OREIA Legilative Report June 2019
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OREIA
Ohio Real Estate Investors Association
Legislative Activities Report
June 2019
The Ohio Senate is moving forward with its deliberation on the State operating budget (HB 166) for FY 20-21. The $69 billion spending plan received hearings before a series of subcommittees before being referred back to the full finance committee, where the bill is currently pending. The operating budget would fund the state of Ohio while also implementing a wide range of policy initiatives important to the General Assembly and the Governor. The Senate received roughly 2,000 amendments to be considered for the bill and will unveil its version of a substitute bill to reflect the chamber’s initiatives. President Obhof refrained from offering an opinion of the House-added provisions, which included a reduction in the business income deduction from $250,000 to $100,000, but did reiterate his members’ commitment that any spending plan the Senate passes will include “a significant net tax cut.” The business-friendly upper chamber has sought tax reductions in each of the budgets passed under the leadership of Senator Obhof, but details on other priories from the chamber have, so far, been scarce. "We haven't picked a landing place on a whole lot of issues yet, so I will say the sub bill will speak for itself and we're not there yet," Sen. Obhof said.
House Bill 103, aimed at making wholesale changes to the land installment contract law, is undergoing review in the House Civil Justice Committee. Sponsored by Youngstown-area Representatives Don Manning and Michelle Lepore-Hagan, the bill seeks to protect Ohioans from “unscrupulous landlords and property management firms enticing residents to take out high-interest, long-term loans the lenders knew borrowers would have little, if any, chance of repaying” the Representatives said in sponsor testimony. The legislation would require independent inspections to meet local building codes and that liens and encumbrances be paid in full before a contract can be executed. HB 103 would also require an independent appraisal and force the seller to make all necessary repairs to bring a property into compliance prior to its sale.
When House colleagues pointed out the negative impact HB 103 poses to the real-estate industry as a whole, the sponsors stated that the intent of the legislation is to root out the bad actors in the industry, and that changes to the bill are expected in the coming weeks.
Proponents of the HB 103 testified to the committee in late May, pointing to cities like Toledo, Cincinnati, Cleveland and Youngstown that have already implemented ordinances to protect residents, but that additional state regulation is needed. From 2008 to 2018, there has been more than 47,000 land contacts recorded in Ohio, including more than 5,100 in the Mahoning Valley. Kalitha Williams of Policy Matters Ohio added “This is not simply a problem in these communities. Our analysis found that nearly every county has recorded land contracts with the highest concentration in southern Ohio. It's likely that communities throughout the state have consumers that have been harmed by land contracts." Ian Beniston of the Youngstown Neighborhood Development Corporation pointed to the negative impact land contracts on already economically disadvantaged communities. "These predatory land contracts cause great harm to our neighborhoods leaving behind abandoned and blighted homes that become havens for crime and further neighborhood decay after multiple vendees have been cycled through the property," he said. "The local community must tear down or clean up the blight caused by predatory land contracts and bear the burden of the cost of delinquent property tax, unpaid code and water bills and safety services something that is not easy to do for fiscally distressed communities." When asked if the legislation would create more of a landlord-tenant relationship he said he does not believe that to be the case, noting that under land installment contracts, the person occupying a dwelling does not own the property until the contract is complete. The Legal Aid Society of Southwest Ohio expressed support for the measure but called for strengthening it through increased requirements on recording transfers of land contracts and further protections against the forfeiture of land contracts. The Society also called for “an exception for non-profit, community development corporations that are using land installment contracts as a means of truly revitalizing their communities.”
The House’s prenatal healthcare priority bill, HB 11, is supported by OREIA and expected to move quickly through the House —likely before the summer recess—as are the rest of the chamber’s priority bills. HB 11 contains a provision that would require mothers of newborns who live in properties built before 1979 to receive information on lead-based paint from professionals that do follow-up home visits after the birth of a child. Often, a certain amount of time elapses between when a tenant moves in and when a baby arrives in the household. Having a home visit professional/nurse provide information on lead-based paint during a follow-up visit makes sense as a refresher to a document that may have been put aside when the tenant first moved in because it did not apply to the tenant's situation at that time. HB 11 directs the Ohio Department of Health to develop educational materials for distribution. The measure is in-line with the Governor’s plan to address lead paint with the language included in the budget that authorizes taxpayers to apply to the Ohio Department of Health for nonrefundable income tax credit costs incurred to abate lead hazards in a dwelling unit built before 1979.
