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HomeMy WebLinkAbout2019 CAFR - City of Renton (2)City of Renton Renton City Hall • 1055 South Grady Way • Renton, WA 98057 • rentonwa.gov Comprehensive Annual Financial Report For the year ended December 31, 2019 i CITY OF RENTON     2019  COMPREHENSIVE ANNUAL  FINANCIAL REPORT  For Year Ended December 31, 2019            Administrative Services Department  City of Renton  1055 South Grady Way  Renton, Washington  98057  (425) 430‐6858  Website:  www.rentonwa.gov  ii ACKNOWLEDGEMENTS  Prepared by the Finance Division of the   Administrative Services Department    Administrative Services Administrator  Jan Hawn    Fiscal Services Director  Kari Roller    Accounting Staff  Misty Baker, Senior Finance Analyst  Raevel Chea, Senior Finance Analyst  Sean Hollingsworth, Finance Analyst III  Jen Hughes, Financial Services Manager   Nate Malone, Tax & Licensing Program Manager  Todd Mar, Finance Analyst III   Stacy Robinson, Senior Finance Analyst  Terri Weishaupt, Accounting Supervisor    Print and Mail Coordinator  Karl Hurst    TABLE OF CONTENTS  DECEMBER 31, 2019    ITEM PAGE  iii INTRODUCTORY SECTION  Letter of Transmittal ..................................................................................................................................... 1‐1  2018 Comprehensive Annual Financial Report Award ................................................................................. 1‐6  Corporate Organization Structure & Reporting Relations ............................................................................ 1‐7    FINANCIAL SECTION  Independent Auditor’s Report .................................................................................................................... 2‐1  Management Discussion and Analysis ........................................................................................................ 3‐1  Basic Financial Statements:   Government‐wide Financial Statements:    Statement of Net Position ............................................................................................................... 4‐1    Statement of Activities .................................................................................................................... 4‐2   Fund Statements:   Governmental Fund Financial Statements:    Balance Sheet .................................................................................................................................. 4‐3    Reconciliation of Balance Sheet to the Statement of Net Position ................................................. 4‐4    Statement of Revenues, Expenditures and Changes in Fund Balances ........................................... 4‐5    Reconciliation of the Statement of Revenues, Expenditures and Changes in     Fund Balances of Governmental Funds to the Statement of Activities .................................... 4‐6   Proprietary Fund Financial Statements:    Statement of Net Position ............................................................................................................... 4‐7    Statement of Revenues, Expenses, and Changes in Net Position ................................................... 4‐8    Statement of Cash Flows ................................................................................................................. 4‐9   Fiduciary Fund Statements:    Statement of Fiduciary Net Position ............................................................................................. 4‐11    Statement of Changes in Fiduciary Net Position ........................................................................... 4‐12  Notes to Financial Statements:    Note 1:  Significant Accounting Policies ........................................................................................ 4‐13    Note 2:  Deposits and Investments ............................................................................................... 4‐25    Note 3:  Property Taxes ................................................................................................................. 4‐29    Note 4:  Capital Assets and Depreciation ...................................................................................... 4‐30    Note 5:   Pensions ........................................................................................................................... 4‐33    Note 6:  Other Post Employment Benefits .................................................................................... 4‐47    Note 7:  Contingencies .................................................................................................................. 4‐50    Note 8:  Risk Management ............................................................................................................ 4‐50    Note 9: Interfund Transactions ..................................................................................................... 4‐52    Note 10: Long Term Debt .............................................................................................................. 4‐54    Note 11: Joint Ventures ................................................................................................................. 4‐58  Note 12: Airport Leases ................................................................................................................. 4‐61  Note 13: Capital Lease ................................................................................................................... 4‐62    Note 14: Tax Abatement ............................................................................................................... 4‐62  Note 15: Subsequent Events ......................................................................................................... 4‐63  Required Supplementary Information Other than MD&A:  Schedule of Revenues, Expenditures, and Changes in Fund Balance ‐ Budget and Actual   General Fund ................................................................................................................................... 5‐1  TABLE OF CONTENTS  DECEMBER 31, 2019    ITEM PAGE  iv Notes to Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual   General Fund ................................................................................................................................... 5‐2  Schedule of the City’s Proportionate Share of the Net Pension Liability ‐ PERS Plan 1 ......................... 5‐4  Schedule of the City’s Proportionate Share of the Net Pension Liability ‐ PERS Plan 2/3 ..................... 5‐5  Schedule of the City’s Proportionate Share of the Net Pension Liability ‐ PSERS Plan 2 ....................... 5‐6  Schedule of the City’s Proportionate Share of the Net Pension Liability ‐ LEOFF Plan 1 ....................... 5‐7  Schedule of the City’s Proportionate Share of the Net Pension Liability ‐ LEOFF Plan 2 ....................... 5‐8  Schedule of Employer Contributions ‐ WA Department of Retirement Systems .................................. 5‐9  Schedule of Changes in Net Pension Liability and Related Ratios ‐ Firefighters’ Pension Fund .......... 5‐10  Schedule of Employer Contributions ‐ Firefighters’ Pension Fund ...................................................... 5‐11  Schedule of Investment Returns ‐ Firefighters’ Pension Fund ............................................................. 5‐12  Schedule of Changes in Total OPEB Liability and Related Ratios………………………………. .................... ...5‐13  Combining Statements and Other Supplementary Information   Non‐Major Fund Descriptions ................................................................................................................ 6‐1   Combining Governmental Balance Sheet ‐ Nonmajor Governmental Funds     Summary by Fund Type ................................................................................................................... 6‐5  Combining Balance Sheet ‐ Nonmajor Capital Projects Funds .............................................................. 6‐6   Combining Balance Sheet ‐ Nonmajor Debt Service Funds ................................................................... 6‐7  Combining Balance Sheet ‐ Nonmajor Special Revenue Funds ............................................................. 6‐8  Combining Statement of Revenues, Expenditures and Changes in Fund Balances ‐ Nonmajor  Governmental Funds Summary by Fund Type ................................................................................ 6‐9  Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ‐ Nonmajor    Capital Projects Funds ................................................................................................................... 6‐10  Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ‐ Nonmajor    Debt Service Funds ........................................................................................................................ 6‐11  Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ‐ Nonmajor    Special Revenue Funds .................................................................................................................. 6‐12   Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Municipal Facilities CIP .................................................................................................................. 6‐13  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Municipal Facilities CIP – Housing Opportunity/Economic Development Revolving Fund ........... 6‐14  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Municipal Facilities CIP – New Family First Center Development ................................................. 6‐15  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Municipal Facilities CIP – New Library Development .................................................................... 6‐16  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Community Development Impact Mitigation ................................................................................ 6‐17  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Transportation Impact Mitigation ................................................................................................. 6‐18  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Capital Improvement ..................................................................................................................... 6‐19  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   General Debt ................................................................................................................................. 6‐20  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Arterial Street ................................................................................................................................ 6‐21  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Hotel/Motel Tax ............................................................................................................................ 6‐22  TABLE OF CONTENTS  DECEMBER 31, 2019    ITEM PAGE  v Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Municipal Art ................................................................................................................................. 6‐23  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Cable Communications Development ........................................................................................... 6‐24  Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual   Springbrook Wetlands Bank .......................................................................................................... 6‐25   Combining Statement of Net Position, Nonmajor Enterprise Funds ................................................... 6‐26   Combining Statement of Revenues, Expenses and Changes in Fund Net Position ‐    Nonmajor Enterprise Funds ........................................................................................................... 6‐27   Combining Statement of Cash Flows ‐ Nonmajor Enterprise Funds .................................................... 6‐28   Combining Statement of Net Position, Internal Service Funds ............................................................ 6‐30   Combining Statement of Revenues, Expenses, and Changes in Fund Net Position,    Internal Service Funds ................................................................................................................... 6‐31   Combining Statement of Cash Flows, Internal Service Funds .............................................................. 6‐32     STATISTICAL SECTION   Statistical Section Description ................................................................................................................ 7‐1  Financial Trends:   Table 1: Net Position by Component ................................................................................................. 7‐2   Table 2: Changes in Net Position ........................................................................................................ 7‐3   Table 3: Fund Balance of Governmental Funds ................................................................................. 7‐5   Table 4: Changes in Fund Balance of Governmental Funds ............................................................... 7‐6  Revenue Capacity:   Table 5: Water Utility Systems Revenue Information ........................................................................ 7‐7   Table 6: Principal Rate Payers ............................................................................................................ 7‐8   Table 7: Water Utility Rates ............................................................................................................. 7‐11   Table 8: General Government Tax Revenue by Source .................................................................... 7‐14   Table 9: Principal Property Tax Payers ............................................................................................. 7‐15   Table 10: Assessed Value of Taxable Property ................................................................................... 7‐16   Table 11: Property Tax Rates Direct and Overlapping Governments ................................................ 7‐17   Table 12: Property Tax Levies and Collections ................................................................................... 7‐18   Table 13: Sales Tax Collections by Sector ........................................................................................... 7‐19  TABLE OF CONTENTS  DECEMBER 31, 2019    ITEM PAGE  vi Debt Capacity:   Table 14: Ratios of Outstanding Debt by Type ................................................................................... 7‐20   Table 15: Legal Debt Margin Information .......................................................................................... 7‐21   Table 16: Ratios of General Bonded Debt Outstanding to Assessed Value ....................................... 7‐22   Table 17: Direct and Overlapping Governmental Activities Debt ...................................................... 7‐23   Table 18: Pledged‐Revenue Coverage ................................................................................................ 7‐24  Demographic and Economic Information:   Table 19: Demographic and Economic Statistics ................................................................................ 7‐25   Table 20: Principal Employers ............................................................................................................ 7‐26  Operating Information:   Table 21: Full Time Equivalent City Government Employees by Function ......................................... 7‐27   Table 22: Operating Indicators by Function ....................................................................................... 7‐28   Table 23: Utility Systems Supplemental Operating Information ....................................................... 7‐29   Table 24: Capital Assets Statistics by Function ................................................................................... 7‐30  August 5, 2020  Honorable Armondo Pavone, Mayor  Members of the Renton City Council  Residents of Renton  City of Renton, Washington  Mr. Mayor, Honorable Councilmembers, and Citizens of Renton:   We  are  pleased  to  present  the  City’s  Comprehensive  Annual  Financial  Report  for  the  year  ended  December 31, 2019.  The City maintains a system of internal controls designed to provide reasonable  assurance that assets are safeguarded against loss or unauthorized use, and that financial records can  be  relied  upon  to  produce  accurate  and  fairly  presented  financial  statements  in  accordance  with  generally accepted accounting principles.    Management  assumes  full  responsibility  for  the  completeness  and  reliability  of  the  information  contained in this report.  To the best of our knowledge and belief, the enclosed financial statements  and  all  supporting  schedules  are  accurate  in  all  material  respects  and  are  reported  in  a  manner  designed to present fairly the financial position and results of operations of the City.  The concept of  reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be  derived, and the evaluation of the relative costs and benefits of the control system requires estimates  and judgments by management.   These  financial  statements  have  been  audited  by  the  Washington  State  Auditor’s  Office.   This  independent  audit  was  conducted  in  accordance  with  generally  accepted  auditing  standards  and  generally  accepted  government  auditing  standards  to  provide  an  independent  assessment  of  fair  presentation  of  the  City’s  financial  position.   The  State  Auditor’s  Office  has  issued  an  unmodified  (“clean”)  opinion  on  the  City’s  financial  statements,  which  is  included  at  the  front  of  the  financial  statement section of this report.  Management’s  Discussion  and  Analysis  (MD&A)  immediately  follows  the  State  Auditor’s  report  and  provides a narrative introduction, overview, and analysis to accompany the basic financial statements.   This letter of transmittal is designed to complement the MD&A and should be read in conjunction with  it.    2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-1 PROFILE OF THE CITY    Incorporated on September 6, 1901, Renton is a city in King County, Washington. Situated 11 miles  southeast of downtown Seattle, 5 miles from SeaTac Airport, Renton straddles the southeast shore of  Lake Washington, at the junction of key north‐south and east‐west transportation corridors. The City’s  early economy was based on coal mining, clay production, and timber export. Today, Renton is best  known as the final assembly point for the Boeing 737 family of commercial airplanes, but it is also  home to a growing number of well‐known manufacturing, technology, health care service companies  and government institutions, including Boeing, Paccar, Wizards of the Coast gaming, Ikea Home  Furnishing, Valley Medical Center, Providence Health & Services, Kaiser Permanente, the Seattle  Seahawks headquarters, Seattle Branch of Federal Reserve Bank, and FAA Northwest Regional office.       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 day‐to‐ day operations, and to lead policy development and implementation with the seven‐member City  Council elected at large on a non‐partisan basis.    With a population of 104,700 in 2019, Renton is the 8th largest city in the state, and the 4th largest in  King County.  The City provides a full range of municipal services to an incorporated area of 24.03  square miles.  These services include police, street construction and maintenance, planning and zoning,  municipal court, general administrative services, municipal airport, golf course, and parks and  recreational facilities that includes an aquatic center, senior center, community center, two  neighborhood centers, and a museum.       The City operates four utilities: water, sewer, surface water, and contracts out its solid waste  collection.  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 supplies and does not rely on purchased water to meet normal service demands.  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.    Since the 2011‐12 biennium, the City has adopted a biennial budget.  The Council is required to adopt  an initial budget for the biennium no later than December 31 preceding the beginning of the fiscal year  on January 1. The City of Renton maintains budgetary controls to ensure compliance with legal  provisions embodied in the budget. All activities are appropriated through the budget process and  published in the City’s 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 more 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.    2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-2   ECONOMIC CONDITION AND OUTLOOK    Renton’s economy continues to thrive.  In terms of employment, the Puget Sound region has outpaced  national results in 2019 with an overall employment growth rate of 3%.  Employment growth during  this time frame is largely attributable to the expansion of service industry, healthcare, and construction  activity in Renton.     A staple of Renton’s economy is the presence of the Boeing Company, which operates out of the  Renton Municipal Airport. Boeing initiates its maiden 737 MAX flights from this airport. An average of  56 airplanes were constructed and delivered each month in 2019. Boeing’s 737 Max was grounded  worldwide in March of 2019 and production of suspended temporarily in January 2020.  In April 2020,  the Boeing Company announced that they have begun taking action to lower their number of  employees by roughly 10% through a combination of voluntary layoffs, natural turnover and  involuntary layoffs as necessary. They are also planning to reduce commercial airplane production  rates due to the impact of COVID‐19 on the airline industry.  Boeing expects to resume 737 MAX  production at low rates in 2020, gradually increasing to 31 planes per month during 2021, with gradual  increases to correspond to market demand.     The healthcare industry continues to expand in Renton. The industry has grown around the national  award‐winning hospital, Valley Medical Center, which employs approximately 3,700 employees.  A new  five‐story, 160,000 square foot medical office building with a cancer clinic, radiation treatment,  outpatient surgery clinic, general office space, and a parking garage expansion was completed in late  2018.  In addition, Kaiser Permanente moved into their new 29‐acre, four‐building, administrative  campus in Renton in late 2017, adding over 1,000 new jobs to Renton.    The City of Renton is following the regional trend of a strong recovery in the housing sector, with  assessed value increasing 13.2% for existing homes in 2019.     The City of Renton saw strong sales and retail tax revenue in 2019. While sales tax was down 1.8% in  2019 compared to 2018, this was primarily the result of a significant increase in construction sales tax  in 2018 with investments in office, retail, hotel, and residential development in the Southport area and  expansion in the healthcare industry. This change was fully anticipated and actual sales tax was  $634,511 greater than budgeted revenue.     The Seattle Seahawks’ headquarters/training facility is located within the City and is the second‐largest  facility in the NFL at 200,000 square feet, located along the waterfront of Lake Washington.  The  training facility sits 3 miles north of The Landing, a shopping center that was fully completed in early  2010.  At year end, the Landing shopping center occupancy was at 94.64% and approximately $1.16  million in sales tax was generated from The Landing in 2019, a 3.5% increase over 2018.    Perhaps the most significant economic impact for the City is the wide diversity of development activity  and private investment that continues to take place within the City.  In the South Lake Washington  area, just north of The Landing, is a new waterfront Hyatt Regency Hotel with 355 rooms and 730,000  square feet of class A office space and ground floor retail space; The Sartori Elementary School, which  2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-3 is a three story, 79,000 square foot STEM focused school, opened in the fall of 2018 and  accommodates up to 650 students.    Overall, the economic outlook for Renton is strong, although the financial impacts on revenues related  to COVID‐19 has created a need to implement interim cost containment measures. The large‐scale  capital investments within the City in recent years will support a healthy growth in taxable retail sales  and an attractive center for healthcare, retail, and manufacturing.    LONG‐TERM FINANCIAL PLANNING  Unrestricted fund balance (the aggregate of committed, assigned, and unassigned components of  fund balance) in the General Fund was 58 percent of the total General Fund expenditures, compared  to 58 percent in 2018. This fund balance includes the City’s catastrophic reserves, anti‐recessionary  reserves, insurance reserves, and sales tax annexation credit reserves.  The ramp‐up of these fund balances was a direct result of an enhanced stabilization fund policy, which  was originally adopted in late‐2013. During the great recession, the City depleted much of its reserves  and has since rebuilt them.  Although economic factors are improving, the City still faces several short  and long‐term constraints, including the impact of COVID‐19 on the City’s revenues.  The rate of salary  and healthcare costs and deferred maintenance on City buildings continue to increase at a faster rate  than revenues.  In addition, the 10‐year sales tax annexation credit ended in mid‐2018, which provided  approximately $3.1 million in sales tax revenue to the General Fund.  The enhanced stabilization fund  policy will help the City bridge an increasing gap in operating expenditures and revenues.    As part of the enhancements to the City’s stabilization policy, the Council also adopted a reserve fund  for Economic Development, which currently has accumulated a $2.5 million balance.  The reserve fund  will help the City leverage Local Revitalization Financing (LRF) funds made available by the State of  Washington through a local sales tax option levy.  The LRF program offers $500,000 to be used in  approved revitalization areas.  The City issued bonds for infrastructure improvements needed in the  Southport revitalization area in early 2019 and the debt service will be paid by the annual $500,000  local sales tax option credit provided by the State of Washington.      As part of the 2015‐2016 biennial budget, the City Council adopted a Business and Occupation (B&O)  Tax effective January 1, 2016. The B&O tax was structured in a way to minimize the impact to the  business community, while at the same time generating enough sustainable revenue for funding  General Fund operations into the future without significant decreases to basic City services. The B&O  tax generated $11.4 million in General Fund revenue for 2019.  The City has been very responsible and responsive in balancing the services the community needs  with the changing mixture and level of resources.  In addition to strong financial policies, the City has  also continued to expand its economy and pursue progressive economic development strategies to  maintain a thriving and sustainable economy.    2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-4   RELEVANT FINANCIAL POLICIES    The City has adopted a comprehensive set of financial policies, including a multi‐tiered stabilization  policy that ensures available reserves for future General Fund funding gaps, long‐term economic  development initiatives, capital commitments, equipment reserves, catastrophic and anti‐recessionary  reserves, and general operating cash flow requirements.      Due to strong financial policies, management, and economic factors, the City of Renton received an  upgraded LTGO bond rating of AAA by Standard & Poor’s in March 2019.     OTHER INFORMATION    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, 2018. 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  transactions are processed accurately and records are maintained orderly and in conformance with  policies and procedures.  Special thanks are due to Misty Baker, Senior Finance Analyst, who served as  the CAFR project lead.  Further appreciation is extended to the City Council and City Management for  their support in conducing financial operations of the City in a sound and progressive manner, and in  conformance with internal and external requirements.      For more information regarding the City’s budget please refer to the City’s website for 2019‐2020  adopted budget as well as monthly sales tax and budgetary financial reports.      Respectfully,         Kari Roller   Fiscal Services Director     2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-5 Certificate of Presented to City of Renton For its Comprehensive Annual December 31, 2018 Executive Director/CEO Financial Report for the Fiscal Year Ended Reporting in Financial for Excellence Achievement Text38:Washington Government Finance Officers Association 2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-6 ADMINISTRATIVE SERVICES Jan Hawn, Administrator 425‐430‐6858 RENTON CITIZENS MAYOR Armondo Pavone 425‐430‐6500 MUNICIPAL COURT JUDGES Terry Jurado Kara Murphy Richards 425‐430‐6550 CITY COUNCIL Ruth Pérez, President Angelina Benedetti, Randy Corman,  Ryan McIrvin, Valerie O'Halloran,      Ed Prince, Kim‐Khánh Văn 425‐430‐6500 CHIEF ADMINISTRATIVEOFFICER Vacant 425‐430‐6500 COMMUNITY SERVICES Kelly Beymer, Administrator 425‐430‐6600 PUBLIC WORKS Martin Pastucha, Administrator 425‐430‐7394 EXECUTIVE COMMUNITY AND ECONOMIC  DEVELOPMENT Chip Vincent, Administrator 425‐430‐6580 POLICE Ed VanValey, Chief 425‐430‐7503 HUMAN RESOURCES & RISK MANAGEMENT Ellen Bradley‐Mak, Administrator 425‐430‐7650 Facilities Jeffrey Minisci, Director Renton History Museum Elizabeth Stewart, Manager Golf Course Doug Mills, Manager Maintenance Services Michael Stenhouse, Director Utility Systems Ronald Straka, Director Transportation Systems Jim Seitz, Director Economic Development Cliff Long, Director Long Range Planning Angie Mathias, Manager Planning Mayor's Office City Clerk / Cable Manager Jason Seth, City Clerk Public Affairs Preeti Shridhar, Deputy Public  Affairs Administrator Support Operations Bureau Field Operations Bureau Emergency Management Deborah Needham, Director Human Resources Kim Gilman, Manager Risk Management Kelsey Ternes, Manager Benefits Wendy Rittereiser, Manager Finance Kari Roller, Director Information Technology Mehdi Sadri, Director Staff Services Special Operations Investigations Administrative  Services Patrol Services Patrol Operations CITY ATTORNEY Shane Maloney, Administrator 425‐255‐8678 Parks and Trails Cailin Hunsaker, Director Human Services Guy Williams, Manager Parks Planning and Natural  Resources Leslie Betlach, Director Recreation and  Neighborhoods Jennifer Henning, Director Airport Vacant, Manager Building Official Craig Burnell Organizational Development Kristi Rowland, Manager 2019 Comprehensive Annual Financial Report City of Renton, Washington Introduction, 1-7 Office of the Washington State Auditor Pat McCarthy INDEPENDENT AUDITOR’S REPORT ON FINANCIAL STATEMENTS August 5, 2020 Mayor and City Council City of Renton Renton, Washington REPORT ON THE FINANCIAL STATEMENTS 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, as of and for the year ended December 31, 2019, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility 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 from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the City’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 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, as of December 31, 2019, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Matters of Emphasis As discussed in Note 15 to the financial statements, in February 2020, a state of emergency was declared which could have a negative financial effect on the City. Our opinion is not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and required supplementary information listed in the table of contents be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary and Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements as a whole. The combining financial statements and schedules are presented for the purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. This information has been subjected to auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements as a whole. The Introductory and Statistical Sections are presented for purposes of additional analysis and are 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 do not express an opinion or provide any assurance on it. OTHER REPORTING REQUIRED BY GOVERNMENT AUDITING STANDARDS In accordance with Government Auditing Standards, we will also issue our report dated August 5, 2020, 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. 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 internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. Sincerely, Pat McCarthy State Auditor Olympia, WA   This page intentionally left blank.  2019 Comprehensive Annual Financial Report City of Renton, Washington Independent Auditor's Report, 2-4   MANAGEMENT’S DISCUSSION AND ANALYSIS  The City of Renton’s management offers this Management’s Discussion and Analysis (MD&A), which is  an overview and analysis of the City of Renton’s financial activities for the year ended December 31,  2019. To best understand the City’s financial activities, we encourage readers to consider the  information in this discussion and analysis in conjunction with information provided in the letter of  transmittal and the basic financial statements.    FINANCIAL HIGHLIGHTS  •As of December 31, 2019, the City of Renton’s total assets and deferred outflows of resources exceed liabilities and deferred inflows of resources by $1 billion. Of this amount, $165 million represents unrestricted net position, which may be used to meet the government’s ongoing obligations to citizens and creditors. •The City of Renton’s total net position increased $50 million.  This increase was due to accumulation of reserves and capital asset acquisitions in both the governmental and business‐ type activities. •At the close of the current fiscal year, the City of Renton’s governmental funds reported combined fund balances of $126 million, an increase of $28 million from 2018.  This increase is due to revenues exceeding expenditures in the general fund as well as proceeds from the issuance of long‐term debt. •Approximately 36 percent ($45.6 million) of the total governmental fund balance is available for spending at the City’s discretion (unassigned fund balance). •Total unrestricted fund balance (the total of committed, assigned and unassigned fund balance components) for the general fund was $53.4 million, which is approximately 58 percent of general fund 2019 expenditures. •The City of Renton’s total outstanding long‐term debt increased by $10.4 million during the current fiscal year.  The City issued Limited Tax General Obligation (LTGO) bonds in March of 2019 for two different projects. $12.96 million were to fund parks improvements and $7.9 million for the South Lake Washington Revitalization area. •The economic outlook for the City is strong, although the financial impacts on the revenues related to the COVID‐19 pandemic has yet to be fully determined as many of the general fund revenues are from taxes generated from the local businesses.  In the meantime, the City has implemented interim cost containment measures until the overall impact can be better quantified. OVERVIEW OF THE FINANCIAL STATEMENTS  The discussion and analysis provided here are intended to serve as an introduction to the City’s basic  financial statements. The basic financial statements consist of three components: (1) government‐ wide financial statements, (2) fund financial statements, and (3) notes to the basic financial  statements.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-1       Government‐wide Financial Statements  The government‐wide financial statements provide both long‐term and short‐term information about  the City’s overall financial status, in a manner similar to a private‐sector business.    Statement of Net Position – The first of these government‐wide statements is the statement of net  position. The statement of net position presents the City’s assets, liabilities, and deferred  inflows/outflows of resources, with the difference reported as net position.  Over time, increases or  decreases in net position may serve as a useful indicator of whether the financial position of the City is  improving or deteriorating.     Statement of Activities – The second government‐wide statement is the statement of activities, which  reports how the City’s net position changed during the current fiscal year.  All changes in net position  are reported as soon as the underlying event giving rise to the change, regardless of the timing of  related cash flows.  Thus, revenues and expenses are reported for some items that will only result in  cash flows in future fiscal periods (ex. uncollected taxes and compensated absences). An important  purpose of the design of the statement of activities is to show the financial reliance of the City’s  distinct activities or functions on revenues provided by the City’s taxpayers. Another indicator 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).      Both of the government‐wide financial statements distinguish governmental activities of the City  (activities principally supported by taxes and intergovernmental revenue), and business‐type activities  of the City (activities that are intended to recover all, or a significant portion, of their costs through  user fees and charges).  Governmental activities include general government, judicial, public safety,  utilities, transportation, economic environment, health and human services, and culture and  recreation. The equipment rental and insurance internal service funds are also reported as  governmental activities. The business‐type activities include the waterworks utility, solid waste,  airport, and golf course funds. The government‐wide financial statements can be found on page 4‐1  and 4‐2 of this report.    Fund Financial Statements   The City uses fund structure to ensure and demonstrate fiscal integrity and compliance with finance‐ related legal requirements.  A fund is a group of related accounts 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.  The fund financial statements focus on major funds  separately while all others are combined into a single aggregated presentation. Individual data for  non‐major funds is presented in a following section, Combining Statements.   Governmental Funds – The governmental funds are used to account for the same functions reported  as governmental activities in the government‐wide financial statements. However, unlike the  government‐wide 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 used in the near future to finance City services. The basic governmental fund  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-2       financial statements can be found on pages 4‐3 and 4‐5 of this report.      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 similar information in order to gain a  better understanding of the long‐term impact of the government’s near‐term financing decisions.  The  Reconciliation of the Balance Sheet and Reconciliation of the Statement of Revenues, Expenditures  and Changes in Fund Balances of the Governmental Funds reconciles to the differences between the  governmental fund statements and the governmental activities column in the government‐wide  statements.  The City maintains twelve individual governmental funds. Information for the City’s major  governmental funds (general and municipal facilities CIP) are presented separately in the  governmental fund balance sheet and the governmental fund statement of revenues, expenditures,  and changes in fund balance.  Data from the other nine funds are combined into a single aggregated  presentation.  Individual fund data for each of these non‐major governmental funds is presented in the  combining statements section of this report.    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.  A budgetary  comparison statement has been provided for the general fund to demonstrate compliance with this  budget.      Proprietary Funds – The proprietary fund statements present information for two types of funds.  Enterprise funds operate as business‐type activities in the government‐wide statements and include  the waterworks utility, solid waste, golf course, and airport funds. The other proprietary fund types are  internal service funds.  Internal service funds are used to report activities that provide supplies and  services to various City departments and to allocate the associated costs of providing these services to  the various governmental and enterprise functions. The revenues and expenses of internal service  funds that support governmental activities are eliminated in the government‐wide statements and the  remaining activity is combined within the governmental activities in the government‐wide statements.    The proprietary fund statements provide the same information as the government‐wide financial  statements, only in more detail. The City reports the activity of its two major enterprise funds,  waterworks utility (water, wastewater, and storm water) and solid waste separately. Information from  the remaining non‐major enterprise funds are combined and presented in a single, aggregated column  in the fund statements.  Internal service funds are also aggregated and reported separately in this  section.  The basic proprietary fund financial statements can be found on pages 4‐7 through 4‐10 of  this report.    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.   The accounting used for fiduciary funds is much like that used for proprietary funds.  The  fiduciary fund financial statements can be found on pages 4‐11 and 4‐12 of this report.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-3       Notes to the Financial Statements    The notes provide additional information that is essential to a full understanding of the information  provided and are an integral part of the government‐wide and fund financial statements.  The notes to  the financial statements can be found pages 4‐13 through 4‐64 of this report.    Other information  In addition to the basic finance statements and accompanying notes, this report also presents:  1. Required Supplemental Information (RSI)  RSI provides budgetary comparisons for the general fund budget to actual, as well as the City’s  funding progress for the Firefighters’ Pension Trust Fund and Other Post‐Employment Benefits  (LEOFF 1 Retiree Medical). RSI can be found on page 5‐1 through 5‐13 of this report.     2. Combining Statements  The combining statements provide additional detail for other government funds, internal service  funds, and fiduciary funds. Combining and individual fund statements and schedules can be found  on page 6‐1 through 6‐33 of this report.  3. Statistical Information  This section includes unaudited trends and demographic information. The statistical section can be  found on page 7‐1 through 7‐30 of this report.    GOVERNMENT‐WIDE FINANCIAL ANALYSIS    Statement of Net Position   The following is a summary of the City’s net position as of December 31, 2019, with comparison to  2018:  2019 2018 2019 2018 2019 2018 Current assets 198,042,461$           163,534,069$           104,374,957$        96,741,964$          302,417,418$     260,276,033$         Capital assets 496,080,559             488,940,606             314,365,996          309,346,796          810,446,555       798,287,402           Other non‐current assets 61,095,814               57,956,684               53,768                   86,411                   61,149,582         58,043,095             TOTAL ASSETS 755,218,834             710,431,359             418,794,721          406,175,171          1,174,013,555    1,116,606,530        Deferred Outflows of Resources 5,428,540                 5,090,387                 1,636,807              1,631,657              7,065,347           6,722,044               Long‐term liabilities 121,634,136             115,150,600             25,845,604            29,361,720            147,479,740       144,512,320           Other liabilities 13,830,419               12,760,866               6,538,987              4,035,953              20,369,406         16,796,819             TOTAL LIABILITIES 135,464,555             127,911,466             32,384,591            33,397,673            167,849,146       161,309,139           Deferred Inflows of Resources 10,485,616               9,480,480                 1,859,210              1,620,824              12,344,826         11,101,304             NET POSITION: 478,173,369             473,667,290             293,076,667          285,507,078          771,250,036       759,174,368           Restricted 61,745,083               36,805,133               2,810,145              2,810,145              64,555,228         39,615,278             Unrestricted 74,778,751               67,657,377               90,300,915            84,471,108            165,079,666       152,128,485           TOTAL NET POSITION 614,697,203$           578,129,800$           386,187,727$        372,788,331$        1,000,884,930$  950,918,131$         Net Investment in Capital Assets Governmental Activities Business‐type Activities CONDENSED STATEMENT OF NET POSITION Total       As noted earlier, the change in net position over time, may serve as a useful indicator of a  government’s financial situation. At the close of the most recent fiscal year, assets and deferred  outflows of resources exceeded liabilities and deferred inflows of resources by $1 billion, a $50  million increase over 2018.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-4       Net Position – Net Investment in Capital  Assets. $771 million (77%) of total net  position reflects the City’s investment in  capital, net of related debt that was used to  acquire those assets.  The City uses these  assets to provide a variety of services to  citizens.  Accordingly, these assets are not  available for future spending.  Although  investment in capital assets are reported  net of related debt, it should be noted that  the resources used to repay this debt must  be provided from other sources, since the  capital assets   themselves cannot be used  to liquidate these liabilities.    Net Position – Restricted. Total restricted  net position accounts for $64.5 million of  the City’s net position, which is a $25  million increase (63%) from 2018.  This  increase is a result of the issuance of debt  to fund large capital projects and an  increased balance of restricted revenue  sources that have not been spent (REET, KC  Parks Levy, Impact Mitigation Fees). Many  of the restricted revenue sources have  been budgeted for capital projects that  have been carried forward for expenditure  in 2020.    Net Position – Unrestricted. The remaining  $165.1 million of net position is  unrestricted may be used to meet the  government’s ongoing obligations for  governmental and business type activities  ($74.8 million and $90.3 million,  respectively).          At the end of the current fiscal year, the City reports a positive net position in all net position  categories, for both governmental activities and business‐type activities.  The same held true for the  prior fiscal year. Further, all categories of net position increased in the current fiscal year.       2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-5       Statement of Activities and Change in Net Position  The following is a condensed summary statement of activities and change in net position as of  December 31, 2019, with comparison to 2018.  CONDENSED STATEMENT OF ACTIVITIES 2019 2018 2019 2018 2019 2018 Revenues: Program revenues: Charges for services 24,606,512$   24,707,174$   83,939,119$   82,556,915$   108,545,631$    107,264,089$   Operating grants and contributions 7,458,503        6,921,332        1,099,731        572,719           8,558,234           7,494,051          Capital grants and contributions 7,615,827        5,700,805        7,341,238        6,285,279        14,957,065         11,986,084       Taxes and other general revenues:‐                      Property taxes 21,706,506     19,046,123      ‐                    ‐                    21,706,506         19,046,123       Sales taxes 32,955,528     33,564,285     ‐                    ‐                    32,955,528         33,564,285       Other Taxes 36,637,695     38,007,776      ‐                    ‐                    36,637,695         38,007,776       Other general revenue 3,719,259        4,226,563        1,609,376        1,122,902        5,328,635           5,349,465          Total revenues 134,699,830   132,174,058   93,989,464     90,537,815      228,689,294       222,711,873     Expenses: General government 13,188,036     11,693,087     ‐                    ‐                    13,188,036         11,693,087       Judicial 3,036,172        2,612,931        ‐                    ‐                    3,036,172           2,612,931          Public safety 34,493,076     35,406,820     ‐                    ‐                    34,493,076         35,406,820       Utilities 270,397           675,076           ‐                    ‐                    270,397               675,076             Transportation 20,091,069     18,828,845     ‐                    ‐                    20,091,069         18,828,845       Economic and natural environment 8,032,974        7,514,571        ‐                    ‐                    8,032,974           7,514,571          Health and human services 2,486,008        2,260,902        ‐                    ‐                    2,486,008           2,260,902          Culture and recreation 15,040,743     13,802,266     ‐                    ‐                    15,040,743         13,802,266       Interest on long‐term debt 1,562,735        1,077,950        ‐                    ‐                    1,562,735           1,077,950          Airport ‐                    ‐                    3,270,117        2,713,567        3,270,117           2,713,567          Golf Course ‐                    ‐                    2,442,180        2,277,544        2,442,180           2,277,544          Solid Waste ‐                    ‐                    20,544,997     19,648,560      20,544,997         19,648,560       Waterworks Utility ‐                    ‐                    54,263,991     50,408,232      54,263,991         50,408,232       Total expenses 98,201,210     93,872,448     80,521,285     75,047,903      178,722,495       168,920,351     36,498,620     38,301,610     13,468,179     15,489,912      49,966,799         53,791,522       Transfers 68,783             (256,835)          (68,783)            256,835           ‐                            ‐                           Increase (decrease)  in net position 36,567,403     38,044,775     13,399,396     15,746,747      49,966,799         53,791,522       Net position ‐ beginning 578,129,800   575,632,713   372,788,331   357,041,584   950,918,131       932,674,297     Prior Period Adjustment ‐                         ‐                         ‐                         ‐                         ‐                            ‐                           Change in Accounting Principle ‐                         (35,547,688)    ‐                         ‐                         ‐                            (35,547,688)      Net position ‐ ending 614,697,203$ 578,129,800$ 386,187,727$ 372,788,331$ 1,000,884,930$ 950,918,131$   Governmental Activities Business‐type Activities Total Increase in net position before transfers Citywide revenue.  Total revenue (Governmental and Business‐type) increased by $6 million, or 2.7  percent.  Most which is attributed to a $2.7 million increase in property tax (Governmental Activities),  a $4 million increase in capital and operating grants and contributions (Business‐type and  Governmental Activities), a $1.3 million increase in charges for services (Business‐type Activities), and  offset by a $1.4 million decrease in other taxes (Governmental Activities) and a $0.6 million decrease  in sales taxes (Governmental Activities). The property tax increase is a result of the Park Bond Levy to  fund parks improvements.  The $4 million increase in capital grants and contributions is a result of an  overall increase in grant revenues, to fund large grant funded transportation projects along Renton  Ave and Hardie Ave for ADA upgrades, and capital contributions for major utility system rehabilitations  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-6       at Kennydale and Renton Hill. The $1.3 million increase in charges for services revenue is due to the  recording of solid waste customer receivables not previously recorded.     Citywide expenses.  Expenses totaled $179 million in 2019, a $9.8 million increase from 2018.   Governmental activities expenses increased $4.3 million due to some large repairs to City Hall.   Business‐type expenses increased by $5.5 million due to an increase to contracted services for utility  system repairs, an assessment from King County Waste Water audit and a large loss on abandoned  infrastructure.      Change in net position.  The resulting change in net position was an increase in 2019 by $49.9 million: a  $1.5 million decrease from governmental activities and a $2.4 million decrease from business‐type  activities.  The decrease in governmental activities and business‐type activities is related to revenue  and expenditure variances explained above.    Governmental Activities Analysis   Governmental activities cost a total of $96.6 million in 2019 against program generated revenue  (excluding taxes and other general revenue) of $39.7 million.  Program revenues support 41 percent of  the governmental program costs, while the remaining 59 percent of governmental program costs are  supported by general revenues (taxes and other general revenue).  Compared to 2018, governmental  activities cost increased $3.8 million and program revenues increased $2.4 million.         Chart 1 portrays the extent that the cost of each of the City’s governmental programs is supported by  its own program generated revenue (fees, intergovernmental revenues, and contributions specifically  related to that program).  Public safety accounts for 36 percent of the total governmental activity  costs, but generates the second lowest percentage of program revenues compared to its program  costs (9 percent).  Conversely, judicial recovered all of their costs in 2019 through program revenues,  which consist of traffic citations, parking citations, criminal charges, miscellaneous court fees, and red  light camera fees.   2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-7       Chart 2 depicts the source  breakdown for all revenues that  fund governmental activities.  Approximately 67 percent of the  total governmental activity  revenues come from taxes. The  City’s largest governmental  revenue source is other taxing  sources (27 percent), which  consists of Business and  Occupation Tax and Excise Tax.  The  second largest source is sales and  use tax (24 percent).  Property tax  accounts for 16 percent of the  City’s general governmental  revenue. The remaining 3 percent,  other general revenue, accounts  for interest, and miscellaneous  revenue. While program specific  charges for services, grants and contributions generate 30 percent of total revenue for general  governmental activities, the City is largely dependent on tax revenue and as a result, the general  economy has a major impact on the City’s revenue streams.    