To amend sections 189.01, 189.03, 189.04, 189.05, 189.06, 189.07, and 189.08 of the Revised Code and to amend Sections 261.10 and 261.20.93 of Am. Sub. H.B. 153 of the 129th General Assembly regarding the Local Government Innovation Program and to make an appropriation.
SECTION 1. That sections 189.01, 189.03, 189.04, 189.05, 189.06, 189.07, and 189.08 of the Revised Code be amended to read as follows:
Sec. 189.01. As used in sections 189.01 to 189.09 of the
Revised Code, "political subdivision" means a municipal
corporation, township, county, school district, or other body
corporate and politic responsible for governmental activities in a
geographic area smaller than that of the state. "Political
subdivision" includes a county hospital commission appointed under
section 339.14 of the Revised Code, board of hospital
commissioners appointed for a municipal hospital under section
749.04 of the Revised Code, board of hospital trustees appointed
for a municipal hospital under section 749.22 of the Revised Code,
regional planning commission created pursuant to section 713.21 of
the Revised Code, county planning commission created pursuant to
section 713.22 of the Revised Code, joint planning council created
pursuant to section 713.231 of the Revised Code, interstate
regional planning commission created pursuant to section 713.30 of
the Revised Code, port authority created pursuant to section
4582.02 or 4582.26 of the Revised Code or in existence on December
16, 1964, regional council established by political subdivisions
pursuant to Chapter 167. of the Revised Code, emergency planning
district and joint emergency planning district designated under
section 3750.03 of the Revised Code, joint emergency medical
services district created pursuant to section 307.052 of the
Revised Code, fire and ambulance district created pursuant to
section 505.375 of the Revised Code, joint interstate emergency
planning district established by an agreement entered into under
section 3750.03 of the Revised Code, county solid waste management
district and joint solid waste management district established
under section 343.01 or 343.012 of the Revised Code, community
school established under Chapter 3314. of the Revised Code, the
county or counties served by a community-based correctional
facility and program or district community-based correctional
facility and program established and operated under sections
2301.51 to 2301.58 of the Revised Code, a community-based
correctional facility and program or district community-based
correctional facility and program that is so established and
operated, and the facility governing board of a community-based
correctional facility and program or district community-based
correctional facility and program that is so established and
operated has the same meaning as in section 2744.01 of the Revised
Code.
Sec. 189.03. (A) There is hereby created the local government innovation council to establish criteria for and make loans and awards to political subdivisions for local government innovation projects and take such other actions, in consultation with the department of development, as necessary to implement the local government innovation program established in section 189.02 of the Revised Code.
(B) The council shall consist of the following members:
(1) The director of development, or the director's designee;
(2) The director of budget and management, or the director's designee;
(3) The auditor of state, or the auditor's designee;
(4) Two members of the senate, one member appointed by the president of the senate and one member appointed by the minority leader of the senate;
(5) Two members of the house of representatives, one member appointed by the speaker of the house of representatives and one member appointed by the minority leader of the house of representatives;
(6) One member recommended by the Ohio municipal league, appointed by the governor;
(7) One member recommended by the county commissioners association of Ohio, appointed by the governor;
(8) One member recommended by the Ohio township association, appointed by the governor;
(9) One member recommended by the Ohio chamber of commerce, appointed by the governor;
(10) One member recommended by the Ohio school boards association, appointed by the governor;
(11) One member, appointed by the governor, who is recommended by an Ohio-based advocacy group selected by the governor;
(12) One member, appointed by the governor, who is recommended by an Ohio-based foundation selected by the governor;
(13) One member with expertise in local government issues,
appointed by the governor, who is recommended by the chancellor of
the board of regents.
(C) Initial appointments to the council shall be made not
later than September 30, 2011. Of the governor's initial
appointees, three shall serve an initial term of one year, two
three shall serve an initial term of two years, and two shall
serve an initial term of three years. Thereafter, each member
appointed by the governor shall serve a four-year term, or a term
ending when the council ceases to exist, whichever occurs first.
