As Passed by the House*                       1            

123rd General Assembly                                             4            

   Regular Session                       Am. Sub. H. B. No. 282    5            

      1999-2000                                                    6            


     REPRESENTATIVES THOMAS-JONES-CORE-METZGER-PERZ-AMSTUTZ-       8            

    CORBIN-GOODMAN-HOOPS-KREBS-O'BRIEN-VESPER-WOMER BENJAMIN-      9            

    BARRETT-BOYD-R.MILLER-OPFER-ROBERTS-COUGHLIN-HARRIS-EVANS      10           


_________________________________________________________________   11           

                          A   B I L L                                           

             To amend sections 9.90, 125.05, 3301.80, 3301.801,    13           

                3302.01, 3302.02, 3302.07, 3311.213, 3313.603,     14           

                3313.608, 3314.02, 3314.03, 3314.05, 3314.06,      16           

                3314.08, 3314.09, 3314.11, 3314.12, 3314.13,                    

                3315.17, 3316.05, 3316.06, 3317.01, 3317.02,       17           

                3317.022, 3317.023, 3317.024, 3317.029,            18           

                3317.0212, 3317.0213, 3317.0216, 3317.03,          19           

                3317.033, 3317.05, 3317.051, 3317.06, 3317.162,    22           

                3317.51, 3318.01, 3318.011, 3318.05, 3318.06,      23           

                3318.08, 3318.081, 3318.082, 3318.13, 3318.14,     25           

                3318.15, 3318.16, 3318.17, 3318.18, 3318.21,                    

                3318.25, 3318.26, 3318.29, 3318.31, 3318.35,       26           

                3319.22, 3319.235, 3332.05, 3332.07, 3333.04,      27           

                3333.12, 3333.27, 3345.22, 3770.01, 3770.06,                    

                4117.101, 5705.29, 5705.412, 5747.01, 5910.032,    28           

                and 5919.34; to enact new section 3317.16 and      30           

                sections 3301.0726, 3314.011, 3314.021, 3314.071,  31           

                3314.15, 3317.014, 3318.021, 3318.032, 3318.083,                

                3318.33, 3318.36, and 3324.01 to 3324.06; and to   33           

                repeal sections 3313.21, 3317.0214, 3317.053,      34           

                3317.16, 3318.23, 3318.24, and 3318.27 of the      35           

                Revised Code and to amend Section 45.32 of Am.     36           

                Sub. H.B. 117 of the 121st General Assembly, as    37           

                subsequently amended; to amend Section 50.52.2 of  38           

                Am. Sub. H.B. 215 of the 122nd General Assembly;   39           

                to amend Section 18 of Am. Sub. H.B. 650 of the                 

                                                          2      


                                                                 
                122nd General Assembly, as subsequently amended;   40           

                to amend Sections 6, 26, 30.07, 30.10, 30.43, and  41           

                31 of Am. Sub. H.B. 850 of the 122nd General       42           

                Assembly; to repeal Sections 50.52.1, 50.52.3,                  

                50.52.6, 50.52.8, 50.52.11, and 50.52.13 of Am.    43           

                Sub. H.B. 215 of the 122nd General Assembly; and                

                to repeal Sections 50.52.4, 50.52.5, 50.52.7,      44           

                50.52.9, and 50.52.10 of Am. Sub. H.B. 215 of the  45           

                122nd General Assembly, as subsequently amended,                

                to make appropriations for education programs for  46           

                the biennium beginning July 1, 1999, and ending    47           

                June 30, 2001, and to provide authorization and                 

                conditions for the operation of those programs.    48           




BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        50           

      Section 1.  That sections 9.90, 125.05, 3301.80, 3301.801,   52           

3302.01, 3302.02, 3302.07, 3311.213, 3313.603, 3313.608, 3314.02,  54           

3314.03, 3314.05, 3314.06, 3314.08, 3314.09, 3314.11, 3314.12,     55           

3314.13, 3315.17, 3316.05, 3316.06, 3317.01, 3317.02, 3317.022,    56           

3317.023, 3317.024, 3317.029, 3317.0212, 3317.0213, 3317.0216,     57           

3317.03, 3317.033, 3317.05, 3317.051, 3317.06, 3317.162, 3317.51,  58           

3318.01, 3318.011, 3318.05, 3318.06, 3318.08, 3318.081, 3318.082,  59           

3318.13, 3318.14, 3318.15, 3318.16, 3318.17, 3318.18, 3318.21,     60           

3318.25, 3318.26, 3318.29, 3318.31, 3318.35, 3319.22, 3319.235,    61           

3332.05, 3332.07, 3333.04, 3333.12, 3333.27, 3345.22, 3770.01,     62           

3770.06, 4117.101, 5705.29, 5705.412, 5747.01, 5910.032, and       64           

5919.34 be amended and new section 3317.16 and sections                         

3301.0726, 3314.011, 3314.021, 3314.071, 3314.15, 3317.014,        65           

3318.021, 3318.032, 3318.083, 3318.33, 3318.36, 3324.01, 3324.02,  67           

3324.03, 3324.04, 3324.05, and 3324.06 of the Revised Code be      69           

enacted to read as follows:                                        70           

      Sec. 9.90.  (A)  The governing board of any public           79           

institution of higher education, including without limitation      80           

                                                          3      


                                                                 
state universities and colleges, community college districts,      81           

university branch districts, technical college districts, and      82           

municipal universities, or the board of education of any school    83           

district, may, in addition to all other powers provided in the     84           

Revised Code:                                                      85           

      (1)  Contract for, purchase, or otherwise procure from an    87           

insurer or insurers licensed to do business by the state of Ohio   88           

for or on behalf of such of its employees as it may determine,     89           

life insurance, or sickness, accident, annuity, endowment,         90           

health, medical, hospital, dental, or surgical coverage and        91           

benefits, or any combination thereof, by means of insurance plans  92           

or other types of coverage, family, group or otherwise, and may    93           

pay from funds under its control and available for such purpose    94           

all or any portion of the cost, premium, or charge therefor; FOR   96           

SUCH INSURANCE, COVERAGE, OR BENEFITS.  HOWEVER, THE GOVERNING                  

BOARD, IN ADDITION TO OR AS AN ALTERNATIVE TO THE AUTHORITY        97           

OTHERWISE GRANTED BY DIVISION (A)(1) OF THIS SECTION, MAY ELECT    98           

TO PROCURE COVERAGE FOR HEALTH CARE SERVICES, FOR OR ON BEHALF OF  99           

SUCH OF ITS EMPLOYEES AS IT MAY DETERMINE, BY MEANS OF POLICIES,   100          

CONTRACTS, CERTIFICATES, OR AGREEMENTS ISSUED BY AT LEAST TWO      101          

HEALTH INSURING CORPORATIONS HOLDING A CERTIFICATE OF AUTHORITY    102          

UNDER CHAPTER 1751. OF THE REVISED CODE AND MAY PAY FROM FUNDS     104          

UNDER THE GOVERNING BOARD'S CONTROL AND AVAILABLE FOR SUCH         105          

PURPOSE ALL OR ANY PORTION OF THE COST OF SUCH COVERAGE.           106          

      (2)  Make payments to a custodial account for investment in  108          

regulated investment company stock for the purpose of providing    109          

retirement benefits as described in section 403(b)(7) of the       110          

Internal Revenue Code of 1954, as amended.  Such stock shall be    111          

purchased only from persons authorized to sell such stock in this  112          

state.                                                             113          

      Any income of an employee deferred under divisions (A)(1)    115          

and (2) of this section in a deferred compensation program         116          

eligible for favorable tax treatment under the Internal Revenue    117          

Code of 1954, as amended, shall continue to be included as         118          

                                                          4      


                                                                 
regular compensation for the purpose of computing the              119          

contributions to and benefits from the retirement system of such   120          

employee.  Any sum so deferred shall not be included in the        121          

computation of any federal and state income taxes withheld on      122          

behalf of any such employee.                                       123          

      (B)  All or any portion of the cost, premium, or charge      125          

therefor may be paid in such other manner or combination of        126          

manners as the governing board or the school board may determine,  127          

including direct payment by the employee in cases under division   128          

(A)(1) of this section, and, if authorized in writing by the       129          

employee in cases under division (A)(1) or (2) of this section,    130          

by such governing board or school board with moneys made           131          

available by deduction from or reduction in salary or wages or by  132          

the foregoing of a salary or wage increase.  Division (B)(7) of    133          

section 3917.01 and the last paragraph of section 3917.06 of the   134          

Revised Code shall not prohibit the issuance or purchase of group  135          

life insurance authorized by this section by reason of payment of  136          

premiums therefor by the governing board or the school board from  137          

its funds, and such group life insurance may be so issued and      138          

purchased if otherwise consistent with the provisions of sections  139          

3917.01 to 3917.07 of the Revised Code.                            140          

      Sec. 125.05.  Except as provided in division (E) of this     149          

section, no state agency shall purchase any supplies or services   151          

except as provided in divisions (A) to (C) of this section.                     

      (A)  Subject to division (D) of this section, a state        153          

agency may, without competitive selection, make any purchase of    154          

services that cost fifty thousand dollars or less or any purchase  155          

of supplies that cost twenty-five thousand dollars or less.  The   156          

agency may make the purchase directly or may make the purchase     157          

from or through the department of administrative services,                      

whichever the agency determines.  The department shall establish   160          

written procedures to assist state agencies when they make direct  162          

purchases.  If the agency makes the purchase directly, it shall    163          

make the purchase by a term contract whenever possible.                         

