Section 1. That sections 122.011, 135.12, 135.143, 135.63, | 18 |
135.631,
3770.06, and 5739.18 be amended and new sections 135.81, | 19 |
135.82, 135.83, 135.84, 135.85, 135.86, and 135.87 of the
Revised | 20 |
Code be enacted to read as follows: | 21 |
(6) Cooperate with and provide technical assistance to
state | 49 |
departments, political subdivisions, regional and local
planning | 50 |
commissions, tourist associations, councils of
government, | 51 |
community development groups, community action
agencies, and other | 52 |
appropriate organizations for carrying out the
functions and | 53 |
duties of the department or for the solution of
community | 54 |
problems; | 55 |
(9) Study existing structure, operations, and financing of | 62 |
regional or local government and those state activities that | 63 |
involve significant relations with regional or local governmental | 64 |
units, recommend to the governor and to the general assembly such | 65 |
changes in these provisions and activities as will improve the | 66 |
operations of regional or local government, and conduct other | 67 |
studies of legal provisions that affect problems related to | 68 |
carrying out the purposes of this section; | 69 |
(14) Until July 1,
2003,
and upon approval by the | 84 |
controlling board under division
(A)(3) of section 901.82 of the | 85 |
Revised
Code of the release of money to
be used for purchasing a | 86 |
loan or providing a loan guarantee, request the
release of
that | 87 |
money in accordance with division
(B) of section 166.03 of the | 88 |
Revised
Code for use for the purposes
of the fund created by | 89 |
section 166.031 of the
Revised Code. | 90 |
(B)
The department, by rule, shall establish criteria | 91 |
defining nonprofit corporations that are eligible for appointment | 92 |
as qualified agents pursuant to sections 135.81 to 135.88 of the | 93 |
Revised Code. The criteria shall require that a corporation be | 94 |
organized pursuant to Chapter 1702. of the Revised Code and have | 95 |
as its primary purpose the promotion of economic development or | 96 |
the creation or retention of jobs and job opportunities. The | 97 |
criteria may include a specification as to the professional | 98 |
qualifications of the corporation employees, a minimum elapsed | 99 |
period of time since the corporation was organized, current and | 100 |
former activities of the corporation, and such other criteria | 101 |
reasonably related to the foregoing that relate to the ability of | 102 |
the corporation to act as a qualified agent for the purposes of | 103 |
sections
135.81 to 135.88 of the Revised Code. | 104 |
(C) The director of development may request the attorney | 105 |
general
to, and the attorney general, in accordance with section | 106 |
109.02 of the Revised Code, shall
bring a civil action in any | 107 |
court of competent jurisdiction. The director may
be sued in the | 108 |
director's official capacity, in connection with this chapter,
in | 109 |
accordance with Chapter 2743. of the Revised Code. | 110 |
Sec. 135.12. (A) Beginning in
20002002, the state
board of | 111 |
deposit shall meet on the
third Monday of
JuneMarch in the | 112 |
even-numbered years for the purpose
of designating the public | 113 |
depositories of the public moneys of
the state, and at such | 114 |
meeting or any adjourned session thereof
shall designate such | 115 |
public depositories and award the public
moneys of the state to | 116 |
and among the public depositories so
designated for the period of | 117 |
two years commencing on the first
Monday of July next following. | 118 |
(B) Each
governing board other than the state board of | 119 |
deposit shall meet every
five years on
the third Monday or such | 120 |
regularly scheduled meeting date of the
month next preceding the | 121 |
date of the expiration of its
designation of depositories for the | 122 |
purpose of designating the
public depositories of the public | 123 |
moneys of the subdivision, and
at such meeting or any adjourned | 124 |
session thereof, shall designate
such public depositories and | 125 |
award the public moneys of the
subdivision to and among the public | 126 |
depositories so designated
for the period of five years commencing | 127 |
on the date of the
expiration of the next preceding designation.
