191724

Ordinance

Revise transportation fees, rates and charges for FY 2024-25, amend Transportation Fee Schedule, and fix an effective date (amend TRN 3.450)

Passed
Amended by Council

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 2024-25 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 2024-25 requires adjustments to fee rates and charges for the 12-month period beginning July 1, 2024.
     
  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.
     
  6. Pursuant to PCC 17.15.040 A 5 and notwithstanding any other provision, the dollar amounts of the SDC set forth in the Transportation SDC Rate Schedule as well as the North Macadam Overlay Rate Study and the Innovation Quadrant Overlay Project Report shall on July 1st of each year be increased or decreased automatically by the difference of the 5-year moving
    average of the 20-City Construction Cost Index published by the Engineering News Record.

NOW, THEREFORE, the Council directs:

  1. The Bureau of Transportation shall follow the fees, rates and charges in accordance with the FY 2024-25 budget, beginning July 1, 2024 as set forth in Attachment A, and Exhibits A, B, C, D, E, F, G, and H, attached to this Ordinance.
  2. 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.

An ordinance when passed by the Council shall be signed by the Auditor. It shall be carefully filed and preserved in the custody of the Auditor (City Charter Chapter 2 Article 1 Section 2-122)

Passed as amended by Council

Auditor of the City of Portland
Simone Rede

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 annual update was Ordinance #191294 adopted on May 31st, 2023.  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 2024-25:

Parking (Exhibit A)

  • On-Street Meter Districts – base meter rates increase by $0.20 per hour to account for inflation.
  •  APPP permits – fees will increase by 10 percent to work towards full cost recovery as directed by Council in resolution 37564.

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. 

Transportation Development (Exhibit C)

  • Transportation System Development Fees will increase by 8%.

Exhibits D, E, G and H 

  • These fees are unchanged or reflect inflationary adjustments.

Regulatory Fees (Exhibit F) 

  • The Ordinance increases the per ride surcharge assessed to users of Transportation Network Companies (TNCs) such as Lyft and Uber – from $0.50 to $0.65 – and adds an Accessibility Surcharge of $0.11 per ride, wholly devoted to funding subsidies for TNCs to operate wheelchair accessible fleets.
  • All other fees are unchanged or increases reflect inflationary adjustments.

Financial and Budgetary Impacts

This Ordinance makes adjustments to fee rates and charges effective July 1, 2024.  The revenue from the fee adjustments is already included in the FY 2024-25 Approved 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, or fund transportation services.

Community Impacts and Community Involvement

The Portland Bureau of Transportation regularly engages with community stakeholders, such as the Bureau and Budget Advisory Committee on budget, which are heavily influenced by fees. In addition, stakeholder advisory committees weigh in on Area Parking Permit surcharges as well as restricted event districts. Finally, the Bureau engages with the Development Review Advisory Committee (DRAC) on development review fees.  These discussions with stakeholders and permittees informed Transportation’s annual fee update process.

FY 2024-25 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

N/A

Financial and Budget Analysis

This action authorizes annual update to PBOT’s fee schedule. Changes for the FY 2024-25 budget year include a $0.20 per hour increase to parking meter rates, a $0.15 per trip surcharge on TNC trips, an 8% increase in system development charges. Adoption of this ordinance will be reflected in budgeted revenue to support the FY 2024-25 Adopted Budget.

Document History

Item 375 Time Certain in May 15-16, 2024 Council Agenda

City Council

Passed to second reading as amended

Motion to substitute Exhibits C and E: Moved by Mapps and seconded by Gonzalez. (Y-5)
Passed to second reading as amended May 22, 2024 at 9:30 a.m.

    Item 412 Regular Agenda in May 22, 2024 Council Agenda

    City Council

    Passed As Amended

    • Aye (4):
      • Dan Ryan
      • Mingus Mapps
      • Carmen Rubio
      • Ted Wheeler
    • Nay (1):
      • Rene Gonzalez

    City department

    Requested Agenda Type

    Regular

    Date and Time Information

    Requested Council Date
    Portland Policy Document