Busy legislative week as tax, local fiscal liability legislation considered in multiple committees
Senate approves Sales Tax Exemption
Senate Bill 235 (Sen. Roegner), which exempts certain fees from the sales tax, passed the Senate by a 31 – 0 vote. The exempted fees are: (1) electronic tax filing and payment service charges used in business to report or pay income tax, other than employee withholding, on behalf of an individual, and (2) documentary service charges imposed by motor vehicle dealers and manufactured home dealers. The Legislative Service Commission estimates that these two changes combined will remove about $10 million in sales tax revenue to counties and transit authorities. CCAO is opposed to the bill.
Senate approves legislation affecting county land banks and tax foreclosure
Senate Bill 112 (Sen. Dolan), a bill that makes numerous changes to procedures that affect county land banks and tax foreclosures, passed the Senate by a vote of 31 – 0.
One of the notable features of the bill is that it allows county commissioners to direct up to 50 percent of taxes collected on certain real property conveyed by a county land bank to be paid to the land bank for up to five years, rather than to the applicable taxing districts. Also, the bill allows tax foreclosure notices to be published electronically rather than in newspapers, creating a potential savings for counties.
The bill changes the current law split of sale proceeds to the county treasurer and prosecutor’s DTAC funds. Under the bill, the county prosecutor and treasurer each receive 10% of the sale proceeds, and an additional 10% is deposited into the county land reutilization fund if one exists. The county auditor’s fee for deeds of land sold for taxes is increased from $5 to $45. CCAO supports the bill.
House Committee Considers Legislation to Modify Fiscal Officer Liability
CCAO offered proponent testimony for Senate Bill 15 (Sen. Wilson) in the House State and Local Government Committee. The bill clarifies that a fiscal officer is not liable for the loss of public funds if the officer performed his or her official duties with reasonable care. The officer is only liable for the loss of public funds if he or she acted negligently or committed a wrongful act.
The bill is supported by the County Treasurers Association and the County Auditors Association.
Senate passes modification to “sore loser law”
The Ohio Senate this week passed Senate Bill 53, which updates Ohio’s sore loser election law. Under current statute, a candidate who appeared on the primary ballot for any position is ineligible to fill a ballot vacancy, even for a different position on the November ballot.
Recently, a sitting mayor who was running for re-election resigned from his position days after winning the primary election. Due to Ohio’s statute, five out of six candidates who applied to fill the appointment for the mayor’s office were disqualified because they each had appeared on the primary ballot for separate elections.
This legislation creates an exception to Ohio’s sore loser law to allow a person who sought a political party’s nomination to an office at a primary election to become a candidate for a local partisan office at the following general election by filling a vacancy on the ballot.
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