Ohio lawmakers passed a $60 billion two-year budget Wednesday that provides $600 million in public funds for a new Cleveland Browns stadium and flattens the state's income tax system, marking the first time since 2001 that a state budget received no Democratic support.
The Republican-controlled legislature approved the spending plan along party lines, with the House voting 59-38 and the Senate 23-10. The budget now heads to Gov. Mike DeWine, who has until June 30 to sign it and can issue line-item vetoes.
The budget allocates $600 million from Ohio's $4.8 billion pool of unclaimed funds to help finance the Browns' proposed $2.4 billion domed stadium in Brook Park12. The unclaimed funds consist of dormant bank accounts, uncashed checks, and forgotten utility deposits31.
The legislation also reduces Ohio's top income tax rate from 3.5% to 2.75%, creating a flat tax system where high earners pay the same rate as middle-income residents45. About 96% of the estimated $1.1 billion in annual lost revenue will benefit Ohioans earning $138,000 or more, according to Signal Ohio5.
"Government is not entitled to the fruits of Ohio's labor, and our residents deserve to keep as much of their own money as they possibly can," said House Finance Chair Brian Stewart, who led budget negotiations for Republicans5.
Democratic leaders condemned the budget as favoring wealthy residents over working families and public services.
"Budgets are about choices," said Rep. Bride Rose Sweeney, the House Democrats' lead negotiator, according to Signal Ohio. "The legislature could have chosen" differently, she said, criticizing the focus on tax cuts for high earners and stadium funding for "billionaires"1.
Sen. Kent Smith of Euclid argued against the tax cuts, telling Signal Ohio: "There's not a single millionaire in Ohio that needs a $10,000 tax cut"2.
Former Ohio Attorney General Marc Dann and former state Rep. Jeff Crossman announced plans to file a class-action lawsuit challenging the use of unclaimed funds for the stadium, calling it "an unconstitutional and illegal funding scheme"12.
The budget also modifies Ohio's "Art Modell law" to allow teams to move within the state without penalty, addressing Cleveland's lawsuit against the Browns over their planned suburban relocation23.
DeWine's budget office previously warned that the stadium financing plan "inappropriately overstates projections of future taxes generated by the project," according to Signal Cleveland4.
