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City manager orders discretionary spending freeze, hiring and travel limits as budget signals weaken
Summary
City Manager Jay Berney told the Olympia City Council he has implemented a discretionary spending freeze effective June 1, restricted out‑of‑state travel and imposed a soft hiring freeze pending midyear budget review and sales‑tax tracking.
City Manager Jay Berney told the Olympia City Council on the evening of the meeting that he has implemented a discretionary spending freeze effective June 1 to reduce near‑term budget pressure. The freeze exempts necessary safety purchases, protective equipment and funds required to advance the city’s stated priority work; it also limits out‑of‑state travel unless required for certification and imposes a "soft" hiring freeze that requires his approval before a hiring offer is made.
Berney said the measures are intended to be responsible and temporary. “I believe this is a responsible decision at this moment in time,” he said, and added he will continue to monitor the city’s budget and sales‑tax receipts and adjust the direction if indicators improve. He told council that the issue will be revisited during the council’s midyear retreat and as staff prepares the 2026 budget.
The mayor and council acknowledged the step as indicative of current municipal budget pressures and thanked Berney and department directors for their work. No formal council action was required or recorded; Berney presented the management direction as an executive staffing and budgetary directive for city departments.
City Manager direction vs. council action: The announcement was presented as an administrative direction from the city manager to department directors, not as an ordinance or resolution sent to the council for a vote. Council members asked clarifying questions about timing and follow up; the city manager said staff would return with more detail as the midyear budget conversation proceeds.
Context and next steps: Berney said departments already had been engaged in planning the measure and that he would continue to track sales tax and other budget indicators. The council’s midyear retreat on June 13 was cited as the next occasion for a broader conversation about the budget and possible adjustments to the freeze.
Ending: The manager’s direction takes immediate effect for departmental operations and will be part of the midyear budget conversation; councilmembers expressed support for a cautious approach while asking staff to return with updated budget information for council consideration.
