HASSO HERING

A perspective from Oregon’s mid-Willamette Valley

Council looks for gas tax vote in 2026

Written September 11th, 2025 by Hasso Hering

Gassing up: Albany council members are working toward a local gas tax election, probably in November 2026.

The general election next year will likely be the time when you, Albany voter, get to decide on a local fuel tax to pay for better street maintenance and repairs.

On Wednesday the city council spent some time going over the possibilities for a city gas tax, such as what the rate should be and when a ballot measure should be put before the voters.

As for the election date, the council preferred Nov. 3, 2026.

What about the tax rate? Council members chewed on that for a while, and eventually reached a consensus on a tax rate of 5 or 7.5 cents a gallon.

These rates will be presented as possibilities to various groups in the community. The idea is to sound out public sentiment about which alternative has the best chance of getting a majority of “yes” votes in the election.

Albany voters have rejected a local gas tax before. This council does not want that to happen again.

The council Wednesday rejected the idea of ending or “sunsetting” the tax after five years unless renewed by another election.

Based on fuel sales in Albany, one penny of local tax per gallon of gas or diesel would yield an estimated $400,000 a year. Thus, a 5-cent tax would yield $2 million.

At 5 cents per gallon, driving 12,000 miles in a vehicle that gets 20 miles to the gallon would cost the driver $30 more per year, Public Works Director Chris Bailey told the council.

In discussions of street funding, the city staff has posted $6 million a year as a goal.

The council also may impose a “street maintenance fee” on monthly water and sewer bills for residential, commercial and industrial customers. The amounts of this surcharge for various customers have not been set.

Just as a reminder, the legislature is expected to pass Governor Kotek’s plan to raise the state gas tax 6 cents to 46 cents per gallon. That will bring the total state and federal tax to 64.4 cents a gallon. Add a local tax of 7.5 cents, the total is close top 72 cents.

Based on focus groups, consultants have told the council that a local gas tax has a chance of passing if there’s plenty of voter “education,” if the need for more revenue is properly explained.

I don’t know. My guess is that while people really hate crummy streets, they hate higher taxes even more. (hh)





13 responses to “Council looks for gas tax vote in 2026”

  1. Taxed Enough says:

    We have some of the highest taxes and gas taxes in the Nation already. I am glad you pointed out that the State may be raising it too, we will know shortly. And if you think, well, we can just go to Millersburg or Corvallis for gas. Well, Millersburg is planning a gas tax too and I am sure Corvallis will jump on board too. Millersburg has also hired a consulting firm, probably to see how they can “sell” such a tax upon its citizens. Government will always want more of your money!

  2. Bill Maddy says:

    I thought a portion of my city taxes is budgeted for street maintenance. Since we all share the road, then electric cars and bicycles should also share the tax burden for road maintenance.

    Seems like the $1.5 million spent on buying the Wells Fargo building could have been used to repair a few streets before adding a new tax.

    • Bill Kapaun says:

      Those studded tires on bicycles do so much damage during the winter. Maybe .0000000000001% of what a car does.

      • MarK says:

        What about those heavy electric cars? Heavier the weight, the more wear on the roads. If people can afford those overpriced vehicles, they can surely afford to pay more taxes as well.

      • Cheryl P says:

        Isn’t maintaining bike lanes part of ‘street maintenance’ or is the city getting the paint and the labor for free?

      • Bill Maddy says:

        Who do you think pays for the special bike lane markings, bike paths and painting.

        • Bill Kapaun says:

          If you asshat drivers stayed of of them, they would last so much longer.

          • Mark says:

            Asshat? Was that really called for? We all have to share the road, that’s just a fact. But if we are going to point out faults, I’ve noticed many cyclists tend to ignore rules of the road like stop signs and yield signs, and sometimes act as if they own the road. Respect goes both ways.

  3. TLH-ALB1 says:

    Vote NO on a Gas Tax. And while we are at it, vote these city leaders out of office, if they are up for re-election.

    • Mark says:

      And fire the people who have apparently misused funds that should have been earmarked for street maintenance.

      • Mary-Margaret says:

        The problem is that there wasn’t any funds earmarked for street maintenance. A gas tax has been voted down so many times, there really never has been money for local streets. Everyone wants roads maintained, but no one wants to pay for it, so the roads turn to shit! STOP VOTING DOWN A GAS TAX, AND THE ROADS WILL GET REPAIRED! This city council is burdened with dealing with these bad roads because the issue got kicked down the road for too many years. We live in a community, and that takes money to maintain. It’s part of living in a civilized society.

  4. FRR says:

    Oh, but we have a lovely, brick-paved Water Street that no one drives on to speak of!!! That street and the new stage and the playground in Monteith Park cost 21.5 million dollars. Never forget that every time you vote on City officials or City measures.

 

 
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