COLUMBUS – Lawmakers and legal advocates are fighting over the provision in Ohio’s recently enacted biennial $60 billion budget that diverts roughly $600 million in unclaimed funds to help finance a new Cleveland Browns stadium in Brook Park.
Governer Mike DeWine signed HB 96 on July 1, which includes a plan to redirect unclaimed property (dormant banks, uncashed checks, utility bills) into a new $1.7 billion Cultural and Sports Facilites Fund, according to the Governor’s Office. Of that total, $600 million earmarked for the Browns Domed Stadium.
Under Ohio law, the right to unclaimed funds remains with the rightful owner until they are claimed. The budget has a “permanent escheat” clause: Unclaimed money reported before January 1, 2016, must be claimed by January 1, 2026, or it becomes state property.
Ohio currently holds around $4.8 to 5 billion in unclaimed funds.
As reported by The Columbus Dispatch, a class-action lawsuit was filed on July 5 in Franklin County Common Pleas Court by three Ohio residents and attorneys Marc Denn (a former Ohio Attorney General) and Jeff Crossman (a former state representative). The suit argues the budgets plan constitutes an illegal taking of private property and violates both the U.S. and Ohio constitutions.
The plaintiffs allege the law undermines longstanding custodial obligations and retroactively seizes money without proper due process.
“This is a shell game with people’s money,” Dann told The Columbus Dispatch.
According to Cleveland.com, the lawsuit has sparked broader political backlash among some Cleveland-area leaders and Democratic lawmakers, who say the funding plan unfairly benefits private interests. They argue using public custodial funds to subsidize a professional football team sets a dangerous precedent.
Meanwhile, supporters of the project, including some Browns and state officials, have argued the stadium will drive economic growth and eventually repay the public investment.
The lawsuit seeks to block the state from seizing any unclaimed funds under the new rules. If successful, this will stall $600 million of the funding for the $2.4 billion stadium.
According to both the Columbus Dispatch and Cleveland.com, the case is expected to move through the courts over the coming months, with possible far-reaching implications for how Ohio handles unclaimed property and funds public-private projects such as sports stadiums.
“On behalf of our over 8,000 members, we thank Gov. DeWine, the Ohio Senate, and the Ohio House of Representatives for passing a pro-growth state operating budget,” Ohio Chamber President & CEO Steve Stiver said. “From housing incentives to child care investments to post-secondary education and job training assistance, our state leaders are continuing to confront Ohio’s workforce challenges.”
