Flawed Cuts

- June 5, 2014
   

In this eNews:  Some good in HB 483, but flawed cuts divert millions from crucial services to Ohio’s hightest earners and the expanded EITC won’t reach those who need it most; Policy Matters explores the potential EITC impact on Cleveland’s Promise Neighborhood;   we make the news; like us on facebook and follow us on twitter; and join Executive Director Amy Hanauer at the City Club for a talk on making Ohio’s economy work…for everyone.

Flawed cuts – The main budget bill, HB 483, cuts taxes by $400 million this year, diverting funds that could be spent on needed services. Half of that money goes to the top five percent of income earners. The package includes an expanded business tax cut, even though that giveaway, created last year, generated no job surge (not surprisingly since most recipients are not employers at all). The measure contains other good items, such as expanded adult and children’s services and childcare and an increased (but poorly designed) Earned Income Tax Credit. These tax changes underwent little change in conference committee.

Empty Promises – The federal Earned Income Tax Credit delivers lasting benefits to poor families, but since Ohio failed to make its credit refundable, our expanded EITC will have little or no impact on those who need it most. Our local study shows how an improved Ohio EITC could benefit Cleveland’s Promise Neighborhood.

On the media – Great research generates great press, from Wendy Patton’s op-ed on childcare in the Toledo Blade, to the Columbus Dispatch and Akron Beacon Journal’s coverage of our Flawed Cuts study, to the Mansfield News Journal’s reportage on changes to unemployment policies that could leave many displaced workers without benefits.

A Likely Story – Help us reach 2,000 likes on Facebook! – and our next 3,000 followers on Twitter! Rely on our reports for smart, credible research on the most pressing issues facing Ohio’s working families? Facebook likes and Twitter follows will expand our reach!

Save the mid-summer date – Join Policy Matters Ohio Executive Director Amy Hanauer on July 25th at the City Club of Cleveland for a noon presentation on making our economy work….for all of us. Make your reservation now.

Print Friendly