Utility Board. Agenda topics. For Meeting of August 14, :00 PM to 9:00 PM City Council Chambers, City Hall

Transcription

1 Utility Board For Meeting of August 14, :00 PM to 9:00 PM City Council Chambers, City Hall Board Members: Council Liaison: Staff: David Laub, Chairman, Benjamin Levie, Vice Chairman, Suresh Malhotra, Robert Sexton, Glynda Steiner, Wendy Weiker, Kwan Wong Council Member Tana Senn Glenn Boettcher, Maintenance Director Chip Corder, Finance Director Francie Lake, Deputy Finance Director Patrick Yamashita, City Engineer Anne Tonella-Howe, Assistant City Engineer Terry Smith, Utilities Operations Manager Asea Sandine, Recording Secretary Agenda topics 7:00 PM Approval of Minutes All Ambulance Utility EMS Rates E-Billing Status Report FCS Group Francie Lake 2012 Work Plan All Transmitted via Agenda Meeting Minutes Work Plan Next Meeting: September 11, 2012

2 UTILITY BOARD REGULAR MEETING MINUTES JUNE 12, 2012 CALL TO ORDER: Chairman David Laub called the regular meeting of the Utility Board to order at 7:00 p.m. in the Council Chambers at City Hall, 9611 SE 36th Street, Mercer Island, WA. ROLL CALL: Chairman David Laub, Vice-Chair Ben Levie, Council Liaison Tana Senn, Suresh Malhorta, Glynda Steiner, and Wendy Weiker were present. City Staff Assistant City Manager Glenn Boettcher, Deputy Finance Director Francie Lake, Deputy Finance Director, City Engineer Patrick Yamashita, Utilities Engineer Rona Lin, Utility Operations Manager Terry Smith and Recording Secretary Asea Sandine were also present. MINUTES: Board member Steiner moved to approve the minutes of April 10, Board member Malhorta seconded the motion. The Board unanimously approved the minutes. REGULAR BUSINESS: 2012 Chair and Vice Chair Elections David Laub was selected to serve as Board Chair for Ben Levie was selected to serve as Vice Chair. Preview of Capital Projects City Engineer Patrick Yamashita presented a PowerPoint overview of the water, sewer and stormwater proposed capital improvement projects for the biennium and anticipated projects for Yamashita shared project history back to pre-2005 and advised that the number and complexity of projects is outpacing engineering staff capacity. Staff cannot sustain ongoing capital improvement needs without assistance. Possible solutions include hiring an engineer/project manager to take on projects or hiring an engineering technician to provide technical and administrative support to all project managers. Discussion: The Board discussed in detail the recommendation to hire an engineering technician. Staff shared that capital projects are becoming a higher priority due to aging infrastructure and projects that have deferred. The engineering technician position would be a cost-effective approach because it would provide standardized support to all project managers. The Board reached consensus to support staff s recommendation to hire an engineering technician. The Board requested that an organizational chart for staff funded through utilities be prepared for the next meeting. Deputy Finance Director Francie Lake presented the water, sewer and stormwater actual rates and funding for 2012 and forecasted rates for Mercer Island Utility Board Meeting Minutes 1

3 Francie announced that the Board will receive recommended sewer and stormwater rates in September and water rates in October. OTHER BUSINESS The Board inquired about the E-bill system and asked Francie to report back to the Board regarding E-bill stats including how many customers are using it. Francie proposed a meeting in July or August for the Board to review the EMS Rate study. The Board reached consensus for that meeting to be held on August 14, Rona Lin said the First Hill Water Project is well ahead of schedule and on budget. She anticipates completion at the end of June with budget savings. Board member Senn inquired about the recent gas leak near Pioneer Park at 68 th gas leak. Boettcher advised PSE experienced a power arc that caused pinhole leaks in the gas line. NEXT MEETING: The next scheduled meeting is August 14, ADJOURNMENT: 9:40 p.m. Asea Sandine Recording Secretary Mercer Island Utility Board Meeting Minutes 2

