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Whatcom County Council Finance and Administrative Services Committee

WHA-CON-FAS-2026-03-24 March 24, 2026 Budget & Finance Committee Whatcom County 8 min
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The Whatcom County Council Finance and Administrative Services Committee advanced 19 items worth approximately $7.8 million in new spending and contract amendments, while engaging in significant debate over a proposed criminal justice sales tax that could generate $7 million annually. The meeting was dominated by two major themes: ongoing implementation of the Healthy Children's Fund through various contract renewals, and discussion of a controversial sales tax proposal that would help the county address rising costs in criminal justice operations. Committee Chair Jon Scanlon used the meeting to introduce alternative approaches to the criminal justice tax proposal, presenting both an alternate ordinance and a companion resolution that would specify how the first two years of tax revenue should be spent. Scanlon's proposals would direct the estimated $7 million annually toward jail health and food services contracts, sheriff's office lease payments, and cost-of-living adjustments for criminal justice staff to maintain current service levels. The committee recommended most items unanimously, but two items saw dissenting votes from Council Members Ben Elenbaas and Mark Stremler. The first was AB2026-220, a $100,817 grant from Puget Sound Partnership for developing a stormwater business inspection program, where Elenbaas raised concerns about federal oversight and regulatory requirements. The second was AB2026-204, a supplemental budget request for $741,113, where both members voted against the spending increase. The meeting also featured the release of the Fourth Quarter 2025 Financial Report, showing the general fund ending with a balance of $33.8 million, up from projections due to timing of federal grant recognition and opioid settlement funds. Finance Director Randy Rydell noted that despite the higher fund balance, the structural budget challenges remain significant heading into the 2027-2028 biennium. Multiple Healthy Children's Fund contract renewals totalin

**Consent Agenda Items (10 of 11 approved unanimously):** - AB2026-214: WSDOT interlocal increase ($34,250) — Vote: 7-0 - AB2026-222: Domestic violence treatment services with Bellingham ($150,000) — Vote: 7-0 - AB2026-225: Emergency broadcast siren relocation ($45,000) — Vote: 7-0 - AB2026-226: Opportunity Council basic needs contract amendment ($17,250) — Vote: 7-0 - AB2026-227: Whatcom Center for Early Learning mental health services ($289,854) — Vote: 7-0 - AB2026-228: Bellingham Food Bank operations support ($500,000) — Vote: 7-0 - AB2026-229: SEAS program case management expansion ($46,000) — Vote: 7-0 - AB2026-230: Birch Bay-Lynden Road intersection design funding ($260,000) — Vote: 7-0 - AB2026-236: Lutheran Community Services weather shelter lease ($32,000) — Vote: 7-0 - AB2026-241: Skagit County server agreement ($5,000) — Vote: 7-0 **Separately Voted Item:** - AB2026-220: Puget Sound Partnership stormwater inspection program ($100,817) — Vot…

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**Criminal Justice Sales Tax Debate:** The most significant policy discussion centered on AB2026-213, a proposed sales tax of one-tenth of one percent that would generate approximately $7 million annually for criminal justice purposes. Chair Scanlon introduced multiple options for how to proceed: the executive's broad ordinance, an alternate ordinance with specific spending priorities, or a companion resolution providing direction for the first biennium. Scanlon argued for transparency, stating that if the county asks residents, businesses, and visitors to pay additional sales tax, "here's what we're gonna use it on." His proposed priorities include jail health and food services contracts, sheriff's office lease payments, and cost-of-living adjustments to maintain current service levels rather than expand services. Council Member Elenbaas expressed skepticism about the county's spending practices, saying "I don't trust you guys the way you guys spend money. So I kind of like the idea of codifying exactly what it's going to be spent on." However, he questioned why specific direction was needed for the first biennium when the same council would be making those decisions anyway. Council Member Stremler raised concerns about the framing of the tax, noting that constituents initially thought it was a "public safety tax" but had different reactions when they learned the specific uses. He stated he would "rather have the voters decide if we're going to take $7 million more out of their pockets than us," expressing discomfort with the council imposing additional taxation. Council Member Galloway spoke in support of the tax, arguing it would allow the county to maintain current service levels and avoid cuts to the sheriff's office that would otherwise be necessary to absorb rising costs. She favored the executive's ordinance with a companion resolution to provide "clarity, transparency, direction" while maintaining flexibility for future decisions. **Federal Grant Oversight Concerns:** Council Member Elenbaas raised detailed questions about AB2026-220, the Puget Sound Partners…
