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Architect Board’s CE Bill Heard (HB243)
The Senate Government Oversight and Reform Committee took testimony Feb. 10 regarding HB 243 which has passed the House and would make changes governing the architects board and the landscape architects board regarding continuing education requirements.
Rep. Schaffer gave sponsor testimony regarding the bill and said, “This legislation will bring Ohio’s continuing education (CE) requirements for architects and landscape architects into alignment with national licensing trends.”
He explained that many architects are licensed in multiple states and having similar CE requirements to the national model “makes the record keeping and renewal processes less cumbersome for the licensee.
“It will also ensure that our state government gives Ohio’s architects and landscape architects an improved level playing field to compete with their counterparts across the country,” Schaffer said.
Sen. Brown asked about the problems created by having different CE standards for Ohio’s landscape architects, and she was told it “can create more work” in getting licenses in other states because the effort already put in to meeting Ohio’s standards won’t suffice elsewhere.
Schaffer told Sen. Yuko that the bill would help the “small” landscape architect to grow his or her business and indicated both the State Architects Board and the Landscape Architects Board would oversee the bill’s enforcement, as they share a common office and staff.
U.S. Supreme Court Stays Clean Power Plan
The U.S. Supreme Court has agreed with Ohio and other states and blocked the U.S. Environmental Protection Agency from implementing Obama’s Clean Power Plan — which aims to block carbon dioxide emissions from coal-burning power plants like FirstEnergy’s W.H. Sammis plant — until the courts can determine the constitutionality of the plan. Ohio and more than two dozen other states argue the EPA can limit emissions from individual power plants but cannot constitutionality order states to limit emissions.
WASHINGTON, D.C. — A divided Supreme Court agreed Tuesday to halt enforcement of President Barack Obama’s sweeping plan to address climate change until after legal challenges are resolved.
The surprising move is a blow to the administration and a victory for the coalition of 27 mostly Republican-led states and industry opponents that call the regulations “an unprecedented power grab.”
By issuing the temporary freeze, a 5-4 majority of the justices signaled that opponents made strong arguments against the rules. The high court’s four liberal justices said Tuesday they would have denied the request for delay.
The Sierra Club called the setback a “pause,” not the end of the case.
The Court’s decision does not overturn the historic policy or decide its legal merits. This is a pause, and we are confident the Clean Power Plan and all of its benefits ultimately will be implemented across the nation,” said Joanne Spalding, the Sierra Club’s chief climate counsel, in a prepare statement.
“The Supreme Court has already upheld the EPA’s authority to limit carbon pollution from power plants under the Clean Air Act. We fully expect the Clean Power Plan to ultimately prevail in the courts.”
Ted Ford, Ohio Advanced Energy Economy CEO, echoed that position. “This decision doesn’t change the fact that the energy sector has embarked on an unstoppable shift to a clean energy future,” he said in a statement.
Opponents said the agency is overstepping its authority and intruding on states’ rights. Supreme Court intervention casts doubt on the legal prospects for the program, suggesting concerns among a majority of the nine justices.
The ruling late Tuesday “confirms that the legal justification for the Clean Power Plan should be examined by the courts before scarce state and private resources are used to develop state plans,” said Melissa McHenry, a spokeswoman for Columbus-based American Electric Power Co., one of the biggest coal users among U.S. utilities.
“AEP has already cut its carbon dioxide emissions 30 percent from 2005 levels, and we will continue to reduce carbon dioxide emissions from our generation fleet as we transition to more natural gas and renewable resources in the future,” she said.
FirstEnergy Corp. spokesman Todd Schneider said the company will continue working with states that are developing plans to comply while the court battle continues.
“While the legal challenges are addressed, we will work with our states if they chose to continue development of their compliance plans,” he said.
The Obama administration’s plan aims to stave off the worst predicted impacts of climate change by reducing carbon dioxide emissions at existing power plants by about one-third by 2030.
“We disagree with the Supreme Court’s decision to stay the Clean Power Plan while litigation proceeds,” White House spokesman Josh Earnest said in a statement.
Earnest said the administration’s plan is based on a strong legal and technical foundation, and gives the states time to develop cost-effective plans to reduce emissions. He also said the administration will continue to “take aggressive steps to make forward progress to reduce carbon emissions.”
A federal appeals court in Washington last month refused to put the plan on hold. That lower court is not likely to issue a ruling on the legality of the plan until months after it hears oral arguments begin on June 2.
Any decision will likely be appealed to the Supreme Court, meaning resolution of the legal fight is not likely to happen until after Obama leaves office.
Compliance with the new rules isn’t required until 2022, but states must submit their plans to the Environmental Protection Administration by September or seek an extension.
Many states opposing the plan depend on economic activity tied to such fossil fuels as coal, oil and gas. They argued that the plan oversteps federal authority to restrict carbon emissions, and that electricity providers would have to spend billions of dollars to begin complying with a rule that might end up being overturned.
Attorney General Patrick Morrisey of West Virginia, whose coal-dependent state is helping lead the legal fight, hailed the court’s decision.
“We are thrilled that the Supreme Court realized the rule’s immediate impact and froze its implementation, protecting workers and saving countless dollars as our fight against its legality continues,” Morrisey said.
Ohio Attorney General Mike DeWine has worked has worked closely with Morrisey.
“I am very pleased that the Supreme Court has granted our stay request,” DeWine said in a statement issued Wednesday. “This unlawful power plan is a power grab to force states into policies Congress has rejected and that would fundamentally alter the economies of states like Ohio. This stay is a significant victory, and the “Power Plan” is yet another example of the Obama Administration overstepping its authority.”
The Ohio EPA and the Public Utilities Commission of Ohio have been developing a plan to comply with the proposal, even as Ohio and other states oppose it.
In its written comments last month, the PUCO noted that it did not believe the federal rules were legally enforceable.
“The PUCO continues to maintain that the Clean Power Plan is unlawful and that the U.S. EPA has stretched beyond its jurisdiction in drafting that regulation,” the agency prefaced its remarks. “Concurrently, the PUCO seeks to be constructive in its commentary regarding the CPP in the event that Ohio is eventually required to comply.”
Ohio EPA Director Craig Butler said the Supreme Court”got it right” in delaying the implementation of the plan until its constitutionality is decided.
“By staying U.S. EPA’s Clean Power Plan, the Supreme Court got it right. The State of Ohio has pointed out the serious legal shortcomings of the federal Clean Power Plan on numerous occasions,” he said in a statement Wednesday. “We will evaluate the decision and determine how it will impact our plans moving forward.”
Robert Murray, CEO of Murray Energy, which has led the legal opposition to the plan, immediately predicted the high court would ultimately overturn the Clean Power Plan. “The Obama Administration’s climate change agenda is a fraud,” he said in a statement. “We are pleased to lead the way, joined by twenty-nine states, against this destructive government overreach.”
Implementation of the federal rules is considered essential to the United States meeting emissions-reduction targets in a global climate agreement signed in Paris last month. The Obama administration and environmental groups also say the plan will spur new clean-energy jobs.
The Ohio Conservative Energy Forum, self-described political conservatives who believe in an “all-of-the-above approach,” reacted to the decision on Wednesday by urging Ohio policy makers to move ahead with policies fostering renewable energy.
“The Supreme Court’s decision to issue a stay until the legal challenges are heard should have no impact on Ohio’s decision to pursue a true all-of-the-above energy policy, including continued development of domestically produced renewable resources. Ohio must move forward,” said Mike Hartley, executive director, in a statement.
“While Ohio’s conservative leaders have been suspect of the Obama Administration’s plan, we must not allow the Clean Power Plan delay to serve as an excuse to keep Ohio’s energy future on hold,” he added. “Such a move would be misguided and result in the state falling even further behind the rest of the nation. Now is the time to put in place the right clean energy policy that promotes energy diversity, security and advances our state’s economy through energy innovation.”
Also on Wednesday, Christian R. Palich, President, Ohio Coal Association, called the decision a “just victory” and slammed the “radical EPA bureaucrats” who drew up the “Obama’s politically motivated” plan. He said the decision would bring the nation “one step closer to defeating this agenda and ensuring our energy grid has access to reliable and affordable power.”
Sunset Panel Told Architects & Landscape Architects Boards Are Effectively Combined
The Ohio legislature’s Sunset Review Committee is considering combining the Architects and Landscape Architect’s Boards. The Committee took testimony Feb. 9 from the Executive Director for both groups, Amy Kobe. She testified that, “There are two boards, with one budget, one website, one set of forms, and one staff, operating out of the same office in the Riffe Center. As many administrative processes as possible are integrated together, providing for the seamless operation of the two boards.” However, there are two boards for policy considerations. A total of 8,026 individuals and exam candidates and 1,669 firms with active licenses are regulated by the boards.
