Week in Review: Oct. 6, 2024

AMERICA 250-OHIO

The America250-Ohio Commission announced Thursday its next major initiative for observing the 250th anniversary of the United States' founding and Ohio's place in that historical event, revealing plans to host picnics throughout July 2026 and facilitate Ohioans' planning of their own celebration picnics. Ohio's Homecoming & Picnic, the official name for the event, will help to ensure every part of Ohio can participate in celebrations and observances of the semiquincentennial, said Megan Wood, executive director and CEO for the Ohio History Connection (OHC) and project lead for the latest initiative.

ARTS, SPORTS AND ENTERTAINMENT

Ohio was recently named the 15th "most fun" state in the U.S. by personal finance website WalletHub, putting it second among neighbors behind Pennsylvania which was 13th. Michigan was 22nd, followed by Indiana, 40th; Kentucky, 42nd; and West Virginia, 50th. The top five states were Florida, California, Nevada, New York and Colorado. The five lowest states were Arkansas, Rhode Island, Delaware, Mississippi and West Virginia. WalletHub also listed two subrankings as part of the report, with Ohio 16th nationally and second among neighbors for nightlife and 17th nationally and first among neighbors in entertainment and recreation.

FY24-25 BUDGET

The Federal Reserve for the first time in four years cut the interest rate by 0.5 percentage points last month, which could not only stimulate the broader economy but also affect state budgets going forward, including Ohio's. Office of Budget and Management (OBM) Director Kim Murnieks, in an interview with Hannah News, said the rate cut will have an effect on Ohio's state budget in two major ways. On the plus side, the interest rates it pays on its bonds will be less, but on the negative, the interest that the state earns on its funds in the state treasury will be less. "The state really did manage through the recent high-interest rate environment fairly well, and as a result, achieved very positive returns for taxpayers," Murnieks said. She pointed to moves such as the DeWine administration’s working with state lawmakers to use cash instead of bonds in the capital budget as state revenues came in higher than projected. That helped save taxpayers $1.3 billion in interest costs, she said.

BUSINESS/CORPORATE

Illinois-based auto parts maker Navistar, which has an assembly plant in Springfield, recently announced it has changed its name to International Motors, LLC effective Oct. 1. The change is part of a rebranding effort to make the company a "solutions provider," the company said. "The return to International is an acknowledgement of our rich heritage as much as it is an investment in our promising future," said International President and CEO Mathias Carlbaum. The company is a successor to International Harvester.

ECONOMY

Ohio's minimum wage will increase from $10.45 to $10.70 for non-tipped employees and from $5.25 to $5.35 for tipped employees in the new year, the Ohio Department of Commerce said Monday. Under a constitutional amendment passed by Ohio voters in 2006, the minimum wage increases annually in line with growth in the Consumer Price Index for urban wage earners (CPI-W), which increased by 2.4 percent from September 2023 through August 2024. Employees at smaller companies, those with gross receipts of $394,000 or less per year starting in January, will still be paid at the federal minimum wage of $7.25, as will 14- and 15-year-old workers. The threshold for gross receipts increases yearly in line with inflation.

WORKERS’ COMPENSATION

The Ohio Bureau of Workers' Compensation (BWC) Board of Directors on Friday approved the transition of its Western Management Asset Company (WAMCO) assets to three of BWC's current long credit managers -- PIMCO, PGIM and Conning. The action follows a recommendation from investment consultant Meketa. The BWC Board held a special meeting earlier in September to terminate its contract with WAMCO because that company is now under investigation by the U.S. Securities and Exchange Commission (SEC). In other action, the board approved changes to its hospital inpatient reimbursement rule for 2025, which is expected to result in an increase of 5 percent over estimated 2024 payments.

WORKFORCE

Lt. Gov. Jon Husted, director of the Governor's Office of Workforce Transformation, Tuesday announced the fifth round of the Industry Sector Partnership (ISP) Grant opportunity. The program funds partnerships that help prepare Ohioans for the workforce while meeting the needs of job creators and local economies. Tuesday, a new application period opened with $5 million available for new and existing industry sector partnerships. ISPs can be located in any region of Ohio, as long as the focus is on an in-demand sector, such as manufacturing or technology. The application period for the fifth round began Oct. 1 and closes Thursday, Oct. 31 at 3 p.m. To apply and learn more about the Industry Sector Partnership Grant, visit Workforce.Ohio.gov/ISP.