HB 109: Regards local regulation, taxing of short-term rental properties

As Introduced

136th General Assembly Regular Session 2025-2026

H. B. No. 109

Representative Pizzulli

A B I L L

To amend sections 351.01, 351.021, 353.06, 4735.11, 1
5739.01, 5739.08, 5739.09, 5739.091, and 5741.01 2
and to enact section 5325.01 of the Revised Code 3
to limit the authority of local governments to 4
regulate short-term rental properties, to extend 5
local lodging taxes to short-term rentals, to 6
require collection of those taxes by short-term 7
rental platforms, and to require real estate 8
licenses to be issued electronically. 9

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

Section 1. That sections 351.01, 351.021, 353.06, 4735.11, 10
5739.01, 5739.08, 5739.09, 5739.091, and 5741.01 be amended and 11
section 5325.01 of the Revised Code be enacted to read as 12
follows: 13

Sec. 351.01. As used in this chapter: 14

(A) "Convention facilities authority" means a body 15
corporate and politic created pursuant to section 351.02 of the 16
Revised Code. 17
(B) "Governmental agency" means a department, division, or 18
other unit of the state government or of a municipal 19

H. B. No. 109 As Introduced

corporation, county, township, or other political subdivision of 20
the state; any state university or college, as defined in 21
section 3345.12 of the Revised Code, community college, state 22
community college, university branch, or technical college; any 23
other public corporation or agency having the power to acquire, 24
construct, or operate facilities; the United States or any 25
agency thereof; and any agency, commission, or authority 26
established pursuant to an interstate compact or agreement. 27
(C) "Person" means any individual, firm, partnership, 28
association, or corporation, or any combination of them. 29
(D) "Facility" or "facilities" means any convention, 30
entertainment, or sports facility, or combination of them, 31
located within the territory of the convention facilities 32
authority, together with all hotels, parking facilities, 33
walkways, and other auxiliary facilities, real and personal 34
property, property rights, easements and interests that may be 35
appropriate for, or used in connection with, the operation of 36
the facility. 37
(E) "Cost" means the cost of acquisition of all land, 38
rights-of-way, property rights, easements, franchise rights, and 39
interests required for such acquisition; the cost of demolishing 40
or removing any buildings or structures on land so acquired, 41
including the cost of acquiring any lands to which such 42
buildings or structures may be moved; the cost of acquiring or 43
constructing and equipping a principal office of the convention 44
facilities authority; the cost of diverting highways, 45
interchange of highways, access roads to private property, 46
including the cost of land or easements for such access roads; 47
the cost of public utility and common carrier relocation or 48
duplication; the cost of all machinery, furnishings, and 49

H. B. No. 109 As Introduced

equipment; financing charges; interest prior to and during 50
construction and for no more than eighteen months after 51
completion of construction; expenses of research and development 52
with respect to facilities; legal expenses; expenses of 53
obtaining plans, specifications, engineering surveys, studies, 54
and estimates of cost and revenues; working capital; expenses 55
necessary or incident to determining the feasibility or 56
practicability of acquiring or constructing such facility; 57
administrative expense; and such other expenses as may be 58
necessary or incident to the acquisition or construction of the 59
facility, the financing of such acquisition or construction, 60
including the amount authorized in the resolution of the 61
convention facilities authority providing for the issuance of 62
convention facilities authority revenue bonds to be paid into 63
any special funds from the proceeds of such bonds, the cost of 64
issuing the bonds, and the financing of the placing of such 65
facility in operation. Any obligation, cost, or expense incurred 66
by any governmental agency or person for surveys, borings, 67
preparation of plans and specifications, and other engineering 68
services, or any other cost described above, in connection with 69
the acquisition or construction of a facility may be regarded as 70
part of the cost of such facility and may be reimbursed out of 71
the proceeds of convention facilities authority revenue bonds as 72
authorized by this chapter. 73
(F) "Owner" includes a person having any title or interest 74
in any property, rights, easements, or interests authorized to 75
be acquired by Chapter 351. of the Revised Code. 76
(G) "Revenues" means all rentals and other charges 77
received by the convention facilities authority for the use or 78
services of any facility, the sale of any merchandise, or the 79
operation of any concessions; any gift or grant received with 80

H. B. No. 109 As Introduced

respect to any facility, any moneys received with respect to the 81
lease, sublease, sale, including installment sale or conditional 82
sale, or other disposition of a facility or part thereof; moneys 83
received in repayment of and for interest on any loans made by 84
the authority to a person or governmental agency, whether from 85
the United States or any department, administration, or agency 86
thereof, or otherwise; proceeds of convention facilities 87
authority revenue bonds to the extent the use thereof for 88
payment of principal or of premium, if any, or interest on the 89
bonds is authorized by the authority; proceeds from any 90
insurance, appropriation, or guaranty pertaining to a facility 91
or property mortgaged to secure bonds or pertaining to the 92
financing of the facility; income and profit from the investment 93
of the proceeds of convention facilities authority revenue bonds 94
or of any revenues; contributions of the proceeds of a tax 95
levied pursuant to division (C) of section 5739.09 of the 96
Revised Code; and moneys transmitted to the authority pursuant 97
to division (B) of section 5739.211 and division (B) of section 98
5741.031 of the Revised Code. 99
(H) "Public roads" includes all public highways, roads, 100
and streets in the state, whether maintained by the state, 101
county, city, township, or other political subdivision. 102
(I) "Construction," unless the context indicates a 103
different meaning or intent, includes, but is not limited to, 104
reconstruction, enlargement, improvement, or providing fixtures, 105
furnishings, and equipment. 106
(J) "Convention facilities authority revenue bonds" or 107
"revenue bonds," unless the context indicates a different 108
meaning or intent, includes convention facilities authority 109
revenue notes, convention facilities authority revenue renewal 110

H. B. No. 109 Page 5 As Introduced

notes, and convention facilities authority revenue refunding 111
bonds. 112
(K) "Convention facilities authority tax anticipation 113
bonds" or "tax anticipation bonds," unless the context indicates 114
a different meaning, includes convention facilities authority 115
tax anticipation bonds, tax anticipation notes, tax anticipation 116
renewal notes, and tax anticipation refunding bonds. 117
(L) "Bonds and notes" means convention facilities 118
authority revenue bonds and convention facilities authority tax 119
anticipation bonds. 120
(M) "Territory of the authority" means all of the area of 121
the county creating the convention facilities authority. 122
(N) "Excise taxes" means any of the taxes levied pursuant 123
to division (B) or (C) of section 351.021 of the Revised Code. 124
"Excise taxes" does not include taxes levied pursuant to section 125
4301.424, 5743.026, or 5743.324 of the Revised Code. 126
(O) "Transaction" means the charge by a hotel or short- 127
term rental property for each occupancy by transient guests of a 128
room or suite of rooms used in a hotel or short-term rental 129
property as a single unit for any period of twenty-four hours or 130
less. 131
(P) "Hotel" "Hotel," "short-term rental property," and 132
"transient guests" have the same meanings as in section 5739.01 133
of the Revised Code. 134
(Q) "Sports facility" means a facility intended to house 135
major league professional athletic teams. 136
(R) "Constructing" or "construction" includes providing 137
fixtures, furnishings, and equipment. 138

H. B. No. 109 As Introduced

Sec. 351.021. (A) The resolution of the county 139
commissioners creating a convention facilities authority, or any 140
amendment or supplement to that resolution, may authorize the 141
authority to levy one or both of the excise taxes authorized by 142
division (B) of this section to pay the cost of one or more 143
facilities; to pay principal, interest, and premium on 144
convention facilities authority tax anticipation bonds issued to 145
pay those costs; to pay the operating costs of the authority; to 146
pay operating and maintenance costs of those facilities; and to 147
pay the costs of administering the excise tax. 148
(B) The board of directors of a convention facilities 149
authority that has been authorized pursuant to resolution 150
adopted, amended, or supplemented by the board of county 151
commissioners pursuant to division (A) of this section may levy, 152
by resolution adopted on or before December 31, 1988, either or 153
both of the following: 154
(1) Within the territory of the authority, an additional 155
excise tax not to exceed four per cent on each transaction. The 156
excise tax authorized by division (B)(1) of this section shall 157
be in addition to any excise tax levied pursuant to section 158
5739.08 or 5739.09 of the Revised Code, or division (B)(2) of 159
this section. 160
(2) Within that portion of any municipal corporation that 161
is located within the territory of the authority or within the 162
boundaries of any township that is located within the territory 163
of the authority, which municipal corporation or township is 164
levying any portion of the excise tax authorized by division (A) 165
of section 5739.08 of the Revised Code, and with the approval, 166
by ordinance or resolution, of the legislative authority of that 167
municipal corporation or township, an additional excise tax not 168

H. B. No. 109 As Introduced

to exceed nine-tenths of one per cent on each transaction. The 16
excise tax authorized by division (B)(2) of this section may be 17
levied only if, on the effective date of the levy specified in 17
the resolution making the levy, the amount being levied pursuant 17
to division (A) of section 5739.08 of the Revised Code by each 17
municipal corporation or township in which the tax authorized by 17
division (B)(2) of this section will be levied, when added to 17
the amount levied under division (B)(2) of this section, does 17
not exceed three per cent on each transaction. The excise tax 17
authorized by division (B)(2) of this section shall be in 17
addition to any excise tax that is levied pursuant to section 17
5739.08 or 5739.09 of the Revised Code, or division (B)(1) of 18
this section. 18
(C)(1) The board of directors of a convention facilities 182
authority that is located in an eligible Appalachian county; 183
that has been authorized pursuant to resolution adopted, 184
amended, or supplemented by the board of county commissioners 185
pursuant to division (A) of this section; and that is not 186
levying a tax under division (B)(1) or (2) of this section may 187
levy within the territory of the authority, by resolution 188
adopted on or before December 31, 2005, an additional excise tax 189
not to exceed three per cent on each transaction. The excise tax 190
authorized under division (C)(1) of this section shall be in 191
addition to any excise tax levied pursuant to section 5739.08 or 192
5739.09 of the Revised Code. 193
As used in division (C)(1) of this section, "eligible 194
Appalachian county" means a county in this state designated as 195
being in the "Appalachian region" under the "Appalachian 196
Regional Development Act of 1965," 79 Stat. 4, 40 U.S.C. App. 197
403, and having a population less than eighty thousand according 198
to the most recent federal decennial census. 199

H. B. No. 109 As Introduced

(2) Division (C)(2) of this section applies only to a 200
convention facilities authority located in a county with a 201
population, according to the 2000 federal decennial census, of 202
at least one hundred thirty-five thousand and not more than one 203
hundred fifty thousand and containing entirely within its 204
boundaries the territory of a municipal corporation with a 205
population according to that census of more than fifty thousand. 206
The board of directors of such a convention facilities 207
authority, by resolution adopted on or before November 1, 2009, 208
may levy within the territory of the authority an excise tax on 209
transactions by which lodging by a hotel or short-term rental 210
property is or is to be furnished to transient guests at a rate 211
not to exceed three per cent on such transactions for the same 212
purposes for which a tax may be levied under division (B) of 213
this section. The resolution may be adopted only if the board of 214
county commissioners of the county, by resolution, authorizes 215
the levy of the tax. The resolution of the board of county 216
commissioners is subject to referendum as prescribed by sections 217
305.31 to 305.41 of the Revised Code. If, pursuant to those 218
procedures, a referendum is to be held, the board's resolution 219
does not take effect until approved by a majority of electors 220
voting on the question. The convention facilities authority may 221
adopt the resolution authorized by division (C)(2) of this 222
section before the election, but the authority's resolution 223
shall not take effect if the board of commissioners' resolution 224
is not approved at the election. A tax levied under division (C) 225
(2) of this section is in addition to any tax levied under 226
section 5739.09 of the Revised Code. 227

H. B. No. 109 As Introduced

members of the board on or before November 1, 2021, amend the 231
resolution levying the tax to increase the rate of the tax by 232
not more than an additional one per cent on each transaction. 233
The resolution shall provide that all revenue from the increase 234
in rate shall be used for the same purposes for which a tax may 235
be levied under division (B) of this section. The resolution may 236
be adopted only if the board of county commissioners of the 237
county, by resolution, authorizes the rate increase. 238

(3) The board of directors of a convention facilities authority created between July 1, 2019, and December 31, 2019, by resolution adopted on or before December 30, 2020, may levy within the territory of the authority an excise tax on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests at a rate not to exceed three per cent on such transactions for the purposes described in division (A) of this section. This tax shall be in addition to any excise tax levied pursuant to this section or section 5739.08 or 5739.09 of the Revised Code. The resolution levying the tax shall not take effect sooner than ninety days after the convention facilities authority is created.

(D) The authority shall provide for the administration and 252
allocation of an excise tax levied pursuant to division (B) or 253
(C) of this section. All receipts arising from those excise 254
taxes shall be expended for the purposes provided in, and in 255
accordance with this section and section 351.141 of the Revised 256
Code. An excise tax levied under division (B) or (C) of this 257
section shall remain in effect at the rate at which it is levied 258
for at least the duration of the period for which the receipts 259
from the tax have been anticipated and pledged pursuant to 260
section 351.141 of the Revised Code. 261

H. B. No. 109 As Introduced

(E) Except as provided in division (B)(2) of this section, 262
the levy of an excise tax on each transaction pursuant to 263
sections 5739.08 and 5739.09 of the Revised Code does not 264
prevent a convention facilities authority from levying an excise 265
tax pursuant to division (B) or (C) of this section. 266

(F) A convention facilities authority located in a county with a population greater than eighty thousand but less than ninety thousand according to the 2010 federal decennial census that levies a tax under division (B) of this section may amend the resolution levying the tax to allocate a portion of the revenue from the tax for support of tourism-related sites or facilities and programs operated by the county or a municipal corporation within the county in which the authority is located or for the purpose of leasing lands for county fairs, erecting buildings for county fair purposes, making improvements on a county fairground, or for any purpose connected with the use of a county fairground or with the management thereof by the county in which the authority is located. The revenue allocated by the authority for such purposes in a calendar year shall not exceed twenty-five per cent of the total revenue from the tax in the preceding calendar year. Revenue allocated for such purposes that is not fully used by the end of the calendar year may be carried forward for use in subsequent calendar years. Any amount carried forward does not count toward the limitation on the amount that may be allocated for such purposes in succeeding calendar years.

Sec. 353.06. As used in this section, "hotel" "hotel," "short-term rental property," and "transient guests" have the same meanings as in section 5739.01 of the Revised Code.

A resolution creating a lake facilities authority under

H. B. No. 109 As Introduced

section 353.02 of the Revised Code, or any amendments or 292
supplements thereto, may authorize the authority to levy an 293
excise tax on transactions by which lodging in a hotel or short- 294
term rental property is or is to be furnished to transient 295
guests to pay any costs authorized under this chapter; to pay 296
principal, interest, and premium on lake facilities authority 297
tax anticipation bonds issued to pay those costs; to pay the 298
operating costs of the authority; and to pay the costs of 299
administering the tax. 300

Upon the affirmative vote of at least a majority of the qualified electors in a primary or general election within the impacted lake district voting at an election held for the purpose of authorizing the tax, the board of directors of a lake facilities authority authorized to levy a tax under this section may, by resolution, levy an additional excise tax within the territory of the impacted lake district on all transactions by which lodging in a hotel or short-term rental property is or is to be furnished to transient guests. The rate of the tax, when added to the aggregate rate of excise taxes levied in the impacted lake district pursuant to section 351.021, 5739.08, or 5739.09 of the Revised Code, shall not cause the total aggregate rate to exceed five per cent on any such transaction.

The lake facilities authority shall provide for the 314
administration and allocation of a tax levied pursuant to this 315
section. All receipts arising from the tax shall be expended for 316
the purposes provided in, and in accordance with, this section. 317
An excise tax levied under this section shall remain in effect 318
at the rate at which it is levied for at least the duration of 319
the period for which the receipts from the tax have been 320
anticipated and pledged pursuant to section 353.08 of the 321
Revised Code. 322

H. B. No. 109 As Introduced

The form of the ballot in an election held on the question 323
of levying a tax proposed pursuant to this section shall be as 324
follows or in any other form acceptable to the secretary of 325
state: 326
"An excise tax on all transactions by which lodging in a 327
hotel is or is to be furnished to transient guests within the 328
territory of the (name of impacted lake district) 329
for the purpose of at a rate of for 330
(number of years the tax is to be levied). 331
Sec. 4735.11. The form and size of licenses Licenses 333
issued under this chapter shall be issued in an electronic 334
format in a form and size prescribed by the Ohio real estate 335
commission. Each broker's or foreign real estate dealer's 336
license shall show the name and address of the licensee, and in 337
the case of partnership, association, limited liability company, 338
limited liability partnership, and corporation licenses, the 339
name and address of each of the members or officers of the 340
partnership, association, limited liability company, limited 341
liability partnership, or corporation. A real estate 342
salesperson's license or a foreign real estate salesperson's 343
license shall show the name of the real estate broker or foreign 344
real estate dealer with whom the salesperson is or is to be 345
associated. Each license shall be issued under the seal 346
prescribed in section 121.20 of the Revised Code and be signed 347
by the president of the commission. 348

	For the Excise Tax
	Against the Excise Tax

Sec. 5325.01. (A) As used in this section: 349

H. B. No. 109 As Introduced

(1) "Local government" means a township, county, or 350
municipal corporation. 351
(2) "Short-term rental property" means a house, apartment, 352
condominium, cooperative unit, cabin, cottage, or bungalow, or 353
one or more rooms therein, that is, or are, offered to 354
transients or travelers for a fee for a period of thirty days or 355
less, regardless of whether amenities, including meals, daily 356
housekeeping, concierge services, or linen services, are 357
provided. 358
(B) No local government shall adopt or enforce a 359
regulation, requirement, restriction, or other resolution or 360
ordinance concerning short-term rental properties that relates 361
to any of the following: 362
(1) Prohibiting short-term rental properties; 363
(2) Creation of a lottery system to be eligible for short- 364
term rental property registration; 365
(3) Use of zoning requirements to prohibit or limit short- 366
term rental properties in areas that are zoned to allow for 367
residential use; 368
(4) Restricting the number of short-term rental properties 369
a person may operate; 370
(5) A requirement that an owner of a short-term rental 371
property occupy the short-term rental property. 372
(C) A local government may require registration or 373
licensing of short-term rental properties. Any fee associated 374
with a registration or licensing of a short-term rental property 375
is subject to both of the following: 376
(1) The amount of the fee shall not exceed twenty dollars 377

