Lawmakers cut water program, pass flat tax

SANDUSKY — State lawmakers slashed funding for Gov. Mike DeWine's signature effort to fight Lake Erie's harmful algal blooms, switched the state income tax to a flat tax and provided money for a new Cleveland Browns stadium. And that's only a few of the decisions made in a massive budget bill, covering two years, that lawmakers sent to Gov. Mike DeWine on Wednesday. The governor will sign the bill into law, but he also has the option to use a line-item veto to chop out provisions he doesn't like. The Register asked state Rep. D.J. Swearingen, R-Huron, to weigh in on what he liked and didn't like in the budget bill. "I liked that the property tax reform allowed local communities to have more of a say on property tax increases through the budget commission and local entities," Swearingen said. "I also like the concept around the flat tax. I think the funding for Lake Erie conservation efforts was good." He continued: "I wish the property tax reforms had been more substantive, and I've been told that that work will continue. I also think the income tax cuts could have been extended further. I did not support the funding for the Browns stadium. I feel like the fans of Cleveland deserve a better team before something like that can even be considered," he said. State Rep. Kellie Deeter, R-Norwalk, said the provisions she liked included property tax relief. According to Deeter's press release, schools that carry over more than 40% of their budget in unspent cash will have to give money back, saving Ohioans more than $2.5 billion in property taxes starting next year. "I was glad we were able to deliver meaningful property tax relief without hastily removing inside millage," Deeter said. "Doing so without any transition period would have left local governments without the time or tools to adjust — and could have jeopardized their ability to fund critical services like law enforcement, fire protection and schools," Deeter said. Deeter said she's also pleased the measure provides $3 million next year and $2.5 million the next year to the Children's Hunger Alliance, an organization that fights childhood hunger Here are some of the provisions of the budget bill: H2Ohio funding cut DeWine's H2Ohio program funds programs across Ohio to provide clean water, but much of the money is used to fight harmful algal blooms in Lake Erie. The governor had sought $270 million for the program in his budget proposal. He got $165 million in the final budget bill. The House cut the budget for the program to $150 million. Swearingen wanted to restore at least some of the cuts, so he was pleased that some of the cuts were restored when lawmakers settled on the $165 million figure. The Ohio Environmental Council said cuts of nearly 40% in H2Ohio are a bad policy decision. "Water quality is a staple of life for our drinking water, our recreation, and many Ohio Businesses. For six years, the H2Ohio program has protected waterways to safeguard Ohioans. The funding cuts in (House Bill) 96 deliver a devastating blow to Ohio's communities, threatening the very waterways they rely on for life, livelihood and future prosperity," said Pete Bucher, executive director of the Ohio Environmental Council Action Fund. Tax rates go flat The Ohio Senate prevailed in its push to change the state income tax to a flat tax, taxing all income above $26,000 at the same 2.75% rate. The Ohio chapter of Americans for Prosperity, a conservative group, applauded the change. In a news release, it described the new flat tax as "a pro-growth tax policy that simplifies the code, returns more money to Ohioans and makes the state more competitive." Policy Matters Ohio, a left-leaning think tank, said passage of the flat tax hands a huge tax break to Ohio's most wealthy citizens. In a news release, it referred to the flat tax as a "budget-busting $1.1 billion handout to those with six-figure incomes." Money for a Browns stadium The Cleveland Browns currently play in an outdoor stadium in downtown Cleveland. The new budget includes $600 million from the unclaimed funds trust to help the owner of the Browns build a new domed football stadium in Brook Park, near Cleveland Hopkins International Airport. That's the funding that Swearingen opposed, although apparently a majority of lawmakers favored the funding. A former Ohio attorney general, Marc Dann, and a former state representative, Jeffrey Crossman, have announced they are filing a lawsuit to try to block the funding, calling it an "unconscionable, unconstitutional and blatantly illegal confiscation of Ohioans' private property." No marijuana law changes, for now Lawmakers have talked for months about rewriting portions of a state law, approved by the voters, that legalized recreational cannabis for adult buyers in Ohio. But they adjourned for the summer on Wednesday without making any changes. Ohio House leaders said they were unable to reach an agreement with the Ohio Senate on many issues but said they will try again when lawmakers return in the fall.