Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the City Finance topic
No spam. Unsubscribe anytime.
Sequim Q2 financials: revenues are 'lackluster'; general fund overhead near $360,000 under budget
Summary
Finance staff reported mixed Q2 results: weaker-than-expected revenues, a roughly $360,000 overhead pressure on the general fund, and a possible $230,000 increase in criminal justice services costs tied to County negotiations; several funds are now within policy limits.
Sue Hegner presented the city’s Q2 2026 financial report and described revenues through the first six months as "lackluster." She explained that operational changes in overhead allocations (for example, a public works mechanic’s costs now being allocated differently) contributed to a roughly $360,000 pressure on the general fund. Sue said that despite the revenue softness, the general fund, streets, water and sewer operations funds are now within policy minima after staff adjustments.
Hegner also warned that ongoing negotiations with Clallam County over criminal justice services could increase city costs by about $230,000 beyond what was budgeted this year, and that the YMCA municipal-funding expenditure was posted to the rainy day fund earlier this year and might require a budget amendment. She told council staff will continue monitoring revenues and expenditures and will bring any needed budget amendments later in the year.
