Gov. DeWine vetoes 67 items in Ohio budget

Ohio Gov. Mike DeWine signed the state's two-year, $60 billion operating budget into law late Monday night, issuing the highest number of vetoes in his gubernatorial career. DeWine, a Republican, issued 67 line-item vetoes, striking items from the budget that would have limited the amount of cash carryover a school district could have, changed property tax levy calculations and charged sales tax for newspaper subscriptions. In a news release announcing his signature, DeWine said the budget "prioritizes our children, empowers our workforce and strengthens our communities" as an investment in current and future Ohioans. DeWine did not eliminate portions of the budget that will spend $600 million in unclaimed funds for a new Cleveland Browns stadium in Brook Park, or flatten the state's income tax to 2.75 percent by tax year 2026. DeWine vetoed a proposed limit to the cash carryover schools could maintain. State legislators included in the budgets passed by the House and Senate some type of cap — finally reconciling at 40 percent of district's operating budgets — in the language sent to the governor's desk. Their reasoning was to provide tax relief, as schools over the cap would see the excess returned to taxpayers. DeWine wrote the plan would result in schools returning to taxpayers more frequently, which could exacerbate property taxes rather than lower them. His veto came after an outcry from school districts that warned the lack of a carryover could prove devastating, especially when compounded by other changes to levies and the calculation of the 20-mill floor — provisions DeWine also struck down. In his veto of the change to the 20-mill floor calculation — which would have required emergency and substitute tax levies and others be included in the calculation for the minimum funding received by districts — DeWine recognized the need for property tax reform and plans to convene a "working group" of legislators, officials and experts. North Ridgeville Schools Superintendent Roxann Ramsey-Caserio was grateful for the governor's vetoes — as the changes to school funding would have proved disastrous for her district. "I do think his vetoes definitely demonstrate his commitment to Ohio's public education system and the more than 80 percent of students who rely on strong, well-supported schools," she said on Tuesday. She understands the need for tax relief, she said, and remains open to future discussions or to serving on the governor's committee referenced in his line-item decision. Columbia Schools Superintendent Graig Bansek said the governor's actions mean stability — for now. "I'm sure our legislators are not happy with the governor's veto," he said. "While it makes sense that the governor did veto the line items because it would've been devastating not just to Columbia but all schools across the state, it was the right thing to do. Now there's more to be done and I hope the legislators don't get back in the session this fall and try to manipulate the governor's vetoes." Like Ramsey-Caserio, Bansek agreed property taxes are a "huge issue" in Ohio and the nation, but said there is a proper way to go about their reform. Elyria Schools Superintendent Ann Schloss said she felt good about DeWine's decisions. "I was hopeful before and I'm glad now," she said. "... Obviously, we are still not fully funded, but it is a lot better than it was going to be, had these proposals gone through… I think education looks a lot better than it seemed that it might come out. (DeWine's) focus seemed to be on people, on kids, and we are better off because of that." Included in the signed budget was the Ohio Senate's version of the school funding formula, which failed to fully phase in the Fair School Funding Plan that pledged to provide more equitable funding for public schools in the state. The version signed into law funds schools using 2021 inputs for costs to educate children. The Ohio Education Association supported the governor's vetoes, but called the lack of funding "shortchanging" schools in the state. "Although the House and Senate majorities ignored the will of the people by pushing through a knockoff version of the Fair School Funding Plan, handing out $1 billion tax breaks for the wealthiest people in our state, and silencing Ohioans' voices by removing elected seats from the State Teachers Retirement System board and the State Board of Education, Governor DeWine showed courage and wisdom in a number of his veto decisions," OEA President Scott DiMauro said. Just because DeWine vetoed those 67 provisions does not mean they may not become law. State legislators have the ability to override the governor's veto through a supermajority — 20 votes in the Senate and 60 in the House. Otherwise, some legislation struck from the budget bill could come back as individual bills in either chamber this summer, or when sessions resume in the fall. State Sen. Nathan Manning, R- North Ridgeville, was sure there would be "discussions" on some of the items DeWine struck down — especially the property tax reform provisions. "It's not always the easiest thing (to override a veto) when you break down the budget into individual issues," said Manning, who was unsurprised at the governor's vetoes. "... Attendance is a big issue, you need a super majority. If there's a couple votes shy because people are out on vacation or unavailable, it's hard to get some of those votes." State Rep. Joe Miller, D-Amherst, said he was still reviewing the 67 vetoes DeWine made to the budget to determine what would be positive, but still took issue with the budget itself, particularly its sweeping tax cuts. "The problem is, they are still going to have trouble paying for this tax break for the wealthy," Miller said on Tuesday. "It is going to have to come from somewhere, and they are pushing it down onto local communities to have to fund what the state either is constitutionally obligated to, or historically has supported. I think they are just trying to DOGE everything they can and come up with a way to give more money back to the wealthy. It's a giant trickle-down budget." DOGE is a reference to the "Department of Government Efficiency," an initiative within President Donald Trump's government which was, until recently, run by billionaire Elon Musk and touted for its cutting of "wasteful and fraudulent spending." Many of the cuts that the initiative once touted on its website have been blocked by federal judges or quietly removed from the site. The 2.75 percent flat tax is expected to cost the state more than $1 billion across the biennium and will primarily benefit Ohioans making six figures. Once phased in, Ohio will be the 15th state with a flat tax rate. Miller said that whether any vetoes were overturned is out of his hands, and out of the hands of his fellow Democrats, because Republicans already control the 60 seats in the house that they need to achieve a three-fifths majority in the House. "They (Republicans) can do whatever they want to do," Miller said. "... Will they try to package all 67 line item vetoes into one bill and override it to get as many Republicans on board as they can? Maybe. I don't know what their strategy is because I am not sitting in their caucus, but nothing would shock me. Whether a majority of Americans or a majority of Ohioans don't like something, the party in power seems to think it is not about what is good for the majority; it's about what is good for the minority and the special interests that support them." Contact Owen MacMillan at (440) 329-7123 or omacmillan@chroniclet.com or Carissa Woytach at (440) 329-7245 or cwoytach@chroniclet.com.