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by Amy Beth Graves

Gov. Bob Taft’s budget proposal, which has been stirring up a lot of debate, was the main topic of discussion for Ohio Farm Bureau Federation (OFBF) volunteer leaders and state lawmakers who gathered during last month’s Ag Day at the Capital.

During his opening remarks, OFBF President Bob Peterson held up the front pages of several newspapers to help illustrate his point: Taft’s $51.3 billion budget proposal is making a lot of headlines because the governor is suggesting major changes to the state’s tax and Medicaid system. These changes, and others, are ones that Farm Bureau has been pushing for because the state’s current business climate "hampers all Ohioans," Peterson said. He noted that parts of Taft’s recent State of the State address could have been written by Farm Bureau.

"Our goal is for Ohio to have fiscal responsibility and determine the proper size and role of government," Peterson told about 240 Farm Bureau volunteers and staff members Feb. 16 at the Hyatt on Capitol Square. "These are difficult times for Ohio. Let’s work together to figure out what to do."

Ag Day at the Capital gives county Farm Bureau leaders the opportunity to be updated on legislative issues important to agriculture before meeting with about 70 state lawmakers during a leisurely lunch.

Speakers at this year’s event included Ohio Lt. Gov. Bruce Johnson , Senate President Bill Harris, House Speaker Jon Husted and Assistant Budget Director Tim Keen, as well as various state, business and federal leaders. Breakout sessions included a standing-room only discussion about wildlife issues (see Page 2).

"Having so many influential policymakers address our group highlights the importance of agriculture to Ohio's leaders," said Rocky Black, OFBF’s director of legislative affairs. "Ohio Farm Bureau is playing a key role in shaping the state's spending and policy priorities."

Appearing together in the morning session, both Harris and Husted said they were "excited" by Taft’s budget proposal. They said major changes in Ohio’s business climate are needed to attract and retain high-paying jobs.

"I view this as a time in history where we can really make a change," said Husted, R-Kettering.

Some of Taft’s proposals that are of interest to Farm Bureau members include:

• Tax reform: Taft wants to phase out the state’s main business tax and a tax on business equipment and inventory and replace them with a "commercial activity tax," which would impose a 0.26 percent tax on a company’s annual receipts above $1 million. He also has proposed cutting all income tax rates by 21 percent. He has proposed no changes to the current agricultural use valuation.
• Cutting back on state spending, particularly Medicaid, which Farm Bureau has been calling for recently.
• Raising fees at nine state agencies, including the Agriculture Department, which would have a new $5 per test fee for its equine infectious anemia testing, the Natural Resources Department, which would have a new $100 fee for nuisance wildlife control operators, and the Environmental Protection Agency, which would increase its fee for dumping garbage in landfills from $2 to $4.75 per ton.

• Placing the Third Frontier issue again on the ballot. Two years ago, Farm Bureau opposed the measure and voters rejected it. The proposal would have authorized the state to issue $500 million in bonds to help attract high-technology industries in Ohio. Farm Bureau has not seen the specifics of the latest Third Frontier proposal and has not decided yet whether to support it.

"There is no question this is the most difficult budget in terms of spending since 1943," Harris said.

Putting Ohio’s government on a diet was how Johnson summed up Taft’s budget proposal.

"Folks in agriculture understand that the only way to compete is to make investments in things that will make you more productive," Johnson said while describing how sweeping tax reform is needed. "We would all starve to death if we still stood behind a mule."

Both Husted and Peterson used a "Chicken Little" analogy while describing how some organizations will complain that the sky is falling on them. But Husted said that is not the case and that while some of the cuts will be painful, they are necessary to rev up the state’s economy.

Rep. Jim Trakas, R-Independence, said OFBF is "one of the most effective lobbying groups around because of its strength in numbers" and urged members to let him and other lawmakers know what’s on their minds.

Richland County Farm Bureau member Drew Eckert shared a view that was similar to others at Ag Day. He and others at his lunch table felt that Rep. William Hartnett, D-Mansfield, was "honestly listening" about their topics, which included finance, education, physician shortages and landfills.

"He arrived early and spent all the time he could with us," said Russell Joudrey, of Richland County. "He’s been a friend of agriculture and this (lunch) was good for continuing our relationship with him."

Caption: OFBF President Bob Peterson is interviewed by Ohio News Network’s Dan Weist during Ag Day at the Capital. Other media attending the event included ABN Radio, WRFD Radio and the Columbus Dispatch.