Portland prepares budget cuts amid $100 million deficit

Portland is facing a budget shortfall exceeding $100 million for the upcoming fiscal year, a significant increase from earlier estimates of $27 million. The deficit is attributed to factors such as the expiration of $40 million in one-time funding, rising healthcare costs, and increased expenses tied to labor negotiations. City officials are preparing for cuts of 5% to 8% across various departments, including police, fire, and parks, which could lead to the elimination of over 120 staff positions and reductions in critical services. Mayor Keith Wilson and City Council President Elana Pirtle-Guiney acknowledged the severity of the financial crisis, which they termed unprecedented. The city is exploring various cost-cutting measures, with further details expected in February, as they aim to balance the budget while addressing essential services for residents. The situation underscores ongoing economic challenges faced by the city, including declining property and business tax revenues.