King County is facing a significant crisis due to potential federal funding cuts and new conditions on existing grants, according to a presentation by Budget Director Dwight Dively to the King County Council Health, Housing and Human Services Committee1. The situation poses a severe risk to numerous county services and could impact every community in the region2.
At the Tuesday committee meeting, Dively outlined the grim implications of possible federal actions, including the illegal attempts by the Trump administration to reclaim already allocated funds3, and the imposition of new, unacceptable conditions on long-standing grants3. King County's operating budget relies on over $200 million in federal funding, with additional federal funds flowing through the state, and federal funding often anticipated in future capital budgets4.
Councilmember Teresa Mosqueda, chair of the HHHS Committee, described the situation as a "dire and evolving crisis" resulting from an "onslaught of federal cuts"2. She emphasized the county's commitment to its values and to supporting communities potentially affected by these federal actions2.
Director Dively highlighted several key risks to the county's funding:
• Attempts to take back funding already designated for county programs and services3.
• New, unacceptable conditions attached to grants the county has depended on for decades3.
• Significant upcoming cuts to discretionary programs such as Medicaid, as well as programs managed by Public Health and the Department of Community and Human Services3.
• Threats to funding for service providers at a time when clients and residents face increased needs due to their identities, immigration status, and reductions in food programs, Medicaid, and housing vouchers3.
• Rising costs of affordable housing construction due to tariffs, which exacerbate existing inflationary pressures5.
These potential federal funding challenges coincide with an existing $150 million shortfall projected for the 2026-2027 biennial budget5.
Mosqueda has been advocating for new state revenue options for counties, including lifting the 1% cap on property tax increases and exploring progressive options to ensure the continuation of vital county programs and services5. Dively stated that an interdepartmental team is actively assessing the risks to federal revenue, monitoring new developments, and coordinating communication with relevant agencies and county partners5.
In response to the escalating threats, Councilmember Mosqueda has invited Director Dively to provide monthly updates to the Health, Housing, and Human Services committee on the status of federal funding, its impacts on the County, and potential county responses6. This ongoing monitoring will be crucial as King County navigates this period of uncertainty regarding federal support.
