September 28, 2026 · Ohio Controlling Board · 13,487 words · 10 speakers · 250 segments
Senator Serino? Here. Senator Kaler? Here. Senator Ingram? Here. Representative Stewart? Here. Representative Davila? Present. Representative Sweeney? Here. President DeSantis? Here. Okay, the minutes of the previous meeting have been distributed. Is there a motion to approve those minutes? So moved. Motion by Senator Serino. Do we have a second? Second by Senator Ingram. Are there any objections? Seeing no objections, the minutes are approved. Okay, there are two Two updates to the agenda. First, item number 26 from the Department of Development has been deferred at the request of the agency. And item number 20 from the Department of Agriculture was amended to change the total amount of the requested appropriation increase. We do have a late addition or request for a late addition from the Department of Medicaid. and as a reminder to the board members, the department will first request for the item to be added to the agenda. We'll hold a vote on that request and there will be an opportunity to hold the request for questions as with any other item. Okay. Okay. At this point, I will ask the department of Medicaid
to speak to the late addition. Good afternoon, President DeSantis, members of the Ohio Controlling Board. My name is Eric Vineyard. I'm the Deputy Director of Legislative Affairs for the Ohio Department of Medicaid. You're receiving this late request as the department is working to comply with the mandate for nursing payments as outlined in House Bill 479. We believe that when we realized that we needed an additional appropriation amount, we thought it would be more prudent to get this to you sooner rather than later. We did not want to wait until the October controlling board, so the request was deemed appropriate to come before you for a vote for addition on the agenda today. And with that, I'd be happy to answer any initial questions.
Thank you. Are there any objections to the item being added to the agenda? Seeing no objections, the item is added as number 54.
Thank you. Thank you.
All right, moving on to holds. Let's start with Senator Serino.
Thank you, Chair. I would like to hold 36 and 54.
Thank you.
Senator Kaler? I'm going to hold 28 and 29.
Thank you.
Senator Ingram? Thank you, Mr. President. 20 was changed, so I don't need to hold that one. I'm going to hold 21, 22, 23, 29, 38, 47, and 49.
Thank you. Representative Stewart?
39, please.
Thank you. Representative DeVilla?
Thank you, Mr. President. 22 and 24.
Representative Sweeney.
I'd hold item 29, 37, and 22.
All right. The secretary will now read the held items.
Item 21 the Department of Agriculture Items 22 23 and 24 the Department of Administrative Services Item 28, the Department of Development. Item 29, the Department of Behavioral Health. Items 37 and 38, the Department of Transportation. Item and item 36 for Department of Transportation. Item 39 for the Department of Public Safety. Item 47, the Department of Education and Workforce. Item 49, Higher Educational Facility Commission. And item 50 for the Department of Medicaid.
Thank you. Is there a motion to approve all items not held by the Board?
So moved.
So moved by Representative Stewart,
second by Senator Serino.
Okay. Okay. All those that have not been held are approved and represented for agencies of approved requests are free to leave at this time. The ones that are left, they always look like, damn. Hey, hi, Jerry. How are you? I thought that was Lang down there. Or who? Malcolm. You're really a man. Thank you. Wow. All right. First item is 21, Department of Agriculture.
Thank you, Mr. President. Todd Thatcher, Legislative Government Affairs at Department of Agriculture.
Thank you, Senator Ingram.
Thank you, Mr. President.
I just have a question about what phase we're in here. I know it said something, and especially since it's a – and it was mentioned to me that they happen to be a sole source in Pennsylvania. What phase are we in here, and when will we finish with this?
Mr. President and Senator Ingram, happy to report. Phase three, as described in the request, is the final phase of this project.
It is the final?
It is the final phase, so we are in the end stages of completing this project. And you are correct that this item was previously approved in the previous phases as a sole source item.
Okay.
Thanks. Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved.
Thank you. Thank you.
Next is item number 22, Department of Administrative Services.
Hello, my name is Ben Betcher and I'm the CFO for the Department of Administrative Services.
Thank you. We'll start with Senator Ingram.
Thank you, Mr. President. Thank you. I just have a question. Help me understand the amount of this increase. And I do believe we in April did 26. We didn't do 27. This is 27. But why such an increase? And I did read the explanation as to adding ODNR or whatever. My question becomes well who was paying ODNR fleet when it was separate And why are we this increase necessary I know it talks about the number of vehicles et cetera et cetera but help me with understanding why it gets us to an additional
$21.4 million. Absolutely. Thank you very much for the question. Given the size of the increase, it may be helpful to provide a little bit more background on the request here. So, sorry, through the President to the Senator. I would first note that over 90% of the fleet's budget goes to pass-through expenses for vehicles, fuel, and maintenance costs for the agencies that participate in the program. And the increase today would go exclusively for those pass-through purchases. None of this would go to support operations. There are two main factors driving this increase. First, we entered this fiscal year short on appropriation to cover current vehicle lease obligations, and this accounts for roughly $9 million of the 21 and a half that we're requesting. We ended up in this situation due to supply chain issues, which caused significant delays between when we would order the vehicles and when we would take possession of those vehicles. Between fiscal year 22 and 24, the state received an average of 190 vehicles per year. In fiscal 25, the supply chain issues were largely corrected, and we received 851 vehicles. This catch-up continued in fiscal year 26, where we received 552 vehicles. So the influx of these new vehicles increases our annual lease obligations, and that's the explanation for $9 million of this request. As you mentioned, we did come to the controlling board in April of this year seeking appropriation to cover this shortfall. We ended up deferring the FY27 portion of the request until we had a more accurate picture of our appropriation needs, which we feel we do at this time. The second main factor driving this request is what you alluded to, and that is the anticipated pass-through costs associated with fuel and maintenance for vehicles within DNR, EPA, and BWC's programs, which are currently outside of managed fleet, and we are planning to bring them on this year. To, I think, answer a specific question you had, these are expenses that will actually show up in both, like for DNR, it'll show up in both DNR's budget and our fleet budget. So monthly, we receive our bills for fuel and maintenance costs for the entire fleet program. We pay those costs, we being DAS, and then we ISTV agencies so that we recoup dollar for dollar the fuel and maintenance costs that are incurred.
Were there pieces of your question?
No, that's good.
But I know other people have questions, so I'm going to see what they ask before I ask you something else.
Thank you. Representative DeVilla.
Thanks, Mr. President. I think that answers most of my questions. I'm curious, though, for other agencies that are participating, how much cost savings is accrued by this process?
I do not have those figures calculated. I not sure if we have that that we could provide but I happy to investigate that Yeah that would be helpful enough for context if you would send that through the President office Absolutely Representative Sweeney
I don't think I have one on this one. Sorry. Are there any further questions regarding this item? Senator Ingram?
Thank you, Mr. President. I really don't think I have a question, but I do want to make sure that we have clarification on this being the pass-through, and it still shows up in those other departments' budgets, that they are paying those leases, but they are paying them through DAS. And so this additional appropriation will actually be billed back to those other departments.
Through the President to the Senator, that's correct. Yes.
Thank you.