| 128 |
The designation and award shall be made in duplicate; one
copy | 129 |
shall be retained by the governing board of the subdivision
and | 130 |
one copy shall be certified to the treasurer. | 131 |
(E) Whenever, by amendment or enactment of any state or | 146 |
federal
law or the amendment or adoption of any valid regulation | 147 |
thereunder, the terms of a designation or award, lawful at the | 148 |
beginning of any designation period, cease to be
lawful during | 149 |
such period, and if the change of law or regulation
requires,
the | 150 |
designation period shall be limited so as not
to extend
beyond the | 151 |
date when that change becomes effective. In
such
case, the proper | 152 |
governing board shall meet and designate the
public depositories | 153 |
of the public moneys of the state or of the
subdivision for the | 154 |
remainder of the designation period. | 155 |
(4)(a) Written repurchase agreements with any eligible
Ohio | 169 |
financial institution that is a member of the federal
reserve | 170 |
system or federal home loan bank or any recognized United
States | 171 |
government securities dealer, under the terms of which
agreement | 172 |
the treasurer of state purchases and the eligible
financial | 173 |
institution or dealer agrees unconditionally to
repurchase any of | 174 |
the securities that are listed in division
(A)(1)
or, (2), or (6) | 175 |
of this section and that will mature or are
redeemable within ten | 176 |
years from the date of purchase. The
market value of securities | 177 |
subject to these transactions must
exceed the principal value of | 178 |
the repurchase agreement by an
amount specified by the treasurer | 179 |
of state, and the securities
must be delivered into the custody of | 180 |
the treasurer of state or
the qualified trustee or agent | 181 |
designated by the treasurer of
state. The agreement shall contain | 182 |
the requirement that for each
transaction pursuant to the | 183 |
agreement, the participating
institution or dealer shall provide | 184 |
all of the following
information: | 185 |
(b) The treasurer of state also may sell any securities, | 190 |
listed in division (A)(1)
or, (2), or (6) of this section, | 191 |
regardless of
maturity or time of redemption of the securities, | 192 |
under the same
terms and conditions for repurchase, provided that | 193 |
the securities
have been fully paid for and are owned by the | 194 |
treasurer of state
at the time of the sale. | 195 |
(5) Securities lending agreements with any eligible | 196 |
financial institution that is a member of the federal reserve | 197 |
system or federal home loan bank or any recognized United States | 198 |
government securities dealer, under the terms of which
agreement | 199 |
agreements
the treasurer of state lends securities and the | 200 |
eligible
financial institution or dealer agrees to simultaneously | 201 |
exchange
similar securities or cash, equal value for equal value. | 202 |
(6) Various forms of commercial paper issued by any | 209 |
corporation that is incorporated under the laws of the United | 210 |
States or a state, which
such notes are rated
at the time of | 211 |
purchase in the
two
highest
categories by
two
nationally | 212 |
recognized rating
agencies, provided
that the
total amount | 213 |
invested
under this section in
any commercial paper
at any time | 214 |
shall not exceed
fivetwenty-five per cent of the
state's total | 215 |
average
portfolio, as determined and calculated by
the treasurer | 216 |
of
state; | 217 |
(8) Certificates of deposit in eligible institutions | 224 |
applying for interim moneys as provided in section 135.08 of the | 225 |
Revised Code, including linked deposits as provided in sections | 226 |
135.61
to
135.67
of the Revised Code, agricultural
linked
deposits | 227 |
as provided in sections 135.71 to 135.76 of the
Revised
Code, and | 228 |
depressed economic areahousing linked deposits as
provided in | 229 |
sections 135.81 to
135.88135.87 of the Revised Code; | 230 |
(10) Debt interests, other than commercial paper described | 233 |
in division (A)(6) of this section, rated
investment gradeat the | 234 |
time of purchase in the three highest categories by
atwo | 235 |
nationally
recognized rating
agencyagencies and issued by | 236 |
corporations that are
incorporated under the laws of the United | 237 |
States or a state, or
issued by foreign nations diplomatically | 238 |
recognized by the United
States government, or any instrument | 239 |
based on, derived from, or
related to such interests. All | 240 |
interest and principal shall be
denominated and payable in United | 241 |
States funds. The investments
made under division (A)(10) of this | 242 |
section shall not exceed in
the aggregate
fivetwenty-five per | 243 |
cent of the state's total average
portfolio, as determined and | 244 |
calculated by the treasurer of
state.
