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| To amend sections 151.01, 151.02, 184.01, 184.02, and | 1 |
| 184.03 and to enact sections 122.085, 122.086, | 2 |
| 122.087, 122.088, 122.089, 122.0810, 122.0811, | 3 |
| 122.0812, 122.0813, 122.0814, 122.0815, 122.0816, | 4 |
| 122.0817, 122.0818, 122.0819, 122.0820, 151.10, | 5 |
| 151.11, 184.10, 184.11, 184.111, 184.112, 184.113, | 6 |
| 184.114, 184.115, 184.12, 184.13, 184.14, 184.15, | 7 |
| 184.16, 184.17, 184.171, 184.172, 184.173, and | 8 |
| 184.18 of the Revised Code, and to amend sections | 9 |
| 203.99, 203.99.33, 203.99.51, and 209.99 of Am. | 10 |
| Sub. H.B. 66 of the 126th General Assembly to | 11 |
| implement certain provisions of Article VIII, | 12 |
| Section 2p of the Ohio Constitution regarding the | 13 |
| issuance of obligations to support research and | 14 |
| development projects and the development of | 15 |
| certain sites and facilities and to make an | 16 |
| appropriation. | 17 |
| Section 1. That sections 151.01, 151.02, 184.01, 184.02, and | 18 |
| 184.03 be amended and sections 122.085, 122.086, 122.087, 122.088, | 19 |
| 122.089, 122.0810, 122.0811, 122.0812, 122.0813, 122.0814, | 20 |
| 122.0815, 122.0816, 122.0817, 122.0818, 122.0819, 122.0820, | 21 |
| 151.10, 151.11, 184.10, 184.11, 184.111, 184.112, 184.113, | 22 |
| 184.114, 184.115, 184.12, 184.13, 184.14, 184.15, 184.16, 184.17, | 23 |
| 184.171, 184.172, 184.173, and 184.18 of the Revised Code be | 24 |
| enacted to read as follows: | 25 |
| Sec. 122.085. As used in sections 122.085 to 122.0820 of the | 26 |
| Revised Code: | 27 |
| (A)(1) "Allowable costs" includes costs related to the | 28 |
| following: | 29 |
| (a) Acquisition of land and buildings; | 30 |
| (b) Building construction; | 31 |
| (c) Making improvements to land and buildings, including the | 32 |
| following: | 33 |
| (i) Expanding, remodeling, renovating, and modernizing | 34 |
| buildings and structures, including leasehold improvements; | 35 |
| (ii) Site preparation, including wetland mitigation. | 36 |
| (d) Remediation, in compliance with state and federal | 37 |
| environmental protection laws, of environmentally contaminated | 38 |
| property on which hazardous substances exist under conditions that | 39 |
| have caused or would likely cause the property to be identified as | 40 |
| contaminated by the Ohio environmental protection agency or the | 41 |
| United States environmental protection agency; | 42 |
| (e) Infrastructure improvements, including the following: | 43 |
| (i) Demolition of buildings and other structures; | 44 |
| (ii) Installation or relocation of water, storm water and | 45 |
| sanitary sewer lines, water and waste water treatment facilities, | 46 |
| pump stations, and water storage mechanisms and other similar | 47 |
| equipment or facilities; | 48 |
| (iii) Construction of roads, bridges, traffic control | 49 |
| devices, and parking lots and facilities; | 50 |
| (iv) Construction of utility infrastructure such as natural | 51 |
| gas, electric, and telecommunications, including broadband and | 52 |
| hookups; | 53 |
| (v) Water and railway access improvements; | 54 |
| (vi) Costs of professional services. | 55 |
| (2) "Allowable costs" do not include administrative costs | 56 |
| assessed by or fees paid to the recipient of a grant. | 57 |
| (B) "District public works integrating committees" means | 58 |
| those committees established under section 164.04 of the Revised | 59 |
| Code. | 60 |
| (C) "Eligible applicant" includes any political subdivision | 61 |
| or non-profit economic development organization, and, with prior | 62 |
| approval of the director of development, private, for-profit | 63 |
| entities. | 64 |
| (D) "Eligible project" includes projects that, upon | 65 |
| completion, will be sites and facilities primarily intended for | 66 |
| commercial, industrial, or manufacturing use. "Eligible projects" | 67 |
| do not include sites and facilities intended primarily for | 68 |
| residential, retail, or government use. | 69 |
| (E) "Professional services" includes legal, environmental, | 70 |
| archeological, engineering, or other similar services performed in | 71 |
| conjunction with an eligible project. | 72 |
| Sec. 122.086. There is hereby created the job ready site | 73 |
| program to provide grants to pay for allowable costs of eligible | 74 |
| applicants for eligible projects. The program shall be | 75 |
| administered by the department of development pursuant to | 76 |
| guidelines established for it by the director of development. All | 77 |
| grants shall be awarded through one of the following two | 78 |
| processes: | 79 |
| (A) The annual competitive process under sections 122.087 to | 80 |
| 122.0811 and 122.0814 of the Revised Code; | 81 |
| (B) The discretionary process under sections 122.0812, | 82 |
| 122.0813, and 122.0814 of the Revised Code. | 83 |
| Sec. 122.087. The director of development shall establish an | 84 |
| annual competitive process for making grants described in section | 85 |
| 122.086 of the Revised Code. At least two-thirds of the amounts | 86 |
| that may be distributed as grants each year under the job ready | 87 |
| site program shall be distributed under the annual competitive | 88 |
| process. | 89 |
| Sec. 122.088. In order to be considered for a grant under | 90 |
| the annual competitive process, an eligible applicant shall fill | 91 |
| out an application provided by the department of development and | 92 |
| shall file it with the district public works integrating committee | 93 |
| with jurisdiction over the area in which the eligible project is | 94 |
| located. | 95 |
| Sec. 122.089. An eligible applicant shall provide all of the | 96 |
| following on the annual competitive process application: | 97 |
| (A) Contact information for the eligible applicant; | 98 |
| (B) A legal description of the property for which the grant | 99 |
| is requested; | 100 |
| (C) A summary of the proposed eligible project that includes | 101 |
| all of the following: | 102 |
| (1) A general description of the eligible project, including | 103 |
| individuals, organizations, or other entities that will play a | 104 |
| critical role in the implementation of the project; | 105 |
| (2) An explanation of the need for the eligible project, and | 106 |
| the predicted economic impact; | 107 |
| (3) An explanation of the need for a grant from the job ready | 108 |
| site program; | 109 |
| (4) The commitments required pursuant to division (A)(3) of | 110 |
| section 122.0815 of the Revised Code. | 111 |
| (D) A detailed summary of costs for the eligible project, | 112 |
| including supporting documents for cost estimates; | 113 |
| (E) Sources of funding for the eligible project, including | 114 |
| documentation verifying the status of those funds; | 115 |
| (F) Summary results of preliminary engineering studies and | 116 |
| environmental reviews, if any have been conducted; | 117 |
| (G) A comprehensive marketing plan detailing how the eligible | 118 |
| project will be marketed upon completion, if appropriate; | 119 |
| (H) Copies of resolutions or ordinances related to the | 120 |
| eligible project, including resolutions or ordinances adopted by | 121 |
| the political subdivision with jurisdiction over the geographic | 122 |
| area in which the eligible project is located; | 123 |
| (I) Any other information the director requests on the | 124 |
| application form. | 125 |
| Sec. 122.0810. (A) Each application for a grant pursuant to | 126 |
| the annual competitive process received by a district public works | 127 |
| integrating committee shall be evaluated by the executive | 128 |
| committee of the district committee. In conducting the evaluation, | 129 |
| the executive committee shall determine whether the application | 130 |
| for the proposed eligible project is complete and whether the | 131 |
| project meets the requirements of section 122.0815 of the Revised | 132 |
| Code. If the application is complete and the eligible project | 133 |
| meets the requirements of section 122.0815 of the Revised Code, | 134 |
| the executive committee shall prioritize the eligible project | 135 |
| pursuant to section 122.0816 of the Revised Code and pursuant to | 136 |
| local priorities, as those priorities are determined by the | 137 |
| executive committee, with all other eligible projects with | 138 |
| complete applications that meet the requirements of section | 139 |
| 122.0815 of the Revised Code. If the application is incomplete or | 140 |
| the project does not meet the requirements of section 122.0815 of | 141 |
| the Revised Code, the executive committee shall notify the | 142 |
| applicant of the deficiencies and the period of time the applicant | 143 |
| has to correct the deficiencies and submit the corrections to the | 144 |
| executive committee. Failure to correct deficiencies within the | 145 |
| time designated by the executive committee shall disqualify the | 146 |
| project from consideration for a grant during the annual | 147 |
| competitive process for that year. | 148 |
| The executive committee, by the affirmative vote of a | 149 |
| majority of all its members, shall select three eligible projects | 150 |
| from the projects it has prioritized each year pursuant to the | 151 |
| annual competitive process. The executive committee shall forward | 152 |
| the applications and any accompanying information for each of the | 153 |
| selected eligible projects to the department of development in the | 154 |
| time and manner required by the guidelines governing the job ready | 155 |
| site program. | 156 |
| (B) For a district public works integrating committee that | 157 |
| does not have an executive committee, the full committee shall | 158 |
| perform the functions assigned to the executive committee under | 159 |
| section 122.0816 of the Revised Code and division (A) of this | 160 |
| section. | 161 |
| (C) An executive committee, or a district committee that does | 162 |
| not have an executive committee, may appoint a working group of | 163 |
| committee members and staff to perform the functions of those | 164 |
| committees as provided in this section. | 165 |
| Sec. 122.0811. The department of development shall evaluate | 166 |
| each eligible project selected pursuant to section 122.0810 of the | 167 |
| Revised Code to determine whether the application for the proposed | 168 |
| eligible project is complete and whether it meets the requirements | 169 |
| of section 122.0815 of the Revised Code. If the application is | 170 |
| complete and the project meets the requirements of section | 171 |
| 122.0815 of the Revised Code, the department shall notify the | 172 |
| eligible applicant that the application is complete and shall | 173 |
| prioritize the eligible project pursuant to section 122.0816 of | 174 |
| the Revised Code with all other eligible projects with complete | 175 |
| applications that meet the requirements. If the application is | 176 |
| incomplete or the project does not meet the requirements of | 177 |
| section 122.0815 of the Revised Code, the department shall notify | 178 |
| the applicant of the deficiencies and the period of time the | 179 |
| applicant has to correct the deficiencies and submit the | 180 |
| corrections to the department. Failure to correct deficiencies | 181 |
| within the time designated by the department shall disqualify the | 182 |
| project from consideration for a grant during the annual | 183 |
| competitive process for that year. | 184 |
| The director, on completion of the evaluations and | 185 |
| prioritization, shall make a recommendation to the controlling | 186 |
| board asking for approval to make grants for the eligible projects | 187 |
| selected by the director. The director shall take into | 188 |
| consideration the geographic diversity of awards when making the | 189 |
| selection of eligible projects to receive grants. | 190 |
| Sec. 122.0812. The director of development shall establish a | 191 |
| discretionary process that permits the director to make grants | 192 |
| described in section 122.086 of the Revised Code in situations | 193 |
| that include those in which the timing of a proposed eligible | 194 |
| project is such that the annual competitive process is not | 195 |
| suitable. The director, as part of the guidelines established for | 196 |
| the job ready site program, shall establish all the procedures and | 197 |
| requirements governing application for the discretionary grants. | 198 |
| Sec. 122.0813. On receipt of an application for a | 199 |
| discretionary grant for an eligible project, the director of | 200 |
| development shall evaluate it to determine whether the application | 201 |
| for the proposed eligible project is complete and whether the | 202 |
| eligible project meets the requirements of section 122.0815 of the | 203 |
| Revised Code. If the application is complete and the project meets | 204 |
| the requirements of section 122.0815 of the Revised Code, the | 205 |
| director may make a recommendation to the controlling board asking | 206 |
| for approval to make the discretionary grant for the eligible | 207 |
| project. If the application is incomplete or the project does not | 208 |
| meet the requirements of section 122.0815 of the Revised Code, the | 209 |
| department shall notify the applicant of the deficiencies and work | 210 |
| with the applicant to correct the deficiencies. If the | 211 |
| deficiencies are corrected, the director may make a recommendation | 212 |
| to the controlling board asking for approval to make the | 213 |
