The Anacortes City Council adopted Ordinance 5011 on Nov. 17, raising the city utility tax on water customers from 7% to 9%.
Finance staff had presented the ordinance as the same 2‑percentage‑point increase discussed previously and told council that a 2% increase would yield roughly an additional $600,000 in annual revenue. “...at 2% we would see an additional roughly 600 k in revenue,” a finance committee report said when the committee reviewed the math.
Councilmembers discussed the possibility of a tiered structure or differentiated rate for large industrial users and water purveyors but concluded the timeline and technical work needed for tiers required additional legal review. The ordinance the council adopted applies the increase across residential, commercial and refinery customers as presented in the draft.
The motion to adopt the ordinance was moved and seconded on the dais and passed in roll call; council members voting in favor included Miss Moulton and Mister McDougall, among others.
What’s next: Staff indicated the city could pursue further study of tiered rates and consult outside counsel to analyze differentiated customer bases if council directs that work at a later date.
(Reporting based on the Nov. 17 Anacortes City Council meeting and staff presentation.)