Oregon Democratic Senatorial candidate Jeff Merkley, right, with his wife Mary Sorteberg, center, and Sen. Ron Wyden, D-Ore, greets supporters Tuesday at his election night party in Portland.<br><i>Associated Press

The Democratic tide that swept Barack Obama to the presidency has swept Jeff Merkley to the U.S. Senate, ousting two-term Republican Gordon Smith.

By 8 a.m. Merkley had built a 37,000-vote lead over Smith, who called the senator-elect at about 9:10 this morning to congratulate him on the victory. Merkley, the first Oregon leader in 40 years to defeat an incumbent senator, gave his acceptance speech at Portland State University.

Merkley stood before a jubilant crowd and first acknowledged Smith’s service to Oregon, then thanked his family, supporters and campaign staff.

Merkley listed a host of priorities, including “bringing our sons and daughters home” from the war in Iraq, creating jobs in the U.S., addressing family needs and creating tax policies that keep jobs in the U.S. and helping working families.

He also said it was time to create a smart energy policy that addresses America’s need for foreign oil and the problem of global warming.

Merkley then called for greater regulation on Wall Street and for an end to credit practices that aim at gouging American families. He also said the U.S. educational system needs attention.

“So there is a lot of work for us to do together,” Merkley said.

He also renewed his pledge to hold a meeting in every county in Oregon every year he is in the Senate, and said he would meet with local community leaders to understand local needs.

Smith, who spent election night at the Benson Hotel in Portland, will speak at 2 p.m. today at his home in Pendleton.

According to unofficial results from the Oregon Elections Division Web site, as of 8 a.m. Merkley had 769,503 votes for 48 percent, while Smith had 731,865 votes for 46 percent. Constitution Party candidate David Brownlow has 83,327 votes for 5 percent.

So far, elections officials have counted 1,655,547 ballots out of the 2,166,866 registered voters – a new state record – for a 76.4 percent voter turnout.

Merkley’s margin came as Multnomah County workers plowed through the largest number of uncounted ballots in the state. Multnomah County is Merkley’s home and a Democratic stronghold where he expected to pick up a winning advantage.

Most of the remaining ballots are from heavily-populated counties such as Multnomah and Lane, which are more liberal and lean heavily toward Merkley.

Merkley’s move from Oregon House speaker to the U.S. Capital means he will join Ron Wyden, Oregon’s senior senator, giving Oregon two Democratic senators for the first time in 40 years.

Oregon

Total registered voters 2,166,866

Total ballots counted 1,655,547

Turnout 76.4%

Smith 731,865 (46.05%)

Merkley 769,503 (48.42%)

Brownlow 83,327 (5.24%)

Write-in 4,497 (.28%)

Umatilla County

Total registered voters 32,648

Total ballots counted 25,554

Turnout 78.27%

Smith 17,783 (71.79%)

Merkley 5,889 (23.77%)

Brownlow 1,055 (4.26%)

Write-in 202 (.8%)

Morrow County

Total registered voters 4,958

Total ballots counted 4,095

Turnout 82.59%

Smith 2,743 (68.99%)

Merkley 980 24 (.53%)

Brownlow 265 (6.63%)

Write-in 7 ( .18%)

Washington County

Total registered voters 273,237

Total ballots counted 212,882

Turnout 77.91%

Smith 95,113 (46.56%)

Merkley 99,967 (48.94%)

Brownlow 8,632 (4.23%)

Write-in 549 (.27%)

Multnomah County

Total registered voters 360,551

Total ballots counted 292,306

Turnout 83%

Smith 79,068 (28.15%)

Merkley 190,726 (67.90%)

Brownlow 10,076 (3.59%)

Write-in 1,012 (.36%)