| discretionary grant for the eligible project. | 214 |
| Sec. 122.0814. If the controlling board approves a grant for | 215 |
| an eligible project pursuant to the annual competitive process or | 216 |
| the discretionary process, the director of development shall enter | 217 |
| into an agreement with the eligible applicant to provide the grant | 218 |
| for the project. The agreement shall be executed prior to the | 219 |
| payment or disbursement of any funds under the grant and shall | 220 |
| contain the following provisions: | 221 |
| (A) A designation of a single officer or employee of the | 222 |
| eligible applicant who will serve as the manager of the eligible | 223 |
| project; | 224 |
| (B) A detailed description of the scope of the work required | 225 |
| under the eligible project, including anticipated sources and uses | 226 |
| of funds; | 227 |
| (C) A designation of the percentage of the estimated total | 228 |
| cost of the project for which the grant will provide funding, | 229 |
| which shall not exceed seventy-five per cent of the cost; | 230 |
| (D) Provisions for the recovery by the department of grant | 231 |
| funds for failure to meet the terms of the agreement; | 232 |
| (E) A requirement that annual reports be made by the eligible | 233 |
| applicant on the progress of the eligible project and any other | 234 |
| information about the status of the project as required by the | 235 |
| guidelines established for the job ready site program; | 236 |
| (F) Any other provisions the director determines necessary. | 237 |
| Sec. 122.0815. (A) A project shall meet the following | 238 |
| requirements in order to be considered for a grant under the | 239 |
| annual competitive process: | 240 |
| (1) The application for the grant is made by an eligible | 241 |
| applicant. | 242 |
| (2) The project for which the application is made is an | 243 |
| eligible project. | 244 |
| (3) The eligible applicant commits to all the following: | 245 |
| (a) To use the grant to pay only allowable costs for the | 246 |
| eligible project; | 247 |
| (b) Not to use the grant to fund more than seventy-five per | 248 |
| cent of the total cost of the eligible project; | 249 |
| (c) Not to use more than ten per cent of the grant amount to | 250 |
| pay the costs of professional services under the eligible project. | 251 |
| (4) The grant amount requested does not exceed five million | 252 |
| dollars. | 253 |
| (5) The eligible applicant and the eligible project comply | 254 |
| with any other criteria the director of development determines is | 255 |
| necessary. | 256 |
| (B) A project shall meet the requirements described in | 257 |
| divisions (A)(1) to (3) of this section in order to be considered | 258 |
| for a grant under the discretionary process. | 259 |
| Sec. 122.0816. The department of development and the | 260 |
| executive committees of district public works integrating | 261 |
| committees shall apply the following factors to eligible projects | 262 |
| under the annual competitive process to determine a priority order | 263 |
| for the eligible projects subject to that process: | 264 |
| (A) The potential economic impact of the eligible project; | 265 |
| (B) The amount of local, federal, and private funding | 266 |
| available for the eligible project; | 267 |
| (C) The demonstrated need for the eligible project; | 268 |
| (D) The strength of the eligible project's marketing plan, if | 269 |
| appropriate; | 270 |
| (E) The level of financial need; | 271 |
| (F) Any other factor the director of development determines | 272 |
| should be considered. | 273 |
| Sec. 122.0817. In accordance with the guidelines established | 274 |
| to govern the job ready site program, the director of development | 275 |
| shall publish an annual report that includes details on each grant | 276 |
| awarded pursuant to the program and the status of projects funded | 277 |
| in previous years. | 278 |
| Sec. 122.0818. Eligible projects that receive a grant | 279 |
| pursuant to the job ready site program are public improvements | 280 |
| pursuant to section 4115.03 of the Revised Code and shall be | 281 |
| subject to the prevailing wage requirements of section 4115.04 of | 282 |
| the Revised Code. | 283 |
| Sec. 122.0819. The guidelines established to govern the job | 284 |
| ready site program may provide for recovery of the costs, or a | 285 |
| portion thereof, incurred by district public works integrating | 286 |
| committees and executive committees in conducting their duties | 287 |
| under the program. | 288 |
| Sec. 122.0820. The job ready site development fund is hereby | 289 |
| created in the state treasury. The fund shall consist of the net | 290 |
| proceeds of obligations issued and sold by the issuing authority | 291 |
| pursuant to sections 151.01 and 151.11 of the Revised Code. | 292 |
| Investment earnings of the fund shall be credited to the fund. | 293 |
| Moneys in the fund shall be used to make grants for eligible | 294 |
| projects pursuant to sections 122.085 to 122.0820 of the Revised | 295 |
| Code and associated administrative expenses. | 296 |
| Sec. 151.01. (A) As used in sections 151.01 to
| 297 |
| and 151.40 of the Revised Code and in the applicable bond | 298 |
| proceedings unless otherwise provided: | 299 |
| (1) "Bond proceedings" means the resolutions, orders, | 300 |
| agreements, and credit enhancement facilities, and amendments and | 301 |
| supplements to them, or any one or more or combination of them, | 302 |
| authorizing, awarding, or providing for the terms and conditions | 303 |
| applicable to or providing for the security or liquidity of, the | 304 |
| particular obligations, and the provisions contained in those | 305 |
| obligations. | 306 |
| (2) "Bond service fund" means the respective bond service | 307 |
| fund created by section 151.03, 151.04, 151.05, 151.06, 151.07, | 308 |
| 151.08, 151.09, 151.10, 151.11, or 151.40 of the Revised Code, and | 309 |
| any accounts in that fund, including all moneys and investments, | 310 |
| and earnings from investments, credited and to be credited to that | 311 |
| fund and accounts as and to the extent provided in the applicable | 312 |
| bond proceedings. | 313 |
| (3) "Capital facilities" means capital facilities or projects | 314 |
| as referred to in section 151.03, 151.04, 151.05, 151.06, 151.07, | 315 |
| 151.08, 151.09, 151.10, 151.11, or 151.40 of the Revised Code. | 316 |
| (4) "Costs of capital facilities" means the costs of | 317 |
| acquiring, constructing, reconstructing, rehabilitating, | 318 |
| remodeling, renovating, enlarging, improving, equipping, or | 319 |
| furnishing capital facilities, and of the financing of those | 320 |
| costs. "Costs of capital facilities" includes, without limitation, | 321 |
| and in addition to costs referred to in section 151.03, 151.04, | 322 |
| 151.05, 151.06, 151.07, 151.08, 151.09, 151.10, 151.11, or 151.40 | 323 |
| of the Revised Code, the cost of clearance and preparation of the | 324 |
| site and of any land to be used in connection with capital | 325 |
| facilities, the cost of any indemnity and surety bonds and | 326 |
| premiums on insurance, all related direct administrative expenses | 327 |
| and allocable portions of direct costs of the issuing authority, | 328 |
| costs of engineering and architectural services, designs, plans, | 329 |
| specifications, surveys, and estimates of cost, financing costs, | 330 |
| interest on obligations from their date to the time when interest | 331 |
| is to be paid from sources other than proceeds of obligations, | 332 |
| amounts necessary to establish any reserves as required by the | 333 |
| bond proceedings, the reimbursement of all moneys advanced or | 334 |
| applied by or borrowed from any person or governmental agency or | 335 |
| entity for the payment of any item of costs of capital facilities, | 336 |
| and all other expenses necessary or incident to planning or | 337 |
| determining feasibility or practicability with respect to capital | 338 |
| facilities, and such other expenses as may be necessary or | 339 |
| incident to the acquisition, construction, reconstruction, | 340 |
| rehabilitation, remodeling, renovation, enlargement, improvement, | 341 |
| equipment, and furnishing of capital facilities, the financing of | 342 |
| those costs, and the placing of the capital facilities in use and | 343 |
| operation, including any one, part of, or combination of those | 344 |
| classes of costs and expenses. | 345 |
| (5) "Credit enhancement facilities," "financing costs," and | 346 |
| "interest" or "interest equivalent" have the same meanings as in | 347 |
| section 133.01 of the Revised Code. | 348 |
| (6) "Debt service" means principal, including any mandatory | 349 |
| sinking fund or redemption requirements for retirement of | 350 |
| obligations, interest and other accreted amounts, interest | 351 |
| equivalent, and any redemption premium, payable on obligations. If | 352 |
| not prohibited by the applicable bond proceedings, debt service | 353 |
| may include costs relating to credit enhancement facilities that | 354 |
| are related to and represent, or are intended to provide a source | 355 |
| of payment of or limitation on, other debt service. | 356 |
| (7) "Issuing authority" means the Ohio public facilities | 357 |
| commission created in section 151.02 of the Revised Code for | 358 |
| obligations issued under section 151.03, 151.04, 151.05, 151.07, | 359 |
|
151.08, | 360 |
| treasurer of state, or the officer who by law performs the | 361 |
| functions of that office, for obligations issued under section | 362 |
| 151.06 or 151.40 of the Revised Code. | 363 |
| (8) "Net proceeds" means amounts received from the sale of | 364 |
| obligations, excluding amounts used to refund or retire | 365 |
| outstanding obligations, amounts required to be deposited into | 366 |
| special funds pursuant to the applicable bond proceedings, and | 367 |
| amounts to be used to pay financing costs. | 368 |
| (9) "Obligations" means bonds, notes, or other evidences of | 369 |
| obligation of the state, including any appertaining interest | 370 |
| coupons, issued under Section 2k, 2l, 2m, 2n, 2o, 2p, or 15 of | 371 |
| Article VIII, Ohio Constitution, and pursuant to sections 151.01 | 372 |
| to
| 373 |
| assembly authorization. | 374 |
| (10) "Principal amount" means the aggregate of the amount as | 375 |
| stated or provided for in the applicable bond proceedings as the | 376 |
| amount on which interest or interest equivalent on particular | 377 |
| obligations is initially calculated. Principal amount does not | 378 |
| include any premium paid to the state by the initial purchaser of | 379 |
| the obligations. "Principal amount" of a capital appreciation | 380 |
| bond, as defined in division (C) of section 3334.01 of the Revised | 381 |
| Code, means its face amount, and "principal amount" of a zero | 382 |
| coupon bond, as defined in division (J) of section 3334.01 of the | 383 |
| Revised Code, means the discounted offering price at which the | 384 |
| bond is initially sold to the public, disregarding any purchase | 385 |
| price discount to the original purchaser, if provided for pursuant | 386 |
| to the bond proceedings. | 387 |
| (11) "Special funds" or "funds," unless the context indicates | 388 |
| otherwise, means the bond service fund, and any other funds, | 389 |
| including any reserve funds, created under the bond proceedings | 390 |
| and stated to be special funds in those proceedings, including | 391 |
| moneys and investments, and earnings from investments, credited | 392 |
| and to be credited to the particular fund. Special funds do not | 393 |
| include the school building program assistance fund created by | 394 |
| section 3318.25 of the Revised Code, the higher education | 395 |
| improvement fund created by division (F) of section 154.21 of the | 396 |
| Revised Code, the highway capital improvement bond fund created by | 397 |
| section 5528.53 of the Revised Code, the state parks and natural | 398 |
| resources fund created by section 1557.02 of the Revised Code, the | 399 |
| coal research and development fund created by section 1555.15 of | 400 |
| the Revised Code, the clean Ohio conservation fund created by | 401 |
| section 164.27 of the Revised Code, the clean Ohio revitalization | 402 |
| fund created by section 122.658 of the Revised Code, the job ready | 403 |
| site development fund created by section 122.0820 of the Revised | 404 |
| Code, the third frontier research and development fund created by | 405 |
| section 184.18 of the Revised Code, or other funds created by the | 406 |
| bond proceedings that are not stated by those proceedings to be | 407 |
| special funds. | 408 |
| (B) Subject to Section 2l, 2m, 2n, 2o, 2p, or 15, and Section | 409 |
| 17, of Article VIII, Ohio Constitution, the state, by the issuing | 410 |
| authority, is authorized to issue and sell, as provided in | 411 |
|
sections 151.03 to
| 412 |
| and in respective aggregate principal amounts as from time to time | 413 |
| provided or authorized by the general assembly, general | 414 |
| obligations of this state for the purpose of paying costs of | 415 |
| capital facilities or projects identified by or pursuant to | 416 |
| general assembly action. | 417 |
| (C) Each issue of obligations shall be authorized by | 418 |
| resolution or order of the issuing authority. The bond proceedings | 419 |
| shall provide for or authorize the manner for determining the | 420 |
| principal amount or maximum principal amount of obligations of an | 421 |
