by Nick Swartsell
11 days ago
Posted In: News
at 08:09 AM | Permalink
Proposal would lower property taxes and raise sales taxes, disproportionately affecting the low-income
Hamilton County’s tax structure could become more regressive next year if a new proposal to increase sales tax while decreasing property taxes is put into effect. A budget proposal by Hamilton County Administrator Christian Sigman unveiled Oct. 13 called for a .25 percent increase in sales taxes and a decrease in property taxes for the county. The decrease would amount to $38 for every $100,000 worth of property, meaning homeowners would generally see a wash or net savings on the deal while low-income and middle class residents pay more in taxes. Sigman says the budget represents a big
change in the way the county funds itself. The benefit of relying more
on sales tax, he says, is that it raises much more money from those who
live outside the county but buy things here. The budget proposal would
provide $210 million in 2015. That’s short of the $222 million needed by
county departments, but a big jump from the $200 million available
under the current budget. Democratic County Commissioner Todd Portune said the proposal was “bound to be controversial,” since sales taxes place a higher burden on the poor. Unlike income or property taxes, everyone pays the same sales tax rates regardless of income or assets. But lower income residents generally spend more of their money on necessities, including those subject to sales tax, meaning they end up paying a larger portion of their income in sales taxes. The bottom fifth of workers in Ohio, those making less than $17,000 a year, pay 7 percent of their income in sales taxes under the state’s current tax structure. Meanwhile, top earners, those making more than $138,000, pay as little as 1 percent in sales tax. And Ohio’s tax structure has gotten more regressive over the years due to cuts in the state’s income tax. At 6.75 percent, Hamilton County’s sales tax is about average for the state. Even if the .25 percent increase were to pass on the ballot in November, it would still be lower than other major cities in Ohio. Franklin County, where Columbus is located, has a 7.5 percent sales tax, and in Cuyahoga County, where Cleveland is, it’s 8 percent.The sales tax increase was first proposed last summer as part of a plan to renovate Music Hall and Union Terminal. Republican County Commissioners Greg Hartmann and Chris Monzel voted to strip Music Hall out of that plan, but the tax hike will be on the November ballot for Union Terminal. That hike could also be used to provide for a number of other county needs, including a proposed move for the county Board of Elections office from downtown to Mount Airy.Commissioners have not said whether they support the budget proposal.
0 Comments · Wednesday, September 17, 2014
As city leaders look to find ways to plug
a $4 million annual funding gap for the operation of Cincinnati’s
streetcar, a major backer of the transit project has proposed a way to
raise a good deal of the needed money.
0 Comments · Wednesday, July 9, 2014
The Coalition Opposed to Additional
Spending and Taxes (COAST) says it will fight Hamilton County
Commissioners’ proposed plans to raise either sales or property taxes to
help pay for renovations to Music Hall and Union Terminal.
by Rachel Podnar
at 01:45 PM | Permalink
New bill would save students and government money, but tax those with big bucks
something that homeowners, business and local governments can do that college
from buying alcohol, everyone else can refinance loans for lower interest rates. But at
a time when charges for borrowing money have hit nearly historic lows, students have been
locked into their older, higher rates. A new bill looks to remedy that and promises to not only pay for itself, but cut government spending.So,
students, graduates and budget hawks are happy, and everybody wins.
tricky part — paying for the program — is something called the
Fair Share Tax. The reduction in spending would come from the second part of the bill.
called “The Buffet Rule,” named after Warren Buffet and championed by Elizabeth
Warren, the tax mandates a minimum rate of 30 percent on those who bring in a
million dollars or more a year.
students loans without a refinancing option is a profitable business — the
government is set to take in $66 billion on interest alone from loans issued
between 2007-2013, according to the Government Accountability Office. Eliminating that money would have big budget implications. That's where the Fair Share Tax comes in.The
Banking on Students Emergency Loan Refinancing Act would allow those with
loans issued before August 9 last year to refinance at the rates passed in 2013 — 3.8 percent
for undergraduate loans.
including Sen. Sherrod Brown, are trying to gather support for the bill. Brown filed the bill with Massachusetts Sen. Elizabeth Warren.
