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What Changes for Anacortes Taxpayers: 2025 vs. 2027

Did you know that your property tax bill could go up by almost $1000 in 2027 when all major levies are in place for city of Anacortes residents? Multiple levies and increased property values will have significant impact on property taxes through 2027.

 

Key Assumptions (Conservative)

  • Home assessed at $750,000 in 2024 for 2025 tax collection
  • 4% annual assessed value (AV) growth
  • Both school levies approved Feb 2026 begin collection in 2027
  • Additional hospital levy implemented in 2026
  • Fidalgo Pool passes its M&O levy for implementation in 2027 for $0.12 per $1000 AV
  • City, County, State and other levies will have 1% increase annually
  • Dollar estimates rounded for clarity
  • Potential bond for City and Port’s joint Event Center project not considered

 

Annual Property Tax Impact by Category

Levy Category 2025 Est. 2027 Est. Change
School levies & bond service ~ $1250 ~ $1660 + ~$410
Hospital levy & bond service ~ $460 ~ $800 + ~$340
City, county, state & others ~ $3,920 ~$4,120 + ~$200
Total Annual Property Tax ~ $5,660 ~ $6,600 + ~$940

 

 

What’s Driving the Increase

  • School taxes alone rise ~33% from 2025 levels once new levies begin in 2027
  • Island Health levy is to implement additional levy ($0.41 per $1000 AV) in 2026  — it will bring the total levy and bond rate to about $1.01 per $1000 AV in 2026 and 2027
  • Assessed value growth compounds everything

 

Bottom Line

By 2027, a typical Anacortes homeowner could pay almost $1000 more per year than in 2025 — not because of a single levy, but because multiple levies stack on top of rising property values. Each measure may appear manageable on its own. Together, they create a permanent step-up in household taxes that continues beyond 2027.

 

Anthony Lee

Anacortes, WA

 

Where Do Your Property Taxes Go? And What’s Coming for Anacortes Schools?

Did you know Anacortes School District is asking voters to approve significantly larger levies in February 2026? When Anacortes residents open their property tax bills, it can be challenging to determine who actually receives those dollars. The City of Anacortes 2026 Final Budget document offers a clear snapshot on page 33 that helps answer this question. It also underscores why school district levies and bonds warrant close scrutiny in the coming years.

 

The Big Picture: Property Taxes in Anacortes

According to the city’s full-year 2025 property tax breakdown, nearly one-quarter of every property tax dollar paid by Anacortes residents goes to the Anacortes School District. Here’s how the total property tax pie is divided:

 

Full Year 2025 Anacortes Property Tax Breakdown

                                                                 

The school district receives a larger share of local property taxes than the city itself, second only to the State. As new school levies appear on upcoming ballots, understanding how they fit into the overall tax picture is essential.

 

Anacortes School District Budget and Funding Sources            

According to https://www.OSPI.k12.wa.us, ASD is funded by Washington state, Local taxes, Federal government and other sources. The proportions from the four major sources have been stable for the past three years as shown in Table 1 and the charts below. The state funding actually increased by 3% annually for the past three school years despite declining enrollment of 1%.

 

Table 1. ASD Revenue by Funding Sources

                 

 

What Makes School Taxes Different?

Unlike the State levy or the City’s regular levy (which is capped at a 1% annual increase), school taxes are driven by voter-approved levies and bonds.

  • Educational Programs & Operations (EP&O) Levies fund day-to-day school operations such as staffing, programs, and services not fully covered by state funding.
  • Technology and Capital Improvement Levies fund instructional technology upgrades and facility maintenance.
  • Capital Bonds fund long-term construction, major renovations, and facility upgrades, with repayment stretching over decades.

These measures are layered on top of the existing school tax base and significantly change a household’s tax bill.

