LEAVENWORTH - The City of Leavenworth has released its comprehensive 2025-2026 biennial budget, outlining a plan for responsible fiscal management while addressing key priorities like housing affordability, infrastructure improvements, and tourism support.
The budget, developed through a collaborative effort between City staff and the City Council, provides a picture of how public funds will be utilized to implement the City’s policy direction.
Key Highlights:
Mayor Carl Florea told the Echo that “infrastructure of all kinds is always one of the most pressing issues for any small city. And we’re at a point that if we don’t make significant investments [in infrastructure], it’s just going to get more costly. We can defer those expenses only for so long before they come back to bite us. Another thing to keep in mind is our roads, which need to be repaired and replaced. Before we can do that, the sewer and water lines must be done, which is part of the plan.”
“The big thing we can do with regulation is to allow small lots and more density, which will help but doesn’t solve the problem because of the high cost, desirability, and fact that almost forty percent of our housing units are second homes,” explained Florea.
“The only way I know of to make housing affordable for our own workforce is to have funding streams. However, so far, we have only used a minimal amount - a couple of hundred thousand dollars - to put toward the issue because we have so many other demands on the general fund, which funds just about everything in the city other than utilities. So, I have been working with our state legislators to allow us to tax our tourists a little more – two percent, which could raise $2 million – and set it aside for housing. To sustain tourism, we need to have a workforce that can find housing to live here.”
“The downtown and a strong economy is a blessing to Leavenworth,” explained Florea. “Yet, we need to remember that the whole purpose of having a strong downtown is for the sake of the residents and community, not to compete or take away from them and it.
“Downtown exists to serve the residents and make us a real community. Tourism in Leavenworth was created to save a dying town and prevent the loss of a community. Now, however, we are threatened by our success. Between eighty and ninety percent of our workforce has to commute. We must find a balance.”
“If you are a healthy city, you’re going to be growing,” averred Florea. “But it has to be methodical and sustainable. When I came on in 2020, our public works had fewer people working for it than when I was on the [City] Council back in 2006 and 2007. So, we grew as a city but shrunk our public works.
“We added positions and equipment after I took office, which helped with the morale of overworked staff. And now, as we continue to grow, we need to continue to add staff. The bottom line is that we’re here to serve the community and want our residents to have a good experience when they have to interact with the city – prompt and responsive.”
Florea explained that “we’re well aware that when you depend on tourism dollars then there are going to be cycles – times of ups and downs. So, we maintain a healthy reserve to ride out those cycles.”
To learn more about the budget, visit the City of Leavenworth’s website or access the full budget book:
https://city-leavenworth-wa-budget-book.cleargov.com/19062/introduction/transmittal-letter.
Caroline Menna is an intern for Ward Media and a senior at Cascade High School, where she serves as Editor-in-Chief of the school’s Publications Group.
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