Portland Considers $4 Million Budget Shift from Camp Removals to Aid Programs

Tyler Francke

Canby News

Portland Considers $4 Million Budget Shift from Camp Removals to Aid Programs

Overview

Portland City Council is set to debate a major budget amendment on Wednesday that could shift over $4 million from the city’s homeless camp removal program to social support efforts such as food assistance, refugee aid, and housing programs.

The proposed change has ignited a heated debate between Mayor Keith Wilson and Councilor Angelita Morillo, reflecting growing divisions over how the city should address homelessness and public safety.


The Amendment Proposal

The amendment, introduced by progressive Councilor Angelita Morillo, seeks to cut $4.3 million from the Impact Reduction Program (IRP) — a $16.7 million initiative that oversees the clearing of homeless encampments and removal of waste from public areas.

Morillo argues the reallocation would provide immediate relief to residents struggling with hunger and housing insecurity, especially as delays in SNAP benefits have impacted thousands of Oregonians following the federal government shutdown.

“The Mayor’s plan to continue sweeping our unhoused neighbors is not only morally bankrupt, it is empirically a failure,” Morillo said in a statement. “We must choose between further traumatizing vulnerable people or stabilizing them with the direct support they need.”


Mayor’s Opposition

Mayor Keith Wilson has firmly opposed the amendment, warning it could endanger Portland’s cleanliness, safety, and economic stability.

In a weekend newsletter to residents, Wilson said that cutting IRP funding would force the city to lay off nearly 100 workers and could result in millions of pounds of trash and hazardous materials going uncollected.

“Reallocating these funds would put Portland’s livability at risk,” Wilson wrote. He urged residents to contact their city councilors and voice opposition before the vote.


Growing Tensions Over Homeless Policy

The amendment comes amid increasing tension between Wilson and several city officials following his recent enforcement of Portland’s camping ban. Critics accuse the mayor of criminalizing poverty and failing to provide sufficient long-term housing options.

At the same time, Wilson maintains that the city is making progress by adding hundreds of new shelter beds, part of his campaign promise to end unsheltered homelessness by year’s end.

“Enforcement is only one part of the solution,” Wilson said previously. “We’re investing in shelter capacity and outreach efforts that help people transition off the streets.”


Morillo Fires Back

Morillo pushed back strongly against the mayor’s statements, accusing him of misrepresenting her amendment’s intent.

“Mayor Wilson could’ve called me to clarify and ask questions before blasting us in a newsletter,” she wrote on social media. “But of course, he has to find a scapegoat when he doesn’t magically end homelessness by December 1 by warehousing people.”

Morillo emphasized that the proposed funding shift is not about ending all encampment cleanups, but about reducing the number of sweeps and prioritizing programs that provide direct assistance.


Public Reactions

The proposal has divided residents as well.

Supporters of Morillo’s plan argue that the city’s “sweeps-first” approach has proven ineffective and inhumane. They believe redirecting funds could help tackle the root causes of homelessness by improving access to food and housing.

Opponents, however, warn that cutting back on camp cleanups could lead to worsening sanitation issues, increased public health risks, and reduced accessibility in parks and sidewalks.


The Broader Context

Portland has long struggled to balance compassion with practicality in addressing its homelessness crisis. The Impact Reduction Program was originally designed to manage encampments while connecting individuals to services, but critics say it now focuses too heavily on enforcement and displacement.

Meanwhile, budget constraints and delays in federal aid have pushed city leaders to re-examine how resources are distributed. The debate over this $4 million amendment has become symbolic of Portland’s larger ideological divide — between immediate cleanup and long-term investment in people.


What’s Next

The City Council meeting will begin at 9:30 a.m. on Wednesday, where members will review Morillo’s amendment alongside several other proposed changes to the city’s budget.

The outcome could shape the future of Portland’s homelessness response — either reinforcing Mayor Wilson’s cleanup-focused strategy or ushering in a shift toward direct aid and stabilization efforts.

Regardless of the vote, both sides agree that Portland must find a sustainable path forward. As the city continues to wrestle with homelessness, poverty, and livability concerns, Wednesday’s decision may prove to be a defining moment in how leaders choose to move ahead.

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