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Mayor Harrell Statement on Revenue Forecast and Latest Federal Funding Threats

Seattle – Today, Mayor Bruce Harrell released the following statement after the release of the Office of Economic and Revenue Forecasts’ latest projections and new threats from President Trump to cut federal investments over local policies: 

“The latest revenue projections are significant and reflect the ongoing uncertainty about the volatile national economy. Our focus must remain on meeting our Charter obligations, ensuring an affordable city with a strong economy for working people and local businesses, and protecting our most vulnerable communities. 

“In anticipation of the negative impacts of President Trump’s economic approach and threats to cut federal funding, we have been proactively preparing for revenue implications of this magnitude. We also continue to follow and advocate for state legislative efforts to provide local resources to help blunt this impact, including eliminating the arbitrary and antiquated 1% lid on funding local government services, providing additional sources for public safety investments, and other revenue solutions. 

“Effective immediately, I am directing departments to preserve funding, including reducing or ending discretionary spending on items like travel, non-essential equipment upgrades, and new consultant contracts. The City’s hiring freeze remains in place, and we will decide whether to pause or reduce investments in new projects and programming included in the adopted budget on a case-by-case basis. 

“For our September budget proposal, we are taking a holistic approach to considering the need for new progressive revenues to sustain services that are at risk from Trump’s actions and declines in revenue. We are also taking a big-picture view of potential expense reductions by looking at lines of business and program outcomes. 

“We are sharing this guidance and approach with the other branches of City government – the City Council, City Attorney’s Office, and Seattle Municipal Court – and will work collaboratively with them as we seek to address this challenge. 

“Time and again, Seattle has proven that – if we are nothing else – we are resilient and we are innovative. We will get through this moment by drawing on our progressive values to support our residents, provide essential services, and continue to move forward as a growing, global city.”