Gov. John Kasich says he’s cutting everyone’s taxes in his 2014-2015 budget, but an analysis released Thursday found the plan is actually raising taxes for the poor and middle class. The Policy Matters Ohio report reveals the poorest Ohioans will see a tax increase of $63 from Kasich’s budget plan, while the top 1 percent will see a tax decrease of $10,369.
For the poorest Ohioans, the new tax burden comes through the sales tax. On average, the bottom 20 percent of the income ladder will have their income taxes reduced by $8, but the sales tax plan will actually increase their average sales tax burden by $71.
The middle 20 percent fares slightly better. Under the budget proposal, they will get
a $157 income tax cut on average, but their sales tax burden will go up by
$165 — meaning they'll end up paying $8 more in taxes.
The top 1 percent get the most out of Kasich’s tax plan.
Their income taxes will be reduced by a whopping $11,150. The top 1 percent
do see the highest sales tax increase at $781, but it’s nowhere near
enough to make up for the massive income tax cut.
Kasich says his budget is all about creating jobs and spurring the economy, but the regressive tax system defies economic research. A previous analysis from the Congressional Budget
Office (CBO), which measures the budgetary and economic impact of
federal policy, found
letting tax cuts expire on the wealthy would barely dent the economy. The same report also found the economy greatly benefits from tax and social welfare programs that
disproportionately benefit the lower and middle classes.
Another report from the Congressional Research Service (CRS) also concluded tax hikes on the rich would have negligible economic impact. The findings made national Republicans so angry that they pressured CRS to pull the report. CRS later re-released the study — except this time it had nicer language to appease politicians that can’t handle reality.
Kasich’s plan proposes cutting the state income tax by 20 percent across the board and lowering the sales tax from 5.5 percent to 5 percent. To pay for the cuts, the proposal broadens the sales tax so it applies to additional services — including cable TV services, coin-operated video games and admission to sports events and amusement parks — while keeping exemptions for education, health care, rent and residential utilities.
For more analysis of Kasich’s budget, check out CityBeat’s other coverage:
Former Ohio governor Ted Strickland will not run for governor in 2014. In a statement released today, the Democrat who previously served four years as governor did not give a reason for why he won’t run. But he did promise his wife and him will “continue to be politically active private citizens.” Strickland also touted his accomplishments as governor, including energy, health care, social services and property tax reform. In September, Strickland faced criticism from the left for pushing for the Democratic platform to include a mention of God and a proclamation that Jerusalem is the capital of Israel. The platform amendment contradicts decades of U.S. foreign policy.
Hamilton County wants an efficiency review of the Metropolitan Sewer District. Republican Commissioner Chris Monzel ordered the review. He says he expects “things at the Metropolitan Sewer District are being managed and operated in a highly efficient and effective manner,” but he wants to make sure. MSD is currently taking part in a multi-billion dollar, federally mandated upgraded system. CityBeat wrote about MSD’s green initiatives here.
Findlay Market might soon host Cincinnati’s first freestanding restroom. If it goes well, it could be the start of a much bigger city-wide project, and freestanding restrooms will be built all around downtown and Over-the-Rhine. The test facility is being touted by Councilman Chris Seelbach and other city officials as they seek to provide better access to restrooms throughout the city.
Rep. Peter Beck, a Republican from Mason, is facing a possible ethics investigation from the Ohio House of Representatives. The controversy was prompted by a recently filed lawsuit, which alleges Beck participated in a fraud that cheated investors out of more than $1.2 million.
Some local educators are supporting the use of seclusion rooms in Ohio. The rooms, which are enclosed spaces used to calm or restrain children who become violent, have come under criticism after an investigation from StateImpact Ohio and The Columbus Dispatch found the rooms were being abused for the convenience of staff. Ohio does not currently regulate the use of seclusion rooms, but that is likely to change in an upcoming Ohio Board of Education meeting.
On the bright side, Ohio has the 10th best education laws, according to a study from StudentsFirst. Overall, Ohio got a C-, making it one of the 12 states to get a B or C. No state received an A. StateImpact Ohio has more on the grade here. State officials probably understand how I felt when I dropped out of a college history class because the professor was too strict of a grader. Then again, state education systems are probably more important than Colonial History 101.
