Ohio Cities Signing Secret Deals, Hiding Corporate Names

State lawmakers aim to ban non-disclosure agreements on economic development deals, but cities are exempt from the new law.

Mar. 16, 2026 at 7:23pm

Got story updates? Submit your updates here. ›

Ohio lawmakers are pushing to prohibit county commissioners, township trustees, village mayors and councils from signing non-disclosure agreements (NDAs) as part of economic development negotiations. The move comes after a high-profile case in Columbus where city council approved a $54 million tax break for what they thought was a shell company, only to later discover the recipient was Google. However, the proposed legislation explicitly exempts cities, leaving a major loophole.

Why it matters

The use of NDAs by local governments to hide the identities of companies receiving public subsidies has eroded public trust and transparency around how taxpayer money is spent. While the new bill aims to address this issue, excluding cities - where the most egregious examples have occurred - undermines the legislation's effectiveness.

The details

In the Columbus case, city council approved a $54 million tax break for a company called Magellan Enterprises, without knowing the recipient was actually Google. The mayor and a small inner circle were aware of Google's involvement, but council members were told they didn't need to know the company's name. Months later, they discovered they had handed a massive public subsidy to one of the world's most profitable companies without ever being informed. The new bill would void existing NDAs and impose a $1,000 civil fine for violations, but it explicitly exempts cities, the very entities most prone to using such secrecy.

  • In March 2026, Ohio lawmakers introduced House Bill 695 to prohibit the use of NDAs in economic development deals.
  • The Columbus city council approved a $54 million tax break for what they thought was a shell company called Magellan Enterprises in an undisclosed timeframe prior to the introduction of the new legislation.

The players

House Bill 695

Proposed legislation that would prohibit county commissioners, township trustees, village mayors and councils from signing non-disclosure agreements as part of economic development negotiations.

Columbus City Council

The city council in Columbus, Ohio that approved a $54 million tax break for what they thought was a shell company, but later discovered was actually Google.

Google

The technology giant that received a $54 million tax break from the Columbus city council without their knowledge.

Got photos? Submit your photos here. ›

What they’re saying

“I just don't see how a government can be allowed to sign an NDA. They represent us -- they're supposed to be us -- and they're hiding the information from us.”

— Chris Quinn, Host, Today in Ohio podcast (Today in Ohio)

What’s next

The judge in the case will decide on Tuesday whether or not to allow the new legislation to move forward, given the exemption for cities.

The takeaway

The use of non-disclosure agreements by local governments to conceal the identities of companies receiving public subsidies has eroded public trust and transparency. While the proposed legislation aims to address this issue, the exclusion of cities - where the most egregious examples have occurred - significantly weakens the bill's impact and leaves a major loophole for the continued use of such secrecy.