PORTLAND – The city of Portland is still working out the details of a proposal to raise the local minimum wage to $20 an hour before voters have their say on the subject this fall.

Right now, the measure remains in committee, which met Tuesday night but decided to hold off on a vote until it can be sure the increase won’t adversely affect the municipal budget.

“We wanted to review the budget implications for the city because when we raise wages for workers across the city it also implicates the city’s budget, and we are facing a tight budget, so we just wanted to look at those numbers and make sure that we were planning appropriately for that,” said City Councilor Kate Sykes, who sits on the committee.

The committee will likely address the issue again in May. Sykes said there’s no reason to rush – even if it recommends the measure to the full council, and the council approves, the issue will have to ultimately be decided by voters on the November ballot. 

The proposal would raise the city’s minimum wage to $20 an hour over a period of three years. Sykes said when spaced out, the increase should match the rate of inflation, but that didn’t stop critics from speaking out at a public hearing on March 17.

Among the critics was Steve DiMillo, speaking on behalf of his family’s business, DiMillo’s on the Water. At the hearing, he said restaurateurs like him will have to compensate for a higher minimum wage by hiking menu prices.

“There’s a limit to how much someone will pay for a cup of chowder and a beer,” he said.

On Wednesday, Sykes downplayed concerns that the higher minimum wage would have adverse impacts on the economy. 

“What we do know is that when we raise the minimum wage, those workers spend that money locally,” she said. “When you give wealthy people money, they invest it. When you give workers money, they spend it, and so this is a case of a rising tide lifts all boats.”