
3,228,110
3,244,928
511,932
51,723
-
1,353
-
214,387
353,582
135,000
516,805
2,952,649
2,570,682
2,486,889
1,740,035
753,607
550,134
223,908
86,322
1,273,359
171,004
82,353
92,551,329
99,848,821
120,409,318
114,678,981
110,308,182
13,972,592
14,597,355
15,094,140
12,923,999
10,532,537
-
-
1,761,665
2,134,283
2,402,692
31,157,303
35,583,500
45,530,208
46,048,967
48,904,653
2,609,452
2,764,563
3,123,883
2,431,213
2,345,459
5,097,449
6,403,358
6,332,006
7,043,665
10,748,393
5,519,219
5,896,589
6,673,681
7,071,009
7,205,500
9,231
13,818
16,459
19,726
787,768
9,933,854
10,830, 224
11,119,073
14,914, 298
12,310,530
21,117,525
29,320,023
28,520,453
41,989,793
12,216,152
1,503,350
1,565,904
2,079,551
2,327,138
2,682,672
2,129,656
2,646,623
2,729,247
2,629,157
2,231,823
93,049,631
109, 621,957
122,980,366
139, 533, 248
112,368,179
(498,302)
(24,854,267)
(9,773,136)
(2,571,048)
(2,059,997)
2,962,895 5,782,988 4,053,607 15,059,649
(3,705,341) (5,782,988) (4,200,607) (10,446,000)
18,490,029
- 6,798,085
13,464 24,218 20,643
2,545,659
(2,822,330)
(6,406,088)
6,170,000
443,484
17,761,047 24,218 (126,357) 11,411,734 (69,275)
$ 17,262,745 $ (9,748,918) $ (2,697,405) $ (13,442,533) $ (2,129,272)
5.05% 5.25% 5.09% 5.08% 4.91%
Statistical Section, 7-9
2010 Comprehensive Annual Financial Report
TABLE 5
GENERAL GOVERNMENT TAX REVENUE BY SOURCE
LAST TEN FISCAL YEARS
(Modified accrual basis of accounting)
City of Renton, Washington
Tax Revenues by source
$80
■ Penalty/Interest
$70 Delinquent Tax
$60 ■ Excise Tax
$50
p ■ Admission/Utility
$40 Tax
$30 ■ Sales Tax
$20
$10 ■ Property Tax
$0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Source : City of Renton Finance Division
Statistical Section, 7-10
PENALTY /
ADMISSION /
INTEREST
FISCAL
PROPERTY
TIMBER
SALES
UTILITY
EXCISE
DELINQUENT
YEAR
TAX
TAX
TAX
TAX
TAX
TAX
TOTAL
2001
16,794,636
N/A
16,724,787
11,105,722
5,066,122
1,939
49,693,206
2002
18,373,237
N/A
16,431,456
9,798,260
4,711,446
4,404
49,318,803
2003
19,587,986
N/A
17,334,831
10,895,131
5,449,877
5,415
53,273,240
2004
19,886,805
N/A
18,281,949
9,957,130
6,751,265
6,048
54,883,197
2005
21,826,229
N/A
18,910,822
10,643,068
6,938,264
49
58,318,433
2006
23,600,131
N/A
20,869,596
11,219,302
7,718,945
3,799
63,411,773
2007
23,106,578
N/A
22,749,831
11,962,879
8,236,876
33,949
66,090,113
2008
29,381,036
N/A
23,190,076
14,945,173
4,362,945
6,477
71,885,707
2009
32,300,319
N/A
22,065,316
14,876,496
4,923,978
1,353
74,167,462
2010
32,586,884
N/A
21,591,375
16,883,888
4,351,914
276
75,414,337
Source : City of Renton Finance Division
Statistical Section, 7-10
2010 Comprehensive Annual Financial Report
TABLE 6
PRINCIPAL PROPERTY TAX PAYERS
December 31, 2010
City of Renton, Washington
Source: King County Department of Assessments (2010 taxroll year;
Statistical Section, 7-11
2010
2001
% OF TOTAL
% OF TOTAL
TAXABLE'
TAXABLE
TAXABLE
TAXABLE
ASSESSED
ASSESSED
ASSESSED
ASSESSED
TAXPAYER
VALUE
RANK
VALUE
VALUE
RANK
VALUE
Boeing
$ 816,632,281
1
6.87%
$ 740,451,153
1
14.63%
Paccar
115,630,722
2
0.97%
95,306,433
2
1.88%
Puget Sound Energy-Elec/Gas
95,185,071
3
0.80%
68,989,748
3
1.36%
Transwestern Harvest Lakeshore
68,455,459
4
0.58%
Renton Properties LLC
56,821,800
5
0.48%
ECI Two WTC LLC (WTCTPI LLC)
50,835,600
6
0.43%
Providence Health
50,395,417
7
0.42%
Fred Meyer Stores Inc.
