HomeMy WebLinkAbout2025 -20256 Adopted Budget1
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Table of Contents
Pasco City Council ……………………………………………………………………………………………… 4
Pasco Leadership Team ……………………………………………………………………………………… 5
Readers Guide …………………………………………………………………………………….…………….. 6
Definitions, Sections & Funds……………………………………………………………………………… 7-8
City Council Goals ……………………………………………………………………………………….…….. 9
Financial Policies ………………………………………………………………………………………………. 10-14
Adopted Budget ………………………………………………………………………………………………… 15-17
Comparative Budget Summary …………………………………………………………………………… 18
Budget Overview ……………………………………………………………………………………………….. 19
Budget Purpose …………………………………………………………………………………………………. 20
Basis of Budgeting & Budget Process …………………………………………………………………… 21
Budget Timeline ………………………………………………………………………………………………… 22
Fund Description ……………………………………………………………………………………………….. 23
Fund Structure …………………………………………………………………………………………………… 24
Major Funds ………………………………………………………………………………………………………. 25-26
General Fund……………………………………………………………………………………………………… 27 -30
ARPA & Utility Fund …………………………………………………………………………………………… 31-34
Financial Data & Revenue Analysis ………………………………………………………………………. 35 -43
Expenditure All Funds Financial Analysis …………………………………………………………….. 4-55
Debts …………………………………………………………………………………………………………………. 56-61
Fund Balances ……………………………………………………………………………………………………. 62- 72
All City Departments …………………………………………………………………………………………… 73
City Council………………………………………………………………………………………………………… 74-75
City Manager’s Office ………………………………………………………………………………………….. 76-80
Municipal Court………………………………………………………………………………………………….. 81-83
Human Resources ………………………………………………………………………………………………. 84-86
Information Technology ……………………………………………………………………………………… 87- 89
Parks & Recreation …………………………………………………………………………………………….. 90- 93
Community & Economic Development ………………………………………………………………… 94-97
Finance ……………………………………………………………………………………………………………… 98-101
Police ………………………………………………………………………………………………………………… 102-105
Fire …………………………………………………………………………………………………………………… 106-108
Public Works – Engineering ………………………………………………………………………………… 109-113
Special Revenue Funds ………………………………………………………………………………………… 114-130
Enterprise Funds ………………………………………………………………………………………………… 114-130
Internal Service Funds …………………………………………………………………………………………. 131-137
Capital Plan and Budgeting ………………………………………………………………………………….. 138-139
Acknowledgement ………………………………………………………………………………………………. 140
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DEFINITIONS, SECTIONS
& FUNDS
City Council Goals
Objectives established by City Council to steer city initiatives and decision-making processes.
Budget Message
A communication from the City Manager to the Council outlining priorities, key issues, and
fiscal assumptions for the biennium, noting any significant changes from prior budgets.
Financial Policies
A summary of the city’s financial policies and their impact on budget preparation.
Adopted Budget
Council's resolution that sets the authorized appropriations for each fund for the biennium.
Budget Overview
Details on the budget’s development, including priorities, calculations, processes, and timeline.
Operating Budget
Includes departmental proposals aligned with Council goals, covering personnel and facility
operating costs. It is primarily funded through local property and sales taxes, inter-
departmental transfers, licenses and fees, and charges for services.
Capital Budget
Supports the acquisition of significant city assets and construction of capital facilities, aligning
with the City's six-year Capital Improvement Plan. It covers purchases over $5,000 expected to
have a useful life of more than one year, including land, improvements, vehicles, equipment,
and infrastructure.
Fund Description and Structure
Details on the city’s fund types, structure, and oversight, including a matrix by cost center.
Financial Summaries-Major Funds
An overview of the General Fund, ARPA Fund, and Utility Fund as reported in the most recent
Annual Comprehensive Financial Report (ACFR).
Financial Data
A comparison of historical, current, and projected revenues and expenditures, with narratives
on city-wide and fund-level fiscal activities and budgeting considerations.
Debt
An overview of the city's financing methods, types of debt used, and debt capacity.
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2025-2026 Budget Fund Balance
A snapshot of the budget’s impact on all city fund balances, listing beginning balances, inflows,
outflows, net changes, and ending balances for the biennium.
General Fund Balance Trend
An explanation of how the General Fund balance is calculated and its expected changes.
Utility Fund Balance
Discussion on the impact of capital spending on the Utility Fund and the importance of
maintaining an unrestricted balance.
Other Changes to Funds Balances
A summary of the financial impact of budgeted activities by fund.
Staffing Trends
A table and narrative detailing changes in full-time equivalent positions by fund and
department over recent years.
City of Pasco Organizational Chart
Displays the organizational structure of the City of Pasco.
Departments under the General Fund
An organizational chart, budget summary, personnel summary, and goals for departments.
Special Revenue Funds
Funds dedicated to specific sources and purposes, with budgets and goals for each.
Enterprise Funds
Funds for city activities that charge fees for goods or services, covering utilities like Water,
Sewer, and Stormwater, with divisional accomplishments and goals.
Internal Service Funds
Funds for tracking interdepartmental goods and services on a cost-reimbursement basis, with
budgets for each fund.
All Other Funds
Budgets for the General Capital Project Fund, Cemetery Endowment Fund, Old Fire Pension
Fund, and the Old Fire Other Post-Employment Benefits Fund.
Capital Plan and Budgeting
A summary of the six-year Capital Improvement Plan (CIP), including project categorization
and funding, noting limitations on including all projects in the biennial budget.
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CITY COUNCIL GOALS
The City operates under the Council-Manager government system as outlined in the Revised
Code of Washington Chapter 35.18, where seven elected councilmembers set policy, and the
City Manager implements these policies and oversees daily operations. Every two years,
coinciding with Council elections, the Council defines its goals to direct the City's efforts. The
2024 - 2025 goals were established in August 2024 after extensive discussions beginning in
March 2024, which included reviewing past goals, results from the National Community
Survey, community feedback, and issue papers from City departments. This goal-setting
process, which integrates long-term planning like the Transportation and Capital Improvement
Plans, marks the beginning of the biennial budgeting cycle, guiding staff actions and citywide
initiatives.
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FINANCIAL POLICIES
Summary and Purpose of Financial Policies
The City of Pasco's financial policies serve as the cornerstone of responsible fiscal management,
designed to protect public interest and uphold trust. These policies provide a framework for:
• Long-term financial stability and economic growth.
• Ensuring operations and initiatives align with broader fiscal goals, extending well beyond
the annual budget cycle.
• Preventing long-term deficits and avoiding reliance on one-time revenues for ongoing
needs.
Challenges and Opportunities
Economic challenges and opportunities have shaped recent fiscal strategies:
• The pandemic created unusual economic pressures, impacting revenues from sectors
like retail and entertainment.
• Recovery phases have seen increased sales tax revenues from an uptick in retail and
construction activities.
• Ongoing growth and development continue to drive demand for expanded city services
and infrastructure.
Financial Core Values and Goals
Key financial principles include:
• Financial Stability: Commitment to consistent service levels funded by sustainable
financial practices. With a long-term financial approach in mind, the City will develop and
maintain long-term plans, carefully weigh the costs and benefits of development
opportunities and adhere to sound debt, reserve and investment policies. For the 2025-
2026 biennium the following planning efforts are budgeted:
o General Fund Long Term Financial Forecast
o Completion of the City’s Comprehensive Plan
o Completion of various growth focused impact fee type analyses, including utilities,
traffic
• Accountability and Financial Planning: Ensuring value for services and aligning them
with community preferences.
• Environmental and Economic Vitality: Supporting investments in the renovation and
maintenance of infrastructure, facilities, policies and programs that support a clean and
healthy natural environment.
• Transparency and Engagement: Committing to clear communication and community
involvement in financial decisions.
Financial Planning & Budgeting
The biennial budget is a comprehensive plan outlining expected revenues, expenditures, and
capital investments. Agreed upon by the Council, City Manager, and Department Directors, it is
performance-based and results-oriented, structured around the city’s priorities. A balanced
budget is achieved when biennial revenues, including fund balances, meet or exceed planned
expenditures. Key components include:
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• Budget Approval: The Council approves the budget at the fund level, with any increases
to appropriation levels during the biennium requiring amendment and specific approval.
• Position Budgeting: Used to present actual and proposed full-time equivalent (FTE)
allocations by department and fund.
• Financial Management: Includes comprehensive cost allocation for each department
and fund, with quarterly financial reports on revenues and expenditures for major funds
and the General Fund.
• Capital Planning: Aligns with the Capital Improvement Plan, ensuring funds are allocated
for the maintenance, design, and replacement of the city’s infrastructure.
• Asset Management: An analysis of equipment replacement and maintenance needs is
integrated into the budget process to accurately forecast lifecycle costs.
• Interfund transfers and/or loans will be completed only after Council approval or
inclusion in the adopted budget or subsequent amendment.
• Funding Consistency: Operating expenditures are financed through stable operating
revenues, avoiding the use of one-time revenues for ongoing expenses unless specifically
budgeted or approved.
• Utility Operations: City-operated utilities are expected to maintain positive net operating
results, reflecting sound financial health.
Reserve Policies and Goals
Financial best practices emphasize that the City must maintain adequate reserves to manage
unanticipated revenue shortfalls. These reserves are crucial for the City’s financial management
strategy and are vital for maintaining its creditworthiness as assessed by external agencies.
Typically, the City relies on ongoing revenues to fund daily operations but may tap into these
reserves for one-time expenditures to bridge temporary financial gaps. This approach helps
cushion the impact of economic downturns or unforeseen financial disruptions, ensuring the City
remains financially robust.
• Provide sufficient cash flow to meet daily financial needs.
• All expenditures drawn from reserve accounts shall require prior Council approval unless
previously authorized by the City Council for expenditures within the City’s biennial
budget.
• If reserves fall below required levels as set by this policy, the City must include within its
biennial budget a plan to restore reserves to the required levels.
• General Fund: Reserves should be maintained to at least 60 days of average operating
expenditures, unless otherwise adopted in the budget or otherwise approved by Council.
• The City will review annually the reserve level required to meet cash flow needs.
• Utility Fund and non-major Enterprise funds: Reserves should be maintained at 45 days
of operating expenditures, unless otherwise adopted in the budget.
• Debt Service Fund: Reserves should be maintained at an average of one year’s debt
service payments for all debt, except assessment debt, or all statutorily required reserve
funds to guarantee debt service, whichever is more.
• Medical/Dental Insurance Fund: Reserves should be maintained at an amount equal to
16 weeks of budgeted expenses.
Capital Improvement Plan (CIP) – The CIP is a six-year plan for capital improvements that
support the City of Pasco’s current and future population and economy. The City’s CIP is a long-
range schedule of proposed public facilities, infrastructure and major projects, which includes
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estimated costs and sources of funding over a six-year period. The CIP is updated annually for
the purpose of confirming and/or reorganizing projects on a priority basis and to prepare the
Capital Projects Budget. The Council’s adoption of the CIP in no way constitutes an appropriation
of funds to a specific project.
• The City will make capital improvements in accordance with an adopted CIP, as budgeted
within the current biennial budget.
• The City will determine the most cost-effective financing method for all new projects.
• For each capital project and for each year of the six-year planning period, the CIP shall
include an estimate of the cost of construction, an estimate of the annual O&M impact,
and anticipated sources of funding.
• The CIP shall be prepared and submitted to the City Council as part the Proposed Biennial
Operating Budget.
• Reports on the status of projects included in the CIP shall be prepared and presented to
the City Council annually.
• These reports will highlight the status of project construction, scheduling, spending,
funding and discuss any significant issues or trends that may affect the ability of the City
to stay within budget.
Equipment Replacement – The City’s physical assets, such as vehicles and buildings,
represent a significant investment of resources. Timely maintenance and replacement of these
assets at the end of their useful lives is necessary. This enhances reliability, quality of public
services, and supports safety for the public and employees.
• The City will maintain a comprehensive inventory of its physical assets, including useful
life, original purchase date and cost, information on its general condition, and the
estimated value of replacement.
• The City will maintain a replacement schedule by physical asset indicating the
replacement cost and its corresponding source of funding. The replacement schedule will
be reviewed and budgeted as part of the City’s biennial budgeting process.
• The City will maintain its physical assets adequately to protect the City’s capital
investment. Adequate maintenance will further minimize unnecessary future repair and
replacement cost.
• Equipment reserve funds shall be maintained at levels sufficient to meet scheduled
equipment replacement, ensure safety and to prevent a deterioration in City assets.
Revenue Policies
Service demands require that an adequate revenue stream be maintained. A diversified and
stable revenue structure will be maintained to shelter the City from fluctuations in any single
revenue source. City funds will be prudently invested to provide for sufficient liquidity to meet
cash flow needs and provide interest earnings. The following serve as guidelines for maintaining
a stable revenue stream:
• The City will seek to avoid dependence on temporary or unstable revenues to fund
recurring/basic municipal services.
• The City will proactively compete for its fair share of available State and Federal revenues.
• The City will diligently collect revenue due and ensure compliance with revenue
regulations.
• The City will establish all user charges/fees at a level related to the cost of providing the
service and within policy parameters established by City Council.
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• In conjunction with the budget process, the City will review user fees to assess for the
effects of inflation and other factors as appropriate. The City will set fees and user charges
for Enterprise Funds at a level that fully supports the total direct and indirect cost of the
activity, including the cost of annual depreciation of capital assets.
Expenditure Policies
The City shall authorize only those ongoing operating expenditures that may be supported by
ongoing operating revenues. Before the City undertakes any agreements or purchases that
would create fixed or ongoing expenses, the cost implications of such shall be analyzed and
reviewed.
• Emphasis shall be placed on improving productivity, workplace innovation and program
evaluation, as well as alternative means of service, rather than adding to the work force.
• The City shall invest in technology and other efficiency tools to ensure high productivity.
• Enterprise Fund expenditures shall be fully supported by their own rates, fees and
charges and not subsidized by the General Fund without authorization of the City Council.
• The Enterprise Funds shall pay their share of overhead costs and services provided by
the General Fund.
Debt Policies
The City recognizes that prudent use of its credit can facilitate construction of essential capital
improvements and services, while sharing the costs of those improvements between current and
future beneficiaries. The intent of the Council is that the City shall manage its long-term debt in
a manner designed to utilize its credit to optimize City services, while balancing debt levels and
annual debt service obligations. The following policies are intended to apply to all forms of debt.
Short-term Debt and Internal Debt:
• Short-term debt is defined as a period equal to or less than one year.
• The City may use short-term debt to cover temporary cash flow shortages.
• The City may issue Interfund loans (internal debt) rather than outside debt to meet short-
term cash flow needs. This includes “one-day” loans from the General Fund for year-end
fund balance reporting. All Interfund loans with terms of three months or more will be
subject to Council approval by ordinance or resolution and will bear interest.
Long-term Debt:
• Long-term debt is defined as a period of more than one year.
• Long-term debt service payments will not exceed the expected life of a project.
• The City will determine whether self-supporting bonds (such as special assessment
improvement district bonds) are in the City’s best interest when planning to incur debt to
finance capital improvements.
• Prior to the decision to issue general obligations debt, which is an obligation against the
general taxing authority of the City, the feasibility of alternative methods of financing using
special assessments, fees/charges and special revenue debt, should first be determined.
General Accounting, Auditing and Financial Reporting Policies
The City of Pasco recognizes the need for ensuring accountability for the collection,
management and expenditure of all public funds under its jurisdiction. Strong accounting
practices and financial reporting is essential in ensuring compliance with governing laws,
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ordinances and procedures. Further, this allows for timely and accurate reporting to City officials,
City Council and the public.
• The City will establish and maintain a high standard of internal controls and accounting
practices.
• The accounting system will maintain records on a basis consistent with accepted
standards for local government accounting and the State of Washington Budgeting,
Accounting, and Reporting Systems (BARS).
• Annual financial reports will present a summary of financial activity by major types of
funds. Such reports will be available via the City’s website.
• The annual financial report shall conform to Generally Accepted Accounting Principles
(GAAP).
• A fixed asset system will be maintained to identify all City assets, their location, and
condition.
• The City will strive to maximize the return on its investments with the primary objective of
preserving capital and use prudent investment practices as detailed in the City’s
Investment Policy.
• The criteria for managing the City’s investment portfolio shall be: a) to maintain liquidity
to meet the City’s cash needs, b) to minimize potential market risks, and c) to maximize
investment returns.
• The City will deposit all funds within 24 hours of receipt as required by the State
Constitution.
The City will ensure that City records are audited annually, which will result in the issuance of a
financial opinion. The results of such audit are to be available to the public via the City’s website.
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ADOPTED BUDGET
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NOTE: The budgeted beginning and ending fund balances presented in the Ordinance for Old Fire Pension and
OPEB Funds reflect an administrative oversight. However, budgeted inflows and outflows remain reasonable,
ensuring appropriate budget authority. Correct beginning fund balance should be $5,447,218 for Old Fire Pension
and $5,467,055 for Old Fire OPEB. Further, the correct ending fund balance should be $6,249,110 for Old Fire
Pension and $6,183,090 for Old Fire OPEB.
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Note: The 2025 Beginning Fund Balance is an estimate of results of 2024 closing activity and
hence differs from the 2024 Budgeted Ending Fund Balance.
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended Budget
2025-2026
Budget
Revenues
Taxes 88,635,153$ 107,991,738$ 114,432,546$ 121,384,039$
License & Permits 6,642,444 7,936,618 8,983,210 7,794,349
Intergovernmental 24,330,920 55,843,938 47,176,215 40,801,758
Charges for Service 125,518,662 138,651,148 153,004,821 163,392,036
Fines & Forfeitures 2,449,059 2,488,495 2,878,040 3,030,246
Miscellaneous 14,311,236 12,423,181 28,675,134 62,673,832
Other Sources 13,259,338 4,848,797 4,509,751 4,775,966
Total Revenues 275,146,812 330,183,915 359,659,717 403,852,226
Expenditures
Salaries & Wages 64,852,461 74,031,704 100,324,566 108,838,399
Personnel Benefits 23,099,341 25,240,785 35,117,340 35,870,047
Supplies 10,135,609 14,100,458 18,518,724 19,295,922
Services & Charges 73,564,510 123,768,674 145,939,508 125,166,926
Capital Outlays 54,149,213 105,878,082 261,830,391 150,809,602
Debt Services 26,455,351 28,335,509 35,803,576 57,410,323
Total Expenditures 270,970,600 371,355,212 597,534,105 497,391,219
Other Financing Sources (uses)
Debt proceeds 38,527,141 52,991,568 154,388,308 68,944,925
Proceeds from Sale of Capital Asset 2,885,651 - - -
Transfer In 35,673,132 49,042,795 82,066,140 20,641,633
Transfer Out (35,709,220) (49,042,795) (82,558,553) (24,321,630)
Contributed Capital - 1,260,063 43,169 -
Total Financing Sources (Uses)41,376,704 54,251,631 153,939,064 65,264,928
Net Change in Fund Balance 45,552,916 13,080,334 (83,935,324) (28,274,065)
Budgeted Beg Fund Balance 134,209,373 197,884,302 156,175,147
Budgeted End Fund Blaance -$ 147,289,707$ 113,948,978$ 127,901,082$
COMPARATIVE BUDGET SUMMARY
ALL FUNDS
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BUDGET OVERVIEW
This section provides an overview of the 2025-2026 Biennial Budget, highlighting revenues,
expenditures, and key financial challenges for all City funds. Over these two years, expenditures
reflect careful management of resources amid growing community demands and infrastructure
needs. Notably, the budget strives to maintain a balance between managing ongoing expenses
and funding capital improvements for future growth, indicated by an anticipated increase in sales
and property taxes.