The investments made under | 245 |
division (A)(10) of this
section in
debt interests issued by | 246 |
foreign nations shall not
exceed in the
aggregate one per cent of | 247 |
the state's total average
portfolio, as determined and calculated | 248 |
by the treasurer of state.
The
investments made under division | 249 |
(A)(10) of this
section in the
debt interests of a single issuer | 250 |
shall not exceed
in the
aggregate one-half of one per cent of the | 251 |
state's total
average
portfolio, as determined and calculated by | 252 |
the treasurer of state. | 253 |
The treasurer of state shall invest under division (A)(10)
of | 254 |
this section in a debt interest issued by a foreign nation
only if | 255 |
the debt interest is backed by the full faith and credit
of that | 256 |
foreign nation. For purposes of division (A)(10) of this
section, | 257 |
a debt interest is rated
investment gradein the three
highest | 258 |
categories by
atwo
nationally
recognized rating
agencyagencies | 259 |
if either the debt interest
itself or the
issuer of the
debt | 260 |
interest is rated, or is
implicitly rated,
investment gradeat the | 261 |
time of purchase in the three highest categories by
atwo | 262 |
nationally recognized
rating
agencyagencies. | 263 |
(B) Whenever, during a period of designation, the
treasurer | 270 |
of state classifies public moneys as interim moneys, the treasurer | 271 |
of state shall notify the state board of deposit of such action. | 272 |
SuchThe
notification shall be given within thirty days after such | 273 |
classification and, in the event the state board of deposit does | 274 |
not concur in such classification or in the investments or | 275 |
deposits made under this section, the board may order the | 276 |
treasurer of state to sell or liquidate any of
suchthe | 277 |
investments
or deposits, and any such order shall specifically | 278 |
describe the
investments or deposits and fix the date upon which | 279 |
they are to
be sold or liquidated. Investments or deposits so | 280 |
ordered to be
sold or liquidated shall be sold or liquidated for | 281 |
cash by the
treasurer of state on the date fixed in such order at | 282 |
the then
current market price. Neither the treasurer of state nor | 283 |
the
members of the state board of deposit shall be held | 284 |
accountable
for any loss occasioned by sales or liquidations of | 285 |
investments
or deposits at prices lower than their cost. Any loss | 286 |
or expense
incurred in making
suchthese sales or liquidations is | 287 |
payable as other
expenses of the treasurer's office. | 288 |
(2) The payment by the board of education to the treasurer | 314 |
of state of
a reasonable fee
as consideration for the agreement of | 315 |
the treasurer of state to purchase those
obligations; provided, | 316 |
however, that the treasurer of state shall not be
authorized to | 317 |
enter into any such agreement with the board of education of a | 318 |
school district that has an outstanding obligation with respect to | 319 |
a loan
received under authority of section 3313.483 of the Revised | 320 |
Code. | 321 |
(H) For purposes of division
(G) of this section, a fee | 322 |
shall
not be considered reasonable unless it is set to recover | 323 |
only
the direct costs and a reasonable estimate of the indirect | 324 |
costs
associated with the purchasing of obligations of a school | 325 |
board
under division (G) of this section and any reselling of the | 326 |
obligations or any interest in the obligations, including | 327 |
interests in a fund comprised of the obligations. No money from | 328 |
the general revenue fund shall be used to subsidize the purchase | 329 |
or resale of these obligations. | 330 |
Sec. 135.63. The treasurer of state may invest in linked | 339 |
deposits under
sections 135.61 to 135.67, agricultural linked | 340 |
deposits
under sections
135.71 to 135.76,
housing linked deposits | 341 |
under sections 135.81 to 135.87, and assistive technology device | 342 |
linked deposits
under sections 135.91 to 135.97 of the Revised | 343 |
Code, provided
that at the time of placement
of any linked deposit | 344 |
under sections 135.61 to 135.67
of the Revised Code, agricultural | 345 |
linked deposit,
housing linked deposit, or assistive technology | 346 |
device linked
depositsdeposit, the combined amount of
investments | 347 |
in the linked deposits, agricultural
linked deposits,
housing | 348 |
linked deposits, and assistive technology device linked deposits | 349 |
is not more
than twelve per cent of the state's total average | 350 |
investment portfolio as
determined by the treasurer of state.
