CINCINNATI — Ohio Governor Mike DeWine is taking another shot at fixing the state's property tax problems after vetoing several efforts to reform property taxes in the state's budget bill.
"These vetoes does not lessen our obligation and does not lessen our obligation to deal with this problem," DeWine said.
The governor is now appointing two former legislators , Bill Seitz and Pat Tiberi, also a former congressman and president and CEO of the Ohio Business Roundtable, to lead a new "Property Tax Reform Work Group." The group must deliver concrete proposals for meaningful tax relief by the end of September.
This is the second group set up by state leaders to tackle this issue. A legislative committee already produced an 865-page report last year with 21 recommendations, but none made it through the legislature.
Ohio Representative Adam Mathews shares his thoughts on property tax reform:
Taxpayers like Beth Blackmar favor getting rid of Ohio's property tax altogether. She says rising property values have led to tax increases that are straining budgets and hurting those on fixed incomes.
"They can't afford the property taxes on them, which is now more than what their original mortgage payment was. They can't afford it, not on social security, and they're getting pushed out of their homes," Blackmar said.
County auditors have suggested their own reforms, including creating what they call a "menu of targeted tax relief," increasing the amount for seniors that can be exempted from property taxes, and getting rid of the state-imposed cap on tax rate reductions.
State Representative Adam Mathews highlighted the unique burden property taxes place on homeowners.
"You can rein in your spending to not pay the sales tax the same way. But property tax continues to hit month after month out of escrow, potentially kicking you out of your house," Mathews said.
When asked if he would support the legislature's plan to override the governor's vetoes, Mathews was clear.
"Absolutely. We have been working since day one of my first term last time," he said.
The vetoes the legislature is planning to override include:
- One measure is to adjust the school districts' 20-mill floor calculation to include emergency, substitute, and other levies and income taxes. According to a Legislative Services report, this could reduce school district property tax collections by $10 million to over $100 million annually.
- Another provision would give county budget commissions the authority to reduce voter-approved levies without voter input if commissioners determine the funding isn't necessary.
- The third major item would eliminate replacement tax levies for all taxing authorities and restrict school districts' ability to levy fixed-sum emergency levies, substitute emergency levies, and both school district income tax and fixed-sum property tax levies.
"We've got to do something different that's more fair across the board," Blackmar said.