H. B. No. 109 As Introduced

per year for each short-term rental property.	378
(2) Fees collected by the local government shall be used	379
only for the enforcement of regulations on short-term rental	380
properties.	381
Sec. 5739.01. As used in this chapter:	382
(A) "Person" includes individuals, receivers, assignees,	383
trustees in bankruptcy, estates, firms, partnerships,	384
associations, joint-stock companies, joint ventures, clubs,	385
societies, corporations, the state and its political	386
subdivisions, and combinations of individuals of any form.	387
bumoog u 1o out "bu1s ue "s" (a)	388
transactions for a consideration in any manner, whether	389
absolutely or conditionally, whether for a price or rental, in	390
money or by exchange, and by any means whatsoever:	391
(l） All transactions by which title or possession, or	392
both, of tangible personal property, is or is to be transferred,	393
	394
is to be granted;	395
(2） All transactions by which lodging by a hotel is or is	396
to be furnished to transient guests;	397
(3） All transactions by which:	398
o o d ()	399
repaired, except property, the purchase of which would not be	400
subject to the tax imposed by section 5739.02 of the Revised	401
Code;	402
i t o d1d uod aua o i u (a) installed, except property, the purchase of which would not be	403 404
subject to the tax imposed by section 5739.02 of the Revised	405

H. B. No. 109 As Introduced

Code or property that is or is to be incorporated into and will 406
become a part of a production, transmission, transportation, or 407
distribution system for the delivery of a public utility 408
service; 409
(c) The service of washing, cleaning, waxing, polishing, 410
or painting a motor vehicle is or is to be furnished; 411
(d) Laundry and dry cleaning services are or are to be 412
provided; 413
(e) Automatic data processing, computer services, or 414
electronic information services are or are to be provided for 415
use in business when the true object of the transaction is the 416
receipt by the consumer of automatic data processing, computer 417
services, or electronic information services rather than the 418
receipt of personal or professional services to which automatic 419
data processing, computer services, or electronic information 420
services are incidental or supplemental. Notwithstanding any 421
other provision of this chapter, such transactions that occur 422
between members of an affiliated group are not sales. An 423
"affiliated group" means two or more persons related in such a 424
way that one person owns or controls the business operation of 425
another member of the group. In the case of corporations with 426
stock, one corporation owns or controls another if it owns more 427
than fifty per cent of the other corporation's common stock with 428
voting rights. 429
(f) Telecommunications service, including prepaid calling 430
service, prepaid wireless calling service, or ancillary service, 431
is or is to be provided, but not including coin-operated 432
telephone service; 433

(g) Landscaping and lawn care service is or is to be 434

H. B. No. 109 As Introduced

provided; 435

(h) Private investigation and security service is or is to 436
be provided; 437
(i) Information services or tangible personal property is 438
provided or ordered by means of a nine hundred telephone call; 439
(j) Building maintenance and janitorial service is or is 440
to be provided; 441
(k) Exterminating service is or is to be provided; 442
(l) Physical fitness facility service is or is to be 443
provided; 444
(m) Recreation and sports club service is or is to be 445
provided; 446
(n) Satellite broadcasting service is or is to be 447
provided; 448
(o) Personal care service is or is to be provided to an 449
individual. As used in this division, "personal care service" 450
includes skin care, the application of cosmetics, manicuring, 451
pedicuring, hair removal, tattooing, body piercing, tanning, 452
massage, and other similar services. "Personal care service" 453
does not include a service provided by or on the order of a 454
licensed physician, certified nurse-midwife, clinical nurse 455
specialist, certified nurse practitioner, or chiropractor, or 456
the cutting, coloring, or styling of an individual's hair. 457
(p) The transportation of persons by motor vehicle or 458
aircraft is or is to be provided, when the transportation is 459
entirely within this state, except for transportation provided 460
by an ambulance service, by a transit bus, as defined in section 461
5735.01 of the Revised Code, and transportation provided by a 462

H. B. No. 109 As Introduced

citizen of the United States holding a certificate of public 463
convenience and necessity issued under 49 U.S.C. 41102; 464
(q) Motor vehicle towing service is or is to be provided. 465
As used in this division, "motor vehicle towing service" means 466
the towing or conveyance of a wrecked, disabled, or illegally 467
parked motor vehicle. 468
(r) Snow removal service is or is to be provided. As used 469
in this division, "snow removal service" means the removal of 470
snow by any mechanized means, but does not include the providing 471
of such service by a person that has less than five thousand 472
dollars in sales of such service during the calendar year. 473
(s) Electronic publishing service is or is to be provided 474
to a consumer for use in business, except that such transactions 475
occurring between members of an affiliated group, as defined in 476
division (B)(3)(e) of this section, are not sales. 477
(4) All transactions by which printed, imprinted, 478
overprinted, lithographic, multilithic, blueprinted, 479
photostatic, or other productions or reproductions of written or 480
graphic matter are or are to be furnished or transferred; 481
(5) The production or fabrication of tangible personal 482
property for a consideration for consumers who furnish either 483
directly or indirectly the materials used in the production of 484
fabrication work; and include the furnishing, preparing, or 485
serving for a consideration of any tangible personal property 486
consumed on the premises of the person furnishing, preparing, or 487
serving such tangible personal property. Except as provided in 488
section 5739.03 of the Revised Code, a construction contract 489
pursuant to which tangible personal property is or is to be 490
incorporated into a structure or improvement on and becoming a 491

H. B. No. 109 As Introduced

part of real property is not a sale of such tangible personal 492
property. The construction contractor is the consumer of such 493
tangible personal property, provided that the sale and 494
installation of carpeting, the sale and installation of 495
agricultural land tile, the sale and erection or installation of 496
portable grain bins, or the provision of landscaping and lawn 497
care service and the transfer of property as part of such 498
service is never a construction contract. 499

As used in division (B)(5) of this section:

(a) "Agricultural land tile" means fired clay or concrete 501
tile, or flexible or rigid perforated plastic pipe or tubing, 502
incorporated or to be incorporated into a subsurface drainage 503
system appurtenant to land used or to be used primarily in 504
production by farming, agriculture, horticulture, or 505
floriculture. The term does not include such materials when they 506
are or are to be incorporated into a drainage system appurtenant 507
to a building or structure even if the building or structure is 508
used or to be used in such production. 509
(b) "Portable grain bin" means a structure that is used or 510
to be used by a person engaged in farming or agriculture to 511
shelter the person's grain and that is designed to be 512
disassembled without significant damage to its component parts. 513
(6) All transactions in which all of the shares of stock 514
of a closely held corporation are transferred, or an ownership 515
interest in a pass-through entity, as defined in section 5733.04 516
of the Revised Code, is transferred, if the corporation or pass- 517
through entity is not engaging in business and its entire assets 518
consist of boats, planes, motor vehicles, or other tangible 519
personal property operated primarily for the use and enjoyment 520
of the shareholders or owners; 521

H. B. No. 109 As Introduced

(7) All transactions in which a warranty, maintenance or 522
service contract, or similar agreement by which the vendor of 523
the warranty, contract, or agreement agrees to repair or 524
maintain the tangible personal property of the consumer is or is 525
to be provided; 526
(8) The transfer of copyrighted motion picture films used 527
solely for advertising purposes, except that the transfer of 528
such films for exhibition purposes is not a sale; 529
(9) All transactions by which tangible personal property 530
is or is to be stored, except such property that the consumer of 531
the storage holds for sale in the regular course of business; 532
(10) All transactions in which "guaranteed auto 533
protection" is provided whereby a person promises to pay to the 534
consumer the difference between the amount the consumer receives 535
from motor vehicle insurance and the amount the consumer owes to 536
a person holding title to or a lien on the consumer's motor 537
vehicle in the event the consumer's motor vehicle suffers a 538
total loss under the terms of the motor vehicle insurance policy 539
or is stolen and not recovered, if the protection and its price 540
are included in the purchase or lease agreement; 541
(11)(a) Except as provided in division (B)(11)(b) of this 542
section, all transactions by which health care services are paid 543
for, reimbursed, provided, delivered, arranged for, or otherwise 544
made available by a medicaid health insuring corporation 545
pursuant to the corporation's contract with the state. 546
(b) If the centers for medicare and medicaid services of 547
the United States department of health and human services 548
determines that the taxation of transactions described in 549
division (B)(11)(a) of this section constitutes an impermissible 550

H. B. No. 109 As Introduced

health care-related tax under the "Social Security Act," section 551
1903(w), 42 U.S.C. 1396b(w), and regulations adopted thereunder, 552
the medicaid director shall notify the tax commissioner of that 553
determination. Beginning with the first day of the month 554
following that notification, the transactions described in 555
division (B)(11)(a) of this section are not sales for the 556
purposes of this chapter or Chapter 5741. of the Revised Code. 557
The tax commissioner shall order that the collection of taxes 558
under sections 5739.02, 5739.021, 5739.023, 5739.026, 5741.02, 559
5741.021, 5741.022, and 5741.023 of the Revised Code shall cease 560
for transactions occurring on or after that date. 561
(12) All transactions by which a specified digital product 562
is provided for permanent use or less than permanent use, 563
regardless of whether continued payment is required. 564
(13) All transactions by a delivery network company for 565
the company's delivery network services, provided the company 566
has a waiver issued under section 5741.072 of the Revised Code. 567
Except as provided in this section, "sale" and "selling" 568
do not include transfers of interest in leased property where 569
the original lessee and the terms of the original lease 570
agreement remain unchanged, or professional, insurance, or 571
personal service transactions that involve the transfer of 572
tangible personal property as an inconsequential element, for 573
which no separate charges are made. 574
(C) "Vendor" means the person providing the service or by 575
whom the transfer effected or license given by a sale is or is 576
to be made or given and, for sales described in division (B)(3) 577
(i) of this section, the telecommunications service vendor that 578
provides the nine hundred telephone service; if two or more 579
persons are engaged in business at the same place of business 580

H. B. No. 109 As Introduced

under a single trade name in which all collections on account of 581
sales by each are made, such persons shall constitute a single 582
vendor. 583

Physicians, certified nurse-midwives, clinical nurse specialists, certified nurse practitioners, dentists, hospitals, and veterinarians who are engaged in selling tangible personal property as received from others, such as eyeglasses, mouthwashes, dentifrices, or similar articles, are vendors. Veterinarians who are engaged in transferring to others for a consideration drugs, the dispensing of which does not require an order of a licensed veterinarian, physician, certified nursemidwife, clinical nurse specialist, or certified nurse practitioner under federal law, are vendors.

The operator of any peer-to-peer car sharing program shall be considered to be the vendor.

(D)(1) "Consumer" means the person for whom the service is provided, to whom the transfer effected or license given by a sale is or is to be made or given, to whom the service described in division (B)(3)(f) or (i) of this section is charged, or to whom the admission is granted.

(2) Physicians, certified nurse-midwives, clinical nurse specialists, certified nurse practitioners, dentists, hospitals, and blood banks operated by nonprofit institutions and persons licensed to practice veterinary medicine, surgery, and dentistry are consumers of all tangible personal property and services purchased by them in connection with the practice of medicine, dentistry, the rendition of hospital or blood bank service, or the practice of veterinary medicine, surgery, and dentistry. In addition to being consumers of drugs administered by them or by their assistants according to their direction, veterinarians

H. B. No. 109 As Introduced

also are consumers of drugs that under federal law may be 611
dispensed only by or upon the order of a licensed veterinarian, 612
physician, certified nurse-midwife, clinical nurse specialist, 613
or certified nurse practitioner, when transferred by them to 614
others for a consideration to provide treatment to animals as 615
directed by the veterinarian. 616

(3) A person who performs a facility management, or similar service contract for a contractee is a consumer of all tangible personal property and services purchased for use in connection with the performance of such contract, regardless of whether title to any such property vests in the contractee. The purchase of such property and services is not subject to the exception for resale under division (E) of this section.

(4)(a) In the case of a person who purchases printed matter for the purpose of distributing it or having it distributed to the public or to a designated segment of the public, free of charge, that person is the consumer of that printed matter, and the purchase of that printed matter for that purpose is a sale.

(b) In the case of a person who produces, rather than purchases, printed matter for the purpose of distributing it or having it distributed to the public or to a designated segment of the public, free of charge, that person is the consumer of all tangible personal property and services purchased for use or consumption in the production of that printed matter. That person is not entitled to claim exemption under division (B)(42) (f) of section 5739.02 of the Revised Code for any material incorporated into the printed matter or any equipment, supplies, or services primarily used to produce the printed matter.

(c) The distribution of printed matter to the public or to

H. B. No. 109 As Introduced

a designated segment of the public, free of charge, is not a 641
sale to the members of the public to whom the printed matter is 642
distributed or to any persons who purchase space in the printed 643
matter for advertising or other purposes. 644
(5) A person who makes sales of any of the services listed 645
in division (B)(3) of this section is the consumer of any 646
tangible personal property used in performing the service. The 647
purchase of that property is not subject to the resale exception 648
under division (E) of this section. 649
(6) A person who engages in highway transportation for 650
hire is the consumer of all packaging materials purchased by 651
that person and used in performing the service, except for 652
packaging materials sold by such person in a transaction 653
separate from the service. 654

(7) In the case of a transaction for health care services under division (B)(11) of this section, a medicaid health insuring corporation is the consumer of such services. The purchase of such services by a medicaid health insuring corporation is not subject to the exception for resale under division (E) of this section or to the exemptions provided under divisions (B)(12), (18), (19), and (22) of section 5739.02 of the Revised Code.

(E) "Retail sale" and "sales at retail" include all sales, except those in which the purpose of the consumer is to resell the thing transferred or benefit of the service provided, by a person engaging in business, in the form in which the same is, or is to be, received by the person.

(F) "Business" includes any activity engaged in by any 6
person with the object of gain, benefit, or advantage, either 6

H. B. No. 109 As Introduced

direct or indirect. "Business" does not include the activity of 670
a person in managing and investing the person's own funds. 671
(G) "Engaging in business" means commencing, conducting, 672
or continuing in business, and liquidating a business when the 673
liquidator thereof holds itself out to the public as conducting 674
such business. Making a casual sale is not engaging in business. 675
(H)(1)(a) "Price," except as provided in divisions (H)(2), 676
(3), and (4) of this section, means the total amount of 677
consideration, including cash, credit, property, and services, 678
for which tangible personal property or services are sold, 679
leased, or rented, valued in money, whether received in money or 680
otherwise, without any deduction for any of the following: 681
(i) The vendor's cost of the property sold; 682
(ii) The cost of materials used, labor or service costs, 683
interest, losses, all costs of transportation to the vendor, all 684
taxes imposed on the vendor, including the tax imposed under 685
Chapter 5751. of the Revised Code, and any other expense of the 686
vendor; 687
(iii) Charges by the vendor for any services necessary to 688
complete the sale; 689
(iv) Delivery charges. As used in this division, "delivery 690
charges" means charges by the vendor for preparation and 691
delivery to a location designated by the consumer of tangible 692
personal property or a service, including transportation, 693
shipping, postage, handling, crating, and packing. 694
(v) Installation charges; 695
(vi) Credit for any trade-in. 696
(b) "Price" includes consideration received by the vendor 697

H. B. No. 109 As Introduced

from a third party, if the vendor actually receives the 698
consideration from a party other than the consumer, and the 699
consideration is directly related to a price reduction or 700
discount on the sale; the vendor has an obligation to pass the 701
price reduction or discount through to the consumer; the amount 702
of the consideration attributable to the sale is fixed and 703
determinable by the vendor at the time of the sale of the item 704
to the consumer; and one of the following criteria is met: 705

(i) The consumer presents a coupon, certificate, or other document to the vendor to claim a price reduction or discount where the coupon, certificate, or document is authorized, distributed, or granted by a third party with the understanding that the third party will reimburse any vendor to whom the coupon, certificate, or document is presented;

(ii) The consumer identifies the consumer's self to the seller as a member of a group or organization entitled to a price reduction or discount. A preferred customer card that is available to any patron does not constitute membership in such a group or organization.

(iii) The price reduction or discount is identified as a third party price reduction or discount on the invoice received by the consumer, or on a coupon, certificate, or other document presented by the consumer.

(c) "Price" does not include any of the following: 721
(i) Discounts, including cash, term, or coupons that are 722
not reimbursed by a third party that are allowed by a vendor and 723
taken by a consumer on a sale; 724
(ii) Interest, financing, and carrying charges from credit 725
extended on the sale of tangible personal property or services, 726

H. B. No. 109 As Introduced

if the amount is separately stated on the invoice, bill of sale, 727
or similar document given to the purchaser; 728
(iii) Any taxes legally imposed directly on the consumer 729
that are separately stated on the invoice, bill of sale, or 730
similar document given to the consumer. For the purpose of this 731
division, the tax imposed under Chapter 5751. of the Revised 732
Code is not a tax directly on the consumer, even if the tax or a 733
portion thereof is separately stated. 734
(iv) Notwithstanding divisions (H)(1)(b)(i) to (iii) of 735
this section, any discount allowed by an automobile manufacturer 736
to its employee, or to the employee of a supplier, on the 737
purchase of a new motor vehicle from a new motor vehicle dealer 738
in this state. 739
(v) The dollar value of a gift card that is not sold by a 740
vendor or purchased by a consumer and that is redeemed by the 741
consumer in purchasing tangible personal property or services if 742
the vendor is not reimbursed and does not receive compensation 743
from a third party to cover all or part of the gift card value. 744
For the purposes of this division, a gift card is not sold by a 745
vendor or purchased by a consumer if it is distributed pursuant 746
to an awards, loyalty, or promotional program. Past and present 747
purchases of tangible personal property or services by the 748
consumer shall not be treated as consideration exchanged for a 749
gift card. 750
(2) In the case of a sale of any new motor vehicle by a 751

new motor vehicle dealer, as defined in section 4517.01 of the Revised Code, in which another motor vehicle is accepted by the dealer as part of the consideration received, "price" has the same meaning as in division (H)(1) of this section, reduced by the credit afforded the consumer by the dealer for the motor

H. B. No. 109 As Introduced

vehicle received in trade. 757
(3) In the case of a sale of any watercraft or outboard 758
motor by a watercraft dealer licensed in accordance with section 759
1547.543 of the Revised Code, in which another watercraft, 760
watercraft and trailer, or outboard motor is accepted by the 761
dealer as part of the consideration received, "price" has the 762
same meaning as in division (H)(1) of this section, reduced by 763
the credit afforded the consumer by the dealer for the 764
watercraft, watercraft and trailer, or outboard motor received 765
in trade. As used in this division, "watercraft" includes an 766
outdrive unit attached to the watercraft. 767
(4) In the case of transactions for health care services 768
under division (B)(11) of this section, "price" means the amount 769
of managed care premiums received each month by a medicaid 770
health insuring corporation. 771
(I) "Receipts" means the total amount of the prices of the 772
sales of vendors, provided that the dollar value of gift cards 773
distributed pursuant to an awards, loyalty, or promotional 774
program, and cash discounts allowed and taken on sales at the 775
time they are consummated are not included, minus any amount 776
deducted as a bad debt pursuant to section 5739.121 of the 777
Revised Code. "Receipts" does not include the sale price of 778
property returned or services rejected by consumers when the 779
full sale price and tax are refunded either in cash or by 780
credit. 781
(J) "Place of business" means any location at which a 782
person engages in business. 783
(K) "Premises" includes any real property or portion 784
thereof upon which any person engages in selling tangible 785

H. B. No. 109 As Introduced

personal property at retail or making retail sales and also 786
includes any real property or portion thereof designated for, or 787
devoted to, use in conjunction with the business engaged in by 788
such person. 789
(L) "Casual sale" means a sale of an item of tangible 790
personal property that was obtained by the person making the 791
sale, through purchase or otherwise, for the person's own use 792
and was previously subject to any state's taxing jurisdiction on 793
its sale or use, and includes such items acquired for the 794
seller's use that are sold by an auctioneer employed directly by 795
the person for such purpose, provided the location of such sales 796
is not the auctioneer's permanent place of business. As used in 797
this division, "permanent place of business" includes any 798
location where such auctioneer has conducted more than two 799
auctions during the year. 800

(M) "Hotel" means every establishment kept, used, maintained, advertised, or held out to the public to be a place where sleeping accommodations are offered to guests, in which five or more rooms are used for the accommodation of such guests, whether the rooms are in one or several structures, except as otherwise provided in section 5739.091 of the Revised Code.

