Anacortes, Port approve interlocal agreements to build waterfront event center

At a joint special meeting Aug. 18, 2025, the Anacortes City Council and the Port of Anacortes Commission approved interlocal cooperative agreements to design, build and operate a proposed waterfront event center at the Cap Sante Marina development area.

The agreements, signed at the end of the meeting, commit the city and port to share design costs, pursue grants and other funding, and for the port to construct adjacent public-access infrastructure; city and port elected officials said the goal is to have the facility open in 2028 if design and funding proceed as planned.

Mayor Miller said the discussion was about more than a building: “An event space has a potential to be more than just walls and a roof,” she said, framing the project as a community gathering place and tourism asset. Port Executive Director John DeMoss told the joint meeting the design brief emphasizes downtown access and a 400-person capacity, and that the port will pursue grants and use a mix of operational revenue and tax funding to pay for site infrastructure.

Background and scope The idea of an event center at the waterfront traces to planning work in the 2010s and a series of joint Port–City discussions since 2021. City and port officials said prior planning and public outreach informed the current concept. The facility design under discussion calls for a main event space sized for roughly 400 people at 8-person round tables, a warming kitchen, green room and fixed restrooms so users are not dependent on temporary trailers.

Funding and finances Councilmember Walters said the city has set aside lodging-tax (LTAC) revenue for the project and that the city currently holds about $1.5 million in that account for an event facility. Walters said the council has identified another $1.5 million in potential grant funding and that, depending on bond size and interest rates, debt service could be roughly in the hundreds of thousands per year on a multimillion-dollar bond. The presentation displayed a notional funding plan that combined cash on hand, bonding and projected LTAC receipts; council staff described annual LTAC receipts in recent years as roughly $600,000.

DeMoss said the port expects the surrounding infrastructure (realignment of the five-way intersection, a heavy-haul route, and parking) to cost in the range of $7 million to $8 million and that the commission has been budgeting for the project in its capital improvement plan. The port and city plan to pursue state and county grants commonly used for waterfront access and community facilities, including Community Economic Revitalization Board programs and recreation/conservation grants.

Design objectives and operations DeMoss told elected officials the Tiger team and architects used prior public outreach to prioritize a site that connects to the downtown core; amenities that make events easier to stage (enclosed storage, a catering-support kitchen, adequate restrooms); and a flexible footprint that can host conventions, concerts and nonprofit fundraisers.

The operational interlocal agreement reserves at least 12 days a year in the shoulder season for the city to make space available to local nonprofits at reduced or prioritized access, a provision officials said is intended to keep the facility affordable for community groups that rely on event revenue.

Public comment and local support More than a dozen residents and representatives of local organizations spoke during public comment. Speakers included Mary Staley, reading a letter from Meredith McLinwell on behalf of the Anacortes Arts Festival and the Anacortes Creative District; Kristen Keltz of the SkyJet Tourism Bureau; John Sternlicht, CEO of the Economic Development Alliance of Skagit County; Jessica Kaiser of the Anacortes Chamber of Commerce; and nonprofit leaders who said an accessible local event venue is important for fundraising and service delivery. Comments were broadly supportive, while some speakers urged that the building be flexible, affordable for nonprofits and designed for long-term viability.

Questions and concerns Elected officials and members of the public raised recurring concerns about cost, parking and marina-tenant impacts. Commissioners and councilmembers said parking studies suggest the city can manage regular demand but acknowledged a handful of annual large events will put unusual pressure on downtown parking. Officials also said the agreements include off-ramps tied to funding, permitting or other conditions so either party can pause the project if material obstacles arise.

Action taken On voice votes at the joint meeting both the Port of Anacortes Commission and the Anacortes City Council approved the interlocal cooperative agreements covering design/construction and operations and authorized signing of the agreements. Officials stated there were no opposing votes during each body's voice vote.

Next steps Officials said signing the ILAs authorizes the project to restart design activity in the fourth quarter of 2025, continue grant-seeking, and proceed toward 60%–100% design work. The port and city said they expect to refine the design with continued public input through the Tiger team and to seek construction financing and grants; the earliest public opening projected at the meeting was 2028 if funding and permits fall into place.

Two excerpts from the meeting transcript support this report: Mayor Miller’s opening framing of the project as a community gathering place and the closing moment when port and city leaders signed the interlocal documents. The councils and commission members applauded after the signed agreements were exchanged, and both bodies adjourned the meeting the same evening.