Everett Utility-Tax Increase Draws Concern From Neighboring Cities

Everett has increased its utility tax and is proposing an additional utility-rate increase, prompting concern from neighboring cities about the effect on utility costs and municipal finances.

The development was reported July 24, 2026, by The Daily Herald in Everett. It places two separate actions at the center of the discussion: an increase to Everett’s utility tax that had taken effect by that date, and a further rate increase that was still being proposed.

That distinction matters for residents, businesses and local governments. The tax increase is described as an action already taken. The proposed rate increase is not established as final.

Why neighboring cities are concerned

Other cities in the Everett area expressed concern about the financial and consumer effects of Everett’s changes. Utility-related decisions can affect the bills paid by households and businesses, while also changing the revenue available to a city government.

The changes may also matter beyond Everett’s city limits because utility costs can shape the finances of neighboring jurisdictions connected to the same regional utility system. For cities, a higher utility cost can affect municipal operating budgets and the cost of providing services. For businesses, it can become part of the cost of operating in the area.

The reported concerns therefore extend beyond whether Everett customers will see higher charges. They also involve how utility decisions made in Everett may affect nearby cities’ budgets and the broader cost structure for customers and public agencies in the region.

What is known about the changes

The HeraldNet report identifies Everett’s utility-tax increase and a proposed utility-rate increase, but the public records cited for the report do not state the exact tax percentage, the amount or percentage of the proposed rate increase, or a final approval date. The affected customer classes and specific utility services are also not fully specified.

That leaves the size of the potential change unresolved. Without the underlying city ordinance, rate filing or utility notice, it is not possible to calculate how much a household, business or neighboring municipality might pay.

The City of Everett maintains a public news-release repository that includes utility, transit and other municipal actions. The page does not identify a newer official release with a final rate amount or implementation date in the records cited for this report.

What happens next

The next significant step is whether Everett’s proposed rate increase receives final approval and, if so, when it would take effect. The proposal should be distinguished from the utility-tax increase already reported as having occurred by July 24.

Until Everett releases or otherwise publishes the final rate details, the practical effect on individual bills and municipal budgets remains unsettled. Neighboring cities’ concerns show the issue has regional financial implications, but the amount of those effects depends on the final rates, the services involved and the customers covered.