Resolution 2014-067: Aviation Fuel and Aviation Fuel Taxation

Sponsored by: Gerritt Rosenthal, Platform Chair Approved: 03/15/2015

A RESOLUTION OF THE DEMOCRATIC PARTY OF OREGON

WHEREAS aviation fuel for private general aviation in Oregon primarily utilizes leaded fuel which can increase lead concentrations in the air and in atmospheric fallout (1); and

WHEREAS in some areas, the use of lead based fuel can increase the lead concentrations in residential areas near the landing and take-off flight paths of private airplanes with concomitant health risks, particularly to young children; and

WHEREAS lead-free fuel  (Mogas) is commercially available (2) and provides a suitable substitute to lead based fuel; and

WHEREAS several general aviation airports in Oregon have taken the initiative to switch to lead-free fuel; and

WHEREAS current state fuel taxes for jet fuel are $0.01 per gallon and for  $0.09 per gallon for general aviation fuel compared to state road fuel taxes of $0.30 per gallon; and

WHEREAS the current fuel tax based revenue stream does not provide sufficient revenue to maintain and improve aviation facilities throughout the state or to provide incentives for the transition to lead-based fuels; and

WHEREAS currently, state General Fund and Lottery Fund revenues of approximately $10 million per anum are required for aviation facility maintenance and improvement which means that approximately $5 million per anum are not available for education funding; and

WHEREAS the level of fuel taxes should be equitable between aviation and road fuels; and

WHEREAS an increase of jet fuel taxes to parity with road fuel taxes would account for an average ticket price increase on the order of $5 per passenger for a 2000 mile flight:

NOW, THEREFORE BE IT RESOLVED BY THE DEMOCRATIC PARTY OF OREGON THAT WE URGE OREGON LEGISLATORS TO:

1. Increase both the jet fuel and the general aviation fuel taxes to a level sufficient to fully support aviation facilities and services throughout Oregon.
2. Dedicate General Fund/Lottery Fund monies formerly used for aviation support to education expenditures.
3. Increase the fuel tax for leaded aviation fuel to at least 1.5 times the tax for lead-free fuel.
4. Dedicate a portion of the aviation fuel tax revenue stream to assistance to all general aviation airports in their transition to lead free fuels.
5. Inform the following entities of this Resolution: the Oregon House and Senate leadership; the Port of Portland; and the Oregon Department of Aviation.

Submitted: Gerritt Rosenthal, Platform Chair, CC Member – 12/20/2014; Approved by Platform Committee, Jan. 18, 2015.  ADOPTED by the Democratic Party of Oregon on 15th day of March, 2015.