As Passed by the House*                       1            

123rd General Assembly                                             4            

   Regular Session                              Am. H. B. No. 268  5            

      1999-2000                                                    6            


    REPRESENTATIVES KREBS-BENDER-BOYD-DePIERO-EVANS-GARDNER-       8            

 GRENDELL-HAINES-HARTNETT-JOLIVETTE-JONES-MOTTLEY-O'BRIEN-OLMAN-   9            

   OPFER-PADGETT-PETERSON-PRINGLE-SULLIVAN-TAYLOR-TERWILLEGER-     11           

   VAN VYVEN-TIBERI-AMSTUTZ-BUCHY-CORBIN-MEAD-ROBERTS-NETZLEY-                  

                            METELSKY                               12           


_________________________________________________________________   13           

                          A   B I L L                                           

             To amend sections 5705.194, 5705.197, 5705.21,        15           

                5705.25, 5748.02, and 5748.03 of the Revised Code  16           

                to clarify that the ballot language concerning     18           

                renewal of a school district income tax include a               

                statement that the proposed tax is a renewal and   19           

                to allow school district emergency levies to be    20           

                placed on the ballot at specified special                       

                elections regardless of whether a primary          21           

                election is scheduled, and to permit school                     

                districts to propose the renewal of more than one  22           

                property tax levy in a single ballot measure.      23           




BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        24           

      Section 1.  That sections 5705.194, 5705.197, 5705.21,       26           

5705.25, 5748.02, and 5748.03 of the Revised Code be amended to    28           

read as follows:                                                   29           

      Sec. 5705.194.  The board of education of any city, local,   38           

exempted village, cooperative education, or joint vocational       39           

school district may at any time MAY declare by resolution that     40           

the revenue that will be raised by all tax levies which the        42           

district is authorized to impose, when combined with state and     43           

federal revenues, will be insufficient to provide for the          44           

emergency requirements of the school district or to avoid an       45           

                                                          2      


                                                                 
operating deficit, and that it is therefore necessary to levy an   46           

additional tax in excess of the ten-mill limitation.  Such THE     47           

resolution shall be confined to a single purpose and shall         49           

specify the THAT purpose thereof.  If the levy is proposed to      51           

renew all or a portion of the proceeds derived from one or more    52           

existing levies imposed pursuant to this section, it shall be      53           

called a renewal levy and shall be so designated on the ballot.    54           

No IF two or more existing levies shall ARE TO be included in a    56           

single renewal levy unless they BUT ARE NOT SCHEDULED TO expire    57           

in the same year,  THE RESOLUTION SHALL SPECIFY THAT THE EXISTING  58           

LEVIES TO BE RENEWED SHALL NOT BE LEVIED AFTER THE YEAR PRECEDING  59           

THE YEAR IN WHICH THE RENEWAL LEVY IS FIRST IMPOSED.               60           

Notwithstanding the original purpose of any one or more existing   62           

levies that are to be in any single renewal levy, the purpose of   63           

such THE renewal levy may be either to avoid an operating deficit  65           

or to provide for the emergency requirements of the school         66           

district.  The resolution shall further specify the amount of      67           

money it is necessary to raise for the specified purpose for each  68           

calendar year the millage is to be imposed; if a renewal levy,     69           

whether the levy is to renew all, or a portion of, the proceeds    70           

derived from one or more existing levies; and the number of years  71           

in which the millage is to be in effect, which may include a levy  72           

upon the current year's tax list.  The number of years may be any  73           

number not exceeding five. The                                     74           

      THE question shall be submitted at a special election on a   76           

date specified in the resolution.  The date shall not be earlier   77           

than eighty days after the adoption and certification of such THE  78           

resolution to the county auditor and shall be consistent with the  79           

requirements of section 3501.01 of the Revised Code.  A            80           

resolution for a renewal levy shall not be placed on the ballot    81           

unless the question is submitted on the A date of the general or   83           

primary election held ON WHICH A SPECIAL ELECTION MAY BE HELD      84           

UNDER DIVISION (D) OF SECTION 3501.01 OF THE REVISED CODE, EXCEPT  85           

FOR THE FIRST TUESDAY AFTER THE FIRST MONDAY IN FEBRUARY AND       87           

                                                          3      


                                                                 
