The state’s budget bill, signed by Gov. Mike DeWine earlier this month, allows county commissions to create their own Homestead Exemption and Owner Occupancy Credit programs.
These so-called “piggyback” programs would double the savings offered to qualifying homeowners in participating counties, with that inclusion ultimately being up to the county board of commissioners.
| Jurisdiction | Homestead Exemption | Owner Occupancy Credit | Total |
|---|---|---|---|
| MONTGOMERY COUNTY HUMAN SERVICES | $2,719,000 | $1,508,000 | $4,226,000 |
| CENTERVILLE CSD | $1,676,000 | $1,432,000 | $3,108,000 |
| DAYTON CSD | $2,294,000 | $662,000 | $2,956,000 |
| KETTERING CSD | $1,514,000 | $943,000 | $2,457,000 |
| HUBER HEIGHTS CSD | $873,000 | $553,000 | $1,427,000 |
| NORTHMONT CSD | $882,000 | $540,000 | $1,422,000 |
| MIAMISBURG CSD | $816,000 | $545,000 | $1,361,000 |
| SINCLAIR COMMUNITY COLLEGE | $785,000 | $435,000 | $1,220,000 |
| DAYTON METRO LIBRARY | $760,000 | $367,000 | $1,127,000 |
| FIVE RIVERS METRO PARK DISTRICT | $696,000 | $386,000 | $1,081,000 |
| VANDALIA-BUTLER CSD | $553,000 | $367,000 | $920,000 |
| WASHINGTON TWP | $450,000 | $408,000 | $859,000 |
| MONTGOMERY COUNTY GENERAL FUND | $513,000 | $285,000 | $797,000 |
| WEST CARROLLTON CSD | $566,000 | $229,000 | $795,000 |
| DAYTON CITY | $554,000 | $193,000 | $747,000 |
| MIAMI VALLEY CTC | $432,000 | $233,000 | $664,000 |
| OAKWOOD CSD | $224,000 | $399,000 | $622,000 |
| TROTWOOD-MADISON CSD | $466,000 | $128,000 | $594,000 |
| HARRISON TWP | $444,000 | $101,000 | $546,000 |
| MAD RIVER LSD | $304,000 | $138,000 | $442,000 |
| MIAMI VALLEY FIRE DISTRICT | $228,000 | $139,000 | $367,000 |
| KETTERING CITY | $217,000 | $136,000 | $353,000 |
| VALLEY VIEW LSD | $187,000 | $122,000 | $308,000 |
| BROOKVILLE LSD | $185,000 | $104,000 | $289,000 |
| NORTHRIDGE LSD | $235,000 | $49,000 | $284,000 |
| TROTWOOD CITY | $222,000 | $60,000 | $281,000 |
| MIAMI TWP | $164,000 | $91,000 | $254,000 |
| WASHINGTON TWP PARK DISTRICT | $93,000 | $80,000 | $173,000 |
| JEFFERSON LSD | $136,000 | $31,000 | $167,000 |
| BUTLER TWP | $101,000 | $64,000 | $164,000 |
| JEFFERSON TWP | $131,000 | $26,000 | $157,000 |
| NEW LEBANON LSD | $104,000 | $38,000 | $143,000 |
| WASHINGTON CENTERVILLE LIBRARY | $77,000 | $66,000 | $143,000 |
| HUBER HEIGHTS CITY | $79,000 | $46,000 | $125,000 |
| RIVERSIDE CITY | $79,000 | $33,000 | $112,000 |
| CLAYTON CITY | $65,000 | $44,000 | $109,000 |
| UNION CITY | $65,000 | $40,000 | $104,000 |
| ENGLEWOOD CITY | $61,000 | $34,000 | $95,000 |
| WEST CARROLLTON CITY | $65,000 | $25,000 | $90,000 |
| MIAMISBURG CITY | $49,000 | $33,000 | $82,000 |
| FAIRBORN CSD | $43,000 | $36,000 | $80,000 |
| CENTERVILLE CITY | $45,000 | $30,000 | $75,000 |
| OAKWOOD CITY | $26,000 | $46,000 | $72,000 |
| BEAVERCREEK LSD | $48,000 | $22,000 | $70,000 |
| GERMAN TWP | $41,000 | $26,000 | $67,000 |
| VANDALIA CITY | $38,000 | $25,000 | $64,000 |
| PERRY TWP | $40,000 | $19,000 | $59,000 |
| JACKSON TWP | $36,000 | $19,000 | $55,000 |
| CLAY TWP | $32,000 | $20,000 | $52,000 |
| NEW LEBANON VILLAGE | $40,000 | $12,000 | $52,000 |
| CARLISLE LSD | $34,000 | $12,000 | $46,000 |
| GERMANTOWN CITY | $18,000 | $13,000 | $31,000 |
| SPRINGBORO CSD | $4,000 | $23,000 | $28,000 |
| WRIGHT MEMORIAL LIBRARY | $8,000 | $13,000 | $21,000 |
| GREENE COUNTY JVSD | $8,000 | $5,000 | $13,000 |
| TRI COUNTY NORTH LSD | $8,000 | $5,000 | $13,000 |
| MORAINE CITY | $7,000 | $3,000 | $9,000 |
| CLATYON CITY | $5,000 | $3,000 | $8,000 |
| BROOKVILLE CITY | $5,000 | $3,000 | $7,000 |
| FARMERSVILLE VILLAGE | $4,000 | $3,000 | $7,000 |
| CLEARCREEK TWP | $1,000 | $5,000 | $6,000 |
| GERMANTOWN CEMETERY | $3,000 | $2,000 | $5,000 |
| PHILLIPSBURG VILLAGE | $4,000 | $1,000 | $5,000 |
| PREBLE-SHAWNEE LSD | $3,000 | $2,000 | $5,000 |
| SPRINGBORO CITY | $- | $2,000 | $2,000 |
| WARREN COUNTY JVSD | $- | $2,000 | $2,000 |
| CARLISLE CITY | $1,000 | $- | $1,000 |
