COLUMBUS—State Representatives Marlene Anielski (R-Walton Hills), Nan Baker (R-Westlake) and Mike Dovilla (R-Berea) today applauded the budget proposal that was unveiled by the House Finance and Appropriations Committee this week, commending the changes that would benefit the schools in Cuyahoga County.
Substitute House Bill 153 adds $80 million over the biennium to the school foundation formula. This allocates $15 more per pupil in fiscal year 2012 and $20 more per pupil in fiscal year 2013. Additionally, it prevents any school district from suffering a cut in state aid of more than 20 percent.
“I am pleased that the budget ensures the success and sustainability of our local schools, and I appreciate all the efforts that have been put forth thus far. Yet, I acknowledge that continued collaborations with the superintendents from my district is essential” said Anielski. “I believe that a strong education system is the foundation of our community and our future success as a state.”
“This budget invests in the things that Ohioans care about most, and safeguarding the ability of our schools to maintain vital services is a top priority,” Baker said. “We have a responsibility to position our children for a workplace that is becoming increasingly competitive, and giving them a good education is vital. We will continue to work with our school officials as this budget process continues.”
“Giving the young people in our community access to a high-quality education that best suits them is one of the most important efforts a lawmaker can pursue,” said Dovilla. “It’s clear that a one-size-fits-all approach to education will not work for Ohio. This budget successfully balances the difficult financial decisions and the investment in our communities.”
Sub. H.B. 153 is currently receiving public testimony in the House Finance and Appropriations Committee.
Cuyahoga County Delegation Applauds Budget Bill that Protects Schools, Benefits Students
Reps. Grossman, Hottinger applaud estate tax repeal provision as part of budget legislation
Assistant House Majority Whip Cheryl Grossman (R-Grove City) and State Representative Jay Hottinger (R-Newark) today announced their support of a provision in Substitute House Bill 153—the state budget bill—to eliminate the Ohio estate tax, also known as the “death tax.” If passed, it will take effect on January 1, 2013 to give local governments time to adjust to this change in state law. Grossman and Hottinger were the original sponsors of legislation—House Bill 3—during the current General Assembly that was aimed at abolishing the tax.
This change to the budget legislation, which was put in place through a larger package of amendments accepted by the House Finance Committee today, will allow small business owners, farmers and homeowners to rightfully pass on their assets to their heirs without fear of being taxed twice on their life’s savings, which will make Ohio more competitive for entrepreneurial growth and investment.
“The elimination of the estate tax is just one of the many ways we are looking to improve Ohio’s economic outlook through the state operating budget,” said Rep. Grossman. “This change will lead to a more competitive Ohio, and I think it is a very welcoming sign for those who are looking to do business and enjoy retirement within our state’s borders. It is unfortunate the number of great Ohioans who have left our state in the past because of this unfair tax.”
Ohio currently has the lowest estate tax exemption in the United States. Only $338,333 of the taxable estate is exempt from the estate tax, compared to an average exemption amount of approximately $1.7 million for other states that have an estate tax.
“I’m thrilled to finally be ending this unnecessary tax that takes direct aim at our state’s middle class,” said Rep. Hottinger. “The budget bill is not only about controlling our state spending, but it is about restoring fairness to hard-working Ohioans who want to live and work in a fair and competitive environment. Ending this tax will have a tremendous effect on job creation and chart a sustainable path forward in the state of Ohio.”
Substitute House Bill 153 will continue to receive testimony and debate within the House Finance and Appropriations Committee
With the introduction of Substitute House Bill 153—the state budget bill—in the House Finance and Appropriations Committee, Speaker of the Ohio House William G. Batchelder (R-Medina), Chairman of the Finance Committee Ron Amstutz (R-Wooster), and Vice Chairman of the Finance Committee John Carey (R-Wellston) today unveiled legislation that balances the budget without raising taxes, improves government efficiency and makes Ohio more economically competitive.
“The budget version that was introduced today is the product of hours upon hours of discussion, more than 1,000 amendments from members on both sides of the aisle, and a thorough examination of every area of state government,” Amstutz said. “We considered every option and pursued a route to make state government more effective, reconfiguring the allocation of scarce resources rather than raising taxes. Tax increases would have been a quick answer without a real solution, hurting middle-class and lower-income families the most.”
