>> GOOD MORNING. THE JUNE 5th,
2025 SELECT BUDGET COMMITTEE
MEETING WILL COME TO ORDER. I AM
>> PRESENT., CHAIR OF THE
COMMITTEE. I WILL NOTE THAT
COUNCILMEMBER MOORE HAS BEEN
EXCUSED. COUNCILMEMBER SAKA AND
COUNCILMEMBER HOLLINGSWORTH ARE
ALSO EXCUSED. CLERK, WILL YOU
PLEASE CALL THE ROLL? THANK YOU.
>> COUNCILMEMBER RIVERA.
>> PRESENT.
>> COUNCILMEMBER HOLLINGSWORTH.
OKAY. THANK YOU.
>> PRESENT.
>> COUNCILMEMBER KETTLE.
>> HERE.
>> COUNCILMEMBER STRAUSS.
>> PRESENT.
>> THAT IS SEVEN PRESENT.
>> MR. CHAIR, I'M HERE, AS
WELL.
>> THANK YOU, COUNCILMEMBER
SAKA.
>> WE HAVE AN UPDATE FROM THE
EXECUTIVE REGARDING THE CURRENT
BUDGET. -- SITUATION. WE WILL
HAVE TWO VOTES. THE 2024 BUDGET
EXCEPTIONS ORDINANCE AS WELL AS
AN ORDINANCE ALLOWING THE CITY
TO PAY OFF 2014 BONDS IN
ADVANCE. BEFORE WE BEGIN, IF
THERE IS NO OBJECTION, THIS
AGENDA WILL BE ADOPTED. HEARING
NO OBJECTION, THE AGENDA IS
ADOPTED. WE ARE GOING TO WALK
THROUGH THESE FOUR DIFFERENT
ITEMS. WE HAVE THE CHANGES TO
THE PROCESS IN THE FALL BUDGET.
PROCESS. SORRY. AND THEN WE ALSO
HAVE A DISCUSSION ABOUT THE
CONTENT OF THE BUDGET AND THE
FORM THAT WE HAVE BEEN DOING TO
THE CONTENT. A LOT OF THE REFORM
WORK IS NOT NECESSARILY WORK WE
DO IN THE COMMITTEE. IT IS WORK
WE DO EVERY SINGLE WEEK WITH THE
CEO AND OUR CENTRAL STAFF BUDGET
TEAM. TODAY WILL BE A SHORT
PRESENTATION ABOUT SOME OF THAT
WORK, BUT ALSO THAT BECAUSE OF
THE APRIL FORECAST, DOWNTURN
FORECAST, THIS MEETING HAS
CHANGED QUITE SIGNIFICANTLY. WE
WILL BE PRESENT AND READY FOR
THE CHANGES WE NEED TO MAKE THIS
YEAR, NOT THE FALL BUDGET
PROCESS FOR NEXT YEAR. WITH
THAT, WE WILL OPEN THE HYBRID
PUBLIC COMMENT. CLERK, HOW MANY
SPEAKERS DO WE HAVE SIGNED UP
TODAY?
>> TWO REMOTE.
>> THANK YOU. WITH TWO REMOTE
SPEAKERS SIGNED UP, EACH SPEAKER
WILL HAVE TWO MINUTES. THE
PUBLIC COMMENT PERIOD IS UP TO
TWO MINUTES. SPEAKERS WILL HEAR
A CHIME. UP FIRST, WE HAVE
ALBERTO ALVAREZ, FOLLOWED BY
DAVID HAYNES. I SEE YOU HAVE
BEEN PROMOTED. START SIX TO
UNMUTE.
>> HELLO. COUNCIL IS NOW FACED
WITH A SEVERE ECONOMIC DOWNTURN
AND A BUDGET THAT WILL NOT MATCH
THE NEEDS OF THE PEOPLE. CUTS
AND LAYOFFS MIGHT GET YOU A 10th
OF A WEIGHT TO A DEVELOPMENT
BUDGET BUT AT SOME POINT, THOSE
CUTS BECOME SO DEEP YOU END UP
SEVERING ENTIRE LIMBS. REDUCTION
IN SERVICES AND STAFFING WILL
FURTHER DESTABILIZE
WORKING-CLASS FAMILIES AND
ELDERS ON FIXED INCOMES. THE
BUSINESS AGENDA IS AN ACTIVE
THREAT TO THAT STABILITY. PEOPLE
ARE MAKING SACRIFICES JUST TO
KEEP THEIR HOME AND LIVE ON A
SHRINKING BUDGET. WHEN COUNCIL
HAS THE JOB OF APPOINTING A
DISTRICT 5 MEMBER, A BUSINESS
CHOICE WILL ONLY BRING PAIN AND
LOSS. THE DANGER IS REAL. AND
YOUR APPOINTMENT IS A LIFE AND
DEATH DECISION FOR THOUSANDS OF
PEOPLE. GET THIS ONE RIGHT. THE
CHOICE IS TAXING MILLIONAIRE
INVESTORS, NOT REGRESSIVE CUTS
AND LAYOFFS . THAT IS ALL. THANK
YOU AND HAVE A GOOD DAY.
>> THANK YOU. UP NEXT IS DAVID
HAYNES. DAVID, ONCE YOU ARE
PROMOTED, STAR SIX TO UNMUTE. I
SEE YOU ARE HERE. START SIX TO
UNMUTE, DAVID. I SEE YOU ARE
HERE. STAR SIX TO UNMUTE. THERE
YOU ARE. WELCOME.
>> THANK YOU. DAVID HAYNES.
THANK YOU. I NEED TO SAY THIS.
PLEASE FORGIVE, BUT IT'S ALMOST
LIKE THE BUDGET CHAIR IS WEAPON
ICING THE BUDGET PROCESS, AND I
SAY THAT BECAUSE WE DID NOT GET
A TRULY TRANSPARENT, DETAILED
ANALYSIS OF THE SPENDING
PRIORITIES THAT GOT REISSUED
WITH ADDED MONEY THAT ORIGINATED
FROM DEFUNDING THE POLICE,
SHIFTING THE PARADIGM AND
PRIORITIZING I DARE SAY
UNCONSTITUTIONAL PRIORITIES THAT
EXACERBATE THE PUBLIC SAFETY,
THE HOMELESS CRISIS AND THE
HOUSING CRISIS. YET, IT SEEMS
LIKE CENTRAL STAFF HAS BEEN
COACHED ON HOW TO PULL THE WOOL
OVER THE EYES OF THE NEW
COUNCIL, AND IT IS ALMOST LIKE
THERE IS A -FOR-TAT RIVALRY,
THAT A COUPLE OF COUNCILMEMBERS
COMPETE WITH, AND IT'S LIKE,
EXACTLY WHAT ARE YOU DOING?
BECAUSE THERE SEEMS TO BE A
CO-OPTING OF CERTAIN ISSUES LIKE
HOW HOUSING IS BEING DIRECTED.
>> [ INAUDIBLE ] IT IS A CONCERN
THAT WE HAVE THE CO-OPTING OF
WHAT IS EXPECTED AS FAR AS
PROPER POLICIES AND IT IS LIKE
THE CENTRAL STAFF PUTS ON THIS
CHARADE OF TRANSPARENCY THAT
REALLY IS A GENERALIZED OVERVIEW
THAT STILL DELAYS -- CONCERNS
ABOUT PEOPLE WHEN IT COMES TO
TESTIFYING ABOUT WHAT THE BUDGET
IS. IT NEVER PRODUCES THE 10%
INVESTMENT TO SOLVE THE HOMING
-- HOMELESS CRISIS. SOME OF THE
POLICIES AND LIMITED ARE THE
REASONS WE HAVE THE ECONOMIC
DOWNTURN AND THOSE POLICIES HAVE
NOT BEEN CORRECTED. THEY'VE
BEEN HIDDEN IN THE BUDGET. STAFF
NEEDS TO BE COACHED. THEY ARE
PULLING THE WOOL OVER THE
COUNCIL. THEY NEED TO PAY
ATTENTION TO WHAT IS GOING ON
WITH THE BUDGET BECAUSE YOU GOT
IT WRONG LAST TIME.
>> THAT CONCLUDES OUR REGISTERED
PUBLIC COMMONERS.
>> THANK YOU, DAVID, AND PLEASE
DO REFRAIN FROM VULGAR LANGUAGE
WHEN YOU CALL IN. THAT CONCLUDES
OUR PUBLIC COMMENT, SEEING AS WE
HAVE NO MEMBERS OF THE PUBLIC
PRESENT, WE WILL MOVE ON TO THE
NEXT ITEM. THE NEXT ITEM IS
DISCUSSION ON THE FALL 2025
BUDGET PROCESS. WILL THE CLERK
PLEASE READ THE TITLE INTO THE
RECORD?
>> AGENDA ITEM 1. READING AND
DISCUSSION.
>> WE ARE JOINED BY DIRECTOR BEN
NOBLE, CALVIN CHOW, AND TOM
MIKESELL. WE HAD SOME CHANGES
SINCE WE CAME TOGETHER AS THE
SELECT BUDGET COMMITTEE. YOLANDA
HAS MOVED ON FROM CENTRAL STAFF.
DIRECTOR NOBLE WILL WALK US
THROUGH THE PRESENTATION OF HOW
WE WILL BE ENGAGING IN BUDGET
REFORM. [ INAUDIBLE ] IF
EVERYONE WANTS TO INTRODUCE
THEMSELVES FOR THE RECORD.
>> BEN NOBLE, CENTRAL STAFF
DIRECTOR. CALVIN CHOW , CENTRAL
STAFF ANALYST.
>> TOM MIKESELL, CENTRAL STAFF.
>> [ INAUDIBLE ] WE WERE RUNNING
THESE MEETINGS -- ONE OF THE
FACILITATION CHANGES THAT I'VE
MADE WHILE RUNNING THE BUDGET
MEETINGS ARE WILL LET THE
PRESENTERS GET ALL THE WAY
THROUGH THEIR PRESENTATION AND
WE WILL TAKE QUESTIONS FROM
COLLEAGUES. I WILL GO LAST.
WHILE THEY ARE PRESENTING, SINCE
I'VE HAD THESE PRESENTATIONS
MULTIPLE TIMES AND WE MEET EVERY
WEEK, IF THERE IS A PIECE OF
INFORMATION THAT IS GERMANE TO
THE PRESENTATION THAT HAS NOT
BEEN SHARED, I WILL ASK THAT
CLARIFYING QUESTIONS THAT
EVERYONE HAS FULL INFORMATION.
WITH THAT, OVER TO YOU, DIRECTOR
NOBLE.
>> THANK YOU VERY MUCH. AS CHAIR
STRESSED DESCRIBED, WE WILL GIVE
THE BUDGET. [ INAUDIBLE ] WILL
GO OVER THE COUNTER IN SOME
LEVEL OF DETAIL TALK ABOUT
CHANGES WE MADE THERE AND TALK
ABOUT SUBSTANTIVE CHANGES WE ARE
MAKING TWO MATERIALS TO PREPARE
YOU FOR THE BUDGET DELIBERATIONS
THAT ARE COMING. SO, WITH THAT,
I'M JUST GOING TO DIVE IN. I'M
GOING TO GET TO THE NEXT SCREEN.
OR NOT.
OR RATHER, TOM IS GOING TO FOR
ME. THANK YOU, TOM. NEXT SLIDE
IS THE BUDGET COUNTER ITSELF. I
BELIEVE THERE IS A HARD COPY AT
YOUR SPOT IN THE DICE. I WANT TO
MAKE A COUPLE OF COMMENTS BEFORE
I SHIP TO THE COUNTER ITSELF. IN
TERMS OF BEGINNING AND END, THE
COUNCILS BUDGET REVIEW PROCESS
WILL FORMALLY START ON SEPTEMBER
23rd. THAT IS WHEN THE MAYOR
WILL TRANSMIT THE BUDGET. THAT
IS CONSISTENT WITH STATE LAW
THAT REQUIRES IT TO BE
TRANSMITTED 90 DAYS BEFORE THE
END OF THE YEAR, AND THEN FINAL
COUNCIL ACTION IS SCHEDULED FOR
FRIDAY, NOVEMBER 21st. THAT IS
THE FRIDAY BEFORE THANKSGIVING ,
AND THAT IS NOT BY ACCIDENT, IF
YOU WILL. THAT DATE IS THE FINAL
DATE THAT THIS COUNCIL HAS COME
POST -- THE MEMBERS YOU HAVE
TODAY AND THE ONE HE WILL
APPOINT SOON TO THE FIFTH
DISTRICT WILL MEET. THE ELECTION
WILL BE CERTIFIED THE FOLLOWING
MONDAY, AT WHICH POINT, THE NEW
REPRESENTATIVE FROM DISTRICT TO
WILL TAKE OFFICE. THE IDEA HERE
IS THAT YOU ALL AS A COLLECTIVE
AND COUNCILMEMBER [ INAUDIBLE ]
WILBERT SPADE IN THE
DELIBERATIONS AND TAKE PART IN
THE VOTE. THAT WAS PART OF THE
DRIVER THERE. CANDIDLY, WE ARE
TRYING TO WRAP UP BEFORE THANKS
GIVING IN GENERAL. THERE IS A
REASON FOR THAT. IN TERMS OF KEY
CHANGES TO THE CALENDAR ITSELF,
THERE ARE A COUPLE THAT ARE
FOCUSED PARTICULARLY ON
TRANSPARENCY IN PUBLIC
ENGAGEMENT, AND TRANSPARENCY, AS
I'LL DISCUSS, TRANSPARENCY TO
THE PUBLIC AND AMONGST
YOURSELVES. IN PARTICULAR, THE
INITIAL PUBLIC HEARING IS
SHIFTED BACK ABOUT 10 DAYS TO
PROVIDE AN EARLIER OPPORTUNITY
FOR YOU ALL TO HEAR FROM THE
PUBLIC AND YOUR CONSTITUENTS.
AND IN ADDITION, WE'VE ADDED --
IN SOME WAYS, RESTORED , A PHASE
OF ANALYSIS AND DISCUSSION THAT
HAD BEEN IN THE BUDGET CALENDAR
PREVIOUSLY. I WILL GET TO IT IN
A SECOND, THAT WILL ALLOW YOU
ALL TO HEAR FROM ONE ANOTHER
ABOUT THE BUDGET AMENDMENTS AND
CHANGES YOU ARE CONSIDERING IN
ADVANCE OF THE CHAIR
CONSTRUCTING A BALANCING
PACKAGE. LET ME WALK THROUGH THE
CALENDAR IN MORE DETAIL TO SHOW
YOU HOW THAT WILL WORK. THERE IS
A COPY OF THIS AT THE DAIS. I
WILL GO THROUGH THIS QUICKLY. AS
I MENTIONED, TRANSMITTAL ON THE
23rd OF SEPTEMBER. THEN, IF YOU
RECALL, THERE IS THE INITIAL
PHASE WHERE THE DEPARTMENTS, NOT
ALL THE DEPRESSIONS, BUT
DEPARTMENTS WITH KEY CHANGES AND
THE PRESENCE OF PARTICULAR
INTEREST, SO, CLASSICALLY, THE
PUBLIC SAFETY DEPARTMENT WILL BE
HERE. HUMAN SERVICES WILL BE
HERE. WE WILL BE WORKING WITH
YOU AND WITH THE BUDGET OFFICE
AND OUR ON KNOWLEDGE TO SCHEDULE
ALL THE DEPARTMENTS WITH THIS
PARTICULAR ACTION IN TERMS OF
BUDGET CHANGES. WE EXPECT A LOT
OF CHANGES THIS YEAR, BUT GIVEN
THE LIMITED TIME, IT IS NOT
REALISTIC TO HAVE ALL THE
DEPARTMENTS IN. THERE IS A
PUBLIC HEARING ON THE SCHEDULE
FOR THE SEVENTH. AND THEN THE
INITIAL PHASE OF ANALYSIS IF YOU
RECALL, THERE IS AN INITIAL
PHASE WHERE CENTRAL STAFF WILL
GIVE OUR TAKE, IF YOU WILL, ON
THE BUDGET AND THE GOAL IS TO
INFORM YOU ABOUT CHANGES WE SEE
AND POTENTIAL APPLICATIONS OF
THOSE CHANGES. THINGS THAT THE
EXECUTIVE MIGHT NOT HAVE SAID OR
DIDN'T HAVE TIME TO SAY. AGAIN,
WE WILL HIGHLIGHT THE PERMITS
AND ISSUES THAT WE THINK ARE
PARTICULARLY IMPORTANT. WE
TYPICALLY ORGANIZE THOSE
PRESENTATIONS IN TWO WAYS. ONE
IS AROUND THE DEPARTMENTS IN AN
OBVIOUS WAY. THEN THERE'S ALSO
SOMETIMES CROSSCUTTING ISSUES
THAT DESERVE ATTENTION, SO WE
WILL GET BACK TO YOU ABOUT THE
SPECIFICS OF THAT. THAT IS ALL
CONSISTENT WITH THE APPROACH WE
HAD TAKEN LAST YEAR. ALSO
CONSISTENT WITH LAST YEAR IS
THAT THERE WILL BE A REVENUE
FORECAST PRESENTATION -- REVENUE
FORECAST UPDATE ON OCTOBER 20th.
THE FORECAST OFFICE WILL HAVE
PREPARED THAT REVENUE UPDATE
PRESENTED TO THE FORECAST CANCEL
AND ALSO PRESENTED TO YOU. THAT
WILL SET THE REVENUES THAT ARE
AVAILABLE TO BUDGET FOR YOUR
FINAL DELIBERATIONS. THAT IS AN
IMPORTANT PIECE OF INFORMATION.
THE DAY FOLLOWING, IS WHEN
INITIAL PROPOSALS ARE DUE. THIS
IS GOING TO LEAD INTO THIS NEW
PHASE, SO, FROM OCTOBER 28th
THROUGH THE 30th -- SO -- I
DON'T KNOW WHAT COLOR IT IS ON
YOURS. PURPLE ON THE SCREEN.