So the agency, sorry, I was just going to say, the agencies have sufficient appropriation to cover these payments. It's just that we need to have that appropriation in our fleet line as well.
Follow-up, Senator?
No, that's good.
Are there any questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved.
Thank you.
Thank you. And we are now at item number 23. You're up again, and Senator Ingram.
Thank you, Mr. President.
I just have a question in regard to, I saw that there were, Are these new licenses that are being added or are these an expansion of departments or divisions or boards that were not previously covered, but they were paying their fees and their license was coming from somewhere else?
Through the president to the senator, that is correct. Yes.
That they're new?
Thank you, Mr. President.
That these were new license types that were added to the e-license system. So prior to that, I don't have the specifics, but prior to that, I could follow up for clarification, but I would think they would have utilized a different system outside of the e-license system.
Thank you, Mr. President.
If you could get us that additional license information, because I know right now it says that real estate added, professional real estate licenses were added. I'm trying to figure out what additional license they added. Because right now all of real estate, those folks and brokers, et cetera, are already an e-license. And they pay the fees. So I'm wondering where those other licenses were unless somebody just decided, well, guess what? We're going to have a new license, period. and we're going to add that through to e-license. That makes a difference. And if other departments have done that, then that's fine. But we need to know, because most of those people pay a fee for their license, and so now they'll be paying it online through e-license instead of to wherever else they were paying it. So I just wanted to know, since it is $2.3 million, I just wanted to make sure.
Absolutely. Happy to provide that follow-up.
Thank you. Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved.
Thank you.
Next, again, is Department of Administrative Services, Representative Davila.
Thank you, Mr. President. So for this one, I'm a strong exponent for government efficiency and attempting to consolidate things, and it looks like there's an effort here to migrate several websites to a new content management system. If you could just walk us through what that process looks like. And obviously it's an appropriation increase, but I suspect there's some savings over time that will
be accrued from this. Absolutely. Thank you for the question. Through the President to the Representative, we are migrating from the legacy HCL platform to the new contentful migration system, And this will save the state resources over time because the fixed rate that we're currently paying for HCL expires in fiscal year 29, at which time, had we not been migrating off to this Contentful platform, we could have experienced increases of more than 1,000%. So it's important financially that we're able to migrate these websites off prior to fiscal year 29, but beyond those savings, agencies will also benefit from the streamlined ability to update web content, and it also supports federal accessibility requirements. We knew about this issue for several years. It was a component in our fiscal year 25 and 26 capital submission. We, again, requested funding for this through the FY27 and 28 capital bill as well, but we did not ultimately receive resources to support this. So we have identified these funds, and we are able to continue this migration, and we think that we're very supportive of this, obviously. But I apologize if there's other questions I didn't get to there.
Follow-up, Representative?
Yeah, just one quick follow-up. So even with migration and consolidation, it's technology, so obviously there will be costs going forward. And is there an estimate of what maintenance costs will look like under this new consolidated system?
I do not have that at present. But I can follow up with that.
Got it. Yeah, that would be helpful.
Thank you. Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved.
Thank you.
Thank you. Next is item number 28, Department of Development.
Good afternoon. I'm Julie Kirk, Assistant Director at the Ohio Department of Development.
Thank you. Senator Kaler?
Thank you.
Thank you, Mr. President.
I think this is a simple question, but I'm not sure. We're buying a building. We're buying a crane. The crane is from Wolverine Company in Grand Rapids, Michigan. Is that crane in the building already, or are we purchasing a crane?
Yeah, through the president to the senator, that crane is already located in the building, so it's all part of the same purchase and transaction.
It comes with the building, or is it a separate item that we're paying for?
Yeah, correct. Through the president to the senator, the seller had them held through two different entities, so there's going to be two different purchase agreements by the company making the purchase, but the crane is in the building already located on site.
Follow-up center?
And installed.
Correct.
Thank you.
We have good makers in Ohio.
Sure. Are there any further questions regarding this item? Seeing none, the item is approved.
Thank you.
Thank you. Next is item number 29, Department of Behavioral Health.
Vanessa McMahan Deputy Director of External Affairs for the Department of Behavioral Health Thank you Mr President I not a fan of gambling People know that about me
We're going to spend $5 million to prevent people from gambling, but when I watch TV and listen to football games, all I hear are commercial after commercial after commercial promoting gambling. Couldn't we save $5 million by preventing people from putting commercials on TV, asking people to gamble their money away? President DeSantis, Senator Kaler, you know, that's an interesting out-of-the-box theory that I'm sure I don't know how that would work quite candidly.
I think it would be something that would be worth looking at. But in the meantime, our plan is to make sure that we are providing the information and access for individuals so they have the resources and they know what to do when they are starting to see concerns that their gambling behavior may be problematic.
Paula, please.
But I am right in saying that you are working with folks who are addicted to gambling, and we have commercial after commercial. We stopped promoting cigarettes on TV. We were promoting, and I just hear gambling commercials all the time about how wonderful it is. And we are going to spend $5 million to help people stop doing what entities associated with the state of Ohio are promoting.
President DeSantis, Senator Kaler.
So the Ohio Constitution, back when the casinos were approved by the voters, it requires 2% of the gambling tax revenue, the casino tax revenue, to go towards problem gambling initiatives and research. And the initiatives, treatment, resources, as well as research. So this request is two-part. One million dollars of it will be used for the department to administer a one-year, I'm sorry, a five-year problem gambling survey. This survey has happened every five years since this initiative first started in 2017, I think. And so that is the first part, and the results of that survey are monitored every five years as we get the results, and that information is used to target resources. The second half of this request is the $4 million, and that is using some research that we already have. It is combining some of the current problem gambling campaigns and resources, combining it into one website platform so that people can access it from one place. What we hear is that men, particularly between the ages of 18 and 44, are the ones that are most at risk for problem gambling. And what we hear from them is that when they do start to realize and recognize that there may be a problem and they may need some supports, they don't know where to go. And so by us combining this into one place, we're trying to make that easier. So it's not necessarily that we're trying to go against what some of the Ohio companies are doing or what the voters wanted when they put this into the Constitution, but we are trying to make sure that we are following our constitutional and statutory responsibility to provide those problem gambling supports.
Thank you. Anything further, Senator? Senator Ingram.
Thank you, Mr. President. I actually just want to know what the increase is for, because there was already an appropriation. We were already doing the survey. So what's the $5 million? Who are we backing up to pull in to target?
So President DeSantis, Senator Ingram. So the $1 million piece, well, we have the increase in appropriation authority requests to $5 million. The $1 million of that to go to the five-year survey, We did have appropriation authority in that in our operating budget but for fiscal year 26 And so just delays in taking a little bit longer we asking for that appropriation authority in fiscal year 27 And then for the remainder of it, the $4 million campaign initiative, $2 million of that is coming from the Department of Behavioral Health through the 2% of the tax revenue that we get. And then the other $2 million is coming to us from the Casino Control Commission. So that's where you see that other increase in appropriation authority. In addition, there has just been additional funds to the line as people are gambling.
Follow-up, Senator?
