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Home My WebLink About07/08/2025 03.B. Resolution authorizing the submission of a ballot proposition for a property tax levy lid lift � ljlt ii! kill I I I&1-•' r I!I/ s• BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 3.B. For Meeting of: July 8, 2025 ITEM TITLE: Resolution authorizing the submission of a ballot proposition for a property tax levy lid lift SUBMITTED BY: Vicki Baker, City Manager Craig Warner, Director of Finance and Budget Sara Watkins, City Attorney SUMMARY EXPLANATION: Pursuant to motion at the July 1, 2025, City Council regular business meeting, staff was directed to bring back to Council a resolution which would put onto the November 4, 2025 ballot an increase in the City's regular property tax levy by 50 cents per$1,000.00 of assessed value, which would increase revenue in 2026 in the approximate amount of$6,000,000.00. ITEM BUDGETED: STRATEGIC PRIORITY 24-25: A Resilient Yakima RECOMMENDATION: Adopt Resolution. ATTACHMENTS: Yakima 2025 Levy Lid Lift Election Resolution.final.docx 90 RESOLUTION NO. R-2025- A RESOLUTION providing for the submission to the qualified electors of the City of Yakima at an election to be held on November 4, 2025, of a proposition authorizing the City to lift the levy limit established in RCW 84.55.010 in order to provide funds to pay costs of City operations and services, including public safety, parks and recreation, streets, and related services, and providing for severability and an effective date. WHEREAS, Washington State law limits the annual increase of a city's regular property tax levy to 1% plus an allowance for new construction, unless the voters of a city approve a levy lid lift permitting the collection of regular property taxes in a greater amount; and WHEREAS, the City of Yakima's (the "City") regular property tax levy is a major source of General Fund revenue paying for costs of the City's general government services, including public safety services, parks and recreation services, streets, and other related city services; and WHEREAS, the costs of providing such City services have increased over time due to economic inflation and growth in the City, yet the City's regular property tax levy has not kept pace with inflation and growth; and WHEREAS, existing constraints on the City's capacity to generate revenue for its General Fund have resulted in cutbacks to some services and threaten the City's ability to provide basic public safety, parks and recreation, street and other related services into the future; and WHEREAS, it is deemed necessary that the City increase its regular property tax levy rate $0.50 per$1,000 of assessed value for collection in 2026 and thereafter to use the resulting levy amount as the basis for computing the limitations for subsequent levies as allowed by chapter 84.55 RCW; and WHEREAS, the City Council deems it necessary to submit to the voters of the City the proposition of whether or not the City shall levy regular property taxes for collection in 2026 in excess of the limit factor provided for in chapter 84.55 RCW; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: Section 1. Findings. The City Council hereby finds the best interests of the residents of the City require the City to provide additional funds to pay for the costs of City operations and services as follows (the "City Services"): • Public safety and related services, such as crime prevention, police patrol and investigations, fire suppression and prevention and emergency management and preparedness; • Parks and recreation and related services, such as park maintenance, community center operations, senior recreation services and special events; and/or • Construction, maintenance and improvement of existing streets. 91 The City Council shall determine the timing, order and manner of funding the City Services and other uses of levy proceeds. The cost of all compensation, benefits, training, support services, equipment, vehicles, infrastructure, facilities, and/or administrative expenses and other costs incurred in connection with the City Services shall be deemed a part of the costs of such City Services. Section 2. Calling of Election Regarding the Levy of Additional Regular Property Taxes. It is hereby found and declared that the best interests of the City require the submission to the qualified electors of the City the proposition of whether the City shall levy regular property taxes above the levy limitations established in RCW 84.55.005 and RCW 84.55.010 for their ratification or rejection at an election to be held on November 4, 2025. For the purpose of providing funds to pay the costs of the City Services, the Yakima County Auditor, as ex officio supervisor of elections in Yakima County, Washington, is hereby requested to call and conduct such election to be held on such day and to submit to the qualified electors of the City for their approval or rejection a proposition to increase the City's regular property tax levy by up to $0 .50 per$1,000 of assessed valuation (to a total regular property tax levy rate not to exceed $2.46 per$1,000 of assessed valuation) for collection in 2026, as allowed by chapter 84.55 RCW. The 2026 levy amount will be used as the basis to calculate subsequent levy limits. Upon approval of the voters of the proposition hereinafter set forth, the City may use proceeds of such levy to pay the costs of the City Services as more particularly described herein. Section 3. Certification of Ballot Proposition. The City Clerk is hereby authorized and directed to certify the following proposition to the Yakima County Auditor, as ex officio supervisor of elections in Yakima County, Washington, in substantially the following form. The election shall be held by all mail-in ballot. CITY OF YAKIMA PROPOSITION 1 LEVY LID LIFT FOR PUBLIC SAFETY, PARKS AND RECREATION, STREETS AND OTHER RELATED CITY SERVICES The City of Yakima City Council adopted Resolution No R- 2025-xxx concerning funding for City services and operations. This proposition would provide funding to sustain City operations and services, including public safety, parks and recreation, streets, and other related services, by increasing the City's regular property tax levy by $0.50/$1,000 to a maximum levy rate of$2.46/$1,000 of assessed valuation for collection in 2026. The 2026 levy amount will be used as the basis to calculate subsequent levies, per RCW 84.55. Qualifying seniors, veterans, and others would be exempt, per RCW 84.36. 92 Should this proposition be approved? YES ❑ NO ❑ The City Manager and City Attorney are authorized to make such minor adjustments to the wording of such proposition as may be recommended by the Yakima County Auditor, provided the intent of the proposition remains clear and consistent with the intent of this resolution. Section 4. Exemption. If the ballot proposition set forth herein is approved by the voters, as authorized by RCW 84.36.381, senior citizens, disabled veterans, and other people with disabilities (as defined in RCW 84.36.381) shall be exempt from the tax increase resulting from such levy lid lift. Section 5. Local Voters' Pamphlet Authorized. The preparation and distribution of a local voters' pamphlet providing information on the foregoing ballot measure is hereby authorized. The pamphlet shall include arguments advocating approval and disapproval of the ballot measure. In accordance with RCW 29A.32.280, the arguments advocating approval and rejection of the ballot measure shall be prepared by committees appointed by the City Council. Each committee shall be composed of not more than three persons residing within the jurisdictional boundaries of the City of Yakima; however, a committee may seek the advice of any person or persons. The committee advocating approval shall be composed of persons known to favor the ballot measure, and the committee advocating rejection shall be composed of persons known to oppose the ballot measure. Section 6. Corrections by City Clerk. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this resolution, including the correction of clerical errors, references to other local, state or federal laws, codes, rules, or regulations, or resolution numbering and section/subsection numbering. Section 7. Severability. If any one or more section, subsection, or sentence of this resolution is held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this resolution and the same shall remain in full force and effect. Section 8. Effective Date This resolution shall become effective immediately after its adoption. ADOPTED BY THE CITY COUNCIL this _day of , 2025. ATTEST: Patricia Byers, Mayor Rosalinda Ibarra, City Clerk 93