| issue, the principal maturity or maturities, the interest rate or | 422 |
| rates, the date of and the dates of payment of interest on the | 423 |
| obligations, their denominations, and the place or places of | 424 |
| payment of debt service which may be within or outside the state. | 425 |
| Unless otherwise provided by law, the latest principal maturity | 426 |
| may not be later than the earlier of the thirty-first day of | 427 |
| December of the twenty-fifth calendar year after the year of | 428 |
| issuance of the particular obligations or of the twenty-fifth | 429 |
| calendar year after the year in which the original obligation to | 430 |
| pay was issued or entered into. Sections 9.96, 9.98, 9.981, 9.982, | 431 |
| and 9.983 of the Revised Code apply to obligations. The purpose of | 432 |
| the obligations may be stated in the bond proceedings in general | 433 |
| terms, such as, as applicable, "financing or assisting in the | 434 |
| financing of projects as provided in Section 2l of Article VIII, | 435 |
| Ohio Constitution," "financing or assisting in the financing of | 436 |
| highway capital improvement projects as provided in Section 2m of | 437 |
| Article VIII, Ohio Constitution," "paying costs of capital | 438 |
| facilities for a system of common schools throughout the state as | 439 |
| authorized by Section 2n of Article VIII, Ohio Constitution," | 440 |
| "paying costs of capital facilities for state-supported and | 441 |
| state-assisted institutions of higher education as authorized by | 442 |
| Section 2n of Article VIII, Ohio Constitution," "paying costs of | 443 |
| coal research and development as authorized by Section 15 of | 444 |
| Article VIII, Ohio Constitution," "financing or assisting in the | 445 |
| financing of local subdivision capital improvement projects as | 446 |
| authorized by Section 2m of Article VIII, Ohio Constitution," | 447 |
| "paying costs of conservation projects as authorized by Section 2o | 448 |
|
of Article VIII, Ohio Constitution,"
| 449 |
| revitalization projects as authorized by Section 2o of Article | 450 |
| VIII, Ohio Constitution," "paying costs of preparing sites for | 451 |
| industry, commerce, distribution, or research and development as | 452 |
| authorized by Section 2p of Article VIII, Ohio Constitution," or | 453 |
| "paying costs of research and development as authorized by Section | 454 |
| 2p of Article VIII, Ohio Constitution." | 455 |
| (D) The issuing authority may appoint or provide for the | 456 |
| appointment of paying agents, bond registrars, securities | 457 |
| depositories, clearing corporations, and transfer agents, and may | 458 |
| without need for any other approval retain or contract for the | 459 |
| services of underwriters, investment bankers, financial advisers, | 460 |
| accounting experts, marketing, remarketing, indexing, and | 461 |
| administrative agents, other consultants, and independent | 462 |
| contractors, including printing services, as are necessary in the | 463 |
| judgment of the issuing authority to carry out the issuing | 464 |
| authority's functions under this chapter. When the issuing | 465 |
| authority is the Ohio public facilities commission, the issuing | 466 |
| authority also may without need for any other approval retain or | 467 |
| contract for the services of attorneys and other professionals for | 468 |
| that purpose. Financing costs are payable, as may be provided in | 469 |
| the bond proceedings, from the proceeds of the obligations, from | 470 |
| special funds, or from other moneys available for the purpose. | 471 |
| (E) The bond proceedings may contain additional provisions | 472 |
| customary or appropriate to the financing or to the obligations or | 473 |
| to particular obligations including, but not limited to, | 474 |
| provisions for: | 475 |
| (1) The redemption of obligations prior to maturity at the | 476 |
| option of the state or of the holder or upon the occurrence of | 477 |
| certain conditions, and at particular price or prices and under | 478 |
| particular terms and conditions; | 479 |
| (2) The form of and other terms of the obligations; | 480 |
| (3) The establishment, deposit, investment, and application | 481 |
| of special funds, and the safeguarding of moneys on hand or on | 482 |
| deposit, in lieu of the applicability of provisions of Chapter | 483 |
| 131. or 135. of the Revised Code, but subject to any special | 484 |
|
provisions of
sections 151.01 to
| 485 |
| Revised Code with respect to the application of particular funds | 486 |
| or moneys. Any financial institution that acts as a depository of | 487 |
| any moneys in special funds or other funds under the bond | 488 |
| proceedings may furnish indemnifying bonds or pledge securities as | 489 |
| required by the issuing authority. | 490 |
| (4) Any or every provision of the bond proceedings being | 491 |
| binding upon the issuing authority and upon such governmental | 492 |
| agency or entity, officer, board, commission, authority, agency, | 493 |
| department, institution, district, or other person or body as may | 494 |
| from time to time be authorized to take actions as may be | 495 |
| necessary to perform all or any part of the duty required by the | 496 |
| provision; | 497 |
| (5) The maintenance of each pledge or instrument comprising | 498 |
| part of the bond proceedings until the state has fully paid or | 499 |
| provided for the payment of the debt service on the obligations or | 500 |
| met other stated conditions; | 501 |
| (6) In the event of default in any payments required to be | 502 |
| made by the bond proceedings, or by any other agreement of the | 503 |
| issuing authority made as part of a contract under which the | 504 |
| obligations were issued or secured, including a credit enhancement | 505 |
| facility, the enforcement of those payments by mandamus, a suit in | 506 |
| equity, an action at law, or any combination of those remedial | 507 |
| actions; | 508 |
| (7) The rights and remedies of the holders or owners of | 509 |
| obligations or of book-entry interests in them, and of third | 510 |
| parties under any credit enhancement facility, and provisions for | 511 |
| protecting and enforcing those rights and remedies, including | 512 |
| limitations on rights of individual holders or owners; | 513 |
| (8) The replacement of mutilated, destroyed, lost, or stolen | 514 |
| obligations; | 515 |
| (9) The funding, refunding, or advance refunding, or other | 516 |
| provision for payment, of obligations that will then no longer be | 517 |
| outstanding for purposes of this section or of the applicable bond | 518 |
| proceedings; | 519 |
| (10) Amendment of the bond proceedings; | 520 |
| (11) Any other or additional agreements with the owners of | 521 |
| obligations, and such other provisions as the issuing authority | 522 |
| determines, including limitations, conditions, or qualifications, | 523 |
| relating to any of the foregoing. | 524 |
| (F) The great seal of the state or a facsimile of it may be | 525 |
| affixed to or printed on the obligations. The obligations | 526 |
| requiring execution by or for the issuing authority shall be | 527 |
| signed as provided in the bond proceedings. Any obligations may be | 528 |
| signed by the individual who on the date of execution is the | 529 |
| authorized signer although on the date of these obligations that | 530 |
| individual is not an authorized signer. In case the individual | 531 |
| whose signature or facsimile signature appears on any obligation | 532 |
| ceases to be an authorized signer before delivery of the | 533 |
| obligation, that signature or facsimile is nevertheless valid and | 534 |
| sufficient for all purposes as if that individual had remained the | 535 |
| authorized signer until delivery. | 536 |
| (G) Obligations are investment securities under Chapter 1308. | 537 |
| of the Revised Code. Obligations may be issued in bearer or in | 538 |
| registered form, registrable as to principal alone or as to both | 539 |
| principal and interest, or both, or in certificated or | 540 |
| uncertificated form, as the issuing authority determines. | 541 |
| Provision may be made for the exchange, conversion, or transfer of | 542 |
| obligations and for reasonable charges for registration, exchange, | 543 |
| conversion, and transfer. Pending preparation of final | 544 |
| obligations, the issuing authority may provide for the issuance of | 545 |
| interim instruments to be exchanged for the final obligations. | 546 |
| (H) Obligations may be sold at public sale or at private | 547 |
| sale, in such manner, and at such price at, above or below par, | 548 |
| all as determined by and provided by the issuing authority in the | 549 |
| bond proceedings. | 550 |
| (I) Except to the extent that rights are restricted by the | 551 |
| bond proceedings, any owner of obligations or provider of a credit | 552 |
| enhancement facility may by any suitable form of legal proceedings | 553 |
| protect and enforce any rights relating to obligations or that | 554 |
| facility under the laws of this state or granted by the bond | 555 |
| proceedings. Those rights include the right to compel the | 556 |
| performance of all applicable duties of the issuing authority and | 557 |
| the state. Each duty of the issuing authority and that authority's | 558 |
| officers, staff, and employees, and of each state entity or | 559 |
| agency, or using district or using institution, and its officers, | 560 |
| members, staff, or employees, undertaken pursuant to the bond | 561 |
| proceedings, is hereby established as a duty of the entity or | 562 |
| individual having authority to perform that duty, specifically | 563 |
| enjoined by law and resulting from an office, trust, or station | 564 |
| within the meaning of section 2731.01 of the Revised Code. The | 565 |
| individuals who are from time to time the issuing authority, | 566 |
| members or officers of the issuing authority, or those members' | 567 |
|
designees acting pursuant to
section | 568 |
| Code, or the issuing authority's officers, staff, or employees, | 569 |
| are not liable in their personal capacities on any obligations or | 570 |
| otherwise under the bond proceedings. | 571 |
| (J)(1) Subject to Section 2k, 2l, 2m, 2n, 2o, 2p, or 15, and | 572 |
| Section 17, of Article VIII, Ohio Constitution and sections 151.01 | 573 |
|
to
| 574 |
| authority may, in addition to the authority referred to in | 575 |
| division (B) of this section, authorize and provide for the | 576 |
| issuance of: | 577 |
| (a) Obligations in the form of bond anticipation notes, and | 578 |
| may provide for the renewal of those notes from time to time by | 579 |
| the issuance of new notes. The holders of notes or appertaining | 580 |
| interest coupons have the right to have debt service on those | 581 |
| notes paid solely from the moneys and special funds that are or | 582 |
| may be pledged to that payment, including the proceeds of bonds or | 583 |
| renewal notes or both, as the issuing authority provides in the | 584 |
| bond proceedings authorizing the notes. Notes may be additionally | 585 |
| secured by covenants of the issuing authority to the effect that | 586 |
| the issuing authority and the state will do all things necessary | 587 |
| for the issuance of bonds or renewal notes in such principal | 588 |
| amount and upon such terms as may be necessary to provide moneys | 589 |
| to pay when due the debt service on the notes, and apply their | 590 |
| proceeds to the extent necessary, to make full and timely payment | 591 |
| of debt service on the notes as provided in the applicable bond | 592 |
| proceedings. In the bond proceedings authorizing the issuance of | 593 |
| bond anticipation notes the issuing authority shall set forth for | 594 |
| the bonds anticipated an estimated schedule of annual principal | 595 |
| payments the latest of which shall be no later than provided in | 596 |
| division (C) of this section. While the notes are outstanding | 597 |
| there shall be deposited, as shall be provided in the bond | 598 |
| proceedings for those notes, from the sources authorized for | 599 |
| payment of debt service on the bonds, amounts sufficient to pay | 600 |
| the principal of the bonds anticipated as set forth in that | 601 |
| estimated schedule during the time the notes are outstanding, | 602 |
| which amounts shall be used solely to pay the principal of those | 603 |
| notes or of the bonds anticipated. | 604 |
| (b) Obligations for the refunding, including funding and | 605 |
| retirement, and advance refunding with or without payment or | 606 |
| redemption prior to maturity, of any obligations previously | 607 |
| issued. Refunding obligations may be issued in amounts sufficient | 608 |
| to pay or to provide for repayment of the principal amount, | 609 |
| including principal amounts maturing prior to the redemption of | 610 |
| the remaining prior obligations, any redemption premium, and | 611 |
| interest accrued or to accrue to the maturity or redemption date | 612 |
| or dates, payable on the prior obligations, and related financing | 613 |
| costs and any expenses incurred or to be incurred in connection | 614 |
| with that issuance and refunding. Subject to the applicable bond | 615 |
| proceedings, the portion of the proceeds of the sale of refunding | 616 |
| obligations issued under division (J)(1)(b) of this section to be | 617 |
| applied to debt service on the prior obligations shall be credited | 618 |
| to an appropriate separate account in the bond service fund and | 619 |
| held in trust for the purpose by the issuing authority or by a | 620 |
