Gazette: Lt. Gov. Brings Message of Job Creation & OH’s Momentum

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Lt. Governor Mary Taylor spoke to the Greater Medina Chamber of Commerce earlier this week about the work she and Gov. Kasich are doing to balance our budgets, reduce spending, cut taxes, and eliminate the red tape & regulations that are hurting job-creators. The Medina-Gazette has more:

Ohio Lt. Gov. Mary Taylor celebrated the efforts she and Gov. John Kasich are taking to make Ohio more business friendly during a Greater Medina Chamber of Commerce luncheon Tuesday at Weymouth Country Club in Medina Township.

Taylor was introduced by Mike Baach, owner and CEO of Philpott in Brunswick, who serves on the state’s Small Business Advisory Council and Common Sense Initiative.

Baach said the business community is “blessed” to have Taylor and Kasich as state leaders.

“Leadership starts at the top, and I can tell you that the governor and the lieutenant governor do mean business,” Baach said.

Taylor serves as the head of the Common Sense Initiative, which aims to cut through unnecessary government red tape that impedes economic growth.

“If it doesn’t make sense, if it impacts business, we need to take a look at it,” Taylor said.

Taylor said she took on the role of heading up the Common Sense Initiative the same day she was sworn into office.

She said the goal is simple: Look at ways to make rules and regulations better for Ohio businesses.

Taylor said the initiative recently worked to change rules regarding medical research certificates issued to doctors from other countries visiting the Cleveland Clinic to complete medical research.

Taylor said the previous laws only allowed the doctors to stay for three years. A change in the law in June gave the state more flexibility in allowing research to continue beyond three years.

“Now they can renew their licenses,” she said. “Because these folks come to our state and do research, they’re saving lives.”

You can read the entire article here.

Editorial: Gov. Kasich’s Plan Makes Sense – Ohioans Should Support

State-of-the-State

In this editorial, the Dispatch explains why Ohioans should support Governor Kasich’s plans to cut taxes and reform Medicaid – both efforts to lead to job creation and stronger families:

In his State of the State address and in the budget proposal that occupied much of the speech, Gov. John Kasich has laid out a plan to sustain and accelerate Ohio’s economic recovery. That’s a prospect worth cheering for, but it won’t come to pass if an ideology-bound legislature stands in the way.

Kasich is taking heat from fellow Republicans for his plan to expand Medicaid using federal dollars. From Democrats, it’s flak over his proposal to lower state income tax and lower, but more broadly apply, state sales tax. This diverse chorus of complaints illustrates what sets Kasich apart from most politicians: He panders to no special interest but Ohio’s welfare. He works to solve problems, not play on a political team.

That will be no comfort to Ohioans if lawmakers reject his good ideas. Anyone who is putting Ohioans’ best interests first can see that expanding Medicaid under the federal Affordable Care Act is the right call.

This doesn’t suggest that the federal health-care overhaul is a good law; it isn’t. But it is, nevertheless, the law. Rejecting Medicaid expansion is not going to roll back the overhaul. So state officials’ obligation is to navigate it to Ohio’s greatest advantage. To do otherwise hurts no one except Ohioans. As long as the federal government is paying most of the cost, which it has pledged to do until at least 2020, expansion is the best deal. Kasich’s proposal calls for reversing the expansion if the feds stop covering the cost.

First and foremost, by extending Medicaid coverage to anyone earning up to 138 percent of the federal poverty level, it means that an estimated 275,000 low-income people will be guaranteed insurance coverage. The benefits accrue to everyone: People who can get preventive care won’t end up in emergency rooms with conditions that have grown unnecessarily serious and expensive. This lowers medical spending overall and eases hospitals’ burden for uncompensated care, which should help lower premiums for those who have insurance.

An economic study by four reputable groups attached some compelling numbers to the issue: the expansion would mean a net gain to the state of $104 million in 2014 and $1.4 billion by 2022.