Warren introduced the bill in the Senate on May 5. She, Brown and other Democrats will be pushing it in the
“Every dollar a current borrower pays
in interest is a dollar he or she can’t spend on a car, on a mortgage, or on
starting a small business,” Brown said in an email sent out on Thursday requesting signatures to support the bill.
So far, 36 senators have signed it.
year, Congress lowered the rate of new loans but left existing rates the
Those higher rates are drowning graduates, keeping them stuck in their parents' basements, Warren said on the Senate floor last month. “Make no mistake, this is an
emergency,” she said. “Student loan debt is exploding and it threatens the
stability of young people and the future of our economy.”
The Congressional Budget Office released a report on the bill Wednesday. The report found that lowering
the rates of outstanding loans would increase spending by $51 billion, but with the new tax thrown in, the bill would also
increase revenue by $72 billion between 2015-2019.
report said deficits could be reduced in the next 10 years by about $22
billion. Congressional Republicans are sure to oppose the tax increase, considering most have signed
Americans for Tax Reform’s taxpayer protection pledge to not raise taxes.
won’t be the first time congressional Republicans have opposed the proposed
tax. It was introduced in 2012 as the Paying a Fair Share Act and fell short of
the votes needed to leave the Senate.
the meantime, student loan debt totals $1.2 trillion, greater than all
outstanding credit card debt.
by German Lopez
Tax abatements benefit wealthy, group to market Cincinnati, winter raises city’s costs
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
. 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 asleep.Follow CityBeat on Twitter:• Main: @CityBeatCincy • News: @CityBeat_News • Music: @CityBeatMusic • German Lopez: @germanrlopezGot any news tips? Email them to email@example.com.
by German Lopez
Preschool could save money, domestic partner registry coming, mayor seeks inclusion
Universal preschool could save Cincinnati $48-$69.1
million in the first two to three years by ensuring children get through
school with less problems and costs to taxpayers, according to a
University of Cincinnati Economics Center study. The public benefits
echo findings in other cities and states, where studies found expanded
preschool programs generate benefit-cost ratios ranging from 4-to-1 to
16-to-1 for society at large. For Cincinnati and preschool advocates,
the question now is how the city could pay for universal preschool for
the city’s three- and four-year-olds. CityBeat covered universal preschool in further detail here.Cincinnati leaders intend to adopt a domestic partner
registry that would grant legal recognition to same-sex couples in the
city. Councilman Chris Seelbach’s office says the proposal would
particularly benefit gays and lesbians working at small businesses,
which often don’t have the resources to verify legally unrecognized
relationships. Seelbach’s office says the registry will have two major
requirements: Same-sex couples will need to pay a $45 fee and prove
strong financial interdependency. In a motion, the mayor and a
supermajority of City Council ask the city administration to structure a
plan that meets the criteria; Seelbach’s office expects the full
proposal to come back to council in the coming months.Mayor John Cranley plans to take a sweeping approach to
boosting minority inclusion in Cincinnati, including the establishment
of an Office of Minority Inclusion. The proposal from Cranley asks the
city administration to draft a plan for the office, benchmark inclusion
best practices and identify minority- and women-owned suppliers that
could reduce costs for the city. The proposal comes the week after
Cranley announced city contracting goals of 12 percent for women-owned
businesses and 15 percent for black-owned businesses.Ohio Secretary of State Jon Husted eliminated early voting
on Sundays with a directive issued yesterday. Husted’s directive is
just the latest effort from Republicans to reduce early
voting opportunities. Democrats say the Republican plans are voter suppression, while
Republicans argue the policies are needed to establish uniform early
voting hours across the state and save counties money on running
elections.The Butler County Common Pleas Court ruled Tuesday that
the village of New Miami must stop using speed cameras. Judge Michael
Sage voiced concerns about the administrative hearing process the
village used to allow motorists to protest or appeal tickets.Ohio officials expect to get 106,000 Medicaid applications through HealthCare.gov.The first shark ray pups born in captivity all died at the Newport Aquarium.