When | 351 |
deciding whether to invest in
the linked deposits,
agricultural | 352 |
linked deposits,
housing linked deposits, or
assistive technology | 353 |
device linked deposits, the treasurer of
state shall
give priority | 354 |
to the investment, liquidity, and cash
flow needs of the state. | 355 |
(B) "Eligible governmental subdivision housing linked deposit | 366 |
program" means any program established pursuant to section 135.80 | 367 |
of the Revised Code by the legislative authority of a municipal | 368 |
corporation or the board of county commissioners of a county, in | 369 |
which the program goals address specific housing issues relative | 370 |
to the geographic boundaries of that municipal corporation or | 371 |
county. These program goals include, but are not limited to, home | 372 |
improvement, home restoration, energy efficiency, retention of | 373 |
historic significance, controlling urban sprawl, neighborhood | 374 |
revitalization, affordable housing, home ownership for persons | 375 |
unable to secure conventional financing, urban development, or | 376 |
economic revitalization of a residential area as a result of a | 377 |
natural disaster or other catastrophic occurrence. | 378 |
(E) "Housing linked deposit" means a certificate of deposit | 393 |
or other financial institution instrument, described in section | 394 |
135.85 of the Revised Code, placed by the treasurer of state with | 395 |
an eligible lending institution, in accordance with division (B) | 396 |
of section 135.84 of the Revised Code, provided that the | 397 |
institution agrees, at the time of the deposit of state funds and | 398 |
for the period of the deposit, to lend the value of the deposit | 399 |
according to the deposit agreement described in section 135.85 of | 400 |
the Revised Code to eligible housing linked deposit participants | 401 |
at a fixed interest rate of three hundred basis points below the | 402 |
present borrowing rate applicable to each participant in the | 403 |
absence of approval to participate in the programs described in | 404 |
division (B) of section 135.82 of the Revised Code. | 405 |
Sec. 135.82. (A) The general assembly finds that there exists | 411 |
in this state a lack of affordable financing options to promote | 412 |
solutions to a number of housing issues including, but not limited | 413 |
to, home improvement, home restoration, energy efficiency, | 414 |
retention of historic significance, controlling urban sprawl, | 415 |
neighborhood revitalization, affordable housing, home ownership | 416 |
for persons unable to secure conventional financing, urban | 417 |
development, and economic revitalization of a residential area as | 418 |
a result of a natural disaster or other catastrophic occurrence. | 419 |
Accordingly, it is declared to be the public policy of the state | 420 |
through housing linked deposits to create an availability of lower | 421 |
cost funds to inject needed capital into local residential | 422 |
communities. | 423 |
(1) Housing linked deposits are authorized under which the | 428 |
state partners with eligible governmental subdivisions in | 429 |
accordance with section 135.83 of the Revised Code to provide, | 430 |
pursuant to section 135.84 of the Revised Code, an availability of | 431 |
lower cost funds for lending purposes that materially will | 432 |
contribute to the solutions addressing housing issues, described | 433 |
in division (A) of this section, across the state. | 434 |
(2) In the absence of an eligible governmental subdivision | 435 |
linked deposit program, the treasurer of state may develop an | 436 |
application process and procedures and eligibility requirements | 437 |
for participation in a housing linked deposit program that | 438 |
provides, pursuant to section 135.84 of the Revised Code, an | 439 |
availability of lower cost funds for lending purposes that | 440 |
materially will contribute to the solutions addressing housing | 441 |
issues, described in division (A) of this section, across the | 442 |
state. | 443 |
(C) The treasurer of state may accept or reject any | 466 |
application for the formation of a partnership described in | 467 |
division (B) of this section and submitted by an eligible | 468 |
governmental subdivision to the treasurer of state for reasons | 469 |
including, but not limited to, the cash flow needs of the state, | 470 |
level of participation by any or all eligible governmental | 471 |
subdivisions, and criteria set forth by the treasurer of state. | 472 |
(2) If an eligible lending institution changes the terms of a | 549 |
loan to an eligible housing linked deposit participant because of | 550 |
a delay in payments or default, the housing linked deposit amount | 551 |
shall be returned to the treasurer of state by the eligible | 552 |
lending institution. In which case, the deposit amount plus | 553 |
interest and without early withdrawal penalties shall be returned | 554 |
in a timely manner as prescribed by the treasurer of state.
