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00:00:00>> SUPPORT FOR "THE STATE OF
OHIO" COMES FROM THE LAW OFFICES
00:00:07OF PORTER, WRIGHT, MORRIS &
ARTHUR LLP., HELPING BUSINESSES
00:00:09AND INDIVIDUALS SOLVE COMPLEX
LEGAL PROBLEMS THROUGHOUT OHIO,
00:00:12ACROSS THE COUNTRY AND AROUND
THE WORLD,
00:00:15ON THE WEB AT PORTERWRIGHT.COM.
AND FROM THE OHIO EDUCATION
00:00:20ASSOCIATION, REPRESENTING
131,000 TEACHERS, SUPPORT
00:00:23PROFESSIONALS, AND HIGHER
EDUCATION FACULTY, WHO ARE
00:00:26WORKING FOR GREAT PUBLIC
SCHOOLS FOR EVERY CHILD, ONLINE
00:00:28AT OHEA.ORG.
ADDITIONAL SUPPORT FOR "THE
00:00:34STATE OF OHIO" IS MADE POSSIBLE
BY ETECH OHIO.
00:00:36>> HAPPY NEW FISCAL YEAR, AND
JUST IN TIME, THE STATE HAS A
00:00:45NEW BUDGET.
GOVERNOR KASICH USES HIS VETO
00:00:50POWER, BUT NOT IN THE WAY SOME
PEOPLE WANTED, AND TWO BUDGET
00:00:54EXPERTS ARE BACK TO LOOK MORE
INTO THE SPENDING PLAN, WHICH
00:00:57ALSO CONTAINS SOME BIG CHANGES
IN STATE POLICY, ALL THIS WEEK
00:01:01ON "THE STATE OF OHIO."
WITH ONLY FOUR HOURS TO GO, THE
00:01:09BUDGET WAS SIGNED JUST BEFORE
THE START OF THE NEW FISCAL YEAR
00:01:12ON JULY 1, AND THE SUNDAY
EVENING CEREMONY AND IT'S A LOT
00:01:16OF QUESTIONS, BUT BROUGHT UP
EVEN MORE GOING FORWARD.
00:01:19GOVERNOR JOHN KASICH SIGNED THE
BUDGET SURROUNDED BY THE
00:01:25REPUBLICAN LEADERS WHO HAD
HELPED TO PUT IT TOGETHER AND
00:01:29THEN SHEPHERD IT THROUGH THE
LEGISLATURE.
00:01:31SENATORS BILL COLEY, AND SCOTT
OELSLAGER, SENATE PRESIDENT
00:01:38KEITH FABER, REPRESENTATIVES RON
AMSTUTZ, AND JEFF MCLAIN AND
00:01:48BUDGET DIRECTOR TIM KEEN.
THE LAWMAKERS WERE THE
00:01:53REPUBLICANS ON THE SIX-MEMBER
CONFERENCE COMMITTEE.
00:01:55FELIX IS THE SON ISTRACY PLOUCK,
WHO ON SUNDAY WAS ALSO SWORN IN
00:02:06AS THE DIRECTOR OF THE NEWLY
CREATED DEPARTMENT OF HEALTH AND
00:02:10DRUG ADDICTION SERVICES, IF THE
MERGED AGENCY THAT SHE TALKED
00:02:13ABOUT ON THE SHOW TWO WEEKS AGO.
THE BUDGET INCLUDED A GRADUAL
00:02:19INCOME TAX CUT OVER THREE YEARS,
WHICH GOES BEYOND THE TWO-YEAR
00:02:23BUDGET CYCLE, INCLUDING A 50%
TAX CUT FOR SMALL BUSINESSES
00:02:28BEYOND $250,000 IN INCOME.
THERE IS ALSO THE ELIMINATION OF
00:02:32THE 12.5% ROLLBACK ON NEW LEVIES
AND MEANS TESTING FOR THE
00:02:37HOMESTEAD TAX EXEMPTION FOR
ELDERLY AND DISABLED HOMEOWNERS
00:02:41MAKING MORE THAN $30,000 IN
INCOME.
00:02:43GOVERNOR KASICH SAID HE WAS
PLEASED WITH THE BUDGET, THOUGH
00:02:48IT DID NOT INCLUDE HIS PROPOSED
MEDICAID EXPANSION.
00:02:52>> WE ARE GOING TO CONTINUE TO
PUSH FORWARD WITH ADDITIONAL
00:02:55PROGRAMS TO HELP THOSE WHO ARE
POOR AND DISADVANTAGED.
00:02:58WE ARE PROUD OF OUR TAX CUTS,
BECAUSE WE THINK THIS IS ANOTHER
00:03:01INSTALLMENT IN OHIO'S COME BACK.
>> FOR MANY, BIG QUESTIONS
00:03:09CENTERED AROUND WHAT, IF
ANYTHING, THE GOVERNOR WOULD
00:03:12TARGET WITH HIS LINE-ITEM VETO.
REPORTERS WERE NOT INFORMED OF
00:03:17HIS VETO DECISIONS UNTIL AFTER
HE HAD LEFT THE ROOM, AND AS
00:03:22THOSE EXPECTED, HE STRUCK LINES
THAT WOULD HAVE PROHIBITED
00:03:25MEDICAID EXPANSION, AS MANY
DEMOCRATS AND ADVOCATES FOR
00:03:29EXPANSION HAD URGED HIM TO DO,
BUT LAWMAKERS WOULD STILL HAVE
00:03:33TO APPROVE MEDICAID EXPANSION
FOR IT TO GO FORWARD.
