House Bill 96 (State Operating Budget)
To make operating appropriations for the biennium beginning July 1, 2025, and ending June 30, 2027, to levy taxes, and to provide authorization and conditions for the operation of state programs.
The OTA is an Interested Party for this bill.
Status
This bill is in the House Finance Committee and has had its first hearing. The Governor released his proposal on February 11, 2025. As the OTA continues to read the over 4,000-page as introduced bill, below are some of the provisions that impact townships.
- Increase to the Local Government Fund (LGF) OTA Supports
HB 96 increases the local government fund from the current 1.7% to 1.75%. - Ohio Public Works Commission OTA Supports
HB 96 changes the definition of "Local Debt Support" to only the subsidization of the interest rate on a loan. It also deletes the 10% limit on a district public works integrating the committee's annual allocation share and allows for the committee to determine the share awarded to subdivisions. - Volunteer Firefighters
Increases Volunteer firefighter leave from 40 hours to 120 hours for either providing emergency medical service or firefighting service or attending training or continuing education programs. - Adult-Use Marijuana Law Changes OTA Opposes
HB 96 completely changes the funding structure of Adult-Use marijuana. Current law gives the community that has allowed a dispensary 36% of the 10% excise tax. Instead, HB 96 eliminates the community host fee and changes the revenue distribution, giving a majority of the tax to fund grants to construct, renovate, or improve county jails and to fund peace officer training and peace officer training facilities. - Adult Use Regulatory Authority
Not only does the as-introduced version of the bill take away the community host fee, but it also eliminates a township's ability to prohibit or limit the operations of an Adult-Use cultivator, processor, or Adult-Use dispensary after the effective date of the legislation. Those who passed moratoriums prior to the effective date of the legislation will not be affected and cannot be revoked.
The OTA is opposed to these potential changes to the community host fee and regulatory authority. We have been in contact with members of the General Assembly and the Governor's office on these issues.
Other Appropriations items in HB 96
- Indigent Burial Fund - $250,000 per fiscal year
- Grants for Fire Departments - $7,515,000 per fiscal year
- Grants for Small Gov Fire Departments - $600,000 per fiscal year
- Local Government Cybersecurity Grants - $7,000,000 for FY 26
- Brownfield Remediation - $2,250,000 per fiscal year
- Appalachia Assistance - $12,680,362 for FY 26 and $12,682,630 FY 27
- Township Gas Tax Excise Fund - $214,000,000 for FY 26 and $218,400,000 FY 27
- Cemetery Funding - $326,349 for FY 26 and $332,990 for FY 27
Next Steps:
The state operating budget is subject to legislative approval. This is your opportunity to voice your opinions during the budget review process to advocate for your township's interests. The OTA encourages townships to engage with your state representatives to share your concerns on the provisions in the bill. Your advocacy matters! If you do not know who your legislators are, please click here.
See the links below for more information on the Ohio Legislature's website, such as proponent and opponent testimonies, a summary of the bill, and more.