Monroe council, fire officials debate tax hike

MONROE – The city seems to have no choice but to ask voters for a tax increase to pay for rising emergency service costs.

Steve Guptill, deputy chief of Snohomish County Fire District 3, made his case Wednesday to the City Council for a substantial budget increase.

The district, which serves about 25,000 people in the city and surrounding area, will need to balance a budget deficit of about $136,700 and expects its labor cost to go up by approximately $215,000 in 2005 and 2006. It also will need $37,250 to restore training programs and $435,000 to hire six firefighters to meet the growing demand for service.

The financial need for the district is urgent, said Councilman Tony Balk, who sits on the joint operation board.

“Doing nothing is not an option,” he said.

The council discussed whether to let voters decide in September on a property-tax levy increase of 42 cents per $1,000 of valuation – or $84 for the owner of a $200,000 home.

The fire district and the city will continue negotiations next week, city officials said.

Monroe residents currently pay $2.14 per $1,000 of valuation in fire district property taxes. The tax increase, which is for escalating fire protection costs and a new emergency radio system, needs voter approval because it exceeds the 1 percent annual cap set by state law.

The fire district hasn’t increased the levy since 1984, Guptill said.

Councilman Chad Minnick said he understands the fire district’s situation, but the proposed tax increase will be a tough sell to voters.

“This is a huge hit on taxpayers,” he said.

Of the 42-cent increase, six cents will go toward the city’s share of the new 800-megahartz radio system. That would replace the aging and crowded radio system police and firefighters use now.

The city will pay about $756,000 for the system’s infrastructure and equipment and $31,000 annually for its maintenance, finance director Carol Grey said.

The rest of the proposed increase would go to the fire district.

Along with the city, the district is planning to ask its voters who live outside city limits to increase property taxes by 36 cents per $1,000. Because of a joint operating agreement, the city has to match that increase. Each agency will likely put an increase on the ballot. To succeed, both would have to pass.

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