00:03:35IF THERE IS ALSO EXEMPTING
SPIDER MONKEYS FROM THE NEW AND
00:03:40EXOTIC ANIMALS LAW AND REDLINING
AN ADDITIONAL $60 MILLION FOR
00:03:44NURSING HAMAS.
HE ALSO GOT OUT A PROVISION
00:03:47EXEMPTING THE PURCHASES OF
AEROSPACE RESEARCH AND
00:03:52DEVELOPMENT FROM THE SALES TAX,
AND HE NOTED THAT HE VETOED THAT
00:03:56ITEM BEFORE, AS WELL, BUT THE
GOVERNOR DID NOT VETO ANY OF THE
00:04:00ABORTION-RELATED MEASURES IN THE
BUDGET.
00:04:02THAT INCLUDED WHAT REPUBLICAN
LAWMAKERS CALLED THE RE-
00:04:07PRIORITIZATION OF THE PLANNED
PARENTHOOD FUNDING, HE
00:04:09ESSENTIALLY STRIPPING ITS $1.40
MILLION IN STATE FUNDING, AND A
00:04:14LAST-MINUTE ADDITION TO REQUIRE
A DOCTOR TO INFORM THE WOMAN OF
00:04:17THE PRESENCE OF A FETAL
HEARTBEAT PERFORMED -- DURING
00:04:23THE PROCEDURE.
NATIONAL TALK SHOWS AND
00:04:26THOUSANDS OF EMAILS AND TWEETS
FEATURED THIS PICTURE, WHICH I
00:04:31TWEETED DURING THE SIGNING
CEREMONY, WHICH NOTED THERE WERE
00:04:37NO WOMEN IN IT.
THERE WERE NO WOMEN ON THE
00:04:40CONFERENCE COMMITTEE, REPUBLICAN
OR DEMOCRAT, AND THERE WAS THE
00:04:43ONLY ONE WOMAN WHO VOTED AGAINST
THE BUDGET, REPUBLICAN
00:04:46REPRESENTATIVE KRISTINA ROEGNER
OF HUDSON, WHO IS A STAUNCH
00:04:53SUPPORTER OF THE RESTRICTIONS ON
ABORTION.
00:04:55KELLIE COPELAND WITH NARAL/PRO
CHOICE OHIO SAYS ACTIVISTS ARE
00:05:06WORKING ON THAT.
>> TO DETERMINE WHAT KIND OF
00:05:09LEGAL CHALLENGES WILL HAPPEN IN
THE MEANTIME, BUT ULTIMATELY, IT
00:05:12WILL BE THE VOTERS WHO HOLD
GOVERNOR KASICH RESPONSIBLE FOR
00:05:18IN DANGER IN WOMEN'S HEALTH.
>> NOW THAT THE BUDGET IS SIGNED
00:05:21AND IN PLACE, IT IS UP TO THE
EXPERTS AND TO US STATE HOUSE
00:05:26AND JOURNALISTS TO DIG INTO WHAT
IS IN THE HUGE PLANT TO FIND OUT
00:05:29MORE ABOUT IT.
LAST WEEK, I TALKED WITH TWO
00:05:33BUDGET WATCHERS WHO ARE ON
DIFFERENT SIDES OF THE POLITICAL
00:05:36SPECTRUM.
JON HONECK IS WITH THE CENTER
00:05:41FOR COMMUNITY SOLUTIONS, A
PROGRESSIVE-LEADING RESEARCH
00:05:44GROUP DEALING WITH FISCAL,
HEALTH, SOCIAL, AND ECONOMIC
00:05:47POLICY.
GREG LAWSON IS A POLICY ANALYST
00:05:52FOR THE CONSERVATIVE BUCKEYE
INSTITUTE, WHICH DESCRIBES
00:05:56ITSELF AS A FREE-MARKET THINK-
TANK.
00:05:58I STARTED THE SECOND PART OF OUR
CONVERSATION BY ASKING THEM
00:06:01ABOUT THE LESSER-REPORTED PART
OF THE BUDGET DEAL, THE PROPERTY
00:06:05TAX CHANGES.
>> THERE WAS TREMENDOUS SUPPORT
00:06:08THAT BASICALLY DECIDED TO MAKE
IT UNIVERSAL.
00:06:10YOU TURN 65, YOU KNOW, YOU ARE
GOING TO GET IT.
00:06:14THE COST OF THAT WAS TREMENDOUS.
IT IS SOMETHING LIKE $400
00:06:18MILLION PER YEAR TO SUPPORT THAT
PROGRAM, AS THE OHIO POPULATION
00:06:22AGES, BUT COST ONLY GOING UP.
PEOPLE TALKING ABOUT THAT FOR A
00:06:26NUMBER OF YEARS, WHAT ARE WE
GOING TO DO?
00:06:28THE PROPOSAL IN THE BUDGET, THE
MEANS TEST, IT IS A GOOD ONE,
00:06:34BUT IT IS DONE IN A WAY THAT IT
GRANDFATHERS IN EVERYBODY WHO IS
00:06:38GETTING IT NOW, SO IT CREATES
TWO-CLASS SYSTEM, WHERE IF YOU
00:06:45TURN 65 NEXT YEAR, AND YOU GET
THE MEANS TESTED VERSION OF IT,
00:06:49SO IF YOUR INCOME IS OVER
$30,000, YOU DO NOT GET IT, BUT
00:06:53EVERYONE ELSE IS GRANDFATHERED
IN.
