Albany council weighs parcel tax to fund street trees and relamp city lights

Albany City Council on March 2 heard details of a proposed citywide parcel tax designed to fund a $1.3 million capital investment to relamp aging streetlights and to provide ongoing funding for street-tree maintenance.

Devorah Zotterer, program manager in public works, and Amanda Welker of consultant NBS presented three revenue scenarios: a conservative Scenario 1 that would raise about $405,000 annually; Scenario 2 to fully fund optimal tree maintenance and the lighting loan repayment; and Scenario 3, which adds a modest ongoing reserve. The relamping project carries an estimated loan repayment of about $185,000 per year, and staff estimated current unmet street-tree needs at roughly $600,000. Under the consultant's model the tax is based on parcel lot square footage (capped at 500,000 sq. ft. per parcel) and would need two-thirds voter approval to pass.

"This is modeled off the sidewalk parcel tax passed in 2024," Amanda Welker said, describing per-parcel ranges that (depending on scenario and lot size) put a typical single-family parcel in the neighborhood of $150 per year, condos around $40, and many multifamily parcels near $185. Large commercial parcels would pay proportionally more under the square-foot method; the consultant noted some of the largest parcels could be in the tens of thousands of dollars at the extreme cap.

Councilmembers pressed staff on whether the measure would only relamp existing fixtures or also fund new lights in darker areas. Public works director Mark Hurley said relamping replaces each fixture to updated standards—improving coverage and visibility without immediately adding many new poles—and that some additional lighting projects could be funded through the same capital program or later CIP work.

Several residents asked whether large commercial parcels would pay and which parcels would be exempt. Staff said parcels that do not receive a property tax bill (publicly owned parcels) would typically be exempt; commercial parcels, including large retail sites, would generally be subject to the tax and could be among the top payers depending on square footage.

Councilmembers voiced differing priorities. Some favored Scenario 1 as a conservative start; others said Scenario 2 or 3 would better allow the city to finance the relamping up front, build a small reserve and begin installing new lights so residents can see immediate improvements. The council asked staff to return with draft ballot language and a memo to put a measure on a November ballot if the council directs it later this year. Staff said, if approved by voters, the special tax would first appear on property tax bills in mid-2027.

The council did not adopt final ballot wording or set a specific dollar level at the meeting; staff will bring back a resolution, proposed language and additional analysis on split of funds between lighting and trees and estimated impacts on typical parcels.