The boards are self-funded, thus requiring no GRF funding. The FY16 budget is $507,614. Each board has five members, appointed by the governor. She said that effectively the two Boards are combined. As a result, there would be “no significant savings in personnel” were they to formally combine. Kobe said having to combine the professional expertise might result in longer board meetings with board members compensated by the hour.
Via testimony to the Sunset Review Panel, AIA Ohio’s Immediate Past President and Liason to the Ohio Architects Board, Jim Sarks, AIA said, “AIA strongly supports the concept of single discipline boards to license architects. We do not believe that members of either group possess the requisite knowledge to render informed decisions regarding the subtleties of the other profession. Their scopes of practice are dissimilar in many ways. We believe that only architects are qualified to make decisions in matters of professional responsibility or in matters related to public health, safety and welfare.”
Regional Groups Submit Millions In Capital Bill Requests
Three ongoing waterfront projects in the state’s largest cities top the list of millions in funding sought in the upcoming capital appropriations bill by consortia representing the most populous regions in Ohio.
Among the biggest asks are $13.5 million for three projects tied to Cleveland’s lakefront improvement initiative, a $10 million boost for next phase of The Banks development in Cincinnati, and $5 million each for Columbus’s Peninsula Park and Center of Science and Industry, both of which are located along the banks of the Scioto River downtown.
The requests for the Fiscal Year 2017-2018 capital bill were detailed in proposals submitted in recent weeks to the General Assembly and Gov. John Kasich‘s administration. They set the stage for some intense behind-the-scenes horse trading among lawmakers and administration officials ahead this spring’s introduction of the usually biannual bricks-and-mortar legislation.
If history is any guide, debate over the local “community project” requests will consume most of the deliberations on the bill even though the money allotted to such initiatives – usually on a matching fund basis tied with local input – accounts for only a fraction of the total bond-backed outlay in the package.
For instance, the last two-year capital bill (HB497, 130th General Assembly) included about $2.4 billion in new state project spending, of which only $168 million was earmarked for the local projects. Still, Mr. Kasich’s proposed process for divvying up those funds and the administration’s own development of a “wish list” rankled legislative leaders who saw his moves as an overreach into General Assembly prerogatives.
This time around, the administration has apparently been less prescriptive, and Speaker Cliff Rosenberger (R-Clarksville) reiterated recently that he viewed the process as one better led by lawmakers with close ties to the communities.
“The members who represent these districts understand best their communities and those members will be the folks that will be driving this capital bill process because in the end they’re voting on it,” he said.
Speaker Rosenberger said the total amount of funding for community projects “might be a little less than last time,” but the number isn’t finalized.
The local project target for this year’s version, which is expected to be unveiled in early April, is about $150 million, according to other officials familiar with the planning discussions, and per usual, the total amount of requests will exponentially exceed that guidance limit.
House Finance Committee Chairman Rep. Ryan Smith (R-Bidwell) said he has asked members to submit project proposals by Feb. 15 with the expectation that a capital bill will be introduced when lawmakers return from spring break.
Without providing details of projects he and other members are looking to fund, he said he’s asked members to “hone in” on requests that are in line with those that have qualified for dollars in the past.
“I don’t have a big priority or anything at this point,” Rep. Smith said in an interview. “My focus right now is just to collect all the information I can from all the different sources and sit down with members and talk through it and see what we can include in the bill.”
The submissions from the regional groups represent the next phase of capital bill planning, which started last year when the Office of Budget and Management issued its guidance to state agencies for seeking funds to further their facility needs.
If the process plays out like it did two years ago, the funding deals will be all but cut by the time the bill is introduced and it will sail through the legislature without any major changes.
This year’s version is likely to start in the Senate, although given how the process has worked in recent years, the chamber of origin is somewhat perfunctory. The upper chamber, for instance, did not amend the House-passed version of the last capital bill, sending it straight to Gov. Kasich for his signature with strong bipartisan support and without the need for a concurrence vote.
While individual cities and counties will ply the legislature for certain projects, the larger metropolitan regions in the state usually account for most of the community appropriations. As such, and to avoid squabbling that could put project funding at risk, those local government entities usually band together to develop regional proposals or “white papers” they present to the state in a united front.
An example of how the process can get dicey on the local level came to light late last year when Mahoning Valley lawmakers sent a letter to local community leaders telling them to submit requests directly to their offices.
The lawmakers said they became alarmed when the Youngstown/Warren Regional Chamber “had reportedly been soliciting various entities to retain them on a fee-for-service basis to advocate for capital bill requests.”
“In order to avoid even the mere appearance of impropriety we will not regard the chamber as a facilitator or evaluator of capital bill requests going forward,” the letter stated.
Project examples from the regional requests, some of which coincide with higher education projects, along with links to their full lists of proposals are as follows:
Akron Area: The Greater Akron Chamber’s wish list includes about $15.26 million in development and community improvement projects and nearly $7.5 million for arts and culture initiatives.
The multi-county area’s development proposals include $3 million for the University of Akron’s Main Street development; $2 million each for Stark State College’s Akron Center and Akron’s Cascade Plaza; about $1.8 million each for Stan Hywet Hall & Gardens and Western Reserve Historical Society; $1.4 million for Summit County’s battered women shelter; and $1.2 million for STEM/Soap Box Derby. (Full Akron Area List)
Cincinnati/Hamilton County: By far the biggest ticket item among $24.65 million in requests for the area is $10 million for Phase III of The Banks, the mixed use development nestled between Paul Brown Stadium and Great American Ball Park along the Ohio River.
Also among the requests from the city and county are: $3 million for the Cincinnati Zoo and Botanical Garden; $2 million each for the Center for Addiction Treatment and University of Cincinnati Health’s Barrett Cancer Center; and $1.25 million each for the Cincinnati Shakespeare Company and Art Museum. (Full Cincinnati/Hamilton List)
Cleveland Area: The list provided to the legislature Wednesday by the Greater Cleveland Partnership includes three projects under the “Lakefront” header. They are $8.5 million for a lakefront pedestrian bridge; $4 million for restoring the Irish Town Bend and $1 million for a bridge to Wendy Park.
The region also seeks: $10 million for the Health Education Campus requested by the Cleveland Clinic/Case Western Reserve University; $8.1 million for the Flats East development; and $5 million for the Cleveland Museum of Natural History. (Full Cleveland List)
Columbus/Central Ohio: The capital city area’s $30.3 million in requests include: $5 million for the Scioto Peninsula Park and garage; $5 million for a COSI expansion; and $5 million for an athletic facility sought by the Greater Columbus Sports Commission.
Other project fund asks by the region include: $1.55 million for the Columbus Crew’s MAPFRE Stadium improvements; $1.5 million each for the Columbus College of Art & Design, and CHOICES for Victims of Domestic Violence; $1.3 million for the YMCA; and $1 million each for OhioHealth, Pickaway Progress Partnership, Marysville Advanced Manufacturing & Research, and Franklin Park Conservatory. (Full Columbus Area List)
Dayton Region: The list from the area chambers’ Priority Development and Advocacy Committee is topped by a nearly $5 million request for Wilmington Air Park infrastructure improvements.
The region also seeks: $5 million for the Dayton Art Institute’s Centennial; $3.4 million for Project M&M; $2.8 million for Boonshoft Museum of Discovery’s STEM Education Wing; $2.5 million for Springfield’s downtown parking facility; and $1.9 million for the Dayton Aviation Heritage Development Project. (Full Dayton Area List)
Mahoning Valley: A list of proposals compiled by Sen. Capri Cafaro‘s (D-Hubbard) office for the northeast Ohio region is topped by a $10 million request for the Mahoning Valley Innovation and Commercialization Center and nearly $3.3 million for the Great Ohio Lake-to-River Greenway.
Other area proposals include: $2.84 million each for the African American Cultural Center and CNG Fueling Station; $2 million for the Rock and Roll Hall of Fame; $1.27 million for the Youngstown Air Reserve Station; $1.25 million for the Glenbeigh expansion in Ashtabula County; and $1 million each for St. Joseph Warren Hospital, and Youngstown Amphitheater and Front Street Park project. (List of Valley Projects)
Toledo Area: The area’s Regional White Paper Committee submitted several proposals and provided funding rages for requests. The region’s largest funding request – for up to $3.5 million – is for the Toledo Museum of Art’s Polishing the Gem Project. The second-biggest is up to $2.5 million for the Promenade Park and ProMedica parking facility.