OREIA held its “Day at the Capitol” on May 29th with members from REIA chapters from across the state attending for a day of education and advocacy in Columbus. Attendees were given updates on important issues affecting the industry and were given the opportunity to meet with their elected representatives and advocate on OREIA’s behalf. The group also heard speeches from Representatives Derek Merrin and Thomas West, as well as Senator Lou Terhar and renowned constitutional law attorney Maurice Thompson. Next year’s “Day at the Capitol” is tentatively scheduled for Wednesday, May 13, 2020. More information regarding next year’s event will be provided in the coming months.
After weeks of heated debate, HB 6, the controversial energy bill, made its way to the House floor where House members passed the measure 53-43, with 43 Republicans and 10 Democrats supporting measure. Just prior to the bill making its way to the House floor, House leaders took the unusual move of accepting amendments in the House Rules and Reference Committee. One of the last-second changes enables solar facilities of at least 50 megawatts that have obtained a certificate from the Power Siting Board prior to June 1, 2019, to also qualify for credits. "We just had members who were interested in that and it just helped us put votes together," Speaker Householder said of the provision. The measure now heads to the Senate for further deliberation.
The House seated Jeffrey LaRe to the 77th District seat formerly held by now-Sen. Tim Schaffer. Rep. LaRe, executive vice president of The Whitestone Group, is a longtime professional in the security industry, a former deputy sheriff and private investigator. He was chosen out of five applicants for the seat. The House also seated a new member to fill the 76th House District formerly occupied by Sarah LaTourette, who was appointed by Gov. Mike DeWine to be executive director of Ohio Family and Children First. House Republicans selected Diane Grendell, who had previously served in the House from 1992-2000. She also served at the 11th District Court of Appeals judge for 16 years and previously served as a JAG officer in the Ohio Military Reserve Finally, The House seated Gil Blair to replace former Rep. Glenn Holmes of the 63rd District, who resigned for an appointment on the Parole Board. Rep. Blair is an attorney, Weathersfield Township trustee, and assistant law director for the City of Warren.
Below is a list of legislation we are currently tracking during the 133rd Ohio General Assembly:
HB11
TOBACCO CESSATION-PRENATAL CARE (MANNING G, HOWSE S) Regarding tobacco cessation and prenatal initiatives and to make an appropriation.
Current Status: 6/4/2019 - BILL AMENDED, House Health, (Third Hearing)
Position: Support
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-11
HB20
SOLAR PANEL LIMITATIONS (BLESSING III L) To prohibit condominium, homeowners, and neighborhood associations from imposing unreasonable limitations on the installation of solar collector systems on the roof or exterior walls of improvements.
Current Status: 2/12/2019 - Referred to Committee House State and Local Government
Position:Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-20
HB21
MASS LAYOFFS-UNEMPLOYMENT COMP (HOLMES G, MILLER A) Regarding notices, resources, and benefits under the Unemployment Compensation Law when a mass layoff occurs.
Current Status: 2/12/2019 - Referred to Committee House Commerce and Labor
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-21
HB34
STATE-LOCAL MINIMUM WAGE (KELLY B) To increase the state minimum wage and to allow municipalities, townships, and counties to establish higher minimum wage requirements.
Current Status: 2/12/2019 - Referred to Committee House Commerce and Labor
Position:Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-34
HB37
VICIOUS DOGS LAW (ANTANI N, HOLMES G) To revise the laws governing nuisance, dangerous, and vicious dogs.
Current Status: 3/7/2019 - REFERRED TO SUBCOMMITTEE, House Criminal Justice, (First Hearing)
Position:Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-37
HB47
TAX COMPLAINTS-LEGAL ASSISTANCE FOUNDATION (GREENSPAN D) To increase the time within which property tax complaints must be decided.
Current Status: 5/29/2019 - Referred to Committee Senate Ways and Means
Comments: Dan Acton testified as an interested party on 4/2/19.
Position:Interested Party
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-47
HB74
JUNK WATERCRAFT-UNCOVERED (ARNDT S) To prohibit a property owner from leaving a junk watercraft vessel or outboard motor uncovered in the open on the owner's property.
Current Status: 5/1/2019 - House State and Local Government, (Second Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-74
HB75
PROPERTY VALUE CONTESTS (MERRIN D) To require local governments that contest property values to formally pass an authorizing resolution for each contest and to notify property owners.
Current Status: 4/9/2019 - REPORTED OUT, House Ways and Means, (Fourth Hearing)
Comments: Dan Acton testified in support of HB 75 on 3/19/19.
Position: Support
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-75
HB76
BALLOT LANGUAGE UNIFORMITY (MERRIN D) To enact the "Ballot Uniformity and Transparency Act" to modify the form of election notices and ballot language for property tax levies.
Current Status: 4/9/2019 - REPORTED OUT AS AMENDED, House Ways and Means, (Fourth Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-76
HB79
INDUSTRIAL COMMISSION BUDGET (OELSLAGER S) To make appropriations for the Industrial Commission for the biennium beginning July 1, 2019, and ending June 30, 2021, and to provide authorization and conditions for the operation of Commission programs.
