

Oregon Employee Commute Options (ECO) Program
Employee Commute Options (ECO) Rules, Oregon Administrative Rules 340-242-0010 through 0290
Oregon Employee Commute Options (ECO) Program

The Employee Commute Options (ECO) Program requires employers in the Portland Air Quality Maintenance Area with 100+ employees to implement commute reduction strategies that achieve a measurable 10% reduction in employee vehicle trips. Unlike simple benefit mandates, ECO demands documented behavioral change and ongoing performance measurement as part of Oregon's federally required air quality improvement plan.
Employers with 100+ employees at a single worksite located within the Portland Air Quality Maintenance Area. This includes full-time and part-time employees working 80+ hours per 28-day period for at least 6 consecutive months. All employer types must comply, including private businesses, educational institutions, non-profits, and government agencies.
Covered employee: Any employee who works at least 80 hours per 28-day period for at least 6 consecutive months at a worksite with 100+ employees within the Portland Air Quality Maintenance Area.
Covered employer: Any organization with 100+ employees at a single worksite within the Portland Air Quality Maintenance Area, including private businesses, educational institutions, non-profits, and government agencies.
While the ECO Program itself does not provide tax credits, employers can utilize federal pre-tax commuter benefits (up to $325/month for transit and $325/month for parking in 2025) to reduce their payroll tax obligations by approximately 7.65% on employee transit contributions.
- Register with Oregon DEQ within 90 days of reaching 100+ employees
- Conduct baseline employee commute survey
- Submit a trip reduction plan within 180 days showing strategies to achieve 10% reduction
- Implement approved commute reduction strategies
- Conduct follow-up surveys every two years
- Document good faith implementation efforts
- Report survey results and implementation progress to DEQ
The ECO Program requires employers to measure their baseline auto trip rate through an employee survey, then implement strategies designed to reduce that rate by 10%. Employers must conduct follow-up surveys every two years to document progress. While achieving the 10% reduction is the goal, enforcement focuses on good faith implementation of approved strategies rather than actual reduction results. Employers can choose from various trip reduction strategies including transit subsidies, carpool programs, flexible work arrangements, telecommuting, and active transportation support.
The program covers all employee commute trips to and from the worksite. Employers must implement strategies that reduce single-occupancy vehicle trips by at least 10% from baseline. Covered strategies include transit subsidies, vanpool programs, carpool matching, flexible work arrangements, telecommuting, active transportation support, and emergency ride home programs. Business-related travel during work hours is not covered by the ECO Program requirements.
Want to develop a comprehensive ECO compliance strategy that both satisfies Oregon DEQ requirements and maximizes benefits for your organization and employees?
Oregon DEQ can impose civil penalties for failure to register when required, non-submission of employee surveys and trip reduction plans, and failure to implement approved commute reduction strategies. Penalties escalate for repeat violations and continued non-compliance. However, employers who demonstrate good faith implementation efforts but don't achieve the 10% reduction target are not penalized specifically for missing the reduction goal.
Employers can realize significant financial benefits through ECO compliance:
- Reduce employee transportation costs through federal pre-tax benefits (up to $325/month)
- Lower employer payroll taxes by 7.65% on commuter benefit contributions
- Reduce demand and costs for employee parking facilities
- Access resources and support from regional transportation management associations
- Some employers may qualify for TriMet pass program discounts
The ECO Program applies to the Portland Air Quality Maintenance Area (AQMA), which includes portions of Multnomah, Washington, and Clackamas Counties. Major cities covered include Portland, Beaverton, Tigard, Lake Oswego, Milwaukie, Gresham, Hillsboro, Oregon City, Tualatin, West Linn, Fairview, and Wood Village.