Other area requests include up to: $1 million for the Cocoon Emergency Shelter; $900,000 for Sauder Village Experience; and $700,000 each for the City of Sylvania’s SOMO Project and Downtown Toledo Music Hall. (Full Toledo Area List)
This year’s capital budget continues the return to the two-year cycle that was interrupted by the Great Recession. During those tight budget years, officials slimmed down bonding authority for state-owned buildings and eliminated funding for community projects in an attempt to cut debt obligations.
Speaker Rosenberger said the fact that a capital budget is possible at all this cycle is testament to the state’s financial recovery.
“You can’t have a capital budget without sound policy, and for the last five years I’m glad to be a part of this House and working with the governor to just get to this point where we can have capital bills to help the communities,” he said.
Bill Moving to Ban Construction Residency Rules
The House State Government took up again Wednesday the debate on whether governments should be able to require contractors to hire locals on public construction projects.
The committee heard from supporters of SB152, Sen. Joe Uecker’s (R-Loveland) measure to ban local governments from including the hiring mandates in public contracts. The House has already passed a similar measure, HB180, sponsored by the committee chairman, Rep. Ron Maag (R-Lebanon). A prohibition on the hiring mandates was removed from the biennial transportation budget, HB52 (Grossman) prior to its passage last year.
Committee members approved an amendment to create a carve-out for one Cleveland project but batted down Democrats’ other proposals to create exemptions.
Members accepted an amendment from Rep. Stephanie Kunze (R-Hilliard), the vice chair, which she said would allow the Ohio Department of Transportation to continue to comply with a federally required job-training program for enrollment of women and minority contractors on the Opportunity Corridor project in Cleveland.
Majority Republicans tabled additional amendments from Reps. Martin Sweeney (D-Cleveland) and Stephen Slesnick (D-Canton). Slesnick sought changes to allow cities to require that up to 20 percent of workers be local, or that up to 5 percent of hours be performed by local workers. Sweeney sought an exemption for his hometown, saying Cleveland only enacted its local hiring ordinance after learning that contractors weren’t following through on voluntary commitments. He also proposed an exception for projects where no state money is used.
Groups supporting the bill in committee Wednesday included the Greater Cleveland Chapter of the National Electrical Contractors Association (NECA); Association Builders and Contractors of Ohio (ABC); Cincinnati-based Allied Construction Industries; and the American Council of Engineering Companies of Ohio (ACEC). The Buckeye Institute gave interested party testimony that also criticized local hiring requirements.
Tom Shreves, executive director of the Cleveland NECA chapter, said cities’ residency requirements go against the spirit of a 2009 Ohio Supreme Court ruling striking down local governments’ ability to require their own employees to live within community boundaries. He said the “needless and nonsensical restrictions” dilute the pool of qualified labor and create problems for workers themselves.
Supporters also emphasized the federal constitutional requirements that prohibit enforcement of local hiring requirements on out-of-state contractors.
Terry Phillips, executive director of Allied Construction Industries, said Cincinnati’s residency ordinance has been a problem since its enactment three years ago. “While local hiring regulations are designed to help residents gain employment, they have had the opposite effect in Cincinnati. They also prevent fair and open competition. In the case of border cities and counties like Cincinnati, local hire provides an unfair advantage to out of state contractors who take the work without any obligation of compliance,” he said.
“Construction is an in-demand job sector currently experiencing significant labor shortages in Ohio. Opponents of this bill claim they support local hiring requirements because they want to develop a qualified construction workforce. If local communities are serious about developing local construction work forces, they should partner with proven construction craft trainers, like ABC, and work to promote careers in construction, recruit interested individuals and then support their enrollment in U.S. Department of Labor certified apprenticeship training programs. Until then, a local hiring mandate will not be achievable,” said ABC Ohio’s Bryan Williams.
Don Mader of ACEC Ohio said engineering work is not always dependent on being on site at a project, and technological advancements allow engineers to work on projects in multiple cities in quick succession. “This kind of efficiency should be encouraged, because it enables local governments to obtain high quality engineering services at a reasonable cost,” he said.
Opponents of the legislation submitted written testimony, saying hiring requirements help build an inclusive workforce and ensure local tax dollars promote local work opportunities.
Martin McGann, senior vice president of advocacy for the Greater Cleveland Partnership, said in written remarks the legislation would hamper the use in Northeast Ohio of “community benefit agreements … an important tool for regional and local governments to ensure that public expenditures result in real community gains such as an inclusive workforce, apprentice opportunities, minority contracting and local hiring.
“We work very closely with the city of Cleveland and other key stakeholders — including contractors and developers — to create CBAs and other workforce development initiatives that yield a high return on investment for our community but also create opportunities for a skilled and diverse workforce to have better access to economic opportunity,” he said.
The Construction Employers Association, a group of 100-plus contractors in and around Cleveland, also submitted written opposition testimony, calling the Northeast Ohio city’s Fannie M. Lewis Cleveland Resident Employment law “a central pillar of a Cleveland-wide public-private effort to recruit and employ Clevelanders on construction projects in Cleveland.”
“A state ban on local residency efforts would hinder contractors’ ability to meet the needs and desires of the public and private clients they serve – to ensure that local development dollars build skills and career opportunities for the local community,” stated the testimony from the association’s CEO, Tim Linville.
Cleveland’s Former Union Trust Company, 34 Other Projects Awarded Historic Preservation Tax Credits
The Development Services Agency awarded its latest round of Ohio Historic Preservation Tax Credits Wednesday, including a $25 million tax credit for the redevelopment of the old Union Trust Company building in Cleveland, the agency’s second “catalytic” award.
Thirty-four other applicants received a total of $37.8 million for projects to rehabilitate 55 historic buildings across the state, leveraging about $285.3 million in private investment, according to a news release.
“This is public-private money coming together,” DSA Director David Goodman said in a statement. “Saving historic buildings strengthens Ohio’s communities which attracts businesses and visitors to the state.”
Last year, the agency awarded its first catalytic tax credit to the Music Hall Revitalization Corporation and Cincinnati Center City Development Corporation to rehabilitate the 136-year-old Cincinnati Music Hall.
Union Trust Company: The 1.4 million-square-foot former trust building in Cleveland was built in 1924 but is now mostly vacant. Hudson Holdings plans to turn the building into a complex with 673 apartments, a 279-room hotel, office, business incubator, retail and event space. The project is expected to cost $270 million.
Here are the other projects awarded tax credits:
Cleveland Athletic Club was awarded a $5 million credit for a $53 million project to renovate the former downtown sports club into 175 apartments over a first-floor restaurant. The building was built in 1911, but has been vacant since 2008.
Forest City Bank and Seymour Block in Cleveland were awarded a $2 million tax credit for a $65 million project for developments on two corners of the intersection of West 25th and Detroit Avenue. The historic Forest City Bank and Seymour buildings will have 38 apartments, office space and a restaurant, while a new mixed-use structure will be built across the street.
Heyse Apartments in Cleveland was awarded a $572,000 tax credit for a $5 million project to rehabilitate an apartment building constructed in 1897 but converted to office space in 1982. It’s been vacant for a decade but will be turned back into 31 apartment units.
Lake Shore Bank and Public Library in Cleveland received a $249,999 tax credit for a $1.7 million project to turn the former bank and library building into a restaurant and bank building with office space.
Ogilvie Block in East Liverpool was awarded a $1.6 million tax credit for an $8.6 million project to convert the former Ogilvie Department and 5&10, which closed in the 1980s, into a space for New Castle School of Trades to house vocational training programs.
Variety Theater in Cleveland was awarded a $1.5 million tax credit for a $14.7 million project to turn the former Variety Store Building and Theater into a restaurant and entertainment venue with apartments and retail space.
390-392 East Town Street in Columbus was awarded a $113,400 tax credit for a $1.1 million project to turn the duplex, which was built in the 1890s and converted to office space in the 1920s, into four townhomes.
Brunswick Club in Newark, was awarded a $58,500 tax credit for a $300,000 project to turn the property built as a billiards club in the 1880s into a first-floor commercial space with a residential unit on the second and third floors.
Drexel Theatre in Bexley was awarded a $249,999 tax credit for a $2.6 million project to renovate the marquee, concession stand and other aspects of the 1937 art deco theater.
Micro Living at Long Street in Columbus was awarded a $1.4 million tax credit for an $18.8 million project to develop two historic buildings and two non-historic buildings into 40 “micro” apartments, retail and restaurant space. The project also includes rehabilitation of the parking garage at 52 E. Long Street.
