CITY OF SEATTLE

ORDINANCE __________________

COUNCIL BILL __________________

AN ORDINANCE amending Ordinance 126955, which adopted the 2024 Budget, including the 2024-2029 Capital Improvement Program (CIP); changing appropriations to various departments and budget control levels, and from various funds in the Budget; and ratifying and confirming certain prior acts; all by a 3/4 vote of the City Council.

WHEREAS, on December 12, 2023, the City Council passed Ordinance 126974, authorizing the execution of a collective bargaining agreement between The City and the International Association of Fire Fighters, Local 27; and

WHEREAS, on April 2, 2024, the City Council passed Ordinance 127004, authorizing the execution of a collective bargaining agreement between The City and the Washington State Council of County and City Employees, American Federation of State, County and Municipal Employees, Local 21SP; and

WHEREAS, on April 2, 2024, the City Council passed Ordinance 127005, authorizing the execution of collective bargaining agreements between The City and certain City unions in the Coalition of City Unions; and

WHEREAS, on April 2, 2024, the City Council passed Ordinance 127006, extending annual wage increases to non-represented City employees; and

WHEREAS, on May 14, 2024, the City Council passed Ordinance 127023, authorizing the execution of a collective bargaining agreement between The City and the Washington State Council of County and City Employees, American Federation of State, County and Municipal Employees; and

WHEREAS, on June 18, 2024, the City Council passed Ordinance 127042, authorizing the execution of a collective bargaining agreement between The City of Seattle and the International Brotherhood of Electrical Workers Local No. 77 Construction Maintenance Equipment Operator Unit; and

WHEREAS, on June 18, 2024, the City Council passed Ordinance 127043, authorizing the execution of a collective bargaining agreement between The City of Seattle and the International Brotherhood of Electrical Workers Local Union No. 77 Information Technology Professionals’ Unit; and

WHEREAS, on June 25, 2024, the City Council passed Ordinance 127047, authorizing the execution of collective bargaining agreements between The City of Seattle and the International Brotherhood of Electrical Workers Local 77; and

WHEREAS, now that these agreements have been executed, City departments require additional funds in 2024 to pay for increased labor costs; and

WHEREAS, on August 13, 2024, the City Council passed Ordinance 127068, providing appropriations through June 30, 2024 related to contracts passed on or before May 14; and

WHEREAS, additional appropriations are needed to avoid exception related to these agreements in 2024; and

WHEREAS, on August 21, 2024, the joint labor-management City Healthcare Committee, in accordance with its governing Memorandum of Agreement, approved the use of $15 million in excess fund balance from the Rate Stabilization Fund in the Health Care Fund (10112) to help meet the costs associated with the bargained wage increases; and

WHEREAS, the City proposes to use an additional $38 million in non-Rate Stabilization Fund Health Care Fund balances to further help meet the one-time costs associated with the bargained wage increases and to reduce the Health Care Fund’s balances to more appropriate operating levels above required reserves; and

WHEREAS, excess Health Care Fund collections are returned to City departments and funds in the form of a “healthcare holiday,” reducing monthly department contributions to the Fund; and

WHEREAS, a healthcare holiday generates excess appropriations in budget control levels that are not directly aligned with salary spending; NOW, THEREFORE,

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. The appropriations for the following items in the 2024 Adopted Budget are reduced from the funds shown below:

Section 2. In order to pay for necessary costs and expenses in 2024, but for which insufficient appropriations were made due to causes that could not reasonably have been foreseen at the time of the making of the 2024 Budget, appropriations for the following items in the 2024 Budget are increased from the funds shown, as follows:

Section 3. Appropriations in the 2024 Adopted Budget and project allocations in the 2024-2029 Adopted Capital Improvement Program are reduced as follows:

Section 4. To pay for necessary capital costs and expenses incurred or to be incurred, but for which insufficient appropriations were made due to causes that could not reasonably have been foreseen at the time the 2024 Budget was adopted, appropriations in the 2024 Adopted Budget and project allocations in the 2024-2029 Adopted Capital Improvement Program are increased as follows:

Allocation modifications for Seattle City Light in this section shall operate for the purposes of increasing or decreasing the base for the limit imposed by subsection 4(c) of Ordinance 126955.

Section 5. This ordinance shall take effect as provided by Seattle Municipal Code Sections 1.04.020 and 1.04.070.

Passed by a 3/4 vote of all the members of the City Council the ________ day of _________________________, 2024, and signed by me in open session in authentication of its passage this ________ day of _________________________, 2024.

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President ____________ of the City Council

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Bruce A. Harrell, Mayor

Filed by me this ________ day of _________________________, 2024.

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Scheereen Dedman, City Clerk

(Seal)