April 3, 2025
Portland Advances Centralized Organizational Structure to Enhance Efficiency and Collaboration

The streamlined structure consolidates six service areas into four, with core functions like communications, engagement, and equity undergoing realignment to unify approaches and optimize service delivery.

“The City of Portland is transitioning to a ‘learning organization’ model designed to streamline collaboration and decision-making, align mission with bureaus and programs, and centralize core internal services for better delivery across the enterprise,” said Portland Mayor Keith Wilson. “I’m grateful to the City Council and everyone who contributed to taking this critical reorganization from a whiteboard design to a fully implementable plan. Successfully reorganizing our city workforce could not be more important to efficiently, effectively, and collaboratively delivering better services and outcomes to Portlanders.”

Citywide employee letter from City Administrator Michael Jordan: 

Organizational updates – Monday 3/31/2025

City Employees:

We are finding new meaning in the old saying, “The only constant in life is change.” I want to acknowledge the pace and intensity of evolution in the City of Portland as I write with updates about our organizational structure.

When we prepared for Portland’s charter transition, we organized operations into service areas, which are groupings of bureaus and programs with related missions. We always anticipated the City’s organizational structure continuing to evolve. The need to evaluate and iterate has been heightened by our historic budget gap and our commitment to operate as effectively as possible.

Mayor Wilson and I believe it’s critical to continue leveraging the benefits of service areas while streamlining operations and creating clear lines of decision-making. As part of that effort, we intend to consolidate from six service areas to four. We are also advancing a more interlinked and centralized model for delivering core services across the enterprise.

Mayor Wilson has challenged us to deliver a “learning organization” structure with shared knowledge and efficiencies across service areas. That means shifting to a model designed to raise standards, improve deliverables to internal teams, and foster better outcomes for the public.

The attached organizational chart illustrates the City’s updated structure, which will be implemented in phases starting July 1. Key changes are highlighted below.

  • Bureaus and programs within Vibrant Communities will move to mission-aligned service areas.
  • Parks & Recreation and the Vibrant Communities Support Services team will join the Public Works Service Area under the leadership of Priya Dhanapal.
  • The Portland Children’s Levy and the Office of Arts & Culture will move to Community & Economic Development under the direction of Donnie Oliveira.
  • Sonia Schmanski, our deputy city administrator for Vibrant Communities, will oversee the transition as this service area is phased out.
  • The City Operations Service Area will incorporate parts of the Budget & Finance portfolio, consolidating core internal services and business functions. Sara Morrissey will serve as the deputy city administrator for the combined service area, which is charged with delivering responsive services that meet the needs of our community and employees.
  • Communications will move to City Operations for enterprise-wide service delivery.
  • As Chief Financial Officer, Jonas Biery will report to the City Administrator while continuing to oversee core financial services: Accounting, Public Finance and Treasury, Revenue, and Risk. This shift will provide a direct line of contact with the Mayor and City Council while we develop the City’s budget and manage our financial stability.

As I have shared, realignment work is underway among core services: communications, engagement, equity, procurement, human resources, technology, and business operations. Each work area is conducting an evaluation designed to unify approaches across the City and reduce the footprint of our operations. 

Mayor Wilson has directed us to move boldly into a centralized model, with embedded teams in service areas reporting to the citywide leader for their practice. This will prioritize subject matter expertise and working relationships while providing clear lines of accountability and decision-making. We are committed to implementing these changes thoughtfully to ensure they support the long-term health of our organization.

Once we complete this initial suite of transitions, we may consider centralized models for other services. Additionally, we should be prepared for more unified structures and approaches within service areas, including capital project planning, administrative support, or other functions.  

You likely have questions about these updates. Please be on the lookout for an invitation to our next employee townhall on Thursday, April 10, which will focus on organizational change.

I want to recognize all the City leaders and employees who have helped their service areas get off to a successful start. Our ability to evaluate and evolve is a reflection of your good work. The last five years have proven the innovation, professionalism and resiliency of City employees. I have never been more confident in our ability to lean into the challenges we face and come out better on the other side.

Please remember to take care of yourselves and one another as we unify to undertake these historic changes and challenges.

Mike

Michael Jordan

City Administrator

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