See something we could improve on this page? Give website feedback.
Label:
Resolution
Urge the Public Works and Budget and Finance Service Areas to develop a comprehensive strategy for alternative funding for transportation and infrastructure
Adopted
Amended by Council
WHEREAS, funding for Portland’s transportation system has been in long-term decline, resulting in the City’s inability to provide adequate basic maintenance for its transportation infrastructure; and
WHEREAS, every day, Portlanders face cracked pavements, unsafe crossings, crumbling streets, and potholes that the City lacks the resources to properly address; and
WHEREAS, pavement conditions across the City continue to deteriorate, with 56% of busy streets and 64% of local streets currently rated in poor or worse condition; and
WHEREAS, the Portland Bureau of Transportation (PBOT) has experienced successive budget reductions since Fiscal Year 2019; and
WHEREAS, general transportation revenue, primarily derived from fuel taxes and parking fees, is both unsustainable and declining due to increased adoption of fuel-efficient and zero-emission vehicles; and
WHEREAS, the majority of PBOT’s existing funding sources are legally or contractually restricted in their use, and therefore cannot be used to address critical gaps in operations and street maintenance; and
WHEREAS, Portland’s 4,800-mile street network is the City’s largest physical asset, covering approximately 30% of the City’s land area; and
WHEREAS, the Oregon State Legislature did not pass a comprehensive statewide transportation funding package during its 2025 session, resulting in further reductions to PBOT’s operations and maintenance budget; and
WHEREAS, there is an urgent need to identify and develop systemic and sustainable funding alternatives to support the ongoing cost of delivering essential transportation services and infrastructure maintenance;
NOW, THEREFORE, BE IT RESOLVED that Council urges the Public Works Service Area, in collaboration with the Budget and Finance Service Area, to develop a comprehensive strategy to identify and evaluate viable alternative funding sources. This strategy shall include robust and inclusive community engagement, ensuring participation from a broad spectrum of stakeholders—including, but not limited to, individual residents, neighborhood associations, community-based organizations, and representatives of the full range of business interests—to help determine the most feasible and equitable path forward; and
BE IT FURTHER RESOLVED that the Service Areas shall prepare and submit a comprehensive report to the appropriate committees no later than December 1, 2025. This report shall include detailed funding scenarios, a summary of stakeholder input, and key considerations related to implementation.
BE IT FURTHER RESOLVED that City Council urges the Governor to call a special session, as soon as possible, to pass a comprehensive statewide transportation funding package, to avoid further reductions to PBOT’s operations and maintenance budget, as well as those in other communities statewide.
Official record (Efiles)
Impact Statement
Purpose of proposed legislation and background information
Portland’s transportation system is facing a critical funding crisis, marked by a long-term decline in revenue and compounded by successive budget cuts to the Portland Bureau of Transportation (PBOT) since 2019. As traditional funding sources such as fuel taxes and parking fees become increasingly unsustainable—due in part to the rise of fuel-efficient and zero-emission vehicles—the City is struggling to maintain its transportation infrastructure. The effects of this funding shortfall are visible citywide, with over half of busy streets and nearly two-thirds of local streets rated in poor or worse condition, contributing to deteriorating infrastructure, unsafe crossings, and unaddressed potholes.
This situation has been further exacerbated by the Oregon State Legislature’s failure to pass a statewide transportation funding package in 2025, deepening PBOT’s budget challenges. In response, City Council is calling for a coordinated effort by the Public Works and Budget and Finance Service Areas to develop a comprehensive and sustainable funding strategy. This initiative will include broad community engagement to explore equitable alternatives and will culminate in a detailed report by December 1, 2025, outlining funding scenarios, stakeholder input, and recommendations for implementation.
Financial and budgetary impacts
Adoption of this resolution does not result in any immediate or direct financial or budgetary impact. However, the resolution initiates a process to address significant and ongoing funding shortfalls within Portland’s transportation and infrastructure systems. By directing staff to identify and evaluate sustainable funding alternatives, this effort is intended to inform future budget decisions and support long-term financial stability for the Portland Bureau of Transportation. Any potential costs associated with community engagement or strategy development will be managed within existing bureau resources.
Economic and real estate development impacts
Not applicable
Community impacts and community involvement
Portland’s deteriorating transportation infrastructure—characterized by unsafe crossings, potholes, and crumbling streets—directly affects the daily lives, safety, and mobility of residents across all neighborhoods. These conditions disproportionately impact vulnerable communities, including low-income residents, people with disabilities, and those who rely on walking, biking, or public transit. The ongoing lack of adequate funding has limited the City’s ability to maintain streets and provide essential transportation services equitably.
This resolution aims to address these challenges by initiating a community-informed process to explore sustainable and equitable funding solutions. By engaging a broad cross-section of stakeholders—including residents, neighborhood associations, community-based organizations, and businesses—the City seeks to ensure that future transportation investments reflect the diverse needs and priorities of the community. While there is no immediate change to services, this effort lays the groundwork for long-term improvements in infrastructure, safety, and quality of life throughout Portland.
100% renewable goal
Not applicable
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.
Financial and budget analysis
Analysis provided by City Budget Office
No fiscal impact.
Document history
Document number: 2025-265
President's referral: Transportation and Infrastructure Committee (January 15, 2025 - March 30, 2026)