Vehicle registration fees set to increase January 1

SALEM, Ore. – The State of Oregon will be increasing vehicle registration fees from $86 to $112, effective January 1, 2018.

House Bill 2017 was passed by lawmakers in an effort to improve Oregon roads, bridges and highway safety.

HB 2017 outlines a law that further raises registration fees beginning in 2020 based on how many miles-per-gallon the vehicle gets. The more MPG your vehicle gets, the more money you’ll pay. Each year, you’ll be charged anywhere from $15 for a vehicle getting 0-19 MPG to $110 for an electric vehicle.

Aside from the vehicle registration fee increase, the law includes other transportation-related fees that will take effect beginning next year. These include increased fuel taxes and fees for commercial motor vehicle title transfers. The bill also creates a 0.5% “privilege tax” on new vehicle purchases and a tax on new adult bicycles costing $200 or more.

The Oregon Department of Motor Vehicle said the increased funds will also help build a “Safe Routes to School” infrastructure to reduce hazards for children walking or biking to and from school. That program will receive $10 million per-year.

Half the money collected by the new law will go directly to the Oregon Department of Transportation. 30% will go to individual counties and 20% to cities.

According to the bill, southwestern Oregon will be granted $75 million for improvements on Scottsburg Bridge on Highway 38 in Douglas County and for the Southern Oregon Seismic Triage Transportation Project. It was widely reported an estimated $35 million would go to improve seismic resilience in the Rogue Valley.

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