BLAINE, WA (MyBellinghamNow.com) – The Blaine City Council has approved a 1% property tax levy increase for 2027.

The levy passed Monday, Nov. 9 in a five-to-one vote. According to city meeting documents, the increase is expected to generate an additional $16,300 in revenue.

The council also unanimously approved the city’s 2027 budget, totaling approximately $52.9 million in expenditures. That’s about a 19% increase over the 2026 budget.

A closer look at the budget shows that some of the largest spending increases are concentrated in the city’s water, wastewater and transportation infrastructure.

The Wastewater Fund accounts for the largest increase, with expenditures rising approximately $3.56 million, from $7.05 million in 2026 to $10.61 million in 2027. That’s an increase of about 50%.

Transportation Capital Improvement spending is increasing by approximately $2.77 million, bringing its budget to $6.92 million. The Water Fund is also seeing a significant increase, with expenditures rising about $2.54 million to support infrastructure upgrades.

Other notable increases include $626,781 in the General Fund and approximately $563,000 in the Transportation Benefit District.

Combined, those five funds account for approximately $10 million in additional spending compared with 2026.

However, not every department or fund is seeing an increase. The Electric Fund budget is decreasing by approximately 20%, from $13.2 million to $10.5 million.

Public Works Administration spending is also decreasing by about $188,000. The Hotel/Motel Fund is down approximately $73,000, while the city is eliminating spending associated with a $50,865 payment on the 2006 Whatcom County EDI loan, which has been paid off.

Overall, the city’s projected ending fund balance is expected to increase from approximately $25.4 million in 2026 to $31.2 million at the end of 2027.

That represents an increase of about $5.8 million in projected reserves.

The city is projecting $49.2 million in revenue in 2027, about $3.7 million less than its projected $52.9 million in expenditures.

The city will draw on its $34.9 million in beginning fund balances across various funds to cover the difference, leaving it with a projected combined fund balance of $31.2 million at the end of 2027.