Title
Update on Tax Review Team Progress
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Discussion only. No action requested.
Report
Issue:
Whether to receive an update on the progress of the Tax Review Team.
Staff Contact:
Michael Githens, Finance Director, 360.753.8465
Presenter(s):
Thomas Donnelly, Accounting Manager
Brandie Andrews, Tax and License Team Lead
Background and Analysis:
In April 2024 Council approved the creation of the tax review team and authorized finance to stand up the program.
Since April 2024, the team has successfully completed the hiring process, implemented updated procedures, revised municipal codes, and delivered targeted professional training. In that time, we have also conducted over 2,000 compliance and audit efforts, significantly exceeding expectations. The team has redesigned website pages to improve user experience and reviewed two online filing solutions to enhance accessibility and efficiency. We have evaluated reinvestment options focused on taxpayer educational outreach, aiming to close the knowledge gap and support voluntary compliance. Throughout these efforts, we have continued to provide additional information and assistance to help businesses understand and meet their obligations. The team’s performance has consistently surpassed expectations and has been met with positive feedback from our business community.
The 2025 budget for the Tax Review Team is $549,000 and is fully funded through the General Fund. During the 2025 budget development process, estimated program revenues were projected at $550,000. As of the end of the third quarter of 2025, actual revenues have reached $1.1 million-doubling the original annual revenue projection. This significant increase reflects the effectiveness of the team’s compliance efforts, outreach initiatives, and operational improvements, further demonstrating the program’s strong return on investment and fiscal impact.
Staff will update the Finance Committee with details of the program’s progress to-date along with upcoming events.
Climate Analysis:
This agenda item is not expected to result in climate impacts.
Equity Analysis:
One of the goals of the tax review team is to help ensure more equal access and response to Olympia’s existing business tax regulations.
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:
The 2025 budget for the Tax Review Team is $549,000 and is fully funded through the General Fund. Estimated program revenues were projected at $550,000.
Options:
Information only.
Attachments:
None