00:00:01>> SUPPORT COMES FROM THE LAW
OFFICES OF PORTER, WRIGHT,
00:00:07MORRIS LLP.
ALL.
00:00:13INDIVIDUALS SOLVE COMPLEX
PROBLEMS THROUGHOUT OHIO RAN
00:00:15ROUND THE WORLD.
AND FROM THE A HIGH OF A
00:00:19EDUCATION ASSOCIATION.
REPRESENTING 131,000 TEACHERS,
00:00:23SUPPORT PROFESSIONAL, AND
FACULTY WORKING FOR GREAT PUBLIC
00:00:27SCHOOLS FOR EVERY CHILD.
OHEA.ORG.
00:00:29ADDITIONAL SUPPORT IS MADE
POSSIBLE BY E-TECH OHIO AND THE
00:00:35LUBRISOL FOUNDATION.
>>AS HE READIES FOR HIS BUDGET
00:00:43UNVEILING AND HIS RE-ELECTION
CAMPAIGN, THE GOVERNOR IS ON THE
00:00:45ROAD, RE-SIGNING LAWS HE
SUPPORTED THAT HE ACTUALLY PUT
00:00:47HIS SIGNATURES ON A FEW WEEKS
AGO.
00:00:49THE STATE BUDGET WILL BE OUT IN
TWO WEEKS, AND IT WILL INCLUDE
00:00:51SOME BIG CHANGES IN TAX POLICY,
SCHOOL FUNDING, AND OTHER
00:00:53IMPORTANT AREAS.
WE GET SOME INSIGHT ON IT FROM
00:00:54THE MAN WHO WRITES IT, STATE
BUDGET DIRECTOR TIM KEEN.
00:00:57AND NEW RULES REQUIRE INSURERS
TO COVER TREATMENT FOR AUTISM
00:01:00SPECTRUM DISORDERS.
ALL THIS WEEK IN "THE STATE OF
00:01:06OHIO."
OF BILLS INTO LAW RIGHT BEFORE
00:01:16THE END OF THE YEAR, AFTER
LAWMAKERS PASSED THEM IN SOME
00:01:18LAST MINUTE SESSIONS BEFORE THE
CLOSE OF THE 129TH GENERAL
00:01:22ASSEMBLY.
THE GOVERNOR IS NOW SIGNING SOME
00:01:23OF THOSE LAWS AGAIN CEREMONIALLY
IN PUBLIC VENUES.
00:01:25HE WENT TO HAMILTON ELEMENTARY
SCHOOL IN COLUMBUS TO RE-SIGN
00:01:29THE LAW REPLACING THE RATING
SYSTEM FOR SCHOOLS THAT GOES
00:01:32FROM "EXCELLENT WITH
DISTINCTION" TO "ACADEMIC
00:01:38EMERGENCY" WITH GRADES A THROUGH
F.
00:01:39>> THIS IS A BIG DEAL FOR OUR
STATE ACADEMICALLY.
00:01:45IT SOME OF THE STATES HAVE
ADOPTED IT, MOST NOTABLY
00:01:51FLORIDA, AND THEY HAVE SEEN SOME
OF IT AND IMPROVEMENTS IN
00:01:54EDUCATION QUALITY.
-- SIGNIFICANT IMPROVEMENTS.
00:02:00TEACHER VALUATION, CAREER
CONNECTIONS, THE PROGRAM WE
00:02:04STARTED HERE CALLED THE ROAD TO
READINESS.
00:02:07THE A-F, AND PRESUME CHOICE FOR
PARENTS, BRINGING TEACH FOR
00:02:14AMERICA IN OUR SCHOOLS.
WE ARE SEEING UNBELIEVABLE
00:02:20REFORM AND THIS WILL ALL BE
FOLLOWED UP SHORTLY WITH -- I DO
00:02:25NOT EVEN LIKE TO CALL IT A
SCHOOL FUNDING BILL BECAUSE IT
00:02:29WILL BE MUCH MORE COMPREHENSIVE
THAN PUTTING MONEY SOMEWHERE.
00:02:32>>> AFTER THE BILL SIGNING,
KASICH TOLD REPORTERS THAT HIS
00:02:38EDUCATION PROPOSALS WILL GIVE
SCHOOL DISTRICTS THE ABILITY TO
00:02:41DESIGN PROGRAMS THAT PAY
BONUSES TO TEACHERS FOR HIGH
00:02:45STUDENT PERFORMANCE -- AN IDEA
THAT'S RUN INTO OPPOSITION FROM
00:02:50TEACHERS UNIONS, WHICH HAVE
ARGUED THAT STUDENT PERFORMANCE
00:02:53CAN DEPEND ON FACTORS OUTSIDE A
TEACHER'S CONTROL.
00:02:56IN THE LAST WEEK, THE GOVERNOR
ALSO CEREMONIALLY SIGNED THE
00:03:01FINANCIAL INSTITUTIONS REFORM
LAW IN NEWARK.
00:03:03BACKERS SAY THE MEASURE WILL
MAKE THE TAX SYSTEM FAIR FOR
00:03:10ALL BANKS, REGARDLESS OF THEIR
SIZE, BECAUSE IT CLOSES A
00:03:15LOOPHOLE THAT BIGGER BANKS WITH
A LOT OF EQUITY WERE USING TO
00:03:17AVOID CERTAIN TAXES.
