OHIO LEGISLATIVE SERVICE COMMISSION
Office of Research Legislative Budget
www.lsc.ohio.gov and Drafting Office
S.B. 245 Bill Analysis
135th General Assembly
Click here for S.B. 245’s Fiscal Note
Version: As Introduced
Primary Sponsors: Sens. Reynolds and Craig
Effective date:
Carla Napolitano, Attorney
SUMMARY
Evictions
 Provides legal counsel in eviction proceedings for certain low-income tenants.
 Requires the Ohio Access to Justice Foundation to contract with legal aid societies or
similar nonprofit organizations to provide that counsel, if appropriated funds are
available.
 Requires notice to be provided to tenants facing eviction informing them that they may
qualify for free legal representation.
 Expands an existing report submitted by the Foundation to the General Assembly and
other state officials to include information about eviction defense.
 Requires eviction actions to be submitted to nonbinding mediation upon the request of
either party.
 Establishes a procedure to seal eviction records.
Building inspections
 Requires rules adopted by the Board of Building Standards related to certifying persons
to enforce the residential building code to make the certification process as accessible
as possible, while still ensuring that certificate holders are adequately qualified.
 Requires the Board, within 180 days after the bill’s effective date, to conduct a review of
its current certification rules to achieve certain specified objectives.
 Requires plan review and inspections of residential and nonresidential building
construction projects to be conducted within 30 days of the request.
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 Permits a general contractor, the owner, or a building department with jurisdiction, to
contract with a third-party private inspector or an out-of-jurisdiction certified building
department to conduct inspections.
 Requires the Board of Building Standards to maintain and publish a list of third-party
private inspectors and certified building departments that it authorizes to conduct
inspections under the bill’s provisions.
Real estate agency agreements
 Requires written agency agreements for licensed brokers and salespersons representing
other parties in real estate transactions.
Property conveyance transparency
 Requires grantees, other than natural persons, that acquire real property or mobile or
manufactured homes to designate a natural person as an owner or agent respecting
matters related to the conveyance.
TABLE OF CONTENTS
General overview ............................................................................................................................ 3
Evictions .......................................................................................................................................... 3
Eviction defense for low-income tenants ................................................................................... 3
Eligibility.................................................................................................................................. 3
Agreement with designated organizations ............................................................................ 4
Notice to covered individuals ................................................................................................. 5
Eviction Defense Fund ............................................................................................................ 6
Required reporting ................................................................................................................. 6
Stay of eviction proceedings .................................................................................................. 7
No private cause of action ...................................................................................................... 7
Mediation .................................................................................................................................... 7
Sealing of eviction records .......................................................................................................... 7
Building inspections ........................................................................................................................ 8
Certification of code enforcement officials ................................................................................ 8
Plan review and inspections ........................................................................................................ 9
General contractor and owner – inspection contract............................................................... 10
Local building department – inspection contract ..................................................................... 10
Conforming changes.................................................................................................................. 11
Real estate brokers and salespersons........................................................................................... 11
Written agency agreements ...................................................................................................... 11
Brokerage policy ........................................................................................................................ 11
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Change in representation .......................................................................................................... 12
Property conveyance transparency .............................................................................................. 12
DETAILED ANALYSIS
General overview
The bill makes several changes related to real property law. It requires that low-income
defendants in eviction proceedings have access to legal counsel and establishes a procedure in
which a tenant, manufactured home park resident, or court may seal eviction records. The bill
also makes changes to building inspections by authorizing a general contractor or owner of a
building to contract with an independent inspector if the building department with jurisdiction
does not complete the inspection within 30 days after a request. The bill requires written
agency agreements for licensed brokers and salespersons representing other parties in real
estate transactions. Lastly, the bill requires that if anyone other than a natural person acquires
real property or mobile or manufactured home, they must designate a natural person as an
owner or agent respecting matters related to the conveyance.
Evictions
Eviction defense for low-income tenants
The bill provides a mechanism by which certain low-income tenants with at least one
live-in child may obtain free legal counsel when facing eviction. To accomplish this, the bill
generally requires the Ohio Access to Justice Foundation to contract with and provide funding
to legal aid societies or similar nonprofit organizations for the provision of eviction defense. The
Foundation is an existing, statutorily created nonprofit organization that supports the delivery
of civil legal services to indigent clients, primarily through providing financial assistance to legal
aid societies that apply to the Foundation for funding. The bill does not appropriate funds for
the purpose of achieving these objectives.
Eligibility
To qualify, the low-income tenant (1) must be an individual who legally occupies a
dwelling with at least one child, (2) must not be the dwelling’s owner, and (3) must have an
annual gross income of not more than 250% of the federal poverty line for the size of the
individual’s family. The bill refers to such a qualifying low-income tenant as a “covered
individual.” The income threshold to qualify as a covered individual is double that required to
qualify as an indigent person for civil legal services from a legal aid society under continuing law
(i.e., income not exceeding 125% of the federal poverty line).1 The Department of Health and
Human Services Poverty Guidelines for 2024 set the poverty guideline at $20,440 for a
1 R.C. 120.532(A)(2) and (5); R.C. 120.51(B), not in the bill.
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household of two, increasing $5,380 for each additional person in the household.2 For a
household of two, 250% of the federal poverty guidelines would be $51,100 in 2024.
