www.southsound911.org | info@southsound911.org | 955 Tacoma Avenue South, Suite 102, Tacoma WA 98402

2021 ANNUAL BUDGET

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The 2021 Budget Message Executive Director Deborah Grady

On August 26, 2020, the South Sound 911 Board of Directors unanimously approved the 2021 Budget. The COVID-19 pandemic made this the most challenging financial decision in the agency’s short history. South Sound 911 relies upon three sources of revenue: allocations, sales tax and an E911 excise tax. When the shutdown of all but essential services occurred in March, economic forecasts projected significant sales tax revenue losses. These projections contributed to both a revision of the 2020 Budget and framed the approach to the development of the 2021 Budget. The 2021 Budget remains consistent with our mission and goals and provides a balanced financial plan to continue providing essential services to the citizens of Pierce County and our partner agencies.

2021 Budget Highlights The 2021 Budget was developed through careful consideration of financial and operational needs by staff and the Finance Committee over a series of meetings in the spring and summer of 2020. The Finance Committee was chaired by Boardmember Michael Brandstetter and included Boardmembers Julie Door, Matthew Holm and Kelly McClimans.

Due to COVID-19 projected revenue losses of up to 30% in Sales and Use Tax, the 2021 Budget presented in this document includes conservative revenue estimates and authorizes operational expenditures at the same level as 2020. Since personnel costs account for 84% of the operational budget, the 2021 Budget has no change in the number of full-time equivalents (FTEs) and cost of living adjustments were not included.

The 2021 Budget for South Sound 911 includes the following:

Operational Revenues $44,248,000 6% decrease from 2020 General Operational Expenditures $40,156,640 1% less than 2020 Capital Projects $165,000 Debt Service – Radio Bonds $5,694,500 $2M will mature in 2022 and $3.7M in 2023 Debt Service – PSCC Bonds $4,186,760 Bonds will mature in 2036 Operating Contingency $800,000 VHF Radio $210,000 Reserve: General Operating Fund $5,071,920 Funding level meets the 15% reserve policy Reserve: Strategic Reserve Fund $1,500,000

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In lieu of increasing allocations to our public safety agencies, the Board of Directors elected to suspend transferring the 2019 excess fund balance to the capital reserve fund. In addition, a subsidy to radio system owners was eliminated. These decisions maintained an ending fund balance of 15% as per policy, and kept allocation revenue for communications services the same as 2020. The 2021 Cost Allocation accounts for more than half of the revenues to support South Sound 911 operations. Although the communications allocation revenue stayed the same in 2021, the allocation formula was applied and agencies received increases or decreases based upon the use of services. Per policy, increases for communications services were capped at 7.5% and decreases were capped at 4% per agency. Allocations to Law Enforcement agencies for support services increased by 8.3% overall. Budget authority for the Public Safety Communications Center (PSCC) project construction was provided in the 2019 Budget with completion expected to occur in the spring of 2021. The overall project budget, excluding design, was originally $65M; however, favorable bids and other cost reductions allowed the project budget to be reduced by $6M. Bond proceeds of $59M are being utilized to fund the project and the debt service on the bonds is $4.2 annually, with the final payment occurring in 2036. The PSCC Budget includes improvements to the 35th Street facility, which currently operates as our Law Enforcement Communications Center. The remodel of this facility increases South Sound 911’s resiliency, as it will provide redundancy and act as a backup communications center when the PSCC is completed.

Summary The 2021 South Sound 911 Budget is a balanced and responsible approach to our critical mission of building a unified and interoperable public safety communications system to serve our community and public safety departments. Our core services are the foundation for operating and financial decisions and include:

1. Processing 911 calls to provide the best service to callers in emergencies. 2. Dispatching calls for service to our law enforcement and fire partner agencies with

collaboratively developed responses. 3. Providing records management services in support of our law enforcement agencies. 4. Performing public records and licensing services for the citizens of Pierce County.

A special thank you to the South Sound 911 Finance Committee for their leadership and support in the development and approval of the 2021 Budget. Their commitment to South Sound 911 and the citizens of Pierce County is appreciated. We would also like to thank our Finance Director Janet Caviezel for all her efforts.

