As Passed by the House 1
122nd General Assembly 4
Regular Session Am. Sub. S. B. No. 6 5
1997-1998 6
SENATORS KEARNS-DIX-OELSLAGER-GILLMOR-SUHADOLNIK-GAETH-ZALESKI- 8
RAY-McLIN-J. JOHNSON-ESPY-HOWARD-REPRESENTATIVES REID-JOHNSON- 9
SYKES-THOMAS-CORBIN-ROBERTS-PERZ-MALLORY-TAVARES-OPFER- 10
KREBS-O'BRIEN-BOYD-CORE-PRENTISS-BRITTON-LEWIS-VERICH-BEATTY 11
13
A B I L L
To amend sections 101.72, 102.02, 102.022, 102.03, 15
126.21, 2907.03, 3345.011, 3345.09, 3345.61, and 16
3345.99, to enact sections 3333.045 and 3345.71
to 3345.78, and to repeal section 3345.031 of the 18
Revised Code to require the Ohio Board of Regents 19
to place a state university or college on a
fiscal watch under certain circumstances, to 21
authorize the Governor under certain
circumstances to transfer the powers and duties 22
of a board of trustees of a state university or 24
college under a fiscal watch to a conservator and 25
alternative governance authority, to require the 26
development of a model for training members of
boards of trustees of state universities and 27
colleges and of the Board of Regents regarding 28
their authority and responsibilities, and to make
an appropriation.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 30
Section 1. That sections 101.72, 102.02, 102.022, 102.03, 32
126.21, 2907.03, 3345.011, 3345.09, 3345.61, and 3345.99 be 33
amended and sections 3333.045, 3345.71, 3345.72, 3345.73, 35
3345.74, 3345.75, 3345.76, 3345.77, and 3345.78 of the Revised 36
Code be enacted to read as follows: 37
2
Sec. 101.72. (A) Each legislative agent and employer, 46
within ten days following an engagement of a legislative agent, 47
shall file with the joint legislative ethics committee an initial 49
registration statement showing all of the following:
(1) The name, business address, and occupation of the 51
legislative agent; 52
(2) The name and business address of the employer and the 54
real party in interest on whose behalf the legislative agent is 55
actively advocating, if it is different from the employer. For 56
the purposes of division (A) of this section, where a trade 57
association or other charitable or fraternal organization that is 58
exempt from federal income taxation under subsection 501(c) of 59
the federal Internal Revenue Code is the employer, the statement 60
need not list the names and addresses of each member of the 61
association or organization, so long as the association or 62
organization itself is listed. 63
(3) A brief description of the type of legislation to 65
which the engagement relates. 66
(B) In addition to the initial registration statement 68
required by division (A) of this section, each legislative agent 69
and employer shall file with the joint committee, not later than 70
the last day of January, May, and September of each year, an 72
updated registration statement that confirms the continuing 73
existence of each engagement described in an initial registration 74
statement and that lists the specific bills or resolutions on 75
which the agent actively advocated under that engagement during 76
the period covered by the updated statement, and with it any 77
statement of expenditures required to be filed by section 101.73 78
of the Revised Code and any details of financial transactions 79
required to be filed by section 101.74 of the Revised Code. 80
(C) If a legislative agent is engaged by more than one 82
employer, the agent shall file a separate initial and updated 83
registration statement for each engagement. If an employer 84
engages more than one legislative agent, the employer need file 85
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only one updated registration statement under division (B) of 86
this section, which shall contain the information required by 87
division (B) of this section regarding all of the legislative 88
agents engaged by the employer. 89
(D)(1) A change in any information required by division 91
(A)(1), (2), or (B) of this section shall be reflected in the 92
next updated registration statement filed under division (B) of 93
this section. 94
(2) Within thirty days after the termination of an 96
engagement, the legislative agent who was employed under the 97
engagement shall send written notification of the termination to 98
the joint committee. 99
(E) Except as otherwise provided in this division, a 101
registration fee of ten dollars shall be charged for filing an 102
initial registration statement. All money collected from this 103
registration fee shall be deposited to the credit of the joint 104
legislative ethics committee fund created under section 101.34 of 105
the Revised Code. An officer or employee of a state agency who 107
actively advocates in his A fiduciary capacity as a
representative of that state agency need not pay the registration 109
fee prescribed by this division or file expenditure statements 111
under section 101.73 of the Revised Code. As used in this 112
division, "state agency" does not include a state institution of
higher education as defined in section 3345.031 3345.011 of the 114
Revised Code.
(F) Upon registration pursuant to division (A) of this 116
section, the legislative agent shall be issued a card by the 117
joint committee showing that the legislative agent is registered. 118
The registration card and the legislative agent's registration 119
shall be valid from the date of their issuance until the next 120
thirty-first day of December of an even-numbered year. 122
(G) The executive director of the joint committee shall be 124
responsible for reviewing each registration statement filed with 125
the joint committee under this section and for determining 126
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whether the statement contains all of the information required by 127
this section. If the joint committee determines that the 128
registration statement does not contain all of the required 129
information or that a legislative agent or employer has failed to 130
file a registration statement, the joint committee shall send 131
written notification by certified mail to the person who filed 132
the registration statement regarding the deficiency in the 133
statement or to the person who failed to file the registration 134
statement regarding the failure. Any person so notified by the 135
joint committee shall, not later than fifteen days after 136
receiving the notice, file a registration statement or an amended 137
registration statement that does contain all of the information 138
required by this section. If any person who receives a notice 139
under this division fails to file a registration statement or 140
such an amended registration statement within this fifteen-day 141
period, the joint committee shall notify the attorney general, 142
who may take appropriate action as authorized under section 143
101.79 of the Revised Code. If the joint committee notifies the 144
attorney general under this division, the joint committee shall 145
also notify in writing the governor and each member of the 146
general assembly of the pending investigation. 147
(H) On or before the fifteenth day of March of each year, 149
the joint committee shall, in the manner and form that it 150
determines, publish a report containing statistical information 151
on the registration statements filed with it under this section 152
during the preceding year. 153
Sec. 102.02. (A) Except as otherwise provided in division 162
(H) of this section, every person who is elected to or is a 163
candidate for a state, county, or city office, or the office of 164
member of the United States congress, and every person who is 165
appointed to fill a vacancy for an unexpired term in such an 166
elective office; all members of the state board of education; the 168
director, assistant directors, deputy directors, division chiefs, 169
or persons of equivalent rank of any administrative department of 170
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the state; the president or other chief administrative officer of 171
every state institution of higher education as defined in section 172
3345.031 3345.011 of the Revised Code; the chief executive 174
officer of each state retirement system; all members of the board 175
of commissioners on grievances and discipline of the supreme 176
court and the ethics commission created under section 102.05 of 177
the Revised Code; every business manager, treasurer, or 178
superintendent of a city, local, exempted village, joint 179
vocational, or cooperative education school district or an 180
educational service center; every person who is elected to or is 181
a candidate for the office of member of a board of education of a 182
city, local, exempted village, joint vocational, or cooperative 183
education school district or of a governing board of an 184
educational service center that has an average daily membership 185
of twelve thousand or more as most recently certified to the 186
state board of education pursuant to division (A) of section 187
3317.03 of the Revised Code; every public official or employee 188
who is paid a salary or wage in accordance with schedule C of 189
section 124.15 or schedule E-2 of section 124.152 of the Revised 190
Code; and every other public official or employee who is 191
designated by the appropriate ethics commission pursuant to 192
division (B) of this section shall file with the appropriate 193
ethics commission on a form prescribed by the commission, a 194
statement disclosing:
(1) The name of the person filing the statement and each 196
member of the person's immediate family and all names under which 198
the person or members of the person's immediate family does 199
business; 200
(2)(a) Subject to divisions (A)(2)(b), and (c) of this 202
section and except as otherwise provided in section 102.022 of 203
the Revised Code, identification of every source of income, other 204
than income from a legislative agent identified in division 205
(A)(2)(b) of this section, received during the preceding calendar 206
year, in the person's own name or by any other person for the 208
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person's use or benefit, by the person filing the statement, and 209
a brief description of the nature of the services for which the 210
income was received. If the person filing the statement is a 211
member of the general assembly, the statement shall identify the 212
amount of every source of income received in accordance with the 213
following ranges of amounts: zero or more but less than one 214
thousand dollars; one thousand dollars or more but less than ten 215
thousand dollars; ten thousand dollars or more but less than 216
twenty-five thousand dollars; twenty-five thousand dollars or 217
more but less than fifty thousand dollars; fifty thousand dollars 218
or more but less than one hundred thousand dollars; and one 219
hundred thousand dollars or more. Division (A)(2)(a) of this 220
section shall not be construed to require a person filing the 221
statement who derives income from a business or profession to 222
disclose the individual items of income that constitute the gross 223
income of that business or profession, except for those 224
individual items of income that are attributable to the person's 225
or, if the income is shared with the person, the partner's, 226
solicitation of services or goods or performance, arrangement, or 227
facilitation of services or provision of goods on behalf of the 228
business or profession of clients, including corporate clients, 229
who are legislative agents as defined in section 101.70 of the 230
Revised Code. A person who files the statement under this 231
section shall disclose the identity of and the amount of income 232
received from a person whom the public official or employee knows 233
or has reason to know is doing or seeking to do business of any 234
kind with the public official's or employee's agency. 235
(b) If the person filing the statement is a member of the 237
general assembly, the statement shall identify every source of 238
income and the amount of that income that was received from a 239
legislative agent, as defined in section 101.70 of the Revised 240
Code, during the preceding calendar year, in the person's own 242
name or by any other person for the person's use or benefit, by 243
the person filing the statement, and a brief description of the 245
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nature of the services for which the income was received. 246
Division (A)(2)(b) of this section requires the disclosure of 247
clients of attorneys or persons licensed under section 4732.12 of 248
the Revised Code, or patients of persons certified under section 249
4731.14 of the Revised Code if those clients or patients are 250
legislative agents. Division (A)(2)(b) of this section requires 251
a person filing the statement who derives income from a business 252
or profession to disclose those individual items of income that 253
constitute the gross income of that business or profession that 254
are received from legislative agents. 255
(c) Except as otherwise provided in division (A)(2)(c) of 257
this section, division (A)(2)(a) of this section applies to 258
attorneys, physicians, and other persons who engage in the 259
practice of a profession and who, pursuant to a section of the 260
Revised Code, the common law of this state, a code of ethics 261
applicable to the profession, or otherwise, generally are 262
required not to reveal, disclose, or use confidences of clients, 263
patients, or other recipients of professional services except 264
under specified circumstances or generally are required to 265
maintain those types of confidences as privileged communications 266
except under specified circumstances. Division (A)(2)(a) of this 267
section does not require an attorney, physician, or other 268
professional subject to a confidentiality requirement as 269
described in division (A)(2)(c) of this section to disclose the 270
name, other identity, or address of a client, patient, or other 271
recipient of professional services if the disclosure would 272
threaten the client, patient, or other recipient of professional 273
services, would reveal details of the subject matter for which 274
legal, medical, or professional advice or other services were 275
sought, or would reveal an otherwise privileged communication 276
involving the client, patient, or other recipient of professional 277
services. Division (A)(2)(a) of this section does not require an 278
attorney, physician, or other professional subject to a 279
confidentiality requirement as described in division (A)(2)(c) of 280
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this section to disclose in the brief description of the nature 281
of services required by division (A)(2)(a) of this section any 282
information pertaining to specific professional services rendered 283
for a client, patient, or other recipient of professional 284
services that would reveal details of the subject matter for 285
which legal, medical, or professional advice was sought or would 286
reveal an otherwise privileged communication involving the 287
client, patient, or other recipient of professional services. 288
(3) The name of every corporation on file with the 290
secretary of state that is incorporated in Ohio or holds a 291
certificate of compliance authorizing it to do business in this 292
state, trust, business trust, partnership, or association that 293
transacts business in Ohio in which the person filing the 294
statement or any other person for the person's use and benefit 296
had during the preceding calendar year an investment of over one 297
thousand dollars at fair market value as of the thirty-first day 298
of December of the preceding calendar year, or the date of 299
disposition, whichever is earlier, or in which the person holds 300
any office or has a fiduciary relationship, and a description of 301
the nature of the investment, office, or relationship. This 302
division does not require disclosure of the name of any bank, 303
savings and loan association, credit union, or building and loan 304
association with which the person filing the statement has a 305
deposit or a withdrawable share account. 306
(4) All fee simple and leasehold interests to which the 308
person filing the statement holds legal title to or a beneficial 309
interest in real property located within the state, excluding the 310
person's residence and property used primarily for personal 311
recreation; 312
(5) The names of all persons residing or transacting 314
business in the state to whom the person filing the statement 315
owes, in the person's own name or in the name of any other 316
person, more than one thousand dollars. This division shall not 318
be construed to require the disclosure of debts owed by the 319
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person resulting from the ordinary conduct of a business or 320
profession or debts on the person's residence or real property 321
used primarily for personal recreation, except that the 322
superintendent of financial institutions shall disclose the names 324
of all state-chartered savings and loan associations and of all 326
service corporations subject to regulation under division (E)(2) 327
of section 1151.34 of the Revised Code to whom the superintendent 328
in the superintendent's own name or in the name of any other 329
person owes any money, and that the superintendent and any deputy 331
superintendent of banks shall disclose the names of all 332
state-chartered banks and all bank subsidiary corporations 333
subject to regulation under section 1109.44 of the Revised Code 334
to whom the superintendent or deputy superintendent owes any 335
money.
