City of Spokane Faces New Budget Deficit Amid Slowing National Economy, External Pressures

The City of Spokane grapples with a $13 million budget deficit as economic conditions worsen nationally. Mayor Lisa Brown detailed the challenges, including rising jail costs and federal contract uncertainties, which have compounded the issue. The Spokane County Jail's expenses have increased significantly, leading to $1 million in unexpected costs for 2024, despite a decrease in crime rates. Budget priorities focus on enhancing community safety and restoring city reserves, while administrative actions aim to find efficiencies through service centralization and staff reductions. The city will also suspend leave buyouts for non-represented employees to save funds.

Brown expressed confidence in closing the deficit while minimizing impacts on essential services and staff. The City Council will explore further cost-saving measures in a mid-biennial budget modification scheduled for late November. Spokane's budget challenges reflect broader trends faced by local governments nationwide.