Sen. Louis "Bill" Blessing, R-Colerain Township, is trying to rewrite how Ohio communities raise money for basic services, without blowing up the entire property tax system. He has proposed a constitutional amendment that would let local governments tax the value of land itself, not the buildings on it, as an alternative to calls to scrap property taxes outright. Blessing argues the approach could spur development, broaden local tax bases and ease some homeowners' bills, while still leaving it up to each community to decide whether to opt in.
Senate Joint Resolution 7 would amend Article XII of the Ohio Constitution to authorize land value taxes. As introduced, it would need a supermajority in both chambers before going to voters, according to the Ohio Legislature. The measure would not force any city, township or county to adopt a land tax. Instead, it would add a new taxing authority that locally elected boards could choose to use.
How a land-only tax would work
Blessing and his allies say the idea is simple: tax the dirt, not what is built on it. A land value tax targets only the underlying parcel and leaves improvements untaxed, which supporters say removes a built-in penalty for construction and redevelopment. In a statement, Blessing said, "A land value tax only applies to the underlying land and not anything built or added onto it," according to the Ohio Senate. He also told lawmakers he wants taxing authorities to be able to impose such levies by a simple majority of elected board members rather than sending every increase to the ballot.
State budget officials pump the brakes
State budget analysts say the details of any replacement matter a lot. An Ohio Office of Budget and Management memo to Gov. Mike DeWine estimates local property taxes bring in about $24 billion a year and warns that wiping them out with nothing comparable in place would force big tax hikes elsewhere. OBM's analysis found that replacing that revenue could require a state sales tax in the neighborhood of 15 to 18 percent or an income tax in the low double digits, and cautioned that such shifts could risk "defund"ing core local services, according to the Ohio Office of Budget and Management.
Local officials split on Blessing's gamble
Testimony in committee hearings and early coverage suggest the idea is far from a slam dunk. Rob Moore, an economist who helped Blessing craft the proposal, described land taxes as "more efficient" and "more equitable." Howard Fleeter, a school-finance specialist, said the concept deserves serious study but urged that any shift include protections to maintain minimum school funding, according to reporting by the Ohio Capital Journal.
Warren County Auditor Matt Nolan, who serves on Gov. DeWine's property-tax working group, called Blessing's plan "a very long shot" and warned that the agricultural lobby could be the first major obstacle. "Any time you challenge the Farm Bureau - I’ve been told repeatedly, and I’ve experienced repeatedly - you lose," Nolan told the Ohio Capital Journal. The Ohio Farm Bureau, for its part, said it is still reviewing how such a shift might affect farmland.
What comes next at the Statehouse
SJR 7 was introduced in the Senate in 2025 and has been sent to the Senate General Government Committee. If it moves, the resolution will need broad support and additional hearings before it can be placed on the statewide ballot for voters to decide, according to the Ohio Legislature. For now, the measure sets the ground rules for a policy fight that will intersect with activist campaigns this year to eliminate some or all property taxes across Ohio.
Why the land tax fight matters
At stake is whether Ohioans prefer a system that taxes land value in order to nudge more housing and commercial development, or political quick fixes that could blow a hole in local budgets. Expect the OBM memo, along with concerns about school funding, emergency services and the future of farmland, to dominate the debate if lawmakers push the land-only tax idea forward and voters are ultimately asked to make the call.
