[{"_1":2,"_99":-5,"_100":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75,87],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",6568858,"mediaKeyId","3193159-df8b030a27701f77751ed054e47bc89d","parentId",3193159,"title","Portland finance committee reviews reserve and contingency policies as budget season begins","audioSeconds",2270,"startMs",307000,"endMs",2577000,"viewUrl","/Search/View?dp=1&key=3193159-df8b030a27701f77751ed054e47bc89d&start=307&end=2577","thumbnailUrl","https://assets.pipeline.soar.com/3193159-df8b030a27701f77751ed054e47bc89d/thumbnail_307000.jpg","articleUrl","/articles/6568858/Portland/Multnomah-County/Oregon/Portland-finance-committee-reviews-reserve-and-contingency-policies-as-budget-season-begins","mediaUrl","https://secure.pipeline.soar.com/6568858-e60806c11bce7d37a9ccffab118ef18b/orig.mp4?Expires=1771111886&Signature=SOU85ExohzVWATjsNoE9rdZW~HDUWPsLZjehRBqzxR2KhmbN6WwV8yc3gdbO0SbfBkuufz71VwPj51yuMCrWDHi3sVSpPT9SMUtNjeG1OG0aRZB~fV~q0yCKYh8H4NRTS-yFie3K9V0-lSDrlbTgBYbDlMTAQCtUwLlTOodqcd2iv-bM8W9YzSjWLzZTWG1LgB0ghT46T0DGhL-rxBAbEwytZbP7inU8BC8ylMkxfyXhsP1l2rL2bwIes9oozWvYTj5YZ16ed6~jc3Ldq-5gQxXPVtr1b9gdX7IrqOPhFOyz0Vl8TJAi2bKV7dgKSw5U4uPJzzJrSXV-ki3kd6ktrA__&Key-Pair-Id=KUT5TJCACFTXG","author","City Council of Portland, OR","date","2025-05-05T20:51:52.497Z","article","Portland finance staff told the City Council's Finance Committee on May 5 that the city's formal general fund reserve policy (FIN 2.07) sets a target equal to 10% of general fund revenues less beginning fund balance'about $77.6 million in the proposed FY 2025'026 budget'and that policy divides that target equally between a countercyclical reserve and an emergency reserve.

The discussion, led by Jonas Beery, deputy city administrator for budget, finance and chief financial officer, and City Economist Peter Holzman, centered on how reserves and contingency funds differ, when the countercyclical reserve can be used and how a replenishment plan would work if council were to draw on reserves.

Beery said FIN 2.07 identifies the general reserve target and requires that 50% of that target function as a countercyclical reserve and 50% as an emergency reserve. Holzman summarized the forecast as \"one more year of very slow growth and then moderate to slow growth after that,\" and staff told the committee that the countercyclical reserve is usable only if two conditions are met: two consecutive quarters of forecast general fund growth under 3% and one or more sustained economic indicators of decline (for example, sustained housing price declines or multi-year increases in unemployment).

Why it matters: Councilors and staff said the briefing was meant to set expectations before the formal budget season. Committee members raised concerns about whether a 10% reserve target is conservative enough; many local governments aim for roughly 15% to 20% of general fund revenues (about two months of operating expenses). Staff and multiple councilors noted Portland's relatively stable property-tax base as one reason the city has historically set a lower formal target than some peers, but they also flagged other revenue streams'notably business license tax, now about 30% of the revenue mix'as more volatile.

Key details

- Policy target: FIN 2.07 sets the general fund reserve at 10% of general fund revenues less beginning fund balance; staff said that equates to about $77.6 million for the FY 2025'026 proposed budget.

- Reserve structure: Staff explained the 10% target contains two components: a countercyclical reserve (50% of the target) that can be used only under specified economic conditions, and an emergency reserve (the other 50%) that is tied to projections of a negative fund balance.

