Milwaukie proposes $213 million budget that leaves reserves below 25% target; city manager flags possible future voter tax move

City Manager Emma Zegor and Finance Director Michael Osborne presented a proposed citywide budget of about $213,000,000 for the 2027'28 biennium and told the Milwaukie budget committee the plan keeps the city in the black but leaves reserves below the city's 25% undesignated reserve policy.

"This budget is, if you look at the citywide budget, all of our funds, it's about $213,000,000," Zegor said as she opened the budget message, adding the proposal reflects a mix of new revenues, organizational restructuring and reductions in capital scope.

Zegor outlined a three-part strategy that guided the last two years of budgeting: stabilize costs, more accurately capture existing revenue streams and identify new revenues. She credited recent policy changes for improving the city's near-term outlook, including an increase in…