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Governor's administration proposes gas tax increase

Estimated $6M in additional revenue for Cincinnati
Posted at 12:17 PM, Feb 21, 2019
and last updated 2019-02-22 09:54:08-05

CINCINNATI (AP) — Ohio Gov. Mike DeWine's administration has recommended increasing the state gas tax by 18 cents a gallon beginning July 1 and annually adjusting that tax for inflation to maintain roads and bridges.

Ohio's Department of Transportation director introduced the governor's $7.43 billion transportation budget proposal on Thursday to the House Finance Committee. Director Jack Marchbanks said the tax included in the two-year budget would be adjusted annually with the consumer price index to ensure sufficient funding continues.

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He said the revenue raised the first year, by increasing the current 28-cent tax to 46 cents, equates to roughly $1.2 billion and will be split between ODOT and local governments.

The estimate from ODOT shows the city of Cincinnati would receive approximately $6 million in additional revenue starting fiscal year 2020 -- about $14 million under the 46-cent tax, compared to about $8 million under the 28-cent tax.

Marchbanks told legislators that without more revenue, there will be "no funds for any highway improvement projects."

The budget requires legislative approval.