To amend sections 123.01, 1505.07, 1506.11, 1531.06, 1571.01, 4503.10, 4503.101, 4503.103, 4928.01, 4928.51, 4928.61, and 4928.67, to enact sections 122.155, 122.156, 122.157, 131.50, 164.30, 1506.111, 1509.50, 1509.51, 1509.52, 1509.53, 1509.54, 1509.55, 1551.21, 1572.01 to 1572.07, 4928.68, 4928.70, 4928.701, 4928.702, 4928.703, 4928.704, 4928.705, 4928.706, 4928.707, 4928.708, 4928.709, 4928.7010, 4928.7011, 4928.7012, 4928.7013, 4928.7014, 4928.7015, 4928.7016, 4928.7017, 4933.51 to 4933.58, 5301.073, 5311.192, and 5501.452, and to repeal sections 5119.40, 5120.12, and 5123.23 of the Revised Code to modify and expand the laws governing energy development and supply in the state.

Section 1.  That sections 123.01, 1505.07, 1506.11, 1531.06, 1571.01, 4503.10, 4503.101, 4503.103, 4928.01, 4928.51, 4928.61, and 4928.67 be amended and sections 122.155, 122.156, 122.157, 131.50, 164.30, 1506.111, 1509.50, 1509.51, 1509.52, 1509.53, 1509.54, 1509.55, 1551.21, 1572.01, 1572.02, 1572.03, 1572.04, 1572.05, 1572.06, 1572.07, 4928.68, 4928.70, 4928.701, 4928.702, 4928.703, 4928.704, 4928.705, 4928.706, 4928.707, 4928.708, 4928.709, 4928.7010, 4928.7011, 4928.7012, 4928.7013, 4928.7014, 4928.7015, 4928.7016, 4928.7017, 4933.51, 4933.52, 4933.53, 4933.54, 4933.55, 4933.56, 4933.57, 4933.58, 5301.073, 5311.192, and 5501.452 of the Revised Code be enacted to read as follows:

Sec. 122.155. As used in sections 122.155 to 122.157 of the Revised Code:

(A) "Advanced energy project" has the same meaning as in section 4928.01 of the Revised Code.

(B) "Translational research" means designing or creating new or enhanced products, equipment, or processes by conducting scientific or technological inquiry and experimentation in advanced energy with the goal of developing practical tools, techniques, and manufacturing applications and technologies that result in marketable advanced energy products. "Translational research" includes the coordination of research and product development with manufacturing technology development that results in accelerating the time by which competitive products are available commercially.

Sec. 122.156. The director of development shall establish the Ohio advanced energy manufacturing center. The center shall provide for the exchange of information and expertise regarding advanced energy for the purpose of assisting with the design of advanced energy projects, developing advanced energy workforce training programs, and encouraging investment in advanced energy manufacturing technologies that result in the manufacture of commercially available advanced energy products and sustainable manufacturing operations that create high-paying jobs in the state. The center may do any of the following:

(A) Enter into contracts, with the approval of the Ohio advanced energy manufacturing center board, to offer research, technology, and manufacturing process development services in the field of advanced energy;

(B) Establish methods by which energy, manufacturing, and technology businesses may work with the state's educational institutions to foster advanced energy product development and translational research;

(C) Develop programs that foster cooperation with higher education institutions in order to assist in the development of advanced energy projects;

(D) Develop, in cooperation with the department of job and family services, workforce development programs that provide training for job opportunities in the field of advanced energy.

Sec. 122.157. (A) There is hereby created the Ohio advanced energy manufacturing center board to assist in developing advanced energy projects in this state.

(B) The board shall consist of six members appointed by the governor with the advice and consent of the senate and selected for their knowledge of and experience in advanced energy research or translational research, business, higher education, and federal research and development programs with an emphasis on the development of manufacturing processes and technologies and the use of existing resources in the university and business communities for advanced energy research; the director of development or the director's designee; one member of the senate appointed by the president of the senate; and one member of the house of representatives appointed by the speaker of the house of representatives.

Not more than three members of the board appointed by the governor shall be members of the same political party. The terms of office for the six members appointed by the governor shall be for seven years commencing on the first day of January and ending on the thirty-first day of December.

Each member shall hold office from the date of appointment until the end of the term for which the member was appointed. As a term of a member of the board appointed by the governor expires, a successor shall be appointed by the governor, with the advice and consent of the senate. Any appointed member of the board is eligible for reappointment.

Any member appointed to fill a vacancy occurring prior to the expiration of the term for which the member's predecessor was appointed shall hold office for the remainder of the predecessor's term. Any member shall continue in office subsequent to the expiration date of the member's term until the member's successor takes office, or until a period of sixty days has elapsed, whichever occurs first.

The governor may at any time remove any member appointed by the governor pursuant to section 3.04 of the Revised Code.

Before entering upon official duties, each member shall take an oath as provided by Section 7 of Article XV, Ohio Constitution.

Members of the board shall file financial disclosure statements in accordance with section 102.02 of the Revised Code.

Members of the board shall serve without compensation, but shall be reimbursed for their necessary and actual expenses while engaged in the business of the board.

Five members of the board constitute a quorum.

(C) The board is vested with the powers and duties established in sections 122.155 to 122.157 of the Revised Code, to promote advanced energy projects and the development and manufacture of advanced energy products.

(D) The board shall do all of the following:

(1) Adopt bylaws for the conduct of its business;

(2) Employ and fix the compensation of an executive director who serves at the pleasure of the board to administer the Ohio advanced energy manufacturing center's programs and activities. The executive director may employ and fix the compensation of employees as necessary to implement sections 122.155 to 122.157 of the Revised Code. The executive director shall file financial disclosure statements in accordance with section 102.02 of the Revised Code.

(3) Establish an operating budget for the center and administer funds appropriated to the center;

(4) Maintain a principal office within the state;

(5) Develop policies and guidelines for the administration of the center;

(6) Establish cooperative partnerships with the department of development, the department of job and family services, and higher education institutions in the state to facilitate the development of translational research and advanced energy projects;

(7) Establish an industry-oriented system for identifying advanced energy projects that have the best potential for generating business opportunities and creating jobs in this state;

(8) Establish a research protocol to assist entities that are developing advanced energy projects with an efficient, profitable manufacturing design or process design that follows international standards;

(9) Approve contracts pursuant to division (A) of section 122.156 of the Revised Code;

(10) Develop a plan for the center to become self-sustaining within ten years after the effective date of this section;

(11) Submit an annual report of the center's activities to the general assembly beginning not later than one year after the effective date of this section.

Sec. 123.01.  (A) The department of administrative services, in addition to those powers enumerated in Chapters 124. and 125. of the Revised Code and provided elsewhere by law, shall exercise the following powers:

(1) To prepare, or contract to be prepared, by licensed engineers or architects, surveys, general and detailed plans, specifications, bills of materials, and estimates of cost for any projects, improvements, or public buildings to be constructed by state agencies that may be authorized by legislative appropriations or any other funds made available therefor, provided that the construction of the projects, improvements, or public buildings is a statutory duty of the department. This section does not require the independent employment of an architect or engineer as provided by section 153.01 of the Revised Code in the cases to which that section applies nor affect or alter the existing powers of the director of transportation.

(2) To have general supervision over the construction of any projects, improvements, or public buildings constructed for a state agency and over the inspection of materials previous to their incorporation into those projects, improvements, or buildings;

(3) To make contracts for and supervise the construction of any projects and improvements or the construction and repair of buildings under the control of a state agency, except contracts for the repair of buildings under the management and control of the departments of public safety, job and family services, mental health, mental retardation and developmental disabilities, rehabilitation and correction, and youth services, the bureau of workers' compensation, the rehabilitation services commission, and boards of trustees of educational and benevolent institutions and except contracts for the construction of projects that do not require the issuance of a building permit or the issuance of a certificate of occupancy and that are necessary to remediate conditions at a hazardous waste facility, solid waste facility, or other location at which the director of environmental protection has reason to believe there is a substantial threat to public health or safety or the environment. These contracts shall be made and entered into by the directors of public safety, job and family services, mental health, mental retardation and developmental disabilities, rehabilitation and correction, and youth services, the administrator of workers' compensation, the rehabilitation services commission, the boards of trustees of such institutions, and the director of environmental protection, respectively. All such contracts may be in whole or in part on unit price basis of maximum estimated cost, with payment computed and made upon actual quantities or units.

(4) To prepare and suggest comprehensive plans for the development of grounds and buildings under the control of a state agency;

(5) To acquire, by purchase, gift, devise, lease, or grant, all real estate required by a state agency, in the exercise of which power the department may exercise the power of eminent domain, in the manner provided by sections 163.01 to 163.22 of the Revised Code;

(6) To make and provide all plans, specifications, and models for the construction and perfection of all systems of sewerage, drainage, and plumbing for the state in connection with buildings and grounds under the control of a state agency;

(7) To erect, supervise, and maintain all public monuments and memorials erected by the state, except where the supervision and maintenance is otherwise provided by law;

(8) To procure, by lease, storage accommodations for a state agency;

(9) To lease or grant easements or licenses for unproductive and unused lands or other property under the control of a state agency. Such leases, easements, or licenses shall be granted for a period not to exceed fifteen years and shall be executed for the state by the director of administrative services and the governor and shall be approved as to form by the attorney general, provided that leases, easements, or licenses may be granted to any county, township, municipal corporation, port authority, water or sewer district, school district, library district, health district, park district, soil and water conservation district, conservancy district, or other political subdivision or taxing district, or any agency of the United States government, for the exclusive use of that agency, political subdivision, or taxing district, without any right of sublease or assignment, for a period not to exceed fifteen years, and provided that the director shall grant leases, easements, or licenses of university land for periods not to exceed twenty-five years for purposes approved by the respective university's board of trustees wherein the uses are compatible with the uses and needs of the university and may grant leases of university land for periods not to exceed forty years for purposes approved by the respective university's board of trustees pursuant to section 123.77 of the Revised Code.

(10) To lease office space in buildings for the use of a state agency;

(11) To have general supervision and care of the storerooms, offices, and buildings leased for the use of a state agency;

(12) To exercise general custodial care of all real property of the state;

(13) To assign and group together state offices in any city in the state and to establish, in cooperation with the state agencies involved, rules governing space requirements for office or storage use;

(14) To lease for a period not to exceed forty years, pursuant to a contract providing for the construction thereof under a lease-purchase plan, buildings, structures, and other improvements for any public purpose, and, in conjunction therewith, to grant leases, easements, or licenses for lands under the control of a state agency for a period not to exceed forty years. The lease-purchase plan shall provide that at the end of the lease period, the buildings, structures, and related improvements, together with the land on which they are situated, shall become the property of the state without cost.

(a) Whenever any building, structure, or other improvement is to be so leased by a state agency, the department shall retain either basic plans, specifications, bills of materials, and estimates of cost with sufficient detail to afford bidders all needed information or, alternatively, all of the following plans, details, bills of materials, and specifications:

(i) Full and accurate plans suitable for the use of mechanics and other builders in the improvement;

(ii) Details to scale and full sized, so drawn and represented as to be easily understood;

(iii) Accurate bills showing the exact quantity of different kinds of material necessary to the construction;

(iv) Definite and complete specifications of the work to be performed, together with such directions as will enable a competent mechanic or other builder to carry them out and afford bidders all needed information;

(v) A full and accurate estimate of each item of expense and of the aggregate cost thereof.

(b) The department shall give public notice, in such newspaper, in such form, and with such phraseology as the director of administrative services prescribes, published once each week for four consecutive weeks, of the time when and place where bids will be received for entering into an agreement to lease to a state agency a building, structure, or other improvement. The last publication shall be at least eight days preceding the day for opening the bids. The bids shall contain the terms upon which the builder would propose to lease the building, structure, or other improvement to the state agency. The form of the bid approved by the department shall be used, and a bid is invalid and shall not be considered unless that form is used without change, alteration, or addition. Before submitting bids pursuant to this section, any builder shall comply with Chapter 153. of the Revised Code.

(c) On the day and at the place named for receiving bids for entering into lease agreements with a state agency, the director of administrative services shall open the bids and shall publicly proceed immediately to tabulate the bids upon duplicate sheets. No lease agreement shall be entered into until the bureau of workers' compensation has certified that the person to be awarded the lease agreement has complied with Chapter 4123. of the Revised Code, until, if the builder submitting the lowest and best bid is a foreign corporation, the secretary of state has certified that the corporation is authorized to do business in this state, until, if the builder submitting the lowest and best bid is a person nonresident of this state, the person has filed with the secretary of state a power of attorney designating the secretary of state as its agent for the purpose of accepting service of summons in any action brought under Chapter 4123. of the Revised Code, and until the agreement is submitted to the attorney general and the attorney general's approval is certified thereon. Within thirty days after the day on which the bids are received, the department shall investigate the bids received and shall determine that the bureau and the secretary of state have made the certifications required by this section of the builder who has submitted the lowest and best bid. Within ten days of the completion of the investigation of the bids, the department shall award the lease agreement to the builder who has submitted the lowest and best bid and who has been certified by the bureau and secretary of state as required by this section. If bidding for the lease agreement has been conducted upon the basis of basic plans, specifications, bills of materials, and estimates of costs, upon the award to the builder the department, or the builder with the approval of the department, shall appoint an architect or engineer licensed in this state to prepare such further detailed plans, specifications, and bills of materials as are required to construct the building, structure, or improvement. The department shall adopt such rules as are necessary to give effect to this section. The department may reject any bid. Where there is reason to believe there is collusion or combination among bidders, the bids of those concerned therein shall be rejected.

(15) To acquire by purchase, gift, devise, or grant and to transfer, lease, or otherwise dispose of all real property required to assist in the development of a conversion facility as defined in section 5709.30 of the Revised Code as that section existed before its repeal by Amended Substitute House Bill 95 of the 125th general assembly;

(16) To lease for a period not to exceed forty years, notwithstanding any other division of this section, the state-owned property located at 408-450 East Town Street, Columbus, Ohio, formerly the state school for the deaf, to a developer in accordance with this section. "Developer," as used in this section, has the same meaning as in section 123.77 of the Revised Code.

Such a lease shall be for the purpose of development of the land for use by senior citizens by constructing, altering, renovating, repairing, expanding, and improving the site as it existed on June 25, 1982. A developer desiring to lease the land shall prepare for submission to the department a plan for development. Plans shall include provisions for roads, sewers, water lines, waste disposal, water supply, and similar matters to meet the requirements of state and local laws. The plans shall also include provision for protection of the property by insurance or otherwise, and plans for financing the development, and shall set forth details of the developer's financial responsibility.

