Washington’s newly adopted budget for fiscal year 2016-2017 increases the transfer from the city’s electric fund to the general fund to help balance the general fund. That increase should give city residents pause for concern.

For years, the city has been transferring money from the electric fund to the general fund. Several years ago, the City Council began an effort to reduce that transfer in hopes of making the general fund self-sufficient. At one time, that annual transfer was about $1.2 million, but eventually was lowered to $470,000.

In the current budget, that transfer amount rose to $654,281. In the new budget, which takes effect July 1, that transfer amount will be $908,723. Those increases are worrisome because they indicate the council, as it did in the past, sees the electric fund as a cash cow. The council must renew its effort to reduce that annual transfer, eventually eliminating that transfer. It won’t be easy to do so, but the city would be better off to make it happen.

The city needs to get away from taking money from the electric fund to help balance the general fund. The money being transferred from the electric fund to the general fund should be used to improve the city’s electric system and make it more efficient in hopes of helping the city and the city’s electric customers save money on their electric bills. After all, the city buys power, albeit at a wholesale rate. Still, saving money is saving money.

Some Washington Electric Utilities customers who don’t live in the city object to transferring money from the electric fund to the general fund. They contend that at least part of the money they pay on their electric bills is used to subsidize city operations, services and programs.

During the council’s meeting Monday, Councilman Doug Mercer addressed the issue. “The general fund, in general, has expenditures of over $15 million, but we have revenue of only $14 million, if you do not take the transfer from the electric fund and the fund balance that was appropriated, which means we’re spending a million dollars more than we’re taking in,” Mercer said. “This is the 10^th year in a row that we’ve done that. Now, we cannot continue to live off the fund balance and transfers from the electric fund.”

Well said, Mr. Mercer.