4 Memo Finance Department To: Utility Board Members From: Francie Lake, Deputy Finance Director Date: August 8, 2012 Re: 2012 Ambulance Utility Rate Update Attached is a draft technical memorandum from FCS Group, which was hired to perform a cost of service study and to update the rate structure related to the City s ambulance (EMS) utility. The City has contracted with FCS Group on a biennial basis since 2004, to perform a review and update of the Ambulance Utility Rate. In years between the formal Utility Rate update studies by FCS Group (mid-biennium), rates have been adjusted for inflation based on the CPI-W First Half for Seattle. Back in 2004, FCS Group was hired to assist the City in updating rates from a flat rate per residential equivalent unit to a rate based on the call demand placed on the utility by different customer classes. This study was based on the 2003 salary and benefit costs of 4 firefighters hired in 1996 to provide capacity to handle simultaneous EMS call volumes. In 2006, FCS Group assisted the City in complying with Engrossed Substitute House Bill (ESHB) 1635, which significantly changed the basis for determining ambulance utility rates. This study resulted in a substantive biennial update of the City s ambulance utility rate model in terms of calls for service and equivalent living units (ELUs) by customer class. The need for a biennial update of the rate model was endorsed by the Utility Board at its February 21, 2006 meeting given the significant development in the City s Town Center and on the Island in general (which is impacting the calls for service and ELUs for each of the customer classes). FCS Group again performed an EMS utility rate update in 2008, where the number of calls for service and equivalent living units (ELU s) were reviewed, and the EMS rates were updated. As part of this study, the Commercial class was divided into 4 groups based on building size, for rate purposes. In 2010, FCS Group was again hired to conduct the biennial Ambulance Rate Update in compliance with ESHB During this study it was found that the revenue being generated by the utility was inadequate to cover the full costs of the 4 firefighters it was originally created to cover. The Board unanimously recommended the rate structure which would fully fund the 4 firefighters. Page 1

5 Last year, the EMS rate structure was modified to reflect the impact of the new BLS ambulance transport fee implemented in During its budget deliberations, the Council decided to institute a BLS ambulance transport fee in 2011 for a one year trial period to help balance the budget, and then made it permanent. This action had an unintended consequence, driven entirely by Washington State law, of replacing the long standing variable EMS rate structure (with different rates for each customer class based on actual historical experience), with the same flat rate (per equivalent service unit) for each customer class. This flat rate structure was put in place for 2012 rates. For the current EMS utility rate update, FCS group has again reviewed the number of calls for service and equivalent living units (ELU s). There were no new issues or rate structure changes as a result of this study. It should be noted that no changes are recommended to the current 2012 rates. Rather, this analysis is intended to form the basis for the City s 2013 EMS utility rates. FCS Group will give a presentation and discuss the recently completed Ambulance Rate Update at Tuesday night s meeting. Page 2

6 Solutions-Oriented Consulting Memorandum To: Chip Corder, Finance Director Date: August 8, 2012 City of Mercer Island From: Peter Moy, Principal RE Summary of 2012 Ambulance Rate Update BACKGROUND The City of Mercer Island engaged to update the City s 2012 ambulance utility cost of service and rates to reflect updated call information, customer class account data, and costs. In September 2004, the City adopted a new rate structure that replaced the City s prior rate structure of $2 per month per equivalent service unit. The new rate structure continued to fund the estimated salary and benefits costs of four firefighters added in 1996 to provide capacity to handle simultaneous emergency medical service EMS call volumes. In July 2005, the Washington legislature established the process required to set ambulance utility rates by passing RCW According to this law, the rates and charges must be determined through a cost of service study and cannot include capital costs for construction, major renovation, or major repair of physical plant. The cost of service study is intended to identify the costs attributable to the availability of ambulance service and the demand placed on the service. The full cost of t he ambulance services is calculated and then these costs are allocated to availability and demand categories. The availability costs must be uniformly applied across user classifications, while the demand costs must be based on each user classification s burden on the utility. In addition, RCW provides that the costs for exemptions or reductions are a general expense of the utility and are designated as an availability cost to be uniformly spread across the customer classes. Specific examples include: Medicaid eligible persons who reside in a nursing home, assisted living facility, or adult family home, or who receive in-home services, and Designated classes consistent with Article VIII, section 7 of the state Constitution may be exempt from or have reduced rates. In March 2011 the City began charging a fee for ambulance transports, followed in January 2012 by an additional fee for the mileage related to these transports. These new fees have impacted the way the rates were calculated for this update, and the updated rates are now the same across all customer classes because the 2012 budgeted revenue from these fees is greater than the demand costs identified by the cost of service study. As a result, all costs used to develop the new utility rates are related to availability. Since availability costs must be uniformly applied across all user classifications, the updated rates are the same for all customer classes. It should be noted that this change in the methodology was also made by the City when it developed its current (i.e. 2012) rates. Similar to the last rate update done in 2010, the rate update for 2012 was based on the salary and benefits costs of the four firefighter positions added by the City in For 2012, the ratepayer s share was estimated at $487,032, and the City s share at $920. It should be noted that in July of 2011, RCW was updated by eliminating the requirement that mandated a specific ratio of support from the General Fund for those utilities established after May Because the City s ambulance utility was created in 1980, and since only about 13% of the City s EMS costs are supported through the utility, these recent changes to the law have no impact on the City. Page 1

