EVERETT – When Mayor Ray Stephanson was elected in November, he faced a hostile City Council.
Six of the seven council members had backed incumbent Frank Anderson and took out advertisements accusing Stephanson of misleading voters in his campaign brochures. They opposed his budget-cutting plans and insisted there was nothing wrong with dipping into the budget surplus.
In an illustration of the extraordinary change in tone and atmosphere at City Hall over the past several months, the council Wednesday unanimously approved a new budget policy that essentially validates Stephanson’s belief in a large surplus.
Even Councilman Ron Gipson, the mayor’s sole opponent so far in the 2005 election, voted for the changes.
The new rules require Everett to maintain an ample surplus and prohibit the city from using it to pay for day-to-day operating expenses.
“I think this vote was a turning point,” said City Council President Arlan Hatloe, who has turned from a strong critic of Stephanson into an ally. “It reflects how we’re able to come together. There’s no longer the animosity and misunderstandings there were at the beginning of the year.”
The ill will between the mayor and most of the council began when Stephanson accused Anderson of being fiscally irresponsible for proposing to use $5 million from the surplus to balance the 2004 budget. Council members took the charge personally because they had worked closely with Anderson to prepare the budget.
Stephanson won the Nov. 4 election by 274 votes. The new mayor moved quickly to meet with council members to smooth frayed relationships. He didn’t entirely succeed.
“It was a bitter campaign, and there were bound to be some feelings of hostility,” Councilman Mark Olson said. “Several of us found that the tactics and the misleading nature of the advertisements of the Stephanson campaign were offensive and put into question our own credibility as council members.”
As the mayor and council members worked together, the level of trust rose. The first major sign of that was in March, when the council voted 5-2 to reverse its previous decision to spend part of the surplus. It instead backed Stephanson’s service cuts and 24 employee layoffs.
Councilwoman Marian Krell said she gradually came to agree with Stephanson that a large budget surplus was necessary to tide the city over during tough economic times and avoid a financial crisis if there are large unforeseen expenses.
Krell said her increasing confidence in the mayor came in part because of his willingness to work closely with council members on all major policy decisions.
Stephanson said improving his relationship with the council has been one of his top priorities. “What it’s evolved into is mutual respect for each others’ knowledge and experience,” he said. “I’ve come to value the council’s opinion in a significant way.”
Stephanson has compromised with the council on several key issues. For example, he modified the March budget cuts in response to their requests.
The new budget policy came out of weeks of discussions between the Stephanson administration and the council. From now on, the city must maintain a surplus equal to 20 percent of the general operating budget. That is a much higher proportion than most previous mayoral administrations achieved.
Although the city can’t spend any part of the surplus on employee salaries or basic services, it can use it to help pay for construction projects, including building rehabilitation and street paving.
The current surplus is $26.3 million. The new requirement means the surplus cannot normally go below $18.5 million.
Reporter David Olson: 425-339-3452 or dolson@heraldnet.com.
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
