Title
Briefing on Addressing Impacts to Staff During the 2025 Budget Balancing Process
Recommended Action
None; Receive a briefing on the City's approach to addressing impacts to staff during the 2025 budget balancing process.
Report
Issue:
Whether to receive a briefing on the City's approach to addressing impacts to staff during the 2025 budget balancing process.
Staff Contact:
Manny Bosser, Human Resources Director, 360.753.8309
Presenter(s):
Manny Bosser, Human Resources Director
Background and Analysis:
In 2024, the City identified a need to overcome an anticipated $7 million dollar budget deficit impacting the General Fund. The General Fund makes up approximately 52% of the City's overall operating revenue and is primarily funded through sales tax, property taxes and Business & Occupation Tax. Over 71% of the City's General Fund is used to pay for staff positions.
The City took significant steps to address the budget deficit through use of reserves, reorganization, delaying new hiring, reducing expenses and identifying greater efficiencies in the providing of programs and services; however, staff reductions were still needed to achieve a longer term and sustainably balanced budget.
By working collaboratively, City leadership took intentional steps to identify for elimination 27 staff positions across all City funds and departments. Most of the reductions were able to be identified through existing vacancies and anticipated retirements, reducing the impact to staff to the greatest extent possible. However, seven positions were identified as being 'at risk,' which means they were staffed and needing to be eliminated to support a balanced budget.
Knowing the impacts of the reductions would be stressful and very challenging, the City identified a variety of approaches to support staff through this time, and in particular provide resources and tailored support to staff whose positions were identified as 'at risk.'
One of the most significantly i...
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