Now an advocacy organization is pushing for the BWC to pay back the difference.
While the ins and outs of the rates are complicated, the underlying concept is fairly straightforward: Worker’s compensation functions as a kind of insurance for employers. If an employee gets hurt on the job, worker’s comp will pay for lost wages and medical costs so long as the business is current on its monthly workers comp payment. A lawsuit brought by some employers receiving higher rates charged that those rates were unfair, even forcing some employers into bankruptcy.
The courts have agreed. The appellate court’s decision upholds an earlier ruling against the BWC by the Cuyahoga County Court of Common Pleas.
The courts ruled the BWC, along with lobbyists of some favored businesses, rigged workers compensation rates so that some companies picked to be designated “group rate employers” received what the court called “excessive, undeserved premium discounts” on their workers compensation insurance plans. Where did the money for those discounts come from? According to the court, from businesses who were not part of the special group rate. Those businesses paid almost $860 million extra on their workers compensation plans.
BWC hasn’t started paying back the money, and head Steven Buehner told a Cleveland news outlet last week that the agency will appeal the ruling to the Ohio Supreme Court. It has until June 30 to do so.
Buehner says the agency’s rates simply reflect the nature of providing insurance — that low-risk customers receive lower rates than higher-risk clients. Buehner said there isn’t some big pot of money somewhere that the BWC is sitting on and that it hasn’t cheated anyone out of any funds.
If the court’s ruling holds, the BWC will owe more than 100 Cincinnati-area employers $100,000 or more, including a number of nonprofits and arts organizations. All told, the BWC could owe area businesses more than $100 million. Progress Ohio, an advocacy group, has asked Gov. John Kasich to act and make sure the BWC pays the money back.
According to Progress Ohio, which is advocating for the employers in question, the BWC could owe the Cincinnati Ballet more than $300,000, Cincinnati Playhouse in the Park nearly $150,000 and the Cincinnati YMCA $140,000. BAE, a British-owned security and armaments business with a plant in Fairfield, is the area employer owed the largest amount of money; according to the advocacy organization, the BWC charged BAE more than $1.4 million extra in premiums.
The Cincinnati YWCA is also owed payback — about $14,000. The organization told WCPO earlier this week it will be "thrilled" to get that money back so it can use it to help women and children in need.
The city of Cincinnati and opponents of the parking plan met in court today to debate whether laws passed with emergency clauses are subject to referendum — a crucial legal issue as the city attempts to speed ahead with plans to lease the city’s parking assets to the Port of Greater Cincinnati Development Authority to help balance the deficit and foster economic development.
After hearing extensive legal arguments
from both sides, Judge Robert Winkler, who presided over the hearings, said
a decision is unlikely today.
Curt Hartman, who represented opponents of the parking plan, argued the city charter’s definition of emergency clauses is ambiguous, and legal precedent supports siding with voters’ right to referendum when there is ambiguity.
Terry Nestor, who represented the city, said legal
precedent requires the city to defer to state law as long as state law
is not contradicted in the city charter.
Cincinnati’s city charter does not specify whether emergency legislation is subject to referendum, but state law explicitly says emergency laws are not subject to referendum.
Meg Olberding, city spokesperson, previously told CityBeat that if the parking plan is held up for too long in legal battles, the city will have to carry out spending cuts before July to balance the budget in time for the 2014 fiscal year.
Emergency clauses remove a 30-day waiting period on approved legislation, and the city claims they also remove the possibility of referendum.
City Council approved the parking plan in a 5-4 vote on March 6 before attaching an emergency clause to the law in a 6-3 vote. But the law was quickly put on hold by a temporary restraining order from Winkler after a lawsuit was filed in favor of subjecting the plan to referendum.
Opponents of the parking plan say they’re concerned the plan will cede too much control over the city’s parking meters, which they say could lead to skyrocketing parking rates.
The city says rates are set at 3 percent or inflation, but the rate can change with a unanimous vote from a special committee, approval from the city manager and a final nod from the Port Authority. The special committee would comprise of four people appointed by the Port Authority and one appointed by the city manager.
The city is pursuing the parking plan to help balance the city’s deficit for the next two fiscal years and enable economic development projects (“Parking Stimulus,” issue of Feb. 27).
