723-2021

Emergency Ordinance

*Add Accessibility of Candidate Debates and Forums Code and amend Open and Accountable Elections Program Code to make the program fairer, simpler, easier to navigate, and better optimized to achieve program goals (add Code Chapter 2.09 and amend Chapter 2.16)

Referred

The City of Portland ordains:

Section 1.  The Council finds:

  1. Council adopted the Open and Accountable Elections program in December 2016.
  1. The Open and Accountable Elections program provides candidates, who demonstrate broad community support by collecting many small qualifying contributions from Portland residents, with matching dollars from the City’s Open and Accountable Elections Fund if the candidates agree to follow program rules.
  1. The intention of the program is to reduce actual and perceived corruption by reducing reliance on large contributions by campaigns. This will also allow candidates to engage with individuals from a variety of backgrounds and neighborhoods, which will ensure that the priorities and concerns of all individuals have the opportunity to be heard and increase the participation of all Portlanders by increasing the value of small donations.
  1. The program was launched for the 2020 elections and is currently available for candidates who plan to run in the 2022 elections.
  1. The following amendments are based on recommendations from the Open and Accountable Elections Commission, which oversees the program and is tasked by Code to make recommendations to Council of amendments to improve the program after each election cycle. The Open and Accountable Elections Commission received feedback from program users, community organizations, and the public for how to make the program fairer, simpler, easier to navigate, and better optimized to achieve program goals. It then evaluated the feedback along with quantitative data and the administrative needs of the program to issue the recommended amendments.

NOW, THEREFORE, the Council directs:

  1. Add Code Chapter 2.09, Accessibility of Candidate Debates and Forums, as shown in Exhibit A.
     
  2. Amend Code Chapter 2.16, Open and Accountable Elections Program, as shown in Exhibit B.

Section 2. The Council declares that an emergency exists because the changes apply to the 2022 Election Cycle, which is already underway, and immediate clarity is needed for current and future candidates; therefore, this ordinance shall be in full force and effect from and after its passage by the Council.

Documents and Exhibits

Impact Statement

Budget Office Financial Impact Analysis

This ordinance would have two significant impacts on the ongoing funding allocated to the Public Elections Fund.  

  • First, it would change the allocation from a maximum contribution from the City’s General Fund budget to a baseline funding level calculated based on the number of active and inactive registered voters. This means that Council will be required to allocate at least a certain level of funding based on the City’s voting population rather than capping the allocation, which has allowed the flexibility to reduce support based on lower General Fund revenues or to reprioritize funding for urgent needs on a one-time basis when not required for program support. 

  • Second, the estimated annual funding allocation under the new code language is anticipated to increase the annual General Fund transfer from $1.33 million in the FY 2021-22 Adopted Budget to an estimated $2.09 million. This ongoing increase of $761,257 (not including inflation) will need to be accounted for in the City’s General Fund forecast and may require reductions in FY 2022-23 budget development in order to ensure that the City is in compliance with this code, unless otherwise waived. 

The program anticipates that additional funding will be required to meet increased participation driven by the State Supreme Court’s enforcement of the Honest Elections ballot measure passed by Portland voters in 2018. This adjustment accounts for this and other assumptions based on data from recent election cycles. In total, the program estimates that the cost to run the program could increase by more than 50% annually prior to the creation and enforcement of contribution limits.  

Based on the language in the exhibit, should Council vote to accept these changes, Council should also direct CBO to include a Current Appropriation Level (CAL) Target adjustment in the FY 2021-22 Fall Supplemental Budget ordinance to meet this obligation starting in FY 2022-23. This is estimated to add over $760,000 to the ongoing General Fund expense forecast, which may require ongoing reductions elsewhere in the General Fund to balance. The FY 2022-23 General Fund forecast is still in development. 

CBO notes that this program budget requirement estimate is conservative but difficult to predict at this time. The Public Elections Fund reported an ending fund balance of just over $1.0 million in FY 2020-21, and although these changes may significantly increase program costs, it’s also possible that the program will have an unspent balance at the end of the fiscal year. Council could require the program to return any unspent resources annually in the Fall Budget Monitoring Process or request carryover to offset anticipated program costs. The same expectation is applied to the Bureau of Emergency Communications for its annual General Fund transfer to the Emergency Communications Fund. 

Agenda Items

723 Regular Agenda in September 29, 2021 Council Agenda

Referred to Commissioner of Public Utilities

Prepared by

Susan Mottet

Requested Agenda Type

Regular

Date and Time Information

Requested Council Date
Time Requested
30 minutes
Changes City Code