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Milwaukie councilors debate elements of proposed state transportation package, plan follow-up
Summary
Councilors discussed the proposed Oregon transportation funding package — including concerns about removing funds from the 50–30–20 split, a possible road‑use charge, and transit payroll tax increases — and agreed to continue the conversation next week and coordinate with regional partners and legislators.
Councilors in Milwaukie spent an extended portion of their meeting discussing a proposed state transportation funding package and the policy tradeoffs it raises for cities.
Councilor Stauffer, who presented the legislative update, said the package under discussion in Salem would create new revenue streams while removing or “taking off the top” some funds that previously flowed through the 50–30–20 transportation allocation (50% state/30% county/20% city). “A proposal would take $250 million off the top of the 50–30–20 split to fund projects promised in 2017,” Stauffer said, adding that local officials should consider whether those deductions erode the intended local funding share.
Councilors identified three areas where Milwaukie may want to weigh in: preserving the integrity of the 50–30–20 distribution for local needs, ensuring adequate transit funding given proposed payroll tax increases, and assessing the merits and risks of a cap‑and‑invest (cap‑and‑trade) approach or new road‑use charging to replace declining gas tax revenue.
On transit, Stauffer and others noted that TriMet and other providers face higher per-ride subsidies than in prior years and that a proposed increase in payroll tax to stabilize transit service could lead to service reductions if not fully funded. “If they do not get an increase, they’re going to have to cut 51 of their 78 bus lines,” Stauffer said, citing material he used in the update. Councilors discussed the equity and economic tradeoffs of a road‑use charge for electric vehicles and more fuel‑efficient cars, including privacy concerns about mileage tracking and potential higher burdens on rural and lower‑income residents.
Councilors also discussed a potential cap‑and‑invest proposal that could raise substantial one‑time revenue for statewide uses such as wildfire response and transportation; some environmental groups and other stakeholders have not been part of recent Republican-led conversations about that mechanism, councilors said.
Milwaukie Mayor Lisa Beatty and other council members suggested that the council take time to review the package language when it is released and to coordinate with regional partners. Stauffer said staff would bring the issue back to council next Tuesday for further discussion and that the mayor or council may reach out to state legislators, including Representative Gamba and Senator Taylor, with the city’s priorities.
No formal council vote occurred on positions; the council agreed to continue deliberation and to consult regional partners — including the Metro Mayors Consortium — before deciding whether to send formal letters to legislators.
