Budget Commission Tables Geauga Public Health’s Budget for a Second Time,
Criticizes Possible Budget Commission Composition Change in Ohio House Budget Bill
Budget Commission Meeting – May 19, 2025
Meeting Details: The Geauga County Budget Commission met in Regular Session on Monday, May 19, 2025 at 10:00 am in the Auditor's Conference Room, 215 Main Street, Chardon, Ohio. The meeting was
in person with a virtual attendance option via MS Teams.
Meeting Attendance: Prosecutor Jim Flaiz, Auditor Chuck Walder, and Chief Deputy Treasurer
Caroline Mansfield (substituting for Treasurer Chris Hitchcock).
Staff Attendance: Assistant Prosecuting Attorney Kristen Rine (virtual), Chief Compliance Officer Kate Jacob (virtual), Deputy Auditors Tammy Most and Kristen Sinatra, and Chief Operations Officer Pam McMahan.
County Staff: Budget and Finance Manager Adrian Gorton (virtual).
Job and Family Services Representatives: Executive Director Craig Swenson and Financial Administrator
Alyssa Steinhoff.
Geauga Public Health Representatives: Administrator Adam Litke, Finance Director Michael Matas,
Director of Environmental Health Dan Lark, and Board Member Dr. Mark Hendrickson.
Members of the Public: This LWV Geauga Observer and one other person attended virtually.
The meeting was called to order at 10:02 am
Minutes: Minutes from the Special Meetings on both April 21, 2025 and April 22, 2025 were
approved. The minutes are posted here.
Reopening of the Tabled Geauga Public Health (GPH) 2026 Budget Hearing
Observer Note: The Geauga Public Health Budget Hearing was held on April 21, 2025. The GPH budget was tabled by the Budget Commission at that time and was reconsidered at this meeting. Please see the April 21, 2025 Budget Commission Observer Report for more information.
The Budget Commission unanimously voted to table the 2026 GPH budget for a second time. GPH’s revised submission included the following updated estimated 2026 resources, which were not certified:
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General Fund (#6002)
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Estimated 2026 beginning cash balance: $665,141.56
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Estimated 2026 revenue: $3,131,689
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Estimated 2026 expenses: $3,272,674
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Estimated 2026 ending cash balance: $524,156.56
Observer Note: Revised estimated 2026 numbers were not provided for any of GPH’s other funds, indicating that they did not change from those reported in the April 21, 2025 Budget Commission Observer Report.
Discussion highlights:
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Mr. Walder clarified that his staff created a document provided to the Budget Commissioners comparing GPH’s previously submitted budget numbers and the updated numbers. The difference was that agency-wide transfer numbers were corrected, as those numbers were inflated in the original submission. Mr. Walder explained that transfers between funds should not be reported when agency-wide numbers are presented because in that case transfers in and transfers out “neutralize each other.” He expounded that transfers should be reported when numbers are reported on a by-fund basis, such as for the Certificate of Estimated Resources.
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Mr. Walder observed that the transfer revenue had been moved to the “other” category in the current (May 19) version of GPH’s Certificate of Estimated Resources, and he questioned why this was done. Mr. Litke said that transfers were removed from the HDAC (Health District Advisory Council) PowerPoint presentation on agency-wide numbers as requested by the Budget Commission, but he said that no changes were made to the fund-based revenue numbers for the Certificate of Estimated Resources. After some confusion about what had happened, it was determined that the Auditor's staff had pulled the revenue numbers from the wrong sheet in GPH’s Excel file, causing the discrepancy. Mr. Walder said that they would fix it.
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Mr. Litke said that GPH would be looking into transferring money into the newly created Operations and Maintenance (O&M) fund. Observer Note: The Budget Commissioners suggested creating this fund at the April 21, 2025 Budget Commission Meeting. He indicated that the GPH Board may use this fund to help customers below a certain (unspecified) income threshold to pay fees associated with the O&M program. Mr. Litke also said that GPH is planning to reduce other fees. Mr. Flaiz questioned this, pointing out that the Geauga citizens pay for a health levy and asking “why would the users pay less money and put the burden on all of our taxpayers, many of whom maybe aren't even using some of these services?” Mr. Litke responded that fees usually pay for mandated but non-funded programs from the state and that only a certain amount of those fees can go to administrative costs by law.