(6) The names of all persons residing or transacting 337
business in the state, other than a depository excluded under 338
division (A)(3) of this section, who owes more than one thousand 339
dollars to the person filing the statement, either in the 340
person's own name or to any person for the person's use or 342
benefit. This division shall not be construed to require the 344
disclosure of clients of attorneys or persons licensed under 345
section 4732.12 or 4732.15 of the Revised Code, or patients of 346
persons certified under section 4731.14 of the Revised Code, nor 347
the disclosure of debts owed to the person resulting from the 348
ordinary conduct of a business or profession. 349
(7) Except as otherwise provided in section 102.022 of the 351
Revised Code, the source of each gift of over seventy-five 352
dollars, or of each gift of over twenty-five dollars received by 353
a member of the general assembly from a legislative agent, 354
received by the person in the person's own name or by any other 356
person for the person's use or benefit during the preceding 357
calendar year, except gifts received by will or by virtue of 359
section 2105.06 of the Revised Code, or received from spouses, 360
parents, grandparents, children, grandchildren, siblings, 361
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nephews, nieces, uncles, aunts, brothers-in-law, sisters-in-law, 362
sons-in-law, daughters-in-law, fathers-in-law, mothers-in-law, or 363
any person to whom the person filing the statement stands in loco 364
parentis, or received by way of distribution from any inter vivos 365
or testamentary trust established by a spouse or by an ancestor; 366
(8) Except as otherwise provided in section 102.022 of the 368
Revised Code, identification of the source and amount of every 369
payment of expenses incurred for travel to destinations inside or 370
outside this state that is received by the person in the person's 372
own name or by any other person for the person's use or benefit 373
and that is incurred in connection with the person's official 375
duties except for expenses for travel to meetings or conventions 376
of a national or state organization to which either house of the 377
general assembly, any legislative agency, a state institution of 378
higher education as defined in section 3345.031 of the Revised 379
Code, any other state agency, or any political subdivision or any 380
office or agency of a political subdivision pays membership dues. 381
(9) Except as otherwise provided in section 102.022 of the 383
Revised Code, identification of the source of payment of expenses 384
for meals and other food and beverages, other than for meals and 385
other food and beverages provided at a meeting at which the 386
person participated in a panel, seminar, or speaking engagement 387
or at a meeting or convention of a national or state organization 388
to which either house of the general assembly, any legislative 389
agency, a state institution of higher education as defined in 390
section 3345.031 of the Revised Code, any other state agency, or 391
any political subdivision or any office or agency of a political 392
subdivision pays membership dues, that are incurred in connection 393
with the person's official duties and that exceed one hundred 394
dollars aggregated per calendar year; 395
(10) If the financial disclosure statement is filed by a 397
public official or employee described in division (B)(2) of 398
section 101.73 of the Revised Code or division (B)(2) of section 399
121.63 of the Revised Code who receives a statement from a 400
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legislative agent, executive agency lobbyist, or employer that 401
contains the information described in division (F)(2) of section 402
101.73 of the Revised Code or division (G)(2) of section 121.63 403
of the Revised Code, all of the nondisputed information contained 404
in the statement delivered to that public official or employee by 405
the legislative agent, executive agency lobbyist, or employer 406
under division (F)(2) of section 101.73 or (G)(2) of section 407
121.63 of the Revised Code. As used in division (A)(10) of this 408
section, "legislative agent," "executive agency lobbyist," and 409
"employer" have the same meanings as in sections 101.70 and 410
121.60 of the Revised Code. 411
A person may file a statement required by this section in 413
person or by mail. A person who is a candidate for elective 414
office shall file the statement no later than the thirtieth day 416
before the primary, special, or general election at which such 417
candidacy is to be voted on, whichever election occurs sooner, 418
except a person who is a write-in candidate shall file the 419
statement no later than the twentieth day before the earliest 420
election at which the person's candidacy is to be voted on. A 422
person who holds elective office shall file the statement on or 423
before the fifteenth day of April of each year, unless the person 425
is a candidate for office. A person who is appointed to fill a 427
vacancy for an unexpired term in an elective office shall file 428
the statement within fifteen days after the person qualifies for 430
office. Other persons shall file an annual statement on or 432
before the fifteenth day of April or, if appointed or employed 433
after that date, within ninety days after appointment or 434
employment. No person shall be required to file with the 435
appropriate ethics commission more than one statement or pay more 436
than one filing fee for any one calendar year. 437
The appropriate ethics commission, for good cause, may 439
extend for a reasonable time the deadline for filing a disclosure 440
statement under this section. 441
A statement filed under this section is subject to public 443
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inspection at locations designated by the appropriate ethics 444
commission except as otherwise provided in this section. 445
(B) The Ohio ethics commission, the joint legislative 447
ethics committee, and the board of commissioners on grievances 448
and discipline of the supreme court, using the rule-making 449
procedures of Chapter 119. of the Revised Code, may require any 450
class of public officials or employees under its jurisdiction and 451
not specifically excluded by this section whose positions involve 452
a substantial and material exercise of administrative discretion 453
in the formulation of public policy, expenditure of public funds, 454
enforcement of laws and rules of the state or a county or city, 455
or the execution of other public trusts, to file an annual 456
statement on or before the fifteenth day of April under division 457
(A) of this section. The appropriate ethics commission shall 458
send the public officials or employees written notice of the 459
requirement by the fifteenth day of February of each year the 460
filing is required, unless the public official or employee is 461
appointed after that date, in which case the notice shall be sent 462
within thirty days after appointment, and the filing shall be 463
made not later than ninety days after appointment. 464
Disclosure statements filed under this division with the 466
Ohio ethics commission by members of boards, commissions, or 467
bureaus of the state for which no compensation is received other 468
than reasonable and necessary expenses shall be kept 469
confidential. Disclosure statements filed with the Ohio ethics 471
commission under division (A) of this section by business 472
managers, treasurers, and superintendents of city, local, 473
exempted village, joint vocational, or cooperative education 474
school districts or educational service centers shall be kept 475
confidential, except that any person conducting an audit of any
such school district pursuant to section 115.56 or Chapter 117. 476
of the Revised Code may examine the disclosure statement of any 477
business manager, treasurer, or superintendent of that school 478
district or educational service center. The Ohio ethics 479
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commission shall examine each disclosure statement required to be 480
kept confidential to determine whether a potential conflict of 481
interest exists for the person who filed the disclosure 482
statement. A potential conflict of interest exists if the 483
private interests of the person, as indicated by the person's 484
disclosure statement, might interfere with the public interests 486
the person is required to serve in the exercise of the person's 487
authority and duties in the person's office or position of 488
employment. If the commission determines that a potential 489
conflict of interest exists, it shall notify the person who filed 490
the disclosure statement and shall make the portions of the 491
disclosure statement that indicate a potential conflict of 492
interest subject to public inspection in the same manner as is 493
provided for other disclosure statements. Any portion of the 494
disclosure statement that the commission determines does not 495
indicate a potential conflict of interest shall be kept 496
confidential by the commission and shall not be made subject to 497
public inspection, except as is necessary for the enforcement of 498
Chapters 102. and 2921. of the Revised Code and except as 499
otherwise provided in this paragraph.
(C) No person shall knowingly fail to file, on or before 501
the applicable filing deadline under this section, a statement 502
that is required by this section. 503
(D) No person shall knowingly file a false statement that 505
is required to be filed under this section. 506
(E)(1) Except as provided in divisions (E)(2) and (3) of 508
this section, on and after March 2, 1994, the statement required 509
by division (A) or (B) of this section shall be accompanied by a 511
filing fee of twenty-five dollars. 512
(2) The statement required by division (A) of this section 514
shall be accompanied by a filing fee to be paid by the person who 515
is elected or appointed to or is a candidate for any of the 516
following offices: 517
For state office, except member of 519
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state board of education $50 520
For office of member of United States 521
congress or member of general assembly $25 522
For county office $25 523
For office of member of state board 524
of education $10 525
For office of member of city, local, 526
exempted village, or cooperative 527
education board of 528
education or educational service 529
center governing board $ 5 530
For position of business manager, 531
treasurer, or superintendent of 532
city, local, exempted village, joint 533
vocational, or cooperative education 534
school district or 535
educational service center $ 5 536
(3) No judge of a court of record or candidate for judge 538
of such a court, and no referee or magistrate serving a court of 539
record, shall be required to pay the fee required under division 540
(E)(1) or (2), or (F) of this section. 541
(4) For any public official who is appointed to a 543
nonelective office of the state and for any employee who holds a 544
nonelective position in a public agency of the state, the state 545
agency that is the primary employer of the state official or 546
employee shall pay the fee required under division (E)(1) or (F) 547
of this section. 548
(F) If a statement required to be filed under this section 550
is not filed by the date on which it is required to be filed, the 551
appropriate ethics commission shall assess the person required to 552
file the statement a late filing fee equal to one-half of the 553
applicable filing fee for each day the statement is not filed, 554
except that the total amount of the late filing fee shall not 555
exceed one hundred dollars. 556
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(G)(1) The appropriate ethics commission other than the 558
Ohio ethics commission shall deposit all fees it receives under 559
divisions (E) and (F) of this section into the general revenue 560
fund of the state. 561
(2) The Ohio ethics commission shall deposit all fees it 563
receives under divisions (E) and (F) of this section and all 564
moneys it receives from settlements under division (G) of section 565
102.06 of the Revised Code into the Ohio ethics commission fund, 566
which is hereby created in the state treasury. All moneys 567
credited to the fund shall be used solely for expenses related to 568
the operation of the commission. 569
(H) Division (A) of this section does not apply to a 571
person elected or appointed to the office of precinct, ward, or 572
district committee member under Chapter 3517. of the Revised 573
Code; a presidential elector; a delegate to a national 574
convention; village or township officials and employees; any 575
physician or psychiatrist who is paid a salary or wage in 576
accordance with schedule C of section 124.15 or schedule E-2 of 577
section 124.152 of the Revised Code and whose primary duties do 578
not require the exercise of administrative discretion; or any 579
member of a board, commission, or bureau of any county or city 580
who receives less than one thousand dollars per year for serving 581
in that position. 582
Sec. 102.022. Each person who is an officer or employee of 591
a political subdivision, who receives compensation of less than 592
sixteen thousand dollars a year for holding an office or position 593
of employment with that political subdivision, and who is 594
required to file a statement under section 102.02 of the Revised 595
Code, and each member of the board of trustees of a state 596
institution of higher education as defined in section 3345.031 597
3345.011 of the Revised Code who is required to file a statement 599
under section 102.02 of the Revised Code, shall include in that 600
statement, in place of the information required by divisions 601
(A)(2), (7), (8), and (9) of that section, the following 602
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information: 603
(A) Exclusive of reasonable expenses, identification of 605
every source of income over five hundred dollars received during 606
the preceding calendar year, in his THE OFFICER'S OR EMPLOYEE'S 607
own name or by any other person for his THE OFFICER'S OR 609
EMPLOYEE'S use or benefit, by the person filing the statement, 611
and a brief description of the nature of the services for which 612
the income was received. This division shall not be construed to 613
require the disclosure of clients of attorneys or persons 614
licensed under section 4732.12 or 4732.15 of the Revised Code or 615
patients of persons certified under section 4731.14 of the 616
Revised Code. This division shall not be construed to require a 617
person filing the statement who derives income from a business or 618
profession to disclose the individual items of income that 619
constitute the gross income of the business or profession.
