Bill would incentivize college grads to stay in Ohio
Many college students graduating from Ohio’s top universities and colleges aren’t staying. Lawmakers want to change that with income tax breaks and scholarships.
The problem is clear. Depending on the university, between 10% and 40% of graduates are leaving the state to pursue jobs and lives elsewhere. They are taking their skills and incomes out of the state.
And in the coming years, Ohio’s high school graduate population is excepted to shrink by 11%. If Ohio doesn’t retain more of its current college population and attract new students, the state’s population and income base will dwindle.
State Rep. Jon Cross, R-kenton, offered several solutions in a bill introduced Monday.
First, graduates who work in Ohio could forgo income taxes for three years. It’s not yet clear how much that would cost the state, but Cross and university presidents say it’s worth the cost to retain talent.
“I’m sure it’ll be big,” said Cross, Rkenton, of the lost income tax revenue. “I bet you we’re losing a lot of money right now that outweighs how much “The challenge is to retain them. Often we educate these bright minds and they leave our state because there are opportunities that they see as advantageous at that stage of their career.”
Neville Pinto
University of Cincinnati president
money we would offer.”
Increasing the number of Ohioans with a college education could create $500 million in annual revenue and reduce the use of social service programs, Ohio State University President Kristina Johnson said. “This is an important and catalytic legislation.”
Another proposal would offer $25,000 to 100 out-of-state students seeking degrees in science, technology, engineering and mathematics if they are in the top 5% of their class. The money would be a forgivable loan if they remain in Ohio after graduation.
Another idea would help Ohio employers earn a refundable credit of 30% of paid wages for students’ internships, apprenticeships and co-ops. That provides businesses an incentive to train future talent who might remain in the state.
The bill would also expand Ohio College Opportunity Grant money for students with associate degrees seeking four-year degrees.
Cross announced the bill Monday morning in a news conference flanked by several Ohio university presidents. University of Cincinnati President Neville Pinto said he’d match the talent of Ohio’s college students against any in the nation.
“The challenge is to retain them,” he said. “Often we educate these bright minds and they leave our state because there are opportunities that they see as advantageous at that stage of their career.”
Ohio isn’t the only state offering incentives to keep college students. Oklahoma has offered tax credits to certain students. Kansas repays students loans for those who move to rural areas.
“I’ve been in higher education for over 30 years working in six states including California and Kansas,” University of Akron President Gary Miller said. “I don’t know if I’ve seen legislation quite this directly innovative toward higher education.”
Some college graduates say they are leaving Ohio, not because of the lack of jobs, but because of GOP policies passed by lawmakers such as Cross. The Ohio Chamber of Commerce has pitched LGBTQ protections, which have not passed, as a job and business retention issue.
The state has done little to address gun control, has passed multiple abortion restrictions and has no statewide protections for LGBTQ Ohioans.
But Cross said state lawmakers from Texas to California are making decisions on partisan issues that could affect their state’s reputation in the eyes of college students.
“I can tell you both of those legislatures are battling over very tough partisan issues as well. It’s everywhere.”
Jessie Balmert is a reporter for the USA TODAY Network Ohio Bureau, which serves the Akron Beacon Journal, Cincinnati Enquirer, Columbus Dispatch and 18 other organizations.