Anacortes mayor announces personnel cuts to balance 2026 budget

Mayor Matt Miller told staff and the City Council on Nov. 3 that the city will eliminate several positions to balance the 2026 budget and stabilize finances. "Team COA, as many of you know from my budget message last week, we have taken the very difficult step of notifying some of our colleagues that their positions are being eliminated due to the city's current financial conditions," Miller read to the council and audience.

The mayor said labor costs have increased sharply over recent years, estimating that "our labor costs have grown by nearly $2,000,000 each year," and that prior budget cycles depended on one-time sources, including cash balances and a FEMA reimbursement, which are now depleted. Miller said city departments examined staffing to identify reductions that would preserve public safety and essential services such as water and sewer.

Council and staff said the affected positions will end Dec. 1; the mayor asked employees and the public to treat impacted coworkers with "empathy, compassion, and professionalism." Miller also accepted responsibility for prior budget choices, saying his votes in earlier council budgets added positions that later proved unsustainable.

The announcement came near the start of a multi-hour budget work session in which staff and council discussed other proposed reductions and options for maintaining core services. No individual layoffs or job titles beyond the general description were announced to the council at the public meeting.

The mayor's statement and the council's budget documents show the city is pursuing personnel reductions as one element of a larger plan to balance 2026 finances while preserving core infrastructure and public safety.