JumpStart revenues for 2024 came in $47 million lower than projected. This should not be a surprise; the payroll expense tax is a robust and progressive revenue source but it’s also volatile. 🧵seattletimes.com/seattle-news/p…
That’s why JumpStart was originally intended primarily for capital projects like affordable housing, not to fund ongoing operations that depend on stable funding from year to year. This is one reason why Harrell’s approach to last year’s budget process was short-sighted:
Funneling a massive part of JumpStart into the General Fund makes its volatility more of a problem. It also compromises our ability to address the housing and climate crises and takes away money that was intended for community development and small business support.
Addressing the structural shortfall in the General Fund requires new progressive revenue. This is doubly important as we anticipate cuts to federal grant programs that will impact the city’s homelessness and housing programs and transportation infrastructure projects.
We must protect our ability to deliver the public goods and services that Seattle residents need and deserve. I served on the Seattle Revenue Stabilization Workgroup in 2023 and we came up with many new revenue options, some shovel-ready and others requiring more development.
Unfortunately Harrell’s administration has shelved that work, as their corporate backers don’t want to be taxed. WA still has the second most regressive tax system in the nation, behind Florida. We can do better.
• • •
Missing some Tweet in this thread? You can try to
force a refresh
