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:
Council Member P.G. Sittenfeld is circulating a small business petition to stop Cincinnati from privatizing parking services. Sittenfeld threw his support behind the petition in a statement: “Individual citizens have made clear that they are overwhelmingly against outsourcing our parking system. Now we're going to show that small businesses feel the same way. I hope that when council sees that the small businesses that are the engine of our city are strongly against outsourcing our parking, we can then nix the proposal immediately.” The petition asks city officials “to find a smart, resourceful, sustainable alternative to address the budget situation.” City Manager Milton Dohoney says parking privatization is necessary to avoid laying off 344 city workers.
Gov. John Kasich’s expanded sales tax is going to hurt a lot of people. The tax is being expanded to apply to many items included in households’ monthly budgets, such as cable television, laundry services and haircuts. The revenue from the sales tax expansion will be used to cut the state income tax by 20 percent across the board, lower the sales tax from 5.5 percent to 5 percent and slightly boost county coffers.
City Council and local residents are not impressed with the USquare development. At a City Council meeting Tuesday, Vice Mayor Roxanne Qualls described the development: “I have to say that it is underwhelming. And that’s about the kindest thing I can say about it. And also really repeats, on many different levels, virtually all of the mistakes that have ever been made in the city and in neighborhoods when it comes to creating public spaces.” But architect Graham Kalbli said he’s excited about the plan: “Because we’ve taken a vacant strip of land and really made kind of a living room for the Clifton Heights community. We wanted to do that, that was one of our overriding goals.”
The Hamilton County Board of Elections is subpoenaing 19 voters who are suspected of voting twice in the November election. Most of the voters being investigated filed provisional ballots then showed up to vote on Election Day.
David Mann is officially running for City Council. The Democrat has served as a council member, mayor and congressman in the past.
Traffic congestion isn’t just bad for drivers; it’s also bad for the environment and economy. The Annual Urban Mobility Report from the Texas A&M Transportation Institute found traffic congestion cost Cincinnati $947 million in 2011 and produced an an extra 56 billion pounds of carbon dioxide nationwide.
Leslie Ghiz is taking the judge’s seat a little early. The former city council member was elected to the Hamilton County Common Pleas Court in November, but she was appointed to the seat early by Gov. John Kasich to replace Dennis Helmick, who retired at the end of 2012.
The magic of capitalism: Delta is already matching a low-cost carrier’s fares to Denver at the Cincinnati/Northern Kentucky International Airport.
The U.S. Postal Service is ending Saturday mail delivery starting Aug. 1. The Postal Service has been dealing with financial problems ever since a 2006 mandate from U.S. Congress forced the mail delivery agency to pre-fund health care benefits for future retirees. Riddled with gridlock, Congress has done nothing to help since the mandate was put in place. This will be the first time the Postal Service doesn’t deliver mail on Saturdays since 1863.
It’s unlikely zombies could be cured by love, but it’s possible they could be cured by science.
The next Michael Jordan has been discovered:
The Medicaid expansion would add more Ohioans to the state-federal health care program by raising the eligibility threshold to 138 percent of the federal poverty level, up from 90 percent. The budget summary claims the expansion makes financial sense for the state as long as the federal government picks up most of the tab. As part of Obamacare, the federal government takes all the costs for newly insured Medicaid recipients for the first three years. After that, the federal government’s share is brought down to 95 percent and ultimately phased down to 90 percent. If the federal government reneges on its promise to pay for the bulk of the share, Kasich’s budget has a trigger to wind down the Medicaid expansion.
The budget also proposes income and sales tax cuts, which would come with some trade-offs. The state income tax would be brought down by 20 percent across the board, and the sales tax would be cut from 5.5 percent to 5 percent. To balance the cuts, Kasich has proposed broadening the sales tax to include other “economic activity,” while keeping exemptions for education, health care, rent and residential utilities.
In another slew of tax changes, Kasich’s plan proposes revamping the oil and gas severance tax. It would eliminate the tax for “small, conventional natural gas producers,” but imposes a 4 percent tax for bigger oil and gas producers.
In the past, liberals have voiced opposition to tax cuts — instead favoring investments elsewhere. Policy Matters Ohio released its own budget proposals Jan. 31, which emphasized “education, health care and human services.” The plan would also increase the income tax for top earners.
City Council Member P.G. Sittenfeld released a statement criticizing Kasich’s budget for not using the extra revenue to scale back local government and education cuts enacted in the 2012-2013 budget: “At a time when local governments around the state are being forced to slash basic services, lay off safety personnel, raise taxes, and sell off assets just to stay afloat, it's out of touch for Gov. Kasich not to reverse his raid on our local government fund. We don’t pay taxes to pad the governor’s soundbites, we pay them to maintain our roads and keep cops on the street. This should not be a partisan issue. It's simply illogical governance to make the state look good while in the process hurting Ohio's cities.”
Between October and December, the U.S. economy unexpectedly shrank by 0.1 percent — the first contraction since 2009. The downturn was primarily caused by the threat of conservative fiscal policies, particularly defense spending cuts. Dropping business inventories also helped drag down the economy. Otherwise, consumer and business spending was actually strong.
Some Republicans want another go at reducing voting rights.
Rep. Mike Dovilla, chairman of the newly created House Policy &
Legislative Oversight Committee, says he wants to consider measures that
crack down on alleged voter fraud, including reduced voting
times and a photo ID requirement to vote. But in-person voter fraud is not a real problem. News21, a Carnegie-Knight investigative reporting project, found only 10 cases of in-person voting fraud in the United States between 2000 and 2012.
That’s not even one case of in-person fraud each year. The real reason
Republicans want to enact stricter voting measures is to hinder young, minority
voters that typically support Democrats. One study found 700,000 young, minority voters were excluded by photo ID laws in 2012.
A Policy Matters Ohio report found Ohio’s income tax hits the poor and middle class a lot harder than the wealthy. The numbers from the report: “The top 1 percent of non-elderly Ohio families by income, who earned at least $324,000 in 2010, on average pay 8.1 percent of their income in state and local income, property, sales and excise taxes. By contrast, the lowest fifth, who make less than $17,000, on average pay 11.6 percent. Families in the middle fifth of the income spectrum, who make between $31,000 and $49,000, on average pay 10.6 percent.”
