Revise transportation fees, rates and charges for FY 2022-23, amend Transportation Fee Schedule, and fix an effective date (amend TRN 3.450)

Ordinance

The City of Portland ordains:

Section 1. The Council finds:

  1. The Bureau of Transportation has reviewed and updated fee and rate charges as part of the FY 2022-23 budget development process.
     
  2. In accordance with City of Portland Finance Policy 2.06, "The City will maximize and diversify its revenue base to raise sufficient revenue to support essential City services and to maintain services during periods of declining economic activity.  City services providing private benefits should be paid for by fees and charges as much as possible to maximize flexibility in the use of City general revenue sources to meet the cost for services of broader public benefit. The City's overall revenue structure will be designed to recapture some of the financial benefits resulting from City economic and community development investments. Revenue collection efforts that produce positive net income for City service delivery will be the highest budget priority."
     
  3. Transportation has consolidated all fee rates and charges in schedules as set forth in Attachment A (TRN-3.450 Transportation Fee Schedule including Exhibit A, Exhibit B, Exhibit C, Exhibit D, Exhibit E, Exhibit F, Exhibit G, and Exhibit H). The consolidated schedules do not preclude the establishment and / or continuation of fees, rates and charges by resolution, ordinance, Code provision or administrative rule, not otherwise specified in the Ordinance.
     
  4. The Approved Budget for the Bureau of Transportation for FY 2022-23 requires adjustments to fee rates and charges for the 12-month period beginning July 1, 2022.
     
  5. In Resolution 37564, passed by a unanimous vote on February 23, 2022, City Council directed PBOT to implement a series of near-term steps to stabilize revenues and begin to send price signals aligned with the recommendations of the Pricing Options for Equitable Mobility (POEM) task force.

NOW, THEREFORE, the Council directs:

  1. The Bureau of Transportation shall follow the fees, rates and charges in accordance with the FY 2022-23 budget, beginning July 1, 2022 as set forth in Attachment A, and Exhibits A, B, C, D, E, F, G, and H, attached to this Ordinance.
     
  2. As directed by City Council in Resolution 37564, the Bureau of Transportation shall bring forward Performance Based Parking in the Fiscal Year 2023/24 Transportation Fee Schedule, while bringing base meter rates up $0.40 per hour to adjust for inflationary increases, and adjust rates moving forward according to demand and inflation.

  3. TRN-3.450 - Transportation Fee Schedule, including Attachment A and Exhibits A, B, C, D, E, F, G, and H of this Ordinance are adopted as binding city policy.

Impact Statement

Purpose of Proposed Legislation and Background Information

This Ordinance is the Bureau of Transportation’s annual update of transportation fees, rates, and charges, in accordance with City policy. 

Each year the Bureau of Transportation reviews transportation fees, rates, and charges, and makes changes as necessary to meet City goals and policies, manage the use of the right of way, and fund transportation services.

Transportation fees, rates, and charges are part of Binding City Policy TRN-3.450 Transportation Fee Schedule, which is posted in the City’s Portland Policy Documents.  The most recent prior annual update was Ordinance 190437 adopted in May 2021.   TRN-3.450 includes the following schedules;

  • Attachment A: Overview of Transportation Fees and Charges
  • Exhibit A: Parking Services
  • Exhibit B: Transportation Land Use Services
  • Exhibit C: Development and Street Systems Services
  • Exhibit D: Transportation Temporary Use Services
  • Exhibit E: Other Transportation Services
  • Exhibit F: Regulatory Services
  • Exhibit G: Code Enforcement Services
  • Exhibit H: Community Events

This Ordinance is in accordance with City of Portland Finance Policy 2.06, "The City will maximize and diversify its revenue base to raise sufficient revenue to support essential City services and to maintain services during periods of declining economic activity.  City services providing private benefits should be paid for by fees and charges as much as possible to maximize flexibility in the use of City general revenue sources to meet the cost for services of broader public benefit. The City's overall revenue structure will be designed to recapture some of the financial benefits resulting from City economic and community development investments. Revenue collection efforts that produce positive net income for City service delivery will be the highest budget priority."

Highlights of changes for FY 2022-23:

Parking (Exhibit A)

  • On-Street Meter Districts – no change to meter district rates; base meter rates will increase by $0.40 per hour in July 2023 as directed by Council in resolution 37564.
  • Parking Climate and Equitable Mobility Transaction Fee – a new $0.20 per transaction fee is added to on-street parking transactions, as directed by Council in resolution 37564.
  • SmartPark Garage Rates – no change to base rates; temporary reductions in all-day rates remain in place at all city-owned garages.
  • APP permits – no change to base fee; fees will increase by $7.50 per year in July 2023 as directed by Council in resolution 37564.
  • APP permits surcharge – increase as recommended by stakeholder advisory committees.

Land Use (Exhibit B), Development and Street Systems Management (Exhibit C)

  • Fee increases reflect current costs; increases to Land Use and Building Plan Check fees are intended to phase in full cost recovery over several years. 

Temporary Use (Exhibit D), Other Fees (Exhibit E), Regulatory (Exhibit F), Code Enforcement (Exhibit G), Community Events (Exhibit H)

  • Fees are unchanged, or increases reflect current costs.

Financial and Budgetary Impacts

Financial and budgetary impacts:

This ordinance makes adjustments to fee rates and charges effective July 1, 2022.  The revenue from the fee adjustments is already included in the Mayors’ FY 2022-23 Proposed Budget for the Portland Bureau of Transportation.  This ordinance does not authorize additional spending or changes to staffing levels. 

If this legislation is not passed, the Bureau Transportation will not be able to effectively meet City goals and policies, manage the use of the right of way, and fund transportation services.

Community Impacts and Community Involvement

Community impacts and community involvement:

The Portland Bureau of Transportation involved a variety of community stakeholders in the fee development process, including the Bureau and Budget Advisory Committee (BBAC) and parking stakeholder advisory committees. The new Climate and Equitable Mobility Transaction Fee is designed following recommendations from the Pricing Options for Equitable Mobility Task Force, and the parking increases directed in resolution 37564 were supported by a variety of community advocates. The Development Review Advisory Committee (DRAC) was involved in the development of Development Review fees. These discussions with stakeholders and permittees informed Transportation’s annual fee update process.

In response to the ongoing pandemic, the Portland Bureau of Transportation did not advance any increases to fees during the FY 2020-21 cycle and advanced limited increases in FY 2021-22. In addition, the bureau has supported local individuals and businesses through fee reductions, waivers and suspended permitting requirements. The bureau has also continued to support the community by largely maintaining service levels despite substantial declines in discretionary and cost recovery revenues, the cost of which the bureau has borne temporarily through a draw on reserves. The fee changes contained herein do not alter or increase costs to users for subsidized recovery programs, including the Healthy Business Program.

FY 2022-23 fee amounts will be posted online in section TRN-3.450 of the Portland Public Policy documents and will be updated on Bureau of Transportation webpages and forms.  The Portland Bureau of Transportation will notify permittees by mail or email as necessary regarding fee changes.  The Portland Bureau of Transportation will continue to involve community and business groups and other interested parties in fee discussions.

100% Renewable Goal

Not applicable. 

Agenda Items

417 Regular Agenda in May 18-19, 2022 Council Agenda

Passed to second reading

Passed to second reading May 25, 2022 at 9:30 a.m.

450 Regular Agenda in May 25-26, 2022 Council Agenda

Requested Agenda Type

Regular
Portland Policy Document