by Ralph Nichols

Burien lawmakers are poised to approve adjustments to the city’s 2012 budget on Nov. 28, following a second public hearing on next year’s spending plan and property tax levy.

The first public hearing was held at the city council’s Monday night meeting (Nov. 14), at which Burien Finance Director Kim Krause told them there will be no property tax increase in Burien next year.

In fact, a statutory limit on what the city can collect in 2012 will result in a decrease of approximately $467,000 in property tax revenues compared to the current year.

“For the first time in many years, the city will receive less property tax next year than this year,” noted City Manager Mike Martin.

Krause said this will result in a small property tax reduction in Burien, but she could not specify at this time how much it will be.

City council members adopted a 2011-12 biennial budget last year, which included general fund spending of 20,362,411 this year and $20,375,199 next year.

The budget revisions will increase projected 2012 spending by $436,963.

State law requires local governments to adopt their budgets for the following year by Dec. 31.

In addition, Krause presented a proposed policy change to reallocate 90 percent of property tax revenues to the general fund and 10 percent to the Capital Projects Reserve Fund.

The current policy, adopted by the council in 2004, allocates 80 percent of property taxes to the general fund and 20 percent to the Capital Projects Reserve Fund.

Councilwoman Lucy Krakowiak expressed concern about shifting an additional 10 percent of property tax revenues to the general fund.

That prompted Councilman Gordon Shaw to “wonder if Councilwoman Krakowiak is asking for a tax increase,” since that allocation is designed to maintain a balanced budget without increased revenue.

Krause said general fund expenditure amendments for 2011 and 2012 total $889,263. These are:

• Reduced salaries and benefits, $211,287.
• Increased red light camera professional services, $428,000.
• Increased SCORE Jail startup expenses, $216,750.
• Increased King County District Court costs, $356,000.
• Increased litigation attorneys’ fees, $125,000.
• Miscellaneous expenses for annexation, $100,000.
• Increased miscellaneous services (voter registration, city newsletter, utilities, city memberships), $74,000.
• Decreased King County Sheriff’s police services contract, $200,000.

General fund revenue amendments include:

• Increased sales tax revenues to reflect 2011 activity, $84,343.
• Decreased utility tax revenues to reflect actual receipts, $997,140.
• Increased permit revenues to reflect 2011 activity, $500,000.
• Increased liquor tax and profits to reflect 2011 activity, $180,000.
• Decreased Seattle City Light revenues to reflect actual results, $300,000.

Total general fund revenue adjustments reflect a decrease of $335,292.

Krause earlier told The B-Town Blog that while Initiative 747 allows local governments annual property tax increases of 1 percent or the rate of inflation, whichever is less, “the city has received notification from the King County Assessor’s Office that the preliminary assessed valuation [of property in Burien] is 9.23 percent lower than 2011.

“Due to this reduction, the city can only collect the statutory limit of $1.60 [per $1,000 of assessed value], which is approximately $467,000 less than 2011,” Martin said. “As the values of homes go down, people pay less property taxes,” Martin said.

This is the warrant that was posted at Piranha Joe's on Wednesday. Click image to see larger version.

Late Wednesday afternoon (June 15), local members of Discover Burien were surprised when they tried to go to a monthly networking event at Piranha Joe’s, only to discover that doors had been locked, the lights were out, and a warrant from the State Department of Revenue was on the door.

The B-Town Blog caught up with owner Coy Wood on Thursday (June 16), who was at Piranha Joe’s cleaning up. Although the Department of Revenue sign on the closed restaurant said they owed $36,000 in back taxes, Coy tells the blog that “we’re behind in sales taxes, there was a warrant for $36,000 and we had $11,000 left on the balance. I couldn’t pay them in time, so they closed us down.” Apparently Coy has been working with the Department of Revenue since the first of the year to pay the debt.

Whether Piranha Joe’s will remain in their Safeway Plaza location will remain up to the landlord, who Coy is trying to contact.

“At this point in time we don’t know what we’re doing or where we’re going,” he added. “The tough thing is that we’ve ended up with around $40,000 in inventory that’s going south on us in the next week” (salmon, steaks, perishable foods).