Cincinnati is extending its contract with Southwest Ohio Regional Transit Authority (SORTA) for a month despite an ongoing conflict, but the supposed conflict is really much ado about nothing. SORTA wants the city to guarantee it won’t use the transit fund for the streetcar, but City Council has already passed a resolution saying it won’t and Mayor Mark Mallory has repeatedly stated he will not use the transit fund for the streetcar. Due to the mayor’s race, the streetcar will be facing another contentious year at the ballot box, which CityBeat covered in-depth here.
More than 60 percent of Greater Cincinnati entrepreneurs are expecting a net profit in 2013. Most of them also expect to hire part-time employees, according to a new survey from the Entrepreneurs’ Organization. The survey is another sign of rising confidence in the U.S. economy.
The Dayton Daily News reports manufacturing is driving economic growth in Ohio, to the benefit of more than half of the state’s counties.
When defending Ohio's charter school and voucher programs, conservatives often tout the magic of “school choice,” but a Policy Matters report found school choice may hurt education standards in the state.
Ed FitzGerald, a popular Democrat from Cuyahoga County, is gearing up to run for the governor's race in 2014.
Scientists have taught bacteria to eat electricity. The trick could eventually be used to turn microorganisms into a biofuel source.
Gov. John Kasich’s 2014-2015 budget plan is on the horizon, and it contains “sweeping tax reform,” according to Tim Keen, budget director for Kasich. Keen said the new plan will “result in a significant competitive improvement in our tax structure,” but it’s not sure how large tax cuts would be paid for. Some are already calling the plan the “re-election budget.” Expectations are Kasich’s administration will cut less than the previous budget, which greatly cut funding to local governments and education.
Chris Monzel is now in charge
of the Hamilton County Board of Commissioners. Monzel will serve as
president, while former president Greg Hartmann has stepped down to vice
president. Monzel says public safety will be his No. 1 concern.
City Council may vote today on a plan to build the first freestanding public restroom, and it may be coming at a lower cost. City Manager Milton Dohoney said last week that the restroom could cost $130,000 with $90,000 going to the actual restroom facility, but Councilman Seelbach says the city might be able to secure the facility for about $40,000.
Tomorrow, county commissioners may vote on policy regarding the Metropolitan Sewer District. Commissioners have been looking into ending a responsible bidder policy, which they say is bad for businesses. But Councilman Seelbach argues the policy ensures job training is part of multi-billion dollar sewer programs. Board President Monzel and Seelbach are working on a compromise the city and county can agree on.
The Hamilton County Board of Elections is prepared to refer five cases of potential voter fraud from the Nov. 6 election. The board is also investigating about two dozen more voters’ actions for potential criminal charges.
King’s Island is taking job applications for 4,000 full- and part-time positions.
Ohio may soon link teacher pay to quality. Gov. John Kasich says his funding plan for schools will “empower,” not require, schools to attach teacher compensation to student success. A previous study suggested the scheme, also known as “merit pay,” might be a good idea.
An economist says Ohio’s home sales will soon be soaring.
Debe Terhar will continue as the Board of Education president, with Tom Gunlock staying as vice president.
Equal rights for women everywhere could save the world, say two Stanford biologists. Apparently, giving women more rights makes it so they have less children, which biologists Paul R. and Anne Ehrlich say will stop humanity from overpopulating the world.
Ever wanted to eat like a caveman? I’m sure someone out there does. Well, here is how.
Metal detectors could come back to City Hall, but local legislators can’t do much more regarding local gun control. Still, Vice Mayor Roxanne Qualls and other City Council members will begin pushing for more federal regulations on guns starting today. President Barack Obama is already beginning to drum up support for more regulations on guns, including a ban on assault weapons and high-capacity ammunition clips. He also wants to close a loophole that allows people to buy firearms at gun shows without background checks. At the state level, a new bill loosening gun regulations in Ohio is facing criticism. The bill will make it easier to store firearms in cars and allows them for the first time in parking garages under the Ohio Statehouse and a nearby office tower. Gov. John Kasich said he will sign the bill.
The University of Cincinnati is launching a fundraising effort for the renovation of Nippert Stadium. The project could cost as much as $70 million. The university wants to offset as much of the cost as possible to build premium seating, with the possibility of 28 new luxury boxes and more than 1,400 premium seats being added. Goals could change based on demand and fundraising efforts.
A Cincinnati-based company and its top executive have pleaded guilty to circumventing Ohio’s competitive bid process. The actions cost Ohio taxpayers tens of thousands of dollars,
according to Ohio Attorney General Mike DeWine. The company circumvented
the competitive process by submitting multiple bids on road jobs under
different names, creating the illusion of competition.
Sen. Rand Paul of Kentucky, a possible candidate for the presidency in 2016, will headline a Hamilton County GOP event. He will be a featured speaker next month at the Northeast Hamilton County Republican Club's annual pancake breakfast.
The Cincinnati College Preparatory Academy failed to follow its own compensation policies, resulting in improper over-payments of $2,325, according to Ohio State Auditor Dave Yost.
Top state officials will begin pushing and outlining school safety efforts in the wake of the massacre at Sandy Hook Elementary School in Newtown, Conn.
State Impact Ohio has a fantastic infographic showing the growth of charter schools in Ohio. In the Cincinnati urban district, charter schools now host 6,642 students.
A new state policy will automatically refund businesses when they’ve overpaid their taxes. The first round of the policy will refund businesses in Ohio $13 million.
The animal takeover continues. Due to the effects of climate change, some animals are moving into cities.
Cincinnati City Council on Friday approved a budget that relies on parking privatization as a means to plug a $34 million budget deficit while also raising property taxes in 2014.
Mayor Mark Mallory opened up the council meeting with a moment of silent prayer for the 27 students and adults killed at an elementary school in Connecticut.
“I want us all to take a moment and put into perspective what we’re doing today,” he said.
