POULSBO — The City of Poulsbo will collect about $5,300 in sales tax revenue generated by the Anderson Parkway reconstruction project, which begins on Tuesday.

The contractor is Seton Construction of Port Townsend.

In an email, Assistant Public Works Director Andrezj  Kasiniak said fees from grading and other permits “are very small.” But, “We are charging the project 8.6 percent sales tax.  If 1 percent comes back to the city [from the state], the city will receive 0.01 +/- $530,000 = $5,300.”

The project will cost $529,037, $18,000 less than the estimate by the city’s engineers. Funds come from a $270,000 Ecology grant for stormwater improvements, $125,000 from the city stormwater fund and $175,000 from the city road fund. Lighting will cost $40,228, covered by funds saved from the Noll Road improvement project, which came in $46,000 under budget.

The parkway will be repaved with pervious  asphalt. There will be bioswales and raingardens to filter pollutants from stormwater.

Decorative light standards, pedestrian crossings, and new sidewalks will be added.