New Tax Break Enacted in Budget without Debate Statement by Andrea Fejes, Coordinator

For Immediate Release: June 29, 2011 Contact: Andrea Fejes andrea@oneohionow.org 614- 420-2027

Columbus, Ohio A new tax break included in the budget and approved by the legislature scant days after Governor Kasich proposed it and with no debate will divert up to $100 million every two years from the public services that are essential to job creation and a strong economy. Supporters claim InvestOhio will help create jobs, but little analysis has been done to back that up and there was no opportunity for discussion of alternatives. Ohio already gives up over $7 billion in tax breaks, many of which are outdated and ineffective in the goal of boosting the economy. The state does not have a method for reviewing tax expenditures. The Senate had taken a good first step in ensuring accountability and transparency by including a provision to create a committee that would review tax expenditures. It was removed, however, by the Conference Committee. The process by which this newest tax break was enacted only highlights why such a committee is essential. Tax breaks, credits and deductions that remove resources from vital public services that make our state a great place to live and work should be scrutinized for effectiveness, just like other spending. A decision this important deserves a public hearing, not rubber-stamp passage behind closed doors. This latest move will cost Ohio even more revenue, at a time when we can least afford it. -30One Ohio Now is a coalition of over 45 member organizations ranging from those involved in health and human services and transportation to education and labor who are advocating for a balanced approach to addressing the states budget.