Beaverton Budget Committee Meeting – June 2, 2026

The Beaverton Budget Committee reconvened on June 2, 2026, to hold a public hearing on the proposed City of Beaverton Fiscal Year 2026-27 budget. The meeting included presentations on the Public Works Funds (Capital Development, Capital Projects, Street Fund, and Utility Funds) and the Capital Improvement Program. After deliberation, the committee voted to approve the budget as amended, setting the ad valorem tax rate for operations at $4.6180 per $1,000 of assessed valuation and a property tax levy for general obligation debt of $2,500,000.

Public Comments & Testimony

• Blaine Solimani Pearson (Beaverton resident) testified that the city budget is a “moral document” and urged the committee to shift resources away from corporate tax breaks and data centers, to ensure city funds are never used for civil immigration enforcement, and to adopt ethical screening criteria for vendors. He expressed support for the city’s sanctuary promise and called for “structural boundaries” to prevent local dollars from supporting mass detention and deportation. He also urged the city to restrict contracts with corporations complicit in human rights abuses.

Discussion Items

• Conflict of Interest Declarations: Several council members and the mayor declared potential conflicts of interest because the budget includes council compensation. The mayor noted that the city charter prohibits council members from taking the salary increase, calling the declaration “unnecessary.” Councilors Hartmeyer Prigg, Tivnon, Kimmy, and Beatty each made a statement. The city attorney advised that the declarations were prudent.
• Public Works and Capital Fund Presentations (Dan Weinheimer, Assistant City Manager):
  • Capital Development Fund: Focuses on civic capital projects. Recent projects include the Beaverton shelter, City Park playground replacement, and EV charging stations. Activity is ramping down as the shelter project wraps up.
  • Capital Projects Fund: Focuses on transportation capital projects, funded by the Street Fund, Transportation Development Tax (TDT), and Major Streets Transportation Improvement Program (MSTIP). Key projects: Millikan Way realignment (design finalizing, construction beginning in FY2026-27) and Westgate-Dawson realignment.
  • Street Fund: Has a structural deficit. Revenues from gas tax, vehicle registration fees, and right-of-way fees have stagnated. The city is limited to crack sealing and overlays; large-scale road rehabilitation is not funded. An interfund transfer methodology adjustment is included.
  • Water Fund: Funded by rates. A 10-year rate plan began in FY2021. The FY2026-27 increase is approximately 9% ($7.30/month for an average household using 8 CCF). Funds major projects: Willamette Water Supply System (5% partner), aquifer storage and recovery well (ASR #3), Cooper Mountain booster pump station, and advanced metering infrastructure (smart meters). One additional FTE is added for the purple pipe (reclaimed stormwater) system, which is now fully operational.
    • Question from Board Member Benish: How do Beaverton’s water rates compare to neighboring cities? Susan (finance staff) replied that Beaverton ranks about fourth when combining fixed monthly and consumption charges; Tualatin Valley Water District and Tigard tend to have higher combined bills. Updated statistics will be provided at the June 16th public hearing.
  • Sewer Fund: Uses a fixed connection point charge and consumption based on winter water average (8 units). A new Sewer SDC Fund is created to better track capital projects. The current year budget was too low; a rate study (first external review) is underway but delayed by about three months due to staffing turnover. The study will evaluate rates for sewer and stormwater.
  • Storm Drain Fund: Fixed monthly charge per equivalent service unit (ESU). Also subject to the rate study. A new SDC fund is created. Notable projects: Cedar Mill watershed rehab, Progress Ridge treatment vault, and decant facility expansion at the public works yard.
• Capital Improvement Program (CIP): Projects are prioritized using eight scoring criteria (maintenance, health/safety, economic vitality, climate impact, equity, etc.). Funding sources include rates, gas tax, system development charges, urban renewal, and federal earmarks. Significant projects: WIFIA program (18 water-related projects, $165.5 million, nearing completion), Willamette Water Supply, Downtown Loop (demonstration project on Hall between 1st and 3rd), Millikan Way, and Cooper Mountain Reservoir #3. Staff noted that the city has not yet been able to access federal grant funds for the Loop project due to changes in grant terms.
• Budget Guiding Principles: Councilor Hassan proposed a discussion on updating the budget guiding principles, suggesting that the language should be refined to better reflect values (e.g., diversity, equity, inclusion, and climate sustainability). She deferred formal amendments to a future council meeting. Committee members Kia and Langford offered feedback: Kia cautioned about wording to ensure continued eligibility for federal grants under the current administration, and suggested careful phrasing around “human rights” to avoid political stances. Langford emphasized considering downstream impacts on low-income households and subsidy programs.

Key Outcomes

• Amendment Package One: The committee approved a motion (10 yes, 0 no, 4 absent) to adopt Amendment Package One, which contained seven technical and clerical modifications to the proposed budget. Councilor Teeter clarified that these were not substantive changes.
• Budget Approval: The committee approved a motion (11 yes, 0 no, 3 absent) to approve the proposed FY2026-27 budget as amended, setting the ad valorem tax rate for operations at $4.6180 per $1,000 of assessed valuation and a property tax levy for general obligation debt at $2,500,000.
• Next Steps: The approved budget will be forwarded to the City Council for a public hearing on June 16, 2026. The committee also discussed the need for ongoing fiscal sustainability work, including potential structural changes, consolidation of departments, and continued advocacy for state-level reform of Measure 5 (property tax limitations).
• Note on Absences: Nelson Banyus, Chris Campbell, and Teresa Payne were absent. Councilor Tivnon left the meeting before the final vote but was marked present for the roll call.