City passes $44M 2024 budget

The Shelton City Council passed a $44-million budget for 2024.

The council voted unanimously for the budget at its Nov. 21 meeting. The state requires the city’s budget to be complete by the end of the year.

The budget is an increase of $3.1 million, 8%, from the revised 2023 budget. The budget also includes a general fund allocation of $15.5 million, a $326,349 increase from the 2023 general fund budget.

The expenditures in the 2024 budget include $15,565 in the general fund, $1,886,758 in the street fund, $832,000 for the Transportation Benefit District, $23,000 for general resources, $97,248 for the tourism fund, $180,100 for the bond fund, $1,797,500 for the capital improvement fund, $4,345,082 for the water fund, $7,936,156 for the sewer fund, $176,438 for the solid waste fund, $2,154,207 for the storm drainage fund, $1,079,500 for the water capital fund, $6,510,500 for the sewer capital fund, $395,000 for the storm drainage capital fund, $160,350 for the payroll benefits fund, $572,481 for the equipment rental fund, $80,600 for the firefighter’s pension fund and $24,000 for the library endowment fund. The real estate excise taxes in the capital resources funds are $192,570.

According to the city’s budget overview, the city established the Financial Sustainability Task Force earlier this year. That group’s recommendations to the city included reductions in programs, service delivery and city property ownership, increasing revenue for community investment and “placing a strong focus in how to grow the population.”

Following those recommendations, the City Council in June reduced expenditures in the general fund by $470,514 “to better align with ongoing revenue and position the 2024 budget formulation to better coordinate anticipated revenue with ongoing expenses.” The reductions included seven full-time positions in the facilities, finance and public works departments, and in the clerk’s office. The city eliminated two department director positions — administrative services and parks, recreation and facilities — and reorganized city departments.

The city also sold property to Mason County Public Hospital District #1.

City Finance Director Mike Githins thanked his staff for its hard work on the budget.

“This is a real accomplishment and a big plan for 2024,” he said. “I find it really exciting when you look at this document to see all of the projects and efforts that are going to happen in 2024. I think we’re entering this fiscal year with a good plan. Again, I want to emphasize that we are basing ongoing expenses and costs on ongoing revenue. That’s such a good plan for our citizens, staff and the city as a whole, so that’s putting us in a good position in the general fund.”

City Manager Mark Ziegler also singled out the work by the staff on the document.

“We realized, quickly, in April of this year we kind of had to take a closer look, take out the microscope and make some changes here,” he said. “It was embraced throughout our departments — it wasn’t appreciated, it wasn’t liked, but it was embraced because it was what we needed to do for our community, and we’re going to continue to do that.”