05/07/2014

Voters authorize renewal of local public works program by big margin

Ohio voters gave their overwhelming endorsement Tuesday to a 10-year renewal of the state program that finances construction of local infrastructure projects.

Issue 1 passed with more than 65 percent of the votes cast statewide, according to unofficial returns reported by the Ohio Secretary of State Jon Husted. This marks the third time voters have approved renewal of the State Capital Improvement Program (SCIP) since it was launched in 1987. 

Approval of the ballot question authorizes the state to issue up to $175 million in bonds annually in state fiscal years 2016 through 2021 to provide grants and loans for local roads and bridges, waste water treatment systems, water supply systems, solid waste disposal facilities, and storm water storage and treatment facilities. The state could issue up to $200 million in bonds in fiscal years 2022 through 2026.

Currently the state issues $150 million in bonds annually to support the program, which is administered by the Ohio Public Works Commission.  The bonds are paid off from the state's general revenues, and the Legislative Service Commission estimates the total cost of debt-service payments at $3.5 billion over 30 years.

Nineteen local District Integrating Committees, covering all of Ohio, select projects for funding after reviewing and ranking applications submitted by counties, cities, villages, townships, and water and sanitary districts.

Grants are available for up to 90 percent of the cost of facility repair and replacement projects, and up to 50 percent of the cost of new construction or facility expansion projects. Low-interest loans are available for up to 100 percent of project costs.

Since its inception in the late 1980s, the program has funded more than 11,500 local projects across the state.

The campaign for approval of the issue was funded and coordinated by the Strong Ohio Communities coalition, of which ACEC Ohio is a member.