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Home > Blogs > Ohio politics > Archives > 2009 > April > 23 > Entry
Ohio House GOP leader warns of potential tax hike
Last week it was Republican state Auditor Mary Taylor playing a prophetess of doom on future state budgets. This week it’s Ohio House Minority Leader Bill Batchelder, the Medina Republican, playing a prophet.
Taylor last week projected that the state budget could face a shortfall as big as $8 billion by 2012, largely due to the federal stimulus dollars and other one-time money being used to prop up the budget proposed for 2010-2011.
Batchelder joined the chorus on Thursday, April 23, after receiving an analysis from the bipartisan Ohio Legislative Service Commission . The analysis, according to Batchelder, shows that a major tax increase- sales or income - would be needed for the 2012-2013 budget to compensate for the use of one-time funds in the 2010-2011 budget.
“This is just another example that the use of one-time monies to fund ongoing programs is dangerous to taxpayers as it creates a structural imbalance that will only put off and exacerbate our budget problems into the future,” Batchelder said in a press release.
Gov. Ted Strickland, not surprisingly, was having none of it. The governor doesn’t think the use of one-time money will force a tax hike, Amanda Wurst, Strickland’s spokeswoman, said in an e-mail.
“The governor believes that while tough choices may be required in future budgets, he has demonstrated these past two years that he is willing to make those difficult decisions to invest in job creation and maintain a fiscally responsible, balanced budget,” Wurst said.
The analysis was conducted by totaling the one-time money in the proposed budget and subtracting estimated natural tax growth. That left a shortfall of $4.29 billion.
The state sales tax would have to be raised from 5.5 percent to 7.2 percent or personal income tax rates would have to be hiked by 24 percent to raise that much, Batchelder said.
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By Lynn
April 28, 2009 11:33 AM | Link to this
“…he has demonstrated these past two years that he is willing to make those difficult decisions to invest in job creation and maintain a fiscally responsible, balanced budget.” Strickland has spoken, therefore, must be fact. Last 2 years there has been tremendous job growth in Ohio and we have a balanced budget. Yeah Ohio does not need stimulus money! There are jobs a plenty noone on unemployment. Alice and MSM must be so proud that Ohio is not in the red cause of Strickland creating jobs and being responsible with his budget for 2 years.By Alice
April 27, 2009 4:35 PM | Link to this
BIG SURPRISE. The Republicans are predicting disaster and are promoting fear if we don’t do as they say and adopt policies that have already proven to fail. They keep catering to their wingnut constituents no matter what the rest of the country or a majority of Americans think. It’s just more of the same.By jbuck
April 24, 2009 10:30 AM | Link to this
MVM, this article is talking STATE politics! What Wars did Taft start? Who did the Ohio National Guard Torture? Only statewide sex crimes i remember was Marc Dann a Democrat! So put away your Nancy Pelosi talking points. Which reminds me What did Nancy know about torture and when did she know it? hmmm 2002 briefing??? Anyway, just like I borrowed a student loan to help pay my everyday expenses while I am in school, I can’t budget next year using the same amount because it’s not there every year! Plain and simple, Dems need to quit being drunken sailors as was said earlier!By gozips
April 24, 2009 9:30 AM | Link to this
I think we have the professional incompetents in office now. taxing/fee increase Ted, trillion $ Obama incharge.Spend into prosperity?By Kasey
April 24, 2009 12:57 AM | Link to this
Wake up mwm…the only people passing this huge spending spree are dems. So, the only one’s responsible for tax hike are….DEMSBy HereItComes
April 24, 2009 12:40 AM | Link to this
Here we go - an article a few day ago spoke of Sringfield City Commissioners continuing the half-percent sales tax increase to 2012 - and they knew of the issue spoken in this article - then they will increase it again in 2012!!! Wake up people - who is kidding who - all this spending is going to BITE US TAXPAYERS in the near future - only those who don’t pay taxes think this spending is wonderful!!!By Barry
April 23, 2009 11:12 PM | Link to this
we need to reduce government spending, not find more ways to separate the marks from their money. you cannot tax your way to happiness, and the state cannot tax itself into prosperity. higher taxes just increase the suffering of the people who haven’t left yet,and higher spending leads to higher taxesBy Barry
April 23, 2009 11:07 PM | Link to this
bottom line is if the state of Ohio continues to spend like a drunken sailor the day after getting into port bad things are going to happen. What happened to the tobacco settlement money in Ohio? it got folded into the general fund and spent. now that it is gone the vampires need more blood to feed upon.By Barry
April 23, 2009 10:46 PM | Link to this
“the government that governs least governs best” not the government where people have discovered they can vote themselves money. we are going to be looking at bad days when the out of control spending from both parties comes back to bite us in the buttBy Barry
April 23, 2009 10:43 PM | Link to this
MWM did you take off your tinfoil hat before you posted that? Granted the repubs have screwed up with their out of control spending, but compared to the last hundred days they look like skinflint misers. a trillion dollars of all you can eat pork buffet on mice, magic trains, and other “party line things” that have been rightfully shut down over years pastBy mwm
April 23, 2009 5:40 PM | Link to this
The repubs have only one goal. To gain a majority. Their only problem is their lies and incompetence. They will continue their rants at the dems. And, will try to portray them as the “tax and spend party” When in fact, the repubs and neocons are awarded that honor, with their lie based wars, torture of people and sex crimes within their own organization.