 

Looking Ahead: Proposed ASD School Levies and Bond Service

The Anacortes School District (ASD) levies (see Table 2) shows that school levy collections are set to increase in the coming years if Proposition 1 and 2 pass in February 2026, even as enrollment trends remain flat or declining. When levies are reset, they often establish a higher dollar amount, permanently elevating the baseline for future collections. The bond service figures in Table 1 are an estimated average from 2026 to 2035 based on the school bond terms.

The proposed levy increase will not be implemented until 2027 if Proposition 1 & 2 are approved by the voters. To visualize the projected growth in total school taxes (including levies and bond service), the stacked column chart shows the totals for 2025 and the projected years 2027–2030. This represents an average increase of about 36% from the 2025 total to the 2027-2030 average.

Table 2. ASD Proposed Levies and Estimated Bond Services 2027-2030

 

What Residents Should Ask Before Voting

Given the substantial share of property taxes allocated to the school district, residents should feel comfortable asking clear, practical questions before approving new measures:

  • How does projected spending align with enrollment trends?
  • What maintenance was deferred in the past, and why?
  • What portion of costs should be funded with bonds versus operating levies?
  • How much will the school tax cost your household over time?

 

Transparency matters — especially when schools already account for one dollar out of every four paid in property taxes. An informed vote starts with seeing the full pie, not just one slice of it.

Sal Walker

Anacortes, WA

Fidalgo Pool Ballot Measure: Beyond the Obvious?

Did you know that the Fidalgo pool measure is broader that it looks?  This November, voters in Anacortes School District No. 103 will see Proposition 1 on the ballot, asking whether to form a Metropolitan Park District (MPD) to support the Fidalgo Pool and Fitness Center. At first glance, the ballot language makes it sound simple: if approved, the MPD would operate the “Fidalgo Pool and Fitness Center Campus.” Many voters will reasonably assume this is about keeping the pool open and funded.

But here’s the catch: both the City of Anacortes and Skagit County resolutions that put Proposition 1 on the ballot go further. They state that the new MPD would not only take over the pool but could also manage “other park and recreation facilities and programs” across the entire Anacortes School District boundaries — which stretch well beyond the city limits to include Guemes, Cypress, and Sinclair Islands.

 

Why this matters

  • No definition of “campus”: The term “Fidalgo Pool and Fitness Center Campus” isn’t defined anywhere in the resolutions. Could it mean the building only? The parking lot? Or could the MPD later declare other parks part of its “campus”?
  • Broader authority: The resolutions clearly give the MPD the power to manage other parks and recreation programs, not just the pool.
  • Tax implications: All property owners within the Anacortes School District boundaries would be taxed, even rural island residents who may not realistically use the pool or other facilities.

 

The bottom line

Proposition 1 may sound like a simple plan to save the Fidalgo Pool, but the legal framework paints a broader picture. The MPD could expand to oversee other parks and programs, backed by new taxes affecting every household in the school district.

Before voting, residents deserve clarity. Will the MPD stick to managing the pool, or does it have bigger plans? Contact Skagit County officials to ask about the MPD’s true scope and how it might evolve. Transparency is critical when creating a new taxing district that impacts us all.

 

Georgia Jelec

Anacortes, WA

The High-Speed Gamble: Can Anacortes’ Fiber Network Pay Off?

Did you know Anacortes is the first city in Washington to become an Internet Service Provider (ISP)? Anacortes launched its municipal broadband vision back in 2015, when the City Council approved Resolution 2013 to pursue a city-owned fiber network. By 2019, crews had installed 30 miles of fiber through existing water pipes from Mount Vernon to Anacortes, creating a backbone designed to eventually serve the entire community. The project was engineered with help from NoaNet, Washington’s wholesale broadband provider, which projected the network could pay for itself in about 15 years if it captured roughly one-third of the local market.

Today, Access Fiber reaches about 75% of Anacortes’ 7,600 households and businesses—roughly 5,700 premises—with full coverage expected by late 2025. As of mid-2025, around 2,600 customers (about 45% of the service area) are connected. Annual revenue is estimated at $1.8 million. Residents are drawn to the service’s competitive pricing and the 30% discount available through Anacortes’ utility discount program for low-income households.

