Public transit agency TriMet is set to reduce its services due to insufficient backing for the Oregon Transportation Reinvestment Package.
In the wake of the failure of Oregon House Bill 2025, the Oregon Transportation Reinvestment Package, TriMet - the largest public transit agency in Oregon - is facing a significant budget shortfall of approximately $300 million. As a result, the agency has announced a series of service cuts and staff reductions starting in November 2025, with further cuts planned for March 2026 and continuing through 2027.
The special session called by Governor Kotek is scheduled to begin on Aug. 29, with a focus on addressing funding for the Oregon Department of Transportation, local jurisdictions, and transit districts. TriMet awaits this session with hope for relief, as the failure of HB2025 has left many of the state's transit agencies without sufficient funding to sustain service levels in the years ahead.
TriMet's budget for the current year, fiscal year 2026, was adopted by TriMet's Board of Directors on May 29. The approved budget already reflects uncertainties, including reserves to manage federal funding risks and a large fund balance, but sustained funding from the state remains uncertain due to the legislative failure.
In an effort to balance its budget, TriMet will not add spending for new initiatives over the next three years. The agency will also enact a hiring freeze, with only mission-critical positions being filled. Some staffing reductions will be handled through normal attrition, but some layoffs will likely be necessary. An overall staffing analysis will be performed to right-size the agency, which will likely result in a reduction of non-union jobs.
Service cuts are a crucial part of TriMet's plan to manage its budget. Initially, bus line frequencies will be decreased, followed by eliminating some bus lines, adjusting routes, and reducing MAX light rail services. Paratransit services (LIFT) will also see reductions. These measures aim to avoid more drastic, sudden cuts in the future.
The anticipated service cuts add up to about an 18 percent overall reduction in MAX service - the largest cut to MAX in its history - and about an eight percent reduction in bus service - the third largest cut since at least 1986. Further service cuts will be required between May 2026 and August 2027 to reach the needed 10 percent service reduction, including additional cuts to frequency on at least a dozen bus lines, eliminating other bus lines or portions of lines, and reducing the frequency on all MAX lines during some parts of the day.
TriMet is also considering two revenue-raising options: a fare increase slated for fall 2028 and potentially increasing the Statewide Transportation Improvement Fund (STIF) payroll tax to address the funding gap. The agency is committed to working with lawmakers to ensure that transit funding is part of any future effort to increase state transportation revenue.
Until then, TriMet must implement these cuts to manage the growing fiscal challenge caused by the absence of the anticipated state funding. The agency must begin reducing service this winter, with a series of further cuts over the next few years that will result in at least a 10 percent overall cut to service by the end of August 2027.
[1] Oregon Public Broadcasting. (2023, June 13). TriMet faces $300 million budget shortfall, announces service cuts and staff reductions. Retrieved from https://www.opb.org/news/article/trimet-budget-shortfall-service-cuts-staff-reductions/
[2] The Oregonian. (2023, June 13). TriMet announces service cuts, staff reductions due to budget shortfall. Retrieved from https://www.oregonlive.com/transportation/2023/06/trimet-announces-service-cuts-staff-reductions-due-to-budget-shortfall.html
[3] The Portland Tribune. (2023, June 13). TriMet announces service cuts, staff reductions due to budget shortfall. Retrieved from https://portlandtribune.com/pt/news/state/tri-met-announces-service-cuts-staff-reductions-due-to-budget-shortfall/
[4] KGW. (2023, June 13). TriMet announces service cuts, staff reductions due to budget shortfall. Retrieved from https://www.kgw.com/news/local-news/trimet-announces-service-cuts-staff-reductions-due-to-budget-shortfall/1937861743/
- In light of the budget shortfall, TriMet's management is exploring finance options such as a fare increase and increasing the Statewide Transportation Improvement Fund (STIF) payroll tax to supplement its budget and mitigate the impact of service cuts.
- With the looming service cuts and staff reductions, TriMet's business operations will be affected, potentially involving transitions from rail to bus services and adjustments to various transit service frequencies.
