As Passed by the House                        1            

122nd General Assembly                                             4            

   Regular Session                        Am. Sub. H. B. No. 621   5            

      1997-1998                                                    6            


 REPRESENTATIVES HAINES-HODGES-REID-SULZER-GARDNER-LOGAN-WESTON-   8            

     VESPER-TAVARES-JONES-CATES-PADGETT-HARRIS-TERWILLEGER-        9            

     KREBS-GRENDELL-HOOD-HOUSEHOLDER-CAREY-METELSKY-BENDER-        10           

      WILLAMOWSKI-OGG-WILSON-CORE-OPFER-BUCHY-DAMSCHRODER-         11           

     ALLEN-PATTON-VERICH-SALERNO-JOLIVETTE-BRITTON-BRADING-        12           

           KRUPINSKI-O'BRIEN-WINKLER-ROBERTS-WACHTMANN             13           


                                                                   15           

                           A   B I L L                                          

             To amend sections 122.011, 122.23, 122.24, 122.25,    17           

                122.27, 166.03, and 901.63 and to enact sections   19           

                166.031 and 901.80 to 901.83 of the  Revised Code  20           

                and to amend Sections 47 and 47.15 of Am. Sub.     21           

                H.B. 215 of the 122nd General Assembly and         22           

                Section 3 of Am. Sub. H.B. 440 of the  121st       23           

                General Assembly to create the Family Farm Loan    24           

                Program in the Department of Agriculture and to    25           

                create the Family Farm Loan Fund in the            26           

                Department of Development to promote agricultural  27           

                development, to make changes to the  Rural         28           

                Industrial Park Loan Program, to terminate the     29           

                provisions of this act establishing the Family     30           

                Farm Loan Program and  creating the Family Farm    31           

                Loan Fund on June 30, 1999, by repealing sections  32           

                166.031, 901.80, 901.81, 901.82, and 901.83 of     33           

                the Revised Code on that date, to extend the date  35           

                on which the Rural Industrial Park Loan  Program   36           

                terminates from January 1, 1999 to June 30, 1999,  37           

                by repealing sections 122.23, 122.24, 122.25,      38           

                122.26, and 122.27 of the Revised Code on June     39           

                30, 1999, and to make an appropriation.            40           

                                                          2      

                                                                 
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        42           

      Section 1.  That sections 122.011, 122.23, 122.24, 122.25,   44           

122.27, 166.03, and 901.63 be amended and sections 166.031,        46           

901.80, 901.81, 901.82, and 901.83 of the Revised Code be enacted  48           

to read as follows:                                                             

      Sec. 122.011.  (A)  The department of development shall      57           

develop and promote plans and programs designed to assure that     58           

state resources are efficiently used, economic growth is properly  59           

balanced, community growth is developed in an orderly manner, and  60           

local governments are coordinated with each other and the state,   61           

and for such purposes may do all of the following:                 62           

      (1)  Serve as a clearinghouse for information, data, and     64           

other materials that may be helpful or necessary to persons or     65           

local governments, as provided in section 122.07 of the Revised    66           

Code;                                                              67           

      (2)  Prepare and activate plans for the retention,           69           

development, expansion, and use of the resources and commerce of   70           

the state, as provided in section 122.04 of the Revised Code;      71           

      (3)  Assist and cooperate with federal, state, and local     73           

governments and agencies of federal, state, and local governments  75           

in the coordination of programs to carry out the functions and                  

duties of the department;                                          76           

      (4)  Encourage and foster research and development           78           

activities, conduct studies related to the solution of community   79           

problems, and develop recommendations for administrative or        80           

legislative actions as provided in section 122.03 of the Revised   81           

Code;                                                              82           

      (5)  Serve as the economic and community development         84           

planning agency, which shall prepare and recommend plans and       85           

programs for the orderly growth and development of this state and  86           

which shall provide planning assistance, as provided in section    87           

122.06 of the Revised Code;                                        88           

      (6)  Cooperate with and provide technical assistance to      90           

state departments, political subdivisions, regional and local      91           

                                                          3      

                                                                 
planning commissions, tourist associations, councils of            92           

government, community development groups, community action         93           

agencies and other appropriate organizations for carrying out the  94           

functions and duties of the department or for the solution of      95           

community problems.                                                96           

      (7)  Coordinate the activities of state agencies that have   98           

an impact on carrying out the functions and duties of the          99           

department;                                                        100          

      (8)  Encourage and assist the efforts of and cooperate with  102          

local governments to develop mutual and cooperative solutions to   103          

their common problems that relate to carrying out the purposes of  104          

this section;                                                      105          

      (9)  Study existing structure, operations, financing of      107          

regional or local government and those state activities that       108          

involve significant relations with regional or local governmental  109          

units, recommend to the governor and to the general assembly such  110          

changes in these provisions and activities as will improve the     111          

operations of regional or local government, and conduct other      112          

studies of legal provisions that affect problems related to        113          

carrying out the purposes of this section;                         114          

      (10)  Appoint, with the approval of the governor, technical  117          

and other advisory councils as it considers appropriate, as        118          

provided in section 122.09 of the Revised Code;                                 

      (11)  Create and operate a division of community             120          

development to develop and administer programs and activities      121          

that are authorized by federal statute or the Revised Code;        122          

      (12)  UNTIL JUNE 30, 1999, REVIEW, ANALYZE, AND SUMMARIZE    125          

APPLICATIONS AND INFORMATION REGARDING THE FAMILY FARM LOAN        126          

PROGRAM FORWARDED TO THE DEPARTMENT BY A FINANCIAL INSTITUTION     127          

PURSUANT TO SECTION 901.81 OF THE REVISED CODE, AND FORWARD THE    130          

APPLICATIONS, INFORMATION, ANALYSES, AND SUMMARIES TO THE          131          

DIRECTOR OF AGRICULTURE;                                           132          

      (13)  UNTIL JUNE 30, 1999, ESTABLISH FEES AND CHARGES, IN    134          

CONSULTATION WITH THE DIRECTOR OF AGRICULTURE, FOR LOANS AND LOAN  136          

                                                          4      

                                                                 
GUARANTEES PROVIDED UNDER THE FAMILY FARM LOAN PROGRAM CREATED     138          

UNDER SECTIONS 901.80 TO 901.83 OF THE REVISED CODE;                            

      (14)  PROVIDE LOAN SERVICING FOR THE LOANS AND LOAN          140          

GUARANTEES PROVIDED UNDER SECTION 901.80 OF THE REVISED CODE AS    141          

SUCH SECTION EXISTED PRIOR TO JUNE 30, 1999;                       142          

      (15) UNTIL JUNE 30, 1999, AND UPON APPROVAL BY THE           145          

CONTROLLING BOARD UNDER DIVISION (A)(3) OF SECTION 901.82 OF THE   146          

REVISED CODE OF THE RELEASE OF MONEY TO BE USED FOR A LOAN OR      149          

LOAN GUARANTEE, REQUEST THE RELEASE OF SUCH MONEY IN ACCORDANCE    150          

WITH DIVISION (B) OF SECTION 166.03 OF THE REVISED CODE FOR USE    153          

FOR THE PURPOSES OF THE FUND CREATED BY SECTION 166.031 OF THE     155          

REVISED CODE.                                                                   

      (B)  The department shall, by rule, SHALL establish          157          

criteria defining nonprofit corporations that are eligible for     158          

appointment as qualified agents pursuant to sections 135.81 to     159          

135.88 of the Revised Code.  The criteria shall require that a     160          

corporation be organized pursuant to Chapter 1702. of the Revised  161          

Code and have as its primary purpose the promotion of economic     162          

development or the creation or retention of jobs and job           163          

opportunities.  The criteria may include a specification as to     164          

the professional qualifications of the corporation employees, a    165          

minimum elapsed period of time since the corporation was           166          

organized, current and former activities of the corporation, and   167          

such other criteria reasonably related to the foregoing that       168          

relate to the ability of the corporation to act as a qualified     169          

agent for the purposes of sections 135.51 to 135.88 of the         170          

Revised Code.                                                                   

      (C)  The director of development may request the attorney    172          

general to, and the attorney general shall, in accordance with     173          

section 109.02 of the Revised Code, SHALL bring a civil action in  175          

any court of competent jurisdiction.  The director may be sued in  176          

the director's official capacity, in connection with this                       

chapter, in accordance with Chapter 2743. of the Revised Code.     177          

      Sec. 122.23.  As used in sections 122.23 to 122.27 of the    186          

                                                          5      

                                                                 
Revised Code:                                                                   

      (A)  "Distressed area" means a county with a population of   188          

less than one hundred twenty-five thousand that meets at least     189          

two of the following criteria of economic distress:                190          

      (1)  Its average rate of unemployment, during the most       192          

recent five-year period for which data are available, is equal to  194          

at least one hundred twenty-five per cent of the average rate of   195          

unemployment for the United States for the same period.                         

