Gov. John Kasich's income tax proposal would disproportionately favor 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 "may allow low-income Ohioans to buy a slice of pizza a year, on average," Policy Matters claims. "Middle-income Ohioans could purchase a cheap pizza maker. For the state's most affluent taxpayers, on average it would cover round-trip airfare for two to Italy, with some money left over to pay the hotel bill and buy some real Italian pizza."
Under the model, Kasich's proposal would cut Ohio's income tax rates across the board by 7 percent. The goal is to bring Ohio's top tax rate, which kicks in only for income above $208,500, under 5 percent, as the governor previously proposed.
Although a plurality of Americans oppose tax cuts for the wealthy, Kasich and other Republicans consistently push the tax cuts to help what they call "job creators." In the most recent state budget, Kasich and Republican legislators approved another series of across-the-board tax cuts that disproportionately benefited the state's wealthiest.
In the aftermath, economic indicators from conservative, liberal and nonpartisan analysts show Ohio's economy is consistently among the worst performers in the country.
The story is typical for Ohio: In 2005, the state cut income taxes across the board by 21 percent. Since then, Policy Matters found Ohio to be one of just a dozen states that actually lost jobs.
Other research backs up Policy Matters' findings. In a report analyzing tax cuts for the nation's wealthiest, the Congressional Research Service (CRS) found tax cuts for the wealthy aren't correlated with increased economic growth.
"There is not conclusive evidence, however, to substantiate a clear relationship between the 65-year steady reduction in the top tax rates and economic growth. Analysis of such data suggests the reduction in the top tax rates have had little association with saving, investment, or productivity growth," CRS concluded. "However, the top tax rate reductions appear to be associated with the increasing concentration of income at the top of the income distribution."
Meanwhile, Cincinnati's poorest continue to struggle in a vicious cycle of poverty that consumes about 34 percent of the city's population and more than half of the city's children. CityBeat covered poverty and its effects on Cincinnati in greater detail here.
Ohio was among various states in the nation that passed more abortion restrictions between 2011 and 2013 than the entire previous decade, according to the Guttmacher Institute.
Between 2011 and 2013, states passed 205 new restrictions on abortion. Between 2001 and 2010, states passed only 189 new restrictions.
The trend is unsurprising for Ohio, which the Guttmacher Institute says has been “hostile to abortion” since 2000, but the timeline shows a clear shift in state policies around the nation since the tea party rose to national prominence in 2010.
Ohio’s latest restrictions were passed last June by Ohio Republicans through the two-year state budget.
Among other restrictions, one measure forces doctors to perform an external ultrasound on a woman seeking an abortion and tell her if a heartbeat is detected and the statistical probability of the fetus making it to birth.
Ohio and Oklahoma were also the only states in 2013 to pass restrictions on federal funding for family planning providers, the Guttmacher Institute claims.
Abortion providers, including Planned Parenthood, insist they don’t use public funds for abortions, instead funding the procedure with the help of private contributions.
But Ohio Republicans, who predominantly oppose abortion rights, went through with the restrictions anyway, ultimately hitting some family planning service providers that don’t even offer abortions.
“Members of the House who have issues with Planned Parenthood have only issues with the abortion services,” Michael Dittoe, spokesperson for Ohio House Republicans, told CityBeat last June. “The rest of what Planned Parenthood provides, I imagine they have no issue with whatsoever.”
Ohio Democrats, particularly gubernatorial candidate Ed FitzGerald, have made their opposition to the anti-abortion measures part of their campaigns to unseat Gov. John Kasich and other Ohio Republicans who hold top executive positions in the state. But given the Guttmacher Institute’s timeline, reversing the trend could require a radical shift in the state government of the past 14 years.
For the first time since inauguration, Ohio Gov. John Kasich has a positive approval rating, but a plurality of registered voters say Kasich doesn’t deserve a second term. The Quinnipac University poll attributed the increase in Kasich’s approval rating to “high levels of satisfaction among Ohio voters with life in the Buckeye State.” About 42 percent of respondents approved of Kasich, while 35 percent disapproved. About 42 percent said Kasich doesn’t deserve a second term, while 36 percent said he does. The poll surveyed 1,165 registered voters with a margin of error of 2.9 percent.
Last night, Cincinnati held its final public hearing on City Manager Milton Dohoney’s proposed budget. About 40 people spoke during the meeting, with many voicing concern about Media Bridges funding, which CityBeat recently covered here. The budget has also come under scrutiny due to its privatization of parking services, but Dohoney says the choice is privatization or 344 layoffs.
Cincinnati plans to bolster its green building incentives. City officials are trying to amend the city’s Leadership in Energy and Environmental Design (LEED) standards to encourage higher levels of investment in green projects. Since LEED standards were first approved in 2009, they have been criticized for only offering strong incentives for lower levels of certification. The amendment seeks to make the higher levels of certification more appealing.
