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PBOT gives first implementation update on Portland’s Transportation Utility Fee; rollout set for Jan. 1

Public Works Committee · July 1, 2026
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Summary

Portland Bureau of Transportation told the Public Works Committee it is five months from implementing the Transportation Utility Fee and Street Damage Restoration Fee on Jan. 1, with a tiered implementation schedule, public outreach, and further council briefings planned in September and November.

Council Vice President Clark convened the Public Works Committee on July 28 to hear the Portland Bureau of Transportation’s first implementation update for the Transportation Utility Fee (TUF) and the Street Damage Restoration Fee (SDRF), which PBOT staff said will go into effect on January 1. Millicent Williams, PBOT director, told the committee the fees will stabilize local transportation funding and that PBOT is treating implementation as a citywide, cross-bureau effort.

"We are 5 months away from implementation of the transportation utility fee and street damage restoration fee," Williams said, adding that the bureau has established an internal program structure and is coordinating maintenance, engineering, project management, Vision Zero, finance and utility partners. Shoshanna Cohen, PBOT chief of staff, outlined key milestones: a Fixing Our Streets oversight committee meeting on Aug. 4, a fuller committee update in September, a code-alignment ordinance to council in November, and a nonresidential rate hearing by Feb. 15 ahead of district open houses when first bills will be mailed.

Why it matters: PBOT told the committee the TUF and SDRF together create a more stable local funding base after years of declining purchasing power in local gas and heavy vehicle use tax revenue. Staff emphasized transparency and accountability in implementation, promising dashboards, oversight-committee reviews and ongoing public engagement. PBOT also said administrative-rule drafting, permitting software updates, customer billing coordination and an appeals process for nonresidential rates remain active tasks.

Next steps: PBOT will return to the committee with more detailed recommendations in September and November and continue outreach to community groups, utilities and businesses. The committee did not vote on any ordinance at this meeting; staff were asked to return with a draft ordinance and further details for council consideration.