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Mount Rainier council holds first reading on $11.98 million FY2027 budget; tax rates unchanged
Summary
City Manager Kamali presented the FY2027 proposed budget April 7, totaling $11,976,492.82 and maintaining current tax rates; the council discussed reallocations (an employee moved to economic development), a $24,330 Gateway CDC grant, reductions to some line items, and the vacant‑property tax proposal.
City Manager Kamali presented the first reading April 7 of the fiscal year 2027 budget ordinance, which proposes total revenues and expenditures of $11,976,492.82 and would keep the city’s property tax rates unchanged.
Kamali told the mayor and council the package incorporates changes requested at the March 21 budget meeting, including adding a $24,330 Gateway CDC grant (for a community garden grant managed by Public Works), reallocating one employee’s wages and benefits from Public Works to Economic Development, increasing some association dues line items, and reducing other expenses such as the Mount Rainier Day allocation (reduced from $25,000 to $20,000).
Kamali also described the city’s capital plans—including an 80/20 grant to purchase electric trash trucks (the city’s 20% match would exceed $375,000) and adjustments to vacant‑building and roof‑demolition fee language in the code. "We were lucky to make it. And, as you see, all the changes for the different departments... we do have a balanced budget," Kamali said.
Councilmembers focused discussion on economic development capacity and the vacant‑property tax rate. Councilmember Danielle reiterated her long‑standing proposal to raise the vacant‑property tax from $2.50 to $5.00 per $100 assessed value to encourage filling storefronts; Joseph said he would support moving the rate to $5 but urged the council to review the underlying data so the change would not unbalance the budget.
Kamali clarified that the reallocated position that appeared in Public Works was moved administratively into Economic Development and is not currently a new opening; he said the line‑item changes keep the budget balanced for FY2027.
The council also heard public comments during the budget public hearing, including support for increased Gateway CDC funding and questions about staffing for economic development.
This was a first reading; no adoption vote occurred. Councilmembers asked staff to prepare additional detail for work‑session review on potential changes such as the vacant‑property tax proposal before any final vote.
