The bill also forbids city contractors from engaging in unfair business practices, and excludes any contractor running afoul of the law from bidding for five years.
Juarez noted Seattle's history of putting "social policy values above the pursuit of pure profits".
Wells Fargo is one of 17 lenders to the more than 1,000-mile-long oil pipeline from western North Dakota to IL. The Army announced it will approve the final necessary permit.
The council is expected to take action after months of controversy over the bank's business practices, as well as the Dakota Access Pipeline. A Dutch bank that isn't directly funding construction, but works with the parent company of Energy Transfer Partners, has threatened to end the relationship if the company can't reach an acceptable solution with the Standing Rock Sioux Tribe.
The tribe has vowed to continue fighting in court.
Cheers erupted from the crowd when the measure passed on a unanimous vote Tuesday directing the city to end its contract with the San Francisco-based bank. Wells Fargo was chosen by Seattle through competitive bidding, beating out Bank of America, Union Bank and US Bank.
Wells Fargo contends that it is one of 17 involved in financing the DAPL. Supporters have reported withdrawing funds totaling more than $58 million.
Juarez said in a statement that Trump's executive order advancing the pipeline "unlawfully deprives Native peoples of their rights of due process" and adds "insult to the very real injuries suffered by the Standing Rock Sioux".
Last week, the Affordable Housing, Neighborhoods and Finance Committee voted to move forward with an ordinance proposed by council member Kshama Sawant to remove deposits from Wells Fargo and seek a "more socially responsible bank". In December, the Minneapolis City Council instructed staff to study the possibility of cutting ties with banks invested in the fossil fuel industry and the Dakota Access Pipeline. The bank was fined $185 million and chief executive John Stumpf abruptly resigned.
In reaction to that scandal, the City of Seattle stopped negotiating with the bank over a $100 million bond deal.
"Such a betrayal of the public trust is completely unacceptable", Seattle Mayor Ed Murray wrote in an October letter to the bank.