November 24, 2003

Municipal League Releases

Report on King County’s Fiscal Crisis

The Municipal League of King County released today a report that concluded that King County’s fiscal crisis cannot be addressed adequately without a major change in the County’s responsibilities and focus.  The report, called Shortchanged:  King County’s Fiscal Crisis, notes that in spite of deep budget cuts in recent years, there are insufficient revenues available to fund King County’s General Fund.  For example, over $50 million in cuts to the General Fund budget (approximately 10% of that budget) have been required to balance the 2003 County budget.  Additional cuts of $20–$25 million are anticipated for each of the next three years. 

“King County is squeezed by the 1% limitation on property tax growth, the increasing rate of annexations and incorporations, increased justice system and labor costs, and state and federal mandates,” noted David Tarshes, who co-chaired the study committee.  Committee co-chair Rita Brogan noted that, “in addition to providing county-wide services, King County also provides local services to unincorporated King County. In 2003 about $42 million of the money spent to provide local government services was supplied by revenues generated by the County in its county-wide government role.”

Last week, the Municipal League Board of Directors approved the report of the King County Study Committee, which included the following recommendations:

1. King County should divest itself of its role as a local service provider–in order to fulfill its role as provider of county services.

2. All land within the urban growth boundary should be incorporated or annexed to the city or cities within each area’s sphere of influence though a collaboration between King County, existing cities and citizens.  Rural unincorporated communities should be organized into townships or other entities for the purpose of local service delivery, to include local land use decision-making consistent with the Countywide Planning Policies and the Growth Management Act. King County should be more aggressive in encouraging and enabling unincorporated residents to find alternatives to King County for local service provision.

3. King County, along with the other members of the Washington State Association of Counties, should continue to seek, and the Legislature should authorize, additional revenue sources to fund equitably county services.

4. As additional revenue opportunities are explored, the County must also continue to cut costs.

The King County Study Committee, co-chaired by attorney David Tarshes of Davis Wright Tremaine and CEO of PRR, Inc. Rita Brogan, worked with a group of citizens over the last year to develop the study’s findings and recommendations.  The Municipal League of King County regularly sponsors studies on the critical public policy issues of the day, including recent reports on Seattle City Light and on the initiative process. 

A full copy of the Municipal League’s new report, Shortchanged:  King County’s Fiscal Crisis, can be found on the website of the Municipal League of King County, http://www.munileague.org/.

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Municipal League of King County
810 Third Avenue, Suite 224
Seattle, WA 98104
Phone: 206-622-8333
Fax: 425-671-0506
E-mail: muni@munileague.org