Thank you, Mr. President. And I guess maybe that's my question. Are we, because we've added online gaming to the extent that it is, is this because there are more folks that we are appropriating these dollars to, or are we doing the same thing for the same number of people, just cost us more?
President DeSantis, Senator Ingram, it's my understanding that there are just more people that are utilizing gambling with increases in gambling, and more people are doing this. And so that is where the increasing revenue is coming from.
Follow-up, Senator?
No, I'm good. Thank you.
Representative Sweeney.
Thank you, President. My first question is just, could you further expand upon how this is going to be integrated into 988? Is, I don't know, the current problem gambling number, but I think it's, you know, that's how it's marketed. Is it going to be marketed as 988? Could you just explain to us, like, that coordination, and is it going to be separate, or, like, how does, are we combining them? I'm just not fully sure on that.
Yeah, absolutely. President DeSantis, Representative Sweeney, we are combining – well, we have a contract for the problem gambling helpline as it stands, and it's a long 1-800 number. And so that contract ends at the end of fiscal year 27. And so as that contract ends, we are going to start consolidating the problem gambling line over to 988, meaning that now they will all be one and the same. So if you need problem gambling supports, you will also call 988. And so we plan to, it costs $115,000 a year for the problem gambling line separately. We will be absorbing those costs. We will not, this cost, this will not cost us anything. It is an effort to better streamline and make sure that people know that when they are in crisis, when they have concerns, that they can call 988, the easier number to remember. We also know from studies that have shown that a lot of times when people realize, by the time they realize that they need problem gambling support, they are in a crisis situation, suicidal ideation, and so we felt that it was appropriate to consolidate this with 988 and save some money.
Follow-up, please.
Thank you, President. I think that's a fantastic idea, and I think to your point, if someone's having a problem, it's very much connected to the resources that the state has invested in 988. The one thing that I'm just concerned about that we had a special committee on gaming three years ago that I sat on. We've talked about in finance. The one finding of the current problem gambling hotline is that the last thing I could find was 30 percent. But I think the last time it could be up to 50 percent of all the Carls into problem gambling hotline are people who have consumer complaints. And we see that because it on the commercials that the one number or on their apps it the one number that I believe we mandate to be on there and that the only number that they can find So people so are you guys aware of that My concern is one that a concern within the problem gambling hotline because it if somebody in crisis and the last thing we would want is to put thousands of calls of people who don't know, you know, who have a problem with how do they get their winnings? How do they kind of coming into that? And so have you looked at that And what is the pathway to avoid that? And just from my thought pattern is I think part of the issue is that charity gaming is regulated by the attorney general's office. The lottery is the lottery. Sports betting is the casino commission, casinos. And so who knows that besides lawmakers? And how do we kind of help people get to the right agency? Because there isn't one number for that. And I think that is what's causing it. It seems like we can have these savings, but the last thing we would want is crisis hotline numbers helping try to mitigate just regular complaints.
Absolutely. President DeSantis, Representative Sweeney, I will say I don't I am not very familiar with that issue, but I can certainly follow up with you with additional information and work with our team to find out anything that they've considered along those lines or what they're aware of. I will say that because, well, to your point, you're right. You wouldn't want people with complaints to call the line. But as part of consolidating 988 or the problem gambling line into 988, along with the consolidation of the information on the website, we plan to have that as a one-stop shop for the website, at least for information and resources that you might go to now for the Lottery Commission. or you might go to the Casino Control Commission, and to combine everything to put it into one place to make that a little bit less confusing for people as they are looking. As far as for a complaint, to your question specifically about the complaint line, I don't know for sure about that, but I know that we do plan on, through this work, doing some messaging through 988 for problem gambling concerns and resources that are needed that you will call 988. so I think that will hopefully help weed some of that out but I can certainly follow up with you with additional information
on that. Just a comment please. Thank you for that because I think it makes sense but it was just something that is just concerning and I would love you know it makes sense if you guys are aware of that and I am happy to show you some of the testimony that kind of highlighted this and connected with the folks that I think that when as you're consolidating there's probably things that you could do to even put on, hey, if you just happen to be coming. And I think people are looking at problem gambling as, oh, I have a problem, you know, a complaint. And like maybe having a 988 crisis line may help mitigate that. And then I would just open the door for if you guys are seeing that problem, working with the legislature, because it does seem like more of a notification problem and, you know, maybe mandating some disclosures on, again, if it's charity, the attorney general is the person that can help you if you have a complaint that has nothing to do with a mental behavior kind of health. So I just open door, but I think you can be a partner. But if my data is correct, it seems like it might be something larger than just your department. And the last thing, again, we want is to have, especially a 24-hour hotline, to be anybody waiting because we're dealing with non-relevant calls.
Absolutely. President DeSantis, Representative Sweeney, thank you so much for that feedback. I'll certainly follow up.
up with information and would love to work with you further. Senator Serino.
Thank you, Mr. President. I have to concur with my colleague here, Senator Kaler, on the sort of the interesting comment that we promote gambling in the state, and now we're having to support people who have developed addiction to it in one fashion or another. So correct me if I'm wrong. So we have statutory requirements that a certain percentage has to be of gambling taxes, taxes related to gambling and betting, goes into this fund, right? We are seeing an unusually large amount coming in more than we forecast, right, because more people are gambling and they're gambling in greater ways. And because of that, then we're seeing more people who are producing that increase are problematic gamblers, right? So is gambling addiction considered to be a mental health issue?
President DeSantis, Senator Serino, I will say I'm not a mental health professional. I know there is such a thing as gambling disorder, which would be a mental health issue. I also know that a lot of times what we see or hear about are situations where someone may be gambling because sometimes they think that it's a good way to either make income or supplement income. There are some men, especially in the 18 to 24-year-old range, which parts of this campaign would seek to target, is just in making them aware that, you know, this is, it's not necessarily a full-time job. We know that there are people that don't go into the workforce as often because they supplement with gambling or use that with gambling. And so then what we also see is then, you know, sometimes you win some money, sometimes you lose it. And then when you have people that just keep chasing that, they lose money and think, oh, I'm going to go for, I'm going to go gambling again and I'm going to make some of that money back. And then sometimes we will see that they get into a crisis situation where they become then at risk of suicide because they feel ashamed or embarrassed. And they think, oh, I've ruined my whole family. I've gambled away all of my money. And so we're trying to do a little bit of prevention here as well to reach them sooner. So, yes, there is a gambling disorder, but we also know sometimes that when people are in a crisis, sometimes suicide is a quick reaction to a large problem, and we want people to know that help is available. So we already have suicide counseling available for people for other reasons, right, whether it's not gambling.
I'm just confused as to why we're taking this excess revenue that we're collecting here and putting it towards the abuse of the very thing that is causing us to have that increase in excess revenue.
Okay.
And I think, you know, we talk all the time here about, you know, not funding mental health the way we should, and that's probably true.
Okay.
I think we probably need to do a lot more, and this may be one subset of that. But I think we should park the extra money in someplace else in mental health and not specifically try to deal directly with gambling addiction, which, you know, I don't know how somebody on the phone disabuses somebody who thinks that they can just earn extra money by gambling That person needs maybe more than counseling Okay So I have I don know I struggle with this one I think we you know we set aside constitutionally that a percentage needs to go towards certain
things for problem gamblers, and that's the constitution. It is what it is.
