The Ohio Budget Bill: What do you need to know?

UPDATE

House Bill 33 (HB 33), the state operating budget bill for fiscal years 2024-2025, was signed into law by the Governor on July 4, 2023. Key updates from our original blog below:

The 135th Ohio General Assembly passed appropriations that increase the overall budget for the H2Ohio program which would ultimately increase the positive water quality impacts that Ohio could see as a result. This change is a step in the right direction, but the final outcome is still disappointing as many of the numbers were cut down in the Senate version of the bill.  Despite this reduction, most organizations will be given greater funding from the previous biennium allowing agencies to better protect our waterways. The legislation would provide:

  • Ohio Department of Agriculture (ODA) - $60.6 million a year

  • Ohio Department of Natural Resources (ODNR) - $46.6 million a year

  • Ohio Environmental Protection Agency (OEPA) - $27.5 million a year

  • Ohio Lake Erie Commission (LEC) with $132,000 a year 

Each agency would use these funds to reduce phosphorus runoff from farm fields, build new wetlands and restore others to filter surface water, and replace key water infrastructure across the state.

The Ohio Oil and Gas Well Fund survived the entire process and was signed by Governor DeWine. This provides the money needed for ODNR to continue plugging the orphaned wells across the state of Ohio. Originally, the General Assembly created a special type of fund where the funding within it could not be transferred to other projects, however Governor DeWine vetoed this amendment. In the end, the fund was created and can be used, but it is now in a more precarious position and is at risk of having the funds transferred away to other projects.


Every two years the state of Ohio embarks on a process to establish funding for the majority of the state government through the operating budget bill. At the Ohio Environmental Council Action Fund, we advocate for funding a number of key state agencies and their programs to ensure a healthier environment for all Ohioans. 

The Governor kicks things off by presenting their ideal state budget to the State Legislature and then over the course of several months these appropriations are debated until final figures are agreed upon before the fiscal year starts on July 1st. 

This year, we’re tracking House Bill 33 (HB 33), the state operating budget bill for fiscal years 2024-2025. Specifically, we’re keeping a close watch on provisions that protect our water and help combat climate change. While there are a number of federal programs that support this work, these state based programs fill unique gaps in solving our state’s environmental challenges.

We’re advocating for increased funding for the H2Ohio program, which is one of the most comprehensive, science-based plans for clean water in state history. Over the last four years, the H2Ohio program has worked collaboratively across several state agencies, and with Ohio landowners and non-governmental partners to tackle some of the state’s most urgent water quality challenges. 

A sign denoting the Spring Run Conservation Area Wetland Restoration Project location.

From our Great Lake to the mighty Ohio River — and the many lakes, wetlands, and streams in between — Ohio’s plentiful water resources provide drinking water, recreation opportunities, and a strong economy for millions of people. But our waterways face a number of challenges including annual toxic algal blooms. While the most notable toxic algal blooms persist in western Lake Erie near Toledo, we’ve seen outbreaks in waterways across the state. Toxic algae poses a public health threat to local drinking water supplies and local beaches and rivers, all while hindering local economies that rely on clean water. These harmful blooms grow out of hand when there is too much phosphorus in our waterways from agriculture, wastewater, and septic systems. The clearest path to reducing the severity of these toxic algae blooms is to reduce the phosphorus entering our waterways.

Outdated water infrastructure and a legacy of lead in water service lines also pose challenges to Ohio’s drinking water. The total estimated cost to address our state’s outstanding water infrastructure needs is approaching $30 billion dollars over the next 20 years. These necessary improvements would reduce sewage from entering our waterways after severe rain events by phasing out combined sewer overflows, improve water treatment plants that clean drinking water, and remove and replace lead service water lines. Ohio is second in the nation for the number of lead service lines, with an estimated 650,000 lines still in place that threaten the safety of Ohioans’ drinking water.

In HB 33, there are currently appropriations that would increase the overall budget for the H2Ohio program which would ultimately increase the positive water quality impacts that Ohio could see as a result. As of June 1, the legislation would provide:

  • Ohio Department of Agriculture (ODA) - $69 million a year

  • Ohio Department of Natural Resources (ODNR) - $53 million a year

  • Ohio Environmental Protection Agency (OEPA) - $31.3 million a year

  • Ohio Lake Erie Commission (LEC) with $132,000 a year 

Each agency would use these funds to reduce phosphorus runoff from farm fields, build new wetlands and restore others to filter surface water, and replace key water infrastructure across the state.

The second program that we are monitoring is the Ohio Oil and Gas Well Fund. As HB 33 has made its way through the legislature, there have been attempts to reduce these critical dollars that are largely used to cap orphaned oil and gas wells.

Abandon Orphan Well in Findlay, OH that began emitting crude oil and natural gas.

Orphaned wells are improperly abandoned oil or gas wells that are no longer in production, often several decades old. These wells pose a hazard to the environment and to human health and safety. Until they are located and properly plugged, they can release both methane and chemical pollution into our environment. The Ohio Oil and Gas Well Fund provides operational resources for the Division of Oil and Gas, as well as money for the state's orphan well plugging program — this ODNR program is one of the oldest and most successful programs in the country. The state must continue to plug the more than 20,000 orphan wells across Ohio to protect the health of our environment and surrounding communities; lawmakers should maintain or increase funding rather than take it away. 

What happens next?

The Ohio House of Representatives made its changes and overwhelmingly approved HB 33 with bipartisan support in April. The Ohio Senate is expected to follow the process of the Ohio House by making amendments through two rounds of changes before finalizing their own version of the bill in mid June. At that point, there will certainly be differences between the two versions of the HB 33 that each chamber will have passed. This will trigger a conference committee composed of members from both chambers and both political parties to resolve any final differences before sending the bill to the Governor to consider signing. Since this legislation contains funding appropriations the Governor could veto specific line items within the bill, he could veto the whole thing entirely, or he could simply sign what is presented to him which would finalize the process.

How can you get involved?

We have launched a "Statehouse Rapid Response Team" of dedicated action takers who are ready to take rapid-fire action when bills we're tracking are about to be voted on. This is how we’ll communicate any urgent news about changes to HB 33 and these critical environmental programs.

If you sign up to be a part of this team, you'll receive an email with a 🚨emoji in the subject line every time one of the bills we're tracking needs some extra people power to push our lawmakers to make the best decisions for all who call Ohio home—and our climate. We hope you'll join us in the fight to protect our environment and ensure all Ohioans have a voice in our democracy!