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**County Executive Office (via Deputy Executive):** Supported broad language in the criminal justice tax ordinance to maintain future flexibility, noting that rising costs across the system would require more than $7 million in cuts without new revenue sources. Emphasized that cost escalations affect multiple departments, not just the sheriff's office. **Committee Chair Jon Scanlon:** Advocated for transparency in the criminal justice tax proposal, arguing taxpayers deserve to know specific spending priorities. Favored providing direction for the first two years while maintaining longer-term flexibility. Expressed concern about recent state legislative cuts to programs like LEAD and potential impacts on service levels. **Council Member Ben Elenbaas:** Opposed the stormwater inspection program grant due to federal oversight concerns and voted against supplemental budget increases. Expressed distrust of county spending practices and preference for more specific restrictions on tax revenue use. Advocated for meaningful business engagement in regulatory program development. **Council Member Mark Stremler:** Questioned the framing of the criminal justice tax and expressed preference for voter approval of new taxation. Opposed both the stormwater grant and…
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**Jon Scanlon, on criminal justice tax transparency:** "If we wanna say, 'cause it's a councilmanic option, if we're saying, hey, people of Whatcom County, hey, businesses of Whatcom County, hey, visitors to Whatcom County, We want you to pay an additional sales tax. Here's what we're gonna use it on." **Ben Elenbaas, on spending oversight:** "I don't trust you guys the way you guys spend money. So I kind of like the idea of codifying exactly what it's going to be spent on." **Mark Stremler,…
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**Immediate Actions:** - Criminal justice sales tax public hearing scheduled for March 24, 2026 (evening) - Special Council meeting scheduled for March 31, 2026 at 9:30 AM to discuss potential companion resolution - Revised economic development strategy project list to be delivered before evening council meeting with highlighted changes **Upcoming Financial Briefings:** - Fourth Quarter 2025 Financial Report to be posted online March 24, 2026 - Comprehensive financial report briefing scheduled for final April committee meeting - Budget process update planned concurrent with financial briefing **Project and Progr…

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**Revenue and Spending Authority:** The county gained authorization for approximately $7.8 million in new spending across 20 contract amendments and budget increases. The largest single item was AB2026-206 for $3.92 million in supplemental budget amendments covering multiple previously held items. **Criminal Justice Tax Framework:** Chair Scanlon introduced new options for structuring the proposed criminal justice sales tax, shifting the discussion from a broad authorization to specific spending priorities for the first biennium. This represents a significant change in approach toward greater transparency and taxpayer accountability. **Healthy Children's Fund Implementation:** The committee advanced over $800,000 in contract renewals that extend early childhood services for another 12-18 months, maint…
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# Whatcom County Council Finance Committee: Sales Tax Debates and Budget Season Prep ## Meeting Overview The Whatcom County Council Finance and Administrative Services Committee convened for an unusually packed morning on March 24, 2026. Chair John Scanlon called the meeting to order at 9:27 a.m., with all seven council members present: Elizabeth Boyle, Barry Buchanan, Ben Elenbaas, Kaylee Galloway, Jessica Rienstra, Scanlon himself, and Mark Stremler. What made this meeting particularly significant was the convergence of routine administrative business with a contentious policy debate that would continue into the evening. The committee processed 11 consent agenda items, nine budget-related ordinances, and spent considerable time discussing a proposed criminal justice sales tax that had clearly divided both the council and the community. The meeting