Spokane Valley council passes $77.4 million city budget

Spokane Valley adopted a $77.4 million budget that reflects a projected revenue surplus to be spent on building railroad bridges as well as parks and infrastructure improvements.

The City Council on Tuesday night voted unanimously to pass the budget.

The projected revenue for the 2018 budget includes slighty more than $42.6 million in general fund revenues with $34.7 million from other funds.

The city will continue to operate with a budget surplus of $1.5 million – a 3.7 percent increase in general fund revenue over 2017.

For the ninth year in a row, Spokane Valley will not increase property taxes, which represents more than 27 percent of the city’s general fund.

The city anticipates about $21.5 million in capital expenditures with $15.2 million to be covered by federal and state grant funds, which will fund the city’s budget goals such as railroad grade separation projects at Barker and Pines roads, pavement repair projects, city park and infrastructure improvements, and constructing the Sullivan to Corbin section of Appleway Trail.

The $75 million “Bridging the Valley” project includes the Barker and Trent Road overpass, Sullivan Road overpass, Pines and Trent underpass and the separation of railroad and roadway grades in this corridor, which aim to promote future economic growth, traffic movement and safety.

For 2018, the city projects to spend $4.1 million for street repair projects.

Some street repair work depends on gas and telephone tax receipts. However, gas tax revenues have been either flat or declining. The telephone utility tax also declined and is projected to be $1.9 million this year.

The budget includes an annual bond payment of $400,000 for the new City Hall, which was paid through a combination of $6.3 million in cash set aside for the project and $7.85 million in bond proceeds. The amount is about $35,000 less than the city’s former lease payment on the previous city hall building.

At the council meeting, citizens spoke out about the $572,000 in lodging taxes that was appropriated in the 2018 budget. Each year, the city collects 2 percent to fund tourism-related activities and promotions in the Valley.

Jayne Singleton, director of the Spokane Valley Heritage Museum raised concerns regarding the city’s appropriations on tourism funding. She said the museum applied for funding through the city several times and it’s been “a contentious process that was not particularly equitable or collaborative.”

The museum was told it wouldn’t be funded because the money wouldn’t be replenished, yet there’s increases every year, she said.

“It’s extremely difficult, if you are a Valley entity, to get funded,” Singleton said. “The museum is without a doubt in the business of tourism.”

Spokane Valley business owner Rocky Samson said the city’s efforts at keeping the budget balanced is a “good thing.”

“I appreciate it and so do a lot of the other business owners in town, with keeping the budget so low,” he said.