Multnomah County Chair Jessica Vega Pederson proposed a $3.9 billion balanced budget on April 16 that includes significant cuts to address a major funding gap for the second consecutive year, while aiming to maintain core safety net services and public safety programs.
The proposal comes as the county faces ongoing financial pressures, including lower property tax revenues from downtown Portland’s real estate market and reduced federal and state funding for health and human services. These factors have contributed to an overall decrease of $93.2 million in the county’s total budget compared to last year, with an $11.1 million shortfall in the General Fund.
In her accompanying letter, Vega Pederson said, “I made tough choices to prioritize vulnerable neighbors and improve how our government works. These are necessary to produce a sustainable budget, without over-reliance on one-time dollars. The tough tradeoffs underscore my commitment to fiscal integrity, effective governance, and most importantly – direct services.”
The proposed budget would eliminate 166 full-time positions across the county. Investments focus on helping people experiencing homelessness transition into housing and maintaining shelter capacity for those in need. An additional $10 million in one-time funds is allocated to move more people from shelters into permanent homes, though some reductions include closing 605 adult shelter units while retaining support for approximately 9,000 individuals currently housed.
Public safety remains a priority with continued funding for jail capacity and a nearly five percent reduction requested from the District Attorney’s Office after previous increases by commissioners. The plan also allocates resources toward mental health programs such as downtown Portland’s Behavioral Health Resource Center and school-based mental health services.
Support for immigrant communities continues through dedicated funding for rent assistance, food security, utilities support programs like Immigrant Resilience Program and Bienestar de la Familia program—aimed at stabilizing families affected by federal policies—and increased eviction prevention efforts.
The SUN Community Schools program will see its number of sites reduced from 92 to 83 due to a $1.2 million cut but will still serve roughly 18,000 students across six districts.
Community members are invited to participate in upcoming public hearings before commissioners vote on June 4. Online dashboards provide access to real-time information about potential reductions or new program requests during this year’s budgeting process.
