Ohio ends inthe black (One day after new taxes go into effect)

Cleveland Plain Dealer ^ | Juky 2 2003

[boxerblues]

Ohio ends in black; Dems see red

07/02/03

Julie Carr Smyth Plain Dealer Bureau

Columbus - After all that, Ohio ended fiscal 2003 with a surplus.

That's right. After all the adjusted revenue projections, the discovery of the last-minute $200 million hole, the tightened programs and a state prison prepped for closing.

From Our Advertiser

When all the books for the year were reconciled on Monday, state coffers wound up $180.7 million in the black, said Budget Director Tom Johnson. The extra cash will go into the state's zeroed-out Rainy Day Fund.

"After going through what the state has gone through over the past two years, we believe strongly that we need to have a Rainy Day Fund," said Johnson, an appointee of Republican Gov. Bob Taft. "If the economy doesn't come back quite as strongly as we believe, or if external forces, like another 9/11 or additional scandals in corporate America occur, we need to have money set aside for emergencies."

Johnson said the surplus resulted from several factors.

These include $193 million in economic stimulus money from the federal government; more penny-pinching, at Taft's suggestion, by state agencies than projected; and a larger than expected influx of federal Medicaid dollars that were "aggressively sought" by the state.

Johnson pointed out that the sum amounts to a fraction of a percent of the $45 billion budget.

But that didn't stop Democrats from politically cashing in.

House Minority Leader Chris Redfern said the extra money, while small in terms of the overall budget, could have been spent on needed programs.

"Mr. Johnson characterizes this as good news [for the state], but I think it could also be good news if you're an employee of the Department of Rehabilitation and Correction at Lima and due to lose your job," said Redfern, a Catawba Island Democrat. "Or that money could be used for the Civilian Conservation Corps, or health services for nursing home patients [both cut to balance the budget]. There are always two sides to these issues."

Johnson said the amount is less than what Ohio has carried over year-to-year in recent times. He said the state tries to keep 5 percent of revenues in reserve, or a little over $1 billion, but has been unable to do so.

"If we had 5 percent in the bank, which we're not even close to having, that would be like a household that makes $40,000 having $2,000 in their checking account," Johnson said. "The numbers seem big, but in context that's really not the case."

© 2003 The Plain Dealer. Used with permission.

[boxerblues]

this comes one day after the state sales tax was raised and everything under the sun from real estate commissions, cable TV, used car trade-ins, amusement park tickets, dry cleaning, landscaping, tanning beds, massages - even tattoos has now been taxed

[snippy_about_it]

I don't know anymore bb. This place is getting ridiculous. Taft has screwed us royally.

[boxerblues]

how convenient for Taft that this came out just one day after his new taxes went into effect. While the amount is peanuts really, all we heard was how broke they were blah blah. Everything is going up except my paycheck

[snippy_about_it]

Yep. Mine isn't going up either. I'm in a freeze. arggh!

Taft knew he had nothing to lose, he's already a loser.

[boxerblues]

Ive been on a three yr pay freeze, as well as my husband. We've cut back on expense and still manage nicely. It would be nice if the state would at least try to do the same

[snippy_about_it]

Yes. It's one thing to make our own cut backs and try to manage and then see he isn't doing the same.

[boxerblues]

ping

[bonehead4freedom]

We always hear how we must pay more to help the poor,elderly, and the children but we never hear of any spending cuts on a bloated budget.Boob Shaft what was the difference between him and Tom Hagan again?Government is being made smaller and more responsive to the voters how?

[boxerblues]

I about fell out of my chair this morning reading this article. There has got to be a way to get all if not some these new taxes repealed

[NeoCaveman]

We've been shafted by Tafted who is just another Ohio big government Republican.

[boxerblues]

I really liked the guy but now Im not so sure. he sure has some explaining to do

[xrp]

Taft has screwed us royally.

Must SUCK to have a Democrat for a governor!!! Hahahahahah.

[snippy_about_it]

yes, we might as well have! lol

[NeoCaveman]

I didn't. I was done with him since last year because of...
the liberal running mate
his opposition to concealed carry
previous tax increases of his
dramatic increases in state spending.

[boxerblues]

we'll your smarter than me. Looks like I will have to go back and do my homework a little better next election time. If I had wanted a Dem I would of voted for one but instead I get a sneaky pete pubbie

[Bikers4Bush]

I'm sick of Taft and the rest of the Rhinos. We need some true conservatives in office and we need them in there now.

[katze]

Tho' I'm a diehard Republican, I voted for Hagan because I'm so against Taft. Taft has made Ohio one of the biggest welfare states in the country.

[Mr. Bird]

When all the books for the year were reconciled on Monday, state coffers wound up $180.7 million in the black,...Johnson said the surplus resulted from several factors. These include $193 million in economic stimulus money from the federal government

Looks like one factor in particular to me....

[CONSERVE]

ping

[Arkinsaw]

Same thing in Arkansas. They taxed us to death due to a crisis, and then suddenly found they had more money than originally thought. Wallet suckers have no problem funding themselves during economic slowdowns.