Money

The Seattle City Council passed a measure this week aimed at cutting the city's budget in the face of declining revenues and outlined a plan for economic recovery for the city that also provides some relief for small business owners and individuals faced with losing their homes and jobs.

A resolution that officially acknowledges the city's need to make mid-year budget cuts, utilize up to $5 million in city rainy day funds to balance the 2010 budget and identify potential cost savings to be considered by Mayor Greg Nickels during the preparation of the 2010 proposed budget was passed unanimously May 11.

With its passage, the bill calls out public safety and human services and housing as the city's highest funding priorities, but also re-affirms the council's six budget goals that were pre-established for the 2009 budget. Along with the aforementioned, others include transportation, pedestrian safety, environmental stewardship and neighborhood planning.

Acting on recommendations from a result of a series of public meetings with citizens, business owners, community leaders, and experts on the economy, the Seattle City Council approved a resolution designed to ease the effects of the recession on residents and businesses, and to help promote the city’s economic recovery.

Introduced by the council’s Committee of the Whole on Economic Recovery May 11, the resolution outlines a range of strategies to provide relief to small businesses, support individuals affected by the economic recession, set priorities for city services, and achieve operational efficiencies.  

The resolution also calls for refining the mission of the city’s Office of Economic Development to improve Seattle’s overall business climate, reviewing the city’s taxes, fees and utility rates, and investing available resources in actions that will aid recovery.

Dear Editor.

Many of us have seen the value of our house purchases recently decline due to the economy.

I was wondering who else might consider re-zoning the first lots along Southwest Roxbury to a town home type zone. This would allow approximately three town home lots per each single-family lot facing Southwest Roxbury Street. Allowing town homes along this street would also buffer the noise to the single-family homes in the lots behind Southwest Roxbury Street.

I am currently own a home on the 32nd block of Southwest Roxbury Street only to see the noise increase and the speeds of the vehicles increase. Either the street needs better vehicle management or density should be allowed to increase as well. Southwest 35th is a similar situation and town homes have been built along this street in some areas with no detriment to the neighborhood.

I am sending this e-mail to find out other people’s comments in the neighborhood on increasing the zoning density here on Southwest Roxbury Street from 35th down to 17th.

Mayor Greg Nickels has finalized his plans to cut about $13.3 million from the city’s 2009 general fund budget, while preserving funding for public safety and direct human services, according to a press release from his office.

“These are difficult decisions, but these cuts are prudent and we are able to make them while maintaining our core services for public safety and for people in need,” Nickels said.

After consulting with the Seattle City Council and getting feedback from an April 22 public hearing, the mayor restored a position assigned to the Emergency Operations Center. This position will continue to help community groups prepare for disasters.

Departments will begin implementing cuts this month, according to the mayor's office. In anticipation of the 2010 budget deliberations, Nickels will continue looking for additional savings in the months ahead.

Nickels is proposing to tap up to $5 million in reserve funds this year, leaving more than $25 million available to help balance the budget in 2010.

In an uncertain economy, it’s natural for people to “tighten their belts” by cutting down on their spending. And yet by having too much cash on hand today, you could actually slow your progress toward your financial goals of tomorrow.

Before we get to the possible pitfalls of hoarding cash, let’s consider your fellow Americans’ recent savings habits:

How much? In the last quarter of 2008, the personal savings rate was 2.9 percent, the highest level since the third quarter of 2001, according to the U.S. Department of Commerce.

Where? People are putting their money in what they consider safe vehicles. At the end of 2008, the ratio of money market fund assets and bank savings deposits to stocks — as measured by the Wilshire 5000 Index, one of the broadest market indices — was 95.4 percent, according to Ned Davis Research. (Keep in mind that the Wilshire 5000 index is unmanaged and not available for direct investment.)

The Body Bar Day Spa in West Seattle will be celebrating its one-year anniversary on Saturday, May 2, from 4 to 8 p.m.

Ingraham High School’s Drum Line will kick-off the festivities by marching from the Alaska Junction North four blocks to the Body Bar’s location. Following this performance, The Body Bar’s fleet of seven massage therapists will be performing complimentary chair massage on the sidewalk.

Inside the spa, estheticians will be busy waxing eyebrows and applying makeup. The first 40 guests through the door will receive a $25 Body Bar gift card.

Food and libation will be provided by some of West Seattle’s most renowned restaurants including: West 5, Talarico’s, Seattle Fish Company, The Sugar Rush Baking Company, Hotwire coffee and Silver City Brewing Company. Music will be performed by local artists, Henta and Marias.

(Editor's note: The following article appears originally in Seattle City Council member Tim Burgess' newsletter "City View.")

Stopping Youth Violence

Last week I sat down with four young people in a medical school classroom at the University of Washington for a discussion about youth violence, a pressing and continuing challenge in our city.  Just before our meeting, the room had been used for a class on cardiology, apropos for a discussion about the heartbreaking reality of street violence involving our children.

Each of the young “reporters”—three men and one woman—described their own histories with violence. Listening for about 90 minutes to these good people was extremely informative. They chose to be vulnerable and their comments were raw, tragic, and piercing; I’d like to share a few of the more poignant comments from my notes.  I’ve blended statements from all four of the youth to provide a sense of the breadth and impact of their personal experiences.

Mayor Greg Nickels had laid out his plans to cut $13.3 million from the city’s 2009 general fund budget, while preserving funding for public safety and direct human services.

“As we make difficult budget decisions, my priority is maintaining our core services for public safety and people in need,” said Nickels in a statement released Friday, April 17. “These budget actions will keep our city in a solid financial position to deal with the ongoing national recession.”

With declining revenue from sales taxes and business and occupation taxes, the latest forecast projects $29.5 million less in revenue in the city’s general fund for 2009, compared to last year’s estimate.

Anticipating revenues would be lower because of the national economic recession, the mayor instituted a series of cost-cutting measures in the fourth quarter of 2008. Even though final revenues were $13 million less than expected for the year, the city finished 2008 with a positive balance of $19 million. That is carried over to offset lower revenues this year.

On April 25, merchants in the West Seattle Junction will offer their customers some financial relief by offering special promotions and discounts and charging no sales tax.

Coupons for April 25 are available to download at the West Seattle Junction Association's Web site. Special offers include: Buy one get one free tickets at ArtsWest, 1/3 off any full priced item at Capers, $1 off any loaf of bread from Great Harvest Bread Company, free coffee at Red Cup Espresso if you bring your own cup and much more.

The event was designed to stimulate West Seattle's local retail economy, the West Seattle Junction Association claims it has no affiliation to the political Tea Party protests on April 15.

Ballard Care and Rehabilitation Nursing Home is taking action after a proposed state budget cut recently announced in Olympia could mean a drop of as much as $800,000 for Ballard Care alone.

The nursing home is proposing to the legislature an adoption of a quality maintenance fee that would then be matched by federal funds and can be returned to skilled nursing facilities in the form of an add-on to their current rates.

State lawmakers have proposed more than $90 million in Medicaid nursing home cuts over already reduced reimbursement levels across Washington state.

“The nursing facilities are lagging far behind the current rate of inflation, “ said Angie Davis, administrator of Ballard Care and Rehabilitation Center. “We suffer regularly from high cost of food, medical supplies, insurance for caregivers, liability insurance and utilities.”

Davis said they have suffered a 3.2 percent decrease in their Medicaid rates since April 1, which accounted for $19 a day for Medicaid residents in Ballard Care and Rehabilitation alone.

They are facing another 5 to 6 percent decrease in Medicaid rates in addition to that starting July 1.