(B) The source of each gift of over five hundred dollars 621
received by the person in his THE OFFICER'S OR EMPLOYEE'S own 622
name or by any other person for his THE OFFICER'S OR EMPLOYEE'S 624
use or benefit during the preceding calendar year, except gifts 626
received by will or by virtue of section 2105.06 of the Revised 627
Code, received from parents, grandparents, children,
grandchildren, siblings, nephews, nieces, uncles, aunts, 628
brothers-in-law, sisters-in-law, sons-in-law, daughters-in-law, 629
fathers-in-law, mothers-in-law, or any person to whom the person 630
filing the statement stands in loco parentis, or received by way 631
of distribution from any inter vivos or testamentary trust 632
established by a spouse or by an ancestor. 633
Sec. 102.03. (A)(1) No present or former public official 642
or employee shall, during public employment or service or for 643
twelve months thereafter, represent a client or act in a 644
representative capacity for any person on any matter in which the 645
public official or employee personally participated as a public 646
official or employee through decision, approval, disapproval, 647
recommendation, the rendering of advice, investigation, or other 648
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substantial exercise of administrative discretion. 649
(2) For twenty-four months after the conclusion of 651
service, no former commissioner or attorney examiner of the 652
public utilities commission shall represent a public utility, as 653
defined in section 4905.02 of the Revised Code, or act in a 654
representative capacity on behalf of such a utility before any 655
state board, commission, or agency. 656
(3) For twenty-four months after the conclusion of 658
employment or service, no former public official or employee who 659
personally participated as a public official or employee through 660
decision, approval, disapproval, recommendation, the rendering of 661
advice, the development or adoption of solid waste management 662
plans, investigation, inspection, or other substantial exercise 663
of administrative discretion under Chapter 343. or 3734. of the 664
Revised Code shall represent a person who is the owner or 665
operator of a facility, as defined in section 3734.01 of the 666
Revised Code, or who is an applicant for a permit or license for 667
a facility under that chapter, on any matter in which the public 668
official or employee personally participated as a public official 669
or employee.
(4) For a period of one year after the conclusion of 671
employment or service as a member or employee of the general 672
assembly, no former member or employee of the general assembly 673
shall represent, or act in a representative capacity for, any 674
person on any matter before the general assembly, any committee 675
of the general assembly, or the controlling board. Division 676
(A)(4) of this section does not apply to or affect a person who 677
separates from service with the general assembly on or before 678
December 31, 1995. As used in division (A)(4) of this section 679
"person" does not include any state agency or political 680
subdivision of the state. 681
(5) As used in divisions (A)(1), (2), and (3) of this 683
section, "matter" includes any case, proceeding, application, 684
determination, issue, or question, but does not include the 685
18
proposal, consideration, or enactment of statutes, rules, 686
ordinances, resolutions, or charter or constitutional amendments. 687
As used in division (A)(4) of this section, "matter" includes the 688
proposal, consideration, or enactment of statutes, resolutions, 689
or constitutional amendments. As used in division (A) of this 690
section, "represent" includes any formal or informal appearance 691
before, or any written or oral communication with, any public 692
agency on behalf of any person. 693
(6) Nothing contained in division (A) of this section 695
shall prohibit, during such period, a former public official or 696
employee from being retained or employed to represent, assist, or 697
act in a representative capacity for the public agency by which 698
the public official or employee was employed or on which the 700
public official or employee served.
(7) Division (A) of this section shall not be construed to 702
prohibit the performance of ministerial functions, including, but 703
not limited to, the filing or amendment of tax returns, 704
applications for permits and licenses, incorporation papers, and 705
other similar documents. 706
(B) No present or former public official or employee shall 708
disclose or use, without appropriate authorization, any 709
information acquired by the public official or employee in the 710
course of the public official's or employee's official duties 711
that is confidential because of statutory provisions, or that has 713
been clearly designated to the public official or employee as
confidential when that confidential designation is warranted 715
because of the status of the proceedings or the circumstances 716
under which the information was received and preserving its 717
confidentiality is necessary to the proper conduct of government 718
business.
(C) No public official or employee shall participate 720
within the scope of duties as a public official or employee, 721
except through ministerial functions as defined in division (A) 722
of this section, in any license or rate-making proceeding that 723
19
directly affects the license or rates of any person, partnership, 724
trust, business trust, corporation, or association in which the 725
public official or employee or immediate family owns or controls 727
more than five per cent. No public official or employee shall 728
participate within the scope of duties as a public official or 729
employee, except through ministerial functions as defined in 730
division (A) of this section, in any license or rate-making 731
proceeding that directly affects the license or rates of any 732
person to whom the public official or employee or immediate 733
family, or a partnership, trust, business trust, corporation, or 734
association of which the public official or employee or the 735
public official's or employee's immediate family owns or controls 736
more than five per cent, has sold goods or services totaling more 737
than one thousand dollars during the preceding year, unless the 738
public official or employee has filed a written statement 739
acknowledging that sale with the clerk or secretary of the public 740
agency and the statement is entered in any public record of the 741
agency's proceedings. This division shall not be construed to 742
require the disclosure of clients of attorneys or persons 743
licensed under section 4732.12 or 4732.15 of the Revised Code, or 744
patients of persons certified under section 4731.14 of the 745
Revised Code.
(D) No public official or employee shall use or authorize 747
the use of the authority or influence of office or employment to 749
secure anything of value or the promise or offer of anything of 750
value that is of such a character as to manifest a substantial
and improper influence upon the public official or employee with 751
respect to that person's duties. 752
(E) No public official or employee shall solicit or accept 754
anything of value that is of such a character as to manifest a 755
substantial and improper influence upon the public official or 756
employee with respect to that person's duties. 757
(F) No person shall promise or give to a public official 759
or employee anything of value that is of such a character as to 760
20
manifest a substantial and improper influence upon the public 761
official or employee with respect to that person's duties. 763
(G) In the absence of bribery or another offense under the 765
Revised Code or a purpose to defraud, contributions made to a 766
campaign committee, political party, legislative campaign fund, 768
or political action committee on behalf of an elected public 769
officer or other public official or employee who seeks elective 770
office shall be considered to accrue ordinarily to the public 771
official or employee for the purposes of divisions (D), (E), and 772
(F) of this section.
As used in this division, "contributions," "campaign 774
committee," "political party," "legislative campaign fund," and 775
"political action committee" have the same meanings as in section 776
3517.01 of the Revised Code. 777
(H) No public official or employee, except for the 779
president or other chief administrative officer of or a member of 780
a board of trustees of a state institution of higher education as 781
defined in section 3345.031 3345.011 of the Revised Code, who is 783
required to file a financial disclosure statement under section 784
102.02 of the Revised Code shall solicit or accept, and no person 785
shall give to that public official or employee, an honorarium. 786
This division and divisions (D), (E), and (F) of this section do 787
not prohibit a public official or employee who is required to 788
file a financial disclosure statement under section 102.02 of the 789
Revised Code from accepting and do not prohibit a person from 790
giving to that public official or employee the payment of actual 791
travel expenses, including any expenses incurred in connection 792
with the travel for lodging, and meals, food, and beverages 793
provided to the public official or employee at a meeting at which 794
the public official or employee participates in a panel, seminar, 795
or speaking engagement or provided to the public official or 796
employee at a meeting or convention of a national organization to 797
which either house of the general assembly, any legislative 798
agency, or any other state agency pays membership dues. This 799
21
division and divisions (D), (E), and (F) of this section do not 800
prohibit a public official or employee who is not required to 801
file a financial disclosure statement under section 102.02 of the 802
Revised Code from accepting and do not prohibit a person from 803
promising or giving to that public official or employee an 804
honorarium or the payment of travel, meal, and lodging expenses 805
if the honorarium, expenses, or both were paid in recognition of 807
demonstrable business, professional, or esthetic interests of the 808
public official or employee that exist apart from public office 809
or employment, including, but not limited to, such a demonstrable 810
interest in public speaking and were not paid by any person or 811
other entity, or by any representative or association of those 812
persons or entities, that is regulated by, doing business with, 813
or seeking to do business with the department, division, 814
institution, board, commission, authority, bureau, or other 815
instrumentality of the governmental entity with which the public 816
official or employee serves.
(I) A public official or employee may accept travel, 818
meals, and lodging or expenses or reimbursement of expenses for 819
travel, meals, and lodging in connection with conferences, 820
seminars, and similar events related to official duties if the 822
travel, meals, and lodging, expenses, or reimbursement is not of 823
such a character as to manifest a substantial and improper
influence upon the public official or employee with respect to 824
that person's duties. The house of representatives and senate, 826
in their code of ethics, and the Ohio ethics commission, under 827
section 111.15 of the Revised Code, may adopt rules setting 828
standards and conditions for the furnishing and acceptance of 829
such travel, meals, and lodging, expenses, or reimbursement. 830
A person who acts in compliance with this division and any 832
applicable rules adopted under it, or any applicable, similar 833
rules adopted by the supreme court governing judicial officers 834
and employees, does not violate division (D), (E), or (F) of this 835
section. This division does not preclude any person from seeking 836
22
an advisory opinion from the appropriate ethics commission under 837
section 102.08 of the Revised Code. 838
(J) For purposes of divisions (D), (E), and (F) of this 840
section, the membership of a public official or employee in an 841
organization shall not be considered, in and of itself, to be of 842
such a character as to manifest a substantial and improper 843
influence on the public official or employee with respect to that 845
person's duties. As used in this division, "organization" means 846
a church or a religious, benevolent, fraternal, or professional 847
organization that is tax exempt under subsection 501(a) and 848
described in subsection 501(c)(3), (4), (8), (10), or (19) of the 849
"Internal Revenue Code of 1986." This division does not apply to 850
a public official or employee who is an employee of an 851
organization, serves as a trustee, director, or officer of an 852
organization, or otherwise holds a fiduciary relationship with an 853
organization. This division does not allow a public official or 854
employee who is a member of an organization to participate, 855
formally or informally, in deliberations, discussions, or voting 856
on a matter or to use his official position with regard to the 857
interests of the organization on the matter if the public 858
official or employee has assumed a particular responsibility in 860
the organization with respect to the matter or if the matter 861
would affect that person's personal, pecuniary interests. 862
(K) It is not a violation of this section for a 864
prosecuting attorney to appoint assistants and employees in 865
accordance with division (B) of section 309.06 and section 866
2921.421 of the Revised Code, for a chief legal officer of a 867
municipal corporation or an official designated as prosecutor in 868
a municipal corporation to appoint assistants and employees in 869
accordance with sections 733.621 and 2921.421 of the Revised 870
Code, for a township law director appointed under section 504.15 871
of the Revised Code to appoint assistants and employees in 873
accordance with sections 504.151 and 2921.421 of the Revised
Code, or for a coroner to appoint assistants and employees in 874
23
accordance with division (B) of section 313.05 of the Revised 875
Code.
