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Oregon Lawmakers Set to Give Final Approval to Tax, Fee Hikes for Transportation Today

The bill aims to raise $4.3 billion over 10 years to avoid nearly 10% layoffs at the Oregon Department of Transportation, increasing taxes on fuel and electric vehicles.

  • Monday the Oregon Senate is set to meet at 9 a.m. to take up House Bill 3991 during legislative days in the Oregon state Capitol.
  • ODOT's looming layoffs and budget shortfalls pushed lawmakers to consider HB 3991, which is expected to raise $4.3 billion over its first decade to prevent nearly 10% workforce cuts.
  • HB 3991 would raise the gas tax by six cents per gallon, nearly double vehicle registration and title fees, and double the payroll tax for public transit from 0.1% to 0.2%.
  • Gov. Tina Kotek plans to sign HB 3991 once it reaches her desk after she suspended 483 pending ODOT layoffs that would have taken effect Oct. 15, preventing job losses among state transportation workers.
  • Advocates warn HB 3991 is only a temporary fix that does not reduce emissions or secure transit funding, while Republicans in Oregon pledged a referendum for the November 2026 election and the payroll tax expiration in 2028.
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The Oregonian broke the news in Portland, United States on Monday, September 29, 2025.
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