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Ohio gas tax suspension proposal

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2026-09-27 20:03 UTC → 2026-09-30 16:54 UTC · added ~~removed~~

Ohio Republican legislative leaders have proposed a 90-day suspension of the state’s gas tax to address historic spikes in fuel prices. The proposal, championed by gubernatorial candidate Vivek Ramaswamy, seeks to eliminate the 38.5-cent per gallon tax on regular gasoline and the 47-cent tax on diesel. To offset the estimated ~~$600 million in lost revenue,~~ revenue loss, the plan suggests utilizing the Ohio Department of Transportation’s ending cash balance, the General Revenue Fund, the state’s Rainy Day Fund, and potential savings from Medicaid fraud prevention. The Ohio General Assembly is expected to hold a special session, likely on September 30, to vote on the measure. While Republicans aim for immediate relief, legislative rules may require bipartisan support for the tax cut to take effect before the November election; otherwise, implementation would be delayed until late December. Democratic leadership has characterized the move as a ‘political ploy,’ suggesting they would only consider relief if funds are diverted from a new Cleveland Browns stadium project. On September 30, the Ohio Senate held its first hearing regarding the proposed gas tax holiday. Republican leaders are attempting to pass the measure with an emergency clause to ensure implementation before the November elections. While the proposal was initially suggested by Democratic gubernatorial candidate Amy Acton before being adopted by Ramaswamy, the funding strategy has shifted. Following Governor Mike DeWine’s rejection of using Ohio Department of Transportation surplus funds, the current legislative plan seeks to cover an estimated $725 million in lost revenue by drawing from the state’s general revenue fund. Some senators have expressed skepticism due to the impact on funding for state roads and bridges, and Republicans will need to secure Democratic votes in the House to pass the legislation.

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