0 Comments · Wednesday, December 5, 2012
The Hamilton County Board of Commissioners held a public meeting Dec. 3 to discuss options for balancing the stadium fund.
by German Lopez
12.04.2012
Mandel hires political workers, county will raise taxes, city faces privatization or layoffs
Republican Ohio Treasurer Josh Mandel is hiring political workers and friends at his job again.
His latest hires are Joe Aquilino, former campaign political director
to Mandel’s U.S. Senate campaign, and Jared Borg, former campaign
political coordinator. During the 2010 campaign for the state
treasurer’s office, Mandel said, “Unlike the current officeholder, I
will ensure that my staff is comprised of qualified financial
professionals — rather than political cronies and friends — and that
investment decisions are based on what is best for Ohioans.” Mandel’s
spokesperson defended the hires by touting the treasurer’s
accomplishments in office.
With a vote set for tomorrow, it’s still unsure how the Hamilton County Board of Commissioners will solve the stadium fund deficit, but it seems like both options require tax increases.
Commissioner Todd Portune, the lone Democrat on the board, proposed
increasing the sales tax by 0.25 percent. Board President Greg Hartmann,
a Republican, presented an alternative plan that reduces the property
tax rollback by 50 percent for two years, but he also said he’s not sure
how he’ll vote. Commissioner Chris Monzel, a Republican, says he
wants to find a plan that doesn’t raise taxes.
Either parking services are privatized or 344 city employees are laid off. That’s how City Manager Milton Dohoney Jr. framed budget talks to City Council yesterday.
The city has already made drastic cuts since 2000, laying off 802
employees. Dohoney also pushed for repealing the property tax rollback
promised as part of the stadium deal in 1996, but City Council does not
want to raise taxes in the middle of a slow economy. The fact is any form of austerity will be painful,
so City Council should be as cautious of spending cuts as tax hikes. A
public hearing on the budget will be held Thursday at 6 p.m.
The city of Cincinnati’s plan to buy Tower Place Mall and the adjacent Pogue’s Garage in downtown is moving forward.
The city offered to buy the mall and garage for $8.5 million in order
to spur economic development in the area. The parking garage and
half-empty mall are currently in foreclosure.
Cincinnati State is looking to expand.
The Horseshoe Casino has begun its final round of hiring. The casino is set to open in spring 2013. A Washington Post analysis found casinos bring jobs, but also crime, bankruptcy and suicide.
One year later, the Ohio Department of Natural Resources hasn’t followed up on a court order to compensate flooded landowners.
The State Controlling Board approved three programs
that will provide transitional housing and other services to the
homeless. As part of the initiative, Habitat for Humanity of Ohio will
receive $200,000, the Homeless Crisis Response Program will receive
$12,680,700 and the Supportive Housing Program will receive $9,807,600
from the Ohio Housing Trust Fund.Great numbers from November from auto companies could mean more hires.
The U.S. Supreme Court is delaying action on same-sex marriage. CityBeat covered gay marriage in Ohio and whether Ohioans are ready to embrace it in a Nov. 28 cover story.
A dissolving nanofabric could soon replace condoms for protecting against pregnancy and HIV.
by German Lopez
12.03.2012
Board president still unsure of how he'll vote; Portune's sales tax increase still on the table
The Hamilton County Board of Commissioners held a public
meeting today to discuss options for balancing the stadium fund. Commissioner
Todd Portune, the lone Democrat on the board, on Nov. 28 proposed a 0.25-percent sales tax hike. At the meeting, Board President Greg Hartmann, a Republican, suggested reducing the property tax rollback by 50 percent for two years, but he said he was unsure which way he would vote. Portune also gave ideas for possible adjustments to his sales tax proposal. He said commissioners could “sunset” the sales tax hike, essentially putting an expiration date on the tax increase. He also would like to see the sales tax hike reviewed on a regular basis to ensure taxpayers aren't being burdened longer than necessary. The idea behind possible time limits for both proposals is new revenues, perhaps from an improving economy or Cincinnati's new casino, could make changes unnecessary in the long term.If anything came from the meeting, it’s that none of the
commissioners like the position they’re in. Commissioner Chris Monzel, a Republican,
said he had been placed “between a rock and a hard place.” Hartmann
echoed Monzel, saying it was an “unenviable position.” Despite being the
one to propose the hike, Portune said, “We’re left with two
options that none of us like at all.”