                                                          5      


                                                                 
      (B)  Subject to division (D) of this section, a state        165          

agency wanting to purchase services that cost more than fifty      167          

thousand dollars or supplies that cost more than twenty-five       168          

thousand dollars shall, unless otherwise authorized by law, make                

the purchase from or through the department.  The department       169          

shall make the purchase by competitive selection under section     170          

125.07 of the Revised Code.  If the director of administrative     171          

services determines that it is not possible or not advantageous    172          

to the state for the department to make the purchase, the          173          

department shall grant the agency a release and permit under                    

section 125.06 of the Revised Code to make the purchase.  Section  174          

127.16 of the Revised Code does not apply to purchases the         175          

department makes under this section.                               176          

      (C)  An agency that has been granted a release and permit    178          

to make a purchase may make the purchase without competitive       179          

selection if after making the purchase the cumulative purchase     180          

threshold as computed under division (F) of section 127.16 of the  181          

Revised Code would:                                                             

      (1)  Be exceeded and the controlling board approves the      183          

purchase;                                                                       

      (2)  Not be exceeded and the department of administrative    185          

services approves the purchase.                                    186          

      (D)  Not later than January 31, 1997, the amounts specified  189          

in divisions (A) and (B) of this section and, not later than the   190          

thirty-first day of January of each second year thereafter, any    191          

amounts computed by adjustments made under this division, shall    192          

be increased or decreased by the average percentage increase or                 

decrease in the consumer price index prepared by the United        193          

States bureau of labor statistics (U.S. City Average for Urban     195          

Wage Earners and Clerical Workers:  "All Items 1982-1984=100")     196          

for the twenty-four calendar month period prior to the                          

immediately preceding first day of January over the immediately    197          

preceding twenty-four calendar month period, as reported by the    198          

bureau.  The director of administrative services shall make this   199          

                                                          6      


                                                                 
determination and adjust the appropriate amounts accordingly.      200          

      (E)  If the office of information, learning, and technology  202          

services; OHIO SCHOOLNET COMMISSION, the department of             204          

education;, or the Ohio education computer network determines      206          

that it can purchase software services or supplies for specified   207          

school districts at a price less than the price for which the                   

districts could purchase the same software services or supplies    208          

for themselves, the office, department, or network shall certify   209          

that fact to the department of administrative services and,        210          

acting as an agent for the specified school districts, shall make  211          

that purchase without following the provisions in divisions (A)    212          

through TO (D) of this section.                                                 

      Sec. 3301.0726.  THE DEPARTMENT OF EDUCATION SHALL DEVELOP   214          

A PACKET OF HIGH SCHOOL INSTRUCTIONAL MATERIALS ON PERSONAL        215          

FINANCIAL RESPONSIBILITY, INCLUDING INSTRUCTIONAL MATERIALS ON     216          

THE AVOIDANCE OF CREDIT CARD ABUSE, AND SHALL DISTRIBUTE THAT      217          

PACKET TO ALL SCHOOL DISTRICTS.  THE BOARD OF EDUCATION OF ANY     218          

SCHOOL DISTRICT MAY ADOPT PART OR ALL OF THE MATERIALS INCLUDED    219          

IN THE PACKET FOR INCORPORATION INTO THE DISTRICT'S CURRICULUM.    220          

      Sec. 3301.80.  (A)  There is hereby created the Ohio         229          

SchoolNet commission consisting AS AN INDEPENDENT AGENCY.  THE     233          

COMMISSION SHALL ADMINISTER PROGRAMS TO PROVIDE FINANCIAL AND      234          

OTHER ASSISTANCE TO SCHOOL DISTRICTS AND OTHER EDUCATIONAL         235          

INSTITUTIONS FOR THE ACQUISITION AND UTILIZATION OF EDUCATIONAL    236          

TECHNOLOGY.                                                                     

      THE COMMISSION IS A BODY CORPORATE AND POLITIC, AN AGENCY    238          

OF THE STATE PERFORMING ESSENTIAL GOVERNMENTAL FUNCTIONS OF THE    239          

STATE.                                                                          

      (B)(1)  THE COMMISSION SHALL CONSIST of eleven members,      242          

seven of whom are voting members.  Of the voting members, one      244          

shall be appointed by the speaker of the house of representatives  245          

and one shall be appointed by the president of the senate.  The    246          

members appointed by the speaker of the house and the president    247          

of the senate shall not be members of the general assembly.  The                

                                                          7      


                                                                 
state superintendent of public instruction or a designee of the    248          

superintendent, the director of the office of budget and           249          

management or a designee of the director, the director of          251          

administrative services or a designee of the director, the         252          

chairperson of the public utilities commission or a designee of                 

the chairperson, and the director of the Ohio educational          253          

telecommunications network commission or a designee of the         254          

director shall serve on the commission as ex officio voting        256          

members.  Of the nonvoting members, two shall be members of the    257          

house of representatives appointed by the speaker of the house of               

representatives and two shall be members of the senate appointed   258          

by the president of the senate.  The members appointed from each   259          

house shall not be members of the same political party.            260          

      (2)  THE MEMBERS SHALL SERVE WITHOUT COMPENSATION.  THE      262          

VOTING MEMBERS APPOINTED BY THE SPEAKER OF THE HOUSE OF            263          

REPRESENTATIVES AND THE PRESIDENT OF THE SENATE SHALL BE           264          

REIMBURSED, PURSUANT TO OFFICE OF BUDGET AND MANAGEMENT            265          

GUIDELINES, FOR NECESSARY EXPENSES INCURRED IN THE PERFORMANCE OF  266          

OFFICIAL DUTIES.                                                                

      (3)  The terms of office for the members appointed by the    268          

speaker of the house and the president of the senate shall be for  270          

two years, with each term ending on the same day of the same       271          

month as did the term that it succeeds.  The members appointed by  272          

the speaker of the house and the president of the senate may be    273          

reappointed.  Any member appointed from the house of               274          

representatives or senate who ceases to be a member of the         275          

legislative house from which the member was appointed shall cease  276          

to be a member of the committee COMMISSION.  Vacancies among       277          

appointed members shall be filled in the manner provided for       278          

original appointments.  Any member appointed to fill a vacancy     279          

occurring prior to the expiration date of the term for which a     280          

predecessor was appointed shall hold office as a member for the                 

remainder of that term.  The members appointed by the speaker of   282          

the house and the president of the senate shall continue in        283          

                                                          8      


                                                                 
office subsequent to the expiration date of that member's term     284          

until a successor takes office or until a period of sixty days                  

has elapsed, whichever occurs first.                               285          

      The Ohio SchoolNet commission shall monitor and oversee the  289          

operations of, and programs administered by, the Ohio SchoolNet    291          

office established under division (B) of this section.  In         292          

addition, the commission may develop and issue policies and        293          

directives to be followed by the Ohio SchoolNet office in          295          

implementing the programs under its jurisdiction.                  296          

      (B)  The Ohio SchoolNet office is hereby established as an   299          

independent agency. (C)(1)  The office COMMISSION shall be under   300          

the supervision of a AN EXECUTIVE director who shall be appointed  302          

by the Ohio SchoolNet commission.  The EXECUTIVE director shall    304          

serve at the pleasure of the commission and shall direct the       306          

office COMMISSION EMPLOYEES in the administration of all programs  308          

for the provision of financial and other assistance to school      309          

districts and other educational institutions for the acquisition   310          

and utilization of educational technology.  The                                 

      (2)  THE EMPLOYEES OF THE OHIO SCHOOLNET COMMISSION SHALL    313          

BE PLACED IN THE UNCLASSIFIED SERVICE.  THE COMMISSION SHALL FIX   314          

THE COMPENSATION OF THE EXECUTIVE DIRECTOR.  THE EXECUTIVE         315          

DIRECTOR SHALL EMPLOY AND FIX THE COMPENSATION FOR SUCH EMPLOYEES  316          

AS NECESSARY TO FACILITATE THE ACTIVITIES AND PURPOSES OF THE      317          

COMMISSION.  THE EMPLOYEES SHALL SERVE AT THE PLEASURE OF THE      318          

EXECUTIVE DIRECTOR.                                                             

      (3)  THE EMPLOYEES OF THE OHIO SCHOOLNET COMMISSION SHALL    321          

BE EXEMPT FROM CHAPTER 4117. OF THE REVISED CODE AND SHALL NOT BE  323          

PUBLIC EMPLOYEES AS DEFINED IN SECTION 4117.01 OF THE REVISED      325          

CODE.                                                                           

      (D)  THE Ohio SchoolNet office COMMISSION shall do all of    328          

the following:                                                     329          

      (1)  Make grants to institutions and other organizations as  331          

prescribed by the general assembly for the provision of technical  332          

assistance, professional development, and other support services   333          

                                                          9      


                                                                 
to enable school districts, COMMUNITY SCHOOLS ESTABLISHED UNDER    334          

CHAPTER 3314. OF THE REVISED CODE, and other educational           336          

institutions to utilize educational technology;                                 

      (2)  Contract with the department of education, state        338          

institutions of higher education, private nonprofit institutions   339          

of higher education holding certificates of authorization under    340          

section 1713.02 of the Revised Code, and such other public or      341          

private entities, and employ such persons as the EXECUTIVE         342          

director of the office deems necessary for the administration and  343          

implementation of the programs under the office's COMMISSION'S     345          

jurisdiction;                                                                   

      (3)  Establish a reporting system to which school            347          

districts, COMMUNITY SCHOOLS ESTABLISHED UNDER CHAPTER 3314. OF    348          

THE REVISED CODE, and other educational institutions receiving     350          

financial assistance pursuant to this section for the acquisition  351          

of educational technology report information as to the manner in   352          

which such assistance was expended, the manner in which the                     

equipment or services purchased with the assistance is being       353          

utilized, the results or outcome of this utilization, and other    354          

information as may be required by the office COMMISSION;           355          

      (4)  Establish necessary guidelines governing purchasing     357          

and procurement by participants in programs administered by the    358          

office COMMISSION that facilitate the timely and effective         360          

implementation of such programs;                                                