| corporate trustee. Obligations authorized under this division | 621 |
| shall be considered to be issued for those purposes for which the | 622 |
| prior obligations were issued. | 623 |
| (2) Except as otherwise provided in sections 151.01 to
| 624 |
| 151.11 or 151.40 of the Revised Code, bonds or notes authorized | 625 |
| pursuant to division (J) of this section are subject to the | 626 |
| provisions of those sections pertaining to obligations generally. | 627 |
| (3) The principal amount of refunding or renewal obligations | 628 |
| issued pursuant to division (J) of this section shall be in | 629 |
| addition to the amount authorized by the general assembly as | 630 |
| referred to in division (B) of the following sections: section | 631 |
| 151.03, 151.04, 151.05, 151.06, 151.07, 151.08, 151.09, 151.10, | 632 |
| 151.11, or 151.40 of the Revised Code. | 633 |
| (K) Obligations are lawful investments for banks, savings and | 634 |
| loan associations, credit union share guaranty corporations, trust | 635 |
| companies, trustees, fiduciaries, insurance companies, including | 636 |
| domestic for life and domestic not for life, trustees or other | 637 |
| officers having charge of sinking and bond retirement or other | 638 |
| special funds of the state and political subdivisions and taxing | 639 |
| districts of this state, the sinking fund, the administrator of | 640 |
| workers' compensation subject to the approval of the workers' | 641 |
| compensation board, the state teachers retirement system, the | 642 |
| public employees retirement system, the school employees | 643 |
| retirement system, and the Ohio police and fire pension fund, | 644 |
| notwithstanding any other provisions of the Revised Code or rules | 645 |
| adopted pursuant to those provisions by any state agency with | 646 |
| respect to investments by them, and are also acceptable as | 647 |
| security for the repayment of the deposit of public moneys. The | 648 |
| exemptions from taxation in Ohio as provided for in particular | 649 |
| sections of the Ohio Constitution and section 5709.76 of the | 650 |
| Revised Code apply to the obligations. | 651 |
| (L)(1) Unless otherwise provided or provided for in any | 652 |
| applicable bond proceedings, moneys to the credit of or in a | 653 |
| special fund shall be disbursed on the order of the issuing | 654 |
| authority. No such order is required for the payment, from the | 655 |
| bond service fund or other special fund, when due of debt service | 656 |
| or required payments under credit enhancement facilities. | 657 |
| (2) Payments received by the state under interest rate hedges | 658 |
| entered into as credit enhancement facilities under this chapter | 659 |
| shall be deposited to the credit of the bond service fund for the | 660 |
| obligations to which those credit enhancement facilities relate. | 661 |
| (M) The full faith and credit, revenue, and taxing power of | 662 |
| the state are and shall be pledged to the timely payment of debt | 663 |
| service on outstanding obligations as it comes due, all in | 664 |
| accordance with Section 2k, 2l, 2m, 2n, 2o, 2p, or 15 of Article | 665 |
| VIII, Ohio Constitution, and section 151.03, 151.04, 151.05, | 666 |
| 151.06,
151.07,
151.08, | 667 |
| Revised Code. Moneys referred to in Section 5a of Article XII, | 668 |
| Ohio Constitution, may not be pledged or used for the payment of | 669 |
| debt service except on obligations referred to in section 151.06 | 670 |
| of the Revised Code. Net state lottery proceeds, as provided for | 671 |
| and referred to in section 3770.06 of the Revised Code, may not be | 672 |
| pledged or used for the payment of debt service except on | 673 |
| obligations referred to in section 151.03 of the Revised Code. The | 674 |
| state covenants, and that covenant shall be controlling | 675 |
| notwithstanding any other provision of law, that the state and the | 676 |
| applicable officers and agencies of the state, including the | 677 |
| general assembly, shall, so long as any obligations are | 678 |
| outstanding in accordance with their terms, maintain statutory | 679 |
| authority for and cause to be levied, collected and applied | 680 |
| sufficient pledged excises, taxes, and revenues of the state so | 681 |
| that the revenues shall be sufficient in amounts to pay debt | 682 |
| service when due, to establish and maintain any reserves and other | 683 |
| requirements, and to pay financing costs, including costs of or | 684 |
| relating to credit enhancement facilities, all as provided for in | 685 |
| the bond proceedings. Those excises, taxes, and revenues are and | 686 |
| shall be deemed to be levied and collected, in addition to the | 687 |
| purposes otherwise provided for by law, to provide for the payment | 688 |
| of debt service and financing costs in accordance with sections | 689 |
|
151.01 to
| 690 |
| proceedings. | 691 |
| (N) The general assembly may from time to time repeal or | 692 |
| reduce any excise, tax, or other source of revenue pledged to the | 693 |
| payment of the debt service pursuant to Section 2k, 2l, 2m, 2n, | 694 |
| 2o, 2p, or 15 of Article VIII, Ohio Constitution, and sections | 695 |
| 151.01
to
| 696 |
| levy, collect and apply any new or increased excise, tax, or | 697 |
| revenue to meet the pledge, to the payment of debt service on | 698 |
| outstanding obligations, of the state's full faith and credit, | 699 |
| revenue and taxing power, or of designated revenues and receipts, | 700 |
| except fees, excises or taxes referred to in Section 5a of Article | 701 |
| XII, Ohio Constitution, for other than obligations referred to in | 702 |
| section 151.06 of the Revised Code and except net state lottery | 703 |
| proceeds for other than obligations referred to in section 151.03 | 704 |
| of the Revised Code. Nothing in division (N) of this section | 705 |
| authorizes any impairment of the obligation of this state to levy | 706 |
| and collect sufficient excises, taxes, and revenues to pay debt | 707 |
| service on obligations outstanding in accordance with their terms. | 708 |
| (O) Each bond service fund is a trust fund and is hereby | 709 |
| pledged to the payment of debt service on the applicable | 710 |
| obligations. Payment of that debt service shall be made or | 711 |
| provided for by the issuing authority in accordance with the bond | 712 |
| proceedings without necessity for any act of appropriation. The | 713 |
| bond proceedings may provide for the establishment of separate | 714 |
| accounts in the bond service fund and for the application of those | 715 |
| accounts only to debt service on specific obligations, and for | 716 |
| other accounts in the bond service fund within the general | 717 |
| purposes of that fund. | 718 |
| (P) Subject to the bond proceedings pertaining to any | 719 |
| obligations then outstanding in accordance with their terms, the | 720 |
| issuing authority may in the bond proceedings pledge all, or such | 721 |
| portion as the issuing authority determines, of the moneys in the | 722 |
| bond service fund to the payment of debt service on particular | 723 |
| obligations, and for the establishment and maintenance of any | 724 |
| reserves for payment of particular debt service. | 725 |
| (Q) The issuing authority shall by the fifteenth day of July | 726 |
| of each fiscal year, certify or cause to be certified to the | 727 |
| office of budget and management the total amount of moneys | 728 |
| required during the current fiscal year to meet in full all debt | 729 |
| service on the respective obligations and any related financing | 730 |
| costs payable from the applicable bond service fund and not from | 731 |
| the proceeds of refunding or renewal obligations. The issuing | 732 |
| authority shall make or cause to be made supplemental | 733 |
| certifications to the office of budget and management for each | 734 |
| debt service payment date and at such other times during each | 735 |
| fiscal year as may be provided in the bond proceedings or | 736 |
| requested by that office. Debt service, costs of credit | 737 |
| enhancement facilities, and other financing costs shall be set | 738 |
| forth separately in each certification. If and so long as the | 739 |
| moneys to the credit of the bond service fund, together with any | 740 |
| other moneys available for the purpose, are insufficient to meet | 741 |
| in full all payments when due of the amount required as stated in | 742 |
| the certificate or otherwise, the office of budget and management | 743 |
| shall at the times as provided in the bond proceedings, and | 744 |
| consistent with any particular provisions in sections 151.03 to | 745 |
| 746 | |
| sufficient amount to the bond service fund from the pledged | 747 |
| revenues in the case of obligations issued pursuant to section | 748 |
| 151.40 of the Revised Code, and in the case of other obligations | 749 |
| from the revenues derived from excises, taxes, and other revenues, | 750 |
| including net state lottery proceeds in the case of obligations | 751 |
| referred to in section 151.03 of the Revised Code. | 752 |
| (R) Unless otherwise provided in any applicable bond | 753 |
| proceedings, moneys to the credit of special funds may be invested | 754 |
| by or on behalf of the state only in one or more of the following: | 755 |
| (1) Notes, bonds, or other direct obligations of the United | 756 |
| States or of any agency or instrumentality of the United States, | 757 |
| or in no-front-end-load money market mutual funds consisting | 758 |
| exclusively of those obligations, or in repurchase agreements, | 759 |
| including those issued by any fiduciary, secured by those | 760 |
| obligations, or in collective investment funds consisting | 761 |
| exclusively of those obligations; | 762 |
| (2) Obligations of this state or any political subdivision of | 763 |
| this state; | 764 |
| (3) Certificates of deposit of any national bank located in | 765 |
| this state and any bank, as defined in section 1101.01 of the | 766 |
| Revised Code, subject to inspection by the superintendent of | 767 |
| financial institutions; | 768 |
| (4) The treasurer of state's pooled investment program under | 769 |
| section 135.45 of the Revised Code. | 770 |
| The income from investments referred to in division (R) of | 771 |
| this section shall, unless otherwise provided in sections 151.01 | 772 |
|
to
| 773 |
| special funds or otherwise as the issuing authority determines in | 774 |
| the bond proceedings. Those investments may be sold or exchanged | 775 |
| at times as the issuing authority determines, provides for, or | 776 |
| authorizes. | 777 |
| (S) The treasurer of state shall have responsibility for | 778 |
| keeping records, making reports, and making payments, relating to | 779 |
| any arbitrage rebate requirements under the applicable bond | 780 |
| proceedings. | 781 |
| Sec. 151.02. (A) Pursuant to the powers granted to the | 782 |
| general assembly under Article VIII, Ohio Constitution, to | 783 |
| authorize the issuance of obligations, and pursuant to other | 784 |
| authority vested in the general assembly, there is hereby created | 785 |
| a body, both corporate and politic, constituting an agency and | 786 |
| instrumentality of the state of Ohio and performing essential | 787 |
| functions of the state, to be known as the "Ohio public facilities | 788 |
| commission," which in that name may contract and be contracted | 789 |
| with, sue and be sued, and exercise all other authority vested in | 790 |
| that commission by sections 151.01 to 151.05 and 151.07 to 151.11 | 791 |
| and Chapter 154. of the Revised Code. | 792 |
| (B) The commission shall consist of, in each case ex officio, | 793 |
| the governor, the treasurer of state, the auditor of state, the | 794 |
| secretary of state, the attorney general, and the director of | 795 |
| budget and management. The governor shall serve as the chairman of | 796 |
| the commission, the director of budget and management shall serve | 797 |
| as its secretary, and the commission shall have such other | 798 |
| officers as it determines, who may but need not be members of the | 799 |
| commission. Four members of the commission constitute a quorum and | 800 |
| the affirmative vote of four members is necessary for any action | 801 |
| taken by vote of the commission. No vacancy in the membership of | 802 |
| the commission shall impair the rights of a quorum by such vote to | 803 |
| exercise all the rights and perform all the duties of the | 804 |
| commission. Each of the state officers above identified may | 805 |
| designate an employee or officer of that officer's office to | 806 |
| attend meetings of the commission when that officer is absent or | 807 |
| unable for any reason to attend and that designee, when present, | 808 |
| shall be counted in determining whether a quorum is present at any | 809 |
| meeting and may vote and participate in all proceedings and | 810 |
| actions of the commission. A designee may not execute or cause a | 811 |
| facsimile signature to be placed on any obligation. That | 812 |
| designation shall be in writing, executed by the designating | 813 |
| member, and be filed with the secretary of the commission. A | 814 |
| designation may be changed from time to time by a similar written | 815 |
| designation. The commission may delegate to such of its members, | 816 |
| officers, or employees as it determines those powers and duties as | 817 |
| it deems appropriate. No member of the commission or designee | 818 |
| shall, by reason of being or serving as a member of the | 819 |
