Expand eligibility for county sewer discounted rates or charges

As Introduced

136th
General Assembly

Regular
Session
S. B. No. 45

2025-2026

Senator Ingram

Cosponsors: Senators DeMora,
Weinstein, Craig

A
BILL

To
amend section 6117.02 of the Revised Code
to
expand eligibility for county sewer discounted rates or charges.

BE
IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section
1.
That
section 6117.02 of the Revised Code be amended to read as follows:

Sec.
6117.02.
(A)
The board of county commissioners shall fix reasonable rates,
including penalties for late payments, for the use, or the
availability for use, of the sanitary facilities of a sewer district
to be paid by every person and public agency whose premises are
served, or capable of being served, by a connection directly or
indirectly to those facilities when those facilities are owned or
operated by the county and may change the rates from time to time as
it considers advisable. When the sanitary facilities to be used by
the county are owned by another public agency or person, the schedule
of rates to be charged by the public agency or person for the use of
the facilities by the county, or the formula or other procedure for
their determination, shall be approved by the board at the time it
enters into a contract for that use.

(B)
The board also shall establish reasonable charges to be collected for
the privilege of connecting to the sanitary facilities of the
district, with the requirement that, prior to the connection, the
charges shall be paid in full, or, if determined by the board to be
equitable in a resolution relating to the payment of the charges,
provision considered adequate by the board shall be made for their
payment in installments at the times, in the amounts, and with the
security, carrying charges, and penalties as may be found by the
board in that resolution to be fair and appropriate. No public agency
or person shall be permitted to connect to those facilities until the
charges have been paid in full or provision for their payment in
installments has been made. If the connection charges are to be paid
in installments, the board shall certify to the county auditor
information sufficient to identify each parcel of property served by
a connection and, with respect to each parcel, the total of the
charges to be paid in installments, the amount of each installment,
and the total number of installments to be paid. The auditor shall
record and maintain the information supplied in the sewer improvement
record provided for in section 6117.33 of the Revised Code until the
connection charges are paid in full. The board may include amounts
attributable to connection charges being paid in installments in its
billings of rates and charges for the use of sanitary facilities.

(C)
When any of the sanitary rates or charges are not paid when due, the
board may do any or all of the following as it considers appropriate:

(1)
Certify the unpaid rates or charges, together with any penalties, to
the county auditor, who shall place them upon the real property tax
list and duplicate against the property served by the connection. The
certified amount shall be a lien on the property from the date placed
on the real property tax list and duplicate and shall be collected in
the same manner as taxes, except that, notwithstanding section 323.15
of the Revised Code, a county treasurer shall accept a payment in
that amount when separately tendered as payment for the full amount
of the unpaid sanitary rates or charges and associated penalties. The
lien shall be released immediately upon payment in full of the
certified amount.

(2)
Collect the unpaid rates or charges, together with any penalties, by
actions at law in the name of the county from an owner, tenant, or
other person or public agency that is liable for the payment of the
rates or charges;

(3)
Terminate, in accordance with established rules, the sanitary service
to the particular property and, if so determined, any county water
service to that property, unless and until the unpaid sanitary rates
or charges, together with any penalties, are paid in full;

(4)
Apply, to the extent required, any security deposit made in
accordance with established rules to the payment of sanitary rates
and charges for service to the particular property.

All
moneys collected as sanitary rates, charges, or penalties fixed or
established in accordance with divisions (A) and (B) of this section
for any sewer district shall be paid to the county treasurer and kept
in a separate and distinct sanitary fund established by the board to
the credit of the district. Except as otherwise provided in any
proceedings authorizing or providing for the security for and payment
of any public obligations, or in any indenture or trust or other
agreement securing public obligations, moneys in the sanitary fund
shall be applied first to the payment of the cost of the management,
maintenance, and operation of the sanitary facilities of, or used or
operated for, the district, which cost may include the county's share
of management, maintenance, and operation costs under cooperative
contracts for the acquisition, construction, or use of sanitary
facilities and, in accordance with a cost allocation plan adopted
under division (E) of this section, payment of all allowable direct
and indirect costs of the district, the county sanitary engineer or
sanitary engineering department, or a federal or state grant program,
incurred for sanitary purposes under this chapter, and shall be
applied second to the payment of debt charges payable on any
outstanding public obligations issued or incurred for the acquisition
or construction of sanitary facilities for or serving the district,
or for the funding of a bond retirement or other fund established for
the payment of or security for the obligations. Any surplus remaining
may be applied to the acquisition or construction of those facilities
or for the payment of contributions to be made, or costs incurred,
for the acquisition or construction of those facilities under
cooperative contracts. Moneys in the sanitary fund shall not be
expended other than for the use and benefit of the district.

(D)
The board may fix reasonable rates and charges, including connection
charges and penalties for late payments, to be paid by any person or
public agency owning or having possession or control of any
properties that are connected with, capable of being served by, or
otherwise served directly or indirectly by, drainage facilities owned
or operated by or under the jurisdiction of the county, including,
but not limited to, properties requiring, or lying within an area of
the district requiring, in the judgment of the board, the collection,
control, or abatement of waters originating or accumulating in, or
flowing in, into, or through, the district, and may change those
rates and charges from time to time as it considers advisable. In
addition, the board may fix the rates and charges in order to pay the
costs of complying with the requirements of phase II of the storm
water program of the national pollutant discharge elimination system
established in 40 C.F.R. part 122.

