Burien is set to get a jump on neighboring cities by approving its 2013-2014 biennial budget on Monday, Nov. 4.
Cities have until the end of the year to approve their budgets for the coming year. But to accommodate colleagues’ medical and travel plans, Burien lawmakers agreed to try to wrap up budget adoption by early November.
The proposed budget totals $72 million in all funds with $44 million for the general operating fund. To balance the budget, Burien will take about $1 million out of its fund balance.
City Manager Mike Martin disputed a statement by resident Chestine Edgar during the Oct. 22 budget public hearing that “the city is going broke.”
“The city is not going broke,” Martin declared. “We are using reserves per council direction, instead of raising taxes.”
Martin added that under the most conservative estimates, Burien would not run out of reserves until 2016.
The city manager has previously pointed to two main reasons the city is having trouble matching revenues to expenditures. The ongoing recession has decimated property tax revenues because of declining home values, according to Martin. The other factor is the rising cost of public safety that accounts for 57 percent of the proposed general fund budget.
Councilmember Joan McGilton noted lawmakers plan to take the next two years to study ways to bring in more revenue to avoid dipping into reserves in coming years.
At the Oct. 22 meeting, council members generally agreed on some ways to raise more revenue in the coming biennium, including increasing the Puget Sound Energy electric utility tax from 3 percent to 6 percent.
The city also plans to increase the commercial parking tax from $1 to $3 per transaction. The increase would only affect a few “park ‘n fly” lots near the airport. The increase would match the rates charged by SeaTac.
Finance Director Kim Krause also noted the city has made over $1 million in staff cuts.
Four staff positions were eliminated in 2012. However, the proposed budget includes three new public works positions to handle surface water upgrades mandated by federal regulations. Those jobs will be funded by increases in surface water fees, according to Krause.
Council members agreed with the staff recommendation to raise the surface water fees in a two-step process—12 percent in 2013 and another 12 percent in 2015.
Krause also indicated the city will take in approximately $6.3 million in property taxes for 2013 on a tax rate of $1.60 per $1,000 of assessed property value. She estimated the city will collect about $352,000 less in property taxes than in 2012.
Lawmakers also discussed the relative merits of belonging to the Southwest King County Chamber of Commerce and Discover Burien.
Councilmember Jack Block Jr. noted the chamber serves other neighboring cities as well as Burien. He said the city’s Independence Day Parade is the only major project and that could be taken over by Discover Burien.
“We should encourage local groups like Discover Burien,” Block said. “We can get more bang for our buck.”
But Deputy Mayor Rose Clark complained that Discover Burien does not reach out to business beyond downtown Burien. She said the chamber reaches out to other groups.
Clark suggested the city transfer its funding from Discover Burien to the chamber, except for litter control around the city.
Councilmember Lucy Krakowiak said the two groups serve different niches and are both valuable.
Martin noted, “there is no harm” in allocating funds to both groups in the budget and deciding after the annexation issue is decided what to do.
With a city of 65,000 after annexation, Burien may form its own chamber. North Highline voters will decide on annexation at the Nov. 6 election.
In the end, council members decided not to cut funding for the chamber at this time.
