Lynnwood staff outline budget calendar, warn of multi‑million dollar shortfall and schedule Sept. 8 budget summit

City staff presented Lynnwood’s proposed 2027–28 budget calendar July 13 and described near-term steps to improve forecasting and close a multi-million-dollar revenue shortfall.

Assistant City Administrator Monisha Harrell and Interim Finance Director Sandra Fujioka said the city will hold a budget summit on Sept. 8 to focus on priorities and values, with the proposed budget due to council on Sept. 14 and adoption planned for Nov. 23. Staff described department presentations scheduled between Oct. 19 and Nov. 2 and two public hearings in late September and early November.

Fujioka told council that Lynnwood is several million dollars short of projected 2025 revenues and expects softer sales-tax receipts in 2026, a pattern that has created a structural deficit. To improve oversight, staff said the city will move to monthly financial reporting, accelerate closing its books and track grant funds and contract expirations to identify near-term savings and options for reductions.

Councilmembers asked whether the sequence — with a first public hearing before department presentations — gives residents enough context to comment meaningfully. Staff said some dates are driven by state RCWs but that the council can adjust sequencing if it chooses; they also encouraged councilmembers to bring suggestions to the finance committee and the Sept. 8 summit.

What’s next: staff will bring more granular department-level comparisons (prior biennium to proposed) and a list of identified efficiencies and expiring contracts to the finance committee, and will circulate updated monthly financial reports to council ahead of budget deliberations.