Worthington Masonic Lodge in Worthington was awarded a $250,000 tax credit for a $4.4 million project to convert the Masonic Lodge and Museum, parts of which were built in 1820, into commercial space and residential units, including adding garages and new residential units.
Dayton Power and Light in Dayton was awarded a $687,500 tax credit for a $3.7 million project to convert the building, which has been vacant for nearly two decades, into office and event space.
Eaton High School in Eaton was awarded a $2 million tax credit for a $12.3 million project to convert the school, built in 1926, into affordable senior housing, with the gym and auditorium spaces set aside for community use and part of the property used for Sinclair Community College and a restaurant.
Wittenberg Fieldhouse in Springfield was awarded a $4.5 million tax credit for a $45 million project to rehabilitate the fieldhouse, built in 1929, and add classrooms, locker rooms and a 134,160-square-foot addition for indoor practice space. The project is eligible for up to $5 million in tax credits as it becomes available.
Nelsonville High School in Nelsonville was awarded a nearly $2 million tax credit for a $20 million project to convert the mostly vacant property into 33 affordable senior apartments and commercial business incubation space.
100 West Elder in Cincinnati was awarded a $220,000 tax credit for a $1.6 million project to convert the building, which has been vacant since the early 2000s and suffered a partial collapse in 2003, into first-floor retail and restaurants pace with offices on upper floors.
205 West McMicken in Cincinnati was awarded a $37,000 tax credit for a $375,000 project to convert the building, built in the 1870s and vacant more than 20 years, into first-floor commercial space with a three-bedroom apartment above.
Fromm Building in Cincinnati received a $108,500 tax credit for a $682,394 project to convert the property, built in 1865, into seven residential units, with a first-floor live-work space.
320-322 North Mechanic Street in Lebanon received a $51,372 tax credit for a $315,993 project to convert the building, the oldest part of which dates to 1826, into three rental units.
515 East 12th Street in Cincinnati was awarded a $195,000 tax credit for a $1.6 million project to rehabilitate a residential building into six apartment units.
1737 Elm Street in Cincinnati was awarded a $233,799 tax credit for a $1.2 million project to convert two buildings, one built around 1855, into small market-rate apartments and first-floor retail.
1737 Vine Street in Cincinnati was awarded a $185,000 tax credit for a $1.3 million project to convert a three-story building into seven residential units and restaurant space.
1814 Race in Cincinnati was awarded a $217,000 tax credit for a nearly $2 million project to convert the two buildings on the property into five apartments plus commercial space.
3936 Spring Grove Avenue in Cincinnati, was awarded a $71,608 tax credit for a $504,843 project to convert the building, vacant since the 1980s, into space for a bar with two upstairs apartments.
Broadway Square II in Cincinnati was awarded a $1.3 million tax credit for a $13.1 million project to convert 10 historic buildings on Broadway and East 13th Streets into retail space and 37 residential units.
Central Trust Company East Hills Branch in Cincinnati was awarded a $196,007 tax credit for a $1.3 million project to convert the former bank branch into restaurant space.
The Kauffman Building in Cincinnati received a $249,999 tax credit for a $2.8 million project to redevelop the building, which has suffered two fires since the 1990s, into commercial spaces and a dozen residential units.
Ophthalmic Hospital in Cincinnati received a $732,950 tax credit for a $7.4 million project to convert the vacant former medical facility into a boutique hotel with 20 rooms, a bar and restaurant.
Paramount Square in Cincinnati was awarded a nearly $2 million tax credit for a $20 million project to rehabilitate six historic buildings and two non-historic buildings around the former Paramount Theater into 15 commercial spaces and 44 residential units.
Peters Cartridge Factory in Hamilton Township received a $2.4 million tax credit for a $25 million project to convert the facility, which was used to manufacture ammunition from World War I through World War II, into 128 residential lofts, office space and a restaurant.
Rutemueller Building in Cincinnati received a $113,500 tax credit for a $1.1 million project to renovate a former grocery store and apartment building into seven apartment units.
Union Central Life Annex in Cincinnati was awarded a $5 million tax credit for a $75 million project to the nearly vacant downtown building into 294 apartments, a grocery store, business incubator, office space and a rooftop restaurant.
Schmitthenner Building in Cincinnati was awarded an $82,750 tax credit for a $671,870 project to turn the vacant former bakery property into seven apartment units and retail space.
Architects Good Samaritan Law Passes Ohio Senate Committee
The Senate Civil Justice Committee approved AIA Ohio’s Good Samaritan Bill, HB17, December 8 sending the bill to the Rules Committee where it will await a vote by the full Senate.
HB 17 would grant a volunteer who is an architect, engineer, surveyor or contractor qualified immunity from civil liability for any acts, errors, or omissions conducted in the performance of professional services that are requested by government officials, for a building, structure, piping, or other engineered system during a declared emergency and 90 days thereafter.
No immunity would be granted from wanton, willful or intentional misconduct.
House & Senate Pass Small Business Tax Fix
The House and Senate have overwhelmingly passed legislation to fix budget language that would have inadvertently led to a small business tax increase for 2015.
Rep. Ron Amstutz (R-Wooster) said SB208 would resolve an unintended effect of the budget bill HB64 (R. Smith) that would have led to a tax increase for some businesses. He said it will help businesses create more jobs and invest in expansion.
OFCC Outlines Charter School Grant Process & Prison Master Plan
The Ohio School Facilities Commission approved guidelines Thursday for a new grant program created in the budget to help finance charter school buildings. Commission staff described plans for opening applications in the new year and gaining final approval of awards by the end of the fiscal year.
The biennial budget, HB64 (R. Smith), appropriated $25 million to construct buildings for high quality charter schools, with the state grants financing up to half of the total project costs.
Jeff Westhoven, chief of facility and program services for the commission, said the guidelines provide high-level details that will be supplemented by further specificity in grant application materials to be presented to the commission for approval in January.
Under the guidelines, grant applications are to be judged based on three factors: educational, instructional and financial quality. Final awards would be decided by the commission’s executive director and the state superintendent, pending approval of the Controlling Board.
Westhoven said educational quality would be judged on factors such as creating seats to address unmet community needs or involving outside organizations as partners. Instructional quality would be judged on inclusion of features like technology, flexible work space, and natural lighting and acoustic elements that are associated with improved learning. Analysis of financial quality could be based on factors like an applicant’s financial and operational history and greater share of local funding, Westhoven said.
Winning applicants would have to ensure the facilities maintain an educational purpose for at least 10 years following construction, he said.
The commission also approved guidelines for another budget-funded program, the STEM School Facilities Assistance Program. According to Sarah Spence, legislative affairs manager for the commission, the FY14-15 budget created a program for qualifying partnerships to receive up to a 50 percent state share of funding to construct facilities for a STEM program. The latest budget bill then provided funding for partnerships meeting certain eligibility criteria, namely that it include a group of districts in a career-technical education compact that spans two adjacent counties of between 40,000 and 50,000 population, one of which borders a neighboring state.
At the subsequent meeting of the Ohio Facilities Construction Commission, planning chief William Ramsey presented findings of a comprehensive assessment and master planning project for state correctional facilities, alongside Jenny Hildebrand, head of the Department of Rehabilitation and Correction’s (DRC) Bureau of Construction, Activation, Maintenance and Sustainability.
Ramsey said the review and planning process assessed not only the status and future needs for physical facilities, but also those facilities’ alignment with operational and programmatic needs, such as increased demand for medical and mental health programming and the aging inmate population. The average DRC facility dates to 1973, and while many of them are structurally and physically sound, their mechanical, electrical and other systems are nearing the end of their useful life.
Marion Correctional and Southern Ohio Correctional showed the two highest levels of individual need, both in excess of $90 million. The oldest facilities are not necessarily the most in need of repair or replacement, Ramsey said.
Across all facilities, heating systems constitute the greatest need, assessed at more than $200 million worth of work, followed by more than $100 million worth of assessed need for plumbing and fixtures.
The next step will be prioritizing projects for capital funding requests.
“This is a long term plan …. We want to keep thinking about this every year, every two years, because it’s going to continue to change,” Ramsey said.
“This gets me excited for the DRC capital request due Nov. 16,” said Budget Director Tim Keen. “I have high hopes for this project, and it sounds like a lot of that has come to pass.”
“We need to talk about this project and how it’s going with some of our cabinet colleagues … those that have intensive facility footprints,” Keen said.
