As Introduced

125th General Assembly
Regular Session
2003-2004
H. B. No. 434


REPRESENTATIVE Calvert



A BILL
To amend sections 183.04 and 183.18 of the Revised 1
Code to provide for the distribution of money 2
received by the state pursuant to the Tobacco 3
Master Settlement Agreement by making operating 4
and capital appropriations for the biennium 5
beginning July 1, 2004, and ending June 30, 2006, 6
and to provide authorization and conditions for 7
the operation of state programs.8


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

       Section 1. That sections 183.04 and 183.18 of the Revised 9
Code be amended to read as follows:10

       Sec. 183.04.  There is hereby created the tobacco use11
prevention and control foundation, the general management of which12
is vested in a board of trustees of twenty-four members as13
follows:14

       (A) Eight members who are health professionals, health15
researchers, or representatives of health organizations. Two of16
these members shall be appointed by the governor, two by the17
speaker of the house of representatives, one by the minority18
leader of the house of representatives, two by the president of19
the senate, and one by the minority leader of the senate.20

       (B) Two members, one of whom has experience in financial21
planning and accounting and one of whom has experience in media22
and mass marketing, who shall be appointed by the governor;23

       (C) One member, who shall be appointed by the governor from a24
list of at least three individuals recommended by the American25
cancer society;26

       (D) One member, who shall be appointed by the governor from a27
list of at least three individuals recommended by the American28
heart association;29

       (E) One member, who shall be appointed by the governor from a30
list of at least three individuals recommended by the American31
lung association;32

       (F) One member, who shall be appointed by the governor from a33
list of at least three individuals recommended by the association 34
of hospitals and health systems;35

       (G) One member, who shall be appointed by the governor from a36
list of at least three individuals recommended by the Ohio state37
medical association;38

       (H) One member, who shall be appointed by the governor from a39
list of at least three individuals recommended by the association 40
of Ohio health commissioners;41

       (I) One member, who shall be appointed by the governor from a 42
list of at least three individuals recommended by the Ohio dental 43
association;44

       (J) One nonvoting member, who shall be a member of the house45
of representatives of the political party of which the speaker of46
the house of representatives is a member and who shall be47
appointed by the speaker;48

       (K) One nonvoting member, who shall be a member of the house49
of representatives of the major political party of which the50
speaker of the house of representatives is not a member and who51
shall be appointed by the speaker;52

       (L) One nonvoting member, who shall be a member of the senate53
of the political party of which the president of the senate is a54
member and who shall be appointed by the president;55

       (M) One nonvoting member, who shall be a member of the senate56
of the major political party of which the president of the senate57
is not a member and who shall be appointed by the president;58

       (N) The director of health, the executive director of the59
commission on minority health, or the executive director's 60
designee, and the attorney general, who shall serve as ex officio61
members.62

       The appointments of the governor shall be with the advice and63
consent of the senate.64

       Terms of office for the non-legislative members appointed by65
the governor, president, speaker, and minority leaders shall be66
for five years. The terms of legislative members shall be for the67
biennial session of the general assembly in which they are68
appointed. Each member shall hold office from the date of69
appointment until the end of the term for which the member was70
appointed. Any member appointed to fill a vacancy occurring prior71
to the expiration of the term for which the member's predecessor72
was appointed shall hold office for the remainder of that term.73
Any member shall continue in office subsequent to the expiration74
date of the member's term until the member's successor takes75
office, or until a period of sixty days has elapsed, whichever76
occurs first. A vacancy in an unexpired term shall be filled in77
the same manner as the original appointment. The governor may78
remove any non-legislative member for malfeasance, misfeasance, or79
nonfeasance after a hearing in accordance with Chapter 119. of the80
Revised Code.81

       The members of the board shall serve without compensation but82
shall receive their reasonable and necessary expenses incurred in83
the conduct of foundation business.84

       Sections 101.82 to 101.87 of the Revised Code do not apply to 85
the foundation.86

       Sec. 183.18.  Ohio's public health priorities trust fund is 87
hereby created in the state treasury. Money credited to the fund 88
shall be used for the following purposes:89

       (A) Minority health programs, on which not less than 90
twenty-five per cent of the annual appropriations from the trust 91
fund shall be expended;92

       (B) Enforcing section 2927.02 of the Revised Code;93

       (C) Alcohol and drug abuse treatment and prevention programs, 94
including programs for adult and juvenile offenders in state 95
institutions and aftercare programs;96