| commission, be required to abstain from action in any other | 820 |
| capacity as an incumbent of a state office or position or from any | 821 |
| action as a member of the commission in any matter affecting or in | 822 |
| any way pertaining to both that office or position and the | 823 |
| commission, or for any purpose be deemed to be disqualified from | 824 |
| either such office or position or as a member of the commission by | 825 |
| reason of so acting or to have violated any law by reason thereof. | 826 |
| The commission may adopt and alter bylaws and rules for the | 827 |
| conduct of its affairs, including provisions for meetings, and for | 828 |
| the manner, subject to this chapter and Chapter 154. of the | 829 |
| Revised Code, in which its powers and functions are to be | 830 |
| exercised and embodied and may adopt and alter at will an official | 831 |
| seal to be affixed to official documents, provided that the | 832 |
| failure to affix any such seal shall not affect the legality of | 833 |
| such documents. Members of the commission shall receive no added | 834 |
| compensation for their services as such members but may be | 835 |
| reimbursed, as determined by the commission, for their necessary | 836 |
| and actual expenses incurred in the conduct of the commission's | 837 |
| business. | 838 |
| (C) In connection with the exercise of its powers pursuant to | 839 |
| this chapter, the commission may enter into contracts and execute | 840 |
| all instruments necessary or incidental to the performance of the | 841 |
| commission's duties and the execution of the authority's powers | 842 |
| and do all other acts necessary or proper to the fulfillment of | 843 |
| the commission's purposes and to carry out the powers expressly | 844 |
| granted in this chapter. | 845 |
| Sec. 151.10. (A) As used in this section: | 846 |
| (1) "Costs of research and development projects" includes | 847 |
| related direct administrative expenses and allocable portions of | 848 |
| the direct costs of those projects, costs of capital facilities, | 849 |
| and working capital, all for the following: | 850 |
| (a) Attracting researchers and research teams by endowing | 851 |
| research chairs or otherwise; | 852 |
| (b) Activities to develop and commercialize products and | 853 |
| processes; | 854 |
| (c) Intellectual property matters such as copyrights and | 855 |
| patents; | 856 |
| (d) Property interests including timesharing arrangements, | 857 |
| capital formation, direct operating costs, and costs of research | 858 |
| and facilities including interests in real property therefore; and | 859 |
| (e) Support for public and private institutions of higher | 860 |
| education, research organizations or institutions, and private | 861 |
| sector entities. | 862 |
| (2) "Obligations" means obligations as defined in section | 863 |
| 151.01 of the Revised Code issued to pay costs of projects for | 864 |
| research and development purposes as referred to in division | 865 |
| (A)(2) of Section 2p of Article VIII, Ohio Constitution. | 866 |
| (3) "Project" means any research and development project, as | 867 |
| defined in section 184.10 of the Revised Code, or facility, | 868 |
| including undivided or other interests, acquired or to be | 869 |
| acquired, constructed or to be constructed, or operating or to be | 870 |
| operated by a person doing business in this state or by an | 871 |
| educational or scientific institution located in this state with | 872 |
| all or part of the cost of the project being paid from a grant or | 873 |
| loan from the third frontier research and development fund or a | 874 |
| loan guaranteed under Chapter 184. of the Revised Code, including | 875 |
| all buildings and facilities determined necessary for the | 876 |
| operation of the project, together with all property, rights, | 877 |
| easements, and interests that may be required for the operation of | 878 |
| the project. | 879 |
| (B) The issuing authority shall issue general obligations of | 880 |
| the state to pay costs of research and development projects | 881 |
| pursuant to division (B)(2) of Section 2p of Article VIII, Ohio | 882 |
| Constitution, section 151.01 of the Revised Code, and this | 883 |
| section. The issuing authority shall issue obligations in the | 884 |
| amount determined by the issuing authority to be required for | 885 |
| those purposes. The total principal amount of obligations issued | 886 |
| under this section shall not exceed five hundred million dollars. | 887 |
| (C) Net proceeds of obligations shall be deposited into the | 888 |
| third frontier research and development fund created by section | 889 |
| 184.18 of the Revised Code. | 890 |
| (D) There is hereby created in the state treasury the third | 891 |
| frontier research and development projects bond service fund. All | 892 |
| moneys received by the state and required by the bond proceedings, | 893 |
| consistent with section 151.01 of the Revised Code and this | 894 |
| section, to be deposited, transferred, or credited to the bond | 895 |
| service fund, and all other moneys transferred or allocated to or | 896 |
| received for the purposes of that fund, shall be deposited and | 897 |
| credited to the bond service fund, subject to any applicable | 898 |
| provisions of the bond proceedings, but without necessity for any | 899 |
| act of appropriation. During the period beginning with the date of | 900 |
| the first issuance of obligations and continuing during the time | 901 |
| that any obligations are outstanding in accordance with their | 902 |
| terms, so long as moneys in the bond service fund are insufficient | 903 |
| to pay debt service when due on those obligations payable from | 904 |
| that fund, except the principal amounts of bond anticipation notes | 905 |
| payable from the proceeds of renewal notes or bonds anticipated, | 906 |
| and due in the particular fiscal year, a sufficient amount of | 907 |
| revenues of the state is committed and, without necessity for | 908 |
| further act of appropriation, shall be paid to the bond service | 909 |
| fund for the purpose of paying that debt service when due. | 910 |
| Sec. 151.11. (A) As used in this section: | 911 |
| (1) "Costs of sites and facilities" includes related direct | 912 |
| administrative expenses and allocable portions of the direct costs | 913 |
| of those projects. | 914 |
| (2) "Obligations" means obligations as defined in section | 915 |
| 151.01 of the Revised Code issued to pay costs of sites and | 916 |
| facilities in Ohio for and in support of industry, commerce, | 917 |
| distribution, and research and development purposes as referred to | 918 |
| in division (A)(3) of Section 2p of Article VIII, Ohio | 919 |
| Constitution. | 920 |
| (B) The issuing authority shall issue general obligations of | 921 |
| the state to pay costs of sites and facilities pursuant to | 922 |
| division (B)(3) of Section 2p of Article VIII, Ohio Constitution, | 923 |
| section 151.01 of the Revised Code, and this section. The issuing | 924 |
| authority shall issue obligations in the amount determined by the | 925 |
| issuing authority to be required for those purposes. The total | 926 |
| principal amount of obligations issued under this section shall | 927 |
| not exceed one hundred fifty million dollars. | 928 |
| (C) Net proceeds of obligations shall be deposited into the | 929 |
| job ready site development fund created by section 122.0820 of the | 930 |
| Revised Code. | 931 |
| (D) There is hereby created in the state treasury the job | 932 |
| ready site development bond service fund. All moneys received by | 933 |
| the state and required by the bond proceedings, consistent with | 934 |
| section 151.01 of the Revised Code and this section, to be | 935 |
| deposited, transferred, or credited to the bond service fund, and | 936 |
| all other moneys transferred or allocated to or received for the | 937 |
| purposes of that fund, shall be deposited and credited to the bond | 938 |
| service fund, subject to any applicable provisions of the bond | 939 |
| proceedings, but without necessity for any act of appropriation. | 940 |
| During the period beginning with the date of the first issuance of | 941 |
| obligations and continuing during the time that any obligations | 942 |
| are outstanding in accordance with their terms, so long as moneys | 943 |
| in the bond service fund are insufficient to pay debt service when | 944 |
| due on those obligations payable from that fund, except the | 945 |
| principal amounts of bond anticipation notes payable from the | 946 |
| proceeds of renewal notes or bonds anticipated, and due in the | 947 |
| particular fiscal year, a sufficient amount of revenues of the | 948 |
| state is committed and, without necessity for further act of | 949 |
| appropriation, shall be paid to the bond service fund for the | 950 |
| purpose of paying that debt service when due. | 951 |
| Sec. 184.01. (A) There is hereby created the third frontier | 952 |
| commission in the department of development. The purpose of the | 953 |
| commission is to coordinate and administer science and technology | 954 |
| programs to promote the welfare of the people of the state and to | 955 |
| maximize the economic growth of the state through expansion of | 956 |
| both of the following: | 957 |
| (1) The state's high technology research and development | 958 |
| capabilities; | 959 |
| (2) The state's product and process innovation and | 960 |
| commercialization. | 961 |
| (B)(1) The commission shall consist of nine members: the | 962 |
| director of development, the chancellor of the Ohio board of | 963 |
| regents, | 964 |
| six persons appointed by the governor. | 965 |
| (2) Of the six persons appointed by the governor, one shall | 966 |
| represent the central region, which is composed of the counties of | 967 |
| Delaware, Fairfield, Fayette, Franklin, Hocking, Knox, Licking, | 968 |
| Logan, Madison, Marion, Morrow, Perry, Pickaway, Ross, and Union; | 969 |
| one shall represent the west central region, which is composed of | 970 |
| the counties of Champaign, Clark, Darke, Greene, Miami, | 971 |
| Montgomery, Preble, and Shelby; one shall represent the northeast | 972 |
| region, which is composed of the counties of Ashland, Ashtabula, | 973 |
| Carroll, Crawford, Columbiana, Cuyahoga, Erie, Geauga, Holmes, | 974 |
| Huron, Lake, Lorain, Mahoning, Medina, Portage, Richland, Stark, | 975 |
| Summit, Trumbull, Tuscarawas, and Wayne; one shall represent the | 976 |
| northwest region, which is composed of the counties of Allen, | 977 |
| Auglaize, Defiance, Fulton, Hancock, Hardin, Henry, Lucas, Mercer, | 978 |
| Ottawa, Paulding, Putnam, Sandusky, Seneca, Van Wert, Williams, | 979 |
| Wood, and Wyandot; one shall represent the southeast region, which | 980 |
| shall represent the counties of Adams, Athens, Belmont, Coshocton, | 981 |
| Gallia, Guernsey, Harrison, Jackson, Jefferson, Lawrence, Meigs, | 982 |
| Monroe, Morgan, Muskingum, Noble, Pike, Scioto, Vinton, and | 983 |
| Washington; and one shall represent the southwest region, which is | 984 |
| composed of the counties of Butler, Brown, Clermont, Clinton, | 985 |
| Hamilton, Highland, and Warren. Of the initial appointments, two | 986 |
| shall be for one year, two shall be for two years, and two shall | 987 |
| be for three years as assigned by the governor. Thereafter, | 988 |
| appointments shall be for three-year terms. Members may be | 989 |
| reappointed and vacancies shall be filled in the same manner as | 990 |
| appointments. A person must have a background in business or | 991 |
| research in order to be eligible for appointment to the | 992 |
| commission. | 993 |
| (3) The governor shall select a chairperson from among the | 994 |
| members, who shall serve in that role at the pleasure of the | 995 |
| governor. Sections 101.82 to 101.87 of the Revised Code do not | 996 |
| apply to the commission. | 997 |
| (C) The commission shall meet at least once during each | 998 |
| quarter of the calendar year or at the call of the chairperson. A | 999 |
| majority of all members of the commission constitutes a quorum, | 1000 |
| and no action shall be taken without the concurrence of a majority | 1001 |
| of the members. | 1002 |
| (D) The commission shall administer any money that may be | 1003 |
| appropriated to it by the general assembly. The commission may use | 1004 |
| such money for research and commercialization and for any other | 1005 |
| purposes that may be designated by the commission. | 1006 |
| (E) The department of development shall provide office space | 1007 |
| and facilities for the commission. Administrative costs associated | 1008 |
| with the operation of the commission or with any program or | 1009 |
| activity administered by the commission shall be paid from amounts | 1010 |
| appropriated to the commission or to the department of development | 1011 |
| for such purposes. | 1012 |
| (F) The attorney general shall serve as the legal | 1013 |
| representative for the commission and may appoint other counsel as | 1014 |
| necessary for that purpose in accordance with section 109.07 of | 1015 |
| the Revised Code. | 1016 |
| (G) Members of the commission shall serve without | 1017 |
| compensation, but shall receive their reasonable and necessary | 1018 |
| expenses incurred in the conduct of commission business. | 1019 |
| (H) Members of the commission shall file financial disclosure | 1020 |
| statements described in division (B) of section 102.02 of the | 1021 |
| Revised Code. | 1022 |
| Sec. 184.02.
