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HomeMy WebLinkAboutOrdinance 4443 ORDINANCE NO. 4443 AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE UTILITY TAX RATES IN ECC 3.20.050, AMENDING THE SUNSET PROVISION OF ORDINANCE NO. 4415, AND PROVIDING FOR ONGOING REVIEW WHEREAS, the City of Edmonds faces structural fiscal challenges that require a comprehensive, community-informed approach to achieve long-term fiscal sustainability; and WHEREAS, at a February 6, 2026 Council retreat, the Mayor, City Council, and City Directors identified financial stability and economic development as key priorities and committed to adhering to Government Finance Officers Association budget planning principles; and WHEREAS, the City has engaged Baker Tilly Advisory Group to conduct a three-phase fiscal sustainability engagement, including developing a 10-year long-range financial forecast covering the General, Capital Improvement, and Enterprise funds; identifying and recommending budget strategies across expenditure controls, service delivery alternatives, revenue enhancements, and service reductions; and facilitating a community-based Fiscal Sustainability Task Force to develop consensus recommendations for the City Council; and WHEREAS, on July 14, 2026, the City Council adopted the Fiscal Sustainability Task Force Charter and Workplan, and the Task Force is anticipated to convene in Fall 2026 and complete its work over a period of approximately nine months; and WHEREAS, the utility tax rates for water, sewer, and stormwater services are currently set at 20 percent under ECC 3.20.050, as amended by Ordinance No. 4415, and the City Council has determined that those rates should continue at 20 percent while the fiscal sustainability analysis and community engagement process are completed. The utility tax rate of 20% will expire on December 31st, 2028; and WHEREAS, the City Council intends to evaluate and, in its discretion, adjust the utility tax rates established by this ordinance in light of the findings and recommendations of the Fiscal Sustainability Task Force, the Baker Tilly Advisory Group engagement, and other new information or changed circumstances that might be relevant to the City Council’s evaluation; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. Extension of Sunset. Section 2 of Ordinance No. 4415, entitled "Sunset," is hereby amended to read as follows: Section 2. Sunset. This ordinance shall cease to have effect on June 30, 2027December 31, 2028 at which point the tax rates set forth herein shall return to those that were in effect when this ordinance was adopted, absent subsequent legislative action. Section 2. Ongoing Review. The utility tax rates established and continued by this ordinance shall remain in effect pending the City Council's review and consideration of the findings and recommendations of the Fiscal Sustainability Task Force, the Baker Tilly Advisory Group engagement, and other new information or changed circumstances that might be relevant to the City Council’s evaluation. The City Council shall evaluate these rates in light of those findings and recommendations and may, in its discretion, modify, continue, or repeal any of the utility tax rates set forth in ECC 3.20.050 as it deems appropriate. Section 3. Severability. If any section, subsection, clause, sentence, or phrase of this ordinance should be held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this ordinance. Section 4. Effective Date. This ordinance is subject to referendum as set forth in RCW 35.21.706. Any person may file a referendum petition with the City Clerk within seven (7) days after the passage of this ordinance. In the event that such a petition is filed, the City Clerk shall, within ten (10) days, confer with the petitioner regarding the form and style of the petition, secure an accurate, concise, and positive ballot title from the City Attorney, and assign an identification number to the petition. The petitioner shall have thirty days in which to secure the signatures of not less than fifteen percent of the registered voters of the city, as of the last municipal general election, upon petition forms which contain the ballot title and the full text of the measure to be referred. This ordinance shall take effect on October 1, 2026, unless a timely referendum petition is filed, in which case the effective date shall be suspended until the referendum petition is found to be insufficient or the ordinance is approved by the voters at an election. APPROVED: MAYOR, MIKE ROSEN Mike Rosen (Aug 4, 2026 11:35:04 PDT) ATTEST/AUTHENTICATE: CITY CLERK, LUKE LONIE APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: BY JEFF TARADAY FILED WITH THE CITY CLERK: JULY 28, 2026 PASSED BY THE CITY COUNCIL: AUGUST 3, 2026 PUBLISHED: AUGUST 7, 2026 EFFECTIVE DATE: OCTOBER 1, 2026 ORDINANCE NO: 4443 Jeffrey Taraday (Aug 4, 2026 10:57:32 PDT) SUMMARY OF ORDINANCE NO. 4443 of the City of Edmonds, Washington On the 3rd day of August, 2026, the City Council of the City of Edmonds, passed Ordinance No. 4443. A summary of the content of said ordinance, consisting of the title, provides as follows: AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE UTILITY TAX RATES IN ECC 3.20.050, AMENDING THE SUNSET PROVISION OF ORDINANCE NO. 4415, AND PROVIDING FOR ONGOING REVIEW The full text of this Ordinance will be mailed upon request. DATED this 4th day of August, 2026. CITY CLERK, LUKE LONIE Ordinance 4443 Final Audit Report 2026-08-04 Created:2026-08-04 By:Luke Lonie (Luke.Lonie@EdmondsWa.Gov) Status:Signed Transaction ID:CBJCHBCAABAAtn-ivqPYLrF4WBpH_Y5TZXPMjkOBCqFc "Ordinance 4443" History Document created by Luke Lonie (Luke.Lonie@EdmondsWa.Gov) 2026-08-04 - 5:07:04 PM GMT Document emailed to Jeffrey Taraday (jeff@lighthouselawgroup.com) for signature 2026-08-04 - 5:07:10 PM GMT Email viewed by Jeffrey Taraday (jeff@lighthouselawgroup.com) 2026-08-04 - 5:56:52 PM GMT Document e-signed by Jeffrey Taraday (jeff@lighthouselawgroup.com) Signature Date: 2026-08-04 - 5:57:32 PM GMT - Time Source: server - Signature Appearance Selected: TYPE Document emailed to Mike Rosen (Mike.Rosen@EdmondsWa.Gov) for signature 2026-08-04 - 5:57:34 PM GMT Email viewed by Mike Rosen (Mike.Rosen@EdmondsWa.Gov) 2026-08-04 - 6:34:53 PM GMT Document e-signed by Mike Rosen (Mike.Rosen@EdmondsWa.Gov) Signature Date: 2026-08-04 - 6:35:04 PM GMT - Time Source: server - Signature Appearance Selected: DRAW Document emailed to Luke Lonie (Luke.Lonie@EdmondsWa.Gov) for signature 2026-08-04 - 6:35:06 PM GMT Email viewed by Luke Lonie (Luke.Lonie@EdmondsWa.Gov) 2026-08-04 - 6:35:59 PM GMT Document e-signed by Luke Lonie (Luke.Lonie@EdmondsWa.Gov) Signature Date: 2026-08-04 - 6:36:18 PM GMT - Time Source: server - Signature Appearance Selected: MOBILE_IMAGE Agreement completed. 2026-08-04 - 6:36:18 PM GMT