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About the Agency Mission: We will provide a modern, unified emergency communication and response system to protect and serve our communities and partner agencies. Vision: We will collaborate with regional partners to protect lives, property and communities. We will enhance public safety by:

• Assuring prompt responses to all emergencies and service requests • Serving the public trust with reliable, efficient and financially responsible systems • Inspiring industry excellence with innovative technologies and staff

Agency Information: South Sound 911 was created after voters in Pierce County, Washington approved a 1/10th of 1% sales tax increase in November, 2011. The agency was originally formed pursuant to Chapter 39.34 of the Revised Code of Washington (RCW), the Interlocal Cooperation Act, but transitioned to a Public Development Authority (PDA) chartered by the City of Tacoma in mid-2019. South Sound 911 is governed by an 11-member Board of Directors to which the South Sound 911 Executive Director reports. All local government agencies contracting for the agency’s services are represented on the board, either directly or indirectly.

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Governing Board The South Sound 911 Public Authority is solely governed by an eleven member Board of Directors. Board members are elected officials with representation that is reflective of the agency’s customer base. Seats on the board are allocated based on the relative size of the most recently approved annual communications assessments. Terms are three years and there are no term limits. The Board of Directors is supported by a Finance Committee made up of four board members and a Public Safety Communications Operations Committee made up of police and fire chiefs. The Public Safety Communications Operations Committee advises the Board of Directors and the executive director on any matters related to South Sound 911 operations.

Board of Directors

Bill Pugh, City of Sumner Mayor (Chair) Lillian Hunter, City of Tacoma Councilmember (Vice-Chair) Michael Brandstetter, City of Lakewood Councilmember

Bruce Dammeier, Pierce County Executive Julie Door, City of Puyallup Mayor

Matt Holm, Central Pierce Fire & Rescue Commissioner Kelly McClimans, City of Bonney Lake Councilmember

Patt McElligott, East Pierce Fire & Rescue Commissioner Dan Rankin, West Pierce Fire & Rescue Commissioner

Doug Richardson, Pierce County Councilmember Robert Thoms, City of Tacoma Councilmember

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2021 Organizational Chart

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2021 Staffing Summary

2019 2020 2021 FTE's FTE's FTE's Administrative Services Administration & Finance 6.0 6.4 6.15 Community Relations 1.0 1.0 1.0 Executive 2.0 2.0 4.0 Facilities Maintenance 1.0 1.0 1.0 Human Resources 4.0 4.0 4.0 Legal 1.0 1.0 1.0 15.0 15.4 17.15 Communications CAD Administration - Technical Services 3.0 3.15 3.15 Fire Communications 27.75 27.5 27.0 Law Enforcement Communications 117.75 120.0 119.0 Law Enforcement Data Dispatch 25.0 26.0 26.0 173.50 176.65 175.15 Support Services Crime Analysis - LE Support Services 1.0 1.0 1.0 Disclosure - Records/LE Support Services 3.0 3.4 3.4 Network Operations - Technical Services 6.0 5.2 5.2 Records - Permitting/LE Support Services 14.25 18.2 18.45 RMS - Technical Services 13.0 10.4 10.4 Support Center - Technical Services 7.00 6.25 6.25 44.25 44.45 44.70 Total Staffing 232.75 236.5 237.0

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2021 Budget Summary – All Funds

Admin. Comm.SupportServices

TotalGeneral Fund

StrategicReserve

FacilityReserve

AllocationReduction

CapitalReserve

RadioSystems

TotalAll Funds

Beginning Fund Balance 5,090,480 1,500,000 3,800,000 1,048,780 2,097,560 - 13,536,820 Revenues:Allocation - 18,435,920 5,124,290 23,560,210 23,560,210 Sales Tax - 15,490,000 - 15,490,000 15,490,000 E911 Excise Tax 4,609,140 - 4,609,140 4,609,140 Licenses & Permits - - 300,000 300,000 300,000 Intergovernmental 95,150 - - 95,150 95,150 Charges for Services - - 43,500 43,500 43,500 Interest/Misc. 150,000 - - 150,000 150,000 Total Revenues 245,150 38,535,060 5,467,790 44,248,000 - - - - - 44,248,000 Expenditures:Salaries & Wages 2,235,990 17,657,600 4,736,600 24,630,190 24,630,190 Personnel Benefits 822,290 7,019,710 1,886,730 9,728,730 9,728,730 Supplies 182,500 127,500 84,440 394,440 394,440 Services/Pass-Thru Pmts. 1,932,210 2,033,850 1,437,220 5,403,280 210,000 5,613,280 Total Operations 5,172,990 26,838,660 8,144,990 40,156,640 - - - - 210,000 40,366,640 Capital Outlay - 165,000 - 165,000 165,000 Debt Service - 9,881,260 - 9,881,260 9,881,260 Contingency - 800,000 - 800,000 800,000 Total Expenditures 5,172,990 37,684,920 8,144,990 51,002,900 - - - - 210,000 51,212,900 Other Sources (Uses):Transfers In - 6,946,340 - 6,946,340 - 210,000 7,156,340 Transfers Out - (210,000) - (210,000) - (3,800,000) (1,048,780) (2,097,560) - (7,156,340) Total Other Financing - 6,736,340 - 6,736,340 - (3,800,000) (1,048,780) (2,097,560) 210,000 -