also marked the delivery of the fourth quarter 2025 financial report, providing the backdrop for difficult budget decisions ahead. ## The Puget Sound Partnership Regulatory Debate The morning's first substantive discussion emerged when Councilmember Ben Elenbaas pulled agenda item 2 from the consent agenda — a $100,817 grant from the Puget Sound Partnership to develop a source control business inspection program under federal pollution discharge requirements. What began as a routine question about funding sources revealed deeper concerns about federal regulatory overreach and local autonomy. Elenbaas pressed Jennifer Hayden from Health and Community Services about the grant's origins: "So why is this money coming from Puget Sound Partnership? Where do they get the money from?" When Hayden couldn't immediately answer, the questioning intensified. "What kind of stipulations does the Puget Sound Partnership get to put on the program?" Elenbaas asked. "No strings attached. They have zero oversight. They're not going to say, no, your program needs to look like this?" The exchange revealed the complexity of federal p…
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A structured study guide helping readers understand the meeting's content and context. ### Meeting Overview The Whatcom County Council Finance and Administrative Services Committee met on March 24, 2026, to review 11 consent agenda items, discuss a proposed criminal justice sales tax, and recommend 9 items to the full council for adoption. ### Key Terms and Concepts **Consent Agenda:** A grouping of routine items that can be voted on collectively without individual discussion, unless a council member requests separate consideration. **NPDES (National Pollutant Discharge Elimination System):** A federal permit program that regulates stormwater discharges to protect water quality. Whatcom County must comply with NPDES requirements for stormwater management. **Puget Sound Partnership:** A state agency that coordinates Puget Sound recovery efforts and distributes federal pass-through funding for environmental projects. **Sales and Use Tax for Criminal Justice Purposes:** A state-authorized tax option allowing counties to impose an additional 0.1% sales tax specifically for criminal justice and public safety purposes, authorized by RCW 82.14.345. **Healthy Children's Fund:** A Whatcom County funding source that supports early childhood programs, including basic needs assistance, childcare, and services for vulnerable children. **Biennium:** A two-year budget period. The committee discussed priorities for the 2027-2028 biennium. **Project-Based Budget:** A budget structure that tracks funding and expenditures for specific capital projects, allowing for better financial control and reporting. **Supplemental Budget Request:** An amendment to the annual budget to address new needs, cost increases, or funding changes that arise during the fiscal year. ### Key People at This Meeting | Name | Role / Affiliation | |---|---| | Jon Scanlon | Committee Chair, County Council | | Elizabeth Boyle | County Council Member | | Barry Buchanan | County Council Member | | Ben Elenbaas | County Council Member | | Kaylee Galloway | County Council Member | | Jessica Rienstra | County Council Member | | Mark Stremler | County Council Member | | Jennifer Hayden | Health and Community Services, online | | Sarah Simpson | Child and Family Program Supervisor | | Chris Nafro | Housing Program Supervisor | | Randy Rydell | Finance Director | | Tyler Schroeder | Port of Bellingham Economic Development Director | | Doug Rainey | County Engineer | ### Background Context The committee addressed several significant financial and policy matters. The most substantial discussion centered on a proposed 0.1% sales tax for criminal justice purposes, which would generate approximately $7 million annually. This tax is part of a …
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Budget & Finance Social Services Government Operations AB 2026 114 AB 2026 183 AB 2026 204 AB 2026 206 AB 2026 213 AB 2026 220 AB 2026 226 AB 2026 227 AB 2026 229 AB 2026 236 AB 2026 238 Bellingham Food Bank Lutheran Community Services Opportunity Council Port Of Bellingham Puget Sound Partnership Washington State Department Transportation Whatcom Center Early Learning Whatcom County Health Community Services Barry Buchanan Ben Elenbaas Ben Elenbaas Chris Nafro Elizabeth Boyle Jake Logan Jennifer Hayden Jessica Rienstra Jon Scanlon Kaylee Galloway Mark Stremler Randy Rydell Sarah Simpson Thomas Cuddy Tyler Schroeder Behavioral Health Budget Finance Budget Process Childcare Services Criminal Justice Early Childhood Services Economic Development Healthy Children Fund Homelessness Infrastructure Investment Public Safety Sales Tax Stormwater Management Tax Revenue Weather Shelter