The department may employ, as employees or consultants, persons needed to assist in reviewing the development plans. Those persons may include attorneys, financial experts, engineers, and other necessary experts. The department shall review the development plans and may enter into a lease if it finds all of the following:

(a) The best interests of the state will be promoted by entering into a lease with the developer;

(b) The development plans are satisfactory;

(c) The developer has established the developer's financial responsibility and satisfactory plans for financing the development.

The lease shall contain a provision that construction or renovation of the buildings, roads, structures, and other necessary facilities shall begin within one year after the date of the lease and shall proceed according to a schedule agreed to between the department and the developer or the lease will be terminated. The lease shall contain such conditions and stipulations as the director considers necessary to preserve the best interest of the state. Moneys received by the state pursuant to this lease shall be paid into the general revenue fund. The lease shall provide that at the end of the lease period the buildings, structures, and related improvements shall become the property of the state without cost.

(17) To lease to any person any tract of land owned by the state and under the control of the department, or any part of such a tract, for the purpose of drilling for or the pooling of oil or gas. Such a lease shall be granted for a period not exceeding forty years, with the full power to contract for, determine the conditions governing, and specify the amount the state shall receive for the purposes specified in the lease, and shall be prepared as in other cases.

(18) To manage the use of space owned and controlled by the department, including space in property under the jurisdiction of the Ohio building authority, by doing all of the following:

(a) Biennially implementing, by state agency location, a census of agency employees assigned space;

(b) Periodically in the discretion of the director of administrative services:

(i) Requiring each state agency to categorize the use of space allotted to the agency between office space, common areas, storage space, and other uses, and to report its findings to the department;

(ii) Creating and updating a master space utilization plan for all space allotted to state agencies. The plan shall incorporate space utilization metrics.

(iii) Conducting a cost-benefit analysis to determine the effectiveness of state-owned buildings;

(iv) Assessing the alternatives associated with consolidating the commercial leases for buildings located in Columbus.

(c) Commissioning a comprehensive space utilization and capacity study in order to determine the feasibility of consolidating existing commercially leased space used by state agencies into a new state-owned facility.

(B) This section and section 125.02 of the Revised Code shall not interfere with any of the following:

(1) The power of the adjutant general to purchase military supplies, or with the custody of the adjutant general of property leased, purchased, or constructed by the state and used for military purposes, or with the functions of the adjutant general as director of state armories;

(2) The power of the director of transportation in acquiring rights-of-way for the state highway system, or the leasing of lands for division or resident district offices, or the leasing of lands or buildings required in the maintenance operations of the department of transportation, or the purchase of real property for garage sites or division or resident district offices, or in preparing plans and specifications for and constructing such buildings as the director may require in the administration of the department;

(3) The power of the director of public safety and the registrar of motor vehicles to purchase or lease real property and buildings to be used solely as locations to which a deputy registrar is assigned pursuant to division (B) of section 4507.011 of the Revised Code and from which the deputy registrar is to conduct the deputy registrar's business, the power of the director of public safety to purchase or lease real property and buildings to be used as locations for division or district offices as required in the maintenance of operations of the department of public safety, and the power of the superintendent of the state highway patrol in the purchase or leasing of real property and buildings needed by the patrol, to negotiate the sale of real property owned by the patrol, to rent or lease real property owned or leased by the patrol, and to make or cause to be made repairs to all property owned or under the control of the patrol;

(4) The power of the division of liquor control in the leasing or purchasing of retail outlets and warehouse facilities for the use of the division;

(5) The power of the director of development to enter into leases of real property, buildings, and office space to be used solely as locations for the state's foreign offices to carry out the purposes of section 122.05 of the Revised Code;

(6) The power of the director of environmental protection to enter into environmental covenants, to grant and accept easements, or to sell property pursuant to division (G) of section 3745.01 of the Revised Code.

(C) Purchases for, and the custody and repair of, buildings under the management and control of the capitol square review and advisory board, the rehabilitation services commission, the bureau of workers' compensation, or the departments of public safety, job and family services, mental health, mental retardation and developmental disabilities, and rehabilitation and correction, and buildings of educational and benevolent institutions under the management and control of boards of trustees, are not subject to the control and jurisdiction of the department of administrative services.

(D) Any instrument by which real property is acquired pursuant to this section shall identify the agency of the state that has the use and benefit of the real property as specified in section 5301.012 of the Revised Code.

Sec. 131.50. (A) There is hereby created in the state treasury the state land royalty fund consisting of all money credited to it under section 1509.53 of the Revised Code. Any investment earnings of the fund shall be credited to the fund.

(B) Money in the state land royalty fund shall be used to pay the capital and operating costs of those state agencies on whose behalf money was credited to the fund under section 1509.53 of the Revised Code. A state agency is entitled to a share of the fund that is equivalent to the amounts that are credited to the fund on its behalf under that section and a share of the investment earnings of the fund in an amount that is equivalent to the proportionate share of the amounts that are credited to the fund on behalf of the agency under that section. The general assembly shall appropriate money from the fund for capital and operating costs of state agencies in accordance with this section.

Sec. 164.30. (A) There is hereby created in the state treasury the state intersection traffic flow improvement fund, consisting of the motor vehicle registration taxes collected by the registrar of motor vehicles and deputy registrars pursuant to division (C)(2) of section 4503.10 of the Revised Code. No money shall be expended from the fund other than in the form of grants made by the Ohio public works commission to municipal corporations, counties, and townships. These political subdivisions shall use the grants to pay the costs associated with improving and maintaining traffic control signals on a particular street or highway and the equipment that controls those traffic control signals. The timing of these traffic control signals shall be coordinated so that the signals not only control the flow of motor vehicle and pedestrian traffic but do so in a manner that balances the goal of safe and efficient traffic flow with the goal of minimizing the wasting of fuel by motor vehicles waiting for the traffic control signal to change to allow their vehicles to proceed through the intersection.

In order to receive a grant under this section, a political subdivision shall provide satisfactory evidence to the department of transportation showing that the traffic control signals at the intersections at issue comply with the manual adopted by the department pursuant to section 4511.09 of the Revised Code and that the political subdivision is consulting and cooperating with all other political subdivisions that control and maintain traffic control signals on that same street or highway to achieve the goals described in this division. If the department determines that a political subdivision has provided such satisfactory evidence, the department shall notify the commission of that fact. The commission then shall apply the rules governing the grant program that the commission adopts pursuant to division (B) of this section to determine whether the political subdivision will receive a grant from the commission under the grant program and shall notify the political subdivision of its decision.

All decisions of the commission are final, but a political subdivision whose application for a grant is rejected by the commission may reapply for that grant.

(B) The commission, in accordance with Chapter 119. of the Revised Code, shall adopt rules governing the grant program described in division (A) of this section.

(C) All investment earnings of the fund shall be credited to the fund.

Sec. 1505.07.  Subject to the limitation set forth in section 1505.08 of the Revised Code, the director of natural resources, with the approval of the director of environmental protection, the attorney general, and the governor, may issue permits and make leases to parties making application for permission to take and remove sand, gravel, stone, and other minerals or substances from and under the bed of Lake Erie other than oil or gas, either upon a royalty or rental basis, as he the director of natural resources determines to be best for the state. Permits shall be issued for terms of not less than one year nor more than ten years, and leases shall be for a term of years or until the economic extraction of the mineral or other substance covered thereby has been completed. Such taking and removal shall be within certain fixed boundaries that do not conflict with the rights of littoral owners. Upon request from the holder of a permit, it shall be canceled, but in the case of any permit or lease, any equipment or buildings owned by the permittee or lessee shall be held as security by the director of natural resources for payment of all rentals or royalties due the state at the time of cancellation.

No person shall remove sand, gravel, stone, or other minerals or substances from and under the bed of Lake Erie without first obtaining a permit or lease therefor from the director.

The director of natural resources may, in accordance with Chapter 119. of the Revised Code, adopt, amend, and rescind rules for the administration, implementation, and enforcement of this section.

Sec. 1506.11.  (A) "Territory," as used in this section, means the waters and the lands presently underlying the waters of Lake Erie and the lands formerly underlying the waters of Lake Erie and now artificially filled, between the natural shoreline and the international boundary line with Canada.

(B) Whenever the state, acting through the director of natural resources, upon application of any person who wants to develop or improve part of the territory, and after notice that the director, at the director's discretion, may give as provided in this section, determines that any part of the territory can be developed and improved or the waters thereof used as specified in the application without impairment of the public right of navigation, water commerce, and fishery, a lease of all or any part of the state's interest therein may be entered into with the applicant, or a permit may be issued for that purpose, subject to the powers of the United States government and in accordance with rules adopted by the director in accordance with Chapter 119. of the Revised Code, and without prejudice to the littoral rights of any owner of land fronting on Lake Erie, provided that the legislative authority of the municipal corporation within which any such part of the territory is located, if the municipal corporation is not within the jurisdiction of a port authority, or the county commissioners of the county within which such part of the territory is located, excluding any territory within a municipal corporation or under the jurisdiction of a port authority, or the board of directors of a port authority with respect to such part of the territory included in the jurisdiction of the port authority, has enacted an ordinance or resolution finding and determining that such part of the territory, described by metes and bounds or by an alternate description referenced to the applicant's upland property description that is considered adequate by the director, is not necessary or required for the construction, maintenance, or operation by the municipal corporation, county, or port authority of breakwaters, piers, docks, wharves, bulkheads, connecting ways, water terminal facilities, and improvements and marginal highways in aid of navigation and water commerce and that the land uses specified in the application comply with regulation of permissible land use under a waterfront plan of the local authority.

(C) Upon the filing of the application with the director, the director may hold a public hearing thereon and may cause written notice of the filing to be given to any municipal corporation, county, or port authority, as the case may be, in which such part of the territory is located and also shall cause public notice of the filing to be given by advertisement in a newspaper of general circulation within the locality where such part of the territory is located. If a hearing is to be held, public notice of the filing may be combined with public notice of the hearing and shall be given once a week for four consecutive weeks prior to the date of the initial hearing. All hearings shall be before the director and shall be open to the public, and a record shall be made of the proceeding. Parties thereto are entitled to be heard and to be represented by counsel. The findings and order of the director shall be in writing. All costs of the hearings, including publication costs, shall be paid by the applicant. The director also may hold public meetings on the filing of an application.

If the director finds that a lease may properly be entered into with the applicant or a permit may properly be issued to the applicant, the director shall determine the consideration to be paid by the applicant, which consideration shall exclude the value of the littoral rights of the owner of land fronting on Lake Erie and improvements made or paid for by the owner of land fronting on Lake Erie or that owner's predecessors in title. The lease or permit may be for such periods of time as the director determines. The rentals received under the terms of such a lease or permit shall be paid into the state treasury to the credit of the Lake Erie submerged lands fund, which is hereby created, and shall be distributed from that fund as follows:

(1) Fifty per cent of each rental shall be paid to the department of natural resources for the administration of this section and section 1506.10 of the Revised Code and for the coastal management assistance grant program required to be established under division (C) of section 1506.02 of the Revised Code;

(2) Fifty per cent of each rental shall be paid to the municipal corporation, county, or port authority making the finding provided for in this section.

All leases and permits shall be executed in the manner provided by section 5501.01 5301.01 of the Revised Code and shall contain, in addition to the provisions required in this section, a reservation to the state of all mineral rights and a provision that the removal of any minerals shall be conducted in such manner as not to damage any improvements placed by the littoral owner, lessee, or permit holder on the lands. No lease or permit of the lands defined in this section shall express or imply any control of fisheries or aquatic wildlife now vested in the division of wildlife of the department.

(D) Upland owners who, prior to October 13, 1955, have erected, developed, or maintained structures, facilities, buildings, or improvements or made use of waters in the part of the territory in front of those uplands shall be granted a lease or permit by the state upon the presentation of a certification by the chief executive of a municipal corporation, resolution of the board of county commissioners, or resolution of the board of directors of the port authority establishing that the structures, facilities, buildings, improvements, or uses do not constitute an unlawful encroachment on navigation and water commerce. The lease or permit shall specifically enumerate the structures, facilities, buildings, improvements, or uses so included.

(E) Persons having secured a lease or permit under this section are entitled to just compensation for the taking, whether for navigation, water commerce, or otherwise, by any governmental authority having the power of eminent domain, of structures, facilities, buildings, improvements, or uses erected or placed upon the territory pursuant to the lease or permit or the littoral rights of the person and for the taking of the leasehold and the littoral rights of the person pursuant to the procedure provided in Chapter 163. of the Revised Code. The compensation shall not include any compensation for the site in the territory except to the extent of any interest in the site theretofore acquired by the person under this section or by prior acts of the general assembly or grants from the United States government. The failure of any person to apply for or obtain a lease or permit under this section does not prejudice any right the person may have to compensation for a taking of littoral rights or of improvements made in accordance with a lease, a permit, or littoral rights.

(F) If any taxes or assessments are levied or assessed upon property that is the subject of a lease or permit under this section, the taxes or assessments are the obligation of the lessee or permit holder.

(G) If a lease or permit secured under this section requires the lessee or permit holder to obtain the approval of the department or any of its divisions for any changes in structures, facilities, or buildings, for any improvements, or for any changes or expansion in uses, no lessee or permit holder shall change any structures, facilities, or buildings, make any improvements, or expand or change any uses unless the director first determines that the proposed action will not adversely affect any current or prospective exercise of the public right of recreation in the territory and in the state's reversionary interest in any territory leased or permitted under this section.

Proposed changes or improvements shall be deemed to "adversely affect" the public right of recreation if the changes or improvements cause or will cause any significant demonstrable negative impact upon any present or prospective recreational use of the territory by the public during the term of the lease or permit or any renewals and of any public recreational use of the leased or permitted premises in which the state has a reversionary interest.

(H) This section does not apply to leases entered into under section 1506.111 of the Revised Code.

Sec. 1506.111. (A) The director of natural resources shall make available for leasing in accordance with rules adopted under division (B) of this section the bed of Lake Erie for purposes of wind energy development.

(B) For purposes of leasing the bed of Lake Erie for wind energy development, the director shall adopt rules in accordance with Chapter 119. of the Revised Code that do all of the following:

(1) Establish a map showing the areas of the bed of Lake Erie that may be leased for wind energy development. The rules shall ensure that the areas that may be leased are concentrated in the eastern portion of Lake Erie, avoid development in nearshore areas, and avoid areas of Lake Erie where migratory birds are concentrated.

(2) Establish application procedures for and requirements governing a lease of the bed of Lake Erie;

(3) Establish the consideration to be paid by a lessee, which shall be at a nominal rate;

(4) Require that a lessee pay any taxes or assessments levied or assessed on the property that is the subject of the lease;

(5) Require that a lease be executed in the manner provided by section 5301.01 of the Revised Code;

(6) Establish any other requirements that the director determines are necessary to implement or administer this section.

