Vice Chair Thomas presented sponsor testimony for House Bill 309, the Budget Commission Overhaul Act, proposing explicit authority and annual duties for county budget commissions to review budgets of all property-tax-levying entities, require hearings when fund carryovers exceed 30 percent, and recommend or decrease tax rates where revenues exceed documented needs.

Thomas said the bill aims to restore the original watchdog role of the budget commission and reduce wide variation in county practice. “The budget commission should be the true watchdog for the taxpayer,” he said, adding that the bill would place the burden of proof for need on the entity levying the tax rather than on the commission. Thomas described Lake County, Geauga County and other counties as examples of divergent authority and practice across the state.

Key provisions Thomas described include annual reviews of levying entities’ budgets, required hearings for funds with carryovers greater than 30 percent, requirements that entities formally accept unvoted increases tied to property-value growth, and revised local government fund (LGF) allocation procedures that remove veto authority for the largest city in a county.

Members probed implementation and political consequences. Representative Demetrio and Ranking Member Troy asked whether the commission could act after voters approve a levy; Thomas said the commission can review levies after approval and reduce rates if the commission determines the full authorized rate is not necessary for operations. Representative Hall, an attorney, asked about the proposed shift in “burden of proof,” concerns about quasi-judicial functions, expertise to judge technical budgets and privity between voters and levied entities; Thomas responded that elected commissioners and auditors already handle financial oversight and that the change is intended to make tax rates more accountable to taxpayers.

Thomas said auditors generally support clearer authority, though some taxing entities may resist. The hearing was informal; no committee vote occurred. Thomas said the bill would be refined through further testimony and committee process.