| 555 |
Sec. 3770.06. (A) There is hereby created the state
lottery | 571 |
gross revenue fund, which shall be in the custody of the
treasurer | 572 |
of state but shall not be part of the state treasury.
All gross | 573 |
revenues received from sales of lottery tickets, fines,
fees, and | 574 |
related proceeds shall be
deposited into the fund. The
treasurer | 575 |
of state shall invest any
portion of the fund not
needed for | 576 |
immediate use in the same
manner as, and subject to
all provisions | 577 |
of law with respect to
the investment of, state
funds. The | 578 |
treasurer of state shall
disburse money from the fund
on order of | 579 |
the director of the state
lottery commission or the
director's | 580 |
designee.
All revenues of the state lottery gross revenue fund | 581 |
that are not
paid to holders of winning lottery tickets, that are | 582 |
not required
to meet short-term prize liabilities, that are not | 583 |
paid to lottery
sales agents in the form of
bonuses,
commissions, | 584 |
or
reimbursements, and that are not paid to
financial
institutions | 585 |
to
reimburse
those institutions for sales
agent
nonsufficient | 586 |
funds
shall be transferred to the state
lottery
fund, which is | 587 |
hereby
created in the state treasury. All
investment earnings of | 588 |
the fund
shall be credited to the fund.
Moneys shall be disbursed | 589 |
from the
fund pursuant to
vouchers approved by the director.
| 590 |
Total disbursements for monetary
prize awards to holders of | 591 |
winning lottery tickets and purchases
of goods and services | 592 |
awarded as prizes to holders of winning
lottery tickets shall be | 593 |
of an amount equal
to at least fifty per cent of the total
revenue | 594 |
accruing from the
sale of lottery tickets. | 595 |
(B) Pursuant to Section 6 of Article XV, Ohio
Constitution, | 596 |
there is hereby established in the state treasury
the lottery | 597 |
profits education fund. Whenever, in the judgment of
the director | 598 |
of budget and management, the amount to the credit
of the state | 599 |
lottery fund is in excess of that needed to meet the
maturing | 600 |
obligations of the commission and as working capital for
its | 601 |
further operations, the director shall transfer the
excess to the | 602 |
lottery profits education fund.
Investment earnings of the lottery | 603 |
profits education fund shall be
credited to the fund. There
shall | 604 |
also
be credited to the fund any repayments of moneys
loaned from | 605 |
the
educational excellence investment fund.
