You better go get gas today or tomorrow because the fuel tax in Oregon is going up by six cents starting this Saturday. A six-cent increase isn’t a lot ($1.20 for a 20-gallon tank), but if you’re going to get gas this weekend you might as well do it before Saturday. Effective January 1st, the Oregon fuels tax will be $0.30 per gallons on gasoline and diesel fuels. If you live in Washington County or Multnomah County, your gas tax is actually a little higher because of the county gas tax. It’s an addition three cents per gallon for Multnomah County and a penny for Washington County. Some cities also have a fuel tax. For instance, Tigard charges another three cents per gallon and Milwaukie charges an additional two cents per gallon.
The new state tax rate was passed by the legislature in 2009 as part of the Jobs and Transportation Act. The increase will raise about $300 million annually. The money will be distributed as follows:
- $24 million per year to a program for highway projects and related planning activities
- $3 million per year to the Travel Information Council for rest area management
- 30% of the balance (about $81.9 million/year) to county road programs based on vehicle registration
- 20% of the balance (about $54.6 million/year) to city street programs based on population
- Remainder (about $136.5 million/year) to ODOT for the state highway system:
- 33% (approximately $45 million/year) will go to maintain roadways, preserve investments and improve safety on Oregon’s roads and bridges
- 16% (approximately $21.5 million/year) will go to highway modernization (congestion reduction, traffic systems, etc)
- 51% (approximately $70 million/year) to bond repayment and the 2009 Transportation Projects Account for the 2009 Transportation Projects program
On another note, a former Shell Oil president is predicting gas prices will increase to $5 a gallon by 2012. Washington Country better build more bike lanes because I’ll be commuting on my bike.