(N) "Transient guests" means persons occupying a room or 808
rooms for sleeping accommodations for less than thirty 809
consecutive days. 810
(O) "Making retail sales" means the effecting of 811
transactions wherein one party is obligated to pay the price and 812
the other party is obligated to provide a service or to transfer 813
title to or possession of the item sold. "Making retail sales" 814
does not include the preliminary acts of promoting or soliciting 815

H. B. No. 109 As Introduced

the retail sales, other than the distribution of printed matter 816
which displays or describes and prices the item offered for 817
sale, nor does it include delivery of a predetermined quantity 818
of tangible personal property or transportation of property or 819
personnel to or from a place where a service is performed. 820
(P) "Used directly in the rendition of a public utility 821
service" means that property that is to be incorporated into and 822
will become a part of the consumer's production, transmission, 823
transportation, or distribution system and that retains its 824
classification as tangible personal property after such 825
incorporation; fuel or power used in the production, 826
transmission, transportation, or distribution system; and 827
tangible personal property used in the repair and maintenance of 828
the production, transmission, transportation, or distribution 829
system, including only such motor vehicles as are specially 830
designed and equipped for such use. Tangible personal property 831
and services used primarily in providing highway transportation 832
for hire are not used directly in the rendition of a public 833
utility service. In this definition, "public utility" includes a 834
citizen of the United States holding, and required to hold, a 835
certificate of public convenience and necessity issued under 49 836
U.S.C. 41102. 837
(Q) "Refining" means removing or separating a desirable 838
product from raw or contaminated materials by distillation or 839
physical, mechanical, or chemical processes. 840
(R) "Assembly" and "assembling" mean attaching or fitting 841
together parts to form a product, but do not include packaging a 842
product. 843
(S) "Manufacturing operation" means a process in which 844
materials are changed, converted, or transformed into a 845

H. B. No. 109 As Introduced

different state or form from which they previously existed and 846
includes refining materials, assembling parts, and preparing raw 847
materials and parts by mixing, measuring, blending, or otherwise 848
committing such materials or parts to the manufacturing process. 849
"Manufacturing operation" does not include packaging. 850
(T) "Fiscal officer" means, with respect to a regional 851
transit authority, the secretary-treasurer thereof, and with 852
respect to a county that is a transit authority, the fiscal 853
officer of the county transit board if one is appointed pursuant 854
to section 306.03 of the Revised Code or the county auditor if 855
the board of county commissioners operates the county transit 856
system. 857

(U) "Transit authority" means a regional transit authority created pursuant to section 306.31 of the Revised Code or a county in which a county transit system is created pursuant to section 306.01 of the Revised Code. For the purposes of this chapter, a transit authority must extend to at least the entire area of a single county. A transit authority that includes territory in more than one county must include all the area of the most populous county that is a part of such transit authority. County population shall be measured by the most recent census taken by the United States census bureau.

(V) "Legislative authority" means, with respect to a 868
regional transit authority, the board of trustees thereof, and 869
with respect to a county that is a transit authority, the board 870
of county commissioners. 871
(W) "Territory of the transit authority" means all of the 872
area included within the territorial boundaries of a transit 873
authority as they from time to time exist. Such territorial 874
boundaries must at all times include all the area of a single 875

H. B. No. 109 As Introduced

county or all the area of the most populous county that is a 876
part of such transit authority. County population shall be 877
measured by the most recent census taken by the United States 878
census bureau. 879
(X) "Providing a service" means providing or furnishing 880
anything described in division (B)(3) of this section for 881
consideration. 882
(Y)(1)(a) "Automatic data processing" means processing of 883
others' data, including keypunching or similar data entry 884
services together with verification thereof, or providing access 885
to computer equipment for the purpose of processing data. 886
(b) "Computer services" means providing services 887
consisting of specifying computer hardware configurations and 888
evaluating technical processing characteristics, computer 889
programming, and training of computer programmers and operators, 890
provided in conjunction with and to support the sale, lease, or 891
operation of taxable computer equipment or systems. 892
(c) "Electronic information services" means providing 893
access to computer equipment by means of telecommunications 894
equipment for the purpose of either of the following: 895
(i) Examining or acquiring data stored in or accessible to 896
the computer equipment; 897
(ii) Placing data into the computer equipment to be 898
retrieved by designated recipients with access to the computer 899
equipment. 900
"Electronic information services" does not include 901
electronic publishing. 902
(d) "Automatic data processing, computer services, or 903

H. B. No. 109 As Introduced

electronic information services" shall not include personal or 904
professional services. 905
(2) As used in divisions (B)(3)(e) and (Y)(1) of this 906
section, "personal and professional services" means all services 907
other than automatic data processing, computer services, or 908
electronic information services, including but not limited to: 909
(a) Accounting and legal services such as advice on tax 910
matters, asset management, budgetary matters, quality control, 911
information security, and auditing and any other situation where 912
the service provider receives data or information and studies, 913
alters, analyzes, interprets, or adjusts such material; 914
(b) Analyzing business policies and procedures; 915
(c) Identifying management information needs; 916
(d) Feasibility studies, including economic and technical 917
analysis of existing or potential computer hardware or software 918
needs and alternatives; 919
(e) Designing policies, procedures, and custom software 920
for collecting business information, and determining how data 921
should be summarized, sequenced, formatted, processed, 922
controlled, and reported so that it will be meaningful to 923
management; 924
(f) Developing policies and procedures that document how 925
business events and transactions are to be authorized, executed, 926
and controlled; 927
(g) Testing of business procedures; 928
(h) Training personnel in business procedure applications; 929
(i) Providing credit information to users of such 930

H. B. No. 109

As Introduced
	information by a consumer reporting agency， as defined in the	931
	"Fair Credit Reporting Act," 84 Stat. 1114, 1129 (1970)， 15	932
	U.S.C. 168la(f)， or as hereafter amended, including but not	933
	limited to gathering, organizing, analyzing, recording, and	934
	furnishing such information by any oral, written, graphic, or	935
electronic medium;		936
	(j） Providing debt collection services by any oral,	937
	written, graphic, or electronic means;	938
	(k) Providing digital advertising services;	939
	(l） Providing services to electronically file any federal,	940
	state, or local individual income tax return, report, or other	941
	related document or schedule with a federal， state, or local	942
		943
	such individual income tax to such an entity. For the purpose of	944
	this division, "individual income tax" does not include federal,	945
		946
compensation.		947
		948
	section are not automatic data processing or computer services.	949
	" g ()	950
	transportation of personal property belonging to others for	951
	consideration by any of the following:	952
		953
	state or the United States authorizing the holder to engage in	954
	transportation of personal property belonging to others for	955
	consideration over or on highways, roadways, streets, or any	956
similar public thoroughfare;		957
		958
	property belonging to others for consideration over or on	959

H. B. No. 109 As Introduced

highways, roadways, streets, or any similar public thoroughfare 960
but who could not have engaged in such transportation on 961
December 11, 1985, unless the person was the holder of a permit 962
or certificate of the types described in division (Z)(1) of this 963
section; 964
(3) A person who leases a motor vehicle to and operates it 965
for a person described by division (Z)(1) or (2) of this 966
section. 967
"Highway transportation for hire" does not include 968
delivery network services. 969

(AA)(1) "Telecommunications service" means the electronic transmission, conveyance, or routing of voice, data, audio, video, or any other information or signals to a point, or between or among points. "Telecommunications service" includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code, or protocol of the content for purposes of transmission, conveyance, or routing without regard to whether the service is referred to as voice-over internet protocol service or is classified by the federal communications commission as enhanced or value-added. "Telecommunications service" does not include any of the following:

(a) Data processing and information services that allow data to be generated, acquired, stored, processed, or retrieved and delivered by an electronic transmission to a consumer where the consumer's primary purpose for the underlying transaction is the processed data or information;

(b) Installation or maintenance of wiring or equipment on a customer's premises;

H. B. No. 109 As Introduced

(c) Tangible personal property; 989
(d) Advertising, including directory advertising; 990
(e) Billing and collection services provided to third 991
parties; 992
(f) Internet access service; 993
(g) Radio and television audio and video programming 994
services, regardless of the medium, including the furnishing of 995
transmission, conveyance, and routing of such services by the 996
programming service provider. Radio and television audio and 997
video programming services include, but are not limited to, 998
cable service, as defined in 47 U.S.C. 522(6), and audio and 999
video programming services delivered by commercial mobile radio 1000
service providers, as defined in 47 C.F.R. 20.3; 1001
(h) Ancillary service; 1002
(i) Digital products delivered electronically, including 1003
software, music, video, reading materials, or ring tones. 1004
(2) "Ancillary service" means a service that is associated 1005
with or incidental to the provision of telecommunications 1006
service, including conference bridging service, detailed 1007
telecommunications billing service, directory assistance, 1008
vertical service, and voice mail service. As used in this 1009
division: 1010
(a) "Conference bridging service" means an ancillary 1011
service that links two or more participants of an audio or video 1012
conference call, including providing a telephone number. 1013
"Conference bridging service" does not include 1014
telecommunications services used to reach the conference bridge. 1015
(b) "Detailed telecommunications billing service" means an 1016

H. B. No. 109 As Introduced

ancillary service of separately stating information pertaining 1017
to individual calls on a customer's billing statement. 1018
(c) "Directory assistance" means an ancillary service of 1019
providing telephone number or address information. 1020
(d) "Vertical service" means an ancillary service that is 1021
offered in connection with one or more telecommunications 1022
services, which offers advanced calling features that allow 1023
customers to identify callers and manage multiple calls and call 1024
connections, including conference bridging service. 1025
(e) "Voice mail service" means an ancillary service that 1026
enables the customer to store, send, or receive recorded 1027
messages. "Voice mail service" does not include any vertical 1028
services that the customer may be required to have in order to 1029
utilize the voice mail service. 1030
(3) "900 service" means an inbound toll telecommunications 1031
service purchased by a subscriber that allows the subscriber's 1032
customers to call in to the subscriber's prerecorded 1033
announcement or live service, and which is typically marketed 1034
under the name "900 service" and any subsequent numbers 1035
designated by the federal communications commission. "900 1036
service" does not include the charge for collection services 1037
provided by the seller of the telecommunications service to the 1038
subscriber, or services or products sold by the subscriber to 1039
the subscriber's customer. 1040
(4) "Prepaid calling service" means the right to access 1041
exclusively telecommunications services, which must be paid for 1042
in advance and which enables the origination of calls using an 1043
access number or authorization code, whether manually or 1044
electronically dialed, and that is sold in predetermined units 1045

H. B. No. 109 As Introduced

or dollars of which the number declines with use in a known 1046
amount. 1047
(5) "Prepaid wireless calling service" means a 1048
telecommunications service that provides the right to utilize 1049
mobile telecommunications service as well as other non- 1050
telecommunications services, including the download of digital 1051
products delivered electronically, and content and ancillary 1052
services, that must be paid for in advance and that is sold in 1053
predetermined units or dollars of which the number declines with 1054
use in a known amount. 1055
(6) "Value-added non-voice data service" means a 1056
telecommunications service in which computer processing 1057
applications are used to act on the form, content, code, or 1058
protocol of the information or data primarily for a purpose 1059
other than transmission, conveyance, or routing. 1060
(7) "Coin-operated telephone service" means a 1061
telecommunications service paid for by inserting money into a 1062
telephone accepting direct deposits of money to operate. 1063
(8) "Customer" has the same meaning as in section 5739.034 1064
of the Revised Code. 1065
(BB) "Laundry and dry cleaning services" means removing 1066
soil or dirt from towels, linens, articles of clothing, or other 1067
fabric items that belong to others and supplying towels, linens, 1068
articles of clothing, or other fabric items. "Laundry and dry 1069
cleaning services" does not include the provision of self- 1070
service facilities for use by consumers to remove soil or dirt 1071
from towels, linens, articles of clothing, or other fabric 1072
items. 1073
(CC) "Magazines distributed as controlled circulation 1074

H. B. No. 109 As Introduced

publications" means magazines containing at least twenty-four pages, at least twenty-five per cent editorial content, issued at regular intervals four or more times a year, and circulated without charge to the recipient, provided that such magazines are not owned or controlled by individuals or business concerns which conduct such publications as an auxiliary to, and essentially for the advancement of the main business or calling of, those who own or control them.

(DD) "Landscaping and lawn care service" means the services of planting, seeding, sodding, removing, cutting, trimming, pruning, mulching, aerating, applying chemicals, watering, fertilizing, and providing similar services to establish, promote, or control the growth of trees, shrubs, flowers, grass, ground cover, and other flora, or otherwise maintaining a lawn or landscape grown or maintained by the owner for ornamentation or other nonagricultural purpose. However, "landscaping and lawn care service" does not include the providing of such services by a person who has less than five thousand dollars in sales of such services during the calendar year.

(EE) "Private investigation and security service" means the performance of any activity for which the provider of such service is required to be licensed pursuant to Chapter 4749. of the Revised Code, or would be required to be so licensed in performing such services in this state, and also includes the services of conducting polygraph examinations and of monitoring or overseeing the activities on or in, or the condition of, the consumer's home, business, or other facility by means of electronic or similar monitoring devices. "Private investigation and security service" does not include special duty services provided by off-duty police officers, deputy sheriffs, and other

H. B. No. 109 As Introduced

peace officers regularly employed by the state or a political 1106
subdivision. 1107

(FF) "Information services" means providing conversation, giving consultation or advice, playing or making a voice or other recording, making or keeping a record of the number of callers, and any other service provided to a consumer by means of a nine hundred telephone call, except when the nine hundred telephone call is the means by which the consumer makes a contribution to a recognized charity.

(GG) "Research and development" means designing, creating, or formulating new or enhanced products, equipment, or manufacturing processes, and also means conducting scientific or technological inquiry and experimentation in the physical sciences with the goal of increasing scientific knowledge which may reveal the bases for new or enhanced products, equipment, or manufacturing processes.

(HH) "Qualified research and development equipment" means either of the following:

(1) Capitalized tangible personal property, and leased personal property that would be capitalized if purchased, use by a person primarily to perform research and development;

(2) Any tangible personal property used by a megaproject operator primarily to perform research and development at the site of a megaproject that satisfies the criteria described in division (A)(11)(a)(ii) of section 122.17 of the Revised Code during the period that the megaproject operator has an agreement for such megaproject with the tax credit authority under division (D) of that section that remains in effect and has not expired or been terminated.

H. B. No. 109 As Introduced

"Qualified research and development equipment" does not include tangible personal property primarily used in testing, as defined in division (A)(4) of section 5739.011 of the Revised Code, or used for recording or storing test results, unless such property is primarily used by the consumer in testing the product, equipment, or manufacturing process being created, designed, or formulated by the consumer in the research and development activity or in recording or storing such test results.

1135
1136
1137
1138
1139
1140
1141
1142
1143

(II) "Building maintenance and janitorial service" means cleaning the interior or exterior of a building and any tangible personal property located therein or thereon, including any services incidental to such cleaning for which no separate charge is made. However, "building maintenance and janitorial service" does not include the providing of such service by a person who has less than five thousand dollars in sales of such service during the calendar year. As used in this division, "cleaning" does not include sanitation services necessary for an establishment described in 21 U.S.C. 608 to comply with rules and regulations adopted pursuant to that section.

(JJ) "Exterminating service" means eradicating or 1155
attempting to eradicate vermin infestations from a building or 1156
structure, or the area surrounding a building or structure, and 1157
includes activities to inspect, detect, or prevent vermin 1158
infestation of a building or structure. 1159

(KK) "Physical fitness facility service" means all transactions by which a membership is granted, maintained, or renewed, including initiation fees, membership dues, renewal fees, monthly minimum fees, and other similar fees and dues, by a physical fitness facility such as an athletic club, health

H. B. No. 109 As Introduced

spa, or gymnasium, which entitles the member to use the facility for physical exercise.

(LL) "Recreation and sports club service" means all transactions by which a membership is granted, maintained, or renewed, including initiation fees, membership dues, renewal fees, monthly minimum fees, and other similar fees and dues, by a recreation and sports club, which entitles the member to use the facilities of the organization. "Recreation and sports club" means an organization that has ownership of, or controls or leases on a continuing, long-term basis, the facilities used by its members and includes an aviation club, gun or shooting club, yacht club, card club, swimming club, tennis club, golf club, country club, riding club, amateur sports club, or similar organization.

1165
1166
1167
1168
1169
1170
1171
1172
1173
1174
1175
1176
1177
1178
k" means farm animals commonly raised for 1179
food, food production, or other agricultural purposes, 1180
including, but not limited to, cattle, sheep, goats, swine, 1181
poultry, and captive deer. "Livestock" does not include 1182
invertebrates, amphibians, reptiles, domestic pets, animals for 1183
use in laboratories or for exhibition, or other animals not 1184
commonly raised for food or food production. 1185
(NN) "Livestock structure" means a building or structure 1186
used exclusively for the housing, raising, feeding, or 1187
sheltering of livestock, and includes feed storage or handling 1188
structures and structures for livestock waste handling. 1189
(OO) "Horticulture" means the growing, cultivation, and 1190
production of flowers, fruits, herbs, vegetables, sod, 1191
mushrooms, and nursery stock. As used in this division, "nursery 1192
stock" has the same meaning as in section 927.51 of the Revised 1193
1194

Code.

