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City Budget Office Releases Updated Economic Forecast Showing Projected Recovery, and Growth for 2021 and 2022

SEATTLE (April 19, 2021) – This week, the City Budget Office shared an updated economic forecast, revised revenue estimates for 2021 and its initial estimates of potential 2022 General Fund Revenues. The City Budget Office update now estimates $1.59 billion in 2021 General Fund revenues, an increase of $20.3 million from the previous November 2020 forecast and $1.63 billion in 2022.  The 2021 forecast includes $5.7 million in additional Business & Occupation Tax and $4.7 million in Sales Tax revenues, for a combined total of $10.4 million.  The updated forecast also adds $17.5 million of 2021 non-General Fund Real Estate Excise Tax revenues for a total of $82.5 million. “During COVID-19, history will be written that our region had the lowest cases, hospitalizations and deaths of any major city in the country – despite being one of the first regions to face this public health and economic crisis. Vaccines and the bold federal American Rescue Plan have created strong momentum for recovery,” said Mayor Jenny A. Durkan. “We are on a path to a robust economic recovery, but we need to double down on our efforts to create a more equitable recovery and continue to support our small businesses, workers, jobs, and downtown.”  

Overall, the forecast shows that the local economy has entered a period of recovery and modest growth, even as the City, region and country continues to manage response the COVID-19 pandemic and resulting economic downturn. Employment and consumer outlays are increasing, and continued growth is projected for the remainder of 2021 and into 2022. You can find the updated forecast here

Disclosure: The information in the presentation is a forecast and “forward-looking statement.” No assurance can be given that the forecast results described will be realized, and actual results may differ materially from those expressed or implied. This information is prepared primarily to provide information to City officials and staff. It has not been prepared with a view to, nor is it suitable for, any investment decision regarding any bonds or financial obligations of the City or any of its instrumentalities. The financial data and other information provided herein is not warranted as to completeness or accuracy for purposes of federal securities laws and regulations. This forecast information speaks only as of the date it was prepared and is subject to change without notice. Any person interested in the bonds or financial obligations of the City should carefully review any information posted by the City at emma.msrb.org.