The Mason City School Board received an update on state property-tax reform and its potential local effects during the treasurer’s report.
Treasurer Sean reviewed four pieces of legislation (House Bills 129, 186, 389 and 335) that aim to change levy options, cap increases tied to reappraisals and give county budget commissions authority to reduce millage rates under certain conditions. Sean explained that many provisions are targeted at districts on a "20-mil floor," an outcome of long-term property-value increases under Ohio’s existing law, and that Mason is not on that floor. He said the district’s 2024 reappraisal showed an average local increase of about 28% but Mason’s local tax bills increased only about 4% because the district is not at the floor.
Sean cautioned that the legislative picture remains fluid and that bills have been passed by both chambers but not yet signed by the governor. He said districts that are on the 20-mil floor could see growth capped at an inflation-based rate and that county budget commissions may gain new authority to reduce millage under House Bill 389; districts will have an opportunity to present their cases before those commissions if changes are proposed.
Why this matters: If enacted as described, the bills would restrain unvoted millage growth in some districts and could change local revenue trajectories; Mason officials said they are watching for secondary proposals such as statewide tax-rate changes or caps on reserves.
Next steps: District staff and board members said they will continue monitoring final action from the governor and evaluate implications for the district’s four-year forecast and planning.