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Kasich Appoints Humphries to Ohio Board of Regents
BOARDMAN, Ohio -- Gov. John Kasich seized the perfect opportunity before a packed house at the Youngstown/Warren Regional Chamber's annual meeting Thursday to announce that he's appointed the organization's president, Tom Humphries, to the Ohio Board of Regents.
"I was hoping that I was going to be able to come here today and say that Tom Humphries was going to be our next Pope," Kasich said to laughter. "Somehow, they just didn't get it. But I want to announce for the first time we're putting Tom Humphries on the Board of Regents of the state of Ohio."
Humphries has been a strong supporter of the Republican governor, and backed him in his 2010 race against incumbent Gov. Ted Strickland, a Democrat. Humphries has also supported measures such as S.B. 5, a Kasich-sponsored effort to curtail the collective bargaining rights of state workers, and he's led efforts to improve the performance of Mahoning Valley schools in state education performance tests.
The Board of Regents is a nine-member advisory group to the board's chancellor, and presents an annual report on the condition of higher education in Ohio.
Kasich was the guest speaker at the chamber's annual meeting at Mr. Anthony's Banquet Center. This year the chamber honored four business, political and community leaders. Sam Covelli, owner of Covelli Enterprises, Warren, received the William G. Lyden Spirit of the Valley Award, David Hughes, president of Specialty Fab Inc. in North Lima, was honored with the Donald Cagigas Spirit of the Chamber Award, and Youngstown Mayor Chuck Sammarone was presented with the Chairman's Political Achievement Award.
Former chamber board chairwoman Bonnie Burdman was also awarded honors for her service to the chamber.
Kasich told the audience that the Mahoning Valley today exhibits a sense of optimism and spirit that he hasn't witnessed in a long time, largely because of a host of projects related to the shale industry.
Still, the governor emphasized that the community or state shouldn't view the oil and gas potential of the Utica shale as a cure-all for the local economy. Instead, he praised the region's ability to encourage a more diversified manufacturing, service and entrepreneurial base.
"When I came into office, we were dying like a leaf on a tree," Kasich said of Ohio's economy, noting that the state was $8 billion in debt, had lost 400,000 jobs, credit was on the decline and there was a mere 89 cents in its rainy day fund.
"Two years later, we're up well over 100,000 jobs, our credit is stable, our budget is balanced and we have $2 billion of surplus in the state of Ohio," Kasich said. "It creates a buzz."
Kasich touched upon initiatives such as his decision to cut income taxes for small business, elimination of the "death tax," expansion of the state's Medicaid program, his plan to issue bonds backed by tolls on the Ohio Turnpike, and strides to improve education across the state.
The turnpike plan, which was included in the state transportation bill and approved by the Ohio House of Representatives shortly after Kasich's talk, would provide $1.5 billion in funding over the next two years toward maintenance and upkeep of the highway.
"Do you know what the payoff is?" Kasich asked rhetorically. "A minimum of 65,000 jobs that will be created through construction."
Kasich then explained efforts to reform K-12 education such as holding back those who are having trouble reading by the third grade, teacher evaluations, learning assessments, and a new paradigm for school funding.
The plan drew criticism from Specialty Fab's Hughes, who told Kasich during the program that his ideas are "driving a wedge" within the teaching community.
"People should not look at discipline in the schools as anti-education," Kasich responded. "It's pro-child."
In a prepared statement released after the event, Mahoning County Democratic Party Chairman David Betras said it is ironic that the governor should address the local chamber, when the state's chamber of commerce has criticized Kasich's tax plan.
"After the state chamber came out against the governor's plan to implement the largest middle-class tax increase in Ohio's history, it's awkward for Kasich to speak today at the branch in the Valley," Betras said.
"The truth is Ohio's working class stands to lose with Kasich's plan to raise middle-class taxes in order to pay for a handout to his cronies and the wealthiest among us," Betras said.
Following his speech, Kasich told reporters he is still looking to raise the severance tax on oil and gas extracted from the Utica shale, an initiative that met with stiff resistance last year from the industry when it was first proposed.
"We want to make sure all of Ohio benefits," Kasich said. He noted that out-of-state oil companies are paying on average 20 cents on a barrel of oil, and his administration would like to see the tax raised to 4%.
The governor noted that even under the increased rate, Ohio would still have the lowest oil and gas industry tax in the country.
"We would use it to reduce income taxes across the state," Kasich said. "We don't have any plans to change that strategy."
Copyright 2013 The Business Journal, Youngstown, Ohio.
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