H. B. No. 109 As Introduced

	structure used exclusively for the commercial growing, raising,		1196
	or overwintering of horticultural products, and includes the		1197
	area used for stocking, storing, and packing horticultural		1198
			1199
products.			1200
			1201
	title or name that is regularly published, at least as		1202
	frequently as biweekly， and distributed from a fixed place of		1203
	business to the public in a specific geographic area, and that		1204
	contains a substantial amount of news matter of international,		1205
	national, or local events of interest to the general public.		1206
			1207
	liners, menstrual cups, sanitary napkins, and other similar		1208
			1209
	connection with the human menstrual cycle, but does not include		1210
onpoid utbu pue butwoob			1211
			1212
	pue sdeos suaw "saonpoid auatbu pue butwooto () cleaning solutions, shampoo, toothpaste, mouthwash,		1213
			1214
	antiperspirants, and sun tan lotions and screens, regardless of		1215
	whether any of these products are over-the-counter drugs.
	uuo a o-a- ()		1216
			1217
	C.F.R. 201.66, which label includes a drug facts panel or a		1218
	statement of the active ingredients with a list of those		1219
	ingredients contained in the compound, substance, or		1220
preparation.			1221
	(SS)(l） "Lease" or "rental" means any transfer of the
			1222

possession or control of tangible personal property for a fixed 1223

H. B. No. 109 As Introduced

or indefinite term, for consideration. "Lease" or "rental" 1224
includes future options to purchase or extend, and agreements 1225
described in 26 U.S.C. 7701(h)(1) covering motor vehicles and 1226
trailers where the amount of consideration may be increased or 1227
decreased by reference to the amount realized upon the sale or 1228
disposition of the property. "Lease" or "rental" does not 1229
include: 1230
(a) A transfer of possession or control of tangible 1231
personal property under a security agreement or a deferred 1232
payment plan that requires the transfer of title upon completion 1233
of the required payments; 1234
(b) A transfer of possession or control of tangible 1235
personal property under an agreement that requires the transfer 1236
of title upon completion of required payments and payment of an 1237
option price that does not exceed the greater of one hundred 1238
dollars or one per cent of the total required payments; 1239
(c) Providing tangible personal property along with an 1240
operator for a fixed or indefinite period of time, if the 1241
operator is necessary for the property to perform as designed. 1242
For purposes of this division, the operator must do more than 1243
maintain, inspect, or set up the tangible personal property. 1244
(2) "Lease" and "rental," as defined in division (SS) of 1245
this section, shall not apply to leases or rentals that exist 1246
before June 26, 2003. 1247
(3) "Lease" and "rental" have the same meaning as in 1248
division (SS)(1) of this section regardless of whether a 1249
transaction is characterized as a lease or rental under 1250
generally accepted accounting principles, the Internal Revenue 1251
Code, Title XIII of the Revised Code, or other federal, state, 1252

H. B. No. 109 As Introduced

or local laws.

(TT) "Mobile telecommunications service" has the same meaning as in the "Mobile Telecommunications Sourcing Act," Pub. L. No. 106-252, 114 Stat. 631 (2000), 4 U.S.C.A. 124(7), as amended, and, on and after August 1, 2003, includes related fees and ancillary services, including universal service fees, detailed billing service, directory assistance, service initiation, voice mail service, and vertical services, such as caller ID and three-way calling.

(UU) "Certified service provider" has the same meaning as in section 5740.01 of the Revised Code.

1253
1254
1255
1256
1257
1258
1259
1260
1261
1262
1263
1264
1265
1266
1267
1268
1269
1270
1271
1272
1273
(WW) "Tangible personal property" means personal property 1274
1275
1276
1277
1278
1279
(XX) "Municipal gas utility" means a municipal corporation 1280
1281

(VV) "Satellite broadcasting service" means the distribution or broadcasting of programming or services by satellite directly to the subscriber's receiving equipment without the use of ground receiving or distribution equipment, except the subscriber's receiving equipment or equipment used in the uplink process to the satellite, and includes all service and rental charges, premium channels or other special services, installation and repair service charges, and any other charges having any connection with the provision of the satellite broadcasting service.

that can be seen, weighed, measured, felt, or touched, or that is in any other manner perceptible to the senses. For purposes of this chapter and Chapter 5741. of the Revised Code, "tangible personal property" includes motor vehicles, electricity, water, gas, steam, and prewritten computer software.

that owns or operates a system for the distribution of natural

H. B. No. 109 As Introduced

gas. 1282

(YY) "Computer" means an electronic device that accepts 1283
information in digital or similar form and manipulates it for a 1284
result based on a sequence of instructions. 1285
(ZZ) "Computer software" means a set of coded instructions 1286
designed to cause a computer or automatic data processing 1287
equipment to perform a task. 1288
(AAA) "Delivered electronically" means delivery of 1289
computer software from the seller to the purchaser by means 1290
other than tangible storage media. 1291
(BBB) "Prewritten computer software" means computer 1292
software, including prewritten upgrades, that is not designed 1293
and developed by the author or other creator to the 1294
specifications of a specific purchaser. The combining of two or 1295
more prewritten computer software programs or prewritten 1296
portions thereof does not cause the combination to be other than 1297
prewritten computer software. "Prewritten computer software" 1298
includes software designed and developed by the author or other 1299
creator to the specifications of a specific purchaser when it is 1300
sold to a person other than the purchaser. If a person modifies 1301
or enhances computer software of which the person is not the 1302
author or creator, the person shall be deemed to be the author 1303
or creator only of such person's modifications or enhancements. 1304
Prewritten computer software or a prewritten portion thereof 1305
that is modified or enhanced to any degree, where such 1306
modification or enhancement is designed and developed to the 1307
specifications of a specific purchaser, remains prewritten 1308
computer software; provided, however, that where there is a 1309
reasonable, separately stated charge or an invoice or other 1310
statement of the price given to the purchaser for the 1311

H. B. No. 109 As Introduced

modification or enhancement, the modification or enhancement 1312
shall not constitute prewritten computer software. 1313
(CCC)(1) "Food" means substances, whether in liquid, 1314
concentrated, solid, frozen, dried, or dehydrated form, that are 1315
sold for ingestion or chewing by humans and are consumed for 1316
their taste or nutritional value. "Food" does not include 1317
alcoholic beverages, dietary supplements, soft drinks, or 1318
tobacco. 1319
(2) As used in division (CCC)(1) of this section: 1320
(a) "Dietary supplements" means any product, other than 1321
tobacco, that is intended to supplement the diet and that is 1322
intended for ingestion in tablet, capsule, powder, softgel, 1323
gelcap, or liquid form, or, if not intended for ingestion in 1324
such a form, is not represented as conventional food for use as 1325
a sole item of a meal or of the diet; that is required to be 1326
labeled as a dietary supplement, identifiable by the "supplement 1327
facts" box found on the label, as required by 21 C.F.R. 101.36; 1328
and that contains one or more of the following dietary 1329
ingredients: 1330
(i) A vitamin; 1331
(ii) A mineral; 1332
(iii) An herb or other botanical; 1333
(iv) An amino acid; 1334
(v) A dietary substance for use by humans to supplement 1335
the diet by increasing the total dietary intake; 1336
(vi) A concentrate, metabolite, constituent, extract, or 1337
combination of any ingredient described in divisions (CCC)(2)(a) 1338
(i) to (v) of this section. 1339

H. B. No. 109 As Introduced

(b) "Soft drinks" means nonalcoholic beverages that 1340

contain natural or include beverages that contain milk or milk products， soy, rice,

or similar milk substitutes, or that contains greater than fifty per cent vegetable or fruit juice by volume.

1344

(DDD) "Drug" means a compound, substance, or preparation, 1345

and any component of a compound, substance, or preparation, 1346

other than food, dietary supplements, or alcoholic beverages 1347

that is recognized in the official United States pharmacopoeia, 1348

official homeopathic pharmacopoeia of the United States, or 1349

official national formulary, and supplements to them; is 1350

intended for use in the diagnosis, cure, mitigation， treatment, 1351

or prevention of disease; or is intended to affect the structure 1352 1353

or any function of the body.

(EEE） "Prescription" means an order, formula, or recipe 1354

issued in any form of oral, written, electronic, or other means 1355

of transmission by a duly licensed practitioner authorized by 1356

the laws of this state to issue a prescription. 1357

(FFF） "Durable medical equipment" means equipment, 1358

including repair and replacement parts for such equipment, that 1359

can withstand repeated use, is primarily and customarily used to 1360

serve a medical purpose, generally is not useful to a person in 1361

o o ' o o 1362

body. "Durable medical equipment" does not include mobility 1363

enhancing equipment. 1364

1365

including repair and replacement parts for such equipment, that 1366

1367

1368

ability to move from one place to another and is appropriate for

1369

H. B. No. 109 As Introduced

used by persons with normal mobility, and that does not include 1370
any motor vehicle or equipment on a motor vehicle normally 1371
provided by a motor vehicle manufacturer. "Mobility enhancing 1372
equipment" does not include durable medical equipment. 1373
(HHH) "Prosthetic device" means a replacement, corrective, 1374
or supportive device, including repair and replacement parts for 1375
the device, worn on or in the human body to artificially replace 1376
a missing portion of the body, prevent or correct physical 1377
deformity or malfunction, or support a weak or deformed portion 1378
of the body. As used in this division, before July 1, 2019, 1379
"prosthetic device" does not include corrective eyeglasses, 1380
contact lenses, or dental prosthesis. On or after July 1, 2019, 1381
"prosthetic device" does not include dental prosthesis but does 1382
include corrective eyeglasses or contact lenses. 1383
(III)(1) "Fractional aircraft ownership program" means a 1384
program in which persons within an affiliated group sell and 1385
manage fractional ownership program aircraft, provided that at 1386
least one hundred airworthy aircraft are operated in the program 1387
and the program meets all of the following criteria: 1388
(a) Management services are provided by at least one 1389
program manager within an affiliated group on behalf of th 1390
fractional owners. 1391
(b) Each program aircraft is owned or possessed by at 1392
least one fractional owner. 1393
(c) Each fractional owner owns or possesses at least a 1394
one-sixteenth interest in at least one fixed-wing program 1395
aircraft. 1396
(d) A dry-lease aircraft interchange arrangement is in 1397
effect among all of the fractional owners. 1398

H.B.No.109 AsIntroduced	Page 49
	1399
the fractional ownership, management services, and dry-lease	1400
aircraft interchange arrangement aspects of the program.	1401
(2） As used in division (IIl)(l） of this section:	1402
(a) "Affiliated group" has the same meaning as in division	1403
(B)(3)(e) of this section.	1404
(b） "Fractional owner" means a person that owns or
possesses at least a one-sixteenth interest in a program	1405 1406
aircraft and has entered into the agreements described in	1407
division （IlI)(l）(e） of this section.	1408
(c） "Fractional ownership program aircraft" or "program	1409
aircraft" means a turbojet aircraft that is owned or possessed	1410
by a fractional owner and that has been included in a dry-lease	1411
aircraft interchange arrangement and agreement under divisions	1412
(III)(l）(d）and (e）of this section,or an aircraft a program	1413
	1414
aircraft ownership program.	1415
(d) "Management services" means administrative and	1416
aviation support services furnished under a fractional aircraft	1417
ownership program in accordance with a management services	1418
agreement under division (IlI)(l)(e) of this section， and	1419
e oad a o	1420
including, at a minimum, the establishment and implementation of	1421
safety guidelines; the coordination of the scheduling of the	1422
program aircraft and crews; program aircraft maintenance;	1423
	1424
furnished, or contracted by the program manager or the	1425
fractional owner; the satisfaction of record-keeping	1426
requirements; and the development and use of an operations
	1427

H. B. No. 109 As Introduced

manual and a maintenance manual for the fractional aircraft 1428
ownership program. 1429
(e) "Program manager" means the person that offers 1430
management services to fractional owners pursuant to a 1431
management services agreement under division (III)(1)(e) of this 1432
section. 1433

(JJJ) "Electronic publishing" means providing access to one or more of the following primarily for business customers, including the federal government or a state government or a political subdivision thereof, to conduct research: news; business, financial, legal, consumer, or credit materials; editorials, columns, reader commentary, or features; photos or images; archival or research material; legal notices, identity verification, or public records; scientific, educational, instructional, technical, professional, trade, or other literary materials; or other similar information which has been gathered and made available by the provider to the consumer in an electronic format. Providing electronic publishing includes the functions necessary for the acquisition, formatting, editing, storage, and dissemination of data or information that is the subject of a sale.

(KKK) "Medicaid health insuring corporation" means a 1449
health insuring corporation that holds a certificate of 1450
authority under Chapter 1751. of the Revised Code and is under 1451
contract with the department of medicaid pursuant to section 1452
5167.10 of the Revised Code. 1453
(LLL) "Managed care premium" means any premium, 1454
capitation, or other payment a medicaid health insuring 1455
corporation receives for providing or arranging for the 1456
provision of health care services to its members or enrollees 1457

H. B. No. 109

As Introduced
residing in this state.	1458
(MMM) "Captive deer" means deer and other cervidae that	1459
	1460
privately owned for agricultural or farming purposes.	1461
(NNN) "Gift card" means a document, card, certificate, or	1462
other record, whether tangible or intangible, that may be	1463
redeemed by a consumer for a dollar value when making a purchase	1464
of tangible personal property or services.	1465
	1466
transferred digital audiovisual work, digital audio work, or	1467
digital book.	1468
As used in division (ooo） of this section:	1469
(l） "Digital audiovisual work" means a series of related	1470
	1471
motion, together with accompanying sounds, if any.	1472
(2） "Digital audio work" means a work that results from	1473
the fixation of a series of musical， spoken， or other sounds,	1474
including digitized sound files that are downloaded onto a	1475
device and that may be used to alert the customer with respect	1476
to a communication.	1477
(3) "Digital book" means a work that is generally	1478
recognized in the ordinary and usual sense as a book.	1479
(4） "Electronically transferred" means obtained by the	1480
purchaser by means other than tangible storage media.	1481
(PPP) "Digital advertising services" means providing	1482
access, by means of telecommunications equipment, to computer	1483
equipment that is used to enter, upload, download, review,	1484
manipulate, store, add, or delete data for the purpose of	1485

H. B. No. 109 As Introduced

electronically displaying, delivering, placing, or transferring 1486
promotional advertisements to potential customers about products 1487
or services or about industry or business brands. 1488
(QQQ) "Peer-to-peer car sharing program" has the same 1489
meaning as in section 4516.01 of the Revised Code. 1490
(RRR) "Megaproject" and "megaproject operator" have the 1491
same meanings as in section 122.17 of the Revised Code. 1492
(SSS)(1) "Diaper" means an absorbent garment worn by 1493
humans who are incapable of, or have difficulty, controlling 1494
their bladder or bowel movements. 1495
(2) "Children's diaper" means a diaper marketed to be worn 1496
by children. 1497
(3) "Adult diaper" means a diaper other than a children's 1498
diaper. 1499
(TTT) "Sales tax holiday" means three or more dates on 1500
which sales of all eligible tangible personal property are 1501
exempt from the taxes levied under sections 5739.02, 5739.021, 1502
5739.023, 5739.026, 5741.02, 5741.021, 5741.022, and 5741.023 of 1503
the Revised Code. 1504
(UUU) "Eligible tangible personal property" means any item 1505
of tangible personal property that meets both of the following 1506
requirements: 1507
(1) The price of the item does not exceed five hundred 1508
dollars; 1509
(2) The item is not a watercraft or outboard motor 1510
required to be titled pursuant to Chapter 1548. of the Revised 1511
Code, a motor vehicle, an alcoholic beverage, tobacco, a vapor 1512
product as defined in section 5743.01 of the Revised Code, or an 1513

H. B. No. 109 As Introduced

item that contains marijuana as defined in section 3796.01 of 1514
the Revised Code. 1515
(VVV) "Alcoholic beverages" means beverages that are 1516
suitable for human consumption and contain one-half of one per 1517
cent or more of alcohol by volume. 1518
(WWW) "Tobacco" means cigarettes, cigars, chewing or pipe 1519
tobacco, or any other item that contains tobacco. 1520
(XXX)(1) "Delivery network company" means a person that 1521
operates a business platform, including a web site or mobile 1522
application, to facilitate delivery network services. 1523
(2) "Delivery network courier" means an individual 1524
connected to a consumer through a delivery network company and 1525
who provides delivery network services to that consumer. 1526
(3) "Delivery network services" means both of the 1527
following when performed as part of a single transaction: 1528
(a) Pickup of a local product by a delivery network 1529
courier from a local merchant that is not under common ownership 1530
or control of the delivery network company through which the 1531
transaction was initiated, and which may include selection, 1532
collection, and purchase of the local product; 1533
(b) Delivery by the delivery network courier of that local 1534
product to a location designated by the consumer that is not 1535
more than seventy-five miles from the local merchant's place of 1536
business where the pickup described in division (XXX)(3)(a) of 1537
this section occurs. 1538
(4) "Local merchant" means a person engaged in selling 1539
local products from a temporary or fixed place of business in 1540
this state, including a kitchen, restaurant, grocery store, 1541

H. B. No. 109 As Introduced

retail store, or convenience store. 1542

(5) "Local product" means any tangible personal property, including food, but excluding freight, mail, or a package to which postage is affixed.

(YYY) "Short-term rental platform" means a person that operates a business platform that uses any online-enabled application, software, web site, or system to connect owners of short-term rental properties to transient guests to enable the lodging of guests for consideration.

(ZZZ) "Short-term rental property" has the same meaning as in section 5325.01 of the Revised Code.

1543
1544
1545
1546
1547
1548
1549
1550
1551
1552
1553
1554
1555
1556
1557
1558
1559
1560
1561
1562
1563
1564
1565
1566
1567
1568
1569
1570

Sec. 5739.08. (A) A municipal corporation or township may levy an excise tax for any lawful purpose not to exceed three per cent on transactions by which lodging by a hotel or shortterm rental property is or is to be furnished to transient guests in addition to the tax levied by section 5739.02 of the Revised Code. If a municipal corporation or township repeals a tax imposed under division (A) of this section, and a county in which the municipal corporation or township has territory has a tax imposed under division (M) of section 5739.09 of the Revised Code in effect, the municipal corporation or township may not reimpose its tax as long as that county tax remains in effect. A municipal corporation or township in which a tax is levied under division (B)(2) of section 351.021 of the Revised Code may not increase the rate of its tax levied under division (A) of this section to any rate that would cause the total taxes levied under both of those divisions to exceed three per cent on any lodging transaction within the municipal corporation or township.

H. B. No. 109 As Introduced

(B) The legislative authority of a municipal corporation or the board of trustees of a township that is not wholly or partly located in a county that has in effect a resolution levying an excise tax pursuant to division (A) of section 5739.09 of the Revised Code may, by ordinance or resolution, levy an additional excise tax not to exceed three per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The legislative authority of the municipal corporation or the board of trustees of the township shall deposit at least fifty per cent of the revenue from the tax levied pursuant to this division into a separate fund, which shall be spent solely to make contributions to convention and visitors' bureaus operating within the county in which the municipal corporation or township is wholly or partly located, and the balance of that revenue shall be deposited in the general fund. The municipal corporation or township shall establish all regulations necessary to provide for the administration and allocation of the tax. The regulations may prescribe the time for payment of the tax, and may provide for the imposition of a penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed pursuant to section 5703.47 of the Revised Code. The levy of a tax under this division is in addition to any tax imposed on the same transaction by a municipal corporation or a township under division (A) of this section.

