POULSBO — After its paid parking vote Wednesday, Nov. 4, the Poulsbo City Council approved next year’s property tax levy, higher utility rates, $484,600 in tourism grants and the purchase of open space at the end of Fourth Avenue downtown.
Deputy Mayor Britt Livdahl left after the parking vote, so the rest of the business agenda was decided by six members.
Property tax levy
The council passed the 2027 property tax levy 5-1, with Councilmember Rick Eckert voting no. The levy on existing property rises $13,396, or about 0.4%. With new construction added, the city estimates a total levy of about $3.41 million.
Councilmember Doug Newell said a home assessed at the city’s median value of about $600,000 pays roughly $600 a year in city property tax, so the increase works out to about $2.40. He said the utility rate increase approved the same night adds about $18 a year in utility tax on water alone for that household.
Eckert said the city could find the same amount in its operating budget. “I’ll pay for my own trip to the AWC conference before I’ll vote to increase property tax,” he said. Councilmember Michael Fitzpatrick asked the mayor whether the city could start a joint conversation with the other agencies that levy property taxes, since together the levies add up.
Utility rates
With no discussion, the council approved on its consent agenda the ordinance raising water, sewer and stormwater rates Jan. 1. Each rate rises 6% on top of a 4.5% inflation adjustment. For a single-family home, the monthly base charges before usage will total $126.64. The city has said the increases are needed partly because its share of Kitsap County’s Central Kitsap Wastewater Treatment Plant project grew from $13 million to $24 million.
Tourism grants
The council approved the Lodging Tax Advisory Committee’s 2027 recommendations, 6-0. The committee recommended $484,600 for 18 applicants who had requested $646,413. That is $119,600 more than the $365,000 the city expects to collect in lodging taxes, and the difference comes from reserves. The largest award, $225,300, goes to the city for a special events coordinator, repairs to the Austin-Kvelstad Pavilion and a visitor-tracking tool.
Fitzpatrick, who chairs the committee, said the city’s own requests plus city costs passed on to event organizers came to about $275,000 of the $365,000 budget. That includes a $42,000 Viking Fest request to cover police and public works costs. He said this year’s awards bring reserves down to about one year of funding, so the city can’t recommend this much again next year. He also asked the council to decide whether tourism grants should go to small startups that say they will draw overnight visitors.
Fourth Avenue open space
The council voted 6-0 to buy land at the end of Fourth Avenue from Housing Kitsap for $75,000, including closing costs. The property adjoins other city land and will be kept as open space. City Administrator Rob Gelder said it allows a trail connection and supports a long-term goal of a central park at the north end of Liberty Bay. Housing Kitsap approved the sale Oct. 27. Stern, who sits on the Housing Kitsap board, said he recused himself there.
Budget hearing continues Nov. 18
The council held the first public hearing on the 2027-28 biennial budget. Former Councilmember Ken Thomas thanked the council for keeping money for the city’s Parks, Recreation and Open Space plan, and no one else spoke on the budget. The hearing continues Nov. 18, when final budget approval is scheduled. Finance Director Debbie Booher said the budget ordinance is set for adoption Dec. 16.
Eckert again asked the council to plan for another police officer. Newell said he did not see a program the city could cut to pay for one. Fitzpatrick said he expects to propose a budget amendment to keep paying for a peer support specialist in 2028. The preliminary budget covers the position only through 2027.
Other business
- The council voted 6-0 to raise the municipal court judge’s position from 0.52 to 0.65 of a full-time job, about 26 hours a week, starting in January. Gelder said new court calendars added to the workload and the agreement also fixes a salary error. The city has estimated the change at about $40,000.
- Third-quarter 2026 budget amendments passed 6-0.
- Stern will be at the National League of Cities conference Nov. 18, so Councilmember Rick Eckert will chair that meeting.
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