The Hood River City Council is exploring a Transportation Utility Fee as a potential way to generate additional revenue for street maintenance and repairs.
Council members received a report on the proposed fee Monday as the city works to address growing maintenance needs and rising project costs.
The Council also approved contracting for the city’s first street inspection since 2016. The inspection will help update the backlog of needed street maintenance projects and provide a clearer picture of current infrastructure needs.
City Finance Director Chris Longinetti noted that existing transportation revenue sources, including state and local gas taxes, are struggling to keep pace with increasing costs. He also said the League of Oregon Cities is advising that the municipal share of state road funding is expected to remain stagnant at best.
A Transportation Utility Fee, or TUF, would establish a monthly charge based on the use and characteristics of individual properties. Different formulas are generally used for residential and business properties.
In Oregon communities that have adopted the fee, residential charges range from $6.72 to $17.33 per month.
The Council’s discussion was informational as the city considers potential options for addressing its long-term street maintenance funding needs.