Current Status: 6/4/2019 - Referred to Committee Senate Transportation, Commerce and Workforce
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-79
HB80
BWC BUDGET (OELSLAGER S) To make appropriations for the Bureau of Workers' Compensation for the biennium beginning July 1, 2019, and ending June 30, 2021, and to provide authorization and conditions for the operation of the bureau's programs.
Current Status: 6/5/2019 - PASSED BY HOUSE; Vote 56-38, Bill Amended on Floor
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-80
HB99
HOMESTEAD EXEMPTION ELIGIBILITY (CERA J, ROGERS J) To raise the homestead exemption income eligibility to $60,000 and increase the tax reduction.
Current Status: 3/5/2019 - Referred to Committee House Ways and Means
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-99
HB103
LAND INSTALLMENT CONTRACTS (LEPORE-HAGAN M, MANNING D) To make changes to the law relating to land installment contracts.
Current Status: 5/21/2019 - House Civil Justice, (Second Hearing)
Position:Oppose
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-103
HB115
REGULATOR RESTRICTION REDUCTION (RIEDEL C, ROEMER B) To require certain agencies to reduce the number of regulator restrictions and to amend the versions of sections 106.021 and 106.03 of the Revised Code that are scheduled to take effect August 18, 2019, to continue the provision of this act on and after that effective date.
Current Status:
4/10/2019 - House State and Local Government, (Second Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-115
HB124
RESIDENTIAL SMALL LIVESTOCK (BRINKMAN T) To allow an owner of residential property to keep small livestock on the property and to prohibit zoning authorities from regulating certain noncommercial agricultural activities on residential property.
Current Status: 3/12/2019 - Referred to Committee House Agriculture and Rural Development
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-124
HB131
DEBT ADJUSTING (ROEMER B) Regarding debt adjusting.
Current Status: 6/4/2019 - House Financial Institutions, (Fourth Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-131
HB134
MARCH SALES TAX HOLIDAY (ANTANI N, WEINSTEIN C) To provide a three-day sales tax "holiday" each March during which sales of qualifying Energy Star products are exempt from sales and use taxes.
Current Status: 3/19/2019 - Referred to Committee House Ways and Means
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-134
HB138
PROPERTY ASSESSMENT COST (ROGERS J) To increase from $250 to $500 the estimated cost of certain special assessments for which a municipal corporation must provide notice to affected property owners.
Current Status: 5/22/2019 - House State and Local Government, (First Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-138
HB149
PROPERTY TAX EXEMPT-RESIDENTIAL SUBDIVISION (MERRIN D) To enact the "Affordable Homebuilding and Housing Act" to temporarily exempt from property tax the increased value of land subdivided for residential development.
Current Status: 4/10/2019 - House Economic and Workforce Development, (Second Hearing)
Comments: Dan Acton provided testimony on April 10, 2019
Position: Support
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-149
HB152
TAX LEVY-SUBDIVISION CREATOR (BRINKMAN T) To require certain subdivisions to obtain the approval of the body that created the subdivision before levying a tax.
Current Status: 4/10/2019 - House State and Local Government, (First Hearing)
Position: Monitor
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-152
HB166
OPERATING BUDGET (OELSLAGER S) To make operating appropriations for the biennium beginning July 1, 2019, and ending June 30, 2021, and to provide authorization and conditions for the operation of state programs.
Current Status: 6/5/2019 - Senate Finance, (Sixth Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-166
HB187
TAX ISSUES-AUGUST (MERRIN D, WIGGAM S) To prohibit local tax-related proposals from appearing on an August special election ballot.
Current Status: 4/10/2019 - Referred to Committee House State and Local Government
Position: Support
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-187
HB197
TAX CODE CORRECTIONS (POWELL J, MERRIN D) To enact the "Tax Code Streamlining and Correction Act" to make technical and corrective changes to the laws governing taxation.
Current Status: 5/7/2019 - House Ways and Means, (First Hearing)
Position: Monitor
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-197
HB199
ROOFING CONTRACTOR LICENSURE (PATTON T) To require commercial roofing contractors to have a license.
Current Status: 6/5/2019 - House Commerce and Labor, (Second Hearing)
Position: Monitor
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-199
HB229
INCOME DISCRIMINATION-HOUSING (UPCHURCH T, MILLER A) To prohibit discrimination in rental housing based on lawful source of income.
Current Status: 5/8/2019 - Referred to Committee House Commerce and Labor
Position: Oppose
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-229
HB245
PROPERTY TAX EXEMPTION TIMELINES (SMITH J) To remove the current deadlines by which an owner or lessee of a qualified energy project must apply for a property tax exemption.