Ending Fund Balance 5,071,920 1,500,000 - - - - 6,571,920

General Operating FundBUDGET SUMMARY 2021

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2021 Budget Summary – All Funds

Allocation53%

Sales Tax35%

E911 Excise Tax10%

Public Counter1%Other

1%

2021 Budgeted Revenues

2018Actual

2019Actual

2020Budget

2020Revised

2021Budget

Allocation 23,418,384 23,657,111 23,358,290 23,167,270 23,560,210 Sales Tax 17,980,597 19,216,088 18,540,000 16,100,000 15,490,000 E911 Excise Tax 4,250,526 4,322,732 4,609,140 4,609,140 4,609,140 Public Counter 426,937 386,942 318,500 228,500 343,500 Other 297,682 477,447 200,000 275,000 245,150 Total 46,374,126 48,060,319 47,025,930 44,379,910 44,248,000

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2021 Budget Summary – All Funds

Administration10.1%

Communications52.7%

Support Services15.9%

Operating Contingency

1.6%

Debt Service19.3%

Radio Systems0.4%

2021 Operating Expenditures by Division/Fund

ExpendituresWages & Benefits

Supplies & Services Capital Intergov. Total

Operating Fund: Administration 3,058,280$ 2,114,710$ -$ -$ 5,172,990$ Communications 24,677,310 2,161,350 165,000 - 27,003,660 Support Services 6,623,330 1,521,660 - - 8,144,990 Operating Contingency - - - - 800,000 Total Operating Fund 34,358,920$ 5,797,720$ 165,000$ -$ 41,121,640$ Non-Operating: Debt Service -$ -$ -$ 9,881,260$ 9,881,260$ Radio Systems - - - 210,000 210,000 Total Budget 34,358,920$ 5,797,720$ 165,000$ 10,091,260$ 51,212,900$

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2021 Cost Allocation The 2021 Budget includes allocation revenue from all of the agencies served by South Sound 911. The South Sound 911 Charter for the Public Authority requires that the assessment formula for communications/dispatch services be adopted by the Board of Directors by resolution, which occurred on September 25, 2019.

Communications/Dispatch Services – Law Enforcement: The Cost Allocation for communications services for law enforcement agencies was developed by a Cost Allocation Working Group in 2018. The adopted formula for law enforcement communications services uses population at 15% and Calls for Service (CFS) at 85%. CFS is defined as any activity generating a CAD Event exclusive of off duty logins and medical aid calls where law enforcement is not dispatched. The formula also calculates all field events (including traffic stops) with a weight of 50%. The calculation for field events is being established over a 5-year period, which started with a weighting of 10% in 2019 and 20% in 2020. The field events were weighted at 30% for the 2021 allocation, and the expectation is that the weighting will increase to 40% in 2022, with the target of 50% being reached in 2023. The staggered approach for field events was intended to mitigate impacts to agencies heavily reliant on the use of field events. Additionally, in order to manage large fluctuations in annual allocations for individual agencies, increases are limited to 7.5% and decreases are limited to 4%.

Communications/Dispatch Services – Fire: For Fire Communications Services, the Cost Allocation formula adopted by the South Sound 911 Board of Directors is a continuation of the formula used by West Pierce Fire & Rescue prior to the operational transition to South Sound 911 in 2017. The allocation is based on a ratio of total CFS (70%) and the assessed value of each fire protection district (30%). A separate flat rate allocation was adopted for agencies with less than 200 annual CFS, which affect three fire districts in 2021. Limits for annual increases and decreases for individual agencies were put in place and mirror law enforcement, which are currently 7.5% for increases and 4% for decreases. The Tacoma Fire Department provides fire services, including emergency communications, for City of Fircrest, City of Ruston and Fire District No. 10, which serves the Fife community. South Sound 911 cost allocations are not used for Tacoma Fire and their contracting agencies since they have not transitioned.

