Budget cuts operating expenses by nearly $14 million while investing in freight mobility, environmental project

Port of Seattle commissioners approved the 2010 budget and plan of finance, highlighting the ongoing efforts to reduce costs and maintain the bottom line.

"The port has cut its budget, reduced staff, required employees to share health care costs, and cut property taxes while investing in transportation and the environment," said Commission President Bill Bryant. "We're being fiscally prudent and moving in the right direction."

Through early, aggressive cost-cutting measures earlier this year, the port reduced expenses by nearly 6 percent in 2009 and will likely end the year with a net operating income of $51 million.

In addition to significant expense reductions throughout each department, port staff members took mandatory two-week furloughs; a voluntary separation program was implemented in June; vacant positions were not filled; and some positions were eliminated. The 2010 budget reflects those cuts, noting an elimination of 110 positions throughout the organization. Operating expenses for the year have been reduced again by nearly six percent. The port has forecasted a net operating income for the year of $37.5 million.

The port's capital program will invest in environmental projects, including efforts at the Superfund site along the Lower Duwamish Waterway, as well as congestion relief projects that ease the movement of freight throughout the region.

The port will decrease the amount of tax dollars collected to $73.5 million; the average King County homeowner will see a slight decrease in their property tax bill for 2010.