Business‐Type Activities Analysis   Since the primary source of revenue for business‐type activities is user fees and charges, there is much  less disparity between program costs and related program revenue.  Chart 3 shows the expense of  each of the City’s business‐type program along with each programs’ revenue (fees and  intergovernmental revenues specifically related to that program). The Waterworks Utility generated $56.5 million in fees for services, and the operating and debt service  costs were $54.2 million.  In addition, the waterworks utility received $8 million in grants,  contributions, and capital contributions from developers, for a combined increase in net position of  $10.3 million.  The operating  balance is necessary for future  planned system infrastructure  replacements, repairs, and  enhancements. Compared to  2018, the waterworks utility had  a $.9 million increase operating  revenue collections and a $3.9  million increase operating  expenses.        2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-8       The Solid Waste Utility generated $21.8 million in total revenue and incurred $20.5 million in program  expenses. In addition the solid waste fund received $238 thousand in grants and contributions,  resulting in an increase in net position of $1.5 million.      The Airport generated a total of $3.2 million in revenue from charges for services and $3.3 million in  expenses along with $143 thousand in grants and contributions in 2019, which resulted in a $50,000  increase in net position.    The Golf Course generated a total of $2.4  million in green fees, driving range charges,  and other user fees.  The total expenses for  the Golf Course were $2.4 million. The Golf  Course had a $44,000 decrease in net  position for the year.    Chart 4 illustrates the source of revenue for  Business‐type activities; which are  supported primarily from charges for  services.  Charges for services generated  $84 million, or 89 percent, of the total  revenue sources, while grant revenue and  contributions generated $8.4 million, or 9  percent, of the total revenue sources.  This  is consistent with the in charges for services  and a $1.4 million increase in grants and contributions from 2018.      FUND FINANCIAL ANALYSIS    Governmental Funds   The governmental fund statements provide information on near‐term inflows, outflows, and balances  of spendable resources.  Such information is useful in assessing the City’s ability to meet financing  requirements in the near term.  In particular, unassigned fund balance may serve as a useful measure  of a government’s net resources available for spending at the end of the fiscal year.    General Fund – At the end of the fiscal year, the City had a fund balance of $55 million, which is an  increase of $3 million from 2018.  Overall, the City’s general fund revenues increased $7.2 million over  2018 (net effect of increased in taxes and charges for services), and general fund expenditures have  increased by $5.6 million.  However, revenue outpaced the growth of expenditures, due to  conservative budget estimates.      Municipal Facilities CIP Fund – This fund accounts for all of the City’s parks and facilities related capital  projects (new construction, major maintenance, and improvements).  Overall revenue decreased $3.4  million over 2018.  In prior years a portion of the tax revenue was previously allocated to this fund but  it was determined to be more appropriate to allocate all tax revenues to the general fund and then  process a transfer to this fund to support these capital projects.  Expenditures increased $2.8 million, a  result of the construction costs related to Coulon deck replacement and City Hall repairs.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-9       Proprietary Funds   The proprietary fund financial statements provide the same type of information found in the  government‐wide financial statements, but in more detail.  The analysis for the proprietary funds is  found within the business‐type activities analysis and discussion above. The proprietary fund  statements also include a column for internal services fund activities in aggregate.  These activities are  consolidated with general governmental activities in the government‐wide statements.    GENERAL FUND BUDGETARY HIGHLIGHTS    The City uses a biennial budget process that adopts two one‐year budgets at one time.  2019 was the  first year of the 2019‐20 biennium.  The following is a condensed summary of the 2019 general fund  budget comparison.      Original Final Actual Variance with  Final Budget Taxes 72,634,628$             84,027,220$             84,629,363$          602,143$                Various charges 23,152,330               25,073,632               25,187,484            113,852$                Other Revenues 2,625,571                 3,230,551                 3,677,127              446,576$                TOTAL REVENUES 98,412,529               112,331,403             113,493,974          1,162,571               Current Operating 96,651,765               100,767,100             96,261,637            (4,505,463)              Capital  Outlay 5,200                        1,058,168                 144,877                 (913,291)                 Debt Service 175,000                    175,000                    175,000                 ‐                          TOTAL EXPENDITURES 96,831,965               102,000,268             96,581,514            (5,418,754)              Transfers/insurance recoveries (3,493,000)               (18,563,463)             (14,109,227)           4,454,236               (1,912,436)               (8,232,328)               2,803,233              11,035,561             Fund Balance ‐ January 1 30,807,162               44,542,987               52,059,775            7,516,788               FUND BALANCE ‐ DECEMBER 31 28,894,726$             36,310,659$             54,863,008$          18,552,349$           GENERAL FUND BUDGET COMPARISON Budgeted Amounts Net Change in Fund Balance     Original budget for tax revenues including property taxes, business and occupation taxes and other  miscellaneous taxes are budgeted based on the previous four to five years collection rates.  The final  budget was adjusted to more accurately reflect the overall tax revenues based on current year  projects and activity to date.  Both the real estate excise taxes and the business and occupation taxes  came in higher than projected for an overall variance of $0.6 million.    Original budget for expenditures was adjusted for personnel costs related to union contract  ratifications, several capital project coordinator positions were added to manage new bond funded  projects and additional downtown improvements.  Current expenditures were down from the adjusted  2019 budget primarily due to a significant number of positions remained unfilled, and funding for  transportation capital improvement projects and downtown improvements that were budgeted but  not spent by year end.  The budget for these projects were carried forward to 2020.      2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-10       CAPITAL ASSET AND DEBT ADMINISTRATION    Capital Assets   The City of Renton’s investment in capital assets, including construction in progress and net of  accumulated depreciation, for governmental and business‐type activities amounts to $810 million as  of December 31, 2019, compared to $798 million in 2018.   CAPITAL ASSETS (Net of Depreciation/Amortization) 2019 2018 2019 2018 2019 2018 Land and Land Improvements 212,297,657$ 210,632,400$ 6,150,056$     6,150,056$     218,447,713$ 216,782,456$  Capital Assets 269,504,702   262,679,896   291,264,108   291,466,408   560,768,810   554,146,304    Intangible Assets 524,919           369,075           951,950           997,663           1,476,869        1,366,738         Construction in Progress 13,753,281     15,259,235     15,999,882     10,732,669     29,753,163     25,991,904      Total 496,080,559$ 488,940,606$ 314,365,996$ 309,346,796$ 810,446,555$ 798,287,402$  Governmental Activities Business‐Type Activities Total The increase of $12.1 million is attributed to a couple of large capital projects.  These largest projects  include new construction for the Kennydale Reservoir ($4.1 million), completion of Fire Station 15  construction ($5.6 million), continued Renton Hill Utility Rehabilitation ($6 million), Coulon Park Deck  replacement ($1.7 million) and City Hall elevator replacement ($1.3 million).  These increases were  offset by $8 million in work‐in‐progress reclassifications.       As of December 31, 2019, depreciable capital assets for governmental activities were 39 percent  depreciated, the same rate as 2018.  This comparison indicates the City is replacing its assets at almost  the same rate that are depreciating, which is a positive indicator. More detailed capital asset  information is provided in Note 4 of the Notes to Financial Statements.    Debt Administration  The City’s total outstanding debt at December 31, 2019, was $89.6 million, a $10.4 million (13 percent)  increase from the prior year.  This net change reflects a combination of the increase in new debt  issued in the amount of $20.86 Million as well as the City’s continued commitment to paying down  debt.  More detailed debt information is provided in Note 10 of the Notes to Financial Statements.    2019 2018 2019 2018 2019 2018 General Obligation Bonds 39,275,000$   23,245,000$    ‐$                   ‐$                  39,275,000$   23,245,000$    Revenue Bonds ‐                     ‐                    20,040,000     22,285,000     20,040,000     22,285,000      Other Long‐Term Debt 24,588,551     29,845,813     1,552,448        1,898,266        26,140,999     31,744,079      Unamortized Premium (Discount) 3,723,621        1,460,089        404,953           455,572           4,128,574        1,915,661         Total 67,587,172$   54,550,902$   21,997,401$   24,638,838$   89,584,573$   79,189,740$    Governmental Activities Business‐Type Activities LONG‐TERM DEBT Total The City’s general obligation debt rating was upgraded to AAA by Standard and Poor in March 2019.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-11       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 Jan Hawn, Administrative Services Administrator, 1055 South Grady Way,  Renton, WA 98057 or visit our web site at www.rentonwa.gov.  2019 Comprehensive Annual Financial Report City of Renton, Washington Management's Discussion and Analysis, 3-12 Governmental  Activities Business‐type  Activities Total ASSETS Current assets: Cash and cash equivalents  $              130,625,927  $ 67,311,201  $              197,937,128  Cash with fiscal agent 1,117,317 ‐ 1,117,317  Investments at fair value 44,095,237 24,044,735 68,139,972  Receivables (net of allowance for uncollectibles)21,799,155 9,832,425 31,631,580  Inventories 183,965 376,451 560,416  Prepayments 220,860 ‐    220,860  Restricted assets: Cash and cash equivalents ‐ 2,810,145 2,810,145  Noncurrent assets: Notes and assessments receivable 1,121,022 53,768 1,174,790  Net pension asset 22,560,995 ‐ 22,560,995  Investment in joint ventures (net)37,413,797 ‐ 37,413,797  Capital assets not being depreciated: Land 212,297,657 6,150,056 218,447,713  Construction in progress 13,753,281 15,999,882 29,753,163  Capital assets (net of accumulated depreciation)269,504,702 291,264,108 560,768,810  Intangible assets (net of accumulated amortization)524,919 951,950 1,476,869  TOTAL ASSETS 755,218,834 418,794,721                1,174,013,555  DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions 4,882,695 928,735 5,811,430  Deferred amount on refunding 545,845 708,072 1,253,917  TOTAL DEFERRED OUTFLOWS OF RESOURCES 5,428,540 1,636,807 7,065,347  LIABILITIES Current liabilities: Accounts payable and other current liabilities 12,289,718 6,061,974 18,351,692  Interest payable 275,395 42,427 317,822  Unearned revenue 1,265,306 434,586 1,699,892  Noncurrent liabilities: Due within one year 9,137,768 3,115,441 12,253,209  Due in more than one year 112,496,368 22,730,163 135,226,531  TOTAL LIABILITIES 135,464,555 32,384,591 167,849,146  DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions 10,485,616 1,859,210 12,344,826  TOTAL DEFERRED INFLOWS OF RESOURCES 10,485,616 1,859,210 12,344,826  NET POSITION Net investment in capital assets 478,173,369 293,076,667 771,250,036  Restricted for: Debt service 432,622 2,810,145 3,242,767  Grants and contributions 826,112 ‐    826,112  Pensions 22,560,995 ‐ 22,560,995  Special purpose taxes & assessments 18,052,140 ‐ 18,052,140  Special purpose bonds 19,873,214 ‐ 19,873,214  Unrestricted 74,778,751 90,300,915 165,079,666  TOTAL NET POSITION  $              614,697,203  $              386,187,727  $           1,000,884,930  City of Renton Statement of Net Position  December 31, 2019 Primary Government 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-1The notes to the financial statements are an integral part of this statement Functions/ProgramsExpenses Charges for ServicesOperating Grants and ContributionsCapital Grants and ContributionsGovernmental ActivitiesBusiness‐type ActivitiesTotalPRIMARY GOVERNMENT:GOVERNMENTAL ACTIVITIES:General government $                13,188,036  $                  7,400,036  $                  1,619,419  $                                  ‐   $                 (4,168,581) $                                  ‐   $                 (4,168,581)Judicial                      3,036,172                        5,237,160                             30,366                                        ‐                        2,231,354                                        ‐                        2,231,354 Public safety                   34,493,076                        1,529,648                        1,807,441                                        ‐                    (31,155,987)                                      ‐                    (31,155,987)Utilities                         270,397                                        ‐                                        ‐                                        ‐                         (270,397)                                      ‐                         (270,397)Transportation                   20,115,889                        2,383,972                        3,406,010                        6,655,374                      (7,670,533)                                      ‐                      (7,670,533)Economic environment                      8,008,154                        5,253,540                           140,392                             57,963                      (2,556,259)                                      ‐                      (2,556,259)Health and human services                      2,486,008                           123,391                           162,216                                       ‐                      (2,200,401)                                      ‐                      (2,200,401)Culture and recreation                   15,040,743                        2,678,765                           292,659                           902,490                    (11,166,829)                                      ‐                    (11,166,829)Interest on long‐term debt                      1,562,735                                        ‐                                        ‐                                        ‐                      (1,562,735)                                      ‐                      (1,562,735)TOTAL GOVERNMENTAL ACTIVITIES                   98,201,210                     24,606,512                        7,458,503                        7,615,827                    (58,520,368)                                      ‐                    (58,520,368)BUSINESS‐TYPE ACTIVITIES:Airport                      3,270,117                        3,177,298                           143,030                                        ‐                                        ‐                             50,211                             50,211 Golf Course                      2,442,180                        2,397,796                                        ‐                                        ‐                                        ‐                           (44,384)                         (44,384)Solid Waste                   20,544,997                     21,817,526                           237,919                                        ‐                                        ‐                        1,510,448                        1,510,448 Waterworks Utility                   54,263,991                     56,546,499                           718,782                        7,341,238                                        ‐                     10,342,528                     10,342,528 TOTAL BUSINESS‐TYPE ACTIVITIES                   80,521,285                     83,939,119                        1,099,731                        7,341,238                                        ‐                     11,858,803                     11,858,803 TOTAL PRIMARY GOVERNMENT $              178,722,495  $              108,545,631  $                  8,558,234  $                14,957,065                    (58,520,368)                   11,858,803                    (46,661,565)                   21,706,506                                        ‐                     21,706,506                    32,955,528                                        ‐                     32,955,528                    30,151,752                                        ‐                     30,151,752                       6,485,943                                        ‐                        6,485,943                       3,011,779                        1,365,411                        4,377,190                          663,782                           243,965                           907,747                            43,698                                        ‐                             43,698                            68,783                           (68,783)                                      ‐                    95,087,771                        1,540,593                     96,628,364                    36,567,403                     13,399,396                     49,966,799                  578,129,800                   372,788,331                   950,918,131  $              614,697,203  $              386,187,727  $           1,000,884,930 City of RentonStatement of ActivitiesFor the Year Ended December 31, 2019Net (Expense) Revenue and Changes in Net PositionProgram RevenuesPrimary GovernmentGENERAL REVENUES:Taxes:Property taxesRetail sales taxesBusiness taxesExcise taxesInterest and investment earningsMiscellaneousGain on sale of assetsTRANSFERSTOTAL GENERAL REVENUES, TRANSFERS, AND SPECIAL ITEMSCHANGE IN NET POSITIONNET POSITION ‐ JANUARY 1NET POSITION ‐ DECEMBER 312019 Comprehensive Annual Financial ReportCity of Renton, WashingtonBasic Financial Statements, 4-2The notes to the financial statements are an integral part of this statement General Municipal Facilities  CIP Total Nonmajor Funds Total Governmental  Funds ASSETS Cash & cash equivalents  $                38,352,324  $                29,509,207  $                22,656,579  $                90,518,110  Cash with fiscal agent                      1,117,317                                       ‐                                       ‐                       1,117,317  Investments at fair value                    12,453,457                     10,119,078                       7,769,225                     30,341,760  Prepayments                                      ‐                                       ‐                               7,200                               7,200  Receivables, net of allowances: Taxes                      4,659,412                                       ‐                                       ‐                       4,659,412  Customer accounts                      8,000,841                                       ‐                          270,749                       8,271,590  Accrued interest & penalties                         236,617                          149,136                             99,772                          485,525  Notes and assessments receivable                         481,022                          640,000                                       ‐                       1,121,022  Due from other funds                                      ‐                                       ‐                       2,287,710                       2,287,710  Due from other governments                      6,725,761                          411,524                          974,277                       8,111,562  TOTAL ASSETS  $                72,026,751  $                40,828,945  $                34,065,512  $              146,921,208  LIABILITIES Accounts payable  $                  1,487,798  $                     885,032  $                     741,850  $                  3,114,680  Taxes payable                            34,366                                       ‐                                       ‐                             34,366  Retainage payable                              4,828                          354,886                             43,697                          403,411  Due to other funds                      2,287,710                                       ‐                                       ‐                       2,287,710  Due to other governments                              2,936                                       ‐                                       ‐                               2,936  Interfund loans payable                         175,000                                       ‐                                       ‐                          175,000  Custodial accounts                      2,146,698                       1,000,000                                       ‐                       3,146,698  Unearned revenues                         934,560                                       ‐                          330,746                       1,265,306  Wages and benefits payable                      2,440,689                                      ‐                                      ‐                       2,440,689  TOTAL LIABILITIES                      9,514,585                       2,239,918                       1,116,293                     12,870,796  DEFERRED INFLOWS OF RESOURCES Unavailable revenues                      7,474,158                             12,913                             76,726                       7,563,797  TOTAL DEFERRED INFLOWS OF RESOURCES                      7,474,158                             12,913                             76,726                       7,563,797  FUND BALANCES (DEFICITS) Restricted                      1,607,617                     18,714,185                     18,862,286                     39,184,088  Committed                                      ‐                       9,297,808                       9,054,689                     18,352,497  Assigned                      7,802,802                     10,564,121                       4,955,518                     23,322,441  Unassigned                    45,627,589                                       ‐                                       ‐                     45,627,589  TOTAL FUND BALANCES  $                55,038,008  $                38,576,114  $                32,872,493  $              126,486,615  TOTAL LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND  FUND BALANCES  $                72,026,751  $                40,828,945  $                34,065,512  $              146,921,208  City of Renton Balance Sheet Governmental Funds  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-3The notes to the financial statements are an integral part of this statement FUND BALANCES ‐ TOTAL GOVERNMENTAL FUNDS $ 126,486,615      Amounts reported for governmental activities in the statement of net position are different because: Other non‐current assets and deferred outflows of resources used in governmental activities are not financial resources and, therefore, are not reported in the governmental funds. Investment in Joint Venture‐SCORE 30,982,911        Investment in Joint Venture‐Valley Communications 6,430,886           Net pension assets 22,560,995        Deferred outflows related to pensions 4,291,206           Deferred outflows related to refundings 545,845             64,811,843        Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the governmental funds. Land 212,297,657      Construction in progress 13,753,281        Capital assets (net of accumulated depreciation)255,827,485      Intangible assets (net of accumulated amortization)29,842               481,908,265      Other long‐term assets are not available to pay for current period expenditures and, therefore, are reported as unavailable revenue in the funds. Property tax revenue 162,633              Municipal court revenue 726,430              Photo enforcement revenue 6,306,185           Other 368,549             7,563,797           Certain liabilities are not due and payable in the current period and, therefore, are not reported in the governmental funds. Interest payable (275,394)             Bonds payable (67,584,567)       Compensated absences (3,681,574)         Net pension liabilities (8,501,552)         Deferred inflows related to pensions (9,301,529)        (89,344,616)       Accrued pension expense reported in the governmental funds is not included in the calculation of the net pension liability.168,601              Internal service funds are used by management to charge the costs of certain activities, such as equipment rental, self‐insurance, information technology and facility services to individual funds. The assets and liabilities of the internal service funds are included in the governmental activities in the statement of net position.23,102,698        NET POSITION OF GOVERNMENTAL ACTIVITIES $ 614,697,203      Reconciliation of the Balance Sheet To the Statement of Net Position December 31, 2019 City of Renton 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-4The notes to the financial statements are an integral part of this statement General Municipal Facilities CIP Total Nonmajor Funds Total Governmental  Funds REVENUES Taxes  $                84,629,363  $                      610,295  $                  6,059,701  $                91,299,359  Licenses and permits                       5,730,457                                        ‐                           105,925                        5,836,382  Intergovernmental revenues                       5,414,357                           866,532                        2,183,790                        8,464,679  Charges for services                       5,307,223                             10,643                        2,594,779                        7,912,645  Fines and forfeits                       4,688,193                               4,340                             55,788                        4,748,321  Contributions                          209,625                                        ‐                             28,962                           238,587  Investment earnings                       1,388,265                           530,423                           347,419                        2,266,107  Miscellaneous revenue                       2,079,237                                        ‐                                   293                        2,079,530  Total revenues                  109,446,720                       2,022,233                    11,376,657                   122,845,610  EXPENDITURES Current: General government                    12,293,173                           130,040                                        ‐                     12,423,213  Judicial                       3,162,916                                        ‐                                        ‐                        3,162,916  Public safety                    42,841,721                                        ‐                                        ‐                     42,841,721  Utilities                          244,452                                        ‐                                        ‐                           244,452  Transportation                    10,634,812                                        ‐                                        ‐                     10,634,812  Economic environment                       7,703,781                             49,139                           341,154                        8,094,074  Health and human services                       2,515,683                                        ‐                                        ‐                        2,515,683  Culture and recreation                    12,817,845                           732,973                             57,457                     13,608,275  Capital outlay: General government                            27,188                        5,453,278                                        ‐                        5,480,466  Public safety                            23,283                           994,961                                        ‐                        1,018,244  Economic environment                            82,163                                       ‐                                       ‐                             82,163  Culture and recreation                            12,243                        3,865,510                           123,813                        4,001,566  Transportation                                       ‐                        5,649,266                        5,649,266  Debt service: Principal payment                                       ‐                                        ‐                        5,167,947                        5,167,947  Interest and fiscal charges                                       ‐                                        ‐                        1,646,927                        1,646,927  Total expenditures                    92,359,260                     11,225,901                     12,986,564                   116,571,725  Excess (deficiency) of revenues over expenditures                    17,087,460                      (9,203,668)                    (1,609,907)                      6,273,885  OTHER FINANCING SOURCES (USES) Transfer in                       1,413,467                        4,595,124                     12,889,584                     18,898,175  Transfers out                   (15,533,643)                       (765,686)                    (3,857,736)                  (20,157,065) Sale of capital assets                                       ‐                             20,000                                        ‐                             20,000  Proceeds from long‐term debt                                       ‐                     14,654,369                        8,784,483                     23,438,852  Insurance Recoveries                            10,949                                        ‐                                        ‐                             10,949  Total other financing sources (uses)                  (14,109,227)                   18,503,807                     17,816,331                     22,210,911  Net change in fund balances                       2,978,233                        9,300,139                     16,206,424                     28,484,796  FUND BALANCE ‐ JANUARY 1                    52,059,775                    29,275,975                    16,666,069                     98,001,819  FUND BALANCE ‐ DECEMBER 31  $                55,038,008  $                38,576,114  $                32,872,493  $              126,486,615  City of Renton Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-5The notes to the financial statements are an integral part of this statement NET CHANGES IN FUND BALANCES ‐ TOTAL GOVERNMENTAL FUNDS $ 28,484,796      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 depreciation and amortization expenses and the loss on transfer of capital assets to other governments exceeded capital outlays. Capital expenditures 9,776,561        Depreciation and amortization expense (10,542,779)     Book value of capital assets sold/abandoned (232,187)         (998,405)          Governmental funds report pension expenditures when due and payable from current financial resources. However, in the statement of activities, pension expense is measured by the change in the net pension assets, net pension liabilities, and related deferred outflows and inflows. This is the net difference in pension expense.4,552,758        Donations of property and infrastructure from developers are not reported in the governmental funds. However, in the statement of activities, the fair market value of those assets is recognized as revenue.6,118,884        Revenues in the statement of activities that do not provide current financial resources are not reported as revenue in the funds. Unavailable revenue increased by this amount.902,217            The issuance of long‐term debt (e.g., bonds, leases) provides current financial resources to governmental funds, while the repayment of the principle of long‐term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. Also, governmental funds report the effect of premiums, discounts, and refundings when debt is first issued, whereas these amounts are deferred 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.(18,733,467)     Increase (decrease) in Investment in Joint Ventures which do not provide current financial resources and, therefore, are not reported in the funds. Equity interest‐SCORE 5,913,244        Equity interest‐Valley Communications 548,074           6,461,318        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.9,779,302        CHANGE IN NET POSITION OF GOVERNMENTAL ACTIVITIES $ 36,567,403      For the Year Ended December 31, 2019 City of Renton Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of the Governmental Funds To the Statement of Activities Governmental Activities 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-6The notes to the financial statements are an integral part of this statement Governmental  Activities Waterworks Utility Solid Waste Total Nonmajor  Funds Total Enterprise  Funds Internal Service  Funds ASSETS Current assets: Cash & cash equivalents  $          59,204,345  $            2,989,533  $            5,117,323  $          67,311,201  $          40,107,818  Investments at fair value              21,265,548                 1,025,148                 1,754,039               24,044,735               13,753,475  Receivables (net of allowances) Customer accounts                5,697,210                 2,667,213                    219,690                 8,584,113                       44,537  Special assessments                   124,087                                  ‐                                  ‐                    124,087                                  ‐  Interest & penalties                   365,505                       13,111                       24,255                    402,871                    226,529  Interfund loans                                 ‐                                  ‐                                  ‐                                  ‐                    175,000  Due from other funds                           332                                 ‐                                 ‐                            332                                  ‐  Due from other governments                   483,435                    237,919                                  ‐                    721,354                                  ‐  Supplies inventory                   284,149                                  ‐                       92,302                    376,451                    183,965  Prepayments                                 ‐                                  ‐                                  ‐                                  ‐                    213,660  Total current assets              87,424,611                 6,932,924                 7,207,609             101,565,144               54,704,984  Noncurrent assets: Restricted cash, cash equivalents                2,810,145                                  ‐                                  ‐                 2,810,145                                  ‐  Special assessments                      53,768                                  ‐                                  ‐                       53,768                                  ‐  Capital assets not being depreciated: Land                2,682,776                                  ‐                 3,467,280                 6,150,056                                  ‐  Construction in Progress              15,515,503                                  ‐                    484,379               15,999,882                                  ‐  Capital assets, net of accumulated  depreciation/amortization: Capital assets (net)           269,282,557                                 ‐              21,981,551             291,264,108               13,677,217  Intangible assets (net)                  951,950                                  ‐                                  ‐                    951,950                    495,077  Total noncurrent assets            291,296,699                                  ‐               25,933,210             317,229,909               14,172,294  TOTAL ASSETS            378,721,310                 6,932,924               33,140,819             418,795,053               68,877,278  DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions                   697,861                       44,321                    186,553                    928,735                    591,489  Deferred amount on refunding                   708,072                                  ‐                                  ‐                    708,072                                  ‐  TOTAL DEFERRED OUTFLOWS OF RESOURCES                1,405,933                       44,321                    186,553                 1,636,807                    591,489  LIABILITIES Current liabilities: Accounts payable                2,205,241                 2,154,008                    199,686                 4,558,935                    669,002  Claims incurred but not reported                                 ‐                                  ‐                                  ‐                                  ‐                 2,190,622  Retainage payable                   374,414                                  ‐                         2,513                    376,927                         2,729  Due to other funds                                 ‐                                  ‐                            332                            332                                  ‐  Interest payable                      42,427                                  ‐                                  ‐                       42,427                                  ‐  Accrued wages and benefits payable                   368,068                       24,016                    100,762                    492,846                    332,848  Taxes payable                   138,483                    126,654                         7,060                    272,197                    120,337  Custodial accounts                      35,570                                  ‐                    325,499                    361,069                                  ‐  Unearned revenues                   245,650                                  ‐                    188,936                    434,586                                  ‐  Compensated absences payable                   367,564                       23,814                      93,245                   484,623                    315,789  Leases payable                                 ‐                                  ‐                                  ‐                                  ‐                         2,605  Public works trust fund loan payable                   345,818                                  ‐                                  ‐                    345,818                                  ‐  Revenue bonds payable                2,285,000                                  ‐                                  ‐                 2,285,000                                  ‐  Total current liabilities                6,408,235                 2,328,492                    918,033                 9,654,760                 3,633,932  Noncurrent liabilities: Compensated absences payable                   161,301                       19,636                       35,690                    216,627                    119,814  Public works trust fund loan payable                1,206,630                                  ‐                                  ‐                 1,206,630                                  ‐  Revenue bonds payable              18,159,953                                  ‐                                  ‐               18,159,953                                  ‐  Net pension liability                2,364,652                    150,180                    632,121                 3,146,953                 2,004,220  OPEB Liability                                 ‐                                  ‐                                  ‐                                  ‐               39,424,016  Total noncurrent liabilities              21,892,536                    169,816                    667,811               22,730,163               41,548,050  TOTAL LIABILITIES              28,300,771                 2,498,308                 1,585,844               32,384,923               45,181,982  DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions                1,397,029                       88,726                    373,455                 1,859,210                 1,184,087  TOTAL DEFERRED INFLOWS OF RESOURCES                1,397,029                       88,726                    373,455                 1,859,210                 1,184,087  NET POSITION Net investment in capital assets            267,143,458                                  ‐               25,933,210             293,076,668               14,169,689  Restricted for debt service                2,810,145                                  ‐                                  ‐                 2,810,145                                  ‐  Unrestricted              80,475,840                 4,390,211                 5,434,863               90,300,914                 8,933,009  TOTAL NET POSITION  $       350,429,443  $            4,390,211  $          31,368,073  $       386,187,727  $          23,102,698  Business‐type Activities City of Renton Statement of Net Position Proprietary Funds  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-7The notes to the financial statements are an integral part of this statement Governmental  Activities Waterworks  Utility Solid Waste Total Nonmajor  Funds Total Enterprise  Funds Internal Service  Funds OPERATING REVENUES Charges for services  $    56,262,529  $  21,808,220  $        2,212,076  $      80,282,825  $     34,843,682  Interfund revenues              118,216                 9,306                              ‐                 127,522                              ‐  Miscellaneous revenue              165,754                          ‐             3,363,018              3,528,772                316,798  TOTAL OPERATING REVENUES        56,546,499       21,817,526             5,575,094           83,939,119           35,160,480  OPERATING EXPENSES Supplies           1,245,709               17,040                376,416              1,639,165             2,696,442  Personnel services        11,207,749             810,453             2,848,103           14,866,305             7,730,994  Contracted services        25,710,748       17,321,038             1,141,441           44,173,227             5,706,055  Insurance                           ‐                          ‐                              ‐                              ‐             8,713,319  Taxes           4,748,866         2,396,466                   16,837              7,162,169                   12,486  Depreciation and amortization           9,286,490                          ‐             1,329,500           10,615,990             2,869,275  TOTAL OPERATING EXPENSES        52,199,562       20,544,997             5,712,297           78,456,856           27,728,571  OPERATING INCOME (LOSS)          4,346,937         1,272,529               (137,203)            5,482,263             7,431,909  NONOPERATING REVENUES (EXPENSES) Intergovernmental revenues              718,782             237,919                143,030              1,099,731                   35,898  Interest revenue           1,238,514               36,699                   90,198              1,365,411                745,672  Gain (loss) on capital assets            (993,318)                        ‐                              ‐               (993,318)                 43,698  Other non‐operating revenue (expenses)             229,801                          ‐                   14,164                 243,965                   62,084  Interest expense         (1,071,111)                        ‐                              ‐            (1,071,111)                    (636) Insurance Recoveries                           ‐                          ‐                              ‐                              ‐                133,004  TOTAL NONOPERATING REVENUES (EXPENSES)             122,668             274,618                247,392                 644,678             1,019,720  INCOME (LOSS) BEFORE CONTRIBUTIONS, TRANSFERS,  AND SPECIAL ITEMS           4,469,605        1,547,147                110,189              6,126,941             8,451,629  Capital contributions           7,341,238                          ‐                              ‐              7,341,238                              ‐  Transfer in                   6,378                          ‐                   47,500                   53,878             2,240,387  Transfer out            (113,218)                        ‐                   (9,443)             (122,661)             (912,714) CHANGE IN NET POSITION        11,704,003         1,547,147                148,246           13,399,396             9,779,302  NET POSITION ‐ JANUARY 1      338,725,440         2,843,064           31,219,827         372,788,331           13,323,396  NET POSITION ‐ DECEMBER 31  $  350,429,443  $    4,390,211  $     31,368,073  $    386,187,727  $     23,102,698  Business‐type Activities City of Renton Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-8The notes to the financial statements are an integral part of this statement GOVERNMENTAL OTHER TOTAL ACTIVITIES WATERWORKS SOLID ENTERPRISE ENTERPRISE INTERNAL SERVICE  UTILITY WASTE FUNDS FUNDS FUNDS CASH FLOWS FROM OPERATING ACTIVITIES: Cash received for services $ 56,391,906         $ 20,314,338         $ 5,575,792           $ 82,282,036         $ 35,178,610                  Cash paid to suppliers for goods & services (30,735,462)        (18,560,946)        (1,551,643)          (50,848,051)        (20,170,139)                 Cash paid to employees (11,932,853)        (839,150)             (2,818,433)          (15,590,436)        (8,154,669)                   Other non‐operating receipts 229,801               ‐                            14,164                 243,965               195,088                        NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES 13,953,392         914,242               1,219,880           16,087,514         7,048,890                    CASH FLOWS FROM NONCAPITAL  FINANCING ACTIVITIES   Transfers from other funds 6,378                   ‐                            47,500                 53,878                 2,240,387                    Transfers to other funds (113,218)             ‐                            (9,443)                  (122,661)             (912,714)                      Operating grants 713,074               167,153               198,148               1,078,375           35,898                          NET CASH PROVIDED (USED) BY NONCAPITAL FINANCING ACTIVITIES 606,234               167,153               236,205               1,009,592           1,363,571                    CASH FLOWS FROM CAPITAL FINANCING ACTIVITIES: Proceeds from the sale of equipment ‐                             ‐                             ‐                             ‐                            57,551                          System development charges 1,102,877           ‐                            ‐                            1,102,877           ‐                                     Acquisition & construction of capital assets (10,473,695)        ‐                            (204,633)             (10,678,328)        (4,903,382)                   Special assessments 154,690               ‐                            ‐                            154,690               ‐                                     Capital grants 750,999               ‐                            ‐                            750,999               ‐                                     Principal payments on debt (2,641,437)          ‐                            ‐                            (2,641,437)          (33,244)                         Interest payments on debt (984,492)             ‐                            ‐                            (984,492)             (636)                              NET CASH PROVIDED (USED) BY CAPITAL FINANCING ACTIVITIES (12,091,058)        ‐                            (204,633)             (12,295,691)        (4,879,711)                   CASH FLOWS FROM INVESTING ACTIVITIES: Principal proceeds from interfund loans ‐                            ‐                            ‐                            ‐                            175,000                        Payments for investments (7,901,922)          (539,532)             (825,442)             (9,266,896)          (5,460,642)                   Interest on investments and loans 1,134,849           36,428                 79,958                 1,251,235           692,851                        NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES (6,767,073)          (503,104)             (745,484)             (8,015,661)          (4,592,791)                   NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS (4,298,505)          578,291               505,968               (3,214,246)          (1,060,041)                     CASH & CASH EQUIVALENTS, JANUARY 1 63,502,850         2,411,242           4,611,745           70,525,837         41,167,859                  RESTRICTED CASH & CASH EQUIVALENTS, JANUARY 1 2,810,145           ‐                            ‐                            2,810,145           ‐                                     TOTAL CASH, RESTRICTED CASH, & CASH EQUIVALENTS, DECEMBER 31 $ 62,014,490         $ 2,989,533           $ 5,117,713           $ 70,121,736         $ 40,107,818                  City of Renton BUSINESS‐TYPE ACTIVITIES ENTERPRISE FUNDS Statement of Cash Flows Proprietary Funds Page 1 of 2 For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-9The notes to the financial statements are an integral part of this statement GOVERNMENTAL ACTIVITIES OTHER TOTAL INTERNAL WATERWORKS SOLID ENTERPRISE ENTERPRISE SERVICE  UTILITY WASTE FUNDS FUNDS FUNDS RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: Operating income (loss)$ 4,346,937           $ 1,272,529           $ (137,203)             $ 5,482,263           $7,431,909                    Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation & amortization 9,286,490           ‐                            1,329,500           10,615,990         2,869,275                    Other non‐operating revenue 229,801              ‐                            14,164                 243,965              195,088                        (Increase) decrease in accounts receivable (125,699)             (1,503,188)          (31,733)               (1,660,620)          18,130                          Increase (decrease) in due from other funds (332)                     ‐                            13,033                 12,701                 ‐                                     (Increase) decrease in inventory & prepaid items 21,831                 ‐                            (33,306)               (11,475)               (8,555)                           (Increase) decrease in deferred outflows related to pensions (43,448)               (4,786)                  (47,964)               (96,198)               (69,276)                         Increase (decrease) in operating accounts payable 890,339              1,170,171           16,408                 2,076,918           89,398                          Increase (decrease) in accrued taxes & other short‐term liabilities 58,023                 3,427                   (51)                       61,399                 481,979                        Increase (decrease) in  customer deposits (6,300)                  ‐                            15,096                 8,796                   ‐                                     Increase (decrease) in  unearned revenues (22,594)               ‐                            4,302                   (18,292)               ‐                                     Increase (decrease) in  OPEB liability ‐                            ‐                            ‐                            ‐                            (3,604,659)                   Increase (decrease) in accrued employee wages and benefits (1,430)                  5,532                   12,744                 16,846                 1,881                            Increase (decrease) in net pension liability and deferred inflows related to pensions (680,226)             (29,443)               64,890                 (644,779)             (356,280)                      Total adjustments 9,606,455           (358,287)             1,357,083           10,605,251         (383,019)                      NET CASH PROVIDED (USED) BY  OPERATING ACTIVITIES $ 13,953,392         $ 914,242              $ 1,219,880           $ 16,087,514         $ 7,048,890                    NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES Loss on abandonment of capital assets $ 993,318              $‐                            $‐                            $‐                            $‐                                     Contributions of capital assets $ 5,579,536           $‐                            $‐                            $‐                            $‐                                     Depreciation & amortization $ 9,286,490           $‐                            $ 1,329,500           $‐                            $ 2,869,275                    Increase (decrease) in fair value of investments $ 8,910                   $18                         $199                      $‐                            $9,183                            City of Renton BUSINESS‐TYPE ACTIVITIES ENTERPRISE FUNDS Statement of Cash Flows Proprietary Funds Page 2 of 2 For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-10The notes to the financial statements are an integral part of this statement Pension (and Other  Employee Benefit)  Trust Funds Custodial Funds ASSETS Cash & cash equivalents  $                   4,754,615  $                   1,573,866  Investments at fair value: CDs                          746,099                           163,690  Federal Home Loan Mortgate Corporation                          179,700                             25,366  Federal Farm Credit Bank                          231,031                             49,113  Federal Home Loan Bank                          354,192                             75,288  Federal National Mortgage Association                          484,861                             38,211  US Treasury Strip                       1,235,952                           188,031  Receivables (net of allowances): Interest & penalties                       1,958,562                               7,437  TOTAL ASSETS                       9,945,012                        2,121,001  LIABILITIES TOTAL LIABILITIES                                       ‐                                        ‐  NET POSITION Restricted for: Pensions                       9,945,012                                        ‐  Other Governments                                       ‐                        2,121,001  TOTAL NET POSITION  $                   9,945,012  $                   2,121,001  City of Renton Statement of Fiduciary Net Position  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-11The notes to the financial statements are an integral part of this statement Pension (and Other  Employee Benefit)  Trust Funds Custodial Funds ADDITIONS Contributions: Fire insurance premiums transferred in  $                      155,413  $                                   ‐  Impact fees collected                                        ‐                           769,766  Total contributions                          155,413                           769,766  Investment earnings: Interest revenue                          293,588                              24,773  Total investment earnings                          293,588                              24,773  TOTAL ADDITIONS                          449,001                           794,539  DEDUCTIONS Administrative and general                             12,150                                         ‐  Benefits paid                          194,353                                         ‐  Payment to City for debt service                                        ‐                           128,576  TOTAL DEDUCTIONS                          206,503                           128,576  NET INCREASE (DECREASE) IN FIDUCIARY NET POSITION                          242,498                           665,963  NET POSITION ‐ JANUARY 1                       9,702,514                        1,455,038  NET POSITION ‐ DECEMBER 31  $                   9,945,012  $                   2,121,001  City of Renton Statement of Changes in Fiduciary Net Position For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-12The notes to the financial statements are an integral part of this statement   NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES    The  City  of  Renton’s  financial  statements  have  been  prepared  in  conformity  with  generally   accepted accounting principles (GAAP) in the United States, as applied to governments. The  Governmental Accounting Standards Board (GASB) is the standard setting body for governmental  accounting and financial reporting.    