Greetings, Seattle Metro Chamber members,
Welcome to summer in the Puget Sound region! The sun is shining, MLB All-Star Week is just around the corner, and more people – tourists, employees, and families – are enjoying all that our region has to offer.
For those reasons and more, I have optimism about the future. But I have also been frustrated because I believe our community is working hard to revitalize downtown Seattle and grow prosperity in the region, but at the same time, some of the policy conversations feel chaotic, off-track, or are just not making enough progress.
As I said in my recent opinion piece in the Puget Sound Business Journal, the employer community is stepping up and doing our part – Ben Bridge opening its new store in downtown Seattle, for example. Sixty-two percent of downtown Seattle employers report employees coming into the office three or more days per week. A Vulcan 11-story lab research tower is moving ahead in Seattle’s South Lake Union area. And we know there is so much more.
It’s also important to recognize progress being made on some of the big issues. The Mayor of Seattle is working hard on a Downtown Activation Plan to generate economic activity, King County recently passed a Crisis Care Levy to help those suffering from behavioral health issues on our streets, and legislators passed bold legislation to make more housing affordable to more people. I am proud of the leadership demonstrated in each of these actions, and I’m proud that the Chamber was a part of these successes.
And that’s not all.
There are the beginnings of good policy efforts happening, from standing up a “third-force” crisis response in Seattle, to a regional gun violence prevention effort, to making final decisions on the West Seattle and Ballard light rail link extension project, to having clear-eyed determination to support Seattle Metro Chamberistrative changes that ensure the King County Regional Homelessness Authority can function as intended.
Here at the Chamber, we are working on all of these issues, and so are you – our members – we are all part of our civic solutions.
So why am I frustrated?
First, because we need to make progress faster. Now is a moment when we need leaders to set clear priorities, make a plan, and focus their energy, resources, and talent to get it done. And we know they can.
An example of where we need to make progress faster is the fentanyl crisis. Everyone agrees, we need an all-of-the-above approach. Yet leaders have been spending far too much time and energy seeking forums to cast each other either as re-igniting the “war on drugs” or “decriminalizing.” This debate is extreme and out of touch with voters. And it doesn’t help anyone get the help they need; more people are dying.
The second reason I am frustrated is that there is not enough alignment on the steps needed to make our region healthy and prosperous.
An example is taxes. In the City of Seattle, while we are working relentlessly to generate economic activity, a proposal for a local capital gains tax was recently announced. And this would surely be on top of new taxes being considered by the city’s Revenue Stabilization Work Group – a group that is also considering recommending a local capital gains tax. City leaders are considering new rules on delivery companies and new taxes to enforce those rules. And, in the middle of an affordability crisis, they are considering a new tax on the development of new buildings — including housing.
Simply raising taxes doesn’t solve problems. You need the right plan and policies, too. The city needs to:
- Do a budget review process that weighs tradeoffs in the context of all revenues, against all expenditures – and priorities.
- Be transparent about unsustainable spending and quantify the additional financial risks to the city from potential declines in the commercial real estate and construction sectors.
- Identify ways to generate economic activity. A diversified economy has been a core part of Seattle’s ability to adapt to changing economic conditions, and we must underscore the importance of this body of work in positioning the city for the conditions we face in the years ahead.
The city is bringing in more general fund revenue than ever before. Yes, the city’s general fund revenues are growing, not declining. So, on top of these three to-do items, we need the city to demonstrate how it will make more progress on the most-pressing issues: homelessness, public safety, and affordability – before raising taxes.
All these points and more were highlighted in a recent article in The Stranger.
We need to build on the positive policy efforts, make more progress more quickly, and get aligned on how to make the region prosperous. We are at a crossroads as a community, and we can’t wait.
Let’s get aligned, do the work, hold elected officials accountable, and get engaged in this year’s elections. We’re all in.
With determination, Rachel
Rachel Smith
President and CEO