- Countercyclical draw conditions: Staff described two required triggers to use the countercyclical reserve: (a) two consecutive quarters of forecast general fund growth lower than 3% and (b) one or more repeatable declining economic indicators (examples given included sustained housing price declines and rising unemployment).

- Replenishment: Staff said the policy requires a council-identified plan to replenish any reserves the council draws down; the policy specifies replenishment within the next budget cycle (staff cited a 24-month horizon).

- Contingency vs. policy set-asides: Staff described two common contingency categories: \"policy set-aside\" contingencies (earmarked for known but variable costs such as public safety overtime) and an \"unrestricted contingency\" (an undesignated pot staff said has been $3 million in recent practice). Policy set-asides are often set in the proposed budget during the fall process when ending fund balance is clearer.

Councilor reaction and concerns

- Councilor Green asked whether property tax growth had reached a lower bound and how much downside risk exists; staff replied that property tax revenues are still growing but at a slower rate and that the larger near-term risk is from more volatile revenue sources such as business license tax.

- Councilor Perogini pressed for clarity on whether both the countercyclical and emergency reserves are subject to the 24-month replenishment requirement; staff confirmed the policy applies to both.

- Councilor Novick and others questioned how Portland's practices compare with peer jurisdictions and whether contingency and reserve sizing should be reexamined ahead of the budget season.

Other technical points

- Staff said some reserves are statutory or bond-related, some derive from policy (FIN 2.07) and others are management reserves tied to particular program risks (for example, permit activity or development-related revenue swings).

- Staff noted the city maintains other program-specific reserves (permit reserve, health benefits reserve) and that those reserves are typically restricted to their intended purpose.

- Staff said contingency use is a common way to signal an intent to fund an emerging priority during the budget process; councilors noted that adding to contingency without changing reserve policy can reduce the reserves added at year-end.

Where this goes next

Staff closed by saying they will return with additional detail and an inventory of reserves and policy set-asides for further discussion during the budget season. Several councilors said they intend to examine policy set-asides first before supporting draws on the general reserve.

Ending: The committee did not take a formal vote on reserve policy changes at the May 5 meeting; staff said they will provide further briefings and more detailed budget materials at upcoming Finance Committee sessions.","mediaType","Video","parentTitle","Portland City Council Finance Committee 05/05/25","oneSentenceSummary","Portland finance staff told the City Council's Finance Committee on May 5 that the city's formal general fund reserve policy (FIN 2.07) sets a target equal to 10% of general fund revenues less beginning fund balance'about $77.6 million in the proposed FY 2025'026 budget'and that policy divides that target equally between a countercyclical reserve and an emergency reserve.","taxTitle","Portland, Multnomah County, Oregon","taxId",2765,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6568848,"Finance Committee forwards PBOT ordinance to acquire easements for Southwest Capitol Hill Road sidewalk infill",87,4928000,5015000,"/Search/View?dp=1&key=3193159-df8b030a27701f77751ed054e47bc89d&start=4928&end=5015","https://assets.pipeline.soar.com/3193159-df8b030a27701f77751ed054e47bc89d/thumbnail_4928000.jpg","/articles/6568848/Portland/Multnomah-County/Oregon/Finance-Committee-forwards-PBOT-ordinance-to-acquire-easements-for-Southwest-Capitol-Hill-Road-sidewalk-infill","https://secure.pipeline.soar.com/6568848-a860ee6461b731bf065bb9f904035ce8/orig.mp4?Expires=1771111886&Signature=ma9JH~Wz5gK~-0-HkoCfkQNRc8CUd8~~VKynV9K-BnY2RUGOCfihmJiWsnAz2jp7j0LOWL54pBD4KEtHGnPtuJjU-ne9o1J43lKji5WsMSnBcgryf1hlVqR2KpXjMkyoxP7veF9dOdYp91k-ltbO1lg0C9KlQ-EP9VaEMtqHTQNmy7NzhMd9TkwEuR57Y27LW3FhF9JeG7l2Tn9iDn6g7kA5mIFZtZbT6Qoy2qadI2ImwuwwfH7o6LcMPagobjlF4CIg4yWJYti7bKYic4u4OERlaSAQ7p3goZl0Kxzf-kdsvLAohIVHQQESRZTJ5ZeU7nFf~oJULXBrqFtPzB2PFQ__&Key-Pair-Id=KUT5TJCACFTXG","The Finance Committee on May 5 considered and moved to forward to full council an ordinance authorizing the Portland Bureau of Transportation to acquire property rights, including a permanent easement and temporary construction easements, for sidewalk infill on Southwest Capitol Hill Road between Bertha and Barber.