THERE IS A DISCUSSION OF BUDGET
PROPOSALS. THE IDEA HERE IS THAT
YOU AS A COLLECTIVE WILL DISCUSS
POTENTIAL BUDGET AMENDMENTS AT
THIS POINT IN DEVELOPMENT THAT
YOU ARE INDIVIDUALLY
CONSIDERING. YOU WILL HEAR FROM
ONE ANOTHER ABOUT THOSE AND THE
CHAIR WILL BE HEARING FROM YOU
ALL COLLECTIVELY AND THE PUBLIC
WILL ALSO BE HEARING WHAT THAT
RANGE OF OPTIONS IS. THAT WILL
THEN FEED IN TO THE CHAIRS
BALANCING PACKAGE, WHICH WILL BE
RELEASED ON THE FIFTH, BUT
AGAIN, THE IDEA HERE IS -- AND
THIS IS DIFFERENT FROM LAST YEAR
-- LAST YEAR, AS HE DEVELOPED
PROPOSALS, YOU ARE LARGELY DOING
IT INDIVIDUALLY AND INFORMATION
WAS BEING SHARED WITH THE CHAIR
BUT IT WASN'T NECESSARILY BEING
SHARED WITH ALL COUNCILMEMBERS
SO YOU WEREN'T AWARE OF THE
FULL SET OF OPTIONS BEING
DELIBERATED BY THE CHAIR AND THE
BALANCING PACKAGE. THAT WILL BE
DIFFERENT THIS YEAR AND HELPFUL
TO TRANSPARENCY BOTH FOR
YOURSELVES AND FOR THE PUBLIC AS
A WHOLE. SO A SIGNIFICANT
CHANGE. THE BALANCING PACKAGE ON
THE FIFTH. A PUBLIC HEARING TO
FOLLOW, AND THEN THE DATE WHEN
FINAL AMENDMENT PROPOSAL. SO THE
DISCUSSION FROM THE 28th THROUGH
THE 30th OUR INITIAL BUDGET
PROPOSALS. THE CHAIR WILL THEN
INCORPORATE HIS OWN INTO A
BALANCING PACKAGE. YOU WILL HAVE
THE OPPORTUNITY TO DEVELOP SELF
BALANCED AMENDMENT PROPOSALS. I
SHOULD EMPHASIZE FOR BOTH SETS
OF PROPOSALS, TWO SETS OF
SPONSORS. A TOTAL OF THREE
SPONSORS WILL BE REQUIRED. THE
GOAL IS TO FOCUS ON THINGS THAT
ARE VIABLE AND HAVE THE
POTENTIAL TO MOVE FORWARD. THEN
CENTRAL COMMITTEE VOTES ON
NOVEMBER 14th AND AGAIN ON THE
17th. CENTRAL STAFF WILL BE
WORKING WITH CBO ON THE 18th AND
19th OF DECEMBER TO MAKE SURE WE
GET IT ALL RIGHT. THEN THE FINAL
VOTE FOR THE COMMITTEE ON THE 20
AND FOR THE COUNCIL ON THE 21st.
TO EMPHASIZE, AGAIN, JUST A
COUPLE OF THE THINGS THAT ARE ON
THE CALENDAR, OUR GOAL IN TERMS
OF THE NEW PHASE, THE DISCUSSION
OF COUNCILMEMBER PROPOSALS, THE
GOAL WILL BE TO PUBLISH THOSE 24
HOURS IN ADVANCE OF THE NEXT
MEETING. WE HAD CENTRAL STAFF
WORK ON A ROLLING CALENDAR OF
DUE DATES, SO THE DUDE -- GOAL
IS THAT FOR THE SAKE OF
TRANSPARENCY THAT THOSE BE
POSTED 24 HOURS IN ADVANCE. WE
ARE GOING TO BE POSTING ONLINE
TOOL THAT WILL LET THE PUBLIC
SEE -- ULTIMATELY SEE ALL OF THE
AMENDMENTS THAT ARE VIABLE THAT
HAVE BEEN PUT FORTH THAT HAVE
THE REQUISITE SPONSORS.
TRANSITIONS COMING INTO LAST
YEAR, WE WEREN'T ABLE TO PULL
IT TOGETHER. [ INAUDIBLE ] WE
WILL HAVE THAT FOR THE BALANCING
PACKAGE AND FOR THE COMMITTEE
VOTING PHASE, AS WELL. THIS IS
SOMETHING THAT WILL ALLOW THE
PUBLIC AND OTHERS TO SEE THE
FULL SET OF AMENDMENTS THAT ARE
UNDER CONSIDERATION. LAST YEAR,
WE HAD A CHALLENGE WITH
LOGISTICS ABOUT BEING ABLE TO
ADD SPONSORSHIPS. NOT SPUR
SURPRISINGLY, THEY OFTEN WANT TO
THROW THEIR WEIGHT BEHIND IT. WE
WEREN'T PREPARED TO DO THAT
LAST YEAR FROM A TECHNOLOGICAL
PERSPECTIVE. BUT WE ARE LIKELY
TO DO IS HAVE YOU USE YOUR
ELECTRONIC HANDS AND THEN WE
WILL TAKE THOSE NOTES AND THEN
CONFIRM ON THE OUTCOME OF THAT.
SOMETHING THAT MATTERS TO YOU
AND THAT WE CAN MANAGE. THE LAST
POINT IS WE WILL MAKE EVERY
EFFORT TO PUBLISH THE CHAIRS
BALANCING PACKAGE 48 HOURS
BEFORE THAT SECOND PUBLIC
HEARING. I'M NOT ASKING FOR
SYMPATHY FROM ALL OF YOU, BUT I
WOULD NEED TO RECOGNIZE THAT
THAT IS A BIT OF A CHALLENGE.
THE FINAL DAY THAT YOU WILL BE
PRESENTING PROPOSALS IS ON
THURSDAY. 48 HOURS IN ADVANCE.
THAT DOESN'T LEAVE A WHOLE LOT
OF TIME TO PULL TOGETHER THE
BALANCING PACKAGE, BUT THAT IS
WHY WE [ INAUDIBLE ] . WE WANT
TO MAKE SURE WE DON'T GET
CAUGHT, IF YOU WILL. THAT IS THE
MOST INTENSE PERIOD FOR US. AND
SOMETHING WE LOOK FORWARD TO. IN
TERMS OF SOME ACTUAL SUBSTANCE
AND MATERIALS THAT WE ARE
PREPARING, I WANTED TO HIGHLIGHT
THAT WE AT CENTRAL STAFF ARE
CURRENTLY UPDATING WHAT HAD BEEN
THE FIVE-YEAR BUDGET LOOK BACK.
LAST YEAR, A GOOD NUMBER OF NEW
MEMBERS JOINED THE CITY COUNCIL.
WE THOUGHT IT WOULD BE HELPFUL
TO TAKE A LOOK BACK AND PROVIDE
BROADER CONTEXT FOR THE BUDGET
SO WE DID A FIVE-YEAR LOOK BACK
COMPARING 2024 TO 2019. WE
PICKED 2018 VERY MUCH ON
PURPOSE. IT WAS PRE-PANDEMIC.
YOU GET A SENSE OF HOW THE
BUDGET EVOLVED OVER THAT PERIOD.
WE ARE GOING TO UPDATE THAT FOR
THE ADDITIONS AND CHANGES THAT
WERE MADE FOR 2025. SO, THAT
WORK IS UNDERWAY. THE GOAL IS BY
THE END OF THIS MONTH -- I'M
GOING TO FALL SHORT OF
COMMITTING TO THAT. STAFFING HAS
BEEN A CHALLENGE. WE ARE
UNDERWAY ON THAT WORK AS WE
SPEAK.
>> AND DIRECTOR, BEFORE WE MOVE
ON, COLLEAGUES, I DESIRED AND
ORIGINALLY TO SPEND A FAIR
AMOUNT OF TIME IN JUNE TO DIVE
INTO THE SIX YEAR LOOK BACK.
HAVING THAT KNOWLEDGE MONTHS IN
ADVANCE OF TAKING THE FALL
BUDGET PROCESS SETS UP -- US UP
IN A WAY THAT WE CAN REVIEW AND
ANSWER CUSHIONS WE HAVE ABOUT
THESE ITEMS IN THE CHANGES THAT
HAVE BEEN MADE TO THE BUDGET
WHERE WE WANT TO FIND SAVINGS.
WHERE WE WANT TO EXPAND
PROGRAMS. DUE TO THE CENTRAL
STAFF STAFFING CHANGES OVER THE
LAST FEW MONTHS, WE WERE UNABLE
TO GET THIS READY FOR TODAY, SO,
DIRECTOR NOBLE, THANK YOU FOR
CONTINUING TO COMMIT TO HAVE
THIS DOCUMENT BEFORE US AND
LET'S DO TOUCH BASE TO SEE WHEN
WE CAN HAVE THIS BACK IN
COMMITTEE.
>> THANK YOU. [ INAUDIBLE ] THIS
IS A BUDGET TEAM THIS YEAR. NOT
EXCLUSIVELY -- THIS IS --
LEAVING SOON AND ALSO, BRIAN. HE
IS HELPING TO COORDINATOR IN
TERMS OF THE LOGISTICS OF THIS.
THE OLD LINE ABOUT TAKING A
VILLAGE APPLIES HERE. WE WANT TO
MAKE SURE YOU ARE PROPERLY
STAFFED AND THAT THE PROCESS
RUNS AS SMOOTHLY AS POSSIBLE. WE
ARE LOOKING FORWARD TO THAT.
ANOTHER THING ON SUBSTANCE. WE
ARE CONTINUING TO MONITOR THE
BUDGET RELATED SITES. DUE DATES
-- THEY ARE LARGELY RISING OVER
THE NEXT FEW MONTHS. JUST TO
REMIND YOU ABOUT WHAT IS
INCLUDED THERE, ONE'S REQUEST
TO WORK WITH CBO TO REPORT ON
PROGRAMS THAT ARE AVAILABLE FOR
EMPLOYEES THAT WERE SUBJECT TO
LAYOFFS. THERE WERE A NUMBER OF
LAYOFFS INCORPORATED IN THE 2025
BUDGET. THIS MORNING, I
CONFIRMED THAT WE WILL BE
GETTING THE RESULTS OF THAT
ANALYSIS ON THE 11th. CHAIR
TENDS TO PROVIDE A PRESENTATION
ON THE 18th TO HIS COMMITTEE.
THERE WILL BE MORE ABOUT THIS TO
COME.
>> AND WITH THIS, YOU ARE SEEING
THIS INFORMATION BEING SHARED IN
REAL TIME. I WILL SAY THAT WE
NEEDED AS SOON AS POSSIBLE. THE
11th IS JUST NEXT WEEK, FOR
FOLKS FACING LAYOFFS AT THE END
OF THIS MONTH, EVERY DAY
MATTERS. THANK YOU. [ INAUDIBLE
]
>> THIS REQUEST TO THE CBO AND
REPORT UNDERWAY, HISTORIC
PATTERNS OF BUDGET OVER SPENDS.
I THINK THIS WILL BE AN
INTERESTING ANALYSIS TO PREVIEW
SOME OF THE THINKING HERE. WE
KNOW HISTORICALLY THAT THE CITY
UNDER SPENDS ITS BUDGET -- THE
GENERAL FUND IS A GOOD EXAMPLE.
IT ISN'T ANYONE'S FAULT. IT'S
A CONSONANCE OF PEOPLE NOT
KNOWING WHAT THEY ARE ABLE TO
ACHIEVE IN THE YEAR. YOU WILL
HEAR ABOUT A BUDGET EXCEPTIONS
ORDINANCE WHERE PEOPLE HAVE
OVERSPENT THEIR BUDGET. NOBODY
WANTS TO BE IN THAT PLACE. THERE
TENDS TO BE A LITTLE BIT OF
CUSHION. WE ENDED THE YEAR WITH
MORE CASH THAN ANTICIPATED. WE
NEED TO UPDATE OUR ANTICIPATION
BECAUSE IT CREATES OPPORTUNITIES
TO BUDGET DIFFERENTLY 200 --
ANTICIPATE THE UNDER SPENT AND
TO POTENTIALLY ALLOCATE
RESOURCES ACCORDINGLY. LET ME
JUST LEAVE IT AT THAT. ALSO,
THERE IS A SLIGHT REQUESTING
ANALYSIS OF POTENTIAL EARLY
RETIREMENT INCENTIVES FOR CITY
EMPLOYEES. AGAIN, IN THE CONTEXT
OF THE REALITY OF THE CITIES
WORKFORCE LIKELY SHRINKING --
CERTAINLY IN SOME DEPARTMENTS IN
SOME AREAS, THE NOTION HERE IS
THAT THERE MIGHT BE A WAY TO
REDUCE THE CITIES WORKFORCE
ANYWAY THAT IS LESS DISRUPTIVE
TO THE INDIVIDUALS. THERE WAS A
REQUEST FOR INVENTORY ON CITY
FUNDED YOUTH PROGRAMS. SOMETHING
THAT WILL BE ARRIVING SHORTLY.
THERE IS ALSO A SLIDE CALLING
OUT THE ESTABLISHMENT OF WORKING
GROUP TASK FORCE TO EXAMINE
ALTERNATIVE FINANCING AND
OPERATING MODELS FOR SALE
CHANNEL. THAT GROUP HAS ALREADY
BEEN MEETING. THEY ARE MEETING
TODAY. THAT WORK IS WELL
UNDERWAY. THE LAST ONE -- I
THINK THIS IS DUE LATER THIS
SUMMER. REQUEST FROM THE OFFICE
OF HOUSING TO EXPLORE THE USE OF
FUNDS AND MASTER LEASING. WE ARE
LOOKING FOR WAYS -- IT IS
FINANCING. THAT IS NOT FUNDING.
ON THE MASTER LEASING SIDE, IT
IS ABOUT USE OF AVAILABLE FUNDS
AND WHETHER THAT IS AN APPROACH
THAT COULD BE EFFECTIVE. SO,
AGAIN, WE ARE MONITORING ALL OF
THOSE AND REPORTING BACK TO THE
RELEVANT COMMITTEES AS THAT
INFORMATION COMES IN. AND THEN
LOOKING FORWARD IN TERMS OF NEXT
STEPS OVER THE REST OF THE
SUMMER ESSENTIALLY, BEFORE THE
BUDGET ITSELF ARRIVES, TODAY,
YOU WILL BE TAKING UP EXCEPTION
ORDINANCE AND REPAYMENT
LEGISLATION. HE WILL BE HEARING
MORE ABOUT THAT. THE
CARRYFORWARD ORDINANCE PROVIDED
TO COUNCIL -- WE ARE CURRENTLY
WORKING WITH THE BUDGET OFFICE
TO REFINE THAT AND ADAPT IT TO
THE REVENUE FORECAST. IT HAD
BEEN PREPARED IN ADVANCE OF THE
APRIL REVENUE FORECAST THAT TOOK
A FAIR AMOUNT OF MONEY OFF THE
TABLE, IF YOU WILL, AND THAT
NEEDS SOME ADJUSTMENT THERE. CBO
IS WORKING TO PREPARE THE
MIDYEAR SUPPLEMENTAL. THERE IS
NOT GOING TO BE A LOT OF
SPENDING IN THAT SUPPLEMENTAL.
THERE IS NOT A LOT OF MONEY. IN
FACT, THERE IS NONE. THE REVENUE
FORECAST IS BELOW. GIVEN THE
CONTEXT OF THE OVERALL BUDGET,
THAT IS 8/2 THAT WE ARE FACING
AND THE ATTITUDE OF THAT BUDGET
-- CHAIR SEES V█ALUE IN THE
DISCUSSION OF REVEILLE OPTIONS
FOR PUTTING A THUMB DOWN ON THE
POLICY SIDE. WE WANT TO
UNDERSTAND THAT LANDSCAPE AND I
WOULD ADD, PARTICULARLY, I WOULD
DESCRIBE REVENUE OPTIONS. THERE
ARE OPTIONS FOR FEES AND FINES
AND THE LIKE. GIVEN THE
STRUCTURAL PROBLEM WE ARE
FACING, WE ARE GOING TO LOOK AT
REVENUE OPTIONS AND WE WOULD
LIKE SIGNIFICANT REVENUE. ALL
THAT IS TO SAY THAT WE CAN HAVE
A DISCUSSION THAT IS RELATIVELY
CONTAINED IN THAT SPACE BECAUSE
THERE ARE LIMITED OPTIONS, BUT
AGAIN, THAT IS SOMETHING FOR YOU
ALL TO BE AWARE OF. AND THEN,
ANOTHER IMPORTANT EVENT IS EARLY
IN AUGUST, HE WILL GET THE
REVENUE FORECAST UPDATE. AGAIN,
THAT IS TO REMIND YOU THAT IT IS
IN APRIL, AUGUST, AND OCTOBER.
THE AUGUST FORECAST IS IMPUDENT
BECAUSE IT IS THE ONE THAT THE
MAYOR WILL BALANCE HIS PROPOSAL
TO. THERE ISN'T ANOTHER
FORECAST BEFORE THE MAYOR
SUBMITS ON THE 23rd. HIS BUDGET
WILL BE BALANCED TO THE AUGUST
FORECAST AND YOU WILL GET AN
UPDATE LATER. STAFF WILL BE
MONITORING THAT AND WE WILL
INFORM YOU ONE WAY OR ANOTHER
ABOUT ITS IMPLICATIONS. THAT IS
WHAT YOU ALL HAVE TO LOOK
FORWARD TO.
>> THANK YOU, DIRECTOR NOBLE,
AND IF YOU DID SPEND A MOMENT
LONGER SPEAKING ABOUT HOW WE ARE
FACILITATING CENTRAL STAFF'S
WORK ON THIS BUDGET PROCESS.
>> THANK YOU. THE LINES ABOUT
HOW MANY PEOPLE IT TAKES TO
REPLACE ANYONE. CALVIN WILL BE
JOINING ME AND WORKING VERY
CLOSER WITH COUNCILMEMBER
STRAUSS IN TERMS OF ESTABLISHING
AGENDAS FOR INDIVIDUAL MEETINGS.
WE WILL BE COMING TO VISIT EACH
OF YOU THROUGHOUT THE BUDGET
PROCESS. ONCE EARLY, ONCE IN THE
MIDDLE, AND ONCE AT THE END. WE
ARE AVAILABLE OTHERWISE, AS
WELL. TO BRING IN AND DISCUSS
PROPOSALS AND THE FRAME AROUND
THEM, AS WELL. TOM IS VERY MUCH
OUR TECHNICAL EXPERT ON THE
INDICATIONS FOR BOUNCING. HE'LL
BE WORKING WITH OUR TEAM TO
MATURE WE CAN PUT TOGETHER A
BUDGET PROPOSAL THAT IS BALANCED
AND IDENTIFY OPTIONS FOR YOU TO
ACHIEVE THAT BALANCE. BRIAN GOOD
NIGHT WILL BE LEADING THE EFFORT
BEHIND THE SCENES. IT IS PERHAPS
NOT APPARENT TO YOU, BUT
PREPARING, YOU KNOW, TENS AND
TENS OF AMENDMENTS, ORGANIZING
THEM, PUTTING THEM IN A RATIONAL
ORDER. THAT IS A COMPLETED
PROCESS AND I WILL ONLY TAKE
CREDIT FOR BEING SMART ENOUGH TO
DELEGATE PARTS OF IT SO IT
OPERATES SMOOTHLY FOR YOU. I
WOULDN'T WORK THAT HARD. THERE
AREN'T ENOUGH HOURS IN THE DAY.
OVERALL, I THINK IT IS VALUABLE
FOR YOU AND CENTRAL STAFF TO
HAVE EVERYONE AWARE OF HOW THE
PROCESS WORKS. AS AN ANALYST, IF
YOU TOUCH IT IN SMALL WAYS, YOU
DON'T GET TO SEE THE BIGGER
PICTURE. IT IS VALUABLE FOR THE
TEAM AND FOR YOU ALL TO HAVE
THAT KNOWLEDGE. [ INAUDIBLE ]
>> THANK YOU, DIRECTOR NOBLE. I
REALIZE THAT BECAUSE YOU AND I
AND THE REST OF THE TEAM HAVE
SAID -- BEEN SO DEEP IN THE
WEEDS, WE PUT TWO PRESENTATIONS
TOGETHER, AND THE CONTENT RAN
THROUGH THING. COLLEAGUES, I'M
GOING TO START WITH PROCESS, IF
WE CAN GO BACK TO THE CALENDAR.
COLLEAGUES, IF YOU HAVE
QUESTIONS ABOUT THE PROCESS,
LET'S TAKE THOSE NOW. WE WILL
CLOSE OUT PROCESS AND MOVE ON TO
THE CONTENT OF THE SIX YEAR LOOK
BACK. SO, COLLEAGUES, AND HE
QUESTIONS AROUND THE PROCESS?
