LORAIN COUNTY LORAIN COUNTY REVENUE ANALYSISREVENUE ANALYSIS

Lorain County Revenue

Interest Revenue

***From 2007 to 2015 there was a decrease in revenue of $49.2 million due to a decline in interest rates ***

5.06%

2.78%

2.56%

2.01%1.45%

1.10% 0.94% 1.13% 0.07%

% rates for investment earnings credited to the General Fund

Conveyance Fees Revenue

Due to the decline in the real estate market beginning in 2008, Lorain County saw a decrease of approx. $10.8 million in revenue from conveyance fees.

Ohio Housing Trust FundIn 2003, the Ohio Legislature doubled the cost of recording fees charged In 2003, the Ohio Legislature doubled the cost of recording fees charged by the Lorain County Recorder and the additional fees were to be sent to by the Lorain County Recorder and the additional fees were to be sent to the State.the State.

By doing this, it created a permanent, dedicated funding source for the By doing this, it created a permanent, dedicated funding source for the Ohio Housing Trust Fund and it was no longer reliant on the State’s Ohio Housing Trust Fund and it was no longer reliant on the State’s general fund.general fund.

Since October of 2003, Lorain County has paid approx. $17.2M to the State, Since October of 2003, Lorain County has paid approx. $17.2M to the State, of which 1% for admin costs (approx $14,000/year) have been sent back.of which 1% for admin costs (approx $14,000/year) have been sent back.

Since 2009, $3,737,780 of the approx. $17.2M sent to the State has come Since 2009, $3,737,780 of the approx. $17.2M sent to the State has come back to Lorain County to various organizations via grants to assist with back to Lorain County to various organizations via grants to assist with homeless shelters, rehab assistance and transitional housing.*homeless shelters, rehab assistance and transitional housing.*

The first $50 million of fees received by the state each year are deposited The first $50 million of fees received by the state each year are deposited into the Housing Trust Fund. Anything over that is deposited into the state into the Housing Trust Fund. Anything over that is deposited into the state general revenue fund. (2004 – 2007 $62,524,872). general revenue fund. (2004 – 2007 $62,524,872).

*No data available for 2004 to 2008. On average $600,000 a year has been awarded to Lorain County organizations via grants.*No data available for 2004 to 2008. On average $600,000 a year has been awarded to Lorain County organizations via grants.

The first $50 million of fees received by the state each year are The first $50 million of fees received by the state each year are deposited into the Housing Trust Fund. Anything over that is deposited deposited into the Housing Trust Fund. Anything over that is deposited into the state general revenue fund. into the state general revenue fund.

For years 2004 thru 2007 funds in excess of $62.5 million were For years 2004 thru 2007 funds in excess of $62.5 million were deposited to the state’s general revenue fund due annual collections deposited to the state’s general revenue fund due annual collections being over $50 million.being over $50 million.

For years 2008 thru 2014 annual collections did not reach the $50 For years 2008 thru 2014 annual collections did not reach the $50 million threshold. Therefore, there were no excess funds deposited to million threshold. Therefore, there were no excess funds deposited to the state’s general revenue fund.the state’s general revenue fund.

Ohio Housing Trust Fund

***Only the 1st and 2nd quarter collections for 2013 have been received***

Casino Revenue

In 2009 when voters approved Issue 3, the state estimated that the In 2009 when voters approved Issue 3, the state estimated that the casinos would generate at least $470 million in annual tax revenue.casinos would generate at least $470 million in annual tax revenue.

A full 90% of casino tax revenue is distributed to local governments A full 90% of casino tax revenue is distributed to local governments and school districts and 10% is being shared among state agencies for and school districts and 10% is being shared among state agencies for casino commission. casino commission.

Since the first casino opened in May 2012, a total of $784,606,184 in Since the first casino opened in May 2012, a total of $784,606,184 in gross casino revenue has been collected by the state thru June 2015.gross casino revenue has been collected by the state thru June 2015.

$78,460,612 has gone into the state coffers for:$78,460,612 has gone into the state coffers for: Casino Control Commission FundCasino Control Commission Fund Ohio State Racing Commission FundOhio State Racing Commission Fund Law Enforcement Training FundLaw Enforcement Training Fund Problem Gambling & Addictions FundProblem Gambling & Addictions Fund

$266,766,101 has gone into the state’s student fund which has taken $266,766,101 has gone into the state’s student fund which has taken the burden off of the state’s general fund.the burden off of the state’s general fund.

Actual

Estimated

$884,606

$4,578,500

$6,128,796

$3,500,000

$788,768

$3,413,086 $3,632,872

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

ActualEstimated

State Estimates vs Actual Receipts (Casino)

Shortfall of $95,838

Shortfall of $1,165,414

Shortfall of $2,495,924

No data available for 2015 estimate from state

Personal Property & State Reimbursement (CAT Tax) Revenue

***From 2007 to 2015 there was a revenue net loss of $2,736,534.***

Public Utilities Revenue

***From 2007 to 2015 there was a revenue net loss of $688,438.***

Local Government Revenue

***From 2007 to 2015 there was a revenue net loss of $8,249,829.***

1935 – Enacted and set at 3%1935 – Enacted and set at 3%

1967 – Increased to 4%1967 – Increased to 4%

1981 – Increased to 5%1981 – Increased to 5%

2003 – Increased to 6%2003 – Increased to 6%

2005 – Decreased to 5.5%2005 – Decreased to 5.5%

2013 – Increased to 5.75%2013 – Increased to 5.75%

History of State of Ohio Sales Tax

State Sales Tax Revenue

***$107M actual revenue through June 2015***

2

2

9

17

34

19

5

0 5 10 15 20 25 30 35Counties

4.1-4.5

3.6-4.0

3.1-3.5

2.6-3.0

2.1-2.5

1.6-2.0

1.1-1.5

Insid

e Milla

geGuaranteed Inside Millage by County

**Putnam 1.3 – Crawford 1.4 – Cuyahoga 1.5 – Hancock 1.5 – Van Wert 1.5**

**Lorain County – 1.6**