The Oak Harbor City Council unanimously passed a non-resident business license threshold increase Tuesday, which will save around 75 businesses from paying a fee.

Everyone on the council was in attendance except for Mayor Pro Tempore Tara Hizon, who was excused.

Oak Harbor Finance Manager Chas Webster introduced the amendment to ordinance 2028 and resolution 25-21.

“We are required to update our business license ordinance from time to time due to changes at the state level,” she said. “This required change affects non-resident or out-of-city businesses who conduct commerce within our city.”

If a business is physically located outside city limits, but conducts business within city limits, its license fee is determined by gross annual income earned within this city’s limits, according to her presentation. Currently, if those businesses’ gross annual income is less than $2,000, the license fee is free, but that $2,000 threshold will soon increase to $4,000. The change will become effective Jan. 1, she said. The state’s Business Licensing Service requires a 75-day notification prior to the effective date, Webster added.

“I looked through our current list of businesses, and this will likely affect about 75 of our non-resident businesses who will be happy to have some relief to not having to pay that license for each year,” she said.

The city’s revenue is projected to be approximately $215,000 by the end of the year, Webster said. With the reduction of license fees from the potential 75 nonresident businesses, about $3,700 in revenue will be reduced, which is small relative to the total projected revenue, she noted.

No public comments were received. Ordinance No. 2028 to amend Oak Harbor Municipal Code Section 5.01.030, and Resolution 25-21: Master Fee Schedule Business License Threshold, both passed unanimously.