Good news when I heard it, it has too side to it. On the negative, the state government will not likely keep it in bitcoin, so they will quickly sell out for fiat and which will affect the market negatively.
And on the positive side, such action by a recognize body as state government gives more authority to cryptos and therefore will likely make more people invest in cryptos affecting the market positively.
In my opinion, I think the good beats the bad so I'll call it a good news.
I can agree with that.
I've been reading what I can find and looking at the Ohio website. It actually just looks like they are using an exchange platform as a payment option. So, you would be right to say they aren't going to hold btc.
The news here really is that a state government has officially recognized and adapted Bitcoin. :D