The Mill Creek City Council will not raise property taxes in 2008.
It’s the fourth year in a row city leaders have waived their authority to pad tax rolls, but there may never be a fifth. Several capital projects and financial obligations loom ahead.
“We can’t go on forever not raising taxes,” said Mayor Donna Michelson, who voted in favor of the 0 percent increase on Tuesday night.
“We’ve established a track record so that when we do need an increase our residents will look and say, ‘You must really need that money.’”
Property taxes increased by more than 3 percent when the city joined the Library district in 2004.
Councilmen Terry Ryan and Mark Bond have cited the move as their main reason for opposing tax increases ever since.
“That decision resulted in a substantial tax increase,” Bond said.
“By not raising taxes in 2008 our residents should just about break even. Had I been on the council a little longer — had more experience under my belt — I don’t know that I still would have voted in favor of joining the library district.”
With no significant projects on the table, council has operated from the position that having the authority to raise taxes is not a justification to do so.
But several items were brought to the Council’s attention on Tuesday night, including roadway improvements and noise abatement on Seattle Hill Road and a suggested salary survey for city employees.
“We do have some big ticket items on the horizon,” Councilman Mike Todd said. “We need to pay for a park. We have the important roadway improvements ¿ a new senior center. These are all coming down the pipe. When it’s time to ask for more money, I want our residents to know that it’s tied to specific needs — that we’ve gone to them only when we’ve needed to.”
Councilman Dale Hensley, whose term expires at the end of the month, voted against the 0 percent property tax increase for 2008.
The decision not to tap that revenue source these past four years will catch up with the city in the event council needs to draw from reserves, he said.
With a rainy day fund equivalent to more than 40 percent of the city’s total budget, however, Hensley’s fellow councilmembers are confident in the city’s financial footing.
“We can do this only because we’ve established a history of conservative spending,” Ryan said.
“I can see no justification to raise property taxes in 2008 and therefore oppose doing so.”
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