The speaker of the Ohio House is asking a local state representative to resign after he was indicted on 16 counts of fraud. State Rep. Peter Beck, a Mason Republican, already faces a maximum of 43 years in prison if he’s convicted on all the counts, but Ohio Attorney General Mike DeWine says the ongoing investigation might produce more charges. The charges are a result of Beck’s alleged actions involving an Ohio software company called Christopher Technologies, which investors claim bilked them out of $200,000.Claiming discrimination, a newlywed same-sex couple is suing the state of Ohio for failing to recognize their marriage. Jim Obergefell and John Arthur were married in Maryland, but the couple lives in Cincinnati, Ohio, where same-sex marriage is banned by the state constitution. The couple’s attorney claims the state should be forced to recognize the marriage because of Fourteenth Amendment protections extended to gay couples by the Supreme Court’s recent ruling on the Defense of Marriage Act (DOMA). Arthur was diagnosed in 2011 with amyotrophic lateral sclerosis (ALS), a neurological disease that causes muscles to rapidly deteriorate, and he’s currently bedridden as a result. Given Arthur’s health, the couple will argue for an expedited ruling at a hearing at 1:30 p.m. today in front of U.S. District Court Judge Timothy Black.
The Buckeye Firearms Association is raising money to buy a gun for George Zimmerman, who was acquitted of second-degree murder in the murder trial of black 17-year-old Trayvon Martin. Zimmerman’s gun is currently being held by the U.S. Department of Justice as it investigates further charges.
Councilman P.G. Sittenfeld and 100 members of the Children’s Defense Fund will meet at Washington Park at 1 p.m. today to rally against gun violence in Cincinnati. The group plans to march to City Hall, where they will listen to students’ suggestions for making the city a safer place to visit and reside.
A state representative introduced a bill that would allow some public university students to forgo traditional tuition and instead pay for their college education through a percent of their income for 24 years after they graduate.
An Ohio health aide is being sent to prison for Medicaid fraud.
Ohio gas prices are down this week.
In a desperate bid to save the endangered Sumatran rhino, the Cincinnati Zoo is attempting to breed a brother and sister.
If you think the recent heat has been bad, Popular Science has a humbling list of the 10 worst places to live in the universe.
A seven-member legislative board yesterday accepted federal funding made available through Obamacare to expand Ohio’s Medicaid program to cover more low-income Ohioans for the next two years. Gov. John Kasich went through the Controlling Board, an obscure panel that typically handles less contentious budget issues, to get the federally funded Medicaid expansion after months of failing to convince his fellow Republicans to back the policy in the Ohio House and Senate. Most Republican state representatives, including local Reps. Lou Terhar, Louis Blessing and Peter Stautberg, signed a letter in protest of the tactic, and some groups are already discussing lawsuits. The Health Policy Institute of Ohio previously found the expansion would insure between 300,000 and 400,000 Ohioans through fiscal year 2015. If legislators approve the expansion beyond that, the institute says it would generate $1.8 billion for Ohio and insure nearly half a million Ohioans over the next decade.
John Arthur, the Cincinnati man who helped lead a legal battle for same-sex marriage in Ohio, died today at the age of 48. Arthur was diagnosed with amyotrophic lateral sclerosis in 2011, and the fatal neurodegenerative disease pushed Arthur and his partner Jim Obergefell to hasten their battle for LGBT equality and recognition in the eyes of the law. After the couple married in Maryland, they sued the state to recognize their marriage on Arthur’s death certificate — a request granted in July by U.S. District Court Judge Timothy Black, less than one month after the U.S. Supreme Court struck down the federal Defense of Marriage Act, which previously barred same-sex marriages at the federal level.
The 18-month legal battle over the 2010 juvenile court election between Juvenile Court Judge Tracie Hunter and the Hamilton County Board of Elections will cost the county more than $920,000. Hunter, a Democrat, ultimately won the lawsuit and recount. Her 2010 opponent, Republican John Williams, eventually got another seat in the juvenile court through an appointment and subsequent election.
Teen drivers remain one of Ohio’s most at-risk groups for traffic accidents, according to the Ohio State Highway Patrol (OSHP). Between 2010 and 2012, teen drivers were at fault for nearly 101,000 accidents resulting in more than 44,000 injuries and 299 deaths. In total, teens were responsible for roughly 10 percent of fatal crashes. To address the issue, OSHP is advising teen drivers and their parents on safety basics, such as following the speed limit and wearing a seatbelt, and promising to encourage better behavior through enforcement.
Speaking to investors on Friday, Caesar’s Entertainment, the operator of Cincinnati’s Horseshoe Casino, disclosed the details of a federal money-laundering investigation and said it previously withdrew a request for a gaming license in Massachusetts after investigators there questioned past business practices. Ohio officials reportedly told WCPO they’re reviewing the investigations.
In September, Cincinnati year-over-year home sales increased for the 27th consecutive month.
Cincinnati’s Spring Grove Cemetery removed a SpongeBob SquarePants headstone for an Iraq War veteran because officials deemed it inappropriate.
