Cowlitz County staff recommend cutting finance director post as part of budget trimming; landfill lease remains major revenue

Kathy Funk Baxter, Cowlitz County finance director, told the Board during a budget workshop that she plans to retire in December and that county staff will recommend eliminating the finance director position, a reduction of 1 full-time equivalent in the finance department.

Baxter said the county could “maintain status quo, with 2 FTEs, which is a finance manager and our finance analyst,” and estimated that personnel changes tied to her planned retirement would reduce the finance department budget by about $130,000; after modest cuts to supplies and services, she said the total department reduction would be about $138,000. Baxter also said travel-related lines were the largest nonpersonnel reductions.

The recommendation to remove the finance director position came as part of a wider review of county-held funds. Baxter told the Board that nondepartmental revenues include a $7,500,000-per-year lease payment from the county landfill, an interfund transfer to cover morgue debt service of about $300,000, and roughly $350,000 a year from franchise fees and royalties tied to cable. She said last year’s higher totals reflected a one-time payment reimbursement from risk management and that staff were able to reduce the nondepartmental budget by roughly $24,000 after reviewing historical trends.

A public works staff member who spoke during the workshop urged caution about eliminating the finance director post, saying the role provides “de facto leadership” and practical, nonpolitical support across departments. The staff member cited recent examples where the finance director’s office helped secure funding or accounting guidance for county projects — including River Suites, Legacy Park and a Hall of Justice HVAC project — and said losing that capacity could slow or imperil similar projects. “I think we'll have a short term gain, maybe saving a 150,000 a year, but I'm wondering what we'll lose, countywide if we don't have that position,” the staff member said.

Baxter also reviewed smaller funds the county manages outside the general fund, noting the rural public facilities fund typically has about $2.8 million to $3.0 million available each year and that affordable-housing revenue from document-recording fees is “a very small amount.” She noted some departments have one-time or dedicated revenue streams and that nondepartmental transfers remain the primary source for debt service.

No formal vote was taken at the workshop. The recommendation to reduce 1 FTE was presented as a budget proposal for later consideration; county commissioners did not adopt a final decision during the session.

The county and departments will continue to refine budget lines before formal adoption. Staff said they would bring more detailed recommendations and any proposed ordinance or personnel actions to a future meeting for action or vote.