Key points of the 2025-2026 budget include:
• Total Expenditures: $521.7 million, with capital expenses at 29% ($150.8M) and
personnel costs at 28% ($129.5M).
o Remaining Expense Categories: Services (25%), debt service (11%), and
supplies (3%), with transfers out accounting for 4%.
• Capital Projects: $147.2M planned, primarily for transportation and utility infrastructure,
with $82.8M allocated to utilities (including $14M in unsecured funding).
• Revenue Total: $493.4 million, sourced primarily from charges for services (33%), taxes
(25%), intergovernmental revenues (8%), and miscellaneous revenues (13%).
Planned budgeting for capital projects and operational subsidies includes:
• Utilities Projects: $82.8M (possible project delays pending external funding)
• Parks, Recreation, and Community Facilities: $19.8M
• Transportation Improvements: $44.6M
• Vehicle and Equipment Purchases: $3.5M
Note: A link to the Capital Improvement Plan is included at the end of this budget document.
The revenue structure supports various operational and capital needs, with additional financing
from operational subsidies detailed as follows:
Expense Budget
Total $7.05M
Further, the budget includes transfers to the construction fund ($13.8M) and utilities construction
supported by loans ($68.9M). This budget serves as a strategic blueprint for navigating financial
stewardship and community growth through careful governance and community engagement.
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Budget Purpose
The City of Pasco's budget serves as a reflection of its vision, strategy, and priorities, aiming to
be comprehensive, transparent, and efficient. It engages citizens, department heads, and
elected officials to build trust and ensure community buy-in. The budget acts as a comprehensive
financial plan, detailing revenue sources and allocations to various programs, with the following
key purposes:
• Policy Tool: It reviews and possibly redirects City services and financial activities based
on thorough analysis and community needs, setting policy direction for the upcoming two
years.
• Operational Guide: As the legal authority for expenditures, the budget sets boundaries
for spending and provides legislative and administrative guidance to City employees
about their roles and the scope of activities.
• Financial Plan: The budget manages the City’s financial resources by addressing
immediate needs and planning for the future. It includes financial forecasts to assess the
long-term fiscal impacts of current policies and decisions, utilizing tools like rate studies
and trend analyses.
• Communication Tool: To ensure effectiveness, the budget is designed to be clear and
transparent, catering to a diverse audience. It communicates key policies, challenges,
and plans for the biennium, facilitating meaningful dialogue between citizens and their
representatives.
Budget
Purpose
Policy Tool
Operational
Guide
Financial Plan
Communication
Tool
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Basis of Budgeting
The City adopts a biennial budget as permitted by RCW 35A.34, starting in odd-numbered years
and including a mid-biennium review to adjust, rather than overhaul, the budget. Adjustments
reallocate funds without changing the overall budget, whereas amendments alter the total
appropriations. The mid-biennium review typically runs from September to December of the first
year, enhancing long-term financial planning.
Governmental funds follow a modified accrual accounting basis per generally accepted
accounting principles (GAAP), while proprietary funds use a full accrual basis. Financial
statements for each fund type adhere to these accounting standards.
Implementation and Monitoring
The budget is implemented through department objectives and financial controls managed by
the Finance Department, which issues periodic variance reports to compare actuals against the
budget. These detailed reports, reviewed by the City Council for oversight, assess the City’s
financial health and ensure budget compliance. Departments also conduct monthly meetings to
evaluate progress and make operational adjustments.
The budget is managed and monitored by each department with support and reporting supplied
by the Finance Department. Throughout the year, the budget’s status is regularly reviewed, with
a comprehensive mid-biennium evaluation to identify any needed changes. Budget modifications
can occur through transfers within department budgets, approved by Department Directors and
the City Manager, or through formal amendments that change department or fund
appropriations. Amendments, which might arise from new grants or unforeseen expenditure
needs, require Finance Department evaluation and City Council approval.
Budget Process
The City of Pasco’s budget process is structured to ensure effective planning, implementation,
and funding of city programs. Key components include:
• Budget Planning: Involves community input via listening sessions, departmental
feedback, and evaluations of previous service levels. City Council revises goals and
objectives in late spring, considering staffing, emerging issues, and program priorities.
• Capital Improvement Plan: Starts in May, aiming for completion by fall, with formal
adoption of both the Capital and Operating Budgets in December. This plan includes
projects that align with biennial goals.
• Revenue Forecasting: Conducted by the Finance Department, focusing on trends and
upcoming changes in rates or fees, including public hearings on the Ad Valorem Tax
(Property Tax) levy to set revenue expectations and corresponding expenditure levels.
• Budget Adoption: Involves public hearings and departmental coordination for
transparency and timely adjustments. The Operating and Capital Budgets, including
Capital Improvement Plan projects, are adopted by Council in December.
• Budget Monitoring: Continuous throughout the year with monthly department head
meetings to track progress and adjust as necessary. In summer of odd-numbered years,
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departments review with the Finance Department to propose mid-biennium adjustments,
which are then formalized by ordinance, no earlier than September of the year.
This process not only meets legal standards as outlined in the Pasco Municipal Code and the
Revised Code of Washington Chapter 35A.34 but also ensures that the City’s financial resources
are aligned with its strategic goals.
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Fund Descriptions
The City of Pasco organizes its finances into approximately 39 distinct funds for fiscal and
accounting purposes, each serving as a separate entity under nationally recognized
governmental accounting and budgeting rules. These funds are categorized as follows:
• General Fund: Supports most public services like law enforcement, fire protection, and
parks, funded primarily by taxes, such as sales, property and utility taxes. It’s a major
catch-all fund with a required appropriated budget.
• Special Revenue Funds: These funds account for revenues legally designated for
specific purposes. An example are the City Street Fund and Arterial Street Fund, which
are funded by gasoline taxes, and can only be used for maintenance and improvements
to roads and Streets. All special revenue funds have appropriated budgets but are rarely
classified as major funds.
• Debt Service Funds: Used for repaying general obligation bonds principal and interest,
as well as local improvement district debt service These funds follow a fixed amortization
schedule as their budget and do not require legal appropriation.
• Capital Projects Fund: Manages resources for major capital facilities' acquisition and
construction. The City’s Capital Projects Fund is known as the Construction Fund and is
presented as a major fund for financial reporting purposes. Capital projects related to
Proprietary Funds are accounted for within the Proprietary Funds.
• Proprietary Funds: Activity in these funds is accounted for similar to private businesses
where the costs of supplying service are recovered through user charges. Examples
include the City’s provision of water or sewer services reported within the Utility Fund.
These funds have appropriated budgets.
• Internal Service Funds: Fund services provided between City departments on a cost-
reimbursement basis, such as vehicle maintenance and rentals. These funds are not
major and do not require appropriations.
• Fiduciary Funds: Also known as Trust or Custodial Funds, these funds manage assets
held on behalf of external parties, like the Cemetery Trust Fund for gravesite
maintenance. These funds are not major and do not require appropriations.
• Appropriation: While some funds do not require appropriation, the City chooses to
appropriate all budgeted spending.
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Fund Structure
Finance Director General government activities
100 General Fund Operations
Council Council Council
Municipal Court Judge Municipal Court
City Manager Council Management of City, personnel, communication, legal, risk, and City Clerk
Human Resources Human Resource Director Management of Human Resources, personnel, risk management
Information Services Information Services
Police Police Chief Police services
Fire Department Fire Chief Fire services (Not including Ambulance Services)
Parks & Recreation/Facilities Parks & Rec Director Management of facilities, parks, recreation, Pasco Specialty Kitchen, and
Farmers Market
Community Development CED Director Community planning, economic development, and code enforcement
Finance Finance Director General finance
Engineering PW Director Public Works Administration and Engineering
Library Parks & Rec Director Mid-Columbia Library
NonDept Finance Director Citywide expenditures, fund transfers, fund balance & one-time
expenditures
110 Street PW Director Operations & maintenance of City's streets
120 Arterial Street PW Director Construction & maintenance of City's arterial streets
125 I-182 Impact PW Director Construction & maintenance of geographically bound City's transportation
network
130 Street Overlay PW Director Overlay of City's transportation network
140 CDBG CED Director Community Development Block Grant (CDBG)
145 MLK Center Parks & Rec Director Recreation Center
150 Ambulance Fire Chief Ambulance operations & service
155 ARPA City Manager American Rescue Plan Act funds
160 Cemetery Parks & Rec Director Cemetery operations & service
161 Blvd Maint Parks & Rec Director Maintenance of City's boulevards
165 Athletics Parks & Rec Director Manage recreation program
166 Golf Course Parks & Rec Director Manage recreation operation facility
168 Animal Control and Services Parks & Rec Director Animal control operations and services
170 Senior Center Parks & Rec Director Manage recreation program for seniors
180 Multi Modal Parks & Rec Director Train station, Bus station, & any City's transportation network
182 School Impact Finance Director Pass-through funds collected for Pasco School District
185 Marina Parks & Rec Director Manage recreation program
188 Lodging City Manager Manage Lodging tax for promotion of tourism
189 Litter Abatement CED Director
190 Revolve Abate CED Director
191 TRAC City Manager Manage Trade Recreation Agriculture center
192 Park Develop Parks & Rec Director Management of Park Development program (mostly capital projects)
193 Capital Improve Reet City Manager Real Estate Excise Tax used to fund major capital infrastructures
194 Economic Develop CED Director Promote economic development of the City through revenues received
from City's property leases
195 Stadium/Conv Ctr City Manager Management of recreation program
196 Hotel/Motel Excise tax Finance Director Manage Lodging tax for promotion of tourism
Debt Service Funds
200 LID Guarantee/Loans Finance Director Reserves for security of Local Improvement Districts (LID'S) and Principal
& Interest payments
367 Capital Improvements Finance Director Capital Improvement- Citywide projects
Enterprise Funds
410 Utilities PW Director Operation and capital fund for Water, Irrigation, Sewer, Reuse and Storm
Water and Process Water Reuse Facility
510 Equipment O&M Govt PW Director Operation and maintenance of government vehicles
511 Equipment O&M Utility PW Director Operation and maintenance of enterprise vehicles
515 Equipment Repl. Govt PW Director Equipment replacement fund for government vehicles
516 Equipment Repl. Utility PW Director Equipment replacement fund for enterprise vehicles
521 Medical/Dental City Manager Management of City's self insured medical insurance
530 Central Stores Finance Director Currently dormant fund
Fiduciary/Trust Funds
610 Old Fire Pension Finance Director Pension fund for fireman's retirement
619 Old Fire OPEB Finance Director Pension fund for fireman's benefits
Permanent Fund
605 Cemetery Endowment Care Finance Director Long-term reserves for cemetery care and improvements
24
Major Funds
The General and Utility Funds are major funds of the City. Major funds represent the City’s most
important funds determined by value of financial elements like assets, liabilities or expenditures
within the individual fund as compared to City-wide values. The General Fund is always a major
fund.
Comparative Budget Summary –
General Fund
*Fund Balances are estimated
Expenditures
Salaries & Wages 44,816,294 51,246,721 67,636,287 71,259,346
Personnel Benefits 15,702,324 17,199,865 23,203,568 23,181,518
Supplies 2,558,564 4,010,324 5,784,217 7,339,614
Services & Charges 30,466,586 38,805,993 44,574,617 50,097,711
Capital Outlays 2,558,564 3,136,258 4,654,308 576,850
Debt Services 6,193,998 7,803,775 10,589,958 10,979,371
Total Expenditures 102,296,331 122,202,936 156,442,955 163,434,410
OTHER FINANCING SOURCES (USES)
Bond Proceeds 20,183,905 4,225,074 34,184,201 -
Proceeds from Sale of Capital Asset 1,045,223 - 5,000,000 -
Transfer In 452,986 1,094,966 925,816 927,460
Transfer Out (15,543,598) (25,608,115) (44,574,867) (8,437,000)
Total Financing Sources (Uses)6,138,516 (20,288,075) (4,464,850) (7,509,540)
Net Change in Fund Balance 22,961,200 (10,157,000) (14,401,260) (13,196,686)
Budgeted Fund Balances - Beginning 15,790,933 38,752,133 36,413,581
25
General Fund Revenues 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Budget %
Taxes $81,950,145 $96,734,320 $105,691,673 $114,384,039 72%
License & Permits 5,353,252 7,156,781 7,481,532 6,584,940 4%
Intergovernmental 7,906,227 16,508,804 9,065,246 7,519,082 5%
Charges Goods & Services 14,800,951 17,898,565 19,281,021 21,194,237 13%
Fines & Forfeitures 2,044,964 2,066,354 2,198,349 2,440,300 2%
Miscellaneous Revenue 2,193,199 4,591,272 2,788,724 5,624,666 4%
Transfers In 452,987 1,269,762 925,816 927,460 1%
Other Financing Sources 24,936,088 586,528 6 - 0%
Total Revenues & Other Financing
Sources $139,637,813 $146,812,386 $147,432,367 $158,674,724 100%
26
General Fund
The General Fund is the City's largest, underpinned by various factors and its broad scope of
community services:
• Staffing: Supports 64% of the City’s over 500 full-time positions.
• Financial Overview:
o Represents 39% of total City revenue and 33% of expenditures.
o Tax revenues are the main source, totaling $114.3M or 72% of the fund.
Property taxes: 18.5% of General Fund revenue.
Sales taxes: 33.1% (largest source of recurring revenue).
Utility taxes: 19.3%.
o Other revenues:
Permits and licenses: 4%
Intergovernmental: 5%
Charges for services: 13%
Fines and penalties: 2%
Miscellaneous: 4% (including debt service support, law enforcement
academy administration, investment income, and facility rentals)
Grants: 1%
The City's assessed valuation highlights significant growth, with a preliminary 2025 tax year
assessment of $12.7 billion, marking a 245% increase since 2014.
The chart below reflects the main contributors to the City's Retail Sales Tax receipts from 2021
through 2024:
• Retail Sales: Nearly half of the sales tax revenue comes from retail activities, including
automotive dealerships.
• Construction Activity: Represents the most variable source of sales tax:
o 2021: 13%
o 2022: 24%
3.7 3.9 4.2 4.8 5.5 6.1 6.7 8.1 9.5
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o 2023: 17%
o 2024: 26%
• Overall Growth: Excluding construction, the remaining sales tax revenue has shown
consistent growth, increasing by 13% from 2021 to 2024.
The General Fund's diverse revenue sources include partnerships for emergency services at
Tri-Cities Airport and School Resource provisions to the Pasco School District. The Fund also
encompasses receipts from issuance of building permits, grants, and overhead recovery from
the City’s Utility Fund for services provided by Human Resources, financial processing and
reporting, Information Technology support, and engineering.
Percentage of Sales Tax Received
Remaining Categories 6.6%
Licensing 2.3%
Transportation & Warehouse 2.4%
Other Service 2.5%
Real Estate & Rental/Leasing 2.5%
Administrative Support - Waste Remediation 2.6%
Accomodation & Food Services 6.6%
Wholesale 8.0%
Construction 20.6%
Retail 45.9%
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In 2022, the City established the Broadmoor Area Tax Increment Financing (TIF) Area to support
$39M in transportation infrastructure improvements, aiming to spur development over 450 acres.
One of the first projects within the Broadmoor Area is the construction of an Aquatic Center by
the Pasco Public Facilities District (PPFD). To mitigate the impact of debt service associated
with bond proceeds for Area improvements that represent a general obligation of the City, both
PPFD and majority property owner with Area are partnering with City. Should debt service
payments exceed related TIF area tax proceeds, partners will provide a portion of funding. The
potential revenue value of this partnership is included in General Fund revenues.
State-shared revenues from Washington are inflows to the General Fund. These revenues can
fluctuate depending on legislative decisions. Significant shared revenues include Liquor Sales
related taxation at $2.4M and Public Utility District Privilege revenue at $1.5M.
Major expenses in the General Fund:
• Salaries and Benefits: 55% of expenditures; departments include Police, Fire,
Engineering, Permitting and Planning, Parks and Recreation, Information Technology,
Finance, Human Resources, City Administration, Municipal Court and Council.
• Services & Charges: 29%, covering recurring monthly costs like utilities and contracts
for janitorial services or external service contracts including insurance policies, leases
or facilities maintenance and unique projects like the City’s Comprehensive Plan.
• Other Expenses:
o Debt service: 6.4%
o Transfers out: 4.9% (e.g., to Construction Fund, streets maintenance)
Transfers out include support for capital projects completed in the
Construction Fund of $2.6M, transfer of fuel tax to the streets funds to
support maintenance of $2.9M, and operations supporting transfers for
Ambulance ($820K), Animal Shelter ($1.5M), Martin Luther King Center
($180K), and Senior Center ($340K) Funds.
o Supplies: 4.3%
o Capital purchases: 0.3%
During the 2023-2024 biennial budget, staffing increased notably in Police, Fire, Parks and
Recreation, and Information Systems. Some positions in the Fire Department, are temporarily
funded by a SAFER grant set to expire during the 2025-2026 budget period. With expenses
outpacing revenue growth, replacement of vacant positions will be carefully evaluated to
assess opportunity to realize labor cost savings. Process improvements or reassignment of
position duties to remaining staff may occur temporarily. In some cases, the result may be less
or slower completion of work product.
Budget reductions in other areas include:
• Limited travel and training to essential certification events.
• Reduced City-sponsored events.
• Minimal maintenance budgets.
• Paused implementation of new programs.
29
During the biennium evaluation and, where appropriate, updates to rates and fees to better
align with service costs is anticipated. Also, a biennium aim is identification of process
improvements to enhance efficiency through centralization and automation.
ARPA Fund
The American Rescue Plan Act Fund (ARPA), established in 2021 through the U.S. Department
of the Treasury, allocated approximately $17.5 million to the City to address COVID-19 impacts.
