Each year the City Administrator and Mayor
present a balanced budget for the City Council's consideration, discussion and
adoption. The annual Budget serves a number of essential functions. In
addition to being more than a "checkbook," where revenues and expenditures are
posted, the Budget serves as the City's implementing document for its financial
Hill's budget process is developed as part of an overall "Business Plan." The
Business Plan document depicts the elements of the City's plan: Target
Issues are reflected in a one year Operating Budget; a six year Capital
Improvements Budget is developed to address the City's major equipment and
infrastructure needs as well as other special projects; Future Projections of
the City's finances are developed to help define a range of future
expectations that can assist in the development of both short and longer-term
Financial Strategies and Financial Policies.
Although the City
has made great strides in developing a total business plan, continued work is
always necessary to keep items current and to plan based on the ever-changing
conditions of the external and internal environment. In August the City
Council is presented with a set of economic, financial and demographic
indicators that help to describe various financial trends impacting the
City. The Council annually reviews and has revised a set of Financial Policy
Statements to help guide the staff in areas pertaining to fund balances, how
to classify interest income and how to keep the City’s finances healthy.
These policy statements are reviewed every year to make sure they represent
the current thinking of the Mayor and the Council.
Click here to
download a copy of the City's 2015
Budget Book that includes a wealth of financial information about the
City. Clyde Hill is one of the smallest cities in the nation to receive the
Distinguished Budget Presentation award from the Governmental Finance Officers
Association for this budget book. The City has achieved this award since
2005. The City's Budget
Calendar describes the elements of the budget development, the meetings and
the dates for meetings and information.
Based on previous discussions regarding
the impacts of state initiatives on the City’s finances and operations, the
Council considered the establishment of a Budget Advisory Committee of
community members to help review the City’s financial challenges and
participate in the budget development process. Starting in 2000, and so far
every year thereafter, the Budget Advisory Committee accomplished these goals
through the efforts of 4 to 12 community members who participated in the
meetings and the development of the budget.
participation in the meetings and understanding of the information prepared,
the Budget Advisory Committee provided input into some of the difficult
choices of the process, challenged some of the assumptions and kept all on
their toes. The observations, comments, questions and ideas of the Committee
greatly add to the development of the budget, modification to fee schedules
and an understanding of the City’s overall financial situation.
Click here to see a history of all the participants in the Budget
Advisory Committe History
A set of Financial Policy Statements establishes
the guiding principles for the longer-term fiscal stability of the City. The
Financial Strategy is the City’s action plan that acts as a confirmation of
the shorter-term policies and considerations. These strategies guide
the budget process and include other activities to help the City’s
longer-term financial health. The combined documents make up the City’s
annual Financial Plan.
Previously reviewed by the Council and the
Budget Advisory Committee are the City’s Financial Policy Statements. The
City’s overriding financial guidelines can be found within these Policies.
These policies were first developed in the early 1990’s and have been slightly
modified over the years to reflect changing longer-term sentiment. The
financial policy statements are designed to establish guiding principles for
the long-term fiscal stability of the City.
The City’s Financial
Strategy works to confirm the shorter-term policies and considerations that
make up the current budget year and also includes other financial activities
that help the City’s longer-term financial health. In the fall the Council
and Budget Advisory Committee reviews a draft and a preliminary budget,
along with other financial information in order to decide on a Final Budget.
The philosophies adopted at these meetings helped to comprise the short-term
element of the City’s financial plan.