The City of Monument operates under a Mayor-Council form of government. The local government consists of an elected mayor and a city council made up of local residents who manage municipal services, local ordinances, and the city budget.
Given its small size, municipal government is deeply grassroots, often relying on part-time officials or volunteers. Monument is located within Grant County, meaning many essential services—such as law enforcement (Grant County Sheriff's Office) and county road maintenance—are managed at the county level from the county seat in Canyon City. At the state and federal levels, Monument is represented within Oregon's largely rural and conservative eastern legislative districts.