State Budgets 2012: Ohio


To see more state budget news and information, visit State Budgets 2012

Budget Background:

  • Legislative Session for 2012: Convened January 3, 2012
  • Fiscal Year Begins: July 
  • Frequency of Legislative Cycle: Annual
  • Frequency of Budget Cycle: Biennial

Learn more from the National Association of State Budget Officers

Budget News and Information: 2012

3/21/12: Kasich's Capitol Budget Moving through the House

An Ohio House committee moved Tuesday on Gov. John Kasich's $1.74 billion capital budget, setting up a possible floor vote as soon as Thursday.

The finance committee vote came along party lines, with most -- but not all -- of the Democratic members voting against it, citing a lack of earmarks for projects of importance to their local communities.

Read More: The Daily Record

3/20/12: Taxes Take Center Stage of Budget

Gov. John Kasich is proposing a tax hike on fracking, along with a corresponding income tax cut directly tied to how much the state collects from new oil and gas production.

The governor also wants to consolidate more state programs, lower taxes on smaller banks, implement a comprehensive energy policy, improve job training programs and create closer ties between private business and public education.

All of those initiatives and many others are included in Kasich's mid-biennium review, a lengthy corrections bill being offered midway through the current two-year budget cycle.

Read More: The Daily Record

3/15/12: Analysis: Winners and Losers in Kasich's Budget Plan

It will take some time for legislators to read through the more than 1,000 pages that make up Gov. John R. Kasich’s mid-term budget blueprint, which he described this week as an ongoing process.

And the debate now begins over what stays, what goes and what gets tweaked in that blueprint.

Kasich admitted that not everyone is going to be happy with his plan to raise taxes on oil and gas drillers to pay for an income tax cut. Republican legislative leaders, including Senate President Tom Niehaus, R-New Richmond, immediately said they had reservations about the governor’s proposals.

Read More:

3/6/12: Budget Preview: Education Policy

We got more indications yesterday of the Governor’s plan for his upcoming budget bill (despite what you might read in Ohio law about the state passing budgets every two years, the Governor has his own ideas). High among his priorities are changes to the state’s education policies.

Read More: Ohio Budget Watch

3/4/12: State Budget Cuts Hit Small Town Ohio

Residents here were all for balancing Ohio's budget. They didn't expect that to mean their town would cease to exist.

This small village of low-slung houses and squeaky swing sets in western Ohio's farm country has already laid off its part-time police officer and decided not to replace its maintenance worker, who recently retired. To save cash, Mayor William Rolston will propose Monday that the town turn off the street lights, and that Uniopolis disincorporate after more than a century in existence.

Read More: The Los Angeles Times

3/1/12: Kasich Outlines Ohio Energy Goals

Gov. John Kasich outlined the pillars of his broad energy policy for a handful of Cincinnati business leaders Thursday: Develop the state’s shale oil resources, look at new opportunities for coal, expand the use of alternative fuels.

“Energy is critical,” he told a small gathering at the Cincinnati USA Regional Chamber. “If America isn’t going to have an energy policy, we ought to have one.”

The plan, which grew out of a two-day energy summit last fall in Columbus, includes legislative proposals, regulatory changes and policy initiatives. The legislative proposals will be included in a wide-ranging “budget review” to be introduced around March 12 in the General Assembly.

Read More:

Previous Budget Cycles

4/26/11: State Budget Due out Thursday

Ohio lawmakers are working to tweak Governor John Kasich's proposed budget while still filling an $8 billion shortfall. The governor fills that gap with cuts and changes he says allow state and local governments to have more flexibility to deal with declining revenues.

Read more: WTAM Clevland

4/18/11: Ohio Gov's Plan Cuts State Payments for Childcare

Child care providers in Ohio would get less money back from the state for taking care of children from low-income families under Gov. John Kasich's budget plan, leaving them to trim costs at a time they say they're already stretching to make ends meet.

Still, as the state faces an estimated $8 billion budget shortfall, they say they could have fared worse.

Read More: Bloomberg Businessweek

4/14/11: Higher Tax Revenue Might Ease State's Budget Cuts

From July 1 through March, state tax revenue came in 8.3 percent higher than in the same period a year earlier, according to the state Office of Budget and Management. Revenue also is running $627 million (5.4 percent) ahead of estimates for the fiscal year, which ends June 30. In March, revenue exceeded estimates by 13 percent.

State Budget Director Tim Keen has cautioned that Kasich expects to use much of that extra money to pay for "forced lapses" - payments that were supposed to be made in fiscal-year 2011 but that then-Gov. Ted Strickland's budget pushed into fiscal 2012 to balance the 2011 budget. That includes more than $400million to Medicaid managed care, $127 million to higher education and $43million for homes for the developmentally disabled.

Read More: The Columbus Dispatch

4/10/11: Budget Cuts, Tuition Cap Smack Colleges

The money that's designed to keep tuition down at Ohio's public colleges would be cut by 13 percent statewide next year under Gov. John Kasich's budget proposal, according to preliminary figures released yesterday.

The main campuses of the four-year universities would be hit the hardest, followed by the regional branches and community colleges, according to data from the Office of Budget and Management.

Read More: The Columbus Dispatch

4/6/11: House GOP Huddles on Kasich Budget

Medicaid cuts, school funding and Gov. John Kasich's attempt to broaden his privatization powers are among the issues raising questions for House Republicans, who met in private last night to discuss the budget at length for the first time.