46,337,192
8
0.39%
Axis Grand Holdings
41,166,000
9
0.35%
BRE Properties
38,300,700
10
0.32%
National Tax Search, LLC
67,008,200
4
1.32%
US West
34,993,899
5
0.69%
Speiker Properties LP
33,931,821
6
0.67%
University Street Properties
33,043,400
7
0.65%
Washington Mutual Bank
22,661,800
8
0.45%
Rosche One Interests
21,531,100
9
0.43%
Avalon Bay Communities Inc
21,206,000
10
0.42%
All Others
10,504,968,198
88.39%
3,923,518,198
77.50%
Total Assessed Valuation
$ 11,884,728,440
100.00%
$ 5,062,641,752
100.00%
Source: King County Department of Assessments (2010 taxroll year;
Statistical Section, 7-11
2010 Comprehensive Annual Financial Report
14,000
12,000
0
£ 10,000
v
> 8,000
v
a
v 6,000
a
4,000
2,000
TABLE 7
ASSESSED VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
Page 1 of 2
Total Taxable Assessed Value
City of Renton, Washington
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Year
FISCAL
YEAR
REAL PROPERTY 1,4
PERSONAL PROPERTY
ENDED
RESIDENTIAL
COMMERCIAL
INDUSTRIAL
DECEMBER 31
PROPERTY
PROPERTY
OTHER 4
OTHER Z
2001
1,703,969,835
2,613,181,185
745,490,732
2002
2,810,986,787
2,008,043,209
774,850,492
2003
2,314,785,310
2,921,167,960
747,879,276
2004
2,598,752,772
3,057,565,937
-
716,313,413
2005
4,043,821,357
1,299,377,096
697,864,020
656,709,434
2006
4,510,574,558
1,413,798,348
756,178,392
636,713,076
2007
5,157,095,492
1,588,748,902
850,374,778
754,326,325
2008
6,075,180,284
1,785,418,690
952,688,358
828,746,994
2009
9,073,798,071
2,250,798,546
995,789,421
885,490,676
2010
7,759,903,272
2,251,685,894
1,002,033,038
840,554,180
1Tota I from King County Department of Assessments, allocation across property types calculated using TaxTooIs 4.1 Tax Database;
2001-2009 data has been adjusted to more accurately reflect Residential and Commercial Property values and to incorporate
available data for Industrial and State Public Service property.
2Source is from King County Department of Assessments
3State Public Service amount not available before 2006
°Industrial Property data not available before 2005
Statistical Section, 7-12
2010 Comprehensive Annual Financial Report
4.000
3.500
3.000
2.500
v
m 2.000
z
1.500
1.000
0.500
City of Renton, Washington
TABLE 7
ASSESSED VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
Page 2 of 2
Direct Tax Rate
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Year
FISCAL
TOTAL
YEAR
OTHER l'3
TOTAL
DIRECT
ENDED
STATE PUBLIC SERVICE
ASSESSED
TAX
DECEMBER 31
REAL PROPERTY z
VALUE
RATE z
2001
$
-
$
5,062,641,752
3.375
2002
$
$
5,593,880,488
3.354
2003
$
$
5,983,832,546
3.277
2004
$
$
6,372,632,122
3.327
2005
$
$
6,697,771,907
3.227
2006
$
17,212,168
$
7,334,476,542
3.116
2007
$
20,256,008
$
8,370,801,505
2.884
2008
$
17,643,328
$
9,659,677,654
2.624
2009
$
27,368,066
$
13,233,244,780
2.369
2010
$
30,552,056
$
11,884,728,440
2.712
Statistical Section, 7-13
2010 Comprehensive Annual Financial Report
3.50000
3.00000
2.50000
2.00000
W
1.50000
1.00000
0.50000
City of Renton, Washington
TABLE 8
PROPERTY TAX RATES
DIRECT AND OVERLAPPING GOVERNMENTS
LAST TEN FISCAL YEARS
Page 1 of 2
Direct Property Tax Rates
&
Year
Source: King County Codes and Levies
* Special Districts include Emergency Medical Services, Port and Hospital districts
Statistical Section, 7-14
DIRECT RATES
OVERLAPPING RATES
CITY OF RENTON
COUNTY
Debt
Total
Debt
Total
Fiscal
Operating
Service
City
Operating
Service
County
Year
Millage
Millage
Millage
Millage
Millage
Millage
2001
3.27385
0.10078
3.37463
1.47266
0.26981
1.74247
2002
3.26036
0.09397
3.35433
1.19751
0.25198
1.44949
2003
3.18871
0.08865
3.27736
1.15386
0.19562
1.34948
2004
3.16022
0.08322
3.24344
1.18279
0.24867
1.43146
2005
3.14843
0.07861
3.22704
1.15665
0.22564
1.38229
2006
3.04482
0.07088
3.11570
1.09915
0.22954
1.32869
2007
2.82148
0.06252
2.88400
1.08814
0.20142
1.28956
2008
2.57052
0.05330
2.62382
1.04278
0.16492
1.20770
2009
2.36923
-
2.36923
0.95271
0.14501
1.09772
2010
2.71184
2.71184
1.16171
0.12328
1.28499
Source: King County Codes and Levies
* Special Districts include Emergency Medical Services, Port and Hospital districts
Statistical Section, 7-14
2010 Comprehensive Annual Financial Report
7.00000
6.00000
5.00000
N 4.00000
00
A
3.00000
2.00000
1.00000
City of Renton, Washington
TABLE 8