       (D) A non-entitlement program funded through the department 97
of health to provide emergency assistance consisting of 98
medication, oxygen, or both to seniors whose health has been 99
adversely affected by tobacco use and whose income does not exceed 100
one hundred per cent of the federal poverty guidelines, on which 101
five per cent of the annual appropriations from the trust fund 102
shall be expended. However, if federal funding becomes available 103
for this purpose, the department shall utilize the federal funding 104
and the appropriations from the trust fund shall be used for the 105
other purposes authorized by this section. If the federal program 106
requires seniors described by this division to pay a premium or 107
copayment to obtain medication or oxygen, the director of health 108
shall recommend to the general assembly whether this division's 109
set-aside of five per cent of the appropriations from the trust 110
fund should be used to pay such premiums or copayments. As used in 111
this division, "federal poverty guidelines" has the same meaning 112
as in section 5101.46 of the Revised Code.113

       (E) Partial reimbursement, on a county basis, of hospitals, 114
free medical clinics, and similar organizations or programs that115
provide free, uncompensated care to the general public, and of 116
counties that pay private entities to provide such care using 117
revenue from a property tax levied at least in part for that 118
purpose.119

       All investment earnings of the fund shall be credited to the 120
fund.121

       Section 2. That existing sections 183.04 and 183.18 of the 122
Revised Code are hereby repealed.123

       Section 3.  All items in Sections 4 to 13 of this act are124
hereby appropriated as designated out of any moneys in the state125
treasury to the credit of the designated fund that are not126
otherwise appropriated. For all appropriations made in this127
section, those in the first column are for fiscal year 2005 and128
those in the second column are for fiscal year 2006.129

       Section 4. ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION130
SERVICES131

Tobacco Master Settlement Agreement Fund Group 132
L87 038-403 Urban Minority Alcoholism and Drug Abuse Outreach Programs $ 500,000 $ 500,000 133
L87 038-405 Juvenile Offender Aftercare Program $ 3,000,000 $ 3,000,000 134
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 3,500,000 $ 3,500,000 135
TOTAL ALL BUDGET FUND GROUPS $ 3,500,000 $ 3,500,000 136


       Section 5. AGO ATTORNEY GENERAL138

Tobacco Master Settlement Agreement Fund Group139

J87 055-635 Law Enforcement Technology, Training, and Facility Enhancements $ 8,647,000 $ 3,000,000 140
U87 055-402 Tobacco Settlement Oversight, Administration, and Enforcement $ 562,546 $ 573,797 141
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 9,209,546 $ 3,573,797 142
TOTAL ALL BUDGET FUND GROUPS $ 9,209,546 $ 3,573,797 143


       Section 6. DEV DEPARTMENT OF DEVELOPMENT145

Tobacco Master Settlement Agreement Fund Group146

M87 195-435 Biomedical Research and Technology Transfer $ 24,079,558 $ 23,896,239 147
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 24,079,558 $ 23,896,239 148
TOTAL ALL BUDGET FUND GROUPS $ 24,079,558 $ 23,896,239 149


       Section 7. DOH DEPARTMENT OF HEALTH151

Tobacco Master Settlement Agreement Fund Group152

L87 440-404 Minority Health Care Data Development $ 350,000 $ 350,000 153
L87 440-409 Tuberculosis Prevention and Treatment $ 450,000 $ 450,000 154
L87 440-410 Hepatitis C Prevention and Intervention $ 425,000 $ 425,000 155
L87 440-411 Dental Care Programs for Minority and Low-Income Populations $ 420,000 $ 420,000 156
L87 440-412 Emergency Medications and Oxygen for Low-Income Seniors $ 583,653 $ 583,653 157
L87 440-414 Uncompensated Care $ 3,852,400 $ 3,855,051 158
L87 440-421 Infant Mortality Reduction Initiative $ 266,000 $ 266,000 159
TOTAL TSF Tobacco Master 160
Settlement Agreement Fund 161
Group $ 6,347,053 $ 6,349,704 162
TOTAL ALL BUDGET FUND GROUPS $ 6,347,053 $ 6,349,704 163


       Section 8. MIH COMMISSION ON MINORITY HEALTH165

Tobacco Master Settlement Agreement Fund Group 166
L87 149-402 Minority Health and Academic Partnership Grants $ 690,000 $ 690,000 167
L87 149-403 Training and Capacity Building $ 100,000 $ 100,000 168
L87 149-404 Academic, Scientific, and Community Partnerships $ 400,000 $ 400,000 169
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 1,190,000 $ 1,190,000 170
TOTAL ALL BUDGET FUND GROUPS $ 1,190,000 $ 1,190,000 171


