City Council approves sales tax increase for affordable housing

BELLINGHAM, Wash. — Sales tax is on the rise in Bellingham.

The City Council voted unanimously Monday night to impose a one-tenth of one-percent sales tax to help fund programs said to help create affordable housing.

The increase goes into effect on July 1st and will add one cent of sales tax to a $10 purchase.

The roughly $3 million it will generate annually will augment a program that’s been funded by property taxes since 2012.

That fund has provided more than 600 units of affordable housing in Bellingham, including the new Samish Commons building on the site of the old Aloha Motel.