Oregon Road Usage Charge: Voluntary to Mandatory

Why It Matters

Oregon’s mandatory per‑mile charge offers a replicable solution to the looming gas‑tax shortfall, aligning revenue with actual road use while preserving driver privacy.

Key Takeaways

• Oregon shifts from voluntary ORIGO to mandatory per‑mile charge.
• Per‑mile fee set at 2.3¢, indexed to gasoline tax.
• Open‑system model lets private firms compete on data collection.
• Privacy concerns drove move away from mandatory GPS tracking.
• Success hinges on political acceptability and scalable technology.

Summary

The MIT Mobility Forum episode introduced Oregon's shift from the voluntary ORIGO program to a mandatory road usage charge (RUC) under House Bill 3991, signed by Gov. Tina Kotek, marking the first statewide per‑mile tax in the U.S.

The charge is 2.3 cents per mile, automatically adjusted with the gasoline tax, applies to electric, hybrid, and conventional vehicles, and replaces a financing model that would otherwise evaporate as EV adoption rises. The design emphasizes an open‑system marketplace where multiple private account managers can offer mileage‑tracking solutions, avoiding a single‑vendor lock‑in.

Jim Whitty recounted early pilots plagued by privacy backlash and media criticism, noting that “the government should not choose the technology” and that leveraging consumer‑owned GPS devices resolved the privacy hurdle. Robin Chase highlighted how legacy toll technologies from the early 1990s have persisted, underscoring the need for modern, interoperable standards.

If Oregon’s model scales, it could provide a template for other states facing dwindling gas‑tax revenues, demonstrating that politically palatable, privacy‑respecting, and technologically flexible road funding is achievable. The approach also signals a broader shift toward usage‑based pricing as a tool for congestion management and climate policy.

Original Description

In November 2025, Oregon’s Road Usage Charge (RUC) was significantly reshaped by House Bill 3991, a major transportation funding package signed by Governor Tina Kotek. This law mandates a transition from the voluntary OReGO program to a mandatory system for high-efficiency and electric vehicles.

In the first episode of the MIT Mobility Forum (spring 2026 season), we will be joined by:

- Jim Whitty, Former ODOT Head of Innovation, who will share lessons from 20 years of experimentation in shaping Oregon's RUC program.

- Frederic Charlier, CEO of ClearRoad, who will discuss the challenges of introducing novel road-user technologies.

- Robin Chase, Co-founder of Zipcar, who built one of the first successful in-vehicle technologies with Zipcar, will give historical context of road user technologies and procurement.

Our discussion will focus on a new approach to pricing roads through open standards, open source, and an open marketplace—potentially transforming the cost, implementation time, and technology risk associated with road and congestion pricing