Earlier this week, Governor DeWine signed House Bill 168 into law, following the bill’s unanimous passage out of the State Legislature in May 2020. The bill, introduced in March 2019 by former State Representative Steven Arndt (R – Port Clinton), provides liability protection to purchasers of brownfields sites through an affirmative defense. The bill will take effect 90 days after the governor’s signature, on September 14.
Governor DeWine signing HB168 and several other bills on Tuesday, June 16, 2020. Image courtesy of the Office of the Governor (via Twitter).
Brownfields are a top policy priority for GOPC, which has focused on encouraging brownfield redevelopment through regulatory reform and with an increased investment from the state. HB168 provides one such regulatory reform to Ohio.
While incentives are still needed to offset the increased cost of redeveloping brownfields, HB168’s passage will encourage brownfield redevelopment by incorporating the bona fide purchaser defense (BFPD) into Ohio law. Presently, a gap exists between federal law and Ohio law, as a purchaser may receive liability protections by following federal standards, which are not extended under Ohio standards. Visit GOPC’s FAQ page for more details on the BFPD.
Brownfields are found in every county throughout the state, in both rural and urban communities. These blighted sites discourage investment and create barriers to job creation and economic development. Brownfield redevelopment often involves more time and increased costs, and the environmental contamination increases liability to purchasers and developers. Because of this, their redevelopment is often passed over.
Shortly after the passage of HB168, legislation to re-fund the Clean Ohio Revitalization Fund (CORF) was introduced as HB675 (Hillyer-Swearingen). CORF still exists in Ohio law, but has not been funded since its last bonding in 2008. HB675 provides dedicated funding for CORF, by directing the excess liquor profits returned to the state from JobsOhio. You can learn more about HB675, visit the brownfields section of our website.