      (2)  It has a per capita income equal to or below eighty     197          

per cent of the median county per capita income of the United      199          

States as determined by the most recently available figures from                

the United States census bureau.                                   200          

      (3)  In intercensal years, the county has a ratio of         202          

transfer payment income to total county income equal to or         203          

greater than twenty-five per cent.                                              

      (B)  "Eligible applicant" means any of the following that    206          

is designated by the governing body of an eligible area as         207          

provided in division (B)(1) of section 122.27 of the Revised       208          

Code:                                                                           

      (1)  A port authority as defined in division (A) of section  210          

4581.01 4582.01 or division (A) of section 4582.21 of the Revised  211          

Code;                                                                           

      (2)  A community improvement corporation as defined in       213          

section 1724.01 of the Revised Code;                               214          

      (3)  A community-based organization or action group that     216          

provides social services and has experience in economic            217          

development;                                                                    

      (4)  Any other nonprofit economic development entity;        219          

      (5)  A PRIVATE DEVELOPER THAT PREVIOUSLY HAS NOT RECEIVED    221          

FINANCIAL ASSISTANCE UNDER SECTION 122.24 OF THE REVISED CODE AND  222          

THAT HAS EXPERIENCE AND A SUCCESSFUL HISTORY IN INDUSTRIAL         223          

DEVELOPMENT.                                                                    

      (C)  "Eligible area" means a distressed area, a labor        226          

surplus area, or a situational distress area, as designated        227          

                                                          6      

                                                                 
annually by the director of development pursuant to division (A)   228          

of section 122.25 of the Revised Code.                                          

      (D)  "Labor surplus area" means an area designated as a      230          

labor surplus area by the United States department of labor.       231          

      (E)  "Official poverty line" has the same meaning as in      233          

division (A) of section 3923.51 of the Revised Code.               234          

      (F)  "Situational distress area" means a county that has a   236          

population of less than one hundred twenty-five thousand persons,  237          

or a municipal corporation in such a county, that has experienced  238          

or is experiencing a closing or downsizing of a major employer     240          

that will adversely affect the county's or municipal                            

corporation's economy.  In order to be designated as a             241          

situational distress area for a period not to exceed thirty-six    242          

months, the county or municipal corporation may petition the       243          

director of development.  The petition shall include               244          

documentation that demonstrates all of the following:              245          

      (1)  The number of jobs lost by the closing or downsizing;   248          

      (2)  The impact that the job loss has on the county's or     250          

municipal corporation's unemployment rate as measured by the Ohio  252          

bureau of employment services;                                                  

      (3)  The annual payroll associated with the job loss;        254          

      (4)  The amount of state and local taxes associated with     256          

the job loss;                                                      257          

      (5)  The impact that the closing or downsizing has on the    259          

suppliers located in the rural county or municipal corporation.    260          

      (G)  "Governing body" means, in the case of a county, the    263          

board of county commissioners; in the case of a municipal                       

corporation, the legislative authority; and in the case of a       264          

township, the board of township trustees.                          265          

      (H)  "Infrastructure improvements" includes site             268          

preparation, including building demolition and removal; retention  269          

ponds and flood and drainage improvements; streets, roads,         270          

bridges, and traffic control devices; parking lots and                          

facilities; water and sewer lines and treatment plants; gas,       271          

                                                          7      

                                                                 
electric, and telecommunications hook-ups; and waterway and        272          

railway access improvements.                                                    

      (I)  "PRIVATE DEVELOPER" MEANS ANY INDIVIDUAL, FIRM,         274          

CORPORATION, OR ENTITY, OTHER THAN A NONPROFIT ENTITY, LIMITED     275          

PROFIT ENTITY, OR GOVERNMENTAL ENTITY.                             276          

      Sec. 122.24.  To promote economic development in rural       285          

areas and to improve the economic welfare of the people of the     286          

state, the director of development shall administer the rural      287          

industrial park loan program, which is hereby established in       288          

accordance with Ohio Constitution, Article VIII, Section 13, to    289          

assist eligible applicants in financing the development and        291          

improvement of industrial parks by providing financial assistance  292          

in the form of loans and loan guarantees for land acquisition;     293          

constructing, reconstructing, rehabilitating, remodeling,                       

renovating, enlarging, or improving industrial park buildings;     294          

and infrastructure improvements.                                   295          

      This program shall not be used to compete against existing   297          

Ohio industrial parks.                                             298          

      An eligible applicant receiving assistance under the rural   300          

industrial park program is not precluded from further              301          

participation in this or any other department of development       302          

financial program, EXCEPT THAT A PRIVATE DEVELOPER THAT            303          

PREVIOUSLY HAS RECEIVED FINANCIAL ASSISTANCE UNDER THIS SECTION                 

IS PRECLUDED FROM FURTHER PARTICIPATION IN THE RURAL INDUSTRIAL    304          

PARK LOAN PROGRAM.                                                 305          

      Sec. 122.25.  (A)  In administering the program established  315          

under section 122.24 of the Revised Code, the director of          316          

development shall do all of the following:                         317          

      (1)  Annually designate, by the first day of January of      319          

each year, the entities that constitute the eligible areas in      320          

this state as defined in section 122.23 of the Revised Code;       321          

      (2)  Inform local governments and others in the state of     323          

the availability of the program and financial assistance           324          

established under sections 122.23 to 122.27 of the Revised Code;   326          

                                                          8      

                                                                 
      (3)  Report to the governor, president of the senate,        329          

speaker of the house of representatives, and minority leaders of                

the senate and the house of representatives by the thirtieth day   331          

of June of each year on the activities carried out under the       332          

program during the preceding calendar year.  The report shall      333          

include the number of loans made that year and the amount and      334          

recipient of each loan.                                                         

      (4)  Work in conjunction with conventional lending           336          

institutions, local revolving loan funds, private investors, and   337          

other private and public financing sources to provide loans or     338          

loan guarantees to eligible applicants;                            339          

      (5)  Establish fees, charges, interest rates, payment        341          

schedules, local match requirements, and other terms and           343          

conditions for loans and loan guarantees provided under the loan                

program created by section 122.24 of the Revised Code;             345          

      (6)  Require each applicant to demonstrate the suitability   347          

of any site for the assistance sought; that the site has been      348          

surveyed, has adequate or available utilities, and that there are  349          

no zoning restrictions, environmental regulations, or other        350          

matters impairing the use of the site for the purpose intended;    351          

      (7)  Require each applicant to provide a marketing plan and  353          

management strategy for the project;                               354          

      (8)  Adopt rules in accordance with Chapter 119. of the      356          

Revised Code establishing all of the following:                    357          

      (a)  Forms and procedures by which eligible applicants may   360          

apply for assistance;                                                           