The
lottery profits | 606 |
education fund shall be used solely for
the
support of elementary, | 607 |
secondary, vocational, and special
education programs as | 608 |
determined in appropriations made by the
general assembly, or as | 609 |
provided in applicable bond proceedings
for
the payment of debt | 610 |
service on obligations issued to pay costs
of capital
facilities, | 611 |
including those for a system of common
schools throughout the | 612 |
state pursuant to section 2n of Article
VIII, Ohio Constitution. | 613 |
When determining the
availability of
money in
the lottery profits | 614 |
education fund, the director of
budget and
management may consider | 615 |
all balances and estimated
revenues of
the fund. | 616 |
From the amounts that the director of budget and management | 617 |
transfers in any fiscal year from the state lottery fund to the | 618 |
lottery profits education fund, the director shall transfer
the | 619 |
initial ten million dollars of
those amounts from the lottery | 620 |
profits
education fund to the school building program bond service | 621 |
fund
created in division (Q) of section 3318.26 of the Revised | 622 |
Code to
be pledged for the purpose of paying bond service charges | 623 |
as
defined in division (C) of section 3318.21 of the Revised Code | 624 |
on
one or more issuances of obligations, which obligations are | 625 |
issued to provide moneys for the school building program | 626 |
assistance fund created in section 3318.25 of the Revised Code. | 627 |
(C) There is hereby established in the state treasury the | 628 |
deferred prizes trust fund. With the approval of the director of | 629 |
budget and management, an amount sufficient to fund annuity
prizes | 630 |
shall be transferred from the state lottery fund and
credited to | 631 |
the trust fund. The treasurer of state shall
credit all earnings | 632 |
arising from investments purchased under this
division to the | 633 |
fund. Within sixty days after the end of each
fiscal year, the | 634 |
director of budget and management shall certify
the amount of | 635 |
investment earnings necessary to have been credited
to the trust | 636 |
fund during the fiscal year just ending to provide
for continued | 637 |
funding of deferred prizes. Any earnings credited
in excess of | 638 |
this certified amount shall be transferred to the
lottery profits | 639 |
education fund. To provide all or a part of the
amounts necessary | 640 |
to fund deferred prizes awarded by the
commission, the treasurer | 641 |
of state, in consultation with the
commission, may invest moneys | 642 |
contained in the deferred prizes
trust fund in obligations of the | 643 |
type permitted for the investment of state
funds but whose | 644 |
maturities are thirty years or less. Investments of the
deferred | 645 |
prizes trust fund are not subject to the provisions of division | 646 |
(A)(10) of section 135.143 of the Revised Code limiting to | 647 |
twenty-five
per cent the amount
of the state's total average | 648 |
portfolio that
may be invested in debt interests
and limiting to | 649 |
one-half of one
per cent the amount that may be invested in
debt | 650 |
interests of a
single issuer. | 651 |
The state lottery commission shall establish an internal | 664 |
audit program
before the beginning of each fiscal year, subject to | 665 |
the approval of the
auditor of state. At the end of each fiscal | 666 |
year, the commission shall
prepare and submit an annual report to | 667 |
the auditor of state for the auditor of
state's review and | 668 |
approval, specifying the internal audit work completed by
the end | 669 |
of that fiscal year and reporting on compliance with the annual | 670 |
internal audit program. The form and content of the report shall | 671 |
be
prescribed by the auditor of state under division (C) of | 672 |
section
117.20 of the Revised Code. | 673 |
(E) Whenever, in the judgment of the director of budget and | 674 |
management, an amount of net state lottery proceeds is necessary | 675 |
to be applied
to the payment of debt service on obligations, all | 676 |
as defined in sections
151.01 and 151.03 of the Revised Code, the | 677 |
director shall transfer that amount directly from
the state | 678 |
lottery fund or from the lottery profits education fund to the | 679 |
bond
service fund defined in those sections. The provisions of | 680 |
this division
are subject to any prior pledges
or obligation of | 681 |
those amounts to the payment of bond service
charges as defined in | 682 |
division
(C) of section 3318.21 of the
Revised Code, as referred | 683 |
to in division (B)
of this section. | 684 |
Sec. 5739.18. On the first business day of each week, each | 685 |
county auditor
shall make in
triplicateduplicate a list showing | 686 |
the names
of all vendors licensed in
the auditor's county during | 687 |
the
preceding week pursuant to
sections 5739.01 to 5739.31
of the | 688 |
Revised Code, and such
other information as to each,
available | 689 |
from the records in
the
auditor's office, as the tax
commissioner | 690 |
prescribes, and shall
immediately certify one of
suchthe
lists to | 691 |
the
commissioner, one to
the treasurer of state, and one
to the | 692 |
county
treasurer. The
tax commissioner
shall keep an
alphabetical | 693 |
index of
such licensees so certified to
the
commissioner but
may | 694 |
delete
therefromfrom the index the names of those
persons whose | 695 |
licenses have been
cancelled. | 696 |
Section 2. That existing sections 122.011, 135.12, 135.143, | 697 |
135.63, 135.631, 3770.06, and 5739.18 and sections 135.81, | 698 |
135.82, 135.83, 135.84, 135.85,
135.86,
135.87, and 135.88 of the | 699 |
Revised Code are hereby repealed. | 700 |