(C) The rentals received under the terms of a lease entered into under this section shall be paid into the state treasury to the credit of the advanced energy fund created in section 4928.61 of the Revised Code.

Sec. 1509.50. (A) There is hereby created the oil and gas leasing board consisting of the chief of the division of mineral resources management, who shall act as the board's chairperson, the chief of the division of geological survey, who shall act as the board's vice-chairperson, and the following three members appointed by the governor:

(1) One member who is a registered professional engineer in this state;

(2) One member who is an independent oil and gas producer in this state;

(3) One member representing the public.

(B) Of the initial appointments to the board made by the governor, one shall be appointed to serve a term of three years, one shall be appointed to serve a term of four years, and one shall be appointed to serve a term of five years. Thereafter, all terms of office of members appointed by the governor shall be five years. A member appointed by the governor shall hold office from the date of the member's appointment until the end of the term for which the member was appointed. Members may be reappointed. Vacancies shall be filled in the manner provided for original appointments. A member appointed by the governor to fill a vacancy occurring prior to the expiration of the term for which the member's predecessor was appointed shall hold office for the remainder of that term. A member shall continue in office subsequent to the expiration of the member's term or until a period of sixty days has elapsed, whichever occurs first.

Serving as an appointed member of the board does not constitute holding a public office or position of employment under the laws of this state and does not constitute grounds for removal of public officers or employees from their offices or positions of employment. The governor may remove an appointed member of the board at any time for misfeasance, nonfeasance, or malfeasance in office.

Members of the board shall serve without compensation for attending board meetings. The chief of the division of mineral resources management and the chief of the division of geological survey shall serve without additional compensation beyond the compensation that they otherwise receive from the state. Members of the board shall be reimbursed for their actual and necessary expenses incurred in the performance of their duties as members of the board from moneys appropriated to the oil and gas leasing board administration fund created in section 1509.54 of the Revised Code.

(C) Three members of the board constitute a quorum of the board, and no action of the board is valid unless it has the concurrence of at least three members. The board shall keep a record of its proceedings. The division of mineral resources management shall provide technical and staff assistance to the board upon the request of the board.

Sec. 1509.51. (A) As used in sections 1509.51 to 1509.55 of the Revised Code:

(1) "Developed land" means land that is owned by a state agency or for which a state agency owns the mineral rights and that is covered by concrete, asphalt, gravel, turf, crops, or fields that have plants or trees not exceeding ten years of growth.

(2) "State agency" has the same meaning as in section 1.60 of the Revised Code.

(B) The oil and gas leasing board has exclusive authority to lease any portion of developed land for the purpose of the exploration for, development of, and production of oil or natural gas. Leases entered into by the board shall be awarded pursuant to a nomination and competitive bid process established in this section. The extraction of oil and gas pursuant to a lease entered into under this section shall not unreasonably interfere with the primary use of the developed land.

(C) A person who is an owner, is in compliance with this chapter, and seeks to lease developed land for the purpose of exploring for, developing, and producing oil or natural gas may submit a lease nomination identifying the tract of land. The nomination shall be in the form that is required by rules adopted under section 1509.52 of the Revised Code. Not later than thirty days after the receipt of a nomination, the board shall conduct a meeting for the purpose of considering whether to enter into a lease concerning the tract of land that is identified in the nomination. The board shall make a determination approving or denying the nomination not later than sixty days after the meeting. In making its determination, the board shall consider all of the following:

(1) The economic benefits that would accrue from a lease of the nominated tract of land, including the income potential from the proposed oil or natural gas operation;

(2) Whether the proposed exploration, development, and production of oil or natural gas is incompatible with current uses of the tract of land that is the subject of the nomination;

(3) Any objections to the nomination that are submitted to the board by the state agency that owns the developed land on which the proposed exploration for, development of, and production of oil or natural gas would take place;

(4) Any other factors that the board may establish in rules adopted under section 1509.52 of the Revised Code.

The board shall send written notice of its decision concerning the nomination to the person who submitted the nomination and to the state agency that owns the developed land not later than thirty days after making its determination.

(D) For each tract of land for which the board approved a nomination during the previous calendar quarter, the board shall prepare and publish a notice identifying the tract of land. The notice shall be published in a newspaper of general circulation in Franklin county and a newspaper of general circulation in the county or counties in which the tract of land is located. The notice shall include the following additional information:

(1) An advertisement for sealed bids for a lease concerning the tract of land;

(2) The procedure to be followed in order to submit a lease bid for the tract of land and the deadline for submitting a bid;

(3) A statement that the standard oil and gas lease form developed by the board in rules adopted under section 1509.52 of the Revised Code will be used regarding the lease, and a statement concerning how an interested person may obtain a copy of the form;

(4) A statement, if applicable, that special terms and conditions are required by the board for the tract of land because of special circumstances related to that tract of land, and a statement concerning how an interested person may obtain a copy of the special terms and conditions;

(5) Any other information that is determined to be pertinent by the board.

The notice shall be published once a week for four consecutive weeks prior to the deadline established by the board for the submission of bids.

(E) To encourage the submission of bids for leases and the responsible and reasonable development of the state's natural resources, the board shall maintain the confidentiality of, and shall not disclose or release, information contained in a lease bid that is submitted under this section.

(F) Lease bids shall be unsealed and opened at a time designated by the board, but not later than fifteen days after the deadline established by the board for the submission of bids. Not later than thirty days after unsealing and opening the bids, the board shall enter into a lease for each tract of land that is identified in the notice published under division (D) of this section. The lease shall be entered into with the person who submits the highest and best bid related to the applicable tract of land taking into account the financial responsibility of the prospective lessee and the ability of the prospective lessee to perform its obligations under the lease.

Sec. 1509.52. The oil and gas leasing board shall adopt rules in accordance with Chapter 119. of the Revised Code that establish all of the following:

(A) The form to be used, procedures to be followed, and information to be provided in submitting nominations to the board under section 1509.51 of the Revised Code;

(B) Factors to be considered by the board, in addition to the factors specified in section 1509.51 of the Revised Code, when determining whether to approve or disapprove a nomination submitted under that section;

(C) A standard lease form to be used by the board to lease any portion of developed land for the purpose of exploring for, developing, and producing oil or natural gas. The rules shall ensure that the form is consistent with industry practice in the state and contains a landowner royalty of one-eighth payable to the oil and gas leasing board.

(D) The factors to be considered by the board when determining whether any special lease terms or conditions will be required for a particular tract of land because of special circumstances related to that tract of land, provided that such terms and conditions shall be consistent with the requirements established in rules adopted under section 1509.03 of the Revised Code pertaining to urbanized areas;

(E) The percentage of a landowner royalty that must be credited to the oil and gas leasing board administration fund created in section 1509.54 of the Revised Code;

(F) Any other procedures and requirements that are necessary to implement sections 1509.50 to 1509.55 of the Revised Code.

Sec. 1509.53. Except as provided in section 1509.54 of the Revised Code, all money that is received by the oil and gas leasing board pursuant to a lease entered into under sections 1509.50 to 1509.55 of the Revised Code shall be paid by the board into the state treasury to the credit of the state land royalty fund created in section 131.50 of the Revised Code. Money from a lease shall be credited to the fund on behalf of the state agency that owns the developed land on which the production of oil or natural gas that is the subject of the lease occurs.

Sec. 1509.54. There is hereby created in the state treasury the oil and gas leasing board administration fund consisting of a percentage of a landowner royalty that is required to be credited to the fund in rules adopted under section 1509.52 of the Revised Code. Money in the fund shall be used by the oil and gas leasing board to pay the administrative expenses of the board and to pay the actual and necessary expenses incurred by the members of the board in the performance of their duties.

Sec. 1509.55. A person who is directly affected by a decision of the oil and gas leasing board to approve or disapprove a nomination under section 1509.51 of the Revised Code may appeal that decision to the oil and gas commission created in section 1509.35 of the Revised Code. Such appeals shall be taken in the same manner and to the same extent that orders of the chief of the division of mineral resources management are appealed under section 1509.36 of the Revised Code.

Sec. 1531.06.  (A) The chief of the division of wildlife, with the approval of the director of natural resources, may acquire by gift, lease, purchase, or otherwise lands or surface rights upon lands and waters or surface rights upon waters for wild animals, fish or game management, preservation, propagation, and protection, outdoor and nature activities, public fishing and hunting grounds, and flora and fauna preservation. The chief, with the approval of the director, may receive by grant, devise, bequest, donation, or assignment evidences of indebtedness, the proceeds of which are to be used for the purchase of such lands or surface rights upon lands and waters or surface rights upon waters.

(B)(1) The chief shall adopt rules for the protection of state-owned or leased lands and waters and property under the control of the division of wildlife against wrongful use or occupancy that will ensure the carrying out of the intent of this section, protect those lands, waters, and property from depredations, and preserve them from molestation, spoilation, destruction, or any improper use or occupancy thereof, including rules with respect to recreational activities and for the government and use of such lands, waters, and property.

(2) The chief may adopt rules benefiting wild animals, fish or game management, preservation, propagation, and protection, outdoor and nature activities, public fishing and hunting grounds, and flora and fauna preservation, and regulating the taking and possession of wild animals on any lands or waters owned or leased or under the division's supervision and control and, for a specified period of years, may prohibit or recall the taking and possession of any wild animal on any portion of such lands or waters. The division clearly shall define and mark the boundaries of the lands and waters owned or leased or under its supervision and control upon which the taking of any wild animal is prohibited.

(C) The chief, with the approval of the director, may acquire by gift, lease, or purchase land for the purpose of establishing state fish hatcheries and game farms and may erect on it buildings or structures that are necessary.

The title to or lease of such lands and waters shall be taken by the chief in the name of the state. The lease or purchase price of all such lands and waters may be paid from hunting and trapping and fishing licenses and any other funds.

(D) To provide more public recreation, stream and lake agreements for public fishing only may be obtained under rules adopted by the chief.

(E) The chief, with the approval of the director, may establish user fees for the use of special public facilities or participation in special activities on lands and waters administered by the division. The special facilities and activities may include hunting or fishing on special designated public lands and waters intensively managed or stocked with artificially propagated game birds or fish, field trial facilities, wildlife nature centers, firearm ranges, boat mooring facilities, camping sites, and other similar special facilities and activities. The chief shall determine whether the user fees are refundable and shall ensure that that information is provided at the time the user fees are paid.

(F) The chief, with the approval of the director, may enter into lease agreements for rental of concessions or other special projects situated on state-owned or leased lands or waters or other property under the division's control. The chief shall set and collect the fees for concession rentals or other special projects; regulate through contracts between the division and concessionaires the sale of tangible objects at concessions or other special projects; and keep a record of all such fee payments showing the amount received, from whom received, and for what purpose the fee was collected.

(G) The chief may sell or donate conservation-related items or items that promote wildlife conservation, including, but not limited to, stamps, pins, badges, books, bulletins, maps, publications, calendars, and any other educational article or artifact pertaining to wild animals; sell confiscated or forfeited items; and sell surplus structures and equipment, and timber or crops from lands owned, administered, leased, or controlled by the division. The chief, with the approval of the director, also may engage in campaigns and special events that promote wildlife conservation by selling or donating wildlife-related materials, memberships, and other items of promotional value.

(H) The chief may sell, lease, or transfer minerals or mineral rights, with the approval of the director, when the chief and the director determine it to be in the best interest of the state. Upon approval of the director, the chief may make, execute, and deliver contracts, including leases, to mine, drill, or excavate iron ore, stone, coal, petroleum, gas, salt, and other minerals, other than oil or gas, upon and under lands owned by the state and administered by the division to any person who complies with the terms of such a contract. No such contract shall be valid for more than fifty years from its effective date. Consideration for minerals and mineral rights shall be by rental or royalty basis as prescribed by the chief and payable as prescribed by contract. Moneys collected under this division shall be paid into the state treasury to the credit of the wildlife habitat fund created in section 1531.33 of the Revised Code. Contracts entered into under this division also may provide for consideration for minerals or mineral rights in the form of acquisition of lands as provided under divisions (A) and (C) of this section.

(I) All moneys received under divisions (E), (F), and (G) of this section shall be paid into the state treasury to the credit of a fund that shall be used for the purposes outlined in section 1533.15 of the Revised Code and for the management of other wild animals for their ecological and nonconsumptive recreational value or benefit.

(J) The chief, with the approval of the director, may barter or sell wild animals to other states, state or federal agencies, and conservation or zoological organizations. Moneys received from the sale of wild animals shall be deposited into the wild animal fund created in section 1531.34 of the Revised Code.

(K) The chief shall adopt rules establishing standards and guidelines for the administration of contraceptive chemicals to noncaptive wild animals. The rules may specify chemical delivery methods and devices and monitoring requirements.

The chief shall establish criteria for the issuance of and shall issue permits for the administration of contraceptive chemicals to noncaptive wild animals. No person shall administer contraceptive chemicals to noncaptive wild animals without a permit issued by the chief.

(L) All fees set by the chief under this section shall be approved by the wildlife council.

(M) Information contained in the wildlife diversity database that is established pursuant to division (B)(2) of this section and section 1531.25 of the Revised Code may be made available to any individual or public or private agency for research, educational, environmental, land management, or other similar purposes that are not detrimental to the conservation of a species or feature. Information regarding sensitive site locations of species that are listed pursuant to section 1531.25 of the Revised Code and of features that are included in the wildlife diversity database is not subject to section 149.43 of the Revised Code if the chief determines that the release of the information could be detrimental to the conservation of a species or feature.

Sec. 1551.21. (A) No municipal corporation, county, or township shall enact any ordinance or adopt any resolution, including any zoning law or regulation, that prohibits the placement on any property of a clothesline, hook, or other device or object for attaching a clothesline, or any pole for supporting a clothesline.

(B) An ordinance, resolution, law, or regulation that is in effect on the effective date of this section that prohibits the placement on any property of a clothesline, hook, or other device or object for attaching a clothesline, or any pole for supporting a clothesline, is against public policy and void.

Sec. 1571.01.  As used in this chapter, unless other meaning is clearly indicated in the context:

(A) "Gas storage reservoir" or "storage reservoir" or "reservoir" means a continuous area of a subterranean porous sand or rock stratum or strata, any part of which or of the protective area of which, is within a coal bearing township, into which gas is or may be injected for the purpose of storing it therein and removing it therefrom, or for the purpose of testing whether such stratum is suitable for such storage purposes.

(B) "Gas" means any natural, manufactured, or by-product gas or any mixture thereof, but does not include carbon dioxide regulated under Chapter 1572. of the Revised Code.

(C) "Reservoir operator" or "operator," when used in referring to the operator of a gas storage reservoir, means a person who is engaged in the work of preparing to inject, or who injects gas into, or who stores gas in, or who removes gas from, a gas storage reservoir, and who owns the right to do so.

