Local Government Impacts


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As has been noted here and elsewhere, local governments take a tremendous hit in the Kasich budget, by design it appears, as a way of closing a $7.7 billion gap and also in an ideological attempt to starve local governments, pass on the burden of tax increases, and force local consolidation.

Two notes as we enter another busy week in the budget process. Policy Matters Ohio released an analysis of the proposed cuts to local governments contained within the budget, summarizing a number of reductions that represent, statewide, a 42% or $1 billion reduction in tax replacement and revenue sharing programs over the biennium. Schools, similarly see a $1 billion reduction, losing 46% of revenue from these sources. In other words, 25% of the work of closing the state’s budget gap has been placed on the doorstep of counties, cities, townships and schools.

We are also hearing that local governments have been granted a hearing on issues impacting local governments in this budget. On Thurday at 10 a.m., the House Finance Agriculture and Natural Resources Subcommittee (Statehouse Room 018) will be open to public testimony on the impact of the budget on local governments, not including education and healthcare.

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  1. ODJFS Needs Upwards of $300 Million to Balance Budget | Ohio Budget Watch

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