7 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum COST OF SERVICE ANALYSIS The first step in the analysis was to update the cost of EMS and ambulance services. The cost allocation process consisted of the following steps: Identifying the costs within the Fire Department budget for administration, facilities, fire, and ambulance/ems services, Identifying additional costs not included in the Fire Department budget but related to the provision of fire and ambulance/ems services, Allocating administrative and facilities costs to each service, Determining the costs for fire and ambulance/ems services, and Dividing the total ambulance costs between availability and demand costs. Exhibit 1 shows the results of the overall allocation and cost of service process to determine the cost of ambulance services. The total costs of $5,631,478 included the Fire Department s adjusted 2012 budget ($5,178,571) as provided by City staff, as well as 2012 budgeted operating costs for facilities ($125,140), fire apparatus lease payments ($165,744), sinking fund contributions for future fire apparatus replacement ($148,446), and liability insurance ($13,577). The facilities costs were part of Building Services 2012 budget and were distributed to the Fire Department based on its share of overall square feet. Exhibit Cost of Service Results Fire & EMS Total Costs $5,631,478 Fire Costs $1,771,369 Ambulance/EMS Costs $3,860,109 Total Availability $3,639,329 Total Demand $220,780 The detailed budget was allocated between fire and ambulance services by directly assigning specific costs to each category, as applicable. Costs directly assigned included items such as medical supplies, fire protective clothing, and interfund fleet maintenance and replacement charges. The remaining costs were allocated between fire and ambulance/ems services using the following methods: Page 2

8 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum Labor costs for firefighters and battalion chiefs were allocated based on the proportion of service call time to fire and ambulance/ems services, a 24% to 76% ratio, respectively. Service call time represents the time staff are out on a call. This ratio was calculated using the total service call time and average staffing levels for all of the City apparatuses (e.g. ambulances, fire engines, battalion chief s command vehicle, etc.) that were dispatched for emergency response calls in 2010 and This also included time spent responding to those calls that were eventually cancelled. The operating costs for facilities were allocated based on the square footage of facilities used for either fire or ambulance/ems activities. Areas attributable to both activities, such as the dorms, kitchen, and exercise room were allocated using the service call time ratio, at 24% and 76% for fire and EMS, respectively. The cost of the vehicle maintenance contract with the City of Redmond, as well as other costs for operating supplies, repair, and maintenance of fire and EMS apparatuses were allocated based on the total annual scheduled maintenance hours for the Fire Department s fleet. 20% of the scheduled maintenance time was for the City s three ambulances, with the remaining 80% for the City s fire vehicles. The costs of dispatch, EPSCA (i.e. East Side Public Safety Communications Agency) access fees, radio replacement, repair/maintenance of communications equipment, and computer replacement for mobile data terminals (MDTs) were allocated using total emergency response calls from 2010 and 2011, at 27% and 73% for fire and EMS, respectively. The 2,957 total EMS calls for 2010 and 2011 included 25 calls where either mutual or automatic aid was given and 27 calls where the customer class was unidentifiable. The remaining costs were for items supporting both fire and EMS operations, such as Fire Administration personnel, training costs, and staff uniforms. These costs were allocated using the service call time ratio, at 24% and 76% for fire and EMS, respectively. The costs were then allocated to availability and demand based on the service call time and the standby time, a 6% to 94% ratio, respectively. Standby time represents time staff are on-duty and available to respond to an emergency call. Total standby time was assigned to fire and EMS based on the service call time ratio, at 24% and 76% for fire and EMS, respectively. The following definitions describe availability and demand costs: Availability costs are attributable to the basic infrastructure needed to respond to a single call for service and include dispatch, labor, training, equipment, patient care supplies, and equipment maintenance costs, and Demand costs are attributable to the burden placed on the ambulance service by individual calls, such as those associated with the frequency of calls, distance from hospitals, etc. The detailed spreadsheets supporting these allocations are included in Attachment A. The amount of the ambulance costs to be recovered from rates is based on the budgeted costs of four firefighter positions that were added in 1996 and the City s current ambulance utility rate methodology. According to City staff, the total 2012 budget for these four firefighter positions was $487,952, which included salaries and benefits but excluded overtime. Based on this amount, the General Fund support was determined after accounting for the King County EMS levy funds as well as revenue from ambulance transport fees. Page 3

