Everett council approves 6% utility tax increase

EVERETT — The Everett City Council approved an increased utility tax rate on Wednesday that will bring money into city’s general fund as it faces the need to close a financial gap in the coming year.

The newly approved 12% utility tax will replace an existing 6% “payment in lieu of taxes” fee levied on the city’s water and sewer utility — which operates essentially identically to a tax — that was first implemented in 1983.

An official at a water and wastewater district based in south Snohomish County warned the city council Wednesday that the tax increase could face a legal challenge, though Everett’s attorneys said it had been carefully vetted by lawyers inside and outside the city.

The average ratepayer will pay an extra $12 per month on their utility bills due to the increase, city staff said, and the increase will impact all of the city’s utility customers. Everett supplies water services to about 670,000 people and sewer services to about 180,000 people across Snohomish County.

https://www.heraldnet.com/2026/05/28/everett-council-approves-6-utility-tax-increase/