Ohio’s Budget Bill Featuring Browns Funding, LGBTQ+ Limits

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    In Columbus, Ohio, a significant two-year, $60 billion state budget has been forwarded to Republican Governor Mike DeWine for approval. Aiming for a tax system overhaul and major infrastructural investments, the budget includes elements like simplifying Ohio’s income tax and allocating $600 million for a new stadium for the Cleveland Browns. As the governor considers the proposal, he has the option to amend it with line-item vetoes until Monday.

    Republican State Senator George Lang characterized the budget as one of abundance. The proposal is being lauded by the GOP majority for providing $1 billion in income tax relief and steps to tackle Ohio’s property tax challenges. It also aims to reduce costs at administrative agencies and cut down on regulations, drawing parallels with previous government efficiency initiatives.

    Conversely, the unified opposition from Democrats, alongside a minority of Republicans, centers around concerns that the budget caters to the upper-income individuals while overlooking middle-class needs. Critics argue that adopting a flat tax model, described as part of a larger national “flat tax revolution,” disproportionately favors high-income earners and may strain local governments and community resources like libraries. One of the contentious points raised is the budget’s approach to education: although it promises a $3 billion uplift in funding over two years, opponents claim it still falls short by hundreds of millions for fully overhauling Ohio’s school funding model.

    A deeper dive into the budget reveals notable provisions like the allocation of $600 million for the Browns’ new domed stadium project in suburban Cleveland. In an effort to fund this, Governor DeWine had suggested increasing taxes on sports betting, but legislators opted to utilize a portion of Ohio’s $4.8 billion in unclaimed funds instead. The budget earmarks $1.7 billion from these unclaimed funds to establish the Ohio Cultural and Sports Facility Performance Grant Fund, with the Browns as its initial beneficiary. While the Cincinnati Bengals are not explicitly included in this budget allocation, the fund would enable future projects of a similar nature. The plan has faced intense criticism, particularly from Cleveland-area lawmakers, who see it as a handout to the Browns’ wealthy owners. If enacted, opponents, including some Democrats outside the state legislature, are considering legal action, citing concerns about improperly depleting unclaimed funds. However, these legal efforts face skepticism from the state’s Republican attorney general.

    On the fiscal front, a new single flat-tax rate of 2.75% is proposed to be phased in over two years for Ohioans earning over $26,050 annually, while those earning less will remain exempt. The shift aims to eliminate the 3.5% tax for those earning over $100,000 by 2026, potentially making Ohio the 15th state to adopt a flat tax model. Republicans advocate this measure as beneficial for working citizens and part of a broader strategy to cut the state’s tax burden, possibly abolishing income tax altogether. However, opponents warn that the lion’s share of benefits would go to the top 20% income earners.

    To address rising property taxes, especially those linked to public school funding, the budget mandates changes in how school districts handle surplus funds and limits their ability to introduce certain tax levies. Critics argue this penalizes districts that have responsibly managed their finances.

    In response to federal budget uncertainties, the budget includes a provision that would end Medicaid expansion if federal contributions drop below the 90% threshold, potentially impacting over 800,000 residents. This move has been criticized by Democrats for its potential to jeopardize health coverage.

    The proposed budget also tackles LGBTQ+ issues, controversially declaring that there are only two recognized genders. It restricts Medicaid funding for mental health services that support gender transition and prevents state funds from going to youth shelters endorsing such practices. Additionally, public libraries could be required to discreetly store children’s books discussing gender identity. 

    Republican Representative Gary Click expressed dissatisfaction over the necessity to legislate on such matters, reflecting his constituents’ views. Meanwhile, Senate Democratic Leader Nickie Antonio, a trailblazer as the state’s first openly gay legislative leader, criticized the proposal for marginalizing the LGBTQ+ community. She warned that these actions won’t erase their presence, emphasizing that their contributions are integral to communities across the state.