Architect Board’s CE Bill Heard (HB243)
The Senate Government Oversight and Reform Committee took testimony Feb. 10 regarding HB 243 which has passed the House and would make changes governing the architects board and the landscape architects board regarding continuing education requirements.
Rep. Schaffer gave sponsor testimony regarding the bill and said, “This legislation will bring Ohio’s continuing education (CE) requirements for architects and landscape architects into alignment with national licensing trends.”
He explained that many architects are licensed in multiple states and having similar CE requirements to the national model “makes the record keeping and renewal processes less cumbersome for the licensee.
“It will also ensure that our state government gives Ohio’s architects and landscape architects an improved level playing field to compete with their counterparts across the country,” Schaffer said.
Sen. Brown asked about the problems created by having different CE standards for Ohio’s landscape architects, and she was told it “can create more work” in getting licenses in other states because the effort already put in to meeting Ohio’s standards won’t suffice elsewhere.
Schaffer told Sen. Yuko that the bill would help the “small” landscape architect to grow his or her business and indicated both the State Architects Board and the Landscape Architects Board would oversee the bill’s enforcement, as they share a common office and staff.
U.S. Supreme Court Stays Clean Power Plan
The U.S. Supreme Court has agreed with Ohio and other states and blocked the U.S. Environmental Protection Agency from implementing Obama’s Clean Power Plan — which aims to block carbon dioxide emissions from coal-burning power plants like FirstEnergy’s W.H. Sammis plant — until the courts can determine the constitutionality of the plan. Ohio and more than two dozen other states argue the EPA can limit emissions from individual power plants but cannot constitutionality order states to limit emissions.
WASHINGTON, D.C. — A divided Supreme Court agreed Tuesday to halt enforcement of President Barack Obama’s sweeping plan to address climate change until after legal challenges are resolved.
The surprising move is a blow to the administration and a victory for the coalition of 27 mostly Republican-led states and industry opponents that call the regulations “an unprecedented power grab.”
By issuing the temporary freeze, a 5-4 majority of the justices signaled that opponents made strong arguments against the rules. The high court’s four liberal justices said Tuesday they would have denied the request for delay.
The Sierra Club called the setback a “pause,” not the end of the case.
The Court’s decision does not overturn the historic policy or decide its legal merits. This is a pause, and we are confident the Clean Power Plan and all of its benefits ultimately will be implemented across the nation,” said Joanne Spalding, the Sierra Club’s chief climate counsel, in a prepare statement.
“The Supreme Court has already upheld the EPA’s authority to limit carbon pollution from power plants under the Clean Air Act. We fully expect the Clean Power Plan to ultimately prevail in the courts.”
Ted Ford, Ohio Advanced Energy Economy CEO, echoed that position. “This decision doesn’t change the fact that the energy sector has embarked on an unstoppable shift to a clean energy future,” he said in a statement.
Opponents said the agency is overstepping its authority and intruding on states’ rights. Supreme Court intervention casts doubt on the legal prospects for the program, suggesting concerns among a majority of the nine justices.
The ruling late Tuesday “confirms that the legal justification for the Clean Power Plan should be examined by the courts before scarce state and private resources are used to develop state plans,” said Melissa McHenry, a spokeswoman for Columbus-based American Electric Power Co., one of the biggest coal users among U.S. utilities.
“AEP has already cut its carbon dioxide emissions 30 percent from 2005 levels, and we will continue to reduce carbon dioxide emissions from our generation fleet as we transition to more natural gas and renewable resources in the future,” she said.
FirstEnergy Corp. spokesman Todd Schneider said the company will continue working with states that are developing plans to comply while the court battle continues.
“While the legal challenges are addressed, we will work with our states if they chose to continue development of their compliance plans,” he said.
The Obama administration’s plan aims to stave off the worst predicted impacts of climate change by reducing carbon dioxide emissions at existing power plants by about one-third by 2030.
“We disagree with the Supreme Court’s decision to stay the Clean Power Plan while litigation proceeds,” White House spokesman Josh Earnest said in a statement.
Earnest said the administration’s plan is based on a strong legal and technical foundation, and gives the states time to develop cost-effective plans to reduce emissions. He also said the administration will continue to “take aggressive steps to make forward progress to reduce carbon emissions.”
A federal appeals court in Washington last month refused to put the plan on hold. That lower court is not likely to issue a ruling on the legality of the plan until months after it hears oral arguments begin on June 2.
Any decision will likely be appealed to the Supreme Court, meaning resolution of the legal fight is not likely to happen until after Obama leaves office.
Compliance with the new rules isn’t required until 2022, but states must submit their plans to the Environmental Protection Administration by September or seek an extension.
Many states opposing the plan depend on economic activity tied to such fossil fuels as coal, oil and gas. They argued that the plan oversteps federal authority to restrict carbon emissions, and that electricity providers would have to spend billions of dollars to begin complying with a rule that might end up being overturned.
Attorney General Patrick Morrisey of West Virginia, whose coal-dependent state is helping lead the legal fight, hailed the court’s decision.
“We are thrilled that the Supreme Court realized the rule’s immediate impact and froze its implementation, protecting workers and saving countless dollars as our fight against its legality continues,” Morrisey said.
Ohio Attorney General Mike DeWine has worked has worked closely with Morrisey.
“I am very pleased that the Supreme Court has granted our stay request,” DeWine said in a statement issued Wednesday. “This unlawful power plan is a power grab to force states into policies Congress has rejected and that would fundamentally alter the economies of states like Ohio. This stay is a significant victory, and the “Power Plan” is yet another example of the Obama Administration overstepping its authority.”
The Ohio EPA and the Public Utilities Commission of Ohio have been developing a plan to comply with the proposal, even as Ohio and other states oppose it.
In its written comments last month, the PUCO noted that it did not believe the federal rules were legally enforceable.
“The PUCO continues to maintain that the Clean Power Plan is unlawful and that the U.S. EPA has stretched beyond its jurisdiction in drafting that regulation,” the agency prefaced its remarks. “Concurrently, the PUCO seeks to be constructive in its commentary regarding the CPP in the event that Ohio is eventually required to comply.”
Ohio EPA Director Craig Butler said the Supreme Court”got it right” in delaying the implementation of the plan until its constitutionality is decided.
“By staying U.S. EPA’s Clean Power Plan, the Supreme Court got it right. The State of Ohio has pointed out the serious legal shortcomings of the federal Clean Power Plan on numerous occasions,” he said in a statement Wednesday. “We will evaluate the decision and determine how it will impact our plans moving forward.”
Robert Murray, CEO of Murray Energy, which has led the legal opposition to the plan, immediately predicted the high court would ultimately overturn the Clean Power Plan. “The Obama Administration’s climate change agenda is a fraud,” he said in a statement. “We are pleased to lead the way, joined by twenty-nine states, against this destructive government overreach.”
Implementation of the federal rules is considered essential to the United States meeting emissions-reduction targets in a global climate agreement signed in Paris last month. The Obama administration and environmental groups also say the plan will spur new clean-energy jobs.
The Ohio Conservative Energy Forum, self-described political conservatives who believe in an “all-of-the-above approach,” reacted to the decision on Wednesday by urging Ohio policy makers to move ahead with policies fostering renewable energy.
“The Supreme Court’s decision to issue a stay until the legal challenges are heard should have no impact on Ohio’s decision to pursue a true all-of-the-above energy policy, including continued development of domestically produced renewable resources. Ohio must move forward,” said Mike Hartley, executive director, in a statement.
“While Ohio’s conservative leaders have been suspect of the Obama Administration’s plan, we must not allow the Clean Power Plan delay to serve as an excuse to keep Ohio’s energy future on hold,” he added. “Such a move would be misguided and result in the state falling even further behind the rest of the nation. Now is the time to put in place the right clean energy policy that promotes energy diversity, security and advances our state’s economy through energy innovation.”
Also on Wednesday, Christian R. Palich, President, Ohio Coal Association, called the decision a “just victory” and slammed the “radical EPA bureaucrats” who drew up the “Obama’s politically motivated” plan. He said the decision would bring the nation “one step closer to defeating this agenda and ensuring our energy grid has access to reliable and affordable power.”
Sunset Panel Told Architects & Landscape Architects Boards Are Effectively Combined
The Ohio legislature’s Sunset Review Committee is considering combining the Architects and Landscape Architect’s Boards. The Committee took testimony Feb. 9 from the Executive Director for both groups, Amy Kobe. She testified that, “There are two boards, with one budget, one website, one set of forms, and one staff, operating out of the same office in the Riffe Center. As many administrative processes as possible are integrated together, providing for the seamless operation of the two boards.” However, there are two boards for policy considerations. A total of 8,026 individuals and exam candidates and 1,669 firms with active licenses are regulated by the boards.
