Ron's Journal Archive
A lump of tax coal for Christmas, or, the gift that keeps on taking
12/18/2009
I regret to report that the solution to Ohio's projected budget shortfall sent to Governor Strickland last night at near 11 PM raises Ohio's income tax rates 4.2 percent going backward to January 1 of this year and will continue at least through the end of next year.
I'm posting a series of resources like the debate video, plus the comments I made during debate in this journal entry, since so far there is not coverage of this action in local media below:
Statement on Concurrence to Senate Amendments on HB 318
12.17.09
The version of HB 318 coming to us from the Senate contains precisely the same short-term fix as this House sent to the Senate on October 21 by a five-vote margin.
0pt;">There is no difference with the Senate on this main provision
It is still the same state income tax rate increase brought to us by our Governor -- going backward 12 months and going forward another 12 months from now.
Unfortunately for Ohio taxpayers our proposals to restructure state government and to recognize -- not to mention treat -- the cancerous Medicaid-driven growth in our state budget have not yet been seriously received.
There is absolutely nothing in this measure that pays forward one dime to lessen the budget tsunami that we all know will coming crashing to shore no later than 14 months from now.
In fact, what it does is compound the size of that wave by roughly half a billion dollars per year – unless you are a cynic and see this – as many do – as the first step of what will become a permanent tax increase.
It is true that a handful of significant problems with the current operating budget are improved by Senate amendments. There is a freight train load of those problems waiting for resolution. It is helpful that about four of them are being addressed here.
But as important as those provisions are, they add up to a mole hill in comparison to the mountain of tax burden still contained in the main provision of this bill before us.
Paid for by Citizens For Amstutz, Matthew Hochstetler Treasurer, 4456 Woodlake Trail, Wooster, OH 44691