Ohio House to vote on budget changes

May 5, 2011, Fremont News-Messenger

By Jessica Alaimo

Special to the News-Messenger

The revised version of Gov. John Kasich’s budget contains both good and bad news for local governments.

The good: A House committee eased proposed cuts to tangible personal property tax reimbursements, increased aid to schools, and provided funds to help local entities share services.

The bad: The new legislation repeals the estate tax, cutting off one revenue stream for local governments. It also reverses a proposal by Kasich that would have lessened local entities’ pension obligations.

Kasich and Republican legislators, who have the majority in both houses, must mend an $8 billion budget gap in the next state biennium. To keep repeated promises to voters, they must do so without raising taxes.