(A) | 1023 |
| under sections 184.10 to 184.18 of the Revised Code, the third | 1024 |
| frontier commission may perform any act to ensure the performance | 1025 |
| of any function necessary or appropriate to carry out the purposes | 1026 |
| of, and exercise the powers granted under, sections 184.01 and | 1027 |
| 184.02 of the Revised Code. In addition, the commission may do any | 1028 |
| of the following: | 1029 |
| (1) Adopt, amend, and rescind rules under section 111.15 of | 1030 |
| the Revised Code for the administration of any aspect of its | 1031 |
| operations; | 1032 |
| (2) Adopt bylaws governing its operations, including bylaws | 1033 |
| that establish procedures and set policies as may be necessary to | 1034 |
| assist with the furtherance of its purposes; | 1035 |
| (3) Appoint and set the compensation of employees needed to | 1036 |
| carry out its duties; | 1037 |
| (4) Contract with, retain the services of, or designate, and | 1038 |
| fix the compensation of, such financial consultants, accountants, | 1039 |
| other consultants and advisors, and other independent contractors | 1040 |
| as may be necessary or desirable to carry out its duties; | 1041 |
| (5) Solicit input and comments from the third frontier | 1042 |
| advisory board, and specialized industry, professional, and other | 1043 |
| relevant interest groups concerning its purposes; | 1044 |
| (6) Facilitate alignment of the state's science and | 1045 |
| technology programs and activities; | 1046 |
| (7) Make grants and loans to individuals, public agencies, | 1047 |
| private companies or organizations, or joint ventures for any of | 1048 |
| the broad range of activities related to its purposes. | 1049 |
| (B) | 1050 |
| 184.10 to 184.18 of the Revised Code, the commission shall do all | 1051 |
| of the following: | 1052 |
| (1) Establish a competitive process for the award of grants | 1053 |
| and loans that is designed to fund the most meritorious proposals | 1054 |
| and, when appropriate, provide for peer review of proposals; | 1055 |
| (2) Within ninety days after the end of each fiscal year, | 1056 |
| submit to the governor and the general assembly a report of the | 1057 |
| activities of the commission during the preceding fiscal year; | 1058 |
| (3) With specific application to the biomedical research and | 1059 |
| technology transfer trust fund, periodically make strategic | 1060 |
| assessments of the types of state investments in biomedical | 1061 |
| research and biotechnology in the state that would likely create | 1062 |
| jobs and business opportunities in the state and produce the most | 1063 |
| beneficial long-term improvements to the public health of Ohioans, | 1064 |
| including, but not limited to, biomedical research and | 1065 |
| biotechnology initiatives that address tobacco-related illnesses | 1066 |
| as may be outlined in any master agreement. The commission shall | 1067 |
| award grants and loans from the fund pursuant to a process | 1068 |
| established under division (B)(1) of this section. | 1069 |
| Sec. 184.03. (A) There is hereby created the third frontier | 1070 |
| advisory board that, upon request of the third frontier | 1071 |
| commission, shall provide general advice to the commission on | 1072 |
| various items including, but not limited to, the following: | 1073 |
| (1) Strategic planning for programs administered by the | 1074 |
| commission; | 1075 |
| (2) Budget and funding priorities, funding processes, | 1076 |
| request-for-proposal criteria, and other aspects of the management | 1077 |
| and coordination of programs administered by the commission; | 1078 |
| (3) Metrics and methods of measuring the progress and impact | 1079 |
| of programs administered by the commission; | 1080 |
| (4) Studies to be conducted to collect and analyze data | 1081 |
| relevant to advancing the goals of programs administered by the | 1082 |
| commission; | 1083 |
| (5) The commission's powers and duties under sections 184.10 | 1084 |
| to 184.18 of the Revised Code. | 1085 |
| (B) The board shall consist of sixteen members selected for | 1086 |
| their knowledge of and experience in science and technology | 1087 |
| matters that may affect the state in the near future. Of the | 1088 |
| sixteen members, fourteen shall be appointed by the governor, one | 1089 |
| shall be appointed by the speaker of the house of representatives, | 1090 |
| and one shall be appointed by the president of the senate. | 1091 |
| (1) Of the fourteen members appointed by the governor, nine | 1092 |
| shall be representative of or have experience with business | 1093 |
| matters that affect the state and five shall be representative of | 1094 |
| or have experience with matters affecting universities or | 1095 |
| nonprofit research institutions in the state. | 1096 |
| (2) Of the governor's initial appointees that are | 1097 |
| representative of or have experience with business matters that | 1098 |
| affect the state, three shall serve an initial term of one year, | 1099 |
| three shall serve an initial term of two years, and three shall | 1100 |
| serve an initial term of three years. All of the initial | 1101 |
| appointees that are representative of or have experience with | 1102 |
| matters affecting university or nonprofit research institutions | 1103 |
| shall serve an initial term of three years. Thereafter, each | 1104 |
| member appointed by the governor shall serve a three-year term. | 1105 |
| (3) All appointees to the board shall serve at the pleasure | 1106 |
| of their appointing authorities. | 1107 |
| (4) Not more than nine members of the board shall be of the | 1108 |
| same political party. | 1109 |
| (C) The governor shall appoint the chairperson of the board | 1110 |
| from among its members, and the chairperson shall serve in that | 1111 |
| role at the pleasure of the governor. | 1112 |
| (D) A majority of the members of the board constitutes a | 1113 |
| quorum, and no action shall be taken without the affirmative vote | 1114 |
| of a majority of the members. | 1115 |
| (E) Each member of the board shall hold office from the date | 1116 |
| of appointment until the end of the term for which the member was | 1117 |
| appointed. A member may be reappointed for an unlimited number of | 1118 |
| terms. A member appointed to fill a vacancy occurring prior to the | 1119 |
| expiration of the term for which the member's predecessor was | 1120 |
| appointed shall hold office for the remainder of such term. A | 1121 |
| vacancy in an unexpired term shall be filled in the same manner as | 1122 |
| the original appointment. A member of the board shall continue in | 1123 |
| office subsequent to the expiration date of the member's term | 1124 |
| until the member's successor takes office, or until a period of | 1125 |
| sixty days has elapsed, whichever occurs first. The governor may | 1126 |
| remove any member of the board for malfeasance, misfeasance, or | 1127 |
| nonfeasance after a hearing in accordance with Chapter 119. of the | 1128 |
| Revised Code. | 1129 |
| (F) Members of the board shall not act as representatives of | 1130 |
| any specific disciplinary, regional, or organizational interest. | 1131 |
| Members shall represent a wide variety of experience valuable in | 1132 |
| technology research and development, product process innovation | 1133 |
| and commercialization, and creating and managing high-growth | 1134 |
| technology-based companies. | 1135 |
| (G) Members of the board shall file financial disclosure | 1136 |
| statements described in division (B) of section 102.02 of the | 1137 |
| Revised Code. | 1138 |
| (H) Members of the board shall serve without compensation but | 1139 |
| shall receive their reasonable and necessary expenses incurred in | 1140 |
| the conduct of board business. | 1141 |
| (I) Before entering upon duties as a member of the board, | 1142 |
| each member shall take an oath as provided by Section 7 of Article | 1143 |
| XV, Ohio Constitution. | 1144 |
| (J) The department of development shall provide office space | 1145 |
| and facilities for the board. | 1146 |
| (K) Sections 101.82 to 101.87 of the Revised Code do not | 1147 |
| apply to the board. | 1148 |
| Sec. 184.10. As used in sections 184.10 to 184.18 of the | 1149 |
| Revised Code: | 1150 |
| (A) "In-state entity" includes individuals, public and | 1151 |
| private entities, agencies, and institutions, private companies or | 1152 |
| organizations, or research organizations that have substantial | 1153 |
| presence in Ohio. | 1154 |
| (B) "Research and development projects" means projects or | 1155 |
| activities in support of Ohio industry, commerce, and business, | 1156 |
| which include, without limitation, research and product | 1157 |
| innovation, development, and commercialization through efforts by, | 1158 |
| and may include collaboration among, Ohio business and industry, | 1159 |
| state and local public entities and agencies, public and private | 1160 |
| institutions, or research organizations. Those projects and | 1161 |
| activities also include projects and activities supporting any and | 1162 |
| all matters related to research and development purposes | 1163 |
| including: attracting researchers and research teams by endowing | 1164 |
| chairs or otherwise; developing and commercializing products and | 1165 |
| processes; promoting, developing, and securing intellectual | 1166 |
| property matters and rights such as copyrights and patents; | 1167 |
| promoting, developing, and securing property interests, including | 1168 |
| time sharing arrangements; and promoting, developing, and securing | 1169 |
| financial rights and matters such as royalties, licensing, and | 1170 |
| other financial gain or sharing resulting from research and | 1171 |
| development. | 1172 |
| Sec. 184.11. The third frontier commission may award support | 1173 |
| to individuals, public and private entities, agencies, and | 1174 |
| institutions, private companies or organizations, research | 1175 |
| organizations, or combinations or consortiums of any of the | 1176 |
| foregoing for the purpose of supporting research and development | 1177 |
| projects. The support may be in such manner as the commission | 1178 |
| determines, including by any one or a combination of grants, | 1179 |
| loans, including loans to lenders or the purchase of loans, | 1180 |
| subsidies, contributions, advances, or guarantees, or by payment | 1181 |
| or reimbursement from available money, or by providing staffing or | 1182 |
| other support including computer or other technology capacity, or | 1183 |
| equipment or facilities, including interests in real property. | 1184 |
| Sec. 184.111. Except with respect to grants subject to an | 1185 |
| agreement under section 184.114 of the Revised Code, the third | 1186 |
| frontier commission may award the support described in section | 1187 |
| 184.11 of the Revised Code only to in-state entities. If an entity | 1188 |
| awarded support is collaborating with any entity that is not an | 1189 |
| in-state entity on the research and development project for which | 1190 |
| the support was awarded, the in-state entity may provide any | 1191 |
| portion of that support to the other entity only if the | 1192 |
| commission, in its discretion and only under exceptional | 1193 |
| circumstances that the commission determines, permits it. | 1194 |
| Sec. 184.112. The third frontier commission shall establish | 1195 |
| a competitive process for making awards of the support described | 1196 |
| in section 184.11 of the Revised Code that is designed to fund the | 1197 |
| research and development projects that have the most merit. | 1198 |
| Sec. 184.113. The third frontier commission shall require | 1199 |
| each individual, public and private entity, agency, and | 1200 |
| institution, private company or organization, research | 1201 |
| organization, or combination or consortium of any of the foregoing | 1202 |
| that the commission selects to receive the support described in | 1203 |
| section 184.11 of the Revised Code to enter into an agreement | 1204 |
| governing the use of the support for the research and development | 1205 |
| project. The agreement shall contain terms the commission | 1206 |
| determines to be necessary, including provisions stating that any | 1207 |
| support given by the commission may be used to pay costs of or in | 1208 |
