| The recent commercial construction boom in Gig Harbor has created the need for various infrastructure improvements — prompting city officials to adopt a 2008 budget that doubles last year’s expenditures. The majority of the extra spending will go toward capital projects, which account for 54 percent of the 2008 spending, compared to 29 percent in 2007.
“There’s a good number of projects we need to undertake due to development,” says Mayor Chuck Hunter.
The $70 million budget includes road improvements at the Burnham/Borgen interchange that are needed to accommodate the upcoming hospital. Another big project, estimated to cost about $10 million, will upgrade the city’s waste-water treatment plant.
“It’s been in the design stage since before I was in office,” says Hunter, who started his term in January 2006. “The problem is that development has gone so fast, it outstripped our ability to provide sewer (services).”
The city has more than 35 projects in various stages of planning, design or engineering, which Hunter says is “a lot more than in last several years.” “We’re busy guys,” he says. Several new positions have been added in departments such as planning and engineering to help accommodate the new workload.
When Target and Home Depot opened their doors in Gig Harbor North in 2001, the city went through unprecedented commercial growth. That proved to be just the beginning — many chain stores soon followed suit, with Gig Harbor North becoming a booming shopping district. Late last year, Costco and the YMCA, located next to each other, brought even more regional traffic to the area. The Y itself, with nearly 17,000 members just six months after opening (a much higher number than anticipated), has been so busy that members have had to park on the street during peak hours. But even before Costco and the YMCA significantly increased traffic in the area, city officials realized the traffic numbers originally estimated for Gig Harbor North were significantly lower, and infrastructure improvements would have to be made before the new Franciscan hospital can be built.
Hunter says about $10 million worth of interim road work is planned for that area, particularly to upgrade Canterwood Boulevard (the access road to St. Anthony’s Hospital) and the roundabout. The roundabout project is currently in the environmental permitting stage. Construction costs will be covered largely by a grant and impact fees.
“We’re also looking forward to the long-term fix, and we have some money in the budget for that,” Hunter says. The long-term fix will be financed through a so-called hospital benefit zone, which will allow Gig Harbor to bond against part of its future sales tax.
In addition to a still-growing Gig Harbor North, the Uptown Gig Harbor shopping complex opened last year, bringing extra commercial activity to the city’s west side. Several chain stores are already open there, and more are expected to open doors this spring.
Although the city of Gig Harbor’s population is currently only at 6,780 (compared to 6,350 in 2000 and 4,110 in 1998), Hunter estimates that about 50,000 to 60,000 people from the region use the amenities and services located in the city. Which means the city’s coffers are also benefiting from additional sales taxes. “It’s a little early to know the impact on the budget… All of those will certainly contribute to the funds the city will have,” Hunter says.
Even with the current boom, more commercial projects are still being planned, both on the west and north sides, and more undeveloped commercial land exists in Gig Harbor North. Hunter says the city is also trying to focus on downtown, with money in the budget to support the creation of a grass-roots Main Street association as well as perform some studies. “We’re working very hard to make sure our downtown stays viable too,” he says.
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