The bill amends section 1503.35 of the Revised Code and enacts a new section, 131.52, to address the distribution of federal mineral royalty payments in Ohio. It defines "federal mineral royalty" as the state's share of payments received from oil, gas, or mineral production on federal lands, including national forest lands. The bill establishes a federal mineral royalty clearing fund, into which the treasurer of state will deposit all federal mineral royalties received. Within thirty days of each deposit, the director of the office of budget and management is required to transfer funds to the respective counties of origin based on the royalties attributable to those counties. The counties can then use these funds for planning, construction and maintenance of public facilities, or provision of public services.

Additionally, the bill clarifies that federal mineral royalties are not considered forest products and therefore are not subject to the distribution rules outlined in the amended section 1503.35. The existing provisions regarding the distribution of funds from the sale of national forest timber and products are modified to exclude federal mineral royalties, which will now be managed under the new section 131.52. The bill ultimately repeals the previous version of section 1503.35, streamlining the process for handling federal mineral royalties in Ohio.

Statutes affected:
As Introduced: 1503.35