Maintaining a commitment to Ohio’s job climate and sustainability, the House Republicans have included a provision in Sub. H.B. 153 to eliminate the estate tax in its entirety effective January 1, 2013, which will help protect family farms, as well as attract and retain small businesses, retirees and entrepreneurs.
Sub. H.B. 153 also holds education paramount and uses existing funds to provide in-state college tuition rates for Ohio high school graduates who have left the state within the past 10 years, which would incentivize their return to the state. Moreover, the budget adds an additional $40 million per year to the school foundation formula and guarantees that no district receives a cut in state aid of more than 20 percent.
The budget also safeguards Ohio’s seniors by increasing PASSPORT funding by $15 million over the biennium.
“Through this budget, we are investing in the things that matter most to Ohioans: economic development, education, and services that many within our communities rely on,” said Carey. “It’s no secret that this is a very difficult and perhaps painful budget, but we found a smart, carefully planned balance that addresses our budget crisis without crippling our state.”
Reps. Amstutz and Carey helped to guide the state budget back to fiscal sanity by directly addressing the $8 billion budget deficit that the House Republican Caucus inherited from the previous administration.
In April 2009, then-Auditor of State Mary Taylor warned Ohio’s Democrats that their fiscal policies would create an estimated $8 billion hole in the 2012-13 state budget, which would lead to drastic spending cuts or massive tax increases in two years (Columbus Dispatch, “Auditor predicts $8 billion Ohio budget hole,” 4/16/2009).
“We were handed a financial situation that was in shambles because Ohio’s former leaders simply pretended that this emergency didn’t exist,” said Batchelder. “We’re confronting this issue head-on, examining not only ways to trim wasteful spending but also improve Ohio’s marketability as a whole. People often forget that there is more to a state’s growth and sustainability than just taxes and spending. Our ability to create jobs and keep our businesses here will play a very crucial role over the next several years, and this budget is evidence of that fact.”
The House Republican leaders applauded Governor Kasich for his work to craft this difficult budget that closed the structural deficit in short order without raising taxes. All leaders have pledged to continue working together, in conjunction with the Ohio Senate, in passing a fiscally responsible two-year budget that puts Ohio on a path of fiscal stability.
HB 153 Media Guide
House Majority Whip John Adams (R-Sidney) recently introduced legislation that will incorporate the study of historically significant government documents into the educational curriculum of Ohio students.
Specifically, House Bill 211 will require that the social studies curriculum for elementary and secondary students in grades 4-12 includes the study of the following:
-Declaration of Independence
-Northwest Ordinance
-Constitution of the United States (with emphasis on the Bill of Rights)
-Ohio Constitution
“We can’t expect our children to understand and defend the rights and freedoms the Founding Fathers intended for us—and that many people have died for—if they don’t have an understanding of how these documents led to the system of government we have today,” Adams said. “By giving these young people an understanding of our heritage, we are better preparing them to be active and productive citizens down the road.”
The study of these documents has recently been diminished in the standards and curricula developed by the Ohio Department of Education during the previous administration. If passed, the State Board of Education would be required to revise the standards and curricula to include the additional content.
In today’s fast-paced world, the most successful businesses are those that take advantage of every available resource. To achieve a competitive edge, Ohio’s small businesses need to be aware of the resources available to them through their state government. Ohio is at a crossroads when it comes to business growth and job creation, and our economic prosperity largely hinges on the success of our small businesses.Here in the state legislature, my colleagues and I are actively looking for ways to foster business development and expansion. Sometimes, this can be as simple as consolidating and organizing existing government resources. To this end, in the previous General Assembly, Representative Peter Stautberg and I introduced legislation that would create a small business resource center on the Ohio Department of Development’s website.
Voices from the small business community came to us with this idea, citing the difficulty they had in finding information relevant to their field of work. As a small business owner for more than 30 years, I know first-hand the frustration that comes with trying to understand government requirements, permits and licenses. In addition, many small business owners are not even aware of the many government opportunities and incentives open to them. There is a clear need for a simple, user-friendly resource that addresses these queries.