Law Enforcement Agencies

2021Allocation

Bonney Lake PD 389,660$ Buckley PD 67,310 DuPont PD 95,890 Eatonville PD 23,180 Edgewood PD 123,000 Fife PD 368,330 Fircrest PD 90,350 Gig Harbor PD 177,220 Lakewood PD 1,390,920 Milton PD 162,860 Orting PD 82,030 Pierce County Sheriff 4,845,490 Puyallup PD 1,155,880 Roy PD 13,460 Ruston PD 32,670 Steilacoom PD 122,290 Sumner PD 350,800 Tacoma PD 5,047,080 University Place PD 359,280 Total 14,897,700$

Fire Districts2021

AllocationAnderson Island Fire 11,910$ Ashford/Elbe Fire 11,170 Browns Point Fire 13,210 Buckley Fire 38,560 Carbonado Fire 1,100 CPFR 1,276,510 Crystal Mtn. Fire 1,100 DuPont Fire 46,380 EPFR 544,480 Gig Harbor Fire 338,100 Graham Fire 290,940 Greenwater Fire 2,200 Key Peninsula Fire 106,040 OVFR 76,900 Riverside Fire 13,320 SPFR 101,580 Eatonville Fire 15,880 WPFR 648,840 Total 3,538,220$

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Support Services: Support Services are allocated based on the level of service provided to our law enforcement agencies. Services elected are dependent upon the specific need of each agency.

• RMS Services – Includes use of Records Management System (RMS), modules such as Field Based Reporting, Supervisor Review Queues, Electronic Distribution and others used by Patrol, Administration and Investigations every day. Costs are allocated by percent of Commissioned Officers.

• Warrant Services – Includes entry, confirmation, maintenance and validation of warrants or orders. Costs are allocated by percent of Commissioned Officers of the agencies electing the service.

• Records/Permitting – Services include archiving, data entry, distribution and statistical reporting (IBR) of records and public counter services. The public counter processes Concealed Pistol Licenses, pistol transfers, public disclosure requests and fingerprinting. Costs are allocated by percent of Commissioned Officers and/or percent of agency population dependent on the elected services.

Law Enforcement Agencies RMS

Records/ Permitting Warrants

LE SupportServices

2021Bonney Lake 92,400$ -$ -$ 92,400$ Buckley 30,800 - 8,860 39,660 DuPont 31,590 14,190 8,860 54,640 Eatonville 15,700 - 4,430 20,130 Edgewood 33,880 16,750 9,750 60,380 Fife 92,400 11,340 - 103,740 Fircrest 28,270 7,570 - 35,840 Gig Harbor 61,690 - - 61,690 Lakewood 298,750 102,100 85,960 486,810 Milton 44,340 13,970 12,410 70,720 Orting 25,550 9,370 7,090 42,010 Pierce County 855,440 547,420 239,270 1,642,130 Pierce Transit 61,600 - - 61,600 Puyallup 209,430 - 60,260 269,690 Roy 6,340 1,650 1,770 9,760 Ruston 15,400 2,950 4,430 22,780 Steilacoom 31,410 7,210 8,860 47,480 Sumner 58,520 - 16,840 75,360 Tacoma 1,131,380 367,320 318,140 1,816,840 University Place 52,360 43,200 15,070 110,630 Total 3,177,250$ 1,145,040$ 802,000$ 5,124,290$

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2021 General Operating Fund The General Operating Fund of South Sound 911 is where the cost of all operations is accounted for as well as the allocation and tax revenue to support those operations. In 2021, South Sound 911 has one other operating fund, one active capital project fund, and four reserve funds, which are fully supported by general operating revenues. Since all revenue is receipted in the General Operating Fund, support to the other funds is shown as a transfer out. The 2021 Budget includes use of $3.8M from the Facility Reserve fund, which has accumulated reserves over the past few years to support the debt service on the PSCC Project. Financial policies allocate 1/3 of excess fund balance from the previous year to an Allocation Reduction Reserve Fund and the remaining 2/3 of excess fund balance to the Capital Reserve Fund. Excess fund balance in 2019 was $3,146,340, which was transferred to the reserve funds in 2020. The Board of Directors, through the 2021 Budget process, opted to utilize all the excess fund balance to avoid increases in assessments for our police and fire agencies. This depleted all reserve funds with the exception of the Strategic Reserve Fund for emergency purposes.

