LOVELAND MAGAZINE

News and Events from the Loveland, Ohio Area

Without fear or favor
Since 2004

Tag: property taxes

  • “Paying off Debt Means Lower Taxes for Loveland City School District Residents”

    “Paying off Debt Means Lower Taxes for Loveland City School District Residents”

    An Op-Ed from Loveland City School District Treasurer John Espy

    Loveland City School District has paid off its last outstanding bond and is now debt-free. A construction bond was issued in 1998, and after nearly three decades of sound financial management, the bond has now been paid in full. The result is lower property taxes for Loveland City School District property owners.

    In 1998, district voters approved a bond for school construction and renovation projects. The money was primarily used to build Loveland Intermediate School and renovate Loveland Middle School. When they were issued, the bonds were funded at 5.17 mills. In the years since, the bonds have been refunded, or essentially refinanced, at lower rates – the most recent being .95 mills. The final payment on the bond debt was made in December of 2024, and local property taxes are no longer being collected to repay that debt.

    With the repayment of the bond, the average property owner in Loveland City School District is now paying about $136 less per year in local property taxes. Unless you looked closely at your most recent tax bill, you might have missed this bit of good news. The district is now debt-free, and all of our building bonds have been paid in full, marking a major financial milestone for our schools and community.

    As the Treasurer of Loveland City School District, I value transparent financial reporting and keeping our commitment to being a responsible steward of taxpayer funds. District leadership remains committed to transparency and providing you with the information you need to understand how your tax dollars are being managed.

    School funding in Ohio is complex, but our community has made it clear they want to learn more about the subject. Our State School Funding Committee, School Finance Town Hall last fall, and our ongoing Community Advisory Team Meetings have all allowed me to explain school finances to our community. I’ve also recently launched a series of educational “Finance Friday” videos and social media posts. The videos explain some foundational topics in school finance so our community is better informed. I hope you’ll take the time to watch my “Finance Friday” videos and share them with your friends. I also ask that you share the good news that Loveland City School District is debt-free after keeping our commitment to paying off the 1998 construction bonds.

    If you ever have questions about our district finances, please let me know. I can be reached at espyjo@lovelandschools.org.

     

  • Ohio lawmakers behind bill tying homestead exemption to inflation looking for more changes

    Ohio lawmakers behind bill tying homestead exemption to inflation looking for more changes

     Getty Images

    BY:  – Ohio Capital Journal

    Two Republican Ohio lawmakers are touting the inclusion of homestead tax exemption changes in this year’s budget and promising to work on future tweaks as well. Reps. Thomas Hall, R-Madison Township, and Steve Demetriou, R-Bainbridge Township, joined a pair of county auditors Wednesday to explain how the exemption will respond to inflation going forward.

    Hall and Demetriou initially filed those changes as House Bill 57. The measure passed the House easily, and budget negotiators were able to incorporate the bulk of that proposal in the final spending plan. But HB 57 hasn’t gone away, and the sponsors argue it could be a vehicle for further changes in the Senate.

    They also pointed to a new Joint Committee on Property Tax Review and Reform created in the budget. That panel will hold hearings and deliver a report with recommendations by the end of this year.

    Homestead changes

    Ohio’s homestead exemption cuts property tax bills for low-income seniors and disabled residents by reducing the amount of their home’s value that’s subject to property taxes. The standard exemption reduces taxable value by $25,000, and disabled veterans get an exemption of $50,000.

    So for example, a resident claiming the exemption who owns a $100,000 home would pay taxes as if their home was worth $75,000 or $50,000 respectively.

    Lorain County auditor Craig Snodgrass explained, “currently it saves a lot of our seniors about $400 to $500 a year in taxes.”

    While those savings are important, fellow auditor David Thomas from Ashtabula County noted they haven’t exactly kept up with Ohioans’ bills.

    “I was in middle school in 2007,” he said, “and that’s the last time we’ve seen an increase.”

    The changes included in the budget will tie those $25,000 and $50,000 exemptions to inflation. In successive years the dollar amount will likely climb to keep pace with rising costs.

    But those changes would mean less money flowing to local governments for services like school and libraries. To make up for it, lawmakers plan to reimburse the lost revenue. State economists estimate that would cost $11 million in the 2024 fiscal year and grow to $28 million in 2025. Because of the timing of the bill’s passage, only half a year of expenses is reflected in fiscal projections.

    “This legislation by no means is the end all, be all, fix all, for homestead or for seniors or disabled veterans,” Hall explained. “But I assure you this is the first step.”

    Further changes?

