ATTORNEY GENERAL

An opinion released by the attorney general this week gives the state, not counties, clear authority over Bureau of Motor Vehicle data and information security.

The attorney general sued buying clubs USA Direct Inc. and USA Direct of Cincinnati Inc. for allegedly violating Ohio's consumer protection laws and is seeking restitution for all consumers allegedly harmed by the companies' deceptive acts and practices, a civil penalty of at least $25,000 and injunctive relief enjoining the companies from further violations.

BALLOT ISSUES

Sick days proponents and foes wrangled over ballot language for State Issue 4, the initiated law that would require employers of 25 or more to provide seven paid sick days a year, before the Ballot Board this week. Neither side expressed outright dissatisfaction with the overall adopted language in the end.

Later in the week, after talks seeking a non-ballot compromise on the paid sick days issue broke off, Gov. Ted Strickland and Lt. Gov. Lee Fisher both announced their opposition to the proposal, saying the initiative “is unworkable, unwieldy and would be detrimental to Ohio's economy….”

The National Federation of Independent Business-Ohio released a study that it says demonstrates that Ohio would lose 75,000 jobs, place a $1.17 billion burden on employers and cause businesses to lose $9.4 billion in sales over the next five years if the paid sick days issue passes.

Meanwhile, two members of the Ohio Ballot Board want to reopen the debate on the ballot language on the payday lending issue, saying the “391 percent APR” figure needs to be included.

BUDGET

State Treasurer Rich Cordray told the State Board of Deposit that early signs of inflation could persist through the fall election into early 2009, though a continuing decline in oil prices and other commodities could stabilize the economy in the coming months.

CORRECTIONS

The Office of Budget and Management (OBM) issued an in-depth analysis of factors driving up the costs of Ohio's corrections system, including an increasing prison population, which is predicted to reach 70,000 inmates by 2016. Other cost factors are the decreasing length of stay and the graying of inmates.

Sen. David Goodman (R-Columbus) introduced SB358 to expand DNA testing including for those already paroled and changes the way biological evidence is retained, creating a task force to help shape that policy.

Rep. Ted Celeste (D-Grandview Heights) outlined HB610, which he said will expand community correction programs and encourage judges to sentence those convicted of not paying child support to these programs instead of prison. Begun as a pilot program in seven Ohio counties a year ago, this diversion program saves the state money, helps address Department of Rehabilitation and Correction prison overcrowding, increases child support payments and reduces the time and expenses spent on revocation hearings, Celeste said.

ECONOMIC DEVELOPMENT

Lt. Gov. Lee Fisher told a joint meeting of the Senate Finance and Financial Institutions and House State Government and Elections committees that the Strickland administration is committed to a bipartisan effort to stop the outsourcing of delivery service provider DHL's domestic air delivery to UPS – which could result in the loss of nearly 10,000 jobs in Clinton County and the surrounding area. The meeting was held at the ABX Air Park in Wilmington.

EDUCATION

The Public-Private Collaborative submitted its “game-changing” action plan for the state's education system to the governor, calling for an “extended learning day” and local investment through the creation of a new culture of learning in which entire communities share responsibility for the well-being and education performance of every student through local-regional and private-public partnerships.

The STEM Subcommittee of the Partnership for Continued Learning recently was updated on the status of the five existing high school projects focusing on science, technology, engineering and math and the nine Programs of Excellence for K-8. The subcommittee also started planning for the request for proposal (RFP) for FY09 STEM school funding.

Auditor of State Mary Taylor declared Eagle Heights Academy “unauditable” for Fiscal Year 2007, meaning that school financial records are incomplete and the auditors cannot conduct a routine financial audit. If financial records and statements are not brought into an auditable condition in 90 days, the Department of Education must withhold funding.

2008 ELECTIONS

Voting machine manufacturer Premier Election Solutions acknowledged in a letter to Secretary of State Jennifer Brunner, released by her this week, that an error in source code, not anti-virus software, was the cause of vote transfer problems in the March primary – contrary to the company's original analysis of the problem. The company stressed that all votes were eventually uploaded and they understand no votes were lost.

Ralph Nader submitted 15,000 signatures to be on the presidential ballot this fall here in Ohio. He needs 5,000 valid signatures to qualify.

Secretary of State Jennifer Brunner released two directives providing additional guidance regarding absentee ballots, off-site voting and tabulation of those votes.