Council voted to increase the property tax by about 24 percent, from 4.6 mills (a mill is equal to one-tenth of a cent) to 5.71 mills. That means Cincinnatians would pay an additional $34 for every $100,000 of their home’s value.
The vote reverses a move made last year by conservatives on council, who reduced property taxes.
Council also passed a budget that relies on $21 million from a proposed lease of the city’s parking facilities — a deal that is expected to be voted on in March. Of the proposals submitted to the city so far, Cincinnati stands to gain $100 million to $150 million in an upfront payment and a share of the profits over the 30-year lease.
“My concern about balancing this budget with a onetime revenue source by selling our parking system seems to be ill advised,” said Independent Councilman Chris Smitherman. “We don’t know how council will vote in March … but we have tied not only the budget to this one time revenue source, but we have also tied reciprocity.”
Council nixed a plan to eliminate tax reciprocity for people who lived in Cincinnati but worked elsewhere and paid income tax in both cities.
Though the budget doesn’t mention parking privatization, council hasn’t mentioned other options to close the budget deficit.
If opponents of parking privatization want to keep facilities under city control, they would have to come up with $21 million in revenue elsewhere or make $21 million in cuts.
Councilman P.G. Sittenfeld suggested using casino revenue, cutting travel expenses, downsizing the ratio of managers to workers, sharing services with nearby jurisdictions and downsizing the city’s fleet as ways to cut down the budget.
Councilwoman Laure Quinlivan, long an advocate of downsizing the police and fire departments, voted against the property tax increase in protest of what she said was bloated spending on departments that were outpacing population growth.
The budget also requires Cincinnati to accept police and fire recruit classes in 2014, regardless of whether the city gets a federal grant to fund the classes.
The budget also restores the Cincinnati Police Department’s mounted patrol, which patrols downtown on horseback. The city will use $105,000 from off-duty detail fees from businesses that hire off-duty officers. Council also voted to start charging those businesses an extra $1.64 on top of the off-duty pay.
Council also voted to shift $50,000 for repairs and upgrades to the Contemporary Arts Center to pay for maintenance and beautification at Washington Park, which is operated by 3CDC.
Activists gathered on Thursday outside of the West Chester office of U.S. House Speaker John Boehner, asking the House’s top official to look at reducing military spending when coming up with a budget.
The group of nearly two dozen — which included nuns, a veteran, a retiree advocate, a small businessman and progressive activists — held signs reading, “It is time for Nation Building in the United States. Cut Massive Pentagon Budget Now!” and “End Tax Breaks for Richest 2%.”
“We’re here today in front of Speaker of the House John Boehner’s West Chester office to drive home the fact that we believe that over 50 percent of the budget magically, this elephant in the House, has failed to be discussed as we discuss taking away services that provide human needs,” said David Little of Progress Ohio.
“Any discussion that fails to address excesses in that budget is failing the American people.”
Little added that it was possible to support the troops and veterans without spending billions on pointless wars.
Butler County attorney and Navy veteran Bruce Carter said the military can be more efficient in what he called the changing mission.
“When you refuse to have a discussion on over half of the budget, that’s like trying to tell the Bengals to win a game without going over the 50 yard line,” he said.
The group had a letter to deliver to Boehner, which contained what they called a statement of principles.
“We believe in a holistic approach to the budget crisis, and in order to protect the middle-class, cuts to the Pentagon need to be at the forefront,” the letter states. “We understand that Pentagon cuts are a controversial issue, however, Pentagon cuts in the sequester do not threaten our national security.”
The letter suggests that some of the money currently being spent on the Defense Department goes to providing services for veterans.
The military accounted for about 52 percent — or $600 billion — of discretionary spending in fiscal year 2011.
In contrast, education, training and social services collectively made up 9 percent of the budget.
The group of four activists weren’t allowed into Boehner’s office, but a young staffer met them outside. He said that the speaker thought everything should be on the table when it came to budget cuts.
Redistricting reform may have died in front of voters, but will the state legislature pick up the pieces? Ohio Sen. Keith Faber, a Republican, and Ohio Sen. Nina Turner, a Democrat, say a deal is close. The senators say the task force in charge of finding a way to reform the state’s redistricting system could release a report later this week, and a public hearing is scheduled for next week. The congressional redistricting process has scrutiny for decades as politicians have redrawn districts for political gain. The First Congressional District, which includes Cincinnati, was redrawn during the Republican-controlled process to include Republican-leaning Warren County. The change was enough to dilute Cincinnati’s Democratic-leaning urban core, shifting the district from politically mixed to safely Republican.
A group in favor of President Barack Obama is taking the federal fight over taxes to a local level. Ohio Action Now is planning a Friday rally in front of U.S. Rep. Steve Chabot’s office demanding that he accept tax hikes on individuals making more than $250,000. Chabot, who represents Cincinnati’s congressional district, and other Republicans oppose the plan because it taxes what they like to call “job creators.” However, research has shown taxing the wealthy is economically better than taxing the lower and middle classes. The International Monetary Fund also found in an extensive study that spending cuts hurt economies a lot, but tax hikes barely make a negative impact. U.S. Sen. Sherrod Brown, an Ohio Democrat, is also criticizing Republicans for not accepting Obama’s tax proposal.
Hamilton County commissioners did not agree to raise the sales tax; instead, they will reduce the property tax rollback. For residential property owners, the tax hike adds $35 per $100,000 of a home’s valuation. Commissioners say either a reduction in the rollback or a sales tax hike is necessary to balance the county stadium fund, which has undergone problems ever since the county made a bad deal with the Reds and Bengals. None of the current commissioners were in office when the original stadium deal was made.
The city of Cincinnati and a city union have reached a deal on privatizing parking services. The American Federation of State, County and Municipal Employees (AFSCME) agreed not to oppose the plan after the city promised not to lay off union employees. As part of parking privatization, 25 union members will lose their current jobs, but they’ll be transitioned into other city jobs. City Manager Milton Dohoney insists parking privatization is necessary in his budget plan if the city wants to avoid 344 layoffs. The public will be able to weigh in on the budget proposal today at 6 p.m. at City Hall and Dec. 10 at 6 p.m. at Corryville Recreation Center.