COUNCIL PRESIDENT.
>> BY PROCESS, DEEMING THE
SCHEDULE?
>> YES.
>> AND COMPARING THE 2025 AND
2024 BUDGET PROCESS AND ONE
THING I'M NOTICING -- I REALLY
LIKE THAT -- FIRST OF ALL, I
WILL SAY THAT THE OPEN AT DAY IS
IN THE BUDGET PROPOSALS BECAUSE
THE MORE WE CAN TALK ABOUT THEM
IN PUBLIC, THE BETTER. THAT IS
IN RESPONSE TO THE MAYOR'S
PROPOSED BUDGET. NEXT, WE DON'T
HAVE A VERY LONG TIME TO DISCUSS
THE COUNCILMEMBER RESPONSES AND
AMENDMENTS TO THE CHAIRS
PACKAGE. THERE ARE TWO VOTING
DAYS. BUT THERE WON'T BE A LOT
OF TIME TO MAYBE DEVELOP
POTENTIAL AMENDMENTS BECAUSE
THEY ARE DUE TWO DAYS AFTER
THAT. I THINK THAT IS PROBABLY
NOT JUST THE CONCEPT, BUT
SOMETHING MORE CONCRETE. SO,
I'M JUST WONDERING, IS THERE
FLEXIBILITY FOR THE DEADLINE ON
THE COUNCILMEMBER AMENDMENTS TO
THE CHAIRS PACKAGE? ON THE 10th.
>> NOT AT THIS TIME. NOT AT THIS
TIME DUE TO STAFFING TURNAROUND.
TO LET CENTRAL STAFF DISCUSS
THIS ABOUT WHAT STAFFING IS
REQUIRED TO CREATE AN AMENDMENT.
ONE OF THE WAYS I RAN BUDGET
LAST YEAR WAS, COLLEAGUES, I
BASICALLY INCLUDED EVERY ONE OF
YOUR REQUESTS. THAT WAS HARD FOR
SOME FOLKS BECAUSE FOLKS DIDN'T
REALIZE THAT SOME PEOPLE HAD
MANY REQUESTS. SOME PEOPLE
DIDN'T HAVE MANY REQUESTS. THIS
IS A WAY FOR ALL OF YOU TO GET
YOUR AMENDMENTS OUT. NOT JUST TO
THE
GENERAL, AND SO, THE IDEA IS
THAT IF YOU HAVE AN AMENDMENT OR
PROPOSAL, THAT IF IT IS NOT IN
THE CHAIRS PACKAGE, MOST OF THE
WORK IS ALREADY DONE. SO YOUR
IDEA HAS ALREADY BEEN GENERATED.
IF YOU ARE DISCUSSING YOUR
WANTING TO CUT THINGS OUT THAT
THE CHAIR HAS PUT IN, THAT IS A
DIFFERENT CONVERSATION, BUT I'LL
TURN IT OVER TO DIRECTOR
NOBLE.'S BUT THAT IS LARGELY
WHAT I WAS GOING TO SAY. WE ARE
CONSCIOUS OF THIS CONSTRAINT AND
THE CHALLENGER -- CALENDAR IS
CHALLENGING OVERALL. THERE ARE
FIXED CONSTRAINTS. BUT AGAIN,
THE NOTION DESCRIBED BY THE
CHAIR IS YOU WILL HAVE THE
OPPORTUNITY AND THE NEED TO
PREPARE IDEAS FOR THE INITIAL
BUDGET PROPOSALS THE WEEK
BEFORE. SO, OUR GENERAL
ANTICIPATION IS THAT THE COUNCIL
BALANCED AMENDMENTS WILL BE
VARIATIONS ON THINGS YOU
PREPARED EARLIER. THINGS THAT
PERHAPS DIDN'T GET IN THE
PACKAGE. AND OR THAT YOU'VE
HEARD ABOUT IN THE TIME SINCE
THEN, BUT AGAIN, THAT TIME IS
RELATIVELY NARROW, SO, AND
AGAIN, WE ARE -- AT THE DEADLINE
REQUIREMENT YOU DON'T HAVE TO
HAVE AN INCREDIBLE LEVEL OF
SPECIFICITY, SO, IDEALLY
SOMETHING MORE THAN A VAGUE
IDEA, BUT WE WILL THEN HAVE THE
WEEK THAT FOLLOWS FROM THE
SEVENTH TO THE 14th TO PREPARE
THOSE. MY EXPECTATION IS THAT
MOST OF THEM WILL BE VARIATIONS
PREPARED IN ADVANCE. SOME
MUSINGS COULD COME UP. AND THEN
IN TERMS OF COMMITTEE
DISCUSSIONS, YOU HAVE TWO DAYS,
THE 14th AND THE 17th, AND
DEPENDING ON WHERE, THERE COULD
BE THE OPPORTUNITY TO TALK ABOUT
AMENDMENTS AS A WHOLE BEFORE
DIVING INTO INDIVIDUAL VOTING.
>> COUNCIL PRESIDENT, CONTINUE.
>> THANK YOU VERY MUCH. YEAH. I
THINK IT IS A QUESTION OF BEING
GIVEN SCARCITY THIS COMING YEAR.
THERE COULD BE, YOU KNOW, JUST
PUTTING EVERYTHING IN THE
BALANCE THAT WAS PRESENTED WITH
ALL THE COUNCILMEMBERS WISH LIST
THAT MIGHT'VE WORKED LAST YEAR
BUT IS GOING TO WORK LESS THIS
YEAR. THERE ARE GOING TO BE HARD
CHOICES THAT HAVE TO BE MADE,
AND IT COULD BE THAT
COUNCILMEMBERS WANT TO CHANGE
THOSE HARD CHOICES THAT END UP
REFLECTED IN THE CHAIRS
BALANCING PACKAGE. I'M JUST
THINKING. SO, I DON'T KNOW,
REALLY, NOW, WHAT MY COLLEAGUES
PRIORITIES WILL BE, BUT I'M
ASSUMING THAT THERE COULD BE
SIGNIFICANT CHANGES FROM THE
CHAIRS A BOUNCING PACKAGE. JUST
A NOTE. I'M ALSO QUESTIONING,
WHY IS THE PUBLIC HEARING THE
DAY AFTER THE CHAIRS BALANCING
PACKAGE COMES OUT, IT IS
DIFFERENT. LAST WEEK, THERE WAS
A WHOLE WEEK IN BETWEEN THE
CHAIRS BALANCING PACKAGE COMING
OUT, AND THE PUBLIC HEARING.
I'M JUST THINKING THAT, IS
THERE ANYWAY TO ADD OR REMOVE
THE PUBLIC HEARING SO THERE IS
MORE PUBLIC INPUT THAT IS BETTER
INFORMED?
>> THANK YOU. THERE HAVE BEEN
DISCUSSIONS ABOUT ADDING ANOTHER
PUBLIC HEARING. THE WAY THIS IS
SET UP IS THERE IS A PUBLIC
HEARING AT THE BEGINNING OF THE
PRESENTATION TO REVIEW THE
DEPARTMENT PRESENTATIONS AND THE
MAYOR'S PROPOSED BUDGET. THERE
IS THEN A PUBLIC HEARING TO
REVIEW THE CHAIRS PACKAGE, AND,
THERE MAY NEED TO BE A PUBLIC
HEARING TO REVIEW COUNCILMEMBER
AMENDMENTS TO THE CHAIRS PACKAGE
AND THAT IS SOMETHING WE WILL
CONTINUE TO DISCUSS.
>> AND LAST YEAR, THE HEARING
WAS BEFORE THE BUDGET AMENDMENTS
FROM COUNCILMEMBERS. SO I'M
JUST SAYING, YOU KNOW, IT WAS
JUST -- I WOULD IMAGINE THAT IT
MIGHT BE DIFFICULT FOR THE
PUBLIC TO ABSORB WHAT IS IN THE
CHAIRS BUDGETING PACKAGE
OVERNIGHT, BUT TO BE CONTINUED.
>> THANK YOU. THAT IS WHY WE ARE
STRIVING TO PUBLISH THE CHAIRS
PACKAGE 48 HOURS AHEAD OF THE
PUBLIC HEARING, SO, PUBLISHED ON
THE FOURTH. WE WOULD TAKE IT UP
IN COMMITTEE ON THE FIFTH, AND
THEN THE PUBLIC HEARING WOULD BE
ON THE SIXTH. I APPRECIATE YOUR
FEEDBACK. ANY OTHER QUESTIONS,
COUNCIL PRESIDENT? THANK YOU.
COUNCILMEMBER KETTLE.
>> THANK YOU, CHAIR STRAUSS.
THANK YOU, DIRECTOR NOBLE. THANK
YOU MR. MIKESELL AND THANK YOU,
MR. CHOW. DIRECTOR NOBLE, I
RESPECT THE IDEA OF THE SITE AND
DELEGATE. AN ART THAT IS NOT
REALLY KNOWN IN MANY CIRCLES,
BUT I APPRECIATE THAT. CHAIR,
AND FOR CENTRAL STAFF, I
APPRECIATE THE CHANGES TO THE
CALENDAR, PARTICULARLY THE
SECOND ONE. IN THE SENSE OF, I
THINK THAT IS HELPFUL. I THINK
IT WOULD BE HELPFUL FOR ME. THAT
IS A LESSON LEARNED FROM ME FROM
LAST YEAR. I WILL BE LOOKING AND
SIGNING ON FOR FULLY DEVELOPED
AMENDMENT IDEAS LIKE DRAFTS
BEFORE SIGNING ON. I WILL DO THE
SAME. ALSO, I WILL MAKE A
COMMITMENT NOT TO HAVE ANY
RESTRICTIONS ON ANY AMENDMENT
IDEAS I HAVE. THEY WILL BE OPEN
FOR CONSIDERATION. SO CENTRAL
STAFF CAN TALK WITH MY
COLLEAGUES ON THAT, AS WELL, TO
BASICALLY HAVE OPENAI OF ONION
-- COUNCILMEMBER AMENDMENT
IDEAS. SO, THANK YOU FOR THAT.
NOTED ALL ACCOUNTS, THE CALENDAR
POINTS, AS WELL. I THINK THAT IS
REALLY IMPORTANT, AND I JUST
SAY, TOO, I REALLY APPRECIATE
CHAIR PLUS CENTRAL STAFF HAVING
THE SIX-YEAR LOOK BACK. I THINK
IT IS IMPORTANT FOR US TO BE
LOOKING AT THE CONTEXT OF
EVERYTHING. THERE'S BEEN MANY
CHANGES. PARTICULARLY IN REVENUE
BETWEEN LEVEES AND THE LIKE.
THERE'S BEEN A LOT OF CHANGES.
AND SO WE NEED TO UNDERSTAND
THOSE AS WE GO FORWARD. AND I
LOOK FORWARD TO THE SLIDES THAT
ARE COMING IN ON BUDGET. ALSO,
WITH MY PUBLIC SAFETY HAT ON,
I'M REALLY INTERESTED IN YOUTH
PROGRAMS. A LOT OF TIMES,
THAT'S COMMUNITY SAFETY. I JUST
WANTED TO SHOUT OUT THE LAST
ONE. BECAUSE ONE THING I WORKED
WITH COUNCILMEMBER MOORE ON WAS
THE SEATTLE HOUSING PLAN THAT
BECAME THE SEATTLE HOUSING
INVESTMENT PLAN. I APPRECIATE
THAT. BECAUSE I REALLY DO THINK
THAT IT WOULD BE BENEFICIAL TO
THE CITY IF O.H. WENT THROUGH
THE PROCESS THAT SDOT HAS TWO.
INSTEAD OF TRANSIT AND
PEDESTRIANS, WE LOOKED AT
AFFORDABLE HOUSING AND SOCIAL
HOUSING AND SEE THE TRADE-OFFS.
WE HAVE A CONFERENCE OF PLAN IN
THAT SAME MODEL. I THINK IT
WOULD BE FROM A TRANSPARENCY
POINT OF VIEW, VERY NICE AND
VERY HELPFUL. ALSO, BRINGING IT
BACK TO THIS DISCUSSION, HELPFUL
FOR WHAT WE ARE TRYING TO DO ON
THE BUDGET CHAIR. SO THANK YOU
FOR THIS. [ INAUDIBLE ] SO, NO
QUESTIONS. JUST SOME
OBSERVATIONS.
>> THANK YOU. COUNCILMEMBER
RIVERA.
>> THANK YOU, CHAIR. I JUST HAVE
A QUESTION, LOOKING AT THIS
CALENDAR. THE CHAIRS BALANCING
PACKAGE COMES OUT ON WEDNESDAY
AND THEN THE FOLLOWING DAY IS
REALLY THE ONLY DATE WE WOULD
HAVE TO WORK WITH OUR CENTRAL
STAFF IF WE WANTED TO DO A SELF
BALANCE AMENDMENT BECAUSE THEY
ARE DUE BY NOON ON FRIDAY. THAT
DOESN'T GIVE A LOT OF TIME, AND
I'M ALSO MINDFUL THAT, YOU
KNOW, CENTRAL STAFF HELPS US
WITH ALL OF THIS. WE DON'T DO
THIS ON OUR OWN. AND SO, I ALSO
NOTICED THAT THERE ARE FIVE
WEEKS BETWEEN THE SUBMITTAL OF
THE BUDGET AND DISCUSSION OF THE
BUDGET PROPOSAL. I WONDER IF
THERE IS OPPORTUNITY TO PUSH
BACK OR PUSH FORWARD, HOWEVER
YOU WANT TO LOOK AT IT , THE
WEEK OF OCTOBER 30th. THE
DISCUSSION OF BUDGET PROPOSAL
LEAVES FOUR WEEKS, BUT IF YOU
HAVE THAT CHAIR BALANCING
PACKAGE THAT WE CAN THE 27th, IT
WOULD ALLOW A FEW MORE DAYS, YOU
KNOW, IF THERE IS -- IF THERE
ARE COUNCILMEMBERS THAT WANT TO
MAKE A CHANGE TO THE BALANCE --
TO THE CHAIRS BALANCING PACKAGE
BY PROFFERING THEIR SELF BALANCE
AMENDMENT WITH A COSPONSOR. IT
GIVES A LITTLE MORE TIME FOR
COUNCILMEMBERS AND CENTRAL STAFF
TO WORK TOGETHER TO MAKE THAT
HAPPEN, BECAUSE YOU CAN IMAGINE,
IF THERE IS ONE CENTRAL STAFFER
AND MULTIPLE COUNCILMEMBERS
TRYING TO DO THE BALANCE
AMENDMENT, I'M ALSO MINDFUL
THAT THAT MIGHT CREATE SOME
ISSUES. SO I'M JUST TRYING TO
FIND ROOM TO MAKE SURE THAT
STAFF HAS TIME THEY NEED TO HELP
US.
>> GREAT MINDS THINK ALIKE. THAT
IS SOMETHING I PUSHED FOR. THIS
IS WHERE WE ENDED UP DUE TO
STAFFING, AND I THINK THAT WOULD
PROBABLY BE GOOD FOR DIRECTOR
NOBLE TO SPEAK NOT AT COMMITTEE
ABOUT THE ELEMENTS THAT GO INTO
THEIR. I ALSO HAD ASKED FOR
THAT. I WILL SHARE A FEW MORE
THINGS, WHICH IS THAT FROM THE
CENTRAL STAFF PRESENTATIONS, WE
WILL ALL BE WORKING TOGETHER.
LIKELY, IF YOU'VE GOT SOMETHING
THAT YOU'RE INTERESTED IN, WE
START BY PLANTING THE SEED WITH
YOUR QUESTIONS OF DEPARTMENTS.
WE THEN GROW THAT SEED WHEN WE
ARE HAVING CENTRAL STAFF
PRESENTATIONS ON THE POLICY
CONSIDERATIONS. THE SEED IS THEN
BLOOMING WITH YOUR COUNCILMEMBER
BUDGET FOR PROPOSALS. IT IS
EITHER FULLY GROWN IN THE BUDGET
PACKAGE OR FULLY GROWN IN AN
AMENDMENT TO THE CHAIRS PACKAGE.
SO, THE HOPE AND THE GOAL HERE
IS THAT FOR YOUR PRIORITIES, WE
ARE NOT LEARNING ABOUT THEM
NECESSARILY IN THE DISCUSSION OF
COUNCILMEMBER PROPOSALS. WE ARE
STARTING TO LEARN ABOUT YOUR
PRIORITIES IN THE DEPARTMENT
PRESENTATIONS, AND I KNOW THAT
THINGS CHANGE AND THAT MORE
INFORMATION BECOMES AVAILABLE,
SO, THERE'S ALWAYS THE
EXCEPTION, RIGHT? BUT EXCEPTIONS
CAN BE THE RULE. WANT TO SHARE
MORE INFORMATION ABOUT THE
CHAIRS BALANCING PACKAGE. SO,
BETWEEN THE 28th AND THE 30th OF
OCTOBER, THAT WILL BE THE
DISCUSSION OF THE COUNCILMEMBER
BUDGET PROPOSALS, FROM THE 31st
AND THEN THROUGH THE WEEKEND,
NOVEMBER 1st AND SECOND, I'LL
BE WORKING WITH CENTRAL STAFF
OVER THE WEEKEND TO CREATE THE
CHAIRS BALANCING PACKAGE, WHICH
THEN RESULTS IN I WILL BE
MEETING WITH COUNCILMEMBERS
INDIVIDUALLY ON NOVEMBER 3rd, SO
THAT IF WE GOT IT CORRECT,
THUMBS UP. IF SOMETHING NEEDS TO
BE CHANGED, WE ARE HOPING FOR
LARGE-SCALE CHANGES. CHANGES CAN
BE MADE. IF SMALL TWEAKS NEED TO
BE MADE, WE ARE ABLE TO DO THAT
ON THE THIRD BEFORE WE PUBLISH
ON THE FOURTH. THE CONVERSATION
IS ON THE FIFTH. THE PUBLIC
HEARING IS ON THE SIXTH. SO, YOU
WILL LIKELY HAVE THE ABILITY TO
KNOW WHAT CHANGES AND AMENDMENTS
YOU WOULD LIKE TO PURSUE. THE
DEADLINE IS THE SEVENTH. HE WILL
LIKELY RECEIVE THAT INFORMATION
ON THE THIRD, SO WHILE THE
CALENDAR LOOKS LIKE IT'S A 48
HOUR TURNAROUND, THE GOAL HERE
IS TO INCREASE TRANSPARENCY AND
COLLABORATION, AND SO, YOU HAVE
ABOUT 4 1/2 DAYS. NOT TWO. DOES
THAT HELP?
>> IT DOES, CHAIR. THANK YOU.
YOU ARE SAYING THAT ON THE THIRD
IS WHEN WE WILL KNOW WHETHER OUR
AMENDMENTS MADE IT INTO YOUR
BALANCING PACKAGE.
>> THAT IS THE GOAL.
>> WHAT HAPPENS IF THAT GOAL IS
NOT MET? WE ARE BACK TO A LESS
THAN 48 HOUR TURNAROUND.
>> IF THAT GOAL IS NOT MET ON
THE THIRD, THEN THE NEXT GOAL
THAT WE ARE MEETING THAT WE ARE
STRIVING TO MEET IS A PUBLIC
PUBLISHING OF THE CHAIRS PACKAGE
ON THE FOURTH. SO THEN, THAT IS
STILL ONE, TWO. 2.5.