AUGUST, during the last year the levy or levies to be renewed may  89           

be extended on the real and public utility property tax list and   90           

duplicate, or at any election held in the ensuing year, EXCEPT     91           

THAT IF THE RESOLUTION PROPOSES RENEWING TWO OR MORE EXISTING      92           

LEVIES, THE QUESTION SHALL BE SUBMITTED ON THE DATE OF THE                      

GENERAL OR PRIMARY ELECTION HELD DURING THE LAST YEAR AT LEAST     93           

ONE OF THE LEVIES TO BE RENEWED MAY BE EXTENDED ON THAT LIST AND   94           

DUPLICATE, OR AT ANY ELECTION HELD DURING THE ENSUING YEAR.  FOR   96           

PURPOSES OF THIS SECTION, A LEVY SHALL BE CONSIDERED TO BE AN                   

"EXISTING LEVY" THROUGH THE YEAR FOLLOWING THE LAST YEAR IT CAN    97           

BE PLACED ON THE REAL AND PUBLIC UTILITY PROPERTY TAX LIST AND     98           

DUPLICATE.                                                         99           

      The submission of questions to the electors under this       101          

section is subject to the limitation on the number of election     102          

dates established by section 5705.214 of the Revised Code.         103          

      The resolution shall go into immediate effect upon its       105          

passage, and no publication of the resolution shall be necessary   106          

other than that provided for in the notice of election.  A copy    107          

of such THE resolution shall immediately after its passing be      108          

certified to the county auditor of the proper county.  Section     109          

5705.195 of the Revised Code shall govern the arrangements for     110          

the submission of such question QUESTIONS TO THE ELECTORS UNDER    111          

THIS SECTION and other matters concerning such THE election.       113          

Publication of notice of such THE election shall be made in one    115          

or more newspapers of general circulation in the county once a     116          

week for three consecutive weeks.  If a majority of the electors   117          

voting on the question so submitted in an election vote in favor   118          

of such THE levy, the board of education of the school district    119          

may forthwith make the additional levy necessary to raise the      120          

amount specified in the resolution for the purpose stated in the   121          

resolution.  Such THE tax levy shall be included in the next tax   123          

budget that is certified to the county budget commission.          124          

      After the approval of the levy and prior to the time when    126          

the first tax collection from such THE levy can be made, the       127          

                                                          4      


                                                                 
board of education may anticipate a fraction of the proceeds of    129          

such THE levy and issue anticipation notes in an amount not        131          

exceeding the total estimated proceeds of the levy to be           132          

collected during the first year of the levy.                       133          

      The notes shall be issued as provided in section 133.24 of   135          

the Revised Code, shall have principal payments during each year   136          

after the year of their issuance over a period not to exceed five  137          

years, and may have principal payment in the year of their         138          

issuance.                                                          139          

      Sec. 5705.197.  The form of the ballot to be used at the     148          

election provided for in section 5705.195 of the Revised Code      149          

shall be as follows:                                               150          

      "Shall a levy be imposed by the ............. (here insert   152          

name of school district) for the purpose of ............. (here    153          

insert purpose of levy) in the sum of .......... (here insert      154          

annual amount the levy is to produce) and a levy of taxes to be    155          

made outside of the ten-mill limitation estimated by the county    156          

auditor to average .......... (here insert number of mills) mills  157          

for each one dollar of valuation, which amounts to ..........      158          

(here insert rate expressed in dollars and cents) for each one     159          

hundred dollars of valuation, for a period of .......... (here     160          

insert the number of years the millage is to be imposed) years?    161          

                                                                   163          

                   For the Tax Levy                                164          

                                                                   165          

                   Against the Tax Levy                            166          

                                                        "          167          

      The purpose for which the tax is to be levied shall be       170          

printed in the space indicated, in boldface type of at least       171          

twice the size of the type immediately surrounding it.             172          

      If the tax is to be placed on the current tax list, the      174          

form of the ballot shall be modified by adding, after "years,"     175          

the phrase ", beginning in .......... (first month and year the    176          

tax is to be levied)."                                                          