       Section 9. DHS DEPARTMENT OF PUBLIC SAFETY173

Tobacco Master Settlement Agreement Fund Group 174
L87 767-406 Under-Age Tobacco Use Enforcement $ 636,000 $ 636,000 175
TOTAL TSF Tobacco Master Settlement Agreement Fund $ 636,000 $ 636,000 176
TOTAL ALL BUDGET FUND GROUPS $ 636,000 $ 636,000 177


       Section 10. NET SCHOOLNET COMMISSION179

Tobacco Master Settlement Agreement Fund Group180

S87 228-602 Education Technology Trust Fund $ 9,277,865 $ 6,274,109 181
TOTAL TSF Tobacco Master 182
Settlement Agreement Fund 183
Group $ 9,277,865 $ 6,274,109 184
TOTAL ALL BUDGET FUND GROUPS $ 9,277,865 $ 6,274,109 185


       Section 11. SOA SOUTHERN OHIO AGRICULTURAL AND COMMUNITY187
DEVELOPMENT FOUNDATION188

Tobacco Master Settlement Agreement Fund Group189

5M9 945-601 Operating Expenses $ 421,725 $ 430,277 190
K87 945-602 Southern Ohio Agricultural and Community Development Foundation $ 13,200,000 $ 12,600,000 191
TOTAL TSF Tobacco Master 192
Settlement Agreement Fund 193
Group $ 13,621,725 $ 13,030,277 194
TOTAL ALL BUDGET FUND GROUPS $ 13,621,725 $ 13,030,277 195


       Section 12. TAX DEPARTMENT OF TAXATION197

Tobacco Master Settlement Agreement Fund Group 198
T87 110-402 Tobacco Settlement Enforcement $ 223,563 $ 228,034 199
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 223,563 $ 228,034 200
TOTAL ALL BUDGET FUND GROUPS $ 223,563 $ 228,034 201


       Section 13. TUP TOBACCO USE PREVENTION AND CONTROL FOUNDATION203

Tobacco Master Settlement Agreement Fund Group 204
H87 940-601 Tobacco Use Prevention and Control Foundation $ 0 $ 107,500,000 205
5M8 940-601 Operating Expenses $ 1,273,000 $ 1,298,000 206
TOTAL TSF Tobacco Master Settlement Agreement Fund Group $ 1,273,000 $ 108,798,000 207
TOTAL ALL BUDGET FUND GROUPS $ 1,273,000 $ 108,798,000 208


       Section 14.  All items set forth in this section are hereby210
appropriated out of any moneys in the state treasury to the credit211
of the Education Facilities Trust Fund (Fund N87) that are not212
otherwise appropriated.213

Appropriations

SFC SCHOOL FACILITIES COMMISSION
214

CAP-780 Classroom Facilities Assistance Program $ 243,200,000 215
Total School Facilities Commission $ 243,200,000 216
TOTAL Education Facilities Trust Fund $ 243,200,000 217


       Section 14.01.  Section 14 of this act shall remain in full219
force and effect commencing on July 1, 2004, and terminating on220
June 30, 2006, for the purpose of drawing money from the state221
treasury in payment of liabilities lawfully incurred thereunder,222
and on June 30, 2006, and not before, the moneys appropriated223
thereby shall lapse into the funds from which they are severally224
appropriated.225

       The appropriations made in Section 14 of this act are subject 226
to all provisions of the capital appropriations act governing the227
2004-2006 biennium that are generally applicable to such228
appropriations. Expenditures from appropriations contained in 229
Section 14 shall be accounted for as though made in the capital 230
appropriations act governing the 2004-2006 biennium.231

       Section 15.  PERSONAL SERVICE EXPENSES232

       Unless otherwise prohibited by law, each appropriation in233
this act from which personal service expenses are paid shall bear234
the employer's share of public employees' retirement, workers'235
compensation, disabled workers' relief, and all group insurance236
programs; the costs of centralized accounting, centralized payroll237
processing, and related personnel reports and services; the cost238
of the Office of Collective Bargaining; the cost of the Personnel239
Board of Review; the cost of the Employee Assistance Program; the240
cost of the Equal Opportunity Center; the costs of interagency241
information management infrastructure; and the cost of242
administering the state employee merit system as required by243
section 124.07 of the Revised Code. Such costs shall be determined244
in conformity with appropriate sections of law and paid in245
accordance with procedures specified by the Office of Budget and246
Management.247