>> THE SCHEDULE WE PUT TOGETHER
DID NOT SHOW THE PUBLISHING
DEADLINE, SO, ON ELECTION DAY,
WE DO INTEND TO PUBLISH THE
CHAIRS PACKAGE FOR THE PUBLIC.
>> AND I WOULD JUST BE CANDID
HERE, SAYING, IF FOLKS HAVE A
LOT OF CHANGES -- IF I DIDN'T
GET YOUR PROPOSALS CORRECT AND
THEN WE HAD TO MAKE A BUNCH OF
CHANGES ON THE THIRD, THAT IS
WHAT WOULD DELAY THAT
PUBLISHING. IF NOBODY HAS ANY
CHANGES TO WHAT I'VE PUT IN FOR
YOU IN THE CHAIRS PACKAGE, THEN
PUBLISHING EARLIER ON THE FOURTH
IS A POTENTIAL. RIGHT? SO, THE
VARIABLE THERE IS HOW MUCH
FEEDBACK ARE YOU GIVING ME?
>> AND I WOULD ADD, TOO, THE
PROPOSAL ON THE SEVENTH --
THEY'RE DOING THAT RELATIVELY
SHORT WINDOW. THEY ARE NOT FULLY
BAKED. MORE THAN NOT, BUT
IDENTIFYING FOR US ISSUES YOU
INTEND TO BRING FOURTH AMENDMENT
ON. IT'S GOING TO BE A VERY
BUSY WEEK FOR US. WE WEEK --
EXPECT THE NEXT WEEK TO BE VERY
BUSY. [ INAUDIBLE ] TO ASSURE
YOU, THERE ARE VARIOUS PINCH
POINTS IN HERE AND WE HAVE
DEBATED DIFFERENT WAYS OF DOING
THE SCHEDULE. FOR WHAT IT'S
WORTH, HAVING TIME BETWEEN THE
REVENUE FORECAST ON THE 20th AND
THE DISCUSSION OF COUNCILMEMBER
PROPOSAL ON THE 28th IS
IMPERTINENT BECAUSE I THINK THE
REVENUE FORECAST COULD INFORM
THE RANGE OF OPTIONS THAT ARE
REALISTIC TO BRING FORWARD. I'D
LIKE THAT TIME TO WORK WITH YOU.
I'LL BE CANDID. MICHAEL IN THIS
-- [ INAUDIBLE ] I'VE BEEN
THROUGH THIS PROCESS A FEW
TIMES. THIS IS A PERSONAL
PERSPECTIVE AND YOU MAY HAVE A
DIFFERENT ONE. TO BE CLEAR. I
THINK FOCUSING ATTENTION ON
AMENDMENTS THAT ARE ON SOME
LEVEL VIABLE AND REALISTIC IS
MORE USEFUL FOR YOU ALL AND FOR
THE PUBLIC THAN, YOU KNOW, A
LONG LIST OF THINGS YOU WOULD
LIKE TO RESTORE. WE ARE GOING TO
BE IN A PHASE WITH THINGS, THEN
EDITED. THERE IS GOING TO BE A
FAIR AMOUNT OF PAIN ASSOCIATED
WITH THOSE. I EXPECT IT WILL BE
HER PREROGATIVE TO MAKE
DECISIONS THAT MAKE EFFORTS TO
RESTORE SOME OR ALL. BUT TO THE
EXTENT THAT YOU WILL FOCUS ON
WHAT IS REALISTIC , CENTRAL
STAFF WILL BENEFIT BEING ABLE TO
PUT ENERGY WHERE IT IS MOST
PRODUCTIVE. THAT'S ANOTHER
REASON I'M IN SOME WAYS LESS
WORRIED BECAUSE WE CAN MAINTAIN
THAT FOCUS. THERE WILL BE LESS
VOLUME.
>> IF I CAN ADD ON, JUST TO
EMPHASIZE AGAIN THAT THIS WILL
BRING BACK THE INITIAL
DISCUSSION OF COUNCILMEMBER
AMENDMENTS. IT LETS YOU HAVE
MORE TIME TO UNDERSTAND THE
ISSUES AT PLAY, GET MORE
INFORMATION FROM US, AND FOR THE
EXECUTIVE TO INFORM YOUR
DELIBERATIONS SO THAT WHEN WE
GET TO THAT DECISION ABOUT
WHETHER TO PROPOSE EMINENCE TO
THE CHAIRS PACKAGE, HOPEFULLY,
WE ARE NOT SCRAMBLING TO GET
INFORMATION. WE ARE NOT
SCRABBLING TO COME UP WITH NEW
IDEAS. WE ARE TALKING ABOUT
GETTING DIRECTION FROM YOU
ABOUT, YOU KNOW, HOW MUCH, TO
MOVE FORWARD OR NOT, AND IT
MAKES IT EASIER FOR STAFF TO
RESPOND RATHER THAN SERVE NEW
INFORMATION AND NEW IDEAS.
>> THANK YOU. VICE CHAIR,
ANYTHING ELSE?
>> OH, NO. THANK YOU.
>> FANTASTIC.
>> COUNCIL PRESIDENT, I SEE YOUR
HAND. I WANT TO CHECK IN TO SEE
IF OTHER COLLEAGUES WHO HAVE NOT
YET SPOKEN WOULD LIKE TO SPEAK
ON THIS ITEM. I'M JUST NOTING
THAT WE NEED TO KEEP MOVING. SO,
COUNCIL PRESIDENT, I WILL CALL
ON YOU AND THEN I WOULD LIKE TO
KEEP MOVING.
>> THANK YOU VERY MUCH FOR DOING
THE LOOK BACK AND MAKING IT A
SIX-YEAR LOOK BACK AND I WOULD
JUST OFFER, IT SEEMED AS THOUGH
THE DISCUSSION, WHAT I HEARD WAS
THAT THERE WASN'T AN
OPPORTUNITY TO PRESENT THAT IN
COMMITTEE. IF THAT IS CORRECT, I
DO OFFER THE OPTION OF A MONDAY
MORNING BRIEFING SO THAT ALL
COUNCILMEMBERS CAN HEAR IT. IT
IS A PLACE WHERE WE CAN GET THAT
INFORMATION OUT. I'M JUST
PUTTING THAT ON THE TABLE, AND,
JUST, WOULD -- I'M GLAD THAT
THE CHAIRS BALANCING PACKAGE
WILL BE READY AND PUBLICLY
POSTED EARLIER THAN THE FIFTH,
AND I WOULD SUGGEST, AS SOON AS
WE CAN, GETTING THAT, MAKING
AVAILABLE INFORMATION TO
COUNCILMEMBERS. BEING AVAILABLE
TO ANSWER QUESTIONS FROM
COUNCILMEMBERS WHEN IT IS
POSTED, EVEN THOUGH IT IS NOT
GOING TO PRESENT IT UNTIL THE
FIFTH WOULD BE HELPFUL IN CASE
WE ARE THINKING ABOUT CHANGES TO
THE BALANCING PACKAGE. THANK
YOU.
>> THANK YOU.
>> I REALIZED I ASKED TO SPEAK
ABOUT PROCESS AND WE WOULD
CONTINUE TO CONTENT. SO, JUST
DOUBLE CHECKING. I KNOW
COUNCILMEMBER KETTLE ALREADY
SPOKE ABOUT THE SIX-YEAR LOOK
BACK, AS DID COUNCIL PRESIDENT.
ANYONE ELSE HAVE QUESTIONS ABOUT
LEGISLATIVE INTENT? I'M SEEING
NONE. I WILL MAKE MY COMMENTS
ABOUT THIS PRESENTATION SITTING
HERE ON THE SELECT BUDGET
COMMITTEE CALENDAR. THIS WAS A
PROCESS HAVING THIS ADDITIONAL
TIME OF COUNCILMEMBER BUDGET
PROPOSALS WAS A PROCESS WE'VE
USED IN THE PAST. I INHERITED
THE BUDGET CALENDAR LAST YEAR.
DID NOT INCLUDE IT, AND I
STRIVED TO INCLUDE EVERYONE'S
AMENDMENTS TO THE GREATEST
POSSIBILITY OF MY ABILITY. SOME
OTHER CHANGES THIS YEAR IS NOT
ONLY IS THERE A SPONSORSHIP
REQUIREMENT TO PROPOSALS AND
AMENDMENTS. THERE WILL ALSO BE
VERIFICATION. THERE WERE A
COUPLE SITUATIONS LAST BUDGET
CYCLE WHERE IT WAS NOT -- I
THINK PEOPLE WERE CAUGHT OFF
GUARD THAT THEIR NAMES WERE
ATTACHED TO AMENDMENTS, AND SO,
WE WILL BE HAVING LIKELY A
PROCESS WHERE CENTRAL STAFF WILL
VERIFY AND ALSO MY OFFICE WILL
VERIFY THAT THE SPONSORS HAVE
INDEED COSPONSORED. WHEN WE MOVE
ON INTO THE SECTION WHERE THE
DISCUSSION OF COUNCILMEMBER
BUDGET PROPOSALS AND
COSPONSORSHIP IS ADDED, PLEASE
DO BE CAREFUL. COSPONSORSHIP
INDICATES SUPPORT LEVELS ACROSS
THE COUNCIL, AND SO, IF AN ITEM
HAS SEVEN OR FIVE OR SIX
COSPONSORS, THAT'S SOMETHING
THAT WILL LIKELY BE PUT INTO THE
CHAIRS BALANCING PACKAGE. THIS
IS ALL A CAVEAT, DEPENDING ON
THE NEXT TWO FORECASTS. I WILL
STATE THAT RULES ARE IN PLACE TO
FOSTER TRANSPARENCY AND
ACCURACY. WALK ON AMENDMENTS
UNDERCUT THIS ABILITY TO BE
TRANSPARENT AND ACCURATE. LAST
YEAR, WE HAD A NUMBER OF WALK ON
AMENDMENTS AND A FEW OF THEM
ACTUALLY CAUSED TECHNICAL ERRORS
THAT WERE NOT, UNTIL AFTER THE
FINAL BUDGET PASSAGE. THE REASON
THAT THEY WON'T NECESSARILY
CAUGHT IS BECAUSE THE LEVEL OF
WORK THAT GOES INTO CREATING A
BUDGET AMENDMENT IS NOT JUST
WRITING WORDS ON PAPER. IT IS
SPENDING MANY HOURS SPEAKING
WITH OTHERS AND DEPARTMENTS AND
THOSE WITHIN CBO
IMPLICATIONS ARE, BOTH INSIDE
THAT BUDGET SUMMARY LEVEL AND
OUTSIDE OF IT. AND THAT IS THE
REASON THAT WAHKON AMENDMENTS
ARE DISCOURAGED. OF COURSE,
THERE IS ALWAYS AN EXCEPTION.
LAST YEAR FELT MORE LIKE A RULE
THAN AN EXCEPTION. THE REASON
IT'S NOT JUST BECAUSE IT IS
GOOD TO HAVE RULES. THESE RULES
ARE IN PLACE TO FOSTER
TRANSPARENCY AND ACCURACY. THEN,
IF YOU COULD TICK DOWN TO THE
LAST SLIDE IN THIS. THERE WILL
BE A PRESENTATION ON REVENUE
OPTIONS. THERE ARE REVENUE
OPTIONS THAT ARE SENT TO THE
VOTERS. THERE ARE REVENUE
OPTIONS THAT HAVE ALREADY BEEN
AUTHORIZED BY THE STATE. THERE
ARE REVENUE OPTIONS THAT CAN BE
COUNCIL GENERATED. I'M NOT
PUTTING MY FINGER ON THE SCALE,
WHICH ONE IS WHICH, AND WE NEED
TO UNDERSTAND OUR FULL RANGE OF
POSSIBILITIES, BECAUSE, FOR
THESE TO WORK, WE NEED TO START
THE REVENUE WORK BEFORE WE GET
TO THE FALL BUDGET PROCESS. THE
FALL BUDGET PROCESS IS FOCUSED
ON THE NEXT YEARS BUDGET, AND
THAT'S A LOT OF WORK. CREATING
REVENUE OPTIONS IS AN ENTIRELY
OTHER BODY OF WORK THAT DOES NOT
WORK WHEN IT IS COINCIDED AND
OVERLAPPED. SO, IF REVENUE IS OF
INTEREST TO YOU, I ASK THAT YOU
ALERT -- IF YOU DON'T WANT TO
TELL ME, THAT'S FINE. YOU
DEFINITELY NEED TO TELL DIRECTOR
NOBLE ASAP. ANY FURTHER
QUESTIONS? IF NOT, WE WILL MOVE
ON TO THE NEXT PRESENTATION.
CLERK, WOULD YOU PLEASE READ THE
SECOND AGENDA ITEM INTO THE
RECORD.
>> AGENDA ITEM 2. EXECUTIVE
BUDGET UPDATE FOR BRIEFING AND
DISCUSSION.
>> THANK YOU. WE ARE JOINED BY
DIRECTOR EDER. I WANTED TO
CLARIFY. WE LOOKED TO SPEND THIS
ENTIRE MEETING ON THE SIX-YEAR
LOOK BACK AND THE STATE OF
LEGISLATIVE INTENT REGARDING
BUDGET REFORM. BECAUSE OF THE
STAFFING TURNOVER AT CENTRAL
STAFF, THAT DOCUMENT WAS NOT
READY FOR US TO DIGEST TODAY, SO
COUNCIL PRESIDENT, I APPRECIATE
YOU OFFERING BRIEFINGS. IT IS
MORE THAT WE NEEDED THE
INFORMATION TODAY SO THAT WE
COULD BE READY FOR FALL. WE WILL
BE ABLE TO COME BACK TO THIS AT
A FUTURE DATE. WITH THAT,
DIRECTOR EDER WILL CONTINUE IN
THE SAME STYLE WHERE I WILL HOLD
MY QUESTIONS UNLESS I HEAR AN
ITEM THAT WE DISCUSSED IN THE
PAST THAT WOULD BE RELEVANT AND
THEN I WILL ASK FOR THE
FOLLOW-UP IN REAL TIME. OTHER
THAN THAT, WE WILL ALLOW YOU TO
GET THROUGH YOUR PRESENTATION,
AND COUNCILMEMBERS WILL HAVE
QUESTIONS AND I WILL SAVE MY
STATEMENTS FOR THE END. OVER TO
YOU, DIRECTOR EDER.
>> THANK YOU, CHAIR STRESS AND
MEMBERS OF THE SELECT BUDGET
COMMITTEE. HAPPY TO BE HERE
TODAY. THANK YOU FOR THE
OPPORTUNITY TO PRESENT. I AM
INTERIM DIRECTOR OF THE CITY
BUDGET OFFICE. AS YOU HEARD FROM
THE OFFICE OF ECONOMIC AND
REVENUE FORECAST AS WELL AS FROM
YOUR OWN CENTRAL STAFF, MAY 7th,
THE CITY IS FACING MULTIPLE
CHALLENGES. INCLUDING BUT NOT
LIMITED TO A SIGNIFICANT
DOWNTURN IN THE CITY'S GENERAL
FUND, AND IN THE PAYROLL EXPENSE
TAX FUND. I DON'T HAVE ALL THE
ANSWERS TODAY. ABOUT HOW WE ARE
GOING TO ADDRESS THESE
CHALLENGES, BUT I KNOW THAT THE
EXECUTIVE AND THE COUNCIL ARE
GOING TO WORK COOPERATIVELY, AND
WE WILL BE ABLE TO TACKLE THESE
TOGETHER. AND BE SUCCESSFUL.
I'M HERE TO DISCUSS THE ACTIONS
THAT WE HAVE ALREADY TAKEN AS A
CITY TO DATE. I'LL ALSO
DESCRIBE SOME OF THE OTHER TOOLS
THAT WE MAY EMPLOY MOVING
FORWARD. AS I GO THROUGH THE
DECK, I'LL PROVIDE SOME
CONTEXT, REVIEWED WHAT
DEPARTMENTS ARE CURRENTLY
WORKING ON AND WRAP UP WITH SOME
CONCLUDING THOUGHTS. SORRY. I'M
UP TO SLIDE NUMBER FOUR. THANK
YOU. SO, JUST TO GIVE THE
BIGGEST PICTURE IN NOVEMBER OF
2024, THE CITY COUNCIL LOCKED
INTO PLACE A VERSION OF THE
MAYORS PROPOSED BUDGETS FOR 2025
AND ADOPTED BUDGET FOR THE CITY,
AND 2026 IN THE FORM OF AN
ENDORSED BUDGET. THE FINAL
BUDGETS WERE BALANCED USING THE
REVENUE FORECAST FROM OCTOBER OF
2024. THE LATEST AND GREATEST
INFORMATION THEN AVAILABLE TO
US. IN APRIL, A NUMBER OF
BROADER ECONOMIC FACTORS LED THE
CITY TO DOWNGRADE ITS
EXPECTATION FOR ALL CITY
REVENUES. MOST NOTABLY, THE
GENERAL FUND AND THE PAYROLL
EXPENSE TAX FUND. THIS LED TO AN
ADDITIONAL $217 MILLION
EFFECTIVELY NO LONGER BEING
AVAILABLE IN THE GENERAL FUND
AND WHAT I WILL CALL FOR SHORT,
THE P.E.T., THE PAYROLL EXPENSE
TAX FUND BY 2026. LAST MONTH,
DIRECTOR NOBLE AND TOM MIKESELL
PRESENTED A REVISED LOOK AT THE
CITIES FINANCIAL FUNDS FOR THE
P.E.T.. THE MAYOR TOOK IMMEDIATE
ACTIONS THAT I WILL REVIEW FOR
YOU IN THE UPCOMING SLIDES TO
COUNTERBALANCE SOME OF THE BAD
NEWS WITH SIGNIFICANT UNDER
SPENDING. SOME OF THESE STEPS HE
TOOK IN 2024. IT LED TO SOME
BETTER NEWS THAT MIGHT HAVE BEEN
THE CASE WITH VETERANS AND
REVENUE. THE POINT OF TIME -- IN
TIME ESTIMATE -- WE ARE
EXPECTING ONE AT $50 MILLION
COMBINED DEFICIT BY THE END OF
2026. [ INAUDIBLE ] NOT YET
REFLECTED HERE ARE SOME COST
PRESSURES THAT WE KNOW ABOUT AND
ARE DEALING WITH. FOR EXTRA COST
TO DELIVER SOME OF THE CRITICAL
PUBLIC SERVICE -- PUBLIC
SERVICES THAT ARE INCLUDED IN
THE BUDGET. NOTABLY, IT IS
COSTING MORE TO DELIVER POLICING
SERVICES BECAUSE WE HAVE THIS
GOOD PROBLEM THAT WE HAVE MORE
POLICE OFFICERS THEN OR
ANTICIPATED IN THE ADOPTED
BUDGET. THAT ADDS TO THE COST
PRESSURES AND THAT'S NOT YET
REFLECTED IN A $150 MILLION
DEFICIT. I'M GOING TO MOVE ON
TO SLIDE FIVE PLEASE. I WANT TO
ACKNOWLEDGE SOME OF THE WORK
THAT COUNCILMEMBER RINCK HAS
DONE IN HER SELECT COMMITTEE.