However, the investment has come at a steep cost. The city has poured approximately $22 million into the network since 2019, with $18.9 million in debt still outstanding and annual debt service of about $700,000. Fiber spending, coupled with slower-than-expected revenue growth, contributed to a $3 million general fund deficit in 2023. City leaders remain optimistic, projecting the fiber program will become self-sustaining next year.

Not everyone is convinced. Critics question the use of taxpayer dollars for a service that not all residents use, especially in a competitive market. Private providers like Ziply Fiber, offering multi-gigabit speeds through SkagitNet, and Starlink, targeting rural users with affordable satellite plans, pose significant challenges. Comcast and T-Mobile further intensify competition with cable and 5G options. To stay relevant in this rapidly evolving broadband landscape, Anacortes must continue upgrading speeds and forging strategic partnerships to expand its market share.

The success of this ambitious venture hinges on its ability to grow revenue and capture a larger slice of the market. Taxpayers should pay close attention to the financial results over the next year, as 2026 will be a pivotal moment in determining whether this high-stake investment delivers on its promise or becomes a costly lesson. Stay informed, attend city council meetings, and hold leaders accountable to ensure your tax dollars are driving a sustainable, community-focused future.

 

Sal Walker

Anacortes, WA

Fidalgo Pool’s Comeback Wave: Can a Bold Park District Plan Win After the Near Miss in 2024?

Did you know that the Fidalgo Pool and Fitness Center will be on the ballot again this November based on forming a Metropolitan Park District (MPD) to replace the Fidalgo Park and Recreation District (PRD)? The pool, a community hub since 1975, serves over 6,500 visitors monthly and supports youth and adult swim teams. Proponents, including Executive Director Dahlen (appointed April 2025), argue the MPD ensures stable funding for the aging facility. Critics warn of a 30% tax increase, forced annexation of Guemes Island, and loss of voter control. This blog examines both sides to help residents decide, using Washington State regulations (RCW 36.69 for PRD, RCW 35.61 for MPD) and community input. A comparison table below details key differences.

 

Why Support the MPD?

The MPD proposal, backed by the Fidalgo Pool and Fitness Center and Friends of the Pool, aims to secure long-term funding for the 50-year-old facility, which faces compliance issues and potential $30 million replacement costs. The current PRD relies on a six-year Operations and Maintenance (O&M) levy ($0.092 per $1,000 assessed value), requiring 60% voter approval for renewal. A failure, as occurred 31 years ago, could disrupt operations. The MPD’s permanent levy ($0.12 per $1,000) eliminates this risk, ensuring predictable funds and improving loan access for repairs. Proponents argue it replaces the current levy, not adding a new tax, and aligns boundaries with the Anacortes School District, spreading costs across Fidalgo and Guemes Islands. Public oversight remains via elected commissioners and voter approval for levy increases beyond 1% annually or bonds for new facilities.

 

Why Oppose the MPD?

Critics argue the MPD imposes unnecessary burdens. Residents claim the proposed levy ($0.12 per $1,000) raises taxes by ~30% from $0.092 per $1000, hitting fixed-income households hard. Guemes Island’s inclusion is contentious, with over 60% of Guemes voters rejecting the MPD in 2024, citing limited access due to ferry costs and “political overreach.” The permanent levy removes the six-year voter renewal, giving five commissioners authority over budgets, which critics call a loss of voting rights. With levies consistently approved for 30 years and the option to seek funds before 2027, opponents question the need for change, viewing it as a power grab. The 2024 vote’s narrow defeat (4,410 against, 4,407 for) reflects deep community division.

 

What Should Residents Do?

