Elizabeth Camara, a No Kings rally counterprotester holds a sign protesting against the transportation package Democratic lawmakers passed during a special session earlier this year in Salem, Oregon. (Photo by Mia Maldonado/Oregon Capital Chronicle)
Democratic leaders in the Oregon Legislature want to move a statewide vote on transportation taxes from November to May.
After submitting enough signatures to the Oregon Secretary of State’s Office, petitioners with the Republican-led No Tax Oregon campaign blocked hikes to the gas tax, vehicle registration and title fees and payroll tax included in a 2025 transportation law from taking effect pending a statewide vote in the November general election — thus delaying $791.2 million in revenue for the Oregon Department of Transportation in the 2025-27 budget cycle.
However, House Speaker Julie Fahey, D-Eugene and Senate President Rob Wagner, D-Lake Oswego announced late Wednesday that they will introduce legislation to set the date of the referendum for the statewide primary election on May 19.
“Voters were clear that they want to have a say on this bill, and legislators and our local partners need to know the transportation funding landscape so meaningful conversations can continue,” Wagner said in a statement. “Setting the election date for May achieves both these goals.”
But Republicans vowed to fight the effort to reschedule a vote. Rep. Ed Diehl, a Scio Republican and one of the leaders behind the referendum campaign called Democrats’ efforts to move it to May “callous.”
“(Gov. Tina Kotek) doesn’t want to be on the same ballot as this referendum,” Diehl told the Capital Chronicle. “I’m going to fight it tooth and nail. They’re not going to get away with this.”
Kotek and legislators will be on primary ballots in May, but only Democratic ballots. Oregon’s closed primary system means only registered Democrats receive Democratic ballots and registered Republicans get Republican ballots, while the more than one-third of voters who aren’t affiliated with either major party receive shorter primary ballots with only ballot measures and nonpartisan races.
Fahey said setting the referendum date for the May primary gives lawmakers and Oregonians the needed clarity on the next steps for Oregon’s transportation future.
“In this time of uncertainty, we’re focused on governing, not politics,” Fahey said. “That means acting as quickly as possible to prevent disruption in our transportation system and to protect the roads and bridges that connect Oregonians to work, school and emergency services.”
Transportation department short on funding
The transportation department is behind $242 million for the current two-year budget cycle. Starting next year, it will only be able to afford paving its interstates, meaning Oregon drivers can expect more potholes, rutted roads, faded pavement markings and higher vehicle repair costs, department chief engineer Tova Peltz previously told lawmakers.
The efforts to move the referendum come weeks after Gov. Tina Kotek called on lawmakers to repeal the transportation law she championed and Democratic lawmakers passed in a September special session to raise $4.3 billion in transportation maintenance funding over the next 10 years. However, a 1935 Oregon Attorney General opinion states the Oregon Legislature can’t repeal a law once it has been referred to the ballot.
Chief Legislative Counsel Dexter Johnson wrote a legal opinion to Diehl on Jan. 9 that if the legislature repeals the transportation law, then it ceases to be an act which means there is no longer a basis for a referendum.
But Johnson since reversed his opinion, Diehl said, concluding that Oregonians have a right to the referendum process and the Legislature cannot repeal a measure that has been referred, though it can set a date for the election.
Lawmakers have done this before. Transportation legislation passed in the 1999 session was referred by voters and went to the ballot in May 2000.
Kotek told the Capital Chronicle that she’s focused on providing stability to the transportation department so it can provide essential services.
“I’m focused on solving the problem, and that’s, to me, the easiest thing to do,” Kotek said. “The most direct approach is to start over, then solve the problem, and then get back to the table on what we need to do for transportation long term as we go into the next session in 2027.”
Republicans criticize attempts to move referendum to May
Diehl was a lead petitioner for the campaign alongside Senate Minority Leader Bruce Starr, R-Dundee, and Jason Williams, director of the Taxpayer Association of Oregon. On Nov. 12, they received approval from the Oregon Secretary of State to begin collecting signatures to refer the law to the ballot, and within a month the group submitted nearly 200,000 signatures.
“When we did the referendum, we marked that box that says we want it on the November 2026 ballot,” he said. “We got all the signatures, all verified for November 2026. This ship has sailed. I know they have the legal right to move it, but November is the people’s day to vote. That’s when the people show up to vote in the general election.”
Like Diehl, who announced his candidacy for governor on Wednesday, gubernatorial candidate Sen. Christine Drazan, R-Canby also criticized the attempts to move the referendum.
“This is what desperation looks like,” Drazan said in a statement. “Tina Kotek is afraid of being on the same ballot as her gas tax. At the end of the day she can’t avoid Oregonians; they will hold her accountable.”
Oregon Capital Chronicle Reporter Shaanth Nanguneri contributed to this story.
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