[{"_1":2,"_87":-5,"_88":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",5979661,"mediaKeyId","5834398-b9c0e6bf8968c9429985c22feec17e49","parentId",5834398,"title","Finance committee reviews sewer study, staffing and rate options ahead of public hearing","audioSeconds",2924,"startMs",555000,"endMs",3479000,"viewUrl","/Search/View?dp=1&key=5834398-b9c0e6bf8968c9429985c22feec17e49&start=555&end=3479","thumbnailUrl","https://assets.pipeline.soar.com/5834398-b9c0e6bf8968c9429985c22feec17e49/thumbnail_555000.jpg","articleUrl","/articles/5979661/Port-Orchard/Kitsap-County/Washington/Finance-committee-reviews-sewer-study-staffing-and-rate-options-ahead-of-public-hearing","mediaUrl","https://secure.pipeline.soar.com/5979661-f9b07b66dff3249cf26e3f66aa41e7ae/orig.mp4?Expires=1771187756&Signature=iEtREfE17X61X3oG7LIgPanNvsGlW3x3Wm7gQYiRFJJwDJNWrjPpJMCEmOi8mc9ekerv3ZfV~iW2DfOVJhCLuiwRdfZXrPzCHkpODHNy1-CwEkgYjsT82W0nn0fjR~pBRwe3XZqUIA7mNQDwpDqwz6IfBczsTt8wOa26oiwh7MDMTxOz3iwfz-SfxnHPPPGU9O553X4YuiQrI07pT6qShynF~D5Ka48qJpYLp0E9lKrVrrV37~TVngLJGxgNmZkkihSxtDLy4HMmVBcMJu2NvKy1JBM-lEsmR2eNzqKXFVEPYvO4aGkF~aQ9xNxesmZKb7yyhyjn2jmK8BHgis2pzg__&Key-Pair-Id=KUT5TJCACFTXG","author","City of Port Orchard, WA","date","2025-09-18T00:00:00Z","article","The Port Orchard finance committee on Sept. 16 reviewed the general sewer plan (GSP) and accompanying rate study and heard staff recommendations on a capital reserve target and additional operations staffing before a public hearing scheduled for the next week.

Public Works Director Dennis Ryan and Finance Director Noah Crocker told the committee that the consultants — Consort (general sewer plan) and FCS Group (rate study) — worked in parallel over the past two years. Crocker said the rate ordinance will be posted for public comment ahead of a council meeting planned Oct. 14, and that any adopted rate changes would be effective Jan. 1, 2026.

The two principal items discussed were a recommended capital reserve target for the sewer capital construction fund (Fund 433) and staffing identified in the GSP. The consultants recommended establishing a capital reserve equal to about 2% of original cost of fixed assets for Fund 433; staff estimated that target at roughly $1,200,000. Crocker told the committee that Fund 433 currently holds about $13,000,000 and described the recommendation as setting a minimum balance the city would avoid spending below when budgeting capital projects.

On staffing, Consort recommended two additional full‑time equivalents (FTEs) for sewer operations to improve preventive maintenance and reduce expensive emergency repairs. Ryan said those positions would be phased: one in 2026 and one in 2027. Crocker said FCS reran the rate table with those two positions included and that the addition increased the revenue requirement by roughly one percentage point — moving the proposed residential rate from about $1.51 (without the two FTEs) to about $1.53 per residential unit in 2026; the nonresidential proposal in the packet was about $2.37 per equivalent unit. Crocker also described equipment and operating costs associated with the FTEs: an estimated vehicle costing about $75,000 and a loaded salary/benefit cost of roughly $125,000 per FTE (spread over the multi‑year rate forecast).

Committee members raised questions on how a capital reserve would be funded and whether it would be replenished from capital facility charges (CFCs) or by transfers from operating funds. Crocker said Fund 433 is primarily sustained by capital facility charges and that the study did not assume raising those charges; a transfer from operating would be an option but was not part of the proposed rate change. Ryan explained that capital projects over time and development credits may interact with the city’s ability to maintain the reserve.

Council member John Morrissey proposed an alternative approach of setting a flatter, fixed residential rate (roughly $1.67) for multiple years so customers would have stability rather than smaller annual increases. Crocker said the packet already shows a six‑year forecast and that the council can choose a different phasing or a single multi‑year rate; staff will post the ordinance reflecting the direction the council gives so the public can comment at the hearing. Ryan and other council members emphasized infrastructure needs — including an identified pump station and other capacity upgrades — and that preventive investments reduce future costs. The consultants and public works staff will attend the public hearing and the council work‑study session to answer technical questions.

