Legislative News

The House Ways and Means Committee took testimony March 24 on HB464 which would exempt qualifying wind and solar energy facilities from property taxation for up to 20 years and to require payments in lieu of taxes on the basis of each megawatt if production capacity of such facilities.  The bill is similar to SB 232, introduced by Sen. Chris Widener, FAIA.

Committee members heard proponent testimony for the bill, which would exempt qualifying wind and solar energy facilities from property taxation for up to 20 years and would require payments in lieu of taxes on the basis of each megawatt of production capacity of such facilities.

Connie Neininger, economic development director for White County, Indiana, testified about the impact of a wind farm development in White County, an agricultural community that began researching wind energy when three different wind energy companies began courting their community. So far, the wind farm has been an asset to the community, she said.

Construction of the project brought many workers, which increased sales for local restuarants and hotels. The Indiana company that was the contractor for Phase 1 hired local residents for the job. Tourism season was extended to year-round, Neininger said, and schools are using the wind farms for education, starting tours of wind farms and hosting speakers. A local community college developed a sustainable energy curriculum to train the workforce. Neininger said the wind company is a good neighbor, causing minimal disruption of the farmland and preserving the land for farming for the future. The total project will measure 600 megawatts and consist of 350 turbines that span 84,000 acres.

Eric Thumma, director of institutional relations for Iberdrola Renewables, Inc., testified in support of the bill.

“Ohio’s existing tax regime puts wind development here at a significant disadvantage relative to other neighboring locations,” Thumma said. “HB464 mitigates that disadvantage while providing a known, stable, and significant stream of tax revenue to local communities – tax revenues that would possibly go completely unrealized if investments in proposed commercial scale wind projects are discouraged through the current uncompetitive tax regime.”

Written testimony was submitted by Clair Dudgeon, a Van Wert County commissioner who expressed support for the bill and said it would help the county compete with neighboring communities across the Indiana border.

Also providing written support of the bill was Robert Wannemacher, treasurer of the Wayne Trace Local School District in Haviland. Wannemacher suggested the tax rate of $6,000 per megawatt capacity should be raised to $10,000 or $12,000 per megawatt, which would place Ohio in the median of states with wind turbines.

Elaine Siler, a land owner in Van Wert County, also submitted written testimony in support of the bill as a way to keep Ohio competitive and make positive changes for the future.

Phil McClure, a retired farmer and property owner in Van Wert County who has signed a contract with a wind company to build wind mills on an 80 acre farm also wrote in support of the bill.

SB 183 which would re-position a grandfather exemption from the requirements of the Architects Law granted to certain corporations was recommended for passage March 23 by the Ohio House Civil and Commercial Law Committee.

HB 462, the Capital Re appropriations Bill was recommended for passage by the Senate Finance Committee.

Both bills now head to the floors of the respective Houses.

In a favorable decision for Ohio employers, the Ohio Supreme Court today upheld a 2005 statute limiting the ability of employees who suffer workplace injuries from suing their employers for a “workplace intentional tort” in addition to receiving workers’ compensation benefits.  In two separate decisions, the Court ruled that Ohio Revised Code Section 2745.01, which requires that injured employees prove that their employers acted “with a deliberate intent to cause…injury,” does not violate the Ohio Constitution.

Under the “deliberate intent” standard, an employer may no longer be held liable for the accidental injury of an employee, even if the injury is caused by the gross, wanton, willful, reckless, or malicious breach of its duty of care.  An employer must instead act with “a conscious and deliberate…purpose of inflicting an injury.”  

Although the statute generally limits the circumstances under which Ohio employees may bring intentional tort actions, it also outlines specific circumstances in which “deliberate intent” will be presumed.  The law provides that the “deliberate removal by an employer of an equipment safety guard or deliberate misrepresentation of a toxic or hazardous substance creates a rebuttable presumption that the removal or misrepresentation was committed with intent to injure another if an injury or an occupational disease or condition occurs as a direct result.”  

An overview of the Ohio Supreme Court’s decisions in Kaminski v. Metal & Wire Products Co. and Stetter v. R.J. Corman Derailment Services, as well as the text of the opinions, may be found by following this link: 

www.sconet.state.oh.us/PIO/summaries/2010/0323/080857_080972.asp

The Senate Energy and Public Utilities Committee took additional testimony of Sen. Widener’s SB 232 which would  exempt from taxation renewable energy facilities that are not financed through the Ohio Air Quality Development Authority and require a payment in lieu of taxes on the basis of each megawatt of production capacity in such facilities.

