Bill Text: OH HB664 | 2013-2014 | 130th General Assembly | Introduced

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Bill Title: To establish the Workforce Grant Program, to authorize an income tax credit equal to 25% of the student loan payments a grant recipient makes per year, and to make an appropriation.

Spectrum: Slight Partisan Bill (Republican 7-4)

Status: (Introduced - Dead) 2014-11-12 - To Finance and Appropriations [HB664 Detail]

Download: Ohio-2013-HB664-Introduced.html

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As Introduced

130th General Assembly Regular Session 2013-2014

H. B. No. 664

Representative Schuring 

Cosponsors: Representatives Baker, Barborak, Beck, Budish, Cera, Derickson, Hill, Lundy, Romanchuk, Rosenberger 

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A BILL

To amend section 5747.98 and to enact sections

1

3333.92 and 5747.78 of the Revised Code to

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establish the Workforce Grant Program, to

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authorize an income tax credit equal to 25% of the

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student loan payments a grant recipient makes per

5

year, and to make an appropriation.

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

Section 1.  That section 5747.98 be amended and sections	7
3333.92 and 5747.78 of the Revised Code be enacted to read as	8
follows:	9

Sec. 3333.92.  (A) As used in this section, "eligible	10
student" means a student who is enrolled in a state institution of	11
higher education as defined in section 3345.011 of the Revised	12
Code.	13

(B) The workforce grant program is hereby established. Under	14
the program, the chancellor of the Ohio board of regents shall	15
award grants to eligible students who are pursuing the degrees or	16
certifications that are required for the jobs that are determined	17
to be the most in demand in this state by the department of job	18
and family services under section 6301.11 of the Revised Code.	19

(C)(1) On an annual basis, the maximum amount of a grant	20
awarded to an eligible student shall be five thousand dollars.	21
One-third of the amount of the grant shall be distributed at the	22
beginning of the academic year, and the remainder of the grant	23
shall be distributed proportionally throughout the remainder of	24
the academic year upon the student's successful completion of the	25
milestones specified in rules adopted by the chancellor under	26
division (D)(3) of this section.	27

(2) A grant may be renewed in accordance with the rules	28
adopted by the chancellor under division (D) of this section.	29

(D) The chancellor shall adopt rules regarding the operations	30
of the grant program, including all of the following:	31

(1) Application procedures;

32

(2) The method for selecting grant recipients, which shall	33
include both of the following:	34

(a) An assessment of an applicant's need for financial aid;

35

(b) An analysis of whether the degree or certification that	36
is being pursued by an applicant is required for one or more of	37
the jobs that are determined to be the most in demand in this	38
state by the department of job and family services under section	39
6301.11 of the Revised Code.	40

(3) Milestones that must be attained by a grant recipient in	41
order to receive the remainder of an annual grant under division	42
(C) of this section, including spending thirty to ninety days in a	43
workplace where the degree or certification that is being pursued	44
by the grant recipient is required for employment or participating	45
in a cooperative or internship program in a workplace where the	46
degree or certification that is being pursued by the grant	47
recipient is required for employment;	48

(4) Other requirements that must be completed by a grant	49
recipient, including both of the following:	50

(a) The completion of curriculum that includes skills needed	51
by employers;	52

(b) The completion of counseling regarding the proper	53
management of student loans.	54

(5) Grant renewal procedures.

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(E) The chancellor shall adopt rules establishing a procedure	56
for distributing information to high school students and	57
first-year college students in this state regarding the jobs that	58
are determined to be the most in demand in this state by the	59
department of job and family services under section 6301.11 of the	60
Revised Code and the educational requirements for those jobs.	61

Sec. 5747.78. (A) As used in this section:

62

(1) "Eligible student loan" means a loan used to pay the	63
tuition and related expenses required to earn a qualifying degree	64
or certification from an institution of higher education as	65
defined in section 3345.011 of the Revised Code.	66

