The Anacortes City Council voted Nov. 24 to adopt the 2026 operating budget (Ordinance 50092026) and the companion 2026–2031 Capital Facilities Plan (Ordinance 50102026).
Finance staff presented the ordinances and confirmed required public‑notice and hearing procedures had been met. Several councilmembers, led by Mister Walters, emphasized the city faces a period of declining general revenue (largely due to property‑tax limits) and urged the council and staff to conserve expenses and pursue economic development projects that could boost unrestricted revenues such as sales tax. Walters also flagged that many 2026 capital projects are funded by restricted sources (for example, REET and lodging tax) and therefore cannot easily be reallocated to cover operating expenses.
A member of the public, Lisa Baker of Anacortes, commented on the draft budget’s listing of uses for opioid settlement funds and said opioid monies should be directed toward drug‑rehabilitation services rather than other purposes; staff and council clarified Oak Harbor’s police training facility is not funded by city opioid funds and said a resolution clarifying opioid funding will be brought to council next week.
Councilmember Walters moved to approve the capital facilities plan and the council later voted to adopt both ordinances. Staff said one capital project in 2026 (a piling removal project at the water facility) may be funded with general revenue, but most projects are restricted and timing or funding source changes are limited by state rules. Council members thanked staff for work on a challenging budget.
The ordinances were approved by recorded vote; staff will proceed with the adopted operating budget and CFP and return with any follow‑up items or clarifying resolutions (including an item on opioid funding anticipated next week).