For the reporting year ended December 31, 2019 the City has implemented the following GASB  Statements:     Statement No. 83, Certain Asset Retirement Obligations ‐ this Statement addresses accounting  and financial reporting for certain asset retirement obligations (AROs), which is a legally  enforceable liability associated with the retirement of tangible capital assets.  The Statement  establishes criteria for determining the timing and pattern of recognition of a liability and a  corresponding deferred outflow of resources for AROs. The City does not currently have any legal  obligations to perform future asset retirement activities related to its tangible capital assets, but  will follow the guidance in this Statement should it become applicable.    Statement No. 88, Certain Disclosures Related to Debt, including Direct Borrowings and Direct  Placements – the objective of this Statement is to improve the information that is disclosed in  notes to government financial statements related to debt, including direct borrowings and direct  placements.  This Statement requires that additional essential information related to debt be  disclosed in notes to financial statements, including unused lines of credit; assets pledged as  collateral for the debt; and terms specified in debts agreements related to significant events of  default with finance‐related consequences, significant termination events with finance‐related  consequences, and significant acceleration clauses.  Implementation of this Statement changed  the presentation of long‐term obligations in notes to financial statements, separating direct  borrowings and direct placements from other debt.     Statement No. 90, Major Equity Interests – the objectives of this Statement are to improve the  consistency and comparability of reporting a government’s majority equity interest in a legally  separate organization and to improve the relevance of financial statement information for  certain component units. This Statement establishes that ownership of a majority equity interest  in a legally separate organization results in the government being financially accountable for the  legally separate organization and, therefore, the government should report that organization as  a component unit.  The City currently does not have majority equity interest in a legally separate  organization, but will follow the guidance in this Statement should it become applicable.     A.  REPORTING ENTITY  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 statutes, together with  a Municipal Airport, a Waterworks Utility, a Solid Waste Utility, and a Municipal Golf Course.       2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-13   The City of Renton has no component units (either blended or discretely presented) included in these  statements. 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.    B.  BASIS OF PRESENTATION    The City’s basic financial statements include both government‐wide statements and fund financial  statements. The government‐wide statements report financial information for the City as a whole, while  the fund statements present detailed financial information at the fund level. 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.    Government‐wide financial statements  In the government‐wide statement of net position governmental and business‐type activities are  reported. Governmental activities are mostly supported by taxes, intergovernmental revenue, and  other non‐exchange transactions. The governmental activities column includes the combined data  from all governmental funds and internal service funds. Business‐type activities mostly rely on fees  and charges for services to external customers and include data from the City’s enterprise funds.    The government‐wide statement of activities presents a comparison between direct expenses and  program revenues for each of the City’s governmental activities (general government, judicial, public  safety, utilities, transportation, economic environment, health and human services, and culture and  recreation) and for each identifiable business‐type activity (waterworks utility, airport, solid waste  utility, and golf course). Direct expenses are those that are specifically associated with a function and  therefore clearly identifiable to that particular function.  The statement of activities reports the expenses of a given function offset by a program revenue directly  associated with the functional program. Program revenues include: 1) charges for services which reports  fees and charges for users of the City’s service, 2) operating grants and contributions which support  annual operating activities, and 3) capital grants and contributions which finance the acquisition,  construction, or rehabilitation of capital assets. For determining the function, charges for services are  tied to the function that generates the revenue and grants and contributions are tied to the function in  which functional use they are restricted towards.    Taxes and other sources that are not directly related to a program are reported as general revenue.  The comparison of direct expenses with program revenues identifies the extent each governmental  function and business activity are self‐sustaining and requires a draw from the general revenues of the  City.    Generally,  the  effect  of  interfund  activity  has  been  eliminated  from  the  government‐wide   financial statements, with the exception of various charges for services among different functions within  the government. Elimination of these charges would distort the direct costs and program revenues  reported for the various functions involved.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-14   Fund financial statements  The  City’s  activities  are  tracked  in  individual  funds  to  segregate  the  transactions  to  aid  in   financial management and, in some cases, demonstrate legal compliance. The fund financial statements  are intended to present the City’s financial activities at a more detailed level. Separate financial  statements are provided for each fund category ‐ governmental, proprietary, and fiduciary funds. Each  of the City’s major funds, within each fund category, are presented in a separate column. All non‐major  funds, within each fund category, are aggregated into one column; internal service funds are aggregated  into one column and reported on the face of the proprietary fund statements; and fiduciary funds are  reported by type.    The City reports the following major governmental funds:    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 for in another fund.  These include the costs of legislative and executive departments, court services, finance and legal  departments, development services and police departments, human resources and technical services,  community services, parks, economic development, streets, property management for City owned  leased facilities, farmers market, and museum.  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 also accounted for within this  fund, which is federally funded.    Municipal Facilities CIP Fund is used to fund facility construction improvement and renovation, property  acquisitions for parks and City space needs, parks development and equipment, and major capital  requirements as identified in the Capital Investment Program (CIP).    The City reports the following major enterprise funds:    Waterworks Utility Fund accounts for all operating and capital improvement programs for water,  wastewater, and storm water services within the City. The operating activities are primarily supported  by user fees and include: administration, billings and collections, debt service, engineering and  operation, maintenance and repairs. The primary resources for capital improvement programs are  revenue bond proceeds, grants (as available), and utility connection charges.    Solid Waste Fund accounts for solid waste, recycling, and yard waste collection services for the City and  is supported entirely by service fees. The expenses include payment to the City’s garbage contractor  and other service charges.    Additionally, the government reports the following fund types:  Internal Service Funds include 1) the equipment rental fund (equipment replacement, information  technology, facilities, and communications) and 2) the insurance fund (including risk management,  workers compensation, unemployment compensation, and employee health care program). The  equipment rental fund factors all costs, including depreciation, into the rates charged to each user  department. The insurance fund pays expense and rates are charged to departments based on use  and/or coverage requirements.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-15   Pension Trust 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 the fire premium tax (contributed from the City) and investment income.    Custodial Fund accounts for fire impact fees collected on behalf of the Renton Regional Fire Authority.     Special Revenue Funds are used to account for specific revenues that are restricted by external  parties or committed through enabling legislation for particular purposes.    Debt Service Funds account for the accumulation of resources for and the payment of general obligation  and special assessment bonds.    During the course of operations the City has activity between funds for various purposes. Any  residual balances outstanding at year‐end are reported as due to/from other funds and advances  to/from other funds. While these balances are reported in the fund financial statements, certain  eliminations are made in the preparation of the government‐wide financial statements. Balances  between funds included in the governmental activities (generally between governmental and internal  service funds) are eliminated so that only the net amount is included as internal balances in the  governmental activities column.  Similarly, balances between the funds included in the business‐type  activities are eliminated so that only the net amount is included as internal balances in the business‐ type activities column.    Further, certain activity occurs during the year involving transfers of resources between funds. In  fund financial statements these amounts are reported as gross amounts as transfers in/out.  While  reported in fund financial statements, certain eliminations are made in the preparation of government‐ wide financial statements. Transfers between the funds included in governmental activities are  eliminated so that only the net amount is included as transfers in the governmental activities column.  Similarly, balances between the funds included in business‐type activities are eliminated so that only  the net amount is included in transfers in the business‐type activities column.    C.   MEASUREMENT FOCUS AND BASIS OF ACCOUNTING    Basis of Accounting refers to the point at which revenue or expenditure/expense transactions or events  are recognized in the accounts and reported in the financial statements. Measurement focus is  measured one of two ways: either the current financial resource or the economic resource method.    Government‐wide financial statements – the government‐wide financial statements are prepared  using the economic resources measurement focus and the accrual basis of accounting. Revenues are  recorded when earned and expenses are recorded when the liability is incurred, regardless of the timing  of related cash flows. Property taxes are recognized as revenue in the year they are levied and grants  are recognized as revenue as soon as all eligibility requirements have been met.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-16   Governmental fund financial statements – the governmental fund financial statements use a different  measurement focus from the proprietary fund statements and government‐wide statements. The  governmental fund financial statements use the current financial resources measurement and the  modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable  and available. Revenues are considered to be available when they are collectible within the current  reporting period or soon enough thereafter to pay liabilities of the current period.     The City considers revenues available if they are collected within 60 days of the end of the current  fiscal period. Expenditures are generally recorded when a liability is incurred, the same as accrual  accounting. However, debt service expenditures, as well as expenditures related to compensated  absences, and claims and judgements are recorded only when payment is due. General capital asset  acquisitions are reported as current expenditures in governmental funds. Issuance of long‐term debt  and capital lease acquisitions are reported as other financing sources.    Property taxes, sales tax, franchise taxes, licenses, and interest associated with the current period are  all considered susceptible to accrual and have been recognized as revenue in the current fiscal period.  Expenditure‐driven grants are recognized as revenue when the qualifying expenditure amount is  received during the period or within the availability period for this revenue source. All other revenue  is considered measurable and available only when the cash is received by the City.    Since the measurement focus between the governmental fund financial statements and the  governmental activities in the government‐wide statements vary, a detailed reconciliation is included in  the fund statements to identify the relationship between the two statement types.    Proprietary fund financial statements – the proprietary fund statements and pension fund  statements are reported using the economic resources measurement focus and accrual basis of  accounting, the same as the government‐wide statements.    D.  ASSETS, LIABILITIES, DEFERRED OUTFLOWS/INFLOWS OF RESOURCES, AND NET POSITION/FUND  BALANCE    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   position  as  cash  and  cash equivalents or investments in the various funds. Included in this category  are all funds invested in the Local Government Investment Pool. Excluded from this category are  cash balances held by Fiscal Agents since the City does not have discretionary use of these funds.    Most of the City’s cash balances are pooled and invested. Interest earned from investments  purchased with pooled cash is allocated monthly to each fund based on the fund’s beginning equity  balance in the pooled fund.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-17   2. Investments  Investments are recorded at amortized cost or at fair value in accordance with GASB Statement No.  72, Fair Value Measurement and Application.  Accordingly, the change in fair value of investments is  recognized as an increase or decrease to investment assets and investment income.    3. Receivables  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.    Taxes receivable consists of property taxes and related interest and penalties. Property taxes are  an enforceable lien on real property and are due the first day of the levy year and may be paid  in two equal installments. The first half is due April 1 and the balance is due October 31. The City  collects approximately 99% of the property tax due in the year it is levied and delinquent taxes are  collected within the following few years. Property tax due, but not collected within 60 days of year  end, is recorded as a receivable and offset by deferred inflow of resources – unavailable revenue.  There is no allowance for uncollectable property tax because historically all taxes are collected  and/or enforceable via lien (refer to Note 3 for more information).    Accrued interest receivable consists of amounts earned on investments, notes, and contracts.     Customer accounts receivable consists of amounts owed from private individuals or organizations  for goods and services. If the transactions are receivable from another governmental unit, it is  accounted for within “due from 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. Special assessments not due within one year are reported as deferred inflows of  resources in the governmental fund statements and reported as non‐current assets in the  government‐wide statements and the proprietary fund statements.    4.   Internal Balances, Interfund Loan Receivables/Payable and Due To/From Other Funds  Activities between funds that are representative of lending/borrowing arrangements outstanding  at the end of the fiscal year are referred to as interfund loans receivable/payable. All other  outstanding balances between funds are reported as due to/from other funds. These amounts are  eliminated within the governmental activities and business‐type activities in the government‐wide  statement, except for the residual balances outstanding between the governmental activities and  business‐type activities, which are reported as internal balances. Refer to Note 9 for a detailed  summary of interfund activity.    5.   Inventories and Prepaid items  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.      2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-18   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. The cost of inventories are recorded as an expenditure/expense when  consumed rather than when purchased.    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.    6.   Capital Assets  General capital assets are those assets not specifically related to activities reported by the  proprietary funds. These assets generally result from expenditures in governmental funds or  contributions. The City reports these assets in the governmental activities column of the  government‐wide statement of net position but does not report these assets in the governmental  fund financial statements. Capital assets utilized by the propriety funds are reported both in the  business‐type activities of the government‐wide statement of net position and in the proprietary  fund statement of net position.    All capital assets are valued and capitalized at cost (or estimated historical cost when actual  historical cost is unknown) and updated for additions and retirements during the year. Donated  capital assets are recorded at their acquisition value as of the date received. The City maintains a  capitalization threshold of $5,000 and an estimated useful life in excess of two years. Improvements  to City assets and infrastructure are capitalized, but the cost of normal maintenance and repairs  that do not extend the useful life, or increase capacity or efficiency, are expensed.    All capital assets, other than land, right‐of‐ways, water rights, and construction in progress, are  depreciated using the straight line method over the following estimated useful lives:    Amortization on all intangible assets is provided on the straight‐line basis over the following useful  lives:     Estimated Capital Asset Class Useful Life Buildings and structures, excluding utilities 10‐50 years Other improvements 10‐80 years Utility plant 25‐75 years Machinery and equipment 3‐40 years Infrastructure 25‐75 years Estimated Intangible Asset Class Service Life Computer software 3‐15 years Patents, trademarks, copyrights 3‐50 years Other 3‐12 years 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-19   7.   Other non‐current Assets  A portion of special assessments receivable are collectible in greater than one year. This long‐term  portion of the receivable is reported as another non‐current asset.    Investment in  joint  ventures consists  of  the  City’s equity  balances  and  investment in  debt  of   Valley Communications Center and South Correctional Entity (see also Note 11).    8.    Deferred outflows/inflows of resources  In  addition  to  assets, the  statement of  financial  position  will  report a  separate section  for   deferred outflows  of  resources. This separate financial statement element, deferred outflow of  resources, represents a consumption of net position that applies to a future period and will not be  recognized as an outflow (expense/expenditure) until that reporting period. The City has two items  that qualify for reporting in this category. Deferred amount on refunding is reported on the  government‐wide statement of net position and the proprietary fund statement of net position.     A deferred amount on refunding results from the difference in the carrying value of refunded debt  and its reacquisition price. This amount is deferred and amortized over the life of the refunded or  refunding debt, whichever is shorter. Deferred amounts related to pensions are differences between  actual and projected experience, investment earnings and actuarial assumptions, changes in  proportion, and the City’s contributions to pensions subsequent to the measurement date, which  was June 30, 2019, provided by the State of Washington. Refer to Note 5 for more information on  pensions.    In addition to liabilities, the statement of financial position will report a separate section for  deferred inflows of resources. This separate financial statement element represents an acquisition  of net position that applies to a future period(s) and so will not be recognized as an inflow of  resources (revenue) until that time (in prior years this inflow was recognized as “deferred revenue”  within the liabilities). The City has three items that it reports as a deferred inflow of resources.  Unavailable revenue arises only on the modified accrual basis, in the governmental fund balance  sheet. The amount reported in unavailable revenue is comprised of three sources: delinquent  municipal court receivables, delinquent photo enforcement receivables, and delinquent property  tax receivables. These amounts are deferred and recognized as revenue in the period the amounts  become available. On the government‐wide statements (accrual basis of accounting) the amounts  are considered available and recognized as inflow of resource in the current period. Deferred  amount of special assessments is the long‐term principal due to the City from special assessment  connections. This amount is only reported in the governmental fund balance sheet. Deferred  amounts related to pensions are the differences between actual and projected experience,  investment earnings and actuarial assumptions, and changes in proportion. Refer to Note 5 for more  information on pensions.    9.   Unearned Revenues  This account includes amounts collected in advance for services not yet rendered. The amounts  are subject to return to the payor in the event the associated services are not performed.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-20   10. Custodial Accounts  This account reflects the liability for net monetary assets being held by the City in its agency capacity,  the majority of which is comprised of customer deposits.    11. Compensated Absences  The City’s policy permits employees to accumulate earned but unused vacation leave benefits,  which are eligible for payment upon separation from City service. For employees hired prior to  January 1, 1994, a fifty percent cash out of accumulated earned but unused sick leave is also eligible  for payment upon separation. The City accrues accumulated unpaid vacation and sick leave (when  eligible) when earned (or estimated to be earned) by the employee. The total compensated  absences liability is reported on the government‐wide statements and in each proprietary fund.    12. Fund Equity  Fund equity at the governmental fund level is classified as fund balance. Fund equity for all other  reporting is classified as net position.    Fund balance represents the difference between the current assets and deferred outflows of  resources and current liabilities and deferred inflows of resources in the governmental fund financial  statements. Fund balance classifications comprise of a hierarchy based primarily on the extent to which  the City is bound to honor constraints on the specific purpose for which amounts in those funds can be  spent. Fund balances are classified as follows:  a. Nonspendable – items that cannot be spent due to form; inventories, prepaid amounts, long‐term  loan receivables, or amounts that must be maintained intact legally.  b. Restricted –  amounts  constrained  for  specific  purposes  imposed  through  the judicial  process  and enabling  legislation  adopted  by  the  City;  or  through  external  restrictions  imposed  by   creditors, grantors, or laws or regulations of other governments.  c. Committed – amounts constrained by the City Council. Only the Council can, by ordinance,  establish, modify, or rescind constraints on committed fund balances.  d. Assigned – constraints imposed by the City Council for amounts intended for specific purposes, but  do not meet the criteria of restricted or committed. It is the City’s policy that intent of use can  be assigned by the City Council, or by a designated official, adopted through either the biennial  budget ordinance or an amending budget ordinance. For governmental funds, other than the  General Fund, the residual fund balance that is not restricted or committed is reported as assigned  because the use of fund balance, at a minimum, should be used for the purpose of that fund.  Additional action does not need to be taken to remove an assignment, whereas additional action is  essential to remove a commitment.  e. Unassigned – any remaining fund balance in the General Fund that does not meet any of the above  criteria. The General Fund is the only fund that reports a positive unassigned fund balance amount.  In other governmental funds, not the General Fund, may report a negative unassigned fund balance  if expenditures incurred for a specific purpose exceed the amounts of restricted, committed, or  assigned amounts to those purposes.       2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-21   The following shows the composition of the fund balance in governmental funds for the year  ended December 31, 2019:     General  Municipal  Facilities CIP Other  Governmental  Total  Restricted Police Seizure Funds 711,102$                     $                   ‐   $                   ‐   $        711,102  Police CSAM Funds 126,011                                            ‐                        ‐             126,011  Shop with a Cop 3,094                                                ‐                        ‐                 3,094  Judicial Capital Improvements 25,103                                              ‐                        ‐               25,103  Debt Service 250,000                                            ‐            182,622             432,622  Summer Lunch Program 2,111                                                ‐                        ‐                 2,111  Sr Center Advisory Committee 9,174                                                ‐                        ‐                 9,174  CDBG Loans Outstanding 481,022                                            ‐                        ‐             481,022  Tourism Promotion ‐                                                        ‐            959,442            959,442  Renton Community Marketing Campaign ‐                                                        ‐              44,251               44,251  Cable Communications ‐                                                        ‐            624,621             624,621  Springbrook Wetlands Impact Mitigation ‐                                                        ‐            345,721             345,721  Park Capital Improvements ‐                                       18,005,658         1,887,849        19,893,507  Transportation Capital Improvements ‐                                                        ‐       12,421,254        12,421,254  REET 1 Capital Projects ‐                                                        ‐         1,198,263          1,198,263  REET 2 Captial Projects ‐                                                        ‐         1,198,263          1,198,263  Community Garden Improvements ‐                                                2,483                       ‐                 2,483  Urban Forestry Program ‐                                            106,044                        ‐             106,044  Sunset Area Improvements ‐                                            600,000                        ‐             600,000  Total Restricted                    1,607,617       18,714,185       18,862,286        39,184,088  Committed Public Art                                  ‐                        ‐              98,875               98,875  Facilities Capital Improvements                                  ‐         4,603,203                        ‐          4,603,203  Park Capital Improvements                                  ‐         4,120,657                        ‐          4,120,657  Transportation Capital Improvements                                  ‐                        ‐         8,955,814          8,955,814  Family First Center                                  ‐            573,948                        ‐             573,948  Total Committed ‐                                 9,297,808      9,054,689      18,352,497      Assigned Farmer's Market                         94,399                        ‐                        ‐               94,399  Community Services                    5,717,167                        ‐                        ‐          5,717,167  Transportation                                  ‐                        ‐                        ‐                         ‐  Human Services                         14,186                        ‐                        ‐               14,186  Museum                         46,096                        ‐                        ‐               46,096  Leased City Properties                       553,770                        ‐                        ‐             553,770  Economic Development Projects                                  ‐         2,570,826                        ‐          2,570,826  Misc Capital Projects                                  ‐              16,603                        ‐               16,603  Family First Center                                  ‐         7,976,692                        ‐          7,976,692  Debt Service                                  ‐                        ‐         3,819,177          3,819,177  Street Maintenance                    1,377,184                        ‐                        ‐          1,377,184  Transportation Capital Improvements                                  ‐                        ‐         1,136,341          1,136,341  Total Assigned                    7,802,802       10,564,121         4,955,518 23,322,441      Unassigned  Unassigned                  45,627,589                        ‐                        ‐        45,627,589  Total Unassigned                  45,627,589                        ‐                        ‐        45,627,589  Total fund balances 55,038,008$              38,576,114$  32,872,493$  126,486,615$  December 31, 2019 Governmental Fund Balances        2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-22   Fund balance flow assumptions ‐ when multiple categories of fund balance are available for  incurred expenditures, it is the City’s policy to consider restricted fund balance to have been  depleted before using any of the components of unrestricted fund balance (the total of committed,  assigned, and unassigned fund balance). Further, when the components of unrestricted fund  balance can be used for the same purpose, committed fund balance is depleted first, followed by  assigned fund balance. Unassigned fund balance is applied last.    Net position reflects the difference between assets and liabilities, in the government‐wide and  proprietary fund statement of net position. The component net investment in capital assets consists  of capital assets, net of accumulated depreciation, reduced by any outstanding balances of any  borrowing (ex. bonds or loans and related deferred amounts on refunding) for the acquisition,  construction, or improvement of those assets. The net position is reported as restricted when  there are limitations imposed on their use either  through  enabling  legislation  adopted  by  the   City  or  through  external restrictions  imposed  by creditors, grantors, or laws or regulations of  other governments.  The balance of the net position is reported as unrestricted.    The following shows the composition of the restricted net position balances reported in the  government‐wide and proprietary fund statements for the year ended December 31, 2019:    Governmental  Activities Business‐Type  Activities Restricted Net Position Pensions  $              22,560,995 ‐$                    Police Seizure Funds 711,102                     ‐                      Police CSAM Funds 126,011                     ‐                      Shop with a Cop 3,094                         ‐                      Judicial Capital Improvements 25,103                       ‐                      Summer Lunch Program 2,111                         ‐                      Sr Center Advisory Committee 9,174                         ‐                      CDBG Loans Outstanding 481,022                     ‐                      Tourism Promotion 959,442                     ‐                      Renton Community Marketing Campaign 44,251                       ‐                      Cable Communications 624,621                     ‐                      Springbrook Wetlands Impact Mitigation 345,721                     ‐                      Park Capital  Improvements 19,893,507                 Transportation Capital Improvements 12,421,254                ‐                      REET 1 Capital Projects 1,198,263                  ‐                      REET 2 Captial Projects 1,198,263                  ‐                      Community Garden Improvements 2,483                         ‐                      Urban Forestry Program 106,044                     ‐                      Sunset Area Improvements 600,000                     ‐                      Debt Service 432,622                     2,810,145       Total Restricted Net Position  $              61,745,083  $    2,810,145  December 31, 2019 Restricted Net Position     Deficit in fund net position – At December 31, 2019 the Insurance Fund reported a deficit in net  position of ($1,550,531). The deficit is a result of GASB Statement No. 75, which requires the City to  recognize a total OPEB liability.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-23   Net position flow assumptions – In order to calculate the amounts to be reported as restricted  net position and unrestricted net position on the government‐wide and proprietary fund  statements, a flow assumption is made. It is the City’s policy to consider restricted net position to  have been depleted before unrestricted net position.    Minimum fund balance policy – The City Council has adopted a financial policy to maintain a  minimum level of unrestricted fund balance in the general fund. The target level is set at 12  percent, with a minimum of 8 percent, of general fund operating expenditures. This amount is  intended to provide fiscal stability when economic downturns and other unexpected events occur.    Stabilization fund policy – The City has adopted a comprehensive stabilization policy that helps  provide stability through uncertain times.  This allows for temporary cushion and flexibility when  needed.  The City Council, through ordinance, has established the following stabilization reserves:    1. Economic development revolving fund reserve: the City has accumulated reserves of $2.5  million for economic development projects. Expenditure utilizing this reserve will require a two‐ thirds majority vote of the City Council.  2. Catastrophic reserve: the City will maintain a targeted amount of 8 percent for risk management  reserves, for catastrophic emergencies. Expenditure utilizing this reserve will require a two‐ thirds majority vote of the City Council.  3. Anti‐recessionary reserve: the City will maintain a targeted reserve equal to 4 percent of the  general fund operating expense. Expenditures utilizing this reserve will require a two‐thirds  majority vote of the City Council and must be replenished within three years.  4. Annexation sales tax credit expiration/transition reserve: to help support debt service  obligations between the time the annexation sales tax credit expires (mid‐2019) and when the  downtown parking garage and library bond are paid (2022). Expenditures utilizing this reserve  will require a two‐thirds majority vote of the City Council.  5. General obligation bond payment reserve: for all councilmatic, general obligation bonds issued  after 2013, a one year payment reserve shall be established.     E.   REVENUES, EXPENDITURES, AND EXPENSES    1.   Operating Revenues and Expenses  Proprietary  funds  distinguish  operating  revenues  and  expenses  from  non‐operating  revenues   and expenses. Operating revenue and expense generally result from providing services and  producing and delivering goods in connection with a proprietary fund’s principal ongoing  operations. The principal operating revenue of the waterworks utility, solid waste, airport, golf  course, and internal service funds are charges to customers for sales and services. The waterworks  utility also recognizes water meter installation  fees,  and  wastewater  and  surface  water   construction  permit  fees  as  operating  revenue because these charges are intended to offset the  cost of connecting new customers to the system. Operating expense for proprietary funds and  internal service funds include the cost of sales and services, administrative expenses, and  depreciation of capital assets. All revenues and expenses not meeting this definition are reported  as non‐operating revenue and expense.    2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-24   2.   Program Revenue  Amounts  reported  as  program  revenue,  on  the  government‐wide  statement  of  activities,   include:  1) charges for customers or applicants who purchase, use, or directly benefit from goods,  services, or privileges provided by a given function and 2) grants and contributions that are  restricted to meeting the operation or capital requirements of a given function. All taxes, included  those dedicated to specific purposes, are reported as general revenue rather than program revenue.    3.   Capital Contributions  Capital contributions reported in the proprietary fund statements and the government‐wide  statements reflect the value of outside contributions of capital assets (i.e. developers, land  donations), capital grants, special assessments, and system development charges.    4.   Interfund Activity  Exchange transactions between funds are reported as revenue in the selling fund and as an  expenditure/expense in the purchasing funds. On the government‐wide statement of activities, the  exchange transactions between the internal service funds and the user funds are eliminated.  Flows of cash or goods from one fund to another without a requirement of repayment are reported  as interfund transfers in/out. Interfund transfers in/out are reported as other financing sources/uses  in the governmental funds and following non‐operating revenues and expenses in the proprietary  funds. In the government‐wide statement of activities, transfers between governmental and  business‐type activities are reported as general revenue.   Transfers between funds in governmental  activities are eliminated and transfers between funds in business‐type activities are eliminated.    5.   Expenditures/Expenses  Expenses in the Government‐wide Statement of Activities are reported by function as a  governmental activity (general government, judicial, public safety, utilities, transportation,  economic environment, health and human services, culture and recreation), 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.    The City recovers certain administrative costs through indirect cost allocations to departments city‐ wide. These allocated costs are consolidated and reported by function in the government‐wide  statement of activities.      NOTE 2.   DEPOSITS AND INVESTMENTS    A. Deposits  Custodial Credit Risk   Custodial Credit Risk is the risk that in the event of a failure of the counterparty to an investment  transaction the City would not be able to recover the value of the investment or collateral securities.   The City does not currently have a policy regarding deposits concerning custodial credit risk or foreign  currency risk.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-25   At December 31, 2019 the City had the following balances on deposit with financial institutions:      The City’s deposits and certificates of deposit are entirely covered by the Federal Depository Insurance  Corporation (FDIC) or held in a multiple financial institution collateral pool administrated by the State of  Washington Public Deposit Protection Commission (PDPC). The City’s deposits comply with the  guidelines within Chapter 35A.40.030 of the Revised Code of Washington (RCW).    B. Investments  Investments that are not Measured at Fair Value  At December 31, 2019 the City had the following investments at amortized cost:      The City is a participant in the Local Government Investment Pool authorized by Chapter 294, Laws of  1986, and is managed and operated by the Washington State Treasurer. The State Treasurer is  responsible for establishing the investment policy for the pool and reviews the policy annually and  proposed changes are reviewed by the LGIP advisory Committee.     Investments in the LGIP, a qualified external investment pool, are reported at amortized cost which  approximates fair value. The LGIP is an unrated external investment pool. The pool portfolio is invested  in a manner that meets the maturity, quality, diversification and liquidity requirements set forth by the  GASB Statement No. 79 for external investments pools that elect to measure, for financial reporting  purposes, investments at amortized cost. The LGIP does not have any legally binding guarantees of share  values. The LGIP does not impose liquidity fees or redemption gates on participant withdrawals. The  Office of the State Treasurer prepares a stand‐alone LGIP financial report. A copy of the report is  available from the Office of the State Treasurer, PO Box 40200, Olympia, Washington 98504‐0200, online  at http://www.tre.wa.gov.    Investments Measured at Fair Value  The City measures and records its investments within the fair value hierarchy established by generally  accepted accounting principles.  The hierarchy is based on the valuation inputs used to measure the fair  value of the asset.  The guidelines recognize a three‐tiered fair value hierarchy, as follows:     Level 1:  Quoted prices in active markets for identical assets or liabilities;  Level 2:  These are quoted market prices for similar assets or liabilities, quoted prices for identical  or similar assets or liabilities in markets that are not active, or other than quoted prices that are not  observable.  Level 3:  Unobservable inputs for an asset or liability.    Deposits Deposits at 12/31/2019 Bank Deposits 76,310,481$                            Non‐negotiable Certificates of Deposit (CD's) 31,181,665                              TOTAL DEPOSITS 107,492,147$                         Security Type Amortized  Cost Local Government Investment Pool (LGIP)125,517,557$                     TOTAL INVESTMENTS 125,517,557$                     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-26   At December 31, 2019 the City had the following recurring fair value measurements:           Valuation techniques to determine fair value should be consistent with one or more of three approaches:  the market approach, cost approach, and income approach.  The City uses the market approach for the  valuation of Significant Other Observable Inputs Investments (Level 2). The market approach to  measuring fair value uses prices and other relevant information generated by market transactions  involving identical or similar assets, liabilities, or groups of assets and liabilities. Using quoted market  prices is a technique that is consistent with the market approach.    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 of  the Revised Code of Washington (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.  Currently, the City invests in obligations of the  U.S. Government, U.S. agency issues, and Certificates of Deposit with Washington State banks and  savings and loan institutions as allowed by RCW.     Credit risk.  Credit Risk is the risk that an issuer or other counterparty to an investment will not fulfill its  obligations.  The City invests in US Treasury securities which are considered free of credit risk, and in  securities backed by the full faith and credit of the U.S. Government as well as U.S. government  sponsored enterprises including Federal Home Loan Mortgage Corporation.        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 established by  the Investment Policy, which limits the weighted average maturity of the portfolio to five years.     Security Type Total Quoted Prices in  Active Markets  for Identical  Assets (Level 1) Significant  Other  Observable  Inputs (Level 2) Significant  Unobservable  Inputs (Level 3) U.S. Agency Securities 36,958,306$           36,958,306$         TOTAL INVESTMENTS 36,958,306$           36,958,306$         Fair Value Measurements Using Investment Type Cost Fair Value Moody's S&P Local  Government Investment Pool (LGIP)125,517,557$               125,517,557$          unrated unrated Federal Farm Credit Bank 9,684,286                      9,655,447                 Aaa AA+ Federal Home Loan Bank 14,839,881                    14,802,731               Aaa AA+ Federal National Mortgage Association 7,510,797                      7,510,210                 Aaa AA+ Federal Home Loan Mortgage Corporation 5,006,019                      4,989,918                 Aaa AA+ TOTAL INVESTMENTS 162,558,539$               162,475,864$           2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-27       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.”         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 using the  following target distribution as a guide during normal economic times while allowing flexibility when  appropriate.  The City has agency bonds with Federal Farm Credit Bank equal to 6% and agency bonds  with Federal Home Loan Bank equal to 9%. The City’s remaining individual issuers are less than 5% of  total investments or are otherwise excluded from this disclosure due to the low risk nature of the  investment.      Target Maximum per Policy  Instrument  Maximum  Issuer  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%       Investment Type Cost Fair Value Average  Interest  Rate Local Government Investment Pool (LGIP)125,517,557$             125,517,557$           1.075% Federal Farm Credit Bank 9,684,286                    9,655,447                  1.600% Federal Home Loan Bank 14,839,881                  14,802,731                1.622% Federal National Mortgage Association 7,510,797                    7,510,210                  1.689% Federal Home Loan Mortgage Corporation 5,006,019                    4,989,918                  1.610% TOTAL INVESTMENTS 162,558,539$             162,475,864$            Investment Type 0‐6  months 6 months ‐ 1 year 1‐3 years 3+ years Totals Local Government Investment Pool (LGIP) 125,517,557$   ‐$                      ‐$                      ‐$               125,517,557$    Federal Farm Credit Bank ‐                          ‐                            4,810,980            4,844,466     9,655,447           Federal National Mortgage Association ‐                         7,510,210            ‐                             ‐                      7,510,210           Federal Home Loan Mortgage Corporation ‐                          ‐                             ‐                            4,989,918     4,989,918           Federal Home Loan Bank 9,726,290            5,076,441     14,802,731         TOTAL INVESTMENTS 125,517,557$  7,510,210$         14,537,271$       14,910,826$ 162,475,864$    2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-28   Custodial Credit Risk – Investments.  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 and are held in our safekeeping trust account with Wells Fargo  under terms negotiated by the State of Washington.      NOTE 3.  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 unavailable revenue.  During the year, property tax revenues are recognized  when cash is received.    The tax rate for general City operations is limited to $3.825 per $1,000 of assessed value (RCW  84.52.043), less the actual amount levied by the King County Library System (maximum $0.50/$1,000)  and the actual amount levied by the Renton Regional Fire Authority (maximum $1.00/$1,000). Included  in this amount, up to $0.225 (22.5 cents) per $1,000 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 maximum statutory  rate for 2019, after reductions noted above, was $2.61527.    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 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.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-29     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 2019  Annual Report is $1.117.    NOTE 4.  CAPITAL ASSETS AND DEPRECIATION  Depreciation and amortization was charged to the functions as follows:         Depreciation Amortization Total General Government  $                1,108,333  $                         ‐ 1,108,333$                 Public Safety                        393,727                     7,643 401,370                       Physical Environment                          58,148                            ‐   58,148                         Transportation                    6,943,227                            ‐   6,943,227                   Economic Development                        482,572                            ‐   482,572                       Culture and Recreation                    1,536,956                            ‐   1,536,956                   Health and Human Services                          12,174                            ‐   12,174                         Internal Service Funds (General Governmental)                   2,674,424                 194,851 2,869,275                    $              13,209,561  $            202,494  $             13,412,055  Depreciation Amortization Total Waterworks  $                9,240,777  $              45,713 9,286,490$                 Airport                    1,120,324                              ‐ 1,120,324                   Golf Course                        209,176                              ‐ 209,176                        $              10,570,277  $              45,713  $             10,615,990  Governmental Activities Total‐Governmental Activities Business‐Type Activities Total‐Business‐Type Activities   2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-30   Capital asset activity for the year ended December 31, 2019 was as follows:     Beginning Ending Balance Increases Decreases Reallocation Balance Governmental activities : Capital  assets, not being depreciated: Land and land improvements  $  210,632,400  $   1,787,104  $           (121,847) $                        ‐   $        212,297,657  Construction in progress        15,259,235        6,656,124                (110,342)           (8,051,736)             13,753,281  Total capital assets, not being depreciated       225,891,635        8,443,228                (232,189)           (8,051,736)           226,050,938  Capital  assets, being depreciated: Buildings and structures        79,217,257           653,437                              ‐              4,926,541               84,797,235  Other improvements      318,792,869        6,641,789                              ‐              2,802,582             328,237,240  Machinery and equipment        33,725,445        4,973,189                (372,717)                 50,682               38,376,599  Total capital assets being depreciated      431,735,571     12,268,415                (372,717)            7,779,805             451,411,074  Less accumulated depreciation for: Buildings and structures      (39,743,977)    (2,197,391)                            ‐                             ‐              (41,941,368) Other improvements    (107,003,347)    (8,249,678)                            ‐                             ‐            (115,253,025) Machinery and equipment      (22,308,351)    (2,762,492)                358,864                             ‐              (24,711,979) Total accumulated depreciation    (169,055,675)  (13,209,561)                358,864                             ‐            (181,906,372) Total capital assets, being depreciated, net      262,679,896         (941,146)                (13,853)            7,779,805             269,504,702  Intangible Assets: Intangible assets, being amortized          4,872,259             86,407                              ‐                 271,931                 5,230,597  Less accumulated amortization        (4,503,184)       (202,494)                            ‐                             ‐                (4,705,678) Total intangible asset, being amortized, net             369,075         (116,087)                            ‐                 271,931                    524,919  Total Intangible assets             369,075         (116,087)                            ‐                 271,931                    524,919  Governmental activities capital assets, net  $  488,940,606  $   7,385,995  $           (246,042) $                        ‐   $        496,080,559  Business‐type activities: Capital  assets, not being depreciated: Land and land improvements  $      6,150,056  $                 ‐   $                         ‐   $                        ‐   $            6,150,056  Construction in progress        10,732,669        8,826,127                (670,386)           (2,888,528)             15,999,882  Total capital assets, not being depreciated         16,882,725        8,826,127                (670,386)           (2,888,528)             22,149,938  Capital  assets, being depreciated: Buildings and structures        17,576,346                      ‐                              ‐                             ‐               17,576,346  Other improvements      433,965,352        7,623,618                (571,445)            2,888,528             443,906,053  Machinery and equipment          2,991,323           178,765                              ‐                             ‐                 3,170,088  Total capital assets being depreciated      454,533,021        7,802,383                (571,445)            2,888,528             464,652,487  Less accumulated depreciation for: Buildings and structures        (8,774,516)       (424,536)                            ‐                             ‐                (9,199,052) Other improvements    (152,169,208)  (10,006,536)                248,511                             ‐            (161,927,233) Machinery and equipment        (2,122,889)       (139,205)                            ‐                             ‐                (2,262,094) Total accumulated depreciation    (163,066,613)  (10,570,277)                248,511                             ‐            (173,388,379) Total capital assets, being depreciated, net      291,466,408     (2,767,894)              (322,934)            2,888,528             291,264,108  Intangible Assets: Intangible assets, not being amortized             811,000                      ‐                              ‐                             ‐                    811,000  Intangible assets, being amortized             527,222                      ‐                              ‐                             ‐                    527,222  Less accumulated amortization           (340,559)         (45,713)                            ‐                             ‐                   (386,272) Total intangible asset, being amortized, net             186,663           (45,713)                            ‐                             ‐                    140,950  Total Intangible assets             997,663           (45,713)                            ‐                             ‐                    951,950  Business‐type activities capital assets, net  $  309,346,796  $   6,012,520  $           (993,320) $                      ‐     $        314,365,996   2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-31   At the end of 2019, a total of 48 projects comprise the Construction in Progress.  