Portland task force urges city to launch social housing program

A City Council workshop on Sept. 28 received the final report of the Social Housing Task Force, which spent about a year studying whether Portland should build publicly owned, permanently affordable mixed-income housing. The task force recommended creating a social housing program and revolving fund, using tax-exempt general obligation bonds, and developing two pilot projects, one at 0 Cornell Street and one in partnership with the Portland Housing Authority. No vote was taken; the report now heads to the Housing and Economic Development Committee.

Key points

• The task force, co-chaired by Councilor Kate Sykes and John Featherston, was formed in March 2025 after a unanimous council vote and delivered its final report at the workshop.
• It defined social housing as publicly owned, permanently affordable, mixed-income rental housing for households earning roughly 61% to 120% of area median income, aimed at the "missing middle" rather than competing with existing affordable housing providers.
• The recommended financing tool is a tax-exempt general obligation bond, the same borrowing method used for schools and fire stations; the city's current authorized borrowing threshold is about $10 million, above which voters would need to approve.
• One proposed pilot is a roughly 40-unit project on a three-acre city-owned parcel at 0 Cornell Street in Morals Corner, though a 2008 report indicates arsenic and lead contamination there, so environmental due diligence would come first.
• A second option would add about 20 social housing units on top of the Portland Housing Authority's project at 879 Congress Street, sharing land and development costs.
• Councilor Anna Bullett, who represents District 4 where the Cornell Street site sits, asked whether anyone had walked the site or talked to neighbors; a task force member said the site is gated and no neighbor outreach was done yet.
• Mayor Mark Dion said he was initially reluctant about bonding, calling it the city's credit card, but said the task force's work convinced him to reconsider, while noting other big upcoming needs such as a police station and school facilities.

Next steps

• The report goes to the Housing and Economic Development Committee for review, with further discussion expected in the finance committee.
• Staff and corporation counsel will work on a potential ordinance and draft resolution to establish the program and revolving fund.
• The city will pursue additional environmental due diligence at the Cornell Street site, including possible use of an existing escrow account and federal brownfields funds.
• Corporation counsel will check with bond counsel on whether multiple big-ticket projects could be bundled into a single bond referendum.
• Task force members asked the council to move from the study phase to an implementation phase and to consider capitalization through the next budget cycle or a separate bond authorization.

Read the full transcript