
1. Your sales taxes are going up next year, thanks to a vote by the City Council Tuesday that approved a 0.1-cent increase that can, in the future, be used for any “public safety” purpose, including programs the city is already funding through its general fund.
The new tax, authorized earlier this year by the state legislature, will add $23.7 million in new funding to the budget to pay for 24 new CARE Team first responders, keep the Law Enforcement Assisted Diversion program going, and fund treatment, firefighters, and other non-police public safety programs. It also includes $15 million to supplant general fund spending on CARE, giving the city $15 million more to use on any purpose.
But, as a City Council central staff memo on the budget notes, there’s nothing in the state authorizing legislation that requires the city to use the new sales tax on new programs. (The original idea behind the legislation was that cities would use the tax increase to pay for police.)
According to the central staff analysis, Mayor Bruce Harrell’s proposed budget is unsustainable and relies heavily on fiscal sleight-of-hand to come up with a balanced budget in 2026, tumbling precipitously into massive deficits in 2027 and beyond. These tricks include relying on a one-time $141 million fund balance left over from 2025, which won’t be there to balance the budget next year; funding programs that will be necessary long-term, like food assistance for people losing federal benefits, with one-time resources, so that they don’t count toward future deficits; and assuming a $10 million “underspend” every year in the future, allowing the mayor’s budget team to chop $10 million off each year’s expenditures automatically without actually making cuts.
Referring to the fund balance, the memo notes, “The Mayor’s reliance on this $141 million one-time resource to balance his proposed spending for 2026 reflects the inherent unsustainability of the 2026 Proposed Budget, and demonstrates the basic magnitude of the mismatch between the City’s expenditures and its reliable, on-going revenues.
This damning assessment by the council’s own central staff could have implications throughout the budget, which the city council will begin discussing in detail today. What it could mean for the public safety sales tax, specifically is that, if the council passes Harrell’s unsustainable budget mostly as-is, future councils (and a potential future mayor Katie Wilson) could choose to use the money not to fund CARE and LEAD and treatment, but to pay for police, fire, and other basics that would ordinarily be paid for by the general fund.
In other words: Like the JumpStart payroll tax fund, which was supposed to pay for specific program areas (housing, small businesses, Green New Deal, and equitable development), the public safety tax could be used in the future as a slush fund to pay for programs that have historically been funded out of the city’s general budget.
The proposed budget adds about $53 million in new spending compared to the endorsed 2026 budget.
PubliCola is supported entirely by readers like you.
CLICK BELOW to become a one-time or monthly contributor.
2. One of the new initiatives Harrell’s proposed 2026 budget would fund is Permitting Accountability and Customer Trust (PACT) program—an $800,000 proposal that will purportedly “streamline the permitting application process and improve customer services using Artificial Intelligence and data integration.”
Callie Craighead, a spokeswoman for the mayor, told PubliCola the city hasn’t picked a vendor for the PACT funding yet. “The integration of AI tools is part of the City’s most concerted effort to date to reduce permitting time, making it faster and easier to build housing across Seattle,” she said.
Harrell is all-in on AI; at an event at the startup incubator AI House last month, he told the crowd, “If you’re thinking, ‘Maybe there’s an opportunity to monetize these things the city’s working on, that’s fair game, by the way. Faster permits—we know that AI can play an incredible role there. … Time is money, and to the extent we can reduce permit processing times, this would be an added benefit for everyone involved in that process.”
Craighead said the new “AI tools” will help permit applicants catch errors before they submit applications; help “staff apply City code more consistently and efficiently, [and help] the City find opportunities to simplify and streamline policies.”
There are some companies that claim to reduce permitting times using AI chatbots and near-instant plan reviews, but it’s unclear to what extent these tools can actually supplant the human workers who currently work with developers and homeowners on permits and ensure compliance with the city’s complex codes by, for instance, talking to people and answering questions directly and inspecting conditions on the ground.
Moving away from actual employees to tools created by AI startups—a change the city’s new AI plan refers to delicately as “workforce transition”—will face strong opposition from the city’s unions (the largest of which, PROTEC17, has thrown its weight behind Harrell’s opponent Wilson), and potential opposition from the public as well. Replacing public workers with software could also have implications for the local economy, which is increasingly tilted in favor of wealthy tech-sector workers. And, of course, the current frenzy of AI hype could turn out to be just that—hype.
The city’s new AI plan says the “City’s AI Proof of Value framework ensures pilots are judged on clear objectives, business value, responsible use, and long-term supportability, not hype-fueled adoption we hear from sales staff.” Which seems, I don’t know… a little doth-protest-too much?



By Erica C. Barnett

Braddock will be the first female county executive in King County history. At yesterday’s meeting, several male council members praised Braddock without mentioning this historic fact—including two who did mention Braddock’s father, former state legislator Dennis Braddock, saying he should be proud. It fell to Councilmember Teresa Mosqueda to note that Braddock’s appointment marked “a big moment for our county.”