The bill amends section 718.04 of the Revised Code and enacts section 718.041, establishing new requirements for municipal income tax reciprocity credits. It mandates that any modifications to these credits must receive voter approval through a majority vote in a general, primary, or special election. The legislative authority of the municipal corporation is required to file a copy of the ordinance and a resolution with the board of elections at least ninety days prior to the election. The ballot must clearly state the proposed changes to the credit, including whether it is an increase, decrease, or repeal.

Additionally, the bill allows electors of a municipal corporation to initiate the adoption, repeal, or modification of a credit by filing a petition with the county board of elections. The petition must meet specific criteria, including being signed by at least ten percent of the total number of votes cast in the last gubernatorial election. If the petition is deemed valid, the question will be placed on the ballot for the next general election. The bill also repeals the existing section 718.04, ensuring that any modifications to the credit enacted after August 1, 2025, without voter approval will be null and void.

Statutes affected:
As Introduced: 718.04