(2) "Eligible grant recipient" means a person who received a	67
grant under section 3333.92 of the Revised Code and who is	68
employed in an in-demand job.	69

(3) "In-demand job" means a job that is determined to be one	70
of the most in demand in this state by the department of job and	71
family services under section 6301.11 of the Revised Code.	72

(4) "Qualifying degree or certification" means a degree or	73
certification the pursuit of which qualified the eligible grant	74
recipient for a grant under section 3333.92 of the Revised Code.	75

(B) There is hereby allowed a refundable credit against the	76
tax imposed by section 5747.02 of the Revised Code for an eligible	77
grant recipient who makes payments on an eligible student loan	78
during the taxable year. The amount of the credit shall equal	79
twenty-five per cent of the amount of principal and interest paid	80
on the eligible student loan, excluding any such principal or	81
interest that is otherwise deducted or excluded in computing the	82
federal or Ohio adjusted gross income of the taxpayer, during the	83
taxable year. The credit shall be claimed in the order prescribed	84
by section 5747.98 of the Revised Code. If the credit exceeds the	85
amount of tax otherwise due for the taxable year, the excess shall	86
be refunded to the taxpayer.	87

(C) The tax commissioner may require an eligible grant	88
recipient to furnish any information necessary to support a claim	89
for credit under this section, and no credit shall be allowed	90
unless such information is provided.	91

Sec. 5747.98.  (A) To provide a uniform procedure for	92
calculating the amount of tax due under section 5747.02 of the	93
Revised Code, a taxpayer shall claim any credits to which the	94
taxpayer is entitled in the following order:	95

(1) The retirement income credit under division (B) of	96
section 5747.055 of the Revised Code;	97

(2) The senior citizen credit under division (C) of section	98
5747.05 of the Revised Code;	99

(3) The lump sum distribution credit under division (D) of	100
section 5747.05 of the Revised Code;	101

(4) The dependent care credit under section 5747.054 of the	102
Revised Code;	103

(5) The lump sum retirement income credit under division (C)	104
of section 5747.055 of the Revised Code;	105

(6) The lump sum retirement income credit under division (D)	106
of section 5747.055 of the Revised Code;	107

(7) The lump sum retirement income credit under division (E)	108
of section 5747.055 of the Revised Code;	109

(8) The low-income credit under section 5747.056 of the	110
Revised Code;	111

(9) The credit for displaced workers who pay for job training	112
under section 5747.27 of the Revised Code;	113

(10) The campaign contribution credit under section 5747.29	114
of the Revised Code;	115

(11) The twenty-dollar personal exemption credit under	116
section 5747.022 of the Revised Code;	117

(12) The joint filing credit under division (G) of section	118
5747.05 of the Revised Code;	119

(13) The nonresident credit under division (A) of section	120
5747.05 of the Revised Code;	121

(14) The credit for a resident's out-of-state income under	122
division (B) of section 5747.05 of the Revised Code;	123

(15) The earned income credit under section 5747.71 of the	124
Revised Code;	125

(16) The credit for employers that reimburse employee child	126
care expenses under section 5747.36 of the Revised Code;	127

(17) The credit for adoption of a minor child under section	128
5747.37 of the Revised Code;	129

(18) The credit for purchases of lights and reflectors under	130
section 5747.38 of the Revised Code;	131

(19) The nonrefundable job retention credit under division	132
(B) of section 5747.058 of the Revised Code;	133

(20) The credit for selling alternative fuel under section	134
5747.77 of the Revised Code;	135

(21) The second credit for purchases of new manufacturing	136
machinery and equipment and the credit for using Ohio coal under	137
section 5747.31 of the Revised Code;	138

(22) The job training credit under section 5747.39 of the	139
Revised Code;	140

(23) The enterprise zone credit under section 5709.66 of the	141
Revised Code;	142

(24) The credit for the eligible costs associated with a	143
voluntary action under section 5747.32 of the Revised Code;	144

(25) The credit for employers that establish on-site child	145
day-care centers under section 5747.35 of the Revised Code;	146

