Mattawa council holds budget workshop

MATTAWA — The city of Mattawa tentatively is projected to spend about $12.1 million in 2025, an increase of about $1.5 million over projected expenditures in 2024.  

The city’s preliminary 2025 budget, the subject of a public hearing at the Nov. 7 Mattawa City Council meeting, does not forecast whether the city will have any reserves at the end of 2025. But some funds are running in the red, which prompted council members to schedule a work session Nov. 19 to discuss options for addressing shortfalls, including finding more revenue or making cuts.

The general (current expense) fund includes most city expenditures, from the Mattawa Police Department to park maintenance to animal control. Total expenditures in the general fund for 2025 were projected to be $2.5 million, an increase of about $300,000 from the 2024 budget. 

The city’s reserve fund is projected to be lower at the end of 2025 than it was in 2024, and that prompted the request for a budget review from council member Tony Acosta. 

“I don’t know if the rest of council has had an opportunity to review the budget – and I could be completely off base here. But our general fund is $200,000 negative in terms of what we’re expected to bring in for 2025 and what we’re spending. And most of our other accounts are not doing very good as well,” Acosta said. 

He cited the city’s sewer and water funds as examples. Acosta said he’s voiced concerns about city revenue for a few years but hasn’t received what he considered a satisfactory response. 

“We seem to be doing nothing,” he said. “We’ve been very lucky – or unfortunate – because our general fund has stayed afloat because we haven’t filled some positions. We’ve had gaps, so some of that money comes back (to the general fund). But if we spend what we say we’re going to spend, we’re going to lose our cushion really quick.” 

Fiscal oversight, Acosta said, is one of the council’s most important jobs. 

The budget hearing followed a discussion of the city’s parking regulations, prompted by a request for a variance from a developer proposing a business on property west of State Route 243. The variance was denied, and the developer asked about alternative ways to accommodate the business and satisfy city requirements.  

The city’s attorney and planner suggested a review and update of the city’s parking standards, a process that could take until 2027. The city’s planner recommended waiting until mid-2025 to start, in part because the city would be eligible for grants to help pay for it. The two subjects prompted an observation from council member Brian Berghout. 

“I know a good way to increase our city budget position is to increase revenue. And we always talk about our tax base – we have a low-paying property tax base,” Berghout said.  

Development would help boost tax revenue, he said 

“Retail centers, commercial centers, bring in a lot of tax revenue. And we need tax revenue to run the shop. I’m making a secondary point why we should look at not just doing the same thing,” Berghout said.  

He acknowledged that it wouldn’t fix the city’s budget problems in 2025, but said the council should look ahead. Cities like George and Union Gap have benefited from commercial development, Berghout said. 

Acosta said that was true, but for now the council should concentrate on the 2025 budget. 

“Do we send (the budget) back and have staff come back with $300,000 in savings? Whatever is coming in projected, that’s what we’re going to spend? Or do we want to have savings – (money) being put away?” Acosta said. 

Ultimately the fiscal decisions, and the responsibility for what happens, are the council's, Acosta said. 

“I don’t think this year I’m going to sign off on something that’s negative,” Acosta said. 

“I’m not disagreeing with you. I’m saying the way to avoid this in the future is to get more revenue coming in here,” Berghout said.  

Council member Alex Heredia suggested that the council review the proposal, then meet with city department heads. He hasn’t been following the process, he said, and was pretty sure some other council members haven’t either. 

“We all need to sit down, look at the budget, see where we’re at, see where we need to be. But not only do that – as I’ve said every year – but look at what we can fix going forward, so we won’t have to have this conversation every year,"Heredia said.