University Hospital is being renamed to the University of Cincinnati Medical Center.
An “anti-immigrant bill” proposed by Cincinnati’s Ohio Sen. Bill Seitz is not being received well by Innovation Ohio. S.B. 323 seeks to limit workers’ compensation to illegal immigrants, but the Ohio policy research group is not sure that’s a legitimate problem. The organization is also worried the bill will impose a regulatory burden on the Ohio Bureau of Workers’ Compensation and Ohio’s workers without providing extra funds and training to carry out the regulations.
Ohio is improving in its battle against human trafficking. The state earned a “C” and it was labeled “most improved” in a new report from the Polaris Project. But one state legislator wants to go further by placing tougher standards on “johns” participating in the sex trade. CityBeat previously wrote about the human trafficking problem in Ohio here.
The Ohio Tax Credit Authority approved enough credits to help create about 500 jobs in Greater Cincinnati.
Michigan may have recently passed its anti-union “right-to-work” law, but Gov. Kasich does not share a similar interest.
Kasich will announce his changes to the Ohio Turnpike Thursday and Friday. The governor says his proposed changes will unlock “greater wealth,” but critics are worried Kasich is about to sell off a major public asset.
Ohio Secretary of State Jon Husted is still defending his decisions during the lead-up the election. Husted has now become infamous nationwide due to his pre-election record, which CityBeat wrote about here.Even Jesus would be jealous. Science can now turn human urine into brain cells.
Gov. John Kasich has something to say to anyone waiting on federal funding to help fix their bridges (and while we're at it, any local governments who need funding for something other than food and water): Forget about it. During an interview with Enquirer editors and reporters yesterday,* Kasich said tolls are the best means for funding a new Brent Spence Bridge.
“I do not believe that a white charger is going to come galloping (from Washington) into Cincinnati with $2 billion in the saddlebags,” Kasich said. “So if that isn’t going to happen and all we do is delay, delay, delay and we push this thing out until 2036 ... holy cow!”
* CityBeat had a similar meeting scheduled but we forgot about it and weren't here at the time — sorry Kasich, we'll get ya next time!
Things are about to get weird in a Clermont County courtroom if David Krikorian and Chris Finney get their wish — to have Jean Schmidt on the witness stand on May 17. Finney, the attorney for Citizens Opposed to Additional Spending and Taxes (COAST), has been representing Krikorian, a former Democratic and independent candidate who unsuccessfully ran against Schmidt for Ohio's 2nd congressional district seat, has served Schmidt with a subpoena as part of Krikorian's lawsuit claiming a Schmidt lawsuit against Krikorian was frivolous. COAST's ghost-written blog posted commentary in February in response to accusations from Brad Wenstrup that Schmidt was using campaign funds to pay off legal fund debt from earlier campaign nonsense against Krikorian. Eastsiders mad.
Some high-level Procter & Gamble executives are getting the Bearcat Bounce out of Cincinnati, heading to Singapore where the company believes growth opportunities for its beauty care products are the highest. About 20 positions will be moved to the Singapore office during the next two years.
Does it matter that Mitt Romney might
have led a group of teenagers in a “pin that dude down and cut his
hair” prank during the '60s? The Nation says Obama's gay-marriage
announcement caught Romney off guard.
As expected, Obama's fundraiser at George Clooney's house raked in the dough, raising $15 million in one night.
British Prime Minister David Cameron only recently learned what LOL means in text-speak. The explanation occurred during witness testimony from Rebekah Brooks, the former head of Rupert Murdoch's the now-defunct News of the World. Brooks was forced to resign last year amid a phone-hacking scandal.
"He would sign them off 'DC' in the main," Brooks said, referring to Cameron's initials. "Occasionally he would sign them off 'LOL' — 'lots of love' — until I told him it meant 'laugh out loud,' and then he didn't sign them off [that way] anymore."
It was certainly an LOL moment during Brooks' testimony in a London courtroom Friday as part of a judicial inquiry into media ethics. But the disclosure also underscored the warm personal ties between the prime minister and Brooks, the former head of media baron Rupert Murdoch's British newspapers who was forced to resign in disgrace last summer.
Someone found a really old Mayan calendar, and it offers good news: It goes way beyond Dec, 12, 2012.
Major League Baseball phenom Bryce Harper is in town for a three-game series with his Washington Nationals. The 19-year-old was the No. 1 overall pick in 2010 and is the first superstar-caliber player to make it to the big leagues this quickly prompting comparisons to Ken Griffey, Jr. at that age. Here's the local spin about on freak outfielder coming to town for a weekend series against the Reds.
If three unscientific, online polls are any indication, Ohio Gov. John Kasich probably shouldn't make plans for a second term.