THAT IS ADDING TO THE BAD NEWS
WE GOT IN THE APRIL REVENUE
FORECAST. SO, NOTABLY, THE
FEDERAL GOVERNMENT HAS INDICATED
THEIR INTENT TO PULL BACK FROM
GRANT FUNDS THAT WERE PREVIOUSLY
COMMITTED TO THE CITY. THIS IS
HUNDREDS OF MILLIONS OF DOLLARS
THAT WERE EMBEDDED IN THE
ADOPTED BUDGET AND WHICH WE WERE
PLANNING ON USING TO DELIVER
CRITICAL SERVICES TO CITY
RESIDENTS, VISITORS, AND
BUSINESSES. THE FEDERAL
GOVERNMENT, MOREOVER, HAS ALSO
INDICATED THAT IT WILL SIMILARLY
STOP THE FILLING COMMITMENTS
THAT IT PREVIOUSLY MADE TO OUR
PARTNER AGENCIES WHO ARE ALSO
DOING CRITICAL WORK IN THE
REGION. THESE INCLUDE STUDENTS
AT SEATTLE PUBLIC SCHOOLS.
TRANSIT RIDERS ON KING COUNTY
METRO TRANSIT AND OTHER REGIONAL
TRANSIT AGENCIES. PEOPLE
EXPERIENCING HOMELESSNESS WHO
WERE SERVED BY THE KING COUNTY
REGIONAL HOMELESSNESS AUTHORITY
AND OTHERS. AFFORDABLE HOUSING
RESIDENTS AT THE SEATTLE HOUSING
AUTHORITY AND AFFORDABLE HOUSING
PROVIDERS AND MANY OTHERS THAT
RICK -- COUNT ON GOVERNMENT
PROJECTS AND PROGRAMS THAT OUR
BUDGET SUPPORTS. AND, FINALLY,
THERE IS -- SORRY -- NOT
FINALLY. SECONDLY, THERE IS
FORECAST UNCERTAINTY. WE WILL
GET TWO MORE FORECASTS THIS
YEAR. ONE IN AUGUST SUPPORTING
THE MAYORS PROPOSED BUDGET, AND
ANOTHER ONE IN OCTOBER,
SUPPORTING THE COUNCIL'S
DELIBERATIONS AND ACTION ON A
FINAL ADOPTED VERSION OF THE
BUDGET. WE COULD GET GOOD NEWS
IN THE AUGUST OR OCTOBER
FORECAST. WE ARE ALL HOPEFUL FOR
THAT. HOPE IS NOT A PLAN. AND WE
MAKE IT BAD NEWS. WE WILL SEE
HOW THAT PANS OUT. THE LAST ITEM
ON THIS SLIDE IS THE COST
PRESSURES THAT THE UNCERTAINTIES
IN THE BROADER ECONOMY MAY MEAN
MORE COSTS FOR THE SERVICES THAT
WE ARE DELIVERING WHEN WE
PURCHASE SERVICES FROM CONTRACTS
THROUGH CONTRACTS FROM THE
PRIVATE SECTOR WHEN WE EMPLOY
OUR OWN PEOPLE, WHEN WE BUY
GOODS AND DO CONSTRUCTION
PROJECTS. THOSE ALL GET MORE IN
SUSPENSIVE -- EXPENSIVE THAN
WHAT WAS ASSUMED IN THE ADOPTED
BUDGET. THAT IS ANOTHER COST
PRESSURE. I WANT TO ACKNOWLEDGE
THAT IS THE IMPAIRMENT IN WHICH
WE ARE LIVING. SLIDE SIX.
PLEASE. THIS IS AN ENCAPSULATION
SLIDE THAT COVERS SOME OF THE
SAME GROUND THAT I JUST
DESCRIBED. HOW WE GOT HERE IS
BASICALLY WE HAD AN ADOPTED
BUDGET. IT WAS BALANCED. THAT
BALANCE CAME OUT OF WHACK WHEN
WE GOT SIGNIFICANT LOWERING OF
ANTICIPATED REVENUES FOR 2025
AND 2026 IN THE APRIL FORECAST.
THE COMBINED DEFICIT IS AT LEAST
$150 MILLION THROUGH THE END OF
2026. THAT REFLECTS BOTH LOWER
2024 ACTUALS AND ALSO, THE APRIL
FORECAST. ON THE RIGHT SIDE OF
THIS SLIDE ARE THE BROAD
CATEGORIES OF TOOLS AVAILABLE TO
THE CITY. WE CAN REDUCE
EXPENSES. I'M GOING TO TALK TO
YOU ABOUT SOME OF THE STRATEGIES
THE MAYOR IS CURRENTLY EMPLOYING
TO DO SO. THE CHAIR MENTIONED
THE POSSIBILITY OF INCREASING
REVENUES THROUGH NEW TAXES.
POTENTIALLY VOTER APPROVED
MEASURES. AND WE CAN, THROUGH
THIS, STILL ACHIEVE EFFICIENCIES
DELIVERING CENTRAL SERVICES WITH
EFFORTS. [ INAUDIBLE ] I WILL
TALK ABOUT THAT MOVING FORWARD.
OKAY. SLIDE EIGHT, PLEASE. UPON
HEARING THE NEWS ON APRIL 10th
FROM THE OFFICE OF ECONOMIC AND
REVENUE FORECAST, THE MAYOR TOOK
IMMEDIATE STEPS TO REIN IN
SPENDING. THE DAY AFTER THE
UPDATED FORECAST ON APRIL 11th,
THAT MAYOR FROZE A RANGE OF
DISCRETIONARY SPENDING WHICH IS
DESCRIBED ON THE NEXT SLIDE. THE
MAYOR HAS ASKED FOR PLANS TO
UNDERSTAND THE 2025 BUDGET. AND
ALSO, TO PROPOSE LESS SPENDING
IN 2026. BOTH OF THOSE ARE
CRITICAL STRATEGIES FOR
ADDRESSING THE DEFICIT WHICH
EMERGED ON APRIL 10th. I'M
SHOWING THIS AS AN ILLUSTRATION
OF THE SERIOUSNESS AND URGENCY
THAT WE ARE BRINGING TO THE
SITUATION. I KNOW THAT URGENCY
IS SHARED BY ALL OF YOU ON THE
DAIS. SLIDE NINE DESCRIBES THOSE
IMMEDIATE STEPS THAT I ALLUDED
TO ON THE PREVIOUS SLIDE. ON
APRIL 11th, THE MAYOR FROZE ALL
SPENDING ON NONESSENTIAL TRAVEL
OR TRAINING EXPENSES. FROZE ALL
NEW CONTRACTS THAT WEREN'T
ALREADY COMMITTED TO OUTSIDE
PARTIES. FROZE SPENDING ON NEW
PROGRAMS, AND EXTENDED THE
HIRING FREEZE THAT WAS IN PLACE
FOR NEARLY ALL OF 2024 TO 2025.
SLIDE 10 IS DESCRIBING THE RANGE
OF OPTIONS AGAIN HERE. THERE
ARE, AS I DESCRIBED, SOME
IMMEDIATE RESPONSES, WHICH WILL
HELP, BUT WE ARE WORKING ON A
RANGE OF LONGER-TERM RESPONSES,
AS WELL. IN ADDITION TO THE
SPENDING FREEZE IN 2025, THE
SERIES OF SPENDING FREEZES IN
2025, WE HAVE ASKED THE PERMITS
FOR PROPOSALS TO LOWER SPENDING
FROM THE LEVELS THAT WERE
INCLUDED AND ASSUMED TO BE
FUNDED IN THE 2026 BUDGET. WE
DON'T ABSOLUTELY HAVE TO RELY
ON ONLY CUTS TO GET THE BUDGET
BACK IN BALANCE. AS CHAIR
STRAUSS MENTIONED, THE CITY ALSO
HAS IN ITS TOOLKIT, OPTIONS FOR
NEW REVENUES. IT IS WELCOME NEWS
THAT THE STATE AUTHORIZED SOME
NEW REVENUE OPTIONS. AND AT THE
SAME TIME, WE ARE EVALUATING --
WE ARE EVALUATING THOSE OPTIONS
AND WE WILL MAKE SOME DECISIONS
ABOUT THOSE IN THE COMING
MONTHS, BUT AT THE SAME TIME, WE
ARE EVALUATING APPROACHES THAT
WILL ALLOW THE CITY TO DELIVER
CRITICAL SERVICES FASTER,
BETTER, AND EVEN MORE
EFFICIENTLY, WHEREVER POSSIBLE.
I WILL PROVIDE MORE INFORMATION
LATER IN THE SLIDE DECK ON THE
RANGE OF OPTIONS WE ARE
CONSIDERING THERE. IN TERMS OF
-- DIVING IN A LITTLE BIT ON
THOSE CONCEPTS, IN TERMS OF
REDUCING SLIDE 11 -- REDUCING
2025 SPENDING, THE FIRST STEP IN
TAKING OUT THE DEFICIT IS TO
STOP ADDING DISCRETIONARY
SPENDING. I BELIEVE DIRECTOR
NOBLE REFERRED TO THIS, AS WELL.
SO, THE MAYOR HAS DIRECTED AND
CBO HAS FOLLOWED THROUGH WITH
THE PROMISE THAT DISCRETIONARY
SPENDING WILL NOT BE CONSIDERED
FOR THIS YEAR'S MIDYEAR
SUPPLEMENTAL WHICH WILL BE
TRANSMITTED THIS YEAR FOR YOUR
CONSIDERATION. THERE WILL BE
SOME TECHNICAL CHANGES AND
TRANSFERS BETWEEN BUDGET LEVELS
AND DEPARTMENTS, BUT WE ARE
LOOKING FOR NO NEW DISCRETIONARY
SPENDING. THE SECOND APPROACH IS
TO SPEND LESS IN 2025 FROM THE
PERSPECTIVE OF WHAT'S INCLUDED
IN THE ADOPTED BUDGET. AND TO DO
THE SAME FOR 2026, AND THE MORE
WE CAN ACHIEVE IN TERMS OF
REDUCED SPENDING IN 2025, THE
LESS ONEROUS THE CHALLENGE IS
WHEN WE GET TO THE 2025 PROPOSED
AND EVENTUALLY ADOPTED BUDGETS.
SO WE HAVE ASKED FOR DEPARTMENTS
TO DEVELOP PLANS FOR UNDER
SPENDING THEIR '25 BUDGET BY
5%. ON THE NEXT SLIDE, FOR 2026,
WE HAVE ASKED FOR THE
DEPARTMENTS, SINCE WE CAN NO
LONGER AFFORD WHAT WAS INCLUDED
IN THE ENDORSED BUDGET TO
PROVIDE REDUCTION TARGETS FOR --
PARTICULARLY FOR GENERAL FUND
AND PAYROLL EXPENSE TAX FUND
SUPPORTED SPENDING TO REDUCE
THEIR LEVELS OF SPENDING. WE
ASKED FOR MOST DEPARTMENTS TO
GIVE US 8% REDUCTION IDEAS.
THOSE ARE VERY SIGNIFICANT
REDUCTIONS IN LEVELS OF
SPENDING, ESPECIALLY WHEN WELL
OVER HALF OF THE CITY SPENDING
IS ON CITY STAFFING. WE ALSO
ASKED FOR OTHER DEFERMENTS,
RECOGNIZING THE CRITICAL NEED
FOR PUBLIC SAFETY AND
HOMELESSNESS SPENDING TO GIVE US
SOME REDUCTION IDEAS BUT A
LESSER TARGET. WE ASKED THEIR
FOUR DEFERMENTS TO GIVE US AN
IDEA FOR ACHIEVING A 2%
REDUCTION. WHENEVER DEPARTMENTS
GIVE US IDEAS IN THE PROPOSED
BUDGET THAT ARE NEW IDEAS, WE
ASKED FOR THEM TO GIVE US
OFFSETTING REDUCTIONS. SO IF
THEY WANT TO DO SOMETHING NEW
THAT IS NOT ON THE ENDORSED
BUDGET, WHICH WE CAN'T AFFORD
IN THE FIRST PLACE, THEY NEED TO
INCREASE THEIR PRODUCTIONS ABOVE
THE 2% AND 8% TARGETS WE
ESTABLISHED FOR THEM.
>> DIRECTOR, BEFORE WE MOVE ON,
I WANT TO CLARIFY. THIS IS AN
EXERCISE. THIS IS THE PROCESS IN
WHICH YOU ARE RECEIVING
INFORMATION IN ORDER TO CREATE
THE MAYOR'S PROPOSED BUDGET. IS
THAT CORRECT? YOU ARE NOT ASKING
-- TODAY ON JUNE 4th SAYING THAT
ALL DEPARTMENTS WILL RECEIVE AN
8% CUT OR A 2% CUT. THIS IS TO
BUILD THE BUDGET. IS THAT
CORRECT?
>> THAT IS CORRECT. IT IS AN
EXERCISE WHICH WE EXPECT WILL
LEAD TO SOME OR ALL OF THOSE
IDEAS BEING INCLUDED IN THE
MAYOR'S PROPOSED BUDGET, BUT
THE EXERCISE OF PUTTING THOSE
IDEAS ON THE TABLE IS THE FIRST
STEP TO DECIDING WHICH OF THOSE
TO MOVE FORWARD INTO THE
MAYOR'S ADOPTED BUDGET FOR YOUR
CONSIDERATION.
>> AND I WOULD JUST TEASE THIS
OUT A LITTLE BIT MORE. IF YOU
ARE NOT ASKING FOR THIS
INFORMATION TODAY, YOU COULD
ARRIVE IN AUGUST WITHOUT THE
INFORMATION. I MEAN, BECAUSE
THESE ARE HARD CHOICES. BY
ASKING THAT QUESTION TODAY, YOU
ARE PREPARING YOURSELF FOR
AUGUST. IS THAT THE IDEA?
>> THAT'S EXACTLY RIGHT. AND
I'VE HAD CHALLENGING
CONVERSATIONS WITH DEPARTMENTS
WHO REASONABLY ARE SAYING, CBO
IS ASKING US TO ACHIEVE A
SPENDING TARGET. IN ORDER TO DO
THAT, WE ARE GOING TO HAVE TO
CUT OUR PROGRAM HERE. OUR
PROGRAM THERE. THOSE ARE GOING
TO BE DEVASTATING CUTS. WE
REALLY DON'T THINK THAT YOU ARE
GOING TO WANT TO DO IT. I HAVE
REQUIRED THAT ALL DEPARTMENTS
NONETHELESS TELL US WHAT IT
WOULD TAKE TO ACHIEVE THESE
TARGETS SO WE CAN HAVE A FULL
ARRAY OF OPTIONS FOR THE
MAYOR'S CONSIDERATION. THE
MAYOR DOESN'T WANT TO REDUCE
THE BUDGET IN ANY OF THE
CRITICAL PUBLIC FACING SERVICES
THAT ARE THE PRIORITIES OF THE
FOLKS ON THIS DAIS AND THE
PRIORITIES OF THE MAYOR HIMSELF.
NONETHELESS, THERE ARE GOING TO
BE SOME HARD CHOICES THAT WE ARE
COLLECTIVELY GOING TO HAVE TO
MAKE THIS FALL, UNLESS THERE IS
BETTER NEWS IN THE AUGUST AND
OCTOBER FORECAST BECAUSE THERE
ISN'T ENOUGH MONEY TO DO
EVERYTHING THAT IS IN THE
ENDORSED BUDGET. SO, DEPARTMENTS
HAVE AGREED. THEY WILL BE
PUTTING THESE IDEAS ON THE
TABLE. THAT IS STEP NUMBER ONE.
STEP NUMBER TWO IS EVALUATE ALL
OF THE TRADE-OFFS. FIGURE OUT
WHICH OF THEM WE HAVE NO CHOICE
BUT TO LIVE WITH AND PRIORITIZE
WHAT FEELS LIKE IS NECESSARY TO
CONTINUE FUNDING, AND STOP
FUNDING SOME OF THE THINGS THAT
ARE DEFINITELY WANTS, BUT THINGS
THAT WE CANNOT AFFORD.
>> THANK YOU FOR DIGGING DEEPER.
I DIDN'T WANT COLLEAGUES OR THE
PUBLIC TO LEAVE WITH THE
PERCEPTION THAT THESE ARE
MANDATES FOR THE NEXT PROPOSED
BUDGET. RATHER, THIS IS THE
EXERCISE IN WHICH TO UNCOVER
EVERY STONE AND CHECK EVERY
COUCH CUSHION. BACK TO YOU,
DIRECTOR.
>> [ INAUDIBLE ] SLIDE 13 IS
BEGINNING TO LOOK AT WHAT CAN WE
DO WITH THE REMAINING RESOURCES
THAT WE ARE ENSURING? THE MOST
STREAMLINED AND EFFICIENT
SPENDING OF THE RESOURCES THAT
ARE REMAINING TO THE CITY. I
WON'T GO THROUGH ALL OF THE
DETAILS, BUT JUST KNOW THAT WE
ARE LOOKING AT THIS RANGE OF
IDEAS AS PART OF THE MAYOR'S
BUDGET PROCESS, AND WE ARE
LOOKING AT PHASING OUT LOW
INCOME OR OUTDATED PROGRAMS
WHERE WE HAVE IDENTIFIED THEM.
MAKING PERMITS FASTER AND EASIER
TO NAVIGATE. IDENTIFYING
DEFICIENCIES IN THE WORKFORCE
AND IN PARTICULAR, LOOKING AT
VACANT POSITIONS AND DETERMINING
WHETHER WE REALLY NEED TO HIRE
PEOPLE INTO THOSE POSITIONS. THE
MORE PEOPLE WE HIRE INTO VACANT
POSITIONS, THE MORE PEOPLE ARE
THEORETICALLY SUBJECT TO
LAYOFFS, SO WE ARE LOOKING HARD
AT THE VACANCIES TO TRY TO
MINIMIZE THE NUMBER OF PEOPLE
THAT WERE HIRED AND THEN LAID
OFF IN THE COMING YEAR. THE LAST
SLIDE IS A WRAP UP SLIDE. THE
MAYOR INTENDS, OF COURSE, TO
PROSE -- PROPOSE A BALANCED
BUDGET THAT THE CITY IS REQUIRED
TO END ITS BUDGET DELIBERATIONS
WITH AND A BALANCED BUDGET.
BUDGET -- BALANCED MEETING WE
HAD TO LIVE WITHIN THE REVENUES
THAT WE CAN REASONABLY EXPECT.
THE CITY WILL HAVE AN UPDATE OF
THE LOOK AT REVENUES THAT WILL
SET THAT BALANCE IN AUGUST AND
ANOTHER ONE, AS I MENTIONED, IN
OCTOBER, IN THE MIDDLE OF YOUR
BUDGET DELIBERATIONS. THERE ARE
HARD DECISIONS BEFORE US, BUT WE
LOOK FORWARD TO PARTNERING WITH
YOU AND ABSOLUTELY INTERESTED IN
HEARING BOTH ABOUT THOSE ITEMS
IN THE ENDORSED BUDGET THAT ARE
YOUR TOP PRIORITIES AND ALSO ANY
IDEAS YOU HAVE FOR THINGS THAT
YOU WOULD PUT ON THE WANTS LIST
RATHER THAN MUST-HAVE LIST . IT
WOULD THEREFORE BECOME SUBJECT
TO REDUCTIONS OR OMISSION IN THE
MAYOR'S PROPOSED BUDGET. WITH
THAT, I'M HAPPY TO ANSWER ANY
QUESTIONS.
>> THANK YOU, MR. DIRECTOR.
COLLEAGUES, ANY QUESTIONS?
>> IT WAS A VERY SUSTAINED
PRESENTATION.