As used in this division, "chief legal officer" has the 877
same meaning as in section 733.621 of the Revised Code. 878
Sec. 126.21. The director of budget and management shall: 887
(A) Keep all necessary accounting records; 889
(B) Prescribe and maintain the accounting system of the 891
state and establish appropriate accounting procedures and charts 892
of accounts; 893
(C) Reconcile, in the case of any variation between the 895
amount of any appropriation and the aggregate amount of items 896
thereof, with the advice and assistance of the state agency 897
affected thereby and the legislative budget office of the 898
legislative service commission, totals so as to correspond in the 899
aggregate with the total appropriation. In the case of a 900
conflict between the item and the total of which it is a part, 901
the item shall be considered the intended appropriation. 902
(D) Evaluate on an ongoing basis and, if necessary, 904
recommend improvements to the internal controls used in state 905
agencies; 906
(E) Authorize the establishment of petty cash accounts. 908
The director of budget and management may withdraw approval for 909
any petty cash account and require the officer in charge to 910
return to the state treasury any unexpended balance shown by his 911
THE OFFICER'S accounts to be on hand. Any officer who is issued 912
a warrant for petty cash shall render a detailed account of the 914
expenditures of such petty cash and shall report when requested 915
the balance of petty cash on hand at any time. 916
(F) Process orders, invoices, vouchers, claims, and 918
payrolls and prepare financial reports and statements; 919
(G) Perform such extensions, reviews, and compliance 921
checks prior to approving a payment as he THE DIRECTOR considers 922
necessary; 923
(H) Issue the official comprehensive annual financial 925
24
report of the state. The report shall cover all funds and 926
account groups of the state reporting entity and shall include 927
general purpose financial statements prepared in accordance with 928
generally accepted accounting principles and such other 929
information as the director provides. All state agencies, 930
authorities, institutions, offices, retirement systems, and other 931
component units of the state reporting entity as determined by 932
the director shall furnish the director whatever financial 933
statements and other information he THE DIRECTOR requests for the 935
report, in such form, at such times, covering such periods, and 936
with such attestation as he THE DIRECTOR prescribes. The 937
information for state institutions of higher education, as such 939
term is defined in section 3345.031 3345.011 of the Revised Code, 940
shall be submitted to the director by the Ohio board of regents. 942
The board shall establish a due date by which each such 943
institution shall submit the information to the board, but no 944
such date shall be later than one hundred twenty days after the 945
end of the state fiscal year unless a later date is approved by 946
the director.
Sec. 2907.03. (A) No person shall engage in sexual 955
conduct with another, not the spouse of the offender, when any of 956
the following apply: 957
(1) The offender knowingly coerces the other person to 959
submit by any means that would prevent resistance by a person of 960
ordinary resolution. 961
(2) The offender knows that the other person's ability to 963
appraise the nature of or control his or her THE OTHER PERSON'S 964
own conduct is substantially impaired. 966
(3) The offender knows that the other person submits 968
because he or she THE OTHER PERSON is unaware that the act is 969
being committed. 970
(4) The offender knows that the other person submits 972
because the other person mistakenly identifies the offender as 973
his or her THE OTHER PERSON'S spouse. 975
25
(5) The offender is the other person's natural or adoptive 977
parent, or a stepparent, or guardian, custodian, or person in 978
loco parentis of the other person. 979
(6) The other person is in custody of law or a patient in 981
a hospital or other institution, and the offender has supervisory 982
or disciplinary authority over the other person. 983
(7) The offender is a teacher, administrator, coach, or 985
other person in authority employed by or serving in a school for 986
which the state board of education prescribes minimum standards 987
pursuant to division (D) of section 3301.07 of the Revised Code, 988
the other person is enrolled in or attends that school, and the 989
offender is not enrolled in and does not attend that school. 991
(8) The other person is a minor, the offender is a 993
teacher, administrator, coach, or other person in authority 994
employed by or serving in an institution of higher education, and 995
the other person is enrolled in or attends that institution. 997
(9) The other person is a minor, and the offender is the 999
other person's athletic or other type of coach, is the other 1,000
person's instructor, is the leader of a scouting troop of which 1,001
the other person is a member, or is a person with temporary or 1,002
occasional disciplinary control over the other person. 1,003
(B) Whoever violates this section is guilty of sexual 1,005
battery. A violation of division (A)(1), (5), (6), (7), (8), or 1,007
(9) of this section is a felony of the third degree. A violation 1,008
of division (A)(2), (3), or (4) of this section is a felony of 1,009
the fourth degree.
(C) As used in this section, "institution of higher 1,011
education" means a state institution of higher education defined 1,012
in section 3345.031 3345.011 of the Revised Code, a private 1,014
nonprofit college or university located in this state that
possesses a certificate of authorization issued by the Ohio board 1,015
of regents pursuant to Chapter 1713. of the Revised Code, or a 1,016
school certified under Chapter 3332. of the Revised Code. 1,017
Sec. 3333.045. AS USED IN THIS SECTION, "STATE UNIVERSITY 1,019
26
OR COLLEGE" MEANS ANY STATE UNIVERSITY LISTED IN SECTION 3345.011 1,021
OF THE REVISED CODE, THE NORTHEASTERN OHIO UNIVERSITIES COLLEGE 1,022
OF MEDICINE, THE MEDICAL COLLEGE OF OHIO AT TOLEDO, ANY COMMUNITY 1,023
COLLEGE UNDER CHAPTER 3354. OF THE REVISED CODE, ANY UNIVERSITY 1,025
BRANCH DISTRICT UNDER CHAPTER 3355. OF THE REVISED CODE, ANY 1,028
TECHNICAL COLLEGE UNDER CHAPTER 3357. OF THE REVISED CODE, AND 1,031
ANY STATE COMMUNITY COLLEGE UNDER CHAPTER 3358. OF THE REVISED 1,034
CODE.
THE OHIO BOARD OF REGENTS SHALL WORK WITH THE ATTORNEY 1,037
GENERAL, THE AUDITOR OF STATE, AND THE OHIO ETHICS COMMISSION TO 1,039
DEVELOP A MODEL FOR TRAINING MEMBERS OF THE BOARDS OF TRUSTEES OF 1,040
ALL STATE UNIVERSITIES AND COLLEGES AND MEMBERS OF THE BOARD OF 1,041
REGENTS REGARDING THE AUTHORITY AND RESPONSIBILITIES OF A BOARD 1,042
OF TRUSTEES OR THE BOARD OF REGENTS. THIS MODEL SHALL INCLUDE A 1,043
REVIEW OF FIDUCIARY RESPONSIBILITIES, ETHICS, AND FISCAL 1,044
MANAGEMENT. USE OF THIS MODEL BY MEMBERS OF BOARDS OF TRUSTEES 1,046
AND THE BOARD OF REGENTS SHALL BE VOLUNTARY.
THIS SECTION DOES NOT APPLY TO THE THREE MEMBERS OF THE 1,048
BOARD OF TRUSTEES OF THE NORTHEASTERN OHIO UNIVERSITIES COLLEGE 1,050
OF MEDICINE WHO ARE PRESIDENTS OF STATE UNIVERSITIES. 1,051
Sec. 3345.011. "State university" means a public 1,060
institution of higher education which is a body politic and 1,061
corporate. Each of the following institutions of higher 1,062
education shall be recognized as a state university: university 1,063
of Akron, Bowling Green state university, Central state
university, university of Cincinnati, Cleveland state university, 1,064
Kent state university, Miami university, Ohio university, Ohio 1,065
state university, Shawnee state university, university of Toledo, 1,066
Wright state university, and Youngstown state university. 1,067
"STATE INSTITUTION OF HIGHER EDUCATION" MEANS ANY STATE 1,069
UNIVERSITY OR COLLEGE AS DEFINED IN DIVISION (A)(1) OF SECTION 1,071
3345.12 OF THE REVISED CODE, COMMUNITY COLLEGE, STATE COMMUNITY 1,072
COLLEGE, UNIVERSITY BRANCH ESTABLISHED UNDER CHAPTER 3355. OF THE 1,073
REVISED CODE, OR TECHNICAL COLLEGE.
27
Sec. 3345.09. For purpose of this section, American sign 1,082
language is hereby recognized as a foreign language, and any 1,083
state institution of higher education may offer a course in 1,084
American sign language. An undergraduate student who 1,085
successfully completes a course in American sign language is
entitled to receive credit for that course toward satisfaction of 1,086
an undergraduate foreign language requirement of the state 1,087
institution of higher education where the course is offered. As 1,088
used in this section, "state institution of higher education" has 1,089
the same meaning as in section 3345.031 3345.011 of the Revised 1,092
Code.
Sec. 3345.61. As used in this section and sections 3345.62 1,101
to 3345.66 of the Revised Code: 1,102
(A) "Board of trustees of a state institution of higher 1,104
education" means the board of trustees of a state institution of 1,105
higher education as defined in section 3345.031 3345.011 of the 1,107
Revised Code. 1,108
(B) "Energy conservation measure" means an installation or 1,110
modification of an installation in, or a remodeling of, an 1,111
existing building in order to reduce energy consumption and 1,112
operating costs. The term includes: 1,113
(1) Installation or modification of insulation in the 1,115
building structure and systems within the building; 1,116
(2) Installation or modification of storm windows and 1,118
doors, multiglazed windows and doors, and heat absorbing or heat 1,119
reflective glazed and coated window and door systems; 1,120
installation of additional glazing; reductions in glass area; and 1,121
other window and door system modifications that reduce energy 1,122
consumption and operating costs; 1,123
(3) Installation or modification of automatic energy 1,125
control systems; 1,126
(4) Replacement or modification of heating, ventilating, 1,128
or air conditioning systems; 1,129
(5) Application of caulking and weatherstripping; 1,131
28
(6) Replacement or modification of lighting fixtures to 1,133
increase the energy efficiency of the system without increasing 1,134
the overall illumination of a facility, unless such increase in 1,135
illumination is necessary to conform to the applicable state or 1,136