The Columbus Dispatch, The Cleveland Plain Dealer and Dayton's WRGT-TV (Channel 45) have each had polls asking people to rate Kasich's performance during his first 100 days in office and the results are overwhelming and the same: Most disapprove of his performance or give him an “F.”
The American Civil Liberties Union (ACLU) of Ohio on Sunday asked Gov. John Kasich to halt the death penalty across the state, following the botched execution of convicted killer Dennis McGuire that reportedly lasted 26 minutes.
McGuire’s prolonged execution, the longest since Ohio resumed capital punishment in 1999, was carried out on Jan. 16 with a new cocktail of drugs that had never been tried before in the United States. The use of the new drugs came about after Ohio ran out of its previous supplies.
With its letter, the ACLU joined other groups, including Ohioans to Stop Executions, in calling for an end or pause to state-sanctioned killing.
“This is not about Dennis McGuire, his terrible crimes, or the crimes of others who await execution on death row,” reads the ACLU letter. “It is about our duty as a society that sits in judgment of those who are convicted of crimes to treat them humanely and ensure their punishment does not violate the Constitution.”
The letter adds, “We are mere months away from new recommendations from the Ohio Supreme Court Taskforce on the Administration of the Death Penalty that could alter our system for the better. On the eve of monumental changes, along with increasing problems with lethal injection, is not now the time to step back and pause?”
McGuire’s family also announced on Friday it would file a lawsuit claiming his death constituted “cruel and unusual punishment.”
Five more people await execution in Ohio this year, according to the ACLU. It’s unclear whether the state will use the same cocktail of drugs following McGuire’s execution.
Gov. John Kasich is refusing to work with Obamacare. In a letter to the U.S. Department of Health and Human Services, the governor today declined to have the state government run its health insurance exchange. With the move, the federal government will be put in charge of managing Ohio’s exchange.
Exchanges are subsidized, heavily regulated insurance markets that will go into effect in 2014 as part of Obamacare. They are supposed to bring down costs by offering more transparent, open competition through a fair, regulated marketplace. As part of Obamacare, states have to decide by Dec. 14 whether they’ll manage the exchanges or let the federal government do it.
Conservatives were quick to praise Kasich's decision. Americans for Prosperity applauded the choice in a statement. The Buckeye Institute put up a blog post calling the move “the right decision for Ohio.” The Coalition Opposed to Additional Taxes and Spending (COAST) called the move the right choice.
At first, the choice seems like a contradiction for conservatives. After all, they’re the group that normally rails against a big federal government. Why let the federal government take over a new, major part of the health-care system? Rob Nichols, Kasich’s spokesperson, justified the decision in a statement: “Ohio would have no flexibility to shape an exchange to our needs and its costs will be so high that it just doesn’t make sense for the state to operate a health exchange under Obamacare.” In other words, even if the state managed the exchanges, it would still have to answer to the federal government.
In his letter, Kasich also stated Ohio will not give up its right to regulate the insurance market. So the federal government will have the final say on exchanges, but Kasich wants to keep the rest of the market under state regulatory control. The state will also keep control over deciding Medicaid and Children’s Health Insurance Plan (CHIP) eligibility.
Ohio is not alone in declining to supervise exchanges. Other states have signed off on letting the federal government manage them, including Florida and Texas.
Still, Republicans may want to proceed cautiously. Recent polling has shown that support for repealing Obamacare has massively dropped. That shift could reflect reality catching up to public opinion. Republicans tend to rail against Obamacare by saying it’s too expensive, but a Congressional Budget Office report found repealing Obamacare would increase the deficit by $109 billion between 2013 and 2022.
Gov. John Kasich’s school funding plan may not be so progressive after all. In his initial announcement, Kasich promised the program will be more progressive by raising funding to poorer schools, but this fact from StateImpact Ohio seems to contradict that claim: “Under the projections released by the state, a suburban district like Olentangy that has about $192,000 of property value per student would get a more than three-fold increase in state funding. Meanwhile, Noble Local, a small rural district with about $164,000 of property wealth per student sees no increase in state funding.” The Toledo Blade found Kasich’s education plan favors suburban schools. The Akron Beacon Journal pulled numbers that show rich, growing school districts will do fine under the plan. According to The Columbus Dispatch, 60 percent of Ohio schools will not see increases in funding from Kasich’s plan.
The Ohio Department of Transportation is now shying away from statutory guarantees for northern Ohio in the Ohio Turnpike plan. Originally, Kasich promised 90 percent of Ohio Turnpike funds will remain in northern Ohio, albeit with a fairly vague definition of northern Ohio. Now, even that vague 90 percent doesn’t seem to be sticking around. But the plan would still be a massive job-creating infrastructure initiative for the entire state. The Ohio Turnpike runs along northern Ohio, so changes to fees and the road affect people living north the most.