(D)(1) "Boundary," when used in referring to the boundary of a gas storage reservoir, means the boundary of such reservoir as shown on the map or maps thereof on file in the division of mineral resources management as required by this chapter.

(2) "Boundary," when used in referring to the boundary of a reservoir protective area, means the boundary of such reservoir protective area as shown on the map or maps thereof on file in the division as required by this chapter.

(E) "Reservoir protective area" or "reservoir's protective area" means the area of land outside the boundary of a gas storage reservoir shown as such on the map or maps thereof on file in the division as required by this chapter. The area of land shown on such map or maps as such reservoir protective area shall be outside the boundary of such reservoir, and shall encircle such reservoir and touch all parts of the boundary of such reservoir, and no part of the outside boundary of such protective area shall be less than two thousand nor more than five thousand linear feet distant from the boundary of such reservoir.

(F) "Coal bearing township" means a township designated as a coal bearing township by the chief of the division of mineral resources management as required by section 1561.06 of the Revised Code.

(G) "Coal mine" means the underground excavations of a mine that are being used or are usable or are being developed for use in connection with the extraction of coal from its natural deposit in the earth. "Underground excavations," when used in referring to the underground excavations of a coal mine, includes the abandoned underground excavations of such mine. It also includes the underground excavations of an abandoned coal mine if such abandoned mine is connected with underground excavations of a coal mine. "Coal mine" does not mean or include:

(1) A mine in which coal is extracted from its natural deposit in the earth by strip or open pit mining methods or by other methods by which individuals are not required to go underground in connection with the extraction of coal from its natural deposit in the earth;

(2) A mine in which not more than fourteen individuals are regularly employed underground.

(H) "Operator," when used in referring to the operator of a coal mine, means a person who engages in the work of developing such mine for use in extracting coal from its natural deposit in the earth, or who so uses such mine, and who owns the right to do so.

(I) "Boundary," when used in referring to the boundary of a coal mine, means the boundary of the underground excavations of such mine as shown on the maps of such mine on file in the division as required by sections 1563.03 to 1563.05 and 1571.03 of the Revised Code.

(J) "Mine protective area" or "mine's protective area" means the area of land that the operator of a coal mine designates and shows as such on the map or maps of such coal mine filed with the division as required by sections 1563.03 to 1563.05 and 1571.03 of the Revised Code. Such area of land shall be outside of the boundary of such coal mine, but some part of the boundary of such area of land shall abut upon a part of the boundary of such coal mine. Such area of land shall be comprised of such tracts of land in which such coal mine operator owns the right to extract coal therefrom by underground mining methods and in which underground excavations of such coal mine are likely to be made within the ensuing year for use in connection with the extraction of coal therefrom.

(K) "Pillar" means a solid block of coal or other material left unmined to support the overlying strata in a coal mine, or to protect a well.

(L) "Retreat mining" means the removal of pillars and ribs and stumps and other coal remaining in a section of a coal mine after the development mining has been completed in such section.

(M) "Linear feet," when used to indicate distance between two points that are not in the same plane, means the length in feet of the shortest horizontal line that connects two lines projected vertically upward or downward from the two points.

(N) "Map" means a graphic representation of the location and size of the existing or proposed items it is made to represent, accurately drawn according to a given scale.

(O) "Well" means any hole, drilled or bored, or being drilled or bored, into the earth, whether for the purpose of, or whether used for:

(1) Producing or extracting any gas or liquid mineral, or natural or artificial brines, or oil field waters;

(2) Injecting gas into or removing gas from an underground gas storage reservoir;

(3) Introducing water or other liquid pressure into an oil bearing sand to recover oil contained in such sand, provided that "well" does not mean a hole drilled or bored, or being drilled or bored, into the earth, whether for the purpose of, or whether used for, producing or extracting potable water to be used as such.

(P) "Testing" means injecting gas into, or storing gas in or removing gas from, a gas storage reservoir for the sole purpose of determining whether such reservoir is suitable for use as a gas storage reservoir.

(Q) "Casing" means a string or strings of pipe commonly placed in a well.

(R) "Inactivate" means to shut off temporarily all flow of gas from a well at a point below the horizon of the coal mine that might be affected by such flow of gas, by means of a plug or other suitable device or by injecting water, bentonite, or some other equally nonporous material into the well, or any other method approved by the mineral resources inspector.

(S) "Gas storage well inspector" means the gas storage well inspector in the division.

(T) The verb "open" or the noun "opening," when used in clauses relating to the time when a coal mine operator intends to open a new coal mine, or the time when a new coal mine is opened, or the time of the opening of a new coal mine, or when used in other similar clauses to convey like meanings, means that time and condition in the initial development of a new coal mine when the second opening required by section 1563.14 of the Revised Code is completed in such mine.

Sec. 1572.01.  As used in this chapter:

(A) "Carbon dioxide" means anthropogenically sourced carbon dioxide of sufficient purity and quality as to not compromise the safety and efficiency of an underground reservoir to effectively contain the carbon dioxide.

(B) "Geologic storage" means the permanent or short-term underground storage of carbon dioxide in an underground reservoir.

(C) "Storage facility" means the underground reservoir, underground equipment, and surface buildings and equipment utilized in the subsurface storage of carbon dioxide, excluding any pipelines used to transport the carbon dioxide from one or more capture facilities to the storage facility. "Storage facility" may include an enhanced oil recovery or natural gas operation.

(D) "Storage operator" means an individual, corporation, partnership, limited liability company, or other entity authorized by the division of mineral resources management to operate a storage facility in this state.

(E) "Underground reservoir" means a subsurface sedimentary stratum, formation, aquifer, or cavity or void, naturally or artificially created, including, but not limited to, oil and natural gas reservoirs, saline formations, and coal seams suitable or capable of being made suitable for the injection and storage of carbon dioxide. "Underground reservoir" includes any necessary and reasonable areal buffer and subsurface monitoring zones designated by the division for the purpose of ensuring the safe and efficient operation of a storage facility and for the purpose of protecting against pollution and the invasion, escape, or migration of carbon dioxide.

Sec. 1572.02.  (A) The division of mineral resources management has exclusive authority to regulate the geologic storage of carbon dioxide in this state and shall administer the geologic carbon dioxide storage program established in this chapter.

(B) A person seeking to operate a storage facility in this state shall apply for a permit to do so from the chief of the division of mineral resources management in accordance with rules adopted under section 1572.03 of the Revised Code. The chief shall issue such a permit only if all of the following apply:

(1) The storage facility is suitable and feasible for the injection and storage of carbon dioxide.

(2) A good faith effort has been made by the permit applicant to obtain the consent of a majority of the owners of property interests that will be affected by the storage facility, and the applicant has obtained remaining property interests in accordance with section 1572.04 of the Revised Code.

(3) The use of the storage facility for the geologic storage of carbon dioxide will not contaminate resources containing fresh water, oil, natural gas, coal, or other commercial mineral deposits.

(4) The storage will not unduly endanger human health and the environment.

In issuing a permit under this section, the chief may include terms and conditions in the permit that the chief determines to be necessary.

(C) With respect to each parcel of property that is affected by the issuance of a permit under division (B) of this section, the chief shall cause a copy of the permit to be filed and recorded in the office of the county recorder of the county in which the parcel is located.

(D) Prior to injecting any carbon dioxide into a storage facility pursuant to a permit issued under this section, the storage operator shall cause to be filed and recorded in the office of the applicable county recorder and with the division of mineral resources management a statement that the storage operator has acquired by purchase, lease, eminent domain, or otherwise all of the necessary property rights with respect to the storage facility that is the subject of the permit. The filing shall include the date on which carbon dioxide will commence being injected into the storage facility.

Sec. 1572.03.  The chief of the division of mineral resources management shall adopt rules in accordance with Chapter 119. of the Revised Code that do all of the following:

(A) Establish application procedures for permits issued under section 1572.02 of the Revised Code and procedures for the issuance or denial of an application for a permit;

(B) Establish requirements applicable to storage operators for obtaining the approval of the chief prior to appropriating property interests under section 1572.04 of the Revised Code;

(C) Establish financial assurance requirements for the proper maintenance, well plugging, and abandonment of a storage facility by a storage operator and to protect the storage facility against pollution and the invasion, escape, or migration of carbon dioxide. The financial assurance requirements may include a requirement that a storage operator purchase a surety bond or other financial surety.

(D) Establish penalties and procedures for the enforcement of this chapter and rules adopted under it, including civil penalties that may be imposed on persons violating this chapter or rules adopted or terms and conditions of a permit issued under it;

(E) Establish the amount of a fee to be charged by the division of mineral resources management and paid by a storage operator for each ton of carbon dioxide that is injected into a storage facility by the storage operator. The rules shall require that the proceeds from the fee be deposited in the state treasury to the credit of the carbon dioxide storage facility trust fund created in section 1572.06 of the Revised Code.

(F) Establish closure requirements applicable to storage facilities upon the completion of carbon dioxide injection operations at a storage facility. The rules shall require the division to issue a certificate of completion of injection operations upon the termination of carbon dioxide injection at a storage facility and the successful closure of the storage facility. The rules shall require that not later than ten years, or another time frame specified by rule, after the issuance of a certificate, upon a showing by the storage operator that the storage facility is reasonably expected to retain its mechanical integrity and remain emplaced, the ownership of the storage facility shall transfer to the state. The rules shall provide that upon such transfer of ownership, the storage operator, and any generator of carbon dioxide that was injected into the storage facility by the storage operator, shall be released from liability with respect to the storage facility and that any long-term monitoring or remediation of any leakage at the storage facility shall become the responsibility of the state.

(G) Establish a long-term monitoring program for the purposes of monitoring storage facilities, remediation of mechanical problems associated with storage facilities and surface infrastructure, repairing mechanical leaks at storage facilities, and plugging and abandoning wells that are associated with storage facilities;

(H) Establish procedures for allowing the conversion of enhanced recovery of oil or natural gas operations into a storage facility;

(I) Establish any other requirements or procedures that are determined necessary by the chief in order to implement this chapter.

Sec. 1572.04.  (A) Subject to rules adopted under section 1572.03 of the Revised Code, a storage operator may appropriate, in the manner provided in sections 163.01 to 163.22 of the Revised Code, surface and subsurface rights and interests in land, including easements and rights-of-way, that are necessary for both of the following:

(1) The operation of a storage facility;

(2) The transporting of carbon dioxide among facilities constituting a storage facility.

(B) Notwithstanding division (A) of this section, no property rights in a storage facility may be acquired pursuant to that division.

Sec. 1572.05.  The director of natural resources may enter into cooperative agreements with the federal government and other states that the division of mineral resources management determines to be necessary for the purpose of regulating carbon dioxide storage projects.

Sec. 1572.06.  There is hereby created in the state treasury the carbon dioxide storage facility trust fund to be administered by the division of mineral resources management. The fund shall consist of the proceeds of the fee established in rules adopted under section 1572.03 of the Revised Code. Money in the fund shall be used by the division for both of the following purposes:

(A) The administration of this chapter;

(B) To provide funding for the long-term monitoring of storage facilities as provided in rules adopted under section 1572.03 of the Revised Code.

Sec. 1572.07.  Nothing in this chapter or rules adopted under it applies to the use of carbon dioxide as part of or in conjunction with any enhanced recovery of oil or natural gas where the sole purpose of the project is the recovery of oil or natural gas.

Sec. 4503.10.  (A) The owner of every snowmobile, off-highway motorcycle, and all-purpose vehicle required to be registered under section 4519.02 of the Revised Code shall file an application for registration under section 4519.03 of the Revised Code. The owner of a motor vehicle, other than a snowmobile, off-highway motorcycle, or all-purpose vehicle, that is not designed and constructed by the manufacturer for operation on a street or highway may not register it under this chapter except upon certification of inspection pursuant to section 4513.02 of the Revised Code by the sheriff, or the chief of police of the municipal corporation or township, with jurisdiction over the political subdivision in which the owner of the motor vehicle resides. Except as provided in section 4503.103 of the Revised Code, every owner of every other motor vehicle not previously described in this section and every person mentioned as owner in the last certificate of title of a motor vehicle that is operated or driven upon the public roads or highways shall cause to be filed each year, by mail or otherwise, in the office of the registrar of motor vehicles or a deputy registrar, a written or electronic application or a preprinted registration renewal notice issued under section 4503.102 of the Revised Code, the form of which shall be prescribed by the registrar, for registration for the following registration year, which shall begin on the first day of January of every calendar year and end on the thirty-first day of December in the same year. Applications for registration and registration renewal notices shall be filed at the times established by the registrar pursuant to section 4503.101 of the Revised Code. A motor vehicle owner also may elect to apply for or renew a motor vehicle registration by electronic means using electronic signature in accordance with rules adopted by the registrar. Except as provided in division (J) of this section, applications for registration shall be made on blanks furnished by the registrar for that purpose, containing the following information:

(1) A brief description of the motor vehicle to be registered, including the year, make, model, and vehicle identification number, and, in the case of commercial cars, the gross weight of the vehicle fully equipped computed in the manner prescribed in section 4503.08 of the Revised Code;

(2) The name and residence address of the owner, and the township and municipal corporation in which the owner resides;

(3) The district of registration, which shall be determined as follows:

(a) In case the motor vehicle to be registered is used for hire or principally in connection with any established business or branch business, conducted at a particular place, the district of registration is the municipal corporation in which that place is located or, if not located in any municipal corporation, the county and township in which that place is located.

(b) In case the vehicle is not so used, the district of registration is the municipal corporation or county in which the owner resides at the time of making the application.

(4) Whether the motor vehicle is a new or used motor vehicle;

(5) The date of purchase of the motor vehicle;

(6) Whether the fees required to be paid for the registration or transfer of the motor vehicle, during the preceding registration year and during the preceding period of the current registration year, have been paid. Each application for registration shall be signed by the owner, either manually or by electronic signature, or pursuant to obtaining a limited power of attorney authorized by the registrar for registration, or other document authorizing such signature. If the owner elects to apply for or renew the motor vehicle registration with the registrar by electronic means, the owner's manual signature is not required.

(7) The owner's social security number, driver's license number, or state identification number, or, where a motor vehicle to be registered is used for hire or principally in connection with any established business, the owner's federal taxpayer identification number. The bureau of motor vehicles shall retain in its records all social security numbers provided under this section, but the bureau shall not place social security numbers on motor vehicle certificates of registration.