00:06:56>> THAT IS A PRETTY LOW
THRESHOLD.
00:06:59>> IT IS PRETTY LOW.
IT WILL BE ADJUSTED FOR
00:07:03INFLATION.
IT IS VERY SIMILAR TO WHAT IT
00:07:06WAS IN 2007.
THEY HAVE ADJUSTED UPWARD FOR
00:07:10INFLATION A LITTLE BIT, BUT IT
COULD HAVE BEEN DONE IN SUCH A
00:07:13WAY MAYBE TOO SLOWLY PHASE OUT
SOME OF THE FOLKS WHO WOULD BE
00:07:17GRANDFATHERED IN, SO EVERYBODY
IS ON THE SAME PAGE, SO TO
00:07:21SPEAK, AND YOU GET SOME MORE
COST SAVINGS.
00:07:24THE OTHER PROPOSAL WOULD
BASICALLY SAY FOR NEW LEVIES,
00:07:29THE STATE IS NOT GOING TO GIVE
THE 12.5% ROLLBACK.
00:07:32THE STATE PAYS 10% ON ALL
RESIDENTIAL AND AGRICULTURAL
00:07:37PROPERTY.
IF YOU OWN YOUR OWN HOME, THERE
00:07:38IS ANOTHER 2.5%.
I DO NOT THINK MOST PEOPLE KNOW
00:07:43THAT, UNLESS YOU'RE REALLY
STUDYING PROPERTY-TAX BILL, AND
00:07:46THE TAX ARGUMENT AGAINST THIS IS
IT IS NOT TRANSPARENT, AND YOU
00:07:50HAVE A PASS, AND THEN YOU HAVE
THE STATE COMING IN AND
00:07:54SUBSIDIZING THAT, AND THE COST
HAS SLOWLY GROWN OVER TIME, SO
00:07:58THERE IS A LOT OF CONCERN OVER
THAT.
00:08:01ON THE OTHER HAND, WHAT WE HAVE
SAID OVER THE LAST YEARS, I
00:08:04THINK, THE SCHOOLS, AND MY
ORGANIZATION A'S CONCERN, HUMAN
00:08:09SERVICES LEVEES, CHILD
PROTECTION AND OTHER AREAS, THEY
00:08:13ARE SAYING THAT SINCE WE ARE NOT
GOING TO USE THIS ROLL BACK
00:08:17ANYMORE AND NEW LEVIES, IT IS
GOING TO BE EXTREMELY DIFFICULT
00:08:21TO GO TO THE VOTERS AND SAY,
"OK, WE NEED THIS NEW LEVY," AND
00:08:28PEOPLE ARE REALIZING WE ARE NOT
GOING TO GET THIS ANYMORE, SO
00:08:31MAYBE THEY SHOULD HAVE LOOKED
FOR SOME MEANS TESTING THERE,
00:08:35TOO, OR SOMETHING WITH WHAT THEY
GET PAID FOR EACH HOUSEHOLD.
00:08:38>> I WANT TO ASK YOU.
YOU HAVE WRITTEN ABOUT THAT.
00:08:41IF THERE IS TRANSPARENCY WITH
TAXES WITH THIS ROLLBACK, YOU
00:08:45FEEL THAT VOTERS MAY REJECT THE
LEVIES, AND AS HE WROTE, THE
00:08:51VOTERS MAY BE LESS LIKELY TO
SUPPORT THE COLLECTIVE
00:08:53BARGAINING PACKAGES.
THAT IS VERY INTERESTING.
00:08:56THIS IS AN ANTI-COLLECTIVE
BARGAINING MOVE, YOU THINK?
00:09:00>> I SERIOUSLY DOUBT THAT WAS
THE INTENTION THAT DROVE IT.
00:09:03I THINK IT WAS MORE THAT THE
STATE NEEDED WITH THE INCOME TAX
00:09:06AND OTHER ADJUSTMENTS MADE, THEY
NEEDED SOME REVENUE.
00:09:09THERE IS AN ARGUMENT ABOUT THE
STATE COMING IN AND SUBSIDIZING
00:09:12SOMETHING THAT MOST PEOPLE DO
NOT EVEN REALIZE, AND I THINK
00:09:15THAT THAT ISSUE HAS BEEN
DISCUSSED OVER THE YEARS BEHIND
00:09:19THE SCENES QUITE A BIT.
BUT FROM OUR STANDPOINT, WE DO
00:09:24NOT LIKE TO SEE TAXES GO UP AT
ALL.
00:09:26OBVIOUSLY, SOMETHING LIKE THIS
MEANS MORE MONEY COMING OUT OF
00:09:30TAXPAYERS' AND HOMEOWNERS'
POCKETS.
00:09:38THIS IS NOT TO SAY THAT NO LEVY
SHOULD EVER PASS.
00:09:40PAYING 12% MORE ON YOUR TAX
BILL.
00:09:44BUT NOW, IT GIVES YOU AN ADDED
INCENTIVE TO ASK TOUGH
00:09:49QUESTIONS, AND I THINK THAT IS
REALLY WHERE WE SEE THERE COULD
00:09:52BE SOME ADDITIONAL BENEFIT.
THERE IS A GENERAL TRANSPARENCY
00:09:56ARGUMENT THAT IS LEGITIMATE, I
THINK, IN ITS OWN RIGHT, BUT I
00:10:00THINK A COUPLE OF STEPS OUT,
THIS CAN OVER TIME TO BE USED BY
00:10:04FOLKS TO ASK QUESTIONS AT SCHOOL
BOARDS, AT CITY COUNCILS, AND AT
00:10:09OTHER ORGANIZATIONS, TRYING TO
PUT BALANCE ISSUES ON.