2019Actual

2020Budget

2020Revised

2021Budget

Revenues:Allocation 23,657,111$ 23,358,290$ 23,167,270$ 23,560,210$ Sales Tax 19,216,088 18,540,000 16,100,000 15,490,000 E911 Excise Tax 4,322,732 4,609,140 4,609,140 4,609,140 Other 864,389 518,500 503,500 588,650 Total Revenues 48,060,319$ 47,025,930$ 44,379,910$ 44,248,000$ Expenditures:Wages & Benefits 31,244,527 34,407,870 34,003,000 34,358,920 Supplies/Services & Capital 5,553,188 7,655,010 6,871,170 5,962,720 Contingency - 750,000 750,000 800,000 Debt Service 6,243,573 9,388,700 9,388,710 9,881,260 Total Expenditures 43,041,288$ 52,201,580$ 51,012,880$ 51,002,900$ Transfers:Radio Systems Subsidy 1,000,000 1,300,000 1,200,000 210,000 Total Transfers 1,000,000$ 1,300,000$ 1,200,000$ 210,000$

Change in Fund Balance 4,019,032 (6,475,650) (7,832,970) (6,964,900)

Beginning Fund Balance (all funds): 16,600,760 17,287,770 20,619,790 13,536,820

Ending Fund Balance: General Fund 13,319,792 6,262,120 5,090,480 5,071,920 Strategic Reserve Fund - 1,500,000 1,500,000 1,500,000 Facility Reserve Fund 7,300,000 3,800,000 3,800,000 - Capital Reserve Fund - - 2,097,560 - Allocation Reduction Fund - - 1,048,780 - Total Ending Fund Balance 20,619,792$ 11,562,120$ 13,536,820$ 6,571,920$

2021 General Operating Fund

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2021 General Operating Revenues Operationally, South Sound 911 is largely supported by user fees, or Cost Allocation revenue, which accounts for about 53% of the total budgeted revenues in 2021. Additionally, South Sound 911 receives tax funding from Pierce County that is restricted for emergency communications. These tax distributions account for about 45% of the total revenue. Sales and Use tax rates in Pierce County vary from 7.9% in cities and unincorporated areas that are outside the Regional Transit Authority to 10.2% in the City of Tacoma. The rate of tax that is distributed directly to the State of Washington is 6.5 percent, so local taxes vary from 1.4% to 3.7%. Pierce County voters approved Proposition 1 in November 2011, which increased local sales taxes by one-tenth of one percent countywide. The tax supports capital improvements, including an upgrade to the radio communications system and construction of a new Public Safety Communications Center, which were largely funded with bonds. Remaining tax dollars are used for South Sound operations and/or other capital projects that support emergency communications. Sales tax revenue is received on a monthly basis by Pierce County and the County transfers a portion of the tax revenue to debt service funds to finance principal and interest payments for the two radio bond issues and the PSCC bond issue. County administrative costs are also deducted from the revenue. The remaining tax revenue is transferred to the South Sound 911 Operating Fund to support operations and other capital projects. The sales tax graph shows the total tax dollars received each year, the amount allocated to debt service and the net amount for operations. Significant decreases in this revenue source in the 2020 Revised Budget and the 2021 Budget are anticipated due to impacts from the COVID-19 Pandemic. Other operating revenues include Enhanced 911 (E911) Excise Taxes of $4.6 million, which are

collected and distributed by the Pierce County E911 Office. The $0.70 E911 tax assessed countywide generates approximately $8.4M. Of this amount, South Sound 911 receives $4.6M, or 55 percent, and the remaining funds support the Pierce County E911 Program Office. Revenues of $300K for Concealed Pistol Licenses (CPL’s) and $43,500 for other public counter services are used to offset the fees assessed to agencies electing those services.

-

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

2018Actual

2019Actual

2020Budget

2020Revised

2021Budget

Sales Tax Revenue

Radio Debt Service PSCC Debt Service Net Operating

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2021 General Operating Expenditures The General Fund budget is divided into three main functions, which include Administration, Communications and Support Services. The separations are made primarily by function for cost allocation purposes and secondarily for management oversight purposes.

Administration Division Administration provides support to all Law Enforcement and Fire operations and agency-wide capital projects. Administrative Services Department General administrative functions including legal, community relations, facilities maintenance, finance and human resources are accounted for within this department. With the move to the PSCC scheduled in mid-2021, supplies and service contracts will be centralized in administration. In previous years, utility costs, janitorial services, general supplies, etc. were accounted for within the individual operating department. This is the reason for the significant increase in this budget in 2021.

Executive Department The Executive Department includes personnel and operational costs to support the Executive Director, the Executive Assistant/Clerk of the Board, and the two Deputy Directors. The restructuring of the organization in 2020, changed the Deputy Director positions from overseeing Law Enforcement and Fire to overseeing Operations and Support Services. With this change, the two positions transferred to the Executive Department in the 2021 Budget, which is the reason for the increase in FTEs and associated expenditures.

