[UPDATE] After a marathon session by the new Portland City Council, this amendment did not pass.
I’m writing to ask for your help. Our peers and the organizations that support them in the Portland startup community are in need of assistance. Why…? Newly elected Portland City Council members Councilor Mitch Green (District 4) and Councilor Jamie Dunphy (District 1) have brought forward a proposed budget amendment for vote by Portland City Council on Wednesday, May 22, 2025 — this Wednesday — that is designed to eliminate the City of Portland’s allocation of general fund dollars to Prosper Portland, an organization that has provided a significant amount of support for our startup community, our community startup support organizations, and the entrepreneurs building both startups and small businesses in our midst.
Look. I try not to bug you with political stuff. I usually do that work quietly behind the scenes. Because you don’t have the time to deal with all of the bureaucracy and politicking. You have a business to build. And products to create. You don’t have time for the vast majority of the blah-blah that goes on in government, locally or otherwise. I get it. I respect that. And I try to shelter you from it.
But this is one of those “all hands on deck” moments. So I could really use your help. We could really use your help. I’m sorry to even have to ask. But my hand has been forced.
tl;dr Portland’s only economic development agency — and the only quasi-governmental organization focused on both Portland startups and Portland small business — is in danger of losing funding. Please take a moment to encourage Portland City Council to press pause on this effort in favor of a more measured and thoughtful approach.
As I understand it, the crux of the problem is this: The proposed amendment strives to eliminate funding that Prosper Portland receives from the Portland General Fund with direction that Prosper should make up for that shortfall with money from their Strategic Investment Fund (SIF), an instrument designed to help Prosper fund projects — like the Sports Bra — that fall outside of the purview of its function as an Urban Renewal Agency. The issue with that strategy is that the General Fund is an ongoing funding mechanism and the SIF is a one-time fund. And in the world of government financing, when you lose budget from an instrument like the General Fund, it’s difficult — if not impossible — to get that money back in future budgets. It’s gone.
In my mind, it’s akin to “We’re going to stop giving you a salary to do your work, because you clearly have a year or two saved up in retirement that will cover your expenses. Back to work!” I mean, not that startup founders have salaries or retirement left, but conceptually…
Done beats perfect. Let’s continue to iterate.
I’m the first to admit that Prosper Portland is far from perfect. I’ve had the opportunity to work with them in a variety of ways over the past decade or so. It hasn’t always been rainbows and unicorns. But we’ve always managed to find common ground, to work together, to collaborate, to iterate, and to improve on the ways that they’re showing up for entrepreneurs and startups in Portland, day in and day out.
Much like the businesses you’re building, when it comes to supporting Portland entrepreneurs, small business, and startups, one thing is for sure: done beats perfect. But this proposed amendment does very much the opposite. Undoing all of the work that’s been done. Overnight. And it’s not even approaching perfect.
The proposed amendment reflects a way of thinking that launched a thousand platitudes: “Cut off your nose to spite your face,” “Throw the baby out with the bathwater,” “Shooting yourself in the foot,” “Penny wise, pound foolish”… I could go on and on.
With this proposed amendment, we’re slashing and hacking. Not iterating. Not improving and doubling down on what’s working. Not innovating on existing programming. Not strategically phasing out the efforts that appear to be less impactful.
Just proposing to eliminate all of Prosper’s funding from the General Fund. Which eviscerates funding for local entrepreneurial support organizations. As well as the forever needed and long awaited but finally here new Portland Office of Small Business before it even gets out of the gates. Poof.
Many will reference that the move is couched in a call for increased “transparency” and “oversight.” And while I agree that additional oversight — by the government and the community as a whole — is welcome and needed, taking this tact to achieve that level of oversight is as hamfisted as it is disingenuous. (I sincerely thought our new form of government was designed to eliminate these selfsame “kick the can down the road,” “solve for a quick win in favor of long term anguish,” and “eschew collaborating with community in favor of crafting deals behind closed doors” behavior.)
There is no doubt that we must make difficult decisions to get Portland on track. And those decisions will not be without proposed sacrifice. But these types of changes must be measured and exact. DOGE inspired, all or nothing, hacks at successful and needed programs get us further from the Portland we all want and deserve. Not closer.
This behavior is just amateurish and lazy. And we’re better than that.
The Portland I know and love — and at times struggle to tolerate — has been built on a culture of craft, creativity, and curiosity. But most of all, it has been built on collaboration.
Our government should be no different.
Any “yes” vote on this amendment is a tacit declaration by a city councilor that they do not actually care. It’s a vote that demonstrates that they don’t care about local entrepreneurs. They don’t care about the plight of small business. They don’t care about BIPOC business. And they most definitely do not care whether Portland is a city where startups have the support they need to succeed.