                                                          5      


                                                                 
      If the levy submitted is a proposal to renew all or a        178          

portion of an existing levy, the form of the ballot specified in   179          

this section may be changed by adding the following at the         180          

beginning of the form, after the words "shall a levy":             181          

      (A)  "Renewing an existing levy" in the case of a proposal   183          

to renew an existing levy in the same amount;                      184          

      (B)  "Renewing ...... dollars and providing an increase of   186          

...... dollars" in the case of an increase;                        187          

      (C)  "Renewing part of an existing levy, being a reduction   189          

of ...... dollars" in the case of a renewal of only part of an     190          

existing levy.                                                     191          

      If the levy submitted is a proposal to renew all or a        193          

portion of more than one existing levy, the form of the ballot     194          

may be changed in any of the manners provided in division (A),     195          

(B), or (C) of this section, or any combination thereof OF THOSE   196          

MANNERS, as appropriate, so long as the form of the ballot         198          

reflects the number of levies to be renewed, whether the amount    199          

of any of the levies will be increased or decreased, and, for      200          

each such levy, the amount of any such increase or decrease FOR    201          

EACH LEVY, AND THAT NONE OF THE EXISTING LEVIES TO BE RENEWED      202          

WILL BE LEVIED AFTER THE YEAR PRECEDING THE YEAR IN WHICH THE      203          

RENEWAL LEVY IS FIRST IMPOSED.  THE FORM OF THE BALLOT SHALL BE    205          

CHANGED BY ADDING THE FOLLOWING STATEMENT AFTER "FOR A PERIOD OF   206          

..... YEARS?" AND BEFORE "FOR THE TAX LEVY" AND "AGAINST THE TAX   210          

LEVY":                                                             211          

      "IF APPROVED, ANY REMAINING TAX YEARS ON ANY OF THE ABOVE    213          

..... (HERE INSERT THE NUMBER OF EXISTING LEVIES) EXISTING LEVIES  214          

WILL NOT BE COLLECTED AFTER ..... (HERE INSERT THE CURRENT TAX     215          

YEAR OR, IF NOT THE CURRENT TAX YEAR, THE APPLICABLE TAX YEAR)."   217          

      Sec. 5705.21.  (A)  At any time the board of education of    226          

any city, local, exempted village, cooperative education, or       227          

joint vocational school district by a vote of two-thirds of all    228          

its members may declare by resolution that the amount of taxes     229          

which may be raised within the ten-mill limitation by levies on    230          

                                                          6      


                                                                 
the current tax duplicate will be insufficient to provide an       231          

adequate amount for the necessary requirements of the school       232          

district, that it is necessary to levy a tax in excess of such     233          

limitation for one of the purposes specified in division (A),      234          

(D), (F), (H), or (DD) of section 5705.19 of the Revised Code;,    235          

for general, on-going permanent improvements, for the purpose of   238          

operating a cultural center, or for the purpose of providing       239          

education technology, and that the question of such additional     241          

tax levy shall be submitted to the electors of the school          242          

district at a special election on a day to be specified in the     243          

resolution.                                                                     

