Whether Skyway gets a chance to annex to Renton could depend on Mayor Denis Law’s success this week in convincing the county to provide millions of dollars for transition costs.
Renton is negotiating with the county for about $2.5 million in one-time start-up costs such as new police cars and about $3.4 million over two years to bridge a financial gap to provide services to Skyway.
Without that county support, Law said he can’t recommend to the City Council on Monday that it place the annexation of the West Hill/Skyway area on the ballot in early 2012.
“We are sincere in our desire to figure out a way to make this happen,” Law said Tuesday. “The county could make this happen.”
The City Council is expected to consider Law’s recommendation at a Committee of the Whole meeting Monday. Law said he can continue talking with the county right up to that meeting.
It’s the county’s responsibility to provide for the quality of life of Skyway residents, he said. If the county can’t, he said, then it should help another jurisdiction provide those services.
The $1.7 million yearly budget gap is significantly less than earlier projections because of successful efforts to find new revenue sources through partnerships and to reduce expenses to provide services.
There are millions of dollars in other costs to serve West Hill/Skyway as well, including capital costs and stormwater control.
The City Council has until Aug. 12 to decide whether to place the West Hill annexation on the ballot. That meets a deadline to act within a month after action by the Washington state Boundary Review Board for King County.
The boundary review board voted 6-0, with three abstentions, on July 8 to approve the annexation. The board bases its decisions on criteria outlined in state law, including the ability to provide municipal services.
The council could delay action on an administrative recommendation until Aug. 9 and still meet the deadline.
The council was briefed at a recent meeting on a fiscal analysis of the West Hill annexation and the Fairwood annexation, which is on the Nov. 2 general election ballot.
Fairwood and West Hill are City of Renton potential annexation areas. Each also is eligible for a one-tenth of a percent credit against the state sales tax that would raise millions of dollars over 10 years. Those millions are critical to the city’s ability to pay for services in Fairwood and West Hill, according to officials.
City officials suggested at the council’s Committee of the Whole meeting July 19 that Law could recommend against annexation, if a sustainable source of revenue isn’t found to provide services and facilities and make capital improvements.
Council members discussed their views on placing the annexation to a vote. Council President Don Persson raised perhaps the strongest objections, because of the financial impact annexation could have on current residents.
The council has a policy that it won’t recommend annexation if revenues won’t cover the cost of providing services, possibly resulting in the loss of services to existing residents.
After the discussion, Persson indicated the council seemed to lean – 6 to 1 – toward placing the annexation on the ballot.
Council members pointed out Skyway has potential for economic redevelopment, which would boost the sales tax revenue in the area. Also, this issue has been before the council for years and now perhaps is the best time to move forward because of the state sales tax credit.
Law in an interview and council members at the meeting pointed out there are strong connections between Skyway and Renton. Skyway residents shop in Renton and much of the West Hill area is served by the Renton School District.
The City of Renton has a vision about how Skyway “could be a wonderful place,” Law said. What the community needs “is an infusion of local governance,” he said.
If the council opts not to place Skyway annexation on the ballot, it could be years before voters get another chance. And it’s likely the city wouldn’t have the sales-tax credit to help pay for services.
