PORTLAND — New laws kicking in today will give a slight boost to the paychecks of more than 100,000 low-income Oregonians while tourists and vacationers will have a little less spending money in their wallets.
Under the changes enacted by the Legislature earlier this year, the current 1 percent tax on hotel stays in Oregon will nearly double and the state’s $9.25 hourly minimum wage will climb by 50 cents in two of three newly created geographic regions — metro Portland and smaller cities such as Eugene and Salem — and 25 cents in the third area’s rural communities, located mostly east of the Cascades.
The lodging tax hike to 1.8 percent, which will slip to 1.5 percent in four years, will help create a $25 million subsidy for the 2021 World Track and Field Championships in Eugene and provide additional state tourism funds.
Today’s wage increase is the first of seven happening annually through 2022, when metro Portland’s minimum will top $14.75, smaller cities at $13.50 and rural areas at $12.50. Employees who travel will either earn the wage from whichever region they spend more than half their time, by hours worked in each region or the highest rate of whichever region they work.