      As used in this section, "cultural center" means a           245          

freestanding building, separate from a public school building,     246          

that is open to the public for educational, musical, artistic,     247          

and cultural purposes.                                             248          

      As used in this section, "education technology" means, but   250          

is not limited to, computer hardware, equipment, materials, and    251          

accessories, equipment used for two-way audio or video, and        252          

software.                                                          253          

      The submission of questions to the electors under this       255          

section is subject to the limitation on the number of election     256          

dates established by section 5705.214 of the Revised Code.         257          

      (B)  Such resolution shall be confined to a single purpose   259          

and shall specify the amount of the increase in rate that it is    260          

necessary to levy, the purpose thereof OF THE LEVY, and the        261          

number of years during which the increase in rate shall be in      263          

effect.  The number of years may be any number not exceeding five  264          

or, if the levy is for current expenses of the district or for     265          

general, on-going permanent improvements, for a continuing period  266          

of time.  The resolution shall specify the date of holding such    267          

election, which shall not be earlier than seventy-five days after  268          

the adoption and certification of such THE resolution and which    269          

shall be consistent with the requirements of section 3501.01 of    270          

the Revised Code.  The RESOLUTION MAY PROPOSE TO RENEW ONE OR      271          

                                                          7      


                                                                 
MORE EXISTING LEVIES IMPOSED UNDER THIS SECTION OR TO INCREASE OR  272          

DECREASE A SINGLE LEVY IMPOSED UNDER THIS SECTION.                 273          

      IF THE RESOLUTION PROPOSES TO RENEW TWO OR MORE EXISTING     275          

LEVIES, THE LEVIES SHALL BE LEVIED FOR THE SAME PURPOSE.  THE      276          

RESOLUTION SHALL IDENTIFY THOSE LEVIES AND THE RATES AT WHICH      277          

THEY ARE LEVIED.  THE RESOLUTION ALSO SHALL SPECIFY THAT THE       278          

EXISTING LEVIES SHALL NOT BE EXTENDED ON THE TAX LISTS AFTER THE   279          

YEAR PRECEDING THE YEAR IN WHICH THE RENEWAL LEVY IS FIRST         281          

IMPOSED, REGARDLESS OF THE YEARS FOR WHICH THOSE LEVIES            282          

ORIGINALLY WERE AUTHORIZED TO BE LEVIED.                                        

