05/30/2026
Darlene Hicks
Legislative Bulletin
The Ohio Municipal League
Legislative Bulletin
May 29, 2026
UPDATE AT A GLANCE
Here are recent items of note:
OML emailed additional information to our members about the implementation of Ohio’s new economic development confidentiality law enacted through House Bill 184. We are also partnering with the the Ohio Economic Development Association and County Commissioners Association of Ohio to host a June 9 webinar on the topic, which will be presented by Bricker Graydon Wyatt. More information is available here.
The first hearing of the House and Senate Select Committees on Data Centers took place this week, with testimony from the Office of the Ohio Consumers’ Counsel, PJM Interconnection, PUCO, and the Data Center Coalition. Co-chair Brian Chavez (R-Marietta) said local government officials will have the opportunity to testify on June 8 at noon. More information is in the article below.
The U.S. House of Representatives recently passed the Farm, Food and National Security Act of 2026, also known as the Farm Bill. The Farm Bill authorizes programs and policy measures related to agriculture, nutrition, rural development and other matters. The National League of Cities provided a look at key provisions in the House-passed bill of interest to local leaders that can be viewed here.
Gov. DeWine announced that the Ohio Tax Credit Authority will pause consideration of new data center sales tax exemption requests while the data center committee continues its review. The exemption was previously vetoed as part of the state operating budget bill, but the veto has not been over-ridden by the Legislature. Recent reports estimate the exemption resulted in approximately $1.6 billion in foregone state revenue in 2025.
The Ohio Department of Public Safety announced $648 million available through FEMA to support firefighters and EMS personnel with the: Assistance to Firefighters Grants program for PPE, emergency vehicles, and responder wellness initiatives; the Staffing for Adequate Fire and Emergency Response program for firefighter salaries, recruitment, and retention; and the Fire Prevention and Safety program for research and prevention safety initiatives. The application period closes June 22, and more information is available here.
The Ohio Department of Development announced $26.9 million through the Welcome Home Ohio program to expand access to safe, affordable housing in 57 counties. The full list of of Round 5 awards can be viewed here.
The U.S. Department of Agriculture’s Rural Development program announced $17 million available through the Community Connect Grant Program to help expand broadband service in rural, economically challenged communities where service does not currently exist. Funding may be used for broadband deployment infrastructure, free broadband service to critical community facilities for up to two years, and the development or expansion of community centers offering public internet access. The application period closes June 29, and more information is available here.
The Ohio EPA announced that its Water Supply Revolving Loan Account has received approximately $201.8 million from the U.S. EPA to help communities identify, remove and replace lead service lines. More information about the Ohio EPA’s “Get the Lead Out” program and available resources can be viewed here.
Registration is open for OML's annual Municipal Income Tax Seminar, which will take place July 8-10 at The Ohioan Hotel and Event Center. The conference is geared toward tax administrators and will cover nuts and bolts for tax administrators, changes to law, reviewing returns, technology, ethics, and more. Additional information is available here.
JOINT LEGISLATIVE COMMITEE BEGINS HEARINGS ON IMPACT OF DATA CENTERS
Legislators this week convened the first meetings of the House and Senate Select Committee on Data Centers, hearing testimony from utility regulators, consumer advocates, grid operators, and industry representatives regarding the rapid growth of data center development across the state.
Committee co-chairs Sen. Brian Chavez (R-Marietta) and Rep. Adam Holmes (R-Nashport) said the hearings are intended to provide local officials, residents, and policymakers with information on both the economic opportunities and infrastructure challenges associated with the industry.
Watch this week's hearing here.
Industry representatives emphasized the economic benefits of continued investment. Dan Diorio, vice president of state policy for the Data Center Coalition, testified that Ohio data centers supported more than 100,000 direct, indirect, and induced jobs in 2024 and contributed approximately $14.1 billion to Ohio’s gross domestic product, along with roughly $1.1 billion in state and local tax revenues.
Diorio described data centers as critical infrastructure supporting cloud computing, artificial intelligence, telehealth, e-commerce, online learning, and other digital services increasingly relied upon by businesses and residents.
Asim Haque, executive vice president of governmental and member services for PJM Interconnection and former PUCO chairman, discussed efforts underway to manage growing electric demand and maintain grid reliability. Haque noted that PJM’s generation queue has shifted significantly toward natural gas generation projects as operators respond to expected demand growth tied to artificial intelligence and data center expansion.
PUCO Chairwoman Jennifer French testified that the pace of electric demand growth tied to data centers is unlike anything previously experienced in the PJM region. French said regulators must balance continued economic development with protections for existing ratepayers.
Also among the witnesses was Ohio Consumers’ Counsel Maureen Willis, who urged lawmakers to ensure residential customers and small businesses are protected from bearing costs associated with the significant electric demand created by large-scale data centers.
“The question before this committee is not whether Ohio should welcome data centers. Ohio should,” Willis said. “The question is, how can Ohio support economic growth while protecting Ohio households from unfair costs and reliability risks associated with extraordinary new electric demand?”
Willis also called for greater transparency surrounding utility and development agreements and warned that data center-related load growth could significantly affect wholesale electric markets and utility affordability.
The committee finished the hearing with updates from the Ohio EPA and Ohio Department of Natural Resources.
Local government officials will have the opportunity to testify on June 8 at noon.
