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The state Legislature overwhelmingly passed a 90-day Ohio gas tax holiday that was pushed by Vivek Ramaswamy, the Republican gubernatorial candidate.
It should be signed into law Thursday by Gov. Mike DeWine, a Republican.
The quickly written bill passed Wednesday in the Senate 26-5 and then in the House 78-16 with Ramaswamy saying when he becomes governor, passing needed legislation will happen this fast.
Several Democrats voting in favor of the proposal despite saying the plan is an election ploy to help Ramaswamy, said the average motorist will save about $3 a week, those who live out of state will take advantage of the gas holiday in Ohio, and some of the savings would stay with the gas industry or retailers.
Without Democratic support, the gas holiday would have had to wait 90 days to take effect. With it, it can start as soon as DeWine signs it into law.
In a competitive race for governor with Democrat Amy Acton, Ramaswamy urged Republican leadership on Sept. 23 to call a special session, which was Wednesday, to vote on the gas tax holiday. That request came about 6 1/2 hours after Acton proposed it without providing details.
Initially, Ramaswamy's plan was to use Ohio Department of Transportation cash reserves to pay for the cost, estimated at $678 million.
Ramaswamy initially said the lost revenue would be replaced by an upfront appropriation from the Ohio Department of Transportation's ending cash balance, then the General Revenue Fund and, if needed, the state's Rainy Day Fund.
When it was learned that ODOT's highway operating fund has just under $1.6 billion with no money that is not planned for future projects, the bills introduced Monday in the House and Senate increased the cost to $725 million with money coming from the General Revenue Fund. That fund is expected to have a $745 million surplus by next June.
The state's tax on regular gas is 38.5 cents a gallon and 47 cents on diesel. The 90-day gas holiday will reduce that tax to $0.0001, which Republican leaders say protects certain border counties from seeing unintended tax consequences due to neighboring states changing their own tax on fuel sold into Ohio if no other tax is levied.
Drivers will still pay the federal tax of 18.4 cents a gallon.
The Rainy Day Fund, which has a $3.7 billion surplus, isn't being touched.
After the vote, Ramaswamy said: "A lot has changed in seven days. A week ago, we had a clear plan. Today, that vision has been translated into reality."
Ramaswamy said: "The truth is families are struggling with affordability. Families need relief and we had the opportunity this week to help those families even if it's just a little bit. A little bit means a lot when families are stretching themselves."
Ramaswamy said he was "disappointed" that 20 Democrats voted against the bill. One Republican senator also voted against the bill.
Ramaswamy said it was "a simple gas tax suspension that will help families. It shows their hypocrisy."
Ramaswamy said the speed that the gas tax suspension took to pass is a sign of what will occur if he is elected Nov. 3.
During a Wednesday stop in Youngstown before the vote, David Pepper, her lieutenant governor running mate, said Acton's plan "was to propose relief and start the conversation. We're glad that happened."
He added that using the General Revenue Fund "makes more sense."
After the vote, Virginia Schaus, an Acton campaign spokesperson, said: "As the first candidate in this race to propose a gas tax holiday, Dr. Acton is glad the Statehouse has voted with bipartisan support to establish a gas tax holiday and provide Ohioans with much needed relief at the pump."
The 90-day gas holiday will take effect with DeWine's signature. The governor had objected to ODOT money being used for the gas holiday because there isn't a surplus in that fund.
Dan Tierney, DeWine's spokesman, said Wednesday that the governor will sign the bill into law as soon as Thursday as long as the Legislature gets it to his office.
When Ramaswamy and Republican legislative leaders - including Senate President Rob McColley, his lieutenant governor running mate - first announced the proposal on Sept. 23, AAA reported the average price of regular gas in Ohio at $4.4566 a gallon and $6.8167 a gallon for diesel fuel, which was a record high. The average price of a gallon of regular gas in Ohio on Wednesday was $4.2363 and $6.6794 for diesel.
Ramaswamy said the 90-day suspension would save the typical family with two vehicles about $165 - or about $80 a person - while a typical independent semi truck driver would save $1,800 over the 90 days.
But Democratic legislators, using language from Republicans in committee hearings, said the savings is more likely to be $3 a week per person. That would be less than $40 per person over the 90-day period.
The more gas a vehicle uses, the greater the savings. Of course, that also means paying for gasoline.
REACTIONS
State Sen. Al Cutrona, R-Canfield, whose district includes all of Mahoning and Columbiana counties, said: "Ohioans are feeling the pinch every time they pull up to the gas pump. For working families, those extra dollars add up quickly. That is why I support giving Ohioans a 90-day break from the state gas tax. It's a straightforward way to put money back in the pockets of everyday Ohioans and let families keep more of what they work so hard to earn. In addition, because of our conservative fiscal leadership, we have the funding to support the loss in revenue without reducing funding for our road, bridges and infrastructure."
State Rep. Tex Fischer, R-Canfield, who represents portions of Mahoning and Columbiana counties, said: "Any day when we vote to let Ohioans keep more of what they earn is a good day. Although I wish we had done this sooner, I was proud to support this effort to suspend the gas tax and give our citizens a little relief at the pump."
Fischer added: "One of my conditions for supporting this legislation was that we provide relief while also ensuring our infrastructure projects remain fully funded. This bill protects Ohio's roads and bridges by spending over $700 million from our budget surplus to compensate for lost gas tax revenue. This is a win-win for drivers in the Mahoning Valley and across the state."
State Rep. David Thomas, R-Jefferson, whose district includes portions of Trumbull County, said: "Every day is a great day to cut taxes and have less of your money coming to Columbus. Today we acted on the frustrations of Ohioans by taking $0 for the next 90 days of what you pay at the pump."
State Sen. Sandra O'Brien, R-Lenox, whose district includes all of Trumbull County, said: "As legislators, we have a responsibility to remember the families behind the numbers. A few dollars saved at the pump can mean a little more for groceries, a child's school expenses or simply one less worry at the end of the month. This legislation provides relief that Ohioans can see and feel immediately."
McColley, R-Napoleon, said: "This represents significant savings that hard working families need now more than ever. Senate Republicans have a long history of reducing the tax burden ranging from reducing income taxes to enacting significant property tax reforms and this reinforces our belief that your paycheck starts with you instead of the government."
Senate Minority Leader Nickie J. Antonio, D-Lakewood, said: "Families in Ohio have been feeling the impact of high costs for months, but Republicans decided to address this emergency when it was clear their unpopular gubernatorial candidate had low poll numbers. Creating an affordable Ohio starts with ending President Trump's reckless war with Iran. We could be doing so much more to address affordability, but the Republican majority failed to prioritize people over politics."