The bill applies to three types of proceedings: (1) residential evictions governed by
Ohio’s Eviction Law, (2) informal hearings required under federal law to terminate financial
assistance from a metropolitan housing authority, and (3) appeals from either of those
proceedings.3
Metropolitan housing authorities are established under state law in areas where there is
substandard housing or a shortage of affordable housing, as determined by the Director of
Development. Metropolitan housing authorities may acquire real property for the purpose of
renting residential dwellings to low-income individuals, and may participate in programs
administered by the U.S. Department of Housing and Urban Development, including the
Housing Choice Voucher Program. Under that program, metropolitan housing authorities in
Ohio receive and disburse federal funds to low-income individuals to attain decent, safe, and
affordable housing. As a condition of receiving that federal funding, metropolitan housing
authorities must abide by federal regulations, which generally require hearings for the
termination of financial assistance to low-income individuals.4
Agreement with designated organizations
Under the bill, the Foundation is required to enter into agreements with legal aid
societies or similar nonprofit organizations for the provision of eviction defense, but only if the
General Assembly appropriates funds to the Foundation to pay for those services. As
mentioned above, the bill does not appropriate funds for this purpose. The bill refers to such
legal aid societies and nonprofit organizations as “designated organizations.” When required,
the Foundation must enter into a sufficient number of agreements with designated
organizations to ensure the availability of eviction defense in all areas of the state. The
Foundation must first attempt to enter into such agreements with legal aid societies that
already receive funding from the Foundation. If it cannot, the Foundation may enter into
agreements with other nonprofit organizations.5
Each contract required under the bill must include all of the following:
 That funds must be used for eviction defense for covered individuals or to educate
tenants of their rights and available resources;
 That full-service legal representation (i.e., ongoing representation to a covered
individual and all legal advice, advocacy, and assistance associated with that
2 HHS Poverty Guidelines for 2024, which is available at the Office of the Assistance Secretary for
Planning and Evaluation’s website: aspe.hhs.gov.
3 R.C. 120.532(A)(3).
4 R.C. Chapter 3735; 24 Code of Federal Regulations (C.F.R.) 982.555.
5 R.C. 120.532(A)(4), (B), (C)(1) and (2), and (D).
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representation) must be provided as long as funds are available and must commence as
soon as possible after eviction proceedings are initiated and the covered individual
contacts the organization;
 That if full-service legal representation is not feasible, the designated organization must
attempt to provide brief legal assistance (i.e., a single consultation for a covered
individual related to an eviction proceeding);
 That the designated organization must work with the Foundation and community
partners to engage and educate tenants on their rights and available resources;
 That the designated organization must satisfy performance metrics, report those
metrics to the Foundation on a quarterly basis, and adhere to quality standards set in
the contract to ensure continued funding eligibility;
 That any information reported under the contract must not include any personally
identifiable or confidential information;
 That services provided under the contract do not replace or satisfy responsibilities
under any other agreement;
 Any other terms the Foundation considers necessary for the provision of eviction
defense services.6
Notice to covered individuals
The bill requires the landlord or other plaintiff in an eviction proceeding to provide
notice to individuals subject to eviction informing them that they may qualify for free legal
representation.
Under current law, similar notice is required in the summons in residential evictions.
Such notice simply recommends that the tenant reach out to a local legal aid society or bar
association if the tenant cannot afford a lawyer. Instead, the bill requires that the notice state
that the tenant may qualify for free legal representation based on income and to recommend
the tenant to contact Ohio Legal Help – a nonprofit organization that connects persons to
government programs, legal aid societies, and other providers of legal services based on the
person’s legal issue. The bill also requires the same notice to be provided by landlords upon the
termination of the lease in certain circumstances.7
The bill makes a similar change to the notice required by continuing law in connection
with an informal hearing to terminate financial assistance from a metropolitan housing
authority. 8
6 R.C. 120.532(A)(1), (6), (7), and (B).
7 R.C. 1923.06(B) and 5321.17(C).
8 R.C. 3735.41(D).
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Eviction Defense Fund
The bill creates the Eviction Defense Fund, to consist of money appropriated by the
General Assembly, plus any gifts or donations made specifically for eviction defense. The bill
does not include an appropriation to the Eviction Defense Fund. Unlike current legal aid
funding, which may be used for any civil legal service for indigent persons, funds in the Eviction
Defense Fund must be used only for eviction defense for covered individuals. Such funds must
be distributed to designated organizations by the State Public Defender through the Foundation
in the same manner as funds distributed under continuing law, described below. The Treasurer
of State is authorized to invest the funds, as long as it does not interfere with the use of those
funds by the Foundation.9
Under continuing law, the Foundation receives much of its funding from local court fees
and the Interest on Lawyers Trust Accounts (IOLTA) and Interest on Trust Accounts (IOTA)
programs, plus any gifts and donations. The majority of funding is apportioned to each county
based on the ratio of the number of indigent persons who reside in the county that are served
by legal aid societies applying for financial assistance, to the total number of indigent persons
who reside in all counties served by such eligible legal aid societies. If there is more than one
eligible legal aid society in the county, each legal aid society receives a proportional amount
based on its total budget expended for the previous year.10
Required reporting
Under continuing law, the Foundation is required to submit an annual report to the
Governor, the General Assembly, and the Ohio Supreme Court detailing information about
distribution of funds to, and use by, legal aid societies for civil legal services, as well as audited
financial statements detailing all gifts, donations, and other funds received by the Foundation.
The report is based, in part, on information legal aid societies receiving funding are required to
report to the Foundation, including the number and types of cases handled and the amount
and types of legal training, legal technical assistance, and other services provided.
The bill expands that report to also include information regarding eviction defense.
Specifically, the report must include all the same informatio