These funds are meant for public health responses, economic hardships, essential worker
premium pay, revenue replacement, and infrastructure improvements in water, sewer,
transportation, and broadband. The City must fully expend these funds by December 31, 2026,
with about $4 million designated for the 2025-2026 biennium for specific projects:
• Upgrades to a city-owned building used by the Boys & Girls Club.
• Partial remodel of the Martin Luther King Community Center.
• Implementation of the Downtown Outdoor Dining Program.
• Enhancements to a City-owned facility supporting local food entrepreneurs with a certified
commercial kitchen.
• Expansion of regional mental health services via the Pasco Resource Navigator
program.
This fund is closely monitored to ensure adherence to federal guidelines including the
expectation that federal funds will be depleted by end of 2026.
Utility Fund
The Utility Fund manages operations, maintenance, and capital projects for essential city
services including potable and irrigation water, municipal and industrial wastewater treatment,
and stormwater management. Each service within the fund maintains separate records to
facilitate accurate budgeting, analysis, and rate setting.
2025-2026 Biennial Budget Overview:
• Total Revenue: $168.3M, with $87.8M earmarked for capital projects and $80.5M for
operations. A portion of this revenue is received based on charges assessed on new to
utility service development. Use of this revenue stream may extend into future periods.
o Charges for services make up 98% of operational revenue, derived from monthly
fees and consumption charges across utilities.
o License & Permit revenue represents a mere one percent (1%) of operations-related
revenue.
30
Revenue and Rate Studies:
• An irrigation revenue study conducted in 2024 recommends a 17% annual rate increase
from 2025-2027, with subsequent annual increases of 3% through 2030. Council action
was not complete in 2024 and a decision is anticipated in the first quarter of 2025.
• Changes to the Process Water Reuse Facility’s revenue structure were approved at the
end of 2024 to support the new Pasco Resource Recovery Center. Related budget
2023 Actual 2024 Estimate 2025 Proposed 2026 Proposed
Capital Financing 73,403,909 56,088,133 57,088,812 16,618,038
Miscellaneous 1,147,613 1,530,697 3,757,624 10,963,287
Late Penalties 131,555 200,000 144,973 144,973
Charges for Services 39,237,008 39,211,000 38,676,706 40,208,099
Intergovernmental 394,314 299,551 70,000 70,000
Permits 260,603 258,550 265,926 273,483
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Utility Fund Revenues & Financing Sources
2023 Actual 2024
Estimate
2025
Proposed
2026
Proposed
Transfers Out ----
Salaries and Benefits 7,520,862 9,089,105 9,959,988 10,021,127
Supplies and Services 16,957,618 18,924,391 19,711,179 17,873,545
Debt Service 8,360,482 9,437,898 32,358,895 12,502,778
Capital Outlay 59,782,370 59,000,000 52,698,968 31,155,056
Fund Balance, includes Net
Investment in Capital 255,351,560 256,488,097 241,763,108 238,488,482
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Utility Fund Expenses and Capital Outlays
31
amendments will take place in 2025.
• Water and sewer rate studies are planned for 2025 following a review of existing models
and fiscal outcomes.
Expenses:
• Total Expenses: $186.3M, with $83.8M dedicated to capital investments vital for
maintaining and improving utility services. The utility actively seeks Federal and State
grants and low-interest loans to fund these investments. When external funding is
unavailable, it relies on revenue bond financing. The lifespan of the utility assets and the
terms of the associated debt are closely aligned, ensuring that debt service costs are
distributed fairly over the years, benefiting the corresponding customers. This alignment
helps avoid burdening current customers with the costs of assets that will benefit future
generations.
o Operations and Maintenance: $57.6M is budgeted for the ongoing functionality
and upkeep of utility systems, ensuring reliable service delivery.
o Debt Service: $44.8M covers the repayment of bonds and loans, critical for
financing previous and current infrastructure projects. This value also includes
refinance of a bond anticipation note that was issued in 2024 associated with the
East UGA Sewer LID.
• Expense categories breakdown:
o Salaries and benefits: 20%, reflecting maintenance of staffing levels with cost-of-
living adjustments.
o Supplies: 6%, strategically reduced by 12% from the previous biennium:
Janitorial supplies budgets decreased, reflective of actual spending
Chemical supplies budget increased 29%
Repair and maintenance supplies decreased by 28%
Removed purchase of water rights from budget line
Inventory supplies budget decreased by 29%
o Services: 30%, adjusted for efficiency:
External services reduced by 7%
Training and Travel reduced to only maintain certifications and regulatory
requirements
Cost for electricity increased 7%
Includes creation of Water Comprehensive Plan
Includes planned maintenance projects at approximately twice the prior
biennium. Despite this level of maintenance projects, emergencies may
occur that require budget amendment. The biennial budget anticipates
emergency items at a minimum level, consistent with current revenue
support
o Debt repayment: 34%, aligned with the lifecycle of utility assets to equitably
distribute costs.
o Interest: 10%, associated with borrowed funds.
Capital Investments:
• Focused on renewing aging infrastructure and expanding capacity, capital investments
total $83.8M.
• Funding sources include 73% from external sources such as revenue bond proceeds
(18%) and low-interest loans (82%), with about 10% supported by rate revenues.
32
• The remaining budget, 17%, of capital investment or $13M is unsecured. Active pursuit
of low-interest or grant funding in support of capital investment has been a priority.
Significant capital projects budgeted this biennium include:
• Infrastructure improvements at the Butterfield Water Treatment Facility ($10.6M)
• West Pasco Water Treatment Plant Expansion- WWTP- ($13.5M)
• The second phase in Wastewater Treatment Plant Improvements ($10.2M) as
recommended by the WWTP Facility Plan
• Irrigation system improvements ($6.4M) including the installation of a delivery and
booster pump station and addition of a new well source for non-potable water supply
• Construction and renewal of stormwater facilities ($2.8M) to prevent flooding and related
damage to roadways throughout the City
• Improvements benefitting the Process Water Reuse Facility capacity and treatment of
industrial wastewater ($28M)
Budget Challenges:
• The increase in utility service costs and infrastructure demands pressures the budget,
necessitating careful financial planning and regular rate adjustments.
• Proactive capital planning and regular updates to rate models are essential to manage
the utility systems effectively and ensure financial stability.
This budget demonstrates a commitment to maintaining and enhancing Pasco’s utility
infrastructure, ensuring fiscal responsibility while addressing the city's growing needs. Regular
monitoring and strategic financial management are crucial for sustaining high-quality utility
services.
33
FINANCIAL DATA
The 2025-2026 Biennial Budget outlines a comprehensive financial strategy for all City funds,
aiming to align spending with City Council goals using current biennial revenues as well as
available reserves with caution. This section reviews historical and projected finances, explains
key assumptions and trends, and provides detailed narratives for each fund type.
Revenue Financial Analysis
34
Taxes
• Tax Revenue: Second largest source, accounting for 27% of the city’s revenue.
• Major Tax Types: Includes retail sales (32.9%), property (18.5%), utility (19.2%), real
estate excise, lodging, gambling, and admissions taxes (combined 1.5%).
• General Fund: Receives 94% of the city's tax revenue, funding essential services like
police and fire protection as well as other City services provided by parks and recreation
and planning and permitting Internal services, such as City administration and human
resources, are General Fund departments. Over the past many years, the City has
experienced a surge in residential and commercial construction and, subsequently, a
significant growth in retail sales tax. The most recent instance of increase in the property
tax levy which is statutorily limited to one percent increase without a vote of citizens will
occur in 2025.
SPECIAL REVENUE FUNDS
The City’s Special Revenue Funds receive tax revenues from lodging related tax and real estate
excise tax. While these tax proceeds are only five percent of city-wide taxes, they represent
nearly 10% of budgeted inflows to Special Revenue Funds. Primarily these revenues support
capital projects completed by the City and reported in the Capital Improvements REET Fund.
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
310 - Taxes General Fund General Fund 114,384,039 94%
Special Revenue Funds Capital Improvement REET 5,300,000 4%
Hotel/Motel Excise Tax 1,700,000 1%
310 - Taxes Total 121,384,039 100%
35
The Hotel/Motel Fund governs the use of lodging tax which is used to promote tourism or
operation of tourism-related facilities.
.
License and Permit Revenue
Comprises building permits, business licenses, rental licenses, franchise fees, and industrial
discharge permits, making up about 2% of the City’s budget.
GENERAL FUND
The General Fund receives the majority of the City’s license and permit revenues. In the biennial
budget, this includes $4.6 million from building permits, $1.47 million from business licenses,
and $261,000 from rental licenses. Together, these revenues make up 4% of the General Fund's
total revenue.
ENTERPRISE FUNDS
The municipal sewer and process water reuse systems have allocated a budget of $539K for
issuing industrial discharge permits. This amount represents less than half a percent of total
enterprise inflows.
SPECIAL REVENUE FUNDS
Among the City's special revenue funds, only the Street Fund receives license and permit
revenues. This category includes franchise fees and street permit revenues, totaling $670K,
which comprise nearly 14% of the Street Fund's total budget inflows.
Intergovernmental Revenue
Intergovernmental revenues primarily come from other government bodies, and include both
unique, project-specific receipts and recurring funds distributed by the State of Washington.
These funds are allocated based on statutory formulas or legislative appropriations and
represent about nine percent of the City's total budgeted revenue for this biennium. However,
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
330 - Intergovermental Enterprise Funds Storm Water 140,000 0%
Fiduciary Funds Old Fire Pension 319,322 1%
General Capital Construction Fund General CIP 16,417,564 40%
General Fund General Fund 7,519,082 18%
Special Revenue Funds Street 1,988,000 5%
Arterial 914,757 2%
CDBG 2,000,000 5%
Home 229,560 1%
Ambulance 5,803,316 14%
ARPA 3,857,157 9%
Senior Center 1,000 0%
Multi Modal 212,000 1%
Economic Development 1,400,000 3%
330 - Intergovermental Total 40,801,758 100%
36
because they depend on external factors, there's a risk of fluctuations that could impact the
amounts received.
GENERAL FUND
The General Fund receives about 18% of the City's intergovernmental revenues, mainly from
Public Utility District (PUD) Privilege allocations, liquor taxes, and licensing fees managed by
the State of Washington. This biennium's budget includes the final year of the Staffing for
Adequate Fire and Emergency Response (SAFER) grant, as well as grants from state and
federal agencies to support public safety and the City’s Comprehensive and Climate Change
Plans. Overall, intergovernmental revenues are expected to contribute five percent to the
General Fund's total revenue for this biennium.
CONSTRUCTION FUND
These revenues are comprised of state and federal grants and entitlements that are typically
used to fund transportation and recreation projects. The majority of the $16.1 million grant
revenue budget is due to the following projects:
• Martin Luther King Renovation/Expansion ($3M)
• GESA Stadium Refurbishment ($2.5M)
• Ainsworth Pavement Preservation ($1.4M)
• Lewis Street Pavement Preservation ($4.5M).
ENTERPRISE FUNDS
A $140,000 grant from the Department of Ecology is anticipated. This grant program supports
activities, studies and actions that further compliance with National Pollutant Discharge
Elimination permit requirements.
SPECIAL REVENUE FUNDS
Similar to the General Fund, the Street and Arterial Streets Funds receive motor vehicle fuel tax,
based on gallons sold rather than price, distributed per capita by the State. For this biennium,
the revenue is projected at nearly $2.9M. Additionally, the City actively pursues other grants and
funding:
• Ambulance Fund: Includes revenue from the Ground Emergency Medical Transport
(GEMT) program, expected to make up 13% of its revenue, helping offset the costs of
emergency services for Medicaid participants.
• American Rescue Plan Act Fund: Anticipates spending $3.8M to complete qualifying
projects.
• Community Development Block Grant Fund: Set to receive $2 million to support
affordable housing, community, and economic development initiatives funded by the US
Department of Housing and Urban Development.
• Sales Tax Revenue: Includes $1.4M from a state sales tax program supporting regional
public facilities, with the Economic Development Fund utilizing these funds until the
program ends in November 2027.
37
Charges for Goods and Services
The City’s largest source of revenue comes from charges for goods and services, comprising
36.7% of the City’s total revenue.
GENERAL FUND
As a subset of revenues reported in the General Fund, charges for goods and services represent
13.4% of fund revenues. The major services in this category include recreational activities, plan
check fees associated with development services, reimbursement for some public safety
services and planning and inspection activities.
INTERNAL SERVICE FUNDS
Internal service funds are used to manage the provision of goods and services to other City
funds. Key aspects include:
• Health Benefits: Premiums for medical, dental, and vision coverage for city employees
and their dependents account for 12% of all city-wide service charges. These premiums
fund the City’s self-insured healthcare plan, with health-related service charges
comprising 97% of revenues in these funds.
• Vehicle and Equipment Maintenance: The remaining internal service funds cover the
maintenance and renewal of the City's vehicles and equipment. A city-operated shop
provides these services, contributing to 3% of this category of revenue. Additionally, 2%
of revenues are earmarked specifically for saving towards and purchasing City vehicles.
The charges for services related to equipment and vehicle maintenance funds represent
96% of total revenues to the funds. The only other source of revenue is of the
miscellaneous category and small by comparison (4%).
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
340 - Charges Goods &
Services Enterprise Funds Water 31,235,774 19%
I rrigation 4,294,781 3%
Sewer 24,781,659 15%
PW Reuse Facility 13,318,385 8%
Storm Water 5,254,206 3%
General Fund General Fund 21,194,237 13%
Internal Service Funds Dental 1,280,900 1%
Equipment O&M Govt 5,115,400 3%
Equipment O&M Utility 400,000 0%
Equipment Replacement Govt 1,893,224 1%
Equipment Replacement Utility 1,349,545 1%
Medical 17,507,239 11%
Vision 147,400 0%
Permament Fund Cem Endow 40,000 0%
Special Revenue Funds Ambulance 20,251,300 12%
Animal Control 3,193,542 2%
Athletics 262,700 0%
Boulevard Maintenance 169,000 0%
Cemetery 613,500 0%
I-82 Impact 1,140,000 1%
Lodging 1,186,155 1%
Martin Luther King Center 31,000 0%
Park Development 2,155,500 1%
Revolving Abatement 138,000 0%
School Impact 5,000,000 3%
Senior Center 22,000 0%
Street 1,416,589 1%
340 - Charges Goods & Services Total 163,392,036 100%
38
PERMANENT FUND
The City operates and maintains a cemetery. A fee associated with perpetual care of the
cemetery is a one-time charge upon grave site purchase. All collected fees are retained to
provide a restricted balance that is invested with the sole purpose of production of interest
income. The interest income is available for transfer to the Cemetery Fund to support grounds
caretaking.
ENTERPRISE FUNDS
The City operates a Water and Sewer Utility Fund, or "Utility Fund," which includes a detailed
accounting of each utility service—water, sewer, stormwater, and irrigation—plus a process
water reuse facility (PWRF) that handles industrial wastewater from local food processors.
Revenue Structure and Rate Adjustments:
• Charges for Services: 46.9% of the Utility Fund's budgeted revenues. Excluding capital
improvement funding, this figure rises to approximately 98% of all utility service revenue.
• Rate Increases: The budget includes pre-approved annual increases of 5% for water and
4% for sewer services.
• Rate Analysis: The City engages external consultants for rate analysis to ensure revenue
adequacy and rate fairness. A recent rate study for irrigation and PWRF will lead to a
budget amendment in 2025, reflecting necessary rate adjustments. The new PWRF rate
structure, significantly higher than previous rates, was approved alongside the budget
and will be communicated further in 2025.
• Future Projections: The irrigation revenue study recommends rate increases of 17%
annually from 2025 to 2027, tapering to 3% annually from 2028 to 2030.
These measures help maintain the financial health of the Utility Fund while supporting the
complex infrastructure necessary to provide essential services.
SPECIAL REVENUE FUNDS
Special revenue funds are tailored to match specific revenues with their corresponding services
and expenses, comprising 21% of the City's budgeted revenues from charges for goods and
services. These funds cover a variety of services, including: ambulance monthly availability fees
and transport charges, fees associated with animal control services, traffic impact fees that
benefit streets related improvements, park impact fees, athletic program participation fees, sales
of cemetery services, abatement of hazardous or nuisance properties, and various community
benefiting programs. The City also acts as an intermediary for the local school district, collecting
and remitting school impact fees associated with new construction.
Fines and Forfeitures
Fines and forfeitures account for one percent of the City's total budgeted revenues, primarily
addressing costs related to late payments and delinquent actions.
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
350 - Fines & Penalties Enterprise Funds Water 281,946 9%
PW Reuse Facility 8,000 0%
General Fund General Fund 2,440,300 81%
Special Revenue Funds Revolving Abatement 300,000 10%
350 - Fines & Penalties Total 3,030,246 100%
39
GENERAL FUND
Fines and forfeitures make up less than two percent of the General Fund's revenues. Traffic and
civil infractions contribute 81% of this figure. Revenue from red-light cameras, installed at major
intersections in 2019, funds citywide traffic safety projects. Additionally, penalties from overdue
utility bills generate approximately $832K over the biennium, covering collection costs and
promoting timely payments to maintain cash flow.
ENTERPRISE FUND
Fines are uncommon in the utilities sector, typically for after-hours services, water disconnection
due to non-payment, and violations by industrial wastewater processors, contributing only 0.2%
of budgeted revenues.
SPECIAL REVENUE FUNDS
The Revolving Abatement Fund is the main source of fines, representing 10% of all City fines
and 68% of the fund's revenues. Fines are issued for code violations on non-compliant or
hazardous properties, with the City intervening to resolve issues and recoup costs when owners
fail to comply.
Miscellaneous Revenues
Miscellaneous revenues primarily include investment income, donations, leases, rentals, and
the sale of surplus goods. This category notably funds 74% of the Capital Improvement Plan
(CIP) projects, recorded in both the General CIP and Utility Funds. These CIP related budgetary
amounts are unsecured at the budget's creation, with efforts underway to secure them through
grants, low-interest loans, and partnerships.
GENERAL FUND
Accounts for 8% of city-wide miscellaneous revenues. Major contributions include:
• 38% from debt service coverage by Broadmoor Tax Increment Financing area partners.
