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White Salmon tables decision on 1% property tax levy; staff projects levy would preserve services
Summary
The council opened a hearing on a statutory 1% property-tax increase—staff said the 1% would add about $4,583 and keep revenue capacity stable against rising costs—but the council tabled adoption until Nov. 19 to allow further review.
Mayor Marla Keethler opened a public hearing at 7:40 p.m. on Resolution No. 2025-11-631 to consider taking the statutory 1% property tax increase for 2026.
Director of Finance and Operations Jennifer Neil presented the revenue outlook and explained the city's constrained property-tax capacity: Washington cities are limited to a 1% annual increase in property-tax levies while costs often rise faster. Neil estimated the city’s 2026 assessed value at about $736.8 million. Taking the 1% levy increase would raise approximately $4,583 over the prior year—bringing the total levy to roughly $467,000—and the levy rate per $1,000 of assessed value would fall from $0.66 to $0.63 because of rising valuations. Neil said new construction is expected to contribute about $4,160 in additional revenue during the year.
Neil also described other revenue drivers: projected sales tax revenues of approximately $696,000 for 2026; White Salmon’s share of a new Klickitat County criminal-justice sales tax estimated at about $40,000 (the city is budgeting 75% of that conservatively for 2026); and estimated interest earnings of $189,000 across funds based on a 3.5% LGIP rate. She noted a decline in short-term rental activity—about 15 fewer permits—affecting lodging-tax receipts.
Neil characterized the 1% levy increase as a maintenance action to preserve current service levels amid rising personnel and insurance costs and not as an expansion of services. Mayor Keethler said council could adopt the resolution that evening or at a future meeting, but it must be adopted no later than Nov. 30 to meet county reporting deadlines. With no motion offered during the meeting, Keethler tabled the levy decision to the Nov. 19 council meeting.
No public testimony was offered during the hearing. Council asked clarifying questions about the definition of "new construction" and confirmation that it refers to structures added to the tax roll once assessed. The council received the presentation and tabled action to allow time for further consideration as part of the budget process.