The
rates and charges shall be payable periodically as determined by the
board, except that any connection charges shall be paid in full in
one payment, or, if determined by the board to be equitable in a
resolution relating to the payment of those charges, provision
considered adequate by the board shall be made for their payment in
installments at the times, in the amounts, and with the security,
carrying charges, and penalties as may be found by the board in that
resolution to be fair and appropriate. The board may include amounts
attributable to connection charges being paid in installments in its
billings of rates and charges for the services provided by the
drainage facilities. In the case of rates and charges that are fixed
in order to pay the costs of complying with the requirements of phase
II of the storm water program of the national pollutant discharge
elimination system established in 40 C.F.R. part 122, the rates and
charges may be paid annually or semiannually with real property
taxes, provided that the board certifies to the county auditor
information that is sufficient for the auditor to identify each
parcel of property for which a rate or charge is levied and the
amount of the rate or charge.

When
any of the drainage rates or charges are not paid when due, the board
may do any or all of the following as it considers appropriate:

(1)
Certify the unpaid rates or charges, together with any penalties, to
the county auditor, who shall place them upon the real property tax
list and duplicate against the property to which the rates or charges
apply. The certified amount shall be a lien on the property from the
date placed on the real property tax list and duplicate and shall be
collected in the same manner as taxes, except that notwithstanding
section 323.15 of the Revised Code, a county treasurer shall accept a
payment in that amount when separately tendered as payment for the
full amount of the unpaid drainage rates or charges and associated
penalties. The lien shall be released immediately upon payment in
full of the certified amount.

(2)
Collect the unpaid rates or charges, together with any penalties, by
actions at law in the name of the county from an owner, tenant, or
other person or public agency that is liable for the payment of the
rates or charges;

(3)
Terminate, in accordance with established rules, the drainage service
for the particular property until the unpaid rates or charges,
together with any penalties, are paid in full;

(4)
Apply, to the extent required, any security deposit made in
accordance with established rules to the payment of drainage rates
and charges applicable to the particular property.

All
moneys collected as drainage rates, charges, or penalties in or for
any sewer district shall be paid to the county treasurer and kept in
a separate and distinct drainage fund established by the board to the
credit of the district. Except as otherwise provided in any
proceedings authorizing or providing for the security for and payment
of any public obligations, or in any indenture or trust or other
agreement securing public obligations, moneys in the drainage fund
shall be applied first to the payment of the cost of the management,
maintenance, and operation of the drainage facilities of, or used or
operated for, the district, which cost may include the county's share
of management, maintenance, and operation costs under cooperative
contracts for the acquisition, construction, or use of drainage
facilities and, in accordance with a cost allocation plan adopted
under division (E) of this section, payment of all allowable direct
and indirect costs of the district, the county sanitary engineer or
sanitary engineering department, or a federal or state grant program,
incurred for drainage purposes under this chapter, and shall be
applied second to the payment of debt charges payable on any
outstanding public obligations issued or incurred for the acquisition
or construction of drainage facilities for or serving the district,
or for the funding of a bond retirement or other fund established for
the payment of or security for the obligations. Any surplus remaining
may be applied to the acquisition or construction of those facilities
or for the payment of contributions to be made, or costs incurred,
for the acquisition or construction of those facilities under
cooperative contracts. Moneys in the drainage fund shall not be
expended other than for the use and benefit of the district.

(E)
A board of county commissioners may adopt a cost allocation plan that
identifies, accumulates, and distributes allowable direct and
indirect costs that may be paid from each of the funds of the
district created pursuant to divisions (C) and (D) of this section,
and that prescribes methods for allocating those costs. The plan
shall authorize payment from each of those funds of only those costs
incurred by the district, the county sanitary engineer or sanitary
engineering department, or a federal or state grant program, and
those costs incurred by the general and other funds of the county for
a common or joint purpose, that are necessary and reasonable for the
proper and efficient administration of the district under this
chapter and properly attributable to the particular fund of the
district. The plan shall not authorize payment from either of the
funds of any general government expense required to carry out the
overall governmental responsibilities of a county. The plan shall
conform to United States office of management and budget Circular
A-87, "Cost Principles for State, Local, and Indian Tribal
Governments," published May 17, 1995.

(F)
A board of county commissioners may establish discounted rates or
charges or may establish another mechanism for providing a reduction
in rates or charges for persons who are
sixty-five

any
of the following:

(1)
Sixty-five
years
of age or older
.
The board shall establish eligibility requirements for such
discounted or reduced rates or charges, including a requirement that
a person be eligible for the homestead exemption or qualify as a low-
and
;

(2)
Low- and
moderate-income

person.

persons;

(3)
Experiencing temporary hardship.

Section
2.
That
existing section 6117.02 of the Revised Code is hereby repealed.