Administrative Services2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 11.0 11.0 13.4 13.15 13.15

Salaries & Wages 1,086,215 1,184,357 1,531,410 1,486,750 1,575,930 Personnel Benefits 427,344 446,204 616,980 569,800 580,450 Supplies 55,900 61,851 89,780 93,130 180,800 Services & Pass-Thru Pmts. 817,452 834,659 943,950 903,560 1,752,610 Capital Outlays 14,851 13,641 70,000 35,600 - Total 2,401,762 2,540,711 3,252,120 3,088,840 4,089,790

Executive2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 2 2 2 2 4

Salaries & Wages 325,614 321,063 347,580 397,040 660,060 Personnel Benefits 112,154 108,785 139,260 137,640 241,840 Supplies 4,230 4,427 5,660 7,360 1,200 Services & Pass-Thru Pmts. 50,147 63,790 47,660 43,160 4,600 Capital Outlays - - - - - Total 492,146 498,064 540,160 585,200 907,700

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Legislative Department The Legislative Department includes costs for supplies, training, and meetings to support the Board of Directors and committees supporting South Sound 911. This department also includes funding for continued strategic planning and membership with the Regional Emergency Radio Council (RERC).

Transfers to PSAPs and Other Funds In 2021, debt service for radios, debt service for the PSCC, radio VHF overlay maintenance, and revenue sharing with Tacoma Fire Communications will be financed with General Fund revenues. The distribution to Tacoma Fire Department continues in 2021; however, the amount is anticipated to decrease due to reduced tax revenues and increases in service contracts South Sound 911 pays on behalf of Tacoma Fire Department. Additionally, the 2021 Budget eliminated the transfer of sales tax revenues to City of Tacoma and the Combined Communications Network (CCN) to offset radio user fees for public safety users.

Communications Division The Communications Division includes our three PSAPs (Law Enforcement Communications, Fire Communications and Tacoma Fire Communications), the Law Enforcement Data Channel operated from our Records location, and Computer-Aided Dispatch (CAD) Support. Costs within the Communications Division are funded by user agencies through the Cost Allocation and offset by E911 Excise Tax revenue and a portion of the one-tenth of one percent Sales Tax. CAD Support Department The CAD Support Department accounts for the staffing for CAD administration and GIS services. CAD maintenance and logging recorder maintenance contracts are also included in this department.

Legislative2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetSalaries & Wages - - - - - Personnel Benefits - - - - - Supplies 1,013 316 4,000 500 500 Services & Pass-Thru Pmts. 202,898 27,111 179,000 175,000 175,000 Capital Outlays - - - - - Total 203,911 27,427 183,000 175,500 175,500

Transfers2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetTFD Pass-Thru 515,986 500,853 456,250 470,350 79,480 Radio Debt Service Pass-Thru 5,690,424 5,688,372 5,687,500 5,687,500 5,694,500 PSCC Debt Service Pass-Thru - 555,201 3,701,200 3,701,210 4,186,760 Transfer to Strategic Reserve - - 1,500,000 1,500,000 - Transfer to Radio Systems 850,000 1,000,000 1,300,000 1,200,000 210,000 Transfer to Facility Capital 4,150,000 - - - - Subtotal Services 11,206,410 7,744,426 12,644,950 12,559,060 10,170,740

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Fire Communications The Fire Communications department accounts for communications services provided to all fire districts in Pierce County except the City of Tacoma and their contracting agencies. This department operates from our Puyallup location, and will transition to the PSCC in mid-2021. The change in FTEs is due to the transition of the Deputy Director to the Executive Department following the organizational restructure.

Law Enforcement Communications This department includes costs associated with the operations of the Communications Center located on S. 35th Street. All 911 and non-emergency calls are answered at this location and fire/EMS calls are transferred to our Fire Communications Department. Dispatch services for law enforcement are also accounted for within this department. The changes in the number of FTEs in 2021 is due to the transition of the Deputy Director to the Executive Department following the organizational restructure.