The Blue Wisp, home of the greatest spinach-and-artichoke dip in the universe, is looking to renegotiate its lease. Over the holidays, restaurant hero and Blue Wisp manager Ed Felson told customers his jazz-themed restaurant and club is having financial problems.
The most emailed phrase while committing fraud at work is “cover up.”
One major problem with prolonged space missions: Humans become lazy and sleepy. It seems like being an astronaut isn’t different from any other job. Who can we rely on when aliens finally invade?
President Barack Obama gave his State of the Union speech yesterday. During the speech, Obama outlined fairly liberal proposals for the economy, climate change, gun control and immigration. He also suggested raising the minimum wage to $9 and attaching it to rising cost of living standards. The Washington Post analyzed the proposals here. To watch a bunch of old people clap too much while the president outlines policy proposals that will likely never pass a gridlocked Congress, click here.
The Archdiocese of Cincinnati is standing firm in its firing of Purcell Marian High School administrator Mike Moroski. The termination came after Moroski publicly stated his support for same-sex marriage on his blog — a position that contradicts the Catholic Church’s teachings. CityBeat covered Moroski’s case in this week’s news story, and gay marriage was covered more broadly in a previous in-depth story.
Vice Mayor Roxanne Qualls wants to stop
the U.S. Department of Housing and Urban Development (HUD) from selling
768 housing units in Walnut Hills, Avondale and Millvale. Qualls says
the sale is “eerily similar” to a sale dating back to 2007, which
resulted in dropping property values and blighted buildings. She argues local buyers should get a chance to take up the properties before HUD makes the sale to a New York company.
State Treasurer Josh Mandel is up to his old tricks again. In a letter to Ohio legislators Monday, Mandel, a Republican, opposed the Medicaid expansion,
claiming, “There is no free money.” But for the state, the Medicaid
expansion is essentially free money. The federal government will cover
all the costs of the expansion for the first three years, then phase down to paying 90 percent of the costs by 2020 — essentially, free
John Kasich, another Republican, has backed the Medicaid expansion, claiming it makes
financial sense in the long term. In 2012, Mandel lost the race for Ohio’s Senate seat after he ran
a notoriously dishonest campaign against U.S. Sen. Sherrod Brown.
Financing details for the Brent Spence Bridge are due in March. The details will provide much-wanted information for local residents cautious about the new tolling scheme, which will help pay for the bridge’s reconstruction.
Cincinnati officials and residents celebrated the work completed near the Horseshoe Casino at an event yesterday. Mayor Mark Mallory highlighted the infrastructure improvements made to accommodate the casino, calling the work a successful collaboration between city government, the casino and residents.
The Ohio Resource Center has a new website for K-12 digital content. The website, ilearnOhio, is supposed to provide parents and students with the tools needed for online distance learning.
Toby Keith’s I Love This Bar & Grill is being sued for not paying rent. The restaurant claims it’s financially viable, but it’s holding the rent in escrow after its landlord allegedly violated the leasing agreement. The establishment was one of the first to open at The Banks.
A public Ohio school district is fighting a lawsuit in order to keep its portrait of Jesus. The school district claims the portrait is owned by a student club and is “private speech,” but opponents argue the portrait violates separation of church and state.
Update on the Alamo situation at Tower Place Mall: Only one tenant remains.
The unofficial spokesman of Heart Attack Grill, the infamous Las Vegas restaurant, died of a heart attack.
Americans expect a human mission to Mars in the next 20 years, but that’s probably because they don’t know how little funding NASA gets.
An asteroid will barely miss Earth on Feb. 15. If it were to hit, it would generate the explosive equivalent of 2,500 kilotons of TNT. In comparison, the nuclear bomb that hit Hiroshima during World War 2 generated a measly equivalent of 17 kilotons of TNT.
The City of Cincinnati’s unemployment rate moved down a notch between September and October, from 6.9 percent to 6.8 percent, according to data from the Ohio Department of Job and Family Services. Greater Cincinnati and Hamilton County followed suit; Greater Cincinnati dropped from 6.4 to 6.3 percent, and the county dropped from 6.4 to 6.2 percent.