Vote Yes if you prioritize permanent levy for stable funding for the pool’s future, value improved loan access for repairs, and support regional cost-sharing. The MPD addresses the facility’s aging infrastructure and avoids the risk of levy failures.

Vote No if you oppose the 30% tax increase, resent Guemes Island’s inclusion against strong opposition, or value direct voter control via levy renewals. The PRD’s 30-year success and flexibility suggest it may suffice.

Residents from both Anacortes and Guemes Island can engage at commissioner meetings (third Thursday, 5:30 pm, commissioners@fidalgopool.com) or visit fidalgopool.com for updates. The November 2025 vote will shape the pool’s future—decide what balance of the pool’s financial stability and voter control works for you!

 

Sal Walker

Anacortes, WA

Downtown Anacortes Battery Storage: Powering Progress or Risking Safety?

Did you Know that a Downtown Battery Storage Facility is planned at the Guemes Ferry Landing? As Anacortes pushes toward sustainability with plans for an all-electric Guemes Island Ferry, the proposal to build a battery energy storage system (BESS)  raises serious concerns. Recent incidents* involving BESS facilities, combined with Skagit County Commissioners recent approval of a BESS near the Port of Skagit highlight significant risks that make downtown Anacortes a questionable location. This article examines some these risks and explores possible tax implications for the community.

Risks of Battery Storage Facilities:

Lithium-ion battery storage systems, critical for powering electric ferries pose unique risks, as evidenced by global incidents.

  • Lithium-ion Battery Fires and Thermal Runaway.  Lithium-ion batteries can experience thermal runaway, where overheating leads to fires or explosions that are difficult to extinguish023.  Examples: 2023 Otay Mesa, California, BESS facility fire and 2021 Arizona BESS facility explosion.
  • Toxic Gas Emissions and Environmental Impact. Battery fires release hazardous gases like hydrogen fluoride and carbon monoxide, posing risks to residents and first responders.
  • Regulatory and Oversight Gaps. BESS regulations are evolving with no comprehensive federal standards in the U.S.
  • Inadequate Firefighting Capabilities. Local Fire Departments including Anacortes may lack the specialized equipment and training needed for lithium-ion fires, which require massive water volumes or specialized foam.

Potential Tax Implications:

  • County taxes: Skagit County is funding the Guemes  Ferry Project including the land to build the BESS storage system.  However a major part of the funding is from WA State grants.  Should the grant monies dry up, the gap costs and ongoing maintenance might require a sales tax increase, a further hike in ferry fares, and levies for insurance policy.
  • Local Property Taxes: To fund the specialized firefighter training and specialized equipment needed for lithium-ion battery fires which City of Anacortes might be required to obtain, could lead to a special property tax levy for Anacortes citizens.

Conclusions: 

The proposal for a battery storage system in downtown Anacortes at the Guemes Ferry Landing presents a complex balance of advancing sustainable energy goals and addressing significant safety and financial concerns. The risks of lithium-ion battery fires, toxic emissions, and the challenges of firefighting readiness raise important questions about the suitability of this location. Additionally, potential tax implications could impact the community, depending on funding outcomes and the need for specialized resources. While the push for an all-electric Guemes Island Ferry aligns with environmental priorities, the unique challenges of a BESS in a downtown setting deserve careful consideration. Ultimately, the decision rests on weighing these factors against the community’s values and priorities, inviting thoughtful reflection on what is best for Anacortes.

Anthony Lee

Anacortes, WA

*High profile BESS incidents in the past 5 years in the US: 2021 Surprise, Arizona: 2.16 MWh (Arizona Public Service facility explosion and fire, injuring eight firefighters). 2021 and 2022 Phase I and Phase II Moss Landing, California (730MWh). 2023 Otay Mesa, California: 250 MWh (Gateway Energy Storage Facility fire, lasting nearly two weeks). 2023 Escondido, California BESS fire. 2025 Moss Landing, California: Approximately 300 MWh (Vistra facility fire on January 16, affecting a 300 MW array, with evacuation of 1,200 residents).

A Battery-Powered Future for the Guemes Island Ferry

Did You Know Skagit County is planning a shiny new battery storage facility at the Anacortes Ferry Terminal to power an all-electric ferry for the Guemes Island route. Yep, we’re talking about swapping out the diesel-chugging M/V Guemes for a greener, quieter ride across the Guemes Channel. But what does this mean for our environment and safety? Let’s dive into the details and see what’s at stake for our coastal community.

Going Green: A Win for Our Island Ecosystem?

Picture this: a ferry that glides silently across the water, leaving no smoky trail behind. That’s the promise of the new electric ferry, set to replace the 46-year-old M/V Guemes, which hauls 200,000 vehicles and 400,000 passengers yearly. The folks at Glosten, the brains behind the ferry’s design, say this electric switch could slash emissions to near zero and cut fuel costs by half. In a town like Anacortes, where we’re spoiled by Puget Sound’s beauty and powered by 100% renewable energy at the terminal’s EV chargers, that’s something to cheer about.

Less noise from the ferry means happier whales, seals, and other critters in the Guemes Channel, a place the Samish Indian Nation has called home for centuries. Plus, ditching diesel fumes keeps our air cleaner for beach walks and sunset strolls. But here’s the catch: the battery storage system, likely running on lithium-ion tech, comes with an environmental cost. Mining those battery materials can harm ecosystems far from our shores, and we don’t yet know how Skagit County plans to recycle or dispose of them. Want to keep this project as green as our forests? Let’s hope the county shares a solid plan to make sure the batteries’ lifecycle doesn’t undo our eco-wins.

Safety First: Powering Up Without Risks?

For Guemes Islanders, the ferry isn’t just a ride—it’s a lifeline. Whether it’s getting to work, rushing an ambulance across, or hauling groceries, the M/V Guemes runs 24/7. The new electric ferry, with its modern electrical systems, is said to be more reliable than the current boat, which had a 10-hour outage on June 16, 2025, thanks to some pesky wiring issues. A battery storage setup at the terminal will keep the ferry charged for those quick 5/8-mile trips, ensuring our neighbors aren’t left stranded.

But let’s talk about the elephant in the room: battery safety. Big lithium-ion systems can be risky—think fire hazards or, in rare cases, chemical leaks. With the battery facility planned right at our busy ferry terminal, we need to know it’s safe. Fire suppression systems, regular checkups, and a solid emergency plan are must-haves, but the county hasn’t spilled the beans on those details yet. After all, Anacortes folks deserve peace of mind, especially after past ferry headaches like fare hikes and service hiccups. The good news? Skagit County’s been good about listening, with public meetings like the one on June 13 and another planned for July 17, 2025, at the Guemes Island Community Center. Got questions about safety? Show up and make your voice heard!

What’s Next for Anacortes?

This electric ferry project could put Anacortes on the map as a green trailblazer, showing other coastal towns how it’s done. But it’s not all smooth sailing—there’s an $11 million funding gap, and the county’s rethinking the design to save cash after pausing the project in February 2025. Will they keep the safety and eco-friendly features we need? That’s where we come in, Anacortes. Stay in the loop by checking www.skagitcounty.net for project updates, or swing by did-you-know-anacortes.com to learn how big projects like this tie into our property taxes (yep, they’re connected!).

So, what do you think? Is a battery-powered ferry the future we want for our island paradise? Drop by the next City Council meeting, share your thoughts. Send your written comments with your name and address by 5PM July 2025. The City Council’s email is citycouncil@anacorteswa.gov Let’s keep Anacortes awesome—safely and sustainably.

Georgia Jelec

Anacortes, WA

The Escalating Cost of Living in Anacortes: 2015 – 2025

Did you know that Anacortes with a population of approximately 16,189 as of 2015 and 18,270 as of 2025, has seen sharp increases in property taxes, utility fees and cost of building homes from 2015 to 2025? We have discussed property taxes in previous blogs. This blog will focus on utilities fees and cost of building homes.

