For ease of reference, we can call this the No Tax Oregon edition. Across the state, dealers, legislators, small businesses, and people from all walks of life are pushing back against the governor’s attempt to move forward with extensive new tax increases. In this month’s newsletter we will break down what is happening and how it impacts your business and your customers.
This situation is unusual because the Senate vote was delayed until every member of the majority caucus was physically present. Senator Chris Gorsek of Gresham had been out for surgery, and Senate leadership delayed action until he returned so they could secure the necessary votes. The move is legal, but it raises questions when legislation involving taxes and revenue depends on the availability of a single recovering legislator. Many believe that measures like this should be referred to voters before landing on the governor’s desk. Instead, the bill, HB 3991, was signed on November 7, 2025.
Once signed, HB 3991 became eligible for referral, which allows Oregonians to collect signatures to force the measure onto the statewide ballot. That process is already underway with the No Tax Oregon effort.
For automotive dealers, this legislation has several direct impacts. These include increased registration and title fees, higher fuel costs due to the fuel tax hike, and ongoing strain on DMV and ODOT staffing that already makes day-to-day operations challenging. None of these changes are wins for dealers or their customers but understanding them clearly is essential.
Fuel Tax Increase: 15 percent (from 40 cents to 46 cents)
This seems small at first glance, but it creates ripple effects across every sector. From vehicle transport costs to grocery distribution, nearly every Oregon business will pass these costs along to consumers.
Registration and Title Fee Increases
Dealers and customers will see significant increases in title and registration costs. The DMV has published the following changes to title fees, which are separate from registration fees:
Before Dec. 31 (current title fees):
• 101 dollars for vehicles rated 0 to 19 MPG
• 106 dollars for vehicles rated 20 to 39 MPG
• 116 dollars for vehicles rated 40 MPG or higher
• 192 dollars for all electric vehicles
Starting Dec. 31 (new title fees):
• 240 dollars for vehicles rated 0 to 19 MPG
• 245 dollars for vehicles rated 20 to 39 MPG
• 255 dollars for vehicles rated 40 MPG or higher
• 331 dollars for all electric vehicles
Source: https://www.oregon.gov/odot/dmv/pages/fees/vehicle.aspx
When you compare these numbers, the increases range from roughly 113 percent to 138 percent depending on MPG category. These are dramatic cost jumps that will affect every customer purchasing or transferring a vehicle in Oregon.
OVDA is often put into adversarial positions when working with ODOT and more specifically the DMV, however, we pride ourselves on maintaining a close working relationship built on transparency, mutual respect, and professionalism. We don’t like the idea of employee’s being cut, or budget issues impacting operations, however, we cannot, and will not support this bill. The knee jerk drastic increases are destabilizing and possibly ruinous for businesses and consumers alike.
To that end we encourage you to seek out and sign petitions to put this bill onto the ballot so that Oregon voters can represent themselves, and possibly prevent a gross overreaction, that will for all intents and purposes do not solve the underlying issues.
· Must achieve over 78,000 valid signatures by December 30th, 2025.
Sites for additional information or petition locations:
– https://stopthegastax.com/petition/#wheretosign
OVDA will continue to advocate to protect the automotive industry in Oregon, that’s our job. We are your voice in the Oregon Legislature!