PBOT project manager Ashley Lopez told the committee the project will build roughly 740 feet of new sidewalk, install bike facilities and update street lighting; the Bureau of Environmental Services will add stormwater facilities and street trees as part of a joint project. Lopez said the project budget is about $2,666,000 and that funding comes from LTIC (Local Transportation Infrastructure Charge) funds, a federal/state grant secured by a community group (Southwest Trails), and general-fund or other local sources.

Easements and outreach

Right-of-way agent Heather Byers said the project needs permanent and temporary easements from 10 property owners (Byers stated that the set includes one permanent easement and 10 temporary easements). Staff described outreach since August 2023 plus earlier efforts and said they had used virtual open houses, tabling at community events, mailings, door-to-door contact and phone calls. Lopez said public input weighed in on tradeoffs such as parking versus sidewalk near a nature park and that the community favored sidewalks in that location.

Community and maintenance questions

Councilors asked how the project would serve renters and help with access to destinations; staff noted the corridor is adjacent to parks, schools, frequent transit and proposed or existing affordable housing projects and said PBOT used postal-service address lists and in-person outreach to reach apartment residents. On long-term maintenance, staff said sidewalks defined as sidewalks under City Code Title 17 become adjacent-property-owner maintenance responsibility after the two-year construction warranty; PBOT retains responsibility for multi-use paths not defined as sidewalks.

Vote and next steps

Councilor Novick moved the ordinance and Councilor Green seconded. The committee record shows the motion and second; a roll-call vote for this item does not appear in the transcript. Staff said the project is at about 95% design and construction is expected in spring 2026; PBOT will continue outreach and proceed with right-of-way negotiations and offers of just compensation.

Ending: Staff said they will return with finalized right-of-way materials as negotiations and design progress toward construction.","The Finance Committee on May 5 considered and moved to forward to full council an ordinance authorizing PBOT to acquire property rights, including a permanent easement and temporary construction easements, for sidewalk infill on Southwest Capitol Hill Road between Bertha and Barber.",{"_33":88,"_35":36,"_37":38,"_39":89,"_41":90,"_43":91,"_45":92,"_47":93,"_49":94,"_51":95,"_53":96,"_55":56,"_57":58,"_59":97,"_61":62,"_63":64,"_65":98,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6568853,"Council committee authorizes PBOT to seek property rights for Northeast Columbia Boulevard improvements",2355,2585000,4940000,"/Search/View?dp=1&key=3193159-df8b030a27701f77751ed054e47bc89d&start=2585&end=4940","https://assets.pipeline.soar.com/3193159-df8b030a27701f77751ed054e47bc89d/thumbnail_2585000.jpg","/articles/6568853/Portland/Multnomah-County/Oregon/Council-committee-authorizes-PBOT-to-seek-property-rights-for-Northeast-Columbia-Boulevard-improvements","https://secure.pipeline.soar.com/6568853-419863059d8eac8a6d8c7798b9640898/orig.mp4?Expires=1771111886&Signature=j1ojVIJCtxCn1Z6y1t2EZO2USGvGQiZcUBM-4HfDqhl32oF2N75R9oRzVsESIjxELU5h69xwXttEZF9ECuJ7fA8VAGXdtXguo9hpZQjUI~uIJqBsK9-HZm9R95wo0f1JT~u~n4jFbJpWliVM3tJanT0Hg336vLsD3hM8U9njGEyy7BrdOdtwyL3A3nSQDkB9PUg0~62wRI9P9~CP5nGiGsRhF77gdBfyNpQNPZ14hvdDoLbUBCedz0uRw2p98f2OOQCxG3BHWy66MCrB6AkCWmBLnExKQeuVK7prdCVaFyMwq5w~bCRJ-Alip5HJMccqzhB~PKSSdkDNrwsWY9x5Jw__&Key-Pair-Id=KUT5TJCACFTXG","The Finance Committee on May 5 authorized the Portland Bureau of Transportation to begin negotiations for permanent and temporary property rights and to pursue condemnation if necessary for intersection improvements on Northeast Columbia Boulevard at Cully and Alderwood.

