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Council sets business‑and‑occupation code update for second reading; staff says changes required by state law will not change Mercer Island B&O rate
Summary
Finance Director Matt Mornick presented Ordinance 25C‑23 to incorporate state model ordinance updates to the city’s business and occupation (B&O) tax code. Staff said the changes reclassify certain services consistent with state law but will not raise the city’s 0.10% flat B&O rate or expand the tax base for Mercer Island.
Finance Director Matt Mornick briefed the council at first reading on Nov. 4 on Ordinance 25C‑23, which updates the Mercer Island municipal code to reflect a state model ordinance and assign B&O tax classifications created or changed by recent state legislation.
Mornick explained that the Association of Washington Cities convened a work…
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