Commissioners mostly
repeated previous arguments during most of the meeting. Hartmann continued saying he was unsure how
he would vote, but he said the two options presented are the only
options left. He called Portune's plan “bold.”
Portune claimed the sales tax hike was more equitable
because it spreads out the tax burden to anyone who spends money in Hamilton
County, including visitors from around the Tristate area. In contrast,
eliminating or reducing the property tax rollback would place the burden
of the stadium fund exclusively on residential property owners in
Hamilton County.The property tax rebate and sales taxes are both regressive, meaning they favor the wealthy more than the
poor. In simple terms, as income goes down, spending on goods and
services take bigger bites out of a person’s income. A sales tax makes
that disproportionate burden even larger.
One analysis from The Cincinnati Enquirer found
the wealthy made more money from the property tax rebate than
they were taxed by the half-cent sales tax raise that was originally
meant to support the stadium fund. For a previous story covering the stadium fund, Neil DeMause, a journalist who
chronicled his 15-year investigation of stadium deals in his book Field of Schemes, told CityBeat
the stadium fund’s problems stem from the county government making a
“terrible deal” with the Reds and Bengals.
Monzel said he will continue to try to find alternatives to raising taxes. On Nov. 28, Monzel told CityBeat
he would rather keep the stadium fund balanced for one year with
short-term cuts, including a cut on further investments in The Banks
development, before raising taxes. In the long term, Monzel says
commissioners could see if revenue from the new Horseshoe Casino and a
possible deal involving the University of Cincinnati using Paul Brown
Stadium would be enough to sustain the stadium fund.
The commissioners will vote on the proposals on Dec. 5.
by German Lopez
11.28.2012
Quarter cent increase to stabilize stadium fund, preserve property tax rebate
County Commissioner Todd Portune is proposing a 0.25 percent sales
tax hike to stabilize the stadium
fund and preserve the property tax rebate promised to voters in 1996.
The Hamilton County Board of Commissioners will have to approve the hike
before it becomes law. It would raise the county sales tax from 6.5 percent to 6.75 percent.
Portune, the lone Democrat on the three-man board, says the county got to this point after years of
problems with the stadium fund’s solvency culminated into one of two
options: either the sales tax goes up or the property tax rebate is
rolled back. He claims the two options are the only way to keep the stadium fund
stable.
Portune says the 0.25-percent increase on the sales tax will hurt
low-income families less than rolling back the property tax rebate. He
reasoned the impact of the
property tax rollback would focus on Hamilton County residents,
including low-income families, while any hike in the sales tax is spread
out on anyone who spends money in Hamilton County, including visitors
from around the Tristate area. He also pointed out that essentials like food and medicine
are exempt from the sales tax, which gives some relief to anyone trying
to make ends meet.On support from other commissioners, Portune says Board
President Greg Hartmann agreed either the rebate has to go or the sales
tax has to go up, but Hartmann could not be reached by CityBeat for further comment.
This story will be updated if comments become available.Update (Nov. 29, 4:25 p.m.): Hartmann called CityBeat after this story was published. He says he has not made a final decision, but he echoed Portune's comments by saying the
“reality of the situation” demands choosing between a sales tax hike or property tax rollback. If the commissioners take the latter option, Hartmann says only a partial rollback will be necessary to draw enough funds. He also cautioned that any one-time sales and spending cuts will not be enough to stabilize the stadium fund in the long term.
Commissioner Chris Monzel says he would rather keep the
stadium fund balanced for one year with short-term cuts, including a cut
on further investments in The Banks development before raising taxes. After the
year is up, Monzel says commissioners could see if revenue from the new
Horseshoe Casino and a possible deal involving the University of
Cincinnati using Paul Brown Stadium would be enough to sustain the
stadium fund in the long term.
The property tax rebate and sales taxes are both generally
considered regressive, meaning they favor the wealthy more than the
poor. In simple terms, as income goes down, spending on goods and
services take bigger bites out of a person’s income. A sales tax makes
that disproportionate burden even larger.
One analysis from The Cincinnati Enquirer found
the wealthy actually made more money from the property tax rebate than
they were taxed by the half-cent sales tax raise that was initially
meant to support the stadium fund.For a previous story covering the stadium fund, Neil DeMause told CityBeat
the stadium fund’s problems stem from the county government making a
“terrible deal” with the Reds and Bengals. DeMause is a journalist who
has chronicled his 15-year investigation of stadium deals in his book “Field of Schemes.”