Frequently Asked Questions on the Tax Levy

Does it affect me? The Proposition 1 tax levy affects everyone – renters, property owners, and small businesses. Landlords who pay higher property taxes quickly pass on those costs to their tenants in the form of higher rent. Small business usually rent their shop space; higher taxes flow down to them too.

How bad is it? Prop 1 will increase the City’s property tax rate 130% higher than the current rate. So – it’s bad! And this new City tax is on top of the higher tax for fire/EMS service that voters approved in April 2025.

Doesn’t the City need this money? They declared a fiscal emergency. The tax increase may seem necessary at first glance because the City is threatening to stop a lot of services if the voters say ‘No’, and promise to deliver on attractive programs if the voters say ‘Yes’.  But the City made a balanced budget by planning a much smaller tax increase. We need to vote ‘No’ in November and force them to follow their original budget. The City cannot spend all the money they were given in the 2025 budget. They have 31 budgeted positions that are vacant (ref. July 2025 monthly financial report).

Aren’t other cities raising taxes too? A city can only increase the property tax rate 1% each year. And that small increase is common. Any increase higher than 1% has to be approved by voters. A levy sent to the voter is rare – Edmonds last did that in 2011. Edmonds has never ever proposed this size of increase.

Here’s how Edmonds compares to other cities in Snohomish County. They are jumping from one of the lower taxing cities (blue bar) to the highest (red bar). (With respect to Stanwood and Sultan – you are not full blown cities.) The math of taxes gets worse – since Edmonds homes are one of the highest valuations in the County – a high tax rate times a high value means a very high property tax.  

Source: City Council meeting presentation

What options does the City have when the vote fails? The City has money in several accounts. Most significantly – over $70,000,000 in liquid investments. (ref. July 2025 monthly financial report). The City Council is divided on the size of the tax levy. It’s controversial. It’s the Council’s job to move money between funds so that parks, police, and administration continue to be funded. And it’s the Mayor’s job to do the type of economic development that will grow the tax revenues because the economy is growing.