What worries me though is:
"Places like West Seattle Blog, Capitol Hill Seattle blog, Seattlepi.com
, PubliCola, Seattle Tranist Blog, the Sunbreak, and Ye Old Slog are arguably piecemeal, but add in mainstream city and state coverage from places like the Everett Herald, Tacoma News Tribune, KIRO, KING, KOMO, KCPQ—including the AP coverage—and you've got a complete breakfast."
Do those piecemeal sources have a viable economic model to stay in the news gathering business?
(also, perhaps you should include links in that paragraph to those sources)