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Label:
Ordinance
Revise transportation fees, rates and charges for FY 2026-27 and amend Transportation Fee Schedule (amend TRN 3.450)
Passed
The City of Portland ordains.
Section 1. The Council finds:
- The Bureau of Transportation has reviewed and updated fee and rate charges as part of the FY 2026-27 budget development process.
- In accordance with City of Portland Finance Policy 2.06, "The City shall 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 shall 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 shall be the highest budget priority."
- 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.
- The Approved Budget for the Bureau of Transportation for FY 2026-27 requires adjustments to fee rates and charges for the 12-month period beginning July 1, 2026.
- Pursuant to PCC 17.15.040 A 5 and notwithstanding any other provision, the dollar amounts of the System Development Charge (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 will on July 1st of each year be increased or decreased automatically by the difference of the five-year moving average of the 20-City Construction Cost Index published by the Engineering News Record.
NOW, THEREFORE, the Council directs:
- The Bureau of Transportation shall follow the fees, rates and charges in accordance with the FY 2026-27 budget, beginning July 1, 2026 as set forth in Attachment A, and Exhibits A, B, C, D, E, F, G, and H, attached to this Ordinance.
- 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.
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
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 #192061, passed on May 21, 2025. TRN-3.450 includes the following schedules:
- Attachment A Overview of Transportation Fees and Charges
- Exhibit A Parking
- Exhibit B Community Events
- Exhibit C Transportation Dev. & Street Systems Management Services
- Exhibit D Temporary Street Use Permit Fees for Right of Way
- Exhibit E Other Transportation Fees, Rates and Charges
- Exhibit F Regulatory
- Exhibit G Enforcement Penalty Schedule
- Exhibit H Transportation Utility Fee
This Ordinance is in accordance with City of Portland Finance Policy 2.06, "The City shall 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 shall 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 shall be the highest budget priority."
Highlights of changes for FY 2026-27:
- Most fees are rising by the default escalation rate of 6.18%. This is PBOT's weighted average rate of expected cost escalation based on the escalation rates provided by the City Economist and applied to the Bureau's expenditure portfolio.
- The Street Damage Restoration Fee recently passed by City Council has been added to Exhibit C.
- New transportation development review fees have been added to Exhibit C.
- The Transportation Utility Fee recently passed by City Council has been added as Exhibit H.
Financial and budgetary impacts
This Ordinance makes adjustments to fee rates and charges effective July 1, 2026, and in some cases, January 1, 2027. The revenue from the fee adjustments is already included in the FY 2026-27 budget proposal 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 of 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. 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 those development review fees that remain in PBOT's portfolio. These discussions with stakeholders and permittees informed Transportation's annual fee update process.
FY 2026-27 fee amounts will be posted online in section TRN-3.450 of the Portland Public Policy documents and will be updated on the 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.
Economic and real estate development analysis
Analysis provided by Prosper Portland
An Economic and Real Estate Development Impact Statement was submitted for this proposed action. Pursuant to City Council Resolution 37664, Prosper Portland staff has reviewed the item statement.
The statement would be strengthened by addressing or expanding on the following:
- The statement briefly touches on potential adverse economic effects of raising fees and would benefit from additional discussion about the tradeoffs between service delivery and increasing the cost of living in Portland
- The statement includes the assertion that "…priced parking is a key tool in promoting economic vitality in high demand areas" and would benefit from expanding on the rationale underpinning this statement.
- A discussion of how these fee increases compare to similar cites in the Portland region, Hillsboro, Beaverton, Vancouver and larger peer cities such as Seattle, Denver, Spokane, and Sacramento.
- Under Community Involvement, this item discusses stakeholder advisory committees, and community stakeholders. Ideally, the Economic and Real Estate Impact statement should detail which committees and/or impacted stakeholders were involved in the policy discussion that led to this proposal and include the nature of the review, public testimony, and feedback collected.
Document history
Document number: 2026-160
President's referral: City Life Committee