| support of or related to research and development purposes, | 1209 |
| including, without limitation, capital formation, direct operating | 1210 |
| costs, costs of research and facilities, including interests in | 1211 |
| real property, and support for public and private institutions of | 1212 |
| higher education, research organizations or institutions, and | 1213 |
| private sector entities. | 1214 |
| Sec. 184.114. If the third frontier commission intends to | 1215 |
| award a grant for a research and development project under section | 1216 |
| 184.11 of the Revised Code to an individual or private entity, | 1217 |
| agency, institution, or organization, the agreement governing the | 1218 |
| use of the grant entered into under section 184.113 of the Revised | 1219 |
| Code shall require both of the following: | 1220 |
| (A) The project shall primarily benefit this state. | 1221 |
| (B) If the recipient of the grant is not an in-state entity, | 1222 |
| it shall become an in-state entity not later than six months after | 1223 |
| entering into the agreement. | 1224 |
| Sec. 184.115. An individual or private entity, agency, | 1225 |
| institution, or organization that has received a grant under | 1226 |
| section 184.11 of the Revised Code for a research and development | 1227 |
| project and that violates the requirements of section 184.114 of | 1228 |
| the Revised Code forfeits the grant and must repay the grant | 1229 |
| amount plus interest at the rate required by section 5703.47 of | 1230 |
| the Revised Code to the third frontier commission. | 1231 |
| Sec. 184.12. Individuals, Ohio businesses and industries, | 1232 |
| local public entities and agencies, public and private education | 1233 |
| institutions, including state-supported and state-assisted | 1234 |
| institutions of higher education, the state and state agencies, | 1235 |
| and research organizations and institutions may collaborate on | 1236 |
| research and development projects. | 1237 |
| Sec. 184.13. The state shall have no ownership interest in | 1238 |
| or operational control of any business or private entity, agency, | 1239 |
| institution, or organization that has received support for a | 1240 |
| research and development project under section 184.11 of the | 1241 |
| Revised Code, and shall assume no shared risk or shared liability. | 1242 |
| Sec. 184.14. The third frontier commission shall establish | 1243 |
| procedures that permit public inspection of all support awarded | 1244 |
| under section 184.11 of the Revised Code for research and | 1245 |
| development projects and the processes used to determine which | 1246 |
| projects shall receive support. | 1247 |
| Sec. 184.15. The third frontier commission shall publish a | 1248 |
| report twice each year detailing all support awarded under section | 1249 |
| 184.11 of the Revised Code for research and development projects, | 1250 |
| including the amount or type of support and the progress and | 1251 |
| performance metrics for the projects. A copy of each report shall | 1252 |
| be delivered to the governor, speaker and minority leader of the | 1253 |
| house of representatives, and president and minority leader of the | 1254 |
| senate. | 1255 |
| Sec. 184.16. The department of development shall monitor | 1256 |
| each research and development project receiving support under | 1257 |
| section 184.11 of the Revised Code to ensure the following: | 1258 |
| (A) Fiscal accountability, so that the support is used in | 1259 |
| accordance with the agreement entered into under section 184.113 | 1260 |
| of the Revised Code; | 1261 |
| (B) Operating progress, so that the project is managed to | 1262 |
| achieve the requirements of the agreement entered into under | 1263 |
| section 184.113 of the Revised Code and so that problems may be | 1264 |
| promptly identified and remedied; | 1265 |
| (C) Desired outcomes, including job creation and other | 1266 |
| anticipated economic impacts. | 1267 |
| Sec. 184.17. As used in sections 184.171, 184.172, and | 1268 |
| 184.173 of the Revised Code, "minority" means an individual who is | 1269 |
| a United States citizen and who is a member of one of the | 1270 |
| following economically disadvantaged groups: Blacks or African | 1271 |
| Americans, American Indians, Hispanics or Latinos, and Asians. | 1272 |
| Sec. 184.171. The third frontier commission shall conduct | 1273 |
| outreach activities described in section 184.172 of the Revised | 1274 |
| Code that seek to include minorities in the various projects and | 1275 |
| initiatives sponsored, funded, encouraged, or otherwise promoted | 1276 |
| by the commission. The commission shall direct the activities at | 1277 |
| faculty and students involved in science and engineering | 1278 |
| disciplines, professional scientists and engineers, technical | 1279 |
| assistance providers, the investment community, minority-owned | 1280 |
| businesses, and minority entrepreneurs. | 1281 |
| Sec. 184.172. The outreach activities the third frontier | 1282 |
| commission shall conduct under section 184.171 of the Revised Code | 1283 |
| shall include the following: | 1284 |
| (A) Identifying and partnering with historically black | 1285 |
| colleges and universities to solicit and implement a minority | 1286 |
| technology demonstration project funded by the national science | 1287 |
| foundation; | 1288 |
| (B) Working with all institutions of higher education in the | 1289 |
| state to support minority faculty and students involved in science | 1290 |
| and engineering; | 1291 |
| (C) Developing a plan to contact by telephone minority-owned | 1292 |
| businesses and entrepreneurs to notify them of and encourage them | 1293 |
| to participate in the various third frontier projects and | 1294 |
| initiatives; | 1295 |
| (D) Identifying minority professional and technical trade | 1296 |
| associations and economic development assistance organizations and | 1297 |
| notifying them of the various third frontier projects and | 1298 |
| initiatives; | 1299 |
| (E) Partnering with regional technology councils to foster | 1300 |
| local efforts to support minority-owned technology businesses or | 1301 |
| otherwise identify networks of minority-owned technology | 1302 |
| businesses, entrepreneurs, and individuals operating locally; | 1303 |
| (F) Identifying minority technology firms and marketing them | 1304 |
| to the investment community including the Ohio venture capital | 1305 |
| authority created under section 150.02 of the Revised Code and the | 1306 |
| managers of all investment funds receiving third frontier project | 1307 |
| support. | 1308 |
| Sec. 184.173. The third frontier commission shall conduct | 1309 |
| the outreach activities described in sections 184.171 and 184.172 | 1310 |
| of the Revised Code in conjunction with the EDGE program created | 1311 |
| under section 123.152 of the Revised Code. | 1312 |
| Sec. 184.18. The third frontier research and development | 1313 |
| fund is hereby created in the state treasury. The fund shall | 1314 |
| consist of the net proceeds of the obligations issued and sold by | 1315 |
| the issuing authority pursuant to sections 151.01 and 151.10 of | 1316 |
| the Revised Code. Investment earnings of the fund shall be | 1317 |
| credited to the fund. Moneys in the fund shall be used in | 1318 |
| accordance with sections 184.10 to 184.173 of the Revised Code and | 1319 |
| for associated administrative expenses. | 1320 |
| Section 2. That existing sections 151.01, 151.02, 184.01, | 1321 |
| 184.02, and 184.03 of the Revised Code are hereby repealed. | 1322 |
| Section 3. The Governor shall make the appointments to the | 1323 |
| Third Frontier Commission required under section 184.01 of the | 1324 |
| Revised Code not later than April 1, 2006. The Commission shall be | 1325 |
| officially expanded on that date and the initial terms of office | 1326 |
| of those persons appointed shall begin on that date. | 1327 |
| Section 4. That Sections 203.99, 203.99.33, 203.99.51, and | 1328 |
| 209.99 of Am. Sub. H.B. 66 of the 126th General Assembly be | 1329 |
| amended to read as follows: | 1330 |
| Sec. 203.99. DEV DEPARTMENT OF DEVELOPMENT | 1331 |
| General Revenue Fund | 1332 |
| GRF | 195-321 | Operating Expenses | $ | 2,738,908 | $ | 2,723,908 | 1333 | ||||
| GRF | 195-401 | Thomas Edison Program | $ | 17,554,838 | $ | 17,454,838 | 1334 | ||||
| GRF | 195-404 | Small Business Development | $ | 1,740,722 | $ | 1,740,722 | 1335 | ||||
| GRF | 195-405 | Minority Business Development Division | $ | 1,580,291 | $ | 1,580,291 | 1336 | ||||
| GRF | 195-407 | Travel and Tourism | $ | 6,812,845 | $ | 6,712,845 | 1337 | ||||
| GRF | 195-410 | Defense Conversion Assistance | $ | 300,000 | $ | 200,000 | 1338 | ||||
| GRF | 195-412 | Business Development Grants | $ | 11,750,000 | $ | 11,750,000 | 1339 | ||||
| GRF | 195-415 | Economic Development Division and Regional Offices | $ | 5,794,975 | $ | 5,894,975 | 1340 | ||||
| GRF | 195-416 | Governor's Office of Appalachia | $ | 4,122,372 | $ | 4,122,372 | 1341 | ||||
| GRF | 195-422 | Third Frontier Action Fund | $ | 16,790,000 | $ | 16,790,000 | 1342 | ||||
| GRF | 195-426 | Clean Ohio Implementation | $ | 300,000 | $ | 300,000 | 1343 | ||||
| GRF | 195-432 | International Trade | $ | 4,223,787 | $ | 4,223,787 | 1344 | ||||
| GRF | 195-434 | Investment in Training Grants | $ | 12,227,500 | $ | 12,227,500 | 1345 | ||||
| GRF | 195-436 | Labor/Management Cooperation | $ | 811,869 | $ | 811,869 | 1346 | ||||
| GRF | 195-497 | CDBG Operating Match | $ | 1,040,956 | $ | 1,040,956 | 1347 | ||||
| GRF | 195-498 | State Match Energy | $ | 94,000 | $ | 94,000 | 1348 | ||||
| GRF | 195-501 | Appalachian Local Development Districts | $ | 380,080 | $ | 380,080 | 1349 | ||||
| GRF | 195-502 | Appalachian Regional Commission Dues | $ | 246,803 | $ | 246,803 | 1350 | ||||
| GRF | 195-507 | Travel and Tourism Grants | $ | 1,287,500 | $ | 1,162,500 | 1351 | ||||
| GRF | 195-515 | Economic Development Contingency | $ | 10,000,000 | $ | 0 | 1352 | ||||
| GRF | 195-905 | Third Frontier Research & |
$ | 0 | $ | 13,910,000 | 1353 | ||||
| GRF | 195-912 | Job Ready Site Development General Obligation Debt Service | $ | 0 | $ | 4,124,400 | 1354 | ||||
| TOTAL GRF General Revenue Fund | $ | 99,797,446 | $ | 1355 | |||||||
| General Services Fund Group | 1356 |
| 135 | 195-605 | Supportive Services | $ | 7,450,000 | $ | 7,539,686 | 1357 | ||||
| 5AD | 195-667 | Investment in Training Expansion | $ | 5,000,000 | $ | 5,000,000 | 1358 | ||||
| 5AD | 195-668 | Worker Guarantee Program | $ | 3,000,000 | $ | 3,000,000 | 1359 | ||||
| 5AD | 195-677 | Economic Development Contingency | $ | 0 | $ | 10,000,000 | 1360 | ||||
| 685 | 195-636 | General Reimbursements | $ | 1,000,000 | $ | 1,000,000 | 1361 | ||||
| TOTAL GSF General Services Fund | 1362 | ||||||||||
| Group | $ | 16,450,000 | $ | 26,539,686 | 1363 | ||||||
| Federal Special Revenue Fund Group | 1364 |
| 3AE | 195-643 | Workforce Development Initiatives | $ | 5,800,000 | $ | 5,800,000 | 1365 | ||||
| 3K8 | 195-613 | Community Development Block Grant | $ | 65,000,000 | $ | 65,000,000 | 1366 | ||||
| 3K9 | 195-611 | Home Energy Assistance Block Grant | $ | 90,500,000 | $ | 90,500,000 | 1367 | ||||
| 3K9 | 195-614 | HEAP Weatherization | $ | 16,219,478 | $ | 16,219,478 | 1368 | ||||
| 3L0 | 195-612 | Community Services Block Grant | $ | 25,235,000 | $ | 25,235,000 | 1369 | ||||
| 3V1 | 195-601 | HOME Program | $ | 40,000,000 | $ | 40,000,000 | 1370 | ||||
| 308 | 195-602 | Appalachian Regional Commission | $ | 600,660 | $ | 600,660 | 1371 | ||||
| 308 | 195-603 | Housing and Urban Development | $ | 5,000,000 | $ | 5,000,000 | 1372 | ||||
| 308 | 195-605 | Federal Projects | $ | 15,300,249 | $ | 15,300,249 | 1373 | ||||
| 308 | 195-609 | Small Business Administration | $ | 4,296,381 | $ | 4,296,381 | 1374 | ||||
| 308 | 195-618 | Energy Federal Grants | $ | 3,397,659 | $ | 3,397,659 | 1375 | ||||
| 335 | 195-610 | Oil Overcharge | $ | 3,000,000 | $ | 3,000,000 | 1376 | ||||
| TOTAL FED Federal Special Revenue | 1377 | ||||||||||
| Fund Group | $ | 274,349,427 | $ | 274,349,427 | 1378 | ||||||
| State Special Revenue Fund Group | 1379 |
| 4F2 | 195-639 | State Special Projects | $ | 290,183 | $ | 290,183 | 1380 | ||||
| 4F2 | 195-676 | Promote Ohio | $ | 5,228,210 | $ | 5,228,210 | 1381 | ||||
| 4S0 | 195-630 | Enterprise Zone Operating | $ | 275,000 | $ | 275,000 | 1382 | ||||