Cincinnati City Council approved a resolution asking the state government for local control of fracking operations. But the resolution has no legal weight, so the state will retain control. Fracking has been criticized by environmentalists who see it as a possible cause of air pollution and water contamination. Critics also want to know what’s in the chemicals used during the fracking process, but, under state law, companies are not forced to fully disclose such information.
Ohio Gov. John Kasich and Kentucky Gov. Steve Beshear will meet Dec. 12 in Covington to discuss a study funding the Brent Spence Bridge overhaul. Some, including Greater Cincinnati’s Port Authority, have pushed for tolls to help fund the bridge project, but northern Kentucky lawmakers are strongly against the idea. The bridge, which links downtown Cincinnati and Covington, has been under heavy scrutiny due to deteriorating conditions and over-capacity.
The city of Cincinnati and web-based SoMoLend are partnering to provide crowd funding to the city’s small businesses and startups. The partnership, which was approved by the Small Business Advisory Committee, is meant to encourage job and economic growth.
The Ohio Senate will rework a bill that revamps the school report card system. The bill seeks to enforce tougher standards on schools to put more pressure on improvement, but some Democrats have voiced concerns the new standards are too tough as the state replaces old standardized tests. A very early simulation from May showed Cincinnati Public Schools dropping from the second-best rating of “Effective” under the current system to a D-, with 23 schools flunking and Walnut Hills High School retaining its top mark with an A.
The Ohio House passed a bill banning Internet sweepstakes cafes, but it’s unsure whether the Ohio Senate will follow suit. State officials say the cafes are ripe for criminal activity.
More Ohioans are seeking help for gambling problems.
A bill seeking to curb duplicate lawsuits over on-the-job asbestos exposure has cleared the Ohio Senate. Proponents say the bill stops double-dipping from victims, but opponents say it will make legitimate claims all the more difficult.
The Ohio Supreme Court declared the Ohio Department of Natural Resources (ODNR) to be in contempt for not following a court order requiring the state agency to compensate 87 landowners in Mercer County for flood damage. As a result, ODNR must complete appraisals within 90 days and file all appropriation cases within 120 days.
We’re all going to die... eventually. Someday, the Milky Way will collide with the Andromeda Galaxy, and scientists want help in finding out more about the galaxy.
It was the first opportunity council members had to publicly question the budget’s architects. The proposed budget would cover the first half of 2013. The city is switching over to a fiscal year starting in July.
Many council members expressed concern over the plan to use $21 million from a proposed 30-year lease of the city’s parking meters, garages and lots to help close a $34 million budget deficit.
“It seems like … the city budget wins, but the citizens are losing,” said Councilman P.G. Sittenfeld.
City Manager Milton Dohoney said the parking facilities net Cincinnati about $7 million a year. That would equal out to about $210 million over 30 years.
Sittenfeld called into question the wisdom of leasing the facilities for an estimated $50 million and taking half of the profit, for an earnings of about $150 million over 30 years.
Other council members expressed concern that whoever leased the parking would hike rates, something Councilman Cecil Thomas dismissed.
“The market would dictate the rates that are charged,” he said.
Dohoney said a combination of cuts, savings, revenue, projected growth and one-time funding sources helped eliminate the $34 million deficit. He said a budget containing only cuts would result in the layoff of 344 city workers.
A slide show provided by the city showed that 802 positions had been cut since 2000.
Dohoney advocated eliminating the property tax rollback promised as part of the deal to build two new sports stadiums in 1996. He said it would bring in about $9 million a year. However council has had little appetite to allow any increase in taxes as the city recovers from the Great Recession. Property taxes make up about 6 percent of the budget fund used to pay most of the city's operating expenses.
The cuts proposed in the 2013 budget include eliminating
support for public access company Media Bridges, the Downtown and
Neighborhood Gateways Program, Juvenile Firesetter Program and Arts
It would also eliminate the Cincinnati Police Department’s Mounted Patrol, which covers downtown on horseback. Dohoney said that would allow Cincinnati Police Chief James Craig to redeploy those nine officers elsewhere. Dohoney said Craig had asked for a new recruit class of 50, but Dohoney requested 30. He said the additional nine from the horse patrol would bring that closer to 40.
Dohoney said he was also allowing 10 additional recruits to cover patrols of University Hospital, which is no longer going to use University of Cincinnati police starting Jan. 1.
He said the police department would also look for ways to save money by increasing the involvement of civilian members who could do things like take reports of non-injury car accidents.
Councilwoman Laure Quinlivan asked if the budgeteers had considered restructuring the police force to save money. She has long been a proponent of “right-sizing” the police and fire forces, saying staffing levels remain at a high while the city’s population is shrinking.
The proposed budget also includes investments in business groups that promote economic development, like the Port Authority, Greater Cincinnati Partnership, Film Commission and African American Chamber of Commerce.
Councilman Chris Seelbach praised Dohoney and his budget team, saying he saw Cincinnati as being better off than it had been six years ago. But he also said he’d like to see the administration focus on people who are barely getting by instead of businesses and developers.
“There is a focus on helping people make more money that are already making a lot of money,” Seelbach said. “Helping people that aren’t paying a lot of taxes still pay very little.”
Cincinnatians can weigh in on the budget in a public hearing Thursday evening at 6 p.m.
About 1 in 20 Cincinnatians, many of them in the wealthiest neighborhoods, pay less in taxes because their home renovations and constructions are subsidized by a local tax program. While the program benefits the wealthy, it also hits Cincinnati Public Schools and other local services through lost revenue. The tax abatement program aims to keep and attract residents and businesses by lowering the costs of moving and living in Cincinnati. Anastasia Mileham, spokeswoman for 3CDC, says the tax abatements helped revitalize Over-the-Rhine, for example. Others say the government is picking winners and losers and the abatement qualifications should be narrowed.
With hotel room bookings back to pre-recession levels, Source Cincinnati aims to sell Cincinnati’s offerings in arts, health care, entrepreneurism and anything else to attract new businesses and residents. The Cincinnati USA Convention and Visitors Bureau established the organization to reach out to national journalists and continue the local economic momentum built up in the past few years. “Successful cities are those that have good reputations,” Julie Calvert, interim executive director at Source Cincinnati, told The Cincinnati Enquirer. “Without reputation it’s difficult to get businesses to expand or relocate or get more conventions or draw young diverse talent to work for companies based here.”