Some state lawmakers object that the debt-laden federal government doesn’t have the means to fund this new entitlement. But that is an issue for federal lawmakers to grapple with. If state lawmakers turn down the $17 billion slated for Medicaid expansion in Ohio, the federal government will spend it elsewhere, and Ohioans will be worse off.

With his tax proposals, Kasich follows the sound economic policy of shifting the burden toward consumption rather than income. The sales-tax changes are not, as critics contend, a disproportionate burden to lower-income families. Some services that weren’t taxable before would become subject to tax, but the overall rate would be lowered to 5 percent from 5.5 percent, and housing, food and health-care spending would remain exempt.

Reducing income tax by 20 percent over three years, and even more for small-business owners, would give all Ohioans a break and put more money into the private economy, the ultimate source of wealth for the whole state.

As a candidate in 2010, Kasich was painted by opponents as an extremist conservative, but he has proven otherwise. He is a pragmatist who puts success ahead of ideology. Recession-weary Ohioans want lawmakers to do the same.

You can read the original article here.

[VIDEO] Governor Kasich’s State of the State Address – Ohio’s Comeback

Governor Kasich recently delivered the annual State of the State address from Lima, Ohio. The tradition to take the speech on the road to different Ohio communities started in 2012 when the legislature convened in Steubenville to hear the Governor.

Please take some time to watch the video below and share it with your friends and family by using the social media buttons on this page:

You can watch the original video here.

WSJ: Ohio is Recovering Faster Than Other States – Setting Example for Others

OhioJobs

In this editorial, the Wall Street Journal highlights Ohio’s ongoing recovery and the progress we’ve made since John Kasich became governor. Read more below and please share:

Few states outside the South and Mountain West have recovered faster from the financial crisis than Ohio, and now Governor John Kasich is betting on tax reform to keep it going. He’s another GOP statehouse executive creating a sharp policy contrast with California, New York—and Washington, D.C.

The plan’s centerpiece is a 20% cut over three years in all of the state’s nine income tax rates. The top rate would fall to 4.725% from 5.925%. Ohio allows its cities to impose add-on income taxes, so the current rate in cities like Cleveland can reach 8.4%.

The plan would also provide an income-tax deduction on half of all small business and Subchapter S income up to $750,000. This effectively cuts the tax rate on job creators in half, but the income cap sounds like something from the Obama White House. Businesses that earn more than $1 million are most likely to expand operations from such a tax cut and should get it too.

To offset any lost revenue, Mr. Kasich wants to raise extraction taxes on drilling in the Utica Shale. The oil and gas industry hates the idea, but this makes more economic sense than taxing work and investment across the economy. The new severance tax would raise about $500 million a year and be in line with those of other energy-tax states. Drillers should note that extraction taxes in Alaska, North Dakota, Texas and Wyoming help to keep income taxes low, while funding schools and police, and creating a political constituency in favor of drilling.

Mr. Kasich also wants to reform the sales tax, cutting the rate to 5% from 5.5% in exchange for taxing about 75 goods and services that are currently exempt. Barbers, accountants, lawyers, bowling alleys and funeral homes would now be taxed. An avalanche of lobbyists has descended on Columbus to protect these tax-free fiefdoms, and the Governor could get buried.

And

Ohio’s jobless rate has fallen to 6.7% from 9% since Mr. Kasich took office in 2011 focused on spending control and job creation. The $7.7 billion deficit he inherited has turned into a $500 million surplus, and the American Legislative Exchange Council now ranks Ohio’s economic policy as 25th in the U.S. from 42nd in 2008.

But the state still has a long way to go to compete with no-income-tax Florida or Texas. Ohio’s tax system hasn’t been fundamentally redesigned since the Great Depression. If Mr. Kasich can beat back the corporate lobbyists and public unions, he’ll turn Ohio into an even bigger growth story…

You can read the entire editorial here.