(C)(1) As used in division (C) of this section, "cost" has 1598
the same meaning as in section 351.01 of the Revised Code, and 1599
"convention center" has the same meaning as in section 307.695 1600
of the Revised Code. 1601

H. B. No. 109 As Introduced

(2) The legislative authority of the most populous municipal corporation located wholly or partly in a county in which the board of county commissioners has levied a tax under division (D) of section 5739.09 of the Revised Code may amend, on or before September 30, 2002, that municipal corporation's ordinance or resolution that levies an excise tax on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests, to provide for all of the following:

(a) That the rate of the tax shall be increased by not more than an additional one per cent on each transaction;

(b) That all of the revenue from the increase in rate shall be pledged and contributed to a convention facilities authority established by the board of county commissioners under Chapter 351. of the Revised Code on or before May 15, 2002, and be used to pay costs of constructing, expanding, maintaining, operating, or promoting a convention center in the county, including paying bonds, or notes issued in anticipation of bonds, as provided by that chapter;

(c) That the increase in rate shall not be subject to diminution by initiative or referendum or by law while any bonds, or notes in anticipation of bonds, issued by the authority under Chapter 351. of the Revised Code to which the revenue is pledged, remain outstanding in accordance with their terms, unless provision is made by law, by the board of county commissioners, or by the legislative authority, for an adequate substitute therefor that is satisfactory to the trustee if a trust agreement secures the bonds.

(3) The legislative authority of a municipal corporation that, pursuant to division (C)(2) of this section, has amended

H. B. No. 109 As Introduced

its ordinance or resolution to increase the rate of the tax authorized by division (B) of this section may further amend the ordinance or resolution to provide that the revenue referred to in division (C)(2)(b) of this section shall be pledged and contributed both to a convention facilities authority to pay the costs of constructing, expanding, maintaining, or operating one or more convention centers in the county, including paying bonds, or notes issued in anticipation of bonds, as provided in Chapter 351. of the Revised Code, and to a convention and visitors' bureau to pay the costs of promoting one or more convention centers in the county.

(D) As used in division (D) of this section, "eligible municipal corporation" means a municipal corporation that, on September 29, 2017, levied a tax under division (B) of this section at a rate of three per cent and that is located in a county that, on that date, levied a tax under division (A) of section 5739.09 of the Revised Code at a rate of three per cent and that has, according to the most recent federal decennial census, a population exceeding three hundred thousand but not greater than three hundred fifty thousand.

The legislative authority of an eligible municipal corporation may amend, on or before December 31, 2017, that municipal corporation's ordinance or resolution that levies an excise tax on transactions by which lodging by a hotel or shortterm rental property is or is to be furnished to transient guests, to provide for the following:

(1) That the rate of the tax shall be increased by not 1658
more than an additional three per cent on each transaction; 1659
(2) That all of the revenue from the increase in rate 1660
shall be used by the municipal corporation for economic 1661

H. B. No. 109 As Introduced

development and tourism-related purposes.

(E)(1) As used in division (E) of this section, "cost" and "facility" have the same meanings as in section 351.01 of the Revised Code, except that "facility" does not include a "sports facility," as that term is defined in that section, other than a facility intended to house a major league soccer team.

(2) The legislative authority of a municipal corporation that has a population exceeding three hundred thousand but less than three hundred fifty thousand and that has adopted a resolution or ordinance levying a tax authorized by division (A) of this section may amend the resolution or ordinance to provide that all or a portion of the revenue referred to in division (A) of this section may be pledged and contributed to a convention facilities authority or a port authority to pay the costs of acquiring, constructing, renovating, expanding, maintaining, or operating one or more facilities in the county, including paying bonds, or notes issued in anticipation of bonds, or paying the expenses of maintaining, operating, or promoting one or more facilities.

1662
1663
1664
1665
1666
1667
1668
1669
1670
1671
1672
1673
1674
1675
1676
1677
1678
1679
1680
1681
1682
1683
1684
1685
1686
1687
1688
1689
1690
1691

(3) The legislative authority of any municipal corporation that, pursuant to division (C)(2) of this section, has amended a resolution or ordinance levying the tax authorized by division (D) of section 5739.09 of the Revised Code may further amend the resolution or ordinance to provide that all or a portion of the revenue referred to in division (C)(2)(b) of this section may be pledged and contributed to an issuing authority, as defined in section 5739.093 of the Revised Code, to pay the costs of acquiring, constructing, renovating, expanding, maintaining, or operating one or more facilities in the county, including paying bonds, or notes issued in anticipation of bonds, or paying the

H. B. No. 109 As Introduced

expenses of maintaining, operating, or promoting one or more 1692
facilities. 1693

Sec. 5739.09. (A)(1) A board of county commissioners may, by resolution adopted by a majority of the members of the board, levy an excise tax not to exceed three per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The board shall establish all regulations necessary to provide for the administration and allocation of the tax. The regulations may prescribe the time for payment of the tax, and may provide for the imposition of a penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed pursuant to section 5703.47 of the Revised Code. Except as otherwise provided in this section, the regulations shall provide, after deducting the real and actual costs of administering the tax, for the return to each municipal corporation or township that does not levy an excise tax on the transactions, a uniform percentage of the tax collected in the municipal corporation or in the unincorporated portion of the township from each transaction, not to exceed thirty-three and one-third per cent. Except as provided in this section, the remainder of the revenue arising from the tax shall be deposited in a separate fund and shall be spent either (a) to make contributions to the convention and visitors' bureau operating within the county, including a pledge and contribution of any portion of the remainder pursuant to an agreement authorized by section 307.678 or 307.695 of the Revised Code or (b) to pay, if authorized in the regulations, for public safety services in a resort area designated under section 5739.101 of the Revised Code.

H. B. No. 109 As Introduced

(2) If the board of county commissioners of an eligible 1723
county as defined in section 307.678 or 307.695 of the Revised 1724
Code adopts a resolution amending a resolution levying a tax 1725
under division (A) of this section to provide that revenue from 1726
the tax shall be used by the board as described in either 1727
division (D) of section 307.678 or division (H) of section 1728
307.695 of the Revised Code, the remainder of the revenue shall 1729
be used as described in the resolution making that amendment. 1730
(3) Except as provided in division (B), (C), (D), (E), 173
(F), (G), (H), (I), (J), (K), or (Q) of this section, on and 173
after May 10, 1994, a board of county commissioners may not levy 173
an excise tax pursuant to division (A) of this section in any 173
municipal corporation or township located wholly or partly 173
within the county that has in effect an ordinance or resolution 173
levying an excise tax pursuant to division (B) of section 173
5739.08 of the Revised Code. 173

(4) The board of a county that has levied a tax under division (M) of this section may, by resolution adopted within ninety days after July 15, 1985, by a majority of the members of the board, amend the resolution levying a tax under division (A) of this section to provide for a portion of that tax to be pledged and contributed in accordance with an agreement entered into under section 307.695 of the Revised Code. A tax, any revenue from which is pledged pursuant to such an agreement, shall remain in effect at the rate at which it is imposed for the duration of the period for which the revenue from the tax has been so pledged.

(5) The board of county commissioners of an eligible 1750
county as defined in section 307.695 of the Revised Code may, by 1751
resolution adopted by a majority of the members of the board, 1752

H. B. No. 109

AsIntroduced
amend a resolution levying a tax under division (A) of this		1753
	section to provide that the revenue from the tax shall be used	1754
	by the board as described in division (H) of section 307.695 of	1755
	the Revised Code, in which case the tax shall remain in effect	1756
	o g a	1757
	agreement entered into by the board under section 307.695 of the	1758
	Revised Code, the duration during which any securities issued by	1759
	the board under that section are outstanding, or the duration of	1760
	the period during which the board owns a project as defined in	1761
	section 307.695 of the Revised Code, whichever duration is	1762
longest.		1763
	(6） The board of county commissioners of an eligible	1764
	county as defined in section 307.678 of the Revised Code may, by	1765
	resolution, amend a resolution levying a tax under division (A)	1766
	of this section to provide that revenue from the tax, not to	1767
	exceed five hundred thousand dollars each year, may be used as	1768
	described in division (E) of section 307.678 of the Revised	1769
Code.		1770
	(7） Notwithstanding division (A） of this section, the	1771
	board of county commissioners of a county described in division	1772
	(H)(l） of this section may, by resolution, amend a resolution	1773
	levying a tax under division (A) of this section to provide that	1774
	all or a portion of the revenue from the tax, including any	1775
		1776
	municipal corporations under that division, may be used or	1777
	pledged for the payment of debt service on securities issued to	1778
	pay the costs of constructing, operating, and maintaining sports	1779
facilities described in division (H)(2） of this section.		1780
(8） The board of county commissioners of a county		1781
		1782

H. B. No. 109 As Introduced

amend a resolution levying a tax under division (A) of this 1783
section to provide that all or a portion of the revenue from the 1784
tax may be used for the purposes described in section 307.679 of 1785
the Revised Code. 1786

(B) A board of county commissioners that levies an excise tax under division (A) of this section on June 30, 1997, at a rate of three per cent, and that has pledged revenue from the tax to an agreement entered into under section 307.695 of the Revised Code or, in the case of the board of county commissioners of an eligible county as defined in section 307.695 of the Revised Code, has amended a resolution levying a tax under division (M) of this section to provide that proceeds from the tax shall be used by the board as described in division (H) of section 307.695 of the Revised Code, may, at any time by a resolution adopted by a majority of the members of the board, amend the resolution levying a tax under division (A) of this section to provide for an increase in the rate of that tax up to seven per cent on each transaction; to provide that revenue from the increase in the rate shall be used as described in division (H) of section 307.695 of the Revised Code or be spent solely to make contributions to the convention and visitors' bureau operating within the county to be used specifically for promotion, advertising, and marketing of the region in which the county is located; and to provide that the rate in excess of the three per cent levied under division (A) of this section shall remain in effect at the rate at which it is imposed for the duration of the period during which any agreement is in effect that was entered into under section 307.695 of the Revised Code by the board of county commissioners levying a tax under division (A) of this section, the duration of the period during which any securities issued by the board under division (I) of

H. B. No. 109 As Introduced

section 307.695 of the Revised Code are outstanding， or the

1814 duration of the period during which the board owns a project as 1815

defined in section 307.695 of the Revised Code， whichever 1816

duration is longest. The amendment also shall provide that no 1817

portion of that revenue need be returned to townships or 1818

municipal corporations as would otherwise be required under 1819

division (A) of this section. 1820

(C)(l） As used in division (C) of this section, "cost" and 1821 "facility" have the same meanings as in section 35l.0l of the

1822 o 1823

section 307.695 of the Revised Code. 1824

(2） A board of county commissioners that levies a tax 1825

under division (A) of this section on March 18, 1999,at a rate 1826

a u o aa ' d a 1827

forty-five days after March 18, 1999, amend the resolution 1828

levying the tax to provide for all of the following: 1829

(a） That the rate of the tax shall be increased by not 1830

1831

(b） That all of the revenue from the increase in the rate 1832

shall be pledged and contributed to a convention facilities 1833

authority established by the board of county commissioners under 1834

Chapter 351. of the Revised Code on or before November 15, 1998, 1835

and used to pay costs of constructing, maintaining, operating, 1836

'uoa bud bupou 'uoo u ut og buouod pu 1837

or notes issued in anticipation of bonds, as provided by that 1838

chapter; 1839

(c） That no portion of the revenue arising from the 1840

increase in rate need be returned to municipal corporations or 1841 townships as otherwise required under division (A) of this 1842

H.B.No.109 Page 64 As Introduced

section; 1843

(d) That the increase in rate shall not be subject to 1844

diminution by initiative or referendum or by law while any 1845

bonds, or notes in anticipation of bonds， issued by the 1846

g 1847

revenue is pledged, remain outstanding in accordance with their 1848

unoo go pteoa u a to mt a pu st uotstaoid sstun 'suo 1849

commissioners for an adequate substitute therefor that is 1850

satisfactory to the trustee if a trust agreement secures the 1851

bonds. 1852

(3） Division (C) of this section does not apply to the 1853

board of county commissioners of any county in which a 1854

1855

November 15, 1998, or of any county in which a convention 1856

facilities authority levies a tax pursuant to section 35l.02l of 1857

the Revised Code on that date. 1858

(D）(l） As used in division (D） of this section,"cost" has 1859

the same meaning as in section 351.01 of the Revised Code, and 1860 "convention center" has the same meaning as in section 307.695 1861

of the Revised Code. 1862

(2） A board of county commissioners that levies a tax 1863

under division (A) of this section on June 30， 2002， at a rate 1864

1865

September 30, 2002, amend the resolution levying the tax to 1866

provide for all of the following: 1867

(a） That the rate of the tax shall be increased by not 1868

more than an additional three and one-half per cent on each 1869

transaction; 1870

(b） That all of the revenue from the increase in rate 1871

H. B. No. 109 As Introduced

shall be pledged and contributed to a convention facilities 1872
authority established by the board of county commissioners under 1873
Chapter 351. of the Revised Code on or before May 15, 2002, and 1874
be used to pay costs of constructing, expanding, maintaining, 1875
operating, or promoting a convention center in the county, 1876
including paying bonds, or notes issued in anticipation of 1877
bonds, as provided by that chapter; 1878
(c) That no portion of the revenue arising from the 187
increase in rate need be returned to municipal corporations or 1880
townships as otherwise required under division (A) of this 188
section; 1882

(d) That the increase in rate shall not be subject to diminution by initiative or referendum or by law while any bonds, or notes in anticipation of bonds, issued by the authority under Chapter 351. of the Revised Code to which the revenue is pledged, remain outstanding in accordance with their terms, unless provision is made by law or by the board of county commissioners for an adequate substitute therefor that is satisfactory to the trustee if a trust agreement secures the bonds.

(3) Any board of county commissioners that, pursuant to 1892
division (D)(2) of this section, has amended a resolution 1893
levying the tax authorized by division (A) of this section may 1894
further amend the resolution to provide that the revenue 1895
referred to in division (D)(2)(b) of this section shall be 1896
pledged and contributed both to a convention facilities 1897
authority to pay the costs of constructing, expanding, 1898
maintaining, or operating one or more convention centers in the 1899
county, including paying bonds, or notes issued in anticipation 1900
of bonds, as provided in Chapter 351. of the Revised Code, and 1901

H. B. No. 109 As Introduced

	to a convention and visitors' bureau to pay the costs of
promoting one or more convention centers in the county.	1903
(E)(l） As used in division (E） of this section:	1904
o o o o(	1905
Chapter 4582. of the Revised Code.	1906
(b） "Port authority military-use facility" means port	1907
	1908
installation of the armed forces of the United States， a reserve	1909
component thereof, or the national guard and at least part of	1910
which is made available for use, for consideration, by the armed	1911
forces of the United States， a reserve component thereof, or the	1912
national guard.	1913
(2) For the purpose of contributing revenue to pay	1914 1915
authority military-use facility, the board of county	1916
commissioners of a county that created, participated in the	1917
od o o 'o o
both of the following:	1918 1919
(a） Amend a resolution previously adopted under division	1920
(A） of this section to designate some or all of the revenue from the tax levied under the resolution to be used for that purpose,	1921
	1922
notwithstanding that division;	1923
(b） Amend a resolution previously adopted under division	1924
	1925
than an additional two per cent and use the revenue from the	1926
increase exclusively for that purpose.	1927
(3） If a board of county commissioners amends a resolution	1928
to increase the rate of a tax as authorized in division (E)(2)	1929
(b) of this section, the board also may amend the resolution to	1930

H. B. No. 109 As Introduced

specify that the increase in rate of the tax does not apply to 1931
"hotels," as otherwise defined in section 5739.01 of the Revised 1932
Code, having fewer rooms used for the accommodation of guests 1933
than a number of rooms specified by the board. This limitation 1934
on the hotels to which the tax applies does not apply on and 1935
after the first day of the first month starting thirty or more 1936
days after the effective date of this amendment. 1937

(F)(1) A board of county commissioners of a county organized under a county charter adopted pursuant to Article X, Section 3, Ohio Constitution, and that levies an excise tax under division (A) of this section at a rate of three per cent and levies an additional excise tax under division (O) of this section at a rate of one and one-half per cent may, by resolution adopted not later than January 1, 2008, by a majority of the members of the board, amend the resolution levying a tax under division (A) of this section to provide for an increase in the rate of that tax by not more than an additional one per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. Notwithstanding divisions (A) and (O) of this section, the resolution shall provide that all of the revenue from the increase in rate, after deducting the real and actual costs of administering the tax, shall be used to pay the costs of improving, expanding, equipping, financing, or operating a convention center by a convention and visitors' bureau in the county.

(2) The increase in rate shall remain in effect for the period specified in the resolution, not to exceed ten years, and may be extended for an additional period of time not to exceed ten years thereafter by a resolution adopted by a majority of the members of the board.

H. B. No. 109 As Introduced

(3) The increase in rate shall be subject to the regulations adopted under division (A) of this section, except that the resolution may provide that no portion of the revenue from the increase in the rate shall be returned to townships or municipal corporations as would otherwise be required under that division.

(G)(1) Division (G) of this section applies only to a county with a population greater than sixty-five thousand and less than seventy thousand according to the most recent federal decennial census and in which, on December 31, 2006, an excise tax is levied under division (A) of this section at a rate not less than and not greater than three per cent, and in which the most recent increase in the rate of that tax was enacted or took effect in November 1984.

1962
1963
1964
1965
1966
1967
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991

(2) The board of county commissioners of a county to which division (G) of this section applies, by resolution adopted by a majority of the members of the board, may increase the rate of the tax by not more than one per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The increase in rate shall be for the purpose of paying expenses deemed necessary by the convention and visitors' bureau operating in the county to promote travel and tourism.

