The mayor of Mukilteo has overturned a proposed sales tax hike that would have raised the city's rates to the highest within the state.
The proposal will now return to the city council for further discussion during their July 7th meeting. The city council approved the increase on June 16, but Mayor Joe Marine stated on Monday he rejected the bill .
Mayor Marine stated, "We aim to avoid being the city within our state that carries the highest sales tax rate. Everyone shares this concern and is focused not just on the measures taken by the state but also on avoiding additional taxation and hikes in rates. Instead of seeking further revenue through these means, let’s explore alternative strategies for balancing the budget."
The mayor informed KOMO News that the city is currently requesting voters to approve an EMS (Emergency Medical Services) levy lid lift in November to assist in maintaining their neighborhood fire station.
My fear was, if we're raising this tax, people are going to then look at the EMS Levy and say, ‘Well, you just got that. I don't need to support that,’” Marine said. “Quite frankly, the priority is public safety, so I don't in any way want this to hurt our EMS Levy chances in November.
A proposed hike of 0.1%, raising the total sales tax rate to 10.7%, has sparked considerable feedback within the community, with local establishments such as Hook & Cleaver also weighing in on the matter.
I was appalled," stated Kerri Lonergan-Dreke, CEO of Hook & Cleaver. "Are you serious about increasing the sales tax at this moment? I believe that both the city council and the mayor should thoroughly review their budget before deciding to hike taxes.
However, city council members in favor of the increase argue that the city is at a crucial point where it needs to either raise revenue somehow or reduce city services.
"The city reduced the budget proposed last year by $150,000, which was a difficult decision for the municipality," stated City Council President Tom Jordal. on June 16 at the city council meeting . “You can always find more cuts, but I think the more you do, the more painful it is, the more services you’ll have to reduce.”
We find ourselves at a critical juncture where we can identify issues before they become insurmountable," stated Councilmember Louis Harris. "Should we fail to act immediately, we may reach a point where we must liquidate our assets just to cover essential requirements.
The proposed rise in sales tax will be debated during the city council's gathering on July 7; however, for it to succeed and bypass the mayor's potential veto, the initiative must secure support from five members.
As private enterprises, we also face these challenging choices," Lonergan-Dreke stated. "Let’s put this matter to a public vote for the citizens of Mukilteo so they can provide their insights. If folks find themselves in desperate straits, I believe there needs to be significant improvement in how communication flows between city officials and both local businesses as well as residents; it should clarify which decisions must be taken and seek greater feedback.