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Oregon’s New Pay-Per-Mile Charge for Electric Vehicle Owners

Oregon Pay-Per-Mile Electric Vehicle Charge

News Summary

Oregon lawmakers are considering a new pay-per-mile road usage charge aimed at electric vehicle (EV) owners to address a $300 million transportation budget shortfall. This could position Oregon as the second state in the U.S. to implement such a charge after Hawaii. The proposed plan suggests that EV owners would pay an equivalent of 5% of the gas tax, with costs expected to be around 2.3 cents per mile or a flat fee of $340 annually. The discussions are drawing attention amid concerns about privacy and the impact on EV adoption.

Oregon’s Electric Vehicle Owners: A New Pay-Per-Mile Charge Looms

It’s a big week for Oregon as state lawmakers huddle together to tackle a serious concern—**_a whopping $300 million transportation budget shortfall_**. This financial gap is affecting some essential services, **_like keeping roads maintained and ensuring snowplows are ready for winter_**. But amidst these discussions, there’s something else on the table that has electric vehicle (EV) owners’ ears perked up: a new **_pay-per-mile road usage charge_** that could be coming into effect shortly.

The Special Session and Road Charge Proposal

With a lot at stake, lawmakers have kicked off a special session aimed at finding solutions to the budget woes. However, they’ve hit a bit of a snag—**_the state House couldn’t achieve the two-thirds quorum_** needed to conduct its business properly. This is not an unusual situation either; previous efforts to pass a transportation funding package earlier this year didn’t get anywhere either, leaving many jobs at stake.

Among the issues discussed is an EV road usage charge that has been floating around from past conversations but remains unresolved. If passed, Oregon could make history as the **_second state in the U.S._** to enforce this type of payment for electric vehicle owners. Hawaii was first, rolling out a mandatory road usage charge program in 2023 to compensate for the downfall in fuel tax revenue due to more EVs hitting the roads.

Funding Fallout and Budget Constraints

The balancing act here is no small task, with experts considering the road usage charge as a possible long-term solution for funding. However, Oregon faces a unique challenge. With **_inflation and a dip in gas tax revenues_** contributing to the shortfall, there’s real pressure to find a suitable arrangement before more state workers are affected. Just last summer, nearly 500 workers were handed layoff notices, and some road maintenance stations were even slated for shutdown.

Amidst these challenges, Governor Tina Kotek put a pause on layoffs and called for this special session to delve into options. The proposed plan caters to EV owners by suggesting they pay **_an equivalent of 5% of the state’s gas tax_**, along with a gradual increase to the gas tax itself, which could soon stand at 46 cents per gallon. The proposed usage charge would kick in starting in 2027 for certain EVs, extending to hybrids by 2028.

How the Charge Would Work

If all goes as planned, EV drivers might find themselves paying around **_2.3 cents per mile_** or opt for a flat annual fee of about $340. There will be multiple methods for reporting mileage, ranging from simple smartphone apps to vehicle telematics, making it user-friendly and straightforward.

Not wanting to miss a beat, Republican lawmakers have offered up an alternative plan focusing on lifting restrictions for maintenance without adding a road usage charge. It seems like there’s a tug of war going on, each side trying to find the most effective route forward.

Balancing Act: Impact on Electric Vehicle Adoption

Currently, there are **_over 84,000 electric vehicles on Oregon roads_**, making up around 2% of the overall vehicle population. With road usage charges creeping into discussions, there are rising worries about **_privacy and data security_** for drivers. Previous surveys indicated that many residents are not entirely comfortable with the concept, fearing how their mileage and travel data may be handled.

Some observers have pointed out that these charges, if greater than what gas-powered vehicles pay, could potentially hamper the growth of EV adoption, defeating the purpose of reducing emissions in the transportation sector. Other states are watching closely, like Arizona, where voters will soon decide whether to ban mileage-based taxes altogether.

Looking Ahead

As the clock ticks on this crucial special session, discussions about the future of transportation funding in Oregon will only grow in urgency. Kotek’s assertive plans and various proposals could shape the trajectory of road maintenance and management for years to come. Whether this long-debated road usage charge makes it through will be key, and for many EV owners, a matter of curiosity as much as concern.

In the weeks ahead, keep a keen eye on how this unfolds. It’s a pivotal time for Oregon as they attempt to strike a harmonious balance between maintaining essential services and encouraging cleaner, greener transportation solutions.

Deeper Dive: News & Info About This Topic

STAFF HERE ORLANDO WRITER
Author: STAFF HERE ORLANDO WRITER

ORLANDO STAFF WRITER The ORLANDO STAFF WRITER represents the experienced team at HEREOrlando.com, your go-to source for actionable local news and information in Orlando, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Orlando International Fringe Theatre Festival, Megacon Orlando, and Central Florida Fair. Our coverage extends to key organizations like the Orlando Economic Partnership and Hispanic Chamber of Commerce Metro Orlando, plus leading businesses in leisure and hospitality that power the local economy such as Walt Disney World Resort, AdventHealth, and Universal Orlando. As part of the broader HERE network, including HEREJacksonville.com, HEREPetersburg.com, HERETallahassee.com, and HERETampa.com, we provide comprehensive, credible insights into Florida's dynamic landscape.

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