       Section 16. REISSUANCE OF VOIDED WARRANTS248

       In order to provide funds for the reissuance of voided 249
warrants pursuant to section 117.47 of the Revised Code, there is 250
appropriated, out of moneys in the state treasury from the fund 251
credited as provided in section 117.47 of the Revised Code, that 252
amount sufficient to pay such warrants when approved by the Office 253
of Budget and Management.254

       Section 17. REAPPROPRIATION OF UNEXPENDED ENCUMBERED BALANCES 255
OF OPERATING APPROPRIATIONS256

       An unexpended balance of an operating appropriation or 257
reappropriation that a state agency lawfully encumbered prior to 258
the close of a fiscal year is reappropriated on the first day of 259
July of the following fiscal year from the fund from which it was 260
originally appropriated or reappropriated for the following period 261
and shall remain available only for the purpose of discharging the 262
encumbrance.263

       (A) For an encumbrance for personal services, maintenance, 264
equipment, or items for resale, other than an encumbrance for an 265
item of special order manufacture not available on term contract 266
or in the open market or for reclamation of land or oil and gas 267
wells, for a period of not more than five months from the end of 268
the fiscal year;269

       (B) For an encumbrance for an item of special order 270
manufacture not available on term contract or in the open market, 271
for a period of not more than five months from the end of the 272
fiscal year or, with the written approval of the Director of 273
Budget and Management, for a period of not more than twelve months 274
from the end of the fiscal year;275

       (C) For an encumbrance for reclamation of land or oil and gas 276
wells, for a period ending when the encumbered appropriation is 277
expended or for a period of two years, whichever is less;278

       (D) For an encumbrance for any other expense, for such period 279
as the Director of Budget and Management approves, provided such 280
period does not exceed two years.281

       Any operating appropriations for which unexpended balances 282
are reappropriated beyond a five-month period from the end of the 283
fiscal year pursuant to division (B) of this section shall be 284
reported to the Controlling Board by the Director of Budget and 285
Management by the thirty-first day of December of each year. The 286
report on each such item shall include the item, the cost of the 287
item, and the name of the vendor. This report to the Controlling 288
Board shall be updated on a quarterly basis for encumbrances 289
remaining open.290

       Upon the expiration of the reappropriation period set out in 291
division (A), (B), (C), or (D) of this section, a reappropriation 292
made pursuant to this section lapses, and the Director of Budget 293
and Management shall cancel the encumbrance of the unexpended 294
reappropriation not later than the end of the weekend following 295
the expiration of the reappropriation period.296

       Notwithstanding the preceding paragraph, with the approval of 297
the Director of Budget and Management, an unexpended balance of an 298
encumbrance that was reappropriated on the first day of July 299
pursuant to this section for a period specified in division (C) or 300
(D) of this section and that remains encumbered at the close of 301
the fiscal biennium is hereby reappropriated pursuant to this 302
section on the first day of July of the following fiscal biennium 303
from the fund from which it was originally appropriated or 304
reappropriated for the applicable period specified in division (C) 305
or (D) of this section and shall remain available only for the 306
purpose of discharging the encumbrance.307

       If the Controlling Board approved a purchase, that approval 308
remains in effect as long as the appropriation used to make that 309
purchase remains encumbered.310

       Section 18.  Except as otherwise specifically provided in311
this act, the codified and uncodified sections of law contained in312
this act, and the items of law of which the codified and313
uncodified sections of law contained in this act are composed, are314
subject to the referendum. Therefore, under Ohio Constitution,315
Article II, Section 1c and section 1.471 of the Revised Code, the316
codified and uncodified sections of law contained in this act, and317
the items of law of which the codified and uncodified sections of318
law contained in this act are composed, take effect on the319
ninety-first day after this act is filed with the Secretary of320
State. If, however, a referendum petition is filed against any321
such codified or uncodified section of law contained in this act,322
or against any item of law of which any such codified or323
uncodified section of law contained in this act is composed, the324
codified or uncodified section of law, or item of law, unless325
rejected at the referendum, takes effect at the earliest time326
permitted by law.327

       Section 19. If any item of law that constitutes the whole or 328
part of a codified or uncodified section of law contained in this 329
act, or if any application of any item of law that constitutes the 330
whole or part of a codified or uncodified section of law contained 331
in this act, is held invalid, the invalidity does not affect other 332
items of law or applications of items of law that can be given 333
effect without the invalid item of law or application. To this 334
end, the items of law of which the codified and uncodified 335
sections of law contained in this act are composed, and their 336
applications, are independent and severable.337