City releases Current Service Level Budget Report, establishing baseline for next year’s budget

The City of Portland today released its FY 2026-27 Current Service Level Budget Report, prepared by the City Budget Office.

The report lays out the total cost to continue today's services across the city in the next fiscal year, providing a clear starting point for budget discussions. It compares projected expenditures across all funds and service areas against forecasted revenues and reflects the status quo before any reduction scenarios are discussed or policy decisions are made.

This report marks a new and foundational step in the City's budget development process. By establishing the full cost of maintaining existing services in the current fiscal year, the Current Service Level Budget Report provides greater transparency and a clearer understanding of financial trade-offs ahead.

View the Current Service Level Budget Report

In November 2025, Mayor Wilson asked service areas to develop several budget scenarios, including maintaining current service levels, a 3% reduction and a 10% reduction. At that time, the size of the gap between revenues and the full cost of maintaining current services was not known. The Current Service Level Budget Report released today provides baseline information necessary for the Mayor and City Council to thoughtfully and deliberately consider options as the budget process moves forward.

The report does not propose solutions or assume policy decisions; those discussions remain ahead.

Next steps

The City Budget Office will present information in the Current Service Level Budget Report at a City Council work session Wednesday, Feb. 25. In early March, service area teams will present the reduction scenarios requested in the Mayor's November budget guidance to Council during two additional work sessions. These scenarios will provide additional context to help City officials evaluate options and consider potential tradeoffs. They are not included in this report.

The Mayor's Proposed Budget is scheduled for release in April. Community engagement opportunities will be offered throughout the budget process.

The full Current Service Level Budget Report and supporting materials are available on the City Budget Office website: FY 2026-27 Current Service Level Budget and Forecasts | Portland.gov

View FY 2026-27 budget actions taken to date:
FY 2026-27 Budget Development | Portland.gov

View the FY 2026-27 Budget Development Calendar:
FY 2026-27 Budget Development | Portland.gov