Gina Bourdage, Discover Burien Executive Assistant, discovered the closing when she went over to coordinate Wednesday’s event. She called Elliott Bay Brewery’s Michael Goldsmith, who welcomed the party during his dinner rush. DB bought some appetizers and over 20 members enjoyed Michael’s hospitality and bought their own Elliott Bay microbrews, sodas and wine.

“Discover Burien would like to give Elliott Bay Kudos and a big B-Town thanks for saving the day,” said Gina. “It turned out great and Michael was more than accommodating.”

The bad news is that Monday (April 18th) is Tax Day, and despite being three days later than usual, it may still be a stressful day for last-second filers who have to run around, retrieve forms, sign and then mail them in time.

The good news is that the Riverton Station Post Office (located at 15250 32nd Ave. South in SeaTac) will be accepting tax forms until midnight.

As we’ve previously reported, the Riverton Post Office cut back its hours recently (the retail office closes at 6pm), so this will serve as a relief to many. Customers may get dated postage at the Automated Postal Center (APC) 24 hours a day inside the Station.

Mail can also be dropped off at collection boxes at the Tacoma Mail Processing Center (4001 S. Pine St.) and the Everett Mail Processing Facility (8120 Hardeson Rd.) at midnight to ensure getting an April 18 postmark on federal tax returns.

Here are some tax mailing tips:

• Make sure your tax return has sufficient postage. First-Class postage is 44-cents for the first ounce and 20-cents for each additional ounce. If you are mailing a number of supplementary forms and schedules with your return, the envelope is likely to weigh more than one ounce.
• The IRS will not pay postage due. Mail with insufficient postage is returned to sender. If you are in doubt about how much postage to apply, use a lobby scale, the scale on an APC (Automated Postal Center) or ask a postal clerk for assistance.
• If possible, mail your return using the pre-addressed envelope provided by the IRS. If you must prepare another envelope, make sure the address is legible and include your return address.
• When mailing your return at a post office not on the list for late pickup, check the times posted on the blue collection box to determine the last scheduled pickup time.
• Remember, postage can be purchased at any Automated Postal Center (APC). Check usps.com for a location near you.

The City of Burien announced Monday (March 21) that it will be holding a public meeting at 7pm on Monday, April 4th, to discuss proposed street and drainage improvements to SW 116th Place (see map below).

Total cost of these proposed improvements is estimated to be $68,000, with the costs to be paid for by “the properties specially benefited by the improvements,” according to the city’s announcement.

Here’s the full announcement:

CITY OF BURIEN, WASHINGTON

LOCAL IMPROVEMENT DISTRICT NO. 3

NOTICE OF PROPOSED IMPROVEMENT AND HEARING THEREON

NOTICE IS GIVEN that the City of Burien, Washington (the “City”), pursuant to Resolution No. 319, adopted February 28, 2011, declared its intention to initiate the formation of Local Improvement District No. 3 to construct standard street and drainage improvements on SW 116th Place beginning approximately 250’ West of centerline 30th Ave SW, and to assess the cost and expense of those improvements against the property in that district specially benefited thereby.

The total cost of the proposed improvements is estimated to be $68,000 and shall be borne by and assessed against the properties specially benefited by the improvements to be included within the proposed Local Improvement District to be established embracing as nearly as practicable all property specially benefited by the improvements.

The public hearing upon the proposed improvements will be held before the City Council of the City in the Council Chambers in the City Hall in Burien, Washington, at 7:00 p.m., local time on Monday, April 4, 2011.

All persons desiring to speak for or against the proposed improvements and formation of the Local Improvement District are notified to appear and present those objections at that hearing.

by Ralph Nichols

Tucci & Sons Inc. of Tacoma is the apparent low-bidder to provide 38,000 tons of asphalt for the initial phase of Burien’s 20-year asphalt overlay project, which is expected to begin in September.

Doug Lamothe, the capital projects manager for the city’s Public Works Department, said Tucci & Sons’ base bid was $5,721,582. Bids were requested for six project add-ons as well in case there is enough money to do the additional work.

“Right now we’re trying to determine how to piece in the add-ons with the money available,” Lamothe said. “The bids were extremely favorable so there’s a good chance that by the time we put all our numbers together we will be able to do most of the additional work as well in 2011.”

The city will have approximately $8.7 million from bonds it is issuing to pay for the first phase of the asphalt overlay project, which will be done during the remainder of this year’s construction season and throughout the construction season next year.