But what we do with the excess rather than putting it into these other programs, I think is questionable.
Well, President DeSantis, Senator Serino, thank you for your feedback and certainly open to having future conversations with you on any ideas that you have. We would be open to that.
Okay. Thank you. Representative Stewart.
Thank you, Mr. President, and thank you for your time. And as sometimes happens, good questions from colleagues. Didn't think I had questions, but now I do. You are free to punt on this if it's one of those there's somebody else to talk to. But it does generate the question. I think we all generally have an idea of what problem abuse of alcohol looks like. I think we generally have an idea of what problem drug addiction looks like. I mean, does the department have a standard for what constitutes problem gaming? I mean, if you drink and abuse drugs every day, that seems to be a problem. But if you put $10 on the reds every day and you make pretty decent money, is that a problem? And I guess, what does the department deem to be problem gaming?
President DeSantis, Representative Seward. So I can answer your question enough just to be dangerous, and then I'll follow up with you with additional information from our problem gambling folks. But, well, and I say just to be dangerous. That was probably the wrong choice of words, given that we're talking about all these. But I can just hit it at a high level, essentially, just that typically when you see someone who is continuing to gamble and they're continuing to gamble money, it's not additional money. It may be their savings. It may be the money that they need to pay their rent or their mortgage or to eat. It's when they are continually doing those things, and if they keep losing, they have a tendency to continue to put more money into that to try to get back the money that you have. And so it becomes a cycle of trying to get that money back, and it also is this kind of reward thing that they're chasing after. And so, but I'd be happy to follow up with you with additional information on some of the more scientific, clinical definitions.
Follow-up?
Thank you, Mr. President. we've had a you know it's a little frustrating to me that we have the ability to bet on a baseball game now and it's like some folks think that is a really really large problem we've had a state run lottery system for 52 years we've had people using their paychecks to buy scratchers at the gas station for 52 years and nobody seemed to care does the state have a similar problem lottery abuser line, or do we track that in any way separate from the other gaming that we have now? President DeSantis, Representative Stewart, that's another one I'd have to
follow up with you on. I know that they do promote, though, the problem gambling
helpline, so they will then begin promoting 988. So they certainly do promote those same numbers so that anybody who's using the Ohio lottery that then realizes they need support, they would still call, now they would call the problem gambling helpline. And so, and in the future, we'll call 988. So it still the same mechanisms to reach them It just that I think we just get the focus because the Constitution dedicated 2 of those funds and charged our department with putting out programs for problem gambling.
Follow-up. I was not aware until today of the plan to, you correct me if I'm mischaracterizing it, but that we have a problem gaming line that we've promoted in the state for quite a while. Call this number if you have a gaming problem. But maybe in like six to nine months, the plan is we're going to shut that down and refer everybody to the 988 Federal Suicide Prevention Hotline. I wouldn't want to speculate too much here, but that would seem to suggest we have a dedicated pot of money designed specifically to fund a problem of gaming line.
We do not have a dedicated pot of money to fund 988. That is subject to the legislative process and questions about whether the amount we spend is worth what we're getting for it. This would seem to me a way to sort of prop up the 988 hotline with a guaranteed funding revenue source that was never intended to fund the 988 line.
Am I on any kind of a right track?
Well, President DeSantis, Representative Stewart, I think it was more about looking at how can we effectively reach people who are in crisis and are struggling with any range of behavioral health conditions. And the crisis is defined by the caller or by the family. And so we have done that with MRSS, Mobile Response and Stabilization Services for Youth, where they previously had a separate hotline that they would call if they needed those services. We rolled that into 988 because we heard from families that it was really hard to remember or figure out when you're in the moment of crisis, hard to remember and figure out where to call. But 988 is easier. And so we've seen success with that. And so it's really just the same thing we were thinking of this is that when we hear from when we have these preliminary surveys showing that men ages 18 to 44 don't know where to go when they get to a term or when they get into crisis when it's related to gambling, that's when we started thinking outside the box and looking at it to say, okay, but everybody does know, or most people do know 90-day, and it is easy to remember rather than this longer 1-800 number. And so that is really the intention and the goal behind this.
I understand what you're saying, certainly, but our intention was to make sure that people knew how to access it and could with the easy number to remember. Last follow-up. Is there any concern that you're going to have a lot of folks out there saying, you know, I think I've spent too much money on gaming this week. I think I may need to talk to somebody about that. And they get referred to a suicide prevention hotline and say, well, hell, I'm not suicidal. I bet too much on the Bengals last week. I mean, are you going to discourage folks from getting help by saying you're all funneled in with the suicide prevention folks? And are we diluting the suicide prevention hotline by saying you're now going to handle a bunch of calls about consumer complaints or, you know, I gambled too much money?
President DeSantis, Representative Stewart, I totally understand that question. That's something that we have talked through with our team and thought through as we came forward with this controlling board item. And we will try to be clear with our messaging. because we don't want to prevent somebody to come for help because of that, because they think, oh, it's a 988 suicide line. But we also know on the flip side that a lot of men in that age population, they don't reach out for problem gambling support until they are at suicidal ideation. And so we hoping to be able while we have the website where you can have resources there that we working on providing information and then also having the 988 line Certainly that something that we have to talk through moving forward as we work with the vendors to make sure that we messaging and sharing the information the right way But yes, that is a consideration that we have talked through and continue to talk through.
Senator Kaler?
Thank you, Mr. President. I thought Chairman Stewart was going to get to my question when he talked about the lottery, then he talked about betting on the Reds, and I was a little bit worried about that. You do have a problem if you're bent on the roads. Am I understanding you don't get any money from the lottery for any of this as it is now?
President DeSantis, Senator Gaylor, not for this specific initiative. We do get money from the lottery that helps pay for some of the Change the Game campaign. And then there's the Pause Before You Play and Change the Game. Oh, pause before you play is a statewide gambling awareness campaign. And then change the game is a youth gambling prevention campaign. And so we do get money from the lottery commission for those initiatives.
Could we have the numbers on what the state of Ohio is paying for those programs to detour, to stop individuals from playing the lottery while we're promoting the lottery? Because I know in the end, the only way Ohio wins on these tax dollars is for Ohioans to lose. and that's a concern to me.
President DeSantis, Senator Taylor, certainly I will follow up with you with that information.
Senator Ingram?
