Portland Weighs 12 Dollar Monthly Transportation Fee as Road Repair Backlog Hits 6.6 Billion Dollars

PORTLAND, Ore. — After Portland’s Transportation and Infrastructure Committee unanimously approved a proposal to create a Transportation Utility Fee and a Street Damage Restoration Fee last week, the City Council is considering creating two new fees to help fund its Bureau of Transportation (PBOT).

PBOT is currently facing a funding crisis, with a growing list of delayed projects and deteriorating roads.

Tidings Data Snapshot
How Far The New PBOT Fees Would Go
$6.6B
Current PBOT maintenance backlog
64%
Busy streets rated poor or very poor
$46.7M
Top annual estimate from the utility fee
$7.4M to $22.2M
Annual range from the street damage fee
$68.9M
Top combined yearly revenue
~96 years
Time to equal today’s backlog at the top rate, before new damage

Source: Portland PBOT local transportation funding open house sections on funding challenges, utility fee, and street damage fee
Dailytidings.com

On Friday, the backlog of PBOT maintenance projects was valued at $6.6 billion, while 64% of busy streets are in poor or very poor condition.

The two proposed transportation fees are:

  • The committee gave preliminary approval to levy a Transportation Utility Fee at a rate of $12 per month on water and sewer bills of Portland residents. This would deliver an estimated $46.7 million annually.
  • The Street Damage Restoration Fee, expected to deliver $7-$22 million annually, would be charged to utilities and other companies that excavate a roadway for any project, repair, or construction.
Tidings Insight
PBOT is shifting toward a utility style fee because gas tax revenue no longer keeps up with costs. The fee uses existing utility bills and is not tied to declining fuel consumption.

 

The City Council will likely consider the fees in April.

Morning Brief Newsletter
Sign up today for our daily newsletter, a quick overview of top local stories and Oregon breaking news delivered straight to your inbox.
You can unsubscribe at any time. We do not share your information with third parties, and we will only send our daily newsletter.
Leave A Reply

Your email address will not be published.