The numbers, which were unadjusted for seasonal factors, seemed positive overall. Unlike last month, the unemployment rate did not move down due to people leaving the civilian labor force, which measures the amount of people looking for work in addition to the amount of people who have jobs. Instead, labor forces in Cincinnati, Hamilton County and Greater Cincinnati all grew.
The city is now better across the board than it was in October 2011. The civilian labor force and amount of employed are larger, and the amount of unemployed is lower. The city’s current 6.8 percent unemployment rate is also a vast improvement from the 9.1 percent unemployment rate in October 2011.
Greater Cincinnati and Hamilton County made similar improvements in all numbers. Back in October 2011, Greater Cincinnati was at 8.1 percent unemployment, and Hamilton County was at 8.3 percent.
However, Cincinnati remains below the state’s seasonally unadjusted unemployment rate of 6.3 percent. It does beat the nation’s seasonally unadjusted 7.5 percent rate, however.
Part of the recovery is likely fueled by improvements in the housing market. Cincinnati’s housing numbers from October showed a 16.5 percent year-over-year improvement, according to the Cincinnati Area Board of Realtors.
Unemployment numbers are calculated through a household survey. The unemployment rate gauges the amount of unemployed people looking for work in contrast to the total civilian labor force. Since the numbers are derived from surveys, they are often revised in later months. State and federal numbers are typically adjusted to fit seasonal employment patterns to give a more consistent rate, while local numbers are not.
Is the race for Ohio secretary of state already underway? Ohio Sen. Nina Turner, who is considering a run against Secretary of State Jon Husted in 2014, says she will introduce legislation to protect voters against Republican efforts to limit ballot access. She also criticized Husted for how he handled the 2012 election, which CityBeat covered here. Husted responded by asking Turner to “dial down political rhetoric.”
Build Our New Bridge Now, an organization dedicated to building the Brent Spence Bridge, says the best approach is private financing. The organization claims a public-private partnership is the only way to get the bridge built by 2018, rather than 2022. But critics are worried the partnership and private financing would lead to tolls.
The Hamilton County Board of Commissioners threw out
a Metropolitan Sewer District competitive bidding policy yesterday. The
policy, which was originally passed by City Council, was called unfair
and illegal by county commissioners due to apprenticeship requirements and rules that favor contractors within city limits. Councilman Chris Seelbach is now pushing for compromise for the rules.
Believe it or not, Cincinnati’s economy will continue outpacing the national economy this year, says Julie Heath, director of the University of Cincinnati’s Economics Center.
Three Cincinnati-area hospitals are among the best in the nation, according to new rankings from Healthgrades. The winners: Christ Hospital, Bethesda North Hospital and St. Elizabeth Healthcare-Edgewood.
Democrat David Mann, former Cincinnati mayor and congressman, may re-enter politics with an attempt at City Council.
In its 2013 State of Tobacco report, the American Lung Association gave Ohio an F for anti-smoking policies. The organization said the state is doing a poor job by relying exclusively on federal money for its $3.3 million anti-tobacco program. The Centers for Disease Control says Ohio should be spending $145 million.
The Air Force is gearing up for massive spending cuts currently set to kick in March. The cuts will likely affect Wright-Patterson Air Force Base.
Dennis Kucinich, who used to serve in the U.S. House of Representatives, will soon appear on Fox News as a regular contributor.
For anyone who’s ever been worried about getting attacked by a drone, there’s now a hoodie and scarf for that.
Mitt Romney will visit the Cincinnati area this week: tonight at a private fundraiser at the Hilton Netherland Plaza, Thursday at a Carthage manufacturing comany and this weekend to hang with Rep. John Boehner up north and probably with Sen. Rob Portman at some point. President Obama plans to be around soon, too.