(26) The ethanol plant investment credit under section	147
5747.75 of the Revised Code;	148

(27) The credit for purchases of qualifying grape production	149
property under section 5747.28 of the Revised Code;	150

(28) The small business investment credit under section	151
5747.81 of the Revised Code;	152

(29) The enterprise zone credits under section 5709.65 of the	153
Revised Code;	154

(30) The research and development credit under section	155
5747.331 of the Revised Code;	156

(31) The credit for rehabilitating a historic building under	157
section 5747.76 of the Revised Code;	158

(32) The refundable credit for rehabilitating a historic	159
building under section 5747.76 of the Revised Code;	160

(33) The refundable jobs creation credit or job retention	161
credit under division (A) of section 5747.058 of the Revised Code;	162

(34) The refundable credit for taxes paid by a qualifying	163
entity granted under section 5747.059 of the Revised Code;	164

(35) The refundable credits for taxes paid by a qualifying	165
pass-through entity granted under division (I) of section 5747.08	166
of the Revised Code;	167

(36) The refundable credit under section 5747.80 of the	168
Revised Code for losses on loans made to the Ohio venture capital	169
program under sections 150.01 to 150.10 of the Revised Code;	170

(37) The refundable motion picture production credit under	171
section 5747.66 of the Revised Code;	172

(38) The refundable credit for financial institution taxes	173
paid by a pass-through entity granted under section 5747.65 of the	174
Revised Code;	175

(39) The refundable credit for student loan payments made by	176
eligible grant recipients under section 5747.78 of the Revised	177
Code.	178

(B) For any credit, except the refundable credits enumerated	179
in this section and the credit granted under division (H) of	180
section 5747.08 of the Revised Code, the amount of the credit for	181
a taxable year shall not exceed the tax due after allowing for any	182
other credit that precedes it in the order required under this	183
section. Any excess amount of a particular credit may be carried	184
forward if authorized under the section creating that credit.	185
Nothing in this chapter shall be construed to allow a taxpayer to	186
claim, directly or indirectly, a credit more than once for a	187
taxable year.	188

Section 2.  That existing section 5747.98 of the Revised Code	189
is hereby repealed.	190

Section 3.  All items in this section are hereby appropriated	191
as designated out of any moneys in the state treasury to the	192
credit of the designated fund. For all appropriations made in this	193
act, those in the first column are for fiscal year 2014 and those	194
in the second column are for fiscal year 2015. The appropriations	195
made in this act are in addition to any other appropriations made	196
for the FY 2014-FY 2015 biennium.	197

Appropriations

BOR BOARD OF REGENTS	198

General Revenue Fund	199

GRF	235581		Workforce Grants		$	0		$	100,000,000		200
TOTAL GRF General Revenue Fund					$	0		$	100,000,000		201
TOTAL ALL BUDGET FUND GROUPS					$	0		$	100,000,000		202

WORKFORCE GRANTS

203

Of the foregoing appropriation item 235581, Workforce Grants,	204
up to $500,000 in fiscal year 2015 shall be used by the Chancellor	205
of the Board of Regents to coordinate a statewide effort to	206
promote workforce grant programs.	207

The remainder of appropriation item 235581, Workforce Grants,	208
shall be used by the Chancellor of the Board of Regents to	209
distribute grant awards pursuant to section 3333.92 of the Revised	210
Code.	211

Section 4.  Within the limits set forth in this act, the	212
Director of Budget and Management shall establish accounts	213
indicating the source and amount of funds for each appropriation	214
made in this act, and shall determine the form and manner in which	215
appropriation accounts shall be maintained. Expenditures from	216
appropriations contained in this act shall be accounted for as	217
though made in Am. Sub. H.B. 59 of the 130th General Assembly.	218

The appropriations made in this act are subject to all	219
provisions of Am. Sub. H.B. 59 of the 130th General Assembly that	220
are generally applicable to such appropriations.	221