- Skagit Bay is a bay and strait located in the U.S. state of Washington. It is part of the Whidbey Island Basin of Puget Sound. The Skagit River empties into Skagit Bay. To the south, Skagit Bay connects with the rest of Puget Sound via Saratoga Passage and Possession Sound. The boundary between Saratoga Passage and Skagit Bay is between Polnell Point on Whidbey Island and Rocky Point on Camano Island. To the northwest, Skagit Bay connects to the Strait of Juan de Fuca via the narrow strait of Deception Pass. A third waterway, the Swinomish Channel, connects Skagit Bay with Padilla Bay to the north.