From the Statehouse 2007 No. 03
by Jennifer Garrison
Mar. 17, 2007
I would like to summarize the high points of the speech which outlines his proposed 2 year budget. This is the slowest growing proposed budget in 42 years. Eleven state agencies funding will be cut. A new initiative called Advantage Ohio, will review state regulations to eliminate obsolete and contradictory regulations making it easier for companies to do business in Ohio.
College tuition has increased an average of 9% a year since 1996 in Ohio. To address this problem, the Governor is setting up a higher education compact between the state and public colleges and universities. If a university or college joins the compact the state will increase the basic instructional subsidy by 5% next year and 2% the following year. In exchange these universities and colleges must agree not to raise tuition at all the first year and may only increase tuition up to 3% the second year.
In regard to funding our primary and secondary schools, the Governor proposes increasing the state share to 54%, which is the state’s largest percentage increase to our local schools in recent history. Specifically, foundation aid will be increased by 3% in each of the next 2 years; parity aid will be increased by 7%; and poverty based assistance will be increased by 22% over the next 2 years.
Ohio has 156,000 children without health insurance. The state Children’s Health Insurance Program will cover children whose parents make up to 300% of the poverty level.
The next 4 years the Governor proposes investing $1 billion in energy programs, which may include biofuels, clean coal technologies, renewable sources of energy. This investment will spur investment and jobs in Ohio.
Finally, the Governor proposes expanding the Homestead Property Tax Exemption. All Ohioans over age 65 or disabled will receive a tax exemption on the first $25,000 of value in their home. The state will replace these lost tax dollars to the local schools and local governments. In the DeRolph case, the court held an education system could not be based on the wealth of a local community. The state replacing this money goes to the heart of DeRolph.
The Governor has now proposed his budget and it will be in print on Monday. The Ohio House will hold hearings and determine if any changes can make this better. The House’s version will go to the Senate and hopefully to the Governor for his signature. All of this work must be complete by June 30, 2007.
On Tuesday, the Ohio House voted on the Transportation Budget bill. The bill provides funding to the Ohio Department of Transportation for highway and state road construction projects over the next 2 years in the amount of $7.8 billion. The bill made some changes to existing law, including prohibiting school bus drivers from driving a school bus for seven years following a six point traffic violation.
Under this bill, the Director of the Department of Transportation may allow a charitable organization operating a natural wonder, artistic, scenic, or historical attraction to participate in ODOT’s business logo program.
This bill also directs the Director of Public Safety to request an extension of time to meet the requirements of the federal REAL ID Act of 2005.
You can reach Jennifer Garrison at her Columbus office at 614-644-8728 or in the district at 740-373-2414 or by e-mail at jennifer@jennifergarrison.com. Her website is www.jennifergarrison.com