PROPERTY TAX RATES
DIRECT AND OVERLAPPING GOVERNMENTS
LAST TEN FISCAL YEARS
Page 2 of 2
Overlapping Property Tax Rates
ti°°y ti° ti° ti° ti° ti°°° ti°°� ti° ti° ti°�°
Year
OVERLAPPING RATES
SCHOOL DISTRICT
Debt Total Total
Fiscal Special Operating Service School Overlapping
Year Districts * Millage Millage Millage Rates
Total
Direct &
Overlapping
Rates
2001
0.53526
1.74147
1.62522
3.36669
5.64442
9.01905
2002
0.53599
1.63516
1.47772
3.11288
5.09836
8.45269
2003
0.59292
1.62358
1.36333
2.98691
4.92931
8.20667
2004
0.58319
1.60492
1.88086
3.48578
5.50043
8.74387
2005
0.57542
1.62332
2.36918
3.99250
5.95021
9.17725
2006
1.04312
1.53290
2.42680
3.95970
6.33151
9.44721
2007
0.99431
1.40073
2.04586
3.44659
5.73046
8.61446
2008
1.03213
1.26082
1.36572
2.62654
4.86637
7.49019
2009
0.94245
1.42951
1.71049
3.14000
5.18017
7.54940
2010
1.04887
1.70401
1.69983
3.40384
5.73770
8.44954
Statistical Section, 7-15
2010 Comprehensive Annual Financial Report
35,000,000
30,000,000
25,000,000
20,000,000
15,000,000
10,000,000
5,000,000
TABLE 9
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
Page 1 of 2
Levies vs Collections
O TOTAL TAX ■ TOTAL COLLECTIONS TO DATE
City of Renton, Washington
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
FISCAL
YEAR
TOTAL TAX
COLLECTED WITHIN THE 1
ENDED
LEVY FOR
FISCAL YEAR OF THE LEVY
DECEMBER 31
FISCAL YEAR
AMOUNT % OF LEVY
2001
16,967,683
16,677,882
98.3%
2002
18,581,814
18,285,908
98.4%
2003
19,486,858
19,149,258
98.3%
2004
20,451,011
20,184,238
98.7%
2005
21,654,069
21,358,689
98.6%
2006
22,796,225
22,339,299
98.0%
2007
24,049,060
23,585,143
98.1%
2008
27,188,522
26,722,301
98.3%
2009
31,058,589
30,249,856
97.4%
2010
32,057,010
31,283,546
97.6%
Sources:
1 Annual Tax Receivable Summary from King County
Z 2010 Annual Property Tax Reports from King County
Statistical Section, 7-16
2010 Comprehensive Annual Financial Report
35,000,000
30,000,000
25,000,000
20,000,000
15,000,000
10,000,000
5,000,000
City of Renton, Washington
TABLE 9
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
Page 2 of 2
Property tax collections
r•
�•••• Collections within fiscal yr
—� Collections in subsequent years
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
FISCAL
YEAR
COLLECTIONS z
ENDED
IN SUBSEQUENT
TOTAL COLLECTIONS
TO DATE
DECEMBER 31
YEARS
AMOUNT
% OF LEVY
2001
289,783
16,967,665
100.0%
2002
295,411
18,581,319
100.0%
2003
337,592
19,486,850
100.0%
2004
261,987
20,446,225
100.0%
2005
294,163
21,652,852
100.0%
2006
455,057
22,794,355
100.0%
2007
456,108
24,041,251
100.0%
2008
407,463
27,129,764
99.8%
2009
608,369
30,858,225
99.4%
2010
N/A
31,283,546
97.6%
Statistical Section, 7-17
2010 Comprehensive Annual Financial Report
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
City of Renton, Washington
TABLE 10
SALES TAX COLLECTIONS BY SECTOR
LAST TEN FISCAL YEARS
Page 1 of 2
Sales Tax Collections by Sector
2001 2002 2003 2004 2005
❑Retail ■Construction ❑Manufacturing ❑Transportation
■Wholesale ❑Automotive ■Services ❑Miscellaneous
FISCAL YEAR
2001 2002 2003 2004 2005
RETAIL TRADE SECTOR
Furniture
$ 1,920,734
$ 1,623,906
$ 1,758,082
$ 2,205,114
$ 1,203,942
Electronics and Appliances
426,965
547,333
754,501
556,555
1,065,416
General Merchandise
643,592
673,164
788,699
1,013,876
1,073,144
Misc Retail Trade
704,420
681,148
763,596
862,919
848,834
Others
1,608,082
1,622,166
1,667,483
1,651,782
2,227,721
Subtotal Retail
4,876,828
4,600,384
4,977,860
5,733,691
6,419,057
OTHER SECTORS
Construction
2,060,061
1,899,005
2,122,560
2,641,907
2,495,684
Manufacturing
426,965
547,333
754,501
556,555
569,269
Transportation
648,177
621,314
563,863
628,918
494,866
Wholesale
1,535,709
1,451,387
1,442,263
1,416,559
1,025,132
Automotive
3,307,794
3,549,973
3,625,878
3,538,502
3,946,163
Services
1,913,630
1,835,039
1,953,254
1,677,315
1,736,569
Miscellaneous
574,268
546,400
567,225
460,372
421,715
Subtotal - Other Sectors
10,466,604
10,450,451
11,029,544
10,920,128
10,689,398
Total Sales Tax
$ 15,343,432
$ 15,050,835
$ 16,007,404
$ 16,653,819
$ 17,108,455
In 2007 the Transportation category has been merged with Miscellaneous. Certain group codes have been
shifted around to better reflect the category they truly represent. (The shift will not affect the total collected.)
