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Kasich vetoes tax hike that would've sent money to counties

Kasich signs Ohio state budget, vetoes Medicaid freeze (WKEF/WRGT)

COLUMBUS, Ohio (Associated Press) - Among the items vetoed by Gov. John Kasich in Ohio's new budget is a proposal to increase taxes on health insurers that would have sent money to counties and regional bus services.

State lawmakers proposed the idea to make up for lost revenue from a sales tax that is being discontinued on Medicaid managed care organizations.

But the Kasich administration says the governor vetoed the tax increase proposal because it would've risked losing a bigger chunk of money and created a $615 million loss for Medicaid.

The administration says the proposed tax increase would've needed to be approved by the U.S. Department of Health and Human Services.

Kasich officials say all indications are that wouldn't have happened.

County leaders now say they're worried they may have to cut program.

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COLUMBUS, Ohio (Associated Press) - Gov. John Kasich has once again stood against fellow Republicans in the Ohio Legislature to support a Medicaid expansion that now provides health insurance to 700,000 low-income Ohioans.

The 2016 presidential contender vetoed a proposed freeze from Ohio's state budget before signing it late Friday.

Conservatives had called on the outspoken Kasich to set a national example by leaving in place state budget provisions calling for freezing new enrollment under Medicaid expansion starting July 1, 2018, and preventing those who drop off from re-enrolling.

Kasich is one of the Republican Party's staunchest defenders of the expansion. It was made possible under the federal health care law reviled, and now targeted, by his party.

The Republican-led Legislature will attempt an override of his veto Thursday.

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