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Discussion turned to the contract establishing the combined health district between the County and Chardon. Mr. Walder thanked Mr. Litke for providing him with a copy of the contract so that he could determine what it requires from him, and he specified that the agreement was signed in 2002 by the President of HDAC, the Chardon City Manager, and the County Health Commissioner. He said that the contract was tied to ORC (Ohio Revised Code) 3709.28, and in paragraph F ORC 3709.28 states that “the chief executive of the city shall, annually, on or before the first day of June, certify to the county auditor the total amount due for the ensuing fiscal year from the municipal corporations and townships in the district as provided in the contract between such city and the district advisory council of the original general health district. After approval by the county budget commission, the county auditor shall thereupon apportion the amount certified to the townships and municipal corporations, and shall withhold the sums apportioned as provided in this section.” Mr. Walder said that this means that the City of Chardon must certify to him the amount due from municipal corporations and townships by June 1, even if that amount is $0, and he noted that the City of Chardon has never done this. Mr. Litke said he had emailed Chardon Mayor Chris Grau to let him know that the city will be required to do this going forward.
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Mr. Walder went on to note that the combined health district agreement states that “the budget for the operation of the combined health district shall be estimated by the combined Board of Health and fixed by the Budget Commission, and the necessary funds to meet the budget shall be apportioned by the county auditor.” He explained that he apportions based on the taxable valuations of each municipality in the combined health district, which he said includes “proceeds from any voted and unvoted levies which the city or board of health may be empowered to levy.” He specified that unvoted levies refer to inside millage, which the City of Chardon receives. Mr. Walder said he needs Chardon to weigh in on where he should pull money for the combined health district from (i.e., should Chardon’s inside millage be part of the apportionment?). This can be achieved by Chardon following the contract and ORC 3709.28 as described above in the previous bullet point. Mr. Flaiz and Mr. Walder agreed that the Budget Commission cannot certify GPH’s revenue until Chardon’s certificate is received in order to comply with ORC 3709.28.
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Mr. Litke asked for clarification about what he needs to do regarding getting Chardon’s certification to the Auditor. Mr. Flaiz said it is the chief executive of the city who is charged with doing the certification, but no one was sure if the chief executive is the Mayor or the City Manager. Mr. Walder suggested that Chardon’s Solicitor could determine who the chief executive is. Mr. Litke said he would work to get that figured out and get the certification process started that day to be sure they make the June 1 deadline. Mr. Walder said in the meantime his staff will fix the problem with the revenue certificate described above.
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Mr. Walder pointed out that under the contract “the district shall be known as Geauga County Combined Health District,” which is not the name that they are currently operating under. Mr. Litke said that the district rebranded under the name Geauga Public Health some time ago and he would have to refer to his legal counsel about the matter, noting that Mr. Flaiz is GPH’s legal counsel. Mr. Walder said he just wants to make sure that they are following all the contractual language and requirements of law.
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The Budget Commission unanimously voted to table the GPH budget until the revenue certification from the City of Chardon is received.
Reopening of the Tabled 2026 Job and Family Services (JFS) Budget Review
Observer Note: The Geauga Job and Family Services Budget Review was first held on April 7, 2025. It was tabled by the Budget Commission at that time and was reconsidered at the April 21, 2025 meeting, when it was tabled again. The JFS budget was considered for a third time at this meeting. Please see the April 7, 2025 Budget Commission Observer Report and the April 21, 2025 Budget Commission Observer Report for more information.
The Budget Commission unanimously voted to approve the 2026 JFS budget. JFS’s submission included the following estimated 2026 levied resources, which were certified:
Discussion highlights:
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Ms. Sinatra stated that the estimated revenue in Fund 2029 had been updated to reflect the voters approving the renewal of JFS’s levy on the May 6, 2025 ballot.