PBOT staff said the project (estimated cost $9.5 million) is primarily federally funded and aims to improve freight mobility and safety by adding side-by-side left-turn lanes at the tightly spaced intersections, dedicated turn lanes on Alderwood Road, a new traffic signal at Columbia and Cully and a traffic-signal replacement at Columbia and Alderwood. PBOT said the project would also add pedestrian and bicycle improvements, including wider sidewalks, upgraded ADA ramps and a multi-use path on the north side of Columbia.

Priya Donipaul, a bureau staff member who introduced the items, and PBOT right-of-way staff explained the acquisition process, the Uniform Relocation Assistance and Real Property Acquisition Policies Act requirements for just compensation and the city's practice of seeking negotiated agreements before pursuing eminent domain. Heather Byers, a PBOT right-of-way agent, said permanent and temporary easements are needed from 10 property owners; staff told the committee they had recently re-contacted directly affected property owners and planned additional mailings and an open house as design proceeds.

Funding and schedule

PBOT project manager Steve Sigathe told the committee the project budget is about $9.5 million, with roughly 90% federal funding through a combination of a Port of Portland partnership and Metro Regional Flexible Fund monies. PBOT said the project is at about 60% design, environmental review is complete and construction is expected in summer 2026.

Property acquisition and outreach

PBOT's right-of-way staff outlined the eminent-domain steps required by ORS Chapter 35 and federal guidance, including certified-mail notices, a 15-day appraisal inspection notice, an offer packet with an appraisal and a 40-day period for property owners to consider the city's offer. Marty Maloney, Right-of-Way Acquisition, said PBOT averages about 160 easements per year across bureaus and has historically resolved most acquisitions through negotiation rather than trial.

Council questions and staff responses

- Councilors asked whether property owners had been contacted directly; staff said they had reached out and left messages where necessary and that the properties affected are primarily industrial landowners, with one exception (Portland Parks property for a golf course).

- On maintenance, staff said sidewalks are typically the adjacent property owner's responsibility under City Code Title 17 after the two-year warranty period; PBOT said multi-use path segments not defined as sidewalks in code are maintained by PBOT.

Vote and next steps

Councilor Green moved the ordinance to authorize PBOT to acquire the rights; Councilor Novick seconded. The committee recorded a roll-call vote in which Novick, Green, Amaluz and Chair Zimmerman were recorded as voting \"Aye\"; the clerk announced that \"the ordinance carries.\" Staff said PBOT will continue outreach and return with related materials as the project moves toward right-of-way negotiations and construction.

Ending: PBOT staff said they will continue outreach to property owners and neighborhood groups and will bring necessary documents back to council as negotiations proceed.","The Finance Committee authorized the Bureau of Transportation to negotiate for permanent and temporary easements (from 10 property owners) and, if needed, exercise eminent domain for intersection improvements at Northeast Columbia Boulevard with Cully and Alderwood; the project is estimated at $9.5 million, about 90% federally funded, with design ","actionData","errors"]

Article not found

Portland finance committee reviews reserve and contingency policies as budget season begins

Finance Committee forwards PBOT ordinance to acquire easements for Southwest Capitol Hill Road sidewalk infill

Council committee authorizes PBOT to seek property rights for Northeast Columbia Boulevard improvements