City manager outlines three Transportation Benefit District scenarios and an Aug. 4 deadline for ballot placement

City manager Mark Sigler told the Shelton City Council on July 7 that the city faces a decision point on the Transportation Benefit District (TBD) and presented three scenarios that vary by sales-tax rate, reallocations of real-estate-excise-tax funds (REET) and general-fund contributions.

Sigler said the TBD currently collects about $750,000 a year at the existing two-tenths of 1% rate. Option 1 would require a one-tenth of 1% increase (to prevent depletion through 2030) combined with continued REET allocation of $275,000 and a general-fund allocation of $360,000. Option 2 would keep the two-tenths rate and shows fund balance depleting by the end of 2029 if current allocations continue. Option 3 assumes continued general-fund pressure and would use additional one-time fund balance that would deplete by the end of 2027 under the assumptions presented.

Sigler walked council through assumptions (including an assumed 4% inflationary increase and 1% gas-tax growth) and said the council must submit a resolution to the county by Aug. 4 if it wants a TBD measure on the Nov. 3 ballot; collections, if approved by voters, would begin April 1, 2027.

A council member moved to replace resolution 1445-026 on the July 21 action agenda for further consideration. Supporters said a TBD would stabilize street funding, reduce pressure on the general fund and help maintain pavement-condition targets.

No final decision was made on July 7; the council scheduled further consideration of the resolution on the July 21 agenda.