Portlanders may be asked to renew a property tax levy next year to cover the growing costs of running city parks.
Last week, Portland City Council directed the Parks Bureau to draft a measure for either the May or November ballot that would renew or increase the city’s current five-year parks tax levy. But it will be up to the incoming council to decide whether to place that measure on the ballot – or to let it expire.
The parks levy, which expires in 2026, funds community centers and pools, covers recreational classes and camps, pays for trash removal in city parks, maintains park wildlife habitats, and offers class discounts to low-income households, among other programs.
“The levy has allowed us to continue high impact and high value community programs, care for our parks and natural areas, and provide more access to more services to more people,” said Sonia Schmanski, the deputy city administrator overseeing the Parks Bureau.
The levy requires property owners to pay $0.80 per $1,000 assessed value of a property annually. For example, the owner of a home with a median assessed value of $228,000 — the average for a Multnomah County home -- pays $182 per year.
According to the city, the tax accounts for 40% of the Parks Bureau’s annual operating costs.
Parks staff say that to maintain the current level of park services and programs funded by the levy, it would need to increase this tax in 2025. If renewed at the same rate, the parks bureau estimates needing to cut those services by 25%. If it’s not renewed, those services would be reduced by 50%.
“The council will need to decide whether to sustain the services funded by the parks levy or reduce park and recreation service levels,” said City Commissioner Dan Ryan, the only current council member who will remain in office next year.
The question is a delicate one. Portland voters have soured to the idea of higher taxes in recent polls, but showed cautious interest in supporting a parks tax this summer. An August poll found that 65% of 664 Portland surveyed said they would support increasing the tax from $.80 to $1.60 in 2026.
That poll also measured voters’ willingness for a costlier levy that funds both arts and parks programs. While 61% of respondents supported this idea, the city is no longer considering this joint funding package. That proposal would have done away with the Arts Tax, the $35 annual fee charged to most Portlanders.
Council members directed Parks Bureau staff to present a ballot measure to renew the parks levy to the incoming City Council by next spring. But they did not suggest a set tax rate.
That conversation will be one for the new 12-person City Council to hash out.
The discussion will coincide with a larger one around the city budget, which is facing revenue shortfalls that could lead to significant bureau cuts. Portland Parks & Recreation is one of the many bureaus struggling financially, with a $600 million backlog in critical maintenance projects across city parks and facilities. The parks levy is not able to pay for major maintenance work.
City council members discussed adding another tax measure to a 2025 ballot that would cover this backlog, but Interim City Administrator Michael Jordan said it would be a tough sell for voters. Jordan said figuring out how to pay for those growing costs while also keeping parks operations running will be up to the city’s incoming leaders.
“That balance, quite frankly, is going to be a really challenging decision for the new council,” he said.