June 13, 2025

Dear Upper Arlington Schools staff, families and community members,

We write to share our deep concerns about a series of Ohio property tax provisions that are currently under consideration within House Bill 335 (HB 335). If passed, this legislation would eliminate inside millage, ban new emergency and substitute levies, and give county budget commissions the authority to override voter-approved levies. Perhaps most importantly, this proposal has no plan to replace the revenues that would be lost to local municipalities and school districts across the State.

For Upper Arlington Schools, this would translate to a loss of $16.7 million each year. This represents more than 10 percent of the district’s operating budget and would have a serious impact on the experiences we can provide for students. A sudden and unexpected loss of this magnitude of funding would force significant cuts to both staffing and student programming, effective immediately.

As a school district and as residents of this community, we support meaningful property tax reform. We cannot support a rash measure that destabilizes public education as a whole and undermines our community’s long commitment to providing a high-quality educational experience for students.

From the City of Upper Arlington’s perspective, a portion of the City’s inside millage directly supports general operations such as police, fire, parks, and administration, while another portion is dedicated to funding the City’s employer pension contributions for police and fire personnel. While the direct impact of these allocations affects about 10 percent of the City’s operating budget, the actual financial effect is significantly greater, since many of the expenditures funded by inside millage are mandatory and cannot be reduced or eliminated. For example, the employer’s share of police and fire pension contributions must be paid regardless of the loss of inside millage or other budget constraints.

The provisions of HB 335 will hamstring the City’s ability to partner with businesses to encourage growth and make it difficult to keep commitments to businesses that we have already made. Tax Increment Financing (TIF) agreements have been instrumental in supporting development and creating jobs. These agreements rely on payment in lieu of tax revenues that are based on county, school, and library millage rates, and in many cases, these revenues are pledged to repay bonds issued to support development projects. If millage revenues decline or are restructured, our ability to meet commitments to businesses to reimburse them for the cost of roads, sewers and parking garages will be called into question.

We welcome thoughtful examination of Ohio’s taxation structure. We are on the front lines of trying to explain our property tax system to businesses, parents, retirees, employees and bond markets. Something this important deserves careful study, opportunities for voters to really understand what is happening, and the ability for voters in communities to retain control over the financial decisions that impact them and their kids.

We encourage you to reach out to our legislators and ask them to reject HB 335 and continue to support public education.

• Allison Russo: [email protected]
• Bill DeMora: [email protected]

 Over generations the residents of Upper Arlington have worked together to create this special community with schools and services that set a standard for the state of Ohio. Let’s come together so we can continue to provide our students and neighbors the services and experiences they deserve.

 Sincerely,

Dr. Robert Hunt
Superintendent, Upper Arlington Schools

Steve Schoeny
City Manager, City of Upper Arlington