“At the rate we’re going, we’re hoping to have the contract awarded and a pre-construction conference by Sept. 1,” he continued. “Our first initial push is to make improvements on Ambaum Blvd.,” with road work starting later in the month.

“That is what we will probably see done this year before weather curtails construction activity. Generally speaking, the weather curtails asphalt work around Nov. 1, unless we get a stretch of warm weather, until early April.”

In addition to Ambaum Blvd. between SW 112th and SW 156th streets, the phase one base bid includes asphalt overlays on 4th Ave. SW between SW 154th and 156th streets, S/SW 128th St. between Des Moines Memorial Drive and Ambaum, and SW 148th St. between Ambaum and 4th Ave. SW.

Except for Ambaum, this work will be done in 2011.

Lamothe said the city is “extremely pleased with the bidding climate and the results of our project advertising and design, and we‘re looking forward to really making some improvements to the streets of Burien that are most in need of overlays.”

The 20-year asphalt overlay program, with a $19.4 million price tag, will put 2-inch asphalt overlays on more than 260 lane miles to restore and maintain city streets at an average Pavement Condition Index level of 80 percent. The current average condition of local streets is 68 percent.

A $10 vehicle license tab fee will generate $300,000 for the ongoing project beyond 2011, with savings the city will realize by doing in-house some programs previously done by King County providing the rest of the money annually.

by Ralph Nichols

A $10 vehicle license fee was adopted on June 21 by the Burien Transportation District to fund a 20-year, $19.4 million program to restore and maintain city streets.

The action came on a 4-3 vote by the city council, sitting as the board of commissioners for the transportation district, following a public hearing.

This program, including the fee, was approved by the council in April, but state law required that final action be taken by the transportation district commission.

Mayor Joan McGilton, Deputy Mayor Rose Clark, and council members Jack Block Jr. and Kathy Keene voted for the fee on vehicles registered in the city.

Council members Brian Bennett, Lucy Krakowiak and Gordon Shaw opposed it.

The affirmative vote also provided that the boundary of the city wide district will expand to include any future annexations by Burien.

Only two residents testified during the public hearing: Ed Dacy, who supported the fee-based program as an investment in the city’s future; and former councilman Stephen Lamphear, who opposed the action.

The $10 license fee will help fund 2-inch asphalt overlays and related repairs on more than 260 miles of city streets to restore and maintain city streets at an average Pavement Condition Index level of 80 percent. The current average condition of local streets is 68 percent.

McGilton said prior to the vote that with the lack of state and federal funds, “the only funding source remaining to us is our city. Ten dollars is a reasonable amount to pay for those of us who use the roads in Burien.”

The $10 fee will help fund 2-inch asphalt overlays and related repairs on more than 260 miles of Burien streets.

Block called it “a good investment that has a good payback,” while Keene called it “good policy” that “brings our roads up to the standards we want … unlike our sister city to the north.”

Lamphear’s remarks echoed his recent comments in a letter to The B-Town Blog (link here) that the hearing is “a time and money waster.”

In that letter, he criticized “the arrogance of the Imperial Burien City Council” for thumbing “their collective noses at the 75% of voters who voted NO on this license fee last year.”

The Transportation Benefit District was adopted by the city council in July 2009, which proposed at that time bicycle and pedestrian improvements along 8th Avenue S. and S/SW 136th Sts. – to be funded through an annual vehicle license fee of $25.

But last fall, this license fee proposal was rejected by 75 percent of those voting in the city election.

Although state law requires a Transportation Improvement District commission to hold a public hearing when fees are imposed, it does not require a vote on fees at a basic $10 level.

Asked about Lamphear’s complaint by The B-Town Blog prior to Monday’s meeting, the Mayor flatly rejected it.

“I don’t think the community felt obligated just to do 136th Street and 8th Avenue,” McGilton said, referring to the limited scope of last year’s ballot issue compared to the new program.

To residents, asphalt-overlays throughout the city “means the street by my house,” she said.

And the $10 fee for this program to improve all city streets is much less than the $25 fee that was proposed for bicycle and pedestrian improvements only.

“We’re paying it forward,” McGilton continued. “Ten dollars per car is a good investment in 20 years of drivable roads. This is a road program that will be paid for by everybody who lives in the city and drives on our roads.”

