Consultants present plan to improve transparency and governance of Portland's internal service fund rates

City operations staff and consultants told the Finance Committee that Portland's internal service fund rate-setting processes are technically complex and have produced confusion and distrust between provider bureaus and customers, and they outlined a set of documentation, governance and communication reforms intended to increase transparency.

Sarah Morrissey, deputy city administrator for city operations, introduced the internal service fund project and said its goals are to make rate-setting more transparent, consistent and efficient for both service providers and customers. Jessica Kinnard of Equilibrium Collaborative summarized the firm's findings and recommendations after interviewing stakeholders and seven comparative jurisdictions.

Kinnard said Portland's internal service funds cover central services such as fleet, facilities, technology services, and printing and distribution. She explained that internal service funds must fully…