As Reported by the House State and Local Government Committee

130th General Assembly Regular Session 2013-2014

Am. H. B. No. 494

Representative Schuring 

Cosponsors: Representatives Hagan, C., Slesnick, Slaby, Amstutz, Landis, Barborak, Blair, Boose, Brown, Burkley, Damschroder, Grossman, Hackett, Hill, Maag, Young, Adams, R., Hottinger, Williams, Rogers 

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A BILL

To amend sections 133.01, 4504.08, and 4504.09 and to

1

enact sections 4504.22 and 5595.01 to 5595.14 of

2

the Revised Code to authorize counties to

3

undertake regional transportation improvement

4

projects funded by the issuance of securities and

5

by revenue pledges from the state and political

6

subdivisions and taxing districts located within

7

the cooperating counties.

8

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

Section 1.  That sections 133.01, 4504.08, and 4504.09 be	9
amended and sections 4504.22, 5595.01, 5595.02, 5595.03, 5595.04,	10
5595.05, 5595.06, 5595.07, 5595.08, 5595.09, 5595.10, 5595.11,	11
5595.12, 5595.13, and 5595.14 of the Revised Code be enacted to	12
read as follows:	13

Sec. 133.01.  As used in this chapter, in sections 9.95,	14
9.96, and 2151.655 of the Revised Code, in other sections of the	15
Revised Code that make reference to this chapter unless the	16
context does not permit, and in related proceedings, unless	17
otherwise expressly provided:	18

(A) "Acquisition" as applied to real or personal property	19
includes, among other forms of acquisition, acquisition by	20
exercise of a purchase option, and acquisition of interests in	21
property, including, without limitation, easements and	22
rights-of-way, and leasehold and other lease interests initially	23
extending or extendable for a period of at least sixty months.	24

(B) "Anticipatory securities" means securities, including	25
notes, issued in anticipation of the issuance of other securities.	26

(C) "Board of elections" means the county board of elections	27
of the county in which the subdivision is located. If the	28
subdivision is located in more than one county, "board of	29
elections" means the county board of elections of the county that	30
contains the largest portion of the population of the subdivision	31
or that otherwise has jurisdiction in practice over and	32
customarily handles election matters relating to the subdivision.	33

(D) "Bond retirement fund" means the bond retirement fund	34
provided for in section 5705.09 of the Revised Code, and also	35
means a sinking fund or any other special fund, regardless of the	36
name applied to it, established by or pursuant to law or the	37
proceedings for the payment of debt charges. Provision may be made	38
in the applicable proceedings for the establishment in a bond	39
retirement fund of separate accounts relating to debt charges on	40
particular securities, or on securities payable from the same or	41
common sources, and for the application of moneys in those	42
accounts only to specified debt charges on specified securities or	43
categories of securities. Subject to law and any provisions in the	44
applicable proceedings, moneys in a bond retirement fund or	45
separate account in a bond retirement fund may be transferred to	46
other funds and accounts.	47

(E) "Capitalized interest" means all or a portion of the	48
interest payable on securities from their date to a date stated or	49
provided for in the applicable legislation, which interest is to	50
be paid from the proceeds of the securities.	51

(F) "Chapter 133. securities" means securities authorized by	52
or issued pursuant to or in accordance with this chapter.	53

(G) "County auditor" means the county auditor of the county	54
in which the subdivision is located. If the subdivision is located	55
in more than one county, "county auditor" means the county auditor	56
of the county that contains the highest amount of the tax	57
valuation of the subdivision or that otherwise has jurisdiction in	58
practice over and customarily handles property tax matters	59
relating to the subdivision. In the case of a county that has	60
adopted a charter, "county auditor" means the officer who	61
generally has the duties and functions provided in the Revised	62
Code for a county auditor.	63

(H) "Credit enhancement facilities" means letters of credit,	64
lines of credit, stand-by, contingent, or firm securities purchase	65
agreements, insurance, or surety arrangements, guarantees, and	66
other arrangements that provide for direct or contingent payment	67
of debt charges, for security or additional security in the event	68
of nonpayment or default in respect of securities, or for making	69
payment of debt charges to and at the option and on demand of	70
securities holders or at the option of the issuer or upon certain	71
conditions occurring under put or similar arrangements, or for	72
otherwise supporting the credit or liquidity of the securities,	73
and includes credit, reimbursement, marketing, remarketing,	74
indexing, carrying, interest rate hedge, and subrogation	75
agreements, and other agreements and arrangements for payment and	76
reimbursement of the person providing the credit enhancement	77
facility and the security for that payment and reimbursement.	78

(I) "Current operating expenses" or "current expenses" means	79
the lawful expenditures of a subdivision, except those for	80
permanent improvements and for payments of debt charges of the	81
subdivision.	82

(J) "Debt charges" means the principal, including any	83
mandatory sinking fund deposits and mandatory redemption payments,	84
interest, and any redemption premium, payable on securities as	85
those payments come due and are payable. The use of "debt charges"	86
for this purpose does not imply that any particular securities	87
constitute debt within the meaning of the Ohio Constitution or	88
other laws.	89

(K) "Financing costs" means all costs and expenses relating	90
to the authorization, including any required election, issuance,	91
sale, delivery, authentication, deposit, custody, clearing,	92
registration, transfer, exchange, fractionalization, replacement,	93
payment, and servicing of securities, including, without	94
limitation, costs and expenses for or relating to publication and	95
printing, postage, delivery, preliminary and final official	96
statements, offering circulars, and informational statements,	97
travel and transportation, underwriters, placement agents,	98
investment bankers, paying agents, registrars, authenticating	99
agents, remarketing agents, custodians, clearing agencies or	100
corporations, securities depositories, financial advisory	101
services, certifications, audits, federal or state regulatory	102
agencies, accounting and computation services, legal services and	103
obtaining approving legal opinions and other legal opinions,	104
credit ratings, redemption premiums, and credit enhancement	105
facilities. Financing costs may be paid from any moneys available	106
for the purpose, including, unless otherwise provided in the	107
proceedings, from the proceeds of the securities to which they	108
relate and, as to future financing costs, from the same sources	109
from which debt charges on the securities are paid and as though	110
debt charges.	111

(L) "Fiscal officer" means the following, or, in the case of	112
absence or vacancy in the office, a deputy or assistant authorized	113
by law or charter to act in the place of the named officer, or if	114
there is no such authorization then the deputy or assistant	115
authorized by legislation to act in the place of the named officer	116
for purposes of this chapter, in the case of the following	117
subdivisions:	118

(1) A county, the county auditor;

119

(2) A municipal corporation, the city auditor or village	120
clerk or clerk-treasurer, or the officer who, by virtue of a	121
charter, has the duties and functions provided in the Revised Code	122
for the city auditor or village clerk or clerk-treasurer;	123

(3) A school district, the treasurer of the board of	124
education;	125

(4) A regional water and sewer district, the secretary of the	126
board of trustees;	127

(5) A joint township hospital district, the treasurer of the	128
district;	129

(6) A joint ambulance district, the clerk of the board of	130
trustees;	131

(7) A joint recreation district, the person designated	132
pursuant to section 755.15 of the Revised Code;	133

(8) A detention facility district or a district organized	134
under section 2151.65 of the Revised Code or a combined district	135
organized under sections 2152.41 and 2151.65 of the Revised Code,	136
the county auditor of the county designated by law to act as the	137
auditor of the district;	138

(9) A township, a fire district organized under division (C)	139
of section 505.37 of the Revised Code, or a township police	140
district, the fiscal officer of the township;	141

(10) A joint fire district, the clerk of the board of	142
trustees of that district;	143

(11) A regional or county library district, the person	144
responsible for the financial affairs of that district;	145

(12) A joint solid waste management district, the fiscal	146
officer appointed by the board of directors of the district under	147
section 343.01 of the Revised Code;	148

(13) A joint emergency medical services district, the person	149
appointed as fiscal officer pursuant to division (D) of section	150
307.053 of the Revised Code;	151

(14) A fire and ambulance district, the person appointed as	152
fiscal officer under division (B) of section 505.375 of the	153
Revised Code;	154

(15) A subdivision described in division (MM)(19) of this	155
section, the officer who is designated by law as or performs the	156
functions of its chief fiscal officer;	157

(16) A joint police district, the treasurer of the district;

158

(17) A lake facilities authority, the fiscal officer	159
designated under section 353.02 of the Revised Code;	160

(18) A regional transportation improvement project, the	161
county auditor designated under section 5595.10 of the Revised	162
Code.	163

(M) "Fiscal year" has the same meaning as in section 9.34 of	164
the Revised Code.	165

(N) "Fractionalized interests in public obligations" means	166
participations, certificates of participation, shares, or other	167
instruments or agreements, separate from the public obligations	168
themselves, evidencing ownership of interests in public	169
obligations or of rights to receive payments of, or on account of,	170
principal or interest or their equivalents payable by or on behalf	171
of an obligor pursuant to public obligations.	172

(O) "Fully registered securities" means securities in	173
certificated or uncertificated form, registered as to both	174
principal and interest in the name of the owner.	175

(P) "Fund" means to provide for the payment of debt charges	176
and expenses related to that payment at or prior to retirement by	177
purchase, call for redemption, payment at maturity, or otherwise.	178

(Q) "General obligation" means securities to the payment of	179
debt charges on which the full faith and credit and the general	180
property taxing power, including taxes within the tax limitation	181
if available to the subdivision, of the subdivision are pledged.	182

(R) "Interest" or "interest equivalent" means those payments	183
or portions of payments, however denominated, that constitute or	184
represent consideration for forbearing the collection of money, or	185
for deferring the receipt of payment of money to a future time.	186

(S) "Internal Revenue Code" means the "Internal Revenue Code	187
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1 et seq., as amended, and	188
includes any laws of the United States providing for application	189
of that code.	190

(T) "Issuer" means any public issuer and any nonprofit	191
corporation authorized to issue securities for or on behalf of any	192
public issuer.	193

(U) "Legislation" means an ordinance or resolution passed by	194
a majority affirmative vote of the then members of the taxing	195
authority unless a different vote is required by charter	196
provisions governing the passage of the particular legislation by	197
the taxing authority.	198

(V) "Mandatory sinking fund redemption requirements" means	199
amounts required by proceedings to be deposited in a bond	200
retirement fund for the purpose of paying in any year or fiscal	201
year by mandatory redemption prior to stated maturity the	202
principal of securities that is due and payable, except for	203
mandatory prior redemption requirements as provided in those	204
proceedings, in a subsequent year or fiscal year.	205

(W) "Mandatory sinking fund requirements" means amounts	206
required by proceedings to be deposited in a year or fiscal year	207
in a bond retirement fund for the purpose of paying the principal	208
of securities that is due and payable in a subsequent year or	209
fiscal year.	210

(X) "Net indebtedness" has the same meaning as in division	211
(A) of section 133.04 of the Revised Code.	212

(Y) "Obligor," in the case of securities or fractionalized	213
interests in public obligations issued by another person the debt	214
charges or their equivalents on which are payable from payments	215
made by a public issuer, means that public issuer.	216

(Z) "One purpose" relating to permanent improvements means	217
any one permanent improvement or group or category of permanent	218
improvements for the same utility, enterprise, system, or project,	219
development or redevelopment project, or for or devoted to the	220
same general purpose, function, or use or for which	221
self-supporting securities, based on the same or different sources	222
of revenues, may be issued or for which special assessments may be	223
levied by a single ordinance or resolution. "One purpose"	224
includes, but is not limited to, in any case any off-street	225
parking facilities relating to another permanent improvement, and:	226

(1) Any number of roads, highways, streets, bridges,	227
sidewalks, and viaducts;	228

(2) Any number of off-street parking facilities;

229

(3) In the case of a county, any number of permanent	230
improvements for courthouse, jail, county offices, and other	231
county buildings, and related facilities;	232

(4) In the case of a school district, any number of	233
facilities and buildings for school district purposes, and related	234
facilities.	235

(AA) "Outstanding," referring to securities, means securities	236
that have been issued, delivered, and paid for, except any of the	237
following:	238

(1) Securities canceled upon surrender, exchange, or	239
transfer, or upon payment or redemption;	240

(2) Securities in replacement of which or in exchange for	241
which other securities have been issued;	242

(3) Securities for the payment, or redemption or purchase for	243
cancellation prior to maturity, of which sufficient moneys or	244
investments, in accordance with the applicable legislation or	245
other proceedings or any applicable law, by mandatory sinking fund	246
redemption requirements, mandatory sinking fund requirements, or	247
otherwise, have been deposited, and credited for the purpose in a	248
bond retirement fund or with a trustee or paying or escrow agent,	249
whether at or prior to their maturity or redemption, and, in the	250
case of securities to be redeemed prior to their stated maturity,	251
notice of redemption has been given or satisfactory arrangements	252
have been made for giving notice of that redemption, or waiver of	253
that notice by or on behalf of the affected security holders has	254
been filed with the subdivision or its agent for the purpose.	255

(BB) "Paying agent" means the one or more banks, trust	256
companies, or other financial institutions or qualified persons,	257
including an appropriate office or officer of the subdivision,	258
designated as a paying agent or place of payment of debt charges	259
on the particular securities.	260

(CC) "Permanent improvement" or "improvement" means any	261
property, asset, or improvement certified by the fiscal officer,	262
which certification is conclusive, as having an estimated life or	263
period of usefulness of five years or more, and includes, but is	264
not limited to, real estate, buildings, and personal property and	265
interests in real estate, buildings, and personal property,	266
equipment, furnishings, and site improvements, and reconstruction,	267
rehabilitation, renovation, installation, improvement,	268
enlargement, and extension of property, assets, or improvements so	269
certified as having an estimated life or period of usefulness of	270
five years or more. The acquisition of all the stock ownership of	271
a corporation is the acquisition of a permanent improvement to the	272
extent that the value of that stock is represented by permanent	273
improvements. A permanent improvement for parking, highway, road,	274
and street purposes includes resurfacing, but does not include	275
ordinary repair.	276

(DD) "Person" has the same meaning as in section 1.59 of the	277
Revised Code and also includes any federal, state, interstate,	278
regional, or local governmental agency, any subdivision, and any	279
combination of those persons.	280

(EE) "Proceedings" means the legislation, certifications,	281
notices, orders, sale proceedings, trust agreement or indenture,	282
mortgage, lease, lease-purchase agreement, assignment, credit	283
enhancement facility agreements, and other agreements,	284
instruments, and documents, as amended and supplemented, and any	285
election proceedings, authorizing, or providing for the terms and	286
conditions applicable to, or providing for the security or sale or	287
award of, public obligations, and includes the provisions set	288
forth or incorporated in those public obligations and proceedings.	289

(FF) "Public issuer" means any of the following that is	290
authorized by law to issue securities or enter into public	291
obligations:	292

(1) The state, including an agency, commission, officer,	293
institution, board, authority, or other instrumentality of the	294
state;	295

(2) A taxing authority, subdivision, district, or other local	296
public or governmental entity, and any combination or consortium,	297
or public division, district, commission, authority, department,	298
board, officer, or institution, thereof;	299

(3) Any other body corporate and politic, or other public	300
entity.	301

(GG) "Public obligations" means both of the following:

302

(1) Securities;

303

(2) Obligations of a public issuer to make payments under	304
installment sale, lease, lease purchase, or similar agreements,	305
which obligations may bear interest or interest equivalent.	306

(HH) "Refund" means to fund and retire outstanding	307
securities, including advance refunding with or without payment or	308
redemption prior to maturity.	309

(II) "Register" means the books kept and maintained by the	310
registrar for registration, exchange, and transfer of registered	311
securities.	312

(JJ) "Registrar" means the person responsible for keeping the	313
register for the particular registered securities, designated by	314
or pursuant to the proceedings.	315

(KK) "Securities" means bonds, notes, certificates of	316
indebtedness, commercial paper, and other instruments in writing,	317
including, unless the context does not admit, anticipatory	318
securities, issued by an issuer to evidence its obligation to	319
repay money borrowed, or to pay interest, by, or to pay at any	320
future time other money obligations of, the issuer of the	321
securities, but not including public obligations described in	322
division (GG)(2) of this section.	323

(LL) "Self-supporting securities" means securities or	324
portions of securities issued for the purpose of paying costs of	325
permanent improvements to the extent that receipts of the	326
subdivision, other than the proceeds of taxes levied by that	327
subdivision, derived from or with respect to the improvements or	328
the operation of the improvements being financed, or the	329
enterprise, system, project, or category of improvements of which	330
the improvements being financed are part, are estimated by the	331
fiscal officer to be sufficient to pay the current expenses of	332
that operation or of those improvements or enterprise, system,	333
project, or categories of improvements and the debt charges	334
payable from those receipts on securities issued for the purpose.	335
Until such time as the improvements or increases in rates and	336
charges have been in operation or effect for a period of at least	337
six months, the receipts therefrom, for purposes of this	338
definition, shall be those estimated by the fiscal officer, except	339
that those receipts may include, without limitation, payments made	340
and to be made to the subdivision under leases or agreements in	341
effect at the time the estimate is made. In the case of an	342
operation, improvements, or enterprise, system, project, or	343
category of improvements without at least a six-month history of	344
receipts, the estimate of receipts by the fiscal officer, other	345
than those to be derived under leases and agreements then in	346
effect, shall be confirmed by the taxing authority.	347

(MM) "Subdivision" means any of the following:

348

(1) A county, including a county that has adopted a charter	349
under Article X, Ohio Constitution;	350

(2) A municipal corporation, including a municipal	351
corporation that has adopted a charter under Article XVIII, Ohio	352
Constitution;	353

(3) A school district;

354

(4) A regional water and sewer district organized under	355
Chapter 6119. of the Revised Code;	356

(5) A joint township hospital district organized under	357
section 513.07 of the Revised Code;	358

(6) A joint ambulance district organized under section 505.71	359
of the Revised Code;	360

(7) A joint recreation district organized under division (C)	361
of section 755.14 of the Revised Code;	362

(8) A detention facility district organized under section	363
2152.41, a district organized under section 2151.65, or a combined	364
district organized under sections 2152.41 and 2151.65 of the	365
Revised Code;	366

(9) A township police district organized under section 505.48	367
of the Revised Code;	368

(10) A township;

369

(11) A joint fire district organized under section 505.371 of	370
the Revised Code;	371

(12) A county library district created under section 3375.19	372
or a regional library district created under section 3375.28 of	373
the Revised Code;	374

(13) A joint solid waste management district organized under	375
section 343.01 or 343.012 of the Revised Code;	376

(14) A joint emergency medical services district organized	377
under section 307.052 of the Revised Code;	378

(15) A fire and ambulance district organized under section	379
505.375 of the Revised Code;	380

(16) A fire district organized under division (C) of section	381
505.37 of the Revised Code;	382

(17) A joint police district organized under section 505.482	383
of the Revised Code;	384

(18) A lake facilities authority created under Chapter 353.	385
of the Revised Code;	386

(19) A regional transportation improvement project created	387
under Chapter 5595. of the Revised Code;	388

(20) Any other political subdivision or taxing district or	389
other local public body or agency authorized by this chapter or	390
other laws to issue Chapter 133. securities.	391

(NN) "Taxing authority" means in the case of the following	392
subdivisions:	393

(1) A county, a county library district, or a regional	394
library district, the board or boards of county commissioners, or	395
other legislative authority of a county that has adopted a charter	396
under Article X, Ohio Constitution, but with respect to such a	397
library district acting solely as agent for the board of trustees	398
of that district;	399

(2) A municipal corporation, the legislative authority;

400

(3) A school district, the board of education;

401

(4) A regional water and sewer district, a joint ambulance	402
district, a joint recreation district, a fire and ambulance	403
district, or a joint fire district, the board of trustees of the	404
district;	405

(5) A joint township hospital district, the joint township	406
hospital board;	407

(6) A detention facility district or a district organized	408
under section 2151.65 of the Revised Code, a combined district	409
organized under sections 2152.41 and 2151.65 of the Revised Code,	410
or a joint emergency medical services district, the joint board of	411
county commissioners;	412

(7) A township, a fire district organized under division (C)	413
of section 505.37 of the Revised Code, or a township police	414
district, the board of township trustees;	415

(8) A joint solid waste management district organized under	416
section 343.01 or 343.012 of the Revised Code, the board of	417
directors of the district;	418

(9) A subdivision described in division (MM)(19) of this	419
section, the legislative or governing body or official;	420

(10) A joint police district, the joint police district	421
board;	422

(11) A lake facilities authority, the board of directors;

423

(12) A regional transportation improvement project, the	424
governing board.	425

(OO) "Tax limitation" means the "ten-mill limitation" as	426
defined in section 5705.02 of the Revised Code without diminution	427
by reason of section 5705.313 of the Revised Code or otherwise,	428
or, in the case of a municipal corporation or county with a	429
different charter limitation on property taxes levied to pay debt	430
charges on unvoted securities, that charter limitation. Those	431
limitations shall be respectively referred to as the "ten-mill	432
limitation" and the "charter tax limitation."	433

(PP) "Tax valuation" means the aggregate of the valuations of	434
property subject to ad valorem property taxation by the	435
subdivision on the real property, personal property, and public	436
utility property tax lists and duplicates most recently certified	437
for collection, and shall be calculated without deductions of the	438
valuations of otherwise taxable property exempt in whole or in	439
part from taxation by reason of exemptions of certain amounts of	440
taxable value under division (C) of section 5709.01, tax	441
reductions under section 323.152 of the Revised Code, or similar	442
laws now or in the future in effect.	443

For purposes of section 133.06 of the Revised Code, "tax	444
valuation" shall not include the valuation of tangible personal	445
property used in business, telephone or telegraph property,	446
interexchange telecommunications company property, or personal	447
property owned or leased by a railroad company and used in	448
railroad operations listed under or described in section 5711.22,	449
division (B) or (F) of section 5727.111, or section 5727.12 of the	450
Revised Code.	451

(QQ) "Year" means the calendar year.

452

(RR) "Administrative agent," "agent," "commercial paper,"	453
"floating rate interest structure," "indexing agent," "interest	454
rate hedge," "interest rate period," "put arrangement," and	455
"remarketing agent" have the same meanings as in section 9.98 of	456
the Revised Code.	457

(SS) "Sales tax supported" means obligations to the payment	458
of debt charges on which an additional sales tax or additional	459
sales taxes have been pledged by the taxing authority of a county	460
pursuant to section 133.081 of the Revised Code.	461

Sec. 4504.08.  A resolution, ordinance, or other measure	462
levying a county motor vehicle license tax, municipal motor	463
vehicle license tax, township motor vehicle license tax, or	464
transportation improvement district motor vehicle license tax, or	465
regional transportation improvement project motor vehicle license	466
tax shall not be applicable to motor vehicle registrations for a	467
registration year beginning at the time established in section	468
4503.10 of the Revised Code unless a copy of such resolution or	469
ordinance is certified to the registrar of motor vehicles not	470
later than the first day of July of the year preceding that in	471
which such registration year begins.	472

Sec. 4504.09.  Any county, township, municipal, or	473
transportation improvement district, or regional transportation	474
improvement project motor vehicle license tax shall be paid to the	475
registrar of motor vehicles or to a deputy registrar at the time	476
application for registration of a motor vehicle as provided in	477
sections 4503.10 and 4503.102 of the Revised Code is made and no	478
certificate of registration, numbered license plates and	479
validation stickers, or validation stickers alone, shall be issued	480
to the owner of a motor vehicle for which any amount of county,	481
township, municipal, or transportation improvement district, or	482
regional transportation improvement project motor vehicle license	483
tax due thereon has not been paid. Payment of the tax shall be	484
evidenced by a stamp on the certificate of registration by the	485
official issuing such certificate.	486

Upon the transfer of ownership of a motor vehicle, the	487
registrar or deputy registrar shall collect any additional county,	488
township, municipal, or transportation improvement district, or	489
regional transportation improvement project motor vehicle license	490
tax due thereon, computed in the manner provided in section	491
4503.12 of the Revised Code.	492

Sec. 4504.22.  (A) Subject to division (B) of this section	493
and for the purposes of paying the costs and expenses of enforcing	494
and administering the tax provided for in this section; paying the	495
costs of transportation improvements as defined in section 5595.01	496
of the Revised Code; paying debt service charges on obligations	497
issued for those purposes; and to supplement revenue already	498
available for those purposes, the board of county commissioners of	499
a county that is participating in a regional transportation	500
improvement project in accordance with Chapter 5595. of the	501
Revised Code may levy an annual license tax upon the operation of	502
motor vehicles on the public roads and highways in the county.	503

The board of county commissioners shall levy the tax at a	504
rate from one dollar to fifteen dollars per motor vehicle in whole	505
dollar increments as determined by the governing board of the	506
regional transportation improvement project. However, for each	507
commercial car and each commercial trailer and semitrailer that is	508
subject to the tax in that county the board of county	509
commissioners shall levy the tax at a rate of either one dollar or	510
any whole multiple of ten dollars not exceeding one hundred	511
dollars as determined by the governing board of the regional	512
transportation improvement project. The owner of each such motor	513
vehicle who resides in the county or a portion of the county	514
subject to the tax shall pay the tax levied by the board of county	515
commissioners. The tax is in addition to all other taxes levied	516
under this chapter, subject to reduction in the manner provided in	517
division (B)(2) of section 4503.11 of the Revised Code.	518

(B) Upon written request of the governing board of a regional	519
transportation improvement project, the board of county	520
commissioners of a county in which any part of that project is	521
located may propose that a motor vehicle license tax be levied	522
under this section. The board of county commissioners, via a	523
resolution, shall put the question of the tax to the electors of	524
the county or of that portion of the county in which the tax would	525
be levied. The board of county commissioners shall specify in the	526
resolution the rate of the tax, the date on which the tax will	527
terminate, and, if the request of the governing board of the	528
regional transportation improvement project indicates that a	529
portion of the revenue will be used for supplemental	530
transportation improvements not described in the cooperative	531
agreement, the portion of the tax revenue that will be used for	532
such supplemental improvements. The board of elections shall	533
submit the question of the tax to the electors at the primary or	534
general election to be held not less than ninety days after the	535
board of county commissioners certifies to the county board of	536
elections its resolution proposing the tax. The secretary of state	537
shall prescribe the form of the ballot for the election. If	538
approved by a majority of the electors voting on the question of	539
the tax in that county or portion of that county, as applicable,	540
the board of county commissioners of that county shall levy the	541
tax as provided in the resolution. However, the board may make	542
implementation of the tax contingent upon the approval of tax	543
measures under this section in one or more of the other counties	544
participating in the regional transportation improvement project.	545

(C) A regional transportation improvement project license tax	546
levied under this section shall continue in effect until its	547
expiration, repeal, or until the dissolution of the regional	548
transportation improvement project for which the tax is levied.	549

(D) The registrar of motor vehicles shall deposit money from	550
a tax levied under this section that is received by the registrar	551
under section 4504.09 of the Revised Code in the local motor	552
vehicle license tax fund created by section 4501.031 of the	553
Revised Code. The registrar shall distribute the money to the	554
board of county commissioners levying such tax. The registrar may	555
assign to that board of county commissioners a unique code to	556
facilitate the distribution of such money, which may be the same	557
unique code assigned to that county under section 4501.03 of the	558
Revised Code. The board of county commissioners then shall pay the	559
money to the governing board of the regional transportation	560
improvement project that requested that the question of the	561
levying of the tax be placed on the ballot.	562

Sec. 5595.01.  As used in this chapter:

563

(A) "Regional transportation improvement project" or	564
"project" means a regional transportation improvement project	565
undertaken pursuant to section 5595.02 of the Revised Code.	566

(B) "Transportation improvement" or "improvement" means the	567
construction, repair, maintenance, or expansion of streets,	568
highways, parking facilities, rail tracks and necessarily related	569
rail facilities, bridges, tunnels, overpasses, underpasses,	570
interchanges, approaches, culverts, and other means of	571
transportation, and the erection and maintenance of traffic signs,	572
markers, lights, and signals.	573

Sec. 5595.02.  (A) The boards of county commissioners of two	574
or more counties may undertake a regional transportation	575
improvement project for the purpose of completing transportation	576
improvements within the territory of the counties. The project	577
shall be administered by a governing board in accordance with a	578
cooperative agreement.	579

(B) The cooperative agreement shall provide for the creation	580
of a governing board consisting of one county commissioner from	581
each county that is a party to the agreement or a designee	582
appointed by the board of county commissioners of the county for	583
the purpose of serving on the governing board, and the county	584
engineer of each such county or a designee appointed by the county	585
engineer for the purpose of serving on the governing board.	586
Membership on the board is not a direct or indirect interest in a	587
contract or expenditure of money by the county. The board is a	588
public body for the purposes of section 121.22 of the Revised Code	589
and a public office for the purposes of section 149.43 of the	590
Revised Code. Chapter 2744. of the Revised Code applies to the	591
board.	592

(C) The governing board of a regional transportation	593
improvement project is a body both corporate and politic, and the	594
exercise by it of the powers conferred by this chapter in the	595
financing, construction, maintenance, repair, and operation of	596
transportation improvements are essential governmental functions.	597

(D) A board of county commissioners, in accordance with the	598
cooperative agreement, may make appropriations to pay costs	599
incurred by the governing board in the exercise of its functions	600
under this chapter so long as such costs are approved by the	601
director of transportation under section 5595.13 of the Revised	602
Code.	603

Sec. 5595.03.  (A) A resolution of a board of county	604
commissioners undertaking a regional transportation improvement	605
project must include a cooperative agreement containing all of the	606
following:	607

(1) A description or analysis of the deficiencies of the	608
existing transportation system in the counties participating in	609
the project and of projected needs or deficiencies of the system	610
in ensuing years under reasonable assumptions about development,	611
population trends, and other factors affecting transportation	612
infrastructure in the counties;	613

(2) A comprehensive list of the transportation improvements	614
to be completed as part of the project, including a general	615
description of each improvement, schedules of the projected	616
beginning and end of each improvement, and the estimated cost of	617
each improvement;	618

(3) Directives regarding the operations and reporting	619
requirements of the governing board;	620

(4) The number of years the agreement is to be in effect;

621

(5) Any other terms the board of county commissioners	622
considers necessary or conducive to communicate the intentions of	623
the cooperative agreement and to ensure its effective	624
implementation by the governing board.	625

(B) A board of county commissioners that intends to undertake	626
a regional transportation improvement project shall hold at least	627
one public hearing on the proposed cooperative agreement before	628
adopting a resolution approving the agreement. The board of county	629
commissioners shall provide at least thirty days' public notice of	630
the time and place of the public hearing in a newspaper of general	631
circulation in the county. During the thirty-day period before the	632
public hearing, the proposed cooperative agreement shall be made	633
available for public inspection at the offices of each county that	634
will be a party to the agreement.	635

(C) If the cooperative agreement is approved by each county	636
that will be a party to the agreement, one of the participating	637
counties shall send a copy of the agreement to the director of	638
transportation. The director shall evaluate the agreement and	639
determine if the transportation improvements specified in the	640
agreement are in the best interest of the transportation	641
facilities of this state, as defined in section 5501.01 of the	642
Revised Code. If the director approves the agreement, the director	643
shall send notice of approval to each county that is a party to	644
the agreement. Unless otherwise provided in the cooperative	645
agreement, the agreement is effective immediately upon approval by	646
the director. If the director does not approve the agreement, the	647
director shall send notice of denial to each county that is a	648
party to the agreement. The notice of denial shall include the	649
reason or reasons for the denial and recommendations for ways in	650
which the agreement may be changed to meet the approval of the	651
director. If the director does not make a determination within	652
ninety days after receiving a cooperative agreement under this	653
section, the director is deemed to have approved the agreement	654
and, unless otherwise provided in the agreement, the agreement is	655
effective immediately. No cooperative agreement is effective	656
without actual or constructive approval by the director under this	657
section.	658

(D) The cooperative agreement governing a regional	659
transportation improvement project may be amended at any time by	660
majority vote of the governing board and of the boards of county	661
commissioners of each of the participating counties and with the	662
approval of the director of transportation obtained in the same	663
manner as approval of the original agreement.	664

Sec. 5595.04.  The governing board of a regional	665
transportation improvement project may do any of the following:	666

(A) Make and enter into all contracts and agreements	667
necessary or incidental to the performance of its functions and	668
the execution of its powers under this chapter and in accordance	669
with the cooperative agreement. The procuring of goods and	670
awarding of contracts with a cost in excess of fifty thousand	671
dollars shall be done in accordance with the competitive bidding	672
procedures established for boards of county commissioners by	673
sections 307.86 to 307.91 of the Revised Code.	674

(B) Sue and be sued in its own name, plead and be impleaded,	675
provided any actions against the governing board or the regional	676
transportation improvement project shall be brought in the court	677
of common pleas of a county that is a party to the cooperative	678
agreement or in the court of common pleas of the county in which	679
the cause of action arose, and all summonses, exceptions, and	680
notices shall be served on the governing board by leaving a copy	681
thereof at its principal office with a member of the governing	682
board or an employee or agent thereof;	683

(C) Employ or retain persons as are necessary in the judgment	684
of the governing board to carry out the project, and fix their	685
compensation;	686

(D) Acquire by purchase, lease, lease-purchase, lease with	687
option to purchase, appropriation, or otherwise any property	688
necessary, convenient, or proper for the construction,	689
maintenance, repair, or operation of one or more transportation	690
improvements. The governing board may pledge net revenues, to the	691
extent permitted by this chapter with respect to bonds, to secure	692
payments to be paid by the governing board under such a lease,	693
lease-purchase agreement, or lease with option to purchase. Title	694
to real and personal property shall be held in the name of the	695
governing board. In any proceedings for appropriation under this	696
section, the procedure to be followed shall be in accordance with	697
that provided in sections 163.01 to 163.22 of the Revised Code.	698
Except as otherwise agreed to by the owner of the property, full	699
compensation shall be paid for public property so taken.	700

(E) Issue securities to pay for the costs of transportation	701
improvements pursuant to section 5595.05 of the Revised Code.	702

Sec. 5595.05.  The governing board of a regional	703
transportation improvement project may provide for the issuance of	704
securities for the purpose of paying costs of transportation	705
improvements. The securities are Chapter 133. securities, and the	706
issuance of the securities, the maturities and other details	707
thereof, the rights of the holders thereof, and the rights,	708
duties, and obligations of the governing board in respect to the	709
securities is governed by the applicable bond proceedings, section	710
133.22 or 133.23, and other applicable sections of Chapter 133. of	711
the Revised Code, notwithstanding that the transportation	712
improvements may result in permanent improvements for more than	713
one purpose under that chapter.	714

Such securities do not constitute a debt or a pledge of the	715
faith and credit of the state or of any political subdivision of	716
the state. Debt charges on outstanding securities are payable	717
solely from revenues pledged to the regional transportation	718
improvement project pursuant to section 5595.06 of the Revised	719
Code. All securities shall contain on their face a statement to	720
that effect. Sections 9.98 to 9.983 of the Revised Code apply to	721
the securities.	722

Sec. 5595.06.  (A) The governing board of a regional	723
transportation improvement project, pursuant to the cooperative	724
agreement, may request and receive pledges of revenue from the	725
state, the counties that are parties to the agreement, and any	726
political subdivision or taxing unit located within any of those	727
counties. Except as provided in division (B) of this section, the	728
pledged revenues shall be used solely for the purpose of funding	729
the transportation improvements prescribed by the cooperative	730
agreement, the debt charges on any securities issued by the	731
governing board under section 5595.05 of the Revised Code, and the	732
expenses of the governing board. The state, the counties, and any	733
political subdivision or taxing unit located within such a county	734
may pledge revenue to the governing board from any of the	735
following sources:	736

(1) The general revenue fund of the state;

737

(2) License tax revenue derived from an annual motor vehicle	738
license tax imposed pursuant to section 4504.22 of the Revised	739
Code;	740

(3) Payments in lieu of taxes derived under section 5709.42,	741
5709.74, or 5709.79 of the Revised Code if the real property for	742
which such payments are made will benefit from the proposed	743
transportation improvements;	744

(4) Income tax revenue derived from a joint economic	745
development district or joint economic development zone	746
established pursuant to section 715.69, 715.691, 715.70, or 715.71	747
or sections 715.72 to 715.81 of the Revised Code if the district	748
or zone will benefit from the proposed transportation	749
improvements;	750

(5) Revenue derived from special assessments levied in a	751
special improvement district created under Chapter 1710. of the	752
Revised Code if the district will benefit from the proposed	753
transportation improvements;	754

(6) Revenue from an income source of a new community district	755
established pursuant to section 349.03 of the Revised Code if the	756
district will benefit from the proposed transportation	757
improvements.	758

(B) The governing board shall use license tax revenue pledged	759
to the project under division (A)(2) of this section for the	760
purpose of funding transportation improvements described in the	761
cooperative agreement and any other supplemental transportation	762
improvements necessary to complete the project. If the board	763
intends to use any of the license tax revenue for supplemental	764
improvements not described in the agreement, the board, before	765
submitting a request for license tax revenue to a board of county	766
commissioners under section 4504.22 of the Revised Code, shall	767
adopt a resolution allocating the revenue among the improvements	768
described in the agreement and such supplemental improvements not	769
described in the agreement. The amount used for supplemental	770
improvements may not exceed five dollars for each motor vehicle on	771
which the motor vehicle license tax is collected. If the motor	772
vehicle license tax is approved, the governing board shall	773
allocate the revenue only in accordance with the resolution. The	774
allocation may not be changed unless a proposition to change the	775
allocation is approved by the majority of electors voting on the	776
proposition in each county that is a party to the cooperative	777
agreement. Such a proposition may be proposed by resolution of the	778
governing board certified to the board of county commissioners of	779
each county, and, upon receiving such a certified resolution, each	780
board of county commissioners shall certify identical resolutions	781
to the respective county board of elections for placement on the	782
questions and issues ballot at the next succeeding election	783
occurring at least ninety days after the resolution is certified	784
to the board of elections.	785

Sec. 5595.07.  The governing board of a regional	786
transportation improvement project may submit a written request to	787
the director of transportation for the assistance of the	788
department of transportation in any or all aspects, components, or	789
phases of that project. Upon receipt of such a request, the	790
director may require the board to submit documentation to	791
substantiate that the board has sufficient resources to fund the	792
board's share of the project. If the director determines that the	793
board has sufficient resources, the director may make available to	794
the board resources of the department as may be necessary to	795
fulfill the request. The director, in the director's discretion,	796
may elect to assign any or all of any post-construction management	797
responsibilities for the project back to the governing board.	798

The governing board shall pay all expenses the department	799
incurs in fulfilling the request of the governing board for	800
assistance, which expenses may be paid from the proceeds of bonds	801
issued by the governing board under this section.	802

Sec. 5595.08.  All money, funds, properties, and assets	803
acquired by the governing board of a regional transportation	804
improvement project under this chapter, whether as proceeds from	805
the sale of securities, as revenues, or otherwise, shall be held	806
by it in trust for the purpose of carrying out its powers and	807
duties, shall be used and reused as provided in this chapter, and	808
shall at no time be part of other public funds. Such funds, except	809
as otherwise provided in bond proceedings or in any trust	810
agreement securing such securities, or except when invested	811
pursuant to section 5595.09 of the Revised Code, shall be kept in	812
depositories selected by the governing board in the manner	813
provided in Chapter 135. of the Revised Code for the selection of	814
eligible public depositories, and the deposits shall be secured as	815
provided in that chapter. Bond proceedings or the trust agreement	816
securing securities shall provide that any officer to whom, or any	817
bank or trust company to which, such money is paid shall act as	818
trustee of the money and hold and apply the money for the purposes	819
for which the securities are issued, subject to such conditions as	820
Chapter 133. or 135. of the Revised Code and such proceedings or	821
trust agreement provide.	822

Sec. 5595.09.  Except as otherwise provided in any bond	823
proceedings or in any trust agreement securing securities, money	824
in the funds of the governing board of a regional transportation	825
improvement project in excess of current needs may be invested as	826
permitted by sections 135.01 to 135.21 of the Revised Code. Income	827
from all investments of moneys in any fund shall be credited to	828
funds as the governing board determines, subject to the provisions	829
of any such proceedings or trust agreement, and the investments	830
may be sold at any time the governing board determines.	831

Sec. 5595.10.  The county auditor of the county with the	832
greatest population, according to the most recent federal	833
decennial census, that is a party to the cooperative agreement	834
shall be the fiscal officer for the governing board of the	835
project. The county prosecutor of the county with the greatest	836
population, according to the most recent federal decennial census,	837
that is participating in the project shall be the legal advisor of	838
the governing board of the project and shall prosecute and defend	839
all suits and actions that the governing board directs or to which	840
it is a party.	841

Sec. 5595.11.  The exercise of the powers granted by this	842
chapter is in all respects for the benefit of the people of the	843
state, for the increase of their commerce and prosperity, and for	844
the improvement of their health and living conditions, and, as the	845
completion of transportation improvements by a regional	846
transportation improvement project constitute the performance of	847
essential governmental functions, neither the project nor the	848
governing board may be required to pay any state or local taxes or	849
assessments upon any improvement, or upon revenue or any property	850
acquired or used by the governing board of the project under this	851
chapter, or upon the income therefrom. The securities issued under	852
this chapter, their transfer, and the income therefrom, including	853
any profit made on the sale thereof, shall at all times be free	854
from taxation within the state.	855

Sec. 5595.12.  Notwithstanding any other section of the	856
Revised Code to the contrary, the approval, consent, or	857
cooperation of a political subdivision is not required for a	858
transportation improvement that involves constructing or improving	859
a street or highway that runs through the territory of the	860
political subdivision, connects to a highway that is part of the	861
interstate system, and has been journalized by the director of	862
transportation prior to the effective date of the enactment of	863
this section.	864

Sec. 5595.13.  The governing board of a regional	865
transportation improvement project shall not use any amount	866
pledged or allocated to the board under this chapter for	867
administrative expenses of the board without prior approval of the	868
director of transportation. The director may approve expenses	869
individually by line item or may approve an aggregate amount to be	870
allocated for administrative expenses over a period of time not	871
exceeding twelve months. The director may prescribe rules pursuant	872
to Chapter 119. of the Revised Code necessary to implement this	873
section.	874

Sec. 5595.14.  Upon completion of the transportation	875
improvements listed in the cooperative agreement, fulfillment of	876
all contractual duties assumed by the governing board, and	877
repayment of all bonds issued by the governing board, the regional	878
transportation improvement project and the governing board shall	879
dissolve by operation of law. Upon dissolution of the regional	880
transportation improvement project, the boards of county	881
commissioners that created the regional transportation improvement	882
project shall assume title to all real and personal property	883
acquired by the board in the fulfillment of its duties under this	884
chapter. The property shall be divided and distributed in	885
accordance with the cooperative agreement. Unless otherwise	886
provided by contract, pledges of revenue to the governing board	887
from the state or a political subdivision or taxing unit shall	888
terminate by operation of law upon the dissolution of the regional	889
transportation improvement project.	890

Section 2.  That existing sections 133.01, 4504.08, and	891
4504.09 of the Revised Code are hereby repealed.	892