The $10 fee will generate about $300,000 annually for ongoing asphalt overlays. Funds for the initial $8.6 million phase of the project, expected to start this summer and continue through 2011, will come from bonds issued by the city.

McGilton noted that this is the third year the city has not been able to pay for asphalt overlays through its general fund.

This program “shows vision,” she added. “It’s doing something good for the community rather than just doing what gets us re-elected.”

by Ralph Nichols

Burien is “seeing a little bit of improvement” in sales tax revenue collected by the city, according to Accounting Manager Gary Coleman.

Collections for March, which were received by the city in May, were about 15 percent below sales tax receipts in March 2009.

While this is not what city officials anticipated when they adjusted Burien’s first biennial budget last fall to account for declining general fund revenues, it’s better than the way the year started.

Sales tax collections for January were down 21 percent, compared to January 2009.

“There was a slight uptick” in sales tax revenue for March, the most recent month for which this information is available,” Coleman told The B-Town Blog. “Things are not so dire as they were.”

The retail trade represented the largest decline as the year began – 55 percent – from January 2009.

Sales tax receipts generated by new car dealers, which accounted for over 40 percent of all sales tax revenue in Burien, were down by 43 percent at the beginning of this year.

Burien began 2010 with four new car dealerships, compared to six three years ago. And this spring Millennium Ford changed owners and became a used-car-only dealer.

All motor vehicle and parts dealers combined accounted for a 31 percent decrease.

Total sales tax receipts were down by almost $373,000 from January 2009.

“We are noticing the strain of the poor economy” in the poor tax revenues, Coleman said. “But the city also planned for this eventuality, so we also have some small [general fund budget] reserves for this.”

Car sales, a “big driver” for sales tax receipts in Burien, were down and construction was slow, he noted. “Everything was down, even gasoline taxes received.”

Although car sales “have always been one of our bigger sales tax generators, this won’t get all the way back. We’re now down by two-and-a-half car dealers.”

But since January, “we have been seeing some signs of life,” Coleman said. This includes “some increased real estate activity.”

Another “good trend” for Burien is that, while local sales tax receipts remain down, county wide sales tax revenue “is slightly up.” And the city receives a small portion of sales taxes collected by the county.

Still, 2010 sales tax revenue projections look “overly optimistic” at this time. City staff, already working with reductions made in the 2009-10 budget last year, is closely tracking sales tax trends as they craft the 2011-12 budget.

Coleman said that, in the meantime, the council could “start cutting things we can” if sales tax collections continue to remain below what was anticipated, or if the economy starts to decline again.

If you have yet to realize the arrogance of the Imperial Burien City Council, check out the current city newsletter (got mine today). Page 6 mentions the street maintenance program and clearly states that the $10 per vehicle license fee IS (not ‘is proposed’) the source of funding.

So, the public hearing on Monday, June 2st is not just a mere formality, it is a time and money waster for the Council to thumb their collective noses at the 75% of voters who voted NO on this license fee last year. The Imperial City Council, as the Board of Commissioners of the wholly-owned subsidiary called the Transportation Benefit District, has already decided. The voice of the public is irrelevant. So, what else is new?

We have met the enemy and it is the Imperial City Council.

- Stephen Lamphear
Burien Councilmember 1998-2005

[EDITOR'S NOTE: Have something you'd like to say? Then email us your "Letter to the Editor" by clicking here. Be sure to include your real name and a way to contact you, and, pending our review, we'll most likely post it. Otherwise, feel free to leave a Comment below...]

If any of you are still awake after last year’s election goofiness, well it’s starting again.

The November 2009 Burien ballot included a proposal for a $25 vehicle license fee to pay for road improvements. It was hidden under a fully-owned subsidiary called the Transportation Benefit District.

I loudly opposed the license fee in print and blog. Then the vote was nearly 75% AGAINST the license fee. Apparently, rejection doesn’t bother this council. Apparently, the Burien City Council has forgotten the landslide support for $30 license tabs?

After the resounding defeat of this “hand in your wallet”, I predicted the Council would be back with a license fee that did NOT require voter approval. And here it is. I really hate to be right.

