Tacoma City Council Study Session – July 29, 2025
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Tacoma City Council Study Session – July 29, 2025
The Tacoma City Council held a study session on July 29, 2025, at 12:00 PM. The meeting featured two major agenda items: a presentation and discussion on proposed code updates and reauthorization of the Tacoma Creates program, and a review of Initiative Measure No. 2, which includes minimum wage increases, scheduling requirements, and other worker protections. No formal votes were taken; the session served as a forum for council questions and staff input.
Discussion Items
Tacoma Creates Program Updates and Reauthorization
- Mayor Woodards, Deputy Mayor Daniels, Councilmember Scott, and Councilmember Walker presented proposed amendments to Tacoma Municipal Code Chapter 1.55 and an ordinance to reauthorize the Tacoma Creates program and its one-tenth of one percent sales tax.
- Since 2019, Tacoma Creates has provided over $30 million in funding to more than 100 cultural organizations, supporting over 5,000 programs and reaching more than four million participants.
- Proposed code changes include: creating a new capital funding category (up to 6% of revenue, approximately $480,000 per year based on $8 million revenue), increasing administrative funding from 8% to 14%, requiring collaboration with Tacoma Public Schools on out-of-school time programming, and adding a council touch point for a high-level budget overview.
- Councilmembers asked about flexibility of the capital bucket, whether unspent capital dollars would revert to programming, how the capital percentage was determined, and the impact on small organizations. Staff clarified that capital funding could be used in addition to programming funding, and that unspent capital funds would be reallocated to other eligible categories. The six percent figure was based on historical requests and a desire to provide around $1 million per biennium.
- The advisory board will continue to approve all funding allocations. The council will have an annual report requirement.
- Timeline: first reading is scheduled for August 19, 2025, with flexibility to adjust if needed.
Initiative Measure No. 2 Review
- City Attorney Chris Bacha and Interim City Manager Hyun Kim presented an FAQ addressing council questions from a previous session.
- Initiative 2 proposes minimum wage tiers: $20 per hour for large employers (500+ employees), $18 for medium (15–500 employees), and $17 for small (15 or fewer), with annual cost-of-living adjustments. Large employers would see increases start January 1, 2026; medium and small employers on the same timeline, but effective date is uncertain due to drafting ambiguity.
- The initiative also includes fair scheduling provisions (14-day advance written schedules, employee right to decline changes), fair access to hours (offering additional hours to part-time employees before hiring), and a rebuttable presumption of retaliation for adverse actions within 90 days of exercising rights.
- Staff highlighted significant gaps: no reliable data on the number of businesses or employees affected, unclear applicability to employees working partially outside Tacoma, and challenges with enforcement. Enforcement could cost tens of millions of dollars if fully implemented, based on a comparison to 2015 minimum wage enforcement ($1.5 million) and the need for a new office.
- Councilmembers expressed concerns about the impact on franchises, nonprofits with national affiliations, remote workers, and the city’s own workforce. The initiative’s vagueness was noted, particularly regarding definitions of “adverse action,” “hazardous workplace,” and how to count franchise employees.
- No action was taken; the council will continue to gather information. A fiscal assessment was proposed but not authorized due to time constraints.
Key Outcomes
- Tacoma Creates: Council will proceed with first reading on August 19, 2025. Public comment will be available at subsequent city council meetings. No vote was taken at this study session.
- Initiative 2: The council did not take any action. Staff will update the FAQ with additional questions raised and provide it to the public. The council acknowledged the need for more analysis but faces a 30-day charter deadline (from July 10 validation) to either adopt the initiative or place it on the ballot. No formal decision was made.
- City Manager’s Report: Upcoming ceremonial items were noted (August 3 Neighborhood Celebration Day and Tacoma Police Explorers recognition) and a public hearing on a rail property lease.
Meeting Transcript
I'd like to call the city council study session to order of July 29th, 2025. Clark, will you please call the roll? Councilmember Bushnell. Present. Deputy Mayor Daniels. Here. Councilmember Diaz. Here. Councilmember Hines is absent. Councilmember Rembaugh? Here. Councilmember Sidalgay? Here. Councilmember Scott. Here. Councilmember Walker. Here. And Mayor Woodards. Here. And the materials, updated materials were sent at 1108 a.m. Great, thank you very much. All right. Today we have several agenda items, but we're gonna move on because we have such an incredible crowd here this afternoon. We're gonna go ahead and move. We're gonna go ahead and address other items of interest first today. And uh that's gonna be around Tacoma Creates. So we're gonna move on to our second agenda item, um, which is a council considerate rec Council Consideration request on ordinance on an ordinance to update the Tacoma Municipal Code chapter 1.55 for to for the Tacoma Creates program and another CCR, which is an ordinance to reauthorize the Tacoma Creates program and one-tenth of one percent and use us one one-tenth of one percent sales and use tax. So we're gonna take those both uh while they're on the agenda as two separate items. We're gonna take those both up at the same time this morning or this afternoon. So I'm gonna call on myself to get started. So um uh let me start by saying that um Deputy Mayor Daniels, Councilmember Scott, and Councilmember Walker and I are excited today to share an overview of the work that we've been doing for the past several months on Tacoma Creates. Um, I wanna say right up front that all of the co-sponsors are committed to Tacoma Creates. It's why we've put in so much work on it. Each of us truly believes that our arts, cultural, heritage, and science organizations are the heart and soul of this community. Um we are an art city. I just had my meeting today with the Tacoma Arts Commission, and um I got my yearly update, and it was my last yearly update, but I was saying how much I really enjoy um hearing from them and the great work that they do. Um and and how glad I am to live in a city that is so supportive of the arts. Um, and so we're excited about this opportunity, um, and we're really pleased that we had the chance to be champions for Tacoma Creates, like all of you who are here today. So, as I just said earlier, as I just said a moment ago, we have two CCRs to present today. The first CCR is a set of proposed code changes to Tacoma Creates, and the second CCR is in support of reauthorizing Tacoma Creates with councilmatic authority. Um, our presentation today will focus mainly on the code updates that we're suggesting, but before we dive into those updates, we want to share a few reasons that um that really explain why we believe Tacoma Creates should be reauthorized. Um, as many of you know, Tacoma Creates is our cultural, is our city's cultural access program, and it is funded by a local sales tax of one-tenth of one percent. Tacoma Creates help fund helps fund uh nonprofit organizations with a primary purpose to advance or preserve arts, culture, heritage, or science. Since 2019, Tacoma Creates has provided over 30 million dollars in funding to more than a hundred cultural organizations. Those organizations have in turn produced more than 5,000 programs and events, reaching more than four million participants. In 2018, voters passed Tacoma Creates with strong support. As a matter of fact, it passed in every single precinct within the city of Tacoma. And since then, we have consistently heard overwhelming positive feedback about the program and the vital role it plays in supporting our cultural organizations and our creative economy. Tacoma Creates was originally established as a seven-year program, so it is set to expire in 2026. However, the state has given cities the authority to reauthorize their cultural access programs with councilmatic action.
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