The remaining members of the council shall be appointed for
four-year terms, or terms ending when the council ceases to exist,
whichever occurs first. Members may be reappointed to the council.
Vacancies on the council shall be filled in the same manner as the original appointments.
(D) At its first meeting, the council shall select a chairperson from among its members. After the first meeting, the council shall meet at the call of the chairperson or upon the request of a majority of the council's members. A majority of the council constitutes a quorum.
(E) The department of development shall provide administrative assistance to the council.
(F) Council members shall receive no compensation but shall be reimbursed for actual and necessary expenses incurred in the performance of council duties.
Sec. 189.04. (A) The local government innovation council shall award loans to a qualified political subdivision or a qualified group of political subdivisions to be used for the purchase of equipment, facilities, or systems or for implementation costs.
Loans made under division (A) of this section shall be repaid by recipients using savings achieved from the innovation project.
(B) Up to twenty per cent of the funds in the local government innovation fund, established in section 189.05 of the Revised Code, may be awarded by the council as grants to political subdivisions for use in process improvement or implementation of innovation project awards.
(C) The council shall award, in total grants and loans, not
more than one hundred thousand dollars in total grants and not
more than one hundred thousand dollars in total loans to an
individual political subdivision and not more than five hundred
thousand dollars per innovation project under this section.
For an
innovation project involving a qualified group of political
subdivisions, the council shall award, in total grants and loans,
not more than five hundred thousand dollars, and the average
amount per political subdivision shall not exceed one hundred
thousand dollars.
Sec. 189.05. Funds for awards made by the local government innovation council shall be made from the local government innovation fund, which is hereby created in the state treasury. The fund shall consist of moneys appropriated to it, repayments of principal and interest on loans made from the fund, and any grants or donations received from nonpublic entities. Interest earned on the money in the fund shall be credited to the fund.
Sec. 189.06. (A) All political subdivisions of the state are
eligible to apply for awards under the local government innovation
program. The Applications shall be submitted to the department of
development on a form specified by the director of development.
The department shall provide the application to the local
government innovation council for evaluation and selection.
The local government innovation council shall award loans and grants under the program in accordance with a competitive process to be developed by the council.
(B) Not later than December 31, 2011, the council shall establish criteria for evaluating proposals and making awards to political subdivisions. The criteria shall be developed in consultation with nonpublic entities involved in local government issues, state institutions of higher education, and the department of development, as determined by the council. The criteria shall include a requirement that at least one of the political subdivisions that is a party to the proposal provide matching funds. The matching funds may be provided by a nonpublic entity. The criteria for evaluating proposals may include the following provisions:
(1) The expected return on investment, based on the ratio of expected savings;
(2) The number of participating entities in the proposal;
(3) The probability of the proposal's success;
(4) The percentage of local matching funds available;
(5) The ability to replicate the proposal in other political subdivisions;
(6) Whether the proposal is part of a larger consolidation effort by the applicant or applicants;
(7) Whether the proposal is to implement performance audit
or other audit recommendations under section 117.462 Chapter 117.
of the Revised Code;
(8) Whether the applicant has successfully completed an innovation project in the past.
Sec. 189.07. A political subdivision seeking an award under
the local government innovation program shall submit a proposal to
the subdivision's district public works integrating committee. The
committee shall submit the proposal to the department of
development, with advisory comments. The department shall provide
the proposal to the local government innovation council for
evaluation and selection The local government innovation council
shall develop and implement a means of ensuring local support for
each grant or loan application submitted to the department of
development under section 189.06 of the Revised Code.
Sec. 189.08. (A) Starting not later than March 1, 2012, the local government innovation council shall begin evaluating proposals received from the department of development for awards to political subdivisions. Not later than July 1, 2012, the council shall make its first round of awards to the political subdivisions.
(B) After making the first round of awards, the council shall evaluate proposals and make awards on a quarterly basis, or on another schedule determined by the council, with the council determining the funding levels for each round of awards.