WLWT published a thinly veiled criticism of local teacher
salaries. The article pointed out Cincinnati Public Schools (CPS) pays
45 of its employees more than $100,000 a year.
Of those people, 42 are administrators and three are teachers. In
comparison, the highest paid Cleveland school teacher makes $86,000. The
article also glances over the fact CPS is “the number one urban-rated
school district in the state” to point out the school district is still
lacking in a few categories. As CPS Board President Eileen Reed points
out, a school district needs to attract better educators with higher
salaries if it wants to improve. Paying teachers less because the school
district is performing worse would only put schools in a downward
spiral as hiring standards drop alongside the quality of education.
County commissioners seem supportive of Kasich’s budget. Republican commissioners Chris Monzel and Greg Hartmann said the budget could be “revolutionary” by changing how county governments work. Democratic Commissioner Todd Portune highlighted the Medicaid expansion in the budget. As “revolutionary” as the budget could be, it’s not enough to make up for Ohio and Kasich’s troubled past.
Cincinnati Children’s Hospital was ranked the third best pediatric hospital in the United States by Parents magazine.
The Ohio-Kentucky-Indiana Regional Council of Governments is looking for comments on updating the region’s bike map. Anyone who wants a say should leave a comment here.
The upcoming Horseshoe Casino is partnering up with local hotels to offer a free shuttle service that will seamlessly carry visitors around town.
One courageous grandma stood up to an anti-gay pastor. During a sermon, the pastor outed a gay high school student and told everyone they would "work together to address this problem of homosexuality." At that point, the grandma snapped at the pastor, “There are a lot of problems here, and him being gay is not one of them.” She then apologized to the boy and walked out.
Music has a lot of effects on the brain. Here is an infographic that shows them.
Bonus science news: Earth-like planets could be closer than most people think.
Vice Mayor Roxanne Qualls is asking the city administration to complete construction of the streetcar in time for the 2015 Major League Baseball All-Star Game, which will be hosted in Cincinnati. A letter from Qualls to City Manager Milton Dohoney and Mayor Mark Mallory explains her reasoning: “This may present a challenge, but it is one I am sure the administration is capable of meeting. The streetcar will serve a critical role in efficiently and effectively moving visitors to and from Great American Ballpark and allowing them to conveniently visit other venues such as Fountain Square, Horseshoe Casino, Over-the-Rhine, Washington Park, etc.” CityBeat covered the streetcar’s delays and how the project relates to the 2013 mayor’s race here.
Gov. John Kasich will reveal his plan for funding Ohio schools today. The plan is expected to include a $300 million “innovation fund” to support school initiatives that improve teaching and learning. In a previous interview, Rob Nichols, Kasich’s spokesperson, explained the troubles of establishing a plan: “Many governors have tried before. Many states have been sued over their formulas. It’s something we have to take our time with and get it done right.”
City Council passed a resolution urging Kasich to expand Medicaid. Qualls explained the need for the resolution: “Expanding Medicaid will create a net savings to the state over time, allow the City’s health department to improve access to health services at lower costs, and most importantly, provide health care coverage for thousands of Cincinnati residents who need it most.” A study from the Health Policy Institute of Ohio found a Medicaid expansion would save the state money for the first few years. Previous studies also found correlations between improved health results in states and a Medicaid expansion, and a study from the Arkansas Department of Human Services claimed Arkansas would save $378 million by 2025 with the Medicaid expansion.
A new report found poverty is increasing in Ohio. About one in six Ohioans are below the federal poverty line, according to the Ohio Association of Community Action Agencies report.
About $100 million in development downtown is kicking off today. City officials and business leaders are gathering for the groundbreaking this morning of a lot at Fifth and Race streets that has idled for nearly 30 years. The lot will host the new four-story headquarters for DunnhumbyUSA.
Kasich says Ohio will continue taking Ky. jobs in the future. The rough words are Kasich's interesting approach to encouraging Ky. legislators to support the Brent Spence Bridge project.
Ohio Attorney General Mike DeWine issued a scam alert telling businesses to be wary of emails claiming to be from the Federal Trade Commission or FTC.
Miami University broke its application record.
A Wright State professor saved Cincinnati-based Kroger more than $170 million with his work on more accurate pharmaceutical predictions. The professor, Xinhui Zhang, is now one of the six finalists worldwide for the Franz Edelman Award.
Ohioans now have a phone number to report cases of child abuse or neglect: 855-O-H-CHILD, or 855-642-4453. Reports can be anonymous.
Humanity is one step closer to the inevitable robot apocalypse. GE's hospital robot can sort scalpels, sterilize tools and prepare operating rooms for surgery.
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: