COLUMBUS, Ohio — Property taxes across all Ohio counties could increase by as much as 25% over the next few years, unless state lawmakers approve dramatic tax reform by late June.
That’s the warning from Matt Nolan, president of the County Auditors’ Association of Ohio and the Warren County auditor.
“You have to call your legislators, and frankly, it has to happen now,” Nolan said. “The more you can reach out to them and say, ‘this is my number one issue, this is going to shift my vote if you don’t do something on this.’ That has an impact.”
Learn more about what Nolan believes homeowners should do in the video below:
Skyrocketing property values across the state have already led to property tax increases of 20 to 30% over the past several years. That trajectory will continue as county auditors reappraise and update property values in the coming years, Nolan said.
“You’re going to see what you saw last year in Hamilton County happen again," Nolan said. "You’re going to see a 25 to 30% value increase wherever you live. Clermont. Butler. Warren. You’re going to see that level of value increase, and you’re going to see your taxes go up by a similar amount. And almost every school district in that area is going to be at the (20 mill floor,) so they’re going to experience the largest property tax increase that they’ve ever experienced.”
Nolan testified at the Ohio Senate Finance Committee last week, urging lawmakers to expand the homestead exemption program, cap how much school districts can get from property taxes and stop a non-business credit reward for out-of-state companies that buy up properties to rent out.
He wants lawmakers to allow auditors to create an extensive tax relief plan. So far, state lawmakers have been slow to address historically high property tax bills, and how much school districts are taking in from them.
Frustrated by the inaction, a grassroots group is collecting signatures to put a constitutional amendment on the November ballot to eliminate property taxes altogether.
“That property tax is how we fund police, fire, road repairs, any number of township services,” said Pierce Township Trustee Allen Freeman. “If you get rid of property taxes completely, then we’re not going to be able to respond to a 911 call.”
In March, Butler County residents urged Ohio legislators to amend state tax rules to provide relief from skyrocketing property taxes. Data released by the Hamilton County Auditor’s Office in 2024 revealed that the average property tax bill increased by 10%, while property values surged by 34%.
Hamilton County homeowners protested rising property tax bills in 2024.
“It used to be that values went up and rates came down, and your taxes didn’t really go up that much. That’s all changed. Now you’re seeing values go up double digits, almost 20% this cycle,” Nolan said. “And to be honest, I don’t see that changing anytime soon. Hamilton County is going to go through a reval (revaluation) next year. We’ll go through one … and I think it’s going to be very similar numbers, 25, 30% value increase, and 20% tax increases, and we can’t sustain that.”
He also worries that homeowners will be so overburdened with high property taxes, which primarily fund school districts, that they will reject new levies for police and fire services. That is already happening in many communities, such as Pierce Township, where voters overwhelmingly rejected a police levy in May.
“I understand what they’re saying. They’re saying I’ve been taxed enough, and I can’t afford to do anymore. But I don’t know how I put a police force out, without that levy,” said Freeman, adding that the township will put the levy back on the ballot in November. “We’re going to have to, there’s no choice.”
The Senate released its version of the budget on Tuesday, which contains some proposals aimed at property tax relief. But not nearly enough for Nolan or Freeman.
“I think there are some good minor steps, but it does not go nearly far enough,” Nolan said. “I hope that the conference committee looks at real relief for taxpayers. What is included in the Senate budget gives no real immediate relief to anyone and only kicks the can a little down the road for future increases.”
The Senate’s budget includes a 2.75% flat income tax. This mirrors a bill currently in the House, which would eliminate the separate brackets of the non-business income tax. People making more than $102,400, the top, would have their taxes reduced from 3.5% to 3.125% in 2025 and then down to 2.75% in 2026. The lower bracket would stay at 2.75%.
“If they used the money they are using for income tax cuts to help property taxpayers, they could provide real help today,” Nolan said. “We’ve seen income taxes cut ... every single time they do that, the burden shifts to the residential taxpayer.”
The Senate Finance Committee is set to hold budget hearings this week and could make changes before a full vote, likely next week. Then the budget will go to a conference committee to iron out differences between the Ohio House and Senate versions.
Lawmakers must present a final budget to Gov. Mike DeWine for signing by June 30.
“The Senate approach focuses primarily on school funding. While it's a good start, they are far from a place that truly solves this problem. It’s important to remember, of the roughly $17 billion property tax collected statewide, local government only makes up $1.2 billion. The legislature needs to proceed with caution. Treating them as a one-size-fits-all approach can have a disastrous effect on townships,” Freeman said.
These are some items in the Senate budget:
- Expanding the Ohio Homestead Exemption. Increasing the standard exemption from $28,000 to $32,000. Increasing the income threshold from $40,000 to $42,500. Increasing the enhanced homestead exemptions for disabled veterans and surviving spouses from $56,000 to $59,000.
- Increasing from 30% to 50% the threshold of carry-over balance allowed before a county budget commission must reduce a school district's property tax collections. (It permits a district to adopt a resolution reserving some carry-over balance for permanent improvement expenses to be used within the next 3 years that will not count towards the 50% threshold. If not used for this purpose within 3 years, the money will be used to reduce property taxes.)
- Allowing a county budget commission to reduce millage on any voter-approved tax levy, aside from a debt levy, if it finds it reasonably necessary.
- Requiring that current emergency and substitute tax levies are included in the calculation of a school district's 20-mill floor or a joint vocational school district's 2-mill floor for property tax purposes.
- Eliminating the following types of levies: replacement property tax levy, fixed-sum emergency levy, substitute levy, and combined school district income tax and fixed-sum property tax levy.
- Prohibiting a school district from proposing a current expense levy if it has a general fund carry-over balance of over 100%.
- Requiring school boards to obtain a two-thirds vote of all members to put a tax levy on the ballot