The harsh winter weather this year pushed Cincinnati’s budget $5 million over, with nearly $3 million spent on salt, sand and chemicals alone. . The rest of the costs come through increased snow plowing shifts and other expenses to try to keep the roads clean. The extra costs just compound the city’s structurally imbalanced budget problems. The need for more road salt also comes despite Councilman Charlie Winburn’s attempts to undermine the city’s plans to stockpile and buy salt when it’s cheap.
Mayor John Cranley says the success of The Incline Public House in East Price Hill, which he helped develop, speaks to the pent-up demand for similar local businesses in neglected Cincinnati neighborhoods.
Less than a month remains to sign up for health insurance plans on HealthCare.gov.
The estimated 24,000 students who drop out of Ohio schools each year might cost themselves and the public hundreds of millions a year, according to the Alliance for Excellent Education.
Ohio Attorney General Mike DeWine says meth abuse has reached “epidemic” levels in the state.
Ohio gas prices continued to rise this week.
Developers say they have funding for the first phase of a Noah’s Ark replica coming to Williamstown, Ky.
There’s a Netflix hack that pauses a movie or TV show when the viewer falls email@example.com.
A coalition between Equality Ohio and other major LGBT groups on Friday officially declared it will not support a 2014 ballot initiative that would legalize same-sex marriage in the state. Instead, the coalition plans to continue education efforts and place the issue on the ballot in 2016. But FreedomOhio, the LGBT group currently leading the 2014 ballot initiative, plans to put the issue on the ballot this year with or without support from other groups. CityBeat covered the issue and conflict in further detail here.
The group heading Commons at Alaska, a permanent supportive housing project in Avondale, plans to hold monthly “good neighbor” meetings to address local concerns about the facility. The first meeting is scheduled at the Church of the Living God, located at 434 Forest Avenue, on Feb. 25 at 6 p.m. Some Avondale residents have lobbied against the facility out of fears it would weaken public safety, but a study of similar facilities in Columbus found areas with permanent supportive housing facilities saw the same or lower crime increases as demographically comparable areas. In January, a supermajority of City Council rejected Councilman Christopher Smitherman’s proposal to rescind the city’s support for the Avondale project.
Gov. John Kasich’s income tax proposal would disproportionately benefit Ohio’s wealthiest, an analysis from Policy Matters Ohio and the Institute on Taxation and Economic Policy found. Specifically, the proposal would on average cut taxes by $2 for the bottom 20 percent of Ohioans, $48 for the middle 20 percent and $2,515 for the top 1 percent. The proposal is typical for Ohio Republicans: They regularly push to lower taxes for the wealthy, even though research, including from the nonpartisan Congressional Research Service, finds tax cuts for the wealthy aren’t correlated with higher economic growth.
Mayor John Cranley says he wants Catholic Health Partners to locate its planned headquarters in Bond Hill.
A new Ohio law uncovered more than 250 high-volume dog breeders that previously went unregulated in the state. The new regulations aim to weed out bad, unsafe environments for high-volume dog breeding, but some animal advocates argue the rules don’t go far enough. CityBeat covered the new law in further detail here.
Democratic gubernatorial candidate Ed FitzGerald could face a longshot primary challenger in May. But the challenger, Larry Ealy of the Dayton area, still needs his signatures confirmed by the secretary of state to officially get on the ballot.Former Gov. Ted Strickland could run against U.S. Sen. Rob Portman in 2016, according to The Plain Dealer. Strickland cautioned it’s not an official announcement, but it’s not something he’s ruled out, either.
A bill that would make the Ohio Board of Education an
all-elected body appears to have died in the Ohio legislature.
Currently, the governor appoints nearly half of the board’s members. Some legislators argue the governor’s appointments make the body too political.
Science says white noise can help some people firstname.lastname@example.org.
A federal judge on Monday ordered Ohio authorities to recognize same-sex marriages on death certificates. Although the ruling was narrow, many advocates of gay marriage argue the merits of the judge’s decision indicate a broader problem with Ohio’s marriage laws following the U.S. Supreme Court’s historic ruling against a federal anti-gay marriage law. The judge’s ruling came just three days after another federal court struck down Utah’s same-sex marriage ban on similar constitutional grounds.
Gov. John Kasich’s plan to get Ohio’s economy moving again: more tax cuts. But the policy announcement — unsurprising, coming from a Republican — comes on the same year Ohio’s economy slowed down even after Kasich and the Republican legislature passed tax cuts that heavily favored the state’s wealthiest.
Believe in Cincinnati saved the streetcar, argues The Cincinnati Enquirer. The group was formed shortly after Mayor John Cranley won the November election and threatened to halt the $132.8 million streetcar project for good. But the threats inspired a groundswell of streetcar supporters, ranging from concerned businesses to residents. And before City Council agreed to continue the streetcar project, Believe in Cincinnati in just eight days gathered 11,300 petition signatures for a charter amendment restarting the project. CityBeat covered the group in its infancy here.
Cincinnati ranked No. 2 for highest child poverty out of 76 major U.S. cities in 2012, according to the Children’s Defense Fund (CDF). Cleveland and Toledo also made the unfortunate top five, CDF found.
Overtime pay at the Metropolitan Sewer District exceeded $2 million for the third consecutive year in a row, but the number falls below the accepted standard of less than 10 percent of total payroll. MSD Director Tony Parrott says overtime allows the agency to keep staffing numbers in check but still responsive to unexpected situations. Still, the overtime estimate arrives at a time Hamilton County commissioners are raising sewer and water rates to comply with federal mandates.
Cincinnati will tap into a state program for a major demolition blitz in 2014. The city plans to knock down 240 blighted and condemned buildings next year — far higher than the typical annual rate of 70.
Eight historic buildings in Cincinnati, including Memorial Hall, on Dec. 20 received roughly $6 million in state tax credits for projects totaling $71 million.
Rhinegeist Brewing plans to begin canning its craft beer in January.