Column: The Jobs Budget 2.0 was Crafted to Offer Reforms that are Good for Ohio

Budget

In this guest column from the Plain Dealer, the author explains why Gov. Kasich’s proposed Jobs Budget 2.0 is both thoughtful and substantive. The goal is clearly to continue Ohio’s momentum, create jobs and offers reforms that are beneficial for Ohioans:

Any legislation encompassing taxes and spending of more than $60 billion is bound to generate controversy, and the quibbling over Gov. John Kasich’s proposed biennial budget has begun. Yet, however one may feel about any of its details, it ought to be clear that this budget is not business as usual. Indeed, it will be an achievement of historical importance, both for its substance and its break with the hyper-partisanship of recent years — if it gets through the General Assembly largely intact.

It is hard to imagine a document that better represents the much ballyhooed “balanced approach” that has been so elusive for national leaders the past several years. This balance spans the budget’s major components, beginning with real tax reforms. While lowering income tax rates for families and small businesses — sure to appeal to most conservatives but highly suspect to many liberals — it also increases business taxes on oil and gas extraction, which runs counter to a four-decade-long trend of higher burdens on families and lower taxes on business. More significantly, it reduces the rate of the sales tax while expanding its base, extending the tax to several long-excluded service industries. These are reforms touted by policy analysts from across the political spectrum.

In the field of education, primary and secondary schools would benefit from more lottery and general-revenue-fund subsidies, and the distribution of funds will more effectively assure fairness. While the first-blush praise from some education leaders has faded as details for their own districts have become known, by focusing on decades-long inequities, the proposed budget constructively frames the legislative deliberations that began last week. Similarly, the more modest increases in funding for higher education are accompanied by changes that would base state support less on body counts and more on degree completion.

In the health care arena, the administration’s proposals are extraordinarily comprehensive and forward looking. Most significant is the decision to proceed with expansion of Ohio’s Medicaid program. Providing health benefits for low-income workers and their families will benefit well over half a million Ohioans. Covering low-income individuals — many of whom have significant behavioral health problems or chronic diseases — will vastly improve the lives of some of the poorest and most severely ill Ohioans. In combination, the expansion should relieve providers, businesses and the privately insured of most of the cost of uncompensated care, making complex and dysfunctional cost shifting a thing of the past. Further, streamlined eligibility determination promises to reduce bureaucratic snafus and ridiculous difficulties for families negotiating their ways through the public welfare system. Creation of a single cabinet-level Medicaid agency — proposed to, and ignored by, previous governors of both parties — promises to strengthen management of the largest program in state government. The concurrent consolidation of mental health and alcohol and drug addiction service agencies will allow the same during a period when access to and funding of behavioral health services will undergo unprecedented expansion.

Beyond the broad outlines of the Medicaid expansion, the attention to details is noteworthy. For example, payment reforms will focus more attention on improving health, preventing disease and managing expensive chronic conditions that drive so much of health care cost. Additionally, directing Medicaid’s graduate medical education support to primary care professions and away from subspecialties is a bold first step in addressing the undersupply of general practitioners and oversupply of subspecialists. The administration’s effort to reach out to the Obama administration to explore covering a portion of the newly-covered through subsidies to private insurance is a groundbreaking alternative that might set an example for other states that are reluctant to move forward with the Affordable Care Act. And finally, the proposed trigger mechanism aborting the expansion if the federal government fails to fulfill its financial commitments provides assurance that future state leaders will not get hammered with enormous unfunded federal mandates.

Taken as a whole, Gov. Kasich’s executive budget reflects both pragmatism and principle. It is broad in its reach and extraordinarily thorough in its detail. It bears the stamp of the governor’s conservatism throughout, but borrows from the political left where he sees a benefit for Ohio. It is, in a word, balanced.

As with all legislation, the budget will be the subject of hundreds of amendments, which is business as usual. But this is decidedly not a business-as-usual budget. Nor is it doctrinaire. The thoughtful combination of its major provisions gives it an integrity that is far from the norm. It is a combination worth fighting for as a piece, and the governor should not hesitate to call on Ohioans to make their voices heard if it starts to unravel.

You can read the original column here.

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