COLUMBUS – Lawmakers in the GOP-controlled Ohio Senate slashed Gov. Mike DeWine’s proposed gas tax hike to 6 cents per gallon, a third of what the Republican governor requested to fix the state’s roads.

Senators were wary of a large gas tax hike and dubious of DeWine’s claim that an 18 cents-per-gallon increase was the “bare minimum” needed to fix Ohio’s infrastructure.

Some lawmakers even mulled removing the gas tax increase from the transportation budget entirely. They wanted to handle the gas tax in the operating budget, allowing lawmakers to offset any increase with a corresponding income tax decrease. 

“In my view, any tax increases deserve an offsetting tax cut,” said Sen. Rob McColley, R-Napoleon, who voted against the increase.

Other lawmakers thought the gas tax hike wasn’t high enough.

“When we don’t build new roads, economic development suffers,” said Sen. Peggy Lehner, R-Kettering. “Six cents is better than nothing.”

In the end, senators landed on a 6 cents-per-gallon increase that would take effect July 1. They also shrunk the increase in public transportation money to $55 million a year. By using state money, Ohio could free up federal money for roads and bridges. 

That amount for public transit would be an increase from the current $33 million a year but less than the $100 million that House legislators approved and still less than Democrats wanted.

“(Public transportation) is severely underfunded,” said Sen. Tina Maharath, D-Columbus, while praising the increase that was included. “It’s a small step closer to where we need to be, but it’s not enough.” 

A committee of senators passed the bill by a narrow 6-5 vote Thursday afternoon, and it passed the Ohio Senate 24-6 later that day. 

Because the Ohio House passed a 10.7 cents-per-gallon increase earlier this month, a bipartisan conference committee of lawmakers from both chambers will meet next week and work out their differences.

What they decide will determine what Ohioans pay at the pump and how much the state will spend on road and bridge repairs and new construction.

DeWine had asked for an increase of 18 cents-per-gallon, which would have raised Ohio’s gas tax to 46 cents-per-gallon and brought in $1.2 billion a year for road and bridge projects. At that rate, Ohio would have had the fifth highest gas tax in the nation. The state last raised the gas tax in 2005, and the current rate is 28 cents per gallon.

“It is unacceptable that our roads are crumbling in front of our eyes for both safety and economic reasons,” DeWine said last week. “Our proposal was a minimalist, conservative approach. I will continue to work with our state legislators to pass a transportation budget that best protects our families and our economy.” 

But Ohio’s GOP-controlled Legislature wasn’t sold. Their tax increase would bring in about $400 million each year with $100 million aimed at new projects.

“Maybe we won’t be spending as much on major new construction as we have been in the past eight years,” McColley said. “Our policy No. 1 should be taking care of existing roads and bridges and this budget definitely does that.”

Lawmakers in the House of Representatives slashed the gas tax increase to 10.7 cents per gallon, phased in over two years. (Diesel fuel would have increased by 20 cents per gallon, phased in over three years.) 

That version passed the Ohio House with support from 40 Republicans and 31 Democrats. Some of the caucus’ most conservative members opposed the tax hike. 

Lawmakers in the Ohio Senate couldn’t stomach that increase either.

Other Senate changes include:

• Allowing Hamilton County’s transit to levy a sales tax to pay for roads, too.  
• Reinstating a requirement that Ohio vehicles have two license plates, citing concerns from law enforcement that both plates are needed.
• Increasing the Ohio earned income tax credit from 10 percent to 30 percent of an individual’s federal tax credit, and removing a credit cap for taxpayers with income above $20,000.
• Reducing the fees for hybrid and electric vehicles by $25 to $75 and $175, respectively. Fees would first take effect on Jan. 1, 2020. 
• Removing language defining low-speed scooters and preventing skateboards from riding behind vehicles.
• Requiring future governors to introduce their transportation budgets earlier.  
• Allowing active duty military members and their spouses stationed out of state to renew their licenses online. 

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