      THE resolution shall go into immediate effect upon its       285          

passage, and no publication of the resolution shall be necessary   286          

other than that provided for in the notice of election.  A copy                 

of such THE resolution shall immediately after its passing be      288          

certified to the board of elections of the proper county in the    289          

manner provided by section 5705.25 of the Revised Code, and that   290          

section shall govern the arrangements for the submission of such   291          

question and other matters concerning such election, to which      292          

that section refers, except that such election shall be held on    293          

the date specified in the resolution.  Publication of notice of    294          

such election shall be made in one or more newspapers of general   295          

circulation in the county once a week for four consecutive weeks.  296          

If a majority of the electors voting on the question so submitted  297          

in an election vote in favor of such THE levy, the board of        298          

education may forthwith make the necessary levy within such THE    300          

school district at the additional rate, or at any lesser rate in   302          

excess of the ten-mill limitation on the tax list, for the         303          

purpose stated in the resolution.  A levy for a continuing period  304          

of time may be reduced pursuant to section 5705.261 of the         305          

Revised Code.  Such THE tax levy shall be included in the next     307          

tax budget that is certified to the county budget commission.      308          

      (C)(1)  After the approval of a levy on the current tax      310          

list and duplicate for current expenses, for recreational          311          

purposes, for community centers provided for in section 755.16 of  312          

                                                          8      


                                                                 
the Revised Code, or for a public library of the district and      313          

prior to the time when the first tax collection from such THE      314          

levy can be made, the board of education may anticipate a          316          

fraction of the proceeds of such THE levy and issue anticipation   317          

notes in a principal amount not exceeding fifty per cent of the    318          

total estimated proceeds of the levy to be collected during the    319          

first year of the levy.                                            320          

      (2)  After the approval of a levy for permanent              322          

improvements having the purpose specified in division (F) of       323          

section 5705.19 of the Revised Code, the board of education may    324          

anticipate a fraction of the proceeds of such THE levy and issue   325          

anticipation notes in a principal amount not exceeding fifty per   326          

cent of the total estimated proceeds of the levy remaining to be   327          

collected in each year over a period of five years after the       328          

issuance of such THE notes.                                        329          

      The notes shall be issued as provided in section 133.24 of   331          

the Revised Code, shall have principal payments during each year   332          

after the year of their issuance over a period not to exceed five  333          

years, and may have a principal payment in the year of their       334          

issuance.                                                          335          

      (3)  After approval of a levy for general, on-going          337          

permanent improvements, the board of education may anticipate a    338          

fraction of the proceeds of such THE levy and issue anticipation   339          

notes in a principal amount not exceeding fifty per cent of the    340          

total estimated proceeds of the levy to be collected in each year  341          

over a specified period of years, not exceeding ten, after the     342          

issuance of such THE notes.                                        343          

      The notes shall be issued as provided in section 133.24 of   345          

the Revised Code, shall have principal payments during each year   346          

after the year of their issuance over a period not to exceed ten   347          

years, and may have a principal payment in the year of their       348          

issuance.                                                          349          

      Sec. 5705.25.  (A)  A copy of any resolution adopted as      358          

provided in section 5705.19 of the Revised Code shall be           359          

                                                          9      


                                                                 
certified by the taxing authority to the board of elections of     360          

the proper county not less than seventy-five days before the       361          

general election in any year, and the board shall submit the       362          

proposal to the electors of the subdivision at the succeeding      363          

November election.  Except as otherwise provided in this           364          

division, a resolution to renew an existing levy, regardless of    365          

the section of the Revised Code under which the tax was imposed,   366          

shall not be placed on the ballot unless the question is           367          

submitted at the general election held during the last year the    368          

tax to be renewed or replaced may be extended on the real and      369          

public utility property tax list and duplicate, or at any          370          

election held in the ensuing year.  The limitation of the          371          

foregoing sentence does not apply to a resolution to renew and     373          

increase or to renew part of an existing levy that was imposed     374          

under section 5705.191 of the Revised Code to supplement the       375          

general fund for the purpose of making appropriations for one or   376          

more of the following purposes:  for public assistance, human or   377          

social services, relief, welfare, hospitalization, health, and     378          

support of general or tuberculosis hospitals.  The THE LIMITATION  380          

OF THE SECOND PRECEDING SENTENCE ALSO DOES NOT APPLY TO A          381          

RESOLUTION THAT PROPOSES TO RENEW TWO OR MORE EXISTING LEVIES                   

IMPOSED UNDER SECTION 5705.21 OF THE REVISED CODE, IN WHICH CASE   383          

THE QUESTION SHALL BE SUBMITTED ON THE DATE OF THE GENERAL OR      384          

PRIMARY ELECTION HELD DURING THE LAST YEAR AT LEAST ONE OF THE     385          

LEVIES TO BE RENEWED MAY BE EXTENDED ON THE REAL AND PUBLIC        386          

UTILITY PROPERTY TAX LIST AND DUPLICATE, OR AT ANY ELECTION HELD   387          

DURING THE ENSUING YEAR.  FOR PURPOSES OF THIS SECTION, A LEVY     388          

SHALL BE CONSIDERED TO BE AN "EXISTING LEVY" THROUGH THE YEAR      389          

FOLLOWING THE LAST YEAR IT CAN BE PLACED ON THAT TAX LIST AND      390          

DUPLICATE.                                                                      

      THE board shall make the necessary arrangements for the      393          

submission of such questions to the electors of such subdivision,  394          

and the election shall be conducted, canvassed, and certified in   395          

the same manner as regular elections in such subdivision for the   396          

                                                          10     


                                                                 
election of county officers.  Notice of the election shall be      397          

published in a newspaper of general circulation in the             398          

subdivision once a week for four consecutive weeks prior to the    399          

election, stating the purpose, the proposed increase in rate,      400          

expressed in dollars and cents for each one hundred dollars of     401          

valuation as well as in mills for each one dollar of valuation,    402          

the number of years during which such THE increase will be in      403          

effect, the first month and year in which the tax will be levied,  406          

and the time and place of the election.                                         

      (B)  The form of the ballots cast at an election held        408          

pursuant to division (A) of this section shall be as follows:      409          

      "An additional tax for the benefit of (name of subdivision   411          

or public library) .......... for the purpose of (purpose stated   412          

in the resolution) .......... at a rate not exceeding ......       413          

mills for each one dollar of valuation, which amounts to (rate     414          

expressed in dollars and cents) ............ for each one hundred  415          

dollars of valuation, for ...... (life of indebtedness or number   416          

of years the levy is to run).                                      417          

                                                                   419          

                   For the Tax Levy                                420          

                                                                   421          

                   Against the Tax Levy                            422          

                                                         "         423          

      (C)  If the levy is to be in effect for a continuing period  426          

of time, the notice of election and the form of ballot shall so    427          

state instead of setting forth a specified number of years for     428          

the levy.                                                          429          

      If the tax is to be placed on the current tax list, the      431          

form of the ballot shall be modified by adding, after the          432          

statement of the number of years the levy is to run, the phrase    433          

", beginning in .......... (first month and year the tax is to be  435          

levied)."                                                                       