>> COUNCILMEMBER SAKA.
>> THANK YOU , , FOR THISECT TO
CONSOLIDATIONS, CUTS, NEW
REVENUE INCLUDING PROGRESSIVE
REVENUE OPTIONS. IN ADDITION TO
STREAMLINING, SIMPLIFYING,
CONSOLIDATION. I MENTIONED
CONSOLIDATION. BUT OPTIMIZING
FOR CURRENT PRIORITIES OF THIS
COUNCIL AND THIS EXECUTIVE, AS
WELL, SO I STRONGLY SUPPORT
THAT. I DON'T FORESEE A
SCENARIO WHERE WHATEVER WE PASS
-- OKAY. I'LL SPEAK FOR MYSELF.
WHATEVER I PUT ON DOESN'T
INCLUDE ALL OF THOSE THINGS,
BUT, I WANT TO GET YOUR THOUGHTS
ON HOW THE EXECUTIVE IS
CURRENTLY APPROACHING THE --
IT'S UPCOMING PROPOSED BUDGET
FOR DEAL. I ASK BECAUSE LAST
YEAR, THE EXECUTIVE PROPOSED A
PRELAW BUDGET FOR S.THAT CREATED
WRINKLES FOR US ON THIS COUNCIL,
AND WE ULTIMATELY RESOLVED
THOSE, BUT IT CREATED ADDITIONAL
CHALLENGES, AND I THINK HAVING
THE PRELAW BUDGET IN THE
INTEREST OF TRANSPARENCY -- THE
PUBLIC SHOULD UNDERSTAND -- WHAT
HAPPENS IF WHATEVER LEVEL -- IF
WE PUT A LEVY FORWARD BEFORE
VOTERS, WHAT WOULD HAPPEN, WHAT
THAT WOULD LOOK LIKE IF THAT
DOESN'T PASS. ALSO, WE NEED TO
DO OUR DUE DILIGENCE AND HAVE
ONE, ASSUMING THAT IT DOES PASS,
AS WELL. I'M CURIOUS TO BETTER
UNDERSTAND HOW THE EXECUTIVE IS
CURRENTLY THINKING ABOUT A
BUDGET PROPOSAL FOR A DEAL.
>> THANK YOU FOR THE QUESTION. I
KNOW THAT THE CITY HAS IN SOME
CASES, AS YOU MENTIONED, ASSUMED
THAT THE LEVY DOESN'T PASS, AND
IN OTHER CASES, HAVE ASSUMED THE
LEVY DOES PASS, AND THAT'S IN
PART INFORMED BY WHETHER THEY
ARE RENEWALS OF EXISTING LEVEES
THAT HAVE BEEN VOTED ON AND
PASSED FOR MANY YEARS. THAT IS A
JUDGMENT CALL, AND OTHER
FACTORS, AS WELL. THAT IS A
JUDGMENT CALL THAT IS TYPICALLY
MADE IN THE SUMMERTIME ABOUT HOW
TO FRAME AND SORT OF HAVE A
BACKGROUND ALTERNATIVE VERSION
FOR THE COUNCIL'S CONSIDERATION
IN EITHER EVENT, SO, IF THE
EXECUTIVE ASSUMES THAT THE
REVENUES WILL BE AVAILABLE IN
HIS PROPOSED BUDGET, WE WILL
ALSO BE PREPARING A -- WHAT DOES
IT LOOK LIKE IF THE VOTERS
DON'T APPROVE THE BALLOT
MEASURE, AND VICE VERSA. IF WE
DON'T INCLUDED, WE WILL PREPARE
A BACKGROUND WHAT IF SCENARIO
FOR WHAT HAPPENS IF THOSE
RESOURCES ARE APPROVED BY THE
VOTERS, WHICH WAIT WE WILL GO IN
THE PROPOSED BUDGET -- TO BE
DETERMINED.
>> CONTINGENCY PLANNING IS A
BURDEN FOR PURPOSES OF DRIVING
TRANSFER AND SAKE OF
FACILITATING EFFECTIVE
DECISION-MAKING, AND I THINK
HAVING BOTH OF THOSE PIECES OF
INFORMATION AS EARLY AS POSSIBLE
WOULD BE HELPFUL. THANK YOU. NO
FURTHER QUESTIONS OR COMMENTS,
CHAIR.
>> THANK YOU, COUNCILMEMBER
SAKA. COUNCIL PRESIDENT NELSON ,
FOLLOWED BY COUNCILMEMBER
KETTLE. DESPITE THE QUESTION IN
NUMBER ONE -- IS THE LAW
DEPARTMENT CONSIDERED -- IS THAT
CONSIDERED A PUBLIC SAFETY
RELATED DEPARTMENT?
>> THE LAW DEPARTMENT HAS BEEN
ASKED FOR THE 8% REDUCTIONS. AND
WE RECOGNIZE THAT THEY ARE BOTH
SEPARATELY ELECTED OFFICIAL
OFFICE AND A RELATIVELY SMALL
DEPARTMENT THAT HAS TWO BROAD
MISSIONS. ONE IS ON THE CIVIL
SIDE. ONE IS ON THE CRIMINAL
SIDE. BOTH OF WHICH HAVE
SIGNIFICANT CONSTRAINTS WHEN THE
CITY REDUCES SPENDING ON THE
CIVIL SIDE, WE END UP INCREASING
THE SAME NUMBER OF LAWSUITS HAVE
TO BE DEFENDED, AND THE SAME
TYPE OF LEGAL ADVICE IS NEEDED,
SO WE TYPICALLY GO TO OUTSIDE
LEGAL COUNCIL. IT'S NOT LIKE WE
DON'T AVAIL OURSELVES OF LEGAL
ADVICE. THAT MAKES IT VERY
CHALLENGING TO MAKE CHANGES ON
THE CIVIL SIDE, AND ON THE
CRIMINAL SIDE, THERE ARE ENTIRE
SETS OF RIGHTS AND
RESPONSIBILITIES THAT WE AS A
CITY HAVE IN TERMS OF ENSURING
DUE PROCESS AND MAKING SURE THAT
THE CRIMINAL LEGAL SYSTEM WORKS.
SO, THERE ARE REALLY LIMITED
OPPORTUNITIES AND SIGNIFICANT
DOWNSIDES FROM THE REDUCTIONS,
BUT HONESTLY, THAT IS TRUE IN
ONE FLAVOR OR ANOTHER FOR EVERY
DEPARTMENT THAT IS FUNDED IN THE
CITY. NO ONE IS FUNDED TO DO
SOMETHING THAT ISN'T IMPORTANT.
>> WELL, THEN I WILL MAKE THE
ARGUMENT THAT PUBLIC SAFETY, IF
WE ARE GOING TO BE -- WE DO NEED
PROSECUTORS TO DO THE WORK, AND,
YOU KNOW, THAT OUR OFFICERS DO
ON THE STREET TO PROSECUTE CASES
THAT MERIT IT. I'M THINKING
ABOUT -- THERE WAS A HUGE TRUCK
BUST RECENTLY OR TWO OF THEM.
AND I WOULD MAKE THE CASE THAT
THAT IS VERY MUCH PART OF THE
PUBLIC SAFETY APPARATUS . THE
CITY IS MAKING SURE THIS
PROSECUTORS -- THAT WE HAVE
ENOUGH PROSECUTORS AND THAT THEY
ARE ADEQUATELY PAID BECAUSE
OTHERWISE, THEY CAN GO WORK
SOMEPLACE ELSE, AND ON THE CIVIL
SIDE, I WOULD NOTE THAT THE LAW
DEPARTMENT OR THE CAO IS
BURDENED THIS YEAR WITH
RESPONDING TO CUTS AND CHAOS
COMING FROM DC, AND HAVE
DEDICATED ATTORNEYS TO WORK WITH
INDIVIDUAL DEPARTMENTS, AND THAT
IS A WHOLE NEW BODY OF WORK THAT
THEY ARE HAVING TO DEAL WITH,
SO, I AM CONCERNED ABOUT
REQUESTING AN 8% CUT TO THAT
DEPARTMENT FOR THOSE TWO
REASONS. SO, THAT WAS A
QUESTION. THAT WAS NOT MY
COMMENT. MY COMMENT WAS ON THE
LIST OF THINGS WE CAN DO TO KEEP
THE BALANCE -- THE BUDGET
BALANCED, AND I'M REALLY HAPPY
TO SEE THE LIST ON SLIDE 13
WHERE IT SAYS IMPROVING CITY
OPERATIONS AND THE FIRST ONE IS
PHASING OUT LOW IMPACT OR
OUTDATED PROGRAMS. ABSOLUTELY
100%, WE HAVE TO DO THAT. I
WOULD ASSUME THAT THAT'S ALWAYS
HAPPENING, THAT EVALUATION OF
PROGRAMS AND AS THE OVERSIGHT
BODY OF THE CITY, THE COUNCIL
SHOULD BE ALWAYS LOOKING AT
THAT, AS WELL. SO, THAT IS GOOD,
AND THAT IS PARTLY WHY THE
SLIDES ARE SO IMPORTANT THAT WE
REQUESTED A RECORD NUMBER OF
SLIDES. EXECUTIVE DEPARTMENTS.
THOSE SLIDES WERE DESIGNED TO
GET AT, WHAT ARE YOU DOING, AND
IS IT WORKING, AND WHAT ARE THE
PERFORMANCE METRICS, ET CETERA.
I'M ONLY TRACKING MY ONE SLIDE,
WHICH IS ON UNDER SPEND AND THE
LONG LIST OF WHAT ARE THE
DEFERMENTS THAT HAVE THE
GREATEST NUMBER OF CONTRACTS?
THAT IS DUE IN JULY AND IF THAT
COULD BE ADVANCED OR ACCELERATED
OR WHATEVER, THAT WOULD BE GREAT
BECAUSE THAT DOES HELP US INFORM
IT I'M SURE EVERY COUNCIL
MEMBER THAT BUT IN THIS SLIDE --
THAT GETS AT PERFORMANCE, WOULD
THINK THE SAME THING.
>> I APPRECIATE THE OPPORTUNITY
TO WORK IN PARTNERSHIP WITH YOU
AND WE WILL DO EVERYTHING WE CAN
TO PROVIDE RESPONSES AND MEET
THOSE DEADLINES WHERE WE CAN. I
JUST WANT TO EMPHASIZE SOMETHING
THAT MADAM CHAIR STRAUSS BROUGHT
UP. THIS EXERCISE IN ASKING TO
PALMS BUT REDUCTIONS ON THE
TABLE AS AN OPPORTUNITY TO
EVALUATE THE EFFECTS. IT IS NOT
THE DECISION. WE WILL CERTAINLY
TAKE INTO CONSIDERATION YOUR
PERSPECTIVE ON THAT. [ INAUDIBLE
] SHARES THAT CONCERN FOR THE
OBLIGATIONS FOR THE LAW
DEPARTMENT. HE ALSO SHARES
CONCERNS FOR THE PARKS
DEPARTMENT , AS YOU DO, AS WELL,
AND ALL THE OTHER DEPARTMENTS
THAT ARE DOING THEIR WORK WITH
THIN RESOURCES AS IT IS NOW, AND
IT WOULD DEFINITELY MEAN
DELIVERING FEWER SERVICES TO
PEOPLE IF WE GO UP TO AS MUCH AS
8% OF REDUCTIONS. WE WILL WEIGH
ALL OF THOSE TRADE-OFFS, PROPOSE
SOMETHING. HE WILL HAVE A FRESH
LOOK AT IT YOURSELF WHEN YOU
TAKE A LOOK AT THE BUDGET THIS
FALL.
>> THANK YOU. COUNCILMEMBER
KETTLE FOLLOWED BY COUNCILMEMBER
RIVERA.
>> THANK YOU, CHAIR STRAUSS.
THANK YOU, DIRECTOR EDER, FOR
COMING BACK. I REALLY APPRECIATE
THE WORK GOING INTO THIS. THERE
WERE ONE ON ONES ON DIFFERENT
TOPICS AND THE LIKE. SOME OF THE
KEY THINGS HERE. REMAINING
UNCERTAINTY ON SLIDE FIVE.
FORECASTED UNCERTAINTY IS KEY.
WE HAVE BUSINESSES NOW. MAJOR
AMERICAN BUSINESSES THAT DO NOT
DO A FORECAST BECAUSE HOW
CANDIDATE WITH THE UNCERTAINTY
ESSENTIALLY COMING OUT OF THE
FEDERAL GOVERNMENT, I WILL KEEP
MY FINGERS CROSSED REGARDING
CAUTIONARY MEASURES. THE
INFLATIONARY COST PIECE IS
EXTREMELY IMPORTANT, SO THANK
YOU FOR LISTING THAT. ON THE
NEXT SLIDE, I UNDERSTAND THE
GENERAL FUND PAYROLL EXPENSE
FUND TAX DEFICIT BUCKETS HERE --
THE PILLARS -- I JUST WANTED TO
NOTE -- BECAUSE I THINK IT'S
WORTH BEING SAID, AND THIS KIND
OF GOES TO THE HOPE -- OR IOS 8
WISH STRATEGY. IT IS NICE TO
HAVE A WISH STRATEGY, BUT THEN
THERE IS REALITY. INVOLVING
EMPLOYMENT PATTERNS. YOU KNOW,
WE HAVE TO BE MINDFUL. FOR EVERY
ACTION, THERE IS A REACTION.
RELATED TO EMPLOYMENT HERE IN
UNMUTE, PUBLIC SAFETY IS HUGE .
IN TERMS OF GETTING PEOPLE BACK
DOWNTOWN FOR BUSINESSES NOT TO
SEND THEIR PEOPLE OVER TO THE
EAST SIDE, FOR EXAMPLE, AND SO
WE NEED TO BE MINDFUL OF THAT,
AND I APPRECIATE YOU HAVING THE
BOAT INVOLVING EMPLOYMENT
PATTERNS BECAUSE I THINK, AGAIN,
WE AS A GROUP NEED TO UNDERSTAND
THAT FOR EVERY ACTION, THERE IS
A REACTION, AND SO WE NEED TO BE
PLANNING ON THINGS, BUT THEY MAY
NOT BE COMING OUT. AND IN
GENERAL, BY THE WAY, I'M ALWAYS
WORKING WITH THE PUBLIC SAFETY
PIECE IN TERMS OF SUPPORT TO OUR
BUSINESSES BECAUSE LIKE I SAID
BEFORE, IN OUR VISION FOR THE
COMMITTEE, YOU KNOW, WE NEED
BUSINESSES -- BUSINESSES DON'T
NEED PRIVATE SECURITY, FOR
EXAMPLE. THAT IS REALLY
IMPORTANT. SO, THANK YOU FOR
PUTTING THAT INTO THE SLIDE DECK
HERE. ON SLIDES EIGHT AND NINE,
RAPID RESPONSE IMMEDIATE STEPS.
IN MY MIND, THIS IS ALL
RESPONSIBLE, SO, FOR MAYOR
HARRELL YOURSELF AND THE TEAMS
INVOLVED, THIS IS GOOD
GOVERNANCE FOR US ALL, SO THANK
YOU FOR HIGHLIGHTING THOSE
PIECES AND ONE QUESTION IS WHAT
ELSE THERE COULD BE. I DON'T
KNOW, BUT I THINK THE RAPID
RESPONSE IMMEDIATE STEPS ARE
IMPORTANT. SLIDE 12. I
UNDERSTAND AND SUPPORT THE
GUIDANCE. I WILL ADD, BASED ON
COUNCIL PRESIDENT'S COMMENT
THAT IF A DEPARTMENT REPORTS TO
THE CHAIR OF THE PUBLIC SAFETY
COMMITTEE -- THAT IS A PUBLIC
SAFETY DIFFERENT. JUST TO BE
CLEAR ON THAT POINT. AND IN THE
LAST -- OUT OF ALL OF THOSE
COMMENTS I DO HAVE ONE QUESTION
AND IT COMES TO SLIDE 13. AND
IMPROVING CITY OPERATIONS --
I'VE HAD MULTIPLE MEETINGS ON
A.I. I'VE HAD ONE WITH
MICROSOFT OVER IN REDMOND. I'VE
HAD ONE HERE IN DISTRICT 7 WITH
AMAZON. AND I'VE ALSO HAD ONE
ON THE SAFETY OF A.I. WITH THE
I.T. TEAM. MR. LLOYD AND OTHER
KEY PEOPLE. SOME FROM THE
MAYOR'S OFFICE AND THE LIKE.
THERE IS DEFINITELY CHALLENGES
WITH A.I., WHICH SHOULDN'T
SCARE ALL OF US, AS IT IS
RAMPING UP IN ITS CAPABILITIES.
NOT JUST IN TEXT, BUT ALSO VIDEO
AND THE LIKE. BUT THERE'S ALSO
GREAT POSSIBILITIES, AND SINCE
THIS IS THE TOPIC DU JOUR AT
THEIR IN TERMS OF HOW THE
COMMERCIAL WORLD IS USING A.I.,
AND FRANKLY, THIS CAN BE AN
IMPACT, BECAUSE I'VE ALREADY
HEARD ABOUT PEOPLE THAT HAVE
BEEN LAID OFF BECAUSE ALGORITHMS
OR A.I. -- ALGORITHMS ARE
SAYING, HEY, WE CAN DO THIS JOB
VIA A.I. SO, THERE IS THAT
IMPACT, BY THE WAY, WHICH IS
ANOTHER PIECE. SPECIFICALLY,
HERE, IN TERMS OF IMPROVING CITY
OPERATIONS, THERE MAY BE SOME
REAL POSSIBILITIES TO APPROVE
CITY OPERATIONS THAT WE ARE JUST
NOT THINKING OF. I AM NOT A
TECHIE MYSELF. I'M NOT A
COMPUTER -- YOU KNOW -- I DON'T
-- I DON'T HAVE GEEKWIRE OR
ANYTHING LIKE THAT. [ INAUDIBLE
] IN MY PAST LIFE , I RECOGNIZE
THIS IS IMPORTANT. I WANT TO
ASK, IS THAT AN AREA YOU'RE
LOOKING IN TERMS OF IMPROVING
CITY OPERATIONS? HOW TO LEVERAGE
A.I. TOOLS?
>> I WILL SAY, PERHAPS DIRECTOR
NOBLE IS CLOSER TO THIS THAN I
AM. THE CAO OFFICE AND CENTRAL
STAFF ARE EMBARKING ON AN EFFORT
THAT STARTED AT THE END OF LAST
YEAR TO LOOK AT USING A.I. AS A
TOOL TO COMPARE AND CONTRAST
SOME OF THE SUPPORT DEPARTMENT
AS A PILOT PROJECT TO SEE HOW
OUR -- EFFICIENT OUR STAFFING
AND BUDGETING ARE FOR DUTIES IN
SEATTLE. [ INAUDIBLE ] I AM NOT
100% CLEAR ON THE TIMING FROM
THAT WORK, BUT IT IS A PROCESS,
ONE AMONG MANY, THAT OUR CITY IS
INVESTIGATING TO MAKE SURE WE
ARE DOING THINGS AS CLEANLY AS
POSSIBLE AND AT ANY RATE, THE
FIRST STEP IS TO FIGURE OUT HOW
WE MEASURE UP AGAINST OTHER
MUNICIPALITIES.
