Commissioners Warn of Budget Crisis if Property Taxes Vanish: Could Ohio’s Rural Counties Pay the Price?

The Scioto County Commissioners are sounding the alarm about two competing proposals in Columbus that could dramatically alter — or even eliminate — property taxes in Ohio. While the idea may sound appealing to homeowners weary of rising bills, county officials warn the reality could mean massive budget shortfalls and tough choices at the local level. 

“This is not a fire drill,” said Commissioner Scottie Powell during a special meeting Tuesday. “If this goes through, we’re looking at a $2.5 million hit — roughly 10% of our operating budget. That’s real money, and real cuts.” 

Proposal 1: Total Elimination of Property Taxes 

One of the boldest efforts is a constitutional amendment proposed by the Ohio Citizens for Property Tax Reform and the Committee to Eliminate Property Taxes in Ohio. The amendment, now approved for signature gathering by the Ohio Attorney General’s Office, would add Section 14 to Article XII of the Ohio Constitution and completely abolish real property taxes. 

The initiative, backed by a group from Cuyahoga County, suggests reworking property-related bills and offering relief — or complete elimination — of taxes for seniors over 65. 

Commissioner Bryan Davis acknowledged the frustration that drives such efforts. “Property taxes are based on an outdated formula from the 1970s. It’s not fair. People on fixed incomes are being forced to make impossible decisions. But if we eliminate that revenue, what do we do instead?” 

The answer, Davis said, isn’t simple. “Even with the option to increase local sales tax, many counties — especially rural ones like ours — would still be upside down. And that’s only if voters approve the tax hike, which wouldn’t kick in until mid-2026.” 

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Proposal 2: Republican-Led Property Tax Relief Bill 

On the other side of the aisle, Ohio House Republicans are pushing a sweeping legislative package aimed at offering $3.5 billion in property tax relief without completely eliminating the tax. 

Dubbed “The Property Tax Relief Now Act,” this proposal would: 

“This is bold legislation,” said Rep. Bill Roemer (R-Richfield). “It tackles the root of the property tax problem while keeping schools and services funded.” 

But even this more measured approach carries risk, according to Commissioner Powell. He warned that automatic reductions to “inside millage” — a form of property tax that doesn’t require voter approval — could take effect immediately, while any local sales tax hike would be delayed by law until mid-2026. 

“That’s a dangerous gap,” Powell said. “No revenue coming in for months. Schools would be impacted. County offices would need to cut spending. We’re already operating on a flat budget this year with no increases.” 

Commissioners Urge Caution, Fiscal Preparedness 

Both Powell and Davis stressed that local governments have no control over the legislature’s actions but must prepare for the worst. Davis emphasized that any change in state law becomes the county’s new marching orders. 

“We’re creatures of statute,” he said. “Whatever the state decides, we implement. But we need to be realistic — we can’t spend money we don’t have.” 

The commissioners urged all county officeholders to review their budgets now and be prepared to cut if necessary. “This is a real activity,” Powell said. “Do the math. Be proactive.” 

What Happens Next? 

The constitutional amendment effort now enters the signature-gathering phase, aiming for the November ballot. Meanwhile, the Republican tax relief package has yet to be assigned to a committee but is gaining traction. 

For now, local governments like Scioto County are left in limbo — bracing for big changes with uncertain outcomes. 

“People are rising up and saying ‘no more’ to property taxes,” said Davis. “That’s fine. But we also have to face what comes next.” 

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