Dan Whitten, a vice president at America’s Natural Gas Alliance, a Washington-based trade group, had already expressed opposition to the idea, on March 8 telling Bloomberg in an email: “Natural-gas production is a capital-intensive undertaking and we believe generally that fees should be directed to communities where we work, with careful consideration of the possible direct jobs impacts.”
Other trade organizations today spoke out against the increased tax rates, as they would prefer to take all the energy out of Ohio’s land and not pay higher taxes.
Thomas Steward, executive vice president of the Ohio Oil and Gas Association, told The Cleveland Plain Dealer that his organization will fight the tax increase when the plan goes before lawmakers.
"This sounds like something that would have come from the left," Steward said.
Among the methods of extracting the natural gas is a controversial process called fracking, which involves blasting pressurized slurries of water, chemicals and sand into ancient shale formations, thousands of feet below ground. CityBeat reported on Jan. 24 that 43 households have filed a class-action lawsuit in response various environmental hazards allegedly caused by fracking in Geauga County, Ohio. From the story:
Fracking in Ohio is booming rapidly, thanks in part to the barely tapped potential of the vast Utica Shale, a gassy, 445-million-year-old rock formation that lies beneath a third of the state, at a depth of around 7,000 feet. Until last year, only three permits had been granted for horizontal drilling into the Utica, but in 2011 the number exceeded 40.
In 2004 Ohio’s State Legislature repealed the abilities of elected local governments to regulate or refuse gas drilling, instead handing full authority to the industry-friendly Ohio Department of Natural Resources (ODNR). In 2005, the U.S. Congress ruled to exempt fracking from regulation under the Safe Drinking Water Act.
The gas extraction
process has been found to be so environmentally detrimental that
France and Bulgaria have banned the practice in their countries. New
Jersey is the only U.S. state where it is banned. CityBeat in
January reported that State Rep. Denise Driehaus (D-Price Hill) had
sponsored one of three state bills that would tighten fracking
regulations and Rep. Robert Hagan (D-Youngstown) introduced a bill to
put a moratorium on wastewater injection.
Kasich’s interest in reducing income taxes comes one year after his two-year budget cost counties, municipalities and townships $167.1 million, according the The Columbus Dispatch, which described the plan’s impact on the state in the following manner: “Kasich's budget slashes aid to local governments: Tuition hikes limited to 3.5% for higher education.”
Ohio’s budget deficit was $8 billion when Kasich offered his 2011 budget, which his administration said would save $1.4 billion through reform measures that included reduced funding for social service programs such as the health and developmental disability departments.
Despite the still existing state budget deficit, Kasich wants to reduce income taxes, even though his spokesman Scott Milburn proudly told Bloomberg that, “the governor has already cut taxes by more than $800 million.”
Gov. John Kasich says he wants to slow down Attorney General Mike DeWine’s facial recognition program and work with the Ohio legislature to review if changes are necessary.
“I am concerned about the level of government knowledge about everything about us. I have concerns about the NSA. I have concerns about not using the FISA court. I have concerns about an overzealous group of people that are violating their own rules that have been established,” Kasich told reporters today. “When it comes to this issue, there’s value in it, but I want to slow down and get this right.”
The governor’s comments linked the facial recognition program to federal surveillance programs like the NSA and FISA, which have come under scrutiny in the past few months after leaks unveiled broader snooping and data collection of Americans’ private communications than previously expected.
Kasich said he understands the tools provided by the facial recognition program could be valuable to law enforcement and security, but he added that he wants to ensure people’s rights are being protected.
“When people say I have nothing to hide, that in and of itself, as Peggy Noonan says, begins to erode the First Amendment,” he said. “You begin worrying about what you say because somebody’s watching you.”
The facial recognition program 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.
Shortly after the plan was announced, the American Civil Liberties Union asked DeWine to shut down the program until proper protocols were put in place to protect Ohioans’ rights to privacy.
The program was in place for more than two months and used for 2,677 searches before it was unveiled to the public. In that time span, the program wasn’t reviewed by an outside group.
On Thursday, DeWine appointed a group of judges, law enforcement and prosecutors to review the program’s protocols. The panel has 60 days to come up with recommendations.
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.
Ohio Democrats are moving to sue the state if it continues blocking access to texts from State Board of Education President Debe Terhar, a Republican from Cincinnati. The school board leader has been facing criticism for making a Facebook post that compared President Barack Obama to Adolf Hitler. The post was a picture with the caption, “Never forget what this tyrant said: ‘To conquer a nation, first disarm its citizens.’ — Adolf Hitler.” There is no historical evidence Hitler made that quote.
