Snohomish County report: sales-tax funds largely obligated; officials warn of tight 2027-28 outlook

Snohomish County officials on Tuesday told the Health & Community Services Committee that the county's chemical dependency and mental health (CDMH) sales tax fund and the newer affordable housing and behavioral health sales tax fund are largely obligated to projects and programs, leaving little cushion if revenue declines.

The human services presenter said the CDMH fund's human-services expenditures are about 47% halfway through the biennium, close to the expected roughly 50% pace, but warned the fund currently has no balance to cover future shortfalls. "We do not have a fund balance currently in CDMH," Caramine Hester, the county's chief budget officer, said, adding that staff salaries and benefits will require re-evaluation for the 2027-28 budget.

Why it matters: the funds support capital projects, operating costs and program delivery for behavioral health and affordable housing. With several multi-million-dollar projects obligated, county staff said they are balancing the need to accelerate construction against the risk of losing federal or state matching funds if projects are delayed.

What county staff told the committee

Cynthia Foley, council staff, summarized two administrative items…