SPOKANE, Wash. — Spokane Mayor Lisa Brown announced that the city is facing a $13 million General Fund shortfall in 2026 and is considering significant budget and staffing changes.
City leaders said the deficit may result in 30–50 positions being eliminated. About one-third of these positions are currently vacant and will not be filled. Remaining layoffs would affect employees across multiple city departments.
In addition, medical premiums for city employees are expected to rise by 25% in 2026 due to higher claims over the past year. The increase will be shared between the city and employees depending on union contracts.
Mayor Brown said city leaders are working with union representatives to explore options and plan for the 2026 budget. HR will provide more details soon about the benefit changes.
Erin Hut, City Director of Communications, said, “These decisions are never easy. We recognize the impact on employees, their families, and the public. The Administration and Council are reviewing all options before finalizing the mid-biennium budget.”
The city urged patience as officials continue to evaluate options and communicate updates to employees.
