Early Gas Tax Hike Appears Unlikely

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It looks unlikely that Oregon's gas tax will go up before January.

An earlier increase was possible as part of a road construction package lawmakers approved last year. But the accelerated tax hike would have only happened with quick turnaround in the economy.

Chris Lehman / Northwest News Network

That hasn't materialized.

The way the bill was written, Oregon's gas tax will go up six cents per gallon starting next January ... unless the state's economy started to improve in a very specific way.

Namely, job growth of two percent or more for two consecutive quarters.

State economists confirm that hadn't happened by the end of June. With two quarters left in the year, that means an early gas tax hike can no longer happen.

That was good news for Chuck Bailey, who was filling up his pick-up truck at this gas station near the state capitol in Salem.

Chuck Bailey: "I think that's a good plan. The last thing we need is more taxes right now."

But SUV-driver Tiffany Parker says it doesn't seem like the economy will get much better between now and the end of the year.

Tiffany Parker: "I hope, but I donít know. I mean, that's not too far away."

Lawmakers didn't wait to increase fees on vehicle registration and title fees. Those were included in the same bill as the gas tax, but they went into effect last fall.

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