Title
2027 Budget Update
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Receive an update on the preliminary 2027 Operating Budget process.
Report
Issue:
Whether to receive an update on the preliminary 2027 Operating Budget process.
Staff Contact:
Mike Githens, Finance Director, 360-753-8465
Presenter(s):
Jay Burney, City Manager
Mike Githens, Finance Director
Background and Analysis:
Staff will provide an update to the City Council on the status of the 2027 preliminary operating budget process. The update will include information on the 2025 General Fund preliminary year-end estimate, refinements to the budget development process, the initial revenue outlook, assumptions used for preliminary expense allocations, updates to the budget enhancement review process, and as a first checkpoint for the City Council to provide initial feedback and considerations.
As part of the update on the 2025 General Fund preliminary year-end estimate, the attached document titled “Property Proceeds Summary” provides a summary of the property sale proceeds, projected expenditures, and the resulting estimated balance of ($589,554).
Also attached is the document titled “Council Discussion - 2027 Department Enhancements All Items,” which contains a preliminary list of budget enhancement proposals identified by the Executive Team. These proposals represent critical operational needs and opportunities to advance City priorities. Some enhancements include identified revenue offsets, while others do not; those that do not have a revenue offset are shown in bold. The Executive Team continues to evaluate and prioritize these proposals, and staff will provide City Council with additional information and updates at the Study Session.
Climate Analysis:
There are no climate concerns related to this item.
Equity Analysis:
One of the goals of the City of Olympia’s budget process is to ensure that city services are provided equitably to our residents and business communities, as well as the greater Olympia community. This agenda item is not expected to further impact known disparities in our community.
Neighborhood/Community Interests (if known):
Members of the community may have an interest in this agenda item as it deals with City finances and fiscal governance.
Financial Impact:
There is no financial impact resulting from this discussion. There will be more specific details provided in the future once the preliminary operating budget is developed. This discussion will assist Council and the City Manager with the development of the 2027 operating budget.
Options:
1. Receive a 2027 preliminary budget update.
2. Do not receive a 2027 preliminary budget update.
3. Reschedule the presentation to a future meeting.
Attachments:
Council Discussion-2027 Department Enhancements All Items
Property Proceeds Summary