Template revised September 22, 2016.
COMMISSION
AGENDA MEMORANDUM
Item No.
6b
ACTION ITEM
Date of Meeting
May 14, 2019
DATE: May 1, 2019
TO: Steve Metruck, Executive Director
FROM: Duane Hill, AFR Senior Manager Disbursements
SUBJECT: Claims and Obligations - April 2019
ACTION REQUESTED
Request Port Commission approval of the Port Auditor’s payment of the salaries and claims of the Port
pursuant to RCW 42.24.180 for payments issued during the period April 1 through April 30, 2019 as follows:
Pursuant to RCW 42.24.180, “the Port’s legislative body” (the Commission) is required to approve in a public
meeting, all payments of claims within one month of issuance.
OVERSIGHT
All these payments have been previously authorized either through direct Commission action or delegation of
authority to the Executive Director and through his or her staff. Detailed information on Port expenditures is
provided to the Commission through comprehensive budget presentations as well as the publicly released
Budget Document, which provides an even greater level of detail. The Port’s operating and capital budget is
approved by resolution in November for the coming fiscal year, and the Commission also approves the Salary
and Benefit Resolution around the same time to authorize pay and benefit programs. Notwithstanding the
Port’s budget approval, individual capital projects and contracts exceeding certain dollar thresholds are also
subsequently brought before the Commission for specific authorization prior to commencement of the project
or contract—if they are below the thresholds the Executive Director is delegated authority to approve them.
Expenditures are monitored against budgets monthly by management and reported comprehensively to the
Commission quarterly.
Payment Type
Payment
Reference Start
Number
Payment
Reference End
Number
Amount
Accounts Payable Checks
929433
929871
5,305,391.15$
Accounts Payable ACH
016320
017195
68,397,311.52$
Accounts Payable Wires
015096
015122
14,327,735.36$
Payroll Checks
192564
192799
280,729.33$
Payroll ACH
906479
910699
10,794,791.86$
Total Payments
99,105,959.22$
COMMISSION AGENDA – Action Item No. 6b Page 2 of 3
Meeting Date: May 14, 2019
Template revised October 22, 2016.
Effective internal controls over all Port procurement, contracting and disbursements are also in place to
ensure proper central oversight, delegation of authority, separation of duties, payment approval and
documentation, and signed perjury statement certifications for all payments. Port disbursements are also
regularly monitored against spending authorizations. All payment transactions and internal controls are
subject to periodic Port internal audits and annual external audits conducted by both the State Auditor’s
Office and the Port’s independent auditors.
For the month of April 2019, $88 million in accounts payable payments were made to 840
vendors/contractors, comprised of 2,617 vouchers and 10,092 accounting expense transactions. About 90
percent of the accounts payable payments made in the month fall into the Construction, Employee Benefits,
Contracted Services, NWSA Construction Costs, Payroll Taxes, Leasehold Taxes, Utility Expenses, and
Environmental Remediation Expense categories. Net payroll expense for the month of April was
$11,075,521.19. The following chart summarizes the top expense categories by total spend.
Category Payment Amount
Construction 45,217,353.43$
Employee Benefits 10,720,769.91$
Contracted Services 6,553,550.42$
NWSA Construction Costs 3,010,583.19$
Payroll Taxes 4,149,829.43$
Leasehold Taxes 4,021,409.82$
Utility Expenses 3,472,056.73$
Environmental Remediation 2,013,371.20$
Public Expense 1,500,000.00$
Sales Taxes 1,070,053.90$
Maintenance Inventory 769,731.77$
Bond Fees 601,718.10$
Parking Taxes 576,677.70$
Other 505,530.12$
Software 483,941.40$
Other Categories 3,363,860.91$
Net Payroll 11,075,521.19$
Total Payments 99,105,959.22$
COMMISSION AGENDA – Action Item No. 6b Page 3 of 3
Meeting Date: May 14, 2019
Template revised October 22, 2016.
Appropriate and effective internal controls are in place to ensure that the above obligations were processed in
accordance with Port of Seattle procurement/payment policies and delegation of authority.
At a meeting of the Port Commission held on May 14, 2019 it is hereby moved that, pursuant to RCW
42.24.180, the Port Commission approves the Port Auditor’s payment of the above salaries and claims of the
Port:
Port Commission