Economists say Romney's job creation claims need more specifics before they'll be believable. On the other hand, Obama's American Recovery and Reinvestment Act has saved or created 1.4 million to 3.3 million jobs, according to the Congressional Budget Office, and the American Jobs Act would create 1.9 million, according to Moody's. From NPR:
+11.5 million — that's how many jobs Romney claimed last September he would create in the first term of his administration. But true to form, Romney never said how he would create that many jobs, nor has any reputable economist backed up his claim. "Nowhere in the 160 page plan could I find a stated job creation number," wrote Rebecca Thiess of EPI. "The math doesn't just appear to be fuzzy — it appears to be nonexistent." Added David Madland of the Center for American Progress: "It is a plan from the Republican candidate for president designed to maximize corporate profits. What it doesn't do is help the middle class or create jobs." Even the conservative editorial page of the Wall Street Journal called Romney's 59-point economic tome "surprisingly timid and tactical considering our economic predicament."
Democrat Ron Barber won the congressional seat left by Rep. Gabrielle Giffords, who survived an assassination attempt and resigned to focus on her recovery. The win gives Democrats hope for taking control of the House in November.
California could become the first U.S. State to require that genetically modified (GM) foods be labeled as such on the package if a November measure, “The Right to Know Genetically Engineered Food Act,” passes.
What makes the referendum in California different is that, for the first time, voters and not politicians will be the ones to decide. And this has the food industry worried. Understandably so, since only one in four Americans is convinced that GMOs are "basically safe", according to a survey conducted by the Mellman Group, and a big majority wants food containing GMOs to be labeled.
This is one of the few issues in America today that enjoys broad bipartisan support: 89% of Republicans and 90% of Democrats want genetically altered foods to be labeled, as they already are in 40 nations in Europe, in Brazil, and even in China. In 2007, then candidate Obama latched onto this popular issue saying that he would push for labeling – a promise the president has yet to keep.
Retail sales were down for the second month in May. Go buy something.
More than 2,000 proposals for new internet suffixes have been proposed, including ".pizza," ".space" and ".auto."
Scientists have figured out why woolly mammoths went extinct: “Lots of reasons.”
Presidential candidate Mitt Romney announced his running mate Saturday: U.S. Rep. Paul Ryan. Ryan is currently the chairman of the U.S. House of Representatives Budget Committee. He is known by many Republicans as an “intellectual” in the party. He is known by everyone else as the guy who tried to dismantle Medicare. Ryan is also a Miami University graduate, and he was once a staffer for now-Gov. John Kasich when Kasich was still a congressman.
State Rep. Connie Pillich, a Democratic House member for suburban Cincinnati, is facing a tough campaign for re-election against Republican Mike Wilson. One of the reasons the campaign is more difficult for Pillich this time is the redistricting process was used to redraw her district to favor Republicans.
Hamilton County is going to be holding eight budget forums. The forums give the public an opportunity to discuss what they think should be prioritized and slashed in the next Hamilton County budget.A new report found the 2020 Cincinnati jobs market will be dominated by health care and computer jobs as the city continues its strong growth. The report also found a surprising amount of top jobs will only require a high school diploma or an equivalent to a high school diploma.
The Coalition Opposed to Additional Spending and Taxes (COAST) is continuing its dishonest campaign to block the Blue Ash Airport deal, but Cincinnati and Blue Ash lawmakers don’t seem too worried. At least COAST admits it’s largely interested in blocking the streetcar “boondoggle,” not just the legitimacy or details of Blue Ash rescinding the original deal. CityBeat previously covered the Blue Ash Airport issue here.
The number of Ohio homeowners late on mortgage payments rose in the second quarter, according to a new report. The rise reverses a trend of dropping mortgage delinquencies seen earlier in the year.
The Complete Ohio College task force will be meeting for the first time today. The group is meant to increase the amount of college degree holders in Ohio.
The Brookings Institute released a study that shows unemployment would be at 7.1 percent without cuts to government job.
Romney has called for a truce on his business record and tax history. Apparently, Romney wants to focus on issues, even though he’s the one that has repeatedly brought up his business record time and time again. Seriously, is this real life?
Speaking of Romney, he will be in Ohio Tuesday.
President Barack Obama takes the old saying “an apple a day keeps the doctor away” really seriously.
Here is a turtle with a mohawk.
Public service announcement: There will be no Morning News and Stuff Thursday and Friday due to Thanksgiving break. Happy Thanksgiving, and CityBeat will see you again on Monday!
