Ohio’s bipartisan Jobs surveillance bill gets first hearing

The first hearing on a bipartisan measure establishing modern oversight of JobsOhio was held Tuesday. The effort for greater transparency comes in the wake of a podcast scandal that cost the former president of Ohio State University his job. But the drumming started before this incident.

Former Gov. John Kasich organized the economic development agency as a private, nonprofit corporation. JobsOhio owns the state’s liquor franchise and uses the proceeds to fund job creation efforts. However, because it is a private entity, JobsOhio is not subject to state sun exposure regulations.

There were always complaints about this lack of supervision. But until recently, Republican officials largely defended secrecy as crucial to striking deals with potential companies.

Cracks began to appear early last year. The Ohio Board of Control had been considering an early extension of JobsOhio’s franchise that would have kept it in control until 2053. The deal would have cost the corporation nothing, and Attorney General Dave Yost has publicly called on JobsOhio’s leaders to report on their efforts until they can provide Ohioans with “adequate consideration and a full explanation.”

The Control Board approved the extension in February 2025.

At the time, Ohio Republican Tristan Rader, D-Lakewood, was on the review board, and the proposal was approved despite his opposition. He is currently one of the sponsors supporting the JobsOhio Transparency Act.

Rader emphasized that he and his co-sponsor, Ohio State Rep. Justin Pizzulli, R-Scioto County, are not trying to hobble corporations.

“Under this bill, JobsOhio can operate as it currently does,” Rader said. “This allows us to better see how these tasks are being performed and what the results are, and we can provide better tracking, better transparency and greater accountability.”

“The conclusion is this,” he added. “This bill is not about whether JobsOhio is successful or not, it is about whether Ohioans can judge that success for themselves.”

In a statement, JobsOhio press secretary Matt Engelhart said, “JobsOhio values ​​our strong working relationship with state legislative leaders. We are committed to maintaining our best-in-class transparency while ensuring Ohio remains competitive in economic development opportunities.”

A modern oversight

JobsOhio is already regularly audited and produces annual reports. Critics, however, complain that the audits do not reveal enough about the inner workings of JobsOhio, and the reports only describe aggregate results.

Ohio House Bill 779 would replace this oversight with the standard two-year audits that every other state agency or public entity receives from the Auditor of Ohio. Additionally, JobsOhio officials testified annually before state legislators to detail the projects that received funding, their amount and location.

University president, inappropriate relationship, $60,000 podcasts dollars and another scandal in Ohio

In an apparent response to the podcast scandal, the bill also requires JobsOhio to disclose information about any corporate sponsors or media partners.

“If we can shed light on an organization,” Pizzulli said, “it brings public trust and transparency. I truly believe that if this bill had been passed, we would not have seen the embarrassment that would have befallen our state.”

He explained that he represents one of the poorest districts in the state and that his constituents feel “a little resentful” about the waste of money.

“Imagine what could be done with a place like Scioto County and our local economic development if we got $50,000 to help with some good-paying jobs and lift people out of poverty,” Pizzulli said.

This measure also introduces changes to the future expansion of the alcohol franchise. Rader explained that legislative researchers estimated the value of the latest extension to be around $16 billion. The proposal would require JobsOhio to pay fair market value for any future franchise rights.

Why is it needed

Ohio State Rep. Phil Plummer, R-Dayton, didn’t buy Pizzulli and Raders’ skepticism. He put it bluntly: Have we added jobs or have we had a net job loss since JobsOhio began?

Rader and Pizzulli acknowledged that there are more jobs now, but said JobsOhio’s role in creating them is unclear. Rader described how a company in his district was preparing to purchase $1.2 million in equipment. JobsOhio cut a check for several thousand dollars and then requested a loan to create jobs.

Rader said the company is “very grateful” but that the public deserves “a much more nuanced and nuanced understanding of how these public dollars are being spent.”

Plummer seemed fine with a little more transparency – “I don’t mind tweaking some things and moving a few stones.” However, he seemed unfazed by the sponsors’ doubts.

“I think they were very successful,” Plummer said.

Pizzulli and Rader say there’s nothing wrong with JobsOhio’s mission and if it works as well as it claims, more oversight will only strengthen its reputation.

However, sponsors are concerned that this does not actually provide an adequate return on investment. Pizzulli described JobsOhio’s offering to assist his local economic development agency, a major employer in his district, and the regional infrastructure strategy. They rejected him every time.

“At some point, when enough conversations go nowhere, you start asking a simple question,” he said. “Who exactly does Jobs Ohio answer to?”

The information JobsOhio shares “looks great on paper,” Pizzulli admitted, but he’s not sure it’s worth analyzing in detail.

“If you look closely, many of these projects were done independently before JobsOhio got involved,” he said. “In several cases, the check was found to have been issued after the fact and the project was deemed a JobsOhio success.”

People across the state are buying alcohol. But as Pizzulli sees his community continue to lag behind others, he wonders whether JobsOhio “truly serves all regions of Ohio equally or primarily by focusing resources on areas that are already experiencing growth and momentum.”

“My constituents are not asking for special treatment,” he said. “We just ask that we not be forgotten.”

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