DeWine Orders $390 Million Ohio Budget Cut, But Adds Money For Education
Blaming the pandemic for negatively impacting state revenue, Gov. Mike DeWine has ordered budget cuts, but also restored some of the money that was cut from K-12 and higher ed last year.
Gov. Mike DeWine said when he made three quarters of a billion dollars in cuts to Medicaid and educationlast year, he thought the budget would be worse off than it is now.
Revenues have been coming in over estimates lately - in December, tax receipts were more than $64 million over estimates, but total tax receipts are down 10%.
With this Executive Order, DeWine is finalizing current year budget reductions of $390 million across all agencies. But he’s also putting an additional $160 million into K-12 education and $100 million into higher ed.
DeWine has said he expects to tap the $2.7 billion in the state's rainy day fund because of the pandemic, but has also said he wants to hold off as long as possible. He's also said he won't consider a tax increase, though the liberal-leaning think tank Policy Matters Ohio has suggested a tax on corporate profits.