00:10:12WE THINK THERE IS STILL A LARGE
ISSUE THAT IS LOOMING OUT THERE.
00:10:17WE TALK ABOUT LOCAL GOVERNMENT,
LOCAL GOVERNMENT TAXES, WHICH
00:10:20NEEDS TO BE ADDRESSED.
YOU CANNOT FOCUS ON THAT AND TO
00:10:23FOCUS ON SPENDING, AND YOU
CANNOT FOCUS ON SPENDING UNLESS
00:10:27YOU FOCUS ON COLLECTIVE
BARGAINING, AND THERE WAS AN
00:10:29EFFORT TO DO THAT, AND THAT DID
NOT GO SO WELL.
00:10:32FROM OUR PERSPECTIVE, THAT IS
TRUE, THE FACT THAT IT WAS
00:10:37GENERALLY SUPPORTIVE OF THE
CONCEPT, IF NOT SOME OF THE WAYS
00:10:40IN WHICH IT MIGHT HAVE BEEN
DONE.
00:10:41THE ISSUE THOUGH IS WE HAVE GOT
TO STILL DO IT.
00:10:44THIS IS AN 800-POUND GORILLA
THAT IS STILL OUT THERE, AND IS
00:10:49STILL WAITING, ON A LONG-TERM
SENSE AROUND THE NECK OF OHIO.
00:10:52IS THERE IS ANY WAY TO
FACILITATE RAISING THIS ISSUE IN
00:10:58A SMALL WAY ON A CASE-BY-CASE
BASIS, THEN THERE COULD BE SOME
00:11:02POSITIVE THINGS.
>> I WANT TO ASK YOU ABOUT SOME
00:11:05FOLKS WHO HAVE DONE THE MATH ON
THESE TAX CUTS, AND ESPECIALLY
00:11:09FOR SMALL BUSINESSES, THEY ARE
WAY TO A SMALL TO FINANCE EVEN
00:11:13ONE JOB AT SOME OF THESE SMALL
BUSINESSES, SO HOW IS IT THESE
00:11:17TAX CUTS ARE REALLY CREATING
JOBS HERE?
00:11:19>> THERE ARE A NUMBER OF THINGS
THAT ARE HAPPENING.
00:11:21THERE IS A STATIC NOTION THAT
THIS MEANS THEY ARE GOING TO PUT
00:11:25THIS BACK INTO AN INDIVIDUAL JOB
RIGHT AWAY.
00:11:28YOU HAVE LONG-TERM CAPITAL
FORMATION, WHICH CAN LEAD TO JOB
00:11:32GROWTH OVER TIME, MAYBE NOT IN
YEAR 1, BUT IN OTHER YEARS.
00:11:39SOMETIMES, IT IS CAPITAL OR A
NEW COMPUTER OR SOMETHING LIKE
00:11:42THAT, IF YOU ARE A BARBER SHOP
OR A SMALL BUSINESS, WHATEVER
00:11:46YOU MIGHT BECOME A STOREFRONT
KIND OF SITUATION, AND IF YOU
00:11:50START TO SEE THAT AND ARE ABLE
TO INVEST IN IMPROVED A, YOU
00:11:53WILL BEGIN TO SEE AN EFFECT
WHERE YOU CREATE OF THINGS,
00:11:57ESPECIALLY IN CERTAIN UNDER-
SERVED AREAS, WHERE THERE MAY
00:12:00NOT BE AS MANY SMALL BUSINESSES
RIGHT THERE, IN URBAN AREAS,
00:12:07DISADVANTAGED NEIGHBORHOODS, AND
THINGS LIKE THAT.
00:12:10THESE KINDS OF THINGS OVER TIME
CAN HELP TO CREATE MORE SMALLER
00:12:15BUSINESSES STAYING OPEN, STAYING
THERE, AND TREATING OTHER PEOPLE
00:12:18COMING INTO THAT AREA, SO IT IS
NOT JUST, OH, HAVE TO HIRE ONE
00:12:23FOR ONE PERSON.
IT IS A LONG-TERM THING WE WANT
00:12:28TO SEE OVER A BROAD PERIOD OF
TIME, SO I THINK WE HAVE TO BE
00:12:33CAREFUL OF NOT LOOKING AT IT
THAT IT HAS TO BE AT THE DROP OF
00:12:37A HAT.
WE HAVE TO LOOK AT THE LONG-TERM
00:12:39FORMATION OF CAPITAL.
>> LOOKING LONG TERM, YOU HAVE
00:12:42GOT A LOT OF REPUBLICANS TALKING
ABOUT THE TAX CUTS OVER THE
00:12:46YEARS HAVE TURNED OUT TO IMPROVE
THE ALL-ECONOMY.
00:12:49THE UNEMPLOYMENT RATE IS DOWN.
THERE ARE THINGS GOING WELL.
00:12:52HOW DO YOU ARGUE WITH THAT, JON?
>> I WOULD LOVE TO SEE THINGS
00:12:57GOING WELL AND TO CONTINUE.
I HAVE LIVED IN THE STATE MOST
00:13:01OF MY LIFE AND HAVE LIVED HERE.
WE ALL WANT TO PROSPER.