| JOINT AMBULANCE DISTRICT | $1,000 | $- | $1,000 |
| VERONA VILLAGE | $- | $- | $1,000 |
| Grand Total | $20,566,000 | $11,463,000 | $32,029,000 |
Source: Montgomery County Auditor's Office
But Ohio’s county auditors say property tax relief would come at the expense of local governments that are funded through property tax — this includes counties, cities and townships, but also schools and libraries. Many auditor’s office leaders, including Keith, call for property tax relief to come from the state.
“We know that the property tax is a regressive tax, and I think we would prefer to see our state rely more on some progressive type of funding mechanism,” Keith said. “These programs are supposed to be state-funded, and I think there are resources at the state level that could provide funding for these services.”
Locally funded relief?
Commissions in Montgomery, Greene, Butler, Warren and Miami counties have told this news outlet that they’re still contemplating this new option.
According to the Montgomery County Auditor’s Office, if commissioners were to expand both programs, credits would result in cuts to every taxing authority in the county.
A by-jurisdiction impact breakdown provided by the Montgomery County Auditor’s Office makes a couple of assumptions: for example, county commissions would be able to increase the Owner Occupancy Credit between 0-2.5% under the new rules. The office’s estimates assume a 2.5% increase.
Keith’s office estimated an $18.2 million impact on local school districts; a $4.7 million impact on cities, villages and townships within Montgomery County; and a $5 million impact on county services.
Montgomery County Human Services in particular would see a $4.2 million loss.
The Human Services Levy in Montgomery County funds departments like the Montgomery County Board of Developmental Disabilities, Montgomery County Children Services, Montgomery County Alcohol Drug Addiction & Mental Health Services, Older Adult Services and Public Health - Dayton and Montgomery County.
Montgomery County voters in November will be asked to renew a Human Services levy that funds $58 million in social services, with no increase in taxes residents are already paying.
“The demand for those services is greater than it ever has been, and the idea that we’re going to remove funding away from those services just puts a greater strain on them,” said Keith. “That’s what makes the decision very difficult.”
Two tax relief programs
State lawmakers eyed property tax relief as one of the top issues to address in the biennial budget. Historic leaps in property value throughout the state in 2023 and onward saw spikes in property taxes.
Ohio’s Homestead Exemption provides relief to 32,000 qualifying senior and disabled homeowners in Montgomery County, totaling $20.5 million in savings.
A homeowner must be at least 65 years old or permanently and totally disabled to qualify for the Homestead Exemption, which covers the first $28,000 of property valuation for a dwelling. The household adjusted gross income cannot exceed $40,000 to qualify in 2025.
For years, property owners who live in their property have been able to receive a reduction credit on qualified levies and property taxes for their primary residence through the Owner Occupancy Credit program.
In Montgomery County, there are 138,000 properties on the Owner Occupancy Credit program. This provides roughly $11.5 million in relief.
These statewide, state-funded programs cover about 2.9% of the county’s total tax burden, according to the Montgomery County Auditor’s Office. But the state’s biennial budget, also called House Bill 96, does not allocate state funding to create these local homeowner credits.
“It comes at the cost of local taxpayers, and so the local property tax will be used to provide tax relief,” Keith said. “That just doesn’t make any sense to me.”
Denise Callahan contributed to this report.
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