local building code for the proposed lighting system; 1,137
(7) Installation or modification of energy recovery 1,139
systems; 1,140
(8) Installation or modification of cogeneration systems 1,142
that produce steam or forms of energy such as heat, as well as 1,143
electricity, for use primarily within a building or complex of 1,144
buildings; 1,145
(9) Any other modification, installation, or remodeling 1,147
approved by the board of trustees of a state institution of 1,148
higher education as an energy conservation measure for one or 1,149
more buildings owned by the institution. 1,150
(C) "Energy saving measure" means the acquisition and 1,152
installation, by purchase, lease, lease-purchase, lease with an 1,153
option to buy, or installment purchase, of an energy conservation 1,154
measure and any attendant architectural and engineering 1,155
consulting services. 1,156
Sec. 3345.71. AS USED IN SECTIONS 3345.72 TO 3345.77 OF 1,159
THE REVISED CODE: 1,161
(A) "STATE UNIVERSITY OR COLLEGE" MEANS ANY STATE 1,164
UNIVERSITY LISTED IN SECTION 3345.011 OF THE REVISED CODE, THE 1,166
NORTHEASTERN OHIO UNIVERSITIES COLLEGE OF MEDICINE, THE MEDICAL 1,168
COLLEGE OF OHIO AT TOLEDO, ANY COMMUNITY COLLEGE UNDER CHAPTER 1,171
3354. OF THE REVISED CODE, ANY TECHNICAL COLLEGE UNDER CHAPTER 1,174
3357. OF THE REVISED CODE, AND ANY STATE COMMUNITY COLLEGE UNDER 1,177
CHAPTER 3358. OF THE REVISED CODE. 1,179
(B) "FISCAL WATCH" MEANS THE EXISTENCE OF A FISCAL WATCH 1,182
DECLARED UNDER SECTION 3345.72 OF THE REVISED CODE. 1,184
Sec. 3345.72. (A) THE OFFICE OF BUDGET AND MANAGEMENT 1,186
SHALL WORK WITH THE AUDITOR OF STATE, THE OHIO BOARD OF REGENTS, 1,187
AND TWO REPRESENTATIVES OF STATE UNIVERSITIES AND COLLEGES 1,188
29
APPOINTED BY THE CHANCELLOR OF THE BOARD OF REGENTS TO DEVELOP 1,189
RULES UNDER THIS DIVISION, AND SHALL ADOPT THE RULES IN 1,190
ACCORDANCE WITH SECTION 111.15 OF THE REVISED CODE. ONE OF THE
CHANCELLOR'S APPOINTMENTS SHALL REPRESENT A FOUR-YEAR INSTITUTION 1,191
AND ONE A TWO-YEAR INSTITUTION. THE RULES SHALL INCLUDE ALL OF 1,192
THE FOLLOWING:
(1) CRITERIA FOR DETERMINING WHEN TO DECLARE A STATE 1,194
UNIVERSITY OR COLLEGE UNDER A FISCAL WATCH, WHICH CRITERIA SHALL 1,195
INCLUDE ALL OF THE FOLLOWING: 1,196
(a) A REQUIREMENT FOR THE SUBMISSION OF A QUARTERLY REPORT 1,199
FROM EACH STATE UNIVERSITY OR COLLEGE, WITHIN THIRTY DAYS AFTER 1,200
THE END OF EACH CALENDAR QUARTER, TO THE BOARD OF REGENTS, THE 1,201
DIRECTOR OF BUDGET AND MANAGEMENT, THE LEGISLATIVE BUDGET OFFICE 1,202
OF THE LEGISLATIVE SERVICE COMMISSION, AND THE CHAIRPERSONS AND 1,203
RANKING MINORITY MEMBERS OF THE FINANCE COMMITTEES OF THE HOUSE 1,205
OF REPRESENTATIVES AND THE SENATE;
(b) A REQUIREMENT THAT EACH STATE UNIVERSITY AND COLLEGE 1,207
SHALL PREPARE AT THE END OF EACH FISCAL YEAR A FINANCIAL 1,208
STATEMENT CONSISTENT WITH AUDIT REQUIREMENTS PRESCRIBED BY THE 1,209
AUDITOR OF STATE, AND SHALL SUBMIT THE FINANCIAL STATEMENT TO THE 1,210
AUDITOR OF STATE WITHIN FOUR MONTHS AFTER THE END OF THE FISCAL 1,212
YEAR;
(c) A REQUIREMENT THAT THE AUDITOR OF STATE SHALL SEND 1,214
WRITTEN NOTICE TO THE AGENCIES AND PERSONS MENTIONED IN DIVISION 1,215
(A)(1)(a) OF THIS SECTION IF A STATE UNIVERSITY OR COLLEGE FAILS 1,217
TO SUBMIT ITS FINANCIAL STATEMENT WITHIN THE TIME REQUIRED UNDER 1,219
DIVISION (A)(1)(b) OF THIS SECTION; 1,221
(d) A REQUIREMENT THAT THE AUDITOR OF STATE SHALL SEND 1,223
WRITTEN NOTICE TO THE AGENCIES AND PERSONS MENTIONED IN DIVISION 1,224
(A)(1)(a) OF THIS SECTION IF AN AUDIT OF A STATE UNIVERSITY OR 1,226
COLLEGE REVEALS ANY OF THE FOLLOWING: 1,227
(i) SUBSTANTIVE AUDIT FINDINGS, SUCH AS AN INABILITY TO 1,229
MAKE TIMELY PAYMENTS TO VENDORS, DELAYS IN PENSION RETIREMENT 1,230
CONTRIBUTIONS, OR REQUESTS FOR ADVANCED STATE FUNDING; 1,231
30
(ii) A SIGNIFICANT VARIANCE BETWEEN BUDGETED AND ACTUAL 1,233
SPENDING FOR A FISCAL YEAR; 1,234
(iii) A SIGNIFICANT OPERATING BUDGET DEFICIT FOR A FISCAL 1,236
YEAR. 1,237
(2) ACTIONS TO BE TAKEN BY THE BOARD OF TRUSTEES OF A 1,239
STATE UNIVERSITY OR COLLEGE WHILE UNDER A FISCAL WATCH; 1,240
(3) CRITERIA FOR DETERMINING WHEN TO DECLARE THE 1,242
TERMINATION OF THE FISCAL WATCH OF A STATE UNIVERSITY OR COLLEGE; 1,244
(4) THE FISCAL INFORMATION TO BE REPORTED TO THE BOARD OF 1,246
REGENTS BY EACH STATE UNIVERSITY OR COLLEGE UNDER A FISCAL WATCH 1,247
FOR PURPOSES OF MAKING DETERMINATIONS UNDER DIVISION (D) OF THIS 1,249
SECTION AND DIVISION (A) OF SECTION 3345.74 OF THE REVISED CODE, 1,252
AND THE FREQUENCY AND DEADLINES FOR REPORTING THIS INFORMATION. 1,253
(B) THE BOARD OF REGENTS SHALL ADOPT A RESOLUTION 1,256
DECLARING A STATE UNIVERSITY OR COLLEGE TO BE IN A STATE OF 1,257
FISCAL WATCH IF THE BOARD OF REGENTS DETERMINES THAT THE CRITERIA 1,258
ADOPTED UNDER DIVISION (A)(1) OF THIS SECTION ARE SATISFIED WITH 1,260
RESPECT TO THAT STATE UNIVERSITY OR COLLEGE. FOR PURPOSES OF 1,261
MAKING THIS DETERMINATION, THE BOARD OF REGENTS SHALL ESTABLISH A 1,262
FINANCIAL TRACKING SYSTEM AND SHALL USE THE SYSTEM TO REGULARLY 1,263
ASSESS EACH STATE UNIVERSITY OR COLLEGE WITH RESPECT TO THE
CRITERIA ADOPTED UNDER DIVISION (A)(1) OF THIS SECTION. 1,264
(C) WHILE A STATE UNIVERSITY OR COLLEGE IS UNDER A FISCAL 1,267
WATCH, THE BOARD OF TRUSTEES OF THE UNIVERSITY OR COLLEGE SHALL 1,268
TAKE THE ACTIONS AND REPORT THE FISCAL INFORMATION PRESCRIBED 1,269
UNDER DIVISIONS (A)(2) AND (4) OF THIS SECTION. 1,271
(D) THE BOARD OF REGENTS SHALL ADOPT A RESOLUTION 1,274
DECLARING THE TERMINATION OF THE FISCAL WATCH OF A STATE 1,275
UNIVERSITY OR COLLEGE IF THE BOARD OF REGENTS DETERMINES THAT THE 1,276
CRITERIA ADOPTED UNDER DIVISION (A)(3) OF THIS SECTION ARE 1,277
SATISFIED WITH RESPECT TO THAT STATE UNIVERSITY OR COLLEGE. 1,279
(E) IN MAKING ASSESSMENTS AND DETERMINATIONS UNDER 1,281
DIVISION (B) OR (D) OF THIS SECTION, THE BOARD OF REGENTS SHALL 1,283
USE FINANCIAL REPORTS REQUIRED UNDER SECTION 3345.05 OF THE 1,285
31
REVISED CODE OR ANY OTHER DOCUMENTS, RECORDS, OR INFORMATION 1,287
AVAILABLE TO IT OR THE AUDITOR OF STATE RELATED TO THE CRITERIA 1,288
ADOPTED UNDER DIVISION (A)(1) OR (3) OF THIS SECTION. IN MAKING 1,290
DETERMINATIONS UNDER DIVISION (D) OF THIS SECTION, THE BOARD OF 1,292
REGENTS SHALL ALSO USE THE FISCAL INFORMATION REPORTED UNDER
DIVISION (C) OF THIS SECTION. 1,294
(F) THE BOARD OF REGENTS SHALL CERTIFY EACH ACTION TAKEN 1,297
UNDER DIVISION (B) OR (D) OF THIS SECTION TO THE GOVERNOR, THE 1,300
DIRECTOR OF BUDGET AND MANAGEMENT, THE SPEAKER AND MINORITY
LEADER OF THE HOUSE OF REPRESENTATIVES, THE PRESIDENT AND 1,302
MINORITY LEADER OF THE SENATE, THE LEGISLATIVE BUDGET OFFICE OF 1,303
THE LEGISLATIVE SERVICE COMMISSION, AND THE CHAIRPERSONS AND 1,304
RANKING MINORITY MEMBERS OF THE FINANCE COMMITTEES OF THE HOUSE 1,305
AND SENATE.
(G) A DETERMINATION BY THE BOARD OF REGENTS UNDER THIS 1,308
SECTION THAT A FISCAL WATCH EXISTS OR DOES NOT EXIST, OR THAT A 1,309
FISCAL WATCH IS TERMINATED OR IS NOT TERMINATED, IS FINAL AND 1,310
CONCLUSIVE AND NOT APPEALABLE. 1,311
(H) IF A STATE UNIVERSITY OR COLLEGE FAILS TO SUBMIT THE 1,313
QUARTERLY REPORT REQUIRED UNDER DIVISION (A)(1) OF THIS SECTION 1,314
WITHIN THIRTY DAYS AFTER THE END OF A CALENDAR QUARTER, THE BOARD 1,315
OF REGENTS SHALL WITHHOLD PAYMENT OF ANY INSTRUCTIONAL SUBSIDIES 1,316
TO THE UNIVERSITY OR COLLEGE UNTIL IT SUBMITS THE REPORT. UPON 1,317
SUBMISSION OF THE REPORT, THE BOARD OF REGENTS SHALL PAY THE 1,318
WITHHELD SUBSIDIES TO THE UNIVERSITY OR COLLEGE.
Sec. 3345.73. THE OFFICE OF BUDGET AND MANAGEMENT SHALL 1,321
WORK WITH THE AUDITOR OF STATE, THE OHIO BOARD OF REGENTS, AND 1,322
TWO REPRESENTATIVES OF STATE UNIVERSITIES AND COLLEGES APPOINTED 1,323
BY THE CHANCELLOR OF THE BOARD OF REGENTS TO DEVELOP RULES UNDER 1,324
THIS SECTION, AND SHALL ADOPT THE RULES IN ACCORDANCE WITH 1,325
SECTION 111.15 OF THE REVISED CODE. ONE OF THE CHANCELLOR'S 1,326
APPOINTMENTS SHALL REPRESENT A FOUR-YEAR INSTITUTION AND ONE A 1,327
TWO-YEAR INSTITUTION. THE RULES SHALL ESTABLISH THE FOLLOWING:
(A) THE FINANCIAL INDICATORS AND THE STANDARDS FOR USING 1,329
32
THOSE INDICATORS THAT THE BOARD OF REGENTS IS TO EMPLOY TO 1,330
DETERMINE WHETHER A UNIVERSITY OR COLLEGE UNDER A FISCAL WATCH IS 1,332
EXPERIENCING SUFFICIENT FISCAL DIFFICULTIES TO WARRANT APPOINTING 1,333
A CONSERVATOR UNDER SECTION 3345.74 OF THE REVISED CODE; 1,335
(B) THE FINANCIAL INDICATORS AND THE STANDARDS FOR USING 1,337
THOSE INDICATORS THAT A GOVERNANCE AUTHORITY ESTABLISHED FOR A 1,338
STATE UNIVERSITY OR COLLEGE UNDER SECTION 3345.75 OF THE REVISED 1,340
CODE IS TO EMPLOY TO DETERMINE WHETHER THE UNIVERSITY OR COLLEGE 1,342
IS EXPERIENCING SUFFICIENT FISCAL STABILITY TO WARRANT 1,343
TERMINATING THAT GOVERNANCE AUTHORITY IN ACCORDANCE WITH SECTION 1,344
3345.76 OF THE REVISED CODE. 1,346
THE INDICATORS AND STANDARDS ADOPTED UNDER THIS SECTION 1,349
SHALL BE DESIGNED SO AS TO TAKE INTO ACCOUNT AT LEAST THE 1,350
REVENUES, EXPENDITURES, ASSETS, LIABILITIES, AND FUND BALANCES OF 1,351
A STATE UNIVERSITY OR COLLEGE, AND SHALL BE DESIGNED SO AS TO 1,352
INDICATE THE FINANCIAL PERFORMANCE AND POSITION OF A STATE 1,353
UNIVERSITY OR COLLEGE. 1,354
Sec. 3345.74. (A) THE OHIO BOARD OF REGENTS AT LEAST 1,358
ANNUALLY SHALL APPLY THE INDICATORS AND STANDARDS ADOPTED UNDER
DIVISION (A) OF SECTION 3345.73 OF THE REVISED CODE TO DETERMINE 1,361
WHETHER A STATE UNIVERSITY OR COLLEGE UNDER A FISCAL WATCH IS 1,362
EXPERIENCING SUFFICIENT FISCAL DIFFICULTIES TO WARRANT THE 1,363
APPOINTMENT OF A CONSERVATOR UNDER THIS SECTION. UPON MAKING A 1,364
DETERMINATION THAT APPOINTMENT OF A CONSERVATOR IS WARRANTED, THE 1,365
BOARD OF REGENTS SHALL REQUEST FROM THE OFFICE OF BUDGET AND 1,366
MANAGEMENT, WHICH SHALL PROVIDE, CERTIFICATION THAT SUFFICIENT 1,367
FISCAL DIFFICULTIES EXIST TO WARRANT APPOINTMENT OF A 1,368
CONSERVATOR. THE BOARD OF REGENTS SHALL THEN CERTIFY THIS
DETERMINATION TO THE GOVERNOR. 1,369
NOTWITHSTANDING SECTION 3333.021 OF THE REVISED CODE, THAT 1,373
SECTION DOES NOT APPLY TO CERTIFICATION BY THE BOARD OF REGENTS 1,374
UNDER THIS SECTION OR TO THE DECLARATION OF A FISCAL WATCH UNDER 1,375
SECTION 3345.72 OF THE REVISED CODE. 1,376
A DETERMINATION BY THE BOARD OF REGENTS UNDER THIS DIVISION 1,379
33
THAT SUFFICIENT FISCAL DIFFICULTIES EXIST OR DO NOT EXIST TO 1,380
WARRANT APPOINTING A CONSERVATOR IS FINAL AND CONCLUSIVE AND NOT 1,381
APPEALABLE.