Despite ongoing litigation questioning its constitutionality, JobsOhio intends to move ahead with plans to sell liquor-backed bonds. The Supreme Court agreed to take up ProgressOhio’s challenge of JobsOhio last week. JobsOhio is a nonprofit private agency set up by Gov. John Kasich to drive economic growth, but bipartisan questions have surrounded its legality and constitutionality since its conception.
Hamilton County Board of Commissioners President Chris Monzel wants to change the county’s mission statement. His proposed changes would remove references to equity and add conservative language about the county government living within its means. The county is already required to balance its budget.
Ohio State University expects to save nearly $1 million a year due to wind power. The university signed a 20-year agreement in October to buy 50 megawatts annually from Blue Creek Wind Farm, the state’s largest commercial wind farm.
The city of Cincinnati is tearing down hundreds of blighted houses. The demolitions, which are being funded by a grant, are meant to make neighborhoods safer.
A Cleveland man was the first to benefit from a law that expedites payouts to those who were wrongfully imprisoned. After being imprisoned for 16 years, Darrell Houston will receive a partial judgment of nearly $380,000.
The Ohio Department of Transportation is looking at removing 34 positions. One of the potentially affected jobs is a counselor position that helped apprehend a man suspected of kidnapping two teenaged girls.
Ohio may soon require the replacement of old license plates.
The Ohio Tax Credit Authority is assisting eleven companies in investing more than $51 million across Ohio. In Hamilton County, Jedson Engineering will spend an additional $2.8 million to create 30 full-time jobs.
StateImpact Ohio has an in-depth look at Nate DeRolph, one of the leaders in school funding equality.
A new gun shoots criminals with DNA tags, which lets cops return to a suspect during less confrontational times. The guns will be particularly useful during riots, when attempting an arrest can result in injuries.
Happy Election Day! It looks like SB 5 is headed for a big defeat even though Gov. Kasich last night told a bunch of East Side Tea Partiers how cool it would be if Issue 2 passed, while a union representative told opponents of the bill that it was about to get “shoved down the throats of John Kasich and the Republicans.”
The Hamilton County Administrator yesterday said “sorry homeowners, but our stadium deficit will not allow us to offer the tax credit Republicans said would make up for your part of the stadium sales tax.” Commissioners Todd Portune and Chris Monzel today said they're going to include the credit even though they don't know how yet. Hopefully they can figure it out soon so they can work on adding public housing to the suburbs before the county gets sued by the Feds.
Despite Gov. John Kasich’s claims to the contrary, the only miracle in Ohio’s economy might be how bad the state is doing compared to the rest of the nation.
The proof: Ohio’s economy was among just two states in the
nation that actually worsened during September through November compared to August through October, according
to the research department at the Federal Reserve Bank of Philadelphia.
Beyond Ohio’s borders, Alaska also worsened, two states remained stable and the rest of the nation moved in a generally positive direction.
In other words, while 46 states’ economies moved in a generally positive direction, Ohio actually got worse.
The measures come from the State Coincident Index issued by the Federal Reserve Bank of Philadelphia every month. The index combines several economic indicators to gauge the condition of each state’s economy. The research department then gauges whether the index improved or worsened after the latest month’s data is taken into account.
With the gubernatorial election now less than one year away, the sorry state of Ohio’s economy could prove a bad sign for Gov. Kasich’s re-election.
Kasich, a Republican, came into office as Ohio’s economy began dashing out of the Great Recession stronger than most of the nation — a trend Kasich took to calling the “Ohio miracle.”
Ed FitzGerald, Kasich’s likely Democratic challenger, has criticized the claim in the past few months as Ohio’s economy showed more signs of worsening despite Kasich’s promises that his policies would keep the state in the right direction.
One of those policies was privatizing Ohio’s development agency and effectively turning it into JobsOhio. In less than three years, the agency has been riddled in multiple scandals following accusations from Democrats that the JobsOhio board hosts various conflicts of interests and lacks transparency when recommending who should get state tax credits.
Kasich also pushed and approved an across-the-board income tax cut earlier in 2013 through the two-year state budget. But because the income tax cut came with a sales tax hike, left-leaning think tank Policy Matters Ohio found Kasich’s tax cut heavily favors the wealthy, which calls into question whether the tax cut will actually help Ohio’s middle class or economy.
For FitzGerald and other Democrats, the challenge is advocating a progressive agenda that stands in contrast to Kasich’s policies. Although they have plenty of criticisms, it remains unclear what Democrats could do if — as looks almost certain — Republicans continue to hold Ohio’s legislative chambers.
Then there’s the question of whether state policies matter much, if at all. Economists generally agree that state officials tend to dramatize the economic impact of their policies when much bigger factors are at play, particularly as globalization reshapes the national and global economies.
For now, one thing is clear: Kasich’s policies haven’t been enough to turn around Ohio’s sinking economy throughout the past three months.
