Title
Briefing on Budget Sustainability Efforts
Recommended Action
Committee Recommendation:
The Finance Committee met on March 17 to prepare for an April City Council study session on budget sustainability. The Committee directed staff to reschedule the Study Session to May and to brief the City Council at a business meeting in April to update them on the status of work underway.
City Manager Recommendation:
Receive a briefing on the City's Budget Sustainability efforts.
Report
Issue:
Whether to receive a briefing on the City's Budget Sustainability efforts.
Staff Contact:
Jay Burney, City Manager, 360.753.8740
Presenter(s):
Jay Burney, City Manager
Background and Analysis:
Like most cities in Washington, Olympia's expenses are outpacing revenue generated through sales, property, and business and occupation tax. The City Manager and the City Council's top priority is to develop a long-term sustainable budget. In January 2025, during the City Council annual retreat, they discussed strategies to address both balancing the 2026 budget as well as options for achieving long-term financial sustainability. The City Council requested that conversations with them start earlier in the year to understand the work being accomplished and to provide guidance.
The purpose of this item is to update the City Council on the Finance Committee's work items that are underway including: Comparable Cities Research, Business and Occupation Tax Revenue options being considered, Olympia Metropolitan Park District revenue, other items impacting the operating budget, and an update on Priority Based Budgeting.
Climate Analysis:
There are no climate concerns related to this item.
Equity Analysis:
Olympia residents and visitors rely on programs and services provided by the City. Balancing the operating budget in a way that maintains equitable and inclusive services while eliminating disparities will require an understanding of who is impacted by potential expenditure reductio...
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