Chelan County passes preliminary 2027 budget

CHELAN COUNTY — The Board of County Commissioners passed a 2027 preliminary budget on Nov. 2, working with a gap of about $4.6 million between department requests and 2027 projected revenues.

Required by state law, the preliminary budget is a “point-in-time snapshot,” according to Chelan County administrator Cathy Mulhall, indicating where the board is at in the budgeting process.

During the Nov. 2 meeting, the board also approved a 1% increase to its property tax levy revenues, which is permitted by state law. Chelan County collects about $16.5 million in property taxes a year. The 1% increase will garner an additional $165,000 in 2027.

“People say it's optional, but it's technically not optional, because we otherwise can't keep up with inflation,” Mulhall told the board.

As of Nov. 2, the preliminary budget shows projected revenues of $62.89 million in 2027, while department budgets and requests operating out of the general fund total about $67.54 million.

Employee salaries and benefits are some of the largest increases in the 2027 budget. Salaries and benefits are up almost $3.8 million, or about 9% over 2026, according to the county. Mulhall noted that all requests for new positions were removed from the budget due to limited funding.

Commissioners Kevin Overbay and Shon Smith voted to approve the preliminary budget. Commissioner Brad Hawkins voted against it.

“I still feel like we need to be more aggressive at trimming expenditures, and we also need to be more willing to acknowledge that we need new revenues,” said Hawkins. “I think those two things are really going to help us close this.”

Hawkins listed a handful of ideas to close the gap, including shifting revenue and sharing certain costs with outside funds, such as the cost of the budget director and public information officer. To cut spending, he suggested holding off on filling vacant positions and new departmental requests, as well as reducing or eliminating Washington State University (WSU) Extension funding.

Hawkins suggested implementing a 0.1% sales and use tax for public safety and criminal justice purposes, authorized under RCW 82.14.345 (ESHB 2015), then asking voters to approve another 0.3% next year. The commissioner also proposed trimming expenses on the juvenile detention center, while increasing its revenue from contracts with Grant and Douglas counties.

“I think we need to be kind of honest with ourselves and honest with the community about all the public safety costs that are putting pressures on our budget,” said Hawkins.

The Juvenile Detention Center proposed about a $3 million gap between its expenditures and revenues, while the Regional Justice Center proposed about a $1.3 million difference. Law and justice also had larger requests, particularly with the Prosecuting Attorney’s office, which proposed $4 million in expenditures, while bringing in less than $1 million.

The Chelan County Sheriff’s Office budget proposal totaled nearly $20 million in expenditures while generating only about $5 million in revenue. During a Nov. 3 budget workshop, commissioners scrutinized the proposal for lacking detail, repeating line items, and excluding the department’s priorities.

“We should not have to beg, from any elected or any appointed, for an itemized list of the requests that they have to increase their budget over 2026,” said Overbay.

Both Overbay and Smith, who were present, agreed to not consider any requests above the 2026 amount without an itemized list of the requests, associated costs, and their prioritization, from the sheriff.

Commissioners are continuing to hold budget workshops throughout the month, working to close the $4.6 million gap before a final budget is proposed in December. The public will have an opportunity to comment on the final proposed budget during a hearing at 10 a.m. Dec. 7.

The 2027 preliminary budget can be found on Chelan County’s website.

Taylor Caldwell: 509-433-7276 or taylor@ward.media