Upon completion, the  projects will be reallocated to their appropriate categories.    Construction commitments as of December 31, 2019, are as follows:    Governmental Activities Projects: Construction  in progress Remaining  Commitment Boathouse Dock Replacement 64,252$                           8,935$                           Bronson Bridge 8,765                                ‐                                    City Hall Elevator Replacement 1,407,749                        897,252                         Downtown Streetscape 57,964                             43,015                           Duvall Ave 7th to Sunset 989,892                           81,897                           Family First Center 960,751                           7,575                             Fawcett ROFR 9,000                               ‐                                    Highlands to Landing Pedestrian Lighting 15,901                             83,670                           Houser Way Intersection & Ped Improvement 185,375                           ‐                                    Houser Way N. Bridge 8,765                               ‐                                    Intersect Safety & Mobility 112,829                           67,181                           Kenyon Property Building 73,991                             ‐                                    Kenyon Property Instahot Water Heater 10,556                             ‐                                    Lake Washington Loop Trail 902,229                           26,596                           Liberty Park Improvement 18,631                             ‐                                    Park Ave Extension 889,154                           212,545                         Pavillion Parking Pay Stations 27,188                             ‐                                    Phillip Arnold Park Improvements 103,933                           343,419                         Police Training Simiulator 214,973                           ‐                                    Police ViewSonic Viewboard 98 10,664                             ‐                                    Rainier Ave S/N Phase 4 1,286,343                        1,425,682                      Regis Park Athletic Field Expansion 91,884                             16,306                           Renton Connector 1,206                               ‐                                    Renton School Crossings 1,578                               ‐                                    S. 2nd and S. Main Public Art (Loop Art)87,081                             ‐                                    S. 2nd Street Conversion 1,206                               ‐                                    Sign Shop Improvements 915,296                           ‐                                    Sunset Blvd Corridor 54,234                             152,347                         Sunset EIS Park 3,829,013                        3,772,539                      Sunset Neighborhood Park Art 25,900                             224,100                         Williams Ave S & Wells Ave S Conversion 1,378,212                        90,639                           Williams Bridge 8,765                                ‐                                    Total governmental activities 13,753,281$                    7,453,695$                    Business‐Type Activities Projects: Construction  in progress Remaining  Commitment Airport Office Rehab 434,024$                         6,810$                           Downton Sewer Replacement/Rehab 640,307                           360,733                         Downtown Storm System Improvements 625,022                           360,733                         Downtown Water Main Replacement 316,450                           108,731                         Falcon Ridge LS Rehab 1,213,861                        16,443                           Highlands 435 ‐ Resevoirs Replacement 2,117,509                        186,022                         Highlands Water Main Impro 19,466                             23,155                           Kennydale 320‐Reservoir 5,529,477                        ‐                                Lake Youngs Court 285,769                           45,008                           Lift Station Rehabilitation 46,036                             49,896                           NE 16th/Jefferson Ave NE Stormwater 314,482                           135,591                         Renton Hill Main Replacement 3,626,518                         ‐                                SE 172nd St/125th Ave SE Storm Sys 207,086                           92,138                           Telecommunications Project 4,319                               ‐                                Thunder Hills Sanitary 534,852                           148,409                         Water Pump Stations Rehab 84,703                             ‐                                Total business‐type activities 15,999,882$                    1,533,669$                        2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-32   NOTE 5.  PENSION PLANS  For purposes of measuring the net pension liability/asset, deferred outflows of resources and deferred  inflows of resources related to pensions, and pension expense, information about the fiduciary net  position of the Plans and additions to/deductions from the Plan’s fiduciary net position have been  determined on the same basis as they are reported by the State of Washington Department of  Retirement Systems (DRS). For this purpose, benefit payments (including refunds of employee  contributions) are recognized when due and payable in accordance with the benefit terms.  Investments  are reported at fair value.  General Information about the Pension Plans  All of the City’s full‐time and qualifying part‐time employees are eligible to participate in one of the  following statewide retirement systems administered by the Washington State Department of  Retirement Systems:   Public Employees’ Retirement System (PERS) Plans 1, 2, and 3   Law Enforcement Officers’ and Firefighters’ Retirement System (LEOFF) Plans 1 and 2   Public Safety Employees’ Retirement System (PSERS) Plan 2  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 contacting the Washington State Department of Retirement Systems, P.O. Box 48380,  Olympia, WA 98504‐8380; or online from the DRS website at www.drs.wa.gov.  The City is the administrator of the Firefighters’ Pension Plan for all firefighters employed prior to March  1, 1970.  The Firefighters’ 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,  prepared by Milliman, Inc. is included in the Required Supplemental Information section.  Additional  information from the actuarial report prepared for the Firefighters’ Pension Plan, by Milliman, Inc., may  be obtained by contacting the City of Renton, Finance Division, 1055 South Grady Way, Renton, WA  98057.  A.  State Sponsored Pension Plans  Public Employees’ Retirement System (PERS)  Plan description.  PERS was established by the state legislature in 1947 under the Revised Code of  Washington (RCW) chapter 41.40. PERS is a multiple‐employer cost‐sharing retirement system.   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 in  national higher education retirement programs; judges of district and municipal courts; and employees  of local governments.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-33   PERS consists of three plans. PERS participants, who joined the PERS system by September 30, 1977, are  Plan 1 members.  Plan 1 is closed to new 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 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.  Benefits provided.  PERS plans provide retirement, disability, and death benefits to eligible members.  PERS Plan 1 members are vested after the completion of five years of eligible service.  Plan 1 members  are eligible for retirement after 30 years of service, or at the age of 60 with five years of service, or at  the age of 55 with 25 years of service. The monthly benefit is two percent of the average final  compensation (AFC) per year of service, capped at sixty percent.  The AFC is the average of the member’s  24 highest consecutive service months.  Plan 1 members who retire from inactive status prior to the age  of 65 may receive actuarially reduced benefits. Plan 1 members may elect to receive an optional cost of  living allowance (COLA) that provides an automatic annual adjustment based on the Consumer Price  Index.  The adjustment is caped at three percent annually.  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 are  eligible for normal retirement at the age of 65 with five years of service. The monthly benefit is two  percent of the AFC per year of service.  There is no cap on years of service credit and a COLA is granted  based on the Consumer Price Index, capped at three percent annually. The AFC is the average of the  member’s 60 highest paid consecutive months. Plan 2 members have the option to retire early with  reduced benefits.  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 members a monthly benefit that is one percent of the AFC per year of service.  There is no cap  on years of service credit. Plan 3 provides the same COLA as Plan 2. The AFC is the average of the  member’s 60 highest paid consecutive months. 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 of service, if twelve  months of that service are earned after age 44; or after five service credit years earned in PERS Plan 2  by June 1, 2003. Plan 3 members are immediately vested in the defined contribution portion of their  plan.  The Judicial Benefit Multiplier (JBM) Program began January 1, 2007.  This program gave eligible justices  and judges an option to increase the benefit multiplier used in their retirement benefit calculation for  their judicial service period of employment.  Beginning January, 2007, any justice or judge who was in a  judicial position at that time could choose to join JBM.  Any justice or judge elected or appointed to office  on or after January 1, 2007, who elects to join DRS membership will also be mandated into JBM. If they  have already established membership in PERS or TRS Plan 1 they will rejoin that plan, but if they have  never had membership they will be enrolled as a member of both PERS Plan 2 and JBM.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-34   Contributions.  PERS defined benefit retirement benefits are financed from a combination of investment  earnings and employer and employee contributions.  Each biennium, the state Pension Funding Council  adopts Plan 1 employer contribution rates, Plan 2 employer and employee contribution rates, and Plan  3 employer contribution rates. The methods used to determine contribution requirements are  established under state statute.  The required contribution rates, expressed as a percentage of covered payroll, were as follows:  Required Contribution Rates Employer Employee Plan 1Plan 2Plan 3Plan 1Plan 2Plan 3 PERS Members not participating in JBM State agencies, local governmental units 12.65% 12.65% 12.65% 6.00% 7.41% ** Administrative fee 0.18% 0.18% 0.18% Total 12.83% 12.83% 12.83% * Members participating in JBM Local governmental units 12.65% 12.65% 12.65% 12.26% 18.53% 7.5%*** Administrative fee 0.18% 0.18% 0.18% Total 12.83% 12.83% 12.83% * *Plan 3 defined benefit portion only. ** Variable from 5% to 15% based on rate selected by the member. *** Minimum rate.  Employer contributions were $1,925,257, $2,327,566, and $470,685 for Plans 1, 2, and 3, respectively.    Public Safety Employee’s Retirement System (PSERS)  Plan description.  The PSERS system was created by the 2004 Legislature and became effective July 1,  2006 under RCW 41.37.  PSERS is a multiple‐employer cost‐sharing retirement system comprised of a  single defined benefit plan, PSERS Plan2. PSERS membership includes full‐time employees meeting  specific eligibility criteria that are employed by Department of Corrections, Department of Natural  Resources, Gambling Commissions, Liquor Control Board, Parks and Recreation Commission,  Washington State Patrol, Washington state counties, corrections departments of Washington state cities  except for Seattle, Tacoma, and Spokane, or correctional entities formed by PSERS employers under the  Interlocal Cooperation Act.  Benefits provided.  PSERS provides retirement, disability, and death benefits to eligible members.  PSERS members are vested after an employee completes five years of eligible service, PSERS 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, or at age 53 with twenty years of service with a monthly benefit of two percent of the  average final compensation (AFC).  A cost of living allowance (COLA) is granted based on the Consumer  Price Index, capped at three percent annually.  The AFC is the average of the member’s 60 highest paid  consecutive months.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-35   PSERS members have the option to retire early with reduced benefits. PSERS members meeting specific  eligibility requirements have options available to enhance their retirement benefits. Some of these  options are available to their survivors, generally with reduced benefits.  Contributions.  PSERS defined benefit retirement benefits are financed from a combination of investment  earnings and employer and employee contributions. Each biennium, the state Pension Funding Council  adopts 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. The methods used  to determine the contribution requirements are established under state statute.  The required contribution rates, expressed as a percentage of covered payroll, were as follows:  Required Contribution Rates Employer Employee Plan 2Plan 2 PSERS State agencies, local governmental units 12.20% 7.07% Administrative fee 0.18% Total 12.38%  Employer contributions to PSERS Plan 2 were $17,899.  Law Enforcement Officers’ and Firefighters’ Retirement System (LEOFF)  Plan description.  LEOFF was established by the state legislature in 1970 under the Revised Code of  Washington (RCW) chapter 41.26. LEOFF is a multiple‐employer cost‐sharing retirement system.   Membership in the system includes all full‐time, fully compensated, local law enforcement  commissioned officers, firefighters, and as of July 24, 2005, emergency medical technicians. LEOFF  membership is comprised primarily of non‐state employees, with Department of Fish and Wildlife  enforcement officers who were first included effective July 27, 2003, being an exception.  LEOFF consists of two separate defined benefit plans. LEOFF participants who joined the system by  September 30, 1977, are Plan 1 members. Plan 1 is closed to new members. Those who joined on or  after October 1, 1977, are Plan 2 members.  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.  Benefits provided.  LEOFF plans provide retirement, disability, and death benefits to eligible members.  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:    Term of Service  Percent of Final  Average Salary  20 or more years 2.0%  10 but less than 20 years 1.5%  5 but less than 10 years 1.0%       2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-36   A cost of living allowance (COLA) is granted based on the Consumer Price Index.  LEOFF Plan 2 members are vested after the completion of five years of eligible service.  Plan 2 members  are eligible for retirement at the age of 53 with five years of service, or at age 50 with twenty years of  service. Plan 2 members receive a benefit of two percent of the FAS per year of service.  FAS is based on  the highest consecutive 60 months. A COLA is granted based on the Consumer Price Index, capped at  three percent annually.  LEOFF members have the option to retire early with reduced benefits.  LEOFF members meeting specific  eligibility requirements have options available to enhance their retirement benefits. Some of these  options are available to their survivors, generally with reduced benefits.  Contributions. 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.  Employer and employee contribution rates are developed by the Office of the State Actuary to fully fund  the plans. Starting on July 1, 2000, Plan 1 employers and employees are not required to contribute as  long as the plan remains fully funded.  Plan 2 employers and employees are required to pay at the level  adopted by the LEOFF Plan 2 Retirement Board. The methods used to determine contribution  requirements are established under state statute.  The required contribution rates, expressed as a percentage of covered payroll, were as follows:  Required Contribution Rates Employer Employee Plan 1Plan 2Plan 1Plan 2 LEOFF Local governmental units N/A 5.25% N/A 8.75% Administrative fee 0.18% 0.18% Total 0.18% 5.43% N/A Indicates data not applicable.  Employer contributions to LEOFF Plan 2 were $821,626.  Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of  Resources Related to Pensions  As of June 30, 2019, the City reported its proportionate share of the net pension liability/(asset) as  follows:       Plan Liability Asset PERS Plan 1 10,324,778$           ‐$                               PERS Plan 2/3 3,327,947                ‐                                  PSERS Plan 2 ‐                                 (7,221)                       LEOFF Plan 1 ‐                                 (4,658,160)               LEOFF Plan 2 ‐                                 (10,323,995)             Total 13,652,725$           (14,989,376)$           2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-37   The amount of the liability/(asset) reported above for LEOFF Plan 1 and LEOFF Plan 2 reflects a reduction  for the City’s collective liability to be paid by the State. The City recognized $538,055 as contribution  revenue for the State’s on behalf payment for 2019. The amount recognized by the City as its  proportionate share of the net pension liability/(asset), the portion of the City’s net pension  liability/(asset) to be paid by the State, and the total portion of the net pension liability/(asset) that was  associated with the City were as follows:    Liability/(Asset) LEOFF Plan 2 ‐ employer's proportionate share (10,323,995)$       LEOFF Plan 2 ‐ State's proportionate share of the net  pension liability/(asset) associated with the employer (6,760,833)            TOTAL (17,084,828)$        The collective net pension liability was measured as of June 30, 2019, and the total pension liability used  to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2018, with  the results rolled forward to June 30, 2019 using standard update procedures.  Employer contribution  transmittals received and processed by the DRS for the fiscal year ended June 30 are used as the basis  for determining each employer’s proportionate share of the collective pension amounts reported by the  DRS in the Schedules of Employer and Non‐employer Allocations for all plans except LEOFF Plan 1.  LEOFF  Plan 1 allocation percentages are based on the total historical employer contributions to LEOFF Plan 1  from 1971 through 2000 and the retirement benefit payments in fiscal year 2019. Historical data was  obtained from a 2011 study by the office of the State Actuary (OSA).  In the fiscal year 2019, the State of  Washington contributed 87.12 percent of LEOFF Plan 1 employer contributions and all other employers  contributed the remaining 12.88 percent of employer contributions.  LEOFF Plan 1 is fully funded and no  further employer contributions have been required since June 2000. If the plan becomes underfunded,  funding of the remaining liability will require new legislation. The allocation method the plan chose  reflects the projected long‐term contribution effort based on historical data.  At June 30, 2019, the City’s  proportionate share of the collective net pension assets/liabilities was as follows:  Proportionate Share Proportionate Share Change in 6/30/2018 6/30/2019 Proportion PERS Plan 1 0.271486% 0.268500%‐0.002986% PERS Plan 2/3 0.344584% 0.342614%‐0.001970% PSERS Plan 2 0.057762% 0.055527%‐0.002235% LEOFF Plan 1 0.233551% 0.235664% 0.002113% LEOFF Plan 2 0.451824% 0.445635%‐0.006189%       Liability/(Asset) LEOFF Plan 1 ‐ employer's proportionate share (4,658,160)$         LEOFF Plan 1 ‐ State's proportionate share of the net  pension liability/(asset) associated with the employer (31,507,679)         TOTAL (36,165,839)$       2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-38   For the year ended December 31, 2019 the City recognized pension expense as follows:    At December 31, 2019, the City reported deferred outflows of resources and deferred inflows of  resources related to pensions from the following sources:            For PERS Plan 1, $951,881, for PERS Plan 2/3, $1,551,534, for PSERS Plan 2, $18,371, and for LEOFF Plan  2 $422,239, reported as deferred outflows of resources related to contributions resulting from City  contributions subsequent to the measurement date will be recognized as a reduction of the net pension  liability in the year ended December 31, 2020.     Pension Expense PERS Plan 1333,333$                      PERS Plan 2/3 722,883$                      PSERS Plan 211,307$                        LEOFF Plan 1 (279,362)$                    LEOFF Plan 2165,056$                      Total 953,217$                      Deferred Outflows of Resources PERS Plan 1PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2Total Differences between expected and  actual experience ‐$                          953,465$        6,098$               ‐$                          742,904$        1,702,467$      Net difference between projected  and actual earnings on pension  plan investments ‐                              ‐                              ‐                              ‐                              ‐                              ‐                               Changes of assumptions ‐                             85,218              58                         ‐                             17,008              102,284             Changes in proportion and  differences between City  contributions and proportionate  share of contributions ‐                             487,123            ‐                              ‐                             234,925           722,048             City contributions subsequent to  the measurement date 951,881           1,551,534      18,371              ‐                             422,239           2,944,025         Total 951,881$        3,077,340$   24,527$           ‐$                          1,417,076$   5,470,824$      Deferred Inflows of Resources PERS Plan 1PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2Total Differences between expected and  actual experience ‐$                          715,490$        638$                   ‐$                          185,653$        901,781$          Net difference between projected  and actual earnings on pension  plan investments 689,782           4,844,135      12,539              482,911           2,116,742      8,146,109         Changes of assumptions ‐                             1,396,296      3,881                  ‐                             1,161,780      2,561,957         Changes in proportion and  differences between City  contributions and proportionate  share of contributions ‐                             420,282           ‐                             ‐                             314,697           734,979             Total 689,782$        7,376,203$   17,058$           482,911$        3,778,872$   12,344,826$   2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-39   Other amounts reported as deferred outflows of resources and deferred inflows of resources related to  pensions will be recognized as pension expense as follows:  Differences Between Projected and Actual Earnings on Plan Investments Year PERS Plan 1PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2 2020 (152,273)$          (1,261,618)$          (3,523)$            (112,166)$         (554,439)$              2021 (360,691)            (2,287,395)            (5,495)              (247,226)           (998,607)                 2022 (128,716)            (903,808)                (2,362)              (89,711)              (394,088)                 2023 (48,102)              (391,314)                (1,159)              (33,808)              (169,608)                 Total (689,782)$          (4,844,135)$          (12,539)$          (482,911)$         (2,116,742)$           The recognition period is a closed, five‐year period for all plans.    Changes of Assumptions PERS Plan 1PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2 Recognition  Period (Years)1 1 7.1 12.1 1 10.4 Year (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows 2020 ‐$                ‐$                (268,518)$     22,808$      (377)$         19$             ‐$                ‐$                (136,680)$     3,839$        2021 ‐                   ‐                   (268,518)       12,535         (377)            19               ‐                   ‐                   (136,680)        1,980           2022 ‐                   ‐                   (268,518)       12,535         (377)            7                  ‐                   ‐                   (136,680)        1,512           2023 ‐                   ‐                   (268,518)       12,535         (377)            2                  ‐                   ‐                   (136,680)        1,512           2024 ‐                   ‐                   (268,518)       11,944         (377)            2                  ‐                   ‐                   (136,680)        1,512           Thereafter ‐                   ‐                   (53,706)          12,861         (1,996)        9                  ‐                   ‐                   (478,380)        6,653           Total ‐$                ‐$                (1,396,296)$  85,218$      (3,881)$      58$             ‐$                ‐$                (1,161,780)$  17,008$      The recognition period for each plan is equal to the average of the expected remaining service lives of all employees provided with pensions through the pension plan, which was determined at the beginning of the measurement period.  Differences Between Expected and Actual Experience PERS Plan 1PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2 Recognition  Period (Years)1 1 7.1 12.1 1 10.4 Year (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows 2020 ‐$                ‐$                (166,341)$     187,704$    (67)$            1,865$       ‐$                ‐$                (24,428)$        154,218$    2021 ‐                   ‐                   (130,750)       187,704      (67)              1,865          ‐                   ‐                   (24,428)          92,514        2022 ‐                   ‐                   (130,750)       187,704      (67)              278             ‐                   ‐                   (24,428)          70,843        2023 ‐                   ‐                   (130,750)       187,704      (67)              260             ‐                   ‐                   (24,428)          70,843        2024 ‐                   ‐                   (130,750)       113,221      (67)              260             ‐                   ‐                   (24,428)          70,843        Thereafter ‐                   ‐                   (26,149)          89,428         (303)            1,570          ‐                   ‐                   (63,513)          283,643      Total ‐$                ‐$                (715,490)$     953,465$    (638)$         6,098$       ‐$                ‐$                (185,653)$     742,904$    The recognition period for each plan is equal to the average of the expected remaining service lives of all employees provided with pensions through the pension plan, which was determined at the beginning of the measurement period. 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-40   Changes in Proportion and Differences Between City Contributions and Proportionate Share of Contributions Recognition  Period (Years)1 1 7.1 12.1 1 10.4 Year (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows (Inflows) Outflows 2020 ‐$                ‐$                (81,167)          113,284$    ‐$                ‐$                ‐$                ‐$                (50,199)$        30,125$      2021 ‐                   ‐                   (78,773)          113,284      ‐                   ‐                   ‐                   ‐                   (41,847)          30,125        2022 ‐                   ‐                   (78,773)          113,284      ‐                   ‐                   ‐                   ‐                   (39,759)          25,681        2023 ‐                   ‐                   (78,773)          113,284      ‐                   ‐                   ‐                   ‐                   (39,759)          25,681        2024 (78,773)          33,987         (39,759)          25,681        Thereafter ‐                   ‐                   (24,023)          ‐                    ‐                   ‐                   ‐                   ‐                   (103,374)        97,632        ‐$                ‐$                (420,282)$     487,123$    ‐$                ‐$                ‐$                ‐$                (314,697)$     234,925$    The recognition period for each plan is equal to the average of the expected remaining service lives of all employees provided with pensions through the pension plan, which was determined at the beginning of the measurement period. PERS Plan 1 PERS Plan 2/3 PSERS Plan 2LEOFF Plan 1LEOFF Plan 2   Actuarial assumptions.  The total pension liability was determined using the following actuarial  assumptions.   Inflation    2.75%   Salary Increases  3.50%   Investment rate of return 7.40%  Mortality rates were based on the RP‐2000 Combined Healthy Table and Combined Disabled Table  published by the Society of Actuaries.  The Office of the State Actuary applied offsets to the base table  and recognized future improvements in mortality by projecting the mortality rates using 100 percent  Scale BB.  Mortality rates are applied on a generational basis meaning each member is assumed to  receive additional mortality improvements in each future year, throughout his or her lifetime.  The actuarial assumptions used in the June 30, 2018, valuation were based on the results of the 2007‐ 2012 Experience Study Report.  Additional assumptions for subsequent events and law changes are  current as of the 2018 actuarial valuation report.  The long‐term expected rate of return on pension plan investments was determined using a building‐ block method in which the Washington State Investment Board (WSIB) used a best estimate of expected  future rates of return (expected returns net of pension plan investment expense but including inflation)  to develop each major asset class.  Those expected returns make up one component of WSIB’s Capital  Market Assumptions (CMAs).  The CMAs contain the following three pieces of information for each class  of assets the WSIB currently invest in:   Expected annual return   Standard deviation of the annual return   Correlations between the annual returns of each asset class with every other asset class  The WSIB uses the CMAs and their target asset allocation to stimulate future investment returns over  various time horizons.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-41   The long‐term expected rate of return of 7.4 percent approximately equals the median of the simulated  investment returns over a fifty‐year time horizon, adjusted to remove or dampen any short‐term  changes to WSIB’s CMAs that aren’t expected over the entire fifty year measurement period.  Best estimates of arithmetic real rates of return for each major asset class included in the pension plan’s  target asset allocation as of June 30, 2019, are summarized in the following table:  Asset Class Target Allocation Lont‐Term Expected  Real Rate of Return Fixed Income 20.00% 2.20% Tangible Assets 7.00% 5.10% Real Estate 18.00%5.80% Global Equity 32.00%6.30% Private Equity 23.00%9.30%   The inflation component used to create the table above is 2.20 percent, and represents WSIB’s most  recent long‐term estimate of broad economic inflation.  Discount rate.  The discount rate used to measure the total pension liability was 7.40 percent for all  plans.  To determine the discount rate, an asset sufficiency test included an assumed 7.50 percent long‐ term discount rate to determine funding liabilities for calculating future contribution rate requirements.   (All plans use 7.50 percent except LEOFF Plan 2, which has assumed 7.40 percent.)  Consistent with the  long‐term expected rate of return, a 7.40 percent future investment rate of return on invested assets  was assumed for the test.  Contributions from plan members and employers are assumed to continue to be made at contractually  required rates (including PERS Plan 2/3, PSERS Plan 2, and SERS Plan2/3 employers, whose rates include  a component for the PERS Plan1 liability).  Based on those assumptions, the pension plan’s fiduciary net  position was projected to be available to make all projected future benefit payments of current plan  members.  Therefore, the long‐term expected rate of return of 7.40 percent on pension plan investments  was applied to determine the total pension liability.  Sensitivity of the Net Pension Liability/(Asset) to Changes in the Discount Rate.  The following presents  the City’s proportionate share of the net pension liability/(asset), calculated using the discount rate of  7.40 percent, as well as what the net pension liability/(asset) would be if it were calculated using a  discount rate that is one percentage point lower (6.40 percent) or one percentage point higher (8.40  percent) than the current rate.   1% Decrease  6.40%   Current  Discount Rate  7.40%   1% Increase  8.40%  PERS Plan 1 12,929,910$     10,324,778$     8,064,483$        PERS Plan 2/3 25,524,030$     3,327,947$       (14,885,407)$     PSERS Plan 2 74,546$             (7,221)$              (71,455)$             LEOFF Plan 1 (3,810,623)$      (4,658,161)$      (5,389,928)$       LEOFF Plan 2 (1,919,666)$      (10,323,995)$    (17,183,850)$         2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-42   B.  Firefighters’ Pension  Plan Description ‐ The Firefighters’ Plan (Plan) is a closed, single‐employer defined benefit pension plan  administered by the City of Renton through the firefighters’ pension board.  The plan provides pensions  for firefighters that were employed prior to March 1, 1970, when the LEOFF retirement system was  established.     The firefighters’ pension board consists of five members:  the Mayor who serves as chair of the board,  the chairperson of the Council Finance Committee, and three members elected by secret ballot of the  retired firefighters for two‐year terms.    Plan Membership – Membership is limited to active members of the Firefighters’ Pension Plan (FPP) as  of March 1, 1970. On that date, the Washington Law Enforcement Officers’ and Firefighters’ System  (LEOFF) was established. The plan is closed to new members. At December 31, 2019, FPF membership  consisted of the following:        Benefits Provided ‐ All benefit terms are in statutes RCW 41.16, 41.18, and 41.26. The Firefighters’  Pension Plan (FPP) provides retirement, disability, and death benefits. Each firefighter in service on  March 1, 1970 receives the greater of the benefit payable under the Washington Law Enforcement  Officers’ and Firefighters’ Retirement (LEOFF) System and the benefits available under the provisions of  prior law. Where benefits under the old law exceed those under the new law for any firefighter, the  excess benefits are paid from the FPF of the city employing the member on March 1, 1970.    All members are retired and drawing benefits. Benefit terms provide for cost‐of‐living adjustments to  each member’s retirement benefit.  There are two types of increases: escalation by salary in proportion  to current salary of rank from which the firefighter retired or increase proportionate to the increase in  the Seattle‐area consumer price index, with the change computed annually. Regardless of the change in  the consumer price index, benefits are increased at least two percent each year. The former applies to  firefighters who retired from service after 1969, their survivors, and to firefighters who retired from duty  disability (but not their survivors) after 1961. The latter applies to all other types of monthly benefits.   Benefits and refunds of the Plan are recognized when due and payable in accordance with the terms of  the Plan. For 2019, $194,353 was paid for pension benefit payments.    Contributions.  As long as the FPP provides for benefits to covered members, the City will be eligible to  receive a share of the State’s distribution of the fire insurance premium taxes. The amount the City  receives is 25% of all monies received by the State from taxes on fire insurance premiums. Contributions  can also come from taxes paid pursuant to the provisions of RCW 41.16.060. This statute requires that  each municipality levy up to $0.45 (only $0.225 of which can be in excess of the property tax limit  pursuant to RCW 84.52.043) per $1,000 of assessed valuation, based on reports by a qualified actuary,  to maintain the fund. 2019 employer contributions to the Firefighters’ Pension Plan were $155,413.       Inactive employees or beneficiaries currently receiving benefits 21 Inactive employees or beneficiaries receiving full retirement through LEOFF 5 Total 26 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-43   Investments  Investment Policy – The pension plan’s policy in regard to the allocation of invested assets is established  and may be amended by a majority vote of its members. It is the policy of the FPF board to pursue an  investment strategy that emphasizes prudent and professional standards. The primary investment  requirements, in order of priority, are: safety, compliance, liquidity, and return on investment. The Board  has designated daily operations, internal controls, and investment decisions to the City’s finance  director. No significant investment policy changes were made during the reporting year. Investments are  recorded at fair value in accordance with GASB Statement No. 72, Fair Value Measurement and  Application. Accordingly, the change in fair value of investments is recognized as an increase or decrease  to investment assets and investment income.    Rate of Return – For the year ended December 31, 2019, the annual money‐weighted rate of return on  pension plan investments, net of pension plan investment expense, was 3.03%. The money‐weighted  rate of return expresses investment performance, net of investment expense, adjusted for the changing  amounts actually invested.     Concentrations – For the year ended December 31, 2019, 4.27% of the plan’s fiduciary net position was  invested in US Federal Agency Securities, 7.76% was invested in certificates of deposit, 5.04% was  invested in FNMA Zero Coupon bonds, and 12.85% was invested in US Treasury Strips.    Net Pension Liability/(Asset)  The City’s net pension liability was measured as of December 31, 2019, and the total pension liability  used to calculate the net pension liability/(asset) of $(7,571,619) was determined by an actuarial  valuation as of that date.        2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-44   The plan’s fiduciary net position of $9,945,012 is 419% of the plan’s total pension liability at December  31, 2019.    Actuarial assumptions.  The total pension liability was determined by an actuarial valuation as of  December 31, 2019, using the following actuarial assumptions.     Inflation    2.25%   Salary increases  3.25%    Investment rate of return 2.75%   Actuarial cost method  Entry age normal    Mortality rates were based on the RP‐2000 Mortality Table (combined healthy) with generational  projection using 100% of Projection Scale BB, with ages set back one year for males and forward one  year for females (set forward two years for disabled members).  The long‐term expected rate of return on pension plan investments was determined using a building‐ block method in which best estimate ranges of expected future real rates of return (expected returns,  net of pension plan investment expense and inflation) are developed.  We used the weighted expected  returns of the City’s portfolio of cash, US Treasuries (to be held to maturity), and receivables to develop  the long‐term expected rate of return.  The best‐estimate range for the long‐term expected rate of return for each major asset class included in  the pension plan’s target asset allocation as of December 31, 2019, are summarized in the following  table:     Discount rate.  The discount rate used to measure the total pension liability was 2.75 %.  The projection  of cash flows used to determine the discount rate assumed City contributions were equal to revenue  received from Fire Insurance premiums and the amount received would increase at the inflation rate of  2.25%.  Based on this assumption, the pension plan’s fiduciary net position was projected to be available  to make all projected future benefit payment of current plan members. Therefore, the long‐term  expected rate of return on pension plan investments was applied to all periods of projected benefit  payments to determine the total pension liability.    Sensitivity of the net pension liability to changes in the discount rate.  The following presents the net  pension liability of the City, calculated using the discount rate of 2.75%, as well as what the City’s net  pension liability would be if it were calculated using a discount rate that is one percentage point lower  (1.75%), or one percentage point higher (3.75%), that the current rate.    2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-45     Pension Expense and Deferred Outflows or Resources and Deferred Inflows of Resources Related to  Pensions  As of December 31, 2019, the deferred inflows and outflows of resources are as follows:    Amounts reported as deferred outflows of resources and deferred inflows of resources related to  pensions will be recognized in pension expense as follows:    *Note that additional future deferred inflows and outflows of resources may impact these numbers.  The Firefighters’ Pension Plan is currently overfunded. Changes in the net pension asset and deferred  outflows resulted in a reduction of City pension expense in the amount of $365,476.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-46   NOTE 6.  OTHER POST EMPLOYMENT BENEFITS   General Information  The City implemented Governmental Accounting Standards Board (GASB) Statement 75, Accounting and  Financial Reporting for Postemployment Benefits Other Than Pensions for calendar year 2018 financial  reporting. Previously, the City accounted for its other postemployment benefit (OPEB) expenses related  to the Health Plan based on a computed annual required contribution (ARC) and an amount to amortize  unfunded actuarial accrued liabilities.    Plan Description  In accordance with the Revised Code of Washington (RCW) 41.26, the City administers a single‐employer  defined benefit healthcare plan (the Health Plan) for law enforcement officers and firefighters employed  prior to October 1, 1977. The City maintains a standalone internal service fund, LEOFF 1 Retirees  Healthcare Fund. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement  75.    The Health Plan’s actuary is Milliman, Inc.  The report may be obtained by contacting the City of Renton,  Finance Division, 1055 South Grady Way, Renton, WA 98057.  The Health Plan does not issue a separate  standalone financial report.  Benefits Provided  The Health Plan provides medical, prescription drug, dental, Medicare Part B premiums, long‐term care,  and vision expenses for LEOFF Plan 1 retirees. Dependent spouses and children are not covered. There  are currently 83 retirees covered under the plan and the plan is closed to new entrants.    Funding Policy  Funding for LEOFF 1 retiree healthcare costs is provided entirely by the City as required by the Revised  Code of Washington (RCW) 41.26. The City does not require retiree contributions.      OPEB Liability  The OPEB liability was determined by an actuarial valuation as of the valuation date, calculated based  on the discount rate below, and was then projected forward to the measurement date.  There have been  no significant changes between the valuation date and fiscal year ends.  The City’s total OPEB Liability of  $39,424,016 was measured as of December 31, 2019.     Total OPEB Liability        12/31/2018   12/31/2019              Total OPEB Liability    $ 43,028,675     $ 39,424,016   Covered employee  payroll    $                    ‐     $                    ‐   Total OPEB liability as of a  % of covered employee  payroll   N/A     N/A   2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-47   Actuarial Methods and Assumptions    An actuarial valuation was completed as of January 1, 2019. 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 and the actuarial value of assets, consistent with the long‐term perspective  of the calculations.      The Bond Buyer General Obligation 20‐bond municipal bond index for bonds that mature in 20 years is  2.74% as of December 26, 2019. Rounding to the nearest ¼% results in a discount of 2.75% as of the  December 31, 2019 measurement date. The Bond Buyer General Obligation 20‐bond municipal bond  index for bonds that mature in 20 years is 4.10% as of December 27, 2018. Rounding this to the nearest  ¼% results in a discount rate of 4% as of the December 31, 2018 measurement date.     Mortality rates were based on the following assumptions:    Service‐retired members were based on the RP‐2000 Mortality Table (combined healthy) with  generational projection using 100% of Projection Scale BB, with ages set back one year for males  and set forward one year for females.      Disabled members were based on the RP‐2000 Mortality Table (combined healthy) with  generational projection using 100% of Projection Scale BB, with ages set forward two years.       Valuation Date January 1, 2019 Measurement Date December 31, 2019 Actuarial Cost Method Entry Age Normal Amortization Method Actuarial Assumptions: Discount  Rate 2.75% Long Term Care Trend Rate 4.50% Projected Salary Changes 3.25% Inflation Rate 2.25% Medical and Dental Trend (before  inclusion of excise tax)Year Pre‐65 Post‐65 2019‐2020 6.00% 5.40% 2020‐2021 N/A 5.10% 2021‐2022 N/A 4.90% 2022‐2023 N/A 4.80% 2023‐2024 N/A 4.70% Grading down to an ultimate of 3.7% Medical Trend 5 year amortiation for investment  gains and losses. Immediate  recognition for the experience gains  and losses and assumption/input  changes. 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-48   Changes in the Total OPEB Liability  The following table presents the change in the total OPEB liability as of December 31, 2019.      Sensitivity of the total OPEB liability to Changes in the Discount Rate.      The following presents the total OPEB liability of the City as well as what the total OPEB liability would  be if it were calculated using trend rates that are 1% point lower or 1% point higher than the current  rate.      The following presents the total OPEB liability of the City, calculated using the current healthcare cost  trend rates as well as what the City’s total OPEB liability would be if it were calculated using trend rates  that are 1% point lower or 1% higher than the current trend rates.      OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources related to  OPEB    For the year ended December 31, 2019 the City recognized OPEB Expense of $2,113,924.  As of December  31, 2019 the City reported no deferred outflows or inflows of resources related to OPEB.       2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-49   NOTE 7.  CONTINGENCIES  The City is a defendant in various lawsuits.  Although the outcome of these lawsuits is not determinable  at this time, it is the opinion of City’s legal counsel, that the resolution of these matters will not have a  material adverse effect on the financial condition of the City and that the City’s insurance policies and/or  self‐insurance reserves are adequate to pay all known or pending claims.  The City participates in a number of federal and state assisted programs. These grants are subject to  program compliance audits by the Single Audit Act.  Such audits could result in reimbursement to grantor  agencies for expenditures disallowed under the terms of the grants. The amount of expenditure that  may be disallowed, if any, cannot be determined at this time and the City’s management believes that  such disallowances, if any, will be immaterial.  NOTE 8.  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, insurance and 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. There were no settlements in excess  of the insurance coverage in any of the three prior fiscal years.    The risk management internal service fund is funded by charges to the City of Renton’s other funds and  is based primarily upon the contributing funds’ claims experience. Liabilities of the fund are reported  when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated.   Liabilities include an amount for claims that have been incurred but not reported (IBNRs).  The result of  the process to estimate the claims liability is not an exact amount as it depends on many complex factors,  such as, inflation, changes in legal doctrines, and damage awards. Accordingly, claims are reevaluated  periodically to consider the effects of inflation, recent claim settlement trends (including frequency and  amount of pay‐outs), and other economic and social factors. The estimate of the claims liability also  includes amounts for incremental claim adjustment expenses related to specific claims and other claim  adjustment expense regardless of whether allocated to specific claims. Estimated recoveries, for  example from salvage or subrogation, are another component of the claims liability estimate.    The City's Risk Management Program is administered under the authority of the Human Resources and  Risk Management Administrator, with claims being processed by the carriers shown below.     An analysis of the insurance deductibles and self‐insured retention levels, limits of insurance, and  carriers for the major types of coverage are as follows:            2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-50   Type of Coverage  Risk   Retention  Occurrence Aggregate Amount Carrier  Property –   Expires 07/01/2020  $50,000 $200,000,000 (per  occurrence subject to  annual aggregate &  sub‐limits)    Alliant Property  Insurance  Program (APIP)  Cyber Liability –   Expires 07/01/2020      Pollution Liability ‐   Expires 07/01/2020   $50,000        $100,000  $2,000,000  (subject to sub‐ limits)    $2,000,000              (subject to sub‐ limits)     APIP         APIP    Liability –   Expires 01/01/2020    Liability –  Expires 01/01/2020      Liability –  Expires 01/01/2020    $250,000      $5,000,000        $20,000,000      $1,000,000  (per occurrence)    $20,000,000  (per occurrence)      $25,000,000  (per occurrence)  Safety National      Markel  (Evanston)/Allied  World    Hallmark  Specialty  Unmanned Aircraft Liability  Expires 01/01/2020    $0  $1,000,000  (per occurrence)  National Union  Fire  Auto Liability‐  Expires 01/01/2020    $250,000 $5,000,000   (subject to sub‐ limits)  Safety National  Casualty Corp  Auto Physical Damage  –  Expires 07/01/2020  $25,000   ACV or Replacement  Cost; per Occurrence  APIP       Equipment Breakdown –  Expires 07/01/2020    $10,000* $100,000,000 APIP  Employee Fidelity/Crime –   Expires 07/01/2020  $10,000 $2,500,000 National Union  Fire    Airport  Liability –   Expires 01/01/2020  $0 $100,000,000 National Union  Fire    Underground Storage Tank –  Expires 01/01/2020    $2,500 $1,000,000 Great American  Excess Workers’ Comp –  Expires 01/01/2020  $500,000 Statutory Safety National               * There is a 24‐hour utility interruption clause, prior to the deductible becoming applicable.     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-51   As of December 31, 2019, the City had accrued the following amounts for outstanding claims:              NOTE 9.  