$1 billion hole in transportation budget
Today (February 21st) Governor DeWine officially unveils his proposal to increase the gas tax by 18 cents per gallon to raise revenue to address our states infrastructure needs. Unlike recent budget cycles, new revenue is an open part of budget deliberations.
Ohio’s transportation budget needs to fill a $1 billion budget shortfall.
14 years of tax cuts, and a refusal to raise new revenue, have left Ohio without the resources we need to invest to maintain our roads and bridges, invest in strong schools, provide reliable public transit options, or address Ohio’s persistently high infant mortality rate.
Facts about the gas tax:
Due to inflation and other factors, the gas tax has a purchasing power 58 cents to the dollar of what it had in 2003 when it was last increased.
The gas tax is the primary state source of revenue for our roads and bridges.
Governor DeWine’s proposal will generate $725 million for the state and $480 million for local road projects.
An extra few dollars a month can hit low-income families hard, and the gas tax will likely hit low-income families harder than their wealthy neighbors.
Adopting additional changes to enhance public transit, adopt a sales tax credit, and expand Ohio’s Earned Income Tax Credit (EITIC) will help guarantee that everyone pays their fair share for the much needed investments in our roads and bridges that keep Ohio moving.