Under Socialist Policies, Seattle Faces Financial Doom
It’s been a month since the liberal mayor of Seattle (WA), Katie Wilson, mockingly bid farewell to those millionaires who were leaving Seattle due to its socialist policies and the city is reportedly tumbling down the financial slope. In a display of political irony, liberals who supported the mayor’s policies out of political loyalty are now turning on her as their effects have started to hurt.
Toward the end of April, the video of Seattle’s Democrat mayor Katie Wilson showing her laughingly dismissing the concerns that millionaires are leaving the state of Washington went viral on X.
This attitude of Wilson worked toward making the bad in her city worse as she had openly attacked Starbucks back in November amid her mayoral election and called for boycotting the business because its employees were on a strike against its management. Starbucks, a business considered liberal by its own policies, threatened to leave the state. Wilson finally came to regret her activism against the business and admitted to the New York Times (May 17) that her comments did “more harm than good.”
Starbucks meanwhile is reportedly expanding its business in the red state of Tennessee as it seemingly prepares to leave or minimize operations in Seattle and Washington over tax and other business-related policies. The company’s threat to leave the city and state caused quite a few local liberal leaders to criticize Wilson’s attitude and policies toward business.
Last week, the news of Seattle’s $1.65 billion e-bike company Rad Power filing for bankruptcy came as a financial shocker to the city and state. Mayor Wilson had no answer for it let alone a solution to salvage the sinking business and its jobs. While the company was in free fall already by the time she assumed the mayoral office, her campaign promise to protect such businesses fell flat against the reality on the ground.
Jarrett Stepman’s article in The Daily Signal (May 21) blamed Wilson for failing to protect businesses and residents in the city, leading to their departure. He wrote:
Seattle has become a poster child of Left Coast zaniness, a hotbed of crime and disorder, an example of the human cost of allowing mass open-air drug use, and a warning about how a beautiful city can be mismanaged to oblivion.
Wall Street Mav, the X account that offers commentary on business and economic affairs, posted last weekend about businesses leaving Seattle, putting the blame on “socialist ideas and sanctuary cities.”
Dempsey is an idiot to say: “This attitude of Wilson worked toward making the bad in her city worse” given her inauguration on 1/1/2026 I really doubt her policies and programs have caused Seatle’s recent dilemma which is dire but not catastrophic. Likewise, I doubt anything she said or did forced Bezos, Schultz, or the others out of town on a rail. The “millionaires” tax was implemented by the State, not by Seatle. If Starbucks moved to Nashville to avoid crime, not their smartest move given a higher violent crime rate than our national average. Like 50% higher. Could be worse, could be Memphis… Did Schultz pick Florida to live because of that? Dempsey is right that Seattle has been Democratic since 1969 and, frankly, did very well for most of that half a century.
Wilson did not create the current Seattle situation; she was elected to fix it though. Unlike Dempsey lies, Wilson INHERITED the Seattle deficit caused by declining revenues, maintaining expensive covid-era programs, businesses leaving vacant offices, like 25%-30% vacancies, high crime, what else is new. None of this can be blamed on this mayor as Dempsey has incorrectly, and meanly, done. And covid through a clog in the gears of many economies — can you say Biden/Trump massive inflation, supply chain crap, and more?
She has already cut budgets 5-10%; it’s a start. Violent crime is down, they are better than average, but property crime is still too high driven by lack of money and opportunities no doubt. Population continues to grow albeit at a snails pace.
We’ll see if she can make the right moves, unlike Dempsey, I will say too early to tell. However, her talking points, as Dempsey noted, were stupid, untimely, and not helpful. Even if true, Dempsey’s timing was off, and really seem not true as well. A waste, as she admitted.
Given the current budget, 5-10% cuts should do it for this year to obtain a balanced budget, but 10% is a whole lot better given they don’t know if God is willing and that the creek won’t rise. I am betting God is willing, but the creek will rise and they should prepare.
As to the rich leaving: in NJ we have seen it, felt it, been there and Seattle cannot say what we say in NJ: thanks for selling those mansions at gotta-leave-town rock bottom prices! Thanks for the fish! We backfill just fine here by poaching NYC and I am guessing Seattle can find some new buyers too.
On a serious and structural note on the theory of unintended outcomes. These NW cities and states have generous hearts but really need to think about unintended outcomes for offering splendorous programs beyond other states. They are competing for resources with other states and perhaps for the wrong things, unintended of course. On top of all Dempsey whines about, the programs they created attract the homeless, addicts, and such. Why not, you can do drugs, get free room and board versus an alley in LA. if you just hitchhike to Portland or Seattle. Meanwhile a “welfare” infrastructure is created for construction, landlords, food/clothing suppliers, facility managers, etc. all who will fight you tooth and nail to keep the money flowing. Gets harder to do anything when someone is against anything you suggest. It’s a happy boat of welfare program suppliers, but circling the toilet bowl without folks noticing. And when they do, the infrastructure stakeholders join the do-gooders to fight any lessening of the money flow. And the program recipients just keep migrating in. Becomes a vortex.
Hopefully they will work their way out, but, frankly, I give it 50/50 unless they make some systemic changes to their welfare and drug programs along with the budget cuts. And add some programs to further reduce crime and bring business back to Seattle. I am not sure she’s not up to the task given the a 5%-10% budget cut is a half-step at best. Her current initiatives do seem hippy dippy given the hard task in front of her. But another six months will tell, she still should be in the honeymoon period now except for assholes like Dempsey.