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Lynnwood warns of multimillion‑dollar shortfall; mayor orders 10% department reductions, hiring restrictions and director furloughs
Summary
Mayor Mary Frizzell and Finance Director Michelle Meyer told the council on July 21 that Lynnwood faces a worsening budget outlook. Preliminary second‑quarter financials show an additional $5.2 million gap between general fund revenues and expenditures through Q2, and an estimated beginning‑of‑biennium shortfall of about $4.2 million.
Mayor Mary Frizzell and Finance Director Michelle Meyer told the Lynnwood City Council on July 21 that the city faces a substantial and worsening budget gap and must take immediate steps to preserve core services.
Meyer presented preliminary second‑quarter financial statements showing an approximately $5.2 million gap between general fund revenues and expenditures through the second quarter of 2025. That development compounds a previously identified $4.2 million shortfall at the end of 2024 and a projected $3.0 million deficit by the end of the biennium under prior assumptions, the mayor said.
The drivers identified by staff include a national economic slowdown that has reduced sales tax receipts…
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