Jan Dougherty — House Bill 225, Commerce and Labor Committee

Summary

Testimony on House Bill 225 addressed to Chair Johnson and members of the Commerce and Labor Committee, ending with the name Jan Dougherty. The testimony states that House Bill 225 does not eliminate choice and does not close day programs. It states that, according to 2023 data from the Ohio Department of Developmental Disabilities, 3,884 individuals still earn subminimum wage. It states that individuals with disabilities saw average wages rise by just $1.72/hour between 2019 and 2023, according to data reported by the Department of Developmental Disabilities. It refers to six interested party meetings involving Representative Jarrells.

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Chair Johnson, Vice Chair Learn and ranking members of the Commerce and Labor Committee. and members
of the Commerce and Labor Committee, thank you for another opportunity to testify. The reason I am back
today, I want to lay out the specifics of what we had reported in the bill.

Let me begin by addressing a common concern: House Bill 225 does not eliminate choice. It does not close day
programs. It does not force anyone into employment they do not want. It does not decide how and where they
spend their day. Most importantly, this bill does not condemn individuals to a lifetime of sitting on a couch in a
parent’s or group home, watching television. That myth has resurfaced time and again—most notably during the
rollout of Employment First—often fueled by fear and misinformation from some providers and families. But
those fears never came to pass. Let’s learn from that history and move forward with facts, not fear

In reality, this bill strengthens Ohio’s commitment to informed choice rather than weakening it.

Ohio’s developmental disabilities system is grounded in person-centered, informed choice, as required by:

   •   Ohio Administrative Code 5123-9-11, which ensures individuals have real opportunities to make
       choices about their services and supports, and
   •   Federal “Freedom of Choice” regulations for individuals residing in Intermediate Care Facilities.

According to 2023 data from the Ohio Department of Developmental Disabilities there are 3,884 individuals
still earn subminimum wage:

   •   3,289 people earned between            $0.00 and $4.00 per hour
   •   401 individuals earned between        $5.00 and $8.54 per hour
   •   226 individuals earned between        $8.81 and $9.29 per hour
   •   Only 45 people earned between         $9.31 and $10.08 per hour

You do not need a severe disability to earn less than $4.00/hour. Don’t let the numbers sway you
Some people say that eliminating subminimum wage will “leave people behind.” But for decades, many
continue to run programs that already do just that. Where is the concern when individuals are earning pennies
per hour? Based on 1099s, some CEO’s salaries are upwards to $200,000 a year—almost $100 an hour?

Direct Support Professionals—DSPs— who do the hard, essential work, are currently earning an average of
$17 an hour, based on budget testimony. Many thanks to Ohio’s advocacy and legislative investment.

But the individuals with disabilities who are also considered these employers, “employees”, saw their average
wages rise by just $1.72/hour between 2019 and 2023, according to data reported by the Department of
Developmental Disabilities.

That’s not a wage gap. That’s a wage canyon.

There are two very real questions often raised in this debate:
What happens to people with the most significant disabilities? And, is it fair to require an employer to
pay full minimum wage to someone who isn’t working at full productivity?

We’ve heard testimony suggesting that some individuals, due to the severity of their disabilities, simply cannot
meet typical productivity standards and therefore shouldn’t be paid minimum wage. Others have said that
raising wages across the board will force providers to shut their doors.
I simply do not accept either of these as truths.

Across the country, we’re seeing a different story unfold. Employment rates for people with disabilities are
rising. Former 14(c) participants are now earning at least minimum wage. And there are no widespread reports
of provider closures. Even here in Ohio, several organizations have already transitioned away from
subminimum wages—some with nothing more than a notification letter, others through a gradual, phased
approach. In every case, individuals were supported. No one was left behind. No one was relegated to a couch
in a parent’s or group home.

I’ve seen what’s truly possible. I’ve worked directly with individuals who have tracheostomies, feeding tubes,
complex medical, behavioral, and intellectual disabilities—people with highly significant support needs—who
have successfully secured jobs in the community.

So, the real question we must ask is this:
Do we continue to justify subminimum wages simply because of fear and change?

Because if we're honest, this isn’t just about fear—it’s also about money. Subminimum wage programs are often
tied to Medicaid funding streams, and for some, keeping people in sheltered work or paying them subminimum
wage is as much about protecting that revenue as it is about supporting individuals. Accepting fear and financial
self-preservation as the foundation of policy sets a dangerous precedent—one that reinforces low expectations
and underestimates the value and contributions of people with disabilities. We can—and must—do better.

Currently, approximately 10% of individuals with developmental disabilities have the most significant support
needs. Applying this estimate to Ohio's data, out of the 3,884 individuals earning subminimum wages, roughly
384 likely fall into this high-support category. These individuals already qualify for the highest levels of
Medicaid-funded support. The state’s investment in care is substantial. Depending on the county, daily
reimbursement rates range from $169.75 to $182.25, resulting in annual budgets per individual between
$44,153 and $47,385. Ohio is already making significant commitments to support its residents with disabilities.
Instead of creating a new system, efforts should focus on maximizing the efficiency of existing resources
outlined in the bills and the transition plan. House Bill 225 emphasizes targeted planning to effectively support
even those with the most significant disabilities.

Representative Jarrells has made concerted efforts to engage with providers in shaping this transition. He held
six interested party meetings, hosted one-on-one consultations, and directly asked for their input on what
support and timeline would make this legislation workable. In response, he received silence, vague objections,
and concrete suggestion... And yet, now that progress is on the table, we’re being told it’s moving too fast.

Thank you for your time and careful consideration to House Bill 225.

Jan Dougherty,


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