(3) The increase in rate shall remain in effect for the period specified in the resolution, not to exceed twenty years, provided that the increase in rate may not continue beyond the time when the purpose for which the increase is levied ceases to exist. If revenue from the increase in rate is pledged to the payment of debt charges on securities, the increase in rate is not subject to diminution by initiative or referendum or by law

H. B. No. 109 As Introduced

for so long as the securities are outstanding, unless provision 1992
is made by law or by the board of county commissioners for an 1993
adequate substitute for that revenue that is satisfactory to the 1994
trustee if a trust agreement secures payment of the debt 1995
charges. 1996
(4) The increase in rate shall be subject to the 1997
regulations adopted under division (A) of this section, except 1998
that the resolution may provide that no portion of the revenue 1999
from the increase in the rate shall be returned to townships or 2000
municipal corporations as would otherwise be required under 2001
division (A) of this section. 2002
(5) A resolution adopted under division (G) of this 2003
section is subject to referendum under sections 305.31 to 305.99 2004
of the Revised Code. 2005
(H)(1) Division (H) of this section applies only to a 2006
county satisfying all of the following: 2007
(a) The population of the county is greater than one 2008
hundred seventy-five thousand and less than two hundred twenty- 2009
five thousand according to the most recent federal decennial 2010
census. 2011
(b) An amusement park with an average yearly attendance in 2012
excess of two million guests is located in the county. 2013
(c) On December 31, 2014, an excise tax was levied in the 2014
county under division (A) of this section at a rate of three per 2015
cent. 2016
(2) The board of county commissioners of a county to which 2017
division (H) of this section applies, by resolution adopted by a 2018
majority of the members of the board, may increase the rate of 2019
the tax by not more than one per cent on transactions by which 2020

H. B. No. 109 As Introduced

furnished to transient guests. The increase in rate shall be bureau operating in the county to promote travel and tourism the payment of debt service on securities issued to pay the costs of constructing, operating, and maintaining the sports facilities.

	2021
t guests. The increase in rate shall be	2022
of constructing and maintaining facilities	2023
r by a port authority created under Chapter	2024
Code, and designed to host sporting events	2025
ecessary by the convention and visitors'	2026
he county to promote travel and tourism	2027
sports facilities, and to pay or pledge to	2028
ervice on securities issued to pay the	2029
operating, and maintaining the sports	2030
	2031
ein rate shall remain in effect for the	2032
ne resolution. If revenue from the increase	2033
the payment of debt charges on securities,	2034
is not subject to diminution by initiative	2035
aw for so long as the securities are	2036
rovision is made by law or by the board of	2037
for an adequate substitute for that revenue	2038
to the trustee if a trust agreement secures	2039
harges.	2040
e in rate shall be subject to the	2041
nder division (A） of this section, except	2042
ay provide that no portion of the revenue	2043
the rate shall be returned to townships or	2044
6 as would otherwise be required under	2045
section.	2046
d of county commissioners of a county with	2047
than seventy-five thousand and less than	2048
d, by resolution adopted by a majority of	2049
ard not later than October 15, 2015, may	2050

or referendum or by law for so long as the securities are payment of the debt charges.

municipal corporations as would otherwise be required under division (A) of this section.

H. B. No. 109 As Introduced

increase the rate of the tax by not more than one per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The increase in rate shall be for the purposes described in section 307.679 of the Revised Code or for the promotion of travel and tourism in the county, including travel and tourism to sports facilities.

(2) The increase in rate shall remain in effect for the period specified in the resolution and as necessary to fulfill the county's obligations under a cooperative agreement entered into under section 307.679 of the Revised Code. If the resolution is adopted by the board before September 29, 2015, but after that enactment becomes law, the increase in rate shall become effective beginning on September 29, 2015. If revenue from the increase in rate is pledged to the payment of debt charges on securities, or to substitute for other revenues pledged to the payment of such debt, the increase in rate is not subject to diminution by initiative or referendum or by law for so long as the securities are outstanding, unless provision is made by law or by the board of county commissioners for an adequate substitute for that revenue that is satisfactory to the trustee if a trust agreement secures payment of the debt charges.

(3) The increase in rate shall be subject to the 2074
regulations adopted under division (A) of this section, except 2075
that no portion of the revenue from the increase in the rate 2076
shall be returned to townships or municipal corporations as 2077
would otherwise be required under division (A) of this section. 2078
(J)(1) Division (J) of this section applies only to 2079
counties satisfying either of the following: 2080

H. B. No. 109 As Introduced

(a) A county that, on July 1, 2015, does not levy an excise tax under division (A) of this section and that has a population of at least thirty-nine thousand but not more than forty thousand according to the 2010 federal decennial census;

(b) A county that, on July 1, 2015, levies an excise tax under division (A) of this section at a rate of three per cent and that has a population of at least seventy-one thousand but not more than seventy-five thousand according to 2010 federal decennial census.

(2) The board of county commissioners of a county to which division (J) of this section applies, by resolution adopted by a majority of the members of the board, may levy an excise tax at a rate not to exceed three per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests for the purpose of acquiring, constructing, equipping, or repairing permanent improvements, as defined in section 133.01 of the Revised Code.

2081
2082
2083
2084
2085
2086
2087
2088
2089
2090
2091
2092
2093
2094
2095
2096
2097
2098
2099
2100
2101
2102
2103
2104
2105
2106
2107
2108
2109
2110

(3) If the board does not levy a tax under division (A) of this section, the board shall establish regulations necessary to provide for the administration of the tax, which may prescribe the time for payment of the tax and the imposition of penalty or interest subject to the limitations on penalty and interest provided in division (A) of this section. No portion of the revenue shall be returned to townships or municipal corporations in the county unless otherwise provided by resolution of the board.

(4) The tax shall apply throughout the territory of the county, including in any township or municipal corporation levying an excise tax under division (A) or (B) of section 5739.08 of the Revised Code. The levy of the tax is subject to

H. B. No. 109 As Introduced

endum as provided under section 305.3l of the Revised Code. (5） The tax shall remain in effect for the period

2 111

2112 ied in the resolution. If revenue from the increase in 2113

S pledged to the payment of debt charges on securities, 2114

icrease in rate is not subject to diminution by initiative 2115

o og a o 2116

Hog pieoa aun a 1o m1t Ka apeu st uotstaoid sstun butpu 2117

equate substitute for that revenue that is satisfactory to 2118

custee if a trust agreement secures payment of the debt 2119

2120

es.

(K)(l） The board of county commissioners of an eligible 2121 I, as defined in section 307.678 of the Revised Code, that

2122

s an excise tax under division (A) of this section on July 2123

7， at a rate of three per cent may, by resolution adopted 2124

lajority of the members of the board， amend the resolution 2125

a a x o o x b 2126

ditional three per cent on each transaction. 2127

(2） No portion of the revenue shall be returned to 2128

ips or municipal corporations in the county unless 2129

ise provided by resolution of the board. Otherwise, the 2130

le from the increase in the rate shall be distributed and 2131

n the same manner described under division (A) of this 2132

on or distributed or used to provide credit enhancement 2133

ties as authorized under section 307.678 of the Revised 2134

2135

(3） The increase in rate shall remain in effect for the 2136

2137

o uo a a aa a s 2138

icrease in rate is not subject to diminution by initiative

2139

erendum or by law for so long as the securities are 2140

H. B. No. 109

AsIntroduced

outstanding unless provision is made by law or by the board for 2141

an adequate substitute for that revenue that is satisfactory to 2142

the trustee if a trust agreement secures payment of the debt 2143

charges. 2144

(L）(l） As used in division (L） of this section: 2145

(a） "Eligible county" means a county that has a population 2146

2147

hundred thousand according to the 2010 federal decennial census 2148

and that levies an excise tax under division (A) of this section 2149

at a rate of three per cent. 2150

(b) "Professional sports facility" means a sports facility 2151

that is intended to house major or minor league professional 2152

athletic teams, including a stadium, together with all parking 2153

facilities, walkways, and other auxiliary facilities, real and 2154

personal property, property rights, easements, and interests 2155

that may be appropriate for, or used in connection with, the 2156

operation of the facility. 2157

(2） Subject to division (L)(3) of this section, the board 2158 of county commissioners of an eligible county, by resolution 2159

o a o o o 2160

the rate of the tax by not more than one per cent on 2161

transactions by which lodging by a hotel_or short-term rental 2162

2163

2164

paying the costs of constructing， improving, and maintaining a 2165

2166

2167

operating in the county to promote travel and tourism with 2168

respect to that professional sports facility. The tax shall take 2169

effect only after the convention and visitors' bureau enters 2170

H. B. No. 109 As Introduced

into a contract for the construction, improvement, or maintenance of a professional sports facility that is or will be located on property acquired, in whole or in part, with revenue from the increased rate, and thereafter shall remain in effect for the period specified in the resolution. If revenue from the increase in rate is pledged to the payment of debt charges on securities, the increase in rate is not subject to diminution by initiative or referendum or by law for so long as the securities are outstanding, unless a provision is made by law or by the board of county commissioners for an adequate substitute for that revenue that is satisfactory to the trustee if a trust agreement secures payment of the debt charges. The increase in rate shall be subject to the regulations adopted under division (A) of this section, except that the resolution may provide that no portion of the revenue from the increase in the rate shall be returned to townships or municipal corporations as would otherwise be required under division (A) of this section.

(3) If, on December 31, 2019, the convention and visitors' bureau has not entered into a contract for the construction, improvement, or maintenance of a professional sports facility that is or will be located on property acquired, in whole or in part, with revenue from the increased rate, the authority to levy the tax under division (L)(2) of this section is hereby repealed on that date.

(M)(1) For the purposes described in section 307.695 of the Revised Code and to cover the costs of administering the tax, a board of county commissioners of a county where a tax imposed under division (A) of this section is in effect may, by resolution adopted within ninety days after July 15, 1985, by a majority of the members of the board, levy an additional excise tax not to exceed three per cent on transactions by which

H. B. No. 109 As Introduced

lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The tax authorized by division (M) of this section shall be in addition to any tax that is levied pursuant to divisions (A) to (L) of this section, but it shall not apply to transactions subject to a tax levied by a municipal corporation or township pursuant to section 5739.08 of the Revised Code.

(2) The board shall establish all regulations necessary to provide for the administration and allocation of the tax. The regulations may prescribe the time for payment of the tax, and may provide for the imposition of a penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed pursuant to section 5703.47 of the Revised Code.

(3) All revenues arising from the tax shall be expended in accordance with section 307.695 of the Revised Code. The board of county commissioners of an eligible county as defined in section 307.695 of the Revised Code may, by resolution adopted by a majority of the members of the board, amend the resolution levying a tax under this division to provide that the revenue from the tax shall be used by the board as described in division (H) of section 307.695 of the Revised Code.

(4) A tax imposed under this division shall remain in effect at the rate at which it is imposed for the duration of the period during which any agreement entered into by the board under section 307.695 of the Revised Code is in effect, the duration of the period during which any securities issued by the board under division (I) of section 307.695 of the Revised Code are outstanding, or the duration of the period during which the

H. B. No. 109 As Introduced

board owns a project as defined in section 307.695 of the 2232
Revised Code, whichever duration is longest. 2233

(N)(1) For the purpose of providing contributions under division (B)(1) of section 307.671 of the Revised Code to enable the acquisition, construction, and equipping of a port authority educational and cultural facility in the county and, to the extent provided for in the cooperative agreement authorized by that section, for the purpose of paying debt service charges on bonds, or notes in anticipation of bonds, described in division (B)(1)(b) of that section, a board of county commissioners, by resolution adopted within ninety days after December 22, 1992, by a majority of the members of the board, may levy an additional excise tax not to exceed one and one-half per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The excise tax authorized by division (N) of this section shall be in addition to any tax that is levied pursuant to divisions (A) to (M) of this section, to any excise tax levied pursuant to section 5739.08 of the Revised Code, and to any excise tax levied pursuant to section 351.021 of the Revised Code.

2234
2235
2236
2237
2238
2239
2240
2241
2242
2243
2244
2245
2246
2247
2248
2249
2250
2251
2252
2253
2254
2255
2256
2257
2258
2259
2260
2261

(2) The board of county commissioners shall establish all regulations necessary to provide for the administration and allocation of the tax that are not inconsistent with this section or section 307.671 of the Revised Code. The regulations may prescribe the time for payment of the tax, and may provide for the imposition of a penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed pursuant to section 5703.47 of the Revised Code.

H. B. No. 109 As Introduced

(3) All revenues arising from the tax shall be expended in accordance with section 307.671 of the Revised Code and division (N) of this section. The levy of a tax imposed under division (N) of this section may not commence prior to the first day of the month next following the execution of the cooperative agreement authorized by section 307.671 of the Revised Code by all parties to that agreement.

(4) The tax shall remain in effect at the rate at which it is imposed for the period of time described in division (C) of section 307.671 of the Revised Code for which the revenue from the tax has been pledged by the county to the corporation pursuant to that section, but, to any extent provided for in the cooperative agreement, for no lesser period than the period of time required for payment of the debt service charges on bonds, or notes in anticipation of bonds, described in division (B)(1) (b) of that section.

(O)(1) For the purpose of paying the costs of acquiring, constructing, equipping, and improving a municipal educational and cultural facility, including debt service charges on bonds provided for in division (B) of section 307.672 of the Revised Code, and for any additional purposes determined by the county in the resolution levying the tax or amendments to the resolution, including subsequent amendments providing for paying costs of acquiring, constructing, renovating, rehabilitating, equipping, and improving a port authority educational and cultural performing arts facility, as defined in section 307.674 of the Revised Code, and including debt service charges on bonds provided for in division (B) of section 307.674 of the Revised Code, the legislative authority of a county, by resolution adopted within ninety days after June 30, 1993, by a majority of the members of the legislative authority, may levy an additional

H. B. No. 109 As Introduced

excise tax not to exceed one and one-half per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. The excise tax authorized by division (O) of this section shall be in addition to any tax that is levied pursuant to divisions (A) to (N) of this section, to any excise tax levied pursuant to section 5739.08 of the Revised Code, and to any excise tax levied pursuant to section 351.021 of the Revised Code.

(2) The legislative authority of the county shall establish all regulations necessary to provide for the administration and allocation of the tax. The regulations may prescribe the time for payment of the tax, and may provide for the imposition of a penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed pursuant to section 5703.47 of the Revised Code.

(3) All revenues arising from the tax shall be expended in 2310
accordance with section 307.672 of the Revised Code and this 2311
division. The levy of a tax imposed under this division shall 2312
not commence prior to the first day of the month next following 2313
the execution of the cooperative agreement authorized by section 2314
307.672 of the Revised Code by all parties to that agreement. 2315
The tax shall remain in effect at the rate at which it is 2316
imposed for the period of time determined by the legislative 2317
authority of the county. That period of time shall not exceed 2318
fifteen years, except that the legislative authority of a county 2319
with a population of less than two hundred fifty thousand 2320
according to the most recent federal decennial census, by 2321
resolution adopted by a majority of its members before the 2322
original tax expires, may extend the duration of the tax for an 2323

H. B. No. 109 As Introduced

ich a legislative authority extends a tax levied under

2324

vision (o) of this section shall not exceed fifteen years.

2325 2326

(P)(l） The legislative authority of a county that has

vied a tax under division (o） of this section may， by

2328

solution adopted within one hundred eighty days after January

200l, by a majority of the members of the legislative

thority, amend the resolution levying a tax under that

e extent that it is no longer needed for its original purpose

determined by the parties to a cooperative agreement

endment pursuant to division (D) of section 307.672 of the

vised Code, to pay costs of acquiring, constructing,

novating, rehabilitating, equipping, and improving a port

thority educational and cultural performing arts facility,

cluding debt service charges on bonds provided for in division

） of section 307.674 of the Revised Code, and to pay all

vision (C) of section 307.674 of the Revised Code.

reements， or other credit enhancement agreements described in

e tax at the same rate for the longer of the period of time

termined by the legislative authority of the county, but not

exceed an additional twenty-five years, or the period of time

quired to pay all debt service charges on bonds provided for

rt authority revenue bonds provided for in division (B） of

ction 307.674 of the Revised Code.

(3） All revenues arising from the amendment and extension

H. B. No. 109 As Introduced

of the Revised Code and divisions (O) and (P) of this section.

(Q)(1) As used in division (Q) of this section:

(a) "Convention facilities authority" has the same meaning as in section 351.01 of the Revised Code.

(b) "Convention center" has the same meaning as in section 307.695 of the Revised Code.

(2) Notwithstanding any contrary provision of division (N) of this section, the legislative authority of a county with a population of one million or more according to the most recent federal decennial census that has levied a tax under division (N) of this section may, by resolution adopted by a majority of the members of the legislative authority, provide for the extension of such levy and may provide that the proceeds of that tax, to the extent that they are no longer needed for their original purpose as defined by a cooperative agreement entered into under section 307.671 of the Revised Code, shall be deposited into the county general revenue fund. The resolution shall provide for the extension of the tax at a rate not to exceed the rate specified in division (N) of this section for a period of time determined by the legislative authority of the county, but not to exceed an additional forty years.

2354
2355
2356
2357
2358
2359
2360
2361
2362
2363
2364
2365
2366
2367
2368
2369
2370
2371
2372
2373
2374
2375
2376
2377
2378
2379
2380
2381
2382

(3) The legislative authority of a county with a population of one million or more that has levied a tax under division (A) of this section may, by resolution adopted by a majority of the members of the legislative authority, increase the rate of the tax levied by such county under division (A) of this section to a rate not to exceed five per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests.

H. B. No. 109 As Introduced

Notwithstanding any contrary provision of division (A) of this 2383
section, the resolution may provide that all collections 2384
resulting from the rate levied in excess of three per cent, 2385
after deducting the real and actual costs of administering the 2386
tax, shall be deposited in the county general fund. 2387

(4) The legislative authority of a county with a population of one million or more that has levied a tax under division (A) of this section may, by resolution adopted on or before August 30, 2004, by a majority of the members of the legislative authority, provide that all or a portion of the proceeds of the tax levied under division (A) of this section, after deducting the real and actual costs of administering the tax and the amounts required to be returned to townships and municipal corporations with respect to the first three per cent levied under division (A) of this section, shall be deposited in the county general fund, provided that such proceeds shall be used to satisfy any pledges made in connection with an agreement entered into under section 307.695 of the Revised Code.

2388
2389
2390
2391
2392
2393
2394
2395
2396
2397
2398
2399
2400
2401
2402
2403
2404
2405
2406
2407
2408
2409
2410
2411
2412
2413

(5) No amount collected from a tax levied, extended, or required to be deposited in the county general fund under division (Q) of this section shall be contributed to a convention facilities authority, corporation, or other entity created after July 1, 2003, for the principal purpose of constructing, improving, expanding, equipping, financing, or operating a convention center unless the mayor of the municipal corporation in which the convention center is to be operated by that convention facilities authority, corporation, or other entity has consented to the creation of that convention facilities authority, corporation, or entity. Notwithstanding any contrary provision of section 351.04 of the Revised Code, if a tax is levied by a county under division (Q) of this section,

H. B. No. 109 As Introduced

the board of county commissioners of that county may determine 241
the manner of selection, the qualifications, the number, and 241
terms of office of the members of the board of directors of any 241
convention facilities authority, corporation, or other entity 241
described in division (Q)(5) of this section. 241

(6)(a) No amount collected from a tax levied, extended, or required to be deposited in the county general fund under division (Q) of this section may be used for any purpose other than paying the direct and indirect costs of constructing, improving, expanding, equipping, financing, or operating a convention center and for the real and actual costs of administering the tax, unless, prior to the adoption of the resolution of the legislative authority of the county authorizing the levy, extension, increase, or deposit, the county and the mayor of the most populous municipal corporation in that county have entered into an agreement as to the use of such amounts, provided that such agreement has been approved by a majority of the mayors of the other municipal corporations in that county. The agreement shall provide that the amounts to be used for purposes other than paying the convention center or administrative costs described in division (Q)(6)(a) of this section be used only for the direct and indirect costs of capital improvements, including the financing of capital improvements, except that the agreement may subsequently be amended by the parties that have entered into that agreement to authorize such amounts to instead be used for any costs related to the promotion or support of tourism or tourism-related programs.

