The Chehalis City Council unanimously voted Monday to enter contract negotiations for annexation consultant services and consultant services to perform an impact fee study.
After the two measures were initially brought to the council as resolutions, which require two readings, the councilors voted to approve both on a first and final reading instead.
The Washington state Office of Financial Management requires that a code city or town annexing populated territory must conduct a door-to-door census within 30 days of the annexation being certified.
The City of Chehalis approved an interlocal agreement with Lewis County regarding the annexation of its urban growth area on Nov. 24, 2025, and the Lewis County Board of Commissioners approved its end of the agreement on Dec. 2, 2025. Annexation remains under review by the Lewis County Boundary Review Board.
Due to the annexation area acreage, estimated population, and preliminary consultant discussion, the fiscal impact of the census is anticipated to be between $50,000 and $60,000, according to city staff. Refined numbers will be provided at the conclusion of contract negotiations where the contract will be brought back to the council for approval consideration.
City Manager Stacy Denham said Monday that between 2,000 and 2,500 residents are located in the annexed area.
In the city’s agenda report for the impact fee study contract, city staff noted that four specific areas could be affected by impact fees: transportation, fire and EMS services, parks and schools.
Consultant interviews have been conducted, and a preferred consultant has been selected. The total cost for an impact fee study will be negotiated through a contract for professional services with the preferred consultant. Upon successful contract negotiations, the proposed contract will be presented at a regular city council meeting for consideration of approval.
The city said in its resolution that the institution of impact fees will offset impacts to services.