      (b)  Criteria for reviewing, evaluating, and ranking         363          

applications, and for approving applications that best serve the                

goals of the program;                                              364          

      (c)  Reporting requirements and monitoring procedures;       367          

      (d)  GUIDELINES REGARDING SITUATIONS IN WHICH INDUSTRIAL     369          

PARKS WOULD BE CONSIDERED TO COMPETE AGAINST ONE ANOTHER FOR THE   370          

PURPOSES OF DIVISION (B)(2) OF SECTION 122.27 OF THE REVISED       371          

CODE;                                                                           

                                                          9      

                                                                 
      (e)  Any other rules necessary to implement and administer   374          

the program created by section 122.24 of the Revised Code.         375          

      (B)  The director may adopt rules in accordance with         378          

Chapter 119. of the Revised Code establishing requirements         379          

governing the use of any industrial park site receiving            380          

assistance under section 122.24 of the Revised Code, such that a   382          

certain portion of the site must be used for manufacturing,        383          

distribution, high technology, research and development, or other  384          

businesses wherein a majority of the product or service produced   385          

is exported out of the state.                                                   

      (C)  As a condition to receiving assistance under section    387          

122.24 of the Revised Code, and except as provided in division     388          

(D) of this section, an applicant must agree, for a period of      389          

five years, not to permit the use of a site that is developed or   390          

improved with such assistance to cause the relocation of jobs to   391          

that site from elsewhere in Ohio.                                  392          

      (D)  A site developed or improved with assistance under      395          

section 122.24 of the Revised Code may be the site of jobs         396          

relocated from elsewhere in Ohio if the director of development    398          

does all of the following:                                                      

      (1)  Makes a written determination that the site from which  400          

the jobs would be relocated is inadequate to meet market or        402          

industry conditions, expansion plans, consolidation plans, or                   

other business considerations affecting the relocating employer;   403          

      (2)  Provides a copy of the determination required by        406          

division (D)(1) of this section to the members of the general      407          

assembly whose legislative districts include the site from which   408          

the jobs would be relocated, and to the joint legislative                       

committee on tax incentives;                                       409          

      (3)  Determines that the governing body of the area from     411          

which the jobs would be relocated has been notified in writing by  412          

the relocating company of the possible relocation.                 413          

      (E)  The director of development must obtain the approval    415          

of the controlling board for any loan or loan guarantee provided   416          

                                                          10     

                                                                 
under sections 122.23 to 122.27 of the Revised Code.               417          

      Sec. 122.27.  (A)  In order to be eligible for financial     427          

assistance under section 122.24 of the Revised Code, the           429          

applicant shall demonstrate to the director of development the     431          

applicant's capacity to undertake and oversee the project, as                   

evidenced by documentation of the applicant's past performance in  432          

economic development projects.                                     433          

      (B)  In order for an applicant to be eligible for financial  436          

assistance under section 122.24 of the Revised Code, BOTH OF the   437          

FOLLOWING APPLY:                                                                

      (1)  THE governing body of the entity that has been          439          

designated as an eligible area by the director of development      440          

under division (A) of section 122.25 of the Revised Code, by       441          

resolution or ordinance, shall designate the applicant that will   442          

carry out the project for the purposes described in section        443          

122.24 of the Revised Code, and specify the eligible area's        444          

financial participation in the project;                            445          

      (2)  THE BOARD OF COUNTY COMMISSIONERS OF A COUNTY THAT HAS  447          

BEEN DESIGNATED AS AN ELIGIBLE AREA BY THE DIRECTOR OF             448          

DEVELOPMENT UNDER DIVISION (A)(1) OF SECTION 122.25 OF THE         450          

REVISED CODE SHALL CERTIFY, BY RESOLUTION, THAT NO EXISTING                     

INDUSTRIAL PARK IS LOCATED IN THE COUNTY THAT WOULD COMPETE        451          

AGAINST AN INDUSTRIAL PARK THAT WOULD BE DEVELOPED AND IMPROVED    452          

IN THE COUNTY THROUGH THE USE OF FINANCIAL ASSISTANCE PROVIDED TO  453          

THE APPLICANT UNDER THE RURAL INDUSTRIAL PARK LOAN PROGRAM.        454          

GUIDELINES REGARDING SITUATIONS IN WHICH INDUSTRIAL PARKS WOULD    455          

BE CONSIDERED TO COMPETE AGAINST ONE ANOTHER SHALL BE ESTABLISHED  456          

BY RULE IN ACCORDANCE WITH DIVISION (A)(8)(d) OF SECTION 122.25    458          

OF THE REVISED CODE.                                                            