(B) THE GOVERNOR MAY APPOINT A CONSERVATOR FOR ANY STATE 1,385
UNIVERSITY OR COLLEGE UNDER A FISCAL WATCH, UPON CERTIFICATION BY 1,386
THE OHIO BOARD OF REGENTS UNDER DIVISION (A) OF THIS SECTION THAT 1,389
THE APPOINTMENT IS WARRANTED. THE GOVERNOR SHALL CONSULT WITH
THE SPEAKER AMD MINORITY LEADER OF THE HOUSE OF REPRESENTATIVES 1,390
AND THE PRESIDENT AND MINORITY LEADER OF THE SENATE BEFORE MAKING 1,392
THE APPOINTMENT. FROM THE TIME A CONSERVATOR IS APPOINTED UNTIL 1,393
THE TIME THE GOVERNOR ISSUES AN ORDER TERMINATING THE GOVERNANCE
AUTHORITY UNDER DIVISION (B) OF SECTION 3345.76 OF THE REVISED 1,394
CODE, THE GOVERNOR MAY REMOVE ANY MEMBER OF THE BOARD OF TRUSTEES 1,395
OF THE STATE UNIVERSITY OR COLLEGE FROM OFFICE AND NOT FILL THE 1,396
VACANCY.
(C) UPON APPOINTMENT OF A CONSERVATOR UNDER THIS SECTION 1,399
FOR A STATE UNIVERSITY OR COLLEGE, ALL OF THE FOLLOWING SHALL 1,400
OCCUR EFFECTIVE IMMEDIATELY: 1,401
(1) ALL DUTIES, RESPONSIBILITIES, AND POWERS OF THE BOARD 1,403
OF TRUSTEES OF THE UNIVERSITY OR COLLEGE ARE SUSPENDED; 1,405
(2) THE MANAGEMENT AND CONTROL OF THE STATE UNIVERSITY OR 1,407
COLLEGE IS ASSUMED BY THE CONSERVATOR; 1,408
(3) NOTWITHSTANDING ANY SECTION OF THE REVISED CODE, ALL 1,412
DUTIES, RESPONSIBILITIES, AND POWERS ASSIGNED BY LAW TO THE BOARD 1,413
OF TRUSTEES ARE ASSIGNED TO THE CONSERVATOR, AND THE CONSERVATOR 1,415
BECOMES THE SUCCESSOR TO, ASSUMES THE LAWFUL OBLIGATIONS OF, AND 1,416
OTHERWISE CONSTITUTES THE CONTINUATION OF THE BOARD OF TRUSTEES 1,417
FOR PURPOSES OF ALL PENDING LEGAL ACTIONS, CONTRACTS OR OTHER 1,418
AGREEMENTS, AND OBLIGATIONS OF THE UNIVERSITY OR COLLEGE; 1,419
(4) WHEREVER THE BOARD OF TRUSTEES IS REFERRED TO IN ANY 1,421
CONTRACT OR LEGAL DOCUMENT, THE REFERENCE IS DEEMED TO REFER TO 1,423
THE CONSERVATOR. NO VALIDATION, CURE, RIGHT, PRIVILEGE, REMEDY, 1,424
OBLIGATION, OR LIABILITY IS LOST OR IMPAIRED BY REASON OF THE 1,425
ASSUMPTION OF THE BOARD'S AUTHORITY BY THE CONSERVATOR UNDER THIS 1,426
34
SECTION AND ANY SUCH VALIDATION, CURE, RIGHT, PRIVILEGE, REMEDY, 1,427
OBLIGATION, OR LIABILITY SHALL BE ADMINISTERED BY THE 1,428
CONSERVATOR. NO ACTION OR PROCEEDING PENDING ON THE EFFECTIVE 1,429
DATE OF THE ASSUMPTION BY THE CONSERVATOR OF THE BOARD'S 1,430
AUTHORITY IS AFFECTED BY THAT ASSUMPTION AND ANY SUCH ACTION OR 1,431
PROCEEDING SHALL BE PROSECUTED OR DEFENDED IN THE NAME OF THE 1,432
CONSERVATOR.
(5) THE CONSERVATOR ASSUMES CUSTODY OF ALL EQUIPMENT, 1,434
RECORDS, FILES, EFFECTS, AND ALL OTHER PROPERTY REAL OR PERSONAL 1,435
OF THE STATE UNIVERSITY OR COLLEGE; 1,436
(6) ALL AUTHORITY AND DUTIES OF THE PRESIDENT OR CHIEF 1,438
EXECUTIVE OFFICER, AND THE PAY OF THE PRESIDENT OR CHIEF 1,439
EXECUTIVE OFFICER, ARE SUSPENDED. 1,440
(D) THE CONSERVATOR FOR A STATE UNIVERSITY OR COLLEGE 1,442
SHALL CONDUCT A PRELIMINARY PERFORMANCE EVALUATION OF THE 1,444
PRESIDENT OR CHIEF EXECUTIVE OFFICER OF THE UNIVERSITY OR COLLEGE 1,445
AND PROVIDE A COPY OF FINDINGS AND ANY RECOMMENDATIONS TO THE 1,447
GOVERNANCE AUTHORITY ESTABLISHED FOR THE UNIVERSITY OR COLLEGE 1,448
UNDER SECTION 3345.75 OF THE REVISED CODE. 1,450
(E) A CONSERVATOR APPOINTED UNDER THIS SECTION SHALL BE 1,452
IMMUNE, INDEMNIFIED, AND HELD HARMLESS FROM CIVIL LIABILITY, 1,453
INCLUDING ANY CAUSE OF ACTION, LEGAL, EQUITABLE, OR OTHERWISE, 1,454
FOR ANY ACTION TAKEN OR DUTIES PERFORMED BY THE CONSERVATOR IN 1,455
GOOD FAITH AND IN FURTHERANCE OF THE PERFORMANCE OF THE DUTIES OF 1,457
THE CONSERVATOR UNDER THIS SECTION.
(F) THE GOVERNOR SHALL SET THE COMPENSATION FOR A 1,460
CONSERVATOR APPOINTED FOR A STATE UNIVERSITY OR COLLEGE. THE 1,461
EXPENSES AND COMPENSATION OF THE CONSERVATOR AND OTHERS EMPLOYED 1,462
BY THE CONSERVATOR SHALL BE PAID OUT OF THE OPERATING FUNDS AND 1,463
REVENUES OF THAT UNIVERSITY OR COLLEGE. 1,464
Sec. 3345.75. (A) NOT LATER THAN THIRTY DAYS AFTER THE 1,467
DATE OF THE APPOINTMENT OF A CONSERVATOR FOR A STATE UNIVERSITY 1,468
OR COLLEGE UNDER SECTION 3345.74 OF THE REVISED CODE, THE 1,470
GOVERNOR SHALL APPOINT, WITH THE ADVICE AND CONSENT OF THE 1,471
35
SENATE, A GOVERNANCE AUTHORITY FOR THE UNIVERSITY OR COLLEGE 1,472
CONSISTING OF FIVE MEMBERS. THE MEMBERS SHALL SERVE AT THE 1,473
PLEASURE OF THE GOVERNOR AND ANY VACANCIES SHALL BE FILLED IN THE 1,474
SAME MANNER AS AN ORIGINAL APPOINTMENT. 1,475
THE GOVERNOR SHALL DESIGNATE ONE OF THE MEMBERS OF THE 1,477
GOVERNANCE AUTHORITY AS THE CHAIRPERSON AND SHALL CALL THE FIRST 1,478
MEETING OF THE AUTHORITY. A MAJORITY OF THE MEMBERS OF A 1,479
GOVERNANCE AUTHORITY CONSTITUTES A QUORUM AND THE AFFIRMATIVE 1,480
VOTE OF A MAJORITY OF THE MEMBERS SHALL BE NECESSARY FOR ANY 1,481
ACTION TAKEN BY AN AUTHORITY. MEETINGS OF A GOVERNANCE AUTHORITY 1,482
SHALL BE CALLED IN THE MANNER AND AT THE TIMES PRESCRIBED BY THE 1,483
AUTHORITY, BUT THE AUTHORITY SHALL MEET AT LEAST FOUR TIMES 1,484
ANNUALLY AND AT OTHER TIMES NECESSARY FOR THE BEST INTEREST OF 1,485
THE UNIVERSITY OR COLLEGE. A GOVERNANCE AUTHORITY MAY ADOPT 1,486
PROCEDURES FOR THE CONDUCT OF ITS BUSINESS. 1,487
THE MEMBERS OF A GOVERNANCE AUTHORITY SHALL NOT RECEIVE 1,489
COMPENSATION FOR THEIR SERVICES, BUT SHALL BE PAID THEIR 1,490
REASONABLE AND NECESSARY EXPENSES WHILE ENGAGED IN THE DISCHARGE 1,491
OF THEIR OFFICIAL DUTIES. 1,492
(B)(1) A GOVERNANCE AUTHORITY ESTABLISHED UNDER THIS 1,495
SECTION SHALL APPOINT AN EXECUTIVE DIRECTOR WHO SHALL SERVE AT 1,496
THE PLEASURE OF THE AUTHORITY AND WITH THE COMPENSATION AND OTHER 1,497
TERMS AND CONDITIONS ESTABLISHED BY IT. WITH THE APPROVAL OF THE 1,498
CHAIRPERSON OF THE AUTHORITY, THE EXECUTIVE DIRECTOR MAY APPOINT 1,499
ADDITIONAL PERSONNEL AS THE DIRECTOR CONSIDERS APPROPRIATE. THE 1,500
EXECUTIVE DIRECTOR SHALL OVERSEE THE DAY-TO-DAY OPERATION OF THE 1,501
UNIVERSITY OR COLLEGE UNDER THE DIRECTION AND SUPERVISION OF THE 1,502
AUTHORITY. 1,503
(2) THE GOVERNANCE AUTHORITY SHALL CONDUCT A FINAL 1,505
PERFORMANCE EVALUATION OF THE PRESIDENT OR CHIEF EXECUTIVE 1,506
OFFICER OF THE UNIVERSITY OR COLLEGE. FOLLOWING THE EVALUATION, 1,507
THE GOVERNANCE AUTHORITY MAY REINSTATE ANY DUTIES, AUTHORITY, OR 1,509
PAY PREVIOUSLY SUSPENDED UNDER DIVISION (C)(6) OF SECTION 1,510
3345.74 OF THE REVISED CODE, OR MAY TERMINATE THE PRESIDENT OR 1,511
36
CHIEF EXECUTIVE OFFICER IN ACCORDANCE WITH THE TERMS OF THE 1,512
PERSON'S EMPLOYMENT CONTRACT.
