The special session began Friday but immediately stalled when the House failed to reach a quorum, leaving the future of the funding package uncertain. The governor’s proposal includes a phased-in road usage charge for EV owners starting in 2027, with hybrids to follow in 2028. Drivers would have the option to pay approximately 2.3 cents per mile or a flat annual fee of $340.
The move aims to offset declining gas tax revenue as more drivers switch to fuel-efficient and electric vehicles. ODOT has already issued nearly 500 layoff notices and plans to close a dozen maintenance stations without a funding solution. As of May, Oregon had over 84,000 registered EVs, representing about 2% of all vehicles in the state.
Privacy concerns and the potential disincentive for EV adoption have emerged as key criticisms. Oregon’s existing voluntary program attempts to address data security by deleting mileage information after 30 days. However, Republican lawmakers have put forward a competing plan that redirects existing funds from public transit and climate initiatives toward road maintenance without implementing new taxes or mileage fees.
The outcome of the special session will determine not only the financial stability of Oregon’s transportation system but also whether the state joins Hawaii in pioneering a new model of road funding in the electric vehicle era.