Kasich Vetoes TPP Reimbursement Extension, Strongsville Superintendent Comments

STRONGSVILLE, OH — Governor John Kasich recently vetoed a line-item from the state budget that would have extended reimbursement payments for the phase out of the Tangible Personal Property (TPP) tax. The Ohio Congress failed to override the veto, meaning several school districts throughout the state, including Strongsville, will suffer budgetary shrinking over the next two years.

Kasich said in a message accompanying his veto decision that districts impacted by the loss of TPP reimbursements have had "more than sufficient time to prepare for the end of this funding." He went on to say the line item would have only extended the inevitable transition districts need to make in response to the funding loss

In a letter to the community, Strongsville Superintendent Cameron Ryba lamented the loss of district funds and laid out the actions the district had taken to try and protect TPP reimbursements. He said the vetoed line-item would have saved the district $750,000.

Ryba and representatives for Strongsville Schools, along with several other districts, lobbied lawmakers over the loss of TPP reimbursement funding. State Senator Matt Dolan fought hard to keep the line-item in the budget.

"I continue to be disappointed in the administration’s unwillingness to recognize that local revenues lost to state decisions need to have a consistent replacement in hand," he told Patch shortly after the veto. "Every time the legislative body tries to do something to help these communities, the governor vetoes it."

In a letter to the community on Tuesday, Ryba said Kasich had ample opportunity to maintain funding levels for all districts and use additional funds as he saw fit.

Kasich said the TPP reimbursements were going primarily to districts that could "raise their own revenue" and were being diverted from lower-wealth districts.

"Instead, he has taken dollars away from our students to give to other districts across the state. The elimination of TPP reimbursement and supplemental dollars amounts to a reduction of $3.1 million of state funding dollars in just one year," Ryba said in the letter. "In addition, this approved budget has a reduction of $113,108 in core aid beginning in fiscal year 2018, for a total of $3.2 million. The cumulative two year total of state funds being eliminated from Strongsville City Schools is $6.45 million."

Ryba goes on to say that the Strongsville School district currently funds its operations primarily through local tax dollars. Only about 27 percent of the district's budget came from state funds, prior to Kasich's veto. Ryba says the state will now contribute only 20 percent of the district's operations budget.

In the letter to the community, Ryba then outlines how the district has been proactive in its financial prudence. Specifically, he mentions:

• Staffing reductions (23 percent), which reflect the recent decline in enrollment, saving the district $3 million (projected through Fiscal Year 2019).
• Elimination of six buildings and re-purposing of one building.
• Switching to a self-insured healthcare plan, saving the district $2.8 million.
• Creating “Strongsville Academy,” an online option for students who benefit from a non-traditional classroom setting. Retaining students, rather than losing them to other online options saved the district $180,000 last year and ensures students will be graduating with a SHS diploma.
• Implementing new procedures to address delinquent fee payments.

"Providing the very best resources and learning environments for our students and staff remains our highest priority," Ryba says at the end of his letter. "Despite this loss of funding from the state, we will continue to find ways to strive to be a premier district in our area and in the state. Thank you for your continued support of our students and Strongsville City Schools."

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