AND LAST WEEK HE SIGNED THE
00:03:20CRACKDOWN ON SO-CALLED PUPPY
MILLS, SIGNED AT THE CAPITAL
00:03:25AREA HUMANE SOCIETY IN
COLUMBUS.
00:03:28MEANWHILE, DEMOCRATS ARE FAR IN
THE MINORITY IN BOTH THE OHIO
00:03:37HOUSE AND ESPECIALLY THE
SENATE.
00:03:39BUT THEY HAVE AN AGENDA, WHICH
THEY UNVEILED THIS WEEK.
00:03:43THEY SAY THEY'LL PUSH FOR BILLS
TO CURB GUN VIOLENCE, IMPROVE
00:03:48BALLOT ACCESS AND SUPPORT
HEALTHY, FINANCIALLY STABLE
00:03:50FAMILIES.
AND THEY SAY THE AGENDA INCLUDES
00:03:54PROPOSALS TO EXTEND HOT MEALS
FOR LOW-INCOME CHILDREN YEAR-
00:03:59ROUND AND TO ESTABLISH A
COMMISSION THAT WOULD EXPLORE
00:04:01IDEAS SUCH AS REDUCED-PRICE
MARRIAGE LICENSES FOR THOSE WHO
00:04:03GET COUNSELING AND 30-DAY
TIMEOUTS BEFORE A DIVORCE.
00:04:05WE'RE STILL WAITING TO FIND OUT
WHERE THE GOVERNOR WANTS TO
00:04:07DELIVER HIS STATE OF THE STATE
SPEECH.
00:04:11BUT AS HE DID LAST YEAR,
YOUNGSTOWN-AREA STATE
00:04:17REPRESENTATIVE RON GERBERRY IS
PROTESTING GOV. KASICH'S PLANS
00:04:19TO MOVE IT AWAY FROM THE
STATEHOUSE.
00:04:21GERBERRY HAS FORMALLY ASKED
HOUSE SPEAKER WILLIAM
00:04:24BATCHELDER TO REJECT ANY REQUEST
BY KASICH TO CHANGE THE SPEECH'S
00:04:26VENUE, SAYING IT "SIGNIFICANTLY
DESTROYS" THE HISTORIC
00:04:28TRADITION OF HOLDING THE JOINT
SESSION IN HOUSE CHAMBERS.
00:04:30CONSIDERING THE HOUSE AND SENATE
ARE DOMINATED BY REPUBLICANS,
00:04:31IT'S UNLIKELY KASICH'S REQUEST
TO MOVE THE SPEECH WILL BE
00:04:33BLOCKED.
HE'S SAID IT WILL BE IN THE
00:04:34WESTERN PART OF THE STATE, AND
IT'S THOUGHT IT WILL BE IN MID-
00:04:36FEBRUARY.
THE STATE BUDGET WILL BE OUT IN
00:04:38TWO WEEKS.
A FEW HINTS HAVE BEEN DROPPED,
00:04:40BUT NOT MANY DETAILS.
BUT THE GOVERNOR IS LIKELY TO
00:04:42USE HIS STATE OF THE STATE
SPEECH TO SELL THE MORE
00:04:44CONTROVERSIAL IDEAS IN HIS
BUDGET.
00:04:46IN THE MEANTIME, THERE ARE
THOSE WHO ARE TRYING TO GUESS
00:04:49WHAT THOSE IDEAS WILL BE.
AND THE PERSON WHO KNOWS WHAT'S
00:04:52IN THAT DOCUMENT IS HERE TO TALK
A BIT ABOUT IT - I'M VERY
00:04:54PLEASED TO WELCOME BUDGET
DIRECTOR TIM KEEN.
00:04:56I KNOW THAT WHEN YOU TALK ABOUT
BUDGET NUMBERS AND WHERE THE
00:05:03MONEY GOES, YOU CAN DEBATE ABOUT
THAT.
00:05:05ONE THING I THINK PEOPLE AGREE
ON IS WE ARE IN AN ENTIRELY
00:05:09DIFFERENT SITUATION WITH THE
BUDGET AND ECONOMY THAN WE WERE
00:05:13TWO YEARS AGO WHEN YOU WERE
STARTING YOUR FIRST?
00:05:16>> THAT IS THE CASE.
TWO YEARS AGO WE FACED A
00:05:20STRUCTURAL IMBALANCE OF OVER
$7.70 MILLION.
00:05:24WE HAD ONGOING REVENUES THAT
WOULD NOT KEEP UP WITH FOR --
00:05:30CURRENT EXPENDITURES.
THERE WAS A LOT OF EFFORT SPENT
00:05:33ON TRYING TO CLOSE THAT
IMBALANCE.
00:05:34TWO YEARS AGO, WE HAD A
SITUATION WHERE THE STATE HAD
00:05:40JUST LOST 400,000 JOBS.
NOW WE HAVE GAINED OVER 130,000
00:05:44JOBS AND WE'RE FIFTH IN THE
NATION AND FIRST IN THE MIDWEST
00:05:50FOR NEW JOB CREATION.
>> AND THE BUDGET NUMBERS YOU
00:05:53ARE LOOKING AT, THE TAX
PROJECTIONS, THEY HAVE BEEN
00:05:58LOOKING PRETTY GOOD.