>> THANK YOU. BY THE WAY, LLOYD,
HE HAS SOME PEOPLE WHO ARE SHARP
ON THIS AND SINCE MY CHIEF OF
STAFF IS ON HIS TWO WEEK [
INAUDIBLE ] WITH THE AIR
NATIONAL GUARD -- THERE'S A
REASON I'M ALWAYS HAVING THESE
MEETINGS ON A.I. BECAUSE MY
CHIEF OF STAFF HAS FORESIGHT. I
WILL OFFER HIM TO ASSIST ON
THINGS A.I. HOPEFULLY HE'S NOT
WATCHING SEATTLE CHANNEL RIGHT
NOW.
>> I WILL NOTE THAT WE HAVE 15,
16 MINUTES LEFT, AS LONG AS WE
CAN MOVE THROUGH THE TWO VOTING
ITEMS QUICKLY. I SEE VICE CHAIR
RIVERA AND COUNCILMEMBER RINCK
WITH THEIR HANDS UP. OVER TO
YOU.
>> THANK YOU, AND THANK YOU
DIRECTOR EDER, FOR BEING HERE. I
WANT TO THANK YOU FOR BEING
RESPONSIVE WHEN I REACH OUT WITH
QUESTIONS RELATED TO BUDGET
ISSUES FOR THE DEPARTMENTS THAT
I HELPED OVERSEE AS PART OF MY
COMMITTEE BOARD. THANK YOU FOR
ALWAYS BEING VERY RESPONSIVE. I
APPRECIATE THAT. WE DON'T
ALWAYS AGREE, BUT WE ARE
PARTNERS AND WE WORK TOGETHER,
SO THANK YOU FOR THAT. I TOO
WANT TO LEND MY APPRECIATION FOR
THE WORK THAT HAS BEEN DONE
HERE, PARTICULARLY SLIDE 13,
BECAUSE THIS IS WHAT I'M ALWAYS
TALKING ABOUT IN TERMS OF GOOD
GOVERNANCE AND MAKING SURE THAT
WE ARE ACCOUNTABLE TO OUR
CONSTITUENTS. THE TAXPAYERS, ON,
YOU KNOW, THE WORK THAT WE DO,
MAKING SURE THAT WE ARE -- THAT
THE PROGRAMS THAT WE ARE
SUPPORTING ARE THOSE THAT
ACTUALLY HAVE IMPACTS, AND IF
THEY DON'T, WE NEED TO SHIFT TO
SOMETHING DIFFERENT, AND THAT
SPEAKS TO THAT -- THIS SLIDE
SPEAKS TO THAT AND I VERY MUCH
APPRECIATE THAT. I'LL ALSO SAY
THAT I APPRECIATE THE
CONVERSATION ABOUT THE
ACROSS-THE-BOARD CUTS OR
PERCENTAGE CUTS. WE KNOW -- INTO
YOUR COMMENT ABOUT SERVICES --
FOLKS NEED TO KNOW THAT IT WILL
IMPACT SERVICES. I ALSO THPRIOR
WITHIN THOSE SERVICES, RIGHT?
BECAUSE THERE ARE SOME SERVICES
WE ARE IN CHARGE OF TO DO AND
OTHERS THAT WE DO BECAUSE WE
VERY MUCH WANT TO DO, BUT WE
ARE, YOU KNOW, NOT ALL THE
SERVICES ARE CREATED EQUAL IF
YOU WILL IN TERMS OF OUR
RESPONSIBILITY TO CONSTITUENTS.
IN THE CITY, SO WE DO NEED TO
PRIORITIZE THE SERVICES, EVEN
WHILE WE ARE LOOKING AT THAT
ACROSS-THE-BOARD TO MAKE SURE WE
ARE NOT INADVERTENTLY CUTTING A
SERVICE THAT IS MORE ESSENTIAL
THAN OTHERS. WE HAVE TAKE
CONVERSATION TODAY ABOUT PUBLIC
SAFETY. THAT IS ONE AREA, AND
THEN THERE ARE OTHER AREAS. SO,
JUST WANTED TO AT LEAST TALK
ABOUT THAT. WE ALSO NEED TO
PRIORITIZE THE ACROSS-THE-BOARD
PIECES. BUT OVERALL, I AM REALLY
HAPPY TO SEE THAT, YOU KNOW,
THESE THINGS ARE BEING CALLED
OUT, AND IT IS GOING TO BE A
TOUGH EXERCISE FOR ALAND IT IS
ONE THAT IS NECESSARY, AND THEN,
IN TERMS OF, YOU KNOW, THE
FEDERAL BUDGET CUTS, JUST TO BE
TRANSPARENT AND HONEST WITH THE
CONSTITUENTS THAT WE ARE NOT
GOING TO BE ABLE TO BACKFILL
EVERYTHING WE ARE LOSING FROM
THE FEDERAL GOVERNMENT, SO
ENSURING THAT WE ARE DOING NOT
JUST PRIORITIZATION THERE AND DO
WHAT WE CAN, BUT DO WHAT WE CAN
TO HELP CONSTITUENTS, BUT ALSO,
WHAT IS OUR STRATEGY FOR WORKING
WITH OUR OFFICE OF
INTERGOVERNMENTAL AFFAIRS TO
WORK WITH OUR DELEGATION TO
PROVIDE SUPPORT TO THE
DELEGATION TO MAKE SURE THAT WE
ARE WORKING AT THE FEDERAL LEVEL
TO LEND OUR VOICES AGAINST THOSE
CUTS AT THE FEDERAL LEVEL.
THERE'S A LOT I'M HEARING, AND
I KNOW, CONSTITUENTS, AS WE ALL
ARE, COLLECTIVELY, WHAT IS
HAPPENING AT THE FEDERAL LEVEL
IS EGREGIOUS AND WE CAN GET INTO
A CONVERSATION AT A LATER TIME
ABOUT THAT, THAT WE NEED TO MAKE
SURE THAT WE ARE LETTING THE
PUBLIC KNOW THAT WE ARE NOT JUST
SITTING HERE TAKING IT. THAT WE
ARE GOING TO BE ACTIVELY [
INAUDIBLE ] AND WE PROBABLY ARE,
AND WE DON'T HAVE INFORMATION
ABOUT THAT. I NOTE THAT SOME OF
THIS CONVERSATION IS ABOUT
DIRECTLY, BUT INDIRECTLY, IT HAS
A HUGE IMPACT TO HAVE THOSE
CUTS, SO WHAT ARE WE DOING AS A
CITY TO MAKE SURE WE ARE WORKING
WITH OUR LOBBYISTS IN DC, FOR
INSTANCE, AND OUR CONGRESSIONAL
DELEGATION TO TRY TO BEAT BACK A
LOT OF THOSE CUTS. YOU KNOW, AS
WE CAN. I WOULD LIKE TO HEAR
MORE ON THAT BECAUSE I KNOW OUR
CONSTITUENTS ARE AFRAID AND I AM
JUST AFRAID ABOUT WANTING FOR US
TO BACKFILL WHEN WE ARE NOT ABLE
TO -- WHILE WE WOULD LOVE TO. AS
PART OF THIS BUDGET
CONVERSATION, I THINK MORE
INFORMATION ABOUT WHAT WE ARE
DOING TO TRY TO BEAT THAT BACK
IS IMPORTANT, SO THANK YOU,
THANK YOU, CHAIR.
>> THANK YOU, VICE CHAIR.
COUNCILMEMBER RINCK.
>> THANK YOU, CHAIR. COLLEAGUES,
THIS IS MY FIRST TIME AS PART OF
THIS BODY WORKING ON THE CITY'S
BUDGET, BUT THIS IS NOT MY FIRST
TIME WORKING IN BUDGETS BY A
LONG SHOT WITH MY MOST RECENT
EXPERIENCE WORKING ON UW'S $10
MILLION BUDGET AND WHAT IS CLEAR
IS WHAT IS BEFORE US IS A DEEPLY
CHALLENGING SITUATION AHEAD OF
US. REVENUE IS NOT COMING IN AS
EXPECTED. WE ARE LOOKING AT A
CHALLENGING BUDGET ENVIRONMENT
THAT COULD MEAN DEVASTATING CUTS
FOR OUR COMMUNITY. AND OVER THE
LAST SEVERAL MONTHS AS WE HAVE
BEEN TAKING IN NUMBERS FROM THE
REVENUE FORECAST, NUMBERS, THE
CITY'S BUDGET HAS BEEN SOBERING
FOR ME. THIS IS NOT A GOOD
SITUATION, TO PUT IT LIGHTLY,
AND WE CAN ASSUME THIS SITUATION
WILL GET WORSE IN THE AUGUST
FORECAST WITH THE LIKELIHOOD OF
FEDERAL CUTS TO VARIOUS LOCAL
PROGRAMS REMAINS HIGH. I JUST
THIS WEEKEND I HEARD ABOUT TWO
ADDITIONAL PROGRAMS THAT ARE
GOING TO BE CUT. THE RUNAWAY
HOMELESS YOUTH GRANT FUNDING CUT
WITH SOME OF OUR PROGRAMS
SERVING HOMELESS YOUTH, LIKELY
NEEDING TO WIND DOWN.
ADDITIONALLY, SOME OF OUR
PROGRAMS IN SPOKANE LOSING A
GRANT FOR CRITICAL HEALTH
SERVICES. AS WE CRAFT THIS
BUDGET, IT IS VITAL FOR US TO
PROTECT ESSENTIAL SERVICES AND
PROGRAMS INCLUDING FOOD ACCESS,
HUMAN SERVICES AND SUPPORT FOR
LOCAL SMALL BUSINESSES WHO ARE
THE BACKBONE OF OUR LOCAL
ECONOMY. THERE IS A HEADLINE IN
THE SEATTLE TIMES THIS MORNING
THAT WASHINGTON HOUSEHOLDS
CAN'T AFFORD THE BASICS EVEN IF
THEY'RE NOT DEFINITIONALLY
FOUR. -- POOR. THEY CITED IN
KING COUNTY, AND ADULT WOULD
NEED MORE THAN $50,000 TO AFFORD
BASIC NECESSITIES. THAT IS
SIGNIFICANTLY MORE THAN THE
STATE AVERAGE FOR A FAMILY OF
FOUR WITH TWO YOUNG CHILDREN.
THEY WOULD NEED TO EARN $138,000
PER YEAR BEFORE TAXES. I BRING
THESE POINTS UP TO SAY, YES. OUR
BUDGET AND THE DEFICIT AHEAD OF
US IS A FRIGHTENING ONE. IT
DOESN'T LOOK GOOD. BUT THERE IS
A LARGER PICTURE HERE THAT I
APPRECIATE, DIRECTOR EDER
OUTLINING. THERE IS A LARGER
PICTURE HERE RELATED TO THE
FEDERAL SITUATION AND THE
WORSENING ECONOMIC SITUATION AS
WE GRAPPLE WITH AN AFFORDABILITY
CRISIS. I CAN APPRECIATE THE
ATTENTION THE EXECUTIVES HAVE
GIVEN AND MY COLLEAGUES HAVE
GIVEN TO THE MATTER OF IMPROVING
OUR CITY OPERATIONS BUT THAT
CAN'T BE OUR ONLY STRATEGY AND
PATH FORWARD. IT SIMPLY CAN'T
BE. WE CAN'T EFFICIENCY OUR WAY
OUT OF THIS, AND SO, MY QUESTION
IS , UNDERSTANDING ONE OF THE
OTHER POINTS RAISED IN TERMS OF
OUR STRATEGY MOVING FORWARD IS
TO EVALUATE POTENTIAL REVENUE
ENHANCEMENTS AND SO JUST FOR THE
PURPOSES OF OUR CONVERSATION
TODAY, COULD YOU PROVIDE US A
REFRESHER ON WHAT THE CITY'S
OPTIONS ARE ON THAT FRONT?
>> CERTAINLY. AND I KNOW I'M
NOT GOING TO DO JUSTICE TO THIS.
THERE WILL BE OTHER
OPPORTUNITIES FOR COUNCIL TO
DISCUSS THIS. WE ARE GRANTED A
NEW TAXING AUTHORITY. LET ME
START BY SAYING, WE HAVE VERY
LIMITED OPTIONS. WE HAVE A NEW
AUTHORITY TO INCREASE THE SALES
TAX BY .1%. THAT WAS APPROVED BY
THE LEGISLATURE AND SIGNED INTO
LAW BY THE GOVERNOR I THINK A
MONTH OR SO AGO. SIX WEEKS OR
SO. THAT WOULD GENERATE
SOMETHING LIKE $38 MILLION IN
ONGOING REVENUE. THERE IS A POT
OF MONEY THAT THE STATE
ESTABLISHED -- ABOUT $100
MILLION STATEWIDE FOR
COMPETITIVE GRANTS THAT THE CITY
ABSOLUTELY WILL BE GOING AFTER
AND IS WELL POSITIONED TO GET
SOME OF THOSE RESOURCES, WHETHER
THAT IS 1 MILLION OR 99 MILLION
OR SOMETHING -- MUCH MORE LIKELY
SOMETHING IN BETWEEN. I DON'T
HAVE A PREDICTION OF AT THIS
POINT. THE CITY CAN GO TO THE
VOTERS FOR PROPERTY TAX
MEASURES. WE HAVE BEEN DOING
THAT IN VERY TARGETED LEVIES. WE
HAVE THE FAMILIES IN EDUCATION
LEVY COMING UP IN SEPTEMBER. IT
IS A RENEWAL OF AN EXISTING
LEVY, BUT WE COULD ASK FOR MORE
GENERAL PROPERTY TAX TO ADDRESS
THE GENERAL GOVERNMENT NEEDS
THAT WOULD HAVE TO BE VOTED ON
BY THE PEOPLE AND APPROVED BY
VOTERS. IT IS NOT SOMETHING WE
CAN ENACT WITHOUT THE VOTE OF
THE PEOPLE. THERE'S BUSINESS
AND OCCUPATION TAX. WE ALREADY
HAVE A QUITE SUBSTANTIAL
BUSINESS AND OCCUPATION TAX
COMPARED TO OUR PEERS WITHIN THE
REGION. WE COULD INCREASE THAT.
WE CAN'T DO IT CANCEL MEDICALLY
-- COUNCILMATICALLY. WE COULD GO
TO THE PEOPLE AND ASK FOR A
BALLOT TO BE APPROVED THAT
REQUESTS NO TAX. THERE ARE
TRADE-OFFS THERE. AS WE
MENTIONED, SMALL BUSINESSES AND
MEDIUM AND LARGE -SIZED
BUSINESSES ARE ALREADY TAXED
MORE IN UNMUTE FOR THE BNO TAX
THAN OTHER CITIES IN THE REGION.
WE HAVE A PAYROLL EXPENSE TAX
CURRENTLY IN PLACE WHERE, TO MY
KNOWLEDGE, THE ONLY CITY THAT
HAS A PAROL EXPENSE TAX IN THE
STATE. WE COULD THEORETICALLY
INCREASE THAT TAX. I DON'T
ANTICIPATE THAT WILL BE
SOMETHING THAT THE MAYOR WILL BE
INTERESTED IN PURSUING. ALL
IDEAS ARE ON THE TABLE. AND IN
THE COMING MONTHS, WE WILL MAKE
SOME DECISIONS. WE WILL MAKE
THEM TOGETHER.
>> JUST A COUPLE OF THINGS I
MIGHT ADD. ONE, ON THE PROPERTY
TAX SIDE, IT'S A BURDEN TO
RECOGNIZE THAT THERE IS A
CONSTRAINT OR LIMITATIONS ON THE
TOTAL PROPERTY TAX BILLED THE
CITY CAN IMPOSE ON RESIDENTS AND
THERE IS A GOOD DEAL OF
HEADROOM, IF YOU WILL, LEFT, AND
THE NEIGHBOR OF $150-$200
MILLION PER YEAR, BUT IT'S NOT
WITHOUT BOUNDS, AND WE WILL BE
CONSUMING IT, IF YOU WILL WITH
RENEWALS -- INCREASING RENEWALS
OF LEVEES. I SAY THAT ONLY TO
GET TO THIS. NO VALUE JUDGMENT.
JUST RECOGNIZE THAT. ANOTHER
OPTION THAT THIS -- SORRY -- IS
GOING TO SAY THIS COUNCIL HAS
CONSIDERED IS THE POTENTIAL CITY
BASED CAPITAL GAINS TAX. IT IS
UNPROVEN AS A REVENUE STREAM.
THERE ARE POTENTIALLY SHE'S
THERE, BUT THAT IS ONE THAT HAS
BEEN DISCUSSED. AND AS WE BRING
YOU THIS DISCUSSION, THAT IS
SOMETHING WE WOULD ADD ABOUT
THIS, AS WELL. BEYOND THAT,
CALVIN CHOW REMINDED ME THE
OTHER DAY THAT THERE IS AN
OPTION FOR AN INCREASED SALES
TAX FOR TRANSIT PURPOSES --
BUDGET TRANSIT PURPOSES. THAT IS
NOT GOING TO SOLVE THE GENERAL
PROBLEM BUT IN TERMS OF THE
CONFERENCE OF OPPORTUNITIES THAT
ARE OUT THERE, I DO RECOGNIZE
THAT THE SALES TAX OPTIONS ARE
INHERENTLY REGRESSIVE. BUT,
AGAIN, WE HAVE VERY LIMITED
TOOLS. COUNCILMEMBER RINCK
ACKNOWLEDGED THAT THE NEEDS ARE
IN THE EXTREME. THAT WOULD BE A
CHALLENGE.
>> THANK YOU BOTH FOR LAYING
THAT OUT FOR US AND THANK YOU,
CHAIR, FOR CARVING OUT TIME AND
COMMITTEE FOR HAVING DEDICATED
COMPOSITIONS RELATED TO
EXPLORING REVENUE OPTIONS AND
ANY REVENUE PROPOSALS THAT COME
OUR WAY, AND I WOULD URGE MY
COLLEAGUES TO KEEP AN OPEN MIND
AS WE CONSIDER THESE PROPOSALS.
I KNOW OUR OFFICE HAS BEEN IN
CONVERSATION WITH A NUMBER OF
KING COUNTY COUNCIL MEMBER
OFFICES AROUND JOINT REVENUE
STRATEGIES. I THINK WE ARE ALL
GRAPPLING WITH THE REALITY THAT
FROM A RESIDENCE PERSPECTIVE, WE
DON'T THIS IS REALLY CARE IF IT
IS FUNDED FROM CITY DOLLARS OR
COUNTY DOLLARS. WHAT THEY SEE IS
SERVICES GOING AWAY, AND SO
FIGURING OUT HOW WE COME
TOGETHER AS LOCAL GOVERNMENTS TO
SPEAK WITH A SHARED VOICE AND
COME UP WITH A SHARED REVENUE
STRATEGY TO ADDRESS THE NEW
CHALLENGES THAT ARE AHEAD OF US.
THANK YOU, CHAIR.
>> THANK YOU, COUNCILMEMBER
RINCK. WE HAVE TWO MORE MINUTES
AND THEN WE'VE GOT TO DO TWO
VOTES IN 15 MINUTES. MY LAST
COMMENTS ON THIS PRESENTATION,
DIRECTOR EDER, THANK YOU FOR
BEING PRESENT. THIS IS SOMETHING
THAT I WOULD HOPE WE AVOID THE
TRANSPORTATION LEVY SITUATION
FROM T
TIME I HAVE SEEN SUCH A THING.
