Rep. Brent votes against House Bill 157 to modify municipal income tax rules

State Rep. Juanita Brent (D-Cleveland) voted in opposition Wednesday to House Bill (HB) 157, legislation that would prohibit the collection of income taxes from workers who aren’t physically in an office inside the city or village limits. 

“This bill will result in a significant revenue loss for our municipalities, which they cannot afford right now,” said Rep. Brent. “We have heard from many cities that this bill will create unnecessary burdens and have negative long-term effects. Cities and employers have had to make huge adjustments during the pandemic and shifting to work-from-home. Changing this rule will just create more confusion and work, while taking away much needed money from municipalities.” 

The bill comes as many Ohio workers remain on work from home status amid the coronavirus pandemic. Opponents of the bill say the changes could undercut local government budgets, with some cities set to lose millions of dollars in revenue. Democrats said these shortfalls could threaten the ability for communities to fund emergency services and other essential programs.

Democratic lawmakers offered several amendments to the bill during House session Wednesday, including measures that would:

• Extend current temporary tax rules that charges taxes for people’s worksite location through 2022. Democrats said that cities could lose millions of dollars in revenue and threaten funding for emergency and essential services.
• Requires the Director of Public Safety to study and report on reductions in law enforcement personnel and other public safety services due to revenue losses resulting from the bill.

House Republicans rejected both amendments.

After clearing the House, HB 157 moves to the Senate for consideration.