Clallam County appears to be at a crossroads with court costs and contracted agencies the Cities of Port Angeles and Sequim.

County commissioners discussed a letter to the Cities of Port Angeles and Sequim on July 2 that would give them a one-year notice before ending a contract for district court coverage.

Clallam County administrator Jim Jones said in a special meeting between Sequim City Councilors and county commissioners on June 25 that HB 1783 — a new law that eliminates fines, fees, penalties and assessments for indigent defendants — could cost the county about $400,000 in revenue next year.

“Now, it’s readily apparent we’re not going to collect the amount of money we were going to collect,” Jones said.

“We have to renegotiate it or either side gives the other their one-year notice and work through it.”

Commissioners will consider sending out the letter and giving notice to the cities on July 10.

The anticipated loss of revenue stems from outgoing District Court judge Rick Porter’s decision to stop his pay-or-appear program following Gov. Jay Inslee signing HB 1783.

Established in 2002, Porter’s program allowed indigent defendants the options to pay fines and other court costs based on their ability to pay.

Jones told Sequim city councilors that 95 percent of defendants are considered indigent, which the state defines as someone who receives public assistance or holds an annual income after taxes of 125 percent or less of the federal poverty level.

Porter’s program annually brought in about $1 million a year, Jones said.

“We can’t even give (defendants) the option to work,” he said.

Looking at the five-year average for criminal cases in district court, Jones estimates Clallam County would be short about $183,200, the City of Port Angeles $146,000, and Sequim $70,800 each year.

Jones said the agreements between the cities don’t allow for revised dollar amounts except for cost of living.

Commissioner Mark Ozias said when the cities’ contracts were drafted, they were made as an incentive for the cities to save money because district court costs earned a higher than average in collections because of the pay-or-appear program.

With that gone, Ozias said the missing finances “could be a problem for us starting this year.”

Jones said the county just wanted to break even on its costs but now their only option is to renegotiate a deal with the cities.

“We would really appreciate being able to renegotiate the contract based on these different set of circumstances,” Ozias said.

As part of the agreement with the cities, they must meet with the county within the first two weeks of August to discuss any operational changes in the contract. That date has not been set, Jones said.

Sequim City Manager Charlie Bush said the city plans to respond in writing, continue discussions with the county and possibly hold a joint meeting with the City of Port Angeles.

Jones told Sequim city councilors he heard a rumor of the city possibly working with Jefferson County for district court.

“If they have excess capacity and a better deal, I’d highly suggest you take it,” he said.

In an interview, Bush said city staff haven’t explored options with Jefferson County.

Of possible court service options to consider, Bush said the most likely include Sequim having its own municipal court, partnering with another city on a court system, partnering with a combination of cities and counties and renegotiating with Clallam County.

“There are a bunch of factors in the distance, like transportation,” Bush said. “We have to weigh all the options and keep talking.”

Commissioner Randy Johnson said another factor in the shortfall is rising costs annually for public defense for indigent defendants at about 7-8 percent.

When asked about rising costs of public defender costs, Ozias said it’s been an ongoing discussion.

At the joint meeting, county commissioner Bill Peach said as a member of the Washington State Association of Counties’ legislative committee one of their top issues for consideration is legal action against the state regarding indigent defense and the costs to state counties.

“It took a long time for the schools to change (legislators’) minds,” he said. “I don’t expect a big sweetheart check next year and I don’t see a short-term relief in the next 12-24 months.”

For more information on the Clallam County Commissioners’ discussion of court costs, visit clallam.net/bocc.

Reach Matthew Nash at mnash@sequimgazette.com.