Trumbull County commissioners have raised the owner-occupied property tax credit from 2.5 percent to 5 percent, starting in 2027, using a power given to them recently by the state legislature. The move gives property taxpayers who live in homes they own a small tax break while reducing the property tax revenue of the county, cities, townships, villages, school districts, the Warren-Trumbull County Public Library and any other entity that receives property tax proceeds.
“This is somewhat monumental what we’re gonna do here,” Commissioner Denny Malloy said prior to the June 24 vote. “This is probably gonna draw more criticism and more praise than anything I’ve done in the last 3 ½ years sitting up here. What we are doing is giving back tax money to every homeowner in Trumbull County.”
Unlike with the traditional 2.5-percent owner-occupied tax credit that has been on the books for years, the state will not reimburse taxing entities for the lost tax money.
Property taxes have gone up “considerably” in recent years, Malloy said, thanks to what county Auditor Martha Yoder called a “crazy” real estate market. The commissioners’ action gives “some relief to the citizens” and signals that state officials have to do something about property taxes, he said.
Sure, the action hurts local taxing bodies, but it takes back “money we never should have had in the first place,” Malloy said. “We survived before these (property tax) increases, we’ll find a way to survive” with less tax money.
Commissioner Rick Hernandez said the commissioners chose not to increase the homestead exemption – another option given to them by state legislators – because it would hurt local taxing entities, particularly schools, too much.
“We’re giving it back to the people, the seniors, the folks that need it most,” he said of the higher owner-occupancy credit. “It’s the right thing to do.”
“This is the start of this board trying to help the taxpayers of Trumbull County,” said Commissioner Tony Bernard. “It’s not a lot, but it’s a start.”
Bernard called on the state to pause upcoming property reappraisals – they occur every six years – saying it would be unfair to give taxpayers a tax break only to come back and raise their taxes through reappraisals. Noting that the state gives counties 1 percent of the proceeds from the 6.75-percent state sales tax, Hernandez said the percentage given to counties should be increased.
Brookfield Local schools stands to lose about $48,000 a year, said Yoder and district Treasurer Jordan Weber.
In an emailed statement, Brookfield school Supt. Toby Gibson said he “respects” the commissioners’ decision and “recognizes that many residents are seeking relief from rising property tax bills. Ultimately, the challenges surrounding property taxes and school funding are not unique to Trumbull County and should require meaningful solutions at the state level.”
The school district “has been preparing for the possibility of property tax reductions through responsible financial planning,” Gibson said. “Over the past several months, we have carefully managed expenditures, prioritized needs over wants, pursued grant funding opportunities, and evaluated staffing levels through natural attrition resulting from retirements and resignations.
“These proactive measures have helped position the district to navigate financial challenges while continuing to provide high-quality educational opportunities for our students. We remain committed to being responsible stewards of taxpayer dollars and will continue to monitor the long-term impact of the exemption on school district finances.”
Weber added: “As a district we have been prudent with our funds, especially in the last 1½ years since the talk has picked up regarding reductions and changes to property tax, so we have been prepared for decreases such as this.”
Brookfield Township will lose about $16,300 a year, and Yankee Lake about $190, Yoder said. The library system will lose about $190,000. “I think we’ll be all right,” said library Executive Director Kimberly Garrett.
Yoder noted that the owner-occupancy credit has to be applied for. The one-page application is available at the auditor’s website, www.co.trumbull.oh.us/Auditor
To find out if you already receive the owner-occupancy tax credit, check your tax bill or your property’s entry on the auditor’s website.
