Langley’s 2015 $5.5 million budget includes staff raises, a handful of small city projects, utility rate increases and construction of the funicular.
The final budget is set for public hearing by the city council at 5:30 p.m. Monday, Dec. 1 at city hall.
“It’s more of a stable, I think, budget, and more of a realistic budget in that it’s not inflated with grant revenues that are iffy,” said Langley Mayor Fred McCarthy.
Looking to use $500,000 of county-issued grant money, McCarthy has slated work on the tram-style transportation device on the bluff overlooking the marina scheduled to begin in spring, despite only recently returning to that proposal after the city considered a bridge and elevator this fall. That later design was generally abandoned after public outcry grew against the development dubbed the “Langley Lift.”
For the second year in a row, McCarthy pushed for raises — 2 percent cost of living adjustments and 1 percent performance raises — for city staff, totaling about $12,000. Also for the second year in a row, water utilities will go up, this time 2 percent for water, 2 percent for stormwater and 5 percent for sewer fees. The total increase for the bimonthly utility bill for a single-family residence will be $5.40.
“We don’t want to have a real egregious rate increase, but we do increase it each year,” McCarthy said, adding that the rate jump was smaller than originally outlined in the city’s comp plan, which lays out projected rate increases.
“The sewer fund will continue to be a challenge until we either motivate more people to hook up to it or do new construction,” he added.
Overall, Langley’s budget is dramatically smaller than those of the past two years. That mostly stems from the removal of hoped-for but never received grants and the fact that Langley does not have any capital projects planned this year that measure in scale to the Second Street redesign, which wrapped up in June 2014. The mayor did outline nine smaller capital projects, however, ranging from restoring city bathrooms on Anthes Avenue to the construction of a new waterline on Park Street between First and Third streets.
Tax revenue for the general fund is up by $9,000 in property tax and $13,000 in sales tax. The general fund covers most city services not tied to a specific utility such as water, stormwater, sewer, streets, or cemetery.
Langley saw an 11 percent increase in sales tax revenues this year. With more people spending in Langley, the city has more discretionary money to use — a trend that Director of Finance Debbie Mahler said should continue, despite drafting a budget she described as “conservative.”
Most of Langley’s expenses are covered by revenues generated by its separate funds — general, water, sewer, stormwater, etc. But some of the utilities, especially the sewer fund, are facing shortfalls. Operating at 60 percent of its capacity, the sewer treatment plant requires more maintenance but has fewer hookups to cover all of its existing expenses.
To cover the projected deficit in the sewer fund, the Langley City Council is considering a 5 percent fee increase. Water and stormwater fees, included in the bi-monthly bill, are each tabbed to increase 2 percent.