NEWLY INTRODUCED
BILLS OF MUNICIPAL INTEREST
Below is the list of bills that were newly introduced and that are impactful to Ohio municipalities:
HB957 - PROHIBIT NEW DATA CENTER SALES TAX EXEMPTIONS (Rep. Tristan Rader)
To prohibit new data center sales tax exemptions from being granted.
Bill Text
COMMITTEE RECAP
BILLS OF MUNICIPAL INTEREST
Below is the list of bills that received a legislative committee hearing this week and that are impactful to Ohio municipalities:
Bills receiving additional hearings:
HB314 - RESTRICT DISRUPTIVE RECORD REQUESTS (Ray, S; Isaacsohn, D)
To restrict harassing or disruptive public records requests and permit private contractors to respond to voluminous public records requests. Substitute bill accepted at fourth hearing in House Judiciary. The sub bill was described as a working document that allows confidentiality of private people such as emails of families of public schools to be kept from public records, as well as helping smooth over and establish new provisions regarding the amount of time to reasonably fulfill public records requests and giving more recourse in the legal system for those deemed as vexatious records requesters.
Substitute Bill | Bill Analysis (as Introduced)
HJR9 - CONSTITUTIONAL CHANGE-VOTER ID REQUIREMENT (Workman, H; Bird, A)
Proposing to enact Section 5 of Article V of the Constitution of the State of Ohio to require identification to vote. Second hearing in House General Government.
Resolution Analysis
SB318 - NONPUBLIC SCHOOLS-RESOURCE OFFICERS (Cutrona, A)
To authorize a law enforcement agency to provide school resource officer services to a chartered nonpublic school. Second hearing in House Education.
Bill Analysis
COMMITTEE SCHEDULE
Based on Committee Notices that Have Been Distributed Thus Far
Monday, June 1, 2026
HOUSE SELECT COMMITTEE ON DATA CENTERS
Mon., Jun. 1, 2026, 12:00 PM, Senate Hearing Room
Rep. Holmes: 614-644-6014
Joint meeting with Senate select committee to hear general public testimony on data center issues.
SENATE SELECT COMMITTEE ON DATA CENTERS
Mon., Jun. 1, 2026, 12:00 PM, Senate Finance Hearing Room
Sen. Chavez: 614-466-6508
Joint meeting with House select committee to hear general public testimony on data center issues
Tuesday, June 2, 2026
HOUSE EDUCATION
Tue., Jun. 2, 2026, 11:00 AM, Hearing Room 114
Rep. Fowler: 614-466-1405
SB318 - NONPUBLIC SCHOOLS-RESOURCE OFFICERS (CUTRONA A) To authorize a law enforcement agency to provide school resource officer services to a chartered nonpublic school.
Third Hearing, All Testimony, POSSIBLE VOTE
HOUSE FINANCE
Tue., Jun. 2, 2026, 3:00 PM, Hearing Room 313
Rep. Stewar: 614-466-1463
HBXX – CAPITAL BUDGET
To authorize a law enforcement agency to provide school resource officer services to a chartered nonpublic school.
Third Hearing, All Testimony, POSSIBLE VOTE
Wednesday, June 3, 2026
HOUSE DEVELOPMENT
Wed., Jun. 3, 2026, 9:45 AM, Hearing Room 122
Rep. Hoops: 614-466-3760
HB284 - STATE-FUNDED PROJECTS-AMERICAN IRON, STEEL (HINER M, WHITE E)
To require iron or steel that is produced in the United States be used on projects supported by state funds.
Fifth Hearing, All Testimony, AMENDMENTS/POSSIBLE VOTE
HB857 - RESIDENTIAL REVOLVING LOAN CHANGES (BROWNLEE K, SIGRIST M)
To modify the Residential Development Revolving Loan Program and to name this act the Housing Recovery Act.
First Hearing, Sponsor Testimony
HOUSE HEALTH
Wed., Jun. 3, 2026, 10:00 AM, Hearing Room 121
Rep. Schmidt: 614-466-8134
HB692 - LAW CHANGES-HOME SEWAGE SYSTEMS (PIZZULLI J, JOHN M)
To make changes to the law governing household sewage treatment systems.
Third Hearing, All Testimony, SUBSTITUTE BILL
SENATE LOCAL GOVERNMENT
Wed., Jun. 3, 2026, 2:30 PM, North Hearing Room
Sen. O'Brien: 614-466-7182
OR AFTER SESSION
SB435 - RELATED TO ABANDONED MANUFACTURED HOMES (REYNOLDS M, LANDIS A) Related to abandoned manufactured homes.
Second Hearing, Proponent Testimony
HB428 - REGARDING RESIDENCY REQUIREMENTS-CITY DIRECTOR POSITIONS (THOMAS D, WILLIAMS J)
Regarding residency requirements for the city director of public service and the city director of public safety.
Third Hearing, Opponent/Interested Party Testimony
HOUSE ENERGY
Wed., Jun. 3, 2026, 3:00 PM, Hearing Room 313
Rep. Holmes: 614-644-6014
OR AFTER SESSION
HB706 - DATA CENTER CUSTOMER REQUIREMENTS (RADER T, THOMAS D)
To impose certain minimum requirements on data center customers in the state.
Third Hearing, All Testimony
Monday, June 8, 2026
HOUSE SELECT COMMITTEE ON DATA CENTERS
Mon., Jun. 8, 2026, 12:00 PM, TBA
Rep. Holmes: 614-644-6014
Joint meeting with Senate select committee for testimony from local governments and communities.
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