Transportation Funding

Did you know that Oregon’s counties are responsible for the largest share of Oregon’s road system (41 percent), with over 32,000 miles of road and over 3,400 bridges? The Association of Oregon Counties (AOC) advocates for resources to support preservation, modernization and maintenance of the county road system, and serves as a partner to the state.

Counties receive funding primarily from the State Highway Fund, as well as gas tax, fees, and other sources. The State Highway Fund provides funding for the state, counties, and cities at a rate of 50 percent, 30 percent, 20 percent, respectively.

In addition, many grant and other funding options are available – such as the most recent investment from the federal government through the Infrastructure Investment and Jobs Act (IIJA). Below are some of the major funding sources for counties’ applicable resources. For questions, contact Jordan Cole, policy analyst, 855-843-5176.

Federal Infrastructure Investment

On Nov. 15, 2021, President Joe Biden signed the Infrastructure Investment and Jobs Act (IIJA). This historic investment provides Oregon with approximately $1.2 billion in additional federal formula funding for road and public transportation programs over the next five years. Of this investment, approximately $412 million has been made available to the state as flexible highway program funds that can be used for a variety of purposes, including fix-it projects to preserve the system, safety, congestion relief, and public and active transportation.

In addition, the Oregon Department of Transportation (ODOT) estimates new funding counties will have access to includes:

  • $200 million for local governments;
  • $268 million to repair and replace aging bridges;
  • $52 million to construct new electric vehicle charging stations across the state;
  • $82 million to invest in projects that reduce greenhouse gas emissions;
  • $94 million to increase the transportation system’s resilience to earthquakes, natural disasters, and climate change;
  • $45 million to invest in improving transportation safety for all users; and
  • $30 million for bicycle and pedestrian projects.

As the state assesses sub-allocations, AOC is advocating for equitable investments in the county partnership as counties are responsible for the largest share of Oregon’s road system (41%), with over 32,000 miles of road and over 3,400 bridges.

Resources and Advocacy

Resources

AOC Advocacy Letters and Templates

State Infrastructure Investment

The state’s historic “Keep Oregon Moving” bipartisan infrastructure package (HB 2017) passed in 2017 and provided $1 billion in investments to counties to help address extensive maintenance and preservation needs. AOC engaged in the creation of this significant policy in a collaborative, multi-year process among broad stakeholder groups. Now several years into its implementation, counties have made tremendous progress in advancing projects to preserve and maintain Oregon’s county infrastructure.

Resources

Administrative

The Association of Oregon Counties (AOC) and its affiliate, Oregon Association of County Engineers and Surveyors (OACES) continue to advocate for equitable solutions that result in revenue sufficient for counties to maintain, preserve, and improve the county road system and will continue to be engaged in this, and related discussions regarding transportation revenue.

OReGo, a voluntary road usage charge program was initially launched in 2015 to provide a viable option for transportation funding as fuel tax revenues decline. The program was initially limited to 5,000 cars and light-duty commercial vehicles, charging program participants 1.7 cents-per-mile for miles driven, then awarding a 34 cents per gallon credit for fuel tax paid at the pump.

House Bill 2881, passed in the 2019 Legislative Session, removed program participation caps. Drivers of electric vehicles and vehicles with fuel efficiency ratings of 40+ miles per gallon (mpg) are now exempt from the mpg-based registration fee increases while on the program. Through the 2019 legislation, the program’s fee formula is modified to keep current with fuel tax changes.

AOC is continuing to engage in conversations on the program as the state works to secure viable funding options as fuel tax revenues decline.

OReGO Expansion

Oregon Department of Transportation press release on the OReGO expansion

Oregon Takes Action to Strengthen Options for Infrastructure Funding
OReGO, Oregon’s road usage charge program will soon be expanded. The voluntary program, launched in 2015 by the legislatively created Road User Fee Task Force was created to provide a viable option for transportation funding as fuel tax revenues decline.

The program was initially limited to 5,000 cars and light-duty commercial vehicles, charging program participants a 1.7 cents-per-mile for miles driven, then awarding a 34 cents per gallon credit for fuel tax paid at the pump.