Larry Viterna, president and CEO of Nautica Windpower, LLC; and Jasson Clark, Ohio and Vicinity Regional Council of Carpenters testified in support of SB232. Written testimony in support of the bill was submitted by Phil McClure of the McClure Family Trust and Elaine Siler, a landowner in Van Wert County.

Viterna said the Federal Wind Energy Program that invented many of the technologies for large wind turbines was, unfortunately, ended in 1985, allowing “the Europeans to build on our technical investment and capture the dominant position in the multibillion dollar world market of wind turbine manufacturing. Fortunately for our wind industry,” he added, “at least a few U.S. system manufacturers such as General Electric are now back in production and have developed a significant market position.”

Viterna said his company is working with other Ohio companies to develop a new wind turbine “to open up the vast resource of offshore wind energy.” He said SB232’s proposal to provide a limited exemption from the personal property tax on renewable power production would be an important component to making Ohio competitive with surrounding states for investment at this time.

Viterna said Chairman Widener’s estimate of 8,000 parts in a wind turbine is probably accurate, and that Ohio suppliers may be capable of manufacturing 80 percent of them.

In response to Sen. Sawyer, Viterna said the Legislature should insist that SB232 address reactive power and decentralized power. He said, unlike early designs that placed a burden on power grids, current technologies in wind power generators and controls make them an asset to the power grid, reducing the potential for blackouts like the 2003 northeast blackout.

Although unclear about what work carpenters do on wind turbines, Clark said SB232 would “remove one of the last hurdles to wind turbine power,” providing “hundreds of good paying jobs for trained workers.” He told Widener Ohioans will be able to fill a majority of the jobs although some companies may bring in their own out-of-state forces.

McClure wrote, “… I strongly support this effort to lower the tax burdens threatening our chance of getting a renewable energy source being proposed for the counties of northwest Ohio… Current government taxation, both state and local, along with all the associated government regulation is simply killing any business or industry opportunities for our state.”

Siler wrote, “It is important to bring new industries to Ohio – and most importantly new technology, such as renewable energy… [SB232] is one of the most important means of encouragement to say ‘Welcome to Ohio; we are looking forward to your success and ours!'”

Prompted by Sen. Husted, Chairman Widener announced that amendments are due this Friday for a substitute bill expected at next week’s hearing when all testimony will be received, with a vote immediately thereafter.

The Capital Re-appropriations Bill Passed the House today by a vote of 77-18. Senate action coming this week.

The lead Republican on the House Finance and Appropriations Committee proposed Friday to save money by not funding all the projects approved in previous state capital budgets.

By the time you read this on March 19, the Capital bill may already be on its way to the Governor’s desk.  In a sign that it will be non-controversial, the Senate has set an expedited schedule for the capital reappropriations measure that could see the $3.2 billion bill clear both chambers the week of March 15.

The bill (HB 462) is slated for a second hearing and vote on March 15 in the House Finance & Appropriations Committee, with a full chamber vote expected Tuesday.

The Senate Finance & Financial Institutions Committee has set hearings on the measure for Tuesday afternoon and Wednesday morning in eying a full Senate vote later that day, March 17.

The bill mostly reauthorizes spending for ongoing capital projects during fiscal; years 2011 and 2012 but also includes $525 million in new appropriations for bond-backed expenditures by the Ohio School Facilities Commission and $145 million for the Ohio Public Works Commission.

If the bill, which impacts some 1,200 projects, proceeds like the last capital appropriations measure, it will get enacted without any major changes or controversial provisions.

Indeed, Sen. John Carey (R-Wellston), chairman of the Senate Finance Committee, has said that was the gist of an agreement between the Senate president, House speaker and governor.

“They’ve all agreed to keep it a clean bill other than technical changes,” he said.

House Republicans questioned the state’s spending pace and debt load and raised other concerns during the first hearing on the bill this week, however Senate President Bill Harris (R-Ashland) said he didn’t foresee any problems in processing it in short order.

Hearings opened Tuesday in the House Finance and Appropriations Committee on the administration’s capital re-appropriations bill, which, for the most part, re-ups funding for capital projects approved by previous General Assemblies – a generally  a pretty routine process.

