Oregon gas tax proposal lags in early returns

Oregon’s Measure 120, which aimed to increase gas taxes by six cents, double vehicle registration fees, and temporarily raise payroll taxes for transportation funding, faced heavy rejection in early returns on May 21. As of 8 p.m. Tuesday, 83% of the roughly 560,000 votes counted statewide opposed the measure, leaving lawmakers without a short-term solution for funding Oregon’s deteriorating roads and bridges. The proposal, pushed by Democrats in the 2024 legislative session, was placed on the ballot after Republican-led efforts gathered enough signatures to force a vote. Despite warnings from transportation officials about looming budget gaps, voters—many already burdened by high housing, healthcare, and gas costs—rejected the tax hikes. Governor Tina Kotek’s administration had already moved the vote from November to May, acknowledging its likely failure but seeking clarity sooner. Opposition came from across political and economic lines. Thomas Lundley, an incoming law student, called the measure unfair to struggling families, while Sister Barbara Julian, a 79-year-old Bend resident, argued gas taxes were already too high. Farmers like Carl Hermann of Milton-Freewater highlighted rising diesel prices, which threaten profitability amid global fuel market volatility. Lawmakers have known for years that Oregon’s transportation system requires new funding, but previous attempts to pass a comprehensive package in the 2025 session failed. With Measure 120’s defeat, Kotek’s office is now preparing to introduce a revised funding plan during the next legislative session, though specifics remain unclear. The results underscore voter resistance to direct tax increases, forcing officials to explore alternative revenue sources or spending cuts.