Central Mason Fire levy‑lid lift could cost Shelton about $360,700 in 2027; council weighs city options
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Summary
City manager briefed council that Central Mason Fire District plans an August levy‑lid lift that would raise its levy rate from about $1.195 to $1.48 per $1,000; staff estimated the change would increase Shelton's contribution under the interlocal agreement by approximately $360,729.73 in 2027 and recommended studying city responses (TBD, sales tax, levy or annexation).
City manager Mark updated the Shelton City Council on March 24 that the Central Mason Fire District board has directed staff to place a levy‑lid lift on the August ballot that would raise the district levy rate (quoted in the meeting at roughly $1.195 to $1.48 per $1,000). Mark told council staff estimate the change would increase the city's payment under the existing interlocal agreement by about $360,729.73 in 2027; the district also projects a 4% increase annually from 2028 through 2032.
Councilors pressed on fiscal exposure and policy choices. Mark outlined three options the city could pursue: (1) absorb the projected cost in the general fund, (2) place a city levy‑lid lift on the ballot to offset the district increase, or (3) pursue alternative revenue such as a TBD (tourism/business district) or a public safety sales tax. He also noted annexation remains a long‑term option: if Central Mason annexes the city, their levy would be collected directly from Shelton property owners instead of being passed through the city's general fund.
Councilors expressed different preferences. Several supported placing a measure to the voters — some argued a city levy would give Shelton voters a direct say and provide negotiating leverage with the district; others favored a sales‑tax approach (TBD) to avoid increasing property taxes. One councilor asked staff to prepare scenario analyses showing financial impacts if Central Mason’s measure passes, if it fails, and various city revenue options.
Staff confirmed procedural timelines: the May 1 deadline to submit language to the county auditor for an August ballot and the need for calculated levy language and impact statements in the council packet. A councilor moved to extend the meeting; another seconded and the motion was recorded (the transcript does not contain a roll‑call tally but the meeting continued). Council asked staff to prepare fiscal impact statements and ballot language options for the April 7 council meeting so members could decide whether to place a city measure on an August or November ballot.
Next steps: staff will calculate the precise levy‑rate effect on Shelton property and the general fund and return with fiscal scenarios and suggested ballot language and timing options for council consideration.

