DeWine signs three bills proponents say should lower property taxes

Gov. Mike DeWine on Friday signed a trio of property tax-related measures, a move that proponents said should help lower Ohioans’ property tax bills.

“These bills are a major step in reforming property taxes in Ohio,” DeWine said in a release. “While these bills are not perfect, they do provide meaningful relief to Ohioans in all corners of the state, while also protecting the critical services that are provided to all of us through the funding generated by property taxes.”

Among the measures the Republican governor signed is House Bill 186, which caps school district property tax increases at the rate of inflation. The measure aims to halt unexpected spikes and add predictability for property owners, particularly those living in a district on the 20-mill floor. The floor guarantees that school districts receive a certain level of property tax revenue.

The governor also signed House Bill 309, the Budget Commission Overhaul Act.

Under the measure, the County Budget Commission must annually review taxing authorities’ budgets and set tax rates based on the need for revenue and voter approval. It also allows the commission, which consists of the county auditor, county treasurer, and county prosecutor, to amend levies and reduce a jurisdiction’s millage rate, should the commission conclude that a government would collect unneeded or excessive property taxes.

The third measure, House Bill 335, the Property Tax Relief Now Act, eliminates inside millage increases without voter approval. It mandates that during counties’ sexennial reappraisal or triennial updates, a county budget commission modify the rate of inside millage levies so that they do not increase by more than the sum of the three previous years’ inflation.

“By linking inside millage increases to inflation, House Bill 335 brings greater stability and transparency to property taxes,” Ohio Township Association Executive Director Heidi M. Fought said in a statement. “The Ohio Township Association believes this approach protects taxpayers while allowing townships to continue meeting the needs of their residents.”

The measures take effect in 90 days.

“These bills bring about meaningful, impactful tax relief that brings about clarity, and no longer will people see the spikes they have seen,” DeWine said, according to Signal Ohio. “This action by the legislature on the bills that I signed were absolutely necessary.”

DeWine’s action drew praise from The Buckeye Institute, a Columbus-based think tank that has been pushing for property tax reform, a topic that has dominated the discussion at the Ohio Statehouse in recent weeks.

“The Buckeye Institute applauds the General Assembly and Governor DeWine for giving Ohio taxpayers the biggest property tax reform in half a century,” Greg R. Lawson, a research fellow at The Buckeye Institute, said in a statement.

“The General Assembly should be commended for passing this package of reforms, which limits automatic tax increases without voter approval and gives county budget commissions tools to reduce property taxes if a levy collects more taxes than voters approved,” Lawson added. “These Buckeye Institute-recommended policies will help homeowners struggling with skyrocketing property tax bills.”