      (C)  Solely for the purpose of applying for assistance for   461          

infrastructure improvements, a governing body may designate                     

itself as an eligible applicant.                                   462          

      Sec. 166.03.  (A)  There is hereby created the facilities    471          

establishment fund within the state treasury, consisting of        472          

                                                          11     

                                                                 
proceeds from the issuance of obligations as specified under       473          

section 166.08 of the Revised Code; the moneys received by the     474          

state from the sources specified in section 166.09 of the Revised  475          

Code; service charges imposed under sections 166.06 and 166.07 of  476          

the Revised Code; any grants, gifts, or contributions of moneys    477          

received by the director of development to be used for loans made  478          

under section 166.07 of the Revised Code or for the payment of     479          

the allowable costs of project facilities; and all other moneys    480          

appropriated or transferred to the fund.  Moneys in the loan       481          

guarantee fund in excess of four per cent of the unpaid principal  482          

amount of loan repayments guaranteed under section 166.06 of the   483          

Revised Code, but subject to the provisions and requirements of    484          

any guarantee contracts, may be transferred to the facilities      485          

establishment fund by the treasurer of state upon the order of     486          

the director of development.  Moneys received by the state under   487          

Chapter 122. of the Revised Code, to the extent allocable to the   488          

utilization of moneys derived from proceeds of the sale of         489          

obligations pursuant to section 166.08 of the Revised Code, shall  490          

be credited to the facilities establishment fund.                  491          

      (B)  All moneys appropriated or transferred to the           493          

facilities establishment fund may be released at the request of    494          

the director for payment of allowable costs or the making of       495          

loans under this chapter, for transfer to the loan guarantee fund  496          

established in section 166.06 of the Revised Code, or for use for  497          

the purpose of or transfer to the funds established by sections    499          

122.35, 122.42, 122.54, 122.55, 122.56, 122.561, 122.57, and                    

122.80, and until January 1 JUNE 30, 1999, section SECTIONS        501          

122.26 AND 166.031 of the Revised Code, but only for such of       502          

those purposes as are within the authorization of Section 13 of    503          

Article VIII, Ohio Constitution, in all cases subject to the       504          

approval of the controlling board.                                 505          

      (C)  Moneys transferred to the facilities establishment      507          

fund under section 3734.82 of the Revised Code shall be used       508          

exclusively for eligible projects that recover or recycle energy   509          

                                                          12     

                                                                 
from scrap tires, as "scrap tires" is defined in section 3734.01   510          

of the Revised Code, for any of the following purposes:            511          

      (1)  Making loans under this chapter;                        513          

      (2)  Making grants;                                          515          

      (3)  Providing other incentives, including, without          517          

limitation, entering into contracts with private entities to       518          

conduct environmental studies or tests for eligible projects that  519          

propose to recover energy from scrap tires.                        520          

      The director shall adopt rules under division (B)(9) of      522          

section 166.02 of the Revised Code for the purpose of              523          

administering this division.                                       524          

      (D)  The department of development, in the administration    526          

of the facilities establishment fund, is encouraged to utilize     527          

and promote the utilization of, to the maximum practicable         528          

extent, the other existing programs, business incentives, and tax  529          

incentives that department is required or authorized to            530          

administer or supervise.                                           531          

      Sec. 166.031.  THE FAMILY FARM LOAN FUND IS HEREBY CREATED   534          

IN THE STATE TREASURY FOR THE PURPOSES OF THE PROGRAM ESTABLISHED  535          

IN SECTIONS 901.80 TO 901.83 OF THE REVISED CODE.  THE DIRECTOR    536          

OF DEVELOPMENT SHALL DEPOSIT MONEY RECEIVED FOR THOSE PURPOSES TO  537          

THE CREDIT OF THE FUND.                                            538          

      Sec. 901.63.  (A)  The agricultural financing commission     547          

SHALL DO BOTH OF THE FOLLOWING UNTIL JUNE 30, 1999:                548          

      (1)  MAKE RECOMMENDATIONS TO THE DIRECTOR OF AGRICULTURE     550          

ABOUT FINANCIAL ASSISTANCE APPLICATIONS MADE PURSUANT TO SECTIONS  551          

901.80 TO 901.83 OF THE REVISED CODE.  IN MAKING ITS               552          

RECOMMENDATIONS, THE COMMISSION SHALL UTILIZE CRITERIA             553          

ESTABLISHED BY RULES ADOPTED UNDER DIVISION (A)(8)(b) OF SECTION   555          

901.82 OF THE REVISED CODE.                                        557          

      (2)  ADVISE THE DIRECTOR IN THE ADMINISTRATION OF SECTIONS   559          

901.80 TO 901.83 OF THE REVISED CODE.                              560          

      WITH RESPECT TO SECTIONS 901.80 TO 901.83 OF THE REVISED     564          

CODE, THE ROLE OF THE COMMISSION IS SOLELY ADVISORY.  NO OFFICER,  565          

                                                          13     

                                                                 
MEMBER, OR EMPLOYEE OF THE COMMISSION IS LIABLE FOR DAMAGES IN A   566          

CIVIL ACTION FOR ANY INJURY, DEATH, OR LOSS TO PERSON OR PROPERTY  568          

THAT ALLEGEDLY ARISES OUT OF ANY LOAN OR LOAN GUARANTEE, FAILURE   569          

TO GRANT A LOAN OR LOAN GUARANTEE, OR FAILURE TO TAKE ACTION       570          

UNDER SECTIONS 901.80 TO 901.83 OF THE REVISED CODE, OR THAT       572          

ALLEGEDLY ARISES OUT OF ANY ACT OR OMISSION OF THE DEPARTMENT OF   573          

AGRICULTURE THAT INVOLVES THOSE SECTIONS.                          574          

      (B)  THE COMMISSION may:                                     576          

      (A)(1)  Adopt bylaws for the conduct of its business;        578          

      (B)(2)  Exercise all rights, powers, and duties conferred    580          

on the commission as an issuer under Chapter 902. of the Revised   581          

Code;                                                              582          

      (C)(3)  Contract with, retain, or designate financial        584          

consultants, accountants, and such other consultants and           585          

independent contractors as the commission may determine to be      586          

necessary or appropriate to carry out the purposes of this         587          

chapter and to fix the terms thereof OF THOSE CONTRACTS;           588          

      (D)(4)  Undertake and carry out or authorize the completion  590          

of studies and analyses of agricultural conditions and needs       591          

within the state relevant to the purpose of this chapter to the    592          

extent not otherwise undertaken by other departments or agencies   593          

of the state satisfactory for such purpose;                        594          

      (E)(5)  Acquire by gift, purchase, foreclosure, or other     596          

means, and hold, assign, pledge, lease, transfer, or otherwise     597          

dispose of real and personal property, or any interest therein IN  598          

THAT REAL AND PERSONAL PROPERTY, in the exercise of its powers     600          

and the performance of its duties under this chapter and Chapter   601          

902. of the Revised Code;                                                       

      (F)(6)  Receive and accept gifts, grants, loans, or any      603          

other financial or other form of aid from any federal, state,      604          

local, or private agency or fund and enter into any contract with  605          

any such agency or fund in connection therewith, and receive and   606          

accept aid or contributions from any other source of money,        607          

property, labor or things of value, to be held, used, and applied  608          

                                                          14     

                                                                 
only for the purposes for which such grants and contributions are  609          

made, all within the purposes of this chapter and Chapter 902. of  610          

the Revised Code;                                                  611          

      (G)(7)  Sue and be sued in its own name with respect to its  613          

contracts or to enforce this chapter or its obligations or         614          

covenants made under this chapter and Chapter 902. of the Revised  615          

Code;                                                              616          

      (H)(8)  Make and enter into all contracts, commitments, and  618          

agreements, and execute all instruments necessary or incidental    619          

to the performance of its duties and the execution of its powers   620          

under this chapter and Chapter 902. of the Revised Code;           621          

      (I)(9)  Adopt an official seal;                              623          

      (J)(10)  Do any and all things necessary or appropriate to   625          

carry out the public purposes and exercise the powers granted to   626          

the commission in this chapter and Chapter 902. of the Revised     627          

Code and the public purposes of Section 13 of Article VIII, Ohio   628          

Constitution.                                                      629          

      Sec. 901.80.  TO PROMOTE ECONOMIC OPPORTUNITY FOR PERSONS    632          

WHO DESIRE TO ENGAGE IN AGRICULTURAL PRODUCTION, TO ENHANCE THE    633          

ECONOMIC VIABILITY OF THE STATE'S AGRICULTURAL AREAS, TO HELP      634          

PROVIDE THE STATE'S AGRIBUSINESSES WITH THE FARM PRODUCTS          635          

NECESSARY FOR THEIR OPERATIONS, AND TO IMPROVE THE ECONOMIC        636          

WELFARE OF THE PEOPLE OF THE STATE, THE DIRECTOR OF AGRICULTURE    637          

SHALL ADMINISTER THE FAMILY FARM LOAN PROGRAM, WHICH IS HEREBY     638          

ESTABLISHED IN ACCORDANCE WITH SECTION 13 OF ARTICLE VIII, OHIO    640          

CONSTITUTION, TO ASSIST ELIGIBLE APPLICANTS BY PROVIDING           641          

FINANCIAL ASSISTANCE IN THE FORM OF LOANS AND LOAN GUARANTEES FOR  643          

LAND ACQUISITION; CONSTRUCTING, RECONSTRUCTING, REHABILITATING,    644          

REMODELING, RENOVATING, ENLARGING, OR IMPROVING AGRICULTURAL       645          

BUILDINGS; AND ACQUIRING MACHINERY AND EQUIPMENT TO BE USED IN                  

AGRICULTURE.                                                       646          

      FINANCIAL ASSISTANCE PROVIDED UNDER THE FAMILY FARM LOAN     648          

PROGRAM SHALL NOT BE USED AS WORKING CAPITAL OR FOR REFINANCING,   650          

FINANCING INVENTORY OR RECEIVABLES, SPECULATIVE REAL ESTATE        651          

                                                          15     

                                                                 
DEVELOPMENT, RELOCATION COSTS, OR THE PURCHASE OF ROLLING STOCK    652          

OR LIVESTOCK.                                                                   

      AN ELIGIBLE APPLICANT RECEIVING FINANCIAL ASSISTANCE UNDER   654          

THE FAMILY FARM LOAN PROGRAM IS NOT PRECLUDED FROM FURTHER         655          

PARTICIPATION IN THIS OR ANY OTHER STATE FINANCIAL PROGRAM.        657          

      Sec. 901.81.  (A)  AS USED IN THIS SECTION AND SECTIONS      660          

901.82 AND 901.83 OF THE REVISED CODE:                             662          

      (1)  "FINANCIAL INSTITUTION" MEANS ANY BANKING CORPORATION,  665          

TRUST COMPANY, INSURANCE COMPANY, SAVINGS AND LOAN ASSOCIATION,    666          

BUILDING AND LOAN ASSOCIATION, OR CORPORATION, PARTNERSHIP,        667          

FEDERAL LENDING FOUNDATION, OR OTHER INSTITUTION ENGAGED IN        668          

LENDING OR INVESTING FUNDS FOR AGRICULTURAL OR OTHER BUSINESS      669          

PURPOSES.                                                                       