9 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum According to RCW , transport revenues are to be applied against the demand costs. Because the ambulance transport fee revenue of $255,000 was greater than the calculated demand costs of $220,780, the ambulance utility costs for 2012 included only an availability component instead of both the availability and demand components of previous studies. It should be noted that after offsetting all of the demand costs, the net remaining ambulance transport fee revenue ($34,220) was used to offset some of the availability costs. Exhibit Ambulance Utility Costs Availability Demand Total Ambulance Utility Costs $ 3,639,329 $ 220,780 $ 3,860,109 Adjustments (Less Revenues) Availability Demand Total General Fund $ (2,719,157) $ - $ (2,719,157) King Co EMS Levy (398,000) - (398,000) Transport Fee Revenues - (255,000) (255,000) Adjusted Costs $ 522,172 $ (34,220) $ 487,952 RATE ANALYSIS Costs were updated using two years of call data (January 2010 through December 2011) and 2012 customer account and class data from the City s utility billing system. City staff also contacted 24- hour Nursing and Residential Board and Care accounts to confirm the number of beds and the number of Medicaid eligible residents. Consistent with the City s current ambulance utility rate methodology, the revenue requirement for the updated 2012 rates is based on the cost of four firefighters and is in addition to the revenue from transport fees. Because there are no demand costs to distribute, EMS response calls no longer play a role in determining how much of the costs of the ambulance utility each customer class should pay as they did prior to the implementation of the City s transport fee. Instead only an availability charge was calculated, which is the same for every customer across the ambulance utility regardless of what customer class they belong to. An analysis comparing 2012 customer account data to the customer account data used in the 2010 study showed an overall decrease of 51 accounts. The 24-hour Nursing and Residential Board & Care classes contributed the most to these decreases, shrinking by 40% (37 accounts) and 8% (13 accounts), respectively. There are fewer customer accounts in these customer classes because the City modified the way it calculates ESUs (i.e. equivalent service units, the measure by which customers are standardized across customer classes, equivalent to a single family home) for these customer classes, resulting in fewer ESUs than were calculated previously. There were also small changes in the Single Family (two more accounts), Multifamily (eight fewer accounts), and Commercial (five more accounts) classes. As discussed above, because there were no demand costs to distribute, emergency response calls no longer played a role in developing the ambulance utility rates. However the call data used for this study was compared to the call data used in the 2010 study (which included two years of call data from January 2008 through December 2009) for informational purposes. Overall calls fell slightly, from 2,988 calls for 2010 and 2,905 calls for 2012, a difference of 85 calls or 3%. Calls fell in most customer classes, including a 17% drop (58 calls) for 24-hour Nursing, an 8% drop (93 calls) for Single Family Residences, a 9% drop (16 calls) for Commercial, and a 3% drop (15 calls) for Public/Other. This was partially offset by a 23% increase (93 calls) in Multifamily Residences. Page 4

10 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum Residential Board & Care and Public/Other remained basically unchanged for the period, with four fewer calls and five more calls, respectively. Exhibit 3 shows the proportion of accounts and calls generated by customer class. Exhibit 3 Accounts and Calls by Customer Class 10,075 Customer Accounts (2012) 2,905 EMS Calls for Service (2010 & 2011) 24-hour Nursing 0.5% Residential Board & Care 1.4% Multifamily Residences 25.9% Commercial 1.3% Public Schools 0.1% Public/Other 0.2% Single Family Residences 70.6% Public Schools, 2.0% Commercial, 5.9% 24-hour Nursing, 9.5% Public/Other, 14.7% Residential Board & Care, 11% Single Family Residences, 39.0% Multifamily Residences, 18.0% The rate calculation followed these steps: The total revenue to be generated from the ambulance rates is $487,952, as shown in Exhibit 2 on the previous page. As discussed above, since the costs related to demand were covered completely by ambulance transport fee revenues, the entire revenue requirement (i.e. cost of four firefighter positions added in 1996) had to be met through the availability component. The revenue requirement for the availability component was allocated to each customer class based on the number of customer accounts, excluding Medicaid accounts. For the 2012 study, the annual availability charge for each customer account was $ Consistent with the 2010 Study, separate classes continue to be used for the 24-hour Nursing and Residential Board & Care classes. Also, accounts in the Commercial class continue to be separated into four categories based on the total square footage of each individual commercial account. The categories included accounts that were less than 4,500 square feet, between 4,501 and 25,000 square feet, between 25,001 and 100,000 square feet, and greater than 100,000 square feet. This methodology has been used as a means of promoting equity within the 24-hour Nursing, Residential Board & Care, and Commercial classes (e.g. those customers that have more calls pay more). Page 5