Humans were getting the flu as far back as the year 1510, but it’s completely unknown if dinosaurs suffered from similar illnesses.
City Council’s Budget and Finance Committee on Monday unanimously agreed to allocate $20 million in capital funding for the $106 million interchange project at Martin Luther King Drive and Interstate 71.
The funding will be backed through property taxes, which, according to the city administration, will prevent the city from lowering property taxes in the future as originally planned.
Councilman P.G. Sittenfeld argued the focus should be on the project’s economic potential, not its possible impact on property taxes.
“If the city stopped spending money and stopped investing in things, indeed people’s taxes would go down, but I don’t think it’s a very fair frame to think about making this very important investment,” he said.
But Councilman Chris Seelbach said the public should know the full effects of the project.
“Believe me, I support this, and I support this through the property tax, but I just don’t want us to be able to pass this without saying what it is,” he said.
Council members said they support the interchange project because of the positive economic impact it will have on the uptown area, which includes the University of Cincinnati and surrounding hospitals.
According to a May 2012 study from the University of Cincinnati’s Economics Center, the project will produce 5,900 to 7,300 permanent jobs. The same study found the economic impact of the project will reach $133 million during construction and $750 million once the interchange opens, which would lead to higher tax revenues.
The city is carrying roughly one-fifth of the cost for the interchange project. The rest will be financed through the state and Ohio-Kentucky-Indiana Regional Council of Governments.
Streetcar Project Executive John Deatrick yesterday revealed that the city might only keep $7.5-$24.5 million if it cancels the $132.8 million streetcar project, after accounting for $32.8 million in sunk costs through November, a potential range of $30.6-$47.6 million in close-out costs and $44.9 million in lost federal grant money. But Mayor-elect John Cranley flatly denied the numbers because he claims the current city administration “is clearly biased toward the project and intent on defying the will of the voters.” Meanwhile, at least two of the potential swing votes — incoming council members David Mann and Kevin Flynn — showed skepticism toward the estimates, although Mann said, “If they do hold up, that’s fairly persuasive.” Three elected council members already support the streetcar project, so only two of the three potential swing votes would need to vote in favor of it to keep it going.
Ohio’s unemployment rate rose to 7.5 percent in October, up from 6.9 percent a year before. The state added only 27,200 jobs, which wasn’t enough to make up for the 31,000 newly unemployed throughout the past year. The numbers
paint a grim picture for a state economy that was once perceived as one of the
strongest coming out of the Great Recession. In comparison, the U.S.
unemployment rate actually decreased to 7.3 percent from 7.9 percent
between October 2012 and October 2013. (This paragraph was updated with the nonfarm numbers.)
The Ohio Department of Taxation (ODT) will repay $30 million plus interest to businesses that overpaid taxes throughout the past three years. The announcement came after Ohio Inspector General Randall Meyer found ODT had illegally withheld $294 million in overpayments over the years. Meyer’s findings were made through what was initially a probe into alleged theft at ODT.
Outgoing Councilwoman Laure Quinlivan could request an automatic recount because she came tenth out of the nine elected council members, right after Councilwoman-elect Amy Murray, by only 859 votes. But Quinlivan and Hamilton County Board of Elections Chairman Tim Burke agreed the recount would be a long-shot. Still, Quinlivan noted that a flip in the count could be a big deal because she supports the streetcar project and Murray opposes it.
Cincinnati Public Schools are trying to expand their recycling efforts.
Here is an interactive infographic of meat production in 2050.
Urban schools spend less on basic education for a typical student than previously assumed after accounting for the cost of poverty, according to a Nov. 19 report from three school advocacy groups. After weighing the extra cost of educating an impoverished student, the report finds major urban school districts lose more than 39 percent in per-pupil education spending and poor rural school districts lose nearly 24 percent, while wealthy suburban schools lose slightly more than 14 percent. In the report, Cincinnati Public Schools drop from a pre-weighted rank of No. 17 most per-pupil education funding out of 605 school districts in the state to No. 55, while Indian Hills Schools actually rise from No. 11 to No. 4.
An Ohio House committee approved sweeping gun legislation that would enact “stand your ground” in the state and automatically recognize concealed-carry licenses from other states. The “stand your ground” portion of the bill would remove a duty to retreat before using deadly force in self-defense in all areas in which a person is lawfully allowed; current Ohio law only removes the duty to retreat in a person’s home or vehicle. The proposal is particularly controversial following Trayvon Martin’s death to George Zimmerman in Florida, where a “stand your ground” law exists but supposedly played a minor role in the trial that let Zimmerman go free. To become law, the proposal still needs to make it through the full House, Senate and governor.
A state senator is proposing a sales-tax-free weekend for back-to-school shopping
to encourage a shot of spending in a stagnant economy and lure shoppers
from outside the state. Eighteen states have similar policies, but none
border Ohio, according to University of Cincinnati’s Economics Center.
Michael Jones of UC’s Economics Center says the idea is to use tax-free school supplies to lure out-of-state shoppers, who are then more likely to buy other items that aren’t tax exempt while they visit Ohio.
An Ohio Senate committee approved new limits on the Controlling Board, a seven-member legislative panel that has grown controversial following its approval of the federally funded Medicaid expansion despite disapproval from the Ohio legislature. Gov. John Kasich went through the Controlling Board after he failed to persuade his fellow Republicans in the legislature to back the expansion for much of the year. The proposal now must make it through the full Senate, House and governor to become law.
Cincinnati’s Metro bus service plans to adopt more routes similar to bus rapid transit (BRT) following the success of a new route established this year. Traditional BRT lines involve bus-only lanes, but Metro’s downsized version only makes less stops in a more straightforward route. CityBeat covered the lite BRT route in further detail here.
Cincinnati obtained a 90 out of 100 in the 2013 Municipal Equality Index from the Human Rights Campaign, giving the city a 13-point bump compared to 2012’s mixed score.
A bill approved by U.S. Congress last week could direct millions in federal research dollars to Cincinnati Children’s Hospital Medical Center.
A UC study found a higher minimum wage doesn’t lead to less crime.
