2023-05-09 Finance CommitteeMinutes
FINANCE COMMITTEE MEETING
May 9, 2023
Elected Officials Present Staff Present
Councilmember Susan Paine Dave Turley, Administrative Services Director
Council President Neil Tibbott (ex-officio) Brian Tuley, Information Services Manager
Councilmember Vivian Olson Scott Passey, City Clerk
1. CALL TO ORDER
The Edmonds City Council Finance Committee meeting was called to order virtually and in the City
Council Conference Room, 212 – 5th Avenue North, Edmonds, at 5:30 p.m. by Councilmember Paine.
2. COMMITTEE BUSINESS
1. Committee Updates
• Utility Rate Study Prior to 2024 Budget Process
Councilmember Paine provided an update from Mr. Antillon, the utility rate study will be brought to city
council for a decision between June and August.
2. March 2023 Monthly Financial Report
Mr. Turley reviewed:
• Sales Tax is up $114,851 from this point in time last year.
o Sales Tax is not expected to grow at the same rate it has in the past.
• Gas Utility Tax is up $47,783.
• Telephone Utility Tax is down $(38,165) from this time last year. Most February telephone
utility tax payments that are normally recorded in March were recorded on 4/4.
• Building Plan Review and Inspection Fees are up $82,333 from this point in time last year,
Building Permits are down $(79,833), and Engineering Fees and Charges are down $(55,549).
Development Services revenues overall are down a total of $(65,121) from this point in time
last year.
• Parks & Recreation Program Fees are up $44,598 from this point in time last year.
• Total Interest Earnings for all funds are down a total of $(50,731) from this point in time last
year; Fund 001 interest earnings are down $(67,881).
• We have received $120,467 more in interest with the LGIP from this point in time last year,
and $117,193 more in interest with the SCIP from this point in time last year for a total of
$237,660. We also took $5 million out of the SCIP in April which we reinvested at higher
yields. We will take another $5 million out of the SCIP in May.
• YTD Sales Tax Revenues for the 3 months ended March 31 $114,851 ahead of last year, and
$73,749 under budget
o Breakdown by business category of the change in Sales Tax revenue for March 2023
compared to March 2022
05/09/23 Finance Committee Minutes, Page 2
• YTD Sales Tax Revenues by Group
• Total Annual Sales Tax Revenues from 2010 through 2022, plus projection for 2023
• Combined Property Tax and Sales Tax Revenues from 2010 through 2022, plus projection for
2023
05/09/23 Finance Committee Minutes, Page 3
Questions and discussion followed regarding why interest earnings are down, changes in how sales
tax on internet sales is collected, sharing information about changes in sales tax revenue with the
EDC and Chamber, and identifying ways to increase revenues.
Committee recommendation: Consent Agenda.
3. ERP Update
Mr. Tuley reviewed:
• Introduction
o Enterprise Resource Planning (ERP) is a software system that helps you run your entire
business, supporting automation and processes in fiancé, HR, manufacturing, supply
chain, services, procurement and more.
o Edmonds uses “Eden,” a product from Tyler Technologies. Edmonds has been using Eden
at least 20 years. Modules in use include accounting (GL/AR/AP), fixed assets, HR,
payroll, business licensing, parcel manager, utility billing, payment processing
o Eden will be End of Life (EOL) in May 2027
o Upgrade from Eden to current product Tyler Munis
o Tyler Technologies had 205 municipalities on Eden, 118 remain, 85 upgraded to Munis, 2
selected other products
o Tyler Tech conversion team migrates 5 or 6 customer per quarter
o Upgrade project is scheduled after a contract is executed
o Implementation timeline is 26-30 months
Implementation is broken into 3 areas
Each area takes 9-12 months to complete
Each subsequent area is initiated 6 months into current area
1. Financials
2. HR/Payroll begins 6 months after financials begin
3. Utility billing
• Costs
o Implementation estimate: $800,00
Implementation billed over the 26-30 month install process
- Time and materials
Cloud platform 2x-3x more than current on-premise software per year in ongoing
maintenance
- Current Tyler software maintenance is $103k/year
• New customers are cloud only installs
o Cloud benefits
Integrates with Azure (Microsoft Cloud) for authentication
- Edmonds already using Azure for MS 0365
Hosted in AWS (Amazon Web Services)
Provides security against ransomware attacks in that system is not on premise
Can be accessed from remote locations to accommodate DR/BC (disaster
recovery/business continuity) planning
• Next Steps
o Tyler Technology will deliver within the next 2 weeks
List of currently used modules
Upgrade estimate based on currently used modules
o City reviews module list to verify continued use and migration
o Review available, non-utilized modules for potential inclusion
Example: HR onboarding
05/09/23 Finance Committee Minutes, Page 4
Questions and discussion followed regarding the cost of ongoing maintenance, ability to eliminate on-
premise servers, new ERP reducing staff time and downtime, the need to execute a contract to get on
Tyler’s upgrade schedule, adding modules, departments most impacted, when the contract will be
presented to council, and designing the system for the future.
Committee recommendation: Update. Add PowerPoint to Received for Filing.
3. ADJOURN
The meeting was adjourned at 6:11 p.m.
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SCOTT PASSEY, CITY CLERK