spot_imgspot_img

Spokane County projects 1% sales tax growth for 2025, failing to reach 2024 goal

(The Center Square) – Spokane County held its first roundtable on Tuesday regarding the 2025 preliminary budget, delving into revenue projections for next year amid shortfalls that might raise some eyebrows.

Randy Bischoff, senior director of Finance & Administration, ran the county commissioners and those in attendance through the process. Based on the data presented, the projections appeared relatively stagnant, leaving the commissioners looking for options amid rising costs.

Tuesday’s meeting focused on the general fund, which the county uses for general operations, including public safety and governmental services. Bischoff projected the general fund revenues to top out at $259.3 million, about 2.4% less than budgeted for 2024.

Bischoff said sales tax is the biggest source of revenue for the general fund, accounting for $79.3 million, or 30.5%, of the projected total. That amount is roughly the same as budgeted for 2024, despite sales tax revenue averaging a 4% growth rate from 2000 to 2023.

“The current trend is very similar to the early 2000s, where it starts shallow and just shallowly went down,” Bischoff said, “which is why you know economists are talking about we’re not going to hit a recession, we’re just going to have a soft landing.”

He said sales tax growth will get close to 0%, like now, and then start to rebound. As of last month, sales tax revenue was at a 0.1% growth rate when compared to 2023; now, it’s at 0.6%, with the county estimating a 1% growth for next year, half of the 2% budgeted for 2024.

Property tax receipts, however, are on the rise, just barely. Bischoff projections show it at $61.7 million for 2025, or 23.7% of the projected total.

Bischoff said new construction boosted property tax revenue by around $1 million compared to what the county budgeted for 2024. A significant portion of that will go back toward infrastructure in the area where it was generated, so he opted for a projected increase of $700,000 instead.

Notably, the increase in revenue comes without raising property taxes by the 1% allowed by law. The county could levy up to a maximum of $1.80 per $1,000 of assessed property value. Still, it currently levies at a rate of roughly 70 cents, which doesn’t include other property taxes, such as those from local school districts.

The commissioners will have another meeting on Nov. 18 about potentially raising that rate.

Charges for services, such as contracting animal control, solid waste services and the Sheriff’s Office, make up the third biggest chunk of general fund revenues. Bischoff said this stream will increase to approximately $75.8 million next year, about $2 million more than in 2024.

Bischoff attributed most of that increase to the Sheriff’s Office and Detention Services. Several surrounding municipalities rely on the county for law enforcement and correctional facilities, paying them for the services.

Other income streams, including licenses, fines, penalties and more, account for $41.5 million, or 16% of the projected general fund revenues. Bischoff said this is roughly $1.1 million more than budgeted for 2024.

The next public roundtable on the budget will occur on Oct. 15 regarding general fund expenditures.

DON’T MISS OUT

Be the first to know about the latest news, giveaways, events, and updates from The Black Chronicle!

We don’t spam! Read our privacy policy for more info.

spot_imgspot_img
spot_img

Hot this week

African and Caribbean Nations Call for Reparations for Slave Trade, Propose Global Fund

Nations across Africa and the Caribbean, deeply impacted by...

Health care company agrees to pay $22.5 million to settle claims of over billing

A health care company agreed to pay nearly $22.5...

Sports betting expert offers advice on paying taxes for gambling winnings

(The Center Square) – Tax season is underway, and...

Entertainment district benefits don’t outweigh the cost, economists say

(The Center Square) — Weeks later, after more details...

Business association ‘disappointed’ by WA L&I’s proposed workers comp rate hike

(The Center Square) – The Association of Washington Business...

Wisconsin DOJ investigating Wausau drop box removal by mayor

(The Center Square) – The Wisconsin Department of Justice’s...

Spokane County Sheriff’s Office proposes amendment to crack down on homelessness

(The Center Square) – The Spokane County Sheriff’s Office...

Virginia sees wins with biopharmaceutical industry

(The Center Square) — Virginia-based pharmaceutical manufacturing company Afton...

A lot of polls, not a lot of change in Harris v. Trump

(The Center Square) – Four days later and with...

Trump rises in Virginia poll as election nears, still lags Harris

(The Center Square) — Former President Donald Trump has...

Next president must address U.S. debt, Moody’s warns

A credit rating agency's report on the upcoming presidential...

More like this
Related

Wisconsin DOJ investigating Wausau drop box removal by mayor

(The Center Square) – The Wisconsin Department of Justice’s...

Spokane County Sheriff’s Office proposes amendment to crack down on homelessness

(The Center Square) – The Spokane County Sheriff’s Office...

Virginia sees wins with biopharmaceutical industry

(The Center Square) — Virginia-based pharmaceutical manufacturing company Afton...

A lot of polls, not a lot of change in Harris v. Trump

(The Center Square) – Four days later and with...