MLT Council to review budget, property tax levy, housing plans, update fee schedules Nov. 13

The Mountlake Terrace City Council is scheduled to hold a work session Thursday, Nov. 13 to review major planning documents and several proposed resolutions to update city fees.

A key focus of the meeting will be a presentation on the draft Housing Action Plan (HAP). The HAP is designed to translate the city’s Housing Element goals into 42 concrete actions aimed at supporting housing production, increasing housing diversity, investing in centers, incentivizing affordable units, and preventing displacement. 

The plan identifies steps the City can take to increase housing options and affordability and provides a roadmap for staff and elected officials. The City plans to accommodate 7,683 additional housing units and 13,424 residents by 2044, necessitating the measures outlined in the plan. A public hearing on the HAP draft is scheduled for Dec. 4.

The Council will also review three separate resolutions to adopt updated fee schedules: 

• Community and economic development fees: Staff proposes adjusting some fees for 2026 to more accurately reflect required staff time, remove fees that are no longer needed, add fees for over-the-counter minor remodel permits, and add a re-inspection fee for residential rental housing inspections. The objective is to meet the Council’s five-year cost recovery goal for development services while maintaining equity in permit fees for homeowners.
• Recreation fees: The annual review covers the five-year schedule for 2026-2030, with adjustments based on market conditions, costs and the city’s financial policy requiring cost recovery for the recreation fund. The Recreation and Park Advisory Commission recommended approval of the proposed fee adjustments on Oct. 14.
• Engineering fees: The resolution proposes adopting the Civil Engineering Construction Development Fee Schedule for 2026, with no change to the underlying permit fees from 2025. However, utility connection fees for storm, sewer, and water are proposed to increase by 5.9% from 2025 to 2026, reflecting the Seattle Area Consumer Price Index and Utility Comprehensive Plan recommendations.

In addition to reviewing the fee schedules, the Council will address several financial topics:

• 3rd Quarter financial report: The City’s finance director will summarize actual-to-budgeted revenues and expenditures through the end of the third quarter of 2025. Highlights include development fees being lower than forecasted and several capital projects being postponed to 2026.
• Biennial budget amendment: The review covers modifications required for the 2025-2026 biennial budget, including updating beginning fund balances (which are approximately $4.7 million higher than originally budgeted) and revising the timing of capital projects.
• Property tax levy: Council will review an ordinance proposing to adopt a 1% increase in the regular property tax levy for collection in 2026. State law allows cities to increase their property tax annually up to the Implicit Price Deflator or 1%, whichever is lower.

All three fee schedule resolutions, along with the Biennial Budget Amendment and the Property Tax Levy ordinance, are tentatively scheduled for a public hearing and vote at the subsequent Council meeting on Nov. 20. 

This meeting will start at 7 p.m. Nov. 13, at Mountlake Terrace City Hall, 23204 58th Ave. W., Mountlake Terrace. To attend the meeting online, visit zoom.us/join and enter meeting ID 810 1113 9518; no passcode is needed.

To make a public comment remotely, complete the registration form within 24 hours of the meeting’s start.

To listen via telephone, call 1-253-215-8782 and enter the same meeting ID.

You can also view livestreamed meetings and past video recordings at www.youtube.com/cityofmlt.

The agenda can be viewed on the city’s website.