Lake County Times

The Ohio Senate has approved its final version of House Bill 96, advancing a two-year budget plan that includes tax changes and new investments in several sectors. The bill features the introduction of a 2.75% flat income tax to be phased in during fiscal year 2027, as well as significant reforms to the state's property tax system.

Under the Senate's proposal, Ohio’s property tax system would revert to anti-inflationary measures first set out in a 1976 law. Some levies passed over the years have circumvented these protections. The Senate's budget also bans new emergency and replacement levies while expanding eligibility for Ohio’s Homestead Exemption.

"There is no excuse for people to worry about potentially losing a home that was paid off years ago from the threat of jumps in their property taxes," said Senate Finance Chairman Jerry Cirino. "The Senate's plan will put the transparency and accountability back into the system."

A key feature of the budget is a plan to use more than $4 billion from Ohio's Unclaimed Funds account, which has largely been inactive. Of this, $1.7 million will support a new performance grant program known as the Sports and Culture Fund (SCF), aimed at leveraging professional sports as an economic driver in Ohio.

As part of this initiative, $600 million is allocated for the Brook Park-Cleveland Browns mixed-use stadium project, with terms requiring that state tax revenues from the project exceed expenditures over a 16-year period. Senator Cirino explained: "This program protects the state's taxpayer dollars from paying interest payments on bonds to fund the project, and it lowers the overall risk to the state, because the money isn't coming from the General Revenue Fund." He added: "We also are making sure the team honors its commitment to play in the new stadium at Brook Park over the 16 year length of the terms under the performance grant."

Funds earmarked for SCF come from unclaimed assets held by Ohio for more than ten years; residents will have another decade to claim any funds owed.

Other investments include $30 million over two years for veterinary medicine programs at The Ohio State University—restricted specifically to increasing enrollment of students from Ohio—and an additional $20 million for H2Ohio Program efforts through the Department of Agriculture aimed at protecting water quality statewide.

The budget also provides extra support for social programs: representatives serving deaf and blind residents as “navigators” testified before lawmakers, resulting in an increase of $200,000 per fiscal year for navigator services. Additionally, funding for Ohio’s Suicide Crisis 988 Lifeline was increased by $500,000.

Following Senate approval, House Bill 96 returns to the House chamber for further consideration between legislators.

The overall budget totals $60.23 billion and is described by lawmakers as balanced with continued emphasis on reducing taxpayers’ burden while supporting growth.