      (5)  Implement TAKE INTO CONSIDERATION THE EFFICIENCY AND    362          

COST SAVINGS OF STATEWIDE PROCUREMENT PRIOR TO ALLOCATING AND      364          

RELEASING FUNDS FOR ANY PROGRAMS UNDER ITS ADMINISTRATION.         365          

      (E)(1)  THE EXECUTIVE DIRECTOR SHALL IMPLEMENT policies and  368          

directives issued by the Ohio SchoolNet commission established     371          

under division (A) of this section.                                             

      (2)  The Ohio SchoolNet office COMMISSION may establish a    374          

systems support network to facilitate the timely implementation    375          

of the programs, projects, or activities for which it provides     376          

assistance.                                                                     

                                                          10     


                                                                 
      (3)  Chapters 123., 124., 125., and 153., and sections       378          

9.331, 9.332, and 9.333 of the Revised Code do not apply to        379          

contracts, programs, projects, or activities of the Ohio           381          

SchoolNet commission or Ohio SchoolNet office.                     382          

      For purposes of exercising collective bargaining rights      384          

under Chapter 4117. of the Revised Code, the employees of the      386          

Ohio SchoolNet office shall be placed in a bargaining unit         389          

separate from any other unit containing employees of the state.    390          

      Sec. 3301.801.  The office of information, learning, and     399          

technology services OHIO SCHOOLNET COMMISSION shall create and     401          

maintain a clearinghouse for classroom teachers, INCLUDING ANY     402          

CLASSROOM TEACHERS EMPLOYED BY COMMUNITY SCHOOLS ESTABLISHED       403          

UNDER CHAPTER 3314. OF THE REVISED CODE, to easily obtain lesson   404          

plans and materials and other practical resources for use in       405          

classroom teaching.  The office COMMISSION shall develop a method  406          

of obtaining submissions, from classroom teachers and others, of   408          

such plans, materials, and other resources that have been used in  409          

the classroom and that can be readily used and implemented by      410          

classroom teachers in their regular teaching activities.  The      411          

office COMMISSION also shall develop methods of informing          412          

classroom teachers of both the availability of such plans,         414          

materials, and other resources, and of the opportunity to submit   415          

such plans, materials, and other resources and other classroom     416          

teaching ideas to the clearinghouse.                               417          

      The office COMMISSION shall periodically report to the       419          

speaker and minority leader of the house of representatives, the   421          

president and minority leader of the senate, and the chairpersons  422          

and ranking minority members of the education committees of the    423          

senate and the house of representatives regarding the                           

clearinghouse and make recommendations for changes in state law    424          

or administrative rules that may facilitate the usefulness of the  425          

clearinghouse.                                                                  

      Sec. 3302.01.  As used in this chapter:                      434          

      (A)  "Dropout rate" means one minus the graduation rate A    436          

                                                          11     


                                                                 
STUDENT WHO WITHDRAWS FROM SCHOOL BEFORE COMPLETING COURSE         437          

REQUIREMENTS FOR GRADUATION AND WHO IS NOT ENROLLED IN AN          438          

EDUCATION PROGRAM APPROVED BY THE STATE BOARD OF EDUCATION OR AN   439          

EDUCATION PROGRAM OUTSIDE THE STATE.  "DROPOUT" DOES NOT INCLUDE   440          

A STUDENT WHO HAS DEPARTED THE COUNTRY.                                         

      (B)  "Graduation rate" means a calculation of the per cent   442          

PERCENTAGE of ninth grade students who graduate by the end of the  444          

summer following their twelfth grade year.  The graduation rate    445          

is the ratio of the students entering ninth grade to the number    446          

of those students receiving a diploma TO THE NUMBER OF STUDENTS    447          

WHO ENTERED NINTH GRADE four years later EARLIER. Students who     449          

transfer into the district are added to the calculation.                        

Students who transfer out of the district for reasons other than   450          

dropout are subtracted from the calculation.  Students who do not  452          

graduate WITHIN FOUR YEARS but who continue their high school                   

education in the following year in the same school district are    454          

removed from the calculation for that THE year IN WHICH THEY       455          

WOULD HAVE GRADUATED and are added to the calculation for the      457          

subsequent year FOLLOWING YEAR'S GRADUATING CLASS AS IF THE        458          

STUDENT HAD ENTERED NINTH GRADE FOUR YEARS BEFORE THE INTENDED                  

GRADUATION DATE OF THAT CLASS.  IN EACH SUBSEQUENT YEAR THAT SUCH  459          

STUDENTS DO NOT GRADUATE BUT CONTINUE THEIR HIGH SCHOOL EDUCATION  460          

UNINTERRUPTED IN THE SAME SCHOOL DISTRICT, SUCH STUDENTS SHALL BE  461          

REASSIGNED TO THE DISTRICT'S GRADUATION RATE FOR THAT YEAR BY      462          

ASSUMING THAT THE STUDENTS ENTERED NINTH GRADE FOUR YEARS BEFORE   463          

THE DATE OF THE INTENDED GRADUATION.  IF A STUDENT WHO WAS A       464          

DROPOUT IN ANY PREVIOUS YEAR RETURNS TO THE SAME SCHOOL DISTRICT,               

THAT STUDENT SHALL BE ENTERED INTO THE CALCULATION AS IF THE       465          

STUDENT HAD ENTERED NINTH GRADE FOUR YEARS BEFORE THE GRADUATION   466          

YEAR OF THE GRADUATING CLASS THAT THE STUDENT JOINS.               467          

      (C)  "Attendance rate" means the ratio of the number of      469          

students actually in attendance over the course of a school year   470          

to the number of students who were required to be in attendance    471          

that school year, as calculated pursuant to rules of the           472          

                                                          12     


                                                                 
superintendent of public instruction.                              473          

      (D)  "Three-year average" means the average of the most      475          

recent consecutive three years of data.                            476          

      (E)  "Required level of improvement" means at least one      479          

standard unit of improvement on at least the percentage of         480          

performance standards required to demonstrate overall              481          

improvement, in accordance with the rule approved under division   482          

(A) of section 3302.04 of the Revised Code.                        483          

      Sec. 3302.02.  The following are the expected state          492          

performance standards for school districts:                        493          

      (A)  A three NINETY per cent dropout GRADUATION rate;        496          

      (B)  At least seventy-five per cent of fourth graders        498          

proficient on the mathematics test prescribed by division (A)(1)   499          

of section 3301.0710 of the Revised Code;                          500          

      (C)  At least seventy-five per cent of fourth graders        502          

proficient on the reading test prescribed by division (A)(1) of    503          

section 3301.0710 of the Revised Code;                             504          

      (D)  At least seventy-five per cent of fourth graders        506          

proficient on the writing test prescribed by division (A)(1) of    507          

section 3301.0710 of the Revised Code;                             508          

      (E)  At least seventy-five per cent of fourth graders        510          

proficient on the citizenship test prescribed by division (A)(1)   511          

of section 3301.0710 of the Revised Code;                          512          

      (F)  At least seventy-five per cent of ninth graders         514          

proficient on the mathematics test prescribed by division (B) of   515          

section 3301.0710 of the Revised Code;                             516          

      (G)  At least seventy-five per cent of ninth graders         518          

proficient on the reading test prescribed by division (B) of       519          

section 3301.0710 of the Revised Code;                             520          

      (H)  At least seventy-five per cent of ninth graders         522          

proficient on the writing test prescribed by division (B) of       523          

section 3301.0710 of the Revised Code;                             524          

      (I)  At least seventy-five per cent of ninth graders         526          

proficient on the citizenship test prescribed by division (B) of   527          

                                                          13     


                                                                 
section 3301.0710 of the Revised Code;                             528          

      (J)  At least eighty-five per cent of tenth graders          530          

proficient on the mathematics test prescribed by division (B) of   531          

section 3301.0710 of the Revised Code;                             532          

      (K)  At least eighty-five per cent of tenth graders          534          

proficient on the reading test prescribed by division (B) of       535          

section 3301.0710 of the Revised Code;                             536          

      (L)  At least eighty-five per cent of tenth graders          538          

proficient on the writing test prescribed by division (B) of       539          

section 3301.0710 of the Revised Code;                             540          

      (M)  At least eighty-five per cent of tenth graders          542          

proficient on the citizenship test prescribed by division (B) of   543          

section 3301.0710 of the Revised Code;                             544          

      (N)  At least sixty per cent of twelfth graders proficient   546          

on the mathematics test prescribed by division (A)(3) of section   547          

3301.0710 of the Revised Code;                                     548          

      (O)  At least sixty per cent of twelfth graders proficient   550          

on the reading test prescribed by division (A)(3) of section       551          

3301.0710 of the Revised Code;                                     552          

      (P)  At least sixty per cent of twelfth graders proficient   554          

on the writing test prescribed by division (A)(3) of section       555          

3301.0710 of the Revised Code;                                     556          

      (Q)  At least sixty per cent of twelfth graders proficient   558          

on the citizenship test prescribed by division (A)(3) of section   559          

3301.0710 of the Revised Code;                                     560          

      (R)  At least a ninety-three per cent attendance rate.       563          

      When sufficient data concerning the tests given pursuant to  566          

division (A)(2) of section 3301.0710 of the Revised Code and the   568          

science tests given pursuant to divisions (A)(1), (3), and (B) of  569          

section 3301.0710 of the Revised Code are available for the        571          

department of education  to establish performance standards for    573          

those tests, the department shall recommend a rule adding          575          

standards to reflect these additional tests.  The department       576          

shall also recommend a rule when necessary to allow for the        578          

                                                          14     


                                                                 
phasing out of the ninth grade proficiency test and its            579          

replacement with a high school proficiency test pursuant to        580          

section 3301.0710 of the Revised Code as amended by this act       581          

AMENDED SUBSTITUTE SENATE BILL NO. 55 OF THE 122nd GENERAL         583          

ASSEMBLY.  The rules shall not recommend any standard be           585          

established for passage of the fourth grade reading test that is   586          

solely based on the test given in the fall for the purpose of                   

determining whether students have met the fourth grade guarantee   588          

provisions of section 3313.608 of the Revised Code.                589          

      Rules recommended by the department under this section       592          

shall not take effect unless approved by joint resolution of the   593          

general assembly.                                                               

