Bellingham weighs quick-turn sales tax to patch $10M budget hole

(The Center Square) – The city of Bellingham, Wash., is working quickly to implement a new sales tax to fund public safety operations in 2026 amid a $10 million budget gap.

The Bellingham City Council is expected to approve a resolution that authorizes Mayor Kim Lund to take the steps necessary to determine the city’s eligibility to impose the sales tax.

Next month, the city council will then regroup to discuss implementing the tax.

The 0.1% – or 10 cents per $100 spent – sales and use tax was authorized by House Bill 2015, which state legislators approved and Gov. Bob Ferguson signed into law in May.

To begin collecting revenue from the sales tax in 2026, the city would have to submit an authorization ordinance to the state Department of Revenue by Oct. 17. Furthermore, the city has to submit its application to the Washington Criminal Justice Training Commission with a 45-day review period in mind.

- Advertisement -

Bellingham Deputy City Administrator Forrest Longman said this means the city has to submit the ordinance “basically in the next couple of days for eligibility.”

According to Longman, the tax is anticipated to raise $4 million in 2026 with revenue offsetting public safety expenses in the general fund. As a result, the city’s $10 million budget gap would be reduced down to $6 million.

By the end of the year, the city is set to publish a public safety strategic plan that will evaluate the current system and find a sustainable public safety funding model.

“So this funding here is more for a short-term solution, because we know that $6 million increment every year just keeps getting bigger and bigger,” Longman said.

During Monday morning’s Budget and Finance Committee meeting, all city council members voted to recommend the resolution’s approval, signaling support of the sales tax in the future.

Bellingham City Councilmember Lisa Anderson said she is hesitant to implement another tax amid affordability concerns, but acknowledges the importance of funding public safety.

- Advertisement -

“I hope with this $4 million being able to go specifically into hopefully protecting some of these services … that perhaps we won’t be seeing cuts in those areas as we are looking at other city budgets and staffing,” Anderson said.

The city council will vote on the resolution during its city council meeting on Monday night.

spot_img
spot_img

Hot this week

Health care company agrees to pay $22.5 million to settle claims of over billing

A health care company agreed to pay nearly $22.5...

Business association ‘disappointed’ by WA L&I’s proposed workers comp rate hike

(The Center Square) – The Association of Washington Business...

Sports betting bill still alive in Georgia House

(The Center Square) – A bill that would allow...

Sports betting expert offers advice on paying taxes for gambling winnings

(The Center Square) – Tax season is underway, and...

African and Caribbean Nations Call for Reparations for Slave Trade, Propose Global Fund

Nations across Africa and the Caribbean, deeply impacted by...

Policy analysts: Future of deficit reforms unknown

Some Republicans have recently introduced bipartisan legislation in the...

Chicago mayor announces homelessness plan with unclear funding sources

(The Center Square) – Chicago officials unveiled a plan...

Mass Deportation Coalition proposes solutions for Trump admin to implement

(The Center Square) – A group of immigration law...

Everyday Economics: An inflation problem that could get harder to ignore

Last week’s jobs report looked reassuring at first glance....

Firefighter age bill stalled despite union backing

(The Center Square) – A proposed Illinois bill aimed...

Second American pilot rescued in ‘daring’ mission inside Iran

A second American pilot who was shot down over...

Jewish students can’t sue Northwestern over antisemitic protest response

Jewish students can't sue Northwestern University for failing to...

More like this
Related

Policy analysts: Future of deficit reforms unknown

Some Republicans have recently introduced bipartisan legislation in the...

Chicago mayor announces homelessness plan with unclear funding sources

(The Center Square) – Chicago officials unveiled a plan...

Minority of Texas State Board of Education members have taught in public schools

(The Center Square) – As State Board of Education...

Mass Deportation Coalition proposes solutions for Trump admin to implement

(The Center Square) – A group of immigration law...