The small business community stands to benefit immensely from the suggestions made on the Ohio Small Business Resource Center. Recognizing the unfilled need, Representative Mike Dovilla and I re-introduced the legislation as House Bill 144 in the current Legislature. Specifically, the website will function as a location to furnish small businesses with the tools and information they need to grow and prosper. The site will feature information on a variety of business-related topics, including steps to starting a small business, loan and financing opportunities, advocacy opportunities, and required licenses and permits.
With House Bill 144, small business resources will be designed to navigate easily and efficiently access the information they need to grow and develop. Business growth does not only signal success for business owners, but also for their employees and Ohio’s economy at large. Economic development, in turn, boosts job creation, and Ohio needs to take advantage of any opportunity to induce this sort of positive growth in the business sector.
During this General Assembly, one of my primary concerns is growing Ohio’s job market and strengthening our economic base. I will continue to be an advocate for small businesses because I know that they are the key to revitalizing our state economy and ushering in a future of economic innovation and financial stability. Legislation like House Bill 144, which nourishes our small business sector, will be central in this effort.
Your input is invaluable to me as I move forward in this legislative session. If you have any questions or concerns about Ohio’s small businesses, please do not hesitate to contact my office. As I continue to say, “It’s all about jobs!”
“The JUMP hangar project is a tremendous step in the right direction for our community and region,” Representative Rosenberger said. “This project would create 235 skilled labor positions, 24 administrative positions, and strengthen southwest Ohio’s leadership in aerospace-related industries. Our entire region benefits from this project.”
“As we continue to rebuild after the departure of DHL, it is vital to utilize the resources in our communities and emphasize our commercial viability,” he added.
Senator David Daniels (R-Greenfield) was also excited by the news, stating, “I am pleased with the efforts from the Kasich administration, regional and local officials all working together to make this project a reality. The JUMP hanger will be a great step forward to help revitalize the airpark and put area residents back to work.”
The 100,000-square-foot JUMP hangar would be built by the CCPA and leased to Airborne Maintenance and Engineering Services (AMES) and is expected to be completed in 2012. Once completed, AMES would utilize the hangar for airplane maintenance and painting. AMES current inability to perform aircraft painting at Wilmington Air Park significantly places it at a disadvantage to serve its current customers and attract new clients.
Recently, Representative Rosenberger has hosted several state and federal officials at the airpark to emphasize its importance to the state of Ohio, including the needed funding for the JUMP hangar. Among these officials was Speaker of the Ohio House of Representatives William Batchelder who stated today, "From the beginning, the House Republican Caucus has been about job creation. Bringing jobs back to Ohio is the number-one way we can revitalize our state's economy. I am very grateful to Representative Rosenberger for his efforts in this regard, especially in his district, which has been hit particularly hard by the recession."
“We are pleased with efforts by Representative Rosenberger and other state officials to support AMES in growing its aircraft maintenance business,” said Joe Hete, the CEO of Air Transport Services Group (ATSG), parent company of AMES. “The state’s commitment today will allow us to complete an analysis of the project and move toward consideration by the ATSG Board of Directors.”
The financial commitments were cleared earlier today by the eight-member panel of the Development Financing Advisory Council of the ODOD following months of intense discussions involving state and local officials.
“I am grateful to Speaker Batchelder, Governor Kasich and the Ohio Department of Development for their leadership in making this project happen,” Rosenberger said. “Continued engagement with our region is vitally important as we forge ahead with efforts to rebuild our economy and create the jobs that our people need.”
State Representative Christina Hagan (R-Alliance) was joined by State Representative Ron Amstutz (R-Wooster) in a press conference to discuss details about the state budget and how tax increases precisely would harm Ohio’s families.“For the 2012-2013 budget, Ohio faced a structural shortfall of approximately $8 billion,” said Hagan. “As a newly appointed state representative who wanted to tackle the budget head on, I and the House majority were not interested in raising taxes on Ohio’s families and businesses. I requested more information from the Ohio Department of Taxation (ODT) to determine what a possible tax increase would mean for Ohio’s families, and I was very eager to share my findings with the public today.”
