12/2/2009 10:01:00 AM Coupeville approves $4.95 million budget
By Justin Burnett Examiner Staff Writer
The Coupeville Town Council has adopted the 2010 budget, but unlike many other local governments and Washington state, there was no need to lay off staff or make significant cuts.
The town's $4.95 million budget was adopted unanimously following a Nov. 25 public hearing. Before going to a vote, Coupeville Mayor Nancy Conard said the town is seeing less revenue, but conservative budgeting has allowed it to weather the economic recession that's wreaking havoc with the budgets of so many other public agencies.
"We're fortunate that we don't find ourselves in the same situation as the county or other cities in the state right now," Conard said.
Island County is facing a $1.2 million budget gap. At the state level, the latest projection anticipates a $2.6 billion revenue shortfall in 2010. The difference is typically made up through cuts to programs and staff. For example, Island County laid off about 30 workers this year to accommodate a tighter budget.
In her annual letter about the town budget, Conard notes that town staff also have been touched by belt-tightening at Town Hall.
The part-time community sustainability coordinator position was extended for three months, but after that it will likely depend on finding additional grant money. And the hours of the building official and consulting engineer were cut back, in part in response to a drop in construction activity. Annual salary increases for all staff were skipped altogether.
"It's a tight budget, but we were able to keep our staff," Conard said.
The council authorized a 1 percent increase to its property-tax levy, which is expected to bring in an additional $3,355, and a hike in utility taxes should generate another $15,000. The property tax levy rate increase is the maximum allowed under state law.
"Essentially, there is no net increase in revenue," Conard wrote.
Overall, the 2010 budget is about 7 percent smaller than last year. The general fund, which pays for services ranging from planning and public works to town administration and law enforcement - shrank by about 17 percent, from $1.88 million in 2009 to $1.56 million this year.
The Marshal's Office uses the biggest portion of the general fund - $529,347, or about 34 percent. Another $229,795, covers the administrative costs, including the part-time salary and benefits Conard earns as town administrator, the salary and benefits earned by Clerk/Treasurer Judy Thomas and the cost of the yearly audit required by the state auditor.
Finance and administration takes up $260,695 - about 17 percent of the general fund.
Funding for environmental protection and central services each account for about 11 percent of the budget, while services such as parks maintenance and public works make up the rest.
As for the town's remaining funds, few new or special expenditures are planned. No new projects have been outlined in the capital improvement fund. However, the town plans to replace part of the water line on Madrona Way and perform initial work on the Pennington Hill pump station. A new sewer line is planned for Madrona Way from Broadway to Vine Street.
Finally, $52,880 generated from park impact fees - revenue generated from new development - will likely go toward a special project, such as the planned viewing deck overlooking Penn Cove from the town-owned lot on Front Street.
Coupeville Town Council member Bob Clay said he was proud of the council's conservative budgeting practices. Had the council been less frugal, balancing the budget could have been much more painful.
Conard said Coupeville may be weathering the recession more easily than some other governments, but the economy is still a worry. Sales-tax revenues will be closely tracked during the 2010 summer tourist season, as they are a significant source of cash for the town.
Local retail sales and use tax collections are expected to generate about $300,000 during 2010.
Conard said the best thing Coupeville residents can do to help the town is to spend their money at local businesses.
