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County finance officials warn of multi-year shortfall; propose hiring freeze and other savings
Summary
Finance staff presented a five‑year general fund forecast showing a structural gap of roughly $20 million in 2026 under baseline assumptions and outlined options including attrition, hiring freezes, centralizing services and winding down discretionary projects to close the gap.
Spokane County finance officials told the Board of County Commissioners on March 17 that a five‑year forecast shows an operating gap of about $20 million in 2026 under current assumptions, and that the county must act this year to avoid drawing down fund balance to unsustainable levels.
Jeff McMorris, senior director of finance and administration, and other finance staff presented revenue and expenditure assumptions, a sales‑tax update and a menu of operational options. They said sales tax collections for December (remitted in February) came in stronger than budgeted, but longer‑term indicators — rising consumer delinquencies and slowing economic signals — warranted a conservative forecast and immediate cost control measures.
Why it matters: under the forecast presented, county revenues cannot sustain baseline spending growth in wages, benefits and capital plans without either new ongoing revenue, repeated use of fund balance, or permanent…
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