Adams warns of deficit


Portland Mayor Sam Adams says future deficit is likely if the city’s budget isn’t changed.

Share this article!

Portland Mayor Sam Adams issued a memo to City Council saying the city’s current budget needs to be changed in order to avoid future deficit.

Adams said the city will receive $2 million to $4 million less than expected in business license fees, but city bureaus are spending at a faster rate than previous years.

If revenue and spending trends continue, the city could end next year’s budget with a $2 million deficit, the memo says. That would violate the Oregon Constitution, which requires the state and local governments to balance their budgets every fiscal year.

As a result, Adams is directing bureaus to take a number of immediate efforts to slow down their spending. Steps include an end to non-emergency overtime, cancellation of all optional consulting contracts, and mandatory approval of expenditures of more than $10,000.

Read the full story at the Portland Tribune.

{biztweet}Portland budget deficit{/biztweet}