(The Center Square) – The Spokane City Council is gearing up to pass its 2025 legislative priorities, potentially asking the state to bypass climate regulations and raise property taxes while eyeing a new model.
The process is routine for the council but comes with new challenges this year as the Legislature anticipates a deficit of upwards of $12 billion over the next four years. Intergovernmental Affairs Manager Erik Poulsen told the council on Monday to also expect to feel that strain at home.
Rep. Marcus Riccelli, D-Spokane, was recently elected to the state Senate, where he has been named the chamber’s majority floor leader. Poulsen said having a local politician in that leadership position will help secure some priorities, but it will be an uphill battle amid a tight budgetary year.
“From my standpoint, it’s going to be a very daunting session,” Poulsen, who has served in both chambers of the Legislature, said Monday. “More so than any other time I’ve been with the city.”
Poulsen said the legislative team drafted the priorities, the most significant being a landfill exemption for the city’s waste-to-energy facility. According to the draft, Spokane is the only city across the state whose solid waste system is subject to Climate Commitment Act penalties.
According to the state Department of Ecology, the facility produces less greenhouse gases than landfills, exempted from the climate policy in 2022. Despite this, the CCA penalties could cost Spokanites upwards of $8 million annually by 2026, according to the draft.
Despite the added costs to residents, the council passed a resolution last month opposing a statewide initiative that would’ve essentially repealed the CCA. According to the resolution, the CCA has provided $120 million across Spokane County, with $440 million in long-term funding.
The second priority was keeping 911 excise tax revenue under local control. The tax dollars are currently distributed to the Spokane Regional Emergency Communications system, or SREC, which handles fire dispatch for the city but not for police like its surrounding neighbors.
“Requiring a portion of these taxes to go toward police dispatch will ensure city residents are receiving services they pay for,” according to the draft.
The third request is a six-month extension for the periodic comprehensive plan review and revision due June 30, 2026. Pushing the deadline to December 2026 will allow more time to add climate and housing information required by the Growth Management Act.
The final policy request, outside of $5 million in capital requests, is for authorization to pilot a land value tax, only used by two cities and a handful of school districts in Pennsylvania. The model could bring down residential rates while incentivizing development but at a cost.
Joshua Vincent, president of the Center for the Study of Economics, presented the land value model to the council last week. He said it focuses on the land value rather than the buildings, raising rates for vacant property owners and incentivizing them to develop.
However, as the city runs out of space over time, it could lead to issues with revenue if assessments don’t keep up. At the same time, Spokane and others across the state are asking their legislators to raise the cap on annual property tax increases from 1% to 3%.
The ask is among several that most of the state is vouching for together with the Association of Washington Cities. Raising the cap to 3% would allow cities to bring in more revenue but at their residents’ expense.
“Unlike past sessions, we will have organized opposition to some of the issues in our priorities list,” Poulsen said. “That’s not frequently the case; typically, it’s very ‘feel good stuff.’ We just need heavy lifting from our legislators.”
The Spokane City Council will vote on adopting the proposed draft in the coming weeks.