      If the levy submitted is a proposal to renew, increase, or   437          

decrease an existing levy, the form of the ballot specified in     438          

                                                          11     


                                                                 
division (B) of this section may be changed by substituting for    439          

the words "An additional" at the beginning of the form, the words  441          

"A renewal of a" in case of a proposal to renew an existing levy   442          

in the same amount; the words "A renewal of ........ mills and an  443          

increase of ...... mills to constitute a" in the case of an        444          

increase; or the words "A renewal of part of an existing levy,     445          

being a reduction of ...... mills, to constitute a" in the case    446          

of a decrease in the proposed levy.                                447          

      IF THE LEVY SUBMITTED IS A PROPOSAL TO RENEW TWO OR MORE     449          

EXISTING LEVIES IMPOSED UNDER SECTION 5705.21 OF THE REVISED       450          

CODE, THE FORM OF THE BALLOT SPECIFIED IN DIVISION (B) OF THIS     451          

SECTION SHALL BE MODIFIED BY SUBSTITUTING FOR THE WORDS "AN        452          

ADDITIONAL TAX" THE WORDS "A RENEWAL OF ....(INSERT THE NUMBER OF  454          

LEVIES TO BE RENEWED) EXISTING TAXES."                                          

      The question covered by such resolution shall be submitted   456          

as a separate proposition but may be printed on the same ballot    457          

with any other proposition submitted at the same election, other   458          

than the election of officers.  More than one such question may    459          

be submitted at the same election.                                 460          

      (D)  A levy voted in excess of the ten-mill limitation       462          

under this section shall be certified to the tax commissioner.     463          

In the first year of such THE levy, it shall be extended on the    464          

tax lists after the February settlement succeeding such THE        466          

election.  If such THE additional tax is to be placed upon the     467          

tax list of the current year, as specified in the resolution       469          

providing for its submission, the result of the election shall be  470          

certified immediately after the canvass by the board of elections  471          

to the taxing authority, who shall forthwith make the necessary    472          

levy and certify it to the county auditor, who shall extend it on  473          

the tax lists for collection.  After the first year, the tax levy  474          

shall be included in the annual tax budget that is certified to    475          

the county budget commission.                                      476          

      Sec. 5748.02.  (A)  The board of education of any school     485          

district, except a joint vocational school district, may declare,  487          

                                                          12     


                                                                 
by resolution, the necessity of raising annually a specified       488          

amount of money for school district purposes.  A copy of the       489          

resolution shall be certified to the tax commissioner no later     490          

than eighty-five days prior to the date of the election at which   491          

the board intends to propose a levy under this section. Upon       492          

receipt of the copy of the resolution, the tax commissioner shall  493          

estimate both of the following:                                                 

