School Funding in Other States

By Brian Massie, A Watchman on the Wall

Our initial thought on changes to our current. complex property tax system was to abolish property taxes for seniors, but we were told that Ohio legislators do not believe in “carve outs” for seniors.

Thanks to a Lake County lobbyist for sending us the following post found on the Nextdoor app.


A FEW PROPERTY TAX REPLACEMENT STRATEGIES FROM OTHER STATES THAT OHIO SHOULD EXPLORE Those who do not want to see a change in Ohio’s property tax scheme will try to put fear, uncertainty, and doubt into people being asked to support elimination or massive reform of Ohio’s property tax system.

Politicians, especially, want to stay as far away from this as possible because they know it’s a contentious topic and they may not be smart enough to understand all of its implications. ANYTHING CONTENTIOUS HAS THE POSSIBILITY OF DAMAGING THEIR CHANCES OF REELECTION. THEY ARE PRONE TO KEEPING THE STATUS QUO OVER MAKING ANY CHANGES.


LFC add: It is appropriate to play Commissioner, and former State Representative Ron Young’s video on what he has learned about government. It reinforces the statement that State legislators “are prone to keeping the status quo over making any changes”.

Citizens of the State of Ohio must rise up, and tell our elected officials at all levels that they will no longer be renters from the government.

SIGN THE PETITION TO ABOLISH OHIO PROPERTY TAXES.



The Lake County resident continues:

They might not be smart enough, but you are, and should not let them tell you how it’s going to be. Remember, your elected representatives work for you! FORCE THEM TO DO THEIR JOBS! YOU tell THEM how it’s going to be! Here’s how some other states handle school funding: 

Hawaii leads the way in eliminating property taxes to fund public education. Hawaii operates under a single statewide school district funded almost entirely from the state general fund. Revenue sources include the general excise tax (GET) and state income taxes, with virtually no local property tax support for schools. 

 Alternative Approaches in Other States Here’s how some other states reduce or shift their reliance on property taxes for school funding:

1. Vermont – While property taxes contribute to education, under “Act 60” about two-thirds of homeowners pay school taxes based on income instead of property value. The system allows income-based or property-based taxes, redistributing revenue across school districts to promote level funding.

2. Oregon – (via “Measure 5”, 1990) Implemented constitutional limits on school property tax. School funding shifted to the state general fund, largely sourced from income tax—Oregon has no sales tax.

3. Nebraska – (proposal stage) As of 2024–25, Governor Pillen proposed dramatically reducing or eliminating school property taxes, making up the difference by raising state-level sales taxes.

4. Texas – Prohibits a state-level property tax, so funding comes mainly from the state’s “Available School Fund”, which is funded through dedicated revenue streams: • Percentage of motor fuels taxes • Portions of business taxes • Net proceeds of the state lottery.

Please don’t tell me there aren’t better alternatives to what we have today.


LFC Add:

It is the State’s responsibility to fund public education, but they have pushed it on to the local property taxes/ The Ohio Supreme Court ruled the use of property taxes to fund schools was unconstitutional, but the legislators have done nothing to fix the broken system.

Ohio Constitution

Article VI, Section 2 | Schools funds

Effective: September 1, 1851

“The General Assembly shall make such provisions, by taxation, or otherwise, as, with the income arising from the school trust fund, will secure a thorough and efficient system of common schools throughout the state; but no religious or other sect, or sects, shall ever have any exclusive right to, or control of, any part of the school funds of this state.”

From Wikipedia:

DeRolph v. State is a landmark case in Ohio constitutional law in which the Supreme Court of Ohio ruled that the state’s method for funding public education was unconstitutional.

Historically, Ohio’s public schools have been funded with a combination of local property tax revenue and money from the state. This led to disparities in the quality of education in more affluent districts, where high property values led to greater funding, and urban and rural districts, where low property values left students with funding shortfalls and dilapidated facilities.


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Categories: Community Activism, Real Estate Taxes

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