Thank you, Mr. President. I probably still have a question more so now than ever because we've added the online gaming, which of course has indicated you're bombarded with king games, game kings or whatever it is, and if you bet $5, you'll get $20. I haven't gotten $20 yet. Of course, I haven't bet $5 either. Not online. But my question becomes, why do we not think of 211 with that whole conversation about who to call? Because at every casino and every gaming place, you do see Problem Gambler call this number, et cetera, et cetera, or even scan a QR code. So my concern is that you've decided, and it's not just because of the money, but to put that into 988, which to me takes away from the importance of that being the suicide hotline, as to just call it for if you think you're... Because most people who have problems gambling are not suicidal. but they do need help. And it's been around. Gamblers Anonymous has been around for a very long time. Many people don't know because it's not that severe until they've bet the house or bet the car or something like that. So my concern is that we've rolled this into 988, and also that despite the fact that there's a 2% that comes from the casinos and the gaming places, that it's still just a program. So my concern is the clinical side of this and how those monies are distributed. And I know that's not what we're into today, but there's folks at hospitals that do this. I know people who do that for a living as far as problem gamblers are concerned. And it is an addiction, which is like alcohol or anything else that you are addicted to, and so it is a mental issue. So are we making sure that, other than just doing a statewide stop gambling program, it's almost like just say no to drugs, are we making sure that the clinical side of this is being taken care of as far as who's receiving those dollars?
President DeSantis, Senator Ingram, certainly we are working with our partners to help fund these initiatives and use these dollars to provide, the dollars that we get to provide treatment for Ohioans to send. We do distribute money from this funding stream out to the local Adam H. board so that they are able to use that as well. So it is a statewide partnership in which we are trying to work through and distribute those funds and resources.
Thank you, Mr. President.
I appreciate the thorough conversation with colleagues on this topic. I want to clarify though, because I was just talking to my colleagues here, are we understanding this correctly that under this proposal, and even with these additional dollars, that all of these calls will be consolidated into the 988 suicide hotline?
an accurate statement? President DeSantis, Representative of LA, yes, that's correct.
Okay. And that, Mr. President, that's where I really have a grave concern with this proposal. I was just out of business last week in Strongsville. It's a medical clinic that provides different types of treatments for post-traumatic stress. And it was emphasized again to me, and I hear this frequently. In fact, this month is just about to end, is Suicide Awareness Month. And so within our Navy commands, we are constantly pressing into our units and reminding them to ask for help if it's needed. We continue to see numbers that are somewhere around 21, 22 deaths a day. It's higher within our military and veteran community, our first responder community. It's a serious issue within the mental health space and the society generally here in the United States and here in Ohio. And I'm just concerned based on the comments that a number of my colleagues have made and from my own experience that melding these two types of things together, it's not even apples and oranges, it's apples and squirrels or some bizarre combination here that simply does not belong together. And so it's my intention if this goes forward to register my objection to this item today. But that's just where I am on this point. Thank you.
Thank you. Are there any further questions? With all the questions that we've heard and the amount of information that people are looking for, would the agency care to defer at this time?
President DeSantis, absolutely. We are happy to defer and follow up.
Thank you. Item number 29 is deferred at the request of the agency. Thank you. Next is item number 36, Department of Transportation.
Good afternoon. My name is Greg Vergemini. I'm with the Ohio Department of Transportation. Thank you.
Senator Serino?
Thank you, Mr. President. Just two quick questions. You could probably dispose of these easily. These additional studies, who are they, and what are the projects? And there's no detailed information on this.
So could you please clarify Controlling board president DeSantis to Senator Serino thank you for the question This proposal is actually for three what we call research on call projects And what these are are ODOT Division of Engineering, our ODOT Division of Operations, and our ODOT Office of Statewide Planning Research. This is available to our staff for very technical, short-term, very specific questions that they might have. For example, with the Department of Engineering, it would be on hydraulics or roadway, pavement, real estate, real focused. So we are, with this proposal going out to, we selected a consultant to help us. If our staff does come up with a very technical issue or question, they can go through our staff, determine that that is appropriate, and then we can then reach out to these consultants to say, here's a very specific, very focused, highly technical question, can you provide this research for it? Very short term, and the maximum amount for each one of these projects would be $100,000. Most of those are in the range of about $50,000 to $60,000 when it comes to that expertise acknowledged that we do receive. Thank you.
Follow-up?
Thank you.
Are there any further questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved.
Thank you.
Thank you. Okay. Item 37, Representative Sweeney.
Thank you, President. And on this one, I don't have a particular issue with this $1.5 million for road safety fund. But I am curious with a lot of the dialogue that's been happening with the reserve cash in ODOT, which I'm trying to understand, like, what project. So it seems like these types of projects could be impacted if there was a withdrawal. And so just my general question is, with the numbers I have access to, when you look at ODOT's reserve cash, it looks like we have about $1.6 billion, but it's connected to $5 billion that have already been spent. Is that a fair way to look at it? And if there was a withdrawal from the cash, what types of projects could be impacted? Is it just preventing projects we want to happen, or is it actual projects like Item 37 that deal with safety?
Petroian Burr, President DeSantis to represent Sweeney. Yeah, thank you for that question. This project is, like you said, a safety project focused on an intersection a few miles north of Delaware. It's the corridor that goes to Buckeye Valley High School and also the middle school. we've noticed that there's quite a few crashes in that area, about 36 accidents over the last four years. So it's just for the design. We looked at quite a few different alternatives to look at how we can improve safety, and we did need some additional funding as we've gone to that design because it is a unique interchange that we're going to promote here. But my understanding with that, you know, we're still reviewing all the details from what you've discussed here. is that this would still be able to go forward as a project.
Follow up?
Just one follow up.
Thank you. And the bill in the Senate just dropped, and it does look like they are not pulling from ODOT, so I do think that a good thing from the five minutes I been able to look at it But just taking a step back can you just give us a broader picture of ODOT budget Last just last year when we were going through the transportation budget the director herself, in her testimony said, beginning with fiscal year's 28-29 budget, recommend program allocation are larger than projected revenue. That would be, to me, describing a fiscal cliff that is going to be upon us in a matter of a few months. I know that the projections of next budget are not out yet, and we should have that by December. But given the discussion that we're having, an important one of trying to give Ohioans relief, but the reality of by nature of a holiday, it's temporary. Could you give us an insight of what that pending gap can look like? There's a big difference between a $50 million between projections and recommendation compared to when I entered the legislature in 2019, we were looking at a billion dollars a year and growing whole. So could you just talk about what your department is aware of, what you can share publicly in terms of the stability of the general transportation funding?
Attorney Board of Presidents DeSantis, Representative Sweeney, again, thank you for the question. I know we've received quite a few questions on some of these issues, and I'd be happy to come back and discuss it in more detail, but I don't have any updates at this time, but thank you.
Great. I look forward to that. Thanks.
Are there any other questions regarding this item? Seeing none, any objections to this item? Seeing none, the item is approved. Thank you. We are now up to item number 38. Senator Ingram.
Thank you, Mr. President. I am looking, and I have the detail as to who was awarded the scope of the project. These are nine contractors or nine vendors for, what is it, 46, 49 stations for our electric vehicles. I know that you did a bid process. You sent this out and responded, and that's how Love's got 13 locations in mid-core EV charging, got eight locations, Sheetz got seven, United Dairy Farmer, et cetera, et cetera. My concern is, is what's that relationship? And that's probably none of my business. but are they third-party vendors here where the state has actually, almost kind of like Jobs Ohio, we've given them the license and then they pay back to the state? How does that work?