Source : City of Renton Finance Division
Statistical Section, 7-18
2010 Comprehensive Annual Financial Report
8,000,000
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
City of Renton, Washington
TABLE 10
SALES TAX COLLECTIONS BY SECTOR
LAST TEN FISCAL YEARS
Page 2 of 2
Sales Tax Collections by Sector
2006
2007
2008
2009 2010
❑Retail
■Construction
❑Manufacturing
❑Transportation
■Wholesale
❑Automotive
■Services
❑Miscellaneous
FISCAL YEAR
2006 2007 2008 2009 2010
RETAIL TRADE SECTOR
Furniture
$ 1,276,644 $
1,245,901
$ 1,199,045
$ 1,065,605
$ 1,143,289
Electronics and Appliances
1,130,621
1,143,188
1,137,586
1,036,569
1,086,334
General Merchandise
1,100,217
1,169,225
1,462,858
1,573,716
1,646,351
Misc Retail Trade
928,083
658,429
756,662
625,320
558,709
Others
2,464,896
1,378,094
1,574,482
1,538,600
1,563,101
Subtotal Retail
6,900,461
5,594,837
6,130,633
5,839,810
5,997,784
OTHER SECTORS
Construction
2,688,902
3,898,202
4,725,533
2,991,530
2,218,377
Manufacturing
797,166
983,110
1,050,789
950,113
777,452
Transportation
567,401
-
-
-
-
Wholesale
1,016,468
1,083,059
1,131,445
915,885
941,315
Automotive
4,303,221
4,176,747
3,575,928
3,215,641
3,035,251
Services
2,039,090
4,103,240
3,939,201
3,616,076
3,694,342
Miscellaneous
378,233
503,000
402,360
466,785
533,667
Subtotal - Other Sectors
11,790,482
14,747,358
14,825,256
12,156,029
11,200,404
Total Sales Tax
$ 18,690,943
$ 20,342,195
$ 20,955,889
$ 17,995,840
$ 17,198,187
Statistical Section, 7-19
2010 Comprehensive Annual Financial Report
REVENUE BONDS
31%
City of Renton, Washington
TABLE 11
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
Page 1 of 2
Primary Government Debt
2010
OTHER LONG TERM
DFRT Mij,)
GENERAL
3ATION BONDS
32%
OTHER LONG TERM
DEBT(Gov)
31%
Source : City of Renton Finance Division
1The percentage of Personal Income column is based on personal income of King County. (See Table 16)
Statistical Section, 7-20
GOVERNMENTAL ACTIVITIES
BUSINESS -TYPE ACTIVITIES
GENERAL
SPECIAL
OTHER
FISCAL
OBLIGATION
ASSESSMENT
LONG TERM
OTHER LONG
YEAR
BONDS
BONDS
DEBT
REVENUE BONDS
TERM DEBT
2001
29,289,290
135,000
23,070,000
7,940,013
2002
33,797,023
-
31,230,000
8,229,373
2003
32,245,982
29,070,000
7,637,552
2004
30,629,403
37,680,000
8,384,138
2005
29,107,664
35,790,000
11,589,789
2006
45,584,314
33,840,000
10,716,520
2007
44,017,551
33,405,000
9,878,951
2008
41,938,000
-
43,310,000
8,968,894
2009
38,480,000
38,973,547
41,110,000
8,284,962
2010
37,469,000
37,467,875
36,955,000
7,357,546
Source : City of Renton Finance Division
1The percentage of Personal Income column is based on personal income of King County. (See Table 16)
Statistical Section, 7-20
2010 Comprehensive Annual Financial Report
140,000,000
120,000,000
100,000,000
80,000,000
60,000,000
40,000,000
20,000,000
TABLE 11
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
Page 2 of 2
Primary Government Debt
Total Debt
City of Renton, Washington
Statistical Section, 7-21
PERCENTAGE)
TOTAL PRIMARY
OF
FISCAL
GOVERNMENT
PERSONAL
DEBT PER
YEAR
DEBT
INCOME
POPULATION
CAPITA
2001
60,434,303
7.56%
51,140
1,182
2002
73,256,396
7.86%
53,840
1,361
2003
68,953,534
9.40%
54,900
1,256
2004
76,693,541
8.71%
55,360
1,385
2005
76,487,453
8.68%
56,840
1,346
2006
90,140,834
8.59%
58,360
1,545
2007
87,301,502
8.17%
60,290
1,448
2008
94,216,894
8.60%
78,780
1,196
2009
126,848,509
11.63%
83,650
1,516
2010
119,249,421
N/A
86,230
1,383
Statistical Section, 7-21
2010 Comprehensive Annual Financial Report
Debt Limit
Total net debt applicable to limit
Legal debt margin
Total net debt applicable to the limit
as a percentage of debt limit
Source : City of Renton Finance Division
City of Renton, Washington
TABLE 12
LEGAL DEBT MARGIN INFORMATION
LAST TEN FISCAL YEARS
Page 1 of 2
7.27% 7.69% 6.28% 5.89% 5.26%
Statistical Section, 7-22
FISCAL YEAR
2001
2002
2003
2004
2005
$ 379,698,131
$ 419,541,037
$ 448,787,441
$ 477,947,409
$ 502,332,893
27,586,389
32,258,499
28,173,327
28,137,536
26,423,667
$ 352,111,742
$ 387,282,538
$ 420,614,114
$ 449,809,873
$ 475,909,226
7.27% 7.69% 6.28% 5.89% 5.26%
Statistical Section, 7-22
2010 Comprehensive Annual Financial Report
