Approve levying taxes for the City for the fiscal year beginning July 1, 2025 and ending June 30, 2026
The City of Portland ordains.
Section 1. The Council finds:
- The Fiscal Year 2025-26 Budget for the City was adopted, and appropriations made by the Council on June 18, 2025, by ordinance.
- The City has approved and certified tax increment collections, which will be used to pay urban renewal debt service requirements.
- In no case will an urban renewal district receive more than the amount of tax increment revenue allowed under the statutory formula outlined in ORS 457.440.
- In addition to the Notice of Property Tax and Certification of Intent to Impose a Tax, Fee, Assessment, or Charge on Property (Form LB-50), the Department of Revenue has issued a Notice to Assessor (Form UR-50), on which the City is required to categorize urban renewal levies by Option One Plans, Option Three Plans, Other Standard Rate Plans, and Other Reduced and Permanent Rate Plans. Form UR-50 also requires the City to certify the Amount from Division of Tax and the Special Levy Amount.
- Collection of tax levy revenues is contingent on the actual assessed value.
- The City will certify and collect property tax revenues based upon the assessed values as determined by the respective County Assessors of Multnomah, Clackamas, and Washington Counties.
NOW, THEREFORE, the Council directs:
- Taxes are hereby categorized and levied for municipal purposes for the fiscal year beginning July 1, 2025, on all taxable property, both real and personal, within the corporate limits of the City as follows:
- For General Government, the permanent tax rate of $4.5770 per $1,000 of assessed valuation.
- For General Government, to be credited to the Fire and Police Disability and Retirement Fund, the amount of $251,613,821.
- For General Government, a voter-approved local option children’s levy taxing rate of $0.4026 per $1,000 of assessed valuation.
- For General Government, a voter-approved local option Parks levy taxing a rate of $0.8000 per $1,000 of assessed valuation.
- Excluded from Limitation, for bonded indebtedness the estimated amount of $33,570,654.
- The City Budget Director is hereby directed to certify on Form LB-50 the tax levies made in Section 1.a of this ordinance to the Assessors of Multnomah, Clackamas, and Washington Counties.
- In order to continue the City's active urban renewal districts and provide for potential future tax revenue for obligations of the North Macadam Urban Renewal Area Debt Redemption Fund, the Gateway URA Debt Redemption Fund, and the Cully Tax Increment Finance District Debt Service Fund, the Assessors of Multnomah, Clackamas, and Washington Counties are hereby requested to implement the procedures specified in ORS 457.420 through ORS 457.440 and other applicable state law relative to tax increment financing of urban renewal indebtedness, subject to the certifications contained in Section 1.d of this ordinance.
The City Budget Director is hereby directed to certify that the City requests that tax increment revenue be collected for urban renewal bonded indebtedness and other indebtedness in FY 2025-26 for Gateway Regional Center; North Macadam; and Cully, 82nd Avenue, East 205, Sumner-Parkrose-Argay-Columbia Corridor, Lloyd-Holladay, Central Eastside Corridor, and Westside Tax Increment Finance District debt service requirements as outlined below. On Form UR-50, the following amounts will be certified for urban renewal collections:
- Collection of the tax increment revenues is contingent on actual assessed value growth.
- The actions to certify and levy taxes contained in this ordinance are binding City policy.
Official Record (Efiles)
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 by Council
Auditor of the City of Portland
Simone Rede
Impact Statement
Purpose of Proposed Legislation and Background Information
The ordinance listed above must be passed by Council to prepare the City for the beginning of a new fiscal year on July 1, 2025. This item levies City property taxes in the amount of $766,253,683 and urban renewal collections of $43,435,000 for FY 2025-26.
Financial and Budgetary Impacts
The ordinance will raise an estimated $706,542,982 (net of compression, delinquency, and discounts) in City property taxes for FY 2025-26. Urban renewal collections noted above will also be collected net of compression, delinquency, and discounts.
Economic and Real Estate Development Impacts
Not applicable.
Community Impacts and Community Involvement
The City’s annual budget includes multiple programmatic changes that will impact the community. These programmatic changes invest resources and reallocate internal resources into bureau programs as articulated in the Adopted Budget. A three-member Community Budget Advisory Board was invited to sit in on budget discussions with the Mayor and Council as the budget was developed. There were Council work sessions held to discuss the FY 2025-26 Budget process in April and May of 2025. Council conducted four listening sessions in March and April of 2025 as well. Public comment has been solicited on the City Budget Office website, and in accordance with Oregon Local Budget Law, live public testimony was received on May 7th, 2025 during the Mayor's Proposed Budget Hearing and will be heard again on May 21st, 2025. Council members receive weekly emails from the CBO compiling the written comments received by the public through the online portal.
100% Renewable Goal
This action does not directly impact the 100% renewable goal.
Financial and Budget Analysis
Analysis provided by City Budget Office
Economic and Real Estate Development Analysis
Analysis provided by Prosper Portland
An Economic and Real Estate Development Impact Analysis was not submitted for this proposed action. Pursuant to City Council Resolution 37664, Prosper Portland staff has reviewed the action and agree that it does not require an Economic and Real Estate Development Impact Analysis.
Document History
Document number: 2025-241
President's referral: City Council