H.B. 110 – Ohio’s recently enacted budget bill – has changed the definition of “Public Infrastructure Improvement” in R.C, 5709.40(A) to add language which will now permit off-street parking facilities to be financed with PILOTs, including those off-street parking facilities in which all or a portion of the parking spaces are reserved, i.e. non-public, when such reserved use is determined to be necessary for economic development purposes.

H.B. 110 also enacts new R.C. 5713.083 which require owners of exempt property to notify their respective county auditor (on a to be developed Ohio Dept. of Taxation form) as to the property’s ceasing to be exempt from real property taxes, with charges imposed for an owner’s failure to so notify.

H.B. 110 lastly provides the below specificity regarding when an urban redevelopment TIF (R.C. 5709.41) commences:

  • A 5709.41 TIF exemption commences on the effective date of the TIF ordinance and with the tax year specified in the TIF ordinance so long as the year specified in the TIF ordinance commences after the  effective date of the ordinance.
  • If the 5709.41 TIF ordinance specifies a year commencing before the effective date of the ordinance or specifies no year,  the 5709.41 TIF exemption commences with the tax year in which an exempted improvement first appears on the tax list and that commences after the  effective date of the TIF ordinance.
  • In lieu of stating a specific year, the  5709.41 TIF ordinance may provide that the exemption commences in the tax year in  which the value of an improvement exceeds a specified amount or in which  the construction of one or more improvements is completed, provided that such tax year commences after the effective date of the 5709.41 TIF ordinance.
  • In lieu of stating a specific year, the 5709.41 TIF ordinance may allow for the exemption to  commence in different tax years on a parcel-by-parcel basis, with a separate  exemption term specified for each parcel. The exemption ends on the date specified in the ordinance as the date the improvement ceases to be a public purpose.