INTERFUND TRANSACTIONS    A. INTERFUND TRANSFERS  The following is the composition of interfund transfers for the year ended December 31, 2019:     Internal Service  Fund General  Municipal  Facilities CIP Capital  Improvement Municipal Art General Debt Waterworks  Utility Airport Equipment Rental Total Transfer Out: Governmental Funds: General ‐                         3,395,124      4,683,966             83,000                    5,253,827        ‐                  ‐           2,117,726                  15,533,643              Arterial Street 267,036                 ‐                  ‐                         ‐                           ‐                   ‐                  ‐           ‐                              267,036                    Comm. Dev. Impact Mitigation ‐                         1,200,000      ‐                         ‐                           ‐                   ‐                  ‐           ‐                              1,200,000                 Transportation Impact Mitigation ‐                         ‐                  2,324,200             ‐                           ‐                   ‐                  ‐           ‐                              2,324,200                 Municipal Facilities CIP 233,717                ‐                  525,591                ‐                           ‐                   6,378             ‐           ‐                              765,686                    Capital Improvement ‐                         ‐                  ‐                         19,000                    ‐                   ‐                 47,500     ‐                              66,500                      Enterprise Funds: Waterworks Utility ‐                         ‐                  ‐                         ‐                           ‐                   ‐                  ‐           113,218                      113,218                    Airport ‐                         ‐                  ‐                         ‐                           ‐                   ‐                  ‐           6,000                          6,000                        Golf ‐                  ‐                         ‐                           ‐                   ‐                  ‐           3,443                          3,443                        Internal Service Fund:‐                          Insurance 900,000                ‐                  ‐                         ‐                           ‐                   ‐                  ‐           ‐                              900,000                    Equipment Rental 12,714                  ‐                  ‐                         ‐                           ‐                   ‐                 ‐                              12,714                      Total 1,413,467             4,595,124      7,533,757             102,000                  5,253,827       6,378             47,500     2,240,387                  21,192,440              Governmental Funds Transfer In:  Enterprise Funds   Coverage Total Claims Payable  12/31/2019 Property & liability 185,210$                        Workers' compensation 507,612                          Employee health 1,497,800                       TOTAL 2,190,622$                    2019 Property &  Liability Workers'  Compensation Employee  Health Totals IBNR claims at beginning of the year 41,916$               417,735$             1,367,200$         1,826,850$          Current year and changes in estimates (1,042,478)          (327,314)             (6,907,144)          (8,276,936)           Claims payments 1,185,772           417,192               7,037,744           8,640,708            IBNR claims at end of the year 185,210$             507,612$             1,497,800$         2,190,622$          2018 Property &  Liability Workers'  Compensation Employee  Health Totals IBNR claims at beginning of the year 250,407$             657,108$             1,196,100$         2,103,615$          Current year and changes in estimates (1,527,098)          (479,682)             (9,467,321)          (11,474,101)        Claims payments 1,318,606           240,309               9,638,421           11,197,336          IBNR claims at end of the year 41,916$               417,735$             1,367,200$         1,826,850$          2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-52   During the year transfers were used to fund anticipated capital projects and equipment purchases.    All transfers either occur on a regular basis or are consistent with the purpose of the fund making the  transfer. Transfers that occur within the governmental funds are eliminated on the government‐wide  statement of activities.    The City made the following one‐time transfers during the year ending December 31, 2019:    1. $3.4 million transfer from the General Fund to the Municipal Facilities CIP Fund to fund the Family  First Community Center.  2. $1.2 million from the Community Development Impact Mitigation Fund to the Municipal Facilities  CIP fund to fund improvements to the Ron Regis Park and Sunset Park Development.  3. $83 thousand transfer from the General fund and $19 thousand from the Capital Improvement Fund   to the Municipal Art Fund to fund the Renton Loop Art Project.  4. $5.2 million transfer from the General Fund to the General Debt Fund to fund the annual debt  payments.    5. $1.5 million transfer from the General Fund to the Equipment Rental Fund to fund the purchase of  take home vehicles for Police.  6. $4.7 million transfer from the General Fund, $2.3 million from the Transportation Impact Mitigation  Fund and $525 thousand from the Municipal Facilities CIP fund to fund various transportation capital  projects such as Williams and Wells Conversion Project, Duvall Ave NE and Parks Ave Extension.  7. $267 thousand transfer from the Arterial Street fund to the General Fund to close this fund.  8. $233 thousand from the Municipal Facilities CIP fund to the General Fund for the tree maintenance  program.  9. $900 thousand transfer from the Insurance Fund to the General Fund to use the annexation sales tax  credit transition reserve set aside to support debt service obligations after the sales tax annexation  tax credit expired in 2018.    10. $47 thousand from the Capital Improvement Fund to the Airport Fund to fund the runway safety  project.  11. $6 thousand transfer from the Municipal Facilities Fund to the Waterworks Utility Fund for irrigation  design to the 16th St/Jefferson Ave planter strips.  12. Various transfers from the General Fund, enterprise funds, and the Insurance Fund to the Equipment  Rental Fund to fund previously unbudgeted equipment purchases.    B. INTERFUND RECEIVABLES AND PAYABLES  The composition of interfund receivables/ payables as of December 31, 2019 is as follows:    Due from/to:      Receivable Fund Payable Fund Amount  Waterworks Utility Airport Fund 332$                      REET 1 Tax General 1,143,855            REET 2 Tax General 1,143,855            Total 2,288,043$          2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-53   The outstanding balance between the General Fund and the REET 1 & 2 Funds results from the time lag  between the date the REET transaction was recorded in the accounting system and when the cash was  actually transferred.     The outstanding balance between the Waterworks Utility Fund and the Airport Fund results from the  time lag between when Airport purchases were made by the Waterworks Utility and when the cash was  actually transferred to the Waterworks Utility.     Advances from/to:        The amount payable from the Leased Facilities Fund was a working capital loan for tenant improvement  costs at the City’s 200 Mill building. The repayment of the loan will be funded with the future lease  revenue from the tenant.    NOTE 10.  LONG TERM DEBT    General Obligation Bonds  General obligation bonds are direct obligations of the City for which its full faith and credit are pledged.   Debt service for voter‐approved bonds, which the City has none, would be funded by special property  tax levies. Debt service for City Council authorized bonds (councilmatic bonds) is funded from regular  property taxes or general revenues, and is generally paid from debt service funds.    General Obligation Bonds outstanding at year‐end are as follows:     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.   2011 Limited Tax General Obligation bonds which funded the development and construction of  two new libraries.   2013 Limited Tax General Obligation qualified energy conservation bonds (QECB) which provided  funding for streetlight improvements.   2015 (A & B) Limited Tax General Obligation refunding bonds refunded a portion of the 2006  limited tax general obligation bonds for the construction of South Lake Washington infrastructure  improvements.   2019 Limited Tax General Obligation bonds which funded improvements to parks, trails and  recreational facilities in the City.     2019 Limited Tax General Obligation local revitalization financing bonds (LRF) which provided  funding for public infrastructure improvements in the South Lake Washington Revitalization  Area.       Receivable Fund Payable Fund Amount Due Within  One Year Internal Service ‐ Insurance Fund General Fund 175,000$          175,000$           Total 175,000$          175,000$           2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-54   Other intergovernmental debt, backed by the full faith and credit of the City:     2009 intergovernmental debt related to the Fire District #40 asset transfer as a result of the  Benson Hill annexation.   2019 intergovernmental debt which refunded the outstanding balance of the 2009 (A & B)  intergovernmental debt for the acquisition, construction and equipping of the SCORE facility.   Pursuant to a restated and amended interlocal agreement, the City is obligated to pay 40.96  percent of the debt service on the SCORE bonds.      Revenue Bonds  Revenue bonds are pledged from water, sewer, and storm revenues generated from the charges for  service revenues in those funds. The City is required by bond covenants to secure parity reserves for  these revenue bonds. The current parity reserves are $2,810,145.    Revenue Bonds outstanding at year‐end are as follows:     2012 Water/Sewer Revenue Refunding Bonds (Ordinance #5672) were issued in the amount of  $9,190,000 and dated December 7, 2012. The average interest rate is 2.5%.  These bonds were  issued for the purpose of refunding a portion of the 2004 Water/Sewer Revenue Bonds.   2016 Water/Sewer Revenue Refunding Bonds (2008A) (Ordinance #5812) were issued in the  amount of $9,385,000 and dated October 20, 2016. The average interest rate is 1.73%.  These  bonds were issued for the purpose of refunding a portion of the 2008 (A) Water/Sewer Revenue  Bonds (Exempt).   2017 Water/Sewer Revenue Refunding Bonds (2007 & 2007 Ref) (Ordinance #5846) were issued  in the amount of $6,283,168 and dated September 6, 2017. The average interest rate is 1.85%.  These bonds were issued for the purpose of partially refunding the 2007 Water/Sewer Revenue  Bonds and 2007 Water/Sewer Revenue Refunding Bonds (02).    State of Washington Public Works Trust Fund Loans (PWTFL)  PWTFL are the direct responsibility of the City. At year‐end the City has three outstanding loans, with a  remaining balance of $1,552,448. All of the remaining loans are for water capital improvements.  Remaining loans are pledged from water system revenues.    PWTFL outstanding at year‐end are as follows:     Maplewood Water Treatment Improvement loan was to fund the costs to eliminate quality  problems in water from the Maplewood wellfield wells.   CT Pipeline for Wells RW‐1, RW‐2 and RW‐3 loan was to construct the CT detention pipeline for  wells RW‐1, RW‐2 and RW‐3 at Liberty Park.   Maplewood Drinking Water Treatment Improvement loan was to construct the drinking water  treatment improvements at Maplewood.     Compensated Absences  Compensated absences are paid by those funds that have employees. These are mostly payable from  the General Fund and Waterworks Utility Fund.  2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-55   Capital Leases  The City leases certain machinery and equipment. These lease payments are payable from the  Equipment Rental Fund.    The following schedules summarize the long‐term debt transactions of the City for the year ended  December 31, 2019. The first two tables reflect total annual debt service requirements to maturity, while  the third table provides detailed information on all long‐term debt.            Year Principal Interest Principal Interest 2020 5,938,442               2,540,427               215,000                  62,307                      2021 6,163,822               2,315,726               215,000                  55,384                      2022 3,638,931               2,037,015               215,000                  48,461                      2023 2,929,586               1,877,455               215,000                  41,538                      2024 3,052,631               1,754,374               215,000                  34,615                      2025‐2029 15,431,140            6,707,591               860,000                  69,230                      2030‐2034 11,550,864            3,766,662               ‐                           ‐                            2035‐2039 11,415,530            1,337,476               ‐                           ‐                            2040‐2044 1,805,000               184,200                  ‐                           ‐                            Totals 61,925,946            22,520,926            1,935,000               311,535                   Bonds Bonds ‐ Direct Placements Governmental Activities Year Principal Interest Principal Interest Principal Interest 2020 280,000                  260,700                  2,005,000               201,853                  345,818                  7,762                        2021 295,000                  252,300                  2,035,000               165,223                  345,818                  6,033                        2022 305,000                  243,450                  2,070,000               128,255                  315,517                  4,304                        2023 1,470,000               234,300                  1,015,000               90,652                     272,647                  2,726                        2024 1,515,000               190,200                  1,030,000               73,093                     272,648                  1,363                        2025‐2029 4,825,000               292,350                  3,195,000               111,239                  ‐                           ‐                            Totals 8,690,000               1,473,300               11,350,000            770,315                  1,552,448               22,189                      Revenue Bonds‐ Direct PlacementsBonds Business‐Type Activities Loans ‐ Direct Borrowings 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-56       The outstanding loans from direct borrowings related to business‐type activities of $60,602 and  $128,610 contain (1) a provision that in the event of default, outstanding amounts become immediately  due if the City is unable to make payment and (2) a provision that if the City fails to comply with the  terms of the agreement or fails to use the loan proceeds for the identified activities, the loan agreement  will be terminated and the remaining balance become immediately due.      Issue Name Interest Rates Maturity Date Original Issue  Amount Beginning  Balance  01/01/2019 Additions Deductions Ending Balance  12/31/2019 Due Within  One Year GOVERNMENTAL‐TYPE DEBT: Limited General Obligation Bonds: 2010 GO Refunding Bonds 3.00%‐4.50% 12/1/2021  $          6,170,000 4,585,000$          ‐                      1,460,000$       3,125,000$         1,530,000$        2011 GO Library Bonds 2.00%‐5.00% 12/1/2022            16,715,000 6,160,000            ‐                      1,700,000         4,460,000           1,780,000          2015 (A) GO S LK WA Infr Refunding (BQ) 3.00%‐4.00% 12/1/2028              8,825,000 8,825,000            ‐                      ‐                      8,825,000           275,000              2015 (B) GO S LK WA Infr Refunding (Tax)0.50%‐2.07% 12/1/2020              3,695,000 1,525,000           ‐                      890,000             635,000               635,000              2019 GO Parks Bonds 3.00%‐5.00% 12/1/2038            12,960,000 ‐                        12,960,000       265,000             12,695,000         425,000              2019 GO LRF Bonds (Transportation) 3.00%‐5.00% 12/1/2043              7,885,000 ‐                        7,885,000         285,000             7,600,000           180,000              Unamortized (discount)/premium 1,460,089           2,593,852         330,320             3,723,621            ‐                                  56,250,000 22,555,089         23,438,852       4,930,320         41,063,621         4,825,000          General Obligation Bonds from Direct Placements: 2013 GO QECB 3.22% 7/1/2028              3,200,000 2,150,000            ‐                      215,000             1,935,000           215,000                           3,200,000               2,150,000 ‐                                     215,000               1,935,000                215,000  2009 FD 40 Loan for acquisition of  FS13 3.75% 9/1/2028              6,798,085 4,026,764            ‐                      352,946             3,673,818           365,922              2009 (A) SCORE Tax Exempt 4.00%‐5.00% 1/1/2022              2,953,800 991,800                ‐                      991,800              ‐                        ‐                       2009 (B) SCORE BABS 3.00%‐6.62% 1/1/2039            28,090,800 24,791,400         ‐                      24,791,400       ‐                        ‐                       2019 SCORE Refunding Bonds 3.00%‐5.00% 12/1/2038            20,912,128 ‐                        20,912,128        ‐                      20,912,128         747,520              Total Intergovernmental Debt            58,754,813            29,809,964          20,912,128          26,136,146            24,585,946             1,113,442  Other Long‐Term Liabilities: Employee Leave Benefits ‐ Compensated Absences 3,592,303           3,109,599         2,584,725         4,117,177           2,981,721          Other Post Employment Benefits (OPEB)* 43,028,675          ‐                      3,604,659         39,424,016         ‐                       Net Pension Liability 13,978,719         ‐                      3,472,947         10,505,772         ‐                       Capital Leases 3.33% 12/1/2019                  169,245 35,849                 ‐                      33,244               2,605                    2,605                   Total Other Long‐Term Liabilities                  169,245 60,635,546         3,109,599         9,695,575         54,049,570         2,984,326          118,374,058$     115,150,599$    47,460,579$     40,977,042$     121,634,136$    9,137,768$        BUSINESS‐TYPE DEBT:  Revenue Bonds: 2012 Water/Sewer Refunding 2.00%‐3.00% 12/1/2027  $          9,190,000 8,910,000$          ‐                      220,000$           8,690,000$         280,000$            Unamortized (discount)/premium 455,572                ‐                      50,619               404,953                ‐                       Total Revenue Bonds 9,190,000            9,365,572            ‐                      270,619             9,094,953           280,000              Revenue Bonds from Direct Placements: 2016 Water/Sewer Refunding (2008A) 1.73% 12/1/2027              9,385,000 8,445,000            ‐                      740,000             7,705,000           800,000              2017 Water/Sewer Refunding (2007 & 2007 Ref) 1.85% 12/1/2022              6,283,168 4,930,000            ‐                      1,285,000         3,645,000           1,205,000          Total Revenue Bonds from Direct Placements 15,668,168         13,375,000          ‐                      2,025,000         11,350,000         2,005,000          Loans from Direct Borrowings: Public Works Trust Fund Loans: Maplewood Water Treatment Improvement 0.50% 7/1/2021                  567,831 90,903                  ‐                      30,301               60,602                 30,301                Construct CT Pipeline for Wells 0.50% 7/1/2022                  814,527 171,480                ‐                      42,870               128,610               42,870                Maplewood Water Treatment Improvement 0.50% 7/1/2024              5,150,000 1,635,883           ‐                      272,647             1,363,236           272,647                           6,532,358 1,898,266           ‐                      345,818             1,552,448           345,818              Other Long‐Term Liabilities: Employee Leave Benefits ‐ Compensated Absences 692,764               491,073             482,587             701,250               484,623              Net Pension Liability 4,030,118           ‐                      883,165             3,146,953           ‐                       Total Other Long‐Term Liabilities 4,722,882           491,073             1,365,752         3,848,203           484,623               $       15,722,358 29,361,720$       491,073$           4,007,189$       25,845,604$       3,115,441$         $     134,096,416  $     144,512,319  $     47,951,652  $     44,984,231  $     147,479,740  $     12,253,209  *GASB Statement Number 75 changed OPEB reporting from net to total Schedule of Changes of Long‐Term Debt TOTAL ALL FUNDS TOTAL BUSINESS‐TYPE DEBT TOTAL GOVERNMENTAL‐TYPE DEBT  Total Loans from Direct Borrowingss Total General Obligation Bonds Other Intergovernmental ‐ Backed by full faith and credit of the City: Total General Obligation Bonds from Direct Placements 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-57   Debt Limit Capacity  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 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 16 in the Statistical Section shows the computation of legal debt margin for general and  special purpose capacities for the City of Renton.    Estimated Arbitrage Rebate  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 2019.    Issued/Refunded Debt  On December 11, 2019, the South Correctional Entity Facility Public Development Authority issued  $51,055,000 in 2019 SCORE Refunding Bonds (2009 A & B) with an average interest rate of 4.00% to  advance refund $71,620,000 of outstanding 2009 SCORE Tax Exempt and 2009 SCORE BABS. The  proceeds, together with other legally available funds, were used to defease the original bond. The City’s  portion of the issuance was $20,912,128.      NOTE 11.  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, both of which are sanctioned by the  provisions and terms of the Interlocal Cooperation Act pursuant to Chapter 39.34 RCW.      VALLEY COMMUNICATIONS CENTER  The Valley Communications Center (Valley Com) 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 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 Com, 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, 20, 44,  47; City of Pacific Police Department; City of Black Diamond Police Department; City of Des Moines Police  Department; City of Algona Police Department; Enumclaw Fire; Valley Regional Fire Authority; North  Highline Fire Department; South King Fire & Rescue; Vashon Island Fire & Rescue; King County Airport;  Puget Sound Regional Fire Authority; Renton Regional Fire Authority, KC Sheriff’s Office; and KC Medic  One.  Separate agreements between Valley Com and the subscribing agencies have been executed,  which set forth conditions of services and rates charged.    2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-58   The City made payments totaling $2,805,968 to support Valley Com’s operating costs during the year  ended December 31, 2019.    The City reports its share of equity interest in the Governmental Activities column within the  Government‐wide financial statements under non‐current assets – investments in joint ventures.  The  following is condensed financial information as of December 31, 2019 related to Valley Communications  Center:      Complete Financial Statements for Valley Com can be obtained from the Valley Communications Center,  23807 – 98th Avenue South, Kent, WA  98031.    SOUTH CORRECTIONAL ENTITY (SCORE)  The South Correctional Entity (SCORE), a consolidated correctional facility, was established February 25,  2009, when an interlocal agreement was entered into by seven participating municipal governments  (“owner cities”) of Auburn, Burien, Des Moines, Federal Way, Renton, SeaTac and Tukwila. This  agreement was amended and restated October 1, 2009 and named the City of Des Moines as the “host  city”. Pursuant to a separate “Host City Agreement” dated October 1, 2009, the host city will not enjoy  the same equity position as the original owner cities until all debts issued are paid and the host city fulfills  all of its obligations as outlined in the Agreement.  On December 11, 2019, the internal local agreement  was again amended to reflect the withdrawal of Federal Way as an owner city and added the City of Des  Moines as an owner city, terminating the host city agreement.  The internal local agreement also  included other revisions to provide the issuance of bonds to refund the 2009 bonds.    The purpose of the interlocal operation, SCORE, is to serve the Member Cities and Subscribing Agencies  which are in need of correctional facilities. SCORE provides 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. Separate agreements between  SCORE and subscribing agencies have been executed, which set forth conditions of services and rates  charged.         Member City Percent of Equity 2018 Equity Balance 2019 Distribution 2019 Equity Balance Auburn 21.76% 6,040,861$                592,819$                    6,633,680                    Federal Way 17.88% 4,904,391                   547,205                      5,451,596                    Kent 28.86% 8,090,075                   707,890                      8,797,965                    Renton 21.10% 5,882,812                   548,074                      6,430,886                    Tukwila 10.40% 2,950,969                   218,376                      3,169,345                    Grand Totals 100.00% 27,869,108$              2,614,364$                30,483,472$               Valley Communications Center 2019 Owner Cities Equity Allocation 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-59   Financing for the acquisition, construction, equipping, and improvement of the SCORE Facility was  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 development project. As previously mentioned  SCORE  issued refunding bonds on December 11, 2019 in the amount of $51,055,000 (2019 Bonds). The proceeds  of the 2019 bonds were used together with a contribution from Federal Way to fully pay its 2009 Capital  Contribution, to defease and refund all of the outstanding 2009 bonds.  Federal Way has also reduced  their owner equity balance to zero in 2019 and no longer holds responsibility for any long‐term debt.    The following is a summary of the debt service requirements, for each owner city:        The City of Renton made payments totaling $5,765,973 to support SCORE’s operating costs during the  year ended December 31, 2019.       Auburn Burien Des Moines Renton SeaTac Tukwila Year 34.94%4.82%6.02%40.96%3.62%9.64% 2020 1,365,518                  188,374                     235,272                                1,600,791                  141,476                     376,749                      2021 1,366,049                  188,448                     235,364                                1,601,413                  141,531                     376,895                      2022 1,366,538                  188,515                     235,448                                1,601,987                  141,582                     377,030                      2023 1,365,979                  188,438                     235,352                                1,601,331                  141,524                     376,876                      2024 1,366,119                  188,457                     235,376                                1,601,495                  141,538                     376,914                      2025‐2029 6,830,246                  942,238                     1,176,820                             8,007,066                  707,656                     1,884,475                   2030‐2034 6,830,980                  942,339                     1,176,946                             8,007,926                  707,732                     1,884,678                   2035‐2038 5,463,515                  753,696                     941,338                                6,404,854                  566,054                     1,507,392                   Totals 25,954,944$             3,580,505$               4,471,916$                          30,426,863$             2,689,093$               7,161,009$                Debt Service Allocation to Owner Cities 2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-60   The City reports its share of equity interest in the Governmental Activities column within the  Government‐wide financial statements under non‐current assets – investments in joint ventures. The  following is condensed financial information as of December 31, 2019 related to SCORE:        Complete financial statements for SCORE and SCORE PDA can be obtained at SCORE, 20817 17th Avenue  South, Des Moines, WA 98198.    NOTE 12.  AIRPORT LEASES    The majority of the Municipal Airport’s revenue is derived from leases which convey the right to use land  and various airport facilities which are accounted for as operating leases. Minimum future rental on non‐ cancellable operating leases are as follows:                                  Of the amounts shown above, one tenant comprises 60% of all future minimum lease rentals. The  tenant’s multiple leases expire in 2030.       Member City Percent of Equity 2018 Equity  Balance 2019 Distribution 2019 Equity  Balance Auburn 42.75% 4,097,405$             9,388,551$             13,485,956$            Burien 5.21% 526,262                   1,116,489               1,642,751                Des Moines 4.65% 341,845                   1,123,593               1,465,438                Federal Way 0.00% 3,485,570               (3,485,570)              ‐                             Renton 31.93% 4,157,539               5,913,244               10,070,783              SeaTac 7.59% 719,440                   1,675,971               2,395,411                Tukwila 7.87% 1,031,108               1,450,471               2,481,579                Grand Totals 100.00% 14,359,169$           17,182,749$           31,541,918$            South Correctional Entity (SCORE) 2019 Owner Cities Equity Allocation For the Year Ended  December 31: 2020 2,754,133$       2021 2,768,795          2022 2,768,280          2023 2,641,727          2024 2,564,921          Thereafter 20,490,391       33,988,247$     2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-61   A summary of assets leased or available for tenant use is as follows:                        NOTE 13.  CAPITAL LEASE    In December, 2014 the City entered into a lease agreement as lessee for financing the acquisition of  three Xerox copiers valued at $169,245. The equipment has a five year estimated useful life. This year,  $33,849 was included in depreciation expense and accumulated depreciation at December 31, 2019 was  $169,245.    The future minimum lease obligations and the net present value of these lease payments as of December  31, 2019, were as follows:      NOTE 14.   TAX ABATEMENT    As of December 31, 2019, the City provides tax abatements through two programs ‐ the Affordable Multi‐ Family Housing Property Tax Exemption and the New Job Business & Occupation Tax Credit.    Multifamily Housing Property Tax Exemption  Under the provisions of the Preservation Tax Exemption program (RCW 84.14), the City has taken  advantage of the option to provide targeted property tax exemption to existing property owners who  agree to restrict rents and provide income‐eligibility for a portion of the units within their properties.   The purpose of this program incentivizes the creation of affordable and improved housing quality and  prevent displacement for citizens that are in the most need. The City has a comprehensive program that  has specific parameters for project eligibility and duration of exemption.      Provided a property meets the eligibility criteria and the property owner continues to fulfill the  requirements of affordable housing, the property will receive a property tax exemption on the appraised  value of improvements, regardless of assessed valuation. This exemption is not extended to the  appraised value of land or non‐eligible improvements on the same parcel. Eligibility criteria includes, at  a minimum: the property owner must provide affordable housing to low‐income households for 20% of  the multi‐units available for rent and the property must be located in one of the designated “residential  target areas”.       Cost 28,170,047$   Less: Accumulated Depreciation (10,081,779)    Carrying Value 18,088,268$   Year ending December 31: Governmental Activities 2020 2,605$            Total 2,605              Less amount representing interest ‐                   Present value of minimum lease payments 2,605$            2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-62   All exemptions granted after July 2007 range from 8‐12 years depending on the exemption option  selected.  There are no provisions to recapture abated taxes. As of December 31, 2019 the City has  thirteen projects that are subject to property tax abatement.    New Jobs Business & Occupation Tax Credit  The purpose of the New Jobs Business & Occupation Tax Credit is to provide a temporary tax credit  relating to new businesses to encourage business growth or relocation into the City.  In order to qualify  for the tax credit, businesses must create fifty or more new full time employment positions in the first  year of business in the City.  The credit is equal to one thousand dollars for each new full‐time  employment position created and is used to reduce the amount of Business & Occupation tax owed by  the business.  A business may claim the credit under this program for the first twelve consecution  reporting quarters or three reporting years.     Tax Abatement Program Tax abated in the fiscal year ending 12/31/2019 Property Tax Exemption for Affordable Multi-Family Housing $ 613,719 New Jobs Business & Occupation Tax Credit $ 120,792     State of Washington Sales Tax Exemptions  The State of Washington has tax abatements that allow for sales/use tax exemptions and deferrals.    Purchases for computer hardware, computer peripherals, or software used primarily in the  development, design and engineering of aerospace products or providing aerospace services or sales are  exempt from sales and use tax per RCW  82.08.975 and 82.12.975.  The exemption also applies to sales  of labor and services rendered in respect to installing the computer hardware, peripherals or software  used to develop or design aerospace products.    The eligible purchaser must present a Buyers’ Retail  Sales Tax Exemption Certificate to the seller at the time of purchase.      The State of Washington is prohibited by the law to disclose detail on the amount of abatements  provided under these exemption and deferrals.    NOTE 15.  SUBSEQUENT EVENTS    In February 2020, the Governor of the state of Washington declared a state of emergency in response  to the spread of a deadly new virus. In the weeks following the declaration, precautionary measures to  slow the spread of the virus have been ordered. These measures include closing schools, colleges and  universities, cancelling public events, prohibiting public and private gatherings, and requiring people to  stay home unless they are leaving for an essential function.        2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-63   The City of Renton issued a proclamation of local emergency on March 6, 2020 in order to support  measures that may be needed in order to protect public health, safety and welfare within the City. On  March 11, 2020 an emergency order was issued to close public facilities, including recreations centers  and City Hall, and on March 23, 2020 the City closed outdoor recreations facilities including parks,  playgrounds, and the Maplewood Golf Course.      City Services continued to be offered online such as applications for permits and business licensing and  payment of utility bills. In line with the Governors orders, extensions to pay utility bills and taxes were  granted to our business and residential community along with waiving any penalties for late payment.   The City estimates a possible reduction in revenues of approximately 18% for the General Fund and  approximately 5% for the Waterworks Utility Fund. The policy team immediately made decisions to  reduce discretionary funding, delay hiring for vacant positions, eliminate out of state travel and training,  reduce staff overtime, identify capital improvement projects that could be eliminated or deferred and is  participating in the shared work program for furloughed employees. The City has continued efforts to  pursue funding from federal and state governments. The City has also increased support of local  businesses such as helping to identify city, state and federal economic relief programs.     The length of time these measures will be in place and the full extent of the financial impact on the City  is unknown at this time.    2019 Comprehensive Annual Financial Report City of Renton, Washington Basic Financial Statements, 4-64 Variance with Original Final Actual Final Budget REVENUES Taxes  $                72,634,628  $                84,027,220  $                84,629,363  $                      602,143  Licenses and permits                       6,012,360                        5,412,360                        5,730,457                           318,097  Intergovernmental revenues                       3,760,592                        5,462,108                        5,414,357                            (47,751) Charges for services                       9,120,191                        9,291,414                        9,354,477                             63,063  Fines and forfeits                       4,259,187                        4,907,750                        4,688,193                          (219,557) Contributions                          125,204                           224,183                           209,625                            (14,558) Interest revenue                          830,000                        1,130,000                        1,388,265                           258,265  Miscellaneous revenue                       1,670,367                        1,876,368                        2,079,237                           202,869  Total revenues                     98,412,529                  112,331,403                   113,493,974                       1,162,571  EXPENDITURES Current: General government                     15,328,001                      15,500,888                      14,051,281                        1,449,607  Judicial                       3,096,159                        3,453,989                        3,162,916                           291,073  Public safety                     40,921,326                      42,832,792                      42,841,721                              (8,929) Utilities                          488,799                           489,541                           464,237                             25,304  Transportation                     11,997,732                      11,748,858                      11,500,768                           248,090  Economic environment                       9,578,999                        9,495,714                        8,595,014                           900,700  Health and human services                       2,241,127                        2,785,519                        2,515,683                           269,836  Culture and recreation                     12,999,622                      14,459,799                      13,130,017                        1,329,782  Total current                     96,651,765                   100,767,100                     96,261,637                        4,505,463  Capital outlay: General government                                       ‐                                        ‐                             27,188                            (27,188) Public safety                                       ‐                                        ‐                             23,283                            (23,283) Transportation                               5,200                                5,200                                        ‐                                5,200  Economic environment                                       ‐                        1,002,968                             82,163                           920,805  Culture and recreation                                       ‐                             50,000                             12,243                             37,757  Total capital outlay                               5,200                        1,058,168                           144,877                           913,291  Debt service: Principal payment                          175,000                           175,000                           175,000                                        ‐  Total debt service                          175,000                           175,000                           175,000                                        ‐  Total expenditures                     96,831,965                  102,000,268                      96,581,514                       5,418,754  Excess (deficiency) of revenues over expenditures                       1,580,564                      10,331,135                      16,912,460                        6,581,325  OTHER FINANCING SOURCES (USES) Transfer in                          900,000                      13,229,818                      13,242,532                             12,714  Transfers out                     (4,393,000)                  (31,793,281)                  (27,362,708)                      4,430,573  Insurance Recoveries                                       ‐                                        ‐                             10,949                             10,949  Total other financing sources (uses)                    (3,493,000)                  (18,563,463)                  (14,109,227)                      4,454,236  Net change in fund balances                     (1,912,436)                    (8,232,328)                      2,803,233                      11,035,561  FUND BALANCE ‐ JANUARY 1                     30,807,162                      44,542,987                      52,059,775                        7,516,788  FUND BALANCE ‐ DECEMBER 31  $                28,894,726  $                36,310,659  $                54,863,008  $                18,552,349  Budgeted Amounts City of Renton General Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-1 NOTES TO SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – GENERAL FUND  NOTE 1. BUDGETARY BASIS OF ACCOUNTING    The City of Renton’s biennial budget procedures are mandated by the Chapter 35A.33 of the Revised  Code of Washington (RCW). The budget, as adopted, constitutes the legal authority for expenditures.  The biennial 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. Adopted budgets lapse at year‐end and must be re‐appropriated  (carried forward) the next fiscal year.     The Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual is presented  on a budgetary basis (non‐GAAP). The budgetary basis of accounting is substantially the same as the  modified accrual basis of accounting in all governmental funds except for the following differences:     Perspective differences – the General Fund is structured differently for budgeting purposes than  it is for reporting under GAAP. The Schedule of Revenues, Expenditures, and Changes in Fund  Balance – Budget and Actual for the General Fund is presented on the budgetary basis for the  legally adopted budget of the General Fund. The differences are as follows:  o The City maintains various management funds that are reported within the General Fund.  Consolidation of the funds results in the elimination of transfers between the  consolidated funds for GAAP reporting.    Basis differences – certain payments and receipts are budgeted for in a manner that is  inconsistent with GAAP:  o Interfund payments for indirect cost allocations and reimbursement of payroll costs  associated with capital projects are budgeted as interfund revenues, however, these  payments are reclassified as a reduction of the expenditure for GAAP reporting.  o Interfund loan payments are budgeted as debt service expenditures, however, these  payments are reclassified as a reduction of the interfund loan payable for GAAP reporting.   2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-2 NOTES TO SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – GENERAL FUND    A reconciliation of Revenues, Expenditures, and Changes in Fund Balance budgetary basis to GAAP  basis is as follows:    Perspective  Difference General Sub‐fund  Consolidation Interfund  Revenues  Interfund  loan  payment Total Basis  Differences Total GAAP Basis REVENUES Taxes  $   84,629,363  $                       ‐   $                  ‐   $                 ‐   $                  ‐   $   84,629,363  Licenses and permits         5,730,457                            ‐                        ‐                      ‐                        ‐          5,730,457  Intergovernmental revenues         5,414,357                            ‐                        ‐                      ‐                        ‐          5,414,357  Charges for services         9,354,477                            ‐      (4,047,254)                    ‐     (4,047,254)        5,307,223  Fines and forfeits         4,688,193                            ‐                        ‐                      ‐                        ‐          4,688,193  Contributions             209,625                            ‐                        ‐                      ‐                        ‐              209,625  Interest revenue         1,388,265                            ‐                        ‐                      ‐                        ‐          1,388,265  Miscellaneous revenue         2,079,237                            ‐                        ‐                      ‐                        ‐          2,079,237  Total revenues     113,493,974                            ‐      (4,047,254)                    ‐     (4,047,254)    109,446,720  EXPENDITURES Current: General government       14,051,281                            ‐      (1,758,108)                    ‐     (1,758,108)      12,293,173  Judicial         3,162,916                            ‐                        ‐                      ‐                        ‐          3,162,916  Public safety       42,841,721                            ‐                        ‐                      ‐                        ‐        42,841,721  Utilities             464,237                            ‐         (219,785)                    ‐        (219,785)            244,452  Transportation       11,500,768                            ‐         (865,956)                    ‐        (865,956)      10,634,812  Economic environment         8,595,014                            ‐         (891,233)                    ‐        (891,233)        7,703,781  Health and human services         2,515,683                            ‐                        ‐                      ‐                        ‐          2,515,683  Culture and recreation       13,130,017                            ‐         (312,172)                    ‐        (312,172)      12,817,845  Total current       96,261,637                            ‐      (4,047,254)                    ‐     (4,047,254)      92,214,383  Capital outlay: General government               27,188                            ‐                        ‐                      ‐                        ‐                27,188  Public safety               23,283                            ‐                        ‐                      ‐                        ‐                23,283  Economic environment               82,163                            ‐                        ‐                      ‐                        ‐                82,163  Culture and recreation               12,243                            ‐                        ‐                      ‐                        ‐                12,243  Total capital outlay             144,877                            ‐                        ‐                      ‐                        ‐              144,877  Debt service: Principal payment             175,000                            ‐                        ‐       (175,000)       (175,000)                         ‐  Total debt service             175,000                            ‐                        ‐       (175,000)       (175,000)                         ‐  Total expenditures       96,581,514                            ‐      (4,047,254)      (175,000)    (4,222,254)      92,359,260  Excess (deficiency) of revenues over  expenditures       16,912,460                            ‐                        ‐         175,000          175,000       17,087,460  OTHER FINANCING SOURCES (USES) Transfers in       13,242,532        (11,829,065)                      ‐                      ‐                        ‐          1,413,467  Transfers out      (27,362,708)       11,829,065                        ‐                      ‐                        ‐       (15,533,643) Insurance Recoveries               10,949                            ‐                        ‐                      ‐                        ‐                10,949  Total other financing sources (uses)     (14,109,227)                          ‐                        ‐                      ‐                        ‐       (14,109,227) Net change in fund balances  $     2,803,233  $                       ‐   $                  ‐   $    175,000  $     175,000  $     2,978,233  Basis Differences   2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-3 City of Renton Schedule of the City's Proportionate Share of the Net Pension Liability/(Asset) Measurement Date of June 30 * Last 10 Fiscal Years PERS Plan 1 2019 2018 2017 2016 2015 2014 City's proportion of the net pension liability/(asset)0.268500% 0.271486% 0.282530% 0.276331% 0.275830% 0.273241% City's proportionate share of the net pension  liability/(asset)**10,324,778$     12,124,657$     13,406,269$     14,840,276$     14,428,474$  13,764,644$   City's covered payroll 37,595,653$     36,344,451$     35,481,222$     32,889,898$     31,005,185$  29,656,856$   City's proportionate share of the net pension  liability/(asset) as a percentage of its covered  payroll 27.46% 33.36% 37.78% 45.12% 46.54% 46.41% Plan fiduciary net position as a percentage of the  total pension liability 67.12% 63.22% 61.24% 57.03% 59.10% 61.19% * This schedule will be built prospectively until it contains ten years of data. ** 2016 amount includes $280,481 in net pension liability transferred to the RFA on 6/30/16 to avoid skewing percentage of  covered payroll ratio. 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-4 City of Renton Schedule of the City's Proportionate Share of the Net Pension Liability/(Asset) Measurement Date of June 30 * Last 10 Fiscal Years PERS Plan 2/3 2019 2018 2017 2016 2015 2014 City's proportion of the net pension liability/(asset)0.342614% 0.344584% 0.356727% 0.343835% 0.345072% 0.337183% City's proportionate share of the net pension  liability/(asset)**3,327,947$       5,883,465$       12,394,558$     17,311,821$     12,329,619$     6,815,686$        City's covered payroll 37,260,677$     36,036,413$     35,045,479$     32,370,185$     30,618,109$     29,147,610$      City's proportionate share of the net pension  liability/(asset) as a percentage of its covered  payroll 8.93% 16.33% 35.37% 53.48% 40.27% 23.38% Plan fiduciary net position as a percentage of the  total pension liability 97.77% 95.77% 90.97% 85.82% 89.20% 93.29% * This schedule will be built prospectively until it contains ten years of data. ** 2016 amount includes $327,194 in net pension liability transferred to the RFA on 6/30/16 to avoid skewing percentage of  covered payroll ratio. 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-5 City of Renton Schedule of the City's Proportionate Share of the Net Pension Liability/(Asset) Measurement Date of June 30 * Last 10 Fiscal Years PSERS Plan 2 2019 2018 2017 2016 2015 2014 City's proportion of the net pension liability/(asset)0.055527% 0.057762% 0.065808% 0.065158% 0.042991% 0.464430% City's proportionate share of the net pension  liability/(asset)(7,221)$              716$                   27,967$             11,892$             7,846$               (6,725)$               City's covered payroll 255,388$           226,589$           233,001$           211,427$           124,200$           125,311$            City's proportionate share of the net pension  liability/(asset) as a percentage of its covered  payroll ‐2.83%0.32% 12.00%5.62%6.32%‐5.37% Plan fiduciary net position as a percentage of the  total pension liability 101.85% 99.79% 90.41% 95.08% 95.08% 105.01% * This schedule will be built prospectively until it contains ten years of data. 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-6 City of Renton Schedule of the City's Proportionate Share of the Net Pension Liability/(Asset) Measurement Date of June 30 * Last 10 Fiscal Years LEOFF Plan 1 2019 2018 2017 2016 2015 2014 City's proportion of the net pension liability/(asset)0.235664% 0.233551% 0.235931% 0.231059% 0.229885% 0.225836% City's proportionate share of the net pension  liability/(asset)**(4,658,161)$      (4,240,123)$      (2,430,764)$      (2,784,772)$      (2,770,622)$      (2,738,919)$       State's proportionate share of the net pension  liability/(asset) associated with the City (31,507,679)      (28,680,087)      (24,212,271)      (16,524,364)      (18,740,418)      (18,525,980)       Total (36,165,840)$    (32,920,210)$    (26,643,035)$    (19,309,136)$    (21,511,040)$    (21,264,899)$     City's covered payroll ‐$                        ‐$                        ‐$                        ‐$                        ‐$                        ‐$                         City's proportionate share of the net pension  liability/(asset) as a percentage of its covered  payroll N/A N/A N/A N/A N/A N/A Plan fiduciary net position as a percentage of the  total pension liability 148.78% 144.42% 123.74% 127.36% 127.36% 127.36% * This schedule will be built prospectively until it contains ten years of data. ** 2016 amount includes $1,325,025 in net pension asset transferred to the RFA on 6/30/16 to avoid skewing percentage of  covered payroll ratio. 