00:13:04I THINK WITH RESPECT TO THE
SMALL BUSINESS DEDUCTION, IN
00:13:09PARTICULAR, IT HAS BEEN POINTED
OUT BY MANY THAT MANY OF THESE
00:13:13BUSINESSES ARE SELF-EMPLOYED.
THEY HAVE NO INTENTION OF HIRING
00:13:17ANYONE ELSE.
SOME OF THE TAXPAYERS THAT WOULD
00:13:19BE AFFECTED ACTUALLY LIVES OUT-
OF-STATE, SO WE HAVE NO IDEA
00:13:24WHERE THAT MONEY IS GOING TO GO.
THERE ARE PROBABLY INVESTED IN
00:13:28MULTIPLE BUSINESSES.
IT THE POLICY DESIRE WAS TO
00:13:33FOCUS THE TAX MECHANISM TO FOCUS
ON JOB CREATION, WHICH IS VERY
00:13:37DIFFICULT, IT IS VERY DIFFICULT
TO DO THAT.
00:13:41JOB CREATION DEPENDS ON A LOT OF
DIFFERENT FACTORS, WORK FORCE
00:13:45DEVELOPMENT, BUT THAT, THOSE
RESOURCES SHOULD HAVE BEEN
00:13:49FOCUSED ON COMPANIES THAT
ACTUALLY WERE GOING TO CREATE
00:13:51JOBS, AND MAY BE ALMOST A PAY
FOR PERFORMANCE TYPE OF
00:13:54SITUATION, A JOB-CREATION TAX
CREDIT OR SOMETHING LIKE THAT.
00:13:58YOU SHOW US YOU CAN INCREASE
REPAY WILL COMPARE TO WHAT IT
00:14:02WAS ONE YEAR AGO OR TWO YEARS
AGO, AND YOU WILL GET A TAX CUT.
00:14:07THE GENERAL TAX CUTS KIND OF PUT
THE MONEY OUT THERE, LET'S CROSS
00:14:11OUR FINGERS AND HOPE FOR THE
BEST, AND THAT IS A LONG WAY TO
00:14:15GO.
>> DUTIES NOT DRIVE DOWN TAXES
00:14:18TO THE LOCAL LEVEL?
THIS IS COMMUNITIES AND SCHOOLS
00:14:22COUNTING ON THE MONEY OVER THE
YEARS.
00:14:24DOES THAT NOT MEAN THEY WILL GO
TO LOCAL RESIDENTS AND TRY TO
00:14:28GET MORE FROM THEM?
>> I KNOW THAT IS AN ARGUMENT
00:14:31THAT IS OUT THERE A LOT, BUT
BEFORE THE CUTS AND A LOT OF
00:14:34OTHER THINGS, AND THE CURRENT
ONE, THERE WAS AN ARGUMENT THAT
00:14:39THE STATE WAS DOING HEAVY
SUBSIDIZATION OF LOCAL
00:14:41GOVERNMENT, AND MANY SHELL GAMES
IS A WAY OF LOOKING AT IT.
00:14:47THERE WAS A LOT OF THAT GOING
ON.
00:14:50A LOT OF TIMES, WE DID NOT
APPRECIATE THE FULL COST.
00:14:55YES, IT DOES COME TO SOME EXTENT
SHIFT BACK DOWN.
00:14:59IT SHIPS IT DOWN TO WHERE PEOPLE
HAVE CONTROL AT THE BALLOT BOX
00:15:02AND MAKING DECISIONS OF THE
LOCAL LEVEL.
00:15:05IN MOST CASES, TO TALK TO YOUR
LOCAL CITY COUNCIL AND TALK TO
00:15:10THEM, SOMETIMES IT IS THE
UNDERSTANDING TO GET TO THE
00:15:14COLUMBUS NETWORK, WHEN YOU ARE
TALKING ABOUT THE STATE
00:15:18LEGISLATURE OR THE GOVERNMENT --
GOVERNOR OR THINGS LIKE THAT.
00:15:23AND NUMBER TWO, IT ALSO FORCES
GOVERNMENTS TO DO THINGS THEY
00:15:27MAY NOT WANT TO DO BUT SHOULD
HAVE BEEN DOING.
00:15:29WE HAVE MORE GOVERNMENT
ENTITIES, TAXING AUTHORITIES PER
00:15:34COUNTY, THAN MANY OTHER STATES
DO.
00:15:37THEY BROUGHT THIS BACK ABOUT
REFORMING, SHARING OF SERVICES,
00:15:41SOMETHING THE GOVERNOR HAS
TALKED ABOUT, SOMETHING THE
00:15:45STATE AUDITOR DAVE YOST HAS
TALKED ABOUT.
00:15:53THAT IS TRUE.
WE, IF YOU'RE GOING TO HAVE AN
00:15:59ECONOMY THAT TAKES OFF IN OHIO,
WE WILL HAVE TO DEAL WITH A MUCH
00:16:03LOWER TAX ENVIRONMENT OVERALL,
AND WE WOULD HAVE TO DO THINGS
00:16:07DIFFERENT.
THAT DOES MEAN SHARING SERVICES.
00:16:09THAT MIGHT MEAN SOME OTHER TYPES
OF MODIFICATIONS DOWN THE ROAD,
00:16:13ON A LOCALIZED BASIS.
TO HAVE THAT CONVERSATION, --
00:16:23>> I THINK THERE HAVE BEEN
SUBSTANTIAL CUTS WITH THE LOCAL
00:16:26GOVERNMENTS, WITH THE
ELIMINATION OF THE TANGIBLE
00:16:31PERSONAL PROPERTY TAX.
