Budget Workshop 3

The City of SeaTac held its Budget Workshop 3 on October 19, 2024, focusing extensively on the 2025-2026 preliminary budget, revenue forecasts, expenditure reductions, and potential new revenue sources. Key procurement-related discussions included proposed hiring freezes on four vacant positions to save approximately $500,000, reductions in training budgets, and a $650,000 reduction in fire services capital contributions. The council reviewed contract-related expenditures, including police and fire service contracts, noting significant increases in public safety costs. The workshop also covered updates on capital improvement projects such as Valley Ridge Park walking path renovations and the rental inspection study, with some projects pending contract awards or RFQs. The council discussed the challenges of balancing the budget amid rising employee benefits costs, the use of one-time ARPA funds, and the need for sustainable revenue sources, including exploring new tax structures and grant opportunities. Motions were made to implement temporary hiring freezes and reduce fire capital contributions while deferring a cost-of-living adjustment freeze for non-represented employees pending further analysis. The council emphasized the importance of reviewing underspent budget items to identify potential savings and planned further sessions to finalize budget decisions and explore long-term revenue strategies.