Supporters say it gives taxpayers more of a voice. Opponents say it hurts schools and public services.
COLUMBUS, Ohio — A bill to give Ohioans $3.5 billion in property tax relief is working its way through the Statehouse.
Supporters say it gives taxpayers a break and more of a voice in the taxes they pay. Opponents say it will hurt public schools and public services.
The House Ways and Means Committee heard two hours of testimony Tuesday on House Bill 335, also known as the Property Tax Relief NOW Act.
Republican State Rep. David Thomas, of Jefferson, is sponsoring the bill.
“Our taxpayers need direct decreases in their tax bills this January,” Thomas said. “They’ve had five years of tremendous, huge property tax increases they had no say over. They’re demanding either make big decreases, changes for the future, or we’re going to change it for you.”
Right now, a grassroots group is collecting signatures to try and get a constitutional amendment on the ballot to abolish property taxes in Ohio.
Thomas’ bill does not go that far. It would eliminate inside millages. Those are taxes that school districts and local governments can levy without voter approval.
Chief Robert Butler, the president of the Ohio Association of Chiefs of Police, testified municipalities would lose $650 million per year under the bill.
“Without this reliable funding, police departments across Ohio would face hiring freezes, reductions in service and longer response times, directly undermining our ability to keep our communities safe,” Roberts said.
Critics say school districts also stand to lose a large portion of revenue.
“When we consider the impact of this proposed legislation and combine that with the fact that the budget, as it stands right now, severely underfunds our schools,” said Ohio Education Association President Scott DiMauro at a news conference Monday.
“I don’t see the issue with giving voters the say over how this will actually work,” Thomas said. “Why can’t we allow voters to have the ability to use income or sales (taxes) or even have their say over property taxes?”
While more than 50 individuals and organizations gave in-person or written testimony opposing the bill, one supported it in committee Tuesday. Hannah Kubbins with Americans For Prosperity Ohio testified the legislation offers many positive long-term reforms.
“For too long, Ohio’s property taxpayers have borne the brunt of a system that allows for unvoted tax increases, unpredictable spikes in tax bills and a growing burden on homeowners, particularly seniors and those on fixed incomes,” Kubbins said.
Tuesday’s hearing was the first official hearing for HB 335. When asked if the legislation’s provisions could end up in the two-year state operating budget that is due June 30, Thomas said “anything’s possible.”