(C) When making awards from the local government innovation
fund created in section 189.05 of the Revised Code, the funds
available for each round of awards awarded across all rounds shall
be divided into the following tiers allocated as follows:
(1) At least thirty per cent to political subdivisions that
are not counties and have a population of less than 50,000
20,000
residents as determined in the decennial census conducted in 2010
or counties with a population of less than 130,000 235,000
residents as determined in the decennial census conducted in 2010;
(2) At least thirty per cent to political subdivisions that
are not counties and have a population of 50,000 20,000 residents
or more as determined in the decennial census conducted in 2010 or
counties with a population of 130,000 235,000 residents or more as
determined in the decennial census conducted in 2010.
If a proposal includes participants from both division
divisions (C)(1) and (2) of this section, the award may be drawn
from either or both tiers in the local government innovation fund.
SECTION 2. That existing sections 189.01, 189.03, 189.04, 189.05, 189.06, 189.07, and 189.08 of the Revised Code are hereby repealed.
SECTION 3. The member appointed to the Local Government Innovation Council under division (B)(13) of section 189.03 of the Revised Code, as that section existed prior to the act's effective date, shall be replaced on the Council by the member appointed by the Governor in accordance with the act's amendments to that section.
SECTION 4. That Sections 261.10 and 261.20.93 of Am. Sub. H.B. 153 of the 129th General Assembly be amended to read as follows:
Sec. 261.10. DEV DEPARTMENT OF DEVELOPMENT
General Revenue Fund
| GRF | 195401 | Thomas Edison Program | $ | 14,820,354 | $ | 0 | |||||
| GRF | 195402 | Coal Development Office | $ | 260,983 | $ | 261,205 | |||||
| GRF | 195404 | Small Business Development | $ | 1,565,770 | $ | 0 | |||||
| GRF | 195405 | Minority Business Enterprise Division | $ | 1,118,528 | $ | 0 | |||||
| GRF | 195407 | Travel and Tourism | $ | 5,000,000 | $ | 0 | |||||
| GRF | 195412 | Rapid Outreach Grants | $ | 9,000,000 | $ | 0 | |||||
| GRF | 195415 | Strategic Business Investment Division and Regional Offices | $ | 4,500,000 | $ | 0 | |||||
| GRF | 195416 | Governor's Office of Appalachia | $ | 3,700,000 | $ | 3,700,000 | |||||
| GRF | 195422 | Technology Action | $ | 547,341 | $ | 0 | |||||
| GRF | 195426 | Clean Ohio Implementation | $ | 468,365 | $ | 0 | |||||
| GRF | 195432 | Global Markets | $ | 3,500,000 | $ | 0 | |||||
| GRF | 195434 | Industrial Training Grants | $ | 10,000,000 | $ | 0 | |||||
| GRF | 195497 | CDBG Operating Match | $ | 1,015,000 | $ | 0 | |||||
| GRF | 195501 | Appalachian Local Development Districts | $ | 391,482 | $ | 391,482 | |||||
| GRF | 195502 | Appalachian Regional Commission Dues | $ | 195,000 | $ | 195,000 | |||||
| GRF | 195528 | Economic Development Projects | $ | 0 | $ | 26,943,518 | |||||
| GRF | 195901 | Coal Research & Development General Obligation Debt Service | $ | 7,861,100 | $ | 5,577,700 | |||||
| GRF | 195905 | Third Frontier Research & Development General Obligation Debt Service | $ | 29,323,300 | $ | 63,640,300 | |||||
| GRF | 195912 | Job Ready Site Development General Obligation Debt Service | $ | 9,859,200 | $ | 15,680,500 | |||||
| TOTAL GRF General Revenue Fund | $ | 103,126,423 | $ | 116,389,705 | |||||||
General Services Fund Group
| 1350 | 195684 | Supportive Services | $ | 11,700,000 | $ | 11,700,000 | |||||
| 4W10 | 195646 | Minority Business Enterprise Loan | $ | 2,500,000 | $ | 2,500,000 | |||||
| 5AD0 | 195633 | Legacy Projects | $ | 15,000,000 | $ | 15,000,000 | |||||
| 5AD0 | 195677 | Economic Development Contingency | $ | 10,000,000 | $ | 0 | |||||
| 5W50 | 195690 | Travel and Tourism Cooperative Projects | $ | 50,000 | $ | 50,000 | |||||
| 6850 | 195636 | Direct Cost Recovery Expenditures | $ | 750,000 | $ | 750,000 | |||||
| TOTAL GSF General Services Fund | |||||||||||
| Group | $ | 40,000,000 | $ | 30,000,000 | |||||||
Federal Special Revenue Fund Group
| 3080 | 195602 | Appalachian Regional Commission | $ | 475,000 | $ | 475,000 | |||||
| 3080 | 195603 | Housing and Urban Development | $ | 6,000,000 | $ | 6,000,000 | |||||
| 3080 | 195605 | Federal Projects | $ | 85,028,606 | $ | 85,470,106 | |||||
| 3080 | 195609 | Small Business Administration | $ | 6,438,143 | $ | 5,511,381 | |||||
| 3080 | 195618 | Energy Federal Grants | $ | 38,000,000 | $ | 3,400,000 | |||||
| 3350 | 195610 | Energy Conservation and Emerging Technology | $ | 1,100,000 | $ | 1,100,000 | |||||
| 3AE0 | 195643 | Workforce Development Initiatives | $ | 16,300,000 | $ | 16,300,000 | |||||
| 3DB0 | 195642 | Federal Stimulus - Energy Efficiency & Conservation Block Grants | $ | 3,000,000 | $ | 42,485 | |||||
| 3EG0 | 195608 | Federal Energy Training | $ | 5,000,000 | $ | 1,344,056 | |||||
| 3K80 | 195613 | Community Development Block Grant | $ | 76,795,818 | $ | 65,210,000 | |||||
| 3K90 | 195611 | Home Energy Assistance Block Grant | $ | 115,743,608 | $ | 115,743,608 | |||||
| 3K90 | 195614 | HEAP Weatherization | $ | 22,000,000 | $ | 22,000,000 | |||||
| 3L00 | 195612 | Community Services Block Grant | $ | 27,240,217 | $ | 27,240,217 | |||||
| 3V10 | 195601 | HOME Program | $ | 40,000,000 | $ | 40,000,000 | |||||
| TOTAL FED Federal Special Revenue | |||||||||||
| Fund Group | $ | 443,121,392 | $ | 389,836,853 | |||||||
State Special Revenue Fund Group
| 4500 | 195624 | Minority Business Bonding Program Administration | $ | 160,110 | $ | 159,069 | |||||
| 4510 | 195625 | Economic Development Financing Operating | $ | 3,000,000 | $ | 3,000,000 | |||||
| 4F20 | 195639 | State Special Projects | $ | 180,437 | $ | 180,436 | |||||
| 4F20 | 195676 | Marketing Initiatives | $ | 5,000,000 | $ | 0 | |||||
| 4F20 | 195699 | Utility Provided Funds | $ | 500,000 | $ | 500,000 | |||||
| 4S00 | 195630 | Tax Incentive Programs | $ | 650,800 | $ | 650,800 | |||||
| 5CG0 | 195679 | $ | 750,000 | $ | 750,000 | ||||||
| 5HJ0 | 195604 | Motion Picture Tax Credit Program | $ | 50,000 | $ | 50,000 | |||||
| 5HR0 | 195526 | Ohio Workforce Job Training | $ | 20,000,000 | $ | 30,000,000 | |||||
| 5HR0 | 195622 | Defense Development Assistance | $ | 5,000,000 | $ | 5,000,000 | |||||
| 5JR0 | 195656 | New Market Tax Credit Program | $ | 50,000 | $ | 50,000 | |||||
| 5KD0 | 195621 | Brownfield Stormwater Loan | $ | 50,000 | $ | 50,000 | |||||
| 5KN0 | 195640 | Local Government Innovation | $ | $ | |||||||
| 5M40 | 195659 | Low Income Energy Assistance | $ | 245,000,000 | $ | 245,000,000 | |||||
| 5M50 | 195660 | Advanced Energy Programs | $ | 8,000,000 | $ | 0 | |||||
| 5W60 | 195691 | International Trade Cooperative Projects | $ | 160,000 | $ | 160,000 | |||||
| 6170 | 195654 | Volume Cap Administration | $ | 94,397 | $ | 92,768 | |||||
| 6460 | 195638 | Low- and Moderate- Income Housing Trust Fund | $ | 53,000,000 | $ | 53,000,000 | |||||
| TOTAL SSR State Special Revenue | |||||||||||
| Fund Group | $ | $ | |||||||||
Facilities Establishment Fund Group
| 5S90 | 195628 | Capital Access Loan Program | $ | 1,500,000 | $ | 1,500,000 | |||||
| 7009 | 195664 | Innovation Ohio | $ | 15,000,000 | $ | 15,000,000 | |||||
| 7010 | 195665 | Research and Development | $ | 22,000,000 | $ | 22,000,000 | |||||
| 7037 | 195615 | Facilities Establishment | $ | 50,000,000 | $ | 50,000,000 | |||||
| TOTAL 037 Facilities | |||||||||||
| Establishment Fund Group | $ | 88,500,000 | $ | 88,500,000 | |||||||
Clean Ohio Revitalization Fund
| 7003 | 195663 | Clean Ohio Operating | $ | 950,000 | $ | 950,000 | |||||
| TOTAL 7003 Clean Ohio Revitalization Fund | $ | 950,000 | $ | 950,000 | |||||||
Third Frontier Research & Development Fund Group
| 7011 | 195686 | Third Frontier Operating | $ | 1,149,750 | $ | 1,149,750 | |||||
| 7011 | 195687 | Third Frontier Research & Development Projects | $ | 183,850,250 | $ | 133,850,250 | |||||
| 7014 | 195620 | Third Frontier Operating - Tax | $ | 1,700,000 | $ | 1,700,000 | |||||
| 7014 | 195692 | Research & Development Taxable Bond Projects | $ | 38,300,000 | $ | 38,300,000 | |||||
| TOTAL 011 Third Frontier Research & Development Fund Group | $ | 225,000,000 | $ | 175,000,000 | |||||||
Job Ready Site Development Fund Group
| 7012 | 195688 | Job Ready Site Operating | $ | 800,000 | $ | 800,000 | |||||
| TOTAL 012 Job Ready Site Development Fund Group | $ | 800,000 | $ | 800,000 | |||||||
Tobacco Master Settlement Agreement Fund Group
| M087 | 195435 | Biomedical Research and Technology Transfer | $ | 1,999,224 | $ | 1,999,224 | |||||
| TOTAL TSF Tobacco Master Settlement Agreement Fund Group | $ | 1,999,224 | $ | 1,999,224 | |||||||
| TOTAL ALL BUDGET FUND GROUPS | $ | $ | |||||||||
Sec. 261.20.93. LOCAL GOVERNMENT INNOVATION FUND
The foregoing appropriation item 195640, Local Government
Innovation, shall be used for the purposes of making loans and
grants to political subdivisions under the Local Government
Innovation Program in accordance with sections 189.01 to 189.10 of
the Revised Code. Of the foregoing appropriation item 195640,
Local Government Innovation, up to $100,000 175,000 in fiscal year
2012 and $175,000 in fiscal year 2013 shall be used for
administrative costs incurred by the Department of Development.
On the effective date of this amendment, or as soon as possible thereafter, the Director of Budget and Management shall transfer $175,000 in cash from the General Revenue Fund to the Local Government Innovation Fund (Fund 5KN0). On July 1, 2012, or as soon as possible thereafter, the Director of Budget and Management shall transfer $44,825,000 in cash from the General Revenue Fund to the Local Government Innovation Fund (Fund 5KN0).
SECTION 5. That existing Sections 261.10 and 261.20.93 of Am. Sub. H.B. 153 of the 129th General Assembly are hereby repealed.