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Speaker 1: It is seven twenty eight, fifty five k c DE
Speaker 1: Talk station. A very happy Wednesday to you again listener.
Speaker 1: Lunch Mantree Brewery, Summit Park location usually starts about eleven
Speaker 1: thirty and can get there whenever you want, and I
Speaker 1: just hope to see you today. It's a great fellowship
Speaker 1: and always a pleasure to welcome back to the fifty
Speaker 1: five CARSCEN Morning Show at this time of the week,
Speaker 1: Donovan and Eil from Americans for Prosperity to comment on
Speaker 1: the Ohio Senates GOP version of the budget. Welcome back, Donovan.
Speaker 1: Great to have you on the program.
Speaker 3: Again, Bryan, always a pleasure to be with you.
Speaker 1: All Right, I'm having a difficult time. I know you
Speaker 1: want to talk about the two point seventy five percent
Speaker 1: flat tax. I'm all in favor of that, I get it.
Speaker 1: But yeah, I'm sorry, I'm just frankly I've said used
Speaker 1: the words pissed off about six hundred million dollars going
Speaker 1: to the Cleveland Brown Stadium, Brook Park.
Speaker 2: Ah.
Speaker 1: Did you know, Donovan and Neil for Americans for Prosperity.
Speaker 1: The High Department of Commerce has said it's sitting on
Speaker 1: four point eight billion dollars in unclaimed funds. They got
Speaker 1: a pile of money there. Four point eight billion were
Speaker 1: of the things like forgotten bank accounts, rent utility deposits,
Speaker 1: and uncashed insurance policies. And apparently when the Browns ask
Speaker 1: for money, they can tap into that and pull out
Speaker 1: six hundred million dollars and hand it over to them.
Speaker 3: Well, I think it's an interesting way, and it's a
Speaker 3: long way from where we started in this conversation, right
Speaker 3: which the original proposal was raising taxes. I oh, I'm
Speaker 3: certainly glad we're not raising.
Speaker 1: Taxes to do to do these kinds of things.
Speaker 3: It's a creative way. The unclaim funds is a creative
Speaker 3: way to accomplish that.
Speaker 1: Though, well, it's better than borrowing the money and paying
Speaker 1: interest over twenty five years by issuing bonds. But fundamentally,
Speaker 1: we're giving money to a private sports organization owned by
Speaker 1: private individuals for the benefit of folks who can afford
Speaker 1: to go into a stadium and pay twelve to fifteen
Speaker 1: dollars for a beer. I'm sorry these things never work out.
Speaker 1: And they say, well, the revenue generated from the taxes
Speaker 1: on the purchasers at the brook Park is more than
Speaker 1: out of well, we got to repay the six hundred
Speaker 1: million dollars we're giving them. I'll blow it out here.
Speaker 3: You know what.
Speaker 1: I'm sorry. I didn't mean to catch you off guard, Donovan,
Speaker 1: but this kind of thing rubs me obviously the wrong way.
Speaker 1: So we can get back on focus and talk about
Speaker 1: the flat income tax.
Speaker 3: Well, and I think that's the important thing, right these
Speaker 3: big budget bills, whether it's one big beautiful bill in
Speaker 3: DC or you know, the two hundred billion dollar all
Speaker 3: spend budget here in Ohio, which, by the way, I've
Speaker 3: got some there's some silver linings there too. You know,
Speaker 3: there's a reason they say it's the look you're watching
Speaker 3: the sausage you get made, because none of these things
Speaker 3: are beautiful or perfect. But I think there's some there's
Speaker 3: some bright spots in this budget that send a signal
Speaker 3: that there is a culture shift happening in Columbus, and
Speaker 3: I think we need to keep our eyes focused on that.
Speaker 3: And that's certainly what we're doing at AFP, is staying
Speaker 3: focused on the things that we've identified as top priorities
Speaker 3: that this budget delivers on.
Speaker 1: Well, we had a tiered in well, we do have
Speaker 1: a tiered income tax system here in the state of Ohio. Correct,
Speaker 1: And this, this Senate proposal is in line, isn't it
Speaker 1: with the House proposal to get it down to a
Speaker 1: flat two point seventy five percent?
Speaker 3: Well no, no, knock on our friends in the House,
Speaker 3: but they actually failed to do that.
Speaker 1: Oh old ones, I misremembered of the ones.
Speaker 3: No, that's all right, yeah, the Senate actually, so we launched,
Speaker 3: in fact little self promotion here afp Ohio. We launched
Speaker 3: it with Leebray Ohio a campaign back on May twentyth
Speaker 3: a couple of weeks ago, calling on the Senate to
Speaker 3: put a flat tax in the budget. We're proud to
Speaker 3: say they did and buy over the course of this biennium.