THE STATE WAS SUPPOSED TO
00:16:33REIMBURSE THEM FOR LOST REVENUE.
CUTTING WAY BACK WITH THE LAST
00:16:41BUDGET, HAVING A LOCAL
GOVERNMENT FUND, SO THE STATE
00:16:46CAN INCENTIVIZE LOCALITIES TO
SHARE SERVICES AND COLLABORATE,
00:16:49THAT IS GREAT.
THAT IS SOMETHING WE SUPPORT,
00:16:53AND WE WOULD LIKE TO SEE MORE OF
THAT, EVEN IN THE HUMAN SERVICES
00:16:56ARENA.
ON THE OTHER HAND, AS YOU SAID,
00:17:01KAREN, THEY REALLY PUSH MORE OF
THE RESPONSIBILITY FOR
00:17:05PROGRAMMING DOWN TO THE LOCAL
LEVEL, AND WE HAVE SOME AREAS IN
00:17:09THE STATE THAT HAVE VERY LITTLE
TO TAX.
00:17:11THEIR TAX CAPACITY, PARTICULARLY
IN RURAL AREAS, THERE IS JUST
00:17:19NOT MUCH THERE, SO YOU HAVE AN
UNEVEN SITUATION.
00:17:22PEOPLE DO NOT GET THE SAME
SERVICES.
00:17:24IF YOU ARE IN URBAN AREAS, ARE
GENERALLY GOING TO GET MORE
00:17:27SERVICES THAN O T -- OUT IN
RURAL AREAS, AND IF WE DO NOT
00:17:36WATCH IT, IT COULD GET WORSE FOR
OUR SENIORS AND OTHERS.
00:17:40>> TALKING ABOUT SOME THINGS
NOT IN THE BUDGET, INCLUDING THE
00:17:45MEDICAID EXPANSION.
LET'S START WITH THAT.
00:17:48WHAT DO YOU THINK IS THE NEXT
STEP FOR THAT?
00:17:49THERE IS A MEDICAID REFORM BILL
THAT APPEARS TO BE THE WAY
00:17:53THINGS ARE GOING.
WHAT IS NEXT IN REGARD TO THIS
00:17:57MEDICAID EXPANSION OF THE
GOVERNOR WANTED?
00:18:00>> WE HAVE BEEN VERY SUPPORTIVE
OF MEDICAID EXPANSION.
00:18:02OVER 300,000 PEOPLE, MANY OF
WHOM ARE WORKING, THEY ARE
00:18:10WORKING A LOW-WAGE JOBS.
THEY ARE THE PEOPLE YOU SEE
00:18:14EVERY DAY WORKING AT THE CASH
REGISTER.
00:18:15HAVE THEM COVERED.
REALLY COLLAPSING FOR MANY OF
00:18:21OUR CITIZENS FOR SEVERAL
DECADES, AND IT IS ONLY GOING TO
00:18:25CONTINUE.
UNFORTUNATELY.
00:18:27I DO NOT KNOW ABOUT THE NEXT
STEP.
00:18:28THERE SEEMS TO BE A COMMITMENT
HERE IN BOTH HOUSES TO CONTINUE
00:18:32THE DISCUSSION OVER THE SUMMER,
MAYBE INTO THE FALL.
00:18:35POLITICALLY, I AM NOT SURE
EXACTLY WHAT HAS CHANGED THOUGH
00:18:42IN THE OVERALL CALCULATION.
THERE SEEMS TO BE A DESIRE TO
00:18:46ADD THINGS INTO THE BILL HAVING
TO DEAL WITH WORK REQUIREMENTS
00:18:49AND THINGS LIKE THAT, SOME OF
WHICH THE FEDERAL GOVERNMENT
00:18:53PROBABLY WILL NOT ALLOW, AT
LEAST IN THE MOST EXTREME FORM,
00:18:57AND I THINK THERE IS SORT OF AN
UNFORTUNATE EQUIVALENCY PUT UP
00:19:03HERE THAT IF WE CAN JUST GET
PEOPLE WORKING, WE WILL GET THEM
00:19:07INTO BETTER JOBS AND GET
EMPLOYER COVERAGE, BUT THEY ARE
00:19:10MISSING THE POINT.
THESE PEOPLE ARE WORKING.
00:19:12SOMETIMES THEY ARE WORKING TWO
JOBS, AND TO SAY TO THEM, WE ARE
00:19:18GOING TO KIND OF KEEP YOU AT BAY
FOR THE NEXT YOU ARE WHATEVER
00:19:21UNTIL WE FIGURE THIS OUT IS, I
THINK, EXTREMELY UNFORTUNATE,
00:19:26ALMOST UNCONSCIONABLE, BECAUSE
THE FEDERAL GOVERNMENT IS GOING
00:19:29TO PAY 100% OF THIS EXPANSION
AND THEN GO DOWN TO 90% AFTER
00:19:34THAT, SO I HOPE THE LEGISLATURE
REALLY GETS ITS ACT TOGETHER AND
00:19:38TAKES A VOTE AND MOVES FORWARD.
>> JON, THIS IS ONE THING WE DO
00:19:46NOT AGREE ON.
THE BUCKEYE INSTITUTE HAS BEEN
00:19:49PRETTY OUTSPOKEN ON THIS.
IT SEEMS LIKE A GOOD IDEA IN THE
00:19:54SHORT RUN, BECAUSE AS MONT
ALLUDED TO -- AS JON ALLUDED TO,
00:20:01PERHAPS DEBT-FUNDED MONEY FROM
THE GOVERNMENT, IT HAS ALREADY
00:20:06GOT CLOSE TO $17 TRILLION IN
DEBT, AND OPPRESSIVE AMOUNT OF
00:20:10DEBT AT THE NATIONAL LEVEL.
