Voters’ Guide to Lynnwood ballot measure on transportation

Published 12:11 pm Wednesday, September 24, 2014

Lynnwood voters face a measure on the November ballot that would raise the sales-tax rate in the city to pay for improvements in streets and sidewalks in the city.

The proposal comes from the Lynnwood City Council, sitting as the board of the Lynnwood Transportation Benefit District.

Here is material prepared for the local voters’ pamphlet:

Lynnwood Transportation Benefit District Proposition 1

Ballot Title: Lynnwood Transportation Benefit District, Proposition No. 1 — Sales and Use Tax for Transportation Improvements

The Board of the Lynnwood Transportation Benefit District, Lynnwood, Washington, adopted Resolution 5 concerning a sales and use tax to fund transportation improvements. This proposition would authorize a sales- and use-tax of two-tenths of one percent (0.2%) to be collected within the District in accordance with RCW 82.14.0455 for a term of ten years. Such revenues would be used for the purpose of funding the following transportation improvements: preventative and routine pavement maintenance and reconstruction, street and traffic maintenance and operations, and other capital projects as identified in the City’s Transportation Plan.

Should this proposition be:

Approved __

Rejected __

Explanatory Statement

The City of Lynnwood formed aTransportation Benefit District (District) by ordinance on May 24, 2010.The purpose of the District is to fund construction, maintenance and operation of the City’s street and traffic system, as allowed by state law. The District is authorized to and proposes to impose new sales and use tax in the amount of two-tenths of one percent (0.2%) for a period of up to ten years upon approval by voters within the District.

This tax is estimated to generate an average of $4,000,000 of additional revenue per year, the proceeds of which will be dedicated to and used solely to fund the following transportation improvements: preventative and routine pavement maintenance and construction, such as pavement repair, overlay, chip seal, and patching; street and traffic maintenance and operations, such as signing, striping, sidewalks, and traffic signals; and other capital projects identified in the City’s Transportation Plan (for example, 196th Street SW from 48th Avenue W to 36th Avenue W and 36th Avenue W from Maple Road to 164th Street SW). More information about the improvements is available at Lynnwood City Hall and on the District’s website at www.ci.lynnwood.wa.us/tbd.

Argument For

On November 4th, voters will decide if $40 million will be raised from the sales tax over ten years to preserve, maintain, and improve Lynnwood’s streets, sidewalks and signals. A $100 purchase of taxable goods will cost an additional 20 cents; most food and drug purchases are exempt.

Lynnwood’s regional attractions and available services are magnets drawing thousands of daily visitors from outside the City. Unlike the property tax paid by Lynnwood property owners, outside visitors buying from our local merchants can help pay to save our roads along with Lynnwood citizens. The sales tax increase will affect all who use our roads and who benefit from making sure they are kept in good repair, whether the live in Lynnwood or elsewhere.

A majority of Lynnwood citizens surveyed on this question said that this was the most equitable solution. Other area cities have approved similar sales tax rate adjustments and the 9.7% will keep us “in the ballpark” in terms of what others charge.

The need is great in our growing community and the means to raise funds are limited. Adjusting sales tax rates is a fair and practical way for those benefited the most to contribute toward keeping the City’s streets in good repair.

Review the City’s transportation funding shortfall and crucial transportation needs here.

Then vote “Yes” on November 4.

Argument Against

Lynnwood doesn’t have a revenue problem; it has a spending problem. This “tax-to-the-max” plan is a 24% increase in City Sales Tax.

Here are the FACTS:

¨• The “Transportation Benefit District” Board and City Council are the same people.

• They already added a $20 car tab for transportation projects without a public hearing. Citizens can’t even speak atTBD meetings.

• A 9.7% Sales Tax would give Lynnwood alone the highest sales tax in Washington!

• Revenues to the city are near all-time highs, yet spending is exceeding the 2014 budget.

• The city already spends about $1 million of our taxes on roads and transportation each year.

• This new tax hurts low and middle income families the most.

• The City Finance Director advised the Council that they are overspending their 2014 budget by $3 Million and that the 2015/2016 budget will be worse.

With this unjustified tax, you will pay more for nearly everything you buy.

Lynnwood depends on Sales Tax as the biggest part of City revenue. Higher taxes will drive away shoppers, especially for big ticket items, and will leave Lynnwood with less revenue for City services.

No Councilmember that voted for this tax increase agreed to write the “Pro” side. “Pro Committee” members don’t even live in the City but want to increase your taxes.

Tell the City to fund our streets by managing the City budget…not raising taxes! Don’t support a tax-to-the- max plan. Fund our roads with existing taxes.

No Public Hearings. No accountability. Vote NO on Prop. 1.

Rebuttal of Argument Against

Most important: Citizens can address theTBD Board. Read the minutes.The process was inclusive. Next, the increase in total sales tax would be 2.2%, not 24%, with funds specifically being dedicated to street maintenance. It is paid by all consumers, not just Lynnwood tax payers. Third, other communities choosing this tool will have equal sales taxes. Lynnwood would not be the highest. Finally, low income families are protected by the sales tax exemption for food.

Argument Prepared by

Wayne Anthony, Larry Ingraham, Reid Shockey

Rebuttal of Argument For

FACT…this is a tax on YOU!

Lynnwood’s tax on larger items will run HUNDREDS more, driving shoppers away, COSTINGYOU MORE.

Three local cities approvedTBD increases going from 8.6% to 8.8%. Lynnwood at 9.7%?That isn’t in the “BALLPARK?”?

“Survey” costs: $60,000 plus $107,000 in staff time, YOUR TAX DOLLARS! T hey only asked if you wanted higher car tab fees or higher sales tax. They manipulated it to get the answer they wanted.

Argument Prepared by

Ted Hikel, Jim Smith