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Santa Cruz pays the “Oregon Trail Tax” to keep singletrack growing

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After the state of Oregon passed a $15 bike tax on most any bike costing more than $200, Santa Cruz Bicycles responded with a matching donation. The difference? The proceeds from SCB will go straight into trail building efforts to benefit mountain bikers. Here’s the full story…

santa cruz bicycles donates to oregon mountain bike trail building efforts

PRESS RELEASE: Santa Cruz Bicycles has responded to Oregon’s controversial new bicycle tax with a promotion that promises to deliver thousands of dollars to mountain bike projects across the state. Dubbed “The Oregon Trail Tax,” Santa Cruz will match the $15 per bike tax customers pay on every Santa Cruz and Juliana bike sold in Oregon starting September 1 and for the remainder of 2017. Proceeds will be split evenly between three trail advocacy organizations who build trails in the state–the Northwest Trail Alliance (NWTA), the Central Oregon Trail Alliance (COTA), and Team Dirt.

“The whole thing seemed like a bad deal for Oregon cyclists in general and mountain bikers in particular,” said Santa Cruz Bicycles CEO Joe Graney. “It doesn’t look like any of the money collected from the sale of mountain bikes will actually benefit mountain bikers, so we thought we’d try and do something to ease the pain of our northern neighbors.”

To promote the program, Santa Cruz is sending Oregon retailers posters, hangtags and social media assets to use in-store and online. The artwork’s theme is based on the classic computer game The Oregon Trail, a simulation that pitted would-be pioneers against the Wild West. Dysentery infection was a common cause of death in the game and it played into the program’s tagline—“Buy a Santa Cruz, We Kick in $15, Nobody Dies of Dysentery.”

The much-debated bike tax is part of Oregon’s new transportation bill that adds a $15 per bike fee on new bikes with 26-inch or larger wheels that sell for $200 or more. The fees will be funneled into a fund called Connect Oregon which provides matching grants for commuter bicycle infrastructure. Given Connect Oregon’s transportation biased selection criteria, it’s doubtful a mountain bike project would ever be considered.

Advocacy in Oregon is nothing new for Santa Cruz; as part of the company’s sponsorship of the Trans-Cascadia enduro race, its employee-based Factory Racing Team has logged more than a 350 hours of trail work in the state over the last two years on trails near the towns of Oakridge and Ashland.

Santa Cruz will send a kick off check for $1,000 to each of the trail organizations on October 5th—the day retailers start collecting the tax–and then send monthly dividends through the end of the year. Santa Cruz will be working with dealers to account for bikes sold for the duration of the promotion.

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Tom
Tom
7 years ago

So embarrassed for my home state of Oregon over this tax. Go Santa Cruz, and consider adding HRATS to you list of beneficiaries.

Let’s hope they decide to let their contributions continue and that other mtb cos follow suit!

Keefer
Keefer
7 years ago
Reply to  Tom

The only thing Oregon should be embarrassed by is not having a sales tax…

Emily
Emily
7 years ago

Sell the bikes with no wheels. Give “rebates” to get wheels post purchase

J D
J D
7 years ago

Emily – selling fully built framesets! Brilliant!

Tim
Tim
7 years ago

Of all the things one could tax- weed, alcohol, cigarettes, polluting automobiles or air travel, diet and regular soda and other junk food, they chose to tax… bicycles.

John Royal
John Royal
7 years ago
Reply to  Tim

Oh, Oregon definitely taxes weed. 25% sales tax.

While the $15 bike tax definitely sends a bad message to cyclists, you have to keep it in perspective. If I want to buy a $5,000 Hightower in Oregon the cost with the bike sales tax is $5,015. If I want to buy the same Hightower in North Carolina the total cost is $5,350 with none of that going to any biking infrastructure whatsoever.

Mike
Mike
7 years ago

I’m not at all against paying taxes generally to fund infrastructure, but the part of this that’s annoying is that commuter bicycles are usually substitutes for cars. I already pay about $400 in “use tax” on a car that sits all week, and I drive about 3,000 miles a year total. Now I gotta pony up for a special bicycle tax, too? You’re welcome for decreasing the load on road infrastructure and keeping traffic light for everyone else, I guess?

Tom
Tom
7 years ago
Reply to  Mike

unfortunately, the unenlightened drivers never see it that way, and never will. Cyclists take up road space, “and don’t pay taxes”. These are the same dimwits that don’t understand that you and I subsidize their health insurance.

Ben
Ben
7 years ago
Reply to  Mike

I suppose… but I have three motorcycles and two cars. I have to pay the same taxes on all of them, doesn’t matter that I can only actually use one.

Hotep
Hotep
7 years ago

Oregon can be a pretty progressive state, but I’m not in favor of this maneuver. I will add I really like it when a bike company steps up. Trek pretty much funded/hosted the UCI Cross race at Waterloo this weekend. And, SC funnels some funds to trails. What if each state could get half a percent of federal transportation funds dedicated to cycling infrastructure?

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