Ohio Attorney General sues Biden administration over stimulus package

Ohio Attorney General Dave Yost on Wednesday sued the Biden administration over its $1.9 trillion COVID-19 relief package, alleging the federal government sought to impose ‘unconstitutional’ limits on states’ ability to access some of the aid.

In a release, Yost, a Republican, said that he has filed a motion for a preliminary injunction against part of the American Rescue Plan Act, which threatens to withhold needed federal funds from Ohio in an effort to handcuff the state’s authority to make changes to its tax structure and economic policy.

“The federal government should be encouraging states to innovate and grow business, not holding vital relief funding hostage to its preferred pro-tax policies,” Yost said in the release.

Ohio is expected to receive $5.5 billion as a part of the relief package. Yost claims that the Tax Mandate “forces Ohio and every other state to accept that money with significant conditions,” including that funds cannot be used, directly or indirectly, to offset tax cuts or credits, which Yost says “presents states with a choice to either accept the stimulus funds or keep their sovereign authority to reduce taxes.”