    In addition to indexing the homestead exemption to inflation, the state budget stands up a committee to propose further changes to Ohio’s property tax system. The ten-member panel includes five members from each chamber, with the majority appointing three and the minority the remaining two.

    “If you leave and don’t hear anything else, this is just the first step,” Hall insisted. “We hope to continue the reform efforts. We hope to have more conversation about property tax, and we hope the committee produces a really good list of property tax reforms we can actually enact and move forward with.”

    Outside of that committee Demetriou added “House Bill 57’s now in the Senate.”

    “So as it moves through that process in the Senate,” he explained, “our hope is that we can make it even better outside of the language that got into this past operating budget, and that we can enhance and maybe tackle some things.”

    One example he mentioned was raising the personal income ceilings, particularly for those on a pension. Another idea would create tiers to include vets that aren’t totally disabled.

    Follow OCJ Reporter Nick Evans on Twitter.

    Nick Evans
    NICK EVANS

    Nick Evans has spent the past seven years reporting for NPR member stations in Florida and Ohio. He got his start in Tallahassee, covering issues like redistricting, same sex marriage and medical marijuana. Since arriving in Columbus in 2018, he has covered everything from city council to football. His work on Ohio politics and local policing have been featured numerous times on NPR.

    MORE FROM AUTHOR

  • Loveland City School Board votes to go to ballot with levy request

    Loveland City School Board votes to go to ballot with levy request

    Loveland, Ohio – Last night, the Loveland City School District Board of Education voted to place a 4.9 mill operating levy before voters Tuesday, November 8.

    According to the District, if approved by voters, it would cost property owners an additional $14 per month per $100,000 in home value.

    It was a unanimous vote of the Board to proceed to the November 8 ballot and ask District voters to raise their property taxes.

    You can watch the archive of this meeting on YouTube.

  • School funding bill to get new look under new speaker

    School funding bill to get new look under new speaker

    By Susan Tebbenand Ohio Capital Journal

    A school funding bill originally sponsored by new Ohio House Speaker Bob Cupp is getting a fresh look and hopefully time in front of legislative committees before year’s end, according the legislator now heading up the bill.

    The other original sponsor of the proposed legislation, state Rep. John Patterson, said a substitute bill is in the works that should touch on longstanding concerns the Ohio Supreme Court had about the constitutionality of the state’s education system.

    “We’re taking a more balanced approach in the new bill,” Patterson, D-Jefferson, said.

    The state’s contribution to education budgets has stagnated over time, while private schools have benefitted from the EdChoice scholarship program, in which some state funding for public school districts has been redirected to religious, charter and community schools.

    EdChoice scholarships were frozen at current levels in an omnibus bill responding to the COVID-19 pandemic.

    State Rep. John Patterson, D-Jefferson.

    Patterson said a substitute version of House Bill 305 seeks to address “overarching criticisms” of the original bill, and the education system itself. One of the major criticisms is the distribution of money in the school funding formula between school districts with varying financial situations.

    “Under the current formula, districts are all interconnected, so as one district becomes wealthier, another becomes poorer,” Patterson told the Ohio Capital Journal.

    So, in the new plan co-sponsored this time by Rep. Gary Scherer, R-Circleville, the legislators want to reassess the amount that districts are able to raise on their own before they decide what the amount of state aid would be to schools.

    The proposed bill would also take the weight solely off of property taxes for school funding, something the 1997 decision by the Ohio Supreme Court in DeRolph v. State of Ohio ruled was a big reason the education system violated the state constitution.

    The new plan will combine property and income taxes along with a calculation of a district’s wealth level to “determine a district’s true capacity to raise its fair share,” according to Patterson.

    “The question is what is fair for the locals, and what is fair for the state,” Patterson said. “We have fine-tuned for that.”

    Ohio House Speaker Bob Cupp (Ohio House Photo)

    Disadvantaged students would receive more immediate help than in previous funding models if the new bill is made law. In the original proposal for the bill, aid would have been phased in over time for school districts, but legislators are now looking to channel that aid to districts immediately. 

    Patterson planned to meet with interested parties — teachers’ unions, public school officials and community school representatives on Tuesday to discuss the plan. One of those parties is the Ohio Federation of Teachers, who said school funding needs a direction that accounts for social and emotional learning as well as test proficiency.

    “We’re hopeful that (the sponsors) are moving in the right direction,” said OFT executive director Melissa Cropper. “No school funding formula will be perfect, but having no school funding formula has been a disaster.”

    In the next month, simulations of financial situations will be run to test the effectiveness of the bill as it stands, and Patterson hopes the bill will be ready when the Ohio House returns to regular session in September.

