Olympia’s legislative agenda seeks to overcome 1% tax levy increase cap

Public safety department merger not included

Posted

On Tuesday, December 5, Olympia City Council approved its draft of the 2024 legislative agenda, which outlines the city's policy priorities and requests to be brought to elected officials in the upcoming legislative session.

A key issue on the agenda is a request to lift the 1% property tax increase limit.

The city did not include a request it had been considering that would have enabled “jurisdictions in close proximity to form combined public safety department through councilmanic action." See related story.

Councilmember Lisa Parshley told the council she is willing to testify [at the state legislature] to lift the 1% property tax levy increase limit, saying it’s a major concern for the future fiscal health of jurisdictions.

The approved agenda indicates that the city will request that the arbitrary property tax cap be adjusted for inflation – up to 3% – and population growth factors. This would provide local elected officials more flexibility to adjust the local property tax rates as needed to serve their communities and keep up with rising costs and increasing population over time.

The city shared that the current 1% cap has created a structural deficit in city budgets by restricting property taxes to fund basic services like public safety, infrastructure, and community amenities. Removing this restriction could help reduce cities' reliance on regressive revenue sources.

Other items on the agenda include funding for affordable housing and homelessness services, further support for public safety reforms, expansion of mental health and behavioral health resources, legislative action to reduce gun violence, and assistance in meeting climate policy goals.

Councilmember Dani Madrone advocated adding rent assistance to the legislative agenda.

"In a recent presentation to the Regional Housing Council, the ongoing need for rent assistance is huge. Suppose we can add that under where we have renter protections, including rent stabilization, rent assistance, and tenant screening. In that case, we've got something on here documenting that we need more rent assistance for our community," Madrone said.

After the discussion, the council voted unanimously to approve the 2024 legislative agenda. Olympia staff will work with the city's contracted lobbyists to advance these priorities with state legislators over the coming session.

Federal and state lobby

Olympia hires Rick Desimone and Liz Fortunato of the Desimone Group to represent the city before the federal government.
Olympia hires Rick Desimone and Liz Fortunato of the Desimone Group to represent the city before the federal government.

The city council also approved the city's first official federal agenda, which will guide Olympia's lobbying and advocacy efforts at the federal level next year.

Olympia recently contracted Rick Desimone and Liz Fortunato of the Desimone Group to represent the city's interests before the federal government.

Desimone and Fortunato presented the proposed agenda, which focuses on pursuing federal grant funding and support for key city initiatives and projects. These include climate change and estuary restoration, affordable housing, economic development, and public safety.

Meanwhile, Olympia's state legislative lobbyist, Deborah Munguia of Capitol Consulting, provided information on major policy areas, such as budget, transportation funding, and climate policy bills, that are expected to be addressed during the upcoming 2024 legislative session in Washington.

Regarding housing affordability, Munguia said bills that did not pass the last session will be brought back up again. These include proposals for middle housing, rent stabilization, and making affordable housing construction and operations less costly. Transit-oriented development is also an area the legislators have been exploring.

On behavioral health and substance use disorder treatment, Munguia reported that legislators are seeking sites around the state for new facilities. She expects budget enhancements to continue supporting alternative response programs and other city-level initiatives.

When discussing public safety funding, Munguia outlined a proposal by the Association of Washington Cities to allow local option sales taxes for this purpose and increase flexibility on spending. Other bills around modifying police pursuit policies and restricting firearms in certain public places were also noted.

Comments

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  • AugieH

    Of course they do! If the cap is raised to 3%, imagine your current property tax multiplied by three. The effective property tax rate in California is 0.71%, Oregon 0.82% and nationally 0.99%. Let's hope this money grab proposal makes it to the ballot where (hopefully) it can be forcefully defeated.

    Tuesday, December 12, 2023 Report this

  • JW

    "The city shared that the current 1% cap has created a structural deficit in city budgets by restricting property taxes to fund basic services like public safety, infrastructure, and community amenities."

    Wait, you mean the things cities are supposed to be responsible for? Boohoo, you don't have enough money for your pet projects.

    Tuesday, December 12, 2023 Report this

  • Southsoundguy

    Expand via UGA then beg to tax more. Why do we let cities grow? They don’t do anything people can’t do themselves.

    Tuesday, December 12, 2023 Report this

  • OlyGuy

    Let's make sure we increase the property taxes on everyday citizens and keep exempting developers for 10 years. Absolute insanity.

    Tuesday, December 12, 2023 Report this

  • BobJacobs

    The level of financial analysis here is deplorable, focusing on just one kind of revenue (property taxes) and a very short time period (a few years). The council should be looking at its entire revenue picture over a number of years.

    I have no doubt that the city's responsibilities have increased dramatically due to federal and state failure to deal with the homeless problem. But the council (and we) need to see the full financial picture before we can make reasoned decisions.

    Bob Jacobs

    Tuesday, December 12, 2023 Report this

  • TonyW33

    AugieH has nailed it here. The national rate is .99% and little yet little town Olympia WA wants three times that as state policy. If the state legislature is dumb enough to do this we will have to put it on a State initiative and shut it down. It is a shame that the voters in Olympia refuse to remove these inept wanna be rulers from office. grrrrrrr!

    Tuesday, December 12, 2023 Report this