Brady PieperThis article was written using information found in the National Bond Report from Strategic Partnerships, Inc. This comprehensive report features information on every public entity planning to hold a bond election. To purchase this report, click here.
Ohio is introducing new bond language that could provide up to $2.5 billion in voter-approved funding for capital improvement projects.
The new bond language, unanimously approved by the Ohio Ballot Board earlier this month, proposes an amendment to the state constitution that allows the issuance of bonds to fund government projects.
Appearing on Ohio residents’ May 6 ballots, the proposed amendment seeks to provide state, local and regional municipalities the enhanced ability to finance public infrastructure capital improvements and improve the state’s health, welfare and economic growth.
If approved, the new legislation will levy the issuance of up to $250 million of general obligation bonds annually over the span of 10 years. Starting in fiscal year 2026-27, the bonds would mature for a maximum period of 30 years from the date of issuance.
The proposal will appear on residents’ ballots under state Issue 2 and will be the first requested bond issuance to support public infrastructure since 2014, when voters last approved $1.85 billion for the Capital Improvement Program (CIP).
Similarly, without raising taxes, this proposed funding looks to continue the state’s CIP, under the Public Works Commission, and expand local infrastructure capital improvement initiatives.
The state CIP, which has historically financed local improvements through general obligation bonds, funds a wide variety of infrastructure projects, including but not limited to roads, bridges, transit systems, water management, solid waste disposal, storm water systems and sanitation.
The CIP also supports initiatives that acquire new equipment and technologies, construct new facilities, enhance existing infrastructure and ensure public health, safety and welfare.
Looking ahead, state lawmakers will convene for Ohio’s 135th Legislative General Assembly to address the state’s most pressing challenges. If approved, local municipalities, such as corporations, counties, townships or other government entities, can apply to funding opportunities from the CIP.
State CIP funding may also support certain planning, financial management or administrative services, in accordance with state law.
Additional information on the proposed bond language, including bill analysis and estimated bond funding details, can be found in the state Legislative Service Commission’s Redbook on the Department of Development or in the General Assembly’s previously approved House Joint Resolution 8.
Photo courtesy Doug Kerr, CC BY-SA 2.0 https://creativecommons.org/licenses/by-sa/2.0, via Wikimedia Commons
