Economic Development proposes SAIL initiative, storefront security funding and grocery supports in 2026 budget

The Office of Economic Development (OED) briefed the Select Budget Committee on a 2026 proposal that would add targeted investments for neighborhood stabilization, proactive storefront security, grocery‑store support and sector‑focused work on artificial intelligence and clean energy.

Director Martin McIntyre told councilmembers the SAIL initiative — for “Stabilize, Activate, Invest Locally” — starts from the premise that neighborhoods must be stabilized before activation and longer‑term private investment will follow. “First, we must stabilize an area before we can activate it,” McIntyre said. The department proposed $4,000,000 for SAIL, to be used initially in Little Saigon and then expanded to other neighborhoods, with Lake City identified as an early second focus.

McIntyre described SAIL as an effort to align several previously parallel programs — including downtown activation teams and related efforts — under shared, measurable outcomes so city departments can coordinate resources and avoid duplication. OED said implementation will proceed on a hypothesis/test basis and must show measurable stabilization before activation investments proceed.

OED also wants to rebrand and expand the storefront‑repair program as “Back to Business,” keeping the current reimbursable storefront repair fund (up to $3,000 per incident) while adding a proactive security fund and a neighborhood business improvement fund to support Crime Prevention Through Environmental Design (CPTED) interventions and other district‑level improvements. The office said the program launched in July and that 85 businesses have used the fund; the proposed budget would continue and broaden that support.

Committee members asked about grocery stores; OED proposed a dedicated fund to make short‑term security and other investments that keep neighborhood grocers operating and to explore how the city can reduce long‑term operating barriers for food retailers. McIntyre said federal funding comprises only a small share of OED’s budget, but the department is monitoring federal continuity‑of‑care and HUD funding because reductions can ripple to local providers.

The department proposed continued support for the waterfront shuttle and one‑time support for Uplift Northwest’s community workforce training center, and it asked for work to better align citywide workforce investments toward internal city jobs, standardized evaluation and youth employment coordination.

OED also highlighted investments in AI and clean‑energy sectors, noting Seattle’s existing technical talent and research ecosystems. The department plans an updated economic strategy and a program of partnerships to support startups and scale‑ups, citing the existing AI House and incubator work and partnerships with UW CoMotion.

Committee members asked about implementation, community engagement and metrics; OED said it will work closely with community organizations, BIAs and other city departments to define measures of stabilization and activation and to sequence investments appropriately. No formal votes were taken during the presentation.