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Mr. Walder said that JFS has high cash balances, but he noted that JFS plans to draw down its cash balances over the next few years. Mr. Swenson agreed that there has been “a significant build up of cash” but they are putting much of it towards the new youth center construction project. He also noted that there is a great deal of uncertainty around the amount of state and federal funding that JFS will be receiving in the future. Mr. Walder said he couldn’t speak to that because it is indeed uncertain. He added that “there is an initiative that is underway that could change everyone's world, and that is, if this petition to eliminate all property tax happens, the whole game is different.” Observer Note: More information on the proposal to amend the Ohio Constitution to eliminate property taxes is available here. Mr. Walder noted that JFS is funded through levies (which are property taxes) and grants. Mr. Walder indicated that the potential elimination of property taxes has made him more tolerant of high cash carryovers due to the financial uncertainty created by this situation.
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Mr. Flaiz stressed that JFS needs to get the youth center built. He said he knows how much work they have put into getting that done, but if it doesn’t happen, even due to circumstances beyond JFS’s control, “we’re probably gonna whack you for like, $5 million.” Mr. Swenson said that the youth center is “... my baby, it's my dream, and it's going to happen.”
After the Geauga Public Health Budget Hearing and the Job and Family Services Budget Review, the Budget Commission conducted Regular Business as detailed below.
The following Revenue Certifications were approved:
Reviewer Note: An explanation of the different types of funds in revenue certifications can be found
here.
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Chardon Local School District - Amendment #5. $62,665,685.61 in the general fund, $6,828,333.55 in special revenue funds, $446,668.68 in debt service funds, $4,232,397.76 in capital project funds, $9,915,413.30 in internal service funds, and $174,703.73 in fiduciary funds for a total of $84,263,202.63.
Chardon Schools’ amendment certified increases in special revenue funds, capital project funds,
and internal service funds.
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Kenston Local School District - Amendment #2. $49,510,195.75 in the general fund, $2,190,575.75 in special revenue funds, $5,193,531.30 in debt service funds, $2,460,125.24 in capital project funds, $2,077,756.34 in enterprise funds, $10,077,334.71 in internal service funds, and $91,731.84 in fiduciary funds for a total of $71,601,250.93.
Kenston’s amendment certified increases in special revenue funds, capital project funds, debt service funds, enterprise funds, internal service funds, and fiduciary funds.
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Berkshire Local Schools - Amendment #7. $25,551,150.21 in the general fund, $4,602,327.73 in special revenue funds, $1,613,391.28 in debt service funds, $2,564,421.46 in capital project funds, $882,819.29 in enterprise funds, $665,235.02 in internal service funds, and $191,173.66 in fiduciary funds for a total of $36,070,518.65.
Berkshire’s amendment reflected increases in the general fund, special revenue funds, capital project funds, and internal service funds.
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Newbury Township - Amendment #4. $1,788,324.97 in the general fund, $4,093,745.92 in special revenue funds, $965,588.24 in debt service funds, $511,344.33 in capital project funds, and $793.32 in special assessment funds for a total of $7,359,796.78.
Newbury’s amendment reflected an increase in the general fund.
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Munson Township - Amendment #2. $1,829,832.32 in the general fund, $4,644,156.60 in special revenue funds, $300,000.00 in capital project funds, and $2,100.00 in special assessment funds for a total of $6,776,088.92.
Munson’s amendment reflects a special revenue fund increase in the scholarship fund and a
capital project funds increase in the public works fund.
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Russell Township - Amendment #4. $2,662,634.17 in the general fund, $9,818,466.94 in special revenue funds, $16,666.66 in debt service funds, and $2,563,511.28 in capital project funds for a total of $15,061,279.05.
Russell’s amendment certified the re-establishment of a general fund reserve account.
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Hambden Township - Amendment #2. $1,271,443.51 in the general fund, $3,176,686.42 in special revenue funds, and $571,652.40 in capital project funds for a total of $5,019,782.33.
Hambden’s amendment established a new capital projects fund called facility enhancement reserve.
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Montville Township - Amendment #3. $381,083.15 in the general fund, $1,551,737.73 in special revenue funds, $1,745,000.00 in capital project funds, and $215.48 in fiduciary funds for a total of $3,678,036.36.