11 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum Ratepayers will provide $487,032 in annual revenues, while the $920 of the Public/Other costs will be paid by the City. It should be noted that Public/Other is the City ratepayer s customer class. Exhibit 4 summarizes the rate calculation and resulting rates by customer class. The tables also provide a summary of the current rates, for reference. The bi-monthly rate has increased from $7.16 to $8.07, for an increase of $0.91 or 12.7%. Exhibit 4 Rate Calculation Updated 2012 Bi-Monthly Rate/Acct Current 2012 Bi-Monthly Rate/Acct Updated 2012 Annual Rate/Acct Current 2012 Annual Rate/Acct Single Family Residences $ 8.07 $ 7.16 $ $ Multifamily Residences $ 8.07 $ 7.16 $ $ Residential Board & Care $ 8.07 $ 7.16 $ $ hour Nursing $ 8.07 $ 7.16 $ $ Commercial $ 8.07 $ 7.16 $ $ Public Schools $ 8.07 $ 7.16 $ $ Public/Other* $ 8.07 $ 7.16 $ $ *Paid by General Fund Exhibit 5 summarizes the changes in the amount of revenue collected from each class based on the current 2012 rates and the new proposed rates. The overall total revenue to be collected from all classes except the Public/Other class has increased by $52,830, or 12%. The changes are primarily the result of the increased cost of the four firefighters and changes in the overall share of customers for each customer class. Exhibit 5 Revenue Impact by Class Updated 2012 Revenue By Class Current 2012 Revenue By Class Changes Single Family Residences $ 344,729 $ 305,703 $ 39,026 Multifamily Residences $ 126,259 $ 112,340 $ 13,918 Residential Board & Care $ 6,879 $ 6,662 $ hour Nursing $ 2,675 $ 3,954 $ (1,279) Commercial $ 6,151 $ 5,241 $ 910 Public Schools $ 339 $ 301 $ 38 Public/Other* $ 920 $ 816 $ 104 Total $ 487,952 $ 435,018 $ 52,934 *Paid by General Fund Page 6

12 August 8, 2012 Chip Corder, Finance Director Summary of 2012 Ambulance Rate Update Memorandum SPECIFIC RATE IMPACTS Recognizing the wide variability of calls within certain customer classes, separate classes and categories have been established previously for the Commercial, Residential Board & Care, and 24- hour Nursing classes. Exhibit 6 summarizes the changes in rates for the four Commercial categories. Exhibit 7 summarizes the accounts included in the Residential Board & Care and 24-hour Nursing categories and displays the annual charges. New accounts in these categories should pay based on the annual rate per account, which for this 2012 update is $ It should be noted that the number of accounts for Residential Board & Care and 24-hour Nursing include partial accounts, such as 48.2 instead of 48 for accounts for Sunrise Retirement. This is the result of excluding the Medicaid accounts from the total number of accounts as part of the utility rate calculation described above. In some cases, the Medicaid accounts ended up being partial accounts in because they had to be converted from beds into ESUs, the standardized measure used to adjust customer accounts so that they are equivalent across customer classes (i.e. one account is equivalent to a single family home). It should also be noted that since the 2012 rates are based only on availability costs, the cost per account will be the same for all Commercial, Residential Board & Care, and 24-hour Nursing Home customers, regardless of whatever customer class or category they belong to. In light of this, the City might want to consider consolidating these customer classes and categories during the next anticipated ambulance rate update in Exhibit 6 Commercial Account Rate Detail Updated 2012 Annual Rates Current 2012 Annual Rates Customer Category # of Accounts RevReq by Annual Bi-Monthly Est Rev by Annual Bi-Monthly Class Rate/Acct Rate/Acct Class Rate/Acct Rate/Acct Commercial (less than 4,500 Sq Ft) 42 $ 2,034 $ $ 8.07 $ 1,805 $ $ 7.16 Commercial (4,501-25,000 Sq Ft) 61 $ 2,954 $ $ 8.07 $ 2,622 $ $ 7.16 Commercial (25, ,000 Sq Ft) 21 $ 1,017 $ $ 8.07 $ 903 $ $ 7.16 Commercial (more than 100,000 Sq Ft) 3 $ 145 $ $ 8.07 $ 129 $ $ 7.16 Total 127 $ 6,151 $ $ 8.07 $ 5,458 $ $ 7.16 *Based on # of Accounts and Current 2010 Annual Rate/Acct Exhibit 7 Costs per Residential Board & Care and 24-hour Nursing Accounts Residential Board & Care # of Accounts** Availability Costs Updated 2012 Annual Costs Demand Costs Total Costs Avg Cost per Acct** Current 2012 Annual Costs Covenant Shores - RB&C* 47.0 $ 2,276 $ - $ 2,276 $ $ 2,020 Island House Retirement* 14.0 $ 678 $ - $ 678 $ $ 602 Sunrise Retirement 48.2 $ 2,335 $ - $ 2,335 $ $ 2,192 Aljoya House* 29.0 $ 1,404 $ - $ 1,404 $ $ 860 In-Home Care 3.8 $ 186 $ - $ 186 $ $ 989 Total $ 6,879 $ - $ 6,879 $ $ 6, hour Nursing # of Accounts** Availability Costs Demand Costs Total Costs Avg Cost per Acct** Current 2012 Annual Costs Covenant Shores Skilled Nursing 27.7 $ 1,340 $ - $ 1,340 $ $ 1,375 Mercer Island Care Center 27.6 $ 1,335 $ - $ 1,335 $ $ 2,579 Total 55.2 $ 2,675 $ - $ 2,675 $ $ 3,954 *Does not include charges for Multi-family accounts **Excludes Medicaid Accounts Page 7

