Clyde Hill residents are encouraged to attend the upcoming Financial Sustainability Task Force Meeting on Tuesday, March 25, 2025, from 4:00 to 6:00 PM. This meeting will focus on addressing the city’s budget challenges and exploring potential solutions to ensure long-term financial stability.
Key Discussion Points
Building on the March 6th Financial Sustainability Open House, the Task Force will review:
- Draft 2026 Budget & Operating Deficit – An assessment of Clyde Hill’s current financial standing and potential strategies to balance the budget.
- Revenue & Cost-Saving Proposals – Exploring ways to reduce the deficit while preserving essential services.
- Community Questions & Feedback – Addressing residents’ concerns regarding financial planning.
Clyde Hill’s Financial Challenges
A major concern for Clyde Hill is its relatively low municipal property tax revenue. The city generates only $1.3 million annually from property taxes, while residents contribute a similar amount—$1.1 million—to fund the King County Library System. If residents were willing to end support for the library, this amount could be used, with voter consent, to benefit the city directly.
Additionally, House Bill 1334 proposes raising the allowable annual increase in property tax collections that cities can charge from the current 1% cap to a maximum of 3%.
Another potential revenue source is the implementation of a stormwater utility, which could provide a stable $300,000 annual revenue stream to support infrastructure replacement and deficit reduction. However, for this plan to be effectively implemented, Councilmembers Dean Hachamovitch, Lisa Slivka, and Brad Andonian must refrain from creating unnecessary disruptions, allowing City staff to allocate their time and resources to this initiative effectively.
Budget Outlook & Political Disputes
Councilmembers Andonian and Hachamovitch have labeled the deficit an “existential threat,” with Hachamovitch, the longest tenured Councilmember, warning that Clyde Hill could run out of money within 3-4 years and would be forced to merge with Bellevue. However, the city’s projected deficit has been reduced and the reserve fund remains stable at over $3 million, a level consistent for the past 12 years. The city also holds total deposits of over a $11 million.
Misleading and exaggerated claims only serve to confuse and misinform residents. While long-term financial planning is necessary, the city’s current situation does not constitute an immediate crisis.
Political tensions have also emerged over who is responsible for Clyde Hill’s financial condition. Andonian, Hachamovitch, and Slivka have attempted to shift blame onto the City Administrator, suggesting mismanagement as a key factor in the budget shortfall. Critics argue that this rhetoric is part of a political power play, entangled with conflicts of interest, that is wasting resources instead of focusing on viable financial solutions.
The attempt to eliminate the City Administrator’s position, pushed by Andonian, Hachamovitch, and Slivka, was a targeted move that would not resolve Clyde Hill’s financial challenges. Inflation would erase any cost savings within a year. Despite their persistent efforts to scapegoat the City Administrator, the reality is that inflation, is the primary driver of the budget shortfall. The City Council ultimately holds responsibility for budget decisions, yet these councilmembers continue to divert attention from long-term, sustainable solutions while jeopardizing essential services, quality of life and property values.
The Path Forward
Addressing Clyde Hill’s budget shortfall requires strategic revenue adjustments and operational efficiencies, which could generate enough to have a surplus and stabilize city finances. The March 25th meeting provides an opportunity for residents to stay informed, ask questions, and discuss the city’s financial future.
Residents appreciate the dedication, time, and expertise of the Financial Sustainability Task Force volunteers and recognize their valuable contributions.
➡ View the full meeting agenda online and join the conversation!
For those looking to take an even more active role in shaping Clyde Hill’s future, City Council positions are open for filing starting May 5-9. Dean Hachamovitch, who secured his seat by just 54 votes and has been enveloped in controversy, is up for re-election. Lisa Slivka and Brad Andonian, both of whom were appointed rather than elected, will also be on the ballot in 2025. Clyde Hill needs strong, ethical leadership to move the city forward in a positive direction. Now is the time for engaged residents to step up and make a difference.