(B) Except as otherwise provided in this division, each time an applicant first registers a motor vehicle in the applicant's name, the applicant shall present for inspection a physical certificate of title or memorandum certificate showing title to the motor vehicle to be registered in the name of the applicant if a physical certificate of title or memorandum certificate has been issued by a clerk of a court of common pleas. If, under sections 4505.021, 4505.06, and 4505.08 of the Revised Code, a clerk instead has issued an electronic certificate of title for the applicant's motor vehicle, that certificate may be presented for inspection at the time of first registration in a manner prescribed by rules adopted by the registrar. An applicant is not required to present a certificate of title to an electronic motor vehicle dealer acting as a limited authority deputy registrar in accordance with rules adopted by the registrar. When a motor vehicle inspection and maintenance program is in effect under section 3704.14 of the Revised Code and rules adopted under it, each application for registration for a vehicle required to be inspected under that section and those rules shall be accompanied by an inspection certificate for the motor vehicle issued in accordance with that section. The application shall be refused if any of the following applies:

(1) The application is not in proper form.

(2) The application is prohibited from being accepted by division (D) of section 2935.27, division (A) of section 2937.221, division (A) of section 4503.13, division (B) of section 4510.22, or division (B)(1) of section 4521.10 of the Revised Code.

(3) A certificate of title or memorandum certificate of title is required but does not accompany the application or, in the case of an electronic certificate of title, is required but is not presented in a manner prescribed by the registrar's rules.

(4) All registration and transfer fees for the motor vehicle, for the preceding year or the preceding period of the current registration year, have not been paid.

(5) The owner or lessee does not have an inspection certificate for the motor vehicle as provided in section 3704.14 of the Revised Code, and rules adopted under it, if that section is applicable.

This section does not require the payment of license or registration taxes on a motor vehicle for any preceding year, or for any preceding period of a year, if the motor vehicle was not taxable for that preceding year or period under sections 4503.02, 4503.04, 4503.11, 4503.12, and 4503.16 or Chapter 4504. of the Revised Code. When a certificate of registration is issued upon the first registration of a motor vehicle by or on behalf of the owner, the official issuing the certificate shall indicate the issuance with a stamp on the certificate of title or memorandum certificate or, in the case of an electronic certificate of title, an electronic stamp or other notation as specified in rules adopted by the registrar, and with a stamp on the inspection certificate for the motor vehicle, if any. The official also shall indicate, by a stamp or by other means the registrar prescribes, on the registration certificate issued upon the first registration of a motor vehicle by or on behalf of the owner the odometer reading of the motor vehicle as shown in the odometer statement included in or attached to the certificate of title. Upon each subsequent registration of the motor vehicle by or on behalf of the same owner, the official also shall so indicate the odometer reading of the motor vehicle as shown on the immediately preceding certificate of registration.

The registrar shall include in the permanent registration record of any vehicle required to be inspected under section 3704.14 of the Revised Code the inspection certificate number from the inspection certificate that is presented at the time of registration of the vehicle as required under this division.

(C)(1) Commencing with each registration renewal with an expiration date on or after October 1, 2003, and for each initial application for registration received on and after that date, the registrar and each deputy registrar shall collect an additional fee of eleven dollars for each application for registration and registration renewal received. The additional fee is for the purpose of defraying the department of public safety's costs associated with the administration and enforcement of the motor vehicle and traffic laws of Ohio. Each deputy registrar shall transmit the fees collected under division (C)(1) of this section in the time and manner provided in this section. The registrar shall deposit all moneys received under division (C)(1) of this section into the state highway safety fund established in section 4501.06 of the Revised Code.

(2) Commencing with each registration renewal with an expiration date on or after October 1, 2008, and for each initial application for registration received on and after that date, the registrar and each deputy registrar shall collect an additional tax of five dollars for each application for registration and registration renewal received. Each deputy registrar shall transmit the taxes collected under division (C)(2) of this section in the time and manner provided in this section. The registrar shall deposit all money received under division (C)(2) of this section into the state treasury to the credit of the state intersection traffic flow improvement fund created by section 164.30 of the Revised Code for use as prescribed in that section.

(3) In addition, a charge of twenty-five cents shall be made for each reflectorized safety license plate issued, and a single charge of twenty-five cents shall be made for each county identification sticker or each set of county identification stickers issued, as the case may be, to cover the cost of producing the license plates and stickers, including material, manufacturing, and administrative costs. Those fees shall be in addition to the license tax. If the total cost of producing the plates is less than twenty-five cents per plate, or if the total cost of producing the stickers is less than twenty-five cents per sticker or per set issued, any excess moneys accruing from the fees shall be distributed in the same manner as provided by section 4501.04 of the Revised Code for the distribution of license tax moneys. If the total cost of producing the plates exceeds twenty-five cents per plate, or if the total cost of producing the stickers exceeds twenty-five cents per sticker or per set issued, the difference shall be paid from the license tax moneys collected pursuant to section 4503.02 of the Revised Code.

(D) Each deputy registrar shall be allowed a fee of two dollars and seventy-five cents commencing on July 1, 2001, three dollars and twenty-five cents commencing on January 1, 2003, and three dollars and fifty cents commencing on January 1, 2004, for each application for registration and registration renewal notice the deputy registrar receives, which shall be for the purpose of compensating the deputy registrar for the deputy registrar's services, and such office and rental expenses, as may be necessary for the proper discharge of the deputy registrar's duties in the receiving of applications and renewal notices and the issuing of registrations.

(E) Upon the certification of the registrar, the county sheriff or local police officials shall recover license plates erroneously or fraudulently issued.

(F) Each deputy registrar, upon receipt of any application for registration or registration renewal notice, together with the license fee and any local motor vehicle license tax levied pursuant to Chapter 4504. of the Revised Code, shall transmit that fee and tax, if any, in the manner provided in this section, together with the original and duplicate copy of the application, to the registrar. The registrar, subject to the approval of the director of public safety, may deposit the funds collected by those deputies in a local bank or depository to the credit of the "state of Ohio, bureau of motor vehicles." Where a local bank or depository has been designated by the registrar, each deputy registrar shall deposit all moneys collected by the deputy registrar into that bank or depository not more than one business day after their collection and shall make reports to the registrar of the amounts so deposited, together with any other information, some of which may be prescribed by the treasurer of state, as the registrar may require and as prescribed by the registrar by rule. The registrar, within three days after receipt of notification of the deposit of funds by a deputy registrar in a local bank or depository, shall draw on that account in favor of the treasurer of state. The registrar, subject to the approval of the director and the treasurer of state, may make reasonable rules necessary for the prompt transmittal of fees and for safeguarding the interests of the state and of counties, townships, municipal corporations, and transportation improvement districts levying local motor vehicle license taxes. The registrar may pay service charges usually collected by banks and depositories for such service. If deputy registrars are located in communities where banking facilities are not available, they shall transmit the fees forthwith, by money order or otherwise, as the registrar, by rule approved by the director and the treasurer of state, may prescribe. The registrar may pay the usual and customary fees for such service.

(G) This section does not prevent any person from making an application for a motor vehicle license directly to the registrar by mail, by electronic means, or in person at any of the registrar's offices, upon payment of a service fee of two dollars and seventy-five cents commencing on July 1, 2001, three dollars and twenty-five cents commencing on January 1, 2003, and three dollars and fifty cents commencing on January 1, 2004, for each application.

(H) No person shall make a false statement as to the district of registration in an application required by division (A) of this section. Violation of this division is falsification under section 2921.13 of the Revised Code and punishable as specified in that section.

(I)(1) Where applicable, the requirements of division (B) of this section relating to the presentation of an inspection certificate issued under section 3704.14 of the Revised Code and rules adopted under it for a motor vehicle, the refusal of a license for failure to present an inspection certificate, and the stamping of the inspection certificate by the official issuing the certificate of registration apply to the registration of and issuance of license plates for a motor vehicle under sections 4503.102, 4503.12, 4503.14, 4503.15, 4503.16, 4503.171, 4503.172, 4503.19, 4503.40, 4503.41, 4503.42, 4503.43, 4503.44, 4503.46, 4503.47, and 4503.51 of the Revised Code.

(2)(a) The registrar shall adopt rules ensuring that each owner registering a motor vehicle in a county where a motor vehicle inspection and maintenance program is in effect under section 3704.14 of the Revised Code and rules adopted under it receives information about the requirements established in that section and those rules and about the need in those counties to present an inspection certificate with an application for registration or preregistration.

(b) Upon request, the registrar shall provide the director of environmental protection, or any person that has been awarded a contract under division (D) of section 3704.14 of the Revised Code, an on-line computer data link to registration information for all passenger cars, noncommercial motor vehicles, and commercial cars that are subject to that section. The registrar also shall provide to the director of environmental protection a magnetic data tape containing registration information regarding passenger cars, noncommercial motor vehicles, and commercial cars for which a multi-year registration is in effect under section 4503.103 of the Revised Code or rules adopted under it, including, without limitation, the date of issuance of the multi-year registration, the registration deadline established under rules adopted under section 4503.101 of the Revised Code that was applicable in the year in which the multi-year registration was issued, and the registration deadline for renewal of the multi-year registration.

(J) Application for registration under the international registration plan, as set forth in sections 4503.60 to 4503.66 of the Revised Code, shall be made to the registrar on forms furnished by the registrar. In accordance with international registration plan guidelines and pursuant to rules adopted by the registrar, the forms shall include the following:

(1) A uniform mileage schedule;

(2) The gross vehicle weight of the vehicle or combined gross vehicle weight of the combination vehicle as declared by the registrant;

(3) Any other information the registrar requires by rule.

Sec. 4503.101.  (A) The registrar of motor vehicles shall adopt rules to establish a system of motor vehicle registration based upon the type of vehicle to be registered, the type of ownership of the vehicle, the class of license plate to be issued, and any other factor the registrar determines to be relevant. Except for commercial cars, buses, trailers, and semitrailers taxed under section 4503.042 of the Revised Code; except for rental vehicles owned by motor vehicle renting dealers; and except as otherwise provided by rule, motor vehicles owned by an individual shall be registered based upon the motor vehicle owner's date of birth. Beginning with the 2004 registration year, the registrar shall assign motor vehicles to the registration periods established by rules adopted under this section.

(B) The registrar shall adopt rules to permit motor vehicle owners residing together at one address to select the date of birth of any one of the owners as the date to register any or all of the vehicles at that residence address, as shown in the records of the bureau of motor vehicles.

(C) The registrar shall adopt rules to assign and reassign all commercial cars, trailers, and semitrailers taxed under section 4503.042 of the Revised Code and all rental vehicles owned by motor vehicle renting dealers to a system of registration so that the registrations of approximately one-twelfth of all such vehicles expire on the last day of each month of a calendar year. To effect a reassignment from the registration period in effect on June 30, 2003, to the new registration periods established by the rules adopted under this section as amended, the rules may require the motor vehicle to be registered for more or less than a twelve-month period at the time the motor vehicle's registration is subject to its initial renewal following the effective date of such rules. If necessary to effect an efficient transition, the rules may provide that the registration reassignments take place over two consecutive registration periods. The registration taxes to be charged shall be determined by the registrar on the basis of the annual tax otherwise due on the motor vehicle, prorated in accordance with the number of months for which the motor vehicle is registered, except that the fee fees and taxes established by division divisions (C)(1) and (2) of section 4503.10 of the Revised Code shall be collected in full for each renewal that occurs during the transition period and shall not be prorated.

(D) The registrar shall adopt rules to permit any commercial motor vehicle owner or motor vehicle renting dealer who owns two or more motor vehicles to request the registrar to permit the owner to separate the owner's fleet into up to four divisions for assignment to separate dates upon which to register the vehicles, provided that the registrar may disapprove any such request whenever the registrar has reason to believe that an uneven distribution of registrations throughout the calendar year has developed or is likely to develop.

(E) Every owner or lessee of a motor vehicle holding a certificate of registration shall notify the registrar of any change of the owner's or lessee's correct address within ten days after the change occurs. The notification shall be in writing on a form provided by the registrar or by electronic means approved by the registrar and shall include the full name, date of birth if applicable, license number, county of residence or place of business, social security account number of an individual or federal tax identification number of a business, and new address.

(F) As used in this section, "motor vehicle renting dealer" has the same meaning as in section 4549.65 of the Revised Code.

Sec. 4503.103.  (A)(1)(a)(i) The registrar of motor vehicles may adopt rules to permit any person or lessee, other than a person receiving an apportioned license plate under the international registration plan, who owns or leases one or more motor vehicles to file a written application for registration for no more than five succeeding registration years. The rules adopted by the registrar may designate the classes of motor vehicles that are eligible for such registration. At the time of application, all annual taxes and fees shall be paid for each year for which the person is registering.

(ii) The registrar shall adopt rules to permit any person or lessee who owns or leases two or more trailers or semitrailers that are subject to the tax rates prescribed in section 4503.042 of the Revised Code for such trailers or semitrailers to file a written application for registration for not more than five succeeding registration years. At the time of application, all annual taxes and fees shall be paid for each year for which the person is registering.

(b)(i) Except as provided in division (A)(1)(b)(ii) of this section, the registrar shall adopt rules to permit any person who owns a motor vehicle to file an application for registration for the next two succeeding registration years. At the time of application, the person shall pay the annual taxes and fees for each registration year, calculated in accordance with division (C) of section 4503.11 of the Revised Code. A person who is registering a vehicle under division (A)(1)(b) of this section shall pay for each year of registration the additional fee fees and taxes established under division divisions (C)(1) and (2) of section 4503.10 of the Revised Code. The person shall also pay one and one-half times the amount of the deputy registrar service fee specified in division (D) of section 4503.10 of the Revised Code or the bureau of motor vehicles service fee specified in division (G) of that section, as applicable.

(ii) Division (A)(1)(b)(i) of this section does not apply to a person receiving an apportioned license plate under the international registration plan, or the owner of a commercial car used solely in intrastate commerce, or the owner of a bus as defined in section 4513.50 of the Revised Code.

(2) No person applying for a multi-year registration under division (A)(1) of this section is entitled to a refund of any taxes or fees paid.

(3) The registrar shall not issue to any applicant who has been issued a final, nonappealable order under division (B) of this section a multi-year registration or renewal thereof under this division or rules adopted under it for any motor vehicle that is required to be inspected under section 3704.14 of the Revised Code the district of registration of which, as determined under section 4503.10 of the Revised Code, is or is located in the county named in the order.

(B) Upon receipt from the director of environmental protection of a notice issued under rules adopted under section 3704.14 of the Revised Code indicating that an owner of a motor vehicle that is required to be inspected under that section who obtained a multi-year registration for the vehicle under division (A) of this section or rules adopted under that division has not obtained a required inspection certificate for the vehicle, the registrar in accordance with Chapter 119. of the Revised Code shall issue an order to the owner impounding the certificate of registration and identification license plates for the vehicle. The order also shall prohibit the owner from obtaining or renewing a multi-year registration for any vehicle that is required to be inspected under that section, the district of registration of which is or is located in the same county as the county named in the order during the number of years after expiration of the current multi-year registration that equals the number of years for which the current multi-year registration was issued.