13 ATTACHMENT A SUPPORTING SPREADSHEETS Page 8

14 ATTACHMENT A Mercer Island Ambulance COS Fire and Budget Allocation Split Line Item 4 - Square Feet 2 - All to Demand Allocation Total Total 2012 Budget Method Fire EMS Total Availability Method Availability Demand FR1100- Administration - All Other $ 552,026 Allocated Time $ 132,867 $ 419,159 $ 552,026 All to Availability $ 419,159 $ - $ 419,159 FR1200- Fire Marshal 17,050 All to Fire 17,050-17, FR2400- Fire Suppression 30,555 All to Fire 30,555-30, FR2500- Fire EMS - Supplies 16,425 All To EMS - 16,425 16,425 All to Demand - 16,425 16,425 FR2500- Fire EMS - Repair & Maintenance 1,000 All To EMS - 1,000 1,000 All to Demand - 1,000 1,000 FR4100- Training 104,730 Allocated Time 25,208 79, ,730 All to Availability 79,522-79,522 FR Public Education 8,206 All to Fire 8,206-8, Fire - Facilities 125,140 Square Feet 68,359 56, ,140 All to Availability 56,781-56,781 Fire - Lease Payments 165,744 All to Fire 165, , Fire - Sinking Fund Contributions 148,446 All to Fire 148, , Fire & EMS' Liability Insurance portion 13,577 Allocated Time 3,268 10,309 13,577 Availability Demand Ratio 9, ,309 Budget Total: less Suppression $ 1,182,899 $ 599,703 $ 583,196 $ 1,182,899 $ 565,137 $ 18,059 $ 583,196 FR2100- Suppression 2012 Budget Allocation Method Fire EMS Total Availability Method Total Availability Total Demand Total Salaries & Wages $ 2,670,298 Allocated Time $ 642,715 $ 2,027,583 $ 2,670,298 Availability Demand Ratio $ 1,902,796 $ 124,787 $ 2,027,583 Overtime 449,038 Allocated Time 108, , ,038 Availability Demand Ratio 319,975 20, ,959 Personnel Benefits - Fire 812,123 Allocated Time 195, , ,123 Availability Demand Ratio 578,701 37, ,653 Operating Supplies -All Other 50,555 Allocated Time 12,168 38,387 50,555 All to Availability 38,387-38,387 Operating Supplies -Apparatus 19,906 Avg Mnt Srvc Hrs 15,864 4,042 19,906 All to Demand - 4,042 4,042 Operating Supplies -SCBA 3,155 All to Fire 3,155-3, Supplies-Awards / Recognition 1,500 Allocated Time 361 1,139 1,500 All to Availability 1,139-1,139 Fire Daily Uniforms 12,250 Allocated Time 2,948 9,302 12,250 All to Availability 9,302-9,302 Fire Protective Clothing 24,012 All to Fire 24,012-24, Telephone - Cellular 11,800 Allocated Time 2,840 8,960 11,800 All to Availability 8,960-8,960 Repair & Maintenance -Apparatus 21,460 Avg Mnt Srvc Hrs 17,103 4,357 21,460 All to Demand - 4,357 4,357 Repair & Maintenance -SCBA 3,300 All to Fire 3,300-3, Repair & Maintenance -Communications 6,500 Emergency Calls 1,731 4,769 6,500 All to Availability 4,769-4,769 Printing 250 Allocated Time All to Availability Laundry Service 800 Allocated Time All to Availability Intrgov -Professional Srvcs -Vehicle Maint/Repair 42,500 Avg Mnt Srvc Hrs 33,871 8,629 42,500 All to Demand - 8,629 8,629 Intrgov -EPSCA Access Fees 16,665 Emergency Calls 4,437 12,228 16,665 All to Availability 12,228-12,228 Intrgov -Fire Dispatch 136,485 Emergency Calls 36, , ,485 All to Availability 100, ,145 Intrfund -Fleet Replacement -Fire 24,546 All to Fire 24,546-24, Intrfund -Computer Replacment (MDTs) 27,003 Emergency Calls 7,190 19,813 27,003 All to Availability 19,813-19,813 Intrfund -Radio Replacement 8,448 Emergency Calls 2,249 6,199 8,448 All to Availability 6,199-6,199 Intrfund -Fleet O&M Charge -Fire 20,053 All to Fire 20,053-20, Intrfund -IT O&M Charge 53,935 Allocated Time 12,982 40,953 53,935 All to Availability 40,953-40,953 Inrfund -Fleet Replacement -EMS 29,006 All To EMS - 29,006 29,006 Availability Demand Ratio 27,221 1,785 29,006 Intrfund -Fleet O&M Charge -EMS 2,991 All To EMS - 2,991 2,991 Availability Demand Ratio 2, ,991 Suppression Total $ 4,448,579 $ 1,171,666 $ 3,276,913 $ 4,448,579 $ 3,074,192 $ 202,721 $ 3,276,913 Budget Grand Total $ 5,631,478 $ 1,771,369 $ 3,860,109 $ 5,631,478 $ 3,639,329 $ 220,780 $ 3,860,109 Total Page 9