THE NUMBERS WERE UP.
00:06:00>> THAT'S RIGHT.
WE STRIVE TO USE CONSERVATIVE
00:06:05REVENUE ESTIMATES WHEN WE PUT
TOGETHER A THE BUDGETS.
00:06:09WE HAVE BEEN FORTUNATE THAT OUR
TAX REVENUES HAVE PERFORMED
00:06:13MODESTLY ABOVE THOSE ESTIMATES
IN THE FIRST SIX MONTHS OF THE
00:06:17FISCAL YEAR.
WE ARE ABOUT 1.4% ABOVE
00:06:24ESTIMATES FOR TAX RECEIPTS.
>> DO YOU PROJECT THIS WILL
00:06:30CONTINUE AND THEREFORE THERE
COULD BE ROOM FOR MORE STATE
00:06:32SPENDING OR WITHOUT POSSIBLY
MEAN A STATE INCOME TAX CUT?
00:06:37I MUST WONDERING ABOUT PROJECTED
REVENUES AND HOW YOU ARE
00:06:41WATCHING IT.
>> PART OF THE PROCESSES TO
00:06:44ASSESS WHAT THE STATE OF THE
ECONOMY WILL BE OVER THE NEXT
00:06:5024, 30 MONTHS DURING THE
UPCOMING BUDGET.
00:06:53WE HAVE A GOVERNOR'S COUNCIL OF
ECONOMIC ADVISERS AND WE HAVE
00:06:58SOME METRIC FIRMS WHERE WE
REVIEW THEIR DATA TO MAKE
00:07:02DETERMINATIONS.
WE HAVE ECONOMIC PROJECTIONS
00:07:04THAT WILL BE IN THE BUDGET.
THE CONSENSUS GENERALLY SEEMS TO
00:07:08BE THAT THERE WILL BE SLOW,
SLUGGISH ECONOMIC GROWTH THAT
00:07:13WILL CONTINUE FOR THE NEAR TERM.
TO MAKE THE TERM THAT WE'RE IN
00:07:19THE SLOWEST ECONOMIC EXPANSION
IN THE POST-WAR ERA.
00:07:22WHILE WE ARE IN RECOVERY, THERE
IS STILL A LOT TO BE DESIRED.
00:07:27WE WOULD LIKE TO SEE THAT
IMPROVE.
00:07:29THIS WILL PROPER CONSERVATIVE
REVENUE ESTIMATES ONCE AGAIN.
00:07:33>> CONSERVATIVE, SLOW GROWTH.
STOOD -- SHOULD STATE AGENCIES
00:07:40PREPARE FOR THIS TO SHOW
CUTBACKS?
00:07:41>> IN JUNE OF LAST YEAR WHEN
THE ZERO IBM SENT THIS TO ALL OF
00:07:49THE AGENCIES, WE ASKED THE
AGENCIES TO PREPARE SEPARATE
00:07:54SCENARIOS.
ONE WAS A FLAWED SCENARIO AND
00:07:56THE OTHER WAS A 10% REDUCTION
SCENARIO.
00:07:58THAT WOULD BE THE STARTING POINT
FOR A BUDGET TO HELP UNDERSTAND
00:08:05THE IMPACTS OF VARIOUS FUNDING
LEVELS.
00:08:07I WOULD NOT EXPECT FOR MOST OF
STATE GOVERNMENT TO SEE
00:08:11SIGNIFICANT GROWTH IN THIS
BUDGET.
00:08:12IT WILL BE ANOTHER EFFORT TO
FOCUS ON EFFICIENCY IN THE
00:08:19OPERATION OF STATE GOVERNMENT
AND IN THE OPERATIONS.
00:08:21>> DOES THIS MEAN ANYONE SHOULD
BE EXPECTING CUTS IN?
00:08:25>> WE SHALL SEE ON FEBRUARY 4TH.
>> MEDICAID EXPANSION IS ANOTHER
00:08:30THING WE HAVE BEEN HEARING
ABOUT.
00:08:32A LOT OF GROUPS ARE SAYING OHIO
SHOULD CONSIDER THIS.
00:08:36CAN YOU TELL ME ANYTHING ABOUT
MEDICAID EXPANSION AND WHAT
00:08:40WE'RE LOOKING AT?
>> IMPLEMENTATION OF THE
00:08:46AFFORDABLE CARE ACT IS A MAJOR
ISSUE IN THIS UPCOMING BUDGET.
00:08:51PUTTING ASIDE THE QUESTION OF
WHETHER THE STATE WILL PART AS A
00:08:55PAID IN THE ENHANCED MEDICAID
FUNDING THAT THE GOVERNMENT WILL
00:08:58OFFER, THERE WILL BE SIGNIFICANT
IMPACT ON OUR BUDGET BECAUSE OF
00:09:04ALL THE DISCUSSIONS ABOUT HEALTH
CARE AND THE REQUIREMENTS THAT
00:09:07PEOPLE SIGN UP OUTSIDE OF
MEDICAID.
00:09:09THE EXPECTATION IS THERE WILL BE
A SIGNIFICANT NUMBER OF
00:09:13CURRENTLY ELIGIBLE PEOPLE WHO
WILL COME IN THE PROGRAM.
00:09:18THOSE WILL BE STATE COSTS.