    After anticipated amendments and passage of the bill, Patterson said implementation of the new formula could take years.

    With EdChoice pitting private schools and public schools against each other for funding in the state model, Patterson said concerns were brought from both sides, and his bill plans to address private school issues as well.

    “What I’ll say is we have heard their criticism and have addressed their concerns in the substitute bill,” Patterson. “I think they’re going to be pleased.”

    The changes made to the bill Cupp once authored have the blessing of the new speaker, according to Patterson. 

    “Speaker Cupp understands the absolute necessity of passing House Bill 305 in this General Assembly,” Patterson said.

    Neither Cupp nor Scherer responded to requests for comment.

    Susan Tebben

    Susan Tebben is an award-winning journalist with a decade of experience covering Ohio news, including courts and crime, Appalachian social issues, government, education, diversity and culture. She has worked for The Newark Advocate, The Glasgow Daily Times, The Athens Messenger, and WOUB Public Media. She has also had work featured on National Public Radio.
  • Clermont County Commissioners approved a 2020 General Fund operating budget of $61.5 million

    Clermont County Commissioners approved a 2020 General Fund operating budget of $61.5 million

    Batavia, Ohio – Clermont County Commissioners approved a 2020 General Fund operating budget of $61.5 million at their Dec. 11 session. The non-operating budget of $9.7 million includes one-time expenses for capital and economic development projects within the General Fund.

    The General Fund is the largest discretionary source of funds in the county and finances 20 of 21 elected offices in Clermont County. The Engineer’s Office is funded through state gasoline taxes and driver license fees. Clermont County Commissioners also appropriated $199.2 million in 2020 for the other 114 special purpose funds under their budgetary control.

    As required by law, the budget is balanced, with expenses not exceeding projected revenues plus unobligated cash.

    Sales tax revenue, which provides nearly 47 percent of General Fund revenue, is estimated to be $30 million in 2020. The next two largest streams of revenue include charges for services ($10 million) and property taxes ($9 million)  included within the General Fund.

    In 2020, General Fund program areas will be funded as follows:

    Criminal justice: $26.8 million

    Judicial services: $14.7million

    General government: $12.3 million

    Public safety: $4.5 million

    Health and human services: $3.3 million

    Personnel costs account for the largest share of the total General Fund budget — $49.6 million, or 70% of the budget, with $21.6 million going to other expenses.

    For questions, contact Office of Management and Budget Director Mary Rains, mrains@clermontcountyohio.gov, 513.732.7988.

  • Providing a great education and a great value

    Providing a great education and a great value

    by Kevin Hawley

    Our goal at Loveland City Schools is to provide a great education for our students and a great value to the community. In order to provide the level of education our community has come to expect and our students deserve, public school districts like ours must return every few years to ask voters to support their schools. This is the reality of public-school funding in Ohio.

    Kevin Hawley is the Loveland City School District Treasurer/CFO

    Schools in the state of Ohio are financed with a combination of federal, state and local funds. The state uses a formula to determine how much money each district should receive based on enrollment and the relative wealth of a district based on property values. This amount varies widely from district to district. Typically, as is the case with Loveland City Schools, a district receives more of its revenue from local property taxes. These taxes are primarily determined by locally-voted tax increases, otherwise known as tax levies. In our case, approximately 58 percent of the financial burden falls to local taxpayers.

    The wonderful part of local revenue being a primary contributor to school funding is that the community maintains control of its schools. Conversely, the challenge is that local revenue does not increase with increases in property values. Therefore, a large portion of a district’s revenue is flat until the community votes to increase its property taxes.

    The Loveland City School District is on the right track and reflects our community, but with our operational needs and reliance on property taxes, coupled with the way Ohio funding works, we will soon need to ask our residents for their support.

    And in the Loveland City School District, we are coming up on a need to ask for additional operating funds, separate from our discussion around Building Tiger Nation and our facility needs.

    Funds generated from operating levies are used for the day-to-day operations of the district such as teachers, utilities and supplies. Because schools, by nature, are a “people” business, the majority of operating funds are used to hire and retain high quality educators as well as provide highly competitive programming for our students.

    The Loveland City School District is on the right track and reflects our community, but with our operational needs and reliance on property taxes, coupled with the way Ohio funding works, we will soon need to ask our residents for their support.

    In the meantime, we continue to send the majority of our budget – 62 percent – directly to the classroom where the biggest impact can be made to prepare students for tomorrow, today. Maintaining the district budget through thoughtful and prudent spending is and always will be my priority. And I am incredibly grateful to our residents for the continued support for our schools, which are such an important part of our community.

    Wildflower House — where women & girls bloom!