Skip to main content

Oregon debuts road user charging to fund transportation projects

Sanef ITS and connected car company Intelligent Mechatronic Systems (IMS) have been awarded a road usage charge contract by the Oregon Department of Transportation (ODOT). Debuting on Oregon's roadways in July 2015, this voluntary distance-based road usage charging program is said to be North America's first implementation of a mileage-based charging solution. Diminishing fuel tax returns led Oregon decision-makers to look for a fair, reliable source of revenue to fund transportation projects for the state.
March 5, 2015 Read time: 2 mins
RSS480 Sanef ITS and connected car company 6954 Intelligent Mechatronic Systems (IMS) have been awarded a road usage charge contract by the 5837 Oregon Department of Transportation (ODOT).

Debuting on Oregon's roadways in July 2015, this voluntary distance-based road usage charging program is said to be North America's first implementation of a mileage-based charging solution.

Diminishing fuel tax returns led Oregon decision-makers to look for a fair, reliable source of revenue to fund transportation projects for the state. The result is the OReGO road usage charging program.  While OreGO is open to all cars and light-duty trucks in Oregon, ODOT can only enrol 5,000 vehicles initially and will evaluate vehicles for participation based their miles per gallon rating.

OReGO volunteers will pay a road usage charge of 1.5 cents per mile for the amount of miles they drive, instead of the fuel tax. They will also get a credit on their bill to offset the fuel tax they pay.

The IMS DriveSync telematics platform will be used in connection with Sanef ITS’ road charging infrastructure to track driver mileage. The platform has been used in connected car services such as usage-based insurance and young driver coaching according to IMS.

"We are seeing a growing trend in the number of electric and hybrid vehicles on our roads, which has led to a significant fall in critical gas tax revenues being collected for road maintenance," said François Gauthey, president of Sanef ITS. "To improve and maintain America's roadway infrastructure, the transition from a gas tax to a distance-based road usage charge solution is a critical evolution. Moving forward, creating a sustainable but fair system for collecting revenues is essential for future sustainability of critical transportation networks."

For more information on companies in this article

Related Content

  • Europe agrees on polluter-pays principle for truck tolls
    May 16, 2012
    EU Member States will in future have the right to apply the polluter-pays principle when setting road tolls on trucks and lorries. They will be able to levy charges for external costs and vary tariffs in order to ease congestion during peak hours and to encourage fleet renewal. Earmarking of revenues for transport infrastructure was the key point of an informal deal reached on Monday evening between Parliament and Council representatives on the revised Eurovignette directive.
  • Tolling industry celebrates the 20th anniversary of e-ZPass
    August 2, 2013
    In 1993, toll facilities in New York, New Jersey and Pennsylvania helped usher in regional toll interoperability in North America. Twenty years later, on 3 August, International Bridge, Tunnel and Turnpike Association’s (IBTTA), together with the rest of the tolling industry, will celebrate the 20th anniversary of the E-ZPass Interagency Group (IAG). Talking about the creation E-ZPass twenty years ago, IBTTA executive director and CEO, Patrick D Jones said: “One of the most transformative events in the his
  • ITS America congratulates 2013 US ITS World Congress Hall of Fame inductees
    October 16, 2013
    The ITS World Congress has honoured individuals from the Americas, Europe and Asia representing the high-tech transportation community across the categories of industry, local government and personal lifetime achievement. For the first time, it also recognises achievements by industry/academic institutions and local governments.
  • A smarter path into the future
    November 11, 2015
    The forthcoming Highways UK event at the ExCel in London on 25 and 26 November will debate the future of smart roads, what they will look like and whether they are actually needed, along with in-car robotics and communication with intelligent infrastructure. Daniel Ruiz, Managing Director at Imtech Traffic and Infra UK will be debating the many cultural and social challenges of intelligent transport systems with Isabel Dedring, Deputy Mayor for Transport at the GLA and others in an agenda-setting Highway