THERE WILL BE SIGNIFICANT COSTS
00:09:23ASSOCIATED WITH WHAT IS OFTEN
CALLED THE WOODWORK A FACT OF
00:09:27CURRENTLY ELIGIBLE PEOPLE AND
THE GOVERNMENT WILL NOT PAY FOR
00:09:30THEM WITH ENHANCE REVENUES.
THESE WILL BE BORN IN THE
00:09:34TRADITIONAL METHOD WHERE THE
STATE HAS TO PAY ONE-THIRD OF
00:09:36THE COSTS.
>> THE STATE HAS TO OF THE DOOR
00:09:40OF THOSE COSTS AND MAYBE HAVE TO
SHIFT FUNDING.
00:09:42>> CLEARLY, AGAIN, BUT THE
ANSWER IS YES.
00:09:47WE WILL HAVE TO OBSERVE THESE
COSTS.
00:09:50THAT MEANS THERE'S THAT MUCH
LESS MONEY FOR US TO APPLY TO
00:09:53OTHER AREAS INCLUDING SOME OF
THE TAX CUTS THE GOVERNOR WANTS
00:09:57TO PUT AN IMMEDIATE BUDGET.
>> I WANT TO TALK ABOUT THE
00:10:02BUDGET PROCESS.
CAPITAL IMPROVEMENTS ARE BROKEN
00:10:09OUT AS THEIR OWN SEPARATE
ENTITY.
00:10:10WOULD THERE BE AN EDUCATION
BUDGET SEPARATE FROM THE REST OF
00:10:15THE SPENDING PLAN.
>> THERE IS THE MAIN OPERATING
00:10:24BUDGET, TRANSPORTATION, IN TWO
SEPARATE BILLS FOR DEALS -- THE
00:10:33OHIO INDUSTRIAL COMPOSITION.
>> THEY DID EIGHT REVIEW.
00:10:45IN THE PLANT TO STILL KEEP THIS
AS A BIENNIUM BUDGET WITH A
00:10:51UPDATE HALFWAY THROUGH?
OR ARE YOU THINKING OF GOING TO
00:10:54A ONE-YEAR BUDGET CYCLE?
>> WITH OUR SPENDING LEVELS AND
00:11:11ADMINISTRATIVE OPERATIONS, WE
WILL HAVE ANOTHER THE FOLLOWING
00:11:14YEAR.
HAVING SAID THAT, WE WILL AGAIN
00:11:18INTRODUCE A BIENNIAL BUDGET
WHERE WE LAY OUT THE NEXT TWO
00:11:21FISCAL YEARS.
THERE ARE CERTAINLY ADVANTAGES.
00:11:36WE HAVE BEEN ABLE TO DO A LITTLE
BIT MORE ADVANCED PLANNING AND
00:11:44HAVE SOME STRATEGIC DECISION
MAKING OVER THAT TIME.
00:11:47CLEARLY THROUGH ECONOMIC
FORECASTING, THERE ARE
00:11:51CHALLENGES.
BUT THERE HAVE BEEN A LOT OF
00:11:59HANDS AND DROPPED ABOUT THE K-12
PLAN, BUT THEY HAVE SUGGESTED
00:12:04THEY WOULD TARGET RESOURCES FOR
POOR DISTRICTS.
00:12:08CAN YOU TALK ABOUT WHAT THE PLAN
MIGHT BE?
00:12:10>> I CANNOT GET INTO SPECIFICS,
BUT WE WANT TO MAKE SURE EVERY
00:12:18CHILD IN OHIO HAS THE RESOURCES
FOR A HIGH-QUALITY EDUCATION,
00:12:26THE BASIC RESOURCES TO GIVE
EVERY CHILD AN OPPORTUNITY FOR A
00:12:29GOOD EDUCATION MATTER WHAT
SCHOOL DISTRICT THEY LIVE IN.
00:12:33>> THEY SAY THE BUDGETARY
DOCUMENTS THAT SHOW PRIORITY.
00:12:45WE SAW THE GOVERNOR TAKEOVER IN
2011 WITH PRIORITIES REFLECTED
00:12:51IN THAT.
RUNNING FOR REELECTION, WHEN THE
00:12:54PRIORITIES BE DIFFERENT?
>> THE NUMBER ONE PRIORITY IS TO
00:13:01TRY TO IMPROVE THE ECONOMIC
COMPETITIVENESS OF THE STATE OF
00:13:03OHIO AND GROW JOBS IN THE STATE.
HIS FIRST BUDGET WAS A VEHICLE
00:13:11TO HELP ACHIEVE THAT.
IF WE NEED TO GET OUR FINANCES
00:13:15IN CONTROL, WE NEED TO HAVE A
STRUCTURAL BALANCE, KEEP COSTS
00:13:18DOWN.
AT THAT POINT, WE HAD TO
00:13:23OVERCOME THE STRUCTURAL
IMBALANCE.
00:13:24NOW WE ARE IN A STRUCTURAL
IMBALANCE AND WE HAVE
00:13:28IMPROVEMENTS, BUT DEEPER JOB IS
STILL ECONOMIC COMPETITIVENESS,
00:13:33JOB GROWTH, AND THIS BUDGET WILL
REFLECT THAT.
