Regional News

Oregon Lawmakers Weigh Transit Payroll Tax Hike in Special Session

(Salem, OR) -- Lawmakers are back in Salem this week working on a transportation funding bill to prevent layoffs and service cuts at ODOT and transit agencies. The proposal includes a six-cent gas tax increase, higher vehicle registration fees, and a hike to the statewide transit payroll tax. That tax, created in 2017, is currently zero-point-one-percent of wages and funds public transit across Oregon; the bill would double it to zero-point-two-percent starting in 2026 before rolling back in 2028. The plan is expected to raise nearly 200-million dollars in the first two years, though Republicans have pushed alternative proposals that redirect existing funds instead.

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