15 ATTACHMENT A Mercer Island Ambulance COS Customer Allocation Rates ACCOUNT DATA Customer Class Regular Percentage Medicaid Percentage Total Percentage Regular % Medicaid % Total % Single Family Residences 7,118 71% - 0% 7,118 70% 100% 0% 100% Multifamily Residences 2,607 26% - 0% 2,607 26% 100% 0% 100% Residential Board & Care 142 1% 3 8% 145 1% 98% 2% 100% 24-hour Nursing 55 1% 33 92% 88 1% 63% 37% 100% Commercial (<4,500 Sq Ft) 42 0% - 0% 42 0% 100% 0% 100% Commercial (4,501-25,000 Sq Ft) 61 1% - 0% 61 1% 100% 0% 100% Commercial (25, ,000 Sq Ft) 21 0% - 0% 21 0% 100% 0% 100% Commercial (>100,000 Sq Ft) 3 0% - 0% 3 0% 100% 0% 100% Public Schools 7 0% - 0% 7 0% 100% 0% 100% Public/Other* 19 0% - 0% 19 0% 100% 0% 100% 0% - 0% - 0% 0% 0% 0% Total 10, % % 10, % RESPONSE DATA Customer Class Regular Percentage Medicaid Percentage Total Percentage Regular % Medicaid % Total % Single Family Residences 1,134 41% - 0% 1,134 39% 100% 0% 100% Multifamily Residences % - 0% % 100% 0% 100% Residential Board & Care % 13 11% % 96% 4% 100% 24-hour Nursing 169 6% % 275 9% 61% 39% 100% Commercial (<4,500 Sq Ft) 19 1% - 0% 19 1% 100% 0% 100% Commercial (4,501-25,000 Sq Ft) 57 2% - 0% 57 2% 100% 0% 100% Commercial (25, ,000 Sq Ft) 81 3% - 0% 81 3% 100% 0% 100% Commercial (>100,000 Sq Ft) 13 0% - 0% 13 0% 100% 0% 100% Public Schools 57 2% - 0% 57 2% 100% 0% 100% Public/Other* % - 0% % 100% 0% 100% - 0% - 0% 0% 0% 0% 0% Total 2, % % 2, % Availability Demand Total Ambulance Utility Costs $ 3,639,329 $ 220,780 $ 3,860,109 Adjustments (Less Revenues) Availability Demand Total General Fund $ (2,719,157) $ - $ (2,719,157) King Co EMS Levy (398,000) - (398,000) Transport Fee Revenues - (255,000) (255,000) Adjusted Costs $ 522,172 $ (34,220) $ 487,952 Page 10

