Local Gov't Presentation to Constitutional Modernization Commission

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Ohio Constitutional Modernization Commission for the Education, Public Institutions, Miscellaneous and Local Government Committee July 11,2013 Alison D. Goebel Associate Director Greater Ohio Policy Center [email protected] Lavea Brachman Executive Director Greater Ohio Policy Center [email protected] g Overview of Local Government in Ohio

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GOPC presented an overview of Ohio's local government terrain to the Eduation, Public Institutions and Miscellaneous and Local Government Committee of the Ohio Constitutional Modernization Commission on July 11, 2013.

Transcript of Local Gov't Presentation to Constitutional Modernization Commission

Page 1: Local Gov't Presentation to Constitutional Modernization Commission

Ohio Constitutional Modernization Commission

for the Education, Public Institutions,

Miscellaneous and Local Government Committee

July 11,2013

Alison D. GoebelAssociate DirectorGreater Ohio Policy [email protected]

Lavea BrachmanExecutive DirectorGreater Ohio Policy [email protected]

Overview of Local Government in Ohio

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Greater Ohio Policy Center:“Think” and “Do” tank

An outcome-oriented statewide non-profit organization that develops and implements policies and practices to:

• revitalize Ohio’s urban cores and metropolitan regions

• achieve sustainable land reuse and economic growth

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Sustainable Growth and Local Government

Ohio’s current local government structure impacts sustainable growth:

• Communities and taxpayers face the legacy costs of a 19th century structure in a 21st century economy

• Ohio’s population growth is stagnating

• 45th in population growth, but 8th in land consumption

• Fragmented and duplicative local governments prevent effective economic competition on world market

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State of Local Government in Ohio

How much does Ohio’s local government cost?

How does Ohio compare nationally?

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Cost of Ohio’s Local Government

• 20th highest local tax burden in U.S. (2010)

• 34th highest for state taxes, as a % of income (2012)

• 45th in population growth, but 8th in land consumption

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Cost of Ohio’s Local Government

• 29% above peer state average (IN, MI, PA, KY, IL) in monthly local government payroll

• ~2x national average for monthly local government payroll

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Monthly payroll expenditures for local government in Ohio cost $1.8 billion in 2011

Monthly employment expenditures for local government are almost 3 times that of state government.

2003 2007 2011$0

$500,000,000

$1,000,000,000

$1,500,000,000

$2,000,000,000

$2,500,000,000

$3,000,000,000

$483,289,081 $597,895,507 $653,416,073

$2,054,318,446

$1,692,070,025

$1,817,460,033

state gov't payroll local gov't payroll

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Greater Ohio Policy Center

payroll costs of key levels of local government, 2011

monthly payroll costs of key components of local gov’t, March 2011

Source: Greater Ohio Policy Center, Census of Governments; Government Organization, 2011

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

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Ohio is MIDDLE of the pack in per capita costs of local government payroll in the midwest and peer states

state 2011 per capita cost of local government

Indiana $130.71Michigan $137.22Pennsylvania $139.79Wisconsin $153.49Minnesota $156.19Ohio $157.49Illinois $176.30New York $251.60 US Total $160.58

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State of Local Government in Ohio

How much local government does Ohio have?

How does Ohio’s local government system compare nationally?

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Ohio has over 3,600 local government jurisdictions

Source: : U.S. Census Bureau, 2012 Census of Governments, Organization Component Preliminary Estimates2012

counties (88) municipalities (940)

townships (1,308)

traditional school districts

(614)

0

200

400

600

800

1000

1200

1400

types and number of local governments

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and over 4,000 special district governments

Source: Greater Ohio Policy Center, Census of Governments; Government Organization, 2012, research by Randy Cole

metro. h

ousing a

uth. (75)

park dist

ricts

(90)

airports

(97)

joint fire

or ambulan

ce dist

rict (1

45)

municipal

& county

courts

(165)

librar

y dist

ricts

(251)

senior c

enter

s (450)0

100200300400500

examples of special district governments

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Ohio ranks 7th nationally in raw numbers of local governments per state

rank state # of local gov'ts1Illinois 6,9682Pennsylvania 4,9053Texas 4,8564California 4,3505Kansas 3,8066Missouri 3,7527Ohio 3,7028Minnesota 3,6339New York 3,454

10Wisconsin 3,123

Source: Greater Ohio Policy Center, US Census of Governments, 2012

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and 8th nationally in local governments per square mile

Source: Greater Ohio Policy Center, US Census of Governments, 2012

rank stateSize of state in square mile

# of local govts govts/sq mi

1 New Jersey 8,214 1,344 0.1642 Delaware 2,396 338 0.1413 Illinois 57,914 6,968 0.120

4 Connecticut 5,543 644 0.116

5 Rhode Island 1,231 134 0.109

6 Pennsylvania 46,055 4,905 0.107

7 Massachusetts 9,240 852 0.0928 Ohio 44,825 3,702 0.0839 Vermont 9,614 728 0.07610 Indiana 36,418 2,694 0.074

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Source: Greater Ohio Policy Center, US Census of Governments, 2012

In 2012, we had 42.1 local governments per county compared to the national average of 29.4. 

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In Ohio, there are 410 municipalities with 1,000 or fewer residents

Number of Municipalities by Population

* 2012 estimates will be available in fall 2013Source: Greater Ohio Policy Center, Census of Governments; Government Organization, 2007

0-500

501-1,000

1,001-2,500

2,501-5,000

5,001-10,000

10,001-15,000

15,001-20,000

20,001-40,000

40,001-60,000

60,000-800,0000

50

100

150

200

250

300

252

158 165

110

61 5732

5713 12

number of municipalities by 2005 population*

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224 townships with 1,000 or fewer residents and 30 with more than 20,000 residents

Source: Greater Ohio Policy Center, Census of Governments; Government Organization, 2002

1-500

501-1,000

1,001-2,500

2,501-5,000

5,001-10,000

10,001-20,000

20,001-30,000

30,001-40,000

40,001-50,000

50,001-60,0000

100

200

300

400

500

600

48

176

511

290

176

7120 9 6 5

number of townships by 2006 population

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Responsibilities and powers of local governments vary

• Municipalities have home rule powers

• Townships are a “creature of statute” but can have limited home rule powers

• Counties are governed by general rules. Charter counties have home rule powers

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Observations on local government efforts to collaborate and become more efficient

State of Local Government in Ohio

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Successful collaborations and efforts to become more efficient often require a leader or steward.

Finding #1 from GOPC white papers

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Stewards often have the highest levels of capacity and resources to lead collaboration efforts. Examples include:

• Metropolitan Planning Organizations• Education Service Centers• County Engineers• County Executive or County Commissioners• Major cities

Stewarding collaboration and efficiency efforts

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Collaboration and efficiency efforts are often prompted by economic changes

Local governments have begun to “right-size” equipment and staff so resources are maximally utilized

Finding #2 from GOPC white papers

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Comparing local governments and measuring efficiency can be difficult

• Ohio has no set standard reporting instrument for a detailed breakdown of local government expenditures

• Local governments are assessing themselves and soliciting third party inventories to better understand their efficiency opportunities

Finding #3 from GOPC white papers

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1952 1962 1972 1982 1992 1997 20020

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1600

Numbers and Types of Local Government in Ohio

CountyMunicipalTownshipsSchool DistrictsSpecial Districts

Consolidations and mergers are not new for Ohio

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Results of intergovermental collaboration

• economies of scale

• improved local government accountability

• equalization of service quantity and quality

• coordinated economic competitiveness

• ability to retain local community character and flavor

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