Speaker 3: If this budget gets signed by the governors, ultimately let's
Speaker 3: get sent and signed by the governor, Ohio will have
Speaker 3: the lowest rate in the Midwest and be well on
Speaker 3: its way towards a zero percent income tax, positioning us
Speaker 3: well for that, I should say, over the next decade.
Speaker 1: Well, and that's something that gubernatorial candidate and probably our
Speaker 1: next coverer, Governor of Vivek Ramaswami, is advocating for as well.
Speaker 1: He wants to be he wants to be the most
Speaker 1: competitive state out there.
Speaker 3: Well, and that's a big part of the argument that
Speaker 3: we've been making. And I think a lot of our
Speaker 3: friends in the Senate, the folks who are real fiscal
Speaker 3: stewards and champions of the taxpayer, like George Lang, Senate
Speaker 3: President Rod McCauley, Tercerino, they get that right. They understand
Speaker 3: that we've got to keep making the margin if we
Speaker 3: pause that because over the last decade, Brian, by the way,
Speaker 3: over the last decade, we have cut from nine tax
Speaker 3: brackets with the top marginal rate at about five percent,
Speaker 3: to this point where we're currently at two brackets. And
Speaker 3: as the Senate has their way, we have our way right,
Speaker 3: Ohio will be a flat income tax date a two
Speaker 3: point seventy five percent. It's a phenomenal accomplishment over the
Speaker 3: last decade. If you ask me, it's taken too long,
Speaker 3: but hey, we're here now. And and what it does
Speaker 3: is yet that's someone like a governor rama swam me
Speaker 3: up to give that mandate to the General Assembly, and
Speaker 3: over the eight years HEAs governor put Ohio at a
Speaker 3: zero percent income tax.
Speaker 1: Well, and that certainly go a long way to making
Speaker 1: Aye a more competitive I mean, obviously, if you look
Speaker 1: at like tech in Florida, businesses flock the states with
Speaker 1: no income tax.
Speaker 3: Yeah, and that's what in the press conference esctially the
Speaker 3: Senate President was talking about, the Finance Chair Jerry Serena
Speaker 3: was talking about. And it's not just warm weather states, right, folks.
Speaker 3: Businesses go where them where the economic climate is most favorable.
Speaker 3: And when we think about economic development. Not to bring
Speaker 3: up the beginning of the segment necessarily, but one of
Speaker 3: the challenges we have, I believe as a state is
Speaker 3: because of our complexity, because of the amount of local
Speaker 3: governments we have, because of the tax burning we have.
Speaker 3: Compared to states like Texas, tennesse or Florida, there's a
Speaker 3: compelling nature the lawmakers are compelled to use taxpayer dollars
Speaker 3: to try to lure businesses and develop into the state.
Speaker 3: We can change that paradigm by creating a foundation that
Speaker 3: is much more favorable the economic opportunity and prosperity. One
Speaker 3: of the key ingredients of that is having these zero
Speaker 3: percent income tax states. So when you bring your employees
Speaker 3: to Ohio, you can tell them they're going to keep
Speaker 3: all of their hard earned money that they earn nine
Speaker 3: to five Monday through Friday. It's great policy and great politics.
Speaker 1: It is now obviously things like this get pushback. And
Speaker 1: since the House did not have that, and I apologize
Speaker 1: for misremembering that Alice build ninety six past the House
Speaker 1: in April, that this is going to be a reconciliation
Speaker 1: process that goes on between the Senate's version and the
Speaker 1: House version.
Speaker 3: Then well, fortunately in Ohio we're not as complex and
Speaker 3: convoluted as Washington dcing. We have our own laws. But yeah,
Speaker 3: so what we've got right now is we're really on
Speaker 3: a clock. We have till probably about June twelfth, is
Speaker 3: when the Senate is expected to vote on the floor
Speaker 3: for their version of the budget. What that would do
Speaker 3: is then send it back over the House and they'll
Speaker 3: do a they'll do a what's called a concurrence vote,
Speaker 3: and typically they vote that down. Depending on what this
Speaker 3: product is, maybe it's maybe it just makes sense to
Speaker 3: vote straight up and concur But if they fail to
Speaker 3: concur which is historically what happens, they go into a
Speaker 3: conference committee, sort of hash some details out, send the
Speaker 3: build back out. So pretty straightforward process in that once
Speaker 3: the Senate's done it really then goes to a combined
Speaker 3: committee of the finance's finance committees in the House and
Speaker 3: Senate to kind of reconcile the process and send it
Speaker 3: to the governor.
Speaker 1: Now, do you find faults with anything that's currently in
Speaker 1: the Senates version that you prefer the House version? Obviously
Speaker 1: the House version doesn't have the cap of two point
Speaker 1: seventy five, so there's a difference there. But are there
Speaker 1: things in the House build that aren't in the Senate
Speaker 1: bill that AFP and my listeners should know about.
