Granted permission by a vote of the citizenry, Port of Port Townsend commissioners unanimously approved a 13 cent per thousand of assessed property value tax rate for the first year of their Industrial Development District levy.

The IDD allows the port to levy a tax every year for 20 years. The maximum amount that can be taxed is around $15 million over that 20-year period.

To collect that amount, the port is allowed to tax up to 45 cents per thousand of assessed property value, but in an effort to spread the tax collection out over those 20 years, port commissioners decided on a smaller amount, on the advice of port staff. Taxing this rate each year will spread out the $15 million evenly over 20 years.

“I advocate for continuing things in a predictable way,” said commissioner Steve Tucker.

This tax rate has only been approved for the year 2020. For the next 20 years, the commission will have to review and approve the rate each year.

The tax will generate around $809,354 per year in extra revenue for the port.

But the money won’t be seen immediately. While the revenue will begin to roll in next spring, the port has a plan to keep the IDD money in a separate account.

“We won’t be seeing any of this money until June,” said interim port director Jim Pivarnik. “At our next meeting we will present a resolution to open another separate account for this revenue.”

Port staff is hoping commissioners will approve the resolution to keep the IDD tax money in a separate, restricted account until a formal plan has been crafted, with the help of citizen input, on how to use the money. This resolution will likely be presented to the commissioners at their workshop meeting on Dec. 11.

“We’re currently working on our comprehensive scheme of harbor improvements,” Pivarnik said.

This includes details on all the infrastructure improvements the port needs, including the Point Hudson jetty replacement, the Quilcene marina dredging and dock replacement, the Boat Haven breakwater updates and C and D dock replacements, among many others.

A draft of that scheme might be presented at the Dec. 11 workshop, said Eric Toews, deputy director of the port, but it is also possible that presenting the scheme could be postponed until January, allowing commissioner-elect Pam Petranek to participate more fully.

Meanwhile, Pivarnik said he is hoping to wait until Petranek is officially on the commission to begin forming a citizens advisory committee to help decide where the tax revenue will be spent.

All three current commissioners have expressed the need for citizen input in the process.

“It’s up to us to be deliberate and demonstrate to people that their confidence in us was well placed,” said commission chair Bill Putney.