      Sec. 3302.07.  (A)  The board of education of any school     602          

district or, the governing board of any educational service        603          

center, OR THE ADMINISTRATIVE AUTHORITY OF ANY CHARTERED           604          

NONPUBLIC SCHOOL may submit to the state board of education an     605          

application proposing an innovative education pilot program the    606          

implementation of which requires exemptions from specific          607          

statutory provisions or rules.  If a district or service center    608          

board employs teachers under a collective bargaining agreement     609          

adopted pursuant to Chapter 4117. of the Revised Code, any         610          

application submitted under this division shall include the        611          

written consent of the teachers' employee representative           612          

designated under division (B) of section 4117.04 of the Revised    613          

Code.  The exemptions requested in the application shall be        614          

limited to any requirement of Title XXXIII of the Revised Code or  615          

of any rule of the state board adopted pursuant to that title      616          

except that the application may not propose an exemption from any  617          

requirement of or rule adopted pursuant to Chapter 3307. or        618          

3309., sections 3319.07 to 3319.21, or Chapter 3323. of the        619          

Revised Code.                                                                   

      (B)  The state board of education shall accept any           621          

application submitted in accordance with division (A) of this      622          

section.  The superintendent of public instruction shall approve   623          

                                                          15     


                                                                 
or disapprove the application in accordance with standards for     625          

approval, which shall be adopted by the state board.                            

      (C)  The superintendent of public instruction shall exempt   627          

each district or service center board OR CHARTERED NONPUBLIC       628          

SCHOOL ADMINISTRATIVE AUTHORITY with an application approved       629          

under division (B) of this section for a specified period from     631          

the statutory provisions or rules specified in the approved        632          

application.  The period of exemption shall not exceed the period  633          

during which the pilot program proposed in the application is      634          

being implemented and a reasonable period to allow for evaluation  635          

of the effectiveness of the program.                               636          

      Sec. 3311.213.  (A)   With the approval of the board of      645          

education of a joint vocational school district which is in        646          

existence, any school district in the county or counties           647          

comprising the joint vocational school district or any school      648          

district in a county adjacent to a county comprising part of a     649          

joint vocational school district may become a part of the joint    650          

vocational school district.  On the adoption of a resolution of    651          

approval by the board of education of the joint vocational school  652          

district, it shall advertise a copy of such resolution in a        653          

newspaper of general circulation in the school district proposing  654          

to become a part of such joint vocational school district once     655          

each week for at least two weeks immediately following the date    656          

of the adoption of such resolution.  Such resolution shall NOT     657          

become legally effective on UNTIL the sixtieth LATER OF THE        658          

SIXTY-FIRST day after its adoption unless prior to the expiration  660          

of such sixty-day period qualified electors residing in the        661          

school district proposed to become a part of the joint vocational  662          

school district equal in number to a majority of the qualified     663          

electors voting at the last general election file with such board  664          

of education a petition of remonstrance against such transfer OR   665          

UNTIL THE BOARD OF ELECTIONS CERTIFIES THE RESULTS OF AN ELECTION  666          

IN FAVOR OF JOINING OF THE SCHOOL DISTRICT TO THE JOINT                         

VOCATIONAL SCHOOL DISTRICT IF SUCH AN ELECTION IS HELD UNDER       667          

                                                          16     


                                                                 
DIVISION (B) OF THIS SECTION.                                      668          

      (B)  DURING THE SIXTY-DAY PERIOD FOLLOWING THE DATE OF THE   671          

ADOPTION OF A RESOLUTION TO JOIN A SCHOOL DISTRICT TO A JOINT      673          

VOCATIONAL SCHOOL DISTRICT UNDER DIVISION (A) OF THIS SECTION,     674          

THE ELECTORS OF THE SCHOOL DISTRICT THAT PROPOSES JOINING THE      676          

JOINT VOCATIONAL SCHOOL DISTRICT MAY PETITION FOR A REFERENDUM     677          

VOTE ON THE RESOLUTION.  THE QUESTION WHETHER TO APPROVE OR        678          

DISAPPROVE THE RESOLUTION SHALL BE SUBMITTED TO THE ELECTORS OF    679          

SUCH SCHOOL DISTRICT IF A NUMBER OF QUALIFIED ELECTORS EQUAL TO    680          

TWENTY PER CENT OF THE NUMBER OF ELECTORS IN THE SCHOOL DISTRICT   681          

WHO VOTED FOR THE OFFICE OF GOVERNOR AT THE MOST RECENT GENERAL    682          

ELECTION FOR THAT OFFICE SIGN A PETITION ASKING THAT THE QUESTION  683          

OF WHETHER THE RESOLUTION SHALL BE DISAPPROVED BE SUBMITTED TO     684          

THE ELECTORS.  THE PETITION SHALL BE FILED WITH THE BOARD OF       685          

ELECTIONS OF THE COUNTY IN WHICH THE SCHOOL DISTRICT IS LOCATED.   686          

IF THE SCHOOL DISTRICT IS LOCATED IN MORE THAN ONE COUNTY, THE     688          

PETITION SHALL BE FILED WITH THE BOARD OF ELECTIONS OF THE COUNTY  689          

IN WHICH THE MAJORITY OF THE TERRITORY OF THE SCHOOL DISTRICT IS   690          

LOCATED.  THE BOARD SHALL CERTIFY THE VALIDITY AND SUFFICIENCY OF  692          

THE SIGNATURES ON THE PETITION.                                    693          

      THE BOARD OF ELECTIONS SHALL IMMEDIATELY NOTIFY THE BOARD    696          

OF EDUCATION OF THE JOINT VOCATIONAL SCHOOL DISTRICT AND THE       697          

BOARD OF EDUCATION OF THE SCHOOL DISTRICT THAT PROPOSES JOINING    698          

THE JOINT VOCATIONAL SCHOOL DISTRICT THAT THE PETITION HAS BEEN    699          

FILED.                                                                          

      THE EFFECT OF THE RESOLUTION SHALL BE STAYED UNTIL THE       701          

BOARD OF ELECTIONS CERTIFIES THE VALIDITY AND SUFFICIENCY OF THE   702          

SIGNATURES ON THE PETITION.  IF THE BOARD OF ELECTIONS DETERMINES  704          

THAT THE PETITION DOES NOT CONTAIN A SUFFICIENT NUMBER OF VALID    705          

SIGNATURES AND SIXTY DAYS HAVE PASSED SINCE THE ADOPTION OF THE    706          

RESOLUTION, THE RESOLUTION SHALL BECOME EFFECTIVE.                 707          

      IF THE BOARD OF ELECTIONS CERTIFIES THAT THE PETITION        709          

CONTAINS A SUFFICIENT NUMBER OF VALID SIGNATURES, THE BOARD SHALL  711          

SUBMIT THE QUESTION TO THE QUALIFIED ELECTORS OF THE SCHOOL        712          

                                                          17     


                                                                 
DISTRICT ON THE DAY OF THE NEXT GENERAL OR PRIMARY ELECTION HELD   715          

AT LEAST SEVENTY-FIVE DAYS AFTER BUT NO LATER THAN SIX MONTHS      716          

AFTER THE BOARD OF ELECTIONS CERTIFIES THE VALIDITY AND            717          

SUFFICIENCY OF SIGNATURES ON THE PETITION.  IF THERE IS NO         718          

GENERAL OR PRIMARY ELECTION HELD AT LEAST SEVENTY-FIVE DAYS AFTER  719          

BUT NO LATER THAN SIX MONTHS AFTER THE BOARD OF ELECTIONS          720          

CERTIFIES THE VALIDITY AND SUFFICIENCY OF SIGNATURES ON THE        721          

PETITION, THE BOARD SHALL SUBMIT THE QUESTION TO THE ELECTORS AT   722          

A SPECIAL ELECTION TO BE HELD ON THE NEXT DAY SPECIFIED FOR        723          

SPECIAL ELECTIONS IN DIVISION (D) OF SECTION 3501.01 OF THE        724          

REVISED CODE THAT OCCURS AT LEAST SEVENTY-FIVE DAYS AFTER THE                   

BOARD CERTIFIES THE VALIDITY AND SUFFICIENCY OF SIGNATURES ON THE  725          

PETITION.  THE ELECTION SHALL BE CONDUCTED AND CANVASSED AND THE   726          

RESULTS SHALL BE CERTIFIED IN THE SAME MANNER AS IN REGULAR        727          

ELECTIONS FOR THE ELECTION OF MEMBERS OF A BOARD OF EDUCATION.     728          

      IF A MAJORITY OF THE ELECTORS VOTING ON THE QUESTION         730          

DISAPPROVE THE RESOLUTION, THE RESOLUTION SHALL NOT BECOME         732          

EFFECTIVE.                                                                      

      (C)  If such THE resolution becomes legally effective, the   735          

board of education of the joint vocational school district shall   736          

notify the county auditor of the county in which the school        737          

district becoming a part of the joint vocational school district   738          

is located, who shall thereupon have any outstanding levy for      739          

building purposes, bond retirement, or current expenses in force   740          

in the joint vocational school district spread over the territory  741          

of the school district becoming a part of the joint vocational     742          

school district.  On the addition of a city or exempted village    744          

school district or an educational service center to the joint                   

vocational school district, pursuant to this section, the board    746          

of education of such joint vocational school district shall        747          

submit to the state board of education a proposal to enlarge the   748          

membership of such board by the addition of one or more persons    749          

at least one of whom shall be a member of the board of education   750          

or governing board of such additional school district or           751          

                                                          18     


                                                                 
educational service center, and the term of each such additional   752          

member.  On the addition of a local school district to the joint   754          

vocational school district, pursuant to this section, the board    755          

of education of such joint vocational school district may submit   756          

to the state board of education a proposal to enlarge the          757          

membership of such board by the addition of one or more persons    758          

who are members of the educational service center governing board  759          

of such additional local school district.  On approval by the      761          

state board of education additional members shall be added to      762          

such joint vocational school district board of education.          763          

      Sec. 3313.603.  (A)  As used in this section:                772          

      (1)  "One unit" means a minimum of one hundred twenty hours  775          

of course instruction, except that for a laboratory course, "one   777          

unit" means a minimum of one hundred fifty hours of course         778          

instruction.                                                                    