An order issued under this division shall require the owner to surrender to the registrar the certificate of registration and license plates for the vehicle named in the order within five days after its issuance. If the owner fails to do so within that time, the registrar shall certify that fact to the county sheriff or local police officials who shall recover the certificate of registration and license plates for the vehicle.

(C) Upon the occurrence of either of the following circumstances, the registrar in accordance with Chapter 119. of the Revised Code shall issue to the owner a modified order rescinding the provisions of the order issued under division (B) of this section impounding the certificate of registration and license plates for the vehicle named in that original order:

(1) Receipt from the director of environmental protection of a subsequent notice under rules adopted under section 3704.14 of the Revised Code that the owner has obtained the inspection certificate for the vehicle as required under those rules;

(2) Presentation to the registrar by the owner of the required inspection certificate for the vehicle.

(D) The owner of a motor vehicle for which the certificate of registration and license plates have been impounded pursuant to an order issued under division (B) of this section, upon issuance of a modified order under division (C) of this section, may apply to the registrar for their return. A fee of two dollars and fifty cents shall be charged for the return of the certificate of registration and license plates for each vehicle named in the application.

Sec. 4928.01.  (A) As used in this chapter:

(1) "Ancillary service" means any function necessary to the provision of electric transmission or distribution service to a retail customer and includes, but is not limited to, scheduling, system control, and dispatch services; reactive supply from generation resources and voltage control service; reactive supply from transmission resources service; regulation service; frequency response service; energy imbalance service; operating reserve-spinning reserve service; operating reserve-supplemental reserve service; load following; back-up supply service; real-power loss replacement service; dynamic scheduling; system black start capability; and network stability service.

(2) "Billing and collection agent" means a fully independent agent, not affiliated with or otherwise controlled by an electric utility, electric services company, electric cooperative, or governmental aggregator subject to certification under section 4928.08 of the Revised Code, to the extent that the agent is under contract with such utility, company, cooperative, or aggregator solely to provide billing and collection for retail electric service on behalf of the utility company, cooperative, or aggregator.

(3) "Certified territory" means the certified territory established for an electric supplier under sections 4933.81 to 4933.90 of the Revised Code as amended by Sub. S.B. No. 3 of the 123rd general assembly.

(4) "Competitive retail electric service" means a component of retail electric service that is competitive as provided under division (B) of this section.

(5) "Electric cooperative" means a not-for-profit electric light company that both is or has been financed in whole or in part under the "Rural Electrification Act of 1936," 49 Stat. 1363, 7 U.S.C. 901, and owns or operates facilities in this state to generate, transmit, or distribute electricity, or a not-for-profit successor of such company.

(6) "Electric distribution utility" means an electric utility that supplies at least retail electric distribution service.

(7) "Electric light company" has the same meaning as in section 4905.03 of the Revised Code and includes an electric services company, but excludes any self-generator to the extent it consumes electricity it so produces or to the extent it sells for resale electricity it so produces.

(8) "Electric load center" has the same meaning as in section 4933.81 of the Revised Code.

(9) "Electric services company" means an electric light company that is engaged on a for-profit or not-for-profit basis in the business of supplying or arranging for the supply of only a competitive retail electric service in this state. "Electric services company" includes a power marketer, power broker, aggregator, or independent power producer but excludes an electric cooperative, municipal electric utility, governmental aggregator, or billing and collection agent.

(10) "Electric supplier" has the same meaning as in section 4933.81 of the Revised Code.

(11) "Electric utility" means an electric light company that is engaged on a for-profit basis in the business of supplying a noncompetitive retail electric service in this state or in the businesses of supplying both a noncompetitive and a competitive retail electric service in this state. "Electric utility" excludes a municipal electric utility or a billing and collection agent.

(12) "Firm electric service" means electric service other than nonfirm electric service.

(13) "Governmental aggregator" means a legislative authority of a municipal corporation, a board of township trustees, or a board of county commissioners acting as an aggregator for the provision of a competitive retail electric service under authority conferred under section 4928.20 of the Revised Code.

(14) A person acts "knowingly," regardless of the person's purpose, when the person is aware that the person's conduct will probably cause a certain result or will probably be of a certain nature. A person has knowledge of circumstances when the person is aware that such circumstances probably exist.

(15) "Level of funding for low-income customer energy efficiency programs provided through electric utility rates" means the level of funds specifically included in an electric utility's rates on October 5, 1999, pursuant to an order of the public utilities commission issued under Chapter 4905. or 4909. of the Revised Code and in effect on October 4, 1999, for the purpose of improving the energy efficiency of housing for the utility's low-income customers. The term excludes the level of any such funds committed to a specific nonprofit organization or organizations pursuant to a stipulation or contract.

(16) "Low-income customer assistance programs" means the percentage of income payment plan program, the home energy assistance program, the home weatherization assistance program, and the targeted energy efficiency and weatherization program.

(17) "Market development period" for an electric utility means the period of time beginning on the starting date of competitive retail electric service and ending on the applicable date for that utility as specified in section 4928.40 of the Revised Code, irrespective of whether the utility applies to receive transition revenues under this chapter.

(18) "Market power" means the ability to impose on customers a sustained price for a product or service above the price that would prevail in a competitive market.

(19) "Mercantile commercial customer" means a commercial or industrial customer if the electricity consumed is for nonresidential use and the customer consumes more than seven hundred thousand kilowatt hours per year or is part of a national account involving multiple facilities in one or more states.

(20) "Municipal electric utility" means a municipal corporation that owns or operates facilities to generate, transmit, or distribute electricity.

(21) "Noncompetitive retail electric service" means a component of retail electric service that is noncompetitive as provided under division (B) of this section.

(22) "Nonfirm electric service" means electric service provided pursuant to a schedule filed under section 4905.30 of the Revised Code or pursuant to an arrangement under section 4905.31 of the Revised Code, which schedule or arrangement includes conditions that may require the customer to curtail or interrupt electric usage during nonemergency circumstances upon notification by an electric utility.

(23) "Percentage of income payment plan arrears" means funds eligible for collection through the percentage of income payment plan rider, but uncollected as of July 1, 2000.

(24) "Person" has the same meaning as in section 1.59 of the Revised Code.

(25) "Advanced energy project" means any technologies, products, activities, or management practices or strategies that facilitate the generation or use of electricity and that reduce or support the reduction of energy consumption or support the production of clean, renewable energy for industrial, distribution, commercial, institutional, governmental, research, not-for-profit, or residential energy users. Such energy includes, but is not limited to, wind power; geothermal energy; solar thermal energy; and energy produced by micro turbines in distributed generation applications with high electric efficiencies, by combined heat and power applications, by fuel cells powered by hydrogen derived from wind, solar, biomass, hydroelectric, landfill gas, or geothermal sources, or by solar electric generation, landfill gas, or hydroelectric generation.

(26) "Regulatory assets" means the unamortized net regulatory assets that are capitalized or deferred on the regulatory books of the electric utility, pursuant to an order or practice of the public utilities commission or pursuant to generally accepted accounting principles as a result of a prior commission rate-making decision, and that would otherwise have been charged to expense as incurred or would not have been capitalized or otherwise deferred for future regulatory consideration absent commission action. "Regulatory assets" includes, but is not limited to, all deferred demand-side management costs; all deferred percentage of income payment plan arrears; post-in-service capitalized charges and assets recognized in connection with statement of financial accounting standards no. 109 (receivables from customers for income taxes); future nuclear decommissioning costs and fuel disposal costs as those costs have been determined by the commission in the electric utility's most recent rate or accounting application proceeding addressing such costs; the undepreciated costs of safety and radiation control equipment on nuclear generating plants owned or leased by an electric utility; and fuel costs currently deferred pursuant to the terms of one or more settlement agreements approved by the commission.

(27) "Retail electric service" means any service involved in supplying or arranging for the supply of electricity to ultimate consumers in this state, from the point of generation to the point of consumption. For the purposes of this chapter, retail electric service includes one or more of the following "service components": generation service, aggregation service, power marketing service, power brokerage service, transmission service, distribution service, ancillary service, metering service, and billing and collection service.

(28) "Small electric generation facility" means an electric generation plant and associated facilities designed for, or capable of, operation at a capacity of less than two megawatts.

(29) "Starting date of competitive retail electric service" means January 1, 2001, except as provided in division (C) of this section.

(30) "Customer-generator" means a user of a net metering system.

(31) "Net metering" means measuring the difference in an applicable billing period between the electricity supplied by an electric service provider and the electricity generated by a customer-generator that is fed back to the electric service provider.

(32) "Net metering system" means a facility for the production of electrical energy that does all of the following:

(a) Uses as its fuel either solar, wind, biomass, landfill gas, or hydropower, or uses a microturbine or a fuel cell;

(b) Is located on a customer-generator's premises;

(c) Operates in parallel with the electric utility's transmission and distribution facilities;

(d) Is intended primarily to offset part or all of the customer-generator's requirements for electricity.

(33) "Self-generator" means an entity in this state that owns an electric generation facility that produces electricity primarily for the owner's consumption and that may provide any such excess electricity to retail electric service providers, whether the facility is installed or operated by the owner or by an agent under a contract.

(B) For the purposes of this chapter, a retail electric service component shall be deemed a competitive retail electric service if the service component is competitive pursuant to a declaration by a provision of the Revised Code or pursuant to an order of the public utilities commission authorized under division (A) of section 4928.04 of the Revised Code. Otherwise, the service component shall be deemed a noncompetitive retail electric service.

(C) Prior to January 1, 2001, and after application by an electric utility, notice, and an opportunity to be heard, the public utilities commission may issue an order delaying the January 1, 2001, starting date of competitive retail electric service for the electric utility for a specified number of days not to exceed six months, but only for extreme technical conditions precluding the start of competitive retail electric service on January 1, 2001.

Sec. 4928.51.  (A) There is hereby established in the state treasury a universal service fund, into which shall be deposited all universal service revenues remitted to the director of development under this section, for the exclusive purposes of providing funding for the low-income customer assistance programs and for the consumer education program authorized under section 4928.56 of the Revised Code, and paying the administrative costs of the low-income customer assistance programs and the consumer education program. Interest on the fund shall be credited to the fund. Disbursements from the fund shall be made to any supplier that provides a competitive retail electric service or a noncompetitive retail electric service to a customer who is approved to receive assistance under a specified low-income customer assistance program and to any authorized provider of weatherization or energy efficiency service to a customer approved to receive such assistance under a specified low-income customer assistance program.

(B) Universal service revenues shall include all of the following:

(1) Revenues remitted to the director after collection by an electric distribution utility beginning July 1, 2000, attributable to the collection from customers of the universal service rider prescribed under section 4928.52 of the Revised Code;

(2) Revenues remitted to the director that have been collected by an electric distribution utility beginning July 1, 2000, as customer payments under the percentage of income payment plan program, including revenues remitted under division (C) of this section;

(3) Adequate revenues remitted to the director after collection by a municipal electric utility or electric cooperative in this state not earlier than July 1, 2000, upon the utility's or cooperative's decision to participate in the low-income customer assistance programs;

(4) Forfeiture amounts collected pursuant to section 4928.7014 of the Revised Code.

(C)(1) Beginning July 1, 2000, an electric distribution utility shall transfer to the director the right to collect all arrearage payments of a customer for percentage of income payment plan program debt owed to the utility on the day before that date or retain the right to collect that debt but remit to the director all program revenues received by the utility for that customer.

(2) A current or past percentage of income payment plan program customer is relieved of any payment obligation under the percentage of income payment program for any unpaid arrears accrued by the customer under the program as of the effective date of this section if the customer, as determined by the director, meets both of the following criteria:

(a) The customer as of that date has complied with customer payment responsibilities under the program.

(b) The customer is permanently and totally disabled as defined in section 5117.01 of the Revised Code or is sixty-five years of age or older as defined in that section.

(D) The public utilities commission shall complete an audit of each electric utility by July 1, 2000, for the purpose of establishing a baseline for the percentage of income payment plan program component of the low-income assistance programs.

Sec. 4928.61.  (A) There is hereby established in the state treasury the advanced energy fund, into which shall be deposited all advanced energy revenues remitted to the director of development under division (B) of this section and the rentals received by the director of natural resources under leases entered into under section 1506.111 of the Revised Code, for the exclusive purposes of funding the advanced energy program created under section 4928.62 of the Revised Code and paying the program's administrative costs. Interest on the fund shall be credited to the fund.

(B) Advanced energy revenues shall include all of the following:

(1) Revenues remitted to the director of development after collection by each electric distribution utility in this state of a temporary rider on retail electric distribution service rates as such rates are determined by the public utilities commission pursuant to this chapter. The rider shall be a uniform amount statewide, determined by the director of development, after consultation with the public benefits advisory board created by section 4928.58 of the Revised Code. The amount shall be determined by dividing an aggregate revenue target for a given year as determined by the director, after consultation with the advisory board, by the number of customers of electric distribution utilities in this state in the prior year. Such The aggregate revenue target shall not exceed more than fifteen million dollars in any year through 2005 and shall not exceed more than five million dollars in any year after 2005. The rider shall be imposed beginning on the effective date of the amendment of this section by Sub. H.B. 251 of the 126th general assembly, January 4, 2007, and shall terminate at the end of ten years following the starting date of competitive retail electric service or until the advanced energy fund, including interest, reaches one hundred million dollars, whichever is first.

(2) Revenues from payments, repayments, and collections under the advanced energy program and from program income;

(3) Revenues remitted to the director after collection by a municipal electric utility or electric cooperative in this state upon the utility's or cooperative's decision to participate in the advanced energy fund;

(4) Interest earnings on the advanced energy fund;

(5) Revenues credited to the fund following a forfeiture made under section 4933.57 of the Revised Code;

(6) Forfeiture amounts collected pursuant to section 4928.7012 of the Revised Code.

(C)(1) Each electric distribution utility in this state shall remit to the director on a quarterly basis the revenues described in divisions (B)(1) and (2) of this section. Such remittances shall occur within thirty days after the end of each calendar quarter.

(2) Each participating electric cooperative and participating municipal electric utility shall remit to the director on a quarterly basis the revenues described in division (B)(3) of this section. Such remittances shall occur within thirty days after the end of each calendar quarter. For the purpose of division (B)(3) of this section, the participation of an electric cooperative or municipal electric utility in the energy efficiency revolving loan program as it existed immediately prior to the effective date of the amendment of this section by Sub. H.B. 251 of the 126th general assembly, January 4, 2007, does not constitute a decision to participate in the advanced energy fund under this section as so amended.