House Bill 2881, signed by Governor Kate Brown on June 20, takes one large step forward in ensuring that road users are paying for what they use and preserving Oregon’s transportation system by enhancing the existing program. Representative John Lively (D-Springfield), task force member and chief sponsor of HB 2881 commented before the House vote on the bill, “the program is modernized to reflect what we changed in 2017, and also to be in a place when we get to that point of diminishing returns on the fuel tax, that we’ll have a mechanism to raise the funds that we need to pay for our road improvements.”

Starting January 1, 2020,  program participation will no longer be capped. Additionally, drivers of electric vehicles and vehicles with fuel efficiency ratings of 40+ miles per gallon (mpg) will be exempt from the mpg-based registration fee increases while on the program. The program’s fee formula is modified to keep current with fuel tax changes.

At the bill signing, Governor Brown remarked, “the historic implementation of OReGO, the nation’s first road usage charge, provides a fair and sustainable path to transition from a per gallon charge to a per-mile charge. The system is going to enable us to maintain and improve Oregon’s infrastructure in the face of growing fuel efficiencies.”

Association of Oregon Counties (AOC) and its affiliate, Oregon Association of County Engineers and Surveyors (OACES) continue to advocate for equitable solutions that result in revenue sufficient for counties to maintain, preserve, and improve the county road system and will continue to be engaged in this and related discussions regarding transportation revenue.

OReGo Website

Resources

County Road Priorities:

The Association of Oregon Counties produces County Road Priorities to summarize the history, transportation issues, and funding sources for each county.

Transportation Safety

The County Safety Corridor Advisory Group was created by House Bill 3213, passed in the 2019 Legislative Session, in response to serious and fatal accidents occurring on local county roads. The advisory group is tasked with developing a pilot program for up to five counties to designate a length of road as a safety corridor.

House Bill 3213 identifies four legislative directives for the advisory group to complete:

  • Select up to five Oregon counties to participate in the pilot program.
  • Establish objective criteria for designating a county safety corridor.
  • Establish requirements for the county safety corridors, including regular community engagement, heightened enforcement, engineering improvements, infrastructure investments, and public outreach.
  • Establish content requirements for mandated reports to the Legislature.

County Safety Corridor Guidelines (PDF)

County Safety Corridor Stakeholder Application (PDF)

Meetings and Materials

Safety Corridor Eligible Roads Tool (updated 5-27-21)

Counties are committed to the overall safety and well being of their citizens which includes the safety of the county road system and its users. Oregon is working towards zero deaths on Oregon roads by 2035. One hundred and one fatalities occurred on county roads in 2018 alone, over 22 percent of total fatalities in the state despite county road lower traffic volumes. Rural roads are less forgiving than urban roads because of higher rates of speeds and longer emergency response times. Knowing the dangers posed on many rural roads, county road officials are implementing a variety of tools to fund road safety improvements.

Resources

Grants and Funding

  • All Roads Transportation Safety (ARTS) Grant Program: The ARTS program is funded through Highway Safety Improvement Program (HSIP) money from the Federal Highway Administration (FHWA). The federal-aid assistance can be used for hotspot or systematic safety improvements on public roads. For more information on how to apply, see the Oregon Department of Transportation (ODOT) All Roads Transportation Safety website.
  • Safe Routes to School (SRTS) Grant Program: These funds are intended to build infrastructure projects that address the needs of students that walk and bicycle to school considering the unique perspectives and behavior of children. The fund receives $10 million state highway dollars annually increasing to $15 million annually in 2023. The funds are divided into three different programs: a competitive grant program, rapid response grant program, and project identification grant program, all of which counties are eligible for. For more information see the ODOT Safe Routes to School Website.

Trainings

Additional Training Resources Provided by Joe Marek:

Safety Action Plans

All states have a comprehensive safety plan that provides a framework for reducing highway fatalities and serious injuries on public roads. This Strategic Highway Safety Plan (SHSP) is a data‐driven plan that establishes statewide goals, objectives, and key emphasis areas that integrate the four “E’s of Safety” – engineering, education, enforcement, and emergency services. The SHSP can assist local practitioners in addressing safety on local rural roads, but a locally focused plan is often needed to address the unique conditions that contribute to safety problems and to assist local practitioners in making informed safety investment decisions. These challenges faced by local agencies can be addressed through the creation of a Local Road Safety Plan (LRSP) – Developing Safety Plans: A Manual for Local Rural Road Owners