Rising home prices might lead to more babies for homeowners.Follow CityBeat on Twitter:• Main: @CityBeatCincy • News: @CityBeat_News • Music: @CityBeatMusic • German Lopez: @germanrlopezGot any news tips? Email them to firstname.lastname@example.org.
0 Comments · Wednesday, February 19, 2014
Gov. John Kasich’s income tax proposal would excessively favor Ohio’s wealthiest, an analysis from Policy Matters Ohio and the Institute on Taxation and Economic Policy found.
by German Lopez
LGBT groups debate timing, Avondale housing project advancing, Kasich tax cuts favor rich
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
Local policy explainers from the past week:• What Is Mayor John Cranley’s Parking Plan?• What Is Responsible Bidder?
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 sleep.Follow CityBeat on Twitter:• Main: @CityBeatCincy • News: @CityBeat_News • Music: @CityBeatMusic • German Lopez: @germanrlopezGot any news tips? Email them to email@example.com.
by German Lopez
Posted In: News
at 02:19 PM | Permalink
Proposal would let poor buy a slice of pizza, while top 1 percent could buy a trip to Italy
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.
by German Lopez
Another LGBT battle could reach court, Cranley crafts parking plan, fracking tax bill revised
A federal court in Cincinnati could soon decide whether
married same-sex parents should be recognized by Ohio on their
children’s birth certificates. Civil rights attorney Alphonse
Gerhardstein filed the lawsuit on behalf of four same-sex couples who
married outside the state and an adoption agency that helped one of the
couples adopt a child in Ohio. The lawsuit argues leaving one parent
unnamed perpetuates harmful social stigmas and potentially endangers a
child’s life by making it more difficult for a parent to get his child
help in case of emergencies. Although opponents of LGBT rights argue allowing gay couples to adopt hurts children, the research suggests widespread discrimination and same-sex parents’ limited rights are the real threats to gay couples’ sons and daughters.Mayor John Cranley is crafting a new plan to upgrade
Cincinnati’s parking system while retaining local control. Under the
drafted plan analyzed by The Business Courier, the Greater
Cincinnati Port Authority would issue $25 million in bonds backed by
parking revenues. To pay for the new costs, parking meter rates in
neighborhoods — but not downtown — would increase by 25 cents per hour
to 75 cents per hour, and the city would hire more officers to increase
enforcement. The new parking meters would take credit card payments, but
smartphone payments currently aren’t in the plan.A revised version of the Ohio House’s fracking tax bill
increases the severance tax on oil and gas companies but cuts the income
tax more and directs funding to areas most affected by the state’s oil
and gas boom. Fracking is a drilling technique in which millions of
gallons of water, sand and chemicals are pumped underground to unlock
oil and gas reserves. Following its widespread adoption, the United
States, including Ohio, began pumping out natural gas at record levels.
But critics worry the technique could pollute and contaminate
surrounding air and water resources. CityBeat covered fracking in greater detail here.As a result of the harsh winter, Cincinnati’s winter
shelter for the homeless has been extra busy this year. Some City
Council members appear to be considering a more standardized funding
plan for the shelter, which traditionally relies largely on private
funding.The Cincinnati Reds Opening Day Parade will take a slight detour this year to avoid streetcar construction.No surprise here: Ohio is among the worst states for funding transit projects.Cincinnati, Columbus and Cleveland want to know what it
would take to host the 2016 Republican National Convention, which will
name the GOP’s presidential candidate.Fixing food deserts alone won’t make people eat healthier, a new study found.A Los Angeles newscaster mixed up Samuel L. Jackson with Laurence Fishburne.Astronomers say they found the oldest known star in the
universe. At more than 13 billion years old, the star is about three
times the age of the Sun.Follow CityBeat on Twitter:• Main: @CityBeatCincy • News: @CityBeat_News • Music: @CityBeatMusic • German Lopez: @germanrlopezGot any news tips? Email them to firstname.lastname@example.org.