Kasich: Statewide ballot issue likely if Legislature fails to enact hike in drilling tax

Associated Press

COLUMBUS

A drilling-tax increase proposed by Republican Gov. John Kasich isn’t likely to re-emerge in Ohio Senate budget changes due Monday.

Individuals involved in negotiations between the industry, administration and lawmakers indicated last week that nothing close to a compromise had been struck yet.

Shawn Bennett is executive vice president of the Ohio Oil and Gas Association which opposes the increase. Bennett says the last compromise suitable to the industry came last session.

Kasich’s latest budget proposal called for increasing severance tax rates on oil, natural gas and natural gas liquids. The House stripped that plan.

Senate President Keith Faber has pledged a budget that lowers taxes, not raises or shifts them.

Kasich, a potential 2016 presidential contender, says a ballot campaign is likely if lawmakers don’t act this time around.