Debt Limit
Total net debt applicable to limit
Legal debt margin
City of Renton, Washington
TABLE 12
LEGAL DEBT MARGIN INFORMATION
LAST TEN FISCAL YEARS
Page 2 of 2
FISCAL YEAR
2006
2007
2008
2009
2010
$ 550,085,741
$ 627,810,135
$ 724,475,824 $
992,493,359 $
891,354,633
42,515,728
$ 42,624,636
40,667,064
77,085,895
79,073,992
$ 507,570,013
$ 585,185,499
$ 683,808,760 $
915,407,464 $
812,280,641
Total net debt applicable to the limit
as a percentage of debt limit 7.73% 6.79% 5.61% 7.77% 8.87%
LEGAL DEBT MARGIN CALCULATION FOR FISCAL YEAR 2010
Assessed Value
Add back: exempt real property
Total assessed value
Debt Limit
2.5% of general purpose limit, voted and non -voted
2.5% Utility purpose limit, voted
2.5% Open Space, Park and Capital facilities, voted
Total Debt Limit
Debt applicable to limit:
General Obligation Bonds
Other Long Term Debt
Less: Amount set aside for repayment of
general obligation debt and contracts payable
Total net debt applicable to limit
Legal Debt Margin
$ 11,884,728,440
11,884,728,440
297,118,211
297,118,211
297,118,211
891,354,633
38,973,547
41,110,000
80,083,547
(1,009,555)
79,073,992
$ 812,280,641
Statistical Section, 7-23
2010 Comprehensive Annual Financial Report
50,000,000
40,000,000
30,000,000
20,000,000
10,000,000
City of Renton, Washington
TABLE 13
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
General Obligation Bond Debt
0 G Bond Debt
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Statistical Section, 7-24
LESS:
NET
% OF GO BOND
GENERAL1
AMOUNTSl
GENERAL
DEBT TO
FISCAL
OBLIGATION
AVAILABLE
OBLIGATION
ASSESSED 2,3
ASSESSED
PER
YEAR
BONDS
IN DEBT
BOND DEBT
VALUE
VALUE
CAPITA
2001
29,289,290
1,770,724
27,518,566
$
5,062,641,752
0.54%
538
2002
33,797,023
1,540,203
32,256,820
$
5,593,880,488
0.58%
599
2003
32,245,982
1,879,654
30,366,328
$
5,983,832,546
0.51%
553
2004
30,629,403
1,440,509
29,188,894
$
6,372,632,122
0.46%
527
2005
29,107,664
2,683,999
26,423,665
$
6,697,771,907
0.39%
465
2006
45,584,314
3,068,587
42,515,727
$
7,334,476,542
0.58%
729
2007
44,017,551
1,392,915
42,624,636
$
8,370,801,505
0.51%
707
2008
41,938,000
1,270,936
40,667,064
$
9,659,677,654
0.42%
516
2009
38,480,000
367,652
38,112,348
$
13,233,244,780
0.29%
456
2010
37,469,000
1,009,555
36,459,445
$
11,884,728,440
0.31%
423
Source:
1 City of Renton Finance Division
z King County
Department of Assessments (2010 taxroll
year)
Statistical Section, 7-24
2010 Comprehensive Annual Financial Report
TABLE 14
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
Schools -
67%
GOVERNMENTAL UNIT
City of Renton Direct Debt
City of Renton Overlapping Debt 4
King County 3
Port of Seattle
Renton School District #403
Issaquah School District #411
Kent School District #415
Fire District 20-1
Fire District 40-1
King County Library
City of Renton Overlapping Debt
Total Direct and Overlapping Debt
Share of Overlapping Debt
Port of Seattle
A0/
DEBT 1
OUTSTANDING
$ 37,469,000
ESTIMATED z
o�
APPLICABLE
thers
2%
Renton
13%
County
14%
100%
City of Renton, Washington
ESTIMATED
SHARE OF
OVERLAPPING
DEBT
$ 37,469,000
$ 1,140,426,000
3.47%
$
39,572,782
335,500,000
3.47%
11,641,850
261,635,000
68.77%
179,926,390
303,713,853
2.52%
7,653,589
205,939,464
0.72%
1,487,501
0
2.91%
-
8,153,318
40.55%
3,305,958
131,901,411
1.50%
1,978,521
$
245,566,591
$
283,035,591
Sources:
1 King County Department of Executive Services
z King County Department of Assessments
3 King County's debt excludes proprietary -type debt, public facilities district debt financed from special taxes and hotel/motel tax financed
debt
^ King County's explanation of the calculation is as follows: Overlapping percentages are determined by checking within the levy codes of
the reporting district to see which taxing districts overlap with that reporting district. For example, within levy code 2100, the Renton
School District and the King County Library district overlap with the city and both have debt. Since they both have debt and they overlap
with the city, those two districts are reported and the value within that levy code is reported as overlapping with the school and library
districts.
