Transportation Benefit District

In 2023, Redmond formed a Transportation Benefit District (TBD) to fund maintenance and improvements to city streets, public transportation, strategies aimed at maximizing safety and traveling choices, parking facilities, and other transportation projects designed to reduce congestion. 

Please participate in the ranking exercise below to help prioritize how TBD funds are invested. 


Background

A city may form a TBD by passing an ordinance, defining the geographic area and transportation benefits to be funded. On May 2, 2023, at their regular business meeting, by a unanimous vote, the City Council adopted an ordinance to form a Transportation Benefits District. The TBD will fund maintenance and improvements to city streets, public transportation, strategies to maximize safety and traveling choices, parking facilities, and other transportation projects designed to reduce congestion, through a sales tax increase of 1/10th of 1%. 

Read the draft ordinance.

At their June 6, 2023, regular business meeting, the City Council conducted a public hearing on an ordinance to assume the rights, powers, functions, and obligations of the Transportation Benefits District and to abolish the governing board of the TBD as an entity separate from the City Council. Immediately following the public hearing, the City Council voted unanimously to adopt the ordinance. Then during their June 20, 2023, regular business meeting, the City Council adopted by a 6-1 vote an ordinance imposing a 1/10th of 1% sales tax in the City of Redmond. 

Read the draft ordinance.

Transportation Benefit Districts are independent taxing authorities that can fund specific transportation efforts. There are currently over 110 TBDs in Washington state, established by cities and counties. TBDs primarily raise money through sales and use taxes or vehicle license fees, and Redmond’s TBD will impose a 0.1% sales tax on taxable sales within the city limits to raise funds.

Learn more about TBDs from the Municipal Research and Services Center or read the FAQs below. 


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