      (1)  The property tax rate that would have to be imposed in  495          

the current year by the district to produce an equivalent amount   496          

of money;                                                          497          

      (2)  The income tax rate that would have had to have been    499          

in effect for the current year to produce an equivalent amount of  500          

money from a school district income tax.                           501          

      Within ten days of receiving the copy of the board's         503          

resolution, the commissioner shall prepare these estimates and     504          

certify them to the board.  Upon receipt of the certification,     505          

the board may adopt a resolution proposing an income tax under     506          

division (B) of this section at the estimated rate contained in    507          

the certification rounded to the nearest one-fourth of one per     508          

cent.  The commissioner's certification applies only to the        509          

board's proposal to levy an income tax at the election for which   510          

the board requested the certification.  If the board intends to    511          

submit a proposal to levy an income tax at any other election, it  512          

shall request another certification for that election in the       513          

manner prescribed in this division.                                514          

      (B)(1)  Upon the receipt of a certification from the tax     516          

commissioner under division (A) of this section, a majority of     517          

the members of a board of education may adopt a resolution         518          

proposing the levy of an annual tax for school district purposes   519          

on the school district income of individuals and of estates.  The  520          

proposed levy may be for a continuing period of time or for a      521          

specified number of years.  The resolution shall set forth the     522          

purpose for which the tax is to be imposed, the rate of the tax,   523          

which shall be the rate set forth in the commissioner's            524          

                                                          13     


                                                                 
certification rounded to the nearest one-fourth of one per cent,   525          

the number of years the tax will be levied or that it will be      526          

levied for a continuing period of time, the date on which the tax  527          

shall take effect, which shall be the first day of January of any  528          

year following the year in which the question is submitted, and    529          

the date of the election at which the proposal shall be submitted  530          

to the electors of the district, which shall be on the date of a   531          

primary, general, or special election the date of which is         532          

consistent with section 3501.01 of the Revised Code.  IF THE       534          

BOARD OF EDUCATION CURRENTLY IMPOSES AN INCOME TAX PURSUANT TO     535          

THIS CHAPTER THAT IS DUE TO EXPIRE AND A QUESTION IS SUBMITTED     536          

UNDER THIS SECTION FOR A PROPOSED INCOME TAX TO TAKE EFFECT UPON   537          

THE EXPIRATION OF THE EXISTING TAX, THE BOARD MAY SPECIFY IN THE   538          

RESOLUTION THAT THE PROPOSED TAX RENEWS THE EXPIRING TAX AND IS    539          

NOT AN ADDITIONAL INCOME TAX, PROVIDED THAT THE TAX RATE BEING     540          

PROPOSED IS NO HIGHER THAN THE TAX RATE THAT IS CURRENTLY                       

IMPOSED.                                                                        