(C) UPON APPOINTMENT OF ALL MEMBERS OF A GOVERNANCE 1,515
AUTHORITY UNDER THIS SECTION AND UPON THE EFFECTIVE DATE FOR THE 1,516
COMMENCEMENT OF THE DUTIES OF THE EXECUTIVE DIRECTOR APPOINTED BY 1,518
THAT AUTHORITY UNDER THIS SECTION, ALL AUTHORITY,
RESPONSIBILITIES, DUTIES, AND REFERENCES ASSUMED BY OR CONFERRED 1,519
UPON THE CONSERVATOR UNDER DIVISIONS (C)(2) TO (6) OF SECTION 1,522
3345.74 OF THE REVISED CODE TERMINATE AND ALL OF THE FOLLOWING 1,524
SHALL OCCUR, EFFECTIVE IMMEDIATELY:
(1) THE MANAGEMENT AND CONTROL OF THE STATE UNIVERSITY OR 1,526
COLLEGE IS ASSUMED BY THE GOVERNANCE AUTHORITY; 1,527
(2) NOTWITHSTANDING ANY SECTION OF THE REVISED CODE, ALL 1,531
DUTIES, RESPONSIBILITIES, AND POWERS ASSIGNED BY LAW TO THE BOARD 1,532
OF TRUSTEES OR TO THE CONSERVATOR ARE ASSIGNED TO THE GOVERNANCE 1,533
AUTHORITY AND THE GOVERNANCE AUTHORITY BECOMES THE SUCCESSOR TO, 1,534
ASSUMES THE LAWFUL OBLIGATIONS OF, AND OTHERWISE CONSTITUTES THE 1,535
CONTINUATION OF THE BOARD OF TRUSTEES AND THE CONSERVATOR FOR 1,536
PURPOSES OF ALL PENDING LEGAL ACTIONS, CONTRACTS OR OTHER 1,537
AGREEMENTS, AND OBLIGATIONS OF THE UNIVERSITY OR COLLEGE; 1,538
(3) WHEREVER THE BOARD OF TRUSTEES OR CONSERVATOR IS 1,540
REFERRED TO IN ANY CONTRACT OR LEGAL DOCUMENT, THE REFERENCE IS 1,542
DEEMED TO REFER TO THE GOVERNANCE AUTHORITY. NO VALIDATION, 1,543
CURE, RIGHT, PRIVILEGE, REMEDY, OBLIGATION, OR LIABILITY IS LOST 1,544
OR IMPAIRED BY REASON OF THE ASSUMPTION OF THE AUTHORITY OF THE 1,545
BOARD OF TRUSTEES AND THE CONSERVATOR BY THE GOVERNANCE AUTHORITY 1,546
UNDER THIS SECTION AND ANY SUCH VALIDATION, CURE, RIGHT, 1,547
PRIVILEGE, REMEDY, OBLIGATION, OR LIABILITY SHALL BE ADMINISTERED 1,548
BY THE GOVERNANCE AUTHORITY. NO ACTION OR PROCEEDING PENDING ON 1,549
THE EFFECTIVE DATE OF THE ASSUMPTION BY THE GOVERNANCE AUTHORITY 1,550
OF THE AUTHORITY OF THE BOARD OF TRUSTEES AND THE CONSERVATOR IS 1,551
AFFECTED BY THAT ASSUMPTION AND ANY SUCH ACTION OR PROCEEDING 1,552
SHALL BE PROSECUTED OR DEFENDED IN THE NAME OF THE GOVERNANCE 1,553
AUTHORITY.
37
(4) THE GOVERNANCE AUTHORITY ASSUMES CUSTODY OF ALL 1,555
EQUIPMENT, RECORDS, FILES, EFFECTS, AND ALL OTHER PROPERTY REAL 1,556
OR PERSONAL OF THE STATE UNIVERSITY OR COLLEGE. 1,558
(D) A GOVERNANCE AUTHORITY AND EXECUTIVE DIRECTOR 1,561
APPOINTED UNDER THIS SECTION SHALL BE IMMUNE, INDEMNIFIED, AND 1,562
HELD HARMLESS FROM CIVIL LIABILITY, INCLUDING ANY CAUSE OF 1,563
ACTION, LEGAL, EQUITABLE, OR OTHERWISE, FOR ANY ACTION TAKEN OR 1,564
DUTIES PERFORMED BY THE GOVERNANCE AUTHORITY AND EXECUTIVE 1,565
DIRECTOR IN GOOD FAITH AND IN FURTHERANCE OF THE PERFORMANCE OF 1,566
THE DUTIES OF THE GOVERNANCE AUTHORITY AND EXECUTIVE DIRECTOR 1,567
UNDER THIS SECTION. 1,568
(E) THE EXPENSES OF A GOVERNANCE AUTHORITY AND THE 1,571
EXPENSES AND COMPENSATION OF AN EXECUTIVE DIRECTOR APPOINTED FOR 1,572
A STATE UNIVERSITY OR COLLEGE UNDER THIS SECTION AND OTHERS 1,573
EMPLOYED BY THE EXECUTIVE DIRECTOR UNDER THIS SECTION SHALL BE 1,574
PAID OUT OF THE OPERATING FUNDS AND REVENUES OF THAT UNIVERSITY 1,575
OR COLLEGE.
(F) A GOVERNANCE AUTHORITY APPOINTED UNDER THIS SECTION 1,578
SHALL PREPARE, IN ACCORDANCE WITH RULES ADOPTED BY THE OFFICE OF 1,579
BUDGET AND MANAGEMENT, AND SUBMIT TO THE BOARD OF REGENTS, THE 1,581
GOVERNOR, THE SPEAKER AND MINORITY LEADER OF THE HOUSE OF 1,582
REPRESENTATIVES, AND THE PRESIDENT AND MINORITY LEADER OF THE 1,584
SENATE A QUARTERLY REPORT SETTING FORTH ALL OF THE FOLLOWING: 1,586
(1) THE GENERAL CONDITION OF THE UNIVERSITY OR COLLEGE; 1,589
(2) THE AMOUNTS OF RECEIPTS AND DISBURSEMENTS AND THE 1,591
ITEMS FOR WHICH THE DISBURSEMENTS WERE MADE; 1,592
(3) THE NUMBERS OF PROFESSORS, OFFICERS, TEACHERS, AND 1,594
OTHER EMPLOYEES AND THE POSITION AND COMPENSATION OF EACH AND THE 1,596
NUMBERS OF STUDENTS BY COURSES OF INSTRUCTION;
(4) AN ESTIMATE OF EXPENSES FOR THE ENSUING QUARTER; 1,599
(5) A STATEMENT OF THE GENERAL PROGRESS OF THE UNIVERSITY 1,601
OR COLLEGE WITH INDICATION OF ANY IMPROVEMENTS AND SPECIFICATION 1,602
OF ANY EXPERIMENTS WITH INSTITUTIONAL REFORM AND THE COSTS AND 1,603
RESULTS OF THOSE EXPERIMENTS; 1,604
38
(6) ANY OTHER MATTERS THE GOVERNANCE AUTHORITY CONSIDERS 1,606
USEFUL TO REPORT. 1,607
(G) THE ATTORNEY GENERAL SHALL BE THE LEGAL ADVISER TO THE 1,610
CONSERVATOR AND THE GOVERNANCE AUTHORITY, AND THE ATTORNEY 1,611
GENERAL MAY EMPLOY SPECIAL COUNSEL TO AID THE CONSERVATOR OR 1,612
GOVERNANCE AUTHORITY WITH RESPECT TO ANY LEGAL MATTER ON BEHALF 1,613
OF THE INSTITUTION. THE CONSERVATOR AND THE GOVERNANCE AUTHORITY 1,614
MAY AS OTHERWISE PROVIDED BY LAW REQUEST THE ATTORNEY GENERAL TO 1,615
BRING OR DEFEND SUITS OR PROCEEDINGS IN THE NAME OF THE 1,616
INSTITUTION.
Sec. 3345.76. (A) A GOVERNANCE AUTHORITY APPOINTED FOR A 1,619
STATE UNIVERSITY OR COLLEGE UNDER SECTION 3345.75 OF THE REVISED 1,621
CODE AT LEAST ANNUALLY SHALL APPLY THE INDICATORS AND STANDARDS 1,623
ADOPTED UNDER DIVISION (B) OF SECTION 3345.73 OF THE REVISED CODE 1,626
TO DETERMINE WHETHER THE UNIVERSITY OR COLLEGE IS EXPERIENCING 1,627
SUFFICIENT FISCAL STABILITY TO WARRANT TERMINATING THAT 1,628
GOVERNANCE AUTHORITY IN ACCORDANCE WITH THIS SECTION. UPON 1,629
MAKING A DETERMINATION THAT TERMINATION OF THE GOVERNANCE 1,630
AUTHORITY IS WARRANTED, THE GOVERNANCE AUTHORITY SHALL CERTIFY 1,631
THIS DETERMINATION TO THE GOVERNOR. 1,632
A DETERMINATION BY A GOVERNANCE AUTHORITY UNDER THIS 1,634
DIVISION THAT SUFFICIENT FISCAL STABILITY EXISTS OR DOES NOT 1,635
EXIST TO WARRANT TERMINATING THAT GOVERNANCE AUTHORITY IS FINAL 1,637
AND CONCLUSIVE AND NOT APPEALABLE.
(B) THE GOVERNOR MAY ISSUE AN ORDER, EFFECTIVE AS PROVIDED 1,640
UNDER DIVISION (D) OF THIS SECTION, TERMINATING THE GOVERNANCE 1,642
AUTHORITY APPOINTED UNDER 3345.75 OF THE REVISED CODE, UPON THE 1,644
OCCURRENCE OF EITHER OF THE FOLLOWING:
(1) CERTIFICATION BY THE GOVERNANCE AUTHORITY FOR THAT 1,646
STATE UNIVERSITY OR COLLEGE THE TERMINATION OF THAT GOVERNANCE 1,647
AUTHORITY IS WARRANTED; 1,648
(2) A FINDING THAT IN THE GOVERNOR'S OPINION TERMINATION 1,651
OF THE GOVERNANCE AUTHORITY IS IN THE BEST INTERESTS OF THE 1,652
STATE, THAT STATE UNIVERSITY OR COLLEGE, AND THE STUDENTS OF THAT 1,653
39
STATE UNIVERSITY OR COLLEGE.
