New IO Report: Medicaid Savings Could Support Ohio Schools
Now that Ohio has committed to expanding Medicaid, State Senator Chris Widener proposed that the projected $400 million in savings Ohio will realize should be used to pay for another state income tax cut. A tax cut that Policy Matters Ohio estimates would be worth $28 for middle-income taxpayers.
When asked whether the money might be better spent on making up some of the $500 million in net funding cuts Ohio schools have received in the last two biennial budgets, “Widener said $400 million divided by the 613 school districts ‘would have a minimal impact.’”
Today we released an analysis showing that, despite Sen. Widener’s claim, the impact of an extra $400 million on Ohio schools would be dramatic and profound. It could pay for the new third-grade reading guarantee, gifted education, career tech or school transportation. Alternatively, it could be distributed to each of the state’s 613 school districts, making up for four years of state cuts and reducing the need for additional property tax levies to operate.
Read our report: “The Impact of $400 Million on Ohio Schools”.