Portland considers $600K loan to support Bull Run hydropower fund

[00:00:00]Well, this morning Portland City Council is set to talk about a city-owned hydropower project that's facing a financial shortfall. City leaders say the project generates enough electricity to power thousands of homes each year.

[00:00:12]>> So, counselors will consider a proposal to temporarily move money from one city fund to another to help. And Sunrise reporter Cory Johnson joins us live with a look at what's being considered here.

[00:00:22]Good morning, Cory.

[00:00:25]>> That's right, China Matthew. Portland leaders are looking at a temporary loan that would help cover a funding gap tied to the city's hydropower project near Bull Run. And counselors are expected to consider a proposal and first introduced by Mayor Keith Wilson that would loan up to $600,000 from the parks capital fund to the city's hydroelectric power operating fund. The hydropower project near Bull Run generates enough electricity for about 10,000 homes each year with that power sold to PGE. But, the city says the project has been generating less revenue than expected in recent years.

[00:01:02]Documents show that's partly because equipment has been taken offline for repairs and weather conditions have affected water flow used to generate electricity. City records also showing reserve funds have been shrinking and this year the fund is expected to spend more money than it brings in. Leaders say the temporary loan would help keep the fund from ending the fiscal year in the red while the city works to rebuild revenue. And keep in mind the proposal calls for the money to be paid back with interest by June of next year. And city documents say that the parks capital fund does have enough money available in order to cover the temporary loan.

[00:01:39]Counselors are expected to discuss the proposal during a meeting later this morning at 9:30. Matthew, China.