(C) UPON ISSUANCE OF AN ORDER UNDER DIVISION (B) OF THIS 1,657
SECTION, THE GOVERNOR SHALL FILL EACH VACANCY ON THE BOARD OF 1,658
TRUSTEES OF THE UNIVERSITY OR COLLEGE FOR THE UNEXPIRED PORTION 1,659
OF THE MEMBER'S TERM OR, IF THE TERM FOR THE MEMBER HAS ALREADY 1,660
EXPIRED, FOR THE UNEXPIRED PORTION OF THE SUCCEEDING TERM. 1,661
(D) THIRTY DAYS AFTER THE DATE ON WHICH THE OHIO BOARD OF 1,665
REGENTS DETERMINES THAT ALL VACANCIES ON THE BOARD OF TRUSTEES 1,666
HAVE BEEN FILLED, ALL AUTHORITY, RESPONSIBILITIES, DUTIES, AND 1,667
REFERENCES ASSUMED BY OR CONFERRED UPON THE GOVERNANCE AUTHORITY 1,668
OF THAT UNIVERSITY OR COLLEGE UNDER DIVISION (C) OF SECTION 1,670
3345.75 OF THE REVISED CODE TERMINATE AND ALL OF THE FOLLOWING 1,673
SHALL OCCUR:
(1) THE MANAGEMENT AND CONTROL OF THE STATE UNIVERSITY OR 1,675
COLLEGE BY THE BOARD OF TRUSTEES SHALL BE RESUMED; 1,676
(2) THE BOARD BECOMES THE SUCCESSOR TO, ASSUMES THE LAWFUL 1,678
OBLIGATIONS OF, AND OTHERWISE CONSTITUTES THE CONTINUATION OF THE 1,680
CONSERVATOR AND THE GOVERNANCE AUTHORITY FOR PURPOSES OF ALL 1,682
PENDING LEGAL ACTIONS, CONTRACTS OR OTHER AGREEMENTS, AND
OBLIGATIONS OF THE UNIVERSITY OR COLLEGE; 1,683
(3) WHEREVER THE CONSERVATOR OR THE GOVERNANCE AUTHORITY 1,686
IS REFERRED TO IN ANY CONTRACT OR LEGAL DOCUMENT, THE REFERENCE 1,688
IS DEEMED TO REFER TO THE BOARD OF TRUSTEES. NO VALIDATION,
CURE, RIGHT, PRIVILEGE, REMEDY, OBLIGATION, OR LIABILITY IS LOST 1,690
OR IMPAIRED BY REASON OF THE RESUMPTION BY THE BOARD OF TRUSTEES 1,691
OF THE AUTHORITY OF THE CONSERVATOR AND THE GOVERNANCE AUTHORITY, 1,693
AND ANY SUCH VALIDATION, CURE, RIGHT, PRIVILEGE, REMEDY, 1,694
OBLIGATION, OR LIABILITY SHALL BE ADMINISTERED BY THE BOARD OF 1,695
TRUSTEES. NO ACTION OR PROCEEDING PENDING ON THE EFFECTIVE DATE 1,697
OF THE RESUMPTION BY THE BOARD OF TRUSTEES OF THE AUTHORITY OF 1,698
THE CONSERVATOR AND THE GOVERNANCE AUTHORITY IS AFFECTED BY THAT 1,700
RESUMPTION, AND ANY SUCH ACTION OR PROCEEDING SHALL BE PROSECUTED 1,701
OR DEFENDED IN THE NAME OF THE BOARD OF TRUSTEES. 1,702
(4) THE BOARD OF TRUSTEES RESUMES CUSTODY OF ALL 1,705
40
EQUIPMENT, RECORDS, FILES, EFFECTS, AND ALL OTHER PROPERTY REAL 1,706
OR PERSONAL OF THE STATE UNIVERSITY OR COLLEGE;
(5) EMPLOYMENT OF THE EXECUTIVE DIRECTOR APPOINTED FOR THE 1,709
UNIVERSITY OR COLLEGE UNDER SECTION 3345.75 OF THE REVISED CODE 1,711
IS TERMINATED;
(6) THE DUTIES, AUTHORITY, AND PAY OF THE PRESIDENT OR 1,713
CHIEF EXECUTIVE OFFICER OF THE UNIVERSITY OR COLLEGE SUSPENDED 1,716
UNDER DIVISION (C)(6) OF SECTION 3345.74 AND NOT REINSTATED UNDER 1,717
DIVISION (B)(2) OF SECTION 3345.75 OF THE REVISED CODE ARE 1,718
REINSTATED TO THE PERSON HOLDING THAT POSITION, UNLESS OTHERWISE 1,719
PROVIDED FOR BY THE BOARD OF TRUSTEES. 1,720
Sec. 3345.77. NOTWITHSTANDING ANY SECTION OF THE REVISED 1,723
CODE, A CONTRACT OF EMPLOYMENT ENTERED INTO ON OR AFTER THE 1,724
EFFECTIVE DATE OF THIS SECTION BETWEEN THE BOARD OF TRUSTEES OF A 1,725
STATE UNIVERSITY OR COLLEGE AND THE PRESIDENT OR CHIEF EXECUTIVE 1,726
OFFICER OF THAT UNIVERSITY OR COLLEGE SHALL PROVIDE FOR THE 1,727
PERFORMANCE EVALUATION, THE SUSPENSION OF THE AUTHORITY, DUTIES, 1,728
AND PAY, AND THE TERMINATION OF THE EMPLOYMENT CONTRACT OF THE 1,729
PRESIDENT OR CHIEF EXECUTIVE OFFICER AS PROVIDED UNDER DIVISIONS 1,730
(C) AND (D) OF SECTION 3345.74 AND DIVISION (B)(2) OF SECTION 1,733
3345.75 OF THE REVISED CODE. 1,735
Sec. 3345.78. NO CURRENT OR FORMER EMPLOYEE OR CURRENT OR 1,737
FORMER OFFICER OF A STATE UNIVERSITY OR COLLEGE SHALL KNOWINGLY 1,738
CONCEAL ANY INFORMATION FROM, WITHHOLD ANY INFORMATION REQUESTED 1,739
BY, FALSIFY ANY INFORMATION TO, OR IMPEDE THE WORK OF ANY OF THE 1,740
FOLLOWING:
(A) A CONSERVATOR, GOVERNANCE AUTHORITY, OR EXECUTIVE 1,742
DIRECTOR APPOINTED FOR THE INSTITUTION UNDER SECTION 3345.74 OR 1,743
3345.75 OF THE REVISED CODE;
(B) ANY PERSONNEL APPOINTED BY THE CONSERVATOR OR 1,745
EXECUTIVE DIRECTOR UNDER DIVISION (F) OF SECTION 3345.74 OR 1,746
DIVISION (B)(1) OF SECTION 3345.75 OF THE REVISED CODE. 1,747
Sec. 3345.99. (A) Whoever violates section 3345.13 of the 1,756
Revised Code shall be fined not less than fifty nor more than one 1,758
41
hundred fifty dollars.
(B) Whoever violates division (A) or (B) of section 1,760
3345.34 of the Revised Code is guilty of a misdemeanor of the 1,761
first degree.
(C) WHOEVER VIOLATES SECTION 3345.78 OF THE REVISED CODE 1,763
IS GUILTY OF A FELONY OF THE FOURTH DEGREE. 1,764
Section 2. That existing sections 101.72, 102.02, 102.022, 1,766
102.03, 126.21, 2907.03, 3345.011, 3345.09, 3345.61, and 3345.99 1,767
and section 3345.031 of the Revised Code are hereby repealed. 1,769
Section 3. Under section 111.15 of the Revised Code, the 1,771
Office of Budget and Management shall initially file proposed 1,772
rules pursuant to sections 3345.72 and 3345.73 and division (F) 1,774
of section 3345.75 of the Revised Code no later than thirty days 1,775
after the effective date of this section.
Section 4. All items in this section are hereby 1,777
appropriated as designated out of any moneys in the state 1,778
treasury to the credit of the General Revenue Fund. For all 1,779
appropriations made in this act, those in the first column are
for fiscal year 1996 and those in the second column are for 1,780
fiscal year 1997. The appropriations made in this act are in 1,781
addition to any other appropriations made for the 1995-1997 1,782
biennium.
OBM OFFICE OF BUDGET AND MANAGEMENT 1,783
General Revenue Fund 1,786
GRF 042-407 Central State Deficit 1,788
Reduction $ 0 $ 10,300,000 1,790
Total GRF $ 0 $ 10,300,000 1,793
TOTAL ALL BUDGET FUND GROUPS $ 0 $ 10,300,000 1,796
Central State Deficit Reduction 1,799
In order to facilitate the preparation of audited financial 1,801
statements for fiscal year 1997 and prior to any release of funds 1,802
from the foregoing appropriation item 042-407, Central State 1,804
Deficit Reduction, by the Director of Budget and Management, the
university shall submit a Fiscal Recovery Plan. The plan, as 1,805
42
defined by the Director, shall include among other items: 1,806
(A) A balanced budget for all funds of the university for 1,808
fiscal year 1997;
(B) A detailed set of work tasks and deliverables with due 1,810
dates aimed at strengthening internal and budgetary controls; 1,811
(C) A detailed description of how the funds will be 1,813
expended;
(D) Specific actions that will be taken to establish 1,815
segregated cash fund accounting requirements consistent with 1,816
Generally Accepted Accounting Principles applicable to Public 1,817
Colleges and Universities.
In achieving a balanced fiscal year 1997 budget, the board 1,820
of trustees shall maintain its declared state of financial 1,821
exigency, make budget reallocations by means other than uniform, 1,822
across-the-board budget reductions or solely from nonsalary 1,823
sources, give priority to funding requests in support of general 1,824
undergraduate education, reduce academic support units before 1,825
academic programs, and take such other action that may include,
but is not limited to, reducing the number of faculty and staff 1,827
as appropriate. Upon receiving these funds or a portion of the 1,828
funds, Central State University's first priority shall be to pay 1,829
off and close out all past due vendor debts.
The Director of Budget and Management shall appoint a 1,831
financial supervisor to monitor adherence to the plan and advise 1,832
the Director on the financial status of the university. With the 1,833
full cooperation of Central State University, the financial 1,834
supervisor shall prepare reports on the progress of the
university in the implementation of its Fiscal Recovery Plan. 1,835
Within ten days after the end of each month, the university shall 1,836
prepare a payables report delineating by fund and vendor all 1,837
outstanding payables owed by the university. A comparative 1,838
analysis by month should also be presented with rationale 1,839
provided for the variances reflected for changes from the
previous month. 1,840
43
For the remainder of fiscal year 1997 the financial 1,842
supervisor shall serve as the chief financial officer for the 1,843
university and will report directly to the Director of Budget and 1,844
Management. To the extent that the financial supervisor and/or 1,845
the director determines that disbursements and other uses of
funds are in excess of revenues and other sources, the financial 1,846
supervisor, upon written notification to the board of trustees, 1,847
may take any action the financial supervisor deems necessary to 1,849
bring expenditures and uses of funds in line with revenues and 1,850
other sources. No proposed disbursements including the addition
of personnel shall be made by the university without prior 1,851
approval by either the financial supervisor or the director. 1,852
The board of trustees will work cooperatively with the 1,854
director to create a stable and responsible fiscal operation for 1,855
the university. The financial supervisor shall prepare 1,856
recommendations for the board of trustees to identify the 1,857
necessary administrative actions needed to achieve an enhanced
fiscal management environment for the university. The Director 1,858
may use the resources of the Director's office, as the Director 1,859
deems necessary, including any remaining appropriations granted 1,861
from the Emergency Purposes account of the Controlling Board on
July 11, 1996. The Chancellor of the Board of Regents shall work 1,862
cooperatively with the financial supervisor and/or the Director 1,865
of Budget and Management to provide staff support as necessary to 1,866
support the efforts to create an improved fiscal management 1,867
environment for Central State University.
Notwithstanding Section 92.10 of Am. Sub. H.B. 117 of the 1,869
121st General Assembly, as amended by Am. Sub. S.B. 310 of the 1,870
121st General Assembly, Central State University shall not be 1,871
required to repay the $1,500,000 loan approved by the Controlling 1,872
Board in fiscal year 1995 from the Emergency Purposes 1,873
appropriation line item.
Within the limits set forth in this act, the Director shall 1,875
establish accounts indicating the source and amount of funds for 1,876
44
each appropriation made in this act, and shall determine the form 1,877
and manner in which appropriation accounts shall be maintained. 1,878
Expenditures from appropriations contained in this act shall be 1,879
accounted for as though made in Am. Sub. H.B. 117 of the 121st
General Assembly. 1,880
The appropriations made in this act are subject to all 1,882
provisions of Am. Sub. H.B. 117 of the 121st General Assembly 1,883
that are generally applicable to such appropriations. It is the 1,884
intent of the General Assembly to provide these funds to Central 1,885
State University in order for the institution to remain open
until the end of fiscal year 1997. The passage of this act shall 1,886
not bind the General Assembly to make appropriations for these 1,888
purposes in subsequent years.
Section 5. The General Assembly hereby declares that this 1,890
act is intended to protect the safety, health, and welfare of the 1,891
public.
Section 6. Except for this section and Section 4 of this 1,893
act, which appropriate or relate to the appropriation of money, 1,894
the codified and uncodified sections of law contained in this act 1,895
are subject to the referendum. Therefore, under Ohio 1,896
Constitution, Article II, Section 1c and section 1.471 of the 1,897
Revised Code, the codified and uncodified sections of law 1,898
contained in this act, except this section and Section 4 of this
act, take effect on the ninety-first day after this act is filed 1,900
with the Secretary of State. If, however, a referendum petition 1,901
is filed against a section, the section, unless rejected at the 1,902
referendum, takes effect at the earliest time permitted by law. 1,903
This section and Section 4 of this act, which appropriate 1,905
or relate to the appropriation of money, are not subject to the 1,906
referendum. Therefore, under Ohio Constitution, Article II, 1,907
Section 1d and section 1.471 of the Revised Code, this section 1,908
and Section 4 of this act go into immediate effect when this act 1,910
becomes law.
Section 7. Section 102.02 of the Revised Code is presented 1,912
45
in this act as a composite of the section as amended by both Am. 1,914
H.B. 182 and Am. Sub. H.B. 538 of the 121st General Assembly,
with the new language of neither of the acts shown in capital 1,916
letters. This is in recognition of the principle stated in 1,917
division (B) of section 1.52 of the Revised Code that such 1,918
amendments are to be harmonized where not substantively 1,919
irreconcilable and constitutes a legislative finding that such is 1,920
the resulting version in effect prior to the effective date of 1,921
this act.