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Puyallup Council approves $100,000 Main Street donation using B&O tax credit; city nets $25,000
Summary
The Puyallup City Council voted unanimously April 1 to donate $100,000 to the Puyallup Main Street Association under the state Main Street B&O tax credit program. The city expects a $75,000 state credit, making the net cost to the city $25,000; the council asked the association to report back on how city funds will be used.
The Puyallup City Council voted unanimously April 1 to donate $100,000 to the Puyallup Main Street Association under the state Main Street business-and-occupation (B&O) tax credit program, a move council members said will leverage state matching funds to support downtown projects.
The donation was introduced by City Manager Steve Kirkley and moved by Council member Johnson. Council discussion emphasized the program’s leverage: the state credit converts the city’s $100,000 donation into a $75,000 state match, producing a net cost of $25,000 to the city.
Councilmember John Palmer, speaking for Main Street, said the program channels revenues into downtown upkeep and promotion, including pressure washing, graffiti cleanup, holiday lighting and facade grants for local businesses. "The city’s contribution is very important to Main Street," Palmer said during public comment.
Council member Johnson said he supported the donation but asked that Puyallup Main Street Association return to the council with a plan describing how the city’s portion would be spent. The motion that passed included that contingency: the association will report back with proposed uses of the city-funded portion.
Council member Gilliam, the council’s representative to the association, praised Main Street’s recent work on downtown events, graffiti cleanup and partnerships with local businesses.
The motion passed by voice vote; Councilmembers Whiting, Dorff, Adler, Johnson, Gilliam, Deputy Mayor King and Mayor Jim Castema recorded aye votes during the meeting’s roll-call sequence.
What happens next: the Puyallup Main Street Association will receive the $100,000 and apply for the corresponding state credit. The association must inform the council how the city’s $25,000 portion will be allocated, per the motion’s contingency.
Votes at a glance: Motion to donate $100,000 of city B&O funds to the Puyallup Main Street Association, with the expectation of a $75,000 state credit and a contingency that Main Street report back on city-funded uses — approved unanimously.
