Mercer Island Tax Increase Headed To Ballot

MERCER ISLAND, WA - Mercer Island voters will decide this November whether to raise property taxes to prevent a structural city budget deficit. The City Council approved sending the issue to voters 6-1 Wednesday night.

Mercer Island is facing a structural deficit under the state's property tax rules. The city can only increase property taxes by 1 percent each year under state law - unless voters approve a higher increase. But the cost of city services is growing by more than 1 percent each year. On top of that, the city expects revenue from construction permits to drop in the coming years.

The city would face a $1.8 million deficit in 2019 without new revenue. That deficit would rise to nearly $7 million by 2024. If voters approve the tax increase, property taxes would increase by about $330 for the median priced home on Mercer Island ($1.3 million).

The city is seeking residents to volunteer to write the pro and con statements about the measure for the ballot. If you're interested, contact Assistant City Manager Ali Spietz at ali.spietz@mercergov.org.

Read more coverage of Mercer Island's budget woes:

• Fight Over Mercer Island Budget Fix Heats Up
• Mercer Island Tax Hike Recommended To Fix Budget Problems

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