(3) All remittances under divisions (C)(1) and (2) of this section shall continue only until the end of ten years following the starting date of competitive retail electric service or until the advanced energy fund, including interest, reaches one hundred million dollars, whichever is first.

(D) Any moneys collected in rates for non-low-income customer energy efficiency programs, as of October 5, 1999, and not contributed to the energy efficiency revolving loan fund authorized under this section prior to the effective date of its amendment by Sub. H.B. 251 of the 126th general assembly, January 4, 2007, shall be used to continue to fund cost-effective, residential energy efficiency programs, be contributed into the universal service fund as a supplement to that required under section 4928.53 of the Revised Code, or be returned to ratepayers in the form of a rate reduction at the option of the affected electric distribution utility.

Sec. 4928.67.  (A) As used in this section:

(1) "Customer-generator" means a user of a net metering system.

(2) "Electric light company" has the same meaning as in section 4905.03 of the Revised Code.

(3) "Net metering" means measuring the difference in an applicable billing period between the electricity supplied by an electric light company and the electricity generated by a customer-generator that is fed back to the electric light company.

(4) "Net metering system" means a facility for the production of electrical energy that does all of the following:

(a) Uses as its fuel either solar, wind, biomass, landfill gas, or hydropower, or uses a micro turbine or a fuel cell;

(b) Is located on a customer-generator's premises;

(c) Operates in parallel with the electric light company's transmission and distribution facilities;

(d) Is intended primarily to offset part or all of the customer-generator's requirements for electricity.

(B)(1) Beginning on the starting date of competitive retail electric service, a retail an electric service provider light company in this state shall develop a standard contract or tariff providing for net energy metering. Any time that the total rated generating capacity used by customer-generators is less than one per cent of the provider's aggregate customer peak demand in this state, the provider shall make this contract or tariff available to customer-generators, upon request and on a first-come, first-served basis. The contract or tariff that shall be identical in rate structure, all retail rate components, and any monthly charges, to the contract or tariff to which the same customer would be assigned if that customer were not a customer-generator.

(2) Net metering under this section shall be accomplished using a single meter capable of registering the flow of electricity in each direction. If its existing electrical meter is not capable of measuring the flow of electricity in two directions, the customer-generator shall be responsible for all expenses involved in purchasing and installing a meter that is capable of measuring electricity flow in two directions.

(3) Such an electric service provider light company, at its own expense and with the written consent of the customer-generator, may install one or more additional meters to monitor the flow of electricity in each direction.

(B)(C) Consistent with the other provisions of this section, the measurement of net electricity supplied or generated shall be calculated in the following manner:

(1) The electric service provider light company shall measure the net electricity produced or consumed during the billing period, in accordance with normal metering practices.

(2) If the electricity supplied by the electric service provider light company exceeds the electricity generated by the customer-generator and fed back to the electric service provider light company during the billing period, the customer-generator shall be billed for the net electricity supplied by the electric service provider light company, in accordance with normal metering practices. If electricity is provided to the electric service provider light company, the credits for that electricity shall appear in the next billing cycle.

(C)(D)(1) A net metering system used by a customer-generator shall meet all applicable safety and performance standards established by the national electrical code, the institute of electrical and electronics engineers, and underwriters laboratories.

(2) The public utilities commission shall adopt rules relating to additional control and testing requirements for customer-generators which the commission determines are necessary to protect public and worker safety and system reliability.

(D)(E) An electric service provider light company shall not require a customer-generator whose net metering system meets the standards and requirements provided for in divisions (C)(1) and division (D) of this section to do any of the following:

(1) Comply with additional safety or performance standards;

(2) Perform or pay for additional tests;

(3) Purchase additional liability insurance.

Sec. 4928.68. Electric light company rates charged for net electricity supplied to customer generators shall not include reservation or capacity charges for generation services if wholesale generation services are available to the company from regional transmission organization markets. Electricity from wholesale generation services provided through a regional transmission organization shall be sold to a customer-generator at the electric light company's cost.

Sec. 4928.70.  As used in sections 4928.701 to 4928.7017 of the Revised Code:

(A) A measure is "cost effective" if the benefit-cost ratio, which is the ratio of the net present value of the total benefits, including avoided costs, of the measure to the net present value of the total costs as calculated over the lifetime of the measure, is greater than one.

(B) "Electric distribution utility" has the same meaning as in section 4928.01 of the Revised Code, but excludes any electric distribution utility that, on December 31, 2006, provided retail electric service to one hundred thousand or fewer retail electric service customers in the state.

Sec. 4928.701.  Electric distribution utilities and the director of development shall implement energy efficiency measures that achieve the following relative to a baseline period of the twelve months ending May 31, 2008:

(A) A savings of two-tenths of one per cent of electricity delivered to retail electric service customers for the twelve-month period commencing June 1, 2008;

(B) A savings of an additional two-tenths of one per cent of electricity delivered to retail electric service customers for each of the next four twelve-month periods commencing on the first day of June, until a savings of one per cent is achieved for the twelve-month period commencing on June 1, 2012;

(C) A savings of an additional four-tenths of one per cent of electricity delivered to retail electric service customers for each of the next two twelve-month periods commencing on the first day of June, until a savings of one and eight-tenths per cent is achieved for the twelve-month period commencing on June 1, 2014;

(D) A savings of two per cent of electricity delivered to retail electric service customers for the twelve-month period commencing on June 1, 2015, and for each twelve-month period commencing thereafter on the first day of June.

Sec. 4928.702.  Electric distribution utilities shall implement cost-effective measures to decrease peak electricity demand or shift demand from peak to off-peak periods with regard to electricity delivered to all retail electric service customers other than self-generators and persons with special contracts under section 4905.31 of the Revised Code. For each of the next ten twelve-month periods beginning with the initial period on June 1, 2008, the measures shall reduce such peak demand by one-tenth of one per cent over the immediately preceding twelve-month period's peak demand.

Sec. 4928.703.  (A) For each of the four twelve-month periods starting with the initial period commencing on June 1, 2008, an electric distribution utility and the director of development shall limit the energy-efficiency and peak-demand reduction measures implemented as required by sections 4928.701 and 4928.702 of the Revised Code by an amount necessary to limit the estimated average increase in the amounts paid by retail electric service customers for retail electric service due to the cost of those measures to one-half per cent of the amount paid per kilowatt hour by those customers during the twelve-month period ending May 31, 2007. The limitation percentage shall increase incrementally by one-half per cent for each twelve-month period thereafter until the limitation percentage for the twelve-month period commencing on June 1, 2011, is two per cent of the amount paid per kilowatt hour for retail electric service by retail electric service customers during the twelve-month period ending May 31, 2007. Beginning with the twelve-month period commencing on June 1, 2012 and for every twelve-month period thereafter, the limitation percentage shall be two and fifteen-hundredths per cent of the amount paid per kilowatt-hour for retail electric service by retail electric service customers during the twelve-month period ending May 31, 2007.

(B) Not later than June 30, 2011, the public utilities commission shall review the limitation imposed by this section and shall report to the general assembly its findings as to whether it unduly constrains the procurement of energy-efficiency and peak-demand reduction measures.

Sec. 4928.704.  (A) Not later than January 15, 2008, each electric distribution utility shall file with the public utilities commission a plan to meet the energy-efficiency standards and peak-demand reduction standards of sections 4928.701, 4928.702, and 4928.703 of the Revised Code for the three twelve-month periods beginning June 1, 2008. Not later than the fifteenth day of January of every third year thereafter, each electric distribution utility shall file an energy-efficiency and peak-demand reduction measure plan for the next succeeding three twelve-month periods. Each plan shall set forth proposals to meet the energy-efficiency standards and peak-demand reduction standards, taking into account the service territory served by the electric distribution utility.

(B) Electric distribution utilities shall be responsible for overseeing the design and development of energy-efficiency and peak-demand reduction measure plans. With respect to energy-efficiency measures, each utility shall consult with the director of development regarding their design and development. Each utility and the director shall also agree upon a reasonable portfolio of energy-efficiency measures, determine the percentage of the required savings that shall be assigned to each of those measures, and determine which measures the utility or the director shall be responsible for implementing.

(C) If an electric distribution utility and the director are unable to agree on the energy-efficiency provisions required to be included in a plan, the utility and director shall each file their own versions of the energy-efficiency provisions of the plan by the date required in division (A) of this section. The public utilities commission shall determine the appropriate standards for the energy-efficiency provisions of the plan pursuant to section 4928.706 of the Revised Code.

Sec. 4928.705.  Plans submitted pursuant to section 4928.704 of the Revised Code shall do all of the following:

(A) Demonstrate that the proposed energy-efficiency and peak-demand reduction measures will achieve the requirements of sections 4928.701, 4928.702, and 4928.703 of the Revised Code;

(B) Present specific proposals for the implementation of building and appliance standards;

(C) Include a description of the energy-efficiency measures the director of development is responsible for implementing in accordance with sections 4928.704 and 4928.707 of the Revised Code;

(D) Present estimates of the total amount to be paid for retail electric service expressed on a per kilowatt-hour basis associated with the proposed portfolio of measures designed to meet the requirements of sections 4928.701, 4928.702, and 4928.703 of the Revised Code;

(E) Provide for coordination with the director of development in order to present a portfolio of energy-efficiency measures targeted for participants in, and persons eligible for, low-income customer assistance programs;

(F) Demonstrate that the proposed energy-efficiency and peak-demand reduction measures, not including those measures covered in division (E) of this section, are cost-effective and represent a diverse cross-section of opportunities for customers of all rate classes to participate in the programs;

(G) Include a cost-recovery tariff mechanism to fund the proposed energy-efficiency and peak-demand reduction measures described in the plan and to ensure the recovery of just and reasonable costs;

(H) Provide for an annual independent evaluation of the cost effectiveness of the portfolio of proposed energy-efficiency and peak-demand reduction measures, as well as a full review of the three-year results of the broader net program impacts, and to the extent practical, for prospective adjustment of the measures on the basis of the evaluations. The cost of the evaluation shall not exceed three per cent of the portfolio's savings in any given year.

Sec. 4928.706.  The public utilities commission shall seek public comment on each plan filed under section 4928.704 of the Revised Code and, after notice and a hearing, shall issue an order approving or disapproving the plan not later than sixty days after the date the plan was filed. If the commission disapproves a plan, the commission shall provide written findings that detail the reason the plan was not approved and what changes should be made in the plan in order to obtain commission approval. Not later than thirty days after the issuance of the written disapproval findings, the electric distribution utility shall re-file a modified plan. Any re-filed plan shall be subject to the same review procedure, time limitations, and notice and hearing requirements imposed for originally filed plans. If the commission fails to approve or disapprove a plan within the sixty-day time limit required by this section, the plan shall be considered approved.

Sec. 4928.707.  Each electric distribution utility shall implement all peak-demand reduction measures and approximately seventy-five per cent of the energy-efficiency measures included in the plan approved by the public utilities commission under section 4928.706 or 4928.7013 of the Revised Code. The director of development shall implement approximately twenty-five per cent of all energy-efficiency measures included in plans approved under that section. The director may outsource implementation of measures assigned to the director under each approved plan. A minimum of ten per cent of the entire portfolio of measures under each approved plan shall be procured from units of local government, school districts, and community college districts.

Sec. 4928.708.  The tariff approved by the public utilities commission pursuant to section 4928.706 or 4928.7013 of the Revised Code as part of an energy-efficiency and peak-demand reduction plan shall be reviewed annually in order to reconcile any amounts collected with the actual costs and to determine the required adjustment to the annual tariff to match annual expenditures. The tariff may be modified by the adjustment only after notice and a hearing.

Sec. 4928.709.  Tariff amounts collected by an electric distribution utility to cover the cost of energy-efficiency measures implemented by the director of development shall be paid by such utility to the public utilities commission for deposit into the energy-efficiency fund which is hereby created in the state treasury. The amounts in the fund shall be used by the director only for the purpose of implementing the energy-efficiency measures required by plans approved under section 4928.706 or 4928.7013 of the Revised Code. All investment earnings of the fund shall be retained by the fund.

Sec. 4928.7010.  Not more than three per cent of revenues raised by a tariff imposed by a plan approved under section 4928.706 or 4928.7013 of the Revised Code may be used to fund demonstration of breakthrough equipment and devices.

Sec. 4928.7011.  The director of development shall report to the public utilities commission on an annual basis regarding the costs actually incurred in the implementation of the energy-efficiency measures for which the director is responsible under plans approved under section 4928.706 or 4928.7013 of the Revised Code.

Sec. 4928.7012.  (A) If an electric distribution utility fails to file a plan on the appropriate date required by section 4928.704 of the Revised Code, the utility shall forfeit one hundred thousand dollars per day until the plan is filed.

(B) If an electric distribution utility does not re-file a plan that has been disapproved pursuant to section 4928.706 or 4928.7013 of the Revised Code in the time period required by that section, the utility shall forfeit one hundred thousand dollars per day until the plan is re-filed.

(C) An electric distribution utility shall not be subject to a forfeiture pursuant to this section for failure to make a timely filing if that failure is the result of lack of agreement with the director of development regarding the energy efficiency provisions of a plan required to be filed pursuant to section 4928.704 of the Revised Code.

(D) Forfeitures imposed pursuant to this section shall be recovered in accordance with sections 4905.57, 4905.59, and 4905.61 of the Revised Code, except that forfeiture amounts collected shall be deposited into the advanced energy fund created under section 4928.61 of the Revised Code.

Sec. 4928.7013.  If the director of development is unable to meet the director's annual energy efficiency performance standards required by a plan approved under section 4928.706 of the Revised Code for any one year of the plan, the electric distribution utility subject to the plan and the director shall jointly file a modified plan with the public utilities commission as well as an explanation of the performance failure and the remedial course proposed in the modified plan. The modified plan shall comply with the requirements of sections 4928.701, 4928.702, 4928.703, and 4928.705 and division (B) of section 4928.704 of the Revised Code. The commission shall approve the modified plan in accordance with the requirements of section 4928.706 of the Revised Code.

Sec. 4928.7014.  (A) As used in this section:

(1) "Large electric distribution utility" means an electric distribution utility that, on December 31, 2006, served more than two million retail electric-service customers in the state.

(2) "Medium electric distribution utility" means an electric distribution utility that, on December 31, 2006, served more than one hundred thousand but no more than two million retail electric-service customers in the state.

(3) One or more electric distribution utilities that are affiliated by virtue of a common parent company shall be considered one electric distribution utility for purposes of this section.

(B) If an electric distribution utility fails, by the end of the second year, or if an electric distribution utility fails, by the end of the third year, to meet the energy-efficiency savings requirements imposed on it under an energy-efficiency and peak-demand reduction measures plan approved pursuant to section 4928.06 or 4928.7013 of the Revised Code, the utility shall be subject to a forfeiture as described in division (C) of this section.