Statistical Section, 7-25
2010 Comprehensive Annual Financial Report
4.00
3.50
O 3.00
H
i< 2.50
LU
Q
2.00
LU 1.50
O
U
1.00
0.50
0.00
TABLE 15
PLEDGED -REVENUE COVERAGE
LAST TEN FISCAL YEARS
WATER/SEWER & GOLF COURSE REVENUE BONDS
City of Renton, Washington
3.49
3.07 3.61 3.01
2.90 2.86
2.40
2.16 2.17
1.67
2.04 1.98 1. 2.09
- 10
0.83
.38
1 1.39 1 28
1.25
+ WATER/SEWER
M GOLF COURSE
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
1Revenue includes connection charges, system development charges, latecomer fees, and interest revenue.
2Bond financing requirements are that the average annual coverage is at least 1.3 times the average annual
debt service for Water and Sewer revenue bonds. The Golf System revenue bonds coverage requirement is at
least 1.25 times that of respective calendar year's annual debt service.
31999 Golf System Refunding Revenue Bonds were issued to refund the 1994 Golf System Revenue Bonds.
4The Golf Course borrowed funds from the General Fund to call the outstanding 1999 Refunding Revenue Bond in order to
receive a more favorable interest rate (see Resolution No. 4070)
Statistical Section, 7-26
EXPENSES
NET REVENUE
FISCAL
W/O
AVAILABLE FOR
DEBT SERVICE
YEAR
REVENUEI
DEPRECIATION
DEBT SERVICE
PRINCIPAL
INTEREST
COVERAGE
WATER AND SEWER
REVENUE BONDS:
2001
21,994,245
16,051,720
5,942,525
1,730,000
1,019,923
2.16
2002
24,045,660
17,495,472
6,550,188
1,805,000
928,303
2.40
2003
25,934,120
16,990,519
8,943,601
1,635,000
1,282,115
3.07
2004
27,301,230
18,325,863
8,975,367
1,475,000
1,010,268
3.61
2005
27,889,360
18,892,824
8,996,536
1,630,000
1,477,124
2.90
2006
27,750,508
18,850,225
8,900,283
1,680,000
1,430,199
2.86
2007
32,887,272
22,020,642
10,866,630
1,740,000
1,373,036
3.49
2008
32,152,413
23,766,437
8,385,976
1,810,000
1,803,687
3.01
2009
34,795,614
26,894,033
7,901,581
1,890,000
1,758,589
2.17
2010
35,790,870
28,183,489
7,607,381
1,955,000
1,689,455
2.09
GOLF COURSE
REVENUE BONDS3:
2001
2,375,997
1,480,024
895,973
220,000
219,348
2.04
2002
2,279,361
1,415,674
863,687
225,000
210,548
1.98
2003
2,177,122
1,573,296
603,826
235,000
201,210
1.38
2004
2,198,597
1,460,445
738,152
250,000
191,223
1.67
2005
2,208,335
1,657,294
551,041
260,000
180,348
1.25
2006
2,337,672
1,725,854
611,818
270,000
168,778
1.39
2007
2,333,955
1,770,684
563,271
285,000
156,358
1.28
2008
2,310,869
1,827,810
483,059
295,000
142,820
1.10
2009
2,163,737
1,798,831
364,906
310,000
128,513
0.83
2010 4
2,106,614
1,684,423
422,191
2,200,000
113,323
N/A4
1Revenue includes connection charges, system development charges, latecomer fees, and interest revenue.
2Bond financing requirements are that the average annual coverage is at least 1.3 times the average annual
debt service for Water and Sewer revenue bonds. The Golf System revenue bonds coverage requirement is at
least 1.25 times that of respective calendar year's annual debt service.
31999 Golf System Refunding Revenue Bonds were issued to refund the 1994 Golf System Revenue Bonds.
4The Golf Course borrowed funds from the General Fund to call the outstanding 1999 Refunding Revenue Bond in order to
receive a more favorable interest rate (see Resolution No. 4070)
Statistical Section, 7-26
2010 Comprehensive Annual Financial Report
TABLE 16
DEMOGRAPHIC AND ECONOMIC STATISTICS
LAST TEN FISCAL YEARS
City of Renton, Washington
UNEMPLOYMENT RATE
9.0%
51,140
76,883,017,000
8.0%
7.0%
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
35.92
12,556
5.1%
2002
1,774,312
53,840
77,940,608,000
44,217
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
PER CAPITA
PERSONAL PERSONAL SCHOOL UNEMPLOYMENT
POPULATION1 INCOME INCOME ENROLLMENTS RATE
FISCAL MEDIAN
YEAR KING COUNTY RENTON KING COUNTY KING COUNTY AGE 4 CITY OF RENTON KING COUNTY
2001
1,758,312
51,140
76,883,017,000
43,764
35.92
12,556
5.1%
2002
1,774,312
53,840
77,940,608,000
44,217
36.13
12,892
6.1%
2003
1,779,300
54,900
79,199,166,000
44,800
36.38
13,046
6.2%
2004
1,788,300
55,360
88,407,884,000
49,670
36.60
13,062
5.2%
2005
1,808,300
56,840
89,032,307,000
49,488
36.83
13,192
4.7%
2006
1,835,300
58,360
97,750,314,000
53,488
36.93
13,397
4.2%
2007
1,861,300
60,290
106,805,239,000
57,710
36.97
13,570
3.7%
2008
1,884,200
78,780
109,551,329,000
58,141
37.00
13,836
4.2%
2009
1,909,300
83,650
109,053,408,000
56,904
37.08
13,977
6.8%
2010
1,933,400
86,230
N/A
N/A
37.24
14,232
8.3%
Sources
1Washington State Office of Financial Management
2U.S. Bureau of Economic Analysis.