The House Ways and Means Committee took testimony March 24 on HB464 which would exempt qualifying wind and solar energy facilities from property taxation for up to 20 years and to require payments in lieu of taxes on the basis of each megawatt if production capacity of such facilities.  The bill is similar to SB 232, introduced by Sen. Chris Widener, FAIA.

Committee members heard proponent testimony for the bill, which would exempt qualifying wind and solar energy facilities from property taxation for up to 20 years and would require payments in lieu of taxes on the basis of each megawatt of production capacity of such facilities.

Connie Neininger, economic development director for White County, Indiana, testified about the impact of a wind farm development in White County, an agricultural community that began researching wind energy when three different wind energy companies began courting their community. So far, the wind farm has been an asset to the community, she said.

Construction of the project brought many workers, which increased sales for local restuarants and hotels. The Indiana company that was the contractor for Phase 1 hired local residents for the job. Tourism season was extended to year-round, Neininger said, and schools are using the wind farms for education, starting tours of wind farms and hosting speakers. A local community college developed a sustainable energy curriculum to train the workforce. Neininger said the wind company is a good neighbor, causing minimal disruption of the farmland and preserving the land for farming for the future. The total project will measure 600 megawatts and consist of 350 turbines that span 84,000 acres.

Eric Thumma, director of institutional relations for Iberdrola Renewables, Inc., testified in support of the bill.

“Ohio’s existing tax regime puts wind development here at a significant disadvantage relative to other neighboring locations,” Thumma said. “HB464 mitigates that disadvantage while providing a known, stable, and significant stream of tax revenue to local communities – tax revenues that would possibly go completely unrealized if investments in proposed commercial scale wind projects are discouraged through the current uncompetitive tax regime.”

Written testimony was submitted by Clair Dudgeon, a Van Wert County commissioner who expressed support for the bill and said it would help the county compete with neighboring communities across the Indiana border.

Also providing written support of the bill was Robert Wannemacher, treasurer of the Wayne Trace Local School District in Haviland. Wannemacher suggested the tax rate of $6,000 per megawatt capacity should be raised to $10,000 or $12,000 per megawatt, which would place Ohio in the median of states with wind turbines.

Elaine Siler, a land owner in Van Wert County, also submitted written testimony in support of the bill as a way to keep Ohio competitive and make positive changes for the future.

Phil McClure, a retired farmer and property owner in Van Wert County who has signed a contract with a wind company to build wind mills on an 80 acre farm also wrote in support of the bill.

SB 183 which would re-position a grandfather exemption from the requirements of the Architects Law granted to certain corporations was recommended for passage March 23 by the Ohio House Civil and Commercial Law Committee.

HB 462, the Capital Re appropriations Bill was recommended for passage by the Senate Finance Committee.

Both bills now head to the floors of the respective Houses.

In a favorable decision for Ohio employers, the Ohio Supreme Court today upheld a 2005 statute limiting the ability of employees who suffer workplace injuries from suing their employers for a “workplace intentional tort” in addition to receiving workers’ compensation benefits.  In two separate decisions, the Court ruled that Ohio Revised Code Section 2745.01, which requires that injured employees prove that their employers acted “with a deliberate intent to cause…injury,” does not violate the Ohio Constitution.

Under the “deliberate intent” standard, an employer may no longer be held liable for the accidental injury of an employee, even if the injury is caused by the gross, wanton, willful, reckless, or malicious breach of its duty of care.  An employer must instead act with “a conscious and deliberate…purpose of inflicting an injury.”  

Although the statute generally limits the circumstances under which Ohio employees may bring intentional tort actions, it also outlines specific circumstances in which “deliberate intent” will be presumed.  The law provides that the “deliberate removal by an employer of an equipment safety guard or deliberate misrepresentation of a toxic or hazardous substance creates a rebuttable presumption that the removal or misrepresentation was committed with intent to injure another if an injury or an occupational disease or condition occurs as a direct result.”  

An overview of the Ohio Supreme Court’s decisions in Kaminski v. Metal & Wire Products Co. and Stetter v. R.J. Corman Derailment Services, as well as the text of the opinions, may be found by following this link: 

www.sconet.state.oh.us/PIO/summaries/2010/0323/080857_080972.asp

The Senate Energy and Public Utilities Committee took additional testimony of Sen. Widener’s SB 232 which would  exempt from taxation renewable energy facilities that are not financed through the Ohio Air Quality Development Authority and require a payment in lieu of taxes on the basis of each megawatt of production capacity in such facilities.