(b) If the county in which the tax is levied has an 2442
association of mayors and city managers, the approval of that 2443
association of an agreement described in division (Q)(6)(a) of 2444

H. B. No. 109 As Introduced

this section shall be considered to be the approval of the 2445
majority of the mayors of the other municipal corporations for 2446
purposes of that division. 2447
(7) Each year, the auditor of state shall conduct an audit 2448
of the uses of any amounts collected from taxes levied, 2449
extended, or deposited under division (Q) of this section and 2450
shall prepare a report of the auditor of state's findings. The 2451
auditor of state shall submit the report to the legislative 2452
authority of the county that has levied, extended, or deposited 2453
the tax, the speaker of the house of representatives, the 2454
president of the senate, and the leaders of the minority parties 2455
of the house of representatives and the senate. 2456
(R)(1) As used in division (R) of this section: 2457
(a) "Convention facilities authority" has the same meaning 2458
as in section 351.01 of the Revised Code. 2459
(b) "Convention center" has the same meaning as in section 2460
307.695 of the Revised Code. 2461
(2) Notwithstanding any contrary provision of division (N) 2462
of this section, the legislative authority of a county with a 2463
population of one million two hundred thousand or more according 2464
to the most recent federal decennial census or the most recent 2465
annual population estimate published or released by the United 2466
States census bureau at the time the resolution is adopted 2467
placing the levy on the ballot, that has levied a tax under 2468
division (N) of this section may, by resolution adopted by a 2469
majority of the members of the legislative authority, provide 2470
for the extension of such levy and may provide that the proceeds 2471
of that tax, to the extent that the proceeds are no longer 2472
needed for their original purpose as defined by a cooperative 2473

H. B. No. 109 As Introduced

agreement entered into under section 307.671 of the Revised Code and after deducting the real and actual costs of administering the tax, shall be used for paying the direct and indirect costs of constructing, improving, expanding, equipping, financing, or operating a convention center. The resolution shall provide for the extension of the tax at a rate not to exceed the rate specified in division (N) of this section for a period of time determined by the legislative authority of the county, but not to exceed an additional forty years.

2474
2475
2476
2477
2478
2479
2480
2481
2482
2483
2484
2485
2486
2487
2488
2489
2490
2491
2492
2493
2494
2495
2496
2497
2498
2499
2500
2501
2502
2503
2504

(3) The legislative authority of a county with a population of one million two hundred thousand or more that has levied a tax under division (A) of this section may, by resolution adopted by a majority of the members of the legislative authority, increase the rate of the tax levied by such county under division (A) of this section to a rate not to exceed five per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. Notwithstanding any contrary provision of division (A) of this section, the resolution shall provide that all collections resulting from the rate levied in excess of three per cent, after deducting the real and actual costs of administering the tax, shall be used for paying the direct and indirect costs of constructing, improving, expanding, equipping, financing, or operating a convention center.

(4) The legislative authority of a county with a population of one million two hundred thousand or more that has levied a tax under division (A) of this section may, by resolution adopted on or before July 1, 2008, by a majority of the members of the legislative authority, provide that all or a portion of the proceeds of the tax levied under division (A) of this section, after deducting the real and actual costs of

H. B. No. 109 As Introduced

administering the tax and the amounts required to be returned to townships and municipal corporations with respect to the first three per cent levied under division (A) of this section, shall be used to satisfy any pledges made in connection with an agreement entered into under section 307.695 of the Revised Code

or shall otherwise be used for paying the direct and indirect
costs of constructing, improving, expanding, equipping,	2511 2512
financing, or operating a convention center.
(5） Any amount collected from a tax levied or extended	2513
under division (R) of this section may be contributed to a	2514
convention facilities authority created before July l, 2005, but	2515
no amount collected from a tax levied or extended under division	2516
(R) of this section may be contributed to a convention	2517
facilities authority, corporation, or other entity created after	2518
o o 1 ' '	2519
	2520
facilities authority， corporation, or other entity has consented	2521
to the creation of that convention facilities authority,	2522
corporation, or entity.	2523
(S） As used in division (S） of this section, "soldiers'	2524
memorial" means a memorial constructed and funded under Chapter	2525
345. of the Revised Code.	2526
The board of county commissioners of a county with a	2527
population between one hundred three thousand and one hundred	2528
seven thousand according to the most recent federal decennial	2529
	2530
the board within six months after September 15, 2014, may levy a	2531
	2532
hotel_or short-term rental property is or is to be furnished to	2533
	2534
transient guests. The purpose of the tax shall be to pay the

H. B. No. 109 As Introduced

	costs of expanding, maintaining, or operating a soldiers'	2535
	memorial and the costs of administering the tax. All revenue	2536
	arising from the tax shall be credited to one or more special	2537
	og atos auads a ieus pue nsa unoo u ut spung	2538
purposes of paying those costs.		2539
	The board of county commissioners shall adopt all rules	2540
	necessary to provide for the administration of the tax subject	2541
	to the same limitations on imposing penalty or interest under	2542
division (A) of this section.		2543
	(T） As used in division (T） of this section:	2544
	(l） "Eligible county" means a county in which a county	2545 2546
		2547
	organized under section 171l.01 or 171l.02 of the Revised Code, provided the agricultural society owns a facility or site in the	2548
	county at which an annual harness horse race is conducted where	2549
	one-day attendance equals at least forty thousand attendees.	2550
		2551
	"financing costs" have the same meanings as in section 133.0l of	2552
the Revised Code.		2553
	(3） "Costs of permanent improvements" include all costs
allowed in section 133.15 of the Revised Code.		2554 2555
	A board of county commissioners of an eligible county, by	2556
	resolution adopted by a majority of the members of the board,	2557
	may levy an excise tax at the rate of up to three per cent on	2558
	transactions by which lodging by a hotel or short-term rental	2559
	property is or is to be furnished to transient guests for the	2560
	purpose of paying the costs of permanent improvements at sites	2561
	at which one or more agricultural societies conduct fairs or	2562
	exhibits, including paying financing costs and debt charges on	2563

H. B. No. 109 As Introduced

bonds, or notes in anticipation of bonds, paying the costs of maintaining or operating such permanent improvements, and paying the costs of administering the tax.

A resolution adopted under division (T) of this section, other than a resolution that only extends the period of time for which the tax is levied, shall direct the board of elections to submit the question of the proposed lodging tax to the electors of the county at a special election held on the date specified by the board in the resolution, provided that the election occurs not less than ninety days after a certified copy of the resolution is transmitted to the board of elections. A resolution submitted to the electors under division (T) of this section shall not go into effect unless it is approved by a majority of those voting upon it. The resolution takes effect on the date the board of county commissioners receives notification from the board of elections of an affirmative vote.

The tax shall remain in effect for the period specified in the resolution, not to exceed five years, and may be extended for an additional period of years that is at least the number of years required for payment of the debt charges on bonds or notes in anticipation of bonds authorized under this division but not in excess of fifteen years thereafter by a resolution adopted by a majority of the members of the board. A resolution extending the period of time for which the tax is in effect is not subject to approval of the electors of the county, but is subject to referendum under sections 305.31 to 305.99 of the Revised Code. All revenue arising from the tax shall be credited to one or more special funds in the county treasury and shall be spent solely for the purposes of paying the costs of such permanent improvements, including paying financing costs and debt charges on bonds, or notes in anticipation of bonds, and maintaining or

H. B. No. 109 As Introduced

operating the improvements. Revenue allocated for the use of a county agricultural society may be credited to the county agricultural society fund created in section 1711.16 of the Revised Code upon appropriation by the board. If revenue is credited to that fund, it shall be expended only as provided in that section.

The board of county commissioners shall adopt all rules necessary to provide for the administration of the tax. The rules may prescribe the time for payment of the tax, and may provide for the imposition or penalty or interest, or both, for late payments, provided that the penalty does not exceed ten per cent of the amount of tax due, and the rate at which interest accrues does not exceed the rate per annum prescribed in section 5703.47 of the Revised Code.

2595
2596
2597
2598
2599
2600
2601
2602
2603
2604
2605
2606
2607
2608
2609
2610
2611
2612
2613
2614
2615
2616
2617
2618
2619
2620
2621
2622
2623
2624

The board of county commissioners may issue bonds, or notes in anticipation thereof, pursuant to Chapter 133. of the Revised Code, for the purpose of paying the costs of permanent improvements as authorized in this division and pledge the revenue arising from the tax for that purpose. The board of county commissioners may pledge or contribute the revenue arising from the tax levied under this division to a port authority created under Chapter 4582. of the Revised Code, and the port authority may issue bonds, or notes in anticipation thereof, pursuant to that chapter, for the purpose of paying the costs of permanent improvements as authorized in this division.

(U) As used in division (U) of this section, "eligible county" means a county in which a tax is levied under division (A) of this section at a rate of three per cent and whose territory includes a part of Lake Erie the shoreline of which represents at least fifty per cent of the linear length of the

H. B. No. 109 As Introduced

county's border with other counties of this state. 2625
The board of county commissioners of an eligible county 2626
that has entered into an agreement with a port authority in the 2627
county under section 4582.56 of the Revised Code may levy an 2628
additional lodging tax on transactions by which lodging by a 2629
hotel or short-term rental property is or is to be furnished to 2630
transient guests for the purpose of financing lakeshore 2631
improvement projects constructed or financed by the port 2632
authority under that section. The resolution levying the tax 2633
shall specify the purpose of the tax, the rate of the tax, which 2634
shall not exceed two per cent, and the number of years the tax 2635
will be levied or that it will be levied for a continuing period 2636
of time. The tax shall be administered pursuant to the 2637
regulations adopted by the board under division (A) of this 2638
section, except that all the proceeds of the tax levied under 2639
this division shall be pledged to the payment of the costs, 2640
including debt charges, of lakeshore improvements undertaken by 2641
a port authority pursuant to the agreement under section 4582.56 2642
of the Revised Code. No revenue from the tax may be used to pay 2643
the current expenses of the port authority. 2644
A resolution levying a tax under division (U) of this 2645
section is subject to referendum under sections 305.31 to 305.4 2646
and 305.99 of the Revised Code. 2647
(V)(1) As used in division (V) of this section: 2648
(a) "Tourism development district" means a district 2649
designated by a municipal corporation under section 715.014 of 2650
the Revised Code or by a township under section 503.56 of the 2651
Revised Code. 2652
(b) "Lodging tax" means a tax levied pursuant to this 2653

H. B. No. 109

As Introduced
	section or section 5739.08 of the Revised Code.	2654
	(c) "Tourism development district lodging tax proceeds"	2655
	means all proceeds of a lodging tax derived from transactions by	2656
		2657
		2658
transient guests.		2659
	(d) "Eligible county" has the same meaning as in section	2660
307.678 of the Revised Code.		2661
	(2）(a） Notwithstanding division (A） of this section， the	2662
	board of county commissioners, board of township trustees, or	2663
	legislative authority of any county, township, or municipal	2664
	corporation that levies a lodging tax on September 29, 2017, and	2665
	in which any part of a tourism development district is located	2666
	on or after that date shall amend the ordinance or resolution	2667
	levying the tax to require either of the following:	2668
	(i） In the case of a tax levied by a county, that all	2669
	tourism development district lodging tax proceeds from that tax	2670
		2671
development district;		2672
	(ii) In the case of a tax levied by a township or	2673
	municipal corporation, that all tourism development district	2674
	lodging tax proceeds from that tax be used exclusively to foster	2675
	and develop tourism in the tourism development district.	2676
	(b） Notwithstanding division (A) of this section, any	2677
		2678
	after September 29, 2017， by a county， township， or municipal	2679
	corporation in which any part of a tourism development district	2680
	is located on or after that date shall require that all tourism	2681
		2682

H. B. No. 109 As Introduced

exclusively to foster and develop tourism in the tourism 2683
development district. 2684

(c) A county shall not use any of the proceeds described in division (V)(2)(a)(i) or (V)(2)(b) of this section unless the convention and visitors' bureau operating within the county approves the manner in which such proceeds are used to foster and develop tourism in the tourism development district. Upon obtaining such approval, the county may pay such proceeds to the bureau to use for the agreed-upon purpose.

A municipal corporation or township shall not use any of the proceeds described in division (V)(2)(a)(ii) or (V)(2)(b) of this section unless the convention and visitors' bureau operating within the municipal corporation or township approves the manner in which such proceeds are used to foster and develop tourism in the tourism development district. Upon obtaining such approval, the municipal corporation or township may pay such proceeds to the bureau to use for the agreed-upon purpose.

2685
2686
2687
2688
2689
2690
2691
2692
2693
2694
2695
2696
2697
2698
2699
2700
2701
2702
2703
2704
2705
2706
2707
2708
2709
2710
2711
2712

(3)(a) Notwithstanding division (A) of this section, the board of county commissioners of an eligible county that levies a lodging tax on March 23, 2018, may amend the resolution levying that tax to require that all or a portion of the proceeds of that tax otherwise required to be spent solely to make contributions to the convention and visitors' bureau operating within the county shall be used to foster and develop tourism in a tourism development district.

(b) Notwithstanding division (A) of this section, the board of county commissioners of an eligible county that adopts a resolution levying a lodging tax on or after March 23, 2018, may require that all or a portion of the proceeds of that tax otherwise required to be spent solely to make contributions to

H. B. No. 109 As Introduced

the convention and visitors' bureau operating within the county 2713
pursuant to division (A) of this section shall be used to foster 2714
and develop tourism in a tourism development district. 2715
(c) A county shall not use any of the proceeds in the 2716
manner described in division (V)(3)(a) or (b) of this section 2717
unless the convention and visitors' bureau operating within the 2718
county approves the manner in which such proceeds are used to 2719
foster and develop tourism in the tourism development district. 2720
Upon obtaining such approval, the county may pay such proceeds 2721
to the bureau to use for the agreed upon purpose. 2722
(W)(1) As used in division (W) of this section: 2723
(a) "Eligible county" means a county with a population 2724
greater than three hundred thousand and less than three hundred 2725
fifty thousand that levies a tax under division (A) of this 2726
section at a rate of three per cent; 2727
(b) "Cost" and "facility" have the same meanings as in 2728
section 351.01 of the Revised Code. 2729
(2) A board of county commissioners of an eligible county, 2730
by resolution adopted by a majority of the members of the board, 2731
may levy an excise tax at the rate of up to three per cent on 2732
transactions by which lodging by a hotel or short-term rental 2733
property is or is to be furnished to transient guests. All of 2734
the revenue from the tax shall be used to pay the costs of 2735
administering the tax or pledged and contributed to a convention 2736
facilities authority established by the board of county 2737
commissioners under Chapter 351. of the Revised Code and used by 2738
the authority to pay the cost of constructing a facility in the 2739
county, including paying bonds, or notes issued in anticipation 2740
of bonds, as provided by that chapter, or paying the expenses of 2741

H. B. No. 109 As Introduced

maintaining, operating, or promoting such a facility. No portion 2742
of the revenue arising from the tax need be returned to 2743
municipal corporations or townships as required for taxes levied 2744
under division (A) of this section. 2745

(3) A resolution adopted under division (W) of this section shall direct the board of elections to submit the question of the proposed lodging tax to the electors of the county at a special election held on the date specified by the board in the resolution, provided that the election occurs not less than ninety days after a certified copy of the resolution is transmitted to the board of elections. A resolution submitted to the electors under division (W) of this section shall not go into effect unless it is approved by a majority of those voting upon it. The resolution takes effect on the date the board of county commissioners receives notification from the board of elections of an affirmative vote.

(4) Once the tax is approved by the electors of the county pursuant to division (W)(3) of this section, it shall not be subject to diminution by initiative or referendum or by law while any bonds, or notes in anticipation of bonds, issued by the authority under Chapter 351. of the Revised Code to which the revenue is pledged, remain outstanding in accordance with their terms, unless provision is made by law or by the board of county commissioners for an adequate substitute therefore that is satisfactory to the trustee if a trust agreement secures the bonds.

(5) The tax authorized by division (W) of this section shall be in addition to any other tax that is levied pursuant to this section.

(X)(1) As used in division (X) of this section: 2771

H. B. No. 109 As Introduced

(a) "Convention facilities authority," "cost," and 2772
"facility" have the same meanings as in section 351.01 of the 2773
Revised Code, except that "facility" does not include a "sports 2774
facility," as that term is defined in that section, other than a 2775
facility intended to house a major league soccer team. 2776

(b) "Eligible county" means a county with a population greater than eight hundred thousand but less than one million that levies a tax under division (A) of this section.

(c) "Port authority" means a port authority created under Chapter 4582. of the Revised Code.

(2) A board of county commissioners or the legislative authority of an eligible county may, by resolution adopted by a majority of the members of the board or legislative authority, levy an excise tax at a rate not to exceed one per cent on transactions by which lodging by a hotel or short-term rental property is or is to be furnished to transient guests. All revenue arising from the tax shall be used to pay the costs of administering the tax or pledged and contributed to the convention and visitors' bureau operating within the applicable eligible county, a convention facilities authority within the applicable eligible county, or a port authority and used by the convention and visitors' bureau, the convention facilities authority, or the port authority to pay the cost of acquiring, constructing, renovating, expanding, maintaining, or operating one or more facilities in the county, including paying bonds, or notes issued in anticipation of bonds, or paying the expenses of maintaining, operating, or promoting one or more facilities. No portion of the revenue arising from the tax need be returned to municipal corporations or townships as required for taxes levied under division (A) of this section.

