Senate Passes Patton's Gus Frangos Act

COLUMBUS — The Ohio Senate passed Senate Bill 102, sponsored by Senator Tom Patton (R-Strongsville). The legislation, officially named the "Gus Frangos Act," enacts important reforms for county land reutilization corporations, also known as land banks.

“This legislation enacts crucial changes to little known but incredibly impactful projects and honors the man who helped create them," said Senator Patton. "By passing this legislation, we can ensure that consumers, property owners, and communities can benefit from the redevelopment of nonproductive land. I can't think of a better way to honor Gus Frangos than to safeguard the reforms he championed."

County land reutilization corporations, commonly referred to as land banks, are a quasi-governmental entity, commonly led by the county treasurer, tasked with acquiring vacant land and selling the property for redevelopment or use by a responsible third party. Land banks can acquire these properties through purchase, donation, or intergovernmental transfers from public foreclosure proceedings. 

In 2009, Senator Patton, with the assistance of Gus Frangos, passed legislation to create the Cuyahoga Land Bank pilot program, the first land bank in the State of Ohio. This land bank set the standard for other Ohio counties, and today 70 of Ohio's 88 counties have land banks.

Gus Frangos, who passed in 2024, served as president of the Cuyahoga Land Bank for 15 years and was an advocate on behalf of land banks for the remainder of his life. SB 102 was named the "Gus Frangos Act" in his honor.

SB 102 makes many changes to Ohio's land bank laws. These changes include:

• Allowing land banks, or other government entities, to inspect the property for environmental, health, or safety purposes during a tax foreclosure under the supervision of the Court;
• Clarifying that property owners of foreclosed property have an absolute right to pay off their debts using the proceeds from their property sold at a sheriff sale and entitling them to the sale money in excess of their debt; and
• Permitting county commissioners to authorize up to 50% of future real estate taxes be paid to the county's land reutilization fund as a Payment in Lieu of Taxes (PILOT) for up to five years. This is an optional tool for counties attempting to get land sold and back into productive use. 

The Ohio Senate has sent SB 102 to the Ohio House for further consideration.

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