With gains in the civilian labor force, Cincinnati’s seasonally unadjusted unemployment rate dropped to 6.8 percent. The city’s unadjusted unemployment rate is below the nation’s rate of 7.5 percent, but it’s above Hamilton County’s 6.2 percent rate and Ohio’s 6.3 percent rate.
The Ohio Graduation Tests will soon be no more. As part of broader reform, state education leaders have agreed to establish new standardized tests with a focus on college and career readiness. But the reform faces some concerns from Democrats, who worry the new standards, particularly the school report cards that evaluate schools and districts, may be unreasonably tough. An early simulation of the new school report cards in May showed Cincinnati Public Schools (CPS) dropping from the second-best rating of “Effective” under the current system to a D- under the new system, with 23 CPS schools flunking.
Gas prices in southwest Ohio appear to be on the rise. Since Monday, they have moved up 10 to 20 cents.
The Horseshoe Casino is hiring again. This time, the casino is looking for people experienced in restaurant management, hosting, banquet, finance, marketing and guest services.
One problem Ohio must consider in its decision to expand Medicaid or not: a doctor shortage. Still, one study found states that expanded Medicaid had notable health gains. Contrary to the fiscal reasons normally cited by Republican Gov. John Kasich’s office, another report from the Arkansas Department of Human Services found expanding Medicaid would actually save the state money by lowering the amount of uncompensated care.
Thirteen people are going for the Ohio Supreme Court. The vacant slot needs to be filled after Justice Evelyn Stratton announced she was stepping down earlier in the year. Her replacement, who will be picked by Gov. Kasich, will finish the two years of her six-year term. Some of the candidates are from the Cincinnati area, including Pat Fischer and Pat DeWine, the newly elected First District appellate judge. Surprisingly, Republican Justice Robert Cupp did not submit an application despite recently losing re-election.
A ban on internet sweepstakes cafes is on its way. The cafes are allegedly susceptible to illegal activities such as money laundering, racketeering and sex trafficking.
Marc Dann, the Democrat formerly in charge of the Ohio attorney general’s office, lost his law license for six months. Dann resigned from the role of attorney general in 2008 after 17 months of scandal-ridden service.
Three staffers at Gov. Kasich’s office were cleared by the Ohio inspector general’s office of engaging in political activity during work hours.
With Thanksgiving around the corner, here is some science on weight gain.
A new way to give drugs to patients: injectable sponges that expand inside the body.
The city of Cincinnati and its largest city employees union have reached a deal regarding the privatization of the city’s parking assets. Under the deal’s terms, the city will give raises and not lay off anyone for three years, but only if the city’s parking assets are privatized. However, the head of a Clifton community group is still not happy with the privatization plan. He says the plan is bad for business because it limits the amount of affordable parking in the area. But would laying off 344 city employees be better for business?
The identity of the Miami University student who put up
the infamous “Top Ten Ways to Get Away with Rape” flier may soon be revealed. The Ohio Supreme Court
will decide by Dec. 14 whether the case should be unsealed and open to public view. Robert Lyons, the Butler County part-time judge who sealed the case, has faced scrutiny in the past few months for conflicts of interest regarding drinking-and-driving cases.
Revenue from casinos in Toledo and Cleveland is dropping. The numbers paint a bad picture for Cincinnati and Hamilton County officials expecting budget problems to be solved by casino revenue.
A proposal mandating drug testing for welfare recipients in Ohio resurfaced last week. Republican legislators claim the requirement will save the state money, but a similar proposal in Florida added to budget woes as the state was forced to pay for drug tests.
Ohio’s ultra-wealthy population is growing. About 1,330 Ohioans are worth $30 million or more, an increase of 2 percent since 2011, according to a report from Wealth-X. The news could shape Gov. John Kasich’s plan to cut the income tax using revenue from a higher oil-and-gas severance tax, perhaps encouraging state officials to make the cut more progressive.
Gov. Kasich is ending the practice of giving so many tax credits to keep businesses in Ohio. The move could potentially cost the state jobs as businesses move to other areas with bigger, better incentives, but state officials and the business community don’t seem too worried for now.