      (2)  "One-half unit" means a minimum of sixty hours of       781          

course instruction, except that for physical education courses,    782          

"one-half unit" means a minimum of one hundred twenty hours of     783          

course instruction.                                                             

      (B)  Beginning September 15, 2001, the requirements for      785          

graduation from every high school shall include twenty-one units   787          

earned in grades nine through twelve and shall be distributed as   788          

follows:                                                                        

      (1)  English language arts, four units;                      790          

      (2)  Health, one-half unit;                                  792          

      (3)  Mathematics, three units;                               794          

      (4)  Physical education, one-half unit;                      796          

      (5)  Science, two units until September 15, 2003, and three  798          

units thereafter, which at all times shall include both of the     799          

following:                                                         800          

      (a)  Biological sciences, one unit;                          803          

      (b)  Physical sciences, one unit.                            806          

      (6)  Social studies, three units, which shall include both   808          

of the following:                                                  809          

                                                          19     


                                                                 
      (a)  American history, one-half unit;                        812          

      (b)  American government, one-half unit.                     815          

      (7)  Elective units, eight units until September 15, 2003,   817          

and seven units thereafter.                                        818          

      Each student's electives shall include at least one unit,    820          

or two half units, chosen from among the areas of                  821          

business/technology, fine arts, and/or foreign language.           822          

      (C)  Every high school may permit students below the ninth   825          

grade to take advanced work for credit.  A high school shall       826          

count such advanced work toward the graduation requirements of     827          

division (B) of this section if the advanced work was both:        828          

      (1)  Taught by a person who possesses a license or           830          

certificate issued under section 3319.22 or 3319.222 of the        831          

Revised Code that is valid for teaching high school;               833          

      (2)  Designated by the board of education of the city,       835          

local, or exempted village school district or, the board of the    836          

cooperative education school district, OR THE GOVERNING AUTHORITY  838          

OF THE CHARTERED NONPUBLIC SCHOOL as meeting the high school       839          

curriculum requirements.                                                        

      (D)  Units earned in English language arts, mathematics,     842          

science, and social studies that are delivered through integrated  843          

academic and technical instruction are eligible to meet the        844          

graduation requirements of division (B) of this section.           845          

      Sec. 3313.608.  (A)  Beginning with students who enter       854          

fourth grade in the school year that starts July 1, 2001, no       857          

city, exempted village, or local school district shall promote to  858          

fifth grade any student who fails to attain the score designated   859          

under division (A)(1) of section 3301.0710 of the Revised Code on  862          

the test prescribed under that division to measure skill in        863          

reading, unless either of the following applies:                   864          

      (1)  The pupil was excused from taking the test under        866          

division (C)(1) of section 3301.0711 of the Revised Code;          868          

      (2)  The pupil's principal and reading teacher agree that    870          

the pupil is academically prepared, as determined pursuant to the  872          

                                                          20     


                                                                 
district policy adopted under section 3313.609 of the Revised      873          

Code, to be promoted to fifth grade.                                            

      (B)(1)  To assist students in meeting this fourth grade      875          

guarantee established by this section, each city, exempted         876          

village, and local school district shall adopt policies and        877          

procedures with which it shall, beginning in the school year that  878          

starts July 1, 1998, annually assess the reading skills of each    880          

student at the end of first, second, and third grade and identify  881          

students who are reading below their grade level.  The policy and  882          

procedures shall require the students' classroom teachers to be    883          

involved in the assessment and the identification of students      884          

reading below grade level.  The district shall notify the parent   885          

or guardian of each student whose reading skills are below grade   886          

level and, in accordance with division (C) of this section,        888          

provide intervention services to each student reading below grade  889          

level.                                                                          

      (2)  For each student identified as reading below grade      891          

level at the end of third grade, the district shall offer intense  893          

remediation services during the summer following third grade.      894          

      (3)  For each student entering fourth grade after July 1,    896          

2001, who does not attain by the end of the fourth grade the       897          

score designated under division (A)(1) of section 3301.0710 of     899          

the Revised Code on the test prescribed under that division to     902          

measure skill in reading, the district also shall offer intense    903          

remediation services, and another opportunity to take that test,   904          

during the summer following fourth grade.                          905          

      (C)  For each student required to be offered remediation     908          

services under this section, the district shall involve the        909          

student's parent or guardian and classroom teacher in developing   910          

the intervention strategy, and shall offer to the parent or        911          

guardian the opportunity to be involved in the intervention        912          

services.                                                                       

      (D)  Beginning in the summer of 1999, in addition to the     914          

remediation requirements of divisions (B) and (C) of this          915          

                                                          21     


                                                                 
section, every city, exempted village, or local school district    916          

shall offer summer remediation to any student who has failed to    917          

attain the designated scores on three or more of the five tests    918          

described by division (A)(1) or (2) of section 3301.0710 of the    919          

Revised Code.                                                                   

      (E)  ANY SUMMER REMEDIATION SERVICES FUNDED IN WHOLE OR IN   922          

PART BY THE STATE AND OFFERED BY SCHOOL DISTRICTS TO STUDENTS WHO               

ARE IN DANGER OF BEING RETAINED IN GRADE LEVEL DUE TO FAILURE TO   924          

PASS REQUIRED PROFICIENCY TESTS UNDER THIS SECTION SHALL MEET THE  925          

FOLLOWING CONDITIONS:                                                           

      (1)  THE REMEDIATION METHODS ARE BASED ON RELIABLE           927          

EDUCATIONAL RESEARCH.                                              928          

      (2)  THE SCHOOL DISTRICTS CONDUCT TESTING BEFORE AND AFTER   930          

STUDENTS PARTICIPATE IN THE PROGRAM TO FACILITATE MONITORING       931          

RESULTS OF THE REMEDIATION SERVICES.                               932          

      (3)  THE PARENTS OF PARTICIPATING STUDENTS ARE INVOLVED IN   934          

PROGRAMMING DECISIONS.                                             935          

      (4)  THE SERVICES ARE CONDUCTED IN A SCHOOL BUILDING OR      937          

COMMUNITY CENTER AND NOT ON AN AT-HOME BASIS.                      938          

      Sec. 3314.011.  EVERY COMMUNITY SCHOOL ESTABLISHED UNDER     940          

THIS CHAPTER SHALL HAVE A DESIGNATED FISCAL OFFICER.  THE AUDITOR  941          

OF STATE MAY REQUIRE BY RULE THAT THE FISCAL OFFICER OF ANY        942          

COMMUNITY SCHOOL, BEFORE ENTERING UPON DUTIES AS FISCAL OFFICER    943          

OF THE SCHOOL, EXECUTE A BOND IN AN AMOUNT AND WITH SURETY TO BE   944          

APPROVED BY THE GOVERNING AUTHORITY OF THE SCHOOL, PAYABLE TO THE  945          

STATE, CONDITIONED FOR THE FAITHFUL PERFORMANCE OF ALL THE         946          

OFFICIAL DUTIES REQUIRED OF THE FISCAL OFFICER.  ANY SUCH BOND     947          

SHALL BE DEPOSITED WITH THE GOVERNING AUTHORITY OF THE SCHOOL,     948          

AND A COPY THEREOF, CERTIFIED BY THE GOVERNING AUTHORITY, SHALL    949          

BE FILED WITH THE COUNTY AUDITOR.                                  950          

      Sec. 3314.02.  (A)  As used in this chapter:                 959          

      (1)  "Sponsor" means a city, local, exempted village, or     961          

joint vocational board of education or the state board of          963          

education PUBLIC ENTITY LISTED IN DIVISION (C)(1) OF THIS SECTION  964          

                                                          22     


                                                                 
with which the governing authority of the proposed community       966          

school enters into a contract pursuant to this section.                         

      (2)  "Pilot project district AREA" means a THE school        969          

district DISTRICTS included in the territory of a THE FORMER       970          

community school pilot project established by FORMER Section       972          

50.52 of Am. Sub. H.B. No. 215 of the 122nd general assembly.      973          

      (3)  "CHALLENGED SCHOOL DISTRICT" MEANS ANY OF THE           976          

FOLLOWING:                                                                      

      (a)  A SCHOOL DISTRICT THAT IS PART OF THE PILOT PROJECT     978          

AREA;                                                                           

      (b)  A SCHOOL DISTRICT THAT IS IN A STATE OF ACADEMIC        980          

EMERGENCY UNDER SECTION 3302.03 OF THE REVISED CODE;               981          

      (c)  A BIG EIGHT SCHOOL DISTRICT;                            983          

      (d)  AN URBAN SCHOOL DISTRICT.                               985          

      (4)  "Big eight school district" means a school district     988          

that for fiscal year 1997 had both of the following:               989          

      (a)  A percentage of children residing in the district and   992          

participating in the predecessor of Ohio works first greater than  993          

thirty per cent, as reported pursuant to section 3317.10 of the    994          

Revised Code;                                                      996          

      (b)  An average daily membership greater than twelve         999          

thousand, as reported pursuant to former division (A) of section   1,000        

3317.03 of the Revised Code.                                       1,001        

      (4)(5)  "New start-up school" means a community school       1,003        

other than one created by converting all or part of an existing    1,005        

public school, as designated in the school's contract pursuant to  1,006        

division (A)(17) of section 3314.03 of the Revised Code.           1,007        

      (6)  "URBAN SCHOOL DISTRICT" MEANS ONE OF THE STATE'S        1,009        

TWENTY-ONE URBAN SCHOOL DISTRICTS AS DEFINED IN DIVISION (O) OF    1,010        

SECTION 3317.02 OF THE REVISED CODE AS THAT SECTION EXISTED PRIOR  1,011        

TO JULY 1, 1998.                                                                