We can do better. As a community. And I’m ready to do that work. But this is not the way.
If you’re a fan of Portland, you’re not a fan of this proposed amendment
Whether you’re Portland born or you’ve only had the opportunity to pass through Portland briefly, you’ve experienced Prosper Portland’s impact. Because the impact isn’t just direct. There’s a halo effect. A virtuous cycle. A knock-on effect.
Call it what you will. Prosper’s work enables the work that Portland does best.
Long time resident or tourist, you’ve felt that impact. If you’ve ever had the opportunity to caffeinate in amazing coffee shops, watched a game at The Sports Bra, dined at incredible restaurants like Javalina, grabbed a slice — or a square — of a Portland pizza, rolled up to a food cart, or enjoyed a locally brewed beer — or distilled beverage at Freeland Spirits, then you’ve felt the impact of Prosper’s influence on our economy.
That’s the halo effect of Prosper’s work.
Because every dollar they’re able to put to work in the community has compounded positive and exponential effects — throughout the community — for all of us.
Maybe you’re thinking, “I haven’t had the opportunity to start something, so this doesn’t impact me.” But it does. You’ve probably thought about starting up something. Or you know someone who has. Or you know someone employed by someone who has. Or you know a support organization that Prosper funds. Or you frequent a food cart or an establishment of someone who has received support from these orgs.
Regardless of your experience in Portland, this funding and engagement has direct impact on you, the community in which you live, and the Portland you want to see. For example, if you have ever…
- Participated in Portland Startup Week
- Engaged with Built Oregon or PIE
- Attended a TiE Oregon pitch event
- Received funding from Portland Seed Fund
- Benefited from the work I do with Silicon Florist
- Experienced thousands of other Portland startup community efforts, large and small
… then you’ve benefitted from the work that Prosper has been doing. Removing this funding from the entrepreneurial ecosystem promises to be catastrophic. And that catastrophe will ripple through the entire community at a time when we don’t have the resilience to withstand it. Or the capacity to absorb the shortfall.
I implore you to act. And by all means, act with your own selfish interests in mind. Act to save your startup. Act to save the support organization that helps you. Act to save your favorite coffee shop. Act to save that neighborhood store. But act.
Let’s be thoughtful about how Portland’s dollars are managed. Let’s call for more oversight and engagement. But let’s not pull the rug out from under the very people — our fellow entrepreneurs and entrepreneur support organizations — who make Portland Portland.
What can we do…?
Quick and easy
- If you’d like to co-sign a community letter, we’d love to have you alongside us.
- Like, comment, and share the following posts:
A little more involved
Please reach out to Portland City Councilors from your district. Not sure which district you’re in? No worries. Here you go…
Want to do more? Send an email to each of the Portland City Councilors, regardless of your district. Here’s some copy you can use to get started:
Dear Councilor(s),
As a supporter of Portland’s entrepreneurial community, I am writing to express my opposition to the proposed changes to the budget and funding for Prosper Portland, which have been brought forward by Councilor Mitch Green and Councilor Jamie Dunphy.
Approving this proposed amendment would adversely impact the Portland entrepreneurial community at a time when Portland entrepreneurs need all of the help they can get. Proposing to reduce the capacity of Prosper to deliver the services that our community urgently needs is ill-informed and unnecessary.
I urge you to vote against this proposed amendment. We must ensure that Prosper Portland retains its entrepreneur-focused budget through a General Fund allocation so that they can continue to do this valuable work that benefits our community.
We are not a community who eliminates support for the Portland citizens — the entrepreneurs, the startup founders, and the folks who support those citizens in bringing their visions to reality — for short-term, one-time wins. We’re better than that.
Respectfully, I ask that you vote against this amendment.
Sincerely,
NAME
ORGANIZATION
DISTRICT 1/2/3/4
Contact info for Portland City Council:
- Council President Elana Pirtle-Guiney
- Council Vice President Tiffany Koyama Lane
- Councilor Candace Avalos
- Councilor Olivia Clark
- Councilor Jamie Dunphy
- Councilor Mitch Green
- Councilor Sameer Kanal
- Councilor Angelita Morillo
- Councilor Steve Novick
- Councilor Dan Ryan
- Councilor Loretta Smith
- Councilor Eric Zimmerman
To close, I’ll agree with something that Green and Dunphy shared. “Portland cannot afford another generation of exclusionary policies. The time for transformative change is now.” I couldn’t agree more. Unfortunately, this amendment ain’t it.
[Full disclosure: I am the cofounder and general manager of PIE, a former recipient of Prosper Portland funding. I am the cofounder and remain an advisor for Built Oregon, which currently receives funding from Prosper.]
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