      (2)  "ELIGIBLE APPLICANT" MEANS A PERSON WHO SATISFIES ALL   672          

THE CRITERIA ENUMERATED IN DIVISION (B) OF SECTION 901.82 OF THE   673          

REVISED CODE.                                                      675          

      (B)  A FINANCIAL INSTITUTION THAT WISHES TO PARTICIPATE IN   678          

THE PROGRAM ESTABLISHED UNDER SECTION 901.80 OF THE REVISED CODE   681          

SHALL ACCEPT AND REVIEW APPLICATIONS FOR LOANS FROM ELIGIBLE       682          

APPLICANTS.  FORMS AND PROCEDURES INVOLVED IN THE APPLICATION      683          

PROCESS SHALL COMPLY WITH RULES ADOPTED UNDER DIVISION (A)(8)(a)   685          

OF SECTION 901.82 OF THE REVISED CODE.  THE FINANCIAL INSTITUTION  689          

SHALL APPLY ALL USUAL LENDING STANDARDS TO DETERMINE THE           690          

CREDITWORTHINESS OF EACH ELIGIBLE APPLICANT, INCLUDING WHETHER     691          

THE ELIGIBLE APPLICANT HAS THE ABILITY TO REPAY THE LOAN AND       692          

WHETHER ADEQUATE SECURITY EXISTS FOR THE LOAN.                                  

      THE FINANCIAL INSTITUTION SHALL FORWARD TO THE DEPARTMENT    694          

OF DEVELOPMENT THE COMPLETED LOAN APPLICATION OF AN ELIGIBLE       695          

APPLICANT WHOM THE FINANCIAL INSTITUTION HAS DETERMINED TO BE      696          

CREDITWORTHY, ALONG WITH THE FARM BUSINESS PLAN AND MANAGEMENT     697          

STRATEGY REQUIRED BY DIVISION (A)(5) OF SECTION 901.82 OF THE      698          

REVISED CODE, AND ANY OTHER INFORMATION REQUIRED BY RULES ADOPTED  700          

UNDER DIVISION (A)(8) OF SECTION 901.82 OF THE REVISED CODE.  IF   703          

A LOAN GUARANTEE IS INVOLVED, THE FINANCIAL INSTITUTION ALSO       704          

                                                          16     

                                                                 
SHALL FORWARD A REQUEST BY THE FINANCIAL INSTITUTION TO ENTER      705          

INTO A CONTRACT OF GUARANTEE DESCRIBED IN SECTION 901.83 OF THE    707          

REVISED CODE.                                                      708          

      THE DEPARTMENT OF DEVELOPMENT SHALL PROCEED WITH THE LOAN    710          

APPLICATION IN ACCORDANCE WITH DIVISION (A)(11) OF SECTION         712          

122.011 OF THE REVISED CODE.                                       714          

      Sec. 901.82.  (A)  IN ADMINISTERING THE PROGRAM ESTABLISHED  717          

UNDER SECTION 901.80 OF THE REVISED CODE, THE DIRECTOR OF          719          

AGRICULTURE SHALL DO ALL OF THE FOLLOWING:                                      

      (1)  RECEIVE APPLICATIONS FOR FINANCIAL ASSISTANCE           721          

FORWARDED TO THE DIRECTOR BY THE DEPARTMENT OF DEVELOPMENT, AND,   722          

AFTER PROCESSING, FORWARD THEM TO THE AGRICULTURAL FINANCING       723          

COMMISSION TOGETHER WITH NECESSARY SUPPORTING INFORMATION;         725          

      (2)  RECEIVE THE RECOMMENDATIONS OF THE COMMISSION MADE      727          

UNDER DIVISION (A)(1) OF SECTION 901.63 OF THE REVISED CODE AND    730          

MAKE A FINAL DETERMINATION WHETHER TO APPROVE THE APPLICATION FOR  731          

FINANCIAL ASSISTANCE;                                                           

      (3)  TRANSMIT THE DIRECTOR'S DETERMINATIONS TO APPROVE       733          

ASSISTANCE TO THE CONTROLLING BOARD TOGETHER WITH ANY INFORMATION  735          

THE CONTROLLING BOARD REQUIRES FOR ITS REVIEW AND ITS DECISION     736          

WHETHER TO APPROVE THE RELEASE OF MONEY FOR THE FINANCIAL                       

ASSISTANCE;                                                        737          

      (4)  WORK IN CONJUNCTION WITH FINANCIAL INSTITUTIONS AND     740          

OTHER PRIVATE AND PUBLIC FINANCING SOURCES TO PROVIDE LOANS OR     741          

LOAN GUARANTEES TO ELIGIBLE APPLICANTS;                                         

      (5)  REQUIRE EACH APPLICANT TO PROVIDE A FARM BUSINESS       743          

PLAN, INCLUDING AN OVERVIEW OF THE TYPE OF AGRICULTURAL OPERATION  744          

THE APPLICANT ANTICIPATES CONDUCTING, AND A MANAGEMENT STRATEGY    745          

FOR THE PROJECT;                                                   746          

      (6)  INFORM AGRICULTURAL ORGANIZATIONS AND OTHERS IN THE     748          

STATE OF THE EXISTENCE OF THE PROGRAM ESTABLISHED UNDER SECTION    749          

901.80 OF THE REVISED CODE AND OF THE FINANCIAL ASSISTANCE         750          

AVAILABLE UNDER THE PROGRAM;                                                    

      (7)  REPORT TO THE GOVERNOR, PRESIDENT OF THE SENATE,        752          

                                                          17     

                                                                 
SPEAKER OF THE HOUSE OF REPRESENTATIVES, AND MINORITY LEADERS OF   753          

THE SENATE AND THE HOUSE OF REPRESENTATIVES BY THE THIRTIETH DAY   754          

OF JUNE OF EACH YEAR ON THE ACTIVITIES CARRIED OUT UNDER THE       755          

PROGRAM DURING THE PRECEDING CALENDAR YEAR.  THE REPORT SHALL      756          

INCLUDE THE NUMBER OF LOANS OR LOAN GUARANTEES MADE THAT YEAR,     757          

THE AMOUNT OF EACH LOAN OR LOAN GUARANTEE, THE COUNTY IN WHICH     759          

THE LOAN RECIPIENT'S FARM IS LOCATED, AND WHATEVER OTHER           761          

INFORMATION THE DIRECTOR DETERMINES IS RELEVANT TO INCLUDE.        762          

      (8)  ADOPT RULES IN ACCORDANCE WITH CHAPTER 119. OF THE      766          

REVISED CODE ESTABLISHING ALL OF THE FOLLOWING WITH REGARD TO THE  767          

PROGRAM:                                                                        

      (a)  FORMS AND PROCEDURES BY WHICH ELIGIBLE APPLICANTS MAY   770          

APPLY FOR FINANCIAL ASSISTANCE;                                                 

      (b)  CRITERIA FOR REVIEWING, EVALUATING, AND RANKING         773          

APPLICATIONS, AND FOR APPROVING APPLICATIONS THAT BEST SERVE THE   774          

GOALS OF THE PROGRAM;                                                           

      (c)  REPORTING REQUIREMENTS AND MONITORING PROCEDURES;       777          

      (d)  INTEREST RATES, PAYMENT SCHEDULES, LOAN TRANSFER        779          

PROVISIONS, PENALTIES, INCLUDING PENALTIES FOR THE CONVERSION OF   780          

LAND DEVOTED EXCLUSIVELY TO AGRICULTURAL USE AS DEFINED IN         781          

SECTION 5713.30 OF THE REVISED CODE, AND OTHER TERMS AND                        

CONDITIONS FOR LOANS AND LOAN GUARANTEES PROVIDED UNDER THE        782          

PROGRAM;                                                                        