      (2)  A board of education adopting a resolution under        542          

division (B)(1) of this section proposing a school district        543          

income tax for a continuing period of time and limited to the      544          

purpose of current expenses may propose in that resolution to      545          

reduce the rate or rates of one or more of the school district's   546          

property taxes levied for a continuing period of time in excess    547          

of the ten-mill limitation for the purpose of current expenses.    548          

The reduction in the rate of a property tax may be any amount,     549          

expressed in mills per one dollar in valuation, not exceeding the  550          

rate at which the tax is authorized to be levied.  The reduction   551          

in the rate of a tax shall first take effect for the tax year      552          

that includes the day on which the school district income tax      553          

first takes effect, and shall continue for each tax year that      554          

both the school district income tax and the property tax levy are  555          

in effect.                                                         556          

      In addition to the matters required to be set forth in the   558          

resolution under division (B)(1) of this section, a resolution     559          

                                                          14     


                                                                 
containing a proposal to reduce the rate of one or more property   560          

taxes shall state for each such tax the maximum rate at which it   561          

currently may be levied and the maximum rate at which the tax      562          

could be levied after the proposed reduction, expressed in mills   563          

per one dollar in valuation, and that the tax is levied for a      564          

continuing period of time.                                         565          

      If a board of education proposes to reduce the rate of one   567          

or more property taxes under division (B)(2) of this section, the  568          

board, when it makes the certification required under division     569          

(A) of this section, shall designate the specific levy or levies   570          

to be reduced, the maximum rate at which each levy currently is    571          

authorized to be levied, and the rate by which each levy is        572          

proposed to be reduced.  The tax commissioner, when making the     573          

certification to the board under division (A) of this section,     574          

also shall certify the reduction in the total effective tax rate   575          

for current expenses for each class of property that would have    576          

resulted if the proposed reduction in the rate or rates had been   577          

in effect the previous tax year.  As used in this paragraph,       578          

"effective tax rate" has the same meaning as in section 323.08 of  579          

the Revised Code.                                                  580          

      (C)  A resolution adopted under division (B) of this         582          

section shall go into immediate effect upon its passage, and no    583          

publication of the resolution shall be necessary other than that   584          

provided for in the notice of election.  Immediately after its     585          

adoption and at least seventy-five days prior to the election at   586          

which the question will appear on the ballot, a copy of the        587          

resolution shall be certified to the board of elections of the     588          

proper county, which shall submit the proposal to the electors on  589          

the date specified in the resolution.  The form of the ballot      590          

shall be as provided in section 5748.03 of the Revised Code.       591          

Publication of notice of the election shall be made in one or      592          

more newspapers of general circulation in the county once a week   593          

for four consecutive weeks.  The notice shall contain the time     594          

and place of the election and the question to be submitted to the  595          

                                                          15     


                                                                 
electors.  The question covered by the resolution shall be         596          

submitted as a separate proposition, but may be printed on the     597          

same ballot with any other proposition submitted at the same       598          

election, other than the election of officers.                     599          

      (D)  No board of education shall submit the question of a    601          

tax on school district income to the electors of the district      602          

more than twice in any calendar year.  If a board submits the      603          

question twice in any calendar year, one of the elections on the   604          

question shall be held on the date of the general election.        605          

      Sec. 5748.03.  The form of the ballot on a question          614          

submitted to the electors under section 5748.02 of the Revised     615          

Code shall be as follows:                                          616          

      "Shall an annual income tax of ....... (state the proposed   618          

rate of tax) on the school district income of individuals and of   619          

estates be imposed by ....... (state the name of the school        620          

district), for ....... (state the number of years the tax would    621          

be levied, or that it would be levied for a continuing period of   622          

time), beginning ....... (state the date the tax would first take  623          

effect), for the purpose of ...... (state the purpose of the       624          

tax)?                                                              625          

                                                                   627          

                        FOR THE TAX                                628          

                                                                   629          

                        AGAINST THE TAX                            630          

                                                        "          631          

      If the question submitted to electors PROPOSES TO RENEW AN   634          

EXPIRING INCOME TAX, THE BALLOT SHALL BE MODIFIED BY ADDING THE    635          

FOLLOWING LANGUAGE IMMEDIATELY AFTER THE NAME OF THE SCHOOL        636          

DISTRICT THAT WOULD IMPOSE THE TAX:  "TO RENEW AN INCOME TAX       637          

EXPIRING AT THE END OF ........ (STATE THE LAST YEAR THE EXISTING  638          

INCOME TAX MAY BE LEVIED)."                                                     

      IF THE QUESTION includes a proposal under division (B)(2)    641          

of section 5748.02 of the Revised Code to reduce the rate of one   642          

or more school district property taxes, the ballot shall state     643          

                                                          16     


                                                                 
that the purpose of the school district income tax is for current  644          

expenses, and the form of the ballot shall be modified by adding   645          

the following language immediately after the statement of the      646          

purpose of the proposed income tax:  ", and shall the rate of an   647          

existing tax on property, currently levied for the purpose of      648          

current expenses at the rate of ....... mills, be REDUCED to       649          

....... mills until any such time as the income tax is repealed."  650          

In lieu of "for the tax" and "against the tax," the phrases "for   651          

the issue" and "against the issue," respectively, shall be used.   652          

If a board of education proposes a reduction in the rates of more  653          

than one tax, the ballot language shall be modified accordingly    654          

to express the rates at which those taxes currently are levied     655          

and the rates to which the taxes will be reduced.                  656          

      The board of elections shall certify the results of the      658          

election to the board of education and to the tax commissioner.    659          

If a majority of the electors voting on the question vote in       660          

favor of it, the income tax, the applicable provisions of Chapter  661          

5747. of the Revised Code, and the reduction in the rate or rates  662          

of existing property taxes if the question included such a         663          

reduction shall take effect on the date specified in the           664          

resolution.  If the question approved by the voters includes a     665          

reduction in the rate of a school district property tax, the       666          

board of education shall not levy the tax at a rate greater than   667          

the rate to which the tax is reduced, unless the school district   668          

income tax is repealed in an election under section 5748.04 of     669          

the Revised Code.                                                  670          

      If the rate at which a property tax is levied and collected  672          

is reduced pursuant to a question approved under this section,     673          

the tax commissioner shall compute the percentage required to be   674          

computed for that tax under division (D) of section 319.301 of     675          

the Revised Code each year the rate is reduced as if the tax had   676          

been levied in the preceding year at the rate at which it has      677          

been reduced.  If the rate of a property tax increases due to the  678          

repeal of the school district income tax pursuant to section       679          

                                                          17     


                                                                 
5748.04 of the Revised Code, the tax commissioner, for the first   680          

year for which the rate increases, shall compute the percentage    681          

as if the tax in the preceding year had been levied at the rate    682          

at which the tax was authorized to be levied prior to any rate     683          

reduction.                                                         684          

      Section 2.  That existing sections 5705.194, 5705.197,       686          

5705.21, 5705.25, 5748.02, and 5748.03 of the Revised Code are     688          

hereby repealed.                                                   689