Why Sandusky parcels will not receive Ohio’s new Inflation Cap Credit

The July 29, 2026 deadline for Erie County’s second-half 2025 real-estate tax bills has passed. Sandusky property owners comparing their bills may notice that a new Ohio tax credit appears for some Erie County taxpayers but not for parcels in the Sandusky or Perkins school districts.

The difference comes from House Bill 186, which created the Inflation Cap Credit for eligible second-half 2025 property-tax bills. The credit is tied to Ohio’s 20-mill-floor rules. It does not apply simply because a property’s assessed value increased.

Sandusky and Perkins parcels are excluded

The Erie County Treasurer’s property-tax notice, last updated August 1, 2026, says the credit applies only in school districts where the 20-mill floor is triggered. The county lists Bellevue, Edison, Firelands, Huron, Monroeville, Vermilion and Western Reserve as districts where parcels may receive the credit.

The same notice says parcels in the Kelleys Island, Margaretta, Perkins and Sandusky school districts will not receive the Inflation Cap Credit.

That classification is separate from the City of Sandusky’s municipal boundaries and tax rates. A property can be located in the city while its school-district taxes are determined by the school district serving that parcel. The Erie County Auditor’s tax-rate record for tax year 2025 and collection year 2026 separately identifies City of Sandusky municipal rates and Perkins Local School District effective rates.

What the 20-mill floor means

Ohio property taxes begin with a parcel’s assessed value and the effective tax rates applied to it. The Erie County Treasurer explains that assessed value is generally 35% of appraised value, and one mill equals one dollar for each $1,000 of assessed value.

House Bill 920 generally uses reduction factors to lower the effective rate on outside millage when property values rise, helping prevent voted levies from producing automatic dollar-for-dollar increases. School districts at the statutory 20-mill floor are treated differently because their effective school-tax revenue cannot fall below that floor.

According to the Erie County Treasurer, House Bill 186 caps the growth of voted, or outside, millage in districts subject to the floor at the applicable three-year inflation rate between reappraisal or triennial-update cycles. Any amount above that limit is credited to eligible parcels.

In plain language, the credit is connected to how a school district’s effective millage interacts with the 20-mill floor. It is not a universal statewide rebate and is not based only on whether an individual home’s value went up.

Local tax records show several separate rates

The Erie County Auditor’s Sandusky tax-rate sheet for tax year 2025 and collection year 2026 lists City of Sandusky rates for the general fund, police pension, fire service and recreation. The same record separately shows effective rates associated with Perkins Local School District.

Those entries illustrate why a total bill cannot be determined from one city rate or one school-district label. A parcel’s final amount can reflect its assessed value, taxing districts, voted levies, reduction factors, exemptions, special assessments and other statutory calculations.

Why neighboring bills may differ

The Erie County Auditor said House Bill 186 did not change appraised property values. It changed certain tax calculations and credits. The Auditor also said credit amounts vary because each parcel has its own taxing districts and other parcel-specific information.

For Sandusky owners, the absence of the Inflation Cap Credit explains why the new line item may not appear on a bill. It does not mean every Sandusky property owner received the same increase or the same total tax bill.

Taxpayers who paid their second-half 2025 taxes before the credit was applied do not need to take action, according to the Auditor. Overpayments greater than $25 are to be refunded automatically; amounts under $25 are carried forward as a credit toward the first-half 2026 real-estate tax bill.

How to check an individual bill

Property owners can search the parcel-level records through the Erie County Auditor’s website and review the detailed tax information associated with their property. Questions about the bill or the Inflation Cap Credit can be directed to the Auditor’s office at (419) 627-7746. The Erie County Treasurer’s office can be reached at (419) 627-7701.

Sandusky’s exclusion from Erie County’s listed Inflation Cap Credit districts does not determine every owner’s total bill. It explains why the new credit line may be absent, while the final amount still depends on the individual parcel’s valuation, taxing districts, levies, exemptions and other required calculations.

Sources

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