      (e)  CRITERIA FOR DETERMINING WHETHER THE LOCATION AT WHICH  784          

THE APPLICANT PROPOSES TO USE LOAN MONEY PROVIDED UNDER THE        785          

PROGRAM IS IN AN AREA IN WHICH AGRICULTURE IS THE PRIMARY LAND     786          

USE AT THE TIME THE APPLICATION IS MADE AND WHETHER THE LAND AT    787          

THAT LOCATION REASONABLY MAY NOT BE EXPECTED TO BE CONVERTED TO A  788          

NONAGRICULTURAL USE DURING THE PERIOD OF TIME THAT THE                          

APPLICANT'S OBLIGATION TO REPAY THE LOAN REMAINS OUTSTANDING;      789          

      (f)  ANY OTHER RULES NECESSARY TO IMPLEMENT AND ADMINISTER   792          

THE PROGRAM.                                                                    

      (B)  IN ORDER TO BE ELIGIBLE FOR FINANCIAL ASSISTANCE UNDER  795          

SECTION 901.80 OF THE REVISED CODE, AN APPLICANT SHALL             797          

                                                          18     

                                                                 
DEMONSTRATE ALL OF THE FOLLOWING:                                               

      (1)  THAT THE APPLICANT IS DOMICILED IN THIS STATE;          799          

      (2)  THAT THE APPLICANT IS UNABLE TO OBTAIN REASONABLE       801          

FINANCING FROM COMMERCIAL OR AGRICULTURAL LENDING SOURCES;         803          

      (3)  THAT THE APPLICANT HAS THE ABILITY TO REPAY THE LOAN,   805          

PRIMARILY FROM THE CASH FLOW OF THE PROPOSED FARMING OPERATION,    806          

AND THAT THERE IS ADEQUATE SECURITY FOR THE LOAN;                  807          

      (4)  THAT THE APPLICANT HAS SUFFICIENT EDUCATION, TRAINING,  809          

OR EXPERIENCE IN THE TYPE OF FARMING FOR WHICH THE APPLICANT       810          

REQUESTS THE LOAN OR LOAN GUARANTEE;                               811          

      (5)  THAT THERE ARE NO ZONING RESTRICTIONS, ENVIRONMENTAL    813          

REGULATIONS, OR OTHER IMPAIRMENTS TO THE USE OF THE LAND FOR THE   814          

PURPOSE INTENDED;                                                               

      (6)    THAT THE LOCATION AT WHICH THE APPLICANT PROPOSES TO  816          

USE THE LOAN MONEY IS IN AN AREA IN WHICH AGRICULTURE IS THE       817          

PRIMARY LAND USE AT THE TIME THE APPLICATION IS MADE AND THAT THE  818          

LAND AT THAT LOCATION REASONABLY MAY NOT BE EXPECTED TO BE         819          

CONVERTED TO A NONAGRICULTURAL USE DURING THE PERIOD OF TIME THAT  820          

THE APPLIANT'S OBLIGATION TO REPAY THE LOAN REMAINS OUTSTANDING.                

IN DEMONSTRATING THE INFORMATION REQUIRED UNDER DIVISION (B)(5)    821          

OF THIS SECTION, THE APPLICANT SHALL UTILIZE CRITERIA ESTABLISHED  822          

IN RULES ADOPTED UNDER DIVISION (A)(9)(e) OF THIS SECTION.         823          

      Sec. 901.83.  (A)  UPON APPROVAL BY THE CONTROLLING BOARD    826          

UNDER DIVISION (A)(3) OF SECTION 901.82 OF THE REVISED CODE OF     829          

THE RELEASE OF MONEY TO BE USED FOR A LOAN GUARANTEE UNDER THE     830          

PROGRAM ESTABLISHED UNDER SECTION 901.80 OF THE REVISED CODE, THE  832          

FINANCIAL INSTITUTION PROVIDING THE LOAN AND THE DIRECTOR OF       833          

AGRICULTURE SHALL ENTER INTO A CONTRACT OF GUARANTEE ESTABLISHING  834          

THE TERMS OF THE GUARANTEE.                                        835          

      UNDER THE CONTRACT OF GUARANTEE, THE DIRECTOR OF             837          

AGRICULTURE SHALL AGREE TO DEPOSIT WITH THE FINANCIAL INSTITUTION  839          

A LOAN GUARANTEE CONSISTING OF MONEY RELEASED BY THE CONTROLLING   840          

BOARD FOR THAT PURPOSE, IN AN AMOUNT THAT IS A SPECIFIED           841          

PERCENTAGE OF THE AMOUNT LOANED TO THE ELIGIBLE APPLICANT BY THE   842          

                                                          19     

                                                                 
FINANCIAL INSTITUTION.  THE DIRECTOR SHALL AGREE THAT IF THE LOAN  843          

RECIPIENT DEFAULTS ON THE LOAN AND THE FINANCIAL INSTITUTION       844          

EXHAUSTS ALL LEGAL AND EQUITABLE REMEDIES IN AN ATTEMPT TO OBTAIN  845          

COMPLETE REPAYMENT, BUT DOES NOT RECEIVE COMPLETE REPAYMENT, THEN  846          

THE LOAN GUARANTEE SHALL BE USED TO REIMBURSE THE FINANCIAL        847          

INSTITUTION.                                                                    

      IN EXCHANGE, THE FINANCIAL INSTITUTION SHALL AGREE TO PAY    849          

ANNUALLY TO THE DEPARTMENT OF DEVELOPMENT A SPECIFIED PERCENTAGE   850          

OF THE AMOUNT OF THE LOAN GUARANTEE, WHICH SHALL BE DEPOSITED      851          

INTO THE FAMILY FARM LOAN FUND CREATED IN SECTION 166.031 OF THE   853          

REVISED CODE.  THE FINANCIAL INSTITUTION ALSO SHALL AGREE TO LEND  854          

THE GUARANTEED PORTION OF THE LOAN TO THE ELIGIBLE APPLICANT AT    855          

AN INTEREST RATE BELOW CURRENT MARKET RATES THAT REFLECTS THE      856          

STATE'S REDUCED INTEREST RATE.                                     857          

      (B)  A GUARANTEED FINANCIAL INSTITUTION, EXCEPT TO THE       860          

EXTENT THAT ITS RIGHTS ARE RESTRICTED BY THE CONTRACT OF           861          

GUARANTEE, MAY PROTECT AND ENFORCE, BY ANY SUITABLE FORM OF LEGAL  862          

PROCEEDINGS, ANY OF ITS RIGHTS GRANTED UNDER THE LAWS OF THIS      863          

STATE OR GRANTED BY THE CONTRACT OF GUARANTEE.  SUCH RIGHTS        864          

INCLUDE THE RIGHT TO COMPEL PERFORMANCE OF ALL DUTIES OF THE       865          

DIRECTOR REQUIRED BY THE CONTRACT OF GUARANTEE.  THE PERSON WHO    866          

IS THE DIRECTOR AT THE TIME THE CONTRACT OF GUARANTEE IS ENTERED   867          

INTO OR AT A LATER TIME, AND THE DIRECTOR'S OFFICERS OR            868          

EMPLOYEES, ARE NOT LIABLE IN THEIR PERSONAL CAPACITIES ON ANY      869          

CONTRACT OF GUARANTEE ENTERED INTO BY THE DIRECTOR.                870          

      (C)  THE TOTAL AMOUNT OF LOAN GUARANTEES PROVIDED TO ANY     873          

ONE FINANCIAL INSTITUTION SHALL NOT EXCEED FIVE HUNDRED THOUSAND   874          

DOLLARS.  FOR THE PURPOSES OF THIS DIVISION, "FINANCIAL            875          

INSTITUTION" REFERS TO THE FINANCIAL INSTITUTION AS A WHOLE        876          

CORPORATE ENTITY, AND DOES NOT REFER TO A BANKING OFFICE OR        877          

BRANCH, AS THOSE TERMS ARE DEFINED IN SECTION 1101.01 OF THE       878          

REVISED CODE.                                                      879          

      Section 2.  That existing sections 122.011, 122.23, 122.24,  881          

122.25, 122.27, 166.03, and 901.63 of the Revised Code are hereby  883          

                                                          20     

                                                                 
repealed.                                                                       

