As Introduced
135th General Assembly
Regular Session S. B. No. 317
2023-2024
Senator Antani
A BILL
To amend sections 9.16, 145.11, 742.11, 3307.15, 1
3309.15, and 5505.06 and to enact sections 2
3345.161 and 5703.83 of the Revised Code to 3
permit payment of state and local taxes and 4
other government fees with cryptocurrency and to 5
address investments in cryptocurrency by state 6
colleges and universities and the state 7
retirement systems. 8
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 9.16, 145.11, 742.11, 3307.15, 9
3309.15, and 5505.06 be amended and sections 3345.161 and 10
5703.83 of the Revised Code be enacted to read as follows: 11
Sec. 9.16. (A) As used in this section: 12
(1) "Governmental entity" means the state or a political 13
subdivision. 14
(2) "Political subdivision" has the same meaning as in 15
section 9.48 of the Revised Code. 16
(3) "State" has the same meaning as in section 2744.01 of 17
the Revised Code. 18
S. B. No. 317 Page 2
As Introduced
(B) A governmental entity may utilize distributed ledger 19
technology, including blockchain technology, in the exercise of 20
its authority. 21
(C) A governmental entity shall accept cryptocurrency, as 22
approved by the tax commissioner under section 5703.83 of the 23
Revised Code, for the payment of any tax, fee, cost, charge, 24
assessment, fine, or other payment of expense owed to the 25
governmental entity. The governmental entity may require the 26
payer to pay any service fees associated with the cryptocurrency 27
transaction. 28
Sec. 145.11. (A) The members of the public employees 29
retirement board shall be the trustees of the funds created by 30
section 145.23 of the Revised Code. The board shall have full 31
power to invest the funds. The board and other fiduciaries shall 32
discharge their duties with respect to the funds solely in the 33
interest of the participants and beneficiaries; for the 34
exclusive purpose of providing benefits to participants and 35
their beneficiaries and defraying reasonable expenses of 36
administering the public employees retirement system; with care, 37
skill, prudence, and diligence under the circumstances then 38
prevailing that a prudent person acting in a like capacity and 39
familiar with these matters would use in the conduct of an 40
enterprise of a like character and with like aims; and by 41
diversifying the investments of the system so as to minimize the 42
risk of large losses, unless under the circumstances it is 43
clearly prudent not to do so. 44
Nothing in this section shall be construed to prohibit the 45
board from investing in cryptocurrency as defined in section 46
5703.83 of the Revised Code. 47
To facilitate investment of the funds, the board may 48
S. B. No. 317 Page 3
As Introduced
establish a partnership, trust, limited liability company, 49
corporation, including a corporation exempt from taxation under 50
the Internal Revenue Code, 100 Stat. 2085, 26 U.S.C. 1, as 51
amended, or any other legal entity authorized to transact 52
business in this state. 53
(B) In exercising its fiduciary responsibility with 54
respect to the investment of the funds, it shall be the intent 55
of the board to give consideration to investments that enhance 56
the general welfare of the state and its citizens where the 57
investments offer quality, return, and safety comparable to 58
other investments currently available to the board. In 59
fulfilling this intent, equal consideration shall also be given 60
to investments otherwise qualifying under this section that 61
involve minority owned and controlled firms and firms owned and 62
controlled by women, either alone or in joint venture with other 63
firms. 64
The board shall adopt, in regular meeting, policies, 65
objectives, or criteria for the operation of the investment 66
program that include asset allocation targets and ranges, risk 67
factors, asset class benchmarks, time horizons, total return 68
objectives, and performance evaluation guidelines. In adopting 69
policies and criteria for the selection of agents with whom the 70
board may contract for the administration of the funds, the 71
board shall comply with sections 145.114 and 145.116 of the 72
Revised Code and shall also give equal consideration to minority 73
owned and controlled firms, firms owned and controlled by women, 74
and ventures involving minority owned and controlled firms and 75
firms owned and controlled by women that otherwise meet the 76
policies and criteria established by the board. Amendments and 77
additions to the policies and criteria shall be adopted in 78
regular meeting. The board shall publish its policies, 79
S. B. No. 317 Page 4
As Introduced
objectives, and criteria under this provision no less often than 80
annually and shall make copies available to interested parties. 81
When reporting on the performance of investments, the 82
board shall comply with the performance presentation standards 83
established by the association for investment management and 84
research. 85
(C) All investments shall be purchased at current market 86
prices and the evidences of title of the investments shall be 87
placed in the hands of the treasurer of state, who is hereby 88
designated as custodian thereof, or in the hands of the 89
treasurer of state's authorized agent. Evidences of title of the 90
investments so purchased may be deposited by the treasurer of 91
state for safekeeping with an authorized agent, selected by the 92
treasurer of state, who is a qualified trustee under section 93
135.18 of the Revised Code. The treasurer of state or the agent 94
shall collect the principal, dividends, distributions, and 95
interest thereon as they become due and payable and place them 96
when so collected into the custodial funds. 97
The treasurer of state shall pay for investments purchased 98
by the retirement board on receipt of written or electronic 99
instructions from the board or the board's designated agent 100
authorizing the purchase and pending receipt of the evidence of 101
title of the investment by the treasurer of state or the 102
treasurer of state's authorized agent. The board may sell 103
investments held by the board, and the treasurer of state or the 104
treasurer of state's authorized agent shall accept payment from 105
the purchaser and deliver evidence of title of the investment to 106
the purchaser on receipt of written or electronic instructions 107
from the board or the board's designated agent authorizing the 108
sale, and pending receipt of the moneys for the investments. The 109
S. B. No. 317 Page 5
As Introduced
amount received shall be placed in the custodial funds. The 110
board and the treasurer of state may enter into agreements to 111
establish procedures for the purchase and sale of investments 112