(C)(1) With respect to failure to meet the energy-efficiency requirements by the end of the second year of an approved plan, a large electric distribution utility shall forfeit not more than six hundred sixty-five thousand dollars and a medium electric distribution utility shall forfeit not more than three hundred thirty-five thousand dollars. If two or more large electric distribution utilities fail to meet the energy-efficiency requirements by the end of the second year, the total forfeiture amount imposed on the large electric distribution utilities for their failure shall not exceed six hundred sixty-five thousand dollars. If two or more medium electric distribution utilities fail to meet the energy-efficiency requirements by the end of the second year, the total forfeiture amount imposed on the medium electric distribution utilities for their failure shall not exceed three hundred thirty-five thousand dollars.

(2) With respect to failure to meet the energy-efficiency requirements by the end of the third year of an approved plan, a large electric distribution utility shall forfeit not more than six hundred sixty-five thousand dollars and a medium electric distribution utility shall forfeit not more than three hundred thirty-five thousand dollars. If two or more large electric distribution utilities fail to meet the energy-efficiency requirements by the end of the third year, the total forfeiture amount imposed on the large electric distribution utilities for their failure shall not exceed six hundred sixty-five thousand dollars. If two or more medium electric distribution utilities fail to meet the energy-efficiency requirements by the end of the third year, the total forfeiture amount imposed on the medium electric distribution utilities for their failure shall not exceed three hundred thirty-five thousand dollars.

(D) Forfeitures imposed pursuant to this section shall be recovered in accordance with sections 4905.57, 4905.59, and 4905.61 of the Revised Code, except that forfeiture amounts collected shall be deposited into the universal service fund created under section 4928.51 of the Revised Code.

Sec. 4928.7015.  Any forfeiture amount imposed pursuant to section 4928.7012 or 4928.7014 of the Revised Code on an electric distribution utility shall not be collected in any manner from the utility's retail electric-service customers.

Sec. 4928.7016.  If any electric distribution utility fails, by the end of the third year, or if the director of development fails, by the end of the third year, to meet the energy-efficiency requirements imposed on it by an energy-efficiency and peak-demand reduction measures plan approved pursuant to section 4928.706 or 4928.7013 of the Revised Code, the public utilities commission may assume the responsibility for implementing energy-efficiency measures to meet the requirements. The commission shall institute a competitive procurement program to obtain and implement the energy-efficiency measures over which the commission has assumed control. The program established by the commission shall require the commission to obtain at least three bids or quotes from different vendors and shall be governed by a rebuttable presumption that the lowest responsive and responsible bid or quote shall be selected.

Sec. 4928.7017.  No electric distribution utility shall be deemed to have failed to meet the energy-efficiency requirements imposed on it by an energy-efficiency and peak-demand reduction measures plan approved pursuant to section 4928.706 or 4928.7013 of the Revised Code, to the extent any such failure is due to a failure of the director of development or the public utilities commission.

Sec. 4933.51. As used in sections 4933.51 to 4933.58 of the Revised Code:

(A) "Biomass" means any of the following:

(1) Cellulosic organic material from a plant that is grown for the purpose of being used in the production of electricity;

(2) Nonhazardous, plant-based waste material that is segregated from other solid waste materials and derived from agricultural crops, crop byproducts or residues, forestry maintenance residues, or landscape or right-of-way tree trimmings or clean wood waste;

(3) Gasified animal waste;

(4) Gasified food waste;

(5) Landfill methane;

(6) Methane from food or farm waste;

(7) Plant oils including used restaurant grease;

(8) Municipal solid waste;

(9) Post-consumer waste paper;

(10) Painted, treated, or pressurized wood;

(11) Construction debris;

(12) Wood contaminated with plastic or metals;

(13) Tires.

(B) "Fuel cell" means an electromechanical device that converts chemical energy in a hydrogen-rich fuel directly into electricity, heat, and water without combustion.

(C) "Generation supplier" means a public utility electric light company as defined in sections 4905.02 and 4905.03 of the Revised Code that supplies retail electric generation service in this state.

(D) "Hydrogen-rich fuel" includes hydrogen that is produced from fossil fuels including natural gas, oil, propane, and coal including coal-mined methane.

(E) "New renewable energy system" includes any of the following:

(1) A renewable energy system that is placed in operation on or after January 1, 1997;

(2) A facility in existence prior to January 1, 1997, that has been reconfigured so that at least eighty per cent of the fair market value of the electricity it generates or distributes is from renewable energy;

(3) A separable, improved part of a facility in existence prior to January 1, 1997, that generates or distributes electricity derived from renewable energy separately from the original facility;

(4) A facility in existence prior to January 1, 1997, that has converted one hundred per cent of its fuel source to renewable energy.

(F) "Qualified energy" means either of the following:

(1) Renewable energy from a new renewable energy system;

(2) Energy represented by a renewable energy credit awarded to or purchased by a generation supplier.

(G) "Renewable energy" means any of the following:

(1) Solar energy;

(2) Wind energy;

(3) Geothermal energy;

(4) Biomass energy;

(5) Hydropower, but only for the purposes of divisions (I)(5) and (6) of this section;

(6) Energy from a fuel cell.

"Renewable energy" excludes nuclear energy, pump storage, and energy derived from fossil fuels including natural gas, oil, propane, and coal including coal-mined methane.

(H) "Renewable energy credit" means a tradable, verifiable instrument representing one megawatt hour of electricity produced from energy described in division (F)(1) of this section.

(I) "Renewable energy system" means any of the following:

(1) A facility or energy system that uses renewable energy to generate electricity;

(2) A biomass cofiring facility that cofires nonrenewable energy sources with biomass;

(3) A landfill methane facility;

(4) A fuel cell technology system;

(5) A hydroelectric generating facility located at a dam within the state or on the border of the state that has a total stated production capacity of thirty megawatts or less of electricity;

(6) A series of units, each with a stated production capacity of forty megawatts or less of electricity, at a hydroelectric generating facility located at a dam or lock and dam in the state or on the border of the state.

Sec. 4933.52. A generation supplier shall derive a minimum aggregate amount of its total retail electric sales from any combination of qualified energy sources in accordance with the following schedule:

For the purposes of this section, total retail electric sales for a calendar year shall be determined to be the average of the supplier's retail electric sales in this state for the immediately preceding three calendar years.

Sec. 4933.53. Annually, not later than the fifteenth day of April, every generation supplier shall submit a report to the public utilities commission describing the supplier's compliance with the minimum retail sales requirements specified in section 4933.52 of the Revised Code for the previous calendar year. The report shall include the following:

(A) A list, itemized by system, of the monthly megawatt hours purchased from renewable energy systems and the megawatt capacity of each such system;

(B) The percentage of sales in megawatt hours from energy described in division (F)(1) of section 4933.51 of the Revised Code;

(C) The rate of compliance with section 4933.52 of the Revised Code;

(D) Implementation plans for compliance with that section in future years;

(E) A statement that no renewable energy credits awarded to or purchased by the supplier have been or will be used to meet other states' renewable energy or similar requirements;

(F) A twenty-year projection of energy loads and annual energy demands for electricity, anticipated generating capacity, and seasonal peak demands;

(G) Any other information required by the commission by rule. The rules may require that the report be filed as part of the annual report filed pursuant to section 4905.14 of the Revised Code.

Sec. 4933.54. (A) The public utilities commission shall establish by rule a system of renewable energy credits and annually shall review the retail sales of electricity in this state for each generation supplier. If the supplier has retail sales of electricity that exceed the minimum requirements specified in section 4933.52 of the Revised Code, the commission shall award renewable energy credits to the supplier in a proportion to be determined by the commission.

To be eligible for the renewable energy credit calculation, the retail sales shall take place in the same year the electricity is generated and shall be of electricity produced in this state from energy described in division (F)(1) of section 4933.51 of the Revised Code. Subject to rules adopted by the commission, a supplier may negotiate the sale or purchase of one or more credits at any price.

(B) The commission shall adopt rules that specify the following:

(1) The number of credits to be awarded for exceeding the minimum retail sales requirement under section 4933.52 of the Revised Code;

(2) The allowable uses of a credit;

(3) The reporting of a credit;

(4) A system for tracking used and unused credits;

(5) The requirements and procedures for the sale or purchase of a credit.

To the extent possible, the commission shall conform its rules such that they are consistent with national standards.

(C) A supplier may apply a credit awarded by the commission for exceeding the minimum retail sales requirements, or a credit purchased from another party, in one calendar year to either or both of the subsequent two calendar years provided that all of the following apply:

(1) The supplier met the minimum requirements for all previous calendar years as specified in section 4933.52 of the Revised Code.

(2) The credit previously has not been applied to meet the requirements specified in section 4933.52 of the Revised Code.

(3) The credit has not been claimed or represented as part of satisfying requirements in other states that are similar to the requirements under section 4933.52 of the Revised Code.

Sec. 4933.55. The public utilities commission shall develop a renewable energy credit registry that shall be made available to generation suppliers and the public. The registry shall include pertinent information regarding the current status of all available renewable energy credits; transactions among suppliers; the number of renewable energy credits awarded; the number of renewable energy credits sold and the price paid for the sale of credits to a non-Ohio-based entity; the number of renewable energy credits sold and the price paid for the sale of credits to an Ohio-based entity; and the average price paid for the sale of all credits.

Sec. 4933.56. (A) To encourage generation of electricity from fuel cells, the public utilities commission may authorize, after notice and the opportunity for a hearing, the collection of a just and reasonable surcharge on the retail electric rates of customers receiving electricity from a generation supplier that does either of the following with respect to a fuel cell facility that has a generating capacity of thirty kilowatts or less of electricity:

(1) Constructs or is in the process of constructing such a facility;

(2) Purchases electricity from an entity that constructs or is in the process of constructing such a facility.

(B) The surcharge shall be imposed for the purpose of paying the costs of designing and constructing the facility and shall not exceed the amount the commission determines necessary to pay only those costs. Such costs shall include architectural and engineering fees, land acquisition or remediation costs, and such other third-party costs related to a facility's design or construction. The surcharge shall terminate on such date as the commission specifies by order upon a determination, after hearing, that all such costs have been paid.

Sec. 4933.57. (A) Upon initiative of the public utilities commission or a complaint of any person, if it appears that reasonable grounds for complaint are stated, the commission shall determine whether a generation supplier has failed to comply with section 4933.52 of the Revised Code. The commission shall fix a time for a hearing and shall notify complainants and the supplier of the time. The notice shall be served not less than fifteen days before the hearing and shall state the matters listed in the complaint. The commission may adjourn the hearing from time to time. The parties to the complaint shall be entitled to be heard and represented by counsel, and to have process to enforce the attendance of witnesses.

(B) The commission may assess a forfeiture against a supplier that it finds has failed to comply with section 4933.52 of the Revised Code, to be collected pursuant to sections 4905.57, 4905.59, and 4905.60 of the Revised Code. For each percentage below the minimum retail sales requirement during the period of noncompliance, the forfeiture shall be in an amount equal to two hundred per cent of the average price of a renewable energy credit awarded pursuant to section 4933.54 of the Revised Code during that period.

Money collected from a forfeiture assessed under this division shall be deposited to the credit of the advanced energy fund created in section 4928.61 of the Revised Code.

(C) If the commission, after notice and an opportunity to be heard, finds that a generation supplier has engaged or is engaging in a persistent pattern of failures to comply with section 4933.52 of the Revised Code, the commission may suspend or rescind the supplier's certification under section 4928.08 of the Revised Code.

Sec. 4933.58. The forfeiture imposed pursuant to section 4933.57 of the Revised Code shall not be collected in any way from customers receiving electricity from the generation supplier subject to the forfeiture.

Sec. 5301.073. (A) No covenant, condition, or restriction set forth in a deed, and no rule, regulation, bylaw, or other governing document or agreement of a homeowners, neighborhood, civic, or other association shall prohibit or be construed to prohibit the placement on any property of a clothesline, hook, or other device or object for attaching a clothesline, or any pole for supporting a clothesline.

(B) A covenant, condition, restriction, rule, regulation, bylaw, governing document, or agreement or a construction of any of these items that violates division (A) of this section is against public policy and void and unenforceable in any court of this state to the extent it violates that division.

Sec. 5311.192. (A) No declaration, bylaw, rule, regulation, or agreement of a condominium property or construction of any of these items by the board of managers of its unit owners association shall prohibit or be construed to prohibit the placement of a clothesline, hook, or other device or object for attaching a clothesline, or any pole for supporting a clothesline within the limited common areas and facilities of a unit owner.

(B) A declaration, bylaw, rule, regulation, or agreement or the construction of any of these items that violates division (A) of this section is against public policy and void and unenforceable in any court of this state to the extent it violates that division.

Sec. 5501.452. In accordance with section 5501.45 of the Revised Code, the director of transportation shall implement a program allowing, by lease or permit, the use of lands owned by the state and acquired or used for the state highway system or for highways or in connection with highways or as incidental to the acquisition of land for highways by persons operating pipelines that are necessary for the operation of storage facilities regulated under Chapter 1572. of the Revised Code. The program shall be operated in accordance with guidelines in effect on January 1, 1996.

Nothing in this section shall require the director to maintain a lease or permit at a specific location or prohibit the director from modifying the terms of a specific lease or permit.

Section 2.  That existing sections 123.01, 1505.07, 1506.11, 1531.06, 1571.01, 4503.10, 4503.101, 4503.103, 4928.01, 4928.51, 4928.61, and 4928.67 and sections 5119.40, 5120.12, and 5123.23 of the Revised Code are hereby repealed.

Section 3.  A lease of any lands that are owned or controlled by a state agency as defined in section 1.60 of the Revised Code for the purpose of exploring for, developing, and producing oil or natural gas that was entered into prior to the effective date of this act shall remain in effect until the term of the lease expires as provided for in the lease.

Section 4.  Not later than six months after the effective date of this section, the Department of Transportation shall transfer to the Department of Natural Resources the control and management of not less than thirty thousand acres of right-of-way located along state and interstate freeways. Upon such transfer, the Department of Natural Resources shall be responsible for the control and management of such acreage.

The Department of Natural Resources shall replace the grass and other vegetation currently growing on this acreage with both of the following:

(A) Vegetation, suitable for the climate of this state, that when harvested can be processed into the fuel cellulosic ethanol;

(B) Vegetation, suitable for the climate of this state, that contributes to the beautification of the street or highway.

In selecting the acreage to be transferred under this section, the Department of Transportation shall give due consideration to any valid safety concerns that are present at a particular location. The Department of Transportation shall not transfer any acreage pursuant to this section if the Department determines that after such transfer the safety of the traveling public would be adversely affected to any degree.