Split support of property tax hike at town hall meeting

Two topics emerged as hot button issues during Thursday’s Town Hall meeting: a possible property-tax hike to fill the county’s 2010 budget gap and the Critical Areas Ordinance.

Property-tax increase

“This is not just about the economy,” auditor Milene Henley said. “After I-747, which limits property tax collection increases to one percent per year, San Juan County and all other Washington counties have been heading toward this.”

Henley, along with County Council Members Richard Fralick, District 4, Orcas West, Gene Knapp, District 5, Orcas East, and County Administrator Pete Rose spoke to a packed house of islanders on Aug. 6 at the fire station.

The council has set a proposed 2010 budget that will fill the shortfall of roughly $720,000 that appears to be in store for the coming year. The preliminary budget calls for elimination of nearly all discretionary spending, such as the long-standing support for senior services, parks and WSU’s Extension programs, like 4-H, beginning next year.

The council is weighing the option of putting a measure on the November ballot that would ask for voter-approval on a property-tax increase as a means of supplementing county coffers. The current property tax rate is 48.336 cents per $1000 assessed value, which is one of the lowest in the state. The council will decide on Aug. 11 whether to move forward with the increase; if the vote is yes, they also will decide whether it will be a 10- or 15-cent hike, which, at 10 cents, would raise roughly $800,000 and add $45 onto the annual property-tax bill of a $450,000 home. If the increase is passed, the additional funds would go to the specific programs that are set to be cut. The council will also determine on Aug. 11 if the lift would be temporary (between three to six years) or permanent.

Public opinion at the meeting was mixed. David Sarver commended the council for the “courage and wisdom to talk about the only sensible solution to the county’s needs. We have low taxes here, and it’s time to raise them. I thank you for considering this.”

While others in the audience told the council that local citizens need tax relief, not an increase.

Cindy Carter said that when combined with the other taxes that San Juan County residents have to pay, it would be a burden.

Some thought that by raising taxes it would mean vital community members – like teachers – would be penalized and forced to move.

The council members passed out ballots to gauge public opinion; the survey was not intended to be scientific. Three options were presented: no tax increase, a temporary tax increase, or a permanent tax raise.

Councilman Fralick reported to the Sounder that 85 ballots were collected. Forty-nine percent voted for no tax raise, while 51 percent wanted some kind of levy lift option. Of that number, 21 percent voted for a permanent levy of 15 cents/$1000, while 79 percent supported a temporary lift. Of that grouping, 29 percent would limit the raise to 10 cents, and 25 percent would restrict use of the tax money collected.

Critical Areas Ordinance

Cities, towns and counties, like San Juan, whose long-range planning is dictated by the state Growth Management Act, are required to periodically revise their local rules governing critical areas. Those areas include wetlands, critical aquifer recharge areas, areas prone to frequent flooding, steep and unstable slopes, and fish and wildlife habitat. San Juan County received an extension for revising its CAO, as did many other counties, after missing a 2005 deadline.

Since the public meetings began several months ago to review the county’s draft plans, opinion has been divided. Some say changes need to go further to protect the county’s shorelines, and they propose a 150-foot building setback from the shoreline and 100-foot setback from wetlands. Others say current setbacks are adequate.

Many at the town hall meeting felt the public comment time has not been sufficient, and the uplands draft, which is set to go before the council this month, needs more time for public review. If the council okays the draft, it will go on to the planning commission, which will hold public hearings and then make a recommendation to the council. Additional public hearings will be held before the council makes a decision, most likely in 2010.

“The public process is far from over,” Fralick told the Sounder.

John Evans, who was on the citizens’ committee that helped craft the CAO draft plans, feels some of the proposed regulations are too restrictive.

“Please pay attention,” he urged the audience. “It affects every property differently.”

Drafts of the CAO are available at the county website, www.co.san-juan.wa.us.

Sign ordinance

The sign ordinance, which has been in effect since 1998 and limits off-site and special event signage in the Eastsound UGA, also came under scrutiny. Many cited Orcas Center as a prime of example of an organization that benefits from advertising its events on sandwich board signs.

Councilman Knapp asked the room if anyone supported the sign ordinance the way it is, and no one raised a hand.

“I agree that the ordinance is not working the way it is,” Fralick said.