Help me with that. Control Board President DeSantis, Senator Ingram, thank you for that question. As you may remember, this actually is our round three. So this program is funding that Ohio has received, about $140 million from the National Electric Vehicle Infrastructure Program. So it's federal funds to work with private companies to increase the number of electric charging stations across the state. You know, currently we have 19 operational stations. We have 12 more that are nearing completion. So when we add these 49, we'll be close to 80 electric charging stations across the state that this program has helped fund. It's 80 percent of the funding is federal funds, and then 20 percent is for the private companies. And each of these new stations will have at least four charging portals at each location so that the traveling public if they do purchase an electric or a hybrid vehicle will find that they have an opportunity for a safe reliable efficient opportunity to charge their vehicle And what this does is, and Ohio has been a leader in this program from the very beginning, So it's a great story that we're happy to tell in that, you know, what we're looking to when we review all these proposals is, is the company able to design, build, maintain, and then operate these facilities in the future? So most of these, as you know, are very reliable. You travel and use these stations every day, these companies every day across the state, and this is just adding to that location so that the electric vehicle charging is available at that location. Thank you.
And thank you for that. My concern is not who they are because Loves, everybody, you know, somebody's probably stopped at a Loves all the time. I see there's no Buc-ee's on here. They already have. Anyway. But my concern is how the state gets taken care of as far as we're actually having EV stations, and these are vendors, national some of them. and what do we get out of the deal despite the fact that it's 80% fed and 20% federal, well, I mean 20% state, we still have to move forward with whatever maintenance, et cetera, and these folks are making money off of those charging stations, and my concern is what comes back to the state because, you know, we already have folks arguing that EV users should not have to pay an additional license fee and things of that nature, but we still have the highway, and it's also still included on the gas tax. So how does that work? Is there a different agreement with each of them, or is it the same type of agreement with each of these vendors?
So, controlling board president, DeSantis, Senator Ingram. So the way I understand this is that it's actually each company is using their own funds for that 20%. So there's no state funding that's in this. It's either federal or private companies funding to use for these projects. And, again, it's more for the traveling public so that they know that there's a safe, reliable location for them to charge up with the newest technology, their EV or hybrid vehicle as they're traveling throughout the state of Ohio.
Follow-up, Senator?
So in that case, and I appreciate that they're using their 20 percent because most of them can afford it. My concern then is what does the state get as far as its tax on that EV station, despite the fact that it was federal money and now there's no state money, but their money is included. what does the state get back for taxes that a traveler stops and gets gas, they're paying our state tax. A traveler stops and gets charged up, they're paying what?
Controlling board presence, DeSantis to Senator Ingram. My understanding is the registration fee for that vehicle in Ohio would be part of what the state is receiving for that. Again, there is a payment that occurs at that electric, I mean, it's not free. to get charged for that electricity. But from a tax perspective, I'd have to ask one of our Drive Ohio staff to help answer that question. Good afternoon. My name is Santos Ramos, project manager at Drive Ohio. Through the president to senator. There's no, I guess to answer your question, the one tax that would be, it's an 80-20 split, so 80% federal, 20% private match. Essentially, there's no sales tax on electricity, but as traveling public goes and purchases items at the charging locations, they'll be providing to Ohio sales tax. Am I understanding your question correctly?
Thank you for that. So if I'm traveling, I'm not registered in Ohio. I'm traveling from Michigan, and I happen to stop in Ohio. I stop at the EV station at the United Dairy Farmers and I get charged, then I'm not paying anything in Ohio at all. Control-A-Loire, President DeSantis, to Senator Ingram.
Correct me if I'm wrong, but my understanding would be that each one of these for an electric charging vehicle, it does take 10, 15, 20 minutes. That's why we're looking at like a Sheetz or a Lowe's or United Dairy Farmers, and we would hope that they would, just like you said, go into the store, purchase some food or something at the store, maybe eat, and then that would provide some tax dollars back into Ohio.
But if I live in Ohio, Mr. President, if I may, but if I live in Ohio, I've already paid my fee, which we are trying to eliminate according to some people. I've paid my fee, takes me 20 minutes if I need a full charge. I go in and buy some Twinkies or whatever. Then that's how I've contributed. I've contributed on top of my fee that I paid when I registered my vehicle. My concern is that people traveling through don't pay anything. unless they go in a store and buy Twinkies, and then they give the $0.02 or $0.08 or whatever Twinkie costs.
Through the precedent, too, Senator. And the cost of charging. So charging is not free. I don't know if that was correct. Right, but you don't get that. We don't get that. We don't get that, correct. We don't get that. But, yeah, they would pay that particularly. But, yeah, the scenario you laid out is correct.
Okay. Okay. So the Lowe's, the dairy farmers, the, I mean, Lowe's. I said Lowe's. You go do your gardening there. So all those other folks are making those dollars and, of course, selling their products. And the state doesn't have a contract that means that we're getting things. It's just doing more business so people will stop. I wish that I could get them to check the quality of our gas, but that's another issue, not your concern right now. But thank you for that. I am concerned with who's getting those dollars. And despite the fact that there are private dollars that are put in, my reality is that the state still should get something, because the whole point of having it on a highway is because we're looking at travelers. So when you get people from Virginia and Pennsylvania and all those other places to stop and to charge their car yeah they paying a fee but we don get any of that If they go in the store and buy a hot dog depending, well, do we get charged? You can't get a hot dog. But if they get something that they have to pay a fee, I mean a tax, then we get a portion of that. Okay.
Anything further, Senator? Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved. Thank you. Item number 39, Department of Public Safety.
Staff Lieutenant Rob Sellers, Highway Patrol. Thank you.
Representative Stewart.
Thanks, Mr. President. Thank you, sir, for being here. When I saw that Highway Patrol was buying two planes for $6.8 million, I thought maybe we were buying private jets, but I understand these are Cessnas. We kind of did some looking into prices and such, and it seemed like the base cost of these may be $850,000, $1.2 million. We're going to pay $1.4 million under this bid. Then obviously we've got a lot of $2 million of upgrades on top of that. Was this competitively bid?
Through the president to the representative. I'm going to do my best to answer that. I've got some backup here. But we have a competitively bid state contract to procure aircraft. So to set this up a little bit, the problem that we have run into in the past is you buy an airframe from one place, and then you buy avionics and equipment from another place. And then when it all gets installed, when there's a problem, we get, well, that's not ours. That's what the techs did. Or the techs say that was a manufacturer problem, and then we run into warranty issues. So we have run into that many times in the past. So what we did was we bid a statewide contract to procure turnkey aircraft. So we get the aircraft, the airframe, all the equipment and avionics already installed, ready to go, warrantied, and we only have one person to deal with. So yes, the procurement contract was publicly bid, and we're using that contract to buy these airframes.
Follow up?
So CNC is the state vendor of aircraft generally? Is that what we're saying? Like they're the only folks we go to for planes?
I'm going to call him back up. Okay. This is Captain Justin Cromer. He's the commander of our aviation section. He can get in kind of the details on that. Okay. Good afternoon. To the representative through the president, essentially yes, sir, because that was competitively bid, CNC Technologies won that bid,
and that's the entity that we procure all of our aircraft through. They're not procuring them. They're not providing them, obviously, on their own. They're procuring them through the manufacturer, in this case, Textron, Cessna.
I guess the main question is, are we – I understand the logic of saying I just want a fully baked aircraft. I don't want to have to go anywhere else and get the stuff. But are we paying CNC a premium for sort of sourcing all the gadgets that go on the plane as opposed to if we did go get them somewhere else?
To the representative, through the president, essentially, yes. there is a premium associated with it There has to be in order for them as a business to make a profit and to stay into business What we found historically is procuring the aircraft is not the issue It's the service and support that follows it down the road. And while there are several different companies that offer this support and they had the opportunity to competitively bid, none of those companies will support your product unless they're the ones that have installed the equipment. So, unfortunately, it's kind of a catch-22. And really, it's not the equipment as much as it is the engineering of the equipment. And where that comes into play for us historically has been we've had two aircraft with identical cameras on them, and one fails, we need to move the camera from one to the other. But unless those are engineered the same way, that's not a simple swap. And so in order to streamline all the operations to keep us rolling, that's why this competitive bid was put out for the TPA.
And for follow-up, please?
Yes.
And for those watching who may ask the question in 2026, what does the Highway Patrol use airplanes for and how many do we have?
To the representative, through the president, yes, sir. So we have a total of, in this case, we have 11 182s, and four of those are going to be traded in for two 206s. Outside of that, we have two other fixed-wing aircraft and three helicopters. So that's the size of our fleet in general. These aircraft, the 182 side of the fleet was used exclusively for airspeed for years and years and years. As we have pushed forward, more of these operations are being spent toward violent crime reduction initiatives, and that's why we need the mission equipment on these aircraft. Four 182s are going to be traded in for two 206s. Those aircraft are then going to be used to outsource or decentralize the assets that are now at the Don Scott Airfield at OSU, and we're going to push those down to the southwest side of the state to support the local entities, Cincinnati, Dayton, etc., in order to push those assets out to where the locals are using them more. We support every city within the state on a routine basis. Every day of the week we're in a different city supporting their violent crime initiatives. And the aircraft is, in my opinion, there's no other asset that's going to provide the level of risk mitigation to a violent crime reduction initiative that aircraft do. But these aircraft are critical in supporting that.
A follow-up. When you say airspeed, that is the signs that say you're monitored your speed driving by aircraft. Is that right?
To the representative, to the president, yes, sir. Lines marked on the roadway, pilots using a stopwatch recording the time it takes for the vehicle to travel from one set of lines to the other. That's traditional airspeed operations. Been doing that since the 1960s. These aircraft will be able to continue to do that. But in addition to that, they'll have all the equipment necessary to support the violent crime reduction initiatives and all the other calls for service that we get on a routine basis.
And last one, I think, when we say violent crime reduction with the airplane, I mean, generally speaking, I know in the past it would be my sheriff say, well, we're looking for marijuana. It's now legal. So what are we doing violent crime reduction with airplanes in cities?
To the representative, through the president, violent crime reduction initiatives are initiatives that we partner with local agencies. Outside of the Columbus Police Aviation Unit, we're the only other active air unit for the entire state. So we cover the rest of the state. Since these assets are expensive, our local partners don't have the resources a lot of times or the expertise to operate them. So we provide that to them on a cost-free basis. Three out of every four calls that we receive are for other agencies across the state. And so on these initiatives, what they typically look like is a detail that has been scheduled based upon statistical criminal analysis of an area Aircraft will fly overhead ground units from both our department local department and partnering agencies are engaging in traffic stops based upon criminal activity, maybe they're initiating by bus, et cetera, and our aircraft is overhead to provide surveillance. The moment that vehicle doesn't stop and a pursuit ensues, our aircraft takes that over, the units back off, They provide the risk mitigation that we do very well for the pursuit. And once our aircraft is engaged, it's pretty much a done deal that they're going to be captured in a safe way. So we'll follow them to a residence. We'll follow them to a business, whatever. And units are so far behind that they don't see them. We'll move units in, and we effected arrests that way, providing, again, risk mitigation not only to the officers on the ground, not only to the public that has to endure this as the vehicles are driving through, but also to the occupants of the vehicle themselves.
Are there any further questions regarding this item? Any objections to this item? Seeing none, the item is approved. Thank you. We are going to jump ahead to item 54, Department of Medicaid, and we'll come back to 47 and 49. Okay.
President DeSantis, members of the controlling board, for the record, my name is Eric Vineyard, Deputy Director of Legislative Affairs for the Ohio Department of Medicaid. Thank you.
Senator Serino.
Thank you, Mr. President. Thanks for moving this one up. So I don't disagree with the – I have any issue with the appropriation request here. I just want to make sure that people understand why we're taking this action. So there, and I've been briefed on it, as many others have as well on this board, that there was a, we in June took action in the legislature to resolve the nursing home litigation that was appealed all the way to the Ohio Supreme Court. And at that time we felt that we had understood exactly what our obligations were and we identified funding sources to meet those obligations, correct? So my understanding is in the briefing that there was a miscalculation of some sort that has caused the need to come back to us here, a controlling board for additional funding. So it's not changing the nature of the lawsuit, it's not changing any of the other obligations on either side. If you can just give us a general idea what the miscalculation basically was.
Yes, through the president to the member. In the simplest terms I can, part of the issue, which was that question here, is because this has been fundamentally a learning experience for the department. We've never had to do something like this. So when we had to basically rerun the calculations originally, one of the things that we had to make sure we did was we thought we had the right data to use in the right way to get the right amount. And then as we started working through the actual process, once we got the approval from the legislature and we received the appropriation, and as we got closer to actually distributing the money, what we wanted to do was we wanted to double check what we were doing, make sure all our I's were dotted and T's were crossed. And when we came back in collaboration with some of the associations to discuss what the framework was going to be, how our calculations were being done, they pointed out something which we realized was at least something we needed to go back to. into our data pool and figure out whether that was actually a mistake or it was something that we question, what we realized is there was an issue. And that actually, partly again, because we've never done this before and we are kind of figuring out how this is going to work, that's when we had to go back, rerun the calculation, we had to identify what that issue with the underlying data was, and that's what we've done. The result is that the number has gone up.
Okay. Follow up? So thank you for that. So the formula is there's been no change to the actual formula that we all agreed to or that the courts made us agree to. It was the calculation in timing for the recipients and how the total funding was going to be distributed. Is that a correct assessment?
Yes. And again, in simple terms, if these payments would have been made under normal circumstances, they would have been paid prospectively. With everything that we are doing, we are doing retrospective payments. One of the added challenges we have with this is because we now have data over all of these different time spans that's covered by this payment question. So whereas before, you wouldn't have had, I would argue, the concreteness of the information that we have now when we're looking back retrospectively. So that's not the only consideration. That is one of the considerations that as the department was looking at how we do this and how we do this correctly, that was something we needed to figure out. Not to belabor the point, but obviously there are also other considerations with federal funding changes and different payment rates for the feds at different points in time under the period at question. So that was just, again, just one of many considerations that our staff have been working through, which makes this more difficult than just, I would argue, what might be assumed if these payments would have been made under the way they would have always been done.
