Oregon Lawmakers Pass Voluntary Mileage-Based Tax Bill

Oregon legislators passed a bill that would create a voluntary program to phase in road-usage charges in lieu of the state’s gasoline tax, the (Salem) Statesman Journal reported.

Lawmakers sent Senate Bill 810 to Gov. John Kitzhaber (D), who is a strong supporter of the legislation and is expected to sign the bill into law this week, according to the International Bridge, Tunnel and Turnpike Association, which supports the measure.

Drivers participating in the program would pay 1.5 cents per mile and receive a refund for gas tax they pay at the pump, the Statesman Journal reported.

Oregon has been considering vehicle mileage taxes since 2008 and has conducted VMT pilot programs since then.

The state has a gasoline tax of 30 cents per gallon, but some new vehicles, such as electric cars, avoid that that tax because they use little or no gasoline, the newspaper said.

Oregon does not have a diesel tax but has a weight-mile tax of 16.4 cents per mile for heavy trucks.

The chairman of the U.S. House subcommittee that oversees highways said earlier this year that a mileage-based tax would be the fairest way to fund the nation’s infrastructure needs.

IBTTA, which represents toll-facility owners and operators and the businesses that serve them, said in a statement that “this example gives momentum to the need for exploring alternative-funding options, such that tolling provides, in addressing our national transportation infrastructure challenges.”