To enact sections 5705.262 and 5705.263 of the Revised Code to allow electors to reduce unvoted property taxes by initiative and to name this act the Taxpayers Freedom Trilogy - Act Two: Arresting Inside Millage.
Summary
HB421 would create a new process allowing voters in an Ohio subdivision or other taxing unit to initiate a reduction in a property tax levy that falls within the ten-mill limitation, often referred to as “inside millage” or unvoted property tax. To start the process, petitioners would need signatures from at least 15% of the voters who cast ballots for governor in the most recent general election in that jurisdiction, along with a short supporting argument. If the petition is valid, the proposed reduction would go to the ballot at the next general election held at least 120 days later.
The bill also sets out detailed notice, certification, and ballot requirements. County auditors would have to provide estimates of the levy’s collections and tax impact, and both supporters and opponents would be allowed to submit 300-word arguments for publication. If voters approve the reduction, the levy would be lowered beginning the following January, subject to an exception for debt service levies, which must continue at a level sufficient to pay principal and interest. The bill further restricts county budget commissions from reallocating the reduced mills unless voters later approve a restoration process under the companion provision in the bill.
Impact
HB421 would add new sections 5705.262 and 5705.263 to the Revised Code and would materially change how certain property tax levies within the ten-mill limitation can be reduced or restored. It would give electors a direct initiative mechanism to reduce unvoted property taxes and would limit a taxing authority’s ability to restore those mills without another voter-approved election. The bill also imposes new duties on boards of elections, county auditors, and taxing authorities regarding certification, publication, and ballot language, and it would affect county budget commission authority over mill reallocation.
Sentiment
No committee transcript or recorded vote information was provided, so there is no documented debate or vote history to gauge legislative sentiment. Based on the bill text alone, the measure is framed as a taxpayer-relief proposal and appears designed to appeal to property-tax opponents and voters seeking more direct control over local taxation. The introduced status and referral to the House Ways and Means Committee indicate it was still in the early stages of consideration.
Contention
The main point of contention is likely to be the balance between taxpayer control and local government fiscal flexibility. Supporters would likely favor the measure as a way to reduce property tax burdens and give voters direct power over inside millage, while opponents may argue it could constrain funding for local services, complicate budgeting, and make revenue less predictable. A secondary issue is the bill’s treatment of debt-service levies, which are exempt from reduction to the extent needed to pay bonded obligations, reflecting a compromise between tax limitation and legal repayment requirements.
To amend sections 3517.12, 3517.13, and 3517.155 of the Revised Code to modify the Campaign Finance Law regarding foreign nationals and statewide initiatives and referenda and to declare an emergency.
To amend sections 3517.12, 3517.13, and 3517.155 of the Revised Code to modify the Campaign Finance Law regarding foreign nationals and statewide initiatives and referenda and to declare an emergency.
To amend sections 3505.01 and 3505.10 of the Revised Code to modify the deadline for a political party to certify its nominees for President and Vice-President to the Secretary of State.
To delay the deadline for a major political party to certify its presidential and vice presidential candidates to the Secretary of State for the 2024 general election.
Payment rates established for certain substance use disorder treatment services, and vendor eligibility recodified for payments from the behavioral health fund.
Cover Outstanding Vulnerable Expansion-eligible Residents Now Act or the COVER Now Act This bill establishes a demonstration program to allow local governments to provide health benefits to the Medicaid expansion population in states that have not expanded Medicaid. Under the program, local governments may provide coverage for individuals who are newly eligible for Medicaid under the Patient Protection and Affordable Care Act (i.e., the Medicaid expansion population) for a maximum of 10 years, or until their respective states expand Medicaid. The bill provides a 100% federal matching rate for the first three years of program participation. The bill prohibits states from taking certain actions against participating localities, such as withholding funding, increasing taxes, or restricting provider participation. States that violate these requirements are subject to certain funding penalties.