Poulsbo considers establishing transportation benefit district

District would implement $20 car tab fee to pay for road improvements, maintenance

POULSBO — The tug-of-war between numbers was much the same as previous budget considerations for the Poulsbo City Council, Nov. 5. This time, however, the council is acting on what has been all talk until now: establishing a transportation benefit district.

The district would put Poulsbo on the path to a $20 car tab fee.

“Do you want to go forward with a transportation benefit district, which means a $20 car tab fee, in order to do pavement maintenance in Poulsbo?” Mayor Becky Erickson asked council members across the dais.

Of the five council members present, all agreed to pursue the option. Councilman Ed Stern was absent but has been eager to bring the option forward. Councilman Jeff McGinty was not present.

It was the first of three public hearings on Poulsbo’s 2015 budget. Two more hearings are scheduled during the next two council meetings, where the council will discuss budget options and determine funding for each department. A transportation benefit district will now be a factor in budget talks moving forward.

“It’s one of the few tools that the state [legislature] has given us that we can use at the local level to support transportation,” Erickson said.

A transportation benefit district would likely establish a $20 car tab fee for residents with automobiles registered in Poulsbo. The fee would be paid when vehicle owners renew their registration.

The option was crafted by the state Legislature to provide local governments another way to fund road maintenance. The process of forming one could be completed in 2015. The district would be an entirely separate government entity than the city, but would be led by the City Council acting as the transportation benefit district board.

In addition to car tab fees, transportation benefit districts can implement tolls, sales and use taxes, and other fees to raise funds. Only a $20 car tab fee, though, has been part of council’s discussion.

Bainbridge Island and Bremerton both have transportation benefit districts and used them to establish car tab fees.

Other revenue options
The transportation benefit district wasn’t the only revenue-raising consideration discussed Nov. 5. The council is also discussing the implementation of adding a 6 percent tax to cable TV bills in Poulsbo.

Poulsbo collects a franchise fee from cable providers, but has not taken advantage of the cable tax that is available to municipalities. The tax would be forwarded to cable customers on their bill. City staff estimates that the cable tax could bring in approximately $140,400.

Bringing the city’s utility tax up from 9 percent to 10 percent is another consideration.

Other budget discussion
Funding has been cut across all departments in recent years. Now, as city revenues are still low, council members are debating which departments should get a little extra funding.

Councilwoman Linda Berry-Maraist expressed concern that the city’s parks continue to lack funding.

“I am really concerned about park reserves,” Berry-Maraist said. “We have been funding at 50 percent. That comes out to 38 cents per month per person in Poulsbo — 38 cents a month is what we are investing in future open space in this community. I find it really unnerving. I would really recommend not making that permanent. I think that is really important for the future and quality of life. I would not support having parks reserves be permanent at this low level.”

Berry-Maraist said parks and open space are one of Poulsbo’s best selling points and the foundation of the community’s character.

Councilwoman Connie Lord expressed a different view. She would like Parks & Recreation Director Mary McCluskey to defend funding for the department, and said her concerns lie more with funding neighborhood street maintenance.

“We have neglected our neighborhood street program for a long time,” Lord said. “We have a lot of parks and we have a difficult time maintaining what we have,” she said. “Acquiring new parks when we can’t maintain what we have doesn’t seem to be a high priority.”

Erickson suggested that the transportation benefit district could be an answer to the issue by providing more funding for streets. She advocated keeping park funding as is for a little bit longer, until other funding is established for streets.

“Our parks are really the strongest economic engine we have in our community, they are the glue that cements the character and quality of our community,” Erickson said. “By investing in parks we actually invest in the wealth of our own community, the ambiance and the feel of our community. I believe that like I believe my eyes are blue.”

 

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