The moment landed exactly how you’d expect in a room already sympathetic to the idea. During the April 14 Seattle University event, Mayor Katie Wilson didn’t hedge when the topic turned to wealthy residents potentially leaving over higher taxes.
Her response—casual, dismissive, and delivered with a laugh—drew an immediate reaction from the crowd. The line, “if the ones that leave, like, bye,” wasn’t framed as policy language. It came across as a blunt signal of where she stands on that long-running argument.
The exchange grew out of a broader question about whether progressive taxation offers a workable fix for Seattle’s financial pressures. Wilson didn’t describe it as simple, but she made clear she sees it as necessary. She pointed to Washington’s tax structure as “very regressive” and said her office is actively exploring ways to shift more of the burden upward, particularly using city and county-level authority.
At the same time, she acknowledged a tension that doesn’t disappear just because the policy direction is clear. She specifically noted the risk of Seattle becoming too expensive compared to nearby cities like Bellevue, where businesses have alternatives.
That concern sat alongside her insistence that new tax ideas should avoid directly raising the cost of employing workers in the city, suggesting her team is trying to thread a narrow path: increase revenue without accelerating business flight.
The financial backdrop is hard to ignore. Wilson described a “large structural budget deficit” heading into the next cycle, with staff reviewing both spending and revenue options. She emphasized that being a progressive doesn’t mean preserving every program indefinitely, adding that underperforming initiatives could be cut. Still, she was direct that additional revenue will likely be required.
Outside the policy discussion, the economic signals around Seattle are mixed. The report that Starbucks plans to expand in Tennessee rather than Washington—paired with projections of a potential $750 million hit to future tax revenue—adds weight to the concerns critics raise about business migration. That development also carries some political irony, given Wilson’s prior public support for Starbucks labor protests, including calls for consumer boycotts.
Layered on top of all this is Seattle’s existing tax environment. With a combined state and local sales tax rate above 10%, already among the highest in the country, any push for new revenue streams enters a landscape where costs are already a frequent point of debate.
Wilson’s remarks didn’t introduce a new policy proposal on the spot, but they clarified her posture. She’s not treating the possibility of high-income residents leaving as a deciding constraint, even as her administration tries to avoid pushing businesses out.
