Mayor's Corner

by Mayor Ed Stern

City Administrator's Vennlig Hilsener

By City Administrator Rob Gelder

As you can see in the newsletter articles this month, there is a lot going on in the City of Poulsbo!

One item that I would like to draw your attention to is the Poulsbo Events & Recreation Center (PERC) which has reach some milestones after nearly a decade in the making. With the contract approved for the construction of Phase 1, we will be planning an official groundbreaking the morning of April 25th. This is a wonderful milestone that commemorates the efforts and contributions of so many people and organizations. About two-thirds of the funding is made possible through the Kitsap Public Facilities District (KPFD), which is a wonderful investment in Poulsbo and North Kitsap. And it wouldn't be possible without the staff and elected leadership that have stewarded the project along the way. The PERC is truly one of those legacy projects that will improve the quality of life for so many for decades to come.

Housing, Health and Human Services Department Update

H3 Housing Group Recommendations Presented to City Council-April 8

In late 2025, Housing, Health and Human Services created an ad-hoc committee to make recommendations, to City Council, on how local affordable tax funds should be spent. The goal of the group, which met three times between October-December 2025, was to create a short, actionable list of suggestions. The Committee considered ideas with potential to:

•Increase housing opportunities for individuals at 60% and lower AMI

•Create new units of STEP housing (shelter, transitional, emergency, and permanently supportive housing)

•Give Council flexibility to meet changing needs of Poulsbo residents

•Create opportunities for City efforts to align with other jurisdictions

•Leverage the knowledge and efforts of the for profit development community

H3 Director Hendrickson and members of the Committee will discuss their recommendations with Council at a workshop session on April 8.

Welcome new intern Jason Seipp—first intern at our Recovery Cafe

We are very pleased to bring our first Recovery Café Intern onboard. Jason Seipp is a Recovery Ranger at Olympic College with a passion for mentoring and education. He is a certified peer support specialist and recovery coach with a passion for helping people struggling with drug use and mental health issues. He’ll be spending the next few months with us learning about the City's approach to peer support, Café operations and Recovery Café Network principles-and strengthening our ties with the OC recovery community. Welcome aboard, Jason-we’re so fortunate to have you on the H3 team.

Planning and Economic Development Department Update

On March 11, the majority of City Council reaffirmed their commitment to launching paid parking in portions of our downtown this summer, as they originally indicated last spring with the passing of Resolution 2025-03. The Council will continue to discuss the specifics of paid parking on Wednesday, April 1 and Wednesday, April 15 at regularly scheduled city council meetings. The discussions will center on the location(s) of paid parking, how much to charge and on what days paid parking will or won’t be in effect. Council will consider a fee for Employee parking permits as well with a recommendation of $10/month. Council will also discuss their goals on improving the downtown parking experience through revenue generated by the paid parking program. The Council’s intent is to only make a portion of our downtown parking subject to an hourly charge and to maintain timed parking in the majority of our downtown. 

The Police Department will host an open house for those wanting to share any thoughts and get an update on downtown parking on Friday, April 10 from 9:00am to 10:00am. The city has held these open house meetings monthly since enforced time limits began in November 2025. 

Engineering and Building Department Update

Engineering Department Update-

All motorists should proceed through this intersection as a roundabout and yield to other motorists in the roundabout. Traffic impacts include traffic delays at this intersection. Construction is expected through late spring or early summer.

An open house for the Noll Road Corridor Improvements Project – Middle Segment took place on Tuesday, March 3, 2026, from 5:00pm -6:00pm in the City Hall Council Chambers. During the open house, the Project Manager provided an overview of the upcoming work and answered questions regarding the project. This phase will include the section between Hostmark Street and Mesford Road and will encompass road improvements, sidewalk installation, continuation of the Shared-Use Path, and illumination.

Please check our website for updates at https://poulsbo.gov/noll-rd-north-construction/. Thank you for your patience and understanding during this project!