Montville’s amendment certified an increase in capital projects funds for the road department
reserve fund.
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Geauga Park District - Amendment #3. $11,359,142.22 in the general fund and $3,632,355.98 in capital project funds for a total of $14,991,498.20.
Geauga Park District’s amendment reflected a capital project fund increase of $1,800,000 in the land improvement fund.
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Geauga County - Amendment #7. $69,339,402.59 in the general fund, $126,141,341.50 in special revenue funds, $5,172,649.58 in debt service funds, $1,143,702.06 in special assessment funds, $30,295,528.76 in capital project funds, $52,169,898.85 in enterprise funds, $1,739,600.37 in internal service funds, and $4,706,706.85 in fiduciary funds for a total of $290,708,830.56.
Geauga County’s amendment reflected an increase in special revenue funds.
Discussion:
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2026 Budget Hearing Scheduling: The Budget Commissioners confirmed that they will utilize block scheduling for the 2026 Budget Hearings, meaning that groups of entities will be given the same start time. Mr. Flaiz observed that this reduces the downtime during the Budget Hearings. Observer Note: The 2026 Budget Hearings are scheduled for August 18 and 19, 2025. The order of appearance for the entities has not been announced yet.
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Property Tax Elimination Proposal: Mr. Walder expressed the opinion that entities that have established reserve funds are “going to buy themselves time” should the ballot initiative to amend the state constitution to eliminate property taxes come to fruition. Mr. Flaiz wondered what the Legislature would do if property taxes were eliminated, and he hypothesized that they might lift the cap on sales tax, though they would have to figure out how to divide up that revenue.
Public Comment:
This Observer asked the Budget Commissioners about their thoughts regarding the proposed change to the composition of the Budget Commission in the version of the State budget passed by the House. If this change is included in the final version of the budget, the County Prosecutor would be removed from the Budget Commission and the President of the Board of County Commissioners would take their place.
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Mr. Flaiz said that he has heard that the Senate will take this change out of the budget. He said that it is a good idea to have a lawyer on the Budget Commission to provide the legal perspective to go along with the fiscal perspective of the Treasurer and the Auditor. Mr. Flaiz stated that there are numerous Ohio Attorney General opinions indicating that there are “... inherent conflicts of people serving as two positions, from a compatibility standpoint, that compete for tax dollars.” He went on to say “... you're telling me a County Commissioner, who can levy and collect taxes, property taxes, is going to sit on a board and be able to reduce his competition, be able to … keep (school) levies off the ballot. Okay, so you get to kneecap your competition there, because you're competing for a pool of tax dollars. You keep property taxes off for school districts, and then you can reduce property taxes for all these townships. I mean, if you look at the compatibility opinions and some of the court opinions, I think, under the current state of the law, and I don't know how this would change, the County Commissioner on the Budget Commission would be virtually unable to discharge any of their duties, and would be unable to participate in the review of any political subdivision budget except the county budgets.” Mr. Flaiz pointed out that the current members of the Budget Commission (Auditor, Prosecutor, and Treasurer) do not levy taxes. He concluded by saying “...every person in the House of Representatives that voted for this lacks a basic understanding of how government works, how taxes work, and how local government works, and it's an embarrassment.”
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Mr. Walder noted that the Budget Commission composition change was added to the budget bill at the eleventh hour and therefore did not go through the usual vetting process. Mr. Flaiz said that last minute changes to bills are usually due to “one, favors for their buddies, or, two, direct lobbyist intervention where they want to skirt public scrutiny.” He said he thinks this was the former. Mr. Walder agreed that it was done “... for political reasons. It isn't trying to fix a problem; it is creating a new one.”
The meeting was adjourned at 11:24 am.
Next Meeting: The next regular meeting is on June 2, 2025 at 10:00 am in the Auditor’s Conference Room, 215 Main Street, Chardon, Ohio. Virtual attendance for all Budget Commission meetings is available via Microsoft Teams by emailing an invitation request to Ms. McMahan at pmcmahan@gcauditor.com.
Observer: Sarah McGlone
Editor: Carol Benton
Reviewer: Gail Roussey
Submitted: May 23, 2025
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