where do you live, Lisa? That is one very unhappy spruce. My best guess right now is Rhizosphaera needle cast, a fungal plague that tortures Rocky mountain native trees that aren’t living in the Rocky mountains.
You can control it by fastidiously removing any dead foliage on or around the plant and spraying with anti-fungal products in late winter, particularly before a prolonged cold wet spring. Good luck.
Thanks so much for your quick response! I forgot to say I’m in Boston, zone 6. It’s early spring here so I’ll try spraying with anti-fungicide now. Is there a particular one you recommend? I will cut back all the dead foliage. Do I need to treat the cuts?