Gov. Kasich will deliver UC’s commencement address this year.
The new owner of the Ingalls Building in downtown Cincinnati plans to convert some of the office space to condominiums.
Here are some images of the Cincinnati that never was.
Someone invented a hand-cranked GIF player.
Cincinnati’s State Sen. Bill Seitz says he will introduce a “compromise” bill that still weakens Ohio’s energy efficiency and renewable standards but allows some of the current requirements for in-state renewable sources to remain for a few years. Environmental and business groups argue Seitz’s original bill would effectively gut the state’s energy standards and, according to a study from Ohio State University and the Ohio Advanced Energy Economy, force Ohioans to pay an extra $3.65 billion in electricity bills over 12 years. But some utility companies, particularly Akron-based FirstEnergy, claim the current standards are too burdensome and impose extra costs on consumers.
Meanwhile, Ohioans on Nov. 16 rallied in front of the Ohio Statehouse to call on U.S. Sens. Sherrod Brown and Rob Portman to support federal regulations that would attempt to curtail human-caused global warming. The regulations are part of President Barack Obama’s second-term plan to limit carbon emissions from power plants, which Environment Ohio says are responsible for 41 percent of U.S. carbon emissions — a primary contributor to global warming. Although some conservatives deny human-caused global warming, scientists stated in the 2013 report from the Intergovernmental Panel on Climate Change that they are at least 95 percent certain that human actions contribute to global warming.
Hamilton County commissioners will vote on Wednesday on a plan that would increase the tax return received by property taxpayers. Republican Commissioner Greg Hartmann’s proposal would increase the rebate from $10 million to $12 million, or $35 for each $100,000 of property value in 2013 to $42 in 2014. But Democratic Commissioner Todd Portune, the lone Democrat in the three-member board, says he would rather focus on increasing the sales tax to make the stadium fund sustainable and not reliant on casino revenue, which could go to other investments.
Commissioners also agreed to not place a property tax levy renewal for the Cincinnati Museum Center on the ballot until there’s a plan to fix Union Terminal. The informal decision followed the recommendations of the Hamilton County’s Tax Levy Review Committee, which reported that it will only support the levy renewal if the city, county and museum develop a plan to transfer ownership of Union Terminal from the city to a new, to-be-formed entity and locate public and private funds to renovate and upkeep the terminal in a sustainable fashion.
Ohio Attorney General Mike DeWine announced on Monday that he’s forming a heroin unit to tackle what he describes as a drug epidemic sweeping across Ohio’s communities. The effort, which is estimated at $1 million, will focus on education, outreach and law enforcement. David Pepper, DeWine’s likely Democratic opponent for the attorney general position in 2014, argues DeWine, a Republican, moved too slowly on the issue; Pepper says the problem began in 2011, more than two years before DeWine’s proposal.
Cincinnati council members Charlie Winburn and Christopher Smitherman yesterday reiterated their opposition to the city’s responsible bidder policy, which requires bidders for Metropolitan Sewer District (MSD) work to follow specific standards for apprenticeship programs. The law has caused an impasse between the county, which owns MSD, and the city, which is in charge of management. The conflict comes in the middle of a federal mandate asking MSD to retrofit Cincinnati’s sewer system — a project that will cost $3.2 billion over 15 years. CityBeat covered the conflict in greater detail here.
Cincinnati’s Department of Public Services will expedite the delivery of bigger trash carts. The deliveries are part of Mayor Mark Mallory’s controversial trash policy, which limits each household to one trash cart that can be picked up by automated trucks in an effort to save money and avoid workers’ injuries. Mayor-elect John Cranley says the policy is too limiting and causing people to dump trash in public areas.
Cincinnati’s Metro is the most efficient bus service
compared to 11 peer cities, but it ranks in the middle of the pack when
it comes to level of service, according to a study from the University of Cincinnati Economics Center.
Metro plans to announce today that it will balance its operational
budget without fare increases or service cuts for the fourth year in a
For Thanksgiving Day, Metro will run on a holiday schedule. The sales office will also be closed for Thanksgiving and the day after.
Ohio will receive nearly $717,000
in a multi-state settlement involving Google, which supposedly overrode
some browsers’ settings to plant cookies that collect information for advertisements.
The U.S. Supreme Court yesterday disbarred Stan Chesley, which means the local attorney can no longer practice law in front of the nation’s highest court. The controversy surrounding Chesley began more than a decade ago when he was accused of misconduct for his involvement with a $200 million fen-phen diet-drug settlement.
Some organisms might evolve the ability to evolve.
JobsOhio, the state-funded privatized development agency, grants more tax credits around Columbus, the state capital, than anywhere else in the state. According to The Cincinnati Enquirer, the discrepancy might be driven by Columbus’ high growth rate and the city’s proximity to the state government, which could make Columbus officials more aware of tax-credit opportunities. But Hamilton County Commissioner Greg Hartmann also blames local governments in southwest Ohio for failing to act in unison with a concerted economic plan to bring in more tax credits and jobs.
Hartmann today plans to introduce a partial restoration of the property tax return that voters were promised when they approved a half-cent sales tax hike to build Great American Ball Park and Paul Brown Stadium. The return was reduced when there wasn’t enough money in the sales tax fund to pay for the stadiums last year, but there might be enough money now to give property taxpayers more of their money back. It was unclear as of Sunday how much money someone with a $100,000 home would get back under Hartmann’s plan.
Hamilton County’s Tax Levy Review Committee will recommend a tax levy for the Cincinnati Museum Center only if a few conditions are met, including transfer of ownership of the Union Terminal from the city to a new, to-be-formed entity and allocation of public and private funds to renovate and upkeep the terminal in a sustainable fashion.
City Council last week asked the city administration to find and allocate $30,000 for the winter shelter, which would put the shelter closer to the $75,000 it needs to remain open between mid-to-late December and February. The shelter currently estimates it’s at approximately $32,000, according to Josh Spring, executive director of the Greater Cincinnati Homeless Coalition. The city administration now needs to locate the money and turn the transaction into an ordinance that needs City Council approval and would make the allocation of funds official. To contribute to the winter shelter, go to tinyurl.com/WinterShelterCincinnati and type in “winter shelter” in the text box below “Designation (Optional)” before making a donation.
