Multnomah County, Ore. (Aug. 27, 2026) - At a Board meeting Aug 27, Multnomah County Commissioners unanimously approved an amended resolution to delay a scheduled increase of the Preschool for All marginal income tax by one year. This amended resolution delays a .8% increase in the tax by one year so that instead of increasing on Jan. 1, 2027, the tax will increase on Jan. 1, 2028.
The initial resolution would have delayed the tax increase by two years per recommendations from the Preschool for All Technical Advisory Group, an independent advisory group mandated by the ballot measure. In their report published earlier this year, the group stated the tax delay, “was seen as a more flexible, temporary mechanism that allows time to resolve unresolved cost questions, allow time for additional analysis and reduce near-term economic risk.”
At a workshop on Aug 11, Chair Jessica Vega Pederson announced plans to bring forth a resolution supporting the advisory groups recommended delay. The friendly amendment to a one-year delay was brought forth by Commissioners Shannon Singleton and Megan Moyer.
Multnomah County voters passed the Preschool for All Personal Income Tax in November 2020. The tax went into effect Jan. 1, 2021. Preschool for All taxes high-income earners on income made above a certain threshold. For single filers, income over $125,000 is taxed at a rate of 1.5% and income over $250,000 at a rate of 3%. For joint filers income threshold is over $200,000 taxed at a rate of 1.5% and 3% on income over $400,000.
The .08% tax increase was originally set to go into effect in 2026, but the board in 2024 unanimously approved to delay the increase until 2027. Now the Board will further delay the increase and revisit a potential increase next year.
A new demographic study conducted by Portland State University's Population Research Center was used in economic scenario models presented at the Aug 20 Board meeting. The economic scenarios showed that with new population estimates, Preschool for All can still operate under a tax delay. However, modeling showed the program cannot operate without an eventual increase in the tax.
About Preschool for All: Preschool for All, approved by voters in 2020, is a Multnomah County initiative dedicated to creating a tuition-free, high-quality and culturally responsive preschool system for families of 3- and 4-year-olds. The program has consistently grown ahead of schedule to reach the goal of universal access by 2030. The program increases elementary school readiness for children and also supports the region’s economy by freeing up income for families, allowing parents to work, creating hundreds of jobs and helping local businesses thrive.