So, on April 26th, the Council voted to impose a vehicles license fee that DOES NOT require voter approval. Under the law authorizing the fully-owned subsidiaries called Transportation Benefit Districts, a public hearing is required to impose a fee – even one that doesn’t require voter approval. That hearing is a mere formality. If you have a comment, it is also just a formality. The council has already decided to impose the license fee. This time the fee is $10 – why $10? Two reasons: they can impose it without voter approval, and you are unlikely to make an issue about $10. Talk about cynical.

Last fall, the license fee would not have been assessed on vehicle owners in the yet-to-be-annexed North Highline area – they were not yet Burien citizens. Now that those 15,000 folks are proud Burien citizens and will be subject to the license fee.

So, the mere formality hearing is scheduled for June 21st. I urge the 75% of voters who rejected the $25 license fee to also reject the $10 license fee. Show up and be heard. If the council adopts the license fee despite overwhelming opposition (it’s a tradition with the Burien Council) surely the public outrage will be enough to force a vote through citizen referendum. We did that in 1996 to repeal the city’s first utility tax: we can do it again.

- Stephen Lamphear
Burien Councilmember 1998-2005

by Ralph Nichols

Burien City Council members voted 5-2 on April 26 to put the brakes on deteriorating streets – using a new $10 annual license tab fee to help pay for the ongoing roadwork.

“Future generations are going to thank you for this, I guarantee it,” City Manager Mike Martin told the lawmakers after the action, which creates a Transportation Benefit District in Burien.

The $10 license tab fee – the maximum amount that can be imposed by law without asking voters for permission – will be assessed on vehicles registered in the city.

It will generate $300,000 annually to fund part of the cost of a 20-year, $19.4 million program to restore Burien’s streets with a 2-inch asphalt overlay, which will maintain them at an average Pavement Condition Index of 80 percent.

The current condition of city streets is an average of 68 percent, with all of the city’s streets needing work.

And, Public Works Director Larry Blanchard reminded council members, the cost of repairing streets increases “exponentially” compared to the cost of maintaining them in good condition.

“The time is now to buy these [street maintenance] services,” declared Councilman Gordon Shaw before the council’s vote.

“Ten dollars is the right amount” for the license tab fee, said Mayor Joan McGilton. “We need to get started now while construction prices are probably as good as we’re going to get.”

Joining McGilton and Shaw in voting yes were Deputy Mayor Rose Clark and council members Jack Block Jr., Rose Clark and Kathy Keene.

Brian Bennett and Lucy Krawkowiak voted no.

“We need to acknowledge these are tough economic times” and a $10 fee would “be a hardship” for some vehicle owners, Bennett said.

A new $10 license tab fee will help pay to repair roads like this, located at SW 158th between Ambaum Blvd. and 1st Ave South.

Krakowiak opposed the ordinance even after saying that “cars should pay for the use of streets.”

But, countered Block, “the sooner we get going, the sooner we can bring our roads up to industrialized-world standards,” noting that Burien does not want its streets to deteriorate to “third-world” conditions like some in Seattle are.

He also argued that tapping the city’s Capital Projects Reserve Fund “is totally appropriate” to maintain infrastructure.

Funding for street maintenance “has slowly eroded … to the point where [it] has been stopped until adequate funding is restored,” Blanchard told council members.

And “not overlaying streets can only continue for a few years, then repair costs of streets will exponentially increase up to10 times the cost of normal repair to the point that the city cannot afford to replace the 263 lane miles of streets.”

As a result of the council action, the city will spend $8.6 million through 2011 to bring its street system up to an average Pavement Condition Index of 80-plus percent. Actual road work could begin later this construction season.

Following this work, which will resurface many of the city’s major arterials, it will spend $600,000 a year to maintain the streets – minimizing what Blanchard called “the extraordinary cost of rebuilding failed streets.”

The initial $8.6 million phase of this ongoing project will be funded by bonds that will be issued by the city late this summer.

A 20-year, $650,000 annual debt service and the annual $600,000 maintenance work will be paid from several sources:

• $750,000 in annual savings by having Burien staff and equipment doing surface water management and street maintenance that currently is done by King County;
• $100,000 from the Capital Projects Reserve Fund;
• $100,000 from in-lieu fees assessed Seattle City Light customers;
• And the $300,000 from license tab fees assessed through the new Transportation Benefit District.