CAD Support2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 3.15 3.15 3.15

Salaries & Wages - - 365,470 361,090 362,540 Personnel Benefits - - 151,150 143,710 142,100 Supplies - - 3,600 3,600 2,600 Services & Pass-Thru Pmts. 750,326 839,447 1,009,480 987,050 1,034,520 Capital Outlays - - - 20,000 - Total 750,326 839,447 1,529,700 1,515,450 1,541,760

Fire Communications2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 27.75 27.75 27.50 27.75 27.0

Salaries & Wages 2,682,318 2,871,088 3,047,570 2,994,580 3,004,860 Personnel Benefits 949,358 1,006,828 1,187,570 1,133,400 1,187,350 Supplies 25,390 26,260 60,900 29,950 41,600 Services & Pass-Thru Pmts. 580,809 571,481 618,030 499,340 438,490 Capital Outlays 47,426 9,364 250,000 200,000 165,000 Total 4,285,301 4,485,021 5,164,070 4,857,270 4,837,300

LE Communications2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 120.75 120.75 119.75 120.0 119.0

Salaries & Wages 11,084,628 11,646,086 12,275,760 12,058,610 12,155,690 Personnel Benefits 4,038,943 4,262,221 4,877,680 4,715,320 4,713,260 Supplies 76,049 72,469 143,150 84,650 83,300 Services & Pass-Thru Pmts. 498,788 573,138 648,420 513,670 279,800 Capital Outlays 18,005 50,368 191,000 - - Total 15,716,413 16,604,281 18,136,010 17,372,250 17,232,050

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Law Enforcement Data Channel This department is new to the budget structure, but the function has always been allocated to Law Enforcement Communications. Staffing for the data channel is from our Records location; however, once the PSCC is complete, the data channel will collocate with 911 operations. The department currently staffs five law enforcement data channels on a 24 by 7 basis. Historical data for this new department is combined in the Records department.

Support Services Division The Support Services Division includes costs associated with both the operational and technical aspects of providing records management and public services, which is funded in whole by the law enforcement agencies utilizing the services. This division also includes technical services that support the agency as a whole, which are allocated proportionately by function. Crime Analysis Department This department is new to the budget structure for the Public Authority and was formerly included with the Information Services Department. There is one Intelligence Analyst assigned to this department with contractual labor supporting the function, which serves the law enforcement community.

Disclosure Department This department is also new to the budget structure for the Public Authority; costs were previously divided between Law Enforcement Communications and Records. This department fulfills the extensive amount of public records requests submitted to South Sound 911 and supports the courts in supplying audio, written records or expert testimony when necessary.

LE Data Channel2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 26.00 26.00 26.00

Salaries & Wages - - 2,097,490 2,222,500 2,134,510 Personnel Benefits - - 981,260 980,380 977,000 Supplies - - - 250 - Services & Pass-Thru Pmts. - - 389,940 375,740 201,560 Capital Outlays - - - - - Total - - 3,468,690 3,578,870 3,313,070

Crime Analysis2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 1.00 1.00 1.00

Salaries & Wages - - 186,650 185,950 185,950 Personnel Benefits - - 48,740 39,950 39,280 Supplies - - - - - Services & Pass-Thru Pmts. - - 23,570 25,350 23,020 Capital Outlays - - - - - Total - - 258,960 251,250 248,250

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Network Operations Department

The Network Operations Department includes historical data for the previous Communications Systems budget, which is the reason for the drop in FTEs and expenditures in 2020. This department, provides essential network and system support agency-wide.

Records Department The Records Department accounts for warrants, records and permitting operations. The data channel operations were previously accounted for in the Records Budget, even though the costs have always been allocated to Law Enforcement Communications when determining assessments. This is the reason for the significant decrease in FTEs and expenditures in 2020. Supervisory and management personnel costs for the Records division are accounted for in this department, and then cost distributed to the Data Channel for assessment purposes.

Disclosure2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 3.40 3.40 3.40

Salaries & Wages - - 290,790 303,340 289,960 Personnel Benefits - - 114,850 115,670 111,770 Supplies - - 5,000 5,000 2,500 Services & Pass-Thru Pmts. - - 51,470 47,460 51,540 Capital Outlays - - - - - Total - - 462,110 471,470 455,770

Network Operations2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 8 8 5.20 5.20 5.20

Salaries & Wages 856,335 887,974 647,610 623,800 631,430 Personnel Benefits 349,321 362,576 283,080 279,420 281,590 Supplies 34,465 35,040 42,050 72,250 41,050 Services & Pass-Thru Pmts. 470,740 619,868 663,380 651,800 650,480 Capital Outlays 271,294 236,954 150,000 192,350 - Total 1,982,154 2,142,413 1,786,120 1,819,620 1,604,550

Records2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 40.25 40.25 18.45 18.45 18.45

Salaries & Wages 3,502,668 4,008,283 1,868,420 1,921,540 1,856,910 Personnel Benefits 1,462,171 1,578,782 760,550 765,650 754,270 Supplies 41,525 70,436 65,140 60,140 14,490 Services & Pass-Thru Pmts. 494,486 486,768 208,730 194,570 266,800 Capital Outlays 8,851 18,066 - - - Total 5,509,702 6,162,335 2,902,840 2,941,900 2,892,470

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Records Management System (RMS) Department The RMS Department contains historical data for the former Information Services Department, which is the reason for the significant drop in FTEs and expenditures in 2019 and 2020. This department is staffed with developers and project managers responsible for the development and maintenance of the internal RMS system for all law enforcement agencies in Pierce County.

