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Central staff outline 2026 proposed adjustments: new taxes, FIFA costs, graffiti program expansion and position increases
Summary
Council Central staff presented a high-level overview of the mayor's 2026 proposed budget adjustments, emphasizing new revenue sources on the November ballot, FIFA World Cup host-city costs, a citywide graffiti abatement expansion, and requests for dozens of additional staff positions across departments.
Council Central staff briefed the Select Budget Committee on Oct. 15 on the broad elements of the mayor's 2026 proposed budget adjustments, focusing on three ballot measures, interdepartmental initiatives tied to the FIFA World Cup and graffiti abatement, and a net addition of positions across multiple departments.
Edin Sysic of Central Staff said the "2026 proposed budget totals $8,900,000,000 across all departments and funds," an increase of about $125,000,000 (just over 1%) compared with the endorsed budget. He and Director Ben Noble highlighted that much of the change reflects newly counted or restructured revenue and the mayor's supplemental proposals for one‑time and ongoing spending.
Key revenue measures and their roles - FEPP levy renewal: Central Staff said that, if approved, the expanded Families, Education, Preschool and Promise (FEPP) levy on the November ballot would add roughly $120,000,000 to 2026 budgeted resources compared with the endorsed budget, and would allow about $44,000,000 of previously general fund or other tax appropriations to shift into levy funding. Central staff described that as freeing up funds previously earmarked for those purposes. - B&O tax restructuring: A proposed restructure of business and occupation taxes is forecast to generate about $81,000,000 in general fund revenue in 2026; Central Staff said roughly $28,800,000 of that is already assigned to address federal funding reductions and related items, with remaining revenue used to backfill other general fund needs. - Public safety sales tax: A newly adopted public safety sales tax is projected to yield about $39,000,000 in 2026; Central Staff noted roughly $23,700,000 of that has been programmed for new public safety‑related spending and $15,000,000 is estimated as backfill for existing programs.
Major crosscutting initiatives - FIFA World Cup: The city is a host for several matches in the 2025–26 FIFA World Cup. Central Staff said the 2026 proposed budget appropriates the remaining operating and capital funds previously set aside (about $5.8 million) plus funding to continue several temporary positions and pedestrian safety barriers. The executive is negotiating a memorandum of understanding with the local organizing committee; City Council will consider additional appropriations early next year if needed. - Graffiti abatement: The proposed budget increases funding for a citywide graffiti abatement plan — including code enforcement, removal, and support for impacted businesses and public art. Central Staff summarized a program total of about $6.1 million and 22 positions for citywide graffiti abatement work if the proposal is enacted; Parks holds multiple existing contracts in this program area and the budget would transfer some enforcement authority.
Staffing and capital project highlights Central Staff said the proposed adjustments request roughly 152 new full‑time equivalent positions, about 105 of them supported by the general fund. Many of the additions are service‑delivery or public safety related — for example, community crisis responder team staffing in human services, and 36 FTEs in SDOT for downtown activation and related work. The six‑year Capital Improvement Program totals roughly $9.4 billion; a modest increase for 2026 is driven largely by schedule and debt adjustments, including a shift in Memorial Stadium bond funding into 2026.
Context and next steps Central Staff framed this week as a period of policy consideration and issue identification, followed by member proposals and the formal amendment window (staff emphasized the Oct. 21 web form deadline for initial amendment ideas). Director Noble and others repeatedly described uncertainty in the economic forecast — including delayed federal data releases — and stressed that while the mayor's 2026 proposal is balanced, the plan projects a material deficit beginning in 2027.
Ending: Central Staff will return with department‑level presentations this afternoon and the Select Budget Committee will receive an updated revenue forecast next Monday; councilmembers were urged to use the remainder of the week to coordinate amendment ideas and potential cosponsors.
