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An Update on the Fiscal Health of Cities and Towns
Throughout the last decade, Washington’s cities and towns have stretched revenues to meet the most basic, critical community services. But as 2008 came to a close, many cities were feeling the effects of an unprecedented economic downturn and resources became tighter. As budgets were developed for fiscal year 2009, cities reported making cuts in areas such as infrastructure, a reduction in workforce, and narrowed scope of services.
As we entered 2009, Washington’s economic conditions continued to deteriorate. For many cities, revenues dropped below the worst-case predictions. To cope, these cities drew down reserves, re-opened budgets to cut more deeply, and made painful choices about where to allocate dwindling resources to serve citizens.
This report chronicles what cities are experiencing and how they are coping. Taken as a whole, this information brings into focus the toll this recession is taking on the vital infrastructure—physical, social, economic and civic—that citizens depend on city governments to provide. At the same time, it also shows the resilience, determination, and creativity that city leaders are bringing to the challenge of surviving this severe recession.
View Report (pdf, 603 kb)
"If revenue restrictions don’t change, or if the economy gets worse, there will be a very negative impact in a very short time. Expenses are simply rising faster than revenues. If this continues, we will have to decrease our services – contrary to what people in the community want."
~ John Caulfield, City Manager, Mountlake Terrace
"Our services are pretty basic-there's not a lot of extras. We have an activities center with a three-quarters FTE running it. There just aren't a lot of luxuries we can give up."
~ Katrina Asay, Mayor, Milton
"Our community wants to build a park, but you have to ask the question ‘Can I take care of it in ten years?’ It’s really insidious because even though we might have the money today for a project, we may not have it in the future."
~ Mary Ann Duncan-Cole, City Administrator, Stevenson