Improving economy aids Kitsap County finances

Nov. 29--PORT ORCHARD -- The ongoing economic recovery, while rather slow, is providing financial breathing room for the Kitsap County commissioners, as they gradually restore government jobs and programs cut during the recession.

The $83.2-million county general fund budget proposed for next year represents a 3.5 percent increase over the 2013 budget, according to county budget figures. It is the second year in a row that expenditures will be allowed to increase, following four years of declines and layoffs from 2008 through 2011.

The budget will be reviewed Monday during the Kitsap County commissioners meeting, which begins at 5:30 p.m. at the county's Administration Building. Public testimony will be taken on the budget following a brief presentation by Budget Director Amber D'Amato.

Based on economic forecasts, the budget projects a 2.1 percent increase in sales tax revenues next year, D'Amato said. Property tax revenues are expected to rise by nearly 4 percent, thanks to the normal 1-percent tax increase plus increased construction and fewer tax delinquencies, D'Amato said.

Together, sales and property taxes make up 64 percent of the total revenues, with other taxes, fees, fines and grants making up the remainder.

On the spending side, law enforcement programs -- including sheriff's deputies, prosecutors, court officials and jail personnel -- consume about 70 percent of the county budget. General services -- including the auditor, assessor, treasurer, county commissioners and general administration -- total 23 percent. About 4 percent is spent on parks operations and employees.

The proposed 2014 budget includes a 2-percent increase in salaries for all county employees, although the final number won't be known until union contracts are settled.

The general fund also will benefit from $2.6 million shifted from the county road fund -- some $500,000 more than in 2013. That money is earmarked for traffic enforcement and prosecution in the sheriff's, prosecutor's and county clerk's offices, an effort focused largely on reducing deaths and injuries caused by people driving under the influence of alcohol and drugs.

No major hiring is expected in 2014, D'Amato said, but the commissioners agreed to hire a new correction officer for the county jail next year.

In addition, a new long-range planner will be hired in the Department of Community Development as the county launches an effort to update the county's comprehensive plan. Most DCD employees, whose hours were cut by 10 percent during the recession, will be restored to full-time.

A half-time position will be converted to full-time in the Coroner's Office. And employees whose hours were cut in the Parks and Recreation Department will be restored to full-time.

The budget for employees' medical costs will remain unchanged in 2014, thanks to the county's move into a new self-insurance program and the ability of employees to hold the line on their medical bills, D'Amato said.

"The costs of claims was lower in 2013, so we did not increase the (medical) costs to employees or the county," she said.

Money diverted from a vehicle-replacement fund to help balance the budget in 2009 and 2010 will be restored by infusing it with $125,000 a year over five years. The unfortunate result, D'Amato said, was to keep older vehicles in operation longer, at an increased cost of maintenance.

"It was one of those decisions made in the middle of the crisis," she said. "It was either that or taking cops off the street."

Also during that tough time, an overall reserve fund for emergency spending was allowed to decline to 6 percent of the general fund budget in 2009. That fund was restored to a "healthy" 18 percent in 2012, according to D'Amato, and has been maintained at that level.

Beyond the general fund, the road maintenance budget is proposed at $26.3 million, an increase of 5.2 percent.

A major construction project at the Central Kitsap Wastewater Treatment Plant and other sewer projects will increase the sewer construction budget by 70.7 percent, to $35.1 million. Bonds for those projects will be paid off through monthly fees to sewer customers.

Community Development, supported largely by fees for building and construction permits, will grow by 15 percent next year to $7.8 million.

___

(c)2013 the KitsapSun (Bremerton, Wash.)

Visit the KitsapSun (Bremerton, Wash.) at www.kitsapsun.com

Distributed by MCT Information Services