Read More: The Columbus Dispatch

3/29/11: The Devil in Details of State Budget

Budget hearings are in full swing, but there is still much to be learned about Governor Kasich’s proposed budget. But we do know that we have 17 percent less revenue that has to be replaced by cuts or finding additional dollars.

Being chairman of the House Finance Primary and Secondary Subcommittee, our five-member committee has already begun to hold hearings on the budget.

We will be reviewing the budgets of several state agencies—from the Commission on Volunteerism to the Board of Audiology and Speech Pathology

Read More: Ironton Tribune

3/25/11: Schools Get the Bad News on the State Budget

More than 590 of Ohio's 612 school districts will see cuts in basic operational funding next year under Gov. John Kasich's proposed two-year budget - and that does not include $730 million that districts stand to lose from cuts in tax revenue.

Read More: The Columbus Dispatch

3/24/11: Senators OK 2 Year 7B Transport Budget

The Ohio Senate Wednesday unanimously approved a two-year $7 billion transportation budget supporters touted as an proactive approach to deal with the state's budget crisis, that will create jobs by putting creative funding ideas in play while adhering first to a fix it first mentality.

Read More:

3/15/11: Ohio Gov. Slashes 8B from Budget

Fulfilling his promise not to raise taxes, Ohio Gov. John Kasich Tuesday unveiled a budget that slashes spending for many agencies and seeks to privatize certain government functions to eliminate an $8 billion budget deficit.

"We can't tax our way to prosperity, but we can't cut our way either," said Kasich in his town-hall style budget address.

Read More: State Budget Solutions

3/14/11: Facing Critics, Ohio Gov. Prepares to Unveil Budget

Gov. John Kasich made final preparations Monday for the unique unveiling of his first state budget, even as protests and a new poll signaled that Ohio residents were skeptical of his plans to fill a $8 billion shortfall.

Read More: Business Week

3/13/11: Kasich Budget will Include Cuts, Cuts, and More Cuts

Gov. John Kasich's first budget will roil the Ohio landscape on Tuesday, especially the public, nonprofit and private entities that count on the state's largesse.

The salad days are over. Ohio is in the poorhouse. There is a projected $8 billion hole in the next two-year state budget, and Kasich won't fill it with tax increases. He will cut, cut and then cut some more.

Read More: The Columbus Dispatch

3/13/11: Education Cuts Expected when Kasich Unveils Budget

Gov. John Kasich is set to release his first state budget on Tuesday at 6 p.m. Information about the budget is scarce, but Kasich is expected to make cuts to higher education.

During Kasich's State of the State address, he mentioned an $8 billion hole in the next two-year state budget. This is a hole that he said he would not raise taxes to fill.

Read More: College Media Network

3/9/11: Kasich Plans Townhall Meeting on Proposed Budget

The day Gov. John Kasich delivers his first two-year budget to the General Assembly, he will also hold a town hall meeting at the Capitol Theater to discuss his proposal with the public.

Read More: The Columbus Dispatch

3/9/11: Medicaid is 30% of State's Budget and Growing

As Ohio tries to plug a potential $8 billion hole in its upcoming two-year budget, Medicaid’s biggest stakeholders have ponied up ideas they say, in sum, could save the state billions.

Medicaid, Ohio’s single largest payer of health services, has become known as a budgetary “Pac-Man,” devouring 30 percent of general operating spending.

Read More: Dayton Daily News

3/8/11: State of State doesn't Solve Ohio Budget Mystery

Gov. John Kasich gave one of the longest State of the State addresses in recent memory, yet he provided few specifics as to how he's going to fill a historic $8 billion budget gap.

Kasich, a Republican who took office in January, said he will preserve an income tax cut that went into effect in January - a decision that will require his budgeteers to find or cut another $850 million. And he will not be relying on federal stimulus dollars and other one-time money responsible for much of the hole in the two-year, $50.5 billion budget.

Read more: The Lexington Herald Leader

3/7/11: Special Report: Ohio's Financial Future

The state of Ohio is facing a financial crisis that amounts to at least an $8 billion dollar budget deficit. In an effort to deal with this crisis, majority Republicans at the Ohio Statehouse have begun making a series of changes. Their first move was the introduction of a controversial proposal to dramatically rewrite Ohio's collective bargaining law for public employees.

Read More:

3/5/11: Gov. Kasich Prepares to Give State of State Speech Laying our Vision for Economic Future

COLUMBUS, Ohio — After just eight weeks in office, Republican Gov. John Kasich has already begun to shake things up throughout Ohio government.

Economic development efforts have been privatized, the bargaining rights of public sector unions have been targeted, and state regulators have been instructed to back off small businesses for the sake of the economy.

How it all fits into the new governor's vision for bringing back Ohio's economy and closing an $8 billion budget gap will become clear over the next two weeks.

Read More: The Republic

3/5/11: State Cuts Could Mean More Local Levies

School leaders waiting on details about anticipated state funding cuts will be tuning into Tuesday's State of the State address to learn some details about Gov. John Kasich's education plan.

But the information they really need - where the cuts will be and how deep - won't come until Kasich releases his budget a week later on March 15.

Read More: Dayton Daily News

3/3/11: Ohio State Senate Passes Bill to Curtail Collective Bargaining

The Ohio state Senate passed a bill Wednesday that would curb the collective bargaining rights of public workers and strip away their power to strike.

Read More:

3/2/11: Ohio Tensions Rise Over Right to Strike

Protests in Ohio have intensified against Republican attempts to curb union rights, as the state’s legislature was set to consider a proposal to impose legal curbs on collective bargaining for public employees and end their right to strike.

Read More: Financial Times