| 4S1 | 195-634 | Job Creation Tax Credit Operating | $ | 375,800 | $ | 375,800 | 1383 | ||||
| 4W1 | 195-646 | Minority Business Enterprise Loan | $ | 2,580,597 | $ | 2,580,597 | 1384 | ||||
| 444 | 195-607 | Water and Sewer Commission Loans | $ | 523,775 | $ | 523,775 | 1385 | ||||
| 450 | 195-624 | Minority Business Bonding Program Administration | $ | 53,967 | $ | 53,967 | 1386 | ||||
| 451 | 195-625 | Economic Development Financing Operating | $ | 2,358,311 | $ | 2,358,311 | 1387 | ||||
| 5CA | 195-678 | Shovel Ready Sites | $ | 5,000,000 | $ | 5,000,000 | 1388 | ||||
| 5CG | 195-679 | Alternative Fuel Transportation | $ | 150,000 | $ | 150,000 | 1389 | ||||
| 5CV | 195-680 | Defense Conversion Assistance | $ | 1,000,000 | $ | 0 | 1390 | ||||
| 5CY | 195-682 | Lung Cancer and Lung Disease Research | $ | 10,000,000 | $ | 0 | 1391 | ||||
| 5M4 | 195-659 | Universal Service | $ | 210,000,000 | $ | 210,000,000 | 1392 | ||||
| 5M5 | 195-660 | Energy Efficiency Loan and Grant | $ | 12,000,000 | $ | 12,000,000 | 1393 | ||||
| 5X1 | 195-651 | Exempt Facility Inspection | $ | 25,000 | $ | 25,000 | 1394 | ||||
| 611 | 195-631 | Water and Sewer Administration | $ | 15,713 | $ | 15,713 | 1395 | ||||
| 617 | 195-654 | Volume Cap Administration | $ | 200,000 | $ | 200,000 | 1396 | ||||
| 646 | 195-638 | Low- and Moderate- Income Housing Trust Fund | $ | 53,000,000 | $ | 53,000,000 | 1397 | ||||
| TOTAL SSR State Special Revenue | 1398 | ||||||||||
| Fund Group | $ | 303,076,556 | $ | 292,076,556 | 1399 | ||||||
| Facilities Establishment Fund Group | 1400 |
| 009 | 195-664 | Innovation Ohio | $ | 50,000,000 | $ | 50,000,000 | 1401 | ||||
| 010 | 195-665 | Research and Development | $ | 50,000,000 | $ | 50,000,000 | 1402 | ||||
| 037 | 195-615 | Facilities Establishment | $ | 63,931,149 | $ | 63,931,149 | 1403 | ||||
| 4Z6 | 195-647 | Rural Industrial Park Loan | $ | 3,000,000 | $ | 3,000,000 | 1404 | ||||
| 5D2 | 195-650 | Urban Redevelopment Loans | $ | 5,475,000 | $ | 5,475,000 | 1405 | ||||
| 5H1 | 195-652 | Family Farm Loan Guarantee | $ | 1,000,000 | $ | 1,000,000 | 1406 | ||||
| 5S8 | 195-627 | Rural Development Initiative | $ | 3,000,000 | $ | 3,000,000 | 1407 | ||||
| 5S9 | 195-628 | Capital Access Loan Program | $ | 3,000,000 | $ | 3,000,000 | 1408 | ||||
| TOTAL 037 Facilities | 1409 | ||||||||||
| Establishment Fund Group | $ | 179,406,149 | $ | 179,406,149 | 1410 | ||||||
| Clean Ohio Revitalization Fund | 1411 |
| 003 | 195-663 | Clean Ohio Operating | $ | 350,000 | $ | 350,000 | 1412 | ||||
| TOTAL 003 Clean Ohio Revitalization Fund | $ | 350,000 | $ | 350,000 | 1413 | ||||||
| Third Frontier Research & Development Fund Group | 1414 |
| 011 | 195-686 | Third Frontier Operating | $ | 713,028 | $ | 1,932,056 | 1415 | ||||
| 011 | 195-687 | Third Frontier Research & Development Projects | $ | 100,000,000 | $ | 100,000,000 | 1416 | ||||
| TOTAL 011 Third Frontier Research & Development Fund Group | $ | 100,713,028 | $ | 101,932,056 | 1417 | ||||||
| Job Ready Site Development Fund Group | 1418 |
| 012 | 195-688 | Job Ready Site Operating | $ | 622,200 | $ | 746,155 | 1419 | ||||
| TOTAL 012 Job Ready Site Development Fund Group | $ | 622,200 | $ | 746,155 | 1420 | ||||||
| TOTAL ALL BUDGET FUND GROUPS | $ | $ | 1421 |
| Sec. 203.99.33. THIRD FRONTIER RESEARCH & | 1423 |
| DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE | 1424 |
| The foregoing appropriation item 195-905, Third Frontier | 1425 |
| Research & | 1426 |
| Service, shall be used to pay all debt service and related | 1427 |
| financing costs during the period from July 1, 2005, to June 30, | 1428 |
| 2007, on obligations to be issued for research and development | 1429 |
| purposes | 1430 |
| 1431 | |
| Office of the Sinking Fund or the Director of Budget and | 1432 |
| Management shall effectuate the required payments by intrastate | 1433 |
| transfer voucher. | 1434 |
| JOB READY SITE DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE | 1435 |
| The foregoing appropriation item 195-912, Job Ready Site | 1436 |
| Development General Obligation Debt Service, shall be used to pay | 1437 |
| all debt service and related financing costs during the period | 1438 |
| from July 1, 2005, to June 30, 2007, on obligations to be issued | 1439 |
| for job ready site development purposes under sections 151.01 and | 1440 |
| 151.11 of the Revised Code. The Office of the Sinking Fund or the | 1441 |
| Director of Budget and Management shall effectuate the required | 1442 |
| payments by intrastate transfer voucher. | 1443 |
| Sec. 203.99.51. CLEAN OHIO OPERATING EXPENSES | 1444 |
| The foregoing appropriation item 195-663, Clean Ohio | 1445 |
| Operating, shall be used by the Department of Development in | 1446 |
| administering sections 122.65 to 122.658 of the Revised Code. | 1447 |
| THIRD FRONTIER OPERATING | 1448 |
| The foregoing appropriation item 195-686, Third Frontier | 1449 |
| Operating, shall be used for operating expenses incurred by the | 1450 |
| Department of Development in administering sections 184.10 to | 1451 |
| 184.18 of the Revised Code. | 1452 |
| THIRD FRONTIER RESEARCH & DEVELOPMENT PROJECTS | 1453 |
| The foregoing appropriation item 195-687, Third Frontier | 1454 |
| Research & Development Projects, shall be used by the Department | 1455 |
| of Development to fund selected projects pursuant to sections | 1456 |
| 184.10 to 184.18 of the Revised Code. | 1457 |
| On or before June 30, 2006, any unencumbered balance of the | 1458 |
| foregoing appropriation item 195-687, Third Frontier Research & | 1459 |
| Development Projects, for fiscal year 2006 is hereby appropriated | 1460 |
| for the same purpose for fiscal year 2007. | 1461 |
| AUTHORITY TO ISSUE AND SELL ORIGINAL OBLIGATIONS | 1462 |
| The Ohio Public Facilities Commission, upon request of the | 1463 |
| Department of Development, is hereby authorized to issue and sell, | 1464 |
| in accordance with Section 2p of Article VIII, Ohio Constitution, | 1465 |
| and particularly sections 151.01 and 151.10 of the Revised Code, | 1466 |
| original obligations of the State of Ohio in an aggregate amount | 1467 |
| not to exceed $200,000,000. The authorized obligations shall be | 1468 |
| issued and sold from time to time and in amounts necessary to | 1469 |
| ensure sufficient moneys to the credit of the Third Frontier | 1470 |
| Research & Development Fund (Fund 011) to pay costs of research | 1471 |
| and development projects. | 1472 |
| JOB READY SITE OPERATING | 1473 |
| The foregoing appropriation item 195-688, Job Ready Site | 1474 |
| Operating, shall be used for operating expenses incurred by the | 1475 |
| Department of Development in administering sections 122.085 to | 1476 |
| 122.0820 of the Revised Code. Operating expenses include, but are | 1477 |
| not limited to, certain expenses of the District Public Works | 1478 |
| Integrating Committees, audit and accountability activities, and | 1479 |
| costs associated with formal certifications verifying that site | 1480 |
| infrastructure is in place and is functional. | 1481 |
| Sec. 209.99. CSF COMMISSIONERS OF THE SINKING FUND | 1482 |
| Debt Service Fund Group | 1483 |
| 070 | 155-905 | Third Frontier Research & Development Projects Bond Service Fund | $ | 0 | $ | 13,910,000 | 1484 | ||||
| 072 | 155-902 | Highway Capital Improvements Bond Retirement Fund | $ | 180,620,600 | $ | 196,464,900 | 1485 | ||||
| 073 | 155-903 | Natural Resources Bond Retirement Fund | $ | 26,166,000 | $ | 24,659,100 | 1486 | ||||
| 074 | 155-904 | Conservation Projects Bond Service Fund | $ | 14,687,300 | $ | 17,668,800 | 1487 | ||||
| 076 | 155-906 | Coal Research and Development Bond Retirement Fund | $ | 7,071,100 | $ | 8,980,800 | 1488 | ||||
| 077 | 155-907 | State Capital Improvements Bond Retirement Fund | $ | 163,131,400 | $ | 174,545,100 | 1489 | ||||
| 078 | 155-908 | Common Schools Bond Retirement Fund | $ | 200,724,700 | $ | 236,911,500 | 1490 | ||||
| 079 | 155-909 | Higher Education Bond Retirement Fund | $ | 140,600,300 | $ | 158,114,100 | 1491 | ||||
| 090 | 155-912 | Job Ready Site Development Bond Service Fund | $ | 0 | $ | 4,124,400 | 1492 | ||||
| TOTAL DSF Debt Service Fund Group | $ | 733,001,400 | $ | 1493 | |||||||
| TOTAL ALL BUDGET FUND GROUPS | $ | 733,001,400 | $ | 1494 | |||||||
| ADDITIONAL APPROPRIATIONS | 1495 |
| Appropriation items in this section are for the purpose of | 1496 |
| paying debt service and financing costs on bonds or notes of the | 1497 |
| state issued under the Ohio Constitution and acts of the General | 1498 |
| Assembly. If it is determined that additional appropriations are | 1499 |
| necessary for this purpose, such amounts are appropriated. | 1500 |
| COMMISSIONER OF THE SINKING FUND HIGHWAY BOND TRANSFER | 1501 |
| AUTHORIZATION | 1502 |
| Notwithstanding any other provision of law to the contrary, | 1503 |
| the Commissioners of the Sinking Fund shall certify to the | 1504 |
| Director of Budget and Management, and the director shall then | 1505 |
| transfer, the cash balance remaining after provision for the | 1506 |
| payment of all outstanding bonds, notes, coupons, and charges from | 1507 |
| the Highway Obligation Bond Retirement Fund (Fund 071) to the | 1508 |
| Highway Capital Improvements Bond Service Fund (Fund 072), created | 1509 |
| by section 151.06 of the Revised Code, as expeditiously as | 1510 |
| possible after the effective date of this section. | 1511 |
| Section 5. That existing Sections 203.99, 203.99.33, | 1512 |
| 203.99.51, and 209.99 of Am. Sub. H.B. 66 of the 126th General | 1513 |
| Assembly are hereby repealed. | 1514 |
| Section 6. All items set forth in this section are hereby | 1515 |
| appropriated out of any moneys in the state treasury to the credit | 1516 |
| of the Job Ready Site Development Fund (Fund 012) that are not | 1517 |
| otherwise appropriated. The appropriations made in this section | 1518 |
| are in addition to any other capital appropriations made for the | 1519 |
| 2004-2006 biennium. | 1520 |
| Appropriations |
| 1521 |
| CAP-003 | Job Ready Site Development | $ | 30,000,000 | 1522 | |||
| TOTAL Department of Development | $ | 30,000,000 | 1523 | ||||
| TOTAL Job Ready Site Development Fund | $ | 30,000,000 | 1524 | ||||
| JOB READY SITE DEVELOPMENT | 1525 |
| The foregoing appropriation item CAP-003, Job Ready Site | 1526 |
| Development, shall be used by the Department of Development in | 1527 |
| accordance with sections 122.085 to 122.0820 of the Revised Code | 1528 |
| and is subject to all provisions of Am. Sub. H.B. 16 of the 126th | 1529 |
| General Assembly that are generally applicable to capital | 1530 |
| appropriations. | 1531 |
| Section 7. The Ohio Public Facilities Commission, upon | 1532 |
| request of the Department of Development, is hereby authorized to | 1533 |
| issue and sell, in accordance with Section 2p of Article VIII, | 1534 |
| Ohio Constitution, and particularly sections 151.01 and 151.11 of | 1535 |
| the Revised Code, original obligations of the State of Ohio in an | 1536 |
| aggregate amount not to exceed $30,000,000. The authorized | 1537 |
| obligations shall be issued and sold from time to time and in | 1538 |
| amounts necessary to ensure sufficient moneys to the credit of the | 1539 |
| Job Ready Site Development Fund (Fund 012) to pay costs of sites | 1540 |
| and facilities. | 1541 |
| Section 8. Except as otherwise specifically provided in this | 1542 |
| act, a codified or uncodified section of law contained in this act | 1543 |
| is not subject to the referendum. Therefore, under Ohio | 1544 |
| Constitution, Article II, Section 1d and section 1.471 of the | 1545 |
| Revised Code, the codified and uncodified sections of law in this | 1546 |
| act, except as otherwise specifically provided in this act, go | 1547 |
| into immediate effect when this act becomes law. | 1548 |
| Section 9. Sections 6 and 7 of this act are subject to the | 1549 |
| referendum. Therefore, under Ohio Constitution, Article II, | 1550 |
| Section 1c and section 1.471 of the Revised Code, those sections | 1551 |
| take effect on the ninety-first day after this act is filed with | 1552 |
| the Secretary of State. If, however, a referendum petition is | 1553 |
| filed against the sections as enacted, those sections, unless | 1554 |
| rejected at the referendum, take effect at the earliest time | 1555 |
| permitted by law. | 1556 |