News Center

Proposed budget plan could hurt PARTA

Transit agencies in Ohio are bracing for the loss of millions of dollars in their budgets starting in July. The financial impact comes from the state no longer collecting the sales and use tax on Medicaid Managed Care Organizations (MCO). Sales taxes, among other entities, help fund transit agencies on a local level.

Medicaid sales tax loss slams counties, COTA

Franklin County would have to deal with $12 million in less revenue in 2018 under Ohio Gov. John Kasich’s formula to help counties deal with the loss of sales taxes from Medicaid managed care. Meanwhile, the Central Ohio Transit Authority, which also collects a dedicated piggy-back sales tax, stands to lose more than $5 million. The federal government told Ohio last year that it could no longer charge a sales tax on Medicaid managed care services in order to draw down more federal matching dollars. The change will cost counties and local transit authorities about $200 million per year. It also cost the state about $1.1 billion over two years, and Kasich has proposed a new assessment on Medic

Ohio Public Transit Association

605 N. High St., #175

Columbus, OH 43215

Phyllis VanArsdale

pvanarsdale@ohioneedstransit.org

614.595.6919

PRIVACY POLICY

OPTA20_Logo_2020.png
  • OPTA on Facebook
  • OPTA on Twitter
  • OPTA on LinkedIn

© 2020 OHIO PUBLIC TRANSIT ASSOCIATION. ALL RIGHTS RESERVED.