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Mercer Island raises taxes to pay for legal fight over I-90 changes

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Mercer Island's legal fight over access to I-90 will be paid for each time someone on the island turns on the water.

Beginning July 1, the city is adding a temporary water, sewer and storm water tax to pay legal bills.

"There's a lot of worry that traffic is going to be horrendous up here," said Mercer Island resident Scott Ashley.

Next week, the state plans to replace the express lanes in the middle of the I-90 bridge with new HOV lanes as Sound Transit builds light rail to the Eastside.

Drivers traveling alone between Mercer Island and Seattle will lose access to those express lanes, and also to a well-used on-ramp at Island Crest Way.

Ashley said people on the island are so concerned about the changes to I-90, he suggested the city council crowdsource the legal bills.

"Enough people on the island are interested in getting this problem resolved and my thought was there would be plenty of money coming in to fight the battle," Ashley said.

Instead, in what the city calls a precedent-setting move, on May 1 the council voted to raise water taxes for 18 months.

The tax is expected to bring in $700,000, which the city estimates is the minimum needed for the legal fight.

It will replenish a rainy day fund that the city is tapping to cover the next round of legal costs.

Officials say already, the city has allocated $1 million in surplus revenue from the general fund.

The city says the typical household will pay $78 more over 18 months with the new, temporary tax.

"I feel like taxes just got raised on the island and I feel like we already pay a little more in taxes and I feel it’s kind of unfair," said Mercer Island resident Tia Booker.

More than a decade ago, Seattle City Light had to refund customers after the courts ruled a utility rate hike to pay for streetlights was illegal.

Mercer Island officials said by email that their move is legal because they're raising utility taxes, not utility rates.

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