SEATTLE. King County Metro is staring at a reserve shortfall that could swell to nearly $1 billion by the 2032-33 biennium, according to The Center Square, as county leaders openly discuss raising taxes before collection even begins on a separate roads tax in 2027.
Recent revenue forecasts project a $107 million reserve shortfall for 2030-31, rising to $977 million at the end of the 2032-33 biennium. The figure represents the gap between the transit agency's projected fund balance and its required reserves and does not always mean a cash deficit. Metro could post a positive ending fund balance in 2030-31, but required reserves would offset it, with a projected $454 million negative balance in 2032-33 plus $523 million in additional reserve requirements.
Jeff Switzer, a Metro public affairs coordinator, said in an email that the agency will need to reduce service and capital investments or increase revenue to address the gap.
On Tuesday, the Metropolitan King County Council voted 6-2 to assume control of the county transportation district, a separate government entity whose legislative power the council already held without the county executive. The move brings County Executive Girmay Zahilay into the fold, letting him sign or veto district ordinances and propose transportation taxes for the ballot. Councilmembers Claudia Balducci and Jorge Barón voted no, and Councilmember Sarah Perry was excused.
Balducci argued the funding discussion now sits in the executive's court and said she has not yet seen a plan from Zahilay and Metro, adding via email that whatever the measure is, it must go to the voters. Councilmember Steffanie Fain's office declined to comment on whether she supports a tax ballot measure.
Last June, county officials approved a 0.1% sales tax under the transportation district's authority on a 5-4 vote, but the roughly $100 million in annual revenue will fund county roads and city transportation projects, not Metro. Options discussed at Tuesday's meeting include a voter-approved 0.2% sales tax raising an estimated $205 million annually, a $100 vehicle licensing fee generating $155 million if voters approve it, and a property tax measure worth $92 million. The council could also impose a $20 car tab fee without voter approval, though it would raise only $31 million.
Callie Craighead, the executive's press secretary, said nothing has been proposed at this time and the executive is working with Metro and stakeholders to understand funding needs and revenue options while balancing affordability concerns. She said absorbing the district could save up to $2.5 million annually in staffing and administrative costs.
Metro's 2026-27 budget already scaled back the agency's fleet, canceled a new bus base project, adjusted its transition to zero-emission buses and trimmed consulting, advertising, training and travel costs, pushing the projected funding gap from 2028 to 2031. The forecast then worsened by $222 million for 2032-33, largely because $315 million less sales tax revenue is projected across 2026-33, according to the funding report presented this past week.