Defense contractor Lockheed Martin announced Thursday that it plans to cut about 500 jobs
in Akron, Ohio. State officials were apparently aware of the plan
in October but underestimated how quickly Lockheed Martin would carry
out the cuts. Ohio Democrats jumped on the opportunity to mock JobsOhio
for failing to move at the “speed of business,” as Republicans claim
only the privatized development agency can, to develop an incentive
package that could have kept Lockheed Martin in Akron. But state
officials say they were led to believe Lockheed Martin’s move would take
Intense storms and tornadoes swept across the Midwest over the weekend, killing at least six.
Ohio has issued a record-breaking amount of concealed-weapons licenses this year. The state issued 82,000 licenses in the first nine months of 2013, more than the 64,000 in 2012 that set the previous record. About 426,000 permits have been issued since the state began the program in 2004.
This week, Ohio gas prices jumped back up but remained lower than the national average.
Popular Science looks at how artificial meat could “save the world.”
The Ohio Department of Taxation this week released separate tax forms that will allow gay couples who live in the state but got married in another state to jointly file for taxes at the federal level. But because of Ohio’s constitutional ban on same-sex marriage, same-sex couples won’t be able to jointly file for taxes at the state or local level.
Although the move is being received as a step forward for Ohio’s gay couples, some LGBT groups say the discrepancy between different levels of government shows the need to push for marriage equality in Ohio.
Why Marriage Matters Ohio, which is trying to educate Ohioans on the benefits of same-sex marriage, pointed out the discrepancy in an emailed statement on Wednesday.
“This is why marriage equality matters in Ohio. This is why we’re working to build support for affording all Ohio families the protections and responsibilities that only marriage offers,” wrote Elyzabeth Holdford, executive director of Equality Ohio and board chair of Why Marriage Matters Ohio.
FreedomOhio, which is attempting to get same-sex marriage on the November 2014 ballot, also criticized the discrepancy on Thursday.
“While many will appreciate the extra tax benefits, this separate and unequal treatment of families is unfair, unequal and is not the treatment we seek,” said Ian James, co-founder of FreedomOhio, in a statement. “FreedomOhio is committed to bringing equal rights to all Ohioans.”
Beyond the issue of equal rights, allowing same-sex marriages in Ohio could generate economic activity. A study conducted by Bill LaFayette, founder of Regionomics, LLC, found marriage equality could produce $100-$126 million in economic growth within three years in the state and $8.2 million in the same time span in Hamilton County.
The new tax form for same-sex couples can be found here.
CityBeat yesterday revealed its endorsements for the City Council and mayoral races. Check them out here. Also, early voting is now underway. Find your voting location here. Normal voting hours are 8 a.m. to 4 p.m., although some days are extended.
JobsOhio and similar privatized development agencies in other states create scandals and potentials of conflicts of interests instead of jobs, according to an Oct. 23 report from Good Jobs First. The report found that privatized development agencies in seven states, including Ohio, tend to also exaggerate job claims and resist basic oversight. JobsOhio in particular is chaired by people who donated to Gov. John Kasich’s campaign. The agency also received public money without informing the legislature, and it gained a legal exemption from full public audits, public records laws and open meeting rules. Kasich and Republican legislators in 2011 established JobsOhio to replace the Ohio Department of Development. They argue JobsOhio’s privatized, secretive nature helps the agency establish job-creating development deals at the “speed of business.” But Democrats say JobsOhio is ripe for abuse, difficult to hold accountable and unclear in its results.
A bill that intends to bring uniformity to Ohio’s complex municipal income tax code got a makeover, but cities say the bill still reduces their revenues. Business groups are pushing for the bill so they can more easily work from city to city and county to county without dealing with a web of different forms and regulations, but cities are concerned they’ll lose as much as $2 million a year. Many cities already lost some state funding after Kasich and the Republican legislature slashed local government funding, which reduced revenues for Cincinnati in particular by $22.2 million in 2013, according to City Manager Milton Dohoney.
Opponents of Issue 4, the tea party-backed city charter amendment that would semi-privatize Cincinnati’s pension system, say it could force the city to cut services by 41 percent or raise taxes significantly. CityBeat analyzed the amendment in further detail here.
Converting Mercy Mt. Airy Hospital into a crime lab for the county coroner’s office could cost $21.5 million, well under the previously projected $56 million. Hamilton County Coroner Lakshmi Sammarco says it could be the most economical way for the county to get a crime lab, which the coroner’s office says it desperately needs. Hamilton County Administrator Christian Sigman says he’s still concerned about operating costs, but he’ll review the new estimates and advise county commissioners on how to proceed.
An Over-the-Rhine business owner says Cincinnati Center City Development Corp. (3CDC) “dropped the ball” with incentives for retail businesses, and he’s now looking to move his store, Joseph Williams Home, to the suburbs. Specifically, Fred Arrowood says 3CDC has done a lot to accommodate restaurants and bars, but it failed to live up to promises to attract and retain retail businesses. But 3CDC points to its own numbers: Spaces in OTR are currently leased in contracts with 20 businesses, 15 restaurants or bars and 14 soft goods retailers.
Cincinnati State and the University of Cincinnati yesterday signed an agreement that will make it easier for students with two-year degrees at Cincinnati State to get four-year degrees at UC.
The Cincinnati Enquirer hosted a City Council candidate forum yesterday. Find their coverage here.
Northeast Ohio Media: “Ohio abortion clinic closings likely to accelerate under new state regulations.” (CityBeat reported on the regulations, which were passed with the two-year state budget, here.)
Gov. Kasich and Ohio Sen. Rob Portman, two Republicans widely perceived as potential presidential candidates in 2016, don’t register even 1 percent of the vote in New Hampshire, a key primary state.
Cincinnati-based Omnicare agreed to pay $120 million to resolve a case involving alleged kickbacks and false claims, according to lawyers representing a whistleblower. The company says the settlement is not an admission of liability or wrongdoing.
Chef David Falk of Boca wrote a moving love letter to Cincinnati.
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.