As Introduced

136th General Assembly

Regular Session S. B. No. 240

2025-2026

To enact section 3780.221 of the Revised Code to authorize a county excise tax on the sale of adult use marijuana to support artistic, cultural, and entertainment opportunities.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That section 3780.221 of the Revised Code be enacted to read as follows:

Sec. 3780.221. (A) For one or more of the purposes of funding cultural, artistic, and entertainment opportunities in the county and for the purpose of paying the expenses of administering the tax, a board of county commissioners may levy an excise tax on the retail sale of adult use marijuana, as that term is defined in section 3780.22 of the Revised Code, in the county.

The rate of the tax shall be expressed as a multiple of one-quarter of one per cent of the price of adult use marijuana, but shall not exceed three per cent in total when accounting for all taxes levied under this section simultaneously by a county. The tax is in addition to other taxes levied under this chapter or Chapter 5739. or 5741. of the Revised Code. The tax may be levied for any number of years not exceeding ten years.

The tax shall be levied pursuant to a resolution of the board of county commissioners approved by a majority of the electors in the county voting on the question of levying the tax. The resolution shall specify the rate of the tax, the number of years the tax will be levied, and the purposes for which the tax is levied. The election may be held on the date of a general or special election held not sooner than ninety days after the date the board certifies its resolution to the board of elections. If approved by the electors, the tax shall take effect on the first day of the month specified in the resolution but not sooner than the first day of the month that is at least sixty days after the certification of the election results by the board of elections. The board of county commissioners shall certify a copy of the resolution levying the tax to the tax commissioner at least sixty days prior to the date on which the tax is to become effective.

(B) The form of the ballot in an election held to propose a tax under division (A) of this section shall be as follows, or in any other form acceptable to the secretary of state:

"For the purpose of __________ (insert the purpose or purposes of the tax), shall an excise tax be levied throughout ___________ County at the rate of ____% of the price paid for adult use marijuana for ____ years?

Yes	For the tax
No	Against the tax	"

(C) A tax approved under this section shall be paid by the consumer to the vendor at the time of the sale, and the vendor shall report and remit the tax to the state in the same manner, on the same form, and at the same time as the vendor reports and remits the tax levied under section 3780.22 of the Revised Code. Except as otherwise provided in this section, and for all purposes of the Revised Code, the tax levied under this section shall be administered and enforced in the same manner as a tax levied under section 5739.021 of the Revised Code.

(D) All money arising from a tax levied under this section shall be credited as follows:

(1) To the tax refund fund created by section 5703.052 of the Revised Code, amounts equal to the refunds attributable to each tax levied under this section of the Revised Code and certified by the tax commissioner pursuant to section 5739.07 of the Revised Code;

(2) Following the crediting of amounts pursuant to division (D)(1) of this section:

(a) To the permissive tax distribution fund created under section 4301.423 of the Revised Code, an amount equal to ninety-eight per cent of the remainder collected;

(b) To the local excise tax administrative fund created under section 5743.021 of the Revised Code, an amount equal to two per cent of such remainder, for use by the tax commissioner in defraying costs incurred in administering the tax.

On or before the tenth day of each month, the tax commissioner shall distribute the amount credited to the permissive tax distribution fund during the preceding month by providing for payment of the appropriate amount to the county treasurer of the county in which the tax is levied.