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
360 - Miscellaneous Rev Debt Service Funds LID 185,041 0%
Enterprise Funds Irrigation 0 0%
PW Reuse Facility 1,655,500 3%
Sewer 4,386,676 7%
Water 7,876,000 13%
Fiduciary Funds Old Fire Pension 430,000 1%
Old Fire OPEB 800,000 1%
General Capital Construction Fund General CIP 35,502,000 60%
General Fund General 4,555,860 8%
Internal Service Funds Equipment O&M Govt 24,500 0%
Medical 620,000 1%
Special Revenue Funds Ambulance 73,800 0%
Athletics 131,000 0%
CDBG 800 0%
Economic Development 2,000,000 3%
Golf 260,000 0%
Marina 57,600 0%
Martin Luther King Center 97,400 0%
Multi Modal 194,882 0%
Senior Center 4,900 0%
Stadium Convention Center 96,544 0%
Street 28,600 0%
360 - Miscellaneous Rev Total 59,162,574 100%
40
• 27% from reimbursements for a regional Basic Law Enforcement Academy.
• 15% from investment income.
ENTERPRISE FUND
Represents 24% of city-wide miscellaneous revenues, with:
• Unsecured project funding (95%)
• Investment income (4%)
• Lease revenue (1%)
CONSTRUCTION FUND
Holds 60% of the city-wide total for miscellaneous revenues, predominantly unsecured funding
($35.5M) for capital projects, except for a $1M pledged donation for a pickleball court project in
the Broadmoor Area.
INTERNAL SERVICE
Constitute a small portion, about 1% of the city-wide budget, mainly from refunds and
reimbursements on healthcare claims and interest income.
SPECIAL REVENUE
Contribute nearly $4M to city-wide miscellaneous revenues, with:
• 50% from farm leases within the Economic Development Fund.
• 16% from leases at the stadium, multimodal facility, marina, golf course, MLK Center and
for Ambulance Fund building rental of shared space with Franklin County Emergency
Management.
• 26% from investment income.
DEBT SERVICE
In Local Improvement Districts (LID), miscellaneous revenues come from interest on extended
repayment plans for capital improvements benefiting specific property owners.
Transfers In
Transfers between funds are budgeted for grant-related and one-time programs, ongoing
subsidies and approved capital projects. It is important to note that each of the City’s funds
operates as a separate entity, and transfers between them must be carefully tracked and
accounted for accordingly.
GENERAL FUND
Revenue Type Fund Type Name
2025-2026
Adopted Budget Percentage
450 - Transfers in General Fund General 927,460 4%
General Capital Construction Fund General CIP 12,482,999 60%
Special Revenue Funds Ambulance 840,000 4%
Animal Control 1,539,174 7%
Arterial 57,000 0%
CDBG 400,000 2%
Cemetery 20,000 0%
Martin Luther King Center 180,000 1%
Senior Center 340,000 2%
Stadium Convention Center 580,000 3%
Street 564,000 3%
Street Overlay 2,336,000 11%
TRAC 375,000 2%
450 - Transfers in Total 20,641,633 100%
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Budgeted transfers into the General Fund represent labor costs of staff assigned to General
Fund where a staff member is completing work that benefits another fund’s purpose.
CAPITAL CONSTRUCTION FUND
General capital construction covers all non-utility capital projects and is financed through this
fund. Funding comes from bond proceeds and special revenue fund balances, detailed in the
Capital Improvement Plan. This biennium's budget allocates $12.5 million for these projects.
SPECIAL REVENUE FUNDS
Budgeted transfers into special revenue funds support operations where current revenues do
not cover expenses. Notable examples include:
• Community Development Block Grant (CDBG): Requires a cash infusion from the
General Fund to cover interest expenses on a Section 108 Loan for Peanut’s Park, which
hosts the City’s farmers market and other events.
• MLK Center and Senior Center: These centers charge fees that are insufficient to meet
their budgeted expenses.
• Other Transfers: Reflect shared revenues assigned by legislation or council decisions.
This includes utility tax remittances to street funds, support for the Ambulance Fund
based on historical levels, anticipated interest from the Cemetery Endowment Fund for
cemetery operations, and Lodging Tax Advisory Committee awards.
• Tri-Cities Animal Control Facility: The City, as an operator and financial partner,
allocates $1.5 million from the General Fund to the Animal Control and Services Fund.
Other Financing Sources – Debt Proceeds
The City takes on debt to fund long-term capital investments, allowing for the construction of
essential improvements while distributing costs across current and future beneficiaries in line
with the asset's useful life. This approach helps mitigate the impact of these improvements on
rates and other revenue streams.
ENTERPRISE FUNDS
The City actively participates in competitive state lending programs to secure low-interest loans
for significant infrastructure projects from agencies like the Department of Health and the State
Public Works Board. These loans often include forgivable portions and are treated like
reimbursable grants, with funds released as eligible expenses are incurred.
Loan proceeds are expected to comprise 72% of the relevant revenue, supporting major
developments such as the sewer infrastructure in the new East Urban Growth Boundary. This
debt will be serviced by property owners benefiting from the improvements within Local
Improvement District 152, planned for bond issuance mid-2025.
Only a minor fraction of revenue, 0.02% or $14,041, comes from loan repayments to the Old
Fire Pension and Boulevard Maintenance Funds, which have previously supported Local
Improvement Districts through interfund loans.
Revenue Type Fund Type: Name
2025-2026
Adopted Budget Percentage
410 - Debt proceeds Enterprise Funds Water 16,255,704 24%
Sewer 30,675,180 44%
PW Reuse Facility 22,000,000 32%
Fiduciary Funds Old Fire Pension 1,500 0%
Special Revenue Funds Boulevard Maintenance 12,541 0%
410 - Debt proceeds Total 68,944,925 100%
42
EXPENDITURE
FINANCIAL ANALYSIS
43
44
Salaries and Benefits
City staff are essential for delivering all City services, making labor costs a major part of the
budget. For the 2025-2026 period, salaries and benefits total about $143.8 million, or 25.8% of
all expenditures. The workforce includes members from six unions, covering three police
contracts, two fire department units, and the International Union of Operating Engineers for
facilities maintenance and public works.
Negotiations with the Pasco Police Officers’ Association are still underway, leaving the exact
financial impact on the budget unclear. During the biennium other labor contracts will require
bargaining as well. Results of negotiation may affect budget.
Due to revenue constraints and the need for fiscal balance, no new positions are included in this
biennial budget. Additionally, to manage labor costs effectively, the City will carefully review all
vacant positions before filling them. Positions may remain unfilled if operational efficiencies or
restructuring can maintain service levels, thus saving on salary and benefit costs.
GENERAL FUND
Expense Type Fund Type Name
2025-2026
Adopted Budget Percentage
510 - Salaries & Wages &
520 - Personnel Benefits Enterprise Fund Irrigation 981,001 1%
PWRF 2,336,994 2%
Sewer 6,632,726 5%
Storm Water 2,435,153 2%
Water 7,595,241 5%
Fiduciary Funds Old Fire OPEB - 0%
Old Fire Pension 200,984 0%
General Fund General Fund 94,440,864 66%
Internal Service Funds Equipment O&M Govt 2,413,326 2%
Equipment O&M Utility - 0%
Equipment Replacement Govt - 0%
Equipment Replacement Utilit - 0%
Medical/Dental 210,036 0%
Special Revenue Funds ARPA 106,319 0%
Ambulance 20,449,241 14%
Animal Control 2,795,120 2%
Athletics 62,529 0%
CDBG 261,368 0%
Cemetery 360,638 0%
Economic Development 394,847 0%
Home 12,400 0%
Marina - 0%
Martin Luther King Center 92,239 0%
NSP - 0%
Senior Center 178,180 0%
Street 1,896,640 1%
510 - Salaries & Wages &
520 - Personnel Benefits
Total 143,855,846 100%
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City-wide, the General Fund is responsible for 65% of budgeted labor expenses, with salaries
and benefits costing $94.4M, or 55% of the fund's total expenses. The General Fund covers a
range of general government services, including:
• legislative and executive functions provided by City Council and City Manager’s Office,
• public safety services provided by the fire, police, and municipal court departments,
• development related support from engineering, community and economic development
planning and permitting, and
• parks and recreation provided community programs and events.
While some services generate fees, primarily the labor costs associated with service provision
are funded by tax revenues. The General Fund also includes labor costs for internal service
departments like human resources, finance, and information technology, which are funded
through interfund charges to the benefiting departments and funds.
SPECIAL REVENUE FUNDS
Most of the budgeted labor cost in special revenue funds is attributed to the Ambulance Fund.
Of the $27.5M 2025-2026 biennial budget, $21.3M is reflected in the Ambulance Fund. By
comparison, the next largest labor cost reported is included in Animal Control and Services Fund
at $2.8M, followed by the Street Fund at $1.9M.
ENTERPRISE FUND
City supplied utility services, including water, irrigation, municipal sewer, stormwater and
industrial wastewater treatment at the Process Water Reuse Facility, account for approximately
14% of City’s labor budget. These expenses are built into revenue requirement studies and
recovered as part of the rate setting process. As a percentage of Utility Fund budgeted
expenses, labor cost of wages and benefits accounts for 11% of total expenses budgeted this
biennium.
INTERNAL SERVICE FUNDS
Internal service funds within the City cover two main functions:
1. Vehicle and Equipment Maintenance: This service handles maintenance and repairs
for City-owned and leased vehicles and equipment, with a labor budget of $2.6M,
accounting for 2% of city-wide salaries and benefits costs.
2. Health Benefits Management: This fund oversees health benefit plans for employees,
with a budgeted labor cost of $210K. This amount covers the reimbursement for human
resources staff dedicated to managing these benefits.
FIDUCIARY FUNDS
The City administers a Fireman’s Pension Fund for firefighters hired prior to 1970. Budgeted
benefits of $200K in the biennium are for four (4) inactive employees or their surviving spouses
receiving pensions. The plan is closed to new members.
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Supplies
Citywide, supplies constitute 4% of the 2025-2026 budget, totaling $19.3M. This covers both
office and field essentials, such as pens, paper, business forms, and small-value equipment.
Key supply categories include: maintenance type supplies ($3.5M), chemicals ($3.7M), fuel
($2.1M), technology related items ($1.4M), tools and furniture ($692K), medical supplies ($654K)
and inventory ($634K).
GENERAL FUND
Supplies for the General Fund account for 38% of all supplies budget city-wide. As a subset of
General Fund budgetary spending, however, the impact is four percent. Budgetary items of note
include office, repair and maintenance supplies as well as tools and technology related
purchases.
ENTERPRISE FUND
The Enterprise Fund, composed of utility systems, contributes supplies budget of 32% of city-
wide supplies budget. In addition to traditional office and laboratory supplies, these systems rely
heavily on chemical supplies, inventory, repair and maintenance supplies. As a category of
expenses in the Enterprise Fund, supplies accounts for three percent of expense budget.
INTERNAL SERVICE FUNDS
Expense Type Fund Type Name
2025-2026
Adopted Budget Percentage
530 - Supplies Capital Project General CIP - 0%
Enterprise Fund Irrigation 166,730 1%
PWRF 597,918 3%
Sewer 2,507,210 13%
Storm Water 90,327 0%
Water 2,840,079 15%
General Fund General Fund 7,339,614 38%
Internal Service Funds Central Stores - 0%
Equipment O&M Govt 2,515,556 13%
Equipment O&M Utility 400,000 2%
Equipment Replacement Govt - 0%
Equipment Replacement Utilit - 0%
Special Revenue Funds ARPA - 0%
Street Overlay - 0%
Ambulance 830,180 4%
Animal Control 509,300 3%
Arterial - 0%
Athletics 102,525 1%
Boulevard Maintenance - 0%
CDBG 4,000 0%
Cemetery 25,000 0%
Economic Development 116,184 1%
Golf - 0%
Home 1,000 0%
Marina 2,000 0%
Martin Luther King Center 13,000 0%
Multi Modal 10,000 0%
NSP - 0%
Revolving Abbatement - 0%
Senior Center 7,545 0%
Stadium Convention Center 2,400 0%
Street 1,215,354 6%
530 - Supplies Total 19,295,922 100%
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As part of the City, the internal service funds contribute budget for supplies equal to 15% of all
supplies budget. This contribution is primarily the result of budgeted fuel purchases, $2.1M. Also
represented in this budget are planned purchases for repair and maintenance supplies to
support City fleet, including automotive parts, tires and batteries. As a category of expenses in
the internal service funds, supplies represent 10% of all expenses.
SPECIAL REVENUE FUNDS
Special revenue funds contributed 14% of the city-wide supplies budget. However, among the
special revenue funds, most budgeted supplies purchases are recorded in the Street (43%),
Ambulance (29%), and Animal Control (18%) Funds. Of the Street Fund, supplies for general
and signal maintenance as well as paint and chemicals are material. Not surprisingly, medical
supplies are paramount to the ambulance service. Other noteworthy supplies to the Ambulance
Fund are protective equipment, uniforms and small tools and equipment. The Animal Control
and Services Fund also relies on medical supplies as well as general office and janitorial supplies
for facility operations.
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Services and Charges
The 2025-2026 budget allocates $124.4 million to services and charges, making up about a
quarter of the city-wide budget. Of this, $16.7 million is for internally supplied services such as
financial processing, information technology, and human resources, including benefits
management and labor relations, primarily supported by the General and internal service
funds. These funds also cover maintenance and savings for city vehicles and equipment, as
well as self-insured medical benefits for employees, budgeted at $17.5 million.
External services in the budget include:
• Utilities for facilities and parks: $7.2M
• Repair and maintenance services: $5.8M
• Property and liability insurance: $5.3M
Expense Type Fund Type Name
2025-2026
Adopted Budget Percentage
540 - Services Capital Project General CIP - 0%
Debt Service LID - 0%
Enterprise Fund Irrigation 2,512,172 2%
PWRF 4,363,545 4%
Sewer 9,301,537 7%
Storm Water 1,279,233 1%
Water 13,925,973 11%
Fiduciary Funds Old Fire OPEB 152,648 0%
Old Fire Pension 17,653 0%
General Fund General Fund 49,997,711 40%
Internal Service Funds Equipment O&M Govt 1,368,321 1%
Equipment O&M Utility - 0%
Equipment Replacement Govt - 0%
Equipment Replacement Utilit - 0%
Medical/Dental 19,372,500 16%
Special Revenue Funds ARPA 7,838 0%
Street Overlay 75,500 0%
Ambulance 6,000,835 5%
Animal Control 1,501,875 1%
Arterial 26,506 0%
Athletics 194,280 0%
Boulevard Maintenance 3,085 0%
Capital Improvement REET 114,017 0%
CDBG 630,018 1%
Cemetery 448,253 0%
Economic Development 1,003,276 1%
Golf - 0%
Home 216,160 0%
Hotel/Motel Excise Tax 1,906,166 2%
I-82 Impact 9,616 0%
Litter Abatement 9,882 0%
Lodging 1,186,155 1%
Marina 42,277 0%
Martin Luther King Center 268,715 0%
Multi Modal 142,166 0%
NSP - 0%
Park Development 21,527 0%
Revolving Abbatement 416,251 0%
School Impact 4,981,900 4%
Senior Center 123,050 0%
Stadium Convention Center 33,000 0%
Street 2,408,892 2%
TRAC 454,393 0%
540 - Services Total 124,516,926 100%
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• Legal services: $3.1M
Additionally, the budget covers intergovernmental and organizational expenses such as:
• Library services: $5.3M
• Jail services with the Franklin County Sheriff’s Office: $2.2M
• Dispatch services: $2M
• Remittance of sales and excise tax: $10.6M
GENERAL FUND
Of all General Fund budget, services represent 29% of expenditures. Of the items noted above,
those material to the General Fund includes a budget for library services ($5.3M),
property/liability insurance ($4M), legal service support ($3.1M), and public safety supporting
services of dispatch and inmate security ($4.2M). Also, reflected in the General Fund budget are
software maintenance services of $3.6M. Notable professional services included in the General
Fund budget are supportive of online payment portal services, specialized engineering, contract
inspections services, and leases of police vehicles and fire apparatus.
ENTERPRISE FUND
For the Enterprise Fund, services represent 17% of budgeted expenditures. Included in this
category are charges for taxes due City and State of $10M, interfund services of $6.4M, planned
repair and maintenance of $4.5M, payments for utilities $3.8M and professional services $2.7M.
The items detailed in professional services are many and primarily represented by small values
for services like outside laboratory testing, certification of equipment, inspections, and service
contracts related to maintenance of facilities.
INTERNAL SERVICE FUNDS
Budgeted services expenditures in internal services funds account for only 16% of city-wide
service budget. However, within this category of funds, services budget represents 75% of
expenditures. Health benefits, including medical, dental and vision coverage and claims
($19.4M), for employees are accounted for within internal services. The health benefits funds
are the beneficiaries of per employee premiums. In turn, the health benefits funds pay service
providers and claims. Also operating as internal service funds are the Equipment Operations
and Maintenance Funds for governmental and utilities functions. In comparison to the service
budget of the health benefit funds, the service budget for fleet vehicles and equipment is small
($1.4M).
SPECIAL REVENUE FUNDS
Services budgeted in the special revenue funds are 16% of city-wide services budget.
Collectively, the value of services accounted for is 32% of all special revenue funds expenditure
budget. Nearly a quarter of the budget is associated with transactions for School Impact Fees
collected with development and remitted to the Pasco School District. Ambulance Fund services
budget accounts for slightly over a quarter of special revenue fund services budget (26%).
FIDUCIARY FUNDS
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The Old Fire Pension and OPEB funds represent a very small percentage of services expenses.
Most of the services expense budgeted in these funds are for retiree medical services.
Transfers out and Pass Through
Transfers and pass-through expenditures in the 2025-2026 biennium are budgeted at $20.5
million, accounting for 4% of the total budget. These transfers primarily occur between City funds
to finance capital improvements, documented within the General Capital Improvement Plan
(CIP) Fund. The amount transferred varies annually based on the finalized CIP. On a smaller
scale, the General Fund also provides support for other activities, such as subsidizing the
Ambulance Fund.
Additionally, certain revenues are designated as pass-throughs, where funds like the Hotel/Motel
Excise Tax, budgeted at approximately $1 million biennially, are collected by the City and then
disbursed to other entities.