The Cincinnati Reds will replace former manager Dusty Baker with pitching coach Bryan Price, reports The Cincinnati Enquirer.
A new study found no known species matches the expected profile of a shared ancestor for humans and Neanderthals.
Early voting for the 2013 City Council and mayoral elections is now underway. Find your voting location here. Normal voting hours are 8 a.m. to 4 p.m., although some days are extended.
On Oct. 29, local residents will be able to give feedback to Cincinnati officials about the city budget — and also nab some free pizza. The open budgeting event is from 6 p.m. to 8:30 p.m. on Oct. 29 at 1115 Bates Ave., Cincinnati.
A local appellate court judge who is a neighborhood activist and a one-time Cincinnati City Council candidate recently was elected as president of the Ohio State Bar Association.
Patrick F. Fischer was elected Friday during the Bar Association's annual convention in Columbus.
In a letter to the city solicitor, a conservative organization is threatening more legal action to stop the city’s plans to lease its parking meters, lots and garages to the Greater Cincinnati Port Authority. The Coalition Opposed to Additional Spending and Taxes (COAST) claims the city manager exceeded his authority when he made two “significant and material” changes to the lease agreement after City Council approved the deal in March. If the city solicitor doesn’t take up the legal challenge, COAST could sue the city by itself. Supporters of the parking lease argue it’s necessary to fund development projects in the city and modernize the city’s parking services, but opponents say it gives up too much control over the city’s parking meters, lots and garages and will hurt businesses downtown.
The Business Courier reports that a critical parking memo was supposed to provide a “strike point” for negotiations between the Port Authority and Xerox, which will manage the city’s parking meters under a lease agreement. But the city administration didn’t begin sharing the June 20 memo with anyone else, including the Port Authority, until July 12, after council members and media outlets began asking the city administration about it. The memo suggested the city is getting a bad deal from the parking lease agreement and overpaying Xerox. Port and city officials argue the memo relied on outdated information and made technical errors.
Mayor Mark Mallory will today join fellow streetcar supporters at Rhinegeist Brewery to discuss the streetcar project’s latest news and future. The city on July 15 set an opening date of Sept. 15, 2016 after finalizing a construction contract with Messer Construction, Prus Construction and Delta Railroad, which was made possible after City Council closed a $17.4 million budget gap in June. CityBeat recently debunked some of the misrepresentations surrounding the streetcar project here.
Public access media organization Media Bridges is shutting down following city and state funding cuts. The organization’s demise is a great loss to producers like Rufus Johnson, who used its resources for years. The city picked up Media Bridges’ funding after the state eliminated a fund that was provided by Time Warner Cable, but even the local funding was fully cut in the budget passed in May. City officials have justified the cuts by pointing to citizen surveys that ranked Media Bridges poorly in terms of budgetary importance, but a CityBeat analysis found the surveys were skewed against the low-income Cincinnatians that benefit the most from public access programs like Media Bridges.
State Rep. Peter Beck, a Republican from Mason, is facing multiple felony charges related to securities fraud. A lawsuit filed in Hamilton County by investors alleges that money invested at the request of Beck and others was used for personal gain — specifically, Beck’s campaign — instead of a business investment as originally intended. Beck has been in power since 2009, and his current term is set to expire in 2014.
A former poll worker was sentenced to five years for voter fraud after she voted twice for herself and three times for her sister, who’s been in a coma since 2003.
The driver who last August accidentally hit and killed a local cyclist is awaiting his sentence. Local bike advocacy groups are asking courts to give the maximum penalty to the driver, who’s facing at most six months in jail and a $1,000 fine.
The local housing market is rapidly recovering in a continuing good sign for the economy, with single-family home permits up 48 percent in June compared to the year before, according to the Home Builders Association of Greater Cincinnati.
Cincinnati Reds games are No. 3 for local TV ratings in all of Major League Baseball, behind only the Detroit Tigers and St. Louis Cardinals.
Xavier University is laying off 31 employees and cutting 20 currently vacant positions.
A Miami University student is getting an astronaut scholarship, making him one of 28 students nationwide to receive the honor.
Entrepreneur says Cincinnati is an “unexpected hub for tech startups.”
A new self-aiming rifle would outshoot human snipers.
Popular Science has a guide for arguing against anti-vaccine crazies here.
Former Gov. John Gilligan, a Cincinnati Democrat best known for winning the creation of the state income tax, died at 92 yesterday. Gilligan’s most lasting accomplishment was also what doomed his career; the state income tax was unpopular when it passed, even though it allowed Gilligan to boost funding for education, mental health and law enforcement programs. Gilligan’s political career began in Cincinnati Council. From there, he rose to U.S. representative and then governor.