Support Center Department The Support Center Department provides agency-wide technical support. In addition to supporting South Sound 911 operations and administration, the Support Center provides technical assistance to all public safety field users utilizing our systems. The separation of this department from other technical cost centers occurred in 2019, which is the reason for the lack of historical information in 2018.

RMS Support2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 23 15 10.4 10.4 10.4

Salaries & Wages 2,077,444 1,350,995 1,223,090 1,181,210 1,194,330 Personnel Benefits 790,267 493,494 490,490 439,300 444,890 Supplies 29,300 2,242 20,000 6,900 15,100 Services & Pass-Thru Pmts. 473,599 198,099 236,370 155,240 204,380 Capital Outlays 16,820 6,083 50,000 - - Total 3,387,431 2,050,913 2,019,950 1,782,650 1,858,700

Support Center2018

Actual2019

Actual2020

Budget2020

Revised2021

BudgetFTE's 7.00 6.25 6.25 6.25

Salaries & Wages - 491,531 591,040 656,080 578,020 Personnel Benefits - 224,261 283,380 290,270 254,930 Supplies - 10,497 12,100 9,900 11,300 Services & Pass-Thru Pmts. - 219,961 236,380 257,300 241,000 Capital Outlays - - 30,000 - - Total - 946,250 1,152,900 1,213,550 1,085,250

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2021 Other Operating and Capital Funds

Strategic Reserve Fund The Financial Policies adopted by the Board of Directors in 2019 created a Strategic Reserve Fund of $1.5M. The 2020 Budget established the funding of this new reserve account, which requires approval from the Board of Directors to be used. Spending from the fund will require a financial plan to bring the fund balance back to $1.5M within two years.

Facility Reserve Fund The Facility Reserve fund was created in 2016 to set aside funds for future facility costs/debt payments. The beginning fund balance in this reserve fund of $3.8M in 2021 is expected to be transferred back to the General Operating Fund to help cover the debt service payment for the PSCC in 2021. The fund will be fully depleted once the transfer occurs.

Allocation Reduction Fund The Allocation Reduction fund was established through the Financial Policies adopted by the Board of Directors in 2019. The policies require one-third of the previous year excess fund balance to be transferred to this fund to reduce allocations in future years. In 2019, the excess ending fund balance of $3,146,340 allowed for a transfer of $1,048,780 to this fund. Due to financial concerns in 2020 and 2021, the Board of Directors elected to use this balance for general operations in 2021 and maintained agency allocations at the 2020 level.

Capital Reserve Fund The Capital Reserve Fund was also established through the Financial Policies adopted by the Board of Directors in 2019. This fund receives two-thirds of the previous year excess fund balance to be utilized for future capital projects. Due to financial concerns in 2020 and 2021, the Board of Directors elected to use the balance of $2,097,560 for general operations in 2021.

Radio Systems Fund South Sound 911 funds the maintenance component of the VHF Overlay system managed by the Combined Communications Network (CCN) in the amount of $210,000.

Facility Capital Projects Fund

Capital Projects Funds are budgeted based on the individual project and the fiscal periods that correspond to the lives of the projects. Appropriations for capital outlays are carried forward from year

to year until fully expended or the project is complete. All major South Sound 911 capital projects are funded with revenue generated from the one-tenth of one percent Sales and Use Tax. The only active capital project is the construction phase of the new Public Safety Communications Center (PSCC), which was budgeted in 2019, with completion expected in mid-2021. The facility is being constructed on the former Puget Sound Hospital site owned by Pierce County and now leased by South Sound 911. The project is being financed with bond proceeds of $59M from an issuance by

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Pierce County in 2019. The architect team led by CallisonRTKL, completed design in mid-2019 and the construction contract was awarded to Kassel & Associates in August, 2019. Completion of the PSCC is expected in the spring of 2021. Additionally, the project budget includes funding to remodel the existing LE Communications Center to be used as a backup facility. Once completed, the backup facility will be occupied by Tacoma Fire Communications. Completion of the remodel is expected in early 2022.