“We’re not raising taxes on small businesses. We are creating a fairness,” said Senate Minority Leader Kenny Yuko, D-Richmond Heights.
So far this year, personal income tax revenues are 8.6 percent lower than anticipated and sales tax revenues are missing projections by 2.5 percent, according to the state Office of Budget and Management.
Republican legislative leaders, though, aren’t willing to suspend or eliminate the tax break.
“I don’t think that we need to raise taxes and I’m not at all convinced that we need to spend more money,” said Senate President Larry Obhof, R-Medina. “I think that Ohio, by and large as I’ve said before, doesn’t have revenue problem, we have an expenditure problem. The state budget has grown significantly in the years that I’ve been here. We ought to be able to live within our means.”
Related: Ohio House OKs $133B state budget, guts Kasich’s tax reform plans
The 4,600-page state budget bill lays out how the state will spend more than $130 billion over two years in both state and federal funds. The Senate made dozens of changes to the House-passed version of the bill, including chopping out a $1-million a year earmark to help Wright-Patterson Air Force Base prepare for a possible federal Base Realignment and Closure Commission. That earmark was made after Wright-Patt missed out on other state grants.
Related: Wright-Patt loses out on a request for millions in state money
The Senate also cut funding and changed the marching orders for the Federal Research Network, which is run by Ohio State University. The Senate set funding at $1.75 million a year while the House wanted it at $3.5 million a year. The network is designed to tie together Ohio’s public and private universities and federal installations, including Wright-Patterson AFB and NASA Glenn Research Center.
Related: Ohio universities target Air Force labs for research opportunities
Lawmakers will work in the 4,600-page state budget bill over the next two weeks and adopt a final version by June 30. It lays out how the state will spend more than $130 billion over two years in both state and federal funds.
Ohio lawmakers in the next few weeks will be debating a 2-year state budget. Get the latest news on Twitter at @Ohio_Politics