House panel guts gas tax hike

COLUMBUS – While Gov. Mike DeWine’s proposed gas tax increase to fix roads and bridges won support from Democrats, DeWine found himself facing headwinds from his own party, including members of a House panel who voted to trim the tax hike.

CORRECTION: This article has been corrected to show that the bill was not approved by the committee.

A few hours after DeWine‘s midday speech, Republicans on the the House Finance Committee unveiled a substitute bill that reduces the proposed increase from 18 cents-a-gallon to 10.7 cents-a-gallon, cutting about $300 million from the administration’s proposed transportation budget, which DeWine DeWine called a “minimalist approach” that’s needed to fix the most serious problems as soon as possible.

“I you think, and your constituents think, the roads are bad now, you haven’t seen anything yet,” DeWine told lawmakers during his first State of the State address, delivered hours before the committee meeting.

The House finance committee plans to vote on it Wednesday with a full House vote expected Thursday.

DeWine proposes raising Ohio’s current tax of 28 cents per gallon by 18 cents starting July 1 and adjusting it for inflation going forward. The House proposes an increase of 10.7 cents over three years beginning Oct. 1. The House proposal would increase the diesel-fuel tax by 20 cents a gallon.

The House plan would raise about $872 million per year, compared with about $1.2 billion from DeWine’s plan.

DeWine says the House plan’s gas-tax increase isn’t enough.

He said 2,600 local bridges alone are rated in poor condition, while the Transportation Department has identified 150 dangerous roads and intersections that require immediate repair. He urged passage of the tax increase to fill an annual $1.2 billion deficit in road repairs.

Senate Democratic Leader Kenny Yuko, of suburban Cleveland, said public transit will be one area Democrats fight to see fully funded from DeWine’s proposed gas-tax increase.

The gas tax increase was hailed by central Ohio leaders, including Democratic Columbus Mayor Andrew Ginther.

Part of the increase would go to help cities and counties maintain roads and bridges and state transportation officials estimate Columbus would receive $19 million the first year.

But, the proposal had met with a mixed reaction from GOP leaders even before the speech was delivered. Senate President Larry Obhof is skeptical, while House Speaker Larry Householder has acknowledged the need.

Tom Zawistowski, President of the TEA Party-affiliated We the People Convention, claimed in a release that the tax hike was “payback” to the state’s labor unions he said supported DeWine and Householder. He called for any tax increase to be offset by spending cuts.