The analysis that Rep. Hagan requested examines the possible impact on Ohioans if the budget proposal did not include spending reductions, programmatic reforms, natural revenue growth generated by economic expansion and the redirection of state revenue from local governments back to the state. In two scenarios provided by the ODT, the taxpayers would be obligated to fill an $8 billion gap and a $4 billion gap.
In both scenarios, the tax increase would be the greatest on the lowest income group (families with $29,400 in income annually) and increase the least on families in the highest income group (families with $171,000 annually), according to Ohio’s structure of income tax credits.
“What we found was that for an Ohio family of four with an income of $66,000, their state income taxes would skyrocket by more than 48 percent if they alone were obligated to fill the $8 billion deficit,” Hagan said. “Ohioans have endured a very difficult few years, with many individuals out of work or underemployed. These people cannot shoulder yet another expense when many are already struggling to provide for their families and pay their bills. It is my belief that imposing these tax increases, with the full knowledge of the impact they would have on Ohio’s families, would be both irresponsible and neglectful to the citizens we serve.”
“The budget proposal that Governor Kasich introduced and my colleagues and I in the House Finance Committee have been working on is balanced without raising taxes on the backs of Ohioans,” said Amstutz, who serves as chairman of the House Finance and Appropriations Committee. “Whether you are raising income taxes or sales taxes, the bottom line is the same: Ohioans are forced to compensate for a government that can and should work better and more efficiently. Rep. Hagan’s research on this important budget issue has provided vital information for the members of the committee as well as the Legislature and Ohioans in general.”
The state biennial budget—House Bill 153—is currently being debated in the House Finance and Appropriations Committee and is expected to reach the House floor for a vote in the next several weeks.
ODT Analysis - Tax Increase Impact
State Representative Nan Baker (R-Westlake) announced today that she will be hosting an informational forum in her district to allow constituents the opportunity to discuss the number of concerns and issues facing Ohio.
“I am looking forward to talking to the residents of the 16th District about the serious concerns our state faces,” Baker said. “It is my hope that we will be able to engage in a productive and healthy debate on putting Ohio back on track to sound economic health.”
The details of the forum are as follows:
Tuesday, April 26th
6:00-8:00pm
Westlake Recreation Center
28995 Hilliard Blvd.
Westlake, Ohio 44145
Representative Baker will be joined by special guest State Representative Dave Hall (R-Millersburg). Hall is a member of the House Finance and Appropriations Committee, which is currently conducting hearings on House Bill 153, the state’s biennial budget.
The forum is open and free to the public. Everyone is welcome.
Today, Ohio House Speaker William G. Batchelder (R-Medina) issued the following statement regarding Governor John Kasich’s first 100 days as Ohio’s 69th governor: “John Kasich and I have been friends for many years, and I have always known him to be a man of great vision and character. This has never been more true than in his first 100 days as the governor of the State of Ohio. He has assembled a team of extraordinarily capable, intelligent cabinet officials and staff to help our state during this difficult time. I am confident that Governor Kasich is continuing to put Ohio on the path to prosperity. “In a very short period of time, the House has been able to work cooperatively and collaboratively with the governor to pass major legislative reforms with one goal in mind – putting Ohioans back to work. Our caucus, along with the governor, has always had a mutually agreed upon understanding of the urgency of creating jobs and focusing on the issues that matter to all Ohioans. The first bill passed by the General Assembly and signed into law by the governor was JobsOhio, which will modernize our state’s economic development efforts. It is exactly these types of bold initiatives that Ohio needs if we want to once again be competitive. “As a legislator for more than 35 years, I can tell you that no governor has been more willing to work with the Legislature and make the difficult decisions—without regard to the political and personal consequences—so long as the end results are job creation and fixing Ohio’s once-prosperous economy. It has been an honor and privilege for me to work alongside my friend John Kasich, and I look forward to continue working with him and my esteemed colleague, Senate President Tom Niehaus, on the important issues that lie ahead.”
State Representatives Todd McKenney (R-New Franklin), Kristina Roegner (R-Hudson) and Lynn Slaby (R-Akron) today attended the ceremonial groundbreaking of the new $161 million Goodyear corporate headquarters, which will be located in Akron. The company has committed to keep 2,900 local jobs and remain in Akron for 25 years.
