Economic Recovery

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The broad nature of the economic downturn drives much of the economic activity, but Kirkland must work harder to produce results in filling dark storefronts and redeveloping underperforming centers. Business development was the lowest performing category on the city’s last survey. The city’s economic recovery and economic development efforts must be more effective to provide us the foundation to prosper as a city.

Since Sales Taxes are such a major factor in local government revenues, we must thrive economically to achieve many community goals. A vibrant economy makes possible many things we want in Kirkland, such as: parks maintenance, park improvements, infrastructure support, and many neighborhood amenities that are unachievable without strong business contributions. Improving the productivity of the business sector must be a top priority for the city.

For many, many years we had a real differential advantage over surrounding communities that attracted small and medium-sized businesses. We did not have a business tax other than enjoying the benefits of retail Sales Tax that businesses collected, processed and provided. We, then, added a business tax on the number of employees that largely took the differential advantage away for attracting new, medium-sized businesses. This is a tax I have not supported, and I believe its repeal would provide incentives that we need, right now.

Of course, the highest payoff business development opportunity is the Totem Lake neighborhood. There is pending litigation between the mall owners and the development firm over 13 malls across the nation. There is little we can do to affect that situation while the lawsuits are pending. However, if Totem Lake Malls can't be redeveloped because of the pending lawsuits, we must ensure that we have everything in place prior to the time that the litigation is settled. We want to be one of the first of the 13 malls to redevelop, not the last.

While we are stimulating the business sector, we don’t have to set aside our community values. We can work with businesses to best fit into Kirkland's community character, so we will all be successful and satisfied.