Yeah. Thank you. So I know when we were discussing this within the Senate prior to the agreement, it's an enormously complex set of numbers to come up with. Okay, I fully appreciate that. And so because it was retrospective and because calculation in favor of one set of nursing homes would be to the exclusion of others, you were not able to make any payments since June when we passed this in the intervening months until this now gets resolved. Is that a correct statement?
Yes. One of the reasons we have been so deliberate with our own internal discussions and our external discussions on this topic has been the last thing the department wants at this point is us to release a payment and for it to be wrong. We don't want that for our nursing facilities. We don't want that for the state. We obviously don't want it for the department. So we have been trying to do everything we can to double check, make sure everything is right. Again talk with our partners externally as well to make sure that we aren missing anything potentially And after all of this stuff we been doing this is where we landed So yes it been intentional in that we don want to mess things up when these payments go out because they are so important
Okay, so two final questions, and I'll defer here. So what communication has gone on with the nursing homes who have been waiting for this since we passed it in June? and number one. And number two, when will, now that we, assuming we get this done today,
when will payments start being made to the nursing homes? So I know that our NIF team, the nursing facility team in the department has received communications from individual nursing facilities on and off over the last few months. I think communications with the individual homes on a case-by-case basis have largely been, we understand you're awaiting payment. We understand you are wanting payment as soon as possible. Please be patient with us as we work through the final logistics. Again, there are other things than just the payment calculations and the total amount that go into making these things a reality for the nursing facilities. So we've tried to make sure that we don't advertise potential payments or, frankly, we don't want to put too much information out that we would then have to retract if it was a mistake to individual homes. That said, especially in this latter stage, what we have done is we've communicated with the nursing facilities and we've tried to bring them in to where we are at, at a more granular level. We've let them know, again, these are the way we've been calculating the payments. We've shared the calculations with them to get their feedback on, again, are we missing anything? Is there something that you can double check to make sure that if you see something that might be off, you let us know ahead of time before the payments go out. But we've tried to work as much as possible through the associations to streamline communications and direct individual nursing homes back to the associations so that they have a unified place to go to to get the same message. They aren't hearing things from one person that might be different from another. So that's been our attempt. That's what we've tried to do. And obviously, as we are getting ready to release the funds, we will be communicating with the individual homes with information on the specific payments.
So checks, I'm sorry, another last follow-up. When will checks start getting cut?
Yes, we are planning to release funds this week.
Okay. And you expect to be completed with all of the payments by end of October?
We would expect, ideally, one of the considerations which we will still have, and this will be in the communications that go to the individual nursing facilities, if there are questions around the change of ownership, so the change in operators, that is going to be one of those considerations where we won't be able to give a definitive time frame. By and large, you will be finished before the end of October. That is the intent.
All right. Thank you very much. Thank you, Mr. President.
Senator Ingram.
Thank you for all those questions, Senator Serino. I don have to ask any except one And my concern is is this million and million on top of what we already did in June It's an increase in the appropriation, right?
Through the present to the member, yes.
Okay, thanks.
Follow-up, Senator?
No.
Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved. Thank you. Item number 47, the Department of Education and Workforce.
Hi, good afternoon. Aaron Rausch with the Department of Education and Workforce.
Thank you.
Senator Ingram. Thank you, Mr. President. Thank you for being here, of course. I just want to know what the numbers are and is it, because this is an increase in the appropriation, is it because there were more reimbursements than anticipated or why such an increase? And, of course, I do believe that this takes us through all of 27, which you may have already added on the intention of next school year or this school year.
President DeSantis, Senator Ingram, the increase in appropriation is a result of increased participation in the program. We recommended these appropriation levels in October of 2024 in advance of the current operating budget. And you might recall we came about a year ago to increase appropriation in about the same amount. And so we're here this afternoon for a similar request. Chose to bring these requests in separate fiscal year, you know, two visits rather than making an assumption about what the need would be this year, a year ago. So it is just a result of increased participation and our estimates during budget preparation two years ago were just a little low.
Follow-up, Senator? Thank you, Mr. President. And so this increase does cover the end of the school year, May and June, right?
President DeSantis, Senator Ingram, yes, that's correct. It reimburses and pays out the remaining claims that are pending right now today and will also cover us as we move through the year, including May and June, which will be the beginning of next summer.
Follow-up? Thank you. No.
Are there any further questions regarding this item? Are there any objections to this item? Seeing none, the item is approved. Thank you.
Thank you.
Item number 49, Department of Higher Education.
Good afternoon. Alex Penrod, Director of External Affairs for the Ohio Department of Higher Education.
Thank you.
Senator Ingram? Thank you, Mr. President. I just have a quick question regarding, I see what the purpose of this commission is, but help me with, I know it's only $5,000 and it's to cover some operational and some reimbursement for commission members, but why is this facility's piece of this, despite the fact that it's for independent schools, why is it separate from the construction Commission Could you rephrase your question
So why is it?
Because there's the Ohio Higher Educational Facilities Commission, and we have the Ohio Facilities Construction Commission. And my concern is, since they do that work anyway, why do we have a separate commission for the independent piece of this?
I'm going to defer to Kelly Weir. That is one question I did not prepare for. Hi, good afternoon, President DeSantis, Senator Ingram. The dollars that are made through the capital bill are for our public institutions, and so they draw down the funds directly and the state pays for those bonds directly. In this situation, these are for not-for-profit institutions of higher education, and we act as a conduit borrower on behalf. So they are still paying all the bonds. It's not like the state is directly paying the bonds. But because we're a state entity, it enables us to get them lower interest rates because we are a state entity. But we have no obligation to pay those debt service payments or anything. It just allows them a mechanism to get lower interest rates because we're a state entity and the interest on that is tax exempt.
Senator? Thank you, Mr. President. So that means that, of course, the financial side of this is the important piece because you can make sure the bonds are issued for these folks to do this work, despite the fact that they are not public entities.
we are assisting in them getting those bonds at a lower rate with no interest. Yeah, well, no, they pay, yes, because we are a state entity. It allows us to kind of be a conduit issuer, if you will. But then once the agreement is done, they'll be able to sell those bonds at a tax-free basis so they get a lower interest rate. But then once the agreement's done, you know, we don't like, in the case of the state dollars and the state capital bill, you know, the state is paying directly the bonds on those. Where in this case, it's completely on the private institution then to pay off those bonds that are issued.
Senator? Thank you, Mr. President. I'm still wondering, though, for the construction itself, does that go through FCC, or is that something that is handled by this commission and whatever else that institution decides to do?
Yeah, through the chairs. Sorry about that. Yeah, it does not go through the Ohio Facilities Construction Commission.
Okay. Anything further, Senator? No, I'm good.
Thank you. Are there any other questions regarding this item? Seeing none, are there any objections to this item? Seeing none, the item is approved. Okay, with no further business before the board, is there a motion to adjourn?
Motion from Senator Kaler.
Do I have a second?
Second from Representative De Villa.
We are adjourned.