00:13:37THE PRIMARY MEANS TO DO IT WILL
BE CONTROLLING OUR COSTS AND IS
00:13:43A DIVIDEND TAX REFORM PROPOSAL
TO ALLOW THE GOVERNOR TO ACHIEVE
00:13:45ONE OF HIS MAJOR OBJECTIVES,
BRING DOWN THE PERSONAL INCOME
00:13:49TAX AND REDUCING BURDEN ON SMALL
BUSINESSES.
00:13:52>> CAN YOU SAY ANYMORE ABOUT
THE TAX REDUCTION PLAN?
00:13:56>> ON FEBRUARY 4TH, IT WILL BE
FULLY LAID OUT AND I THINK OHIO
00:14:02WILL BE PLEASED BY THE WORK THE
GOVERNOR HAS DONE TO TRY TO MAKE
00:14:05US MORE ECONOMICALLY
COMPETITIVE AND TO CREATE AN
00:14:10ENVIRONMENT WHERE JOBS CAN GROW.
>> ANOTHER QUESTION PEOPLE HAVE
00:14:14ARE ABOUT THE TURNPIKE.
WE KNOW WHAT HIS PLAN IS, BUT
00:14:19WHAT I'M WONDERING FROM YOU IS
IF IT IS PART OF A BUDGET OR A
00:14:22PROCEDURAL ISSUE THAT HAS TO BE
DEALT WITH IN OTHER LEGISLATION
00:14:26BY LAWMAKERS.
HOW DOES IT FIT IN TO THE
00:14:29PROCESS?
>> THE GOVERNOR WILL SUGGEST THE
00:14:40ASSEMBLY TAKE A LOOK AT THAT
EARLIER.
00:14:43WE WANT TO LOOK AT THE RESOURCES
AVAILABLE THROUGH THE REVENUE OF
00:14:46THE TURNPIKE TO TRY TO CELEBRATE
THE TRANSPORTATION PROJECTS AND
00:14:59THESE ARE CRITICAL TO LOGISTICS'
AND ECONOMIC DEVELOPMENT IN
00:15:02OHIO.
IN THE LAST ASSEMBLY, WE MOVE
00:15:05EARLY IN THIS SESSION ON THE
LEGISLATIVE CHANGES NECESSARY TO
00:15:09PROCEED WITH THE TURNPIKE PLAN.
>> USING THE BUDGET WILL BE
00:15:14UNVEILED FEBRUARY 4TH.
IT HAS TO BE IN PLACE BY THE END
00:15:18OF JUNE.
IT SEEMS LIKE THE GOVERNOR IS
00:15:20PUTTING IT OUT THERE FAIRLY
YEARLY.
00:15:22BUT THAT MAY BE BECAUSE THERE
ARE SOME CONTROVERSIAL THINGS
00:15:26THAT WILL BE HARD TO SELL IN THE
LAP TO WORK ON CONVINCING
00:15:31PEOPLE, ESPECIALLY DEMOCRATS, OF
THESE IDEAS AND ISSUES?
00:15:35>> THE FEBRUARY 4TH IF THE DATE
IS THE DATE CALLED FOR IN THE
00:15:38STATUTE, FOUR WEEKS AFTER THE G
ENERAL ASSEMBLY ORGANIZATION.
00:15:46WE FEEL CONFIDENT WE ARE PUTTING
TOGETHER A PACKAGE FOR THE
00:15:50GENERAL ASSEMBLY AND WE LOOK
FORWARD TO THE LEGISLATIVE
00:15:53DEBATE AND DISCUSSION.
WE LOOK FORWARD TO TALKING TO
00:15:56THE PUBLIC AND THE LEGISLATURE
ABOUT THE GOVERNOR'S PROPOSALS.
00:15:58I HAVE EVERY CONFIDENCE IT WILL
MOVE THROUGH THE PROCESS AND BE
00:16:03SIGNED INTO LAW BEFORE THE START
OF THE NEXT FISCAL YEAR.
00:16:06>> THE GOVERNOR HAD A BIG
EVENING, A TOWN HALL-STYLE
00:16:13FORUM, WHERE HE TALKED ABOUT THE
BUDGET AND BROUGHT IN AGENCY
00:16:17DIRECTOR TO TALK ABOUT THEIR
PART.
00:16:18AS THE PLAN TO DO THAT AGAIN
WHEN HE PRESENTS THE BUDGET TO
00:16:22ANYONE WHO WANTS TO HEAR ABOUT
IT?
00:16:23>> WE WILL CLEARLY HAVE A NUMBER
OF FORUMS WHERE WE TALK ABOUT
00:16:30THIS TO THE PRESS AND THE
PUBLIC ABOUT OUR BUDGET
00:16:35PROPOSAL.
I'M NOT HERE TO TALK ABOUT HOW
00:16:43THAT WILL WORK SPECIFICALLY.
>> YOU ARE THE STAR OF THE SHOW
00:16:48IN THE BUDGET HEARINGS.
YOU'RE USUALLY THE FIRST ONE UP
00:16:53THERE.
HOW DO YOU EXPECT US TO GO?
00:16:55THE EXPECT THE BUDGET PROCESS TO
BE COMBATIVE?
00:16:59DO YOU EXPECT TO HAVE AGREEMENT
ON CERTAIN ISSUES?
00:17:02>> GOVERNOR KASICH HAS AN
AGGRESSIVE AGENDA FOR OHIO.
