FC101221FINANCE COMMITTEE MEETING
October 12, 2021
Elected Officials Participating Virtually
Councilmember Vivian Olson
Councilmember Diane Buckshnis
1. CALL TO ORDER
Staff Participating Virtually
Dave Turley, Finance Director
Tom Brubaker, City Attorney's Office
Scott Passey, City Clerk
The Edmonds City Council virtual online Finance Committee meeting was called to order at 6:00 p.m.
by Councilmember Buckshnis.
2. COMMITTEE BUSINESS
1. August 2021 Monthly Financial Report
Mr. Turley
• Changes to this month's report
o Added a graph at the front, showing General Fund revenues and expenses over a two year
period.
o Added a graph showing the receipts from the four major categories of General Fund Tax
Revenues, going back to 2015.
o Moved graphs to the front of the package, and detailed reports to the back.
• Noteworthy items
o REET is up $1,751,928 from this point in time last year
o Real Personal/Property Tax is up $138,171 from this point in time last year
o EMS Property Tax is up $76,629 from this point in time last year
o Sales Tax is up $1,449,961 from this point in time last year
o Plan Checking Fees are up $159,181 from this point in time last year; Development
Services revenues overall are up $128,808 from this point in time last year.
o Parks & Recreation program fees are up $349,181 from this point in time last year
o We are now at 67% of the year completed; all departments are within or under budget.
Mr. Turley responded to questions regarding reasons that overtime continues to be high, low holiday
buyback, high excess tax, increase in small equipment in the sewer fund, where funds in Fund 018
were used, the $50,000 in the Park Trust Fund, and changing the name of the Edmonds Cares Fund.
Action: Forward to Consent Agenda
2. Proposal to Change to Biennial Budget
Mr. Turley advised the proposed ordinance is in the packet along with a sample calendar. He
reviewed:
• This subject was discussed at the last two budget retreats and Council seemed favorable to
the idea.
• It is being brought forward now due to consideration of new financial software to the current
Eden software.
10/12/21 Finance Committee Minutes, Page 2
It would help this process, and next year's budget process, to know what to plan for next year,
an annual budget or a biennial budget.
Commonly cited advantages of biennial budgets include:
o Reduces the total amount of time spent budgeting over a two-year period and freeing up
time for other projects by both Administration and Council in year two
o Provides more time to examine and thoroughly scrub the CIP/CFP plans in the off years
o Encourages the City to think strategically over multiple years instead of just balancing the
budget for a single year
o No need for a carryforward amendment in the second year.
Commonly cited disadvantages include:
o A bit more time and effort required to develop the budget in year one (because forecasts
need to be done for 2 years instead of 1
o Budget monitoring by the legislative body requires a longer -term outlook,
o More difficulty and uncertainty forecasting revenues/expenditures further into the future
o Some jurisdictions spend too much time on budget amendments or the mid -biennium
review and adjustment, eliminating any time savings in year two
Seeking the Committee's advice and recommendation on how to move forward with this. For
example, when we take it to full Council, is there more information we should bring?
Questions, discussion and input included it seems budgeting by priorities supports a biennial budget
and should be done first, budgeting by priorities is a very large project, converting to a biennial budget
may not happen soon enough to affect the purchase of software, software may not be changed again
for 20 years, revenue stability due to property taxes, the need to scrub the CIP/CFP, concern with
converting to a biennial budget while still in a pandemic and financial uncertainty, citizens' concern
with transparency and communication with a biennial budget, and support for a biennial budget but
not at this time.
Action: For discussion.
A brief discussion followed regarding whether to put Walkable Main Street on a future Finance
Committee agenda. Committee members noted the Council received information regarding 2021
costs but not 2020 costs or a breakdown on 2021 expenses.
3. ADJOURN
The meeting was adjourned at 6:24 p.m.