GENERAL FUND
General Fund transfers out are the result of support for capital projects, and direct use of bond
proceeds previously received, in the amount of $2.5M. An additional $150K is planned to support
Expense Type Fund Type Name
2025-2026
Adopted Budget Percentage
550 - Transfers & Pass
Throughs Capital Project General CIP - 0%
Debt Service LID - 0%
Enterprise Fund Irrigation - 0%
PWRF - 0%
Sewer - 0%
Storm Water - 0%
Water - 0%
General Fund General Fund 8,537,000 41%
Internal Service Funds Equipment O&M Govt - 0%
Equipment O&M Utility - 0%
Equipment Replacement Govt - 0%
Equipment Replacement Utilit - 0%
Medical/Dental - 0%
Permanent Fund Cemetery Endowment - 0%
Special Revenue Funds ARPA 50,630 0%
Street Overlay 2,153,589 10%
Ambulance - 0%
Animal Control - 0%
Arterial 300,648 1%
Boulevard Maintenance 295,000 1%
Capital Improvement REET 3,190,552 15%
CDBG - 0%
Economic Development 2,650,000 13%
Golf - 0%
Home - 0%
Hotel/Motel Excise Tax 955,000 5%
I-82 Impact 530,000 3%
Marina - 0%
Multi Modal - 0%
NSP - 0%
Park Development 1,966,210 10%
Revolving Abbatement - 0%
Stadium Convention Center - 0%
Street - 0%
550 - Transfers & Pass Throughs Total 20,628,629 100%
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a pilot project involving xeriscape of City property to assess potential long term program creation
benefitting facilities, parks and boulevards. The General Fund also passes through utility tax
proceeds to benefit streets funds in the amount of $2.9M. Budgeted City of Pasco share of
Animal Control and Services Facility costs in 2025-2026 is $1.5M. The City subsidizes
Ambulance Fund operations equal to $840K biennially. Also budgeted for potential support from
General Fund are MLK Center ($180K), Senior Center ($340K).
SPECIAL REVENUE FUNDS
Most of the transfers out of the special revenue funds support capital projects as detailed in the
CIP, nearly $10.8M. An additional $955K are budgeted to be transferred out of the Hotel/Motel
Fund for tourism enhancing programs and $295K for boulevard maintenance provided by
General Fund staff.
Capital Outlay
The City annually updates its Capital Improvement Plan (CIP) to assess funding availability and
prioritize capital project expenditures. For the 2025-2026 budget years, $150.8 million is
allocated for capital spending, encompassing both large-scale projects and smaller capital
expenditures such as vehicle and equipment purchases.
CAPITAL PROJECT FUND
The General CIP Fund, which handles governmental non-utility capital construction, accounts
for $64.4 million or 44% of the total capital spending. Significant expenditures include extensive
transportation projects in the Broadmoor Area, funded by debt issued in the previous biennium.
This debt is expected to be repaid through dedicated property tax revenues from a Tax Increment
Financing Area established in 2022.
Utility Capital Projects
Utility-related capital projects represent $84 million or 56% of the total capital budget. Major
Expense Type Fund Type Name
2025-2026
Adopted Budget Percentage
560 - Capital Outlays Capital Project General CIP 64,402,562 43%
Enterprise Fund Irrigation 6,375,245 4%
PWRF 28,848,500 19%
Sewer 18,797,055 12%
Storm Water 2,771,520 2%
Water 27,061,704 18%
General Fund General Fund 576,850 0%
Internal Service Funds Equipment Replacement Govt 977,566 1%
Equipment Replacement Utilit 560,000 0%
Special Revenue Funds Ambulance - 0%
Arterial - 0%
Capital Improvement REET - 0%
Cemetery - 0%
Economic Development - 0%
Golf 50,000 0%
Marina - 0%
Martin Luther King Center - 0%
NSP - 0%
Revolving Abbatement - 0%
Stadium Convention Center - 0%
Street 388,600 0%
560 - Capital Outlays Total 150,809,602 100%
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projects within the Enterprise Fund include upgrades to the Process Water Reuse Facility,
Wastewater Treatment Plant, Butterfield Water Treatment Plant, and enhancements to water
and sewer systems. Unused capital budget from the 2023-2024 biennium will be carried over
pending city council approval, following the conclusion of 2024 accounting. Specific carryover
amounts will be determined and, following approval, incorporated into the budget through
amendments. No carryover values are included in the current budget presentation.
Interfund Payments
Interfund Payments
Payments to internal service funds total $15 million in 2025-2026 biennium:
• budgeted values for equipment repair and contributions to savings for replacement of
fleet vehicles and equipment,
• services supplied to support technology maintenance and implementation from the
Information Services Division,
• management of self-insured health and welfare programs,
• professional services provided by the Finance and Engineering Divisions,
• maintenance and repair services provided by Facilities Division.
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Debt Service
The City has budgeted $57 million for debt service payments in the 2025-2026 biennium,
primarily covering principal and interest on outstanding bonds. This amount also includes
estimated payments for debt that has not yet been issued, which may vary based on the type
and timing of the issuance. Given the significant impact of debt service on the budget, these
estimates are included to ensure financial planning accuracy.
Additionally, the City occasionally opts to self-fund projects through interfund borrowing, where
internal loans are made between City funds. Unlike external loans, interest charged on these
internal loans generates income for the lending fund within the City, providing a financial benefit.
Expense Type Fund Type Name 2025-2026 Budget Percentage
570 - Debt Principal Capital Project General CIP - 0%
Debt Service LID 192,441 0%
Enterprise Fund Irrigation 570,000 1%
PWRF 3,623,967 9%
Sewer 24,409,763 62%
Storm Water 175,000 0%
Water 6,082,769 15%
General Fund General Fund 4,005,508 10%
Internal Service Funds Equipment Replacement Govt - 0%
Special Revenue Funds Ambulance - 0%
Boulevard Maintenance - 0%
CDBG 380,000 1%
Economic Development - 0%
Golf - 0%
Marina - 0%
Stadium Convention Center 188,550 0%
TRAC - 0%
570 - Debt Principal Total 39,627,998 100%
Expense Type Fund Type Name 2025-2026 Budget Percentage
580 - Debt Interest Capital Project General CIP - 0%
Debt Service LID 1,100 0%
Enterprise Fund Irrigation 833,760 5%
PWRF 2,872,951 16%
Sewer 3,670,360 21%
Storm Water 259,912 1%
Water 2,363,191 13%
General Fund General Fund 6,973,863 39%
Special Revenue Funds Ambulance 35,650 0%
CDBG 500,000 3%
Cemetery - 0%
Economic Development - 0%
Marina - 0%
Stadium Convention Center 245,138 1%
TRAC - 0%
580 - Debt Interest Total 17,755,925 100%
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Debt
Cities finance large infrastructure projects, such as water and sewer systems and public safety
facilities, through various financing tools. Cities, like private citizens, have a credit rating that
affects their ability and cost to borrow. The City’s capacity to issue new debt is governed by
existing debt levels, future needs, and legal borrowing limits.
Key Financing Tools for the City:
• Bonds: The City Council may authorize the sale of bonds to fund capital improvements.
The sale and management of these bonds involve advice from financial advisors and
bond counsel, with interest rates influenced by the City’s credit rating and market
conditions. The City’s current bond rating for General Obligation is AA2 by Moody’s
Rating in 2024. Based on a rating evaluation issued in S&P Global, also in 2024, City
revenue bonds is rated at AA-.
• Unlimited Tax General Obligation (UTGO) Bonds: UTGO Bonds finance municipal
improvements and require voter approval. These bonds are fully backed by property taxes
levied at rates necessary to repay the debt, making them a general obligation supported
by the local government's full credit.
o Approval Process: UTGO Bonds need 60% voter approval at elections with at
least 40% voter turnout based on the last state general election's numbers. Local
governments can propose bond measures twice per year.
o Debt Limits: The city's voted indebtedness cannot exceed 2.5% of Assessed
Value (AV) for general, utility, or community development purposes, with a total
debt cap of 7.5% of AV. Currently, the city has no outstanding UTGO bonds; the
last issuance was in 1999 for a library and fire station.
• Limited Tax General Obligation (LTGO) Bonds: These are non-voted and can be
issued by the legislative body’s majority vote. They are funded from General Fund
revenues without additional taxes.
o The City issued two LTGO bonds totaling $48.22 Million during the 2023-24
biennium. In 2023, $12.6 Million bond was issued to build a fire station, make
improvements to the Gesa Stadium, make improvements to City Hall, install
improvements at the City’s Memorial Park Pool. Additionally, the City issued a
$35.62 Million LTGO for transportation improvements in the Broadmoor Tax
Increment Financing Area.
• Revenue Bonds: Used for self-sustaining City enterprises, such as utilities, these bonds
are not backed by the full faith and credit of the City but by the revenue from the services
they support.
• Grants and Loans: Federal and state agencies provide funds for significant projects.
These are often passed through state agencies and come with favorable terms,
supporting utilities infrastructure, parks and transportation projects among other areas.
• Ongoing Revenue: Regular income from service rates and taxes funds capital projects
within their respective domains, following specific fund regulations.
• Connection and Impact Fees: These fees help mitigate the impacts of new users on
infrastructure, ensuring that existing users are not solely burdened with the costs of
growth. The revenue from this category of financing is restricted for capacity enhancing
project completion.
• Local Improvement District (LID): LIDs allow property owners to share the costs of
55
infrastructure improvements like street improvements, and utility expansion projects. The
City may issue bonds to finance these improvements, supported by the property owners
specifically benefiting from them.
o The City issued a Bond Anticipation Note (BAN) for the construction of sewer
infrastructure improvements within an LID. The BAN, issued in the Spring of 2024
for $20.06 Million, is expected to be redeemed in full during 2025. A 15-year LID
bond will be issued in its place.
DEBT CAPACITY
The City's total general-purpose indebtedness, including both voted and non-voted
(councilmanic) debt, is capped at 2.5% of the taxable property value within city limits, with non-
voted debt limited to 1.5%.
Utility revenue bonds are not subject to these limits as Utility Funds operate like business units,
allowing issuance based on rate-supported debt service. Bond interest rates are influenced by
the overall financial health of the fund and the economic conditions of the city's residents and
future needs.
Historically, the City's prudent financial decisions have maintained a healthy debt capacity. As
of 2024, the City's general-purpose bonded indebtedness capacity is $308 million, with current
outstanding debt at $89 million, or 29% of the maximum allowable.
For the 2025-2026 biennium, no new debt issuances are planned except for a Local
Improvement District (LID) bond related to sewer improvements. These improvements benefit
specific property owners who are responsible for the debt repayment. Upon project completion,
property owners have 30 days to settle their assessments, after which a final bond will be issued
to cover any outstanding amounts and repay the Bond Anticipation Note.
56
The table below outlines the principal and interest payments for the biennium, covering all funds
with issued debt. It excludes anticipated debt issues and interfund loans.
Principal Interest Total Principal Interest Total
LTGO General Fund 2015 LTGO Police Station 425,000 211,100 636,100 440,000 194,100 634,100
LTGO General Fund 2019 LTGO Fire Stations & Animal
Shelter 564,200 702,065 1,266,265 586,950 673,855 1,260,805
LTGO General Fund 2023 City Hall Remodel, Pool &
Police Gen.368,550 560,560 929,110 386,750 542,133 928,883
LTGO General Fund 2024 TIF Area Improvements 270,000 2,349,601 2,619,601 855,000 1,767,250 2,622,250
Loan General Fund HUD Section 108 - Peanuts Park - 40,828 40,828 - 40,828 40,828
1,627,750 3,864,154 5,491,904 2,268,700 3,218,166 16,470,674
Loan Comm. Dev.
Block Grant HUD Section 108 - Peanuts Park 190,000 250,000 440,000 190,000 250,000 440,000
190,000 250,000 440,000 190,000 250,000 440,000
LTGO Stadium Fund 2019 LTGO Gesa Stadium
Improvements 55,800 69,435 125,235 58,050 66,645 124,695
LTGO Stadium Fund 2023 LTGO Gesa Stadium
Improvements 36,450 55,440 91,890 38,250 53,618 91,868
92,250 124,875 217,125 96,300 120,263 216,563
LID BAN Utilities LID 152 Bond Anticipation Note 20,060,000 1,003,000 21,063,000 - - -
Revenue Bond Utilities 2015 Water Capital Projects and
refunding (2005)285,000 508,950 793,950 - 497,550 497,550
Revenue Bond Utilities 2017 Sewer Improvements - 362,915 362,915 - 362,915 362,915
Revenue Bond Utilities 2020A Water Refunding (2009 &
2010)785,000 175,150 960,150 820,000 143,750 963,750
Revenue Bond Utilities 2020B Reuse Facility Capital
Projects 395,000 455,769 850,769 405,000 448,592 853,592
Revenue Bond Utilities
2023A 2013 Refunding &
Improvements to Water,
Stormwater, Irrigation
785,000 1,013,750 1,798,750 820,000 974,500 1,794,500
Revenue Bond Utilities 2023B 2013 Refunding &
Improvements to Reuse Facility 710,000 675,894 1,385,894 750,000 635,168 1,385,168
DWSRF Loan Utilities Columbia Water Supply Project 1,269,780 295,570 1,565,350 1,269,780 275,959 1,545,739
PWB Loan Utilities Water Facility Capital Project 705,864 97,361 803,225 705,864 89,978 795,842
Dept of Ecology Utilities Sewer Faclity Capitl Project 1,462,064 432,834 1,894,898 1,837,420 606,437 2,443,857
CERB Utilities Sewer Faclity Capitl Project 174,916 85,000 259,916 178,414 81,502 259,916
Dept of Ecology Utilities PWRF Facility Capital Project 67,986 17,657 85,643 638,449 438,360 1,076,809
HAEIFAC Loan Utilities Reuse Facility Expansion and
Improvements 149,687 18,943 168,630 154,515 14,114 168,629
26,850,297 5,142,793 31,993,090 7,579,442 4,568,825 12,148,267
28,760,297 9,381,822 38,142,119 10,134,442 8,157,253 29,275,503
2025 2026
Total for General Fund
Total for Stadium Fund
Total for Community Development Block Grant Fund
Total Debt
Debt Type Fund Description
Total Utilities
57
The tables below show all the bonds and loans outstanding as of year-end 2023 based on
audited 2023 financial statements and provides a summary of future debt service to maturity.
58
59
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Debt limit 91,985$ 98,436$ 105,699$ 120,022$ 137,507$ 153,031$ 169,960$ 201,630$ 243,800$ 308,279$
Total net debt applicable to limit 12,174 10,442 9,660 8,865 26,125 24,795 23,920 23,010 34,665 89,070
Legal debt margin 79,811$ 87,994$ 96,039$ 111,157$ 111,382$ 128,236$ 146,040$ 178,620$ 209,135$ 219,209$
Total net debt applicable to the limit as a percentage of debt limit 13.23% 10.61% 9.14% 7.39% 19.00% 16.20% 14.07% 11.41% 14.22% 28.89%
Legal debt margin calculation for fiscal year 2024
#######
55,191
Less:
Non-Voted GO Bonds Outstanding (11,180)
(594)
(11,774)
Remaining capacity without a vote 43,417
Voted and Non-Voted Debt Capacity: (2.5% of Assessed Value)91,985
Less:
Voted GO Bonds Outstanding (400)
Non-Voted GO Bonds Outstanding (11,180)
Other Non-voted General Obligations Outstanding (594)
(12,174)
Legal Debt Margin
Last Ten Fiscal Years
(amounts expressed in thousands)
Fiscal Year Ended December 31
Non-Voted Debt Capacity Value (1.5% of Assessed Value)184,967
2023 Assesed Valuation for 2024 Collections 12,331,147$
89,070
Other Non-voted General Obligations Outstanding
274,037
308,279
(89,070)
-
219,209$
Note: The total indebtedness for general purposes with or without a vote cannot exceed 2.5% of the value of taxable property. The general purposes indebtedness includes debt for capital leases without a vote. The legal limit for
capital leases debt (RCW 35.42.200) is included in the 2.5 percent and does not constitute extra allowable debt.
The 1.5 percent is the maxium limit for gerneral purposes without a vote (councilmanic debt). A council may choose to allocate any portion of this debt capacity to the "voted" category. If done so, this 1.5 percent of the
indebtedness available without vote is to be proportionately reduced by the excess "voted" debt over 1 percent.
-
60
FUND BALANCE
General Fund
The General Fund, as the primary operating fund of the City, manages all activities not
designated to other specific funds like Special Revenue or Proprietary Funds. It is crucial to
maintain adequate fund balance levels to support cash flow, accommodate economic
downturns, and address emergencies. Monitoring fund balance trends aids in budgetary
decisions, allowing for program expansion when positive and necessitating expenditure cuts or
revenue enhancements when negative.
Pasco has seen significant population growth over the last decade, enhancing property tax and
sales tax revenues through new developments and increased commercial activities. Unusual
spending patterns during the pandemic years and major construction projects also temporarily
boosted sales tax revenues. The City’s significant investment in roadway construction ($39M)
and utilities extensions ($13.5M) in the Broadmoor Area will open opportunities for new
commercial and housing construction. Also, an expanded urban growth boundary is expected to
provide additional space for economic development to occur. In the past biennium, the
infrastructure for sewer service was established in this expanded area through the formation of
a Local Improvement District.
Growth, and the demand for City services, is expected to continue. Recent years have seen staff
additions in various departments to meet service demands based on daily operational needs,
implementation of strategic plans and addition of new or expanded services, like the operation
of the Animal Control and Services Fund and assumption of downtown community events. The
2023-2024 period marked the first recent instance where General Fund expenses exceeded
revenues, leading to the use of accumulated balances to cover shortfalls. Delays in
development, particularly in the Broadmoor Area, have slowed expected revenue increases,
prompting stringent budget monitoring and reduced expenditure efforts.
For the 2025-2026 Biennial Budget, the City plans to maintain conservative spending while
awaiting the fruition of developments in Broadmoor, Industrial, and Downtown areas, which are
expected to bolster economic fundamentals. However, the pace of these developments is
uncertain, and the City will need to continuously assess economic outcomes. Based on
budgeted revenues and expenditures, the ending fund balance as of 12/31/2026 is estimated to
decrease by $13M. At this pace, the estimated ending fund balance is valued at $18M and
continues to exceed recommend reserve balance of 60 days operating costs.
To better navigate future budgetary challenges, the City is developing a General Fund
Forecasting Model to be completed in 2025, providing a critical tool for long-term financial
planning.
61
$(12)
$(10)
$(8)
$(6)
$(4)
$(2)
$-
$2
$4
$6
$-
$5
$10
$15
$20
$25
$30
$35
$40
Actual 2020 Actual 2021 Actual 2022 Actual 2023 Estimated
2024
Budgeted 2025 Budgeted 2026
Mi
l
l
i
o
n
s
Mi
l
l
i
o
n
s
General Fund Ending Fund Balance
Ending Fund Balance Change in Ending Fund Balance
62
Enterprise Fund – Fund
Balance
The City of Pasco's Utility Fund manages utility services like water, sewer, and stormwater, using
full accrual accounting which reflects capital assets and liabilities, unlike the modified accrual
basis for governmental funds. This fund’s net investment in capital assets is not available for
future expenditures, making the unrestricted fund balance critical for meeting financial
obligations. The budgeting process considers this unrestricted balance as a key indicator of
financial health and a buffer for operational needs.