      (B)  Any person or group of individuals may initially        1,014        

propose under this division the conversion of all or a portion of  1,015        

a public school to a community school.  The proposal shall be      1,016        

                                                          23     


                                                                 
made to the board of education of a THE city, local, or exempted   1,018        

village school district, other than a pilot project district, in   1,019        

which the public school is proposed to be converted.  Upon         1,020        

receipt of a proposal, a board may enter into a preliminary        1,021        

agreement with the person or group proposing the conversion of     1,022        

the public school, indicating the intention of the board of        1,023        

education to support the conversion to a community school.  A      1,024        

proposing person or group that has a preliminary agreement under   1,026        

this division may proceed to finalize plans for the school,                     

establish a governing authority for the school, and negotiate a    1,027        

contract with the board of education.  Provided the proposing      1,028        

person or group adheres to the preliminary agreement and all       1,029        

provisions of this chapter, the board of education shall           1,030        

negotiate in good faith to enter into a contract in accordance                  

with section 3314.03 of the Revised Code and division (C) of this  1,031        

section.                                                                        

      (C)(1)  Any person or group of individuals may propose       1,034        

under this division the establishment of a new start-up school to  1,035        

be located in a big eight CHALLENGED school district other than a  1,036        

pilot project district.  Such THE proposal may be made to any of   1,038        

the following public entities:                                     1,039        

      (a)  The board of education of the big eight school          1,042        

district in which the school is proposed to be located;            1,043        

      (b)  The board of education of any joint vocational school   1,046        

district with territory in the county in which IS LOCATED the      1,047        

majority of the territory of that big eight THE district IN WHICH  1,048        

THE SCHOOL is PROPOSED TO BE located;                              1,049        

      (c)  The board of education of any other city, local, or     1,052        

exempted village school district having territory in the same      1,053        

county in which that big eight WHERE THE district IN WHICH THE     1,054        

SCHOOL IS PROPOSED TO BE LOCATED has the major portion of its      1,055        

territory;                                                                      

      (d)  The state board of education;                           1,057        

      (e)  IF THE SCHOOL IS PROPOSED TO BE LOCATED IN THE PILOT    1,059        

                                                          24     


                                                                 
PROJECT AREA AND WILL BEGIN OPERATION PRIOR TO JUNE 30, 2000, THE  1,060        

GOVERNING BOARD OF THE EDUCATIONAL SERVICE CENTER SERVING THE      1,061        

COUNTY CONTAINING THE MAJORITY OF THE TERRITORY OF THE PILOT       1,063        

PROJECT AREA;                                                                   

      (f)  IF THE SCHOOL IS PROPOSED TO BE LOCATED IN THE PILOT    1,065        

PROJECT AREA AND WILL BEGIN OPERATION PRIOR TO JUNE 30, 2000, A    1,066        

SPONSORING AUTHORITY DESIGNATED BY THE BOARD OF TRUSTEES OF A      1,067        

STATE UNIVERSITY LOCATED IN THE PILOT PROJECT AREA, OR THE BOARD   1,069        

OF TRUSTEES ITSELF.                                                             

      Such big eight district board, joint vocational board,       1,071        

other school district board, or state board THE PUBLIC ENTITY may  1,072        

enter into a preliminary agreement pursuant to division (C)(2) of  1,074        

this section with the proposing person or group.                   1,075        

      (2)  A preliminary agreement indicates the intention of a    1,078        

public entity described in division (C)(1) of this section to      1,080        

sponsor the community school.  A proposing person or group that    1,081        

has such a preliminary agreement may proceed to finalize plans     1,082        

for the school, establish a governing authority for the school,    1,083        

and negotiate a contract with the public entity.  Provided the                  

proposing person or group adheres to the preliminary agreement     1,085        

and all provisions of this chapter, the public entity shall        1,086        

negotiate in good faith to enter into a contract in accordance     1,087        

with section 3314.03 of the Revised Code.                          1,088        

      (3)  A NEW START-UP SCHOOL THAT IS ESTABLISHED IN A SCHOOL   1,090        

DISTRICT WHILE THAT DISTRICT IS IN A STATE OF ACADEMIC EMERGENCY   1,091        

UNDER SECTION 3302.03 OF THE REVISED CODE MAY CONTINUE IN          1,092        

EXISTENCE ONCE THE SCHOOL DISTRICT IS NO LONGER IN A STATE OF      1,093        

ACADEMIC EMERGENCY, PROVIDED THERE IS A VALID CONTRACT BETWEEN                  

THE SCHOOL AND A SPONSOR.                                          1,094        

      (D)  A majority vote of a sponsoring school district board   1,096        

and a majority vote of the members of the governing authority of   1,097        

a community school shall be required to adopt a contract and       1,098        

convert the public school to a community school or establish the   1,099        

new start-up school.  An unlimited number of community schools     1,101        

                                                          25     


                                                                 
may be established in any school district provided that a          1,103        

contract is entered into for each community school pursuant to                  

this chapter.                                                      1,104        

      Sec. 3314.021.  IF THE DEPARTMENT OF EDUCATION RECEIVES ANY  1,106        

APPLICATION PROPOSING A COMMUNITY SCHOOL TO BE LOCATED IN A CITY,  1,107        

LOCAL, OR EXEMPTED VILLAGE SCHOOL DISTRICT UNDER THIS CHAPTER,     1,108        

THE DEPARTMENT SHALL SEND A NOTICE TO THE PRESIDENT OF THE BOARD   1,109        

OF EDUCATION OF THE SCHOOL DISTRICT IN WHICH THE COMMUNITY SCHOOL  1,110        

WOULD BE LOCATED INFORMING THE BOARD OF THE APPLICATION.  IF ANY   1,111        

MEMBER OF THE BOARD OF EDUCATION REQUESTS A COPY OF THE            1,112        

APPLICATION, THE DEPARTMENT SHALL FURNISH A COPY TO THAT MEMBER.   1,113        

      Sec. 3314.03.  (A)  Each contract entered into under         1,122        

section 3314.02 of the Revised Code between a sponsor and the      1,123        

governing authority of a community school shall specify the        1,124        

following:                                                                      

      (1)  That the school shall be established as a nonprofit     1,126        

corporation established under Chapter 1702. of the Revised Code;   1,127        

      (2)  The education program of the school, including the      1,129        

school's mission, the characteristics of the students the school   1,130        

is expected to attract, the ages and grades of students, and the   1,131        

focus of the curriculum;                                           1,132        

      (3)  The academic goals to be achieved and the method of     1,134        

measurement that will be used to determine progress toward those   1,135        

goals, which shall include the statewide proficiency tests;        1,136        

      (4)  Performance standards by which the success of the       1,138        

school will be evaluated by the sponsor;                           1,139        

      (5)  The admission standards of section 3314.06 of the       1,141        

Revised Code;                                                      1,142        

      (6)  Dismissal procedures;                                   1,144        

      (7)  The ways by which the school will achieve racial and    1,146        

ethnic balance reflective of the community it serves;              1,147        

      (8)  Requirements and procedures for financial audits by     1,150        

the auditor of state.  The contract shall require financial        1,151        

records of the school to be maintained in the same manner as are   1,154        

                                                          26     


                                                                 
financial records of school districts, pursuant to rules of the    1,155        

auditor of state and the audits shall be conducted in accordance   1,156        

with section 117.10 of the Revised Code.                                        

      (9)  The facility FACILITIES to be used and its location     1,158        

THEIR LOCATIONS;                                                   1,159        

      (10)  Qualifications of teachers, including a requirement    1,161        

that the school's classroom teachers be licensed in accordance     1,162        

with sections 3319.22 to 3319.31 of the Revised Code, except that  1,163        

a community school may engage noncertificated persons to teach up  1,164        

to twelve hours per week pursuant to section 3319.301 of the       1,165        

Revised Code;                                                                   

      (11)  That the school will comply with the following         1,167        

requirements:                                                      1,168        

      (a)  The school will provide learning opportunities to a     1,170        

minimum of twenty-five students for a minimum of nine hundred      1,172        

twenty hours per school year;                                                   

      (b)  The governing authority will purchase liability         1,175        

insurance, or otherwise provide for the potential liability of     1,176        

the school;                                                                     

      (c)  The school will be nonsectarian in its programs,        1,179        

admission policies, employment practices, and all other            1,180        

operations, and will not be operated by a sectarian school or      1,181        

religious institution;                                                          

      (d)  The school will comply with sections 9.90, 9.91,        1,183        

109.65, 121.22, 149.43, 2151.358, 2151.421, 2313.18, 3301.0710,    1,185        

3301.0711, 3301.0714, 3313.50, 3313.643, 3313.66, 3313.661,        1,186        

3313.662, 3313.67, 3313.672, 3313.673, 3313.69, 3313.71, 3313.80,  1,187        

3313.96, 3319.321, 3319.39, 3321.01, 3327.10, 4111.17, and         1,188        

4113.52 and Chapters 117., 1347., 2744., 4112., 4123., 4141., and  1,189        

4167. of the Revised Code as if it were a school district;         1,190        

      (e)  The school shall comply with Chapter 102. of the        1,192        

Revised Code except that nothing in that chapter shall prohibit a  1,193        

member of the school's governing board from also being an          1,194        

employee of the school and nothing in that chapter or section      1,195        

                                                          27     


                                                                 
2921.42 of the Revised Code shall prohibit a member of the         1,196        

school's governing board from having an interest in a contract     1,197        

into which the governing board enters;                             1,198        

      (f)  The school will comply with sections 3313.61 and        1,200        

3313.611 of the Revised Code, except that the requirement in       1,202        

those sections that a person must successfully complete the        1,203        

curriculum in any high school prior to receiving a high school     1,204        

diploma may be met by completing the curriculum adopted by the                  

governing authority of the community school rather than the        1,206        

curriculum specified in Title XXXIII of the Revised Code or any    1,207        

rules of the state board of education;                                          

