COLUMBUS – Governor Mike DeWine Thursday morning signed compromise two-year $69 billion state budget delivered to his desk by lawmakers minutes before a deadline expired.
Moments ago, I signed the #OHBudget, which lays the groundwork for a better #Ohio for future generations and makes unprecedented investments in children, families, workers, recovery, education, and more. My team is compiling the final details and will release more info soon. pic.twitter.com/Vkx4ZHzLfl
— Governor Mike DeWine (@GovMikeDeWine) July 18, 2019
Ohio has been operating this month under a 17-day temporary budget since lawmakers missed the original deadline for the first time since 2009.
The compromise reached after weeks of negotiations makes changes to some much-debated elements of education and health care policy and funding, including a 4 percent personal income tax cut, eliminating the income tax for people earning less than $21,750, and retaining a business tax break but exempts lawyers and lobbyists.
“With this plan, we are helping families keep more of what they earn, supporting the schools their kids attend and investing in programs that make a real difference in their communities,” said Speaker Larry Householder (R-Glenford) following the 75-17 vote in the House.
The Senate followed with a 29-1 vote in favor of the conference committee report approved Tuesday with Democrat Teresa Fedor of Toledo casting the lone no vote.
“This budget was passed with strong bipartisan support, as both Republicans and Democrats recognized the need for new investment in key childhood and neighborhood programs. We did this while never forgetting our commitment to the taxpayers, and that we believe it’s your money first, not the government’s money,” Senate President Larry Obhof (R-Medina) said.
“Although we didn’t get everything that we had hoped for, I’m excited and comfortable to support this budget bill because I believe it will benefit the lives of all Ohioans,” Sen. Tina Maharath (D-Columbus) said.
“Our job as elected officials is to ensure jobs grow and flourish in the State of Ohio. I’m proud to say that this bill does that in many ways—such as lowering taxes, reducing regulations and investing in workforce development—to produce a budget that is good for Ohioans and Ohio’s future with historic investments in our kids and families,” Sen Bob Peterson (R-Washington Court House) said.
Democrats wanted more businesses exempted from the tax break, which Rep. Mary Lightbody (D-Westerville) says largely benefits the wealthiest Ohioans but fails to create jobs.
The proposal funds the $550 million that DeWine sought for educational wraparound services such as mental health counseling, raises the age for tobacco purchases to 21, adds a tax on vaping products, and schedules the 2020 primary election on St. Patrick’s Day despite objections from Democratic lawmakers.
It bans any new so-called state takeovers of poor-performing school districts for a year while the Legislature debates the matter, and it alters high school graduation requirements starting with the class of 2023 to allow for non-test alternatives toward getting a diploma. It also provides $125 million for private-school scholarships and fast-growing school districts whose funding has been capped.
Ohio’s largest teachers’ union called the budget “a mixed bag.”
The Ohio Education Association criticized the failure to fully end the takeover of troubled school districts while OEA president Scott DiMauro welcomed the additional funding for wraparound services and changes to the state’s school district report cards.
DeWine employed his line-item veto power on over two dozen provisions, including one creating a single pharmacy benefit manager for the state’s Medicaid department. He said it robbed the department of flexibility and failed to guarantee transparency.
He vetoed several other healthcare-related items and also struck provisions that guaranteed per-pupil funding he said benefited the state’s wealthiest school districts, eliminated a requirement that teachers be certified and licensed by the state education department and exempted people who turn 18 by Oct. from the age limit on smoking.
The budget also would:
— Allot $172 million over two years for DeWine’s new “H2Ohio” water quality initiative.
— Boost funding for foster care in response to increases in custody placements blamed on Ohio’s addictions epidemic.
— Direct money to help address the problem of parents having to relinquish custody of children with extensive mental disabilities in order to receive state-funded care.
— Slightly increase the percentages of state revenue that go to funds for local governments and public libraries.
— Maintain tax credits for the motion picture industry, with additional focus on Ohio businesses.