PERC Phase 1 – The bid opening for the Poulsbo Events & Recreation Center (PERC) Phase 1 took place on Monday, March 9^th in Council Chambers. The PERC is a collaboration between the City of Poulsbo, the Kitsap Public Facilities District (KPFD) and the community to create a new public facility on Reliance Street in the Olhava area. The PERC will include outdoor sports fields, indoor recreation, and event spaces to serve as a destination for recreation in North Kitsap. This phase of the project consists of site work, street and sidewalk improvements, and construction of multiple buildings. The lowest bid was submitted by Neeley Construction. Construction is expected to begin this May. Please visit our website at https://poulsbo.gov/perc-updated for project updates. 

Building Department Update-

The Building Department issued 30 new permits during the month of February for a total valuation of $4,983,508.92. Permits include buildings for the Oslo Bay Apartment complex and Winslow Ridge development single-family homes. As always, monthly reports are available to the public on our website at https://poulsbo.gov/building-department. 

Electronic Submittal Feedback Survey

The Building Department would love to hear from you about our new electronic submittal process, which we implemented in January. Please visit the survey on the Building Department website at https://poulsbo.gov/building-department under “Building Department Update.” We appreciate your feedback as we continue to refine this process. 

Job Openings

The City of Poulsbo is currently hiring. Click here to learn more details about open positions!

Parks and Recreation Department Update

NEW CLASSES TO TRY FOR ALL AGES

We are offering 34 new programs for spring and summer, with more programs for summer to be added in the Summer Update that will be available in May. From Youth through Seniors, there’s something new for everyone! Here is just a small sample of our new programs:

Youth- Gymnastics/Dance Combo classes, Preschool Sports: Soccer, and Hop on Board: Intro to Skateboarding.

Adults- Sourdough 101, Beginning Watercolor (New evening classes!), Tie Dye and Beginner Glass on Glass Mosaic Art.

Seniors- New Coffee Club classes (Free for seniors): Kitsap County Division on Aging and Long-Term Care, SEA Discovery Center Presentation, Menopause and Beyond, and more. SAVE THE DATE for the National Senior Health and Fitness Day event on Wednesday, May 27. 

EARTH WEEK CELEBRATION, APRIL 20-26

Join us for an entire week of celebrating Mother Earth! We’ll begin with an Earth Day Celebration at Poulsbo’s Fish Park on Saturday, April 18 from 10:00 am-2:00 pm. We’ll continue during the week with Nature Art class, The Poulsbo Urban Tree Canopy Assessment Results Open House, Pollinator Pathway Work Party, Washington State Backyard Certification class, City Nature Challenge (a global BioBlitz event) and conclude with our Arbor Day Tree Planting and Guided Walk on April 26. For more information, see pages 44-45 of the Activity Guide.  Parks & Recreation > Class & Activity Brochure | City of Poulsbo.

Participants can choose from multiple race options including a 5-Mile or 1-Mile Run along Poulsbo’s scenic waterfront. This year, we’re excited to offer a Virtual Viking Fest Road Race 5K option that allows supporters to complete their miles anytime, anywhere — walking, running, biking, or swimming — while still contributing to the cause.

Every registration dollar stays local, strengthening recreational access for people of all ages and abilities.

Come support your community while enjoying the beauty of Poulsbo and having a fun time with friends and family! Register at https://runsignup.com/Race/WA/Poulsbo/VikingFestRoadRace.

APRIL IS NATIONAL VOLUNTEER MONTH

April is National Volunteer Month, and April 19-26 is National Volunteer Week. Poulsbo has an inspirational number of people volunteering their time and talents in our community! Whether through service clubs, churches, or just individuals wanting to make a difference to their community, they help meet challenges, build stronger communities, and progress our society. 

If you are a volunteer in any capacity, we thank and appreciate you! You inspire us every day. 

Finance Department Update

2026 Newly Adopted B&O Tax Code

The Poulsbo Municipal Code was updated January 1, 2026 for 2026 and future years business and occupation (B&O) taxes.

The new annual filing due date is April 15 of each year.

From 2026 forward, there is no longer a two-tier system of deductions. There is a single deduction for all classifications (Retail, Manufacturing, Wholesale and Services and Other).