3U.S. Bureau of Economic Analysis.
°Washington State Office of Financial Management
5Renton Public Schools
6Washington State Employment Security Department
Statistical Section, 7-27
2010 Comprehensive Annual Financial Report
TABLE 17
PRINCIPAL EMPLOYERS
City of Renton, Washington
Ll,la/
Source: 'City of Renton Business license records and individual inquiries
31.3470 L0,034 D0.4470
Statistical Section, 7-28
2010
2001
% OF TOTAL
% OF TOTAL
CITY
CITY
EMPLOYER
EMPLOYEES'
RANK
EMPLOYMENT
EMPLOYEES
RANK
EMPLOYMENT
Boeing Company
12,913
1
31.29%
19,463
1
42.71%
Valley Medical Center
2,012
2
4.88%
1,488
2
3.27%
Federal Aviation Administration
11475
3
3.57%
1,307
3
2.87%
Renton School District
1,333
4
3.23%
1,234
4
2.71%
Providence WA Regional
770
5
1.87%
Paccar Inc
732
6
1.77%
679
5
1.49%
City of Renton
698
7
1.69%
ER Solutions
479
8
1.16%
589
7
1.29%
King County
424
9
1.03%
Puget Sound Educational Services District #:
351
10
0.85%
356
9
0.78%
Wizards of the Coast
609
6
1.34%
Zones International
571
8
1.25%
K&I Distributors
338
10
0.74%
Ll,la/
Source: 'City of Renton Business license records and individual inquiries
31.3470 L0,034 D0.4470
Statistical Section, 7-28
2010 Comprehensive Annual Financial Report
This page intentionally left blank.
City of Renton, Washington
Statistical Section, 7-29
2010 Comprehensive Annual Financial Report
City of Renton, Washington
TABLE 18
FULL TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
LAST TEN FISCAL YEARS
Page 1 of 2
FUNCTION
General Government
Public Safety
Police
Commissioned Officers
Non -Commissioned Officers
Fire
Commissioned Officers
Non -Commissioned Officers
Public Works
Administration
Transportation Systems
Utility Systems
Maintenance Services
Culture and Recreation
Parks and Recreation
Library
Museum
Golf Course
Total
FISCAL YEAR
2001
2002
2003
2004
2005
93.5
97.5
96.5
97.5
94.5
86.0
88.0
88.0
89.0
91.0
36.2
40.2
40.2
41.2
43.2
105.0
105.0
105.0
106.0
106.0
11.0
12.0
12.0
13.0
13.0
42.7
42.7
42.7
42.7
42.5
33.0
34.0
33.0
34.5
34.5
20.8
20.8
20.8
20.8
20.8
61.0
61.0
62.0
62.0
62.0
80.5
77.5
77.5
77.5
76.5
14.0
14.0
14.0
14.0
13.0
1.0
1.0
1.0
1.0
1.0
10.0
10.0
10.0
10.0
10.0
594.7
603.7
602.7
609.2
608.0
Source: City of Renton Finance Division
1 In 2008, development services moved from public works to community and economic development which is listed under
general government.
Z In 2009, increase in Administrative, Judicial & Legal Services includes moving Legal Services in-house and creation of a
Communications Division which was a reorganization of staffing from the Finance and Information Services Department and
the Mayors Office.
3 Operations of the Renton libraries transferred to King County Library System (KCLS) in 2010 as a result of voter -approved
annexation
Statistical Section, 7-30
2010 Comprehensive Annual Financial Report
City of Renton, Washington
TABLE 18
FULL TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
LAST TEN FISCAL YEARS
Page 2 of 2
Statistical Section, 7-31
FISCAL YEAR
2006
2007
2008
2009
2010
FUNCTION
General Government
89.5
95.0
155.6
163.8
143.3
Public Safety
Police
Commissioned Officers
97.0
122.0
124.0
121.0
123.0
Non -Commissioned Officers
42.2
49.2
51.2
46.4
44.4
Fire
Commissioned Officers
106.0
109.0
118.0
137.0
136.0
Non -Commissioned Officers
14.0
16.0
17.0
18.0
16.0
Public Works
Administration
46.5
49.0
4.0
3.5
3.0
Transportation Systems
35.5
40.5
41.0
37.0
33.0
Utility Systems
24.8
29.3
36.7
37.7
29.5
Maintenance Services
64.1
71.0
88.0
83.0
78.0
Culture and Recreation
-
Parks and Recreation
76.5
81.0
89.5
86.3
81.8
Library
13.0
14.0
14.0
15.0
-
Museum
1.0
1.0
1.0
1.0
1.0
Golf Course
10.0
10.0
10.0
9.5
9.5
Total
620.0
687.0
750.0
759.2
698.5
Statistical Section, 7-31
2010 Comprehensive Annual Financial Report City of Renton, Washington
TABLE 19
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
Page 1 of 2
FISCAL YEAR
Statistical Section, 7-32
2001
2002
2003
2004
2005
FUNCTION
Public Safety
Police
Physical arrests
3,411
3,813
3,735
4,280
4,590
Parking violations
6,325
4,776
2,742
3,733
3,575
Traffic violations
10,936
11,448
11,651
10,963
12,866
Fire
Number of calls answered
8,273
8,233
8,582
8,984
9,202
Inspections
2,269
2,261
2,681
2,539
3,438
Transportation
Street resurfacing (miles)
6.54
6.13
4.85
3.67
3.69
Solid Waste
Recyclables collected (tons/yr)
5,793.6
5,119.8
4,389.0
4,920.3
4,934.2
Culture and Recreation
Athletic field attendence
119,422
126,534
137,811
156,707
155,000
Community Center admissions
174,500
162,970
172,911
172,537
177,761
Library
Volume in collections
148,758
155,463
158,676
165,406
190,011
Total volumes borrowed
382,443
456,982
499,792
512,059
491,470
Water
Metered connection
13,969
14,583
15,181
15,379
16,585
Average daily consumption
7,097
7,232
7,581
7,635
7,306
(thousands of gallons)
Peak daily consumption
11,960
12,477
14,080
14,248
13,025
(thousands of gallons)
10perations of the Renton libraries transferred to
King County Library System (KCLS) in
2010 as a result
of voter -approved
annexation.
