Foster wants Seattle's budgets balanced years ahead, not one at a time. Here's what the numbers show

Councilmember Dionne Foster (Position 9) wants to change how Seattle writes its budgets so that future councils can't balance one year and leave a hole for the next. On Oct. 22 she announced two measures, according to a Council news release:

• one would require the mayor to submit balanced financial plans for the General Fund and the JumpStart payroll tax fund for future years, not just the year being budgeted;
• the other asks that the budget the Council finally passes keep those same multi-year plans in balance.

"Seattle cannot continue balancing its budget one year at a time," Foster said in the release. Councilmembers Alexis Mercedes Rinck (Position 8) and Eddie Lin (District 2) publicly backed the idea, the release said.

Why it matters to residents: the General Fund pays for police, fire, parks, libraries and human services. When it runs short, the city has to cut services, raise taxes or use one-time money. This year the city started with an estimated $175 million gap, according to the release.

What our records add

This would extend a rule voters already passed, but only for one year. The release says the "Seattle Shield" measure, approved by voters in 2025, required balanced plans through 2030, but only for the 2027 budget, and only for the mayor's plans. The Council sent Seattle Shield to the ballot on Aug. 4, 2025 by a 9-0 vote (CB 121028). It was sponsored by Rinck. Its official title describes mostly business and occupation tax changes: a higher threshold, a standard deduction, credits for some businesses and authority for new taxes for housing, human services, workforce and small business support.

The plan the mayor sent this year is balanced on paper but leans on one-time money. The Council's Central Staff balancing analysis, presented at the Oct. 13 Select Budget Committee (agenda item), found that the proposal still leaves an underlying gap of about $23 million in 2027 and $18 million in 2028. That gap is covered with about $56.5 million in one-time fund balance, and the analysis projects about $19 million in cuts would be needed in 2029 under current assumptions, CivicTide reported from the memo and meeting.

The biggest move in the proposal is between two funds Foster's plan would cover. According to the same Central Staff summary, the largest piece of the mayor's balancing is shifting about $47 million a year of Human Services homelessness programs from the General Fund to the JumpStart fund. Foster's measures would put both funds under the multi-year balance test. JumpStart's own forecast is uncertain: the city's October revenue forecast warns that payroll tax collections depend heavily on stock prices and hiring at large employers.

The Council has changed how JumpStart is spent before. In November 2024 the Council passed CB 120912, which adjusted how payroll tax proceeds are allocated and eliminated the Payroll Expense Oversight Committee. City Clerk records show it passed 7-2.

How the measures could move

The release does not list bill numbers or a committee. It ties the proposal to the 2027-2028 budget process, where councilmembers present their proposed changes starting with the Oct. 27 Select Budget Committee meeting, followed by sessions on Oct. 28 and Oct. 29. The Budget Chair, Dan Strauss (District 6), publishes his balancing package in early November, the public hearing is Nov. 5, and the final vote is scheduled for Nov. 20, according to the Select Budget Committee schedule.

We previewed the amendment week in Seattle's budget gets rewritten starting Tuesday. We will track whether Foster's measures appear as budget legislation and how each member votes on them.

What's next

• Oct. 27-29: Council budget proposals are briefed in the Select Budget Committee.
• Nov. 5: Public hearing on the budget. Details on how to comment are on the Council's budget page.
• Nov. 20: Scheduled final budget vote.