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City of Portland Budget: Another Record Shortfall

  • 15 hours ago
  • 3 min read

[April 9, 2026]


Portland is facing another budget shortfall for the 2026–27 fiscal year. A February 18 report from the City Budget Office estimates that maintaining current service levels would cost about $169 million more than projected General Fund revenues.


Mayor Keith Wilson is expected to release his proposed budget on April 20. The City Council then has about seven weeks to hold work sessions, gather public input, and make amendments before adopting a final budget in early June. For more info and details on the process, start here www.portland.gov/budget/join.


Hillsdale is in District 4, one of the four geographic zones created following the 2022 approval of the new form of government. City Councilors representing District 4 are Olivia Clark (Council Vice President), Mitch Green, and Eric Zimmerman.
Hillsdale is in District 4, one of the four geographic zones created following the 2022 approval of the new form of government. City Councilors representing District 4 are Olivia Clark (Council Vice President), Mitch Green, and Eric Zimmerman.

Under the new system of government approved by voters in 2022, the mayor proposes the budget, and City Council has final authority to review, amend, and ultimately approve it. Last year’s budget process was chaotic and rushed and showed all the cracks of the new system as councilors debated, sometimes acrimoniously, during lengthy council sessions.


District 4 Councilor Eric Zimmerman told the Hillsdale News that he expects this year’s process to go more smoothly. Council has already held weekly budget work sessions to review each service area, he said, providing a more transparent view of how the General Fund supports city services. He said that this reflects the approach he advocated with last year’s Transparent and Balanced Budget Resolution, which required the parks department to clearly report how programs and staff are funded through General Fund dollars, the Parks Levy, fees, and other sources.


Last year's General Fund distribution.
Last year's General Fund distribution.

Nevertheless, the shortfall is large and will require significant cuts. Last November, Mayor Wilson asked city departments to prepare budget scenarios with cuts at 3% and 10%. Council Vice President Olivia Clark said in an email that the General Fund shortfall will primarily impact law enforcement and parks, two of the biggest beneficiaries of those funds. She wrote, “My top concerns are preserving funding for public safety, homeless impact reduction, and neighborhood associations.”


The choices ahead, Zimmerman said, will be difficult. “My focus remains on protecting core priorities: after-school and youth programs, public safety, ensuring continued funding for PEMO, and making sure that neighborhood associations have the support they need,” he said.


Councilor Mitch Green, also representing District 4, did not respond to a request for comment, but he and Vice President Clark have both launched surveys to gather input from residents. Clark’s survey asks open-ended questions about what programs to protect. Green’s survey requires respondents to choose three from a list of specific programs to cut: police, parks, shelters, homeless camp sweeps, external contracting.


Vice President Clark’s survey is open until April 30: https://forms.gle/gr1ebWHz4Y8AgvPD7.


  

Upcoming Events

One Budget Open House remains (a District 4 event was held on April 4):


District 1 Budget Open House (all are welcome)

Monday, April 13, 6 to 8pm

Sacramento Elementary School Gymnasium, 11400 NE Sacramento St., Portland, OR 97220


District 4 Town Hall

Tuesday, April 14

6-8pm

Sellwood Community House, 1436 SE Spokane St


Hosted by Council Vice President Olivia Clark and Councilor Eric Zimmerman, with special guest City Manager Raymond Lee.


Budget Resources


—Valeurie Friedman

Questions? Comments? Let us know.

 
 
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