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March 23 Council agenda: Lynnwood plans $2 million in additional cuts to close 2026 budget shortfall

By
Ashley Nash

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Lynnwood City Hall (Photo by Ashley Nash)

The Lynnwood City Council at its March 23 meeting will discuss the city’s ongoing efforts to close a multimillion-dollar budget gap, updates to the city’s development code, and progress on the City’s Youth Council.

Budget

Finance Director Michelle Meyer is scheduled to begin the meeting with a presentation on the  city’s fourth-quarter 2025 financial report and provide a followup on the 2025-2026 budget. 

Meyer will detail how the city plans to fully eliminate what was originally a $25 million budget deficit. Throughout 2025, the city narrowed the gap to $3.75 million through departmental cuts, fund transfers and policy updates. Now, officials expect to close the remainder using $2 million in additional reductions and a projected $1.75 million from a new public safety enhancement sales tax going into effect April 1. 

Additionally, the council will review a resolution to update the city’s general fund minimum balance policy. The proposal would remove a Dec. 31, 2026, expiration date to permanently maintain the required reserve at two months of the prior year’s operating expenditures. The Council last year reduced the requirement, freeing up $2.6 million to close the general fund deficit. 

Youth Council 

The council will also hear from Lynnwood Recreation Superintendent Kelly Schudde, who will present a progress report on the city’s inaugural Youth Council. Formed by an ordinance passed in August 2025, the Youth Council aims to give youth a more direct role in City government. 

The city is in the recruitment phase and is seeking 15 members between the ages of 14 and 19 who live in Lynnwood or within the Edmonds School District boundaries. Applications are open through April 30, with the group expected to officially launch in June. 

Development code updates 

After a public hearing earlier this month, the Council is set to vote on proposed changes to the city’s development code. City Planner Zack Spencer and Community Planning Manager Karl Almgren will present the second round of miscellaneous updates to the Unified Development Code. The proposed changes include minor amendments to clarify development regulations and correct errors identified since the code’s adoption. Key changes include updating maps to reflect recent city annexations, adjusting regulations for accessory structures and shipping containers, and allowing unit lot subdivisions in the residential neighborhood zone. 

View the full meeting agenda here

The meeting is scheduled for 6 p.m., Monday, March 23 at Lynnwood City Hall: 19100 44th Ave. W. It will also be livestreamed on the city’s website and Zoom.

— Contact Ashley at ashley@myedmondsnews.com

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