Please note the RECOMMENDED changes for OPERS.


----- Original Message ----- 
From: "Christine Matacic" <[log in to unmask]>
To: <[log in to unmask]>
Sent: Monday, December 07, 2009 1:43 PM
Subject: [Fwd: Legislative Alert & OTA Update]


> ---------------------------- Original Message ----------------------------
> Subject: Legislative Alert & OTA Update
> From:    "Heidi Fought" <[log in to unmask]>
> Date:    Mon, December 7, 2009 8:31 am
> To:
> --------------------------------------------------------------------------
>
> Dear Township Officials:
>
> Please find below information pertaining to several matters before the
> General Assembly, as well as some other township-related matters.  I
> strongly encourage you to read this entire alert.
>
> SB 184 - Snow Removal To authorize townships to use road equipment and
> labor resources available to a township to plow certain private roads
> and driveways either at the expense of the township or for a fee charged
> to specified persons.
> The OTA Board of Directors voted to oppose this bill on November 13.
> Specifically the Board has concerns about township liability and the use
> of public dollars on private property.
> On Tuesday, the Senate State & Local Government Committee heard
> proponent testimony from two township trustees from NE Ohio.  Following
> the meeting, OTA staff met with the bill's sponsor and the trustees to
> explain the State Association's concerns.  A meeting has been scheduled
> with the sponsor to continue discussions.
>
> HB 260 - Election Laws To revise election laws in Ohio.
> Included in the House passed version of HB 260 is a provision that adds
> new costs that counties could charge townships and other entities that
> hold special elections.  Specifically, HB 260 allows for counties to
> charge townships for the use of all equipment necessary to prepare for
> or conduct elections.  This language is concerning as it is very broad
> and would encompass more equipment than the usual voting machine.
> Additionally, HB 260 allows the county to charge townships that hold
> special elections a fee for the depreciation of the voting machinery
> that is used in the election.  This means that if a voting machine has
> the life of 10 elections and one of the 10 elections happens to be a
> township special election, the township would be paying approximately
> 1/10 of the cost to replace the voting machine.
> This bill was passed by the Ohio House prior to Thanksgiving and now is
> before the Senate State & Local Government Committee.  The OTA is
> working with other interested parties on these concerns.
>
> SB 165 and SB 196 - Oil & Gas Wells To revise oil and gas drilling laws.
> There are two different bills before the Ohio Senate at this time.  SB
> 165 is a revision of laws based on industry and department of natural
> resources recommendations.  SB 196 includes some of these
> recommendations but puts more regulatory control of oil and gas well
> placement and drilling in the hands of local governments, as opposed to
> the state.  The OTA Board of Directors voted to support SB 196 at the
> November 13 meeting as the bill does give more local control.
>
> SB 196 has had one hearing before the Senate Environment & Natural
> Resources Committee.  SB 165 has had five hearings before the same
> committee.  On Wednesday, the Committee voted to accept a substitute
> version of SB 165 that incorporated variations of provisions in SB 196
> including notice to residents on property as opposed to just owners of
> property and increasing dwelling and property line setback requirements
> very slightly to 150 feet.  The OTA still does not support SB 165 and
> still remains supportive of SB 196.  We will continue to monitor this
> legislation for townships.
>
> Casino Revenue
> I am sure you have read in the papers or heard news stories that state
> money from the recently enacted casino ballot issue will flow to local
> governments.  The OTA would like to clarify this statement and make sure
> that there is no confusion on this issue.  Townships WILL NOT receive
> any revenue from the casinos.  Money that is set aside for "local
> governments" pursuant to the constitutional amendment go ONLY to the 88
> counties, casino host cities, and the largest city in each county only
> if the city has at least 80,000 people (or the big 8 cities).
>
> There has been talk by some legislators of reducing the LGF due to
> "local governments" receiving revenue from the proposed casinos.  In
> fact, one State Senator commented
>
> "I believe that since Issue 3 (casino issue) sends a certain portion of
> the gambling proceeds to the local governments that it would be within
> the power of the legislature to defer a portion of the inheritance tax
> money that now goes to local governments and/or a portion of the local
> government funds back to the state and replace those dollars with
> gambling proceeds."
>
>
> It is imperative that you remind your legislators that townships
> (villages and most cities) will not see any of this money and that any
> elimination or reduction of the LGF will hurt townships.
>
> Estate Taxes
> Building on the above statements, the revenue sharing of Ohio's estate
> tax (80% locals/20% state) has also been questioned lately.  The OTA
> would like all township officials to know how the current estate tax
> revenue sharing program came into existence.
>
> In 2000, legislation (SB 108 - 123rd General Assembly) was passed that
> reduced the estate tax by increasing the exemption threshold for
> qualifying estates.  Due to the fact that this would in fact reduce the
> amount of revenue that local governments receive from the estate tax,
> OTA Executive Director Mike Cochran negotiated the inclusion of an
> amendment that would give 80% of the revenue to local governments and
> 20% to the state.  This was a compromise amongst all interested parties
> including the Ohio House, Ohio Senate and the Governor at that time.
>
> By understanding the history behind legislation hopefully you will be
> able to communicate to your legislators the importance of maintaining
> the 80/20 split in estate tax revenue.
>
> Local Government Funds
> In June, the OTA alerted townships that the Department of Taxation was
> estimating a 14% reduction in LGF funds in FY 2010.  The OTA actually
> encouraged townships to budget 20% less. The OTA has received word from
> the Ohio Department of Taxation that revenue predictions in July 2009
> are very close to actual revenue numbers, as it appears LGF will be 15%
> lower in 2009 than in 2008.
>
> As a reminder, the LGF is tied to the state's general revenue fund and
> receives 3.68% of the GRF.  This means that local governments share in
> good and bad economic times.
>
> OPERS
> Received from OPERS staff
> Ohio newspapers will once again be casting a critical eye on public
> pensions in upcoming articles that could run as early as this Sunday,
> Dec. 6.  The core article, written by Columbus Dispatch reporters, will
> contain information that all the Ohio public pension systems provided in
> response to public record requests.  Other major Ohio daily newspapers
> will also provide localized coverage for their communities. While the
> articles will not be about OPERS, per se, we will be included, and we
> expect that the sustainability of public pensions will again be
> questioned. Your township may be contacted (or may have already been
> contacted) by a local newspaper.
>
>
>
> Also, OTA has reported in the past on potential benefit changes to
> OPERS.  The OPERS board has officially made recommendations to alter
> OPERS benefits. Please find attached a three page document that outlines
> the OPERS Board recommendations.
>
>
>
>
>
> Heidi M. Fought
> Director of Governmental Affairs
> Ohio Township Association
> 6500 Taylor Road, Suite A
> Blacklick, OH 43004
> (614) 863-0045
> (614) 863-9751 Fax
>
>
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>
>
>