Ohio moves up in economic outlook ranking, even as Kaptur votes against tax cuts at the federal level

Ohio is moving up in the world, at least according to a new index of states’ economic outlooks.

In the American Legislative Exchange Council’s new “Rich States, Poor States“ index, the Buckeye State ranked 15th, moving up from last year’s 25th, the largest jump on the list by any state this year. The move follows lawmakers’ passage of a new flat tax rate of 2.75%, included in House Bill 96, the state’s biennial budget, alongside property tax reforms.

“By creating a flat state income tax and providing significant reform to property taxes, this budget supports every Ohioan,” state Sen. Steve Huffman, R-Tipp City, said in a release after the Senate passed the measure last year.

However, one group says state legislators have more work to do and called for further tax relief, as Ohioans and Americans paid income taxes on Wednesday.

“Tax Day this year will hurt a little bit less for Ohioans thanks to our new flat tax rate that keeps more of their hard-earned dollars out of government coffers,” Donovan O’Neil, Americans for Prosperity-Ohio state director, said in a statement. “Our massive jump in economic competitiveness this year shows that bold tax reforms like a low, flat income tax empowers citizens, families, and businesses to thrive.”

Ohio outperformed neighboring West Virginia (No. 17), Kentucky (No. 23), Michigan (No. 32), and Pennsylvania (No. 34). However, Indiana (No. 7) outperformed Ohio, according to the index.

However, not all is rosy in Ohio, as the American Legislative Exchange Council ranked the Heart of it All 34th for its economic performance. This rank is a backward-looking measure based on the state’s performance, equally weighing three performance variables influenced by state policy, including non-farm employment growth from 2014 to 2024.

Regarding their federal tax burden, Ohioans haven’t necessarily found an ally in Democratic U.S. Rep. Marcy Kaptur, who last year voted against the Working Families Tax Cuts.

It’s not the first tax hike she has supported. Critics note that Kaptur, who has been in office since 1983, has voted in favor of tax increase measures under every president since Ronald Reagan. That includes a vote against the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 under President Barack Obama, which extended the 2001 and 2003 President George W. Bush tax cuts through 2012.

Now, the National Republican Congressional Committee has launched a paid ad campaign targeting Kaptur for voting for the largest tax hike since World War II.

Kaptur tried to defend her record in a post to X, saying the cuts “didn’t grow the economy fast enough to offset the debt generated.” However, others on X were quick to offer their suggestions for actions Kaptur might take.

“Time to cut the budget. Dump programs that aren’t constitutional, keep more of the taxpayer’s money in their pocket instead of unnecessary programs,” one respondent said.

“Couldn’t grow economy fast enough to keep up with congressional spending,” another said. “Maybe we try an approach of spending less…?”

“Another Socialist who doesn’t get it,” a third chimed in. “Allowing people to keep more of their OWN money doesn’t cost the government ANYTHING.”

The NRCC previously announced its plan to flip Kaptur’s 9th Congressional District seat in November. The Cook Partisan Voter Index has pegged the district as plus-3 for Republicans.

While Kaptur does not have a primary challenger, Republicans have a crowded field in the May 5 primary, including state Rep. Josh Williams, R-Sylvania Twp.

“For 40 years, out of touch Democrat Marcy Kaptur has voted to increase taxes on hardworking Ohioans. Kaptur’s radical agenda of ever-increasing taxes is one of many reasons she will lose her seat this fall,” NRCC Spokesman Zach Bannon said in a statement.