Supreme Court Won’t Hear Ohio’s Lawsuit Over Using Pandemic Relief for Tax Cuts
The Supreme Court refused on June 12 to hear Ohio’s argument that the American Rescue Plan Act (ARPA) unconstitutionally prevents states from using COVID-19-related pandemic relief funding to offset tax cuts.
This is the second time this year that the court has turned down a state’s petition challenging a tax-related provision in ARPA.
The $1.7-trillion American Rescue Plan Act, signed by President Joe Biden in March 2021, was a response to the economic downturn associated with the COVID-19 pandemic. ARPA provided $195 billion in aid to state governments, along with $130 billion in aid to local governments. Ohio accepted about $5.4 billion.
On Jan. 17, the Supreme Court took a pass on an appeal by Missouri challenging a ban on states using federal pandemic-relief funds to offset state revenue reductions, such as those attributed to tax cuts or other policy changes….