THAT IS A SERIOUS ISSUE.
00:20:14I KNOW A LOT OF PEOPLE WOULD
LIKE TO SAY IT IS NOT.
00:20:17IT IS.
WE ARE SEEING THAT IN
00:20:19SEQUESTRATION AND IN WASHINGTON
TRYING TO DEAL WITH IT, BUT THE
00:20:22REAL THING IS THERE MIGHT BE
OTHER WAYS WE CAN ADDRESS THIS.
00:20:25WE DO NOT WANT OHIO TO GET INTO
A SITUATION.
00:20:29THE FORMER GOVERNOR PLAYING
PACMAN, AND IT STILL IS.
00:20:33QUITE FRANKLY, THE CURRENT
GOVERNOR'S ADMINISTRATION HAS
00:20:38DONE SOME WORK ON HOME CARE AND
REBALANCING -- TERM CARE ISSUES,
00:20:42SO THERE ARE SOME GOOD THINGS
GOING ON THAT THEY DESERVE AN
00:20:47INCREDIBLY LARGE AMOUNT OF
KUDOS FOR.
00:20:50BUT THAT SAID, THIS IS MOSTLY
ADULTS WITHOUT DEPENDENT
00:20:55CHILDREN.
WE HAVE NEVER MADE THE DECISION
00:20:58IN HISTORY.
MEDICAID HAS ALWAYS BEEN A
00:21:00SAFETY NET FOR CERTAIN
POPULATIONS.
00:21:02WE ARE NOW BASICALLY EXPANDING
THAT IN THE LARGEST WAY WE HAVE
00:21:06EVER POTENTIALLY EXPANDED THIS
PROGRAM SINCE ITS INCEPTION.
00:21:11WE ALSO, AND THIS IS NOT TALKED
ABOUT NEARLY ENOUGH, BUT THE
00:21:14OBAMA ADMINISTRATION IN
WASHINGTON ITSELF ALREADY
00:21:17THREATENED TO REDUCE THE RATES
TO THE STATE BEFORE THE SUPREME
00:21:20COURT DECISION LAST YEAR THAT
FOUND THE ACT -- THERE WAS A
00:21:25DESIRE TO CUT THAT.
THE OBAMA ADMINISTRATION DID
00:21:30THAT.
THAT WOULD APPEAR OHIO IN A MUCH
00:21:32DIFFERENT SITUATION.
THERE ARE NUMBERS ABOUT WHAT WE
00:21:35CAN EXPECT.
THEY MIGHT NOT.
00:21:36AND THEY MIGHT NOT FOREVER, AND
THEN DOWN TO 90%, WHAT HAPPENS
00:21:43IF THEY CHANGE THAT?
OHIO CAN BE ON THE HOOK IN THE
00:21:46LONG TERM ONCE THEY GET OUTSIDE
THE NEXT THREE OR FOUR YEARS, SO
00:21:49WE THINK IT IS ACTUALLY VERY
PRUDENT THAT THE LEGISLATURE IS
00:21:53TAKING TIME NOT TO RUN HEADLONG
INTO THIS, BECAUSE THERE ARE
00:21:57MANY THINGS, NOT TO MENTION OUR
HEALTH OUTCOMES.
00:22:00PEOPLE ON MEDICAID.
THERE ARE A LOT OF ISSUES THAT
00:22:04THEY ARE FLESHING OUT.
THERE IS NOW TIME TO DO THAT.
00:22:07WE CERTAINLY DO NOT NEED TO BE
RUSHING INTO A DECISION.
00:22:11>> REALLY QUICKLY, I WANT TO ASK
YOU ABOUT THE SEVERANCE TAX.
00:22:14IT APPEARS THE LEGISLATURE WAS
SUPPORTIVE OF THAT LAST YEAR.
00:22:21THIS YEAR IS A DIFFERENT YEAR.
YOU HAVE LAWMAKERS SAY NO.
00:22:25WHERE DO YOU THINK THIS IS,
GIVEN THAT THIS OIL AND GAS BOOM
00:22:30IS NOT GOING AWAY?
>> I THINK AS YOU SEE MORE AND
00:22:34MORE WELLS COMING ON LINE AND
BEING DRILLED, AND YOU SEE MORE
00:22:38OF A LOCAL IMPACT IN THAT
INDUSTRY ON THE ROADS AND THE
00:22:42ENVIRONMENT, I THINK THAT WILL
ONLY GROW.
00:22:45WE WILL SEE THAT INDUSTRY TAX,
AS WE SEE IN OTHER STATES.
00:22:49THE GOVERNOR WAS PROPOSING TAX
RATES THAT WERE MUCH LOWER THAN
00:22:53THE NATIONAL AVERAGE, AND YET,
WE CAN SEE OTHER STATES OUT
00:22:57WEST, AGAIN, NORTH DAKOTA COMES
TO MIND -- JUST A HUGE BOOM OUT
00:23:02THERE.
THE ARGUMENT THAT THESE TAXES
00:23:05WERE SOMEHOW GOING TO IMPEACH
THE INDUSTRY I THINK OR JUSTIN
00:23:07RONNY IS.
-- TO IMPEDE THE INDUSTRY, I
00:23:16THINK WAS JUST ERONEOUS.
