The Tigard Chamber of Commerce wanted to let you know that the Oregon Legislature Approved a Transportation Package. We received the following information from OBI (Oregon Business & Industry).

What happened: The Oregon Senate passed the transportation-funding package for which Gov. Kotek called a special session Aug. 29. The measure, will raise roughly $4.3 billion over 10 years.

Taxes and fees: The Oregon House passed the funding package (HB 3991) on Sept. 1. It will, among other things, increase the state’s gas tax by 6 cents per gallon, boost vehicle registration and title fees and double the 0.1% employee-paid payroll tax to fund public transportation.

Freight fix: There is a key provision in the bill that OBI did support, which is a shift in the cost-allocation balance between freight and non-freight users. For years, the balance has put a disproportionate burden on freight users, which is a violation of Oregon’s Constitution. This is an important step forward.

Voter choice?: You may have read in the news that voters could have a say on this measure. That isn’t automatic. However, citizens do have the right to gather signatures and place legislative measures on the ballot, allowing voters chance to affirm or overturn bills (or portions of bills). Some news reports have indicated this is a possibility.  

Talking to employees: The main reason OBI opposed SB 3991 is the fact that it will double the statewide transit payroll tax on working Oregonians, who already struggle to shoulder the state’s high costs. Employers can expect questions about the tax even before it goes into effect at the beginning of next year. In anticipation, OBI has prepared a document for employers that contains background information, key points and context. You can find it here. We encourage you to share information with your employees before they see the increased deduction from their paychecks.