Current Status: 5/21/2019 - Referred to Committee House Energy and Natural Resources
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-245
HB252
LAND REUTILIZATION (GREENSPAN D) To create the Land Reutilization Demolition Program and to make an appropriation.
Current Status: 6/5/2019 - House Economic and Workforce Development, (First Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-252
HB255
PROPERTY TAX EXEMPTION REVIEW (HOOPS J) To require the Tax Commissioner's biennial tax expenditure report to include information on property tax exemptions and to require the Tax Expenditure Review Committee to periodically review each property tax exemption.
Current Status: 5/28/2019 - Referred to Committee House Ways and Means
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-255
HB268
VACCINES-EMPLOYMENT (HOOD R, KENT B) To enact the "Medical Consumer Protection Act" to prohibit an employer from taking an adverse employment action against a person who has not been or will not be vaccinated.
Current Status: 6/4/2019 - Referred to Committee House Commerce and Labor
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-268
HB271
SMOKE DETECTOR SAFETY (BALDRIDGE B) To amend the law regarding smoke detectors in residential premises.
Current Status: 6/5/2019 - Referred to Committee House Commerce and Labor
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-271
HB273
DELINQUENT TAX-ONLINE NOTICE (RYAN S, LIPPS S) To permit the second publication of a county delinquent property tax list to be made online instead of in a newspaper.
Current Status: 6/5/2019 - Referred to Committee House Ways and Means
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HB-273
HR140
ABOLISH CORPORATE PERSONHOOD (SKINDELL M) To call on legislators at the state and federal level and other communities and jurisdictions to support an amendment to the United States Constitution that would abolish corporate personhood and the doctrine of money as speech.
Current Status: 5/21/2019 - Referred to Committee House Federalism
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-HR-140
SB1
REDUCE REGULATORY RESTRICTIONS (MCCOLLEY R, ROEGNER K) To require certain agencies to reduce the number of regulatory restrictions and to continue the provision of this act on and after August 18, 2019.
Current Status: 5/14/2019 - Referred to Committee House State and Local Government
Position:Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-1
SB8
TAX CREDITS-OHIO OPPORTUNITY ZONE (SCHURING K) To authorize tax credits for investments in an Ohio Opportunity Zone.
Current Status: 5/8/2019 - House Economic and Workforce Development, (Second Hearing)
Position: Monitor
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-8
SB11
PROHIBIT DISCRIMINATION-SEXUAL ORIENTATION, GENDER IDENTITY (ANTONIO N) To enact the Ohio Fairness Act to prohibit discrimination on the basis of sexual orientation or gender identity or expression, to add mediation as an informal method that the Ohio Civil Rights Commission may use, and to uphold existing religious exemptions under Ohio's Civil Rights Law.
Current Status: 5/22/2019 - Senate Judiciary, (Third Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-11
SB36
FEDERALLY SUBSIDIZED RENTAL PROPERTY VALUATION (HUFFMAN M) To prescribe how federally subsidized residential rental property must be valued for property tax purposes.
Current Status: 4/2/2019 - Senate Ways and Means, (Third Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-36
SB50
INCREASE SOLID WASTE DISPOSAL FEE (EKLUND J) To increase state solid waste disposal fee that is deposited into the Soil and Water Conservation District Assistance Fund, and to make an appropriation.
Current Status: 4/2/2019 - Senate Finance, (Second Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-50
SB86
UTILITY SERVICE RESELLERS (MAHARATH T) To regulate certain resellers of utility service.
Current Status: 3/12/2019 - Referred to Committee Senate Energy and Public Utilities
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-86
SB96
CLEVELAND HOUSING COURT (DOLAN M, YUKO K) To grant the Cleveland Housing Court jurisdiction in any review or appeal of a final order of an administrative body that relates to a local building, health, or safety code.
Current Status: 4/9/2019 - Senate Local Government, Public Safety and Veterans Affairs, (First Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-96
SB112
DEBT ADJUSTING (EKLUND J) Regarding debt adjusting.
Current Status: 4/3/2019 - Senate Insurance and Financial Institutions, (First Hearing)
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-112
SB149
EMPLOYEE WAGE HISTORY (MAHARATH T) To prohibit employers from seeking a prospective employee's wage or salary history.
Current Status: 5/13/2019 - Introduced
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SB-149
SR221
ABOLISH CORPORATE PERSONHOOD (ANTONIO N) To call on legislators at the state and federal level and other communities and jurisdictions to support an amendment to the United States Constitution that would abolish corporate personhood and the doctrine of money as speech.
Current Status: 6/4/2019 - Introduced
Position: Reviewing
State Bill Page: https://www.legislature.ohio.gov/legislation/legislation-summary?id=GA133-SR-221