In order to bring a proposed ballot issue in front of voters in November, the Metro regional government is anticipated to abandon its plans to put a revised homeless services levy on the May ballot.
Metro Council President Lynn Peterson told The Oregonian/OregonLive Editorial Board on Wednesday that the council will likely go there in order to give us a few more months to make sure we’ve crossed all the ts and i’s.
The statement was made only hours before a collection of community organizations, corporate executives, and housing service providers who support the tax renewal wrote to Metro, requesting that the regional government postpone putting the proposal on the May ballot for revision and extension.
The leaders of dour organizations representing businesses, housing providers, and racial justice organizations signed the letter, which reads, “We write today to express our shared belief that extending the potential referral timeline to November is necessary to finalize a reform package that balances broad support, accountability, and the needs of those most affected by the housing crisis.”
The signatories included Marcus Mundy, executive director of the Coalition of Communities of Color, an association of 19 community organizations focused on racial justice and equity; Molly Hogan, executive director of the Welcome Home Coalition, an advocacy group dedicated to housing justice; Andrew Hoan, president and CEO of the Portland Metro Chamber, a business association; and Angela Martin, director of Here Together, a political advocacy group focused on ending homelessness.
The letter stated that all four organizations had agreed on the main objective of prolonging the tax, but acknowledging that as recently as November, they had significant differences in priority for a new housing services legislation. In order to properly engage the community, involve recently elected leaders in the planning process, and establish final agreements that would lead to a stronger yes campaign for the measure next fall, they requested extra time.
According to the letter, we pledge to provide you with updated SHS program proposals by the middle of April 2025 that will reflect the collective voice of our organizations in order to strengthen our alliance.
The Metro Council was supposed to vote by early February on whether to put the initiative on the May ballot after holding a public hearing and first reading of the proposal on Thursday.
This week, however, the council changed its agenda to include a second work session on the proposed measure on Thursday rather than a first reading.
For over a year, Metro officials have been trying to present a proposal to voters that would update and extend the tax, which was first approved in 2020 and has helped fund a significant increase in shelter beds, rent assistance, and other initiatives to combat homelessness in the counties of Multnomah, Clackamas, and Washington.
Last week, Metro unveiled a plan that would cut the tax rate for individual households, extend the tax until 2050, improve spending monitoring, and permit a portion of the tax proceeds to be utilized for affordable housing. The bill would increase the income threshold at which the tax would begin to apply in order to adjust for inflation, although businesses and high-income persons would still be required to pay the tax.
According to Martin, there is widespread consensus among housing service providers, corporate executives, and other community organizations that improved planning and accountability are necessary for the allocation of homeless services tax income. According to her, there is also widespread consensus that additional funding is required to construct affordable housing and that a lengthy extension is required to enable providers to establish extremely effective systems of support and care for individuals experiencing homelessness.
However, Martin noted that there is still debate among those leaders on the appropriate tax rate and income threshold. Individuals who earn more than $125,000 or couples who earn more than $200,000 are currently subject to a 1% tax collected by Metro. For the past two years, the tax has generated more than $330 million in revenue.
Martin told The Oregonian/OregonLive on Tuesday that the tax package that brings us all together is where we are still negotiating. Our goal is to form an effective alliance that will last throughout the measure, not just on election day.
Metro voters are not very supportive of a proposed legislation, according to polling. Only 51% of prospective voters who were given a brief overview and title of the issue stated that they would certainly or probably approve it, according to a survey conducted in November.
The planned tax reforms, especially the idea of allocating an as-yet-unspecified percentage of tax revenue to affordable housing, have also alarmed the leaders of the three counties.
For The Oregonian, Lillian Mongeau Hughes writes about mental health and homelessness. For advice or inquiries, send her an email [email protected]. Or follow her on X at @lrmongeau or [email protected].
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