Portland Housing Bureau confirms federal HUD funding of $14.2M despite slight reduction

During the recent Portland City Council Work Session on May 14, 2025, significant discussions centered around the budget for the Joint Office of Homeless Services, highlighting both funding challenges and opportunities for the upcoming fiscal years.

The proposed budget for fiscal year 2025-2026 reflects a decrease in funding, dropping from $29.2 million in 2024-2025 to $24.8 million. This decline is attributed to the ongoing expenditure of capital resources, which has been a consistent trend in recent years. The council noted that while the budgeted amounts may appear to increase year-over-year, actual expenditures often do not align due to the timing of project completions and economic factors.

A key point of optimism came from the announcement of federal funding from the U.S. Department of Housing and Urban Development (HUD). The city confirmed $14.2 million in federal entitlement funds, marking a slight reduction of 1% from previous years. Additionally, a pro-housing grant was fully approved, allowing the city to move forward with its development plans and social housing studies starting July 1. This funding is crucial as it supports various housing initiatives aimed at addressing the city's ongoing housing crisis.

The council also discussed the breakdown of expenditures, which include personnel costs and external services related to housing programs. In fiscal year 2025-2026, personnel costs are projected to account for 6% of the budget, while the majority of external expenses will support multifamily housing projects and rental services.

As the city navigates these budgetary challenges, the focus remains on finding effective strategies to utilize available resources for the benefit of the community. The council's discussions underscore the importance of continued investment in housing solutions as Portland works to address its pressing housing needs.