Sammamish continues public hearing on proposed 6% utility tax as staff lays out budget shortfall

The Sammamish City Council continued a public hearing March 4 on a proposed 6% utility tax after a staff presentation laying out the city’s budgeting gap and the tax’s estimated contribution to closing it.

Finance Director Vicki Carlson told the council the city’s general fund is “structurally imbalanced,” with ongoing revenues not covering ongoing expenditures and that the city is budgeted to use fund balance in 2025 and 2026. She said staff reduced the budget by about $8.9 million before proposing new revenue options and presented a draft ordinance that would impose a 6% tax on utilities with a low-income rebate program and administrative rules to be adopted before tax collection begins.

Carlson said the city estimated roughly $3.6 million in revenue from…