Template revised September 22, 2016. COMMISSION AGENDA MEMORANDUM Item No. CTION ITEM , 2017 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 of February 1, 2017 through February 28, 2017 as follows: Payment Type Payment Reference Start Number Payment Reference Amount Accounts Payable Checks 915882 916289 4,608,265.46 Accounts Payable ACH 047482 048020 19,252,128.77 Accounts Payable Wire Transfers 014567 7,217,720.12 Payroll Checks 185123 185325 268,017.05 Payroll AC 794276 797814 8,378,735.41 Total Payments 39,724,866.81 JUSTIFICATION Pursuant to RCW 42.24.180, “the Port’s legislative body” ( the Commissio n) is required to approve in a p ublic meeting all payment of claims within one month of issuance. ��COMMISSION AGENDA Action Item No. Page of Template revised September 22, 2016. OVERSIGHT All of these payments have been previously authorized either through direct Commission action or delegation of authority to the CEO and through his or her staff. Detailed information on Port expenditu res 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 esolution in November fo r the comi ng fiscal year, and the Commission also approves the Salary and Benefit Resolution around the same time to authorize pay and benefit programs. Notwit hst anding the Port’s budget approval, individual capital projects and contracts exceeding certai n 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 CEO is delegated authority to approve them. Expenditures are monit red against budgets on a monthly basis by management and reported comprehensively to the Commission quarterly. Effec ive i nternal controls over all Port procurement, contracting and disbursement 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 payme 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 February 2017, over $31 million in accounts pa yable payments were made to nearly 1,000 vendors /contractors , comprised of 2,100 invoices and over 7,000 accounting expense transactions. About 80 percent of the accounts payable payme nts made in the month fall into the Construction, Employee Benefits, Co ntract ed Services and Utility expense categories. The follo wing chart summarizes the top 16 expense categories by total spend Expense Type Payments Construction Total $ 12,979,720.92 Employee Benefits Total $ 7,562,633.38 Contracted Services Total $ 2,638,047.58 Utility Expense Total $ 1,896,668.29 Sales Taxes Total $ 925,038.80 Payroll Taxes Total $ 876,902.42 Software Total $ 678,937.80 Maintenance Inventory Total $ 572,757.29 Parking Taxes Total $ 321,961.20 card Charges Total $ 270,695.53 Environmental Remediation Total $ 243,782.04 Membership Dues & Fees Total $ 231,180.32 ��COMMISSION AGENDA Action Item No. Page of Template revised September 22, 2016. Banking Fees Total $ 185,235.19 Room/Space/Land Rent al Total $ 171,666.08 Maintenance Materials Total $ 162,442.93 Computers & Telephone Total $ 158,631.71 ggregate total expense categories below the top 16 $ 1,201,812.87 Port Net Payroll $ 8,646,752.46 Total Payments $ 39,724,866.81 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 March 28, 2017, 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