For the 2025-2026 biennium, budget preparations included reviewing the unrestricted fund
balance from 2023 and projecting the 2024 year-end balance to determine available funds. This
helps in planning for necessary reserves and ensuring funds designated for specific purposes,
like bond reserve balances and restricted capital funds, are properly accounted for. This focus
allows the City to differentiate between expenditures that can be covered by rate revenues and
those that require long-term debt, highlighting any rate insufficiencies.
The Utility Fund faces increasing demands due to customer growth and inflation, raising
expenses for supplies, services, and staffing, although no new staff additions are planned for
the next biennium. The budget includes significant capital investments to enhance service
capacity and update aging infrastructure, funded through a mix of revenue bonds, state loans,
grants, and user fees. While external funding in the form of borrowing helps reduce immediate
ratepayer burdens, the resulting debt service reduces unrestricted fund balance availability.
Rate studies are conducted for each utility service to ensure rates support system needs and
accommodate future growth. Key points from the rate studies include:
• Multi-year Rate Increases: To ease customer impact, rates are set to increase annually,
with water services increasing by 5% and sewer services by 4%.
• Process Water Reuse Facility: Rate changes approved in late 2024, effective starting
2025.
• Irrigation Services: A study recommends a 17% annual increase for the 2025-2026
biennium, with a council decision expected early 2025.
These studies aim to ensure financial stability by:
• Operational Reserve: Targeting a reserve of 45 days of operational costs, approximately
$7 million.
• Debt Service Coverage: Ensuring revenues cover 1.25 to 1.5 times annual debt service
costs, amounting to between $13 million and $20 million for this biennium.
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$-
$5
$10
$15
$20
$25
$30
$35
$40
$45
$50
Mi
l
l
i
o
n
s
Utility Fund Unrestricted Balance at Year End
2018 Actual 2020 Actual 2022 Actual 2024 Estimate 2026 Budget Based
64
2025-2026 Budget Summary – All Funds
Budgeted
Beginning Fund
Balance
Revenues &
Resource Inflows
Expenditures &
Resource
Outflows
Budgeted
Budgeted End
Fund Balance
Net Change in
Fund Balance
GENERAL FUND 31,264,925$ 158,674,724$ 171,871,410$ 18,068,239$ (13,196,686)$
Street 647,542 4,677,189 5,909,486 (584,755) (1,232,297)
Arterial 1,133,548 1,041,757 327,154 1,848,151 714,603
I-182 Impact 1,176,717 1,210,000 539,616 1,847,101 670,384
Street Overlay 2,091,426 2,376,000 2,229,089 2,238,337 146,911
CDBG/HOME 9,605 2,630,360 2,554,946 85,019 75,414
Martin Luther King Center 15,194 309,700 373,954 (49,060) (64,254)
Ambulance 7,248,206 26,974,216 28,168,506 6,053,916 (1,194,290)
ARPA 50,630 3,907,157 3,957,787 - (50,630)
Cemetery 523,697 644,500 833,891 334,305 (189,392)
Boulevard Maintenance 2,095,226 237,541 298,085 2,034,682 (60,544)
Athletics 307,291 400,700 359,334 348,657 41,366
Golf course 309,767 264,000 50,000 523,767 214,000
Animal Shelter Operations 73,579 4,732,716 4,806,295 - (73,579)
Senior Center 159 368,200 308,775 59,584 59,425
Multi Modal 317,347 416,882 152,166 582,063 264,716
School Impact 83,990 5,000,000 4,981,900 102,090 18,100
Pasco Marina 37,198 58,300 44,277 51,221 14,023
Lodging - 1,186,155 1,186,155 - -
Litter Abatement 86,340 700 9,882 77,158 (9,182)
Revolving Abatement 2,442 438,400 416,251 24,591 22,149
TRAC 105,978 377,700 454,393 29,285 (76,693)
Park Development 2,724,929 2,235,500 1,987,737 2,972,692 247,763
Capital Improvement Reet 8,104,674 5,725,000 3,304,569 10,525,105 2,420,431
Economic Development 15,606,207 3,575,000 4,164,307 15,016,900 (589,307)
Stadium/Convention Center 154,994 686,544 469,088 372,450 217,456
Hotel/Motel Excise Tax 1,819,119 1,721,000 2,861,166 678,953 (1,140,166)
DE
B
T
SE
R
V
I
C
E
LID
- 219,941 219,941 - -
CA
P
I
T
A
L
PR
O
J
E
C
T
General Capital Improvement
- 64,402,563 64,402,563 - -
Utility Fund Total 60,283,227 168,281,921 186,281,536 42,283,612 (17,999,615)
Water 15,474,653 57,792,147 59,868,957 13,397,843 (2,076,810)
Irrigation 9,418,523 4,491,333 11,438,908 2,470,948 (6,947,575)
Sewer 18,549,286 63,037,811 65,318,651 16,268,446 (2,280,840)
PWRF 10,075,241 37,493,214 42,643,875 4,924,580 (5,150,661)
Storm Water 6,765,524 5,467,416 7,011,145 5,221,795 (1,543,729)
Equipment O&M Govt (10,100) 5,143,900 6,297,203 (1,163,403) (1,153,303)
Equipment O&M Enterprise - 400,000 400,000 - -
Equipment Replacement Govt 9,261,874 2,048,224 977,566 10,332,532 1,070,658
Equipment Replacement Enterprise 6,059,692 1,504,545 560,000 7,004,237 944,545
Medical/Dental/Vision 2,919,070 19,622,539 19,582,536 2,959,073 40,003
Central Stores - - - - -
Old Fire Pension (See note page 33)65,403 934,672 218,637 1,551,920 1,486,517
Old Fire OPEB (See note page 33)835,885 954,540 152,648 867,295 31,410
PE
R
M
A
N
E
N
T
F
U
N
D
Cemetery Endowment
769,366 56,000 - 825,366 56,000
156,175,147$ 493,438,786$ 521,712,849$ 127,901,083$ (28,274,064)$
FI
D
U
C
I
A
R
Y
F
U
N
D
S
TOTAL
2025-2026 BUDGET SUMMARY - ALL FUNDS
Fund
SP
E
C
I
A
L
R
E
V
E
N
U
E
F
U
N
D
S
EN
T
E
R
P
R
I
S
E
FU
N
D
IN
T
E
R
N
A
L
SE
R
V
I
C
E
F
U
N
D
S
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Other Funds - Fund
Balance Summaries
The information below addresses changes in fund balances with significant changes as shown
in the “2025-2026 BUDGET SUMMARY – ALL FUNDS” chart on the preceding pages. This
section also addresses lesser changes in the balances of Internal Service, and Fiduciary.
Street Fund – The Street Fund’s primary sources of revenue are Motor Vehicle Fuel Tax,
revenues associated with completion of pavement preservation projects, franchise fees and
utility taxes. Motor Vehicle Fuel Tax is a product of the number of gallons of fuel sold State-wide
and distributed on a per capita basis. The City’s receipts have increased in the last few years,
the impact of high fuel costs, and resulting potential negative pressure on fuel sales contributes
to a conservative estimation of 2025 revenues. 2026 was estimated with a slightly more positive
expectation. Depending upon the source of revenue, inflows over the past many years have
reduced or remained flat. At the same time, expenses in the fund have increased significantly
related across all expense categories. This outpace of expenses over revenues as of the end of
2026 is budgeted to draw the ending fund balance down by $1.2 M. It will be necessary during
this biennium to evaluate options for enhanced revenues to make the fund solvent.
Arterial Fund – The Arterial Fund also benefits from Motor Vehicle Fuel Tax. All other revenues
are small amounts in comparison. Funds accumulated are used for capital projects typically
serving as a match to Federal or State grants. The fund balance is expected to increase
$714,603 by the end of 2026 to support continued capital investment. The highest dollar value
project that to be financed with Arterial Fund proceeds in 2025-2026 is a pedestrian crossing
from Argent Road and Road 68 to Sandifur Parkway and Road 90.
I-182 Impact Fund – This fund is tied to development and associated transportation construction
in the I-182 Corridor. Within the I-182 Fund, the City accumulates fund balance to complete
projects, many times as matching funds to Federal or State grants for major eligible projects.
The fund balance for 2026 is anticipated to reflect an increase of $670,384 over the biennium.
For the biennium, funding from the I-182 Impact Fund will support transportation projects in the
Broadmoor Area. When comparing projects designated suitable for Impact Fund support as
outlined in the Capital Improvement Plan, the need far outpaces the revenue.
Street Overlay Fund – Similar to the theme of needed funding outlined in the other street related
funds, revenues of the Overlay Fund are an important and highly desired funding source for
transportation improvements. Overlay Fund revenues are solely composed of business and
occupation taxes charged by the City. The revenue source contributes approximately $1.1
million annually. During this biennium, budgeted fund support for pavement overlay projects
include portions of the Lewis Street Overpass and Lewis Street. Other important overlay related
work is spread throughout the City and completed by City staff as noted in the Streets Fund.
These projects are often smaller is scope but equally important towards of a efficient, well-
maintained transportation network. Use of City staff to maintain these smaller areas of overlay
work serves to allow for year-to-year analysis and repair that complements other City work.
66
Ambulance Services Fund – The Ambulance Fund biennial budget activity estimates a decrease
in the ending fund balance. It is important to note this budget includes rate increases annually
to both the availability rate assessed through the City’s monthly utility billing system as well as
rates associated with service for ambulance transportation. Beginning in 2023, the City was the
beneficiary of a SAFER grant that will conclude in 2025. The grant’s purpose was to ease the
financial burden associated with the addition of nine staff members that were added in the last
biennium. As budgeted, revenues in the first year of the biennium nearly cover the expenditures
of the fund. However, for the second year of the biennium the fund is projected to use close to
$1M from reserves. A revenue requirements study for the service is anticipated to be undertaken
in 2025.
Boulevard Maintenance Fund – The Boulevard Maintenance Fund is the repository for fees
assessed to new development. Fees accumulate in the fund to be used for boulevard
greenspace maintenance. Beginning in 2023, the cost of an employee was charged to this fund
via a transfer out to General Fund to offset cost of groundman position. It is important to note
that the total costs associated with maintenance of the City’s many boulevards significantly
exceed the work product of one person. For future consideration, it will be necessary to evaluate
true costs and investigate mitigation efforts to allow for funding to support maintenance
undertaken. This analysis is especially important for the eventual day when development slows
leaving existing boulevard spaces to maintain in perpetuity.
Animal Control and Services – The Animal Control and Services Fund was new in the budget
for 2023-2024. Budgeted revenues and expenses are nearly equal. In the coming years, it will
be important to continue evaluating actual activity to fully understand the impact of shared costs
on the City and our partners. Ultimately, the financial burden of Animal Control services is shared
by the three partner Cities of Kennewick, Richland and Pasco. In the 2025-2026 biennium, the
burden of the Tri-Cities Animal Control Facility operational support to the City’s General Fund is
budgeted at $1.5M.
Senior Center Fund – The Senior Center Fund continues to require a subsidy in this biennium
from the General Fund. The need to subsidize operations at the Senior Center is not unusual.
Revenues are small and do not keep pace with cost of service.
Revolving Abatement Fund – Fund balance in this fund is estimated to increase by $24,591 in
the biennium. This increase is primarily the result of a reduction in the number of abated
nuisance properties. Over the course of the last couple biennium, extensive Downtown clean-
up efforts and the purchase of a dilapidated property depleted the existing fund balance. Moving
forward, abatement efforts will need to be scrutinized to assure revenues will cover expenses
and maintain positive fund balance.
Park Development Fund – The Park Development Fund ending fund balance increases
throughout the biennium by approximately $247 Thousand, leaving an estimated fund balance
in 2026 of $2.9 Million. The strong revenues derived from new construction related fees are
highly dependent on the pace of development, which we anticipate remaining strong in 2025-
2026. If planned spending outlined in the Capital Improvement Plan (CIP) takes place, fund
revenues will be sufficient to meet fund requested support. However, there are many park
projects included in the CIP that have no assigned funding. While the projects are known
67
community improvement desires, funding from this fund or other sources is currently unknown
or insufficient.
Capital Improvement (REET) Fund – Funding in the Capital Improvement Fund is the byproduct
of real estate excise tax. Anticipating a reasonable level of fund revenue was challenging during
this budget planning period. In 2021-2022, the fund’s revenues were approximately $7.3M. In
2023-2024 biennium, they reduced to $5.3M, most likely because of pressure on sales due to
increased rates of interest in the biennium. Projects that fit appropriately in this category of
funding support are always numerous. The budgeted use of funds in the biennium total $3.3
Million. Most notable project support are for extension of Road 40 East and City participation in
capital improvements at regional dispatch center. The results of the budgeted activity reflect a
positive ending fund balance of $10.5 Million in 2026. Based on the City’s expanding footprint
and an ever-present need for capital investment, it is important to monitor and plan use of fund
assets with purpose.
Economic Development Fund – The Economic Development Fund accumulates revenue
primarily from a limited-term agreement associated with region convention centers and annual
lease fees at City-owned farm operations. The revenues support farm operations and capital,
general economic development efforts, and capital improvement projects that serve as economic
drivers. Through the course of this biennium, the budget-based change in fund balance is a
reduction of $589,307. For the next biennium, revenues are expected to decrease significantly
with the cessation of the convention center related inflow in December 2027. The decrease will
limit the fund’s ability to contribute to capital investment.
Stadium/Convention Center Fund – The fund balance is increasing slightly during this biennium.
This increase is primarily the outcome of maximizing revenue and mitigating costs to ensure
they are sufficiently supporting ongoing operations. While significant projects are planned and
being completed, more improvements are expected. It will be necessary for the City to explore
funding opportunities for those potential projects.
Hotel/Motel Excise Tax Fund –Revenues have rebound from the effects of the pandemic shut
down. A conservative increase in revenues is expected for 2025-2026. Budgeted expenses are
increased to maximize support to encourage tourism and provide community enrichment
activities. The fund balance remains strong through the end of 2026. Council authorizes
allocations of Hotel/Motel Excise Tax each year in a separate process.
LID (Local Impact Districts) Fund – Local Improvement Districts are financing instruments
created for the primary purpose of constructing streets, storm drainage, sidewalk, street lighting,
water, and/or sewer improvements. Following construction and approval of final assessment,
long term debt is issued. Benefiting property owners are in turn assessed their share of debt
service on an annual basis. The assessments are liens against the property. While rare, should
an assessment become sufficiently delinquent, foreclosure may occur. Revenues and expenses
of the fund are equal as receipts are used to redeem outstanding debt.
Equipment O&M Government Fund – A decrease in fund balance is due to budgeted expenses
exceeding anticipated revenue. It will be necessary to evaluate and revise service rates charged
to ensure appropriate revenue to support services.
68
Equipment Replacement Enterprise Fund – This fund serves as a financing mechanism for
purchase of City vehicles and equipment. Annual contributions on a per department, per vehicle
basis are accumulated in the fund to meet estimated replacement cost at the conclusion of an
asset’s useful life. Based on the number and accompanying cost of assets, the value of these
savings is material across the organization. Aware of budgetary constraints in many City funds
and with awareness of need to carefully evaluate management of this impactful purchase
process, the City reduces the pace of saving in this biennium, allowing the fund balance to
increase. It is important to mention that accompanying this delay is the risk that savings will be
insufficient to support eventual purchase.
Medical/Dental/Vision Fund – The City is self-insured. The fund balance for the Fund is nearly
flat over the biennium. This fund will be carefully monitored throughout the biennium with the
aim of maintaining a healthy fund balance to meet medical cost needs.
Old Fire Pension – This fund provides pension benefits to firefighters that were hired before
1970. Savings in the pension fund were accumulated in years past and invested to recognize
investment income. The fund also receives contributions via a transfer in from the General Fund.
This transfer is the product of General Fund recognized State shared revenue distributed from
proceeds of fire insurance premiums. Annual revenues are expected to far exceed budgeted
expenses. At end of biennium the fund balance is projected to be approximately $6.2 million.
Old Fire Other Post-Employment Benefits (OPEB) – Participants in this fund mirror those of the
Old Fire Pension Fund. As such, the comparison of investment income to fund expenditures
budgeted in the biennium are representative of a surplus of revenues. A December 2026, fund
balance is budgeted to be approximately $6.2M.
Staffing Trends
This section reviews the past, current, and future staffing levels across various City departments,
with a strong focus on public safety due to increasing population and corresponding needs. Key
points include:
• Public Safety: Since 2016, significant staffing increases have been in Fire, Ambulance,
and Police departments to improve community safety and well-being. Pasco is now
ranked as the eighth safest city in Washington.
• Police Department: Enhanced by grants like the Community Oriented Policing Services
(COPS), which funded 4 new FTEs from 2019-2022. The department also added 14 FTEs
in the 2023-2024 biennium following strategic planning recommendations and started a
Regional Basic Law Enforcement Academy to expand the candidate pool.
• Fire Department: Received a SAFER Grant in 2023, funding 15 new FTEs to staff the
new Fire Station 85, enhancing service in the northwest area of town.
• Other Departments: As the City grows, there is also a need for more non-public safety
staffing to manage increased activities and infrastructure. For instance, 20 FTEs were
added for the regional animal shelter management transition from external contractors,
and two additional FTEs in 2025-2026 for in-house veterinary services. Eight additional
69
FTEs were added for facilities and parks maintenance in the 2023/24 biennium to keep
pace with new parks and landscaped boulevards.
Despite these enhancements, revenue growth lags behind expenditure increases, leading to
budget deficits. To manage this, the City plans to keep some positions vacant as they become
available, opting for process improvements or reassignment to save on labor costs. However,
this may slow down service delivery. The tables and charts below illustrate the changes in
staffing levels relative to population growth from 2016 to 2026.
