Legislative delegation briefs Anacortes on new state laws and what the city secured from the 2025 session

Sen. Liz Lovelett and Rep. Alex Ramel, the Washington legislators representing the 40th Legislative District, briefed the Anacortes City Council on June 2 about several bills that passed in the 2025 legislative session and how they relate to local priorities.

The city’s legislative liaison then presented the City of Anacortes’ 2025 legislative outcomes, noting where the city’s requests won funding or program changes and where proposals did not pass.

The delegation highlighted housing and recycling reforms as session accomplishments. "We're updating the unit lot subdivision process," Sen. Lovelett told the council, describing changes intended to enable ownership of whole parcels when middle-housing types (duplexes through six-plexes) are developed. She also described the recycling reform law: "the big recycling bill, Senate Bill 5,284," which creates an extended-producer-responsibility organization to reduce municipal recycling costs and expand curbside recycling access.

Rep. Alex Ramel said the Legislature made the largest investment ever in the state's Housing Trust Fund and reported passage of a bill to allow architects to self-certify accessory dwelling unit plans as an optional local program aimed at shortening permit review times. Ramel also said the session produced a statewide rent-stabilization measure: "rent increases above 10% will not be allowed in most cases across Washington now," he said.

City staff then reviewed the municipality’s formal requests and outcomes from Olympia. Among the results: the capital budget included $133 million for community behavioral health grants, and the Skagit stabilization center received an allocation of $549,000; $472,000 was allocated for the Heart Lake shoreline restoration through the Aquatic Lands Enhancement account (ALIA); and $3,900,000 appears in a small-city pavement and sidewalk program though no dedicated line item was included specifically for the City’s SR-20/Commercial Avenue repaving request.

Staff said a $3 million capital request for preparations on the proposed Anacortes Community Event Center made a federal representative’s short list and is moving forward in the 2026 federal appropriations process, but it is not guaranteed funding. The city noted a state-level request to raise the statutory property tax levy growth cap from 1% to 3% did not advance. City staff also summarized changes that will help local finance: harmonization of Real Estate Excise Tax (REET) 1 and 2 uses and a new allowance to use up to 35% or $100,000 of REET revenue for operations and maintenance in some cases.

Council members asked questions about ferry funding, grants for public safety and housing tools. Lovelett and Ramel said the session protected some ferry workforce investments and funding for vessels but that higher-than-expected bids mean fewer vessels may be built immediately. Both urged local governments and residents to keep communicating with legislative offices about local priorities.

The City’s presentation and the delegation’s remarks were followed by council questions and comments on specifics such as short-term rental tax proposals, REET flexibility, and grant candidacy for the event-center project.

The delegation’s appearance was a non-decision briefing; the city did not take formal action at the meeting on state legislation.

For more detail, the council packet lists program names and funding amounts and staff said staff will return with updates as grants and capital-appropriation processes proceed.