00:17:08IT WILL BE REFLECTED IN THE
BUDGET WE SUBMIT.
00:17:12THERE ARE A NUMBER OF VERY
MAJOR ISSUES AND POLICY
00:17:16PROPOSALS THAT WILL BE LAID OUT.
I'M SURE THERE WILL BE VIGOROUS
00:17:19DEBATE AND DISCUSSION IN THE
GENERAL ASSEMBLY.
00:17:21I LOOK FORWARD TO MOVING WITH
ALL THE MEMBERS OF THE ASSEMBLY
00:17:28TO ADVOCATE FOR OUR PROPOSAL.
I'M SURE THAT WE WILL HAVE MANY
00:17:33SUPPORTERS AND I'M SURE THERE
ARE SOME WHO WILL NOT SUPPORT
00:17:36THE DIRECTION WE'RE GOING.
THAT'S THE NATURE OF THE
00:17:42LEGISLATURE IN THE BUDGET
PROCESS.
00:17:43>> CAN YOU CONFIRM IF THIS
PROPOSAL WILL BE IN THE BUDGET
00:17:48OR NOT?
WHAT'S THE SEVERANCE TAX WILL BE
00:17:50A PART OF THE BROADER TAX REFORM
PROPOSAL THAT WE ARE PUTTING
00:17:54FORWARD.
>> BUT THERE'S MORE TO IT THAN
00:17:57JUST THE SEVERANCE TAX?
>> IT IS A MUCH MORE BROAD TAX
00:18:02REFORM PROJECTION THAN JUST KEEP
SEVERANCE TAX.
00:18:05>> WE WILL WAIT TO HEAR THE
DETAILS ON FEBRUARY 4TH.
00:18:09THANK YOU FOR BEING WITH US.
>> FOR SIX YEARS, OHIO LAWMAKERS
00:18:13HAVE DEBATED LEGISLATION THAT
WOULD REQUIRE INSURANCE
00:18:15COMPANIES TO PAY FOR TREATMENT
FOR CHILDREN WITH AUTISM
00:18:19SPECTRUM DISORDERS.
BUT THEY'VE NEVER PASSED
00:18:22ANYTHING. LAST WEEK, GOV.
KASICH STEPPED IN, FILING
00:18:24PAPERWORK WITH THE FEDERAL
GOVERNMENT THAT BASICALLY MEANS
00:18:26OHIO INSURERS WILL HAVE TO COVER
AUTISM AS THEY DO OTHER MENTAL
00:18:30HEALTH ISSUES.
FAMILIES SURROUNDED THE
00:18:33GOVERNOR AT THE EVENT WHERE HE
SIGNED THE ORDER, AND THE
00:18:35PARENTS SHARED THEIR STORIES OF
STRUGGLING TO PAY FOR TREATMENT
00:18:38FOR THEIR KIDS - MANY OF WHOM
HAVE NOW BEEN MAINSTREAMED AND
00:18:40ARE DOING WELL.
HE WAS ALSO JOINED BY REPUBLICAN
00:18:43AND DEMOCRATIC STATE LAWMAKERS,
INCLUDING SEN. BILL SEITZ OF
00:18:47CINCINNATI.
>> AND ONE IN A NEEDY CHILDREN
00:18:54IS BORN WITH SOME SPECIES OF AN
ARTISAN SPECTRUM DISORDER.
00:18:5747 CAN BE COMPLETELY
SUCCESSFULLY MAINSTREAM THE TO
00:19:01THE SCHOOL BY FIRST GRADE THEY
GET THE KIND OF TREATMENT THE
00:19:06GOVERNORS OF THE RISING TODAY.
ANOTHER 42% OF CHILDREN WITH
00:19:09AUTISM CAN BE SUBSTANTIALLY
SUCCESSFULLY RUN MEDIATED BY
00:19:13FIRST GRADE IN A STATE
DEDICATED EDUCATIONAL
00:19:17ATTAINMENT WITH A THIRD GRADE
GUARANTEE.
00:19:20THIS MAKES ALL THE SENSE IN THE
WORLD AND GIVEN OUR STATE SPENDS
00:19:24AN EXCESS OF TWO UNDER $33
MILLION PER YEAR FOR SPECIAL
00:19:28EDUCATION TREATMENTS.
THIS MAKES FISCAL SENSE.
00:19:31>> BUT SMALL BUSINESSES IN OHIO
ARE FRUSTRATED WITH THE
00:19:35GOVERNOR'S ORDER.
ROGER GEIGER IS THE VICE
00:19:38PRESIDENT OF THE NATIONAL
FEDERATION OF INDEPENDENT
00:19:39BUSINESS OHIO.
>> I REPRESENT A SMALL,
00:19:44INDEPENDENTLY OWNED BUSINESSES.
WE HAVE 35,000 MEMBERS ACROSS
00:19:48THE STATE -- I'M SORRY.
WE HAVE 25,000 MEMBERS ACROSS
00:19:52THE STATE.
THEY'RE STRUGGLING WITH THE COST
00:19:56OF HEALTH INSURANCE.
WE RECOGNIZE THAT OUGHT TO THE
00:19:59MOTHER WELL AS MANY OTHER
TREATMENTS ARE VERY NECESSARY.