70
General Fund - Departments 2021 2022 2023 2024 2025 2026 24-26
Changes
City Council 7.00 7.00 7.00 7.00 7.00 7.00 0.00
Municipal Court 15.85 1 5.85 17.85 17.85 17.85 17.85 0.00
City Manager 5.00 5 .00 9.00 9.00 11.50 11.50 2.50
Human Resources 5.50 6.50 7.00 7.00 7.00 7.00 0.00
Information Technology 0.00 0.00 0.00 0.00 14.40 14.40 14.40
Police 92.00 96.00 110.00 110.00 110.00 110.00 0.00
Fire 38.00 38.50 47.50 47.50 47.00 47.00 -0.50
Parks & Recreation 41.55 42.55 55.95 55.95 39.55 39.55 -16.40
Finance 17.05 1 9.05 21.55 21.55 21.55 21.55 0.00
Community & Economic
Development 25.00 28.00 32.00 32.00 32.00 32.00 0.00
Engineering 10.65 1 3.65 16.65 16.65 15.80 15.80 -0.85
Sub-Total General Fund 257.60 27 2.10 324.50 324.50 323.65 323.65 -0.85
Other Funds 2021 2022 2023 2024 2025 2026 24-26
Changes
Streets 7.50 7.50 7.50 7.50 7.67 7.67 0.17
CDBG 1.00 1 .00 1.00 1.00 1.00 1.00 0.00
Martin Luther King Center 0.45 0.45 0.45 0.45 0.45 0.45 0.00
Ambulance 43.75 44.25 56.85 56.85 57.35 57.35 0.50
ARPA 0.00 1 .00 0.50 0.50 0.50 0.50 0.00
Animal Shelter Operations 0.00 0.00 20.00 20.00 22.00 22.00 2.00
Cemetery 1.50 1 .50 1.50 1.50 2.00 2.00 0.50
Senior Center 1.50 1 .50 1.50 1.50 1.50 1.50 0.00
Economic Development 1.00 1 .00 1.00 1.00 1.00 1.00 0.00
Water/Sewer Utility 63.36 65.36 78.86 79.86 78.93 78.93 -0.93
Equipment RR 6.69 6.69 10.19 10.19 9.30 9.30 -0.89
Internal Medical Insurance 0.50 0.50 1.00 1.00 1.00 1.00 0.00
Sub-Total Other Funds 127.25 1 30.75 180.35 181.35 182.70 182.70 1.35
Total, City-wide 384.85 402.85 504.85 505.85 506.35 506.35 0.50
FTE Allocation
71
72
CITY COUNCIL
73
74
75
76
77
City Manager 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended Budget
2025-2026
Adopted
Revenue
Charges Goods & Services 97,590 8,982 28,911 146,550
Miscellaneous 47,563 49,665 42,402 -
Department Total 145,153 58,647 71,313 146,550
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended Budget
2025-2026
Adopted
Expenditures
Salaries 1,583,7 54 1,391,293 2,37 1,565 2,441,149
Personnel Benefits 606,942 464,7 66 845,940 87 2,208
Supplies 61,645 84,47 2 827 ,200 316,600
Services 548,884 320,659 502,510 1,808,659
Capital Outlays 5,806 51,409 - -
Department Total 2,807,031 2,312,598 4,547,215 5,438,616
78
Position 2025 2026
City Manager 1 1
Deputy City Manager 1 1
Assistant City Manager 1 1
Executive Assistant 1 1
Management Analyst 1 1
Digital Media Administrator 1 1
Communications Coordinator*0.5 0.5
Lead Communication & Engagement Strategist 1 1
Adminstrative Assistant II 1 1
City Clerk 1 1
Deputy City Clerk 1 1
Department Assistant II 1 1
Total 11.5 11.5
*0.5 Communications Coordinator in ARPA Fund
City Manager Personnel Summary
79
80
81
82
83
84
Salaries - 861,732 1,171,383 1,333,678
Personnel Benefits - 342,862 444,899 488,818
Supplies - 11,588 55,861 33,300
Services - 482,360 977,432 930,355
Capital Outlays - - - -
- 1,698,542 2,649,575 2,786,151
HR Director*0.5 0.5
HR Administrative Coordinator 1 1
HR Business Partner 0.5 0.5
HR Specialist 3 3
Senior HR Generalist 1 1
Safety & Risk Program Admin 1 1
T otal 7 7
*0.5 HR Director & 0.5 Business Partner in Medical/Dental Insurance
Fund fund
85
86
87
Position 2025 2026
Information Technology Director 1 1
IT Application Lead 1 1
IT Customer Service Lead 1 1
IT GIS Lead 1 1
IT Operations Lead 1 1
IT Project Manager 1 1
Network Administrator 1 1
Cybersecurity Administrator 1 1
Business Analyst 1 1
GIS Specialist 1 1
PC Specialist 1 1
Systems Adminstrator 1 1
Application Specialist 2 2
IT Radio Equip- Vehicle Specialist*0.4 0.4
Total 14.40 14.40
Information Technology Personnel Summary
*.6 of IT Radio Equip - Vehicle Specialist is in Ambulance Fund
88
89
90
91
Position 2025 2026
Parks and Recreation Director 1 1
Recreation Services Manager 1 1
Facilities Manager 1 1
Parks Manager 1 1
Parks Lead 2 2
G roundsman I 4 4
G roundsman II 8 8
G roundsman III 5 5
Facilities Lead 1 1
Facilities Maintenance Workers 6 6
Arborist 1 1
Park Ranger 1 1
Recreation Specialist 3.55 3.55
Adminstrative Assistant II 1 1
Adminstrative Assistant I 1 1
Department Aide II 2 2
T otal 39.55 39.55
Parks and Recreation Personnel Summary
92
93
94
95
96
97
98
99
Finance 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended Budget
2025-2026
Adopted
Revenue
Intergovernmental 43,7 81 4,845 -
Charges Goods & Services 622,848 631,842 516,081 231,000
Miscellaneous 37 5 407 ,820 832,000
Department Total 667 ,004 636,687 923,901 1,063,000
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended Budget
2025-2026
Adopted
Expenditures
Salaries 2,465,230 2,807 ,807 3,421,560 3 ,604,338
Personnel Benefits 964,123 1,07 0,686 1,247 ,631 1,37 1,343
Supplies 56,27 0 57 ,57 1 55,639 44,914
Services 1,7 15,07 3 1,845,955 2,026,7 49 2,353,543
Capital Outlays 17 ,386 16,7 50
Department Total 5,218,082 5,7 98,7 69 6,7 51,57 9 7 ,37 4,138
100
101
102
103
104
105
106
107
108
109
110
Public Works – Engineering
111
Public Works – Streets
110 - City Streets Fund 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Taxes - - - -
License & Permits 87 4,647 841,246 97 3,800 67 0,000
Intergovernmental 1,962,029 1,966,424 1,934,432 1,988,000
Charges for Goods & Services 1,089,683 1,056,156 1,495,930 1,416,589
Miscellaneous Revenue 61,047 47 ,325 682 28,600
NonOper Rev - Interest - - 10,000
Transfer In 1,919,27 5 868,860 562,323 564,000
Department Total 5,906,681 4,780,011 4,967,167 4,677,189
Expenditures
Salaries & Wages 947 ,063 835,024 1,219,185 1,356,908
Personnel Benefits 433,7 13 37 3,856 507 ,543 539,7 32
Supplies 7 44,132 968,502 901,033 1,215,354
Services & Charges 2,391,008 2,295,244 2,347 ,851 2,408,892
Transfers & Pass Trough's 321,484 36,57 4 222,000 -
Capital Outlays 7 0,926 - 215,615 388,600
Department Total 4,908,326 4,509,200 5,413,227 5,909,486
Position 2025 2026
Public Works Director 0.11 0.11
Public Works Operation Manager 0.06 0.06
Public Works Division Manager 0.25 0.25
Public Works Lead 1 1
Maintenance Worker 3 5 5
I nstrumentation Tech 1 1
Administrative Assistant II 0.04 0.04
Department Assistant II 0.04 0.04
Deputy Public Works Director 0.11 0.11
Construction Manager 0.06 0.06
Total 7.67 7.67
City Streets Personnel Summary
112
SPECIAL REVENUE
FUNDS
The City uses Special Revenue Funds to account for revenues that must be used by law for
specific purposes. Examples are the City Street Fund and Arterial Street Fund that account for
gasoline taxes received that can only be used for maintenance and improvements to roads and
streets, as well as the Ambulance Fund that provides vital emergency medical services to our
residents.
Below is the list of all of City’s Special Revenue Funds:
• Fund 110 – Street
• Fund 120 – Arterial Street
• Fund 130 – Street Overlay
• Fund 140 – Community Development Block Grant (CDBG)
• Fund 142 – HOME Program
• Fund 144 – NSP Fund
• Fund 145 – Martin Luther King (MLK) Center
• Fund 150 – Ambulance Services
• Fund 155 – ARPA
• Fund 160 – City View Cemetery
• Fund 161 – Boulevard Maintenance
• Fund 165 – Athletic Program
• Fund 166 – Golf
• Fund 168 – Animal Control Operations
• Fund 170 – Senior Center
• Fund 180 – Multi-Modal Facility
• Fund 182 – School Impact Fees
• Fund 185 – Rivershore Trail and Marina
• Fund 188 – Special Assessment Lodging
• Fund 189 – Litter Abatement
• Fund 190 – Revolving Abatement
• Fund 191 – TRAC Development and Operating
• Fund 192 – Park Development
• Fund 193 – Capital Improvement Fund (Real Estate Excise Tax)
• Fund 194 – Economic Development Fund
• Fund 195 – Stadium Convention Center
• Fund 196 – Hotel/Motel Excise Tax
113
Arterial Fund
I-182 Impact Fund
120 - Arterial Fund 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 97 3,145 983,165 833,834 914,7 57
Charges for Goods & Services 7 42,214 5,609 - -
Miscellaneous Revenue 22,080 18,7 06 12,915 7 0,000
Transfer In 906,255 400,000 57 ,000
Department Total 1,737,439 1,913,735 1,246,749 1,041,757
Expenditures
Services & Charges 13,963 3,527 6,443 26,506
Transfers & Pass Trough's 929,089 47 2,037 2,7 09,192 300,648
Capital Outlay - - -
Debt Principal 81,955 -
Debt Interest
Department Total 1,025,007 475,564 2,715,635 327,154
125 - I82 Impact Fee 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 1,182,823 2,000,935 1 ,128,356 1,140,000
Miscellaneous Revenue 38,118 22,357 2 1,525 7 0,000
Debt Proceeds 191,547
Department Total 1,412,488 2,023,292 1,149,881 1,210,000
Expenditures
Services & Charges 9,236 2,415 5 ,369 9,616
Transfers & Pass Trough's 284,313.00 1,87 2,505.00 1 ,043,295.00 530,000.00
Department Total 293,549 1,874,920 1,048,664 539,616
114
Street Overlay Fund
Community Development Block Grant
130 - Street Overlay Fund 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Miscellaneous Revenue 152,523 37 ,002 1 6,000 40,000
Transfer In 2,080,364 1,886,568 2 ,254,07 4 2,336,000
Department Total 2,232,887 1,923,570 2 ,270,074 2,376,000
Expenditures
Services & Charges 1,652,217 71,294 186,625 7 5,500
Transfers & Pass Trough's 605,815 2,032,137 5,236,088 2,153,589
Department Total 2,258,032 2,103,431 5 ,422,713 2,229,089
Community
Development Block
Grant (CDBG)
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Intergovernmental 1,290,058 2,475,820 2,396,100 2,000,000
Miscellaneous 26,245 179,639 - 800
Debt Proceeds - 3,781,000 - -
Transfers In - 131,008 250,500 400,000
Department Total 1,316,303 6,567,467 2,646,600 2,400,800
Expenditures
Salaries 171,517 165,536 182,037 190,912
Personnel Benefits 64,505 58,203 67,452 70,456
Supplies 1,095 7,223 6,000 4,000
Services 429,852 865,866 1,245,339 630,018
Transfers & Pass Throughs 701,938 4,699,959 447,788 550,000
Debt Principal - 380,000 380,000 380,000
Debt Interest - 142,404 360,500 500,000
Department Total 1,368,907 6,319,192 2,689,116 2,325,386
115
Home Program
HOME Investment
Partnership
Program
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Intergovernmental 95,681 46,624 242,400 229,560
Miscellaneous - - -
Debt Proceeds - - - -
Transfers In - - - -
Department Total 95,681 46,624 242,400 229,560
Expenditures
Salaries 5,894 6,559 - 9,000
Personnel Benefits 2,267 2,466 - 3,400
Supplies - 1,876 4,000 1,000
Services 87,169 33,062 238,400 216,160
Transfers & Pass Throughs - 202 - -
Department Total 95,330 44,165 242,400 229,560
116
Martin Luther King Center Fund
Intergovernmental 6,801 1,686 - -
Charges Goods & Services 2,286 16,308 8,000 31,000
Miscellaneous 71,083 90,680 98,600 97,400
Interest - 322 - 1,300
Transfers In 140,000 1 60,000 238,000 180,000
220,170 268,997 344,600 309,700
Expenditures
Salaries 80,931 80,251 59,579 70,142
Personnel Benefits 32,086 30,264 19,698 22,097
Supplies 11,219 5,990 13,660 13,000
Services 177,842 165,959 197,791 268,715
Capital Outlays 18,316 - - -
320,394 282,465 290,728 373,954
Recreation Specialist 0.45 0.45
Total
117
FIRE DEPARTMENT – AMBULANCE UTILITY
150 - Ambulance Services 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Taxes 8,011,953
Intergovernmental 6,17 8,806 8,983,655 5 ,803,316
Charges for Goods & Services 13,110,652 14,094,203 1 6,27 6,355 20,251,300
Miscellaneous Revenue 7 3,200 7 4,545 5 3,97 2 7 3,800
NonOper Rev - Interest - 1,639 1 ,300 5,800
Other Financing Sources - 48,938 - -
Transfer In 1,540,000 847 ,500 1 ,140,000 840,000
Department Total 22,735,805 21,245,631 26 ,455,282 26,974,216
Expenditures
Salaries & Wages 9,232,17 8 10,916,808 1 3,980,807 16,922,995
Personnel Benefits 2,553,463 2,967 ,553 3 ,946,7 19 4,37 8,846
Supplies 509,166 7 26,259 1 ,086,7 00 830,180
Services & Charges 3,358,062 5,117 ,7 18 7 ,080,383 6,000,835
Transfers & Pass Trough's - 45 - -
Capital Outlays 63,386 149,67 5 2 17 ,000 -
Debt Principal 2,000,000 11,7 95 - -
Debt Interest 48,680 1,115 - 3 5,650
Department Total 17,764,935 19,890,968 2 6,311,609 28,168,506
118
ARPA Fund
155 - ARPA 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 5,642,7 54 402,7 12 3,857 ,157
Miscellaneous Revenue 107 ,407 20,000 50,000
Department Total - 5,750,161 422,712 3,907,157
Expenditures
Salaries & Wages 58,329 7 2,942 7 5,509
Personnel Benefits 25,463 29,691 30,810
Supplies - - -
Services & Charges 2,999,916 7 8 3,800,208
Transfers & Pass Trough's 2,553,016 11,084,27 1 50,630
Department Total - 5,636,724 11,186,982 3,957,157
119
Cemetery Fund
Boulevard Maintenance Fund
Cemetery 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Intergovernmental 3,891 - -
Charges Goods & Services 747,718 919,912 825,181 613,500
Miscellaneous Rev 5 3,436 15 -
Interest 3,342 4,434 1,356 11,000
Other Financing Sources - 2,736 - -
Transfers In - - 175,000 20,000
Department Total 754,956 930,518 1,001,552 644,500
Expenditures
Salaries 187,621 213,095 193,213 244,253
Personnel Benefits 75,225 73,257 86,596 116,385
Supplies 49,834 33,209 49,620 25,000
Services 347,546 414,256 452,359 448,253
Capital Outlays 8,263 - - -
Department Total 668,489 733,817 781,788 833,891
161 - Blvd Maint 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 415,040 148,07 5 92,946 169,000
Miscellaneous Revenue 62,7 27 - 12,344 -
NonOper Rev - Interest 21,840 9,315 56,000
Debt Repayment 39,263 43,043 36,000 12,541
Department Total 517,030 212,958 150,605 237,541
Expenditures
Services & Charges 4,228 3,994 3,7 88 3,085
Transfers & Pass Trough's 207 ,600 290,000 237 ,816 295,000
Department Total 211,828 293,994 241,604 298,085
120
Athletics Fund
Golf Fund
Beginning in 2022, the City’s role in golf course operations changed to a lessor arrangement.