Speaker 3: Well, I think what you saw with the House budget
Speaker 3: To answer your question directly, no, based on what we're
Speaker 3: seeing right now. In fact, what it looks like the
Speaker 3: Senate has done, and this is sort of what they've
Speaker 3: done historically over the past decade or so. In fact,
Speaker 3: you'll see the House increase spending from what the executive
Speaker 3: has asked for, and the Senate often over the last
Speaker 3: several years, has come in and cut curb spending, restraint
Speaker 3: spending from what the House is looking for. The House
Speaker 3: actually curb spending about four point one billion dollars from
Speaker 3: what Governor Dwine asked for. The Senate came in and
Speaker 3: found another one point six billion in in moneies that
Speaker 3: just don't fit the proper role of government. And so
Speaker 3: I think what we're seeing, I think it's a combination
Speaker 3: of former Senate President Matt Huffman in leading the House
Speaker 3: Chamber and new Senate President Rob McAuley, who's a long
Speaker 3: time AFP Bucket blueprint champion, bringing his you know, restraint
Speaker 3: to the philosophy of leading to the Senate Chamber. And
Speaker 3: we've got two legislative leaders, two legislative chambers that are
Speaker 3: really dialed in on the idea that you know, this
Speaker 3: money isn't Columbus's money, it's the people of Ohio's money,
Speaker 3: and we've got to exhibit fiscal stewardship because you know,
Speaker 3: you know, for all the reasons Conservatives exhibit fiscal stewardship,
Speaker 3: and that I think what we're seeing here, and so
Speaker 3: I think they took a good product, made it even better.
Speaker 3: And I think our hope is sifting through it still
Speaker 3: that this is probably a very good product. Maybe you
Speaker 3: can make make some additional tweaks and modifications, but let's
Speaker 3: get this thing done and get it to the governor
Speaker 3: and deliver on a flat tax for ohilands.
Speaker 1: Amen. It sounds like both sides are in the right
Speaker 1: are going in the right direction. In terms of those
Speaker 1: who are opposed to reducing the income tax, I'm sure
Speaker 1: they're screaming about not being able to afford what we
Speaker 1: do here in Columbus on behalf of the ohiolands. How
Speaker 1: will they deal with less revenue? Is the reduced revenue
Speaker 1: by reducing this tax satisfied by the cuts that have
Speaker 1: been offered by the House and Senate.
Speaker 3: Yeah, that's sort of the idea, and really what we've argued.
Speaker 3: We did. We worked with the Buckeye Institute, Greg Laws
Speaker 3: and Ray Hedderman to put together a study a couple
Speaker 3: of years ago on how you get onhig of those
Speaker 3: zero percent income tax. One of the key ways you
Speaker 3: do is just don't grow government so dang fast. Right,
Speaker 3: you can grow it, just don't grow it so dang fast.
Speaker 3: And that's what I think we're seeing in this budget
Speaker 3: where I'm historically notoriously bad at math Brian, but I
Speaker 3: think you know, the governor wanted to grow the budget
Speaker 3: by about I think eight percent over the last biennium.
Speaker 3: What the Senate comes in at is just about four
Speaker 3: and a half percent growth by anum over by anym
Speaker 3: and so when we just grow it maybe where it's
Speaker 3: necessary right where you just have inflationary policies or what
Speaker 3: have you that have caused that delivery of services to
Speaker 3: go up. That's the kind of fiscal restraint we're asking
Speaker 3: for you that enables you to then buy down the
Speaker 3: tax and that's what we're that's what we're doing in
Speaker 3: this budget.
Speaker 1: As far as we can tell, don On Neil, Americans
Speaker 1: for Prosperity usually end with the call of action. Is
Speaker 1: there one today and is there a website?
Speaker 3: My listeners should go to Buckeye Blueprint dot com, flash
Speaker 3: soo s Buckeye Blueprint dot com, slash sos. There's some
Speaker 3: information in dollard there. And then we're going to be
Speaker 3: having a rally in Columbus next week to encourage lawmakers
Speaker 3: to finish the job and get this done and vote
Speaker 3: this budget over to the House. And so go there
Speaker 3: you can find out some more details and we'd love
Speaker 3: to have you join us in Columbus.
Speaker 1: Courage my listeners to do just that. AFP Donovan and
Speaker 1: Neil pleasure having you back on today. Keep keeping us
Speaker 1: in form and reminding me of the things that happened
Speaker 1: and didn't happen, but I can't remember. Great having you
Speaker 1: on donnav. We'll talk again next week. Have a wonderful week. Meantime,
Speaker 1: always a pleasure. Take care. It's eight seven thirty eight.
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