The Hoquiam City Council is taking steps toward developing the city’s own Transportation Benefit District to fund street projects but will hold off on putting any proposal up for a vote until after things stabilize in the wake of the COVID-19 pandemic.
At its meeting Monday, the council approved a report from the public utilities committee to “adopt an ordinance to put a ballot measure before the voters to create a Transportation Benefit District.”
Aberdeen has had its own Transportation Benefit District since 2013, when voters approved a six-year 0.13% increase in the sales tax to fund roads projects. In 2019, the city approved a 10-year extension of the district, with the rate raised to 0.18%.
During the council discussion, some Hoquiam council members were concerned putting such a measure on a ballot during a time of uncertainty would hurt its chances of passing.
“With many people out of work it’s not a time to put something on the ballot,” said Ward 1 Councilman Paul McMillan. Fellow Ward 1 Councilman Dave Wilson agreed, as did Ward 4 Councilman Al Dick, who said “it probably wouldn’t have much of a chance I’d think.”
Finance Director Corri Schmid told the council the ballot measure would appear on any ballot the council chose. City Administrator Brian Shay explained that the council, at a later date, would have to adopt an ordinance to put the proposal on the ballot at a time when it felt appropriate. Mayor Ben Winkelman clarified Monday’s vote was to adopt the committee report, “it’s a separate motion to put it on the ballot.”
That explained, the council unanimously approved the report and will consider an appropriate time to put it on the ballot for voter consideration. Ward 6 Councilwoman Elizabeth Reid suggested in the interim educating voters about what the tax increase would go toward.
The amount of the tax increase proposed will be determined by the council before any public vote. By state law, a city is allowed a city sales tax increase of up to 0.2% for a Transportation Benefit District, which must be approved by a simple majority of the voters. Funds collected are required to be used for transportation projects that are included in a city’s transportation plan.