      Section 3.  That sections 166.031, 901.80, 901.81, 901.82,   885          

and 901.83 of the Revised Code are hereby repealed, effective      887          

June 30, 1999.                                                                  

      Section 4.  That Sections 47 and 47.15 of Am. Sub. H.B. 215  889          

of the 122nd General Assembly be amended to read as follows:       890          

      "Sec. 47.  DEV  DEPARTMENT OF DEVELOPMENT                    892          

General Revenue Fund                                               894          

GRF 195-100 Personal Services     $    2,595,000 $    2,595,000    899          

GRF 195-200 Maintenance           $      625,000 $      625,000    903          

GRF 195-300 Equipment             $      115,000 $      115,000    907          

GRF 195-401 Thomas Edison Program $   23,250,000 $   23,696,875    911          

GRF 195-404 Small Business                                         913          

            Development           $    2,360,000 $    2,360,000    915          

GRF 195-405 Minority Business                                      917          

            Development Division  $    2,058,000 $    2,058,000    919          

GRF 195-406 Transitional and                                       921          

            Permanent Housing     $    2,859,900 $    2,864,847    923          

GRF 195-407 Travel and Tourism    $    6,450,000 $    6,450,000    927          

GRF 195-408 Coal Research                                          929          

            Development           $      570,000 $      582,699    931          

GRF 195-410 Defense Conversion                                     933          

            Assistance Program    $    1,100,000 $    2,350,000    935          

GRF 195-411 Minority Development                                   937          

            Financing Advisory                                                  

            Board                 $      347,760 $      356,454    939          

GRF 195-412 Business Development  $   11,000,000 $   11,500,000    943          

GRF 195-414 First Frontier Match  $      500,000 $      500,000    947          

GRF 195-415 Regional Offices and                                   949          

            Economic Development  $    6,663,160 $    6,718,894    951          

GRF 195-416 Governor's Office of                                   953          

            Appalachia            $      654,000 $      654,000    955          

GRF 195-417 Urban/Rural                                            957          

            Initiative Grant                                                    

                                                          21     

                                                                 
            Program               $   10,000,000 $    4,000,000    959          

GRF 195-422 Technology Action     $    1,000,000 $    2,000,000    963          

GRF 195-423 Miami Valley Center                                    965          

            for Information                                        966          

            Technologies          $      350,000 $      650,000    968          

GRF 195-431 Community Development                                  970          

            Corporation Grants    $    2,500,000 $    2,600,000    972          

GRF 195-432 International Trade   $    5,300,000 $    5,400,000    976          

GRF 195-434 Industrial Training   $    9,937,923 $    9,600,469    980          

GRF 195-436 Labor/Management                                       982          

            Cooperation           $    1,200,000 $    1,200,000    984          

GRF 195-440 Emergency Shelter                                      986          

            Housing Grants        $    3,014,800 $    3,017,674    988          

GRF 195-441 Low and Moderate                                       990          

            Income Housing        $    8,000,000 $    8,000,000    992          

GRF 195-497 State Match -                                          994          

            Community Development                                               

            Block Grant           $    1,160,000 $    1,160,000    996          

GRF 195-498 State Energy Match    $      100,000 $      150,000    1,000        

GRF 195-501 Appalachian Local                                      1,002        

            Development Districts $      443,500 $      443,500    1,004        

GRF 195-502 Appalachian Regional                                   1,006        

            Commission            $      160,000 $      160,000    1,008        

GRF 195-507 Travel & Tourism                                       1,010        

            Grants                $    1,550,000 $    1,300,000    1,012        

TOTAL GRF General Revenue Fund    $  105,864,043 $  103,108,412    1,015        

General Services Fund Group                                        1,018        

135 195-605 Supportive Services   $    6,749,805 $    6,918,701    1,023        

442 195-606 Merchandise for                                        1,025        

            Resale                $        3,000 $        3,000    1,027        

685 195-636 General Reimbursement $    1,061,025 $    1,078,948    1,031        

TOTAL GSF General Services Fund                                    1,032        

   Group                          $    7,813,830 $    8,000,649    1,035        

Federal Special Revenue Fund Group                                 1,038        

                                                          22     

                                                                 
308 195-602 Appalachian Regional                                   1,041        

            Commission            $      650,000 $      650,000    1,043        

308 195-603 Housing and Urban                                      1,045        

            Development           $   31,837,225 $   32,631,507    1,047        

308 195-605 Federal Projects      $    7,871,000 $    7,871,000    1,051        

308 195-609 Federal Projects                                       1,053        

            Small Business        $    7,500,000 $    7,500,000    1,055        

3K9 195-611 Home Energy                                            1,057        

            Assistance Block                                                    

            Grant                 $   59,417,200 $   59,492,628    1,059        

3L0 195-612 Community Services                                     1,061        

            Block Grant           $   16,715,539 $   17,133,177    1,063        

3K8 195-613 Community Development                                  1,065        

            Block Grant           $   65,000,000 $   65,000,000    1,067        

3K9 195-614 HEAP Weatherization   $   10,413,818 $   10,420,948    1,071        

308 195-616 Technology Programs   $      500,000 $      500,000    1,075        

308 195-618 Energy Federal Grants $    1,753,019 $    1,796,126    1,079        

308 195-642 International Trade                                    1,081        

            Promotion             $      200,000 $            0    1,083        

335 195-610 Oil Overcharge        $    8,500,000 $    8,500,000    1,087        

380 195-622 Housing Development   $    2,584,607 $    2,634,097    1,091        

TOTAL FED Federal Special Revenue                                  1,092        

   Fund Group                     $  212,942,408 $  214,129,483    1,095        

State Special Revenue Fund Group                                   1,097        

4F2 195-639 State Special                                          1,100        

            Projects              $    1,821,569 $    1,510,913    1,102        

4G9 195-633 Travel and Tourism                                     1,104        

            Marketing             $      100,000 $      100,000    1,106        

4H4 195-641 First Frontier        $    1,000,000 $    1,000,000    1,110        

4S0 195-630 Enterprise Zone                                        1,112        

            Operating             $      275,000 $      282,000    1,114        

4S1 195-634 Job Creation Tax                                       1,116        

            Credit Operating      $      225,000 $      235,000    1,118        

4W1 195-646 Minority Business                                      1,120        

                                                          23     

                                                                 
            Enterprise Loan       $    3,800,000 $    3,800,000    1,122        

444 195-607 Water and Sewer       $    2,300,000 $    2,300,000    1,126        

445 195-617 Housing Finance                                        1,128        

            Agency                $    2,950,000 $    3,022,551    1,130        

450 195-624 Minority Business                                      1,132        

            Bonding Program                                                     

            Administration        $      132,381 $      135,690    1,134        

451 195-625 Economic Development                                   1,136        

            Financing Operating   $    1,998,433 $    2,036,868    1,138        

611 195-631 Water and Sewer                                        1,140        