The boards are self-funded, thus requiring no GRF funding. The FY16 budget is $507,614. Each board has five members, appointed by the governor. She said that effectively the two Boards are combined. As a result, there would be “no significant savings in personnel” were they to formally combine. Kobe said having to combine the professional expertise might result in longer board meetings with board members compensated by the hour.
Via testimony to the Sunset Review Panel, AIA Ohio’s Immediate Past President and Liason to the Ohio Architects Board, Jim Sarks, AIA said, “AIA strongly supports the concept of single discipline boards to license architects. We do not believe that members of either group possess the requisite knowledge to render informed decisions regarding the subtleties of the other profession. Their scopes of practice are dissimilar in many ways. We believe that only architects are qualified to make decisions in matters of professional responsibility or in matters related to public health, safety and welfare.”
Regional Groups Submit Millions In Capital Bill Requests
Three ongoing waterfront projects in the state’s largest cities top the list of millions in funding sought in the upcoming capital appropriations bill by consortia representing the most populous regions in Ohio.
Among the biggest asks are $13.5 million for three projects tied to Cleveland’s lakefront improvement initiative, a $10 million boost for next phase of The Banks development in Cincinnati, and $5 million each for Columbus’s Peninsula Park and Center of Science and Industry, both of which are located along the banks of the Scioto River downtown.
The requests for the Fiscal Year 2017-2018 capital bill were detailed in proposals submitted in recent weeks to the General Assembly and Gov. John Kasich‘s administration. They set the stage for some intense behind-the-scenes horse trading among lawmakers and administration officials ahead this spring’s introduction of the usually biannual bricks-and-mortar legislation.
If history is any guide, debate over the local “community project” requests will consume most of the deliberations on the bill even though the money allotted to such initiatives – usually on a matching fund basis tied with local input – accounts for only a fraction of the total bond-backed outlay in the package.
For instance, the last two-year capital bill (HB497, 130th General Assembly) included about $2.4 billion in new state project spending, of which only $168 million was earmarked for the local projects. Still, Mr. Kasich’s proposed process for divvying up those funds and the administration’s own development of a “wish list” rankled legislative leaders who saw his moves as an overreach into General Assembly prerogatives.
This time around, the administration has apparently been less prescriptive, and Speaker Cliff Rosenberger (R-Clarksville) reiterated recently that he viewed the process as one better led by lawmakers with close ties to the communities.
“The members who represent these districts understand best their communities and those members will be the folks that will be driving this capital bill process because in the end they’re voting on it,” he said.
Speaker Rosenberger said the total amount of funding for community projects “might be a little less than last time,” but the number isn’t finalized.
The local project target for this year’s version, which is expected to be unveiled in early April, is about $150 million, according to other officials familiar with the planning discussions, and per usual, the total amount of requests will exponentially exceed that guidance limit.
House Finance Committee Chairman Rep. Ryan Smith (R-Bidwell) said he has asked members to submit project proposals by Feb. 15 with the expectation that a capital bill will be introduced when lawmakers return from spring break.
Without providing details of projects he and other members are looking to fund, he said he’s asked members to “hone in” on requests that are in line with those that have qualified for dollars in the past.
“I don’t have a big priority or anything at this point,” Rep. Smith said in an interview. “My focus right now is just to collect all the information I can from all the different sources and sit down with members and talk through it and see what we can include in the bill.”
The submissions from the regional groups represent the next phase of capital bill planning, which started last year when the Office of Budget and Management issued its guidance to state agencies for seeking funds to further their facility needs.
If the process plays out like it did two years ago, the funding deals will be all but cut by the time the bill is introduced and it will sail through the legislature without any major changes.
This year’s version is likely to start in the Senate, although given how the process has worked in recent years, the chamber of origin is somewhat perfunctory. The upper chamber, for instance, did not amend the House-passed version of the last capital bill, sending it straight to Gov. Kasich for his signature with strong bipartisan support and without the need for a concurrence vote.
While individual cities and counties will ply the legislature for certain projects, the larger metropolitan regions in the state usually account for most of the community appropriations. As such, and to avoid squabbling that could put project funding at risk, those local government entities usually band together to develop regional proposals or “white papers” they present to the state in a united front.
An example of how the process can get dicey on the local level came to light late last year when Mahoning Valley lawmakers sent a letter to local community leaders telling them to submit requests directly to their offices.
The lawmakers said they became alarmed when the Youngstown/Warren Regional Chamber “had reportedly been soliciting various entities to retain them on a fee-for-service basis to advocate for capital bill requests.”
“In order to avoid even the mere appearance of impropriety we will not regard the chamber as a facilitator or evaluator of capital bill requests going forward,” the letter stated.
Project examples from the regional requests, some of which coincide with higher education projects, along with links to their full lists of proposals are as follows:
Akron Area: The Greater Akron Chamber’s wish list includes about $15.26 million in development and community improvement projects and nearly $7.5 million for arts and culture initiatives.
The multi-county area’s development proposals include $3 million for the University of Akron’s Main Street development; $2 million each for Stark State College’s Akron Center and Akron’s Cascade Plaza; about $1.8 million each for Stan Hywet Hall & Gardens and Western Reserve Historical Society; $1.4 million for Summit County’s battered women shelter; and $1.2 million for STEM/Soap Box Derby. (Full Akron Area List)
Cincinnati/Hamilton County: By far the biggest ticket item among $24.65 million in requests for the area is $10 million for Phase III of The Banks, the mixed use development nestled between Paul Brown Stadium and Great American Ball Park along the Ohio River.
Also among the requests from the city and county are: $3 million for the Cincinnati Zoo and Botanical Garden; $2 million each for the Center for Addiction Treatment and University of Cincinnati Health’s Barrett Cancer Center; and $1.25 million each for the Cincinnati Shakespeare Company and Art Museum. (Full Cincinnati/Hamilton List)
Cleveland Area: The list provided to the legislature Wednesday by the Greater Cleveland Partnership includes three projects under the “Lakefront” header. They are $8.5 million for a lakefront pedestrian bridge; $4 million for restoring the Irish Town Bend and $1 million for a bridge to Wendy Park.
The region also seeks: $10 million for the Health Education Campus requested by the Cleveland Clinic/Case Western Reserve University; $8.1 million for the Flats East development; and $5 million for the Cleveland Museum of Natural History. (Full Cleveland List)
Columbus/Central Ohio: The capital city area’s $30.3 million in requests include: $5 million for the Scioto Peninsula Park and garage; $5 million for a COSI expansion; and $5 million for an athletic facility sought by the Greater Columbus Sports Commission.
Other project fund asks by the region include: $1.55 million for the Columbus Crew’s MAPFRE Stadium improvements; $1.5 million each for the Columbus College of Art & Design, and CHOICES for Victims of Domestic Violence; $1.3 million for the YMCA; and $1 million each for OhioHealth, Pickaway Progress Partnership, Marysville Advanced Manufacturing & Research, and Franklin Park Conservatory. (Full Columbus Area List)
Dayton Region: The list from the area chambers’ Priority Development and Advocacy Committee is topped by a nearly $5 million request for Wilmington Air Park infrastructure improvements.
The region also seeks: $5 million for the Dayton Art Institute’s Centennial; $3.4 million for Project M&M; $2.8 million for Boonshoft Museum of Discovery’s STEM Education Wing; $2.5 million for Springfield’s downtown parking facility; and $1.9 million for the Dayton Aviation Heritage Development Project. (Full Dayton Area List)
Mahoning Valley: A list of proposals compiled by Sen. Capri Cafaro‘s (D-Hubbard) office for the northeast Ohio region is topped by a $10 million request for the Mahoning Valley Innovation and Commercialization Center and nearly $3.3 million for the Great Ohio Lake-to-River Greenway.
Other area proposals include: $2.84 million each for the African American Cultural Center and CNG Fueling Station; $2 million for the Rock and Roll Hall of Fame; $1.27 million for the Youngstown Air Reserve Station; $1.25 million for the Glenbeigh expansion in Ashtabula County; and $1 million each for St. Joseph Warren Hospital, and Youngstown Amphitheater and Front Street Park project. (List of Valley Projects)
Toledo Area: The area’s Regional White Paper Committee submitted several proposals and provided funding rages for requests. The region’s largest funding request – for up to $3.5 million – is for the Toledo Museum of Art’s Polishing the Gem Project. The second-biggest is up to $2.5 million for the Promenade Park and ProMedica parking facility.
