HB 405 Summary

• Creates the adoption linked deposit program allowing the state treasurer to place certificates of deposit with financial institutions at below-market rates in exchange for those institutions lending to eligible borrowers at reduced rates for adoption expenses.

• Defines eligible borrowers as Ohio residents who complete a home study under section 3107.031 or are pursuing adoption through the public foster care system and meet department of job and family services requirements.

• Requires eligible lending institutions to apply standard lending practices, certify borrower eligibility, and lend funds at a rate reduction equal to or greater than the state's rate reduction on the certificates of deposit placed with them.

• Limits combined adoption linked deposits to not more than 12 percent of the state's total average investment portfolio and requires the state treasurer to adopt administrative rules for program implementation, with annual reporting to the governor and legislature.

• Amends credit union statutes to authorize federal credit unions, foreign credit unions, and state credit unions to participate in the adoption linked deposit program.