Ohio voters may weigh in on State Capital Improvement Program
COLUMBUS — A resolution that would let Ohio voters decide if they want to extend the State Capital Improvement Program could be on the ballot in May.
The measure, currently working its way through the Ohio Legislature, has been adopted by the state Senate and is up for its second hearing–and a possible vote — in House Finance today.
If both chambers sign off, it would be up to voters to decide whether to renew the program and issue an additional $2.5 billion in general obligation bonds to fund infrastructure projects across the state.
Supporters say the program, administered by the Ohio Public Works Commission, has pumped millions of dollars into road, bridge, water and wastewater upgrades and emergency slip repairs throughout Jefferson County since its inception in 1987.
“If the funding goes away it will affect the amount of projects we can do each year,” Steubenville City Engineer Mike Dolak said. “We rely on that funding. It’s crucial that it passes (and) provides funding for municipalities.”
Dolak said OPWC funding has come into play “on just about every major project I’ve had over the years.”
“Over the past 19 or 20 years, we’ve received about $6 million from OPWC,” he said. “This past year we got $330,000 for Lovers Lane and $250,000 for the 2024 asphalt resurfacing in Brady Estates. We also used $100,000 for the Johnson Road resurfacing.
Next year I’m hoping to get another $250,000 for our 2025 hot mix resurfacing project, as well as about $70,000 for County Road 43 resurfacing within city limits (the Lovers Lane Connector to Powell’s Lane bridge.)”
OPWC Director Linda Bailiff said bond proceeds are distributed on a per capita basis to the 19 District Public Works Integrating Committees tasked with selecting projects to be funded in their areas after statutory distributions are made to two “set-aside” programs.
“Projects are selected by the districts, which consist of local officials from all levels of government,” she said. “Each district develops and uses a methodology using criteria set in statute, including the repair and replacement needs of the district, health and safety, age and condition, readiness to proceed, and financial considerations.”
The two set-aside programs, administered centrally, are the Small Government Program — a “second chance” for funding for villages and rural townships of 5,000 or less residents–and the Emergency Program, a first-come, first-served opportunity for projects addressing failed infrastructure threatening immediate health and safety.
“Once projects are selected our organization enters into contractual agreements with the recipients which provide for the projects to be designed, bid, awarded, and managed at the local level while the OPWC provides financial oversight and accountability,” she said.
Jefferson County Water and Sewer District Director Mike Eroshevich said there’s no denying how much OPWC funding has helped not just his department, but also villages and townships as well as the City of Steubenville.
“A lot of funding has gone toward road projects in the county, they are a vital asset for the local area and around the state,” he said, pointing out that for his department alone, “In just the past few years OPWC has helped the district with a $50,000 emergency grant and $30,000 low interest loan for the water break repair that occurred on State Route 43 a few years ago; an $800,000 low interest loan for the Area J and Bloomingdale Tanks Project, and, most recently, an $80,000 emergency grant and $30,000 low-interest loan for the Costonia waterline replacement.”
Since 2017, Steubenville has received millions in grants and loans, much of it earmarked for resurfacing a multitude of city streets, among them, Lovers Lane and Johnson Road, and the Lawson Avenue bridge replacement as well as the state Route 7 traffic signal upgrades.
But over the past seven years the funds also have helped fund, for example, slip repairs, sanitary sewer work, resurfacing, a bridge replacement, water tank rehab work and other big-ticket items that benefit residents in other Jefferson County communities: OPWC funding provided a big funding boost for Wintersville’s meter replacement program, for instance, as well as various street repairs, a sanitary sewer system update, slip repairs in Mount Pleasant, Wells, Cross Creek and Island Creek townships, Dillonvale, a retaining wall in Irondale, a slide repair in Amsterdam, rehabilitation of Commercial Avenue in Mingo Junction, water system improvements in Brilliant and the Walton Acres water main lining project in Toronto.
“OPWC focuses a lot on road resurfacing, emergencies and other infrastructure projects,” Eroshevich said. “Without them we would have to seek funding from other funding agencies, many of whom focus on different areas. A lot of road projects would not get funded and we would be in greater competition for those other funding sources. I would say it would be more difficult for these projects to get done and an additional drain on operational money in the different departments.”
He cited as example a project in Costonia: Without OPWC assistance, “We would have to spend $100,000 of our own dollars on the repair (instead of applying that money) toward much needed equipment and materials we need to do our job maintaining our system.”
Bailiff said OPWC typically pays contractors directly, but local governments also have the option of paying the bills up front and then submitting the data to OPWC for reimbursement. Eroshevich said that’s how his department handles it.
“One time we did do a direct payment to the contractor and the auditor was upset because they have to account for the money coming in and going out,” he explained. “Therefore, we always choose the reimbursement.
Though direct pay is most popular, Bailiff said either way, “we move the money quickly, typically in less than a week.”
Not everybody is sold on it as is, however,
State Rep. Ron Ferguson, R-Wintersville, said that, “Without a commitment to give Jefferson, Belmont and Monroe their fair share, I would be a no (vote.)”
“I think there are better ways to fund our local communities than the capital budget, because history has proven that Jefferson County never gets its fair share,” Ferguson said.
“I think the wiser thing is to get rid of the income tax and let every Ohioan keep what they earn rather than take the tax dollars from places like the Ohio Valley and redistribute our tax dollars to the big cities. If Jefferson County residents didn’t have our tax dollars taken to subsidize Cleveland, Columbus and Cincinnati, we would be able to keep them here at home in the first place to pay for the big-ticket items and we would actually have even more money to accomplish more important projects.
State Sen. Brian Chavez, R-Marietta, said SCIP “has proven over decades to be a crucial resource for municipalities across the state and especially in rural areas.”
“I have heard from many local officials whose counties have benefited from these funds for the improvement of roads, bridges, and more in their communities,” Chavez had said. Chavez and Sen. Hearcel Craig, D-Columbus, sponsored the resolution on the senate side.
“Necessary infrastructure projects simply could not be undertaken without this funding source,” Chavez said at the time.