Seattle City Hall 2026 budget guidance 2 cuts for public safety, homelessness, 8 for everything else

Seattle's City Council anticipates significant budget cuts, projecting a $240 million deficit through 2026. Mayor Bruce Harrell's administration will enforce a 2% reduction for the Seattle Police Department and homelessness services, while other city departments will endure an 8% cut. The city has frozen non-essential travel and hiring as part of its strategy to address the financial challenges. Councilmember Alexis Mercedes Rinck, who leads the Select Committee on Federal Administration and Policy Changes, seeks to explore progressive revenue options to counteract funding cuts. The city's budget issues are partly due to previous financial chaos and rising inflation, which has accounted for 80% of recent budget increases.

Additionally, the city's JumpStart tax on large employers has proven unreliable as a core revenue source. An updated revenue forecast will be announced in August, providing further insight into the city's financial outlook. The situation underscores the ongoing challenges Seattle faces in balancing its budget amid economic pressures.