Public Policy

The Partnership has undertaken work on federal and local policy issues including the American Rescue Plan Act of 2021, member-directed spending, U.S. Innovation and Competition Act of 2021, RAISE discretionary grants, the bipartisan infrastructure proposal and municipal income tax discussions.

In addition, Partnership advocacy efforts during the second quarter were focused on the finalization of the state operating budget. Governor DeWine signed the two-year, $74 billion budget on June 30. The Columbus Partnership advocated on a number of items in the budget:

MEGAPROJECT LEGISLATION

Megaprojects can now be authorized for important tax incentives that are necessary to compete with other states. A megaproject is an economic development project that either includes $1 billion in capital investment or $75 million in payroll. Throughout the legislative process, the Partnership advocated for the megaproject language, which was added to the budget during the conference committee.

CAPITAL GAINS INCOME TAX DEDUCTION

Throughout the past year, the Partnership has been advocating for a venture capital gains income tax deduction in order to attract the workforce needed for Ohio to thrive. The Senate had removed the language regarding capital gains that the House passed, but the final version of the budget included the venture capital gains income tax deduction.

BROADBAND

The Ohio Senate’s version of the budget stripped funding completely for broadband access and expansion. However, the language barring government-supported broadband networks was removed from the final version of the budget, and instead $250 million will be invested in broadband - $60 million more than the proposed House version of the budget. The Columbus Partnership weighed in significantly on both the overall funding allocation as well as the removal of the original language.

MUNICIPAL INCOME TAX

The final budget extends the ability for an employer to consider employees’ income as earned at their physical worksite through the duration of 2021, as well as finalized language that addresses employer liability and the requirements for refund documentation. The Partnership joined other business groups, including the Ohio Chamber and Ohio Business Roundtable, in advocacy for this language.

AFFORDABLE HOUSING

The proposed change included in the Ohio Senate substitute version of the budget would require that affordable housing projects be evaluated at full market value, despite federally imposed rent and income eligibility restrictions. This would jeopardize the ability to use low income housing tax credits to address the affordable workforce housing shortage across Ohio. The Partnership advocated against this proposal, which was eventually replaced with a provision that creates the Federally Subsidized Housing Study Committee to make recommendations about the valuation process of federally subsidized residential rental property.

STEP UP TO QUALITY

The Senate version of the budget eliminated Step Up to Quality provisions that require childcare programs receive at least a one-star designation, along with the goal that all programs receive at least three stars by 2025. Rather than removing the provisions entirely, a study committee was formed to review the Step Up to Quality program and its requirements. The Partnership joined community leaders in advocating for Step Up to Quality. 11