After more than a month of delay, Governor Tina Kotek announced Monday, November 10th that she’d signed House Bill 3991, the emergency transportation bill she put before lawmakers in a special session earlier this year.
She had until Wednesday, November 12th to sign the bill, though it landed on her desk in early October. A letter accompanying Kotek’s announcement says she signed the bill on Friday, November 7th.
During the 2025 Legislative Session, the Oregon State Legislature debated House Bill 2025, a comprehensive transportation funding package projected to generate $11–$14 billion over the next decade for investments in the state’s roads, bridges, and public transit infrastructure.
The bill later evolved into House Bill 3991, which the Senate passed 18–11 on September 29th during the Special Session. The measure is estimated to raise about $4.3 billion over ten years through a combination of:
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A gas tax increase from $0.40 to $0.46, effective Jan. 1, 2026. This increase is expected to raise around $90 million per year
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An increase in annual registration fees from $43 to $85 for passenger vehicles; $63 to $105 for utility vehicles, light trailers, low-speed vehicles and medium-speed electric vehicles; and $44 to $86 for mopeds and motorcycles
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An increase to registration surcharges for electric and highly fuel-efficient vehicles, from $35 to $65 annually for cars with a 40+ mpg rating and from $115 to $145 annually for electric vehicles
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Increasing title fees for passenger vehicles from $77 to $216.
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Doubling the payroll tax used to support public transit from 0.1% to 0.2% until Jan. 1, 2028
Other key provisions:
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ODOT Oversight: Increase the frequency of audits to ensure transparency and control costs of major infrastructure projects
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Truck Tax Simplification: Streamlining the “weight-mile” tax system for heavy trucks
Oregon’s agricultural community depends heavily on a reliable, affordable, and well-maintained transportation system to move equipment, deliver crops and livestock, and access markets. Oregon Farm Bureau continues to strongly support improved transportation infrastructure but not at the cost of the people who feed our state and nation. One of our primary concerns was, and continues to be, the significant increase in taxes and fees associated with the proposal.
What You Need to Know
No Tax Oregon is a campaign launched by Senator Bruce Starr, Representative Ed Diehl, and Jason Williams of the Taxpayers Association of Oregon. The group is filing paperwork for a referendum petition to give voters the opportunity to decide on what they describe as a massive gas-tax and fee increase that could cost many families an estimated $300 more per year. Note the referral is not the entire bill, just the gas tax, payroll tax, and fee increases. The legislature could refer it sooner to a special election.
Key points of the campaign include:
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Opposition to what organizers call “the largest tax increase in Oregon history,” affecting fuel, registration, title, EV, and payroll taxes.
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Working families cannot afford additional taxes and that the Legislature should pursue savings and efficiencies instead.
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If successful, the tax and fee increases would be paused until voters render a decision.
Oregonians overwhelmingly oppose this bill.
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95% of those who testified on this bill opposed it
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86% of those polled would sign a petition to get it on the ballot for a vote
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73% oppose the business fee increases that doubles the payroll tax
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67% would vote to repeal this legislation (only 19% would keep)
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67% unlikely to reelect a legislator who supported this tax increase
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78,000 valid signatures must be collected statewide by December 30th
to be on the November 2026 ballot
How You Can Help
Right to Vote on the Gas Tax PAC is where you can contribute today. Costs will be incurred while sprinting to the submission deadline. A total of $500,000 must be raised to achieve success.
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Petition mailings: $150,000
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Paid petition gathering (canvassers): $300,000
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Organizing Costs: $50,000
Direct donations may be made by clicking here Right to Vote on the Gas Tax PAC [7] or by visiting https://stopthegastax.com/#!/donate [8]
Checks may be mailed to:
Right to Vote on the Gas Tax PAC
PO Box 512
Independence, OR 97351
TO SIGN UP FOR UPDATES, ASSIST WITH SIGNATURE GATHERING, HOST AN EVENT, OR GO DOOR TO DOOR, PLEASE VISIT NOTAXOR.COM [9]
*Note: signing up for updates does not mean you’ve signed the petition
Oregon Farm Bureau is proud to support this effort!