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Oregon has the nation’s lowest vehicle fees
A recent analysis by Bankrate of the total costs of vehicle ownership found that not only is Oregon the cheapest state in which to own a car, it has the lowest vehicle taxes of any state in the nation by a wide margin.
Bankrate’s summary of Oregon’s vehicle costs indicates that Oregonians face low vehicle fees and relatively low insurance premiums and also drive less than people in most other states. All together, Oregon’s total annual vehicle ownership cost of $2204 is almost a third lower than the national average of $3201.With no states sales tax and relatively low title and registration fees, Oregon’s combined annual vehicle fees amount to just $157 per year. That’s 85 percent below the national average of $1058.
According to figures from Oregon’s DMV, the cost of titling a vehicle in the most expensive state, Washington, reaches $2099, while Oregon’s title fee is set at $77. Similarly, registering a new vehicle in California will cost you $2033, while in Oregon it’s  $43 annually, ranking Oregon as one of the cheapest states in the nation for vehicle registration. (Both of these figures are based on a new 2012 Chevy Malibu, as many states charge title and registration fees based on a vehicle’s value rather than Oregon’s approach of using a flat rate.)
A recent study by the Oregon DMV provides additional detail about Oregon’s relatively low driver and motor vehicle fees. The DMV study of its fees found that some services—for example, those related to driver licenses—are priced significantly under what it actually costs to provide them, so DMV loses money on each transaction. The study also found that costs of transactions in field offices are often more expensive: DMV spends about $6 more to renew a vehicle registration in a field office than it does for the same transaction done online or by mail, but the same fee is charged regardless of where the transaction takes place. While fees aren’t covering costs, DMV has found ways to do more with less:  DMV has reduced staffing by 8 percent since 2000 even as licensed drivers and registered vehicles have both increased by 8 percent over the same period.