City of Tacoma’s Proposed 2025-2026 Biennial Budget Now Available
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~ Tacoma, Wash. - The City of Tacoma has released its proposed 2025-2026 Biennial Budget, a comprehensive document that aims to align the city's services with its financial capacity, City Council priorities, and community needs over the next two years. The budget, which is now available at cityoftacoma.org/budgetdevelopment, prioritizes building trust and transparency with residents while maintaining essential services despite the challenges posed by rising inflation and a contracting economy.

City Manager Elizabeth Pauli expressed gratitude for the community's engagement throughout the budget process thus far. "We've worked diligently to balance City Council priorities and community needs with available resources," she said. "Our focus has been on delivering essential services while also building trust and transparency."

The proposed budget totals $4.7 billion, with $641 million falling within the General Fund. In September 2024, a projected deficit of $24 million was identified in the General Fund due to slower revenue growth compared to expenses. This projection did not include potential fire levy revenues due to the timing of an election.

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To address this deficit, the proposed budget includes expense reductions, strategic partnerships with service providers, realignment of expenses with existing specialized revenue sources, targeted fee increases, elimination of certain tax exemptions, and use of reserves.

In order to maintain critical service levels in areas such as public safety, mental health and chemical dependency programming, and youth programming, increases in General Fund spending were made where necessary in response to rising costs.

The proposed budget also prioritizes basic health and safety services while responding to the needs of Tacoma's businesses. It continues to evaluate alternative response programs and supports permit services and compliance work. Additionally, planning efforts are being implemented as part of the budget.

However, due to financial constraints, there are some areas where the proposed budget falls short of meeting high-priority community needs. One such area is funding for temporary and emergency shelters beyond June 2025. The City is actively advocating for additional support at the state and federal levels.

Residents can find more details on the proposed budget and opportunities to engage in the budget development process at cityoftacoma.org/budgetdevelopment. The City of Tacoma encourages community members to stay informed and participate in shaping the budget that will impact their lives over the next two years.

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