00:20:02THE REALITY IS THIS IS NOT A
CHEAP MANDATE.
00:20:07IT IS PROBLEMATIC FOR SMALL
BUSINESSES.
00:20:14YOU MAY ASK ME WHY.
WHY?
00:20:16IT IS NOT FAIR.
FOR ALL THE NOBLE CAUSES, AND I
00:20:22DO NOT WANT TO DEEMPHASIZED THE
REAL STRUGGLE THAT FAMILY'S
00:20:25HAVE, BUT THIS MANDATE FALL
SQUARELY ON THE BACKS OF SMALL
00:20:33BUSINESSES, PEOPLE WHO BUY THEIR
HEALTH INSURANCE IN THE SMALL
00:20:37GROUP MARKET PLACE OR INDIVIDUAL
MARKETPLACE.
00:20:40IF YOU ARE A LARGE FORTUNE 500
COMPANY?
00:20:43YOU ARE EXEMPT.
FEDERAL LAW EXEMPTS ANY LARGE
00:20:48CORPORATION, ANY MAJOR
CORPORATION, WHICH IS ITSELF IN
00:20:52SHORT FROM ANY KIND OF SELF
MANDATE.
00:20:55GUESS WHAT?
THE STATE'S GOVERNMENT HEALTH
00:21:01SYSTEM IS EXEMPT.
>> HE SAID HE WOULD WORK THAT
00:21:04OUT?
>> WHY DID HE NOT NEGOTIATE WITH
00:21:08US?
HE JUST MADE THIS A MANDATE.
00:21:10HE'S GOING TO NEGOTIATE.
HE JUST SAID HE WOULD NEGOTIATE,
00:21:16BUT THAT DOES NOT MEAN IT WILL
HAPPEN.
00:21:18HE DID NOT NEGOTIATE THE
SIGNIFICANT COST THIS WOULD
00:21:21MEAN.
INTERESTINGLY ENOUGH, IT IS MUCH
00:21:24MORE ROBUST COVERAGE THAN
THEY'RE WILLING TO PAY FOR
00:21:27MEDICAID AND THE UNDERPRIVILEGED
PROGRAM.
00:21:30WE FIND IT REALLY DISINGENUOUS
THAT THIS MANDATE IS BEING BORNE
00:21:34SOLELY BY THE SMALL BUSINESSES
IN OUR STATE.
00:21:37INTERESTINGLY ENOUGH, AND ONLY
COVERS ONE-THIRD OF THE
00:21:41INSURANCE MARKET.
IF THIS IS SUCH A REAL DEMAND IN
00:21:46TERMS OF A PUBLIC RESPONSE TO
AUTISM, TRUST ME.
00:21:50I GET IT.
IT'S A HUGE ISSUE THAT'S VERY
00:21:54COSTLY.
MY QUESTION IS THEN, WHY DO NOT
00:21:58FIGURE OUT A WAY FOR EVER WANT
TO GET COVERAGE AND EVERYONE
00:22:00PAYS FOR THIS?
WHY MAKE THIS A BURDEN ON SMALL
00:22:03BUSINESS?
>> THE FIGURE I KEEP HEARING IS
00:22:0932 CENTS PER MONTH FOR COVERED
EMPLOYEES.
00:22:10THAT DOES NOT SOUND SUBSTANTIAL
TO ME.
00:22:12>> WE HEAR THIS DEBATE THROUGH
EVERY OF THE MANDATES AND THAT'S
00:22:17THE OTHER ISSUE.
WHERE DOES THIS STOP?
00:22:20THERE ARE OVER 1000 DIFFERENT
MANDATED PROVISIONS THAT HAVE
00:22:25BEEN PUT ON THE BACK OF SMALL
BUSINESSES ACROSS THE COUNTRY.
00:22:30THERE ARE LITERALLY HUNDREDS AND
HUNDREDS OF THESE MANDATES.
00:22:34FIRST, YOU HAVE TO ASK WHAT IS
THE STRAW THAT BREAKS THE
00:22:38CAMEL'S BACK?
AT WHAT POINT DO THEY SAY THEY
00:22:41JUST CANNOT AFFORD IT ANYMORE.
THEN WHAT YOU END UP DOING IS
00:22:46PUTTING ALL THOSE PEOPLE WHO
WORKED INTO THIS POOL AND THAT'S
00:22:52NOT A GOOD OUTCOME.
I WOULD RATHER HAVE PEOPLE HAVE
00:22:55BASIC COVERAGE FOR MANY THAN
CADILLAC COVERAGE FOR A FEW.
00:22:58WHEN YOU ADD IN THESE MANDATES,
YOU AND OF BRIBING COSTS.
00:23:03THERE'S NO SUCH THING AS A FREE
MANDATE.
00:23:05THE COSTS COME FROM THE
PROPONENTS.
00:23:08THERE IS NO OBJECTIVE STUDY.
ONE OF THE THINGS WE HAVE PLAYED
00:23:14WITH THE LEGISLATURE IS THAT
THEY KEEP ADDING TO THESE NEW
00:23:18MANDATES.
WE HAVE A DIABETES MANDATE, DRUG
00:23:21AND ALCOHOL, COLO-RECTAL
SCREENINGS.
00:23:25THEY ALL SOUND GREAT, BUT NO ONE
DOES AN INDEPENDENT COST
00:23:31ANALYSIS.
