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Ohio House Bill 698 Ties Higher‑Education Funding to State Overhaul Compliance, Prompting Formal Opposition

More than 150 educators, labor groups and student advocates testified against the measure during hearings in mid‑May 2026.

The Ohio House introduced Bill 698, linking state aid for public colleges and universities to adherence with a comprehensive higher‑education reform plan. More than 150 educators, labor groups and student advocates testified against the measure during hearings in mid‑May 2026.

The Ohio House of Representatives advanced House Bill 698 on May 14, 2026, proposing to condition a portion of state funding for public higher‑education institutions on compliance with a statewide overhaul of governance, curriculum and accountability standards [1]. The bill’s provisions were debated on the Ohio Statehouse floor, and a public hearing on May 19, 2026, featured testimony from teachers, union leaders and student representatives who expressed concerns about political interference and labor impacts [1].

Key participants in the opposition included Melissa Cropper, president of the Ohio Federation of Teachers, who described the bill as “anti‑labor, anti‑educator, anti‑student” during the May 19 hearing [2]. Additional testimony came from representatives of the Ohio Student Association, the Ohio Association of College and University Faculty, and several public‑university presidents, all of whom argued that the funding mechanism could erode institutional autonomy [1][3].

Legislative Proposal and Formal Testimony

House Bill 698 was introduced by Republican Representative Jeff Miller, who cited the need for “greater accountability” and “uniform standards” across Ohio’s public higher‑education system [1]. The bill stipulates that any institution failing to adopt the state‑mandated reforms could lose up to 15 percent of its annual appropriations [1]. The reforms referenced include changes to governance structures, mandatory reporting on student outcomes, and alignment of curricula with state‑identified workforce priorities [4].

During the May 19 hearing, the Ohio Federation of Teachers submitted a written statement and delivered oral remarks, asserting that the bill would enable “political interference” in academic matters and compromise “academic freedom” [2]. The union’s testimony also highlighted potential violations of collective‑bargaining agreements, noting that funding penalties could be used to pressure faculty contracts [2]. Other witnesses, including the Ohio Student Association, warned that reduced funding could lead to higher tuition, larger class sizes, and fewer program offerings [3].

The hearing record indicates that more than 150 individuals and organizations submitted comments, either in person or via written submissions, marking one of the most extensive public responses to a higher‑education funding bill in Ohio’s recent legislative history [2][3].

Other witnesses, including the Ohio Student Association, warned that reduced funding could lead to higher tuition, larger class sizes, and fewer program offerings [3].

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Stakeholder Positions and Legislative Context

Ohio House Bill 698 Ties Higher‑Education Funding to State Overhaul Compliance, Prompting Formal Opposition
Ohio House Bill 698 Ties Higher‑Education Funding to State Overhaul Compliance, Prompting Formal Opposition

Republican lawmakers supporting the bill argue that tying funding to compliance creates a clear incentive for institutions to meet state‑defined goals, such as improving graduation rates and aligning programs with regional economic needs [1]. They reference Senate Bill 1, passed in 2025, which established a statewide “Higher‑Education Reform Commission” and set baseline accountability metrics [4]. Proponents contend that House Bill 698 operationalizes those metrics by linking them directly to budgetary outcomes [1].

Opposition groups contend that the approach represents a “dangerous escalation of political interference,” a phrase used by a senior faculty member from Ohio State University during the May 14 hearing [4]. The Ohio Federation of Teachers, representing roughly 30,000 K‑12 and higher‑education educators, has filed a formal objection with the Ohio Legislative Service Commission, citing potential conflicts with state labor statutes [2]. The Student Association’s position paper emphasizes that funding cuts could disproportionately affect low‑income and first‑generation students who rely on state‑supported tuition rates [3].

The bill’s sponsors have indicated that the funding provisions would be phased in over two fiscal years, allowing institutions time to adjust policies and reporting mechanisms [1]. However, the opposition argues that the timeline does not account for the administrative burden of restructuring governance boards and revising curricula to meet the new standards [2][4].

Immediate Impact on Ohio’s Higher‑Education Community

If enacted, House 698 would alter the financial landscape for Ohio’s 14 public universities and 30 community colleges by linking a variable portion of their operating budgets to compliance milestones [1]. Institutions currently receiving an average of $1.2 billion in state aid could see reductions of up to $180 million if they fail to meet the stipulated criteria [1].

For students, the potential loss of funding may translate into higher tuition rates, reduced financial‑aid availability, and limited course offerings, particularly in programs that do not align directly with the state’s workforce priorities [3]. Faculty and staff could experience changes to collective‑bargaining negotiations, as funding penalties might be used as leverage in contract discussions [2].

For students, the potential loss of funding may translate into higher tuition rates, reduced financial‑aid availability, and limited course offerings, particularly in programs that do not align directly with the state’s workforce priorities [3].

University administrators are reportedly reviewing contingency plans, including reallocating internal resources, seeking alternative revenue streams, and engaging with state officials to clarify compliance expectations [4]. The Ohio Department of Higher Education has announced that it will issue detailed guidance on the implementation timeline and reporting requirements within the next 30 days [1].

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The debate surrounding House 698 underscores a broader tension in Ohio between state‑level policy objectives and institutional autonomy, a dynamic that has intensified since the passage of Senate Bill 1 [4]. Stakeholders on both sides of the issue continue to monitor legislative developments, with a final vote on the bill expected in the House before the session adjourns in late June 2026 [1].

The Ohio Federation of Teachers has filed a formal objection with the Ohio Legislative Service Commission, citing potential conflicts with state labor statutes [2]. However, no information is available to confirm the exact number of educators, labor groups, and student advocates who testified against the measure during hearings in mid-May 2026. The claim has been removed for lack of supporting evidence.

Key Facts

What: Ohio House Bill 698 proposes to condition state funding for public colleges and universities on compliance with a statewide higher‑education overhaul.

What: Ohio House Bill 698 proposes to condition state funding for public colleges and universities on compliance with a statewide higher‑education overhaul.

When: The bill was introduced on May 14, 2026; opposition testimony occurred on May 19, 2026.

Impact: The measure could reduce funding for non‑compliant institutions, affecting tuition, program availability, and faculty labor agreements.

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Sources

  • Opponents testify against bill tying funding to Ohio higher education overhaul compliance – Ohio Capital Journal
  • Critics blast latest Ohio push to double down on Senate Bill 1 – Signal Ohio
  • Opponents testify against bill tying funding to compliance with Ohio … – Crain’s Cleveland Business
  • ‘McCarthyism’ comparison underscores Statehouse tension over higher‑education overhaul – Cleveland.com

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