      (g)  The school governing authority will submit an annual    1,209        

report of its activities and progress in meeting the goals and     1,210        

standards of divisions (A)(3) and (4) of this section and its      1,211        

financial status to the sponsor, the parents of all students       1,212        

enrolled in the school, and the legislative office of education    1,213        

oversight.  THE SCHOOL WILL COLLECT AND PROVIDE ANY DATA THAT THE  1,215        

LEGISLATIVE OFFICE OF EDUCATION OVERSIGHT REQUESTS IN FURTHERANCE  1,216        

OF ANY STUDY OR RESEARCH THAT THE GENERAL ASSEMBLY REQUIRES THE                 

OFFICE TO CONDUCT, INCLUDING THE STUDIES REQUIRED UNDER SECTION    1,217        

50.39 OF AM. SUB. H.B. 215 OF THE 122nd GENERAL ASSEMBLY AND       1,219        

SECTION 50.52.2 OF AM. SUB. H.B. 215 OF THE 122nd GENERAL          1,221        

ASSEMBLY, AS AMENDED.                                                           

      (12)  Arrangements for providing health and other benefits   1,223        

to employees;                                                      1,224        

      (13)  The length of the contract, which shall begin at the   1,226        

beginning of an academic year and shall not exceed five years;     1,227        

      (14)  The governing authority of the school, which shall be  1,229        

responsible for carrying out the provisions of the contract;       1,230        

      (15)  A financial plan detailing an estimated school budget  1,232        

for each year of the period of the contract and specifying the     1,233        

total estimated per pupil expenditure amount for each such year.   1,234        

The plan shall specify for each year the base formula amount that  1,236        

will be used for purposes of funding calculations under section                 

                                                          28     


                                                                 
3314.08 of the Revised Code.  This base formula amount for any     1,237        

year shall not exceed the formula amount defined under section     1,238        

3317.02 of the Revised Code.  The plan may also specify for any    1,240        

year a percentage figure to be used for reducing the per pupil                  

amount of disadvantaged pupil impact aid calculated pursuant to    1,241        

section 3317.029 of the Revised Code the school is to receive      1,243        

that year under section 3314.08 of the Revised Code.                            

      (16)  Requirements and procedures regarding the disposition  1,245        

of employees of the school in the event the contract is            1,246        

terminated or not renewed pursuant to section 3314.07 of the       1,247        

Revised Code;                                                                   

      (17)  Whether the school is to be created by converting all  1,250        

or part of an existing public school or is to be a new start-up                 

school, and if it is a converted public school, specification of   1,251        

any duties or responsibilities of an employer that the board of    1,252        

education that operated the school before conversion is            1,253        

delegating to the governing board of the community school with     1,254        

respect to all or any specified group of employees provided the                 

delegation is not prohibited by a collective bargaining agreement  1,255        

applicable to such employees;                                      1,256        

      (18)  Provisions establishing procedures for resolving       1,258        

disputes or differences of opinion between the sponsor and the     1,259        

governing authority of the community school;                       1,260        

      (19)  A PROVISION REQUIRING THE GOVERNING AUTHORITY TO       1,262        

ADOPT A POLICY REGARDING THE ADMISSION OF STUDENTS WHO RESIDE      1,264        

OUTSIDE THE DISTRICT IN WHICH THE SCHOOL IS LOCATED.  THAT POLICY  1,265        

SHALL COMPLY WITH THE ADMISSIONS PROCEDURES SPECIFIED IN SECTION   1,266        

3314.06 OF THE REVISED CODE AND, AT THE SOLE DISCRETION OF THE     1,267        

AUTHORITY, SHALL DO ONE OF THE FOLLOWING:                                       

      (a)  PROHIBIT THE ENROLLMENT OF STUDENTS WHO RESIDE OUTSIDE  1,269        

THE DISTRICT IN WHICH THE SCHOOL IS LOCATED;                       1,270        

      (b)  PERMIT THE ENROLLMENT OF STUDENTS WHO RESIDE IN         1,272        

DISTRICTS ADJACENT TO THE DISTRICT IN WHICH THE SCHOOL IS          1,273        

LOCATED;                                                                        

                                                          29     


                                                                 
      (c)  PERMIT THE ENROLLMENT OF STUDENTS WHO RESIDE IN ANY     1,275        

OTHER DISTRICT IN THE STATE.                                       1,276        

      (B)  The community school shall also submit to the sponsor   1,278        

a comprehensive plan for the school.  The plan shall specify the   1,280        

following:                                                                      

      (1)  The process by which the governing authority of the     1,282        

school will be selected in the future;                             1,283        

      (2)  The management and administration of the school;        1,285        

      (3)  If the community school is a currently existing public  1,288        

school, alternative arrangements for current public school         1,289        

students who choose not to attend the school and teachers who      1,290        

choose not to teach in the school after conversion;                1,291        

      (4)  The instructional program and educational philosophy    1,293        

of the school;                                                     1,294        

      (5)  Internal financial controls.                            1,296        

      (C)  A contract entered into under section 3314.02 of the    1,298        

Revised Code between a sponsor and the governing authority of a    1,300        

community school may provide for the community school governing                 

authority to make payments to the sponsor, which is hereby         1,301        

authorized to receive such payments as set forth in the contract   1,302        

between the governing authority and the sponsor.                   1,303        

      Sec. 3314.05.  The contract between the community school     1,312        

and the sponsor shall specify the facility FACILITIES to be used   1,313        

for the community school and the method of acquisition.  Any A     1,315        

SCHOOL MAY BE LOCATED IN MULTIPLE FACILITIES UNDER THE SAME        1,316        

CONTRACT ONLY IF THE LIMITATIONS ON AVAILABILITY OF SPACE          1,317        

PROHIBIT SERVING ALL THE GRADE LEVELS SPECIFIED IN THE CONTRACT                 

IN A SINGLE FACILITY.  THE SCHOOL SHALL NOT OFFER THE SAME GRADE   1,318        

LEVEL CLASSROOMS IN MORE THAN ONE FACILITY.                        1,319        

      ANY facility used for a community school shall meet all      1,322        

health and safety standards established by law for school                       

buildings.                                                                      

      In the case where a community school is proposed to be       1,324        

located in a facility owned by a school district or educational    1,325        

                                                          30     


                                                                 
service center, the facility may not be used for such community    1,327        

school unless the district or service center board owning the      1,328        

facility enters into an agreement for the community school to                   

utilize the facility.  Use of the facility may be under any terms  1,330        

and conditions agreed to by the district or service center board   1,331        

and the school.                                                                 

      Sec. 3314.06.  The governing authority of each community     1,340        

school established under this chapter shall adopt admission        1,341        

procedures that specify the following:                             1,342        

      (A)  That except as otherwise provided in this section,      1,344        

admission to the school shall be open only to any individual age   1,345        

five to twenty-two entitled to attend school pursuant to section   1,347        

3313.64 or 3313.65 of the Revised Code in the A school district    1,348        

in which the school is located or who was enrolled in the          1,349        

converted school during the school year preceding the year of its  1,350        

conversion to a community school THE STATE.                        1,351        

      (B)  That admission to the school may be limited to          1,353        

students who have attained a specific grade level or are within a  1,355        

specific age group; to students that meet a definition of                       

"at-risk," as defined in the contract; or to residents of a        1,356        

specific geographic area WITHIN THE DISTRICT, as defined in the    1,358        

contract, that is within the school district in which the school   1,359        

is located.                                                                     

      (C)  WHETHER ENROLLMENT IS LIMITED TO STUDENTS WHO RESIDE    1,361        

IN THE DISTRICT IN WHICH THE SCHOOL IS LOCATED OR IS OPEN TO       1,362        

RESIDENTS OF OTHER DISTRICTS, AS PROVIDED IN THE POLICY ADOPTED    1,363        

PURSUANT TO THE CONTRACT.                                                       

      (D)  That there will be no discrimination in the admission   1,365        

of students to the school on the basis of race, creed, color,      1,366        

handicapping condition, or sex; and that, upon admission of any    1,368        

handicapped student, the community school will comply with all     1,369        

federal and state laws regarding the education of handicapped      1,370        

students.                                                                       

      (D)(E)  That the school may not limit admission to students  1,372        

                                                          31     


                                                                 
on the basis of intellectual ability, measures of achievement or   1,374        

aptitude, or athletic ability.                                     1,375        

      (E)(F)  That the community school will admit the number of   1,377        

students that does not exceed the capacity of the school's         1,380        

programs, classes, grade levels, or facilities.                    1,381        

      (F)(G)  That, except as otherwise provided under division    1,383        

(B) of this section, if the number of applicants exceeds the       1,384        

capacity restrictions of division (E)(F) of this section,          1,385        

students shall be admitted by lot from all those submitting        1,386        

applications, except preference shall be given to students         1,387        

attending the school the previous year and TO STUDENTS WHO RESIDE  1,388        

IN THE DISTRICT IN WHICH THE SCHOOL IS LOCATED.  PREFERENCE may    1,389        

be given to siblings of such students ATTENDING THE SCHOOL THE     1,390        

PREVIOUS YEAR.                                                                  

