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Central Mason Fire levy-lid-lift could cost Shelton about $360,700 in first year, city manager says

Shelton City Council · March 25, 2026

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Summary

City Manager Mark told the council Central Mason Fire's proposed levy lid lift (from about $1.195 to $1.48 per $1,000 assessed value) would increase Shelton's payment under the interlocal agreement by an estimated $360,729.73 in 2027; councilors discussed options including a city levy lid lift, TBD or sales-tax measures and annexation strategies.

City Manager Mark updated the Shelton City Council on March 24 about a Central Mason Fire board decision to pursue a levy lid lift on the August ballot to address the district's funding shortfall. Mark said Central Mason plans to increase its levy rate from approximately $1.195 to $1.48 per $1,000 of assessed value, with a 4% annual increase for several years thereafter under the district's proposal.

Mark told councilors the city's share under the existing interlocal agreement — which has the city pay the levy collected inside the city limits back to the district from the general fund — would rise by an estimated $360,729.73 in 2027 if Central Mason's lid lift passes. "That equates to almost $361,000 to the city of Shelton," he said on the record.

Councilors explored options to offset the increase, including placing a city levy lid lift on the ballot (which would reset the city's levy rate and could be structured to offset the district's increase), pursuing a tourism-based TBD or a public-safety sales tax to reduce general-fund contributions, or negotiating annexation so the levy applies differently within the city. Several councilors favored giving voters the choice, with one councilor saying, "I really think we should put it on the ballot" so residents can decide.

Timing questions and legal details were discussed: May 1 is the auditor's deadline to submit a resolution for the August 4 election; staff said they could prepare ballot language and a fiscal-impact statement showing scenarios (one measure passing, both passing, or none passing) for the April 7 meeting. Council did not take a binding vote; instead members requested an impact analysis and requested staff research the legal implications of reducing or rescinding a city levy if the district's measure passes.

Next steps: staff will prepare fiscal-impact estimates and draft ballot language, consult legal counsel about conditional ballot language and potential interactions with Central Mason's measure, and return with analyses and recommended timelines.