THE TEAM WORKED TOGETHER QUICKLY
TO FIX AND SOLVE IT. I WOULD
PREFER TO AVOID IT. COLLEAGUES,
I WILL ALSO SHARE WITH YOU THAT
I HAVE BEEN RECEIVING ABOUT ONCE
TO TWICE A WEEK -- HELP FOR
FUNDING HAS BEEN CUT. DO YOU
HAVE FUNDING TO OFFSET OUR CUTS?
AND THE NEED IS REAL, AND I HAVE
TO TELL FOLKS THAT WE ALSO HAVE
A BUDGET PROBLEM HERE. AND AS
COUNCILMEMBER RINCK MENTIONED,
WE WILL HAVE AN ENTIRE COMMITTEE
RESERVED FOR REVENUE. WITH THAT,
ANY FINAL COMMENTS ON THIS
PRESENTATION? I'M SEEING NONE,
SO LET'S MOVE ON TO THE THIRD
AGENDA ITEM. CLERK, WILL YOU
PLEASE READ THE SHORT TITLE INTO
THE RECORD?
>> ITEM 120979. ADOPTING THE
BUDGET FOR 2024-2029, FOR A
COUNCIL VOTE.
>> I SEE BEN NOBLE HAS HIS HAND.
IF I CAN INTRODUCE THE SUBJECT
MATTER FIRST. WE ARE
TRANSITIONING TO THE SECOND OR
THE LAST QUARTER OF THIS
MEETING. WE HAVE TWO VOTES
BEFORE US. WHEN I MEET WITH THE
CBO AND STAFF DIRECTOR WEEKLY TO
DISCUSS HOW TO ADDRESS THE
SITUATION, THIS IS AN EXAMPLE OF
SOME OF THAT WORK. TODAY, WE
WILL HAVE THE EXCEPTIONS
ORDINANCE FOLLOWED BY AN
ORDINANCE TO REPAY BONDS EARLY.
THIS IS, AS YOU WILL SEE IN THIS
CONVERSATION, CONCESSIONS HAVE
DROPPED FROM A HIGH NUMBER OF
INCIDENTS WITH A HIGH PHYSICAL
AMOUNT TO A LOW NUMBER OF
INCIDENTS WITH A SMALL PHYSICAL
AMOUNT AS WELL AS THE ORDINANCE
TO REPAY THE BONDS EARLY. WE ARE
USING INTERESTS FROM OTHER BONDS
TO PAY OFF A BOND. WITH THAT,
OVER TO YOU, DIRECTOR NOBLE.
>> AS WE TRANSITION INTO THIS
ISSUE AND WORK ON LOGISTICS, I
WANT TO CORRECT AN OVERSIGHT ON
MY PART. [ INAUDIBLE ] I
NEGLECTED TO CALL OUT THE ROLE.
IT IS A LOGISTICAL CHALLENGE OF
AN EPIC ORDER. WE PLAY AN
IMPORTANT QUALITY CONTROL ROLE.
I GOT THIS PRESENTATION TO YOU
IN SHORT ORDER. I WANT TO
ACKNOWLEDGE THAT. I'M GOING TO
TURN THIS OVER TO TOM AND
STIPULATE MYSELF FOR SOME OTHER
DUTIES BUT LOOK FORWARD TO THE
WORK AHEAD.
>> THANK YOU. OVER TO YOU, TOM.
>> CHAIR STRESS, HELLO AGAIN,
VICE CHAIR RIVERA, MEMBERS OF
THE BUDGET COMMITTEE. MEMBERS OF
CENTRAL STAFF, I'M GOING TO
GIVE A BRIEFING AND THEN A
POSSIBLE VOTE FOR COUNCIL BILL
120979 WHICH IS THE 2000 FOR
EXCEPTIONS ORDINANCE. THIS IS A
REPEAT OF THE PRESENTATION FROM
FINANCE NATIVE COMMUNITIES AND
TRIBAL COMMITTEES. IT IS THE
SAME AS IN TATIAN ALTHOUGH I'M
GOING TO GIVE IT A LETTER TOUCH
FOR THE SECOND BRIEF. I'M GOING
TO COVER VERY QUICKLY THE
SEQUENCE HE -- SEQUENCING FOR
THIS PROCESS AND GO OVER BUDGET
EXCEPTION TRENDS AS CHAIR STRESS
MENTIONED AND DIG INTO THE BILL,
WHICH IS A VERY SMALL BILL.
>> I WOULD SAY, LET'S JUST JUMP
TO SLIDE FORWARD SINCE WE HAVE
ALREADY DISCUSSED IN THE LAST
TWO PRESENTATIONS, WE HAVE
TALKED ABOUT THE NEXT STEPS
ALREADY. OR SLIDE THREE, SORRY.
>> TRENDS.
>> THIS IS JUST COVERING THE
HISTORY OF THIS TYPE OF BILL.
THE EXCEPTIONS BILL IS A
TECHNICAL CLEANUP BILL THAT IS
PRESENTED TO COUNCIL FOR
CONSIDERATION AFTER THE BUDGET
IS COMPLETE. ESSENTIALLY, THE
BUDGET EXCEPTIONS ARE AREAS
WHERE DEPONENTS OVERSPENT THEIR
ANNUAL BUDGET ALLOCATION, SO,
THIS IS AN ACTION TO CORRECT FOR
THAT. SO, THE FEWER AND SMALLER
THE TOTAL AMOUNT IS BETTER. THIS
SHOWS THAT INTO THIS MEETING,
THE TREND HAS BEEN DOWN. AND IN
FACT, TODAY'S BILL IS THE
SMALLEST EXCEPTION IN TERMS OF
NUMBER OF EXCEPTIONS AND THE
TOTAL DOLLAR AMOUNT IS $1.8
MILLION. AND THAT IS THE RESULT
OF SOME EFFORT BY CITY COUNCIL
TO PUT FORWARD AND IMPLEMENT THE
FISCAL TRANSFERENCE HE PROGRAM,
WHICH, INCREASES SOME BUDGET
MONITORING FOR BUDGET STAFF AND
MADE A SLIGHT MODIFICATION TO
THE BUDGET DIRECTOR'S BUDGET
TRANSFER AUTHORITY AND NOW THEY
CAN DEAL WITH MINOR EXCEPTIONS
AT YEAR END. SO, JUST THE TAKE
AWAY FROM THIS SITE IS SINCE
2018, THE TREND IS DOWNWARD WITH
EXCEPTIONS, AND SO, JUST TO KIND
OF JUMP TO TODAY'S BILL WHICH
IS THE SMALLEST BILL IN THE
SEVEN YEAR HISTORY, THERE ARE
TWO BUDGET EXCEPTIONS THAT WOULD
ACTUALLY MAKE AN INCREASE TO THE
ORDINANCE 126955, THE 2024
ADOPTED BUDGET. THE PERCENT IS A
$1.1 MILLION INCREASE TO THE
INDUSTRIAL INSURANCE FUND WHICH
IS WHERE WE PUBLISH WORKER'S
COMPENSATION CLAIMS. THIS IS
$1.1 MILLION INCREASE THEY PAY
FOR UNANTICIPATED COSTS THAT SDR
-- HUMAN RESOURCES RECEIVED. THE
REASON WHY THESE WERE
UNANTICIPATED IS BECAUSE THEY
WERE FOR PENSIONABLE CLAIMS, SO
THESE ARE CLAIMS WHERTHAT
RETIREMENT MONEY. [ INAUDIBLE ]
THIS IS A HIGHLY UNPREDICTABLE
COST FOR THE BUDGET. THEY TRY TO
WORK TO TRY TO STREAMLINE THE
BUDGETING FOR THIS AMOUNT BUT IN
THIS CASE THEY WERE SHORT OF THE
MARK. THE NEXT ITEM IS A
$650,000 GENERAL FUND REQUEST TO
PAY FOR VARIOUS UNFORESEEN COSTS
OR AREAS WHERE COSTS DIDN'T
QUITE HIT WHERE THE BUDGET WAS
PROVIDED. A LARGE ONE WAS THE
CRIMINAL CASE MANAGEMENT SYSTEM,
WHICH IS A MULTIYEAR PROJECT
THAT IS COMING ONLINE THIS YEAR.
IT WAS NOT QUITE ONLINE LAST
YEAR, SO THERE WERE AREAS WHERE
THERE WERE PLACES IN THE BUDGET
WHERE BUDGET WASN'T IN PLACE IN
TIME. AND SO, THERE WAS A
TECHNICAL MISMATCH THERE, ALSO,
SOME MONEY FOR INTERNS AND
SELLER BUT IT'S WITH REGRETS TO
IMPLEMENT TATIAN WHERE THERE WAS
A MISMATCH THERE, AS WELL. [
INAUDIBLE ] THEY ARE GOING TO
DOUBLE BACK ON THE MONITORING
THIS AND ENSURE THAT THIS TYPE
OF EXCEPTION DOESN'T HAPPEN IN
THE FUTURE. THAT IS IT FOR THIS
BILL. THIS BILL DOES REQUIRE AS
AN AMENDMENT TO THE BUDGET, A 3
TO 4 VOTE FOR CITY COUNCIL FOR
PASSAGE. [ INAUDIBLE ]
>> THANK YOU. I THING WE CAN
STOP RIGHT THERE. COLLEAGUES, I
WAS SURE THAT I HAD A
CONVERSATION. A PERFECT STORM
OCCURRED FOR A LESS THAN -- THE
$658,000 OVERSPEND THAT THEY
ALSO PROMISED NOT TO DO IT
AGAIN. THE DEPARTMENT OF HUMAN
RESOURCES OVERSPENT IS SOMETHING
THAT IS UNPREDICTABLE , AND I AM
VERY PROUD OF THE BUDGET REFORM
WORK THAT HAS BEEN DONE TO
REDUCE THE NUMBER IF WE GO BACK
TO THAT SLIDE, TOM, IF WE COULD.
UPWARDS OF FOUR DEPARTMENTS AND
UPWARDS OF $30 MILLION. IN 2020
TO ONLY TWO INCIDENTS. ONE,
UNAVOIDABLE FOR A TOTAL OF 1.8
MILLION. THIS IS A GOOD START.
OF GOOD BUDGET PRACTICES. ANY
QUESTIONS? OTHERWISE, I WOULD
LIKE TO -- ANY QUESTIONS AT THIS
TIME? THANK YOU ALL FOR
RECEIVING YOUR BRIEFING .
CLEARLY, WE RECEIVE YOUR
BRIEFING AHEAD OF TIME. SEEING
AS WE HAVE NO ADDITIONAL
QUESTIONS, I'M GOING TO MOVE
THE COMMITTEE RECOMMEND PASSAGE
OF COUNCIL BILL 120979. IS THERE
A SECOND?
>> SECOND.
>> IT HAS BEEN MOVED AND
SECONDED TO RECOMMEND PASSAGE OF
THE BILL. ANY COMMENTS? SEEM
NONE, WILL THE CLERK PLEASE CALL
THE ROLE ON THE COMMITTEE
RECOMMENDATION [ INAUDIBLE ] .
>> COUNCILMEMBER RIVERA. OSC
>> COUNCILMEMBER HOLLINGSWORTH.
>> YES.
>> COUNCIL PRESIDENT NELSON. OSC
>> COUNCILMEMBER RINCK.
>> YES.
>> AND CHAIR STRESS. OSC
>> EIGHT IN FAVOR, NONE OPPOSED.
>> COUNCIL BILL 120979 PASSES.
WE WILL MOVE ON TO THE FOURTH
ITEM ON THE AGENDA. AN
ORDINANCE.
>> COUNCIL BILL 120988. 2025
THROUGH 2030 M FOR. FOR
BREATHING, DISCUSSION, AND
POSSIBLE VOTE.
>> WE HAVE DIRECTOR EDER AT THE
TABLE WITH YOU. I'M GOING TO
STEAL THE THUNDER TO SAY WHAT WE
HAVE ALREADY SAID. WE HAVE HAD
FUNDS THAT HAVE ACCRUED INTEREST
IN THE BUDGET REFORM WORK
LOOKING UNDER EVERY COUCH
CUSHION. THIS INTEREST WAS
IDENTIFIED AMOUNTING AND ENOUGH
MONEY TO REPAY A BOND EARLY.
OVER TO YOU, DIRECTOR EDER.
>> THANK YOU VERY MUCH, CHAIR
STRESS AND INTERIM DIRECTOR OF
THE BUDGET OFFICE, DECK 14 FOR
THE RECORD. THIS IS THE SECOND
TIME WE HAVE PRESENTED. I WILL
SKIP LIGHTLY THROUGH THE SLIDES.
AS CHAIR STRESS MENTIONED, THE
BILL UP FOR DISCUSSION WOULD
ALLOW THE CITY TO REDEEM OR PAY
OFF SOME OF THE BONDS THAT WERE
ISSUED IN 2014 . I WILL DESCRIBE
THE HISTORY OF THESE BONDS AND
WHY WE ARE PROPOSING -- WHY AND
HOW WE ARE PROPOSING TO REDEEM
THEM. BEFORE WE GET TO THE
SUBSTANTIVE SLIDES, I WANT TO
THANK MY COLLEAGUES, JAMIE
CARNELL, THE CITY FINANCE
DIRECTOR, WHO WAS HERE WHEN WE
PRESENTED IN THE FINANCE
COMMITTEE ON FIVE 21. THEY DID
ALL OF THE SUBSTANTIVE WORK
HERE. I JUST WANT TO ACKNOWLEDGE
THAT. CAN WE MOVE ON TO SLIDE
TWO, PLEASE?
>> DIRECTOR, WE'VE GOT SIX
MINUTES REMAINING. I MIGHT HAVE
YOU SKIP TO SLIDE FOUR.
>> OKAY.
>> RATHER THAN THE TIMELINE.
JUST GET DOWN TO THE NUTS AND
BOLTS. I HAVE ASKED EVERYONE TO
RECEIVE THIS BRIEFING AHEAD OF
TIME. I'M HOPING PEOPLE WILL
KNOW WHAT WE ARE TALKING ABOUT
HERE.
>> VERY GOOD. THERE'S $3.5
MILLION THAT WE ARE PLANNING ON
REDEEMING. IN TERMS OF
OUTSTANDING BONDS. WE WILL
REVIEW THAT USING RESOURCES
AVAILABLE FOR LIMITED PREMISES
SUCH AS THIS ONE. WE ARE LOOKING
AT A TOTAL OF $1.9 MILLION IN
INTEREST EARNINGS ON THE CITY'S
PAST TAXABLE BONDS THAT WEREN'T
SPENT FOR ANY OTHER PURPOSE AND
ARE AVAILABLE FOR THESE KINDS OF
CAPITAOF
UNRESTRICTED CUMULATIVE RESERVE
FUND INTEREST THAT EXCEEDED
FORECASTED LEVELS AND IS
AVAILABLE FOR THIS KIND OF
INVESTMENT. AND WE ARE ALSO
LOOKING AT $300,000 OF THE
CAPITAL FUND DOLLARS THAT WERE
OTHERWISE PROGRAMMED IN THE
BUDGET. WE WILL DESCRIBE THE
FINANCIAL BENEFITS OF DOING
THIS. PAYING OFF THESE
OUTSTANDING BONDS. WE NO LONGER
HAVE TO CONTINUE PAYING DEBT
SERVICE FOR THE REMAINDER OF THE
LIFE OF THOSE BONDS, WHICH WERE
OTHERWISE SET TO BE RETIRED IN
2034. THAT IS A SAVINGS OF ABOUT
$75,000 WITH INTEREST PAYMENTS
ON THE BONDS THAT WE DON'T HAVE
TO CONTINUE PAYING. A TOTAL OF
$675,000 IN NET -- SORRY -- IN
NOMINAL TERMS OF INTEREST
SAVINGS THROUGH 2034. WITH THAT,
THE LAST SLIDE. THIS JUST SETS
UP, IF YOU AUTHORIZE THIS
LEGISLATION OR APPROVE THIS
LEGISLATION, YOU WILL MOVE
FORWARD WITH PAYING OFF THESE
BONDS AS DESCRIBED.
>> THANK YOU. I AM GOING TO MOVE
AND SECOND THE BILL AND THEN WE
WILL HAVE A MOMENT FOR
DISCUSSION. I'M GOING TO MOVE
THAT THE CITY RECOMMENDS PASSAGE
OF COUNCIL BILL 120988. IS THERE
A SECOND? THANK YOU. IT HAS BEEN
MOVED AND SECONDED. COLLEAGUES
GOT ANY QUESTIONS FOR DIRECTOR
EDER ABOUT THE PRESENTATION
HERE? IT IS ALL QUITE
STRAIGHTFORWARD. I SEE COUNCIL
PRESIDENT.
>> I JUST HAVE ONE QUESTION.
USING UNRESTRICTED GENERAL -- SO
-- BASICALLY, WELL, I'LL JUST
GET TO MY POINT. USING
UNRESTRICTED GENERAL FUND --
FUNDS AND ACCESS FROM [
INAUDIBLE ] IS THAT NORMAL, OR
HAVE WE DONE THAT IN THE PAST? I
ONLY ASK BECAUSE GENERAL FUNDS
GENERALLY ARE UNRESTRICTED.
THEREFORE, THAT IS KIND OF LIKE
GOLD MONEY AND I'M JUST
WONDERING IF THE, YOU KNOW, IF
THE DOWNSIDE OF DOING THAT HAS
BEEN, YOU KNOW, WHAT -- WHAT IS
THE RATIONALE FOR THAT, GIVEN
THAT THE MONEY CAN BE USED FOR
ANYTHING.
>> I APOLOGIZE IF I MISSTATED
ANYTHING. THERE IS NO USE OF
GENERAL FUND PROPOSED TO REDEEM
THE BONDS. WHAT I WAS REFERRING
TO WAS UNRESTRICTED CUMULATIVE
RESERVE FUNDS, WHICH IS A
SEPARATE FUND ALTOGETHER. IT IS
TYPICALLY WHERE THE INTEREST
COMES FROM THE REET. REET 1 AND
REET 2. I THINK PAYMENTS COME IN
FROM [ INAUDIBLE ] THAT EARN
UNTIL THEY ARE USED. THEY MUST
BE RESTRICTED.
>> I'M SORRY.
>> YOU WEREN'T ABLE TO ATTEND
THE LAST MEETING WHERE WE WERE
ABLE TO GET INTO THIS
DISCUSSION. DO YOU HAVE FOR THE
QUESTIONS? WE HAVE TWO MINUTES
LEFT IN THE COMMITTEE MEETING.
>> THAT IS IT.
>> COLLEAGUES, ANY OTHER
QUESTIONS? SEEM NONE, I'M GOING
TO ASK THE CLERK TO CALL THE
ROLE ON RECOGNITION OF THE
PASSAGE OF COUNCIL BILL 120988.
>> COUNCILMEMBER RIVERA. OSC
>> COUNCILMEMBER HOLLINGSWORTH.
>> YES.
>> COUNCILMEMBER RINCK.
>> YES.
>> EIGHT IN FAVOR, NONE OPPOSED.
>> THE MOTION CARRIES. COUNCIL
BILL 120988 WILL BE SENT TO THE
JUNE 10th CITY COUNCIL MEETING.
COLLEAGUES, THIS DOES CONCLUDE
THE JUNE 2nd, 2025 SELECT BUDGET
COMMITTEE MEETING. ARE THERE ANY
COMES BEFORE WE ADJOURN? SEEING
NONE, THANK YOU FOR ATTENDING.
WE ARE ADJOURNED EIGHT MINUTES
EARLY. 11:29, APRIL --