            Administration        $       44,000 $       45,000    1,142        

646 195-638 Low and Moderate                                       1,144        

            Income Housing Trust                                                

            Fund                  $   18,500,000 $   20,500,000    1,146        

TOTAL SSR State Special Revenue                                    1,147        

   Fund Group                     $   33,146,383 $   34,968,022    1,150        

Facilities Establishment Fund                                      1,153        

037 195-615 Facilities                                             1,156        

            Establishment         $   62,500,000 $   52,500,000    1,158        

4Z6 195-647 Rural Industrial Park                                  1,160        

            Loan                  $    5,000,000 $    5,000,000    1,162        

                                       2,500,000      2,500,000    1,164        

5D1 195-649 Port Authority Bond                                    1,166        

            Reserves              $    2,500,000 $    2,500,000    1,168        

5D2 195-650 Urban Redevelopment                                    1,170        

            Loans                 $   10,000,000 $   20,000,000    1,172        

5H1 195-652 FAMILY FARM LOAN      $    2,500,000 $    2,500,000    1,177        

TOTAL 037 Facilities                                               1,179        

   Establishment Fund             $   80,000,000 $   80,000,000    1,182        

Coal Research/Development Fund                                     1,185        

046 195-632 Coal Research and                                      1,188        

            Development Fund      $   12,000,000 $   12,000,000    1,190        

TOTAL 046 Coal Research/                                           1,191        

   Development Fund               $   12,000,000 $   12,000,000    1,194        

                                                          24     

                                                                 
TOTAL ALL BUDGET FUND GROUPS      $  451,766,664 $  452,206,566    1,197        

      Sec. 47.15.  Facilities Establishment Fund                   1,200        

      The foregoing appropriation item 195-615, Facilities         1,202        

Establishment Fund (Fund 037), shall be used for the purposes of   1,203        

the Facilities Establishment Fund under Chapter 166. of the        1,205        

Revised Code.                                                      1,206        

      Notwithstanding Chapter 166. of the Revised Code, up to      1,208        

$1,600,000 may be transferred each fiscal year from the            1,210        

Facilities Establishment Fund (Fund 037) to the Economic           1,211        

Development Financing Operating Fund (Fund 451).  The transfer is  1,212        

subject to Controlling Board approval pursuant to division (B) of  1,214        

section 166.03 of the Revised Code.  The transfer shall be made    1,215        

using an intrastate transfer voucher.                              1,216        

      Notwithstanding Chapter 166. of the Revised Code, up to      1,218        

$3,800,000 may be transferred in each fiscal year of the biennium  1,219        

from the Facilities Establishment Fund (Fund 037) to the Minority  1,220        

Business Enterprise Loan (Fund 4W1).  The transfer is subject to   1,222        

Controlling Board approval pursuant to division (B) of section     1,223        

166.03 of the Revised Code.  The transfer shall be made using an   1,224        

intrastate transfer voucher.                                                    

      Notwithstanding Chapter 166. of the Revised Code, up to      1,226        

$5,000,000 cash may be transferred during the biennium from the    1,227        

Facilities Establishment Fund (Fund 037) to the Port Authority     1,228        

Bond Reserves Fund (Fund 5D1) for use by any port authority in     1,229        

establishing or supplementing bond reserve funds for any bond                   

issuance permitted under Chapter 4582. of the Revised Code.  The   1,230        

Director of Development shall develop program guidelines for the   1,231        

transfer and release of funds, including, but not limited to, a    1,232        

provision that no port authority shall receive more than           1,233        

$2,000,000.  The transfer and release of funds are subject to      1,234        

Controlling Board approval.  The transfer shall be made using an                

intrastate transfer voucher.  Of the foregoing appropriation item  1,236        

195-649, Port Authority Bond Reserves, $2,000,000 over the         1,237        

biennium, subject to Controlling Board approval, shall go to the   1,238        

                                                          25     

                                                                 
Cleveland Port Authority to establish or supplement bond reserves  1,239        

per the guidelines set forth by the director of development.       1,240        

      Notwithstanding Chapter 166. of the Revised Code, up to      1,242        

$30,000,000 cash may be transferred during the biennium from the   1,243        

Facilities Establishment Fund (Fund 037) to the Urban              1,244        

Redevelopment Loan Fund (Fund 5D2) for the purpose of removing     1,245        

barriers to urban core redevelopment.  The Director of                          

Development shall develop program guidelines for the transfer and  1,246        

release of funds, including, but not limited to, the completion    1,247        

of all appropriate environmental assessments before state          1,248        

assistance is committed to a project.  The transfer and release    1,249        

of funds are subject to Controlling Board approval.  The transfer  1,250        

shall be made using an intrastate transfer voucher.                             

      FAMILY FARM LOAN PROGRAM                                     1,253        

      NOTWITHSTANDING CHAPTER 166. OF THE REVISED CODE, UP TO      1,255        

$2.5 MILLION IN EACH FISCAL YEAR SHALL BE TRANSFERRED FROM MONEYS  1,256        

IN THE FACILITIES ESTABLISHMENT FUND (FUND 037) INTENDED FOR THE   1,257        

RURAL INDUSTRIAL PARK LOAN FUND (FUND 4Z6) TO THE FAMILY FARM      1,260        

LOAN FUND (FUND 5H1) IN THE DEPARTMENT OF DEVELOPMENT.  THE        1,261        

TRANSFER IS SUBJECT TO CONTROLLING BOARD APPROVAL.  THE TRANSFER   1,263        

SHALL BE MADE USING AN INTRASTATE TRANSFER VOUCHER.                             

      LOANS FROM THE FAMILY FARM LOAN FUND SHALL BE REPAID TO      1,267        

FUND 5H1.  THIS FUND IS ESTABLISHED IN ACCORDANCE WITH SECTIONS    1,268        

166.031, 901.80, 901.81, 901.82, AND 901.83 OF THE REVISED CODE.                

      WHEN THE FAMILY FARM LOAN FUND (FUND 5H1) CEASES TO EXIST,   1,271        

ALL OUTSTANDING BALANCES, ALL LOAN REPAYMENTS, AND ANY OTHER       1,273        

OUTSTANDING OBLIGATIONS SHALL REVERT TO THE FACILITIES             1,274        

ESTABLISHMENT FUND (FUND 037)."                                                 

      Section 5.  That existing Sections 47 and 47.15 of Am. Sub.  1,276        

H.B. 215 of the 122nd General Assembly are hereby repealed.        1,277        

      Section 6.  That Section 3 of Am. Sub. H.B. 440 of the       1,280        

121st General Assembly be amended to read as follows:                           

      "Sec. 3.  Sections 122.23, 122.24, 122.25, 122.26, and       1,282        

122.27 of the Revised Code are hereby repealed, effective January  1,283        

                                                          26     

                                                                 
1 JUNE 30, 1999."                                                  1,284        

      Section 7.  That existing Section 3 of Am. Sub. H.B. 440 of  1,286        

the 121st General Assembly is hereby repealed.                     1,287        

      Section 8.  Except as otherwise specifically provided in     1,289        

this act, a codified or uncodified section of law contained in     1,291        

this act is not subject to the referendum.  Therefore, under Ohio  1,292        

Constitution, Article II, Section 1d, and section 1.471 of the     1,293        

Revised Code, the codified and uncodified sections of law in this  1,294        

act, except as otherwise specifically provided in this act, go     1,295        

into immediate effect when this act becomes law.                                

      Section 9.  Sections 122.23, 122.24, 122.25, and 122.27 of   1,297        

the Revised Code, as amended by this act, are subject to the       1,298        

referendum.  Therefore, under Ohio Constitution, Article II,       1,299        

Section 1c and section 1.471 of the Revised Code, the sections as  1,300        

amended take effect on the ninety-first day after this act is                   

filed with the Secretary of State.  If, however, a referendum      1,301        

petition is filed against the section as amended, the section as   1,302        

amended, unless rejected at the referendum, takes effect at the    1,303        

earliest time permitted by law.