 

I Trends in Fees 

I-1 Electricity Rates

Electricity rates in Anacortes have consistently exceeded state averages. According to Electricity Local, the average residential electricity rate in Anacortes is 10.36¢/kWh, 21.45% higher than Washington’s average of 8.53¢/kWh. For the past 25 years, Washington’s electricity prices have risen at an annual rate of 4.27%, outpacing the average inflation rate of 3.35% from 1998 to 2022. Puget Sound Energy proposed rate increases, including a 12.9% hike in 2023, though the Washington Utilities and Transportation Commission approved an 8.7% increase. This reflects a broader trend of rising energy costs driven by state policies and infrastructure needs.

 

I-2 Water, Sewer and Storm Water Rates

Water and sewer rates in Anacortes are managed by the city and not regulated by the UTC. A 2015 Anacortes Retail Water Rate Study emphasized the need for rate adjustments to fund infrastructure maintenance. In 2019, the City Council approved a $3,823 increase in the general facilities charge (GFC) for water and sewer connections for new construction to fund a new water treatment plant and wastewater treatment plant expansion. Contractors and residents have felt the higher GFC impact on their costs to build new homes. Some even came to the City Council meetings to complain about the high cost to hook up to city utilities.

In the past ten years, water rates and storm water fee for single family residents have increased almost 20% annually. Concerned citizens have spoken at the Monday night city council meetings and requested the City Council to help with high water bills. The sewer rates have an average of 5-7% increase annually which is also higher than the average inflation rate.

 

I-3 Solid Waste and Other Utilities

Solid waste services, including garbage, recycling, and organics, cost approximately $30 per month in Anacortes in 2025, aligning with state averages due to participation in recycling and composting programs. The city imposes a 12% solid waste utility tax, with an additional 3.6% state public utility tax forwarded to Washington. Natural gas prices have also risen, with residential rates increasing 16% from 19.02 $/Mcf in September 2023 to 21.98 $/Mcf in September 2024.

 

I-4 Development Impact Fees

In 2021, Anacortes raised residential development impact fees for parks, increasing them from $616 to $1,362 for single-family homes and setting them at $981 per multifamily unit. The city also significantly increased transportation impact fees. These adjustments were based on the city’s Comprehensive Plan, which projects a population growth of 5,000 and a need for 3,000 additional housing units. Additionally, a new commercial development impact fee was introduced to support $4 million in park-related capital projects. These increased fees have contributed to higher building costs, home prices, and overall living expenses, exacerbating the demand for affordable housing. This, in turn, necessitates additional taxes and fees to fund affordable housing initiatives, creating a concerning cycle of rising costs and financial burdens.

 

II Impact on Residents

Rising utility fees exacerbate Anacortes’ high cost of living, 19% above the Washington average and 40% above the national average. Low-income and fixed income households face particular challenges. Recognizing the financial strain on residents, Anacortes offers a Utility Discount Program providing a 30% reduction on utility bills for eligible low-income households. Eligibility is based on income guidelines and property tax exemptions. A $2 discount for Auto Pay and Paperless Billing is also available but require enrollment.

 

III Conclusion

Building and cost of living in Anacortes have risen sharply from 2015 to 2025 due to infrastructure upgrades and expansion, operational cost increases, state energy policies, population growth and inflation. Energy cost has grown steadily while city utility fees saw significant increases. To address affordability, Anacortes should examine its capital facilities plan against its actual population growth. For the past ten years, the city has an average of 1.3% annual population growth, much lower than its Comprehensive Plan’s growth factor which is the basis for capital projects, policy development and city planning. Building infrastructure capacity ahead of population growth curve significantly burdens its current residents. Additionally, the city should invest in energy-efficient infrastructure to balance service reliability with resident needs. While these increases are essential for maintaining and enhancing service quality, they underscore the importance of transparent budgeting and financial assistance programs to support residents.

