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

AOC County Road Program Policy Analyst, Transportation

855-843-5176

jcole@oregoncounties.org

Federal Infrastructure Investment

Infrastructure Investment and Jobs Act (IIJA)

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 course of 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 suballocations, AOC is advocating for equitable investments in the county partnership as 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.

State Infrastructure Investment

Keep Oregon Moving (HB 2017)

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.

Administrative

Road User Charge Program, OReGO

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.