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Mayor Harrell Announces 2026 Budget Proposal with Focus on Affordability, Public Safety, Homelessness, and Protecting Local Priorities from Federal Threats 

by on September 23, 2025

Mayor proposes 2026 budget that makes record investments in affordable housing, doubles the CARE department’s crisis responders, and protects critical services from the Trump administration’s threats 

Seattle – Today, Mayor Bruce Harrell announced his 2026 budget proposal aimed at making progress on Seattle’s greatest challenges with investments in increasing affordability, improving public safety, addressing homelessness, and responding to changing federal policy and funding threats. 

While the City faced a nearly $150 million revenue shortfall and further financial risk stemming from the Trump administration’s threats to federal funding, the mayor’s proposal represents a balanced budget that that makes smart investments in local priorities and preserves the social safety net to advance his vision of a safe, welcoming, and thriving One Seattle. 

“In the face of continued federal uncertainty, our 2026 budget reflects a commitment to our local values and building strong, resilient communities,” said Mayor Harrell. “With a focus on proven solutions for the challenges of today – from affordability and homelessness to accessible food and childcare – this budget will keep Seattle on a positive trajectory and protect our residents from the chaos and disinvestments we are seeing out of the other Washington. Combined with proposals to cut taxes for small-and-medium sized businesses and a transformative education levy, we are meeting the urgent needs of Seattle communities and investing in all of the amazing things that define our city.”   

WATCH: Mayor Harrell Announces 2026 Budget 

EXPLORE: Budget Summary and Full Proposed Budget 

The proposed budget includes approximately $8.9 billion in appropriations overall, including $2.0 billion in General Fund. It fully preserves the City’s “Rainy Day Fund” and does not include any new layoffs of staff. 

Select highlights of investments in the mayor’s proposed 2026 budget include: 

  • $349.5 million investment in affordable housing, targeted at building needed affordable rental housing, housing for people exiting homelessness, and new homeownership opportunities – including $20 million for Seattle Housing Authority’s Northgate Commons redevelopment project.  
  • $225 million in homelessness response, including funding to open three new shelters with over 150 new non-congregate beds, building on the two new tiny home villages set to open this fall. 
  • $52 million for food investments, with $12 million in new additions, to increase access to healthy, nutritious foods including expanding the Fresh Bucks program and supports for food banks and farmers markets. 
  • $29.4 million to fund the Equitable Development Initiative (EDI) to prevent displacement and support property ownership and capacity building at community-based organizations – representing the largest EDI investment to date. 
  • $27.6 million targeted investment plan to safeguard essential services threatened by federal funding cuts, including backfilling shelter and housing vouchers, meal-access programs, and rental assistance.  
  • $23 million to support construction of 75 blocks of sidewalk and sidewalk alternatives to enhance pedestrian safety. 
  • $23.6 million to support Seattle’s vibrant arts scene, including permanent funding for Hope Corps to connect local artists and creative workers to employment opportunities. 
  • $13.2 million in enhanced supports for small businesses, part of a more than $40 million Office of Economic Development budget, including the Seattle Restored program to fill vacant storefronts with new small businesses and the Back to Business program to support small businesses impacted by vandalism. 
  • $11.7 million to increase human services provider contracts and support wage increases for these critical workers who serve Seattle’s most vulnerable neighbors every day. 
  • $7.4 million to expand the Seattle Fire Department’s (SFD) Health 99 post overdose team and add detox and residential treatment beds to help those suffering from substance use disorder. 
  • $4 million in a new fund that brings public safety efforts piloted Downtown and in Little Saigon to additional Seattle neighborhoods. These efforts have helped lead to a significant reduction in 9-1-1 calls, and are centered on improving public safety, promoting economic growth, and encouraging neighborhood renewal in neighborhoods like Lake City and Little Saigon.  
  • $3.6 million for removeable vehicle barriers at Pike Place Market and pedestrian safety infrastructure at the Seattle Center campus in advance of the FIFA World Cup games. 
  • $2.7 million to start the redevelopment of the Green Lake Community Center, renovating the 100-year-old building in one complete phase as a new state-of-the-art community hub. 
  • $2.1 million to add 20 new firefighter recruits, totaling 100 recruits in next class. 
  • $1.8 million towards reopening the Seattle Indian Health Board’s Thunderbird Treatment Center, and other investments in projects reflecting the priorities of Indigenous community partners. 
  • $100,000 to establish new sustainability and development standards for hotel construction to support development and stakeholder engagement. 

Next steps: 

City Council deliberations on the proposed budget begin on Thursday, September 25 with a presentation from City Budget Office Director Dan Eder. A series of presentations from City and Council staff follow over the next two months with scheduled public hearings on Tuesday, October 7 and Thursday, November 6.  

The Council currently plans on holding a final vote on the 2026 budget on Friday, November 21. 

What People Are Saying: 

Tuyen Than, Executive Director, Chinatown-International District Business Improvement Area (CIDBIA)

“The Mayor’s budget recognizes that public safety and economic growth go hand in hand. This investment toward cleaner streets, better lighting, and targeted public safety efforts, is not just addressing immediate concerns — it’s creating the conditions for long-term economic growth and community renewal.”

Erin Goodman, Executive Director, SODO Business Improvement Area

“In SODO, we’ve seen firsthand how impactful the Storefront Repair Fund has been- not just in helping small businesses recover after being the victims of crime, but in restoring confidence and stability in our commercial districts. We strongly support Mayor Harrell’s budget proposal, and we’re especially supportive of the expanded Back to Business Fund. It will allow the City to support businesses not only in the aftermath of incidents, but also by making proactive investments in crime prevention and public safety. This is the kind of practical, on-the-ground support our small businesses need to stay resilient and thrive.”

Quynh Pham, Executive Director, Friends of Little Saigon

“The Mayor’s Downtown Activation Team has helped address immediate concerns around safety, health, and sanitation in Little Saigon. This expanded fund will continue to support a coordinated, cross-departmental strategy to deliver the baseline improvements our neighborhoods need to sustain the vitality of small businesses. “

Lieutenant Kenny Stuart, President, Seattle Fire Fighters Union, IAFF Local 27

“Seattle fire fighters are on the frontlines keeping our communities safe, and this budget supports fire fighters so we can get the job done. Mayor Harrell’s investments in additional recruits and in expanding Health 99, the fire department post-overdose team, are critical to meet the needs of our city.”

Danielle Alvarado, Executive Director, Working Washington

“As our city faces deep budget challenges and federal government divestment, Seattle’s continued commitment to workers is a model for the nation. By maintaining funding for the Office of Labor Standards, we will strengthen Seattle’s economy and send the message that workers can continue to rely on the City when they need it most. Our responsibility now is to keep up the work to build a fair economy by sustaining funding for labor enforcement, uplifting high-road small businesses, and protecting our city.”

Chris Leverson, Project Manager, Build Lake City Together

“We applaud the Mayor’s commitment to expanding this proven, place-based public safety strategy to neighborhoods across the city. By investing in coordinated improvements, this initiative can enhance community well-being as well as support economic growth. We are thrilled to see concerted efforts to support neighborhood revitalization in Lake City.”

Filed Under: City Administration