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.”
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.
Gov. John Kasich says he’s cutting everyone’s taxes in his 2014-2015 budget, but an analysis released Thursday found the plan is actually raising taxes for the poor and middle class. The Policy Matters Ohio report reveals the poorest Ohioans will see a tax increase of $63 from Kasich’s budget plan, while the top 1 percent will see a tax decrease of $10,369.
For the poorest Ohioans, the new tax burden comes through the sales tax. On average, the bottom 20 percent of the income ladder will have their income taxes reduced by $8, but the sales tax plan will actually increase their average sales tax burden by $71.
The middle 20 percent fares slightly better. Under the budget proposal, they will get
a $157 income tax cut on average, but their sales tax burden will go up by
$165 — meaning they'll end up paying $8 more in taxes.
The top 1 percent get the most out of Kasich’s tax plan.
Their income taxes will be reduced by a whopping $11,150. The top 1 percent
do see the highest sales tax increase at $781, but it’s nowhere near
enough to make up for the massive income tax cut.
Kasich says his budget is all about creating jobs and spurring the economy, but the regressive tax system defies economic research. A previous analysis from the Congressional Budget
Office (CBO), which measures the budgetary and economic impact of
federal policy, found
letting tax cuts expire on the wealthy would barely dent the economy. The same report also found the economy greatly benefits from tax and social welfare programs that
disproportionately benefit the lower and middle classes.
Another report from the Congressional Research Service (CRS) also concluded tax hikes on the rich would have negligible economic impact. The findings made national Republicans so angry that they pressured CRS to pull the report. CRS later re-released the study — except this time it had nicer language to appease politicians that can’t handle reality.
Kasich’s plan proposes cutting the state income tax by 20 percent across the board and lowering the sales tax from 5.5 percent to 5 percent. To pay for the cuts, the proposal broadens the sales tax so it applies to additional services — including cable TV services, coin-operated video games and admission to sports events and amusement parks — while keeping exemptions for education, health care, rent and residential utilities.
For more analysis of Kasich’s budget, check out CityBeat’s other coverage:
Former Ohio governor Ted Strickland will not run for governor in 2014. In a statement released today, the Democrat who previously served four years as governor did not give a reason for why he won’t run. But he did promise his wife and him will “continue to be politically active private citizens.” Strickland also touted his accomplishments as governor, including energy, health care, social services and property tax reform. In September, Strickland faced criticism from the left for pushing for the Democratic platform to include a mention of God and a proclamation that Jerusalem is the capital of Israel. The platform amendment contradicts decades of U.S. foreign policy.
Hamilton County wants an efficiency review of the Metropolitan Sewer District. Republican Commissioner Chris Monzel ordered the review. He says he expects “things at the Metropolitan Sewer District are being managed and operated in a highly efficient and effective manner,” but he wants to make sure. MSD is currently taking part in a multi-billion dollar, federally mandated upgraded system. CityBeat wrote about MSD’s green initiatives here.
Findlay Market might soon host Cincinnati’s first freestanding restroom. If it goes well, it could be the start of a much bigger city-wide project, and freestanding restrooms will be built all around downtown and Over-the-Rhine. The test facility is being touted by Councilman Chris Seelbach and other city officials as they seek to provide better access to restrooms throughout the city.
Rep. Peter Beck, a Republican from Mason, is facing a possible ethics investigation from the Ohio House of Representatives. The controversy was prompted by a recently filed lawsuit, which alleges Beck participated in a fraud that cheated investors out of more than $1.2 million.
Some local educators are supporting the use of seclusion rooms in Ohio. The rooms, which are enclosed spaces used to calm or restrain children who become violent, have come under criticism after an investigation from StateImpact Ohio and The Columbus Dispatch found the rooms were being abused for the convenience of staff. Ohio does not currently regulate the use of seclusion rooms, but that is likely to change in an upcoming Ohio Board of Education meeting.
On the bright side, Ohio has the 10th best education laws, according to a study from StudentsFirst. Overall, Ohio got a C-, making it one of the 12 states to get a B or C. No state received an A. StateImpact Ohio has more on the grade here. State officials probably understand how I felt when I dropped out of a college history class because the professor was too strict of a grader. Then again, state education systems are probably more important than Colonial History 101.
The Blue Wisp, home of the greatest spinach-and-artichoke dip in the universe, is looking to renegotiate its lease. Over the holidays, restaurant hero and Blue Wisp manager Ed Felson told customers his jazz-themed restaurant and club is having financial problems.
The most emailed phrase while committing fraud at work is “cover up.”
One major problem with prolonged space missions: Humans become lazy and sleepy. It seems like being an astronaut isn’t different from any other job. Who can we rely on when aliens finally invade?