Goodyear is a cornerstone of our region's rich history as well as an integral piece of our strong future,” Roegner said. “Their investment in Akron with the new headquarters is reason to celebrate."
Goodyear, which was originally founded in Akron in 1898, is a manufacturer of car, truck, farm, racing, ATV, aviation and off-road tires. The new corporate headquarters is scheduled to open in 2013.
“This groundbreaking, coming on the heels of the recent investment by Rochling Automotive, shows that the Akron area is headed in a positive direction,” McKenney said. “Local workers are well trained, and research efforts in polymers, plastics, and advanced technology are paying off.”
It is always exciting to see corporate investment in Ohio,” said Slaby. “This venture will be the catalyst for more businesses and jobs to come into Ohio. We are fortunate to have a company that has the foresight to see that Ohio will be the great state of the future.”
Throughout the first hundred days of this General Assembly, I have continually focused my efforts on legislation that will strengthen our economy, balance our budget, create jobs and lead to prosperity. With the shortage of money we have as a state, we have been making diligent efforts to close the budget gap without raising taxes on Ohioans who cannot afford it during these tough times.
Local government costs have skyrocketed. As the situation has gotten progressively worse and spending has not been contained—with less state money to go around to local government bodies—we’ve recently passed legislation aimed at reinventing the relationship between public-sector unions, their employers and local taxpayers. This legislation—Senate Bill 5—certainly does not come without strong emotion and heated rhetoric, regardless of the side you’re on.
It saddens me that much of the anger and disappointment over this bill has been based not on the facts of the legislation but on misinformation that has been spread. This was made even clearer to me when a local teacher (who had concerns about the bill) recently visited my home.
In the course of our discussion, I learned that much of what she thought the legislation contained was actually not a part of the bill. She displayed a chart she’d received, which purported to show that her salary would be cut in half. I reassured her that this was not the case. Another teacher reported to me that her pension was going to be “taken away.” That too was untrue, I informed her.
These encounters heightened my concerns about the misinformation the public employees were being given by their unions. As a way to counter this misinformation, our caucus at the Ohio House launched SB5truth.com, which I encourage you to explore over the coming months. SB5truth.com allows you to see that the reality that is in Senate Bill 5 is much different than what is being portrayed. For instance, did you know that S.B.5 actually does not eliminate collective bargaining, that it does not mandate salary reductions or cuts in benefits for any public employee, and that it does not threaten the ability of hard-working, middle-class families to earn a living?
I also encourage you, if you are computer savvy, to visit some of the newspaper websites around the state. You’ll find many editorials praising the reforms included in Senate Bill 5as responsible steps in the right direction for Ohio. While I’m merely one of many sources of information regarding this bill, it may work best for you to read the bill, and you can do so by visiting www.legislature.state.oh.us. You may conclude, as I have, that it was a very responsible way to address the unsustainable costs that would have eventually led to massive layoffs and a deterioration of public services in our communities.
As your representative, I have a responsibility to ensure Ohio’s laws are beneficial to all families. Those on the other side of this issue do not share my desire to look after the interests of all of the taxpaying citizens of the 93rd House District. That is why I find it particularly appalling that the Ohio Education Association is considering punishing its members by forcing them to pay for the campaign against Senate Bill 5. It is placing the burden of its $20 million campaign on their backs and has even threatened to raise union dues to pay for it. It is unacceptable that our teachers’ hard-earned dollars are going to this purpose without their written consent. This is a slap in the face not only to the free speech of all Ohioans, but especially to those working in our schools.
I am happy that Senate Bill 5 will address these concerns with the way public unions operate and treat their members. I am pleased that we have found an acceptable way of addressing the manner in which taxpayer funds are spent, and we did so without kicking the can down the road as past legislatures and governors had.
This is ultimately about the Ohio we want for our children and grand-children. Will massive amounts of money be spent beyond our control or will the people, at-large, have the ultimate say in the process? I hope you’ll join me in supporting this legislation and the vast majority of Ohioans who are on the side of a responsible and efficient government.