>> I THINK IT HAS BEEN A LITTLE
00:23:21MORE SUNNY.
THE NATURAL GAS IS AT A NATURAL
00:23:27LOW RIGHT NOW.
CHANGING THINGS.
00:23:31RIGHT NOW, IT IS AT HISTORICAL
LOWS.
00:23:34THIS HAS NOT YET PROVEN TO BE
PLAYING OUT AS WELL AS IT WOULD
00:23:40APPEAR THE GOVERNOR HAD
EXPECTED.
00:23:41I THINK IT IS STILL A NASCENT
INDUSTRY.
00:23:47THINGS ARE GROWING WELL.
BUT IT IS NOT REALLY TRULY CLEAR
00:23:53THAT WE ARE GOING TO BE A NORTH
DAKOTA OR TEXAS, AND PUTTING
00:23:59THIS OUT THERE MAY NOT BE AS
BENEFICIAL, SO IT IS SOMETHING
00:24:03THAT WILL PROBABLY CONTINUE TO
BE DISCUSSED, BUT I DO NOT THINK
00:24:06THERE IS ANY REASON WE HAVE TO
BE RUSHING TO MAKE A DECISION,
00:24:10ESPECIALLY GIVEN THE STATUS OF
THE INDUSTRY AS IT CURRENTLY
00:24:13STANDS.
>> VERY QUICKLY, I KNOW NEITHER
00:24:16OF YOU, OUR SOCIAL ACTIVISTS.
PARTICULARLY ABORTION, GETTING
00:24:20INTO THIS BUDGET, MAYBE WHEREAS
GUN LAWS AND SOME OTHER ISSUES
00:24:24DID NOT.
WHY IS ABORTION SUCH A BIG ISSUE
00:24:27IN THIS BUDGET?
GREG, LET ME ASK YOU.
00:24:32>> IT IS INTERESTING.
BUT IT'S BECOME CHRISTMAS TREES.
00:24:34IT IS THE SINGLE BIGGEST POLICY
LEGISLATION THAT YOU WILL FIND
00:24:38IN ANY GIVEN TWO-YEAR CYCLE FOR
THE GENERAL ASSEMBLY.
00:24:42THERE IS A LOT OF ISSUES OUT
THERE THAT PEOPLE WANT TO SEE
00:24:46MOVE FORWARD.
THIS PROVIDES THE OPPORTUNITY TO
00:24:49BE ABLE TO DO IT, AS LONG AS
THERE IS SOME TYPE OF
00:24:52APPROPRIATION OR SOMETHING
ASSOCIATED WITH IT.
00:24:53THERE IS SOME QUESTION OF
CONSTITUTIONAL ISSUES, A SINGLE
00:24:59SUBJECT, THINGS LIKE THAT, BUT
IF YOU CAN MAKE AN
00:25:01APPROPRIATION, IS A VEHICLE.
QUITE FRANKLY, IT IS AS SIMPLE
00:25:06AS THAT.
I KNOW PEOPLE GET FRUSTRATED,
00:25:09BUT THEY DO IT IN CONGRESS.
OTHERS STATEHOUSES DO IT.
00:25:12THIS IS PART OF THE WITH THE
LEGISLATIVE PROCESS WORKS.
00:25:16>> THE LAST WORD.
>> THINGS GET IN THERE AT THE
00:25:21LAST MINUTE, AND SOMETIMES THEY
ARE GOOD, AND IN THIS CASE, WITH
00:25:25RESTRICTIONS ON ABORTION AND
PLANNED PARENTHOOD, PROBABLY NOT
00:25:28GOOD, ACCORDING TO OUR POINT OF
VIEW, BUT WE WILL HAVE TO LIVE
00:25:32WITH IT NOW, AND THE BATTLE WILL
MOVE.
00:25:33>> PAUL BECK, A POLITICAL
SCIENCE PROFESSOR AT OHIO
00:25:41UNIVERSITY AND A FREQUENT GUEST
ON THIS SHOW, TOLD ME EARLIER
00:25:44THIS WEEK THAT HE THINKS WE ARE
GOING TO BE SPENDING WEEKS IF
00:25:47NOT MONTHS FIGURING OUT WHAT IS
IN THE BUDGET PACKAGE.
00:25:50AND THAT IS IT FOR THIS WEEK.
FROM MY COLLEAGUES AT OHIO
00:25:54PUBLIC RADIO AND TELEVISION,
THANKS FOR WATCHING.
00:25:57IF YOU WOULD LIKE TO ASK
QUESTIONS OR MAKE COMMENTS OR
00:26:01WHAT TO THIS WEEK'S SHORT
EARLIER EPISODES, PLEASE VISIT
00:26:03OUR WEBSITE AT STATENEWS.ORG,
AND YOU CAN ALSO CHECK US OUT ON
00:26:10FACEBOOK, AND YOU CAN FOLLOW JO
INGLES AND ME ON TWITTER.
00:26:15PLEASE JOIN US NEXT TIME FOR
"THE STATE OF OHIO."
00:26:19>> SUPPORT FOR "THE STATE OF
OHIO" COMES FROM THE LAW OFFICES
00:26:23OF PORTER, WRIGHT, MORRIS &
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00:26:24AND INDIVIDUALS SOLVE COMPLEX
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00:26:26ACROSS THE COUNTRY AND AROUND
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00:26:32PROFESSIONALS, AND HIGHER
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00:26:42STATE OF OHIO" IS MADE POSSIBLE
BY ETECH OHIO.
Note : Transcripts are compiled from uncorrected captions