16 ATTACHMENT A Mercer Island Ambulance COS Customer Allocation Rates Customer Class Availability Demand Total Single Family Residences $ 367,601 $ - $ 367,601 Multifamily Residences 134, ,636 Residential Board & Care 7,488-7, hour Nursing 4,545-4,545 Commercial (<4,500 Sq Ft) 2,169-2,169 Commercial (4,501-25,000 Sq Ft) 3,150-3,150 Commercial (25, ,000 Sq Ft) 1,085-1,085 Commercial (>100,000 Sq Ft) Public Schools Public/Other* Total $ 522,172 $ - $ 522,172 First Allocation Availability Demand Customer Class Total to be Allocated Regular Medicaid Total Total to be Allocated Regular Medicaid Total Single Family Residences $ 367,601 $ 367,601 $ - $ 367,601 $ - $ - $ - $ - Multifamily Residences 134, , , Residential Board & Care 7,488 7, , hour Nursing 4,545 2,853 1,692 4, Commercial (<4,500 Sq Ft) 2,169 2,169-2, Commercial (4,501-25,000 Sq Ft) 3,150 3,150-3, Commercial (25, ,000 Sq Ft) 1,085 1,085-1, Commercial (>100,000 Sq Ft) Public Schools Public/Other* Total $ 522,172 $ 520,327 $ 1,845 $ 522,172 $ - $ - $ - $ - Availability Costs $ 522,172 Plus : Medicaid Demand $ - Minus: Surplus demand revenue $ (34,220) Total Medicaid Adjusted Availability $ 487,952 Second Allocation Availability Demand Regular AccouRegular AccountsTotal Customer Class $ 487,952 $ - $ 487,952 Single Family Residences $ 344,729 $ - $ 344,729 Multifamily Residences 126, ,259 Residential Board & Care 6,879-6, hour Nursing 2,675-2,675 Commercial (<4,500 Sq Ft) 2,034-2,034 Commercial (4,501-25,000 Sq Ft) 2,954-2,954 Commercial (25, ,000 Sq Ft) 1,017-1,017 Commercial (>100,000 Sq Ft) Public Schools Public/Other* Total $ 487,952 $ - $ 487,952 Rates RevReq Annual Bi-monthly Annual Annual Customer Class by Class Rate/Acct Rate/Acct Availability Demand Rate/Unit Rate/Call Single Family Residences $ 344,729 $ $ 8.07 Multifamily Residences $ 126,259 $ $ 8.07 Residential Board & Care $ 6,879 $ $ - 24-hour Nursing $ 2,675 $ $ - Commercial (<4,500 Sq Ft) $ 2,034 $ $ 8.07 Commercial (4,501-25,000 Sq Ft) $ 2,954 $ $ 8.07 Commercial (25, ,000 Sq Ft) $ 1,017 $ $ 8.07 Commercial (>100,000 Sq Ft) $ 145 $ $ 8.07 Public Schools $ 339 $ $ 8.07 Public/Other* $ 920 $ $ 8.07 $ - $ - $ - Total $ 487, hr & Residential Board & Care Annual Costs Monthly Costs Residential Board & Care Availability Costs Demand Costs Total Costs Availability Costs Demand Costs Total Costs Covenant Shores - RB&C $ 2, $ - $ 2, $ $ - $ Island House Retirement $ $ - $ $ $ - $ Sunrise Retirement $ 2, $ - $ 2, $ $ - $ Aljoya House $ 1, $ - $ 1, $ $ - $ In Home Care $ $ - $ $ $ - $ Total $ 6, $ - $ 6, $ $ - $ hour Nursing Availability Costs Demand Costs Total Costs Availability Costs Demand Costs Total Costs Covenant Shores Skilled Nursing $ 1, $ - $ 1, $ $ - $ New Hope Health (formerly MI Care) $ 1, $ - $ 1, $ $ - $ Total $ 2, $ - $ 2, $ $ - $ Page 11

17 Utility Board 2012 Work Plan Meeting Date January 10 February 14 March 13 April 10 May 8 June 12 July 10 August 14 September 11 October 9 Agenda Item Cancelled 2012 Work Plan 2012 Work Plan Project Updates Utility Billing Adjustment Policies (Francie) Meeting Cancelled Utility CIP Preview (Staff) Board Elections Cancelled EMS (Ambulance Cost of Service Study) (FCS Group) E-Billing Status Report Sewer Budget and Rates (Francie) Storm Water Budget and Rates (Francie) Water Budget and Rates (Francie) EMS Rates (Francie) November 13 To Be Scheduled: