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Legislature wraps up session with Capital Funding

06/24/2020

Legislature wraps up session with Capital Funding

At 1:30am on Friday, June 12th, the Ohio House wrapped up their pre-summer recess Session.  Earlier that week on Wednesday, the Senate acted on a number of measures then went home.  While the House for all intents and purposes isn’t schedule to be back until September, the Senate has several additional Session dates for June, and “as needed” dates in July and August.  What has made the past month interesting is the pace of committees and Session's was more like a post-Election Lame Duck with dozens of bills moving through committees and floor votes, the intensity of some of the debates, and the fact that there didn’t seem to be much coordination between the two Chambers on which bills would be moving through the process.  A few items of interest for ACEC Ohio members:
 
  • What started out as 3 separate bills to deal with coronavirus relief (SB 310 - disbursement of $350 million in CARES Act funding to local governments), a House proposal for capital reappropriations (HB 670 - a pared down $700 million reappropriations plan), and a counter Senate proposal (SB 316 - fully funded $1.28 billion reappropriations plan), became a back and forth between the two Chambers as to how these funding issues would be dealt with.  Ultimately, the Senate amended the CARES Act funding and the full reappropriations measure into an unrelated House land conveyance bill (HB 481) which the House approved late Thursday evening and sent to the Governor for signature.  This measure also includes reappropriations authority for the Ohio Public Works Commission (OPWC).

 

  • SB4 was passed quickly by the House as a "mini capital appropriations bill" following behind-the-scenes negotiations between the GOP-led chambers. The Senate concurred with the changes to the bill yesterday and it's heading to the Governor for signature.  SB 4 included: another $300 million for school facilities; and $255 million for public works, including $175 million for the State Capital Improvement Program, $37.5 million for the Clean Ohio Program and $42.5 million for the public works loan program.

 

  • Governor DeWine announced that Ohio will borrow money to meet its unemployment obligation during the COVID-19 pandemic. The state requested $3.1 billion in borrowing authority from the U.S. Department of Labor, similar to what the state did during the Great Recession when they borrowed $3.3 billion, that they finally repaid in 2016.  The feds are not charging interest to states on these funds at this time.  Separately, the Ohio Senate last week approved SJR 4 to seek voter approval for an amendment allowing the state to issue debt to repay advances from the federal government to the state's unemployment compensation system.  For several years now, the state has been looking at a long term solution to Ohio’s worker’s compensation funding program, but has not acted on any proposal yet.

 

  • HB 159 (Indemnity) - After finally reaching an agreement on language with ODOT, OFCC, OTIC, and the Ohio Municipal League, a 3rd hearing was held on HB 159.  Unfortunately there is a House Rule that requires a two-week notice of a chairman’s intent to move a bill out of committee, and with the House now in recess, we must wait until they return in September.  The good news is these state and local government interests, who had concerns with the language, are now neutral on the bill.

Unfortunately the legislature did not enact the civil immunity for healthcare workers and businesses that these groups were seeking for protection from litigation due to the pandemic.  Both the House (HB 606) and the Senate (SB 308) passed their respective versions to deal with this issue, but recessed before finalizing action, much to the chagrin of medical providers and the business community.  We’ll continue to monitor if the Senate accepts HB 606 before they recess for the summer.

It is possible that, depending on what happens over the summer relative to COVID19, the General Assembly may be back to deal with other issues.  If that occurs we will be sure to keep you advised.
 
Stay safe & healthy,
 
Kevin Futryk

For more information on state issues we're following click here.

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