The SeaTac City Council approved a 2012 general fund budget Nov. 22 that includes $480,000 more in expenditures than revenues.

Taking money out of the reserve fund will make up the difference. The city will still have three months operating expenses left in the reserves.

General operating fund expenditures will be $30.3 million with expected revenues of $29.8 million.

Expenditures for all funds are projected to be $55 million and revenues are estimated at $50 million.

That will dip the total reserve funds in all accounts from $50 million to $45 million.

“While it is most desirable to plan expenditures that do not exceed current anticipated revenues, it has become commonplace in recent years for Washington cities to supplement dwindling General Fund revenues with fund balance, in order to maintain services at levels which the citizens desire, deserve and expect,” City Manager Todd Cutts wrote in a budget message.

While the city laid off some employees this year, there are no plans to reduce the workforce in 2012.

SeaTac will move all its prisoners to the new regional jail in Des Moines, which is expected to save several hundred thousand dollars per year, according to Cutts.

Deputy Mayor Gene Fisher, Councilman Rick Forschler and Councilwoman Pam Fernald argued that the city should not use reserve funds to balance the budget.

They felt revenues should match expenditures.

Council members Ralph Shape, Tony Anderson and Mia Gregerson argued that alternatives should have been offered during the numerous budget workshops.

“This is a big issue with me,” Forschler declared. "Our reserves should be greater than three months operating expenses. The reserves should be for emergencies.”

Agreeing with Forschler, Fisher noted, “We need to live within our means.”

Tony Anderson said council members had gone through the budget line-by-line in the workshops and taken votes.

“You should have said cut this or cut that a couple of months ago when we could have done something about it,” Anderson declared.

City Manager Cutts said at a council retreat in June he asked specifically if the goal for the budget should be to retain three months of reserves or balance revenues and expenditures. The vote was 5-1 for three-month reserves with Forschler voting no. Fisher was absent.

“The council was clear on the framework,” Cutts added.

Fernald said that while she personally is opposed to balancing the budget with reserves, she would stick to her June agreement.

Mayor Terry Anderson, Shape, Tony Anderson, Gregerson and Fernald voted for the budget while Fisher and Forschler voted against it.

The council also voted not to include the allowable 1 percent increase in the 2012 property tax levy.

Mayor Anderson, Forschler, Fisher and Fernald voted to not take the increase while Shape, Tony Anderson and Gregerson voted in favor.

The fallout from a particularly bitter Nov. 8 city election continued in remarks delivered at the meeting.

Resident Earl Gipson, who has spearheaded two elected-mayor proposition campaigns, said he will not reintroduce it in the future.

He recalled the proposition lost by 9 votes in 2009 when King County Elections did not count some disputed ballots that Gipson said would have reversed the outcome.

In this year’s election, $147,000-- more than seven times any previous SeaTac election—went overwhelmingly to council candidates opposing the elected mayor proposition, Gipson said.

The proposition lost by about 6 percentage points.

He also complained that he was unable to schedule a debate on the proposition during either election.

“Somebody bought an election,” Gipson declared. “I am tired after four years.

“The citizens have been sold a bill of goods.”

Long-time Councilman Fisher, who was soundly defeated in his re-election bid, echoed Gipson’s comments.

“I want to thank Earl for his tenaciousness,” Fisher said.

Fisher noted the state Public Disclosure Commission has asked for more information before investigating Gipson’s complaint against Councilwoman Mia Gregerson and SeaTac Human Services manager Colleen Brandt-Schulter alleging a pattern of illegal behavior.

Fisher suggested Gipson pursue the complaint in a civil court.

Emails made public during this year’s election revealed that Gregerson and Brandt-Schulter exchanged emails on city equipment two years ago making disparaging comments about other council members and city residents.

The emails also revealed that Brandt-Schulter gave Gregerson contact information for nonprofits that receive city human services funding. An anti-proposition meeting was later held at the Lutheran Services building during the 2009 election.