Complete Story
Ohio House Passes State Budget Bill
Commercial Activity Tax Exemption Included for Agricultural Commodity Handlers
The past two weeks have been extremely busy for the Ohio House Finance & Appropriations Committee. Upon return from a two-week break, the Finance Committee adopted a substitute budget bill (Sub HB 59) that altered the previous bill in substantial ways. Most notable were the removal of the Governor’s sales tax proposal and Medicaid expansion.
While that is significant to all Ohioans, the Ohio AgriBusiness Association was particularly interested in several changes related to issues on which we have been diligently lobbying. A key change is an amendment to exclude all licensed agricultural commodity handlers from paying the state’s Commercial Activity Tax. Also significant, and a result of our efforts (amongst others), was the increase in funding for the Ohio Agricultural Research and Development Center and Ohio State University Extension line items. Additionally, OSU Agricultural Technical Institute funding was aided through an amendment that creates the SSI Bridge Fund to provide supplemental funding of $8.1 million in fiscal year 2014 to hold all state campuses harmless in the first year of the transition to the new funding formula. While this only delays the 30-percent funding cut imposed on ATI, it is helpful as they work to adapt and identify new funding sources.
After a week of deliberation and some additional amendments, the House Finance & Appropriations Committee voted the bill out of committee. The full Ohio House of Representatives weighed in on the bill on Thursday, April 18, voting it out of the House with a vote of 61 to 35. Sub HB 59 now moves to the Ohio Senate, where it will be further scrutinized and amended. The state must have a budget in place by the end of June.
OABA will continue to be actively engaged through the Senate process to maintain the agricultural commodity handler CAT exemption.
I also encourage OABA members who are agricultural commodity handlers to contact their Ohio state Senator and encourage them to “Keep the CAT exemption for agricultural commodity handlers in the state budget!” Click here to find your state Senator. When calling or emailing your Senator, please identify yourself as an Ohio AgriBusiness Association member – we have strength in numbers!
Sincerely,
Chris Henney
OABA President and CEO
To learn more about the Ohio Budget Process, you can read the following OABA News & Notes articles:
