As Reported by the House Economic and Small Business Development Committee

129th General Assembly Regular Session 2011-2012

Sub. S. B. No. 314

Senators Wagoner, Cafaro 

Cosponsors: Senators Beagle, Lehner, Manning, Obhof, Widener, Oelslager, Bacon, Balderson, Burke, Coley, Eklund, Faber, Hite, Jones, LaRose, Niehaus, Patton, Peterson, Schaffer, Seitz 

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A BILL

To amend sections 9.981, 102.03, 121.02, 121.03,

1

121.22, 122.01, 122.011, 122.07, 122.071, 122.17,

2

122.171, 122.174, 122.175, 122.39, 122.41, 122.42,

3

122.43, 122.44, 122.48, 122.49, 122.50, 122.51,

4

122.52, 122.53, 122.561, 122.57, 122.60, 122.601,

5

122.602, 122.603, 122.61, 122.62, 122.64, 122.76,

6

122.80, 122.86, 149.311, 149.43, 164.05, 164.06,

7

164.08, 166.01, 166.04, 166.05, 166.11, 166.13,

8

166.14, 166.18, 166.19, 166.25, 166.30, 174.01,

9

184.01, 187.01, 187.03, 187.04, 187.05, 929.03,

10

1551.01, 3735.672, 3746.35, 5117.22, 5709.68,

11

5709.882, 6103.052, and 6117.062, to amend, for

12

the purpose of adopting new section numbers as

13

indicated in parentheses, sections 122.07

14

(122.073) and 122.071 (122.072), to enact new

15

sections 122.07 and 122.071 and sections 122.942,

16

122.97, 184.011, 187.061, 3735.01, and 5701.15,

17

and to repeal sections 122.40, 1525.11, 1525.12,

18

1525.13, and 6111.034 of the Revised Code to

19

rename the Department of Development the

20

"Development Services Agency"; to establish the

21

Office of TourismOhio within the Development

22

Services Agency, create the TourismOhio Advisory

23

Board, and establish a pilot program to test a new

24

funding mechanism for the state's travel and

25

tourism marketing; to modify the operation of

26

JobsOhio, including by requiring annual ethics

27

training, ethical conduct statements, and the

28

development of a gift policy; to makes changes to

29

the Capital Access Loan Program Fund and to allow

30

transfers to the Capital Access Loan Program Fund

31

from the Minority Business Enterprise Loan Fund;

32

to provide for projects that were started prior to

33

receiving a tax credit from the Ohio Tax Credit

34

Authority; to modify reporting requirements under

35

the Voluntary Action Program; to require the

36

Director of Development Services to administer

37

federal funds received for Brownfields

38

revitalization purposes; to terminate the Water

39

and Sewer Commission; to terminate the Development

40

Financing Advisory Council; to require the

41

Director of Development Services to make certain

42

information available to the public with respect

43

to each project for which state-funded financial

44

assistance is awarded by the Development Services

45

Agency; to expand eligibility for the historic

46

rehabilitation tax credit; to establish an annual

47

debt service limitation on project financing

48

obligations issued for certain economic

49

development programs; and to increase the

50

membership of the Third Frontier Commission.

51

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

Section 1. That sections 9.981, 102.03, 121.02, 121.03,	52
121.22, 122.01, 122.011, 122.07, 122.071, 122.17, 122.171,	53
122.174, 122.175, 122.39, 122.41, 122.42, 122.43, 122.44, 122.48,	54
122.49, 122.50, 122.51, 122.52, 122.53, 122.561, 122.57, 122.60,	55
122.601, 122.602, 122.603, 122.61, 122.62, 122.64, 122.76, 122.80,	56
122.86, 149.311, 149.43, 164.05, 164.06, 164.08, 166.01, 166.04,	57
166.05, 166.11, 166.13, 166.14, 166.18, 166.19, 166.25, 166.30,	58
174.01, 184.01, 187.01, 187.03, 187.04, 187.05, 929.03, 1551.01,	59
3735.672, 3746.35, 5117.22, 5709.68, 5709.882, 6103.052, and	60
6117.062 be amended, sections 122.07 (122.073) and 122.071	61
(122.072) be amended for the purpose of adopting new section	62
numbers as indicated in parentheses, and new sections 122.07 and	63
122.071 and sections 122.942, 122.97, 184.011, 187.061, 3735.01,	64
and 5701.15 of the Revised Code be enacted to read as follows:	65

Sec. 9.981.  (A) Sections 9.98 to 9.983 of the Revised Code	66
are applicable to bonds:	67

(1) The payment of the debt service on which is to be	68
provided for directly or indirectly by payments contracted to be	69
made in the bond proceedings by the absolute obligors, being	70
persons other than the issuer; and	71

(2) Which are authorized to be issued under sections 122.39	72
and 122.41 to 122.62, Chapter 165., 902., 3377., 3706., division	73
(A)(4) of section 4582.06, division (A)(8) of section 4582.31,	74
section 4582.48, or Chapter 6121. or 6123. of the Revised Code,	75
notwithstanding other provisions therein.	76

(B) Sections 9.98 to 9.983 of the Revised Code are applicable	77
to bonds issued under sections 306.37 and 6119.12 of the Revised	78
Code and Chapters 140., 152., 154., 175., and 349. of the Revised	79
Code, and to any bonds authorized under laws which expressly make	80
those sections applicable.	81

(C) Subject to division (A) of this section, the authority	82
provided in sections 9.98 to 9.983 of the Revised Code is	83
supplemental to and not in derogation of any similar authority	84
provided by, derived from, or implied by, any law, the Ohio	85
Constitution, or any charter, resolution, or ordinance, and no	86
inference shall be drawn to negate the authority thereunder by	87
reason of the express provisions of sections 9.98 to 9.983 of the	88
Revised Code.	89

(D) Sections 9.98 to 9.983 of the Revised Code shall be	90
liberally construed to permit flexibility in the arrangements	91
therein provided to enhance the issuance of such bonds and provide	92
for terms most beneficial and satisfactory to the persons which	93
undertake to provide for their payment, security, and liquidity.	94

Sec. 102.03.  (A)(1) No present or former public official or	95
employee shall, during public employment or service or for twelve	96
months thereafter, represent a client or act in a representative	97
capacity for any person on any matter in which the public official	98
or employee personally participated as a public official or	99
employee through decision, approval, disapproval, recommendation,	100
the rendering of advice, investigation, or other substantial	101
exercise of administrative discretion.	102

(2) For twenty-four months after the conclusion of service,	103
no former commissioner or attorney examiner of the public	104
utilities commission shall represent a public utility, as defined	105
in section 4905.02 of the Revised Code, or act in a representative	106
capacity on behalf of such a utility before any state board,	107
commission, or agency.	108

(3) For twenty-four months after the conclusion of employment	109
or service, no former public official or employee who personally	110
participated as a public official or employee through decision,	111
approval, disapproval, recommendation, the rendering of advice,	112
the development or adoption of solid waste management plans,	113
investigation, inspection, or other substantial exercise of	114
administrative discretion under Chapter 343. or 3734. of the	115
Revised Code shall represent a person who is the owner or operator	116
of a facility, as defined in section 3734.01 of the Revised Code,	117
or who is an applicant for a permit or license for a facility	118
under that chapter, on any matter in which the public official or	119
employee personally participated as a public official or employee.	120

(4) For a period of one year after the conclusion of	121
employment or service as a member or employee of the general	122
assembly, no former member or employee of the general assembly	123
shall represent, or act in a representative capacity for, any	124
person on any matter before the general assembly, any committee of	125
the general assembly, or the controlling board. Division (A)(4) of	126
this section does not apply to or affect a person who separates	127
from service with the general assembly on or before December 31,	128
1995. As used in division (A)(4) of this section "person" does not	129
include any state agency or political subdivision of the state.	130

(5) As used in divisions (A)(1), (2), and (3) of this	131
section, "matter" includes any case, proceeding, application,	132
determination, issue, or question, but does not include the	133
proposal, consideration, or enactment of statutes, rules,	134
ordinances, resolutions, or charter or constitutional amendments.	135
As used in division (A)(4) of this section, "matter" includes the	136
proposal, consideration, or enactment of statutes, resolutions, or	137
constitutional amendments. As used in division (A) of this	138
section, "represent" includes any formal or informal appearance	139
before, or any written or oral communication with, any public	140
agency on behalf of any person.	141

(6) Nothing contained in division (A) of this section shall	142
prohibit, during such period, a former public official or employee	143
from being retained or employed to represent, assist, or act in a	144
representative capacity for the public agency by which the public	145
official or employee was employed or on which the public official	146
or employee served.	147

(7) Division (A) of this section shall not be construed to	148
prohibit the performance of ministerial functions, including, but	149
not limited to, the filing or amendment of tax returns,	150
applications for permits and licenses, incorporation papers, and	151
other similar documents.	152

(8) Division (A) of this section does not prohibit a	153
nonelected public official or employee of a state agency, as	154
defined in section 1.60 of the Revised Code, from becoming a	155
public official or employee of another state agency. Division (A)	156
of this section does not prohibit such an official or employee	157
from representing or acting in a representative capacity for the	158
official's or employee's new state agency on any matter in which	159
the public official or employee personally participated as a	160
public official or employee at the official's or employee's former	161
state agency. However, no public official or employee of a state	162
agency shall, during public employment or for twelve months	163
thereafter, represent or act in a representative capacity for the	164
official's or employee's new state agency on any audit or	165
investigation pertaining to the official's or employee's new state	166
agency in which the public official or employee personally	167
participated at the official's or employee's former state agency	168
through decision, approval, disapproval, recommendation, the	169
rendering of advice, investigation, or other substantial exercise	170
of administrative discretion.	171

(9) Division (A) of this section does not prohibit a	172
nonelected public official or employee of a political subdivision	173
from becoming a public official or employee of a different	174
department, division, agency, office, or unit of the same	175
political subdivision. Division (A) of this section does not	176
prohibit such an official or employee from representing or acting	177
in a representative capacity for the official's or employee's new	178
department, division, agency, office, or unit on any matter in	179
which the public official or employee personally participated as a	180
public official or employee at the official's or employee's former	181
department, division, agency, office, or unit of the same	182
political subdivision. As used in this division, "political	183
subdivision" means a county, township, municipal corporation, or	184
any other body corporate and politic that is responsible for	185
government activities in a geographic area smaller than that of	186
the state.	187

(10) No present or former Ohio casino control commission	188
official shall, during public service or for two years thereafter,	189
represent a client, be employed or compensated by a person	190
regulated by the commission, or act in a representative capacity	191
for any person on any matter before or concerning the commission.	192

No present or former commission employee shall, during public	193
employment or for two years thereafter, represent a client or act	194
in a representative capacity on any matter in which the employee	195
personally participated as a commission employee through decision,	196
approval, disapproval, recommendation, the rendering of advice,	197
investigation, or other substantial exercise of administrative	198
discretion.	199

(B) No present or former public official or employee shall	200
disclose or use, without appropriate authorization, any	201
information acquired by the public official or employee in the	202
course of the public official's or employee's official duties that	203
is confidential because of statutory provisions, or that has been	204
clearly designated to the public official or employee as	205
confidential when that confidential designation is warranted	206
because of the status of the proceedings or the circumstances	207
under which the information was received and preserving its	208
confidentiality is necessary to the proper conduct of government	209
business.	210

(C) No public official or employee shall participate within	211
the scope of duties as a public official or employee, except	212
through ministerial functions as defined in division (A) of this	213
section, in any license or rate-making proceeding that directly	214
affects the license or rates of any person, partnership, trust,	215
business trust, corporation, or association in which the public	216
official or employee or immediate family owns or controls more	217
than five per cent. No public official or employee shall	218
participate within the scope of duties as a public official or	219
employee, except through ministerial functions as defined in	220
division (A) of this section, in any license or rate-making	221
proceeding that directly affects the license or rates of any	222
person to whom the public official or employee or immediate	223
family, or a partnership, trust, business trust, corporation, or	224
association of which the public official or employee or the public	225
official's or employee's immediate family owns or controls more	226
than five per cent, has sold goods or services totaling more than	227
one thousand dollars during the preceding year, unless the public	228
official or employee has filed a written statement acknowledging	229
that sale with the clerk or secretary of the public agency and the	230
statement is entered in any public record of the agency's	231
proceedings. This division shall not be construed to require the	232
disclosure of clients of attorneys or persons licensed under	233
section 4732.12 or 4732.15 of the Revised Code, or patients of	234
persons certified under section 4731.14 of the Revised Code.	235

(D) No public official or employee shall use or authorize the	236
use of the authority or influence of office or employment to	237
secure anything of value or the promise or offer of anything of	238
value that is of such a character as to manifest a substantial and	239
improper influence upon the public official or employee with	240
respect to that person's duties.	241

(E) No public official or employee shall solicit or accept	242
anything of value that is of such a character as to manifest a	243
substantial and improper influence upon the public official or	244
employee with respect to that person's duties.	245

(F) No person shall promise or give to a public official or	246
employee anything of value that is of such a character as to	247
manifest a substantial and improper influence upon the public	248
official or employee with respect to that person's duties.	249

(G) In the absence of bribery or another offense under the	250
Revised Code or a purpose to defraud, contributions made to a	251
campaign committee, political party, legislative campaign fund,	252
political action committee, or political contributing entity on	253
behalf of an elected public officer or other public official or	254
employee who seeks elective office shall be considered to accrue	255
ordinarily to the public official or employee for the purposes of	256
divisions (D), (E), and (F) of this section.	257

As used in this division, "contributions," "campaign	258
committee," "political party," "legislative campaign fund,"	259
"political action committee," and "political contributing entity"	260
have the same meanings as in section 3517.01 of the Revised Code.	261

(H)(1) No public official or employee, except for the	262
president or other chief administrative officer of or a member of	263
a board of trustees of a state institution of higher education as	264
defined in section 3345.011 of the Revised Code, who is required	265
to file a financial disclosure statement under section 102.02 of	266
the Revised Code shall solicit or accept, and no person shall give	267
to that public official or employee, an honorarium. Except as	268
provided in division (H)(2) of this section, this division and	269
divisions (D), (E), and (F) of this section do not prohibit a	270
public official or employee who is required to file a financial	271
disclosure statement under section 102.02 of the Revised Code from	272
accepting and do not prohibit a person from giving to that public	273
official or employee the payment of actual travel expenses,	274
including any expenses incurred in connection with the travel for	275
lodging, and meals, food, and beverages provided to the public	276
official or employee at a meeting at which the public official or	277
employee participates in a panel, seminar, or speaking engagement	278
or provided to the public official or employee at a meeting or	279
convention of a national organization to which any state agency,	280
including, but not limited to, any state legislative agency or	281
state institution of higher education as defined in section	282
3345.011 of the Revised Code, pays membership dues. Except as	283
provided in division (H)(2) of this section, this division and	284
divisions (D), (E), and (F) of this section do not prohibit a	285
public official or employee who is not required to file a	286
financial disclosure statement under section 102.02 of the Revised	287
Code from accepting and do not prohibit a person from promising or	288
giving to that public official or employee an honorarium or the	289
payment of travel, meal, and lodging expenses if the honorarium,	290
expenses, or both were paid in recognition of demonstrable	291
business, professional, or esthetic interests of the public	292
official or employee that exist apart from public office or	293
employment, including, but not limited to, such a demonstrable	294
interest in public speaking and were not paid by any person or	295
other entity, or by any representative or association of those	296
persons or entities, that is regulated by, doing business with, or	297
seeking to do business with the department, division, institution,	298
board, commission, authority, bureau, or other instrumentality of	299
the governmental entity with which the public official or employee	300
serves.	301

(2) No person who is a member of the board of a state	302
retirement system, a state retirement system investment officer,	303
or an employee of a state retirement system whose position	304
involves substantial and material exercise of discretion in the	305
investment of retirement system funds shall solicit or accept, and	306
no person shall give to that board member, officer, or employee,	307
payment of actual travel expenses, including expenses incurred	308
with the travel for lodging, meals, food, and beverages.	309

(I) A public official or employee may accept travel, meals,	310
and lodging or expenses or reimbursement of expenses for travel,	311
meals, and lodging in connection with conferences, seminars, and	312
similar events related to official duties if the travel, meals,	313
and lodging, expenses, or reimbursement is not of such a character	314
as to manifest a substantial and improper influence upon the	315
public official or employee with respect to that person's duties.	316
The house of representatives and senate, in their code of ethics,	317
and the Ohio ethics commission, under section 111.15 of the	318
Revised Code, may adopt rules setting standards and conditions for	319
the furnishing and acceptance of such travel, meals, and lodging,	320
expenses, or reimbursement.	321

A person who acts in compliance with this division and any	322
applicable rules adopted under it, or any applicable, similar	323
rules adopted by the supreme court governing judicial officers and	324
employees, does not violate division (D), (E), or (F) of this	325
section. This division does not preclude any person from seeking	326
an advisory opinion from the appropriate ethics commission under	327
section 102.08 of the Revised Code.	328

(J) For purposes of divisions (D), (E), and (F) of this	329
section, the membership of a public official or employee in an	330
organization shall not be considered, in and of itself, to be of	331
such a character as to manifest a substantial and improper	332
influence on the public official or employee with respect to that	333
person's duties. As used in this division, "organization" means a	334
church or a religious, benevolent, fraternal, or professional	335
organization that is tax exempt under subsection 501(a) and	336
described in subsection 501(c)(3), (4), (8), (10), or (19) of the	337
"Internal Revenue Code of 1986." This division does not apply to a	338
public official or employee who is an employee of an organization,	339
serves as a trustee, director, or officer of an organization, or	340
otherwise holds a fiduciary relationship with an organization.	341
This division does not allow a public official or employee who is	342
a member of an organization to participate, formally or	343
informally, in deliberations, discussions, or voting on a matter	344
or to use histhe public official's or employee's official	345
position with regard to the interests of the organization on the	346
matter if the public official or employee has assumed a particular	347
responsibility in the organization with respect to the matter or	348
if the matter would affect that person's personal, pecuniary	349
interests.	350

(K) It is not a violation of this section for a prosecuting	351
attorney to appoint assistants and employees in accordance with	352
division (B) of section 309.06 and section 2921.421 of the Revised	353
Code, for a chief legal officer of a municipal corporation or an	354
official designated as prosecutor in a municipal corporation to	355
appoint assistants and employees in accordance with sections	356
733.621 and 2921.421 of the Revised Code, for a township law	357
director appointed under section 504.15 of the Revised Code to	358
appoint assistants and employees in accordance with sections	359
504.151 and 2921.421 of the Revised Code, or for a coroner to	360
appoint assistants and employees in accordance with division (B)	361
of section 313.05 of the Revised Code.	362

As used in this division, "chief legal officer" has the same	363
meaning as in section 733.621 of the Revised Code.	364

(L) No present public official or employee with a casino	365
gaming regulatory function shall indirectly invest, by way of an	366
entity the public official or employee has an ownership interest	367
or control in, or directly invest in a casino operator, management	368
company, holding company, casino facility, or gaming-related	369
vendor. No present public official or employee with a casino	370
gaming regulatory function shall directly or indirectly have a	371
financial interest in, have an ownership interest in, be the	372
creditor or hold a debt instrument issued by, or have an interest	373
in a contractual or service relationship with a casino operator,	374
management company, holding company, casino facility, or	375
gaming-related vendor. This section does not prohibit or limit	376
permitted passive investing by the public official or employee.	377

As used in this division, "passive investing" means	378
investment by the public official or employee by means of a mutual	379
fund in which the public official or employee has no control of	380
the investments or investment decisions. "Casino operator,"	381
"holding company," "management company," "casino facility," and	382
"gaming-related vendor" have the same meanings as in section	383
3772.01 of the Revised Code.	384

(M) A member of the Ohio casino control commission, the	385
executive director of the commission, or an employee of the	386
commission shall not:	387

(1) Accept anything of value, including but not limited to a	388
gift, gratuity, emolument, or employment from a casino operator,	389
management company, or other person subject to the jurisdiction of	390
the commission, or from an officer, attorney, agent, or employee	391
of a casino operator, management company, or other person subject	392
to the jurisdiction of the commission;	393

(2) Solicit, suggest, request, or recommend, directly or	394
indirectly, to a casino operator, management company, or other	395
person subject to the jurisdiction of the commission, or to an	396
officer, attorney, agent, or employee of a casino operator,	397
management company, or other person subject to the jurisdiction of	398
the commission, the appointment of a person to an office, place,	399
position, or employment;	400

(3) Participate in casino gaming or any other amusement or	401
activity at a casino facility in this state or at an affiliate	402
gaming facility of a licensed casino operator, wherever located.	403

In addition to the penalty provided in section 102.99 of the	404
Revised Code, whoever violates division (M)(1), (2), or (3) of	405
this section forfeits the individual's office or employment.	406

Sec. 121.02.  The following administrative departments and	407
their respective directors are hereby created:	408

(A) The office of budget and management, which shall be	409
administered by the director of budget and management;	410

(B) The department of commerce, which shall be administered	411
by the director of commerce;	412

(C) The department of administrative services, which shall be	413
administered by the director of administrative services;	414

(D) The department of transportation, which shall be	415
administered by the director of transportation;	416

(E) The department of agriculture, which shall be	417
administered by the director of agriculture;	418

(F) The department of natural resources, which shall be	419
administered by the director of natural resources;	420

(G) The department of health, which shall be administered by	421
the director of health;	422

(H) The department of job and family services, which shall be	423
administered by the director of job and family services;	424

(I) Until July 1, 1997, the department of liquor control,	425
which shall be administered by the director of liquor control;	426

(J) The department of public safety, which shall be	427
administered by the director of public safety;	428

(K) The department of mental health, which shall be	429
administered by the director of mental health;	430

(L) The department of developmental disabilities, which shall	431
be administered by the director of developmental disabilities;	432

(M) The department of insurance, which shall be administered	433
by the superintendent of insurance as director thereof;	434

(N) The department of development services agency, which	435
shall be administered by the director of development services;	436

(O) The department of youth services, which shall be	437
administered by the director of youth services;	438

(P) The department of rehabilitation and correction, which	439
shall be administered by the director of rehabilitation and	440
correction;	441

(Q) The environmental protection agency, which shall be	442
administered by the director of environmental protection;	443

(R) The department of aging, which shall be administered by	444
the director of aging;	445

(S) The department of alcohol and drug addiction services,	446
which shall be administered by the director of alcohol and drug	447
addiction services;	448

(T) The department of veterans services, which shall be	449
administered by the director of veterans services.	450

The director of each department shall exercise the powers and	451
perform the duties vested by law in such department.	452

Sec. 121.03.  The following administrative department heads	453
shall be appointed by the governor, with the advice and consent of	454
the senate, and shall hold their offices during the term of the	455
appointing governor, and are subject to removal at the pleasure of	456
the governor.	457

(A) The director of budget and management;

458

(B) The director of commerce;

459

(C) The director of transportation;

460

(D) The director of agriculture;

461

(E) The director of job and family services;

462

(F) Until July 1, 1997, the director of liquor control;

463

(G) The director of public safety;

464

(H) The superintendent of insurance;

465

(I) The director of development services;

466

(J) The tax commissioner;

467

(K) The director of administrative services;

468

(L) The director of natural resources;

469

(M) The director of mental health;

470

(N) The director of developmental disabilities;

471

(O) The director of health;

472

(P) The director of youth services;

473

(Q) The director of rehabilitation and correction;

474

(R) The director of environmental protection;

475

(S) The director of aging;

476

(T) The director of alcohol and drug addiction services;

477

(U) The administrator of workers' compensation who meets the	478
qualifications required under division (A) of section 4121.121 of	479
the Revised Code;	480

(V) The director of veterans services who meets the	481
qualifications required under section 5902.01 of the Revised Code;	482

(W) The chancellor of the Ohio board of regents.

483

Sec. 121.22.  (A) This section shall be liberally construed	484
to require public officials to take official action and to conduct	485
all deliberations upon official business only in open meetings	486
unless the subject matter is specifically excepted by law.	487

(B) As used in this section:

488

(1) "Public body" means any of the following:

489

(a) Any board, commission, committee, council, or similar	490
decision-making body of a state agency, institution, or authority,	491
and any legislative authority or board, commission, committee,	492
council, agency, authority, or similar decision-making body of any	493
county, township, municipal corporation, school district, or other	494
political subdivision or local public institution;	495

(b) Any committee or subcommittee of a body described in	496
division (B)(1)(a) of this section;	497

(c) A court of jurisdiction of a sanitary district organized	498
wholly for the purpose of providing a water supply for domestic,	499
municipal, and public use when meeting for the purpose of the	500
appointment, removal, or reappointment of a member of the board of	501
directors of such a district pursuant to section 6115.10 of the	502
Revised Code, if applicable, or for any other matter related to	503
such a district other than litigation involving the district. As	504
used in division (B)(1)(c) of this section, "court of	505
jurisdiction" has the same meaning as "court" in section 6115.01	506
of the Revised Code.	507

(2) "Meeting" means any prearranged discussion of the public	508
business of the public body by a majority of its members.	509

(3) "Regulated individual" means either of the following:

510

(a) A student in a state or local public educational	511
institution;	512

(b) A person who is, voluntarily or involuntarily, an inmate,	513
patient, or resident of a state or local institution because of	514
criminal behavior, mental illness or retardation, disease,	515
disability, age, or other condition requiring custodial care.	516

(4) "Public office" has the same meaning as in section	517
149.011 of the Revised Code.	518

(C) All meetings of any public body are declared to be public	519
meetings open to the public at all times. A member of a public	520
body shall be present in person at a meeting open to the public to	521
be considered present or to vote at the meeting and for purposes	522
of determining whether a quorum is present at the meeting.	523

The minutes of a regular or special meeting of any public	524
body shall be promptly prepared, filed, and maintained and shall	525
be open to public inspection. The minutes need only reflect the	526
general subject matter of discussions in executive sessions	527
authorized under division (G) or (J) of this section.	528

(D) This section does not apply to any of the following:

529

(1) A grand jury;

530

(2) An audit conference conducted by the auditor of state or	531
independent certified public accountants with officials of the	532
public office that is the subject of the audit;	533

(3) The adult parole authority when its hearings are	534
conducted at a correctional institution for the sole purpose of	535
interviewing inmates to determine parole or pardon;	536

(4) The organized crime investigations commission established	537
under section 177.01 of the Revised Code;	538

(5) Meetings of a child fatality review board established	539
under section 307.621 of the Revised Code and meetings conducted	540
pursuant to sections 5153.171 to 5153.173 of the Revised Code;	541

(6) The state medical board when determining whether to	542
suspend a certificate without a prior hearing pursuant to division	543
(G) of either section 4730.25 or 4731.22 of the Revised Code;	544

(7) The board of nursing when determining whether to suspend	545
a license or certificate without a prior hearing pursuant to	546
division (B) of section 4723.281 of the Revised Code;	547

(8) The state board of pharmacy when determining whether to	548
suspend a license without a prior hearing pursuant to division (D)	549
of section 4729.16 of the Revised Code;	550

(9) The state chiropractic board when determining whether to	551
suspend a license without a hearing pursuant to section 4734.37 of	552
the Revised Code;	553

(10) The executive committee of the emergency response	554
commission when determining whether to issue an enforcement order	555
or request that a civil action, civil penalty action, or criminal	556
action be brought to enforce Chapter 3750. of the Revised Code;	557

(11) The board of directors of the nonprofit corporation	558
formed under section 187.01 of the Revised Code or any committee	559
thereof, and the board of directors of any subsidiary of that	560
corporation or a committee thereof;	561

(12) An audit conference conducted by the audit staff of the	562
department of job and family services with officials of the public	563
office that is the subject of that audit under section 5101.37 of	564
the Revised Code.	565

(E) The controlling board, the development financing advisory	566
council, the industrial technology and enterprise advisory	567
council, the tax credit authority, or the minority development	568
financing advisory board, when meeting to consider granting	569
assistance pursuant to Chapter 122. or 166. of the Revised Code,	570
in order to protect the interest of the applicant or the possible	571
investment of public funds, by unanimous vote of all board,	572
council, or authority members present, may close the meeting	573
during consideration of the following information confidentially	574
received by the authority, council, or board from the applicant:	575

(1) Marketing plans;

576

(2) Specific business strategy;

577

(3) Production techniques and trade secrets;

578

(4) Financial projections;

579

(5) Personal financial statements of the applicant or members	580
of the applicant's immediate family, including, but not limited	581
to, tax records or other similar information not open to public	582
inspection.	583

The vote by the authority, council, or board to accept or	584
reject the application, as well as all proceedings of the	585
authority, council, or board not subject to this division, shall	586
be open to the public and governed by this section.	587

(F) Every public body, by rule, shall establish a reasonable	588
method whereby any person may determine the time and place of all	589
regularly scheduled meetings and the time, place, and purpose of	590
all special meetings. A public body shall not hold a special	591
meeting unless it gives at least twenty-four hours' advance notice	592
to the news media that have requested notification, except in the	593
event of an emergency requiring immediate official action. In the	594
event of an emergency, the member or members calling the meeting	595
shall notify the news media that have requested notification	596
immediately of the time, place, and purpose of the meeting.	597

The rule shall provide that any person, upon request and	598
payment of a reasonable fee, may obtain reasonable advance	599
notification of all meetings at which any specific type of public	600
business is to be discussed. Provisions for advance notification	601
may include, but are not limited to, mailing the agenda of	602
meetings to all subscribers on a mailing list or mailing notices	603
in self-addressed, stamped envelopes provided by the person.	604

(G) Except as provided in division (J) of this section, the	605
members of a public body may hold an executive session only after	606
a majority of a quorum of the public body determines, by a roll	607
call vote, to hold an executive session and only at a regular or	608
special meeting for the sole purpose of the consideration of any	609
of the following matters:	610

(1) To consider the appointment, employment, dismissal,	611
discipline, promotion, demotion, or compensation of a public	612
employee or official, or the investigation of charges or	613
complaints against a public employee, official, licensee, or	614
regulated individual, unless the public employee, official,	615
licensee, or regulated individual requests a public hearing.	616
Except as otherwise provided by law, no public body shall hold an	617
executive session for the discipline of an elected official for	618
conduct related to the performance of the elected official's	619
official duties or for the elected official's removal from office.	620
If a public body holds an executive session pursuant to division	621
(G)(1) of this section, the motion and vote to hold that executive	622
session shall state which one or more of the approved purposes	623
listed in division (G)(1) of this section are the purposes for	624
which the executive session is to be held, but need not include	625
the name of any person to be considered at the meeting.	626

(2) To consider the purchase of property for public purposes,	627
or for the sale of property at competitive bidding, if premature	628
disclosure of information would give an unfair competitive or	629
bargaining advantage to a person whose personal, private interest	630
is adverse to the general public interest. No member of a public	631
body shall use division (G)(2) of this section as a subterfuge for	632
providing covert information to prospective buyers or sellers. A	633
purchase or sale of public property is void if the seller or buyer	634
of the public property has received covert information from a	635
member of a public body that has not been disclosed to the general	636
public in sufficient time for other prospective buyers and sellers	637
to prepare and submit offers.	638

If the minutes of the public body show that all meetings and	639
deliberations of the public body have been conducted in compliance	640
with this section, any instrument executed by the public body	641
purporting to convey, lease, or otherwise dispose of any right,	642
title, or interest in any public property shall be conclusively	643
presumed to have been executed in compliance with this section	644
insofar as title or other interest of any bona fide purchasers,	645
lessees, or transferees of the property is concerned.	646

(3) Conferences with an attorney for the public body	647
concerning disputes involving the public body that are the subject	648
of pending or imminent court action;	649

(4) Preparing for, conducting, or reviewing negotiations or	650
bargaining sessions with public employees concerning their	651
compensation or other terms and conditions of their employment;	652

(5) Matters required to be kept confidential by federal law	653
or regulations or state statutes;	654

(6) Details relative to the security arrangements and	655
emergency response protocols for a public body or a public office,	656
if disclosure of the matters discussed could reasonably be	657
expected to jeopardize the security of the public body or public	658
office;	659

(7) In the case of a county hospital operated pursuant to	660
Chapter 339. of the Revised Code, a joint township hospital	661
operated pursuant to Chapter 513. of the Revised Code, or a	662
municipal hospital operated pursuant to Chapter 749. of the	663
Revised Code, to consider trade secrets, as defined in section	664
1333.61 of the Revised Code.	665

If a public body holds an executive session to consider any	666
of the matters listed in divisions (G)(2) to (7) of this section,	667
the motion and vote to hold that executive session shall state	668
which one or more of the approved matters listed in those	669
divisions are to be considered at the executive session.	670

A public body specified in division (B)(1)(c) of this section	671
shall not hold an executive session when meeting for the purposes	672
specified in that division.	673

(H) A resolution, rule, or formal action of any kind is	674
invalid unless adopted in an open meeting of the public body. A	675
resolution, rule, or formal action adopted in an open meeting that	676
results from deliberations in a meeting not open to the public is	677
invalid unless the deliberations were for a purpose specifically	678
authorized in division (G) or (J) of this section and conducted at	679
an executive session held in compliance with this section. A	680
resolution, rule, or formal action adopted in an open meeting is	681
invalid if the public body that adopted the resolution, rule, or	682
formal action violated division (F) of this section.	683

(I)(1) Any person may bring an action to enforce this	684
section. An action under division (I)(1) of this section shall be	685
brought within two years after the date of the alleged violation	686
or threatened violation. Upon proof of a violation or threatened	687
violation of this section in an action brought by any person, the	688
court of common pleas shall issue an injunction to compel the	689
members of the public body to comply with its provisions.	690

(2)(a) If the court of common pleas issues an injunction	691
pursuant to division (I)(1) of this section, the court shall order	692
the public body that it enjoins to pay a civil forfeiture of five	693
hundred dollars to the party that sought the injunction and shall	694
award to that party all court costs and, subject to reduction as	695
described in division (I)(2) of this section, reasonable	696
attorney's fees. The court, in its discretion, may reduce an award	697
of attorney's fees to the party that sought the injunction or not	698
award attorney's fees to that party if the court determines both	699
of the following:	700

(i) That, based on the ordinary application of statutory law	701
and case law as it existed at the time of violation or threatened	702
violation that was the basis of the injunction, a well-informed	703
public body reasonably would believe that the public body was not	704
violating or threatening to violate this section;	705

(ii) That a well-informed public body reasonably would	706
believe that the conduct or threatened conduct that was the basis	707
of the injunction would serve the public policy that underlies the	708
authority that is asserted as permitting that conduct or	709
threatened conduct.	710

(b) If the court of common pleas does not issue an injunction	711
pursuant to division (I)(1) of this section and the court	712
determines at that time that the bringing of the action was	713
frivolous conduct, as defined in division (A) of section 2323.51	714
of the Revised Code, the court shall award to the public body all	715
court costs and reasonable attorney's fees, as determined by the	716
court.	717

(3) Irreparable harm and prejudice to the party that sought	718
the injunction shall be conclusively and irrebuttably presumed	719
upon proof of a violation or threatened violation of this section.	720

(4) A member of a public body who knowingly violates an	721
injunction issued pursuant to division (I)(1) of this section may	722
be removed from office by an action brought in the court of common	723
pleas for that purpose by the prosecuting attorney or the attorney	724
general.	725

(J)(1) Pursuant to division (C) of section 5901.09 of the	726
Revised Code, a veterans service commission shall hold an	727
executive session for one or more of the following purposes unless	728
an applicant requests a public hearing:	729

(a) Interviewing an applicant for financial assistance under	730
sections 5901.01 to 5901.15 of the Revised Code;	731

(b) Discussing applications, statements, and other documents	732
described in division (B) of section 5901.09 of the Revised Code;	733

(c) Reviewing matters relating to an applicant's request for	734
financial assistance under sections 5901.01 to 5901.15 of the	735
Revised Code.	736

(2) A veterans service commission shall not exclude an	737
applicant for, recipient of, or former recipient of financial	738
assistance under sections 5901.01 to 5901.15 of the Revised Code,	739
and shall not exclude representatives selected by the applicant,	740
recipient, or former recipient, from a meeting that the commission	741
conducts as an executive session that pertains to the applicant's,	742
recipient's, or former recipient's application for financial	743
assistance.	744

(3) A veterans service commission shall vote on the grant or	745
denial of financial assistance under sections 5901.01 to 5901.15	746
of the Revised Code only in an open meeting of the commission. The	747
minutes of the meeting shall indicate the name, address, and	748
occupation of the applicant, whether the assistance was granted or	749
denied, the amount of the assistance if assistance is granted, and	750
the votes for and against the granting of assistance.	751

Sec. 122.01. (A) As used in the Revised Code, the	752
"department of development" means the development services agency	753
and the "director of development" means the director of	754
development services. Whenever the department or director of	755
development is referred to or designated in any statute, rule,	756
contract, grant, or other document, the reference or designation	757
shall be deemed to refer to the development services agency or	758
director of development services, as the case may be.	759

(B) As used in this chapter:

760

(A)(1) "Community problems" includes, but is not limited to,	761
taxation, fiscal administration, governmental structure and	762
organization, intergovernmental cooperation, education and	763
training, employment needs, community planning and development,	764
air and water pollution, public safety and the administration of	765
justice, housing, mass transportation, community facilities and	766
services, health, welfare, recreation, open space, and the	767
development of human resources.	768

(B)(2) "Professional personnel" means either of the	769
following:	770

(1)(a) Personnel who have earned a bachelor's degree from a	771
college or university;	772

(2)(b) Personnel who serve as or have the working title of	773
director, assistant director, deputy director, assistant deputy	774
director, manager, office chief, assistant office chief, or	775
program director.	776

(C)(3) "Technical personnel" means any of the following:

777

(1)(a) Personnel who provide technical assistance according	778
to their job description or in accordance with the Revised Code;	779

(2)(b) Personnel employed in the director of development's	780
development services' office or the legal office, communications	781
office, finance office, legislative affairs office, or human	782
resources office of the department of development services agency;	783

(3)(c) Personnel employed in the technology division of the	784
departmentagency.	785

Sec. 122.011.  (A) The department of development services	786
agency shall develop and promote plans and programs designed to	787
assure that state resources are efficiently used, economic growth	788
is properly balanced, community growth is developed in an orderly	789
manner, and local governments are coordinated with each other and	790
the state, and for such purposes may do all of the following:	791

(1) Serve as a clearinghouse for information, data, and other	792
materials that may be helpful or necessary to persons or local	793
governments, as provided in section 122.07122.073 of the Revised	794
Code;	795

(2) Prepare and activate plans for the retention,	796
development, expansion, and use of the resources and commerce of	797
the state, as provided in section 122.04 of the Revised Code;	798

(3) Assist and cooperate with federal, state, and local	799
governments and agencies of federal, state, and local governments	800
in the coordination of programs to carry out the functions and	801
duties of the departmentagency;	802

(4) Encourage and foster research and development activities,	803
conduct studies related to the solution of community problems, and	804
develop recommendations for administrative or legislative actions,	805
as provided in section 122.03 of the Revised Code;	806

(5) Serve as the economic and community development planning	807
agency, which shall prepare and recommend plans and programs for	808
the orderly growth and development of this state and which shall	809
provide planning assistance, as provided in section 122.06 of the	810
Revised Code;	811

(6) Cooperate with and provide technical assistance to state	812
departments, political subdivisions, regional and local planning	813
commissions, tourist associations, councils of government,	814
community development groups, community action agencies, and other	815
appropriate organizations for carrying out the functions and	816
duties of the departmentdevelopment services agency or for the	817
solution of community problems;	818

(7) Coordinate the activities of state agencies that have an	819
impact on carrying out the functions and duties of the department	820
development services agency;	821

(8) Encourage and assist the efforts of and cooperate with	822
local governments to develop mutual and cooperative solutions to	823
their common problems that relate to carrying out the purposes of	824
this section;	825

(9) Study existing structure, operations, and financing of	826
regional or local government and those state activities that	827
involve significant relations with regional or local governmental	828
units, recommend to the governor and to the general assembly such	829
changes in these provisions and activities as will improve the	830
operations of regional or local government, and conduct other	831
studies of legal provisions that affect problems related to	832
carrying out the purposes of this section;	833

(10) Create and operate a division of community development	834
to develop and administer programs and activities that are	835
authorized by federal statute or the Revised Code;	836

(11) Until October 15, 2007, establish fees and charges, in	837
consultation with the director of agriculture, for purchasing	838
loans from financial institutions and providing loan guarantees	839
under the family farm loan program created under sections 901.80	840
to 901.83 of the Revised Code;	841

(12) Provide loan servicing for the loans purchased and loan	842
guarantees provided under section 901.80 of the Revised Code as	843
that section existed prior to October 15, 2007;	844

(13) Until October 15, 2007, and upon approval by the	845
controlling board under division (A)(3) of section 901.82 of the	846
Revised Code of the release of money to be used for purchasing a	847
loan or providing a loan guarantee, request the release of that	848
money in accordance with division (B) of section 166.03 of the	849
Revised Code for use for the purposes of the fund created by	850
section 166.031 of the Revised Code.	851

(14) Allocate that portion of the national recovery zone	852
economic development bond limitation and that portion of the	853
national recovery zone facility bond limitation that has been	854
allocated to the state under section 1400U-1 of the Internal	855
Revenue Code, 26 U.S.C. 1400U-1. If any county or municipal	856
corporation waives any portion of an allocation it receives under	857
division (A)(14) of this section, the departmentagency may	858
reallocate that amount. Any allocation or reallocation shall be	859
made in accordance with this section and section 1400U-1 of the	860
Internal Revenue Code.	861

(B) The director of development services may request the	862
attorney general to, and the attorney general, in accordance with	863
section 109.02 of the Revised Code, shall bring a civil action in	864
any court of competent jurisdiction. The director may be sued in	865
the director's official capacity, in connection with this chapter,	866
in accordance with Chapter 2743. of the Revised Code.	867

(C) The director of development shall execute a contract	868
pursuant to section 187.04 of the Revised Code with the nonprofit	869
corporation formed under section 187.01 of the Revised Code, and	870
may execute any additional contracts with the corporation	871
providing for the corporation to assist the director or department	872
agency in carrying out any duties of the director or department	873
agency under this chapter, under any other provision of the	874
Revised Code dealing with economic development, or under a	875
contract with the director, subject to section 187.04 of the	876
Revised Code.	877

Sec. 122.07. (A) There is hereby created within the	878
development services agency an office to be known as the office of	879
TourismOhio. The office shall be under the supervision of a	880
director who shall be of equivalent rank of deputy director of the	881
agency and shall serve at the pleasure of the director of	882
development services.	883

(B) The office shall do both of the following:

884

(1) Promote the state as a travel destination and provide	885
related services or otherwise carry out the promotional functions	886
or duties of the agency, as necessary;	887

(2) Perform an annual return-on-investment study analyzing	888
the office's success in promoting Ohio tourism. A report	889
containing the findings of the study shall be submitted to the	890
governor, the speaker and minority leader of the house of	891
representatives, and the president and minority leader of the	892
senate. The report shall also be made available to the public.	893

Sec. 122.071. (A) The TourismOhio advisory board is hereby	894
established to advise the director of development services and the	895
director of the office of TourismOhio on strategies for promoting	896
tourism in this state. The board shall consist of the chief	897
investment officer of the nonprofit corporation formed under	898
section 187.01 of the Revised Code, the director of the office of	899
TourismOhio, and nine members to be appointed by the governor as	900
provided in division (B) of this section. All members of the	901
board, except the director of the office of TourismOhio, shall be	902
voting members.	903

(B)(1) The governor shall, within sixty days after the	904
effective date of this section, appoint to the TourismOhio	905
advisory board one individual who is a representative of	906
convention and visitors' bureaus, one individual who is a	907
representative of the lodging industry, one individual who is a	908
representative of the restaurant industry, one individual who is a	909
representative of attractions, one individual who is a	910
representative of special events and festivals, one individual who	911
is a representative of agritourism, and three individuals who are	912
representatives of the tourism industry. Of the initial	913
appointments, two individuals shall serve a term of one year,	914
three individuals shall serve a term of two years, and the	915
remainder shall serve a term of three years. Thereafter, terms of	916
office shall be for three years. Each individual appointed to the	917
board shall be a United States citizen.	918

(2) For purposes of division (B)(1) of this section, an	919
individual is a "representative of the tourism industry" if the	920
individual possesses five years or more executive-level experience	921
in the attractions, lodging, restaurant, transportation, or retail	922
industry or five years or more executive-level experience with a	923
destination marketing organization.	924

(C)(1) Each member of the TourismOhio advisory board shall	925
hold office from the date of the member's appointment until the	926
end of the term for which the member is appointed. Vacancies that	927
occur on the board shall be filled in the manner prescribed for	928
regular appointments to the board. A member appointed to fill a	929
vacancy occurring prior to the expiration of the term for which	930
the member's predecessor was appointed shall hold office for the	931
remainder of that predecessor's term. A member shall continue in	932
office subsequent to the expiration date of the member's term	933
until the member's successor takes office or until sixty days have	934
elapsed, whichever occurs first. Any member appointed to the board	935
is eligible for reappointment.	936

(2) The governor shall designate one member of the board as	937
chairperson.	938

(3) Members appointed to the board may be reimbursed for	939
actual and necessary expenses incurred in connection with their	940
official duties.	941

Sec. 122.071.        Sec. 122.072. There is hereby created in the state	942
treasury the travel and tourism cooperative projects fund	943
consisting of allmoney credited or transferred to it and grants,	944
gifts, and contributions made directly to the director of	945
development for marketing and promotion of travel and tourism	946
withinit. Money in the fund shall be used to defray costs	947
incurred by the office of TourismOhio in promoting this state	948
pursuant to division (F) of section 122.04 and section 122.07 of	949
the Revised Codeas a travel destination.	950

Sec. 122.07.        Sec. 122.073.  (A) The department of development	951
services agency may do eitherany of the following:	952

(1) Disseminate information concerning the industrial,	953
commercial, governmental, educational, cultural, recreational,	954
agricultural, and other advantages and attractions of the state;	955

(2) Provide technical assistance to public and private	956
agencies in the preparation of promotional programs designed to	957
attract business, industry, and tourists to the state;	958

(3) Enter into cooperative or contractual agreements, through	959
the director of development services, with any individual,	960
organization, or business to create, administer, or otherwise be	961
involved with Ohio tourism-related promotional programs.	962
Compensation under such agreements shall be determined by the	963
director and may include deferred compensation. This compensation	964
is payable from the tourism fund created in section 122.072 of the	965
Revised Code. Any excess revenue generated under such a	966
cooperative or contractual agreement shall be remitted to the fund	967
to be reinvested in ongoing tourism marketing initiatives as	968
authorized by law.	969

(B) Records related to tourism market research submitted to	970
or generated by the research office of the division of travel and	971
tourism of the department of developmentTourismOhio, and any	972
information taken for any purpose from such research, are not	973
public records for the purposes of section 149.43 of the Revised	974
Code. The departmentagency may use, however, such tourism market	975
research in a public report if the director of the department	976
determines that issuing and distributing the report would promote	977
or market the state's travel and tourism industry or otherwise	978
advance the purposes of this section.	979

Sec. 122.17.  (A) As used in this section:

980

(1) "Income tax revenue" means the total amount withheld	981
under section 5747.06 of the Revised Code by the taxpayer during	982
the taxable year, or during the calendar year that includes the	983
tax period, from the compensation of each employee employed in the	984
project to the extent the employee's withholdings are not used to	985
determine the credit under section 122.171 of the Revised Code.	986
"Income tax revenue" excludes amounts withheld before the day the	987
taxpayer becomes eligible for the credit.	988

(2) "Baseline income tax revenue" means income tax revenue	989
except that the applicable withholding period is the twelve months	990
immediately preceding the date the tax credit authority approves	991
the taxpayer's application or the date the tax credit authority	992
receives the recommendation described in division (C)(2)(a) of	993
this section, whichever occurs first, multiplied by the sum of one	994
plus an annual pay increase factor to be determined by the tax	995
credit authority. If the taxpayer becomes eligible for the credit	996
after the first day of the taxpayer's taxable year or after the	997
first day of the calendar year that includes the tax period, the	998
taxpayer's baseline income tax revenue for the first such taxable	999
or calendar year of credit eligibility shall be reduced in	1000
proportion to the number of days during the taxable or calendar	1001
year for which the taxpayer was not eligible for the credit. For	1002
subsequent taxable or calendar years, "baseline income tax	1003
revenue" equals the unreduced baseline income tax revenue for the	1004
preceding taxable or calendar year multiplied by the sum of one	1005
plus the pay increase factor.	1006

(3) "Excess income tax revenue" means income tax revenue	1007
minus baseline income tax revenue.	1008

(B) The tax credit authority may make grants under this	1009
section to foster job creation in this state. Such a grant shall	1010
take the form of a refundable credit allowed against the tax	1011
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied	1012
under Chapter 5751. of the Revised Code. The credit shall be	1013
claimed for the taxable years or tax periods specified in the	1014
taxpayer's agreement with the tax credit authority under division	1015
(D) of this section. With respect to taxes imposed under section	1016
5733.06 or 5747.02 or Chapter 5751. of the Revised Code, the	1017
credit shall be claimed in the order required under section	1018
5733.98, 5747.98, or 5751.98 of the Revised Code. The amount of	1019
the credit available for a taxable year or for a calendar year	1020
that includes a tax period equals the excess income tax revenue	1021
for that year multiplied by the percentage specified in the	1022
agreement with the tax credit authority. Any credit granted under	1023
this section against the tax imposed by section 5733.06 or 5747.02	1024
of the Revised Code, to the extent not fully utilized against such	1025
tax for taxable years ending prior to 2008, shall automatically be	1026
converted without any action taken by the tax credit authority to	1027
a credit against the tax levied under Chapter 5751. of the Revised	1028
Code for tax periods beginning on or after July 1, 2008, provided	1029
that the person to whom the credit was granted is subject to such	1030
tax. The converted credit shall apply to those calendar years in	1031
which the remaining taxable years specified in the agreement end.	1032

(C)(1) A taxpayer or potential taxpayer who proposes a	1033
project to create new jobs in this state may apply to the tax	1034
credit authority to enter into an agreement for a tax credit under	1035
this section. The director of development services shall prescribe	1036
the form of the application. After receipt of an application, the	1037
authority may enter into an agreement with the taxpayer for a	1038
credit under this section if it determines all of the following:	1039

(1)(a) The taxpayer's project will increase payroll and	1040
income tax revenue;	1041

(2)(b) The taxpayer's project is economically sound and will	1042
benefit the people of this state by increasing opportunities for	1043
employment and strengthening the economy of this state;	1044

(3)(c) Receiving the tax credit is a major factor in the	1045
taxpayer's decision to go forward with the project.	1046

(2)(a) A taxpayer that chooses to begin the project prior to	1047
receiving the determination of the authority may, upon submitting	1048
the taxpayer's application to the authority, request that the	1049
chief investment officer of the nonprofit corporation formed under	1050
section 187.01 of the Revised Code and the director review the	1051
taxpayer's application and recommend to the authority that the	1052
taxpayer's application be considered. As soon as possible after	1053
receiving such a request, the chief investment officer and the	1054
director shall review the taxpayer's application and, if they	1055
determine that the application warrants consideration by the	1056
authority, make that recommendation to the authority not later	1057
than six months after the application is received by the	1058
authority.	1059

(b) The authority shall consider any taxpayer's application	1060
for which it receives a recommendation under division (C)(2)(a) of	1061
this section. If the authority determines that the taxpayer does	1062
not meet all of the criteria set forth in division (C)(1) of this	1063
section, the authority and the development services agency shall	1064
proceed in accordance with rules adopted by the director pursuant	1065
to division (I) of this section.	1066

(D) An agreement under this section shall include all of the	1067
following:	1068

(1) A detailed description of the project that is the subject	1069
of the agreement;	1070

(2) The term of the tax credit, which shall not exceed	1071
fifteen years, and the first taxable year, or first calendar year	1072
that includes a tax period, for which the credit may be claimed;	1073

(3) A requirement that the taxpayer shall maintain operations	1074
at the project location for at least the greater of seven years or	1075
the term of the credit plus three years;	1076

(4) The percentage, as determined by the tax credit	1077
authority, of excess income tax revenue that will be allowed as	1078
the amount of the credit for each taxable year or for each	1079
calendar year that includes a tax period;	1080

(5) The pay increase factor to be applied to the taxpayer's	1081
baseline income tax revenue;	1082

(6) A requirement that the taxpayer annually shall report to	1083
the director of development services employment, tax withholding,	1084
investment, and other information the director needs to perform	1085
the director's duties under this section;	1086

(7) A requirement that the director of development services	1087
annually review the information reported under division (D)(6) of	1088
this section and verify compliance with the agreement; if the	1089
taxpayer is in compliance, a requirement that the director issue a	1090
certificate to the taxpayer stating that the information has been	1091
verified and identifying the amount of the credit that may be	1092
claimed for the taxable or calendar year;	1093

(8) A provision providing that the taxpayer may not relocate	1094
a substantial number of employment positions from elsewhere in	1095
this state to the project location unless the director of	1096
development services determines that the legislative authority of	1097
the county, township, or municipal corporation from which the	1098
employment positions would be relocated has been notified by the	1099
taxpayer of the relocation.	1100

For purposes of this section, the movement of an employment	1101
position from one political subdivision to another political	1102
subdivision shall be considered a relocation of an employment	1103
position unless the employment position in the first political	1104
subdivision is replaced.	1105

(E) If a taxpayer fails to meet or comply with any condition	1106
or requirement set forth in a tax credit agreement, the tax credit	1107
authority may amend the agreement to reduce the percentage or term	1108
of the tax credit. The reduction of the percentage or term may	1109
take effect in the current taxable or calendar year.	1110

(F) Projects that consist solely of point-of-final-purchase	1111
retail facilities are not eligible for a tax credit under this	1112
section. If a project consists of both point-of-final-purchase	1113
retail facilities and nonretail facilities, only the portion of	1114
the project consisting of the nonretail facilities is eligible for	1115
a tax credit and only the excess income tax revenue from the	1116
nonretail facilities shall be considered when computing the amount	1117
of the tax credit. If a warehouse facility is part of a	1118
point-of-final-purchase retail facility and supplies only that	1119
facility, the warehouse facility is not eligible for a tax credit.	1120
Catalog distribution centers are not considered	1121
point-of-final-purchase retail facilities for the purposes of this	1122
division, and are eligible for tax credits under this section.	1123

(G) Financial statements and other information submitted to	1124
the department of development services agency or the tax credit	1125
authority by an applicant or recipient of a tax credit under this	1126
section, and any information taken for any purpose from such	1127
statements or information, are not public records subject to	1128
section 149.43 of the Revised Code. However, the chairperson of	1129
the authority may make use of the statements and other information	1130
for purposes of issuing public reports or in connection with court	1131
proceedings concerning tax credit agreements under this section.	1132
Upon the request of the tax commissioner or, if the applicant or	1133
recipient is an insurance company, upon the request of the	1134
superintendent of insurance, the chairperson of the authority	1135
shall provide to the commissioner or superintendent any statement	1136
or information submitted by an applicant or recipient of a tax	1137
credit in connection with the credit. The commissioner or	1138
superintendent shall preserve the confidentiality of the statement	1139
or information.	1140

(H) A taxpayer claiming a credit under this section shall	1141
submit to the tax commissioner or, if the taxpayer is an insurance	1142
company, to the superintendent of insurance, a copy of the	1143
director of development'sdevelopment services' certificate of	1144
verification under division (D)(7) of this section with the	1145
taxpayer's tax report or return for the taxable year or for the	1146
calendar year that includes the tax period. Failure to submit a	1147
copy of the certificate with the report or return does not	1148
invalidate a claim for a credit if the taxpayer submits a copy of	1149
the certificate to the commissioner or superintendent within sixty	1150
days after the commissioner or superintendent requests it.	1151

(I) The director of development services, after consultation	1152
with the tax commissioner and the superintendent of insurance and	1153
in accordance with Chapter 119. of the Revised Code, shall adopt	1154
rules necessary to implement this section, including rules that	1155
establish a procedure to be followed by the tax credit authority	1156
and the development services agency in the event the authority	1157
considers a taxpayer's application for which it receives a	1158
recommendation under division (C)(2)(a) of this section but does	1159
not approve it. The rules may provide for recipients of tax	1160
credits under this section to be charged fees to cover	1161
administrative costs of the tax credit program. The fees collected	1162
shall be credited to the tax incentive programs operatingbusiness	1163
assistance fund created in section 122.174 of the Revised Code. At	1164
the time the director gives public notice under division (A) of	1165
section 119.03 of the Revised Code of the adoption of the rules,	1166
the director shall submit copies of the proposed rules to the	1167
chairpersons of the standing committees on economic development in	1168
the senate and the house of representatives.	1169

(J) For the purposes of this section, a taxpayer may include	1170
a partnership, a corporation that has made an election under	1171
subchapter S of chapter one of subtitle A of the Internal Revenue	1172
Code, or any other business entity through which income flows as a	1173
distributive share to its owners. A partnership, S-corporation, or	1174
other such business entity may elect to pass the credit received	1175
under this section through to the persons to whom the income or	1176
profit of the partnership, S-corporation, or other entity is	1177
distributed. The election shall be made on the annual report	1178
required under division (D)(6) of this section. The election	1179
applies to and is irrevocable for the credit for which the report	1180
is submitted. If the election is made, the credit shall be	1181
apportioned among those persons in the same proportions as those	1182
in which the income or profit is distributed.	1183

(K) If the director of development services determines that a	1184
taxpayer who has received a credit under this section is not	1185
complying with the requirement under division (D)(3) of this	1186
section, the director shall notify the tax credit authority of the	1187
noncompliance. After receiving such a notice, and after giving the	1188
taxpayer an opportunity to explain the noncompliance, the tax	1189
credit authority may require the taxpayer to refund to this state	1190
a portion of the credit in accordance with the following:	1191

(1) If the taxpayer maintained operations at the project	1192
location for a period less than or equal to the term of the	1193
credit, an amount not exceeding one hundred per cent of the sum of	1194
any credits allowed and received under this section;	1195

(2) If the taxpayer maintained operations at the project	1196
location for a period longer than the term of the credit, but less	1197
than the greater of seven years or the term of the credit plus	1198
three years, an amount not exceeding seventy-five per cent of the	1199
sum of any credits allowed and received under this section.	1200

In determining the portion of the tax credit to be refunded	1201
to this state, the tax credit authority shall consider the effect	1202
of market conditions on the taxpayer's project and whether the	1203
taxpayer continues to maintain other operations in this state.	1204
After making the determination, the authority shall certify the	1205
amount to be refunded to the tax commissioner or superintendent of	1206
insurance, as appropriate. If the amount is certified to the	1207
commissioner, the commissioner shall make an assessment for that	1208
amount against the taxpayer under Chapter 5733., 5747., or 5751.	1209
of the Revised Code. If the amount is certified to the	1210
superintendent, the superintendent shall make an assessment for	1211
that amount against the taxpayer under Chapter 5725. or 5729. of	1212
the Revised Code. The time limitations on assessments under those	1213
chapters do not apply to an assessment under this division, but	1214
the commissioner or superintendent, as appropriate, shall make the	1215
assessment within one year after the date the authority certifies	1216
to the commissioner or superintendent the amount to be refunded.	1217

(L) On or before the first day of August each year, the	1218
director of development services shall submit a report to the	1219
governor, the president of the senate, and the speaker of the	1220
house of representatives on the tax credit program under this	1221
section. The report shall include information on the number of	1222
agreements that were entered into under this section during the	1223
preceding calendar year, a description of the project that is the	1224
subject of each such agreement, and an update on the status of	1225
projects under agreements entered into before the preceding	1226
calendar year.	1227

(M) There is hereby created the tax credit authority, which	1228
consists of the director of development services and four other	1229
members appointed as follows: the governor, the president of the	1230
senate, and the speaker of the house of representatives each shall	1231
appoint one member who shall be a specialist in economic	1232
development; the governor also shall appoint a member who is a	1233
specialist in taxation. Of the initial appointees, the members	1234
appointed by the governor shall serve a term of two years; the	1235
members appointed by the president of the senate and the speaker	1236
of the house of representatives shall serve a term of four years.	1237
Thereafter, terms of office shall be for four years. Initial	1238
appointments to the authority shall be made within thirty days	1239
after January 13, 1993. Each member shall serve on the authority	1240
until the end of the term for which the member was appointed.	1241
Vacancies shall be filled in the same manner provided for original	1242
appointments. Any member appointed to fill a vacancy occurring	1243
prior to the expiration of the term for which the member's	1244
predecessor was appointed shall hold office for the remainder of	1245
that term. Members may be reappointed to the authority. Members of	1246
the authority shall receive their necessary and actual expenses	1247
while engaged in the business of the authority. The director of	1248
development services shall serve as chairperson of the authority,	1249
and the members annually shall elect a vice-chairperson from among	1250
themselves. Three members of the authority constitute a quorum to	1251
transact and vote on the business of the authority. The majority	1252
vote of the membership of the authority is necessary to approve	1253
any such business, including the election of the vice-chairperson.	1254

The director of development services may appoint a	1255
professional employee of the department of development services	1256
agency to serve as the director's substitute at a meeting of the	1257
authority. The director shall make the appointment in writing. In	1258
the absence of the director from a meeting of the authority, the	1259
appointed substitute shall serve as chairperson. In the absence of	1260
both the director and the director's substitute from a meeting,	1261
the vice-chairperson shall serve as chairperson.	1262

(N) For purposes of the credits granted by this section	1263
against the taxes imposed under sections 5725.18 and 5729.03 of	1264
the Revised Code, "taxable year" means the period covered by the	1265
taxpayer's annual statement to the superintendent of insurance.	1266

Sec. 122.171. (A) As used in this section:

1267

(1) "Capital investment project" means a plan of investment	1268
at a project site for the acquisition, construction, renovation,	1269
or repair of buildings, machinery, or equipment, or for	1270
capitalized costs of basic research and new product development	1271
determined in accordance with generally accepted accounting	1272
principles, but does not include any of the following:	1273

(a) Payments made for the acquisition of personal property	1274
through operating leases;	1275

(b) Project costs paid before January 1, 2002;

1276

(c) Payments made to a related member as defined in section	1277
5733.042 of the Revised Code or to a consolidated elected taxpayer	1278
or a combined taxpayer as defined in section 5751.01 of the	1279
Revised Code.	1280

(2) "Eligible business" means a taxpayer and its related	1281
members with Ohio operations satisfying all of the following:	1282

(a) The taxpayer employs at least five hundred full-time	1283
equivalent employees or has an annual payroll of at least	1284
thirty-five million dollars at the time the tax credit authority	1285
grants the tax credit under this section;	1286

(b) The taxpayer makes or causes to be made payments for the	1287
capital investment project of one of the following:	1288

(i) If the taxpayer is engaged at the project site primarily	1289
as a manufacturer, at least fifty million dollars in the aggregate	1290
at the project site during a period of three consecutive calendar	1291
years, including the calendar year that includes a day of the	1292
taxpayer's taxable year or tax period with respect to which the	1293
credit is granted;	1294

(ii) If the taxpayer is engaged at the project site primarily	1295
in significant corporate administrative functions, as defined by	1296
the director of development services by rule, at least twenty	1297
million dollars in the aggregate at the project site during a	1298
period of three consecutive calendar years including the calendar	1299
year that includes a day of the taxpayer's taxable year or tax	1300
period with respect to which the credit is granted;	1301

(iii) If the taxpayer is applying to enter into an agreement	1302
for a tax credit authorized under division (B)(3) of this section,	1303
at least five million dollars in the aggregate at the project site	1304
during a period of three consecutive calendar years, including the	1305
calendar year that includes a day of the taxpayer's taxable year	1306
or tax period with respect to which the credit is granted.	1307

(c) The taxpayer had a capital investment project reviewed	1308
and approved by the tax credit authority as provided in divisions	1309
(C), (D), and (E) of this section.	1310

(3) "Full-time equivalent employees" means the quotient	1311
obtained by dividing the total number of hours for which employees	1312
were compensated for employment in the project by two thousand	1313
eighty. "Full-time equivalent employees" shall exclude hours that	1314
are counted for a credit under section 122.17 of the Revised Code.	1315

(4) "Income tax revenue" means the total amount withheld	1316
under section 5747.06 of the Revised Code by the taxpayer during	1317
the taxable year, or during the calendar year that includes the	1318
tax period, from the compensation of all employees employed in the	1319
project whose hours of compensation are included in calculating	1320
the number of full-time equivalent employees.	1321

(5) "Manufacturer" has the same meaning as in section	1322
5739.011 of the Revised Code.	1323

(6) "Project site" means an integrated complex of facilities	1324
in this state, as specified by the tax credit authority under this	1325
section, within a fifteen-mile radius where a taxpayer is	1326
primarily operating as an eligible business.	1327

(7) "Related member" has the same meaning as in section	1328
5733.042 of the Revised Code as that section existed on the	1329
effective date of its amendment by Am. Sub. H.B. 215 of the 122nd	1330
general assembly, September 29, 1997.	1331

(8) "Taxable year" includes, in the case of a domestic or	1332
foreign insurance company, the calendar year ending on the	1333
thirty-first day of December preceding the day the superintendent	1334
of insurance is required to certify to the treasurer of state	1335
under section 5725.20 or 5729.05 of the Revised Code the amount of	1336
taxes due from insurance companies.	1337

(B) The tax credit authority created under section 122.17 of	1338
the Revised Code may grant tax credits under this section for the	1339
purpose of fostering job retention in this state. Upon application	1340
by an eligible business and upon consideration of the	1341
recommendation of the director of budget and management, tax	1342
commissioner, the superintendent of insurance in the case of an	1343
insurance company, and director of development services under	1344
division (C) of this section, the tax credit authority may grant	1345
the following credits against the tax imposed by section 5725.18,	1346
5729.03, 5733.06, 5747.02, or 5751.02 of the Revised Code:	1347

(1) A nonrefundable credit to an eligible business;

1348

(2) A refundable credit to an eligible business meeting the	1349
following conditions, provided that the director of budget and	1350
management, tax commissioner, superintendent of insurance in the	1351
case of an insurance company, and director of development services	1352
have recommended the granting of the credit to the tax credit	1353
authority before July 1, 2011:	1354

(a) The business retains at least one thousand full-time	1355
equivalent employees at the project site.	1356

(b) The business makes or causes to be made payments for a	1357
capital investment project of at least twenty-five million dollars	1358
in the aggregate at the project site during a period of three	1359
consecutive calendar years, including the calendar year that	1360
includes a day of the business' taxable year or tax period with	1361
respect to which the credit is granted.	1362

(c) In 2010, the business received a written offer of	1363
financial incentives from another state of the United States that	1364
the director determines to be sufficient inducement for the	1365
business to relocate the business' operations from this state to	1366
that state.	1367

(3) A refundable credit to an eligible business with a total	1368
annual payroll of at least twenty million dollars, provided that	1369
the tax credit authority grants the tax credit on or after July 1,	1370
2011, and before January 1, 2014.	1371

The credits authorized in divisions (B)(1), (2), and (3) of	1372
this section may be granted for a period up to fifteen taxable	1373
years or, in the case of the tax levied by section 5751.02 of the	1374
Revised Code, for a period of up to fifteen calendar years. The	1375
credit amount for a taxable year or a calendar year that includes	1376
the tax period for which a credit may be claimed equals the income	1377
tax revenue for that year multiplied by the percentage specified	1378
in the agreement with the tax credit authority. The percentage may	1379
not exceed seventy-five per cent. The credit shall be claimed in	1380
the order required under section 5725.98, 5729.98, 5733.98,	1381
5747.98, or 5751.98 of the Revised Code. In determining the	1382
percentage and term of the credit, the tax credit authority shall	1383
consider both the number of full-time equivalent employees and the	1384
value of the capital investment project. The credit amount may not	1385
be based on the income tax revenue for a calendar year before the	1386
calendar year in which the tax credit authority specifies the tax	1387
credit is to begin, and the credit shall be claimed only for the	1388
taxable years or tax periods specified in the eligible business'	1389
agreement with the tax credit authority. In no event shall the	1390
credit be claimed for a taxable year or tax period terminating	1391
before the date specified in the agreement. Any credit granted	1392
under this section against the tax imposed by section 5733.06 or	1393
5747.02 of the Revised Code, to the extent not fully utilized	1394
against such tax for taxable years ending prior to 2008, shall	1395
automatically be converted without any action taken by the tax	1396
credit authority to a credit against the tax levied under Chapter	1397
5751. of the Revised Code for tax periods beginning on or after	1398
July 1, 2008, provided that the person to whom the credit was	1399
granted is subject to such tax. The converted credit shall apply	1400
to those calendar years in which the remaining taxable years	1401
specified in the agreement end.	1402

If a nonrefundable credit allowed under division (B)(1) of	1403
this section for a taxable year or tax period exceeds the	1404
taxpayer's tax liability for that year or period, the excess may	1405
be carried forward for the three succeeding taxable or calendar	1406
years, but the amount of any excess credit allowed in any taxable	1407
year or tax period shall be deducted from the balance carried	1408
forward to the succeeding year or period.	1409

(C) A taxpayer that proposes a capital investment project to	1410
retain jobs in this state may apply to the tax credit authority to	1411
enter into an agreement for a tax credit under this section. The	1412
director of development services shall prescribe the form of the	1413
application. After receipt of an application, the authority shall	1414
forward copies of the application to the director of budget and	1415
management, the tax commissioner, the superintendent of insurance	1416
in the case of an insurance company, and the director of	1417
development services, each of whom shall review the application to	1418
determine the economic impact the proposed project would have on	1419
the state and the affected political subdivisions and shall submit	1420
a summary of their determinations and recommendations to the	1421
authority.	1422

(D) Upon review and consideration of the determinations and	1423
recommendations described in division (C) of this section, the tax	1424
credit authority may enter into an agreement with the taxpayer for	1425
a credit under this section if the authority determines all of the	1426
following:	1427

(1) The taxpayer's capital investment project will result in	1428
the retention of employment in this state.	1429

(2) The taxpayer is economically sound and has the ability to	1430
complete the proposed capital investment project.	1431

(3) The taxpayer intends to and has the ability to maintain	1432
operations at the project site for at least the greater of (a) the	1433
term of the credit plus three years, or (b) seven years.	1434

(4) Receiving the credit is a major factor in the taxpayer's	1435
decision to begin, continue with, or complete the project.	1436

(5) If the taxpayer is applying to enter into an agreement	1437
for a tax credit authorized under division (B)(3) of this section,	1438
the taxpayer's capital investment project will be located in the	1439
political subdivision in which the taxpayer maintains its	1440
principal place of business.	1441

(E) An agreement under this section shall include all of the	1442
following:	1443

(1) A detailed description of the project that is the subject	1444
of the agreement, including the amount of the investment, the	1445
period over which the investment has been or is being made, the	1446
number of full-time equivalent employees at the project site, and	1447
the anticipated income tax revenue to be generated.	1448

(2) The term of the credit, the percentage of the tax credit,	1449
the maximum annual value of tax credits that may be allowed each	1450
year, and the first year for which the credit may be claimed.	1451

(3) A requirement that the taxpayer maintain operations at	1452
the project site for at least the greater of (a) the term of the	1453
credit plus three years, or (b) seven years.	1454

(4)(a) In the case of a credit granted under division (B)(1)	1455
of this section, a requirement that the taxpayer retain at least	1456
five hundred full-time equivalent employees at the project site	1457
and within this state for the entire term of the credit, or a	1458
requirement that the taxpayer maintain an annual payroll of at	1459
least thirty-five million dollars for the entire term of the	1460
credit;	1461

(b) In the case of a credit granted under division (B)(2) of	1462
this section, a requirement that the taxpayer retain at least one	1463
thousand full-time equivalent employees at the project site and	1464
within this state for the entire term of the credit;	1465

(c) In the case of a credit granted under division (B)(3) of	1466
this section, either of the following:	1467

(i) A requirement that the taxpayer retain at least five	1468
hundred full-time equivalent employees at the project site and	1469
within this state for the entire term of the credit and a	1470
requirement that the taxpayer maintain an annual payroll of at	1471
least twenty million dollars for the entire term of the credit;	1472

(ii) A requirement that the taxpayer maintain an annual	1473
payroll of at least thirty-five million dollars for the entire	1474
term of the credit.	1475

(5) A requirement that the taxpayer annually report to the	1476
director of development services employment, tax withholding,	1477
capital investment, and other information the director needs to	1478
perform the director's duties under this section.	1479

(6) A requirement that the director of development services	1480
annually review the annual reports of the taxpayer to verify the	1481
information reported under division (E)(5) of this section and	1482
compliance with the agreement. Upon verification, the director	1483
shall issue a certificate to the taxpayer stating that the	1484
information has been verified and identifying the amount of the	1485
credit for the taxable year or calendar year that includes the tax	1486
period. In determining the number of full-time equivalent	1487
employees, no position shall be counted that is filled by an	1488
employee who is included in the calculation of a tax credit under	1489
section 122.17 of the Revised Code.	1490

(7) A provision providing that the taxpayer may not relocate	1491
a substantial number of employment positions from elsewhere in	1492
this state to the project site unless the director of development	1493
services determines that the taxpayer notified the legislative	1494
authority of the county, township, or municipal corporation from	1495
which the employment positions would be relocated.	1496

For purposes of this section, the movement of an employment	1497
position from one political subdivision to another political	1498
subdivision shall be considered a relocation of an employment	1499
position unless the movement is confined to the project site. The	1500
transfer of an employment position from one political subdivision	1501
to another political subdivision shall not be considered a	1502
relocation of an employment position if the employment position in	1503
the first political subdivision is replaced by another employment	1504
position.	1505

(8) A waiver by the taxpayer of any limitations periods	1506
relating to assessments or adjustments resulting from the	1507
taxpayer's failure to comply with the agreement.	1508

(F) If a taxpayer fails to meet or comply with any condition	1509
or requirement set forth in a tax credit agreement, the tax credit	1510
authority may amend the agreement to reduce the percentage or term	1511
of the credit. The reduction of the percentage or term may take	1512
effect in the current taxable or calendar year.	1513

(G) Financial statements and other information submitted to	1514
the department of development services or the tax credit authority	1515
by an applicant for or recipient of a tax credit under this	1516
section, and any information taken for any purpose from such	1517
statements or information, are not public records subject to	1518
section 149.43 of the Revised Code. However, the chairperson of	1519
the authority may make use of the statements and other information	1520
for purposes of issuing public reports or in connection with court	1521
proceedings concerning tax credit agreements under this section.	1522
Upon the request of the tax commissioner, or the superintendent of	1523
insurance in the case of an insurance company, the chairperson of	1524
the authority shall provide to the commissioner or superintendent	1525
any statement or other information submitted by an applicant for	1526
or recipient of a tax credit in connection with the credit. The	1527
commissioner or superintendent shall preserve the confidentiality	1528
of the statement or other information.	1529

(H) A taxpayer claiming a tax credit under this section shall	1530
submit to the tax commissioner or, in the case of an insurance	1531
company, to the superintendent of insurance, a copy of the	1532
director of development'sdevelopment services' certificate of	1533
verification under division (E)(6) of this section with the	1534
taxpayer's tax report or return for the taxable year or for the	1535
calendar year that includes the tax period. Failure to submit a	1536
copy of the certificate with the report or return does not	1537
invalidate a claim for a credit if the taxpayer submits a copy of	1538
the certificate to the commissioner or superintendent within sixty	1539
days after the commissioner or superintendent requests it.	1540

(I) For the purposes of this section, a taxpayer may include	1541
a partnership, a corporation that has made an election under	1542
subchapter S of chapter one of subtitle A of the Internal Revenue	1543
Code, or any other business entity through which income flows as a	1544
distributive share to its owners. A partnership, S-corporation, or	1545
other such business entity may elect to pass the credit received	1546
under this section through to the persons to whom the income or	1547
profit of the partnership, S-corporation, or other entity is	1548
distributed. The election shall be made on the annual report	1549
required under division (E)(5) of this section. The election	1550
applies to and is irrevocable for the credit for which the report	1551
is submitted. If the election is made, the credit shall be	1552
apportioned among those persons in the same proportions as those	1553
in which the income or profit is distributed.	1554

(J) If the director of development services determines that a	1555
taxpayer that received a tax credit under this section is not	1556
complying with the requirement under division (E)(3) of this	1557
section, the director shall notify the tax credit authority of the	1558
noncompliance. After receiving such a notice, and after giving the	1559
taxpayer an opportunity to explain the noncompliance, the	1560
authority may terminate the agreement and require the taxpayer to	1561
refund to the state all or a portion of the credit claimed in	1562
previous years, as follows:	1563

(1) If the taxpayer maintained operations at the project site	1564
for less than or equal to the term of the credit, an amount not to	1565
exceed one hundred per cent of the sum of any tax credits allowed	1566
and received under this section.	1567

(2) If the taxpayer maintained operations at the project site	1568
longer than the term of the credit, but less than the greater of	1569
(a) the term of the credit plus three years, or (b) seven years,	1570
the amount required to be refunded shall not exceed seventy-five	1571
per cent of the sum of any tax credits allowed and received under	1572
this section.	1573

In determining the portion of the credit to be refunded to	1574
this state, the authority shall consider the effect of market	1575
conditions on the taxpayer's project and whether the taxpayer	1576
continues to maintain other operations in this state. After making	1577
the determination, the authority shall certify the amount to be	1578
refunded to the tax commissioner or the superintendent of	1579
insurance. If the taxpayer is not an insurance company, the	1580
commissioner shall make an assessment for that amount against the	1581
taxpayer under Chapter 5733., 5747., or 5751. of the Revised Code.	1582
If the taxpayer is an insurance company, the superintendent of	1583
insurance shall make an assessment under section 5725.222 or	1584
5729.102 of the Revised Code. The time limitations on assessments	1585
under those chapters and sections do not apply to an assessment	1586
under this division, but the commissioner or superintendent shall	1587
make the assessment within one year after the date the authority	1588
certifies to the commissioner or superintendent the amount to be	1589
refunded.	1590

(K) The director of development services, after consultation	1591
with the tax commissioner and the superintendent of insurance and	1592
in accordance with Chapter 119. of the Revised Code, shall adopt	1593
rules necessary to implement this section. The rules may provide	1594
for recipients of tax credits under this section to be charged	1595
fees to cover administrative costs of the tax credit program. The	1596
fees collected shall be credited to the tax incentive programs	1597
operatingbusiness assistance fund created in section 122.174 of	1598
the Revised Code. At the time the director gives public notice	1599
under division (A) of section 119.03 of the Revised Code of the	1600
adoption of the rules, the director shall submit copies of the	1601
proposed rules to the chairpersons of the standing committees on	1602
economic development in the senate and the house of	1603
representatives.	1604

(L) On or before the first day of August of each year, the	1605
director of development services shall submit a report to the	1606
governor, the president of the senate, and the speaker of the	1607
house of representatives on the tax credit program under this	1608
section. The report shall include information on the number of	1609
agreements that were entered into under this section during the	1610
preceding calendar year, a description of the project that is the	1611
subject of each such agreement, and an update on the status of	1612
projects under agreements entered into before the preceding	1613
calendar year.	1614

(M)(1) The aggregate amount of tax credits issued under	1615
division (B)(1) of this section during any calendar year for	1616
capital investment projects reviewed and approved by the tax	1617
credit authority may not exceed the following amounts:	1618

(a) For 2010, thirteen million dollars;

1619

(b) For 2011 through 2023, the amount of the limit for the	1620
preceding calendar year plus thirteen million dollars;	1621

(c) For 2024 and each year thereafter, one hundred	1622
ninety-five million dollars.	1623

(2) The aggregate amount of tax credits authorized under	1624
divisions (B)(2) and (3) of this section and allowed to be claimed	1625
by taxpayers in any calendar year for capital improvement projects	1626
reviewed and approved by the tax credit authority in 2011, 2012,	1627
and 2013 combined shall not exceed twenty-five million dollars. An	1628
amount equal to the aggregate amount of credits first authorized	1629
in calendar year 2011, 2012, and 2013 may be claimed over the	1630
ensuing period up to fifteen years, subject to the terms of	1631
individual tax credit agreements.	1632

The limitations in division (M) of this section do not apply	1633
to credits for capital investment projects approved by the tax	1634
credit authority before July 1, 2009.	1635

Sec. 122.174.  There is hereby created in the state treasury	1636
the tax incentive programs operatingbusiness assistance fund.	1637
Money collectedThe fund shall consist of any amounts appropriated	1638
to it and money credited to the fund pursuant to division (I) of	1639
section 121.17, division (K) of section 122.171, division (K) of	1640
section 122.175, division (C) of section 3735.672, and division	1641
(C) of section 5709.68 of the Revised Code shall be credited to	1642
the fund. The director of development services shall use money in	1643
the fund to pay expenses related to the administration of the tax	1644
credit programs authorized by sections 122.17, 122.171, 3735.672,	1645
and 5709.68 of the Revised Codebusiness services division of the	1646
development services agency.	1647

Sec. 122.175.  (A) As used in this section:

1648

(1) "Capital investment project" means a plan of investment	1649
at a project site for the acquisition, construction, renovation,	1650
expansion, replacement, or repair of a computer data center or of	1651
computer data center equipment, but does not include any of the	1652
following:	1653

(a) Project costs paid before a date determined by the tax	1654
credit authority for each capital investment project;	1655

(b) Payments made to a related member as defined in section	1656
5733.042 of the Revised Code or to a consolidated elected taxpayer	1657
or a combined taxpayer as defined in section 5751.01 of the	1658
Revised Code.	1659

(2) "Computer data center" means a facility used or to be	1660
used primarily to house computer data center equipment used or to	1661
be used in conducting a computer data center business, as	1662
determined by the tax credit authority.	1663

(3) "Computer data center business" means, as may be further	1664
determined by the tax credit authority, a business that provides	1665
electronic information services as defined in division (Y)(1)(c)	1666
of section 5739.01 of the Revised Code. "Computer data center	1667
business" does not include providing electronic publishing as	1668
defined in division (LLL) of that section.	1669

(4) "Computer data center equipment" means tangible personal	1670
property used or to be used for any of the following:	1671

(a) To conduct a computer data center business, including	1672
equipment cooling systems to manage the performance of computer	1673
data center equipment;	1674

(b) To generate, transform, transmit, distribute, or manage	1675
electricity necessary to operate the tangible personal property	1676
used or to be used in conducting a computer data center business;	1677

(c) As building and construction materials sold to	1678
construction contractors for incorporation into a computer data	1679
center.	1680

(5) "Eligible computer data center" means a computer data	1681
center that satisfies all of the following requirements:	1682

(a) The taxpayer will make payments for a capital investment	1683
project of at least one hundred million dollars in the aggregate	1684
at the project site during a period of three consecutive calendar	1685
years;	1686

(b) The taxpayer will pay annual compensation that is subject	1687
to the withholding obligation imposed under section 5747.06 of the	1688
Revised Code of at least five million dollars to employees	1689
employed at the project site for the term of the agreement.	1690

(6) "Person" has the same meaning as in section 5701.01 of	1691
the Revised Code.	1692

(7) "Project site," "related member," and "tax credit	1693
authority" have the same meanings as in sections 122.17 and	1694
122.171 of the Revised Code.	1695

(8) "Taxpayer" means any person subject to the taxes imposed	1696
under Chapters 5739. and 5741. of the Revised Code.	1697

(B) The tax credit authority may completely or partially	1698
exempt from the taxes levied under Chapters 5739. and 5741. of the	1699
Revised Code the sale, storage, use, or other consumption of	1700
computer data center equipment used or to be used at an eligible	1701
computer data center. Any such exemption shall extend to charges	1702
for the delivery, installation, or repair of the computer data	1703
center equipment subject to the exemption under this section.	1704

(C) A taxpayer that proposes a capital improvement project	1705
for an eligible computer data center in this state may apply to	1706
the tax credit authority to enter into an agreement under this	1707
section for a complete or partial exemption from the taxes imposed	1708
under Chapters 5739. and 5741. of the Revised Code on computer	1709
data center equipment used or to be used at the eligible computer	1710
data center. The director of development services shall prescribe	1711
the form of the application. After receipt of an application, the	1712
authority shall forward copies of the application to the director	1713
of budget and management, the tax commissioner, and the director	1714
of development services, each of whom shall review the application	1715
to determine the economic impact that the proposed eligible	1716
computer data center would have on the state and any affected	1717
political subdivisions and submit to the authority a summary of	1718
their determinations and recommendations.	1719

(D) Upon review and consideration of such determinations and	1720
recommendations, the tax credit authority may enter into an	1721
agreement with the taxpayer for a complete or partial exemption	1722
from the taxes imposed under Chapters 5739. and 5741. of the	1723
Revised Code on computer data center equipment used or to be used	1724
at an eligible computer data center if the authority determines	1725
all of the following:	1726

(1) The taxpayer's capital investment project for the	1727
eligible computer data center will increase payroll and the amount	1728
of income taxes to be withheld from employee compensation pursuant	1729
to section 5747.06 of the Revised Code.	1730

(2) The taxpayer is economically sound and has the ability to	1731
complete the proposed capital investment project.	1732

(3) The taxpayer intends to and has the ability to maintain	1733
operations at the project site for the term of the agreement.	1734

(4) Receiving the exemption is a major factor in the	1735
taxpayer's decision to begin, continue with, or complete the	1736
capital investment project.	1737

(E) An agreement entered into under this section shall	1738
include all of the following:	1739

(1) A detailed description of the capital investment project	1740
that is the subject of the agreement, including the amount of the	1741
investment, the period over which the investment has been or is	1742
being made, the annual compensation to be paid by the taxpayer to	1743
its employees at the project site, and the anticipated amount of	1744
income taxes to be withheld from employee compensation pursuant to	1745
section 5747.06 of the Revised Code.	1746

(2) The percentage of the exemption from the taxes imposed	1747
under Chapters 5739. and 5741. of the Revised Code for the	1748
computer data center equipment used or to be used at the eligible	1749
computer data center, the length of time the computer data center	1750
equipment will be exempted, and the first date on which the	1751
exemption applies.	1752

(3) A requirement that the taxpayer maintain the computer	1753
data center as an eligible computer data center during the term of	1754
the agreement and that the taxpayer maintain operations at the	1755
eligible computer data center during that term.	1756

(4) A requirement that during each year of the term of the	1757
agreement the taxpayer pay annual compensation that is subject to	1758
the withholding obligation imposed under section 5747.06 of the	1759
Revised Code of at least five million dollars to its employees at	1760
the eligible computer data center.	1761

(5) A requirement that the taxpayer annually report to the	1762
director of development services employment, tax withholding,	1763
capital investment, and other information required by the director	1764
to perform the director's duties under this section.	1765

(6) A requirement that the director of development services	1766
annually review the annual reports of the taxpayer to verify the	1767
information reported under division (E)(5) of this section and	1768
compliance with the agreement. Upon verification, the director	1769
shall issue a certificate to the taxpayer stating that the	1770
information has been verified and that the taxpayer remains	1771
eligible for the exemption specified in the agreement.	1772

(7) A provision providing that the taxpayer may not relocate	1773
a substantial number of employment positions from elsewhere in	1774
this state to the project site unless the director of development	1775
services determines that the taxpayer notified the legislative	1776
authority of the county, township, or municipal corporation from	1777
which the employment positions would be relocated. For purposes of	1778
this paragraph, the movement of an employment position from one	1779
political subdivision to another political subdivision shall be	1780
considered a relocation of an employment position unless the	1781
movement is confined to the project site. The transfer of an	1782
employment position from one political subdivision to another	1783
political subdivision shall not be considered a relocation of an	1784
employment position if the employment position in the first	1785
political subdivision is replaced by another employment position.	1786

(8) A waiver by the taxpayer of any limitations periods	1787
relating to assessments or adjustments resulting from the	1788
taxpayer's failure to comply with the agreement.	1789

(F) The term of an agreement under this section shall be	1790
determined by the tax credit authority, and the amount of the	1791
exemption shall not exceed one hundred per cent of such taxes that	1792
would otherwise be owed in respect to the exempted computer data	1793
center equipment.	1794

(G) If a taxpayer fails to meet or comply with any condition	1795
or requirement set forth in an agreement under this section, the	1796
tax credit authority may amend the agreement to reduce the	1797
percentage of the exemption or term during which the exemption	1798
applies to the computer data center equipment used or to be used	1799
at an eligible computer data center. The reduction of the	1800
percentage or term may take effect in the current calendar year.	1801

(H) Financial statements and other information submitted to	1802
the department of development services or the tax credit authority	1803
by an applicant for or recipient of an exemption under this	1804
section, and any information taken for any purpose from such	1805
statements or information, are not public records subject to	1806
section 149.43 of the Revised Code. However, the chairperson of	1807
the authority may make use of the statements and other information	1808
for purposes of issuing public reports or in connection with court	1809
proceedings concerning tax exemption agreements under this	1810
section. Upon the request of the tax commissioner, the chairperson	1811
of the authority shall provide to the tax commissioner any	1812
statement or other information submitted by an applicant for or	1813
recipient of an exemption under this section. The tax commissioner	1814
shall preserve the confidentiality of the statement or other	1815
information.	1816

(I) The tax commissioner shall issue a direct payment permit	1817
under section 5739.031 of the Revised Code to a taxpayer that	1818
enters into an agreement under this section. Such direct payment	1819
permit shall authorize the taxpayer to pay any sales and use taxes	1820
due on purchases of computer data center equipment used or to be	1821
used in an eligible computer data center and to pay any sales and	1822
use taxes due on purchases of tangible personal property or	1823
taxable services other than computer data center equipment used or	1824
to be used in an eligible computer data center directly to the tax	1825
commissioner. Each taxpayer shall pay pursuant to such direct	1826
payment permit all sales tax levied on such purchases under	1827
sections 5739.02, 5739.021, 5739.023, and 5739.026 of the Revised	1828
Code and all use tax levied on such purchases under sections	1829
5741.02, 5741.021, 5741.022, and 5741.023 of the Revised Code,	1830
consistent with the terms of the agreement entered into under this	1831
section.	1832

During the term of an agreement under this section the	1833
taxpayer shall submit to the tax commissioner a return that shows	1834
the amount of computer data center equipment purchased for use at	1835
the eligible computer data center, the amount of tangible personal	1836
property and taxable services other than computer data center	1837
equipment purchased for use at the eligible computer data center,	1838
the amount of tax under Chapter 5739. or 5741. of the Revised Code	1839
that would be due in the absence of the agreement under this	1840
section, the exemption percentage for computer data center	1841
equipment specified in the agreement, and the amount of tax due	1842
under Chapter 5739. or 5741. of the Revised Code as a result of	1843
the agreement under this section. The taxpayer shall pay the tax	1844
shown on the return to be due in the manner and at the times as	1845
may be further prescribed by the tax commissioner. The taxpayer	1846
shall include a copy of the director of development'sdevelopment	1847
services' certificate of verification issued under division (E)(6)	1848
of this section. Failure to submit a copy of the certificate with	1849
the return does not invalidate the claim for exemption if the	1850
taxpayer submits a copy of the certificate to the tax commissioner	1851
within sixty days after the tax commissioner requests it.	1852

(J) If the director of development services determines that a	1853
taxpayer that received an exemption under this section is not	1854
complying with the requirement under division (E)(3) of this	1855
section, the director shall notify the tax credit authority of the	1856
noncompliance. After receiving such a notice, and after giving the	1857
taxpayer an opportunity to explain the noncompliance, the	1858
authority may terminate the agreement and require the taxpayer to	1859
pay to the state all or a portion of the taxes that would have	1860
been owed in regards to the exempt equipment in previous years,	1861
all as determined under rules adopted pursuant to division (K) of	1862
this section. In determining the portion of the taxes that would	1863
have been owed on the previously exempted equipment to be paid to	1864
this state by the taxpayer, the authority shall consider the	1865
effect of market conditions on the taxpayer's eligible computer	1866
data center and whether the taxpayer continues to maintain other	1867
operations in this state. After making the determination, the	1868
authority shall certify to the tax commissioner the amount to be	1869
paid by the taxpayer. The tax commissioner shall make an	1870
assessment for that amount against the taxpayer under Chapter	1871
5739. or 5741. of the Revised Code. The time limitations on	1872
assessments under those chapters do not apply to an assessment	1873
under this division, but the tax commissioner shall make the	1874
assessment within one year after the date the authority certifies	1875
to the tax commissioner the amount to be paid by the taxpayer.	1876

(K) The director of development services, after consultation	1877
with the tax commissioner and in accordance with Chapter 119. of	1878
the Revised Code, shall adopt rules necessary to implement this	1879
section. The rules may provide for recipients of tax exemptions	1880
under this section to be charged fees to cover administrative	1881
costs incurred in the administration of this section. The fees	1882
collected shall be credited to the tax incentive programs	1883
operatingbusiness assistance fund created in section 122.174 of	1884
the Revised Code. At the time the director gives public notice	1885
under division (A) of section 119.03 of the Revised Code of the	1886
adoption of the rules, the director shall submit copies of the	1887
proposed rules to the chairpersons of the standing committees on	1888
economic development in the senate and the house of	1889
representatives.	1890

(L) On or before the first day of August of each year, the	1891
director of development services shall submit a report to the	1892
governor, the president of the senate, and the speaker of the	1893
house of representatives on the tax exemption authorized under	1894
this section. The report shall include information on the number	1895
of agreements that were entered into under this section during the	1896
preceding calendar year, a description of the eligible computer	1897
data center that is the subject of each such agreement, and an	1898
update on the status of eligible computer data centers under	1899
agreements entered into before the preceding calendar year.	1900

Sec. 122.39.  As used in sections 122.39 and 122.41 to 122.62	1901
of the Revised Code:	1902

(A) "Financial institution" means any banking corporation,	1903
trust company, insurance company, savings and loan association,	1904
building and loan association, or corporation, partnership,	1905
federal lending agency, foundation, or other institution engaged	1906
in lending or investing funds for industrial or business purposes.	1907

(B) "Project" means any real or personal property connected	1908
with or being a part of an industrial, distribution, commercial,	1909
or research facility to be acquired, constructed, reconstructed,	1910
enlarged, improved, furnished, or equipped, or any combination	1911
thereof, with aid furnished pursuant to Chapter 122. of the	1912
Revised Code, for industrial, commercial, distribution, and	1913
research development of the state.	1914

(C) "Community improvement corporation" means a corporation	1915
organized under Chapter 1724. of the Revised Code.	1916

(D) "Ohio development corporation" means a corporation	1917
organized under Chapter 1726. of the Revised Code.	1918

(E) "Mortgage" means the lien imposed on a project by a	1919
mortgage on real property, or by financing statements on personal	1920
property, or by a combination of a mortgage and financing	1921
statements when a project consists of both real and personal	1922
property.	1923

(F) "Mortgagor" means the principal user of a project or the	1924
person, corporation, partnership, or association unconditionally	1925
guaranteeing performance by such principal user of its obligations	1926
under the mortgage.	1927

Sec. 122.41. (A) The development financing advisory council	1928
and the director of development areservices is invested with the	1929
powers and duties provided in Chapter 122. of the Revised Code, in	1930
order to promote the welfare of the people of the state, to	1931
stabilize the economy, to provide employment, to assist in the	1932
development within the state of industrial, commercial,	1933
distribution, and research activities required for the people of	1934
the state, and for their gainful employment, or otherwise to	1935
create or preserve jobs and employment opportunities, or improve	1936
the economic welfare of the people of the state, and also to	1937
assist in the financing of air, water, or thermal pollution	1938
control facilities and solid waste disposal facilities by mortgage	1939
insurance as provided in section 122.451 of the Revised Code. It	1940
is hereby determined that the accomplishment of such purposes is	1941
essential so that the people of the state may maintain their	1942
present high standards in comparison with the people of other	1943
states and so that opportunities for employment and for favorable	1944
markets for the products of the state's natural resources,	1945
agriculture, and manufacturing shall be improved and that it is	1946
necessary for the state to establish the programs authorized	1947
pursuant to Chapter 122. of the Revised Code, to establish the	1948
development financing advisory council, and to invest it and the	1949
director of development services with the powers and duties	1950
provided in Chapter 122. of the Revised Code. The powers granted	1951
to the director of development by Chapter 165. of the Revised Code	1952
are independent of and in addition and alternate to, and are not	1953
limited or restricted by, Chapter 122. of the Revised Code.	1954

(B) The development financing advisory council shall:

1955

(1) Make recommendations to the director of development as to	1956
applications for assistance pursuant to sections 122.39 to 122.62	1957
or Chapter 166. of the Revised Code. The council may revise its	1958
recommendations to reflect any changes in the proposed assistance	1959
made by the director.	1960

(2) Advise the director in the administration of sections	1961
122.39 to 122.62 and Chapter 166. of the Revised Code;	1962

(3) Adopt bylaws to govern the conduct of the council's	1963
business.	1964

Sec. 122.42.  (A) The director of development services shall	1965
do all of the following:	1966

(1) Receive applications for assistance under sections 122.39	1967
and 122.41 to 122.62 of the Revised Code, and, after processing,	1968
forward them to the development financing advisory board together	1969
with necessary supporting information;	1970

(2) Receive the recommendations of the board and makeMake a	1971
final determination whether to approve the application for	1972
assistance;	1973

(3) Transmit determinations to approve assistance to the	1974
controlling board together with any information the controlling	1975
board requires for the board's review and decision as to whether	1976
to approve the assistance;	1977

(4) Issue revenue bonds of the state through the treasurer of	1978
state, as necessary, payable solely from revenues and other	1979
sources as provided in sections 122.39 and 122.41 to 122.62 of the	1980
Revised Code.	1981

(B) The director may do all of the following:

1982

(1) Fix the rate of interest and charges to be made upon or	1983
with respect to moneys loaned by the director and the terms upon	1984
which mortgages and lease rentals may be guaranteed and the rates	1985
of charges to be made for the loans and guarantees and to make	1986
provisions for the operation of the funds established by the	1987
director in accordance with this section and sections 122.54,	1988
122.55, 122.56, and 122.57 of the Revised Code;	1989

(2) Loan moneys from the fund established in accordance with	1990
section 122.54 of the Revised Code pursuant to and in compliance	1991
with sections 122.39 and 122.41 to 122.62 of the Revised Code;	1992

(3) Acquire in the name of the director any property of any	1993
kind or character in accordance with sections 122.39 and 122.41 to	1994
122.62 of the Revised Code, by purchase, purchase at foreclosure,	1995
or exchange on such terms and in such manner as the director	1996
considers proper;	1997

(4) Make and enter into all contracts and agreements	1998
necessary or incidental to the performance of the director's	1999
duties and the exercise of the director's powers under sections	2000
122.39 and 122.41 to 122.62 of the Revised Code;	2001

(5) Maintain, protect, repair, improve, and insure any	2002
property which the director has acquired and dispose of the same	2003
by sale, exchange, or lease for the consideration and on the terms	2004
and in the manner as the director considers proper, but is not	2005
authorized to operate any such property as a business except as	2006
the lessor of the property;	2007

(6)(a) When the cost of any contract for the maintenance,	2008
protection, repair, or improvement of any property held by the	2009
director other than compensation for personal services involves an	2010
expenditure of more than one thousand dollars, the director shall	2011
make a written contract with the lowest responsive and responsible	2012
bidder in accordance with section 9.312 of the Revised Code after	2013
advertisement for not less than two consecutive weeks in a	2014
newspaper of general circulation in the county where such	2015
contract, or some substantial part of it, is to be performed, and	2016
in such other publications as the director determines, which	2017
notice shall state the general character of the work and the	2018
general character of the materials to be furnished, the place	2019
where plans and specifications may be examined, and the time and	2020
place of receiving bids.	2021

(b) Each bid for a contract for the construction, demolition,	2022
alteration, repair, or reconstruction of an improvement shall	2023
contain the full name of every person interested in it and meet	2024
the requirements of section 153.54 of the Revised Code.	2025

(c) Each bid for a contract, except as provided in division	2026
(B)(6)(b) of this section, shall contain the full name of every	2027
person interested in it and shall be accompanied by bond or	2028
certified check on a solvent bank, in such amount as the director	2029
considers sufficient, that if the bid is accepted a contract will	2030
be entered into and the performance of the proposal secured.	2031

(d) The director may reject any and all bids.

2032

(e) A bond with good and sufficient surety, approved by the	2033
director, shall be required of every contractor awarded a contract	2034
except as provided in division (B)(6)(b) of this section, in an	2035
amount equal to at least fifty per cent of the contract price,	2036
conditioned upon faithful performance of the contract.	2037

(7) Employ financial consultants, appraisers, consulting	2038
engineers, superintendents, managers, construction and accounting	2039
experts, attorneys, and other employees and agents as are	2040
necessary in the director's judgment and fix their compensation;	2041

(8) Assist qualified persons in the coordination and	2042
formation of a small business development company, having a	2043
statewide area of operation, conditional upon the company's	2044
agreeing to seek to obtain certification from the federal small	2045
business administration as a certified statewide development	2046
company and participation in the guaranteed loan program	2047
administered by the small business administration pursuant to the	2048
Act of July 2, 1980, 94 Stat. 837, 15 U.S.C.A. 697. During the	2049
initial period of formation of the statewide small business	2050
development company, the director shall provide technical and	2051
financial expertise, legal and managerial assistance, and other	2052
services as are necessary and proper to enable the company to	2053
obtain and maintain federal certification and participation in the	2054
federal guaranteed loan program. The director may charge a fee, in	2055
such amount and on such terms and conditions as the director	2056
determines necessary and proper, for assistance and services	2057
provided pursuant to division (B)(8) of this section.	2058

Persons chosen by the director to receive assistance in the	2059
formation of a statewide small business development company	2060
pursuant to division (B)(8) of this section shall make a special	2061
effort to use their participation in the federal guaranteed loan	2062
program to assist small businesses which are minority business	2063
enterprises as defined in division (E) of section 122.71 of the	2064
Revised Code. The director, with the assistance of the minority	2065
business development division of the department of development,	2066
shall provide technical and financial expertise, legal and	2067
managerial assistance, and other services in such a manner to	2068
enable the development company to provide assistance to small	2069
businesses which are minority business enterprises, and shall make	2070
available to the development company information pertaining to	2071
assistance available to minority business enterprises under	2072
programs established pursuant to sections 122.71 to 122.83, 122.87	2073
to 122.89, 122.92 to 122.94, 123.151, and 125.081 of the Revised	2074
Code.	2075

(9) Receive and accept grants, gifts, and contributions of	2076
money, property, labor, and other things of value to be held,	2077
used, and applied only for the purpose for which such grants,	2078
gifts, and contributions are made, from individuals, private and	2079
public corporations, from the United States or any agency of the	2080
United States, from the state or any agency of the state, and from	2081
any political subdivision of the state, and may agree to repay any	2082
contribution of money or to return any property contributed or the	2083
value of the property at such times, in such amounts, and on such	2084
terms and conditions, excluding the payment of interest, as the	2085
director determines at the time such contribution is made, and may	2086
evidence such obligations by notes, bonds, or other written	2087
instruments;	2088

(10) Establish with the treasurer of state the funds provided	2089
in sections 122.54, 122.55, 122.56, and 122.57 of the Revised	2090
Code, in addition to such funds as the director determines are	2091
necessary or proper;	2092

(11) Do all acts and things necessary or proper to carry out	2093
the powers expressly granted and the duties imposed in sections	2094
122.39 and 122.41 to 122.62 and Chapter 163. of the Revised Code.	2095

(C) All expenses and obligations incurred by the director in	2096
carrying out the director's powers and in exercising the	2097
director's duties under sections 122.39 and 122.41 to 122.62 of	2098
the Revised Code, shall be payable solely from the proceeds of	2099
revenue bonds issued pursuant to those sections, from revenues or	2100
other receipts or income of the director, from grants, gifts, and	2101
contributions, or funds established in accordance with those	2102
sections. Those sections do not authorize the director to incur	2103
indebtedness or to impose liability on the state or any political	2104
subdivision of the state.	2105

(D) Financial statements and financial data submitted to the	2106
director by any corporation, partnership, or person in connection	2107
with a loan application, or any information taken from such	2108
statements or data for any purpose, shall not be open to public	2109
inspection.	2110

Sec. 122.43.  The director of development services, with	2111
controlling board approval, may lend funds which are obtained from	2112
the sale of revenue bonds issued by the treasurer of state	2113
pursuant to sections 122.39 and 122.41 to 122.62 of the Revised	2114
Code, from revenues or other receipts or income of the director,	2115
or funds established in accordance with sections 122.39 and 122.41	2116
to 122.62 of the Revised Code, and from grants, gifts, and	2117
contributions subject to any provisions of resolutions authorizing	2118
the revenue bonds or of trust agreements securing such bonds, to	2119
community improvement corporations and Ohio development	2120
corporations and other corporations, partnerships, and persons for	2121
the purpose of procuring or improving real or personal property,	2122
or both, for the establishment, location, or expansion of	2123
industrial, distribution, commercial, or research facilities in	2124
the state, and to community improvement corporations and Ohio	2125
development corporations for the purpose of loaning funds to other	2126
corporations, partnerships, and persons for the purpose of	2127
procuring or improving real or personal property, or both, for the	2128
establishment, location, or expansion of industrial, distribution,	2129
commercial, or research facilities in the state, if the director	2130
finds that:	2131

(A) The project is economically sound and will benefit the	2132
people of the state by increasing opportunities for employment and	2133
strengthening the economy of the state;	2134

(B) The proposed borrower, if other than a community	2135
improvement corporation or an Ohio development corporation, is	2136
unable to finance the proposed project through ordinary financial	2137
channels upon reasonable terms and at comparable interest rates,	2138
or the borrower, if a community improvement corporation or an Ohio	2139
development corporation, should not, in the opinion of the	2140
director, be required to finance the proposed project without a	2141
loan from the director;	2142

(C) The value of the project is, or upon completion thereof	2143
will be, at least equal to the total amount of the money expended	2144
in such procurement or improvement of which amount one or more	2145
financial institutions have loaned or invested not less than forty	2146
per cent;	2147

(D) The amount to be loaned by the director will not exceed	2148
fifty per cent of the total amount expended in the procurement or	2149
improvement of the project;	2150

(E) The amount to be loaned by the director will be	2151
adequately secured by a first or second mortgage upon the project,	2152
and by mortgages, leases, liens, assignments, or pledges on or of	2153
such other property or contracts as the director shall require and	2154
that such mortgage will not be subordinate to any other liens or	2155
mortgages except the liens securing loans or investments made by	2156
financial institutions referred to in division (C) of this	2157
section, and the liens securing loans previously made by any	2158
financial institution in connection with the procurement or	2159
expansion of all or part of a project.	2160

In no event may the direectorDIRECTORdirector lend funds	2161
under the authority of this section for the purpose of procuring	2162
or improving motor vehicles, power driven vehicles, office	2163
equipment, raw materials, small tools, supplies, inventories, or	2164
accounts receivable.	2165

Sec. 122.44.  Fees, charges, rates of interest, times of	2166
payment of interest and principal, and other terms, conditions,	2167
and provisions of the loans made by the director of development	2168
services pursuant to sections 122.39 and 122.41 to 122.62 of the	2169
Revised Code shall be such as the director determines to be	2170
appropriate and in furtherance of the purpose for which the loans	2171
are made, but the mortgage lien securing any money loaned by the	2172
director may be subordinate to the mortgage lien securing any	2173
money loaned or invested by a financial institution, but shall be	2174
superior to that securing any money loaned or expended by any	2175
other corporation or person. The funds used in making such loans	2176
shall be disbursed upon order of the director.	2177

Sec. 122.48.  Each issue of revenue bonds issued by the	2178
treasurer of state pursuant to sections 122.39 and 122.41 to	2179
122.62 of the Revised Code, shall be dated, shall bear interest at	2180
a rate or rates or at a variable rate, as provided in or	2181
authorized by the proceedings authorizing or providing for the	2182
terms and conditions of the revenue bonds, shall mature at such	2183
time or times, not to exceed forty years from date, as determined	2184
by the director of development services and may be made redeemable	2185
before maturity at the option of the director at such price or	2186
prices and under such terms and conditions as are fixed by the	2187
director prior to the issuance of the bonds. The director shall	2188
determine the form of the bonds, including any interest coupons to	2189
be attached thereto, and the denomination or denominations of the	2190
bonds and the place or places of payment of principal and	2191
interest, which may be at any bank or trust company within or	2192
without the state.	2193

The bonds shall be executed by the signature or facsimile	2194
signature of the treasurer of state, the official seal or a	2195
facsimile thereof of the state shall be affixed thereto and	2196
attested by the treasurer of state or designated treasurer of	2197
state, and any coupons attached thereto shall bear the facsimile	2198
signature of the treasurer of state. In case the person whose	2199
signature, or a facsimile of whose signature, appears on any bonds	2200
or coupons ceases to be such officer before delivery of bonds or	2201
in case such person was not at the date of such bonds or coupons	2202
such officer but at the actual date of execution of such bonds or	2203
coupons was the proper officer, such signature or facsimile shall	2204
nevertheless be valid and sufficient for all purposes the same as	2205
if hethe person had remained in office until such delivery.	2206

All revenue bonds issued under sections 122.39 and 122.41 to	2207
122.62 of the Revised Code, shall be negotiable instruments. The	2208
bonds may be issued in coupon or in registered form or both, as	2209
the treasurer determines. Provision may be made for the	2210
registration of any coupon bonds as to the principal alone and	2211
also as to both principal and interest, and for the reconversion	2212
into coupon bonds of any bonds registered as to both principal and	2213
interest. The treasurer of state may sell such bonds in the manner	2214
and for the price hethe treasurer of state determines to be for	2215
the best interest of the state.	2216

Prior to the preparation of definitive bonds, the treasurer	2217
of state may, under like restrictions, issue interim receipts or	2218
temporary bonds, with or without coupons, exchangeable for	2219
definitive bonds when such bonds have been executed and are	2220
available for delivery. The treasurer of state may also provide	2221
for the replacement of any bonds which become mutilated or are	2222
destroyed, stolen, or lost. Bonds may be issued under sections	2223
122.39 to 122.62 of the Revised Code, without obtaining the	2224
consent of any department, division, commission, board, bureau, or	2225
agency of the state, and without any other proceeding or the	2226
happening of any other conditions or things than those	2227
proceedings, conditions, or things which are specifically required	2228
by such sections.	2229

Sec. 122.49.  The proceeds of each issue of revenue bonds	2230
issued pursuant to sections 122.39 and 122.41 to 122.62 of the	2231
Revised Code shall be used for the making of loans authorized in	2232
sections 122.43 and 122.45 of the Revised Code, for the purchase	2233
and improvement of property authorized in section 122.46 of the	2234
Revised Code, for insuring mortgage payments authorized in section	2235
122.451 of the Revised Code, and for the crediting into and among	2236
the funds established in accordance with sections 122.35, 122.54,	2237
122.55, 122.56, 122.561, and 122.57 of the Revised Code, but	2238
subject to such conditions, limitations, and covenants with the	2239
purchasers and holders of the bonds as shall be provided for in	2240
the bond authorization proceedings and in the trust agreement	2241
securing the same.	2242

Provision shall be made by the director of development	2243
services for the payment of the expenses of the director in	2244
operating the assistance programs authorized under this chapter in	2245
such manner and to such extent as shall be determined by the	2246
director.	2247

Sec. 122.50.  Revenue bonds issued under sections 122.39 and	2248
122.41 to 122.62, inclusive, of the Revised Code, do not	2249
constitute a debt, or a pledge of the faith and credit, of the	2250
state or of any political subdivision thereof, but such bonds	2251
shall be payable solely from the funds pledged for their payment	2252
as authorized by such sections, or by funds derived from the	2253
issuance of refunding bonds as authorized in section 122.52 of the	2254
Revised Code, which refunding bonds shall be payable solely from	2255
funds pledged for their payment as authorized by such section. All	2256
such revenue bonds shall contain on the face thereof a statement	2257
to the effect that the bonds, as to both principal and interest,	2258
are not an obligation of the state or of any political subdivision	2259
thereof, but are payable solely from revenues pledged for their	2260
payment.	2261

Sec. 122.51.  All revenue bonds issued under sections 122.39	2262
and 122.41 to 122.62, inclusive, of the Revised Code, are lawful	2263
investments of banks, building and loan and savings and loan	2264
associations, deposit guarantee associations, trust companies,	2265
trustees, fiduciaries, trustees or other officers having charge of	2266
sinking or bond retirement funds of municipal corporations and	2267
other subdivisions of this state, and of domestic insurance	2268
companies notwithstanding sections 3907.14 and 3925.08 of the	2269
Revised Code, and are acceptable as security for the deposit of	2270
public moneys.	2271

Sec. 122.52.  The director of development services may	2272
provide for the issuance of revenue refunding bonds of the state	2273
by the treasurer of state, payable solely from the sinking funds	2274
established in accordance with section 122.51 of the Revised Code	2275
at the times and in the order and manner provided by the director	2276
and in any trust agreement securing such bonds and shall also be	2277
secured by moneys in the other funds established pursuant to	2278
sections 122.39 and 122.41 to 122.62 of the Revised Code to the	2279
extent and on the terms specified by the director, for the purpose	2280
of refunding any revenue bonds then outstanding which have been	2281
issued under sections 122.39 and 122.41 to 122.62 of the Revised	2282
Code, including the payment of any redemption premium thereon and	2283
any interest accrued or to accrue to the date of redemption of	2284
such bonds. The issuance of such bonds, the maturities and other	2285
details thereof, the rights of the holders thereof, and the	2286
rights, duties, and obligations of the director and treasurer of	2287
state in respect to such bonds shall be governed by such sections	2288
insofar as they are applicable.	2289

Sec. 122.53.  In the discretion of the treasurer of state,	2290
any bonds issued under sections 122.39 and 122.41 to 122.62 of the	2291
Revised Code, may be secured by a trust agreement between the	2292
treasurer of state and a corporate trustee, which trustee may be	2293
any trust company or bank having the powers of a trust company	2294
within or without the state.	2295

Any such trust agreement may pledge or assign payments of	2296
principal of and interest on loans, charges, fees, and other	2297
revenue to be received by the director of development services,	2298
all rentals received under leases made by the director, and all	2299
proceeds of the sale or other disposition of property held by the	2300
director, and may provide for the holding in trust by the trustee	2301
to the extent provided for in the proceedings authorizing such	2302
bonds, of all such moneys and moneys otherwise payable into the	2303
mortgage guarantee fund created by section 122.56 of the Revised	2304
Code, and all moneys otherwise payable into the mortgage insurance	2305
fund created by section 122.561 of the Revised Code, and of moneys	2306
payable into the sinking fund or funds referred to in section	2307
122.57 of the Revised Code, but shall not convey or mortgage any	2308
of the real or personal property held by the director or any part	2309
thereof. Any such trust agreement, or any proceedings providing	2310
for the issuance of such bonds, may contain such provisions for	2311
protecting and enforcing the rights and remedies of the	2312
bondholders as are reasonable and proper and not in violation of	2313
law, including covenants setting forth the duties of the director	2314
in relation to the acquisition of property, and the construction,	2315
improvement, maintenance, repair, operation, and insurance of	2316
facilities, the making of loans and leases and the terms and	2317
provisions thereof, and the custody, safeguarding, investment, and	2318
application of all moneys, and provisions for the employment of	2319
consulting engineers or other consultants in connection with the	2320
making of loans and leases and the construction or operation of	2321
any facility. Any bank or trust company incorporated under the	2322
laws of this state which may act as trustee or as depository of	2323
the proceeds of bonds or of revenue may furnish such indemnifying	2324
bonds or may pledge such securities as are required by the	2325
treasurer of state. Any such trust agreement may set forth the	2326
rights and remedies of the bondholders and of the trustee, and may	2327
restrict the individual right of action by bondholders as is	2328
customary in trust agreements or trust indentures securing bonds	2329
or debentures of corporations. Such trust agreement may contain	2330
such other provisions as the treasurer of state deems reasonable	2331
and proper for the security of the bondholders. All expenses	2332
incurred by the treasurer of state in carrying out the provisions	2333
of any such trust agreement shall be treated as a part of the cost	2334
of the operation of the assistance programs authorized pursuant to	2335
Chapter 122. of the Revised Code. Any such trust agreement may	2336
provide the method whereby general administrative overhead expense	2337
of the director with respect to those assistance programs shall be	2338
allocated among the funds established pursuant to Chapter 122. of	2339
the Revised Code with respect to the operating expenses of the	2340
director payable out of the income of the assistance programs.	2341

Sec. 122.561.  The mortgage insurance fund of the director of	2342
development services is hereby created to consist of all money	2343
allocated by the director from the proceeds of the sale of any	2344
issue of revenue bonds, to the extent and subject to the	2345
conditions provided in the proceedings authorizing such bonds or	2346
in the trust agreements securing such bonds, for the purpose of	2347
insuring mortgage payments pursuant to section 122.451 of the	2348
Revised Code, all grants and contributions made to the director	2349
for such purpose, all moneys deposited or credited to the mortgage	2350
insurance fund pursuant to section 169.05 of the Revised Code, all	2351
other moneys and property designated by the director and by law	2352
for such purpose, all mortgage insurance premiums charged and	2353
collected as provided in this section, and all receipts and	2354
proceeds from the sale, disposal, lease, or rental of real or	2355
personal property which the director may hold as a result of a	2356
default in an insured mortgage. The director shall fix mortgage	2357
insurance premiums for the insurance of mortgage payments pursuant	2358
to section 122.451 of the Revised Code, to be computed as a	2359
percentage of the principal obligation of the mortgage outstanding	2360
at the beginning of each mortgage year. Such insurance premiums	2361
shall not be more than three per cent per annum of the outstanding	2362
principal obligation, and shall be calculated on the basis of all	2363
pertinent available data. Such premiums shall be payable by the	2364
mortgagors or the mortgagees in such manner as is prescribed by	2365
the director. The amount of premium need not be uniform among the	2366
various mortgages insured. The director may provide for the	2367
custody, investment, and use of the unclaimed funds trust fund	2368
created by section 169.05 of the Revised Code and all mortgage	2369
insurance premiums, including the payment therefrom of the	2370
expenses and costs of the director in insuring mortgage payments	2371
pursuant to section 122.451 of the Revised Code. Any financial	2372
statements or financial data submitted to the director, the	2373
development financing advisory council, or the controlling board	2374
in connection with any application for the insurance of mortgage	2375
payments, or any information taken from such statements or data,	2376
is not open to public inspection.	2377

Sec. 122.57.  All payments of principal of and interest on	2378
the loans made by the director of development services, all	2379
rentals received under leases made by himthe director, and all	2380
proceeds of the sale or other disposition of property held by him	2381
the director shall be placed in separate sinking funds to the	2382
extent provided in the proceedings authorizing revenue bonds which	2383
are hereby pledged to and charged with the payment of interest on,	2384
principal of and redemption premium on, the revenue bonds issued	2385
pursuant to sections 122.39 and 122.41 to 122.62 of the Revised	2386
Code to the extent provided in the proceedings authorizing and the	2387
trust agreements securing such bonds. The moneys therein in excess	2388
of the amounts required by the bond proceedings and trust	2389
agreements and all payments not so required to be paid into such	2390
sinking funds shall be retained or placed in such fund or in the	2391
other funds provided for by sections 122.35, 122.54, 122.42,	2392
122.55, 122.56, 122.561, and 122.57 of the Revised Code as the	2393
director shall determine, and shall be available for the uses for	2394
which such funds are established.	2395

Sec. 122.60.  As used in sections 122.60 to 122.605 of the	2396
Revised Code:	2397

(A) "Capital access loan" means a loan made by a	2398
participating financial institution to an eligible business that	2399
may be secured by a deposit of money from the fund into the	2400
participating financial institution's program reserve account.	2401

(B) "Department of development" means the department of	2402
development services agency.	2403

(C) "Eligible business" means a for-profit business entity,	2404
or a nonprofit entity, that had total annual sales in its most	2405
recently completed fiscal year of less than ten million dollars	2406
and that has a principal place of for-profit business or nonprofit	2407
entity activity within the state, the operation of which, alone or	2408
in conjunction with other facilities, will create new jobs or	2409
preserve existing jobs and employment opportunities and will	2410
improve the economic welfare of the people of the state. As used	2411
in this division, "new jobs" does not include existing jobs	2412
transferred from another facility within the state, and "existing	2413
jobs" means only existing jobs at facilities within the same	2414
municipal corporation or township in which the project, activity,	2415
or enterprise that is the subject of a capital access loan is	2416
located.	2417

(D) "Financial institution" means any bank, trust company,	2418
savings bank, or savings and loan association that is chartered by	2419
and has a significant presence in the state, or any national bank,	2420
federal savings and loan association, or federal savings bank that	2421
has a significant presence in the state.	2422

(E) "Fund" means the capital access loan program fund.

2423

(F) "Minority business supplier development council" has the	2424
same meaning as in section 122.71 of the Revised Code.	2425

(G) "Participating financial institution" means a financial	2426
institution that has a valid, current participation agreement with	2427
the departmentdevelopment services agency.	2428

(G)(H) "Participation agreement" means the agreement between	2429
a financial institution and the departmentagency under which a	2430
financial institution may participate in the program.	2431

(H)(I) "Passive real estate ownership" means the ownership of	2432
real estate for the sole purpose of deriving income from it by	2433
speculation, trade, or rental.	2434

(I)(J) "Program" means the capital access loan program	2435
created under section 122.602 of the Revised Code.	2436

(J)(K) "Program reserve account" means a dedicated account at	2437
each participating financial institution that is the property of	2438
the state and may be used by the participating financial	2439
institution only for the purpose of recovering a claim under	2440
section 122.604 of the Revised Code arising from a default on a	2441
loan made by the participating financial institution under the	2442
program.	2443

Sec. 122.601.  There is hereby created in the state treasury	2444
the capital access loan program fund. The fund shall consist of	2445
money deposited into it from the minority business enterprise loan	2446
fund pursuant to section 122.80 of the Revised Code and the	2447
facilities establishment fund pursuant to section 166.03 of the	2448
Revised Code and all money deposited into it pursuant to section	2449
122.602 of the Revised Code. The total amount of money deposited	2450
into the fund from the minority business enterprise loan fund or	2451
the facilities establishment fund shall not exceed three million	2452
dollars during any particular fiscal year of the department	2453
development services agency.	2454

The departmentagency shall disburse money from the fund only	2455
to pay the operating costs of the program, including the	2456
administrative costs incurred by the departmentagency in	2457
connection with the program, and only in keeping with the purposes	2458
specified in sections 122.60 to 122.605 of the Revised Code.	2459

Sec. 122.602.  (A) There is hereby created in the department	2460
of development the capital access loan program to assist	2461
participating financial institutions in making program loans to	2462
eligible businesses that face barriers in accessing working	2463
capital and obtaining fixed asset financing. In administering the	2464
program, the director of development may do any of the following:	2465

(1) Receive and accept grants, gifts, and contributions of	2466
money, property, labor, and other things of value to be held,	2467
used, and applied only for the purpose for which the grants,	2468
gifts, and contributions are made, from individuals, private and	2469
public corporations, the United States or any agency of the United	2470
States, the state or any agency of the state, or any political	2471
subdivision of the state;	2472

(2) Agree to repay any contribution of money or return any	2473
property contributed or the value of that property at the times,	2474
in the amounts, and on the terms and conditions, excluding the	2475
payment of interest, that the director consents to at the time a	2476
contribution is made; and evidence obligations by notes, bonds, or	2477
other written instruments;	2478

(3) Adopt rules under Chapter 119. of the Revised Code to	2479
carry out the purposes of the program specified in sections 122.60	2480
to 122.605 of the Revised Code;	2481

(4) Engage in all other acts, and enter into contracts and	2482
execute all instruments, necessary or appropriate to carry out the	2483
purposes specified in sections 122.60 to 122.605 of the Revised	2484
Code.	2485

(B) The director shall determine the eligibility of a	2486
financial institution to participate in the program and may set a	2487
limit on the number of financial institutions that may participate	2488
in the program.	2489

(C) To be considered eligible by the director to participate	2490
in the program, a financial institution shall enter into a	2491
participation agreement with the department that sets out the	2492
terms and conditions under which the department will deposit	2493
moneys from the fund into the financial institution's program	2494
reserve account, specifies the criteria for loan qualification	2495
under the program, and contains any additional terms the director	2496
considers necessary.	2497

(D) After receiving the certification required under division	2498
(C) of section 122.603 of the Revised Code, the director may	2499
disburse moneys from the fund to a participating financial	2500
institution for deposit in its program reserve account if the	2501
director determines that the capital access loan involved meets	2502
all of the following criteria:	2503

(1) It will be made to an eligible business.

2504

(2) It will be used by the eligible business for a project,	2505
activity, or enterprise that fosters economic development.	2506

(3) It will not be made in order to enroll in the program	2507
prior debt that is not covered under the program and that is owed	2508
or was previously owed by an eligible business to the financial	2509
institution.	2510

(4) It will not be utilized for a project or development	2511
related to the on-site construction or purchase of residential	2512
housing.	2513

(5) It will not be used to finance passive real estate	2514
ownership.	2515

(6) It conforms to the requirements of divisions (E), (F),	2516
(G), (H), and (I) of this section, and to the rules adopted by the	2517
director under division (A)(3) of this section.	2518

(E) The director shall not approve a deposit amount from the	2519
fund for a capital access loan to an eligible business that	2520
exceeds two hundred fifty thousand dollars for working capital or	2521
five hundred thousand dollars for the purchase of fixed assets. An	2522
eligible business may apply for the maximum deposit amount offor	2523
both working capital and the purchase of fixed assets in the same	2524
capital access loan enrollment.	2525

(F) A financial institution may apply to the director for the	2526
approval of a capital access loan to any business that is owned or	2527
operated by a person that has previously defaulted under any state	2528
financial assistance program.	2529

(G) Eligible businesses that apply for a capital access loan	2530
shall comply with section 9.66 of the Revised Code.	2531

(H) A financial institution may apply to the director for the	2532
approval of a capital access loan that refinances a nonprogram	2533
loan made by another financial institution.	2534

(I) The director shall not approve a capital access loan that	2535
refinances a nonprogram loan made by the same financial	2536
institution, unless the amount of the refinanced loan exceeds the	2537
existing debt, in which case only the amount exceeding the	2538
existing debt is eligible for a loan under the program.	2539

Sec. 122.603.  (A)(1) Upon approval by the director of	2540
development services and after entering into a participation	2541
agreement with the department of development services agency, a	2542
participating financial institution making a capital access loan	2543
shall establish a program reserve account. The account shall be an	2544
interest-bearing account and shall contain only moneys deposited	2545
into it under the program and the interest payable on the moneys	2546
in the account.	2547

(2) All interest payable on the moneys in the program reserve	2548
account shall be added to the moneys and held as an additional	2549
loss reserve. The director may require that a portion or all of	2550
the accrued interest so held in the account be released to the	2551
departmentagency. If the director causes a release of accrued	2552
interest, the director shall deposit the released amount into the	2553
capital access loan program fund created in section 122.601 of the	2554
Revised Code. The director shall not require the release of that	2555
accrued interest more than twice in a fiscal year.	2556

(B) When a participating financial institution makes a	2557
capital access loan, it shall require the eligible business to pay	2558
to the participating financial institution a fee in an amount that	2559
is not less than one and one-half per cent, and not more than	2560
three per cent, of the principal amount of the loan. The	2561
participating financial institution shall deposit the fee into its	2562
program reserve account, and it also shall deposit into the	2563
account an amount of its own funds equal to the amount of the fee.	2564
The participating financial institution may recover from the	2565
eligible business all or part of the amount that the participating	2566
financial institution is required to deposit into the account	2567
under this division in any manner agreed to by the participating	2568
financial institution and the eligible business.	2569

(C) For each capital access loan made by a participating	2570
financial institution, the participating financial institution	2571
shall certify to the director, within a period specified by the	2572
director, that the participating financial institution has made	2573
the loan. The certification shall include the amount of the loan,	2574
the amount of the fee received from the eligible business, the	2575
amount of its own funds that the participating financial	2576
institution deposited into its program reserve account to reflect	2577
that fee, and any other information specified by the director. The	2578
certification also shall indicate if the eligible business	2579
receiving the capital access loan is a minority business	2580
enterprise as defined in section 122.71 of the Revised Code or	2581
certified by the minority business supplier development council.	2582

(D)(1)(a) Upon receipt of each of the first three	2583
certifications from a participating financial institution made	2584
under division (C) of this section and subject to section 122.602	2585
of the Revised Code, the director shall disburse to the	2586
participating financial institution from the capital access loan	2587
program fund an amount equalnot to exceed fifty per cent of the	2588
principal amount of the particular capital access loan for deposit	2589
into the participating financial institution's program reserve	2590
account. Thereafter, upon receipt of a certification from that	2591
participating financial institution made under division (C) of	2592
this section and subject to section 122.602 of the Revised Code,	2593
the director shall disburse to the participating financial	2594
institution from the capital access loan program fund an amount	2595
equal to ten per cent of the principal amount of the particular	2596
capital access loan for deposit into the participating financial	2597
institution's program reserve account.	2598

(b) Notwithstanding division (D)(1)(a) of this section, and	2599
subject to section 122.602 of the Revised Code, upon receipt of	2600
any certification from a participating financial institution made	2601
under division (C) of this section with respect to a capital	2602
access loan made to an eligible business that is a minority	2603
business enterprise, the director shall disburse to the	2604
participating financial institution from the capital access loan	2605
program fund an amount equalnot to exceed eighty per cent of the	2606
principal amount of the particular capital access loan for deposit	2607
into the participating financial institution's program reserve	2608
account.	2609

(2) The disbursement of moneys from the fund to a	2610
participating financial institution does not require approval from	2611
the controlling board.	2612

(E) If the amount in a program reserve account exceeds an	2613
amount equal to thirty-three per cent of a participating financial	2614
institution's outstanding capital access loans, the department	2615
agency may cause the withdrawal of the excess amount and the	2616
deposit of the withdrawn amount into the capital access loan	2617
program fund.	2618

(F)(1) The departmentagency may cause the withdrawal of the	2619
total amount in a participating financial institution's program	2620
reserve account if any of the following applies:	2621

(a) The financial institution is no longer eligible to	2622
participate in the program.	2623

(b) The participation agreement expires without renewal by	2624
the departmentagency or the financial institution.	2625

(c) The financial institution has no outstanding capital	2626
access loans.	2627

(d) The financial institution has not made a capital access	2628
loan within the preceding twenty-four months.	2629

(2) If the departmentagency causes a withdrawal under	2630
division (F)(1) of this section, the departmentagency shall	2631
deposit the withdrawn amount into the capital access loan program	2632
fund.	2633

Sec. 122.61.  The exercise of the powers granted by sections	2634
122.39 and 122.41 to 122.62 of the Revised Code, will be in all	2635
respects for the benefit of the people of the state, for the	2636
increase of their commerce and prosperity, and for the improvement	2637
of conditions of employment, and will constitute the performance	2638
of essential governmental functions; therefore the director of	2639
development services shall not be required to pay any taxes upon	2640
any of property or assets held by himthe director, or upon any	2641
property acquired or used by himthe director under sections	2642
122.39 and 122.41 to 122.62 of the Revised Code, or upon the	2643
income therefrom, provided, such exemption shall not apply to any	2644
property held by the director while it is in the possession of a	2645
private person, partnership, or corporation and used for private	2646
purposes for profit. The bonds, notes, or other obligations issued	2647
under such sections, their transfer, and the income therefrom,	2648
including any profit made on the sale thereof, shall at all times	2649
be free from taxation within the state.	2650

Sec. 122.62.  All moneys received under sections 122.39 and	2651
122.41 to 122.62 of the Revised Code as proceeds from the sale of	2652
bonds are trust funds. All moneys received under those sections	2653
shall be held and applied solely as provided in such sections and	2654
section 166.03 of the Revised Code. All such moneys, except as	2655
otherwise provided in any proceedings authorizing revenue bonds or	2656
in any trust agreement securing such bonds or except when	2657
deposited with the treasurer of state, or except as they may be	2658
invested pursuant to section 122.58 of the Revised Code, shall be	2659
kept in depositories as selected by the director of development	2660
services in the manner provided in sections 135.01 to 135.21 of	2661
the Revised Code, insofar as such sections are applicable, and the	2662
deposits shall be secured as provided in sections 135.01 to 135.21	2663
of the Revised Code. The proceedings authorizing the issuance of	2664
bonds of any issue or the trust agreement securing such bonds	2665
shall provide that any official to whom, or any bank or trust	2666
company to which, such moneys are paid, shall act as trustee of	2667
such moneys and hold and apply them for the purposes of sections	2668
122.39 and 122.41 to 122.62 of the Revised Code, subject to such	2669
rules as such sections and such bond issuance proceedings or trust	2670
agreement provide.	2671

Sec. 122.64.  (A) There is hereby established in the	2672
department of development services agency a business services	2673
division of economic development. The division shall be supervised	2674
by a deputy director appointed by the director of development	2675
services.	2676

The division is responsible for the administration of the	2677
state economic development financing programs established pursuant	2678
to sections 122.17 and 122.18, sections 122.39 and 122.41 to	2679
122.62, and Chapter 166. of the Revised Code and for coordinating	2680
the activities of the development financing advisory council so as	2681
to ensure the efficient administration of the programs.	2682

(B) The director of development services shall:

2683

(1) Appoint an individual to serve as director of the	2684
development financing advisory council;	2685

(2) Receive applications for assistance pursuant to sections	2686
122.39 and 122.41 to 122.62 and Chapter 166. of the Revised Code.	2687
The director shall process the applications and, except as	2688
provided in division (C)(2) of section 166.05 of the Revised Code,	2689
forward them to the development financing advisory council. As	2690
appropriate, the director shall receive the recommendations of the	2691
council as to applications for assistance.	2692

(3)(2) With the approval of the director of administrative	2693
services, establish salary schedules for employees of the various	2694
positions of employment with the division and assign the various	2695
positions to those salary schedules;	2696

(4) Furnish and pay for, out of funds appropriated to the	2697
department of development for that purpose, office space and	2698
associated utilities service, for the development financing	2699
advisory council;	2700

(5)(3) Employ and fix the compensation of financial	2701
consultants, appraisers, consulting engineers, superintendents,	2702
managers, construction and accounting experts, attorneys, and	2703
other agents for the assistance programs authorized pursuant to	2704
sections 122.17 and 122.18, sections 122.39 and 122.41 to 122.62,	2705
and Chapter 166. of the Revised Code as are necessary;	2706

(6)(4) Supervise the administrative operations of the	2707
division;	2708

(7)(5) On or before the first day of October in each year,	2709
make an annual report of the activities and operations under	2710
assistance programs authorized pursuant to sections 122.39 and	2711
122.41 to 122.62 and Chapter 166. of the Revised Code for the	2712
preceding fiscal year to the governor and the general assembly.	2713
Each such report shall set forth a complete operating and	2714
financial statement covering such activities and operations during	2715
the year in accordance with generally accepted accounting	2716
principles and shall be audited by a certified public accountant.	2717
The director of development services shall transmit a copy of the	2718
audited financial report to the office of budget and management.	2719

Sec. 122.76.  (A) The director of development services, with	2720
controlling board approval, may lend funds to minority business	2721
enterprises and to community improvement corporations, Ohio	2722
development corporations, minority contractors business assistance	2723
organizations, and minority business supplier development councils	2724
for the purpose of loaning funds to minority business enterprises	2725
and for the purpose of procuring or improving real or personal	2726
property, or both, for the establishment, location, or expansion	2727
of industrial, distribution, commercial, or research facilities in	2728
the state, and to community development corporations that	2729
predominantly benefit minority business enterprises or are located	2730
in a census tract that has a population that is sixty per cent or	2731
more minority if the director determines, in the director's sole	2732
discretion, that all of the following apply:	2733

(1) The project is economically sound and will benefit the	2734
people of the state by increasing opportunities for employment, by	2735
strengthening the economy of the state, or expanding minority	2736
business enterprises.	2737

(2) The proposed minority business enterprise borrower is	2738
unable to finance the proposed project through ordinary financial	2739
channels at comparable terms.	2740

(3) The value of the project is or, upon completion, will be	2741
at least equal to the total amount of the money expended in the	2742
procurement or improvement of the project.	2743

(4) The amount to be loaned by the director will not exceed	2744
sixtyseventy-five per cent of the total amount expended in the	2745
procurement or improvement of the project.	2746

(5) The amount to be loaned by the director will be	2747
adequately secured by a first or second mortgage upon the project	2748
or by mortgages, leases, liens, assignments, or pledges on or of	2749
other property or contracts as the director requires, and such	2750
mortgage will not be subordinate to any other liens or mortgages	2751
except the liens securing loans or investments made by financial	2752
institutions referred to in division (A)(3) of this section, and	2753
the liens securing loans previously made by any financial	2754
institution in connection with the procurement or expansion of all	2755
or part of a project.	2756

(B) Any proposed minority business enterprise borrower	2757
submitting an application for assistance under this section shall	2758
not have defaulted on a previous loan from the director, and no	2759
full or limited partner, major shareholder, or holder of an equity	2760
interest of the proposed minority business enterprise borrower	2761
shall have defaulted on a loan from the director.	2762

(C) The proposed minority business enterprise borrower shall	2763
demonstrate to the satisfaction of the director that it is able to	2764
successfully compete in the private sector if it obtains the	2765
necessary financial, technical, or managerial support and that	2766
support is available through the director, the minority business	2767
development office of the department of development, or other	2768
identified and acceptable sources. In determining whether a	2769
minority business enterprise borrower will be able to successfully	2770
compete, the director may give consideration to such factors as	2771
the successful completion of or participation in courses of study,	2772
recognized by the board of regents as providing financial,	2773
technical, or managerial skills related to the operation of the	2774
business, by the economically disadvantaged individual, owner, or	2775
partner, and the prior success of the individual, owner, or	2776
partner in personal, career, or business activities, as well as to	2777
other factors identified by the director.	2778

(D) The director shall not lend funds for the purpose of	2779
procuring or improving motor vehicles or accounts receivable.	2780

Sec. 122.80.  There is hereby created in the state treasury	2781
the minority business enterprise loan fund. The fund shall consist	2782
of money deposited into the fund from the facilities establishment	2783
fund pursuant to section 166.03 of the Revised Code and all money	2784
deposited into the fund pursuant to section 122.81 of the Revised	2785
Code. The director of development shall use the fund to pay	2786
operating costs of the minority development financing advisory	2787
board, make loans to minority business enterprises as authorized	2788
in division (A) of section 122.76 of the Revised Code and, loan	2789
guarantees to small businesses as authorized in division (A) of	2790
section 122.77 of the Revised Code, and for transfer to the	2791
capital access loan program fund established in section 122.601 of	2792
the Revised Code.	2793

Sec. 122.86.  (A) As used in this section and section 5747.81	2794
of the Revised Code:	2795

(1) "Small business enterprise" means a corporation,	2796
pass-through entity, or other person satisfying all of the	2797
following:	2798

(a) At the time of a qualifying investment, the enterprise	2799
meets all of the following requirements:	2800

(i) Has no outstanding tax or other liabilities owed to the	2801
state;	2802

(ii) Is in good standing with the secretary of state, if the	2803
enterprise is required to be registered with the secretary;	2804

(iii) Is current with any court-ordered payments;

2805

(iv) Is not engaged in any illegal activity.

2806

(b) At the time of a qualifying investment, the enterprise's	2807
assets according to generally accepted accounting principles do	2808
not exceed fifty million dollars, or its annual sales do not	2809
exceed ten million dollars;. When making this determination, the	2810
assets and annual sales of all of the enterprise's related or	2811
affiliated entities shall be included in the calculation.	2812

(b)(c) The enterprise employs at least fifty full-time	2813
equivalent employees in this state for whom the enterprise is	2814
required to withhold income tax under section 5747.06 of the	2815
Revised Code, or more than one-half the enterprise's total number	2816
of full-time equivalent employees employed anywhere in the United	2817
States are employed in this state and are subject to that	2818
withholding requirement.	2819

(c)(d) The enterprise, within six months after an eligible	2820
investor's qualifying investment is made, invests in or incurs	2821
cost for one or more of the following in an amount at least equal	2822
to the amount of the qualifying investment:	2823

(i) Tangible personal property, other than motor vehicles	2824
operated on public roads and highways, used in business and	2825
physically located in this state from the time of its acquisition	2826
by the enterprise until the end of the investor's holding period;	2827

(ii) Motor vehicles operated on public roads and highways if,	2828
from the time of acquisition by the enterprise until the end of	2829
the investor's holding period, the motor vehicles are purchased in	2830
this state, registered in this state under Chapter 4503. of the	2831
Revised Code, are used primarily for business purposes, and are	2832
necessary for the operation of the enterprise's business;	2833

(iii) Real property located in this state that is used in	2834
business from the time of its acquisition by the enterprise until	2835
the end of the holding period;	2836

(iv) Intangible personal property, including patents,	2837
copyrights, trademarks, service marks, or licenses used in	2838
business primarily in this state from the time of its acquisition	2839
by the enterprise until the end of the holding period;	2840

(v) Compensation for new employees of the enterprise for whom	2841
the enterprise is required to withhold income tax under section	2842
5747.06 of the Revised Code, not including increased compensation	2843
for owners, officers, or managers of the enterprise. For this	2844
purpose compensation for new employees includes compensation for	2845
newly hired or retained employees.	2846

(2) "Qualifying investment" means an investment of money made	2847
on or after July 1, 2011, to acquire capital stock or other equity	2848
interest in a small business enterprise. "Qualifying investment"	2849
does not include anyeither of the following:	2850

(a) Any investment of money an eligible investor derives,	2851
directly or indirectly, from a grant or loan from the federal	2852
government or the state or a political subdivision, including the	2853
third frontier program under Chapter 184. of the Revised Code;	2854

(b) Any investment of money which is the basis of a tax	2855
credit granted under any other section of the Revised Code.	2856

(3) "Eligible investor" means an individual, estate, or trust	2857
subject to the tax imposed by section 5747.02 of the Revised Code,	2858
or a pass-through entity in which such an individual, estate, or	2859
trust holds a direct or indirect ownership or other equity	2860
interest. To qualify as an eligible investor, the individual,	2861
estate, trust, or pass-through entity shall not owe any	2862
outstanding tax or other liability to the state at the time of a	2863
qualifying investment.	2864

(4) "Holding period" means:

2865

(a) For qualifying investments made on or after July 1, 2011,	2866
but before July 1, 2013, the two-year period beginning on the day	2867
the investment was made;	2868

(b) For qualifying investments made on or after July 1, 2013,	2869
the five-year period beginning on the day the investment was made.	2870

(5) "Pass-through entity" has the same meaning as in section	2871
5733.04 of the Revised Code.	2872

(B) Any eligible investor that makes a qualifying investment	2873
in a small business enterprise on or after July 1, 2011, may apply	2874
to the director of development services to obtain a small business	2875
investment certificate from the director. Alternatively, a small	2876
business enterprise may apply on behalf of eligible investors to	2877
obtain the certificates for those investors. The director, in	2878
consultation with the tax commissioner, shall prescribe the form	2879
or manner in which an applicant shall apply for the certificate,	2880
devise the form of the certificate, and prescribe any records or	2881
other information an applicant shall furnish with the application	2882
to evidence the qualifying investment. The applicant shall state	2883
the amount of the intended investment. The applicant shall pay an	2884
application fee equal to the greater of one-tenth of one per cent	2885
of the amount of the intended investment or one hundred dollars.	2886

A small business investment certificate entitles the	2887
certificate holder to receive a tax credit under section 5747.81	2888
of the Revised Code if the certificate holder qualifies for the	2889
credit as otherwise provided in this section. If the certificate	2890
holder is a pass-through entity, the certificate entitles the	2891
entity's equity owners to receive their distributive or	2892
proportionate shares of the credit. In any fiscal biennium, an	2893
eligible investor may not apply for small business investment	2894
certificates representing intended investment amounts in excess of	2895
ten million dollars. Such certificates are not transferable.	2896

The director of development shall issueservices may reserve	2897
small business investment certificates to qualifying applicants in	2898
the order in which the director receives applications, but may	2899
issue the certificates as the applications are completed. An	2900
application is completed when the director has validated that an	2901
eligible investor has made a qualified investment and the small	2902
business enterprise has made the appropriate reinvestment of the	2903
qualified investment pursuant to the requirements of division	2904
(A)(1)(d) of this section. To qualify for a certificate, an	2905
eligible investor must satisfy both of the following, subject to	2906
the limitation on the amount of qualifying investments for which	2907
certificates may be issued under division (C) of this section:	2908

(1) The eligible investor makes a qualifying investment on or	2909
after July 1, 2011.	2910

(2) The eligible investor pledges not to sell or otherwise	2911
dispose of the qualifying investment before the conclusion of the	2912
applicable holding period.	2913

(C)(1) The amount of any eligible investor's qualifying	2914
investments for which small business investment certificates may	2915
be issued for a fiscal biennium shall not exceed ten million	2916
dollars.	2917

(2) The director of development services shall not issue a	2918
small business investment certificate to an eligible investor	2919
representing an amount of qualifying investment in excess of the	2920
amount of the intended investment indicated on the investor's	2921
application for the certificate.	2922

(3) The director of development services shall not issue	2923
small business investment certificates in a total amount that	2924
would cause the tax credits claimed in any fiscal biennium to	2925
exceed one hundred million dollars.	2926

(4) The director of development services may issue a small	2927
business investment certificate only if both of the following	2928
apply at the time of issuance:	2929

(a) The small business enterprise meets all the requirements	2930
listed in divisions (A)(1)(a)(i) to (iv) of this section;	2931

(b) The eligible investor does not owe any outstanding tax or	2932
other liability to the state.	2933

(D) Before the end of the applicable holding period of a	2934
qualifying investment, each enterprise in which a qualifying	2935
investment was made for which a small business investment	2936
certificate has been issued, upon the request of the director of	2937
development services, shall provide to the director records or	2938
other evidence satisfactory to the director that the enterprise is	2939
a small business enterprise for the purposes of this section. Each	2940
enterprise shall also provide annually to the director records or	2941
evidence regarding the number of jobs created or retained in the	2942
state. No credit may be claimed under this section and section	2943
5747.81 of the Revised Code if the director finds that an	2944
enterprise is not a small business enterprise for the purposes of	2945
this section. The director shall compile and maintain a register	2946
of small business enterprises qualifying under this section and	2947
shall certify the register to the tax commissioner. The director	2948
shall also compile and maintain a record of the number of jobs	2949
created or retained as a result of qualifying investments made	2950
pursuant to this section.	2951

(E) After the conclusion of the applicable holding period for	2952
a qualifying investment, a person to whom a small business	2953
investment certificate has been issued under this section may	2954
claim a credit as provided under section 5747.81 of the Revised	2955
Code.	2956

(F) The director of development services, in consultation	2957
with the tax commissioner, may adopt rules for the administration	2958
of this section, including rules governing the following:	2959

(1) Documents, records, or other information eligible	2960
investors shall provide to the director;	2961

(2) Any information a small business enterprise shall provide	2962
for the purposes of this section and section 5747.81 of the	2963
Revised Code;	2964

(3) Determination of the number of full-time equivalent	2965
employees of a small business enterprise;	2966

(4) Verification of a small business enterprise's investment	2967
in tangible personal property and intangible personal property	2968
under division (A)(1)(c)(d) of this section, including when such	2969
investments have been made and where the property is used in	2970
business;	2971

(5) Circumstances under which small business enterprises or	2972
eligible investors may be subverting the purposes of this section	2973
and section 5747.81 of the Revised Code.	2974

There is hereby created in the state treasury the InvestOhio	2975
support fund. The fund shall consist of the fees paid under	2976
division (B) of this section and shall be used by the development	2977
services agency to pay the costs of administering the small	2978
business investment certificate program established under this	2979
section.	2980

Sec. 122.942.  The director of development services shall,	2981
with respect to each project for which a loan, grant, tax credit,	2982
or other state-funded financial assistance is awarded by the	2983
development services agency, make all of the following information	2984
available to the public within thirty days after the agency enters	2985
into a contract with the recipient:	2986

(A) A summary of the project that includes all of the	2987
following:	2988

(1) A breakdown of the sources of the funds for each aspect	2989
of the project, such as state or federal programs, the operating	2990
company or entity itself, or any private financing, and a complete	2991
description of how each type of funds is to be used;	2992

(2) The total amount of assistance awarded;

2993

(3) A brief description of the project;

2994

(4) The following information regarding the project:

2995

(a) The operating company or entity that is awarded the	2996
assistance;	2997

(b) The products or services provided by the operating	2998
company or entity;	2999

(c) The number of new jobs, at-risk jobs, and retained jobs	3000
anticipated; the hourly wages and hourly benefits of those jobs;	3001
and the dollar amount of assistance per job affected.	3002

(5) The strengths and weaknesses of the project;

3003

(6) The location of the project, the location of the	3004
operating company or entity, and whether relocation is involved;	3005

(7) The Ohio house district and Ohio senate district in which	3006
the project is located;	3007

(8) The payment terms and conditions of the assistance	3008
awarded;	3009

(9) The collateral or security required;

3010

(10) The recommendation of the staff assigned to the project.

3011

(B) A comprehensive report that provides a description of the	3012
operating company or entity; all relevant information regarding	3013
the project; an analysis of the operating company or entity and	3014
the goods or services it provides; the explicit terms of any	3015
collateral or security required; and the reasoning behind the	3016
staffs' recommendation.	3017

(C) Any other relevant information the controlling board may	3018
request, or the director may consider necessary to more fully	3019
describe the details of the assistance or the operating company or	3020
entity, that is provided before the controlling board approves the	3021
assistance.	3022

Nothing in this section shall be construed as requiring the	3023
disclosure of information that is not a public record under	3024
section 149.43 of the Revised Code.	3025

Sec. 122.97.  (A) The business development and assistance	3026
fund is hereby created in the state treasury. Investment earnings	3027
on moneys in the fund shall be credited to the fund. The	3028
development services agency shall deposit any money it receives	3029
for business development services and business assistance services	3030
to the credit of the fund, including:	3031

(1) Reimbursements for services provided for business	3032
development and business assistance services;	3033

(2) Contract or grant payments from private entities;

3034

(3) Donations or sponsorship payments from private entities;

3035

(4) Contract or grant payments from public agencies or	3036
political subdivisions.	3037

(B) The agency shall use money in the fund for any agency	3038
operating purposes or programs providing business support or	3039
business assistance, including grants, loans, or administrative	3040
expenses.	3041

Sec. 149.311.  (A) As used in this section:

3042

(1) "Historic building" means a building, including its	3043
structural components, that is located in this state and that is	3044
either individually listed on the national register of historic	3045
places under 16 U.S.C. 470a, located in a registered historic	3046
district, and certified by the state historic preservation officer	3047
as being of historic significance to the district, or is	3048
individually listed as a historic landmark designated by a local	3049
government certified under 16 U.S.C. 470a(c).	3050

(2) "Qualified rehabilitation expenditures" means	3051
expenditures paid or incurred during the rehabilitation period,	3052
and before and after that period as determined under 26 U.S.C. 47,	3053
by an owner or qualified lessee of a historic building to	3054
rehabilitate the building. "Qualified rehabilitation expenditures"	3055
includes architectural or engineering fees paid or incurred in	3056
connection with the rehabilitation, and expenses incurred in the	3057
preparation of nomination forms for listing on the national	3058
register of historic places. "Qualified rehabilitation	3059
expenditures" does not include any of the following:	3060

(a) The cost of acquiring, expanding, or enlarging a historic	3061
building;	3062

(b) Expenditures attributable to work done to facilities	3063
related to the building, such as parking lots, sidewalks, and	3064
landscaping;	3065

(c) New building construction costs.

3066

(3) "Owner" of a historic building means a person holding the	3067
fee simple interest in the building. "Owner" does not include the	3068
state or a state agency, or any political subdivision as defined	3069
in section 9.23 of the Revised Code.	3070

(4) "Qualified lessee" means a person subject to a lease	3071
agreement for a historic building and eligible for the federal	3072
rehabilitation tax credit under 26 U.S.C. 47. "Qualified lessee"	3073
does not include the state or a state agency or political	3074
subdivision as defined in section 9.23 of the Revised Code.	3075

(5) "Certificate owner" means the owner or qualified lessee	3076
of a historic building to which a rehabilitation tax credit	3077
certificate was issued under this section.	3078

(5)(6) "Registered historic district" means a historic	3079
district listed in the national register of historic places under	3080
16 U.S.C. 470a, a historic district designated by a local	3081
government certified under 16 U.S.C. 470a(c), or a local historic	3082
district certified under 36 C.F.R. 67.8 and 67.9.	3083

(6)(7) "Rehabilitation" means the process of repairing or	3084
altering a historic building or buildings, making possible an	3085
efficient use while preserving those portions and features of the	3086
building and its site and environment that are significant to its	3087
historic, architectural, and cultural values.	3088

(7)(8) "Rehabilitation period" means one of the following:

3089

(a) If the rehabilitation initially was not planned to be	3090
completed in stages, a period chosen by the owner or qualified	3091
lessee not to exceed twenty-four months during which	3092
rehabilitation occurs;	3093

(b) If the rehabilitation initially was planned to be	3094
completed in stages, a period chosen by the owner or qualified	3095
lessee not to exceed sixty months during which rehabilitation	3096
occurs. Each stage shall be reviewed as a phase of a	3097
rehabilitation as determined under 26 C.F.R. 1.48-12 or a	3098
successor to that section.	3099

(8)(9) "State historic preservation officer" or "officer"	3100
means the state historic preservation officer appointed by the	3101
governor under 16 U.S.C. 470a.	3102

(B) The owner or qualified lessee of a historic building may	3103
apply to the director of development for a rehabilitation tax	3104
credit certificate for qualified rehabilitation expenditures paid	3105
or incurred by such owner or qualified lessee after April 4, 2007,	3106
for rehabilitation of a historic building. TheIf the owner of a	3107
historic building enters a pass-through agreement with a qualified	3108
lessee for the purposes of the federal rehabilitation tax credit	3109
under 26 U.S.C. 47, the qualified rehabilitation expenditures paid	3110
or incurred by the owner after April 4, 2007, shall be attributed	3111
to the qualified lessee.	3112

The form and manner of filing such applications shall be	3113
prescribed by rule of the director of development. Each	3114
application shall state the amount of qualified rehabilitation	3115
expenditures the applicant estimates will be paid or incurred. The	3116
director may require applicants to furnish documentation of such	3117
estimates.	3118

The director, after consultation with the tax commissioner	3119
and in accordance with Chapter 119. of the Revised Code, shall	3120
adopt rules that establish all of the following:	3121

(1) Forms and procedures by which applicants may apply for	3122
rehabilitation tax credit certificates;	3123

(2) Criteria for reviewing, evaluating, and approving	3124
applications for certificates within the limitations under	3125
division (D) of this section, criteria for assuring that the	3126
certificates issued encompass a mixture of high and low qualified	3127
rehabilitation expenditures, and criteria for issuing certificates	3128
under division (C)(3)(b) of this section;	3129

(3) Eligibility requirements for obtaining a certificate	3130
under this section;	3131

(4) The form of rehabilitation tax credit certificates;

3132

(5) Reporting requirements and monitoring procedures;

3133

(6) Procedures and criteria for conducting cost-benefit	3134
analyses of historic buildings that are the subjects of	3135
applications filed under this section. The purpose of a	3136
cost-benefit analysis shall be to determine whether rehabilitation	3137
of the historic building will result in a net revenue gain in	3138
state and local taxes once the building is used.	3139

(7) Any other rules necessary to implement and administer	3140
this section.	3141

(C) The director of development shall review the applications	3142
with the assistance of the state historic preservation officer and	3143
determine whether all of the following criteria are met:	3144

(1) That the building that is the subject of the application	3145
is a historic building and the applicant is the owner or qualified	3146
lessee of the building;	3147

(2) That the rehabilitation will satisfy standards prescribed	3148
by the United States secretary of the interior under 16 U.S.C.	3149
470, et seq., as amended, and 36 C.F.R. 67.7 or a successor to	3150
that section;	3151

(3) That receiving a rehabilitation tax credit certificate	3152
under this section is a major factor in:	3153

(a) The applicant's decision to rehabilitate the historic	3154
building; or	3155

(b) To increase the level of investment in such	3156
rehabilitation.	3157

An applicant shall demonstrate to the satisfaction of the	3158
state historic preservation officer and director of development	3159
that the rehabilitation will satisfy the standards described in	3160
division (C)(2) of this section before the applicant begins the	3161
physical rehabilitation of the historic building.	3162

(D)(1) If the director of development determines that an	3163
application meets the criteria in divisions (C)(1), (2), and (3)	3164
of this section, the director shall conduct a cost-benefit	3165
analysis for the historic building that is the subject of the	3166
application to determine whether rehabilitation of the historic	3167
building will result in a net revenue gain in state and local	3168
taxes once the building is used. The director shall consider the	3169
results of the cost-benefit analysis in determining whether to	3170
approve the application. The director shall also consider the	3171
potential economic impact and the regional distributive balance of	3172
the credits throughout the state. The director may approve an	3173
application only after completion of the cost-benefit analysis.	3174

(2) A rehabilitation tax credit certificate shall not be	3175
issued for an amount greater than the estimated amount furnished	3176
by the applicant on the application for such certificate and	3177
approved by the director. The director shall not approve more than	3178
a total of sixty million dollars of rehabilitation tax credits per	3179
fiscal year but the director may reallocate unused tax credits	3180
from a prior fiscal year for new applicants and such reallocated	3181
credits shall not apply toward the dollar limit of this division.	3182

(3) For rehabilitations with a rehabilitation period not	3183
exceeding twenty-four months as provided in division (A)(7)(a) of	3184
this section, a rehabilitation tax credit certificate shall not be	3185
issued before the rehabilitation of the historic building is	3186
completed.	3187

(4) For rehabilitations with a rehabilitation period not	3188
exceeding sixty months as provided in division (A)(7)(b) of this	3189
section, a rehabilitation tax credit certificate shall not be	3190
issued before a stage of rehabilitation is completed. After all	3191
stages of rehabilitation are completed, if the director cannot	3192
determine that the criteria in division (C) of this section are	3193
satisfied for all stages of rehabilitations, the director shall	3194
certify this finding to the tax commissioner, and any	3195
rehabilitation tax credits received by the applicant shall be	3196
repaid by the applicant and may be collected by assessment as	3197
unpaid tax by the commissioner.	3198

(5) The director of development shall require the applicant	3199
to provide a third-party cost certification by a certified public	3200
accountant of the actual costs attributed to the rehabilitation of	3201
the historic building when qualified rehabilitation expenditures	3202
exceed two hundred thousand dollars.	3203

If an applicant whose application is approved for receipt of	3204
a rehabilitation tax credit certificate fails to provide to the	3205
director of development sufficient evidence of reviewable	3206
progress, including a viable financial plan, copies of final	3207
construction drawings, and evidence that the applicant has	3208
obtained all historic approvals within twelve months after the	3209
date the applicant received notification of approval, and if the	3210
applicant fails to provide evidence to the director of development	3211
that the applicant has secured and closed on financing for the	3212
rehabilitation within eighteen months after receiving notification	3213
of approval, the director may rescind the approval of the	3214
application. The director shall notify the applicant if the	3215
approval has been rescinded. Credits that would have been	3216
available to an applicant whose approval was rescinded shall be	3217
available for other qualified applicants. Nothing in this division	3218
prohibits an applicant whose approval has been rescinded from	3219
submitting a new application for a rehabilitation tax credit	3220
certificate.	3221

(E) Issuance of a certificate represents a finding by the	3222
director of development of the matters described in divisions	3223
(C)(1), (2), and (3) of this section only; issuance of a	3224
certificate does not represent a verification or certification by	3225
the director of the amount of qualified rehabilitation	3226
expenditures for which a tax credit may be claimed under section	3227
5725.151, 5725.34, 5729.17, 5733.47, or 5747.76 of the Revised	3228
Code. The amount of qualified rehabilitation expenditures for	3229
which a tax credit may be claimed is subject to inspection and	3230
examination by the tax commissioner or employees of the	3231
commissioner under section 5703.19 of the Revised Code and any	3232
other applicable law. Upon the issuance of a certificate, the	3233
director shall certify to the tax commissioner, in the form and	3234
manner requested by the tax commissioner, the name of the	3235
applicant, the amount of qualified rehabilitation expenditures	3236
shown on the certificate, and any other information required by	3237
the rules adopted under this section.	3238

(F)(1) On or before the first day of April each year, the	3239
director of development and tax commissioner jointly shall submit	3240
to the president of the senate and the speaker of the house of	3241
representatives a report on the tax credit program established	3242
under this section and sections 5725.151, 5725.34, 5729.17,	3243
5733.47, and 5747.76 of the Revised Code. The report shall present	3244
an overview of the program and shall include information on the	3245
number of rehabilitation tax credit certificates issued under this	3246
section during the preceding fiscal year, an update on the status	3247
of each historic building for which an application was approved	3248
under this section, the dollar amount of the tax credits granted	3249
under sections 5725.151, 5725.34, 5729.17, 5733.47, and 5747.76 of	3250
the Revised Code, and any other information the director and	3251
commissioner consider relevant to the topics addressed in the	3252
report.	3253

(2) On or before December 1, 2015, the director of	3254
development and tax commissioner jointly shall submit to the	3255
president of the senate and the speaker of the house of	3256
representatives a comprehensive report that includes the	3257
information required by division (F)(1) of this section and a	3258
detailed analysis of the effectiveness of issuing tax credits for	3259
rehabilitating historic buildings. The report shall be prepared	3260
with the assistance of an economic research organization jointly	3261
chosen by the director and commissioner.	3262

(G) There is hereby created in the state treasury the	3263
historic rehabilitation tax credit operating fund. The director of	3264
development is authorized to charge reasonable application and	3265
other fees in connection with the administration of tax credits	3266
authorized by this section and sections 5725.151, 5725.34,	3267
5729.17, 5733.44, and 5747.76 of the Revised Code. Any such fees	3268
collected shall be credited to the fund and used to pay reasonable	3269
costs incurred by the department of development in administering	3270
this section and sections 5725.151, 5725.34, 5729.17, 5733.44, and	3271
5747.76 of the Revised Code.	3272

The Ohio historic preservation office is authorized to charge	3273
reasonable fees in connection with its review and approval of	3274
applications under this section. Any such fees collected shall be	3275
credited to the fund and used to pay administrative costs incurred	3276
by the Ohio historic preservation office pursuant to this section.	3277

Sec. 149.43.  (A) As used in this section:

3278

(1) "Public record" means records kept by any public office,	3279
including, but not limited to, state, county, city, village,	3280
township, and school district units, and records pertaining to the	3281
delivery of educational services by an alternative school in this	3282
state kept by the nonprofit or for-profit entity operating the	3283
alternative school pursuant to section 3313.533 of the Revised	3284
Code. "Public record" does not mean any of the following:	3285

(a) Medical records;

3286

(b) Records pertaining to probation and parole proceedings or	3287
to proceedings related to the imposition of community control	3288
sanctions and post-release control sanctions;	3289

(c) Records pertaining to actions under section 2151.85 and	3290
division (C) of section 2919.121 of the Revised Code and to	3291
appeals of actions arising under those sections;	3292

(d) Records pertaining to adoption proceedings, including the	3293
contents of an adoption file maintained by the department of	3294
health under section 3705.12 of the Revised Code;	3295

(e) Information in a record contained in the putative father	3296
registry established by section 3107.062 of the Revised Code,	3297
regardless of whether the information is held by the department of	3298
job and family services or, pursuant to section 3111.69 of the	3299
Revised Code, the office of child support in the department or a	3300
child support enforcement agency;	3301

(f) Records listed in division (A) of section 3107.42 of the	3302
Revised Code or specified in division (A) of section 3107.52 of	3303
the Revised Code;	3304

(g) Trial preparation records;

3305

(h) Confidential law enforcement investigatory records;

3306

(i) Records containing information that is confidential under	3307
section 2710.03 or 4112.05 of the Revised Code;	3308

(j) DNA records stored in the DNA database pursuant to	3309
section 109.573 of the Revised Code;	3310

(k) Inmate records released by the department of	3311
rehabilitation and correction to the department of youth services	3312
or a court of record pursuant to division (E) of section 5120.21	3313
of the Revised Code;	3314

(l) Records maintained by the department of youth services	3315
pertaining to children in its custody released by the department	3316
of youth services to the department of rehabilitation and	3317
correction pursuant to section 5139.05 of the Revised Code;	3318

(m) Intellectual property records;

3319

(n) Donor profile records;

3320

(o) Records maintained by the department of job and family	3321
services pursuant to section 3121.894 of the Revised Code;	3322

(p) Peace officer, parole officer, probation officer,	3323
bailiff, prosecuting attorney, assistant prosecuting attorney,	3324
correctional employee, youth services employee, firefighter, EMT,	3325
or investigator of the bureau of criminal identification and	3326
investigation residential and familial information;	3327

(q) In the case of a county hospital operated pursuant to	3328
Chapter 339. of the Revised Code or a municipal hospital operated	3329
pursuant to Chapter 749. of the Revised Code, information that	3330
constitutes a trade secret, as defined in section 1333.61 of the	3331
Revised Code;	3332

(r) Information pertaining to the recreational activities of	3333
a person under the age of eighteen;	3334

(s) Records provided to, statements made by review board	3335
members during meetings of, and all work products of a child	3336
fatality review board acting under sections 307.621 to 307.629 of	3337
the Revised Code, and child fatality review data submitted by the	3338
child fatality review board to the department of health or a	3339
national child death review database, other than the report	3340
prepared pursuant to division (A) of section 307.626 of the	3341
Revised Code;	3342

(t) Records provided to and statements made by the executive	3343
director of a public children services agency or a prosecuting	3344
attorney acting pursuant to section 5153.171 of the Revised Code	3345
other than the information released under that section;	3346

(u) Test materials, examinations, or evaluation tools used in	3347
an examination for licensure as a nursing home administrator that	3348
the board of examiners of nursing home administrators administers	3349
under section 4751.04 of the Revised Code or contracts under that	3350
section with a private or government entity to administer;	3351

(v) Records the release of which is prohibited by state or	3352
federal law;	3353

(w) Proprietary information of or relating to any person that	3354
is submitted to or compiled by the Ohio venture capital authority	3355
created under section 150.01 of the Revised Code;	3356

(x) Information reported and evaluations conducted pursuant	3357
to section 3701.072 of the Revised Code;	3358

(y) Financial statements and data any person submits for any	3359
purpose to the Ohio housing finance agency or the controlling	3360
board in connection with applying for, receiving, or accounting	3361
for financial assistance from the agency, and information that	3362
identifies any individual who benefits directly or indirectly from	3363
financial assistance from the agency;	3364

(z) Records listed in section 5101.29 of the Revised Code;

3365

(aa) Discharges recorded with a county recorder under section	3366
317.24 of the Revised Code, as specified in division (B)(2) of	3367
that section;	3368

(bb) Usage information including names and addresses of	3369
specific residential and commercial customers of a municipally	3370
owned or operated public utility;	3371

(cc) Records described in division (C) of section 187.04 of	3372
the Revised Code that are not designated to be made available to	3373
the public as provided in that division.	3374

(2) "Confidential law enforcement investigatory record" means	3375
any record that pertains to a law enforcement matter of a	3376
criminal, quasi-criminal, civil, or administrative nature, but	3377
only to the extent that the release of the record would create a	3378
high probability of disclosure of any of the following:	3379

(a) The identity of a suspect who has not been charged with	3380
the offense to which the record pertains, or of an information	3381
source or witness to whom confidentiality has been reasonably	3382
promised;	3383

(b) Information provided by an information source or witness	3384
to whom confidentiality has been reasonably promised, which	3385
information would reasonably tend to disclose the source's or	3386
witness's identity;	3387

(c) Specific confidential investigatory techniques or	3388
procedures or specific investigatory work product;	3389

(d) Information that would endanger the life or physical	3390
safety of law enforcement personnel, a crime victim, a witness, or	3391
a confidential information source.	3392

(3) "Medical record" means any document or combination of	3393
documents, except births, deaths, and the fact of admission to or	3394
discharge from a hospital, that pertains to the medical history,	3395
diagnosis, prognosis, or medical condition of a patient and that	3396
is generated and maintained in the process of medical treatment.	3397

(4) "Trial preparation record" means any record that contains	3398
information that is specifically compiled in reasonable	3399
anticipation of, or in defense of, a civil or criminal action or	3400
proceeding, including the independent thought processes and	3401
personal trial preparation of an attorney.	3402

(5) "Intellectual property record" means a record, other than	3403
a financial or administrative record, that is produced or	3404
collected by or for faculty or staff of a state institution of	3405
higher learning in the conduct of or as a result of study or	3406
research on an educational, commercial, scientific, artistic,	3407
technical, or scholarly issue, regardless of whether the study or	3408
research was sponsored by the institution alone or in conjunction	3409
with a governmental body or private concern, and that has not been	3410
publicly released, published, or patented.	3411

(6) "Donor profile record" means all records about donors or	3412
potential donors to a public institution of higher education	3413
except the names and reported addresses of the actual donors and	3414
the date, amount, and conditions of the actual donation.	3415

(7) "Peace officer, parole officer, probation officer,	3416
bailiff, prosecuting attorney, assistant prosecuting attorney,	3417
correctional employee, youth services employee, firefighter, EMT,	3418
or investigator of the bureau of criminal identification and	3419
investigation residential and familial information" means any	3420
information that discloses any of the following about a peace	3421
officer, parole officer, probation officer, bailiff, prosecuting	3422
attorney, assistant prosecuting attorney, correctional employee,	3423
youth services employee, firefighter, EMT, or investigator of the	3424
bureau of criminal identification and investigation:	3425

(a) The address of the actual personal residence of a peace	3426
officer, parole officer, probation officer, bailiff, assistant	3427
prosecuting attorney, correctional employee, youth services	3428
employee, firefighter, EMT, or an investigator of the bureau of	3429
criminal identification and investigation, except for the state or	3430
political subdivision in which the peace officer, parole officer,	3431
probation officer, bailiff, assistant prosecuting attorney,	3432
correctional employee, youth services employee, firefighter, EMT,	3433
or investigator of the bureau of criminal identification and	3434
investigation resides;	3435

(b) Information compiled from referral to or participation in	3436
an employee assistance program;	3437

(c) The social security number, the residential telephone	3438
number, any bank account, debit card, charge card, or credit card	3439
number, or the emergency telephone number of, or any medical	3440
information pertaining to, a peace officer, parole officer,	3441
probation officer, bailiff, prosecuting attorney, assistant	3442
prosecuting attorney, correctional employee, youth services	3443
employee, firefighter, EMT, or investigator of the bureau of	3444
criminal identification and investigation;	3445

(d) The name of any beneficiary of employment benefits,	3446
including, but not limited to, life insurance benefits, provided	3447
to a peace officer, parole officer, probation officer, bailiff,	3448
prosecuting attorney, assistant prosecuting attorney, correctional	3449
employee, youth services employee, firefighter, EMT, or	3450
investigator of the bureau of criminal identification and	3451
investigation by the peace officer's, parole officer's, probation	3452
officer's, bailiff's, prosecuting attorney's, assistant	3453
prosecuting attorney's, correctional employee's, youth services	3454
employee's, firefighter's, EMT's, or investigator of the bureau of	3455
criminal identification and investigation's employer;	3456

(e) The identity and amount of any charitable or employment	3457
benefit deduction made by the peace officer's, parole officer's,	3458
probation officer's, bailiff's, prosecuting attorney's, assistant	3459
prosecuting attorney's, correctional employee's, youth services	3460
employee's, firefighter's, EMT's, or investigator of the bureau of	3461
criminal identification and investigation's employer from the	3462
peace officer's, parole officer's, probation officer's, bailiff's,	3463
prosecuting attorney's, assistant prosecuting attorney's,	3464
correctional employee's, youth services employee's, firefighter's,	3465
EMT's, or investigator of the bureau of criminal identification	3466
and investigation's compensation unless the amount of the	3467
deduction is required by state or federal law;	3468

(f) The name, the residential address, the name of the	3469
employer, the address of the employer, the social security number,	3470
the residential telephone number, any bank account, debit card,	3471
charge card, or credit card number, or the emergency telephone	3472
number of the spouse, a former spouse, or any child of a peace	3473
officer, parole officer, probation officer, bailiff, prosecuting	3474
attorney, assistant prosecuting attorney, correctional employee,	3475
youth services employee, firefighter, EMT, or investigator of the	3476
bureau of criminal identification and investigation;	3477

(g) A photograph of a peace officer who holds a position or	3478
has an assignment that may include undercover or plain clothes	3479
positions or assignments as determined by the peace officer's	3480
appointing authority.	3481

As used in divisions (A)(7) and (B)(9) of this section,	3482
"peace officer" has the same meaning as in section 109.71 of the	3483
Revised Code and also includes the superintendent and troopers of	3484
the state highway patrol; it does not include the sheriff of a	3485
county or a supervisory employee who, in the absence of the	3486
sheriff, is authorized to stand in for, exercise the authority of,	3487
and perform the duties of the sheriff.	3488

As used in divisions (A)(7) and (B)(5) of this section,	3489
"correctional employee" means any employee of the department of	3490
rehabilitation and correction who in the course of performing the	3491
employee's job duties has or has had contact with inmates and	3492
persons under supervision.	3493

As used in divisions (A)(7) and (B)(5) of this section,	3494
"youth services employee" means any employee of the department of	3495
youth services who in the course of performing the employee's job	3496
duties has or has had contact with children committed to the	3497
custody of the department of youth services.	3498

As used in divisions (A)(7) and (B)(9) of this section,	3499
"firefighter" means any regular, paid or volunteer, member of a	3500
lawfully constituted fire department of a municipal corporation,	3501
township, fire district, or village.	3502

As used in divisions (A)(7) and (B)(9) of this section, "EMT"	3503
means EMTs-basic, EMTs-I, and paramedics that provide emergency	3504
medical services for a public emergency medical service	3505
organization. "Emergency medical service organization,"	3506
"EMT-basic," "EMT-I," and "paramedic" have the same meanings as in	3507
section 4765.01 of the Revised Code.	3508

As used in divisions (A)(7) and (B)(9) of this section,	3509
"investigator of the bureau of criminal identification and	3510
investigation" has the meaning defined in section 2903.11 of the	3511
Revised Code.	3512

(8) "Information pertaining to the recreational activities of	3513
a person under the age of eighteen" means information that is kept	3514
in the ordinary course of business by a public office, that	3515
pertains to the recreational activities of a person under the age	3516
of eighteen years, and that discloses any of the following:	3517

(a) The address or telephone number of a person under the age	3518
of eighteen or the address or telephone number of that person's	3519
parent, guardian, custodian, or emergency contact person;	3520

(b) The social security number, birth date, or photographic	3521
image of a person under the age of eighteen;	3522

(c) Any medical record, history, or information pertaining to	3523
a person under the age of eighteen;	3524

(d) Any additional information sought or required about a	3525
person under the age of eighteen for the purpose of allowing that	3526
person to participate in any recreational activity conducted or	3527
sponsored by a public office or to use or obtain admission	3528
privileges to any recreational facility owned or operated by a	3529
public office.	3530

(9) "Community control sanction" has the same meaning as in	3531
section 2929.01 of the Revised Code.	3532

(10) "Post-release control sanction" has the same meaning as	3533
in section 2967.01 of the Revised Code.	3534

(11) "Redaction" means obscuring or deleting any information	3535
that is exempt from the duty to permit public inspection or	3536
copying from an item that otherwise meets the definition of a	3537
"record" in section 149.011 of the Revised Code.	3538

(12) "Designee" and "elected official" have the same meanings	3539
as in section 109.43 of the Revised Code.	3540

(B)(1) Upon request and subject to division (B)(8) of this	3541
section, all public records responsive to the request shall be	3542
promptly prepared and made available for inspection to any person	3543
at all reasonable times during regular business hours. Subject to	3544
division (B)(8) of this section, upon request, a public office or	3545
person responsible for public records shall make copies of the	3546
requested public record available at cost and within a reasonable	3547
period of time. If a public record contains information that is	3548
exempt from the duty to permit public inspection or to copy the	3549
public record, the public office or the person responsible for the	3550
public record shall make available all of the information within	3551
the public record that is not exempt. When making that public	3552
record available for public inspection or copying that public	3553
record, the public office or the person responsible for the public	3554
record shall notify the requester of any redaction or make the	3555
redaction plainly visible. A redaction shall be deemed a denial of	3556
a request to inspect or copy the redacted information, except if	3557
federal or state law authorizes or requires a public office to	3558
make the redaction.	3559

(2) To facilitate broader access to public records, a public	3560
office or the person responsible for public records shall organize	3561
and maintain public records in a manner that they can be made	3562
available for inspection or copying in accordance with division	3563
(B) of this section. A public office also shall have available a	3564
copy of its current records retention schedule at a location	3565
readily available to the public. If a requester makes an ambiguous	3566
or overly broad request or has difficulty in making a request for	3567
copies or inspection of public records under this section such	3568
that the public office or the person responsible for the requested	3569
public record cannot reasonably identify what public records are	3570
being requested, the public office or the person responsible for	3571
the requested public record may deny the request but shall provide	3572
the requester with an opportunity to revise the request by	3573
informing the requester of the manner in which records are	3574
maintained by the public office and accessed in the ordinary	3575
course of the public office's or person's duties.	3576

(3) If a request is ultimately denied, in part or in whole,	3577
the public office or the person responsible for the requested	3578
public record shall provide the requester with an explanation,	3579
including legal authority, setting forth why the request was	3580
denied. If the initial request was provided in writing, the	3581
explanation also shall be provided to the requester in writing.	3582
The explanation shall not preclude the public office or the person	3583
responsible for the requested public record from relying upon	3584
additional reasons or legal authority in defending an action	3585
commenced under division (C) of this section.	3586

(4) Unless specifically required or authorized by state or	3587
federal law or in accordance with division (B) of this section, no	3588
public office or person responsible for public records may limit	3589
or condition the availability of public records by requiring	3590
disclosure of the requester's identity or the intended use of the	3591
requested public record. Any requirement that the requester	3592
disclose the requestor's identity or the intended use of the	3593
requested public record constitutes a denial of the request.	3594

(5) A public office or person responsible for public records	3595
may ask a requester to make the request in writing, may ask for	3596
the requester's identity, and may inquire about the intended use	3597
of the information requested, but may do so only after disclosing	3598
to the requester that a written request is not mandatory and that	3599
the requester may decline to reveal the requester's identity or	3600
the intended use and when a written request or disclosure of the	3601
identity or intended use would benefit the requester by enhancing	3602
the ability of the public office or person responsible for public	3603
records to identify, locate, or deliver the public records sought	3604
by the requester.	3605

(6) If any person chooses to obtain a copy of a public record	3606
in accordance with division (B) of this section, the public office	3607
or person responsible for the public record may require that	3608
person to pay in advance the cost involved in providing the copy	3609
of the public record in accordance with the choice made by the	3610
person seeking the copy under this division. The public office or	3611
the person responsible for the public record shall permit that	3612
person to choose to have the public record duplicated upon paper,	3613
upon the same medium upon which the public office or person	3614
responsible for the public record keeps it, or upon any other	3615
medium upon which the public office or person responsible for the	3616
public record determines that it reasonably can be duplicated as	3617
an integral part of the normal operations of the public office or	3618
person responsible for the public record. When the person seeking	3619
the copy makes a choice under this division, the public office or	3620
person responsible for the public record shall provide a copy of	3621
it in accordance with the choice made by the person seeking the	3622
copy. Nothing in this section requires a public office or person	3623
responsible for the public record to allow the person seeking a	3624
copy of the public record to make the copies of the public record.	3625

(7) Upon a request made in accordance with division (B) of	3626
this section and subject to division (B)(6) of this section, a	3627
public office or person responsible for public records shall	3628
transmit a copy of a public record to any person by United States	3629
mail or by any other means of delivery or transmission within a	3630
reasonable period of time after receiving the request for the	3631
copy. The public office or person responsible for the public	3632
record may require the person making the request to pay in advance	3633
the cost of postage if the copy is transmitted by United States	3634
mail or the cost of delivery if the copy is transmitted other than	3635
by United States mail, and to pay in advance the costs incurred	3636
for other supplies used in the mailing, delivery, or transmission.	3637

Any public office may adopt a policy and procedures that it	3638
will follow in transmitting, within a reasonable period of time	3639
after receiving a request, copies of public records by United	3640
States mail or by any other means of delivery or transmission	3641
pursuant to this division. A public office that adopts a policy	3642
and procedures under this division shall comply with them in	3643
performing its duties under this division.	3644

In any policy and procedures adopted under this division, a	3645
public office may limit the number of records requested by a	3646
person that the office will transmit by United States mail to ten	3647
per month, unless the person certifies to the office in writing	3648
that the person does not intend to use or forward the requested	3649
records, or the information contained in them, for commercial	3650
purposes. For purposes of this division, "commercial" shall be	3651
narrowly construed and does not include reporting or gathering	3652
news, reporting or gathering information to assist citizen	3653
oversight or understanding of the operation or activities of	3654
government, or nonprofit educational research.	3655

(8) A public office or person responsible for public records	3656
is not required to permit a person who is incarcerated pursuant to	3657
a criminal conviction or a juvenile adjudication to inspect or to	3658
obtain a copy of any public record concerning a criminal	3659
investigation or prosecution or concerning what would be a	3660
criminal investigation or prosecution if the subject of the	3661
investigation or prosecution were an adult, unless the request to	3662
inspect or to obtain a copy of the record is for the purpose of	3663
acquiring information that is subject to release as a public	3664
record under this section and the judge who imposed the sentence	3665
or made the adjudication with respect to the person, or the	3666
judge's successor in office, finds that the information sought in	3667
the public record is necessary to support what appears to be a	3668
justiciable claim of the person.	3669

(9)(a) Upon written request made and signed by a journalist	3670
on or after December 16, 1999, a public office, or person	3671
responsible for public records, having custody of the records of	3672
the agency employing a specified peace officer, parole officer,	3673
probation officer, bailiff, prosecuting attorney, assistant	3674
prosecuting attorney, correctional employee, youth services	3675
employee, firefighter, EMT, or investigator of the bureau of	3676
criminal identification and investigation shall disclose to the	3677
journalist the address of the actual personal residence of the	3678
peace officer, parole officer, probation officer, bailiff,	3679
prosecuting attorney, assistant prosecuting attorney, correctional	3680
employee, youth services employee, firefighter, EMT, or	3681
investigator of the bureau of criminal identification and	3682
investigation and, if the peace officer's, parole officer's,	3683
probation officer's, bailiff's, prosecuting attorney's, assistant	3684
prosecuting attorney's, correctional employee's, youth services	3685
employee's, firefighter's, EMT's, or investigator of the bureau of	3686
criminal identification and investigation's spouse, former spouse,	3687
or child is employed by a public office, the name and address of	3688
the employer of the peace officer's, parole officer's, probation	3689
officer's, bailiff's, prosecuting attorney's, assistant	3690
prosecuting attorney's, correctional employee's, youth services	3691
employee's, firefighter's, EMT's, or investigator of the bureau of	3692
criminal identification and investigation's spouse, former spouse,	3693
or child. The request shall include the journalist's name and	3694
title and the name and address of the journalist's employer and	3695
shall state that disclosure of the information sought would be in	3696
the public interest.	3697

(b) Division (B)(9)(a) of this section also applies to	3698
journalist requests for customer information maintained by a	3699
municipally owned or operated public utility, other than social	3700
security numbers and any private financial information such as	3701
credit reports, payment methods, credit card numbers, and bank	3702
account information.	3703

(c) As used in division (B)(9) of this section, "journalist"	3704
means a person engaged in, connected with, or employed by any news	3705
medium, including a newspaper, magazine, press association, news	3706
agency, or wire service, a radio or television station, or a	3707
similar medium, for the purpose of gathering, processing,	3708
transmitting, compiling, editing, or disseminating information for	3709
the general public.	3710

(C)(1) If a person allegedly is aggrieved by the failure of a	3711
public office or the person responsible for public records to	3712
promptly prepare a public record and to make it available to the	3713
person for inspection in accordance with division (B) of this	3714
section or by any other failure of a public office or the person	3715
responsible for public records to comply with an obligation in	3716
accordance with division (B) of this section, the person allegedly	3717
aggrieved may commence a mandamus action to obtain a judgment that	3718
orders the public office or the person responsible for the public	3719
record to comply with division (B) of this section, that awards	3720
court costs and reasonable attorney's fees to the person that	3721
instituted the mandamus action, and, if applicable, that includes	3722
an order fixing statutory damages under division (C)(1) of this	3723
section. The mandamus action may be commenced in the court of	3724
common pleas of the county in which division (B) of this section	3725
allegedly was not complied with, in the supreme court pursuant to	3726
its original jurisdiction under Section 2 of Article IV, Ohio	3727
Constitution, or in the court of appeals for the appellate	3728
district in which division (B) of this section allegedly was not	3729
complied with pursuant to its original jurisdiction under Section	3730
3 of Article IV, Ohio Constitution.	3731

If a requestor transmits a written request by hand delivery	3732
or certified mail to inspect or receive copies of any public	3733
record in a manner that fairly describes the public record or	3734
class of public records to the public office or person responsible	3735
for the requested public records, except as otherwise provided in	3736
this section, the requestor shall be entitled to recover the	3737
amount of statutory damages set forth in this division if a court	3738
determines that the public office or the person responsible for	3739
public records failed to comply with an obligation in accordance	3740
with division (B) of this section.	3741

The amount of statutory damages shall be fixed at one hundred	3742
dollars for each business day during which the public office or	3743
person responsible for the requested public records failed to	3744
comply with an obligation in accordance with division (B) of this	3745
section, beginning with the day on which the requester files a	3746
mandamus action to recover statutory damages, up to a maximum of	3747
one thousand dollars. The award of statutory damages shall not be	3748
construed as a penalty, but as compensation for injury arising	3749
from lost use of the requested information. The existence of this	3750
injury shall be conclusively presumed. The award of statutory	3751
damages shall be in addition to all other remedies authorized by	3752
this section.	3753

The court may reduce an award of statutory damages or not	3754
award statutory damages if the court determines both of the	3755
following:	3756

(a) That, based on the ordinary application of statutory law	3757
and case law as it existed at the time of the conduct or	3758
threatened conduct of the public office or person responsible for	3759
the requested public records that allegedly constitutes a failure	3760
to comply with an obligation in accordance with division (B) of	3761
this section and that was the basis of the mandamus action, a	3762
well-informed public office or person responsible for the	3763
requested public records reasonably would believe that the conduct	3764
or threatened conduct of the public office or person responsible	3765
for the requested public records did not constitute a failure to	3766
comply with an obligation in accordance with division (B) of this	3767
section;	3768

(b) That a well-informed public office or person responsible	3769
for the requested public records reasonably would believe that the	3770
conduct or threatened conduct of the public office or person	3771
responsible for the requested public records would serve the	3772
public policy that underlies the authority that is asserted as	3773
permitting that conduct or threatened conduct.	3774

(2)(a) If the court issues a writ of mandamus that orders the	3775
public office or the person responsible for the public record to	3776
comply with division (B) of this section and determines that the	3777
circumstances described in division (C)(1) of this section exist,	3778
the court shall determine and award to the relator all court	3779
costs.	3780

(b) If the court renders a judgment that orders the public	3781
office or the person responsible for the public record to comply	3782
with division (B) of this section, the court may award reasonable	3783
attorney's fees subject to reduction as described in division	3784
(C)(2)(c) of this section. The court shall award reasonable	3785
attorney's fees, subject to reduction as described in division	3786
(C)(2)(c) of this section when either of the following applies:	3787

(i) The public office or the person responsible for the	3788
public records failed to respond affirmatively or negatively to	3789
the public records request in accordance with the time allowed	3790
under division (B) of this section.	3791

(ii) The public office or the person responsible for the	3792
public records promised to permit the relator to inspect or	3793
receive copies of the public records requested within a specified	3794
period of time but failed to fulfill that promise within that	3795
specified period of time.	3796

(c) Court costs and reasonable attorney's fees awarded under	3797
this section shall be construed as remedial and not punitive.	3798
Reasonable attorney's fees shall include reasonable fees incurred	3799
to produce proof of the reasonableness and amount of the fees and	3800
to otherwise litigate entitlement to the fees. The court may	3801
reduce an award of attorney's fees to the relator or not award	3802
attorney's fees to the relator if the court determines both of the	3803
following:	3804

(i) That, based on the ordinary application of statutory law	3805
and case law as it existed at the time of the conduct or	3806
threatened conduct of the public office or person responsible for	3807
the requested public records that allegedly constitutes a failure	3808
to comply with an obligation in accordance with division (B) of	3809
this section and that was the basis of the mandamus action, a	3810
well-informed public office or person responsible for the	3811
requested public records reasonably would believe that the conduct	3812
or threatened conduct of the public office or person responsible	3813
for the requested public records did not constitute a failure to	3814
comply with an obligation in accordance with division (B) of this	3815
section;	3816

(ii) That a well-informed public office or person responsible	3817
for the requested public records reasonably would believe that the	3818
conduct or threatened conduct of the public office or person	3819
responsible for the requested public records as described in	3820
division (C)(2)(c)(i) of this section would serve the public	3821
policy that underlies the authority that is asserted as permitting	3822
that conduct or threatened conduct.	3823

(D) Chapter 1347. of the Revised Code does not limit the	3824
provisions of this section.	3825

(E)(1) To ensure that all employees of public offices are	3826
appropriately educated about a public office's obligations under	3827
division (B) of this section, all elected officials or their	3828
appropriate designees shall attend training approved by the	3829
attorney general as provided in section 109.43 of the Revised	3830
Code. In addition, all public offices shall adopt a public records	3831
policy in compliance with this section for responding to public	3832
records requests. In adopting a public records policy under this	3833
division, a public office may obtain guidance from the model	3834
public records policy developed and provided to the public office	3835
by the attorney general under section 109.43 of the Revised Code.	3836
Except as otherwise provided in this section, the policy may not	3837
limit the number of public records that the public office will	3838
make available to a single person, may not limit the number of	3839
public records that it will make available during a fixed period	3840
of time, and may not establish a fixed period of time before it	3841
will respond to a request for inspection or copying of public	3842
records, unless that period is less than eight hours.	3843

(2) The public office shall distribute the public records	3844
policy adopted by the public office under division (E)(1) of this	3845
section to the employee of the public office who is the records	3846
custodian or records manager or otherwise has custody of the	3847
records of that office. The public office shall require that	3848
employee to acknowledge receipt of the copy of the public records	3849
policy. The public office shall create a poster that describes its	3850
public records policy and shall post the poster in a conspicuous	3851
place in the public office and in all locations where the public	3852
office has branch offices. The public office may post its public	3853
records policy on the internet web site of the public office if	3854
the public office maintains an internet web site. A public office	3855
that has established a manual or handbook of its general policies	3856
and procedures for all employees of the public office shall	3857
include the public records policy of the public office in the	3858
manual or handbook.	3859

(F)(1) The bureau of motor vehicles may adopt rules pursuant	3860
to Chapter 119. of the Revised Code to reasonably limit the number	3861
of bulk commercial special extraction requests made by a person	3862
for the same records or for updated records during a calendar	3863
year. The rules may include provisions for charges to be made for	3864
bulk commercial special extraction requests for the actual cost of	3865
the bureau, plus special extraction costs, plus ten per cent. The	3866
bureau may charge for expenses for redacting information, the	3867
release of which is prohibited by law.	3868

(2) As used in division (F)(1) of this section:

3869

(a) "Actual cost" means the cost of depleted supplies,	3870
records storage media costs, actual mailing and alternative	3871
delivery costs, or other transmitting costs, and any direct	3872
equipment operating and maintenance costs, including actual costs	3873
paid to private contractors for copying services.	3874

(b) "Bulk commercial special extraction request" means a	3875
request for copies of a record for information in a format other	3876
than the format already available, or information that cannot be	3877
extracted without examination of all items in a records series,	3878
class of records, or data base by a person who intends to use or	3879
forward the copies for surveys, marketing, solicitation, or resale	3880
for commercial purposes. "Bulk commercial special extraction	3881
request" does not include a request by a person who gives	3882
assurance to the bureau that the person making the request does	3883
not intend to use or forward the requested copies for surveys,	3884
marketing, solicitation, or resale for commercial purposes.	3885

(c) "Commercial" means profit-seeking production, buying, or	3886
selling of any good, service, or other product.	3887

(d) "Special extraction costs" means the cost of the time	3888
spent by the lowest paid employee competent to perform the task,	3889
the actual amount paid to outside private contractors employed by	3890
the bureau, or the actual cost incurred to create computer	3891
programs to make the special extraction. "Special extraction	3892
costs" include any charges paid to a public agency for computer or	3893
records services.	3894

(3) For purposes of divisions (F)(1) and (2) of this section,	3895
"surveys, marketing, solicitation, or resale for commercial	3896
purposes" shall be narrowly construed and does not include	3897
reporting or gathering news, reporting or gathering information to	3898
assist citizen oversight or understanding of the operation or	3899
activities of government, or nonprofit educational research.	3900

Sec. 164.05.  (A) The director of the Ohio public works	3901
commission shall do all of the following:	3902

(1) Approve requests for financial assistance from district	3903
public works integrating committees and enter into agreements with	3904
one or more local subdivisions to provide loans, grants, and local	3905
debt support and credit enhancements for a capital improvement	3906
project if the director determines that:	3907

(a) The project is an eligible project pursuant to this	3908
chapter;	3909

(b) The financial assistance for the project has been	3910
properly approved and requested by the district committee of the	3911
district which includes the recipient of the loan or grant;	3912

(c) The amount of the financial assistance, when added to all	3913
other financial assistance provided during the fiscal year for	3914
projects within the district, does not exceed that district's	3915
allocation of money from the state capital improvements fund for	3916
that fiscal year;	3917

(d) The district committee has provided such documentation	3918
and other evidence as the director may require that the district	3919
committee has satisfied the requirements of section 164.06 or	3920
164.14 of the Revised Code;	3921

(e) The portion of a district's annual allocation which the	3922
director approves in the form of loans and local debt support and	3923
credit enhancements for eligible projects is consistent with	3924
divisions (E) and (F) of this section.	3925

(2) Authorize payments to local subdivisions or their	3926
contractors for costs incurred for capital improvement projects	3927
which have been approved pursuant to this chapter. All requests	3928
for payments shall be submitted to the director on forms and in	3929
accordance with procedures specified in rules adopted by the	3930
director pursuant to division (A)(4) of this section.	3931

(3) Retain the services of or employ financial consultants,	3932
engineers, accountants, attorneys, and such other employees as the	3933
director determines are necessary to carry out the director's	3934
duties under this chapter and fix the compensation for their	3935
services;	3936

(4) Adopt rules establishing the procedures for making	3937
applications, reviewing, approving, and rejecting projects for	3938
which assistance is authorized under this chapter, and any other	3939
rules needed to implement the provisions of this chapter. Such	3940
rules shall be adopted under Chapter 119. of the Revised Code.	3941

(5) Provide information and other assistance to local	3942
subdivisions and district public works integrating committees in	3943
developing their requests for financial assistance for capital	3944
improvements under this chapter and encourage cooperation and	3945
coordination of requests and the development of multisubdivision	3946
and multidistrict projects in order to maximize the benefits that	3947
may be derived by districts from each year's allocation;	3948

(6) Require local subdivisions, to the extent practicable, to	3949
use Ohio products, materials, services, and labor in connection	3950
with any capital improvement project financed in whole or in part	3951
under this chapter;	3952

(7) Notify the director of budget and management of all	3953
approved projects, and supply all information necessary to track	3954
approved projects through the state accounting system;	3955

(8) Appoint the administrator of the Ohio small government	3956
capital improvements commission;	3957

(9) Do all other acts, enter into contracts, and execute all	3958
instruments necessary or appropriate to carry out this chapter;	3959

(10) Develop a standardized methodology for evaluating	3960
capital improvement needs which will be used by local subdivisions	3961
in preparing the plans required by division (C) of section 164.06	3962
of the Revised Code. The director shall develop this methodology	3963
not later than July 1, 1991.	3964

(11) Establish a program to provide local subdivisions with	3965
technical assistance in preparing project applications. The	3966
program shall be designed to assist local subdivisions that lack	3967
the financial or technical resources to prepare project	3968
applications on their own.	3969

(B) When the director of the Ohio public works commission	3970
decides to conditionally approve or disapprove projects, the	3971
director's decisions and the reasons for which they are made shall	3972
be made in writing. These written decisions shall be conclusive	3973
for the purposes of the validity and enforceability of such	3974
determinations.	3975

(C) Fees, charges, rates of interest, times of payment of	3976
interest and principal, and other terms, conditions, and	3977
provisions of and security for financial assistance provided	3978
pursuant to the provisions of this chapter shall be such as the	3979
director determines to be appropriate. If any payments required by	3980
a loan agreement entered into pursuant to this chapter are not	3981
paid, the funds which would otherwise be apportioned to the local	3982
subdivision from the county undivided local government fund,	3983
pursuant to sections 5747.51 to 5747.53 of the Revised Code, may,	3984
at the direction of the director of the Ohio public works	3985
commission, be reduced by the amount payable. The county treasurer	3986
shall, at the direction of the director, pay the amount of such	3987
reductions to the state capital improvements revolving loan fund.	3988
The director may renegotiate a loan repayment schedule with a	3989
local subdivision whose payments from the county undivided local	3990
government fund could be reduced pursuant to this division, but	3991
such a renegotiation may occur only one time with respect to any	3992
particular loan agreement.	3993

(D) Grants approved for the repair and replacement of	3994
existing infrastructure pursuant to this chapter shall not exceed	3995
ninety per cent of the estimated total cost of the capital	3996
improvement project. Grants approved for new or expanded	3997
infrastructure shall not exceed fifty per cent of the estimated	3998
cost of the new or expansion elements of the capital improvement	3999
project. A local subdivision share of the estimated cost of a	4000
capital improvement may consist of any of the following:	4001

(1) The reasonable value, as determined by the director or	4002
the administrator, of labor, materials, and equipment that will be	4003
contributed by the local subdivision in performing the capital	4004
improvement project;	4005

(2) Moneys received by the local subdivision in any form from	4006
an authority, commission, or agency of the United States for use	4007
in performing the capital improvement project;	4008

(3) Loans made to the local subdivision under this chapter;

4009

(4) Engineering costs incurred by the local subdivision in	4010
performing engineering activities related to the project.	4011

A local subdivision share of the cost of a capital	4012
improvement shall not include any amounts awarded to it from the	4013
local transportation improvement program fund created in section	4014
164.14 of the Revised Code.	4015

(E) The following portion of a district public works	4016
integrating committee's annual allocation share pursuant to	4017
section 164.08 of the Revised Code may be awarded to subdivisions	4018
only in the form of interest-free, low-interest, market rate of	4019
interest, or blended-rate loans:	4020

	YEAR IN WHICH		PORTION USED FOR		4021
	MONEYS ARE ALLOCATED		LOANS		4022
	Year 1		0%		4023
	Year 2		0%		4024
	Year 3		10%		4025
	Year 4		12%		4026
	Year 5		15%		4027
	Year 6		20%		4028
	Year 7, 8, 9, and 10		22%		4029

(F) The following portion of a district public works	4030
integrating committee's annual allocation pursuant to section	4031
164.08 of the Revised Code shall be awarded to subdivisions in the	4032
form of local debt supported and credit enhancements:	4033

			PORTIONS USED FOR		4034
	YEAR IN WHICH		LOCAL DEBT SUPPORT		4035
	MONEYS ARE ALLOCATED		AND CREDIT ENHANCEMENTS		4036
	Year 1		0%		4037
	Year 2		0%		4038
	Year 3		3%		4039
	Year 4		5%		4040
	Year 5		5%		4041
	Year 6		7%		4042
	Year 7		7%		4043
	Year 8		8%		4044
	Year 9		8%		4045
	Year 10		8%		4046

(G) For the period commencing on March 29, 1988 and ending on	4047
June 30, 1993, for the period commencing July 1, 1993, and ending	4048
June 30, 1999, and for each five-year period thereafter, the total	4049
amount of financial assistance awarded under sections 164.01 to	4050
164.08 of the Revised Code for capital improvement projects	4051
located wholly or partially within a county shall be equal to at	4052
least thirty per cent of the amount of what the county would have	4053
been allocated from the obligations authorized to be sold under	4054
this chapter during each period, if such amounts had been	4055
allocable to each county on a per capita basis.	4056

(H) The amount of the annual allocations made pursuant to	4057
divisions (B)(1) and (6)(5) of section 164.08 of the Revised Code	4058
which can be used for new or expanded infrastructure is limited as	4059
follows:	4060

			PORTION WHICH MAY		4061
	YEAR IN WHICH		BE USED FOR NEW OR		4062
	MONEYS ARE ALLOCATED		EXPANSION INFRASTRUCTURE		4063
	Year 1		5%		4064
	Year 2		5%		4065
	Year 3		10%		4066
	Year 4		10%		4067
	Year 5		10%		4068
	Year 6		15%		4069
	Year 7		15%		4070
	Year 8		20%		4071
	Year 9		20%		4072
	Year 10 and each year				4073
	thereafter		20%		4074

(I) The following portion of a district public works	4075
integrating committee's annual allocation share pursuant to	4076
section 164.08 of the Revised Code shall be awarded to	4077
subdivisions in the form of interest-free, low-interest, market	4078
rate of interest, or blended-rate loans, or local debt support and	4079
credit enhancements:	4080

	PORTION USED FOR LOANS		4081
YEAR IN WHICH	OR LOCAL DEBT SUPPORT		4082
MONEYS ARE ALLOCATED	AND CREDIT ENHANCEMENTS		4083
Year 11 and each year			4084
thereafter	20%		4085

(J) No project shall be approved under this section unless	4086
the project is designed to have a useful life of at least seven	4087
years. In addition, the average useful life of all projects for	4088
which grants or loans are awarded in each district during a	4089
program year shall not be less than twenty years.	4090

Sec. 164.06.  (A) Each district public works integrating	4091
committee shall evaluate materials submitted to it by the local	4092
subdivisions located in the district concerning capital	4093
improvements for which assistance is sought from the state capital	4094
improvements fund and shall, pursuant to division (B) of this	4095
section, select the requests for financial assistance that will be	4096
formally submitted by the district to the director of the Ohio	4097
public works commission. In order to provide for the efficient use	4098
of the district's state capital improvements fund allocation each	4099
year, a district committee shall assist its subdivisions in the	4100
preparation and coordination of project plans.	4101

(B) In selecting the requests for assistance for capital	4102
improvement projects which will be submitted to the director, and	4103
in determining the nature, amount, and terms of the assistance	4104
that will be requested, a district public works integrating	4105
committee shall give priority to capital improvement projects for	4106
the repair or replacement of existing infrastructure and which	4107
would be unlikely to be undertaken without assistance under this	4108
chapter, and shall specifically consider all of the following	4109
factors:	4110

(1) The infrastructure repair and replacement needs of the	4111
district;	4112

(2) The age and condition of the system to be repaired or	4113
replaced;	4114

(3) Whether the project would generate revenue in the form of	4115
user fees or assessments;	4116

(4) The importance of the project to the health and safety of	4117
the citizens of the district;	4118

(5) The cost of the project and whether it is consistent with	4119
division (G) of section 164.05 of the Revised Code and the	4120
district's allocation for grants, loans, and local debt support	4121
and credit enhancements for that year;	4122

(6) The effort and ability of the benefited local	4123
subdivisions to assist in financing the project;	4124

(7) The availability of federal or other funds for the	4125
project;	4126

(8) The overall economic health of the particular local	4127
subdivision;	4128

(9) The adequacy of the planning for the project and the	4129
readiness of the applicant to proceed should the project be	4130
approved;	4131

(10) Any other factors relevant to a particular project.

4132

(C) Prior to filing an application with its district public	4133
works integrating committee for assistance in financing a capital	4134
improvement project under this section, a local subdivision shall	4135
conduct a study of its existing capital improvements, the	4136
condition of those improvements, and the projected capital	4137
improvement needs of the subdivision in the ensuing five-year	4138
period. After completing this study, the subdivision shall compile	4139
a report that includes an inventory of its existing capital	4140
improvements, a plan detailing the capital improvement needs of	4141
the subdivision in the ensuing five-year period, and a list of the	4142
subdivision's priorities with respect to addressing those needs.	4143
Each year, the report shall be reviewed and updated by the	4144
subdivision to reflect capital improvement projects undertaken or	4145
completed in the past year and any changes in the subdivision's	4146
plan or priorities. The report and annual updates shall be made	4147
available upon request to the Ohio public works commission, the	4148
Ohio small government capital improvements commission, and the	4149
district public works integrating committee of the district of	4150
which the subdivision is a part.	4151

(D) In addition to reviewing and selecting the projects for	4152
which approval will be sought from the director of the Ohio public	4153
works commission for financial assistance from the state capital	4154
improvements fund, each district public works integrating	4155
committee shall appoint a subcommittee of its members that will	4156
represent the interests of villages and townships and that will	4157
review and select the capital improvement projects which will be	4158
submitted by the subcommittee to the administrator of the Ohio	4159
small government capital improvements commission for consideration	4160
of assistance from the portion of the net proceeds of obligations	4161
issued and sold by the treasurer of state which is allocated	4162
pursuant to division (B)(1) of section 164.08 of the Revised Code.	4163
In reviewing and approving the projects selected by its	4164
subcommittee, the administrator, and the Ohio small government	4165
capital improvements commission shall be guided by the provisions	4166
of division (B) of this section, and shall also take into account	4167
the fact that villages and townships may have different public	4168
infrastructure needs than larger subdivisions.	4169

(E) The district public works integrating committee for each	4170
district that includes at least one county with a population of	4171
less than eighty-five thousand according to the most recent	4172
decennial census shall appoint a subcommittee of its members for	4173
the purposes of the small counties capital improvement program	4174
created under division (F) of section 164.02 of the Revised Code.	4175
The subcommittee shall select and submit to the director the	4176
projects that will be considered for assistance from the money	4177
allocated to the program under division (B)(4)(3) of section	4178
164.08 of the Revised Code.	4179

Sec. 164.08.  (A) Except as provided in sections 151.01 and	4180
151.08 or section 164.09 of the Revised Code, the net proceeds of	4181
obligations issued and sold by the treasurer of state pursuant to	4182
section 164.09 of the Revised Code before September 30, 2000, or	4183
pursuant to sections 151.01 and 151.08 of the Revised Code, for	4184
the purpose of financing or assisting in the financing of the cost	4185
of public infrastructure capital improvement projects of local	4186
subdivisions, as provided for in Section 2k, 2m, or 2p of Article	4187
VIII, Ohio Constitution, and this chapter, shall be paid into the	4188
state capital improvements fund, which is hereby created in the	4189
state treasury. Investment earnings on moneys in the fund shall be	4190
credited to the fund.	4191

(B) Beginning July 1, 2011, each program year the amount of	4192
obligations authorized by the general assembly in accordance with	4193
sections 151.01 and 151.08 or section 164.09 of the Revised Code,	4194
excluding the proceeds of refunding or renewal obligations, shall	4195
be allocated by the director of the Ohio public works commission	4196
as follows:	4197

(1) First, fifteen million dollars of the amount of	4198
obligations authorized shall be allocated to provide financial	4199
assistance to villages and to townships with populations in the	4200
unincorporated areas of the township of less than five thousand	4201
persons, for capital improvements in accordance with section	4202
164.051 and division (D) of section 164.06 of the Revised Code. As	4203
used in division (B)(1) of this section, "capital improvements"	4204
includes resurfacing and improving roads.	4205

(2) Following the allocation required by division (B)(1) of	4206
this section, the director may allocate three million dollars of	4207
the authorized obligations to provide financial assistance to	4208
local subdivisions for capital improvement projects which in the	4209
judgment of the director of the Ohio public works commission are	4210
necessary for the immediate preservation of the health, safety,	4211
and welfare of the citizens of the local subdivision requesting	4212
assistance.	4213

(3) For the second, third, fourth, and fifth years that	4214
obligations are authorized and are available for allocation under	4215
this chapter, one million dollars shall be allocated to the sewer	4216
and water fund created in section 1525.11 of the Revised Code.	4217
Money from this allocation shall be transferred to that fund when	4218
needed to support specific payments from that fund.	4219

(4) For program years twelve and fourteen that obligations	4220
are authorized and available for allocation under this chapter,	4221
two million dollars each program year shall be allocated to the	4222
small county capital improvement program for use in providing	4223
financial assistance under division (F) of section 164.02 of the	4224
Revised Code.	4225

(5) After the allocation required by division (B)(3) of this	4226
section is made, the(4) The director shall determine the amount	4227
of the remaining obligations authorized to be issued and sold that	4228
each county would receive if such amounts were allocated on a per	4229
capita basis each year. If a county's per capita share for the	4230
year would be less than three hundred thousand dollars, the	4231
director shall allocate to the district in which that county is	4232
located an amount equal to the difference between three hundred	4233
thousand dollars and the county's per capita share.	4234

(6)(5) After making the allocation required by division	4235
(B)(5)(4) of this section, the director shall allocate the	4236
remaining amount to each district on a per capita basis.	4237

(C)(1) There is hereby created in the state treasury the	4238
state capital improvements revolving loan fund, into which shall	4239
be deposited all repayments of loans made to local subdivisions	4240
for capital improvements pursuant to this chapter. Investment	4241
earnings on moneys in the fund shall be credited to the fund.	4242

(2) There may also be deposited in the state capital	4243
improvements revolving loan fund moneys obtained from federal or	4244
private grants, or from other sources, which are to be used for	4245
any of the purposes authorized by this chapter. Such moneys shall	4246
be allocated each year in accordance with division (B)(6)(5) of	4247
this section.	4248

(3) Moneys deposited into the state capital improvements	4249
revolving loan fund shall be used to make loans for the purpose of	4250
financing or assisting in the financing of the cost of capital	4251
improvement projects of local subdivisions.	4252

(4) Investment earnings credited to the state capital	4253
improvements revolving loan fund that exceed the amounts required	4254
to meet estimated federal arbitrage rebate requirements shall be	4255
used to pay costs incurred by the public works commission in	4256
administering this section. Investment earnings credited to the	4257
state capital improvements revolving loan fund that exceed the	4258
amounts required to pay for the administrative costs and estimated	4259
rebate requirements shall be allocated to each district on a per	4260
capita basis.	4261

(5) Each program year, loan repayments received and on	4262
deposit in the state capital improvements revolving loan fund	4263
shall be allocated as follows:	4264

(a) Each district public works integrating committee shall be	4265
allocated an amount equal to the sum of all loan repayments made	4266
to the state capital improvements revolving loan fund by local	4267
subdivisions that are part of the district. Moneys not used in a	4268
program year may be used in the next program year in the same	4269
manner and for the same purpose as originally allocated.	4270

(b) Loan repayments made pursuant to projects approved under	4271
division (B)(1) of this section shall be used to make loans in	4272
accordance with section 164.051 and division (D) of section 164.06	4273
of the Revised Code. Allocations for this purpose made pursuant to	4274
division (C)(5) of this section shall be in addition to the	4275
allocation provided in division (B)(1) of this section.	4276

(c) Loan repayments made pursuant to projects approved under	4277
division (B)(2) of this section shall be used to make loans in	4278
accordance with division (B)(2) of this section. Allocations for	4279
this purpose made pursuant to division (C)(5) of this section	4280
shall be in addition to the allocation provided in division (B)(2)	4281
of this section.	4282

(d) Loans made from the state capital improvements revolving	4283
loan fund shall not be limited in their usage by divisions (E),	4284
(F), (G), (H), and (I) of section 164.05 of the Revised Code.	4285

(D) Investment earnings credited to the state capital	4286
improvements fund that exceed the amounts required to meet	4287
estimated federal arbitrage rebate requirements shall be used to	4288
pay costs incurred by the public works commission in administering	4289
sections 164.01 to 164.12 of the Revised Code.	4290

(E) The director of the Ohio public works commission shall	4291
notify the director of budget and management of the amounts	4292
allocated pursuant to this section and such information shall be	4293
entered into the state accounting system. The director of budget	4294
and management shall establish appropriation line items as needed	4295
to track these allocations.	4296

(F) If the amount of a district's allocation in a program	4297
year exceeds the amount of financial assistance approved for the	4298
district by the commission for that year, the remaining portion of	4299
the district's allocation shall be added to the district's	4300
allocation pursuant to division (B) of this section for the next	4301
succeeding year for use in the same manner and for the same	4302
purposes as it was originally allocated, except that any portion	4303
of a district's allocation which was available for use on new or	4304
expanded infrastructure pursuant to division (H) of section 164.05	4305
of the Revised Code shall be available in succeeding years only	4306
for the repair and replacement of existing infrastructure.	4307

(G) When an allocation based on population is made by the	4308
director pursuant to division (B) of this section, the director	4309
shall use the most recent decennial census statistics, and shall	4310
not make any reallocations based upon a change in a district's	4311
population.	4312

Sec. 166.01.  As used in this chapter:

4313

(A) "Allowable costs" means all or part of the costs of	4314
project facilities, eligible projects, eligible innovation	4315
projects, eligible research and development projects, eligible	4316
advanced energy projects, or eligible logistics and distribution	4317
projects, including costs of acquiring, constructing,	4318
reconstructing, rehabilitating, renovating, enlarging, improving,	4319
equipping, or furnishing project facilities, eligible projects,	4320
eligible innovation projects, eligible research and development	4321
projects, eligible advanced energy projects, or eligible logistics	4322
and distribution projects, site clearance and preparation,	4323
supplementing and relocating public capital improvements or	4324
utility facilities, designs, plans, specifications, surveys,	4325
studies, and estimates of costs, expenses necessary or incident to	4326
determining the feasibility or practicability of assisting an	4327
eligible project, an eligible innovation project, an eligible	4328
research and development project, an eligible advanced energy	4329
project, or an eligible logistics and distribution project, or	4330
providing project facilities or facilities related to an eligible	4331
project, an eligible innovation project, an eligible research and	4332
development project, an eligible advanced energy project, or an	4333
eligible logistics and distribution project, architectural,	4334
engineering, and legal services fees and expenses, the costs of	4335
conducting any other activities as part of a voluntary action, and	4336
such other expenses as may be necessary or incidental to the	4337
establishment or development of an eligible project, an eligible	4338
innovation project, an eligible research and development project,	4339
an eligible advanced energy project, or an eligible logistics and	4340
distribution project, and reimbursement of moneys advanced or	4341
applied by any governmental agency or other person for allowable	4342
costs.	4343

(B) "Allowable innovation costs" includes allowable costs of	4344
eligible innovation projects and, in addition, includes the costs	4345
of research and development of eligible innovation projects;	4346
obtaining or creating any requisite software or computer hardware	4347
related to an eligible innovation project or the products or	4348
services associated therewith; testing (including, without	4349
limitation, quality control activities necessary for initial	4350
production), perfecting, and marketing of such products and	4351
services; creating and protecting intellectual property related to	4352
an eligible innovation project or any products or services related	4353
thereto, including costs of securing appropriate patent,	4354
trademark, trade secret, trade dress, copyright, or other form of	4355
intellectual property protection for an eligible innovation	4356
project or related products and services; all to the extent that	4357
such expenditures could be capitalized under then-applicable	4358
generally accepted accounting principles; and the reimbursement of	4359
moneys advanced or applied by any governmental agency or other	4360
person for allowable innovation costs.	4361

(C) "Eligible innovation project" includes an eligible	4362
project, including any project facilities associated with an	4363
eligible innovation project and, in addition, includes all	4364
tangible and intangible property related to a new product or	4365
process based on new technology or the creative application of	4366
existing technology, including research and development, product	4367
or process testing, quality control, market research, and related	4368
activities, that is to be acquired, established, expanded,	4369
remodeled, rehabilitated, or modernized for industry, commerce,	4370
distribution, or research, or any combination thereof, the	4371
operation of which, alone or in conjunction with other eligible	4372
projects, eligible innovation projects, or innovation property,	4373
will create new jobs or preserve existing jobs and employment	4374
opportunities and improve the economic welfare of the people of	4375
the state.	4376

(D) "Eligible project" means project facilities to be	4377
acquired, established, expanded, remodeled, rehabilitated, or	4378
modernized for industry, commerce, distribution, or research, or	4379
any combination thereof, the operation of which, alone or in	4380
conjunction with other facilities, will create new jobs or	4381
preserve existing jobs and employment opportunities and improve	4382
the economic welfare of the people of the state. "Eligible	4383
project" includes, without limitation, a voluntary action. For	4384
purposes of this division, "new jobs" does not include existing	4385
jobs transferred from another facility within the state, and	4386
"existing jobs" includes only those existing jobs with work places	4387
within the municipal corporation or unincorporated area of the	4388
county in which the eligible project is located.	4389

"Eligible project" does not include project facilities to be	4390
acquired, established, expanded, remodeled, rehabilitated, or	4391
modernized for industry, commerce, distribution, or research, or	4392
any combination of industry, commerce, distribution, or research,	4393
if the project facilities consist solely of	4394
point-of-final-purchase retail facilities. If the project	4395
facilities consist of both point-of-final-purchase retail	4396
facilities and nonretail facilities, only the portion of the	4397
project facilities consisting of nonretail facilities is an	4398
eligible project. If a warehouse facility is part of a	4399
point-of-final-purchase retail facility and supplies only that	4400
facility, the warehouse facility is not an eligible project.	4401
Catalog distribution facilities are not considered	4402
point-of-final-purchase retail facilities for purposes of this	4403
paragraph, and are eligible projects.	4404

(E) "Eligible research and development project" means an	4405
eligible project, including project facilities, comprising,	4406
within, or related to, a facility or portion of a facility at	4407
which research is undertaken for the purpose of discovering	4408
information that is technological in nature and the application of	4409
which is intended to be useful in the development of a new or	4410
improved product, process, technique, formula, or invention, a new	4411
product or process based on new technology, or the creative	4412
application of existing technology.	4413

(F) "Financial assistance" means inducements under division	4414
(B) of section 166.02 of the Revised Code, loan guarantees under	4415
section 166.06 of the Revised Code, and direct loans under section	4416
166.07 of the Revised Code.	4417

(G) "Governmental action" means any action by a governmental	4418
agency relating to the establishment, development, or operation of	4419
an eligible project, eligible innovation project, eligible	4420
research and development project, eligible advanced energy	4421
project, or eligible logistics and distribution project, and	4422
project facilities that the governmental agency acting has	4423
authority to take or provide for the purpose under law, including,	4424
but not limited to, actions relating to contracts and agreements,	4425
zoning, building, permits, acquisition and disposition of	4426
property, public capital improvements, utility and transportation	4427
service, taxation, employee recruitment and training, and liaison	4428
and coordination with and among governmental agencies.	4429

(H) "Governmental agency" means the state and any state	4430
department, division, commission, institution or authority; a	4431
municipal corporation, county, or township, and any agency	4432
thereof, and any other political subdivision or public corporation	4433
or the United States or any agency thereof; any agency,	4434
commission, or authority established pursuant to an interstate	4435
compact or agreement; and any combination of the above.	4436

(I) "Innovation financial assistance" means inducements under	4437
division (B) of section 166.12 of the Revised Code, innovation	4438
Ohio loan guarantees under section 166.15 of the Revised Code, and	4439
innovation Ohio loans under section 166.16 of the Revised Code.	4440

(J) "Innovation Ohio loan guarantee reserve requirement"	4441
means, at any time, with respect to innovation loan guarantees	4442
made under section 166.15 of the Revised Code, a balance in the	4443
innovation Ohio loan guarantee fund equal to the greater of twenty	4444
per cent of the then-outstanding principal amount of all	4445
outstanding innovation loan guarantees made pursuant to section	4446
166.15 of the Revised Code or fifty per cent of the principal	4447
amount of the largest outstanding guarantee made pursuant to	4448
section 166.15 of the Revised Code.	4449

(K) "Innovation property" includes property and also includes	4450
software, inventory, licenses, contract rights, goodwill,	4451
intellectual property, including without limitation, patents,	4452
patent applications, trademarks and service marks, and trade	4453
secrets, and other tangible and intangible property, and any	4454
rights and interests in or connected to the foregoing.	4455

(L) "Loan guarantee reserve requirement" means, at any time,	4456
with respect to loan guarantees made under section 166.06 of the	4457
Revised Code, a balance in the loan guarantee fund equal to the	4458
greater of twenty per cent of the then-outstanding principal	4459
amount of all outstanding guarantees made pursuant to section	4460
166.06 of the Revised Code or fifty per cent of the principal	4461
amount of the largest outstanding guarantee made pursuant to	4462
section 166.06 of the Revised Code.	4463

(M) "Person" means any individual, firm, partnership,	4464
association, corporation, or governmental agency, and any	4465
combination thereof.	4466

(N) "Project facilities" means buildings, structures, and	4467
other improvements, and equipment and other property, excluding	4468
small tools, supplies, and inventory, and any one, part of, or	4469
combination of the above, comprising all or part of, or serving or	4470
being incidental to, an eligible project, an eligible innovation	4471
project, an eligible research and development project, an eligible	4472
advanced energy project, or an eligible logistics and distribution	4473
project, including, but not limited to, public capital	4474
improvements.	4475

(O) "Property" means real and personal property and interests	4476
therein.	4477

(P) "Public capital improvements" means capital improvements	4478
or facilities that any governmental agency has authority to	4479
acquire, pay the costs of, own, maintain, or operate, or to	4480
contract with other persons to have the same done, including, but	4481
not limited to, highways, roads, streets, water and sewer	4482
facilities, railroad and other transportation facilities, and air	4483
and water pollution control and solid waste disposal facilities.	4484
For purposes of this division, "air pollution control facilities"	4485
includes, without limitation, solar, geothermal, biofuel, biomass,	4486
wind, hydro, wave, and other advanced energy projects as defined	4487
in section 3706.25 of the Revised Code.	4488

(Q) "Research and development financial assistance" means	4489
inducements under section 166.17 of the Revised Code, research and	4490
development loans under section 166.21 of the Revised Code, and	4491
research and development tax credits under sections 5733.352 and	4492
5747.331 of the Revised Code.	4493

(R) "Targeted innovation industry sectors" means industry	4494
sectors involving the production or use of advanced materials,	4495
instruments, controls and electronics, power and propulsion,	4496
biosciences, and information technology, or such other sectors as	4497
may be designated by the director of development services.	4498

(S) "Voluntary action" means a voluntary action, as defined	4499
in section 3746.01 of the Revised Code, that is conducted under	4500
the voluntary action program established in Chapter 3746. of the	4501
Revised Code.	4502

(T) "Project financing obligations" means obligations issued	4503
pursuant to section 166.08 of the Revised Code other than	4504
obligations for which the bond proceedings provide that bond	4505
service charges shall be paid from receipts of the state	4506
representing gross profit on the sale of spirituous liquor as	4507
referred to in division (B)(4) of section 4310.10 of the Revised	4508
Code.	4509

(U) "Regional economic development entity" means an entity	4510
that is under contract with the director of development to	4511
administer a loan program under this chapter in a particular area	4512
of this state.	4513

(V) "Advanced energy research and development fund" means the	4514
advanced energy research and development fund created in section	4515
3706.27 of the Revised Code.	4516

(W) "Advanced energy research and development taxable fund"	4517
means the advanced energy research and development taxable fund	4518
created in section 3706.27 of the Revised Code.	4519

(X) "Eligible advanced energy project" means an eligible	4520
project that is an "advanced energy project" as defined in section	4521
3706.25 of the Revised Code.	4522

(Y) "Eligible logistics and distribution project" means an	4523
eligible project, including project facilities, to be acquired,	4524
established, expanded, remodeled, rehabilitated, or modernized for	4525
transportation logistics and distribution infrastructure purposes.	4526
As used in this division, "transportation logistics and	4527
distribution infrastructure purposes" means promoting, providing	4528
for, and enabling improvements to the ground, air, and water	4529
transportation infrastructure comprising the transportation system	4530
in this state, including, without limitation, highways, streets,	4531
roads, bridges, railroads carrying freight, and air and water	4532
ports and port facilities, and all related supporting facilities.	4533

(Z) "Department of development" means the development	4534
services agency and "director of development" means the director	4535
of development services.	4536

Sec. 166.04.  (A) Prior to entering into each agreement to	4537
provide assistance under sections 166.02, 166.06, and 166.07 of	4538
the Revised Code, the director of development services shall	4539
determine whether the assistance will conform to the requirements	4540
of sections 166.01 to 166.11 of the Revised Code. Such	4541
determination, and the facts upon which it is based, shall be set	4542
forth, where required, by the director in submissions made to the	4543
controlling board for purposes of section 166.03 and, unless	4544
provision of the assistance has been recommended to the director	4545
by a regional economic development entity, to the development	4546
financing advisory council under section 166.05when the director	4547
seeks a release of moneys under section 166.02 of the Revised	4548
Code. An agreement to provide assistance under sections 166.02,	4549
166.06, and 166.07 of the Revised Code shall set forth such	4550
determination, which shall be conclusive for purposes of the	4551
validity and enforceability of such agreement and any loan	4552
guarantees, loans, or other agreements entered into pursuant to	4553
such agreement to provide assistance.	4554

(B) Whenever a person applies for financial assistance under	4555
sections 166.02, 166.06, and 166.07 of the Revised Code and the	4556
project for which assistance is requested is to relocate	4557
facilities that are currently being operated by the person and	4558
that are located in another county, municipal corporation, or	4559
township, the director shall provide written notification to the	4560
appropriate local governmental bodies and state officials. The	4561
notification shall contain the following information:	4562

(1) The name of the person applying for financial assistance;

4563

(2) The county, and the municipal corporation or township, in	4564
which the project for which assistance is requested is located;	4565
and	4566

(3) The county, and the municipal corporation or township, in	4567
which the facility to be replaced is located.	4568

The director shall provide the written notification to the	4569
appropriate local governmental bodies and state officials so that	4570
they receive the notification at least five days before the	4571
development financing advisory council meeting at which the	4572
council considers the request for financial assistance pursuant to	4573
section 166.05 of the Revised Code.	4574

(C) As used in division (B) of this section:

4575

(1) "Appropriate local governmental bodies" means:

4576

(a) The boards of county commissioners or legislative	4577
authorities of the county in which the project for which	4578
assistance is requested is located and of the county in which the	4579
facility to be replaced is located;	4580

(b) The legislative authority of the municipal corporation or	4581
the board of township trustees of the township in which the	4582
project for which assistance is requested is located; and	4583

(c) The legislative authority of the municipal corporation or	4584
the board of township trustees of the township in which the	4585
facility to be replaced is located.	4586

(2) "State officials" means:

4587

(a) The state representative and state senator in whose	4588
districts the project for which assistance is requested is	4589
located;	4590

(b) The state representative and state senator in whose	4591
districts the facility to be replaced is located.	4592

Sec. 166.05.  (A) In determining the projects to be assisted	4593
and the nature, amount, and terms of assistance to be provided for	4594
an eligible project under sections 166.02, 166.06, and 166.07 of	4595
the Revised Code:	4596

(1) Except as otherwise provided in division (A)(3) of this	4597
section, theThe director of development services shall take into	4598
consideration all of the following:	4599

(a) The number of jobs to be created or preserved, directly	4600
or indirectly;	4601

(b) Payrolls, and the taxes generated, at both state and	4602
local levels, by the eligible project and by the employment	4603
created or preserved by the eligible project;	4604

(c) The size, nature, and cost of the eligible project,	4605
including the prospect of the project for providing long-term jobs	4606
in enterprises consistent with the changing economics of the state	4607
and the nation;	4608

(d) The needs, and degree of needs, of the area in which the	4609
eligible project is to be located;	4610

(e) The needs of any private sector enterprise to be	4611
assisted;	4612

(f) The competitive effect of the assistance on other	4613
enterprises providing jobs for people of the state;	4614

(g) The amount and kind of assistance, if any, to be provided	4615
to the private sector enterprise by other governmental agencies	4616
through tax exemption or abatement, financing assistance with	4617
industrial development bonds, and otherwise, with respect to the	4618
eligible project;	4619

(h) The impact of the eligible project and its operations on	4620
local government services, including school services, and on	4621
public facilities;	4622

(i) The effect of the assistance on the loss of or damage to	4623
or destruction of prime farmland, or the removal from agricultural	4624
production of prime farmland. As used in this section, "prime	4625
farmland" means agricultural land that meets the criteria for this	4626
classification as defined by the United States soil conservation	4627
service.	4628

(j) The length of time the operator of the project has been	4629
operating facilities within the state.	4630

(2) The benefits to the local area, including taxes, jobs,	4631
and reduced unemployment and reduced welfare costs, among others,	4632
may be accorded value in the leasing or sales of project	4633
facilities and in loan and guarantee arrangements.	4634

(B) Prior to granting final approval of the assistance to be	4635
provided, the director shall determine that the benefits to be	4636
derived by the state and local area from the establishment or	4637
development, and operation, of the eligible project will exceed	4638
the cost of providing such assistance and, except as provided in	4639
division (C)(2) of this section, shall submit to the development	4640
financing advisory council and to the controlling board a copy of	4641
that determination including the basis for the determination.	4642

(C)(1) Except as provided in division (C)(2) of this section,	4643
prior to the submission provided for in division (B) of this	4644
section to the controlling board, the director shall submit to the	4645
development financing advisory council data pertinent to the	4646
considerations set forth in division (A) of this section, the	4647
terms of the proposed assistance, and such other relevant	4648
information as the development financing advisory council may	4649
request.	4650

(2) The director is not required to submit any determination,	4651
data, terms, or other application materials or information to the	4652
development financing advisory council when provision of the	4653
assistance has been recommended to the director by a regional	4654
economic development entity.	4655

(D) The development financing advisory council, on the basis	4656
of such data, shall make recommendations as to the appropriateness	4657
of the assistance to be provided. The recommendations may be	4658
revised to reflect any changes in the proposed assistance as the	4659
director may submit to the council. The recommendations, as	4660
amended, of the council as to the appropriateness of the proposed	4661
assistance shall be submitted to the controlling board.	4662

(E) Financial statements and other data submitted to the	4663
director of development, the development financing advisory	4664
council,services or the controlling board by any private sector	4665
person in connection with financial assistance under sections	4666
166.02, 166.06, and 166.07 of the Revised Code, or any information	4667
taken from such statements or data for any purpose, shall not be	4668
open to public inspection. The development financing advisory	4669
council in considering confidential information in connection with	4670
financial assistance under sections 166.02, 166.06, and 166.07 of	4671
the Revised Code may, only for consideration of the confidential	4672
information referred to, and in the manner provided in division	4673
(E) of section 121.22 of the Revised Code, close the meeting	4674
during such consideration.	4675

Sec. 166.11.  (A) The aggregate principal amount of debt	4676
service payable in any calendar year on project financing	4677
obligations that may be issued under section 166.08 of the Revised	4678
Code is three hundred, exclusive of make-whole call redemptions or	4679
other optional prepayments, shall not exceed fifty million	4680
dollars, plus the principal amount of such project financing	4681
obligations retired by payments. The aggregate principal amount of	4682
obligations, exclusive of project financing obligations, that may	4683
be issued under section 166.08 of the Revised Code is six hundred	4684
thirty million dollars, plus the principal amount of any such	4685
obligations retired by payment, the amounts held or obligations	4686
pledged for the payment of the principal amount of any such	4687
obligations outstanding, amounts in special funds held as reserves	4688
to meet bond service charges, and amounts of obligations issued to	4689
provide moneys required to meet payments from the loan guarantee	4690
fund created in section 166.06 of the Revised Code and the	4691
innovation Ohio loan guarantee fund created in section 166.15 of	4692
the Revised Code. Of that six hundred thirty million dollars, not	4693
more than eighty-four million principal amount of obligations may	4694
be issued for eligible advanced energy projects and not more than	4695
one hundred million principal amount of obligations may be issued	4696
for eligible logistics and distribution projects. The terms of the	4697
obligations issued under section 166.08 of the Revised Code, other	4698
than obligations issued to meet guarantees that cannot be	4699
satisfied from amounts then held in the loan guarantee fund or the	4700
innovation Ohio loan guarantee fund, shall be such that the	4701
aggregate amount of moneys used from profit from the sale of	4702
spirituous liquor, and not from other sources, in any fiscal year	4703
shall not exceed sixty-three million dollars. For purposes of the	4704
preceding sentence, "other sources" include the annual investment	4705
income on special funds to the extent it will be available for	4706
payment of any bond service charges in lieu of use of profit from	4707
the sale of spirituous liquor, and shall be estimated on the basis	4708
of the expected funding of those special funds and assumed	4709
investment earnings thereon at a rate equal to the weighted	4710
average yield on investments of those special funds determined as	4711
of any date within sixty days immediately preceding the date of	4712
issuance of the bonds in respect of which the determination is	4713
being made. Amounts received in any fiscal year under section 6341	4714
of the Internal Revenue Code, 26 U.S.C. 6341, shall not be	4715
included when determining the sixty-three million dollar limit.	4716
The determinations required by this division shall be made by the	4717
treasurer of state at the time of issuance of an issue of	4718
obligations and shall be conclusive for purposes of such issue of	4719
obligations from and after their issuance and delivery.	4720

(B) The aggregate amount of the guaranteed portion of the	4721
unpaid principal of loans guaranteed under sections 166.06 and	4722
166.15 of the Revised Code and the unpaid principal of loans made	4723
under sections 166.07, 166.16, and 166.21 of the Revised Code may	4724
not at any time exceed eight hundred million dollars. Of that	4725
eight hundred million dollars, the aggregate amount of the	4726
guaranteed portion of the unpaid principal of loans guaranteed	4727
under sections 166.06 and 166.15 of the Revised Code shall not at	4728
any time exceed two hundred million dollars. However, the	4729
limitations established under this division do not apply to loans	4730
made with proceeds from the issuance and sale of project financing	4731
obligations.	4732

Sec. 166.13. (A) Prior to entering into each agreement to	4733
provide innovation financial assistance under sections 166.12,	4734
166.15, and 166.16 of the Revised Code, the director of	4735
development services shall determine whether the assistance will	4736
conform to the requirements of sections 166.12 to 166.16 of the	4737
Revised Code. Such determination, and the facts upon which it is	4738
based, shall be set forth by the director in submissions made to	4739
the controlling board for purposes of section 166.16 of the	4740
Revised Code and to the development financing advisory council	4741
under section 166.14when the director seeks a release of moneys	4742
under section 166.12 of the Revised Code. An agreement to provide	4743
assistance under sections 166.12, 166.15, and 166.16 of the	4744
Revised Code shall set forth the determination, which shall be	4745
conclusive for purposes of the validity and enforceability of the	4746
agreement and any innovation loan guarantees, innovation loans, or	4747
other agreements entered into pursuant to the agreement to provide	4748
innovation financial assistance.	4749

(B) Whenever a person applies for innovation financial	4750
assistance under sections 166.12, 166.15, and 166.16 of the	4751
Revised Code and the eligible innovation project for which	4752
innovation financial assistance is requested is to relocate an	4753
eligible innovation project that is currently being operated by	4754
the person and that is located in another county, municipal	4755
corporation, or township, the director shall provide written	4756
notification to the appropriate local governmental bodies and	4757
state officials. The notification shall contain the following	4758
information:	4759

(1) The name of the person applying for innovation financial	4760
assistance;	4761

(2) The county, and the municipal corporation or township, in	4762
which the eligible innovation project for which innovation	4763
financial assistance is requested is located; and	4764

(3) The county, and the municipal corporation or township, in	4765
which the eligible innovation project to be replaced is located.	4766

The director shall provide the written notification to the	4767
appropriate local governmental bodies and state officials so that	4768
they receive the notification at least five days before the	4769
development financing advisory council meeting at which the	4770
council considers the request for innovation financial assistance	4771
pursuant to sections 166.12, 166.15, and 166.16 of the Revised	4772
Code.	4773

(C) As used in division (B) of this section:

4774

(1) "Appropriate local governmental bodies" means:

4775

(a) The boards of county commissioners or legislative	4776
authorities of the county in which the project for which	4777
innovation financial assistance is requested is located and of the	4778
county in which the eligible innovation project to be replaced is	4779
located;	4780

(b) The legislative authority of the municipal corporation or	4781
the board of township trustees of the township in which the	4782
eligible innovation project for which innovation financial	4783
assistance is requested is located; and	4784

(c) The legislative authority of the municipal corporation or	4785
the board of township trustees of the township in which the	4786
eligible innovation project to be replaced is located.	4787

(2) "State officials" means:

4788

(a) The state representative and state senator in whose	4789
districts the project for which innovation financial assistance is	4790
requested is located;	4791

(b) The state representative and state senator in whose	4792
districts the innovation project to be replaced is located.	4793

Sec. 166.14. (A) In determining the eligible innovation	4794
projects to be assisted and the nature, amount, and terms of	4795
innovation financial assistance to be provided for an eligible	4796
innovation project under sections 166.12 to 166.16 of the Revised	4797
Code:	4798

(1) The director of development services shall take into	4799
consideration all of the following:	4800

(a) The number of jobs to be created or preserved by the	4801
eligible innovation project, directly or indirectly;	4802

(b) Payrolls, and the taxes generated, at both state and	4803
local levels, by or in connection with the eligible innovation	4804
project and by the employment created or preserved by or in	4805
connection with the eligible innovation project;	4806

(c) The size, nature, and cost of the eligible innovation	4807
project, including the prospect of the eligible innovation project	4808
for providing long-term jobs in enterprises consistent with the	4809
changing economics of the state and the nation;	4810

(d) The needs of any private sector enterprise to be	4811
assisted;	4812

(e) The amount and kind of assistance, if any, to be provided	4813
to the private sector enterprise by other governmental agencies	4814
through tax exemption or abatement, financing assistance with	4815
industrial development bonds, and otherwise, with respect to the	4816
eligible innovation project or with respect to any providers of	4817
innovation property to be included as part of the eligible	4818
innovation project;	4819

(f) The likelihood of the successful implementation of the	4820
proposed eligible innovation project;	4821

(g) Whether the eligible innovation project involves the use	4822
of technology in a targeted innovation industry sector.	4823

(2) The benefits to the local area, including taxes, jobs,	4824
and reduced unemployment and reduced welfare costs, among others,	4825
may be accorded value in the leasing or sales of innovation	4826
project facilities and in loan and guarantee arrangements.	4827

(3) In making determinations under division (A)(1) of this	4828
section, the director may consider the effect of an eligible	4829
innovation project upon any entity engaged to provide innovation	4830
property to be acquired, leased, or licensed in connection with	4831
such assistance.	4832

(B) The director shall submit to the development financing	4833
advisory council data pertinent to the considerations set forth in	4834
division (A) of this section, the terms of the proposed innovation	4835
financial assistance, and such other relevant information as the	4836
council may request.	4837

(C) The development financing advisory council, on the basis	4838
of such data, shall make recommendations as to the appropriateness	4839
of the innovation financial assistance to be provided. The	4840
recommendations may be revised to reflect any changes in the	4841
proposed innovation financial assistance as the director may	4842
submit to the council. The recommendations, as amended, of the	4843
council as to the appropriateness of the proposed innovation	4844
financial assistance shall be submitted to the controlling board.	4845

(D) Financial statements and other data submitted to the	4846
director of development, the development financing advisory	4847
council,services or the controlling board by any private sector	4848
person in connection with innovation financial assistance under	4849
sections 166.12, 166.15, and 166.16 of the Revised Code, or any	4850
information taken from such statements or data for any purpose,	4851
shall not be open to public inspection. The development financing	4852
advisory council in considering confidential information in	4853
connection with innovation financial assistance under this chapter	4854
may, only for consideration of the confidential information	4855
referred to, and in the manner provided in division (E) of section	4856
121.22 of the Revised Code, close the meeting during such	4857
consideration.	4858

Sec. 166.18. (A) Prior to entering into each agreement to	4859
provide research and development financial assistance, the	4860
director of development services shall determine whether the	4861
assistance will conform to the requirements of sections 166.17 to	4862
166.21, 5733.352, and 5747.331 of the Revised Code. Such	4863
determination, and the facts upon which it is based, shall be set	4864
forth by the director in submissions made to the controlling board	4865
for purposes of section 166.17 of the Revised Code and to the	4866
development financing advisory council under section 166.19when	4867
the director seeks a release of moneys under section 166.17 of the	4868
Revised Code. An agreement to provide research and development	4869
financial assistance under section 166.17 or 166.21 of the Revised	4870
Code shall set forth the determination, which shall be conclusive	4871
for purposes of the validity and enforceability of the agreement,	4872
and any loans or other agreements entered into pursuant to the	4873
agreement, to provide research and development financial	4874
assistance.	4875

(B) Whenever a person applies for research and development	4876
financial assistance, and the eligible research and development	4877
project for which that assistance is requested is to relocate an	4878
eligible research and development project that is currently being	4879
operated by the person and that is located in another county,	4880
municipal corporation, or township within the state, the director	4881
shall provide written notification to the appropriate local	4882
governmental bodies and state officials. The notification shall	4883
state all of the following:	4884

(1) The name of the person applying for research and	4885
development financial assistance;	4886

(2) The county, and the municipal corporation or township, in	4887
which the project for which research and development financial	4888
assistance is requested will be located;	4889

(3) The county, and the municipal corporation or township, in	4890
which the eligible research and development project is located at	4891
the time such financial assistance is requested.	4892

The director shall provide the written notification to the	4893
appropriate local governmental bodies and state officials so that	4894
they receive the notification at least five days before the	4895
development financing advisory council meeting at which the	4896
council considers the request for research and development	4897
financial assistance.	4898

(C) As used in division (B) of this section:

4899

(1) "Appropriate local governmental bodies" means all of the	4900
following:	4901

(a) The board of county commissioners of or legislative	4902
authorities of special districts in the county in which the	4903
eligible research and development project for which research and	4904
development financial assistance is requested is located and of	4905
the county in which the project will be located;	4906

(b) The legislative authority of the municipal corporation or	4907
the board of township trustees of the township in which the	4908
eligible research and development project for which research and	4909
development financial assistance is requested is located and of	4910
the municipal corporation or township in which the project will be	4911
located.	4912

(2) "State officials" means both of the following:

4913

(a) The state representative and state senator in whose	4914
district the eligible research and development project for which	4915
research and development financial assistance is requested is	4916
located;	4917

(b) The state representative and state senator in whose	4918
district the eligible research and development project will be	4919
located.	4920

Sec. 166.19. (A)(1) In determining the eligible research and	4921
development projects to be assisted and the nature, amount, and	4922
terms of the research and development financial assistance to be	4923
provided, the director of development services shall consider all	4924
of the following:	4925

(a) The number of jobs to be created or preserved, directly	4926
or indirectly, by or in connection with the eligible research and	4927
development project;	4928

(b) Payrolls, and the taxes generated at both state and local	4929
levels, by the eligible research and development project and by	4930
the employment created or preserved by or in connection with the	4931
project;	4932

(c) The size, nature, and cost of the eligible research and	4933
development project;	4934

(d) The likelihood that the eligible research and development	4935
project will create long-term jobs in enterprises consistent with	4936
the changing economy of the state and nation;	4937

(e) The needs of any private sector enterprise to be	4938
assisted, taking into consideration the amount and kind of	4939
assistance, if any, to be provided to the private sector	4940
enterprise by other governmental agencies through tax exemption or	4941
abatement, financing assistance with industrial development bonds,	4942
and otherwise, with respect to the eligible research and	4943
development project or with respect to any providers of research	4944
and development property to be included as part of the project;	4945

(f) The likelihood that the eligible research and development	4946
project will be successfully implemented.	4947

(2) The director may consider the benefits to the local area,	4948
including taxes, jobs, and reduced unemployment and reduced	4949
welfare costs, in the leasing or sale of eligible research and	4950
development project facilities and in loan arrangements.	4951

(3) The director may consider the effect of an eligible	4952
research and development project upon any entity engaged to	4953
provide research and development property to be acquired, leased,	4954
or licensed in connection with research and development financial	4955
assistance.	4956

(B) The director shall submit to the development financing	4957
advisory council data pertinent to the considerations set forth in	4958
division (A) of this section, the terms of the proposed research	4959
and development assistance, and such other relevant information as	4960
the council may request.	4961

(C) The development financing advisory council, on the basis	4962
of the data submitted under division (B) of this section, shall	4963
make recommendations as to the appropriateness of the research and	4964
development financial assistance to be provided. The	4965
recommendations may be revised to reflect any changes in the	4966
proposed research and development financial assistance that the	4967
director may submit to the council. The recommendations of the	4968
council as to the appropriateness of the proposed research and	4969
development financial assistance shall be submitted to the	4970
controlling board.	4971

(D) Financial statements and other data submitted to the	4972
director of development, the development financing advisory	4973
council,services or the controlling board by any private sector	4974
person in connection with research and development financial	4975
assistance, or any information taken from such statements or data	4976
for any purpose, shall not be open to public inspection. The	4977
development financing advisory council, in considering	4978
confidential information in connection with research and	4979
development financial assistance may, only for consideration of	4980
the confidential information referred to and in the manner	4981
provided in division (E) of section 121.22 of the Revised Code,	4982
close the meeting during such consideration.	4983

Sec. 166.25. (A) The director of development services, with	4984
the approval of the controlling board and subject to the other	4985
applicable provisions of this chapter, may lend money in the	4986
logistics and distribution infrastructure fund and the logistics	4987
and distribution infrastructure taxable bond fund to persons for	4988
the purpose of paying allowable costs of eligible logistics and	4989
distribution projects.	4990

(B) In determining the eligible logistics and distribution	4991
projects to be assisted and the nature, amount, and terms of	4992
assistance to be provided for an eligible logistics and	4993
distribution project, the director shall consult with appropriate	4994
governmental agencies, including the department of transportation	4995
and the Ohio rail development commission.	4996

(C)(1) The director shall submit to the development financing	4997
advisory council the terms of the proposed assistance to be	4998
provided for an eligible logistics and distribution project and	4999
such other relevant information as the council may request.	5000

(2) The council, on the basis of such information, shall make	5001
recommendations as to the appropriateness of the assistance to be	5002
provided. The recommendations may be revised to reflect any	5003
changes in the proposed assistance the director may submit to the	5004
council.	5005

(3) The director shall submit the terms of the proposed	5006
assistance to be provided, along with the recommendations, as	5007
amended, of the council as to the appropriateness of the proposed	5008
assistance, to the controlling board.	5009

(D) Any loan made pursuant to this section shall be evidenced	5010
by a loan agreement, which shall contain such terms as the	5011
director determines necessary or appropriate, including	5012
performance measures and reporting requirements. The director may	5013
take actions necessary or appropriate to collect or otherwise deal	5014
with any loan made under this section, including requiring a loan	5015
recipient to repay the amount of the loan plus interest at a rate	5016
of three per cent above the federal short term interest rate or	5017
any other rate determined by the director.	5018

Sec. 166.30. (A) The Ohio air quality development authority,	5019
with the approval of the controlling board and subject to sections	5020
3706.25 to 3706.30 of the Revised Code, may provide grants from	5021
money in the advanced energy research and development fund and may	5022
lend money in the advanced energy research and development taxable	5023
fund to persons for the purposes of paying allowable costs of	5024
eligible advanced energy projects.	5025

(B) In determining the eligible advanced energy projects to	5026
be assisted and the nature, amount, and terms of assistance to be	5027
provided for an eligible advanced energy project, the authority	5028
shall consult with appropriate governmental agencies.	5029

(C)(1) The authority shall submit to the development	5030
financing advisory council the terms of the proposed assistance to	5031
be provided for an eligible advanced energy project and such other	5032
relevant information as the council may request.	5033

(2) The council, on the basis of such information, shall make	5034
recommendations as to the appropriateness of the assistance to be	5035
provided. The recommendations may be revised to reflect any	5036
changes in the proposed assistance the authority may submit to the	5037
council.	5038

(3) The authority shall submit the terms of the proposed	5039
assistance to be provided, along with the recommendations, as	5040
amended, of the council as to the appropriateness of the proposed	5041
assistance, to the controlling board.	5042

(D) Any grant or loan made pursuant to this section shall be	5043
evidenced by an agreement, which shall contain such terms as the	5044
authority determines necessary or appropriate, including	5045
performance measures and reporting requirements. The authority may	5046
take actions necessary or appropriate to collect or otherwise deal	5047
with any assistance provided under this section, including	5048
requiring a loan or grant recipient to repay the amount of the	5049
loan or grant plus interest at a rate of three per cent above the	5050
federal short term interest rate or any other rate determined by	5051
the authority.	5052

Sec. 174.01. As used in this chapter:

5053

(A) "Financial assistance" means grants, loans, loan	5054
guarantees, an equity position in a project, or loan subsidies.	5055

(B) "Grant" means funding the department of development	5056
services agency or the Ohio housing finance agency provides for	5057
which the department or therelevant agency does not require	5058
repayment.	5059

(C) "Housing" means housing for owner-occupancy and	5060
multifamily rental housing.	5061

(D) "Housing for owner-occupancy" means housing that is	5062
intended for occupancy by an owner as a principal residence.	5063
"Housing for owner-occupancy" may be any type of structure and may	5064
be owned in any type of ownership.	5065

(E) "Housing trust fund" means the low- and moderate-income	5066
housing trust fund created and administered pursuant to Chapter	5067
174. of the Revised Code.	5068

(F) "Lending institution" means any financial institution	5069
qualified to conduct business in this state, a subsidiary	5070
corporation that is wholly owned by a financial institution	5071
qualified to conduct business in this state, and a mortgage lender	5072
whose regular business is originating, servicing, or brokering	5073
real estate loans and who is qualified to do business in this	5074
state.	5075

(G) "Loan" means any extension of credit or other form of	5076
financing or indebtedness directly or indirectly to a borrower	5077
with the expectation that it will be repaid in accordance with the	5078
terms of the underlying loan agreement or other pertinent	5079
document. "Loan" includes financing extended to lending	5080
institutions and indebtedness purchased from lending institutions.	5081

(H) "Loan guarantee" means any agreement in favor of a	5082
lending institution or other lender in which the credit and	5083
resources of the housing trust fund are pledged to secure the	5084
payment or collection of financing extended to a borrower for the	5085
acquisition, construction, improvement, rehabilitation or	5086
preservation of housing, or to refinance any financing previously	5087
extended for those purposes by any lender.	5088

(I) "Loan subsidy" means any deposit of funds into a lending	5089
institution with the authorization or direction that the income or	5090
revenues the deposit earns, or could have earned at competitive	5091
rates, be applied directly or indirectly to the benefit of housing	5092
assistance or financial assistance.	5093

(J) "Low- and moderate-income persons" means individuals and	5094
families who qualify as low- and moderate-income persons pursuant	5095
to guidelines the department of development services agency	5096
establishes.	5097

(K) "Multifamily rental housing" means multiple unit housing	5098
intended for rental occupancy.	5099

(L) "Nonprofit organization" means a nonprofit organization	5100
in good standing and qualified to conduct business in this state	5101
including any corporation whose members are members of a	5102
metropolitan housing authority.	5103

(M) "Department of development" means the development	5104
services agency and "director of development" means the director	5105
of development services.	5106

Sec. 184.01.  (A) There is hereby created the third frontier	5107
commission in the department of development services agency. The	5108
purpose of the commission is to coordinate and administer science	5109
and technology programs to promote the welfare of the people of	5110
the state and to maximize the economic growth of the state through	5111
expansion of both of the following:	5112

(1) The state's high technology research and development	5113
capabilities;	5114

(2) The state's product and process innovation and	5115
commercialization.	5116

(B)(1) The commission shall consist of nineeleven members:	5117
the director of development services, the chancellor of the Ohio	5118
board of regents, the governor's science and technology advisor,	5119
the chief investment officer of the nonprofit corporation formed	5120
under section 187.01 of the Revised Code, and sixseven persons	5121
appointed by the governor with the advice and consent of the	5122
senate.	5123

(2) Of the sixseven persons appointed by the governor, one	5124
shall represent the central region, which is composed of the	5125
counties of Delaware, Fairfield, Fayette, Franklin, Hocking, Knox,	5126
Licking, Logan, Madison, Marion, Morrow, Perry, Pickaway, Ross,	5127
and Union; one shall represent the west central region, which is	5128
composed of the counties of Champaign, Clark, Darke, Greene,	5129
Miami, Montgomery, Preble, and Shelby; one shall represent the	5130
northeast region, which is composed of the counties of Ashland,	5131
Ashtabula, Carroll, Crawford, Columbiana, Cuyahoga, Erie, Geauga,	5132
Holmes, Huron, Lake, Lorain, Mahoning, Medina, Portage, Richland,	5133
Stark, Summit, Trumbull, Tuscarawas, and Wayne; one shall	5134
represent the northwest region, which is composed of the counties	5135
of Allen, Auglaize, Defiance, Fulton, Hancock, Hardin, Henry,	5136
Lucas, Mercer, Ottawa, Paulding, Putnam, Sandusky, Seneca, Van	5137
Wert, Williams, Wood, and Wyandot; one shall represent the	5138
southeast region, which shall represent the counties of Adams,	5139
Athens, Belmont, Coshocton, Gallia, Guernsey, Harrison, Jackson,	5140
Jefferson, Lawrence, Meigs, Monroe, Morgan, Muskingum, Noble,	5141
Pike, Scioto, Vinton, and Washington; and one shall represent the	5142
southwest region, which is composed of the counties of Butler,	5143
Brown, Clermont, Clinton, Hamilton, Highland, and Warren; and one	5144
shall represent the public at large. Of the initial appointments,	5145
two shall be for one year, two shall be for two years, and two	5146
shall be for three years as assigned by the governor. Thereafter,	5147
appointments shall be for three-year terms. Members may be	5148
reappointed and vacancies shall be filled in the same manner as	5149
appointments. A person must have a background in business or	5150
research in order to be eligible for appointment to the	5151
commission.	5152

(3) The governor shall select a chairperson from among the	5153
members, who shall serve in that role at the pleasure of the	5154
governor. Sections 101.82 to 101.87 of the Revised Code do not	5155
apply to the commission.	5156

(C) The commission shall meet at least once during each	5157
quarter of the calendar year or at the call of the chairperson. A	5158
majority of all members of the commission constitutes a quorum,	5159
and no action shall be taken without the concurrence of a majority	5160
of the members.	5161

(D) The commission shall administer any money that may be	5162
appropriated to it by the general assembly. The commission may use	5163
such money for research and commercialization and for any other	5164
purposes that may be designated by the commission.	5165

(E) The department of development services agency shall	5166
provide office space and facilities for the commission.	5167
Administrative costs associated with the operation of the	5168
commission or with any program or activity administered by the	5169
commission shall be paid from amounts appropriated to the	5170
commission or to the department of developmentagency for such	5171
purposes.	5172

(F) The attorney general shall serve as the legal	5173
representative for the commission and may appoint other counsel as	5174
necessary for that purpose in accordance with section 109.07 of	5175
the Revised Code.	5176

(G) Members of the commission shall serve without	5177
compensation, but shall receive their reasonable and necessary	5178
expenses incurred in the conduct of commission business.	5179

(H) Members of the commission shall file financial disclosure	5180
statements described in division (B) of section 102.02 of the	5181
Revised Code.	5182

Sec. 184.011. As used in this chapter, "department of	5183
development" means the development services agency and "director	5184
of development" means the director of development services.	5185

Sec. 187.01. As used in this chapter, "JobsOhio" means the	5186
nonprofit corporation formed under this section, and includes any	5187
subsidiary of that corporation. In any section of law that refers	5188
to the nonprofit corporation formed under this section, reference	5189
to the corporation includes reference to any such subsidiary	5190
unless otherwise specified or clearly appearing from the context.	5191

The governor is hereby authorized to form a nonprofit	5192
corporation, to be named "JobsOhio," with the purposes of	5193
promoting economic development, job creation, job retention, job	5194
training, and the recruitment of business to this state. Except as	5195
otherwise provided in this chapter, the corporation shall be	5196
organized and operated in accordance with Chapter 1702. of the	5197
Revised Code. The governor shall sign and file articles of	5198
incorporation for the corporation with the secretary of state. The	5199
legal existence of the corporation shall begin upon the filing of	5200
the articles.	5201

In addition to meeting the requirements for articles of	5202
incorporation in Chapter 1702. of the Revised Code, the articles	5203
of incorporation for the nonprofit corporation shall set forth the	5204
following:	5205

(A) The designation of the name of the corporation as	5206
JobsOhio;	5207

(B) The creation of a board of directors consisting of nine	5208
directors, to be appointed by the governor, who satisfy the	5209
qualifications prescribed by section 187.02 of the Revised Code;	5210

(C) A requirement that the governor make initial appointments	5211
to the board within sixty days after the filing of the articles of	5212
incorporation. Of the initial appointments made to the board, two	5213
shall be for a term ending one year after the date the articles	5214
were filed, two shall be for a term ending two years after the	5215
date the articles were filed, and five shall be for a term ending	5216
four years after the date the articles were filed. The articles	5217
shall state that, following the initial appointments, the governor	5218
shall appoint directors to terms of office of four years, with	5219
each term of office ending on the same day of the same month as	5220
did the term that it succeeds. If any director dies, resigns, or	5221
the director's status changes such that any of the requirements of	5222
division (C) of section 187.02 of the Revised Code are no longer	5223
met, that director's seat on the board shall become immediately	5224
vacant. The governor shall forthwith fill the vacancy by	5225
appointment for the remainder of the term of office of the vacated	5226
seat.	5227

(D) A requirement that the governor appoint one director to	5228
be chairperson of the board and procedures for electing directors	5229
to serve as officers of the corporation and members of an	5230
executive committee;	5231

(E) A provision for the appointment of a chief investment	5232
officer of the corporation by the recommendation of the board and	5233
approval of the governor. The chief investment officer shall serve	5234
at the pleasure of the board and shall have the power to execute	5235
contracts, spend corporation funds, and hire employees on behalf	5236
of the corporation. If the position of chief investment officer	5237
becomes vacant for any reason, the vacancy shall be filled in the	5238
same manner as provided in this division.	5239

(F) Provisions requiring the board to do all of the	5240
following:	5241

(1) Adopt one or more resolutions providing for compensation	5242
of the chief investment officer;	5243

(2) Approve an employee compensation plan recommended by the	5244
chief investment officer;	5245

(3) Approve a contract with the director of development	5246
services for the corporation to assist the director and the	5247
department of development services agency with providing services	5248
or otherwise carrying out the functions or duties of the	5249
departmentagency, including the operation and management of	5250
programs, offices, divisions, or boards, as may be determined by	5251
the director of development services in consultation with the	5252
governor;	5253

(4) Approve all major contracts for services recommended by	5254
the chief investment officer;	5255

(5) Establish an annual strategic plan and standards of	5256
measure to be used in evaluating the corporation's success in	5257
executing the plan;	5258

(6) Establish a conflicts of interest policy that, at a	5259
minimum, complies with section 187.06 of the Revised Code;	5260

(7) Hold a minimum of four board of directors meetings per	5261
year at which a quorum of the board is physically present, and	5262
such other meetings, at which directors' physical presence is not	5263
required, as may be necessary. Meetings at which a quorum of the	5264
board is required to be physically present are subject to	5265
divisions (C), (D), and (E) of section 187.03 of the Revised Code.	5266

(8) Establish a records retention policy and present the	5267
policy, and any subsequent changes to the policy, at a meeting of	5268
the board of directors at which a quorum of the board is required	5269
to be physically present pursuant to division (F)(7) of this	5270
section;	5271

(9) Adopt standards of conduct for the directors.

5272

(G) A statement that directors shall not receive any	5273
compensation from the corporation, except that directors may be	5274
reimbursed for actual and necessary expenses incurred in	5275
connection with services performed for the corporation;	5276

(H) A provision authorizing the board to amend provisions of	5277
the corporation's articles of incorporation or regulations, except	5278
provisions required by this chapter;	5279

(I) Procedures by which the corporation would be dissolved	5280
and by which all corporation rights and assets would be	5281
distributed to the state or to another corporation organized under	5282
this chapter. These procedures shall incorporate any separate	5283
procedures subsequently set forth in this chapter for the	5284
dissolution of the corporation. The articles shall state that no	5285
dissolution shall take effect until the corporation has made	5286
adequate provision for the payment of any outstanding bonds,	5287
notes, or other obligations.	5288

(J) A provision establishing an audit committee to be	5289
comprised of directors. The articles shall require that the audit	5290
committee hire an independent certified public accountant to	5291
perform a financial audit of the corporation at least once every	5292
year.	5293

(K) A provision authorizing a majority of the disinterested	5294
directors to remove a director for misconduct, as that term may be	5295
defined in the articles or regulations of the corporation. The	5296
removal of a director under this division creates a vacancy on the	5297
board that the governor shall fill by appointment for the	5298
remainder of the term of office of the vacated seat.	5299

Sec. 187.03. (A) JobsOhio may perform such functions as	5300
permitted and shall perform such duties as prescribed by law and	5301
as set forth in any contract entered into under section 187.04 of	5302
the Revised Code, but shall not be considered a state or public	5303
department, agency, office, body, institution, or instrumentality	5304
for purposes of section 1.60 or Chapter 102., 121., 125., or 149.	5305
of the Revised Code. JobsOhio and its board of directors are not	5306
subject to the following sections of Chapter 1702. of the Revised	5307
Code: sections 1702.03, 1702.08, 1702.09, 1702.21, 1702.24,	5308
1702.26, 1702.27, 1702.28, 1702.29, 1702.301, 1702.33, 1702.34,	5309
1702.37, 1702.38, 1702.40 to 1702.52, 1702.521, 1702.54, 1702.57,	5310
1702.58, 1702.59, 1702.60, 1702.80, and 1702.99. Nothing in this	5311
division shall be construed to impair the powers and duties of the	5312
Ohio ethics commission described in section 102.06 of the Revised	5313
Code to investigate and enforce section 102.02 of the Revised Code	5314
with regard to individuals required to file statements under	5315
division (B)(2) of this section.	5316

(B)(1) Directors and employees of JobsOhio are not employees	5317
or officials of the state and, except as provided in division	5318
(B)(2) of this section, are not subject to Chapter 102., 124.,	5319
145., or 4117. of the Revised Code.	5320

(2) The chief investment officer, any other officer or	5321
employee with significant administrative, supervisory,	5322
contracting, or investment authority, and any director of JobsOhio	5323
shall file, with the Ohio ethics commission, a financial	5324
disclosure statement pursuant to section 102.02 of the Revised	5325
Code that includes, in place of the information required by	5326
divisions (A)(2), (7), (8), and (9) of that section, the	5327
information required by divisions (A) and (B) of section 102.022	5328
of the Revised Code. The governor shall comply with all applicable	5329
requirements of section 102.02 of the Revised Code.	5330

(3) Actual or in-kind expenditures for the travel, meals, or	5331
lodging of the governor or of any public official or employee	5332
designated by the governor for the purpose of this division shall	5333
not be considered a violation of section 102.03 of the Revised	5334
Code if the expenditures are made by the corporation, or on behalf	5335
of the corporation by any person, in connection with the	5336
governor's performance of official duties related to JobsOhio. The	5337
governor may designate any person, including a person who is a	5338
public official or employee as defined in section 102.01 of the	5339
Revised Code, for the purpose of this division if such	5340
expenditures are made on behalf of the person in connection with	5341
the governor's performance of official duties related to JobsOhio.	5342
A public official or employee so designated by the governor shall	5343
comply with all applicable requirements of section 102.02 of the	5344
Revised Code.	5345

At the times and frequency agreed to under division (B)(2)(b)	5346
of section 187.04 of the Revised Code, beginning in 2012, the	5347
corporation shall file with the department of development services	5348
agency a written report of all such expenditures paid or incurred	5349
during the preceding calendar year. The report shall state the	5350
dollar value and purpose of each expenditure, the date of each	5351
expenditure, the name of the person that paid or incurred each	5352
expenditure, and the location, if any, where services or benefits	5353
of an expenditure were received, provided that any such	5354
information that may disclose proprietary information as defined	5355
in division (C) of this section shall not be included in the	5356
report.	5357

(4) The prohibition applicable to former public officials or	5358
employees in division (A)(1) of section 102.03 of the Revised Code	5359
does not apply to any person appointed to be a director or hired	5360
as an employee of JobsOhio.	5361

(5) Notwithstanding division (A)(2) of section 145.01 of the	5362
Revised Code, any person who is a former state employee shall no	5363
longer be considered a public employee for purposes of Chapter	5364
145. of the Revised Code upon commencement of employment with	5365
JobsOhio.	5366

(6) Any director, officer, or employee of JobsOhio may	5367
request an advisory opinion from the Ohio ethics commission with	5368
regard to questions concerning the provisions of sections 102.02	5369
and 102.022 of the Revised Code to which the person is subject.	5370

(C) Meetings of the board of directors at which a quorum of	5371
the board is required to be physically present pursuant to	5372
division (F) of section 187.01 of the Revised Code shall be open	5373
to the public except, by a majority vote of the directors present	5374
at the meeting, such a meeting may be closed to the public only	5375
for one or more of the following purposes:	5376

(1) To consider business strategy of the corporation;

5377

(2) To consider proprietary information belonging to	5378
potential applicants or potential recipients of business	5379
recruitment, retention, or creation incentives. For the purposes	5380
of this division, "proprietary information" means marketing plans,	5381
specific business strategy, production techniques and trade	5382
secrets, financial projections, or personal financial statements	5383
of applicants or members of the applicants' immediate family,	5384
including, but not limited to, tax records or other similar	5385
information not open to the public inspection.	5386

(3) To consider legal matters, including litigation, in which	5387
the corporation is or may be involved;	5388

(4) To consider personnel matters related to an individual	5389
employee of the corporation.	5390

(D) The board of directors shall establish a reasonable	5391
method whereby any person may obtain the time and place of all	5392
public meetings described in division (C) of this section. The	5393
method shall provide that any person, upon request and payment of	5394
a reasonable fee, may obtain reasonable advance notification of	5395
all such meetings.	5396

(E) The board of directors shall promptly prepare, file, and	5397
maintain minutes of all public meetings described in division (C)	5398
of this section.	5399

(F) Not later than March 1, 2012, and the first day of March	5400
of each year thereafter, the chief investment officer of JobsOhio	5401
shall prepare and submit a report of the corporation's activities	5402
for the preceding year to the governor, the speaker and minority	5403
leader of the house of representatives, and the president and	5404
minority leader of the senate. The annual report shall include the	5405
following:	5406

(1) An analysis of the state's economy;

5407

(2) A description of the structure, operation, and financial	5408
status of the corporation;	5409

(3) A description of the corporation's strategy to improve	5410
the state economy and the standards of measure used to evaluate	5411
its progress;	5412

(4) An evaluation of the performance of current strategies	5413
and major initiatives;	5414

(5) An analysis of any statutory or administrative barriers	5415
to successful economic development, business recruitment, and job	5416
growth in the state identified by JobsOhio during the preceding	5417
year.	5418

Sec. 187.04. (A) The director of development services, as	5419
soon as practical after the effective date of this section	5420
February 18, 2011, shall execute a contract with JobsOhio for the	5421
corporation to assist the director and the department of	5422
development services agency with providing services or otherwise	5423
carrying out the functions or duties of the departmentagency,	5424
including the operation and management of programs, offices,	5425
divisions, or boards, as may be determined by the director in	5426
consultation with the governor. The approval or disapproval of	5427
awards involving public money shall remain functions of the	5428
departmentagency. All contracts for grants, loans, and tax	5429
incentives involving public money shall be between the department	5430
agency and the recipient and shall be enforced by the department	5431
agency. JobsOhio may not execute contracts obligating the	5432
departmentagency for loans, grants, tax credits, or incentive	5433
awards recommended by JobsOhio to the departmentagency. Prior to	5434
execution, all contracts between the director and JobsOhio entered	5435
into under this section that obligate the agency to pay JobsOhio	5436
for services rendered are subject to controlling board approval.	5437

The term of aan initial contract entered into under this	5439
section shall not extend beyond June 30, 2013. Thereafter, the	5440
director and JobsOhio may renew the contract for subsequent fiscal	5441
biennia, but at no time shall a particular contract be effective	5442
for longer than a fiscal biennium of the general assembly, but	5443
may be renewed or amended by the parties.	5444

JobsOhio's provision of services to the agency as described	5445
in this section shall be pursuant to a contract entered into under	5446
this section. If at any time the director determines that the	5447
contract with JobsOhio may not be renewed for the subsequent	5448
fiscal biennium, the director shall notify JobsOhio of the	5449
director's decision not later than one hundred twenty days prior	5450
to the end of the current fiscal biennium. If the director does	5451
not provide such written notice to JobsOhio prior to one hundred	5452
days before the end of the current fiscal biennium, the contract	5453
shall be renewed upon such terms as the parties may agree, subject	5454
to the requirements of this section.	5455

(B) A contract entered into under this section shall include	5456
all of the following:	5457

(1) Terms assigning to the corporation the duties of advising	5458
and assisting the director of development in the director's	5459
evaluation of the departmentagency and the formulation of	5460
recommendations under section 187.05 of the Revised Code;	5461

(2) Terms designating records created or received by JobsOhio	5462
that shall be made available to the public under the same	5463
conditions as are public records under section 149.43 of the	5464
Revised Code. Documents designated to be made available to the	5465
public pursuant to the contract shall be kept on file with the	5466
department of developmentagency.	5467

Among records to be designated under this division shall be	5468
the following:	5469

(a) The corporation's federal income tax returns;

5470

(b) The report of expenditures described in division (B)(3)	5471
of section 187.03 of the Revised Code. The records shall be filed	5472
with the departmentagency at such times and frequency as agreed	5473
to by the corporation and the departmentagency, which shall not	5474
be less frequently than quarterly.	5475

(c) The annual total compensation paid to each officer and	5476
employee of the corporation;	5477

(d) A copy of the audit report for each financial audit of	5478
the corporation performed by an independent certified public	5479
accountant pursuant to division (J) of section 187.01 of the	5480
Revised Code.	5481

(e) Records of any fully executed incentive proposals, to be	5482
filed annually;	5483

(f) Records pertaining to the monitoring of commitments made	5484
by incentive recipients, to be filed annually;	5485

(g) A copy of the minutes of all public meetings described in	5486
division (C) of section 187.03 of the Revised Code not otherwise	5487
closed to the public.	5488

(3) The following statement acknowledging that JobsOhio is	5489
not acting as an agent of the state:	5490

"JobsOhio shall have no power or authority to bind the state	5491
or to assume or create an obligation or responsibility, expressed	5492
or implied, on behalf of the state or in its name, nor shall	5493
JobsOhio represent to any person that it has any such power or	5494
authority, except as expressly provided in this contract."	5495

(C) (1) Records created or received by JobsOhio are not	5496
public records for the purposes of section 149.43Chapter 149. of	5497
the Revised Code, regardless of who may have custody of the	5498
records, unless the record is designated to be available to the	5499
public by the contract under division (B)(2) of this section.	5500

(2) Records received by JobsOhio from any person or entity	5501
that is not subject to section 149.43 of the Revised Code are not	5502
public records for purposes of Chapter 149. of the Revised Code,	5503
regardless of who may have custody of the records, unless the	5504
record is designated to be available to the public by the contract	5505
under division (B)(2) of this section.	5506

(3) Records received by JobsOhio from a public office as	5507
defined in section 149.011 of the Revised Code that are not public	5508
records under section 149.43 of the Revised Code when in the	5509
custody of the public office are not public records for the	5510
purposes of section 149.43 of the Revised Code regardless of who	5511
has custody of the records.	5512

(D) Any contract executed under authority of this section	5513
shall not negate, impair, or otherwise adversely affect the	5514
obligation of this state to pay debt charges on securities	5515
executed by the director of development or issued by the treasurer	5516
of state, Ohio public facilities commission, or any other issuing	5517
authority under Chapter 122., 151., 165., or 166. of the Revised	5518
Code to fund economic development programs of the state, or to	5519
abide by any pledge or covenant relating to the payment of those	5520
debt charges made in any related proceedings. As used in this	5521
division, "debt charges," "proceedings," and "securities" have the	5522
same meanings as in section 133.01 of the Revised Code.	5523

(E) Nothing in this section, other than the requirement of	5524
controlling board approval, shall prohibit the departmentagency	5525
from contracting with JobsOhio to perform any of the following	5526
functions:	5527

(1) Promoting and advocating for the state;

5528

(2) Making recommendations to the departmentagency;

5529

(3) Performing research for the departmentagency;

5530

(4) Establishing and managing programs or offices on behalf	5531
of the departmentagency, by contract;	5532

(5) Negotiating on behalf of the state.

5533

(F) Nothing in this section, other than the requirement of	5534
controlling board approval, shall prohibit the departmentagency	5535
from compensating JobsOhio from funds currently appropriated to	5536
the departmentagency to perform the functions described in	5537
division (E) of this section.	5538

Sec. 187.05.  The director of development services, as soon	5539
as practical after the effective date of this sectionFebruary 18,	5540
2011, shall, in consultation with the governor, evaluate all	5541
powers, functions, and duties of the departmentdevelopment	5542
services agency. Within six months after that effective date	5543
February 18, 2011, the director shall submit a report to the	5544
general assembly recommending statutory changes necessary to	5545
improve the functioning and efficiency of the departmentagency	5546
and to transfer specified powers, functions, and duties of the	5547
departmentagency to other existing agencies of the state or to	5548
JobsOhio, or eliminate specified powers, functions, or duties. The	5549
recommendations shall be submitted in writing to the speaker and	5550
minority leader of the house of representatives and the president	5551
and minority leader of the senate.	5552

After submitting the report, the director, in consultation	5553
with the governor, shall continue to evaluate the department	5554
agency and make additional recommendations on such matters to the	5555
general assembly.	5556

Sec. 187.061.  (A) Each officer and employee of JobsOhio	5557
shall do all of the following:	5558

(1) Sign an ethical conduct statement prescribed by the board	5559
of directors of JobsOhio;	5560

(2) Complete an annual course or program of study on ethics.	5561
The course or program of study shall be reviewed and approved by	5562
the board of directors.	5563

(3) Comply with the gift policy prescribed by the board of	5564
directors.	5565

(B) Prior to the renewal of the contract between the director	5566
of development services and JobsOhio as described in section	5567
187.04 of the Revised Code, the board of directors shall submit to	5568
the controlling board a comprehensive review of the ethics	5569
policies and procedures that have been adopted by JobsOhio.	5570

Sec. 929.03.  (A)(1) No public entity with authority to levy	5571
special assessments on real property shall collect an assessment	5572
for purposes of sewer, water, or electrical service on real	5573
property that is within an agricultural district as described in	5574
division (A)(2) of this section without the permission of the	5575
owner, except that any assessment may be collected on a lot	5576
surrounding a dwelling or other structure not used in agricultural	5577
production that does not exceed one acre or the minimum area	5578
required by local zoning or subdivision rules, whichever is the	5579
greater area.	5580

(2) For purposes of division (A)(1) of this section, an	5581
agricultural district is such a district that is established:	5582

(a) In the case of counties, prior to the adoption of a	5583
resolution of necessity by a board of county commissioners,	5584
pursuant to section 6103.05 or 6117.06 of the Revised Code;	5585

(b) In the case of municipal corporations, prior to whichever	5586
of the following occurs first:	5587

(i) The adoption of the resolution of necessity by the	5588
municipal legislative authority, pursuant to section 727.12 or	5589
729.02 of the Revised Code;	5590

(ii) The service of notice on all or some of the owners to be	5591
assessed pursuant to section 729.06 of the Revised Code;	5592

(iii) The adoption of the resolution or ordinance by the	5593
municipal legislative authority declaring the necessity for the	5594
improvement, the costs of which are to be assessed under	5595
procedures authorized by a municipal charter adopted pursuant to	5596
Section 7 of Article XVIII, Ohio Constitution, or, if no such	5597
ordinance or resolution is required under the charter, the service	5598
of the first notice on all or some of the owners of lands to be	5599
assessed, or the adoption of the first ordinance or resolution by	5600
the municipal legislative authority pertaining to the assessment	5601
proceedings under the charter.	5602

(c) In the case of a regional water and sewer district	5603
established pursuant to Chapter 6119. of the Revised Code, prior	5604
to the adoption of a resolution of necessity by the board of	5605
trustees of the district under section 6119.25 of the Revised	5606
Code.	5607

(B) For each special assessment levied by a public entity on	5608
real property within an agricultural district for purposes of	5609
sewer, water, or electrical service, the county auditor shall make	5610
and maintain a list showing:	5611

(1) The name of the owner of each lot, tract, or parcel of	5612
land that is exempt from the collection of the special assessment	5613
under this section;	5614

(2) A description of the exempt land;

5615

(3) The purpose of the special assessment;

5616

(4) The amount of the uncollected assessment on the exempt	5617
land.	5618

In the case of a county project constructed under Chapter	5619
6103. or 6117. of the Revised Code, the county auditor may use a	5620
list provided for in those chapters in lieu of the list required	5621
by division (B) of this section. The auditor shall also record in	5622
the water works record required by section 6103.16 of the Revised	5623
Code or the sewer improvement record required by section 6117.33	5624
of the Revised Code those assessments not collected under this	5625
section. The recording of the assessments does not permit the	5626
collection of the assessments until such time as exempt lands are	5627
withdrawn from agricultural districts or converted to	5628
nonagricultural use.	5629

(C) If at any time any of the owner's exempt land, other than	5630
a lot sold or transferred to a son, daughter, brother, sister,	5631
mother, or father for the purpose of constructing a dwelling in	5632
which the relative will reside for at least three years, is	5633
withdrawn from an agricultural district or if the owner of the	5634
exempt land uses on that land the service for which the special	5635
assessment was assessed, the public entity may collect the entire	5636
uncollected assessment, except as otherwise provided in this	5637
division, in addition to an amount equal to the rate of interest	5638
that any bonds or notes issued for the project for which the	5639
assessment was made did bear for the number of years the land was	5640
exempted, not to exceed twenty-five or the number of years for	5641
which the bonds or notes were issued, whichever is the lesser	5642
number. The owner shall notify the county auditor of any	5643
withdrawal from a district or use of the service within ninety	5644
days following the withdrawal or use of the service. The charge	5645
shall constitute a lien of the public entity upon the land and	5646
shall continue until discharged. All liens shall be recorded in	5647
the appropriate county recorder's office. Moneys collected as a	5648
result of the charge shall be deposited in the appropriate fund of	5649
the public entity that levied the special assessment.	5650

If the owner of exempt land sells or transfers a lot to his	5651
the owner's son, daughter, brother, sister, mother, or father for	5652
the purpose of constructing a dwelling in which the relative will	5653
reside for at least three years, and if the owner or the buyer of	5654
the lot uses the service for which the special assessment was	5655
assessed only to provide service to that lot, the owner of the lot	5656
shall pay only that portion of the uncollected assessment and	5657
interest that applies to the lot.	5658

If at any time any part of an owner's exempt land is	5659
appropriated, the owner shall pay only that portion of the	5660
uncollected assessment and interest that applies to the	5661
appropriated parcel of land.	5662

In lieu of immediate payment of the uncollected assessment	5663
and interest, the board of county commissioners, legislative	5664
authority of a municipal corporation, or other governing board of	5665
any other public entity may, upon the request of the owner,	5666
establish an extended repayment schedule for the owner. If the	5667
board, legislative authority, or other governing board establishes	5668
such a schedule, it shall notify the county auditor of the	5669
schedule.	5670

(D) A board of county commissioners, legislative authority of	5671
a municipal corporation, or other governing board of any other	5672
public entity may apply to the water and sewer commission, created	5673
by division (C) of section 1525.11 of the Revised Code, for an	5674
advance of moneys from the water and sewer fund, created by	5675
division (A) of section 1525.11 of the Revised Code, in an amount	5676
equal to that portion of the costs of a water or sewer improvement	5677
authorized by law that is to be financed by assessments whose	5678
collection is prohibited under division (A) of this section. The	5679
application for such an advance of moneys shall be made in the	5680
manner prescribed by rules of the commission. Upon collection of	5681
any assessment whose collection was prohibited under division (A)	5682
of this section, the board of county commissioners, legislative	5683
authority, or other governing board shall repay the commission the	5684
amount of any moneys advanced by it in regard to the assessments.	5685

Sec. 1551.01.  As used in this chapter:

5686

(A) "Governmental agency" means the United States government	5687
or any department, agency, or instrumentality thereof; any	5688
department, agency, or instrumentality of a state government; any	5689
municipal corporation, county, township, board of education, or	5690
other political subdivision or any other body corporate and	5691
politic of a state; or any agency, commission, or authority	5692
established under an interstate compact or agreement.	5693

(B) "Energy resource development facility" means any energy	5694
resource development, research, or conservation facility,	5695
including pilot as well as demonstration facilities, and including	5696
undivided or other interests therein, acquired or to be acquired,	5697
or constructed or to be constructed under this chapter or Chapter	5698
6121. or 6123. of the Revised Code, or acquired or to be acquired,	5699
or constructed or to be constructed by a governmental agency or	5700
person with all or a part of the cost thereof being paid from a	5701
loan or grant under such chapters, including all buildings and	5702
facilities that the director of development services determines	5703
necessary for the operation of the facility, together with all	5704
property, rights, easements, and interests that may be required	5705
for the operation of the facility, which facilities may include:	5706

(1) Any building, testing facility, testing device, or	5707
support facilities which would provide experimental,	5708
demonstration, or testing capabilities or services not otherwise	5709
available in this state and which are necessary for the	5710
accomplishment of the purposes of this chapter;	5711

(2) Any method, process, structure, or equipment that is used	5712
to store coal, oil, natural gas, fuel for nuclear reactors, or any	5713
other form of energy;	5714

(3) Any method, process, structure, or equipment that is used	5715
to recover or convert coal, oil, natural gas, steam, or other form	5716
of energy from property located within the state for the purpose	5717
of supplying energy for utilization;	5718

(4) Any method, process, structure, or equipment that is	5719
designed to result in more efficient recovery, conversion, or	5720
utilization of energy resources within the state, including any	5721
scrap tire recovery facility for which a registration certificate	5722
or permit has been issued under section 3734.78 of the Revised	5723
Code;	5724

(5) Any improvement that is designed to improve the thermal	5725
efficiency of a building or structure or reduce the fuel or power	5726
needed to heat, cool, light, ventilate, or provide hot water in a	5727
building or structure;	5728

(6) Any improvement designed to enable the substitution of	5729
coal or alternate fuel, other than natural gas, for natural gas or	5730
a petroleum fuel, or the conversion of coal to other fuels;	5731

(7) Any improvement designed to enable the combustion of high	5732
sulfur coal in compliance with air or water pollution control or	5733
solid waste disposal laws, including, but not limited to, any	5734
facility for processing coal to remove sulfur before combustion of	5735
the coal, for fluidized bed combustion, or for removal of the	5736
sulfur before the products of combustion are emitted or	5737
discharged.	5738

(C) "Cost" as applied to an energy resource development	5739
facility means the cost of acquisition and construction, the cost	5740
of acquisition of all land, rights-of-way, property rights,	5741
easements, franchise rights, and interests required for such	5742
acquisition and construction, the cost of demolishing or removing	5743
any buildings or structures on land so acquired, including the	5744
cost of acquiring any lands to which such buildings or structures	5745
may be moved, the cost of acquiring or constructing and equipping	5746
a principal office and sub-offices of the department of	5747
development, the cost of diverting highways, interchange of	5748
highways, access roads to private property, including the cost of	5749
land or easements for such access roads, the cost of public	5750
utility and common carrier relocation or duplication, the cost of	5751
all machinery, furnishings, and equipment, financing charges,	5752
interest prior to and during construction and for no more than	5753
eighteen months after completion of construction, engineering,	5754
expenses of research and development with respect to the facility,	5755
legal expenses, plans, specifications, surveys, studies, estimates	5756
of cost and revenues, working capital, other expenses necessary or	5757
incident to determining the feasibility or practicability of	5758
acquiring or constructing such facility, administrative expense,	5759
and such other expense as may be necessary or incident to the	5760
acquisition or construction of the facility, the financing of such	5761
acquisition or construction, including the amount authorized in	5762
the resolution of the Ohio water development authority providing	5763
for the issuance of energy resource development revenue bonds to	5764
be paid into any special funds from the proceeds of such bonds,	5765
and the financing of the placing of such facility in operation.	5766
Any obligation, cost, or expense incurred after August 26, 1975,	5767
by any governmental agency or person for surveys, borings,	5768
preparation of plans and specifications, and other engineering	5769
services, or any other cost described above, in connection with	5770
the acquisition or construction of a facility may be regarded as a	5771
part of the cost of such facility and may be reimbursed out of the	5772
proceeds of energy resource development revenue bonds.	5773

(D) "Revenues" means all rentals and other charges received	5774
by the Ohio water development authority for the use or services of	5775
any energy resource development facility, any contract, gift, or	5776
grant received with respect to any energy resource development	5777
facility, and moneys received with respect to the lease, sublease,	5778
sale, including installment sale or conditional sale, or other	5779
disposition of an energy resource development facility, moneys	5780
received in repayment of and for interest on any loans made by the	5781
authority to a person or governmental agency, whether from the	5782
United States or any department, administration, or agency	5783
thereof, or otherwise, proceeds of energy resource development	5784
revenue bonds to the extent that the use thereof for payment of	5785
principal of, premium, if any, or interest on the bonds is	5786
authorized by the authority, proceeds from any insurance,	5787
condemnation, or guaranty pertaining to a facility or property	5788
mortgaged to secure bonds or pertaining to the financing of a	5789
facility, and income and profit from the investment of the	5790
proceeds of energy resource development revenue bonds or of any	5791
revenues.	5792

(E) "Construction," unless the context indicates a different	5793
meaning or intent, includes construction, reconstruction,	5794
enlargement, improvement, or providing furnishings or equipment.	5795

(F) "Energy resource development revenue bonds," unless the	5796
context indicates a different meaning or intent, includes energy	5797
resource development revenue bonds, energy resource development	5798
revenue notes, and energy resource development revenue refunding	5799
bonds.	5800

(G) "Energy" means work or heat that is, or can be, produced	5801
from any fuel or source whatsoever.	5802

(H) "Energy audit" means any process by which energy usage or	5803
costs of heating, cooling, lighting, and climate control in a	5804
building or structure are determined.	5805

(I) "Energy conservation" means preservation of energy	5806
resources by efficient utilization, and reduction of waste.	5807

(J) "Energy conservation measure" means any modification of a	5808
building, structure, machine, appliance, vehicle, improvement, or	5809
process in order to improve its efficiency of energy use or energy	5810
costs.	5811

(K) "Fuel" means petroleum, crude oil, petroleum product,	5812
coal, natural gas, synthetic natural or artificial gas, nuclear,	5813
or other substance used primarily for its energy content.	5814

(L) "Net energy analysis" means the determination of the	5815
amount of energy remaining after all energy outputs have been	5816
subtracted from the energy inputs of a given system.	5817

(M) "Department of development" means the development	5818
services agency and "director of development" means the director	5819
of development services.	5820

Sec. 3735.01. As used in this chapter, "department of	5821
development" means the development services agency and "director	5822
of development" means the director of development services.	5823

Sec. 3735.672.  (A) On or before the thirty-first day of	5824
March each year, a legislative authority that has entered into an	5825
agreement with a party under section 3735.671 of the Revised Code	5826
shall submit to the director of development services and the board	5827
of education of each school district of which a municipal	5828
corporation or township to which such an agreement applies is a	5829
part a report on all such agreements in effect during the	5830
preceding calendar year. The report shall include the following	5831
information:	5832

(1) The designation, assigned by the director of development	5833
services, of each community reinvestment area within the municipal	5834
corporation or county, and the total population of each area	5835
according to the most recent data available;	5836

(2) The number of agreements and the number of full-time	5837
employees subject to those agreements within each area, each	5838
according to the most recent data available and identified and	5839
categorized by the appropriate standard industrial code, and the	5840
rate of unemployment in the municipal corporation or county in	5841
which the area is located for each year since the area was	5842
certified;	5843

(3) The number of agreements approved and executed during the	5844
calendar year for which the report is submitted, the total number	5845
of agreements in effect on the thirty-first day of December of the	5846
preceding calendar year, the number of agreements that expired	5847
during the calendar year for which the report is submitted, and	5848
the number of agreements scheduled to expire during the calendar	5849
year in which the report is submitted. For each agreement that	5850
expired during the calendar year for which the report is	5851
submitted, the legislative authority shall include the amount of	5852
taxes exempted under the agreement.	5853

(4) The number of agreements receiving compliance reviews by	5854
the tax incentive review council in the municipal corporation or	5855
county during the calendar year for which the report is submitted,	5856
including all of the following information:	5857

(a) The number of agreements the terms of which the party has	5858
complied with, indicating separately for each such agreement the	5859
value of the real property exempted pursuant to the agreement and	5860
a comparison of the stipulated and actual schedules for hiring new	5861
employees, for retaining existing employees, and for the amount of	5862
payroll of the party attributable to these employees;	5863

(b) The number of agreements the terms of which a party has	5864
failed to comply with, indicating separately for each such	5865
agreement the value of the real and personal property exempted	5866
pursuant to the agreement and a comparison of the stipulated and	5867
actual schedules for hiring new employees, for retaining existing	5868
employees, and for the amount of payroll of the enterprise	5869
attributable to these employees;	5870

(c) The number of agreements about which the tax incentive	5871
review council made recommendations to the legislative authority,	5872
and the number of such recommendations that have not been	5873
followed;	5874

(d) The number of agreements rescinded during the calendar	5875
year for which the report is submitted.	5876

(5) The number of parties subject to agreements that expanded	5877
within each area, including the number of new employees hired and	5878
existing employees retained by that party, and the number of new	5879
parties subject to agreements that established within each area,	5880
including the number of new employees hired by each party;	5881

(6) For each agreement in effect during any part of the	5882
preceding year, the number of employees employed by the party at	5883
the property that is the subject of the agreement immediately	5884
prior to formal approval of the agreement, the number of employees	5885
employed by the party at that property on the thirty-first day of	5886
December of the preceding year, the payroll of the party for the	5887
preceding year, the amount of taxes paid on real property that was	5888
exempted under the agreement, and the amount of such taxes that	5889
were not paid because of the exemption.	5890

(B) Upon the failure of a municipal corporation or county to	5891
comply with division (A) of this section:	5892

(1) Beginning on the first day of April of the calendar year	5893
in which the municipal corporation or county fails to comply with	5894
that division, the municipal corporation or county shall not enter	5895
into any agreements under section 3735.671 of the Revised Code	5896
until the municipal corporation or county has complied with	5897
division (A) of this section.	5898

(2) On the first day of each ensuing calendar month until the	5899
municipal corporation or county complies with that division, the	5900
director of development services shall either order the proper	5901
county auditor to deduct from the next succeeding payment of taxes	5902
to the municipal corporation or county under section 321.31,	5903
321.32, 321.33, or 321.34 of the Revised Code an amount equal to	5904
five hundred dollars for each calendar month the municipal	5905
corporation or county fails to comply with that division, or order	5906
the county auditor to deduct such an amount from the next	5907
succeeding payment to the municipal corporation or county from the	5908
undivided local government fund under section 5747.51 of the	5909
Revised Code. At the time such a payment is made, the county	5910
auditor shall comply with the director's order by issuing a	5911
warrant, drawn on the fund from which such money would have been	5912
paid, to the director of development services, who shall deposit	5913
the warrant into the state community reinvestment area program	5914
administration fund created in division (C) of this section.	5915

(C) The director, by rule, shall establish the state's	5916
application fee for applications submitted to a municipal	5917
corporation or county to enter into an agreement under section	5918
3735.671 of the Revised Code. In establishing the amount of the	5919
fee, the director shall consider the state's cost of administering	5920
the community reinvestment area program, including the cost of	5921
reviewing the reports required under division (A) of this section.	5922
The director may change the amount of the fee at such times and in	5923
such increments as the director considers necessary. Any municipal	5924
corporation or county that receives an application shall collect	5925
the application fee and remit the fee for deposit in the state	5926
treasury to the credit of the tax incentive programs operating	5927
business assistance fund created in section 122.174 of the Revised	5928
Code.	5929

Sec. 3746.35.  (A) Not later than September 1, 1996, and not	5930
later than the first day of September of each subsequent year, the	5931
director of environmental protection shall prepare and submit to	5932
the chairpersons of the respective standing committees of the	5933
senate and house of representatives primarily responsible for	5934
considering environmental and taxation matters a report regarding	5935
the voluntary action program established under this chapter and	5936
rules adopted under it and the tax abatements granted pursuant to	5937
sections 5709.87 and 5709.88 of the Revised Code for properties	5938
where voluntary actions were conducted. Each annual report shall	5939
include, without limitation, all of the following:	5940

(1) Both of the following for each property for which a	5941
covenant not to sue was issued under section 3746.12 of the	5942
Revised Code during the preceding calendar year:	5943

(a) The address of the property and name of the person who	5944
undertook the voluntary action at the property;	5945

(b) Whether the applicable standards governing the voluntary	5946
action were the interim standards established in section 3746.07	5947
of the Revised Code or the generic numerical clean-up standards	5948
established in rules adopted under division (B)(1) of section	5949
3746.04 of the Revised Code, were established through the	5950
performance of a risk assessment pursuant to rules adopted under	5951
division (B)(2) of section 3746.04 of the Revised Code, or were	5952
set forth in a variance issued under section 3746.09 of the	5953
Revised Code.	5954

(2) All of the following for each property for which a	5955
variance was issued under section 3746.09 of the Revised Code	5956
during the preceding calendar year:	5957

(a) The address of the property and the name of the person to	5958
whom the variance was issued;	5959

(b) A summary of the alternative standards and terms and	5960
conditions of the variance and brief description of the	5961
improvement in environmental conditions at the property that is	5962
anticipated to result from compliance with the alternative	5963
standards and terms and conditions set forth in the variance;	5964

(c) A brief description of the economic benefits to the	5965
person to whom the variance was issued and the community in which	5966
the property is located that are anticipated to result from the	5967
undertaking of the voluntary action in compliance with the	5968
alternative standards and terms and conditions set forth in the	5969
variance.	5970

(3) The number of audits performed under section 3746.17 of	5971
the Revised Code during the preceding calendar year and, in	5972
connection with each of them, at least the following information:	5973

(a) The address of the property in connection with which the	5974
audit was performed and the name of the person who undertook the	5975
voluntary action at the property;	5976

(b) An indication as to whether the audit was a random audit	5977
or was conducted in accordance with the priorities established in	5978
rules adopted under divisions (A)(9)(a) to (f) of section 3746.04	5979
of the Revised Code and, if the audit was conducted in accordance	5980
with those priorities, an indication as to which of them resulted	5981
in the selection of the voluntary action for an audit;	5982

(c) A brief summary of the findings of the audit and any	5983
action taken by the environmental protection agency as a result of	5984
those findings.	5985

(4) The number of covenants not to sue revoked during the	5986
preceding calendar year through the operation of divisions	5987
(A)(2)(c) and (B) of section 3746.12, division (B)(2) of section	5988
3746.18, and division (B) of section 3746.19 of the Revised Code	5989
and for each property for which a covenant was revoked, at least	5990
both of the following:	5991

(a) The address of the property affected by the revocation	5992
and name of the person who undertook the voluntary action at the	5993
property;	5994

(b) The reason for the revocation.

5995

(5) The amount of money credited to the voluntary action	5996
administration fund created in section 3746.16 of the Revised Code	5997
during the preceding fiscal year from the fees established in	5998
divisions (D) and (H) of section 3746.07 and division (C) of	5999
section 3746.13 of the Revised Code and from civil penalties	6000
imposed under section 3746.22 of the Revised Code. The report	6001
shall indicate the amount of money that arose from each of the	6002
fees and from the civil penalties. The report also shall include	6003
the amount of money expended from the fund during the preceding	6004
fiscal year by program category, including, without limitation,	6005
the amount expended for conducting audits under section 3746.17 of	6006
the Revised Code during the preceding fiscal year.	6007

(6) For each property that is receiving a tax abatement under	6008
section 5709.87 of the Revised Code for the preceding tax year,	6009
the amount of the valuation exempted from real property taxation	6010
for that tax year under that section. In order to comply with	6011
division (A)(6) of this section, the director shall include in the	6012
annual report the report required to be provided to the director	6013
by the director of development under division (B)(2) of this	6014
section. The sole responsibility of the director of environmental	6015
protection regarding the report provided to the director under	6016
that division is to include it in the annual report prepared under	6017
division (A) of this section.	6018

(7) For each property that is receiving a tax abatement	6019
pursuant to an agreement with a municipal corporation or county	6020
entered into under section 5709.88 of the Revised Code, the amount	6021
of the valuation exempted from real or personal property taxation.	6022
In order to comply with division (A)(7) of this section, the	6023
director shall include in the annual report the report required to	6024
be provided to the director by the director of development under	6025
division (C) of this section. The sole responsibility of the	6026
director of environmental protection regarding the report provided	6027
to the director under that division is to include it in the annual	6028
report prepared under division (A) of this section.	6029

(B)(1) Not later than March 31, 1996, the county auditor of	6030
each county in which is located any property that is receiving a	6031
tax abatement under section 5709.87 of the Revised Code shall	6032
report to the director of developmentenvironmental protection for	6033
each such property both of the following as applicable to tax year	6034
1995:	6035

(a) The address of the property and the name of the owner as	6036
stated in the records of the county auditor of the county in which	6037
the property is located;	6038

(b) The amount of the valuation of the property that was	6039
exempted from real property taxation under that section.	6040

Not later than the thirty-first day of March of each	6041
subsequent year, each such county auditor shall report the	6042
information described in those divisions to the director of	6043
developmentenvironmental protection for each property within the	6044
county that is receiving a tax abatement under that section for	6045
the preceding tax year.	6046

(2) Not later than July 1, 1996, and not later than the first	6047
day of July of each subsequent year, the director of development	6048
environmental protection shall compile the information provided to	6049
the director under division (B)(1) of this section applicable to	6050
the preceding tax year into a report covering all of the counties	6051
in the state in which are located properties receiving a tax	6052
abatement under section 5709.87 of the Revised Code for the	6053
preceding tax year and shall forward the report to the director of	6054
environmental protection. The sole responsibility of the director	6055
of development in preparing the report is to compile the	6056
information submitted to the director by the county auditors under	6057
division (B)(1) of this section.	6058

(C) Not later than July 1, 1996, and not later than the first	6059
day of July of each subsequent year, the director of development	6060
environmental protection shall compile the information provided to	6061
the director by municipal corporations and counties under division	6062
(A) of section 5709.882 of the Revised Code applicable to the	6063
preceding calendar year into a report covering, by county, all of	6064
the municipal corporations and counties in this state in which are	6065
located properties receiving a tax abatement pursuant to an	6066
agreement entered into under section 5709.88 of the Revised Code	6067
and shall forward the report to the director of environmental	6068
protection. The sole responsibility of the director of development	6069
in preparing the report is to compile the information submitted to	6070
him by municipal corporations and counties under division (A) of	6071
section 5709.882 of the Revised Code.	6072

Sec. 5117.22.  All petroleum violation escrow funds received	6073
by this state from the federal government shall be deposited in	6074
the state treasury to the credit of the energy oil overcharge	6075
fund, which is hereby created. The fund shall be used by the	6076
department of development services agency for energy conservation	6077
and assistance programs approved by the United States department	6078
of energy. All investment earnings of the fund shall be credited	6079
to the fund.	6080

Sec. 5701.15. As used in Title LVII of the Revised Code,	6081
"department of development" means the development services agency	6082
and "director of development" means the director of development	6083
services.	6084

Sec. 5709.68.  (A) On or before the thirty-first day of March	6085
each year, a municipal corporation or county that has entered into	6086
an agreement with an enterprise under section 5709.62, 5709.63, or	6087
5709.632 of the Revised Code shall submit to the director of	6088
development services and the board of education of each school	6089
district of which a municipal corporation or township to which	6090
such an agreement applies is a part a report on all of those	6091
agreements in effect during the preceding calendar year. The	6092
report shall include all of the following information:	6093

(1) The designation, assigned by the director of development	6094
services, of each urban jobs and enterprise zone within the	6095
municipal corporation or county, the date each zone was certified,	6096
the name of each municipal corporation or township within each	6097
zone, and the total population of each zone according to the most	6098
recent data available;	6099

(2) The number of enterprises that are subject to those	6100
agreements and the number of full-time employees subject to those	6101
agreements within each zone, each according to the most recent	6102
data available and identified and categorized by the appropriate	6103
standard industrial code, and the rate of unemployment in the	6104
municipal corporation or county in which the zone is located for	6105
each year since each zone was certified;	6106

(3) The number of agreements approved and executed during the	6107
calendar year for which the report is submitted, the total number	6108
of agreements in effect on the thirty-first day of December of the	6109
preceding calendar year, the number of agreements that expired	6110
during the calendar year for which the report is submitted, and	6111
the number of agreements scheduled to expire during the calendar	6112
year in which the report is submitted. For each agreement that	6113
expired during the calendar year for which the report is	6114
submitted, the municipal corporation or county shall include the	6115
amount of taxes exempted and the estimated dollar value of any	6116
other incentives provided under the agreement.	6117

(4) The number of agreements receiving compliance reviews by	6118
the tax incentive review council in the municipal corporation or	6119
county during the calendar year for which the report is submitted,	6120
including all of the following information:	6121

(a) The number of agreements the terms of which an enterprise	6122
has complied with, indicating separately for each agreement the	6123
value of the real and personal property exempted pursuant to the	6124
agreement and a comparison of the stipulated and actual schedules	6125
for hiring new employees, for retaining existing employees, for	6126
the amount of payroll of the enterprise attributable to these	6127
employees, and for investing in establishing, expanding,	6128
renovating, or occupying a facility;	6129

(b) The number of agreements the terms of which an enterprise	6130
has failed to comply with, indicating separately for each	6131
agreement the value of the real and personal property exempted	6132
pursuant to the agreement and a comparison of the stipulated and	6133
actual schedules for hiring new employees, for retaining existing	6134
employees, for the amount of payroll of the enterprise	6135
attributable to these employees, and for investing in	6136
establishing, expanding, renovating, or occupying a facility;	6137

(c) The number of agreements about which the tax incentive	6138
review council made recommendations to the legislative authority	6139
of the municipal corporation or county, and the number of those	6140
recommendations that have not been followed;	6141

(d) The number of agreements rescinded during the calendar	6142
year for which the report is submitted.	6143

(5) The number of enterprises that are subject to agreements	6144
that expanded within each zone, including the number of new	6145
employees hired and existing employees retained by each	6146
enterprise, and the number of new enterprises that are subject to	6147
agreements and that established within each zone, including the	6148
number of new employees hired by each enterprise;	6149

(6)(a) The number of enterprises that are subject to	6150
agreements and that closed or reduced employment at any place of	6151
business within the state for the primary purpose of establishing,	6152
expanding, renovating, or occupying a facility, indicating	6153
separately for each enterprise the political subdivision in which	6154
the enterprise closed or reduced employment at a place of business	6155
and the number of full-time employees transferred and retained by	6156
each such place of business;	6157

(b) The number of enterprises that are subject to agreements	6158
and that closed or reduced employment at any place of business	6159
outside the state for the primary purpose of establishing,	6160
expanding, renovating, or occupying a facility.	6161

(7) For each agreement in effect during any part of the	6162
preceding year, the number of employees employed by the enterprise	6163
at the project site immediately prior to formal approval of the	6164
agreement, the number of employees employed by the enterprise at	6165
the project site on the thirty-first day of December of the	6166
preceding year, the payroll of the enterprise for the preceding	6167
year, the amount of taxes paid on tangible personal property	6168
situated at the project site and the amount of those taxes that	6169
were not paid because of the exemption granted under the	6170
agreement, and the amount of taxes paid on real property	6171
constituting the project site and the amount of those taxes that	6172
were not paid because of the exemption granted under the	6173
agreement. If an agreement was entered into under section 5709.632	6174
of the Revised Code with an enterprise described in division	6175
(B)(2) of that section, the report shall include the number of	6176
employee positions at all of the enterprise's locations in this	6177
state. If an agreement is conditioned on a waiver issued under	6178
division (B) of section 5709.633 of the Revised Code on the basis	6179
of the circumstance described in division (B)(3)(a) or (b) of that	6180
section, the report shall include the number of employees at the	6181
facilities referred to in division (B)(3)(a)(i) or (b)(i) of that	6182
section, respectively.	6183

(B) Upon the failure of a municipal corporation or county to	6184
comply with division (A) of this section:	6185

(1) Beginning on the first day of April of the calendar year	6186
in which the municipal corporation or county fails to comply with	6187
that division, the municipal corporation or county shall not enter	6188
into any agreements with an enterprise under section 5709.62,	6189
5709.63, or 5709.632 of the Revised Code until the municipal	6190
corporation or county has complied with division (A) of this	6191
section.	6192

(2) On the first day of each ensuing calendar month until the	6193
municipal corporation or county complies with division (A) of this	6194
section, the director of development services shall either order	6195
the proper county auditor to deduct from the next succeeding	6196
payment of taxes to the municipal corporation or county under	6197
section 321.31, 321.32, 321.33, or 321.34 of the Revised Code an	6198
amount equal to one thousand dollars for each calendar month the	6199
municipal corporation or county fails to comply with that	6200
division, or order the county auditor to deduct that amount from	6201
the next succeeding payment to the municipal corporation or county	6202
from the undivided local government fund under section 5747.51 of	6203
the Revised Code. At the time such a payment is made, the county	6204
auditor shall comply with the director's order by issuing a	6205
warrant, drawn on the fund from which the money would have been	6206
paid, to the director of development services, who shall deposit	6207
the warrant into the state enterprise zone program administration	6208
fund created in division (C) of this section.	6209

(C) The director, by rule, shall establish the state's	6210
application fee for applications submitted to a municipal	6211
corporation or county to enter into an agreement under section	6212
5709.62, 5709.63, or 5709.632 of the Revised Code. In establishing	6213
the amount of the fee, the director shall consider the state's	6214
cost of administering the enterprise zone program, including the	6215
cost of reviewing the reports required under division (A) of this	6216
section. The director may change the amount of the fee at the	6217
times and in the increments the director considers necessary. Any	6218
municipal corporation or county that receives an application shall	6219
collect the application fee and remit the fee for deposit in the	6220
state treasury to the credit of the tax incentive programs	6221
operatingbusiness assistance fund created in section 122.174 of	6222
the Revised Code.	6223

(D) On or before the thirtieth day of June each year, the	6224
director of development services shall certify to the tax	6225
commissioner the information described under division (A)(7) of	6226
this section, derived from the reports submitted to the director	6227
under this section.	6228

On the basis of the information certified under this	6229
division, the tax commissioner annually shall submit a report to	6230
the governor, the speaker of the house of representatives, the	6231
president of the senate, and the chairpersons of the ways and	6232
means committees of the respective houses of the general assembly,	6233
indicating for each enterprise zone the amount of state and local	6234
taxes that were not required to be paid because of exemptions	6235
granted under agreements entered into under section 5709.62,	6236
5709.63, or 5709.632 of the Revised Code and the amount of	6237
additional taxes paid from the payroll of new employees.	6238

Sec. 5709.882.  (A) On or before the thirty-first day of	6239
March each year, a municipal corporation or county that has	6240
entered into an agreement with an enterprise under section 5709.88	6241
of the Revised Code shall submit to the directordirectors of	6242
development services and environmental protection and the board of	6243
education of each school district of which a municipal corporation	6244
or county to which such an agreement applies is a part a report on	6245
all such agreements in effect during the preceding calendar year.	6246
The report shall include all of the following information:	6247

(1) The number of enterprises that are subject to such	6248
agreements and the number of full-time employees subject to those	6249
agreements in the county or municipal corporation;	6250

(2) The number of agreements approved and executed during the	6251
calendar year for which the report is submitted, the total number	6252
of agreements in effect on the thirty-first day of December of the	6253
preceding calendar year, the number of agreements that expired	6254
during the calendar year for which the report is submitted, and	6255
the number of agreements scheduled to expire during the calendar	6256
year in which the report is submitted. For each agreement that	6257
expired during the calendar year for which the report is	6258
submitted, the municipal corporation or county shall include the	6259
amount of taxes exempted and the estimated dollar value of any	6260
other incentives provided under the agreement.	6261

(3) The number of agreements receiving compliance reviews by	6262
the tax incentive review council in the municipal corporation or	6263
county under section 5709.883 of the Revised Code during the	6264
calendar year for which the report is submitted, including all of	6265
the following information:	6266

(a) The number of agreements the terms of which an enterprise	6267
has complied with, indicating separately for each such agreement	6268
the value of the real and personal property exempted pursuant to	6269
the agreement and a comparison of the stipulated and actual	6270
schedules for hiring new employees, for retaining existing	6271
employees, for the amount of payroll of the enterprise	6272
attributable to these employees, and for remediating and investing	6273
in establishing, expanding, renovating, or occupying a facility;	6274

(b) The number of agreements the terms of which an enterprise	6275
has failed to comply with, indicating separately for each such	6276
agreement the value of the real and personal property exempted	6277
pursuant to the agreement and a comparison of the stipulated and	6278
actual schedules for hiring new employees, for retaining existing	6279
employees, for the amount of payroll of the enterprise	6280
attributable to these employees, and for remediating and investing	6281
in establishing, expanding, renovating, or occupying a facility;	6282

(c) The number of agreements about which the tax incentive	6283
review council made recommendations to the legislative authority	6284
of the municipal corporation or county, and the number of such	6285
recommendations that have not been followed;	6286

(d) The number of agreements rescinded during the calendar	6287
year for which the report is submitted.	6288

(4) The number of enterprises that are subject to agreements	6289
and the number of new employees hired and existing employees	6290
retained by each such enterprise;	6291

(5)(a) The number of enterprises that are subject to	6292
agreements and that closed or reduced employment at any place of	6293
business within the state for the primary purpose of remediating	6294
and establishing, expanding, renovating, or occupying a facility,	6295
indicating separately for each such enterprise the political	6296
subdivision in which the enterprise closed or reduced employment	6297
at a place of business and the number of full-time employees	6298
transferred and retained by each such place of business;	6299

(b) The number of enterprises that are subject to agreements	6300
and that closed or reduced employment at any place of business	6301
outside the state for the primary purpose of remediating and	6302
establishing, expanding, renovating, or occupying a facility.	6303

(B) Upon the failure of a municipal corporation or county to	6304
comply with division (A) of this section, both of the following	6305
apply:	6306

(1) Beginning on the first day of April of the calendar year	6307
in which the municipal corporation or county fails to comply with	6308
that division, the municipal corporation or county shall not enter	6309
into any agreements with an enterprise under section 5709.88 of	6310
the Revised Code until the municipal corporation or county has	6311
complied with division (A) of this section;	6312

(2) On the first day of each ensuing calendar month until the	6313
municipal corporation or county complies with that division, the	6314
director of development services shall either order the proper	6315
county auditor to deduct from the next succeeding payment of taxes	6316
to the municipal corporation or county under section 321.31,	6317
321.32, 321.33, or 321.34 of the Revised Code an amount equal to	6318
five hundred dollars for each calendar month the municipal	6319
corporation or county fails to comply with that division, or order	6320
the county auditor to deduct such an amount from the next	6321
succeeding payment to the municipal corporation or county from the	6322
undivided local government fund under section 5747.51 of the	6323
Revised Code. At the time such a payment is made, the county	6324
auditor shall comply with the director's order by issuing a	6325
warrant, drawn on the fund from which such money would have been	6326
paid, to the director of development services, who shall deposit	6327
the warrant into the contaminated sites development program	6328
administration fund created in division (C) of this section.	6329

(C) The director, by rule, shall establish the state's	6330
application fee for applications submitted to a municipal	6331
corporation or county to enter into an agreement under section	6332
5709.88 of the Revised Code. In establishing the amount of the	6333
fee, the director shall consider the state's cost of administering	6334
this section and section 5709.88 of the Revised Code. The director	6335
may change the amount of the fee at such times and in such	6336
increments as hethe director considers necessary. Any municipal	6337
corporation or county that receives an application shall collect	6338
the application fee and remit the fee for deposit in the state	6339
treasury to the credit of the contaminated sites development	6340
program administration fund, which is hereby created. Money	6341
credited to the fund shall be used by the department of	6342
development services agency to pay the costs of administering this	6343
section and section 5709.88 of the Revised Code.	6344

Sec. 6103.052.  (A) A board of county commissioners may apply	6345
to the water and sewer commission, created by division (C) of	6346
section 1525.11 of the Revised Code, for an advance of moneys from	6347
the water and sewer fund, created by division (A) of section	6348
1525.11 of the Revised Code, in an amount equal to that portion of	6349
the costs of an improvement authorized under sections 6103.02 to	6350
6103.30 of the Revised Code which is to be financed by assessments	6351
whose collection is deferred pursuant to division (B) of this	6352
section. The application for such an advance of moneys shall be	6353
made in the manner prescribed by rules of the commission.	6354

(B) At any time prior to the expiration of the five-day	6355
period provided by section 6103.05 of the Revised Code for the	6356
filing of written objections, any owner of property which is	6357
classified on the general tax list of the county auditor as	6358
agricultural land and has been assessed for the extension of a	6359
main water line over or along such property under sections 6103.02	6360
to 6103.30 of the Revised Code may file with the board of county	6361
commissioners a request in writing for deferment of the collection	6362
of histhe owner's assessment if the main water line serves a	6363
purpose set forth in section 1525.13 of the Revised Code for which	6364
the water and sewer fund may be usedprovides water facilities to	6365
aid in the establishment of new industrial plants, the expansion	6366
of existing industrial plants, or such other industrial	6367
development, or provides water facilities to aid in the	6368
establishment of commercial and residential developments. Such	6369
request shall identify the property in connection with which the	6370
request for deferment is made, shall describe its present use and	6371
present classification on the general tax list of the county	6372
auditor, shall state its estimated market value, showing	6373
separately the value of the land and the value of the buildings	6374
thereon, shall state the reasons, if any, why a portion of the	6375
benefit of the improvement will not be realized until the use of	6376
the land is changed, and shall state the amount to be deferred.	6377
The board shall promptly consider such request and may order the	6378
deferment of the collection of that portion of the assessment	6379
representing a benefit from the improvement that will not be	6380
realized until the use of the land is changed. The board may, upon	6381
request of an owner whose property has been assessed for the	6382
extension of a main water line over or along such property under	6383
sections 6103.02 to 6103.31 of the Revised Code, defer all or any	6384
part of the assessment on property which is classified on the	6385
general tax list of the county auditor as agricultural land, by	6386
attributing the amount of such assessment or part thereof as	6387
tap-in charges, if the main water line serves a purpose set forth	6388
in section 1525.13 of the Revised Code for which the water and	6389
sewer fund may be used. A deferment under this section may be	6390
conditioned upon the approval of the advance of moneys applied for	6391
pursuant to division (A) of this section, and a maximum length of	6392
the deferment may be fixed to coincide with the maximum time	6393
within which the advance must be repaid. The decision on the	6394
request for deferment of collection of assessments shall be made	6395
pursuant to standards established by rules of the commission	6396
provides water facilities to aid in the establishment of new	6397
industrial plants, the expansion of existing industrial plants, or	6398
such other industrial development, or provides water facilities to	6399
aid in the establishment of commercial and residential	6400
developments. Upon determination and approval of final	6401
assessments, the board of county commissioners shall certify all	6402
deferred assessments and a fee equal to any fee paid by the board	6403
to the commission pursuant to division (C) of section 1525.12 of	6404
the Revised Code attributable to thetwo per cent of the amount of	6405
the deferred assessments to the county auditor. For purposes of	6406
this section, "assessment," "deferred assessment," or "assessment	6407
deferred under this section" mean the fee and the deferred	6408
assessment certified to the county auditor. The county auditor	6409
shall record an assessment deferred under this section in the	6410
water works record. Such record shall be kept until such time as	6411
the assessments are paid in full or certified for collection in	6412
installments as provided in this section. During the time when the	6413
assessment is deferred there shall be a lien on the property	6414
assessed, which lien shall arise at the time of recordation by the	6415
county auditor and shall be in force until the assessments are	6416
paid in full or certified for collection in installments.	6417

(C)(B) The board of county commissioners shall defer the	6418
collection of an assessment, except the amount of such assessment	6419
or part thereof attributable as tap-in charges, which has been	6420
deferred pursuant to division (B)(A) of this section on or before	6421
January 1, 1987, beyond the expiration of the maximum time for the	6422
original deferment if the property owner requests in writing, no	6423
later than six months prior to the expiration of the original	6424
deferment, that the assessment be further deferred and as long as	6425
the property owner's land could qualify for placement in an	6426
agricultural district pursuant to section 929.02 of the Revised	6427
Code.	6428

The board shall regularly review the use and ownership of the	6429
property for which the collection of assessments has been deferred	6430
pursuant to this division, and upon finding that the land could no	6431
longer qualify for placement in an agricultural district pursuant	6432
to section 929.02 of the Revised Code, the board shall immediately	6433
collect, without interest, the full amount of the assessment	6434
deferred and repay the commission the amount of any moneys	6435
advanced by it in regard to such assessment. The board shall pay	6436
all such amounts to the commission in one annual payment or longer	6437
period as approved by the commission. The board shall pay, from	6438
the general funds of the county, interest annually at the interest	6439
rate per annum equal to that rate of interest published as the	6440
20-bond index rate in "The Bond Buyer" minus four per cent per	6441
annum or at five per cent per annum, whichever is greater, for any	6442
moneys not repaid to the commission pursuant to this division	6443
within one year of the date of the disqualification of the	6444
property for the continual deferment which requires such	6445
repayment. The interest rate for any moneys not repaid to the	6446
commission shall be calculated one year from the date of the	6447
disqualification of the property for the continual deferment which	6448
requires such repayment, and annually thereafter.	6449

(D)(C) The board of county commissioners shall send a notice	6450
by regular or certified mail to all owners of property on which	6451
assessments have been deferred pursuant to division (B)(A) of this	6452
section, which lists the expiration of the deferment, not later	6453
than two hundred ten days prior to the expiration of the deferment	6454
of those assessments.	6455

(E)(D) The board shall collect the assessments, without	6456
interest, which have been deferred pursuant to division (B)(A) of	6457
this section upon expiration of the maximum time for which	6458
deferments were made and repay the commission the amount of any	6459
moneys advanced by it in regard to such assessments; provided,	6460
that for a property owner who requests in writing, no later than	6461
six months prior to the expiration of the deferment period, that	6462
payment of histhe owner's deferred assessments be in	6463
installments, the board of county commissioners upon expiration of	6464
the deferment period may by resolution further certify for	6465
collection pursuant to section 6103.16 of the Revised Code, such	6466
deferred assessments in installments over not more than twenty	6467
years, as determined by the board, together with interest thereon	6468
each year on the unpaid balance at the same rate borne by bonds of	6469
the county which shall be issued in anticipation thereof as	6470
provided in Chapter 133. of the Revised Code, and the proceeds of	6471
the bond issue used to repay such deferred assessments to the	6472
commission.	6473

Assessments which have been deferred by attribution as tap-in	6474
charges under division (B)(A) of this section shall be collected	6475
as deferred assessments at that time. As the board collects tap-in	6476
charges which are deferred assessments under division (B) of this	6477
section, it shall repay the commission the amount thereof which	6478
was advanced by it in regard to such assessments. An owner of	6479
property for which assessments have been deferred under division	6480
(B)(A) of this section, in requesting a tap-in may, subject to the	6481
approval of the board, designate a part of an entire assessed	6482
tract as the part which the tap-in is to serve, and the board	6483
shall collect the deferred assessment on that tract in the	6484
proportion that the part bears to the entire tract, on a front	6485
foot or other basis approved by the commission, but if in the	6486
judgment of the board the tap-in is reasonably intended to serve	6487
the entire tract or substantially all of the tract, it shall	6488
collect the deferred assessment for the entire tract.	6489

Prior to the expiration of the maximum time of deferment, the	6490
board shall regularly review the use of the property for which the	6491
collection of assessments has been deferred and upon finding,	6492
pursuant to the rules of the commission, that the use of the land	6493
has changed from the use at the time of the deferment so that the	6494
benefit of the improvement can then be realized, the board shall	6495
immediately collect the full amount of the assessment for the	6496
portion of the property for which the use has so changed, without	6497
interest, and repay the commission the amount of any moneys	6498
advanced by it in regard to such assessment. The board shall pay	6499
all such amounts to the commission in one annual payment or longer	6500
period as approved by the commission. The board of county	6501
commissioners shall pay, from the general funds of the county,	6502
interest annually at the interest rate per annum equal to that	6503
rate of interest published as the 20-bond index rate in "The Bond	6504
Buyer" minus four per cent per annum or at five per cent per	6505
annum, whichever is greater, for any moneys not repaid to the	6506
commission pursuant to this division within one year of the date	6507
of the change in the use of property requiring such repayment, or	6508
of the date upon which payment of a tap-in charge is required by	6509
law to be made, whichever date is applicable. The interest rate	6510
for any moneys not repaid to the commission shall be calculated	6511
one year from the date of the change in the use of property	6512
requiring such repayment or from the date upon which payment of a	6513
tap-in charge is required by law to be made, whichever date is	6514
applicable, and annually thereafter.	6515

Sec. 6117.062.  (A) A board of county commissioners may apply	6516
to the water and sewer commission, created by division (C) of	6517
section 1525.11 of the Revised Code, for an advance of moneys from	6518
the water and sewer fund, created by division (A) of section	6519
1525.11 of the Revised Code, in an amount equal to that portion of	6520
the costs of an improvement authorized under sections 6117.01 to	6521
6117.45 of the Revised Code which is to be financed by assessments	6522
whose collection is deferred pursuant to division (B) of this	6523
section. The application for such an advance of moneys shall be	6524
made in the manner prescribed by rules of the commission.	6525

(B) At any time prior to the expiration of the five-day	6526
period provided by section 6117.06 of the Revised Code for the	6527
filing of written objections, any owner of property which is	6528
classified on the general tax list of the county auditor as	6529
agricultural land and has been assessed for the extension of a	6530
trunk sewer line over or along such property under sections	6531
6117.01 to 6117.45 of the Revised Code may file with the board of	6532
county commissioners a request in writing for deferment of the	6533
collection of histhe assessment if the trunk sewer line serves a	6534
purpose, as set forth in section 1525.13 of the Revised Code, for	6535
which the fund may be usedprovides sewer facilities to aid in the	6536
establishment of new industrial plants, the expansion of existing	6537
industrial plants, or such other industrial development, or	6538
provides sewer facilities to aid in the establishment of	6539
commercial and residential developments. Such request shall	6540
identify the property in connection with which the request for	6541
deferment is made, shall describe its present use and present	6542
classification on the general tax list of the county auditor,	6543
shall state its estimated market value, showing separately the	6544
value of the land and the value of the buildings thereon, shall	6545
state the reasons, if any, why a portion of the benefit of the	6546
improvement will not be realized until the use of the land is	6547
changed, and shall state the amount to be deferred. The board	6548
shall promptly consider such request and may order the deferment	6549
of the collection of that portion of the assessment representing a	6550
benefit from the improvement which will not be realized until the	6551
use of the land is changed. The board may, upon request of an	6552
owner whose property has been assessed for the extension of a	6553
trunk sewer line over or along such property under sections	6554
6117.01 to 6117.45 of the Revised Code, defer all or any part of	6555
the assessment on property which is classified on the general tax	6556
list as agricultural land, by attributing the amount of such	6557
assessment or part thereof as tap-in charges, if the trunk sewer	6558
line serves a purpose set forth in section 1525.13 of the Revised	6559
Code for which the fund may be used. A deferment under this	6560
section may be conditioned upon the approval of the advance of	6561
moneys applied for pursuant to division (A) of this section, and a	6562
maximum length of the deferment may be fixed to coincide with the	6563
maximum time within which the advance must be repaid. The decision	6564
on the request for deferment of collection of assessments shall be	6565
made pursuant to standards established by rules of the commission	6566
provides sewer facilities to aid in the establishment of new	6567
industrial plants, the expansion of existing industrial plants, or	6568
such other industrial development, or provides sewer facilities to	6569
aid in the establishment of commercial and residential	6570
developments. Upon determination and approval of final	6571
assessments, the board of county commissioners shall certify all	6572
deferred assessments and a fee equal to any fee paid by the board	6573
to the commission pursuant to division (C) of section 1525.12 of	6574
the Revised Code attributable to the deferred paymentstwo per	6575
cent of the amount of the deferred assessments to the county	6576
auditor. For purposes of this section, "assessment," "deferred	6577
assessment," or "assessment deferred under this section" mean the	6578
fee and the deferred assessment certified to the county auditor.	6579
The county auditor shall record an assessment deferred under this	6580
section in the sewer improvement record. Such record shall be kept	6581
until such time as the assessments are paid in full or certified	6582
for collection in installments as provided in this section. During	6583
the time when the assessment is deferred there shall be a lien on	6584
the property assessed, which lien shall arise at the time of	6585
recordation by the county auditor and which shall be in force	6586
until the assessments are paid in full or certified for collection	6587
in installments.	6588

(C)(B) The board of county commissioners shall defer the	6589
collection of an assessment, except the amount of such assessment	6590
or part thereof attributable as tap-in charges, which has been	6591
deferred pursuant to division (B)(A) of this section on or before	6592
January 1, 1987, beyond the expiration of the maximum time for the	6593
original deferment if the property owner requests in writing, no	6594
later than six months prior to the expiration of the original	6595
deferment, that the assessment be further deferred and as long as	6596
the property owner's land could qualify for placement in an	6597
agricultural district pursuant to section 929.02 of the Revised	6598
Code.	6599

The board shall regularly review the use and ownership of the	6600
property for which the collection of assessments has been deferred	6601
pursuant to this division, and upon finding that the land could no	6602
longer qualify for placement in an agricultural district pursuant	6603
to section 929.02 of the Revised Code, the board shall immediately	6604
collect, without interest, the full amount of the assessment	6605
deferred and repay the commission the amount of any moneys	6606
advanced by it in regard to such assessment. The board shall pay	6607
all such amounts to the commission in one annual payment or longer	6608
period as approved by the commission. The board shall pay, from	6609
the general funds of the county, interest annually at the interest	6610
rate per annum equal to that rate of interest published as the	6611
20-bond index rate in "The Bond Buyer" minus four per cent per	6612
annum or at five per cent per annum, whichever rate is greater,	6613
for any moneys not repaid to the commission pursuant to this	6614
division within one year of the date of the disqualification of	6615
the property for the continual deferment which requires such	6616
repayment. The interest rate for any moneys not repaid to the	6617
commission shall be calculated one year from the date of the	6618
disqualification of the property for the continual deferment which	6619
requires such repayment, and annually thereafter.	6620

(D)(C) The board of county commissioners shall send a notice	6621
by regular or certified mail to all owners of property on which	6622
assessments have been deferred pursuant to division (B)(A) of this	6623
section, which lists the expiration of the deferment, not later	6624
than two hundred ten days prior to the expiration of the deferment	6625
of those assessments.	6626

(E)(D) The board shall collect assessments, without interest,	6627
which have been deferred pursuant to division (B)(A) of this	6628
section upon expiration of the maximum time for which deferments	6629
were made and repay the commission the amount of any moneys	6630
advanced by it in regard to such assessments; provided that for a	6631
property owner who requests in writing, no later than six months	6632
prior to the expiration of the deferment period, that payment of	6633
histhe deferred assessments be in installments, the board of	6634
county commissioners upon expiration of the deferment period may	6635
by resolution further certify for collection pursuant to section	6636
6117.33 of the Revised Code, such deferred assessments in	6637
installments over not more than twenty years, as determined by the	6638
board, together with interest thereon each year on the unpaid	6639
balance at the same rate borne by bonds of the county which shall	6640
be issued in anticipation thereof as provided in Chapter 133. of	6641
the Revised Code, and the proceeds of the bond issue used to repay	6642
such deferred assessments to the commission. Prior to the	6643
expiration of the maximum time of deferment, the board shall	6644
regularly review the use of the property for which the collection	6645
of assessments has been deferred and upon finding, pursuant to the	6646
rules of the commission, that the use of the land has changed from	6647
the use at the time of the deferment so that the benefit of the	6648
improvement can then be realized, the board shall immediately	6649
collect the full amount of the assessment for the portion of the	6650
property for which the use has so changed, without interest, and	6651
repay the commission the amount of any moneys advanced by it in	6652
regard to such assessment. The board shall pay all such amounts to	6653
the commission in one annual payment or longer period as approved	6654
by the commission. The board shall pay, from the general funds of	6655
the county, interest annually at the interest rate per annum equal	6656
to that rate of interest published as the 20-bond index rate in	6657
"The Bond Buyer" minus four per cent per annum or at five per cent	6658
per annum, whichever is greater, for any moneys not repaid to the	6659
commission pursuant to this division within one year of the date	6660
of the change in the use of property requiring such repayment, or	6661
of the date upon which payment of a tap-in charge is required by	6662
law to be made, whichever date is applicable. The interest rate	6663
for any moneys not repaid to the commission shall be calculated	6664
one year from the date of the change in the use of property	6665
requiring such repayment or from the date upon which payment of a	6666
tap-in charge is required by law to be made, whichever date is	6667
applicable, and annually thereafter.	6668

Section 2. That existing sections 9.981, 102.03, 121.02,	6669
121.03, 121.22, 122.01, 122.011, 122.07, 122.071, 122.17, 122.171,	6670
122.174, 122.175, 122.39, 122.41, 122.42, 122.43, 122.44, 122.48,	6671
122.49, 122.50, 122.51, 122.52, 122.53, 122.561, 122.57, 122.60,	6672
122.601, 122.602, 122.603, 122.61, 122.62, 122.64, 122.76, 122.80,	6673
122.86, 149.311, 149.43, 164.05, 164.06, 164.08, 166.01, 166.04,	6674
166.05, 166.11, 166.13, 166.14, 166.18, 166.19, 166.25, 166.30,	6675
174.01, 184.01, 187.01, 187.03, 187.04, 187.05, 929.03, 1551.01,	6676
3735.672, 3746.35, 5117.22, 5709.68, 5709.882, 6103.052, and	6677
6117.062 and sections 122.40, 1525.11, 1525.12, 1525.13, and	6678
6111.034 of the Revised Code are hereby repealed.	6679

Section 3. In enacting this act, it is the intent of the	6680
General Assembly that changing the name of the "Department of	6681
Development" to the Development Services Agency and the name of	6682
the "Director of Development" to the Director of Development	6683
Services does not do either of the following:	6684

(A) Make substantive changes in statutory law;

6685

(B) Cause unnecessary expense. The letterhead, forms, printed	6686
materials, and signage displaying the former name of the	6687
Department may be used until they are replaced.	6688

Section 4.  Upon the effective date of this act, all	6689
references to the Department of Development or Director of	6690
Development in other uncodified sections of law in Am. Sub. H.B.	6691
153 of the 129th General Assembly and Am. Sub. H.B. 114 of the	6692
129th General Assembly, shall be deemed to refer to the	6693
Development Services Agency or the Director of Development	6694
Services, respectively.	6695

Section 5. (A) There is hereby established a five-year pilot	6696
program to test a new funding mechanism for the state's travel and	6697
tourism marketing. The funding mechanism shall begin operation in	6698
fiscal year 2014 and be calculated as follows:	6699

(1)(a) Not later than the twentieth day of October of each	6700
year, starting in 2013 and ending in 2017, the Tax Commissioner	6701
shall calculate the growth in fiscal year sales tax revenue from	6702
certain defined categories that are related to tourism and certify	6703
that amount to the Director of Budget and Management.	6704

(b) Not later than the twentieth day of October of each year,	6705
starting in 2013 and ending in 2017, the Commissioner shall	6706
calculate and certify to the Director the difference, if greater	6707
than zero, between the revenue collected from the tax imposed	6708
under section 5739.02 of the Revised Code during the twelve-month	6709
period ending on the last day of the preceding June and the	6710
revenue collected during the same twelve-month period one year	6711
earlier, for all vendors classified under the industry codes	6712
identified in division (A)(2) of this section. On or before the	6713
last day of October of each year, starting in 2013 and ending in	6714
2017, the Director of Budget and Management shall transfer from	6715
the General Revenue Fund to the Tourism Fund created in section	6716
122.072 of the Revised Code the amount certified by the	6717
Commissioner under this division, except that the transfer shall	6718
not exceed ten million dollars for any fiscal year.	6719

(c) Each fiscal year, beginning in fiscal year 2015, the Tax	6720
Commissioner shall adjust the ten million annual dollar limit on	6721
transfers to the Tourism Fund. The adjustment shall be made by	6722
adding to the annual limit the product of multiplying the limit	6723
for the preceding fiscal year by the sum of one plus the	6724
percentage increase in the Consumer Price Index for all urban	6725
consumers for the Midwest region, as determined by the United	6726
States Bureau of Labor Statistics, for the twelve-month period	6727
corresponding to the preceding fiscal year. The result shall be	6728
rounded to the nearest one thousand dollars. The calculation of	6729
the percentage increase in the Consumer Price Index shall be done	6730
by taking the average index value over the twelve months of the	6731
last completed fiscal year and comparing that to the average index	6732
value over the twelve months of the immediately preceding fiscal	6733
year.	6734

(2) The following industries included in the industrial	6735
classification system used by the Tax Commissioner shall be used	6736
in the computations under division (A)(1) of this section: air	6737
transportation; water transportation; interurban and rural bus	6738
transportation; taxi service; limousine service; other transit and	6739
ground passenger transportation; scenic and sightseeing	6740
transportation; support activities for air transportation;	6741
automotive equipment rental and leasing; travel arrangement and	6742
reservation services; performing arts companies; spectator sports;	6743
independent artists, writers, and performers; museums, historical	6744
sites, and similar institutions; amusement parks and arcades;	6745
gambling industries; hotels and motels; casino hotels;	6746
bed-and-breakfast inns; other travel accommodations; recreational	6747
vehicle parks and recreational camps; full-service restaurants;	6748
limited-service eating places; drinking places (alcoholic	6749
beverages).	6750

(B) The pilot program shall terminate when the last transfer	6751
of funds made in accordance with division (A)(1)(b) of this	6752
section occurs in fiscal year 2018, specifically in October 2017.	6753
At that time, the Director of Development Services, the Director	6754
of Budget and Management, and the Tax Commissioner shall jointly	6755
review the pilot program and make recommendations to the Governor	6756
and the General Assembly on whether to make the funding mechanism	6757
permanent and, if so, whether any changes should be made to it. If	6758
the recommendation is to make the funding mechanism permanent, the	6759
Director of Development Services, the Director of Budget and	6760
Management, and the Tax Commissioner shall also study and make	6761
recommendations to the Governor and the General Assembly as to	6762
whether the Office of TourismOhio and its functions should be	6763
removed from the Development Services Agency and established as a	6764
private nonprofit corporation or a subsidiary corporation of	6765
JobsOhio.	6766

Section 6. (A) As used in this section, "federal act" means	6767
the "Small Business Liability Relief and Brownfields	6768
Revitalization Act," 115 Stat. 2356 (2002), 42 U.S.C. 9601 and	6769
9604.	6770

(B) There is hereby created in the state treasury the	6771
Brownfields Revolving Loan Fund. The Fund shall consist of all	6772
moneys received by the state from the United States Department of	6773
Environmental Protection under the federal act. The Fund shall be	6774
used to make grants and loans by the Director of Development	6775
Services.	6776

(C) The Director shall administer moneys received into the	6777
Fund and comply with all requirements imposed by the federal act	6778
in its application for, and administration of, the funds as grants	6779
and loans.	6780

(D) The Director shall establish a schedule of fees and	6781
charges payable by grant and loan recipients to the Director for	6782
the administration of this section.	6783

Section 7.  The amendment by this act adding division (C)(2)	6784
to section 122.17 of the Revised Code does not apply to projects	6785
that are completed before the effective date of this section.	6786

Section 8.  Section 122.42 of the Revised Code is presented	6787
in this act as a composite of the section as amended by both Am.	6788
Sub. H.B. 117 and Am. Sub. H.B. 356 of the 121st General Assembly.	6789
The General Assembly, applying the principle stated in division	6790
(B) of section 1.52 of the Revised Code that amendments are to be	6791
harmonized if reasonably capable of simultaneous operation, finds	6792
that the composite is the resulting version of the section in	6793
effect prior to the effective date of the section as presented in	6794
this act.	6795

Section 9.  Section 149.43 of the Revised Code is presented	6796
in this act as a composite of the section as amended by both Sub.	6797
H.B. 64 and Am. Sub. H.B. 153 of the 129th General Assembly. The	6798
General Assembly, applying the principle stated in division (B) of	6799
section 1.52 of the Revised Code that amendments are to be	6800
harmonized if reasonably capable of simultaneous operation, finds	6801
that the composite is the resulting version of the section in	6802
effect prior to the effective date of the section as presented in	6803
this act.	6804