H. B. No. 109 As Introduced

(3) The tax authorized by division (X) of this section 2802
shall be in addition to any other tax that is levied pursuant to 2803
this section. 2804
(4) Any board of county commissioners of an eligible 2805
county that, pursuant to division (D)(2) of this section, has 2806
amended a resolution levying the tax authorized by division (A) 2807
of this section may further amend the resolution to provide that 2808
all or a portion of the revenue referred to in division (D)(2) 2809
(b) of this section and division (A) of this section may be 2810
pledged and contributed to pay the costs of acquiring, 2811
constructing, renovating, expanding, maintaining, or operating 2812
one or more facilities in the county, including paying bonds, or 2813
notes issued in anticipation of bonds, or paying the expenses of 2814
maintaining, operating, or promoting one or more facilities. 2815
Sec. 5739.091. (A) For the purposes of a tax levied by a 2816
county, township, or municipal corporation under section 5739.08 2817
or 5739.09 of the Revised Code, a As used in this section: 2818
(1) "Legislative authority" means a board of county 2819
commissioners, board of township trustees, or the legislative 2820
authority of a municipal corporation may adopt a resolution or 2821
ordinance at any time specifying that "hotel," as otherwise 2822
defined in section 5739.01 of the Revised Code, includes the 2823
following: 2824
(1) Establishments in which fewer than five rooms are used 2825
for the accommodation of guests; 2826
(2) Establishments at which rooms are used for the 2827
accommodation of guests regardless of whether each room is 2828
accessible through its own keyed entry or several rooms are 2829
accessible through the same keyed entry; and, in determining the 2830

H. B. No. 109 As Introduced

number of rooms, all rooms are included regardless of the number of structures in which the rooms are situated or the number of parcels of land on which the structures are located if the structures are under the same ownership and the structures are not identified in advertisements of the accommodations as distinct establishments. For the purposes of division (A)(2) of this section, two or more structures are under the same ownership if they are owned by the same person, or if they are owned by two or more persons the majority of the ownership interests of which are owned by the same person.

2837
2838
2839
2840
(B) The resolution or ordinance may apply to a tax imposed 2841
pursuant to section 5739.08 or 5739.09 of the Revised Code prior 2842
to the adoption of the resolution or ordinance if the resolution 2843
or ordinance so states, but the tax shall not apply to 2844
transactions by which lodging by such an establishment is 2845
provided to transient guests prior to the adoption of the 2846
resolution or ordinance., the board of directors of a convention 2847
facilities authority, or the board of directors of a lake 2848
facilities authority. 2849
(2) "Existing lodging tax" means a tax levied under 2850
section 351.021, 353.06, 5739.08, or 5739.09 of the Revised Code 2851
and in effect on the day before the first day of the first month 2852
beginning thirty days after the effective date of this 2853
amendment. 2854
(B) A legislative authority shall not levy an existing 2855
lodging tax on or after the first day of the first month 2856
beginning thirty days after the effective date of this amendment 2857
unless the legislative authority amends the resolution or 2858
ordinance levying the tax to comply with the enactment of 2859
division (C) of this section and the amendment of sections 2860

H. B. No. 109 As Introduced

351.01, 351.021, 353.06, 5739.08, and 5739.09 of the Revised
Code by this act. That amendment to such a resolution or	2861
ordinance is not subject to a referendum, as prescribed by	2862 2863
sections 305.31 to 305.41 of the Revised Code, and shall take	2864
effect without elector approval, notwithstanding the terms and requirements applicable to the adoption of the resolution or	2865
ordinance levying the existing lodging tax.	2866 2867
(C) A legislative authority shall require the operator of
a short-term rental platform to collect and remit the tax levied	2868
	2869
under section 351.021, 353.06, 5739.08, 0r 5739.09 of the	2870
	2871
short-term rental property is or is to be furnished to transient	2872
guests through use of the platform.	2873
Sec. 5741.01. As used in this chapter:	2874
(A) "Person" includes individuals, receivers, assignees, trustees in bankruptcy, estates, firms, partnerships,	2875
associations, joint-stock companies, joint ventures, clubs,	2876
societies, corporations, business trusts, governments, and	2877
combinations of individuals of any form.	2878 2879
(B） "Storage" means and includes any keeping or retention
in this state for use or other consumption in this state.	2880 2881
(C） "Use" means and includes the exercise of any right or	2882
power incidental to the ownership of the thing used. A thing is	2883
also "used" in this state if its consumer gives or otherwise distributes it, without charge, to recipients in this state.	2884
	2885
o o o ()	2886
consideration, whether such acquisition or receipt was effected	2887
by a transfer of title, or of possession， or of both， or a	2888
	2889

H. B. No. 109 As Introduced

conditional, and by whatever means the transfer was effected; and whether the consideration was money, credit, barter, or exchange. Purchase includes production, even though the article produced was used, stored, or consumed by the producer. The transfer of copyrighted motion picture films for exhibition purposes is not a purchase, except such films as are used solely for advertising purposes.

(E) "Seller" means the person from whom a purchase is made, and includes every person engaged in this state or elsewhere in the business of selling tangible personal property or providing a service for storage, use, or other consumption or benefit in this state; and when, in the opinion of the tax commissioner, it is necessary for the efficient administration of this chapter, to regard any salesperson, representative, peddler, or canvasser as the agent of a dealer, distributor, supervisor, or employer under whom the person operates, or from whom the person obtains tangible personal property, sold by the person for storage, use, or other consumption in this state, irrespective of whether or not the person is making such sales on the person's own behalf, or on behalf of such dealer, distributor, supervisor, or employer, the commissioner may regard the person as such agent, and may regard such dealer, distributor, supervisor, or employer as the seller.

Except as provided in sections 5741.071 and 5747.072 of the Revised Code, a marketplace facilitator shall be treated as the "seller" with respect to all sales facilitated by the marketplace facilitator on behalf of one or more marketplace sellers on and after the first day of the first month that begins at least thirty days after the marketplace facilitator first has substantial nexus with this state. Otherwise, "seller" does not include any person to the extent the person provides a

H. B. No. 109 As Introduced

communications medium, such as, but not limited to, newspapers, 2921
magazines, radio, television, or cable television, by means of 2922
which sellers solicit purchases of their goods or services. 2923

(F) "Consumer" means any person who has purchased tangible personal property or has been provided a service for storage, use, or other consumption or benefit in this state. "Consumer" does not include a person who receives, without charge, tangible personal property or a service.

A person who performs a facility management or similar service contract for a contractee is a consumer of all tangible personal property and services purchased for use in connection with the performance of such contract, regardless of whether title to any such property vests in the contractee. The purchase of such property and services is not subject to the exception for resale under division (E) of section 5739.01 of the Revised Code.

2924
2925
2926
2927
2928
2929
2930
2931
2932
2933
2934
2935
2936
2937
2938
2939
2940
2941
2942
2943
2944
2945
2946
2947
2948
2949

(G)(1) "Price," except as provided in divisions (G)(2) to (6) of this section, has the same meaning as in division (H)(1) of section 5739.01 of the Revised Code.

(2) In the case of watercraft, outboard motors, or new motor vehicles, "price" has the same meaning as in divisions (H) (2) and (3) of section 5739.01 of the Revised Code.

(3) In the case of a nonresident business consumer that purchases and uses tangible personal property outside this state and subsequently temporarily stores, uses, or otherwise consumes such tangible personal property in the conduct of business in this state, the consumer or the tax commissioner may determine the price based on the value of the temporary storage, use, or other consumption, in lieu of determining the price pursuant to

H. B. No. 109 As Introduced

ced

1(G)(l） of this section.A price determination made by 2950

sumer is subject to review and redetermination by the 2951

ioner. 2952

a s 2953

s inventory for sale or lease, and that is temporarily 2954

used, or otherwise consumed in a taxable manner, the 2955

s the value of the temporary use. A price determination 2956

the consumer is subject to review and redetermination by 2957

nissioner. 2958

s）In the case of tangible personal property originally 2959

ed and used by the consumer outside this state， and that 2960

permanently stored, used, or otherwise consumed in this 2961

ore than six months after its acquisition by the 2962

， the consumer or the commissioner may determine the 2963

ased on the current value of such tangible personal 2964

Q， in lieu of determining the price pursuant to division 2965

of this section. A price determination made by the 2966

is subject to review and redetermination by the 2967

Loner. 2968

s） If a consumer produces tangible personal property for 2969

d removes that property from inventory for the consumer's 2970

the price is the produced cost of that tangible 2971

I property. 2972

a i ( 2973

nuous and widespread solicitation of purchases from 2974

cS of this state or otherwise purposefully directs its 2975

S activities at residents of this state. 2976

)(l） "Substantial nexus with this state" means that the 2977

las sufficient contact with this state， in accordance 2978

H. B. No. 109 As Introduced

	with Section 8 of Article I of the Constitution of the United	2979
	States, to allow the state to require the seller to collect and	2980
	remit use tax on sales of tangible personal property or services	2981
	made to consumers in this state.	2982
	(2） "Substantial nexus with this state" is presumed to	2983
	exist when the seller does any of the following:	2984
	(a） Uses an office, distribution facility, warehouse,	2985
	storage facility, or similar place of business within this	2986
	state, whether operated by the seller or any other person, other	2987
	than a common carrier acting in its capacity as a common	2988
carrier.		2989
	(b) Regularly uses employees, agents, representatives,	2990
	solicitors, installers, repairers, salespersons, or other	2991
		2992
	of the seller or either to engage in a business with the Same or	2993
	a similar industry classification as the seller selling a	2994
	similar product or line of products as the seller， or to use	2995
	trademarks， service marks, or trade names in this state that are	2996
	the same or substantially similar to those used by the seller.	2997
	(c） Uses any person, other than a common carrier acting in	2998
	its capacity as a common carrier, in this state for any of the	2999
following purposes:		3000
	(i） Receiving or processing orders of the seller's goods	3001
or services;		3002
	n ti1g d b () state to advertise, promote, or facilitate sales by the seller	3003
to customers;		3004 3005
	(iii） Delivering, installing, assembling, or performing maintenance services for the seller's customers;	9008
		3007

H. B. No. 109 As Introduced

(iv) Facilitating the seller's delivery of tangible
	3008
personal property to customers in this state by allowing the	3009
	3010
office, distribution facility, warehouse, storage facility， or	3011
similar place of business.	3012
(d) Makes regular deliveries of tangible personal property	3013
into this state by means other than common carrier.	3014
(e) Has an affiliated person that has substantial nexus	3015
with this state.	3016
(f） Owns tangible personal property that is rented or	3017
leased to a consumer in this state, or offers tangible personal	3018
property, on approval, to consumers in this state.	3019
(g） Has gross receipts in excess of one hundred thousand	3020
dollars in the current or preceding calendar year from the sale	3021
of tangible personal property for storage, use, or consumption	3022
in this state or from providing services the benefit of which is	3023
realized in this state.	3024
(h） Engages, in the current or preceding calendar year， in	3025
a o	3026
personal property for storage, use, or consumption in this state	3027
or providing services the benefit of which is realized in this	3028
state.	3029
(i) Is a short-term rental platform that furnishes lodging	3030
in short-term rental properties located in this state to	3031
transient guests.	3032
(3） A seller presumed to have substantial nexus with this	3033
state under divisions(I）(2)(a）to(f)，(g)，and (h）of this	3034
section may rebut that presumption by demonstrating that activities described in any of those divisions that are	3035 3036

H. B. No. 109 As Introduced

nducted by a person in this state on the seller's behalf are

significantly associated with the seller's ability to 3038

cablish or maintain a market in this state for the seller's 3039

es. 3040

(4） A marketplace facilitator is presumed to have 3041

ostantial nexus with this state if either of the following 3042

oly in the current or preceding calendar year: 3043

(a） The aggregate gross receipts derived from sales of 3044

ngible personal property for storage, use, or consumption in 3045

3046

ite, including sales made by the marketplace facilitator on 3047

own behalf and sales facilitated by the marketplace 3048

cilitator on behalf of one or more marketplace sellers， exceed 3049

e hundred thousand dollars; 3050

(b) The marketplace facilitator engages in on its own 3051

3052

lers, two hundred or more separate transactions selling 3053

agible personal property for storage, use, or consumption in 3054 S state or services the benefit of which is realized in this

3055 3056

ate.

(5） A seller that does not have substantial nexus with 3057

S state, and any affiliated person of the seller, before 3058

ling or leasing tangible personal property or services to a 3059

ate agency, shall register with the tax commissioner in the 3060

ne manner as a seller described in division (A)(l） of section 3061

1.17 of the Revised Code. 3062

(6） As used in division (I） of this section: 3063

3064

the same controlled group of corporations as the seller or 3065

H. B. No. 109 As Introduced

any other person that, notwithstanding the form of organization, 3066
bears the same ownership relationship to the seller as a 3067
corporation that is a member of the same controlled group of 3068
corporations. 3069
(b) "Controlled group of corporations" has the same 3070
meaning as in section 1563(a) of the Internal Revenue Code. 3071

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

(J) "Fiscal officer" means, with respect to a regional 3074
transit authority, the secretary-treasurer thereof, and with 3075
respect to a county which is a transit authority, the fiscal 3076
officer of the county transit board appointed pursuant to 3077
section 306.03 of the Revised Code or, if the board of county 3078
commissioners operates the county transit system, the county 3079
auditor. 3080
(K) "Territory of the transit authority" means all of the 3081
area included within the territorial boundaries of a transit 3082
authority as they from time to time exist. Such territorial 3083
boundaries must at all times include all the area of a single 3084
county or all the area of the most populous county which is a 3085
part of such transit authority. County population shall be 3086
measured by the most recent census taken by the United States 3087
census bureau. 3088

(L) "Transit authority" means a regional transit authority created pursuant to section 306.31 of the Revised Code or a county in which a county transit system is created pursuant to section 306.01 of the Revised Code. For the purposes of this chapter, a transit authority must extend to at least the entire area of a single county. A transit authority which includes

H. B. No. 109 As Introduced

territory in more than one county must include all the area of 3095
the most populous county which is a part of such transit 3096
authority. County population shall be measured by the most 3097
recent census taken by the United States census bureau. 3098
(M) "Providing a service" has the same meaning as in 3099
section 5739.01 of the Revised Code. 3100
(N) "Other consumption" includes receiving the benefits of 3101
a service. 3102
(O) "Lease" or "rental" has the same meaning as in section 3103
5739.01 of the Revised Code. 3104
(P) "Certified service provider" has the same meaning as 3105
in section 5740.01 of the Revised Code. 3106
(Q) "Marketplace facilitator" means a person that owns, 3107
operates, or controls a physical or electronic marketplace 3108
through which retail sales or delivery network services, or 3109
both, are facilitated on behalf of one or more marketplace 3110
sellers, or an affiliate of such a person. "Marketplace 3111
facilitator" does not include a person that provides advertising 3112
services, including tangible personal property or services 3113
listed for sale, if the advertising service platform or forum 3114
does not engage directly or indirectly through one or more 3115
affiliated persons in the activities described in division (T) 3116
(2) of this section. 3117
(R) "Marketplace seller" means a person on behalf of which 3118
a marketplace facilitator facilitates the sale of tangible 3119
personal property for storage, use, or consumption in this state 3120
or services the benefit of which are realized in this state, 3121
regardless of whether or not the person has a substantial nexus 3122
with this state. 3123

H. B. No. 109 As Introduced

(S) "Electronic marketplace" includes digital distribution 3124
services, digital distribution platforms, online portals, 3125
application stores, computer software applications, in-app 3126
purchase mechanisms, or other digital products. 3127
(T) A sale is "facilitated" by a marketplace facilitator 3128
on behalf of a marketplace seller if it satisfies divisions (T) 3129
(1), (2), and (3) of this section: 3130
(1) The marketplace facilitator, directly or indirectly, 3131
does any of the following: 3132
(a) Lists, makes available, or advertises the tangible 3133
personal property or services that are the subject of the sale 3134
in a physical or electronic marketplace owned, operated, or 3135
controlled by the marketplace facilitator; 3136
(b) Transmits or otherwise communicates an offer or 3137
acceptance of the sale between the marketplace seller and the 3138
purchaser in a shop, store, booth, catalog, internet site, or 3139
other similar forum; 3140
(c) Owns, rents, licenses, makes available, or operates 3141
any electronic or physical infrastructure or any property, 3142
process, method, copyright, trademark, or patent that connects 3143
the marketplace seller to the purchaser for the purpose of 3144
making sales; 3145
(d) Provides the marketplace in which the sale was made or 3146
otherwise facilitates the sale regardless of ownership or 3147
control of the tangible personal property or services that are 3148
the subject of the sale; 3149
(e) Provides software development or research and 3150
development services directly related to a physical or 3151
electronic marketplace that is involved in one or more of the 3152

H. B. No. 109 As Introduced

activities described in division (T)(1) of this section; 3153
(f) Provides fulfillment or storage services for the 3154
marketplace seller that are related to the tangible personal 3155
property or services that are the subject of the sale; 3156
(g) Sets the price of the sale on behalf of the 3157
marketplace seller; 3158
(h) Provides or offers customer service to the marketplace 3159
seller or the marketplace seller's customers, or accepts or 3160
assists with taking orders, returns, or exchanges of the 3161
tangible personal property or services that are the subject of 3162
the sale; 3163
(i) Brands or otherwise identifies the sale as a sale of 3164
the marketplace facilitator. 3165
(2) The marketplace facilitator, directly or indirectly, 3166
does any of the following: 3167
(a) Collects the price of the tangible personal property 3168
or services sold to the consumer; 3169
(b) Provides payment processing services for the sale; 3170
(c) Collects payment in connection with the sale from the 3171
consumer through terms and conditions, agreements, or 3172
arrangements with a third party, and transmits that payment to 3173
the marketplace seller, regardless of whether the person 3174
collecting and transmitting such payment receives compensation 3175
or other consideration in exchange for the service; 3176
(d) Provides virtual currency that consumers are allowed 3177
or required to use to purchase the tangible personal property or 3178
services that are the subject of the sale. 3179

H. B. No. 109 As Introduced

	(3) The subject of the sale is tangible personal property	3180
	o a o	3181
furnished to transient guests.		3182
		3183
	services," and "local merchant" have the same meanings as in	3184
	section 5739.01 of the Revised Code.	3185
	(V) "short-term rental platform," "short-term rental	3186
	property," and "transient guest" have the same meanings as in	3187
	section 5739.01 of the Revised Code.	3188
	Section 2. That existing sections 351.01, 351.021， 353.06,	3189
	4735.11， 5739.01， 5739.08, 5739.09, 5739.091, and 5741.01 of the	3190
Revised Code are hereby repealed.		3191
		3192
division (C) of section 5739.091 and sections 351.01, 351.021,	Section 3. The amendment or enactment by this act of	3193
353.06, 5739.08, and 5739.09 of the Revised Code applies on and		3194
a		3195
after the effective date of this section.		3196
of the Revised Code applies on and after the first day of the	The amendment by this act of sections 5739.01 and 5741.01	3197 3198
g		3199
date of this section.		3200
	Section 4. Section 5739.01 of the Revised Code is	3201
	presented in this act as a composite of the section as amended	3202
	by both H.B. 315 and S.B. 196 of the 135th General Assembly. The	3203
	General Assembly, applying the principle stated in division (B)	3204
	of section 1.52 of the Revised Code that amendments are to be	3205
	harmonized if reasonably capable of simultaneous operation,	3206
	finds that the composite is the resulting version of the section	3207
	in effect prior to the effective date of the section as	3208

H. B. No. 109 As Introduced

presented in this act. 3209