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-7 City of Renton Schedule of the City's Proportionate Share of the Net Pension Liability/(Asset) Measurement Date of June 30 * Last 10 Fiscal Years LEOFF Plan 2 2019 2018 2017 2016 2015 2014 City's proportion of the net pension liability/(asset)0.445635% 0.451824% 0.468330% 0.947284% 0.954715% 0.947521% City's proportionate share of the net pension  liability/(asset)**(10,323,995)$    (9,173,012)$      (2,723,948)$      (9,736,185)$      (9,812,561)$      (12,574,011)$     State's proportionate share of the net pension  liability/(asset) associated with the City (6,760,833)        (5,939,352)        (4,215,723)        (1,592,656)        (925,241)            (870,262)             Total (17,084,828)$    (15,112,364)$    (6,939,671)$      (11,328,841)$    (10,737,802)$    (13,444,273)$     City's covered payroll 15,336,814$     14,669,121$     14,650,540$     28,694,750$     27,709,532$     26,365,930$      City's proportionate share of the net pension  liability/(asset) as a percentage of its covered  payroll ‐67.32%‐62.53%‐18.59%‐33.93%‐35.41%‐47.69% Plan fiduciary net position as a percentage of the  total pension liability 119.43% 118.50% 106.04% 111.67% 111.67% 116.75% * This schedule will be built prospectively until it contains ten years of data. ** 2016 amount includes $3,066,692 in net pension asset transferred to the RFA on 6/30/16 to avoid skewing percentage of  covered payroll ratio. 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-8 Schedule of Employer Contributions WA Department of Retirement Systems As of December 31 Last 10 Fiscal Years PERS Plan 1 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 Contractually Required Contribution 1,926,964$     1,879,300$     1,717,805$     1,619,494$     2,190,238$     1,253,454$     N/A N/A N/A N/A Contributions in relation to the  contractually required contribution 1,926,964       1,879,300       1,717,805       1,619,494       2,190,238       1,253,454       N/A N/A N/A N/A Contribution deficiency (excess)‐$                     ‐$                     ‐$                     ‐$                     ‐$                     ‐$                     N/A N/A N/A N/A Covered payroll 38,826,806$   37,103,778$   35,120,529$   33,737,587$   48,318,549$   30,448,215$   N/A N/A N/A N/A Contributions as a percentage of covered  payroll 4.96% 5.06% 4.89% 4.80% 4.53% 4.12% N/A N/A N/A N/A PERS Plan 2/3 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 Contractually Required Contribution 2,964,353$     2,752,176$     2,375,793$     2,067,865$     2,743,908$     1,490,022$     N/A N/A N/A N/A Contributions in relation to the  contractually required contribution 2,964,353       2,752,176       2,375,793       2,067,865       2,743,908       1,490,022       N/A N/A N/A N/A Contribution deficiency (excess)‐$                     ‐$                     ‐$                     ‐$                     ‐$                     ‐$                     N/A N/A N/A N/A Covered payroll 38,495,775$   36,791,404$   34,783,770$   33,263,999$   47,552,982$   29,821,815$   N/A N/A N/A N/A Contributions as a percentage of covered  payroll 7.70% 7.48% 6.83% 6.22% 5.77% 5.00% N/A N/A N/A N/A PSERS Plan 2 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 Contractually Required Contribution 20,872$          15,723$          14,929$          14,489$          18,418$          7,845$            N/A N/A N/A N/A Contributions in relation to the  contractually required contribution 20,872            15,723            14,929            14,489            18,418            7,845               N/A N/A N/A N/A Contribution deficiency (excess)‐$                     ‐$                     ‐$                     ‐$                     ‐$                     ‐$                     N/A N/A N/A N/A Covered payroll 292,650$        229,922$        224,038$        219,869$        282,407$        122,185$        N/A N/A N/A N/A Contributions as a percentage of covered  payroll 7.13% 6.84% 6.66% 6.59% 6.52% 6.42% N/A N/A N/A N/A LEOFF Plan 2 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 0 Contractually Required Contribution 840,501$        801,240$        715,573$        1,049,917$     2,160,553$     1,368,037$     N/A N/A N/A N/A Contributions in relation to the  contractually required contribution 840,501          801,240          715,573          1,049,917       2,160,553       1,368,037       N/A N/A N/A N/A Contribution deficiency (excess)‐$                     ‐$                     ‐$                     ‐$                     ‐$                     ‐$                     N/A N/A N/A N/A Covered payroll 15,818,413$   14,805,412$   13,896,060$   20,790,373$   42,778,479$   27,089,783$   N/A N/A N/A N/A Contributions as a percentage of covered  payroll 5.31% 5.41% 5.15% 5.05% 5.05% 5.05% N/A N/A N/A N/A 0 Note:  Prior years' information is unavailable 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-9 City of RentonSchedule of Changes in Net Pension Liability and Related RatiosFirefighters' Pension FundLast 10 Fiscal Years$ Thousands2019 2018 2017 2016 2015 2014 2013 2012 2011 2010Total Pension LiabilityService Cost‐$               ‐$               ‐$               ‐$               ‐$               ‐                 N/A N/A N/A N/AInterest on Total Pension Liability100            94              103            106            109            112            N/A N/A N/A N/AEffect of Plan Changes‐                 ‐                 ‐                 ‐                 ‐                 ‐                 N/A N/A N/A N/AEffect of Economic/Demographic Gains or (Losses)(331)          ‐                 ‐                 (29)            ‐                 ‐                 N/A N/A N/A N/AEffect of Assumption Changes or Inputs207            (94)            52              (125)          ‐                 ‐                 N/A N/A N/A N/ABenefit payments(194)          (193)          (240)          (208)          (205)          (204)          N/A N/A N/A N/ANet Change in Total Pension Liability(219)          (192)          (84)            (256)          (96)            (92)            N/A N/A N/A N/ATotal Pension Liability ‐ Beginning2,592        2,784        2,868        3,125        3,221        3,313        N/A N/A N/A N/ATotal Pension Liability ‐ Ending (a)2,373$      2,592$      2,784$      2,868$      3,125$      3,221$      N/A N/A N/A N/APlan Fiduciary Net PositionEmployer Contributions‐$               ‐$               ‐$               ‐$               ‐$               ‐                 N/A N/A N/A N/AContributions from State Fire Insurance Premium Tax155            154            151            148            146            143            N/A N/A N/A N/AInvestment Income Net of Investment Expenses294            121            114            136            134            394            N/A N/A N/A N/ABenefit payments(194)          (193)          (240)          (208)          (205)          (204)          N/A N/A N/A N/AMedical Payments from Fund‐                 ‐                 ‐                 ‐                 ‐                 ‐                 N/A N/A N/A N/AAdministrative Expense(12)            ‐                 (12)            ‐                 (12)            (1)               N/A N/A N/A N/ANet Change in plan fiduciary net position242            83              13              76              63              332            N/A N/A N/A N/APlan fiduciary net position ‐ beginning9,703        9,619        9,607        9,531        9,468        9,136        N/A N/A N/A N/APlan fiduciary net position ‐ ending (b)9,945        9,703        9,619        9,607        9,531        9,468        N/AN/A N/A N/ANet pension liability ‐ ending  =(a)‐(b)(7,572)$     (7,111)$     (6,835)$     (6,739)$     (6,406)$     (6,247)$     N/A N/A N/A N/AFiduciary net position as a percentage of the total pension liability419.09% 374.34% 345.51% 334.97% 304.99% 293.95% N/A N/A N/A N/ACovered Payroll‐$               ‐$               ‐$               ‐$               ‐$               0 N/A N/A N/A N/ANet pension liability as a percentage of covered payrollN/A N/A N/A N/A N/A N/A N/A N/A N/A N/ANotes to schedule:Prior years' information is unavailable.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonRequired Supplementary Information, 5-10 Schedule of Employer ContributionsFirefighters' Pension FundLast 10 Fiscal Years2019 2018 2017 2016 2015 20142013 2012 2011 2010Actuarially determined contribution‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  Contributions in relation to the actuarially determined contribution155,413       154,275       150,951       148,034       146,358       142,706       124,391       118,775       102,354       107,068       Contribution deficiency (excess)(155,413)$    (154,275)$    (150,951)$    (148,034)$    (146,358)$    (142,706)$    (124,391)$    (118,775)$    (102,354)$    (107,068)$    Covered ‐ employee payroll‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  ‐$                  Contribution as a percentage of covered ‐ employee payrollN/AN/AN/AN/AN/AN/AN/AN/AN/AN/ANote:Contributions are a portion of State Fire Insurance Premium Taxes.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonRequired Supplementary Information, 5-11 City of Renton Schedule of Investment Returns Firefighters' Pension Fund December 31, 2019 Last 10 Fiscal Years Fiscal Year Ending December 31 Net Money‐Weighted Rate of  Return 2010 N/A 2011 N/A 2012 N/A 2013 N/A 2014 4.31% 2015 1.42% 2016 1.43% 2017 1.19% 2018 1.26% 2019 3.03% 2019 Comprehensive Annual Financial Report City of Renton, Washington Required Supplementary Information, 5-12 City of RentonSchedule of Changes in Total OPEB Liability and Related RatiosLEOFF 1 Retiree Medical BenefitsLast 10 Fiscal Years$ Thousands2019 2018 2017 2016 2015 2014 2013 2012 2011 2010Total OPEB LiabilityService Cost‐$               ‐                 N/A N/A N/A N/A N/A N/A N/A N/AInterest on Total OPEB Liability1,692        1,576        N/A N/A N/A N/A N/A N/A N/A N/AChanges of benefit terms‐                 ‐                 N/A N/A N/A N/A N/A N/A N/A N/AEffect of Economic/Demographic Gains or (Losses)(2,946)       ‐                 N/A N/A N/A N/A N/A N/A N/A N/AEffect of Assumption Changes or Inputs(859)          (2,764)       N/AN/AN/A N/A N/A N/A N/A N/AExpected benefit payments(1,491)       (1,586)       N/A N/A N/A N/A N/A N/A N/A N/ANet Change in Total OPEB Liability(3,605)       (2,774)       N/A N/A N/A N/A N/A N/A N/A N/ATotal OPEB Liability ‐ Beginning43,029      45,803      N/A N/A N/A N/A N/A N/A N/A N/ATotal OPEB Liability ‐ Ending (a)39,424$    43,029$    N/A N/A N/A N/A N/A N/A N/A N/ACovered Payroll‐$               ‐$               N/A N/A N/A N/A N/A N/A N/A N/ATotal OPEB liability as a percentage of covered payrollN/A N/A N/A N/A N/A N/A N/A N/A N/A N/ANotes to schedule:This schedule is presented to illustrate the requirement to show information for 10 years. However, recalculations of prior years are not rquired, and if prior years are not reported inaccordance with the current GASB standards, they should not be reported.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonRequired Supplementary Information, 5-13           Non‐Major Governmental Funds    Capital Project Funds      COMMUNITY DEVELOPMENT IMPACT MITIGATION FUND  Accounts for park impact fees collected from developers as authorized under RCW 82.02.050‐ .110 to offset the cost of system improvements necessary to serve the new development.    TRANSPORTATION IMPACT MITIGATION FUND  Accounts for transportation impact fees collected from developers as authorized under RCW  82.02.050‐.110 to offset the cost of system improvements necessary to serve the new  development.    REET 1 FUND  Accounts for “REET 1” or “first quarter percent” excise taxes imposed upon taxable real estate  sales as authorized under RCW 82.46.010(2). REET 1 revenues are restricted for use on capital  projects that are listed in the capital facilities plan element of the City’s comprehensive plan.     RCW 82.46.010(6) defines “capital projects” as: “Those public works projects of a local  government for planning, acquisition, construction, reconstruction, repair, replacement,  rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting  systems, traffic signals, bridges, domestic water systems, storm and sanitary sewer systems,  parks, recreational facilities, law enforcement facilities, fire protection facilities, trails, libraries,  administrative facilities, judicial facilities, river flood control projects, and technology  infrastructure that is integral to the capital project.    REET 2 FUND   Accounts for “REET 2” or “second quarter percent” excise taxes imposed upon taxable real estate  sales as authorized under RCW 82.46.035. REET 2 revenues are restricted for use on capital  projects that are listed in the capital facilities plan element of the City’s comprehensive plan.    RCW 82.46.035(5) defines “capital projects” as: “Those public works projects of a local  government for planning, acquisition, construction, reconstruction, repair, replacement,  rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting  systems, traffic signals, bridges, domestic water systems, storm and sanitary sewer systems, and  planning, construction, reconstruction, repair, rehabilitation, or improvement of parks.    CAPITAL IMPROVEMENT FUND  The Capital Improvement Fund accounts for the City’s transportation capital projects.   2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-1      Debt Service Funds      GENERAL GOVERNMENTAL MISCELLANEOUS DEBT SERVICE FUND  This debt service fund accounts for the following outstanding debt issues:     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 a portion of the 2001  limited tax general obligation bonds for the construction of a downtown parking facility.   2011 limited tax general obligation bonds which funded the development and  construction of 2 new libraries.   2013 limited tax general obligation qualified energy conservation bonds (QECB) which  provided funding for streetlight improvements.   2015 (A&B) limited tax general obligation refunding bonds which refunded a portion of  the 2006 limited tax general obligation bonds for the construction of South Lake  Washington infrastructure improvements.   2019 limited tax general obligation bonds which are funding multiple parks capital  projects.   2019 limited tax general obligation Local Revitalization Funding (LRF) bonds which are  funding transportation capital projects within the South Lake Washington Local  Revitalization Area.    2019 limited tax general obligation refunding bonds which refunded a portion of the 2009  (A & B) intergovernmental debt related to the acquisition, construction, and equipping of  the SCORE facility.    2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-2   Special Revenue Funds      ARTERIAL STREET FUND  Accounts for the City’s allocation of Motor Vehicle Fuel Tax revenue pursuant to RCW 47.24.040.  Gas taxes received from the state are restricted for construction, improvements, and major  repair of streets. This fund was closed in 2019 as the City maintains other funds that are deemed  to satisfy the statutory requirements of placing the motor vehicle fuel tax in a “designated city  street fund”.     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, as authorized under RCW 67.28.180.    MUNICIPAL ART FUND  The City of Renton established this fund to account for the activities of the Renton Municipal Arts  Commission, as outlined in Renton Municipal Code (RMC) section 2‐8‐7.    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.    2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-3      Non‐Major Proprietary Funds    Enterprise Funds    AIRPORT FUND  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 FUND  The Equipment Rental Fund accounts for the costs of maintaining and replacing all City vehicles  and auxiliary equipment.  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.  2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-4 Capital Projects Funds Debt Service Funds Special Revenue Funds Total Nonmajor  Governmental Funds ASSETS Cash & cash equivalents  $                18,174,910  $                   2,962,810  $                   1,518,859  $                22,656,579  Investments at fair value                       6,232,404                        1,015,985                           520,836                        7,769,225  Prepayments                                       ‐                                        ‐                                7,200                                7,200  Receivables, net of allowances: Customer accounts                          250,000                                        ‐                             20,749                           270,749  Accrued interest & penalties                            68,805                             23,004                                7,963                             99,772  Due from other funds                       2,287,710                                        ‐                                        ‐                        2,287,710  Due from other governments                          583,914                          330,746                             59,617                           974,277  TOTAL ASSETS  $                27,597,743  $                   4,332,545  $                   2,135,224  $                34,065,512  LIABILITIES Accounts payable  $                      679,536  $                                   ‐   $                        62,314  $                      741,850  Retainage payable                            43,697                                        ‐                                        ‐                             43,697  Unearned revenues                                       ‐                           330,746                                        ‐                           330,746  TOTAL LIABILITIES                          723,233                           330,746                             62,314                        1,116,293  DEFERRED INFLOWS OF RESOURCES Unavailable revenues                            76,726                                        ‐                                        ‐                             76,726  TOTAL DEFERRED INFLOW OF RESOURCES                            76,726                                        ‐                                        ‐                             76,726  FUND BALANCES  Restricted                     16,705,629                           182,622                        1,974,035                      18,862,286  Committed                       8,955,814                                        ‐                             98,875                        9,054,689  Assigned                       1,136,341                        3,819,177                                        ‐                        4,955,518  TOTAL FUND BALANCES                     26,797,784                        4,001,799                        2,072,910                      32,872,493  TOTAL LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND  FUND BALANCES  $                27,597,743  $                   4,332,545  $                   2,135,224  $                34,065,512  City of Renton Combining Governmental Balance Sheet Nonmajor Governmental Funds Summary by Fund Type  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-5 Community Development Impact MitigationTransportation Impact MitigationREET1REET2 Capital ImprovementTotal Nonmajor Capital Projects FundsASSETSCash & cash equivalents $                   1,397,028  $                   2,180,265  $                                    ‐   $                                    ‐   $                14,597,617  $                18,174,910 Investments at fair value                         479,058                           747,640                                         ‐                                         ‐                        5,005,706                        6,232,404 Receivables, net of allowances:Customer accounts                                       ‐                                         ‐                                         ‐                                         ‐                           250,000                           250,000 Accrued interest & penalties                            11,763                              15,954                                         ‐                                         ‐                              41,088                              68,805 Due from other funds                                       ‐                                         ‐                        1,143,855                        1,143,855                                         ‐                        2,287,710 Due from other governments                                       ‐                                         ‐                              54,408                              54,408                           475,098                           583,914 TOTAL ASSETS $                   1,887,849  $                   2,943,859  $                   1,198,263  $                   1,198,263  $                20,369,509  $                27,597,743 LIABILITIESAccounts payable $                                    ‐   $                                    ‐   $                                    ‐   $                                    ‐   $                      679,536  $                      679,536 Retainage payable                                       ‐                                         ‐                                         ‐                                         ‐                              43,697                              43,697 TOTAL LIABILITIES                                       ‐                                         ‐                                         ‐                                         ‐                           723,233                           723,233 DEFERRED INFLOWS OF RESOURCESUnavailable revenues                                       ‐                                         ‐                                         ‐                                         ‐                              76,726                              76,726 TOTAL DEFERRED INFLOWS OF RESOURCES                                       ‐                                         ‐                                         ‐                                         ‐                              76,726                              76,726 FUND BALANCESRestricted                      1,887,849                        2,943,859                        1,198,263                        1,198,263                        9,477,395                      16,705,629 Committed                                       ‐                                         ‐                                         ‐                                         ‐                        8,955,814                        8,955,814 Assigned                                       ‐                                         ‐                                         ‐                                         ‐                        1,136,341                        1,136,341 TOTAL FUND BALANCES                      1,887,849                        2,943,859                        1,198,263                        1,198,263                      19,569,550                      26,797,784 TOTAL LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES $                   1,887,849  $                   2,943,859  $                   1,198,263  $                   1,198,263  $                20,369,509  $                27,597,743 City of RentonCombining Balance SheetNonmajor Capital Projects Funds December 31, 20192019 Comprehensive Annual Financial ReportCity of Renton, WashingtonCombining Statements & Schedules, 6-6 General Debt Total Nonmajor Debt  Service Funds ASSETS Cash & cash equivalents  $                   2,962,810  $                   2,962,810  Investments at fair value                       1,015,985                        1,015,985  Receivables, net of allowances: Accrued interest & penalties                            23,004                             23,004  Due from other governments                          330,746                           330,746  TOTAL ASSETS  $                   4,332,545  $                   4,332,545  LIABILITIES Unearned revenues  $                      330,746  $                      330,746  TOTAL LIABILITIES                          330,746                           330,746  FUND BALANCES Restricted                          182,622                           182,622  Assigned                       3,819,177                        3,819,177  TOTAL FUND BALANCES                       4,001,799                        4,001,799  TOTAL LIABILITIES AND FUND BALANCES  $                   4,332,545  $                   4,332,545  City of Renton Combining Balance Sheet Nonmajor Debt Service Funds  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-7 Hotel/Motel Tax Municipal ArtCable Communications DevelopmentSpringbrook Wetlands BankTotal Nonmajor Special Revenue FundsASSETSCash & cash equivalents $                      738,326  $                         73,289  $                      450,995  $                      256,249  $                   1,518,859 Investments at fair value                          253,181                              25,132                            154,652                              87,871                            520,836 Prepayments                              7,200                                         ‐                                         ‐                                         ‐                                7,200 Receivables, net of allowances:Customer accounts                                       ‐                                         ‐                              20,749                                         ‐                              20,749 Accrued interest & penalties                              3,358                                   454                                2,550                                1,601                                7,963 Due from other governments                            59,617                                         ‐                                         ‐                                         ‐                              59,617 TOTAL ASSETS $                   1,061,682  $                         98,875  $                      628,946  $                      345,721  $                   2,135,224 LIABILITIESAccounts payable $                         57,989  $                                    ‐   $                           4,325  $                                    ‐   $                         62,314 TOTAL LIABILITIES                            57,989                                         ‐                                4,325                                         ‐                              62,314 FUND BALANCESRestricted                      1,003,693                                         ‐                            624,621                            345,721                        1,974,035 Committed                                       ‐                              98,875                                         ‐                                         ‐                              98,875 TOTAL FUND BALANCES                      1,003,693                              98,875                            624,621                            345,721                        2,072,910 TOTAL LIABILITIES AND FUND BALANCES $                   1,061,682  $                         98,875  $                      628,946  $                      345,721  $                   2,135,224 City of RentonCombining Balance SheetNonmajor Special Revenue Funds December 31, 20192019 Comprehensive Annual Financial ReportCity of Renton, WashingtonCombining Statements & Schedules, 6-8 Capital Projects Funds Debt Service Funds Special Revenue Funds Total Nonmajor  Governmental Funds REVENUES Taxes  $                   3,342,526  $                   2,145,242  $                      571,933  $                   6,059,701  Licenses and permits                                        ‐                                         ‐                            105,925                            105,925  Intergovernmental revenues                       1,619,629                            564,161                                         ‐                        2,183,790  Charges for services                       2,594,779                                         ‐                                         ‐                        2,594,779  Fines and forfeits                             55,788                                         ‐                                         ‐                              55,788  Contributions                               4,962                                         ‐                              24,000                              28,962  Investment earnings                           254,436                              65,512                              27,471                            347,419  Miscellaneous revenue                                  293                                         ‐                                         ‐                                   293  TOTAL REVENUES                       7,872,413                        2,774,915                            729,329                      11,376,657  EXPENDITURES Current: Economic environment                                        ‐                                         ‐                            341,154                            341,154  Culture and recreation                                        ‐                                         ‐                              57,457                              57,457  Capital outlay: Culture and recreation                                        ‐                                         ‐                            123,813                            123,813  Transportation                       5,649,266                                         ‐                                         ‐                        5,649,266  Debt service: Principal payment                                        ‐                        5,167,947                                         ‐                        5,167,947  Interest and fiscal charges                                        ‐                        1,646,927                                         ‐                        1,646,927  TOTAL EXPENDITURES                       5,649,266                        6,814,874                            522,424                      12,986,564  EXCESS (DEFICIENCY) OF REVENUES OVER  EXPENDITURES                       2,223,147                      (4,039,959)                          206,905                      (1,609,907) OTHER FINANCING SOURCES (USES) Transfer in                       7,533,757                        5,253,827                            102,000                      12,889,584  Transfer out                     (3,590,700)                                       ‐                          (267,036)                    (3,857,736) Proceeds from long‐term debt                       8,784,483                                         ‐                                         ‐                        8,784,483  TOTAL OTHER FINANCING SOURCES (USES)                    12,727,540                        5,253,827                          (165,036)                    17,816,331  NET CHANGE IN FUND BALANCE                     14,950,687                        1,213,868                              41,869                      16,206,424  FUND BALANCE ‐ JANUARY 1                     11,847,097                        2,787,931                        2,031,041                      16,666,069  FUND BALANCE ‐ DECEMBER 31  $                 26,797,784  $                   4,001,799  $                   2,072,910  $                 32,872,493  City of Renton Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds Summary by Fund Type For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-9 Community Development Impact MitigationTransportation Impact MitigationREET1REET2 Capital ImprovementTotal Nonmajor Capital Projects FundsREVENUESTaxes $                                   ‐   $                                   ‐   $                  1,198,263  $                  1,198,263  $                      946,000  $                  3,342,526 Intergovernmental revenues                                      ‐                                        ‐                                        ‐                                        ‐                        1,619,629                        1,619,629 Charges for services                         469,290                        1,875,489                                        ‐                                        ‐                           250,000                        2,594,779 Fines and forfeits                                      ‐                                        ‐                                        ‐                                        ‐                             55,788                             55,788 Contributions                                      ‐                                        ‐                                        ‐                                        ‐                               4,962                               4,962 Investment earnings                           41,423                             61,493                                        ‐                                        ‐                           151,520                           254,436 Miscellaneous revenue                                      ‐                                        ‐                                        ‐                                        ‐                                   293                                   293 TOTAL REVENUES                         510,713                        1,936,982                        1,198,263                        1,198,263                       3,028,192                        7,872,413 EXPENDITURESCapital outlay:Transportation                                      ‐                                        ‐                                        ‐                                        ‐                        5,649,266                        5,649,266 TOTAL EXPENDITURES                                      ‐                                        ‐                                        ‐                                        ‐                        5,649,266                        5,649,266 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES                         510,713                        1,936,982                        1,198,263                        1,198,263                      (2,621,074)                      2,223,147 OTHER FINANCING SOURCES (USES)Transfer in                                      ‐                                        ‐                                        ‐                                        ‐                        7,533,757                        7,533,757 Transfer out                    (1,200,000)                    (2,324,200)                                      ‐                                        ‐                            (66,500)                    (3,590,700)Proceeds from long‐term debt                                      ‐                                        ‐                                        ‐                                        ‐                        8,784,483                        8,784,483 TOTAL OTHER FINANCING SOURCES (USES)                    (1,200,000)                    (2,324,200)                                      ‐                                        ‐                     16,251,740                     12,727,540 NET CHANGE IN FUND BALANCE                       (689,287)                       (387,218)                      1,198,263                        1,198,263                     13,630,666                     14,950,687 FUND BALANCE ‐ JANUARY 1                      2,577,136                        3,331,077                                        ‐                                        ‐                        5,938,884                     11,847,097 FUND BALANCE ‐ DECEMBER 31 $                  1,887,849  $                  2,943,859  $                  1,198,263  $                  1,198,263  $                19,569,550  $                26,797,784 City of RentonCombining Statement of Revenues, Expenditures, and Changes in Fund BalancesNonmajor Capital Projects FundsFor the Year Ended December 31, 20192019 Comprehensive Annual Financial ReportCity of Renton, WashingtonCombining Statements & Schedules, 6-10 General Debt Total Nonmajor Debt  Service Funds REVENUES Taxes  $                   2,145,242  $                   2,145,242  Intergovernmental revenues                          564,161                           564,161  Investment earnings                            65,512                             65,512  TOTAL REVENUES                       2,774,915                        2,774,915  EXPENDITURES Debt service: Principal payment                       5,167,947                        5,167,947  Interest and fiscal charges                       1,646,927                        1,646,927  TOTAL EXPENDITURES                       6,814,874                        6,814,874  EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES                     (4,039,959)                    (4,039,959) OTHER FINANCING SOURCES (USES) Transfer in                       5,253,827                        5,253,827  TOTAL OTHER FINANCING SOURCES (USES)                      5,253,827                        5,253,827  NET CHANGE IN FUND BALANCE                       1,213,868                        1,213,868  FUND BALANCE ‐ JANUARY 1                       2,787,931                        2,787,931  FUND BALANCE ‐ DECEMBER 31  $                   4,001,799  $                   4,001,799  City of Renton Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Debt Service Funds For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-11 Arterial Street Hotel/Motel Tax Municipal ArtCable Communications DevelopmentSpringbrook Wetlands BankTotal Nonmajor Special Revenue FundsREVENUESTaxes $                                   ‐   $                      531,933  $                                   ‐   $                        40,000  $                                   ‐   $                      571,933 Licenses and permits                                      ‐                                        ‐                                        ‐                           105,925                                        ‐                           105,925 Contributions                                      ‐                             24,000                                        ‐                                        ‐                                        ‐                             24,000 Investment earnings                                      ‐                             12,569                               1,295                               8,633                               4,974                             27,471 TOTAL REVENUES                                      ‐                           568,502                               1,295                           154,558                               4,974                           729,329 EXPENDITURESCurrent:Economic environment                                      ‐                           341,154                                        ‐                                        ‐                                        ‐                           341,154 Culture and recreation                                      ‐                                        ‐                                        ‐                             57,457                                        ‐                             57,457 Capital outlay:Culture and recreation                                      ‐                                        ‐                           123,813                                        ‐                                        ‐                           123,813 TOTAL EXPENDITURES                                      ‐                           341,154                           123,813                             57,457                                        ‐                           522,424 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES                                      ‐                           227,348                         (122,518)                           97,101                               4,974                           206,905 OTHER FINANCING SOURCES (USES)Transfer in                                      ‐                                        ‐                           102,000                                        ‐                                        ‐                           102,000 Transfer out                       (267,036)                                      ‐                                        ‐                                        ‐                                        ‐                         (267,036)TOTAL OTHER FINANCING SOURCES (USES)                       (267,036)                                      ‐                           102,000                                        ‐                                        ‐                         (165,036)NET CHANGE IN FUND BALANCE                       (267,036)                         227,348                            (20,518)                           97,101                               4,974                             41,869 FUND BALANCE ‐ JANUARY 1                         267,036                           776,345                           119,393                           527,520                           340,747                        2,031,041 FUND BALANCE ‐ DECEMBER 31 $                                   ‐   $                  1,003,693  $                        98,875  $                      624,621  $                      345,721  $                  2,072,910 City of RentonCombining Statement of Revenues, Expenditures, and Changes in Fund BalancesNonmajor Special Revenue FundsFor the Year Ended December 31, 20192019 Comprehensive Annual Financial ReportCity of Renton, WashingtonCombining Statements & Schedules, 6-12 Variance with Original Final Actual Final Budget REVENUES Taxes  $  1,373,000  $                    ‐   $        610,295  $        610,295  Intergovernmental revenues                       ‐         3,486,901             866,532        (2,620,369) Charges for services                       ‐                          ‐               10,643                10,643  Fines and forfeits                       ‐                          ‐                  4,340                  4,340  Contributions                       ‐               78,500                          ‐              (78,500) Interest revenue                       ‐               13,600             423,885             410,285  Total revenues      1,373,000         3,579,001          1,915,694        (1,663,307) EXPENDITURES Current: General government         148,250            148,250             130,040                18,210  Economic environment                       ‐            332,000                          ‐             332,000  Culture and recreation         771,357         1,112,933             702,891             410,043  Total current         919,607         1,593,183             832,930             760,253  Capital outlay: General government      2,651,750         9,187,236          5,453,278          3,733,958  Public safety                       ‐         1,987,950             994,961             992,989  Economic environment                       ‐                          ‐                          ‐                           ‐  Culture and recreation      3,320,000       25,259,165          3,154,902        22,104,263  Total capital outlay      5,971,750       36,434,351          9,603,142       26,831,209  Total expenditures      6,891,357      38,027,534      10,436,072        27,591,463  Excess (deficiency) of revenues over expenditures    (5,518,357)   (34,448,533)      (8,520,378)      25,928,156  OTHER FINANCING SOURCES (USES) Transfer in      4,256,000         2,077,000          1,200,000            (877,000) Transfers out                       ‐       (1,924,971)      (1,924,971)                         ‐  Proceeds from long‐term debt                       ‐       14,654,369       14,654,369                           ‐  Sale of capital assets                       ‐            160,000             180,000                20,000  Total other financing sources (uses)     4,256,000       14,966,398       14,109,398            (857,000) Net change in fund balances    (1,262,357)   (19,482,136)        5,589,020        25,071,156  FUND BALANCE ‐ JANUARY 1      2,660,523       20,675,238       22,009,023          1,333,785  FUND BALANCE ‐ DECEMBER 31  $  1,398,166  $    1,193,102  $  27,598,043  $  26,404,941  Budgeted Amounts City of Renton Municipal Facilities CIP Statement of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-13 Variance with Original Final Actual Final Budget REVENUES Interest revenue  $                     ‐   $          21,500  $          38,882  $          17,382  Total revenues                         ‐               21,500               38,882               17,382  EXPENDITURES Current: Economic environment                         ‐               68,900               49,139               19,761  Total expenditures                         ‐               68,900               49,139               19,761  Excess (deficiency) of revenues over expenditures                         ‐             (47,400)           (10,257)             37,143  OTHER FINANCING SOURCES (USES) Total other financing sources (uses)                        ‐                          ‐                          ‐                          ‐  Net change in fund balances                         ‐             (47,400)           (10,257)             37,143  FUND BALANCE ‐ JANUARY 1         2,548,975          2,582,203          2,581,083                (1,120) FUND BALANCE ‐ DECEMBER 31  $    2,548,975  $    2,534,803  $    2,570,826  $          36,023  Budgeted Amounts City of Renton Municipal Facilities CIP ‐ Housing Opportunity/Economic Development Revolving Fund Statement of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-14 Variance with Original Final Actual Final Budget REVENUES Contributions  $                     ‐   $          75,000  $                     ‐   $         (75,000) Interest revenue                         ‐                          ‐               61,855               61,855  Total revenues                         ‐               75,000               61,855              (13,145) EXPENDITURES Current: Culture and recreation                         ‐               23,185               30,082                (6,897) Total current                         ‐               23,185               30,082                (6,897) Capital outlay: Culture and recreation                         ‐          1,366,453             710,608             655,845  Total expenditures                         ‐          1,389,638             740,690             648,948  Excess (deficiency) of revenues over expenditures                         ‐        (1,314,638)         (678,835)           635,803  OTHER FINANCING SOURCES (USES) Transfer in                         ‐          5,000,000          5,000,000                          ‐  Total other financing sources (uses)                        ‐          5,000,000          5,000,000                          ‐  Net change in fund balances                         ‐          3,685,362          4,321,165             635,803  FUND BALANCE ‐ JANUARY 1                         ‐          4,193,806          4,229,475               35,669  FUND BALANCE ‐ DECEMBER 31  $                     ‐   $    7,879,168  $    8,550,640  $        671,472  Budgeted Amounts City of Renton Municipal Facilities CIP ‐ New Family First Center Development Statement of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-15 Variance with Original Final Actual Final Budget REVENUES Interest revenue  $                     ‐   $                     ‐   $            5,800  $            5,800  Total revenues                         ‐                          ‐                 5,800                  5,800  EXPENDITURES Total expenditures                         ‐                          ‐                          ‐                          ‐  Excess (deficiency) of revenues over expenditures                         ‐                          ‐                 5,800                  5,800  OTHER FINANCING SOURCES (USES) Transfers out                         ‐           (445,591)         (445,591)                        ‐  Total other financing sources (uses)                        ‐           (445,591)         (445,591)                        ‐  Net change in fund balances                         ‐           (445,591)         (439,791)                5,800  FUND BALANCE ‐ JANUARY 1            451,093             456,591             456,394                   (197) FUND BALANCE ‐ DECEMBER 31  $        451,093  $          11,000  $          16,603  $            5,603  Budgeted Amounts City of Renton Municipal Facilities CIP ‐ New Library Development Statement of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-16 Variance with Original Final Actual Final Budget REVENUES Charges for services  $       86,500  $       86,500  $     469,290  $        382,790  Interest revenue                       ‐                        ‐             41,423                41,423  Total revenues            86,500             86,500          510,713              424,213  EXPENDITURES Total expenditures                       ‐                        ‐                        ‐                           ‐  Excess (deficiency) of revenues over expenditures            86,500             86,500          510,713              424,213  OTHER FINANCING SOURCES (USES) Transfers out    (1,629,000)   (1,200,000)   (1,200,000)                         ‐  Total other financing sources (uses)   (1,629,000)   (1,200,000)   (1,200,000)                         ‐  Net change in fund balances    (1,542,500)   (1,113,500)       (689,287)            424,213  FUND BALANCE ‐ JANUARY 1      2,226,393       2,578,256       2,577,136                (1,120) FUND BALANCE ‐ DECEMBER 31  $     683,893  $  1,464,756  $  1,887,849  $        423,093  Budgeted Amounts City of Renton Community Development Impact Mitigation Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-17 Variance with Original Final Actual Final Budget REVENUES Charges for services  $  1,020,000  $  1,020,000  $  1,875,489  $        855,489  Interest revenue                       ‐                        ‐             61,493                61,493  Total revenues      1,020,000       1,020,000       1,936,982              916,982  EXPENDITURES Total expenditures                       ‐                        ‐                        ‐                           ‐  Excess (deficiency) of revenues over expenditures      1,020,000       1,020,000       1,936,982              916,982  OTHER FINANCING SOURCES (USES) Transfers out        (500,000)   (2,324,200)   (2,324,200)                         ‐  Total other financing sources (uses)       (500,000)   (2,324,200)   (2,324,200)                         ‐  Net change in fund balances         520,000     (1,304,200)       (387,218)            916,982  FUND BALANCE ‐ JANUARY 1      3,332,525       3,332,525       3,331,077                (1,448) FUND BALANCE ‐ DECEMBER 31  $  3,852,525  $  2,028,325  $  2,943,859  $        915,534  Budgeted Amounts City of Renton Transportation Impact Mitigation Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-18 Variance with Original Final Actual Final Budget REVENUES Taxes  $  2,000,000  $                    ‐   $        946,000  $        946,000  Intergovernmental revenues    15,995,708       20,850,729          1,619,629      (19,231,100) Charges for services                       ‐                          ‐             250,000             250,000  Fines and forfeits                       ‐                          ‐               55,788                55,788  Contributions      2,000,000         2,000,000                  4,962        (1,995,038) Interest revenue                       ‐                          ‐             151,520             151,520  Miscellaneous revenue                       ‐                          ‐                     293                     293  Total revenues    19,995,708       22,850,729          3,028,192      (19,822,537) EXPENDITURES Capital outlay: Transportation    21,190,208       43,645,773          5,649,266        37,996,507  Total capital outlay    21,190,208       43,645,773          5,649,266        37,996,507  Total expenditures    21,190,208       43,645,773          5,649,266        37,996,507  Excess (deficiency) of revenues over expenditures    (1,194,500)   (20,795,044)      (2,621,074)      18,173,970  OTHER FINANCING SOURCES (USES) Transfer in      1,700,000         8,479,757          7,533,757            (946,000) Transfers out          (15,000)           (66,500)            (66,500)                         ‐  Proceeds from long‐term debt                       ‐         8,784,483          8,784,483                           ‐  Total other financing sources (uses)     1,685,000       17,197,740       16,251,740            (946,000) Net change in fund balances         490,500       (3,597,304)     13,630,666        17,227,970  FUND BALANCE ‐ JANUARY 1      1,141,331         5,492,313          5,938,884             446,571  FUND BALANCE ‐ DECEMBER 31  $  1,631,831  $    1,895,009  $  19,569,550  $  17,674,541  Budgeted Amounts City of Renton Capital Improvement Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-19 Variance with Original Final Actual Final Budget REVENUES Taxes  $  6,119,592  $                   ‐   $  2,145,242  $     2,145,242  Intergovernmental revenues         435,314          435,314          564,161              128,847  Interest revenue                       ‐                        ‐             65,512                65,512  Total revenues      6,554,906          435,314       2,774,915          2,339,601  EXPENDITURES Debt service: Principal payment      5,717,947       6,267,947       5,167,947          1,100,000  Interest and fiscal charges      1,075,721       1,646,989       1,646,927                        62  Total debt service      6,793,668       7,914,936       6,814,874          1,100,062  Total expenditures      6,793,668       7,914,936       6,814,874          1,100,062  Excess (deficiency) of revenues over expenditures        (238,762)   (7,479,622)   (4,039,959)        3,439,663  OTHER FINANCING SOURCES (USES) Transfer in         128,576       8,009,403       5,253,827        (2,755,576) Total other financing sources (uses)        128,576       8,009,403       5,253,827        (2,755,576) Net change in fund balances        (110,186)        529,781       1,213,868              684,087  FUND BALANCE ‐ JANUARY 1      2,254,249       2,307,171       2,787,931              480,760  FUND BALANCE ‐ DECEMBER 31  $  2,144,063  $  2,836,952  $  4,001,799  $     1,164,847  Budgeted Amounts City of Renton General Debt Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-20 Variance with Original Final Actual Final Budget REVENUES Intergovernmental revenues  $ 700,000  $ 103,365  $                ‐   $      (103,365) Total revenues      700,000       103,365                      ‐           (103,365) EXPENDITURES Total expenditures                   ‐                    ‐                      ‐                           ‐  Excess (deficiency) of revenues over expenditures      700,000       103,365                      ‐           (103,365) OTHER FINANCING SOURCES (USES) Transfers out    (700,000)   (267,036)     (267,036)                         ‐  Total other financing sources (uses)   (700,000)   (267,036)     (267,036)                         ‐  Net change in fund balances                   ‐     (163,671)     (267,036)         (103,365) FUND BALANCE ‐ JANUARY 1      108,438       163,671        267,036             103,365  FUND BALANCE ‐ DECEMBER 31  $ 108,438  $               ‐   $                ‐   $                     ‐  Budgeted Amounts City of Renton Arterial Street Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-21 Variance with Original Final Actual Final Budget REVENUES Taxes  $ 200,000  $ 200,000  $     531,933  $        331,933  Contributions                   ‐         25,000            24,000                (1,000) Interest revenue                   ‐                    ‐            12,569               12,569  Total revenues      200,000       225,000          568,502             343,502  EXPENDITURES Current: Economic environment                   ‐       444,647          341,154             103,493  Total current                   ‐       444,647          341,154             103,493  Total expenditures                   ‐       444,647          341,154             103,493  Excess (deficiency) of revenues over expenditures      200,000     (219,647)        227,348             446,995  OTHER FINANCING SOURCES (USES) Total other financing sources (uses)                  ‐                    ‐                       ‐                          ‐  Net change in fund balances      200,000     (219,647)        227,348             446,995  FUND BALANCE ‐ JANUARY 1      351,805       722,389          776,345               53,956  FUND BALANCE ‐ DECEMBER 31  $ 551,805  $ 502,742  $ 1,003,693  $        500,951  Budgeted Amounts City of Renton Hotel/Motel Tax Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-22 Variance with Original Final Actual Final Budget REVENUES Interest revenue  $               ‐   $              ‐   $     1,295  $             1,295  Total revenues                   ‐                    ‐           1,295                  1,295  EXPENDITURES Capital outlay: Culture and recreation        15,000      204,683      123,813                80,870  Total capital outlay        15,000      204,683      123,813                80,870  Total expenditures        15,000      204,683      123,813                80,870  Excess (deficiency) of revenues over expenditures      (15,000)  (204,683)  (122,518)              82,165  OTHER FINANCING SOURCES (USES) Transfer in        15,000      102,000      102,000                           ‐  Total other financing sources (uses)       15,000      102,000      102,000                           ‐  Net change in fund balances                   ‐    (102,683)     (20,518)              82,165  FUND BALANCE ‐ JANUARY 1        64,426      119,445      119,393                      (52) FUND BALANCE ‐ DECEMBER 31  $    64,426  $   16,762  $   98,875  $          82,113  Budgeted Amounts City of Renton Municipal Art Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-23 Variance with Original Final Actual Final Budget REVENUES Taxes  $    40,000  $    40,000  $    40,000  $                     ‐  Licenses and permits        57,674         57,674       105,925               48,251  Interest revenue                   ‐                    ‐           8,633                  8,633  Total revenues        97,674         97,674       154,558               56,884  EXPENDITURES Current: Culture and recreation        57,674         65,674         57,457                  8,217  Total current        57,674         65,674         57,457                  8,217  Capital outlay: Culture and recreation        40,000         40,000                    ‐               40,000  Total capital outlay        40,000         40,000                    ‐               40,000  Total expenditures        97,674       105,674         57,457               48,217  Excess (deficiency) of revenues over expenditures                   ‐         (8,000)       97,101             105,101  OTHER FINANCING SOURCES (USES) Total other financing sources (uses)                  ‐                    ‐                    ‐                          ‐  Net change in fund balances                   ‐         (8,000)       97,101             105,101  FUND BALANCE ‐ JANUARY 1      472,489       529,159       527,520                (1,639) FUND BALANCE ‐ DECEMBER 31  $ 472,489  $ 521,159  $ 624,621  $        103,462  Budgeted Amounts City of Renton Cable Communications Development Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-24 Variance with Original Final Actual Final Budget REVENUES Interest revenue  $              ‐   $              ‐   $      4,974  $            4,974  Total revenues                   ‐                    ‐           4,974                  4,974  EXPENDITURES Total expenditures                   ‐                    ‐                    ‐                          ‐  Excess (deficiency) of revenues over expenditures                   ‐                    ‐           4,974                  4,974  OTHER FINANCING SOURCES (USES) Total other financing sources (uses)                  ‐                    ‐                    ‐                          ‐  Net change in fund balances                   ‐                    ‐           4,974                  4,974  FUND BALANCE ‐ JANUARY 1      336,528       340,895       340,747                   (148) FUND BALANCE ‐ DECEMBER 31  $ 336,528  $ 340,895  $ 345,721  $            4,826  Budgeted Amounts City of Renton Springbrook Wetlands Bank Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-25 Airport Golf Course Total Nonmajor  Enterprise Funds ASSETS Current assets: Cash & cash equivalents  $                  4,739,867  $                      377,456  $                  5,117,323  Investments at fair value                       1,625,291                           128,748                        1,754,039  Receivables (net of allowances): Customer accounts                          198,135                             21,555                           219,690  Interest & penalties                            22,369                                1,886                             24,255  Supplies inventory                                        ‐                             92,302                             92,302  Total current assets                       6,585,662                           621,947                        7,207,609  Noncurrent assets: Capital assets not being depreciated: Land                          784,080                       2,683,200                        3,467,280  Construction in Progress                          484,379                                         ‐                          484,379  Capital assets being depreciated/amortized: Capital assets (net)                   17,853,790                        4,127,761                     21,981,551  Total noncurrent assets                    19,122,249                        6,810,961                     25,933,210  TOTAL ASSETS                    25,707,911                        7,432,908                     33,140,819  DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions                            88,643                             97,910                           186,553  TOTAL DEFERRED OUTFLOWS OF RESOURCES                            88,643                             97,910                           186,553  LIABILITIES Current liabilities: Accounts payable                          173,595                             26,091                           199,686  Retainage payable                               2,513                                         ‐                                2,513  Due to other funds                                  332                                         ‐                                   332  Accrued wages and benefits payable                            45,136                             55,626                           100,762  Taxes payable                                  869                                6,191                                7,060  Custodial accounts                                        ‐                           325,499                           325,499  Unearned revenue                          188,936                                         ‐                           188,936  Compensated absences payable                            20,630                             72,615                             93,245  Total current liabilities                          432,011                           486,022                           918,033  Noncurrent liabilities: Compensated absences payable                               6,825                            28,865                             35,690  Net pension liability                          300,360                           331,761                           632,121  Total noncurrent liabilities                          307,185                           360,626                           667,811  TOTAL LIABILITIES                          739,196                           846,648                        1,585,844  DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions                          177,452                           196,003                           373,455  TOTAL DEFERRED INFLOWS OF RESOURCES                          177,452                           196,003                           373,455  NET POSITION Net investment in capital assets                    19,122,249                        6,810,961                     25,933,210  Unrestricted                       5,757,657                         (322,794)                      5,434,863  TOTAL NET POSITION  $                24,879,906  $                  6,488,167  $                31,368,073  City of Renton Combining Statement of Net Position Nonmajor Enterprise Funds  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-26 Airport Golf Course Total Enterprise Funds OPERATING REVENUES Charges for services  $                      270,914  $                  1,941,162  $                  2,212,076  Miscellaneous revenue                       2,906,384                           456,634                        3,363,018  TOTAL OPERATING REVENUES                       3,177,298                        2,397,796                        5,575,094  OPERATING EXPENSES Supplies                            58,318                           318,098                           376,416  Personnel services                       1,238,979                        1,609,124                        2,848,103  Contracted services                          847,247                           294,194                        1,141,441  Taxes                               5,249                             11,588                             16,837  Depreciation and amortization                       1,120,324                           209,176                        1,329,500  TOTAL OPERATING EXPENSES                       3,270,117                        2,442,180                        5,712,297  OPERATING INCOME (LOSS)                          (92,819)                          (44,384)                       (137,203) NONOPERATING REVENUES (EXPENSES) Intergovernmental revenues                          143,030                                         ‐                           143,030  Interest revenue                            83,608                                6,590                             90,198  Other non‐operating revenue (expenses)                           11,995                                2,169                             14,164  TOTAL NONOPERATING REVENUES (EXPENSES)                         238,633                                8,759                           247,392  INCOME (LOSS) BEFORE CONTRIBUTIONS AND TRANSFERS                          145,814                            (35,625)                         110,189  Transfers in                            47,500                                         ‐                             47,500  Transfers out                             (6,000)                            (3,443)                            (9,443) CHANGE IN NET POSITION                          187,314                            (39,068)                         148,246  NET POSITION ‐ JANUARY 1                    24,692,592                        6,527,235                     31,219,827  NET POSITION ‐ DECEMBER 31  $                24,879,906  $                  6,488,167  $                31,368,073  City of Renton Combining Statement of Revenues, Expenditures, and Changes in Net Position Enterprise Funds For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-27 T0TAL NON‐MAJOR  AIRPORT GOLF COURSE ENTERPRISE FUNDS CASH FLOWS FROM OPERATING ACTIVITIES: Cash received for services 3,160,924$                  2,414,868$                  5,575,792$                   Cash paid to suppliers for goods & services (860,888)                      (690,755)                      (1,551,643)                    Cash paid to employees (1,198,810)                   (1,619,623)                   (2,818,433)                    Other non‐operating receipts 11,995                          2,169                            14,164                           NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES 1,113,221                    106,659                        1,219,880                     CASH FLOWS FROM NONCAPITAL  FINANCING ACTIVITIES Transfers from other funds 47,500                          ‐                                     47,500                           Transfers to other funds (6,000)                           (3,443)                           (9,443)                            Operating grants 198,148                        ‐                                     198,148                         NET CASH PROVIDED (USED) BY NONCAPITAL FINANCING ACTIVITIES 239,648                        (3,443)                           236,205                         CASH FLOWS FROM CAPITAL FINANCING ACTIVITIES: Acquisition & construction of capital assets (142,763)                      (61,900)                        (204,663)                       NET CASH PROVIDED (USED) BY CAPITAL FINANCING ACTIVITIES (142,763)                      (61,900)                        (204,663)                       CASH FLOWS FROM INVESTING ACTIVITIES: Payments for investments (773,398)                      (52,044)                        (825,442)                       Interest on investments 74,074                          5,524                            79,598                           NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES (699,324)                      (46,520)                        (745,844)                       NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS 510,782                        (5,204)                           505,578                         CASH & CASH EQUIVALENTS, JANUARY 1 4,229,085                    382,660                        4,611,745                     CASH & CASH EQUIVALENTS, DECEMBER 31 4,739,867$                  377,456$                     5,117,323$                   City of Renton BUSINESS‐TYPE ACTIVITIES ENTERPRISE FUNDS Combining Statement of Cash Flows Non‐Major Enterprise Funds For the Year Ended December 31, 2019 Page 1 of 2 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-28 TOTAL  NON‐MAJOR AIRPORT GOLF COURSE ENTERPRISE FUNDS RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: Operating income (loss)(92,819)$                      (44,384)$                      (137,203)$                     Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation & amortization 1,120,324                    209,176                        1,329,500                     Other non‐operating revenue 11,995                          2,169                            14,164                           (Increase) decrease in accounts receivable (20,676)                        (11,057)                        (31,733)                         (Increase) decrease in due from other funds ‐                                     13,033                          13,033                           (Increase) decrease in inventory & prepaid items ‐                                     (33,306)                        (33,306)                         (Increase) decrease in deferred outflows related to pensions (27,936)                        (20,028)                        (47,964)                         Increase (decrease) in operating accounts payable 49,986                          (33,578)                        16,408                           Increase (decrease) in accrued taxes & other short‐term liabilities (60)                                9                                    (51)                                 Increase (decrease) in  customer deposits ‐                                     15,096                          15,096                           Increase (decrease) in  unearned revenues 4,302                            ‐                                     4,302                             Increase (decrease) in accrued employee leave benefits 2,347                            10,397                          12,744                           Increase (decrease) in net pension liability and deferred inflows related to pensions 65,758                          (868)                              64,890                           Total adjustments 1,206,040                    151,043                        1,357,083                     NET CASH PROVIDED (USED) BY  OPERATING ACTIVITIES 1,113,221$                  106,659$                     1,219,880$                   NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES Depreciation & amortization 1,120,324$                  209,176$                     1,329,500$                   Increase (decrease) in fair value of investments 242$                             (43)$                              199$                              City of Renton ENTERPRISE FUNDS BUSINESS‐TYPE ACTIVITIES Combining Statement of Cash Flows Non‐Major Enterprise Funds For the Year Ended December 31, 2019 Page 2 of 2 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-29 Equipment Rental Insurance Total Nonmajor  Internal Service Funds ASSETS Current assets: Cash & cash equivalents  $                10,384,338  $                29,723,480  $                40,107,818  Investments at fair value                       3,560,920                     10,192,555                     13,753,475  Receivables (net of allowances): Customer accounts                            16,797                             27,740                             44,537  Interest & penalties                            55,421                           171,108                           226,529  Interfund loans                                        ‐                           175,000                           175,000  Supplies inventory                          183,965                                         ‐                           183,965  Prepayments                                        ‐                           213,660                           213,660  Total current assets                    14,201,441                     40,503,543                     54,704,984  Noncurrent assets: Capital assets being depreciated/amortized: Capital assets (net)                   13,677,217                                        ‐                     13,677,217  Intangible assets (net)                         495,077                                         ‐                           495,077  Total noncurrent assets                    14,172,294                                         ‐                     14,172,294  TOTAL ASSETS                    28,373,735                     40,503,543                     68,877,278  DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions                          536,289                             55,200                           591,489  TOTAL DEFERRED OUTFLOWS OF RESOURCES                          536,289                             55,200                           591,489  LIABILITIES Current liabilities: Accounts payable                          540,342                           128,660                           669,002  Claims incurred but not reported                                        ‐                        2,190,622                        2,190,622  Retainage payable                               2,729                                         ‐                                2,729  Accrued wages and benefits payable                          305,388                             27,460                           332,848  Taxes payable                          120,337                                         ‐                           120,337  Compensated absences payable                          286,578                             29,211                           315,789  Leases payable                               2,605                                         ‐                                2,605  Total current liabilities                       1,257,979                        2,375,953                        3,633,932  Noncurrent liabilities: Compensated absences payable                          108,055                            11,759                          119,814  Net pension liability                       1,817,178                           187,042                        2,004,220  OPEB Liability                                        ‐                     39,424,016                     39,424,016  Total noncurrent liabilities                       1,925,233                     39,622,817                     41,548,050  TOTAL LIABILITIES                       3,183,212                     41,998,770                     45,181,982  DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions                       1,073,583                           110,504                        1,184,087  TOTAL DEFERRED INFLOWS OF RESOURCES                       1,073,583                           110,504                        1,184,087  NET POSITION Net investment in capital assets                    14,169,689                                         ‐                     14,169,689  Unrestricted                    10,483,540                      (1,550,531)                      8,933,009  TOTAL NET POSITION  $                24,653,229  $                (1,550,531) $                23,102,698  City of Renton Combining Statement of Net Position Nonmajor Internal Service Funds  December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-30 Equipment Rental Insurance Total Internal Service  Funds OPERATING REVENUES Charges for services  $                17,864,840  $                16,978,842  $                34,843,682  Miscellaneous revenue                          316,798                                        ‐                           316,798  TOTAL OPERATING REVENUES                     18,181,638                      16,978,842                      35,160,480  OPERATING EXPENSES Supplies                       2,682,863                             13,579                        2,696,442  Personnel services                       6,970,319                           760,675                        7,730,994  Contracted services                       4,813,363                           892,692                        5,706,055  Insurance                                       ‐                        8,713,319                        8,713,319  Taxes                              9,742                               2,744                             12,486  Depreciation and amortization                       2,869,275                                        ‐                        2,869,275  TOTAL OPERATING EXPENSES                     17,345,562                      10,383,009                      27,728,571  OPERATING INCOME (LOSS)                         836,076                        6,595,833                        7,431,909  NONOPERATING REVENUES (EXPENSES) Intergovernmental revenues                                       ‐                             35,898                             35,898  Interest revenue                          176,295                           569,377                           745,672  Gain (loss) on capital assets                            43,698                                        ‐                             43,698  Other non‐operating revenue (expenses)                             5,668                             56,416                             62,084  Interest expense                                (636)                                      ‐                                 (636) Insurance Recoveries                                       ‐                           133,004                           133,004  TOTAL NONOPERATING REVENUES (EXPENSES)                         225,025                           794,695                        1,019,720  INCOME (LOSS) BEFORE CONTRIBUTIONS AND TRANSFERS                       1,061,101                        7,390,528                        8,451,629  Transfers in                       2,240,387                                       ‐                       2,240,387  Transfers out                           (12,714)                       (900,000)                       (912,714) CHANGE IN NET POSITION                       3,288,774                        6,490,528                        9,779,302  NET POSITION ‐ JANUARY 1                     21,364,455                      (8,041,059)                    13,323,396  NET POSITION ‐ DECEMBER 31  $                24,653,229  $                 (1,550,531) $                23,102,698  City of Renton Combining Statement of Revenues, Expenditures, and Changes in Net Position Internal Service Funds For the Year Ended December 31, 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-31 TOTAL EQUIPMENT INSURANCE INTERNAL  RENTAL FUND SERVICE FUNDS CASH FLOWS FROM OPERATING ACTIVITIES: Cash received from other funds for services $ 18,200,801                  $ 16,977,809                  $ 35,178,610                   Cash paid to suppliers for goods & services (7,312,374)                   (12,857,765)                 (20,170,139)                  Cash paid to employees (7,384,969)                   (769,700)                       (8,154,669)                    Other non‐operating receipts 5,668                             189,420                        195,088                         NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES 3,509,126                     3,539,764                     7,048,890                      CASH FLOWS FROM NONCAPITAL  FINANCING ACTIVITIES Transfers from other funds 2,240,387                      ‐                                      2,240,387                      Transfers to other funds (12,714)                         (900,000)                       (912,714)                        Operating grants ‐                                      35,898                          35,898                           NET CASH PROVIDED (USED) BY NONCAPITAL FINANCING ACTIVITIES 2,227,673                     (864,102)                       1,363,571                      CASH FLOWS FROM CAPITAL FINANCING ACTIVITIES: Proceeds from the sale of equipment 57,551                          ‐                                      57,551                           Acquisition & construction of capital assets (4,903,382)                   ‐                                      (4,903,382)                    Principal payments on capital leases (33,244)                         ‐                                      (33,244)                          Interest payments on capital leases (636)                               ‐                                      (636)                                NET CASH PROVIDED (USED) BY CAPITAL FINANCING ACTIVITIES (4,879,711)                    ‐                                      (4,879,711)                    CASH FLOWS FROM INVESTING ACTIVITIES: Payments for interfund loans ‐                                      175,000                        175,000                         Payments for investments (1,389,789)                   (4,070,853)                   (5,460,642)                    Interest on investments and loans 164,212                        528,639                        692,851                         NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES (1,225,577)                   (3,367,214)                   (4,592,791)                    NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS (368,489)                       (691,552)                       (1,060,041)                    CASH & CASH EQUIVALENTS, JANUARY 1 10,752,827                  30,415,032                  41,167,859                   CASH & CASH EQUIVALENTS, DECEMBER 31 $ 10,384,338                  $ 29,723,480                  $ 40,107,818                   Combining Statement of Cash Flows Internal Service Funds For the Year Ended December 31, 2019 Page 1 of 2 City of Renton 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-32 TOTAL  EQUIPMENT INSURANCE INTERNAL RENTAL FUND SERVICE FUNDS RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: Operating income (loss)836,076$                      6,595,833$                  7,431,909$                   Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation & amortization 2,869,275                     ‐                                      2,869,275                      Other non‐operating revenue 5,668                             189,420                        195,088                         (Increase) decrease in accounts receivable 19,163                          (1,033)                           18,130                           (Increase) decrease in inventory & prepaid items 32,349                          (40,904)                         (8,555)                            (Increase) decrease in deferred outflows related to pensions (59,243)                         (10,033)                         (69,276)                          Increase (decrease) in operating accounts payable 43,038                          46,360                          89,398                           Increase (decrease) in accrued taxes & other short‐term liabilities 118,207                        363,772                        481,979                         Increase (decrease) in  OPEB liability ‐                                      (3,604,659)                   (3,604,659)                    Increase (decrease) in accrued employee wages and benefits (8,160)                           10,041                          1,881                              Increase (decrease) in net pension liability and deferred inflows related to pensions (347,247)                       (9,033)                           (356,280)                        Total adjustments 2,673,050                     (3,056,069)                   (383,019)                        NET CASH PROVIDED (USED) BY  OPERATING ACTIVITIES 3,509,126$                  3,539,764$                  7,048,890$                   NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES Depreciation & amortization 2,869,275$                  ‐$                                   2,869,275$                   Increase (decrease) in fair value of investments 5,629$                          3,554$                          9,183$                           For the Year Ended December 31, 2019 Combining Statement of Cash Flows Internal Service Funds Page 2 of 2 City of Renton 2019 Comprehensive Annual Financial Report City of Renton, Washington Combining Statements & Schedules, 6-33        STATISTICAL SECTION    December 31, 2019    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.     2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-1 TABLE 1NET POSITION BY COMPONENTLAST TEN FISCAL YEARS(accrual basis of accounting)2010201120122013201420152016201720182019Governmental activitiesNet investment in capital assets383,016,494$      373,641,842$      425,581,342$      445,277,657$      457,337,430$      467,609,532$      453,278,699$      466,996,814$      473,667,290$      478,173,369$       Restricted11,664,101          26,432,127          7,953,634            23,873,159          18,973,294          26,987,147          18,939,968          31,304,501          36,805,133          61,745,083            Unrestricted45,911,214          53,244,297          54,159,950          41,681,336          57,074,155          50,203,343          61,174,111          77,331,398          67,657,377          74,778,751            Total governmental activities net position440,591,809$      453,318,266$      487,694,926$      440,591,809$      453,318,266$      544,800,022$      533,392,778$      575,632,713$      578,129,800$      614,697,203$       Business‐type activitiesNet investment in capital assets214,001,083$      217,103,722$      224,893,271$      241,679,585$      255,631,135$      271,016,825$      279,506,339$      281,531,560$      285,507,078$      293,076,667$       Restricted58,747                  ‐                            2,909,578            2,909,578            2,909,578            2,909,578            2,909,578            2,810,145            2,810,145            2,810,145              Unrestricted17,743,107          23,340,910          28,692,024          34,537,714          41,941,669          51,330,478          63,236,920          72,699,879          84,471,108          90,300,915            Total business‐type activities net position231,802,937$      240,444,632$      256,494,873$      231,802,937$      240,444,632$      325,256,881$      345,652,837$      357,041,584$      372,788,331$      386,187,727$       Primary governmentNet investment in capital assets597,017,577$      590,745,564$      686,957,242$      686,957,242$      712,968,565$      738,626,357$      732,785,038$      748,528,374$      759,174,368$      771,250,036$       Restricted11,722,848          26,432,127          26,782,737          26,782,737          21,882,872          29,896,725          21,849,546          34,114,646          39,615,278          64,555,228            Unrestricted63,654,321          76,585,207          76,219,050          76,219,050          99,015,824          101,533,821        124,411,031        150,031,277        152,128,485        165,079,666          Total primary government net position672,394,746$      693,762,898$      789,959,029$      672,394,746$      693,762,898$      870,056,903$      879,045,615$      932,674,297$      950,918,131$      1,000,884,930$    Source : City of Renton Finance DivisionFiscal Year2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-2 TABLE 2CHANGES IN NET POSITIONLAST TEN FISCAL YEARS(accrual basis of accounting)Page 1 of 2EXPENSES2010201120122013201420152016201720182019Government activities:General government10,018,501$       4,268,321$          9,859,550$           10,923,530$         10,928,669$         9,829,338$           10,230,923$         11,619,780$       11,693,087$         13,188,036$        Judicial2,402,692           2,563,989            2,610,481             2,372,115             2,406,797             2,342,557             2,501,487             2,631,350            2,612,931             3,036,172            Public safety50,657,146         52,627,849          58,152,773           53,930,214           55,143,750           57,863,131           49,272,668           34,970,381          35,406,820           34,493,076          Utilities2,425,279           2,151,322            2,643,930             964,942                746,363                694,469                691,798                686,356               675,076                270,397               Transportation16,903,492         25,376,308          13,571,691           18,842,487           14,641,476           15,918,953           19,560,699           18,369,818          18,828,845           20,091,069          Economic and natural environment7,363,396           6,491,151            6,330,233             7,146,022             6,584,984             7,362,822             7,578,069             8,280,445            7,514,571             8,032,974            Health and human services882,740              819,138               827,802                1,873,028             1,885,761             1,925,253             2,098,190             2,210,690            2,260,902             2,486,008            Culture and recreation13,518,312         11,955,737          13,011,327           12,938,589           12,338,932           13,636,384           12,999,863           14,307,593          13,802,266           15,040,743          Interest on long‐term debt2,127,347           2,165,960            3,087,269             3,411,488             2,932,298             1,247,934             948,685                1,146,722            1,077,950             1,562,735            Total governmental activities expenses106,298,905       108,419,775        110,095,056         112,402,415         107,609,030         110,820,841         105,882,382         94,223,135          93,872,448           98,201,210          Business‐type activities:Airport1,993,202           2,026,804            2,251,434             3,300,550             2,771,616             4,319,084             2,974,582             3,178,004            2,713,567             3,270,117            Golf course2,296,870           2,099,936            2,139,847             2,250,748             2,298,804             2,200,740             2,173,590             2,386,006            2,277,544             2,442,180            Solid Waste14,826,315         14,434,201          14,780,647           16,226,857           17,157,550           16,907,652           16,850,054           19,367,124          19,648,560           20,544,997          Waterworks Utility36,574,469         37,148,813          39,419,864           40,333,170           43,274,617           45,184,377           53,960,170           51,849,388          50,408,232           54,263,991          Total Business‐type activities expenses55,690,856         55,709,754          58,591,792           62,111,325           65,502,587           68,611,853           75,958,396           76,780,522          75,047,903           80,521,285          Total Primary Government expenses161,989,761       164,129,529        168,686,848         174,513,740         172,913,375         179,432,694         181,840,778         171,003,657       168,920,351         178,722,495        PROGRAM REVENUESGovernmental activities:Charges for services:General government 2,363,280           2,756,613            2,586,799             3,372,595             4,336,464             4,354,150             5,028,744             7,954,848            7,172,729             7,400,036            Judicial 3,706,436           3,565,216            3,493,071             3,011,028             3,059,061             3,476,485             3,077,775             3,318,723            5,480,833             5,237,160            Public safety761,835              641,483               650,129                6,578,528             6,961,962             7,677,351             4,836,073             1,478,987            1,561,148             1,529,648            Utilities1,233,424           1,015,323            1,326,517             3,755                    278,568                668                        1,436                     ‐                            ‐                             ‐                            Transportation 3,111,259           3,275,596            3,329,054             2,712,137             3,140,008             3,823,320             2,638,216             2,218,114            3,568,302             2,383,972            Economic and natural environment2,419,488           2,486,396            3,130,530             3,766,499             3,791,108             5,641,135             4,992,629             4,814,488            4,747,410             5,253,540            Health and human services‐                            ‐                             ‐                              ‐                              ‐                              ‐                              ‐                              ‐                             ‐                             123,391               Culture and recreation 2,299,635           1,793,863            1,811,127             2,096,514             2,676,783             2,331,046             2,260,812             2,347,627            2,176,752             2,678,765            Operating grants and contributions10,520,151         15,540,897          12,794,132           6,621,431             6,422,816             6,614,030             8,226,834             5,984,222            6,921,332             7,458,503            Capital grants and contributions9,102,331           12,135,982          33,529,033           23,077,914           11,640,501           8,658,075             10,913,636           10,167,007          5,700,805             7,615,827            Total governmental activities program revenues35,517,839         43,211,369          62,650,392           51,240,401           42,307,271           42,576,260           41,976,155           38,284,016          37,329,311           39,680,842          Business‐type activities:Charges for services:Airport2,039,477           2,294,383            2,436,543             2,494,436             2,652,808             2,614,311             2,718,441             2,820,574            3,503,323             3,177,298            Golf course2,095,751           2,014,983            2,128,452             2,142,433             2,127,512             2,302,635             2,196,062             2,166,680            2,329,889             2,397,796            Solid waste utility15,383,667         15,015,434          14,905,934           16,429,165           17,310,807           17,146,266           17,152,279           17,787,705          19,656,483           21,817,526          Waterworks Utility35,545,308         43,003,494          47,314,389           49,024,626           51,354,475           53,263,702           53,685,591           56,202,702          57,067,220           56,546,499          Total Business‐type charges55,064,203         62,328,294          66,785,318           70,090,660           73,445,602           75,326,914           75,752,373           78,977,661          82,556,915           83,939,119          Operating grants and contributions125,819              465,468               165,164                105,695                1,108,920             704,367                8,400,008             1,213,388            572,719                1,099,731            Capital grants and contributions1,056,961           2,473,309            7,668,558             18,879,992           12,531,671           23,291,274           12,559,755           7,664,875            6,285,279             7,341,238            Total business‐type activities program revenues56,246,983         65,267,071          74,619,040           89,076,347           87,086,193           99,322,555           96,712,136           87,855,924          89,414,913           92,380,088          Total primary government program revenues91,764,822$       108,478,440$      137,269,432$      140,316,748$      129,393,464$      141,898,815$      138,688,291$       126,139,940$     126,744,224$      132,060,930$      Net (expense)/revenueGovernmental activities(70,781,066)$     (65,208,406)$      (47,444,664)$       (61,162,014)$       (65,301,759)$       (68,244,581)$       (63,906,227)$        (55,939,119)$      (56,543,137)$       (58,520,368)$      Business‐type activities556,127              9,557,317            16,027,248           26,965,022           21,583,606           30,710,702           20,753,740           11,075,402          14,367,010           11,858,803          Total primary government net expense(70,224,939)$     (55,651,089)$      (31,417,416)$       (34,196,992)$       (43,718,153)$       (37,533,879)$       (43,152,487)$        (44,863,717)$      (42,176,127)$       (46,661,565)$      Fiscal Year2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-3 TABLE 2CHANGES IN NET POSITIONLAST TEN FISCAL YEARS(accrual basis of accounting)Page 2 of 2GENERAL REVENUES AND OTHER CHANGES2010201120122013201420152016201720182019Governmental activities:TaxesProperty taxes32,586,884$       33,309,975$        33,932,290$         32,536,533$         35,112,669$         35,418,323$         37,105,988$         24,669,058$       19,046,123$         21,706,506$        Timber taxes‐$                      ‐                        ‐                        ‐                        ‐                         ‐                       ‐                        ‐                        Retail sales taxes21,591,375         22,008,777          23,653,706           25,541,972           27,223,521           29,567,506           32,933,987           33,381,395          33,564,285           32,955,528          Business taxes16,883,888         16,870,284          17,632,759           16,439,502           18,575,350           20,561,270           26,376,964           30,135,189          30,055,917           30,151,752          Excise taxes4,351,914           4,113,705            4,286,883             5,838,149             4,595,540             5,736,582             6,123,700             7,193,498            7,951,859             6,485,943            Penalties and interest276                      380                       9,486                    ‐                             ‐                             ‐                             ‐                             ‐                            ‐                             ‐                            Investment earnings794,793              602,516               589,616                613,097                1,137,752             1,303,414             1,441,471             1,587,589            2,374,510             3,011,779            Miscellaneous82,352                991,772               1,179,112             1,232,066             760,292                580,042                1,746,009             689,371               938,045                663,782               Gain on sale of capital assets1‐                            ‐                             ‐                              ‐                              ‐                             17,109                  13,710                   992,114               914,008                43,698                 Transfers(17,095)               37,454                 233,961                2,341,160             449,362                131,491                173,917                218,212               (256,835)               68,783                 Special ItemsTransfer of fire operations(32,665,407)          ‐                            ‐                             ‐                            Transfer of library assets(18,527,290)          ‐                            ‐                             ‐                            Total governmental activities76,274,387         77,934,863          81,517,813           84,542,479           87,656,244           93,315,737           54,723,049           98,866,426          94,587,912           95,087,771          Business‐type activities:Investment earnings224,974              117,090               105,129                94,077                  96,625                  225,515                332,931                483,356               1,105,019             1,365,411            Miscellaneous172,663              71,235                 44,842                  124,281                30,863                  38,014                  18,051                   48,201                 17,883                  243,965               Gain on sale of capital assets1‐                            ‐                             ‐                              ‐                             93,773                   ‐                              ‐                              ‐                             ‐                              ‐                            Transfers17,095                (37,454)                (233,961)               (2,341,160)            (449,362)               (131,491)               (173,917)               (218,212)              256,835                (68,783)                Total business‐type activities414,732              150,871               (83,990)                 (2,122,802)            (228,101)               (569,680)               177,065                313,345               1,379,737             1,540,593            Total primary government76,689,119$       78,085,734$        81,433,823$         82,419,677$         87,428,143$         92,746,057$         54,900,114$         99,179,771$       95,967,649$         96,628,364$        CHANGES IN NET POSITIONGovernmental activities5,493,321$         12,726,457$        34,073,149$         23,380,465$         22,552,727$         25,071,156$         (9,183,178)$          42,927,307$       38,044,775$         36,567,403$        Business‐type activities970,859              9,708,188            15,943,258           24,842,220           21,355,505           30,842,740           20,930,805           11,388,747          15,746,747           13,399,396          Total primary government6,464,180$         22,434,645$        50,016,407$         48,222,685$         43,908,232$         55,913,896$         11,747,627$         54,316,054$       53,791,522$         49,966,799$        Source : City of Renton Finance Division1 Prior to 2014 Gain (loss) on sale of capital assets were previously reported as "Miscellaneous".2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-4 TABLE 3FUND BALANCE OF GOVERNMENT FUNDSLAST TEN FISCAL YEARS(modified accrual basis of accounting)2010 2011 2012 2013 2014 2015 2016 2017 2018 2019General fundReserved 2,468,569$      ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 Unreserved12,020,420     ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    Nonspendable1‐                     1,149,907        ‐                    ‐                    ‐                    ‐                     200,000           ‐                    ‐                    ‐                    Restricted1‐                     786,611            690,655            303,051            250,717            156,105            974,770            1,341,610        1,428,578        1,607,617       Committed1‐                     ‐                    ‐                     4,236,362       ‐                     1,185,085       ‐                    ‐                    ‐                    ‐                    Assigned1‐                     13,812,258      16,566,659      15,929,712      286,516            260,342            236,772            8,853,636        9,545,607        7,829,990       Unassigned1‐                     ‐                     1,427,130        ‐                     19,517,236      20,183,002      28,579,805      29,077,267      41,085,590      45,660,733     Total general fund 14,488,989$    15,748,776$    18,684,444$    20,469,125$    20,054,469$    21,784,534$    29,991,347$    39,272,513$    52,059,775$    55,098,340$   All other governmental fundsReserved6,771,384$     ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 ‐$                 Unreserved, reported in:Special revenue funds2,073,227        ‐                         ‐                         ‐                         ‐                         ‐                    ‐                    ‐                    ‐                    ‐                    Debt service funds‐                         ‐                         ‐                         ‐                         ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    Capital project funds8,701,843        ‐                         ‐                         ‐                         ‐                         ‐                    ‐                    ‐                    ‐                    ‐                    Nonspendable1‐                     ‐                    ‐                    ‐                    ‐                    ‐                    64,783             ‐                    ‐                    ‐                    Restricted1‐                     19,152,913      23,730,688      22,888,877      18,722,577      7,841,326        7,528,348        13,049,222      14,852,808      37,576,471     Committed1‐                     7,468,491        6,085,812        8,513,816        ‐                     15,844,472      20,134,020      11,763,443      17,125,460      18,352,497     Assigned1‐                     6,828,410        1,220,008        137,605            12,594,651      3,290,869        6,150,838        18,261,594      13,963,776      15,519,639     Unassigned1‐                     ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    ‐                    Total all other governmental funds17,546,454$    33,449,814$    31,036,508$    31,540,298$    31,317,228$    26,976,667$    33,877,989$    43,074,259$    45,942,044$    71,448,607$   Source : City of Renton Finance Division1 In 2011, implementation of GASB 54 requires new designations of fund balance; prior year data not available in prescribed format $‐ $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000 $70,000,000 $80,000,0002010 2011 2012 2013 2014 2015 2016 2017 2018 2019General fundAll other governmental funds2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-5 TABLE 4CHANGES IN FUND BALANCES OF GOVERNMENT FUNDSLAST TEN FISCAL YEARS(modified accrual basis of accounting)2010201120122013201420152016201720182019REVENUESTaxes75,223,750$       76,266,688$       79,878,467$       80,300,752$       85,244,091$      91,417,887$       102,741,519$    95,576,042$       90,772,400$      91,299,359$       Licenses and permits 3,975,4414,410,8624,843,4466,828,797           7,724,0388,541,090           7,504,210           6,462,056           5,892,914           5,836,382           Intergovernmental 16,203,49919,441,95733,430,07822,879,043         13,717,10910,546,797         14,058,888        10,944,312         9,662,231           8,464,679           Charges for services 4,635,5024,191,0244,497,0399,641,812           11,030,50113,337,291         9,077,603           6,863,066           8,036,603           7,912,645           Fines and forfeits3,439,9263,150,3263,053,9382,788,573           2,708,4773,049,542           3,131,466           2,978,800           4,330,947           4,748,321           Interfund revenues 13,244,928 3,057,642 3,375,134 294,039               264,539 296,649               ‐                            ‐                             ‐                            ‐                            Special assessments ‐                        ‐                        ‐                        ‐                             ‐                        ‐                             ‐                            ‐                             ‐                            ‐                            Contributions 2,952,649           4,288,448           1,488,384           3,878,978           947,927              187,616              792,699              551,968              598,662              238,587              Investment Earnings 550,134              475,278              494,518              500,330              1,039,626           1,108,572           1,214,516           1,330,442           1,752,835           2,266,107           Miscellaneous Revenues 82,353                  648,608              942,998              2,208,853           2,117,198           1,994,532           3,036,059           2,280,640           2,375,518           2,079,530           Total revenues 99,848,821         120,409,318       114,678,981       110,308,182       115,930,833      130,479,976       141,556,960      126,987,326       123,422,110      122,845,610       EXPENDITURES  CurrentGeneral government 10,532,537         10,937,806         8,371,489           9,348,241           10,142,332        11,334,485         11,961,260        12,492,727         12,267,911        12,423,213         Judicial 2,402,692           2,563,989           2,610,481           2,364,631           2,400,097           2,461,668           2,536,835           2,650,678           2,727,689           3,162,916           Public safety 48,904,653         52,986,589         54,378,422         53,112,143         55,174,723        58,211,446         47,619,491        36,063,481         39,768,443        42,841,721         Utilities 2,345,459           2,048,971           2,608,369           468,442              252,826              236,245              238,057              240,611              244,244              244,452              Transportation10,748,393         10,038,344         10,137,750         11,769,366         10,092,425        10,898,934         13,631,324        12,567,755         12,947,686        10,634,812         Economic environment7,205,500           6,447,163           6,283,264           6,652,593           6,088,295           6,628,136           7,130,650           7,730,872           7,674,325           8,094,074           Health and human services787,768              511,934              523,577              1,827,736           1,840,312           1,876,841           2,068,295           2,175,116           2,371,428           2,515,683           Culture and recreation 12,310,530         11,166,081         11,537,450         11,040,787         10,942,620        12,250,743         11,786,172        13,080,103         12,897,526        13,608,275           Capital outlay12,216,152         14,981,858         24,989,777         25,356,592         16,829,123        20,274,185         12,637,649        11,895,890         11,362,136        16,171,373           Debt servicePrincipal payments 2,682,672           2,783,237           7,116,917           4,744,439           5,076,530           4,834,225           4,530,216           4,672,672           4,480,075           5,167,947           Interest and fiscal charges 2,231,823           2,502,876           3,368,903           3,315,011           3,324,433           1,660,586           1,570,322           1,390,904           1,216,109           1,646,927           Total expenditures 109,621,957       122,980,366       139,533,248       112,368,179       116,968,848      130,667,494       115,710,271      104,960,809       107,957,572      116,511,393       EXCESS (DEFICIENCY) OF REVENUESOVER EXPENDITURES(9,773,136)          (2,571,048)          (24,854,267)       (2,059,997)          (1,038,015)         (187,518)             25,846,689        22,026,517         15,464,538        6,334,217           OTHER FINANCING SOURCES (USES)Transfers in 2,545,659           3,886,650           4,183,185           5,860,038           5,175,933           9,326,629           10,252,886        9,891,918           2,440,000           18,898,175         Transfer (out) (2,822,330)          (4,144,157)          (4,113,465)          (6,102,584)          (8,463,285)         (10,786,043)       (8,480,721)         (14,374,763)       (3,931,548)         (20,157,065)       Interfund loan proceeds‐                             ‐                             ‐                             ‐                             ‐                            ‐                             ‐                            ‐                             ‐                            ‐                            Refunding bonds issued 6,170,000           9,425,000           ‐                            ‐                            ‐                            12,520,000         ‐                           ‐                            ‐                           ‐                            GO Bonds issued‐                             16,715,000         ‐                             3,200,000           ‐                           ‐                            ‐                           ‐                            ‐                            20,845,000         Premium on general obligation debt443,484              2,268,169           ‐                            ‐                            ‐                            1,171,804           ‐                           ‐                            ‐                            2,593,852           Sale of capital assets ‐                             500                       375,039               9,821                    5,170                   ‐                            ‐                            916,547              1,662,460           20,000                 Payment to refunded bond escrow agent(6,406,088)          (9,950,000)          ‐                            ‐                            ‐                            (13,573,341)       ‐                           ‐                            ‐                           ‐                            Insurance Recoveries‐                            ‐                            ‐                            ‐                             14,666                14,724                 29,061                17,217                 19,597                10,949                 Total other financing sources (uses)(69,275)                18,201,162         444,759              2,967,275           18,201,162        (1,326,227)          1,801,226           (3,549,081)          190,509              22,210,911         SPECIAL ITEMSTransfer of fire operations(12,300,367)       ‐                       ‐                       ‐                            Total special items‐                            ‐                            ‐                            ‐                            ‐                           ‐                             (12,300,367)       ‐                            ‐                           ‐                            Net change in fund balance(9,748,918)$       (2,697,405)$       (13,442,533)$     (2,129,272)$       17,163,147$      (1,513,745)$       15,347,548$      18,477,436$       15,655,047$      28,545,128$       Debt service as a percentage ofnon capital expenditures4.91%5.18%7.70%7.98%7.98%5.88%5.92%6.52%5.90%6.79%Source : City of Renton Finance DivisionTables 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. Tables Prior to 2013 used the title "Physical environment" for functions now being referred to as "Utilities".1 20019‐2012 Interfund revenues include amounts received for indirect costs allocated to departments. Beginning in 2013 these amounts are recorded as a reduction of the expenses, rather than revenue, in accordance with Generally Accepted Accounting Principles.