Like so many other cities, Bellevue is facing declining revenues because of the recession. The city has so far seen a $14 million shortfall in its biennial operating budget, or about 4.4 percent.
To make up the difference, the city has eliminated out-of-state travel unless necessary, is only filling critical vacancies and is making smaller trims, such as cutting the grass less often in neighborhood parks, said spokesman Tim Waters. In mid-September, the city council will begin talking about the possibilty of layoffs as part of budget adjustments that would happen in December.
In May, the shortfall in city revenue was $5 million, but later this summer it had risen to $14 million, Waters said. A new revenue estimate is expected out next week. Most of the city’s tax base comes from the sales tax — largely, retail sales and auto sales — so the decline in consumer spending has hurt the city. Belleuve also receives a chunk of its revenue from the business and occupation tax and property taxes.
- Power restored after major, hour-long outage in downtown Seattle
- Trump, Clinton win Washington state primary
- Designed in Seattle, this $1 cup could save millions of babies
- Seattle’s vanishing black community
- Boeing plans hundreds of layoffs in local IT unit
Most Read Stories
The capital improvement projects budget is down as well, Waters said. About $62 million in capital projects has already been deferred, and another $34 million in projects will need to be deferred as well.
The city’s 2009-2010 budget was approved last December and went into effect in January. The city council will begin working on the 2011-2012 budget starting next year. Here’s more information about the city budget.