2026 Quarterly Filers - All classifications (Retail, Wholesale, Manufacturing and Services & Other) will be able to take a single $31,250 deduction from their gross income. There will no longer be two different deductions.

2026 Annual Filers - All classifications (Retail, Wholesale, Manufacturing and Services & Other) will be able to take a single $125,000 deduction from their gross income. There will no longer be two different deductions.

Businesses who have filed current B&O taxes and have consecutively grossed under the threshold for paying tax are able to file an Active Non-Reporting form with the City for approval. Businesses who are granted Active Non-Reporting status will no longer file annual tax forms, unless annual gross income generated is more than $125,000. Businesses need to keep their business license and endorsement active while conducting business in Poulsbo.

Updated 2026 forms can be found on our website and with our Cashier on the third floor of City Hall.

QUICK FACTS

• Semi-annual 2024 and 2025 businesses will be exempt from paying the City’s B&O tax if annual gross revenue is less than $20,000. In 2026, businesses will be exempt from paying B&O tax if annual gross income is less than $125,000, but must file an Active Non-Reporting form to the City for review.
• Businesses who gross over $125,000 annually will submit B&O tax quarterly, businesses who gross under $125,000 annually are able to file an Active Non-Reporting form to the City for review.
• Non-profit organizations who are exempt from paying the City’s B&O tax are able to file an Active Non-Reporting Form to the City for review. However, if a non-profit business has a retail location, sells merchandise, collects retail sales tax, and/or remits tax to the state, then that income is B&O taxable.
• The tax rate for all classifications of business is .2%, (.002)

MAKING A PAYMENT

Per Revised Code of Washington 82.32.080 and Poulsbo Municipal Code 3.34.130, payment must accompany the tax return to be deemed received.

FileLocal: The preferred method for filing and paying Poulsbo B&O tax. https://www.filelocal-wa.gov/ FileLocal offers a Taxpayer Quick Start Guide which provides step by step instructions to set-up a business account and link it to Poulsbo to pay taxes. A UBI number (9-digit UBI, business ID and business location ID is needed and can be found on the Department of Revenue website), which is also the business Poulsbo account number. Online payments will be charged a convenience fee of $4.00, plus a $1.00 ACH debit service fee -or- 2.49% credit card fee for each form. No fees will be charged for a zero return.

Drop Box: Drop off completed form and payment either in the drive-up drop box located on 3rd Avenue or the walk-up drop box located at the top of the stairs just outside of the main entrance to City Hall located off Moe Street. These boxes are checked daily for payments.

In Person: Poulsbo City Hall, 3rd Floor, with Cashier during City Hall Hours: Monday – Friday (8:00am – 4:30pm), excluding holidays. Please note the front counter is closed each weekday from 12:15pm – 1:15pm for lunch.

Mail: Completed form and payment may be mailed to: City of Poulsbo – Cashier, 200 NE Moe St, Poulsbo, WA 98370. Ensure it is postmarked no later than the due date to avoid penalties.

Online: www.cityofpoulsbo.com, scroll down and click PAY A CITY BILL, scroll down and click OTHER CITY SERVICES PAYMENT and the payment portal will open. In the Pay a bill dropdown choose B and O Tax, click Next →, under Account Number or Reference, enter the UBI number and fill in the balance of information to complete the payment. Email the completed B&O tax form to: tax@cityofpoulsbo.com. 

RESOURCES

• Poulsbo Municipal Code Chapter 3.34 provides the code language for the Poulsbo B&O tax.
• Poulsbo webpage provides information regarding the B&O tax and forms to fill out and submit. Please click the following link: Business and Occupation Tax | City of Poulsbo 
• Alternatively, send an email to: tax@cityofpoulsbo.com for further information.
• FileLocal is a portal where businesses can create an account and pay B&O taxes. Please click the following link to access FileLocal: https://www.filelocal-wa.gov/
• Department of Revenue provides Washington state business licenses and endorsements for Poulsbo. Home | Washington Department of Revenue

Questions? Send an email to: tax@cityofpoulsbo.com or call (360) 397-9749.