Larry Viterna, president and CEO of Nautica Windpower, LLC; and Jasson Clark, Ohio and Vicinity Regional Council of Carpenters testified in support of SB232. Written testimony in support of the bill was submitted by Phil McClure of the McClure Family Trust and Elaine Siler, a landowner in Van Wert County.

Viterna said the Federal Wind Energy Program that invented many of the technologies for large wind turbines was, unfortunately, ended in 1985, allowing “the Europeans to build on our technical investment and capture the dominant position in the multibillion dollar world market of wind turbine manufacturing. Fortunately for our wind industry,” he added, “at least a few U.S. system manufacturers such as General Electric are now back in production and have developed a significant market position.”

Viterna said his company is working with other Ohio companies to develop a new wind turbine “to open up the vast resource of offshore wind energy.” He said SB232’s proposal to provide a limited exemption from the personal property tax on renewable power production would be an important component to making Ohio competitive with surrounding states for investment at this time.

Viterna said Chairman Widener’s estimate of 8,000 parts in a wind turbine is probably accurate, and that Ohio suppliers may be capable of manufacturing 80 percent of them.

In response to Sen. Sawyer, Viterna said the Legislature should insist that SB232 address reactive power and decentralized power. He said, unlike early designs that placed a burden on power grids, current technologies in wind power generators and controls make them an asset to the power grid, reducing the potential for blackouts like the 2003 northeast blackout.

Although unclear about what work carpenters do on wind turbines, Clark said SB232 would “remove one of the last hurdles to wind turbine power,” providing “hundreds of good paying jobs for trained workers.” He told Widener Ohioans will be able to fill a majority of the jobs although some companies may bring in their own out-of-state forces.

McClure wrote, “… I strongly support this effort to lower the tax burdens threatening our chance of getting a renewable energy source being proposed for the counties of northwest Ohio… Current government taxation, both state and local, along with all the associated government regulation is simply killing any business or industry opportunities for our state.”

Siler wrote, “It is important to bring new industries to Ohio – and most importantly new technology, such as renewable energy… [SB232] is one of the most important means of encouragement to say ‘Welcome to Ohio; we are looking forward to your success and ours!'”

Prompted by Sen. Husted, Chairman Widener announced that amendments are due this Friday for a substitute bill expected at next week’s hearing when all testimony will be received, with a vote immediately thereafter.

The Capital Re-appropriations Bill Passed the House today by a vote of 77-18. Senate action coming this week.

The lead Republican on the House Finance and Appropriations Committee proposed Friday to save money by not funding all the projects approved in previous state capital budgets.

By the time you read this on March 19, the Capital bill may already be on its way to the Governor’s desk.  In a sign that it will be non-controversial, the Senate has set an expedited schedule for the capital reappropriations measure that could see the $3.2 billion bill clear both chambers the week of March 15.

The bill (HB 462) is slated for a second hearing and vote on March 15 in the House Finance & Appropriations Committee, with a full chamber vote expected Tuesday.

The Senate Finance & Financial Institutions Committee has set hearings on the measure for Tuesday afternoon and Wednesday morning in eying a full Senate vote later that day, March 17.

The bill mostly reauthorizes spending for ongoing capital projects during fiscal; years 2011 and 2012 but also includes $525 million in new appropriations for bond-backed expenditures by the Ohio School Facilities Commission and $145 million for the Ohio Public Works Commission.

If the bill, which impacts some 1,200 projects, proceeds like the last capital appropriations measure, it will get enacted without any major changes or controversial provisions.

Indeed, Sen. John Carey (R-Wellston), chairman of the Senate Finance Committee, has said that was the gist of an agreement between the Senate president, House speaker and governor.

“They’ve all agreed to keep it a clean bill other than technical changes,” he said.

House Republicans questioned the state’s spending pace and debt load and raised other concerns during the first hearing on the bill this week, however Senate President Bill Harris (R-Ashland) said he didn’t foresee any problems in processing it in short order.

Hearings opened Tuesday in the House Finance and Appropriations Committee on the administration’s capital re-appropriations bill, which, for the most part, re-ups funding for capital projects approved by previous General Assemblies – a generally  a pretty routine process.