Other area requests include up to: $1 million for the Cocoon Emergency Shelter; $900,000 for Sauder Village Experience; and $700,000 each for the City of Sylvania’s SOMO Project and Downtown Toledo Music Hall. (Full Toledo Area List)
This year’s capital budget continues the return to the two-year cycle that was interrupted by the Great Recession. During those tight budget years, officials slimmed down bonding authority for state-owned buildings and eliminated funding for community projects in an attempt to cut debt obligations.
Speaker Rosenberger said the fact that a capital budget is possible at all this cycle is testament to the state’s financial recovery.
“You can’t have a capital budget without sound policy, and for the last five years I’m glad to be a part of this House and working with the governor to just get to this point where we can have capital bills to help the communities,” he said.
Bill Moving to Ban Construction Residency Rules
The House State Government took up again Wednesday the debate on whether governments should be able to require contractors to hire locals on public construction projects.
The committee heard from supporters of SB152, Sen. Joe Uecker’s (R-Loveland) measure to ban local governments from including the hiring mandates in public contracts. The House has already passed a similar measure, HB180, sponsored by the committee chairman, Rep. Ron Maag (R-Lebanon). A prohibition on the hiring mandates was removed from the biennial transportation budget, HB52 (Grossman) prior to its passage last year.
Committee members approved an amendment to create a carve-out for one Cleveland project but batted down Democrats’ other proposals to create exemptions.
Members accepted an amendment from Rep. Stephanie Kunze (R-Hilliard), the vice chair, which she said would allow the Ohio Department of Transportation to continue to comply with a federally required job-training program for enrollment of women and minority contractors on the Opportunity Corridor project in Cleveland.
Majority Republicans tabled additional amendments from Reps. Martin Sweeney (D-Cleveland) and Stephen Slesnick (D-Canton). Slesnick sought changes to allow cities to require that up to 20 percent of workers be local, or that up to 5 percent of hours be performed by local workers. Sweeney sought an exemption for his hometown, saying Cleveland only enacted its local hiring ordinance after learning that contractors weren’t following through on voluntary commitments. He also proposed an exception for projects where no state money is used.
Groups supporting the bill in committee Wednesday included the Greater Cleveland Chapter of the National Electrical Contractors Association (NECA); Association Builders and Contractors of Ohio (ABC); Cincinnati-based Allied Construction Industries; and the American Council of Engineering Companies of Ohio (ACEC). The Buckeye Institute gave interested party testimony that also criticized local hiring requirements.
Tom Shreves, executive director of the Cleveland NECA chapter, said cities’ residency requirements go against the spirit of a 2009 Ohio Supreme Court ruling striking down local governments’ ability to require their own employees to live within community boundaries. He said the “needless and nonsensical restrictions” dilute the pool of qualified labor and create problems for workers themselves.
Supporters also emphasized the federal constitutional requirements that prohibit enforcement of local hiring requirements on out-of-state contractors.
Terry Phillips, executive director of Allied Construction Industries, said Cincinnati’s residency ordinance has been a problem since its enactment three years ago. “While local hiring regulations are designed to help residents gain employment, they have had the opposite effect in Cincinnati. They also prevent fair and open competition. In the case of border cities and counties like Cincinnati, local hire provides an unfair advantage to out of state contractors who take the work without any obligation of compliance,” he said.
“Construction is an in-demand job sector currently experiencing significant labor shortages in Ohio. Opponents of this bill claim they support local hiring requirements because they want to develop a qualified construction workforce. If local communities are serious about developing local construction work forces, they should partner with proven construction craft trainers, like ABC, and work to promote careers in construction, recruit interested individuals and then support their enrollment in U.S. Department of Labor certified apprenticeship training programs. Until then, a local hiring mandate will not be achievable,” said ABC Ohio’s Bryan Williams.
Don Mader of ACEC Ohio said engineering work is not always dependent on being on site at a project, and technological advancements allow engineers to work on projects in multiple cities in quick succession. “This kind of efficiency should be encouraged, because it enables local governments to obtain high quality engineering services at a reasonable cost,” he said.
Opponents of the legislation submitted written testimony, saying hiring requirements help build an inclusive workforce and ensure local tax dollars promote local work opportunities.
Martin McGann, senior vice president of advocacy for the Greater Cleveland Partnership, said in written remarks the legislation would hamper the use in Northeast Ohio of “community benefit agreements … an important tool for regional and local governments to ensure that public expenditures result in real community gains such as an inclusive workforce, apprentice opportunities, minority contracting and local hiring.
“We work very closely with the city of Cleveland and other key stakeholders — including contractors and developers — to create CBAs and other workforce development initiatives that yield a high return on investment for our community but also create opportunities for a skilled and diverse workforce to have better access to economic opportunity,” he said.
The Construction Employers Association, a group of 100-plus contractors in and around Cleveland, also submitted written opposition testimony, calling the Northeast Ohio city’s Fannie M. Lewis Cleveland Resident Employment law “a central pillar of a Cleveland-wide public-private effort to recruit and employ Clevelanders on construction projects in Cleveland.”
“A state ban on local residency efforts would hinder contractors’ ability to meet the needs and desires of the public and private clients they serve – to ensure that local development dollars build skills and career opportunities for the local community,” stated the testimony from the association’s CEO, Tim Linville.
Cleveland’s Former Union Trust Company, 34 Other Projects Awarded Historic Preservation Tax Credits
The Development Services Agency awarded its latest round of Ohio Historic Preservation Tax Credits Wednesday, including a $25 million tax credit for the redevelopment of the old Union Trust Company building in Cleveland, the agency’s second “catalytic” award.
Thirty-four other applicants received a total of $37.8 million for projects to rehabilitate 55 historic buildings across the state, leveraging about $285.3 million in private investment, according to a news release.
“This is public-private money coming together,” DSA Director David Goodman said in a statement. “Saving historic buildings strengthens Ohio’s communities which attracts businesses and visitors to the state.”
Last year, the agency awarded its first catalytic tax credit to the Music Hall Revitalization Corporation and Cincinnati Center City Development Corporation to rehabilitate the 136-year-old Cincinnati Music Hall.
Union Trust Company: The 1.4 million-square-foot former trust building in Cleveland was built in 1924 but is now mostly vacant. Hudson Holdings plans to turn the building into a complex with 673 apartments, a 279-room hotel, office, business incubator, retail and event space. The project is expected to cost $270 million.
Here are the other projects awarded tax credits:
Cleveland Athletic Club was awarded a $5 million credit for a $53 million project to renovate the former downtown sports club into 175 apartments over a first-floor restaurant. The building was built in 1911, but has been vacant since 2008.
Forest City Bank and Seymour Block in Cleveland were awarded a $2 million tax credit for a $65 million project for developments on two corners of the intersection of West 25th and Detroit Avenue. The historic Forest City Bank and Seymour buildings will have 38 apartments, office space and a restaurant, while a new mixed-use structure will be built across the street.
Heyse Apartments in Cleveland was awarded a $572,000 tax credit for a $5 million project to rehabilitate an apartment building constructed in 1897 but converted to office space in 1982. It’s been vacant for a decade but will be turned back into 31 apartment units.
Lake Shore Bank and Public Library in Cleveland received a $249,999 tax credit for a $1.7 million project to turn the former bank and library building into a restaurant and bank building with office space.
Ogilvie Block in East Liverpool was awarded a $1.6 million tax credit for an $8.6 million project to convert the former Ogilvie Department and 5&10, which closed in the 1980s, into a space for New Castle School of Trades to house vocational training programs.
Variety Theater in Cleveland was awarded a $1.5 million tax credit for a $14.7 million project to turn the former Variety Store Building and Theater into a restaurant and entertainment venue with apartments and retail space.
390-392 East Town Street in Columbus was awarded a $113,400 tax credit for a $1.1 million project to turn the duplex, which was built in the 1890s and converted to office space in the 1920s, into four townhomes.
Brunswick Club in Newark, was awarded a $58,500 tax credit for a $300,000 project to turn the property built as a billiards club in the 1880s into a first-floor commercial space with a residential unit on the second and third floors.
Drexel Theatre in Bexley was awarded a $249,999 tax credit for a $2.6 million project to renovate the marquee, concession stand and other aspects of the 1937 art deco theater.
Micro Living at Long Street in Columbus was awarded a $1.4 million tax credit for an $18.8 million project to develop two historic buildings and two non-historic buildings into 40 “micro” apartments, retail and restaurant space. The project also includes rehabilitation of the parking garage at 52 E. Long Street.
