Portland's City Council faces back-to-back votes next week on two massive public spending proposals: a $44 million commitment toward a new performing arts center at Portland State University on Aug. 11, followed by the Moda Center term sheet.

Together, the two projects could obligate the city to more than $160 million in new infrastructure spending at a time when Portland has no identified plan to pay for either one.

The City Life Committee will take up Mayor Keith Wilson's resolution supporting PSU's $449 million Performing Arts + Culture Center, which would include a city-owned, 3,000-seat Broadway-capable hall at 310 SW Lincoln St. PSU Foundation President Sarah Schwarz asked the committee on July 28 to commit $44 million by Dec. 1 as a first installment toward the city's share.

"This initial commitment to invest would support efficient sequencing of the immediate development and pre-construction work ahead," Schwarz told the four-member committee, according to Oregon ArtsWatch. "But perhaps more importantly, it would signal confidence to donors and other potential funding partners, unlocking private philanthropy and investment."

The $44 million was not included in Wilson's resolution as submitted. It would be requested separately as part of the next planning phase the resolution authorizes.

PSU has already raised $157.6 million for its portion of the project, which includes a smaller 1,200-seat theater, academic buildings, a hotel and parking. The Oregon Legislature allocated $137.5 million in state funds toward the PSU venue and parking.

Keller backers push back

Opponents say the city can't take on new venue construction while its three existing downtown theaters need $336 million in deferred maintenance and repairs.

The Portland'5 Centers for the Performing Arts buildings include the Keller Auditorium, which hosted 178 performances and nearly 400,000 attendees last year, with Broadway shows averaging 94% capacity and generating more than $24 million in ticket sales.

During the July 28 hearing, Keller supporters proposed the city invest $5 million to $15 million in safety and amenity upgrades at the Keller over five years instead.

On Aug. 4, the Halprin Landscape Conservancy and Downtown Neighborhood Association sent a letter to committee members calling the PSU request an ongoing lobbying shell game and not a responsible public infrastructure financing plan.

LaJune Thorson, the neighborhood association's board president, testified July 28 that the PSU plan is "the wrong plan at the wrong time."

Council divided

Council President Jamie Dunphy, District 1, backed Wilson's resolution at the July 28 hearing but acknowledged the financing outlook remains uncertain.

"The city needs a direction. This resolution gives us a direction," Dunphy said. "Please move this forward and make an affirmative decision and stop tormenting the community by delaying definitive action."

Council Vice President Olivia Clark, District 4, struck a different tone, saying the city does not have the resources for either project. Clark said she planned to propose amendments before the Aug. 11 meeting.

Moda Center adds to the tab

One day after the PSU vote, the full council is scheduled to vote Wednesday, Aug. 12 on a non-binding term sheet for a $573 million Moda Center renovation to keep the Trail Blazers in Portland.

The city's share: $120 million from sources yet to be confirmed, plus $275 million in maintenance payments over 20 years. The state has approved $365 million in bonds, and Multnomah County has pledged $88 million pending Board of Commissioners approval.

A January 2026 market feasibility study commissioned by the city found Portland's market cannot support two large-scale Broadway-capable venues and recommended building the PSU hall rather than renovating the Keller for Broadway use.

If the Moda term sheet passes, binding contracts would return to council by Dec. 31. The PSU resolution, if it clears committee Tuesday, would also go to the full council for a separate vote on the $44 million commitment before the same year-end deadline. Both the Aug. 11 committee hearing and the Aug. 12 council session are open to public testimony.