The American Civil Liberties Union of Ohio yesterday asked Attorney General Mike DeWine to shut down a facial recognition program
used by law enforcement until state officials verify and develop safety
protocols that protect Ohioans’ rights to privacy. DeWine formally
unveiled the program in a press conference yesterday. It allows police
officers and civilian employees to use a photo to search databases for
names and contact information. Previously, law enforcement officials
needed a name or address to search such databases. The program has been
live for more than two months and so far used for 2,677 searches, but until now it was kept hidden from the public and hasn’t
been checked by outside groups for proper safety protocols.
Hamilton County Prosecutor Joe Deters stepped down as Hamilton County Juvenile Court Judge Tracie Hunter’s attorney and called her handling of the court a “judicial circus.” Hunter has been mired in controversy ever since she took the bench: She was found in contempt by a higher court, and she’s been sued multiple times by media, including four times by The Cincinnati Enquirer. Deters, who under state law had to legally represent Hunter, said the legal troubles were too much, but his stepping down also complies with Hunter’s wishes to find her own hand-picked attorney.
The University of Cincinnati is one of the top colleges where students can get the most out of their money, according to PolicyMic. UC performs better than average in the graduation rate, debt at time of graduation, percentage of undergraduate students receiving Pell grants and starting salary after graduation, yet the school manages to stay only slightly above the national average for tuition and board and room costs.
Mayor Mark Mallory previously approved eliminating city parking requirements, which should allow residential development projects to greatly reduce or completely toss out parking space mandates downtown. “The goal of the ordinance is to encourage development in the urban core by permitting developers to determine their own parking needs for downtown developments,” said Councilwoman Yvette Simpson. “I firmly believe that the market will work to meet parking demands better than government minimum parking requirements.”
The tax changes passed in the state budget earlier this year, including an income tax cut and sales tax hike, will go into effect on Sept. 1. The changes have been criticized for favoring the wealthiest Ohioans, as CityBeat covered in further detail here.
Gov. John Kasich approved tax credits that are expected to create more than 591 jobs statewide, with at least 40 of the jobs being created at the Benjamin Steel Company in Cincinnati.
Nearly one in five workers at Ohio casinos has quit or been fired. High turnover isn’t unusual in the casino business, but the numbers give a clearer glimpse at the volatility.
Piloting a military drone can apparently take quite the psychological toll.
It's been a long time coming, but today gays and lesbians are finally taking the fight for our rights where it belongs, through the federal justice system.
The trial before the U.S. Supreme Court on same-sex marriages in California begins today and the result of Perry v. Schwarzenegger is expected to affect gay marriage legislation nationwide.
In a letter to the city solicitor, a conservative organization is threatening more legal action to stop the city’s plans to lease its parking meters, lots and garages to the Greater Cincinnati Port Authority.
The Coalition Opposed to Additional Spending and Taxes (COAST) claims the city manager made “significant and material” changes to the lease agreement after City Council approved the deal in March. That, the letter states, exceeds the city manager’s authority.
The two changes in question: First, the city changed the original June 30 deadline for issuing bonds that will finance the deal to a less specific 90-day period that will kick in once the agreement is in full effect. Second, the city added sections that allow the Port to review and potentially terminate the lease within 75 days.
The changes were made after another legal challenge delayed the lease’s implementation.
The letter asks City Solicitor John Curp to review the allegations and sue the city. If he doesn’t, COAST would gain the legal standing necessary under Ohio law to sue the city by itself.
“The law requires that before a lawyer can sue the city and ask taxpayers to pay his fees he must send a letter of this type,” Curp explained in an email.
“Today’s letter is an attempt to comply with part of the legal process that would allow the authors to claim attorneys fees from taxpayers,” he wrote. “The Law Department will review the issues raised, attempt to engage the authors constructively and respond appropriately. The policy of the Law Department is to defend aggressively against claims from lawyers that seek taxpayers dollars to fund their litigation against the City of Cincinnati.”
COAST is pursuing the legal challenge as a longtime critic of the parking lease. The organization supported the previous lawsuit against the lease, which an appeals court struck down.
The letter comes in the middle of another controversy over a June 20 memo that the city administration kept from the public, Port Authority and City Council for three-plus weeks, until council members and media outlets enquired about it. The memo suggested the city is getting a bad deal from the lease agreement. Port and city officials argue the memo made technical errors and used outdated information.
Under the parking lease, the city will receive a $92 million lump sum and at least $3 million in annual payments, according to city estimates.
Supporters of the parking lease argue it’s needed to raise funds for development projects and modernize the city’s parking services.
Opponents say the lease gives up too much control over the city’s parking meters, lots and garages and will hurt businesses downtown by causing meter rates and operation hours to go up.