City of Wenatchee’s 2023 Budget Keeps Pace With Inflation and Capital Project Spending
Updated on Nov. 26, 2022 for corrections.
The City of Wenatchee recently accepted their $142 million 2023 Final Budget during the city council’s special meeting on Thursday.
This year, the city intentionally increased their expenditures after the city’s fund balance jumped to $19.5 million in 2021. As a result, the city spent approximately $58.6 million towards capital projects this year.
Some of the largest capital projects include $9.7 Waste Water Treatment Plant Digestor, $2 million for the City Pool Liner Replacement project, $4.5 million to reconstruct Columbia Street, and $3.1 million to reconstruct Springwater Avenue.
Budgeted items for 2023 include $3,690,000 towards the Confluence Parkway project and $7,108,260 for the Apple Capital Loop project, both coming from the INFRA grant.
The city will also funnel $482,630 towards renovating the Convention Center, along with issuing new bonds for this project.
Other notable changes to the city’s budget include an increase in employee salaries, a rise in tourism revenue, and a decrease in utility funds.
Due to inflation, the city increased employee wages 5%, along with a scheduled 3.5% to 4% increase for union employees, effective Jan. 1, 2023.
The Sewer utility fund began with 10 million but was later left with $3.2 million The storm drain utility fund began with $5.5 million and was left with $2.5 million towards the end of the year.
The Sewer Utility rates are set to increase by 6% each year to improve aging infrastructure.
The fund balance for the Tourism fund jumped from $150,450 in 2022 to $452,480 for 2023. This is because the city increased the Tourism Promotion Area (TPA) fees from $1 to $2 per night in 2020, and hotel/motel taxes started to bounce back from the pandemic.
The city estimates that property taxes will increase 2.5% per year, sales tax will increase 3.5% per year, and utility taxes will increase 3% per year.
They also believe expenses will increase 3.5% overall.
To check out more of the City of Wenatchee’s 2023 Budget, visit this link.