under this division and the custody of the investments. 113
(D) No purchase or sale of any investment shall be made 114
under this section except as authorized by the public employees 115
retirement board. 116
(E) Any statement of financial position distributed by the 117
board shall include the fair value, as of the statement date, of 118
all investments held by the board under this section. 119
Sec. 742.11. (A) The members of the board of trustees of 120
the Ohio police and fire pension fund shall be the trustees of 121
the funds created by section 742.59 of the Revised Code. The 122
board shall have full power to invest the funds. The board and 123
other fiduciaries shall discharge their duties with respect to 124
the funds solely in the interest of the participants and 125
beneficiaries; for the exclusive purpose of providing benefits 126
to participants and their beneficiaries and defraying reasonable 127
expenses of administering the Ohio police and fire pension fund; 128
with care, skill, prudence, and diligence under the 129
circumstances then prevailing that a prudent person acting in a 130
like capacity and familiar with these matters would use in the 131
conduct of an enterprise of a like character and with like aims; 132
and by diversifying the investments of the disability and 133
pension fund so as to minimize the risk of large losses, unless 134
under the circumstances it is clearly prudent not to do so. 135
Nothing in this section shall be construed to prohibit the 136
board from investing in cryptocurrency as defined in section 137
5703.83 of the Revised Code. 138
S. B. No. 317 Page 6
As Introduced
To facilitate investment of the funds, the board may 139
establish a partnership, trust, limited liability company, 140
corporation, including a corporation exempt from taxation under 141
the Internal Revenue Code, 100 Stat. 2085, 26 U.S.C.A. 1, as 142
amended, or any other legal entity authorized to transact 143
business in this state. 144
(B) In exercising its fiduciary responsibility with 145
respect to the investment of the funds, it shall be the intent 146
of the board to give consideration to investments that enhance 147
the general welfare of the state and its citizens where the 148
investments offer quality, return, and safety comparable to 149
other investments currently available to the board. In 150
fulfilling this intent, equal consideration shall be given to 151
investments otherwise qualifying under this section that involve 152
minority owned and controlled firms and firms owned and 153
controlled by women, either alone or in joint venture with other 154
firms. 155
The board shall adopt, in regular meeting, policies, 156
objectives, or criteria for the operation of the investment 157
program that include asset allocation targets and ranges, risk 158
factors, asset class benchmarks, time horizons, total return 159
objectives, and performance evaluation guidelines. In adopting 160
policies and criteria for the selection of agents with whom the 161
board may contract for the administration of the funds, the 162
board shall comply with sections 742.114 and 742.116 of the 163
Revised Code and shall also give equal consideration to minority 164
owned and controlled firms, firms owned and controlled by women, 165
and joint ventures involving minority owned and controlled firms 166
and firms owned and controlled by women that otherwise meet the 167
policies and criteria established by the board. Amendments and 168
additions to the policies and criteria shall be adopted in 169
S. B. No. 317 Page 7
As Introduced
regular meeting. The board shall publish its policies, 170
objectives, and criteria under this provision no less often than 171
annually and shall make copies available to interested parties. 172
When reporting on the performance of investments, the 173
board shall comply with the performance presentation standards 174
established by the association for investment management and 175
research. 176
(C) All bonds, notes, certificates, stocks, or other 177
evidences of investments purchased by the board shall be 178
delivered to the treasurer of state, who is hereby designated as 179
custodian thereof, or to the treasurer of state's authorized 180
agent, and the treasurer of state or the agent shall collect the 181
principal, interest, dividends, and distributions that become 182
due and payable and place them when so collected into the 183
custodial funds. Evidences of title of the investments may be 184
deposited by the treasurer of state for safekeeping with an 185
authorized agent, selected by the treasurer of state, who is a 186
qualified trustee under section 135.18 of the Revised Code. The 187
treasurer of state shall pay for the investments purchased by 188
the board on receipt of written or electronic instructions from 189
the board or the board's designated agent authorizing the 190
purchase and pending receipt of the evidence of title of the 191
investment by the treasurer of state or the treasurer of state's 192
authorized agent. The board may sell investments held by the 193
board, and the treasurer of state or the treasurer of state's 194
authorized agent shall accept payment from the purchaser and 195
deliver evidence of title of the investment to the purchaser on 196
receipt of written or electronic instructions from the board or 197
the board's designated agent authorizing the sale, and pending 198
receipt of the moneys for the investments. The amount received 199
shall be placed into the custodial funds. The board and the 200
S. B. No. 317 Page 8
As Introduced
treasurer of state may enter into agreements to establish 201
procedures for the purchase and sale of investments under this 202
division and the custody of the investments. 203
(D) All of the board's business shall be transacted, all 204
its funds shall be invested, all warrants for money drawn and 205
payments shall be made, and all of its cash, securities, and 206
other property shall be held, in the name of the board or its 207
nominee, provided that nominees are authorized by board 208
resolution for the purpose of facilitating the ownership and 209
transfer of investments. 210
(E) No purchase or sale of any investment shall be made 211
under this section except as authorized by the board of trustees 212
of the Ohio police and fire pension fund. 213
(F) Any statement of financial position distributed by the 214
board shall include the fair value, as of the statement date, of 215
all investments held by the board under this section. 216
Sec. 3307.15. (A) The members of the state teachers 217
retirement board shall be the trustees of the funds created by 218
section 3307.14 of the Revised Code. The board shall have full 219
power to invest the funds. The board and other fiduciaries shall 220
discharge their duties with respect t