 

Sal Walker

Anacortes, WA

 

What is the Difference Between a Bond and a Levy?

Did you know that a key part of the funding sources for our Anacortes School District are Bonds and Levies?  So, what is the difference between a Bond and a Levy?

The easiest way to explain the difference is that a bond is for construction of new buildings (or modification of buildings or purchase of property to build a building).  A levy is for learning and operational expenses such as computers, other instruction materials, tools and supplies.

A levy is a short-term (1-6 years) local property tax collected to fund the portion of education programs and operations that are not funded by the state.  A levy normally requires approval of 50%+1 majority of registered voters to pass.

A bond is a long-term investment that authorizes the school district to basically obtain a loan from investors, or bank and the loan principal and interest is paid over time (typically 12-20 years) through property taxes.  Bonds typically require approval of 60% majority to pass.

The key overall funding sources for Anacortes School District are as follows:

      For 2022-23 (Source: NCES)

             State:       56%       $30.3 Million

             Local:       32%       $17.2 Million

             Federal:   11%         $6.0 Million

Local funding comes from School District bonds and levies that have been approved by local registered voters and paid through property taxes as described above.

Source: WASA-Washington Association of School Administrators

Anthony Lee

Anacortes, WA

Challenging the Anacortes Budget Planning Process

  1. Did you know that the Anacortes City Budget went up by 44% in 2022 and has maintained that level since then? During the period 2015 to 2021, the city budgets remained relatively stable. However, in 2022 Anacortes increased its budget by a whopping 44% and it has continued to increase since then (Chart 1).

Why the 44% budget increase in 2022 in Anacortes?  The most important driver is the city’s adoption of a $250 Million six-year (2022 to 2027) capital project called Capital Facilities Plan (CFP). The CFP identifies “the demands placed upon the city associated with growth”. According to the city’s most recent Comprehensive Plan, the population growth in the next twenty years is expected to be around 5000 people. The city government expects to fund the $250 Million CFP with property, sales and exercise taxes, as well as user and impact fees. Additional funding “could” also come from grants, private developer’s contributions, revenue bonds and public loans. In the 2022 budget, the city included $45 Million for its CFP, which was ~60% of the city’s total revenue in 2021.  Therefore, Mayor Gere described the 2022 budget increase over the previous year as “salient”.  The result is that Anacortes has become a much more expensive community in which to live.

The population growth in Anacortes for the past 10 years has been around 1% per year (Chart 2). Citizens have requested the city government to provide facts and data to demonstrate the expected population growth and the demographics to support the housing and infrastructure needs. However, the city government only provided historical data which does not support the population growth and household size used in its comprehensive plan.

 Let us look at Mt Vernon, the largest city in Skagit. It also developed a six-year Capital Improvement Plan (CIP) but is requesting only $150 Million for a growth estimate of 10,400 more residents during this period. That is $100 Million less funding for 50% more population growth. Mt Vernon government has recognized that the city has finite resources. As a result, the city has incorporated the current residents paying for growth, along with implementing the capital projects as the facilities are required to expand.  In fact, the Mt Vernon city budget in 2025 is a 22% reduction from its 2024’s budget because of the funding changes on its capital projects

It is time we do a reality check and answer the hard questions.

  1. Why do we need to execute capital funding projects during the first six years for a potential population growth that would take 20 years to reach?
  2. How much does it cost each year from 2022 to 2045 for the current residents in terms of property taxes, sales taxes, service fees, exercise fees and impact fees?
  3. During the period 2022 to 2025, the population growth and housing requirements in Anacortes have been way under the forecasted growth. This implies that the current funding plan will result in financial inefficiency and waste. The CFP needs to be modified to adjust to the capital needs of a relatively stagnant population.

 

Sal Walker

Anacortes, WA

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