The Center for Community Solutions’ publication, State Budgeting Matters, in its June issue is reporting that in order to balance Ohio’s new 2010-2011 budget, that over $500 million is needed.
The report centers on proposed cuts to the Department of Job and Family Services (JFS), and says that at this time of economic downturn, when child welfare, child support, Medicaid, food stamps, cash assistance, unemployment compensation, and workforce development all need of additional funding, that Ohio’s General Revenue Fund is drying up.
The report says, “The reductions would come on top of three rounds of budget cuts in fiscal years 2008 and 2009, as well as significant reductions to agency spending taken along each step in the budget process. Additional cuts likely will hinder basic operations.”
The Center for Community Solutions is calling for action to increase revenue to the state. It says, “It is time for action.” It criticizes the Tax Reduction Act of 2005, and says, “By design, Ohio’s tax overhaul has reduced revenues in the state treasury over $2 billion each year. It might have seemed to some like a good idea at the time, but the reality today is that Ohio cannot afford these policies”
The report says, “Tax changes made in FY 2005 have reduced the state’s largest source of revenue and its most progressive tax—the state income tax—by 21 percent over the past five years. In addition, according to some professional employer organization services, the state’s corporate income tax on non-financial businesses has been eliminated.
The Center for Community Solutions is a nonprofit organization. Its web-site says, “As we near our 100th year of service, Community Solutions strives to be the premier statewide resource for accurate, up-to-date information, analysis that cuts through the clutter, and practical recommendations and tools that can be used to improve health, social, and economic conditions.”
I’ve written about this topic in these 11 prior posts:
- Republican Ohio Assembly Candidates Must Be Punished For Ohio’s Decline
June 23, 2008 - Ohio’s 2005 Tax Reduction Law Diminished, By 21%, The Progressivity of Ohio’s Tax Code
August 6, 2008 - Ohio Budget Expert, Richard Sheridan: “Ohio’s Budget Problems Are A Long Way From Being Solved And One-Time Fixes Have Dried Up”
October 7, 2008 - Chris Widener, Republican Senate Candidate, Boasts About Tax Cuts, But How Will He Solve Ohio’s Budget Crisis?
October 8, 2008 - Twelve Tax Loopholes Ohio Should Close To Generate $270 Million Additional Revenue Each Year
October 15, 2008 - Assembly Candidates Should Take Stand: Will Ohio Raise Taxes Or Will Ohio Cut State Services?
October 25, 2008 - Democrat Candidates For Ohio State Assembly Fail To Challenge Republicans On Crucial Budget / Tax Issues
November 3, 2008 - Gov. Strickland Should Seek Revision In Ohio’s 2005 Tax Reduction Law — Before He Asks The Feds For Cash Handout
December 9, 2008 - Ohio’s 2005 Tax Reduction Act Was Predicted, By 2010, To Result In Yearly State Budget Shortfall of Billions
December 15, 2008 - Governor Strickland Fails To Explain Impact Of 2005 Tax Reduction Act On Ohio’s 2009 Budget Shortfall
January 28, 2009 - The Quinnipiac Poll Failed To Ask: “Shouldn’t Ohio’s Most Wealthy Be Taxed More?”
March 18, 2009
