Worthington Masonic Lodge in Worthington was awarded a $250,000 tax credit for a $4.4 million project to convert the Masonic Lodge and Museum, parts of which were built in 1820, into commercial space and residential units, including adding garages and new residential units.
Dayton Power and Light in Dayton was awarded a $687,500 tax credit for a $3.7 million project to convert the building, which has been vacant for nearly two decades, into office and event space.
Eaton High School in Eaton was awarded a $2 million tax credit for a $12.3 million project to convert the school, built in 1926, into affordable senior housing, with the gym and auditorium spaces set aside for community use and part of the property used for Sinclair Community College and a restaurant.
Wittenberg Fieldhouse in Springfield was awarded a $4.5 million tax credit for a $45 million project to rehabilitate the fieldhouse, built in 1929, and add classrooms, locker rooms and a 134,160-square-foot addition for indoor practice space. The project is eligible for up to $5 million in tax credits as it becomes available.
Nelsonville High School in Nelsonville was awarded a nearly $2 million tax credit for a $20 million project to convert the mostly vacant property into 33 affordable senior apartments and commercial business incubation space.
100 West Elder in Cincinnati was awarded a $220,000 tax credit for a $1.6 million project to convert the building, which has been vacant since the early 2000s and suffered a partial collapse in 2003, into first-floor retail and restaurants pace with offices on upper floors.
205 West McMicken in Cincinnati was awarded a $37,000 tax credit for a $375,000 project to convert the building, built in the 1870s and vacant more than 20 years, into first-floor commercial space with a three-bedroom apartment above.
Fromm Building in Cincinnati received a $108,500 tax credit for a $682,394 project to convert the property, built in 1865, into seven residential units, with a first-floor live-work space.
320-322 North Mechanic Street in Lebanon received a $51,372 tax credit for a $315,993 project to convert the building, the oldest part of which dates to 1826, into three rental units.
515 East 12th Street in Cincinnati was awarded a $195,000 tax credit for a $1.6 million project to rehabilitate a residential building into six apartment units.
1737 Elm Street in Cincinnati was awarded a $233,799 tax credit for a $1.2 million project to convert two buildings, one built around 1855, into small market-rate apartments and first-floor retail.
1737 Vine Street in Cincinnati was awarded a $185,000 tax credit for a $1.3 million project to convert a three-story building into seven residential units and restaurant space.
1814 Race in Cincinnati was awarded a $217,000 tax credit for a nearly $2 million project to convert the two buildings on the property into five apartments plus commercial space.
3936 Spring Grove Avenue in Cincinnati, was awarded a $71,608 tax credit for a $504,843 project to convert the building, vacant since the 1980s, into space for a bar with two upstairs apartments.
Broadway Square II in Cincinnati was awarded a $1.3 million tax credit for a $13.1 million project to convert 10 historic buildings on Broadway and East 13th Streets into retail space and 37 residential units.
Central Trust Company East Hills Branch in Cincinnati was awarded a $196,007 tax credit for a $1.3 million project to convert the former bank branch into restaurant space.
The Kauffman Building in Cincinnati received a $249,999 tax credit for a $2.8 million project to redevelop the building, which has suffered two fires since the 1990s, into commercial spaces and a dozen residential units.
Ophthalmic Hospital in Cincinnati received a $732,950 tax credit for a $7.4 million project to convert the vacant former medical facility into a boutique hotel with 20 rooms, a bar and restaurant.
Paramount Square in Cincinnati was awarded a nearly $2 million tax credit for a $20 million project to rehabilitate six historic buildings and two non-historic buildings around the former Paramount Theater into 15 commercial spaces and 44 residential units.
Peters Cartridge Factory in Hamilton Township received a $2.4 million tax credit for a $25 million project to convert the facility, which was used to manufacture ammunition from World War I through World War II, into 128 residential lofts, office space and a restaurant.
Rutemueller Building in Cincinnati received a $113,500 tax credit for a $1.1 million project to renovate a former grocery store and apartment building into seven apartment units.
Union Central Life Annex in Cincinnati was awarded a $5 million tax credit for a $75 million project to the nearly vacant downtown building into 294 apartments, a grocery store, business incubator, office space and a rooftop restaurant.
Schmitthenner Building in Cincinnati was awarded an $82,750 tax credit for a $671,870 project to turn the vacant former bakery property into seven apartment units and retail space.
Architects Good Samaritan Law Passes Ohio Senate Committee
The Senate Civil Justice Committee approved AIA Ohio’s Good Samaritan Bill, HB17, December 8 sending the bill to the Rules Committee where it will await a vote by the full Senate.
HB 17 would grant a volunteer who is an architect, engineer, surveyor or contractor qualified immunity from civil liability for any acts, errors, or omissions conducted in the performance of professional services that are requested by government officials, for a building, structure, piping, or other engineered system during a declared emergency and 90 days thereafter.
No immunity would be granted from wanton, willful or intentional misconduct.
House & Senate Pass Small Business Tax Fix
The House and Senate have overwhelmingly passed legislation to fix budget language that would have inadvertently led to a small business tax increase for 2015.
Rep. Ron Amstutz (R-Wooster) said SB208 would resolve an unintended effect of the budget bill HB64 (R. Smith) that would have led to a tax increase for some businesses. He said it will help businesses create more jobs and invest in expansion.
OFCC Outlines Charter School Grant Process & Prison Master Plan
The Ohio School Facilities Commission approved guidelines Thursday for a new grant program created in the budget to help finance charter school buildings. Commission staff described plans for opening applications in the new year and gaining final approval of awards by the end of the fiscal year.
The biennial budget, HB64 (R. Smith), appropriated $25 million to construct buildings for high quality charter schools, with the state grants financing up to half of the total project costs.
Jeff Westhoven, chief of facility and program services for the commission, said the guidelines provide high-level details that will be supplemented by further specificity in grant application materials to be presented to the commission for approval in January.
Under the guidelines, grant applications are to be judged based on three factors: educational, instructional and financial quality. Final awards would be decided by the commission’s executive director and the state superintendent, pending approval of the Controlling Board.
Westhoven said educational quality would be judged on factors such as creating seats to address unmet community needs or involving outside organizations as partners. Instructional quality would be judged on inclusion of features like technology, flexible work space, and natural lighting and acoustic elements that are associated with improved learning. Analysis of financial quality could be based on factors like an applicant’s financial and operational history and greater share of local funding, Westhoven said.
Winning applicants would have to ensure the facilities maintain an educational purpose for at least 10 years following construction, he said.
The commission also approved guidelines for another budget-funded program, the STEM School Facilities Assistance Program. According to Sarah Spence, legislative affairs manager for the commission, the FY14-15 budget created a program for qualifying partnerships to receive up to a 50 percent state share of funding to construct facilities for a STEM program. The latest budget bill then provided funding for partnerships meeting certain eligibility criteria, namely that it include a group of districts in a career-technical education compact that spans two adjacent counties of between 40,000 and 50,000 population, one of which borders a neighboring state.
At the subsequent meeting of the Ohio Facilities Construction Commission, planning chief William Ramsey presented findings of a comprehensive assessment and master planning project for state correctional facilities, alongside Jenny Hildebrand, head of the Department of Rehabilitation and Correction’s (DRC) Bureau of Construction, Activation, Maintenance and Sustainability.
Ramsey said the review and planning process assessed not only the status and future needs for physical facilities, but also those facilities’ alignment with operational and programmatic needs, such as increased demand for medical and mental health programming and the aging inmate population. The average DRC facility dates to 1973, and while many of them are structurally and physically sound, their mechanical, electrical and other systems are nearing the end of their useful life.
Marion Correctional and Southern Ohio Correctional showed the two highest levels of individual need, both in excess of $90 million. The oldest facilities are not necessarily the most in need of repair or replacement, Ramsey said.
Across all facilities, heating systems constitute the greatest need, assessed at more than $200 million worth of work, followed by more than $100 million worth of assessed need for plumbing and fixtures.
The next step will be prioritizing projects for capital funding requests.
“This is a long term plan …. We want to keep thinking about this every year, every two years, because it’s going to continue to change,” Ramsey said.
“This gets me excited for the DRC capital request due Nov. 16,” said Budget Director Tim Keen. “I have high hopes for this project, and it sounds like a lot of that has come to pass.”
“We need to talk about this project and how it’s going with some of our cabinet colleagues … those that have intensive facility footprints,” Keen said.