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Council adopts voluntary "pennies for climate" program; approves PGE franchise-tax increase in a 5-1 vote that must return for a final reading
Summary
Council adopted Resolution 5913-25 authorizing an opt-out 99 monthly "pennies for climate action" program and advanced Ordinance 1452-25 to impose a 0.3% privilege tax on Portland General Electric, approving the ordinance 5-1; because the ordinance vote was not unanimous it will return at the next meeting for final adoption.
The Tualatin City Council on Sept. 22 adopted a two-part package to fund its Climate Action Plan: a voluntary, opt-out program and a proposed increase to the city's PGE franchise fee.
Resolution 5913-25 authorizes a "pennies for climate action" program modeled after similar utility-level opt-in/opt-out initiatives. Under the plan, customers would be given the option to opt out of a nominal contribution (presented at $0.99 per month on average) beginning January 2026; staff said outreach and marketing would begin in October. The resolution passed on a recorded vote.
Council also conducted first and second reading of Ordinance 1452-25, which would raise Portland General Electric's privilege-tax rate by 0.3 percentage points. Staff estimated the increase at roughly $0.49 per month for the average residential bill (based on a $164 monthly PGE bill) and projected approximately $150,000 in additional annual revenue dedicated to the Climate Action Program. The ordinance passed a final roll-call vote 5-1, with dissent noted and city staff reminding the body that, per local rules, because the vote was not unanimous the ordinance will return at the next council meeting for another vote before it becomes final.
Sherilyn, presenting the package, said the revenues from the resolution program and the PGE privilege-tax increase would be dedicated to implementing the Climate Action Plan and to funding a new climate action program manager position; the city said it is actively recruiting for that role.
Why it matters: The initiatives create local, dedicated revenue streams to implement mitigation and adaptation measures under the city's Climate Action Plan. The PGE tax impact on residential bills is small per household, but the aggregate revenue is intended to underwrite program staffing and project work.
Next steps: Outreach for the pennies-for-climate program will begin in October; implementation and billing changes are planned to start in January 2026 if subsequent procedural steps and a final ordinance vote are completed.
Quotes: "With the authorization tonight, we will begin marketing it in October with the fee beginning January '26," Sherilyn said. On the franchise tax proposed increase, staff said the average residential PGE bill would rise by about "49 a month."
