LYNNWOOD — Residents will have a chance Monday to weigh in on the city’s proposed 2027 regular property tax levy, which city officials say could rise by using previously unused “banked capacity” under state law. Lynnwood’s current regular levy is $8.9 million. It has $2,204,548 in banked capacity, which would bring the maximum levy without a vote to $11,104,548.
The Lynnwood City Council will hold a public hearing at 6 p.m. Monday, Oct. 26, in the Council Chambers at City Hall, 19100 44th Ave. W. The hearing is required under Washington state law before the city certifies its levy to Snohomish County by Nov. 30. City staff have shared that the statutory 1% cap has not kept pace with the rising costs of services such as police, roads, parks and recreation, and the municipal court.
Cities do not set a tax rate; they adopt a dollar amount of levy revenue. The county then calculates the rate based on total assessed value. State law generally limits annual increases in that levy amount to 1% without a public vote. Unused capacity from prior years can be “banked” and collected later without going to voters.
Mayor George Hurst’s preliminary 2027-2028 budget assumes the city will collect the full banked amount. For an average Lynnwood home valued at $676,300 by the Snohomish County Assessor, that would add roughly $128 a year, or about $10.70 a month. The city’s share of a typical property tax bill was 9.7% in 2026. The average total residential property tax bill in Lynnwood that year was $5,352. The city’s overall assessed valuation stands at $11.6 billion.
After Monday’s hearing, the council is scheduled to vote on the 2027 levy Nov. 9 with certification to the county occurring no later than Nov. 30. The hearing was moved earlier in the budget calendar so the council would know the levy amount before finalizing the broader 2027-2028 budget, which is still set for adoption later in the year.
Property tax relief remains available for qualifying limited-income senior citizens and people with disabilities. For the 2026 tax year in Snohomish County, the disposable income threshold is $75,000, following changes from 2023 state legislation. Applicants must reside in their principal residence in the county for at least six months of the year. Information is available on the Snohomish County Assessor’s website.
Author: Lynnwood Times Staff
