House bill providing property tax relief

FINDLAY — Property tax calculations for the 2026 second-half collection period are complete and balances are visible on the Hancock County Auditor's website after Ohio House Bill 186 went into effect earlier this year. Local representatives say the new bill is complicated and has taken a lot of research to fully understand how to implement. HB 186 became effective in late March and restructured parts of Ohio's property tax system. It was sponsored by Reps. James Hoops, R-81, and David Thomas, R-65. Second-half property taxes are normally due in the middle of July; however, because of recent changes, they are not due until Aug. 7. A December release from the Ohio House of Representatives said the bill curbs tax hikes and gives property tax relief to many Ohioans. The implementation of a new "Inflation Cap Credit" prevents increases in school district property taxes from exceeding the rate of inflation. According to the release, the bill is expected to save Ohio property owners nearly $1.7 billion over the next three years. Hancock County Auditor Charity Rauschenberg said that tax bills have not been lost in the mail and are expected to be mailed in the next two weeks. House Bill 186 caused a delay because over half of county residents saw an adjustment to their original tax bill. She also said the auditor's website is being updated to reflect the necessary changes, but balances shown are for the amount due for the collection period. "The first part that has us making changes is that there is a 20-mill floor," Rauschenberg said. "There was some consternation about how that formula has worked over decades. The formula created huge spikes in property taxes." After Hancock County's triennial update for tax year 2025, payable in 2026, many property tax payers saw their property taxes increase. Now that a new inflation cap credit can be applied, taxpayers will see the full credit on their second half property taxes, if applicable to the school district the property is in. A release from the county auditor's office said properties in eight Hancock County school districts will experience a reduction from the school's 20-mill guarantee. "The schools with a 20-mill floor are now capped at an inflationary percentage," the release states. Property in the Findlay City School District will not benefit from the HB 186 credit because the district is not at the 20-mill floor. Property owners in Hancock County Hardin-Northern and Riverdale school districts will see the largest reduction. The release also notes properties in other districts will see reductions of up to 0.7, depending on the millage. "House Bill 186 contains more changes to property taxes such as an increased homeowner occupancy credit," the release states. "The credit will be phased in starting with the tax year 2026 payable 2027. Also commencing next year is the reduction of the tax break for rental or investment properties in the category Class 1. Larger rentals and investment properties, Class II, have already experienced the loss of this non-business credit."