Ohio group pushes to abolish property taxes
A group of Ohioans is seeking a statewide vote this November to eliminate property taxes statewide.
Why it matters: Abolishing the tax would slash billions in funding for a variety of public services, including schools, which heavily rely on property tax levies.
Catch up quick: The movement is led by Citizens for Property Tax Reform, based in Cuyahoga County.
The group got the go-ahead earlier this month to start collecting signatures for the proposed constitutional amendment.
What's next: Organizers have until early July to gather about 443,000 signatures from at least half of Ohio's 88 counties to reach the November ballot.
Gathering began in earnest this week, group founder Keith Davey tells Axios.
How it works: In Ohio, property values are based on county auditor appraisals every six years.
The Department of Taxation uses mills to calculate how many dollars owners pay per $1,000 of property value.
Municipalities tax property at different millage rates, but Ohio law establishes a 20-mill "floor" that guarantees school districts a certain amount of property tax revenue.
Davey says his group believes increasing taxes based on increasing value is a "tax on unrealized gains."
Threat level: Property tax rates and uses vary, but they're the main source of funding for schools in many communities.
Local property taxes account for 70% of the Columbus City Schools' general fund.
"To eliminate property taxes would completely pull the rug out of the public schools and other public services all across the state," Ohio Education Association president Scott DiMauro told WBNS-TV.
What they're saying: State Rep. Sean Brennan (D-Parma) said in a statement that lawmakers should view the push for abolition as a sign that reform — rather than elimination of the tax — is needed.
"The Ohio General Assembly has all but ignored the pleas for property tax reform for years, so it is no wonder Ohioans are trying to take this into their own hands."
Franklin County Auditor Michael Stinziano has shared concerns about schools, senior services and the zoo.
Abolishing property taxes would "cripple" townships, according to Heidi Fought, executive director of the Ohio Township Association.
The other side: Davey says school funding concerns are the most common thing he hears, but says "our group does not advocate defunding anything" and instead advocates for funding "not attached to our property."
He says state and local officials have had plenty of time to change property tax funding mechanisms, and now it's time to force their hand.
"For years, I've been hearing that they don't have the time to put something together," he says. "But in two weeks, they put together a $600 million bond issue for the Cleveland Browns."
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