If the Ohio government agencies were forced to cut their budgets by 10 percent, the results would not be pretty. The Ohio Department of Rehabilitation and Correction would have to close prisons, and the Ohio Department of Natural Resources would have a tougher time enforcing new regulations on fracking.
Ohio’s exotic animal law is facing a challenge in federal court today. Exotic animal owners claim the law violates their First Amendment and property rights by forcing them to join private associations and give up their animals without compensation. They also do not like the provision that requires microchips be implanted into the animals. The Humane Society of the United States is defending the law, which was passed after a man released 56 exotic animals and killed himself in 2011.
An Ohio court said a business tax on fuel sales must be used on road projects.
Ohio gas prices are still dropping.
The cure for leukemia could be a modified version of the AIDS virus.
Conservative groups are pushing Ohio to purge its voter rolls. The move is largely seen by Democrats as an attempt to disenfranchise and suppress voters. The groups in support of the purge, which include Judicial Watch and True the Vote, typically cite voter-related errors and voter fraud as the main reason for their efforts, but there have been 10 cases of in-person voter fraud since 2000, according to a News21 study. Florida Gov. Rick Scott also pushed for a voter purge in his state, but Democrats vowed to fight the purge at every step.The Historic Conservation Board ruled in favor of the Anna Louise Inn yesterday. The ruling means the inn can now move ahead with its multi-million renovation project. The board’s ruling was despite Western & Southern, which has tried to block the renovation as part of a broader attempt to shut down the inn and buy up the property. CityBeat extensively covered W&S’s attempts here.
Cincinnati is No. 7 in the country for job growth, a study from Arizona State University found. Cincinnati beat out Riverside, Calif., but it lost to San Francisco, Denver, Houston, Phoenix, Seattle and San Diego.Secretary of State Jon Husted was advised to fire the Democrats on the Montgomery Board of Elections by Jon Allison, who overheard the hearing on the firings on Aug. 20. Allison is also the former chief of staff to Republican Gov. Bob Taft. The Democrats on the board attempted to expand in-person early voting to weekends despite Husted’s call to uniform voting hours that include no weekend voting. Ohio Democratic Party Chris Redfern said the recommendation was “no surprise” and the Republican Party should be expected to support voter suppression by now.
Josh Mandel, excessive liar, Ohio treasurer and senatorial candidate for Ohio, described Sen. Sherrod Brown of Ohio as “un-American” for his vote supporting the auto bailout, which helped protect 850,000 jobs in Ohio’s auto industry. But Mandel still refuses to give specifics on what he would have done differently to protect the auto industry.The federal government has given the go-ahead for fracking in Wayne National Forest in Ohio. The go-ahead will open up more than 3,300 acres for auction. Environmental critics say fracking is unsafe and should be banned, but Gov. John Kasich insists the process can be made safe with proper regulations. Previous analyses have found natural gas, which is produced from fracking, could help combat climate change. CityBeat previously covered the uncertainty behind fracking here.
Kentucky is getting another creationist attraction. Apparently not content with the false claims asserted at the Creation Museum and Ark Encounter, a new group wants to build a brick-and-mortar for the Founders of Creation Science Hall of Fame.Republicans almost went a day without saying something offensive about women. Tom Smith, Republican candidate for Pennsylvania’s senate seat, compared pregnancy from rape to pregnancy out of wedlock. Last week, Paul Ryan, Republican vice presidential candidate, described rape as a "method of conception."
Most people might not remember it since it’s rarely mentioned in the news anymore, but America is still at war in Afghanistan. Yesterday, the Taliban beheaded 17 civilians for having a party, two U.S. soldiers were killed by an Afghan soldier and 10 Afghan soldiers died to insurgents.A private funeral service is planned in Cincinnati for Neil Armstrong, who died last Saturday. A public funeral will be held at Wapakoneta. Armstrong was the first man to walk on the moon. His first steps inspired curiosity and innovation around the world when he said, “One small step for a man, one giant leap for mankind.” Politicians will talk up Armstrong’s accomplishment in the following days, but Democrats and Republicans both supported cuts to NASA’s budget in recent years that Armstrong opposed.