>> THEN HOW DO YOU KNOW THERE IS
00:23:33A SUBSTANTIAL COST TO YOUR
MEMBERS?
00:23:35>> THERE IS NO SUCH THING AS A
FREE MANDATE.
00:23:38I KNOW OUR SMALL BUSINESS OWNERS
EXPECT DOUBLE-DIGIT INCREASES IN
00:23:44HEALTH-CARE COSTS.
IT MAY NOT JUST BE MANDATE, BUT
00:23:50IT IS THE CUMULATIVE EFFECT OF
AN PROBLEMS AND I DO NOT THINK
00:23:53IT'S A MATTER OF PUBLIC POLICY
TREMENDOUSLY AS WE DEAL WITH
00:23:58THIS UNCERTAINTY AND THE FEDERAL
HEALTH CARE LAW.
00:24:02WE DO NOT KNOW WHAT THAT WILL BE
COSTING SMALL BUSINESSES.
00:24:06IT IS NOT SMART ON THE PART OF
STATE BUSINESSES TO BE PILING ON
00:24:10NEW COSTS, WHATEVER THEY MAY BE.
I AM SUSPECT OF THE 32 CENTS.
00:24:16IT ONLY COMES FROM THE
PROPONENTS.
00:24:19THERE HAS BEEN NO OBJECTIVE
COST-BENEFIT ANALYSIS.
00:24:22WE HAVE ASKED FOR IT EVERY TIME
WE GO THROUGH THESE DEBATES.
00:24:26WE ASKED FOR THE INDEPENDENT
COST ANALYSIS AND WE NEVER GET
00:24:29IT.
THERE IS A FISCAL NOTE THAT THE
00:24:34LEGISLATIVE BUDGET OFFICE PUT
TOGETHER THAT SHOWS IN THE
00:24:37AGGREGATE, THIS WILL COST
HUNDREDS OF MILLIONS OF DOLLARS.
00:24:40>> WHEN YOU TALK ABOUT THAT, YOU
HAVE A LOT OF FAMILIES WHO WILL
00:24:44POINT OUT THAT EARLY
INTERVENTION IS KEY IN AUTISM
00:24:47CASES.
SENATOR BILL SEITZ, NOT EXACTLY
00:24:53A LIBERAL, WAS TALKING ABOUT HOW
47% OF THESE KIDS CAN BE
00:24:58MAINSTREAM BY FIRST GRADE AND
THE COST WOULD BE SIGNIFICANTLY
00:25:01LOWER.
WHEN FAMILIES CANNOT AFFORD THIS
00:25:04EARLY INTERVENTION, WHY NOT HELP
THEM?
00:25:06>> I DON'T DISAGREE, BUT LET'S
FIGURE OUT A WAY TO HELP THEM
00:25:12THAT IS EQUITABLE.
LET'S FIGURE OUT EVERYONE, NO
00:25:15MATTER WHERE YOU ARE EMPLOYED,
IF THIS IS A REAL ISSUE IN
00:25:22SOCIETY, AND I SUSPECT THAT IT
IS, LET'S FIGURE OUT A MORE FAIR
00:25:25WAY TO PAY FOR IT.
DO NOT ASK SMALL BUSINESS OWNERS
00:25:29TO BEAR THE ENTIRE BRUNT AND IT
ONLY COVERS 33% OF THE
00:25:34MARKETPLACE.
>> OHIO JOINS 32 STATES WITH
00:25:37SIMILAR MANDATES ON INSURANCE
COVERAGE FOR AUTISM SPECTRUM
00:25:39DISORDERS.
AND THAT'S IT FOR THIS WEEK.
00:25:40FOR MY COLLEAGUES AT OHIO PUBLIC
RADIO AND TELEVISION, THANKS FOR
00:25:42WATCHING.
IF YOU'D LIKE TO ASK QUESTIONS,
00:25:43MAKE COMMENTS, OR WATCH THIS
WEEK'S SHOW OR EARLIER
00:25:45EPISODES, PLEASE VISIT OUR
WEBSITE AT STATENEWS.ORG.
00:25:46YOU CAN ALSO CHECK US OUT ON
FACEBOOK.
00:25:50AND PLEASE JOIN US AGAIN NEXT
TIME FOR "THE STATE OF OHIO".
00:25:52CAPTIONED BY THE
NATIONAL CAPTIONING INSTITUTE
00:25:55--WWW.NCICAP.ORG--
"SUPPORT COMES FROM THE LAW
00:26:16OFFICE OF PORTER, WRIGHT,
MORRIS, LLP
00:26:18HELPING BUSINESSES AND
INDIVIDUALS SOLVE COMPLEX LEGAL
00:26:24PROBLEMS.
AND FROM THE A HIGH OF EDUCATION
00:26:29ASSOCIATION REPRESENTING 131,000
TEACHERS, SUPPORT PROFESSIONALS,
00:26:33AND FACULTY WORKING FOR GREAT
PUBLIC SCHOOLS FOR EVERY CHILD.
00:26:37ONLINE AT OHEA.ORG.
ADDITIONAL SUPPORT IS MADE
00:26:42POSSIBLE FOR E-TECH OHIO AND THE
PUBRISOL FOUNDATION.
Note : Transcripts are compiled from uncorrected captions