We have urban coyotes in Portland; actually most NW wildlife makes an appearance within city limits at least once during the year.
As far as the coyotes are concerned, I bumped into one (in Irvington! no less) while walking home from a bar crawl one night a few years ago. I noticed its silhouette wasn't that of a dog, stopped to look more intently (it was across the street; for my fellow locals, this happened at about 17th & Brazee). It noticed me, took a few steps into the light and sniffed, apparently just as curious as I was, then wandered back into the shadows. About a half a block later, I met an elderly woman who'd been out on a walk, seen the coyote, and had been watching it for several minutes. She asked me if it was indeed a coyote and (having seen any number of them when I lived in Utah) confirmed that it was.
-