A third directive issued in the last week told county boards of elections that they cannot allow poll workers to take voting machines and other equipment home in the days before an election – a practice often referred to as “sleepovers.” It is expected to affect 23 counties.

An earlier directive allowing Ohio residents to register to vote and cast a ballot all at once during a five-day period this fall continues to draw criticism with the Ohio Republican Party's demanding Brunner rescind it. The Republicans maintain allowing people to vote right after registering violates state law. She has said she has no plans to revoke the directive.

Republican candidate for attorney general Michael Crites proposed creating a 10-member Ohio Public Corruption Commission to address corruption in elected office, citing both the large-scale federal investigation into two Cuyahoga County Democratic officials and Marc Dann.

Democratic candidate Richard Cordray called the Crites proposal “a solution in search of a problem,” saying that commissions and committees only draw money away from law enforcement and create more bureaucracy.

Sharonville Mayor Virgil Lovitt was selected by the Hamilton County Republican Party to replace Rep. Jim Raussen (R-Springdale) on the ballot for the 28^th House District seat. Raussen has taken a position with the Department of Development.

State Board of Education member Colleen Grady was selected to replace Sen. Robert Spada on the November ballot for the 18^th House District seat. Spada withdrew from the race in July.

ENERGY

The Public Utilities Commission of Ohio (PUCO) released proposed rules implementing alternative energy standards outlined in the recent revamping of Ohio's electricity regulations, SB221. The rules include requirements for energy efficiency programs, renewable energy credits, long-term forecast and greenhouse gas reporting and carbon dioxide control planning. Initial comments will be taken until Sept. 9.

ENVIRONMENT

The Ohio Environmental Protection Agency (Ohio EPA) is taking public comment through Sept. 12 on proposed rule changes dealing with when a license is required to operate public drinking water systems.

A total of 28 Ohio counties – over a third of the 76 counties cited by the U.S. EPA's Region 5 – do not meet the new, health-based 24-hour outdoor air quality standard for fine particles (soot). Final designation is due Dec. 18 following a public comment period on the intended designations.

FEDERAL

Ohio lost a second member of its Congressional delegation this 110^th Congress when Congresswoman Stephanie Tubbs Jones (D-Cleveland) suffered an aneurysm and died Wednesday. A memorial service in Cleveland is set for Saturday, August 30 – after the Democratic National Convention to which she was a super delegate.

Tubbs Jones, who was running for another term to the U.S. House of Representatives, will be replaced on the ballot by the Cuyahoga County Democratic Party. It has until Oct. 27 to name a replacement.

GENERAL ASSEMBLY

The Senate Democratic Caucus is accepting applications to fill the vacancy that will be created when Sen. Lance Mason (D-Cleveland) resigns to become a judge on the Cuyahoga County Court of Common Pleas. The deadline is Friday, Aug. 29.

HEALTH & HUMAN SERVICES

Gov. Ted Strickland again contacted U.S. Secretary of Health and Human Services Mike Leavitt, objecting to the year-long process Ohio has been going through with his Centers for Medicare and Medicaid Services (CMS) to expand health care coverage in the state to children in families above 200 percent of poverty that has yet to result in any additional health care being provided. This may be a preview of at least one of the issues Strickland may raise when he addresses the Democratic National Convention next Tuesday, where he is to talk about how the failed policies of the last eight years have betrayed the nation's values and left an economy out of balance.

HIGHER EDUCATION

The Board of Regents held a public hearing on the proposed rules governing the new “Ohio's GI Promise” program under which any veteran and their dependents can qualify for in-state tuition rates. Concerns were raised over the community service and residency requirements and the burden on colleges to verify that the veterans and/or family members meet them.

Reps. Josh Mandel (R-Lyndhurst) and Jay Goyal (D-Mansfield) said they will introduce legislation that would award a nonrefundable tax credit to graduates of Ohio colleges and universities who remain in the Buckeye State for at least five years rather than leaving for school and advanced degrees elsewhere. The amount would be based on the degree earned.

INSURANCE

Ohio is among more than 20 states that garnered a $20 million settlement from Health Markets Inc., now known as UICI, that resulted from problems with consumer disclosure, oversight and training of agents and claims- and compliant-handling at three subsidiaries. Ohio will get approximately $500,000.