Direction from the finance committee: staff were asked to present the posted ordinance and six‑year rate forecast for public hearing next week and to provide clearer data on recent and projected sewer connections and additional detail about the staffing recommendation and the capital projects list. The meeting did not include a vote on rates; the public hearing will accept comment and no action is scheduled that night.","mediaType","Video","parentTitle","September 16, 2025, Finance Committee Meeting","oneSentenceSummary","City staff and consultants presented a general sewer plan and rate options Sept. 16. The plan recommends a capital reserve target for the sewer capital fund, two additional operations FTEs phased 2026–2027, and a public hearing on rates next week; council adoption is scheduled for Oct. 14, with rates slated to take effect Jan. 1, 2026 if adopted.","taxTitle","Port Orchard, Kitsap County, Washington","taxId",54315,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},5979666,"Port Orchard finance staff report sales tax decline but REET holding pace with budget",456,93000,549000,"/Search/View?dp=1&key=5834398-b9c0e6bf8968c9429985c22feec17e49&start=93&end=549","https://assets.pipeline.soar.com/5834398-b9c0e6bf8968c9429985c22feec17e49/thumbnail_93000.jpg","/articles/5979666/Port-Orchard/Kitsap-County/Washington/Port-Orchard-finance-staff-report-sales-tax-decline-but-REET-holding-pace-with-budget","https://secure.pipeline.soar.com/5979666-20131bc91964e8c63da6c17d5fc5c60b/orig.mp4?Expires=1771187756&Signature=WjMKlIkVLQAw026cL5tDdK5p6YUu~K8JQ-kdOTxbep-lRsiKz9Ay4oyzG5~W6v0klCXV3njxBmAWdbR2i-2oplQKybHXhlok1nBGDHOYvmBzD-l72GT0GTSbU3--FBZVC2Do~MJ-znjv7t8akjJzbL0OkjPtihlbRD33adf2sxdQkn1rlXivIurmiTx30ykH4C5MFAMDO79vCwEJoJYPeKEXg2npKD0t2FAFDTWKJMgRLCYpBLFb6y2cvTx1GG21PSFK9kUkhtkWSb-QvARwjGa5vrNvt8H7cwLJGFRQLg-k4SwZCkA1GhmMdNF0d6mANbARo8~BNb-jH47GnY8~ww__&Key-Pair-Id=KUT5TJCACFTXG","Finance Director Noah Crocker said Sept. 16 that city sales tax collections for August were about 4% lower than the same month a year earlier, though they remain roughly 7% above the city’s adopted budget. The Real Estate Excise Tax (REET) was stronger year‑to‑date compared with 2024 and is close to fulfilling the 2025 REET budget.

The council’s finance committee heard the revenue update at a regular meeting. Crocker, speaking to the committee chaired by Mark Trenary, said the city tracks sales tax and REET closely because together they materially affect the general fund and capital projects, respectively.

“No, we are still trending above budget, but that’ll continue to shrink as we close out the remainder four months of the year,” Crocker said, describing monthly declines in sales tax collections even though the city remains ahead of budget overall. He told the committee that REET collections were “about $90,000 short of revenue to meet our 2025 budget,” and that REET year‑over‑year collections were “roughly 23% more in revenue when we compare it to 2024 at the same time.”

Committee members asked about how other revenue streams are monitored. Crocker said staff tracks all revenue sources and that the mid‑biennial budget review underway will fold observed trends into 2026 budget planning. Council member Morrissey asked whether other revenue streams are dashboarded the same way; Crocker responded that sales tax and REET are the most impactful to the general fund and capital program and therefore receive particular focus.

The committee also reviewed the lodging tax (LTAC) fund. Crocker said LTAC (fund code 01/2007) shows a fund balance of about $590,000 and that year‑to‑date lodging tax receipts exceeded the budgeted amount: the city budgeted about $102,000 and had collected about $128,000 so far. Crocker said those stronger lodging tax receipts will feed into LTAC discussions and community event center planning.

The committee gave staff direction to continue monitoring revenues and to incorporate the observed sales tax and REET trends into the mid‑biennial budget review and next year’s budget development. No formal votes were taken at the meeting.","Finance Director Noah Crocker told the finance committee Sept. 16 that year‑over‑year sales tax receipts are down about 4% but remain roughly 7% above the adopted budget; Real Estate Excise Tax (REET) receipts have grown compared with 2024 and are close to meeting the 2025 budget.","actionData","errors"]

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Finance committee reviews sewer study, staffing and rate options ahead of public hearing

Port Orchard finance staff report sales tax decline but REET holding pace with budget