Athletics 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 223,271 238,788 352,139 262,700
Miscellaneous Rev 8,894 31,967 6,000 131,000
Interest 1,727 296 7,000
Department Total 232,165 272,482 358,435 400,700
Expenditures
Salaries 24,054 20,273 54,710 56,045
Personnel Benefits 5,022 4 ,000 11,252 6,484
Supplies 61,389 65,544 94,200 102,525
Services 197,563 191,218 160,291 194,280
Department Total 288,028 281,036 320,453 359,334
166 - Golf 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 2,922,065 1,436,356 - -
Miscellaneous Revenue 594,643 436,089 2 00,000 260,000
NonOper Rev - Interest 2,926 - 4 ,000
Department Total 3,516,708 1,875,371 2 00,000 264,000
Expenditures
Supplies 400 9,962 - -
Services & Charges 3,584,889 1,7 22,67 6 2 32,964 -
Transfers & Pass Trough's 5 - -
Capital Outlays - 100,000 5 0,000
Department Total 3,584,889 1,732,643 3 32,964 50,000
121
Animal Control Operations
Animal Control Operations
Fund 2019-2020 Actual 2021-2022 Actual 2023-2024 Amended 2025-2026 Adopted
Revenues
Taxes
Charges for Goods & Services 3,226,609 3,193,542
Miscellaneous Revenue
Debt Proceeds
Transfer In 1,549,173 1,539,174
Total Revenues - - 4,775,782 4,732,716
Expenditures
Salaries & Wages 2730508 2795120
Supplies 367486 509300
Services & Charges 1,649,788 1,501,875
Total Expenditures -$ -$ 4,747,782$ 4,806,295$
122
Senior Center Fund
Senior Center 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Intergovernmental 22,814 242 - 1,000
Charges Goods & Services 18,218 13,231 15,586 22,000
Miscellaneous Rev 31,042 3,521 3,293 4,900
Interest 220 280 300
Other Financing Sources - - - -
Transfers In 464,116 254,116 436,700 340,000
Department Total 536,190 271,330 455,859 368,200
Expenditures
Salaries 209,135 1 89,851 240,753 136,375
Personnel Benefits 83,797 83,109 94,164 41,805
Supplies 8,073 6,429 8,800 7,545
Services 197,033 91,957 87,632 123,050
Department Total 498,038 371,347 431,349 308,775
123
Multi-Modal Fund
School Impact Fund
Marina Fund
180 - MultiModal 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 204,825 206,909 247 ,951 212,000
Miscellaneous Revenue 17 2,544 17 6,345 17 2,850 194,882
NonOper Rev - Interest 3,395 600 10,000
Department Total 377,369 386,649 421,401 416,882
Expenditures
Supplies 15,468 24,189 20,000 10,000
Services & Charges 150,490 139,265 134,539 142,166
Transfers & Pass Trough's 300,000 91,514 7 0,000 -
Department Total 465,958 254,968 224,539 152,166
182 - School Impact 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 5,7 55,350 4,623,450 5,237 ,600 5,000,000
Department Total 5,755,350 4,623,450 5,237,600 5,000,000
Expenditures
Services & Charges 5,698,87 8 4,613,692 5,224,7 14 4,981,900
Department Total 5,698,878 4,613,692 5,224,714 4,981,900
185 - Marina 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 157,937 - -
Miscellaneous Revenue 857 ,334 55,47 7 53,902 57 ,600
NonOper Rev - Interest 366 461 7 00
Department Total 857,334 213,780 54,363 58,300
Expenditures
Supplies 150 - 2,000
Services & Charges 89,585 160,7 51 29,195 42,27 7
Transfers & Pass Trough's 17 ,550 - 200,000 -
Capital Outlays 53,869
Debt Principal 141,204 - -
Debt Interest 8,7 96 - -
Department Total 161,004 310,901 229,195 44,277
124
Lodging Fund
Litter Abatement Fund
185 - Marina 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 157,937 - -
Miscellaneous Revenue 857 ,334 55,47 7 53,902 57 ,600
NonOper Rev - Interest 366 461 7 00
Department Total 857,334 213,780 54,363 58,300
Expenditures
Supplies 150 - 2,000
Services & Charges 89,585 160,7 51 29,195 42,27 7
Transfers & Pass Trough's 17 ,550 - 200,000 -
Capital Outlays 53,869
Debt Principal 141,204 - -
Debt Interest 8,7 96 - -
Department Total 161,004 310,901 229,195 44,277
188 - Lodging 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Taxes (30,141) - -
Charges for Goods & Services 529,7 64 993,17 4 1,37 0,312 1,186,155
NonOper Rev - Interest 827 462 -
Department Total 529,764 963,860 1,370,774 1,186,155
Expenditures
Services & Charges 529,7 64 963,860 1,37 0,7 7 4 1,186,155
Department Total 529,764 963,860 1,370,774 1,186,155
189 - Litter Abatement 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 33,27 6 25,000 25,669 -
NonOper Rev - Interest 554 155 7 00
Transfer In 5,000 10,000
Department Total 33,276 30,554 35,824 700
Expenditures
Services & Charges 21,521 8,907 33,964 9,882
Department Total 21,521 8,907 33,964 9,882
125
Revolving Abatement Fund
TRAC/HAPO Fund
Revolving
Abatement
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 174,772 1 71,878 189,833 138,000
Fines & Penalties 403,595 466,433 509,825 300,000
Miscellaneous 42,654 - - -
Interest - 42,315 50,457 400
Department Total 621,021 680,626 750,115 438,400
Expenditures
Services 422,251 657,656 1,252,937 416,251
Capital Outlays - 106,139 - -
Department Total 422,251 763,795 1,252,937 416,251
TRAC/HAPO 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Miscellaneous 8,397 15,651 - -
Interest - 2,931 646 2,700
Transfers In 421,260 198,347 540,000 375,000
Department Total 429,657 216,929 540,646 377,700
Expenditures
Services 426,069 367,899 545,322 454,393
Department Total 426,069 367,899 545,322 454,393
126
Park Development Fund
Capital Improvement (REET) Fund
Non-recurring Capital Expenditures – The Capital Improvement Fund receives its revenue from
Real Estate Excise Tax and is earmarked for large capital projects. Most notable in this biennium
is the City’s contribution toward regional dispatch center and Rd 40 extension project.
192 - Park Development 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Charges for Goods & Services 1,57 5,17 4 1,224,412 1,121,640 2,155,500
NonOper Rev - Interest 97 ,47 2 29,025 8,610 80,000
Department Total 1,672,646 1,253,437 1,130,250 2,235,500
Expenditures
Services & Charges 14,358 7 ,469 24,47 7 21,527
Transfers & Pass Trough's 452,916 1,139,822 3,091,533 1,966,210
Department Total 467,274 1,147,291 3,116,010 1,987,737
193 - Capital
Improvement
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Taxes 5,581,649 7 ,256,201 7 ,216,036 5,300,000
Miscellaneous Revenue 236,7 46 63,153
NonOper Rev - Interest (110,17 9) 110,931 2 4,131 425,000
Department Total 5,708,216 7,367,132 7 ,303,320 5,725,000
Expenditures
Services & Charges 26,584 30,07 5 4 2,505 114,017
Transfers & Pass Trough's 4,944,491 4,7 12,639 9 ,365,247 3,190,552
Department Total 4,971,075 4,742,714 9 ,407,752 3,304,569
127
Economic Development Fund
194 - Economic
Development
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Intergovernmental 930,192 1,161,7 85 1 ,286,7 23 1,400,000
Miscellaneous Revenue 2,046,655 1,959,080 1 ,853,317 2,000,000
NonOper Rev - Interest 35,418 10,362 1 7 5,000
Capital Outlays 7 45,27 2
Transfer In 12,302,988
Department Total 2,976,847 16,204,543 3 ,150,402 3,575,000
Expenditures
Salaries & Wages 204,499 217 ,330 2 88,308 301,804
Personnel Benefits 45,859 86,7 07 9 8,87 2 93,043
Supplies 105,27 0 133,469 1 95,000 116,184
Services & Charges 1,257 ,817 1,07 5,57 2 9 56,635 1,003,27 6
Transfers & Pass Trough's 2,986,437 1,583,224 2 ,650,000
Capital Outlays 330,124 162,620 1 ,312,000 -
Department Total 1,943,569 4,662,135 4,434,039 4,164,307
128
Stadium/Convention Center Fund
Hotel/Motel Excise Tax Fund
Stadium/Conv Ctr 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Taxes - - - -
Miscellaneous 74,391 73,969 64,290 96,544
Interest - 6,393 2,091 10,000
Debt Proceeds 2,000,000 - 1,109,000 -
Transfers In 160,000 128,750 645,000 580,000
Department Total 2,234,391 209,112 1,820,381 686,544
Expenditures
Supplies - 1,955 - 2,400
Services 33,564 33,197 31,600 33,000
Transfers & Pass Throughs 1,182,653 341,246 1,978,232 -
Capital Outlays - - - -
Debt Principal 45,000 94 ,500 102,600 188,550
Debt Interest 76,169 154,970 241,633 245,138
Department Total 1,337,386 625,868 2,354,065 469,088
Hotel/Motel 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Taxes 1,251,000 1 ,603,703 1,524,837 1,700,000
Interest - 5,257 1,287 21,000
Department Total 1,251,000 1,608,960 1,526,124 1,721,000
Expenditures
Services 1,073,219 383,183 1,195,731 1,906,166
Transfers & Pass Throughs 937,869 327,097 540,000 955,000
Department Total 2,011,088 710,279 1,735,731 2,861,166
129
ENTERPRISE FUND
PUBLIC WORKS – UTILITIES OPERATIONS
DIVISION
Position 2025 2026
Public Works Director 0.63 0.63
Public Works Division Manager 3.75 3.75
Public Works Operations Manager 0.7 0.7
Finance Director 0.1 0.1
Chief Industrial Wastewater Farm Ops 1 1
Chief Plant Operator 3 3
Public Works Lead 4 4
Water Plant Operator 10 10
Waste Water Plant Operator 8 8
Lab Technician 1 1
Pump Mechanic 10 10
Maintenance Worker 3 24 24
Maintenance Worker 2 4 4
Administrative Assistant II 1.46 1.46
Department Assistant II 0.72 0.72
Environmental Compliance Coordinator 1 1
Public Works Project Coordinator 3 3
Pre-Treatment Technician 1 1
Deputy Public Works Director 0.63 0.63
Construction Manager 0.94 0.94
Total 78.93 78.93
Water/Sewer Utilities Personnel Summary
130
INTERNAL SERVICE
FUNDS
Equipment Operation & Maintenance
End Fund Balance – This fund supports the maintenance of City’s vehicles. Expenses and
revenues are not only based on routine maintenance, but some unexpected expenses as well.
During this biennium, a comprehensive analysis of equipment rental operations and reserve
planning will occur. This analysis will address rates and fund sustainability.
Equipment O&M
Gov't
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 2,924,009 4,195,232 4,594,152 5,115,400
Miscellaneous 28,988 32,456 12,000 24,500
Interest 5,060 988 - 4,000
Transfers In 7,384 - - -
Department Total 2,965,441 4,228,676 4,606,152 5,143,900
Expenditures
Salaries 7 98,200 954,208 1,440,041 1,7 28,7 91
Personnel Benefits 305,67 2 37 9,030 546,431 684,535
Supplies 1,334,549 1,930,389 2,37 3,550 2,515,556
Services 643,513 1,003,47 5 895,7 12 1,368,321
Department Total 3,081,934 4,267 ,103 5,255,7 34 6,297 ,203
Equipment O&M
Utility
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 194,463 309,663 501,400 400,000
Department Total 194,463 309,663 501,400 400,000
Expenditures
Supplies 194,463 309,663 495,400 400,000
Services 7 ,384 - - -
Department Total 201,847 309,663 495,400 400,000
131
Equipment Replacement
Equipment
Replacement Utility
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 1,709,593 1,871,178 2,309,533 1,349,545
Miscellaneous 14,716 325 - -
Interest 107,284 52,490.96 - 155,000
Transfers In - - -
Department Total 1,831,593 1,923,994 2,309,533 1,504,545
Expenditures
Salaries - - 38,363 -
Personnel Benefits - - 13,183 -
Supplies - 2,000 - -
Capital Outlays 7 7 0,084 245,397 3,47 4,160 560,000
Department Total 770,084 247,397 3,525,706 560,000
Equipment
Replacement Gov't
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 3,091,241 4,120,325 4,042,529 1 ,893,224
Miscellaneous 71,652 51,809 - -
Interest 160,884 94,968 - 1 55,000
Debt Proceeds - 266,249 - -
Capital Asset Sale 467,141 32,970 - -
Department Total 3,790,918 4,566,322 4,042,529 2,048,224
Expenditures
Salaries - - 38,363 -
Personnel Benefits - - 13,183 -
Supplies 239,554 646,722 - -
Services - 125,000 - -
Transfers & Pass Throughs 7 10,184 758,468 - -
Capital Outlays 851,625 2,560,740 4,97 5,7 36 97 7 ,566
Department Total 1,801,363 4,090,930 5,027 ,282 97 7 ,566
132
Medical Service Fund
Medical/Vision 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Intergovernmental 10,157
Charges Goods & Services 11,886,175 12,753,230 15,095,372 17,654,639
Miscellaneous Rev 520,311 472,044 596,048 620,000
Interest - 36,487 210 65,000
Other Financing Sources - 8,802 100,000 -
Debt Proceeds 1,710,338 - - -
Department Total 14,126,981 13,270,564 15,791,630 18,339,639
Expenditures
Salaries 120,285 138,015 223,830 159,000
Personnel Benefits 40,416 44,369 92,67 6 51,036
Services 12,403,602 13,524,886 15,635,7 23 17 ,7 86,27 8
Department Total 12,564,303 13,7 07 ,27 0 15,952,229 17 ,996,314
Dental 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Charges Goods & Services 921,146 995,478 1,191,472 1,280,900
Miscellaneous Rev 3,832 - - -
Interest - 1,402 11,538 2,000
Debt Proceeds 137,670 - - -
Department Total 1,062,648 996,880 1,203,010 1,282,900
Expenditures
Services 987 ,115 97 3,868 1,227 ,423 1,586,222
Department Total 987 ,115 97 3,868 1,227 ,423 1,586,222
Position 2025 2026
HR Director 0.5 0.5
HR Business Partner 0.5 0.5
T otal 1 1
Medical/Dental Insurance Personnel Summary
133
Central Stores Fund
ALL OTHER FUNDS
General Capital Construction Projects Fund
Central Stores 2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenue
Interest 240 117 - -
Department Total 240 117 - -
Expenditures
Supplies 240 - 1,000 -
Department Total 240 - 1,000 -
General Capital
Construction
2019-2020
Actual
2021-2022
Actual
2023-2024
Amended
2025-2026
Adopted
Revenues
Budgeted Beg Fund Balance
Intergovernmental 1,334,380 18,17 4,908 21,958,87 7 16,417 ,564
Miscellaneous Revenue - 1,37 1,662 113,919 35,502,000
Capital Contribution Cash -
Debt Proceeds (457 ,026)
Transfer In 24,17 8,161 25,259,430 35,87 7 ,519 12,482,999
Deparment Total 25,055,515 44,806,000 57 ,950,315 64,402,563
Expenditures
Transfers 11,860
Supplies 552,866 104,7 66 - -
Services & Charges 1,87 4,548 846,095 136,822 -
Capital Outlay 22,7 16,939 43,7 7 2,068 69,112,238 64,402,563
Ending Fund Balance
Deparment Total 25,156,213 44,7 22,929 69,249,060 64,402,563
134
Parks And Recreation 19,777,265
A Street Sports Complex Phase 2 80,000
Big Cross Mountain Bike Trails 250,000
Burden Blvd. Soccer Complex Improvement - Phase 2 200,000
Burden Blvd. Soccer Complex Improvements - Phase 1 1,800,000
City Hall Generator 467,000
City-Wide Trail Connection and Trail Improvement 225,000
Franklin County Irrigation District Trail New Construction Phase 1 & 2 75,000
Gesa Stadium Refurbishment 2,500,000
Highland Park Improvements (Goal Posts & Restroom/Storage Building)372,642
Highland Park South Side Update 100,000
Irrigation Clock Conversion Replacement - City Wide 400,000
Land Purchases - Parks 1,500,000
Lighted Pickleball Complex - Broadmoor Area 1,560,000
Marina Dock B Replacement 2,310,000
Martin Luther King Center Renovation/Expansion - E Columbia St & S Wehe Ave 3,730,000
Memorial Park Conversion of Play Fields Refurbishment 950,000
Memorial Pool - Bubble Cover & Improvements 1,208,623
Park Security/Pathway Lighting Pilot - Various Parks 175,000
Pasco Specialty Kitchen Building Expansion 700,000
Peanuts Park North Refurbishment 150,000
Police HQ Generator 414,000
Shoreline Drive Park 60,000
Sylvester Park Enhancements 150,000
Thunderbird/Farmer's Market Parking Lot 250,000
Xeriscape Boulevards, Facilities & Parks 150,000
Transportation - Public Works 44,625,297
Ainsworth Ave Pavement Preservation 2,082,000
Annual Pavement Preservation 1,416,589
Argent Rd/Rd 88 and Sandifur Pkwy/Rd 90 Pedestrian Crossings 1,122,048
Burden Blvd/Madison Ave Intersection Improvements 360,000
Burden Blvd/Rd 60 Intersection Improvements 360,000
Burden Rd/Rd 44 Intersection Improvements 360,000
Burns Rd Extension - Missing Link 3,350,000
Clark St Improvements 420,000
Columbia St Improvements 390,000
Court St /Rd 68 Intersection Improvements 100,000
Court St Safety Improvements 110,000
I-182/Broadmoor Blvd I/C Improvements - Eastbound 100,000
I-182/Broadmoor Blvd I/C Multiuse Pathway/Bridge 11,180,000
Lewis St Corridor Improvements - 2nd Ave to 5th Ave (Phase 1)4,348,000
Lewis St Overpass 100,000
Lewis St Pavement Preservation 5,146,000
Lewis Street Underpass Demolition 3,000,000
Rd 40 E Extension 930,000
Rd 40 East Pathway 500,000
Rd 68 Widening - Chapel Hill Blvd to Argent Rd 750,000
Rd 76 Overpass 5,759,000
Sandifur Pkwy/Rd 76 Intersection Safety Enhancements 389,000
South 4th Ave Festival Street Improvements 1,080,000
Sylvester St Overpass Pedestrian/Bicycle Access 580,660
Sylvester Street Safety Improvements 100,000
W 'A' St/6th Ave Pedestrian Crossing 592,000
64,402,562Grand Total
135
Cemetery Endowment Fund
Old Fire Pension Fund
Old Fire OPEB Fund
Old Fire Pension Fund 2019-2020
Actual
2021-2022
Actual
2023-2024
Budget
2025-2026
Adopted
Revenues
Intergovernmental 1 36,917 - 201,396 319,322
Miscellaneous Revenue 244,684 81,601 - 430,000
Non Oper Rev- Interest - 6,571 150 35,850
Dividends - 72,113 68,620 148,000
Debt Proceeds - 5,183 3,836 1,500
Deparment Total 381,601 165,468 274,002 934,672
Expenditures
Salaries & Wages 248,902 156,386 174,118 200,984
Personnel Benefits - - - -
Services & Charges 10,793 8,823 13,787 17,653
Department Total 259,695 165,208 187,905 218,637
Old Fire OPEB Fund 2019-2020
Actual
2021-2022
Actual
2023-2024
Budget
2025-2026
Adopted
Revenues
Miscellaneous Revenue 1 ,580,351 486,939 - 800,000
Non Oper Rev- Interest - 243 - 4,540
Dividends - 138,059 1,014,000 150,000
Deparment Total 1,580,351 625,241 1,014,000 954,540
Expenditures
Salaries & Wages 532,535 87,540 175,080 -
Services & Charges 69,933 2,911 153,058 152,648
Department Total 602,468 90,451 328,138 152,648
136
2025-2030
Capital
Improvement
Plan
137
CAPITAL PLAN AND BUDGETING
The Capital Improvements Projects (CIP) section outlines capital projects planned over a six-
year period, detailing estimated costs, funding sources, and scheduling. The CIP supports the
City of Pasco’s evolving needs by scheduling necessary public facilities, infrastructure, and
major projects. Annually updated, the CIP prioritizes projects and assists in preparing the Capital
Projects Budget, though adoption by the Council does not guarantee funding for specific
projects.
Capital improvements will follow the adopted Capital Improvement Plan and fit within the biennial
budget. The City evaluates the most cost-effective financing methods for all new projects. Each
project in the CIP includes construction cost estimates, expected annual operation and
maintenance impacts, and anticipated funding sources for each year of the six-year plan.
Recently, the City introduced a Capital Budgeting software to digitally publish and interactively
communicate its six-year capital plans.
The digital Capital Improvement Plan is accessible online:
https://city-pasco-wa-budget-book.cleargov.com/18579
138
ACKNOWLEDGEMENT
We acknowledge the following employees for their hard work and dedication in creating the City of Pasco
2025-2026 Adopted Biennial Budget. Each member of this team has made a significant contribution to
the success of this project and their efforts are greatly appreciated.
Darcy Buckley
Finance Director
Griselda Garcia
Finance Manager
Veronica Perez
Lead Accountant
Aileen Coverdell
Lead Accountant
Karen Conn
Staff Accountant
Julie Grant
Staff Accountant
Susana Benitez
Staff Accountant
Joseph Mugo
Staff Accountant
Vanessa Flores
Administrative Assistant II
Laurel McQuade
Lead Communications & Engagement Strategist
139