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-6 TABLE 5WATER UTILITY SYSTEMS REVENUE INFORMATIONLAST TEN FISCAL YEARS 12010 2011 2012 2013 2014 2015 2016 2017 2018 2019City Population90,927 92,590 93,910 95,540 97,130 98,470 101,300 102,700 104,100 104,700Water SystemRate Increase10.0% 18.0% 16.0% 5.0% 5.0% 0.0% 0.0% 0.0% 0.0% 0.0%BillingSingle Family4,141,600$   4,811,663$  9,575,942$  5,887,603$  6,339,653$  6,526,128$  6,386,047$  6,558,914$  6,567,867$  6,472,448$  Multi‐Family, Commercial, Industrial4,621,839     5,538,570     6,410,943     6,772,971     6,977,452     6,823,857     7,072,435     7,297,389     7,277,957     7,084,008     Irrigation1,240,240     1,546,874     1,922,822     1,468,453     2,245,010     2,537,017     2,357,006     2,425,206     2,745,461     2,319,170     Fire Service186,289         227,699        275,952        292,149        311,936        315,931        322,539        333,951        337,687        340,641        Other2416,032          342,100        454,370        443,825        488,502        607,944        506,044        489,559        455,627        511,488        Total Water Billing10,606,000   12,466,906  18,640,029  14,865,001  16,362,553  16,810,877  16,644,071  17,105,020  17,384,599  16,727,755  Wastewater SystemRate Increase4.0% 42.0% 5.0% 5.0% 5.0% 0.0% 0.0% 4.0% 4.0% 0.0%BillingSingle Family2,896,646$   4,194,277$  4,464,521$  4,757,734$  5,069,164$  5,173,757$  5,262,490$  5,551,146$  5,820,715$  5,875,324$  Multi‐Family, Commercial, Industrial, Other 2,651,028     3,751,082     4,059,646     4,359,018     4,560,119     4,217,237     4,467,264     4,627,298     4,794,217     4,733,681     Total City Wastewater Billing5,547,674     7,945,359     8,524,167     9,116,752     9,629,283     9,390,994     9,729,754     10,178,444  10,614,932  10,609,005  King County Metro Charges11,774,984   13,468,616  13,751,047  15,357,431  15,440,140  15,556,018  16,156,367  16,865,542  16,895,073  17,314,045  Total All17,322,658   21,413,975  22,275,214  24,474,183  25,069,423  24,947,012  25,886,121  27,043,986  27,510,005  27,923,050  Storm Water SystemRate Increase0.0% 40.0% 11.0% 5.0% 5.0% 4.0% 4.0% 4.0% 4.0% 0.0%BillingSingle Family1,834,693$   2,602,439$  2,952,519$  3,130,413$  3,332,758$  3,498,882$  3,671,923$  3,848,958$  4,022,009$  4,043,489$  Multi‐Family, Commercial, Industrial, Other3,075,580     4,342,672     4,801,900     5,035,416     5,742,495     6,012,017     6,235,149     6,690,859     6,906,349     6,932,067     Total Storm Water Billing4,910,273     6,945,111     7,754,419     8,165,829     9,075,253     9,510,899     9,907,072     10,539,817  10,928,358  10,975,556  1 Data for prior years provided where available.2 Includes wholesale water provided to the Skyway Water and Sewer District through a single metered connection.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-7 TABLE 6PRINCIPAL RATEPAYERSPage 1 of 3WATER20192010% of Total% of TotalRatepayerRevenue Rank RevenueRevenue Rank RevenueBoeing Commercial495,751$                   1 2.96%275,217$                   1 2.60%City Of Renton438,595                      2 2.62%225,271                      3 2.12%King County405,583                      3 2.43%261,844                      2 2.47%Renton School District203,142                      4 1.21%83,726                        6 0.79%Skyway Water and Sewer District159,365                       5 0.95% 118,150                       4 1.11%Public Hosp Dist #1 of KC 146,142                       6 0.87% 75,016                         9 0.71%TLUS Rise Renton LP 124,100                       7 0.74% ‐                                    0.00%Copper Ridge Renton LLC 119,365                       8 0.71% ‐                                    0.00%CPT The Landing LLC 115,099                       9 0.69% ‐                                    0.00%Renton Housing Authority99,307                         10 0.59% ‐                                    0.00%The Arbors at Sunset92,449                         5 0.87%Axis Grand Apartments79,897                         7 0.75%Ergis IX Reo LLC75,029                         8 0.71%Service Linen Supply Inc72,521                         10 0.68%All Other8,083,600                   48.33% 5,224,918                   49.26%Single Family6,315,677                   37.76% 4,021,962                   37.92%Misc 20,769                         0.12%Total Revenue 16,726,495$               100.00% 10,606,000$               100.00%Source : City of Renton Finance Division2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-8 TABLE 6PRINCIPAL RATEPAYERSPage 2 of 3SURFACE WATER20192010% of Total% of TotalRatepayerRevenue Rank RevenueRevenue Rank RevenueCity of Renton1,253,179$                1 11.42%297,902$                   1 6.07%Boeing Commercial393,833                      2 3.59%196,926                      2 4.01%Renton School District279,706                      3 2.55%129,028                      3 2.63%King County240,416                      4 2.19%113,876                      4 2.32%WA State Dept of Transportation92,387                        5 0.84%44,021                        5 0.90%Kenworth Truck Company84,228                        6 0.77%42,027                        6 0.86%Stoneway Rock and Recycling67,783                        7 0.62%33,820                        7 0.69%Leisure Estates Office65,790                        8 0.60%32,820                        8 0.67%The Kroger Co52,208                        9 0.48%26,045                        10 0.53%CPT The Landing LLC49,169                        10 0.45%Pearlmark Harvest Lakeshore LLC26,237                        9 0.53%All Other4,415,857                   40.23% 2,173,254                   44.26%Single Family3,977,193                   36.24% 1,794,317                   36.54%Misc 3,795                           0.04%Total Revenue 10,975,544$               100.00% 4,910,273$                 100.00%Source : City of Renton Finance Division2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-9 TABLE 6PRINCIPAL RATEPAYERSPage 3 of 3WASTEWATER20192010% of Total% of TotalRatepayerRevenue Rank RevenueRevenue Rank RevenueBoeing Commercial236,737$                   1 2.23%115,398$                   1 2.08%Public Hosp Dist #1 of KC98,119                        2 0.93%51,935                        3 0.94%TLUS Rise Renton LP77,289                        3 0.73%Copper Ridge Renton LLC75,484                        4 0.71%Service Linen Supply Inc70,334                         5 0.66% 50,155                         4 0.90%Sunset View Owner LLC 59,384                         6 0.56%Renton Housing Authority59,090                         7 0.56%Renton Preservation LP 56,845                         8 0.54%City of Renton 56,573                         9 0.53% 46,248                         5 0.83%CPT The Landing LLC 55,748                         10 0.53%The Arbors at Sunset63,571                         2 1.15%Ergis IX Reo LLC44,572                         6 0.80%Axis Grand Apartments42,291                         7 0.76%G and K Services36,030                         8 0.65%Holiday Inn Renton35,983                         9 0.65%Maplewood LLC35,977                         10 0.65%All Other4,001,380                   37.72% 2,203,972                   39.73%Single Family5,755,988                   54.26% 2,821,542                   50.86%Misc 6,034                           0.06%Total Revenue 10,609,005$               100.00% 5,547,674$                 100.00%Source : City of Renton Finance Division2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-10 TABLE 7WATER UTILITY RATESLAST 10 FISCAL YEARS 1Page 1 of 32010 2011 2012 2013 2014 2015 2016 2017 2018 2019Water RatesMonthly RatesBasic Charge3/4" 11.66 13.76 15.96 16.76 17.60 17.60 17.60 17.60 17.60 17.601" 24.15 28.50 33.06 34.71 34.89 34.89 34.89 34.89 34.89 34.891 1/2" 44.62 52.65 61.07 64.12 67.33 67.33 67.33 67.33 67.33 67.332" 69.92 82.51 95.71 100.50 105.52 105.52 105.52 105.52 105.52 105.523" 143.67 169.53 196.65 206.48 216.81 216.81 216.81 216.81 216.81 216.814" 219.24 258.70 300.00 315.00 330.75 330.75 330.75 330.75 330.75 330.756" 427.56 504.52 585.24 614.50 645.28 645.28 645.28 645.28 645.28 645.288" 836.94 987.59 1,145.52 1,202.80 1,262.94 1,262.94 1,262.94 1,262.94 1,262.94 1,262.9410"1,247.52 1,472.07 1,707.60 1,792.98 1,882.63 1,882.63 1,882.63 1,882.63 1,882.63 1,882.6312"1,815.55 2,142.35 2,485.13 2,609.39 2,739.86 2,739.86 2,739.86 2,739.86 2,739.86 2,739.86Charge for Irrigation3/4"7.02 8.28 9.60 10.08 10.58 10.58 10.58 10.58 10.58 10.581"12.53 14.79 17.16 18.02 18.92 18.92 18.92 18.92 18.92 18.921 1/2"21.40 25.25 29.29 30.75 32.29 32.29 32.29 32.29 32.29 32.292"32.77 38.67 44.86 47.10 49.46 49.46 49.46 49.46 49.46 49.463"69.36 81.84 94.94 99.69 104.57 104.57 104.57 104.57 104.57 104.574"103.14 121.71 141.18 148.24 155.65 155.65 155.65 155.65 155.65 155.656"195.35 230.51 267.40 280.77 294.81 294.81 294.81 294.81 294.81 294.818"427.49 504.44 585.15 614.41 645.13 645.13 645.13 645.13 645.13 645.1310"549.70 648.65 752.43 790.05 829.55 829.55 829.55 829.55 829.55 829.5512"793.78 936.66 1,086.53 1,140.86 1,197.90 1,197.90 1,197.90 1,197.90 1,197.90 1,197.901 Data for prior years provided where available.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-11 TABLE 7WATER UTILITY RATESLAST 10 FISCAL YEARS 1Page 2 of 32010 2011 2012 2013 2014 2015 2016 2017 2018 2019Water Rates, continuedMonthly RatesFire Meterper meter inch1"4.16 4.91 5.69 5.97 6.27 6.27 6.27 6.27 6.27 6.271 1/2"4.64 5.48 6.36 6.68 7.01 7.01 7.01 7.01 7.01 7.012"5.97 7.04 8.17 8.58 9.01 9.01 9.01 9.01 9.01 9.013"15.76 18.60 21.58 22.66 23.79 23.79 23.79 23.79 23.79 23.794"19.40 22.89 26.55 27.88 29.27 29.27 29.27 29.27 29.27 29.276"27.87 32.89 38.15 40.06 42.06 42.06 42.06 42.06 42.06 42.068"37.53 44.29 51.38 53.95 56.65 56.65 56.65 56.65 56.65 56.6510"48.43 57.15 66.29 69.60 73.08 73.08 73.08 73.08 73.08 73.0812"N/A N/A N/A N/A N/A N/A N/A 87.68 87.68 87.68Useage Ratesrate/100 cf  (100cf = 748 gallons)Single Family:< 500 cf/mo1.68 1.98 2.30 2.42 2.54 2.54 2.54 2.54 2.54 2.54500‐1,000 cf/mo2.26 2.67 3.09 3.24 3.41 3.41 3.41 3.41 3.41 3.41< 1,000 cf/mo> 1,000 cf/mo2.85 3.36 3.90 4.10 4.30 4.30 4.30 4.30 4.30 4.30All Other UsersMulti‐family2.18 2.57 2.98 3.13 3.29 3.29 3.29 3.29 3.29 3.29Non‐residential2.31 2.73 3.16 3.32 3.48 3.48 3.48 3.48 3.48 3.48Private irrigation3.70 4.37 5.06 5.31 5.58 5.58 5.58 5.58 5.58 5.58City irrigation2.60 3.07 3.56 3.74 3.92 3.92 3.92 3.92 3.92 3.92Hydrant MeterN/A N/A N/A N/A N/A N/A N/A 5.58 5.58 5.581 Data for prior years provided where available.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-12 TABLE 7WATER UTILITY RATESLAST 10 FISCAL YEARS 1Page 3 of 32010 2011 2012 2013 2014 2015 2016 2017 2018 2019Surface Water RatesMonthly ratesSingle‐family 7.41 10.37 11.51 12.09 12.69 13.20 13.73 14.28 14.85 14.85Commercial Minimums<= .5 acreMonthly rateLow Intensity18.34 25.68 28.50 29.93 31.42 32.68 33.99 35.35 36.76 36.76Medium Intensity26.53 37.14 41.23 43.29 45.46 47.28 49.17 51.14 53.18 53.18High Intensity34.21 47.89 53.16 55.82 58.61 60.95 63.39 65.93 68.56 68.56> .5 acreRate per acreLow Intensity36.69 51.37 57.02 59.87 62.86 65.37 67.98 70.70 73.53 73.53Medium Intensity53.04 74.26 82.42 86.54 90.87 94.50 98.28 102.21 106.30 106.30High Intensity68.41 95.77 106.31 111.63 117.21 121.90 126.78 131.85 137.13 137.13Wastewater RatesMonthly RatesSingle‐familyRenton 16.82 23.88 25.08 26.33 27.65 27.65 27.65 28.76 29.91 29.91King County 33.06 37.26 37.26 40.95 40.95 42.61 42.61 44.22 44.22 45.53Other UsersRentonBase charge 2.54 3.61 3.79 4.05 4.25 4.25 4.25 4.42 4.60 4.60Per 100 cf 1.90 2.70 2.83 2.97 3.12 3.12 3.12 3.24 3.37 3.37King CountyPer 750 cf 33.06 37.26 37.26 40.95 40.95 42.61 42.61 44.22 44.22 45.531 Data for prior years provided where available.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-13 TABLE 8GENERAL GOVERNMENT TAX REVENUE BY SOURCELAST TEN FISCAL YEARS(accrual basis of accounting) FISCAL YEAR   PROPERTY TAX   SALES TAX   BUSINESS TAXES   EXCISE TAX   TOTAL TAX 2010 32,586,884            21,591,375            16,883,888            4,351,914              75,414,061           2011 33,309,975            22,008,777            16,870,284            4,113,705              76,302,741           2012 33,932,290            23,653,706            17,632,759            4,286,883              79,505,638           2013 32,536,533            25,541,972            16,439,502            5,838,149              80,356,156           2014 35,112,669            27,223,521            18,575,350            4,595,540              85,507,080           2015 35,418,323            29,567,506            20,561,270            5,736,582              91,283,681           2016 37,105,988            32,933,987            26,376,964            6,123,700              102,540,639        2017 24,669,058            33,381,395            30,135,189            7,193,498              95,379,140           2018 19,046,123            33,564,285            30,055,917            7,951,859              90,618,184           2019 21,706,506            32,955,528            30,151,752            6,485,943              91,299,729           Source : City of Renton Finance Division$0$20,000,000$40,000,000$60,000,000$80,000,000$100,000,000$120,000,0002010 2011 2012 2013 2014 2015 2016 2017 2018 2019Property TaxSales TaxBusiness TaxExcise Tax2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-14 TABLE 9PRINCIPAL PROPERTY TAX PAYERS2019 2010% OF TOTAL % OF TOTALTAXABLE1TAXABLETAXABLE1TAXABLEASSESSED ASSESSED ASSESSED ASSESSEDTAXPAYER VALUE RANK VALUE VALUE RANK VALUEBoeing917,917,996$         1 4.79%816,632,281$         1 6.87%Southport LLC214,173,000           2 1.12%CPT The Landing LLC161,996,500           3 0.85%Puget Sound Energy‐Elec/Gas147,662,162            4 0.77% 95,185,071              3 0.80%Paccar131,875,157           5 0.69%115,630,722           2 0.97%Hotel at Southport LLC100,076,800           6 0.52%Port Quendall Company98,720,700             7 0.52%TLUS Rise Renton LP 95,710,400              8 0.50%Oaksdale Business Park LLC 81,251,900              9 0.42%BMF IV WA Grammercy LLC 78,321,000              10 0.41%Transwestern Harvest Lakeshore68,455,459              4 0.58%Renton Properties LLC56,821,800              5 0.48%Black River JV LLC (formerly ECI Two WTC LLC)50,835,600             6 0.43%Providence Health50,395,417             7 0.42%Fred Meyer Stores Inc46,337,192             8 0.39%Axis Grand Holdings41,166,000             9 0.35%BRE Properties38,300,700             10 0.32%All Others17,124,318,700     89.41% 10,504,968,198     88.39%Total Assessed Valuation19,152,024,315$   100.00% 11,884,728,440$   100.00%Source: 1King County Department of Assessments2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-15 FISCAL YEARCOMMERCIAL PROPERTYINDUSTRIAL PROPERTY RESIDENTIAL PROPERTY LESS: EXEMPT REAL PROPERTY4PERSONAL PROPERTY3ADJUSTMENTS TO BASE2TOTAL TAXABLE ASSESSED VALUE3DIRECT TAX RATE32010 2,877,658,818      1,728,440,200      7,184,089,489      1,359,951,195      840,554,180       613,936,948         11,884,728,440   2.7122011 3,003,796,896      1,746,154,400      6,654,066,896      1,636,584,396      821,141,161       891,891,404         11,480,466,361   2.8322012 2,971,359,393      1,373,778,056      6,482,467,387      1,585,047,600      806,821,188       766,080,093         10,815,458,517   3.1002013 2,693,600,191     1,312,002,800     6,753,032,784     511,297,275        806,299,478      (464,916,779)       10,588,721,199  3.1002014 2,433,225,730     1,267,488,700     7,926,464,800     539,444,058        949,284,799      (704,693,058)       11,332,326,913  3.1522015 2,509,928,450     1,147,653,230     8,794,605,250     592,768,450        923,325,641      154,013,498        12,936,757,619  2.8332016 2,681,711,050     1,271,788,530     9,078,657,800     645,210,723        935,849,150      489,977,352        13,812,773,159  2.7102017 3,051,049,072     1,340,511,480     10,672,639,000  648,346,872        1,032,050,717   (341,864,438)       15,106,038,959  1.6102018 4,000,946,859     1,460,628,600     12,419,995,863  654,990,948        1,042,332,172   (1,359,862,495)   16,909,050,051  1.1542019 4,117,936,086     1,645,625,551     12,865,889,234  673,157,602        960,517,474      235,213,572        19,152,024,315  1.118Tax rate for general City operations is limited to $3.10 per $1,000 of assessed value (RCW 84.52.043).  Tax rate limit may be reduced for any of the following reasons:Levy Limit; The One Percent Constitution Limit; City may levy taxes below the legal limit.  For further explanation refer to Note 4 Property Taxes.TABLE 10ASSESSED VALUE OF TAXABLE PROPERTYLAST TEN FISCAL YEARSREAL PROPERTY 14Change to state law (RCW 84. 40.045 and 84.40.175) by the 2013 Legislature eliminated revaluation of government owned parcels.2Includes adjustments to the tax base for senior citizen exemptions, prior year omits, etc.     3King County Assessor Annual ReportsNote:  2008 and 2009 Adjustments to Base reflect the Benson Hill Annexation1King County Department of Assessments Data; prior year data has been updated with current method of data collection via City of Renton GIS Services.Sources:$2.71$2.83$3.10$3.10$3.15$2.83$2.71$1.61$1.15$1.121.0001.5002.0002.5003.0003.5004.0004.5005.0005.5006.000 $‐ $5 $10 $15 $20 $252010 2011 2012 2013 2014 2015 2016 2017 2018 2019BillionsTotal Taxable Assessed ValueDirect Tax Rate2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-16 TABLE 11PROPERTY TAX RATES DIRECT AND OVERLAPPING GOVERNMENTS LAST TEN FISCAL YEARSDIRECT RATESOVERLAPPING RATESCITY OF RENTON CONSOLIDATED LEVY SCHOOL DISTRICTFISCAL YEAR OPERATING MILLAGE  DEBT SERVICE MILLAGE  TOTAL CITY MILLAGE State of Washington KING COUNTY OPERATING MILLAGE  KING COUNTY DEBT SERVICE MILLAGE Port (Operating and Debt) Total Consolidated Levy(State, County & Port) SPECIAL DISTRICTS1 OPERATING MILLAGE  DEBT SERVICE MILLAGE  BUILDING FUND MILLAGE  TOTAL SCHOOL MILLAGE TOTAL OVERLAPPING MILLAGETOTAL DIRECT AND OVERLAPPING MILLAGE2010 2.71184             ‐              2.71184           2.22253            1.16171            0.12328            0.21597            3.72349            0.94152            1.70401            1.69983            0.33997            3.74381            8.40882            11.12066        2011 2.83207             ‐              2.83207           2.27990            1.14534            0.19282            0.22366            3.84172            1.47089            1.86118            1.85585            0.35198            4.06901            9.38162            12.21369        2012 3.10000             ‐              3.10000           2.42266            1.21477            0.20111            0.22982            4.06836            1.41988            2.08341            2.18222            0.37368            4.63931            10.12755         13.22755        2013 3.10000             ‐              3.10000           2.56720            1.34165            0.19885            0.23324            4.34094            1.50331            2.49448            2.30546            0.55769            5.35763            11.20188         14.30188        2014 3.15158             ‐              3.15158           2.47044            1.32983            0.18622            0.21533            4.20182            1.55393            2.44841            2.43218            0.52436            5.40495            11.16070         14.31228        2015 2.83283             ‐              2.83283           2.28514           1.19644           0.14878           0.18885           3.81921           1.44353           2.41546           1.71412           0.46343           4.59301           9.85575           12.68858        2016 2.70956            ‐             2.70956          2.16898           1.32977           0.15051           0.16954           3.81880           1.38929           2.35107           2.57140           0.43248           5.35495           10.56304        13.27260        2017 1.60954            ‐             1.60954          2.03205           1.24349           0.13945           0.15334           3.56833           2.58252           2.30780           1.33954           1.31244           4.95978           11.11063        12.72017        2018 1.15364            ‐             1.15364          2.91820           1.20156           0.12579           0.13518           4.38073           2.36018           2.32725           1.19417           1.14765           4.66907           11.40998        12.56362        2019 1.18417            ‐             1.18417          2.62922           1.09639           0.12267           0.12266           3.97094           1.73095           1.50000           1.03306           0.97338           3.50644           9.20833           10.39250        Source: King County Codes and Levies1 Special Districts include Emergency Medical Services, Hospital districts, Library, Flood Zones, Fire Districts, and Other.11.12066 12.21369 13.22755 14.30188 14.31228 12.68858 13.27260 12.72017 12.56362 10.39250  ‐ 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.02010 2011 2012 2013 2014 2015 2016 2017 2018 2019CityConsolidated LevySpecial DistrictsSchool DistrictsTotal direct and overlapping2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-17 TABLE 12PROPERTY TAX LEVIES AND COLLECTIONSLAST TEN FISCAL YEARSTOTAL TAXCOLLECTED WITHIN THE 1COLLECTIONS 1,2 TOTAL COLLECTIONS TO FISCAL LEVY FOR FISCAL YEAR OF THE LEVY IN SUBSEQUENT DATE 2YEAR FISCAL YEAR AMOUNT % OF LEVY YEARSAMOUNT % OF LEVY201032,057,010          31,283,546          97.6%772,426               32,055,972.56    100.0%201132,330,000          31,538,875          97.6%795,195               32,334,069.92    100.0%201233,400,000          32,904,890          98.5%506,853               33,411,742.69    100.0%201332,563,355          32,170,706          98.1%396,838               32,567,543.87    100.0%201435,520,000          35,054,493          98.7%467,763               35,522,256.68    100.0%201536,420,000          36,026,892          98.9%392,690               36,419,581.56    100.0%201637,269,743          36,862,540          98.9%430,328               37,292,868.44    100.1%201724,200,000          23,756,999          98.2%444,793               24,201,792.21    100.0%201819,400,000          19,192,947          98.9%145,856               19,338,802.56    99.7%201921,058,328          20,833,805          98.9%N/A 20,833,805.00    98.9%‐$                          Sources:   1 Annual Tax Receivable Summary from King County2 Includes Collections and Levy Changes in subsequent years95%96%97%98%99%100% $‐ $5 $10 $15 $20 $25 $30 $35 $402010 2011 2012 2013 2014 2015 2016 2017 2018 2019MillionsTax LeviedCollected in Year Levied2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-18 TABLE 13SALES TAX COLLECTIONS BY SECTORLAST TEN FISCAL YEARS2010 2011 2012 2013 2014 2015 2016 2017 2018 2019RETAIL TRADE SECTORFurniture 1,143,289$      1,186,244$      1,320,786$      1,461,950$      1,552,003$      1,670,492$      1,727,458$      1,820,848$      514,310$          284,862$         Electronics and Appliances1,086,334         988,355            962,595            742,150            785,507            815,051            832,583            815,267            860,895            821,722           General Merchandise1,646,351         1,652,442         1,722,213         1,707,695         1,733,558         1,826,260         1,856,109         1,859,900         1,790,704         1,726,997        Misc Retail Trade558,709            594,226            614,814            661,905            653,772            635,438            545,156            598,632            2,060,038         2,485,865        Others 1,563,101         1,649,231         1,862,533         2,003,901         1,992,620         2,166,015         2,334,225         2,616,887         2,529,467         2,681,185        Subtotal Retail  5,997,784         6,070,498         6,482,942         6,577,601         6,717,460         7,113,256         7,295,531        7,711,534        7,755,414        8,000,631        OTHER SECTORSConstruction 2,218,377        1,576,127        1,844,545        2,694,710        2,316,188        3,019,042        4,682,830        4,246,126        4,585,841        3,751,460        Manufacturing410,896           452,778           551,622           552,474           446,615           448,230           514,526           460,241           500,576           491,889           Transportation400,848           366,556           620,297           492,237           770,889           1,592,590        1,295,994        1,090,118        1,349,230        1,370,784        Wholesale941,315           1,148,660        1,169,432        1,174,007        1,157,750        1,198,961        1,435,378        1,405,676        1,571,217        1,654,800        Automotive 3,035,251        3,179,418        3,361,196        3,731,241        4,104,744        4,597,151        4,809,026        4,775,263        5,118,532        5,220,618        Services3,694,342        3,960,151        4,221,446        4,362,344        4,576,039        5,145,373        5,635,186        5,884,292        6,855,309        7,178,122        Miscellaneous533,667           721,805           441,252           553,106           590,685           566,166           684,762           758,384           692,516           650,275           Subtotal ‐ Other Sectors  11,234,696     11,405,496     12,209,789     13,560,119     13,962,910     16,567,513     19,057,702     18,620,100     20,673,221     20,317,948     Total Sales Tax17,232,479$   17,475,994$   18,692,731$   20,137,720$   20,680,370$   23,680,769$   26,353,233$   26,331,634$   28,428,635$   28,318,579$   Source : City of Renton Finance DivisionIn 2007, the State of Washington changed industry classification from the Standard Industry Classification (SIC) to the North American Industry Classification System (NAICS).  This change reclassified various other retail activities to the expanded service classification.   $‐ $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,0002010 2011 2012 2013 2014 2015 2016 2017 2018 2019RetailConstructionManufacturingTransportationWholesaleAutomotiveServicesMiscellaneous2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-19 TABLE 14 RATIOS OF OUTSTANDING DEBT BY TYPE LAST TEN FISCAL YEARS           GOVERNMENTAL ACTIVITIES BUSINESS‐TYPE ACTIVITIES FISCAL  YEAR  GENERAL  OBLIGATION  BONDS   SPECIAL  ASSESSMENT  BONDS  OTHER  GENERAL  OBLIGATION2  REVENUE  BONDS   OTHER LONG  TERM DEBT  TOTAL PRIMARY  GOVERNMENT  DEBT PERCENTAGE  OF PERSONAL  INCOME1  DEBT PER  CAPITA   % of Actual  Taxable Value of Property  2010 36,990,612       ‐                        38,511,875       36,955,000       7,357,546         119,815,033       10.97% 1,318           0.96% 2011 52,993,407       ‐                        38,053,639       34,926,581       6,443,218         132,416,845       11.26% 1,430           1.01% 2012 46,743,675       ‐                        36,891,722       32,492,802       5,538,929         121,667,128       9.16% 1,296           1.15% 2013 46,103,944       ‐                        35,692,283       31,208,819       4,660,282         117,665,328       8.60% 1,232           1.12% 2014 41,882,832       ‐                        34,639,998       28,677,301       3,951,670         109,151,801       7.20% 1,124           1.11% 2015 37,399,331       ‐                        33,340,737       27,175,783       3,248,163         101,164,014       6.25% 1,027           0.96% 2016 32,867,371       ‐                        32,220,614       25,547,511       2,639,258         93,274,754         5.40% 921               0.67% 2017 29,093,663       ‐                        31,052,617       24,919,359       2,244,083         87,309,722         4.69% 850               0.58% 2018 24,705,089       ‐                        29,845,813       22,740,572       1,898,266         79,189,740         3.92% 761               0.47% 2019 42,998,621       24,588,550       20,444,953       1,552,448         89,584,571        N/A 856              0.47% Source : City of Renton Finance Division 1 The percentage of Personal Income column is based on personal income of King County. (See Table 20).  Renton data is not available. 2 Other GO debt includes debt issued by related entities that are backed by the City's full faith and credit as well as intergovernmental loans and capital leases. Prior years have been updated to reflect the Capital Lease agreement that started in 2014.  $‐  $20,000,000  $40,000,000  $60,000,000  $80,000,000  $100,000,000  $120,000,000  $140,000,000 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 General Obligation (Governmental)Other Long Term (Governmental)Revenue (Business‐Type)Other Long Term (Business‐Type) 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-20 TABLE 15LEGAL DEBT MARGIN INFORMATIONLAST TEN FISCAL YEARS2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 LEGAL DEBT MARGIN CALCULATION  Taxable Assessed value 11,884,728,440$     11,480,466,361$        10,815,458,517$        10,588,721,199$        11,332,326,913$        12,936,757,619$        13,812,773,159$        15,106,038,959$        16,909,050,051$        19,152,024,315$        Total Taxable Assessed Value 11,884,728,440       11,480,466,361          10,815,458,517          10,588,721,199          11,332,326,913          12,936,757,619          13,812,773,159          15,106,038,959          16,909,050,051          19,152,024,315          Debt limit   1.5% of General purpose limit, non‐voted 178,270,927           172,206,995              162,231,878              158,830,818              169,984,904              194,051,364              207,191,597              226,590,584              253,635,751              287,280,365               1.0% General purpose limit, voted  118,847,284           114,804,664              108,154,585              105,887,212              113,323,269              129,367,576              138,127,732              151,060,390              169,090,501              191,520,243               2.5% General purpose combined limit  297,118,211            287,011,659               270,386,463               264,718,030               283,308,173               323,418,940               345,319,329               377,650,974               422,726,251               478,800,608                2.5% Utility purpose limit, voted 297,118,211            287,011,659               270,386,463               264,718,030               283,308,173               323,418,940               345,319,329               377,650,974               422,726,251               478,800,608                2.5% Open space, park facilities, voted 297,118,211            287,011,659               270,386,463               264,718,030               283,308,173               323,418,940               345,319,329               377,650,974               422,726,251               478,800,608                Total debt limit  891,354,633            861,034,977               811,159,389               794,154,090               849,924,518               970,256,821               1,035,957,987           1,132,952,922           1,268,178,754           1,436,401,824           Debt applicable to limitGeneral obligation bonds36,990,612              52,993,407                 46,743,675                 46,103,944                 41,882,832                 37,399,331                 32,867,371                 29,093,663                 24,705,089                 42,998,621                 Other long term debt38,511,875              38,053,639                 36,891,722                 35,692,283                 34,639,998                 33,340,737                 32,220,614                 31,052,617                 29,845,813                 24,588,550                  Total Debt 75,502,487              91,047,046                 83,635,397                 81,796,227                 76,522,830                 70,740,068                 65,087,985                 60,146,280                 54,550,902                 67,587,171                 Less: Amount set aside for repayment of general obligation debt and contracts payable(1,009,555)               (1,032,360)                  (1,160,000)                  (1,279,231)                  (1,639,891)                  (2,368,177)                  (2,428,018)                  (2,359,933)                  (2,787,931)                  (4,001,799)                   Total net debt applicable to limit 74,492,932              90,014,686                 82,475,397                 80,516,996                 74,882,939                 68,371,891                 62,659,967                 57,786,347                 51,762,971                 63,585,372                  Legal debt margin 816,861,701$           771,020,291$             728,683,991$             713,637,094$             775,041,580$             901,884,931$             973,298,020$             1,075,166,575$          1,216,415,783$          1,372,816,452$         Percentage of net debt to debt limit8.36% 10.45% 10.17% 10.14% 8.81% 7.05% 6.05% 5.10% 4.08% 4.43%Source : City of Renton Finance DivisionState 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; 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 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.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-21 % OF GEN BONDED2 GENERAL 1 DEBT TO FISCAL BONDED ASSESSED2 ASSESSED PER3 YEAR DEBT VALUE VALUE CAPITA 2010 75,502,487           11,884,728,440       0.64%830 2011 91,047,046           11,480,466,361       0.79%983 2012 83,635,397           10,815,458,517       0.77%891 2013 81,796,227           10,588,721,199       0.77%856 2014 76,522,830           11,332,326,913       0.68%788 2015 70,740,068           12,936,757,619       0.55%718 2016 65,087,985           13,812,773,159       0.47%643 2017 60,146,280           15,106,038,959       0.40%586 2018 54,550,902           16,909,050,051       0.32%524 2019 67,587,171           19,152,024,315       0.35%646 Source:  1 City of Renton Finance Division 2 King County Department of Assessments 3 Population Data can be found in Table 19 TABLE 16 RATIOS OF GENERAL BONDED DEBT OUSTANDING TO ASSESSED VALUE LAST TEN FISCAL YEARS  $‐  200  400  600  800  1,000  1,200 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-22 Utilities GOVERNMENTAL UNIT Debt Outstanding1 Estimated Percent  Applicable2 Estimated Share of  overlapping debt City of Renton Direct Debt 67,587,171$               100% 67,587,171$             City of Renton Overlapping Debt   4 King County 3 669,566,000               3.16% 21,139,208               Port of Seattle 335,470,000               3.16% 10,591,293               Renton School District #403 228,325,000               68.90% 157,305,909             Issaquah School District #411 689,655,000               2.36% 16,272,478               Kent School District #415 247,156,000               1.60% 3,962,037                  Fire District 10‐1 3,170,000                    0.32% 10,202                       Fire District 40‐1 1,195,000                    42.92% 512,884                     King County Library 68,420,000                  1.11% 759,120                     City of Renton Overlapping Debt 210,553,133             Total Direct and Overlapping Debt 278,140,303$           Sources:  2 King County Department of Assessments TABLE 17 DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT 1 King County Department of Executive Services ⁴  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.    3  King County's gross outstanding debt excludes available cash in debt service funds, proprietary‐type debt, debt financed from component  unit, credit enhanced program. Renton 24% King County 8% Schools 64% Port of Seattle 4% Others 0% 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-23 TABLE 18 PLEDGED‐REVENUE COVERAGE LAST TEN FISCAL YEARS Ratio Fiscal  Year Revenue 1 Expenses without  Taxes/  Depreciation Net Revenue  Available for  Debt Service Principal Interest Coverage2 2010 33,885,499         25,546,607            8,338,892 2,859,290         1,693,010         1.83 2011 40,538,269         25,424,551            15,113,718 2,934,290         1,673,045         3.28 2012 44,534,579         27,225,957            17,308,622 3,379,290         1,577,350         3.49 2013 45,849,249         27,538,433            18,310,816 2,168,648         1,292,497         5.29 2014 48,247,542         29,685,885            18,561,657 3,253,612         1,243,751         4.13 2015 50,143,096         30,737,021            19,406,075 2,218,509         1,124,534         5.80 2016 50,614,218         39,147,449            11,466,769 2,348,901         887,754             3.54 2017 53,140,049         35,056,056            18,083,993 2,165,175         669,440             6.38 2018 54,486,431         35,196,065            19,290,366 2,473,986         556,599             6.37 2019 54,435,195         38,164,206            16,270,989 2,590,818         514,821             5.24 1 Revenue includes operating revenue, interest revenue, and other non‐operating revenue, net of utility taxes. 2 Bond financing requirements are that the average annual coverage is at least 1.25 times the annual debt service for Water and Sewer revenue  bonds.   Revenue Debt Service 1.83 3.28 3.49 5.29 4.13 5.80 3.54 6.38 6.37 5.24 0 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Waterworks Net Revenue available for debt service Debt Service Coverage 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-24 PER CAPITA PERSONAL PERSONAL  SCHOOL POPULATION INCOME  INCOME ENROLLMENT 5 RATE 6 FISCAL MEDIAN RENTON SCHOOL YEAR KING COUNTY 2 RENTON 1 KING COUNTY 2 KING COUNTY 3 AGE 4 DISTRICT KING COUNTY  RENTON 2009 1,912,012 83,650          106,247,964,000      55,512             37.08 13,977                  8.0% 8.6% 2010 1,938,375 90,927          109,193,564,000      56,333             37.09 13,600                  9.1% 7.7% 2011 1,974,084 92,590          117,594,650,000      59,569             37.38 14,440                  8.0% 6.8% 2012 2,011,323 93,910          132,860,453,000      66,056             37.70 14,590                  6.4% 6.0% 2013 2,047,543 95,540          136,752,224,000      66,788             37.70 14,783                  5.0% 4.7% 2014 2,085,730 97,130          151,515,304,000      72,644             37.44 15,080                  4.6% 4.2% 2015 2,126,561 98,470          161,877,609,000      76,122             37.24 15,241                  4.6% 4.3% 2016 2,166,602 101,300       172,768,856,000      79,742             36.67 15,319                  3.4% 3.2% 2017 2,204,229 102,700       186,349,730,000      84,542             36.30 15,334                  3.6% 3.8% 2018 2,233,163 104,100       201,962,200,000      90,438             36.23 15,414                  3.5% 3.7% 2019 * 104,700        * * 36.19 15,204                  3.0% 3.2% Sources:  1 Washington State Office of Financial Management ‐ prior year data updated to reflect actuals where adjusted 2 U.S. Bureau of Economic Analysis.  Data shown is for King County.  Specific data for the City of Renton is not available. 3 U.S. Bureau of Economic Analysis.  Data shown is for King County.  Specific data for the City of Renton is not available. 4 Washington State Office of Financial Management ‐ prior year data updated to reflect actuals where adjusted 5 Enrollment is based on entire Renton School District, which includes schools located outside city boundaries but excludes schools of Kent and Issaquah school districts located within Renton city limits. 6 US Bureau of Labor Statistics; annual rates, not seasonally adjusted, 2010‐2014 are provisional and subject to change * Data not available at time of publication TABLE 19 DEMOGRAPHIC AND ECONOMIC STATISTICS LAST TEN FISCAL YEARS UNEMPLOYMENT 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 King County Unemployment Rate City of Renton Unemployment Rate 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-25 EMPLOYER EMPLOYEES RANK % OF TOTAL EMPLOYEES RANK % OF TOTAL  BOEING COMPANY 14,753 1 21.63% 12,913 1 23.81% VALLEY MEDICAL CENTER 3,663 2 5.37% 2,012 2 3.71% RENTON SCHOOL DISTRICT 2,677 3 3.93% 1,333 4 2.46% PACCAR INC 1,797 4 2.63% 732 6 1.35% PROVIDENCE WA REGIONAL SERVICES 1,614 5 2.37% 770 5 1.42% CITY OF RENTON 1,006 7 1.48% 698 7 1.29% KAISER PERMANENTE (FORMERLY GROUP HEALTH)* 1,013 6 1.49% FRED MEYER STORES 944 8 1.38% IKEA 884 9 1.30% KING COUNTY* 714 10 1.05% 424 9 0.78% DOT ‐ FEDERAL AVIATION ADMINISTRATION 1,475 3 2.72% ER SOLUTIONS 479 8 0.88% PUGET SOUNS EDUCATIONAL SERVICES DISTRICT 351 10 0.65% Total Principal Employers 29,065 42.62%21,187 39.06% Total All Other Employers 39,138 57.38%33,052 60.94% Total Employees working within Renton 68,203 100.00%54,239 100.00% Sources:  Employee and Employer Data, Business License Data, City of Renton (2010) Total Employees Working in Renton, PSRC (2010, 2019) TABLE 20 PRINCIPAL EMPLOYERS 2019 2010 * Employee data gathered using the perentage increase in total employees from 2018 to 2019 and applying a multiplier to 2018  numbers. 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-26 TABLE 21 FULL TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION LAST TEN FISCAL YEARS  20101 2011 2012 2 2013 2014 2015 2016 3 2017 2018 2019 FUNCTION General Government 143.3 143.5 147.3 135.4 135.4 139.4 151.0 156.0 161.0 170.1 Public Safety Police Commissioned Officers 123.0 123.0 123.0 123.0 121.5 119.0 124.0 129.0 129.0 129.0 Non‐Commissioned Officers 44.4 28.4 28.4 28.4 28.4 29.4 30.4 32.9 32.9 34.4 Fire Commissioned Officers 136.0 145.0 145.0 145.0 140.0 145.0 0.0 0.0 0.0 0.0 Non‐Commissioned Officers 16.0 16.0 16.0 16.0 16.0 16.0 0.0 0.0 0.0 0.0 Public Works Administration 3.0 3.0 3.0 3.0 3.0 3.0 2.0 2.0 2.0 2.0 Transportation Systems 33.0 33.0 33.0 33.0 31.0 31.0 33.5 38.5 37.5 39.5 Utility Systems 29.5 29.5 25.5 25.5 23.5 23.5 25.5 27.5 27.5 28.5 Maintenance Services 78.0 78.0 80.0 80.0 80.0 82.0 82.0 87.0 88.0 92.0 Culture and Recreation Parks/Recreation/Facilities/Human Svs 81.8 82.8 83.6 83.6 80.0 80.0 83.0 83.0 82.8 85.3 Library 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Museum 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 Golf Course 9.5 9.5 9.5 9.5 9.5 9.5 9.5 10.5 9.8 9.8 Total 698.5 692.7 695.2 683.4 669.3 678.8 541.9 567.4 571.4 591.5 Source: City of Renton Finance Division  1 Operations of the Renton libraries transferred to King County Library System (KCLS) in 2010 as a result of voter‐approved annexation 2 Farmers's Market Program was moved from Community and Economic Department to Community Services Department in 2012. 3 City of Renton Fire transferred to the Renton Regional Fire Authority on July 1, 2016. 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-27 TABLE 22 OPERATING INDICATORS BY FUNCTION  LAST TEN FISCAL YEARS 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 FUNCTION Public Safety Police Physical arrests 3,464 2,810 1,968 1,725 1,515 1,653 1,492 2,099 2,373 2,517         Parking violations 4,748 4,757 4,855 4,799 4,049 4,464 4,664 4,992 5,114 5,992         Traffic violations 13,829 8,805 7,943 8,388 5,925 4,828 5,152 4,576 5,970 3,946 Photo Enorcement Violations 1 21,157      21,301 22,036 15,733 21,015 25,562 23,208 25,257 48,281 51,474 Infractions non traffic 240            446 16 210 149 125 53 43 55 35 Criminal non trafic 1,623        1,687 1,279 1,346 1,522 1,466 1,351 1,430 1,687 1,631 Fire2 Number of calls answered 13,045 12,752 13,667 13,848 14,337 14,945 0 ‐                  ‐                  ‐                  Inspections 2,620 2,300 1,807 689 997 2,517 0 ‐                  ‐                  ‐                  Transportation Street resurfacing (miles)2.65 2.07 2.19 0.84 2.82 1.67 0.44 2.78 1.07 1.32 Aircraft Operations 80,679 80,005 93,406 93,911 100,544 112,335 118,568 131,702 145,811 128,030     Physical/Economic Environment Building Permits Received 3,646 3,642 3,912 4,237 4,287 4,898 4,830 4,404 5,009 4,735         Building Permits Issued 3,562 3,555 3,765 4,038 4,204 4,691 4,661 4,092 4,732 4,474         Public Works Permits Received 1,182 1,334 1,337 1,488 1,526 1,472 1,468 1,270 1,450 1,335         Public Works Permits Issued 1,162 1,245 1,328 1,411 1,493 1,359 1,437 1,093 1,214 1,154         Solid Waste Utility Recyclables collected (tons/yr) 9,836 12,565 13,509 13,616 13,993 15,218 17,846 12,331 14,075 13,309       Culture and Recreation Athletic field attendance 93,000       93,000       94,000       94,000     94,000       93,000       94,000       56,000       65,897       93,504       Community Center admissions 3 108,896     105,458    98,022       102,525    102,308     102,312    98,282       92,026       85,762       85,762       Rounds of Golf 55,450       54,350       58,680       56,180     55,600       56,775       51,546       47,462       48,734       46,581       2 The Renton Regional Fire Authority formed July 1, 2016 replacing the City of Renton Fire Department. 3 Community Center admissions were updated through 2018 using CLASS reports for registered participants, membership pass scans, and drop ins.  Source: City of Renton 1 Photo Enforcement began in 2008. 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-28 TABLE 23UTILITY SYSTEMS SUPPLEMENTAL OPERATING INFORMATIONLAST TEN FISCAL YEARS 12010 2011 2012 2013 2014 2015 2016 2017 2018 2019City Population90,927 92,590 93,910 95,540 97,130 98,470 101,300 102,700 104,100 104,700Water SystemService Area Population‐‐‐‐‐‐ 62,100 60,000 67,125 67,000 68,666 72,164 73,750Number of Connections:Single Family13,594 13,739 13,876 13,942 13,764 14,083 14,162 14,190 14,223 14,288Multi‐Family, Commercial, Industrial2,559 2,591 2,542 2,542 2,715 2,541 2,578 2,557 2,592 2,599Irrigation714721733734726738756755766765Fire Service604624645652652663682682690693Other 2555360591167481678890Total Connections17,526 17,728 17,856 17,929 17,973 18,099 18,259 18,251 18,359 18,435Water Production/Consumption (in hundreds of cubic feet ‐ ccf)(in hundreds of cubic feet ‐ ccf)Purchased27,282 88,645 51,087 43,815 47,774 54,951 43,009 56,667 57,192 39,003Production 3,293,586 3,244,628 3,172,169 3,197,643 3,306,194 3,512,789 3,410,648 3,490,563 3,524,353 3,364,884Consumption2,827,935 2,899,443 2,955,531 2,937,989 2,938,282 3,094,114 3,028,174 3,146,552 3,205,135 3,008,546Non‐revenue 492,933 433,830 267,725 303,469 415,686 473,626 425,483 400,678 376,410 395,341Consumption (thousands of gallons)Average Daily6,750 6,650 6,483 6,553 6,775 7,199 6,971 7,154 7,223 6,896Peak Daily12,826 12,476 11,445 12,361 12,411 13,590 12,751 13,098 12,335 11,687Sewer SystemService Area Population‐‐‐‐‐‐‐‐ 80,780 81,759 83,850 86,982 87,402 87,744Number of Connections:Single Family14,452 14,675 14,953 15,183 15,154 15,173 15,384 15,507 15,652 15,790Multi‐Family, Commercial, Industrial, Other2,451 2,457 2,453 2,450 2,708 2,713 2,704 2,714 2,727 2,726Out of City Connections9410812132180233242264279272Total Connections16,997 17,240 17,418 17,765 18,042 18,119 18,330 18,485 18,658 18,788Storm Drainages SystemService Area Population‐‐‐‐‐‐‐‐ 97,130 98,470 101,300 102,700 104,100 104,700Number of Connections:Single Family20,747 20,980 21,521 21,756 21,893 22,125 22,352 22,455 22,587 22,605Multi‐Family, Commercial, Industrial, Other1,813 1,847 1,761 1,738 1,728 1,732 1,744 1,750 1,755 1,736Total Connections22,560 22,827 23,282 23,494 23,621 23,857 24,096 24,205 24,342 24,341Solid Waste 3Service Area Population‐‐‐‐‐‐‐‐‐‐‐‐Number of Connections:Single Family16,350 16,688 16,927 16,958 17,000 17,154 17,129 16,926 23,577 24,034Multi‐Family, Commercial, Industrial, Other1,612 1,581 1,569 1,535 1,533 1,589 1,586 1,554 1,759 1,858Total Connections17,962 18,269 18,496 18,493 18,533 18,743 18,715 18,480 25,336 25,8921 Data for prior years provided where available.2 Includes wholesale water provided to the Skyway Water and Sewer District througha single metered connection.3 2018 numbers are sourced from the Republic Services Annual Report as the City of Renton no longer handles the billing for Solid Waste.2019 Comprehensive Annual Financial ReportCity of Renton, WashingtonStatistical Section, 7-29 TABLE 24 CAPITAL ASSETS STATISTICS BY FUNCTION  LAST TEN FISCAL YEARS 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 FUNCTION Public safety Police Stations 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 Police Patrol Districts 10.0 10.0 10.0 10.0 10.0 10.0 10.0 10.0 10.0 10.0 Fire stations1 6.0 6.0 6.0 6.0 6.0 6.0 ‐‐ ‐ ‐ Transportation Street (miles)264.5 266.1 266.1 266.1 294.0 304.1 315.5 311.0 311.0 311.0 Streetlights 3,935 4,015 4,172 4,182 4,302 4,342 4,720 4,878 5,120 5,120 Culture and recreation Parks acreage 1,183.0 1,205.8 1,210.6 1,213.8 1,227.0 1,239.5 1,240.4 1,245.5 1,245.5 1,244.5 Parks  30.0 32.0 32.0 32 32 32.0 32.0 32.0 32.0 32.0 Swimming pools 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 Tennis courts 17.0 17.0 17.0 17.0 17.0 17.0 17.0 17.0 17.0 17.0 Community centers4 4.0 4.0 4.0 4.0 4.0 4.0 4.0 4.0 4.0 4.0 Waterworks Utility Water mains (miles) 305.0 305.0 306.0 308.0 304.6 307.5 311.0 313.0 314.0 315.0 Fire hydrants 3,651 3,639 3,655 3,670 3,697 3,740 3,769 3,777 3,811 3,818 Sanitary sewers (miles) 217.7 219.3 219.9 223.4 225.9 231.2 232.1 233.9 234.6 235.8 Storm sewers (miles) 274.9 276.1 278.5 282.0 267.7 265.6 276.6 278.0 279.9 282.8 1 City of Renton Fire and ES Services employees transferred to the Renton Regional Fire Authority on July 1, 2016. Source:  City of Renton Departments 2 Includes Natural Area acreage, and developed/undeveloped park acreage for Neighborhood Parks, Community Parks, Regional Parks, Special Use Parks  and Corridors. 3 Developed Neighborhood, Community, Regional and Special Use Parks only.  Two new parks were part of Benson Hill Annexation not previously  accounted for – Parkwood South Div #3 and SE 186th Place Properties. 4Community centers includes the Renton Community Center, the Renton Senior Activity Center, and two neighborhood centers that are regularly  programmed. 2019 Comprehensive Annual Financial Report City of Renton, Washington Statistical Section, 7-30 Renton City Hall 1055 South Grady Way Renton, WA 98057 rentonwa.gov