COLUMBUS — State Rep. Al Cutrona (R-Canfield) co-sponsored House Bill 110, otherwise known as the two-year state operating budget for Fiscal Years 2022-2023. The legislation highlights include a new school funding reform plan, tax relief, jobs and economic support, and several other initiatives.
Cutrona successfully fought for an amendment in the budget that prohibits park districts in Mahoning County to use eminent domain to appropriate property for recreational trails.
“This allows my constituents to protect their property from government overreach,” said Cutrona.
“During this year with the pandemic, it was crucial to come to the table with real solutions for the people of both the Valley and the entire state as we look toward the future,” added Cutrona. “We pushed for a new fair funding formula for our school districts and tax cuts for all Ohioans. I also supported and had a direct impact on the continued business relief that the budget plan includes. This budget encompasses so many measures that supports our jobs, the economy – and we need that moving forward into the next few years.”
The school funding reform plan is the result of more than three years of work by educators and policymakers. The Fair School Funding Plan is predictable, sustainable and transparent. The plan will be phased in over the next six years, beginning with the 2021-22 school year, and is designed to ensure no district loses funding during the transition to a new formula.
The legislation also includes a two percent personal income tax rate cut, which will reduce taxes approximately $380 million over the biennium. Coupled with recently passed legislation (Senate Bill 18) conforming Ohio’s tax code with federal law, the House is providing a nearly $500 million in personal income tax relief this biennium.
Cutrona also supported a provision that authorizes an income tax deduction for all or a portion of capital gains received by investors in Ohio-based “venture capital operating companies.” This is designed to support economic development efforts by encouraging investment in Ohio while incentivizing long-term employment in the state. It has no fiscal effect on this budget, as it does not take effect until 2026.
In addition, the plan provides COVID-19 relief aid to help businesses impacted by the pandemic. The House budget proposal appropriates $155 million in COVID-19 relief aid to help businesses impacted by the pandemic. Grants from this funding will be available in the fiscal year beginning July 1. The package includes:
- $100 million for restaurants and bars
- $25 million for the lodging industry
- $20 million for indoor and outdoor entertainment venues
- $10 million in relief for new businesses
Additionally, the budget bill includes targeted investments to support Ohio jobs, businesses and the economy. This portion of the bill focuses on expanding procurement law to give preference to American and Ohio products. The legislation also focuses on workforce development through a committee to study workforce training and several programs to support employment opportunities.
House Bill 110 also includes a series of provisions in support of law enforcement, firefighters and public safety. Some of the initiatives include security grants, school safety grants, body cameras, law enforcement training investment, firefighter grants, and funding for the Ohio Cyber Reserve.
The budget plan, under House Bill 110, now heads to the Senate for further action.