Source: City of Renton departments
Statistical Section, 7-32
2010 Comprehensive Annual Financial Report City of Renton, Washington
TABLE 19
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
Page 2 of 2
Statistical Section, 7-33
FISCAL YEAR
2006
2007
2008
2009
20101
FUNCTION
Public Safety
Police
Physical arrests
2,489
2,925
3,580
3,748
3,464
Parking violations
3,520
5,995
5,117
6,795
4,748
Traffic violations
10,172
9,148
10,705
17,031
16,529
Fire
Number of calls answered
10,096
10,159
12,402
12,840
13,045
Inspections
3,505
3,197
2,772
2,968
2,620
Transportation
Street resurfacing (miles)
3.86
1.59
2.59
3.08
2.65
Solid Waste
Recyclables collected (tons/yr)
4,843
5,004
5,395
9,653
9,836
Culture and Recreation
Athletic field attendence
155,000
91,053
93,000
93,000
93,000
Community Center admissions
177,761
162,476
155,000
150,000
150,000
Library
Volume in collections
193,965
188,359
194,497
187,454
N/A
Total volumes borrowed
464,333
491,397
554,223
620,981
N/A
Water
Metered connection
16,668
16,958
17,172
17,295
17,368
Average daily consumption
7,999
8,008
7,388
7,585
6,750
(thousands of gallons)
Peak daily consumption
15,271
14,750
12,739
14,814
12,826
(thousands of gallons)
Statistical Section, 7-33
2010 Comprehensive Annual Financial Report City of Renton, Washington
TABLE 20
CAPITAL ASSETS STATISTICS BY FUNCTION
LAST TEN FISCAL YEARS
Page 1 of 2
FISCAL YEAR
12009 Parks total corrected in 2010 report
Source: City of Renton Departments
Statistical Section, 7-34
2001
2002
2003
2004
2005
FUNCTION
Public safety
Police:
Stations
1.0
1.0
1.0
1.0
1.0
Patrol units
7.0
7.0
7.0
7.0
7.0
Fire stations
5.0
5.0
5.0
5.0
5.0
Transportation
Street (miles)
195.6
213.2
213.7
213.7
218.0
Streetlights (added)
75.0
53.0
120.0
92.0
86.0
Culture and recreation
Parks acreage
1,158.0
1,158.0
1,158.0
1,158.0
1,158.0
Parks
26.0
26.0
26.0
26.0
26.0
Swimming pools
-
-
-
1.0
1.0
Tennis courts
17.0
17.0
17.0
17.0
17.0
Community centers
1.0
1.0
1.0
1.0
1.0
Water
Water mains (miles)
283
289.0
291.0
291.1
293.0
Fire hydrants
3,102
3,193
3,240
3,274
3,374
Sewer
Sanitary sewers (miles)
168.1
176.7
183.5
189.6
193.3
Storm sewers (miles)
189.7
199.4
204.0
209.7
214.8
12009 Parks total corrected in 2010 report
Source: City of Renton Departments
Statistical Section, 7-34
2010 Comprehensive Annual Financial Report City of Renton, Washington
TABLE 20
CAPITAL ASSETS STATISTICS BY FUNCTION
LAST TEN FISCAL YEARS
Page 2 of 2
FISCAL YEAR
Statistical Section, 7-35
2006
2007
2008
20091
2010
FUNCTION
Public safety
Police:
Stations
1.0
1.0
1.0
1.0
1.0
Patrol units
7.0
7.0
10.0
10.0
10.0
Fire stations
5.0
5.0
6.0
6.0
6.0
Transportation
Street (miles)
224.6
233.7
263.8
263.8
264.5
Streetlights (added)
134.0
213.0
230.0
368.0
439.0
Culture and recreation
Parks acreage
1,160.0
1,160.0
1,181.0
1,183.0
1,183.0
Parks
26.0
28.0
29.0
30.0
30.0
Swimming pools
1.0
1.0
1.0
1.0
1.0
Tennis courts
17.0
17.0
17.0
17.0
17.0
Community centers
1.0
1.0
1.0
1.0
1.0
Water
Water mains (miles)
295.0
300.0
304.0
305.0
305.0
Fire hydrants
3,440
3,544
3,602
3,624
3,651
Sewer
Sanitary sewers (miles)
204.9
206.3
215.7
216.4
217.7
Storm sewers (miles)
219.7
222.3
267.5
273.8
274.9
Statistical Section, 7-35