The battle over the utility tax may get a little nasty as Mayor Jim Ferrell and some council members are not happy to have opposition trying to overturn their decision to implement an additional 7.75 percent utility tax.
With almost no warning, the first reading of the proposal passed on March 6. It was advanced to the March 20 meeting and passed again with the same 5-2 vote. Voting for the tax increase were council members Mark Koppang, Martin Moore, Lydia Aseffa-Dawson, Dini Duclos and Hoang Tran. Voting against were Susan Honda and Jesse Johnson.
Not only did the sudden surfacing of the issue come as a surprise to many citizens, but Moore, Tran, Johnson, Honda and Ferrell had all said in their elections last fall that they opposed a utility tax increase. Voters may have voted for them because of that commitment.
With the mayor and a majority of the council opposing the tax, the public didn’t pay much attention until it was almost too late. Then close to 200 unhappy people showed up in the council chambers.
Many people are feeling misled and are now involved in collecting signatures for a referendum to require a public vote. Signature gatherers report an angry populace that is very willing to sign. The fear is that with only 30 days to gather signatures, they could run out of time.
Local resident Jack Sharlock started the effort and was joined by three influential community leaders: incumbent state Sen. Mark Miloscia (R) and former mayors Jack Dovey and Linda Kochmar. The three sent a letter to the editor announcing where residents can sign petitions. The group needs more than 7,000 valid signatures to place the issue on the ballot, and may need closer to 8,500 to make up for any signatures that might be invalid.
In their letter, the three reminded readers of historical connections and stated “Federal Way citizens have always been given the right to vote for the utility tax.” They feel that should be the case now.
Regarding the tax itself, they state that the council action regarding the tax does not “specify what the money will be used for, other than to balance the budget.” Since the city says it is short about $850,000 and the subsidy for the Performing Arts and Events Center (PAEC) last year was over $600,000 and this year will be approximately $454,000, many residents fear this is the PAEC bailout tax for a project they did not get to vote on originally.
In an earlier ad – paid for with taxpayer dollars at a cost of approximately $1,000 and called a “Mayor’s Memo” – Ferrell had touted his reasons for wanting the tax increase and attacked as pessimists anyone who held a different opinion. Ferrell believes the budget shortfall is due to historical issues dating back many years. Others believe the city budget was in good shape when former mayor Skip Priest left office at the end of 2013, and feel the city has simply been spending beyond its means. Insiders say there have been no cuts in the budget and a hiring freeze wasn’t put in place until recently.
As signature gatherers worked the coffee shops, mall and neighborhoods, the battle escalated further this week when Councilman Mark Koppang, a supporter of the utility tax, sent a letter to the editor. Koppang links the need for the tax to more police officers, and is critical of council members who voted no (Honda and Johnson). He suggests a majority “no vote would have delayed the hiring of additional officers, and would require the return of the COPS Grant.”
However, opponents of the utility tax question why the mayor and the previous city council submitted a request for the COPS Grant for five officers, if they knew they couldn’t afford to pay their part of the grant without a tax increase, which now appears to be the case. Some view the police linkage as a red herring.
Koppang was also critical of Lakehaven suing the city and ”subjecting our city to legal fees to defend our position” rather than simply passing along the tax increase to its customers. However, city leaders have known since 2016 that Lakehaven would take that action if the mayor and council persisted with the utility tax, and should not blame Lakehaven for any legal fees the city incurs.
If the positions were reversed, city leaders would take the same position that Lakehaven has taken, protecting its customers. City government bears the responsibility for the current situation. Koppang also says “our city is not for sale,” although no one has said they want to buy it. That is a political spin and a reference to Lakehaven’s suggested compromise for the city to sell the French Lake Dog Park to Lakehaven and their belief that the price would come close to making up the amount the city says it is short. Some city insiders say they thought the shortfall was a one year issue, and with belt tightening, closer scrutiny of city spending and the infusion of cash from the sale of the dog park, the city could have avoided the tax increase.
The council started the year divided over the election of deputy mayor between Honda and Koppang, with fuel added by the personal nature of Councilman Moore’s comments toward Honda. It has now been further divided by a tax battle and questions about the candor of some of last year’s candidate field. The public had a right to believe that the positions taken by the candidates during the election last year were honest and could be trusted to last. This policy reversal may chill public trust in its city leaders. And the attacks by Ferrell and Koppang, on behalf of the council majority, over anyone who disagrees with them does not inspire the healthy civic debate we should encourage.
If enough legal signatures are collected in the short remaining time, the public will have the opportunity to vote on the topic. But the politics will be heavy and scare tactics are already in play. And if City Hall continues to spend taxpayer money to fight a citizen effort about spending taxpayer money, it will be sending the wrong message at the wrong time.
Federal Way resident Bob Roegner is a former mayor of Auburn and retired public official. He can be reached at bjroegner@comcast.net.
