FINANCE COMMITTEE

DATE 10/09/07
AGENDA ITEM 2
CITY OF OLYMPIA
Olympia, Washington

FINANCE COMMITTEE
October 9, 2007

SUBJECT: Finance Committee 2008 Recommendations to Council

ORIGINATED BY: Finance Committee

STAFF CONTACT: Jane Ragland Kirkemo, Administrative Services Director, 753-8499

jkirkemo@ci.olympia.wa.us

REQUESTED
COMMITTEE ACTION: Recommendation to full Council for future funding issues

STAFF
RECOMMENDATION:

DOCUMENTS 1. Summary of Previous public outreach efforts

ATTACHED: 2. Summary of September 12, 2007 focus group

BUDGET IMPACT &

SOURCE OF FUNDS: Dependant on option(s) chosen

PRESENTERS AND Jane Ragland Kirkemo, Administrative Services Director

OTHERS NOTIFIED: Larry Dibble, Fire Chief
Linda Oestreich, Parks, Arts, and Recreation Director

BACKGROUND: The Finance Committee work plan for 2007 included discussing a
financial strategy to address funding needs each month. The
committee has scheduled to discuss their options and
recommendations with the full council in November as a part of the
2008 Budget process.

The September 12th focus group was just one more public outreach
prior to recommendations to the full council. Previous outreach
efforts have included:

 January 2007 – Town Hall Meeting

 December 2006 – TV production on Olympia Budget issues
 November 2005 – Two focus groups
 Summer 2005 – Expanded Finance Committee Public Review of
Budget
 Summer 2005 – Constrained Prioritization Process
 November 2004 – Public online budge calculator

1
  May 2004 – Four public meetings using an opinionaire
 Summer/Fall 1999 – Five to six public meetings developing the
City’s Long Term Financial Strategy (LTFS)

Through all of these public processes the message of what citizens

want has been consistent. How much they are willing to pay for the
services varies significantly.

ANALYSIS AND There are various considerations to review before making a

OPTIONS: recommendation to the Council.

 There are several options for a levy lid lift some require going to
voters in the Primary or General election.
 On a state wide basis more voters approve a Fire issue than
anything else. Jails and streets issues are the least successful.
 More issues pass in the month of March than any other month
(May is the least successful). Typically you don’t want to go to
the voters any more frequently than every 2 years,
 In all of our citizen surveys, Parks and Public Safety ranked very
high. In the recent focus group 90% said they would support a
tax increase to renovate Percival Landing and 68% to build a 4th
fire station.
 One outcome from the September focus group was our Voters
are not willing to support a tax increase for transportation
projects.
 An excess levy requires 60% voter approval and a levy lid lift
requires only 50%.
 What effect do rate increases for utilities, TBD, and impact fees
have on citizens’ willingness to support other issues?
 In addition to excess levy and levy lid lifts, the City has available
an increase to the Business & Occupation tax and Transportation
Benefit Districts (TBD). Should be committee recommend these
funding options?
 What is the effect of placing two items on one ballot? Would
voters be more likely to vote “No” on both issues?
 Is staff ready to place any item on a 2008 ballot?

During the meeting the Committee will discuss options for future
ballot/revenue issues.