TL;DR (generated · confidence: high)

Operations & Strategic Support, part of Portland's Bureau of Human Resources, manages HR, payroll, and strategic functions citywide. The 2026-27 budget is $7.2M, with personnel costs rising to $4.97M. While staff levels remain static, the city's employee base continues growing, straining resources. The department is planning a multi-year migration to cloud-based HR and payroll systems (SAAS), critical for compliance and operational efficiency.

Key points (each cites a PDF page):

2026-27 total budget: $7.2M in revenue ($7.17M internal, $26K external); personnel expenses $4.97M (up from $4.64M in 2025-26). (p. 450 ↗)
Program operates two functional areas: HR and Payroll Services (position management, biweekly payroll, time administration) and HR Strategic Support (policy compliance, pre-employment screening, CityKids child development center management). (p. 450 ↗)
Staff numbers have remained static while total city employees (regular and casual) requiring HR/payroll services have grown, resulting in declining process effectiveness. (p. 451 ↗)
City planning multi-year migration from on-premises SAP Human Capital Management to SAAS cloud systems to streamline processes, improve efficiency, and eliminate redundant timekeeping systems. (p. 451 ↗)
One-time funding provided in FY 2025-26 for system maintenance and upgrades, but zero funding included in FY 2026-27 current service level budget, risking compliance failures and increased fines and grievances. (p. 451 ↗)
Program incorporates equity lens through outreach to communities of color and persons with disabilities; HR serves as central hub for Equal Opportunity Employer data collection. (p. 451 ↗)

Amounts: $7,200,756 · $7,174,756 · $26,000 · $4,968,485 · $2,051,380 · $180,891 · $4,644,495 · $8,852,431 · Programs: Operations & Strategic Support · Human Resources and Payroll Services · Human Resources Strategic Support · HRIS · SAP Human Capital Management · SAAS cloud systems migration · Parties: Bureau of Human Resources · Bureau of Technology Services · City of Portland · Union partners

Operations & Strategic Support

Source: PDF pp. 450-451 ↗ · raw: 450 · 451

Breadcrumb: Service Area Summaries > City Operations > Bureau of Human Resources > Operations & Strategic Support

City of Portland Fiscal Year 2026-27 Proposed Budget City Operations > Bureau of Human Resources > Operations & Strategic Support Operations & Strategic Support Budget Revenues by Fund 2023-24 Actuals 2024-25 Actuals 2025-26 Revised Budget 2026-27 Proposed External Revenues $16,712 $12,666 $81,000 $26,000 General Fund $16,712 $12,666 $81,000 $26,000 Internal Revenues $6,394,180 $7,398,597 $8,774,324 $7,174,756 General Fund $6,394,180 $7,398,597 $8,774,324 $7,174,756 Grand Total $6,410,892 $7,411,263 $8,855,324 $7,200,756 Program Expenses by Major Object Program expenses only include personnel, internal materials and services, external materials and services, and capital. 2023-24 Actuals 2024-25 Actuals 2025-26 Revised Budget 2026-27 Proposed External Materials and $266,671 $1,124,165 $1,244,611 $180,891 Services Internal Materials and $1,568,791 $1,861,122 $2,963,325 $2,051,380 Services Personnel $4,500,752 $4,280,357 $4,644,495 $4,968,485 Grand Total $6,336,215 $7,265,644 $8,852,431 $7,200,756 Program Description and Goals Operations and Strategic Support contains two functional areas: the Human Resources and Payroll Services group and the Human Resources Strategic Support group. The Operations and Strategic Support program supports the City's goals of delivering efficient, effective, and accountable municipal and human resources services to support the development and retention of a diverse, inclusive, and talented workforce; leading Citywide initiatives; and adopting 21st century business solutions, all while remaining in compliance with internal as well as external mandates. Human Resources and Payroll Services manages, administers, and coordinates the City's human resources and payroll systems. Program tasks include oversight of position management (the process by which bureaus determine how jobs are defined, how many positions are needed, and what the organizational structure should look like), personnel administration, the Citywide biweekly 450

City of Portland Fiscal Year 2026-27 Proposed Budget payroll, time administration programs, and payments to payroll third party fund recipients. Human Resources and Payroll Services complies with federal, state, and local wage and hour laws, labor contracts, administrative rules, and business requirements. Emerging case law, collective bargaining agreements, and legislative, regulatory and tax changes are incorporated into the City HR/Payroll system as needed. Examples include labor contract changes, letters of agreement, and federal or state laws that affect employee rates of pay, how pay is calculated, quotas, or benefits. Human Resources Strategic Support provides bureau oversight and direction, maintains systematic compliance of the City's administrative rules and policies, provides consultation to bureau directors and City Council, manages the Bureau's budget, administers pre-employment medical programs, coordinates internal Bureau functions, assists with new employee onboarding, manages the contract for the child development center (CityKids), and administers the City's unemployment and employment verification. https://employees.portland.gov/human-resources/hr-payroll-services ↗ Services Human Resources Operations - HRIS Implementation of new laws, policies, and Labor contracts; Personnel administration; City- wide Organizational structure administration; City-wide Time administration; City-wide Payroll administration; City-wide PERS Administration. Strategic Services Support - BHR Contract and Procurement administration; BHR Finance and Budget; BHR Timekeeping and Personnel Administration; City-wide Unemployment Claim Processing; City-wide Employment Verification Processing; City-wide Pre-employment Screening; City-wide State Paid Leave Administration. Equity Impacts Human Resources incorporates an equity lens in all facets of business through programs that reach communities of color and persons living with disabilities. Human Resources serves as the central hub for collecting and reporting all Equal Opportunity Employer data. Operations and Strategic Support aligns with all other human resources program specific areas to ensure equitable outcomes. Changes to Program Over the past several years, declining resources have resulted in ineffective processes. The number of staff has remained static in the Human Resources and Payroll Services program while the total number of City employees (regular and casual) requiring services from the program has continued to grow. In addition, the City is continuing to see an expansion of labor contracts with union partners and new laws and policies that impact payroll. These additional changes require more resources to ensure the system is configured timely and accurately. BHR is also continuing to work with BTS to maintain and upgrade the SAP Human Capital Management on premises system to be in compliance with local, state and federal laws as well as meet obligations with new and changing labor agreements. Over the next few budget cycles the City will migrate the Human Resources, Time Management and Payroll systems to software as a service (SAAS) cloud systems. This migration is expected to assist in streamlining processes, gain efficiencies in resource usage, eliminate redundant time keeping systems, and improve end user experience. One-time funding was provided in FY 25-26 to support this work to maintain and upgrade systems and will continue to be needed in the FY 26-27 budget year, although none is included in the current service level budget at this time. Without these resources, the City is at risk for increased fines, grievances and penalties due to lack of timely and accurate system updates and will be unable to begin the preparation for system migration. 451

Parent: Bureau of Human Resources · PDF: pp. 450-451 ↗