JUDICIAL

The Ohio Supreme Court officially rolled out the Ohio Courts Network (OCN), a statewide database that will serve as a centralized warehouse of case-related data, enabling courts and justice system partners to share key information and to support criminal history reviews, warrant and protection order searches, pre-sentencing investigations, background checks, handgun pre-purchase reviews, pre-custody files and other documents.

The Ohio Supreme Court announced a second comment period for proposed rules on public access to judicial records which runs through Sept. 17.

As a draft overhaul of the Ohio Code of Judicial Conduct works its way through a second public comment period, the Supreme Court announced that it will be accepting feedback on increased training standards for judicial ethics and professionalism through Sept. 17.

The Supreme Court's Office of Disciplinary Counsel and the Board of Commissioners on Grievances and Discipline have limited the ability of a law office to employ attorneys suspended or disqualified for disciplinary reasons, saying this will provide additional safeguards to protect the interests of clients.

Gov. Ted Strickland appointed Rocky Coss to the Highland County Court of Common Pleas, replacing disbarred judge Jeffrey Hoskins.

POLLS/STUDIES

A new poll from Public Policy Polling shows that presumed Republican presidential nominee John McCain has pulled even with presumed Democratic nominee Barack Obama at 45 percent each with 10 percent undecided. A more in-depth look at the undecideds shows that Obama has work to do winning over older white Democratic voters.

Rasmussen Reports released the results of its latest poll of Ohio voters, finding presumed Republican nominee John McCain leading presumed Democratic nominee Barack Obama by 4 percentage points – 45 percent to 41 percent.

PREVAILING WAGE

Gov. Ted Strickland's administration is reviewing the state's prevailing wage law as it pertains to private construction projects after the Ohio Department of Commerce began receiving questions about the way the law was being applied. The administration maintains the law has not been consistently applied for cases in which a portion of the project receives state money.

PUBLIC SAFETY

State law enforcement officials announced that they are joining the national campaign “Drunk Driving. Over the Limit. Under Arrest.” with one of their largest enforcement efforts to crack down on impaired driving through the Labor Day weekend. This effort is supported by $11 million in paid national advertising to help put everyone on notice that if they are caught driving impaired, they will be arrested.

STATE GOVERNMENT

The Division of Liquor Control in the Ohio Department of Commerce reported that it transferred $167 million in spirituous liquor sales tax revenue to the state's General Revenue Fund (GRF) in FY08. This was in addition to $131 million that helped fund a variety of state services such as retirement of Clean Ohio Revitalization Bonds and small business economic development bonds.

The Controlling Board approved transfers of funds to the new Department of Veterans' Services and the expenditure of some of the remaining dollars from the Ohio Tobacco Prevention Foundation for intervention programs, smoking ban enforcement measures, the Quit Line and overhead and employment costs.

TREASURER

State Treasurer Richard Cordray announced that the BidOhio program, where the state awards monthly deposits of $50 million in state interim funds to community banks around the state via an online auction, will now be held twice monthly, making a total of $100 million available each month through the program.

UNEMPLOYMENT

Ohio's unemployment rate hit 7.2 percent in July – the highest it has been since the early 1990s. The Ohio Department of Job and Family Services (ODJFS) said that Ohio's non-farm wage and salary employment decreased 11,600 over the month. The number of unemployed has increased by 96,000 in the past 12 months from 334,000. The national unemployment rate for July was 5.7 percent, up from 5.5 percent in June.

UNEMPLOYMENT COMPENSATION

The Legislative Subcommittee of the Unemployment Compensation (UC) Advisory Council continued to inch toward suggesting a solution for the pending bankruptcy of the state's UC fund with business reps offering their approach which includes raising the taxable wage from $9,000 to $10,000; imposing a one-year freeze on benefits; adding a surcharge of 0.07 percent; and passing an employment/workforce-related bond issue to cover the remaining deficit.

UNIONS

Members of Service Employees International Union (SEIU) District 1199 have elected their first woman president – Rebecca Williams of Canton. She previously served as executive vice president and director of the Long Term Care Divisions for the union.

WORKERS' COMPENSATION

The Ohio Supreme Court Board of Commissioners on Grievances and Discipline heard from former Bureau of Workers' Compensation (BWC) Oversight Board member and Cleveland politico George Forbes regarding ethics charges stemming from the 2005 BWC investment scandal, following the board's rejection of the initial reprimand agreement.