Chapter 901-8 Ethanol Incentive Board

901-8-01 Definitions.

(A) "Board" shall mean the ethanol incentive board.

(B) "Ohio Farmer" is defined as one of the following:

(1) Any person who produces one thousand dollars or more of agricultural commodities in Ohio as "agriculture" is defined in R.C. 1.61 and files a schedule F with the internal revenue service;

(2) A person who owns farm or pasture land in Ohio that is devoted to agricultural activities as "agriculture" is defined in R.C. 1.61 , and the person receives rent/income for the use of that property;

(3) A person who owns farm or pasture land in Ohio, and receives payments from the United States department of agriculture (USDA) for participation in the conservation reserve program (CRP) or other land set aside programs; or

(4) A person who owns at least ten percent of the equity in an agricultural operation as described in paragraphs (B)(1) to (B)(3) of this rule.

(C) "Majority Owned by Ohio Farmers" shall mean that fifty percent or more of the issued voting shares with voting rights of a corporation, fifty percent or more of the general partnership interest of a partnership, or fifty percent or more of the voting rights of a limited liability company, are owned by Ohio farmers. With respect to a sole proprietorship, the owner shall be an Ohio farmer.

(D) "Person" includes individuals, firms, companies, business trusts, estates, trusts, partnerships, limited liability companies, associations, corporations, and any other business entities.

(E) "Repayment Agreement" means the agreement between the applicant and the state of Ohio that will be included in any application for the certificate of approval issued by the board, that shall require the applicant to repay the state of Ohio an amount equal to the amount of tax credits that were taken by the investors in that applicant for the purpose of working toward the operation for an ethanol facility, if the facility never operates or never produces ethanol for sale.

R.C. 119.032 review dates: 08/13/2010 and 08/13/2015
Promulgated Under: 119.03
Statutory Authority: 901.13
Rule Amplifies: 901.13
Prior Effective Dates: 11-29-02

901-8-02 Application procedure.

(A) An applicant seeking to obtain a certificate of approval by the board to show investors that they may receive a tax incentive for investing in the applicant's ethanol plant must submit an application in the form prescribed and available from the board, a business plan in the format described in paragraph (B) of this rule, and a repayment agreement if applicable.

(B) All business plans submitted for review to the board for a certified ethanol plant shall be typewritten, contain all the information required in R.C. 901.13(D) , and be in the following format:

(1) Executive summary.

(2) Company background.

(3) Owner/management background

(4) Market analysis

(5) Product service offering

(6) Marketing plan

(7) Financial plan and analysis

(C) The applicant shall submit ten copies of the application and the business plan to the board, c/o "The Ohio Department of Agriculture, 8995 East Main Street, Reynoldsburg, Ohio 43068."

(D) Once the applications and business plans are received, the applications will be time stamped. A board meeting will be set within sixty calendar days from the date the Ohio department of agriculture received the application and business plan.

(E) Upon receipt of an application and business plan, the board will issue the applicant a letter acknowledging receipt of the documents and advise the applicant of the date, place, and time of the board meeting where their business plan will be reviewed. This letter will also indicate whether or not the board requests the applicant's attendance at the meeting to answer any questions.

(F) If the application or business plan is incomplete or requires additional information, the board may return the application and indicate which portions are missing or require additional information, which will stop the sixty calendar day review time. Once the incomplete application or additional information is resubmitted it will be time stamped again, and a new sixty calendar day time period will begin to run. The same notice will be sent to the applicant as described in paragraph (D) of this rule.

R.C. 119.032 review dates: 08/13/2010 and 08/13/2015
Promulgated Under: 119.03
Statutory Authority: 901.13
Rule Amplifies: 901.13
Prior Effective Dates: 11-29-02

901-8-03 Policy statement.

All documents issued by the applicant and/or approved facility used in soliciting an investment and/or referencing the benefits of investing in the applicant's ethanol facility that will be built and/or that is operating shall include the following disclaimer statement:

"By granting a certificate of approval for the applicant that intends to operate an ethanol facility as set forth in section 901.13(D) of the Ohio Revised Code, thereby allowing investors in the ethanol facility to receive a tax credit, as set forth in R.C. 5747.75 the Ethanol Incentive Board does not endorse the advisability of investment in the applicant that intends to build and/or operate the ethanol facility."

R.C. 119.032 review dates: 08/13/2010 and 08/13/2015
Promulgated Under: 119.03
Statutory Authority: 901.13
Rule Amplifies: 901.13
Prior Effective Dates: 11-29-02