Tuesday, March 16th, 2010

City Council Discusses Kirkland Budget – Philosophical Differences Revealed

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At the December 16, 2008 City Council meeting, the Council passed sweeping tax increases as well as the Biennium Budget for 2009 – 2010. During the discussion of Ordinance No. 4161, relating to enacting a “head tax” on Kirkland businesses, individual Councilmembers spoke at length on the problems Kirkland has with its budget process and tax structure. Councilmembers revealed their various reasons for voting for or against the budget and tax increases. The comments made by each of the Councilmembers shed light on their personal philosophies and motivations behind their votes. It is always useful to better understand the logic behind their votes. 

The four videos attached shed light on why Kirkland does not have a sustainable budget (Note that the discussion content is not edited. Due to technical reasons, it needed to be broken into four parts.) The “head tax” was passed by a margin of 5 to 2. The 2009-2010 Biennial Budget was passed by a margin of 6 to 1.

Video from the entire City Council meeting is available at www.kirkland.granicus.com/MediaPlayer.php?view_id=13&clip_id=1365

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4 Responses to “City Council Discusses Kirkland Budget – Philosophical Differences Revealed”
  1. Bob Style says:

    All the oratory from each Councilmember did reveal where each one is coming from but did nothing to develop a sustainable budget. Councilmember Sternoff comments were right on; however, it is more important to watch what they do, not what they say.

    He stated one of the key reasons for government to exist is to provide services. What services?

    Councilmember Greenway promised to work with business and taxpayers to ease their financial impacts in the future but did not stop her from voting for a budget that raised taxes on business in times of recession. Early on she did propose eliminating many unnecessary expenditures but other Councilmembers refuted her.

    Councilmember McBride said she came to tears reading letters from the Johnson brothers but that didn’t stop her from promoting and adopting the business head tax inferring it’s more important to raise taxes than to cut spending even in a recession. There is at least a million that can be cut so there’s no need for adopting a head tax.

    Mayor Lauinger was correct saying the City Manager failed to develop a sustainable budget. However, he did not identify the reasons. In trying to protect his resources, the manager listened to Councilmembers who would allow him to do it instead of listening to the entire council. It turns out he was listening to the wrong people. In the end, it’s the Council’s job to adopt a sustainable budget. Instead of doing it, they elected to speak rather than to act.

    The Mayor emphatically agreed with Councilmember Burleigh saying the State along with other jurisdictions need to come up with a reliable revenue source not based on sales tax in order to provide steady and reliable resources to pay for services. I believe they’re talking about a state income tax.

    There are two big reasons why taxpayers don’t want to empower our politicians to tax our income without getting rid of the sales tax. WE DON’T TRUST THEM. The second reason being we don’t know how they will spend the money, the same problem we have now – excessive and numerous expenditures. An income tax is not the answer.

    I applauded Councilmember Asher refusal to adopt the head tax and to admonish the statement made by Councilmember McBride saying the city had no leadership in dealing with the situation. Whose leadership got the city their AAA bond rating? It wasn’t Ms. McBride.

    Each service provided by the city has a cost that can be paid for in many different ways. The council is ignoring them. They also have not dealt with what are essential and non-essential services. They and the manager need to listen to Councilmember Greenway suggestions, Sternoff’s comments, Asher’s admonishments, and the Mayor’s plea for a sustainable budget.

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  2. al czervik says:

    Bob,
    For crying out loud. Did you actually hear what the Council members said? The only one who gets it is Sternoff. He understands that the first priority is Public Safety services. The other services include the maintaining of the infrastructure and basic government. He was the only one who stood up for all of us and said what we are all thinking. We want change in how this City does business. Asher didn’t get it. The Mayor gave lip service as usual. Greenway doesn’t have a clue because every major decision for her is difficult. You seem so impressed with Asher’s knowledge of AAA ratings. He has wanted to tax us more since this budget began. AAA rating is great for getting a lower interest rate when you borrow money that will be paid back by the taxpayer. I will not vote for a tax increase. Will you? I know I will be paying more when I go to a restaurant or buy anything else in Kirkland. I will thank the Council Members who voted the head tax in and remember them at the next election.
    Al

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  3. Bob Style says:

    Al: You’re right about Robert. I’m waiting to see if he can be effective in the up-hill battle for a sustainable budget. It’s going to take budget cuts and I would like to see what he and the other Councilmembers recommend. Rhetoric is one thing. Action is another
    They could repeal the head tax at the next meeting if they wanted to. We’ll have to see where the council goes from here. It’s just a shame we have to wait until November. They can do a lot of damage before then.

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  4. al czervik says:

    Bob,
    Sternoff has repeatedly taken a common sense approach to the issues. Tom Dillon before him did the same thing and finally gave up. Sternoff has at least made the others think. It is not his fault that he can’t get the rest of the Council to do the right thing. He is surrounded by a group that just doesn’t get it. Unfortunately they keep getting re-elected. I don’t see a reversal of the head tax coming. I only hope that this terrible downturn and the resultant revenue shortfall shocks the City Manager and Mayor into making substantive changes in how Kirkland does goes about it’s business as Sternoff suggested. No question that this City needs changes at the top. And you are right that between now and November alot more damage can occur.
    Al

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