Portland's new, bigger city council will more than double costs
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When Portland changes to its new form of government in January 2025, staffing and administrative costs will more than double — from $10.9 million annually to $23.9 million, according to a new estimate from Portland's budget office.
Why it matters: This is the firmest number yet for the annual cost that comes with switching to a city manager-style government and expanding the city council from five members to 12.
What they're saying: The budget proposal "should have been dead on arrival" Commissioner Rene Gonzalez wrote Monday morning on X, formerly Twitter, saying transition costs should be weighed against current needs.
- Gonzalez's office didn't reply to a question from Axios about ways to cut costs.
Reality check: The estimated $23.9 million is a small slice of Portland's annual $7 billion budget.
- "Finding $13 million is usually not a huge problem for the city," Portland chief administrative officer Michael Jordan tells Axios.
- "On the other hand, I will tell you we are entering an extremely tight budget year," he says, citing a shortfall in the transportation bureau budget and overtime pay to make up for a shortage of firefighters.
State of play: A memo from Portland's budget office made public Monday says some of the additional $13 million for annual operations could come from money now used by offices that will disappear or substantially change in the new government.
What's happening: The new cost estimate comes with a new city organization chart from Jordan's office, revised from the first draft released last month.
- The revision adds a sixth deputy city administrator to oversee Parks & Recreation, which had been under the umbrella of public works in the first draft.
- It also allocates two staffers for each city council member.
Catch up quick: Since Portlanders approved dramatic changes to city governance last November — setting up a rapid timeline for full transition by 2025 — new one-off or periodic costs have emerged piecemeal.
- City council members will see a slight rise in salary, scaled back from an initial proposal.
- Elections, including education about Portland's new ranked-choice voting method and candidate matching funds, could cost millions of dollars.
- The renovation of City Hall offices and council chambers to accommodate 12 new members could cost over $7 million.
What's next: The council is scheduled to discuss the proposed new structure of government and how to pay for it on Oct. 31.
- "The mayor looks forward to sharing his thoughts" at that meeting, Wheeler's office tells Axios.