Cottage Grove, a town in Lane County, has been facing road maintenance issues for years due to insufficient funding. Dana Merryday, a city council member, proposed a property tax increase and a gas tax hike to address the problem. However, both measures were rejected by voters in the November 2024 election, with a majority opposing the gas tax hike. This rejection highlighted the anti-tax sentiment in the city.
In response to the need for more funding for road maintenance, Senator Khanh Pham introduced Senate Bill 687, which would allow cities and counties to raise fuel taxes and registration fees without voter approval. This bill aims to give local leaders more autonomy in making taxing decisions necessary for infrastructure improvements.
Although the bill is facing opposition from groups like gas station lobbyists who advocate for keeping the voting rights on local fuel taxes, supporters believe it is a crucial step in addressing the infrastructure funding gap. With the state transportation agency, ODOT, facing budget challenges and the need for billions of dollars for road projects, lawmakers are looking at various options to increase revenue, including raising the state gas tax and implementing new fees.
The fate of SB 687 and the larger transportation funding issue will be decided in the upcoming legislative session, with Democrats exploring tax hike options while Republicans calling for more budget efficiency within government agencies. The bill represents a significant opportunity for cities like Cottage Grove to secure the necessary funding for road maintenance and upgrades, even if it means bypassing voter approval.
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