State Treasurers Report Points Out Flaws, Inadequacies of Port-Proposed TIA

The Washington State Treasurer’s Office (STO) calls for the Chelan-Douglas Regional Port Authority to revise its tax increment area (TIA) proposal in Malaga. The port's plan diverts $195. 7 million from local taxing districts over 25 years, raising concerns about the impact on essential services. Chelan County Commissioner Shon Smith emphasizes that both the community and state officials are urging the port to reconsider its approach. The STO's review questions the validity of the port's "But For" finding, which claims that private development would not occur without public funding.

Commissioner Brad Hawkins asserts that the proposal represents a misuse of TIA law and advocates for a community-driven process. The STO also highlights the need for the port to address an $86 million funding gap and clarify how public improvements will promote private development. The report's release comes ahead of a scheduled vote by port commissioners on December 9, which could further alienate local stakeholders. Engaging in a collaborative approach may help rebuild relationships with local governments and residents.