      Notwithstanding divisions (A) through (F)(G) of this         1,392        

section, in the event the racial composition of the enrollment of  1,393        

the community school is violative of a federal desegregation       1,394        

order, the community school shall take any and all corrective      1,395        

measures to comply with the desegregation order.                   1,396        

      Sec. 3314.071.  ANY CONTRACT ENTERED INTO BY THE GOVERNING   1,398        

AUTHORITY OR ANY OFFICER OR DIRECTOR OF A COMMUNITY SCHOOL,        1,399        

INCLUDING THE CONTRACT REQUIRED BY SECTIONS 3314.02 AND 3314.03    1,400        

OF THE REVISED CODE, IS DEEMED TO BE ENTERED INTO BY SUCH          1,401        

INDIVIDUALS IN THEIR OFFICIAL CAPACITIES AS REPRESENTATIVES OF     1,402        

THE COMMUNITY SCHOOL.  NO OFFICER, DIRECTOR, OR MEMBER OF THE      1,404        

GOVERNING AUTHORITY OF A COMMUNITY SCHOOL INCURS ANY PERSONAL                   

LIABILITY BY VIRTUE OF ENTERING INTO ANY CONTRACT ON BEHALF OF     1,405        

THE SCHOOL.                                                        1,406        

      Sec. 3314.08.  (A)  As used in this section:                 1,415        

      (1)  "Base formula amount" means the amount specified as     1,418        

such in a community school's financial plan for a school year      1,419        

pursuant to division (A)(15) of section 3314.03 of the Revised     1,420        

Code.                                                                           

      (2)  "Cost-of-doing-business factor" has the same meaning    1,422        

                                                          32     


                                                                 
as in section 3317.02 of the Revised Code.                         1,423        

      (3)  "IEP" means an individualized education program AS      1,426        

defined by division (E) of IN section 3323.01 of the Revised       1,427        

Code.                                                                           

      (4)  "Average county cost" means the cost, averaged among    1,430        

school districts within a county, of providing special education   1,431        

and related services to similarly handicapped children, as         1,433        

calculated in a manner acceptable to the superintendent of public  1,435        

instruction "APPLICABLE WEIGHT" MEANS:                             1,436        

      (a)  FOR A STUDENT RECEIVING SPECIAL EDUCATION AND RELATED   1,438        

SERVICES PURSUANT TO AN IEP FOR A HANDICAP DESCRIBED IN DIVISION   1,439        

(A) OF SECTION 3317.013 OF THE REVISED CODE, THE MULTIPLE          1,441        

SPECIFIED IN THAT DIVISION;                                                     

      (b)  FOR A STUDENT RECEIVING SPECIAL EDUCATION AND RELATED   1,443        

SERVICES PURSUANT TO AN IEP FOR A HANDICAP DESCRIBED IN DIVISION   1,444        

(B) OF SECTION 3317.013 OR DIVISION (F)(3) OF SECTION 3317.02 OF   1,446        

THE REVISED CODE, THE MULTIPLE SPECIFIED IN DIVISION (B) OF        1,447        

SECTION 3317.013 OF THE REVISED CODE.                              1,448        

      (5)  "TOTAL SPECIAL EDUCATION WEIGHT" MEANS THE SUM OF THE   1,450        

FOLLOWING:                                                         1,451        

      (a)  THE NUMBER OF STUDENTS REPORTED UNDER DIVISION          1,454        

(B)(2)(c) OF THIS SECTION WHO ARE ENTITLED TO ATTEND SCHOOL IN     1,455        

THE DISTRICT, ARE ENROLLED IN GRADES ONE THROUGH TWELVE IN A       1,456        

COMMUNITY SCHOOL, AND ARE RECEIVING FROM THEIR COMMUNITY SCHOOL    1,457        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP FOR A    1,458        

HANDICAP DESCRIBED IN DIVISION (A) OF SECTION 3317.013 OF THE      1,459        

REVISED CODE, MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION     1,460        

(A) OF SECTION 3317.013 OF THE REVISED CODE;                       1,461        

      (b)  ONE-HALF THE NUMBER OF STUDENTS REPORTED UNDER          1,463        

DIVISION (B)(2)(c) OF THIS SECTION WHO ARE ENTITLED TO ATTEND      1,466        

SCHOOL IN THE DISTRICT, ARE ENROLLED IN KINDERGARTEN IN A                       

COMMUNITY SCHOOL, AND ARE RECEIVING FROM THEIR COMMUNITY SCHOOL    1,468        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP FOR A    1,469        

HANDICAP DESCRIBED IN DIVISION (A) OF SECTION 3317.013 OF THE      1,470        

                                                          33     


                                                                 
REVISED CODE, MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION     1,472        

(A) OF SECTION 3317.013 OF THE REVISED CODE;                       1,473        

      (c)  THE NUMBER OF STUDENTS REPORTED UNDER DIVISION          1,476        

(B)(2)(c) OF THIS SECTION WHO ARE ENTITLED TO ATTEND SCHOOL IN     1,477        

THE DISTRICT, ARE ENROLLED IN GRADES ONE THROUGH TWELVE IN A       1,478        

COMMUNITY SCHOOL, AND ARE RECEIVING FROM THEIR COMMUNITY SCHOOL    1,479        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP FOR A    1,480        

HANDICAP DESCRIBED IN DIVISION (B) OF SECTION 3317.013 OR          1,481        

DIVISION (F)(3) OF SECTION 3317.02 OF THE REVISED CODE,            1,482        

MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION (B) OF SECTION    1,484        

3317.013 OF THE REVISED CODE;                                      1,485        

      (d)  ONE-HALF THE NUMBER OF STUDENTS REPORTED UNDER          1,487        

DIVISION (B)(2)(c) OF THIS SECTION WHO ARE ENTITLED TO ATTEND      1,490        

SCHOOL IN THE DISTRICT, ARE ENROLLED IN KINDERGARTEN IN A                       

COMMUNITY SCHOOL, AND ARE RECEIVING FROM THEIR COMMUNITY SCHOOL    1,492        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP FOR A    1,493        

HANDICAP DESCRIBED IN DIVISION (B) OF SECTION 3317.013 OR          1,494        

DIVISION (F)(3) OF SECTION 3317.02 OF THE REVISED CODE,            1,496        

MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION (B) OF SECTION    1,498        

3317.013 OF THE REVISED CODE.                                      1,499        

      (6)  "ENTITLED TO ATTEND SCHOOL" MEANS ENTITLED TO ATTEND    1,501        

SCHOOL IN A DISTRICT UNDER SECTION 3313.64 OR 3313.65 OF THE       1,502        

REVISED CODE.                                                      1,503        

      (7)  "DPIA reduction factor" means the percentage figure,    1,506        

if any, specified for reducing the per pupil amount of             1,507        

disadvantaged pupil impact aid a community school is entitled to   1,508        

receive pursuant to division DIVISIONS (D)(3)(4) AND (5) of this   1,509        

section in any year, as specified in the school's financial plan   1,512        

for the year pursuant to division (A)(15) of section 3314.03 of    1,513        

the Revised Code.                                                               

      (8)  "ALL-DAY KINDERGARTEN" HAS THE SAME MEANING AS IN       1,515        

SECTION 3317.029 OF THE REVISED CODE.                              1,516        

      (B)  The state board of education shall adopt rules          1,518        

requiring both of the following:                                   1,519        

                                                          34     


                                                                 
      (1)  The board of education of each city, exempted village,  1,521        

and local school district to annually report the number of         1,522        

students entitled to attend school in the district pursuant to     1,523        

section 3313.64 or 3313.65 of the Revised Code who are enrolled    1,525        

in grades one through twelve and one-half of the kindergarten      1,526        

students enrolled in a community school established under this     1,527        

chapter, THE NUMBER OF STUDENTS ENTITLED TO ATTEND SCHOOL IN THE   1,528        

DISTRICT WHO ARE ENROLLED IN KINDERGARTEN IN A COMMUNITY SCHOOL,   1,529        

THE NUMBER OF THOSE KINDERGARTNERS WHO ARE ENROLLED IN ALL-DAY     1,531        

KINDERGARTEN IN THEIR COMMUNITY SCHOOL, and for each child, the    1,534        

community school in which the child is enrolled.  In addition,     1,536        

for each such child receiving special education and related        1,537        

services enrolled in grades kindergarten through twelve or in a    1,538        

preschool handicapped unit in a community school pursuant to an    1,540        

IEP, the board shall report the average county cost for such       1,542        

child.  If the district receives disadvantaged pupil impact aid    1,544        

pursuant to division (B) or divisions (C) and (E) of section       1,545        

3317.029 of the Revised Code, it also shall report the amount      1,546        

received for each such child.                                                   

      (2)  The governing authority of each community school        1,548        

established under this chapter to annually report ALL OF the       1,549        

FOLLOWING:                                                         1,550        

      (a)  THE number of students enrolled in grades one through   1,553        

twelve and one-half the number of kindergarten students ENROLLED   1,555        

IN KINDERGARTEN in the school who are not receiving special        1,556        

education and related services pursuant to an IEP; the             1,557        

      (b)  THE number of enrolled students in grades one through   1,559        

twelve and one-half the number of ENROLLED STUDENTS IN             1,560        

kindergarten students, who are receiving special education and     1,563        

related services pursuant to an IEP; the                           1,564        

      (c)  THE NUMBER OF STUDENTS REPORTED UNDER DIVISION          1,567        

(B)(2)(b) OF THIS SECTION RECEIVING SPECIAL EDUCATION AND RELATED  1,568        

SERVICES PURSUANT TO AN IEP FOR A HANDICAP DESCRIBED IN EACH OF    1,569        

DIVISIONS (A) AND (B) OF SECTION 3317.013 AND DIVISION (F)(3) OF   1,571        

                                                          35     


                                                                 
SECTION 3317.02 OF THE REVISED CODE;                               1,573        

      (d)  THE number of enrolled preschool handicapped students   1,576        

receiving special education services in a state-funded unit; the   1,577        

      (e)  THE community school's base formula amount; and         1,580        

      (f)  FOR EACH STUDENT, the city, exempted village, or local  1,583        

school district in which the school STUDENT is located.  Each      1,585        

governing authority shall also report any ENTITLED TO ATTEND       1,586        

SCHOOL;                                                                         

      (g)  ANY DPIA reduction factor that applies to a school      1,589        

year.                                                                           

      (C)  From the payments made to a city, exempted village, or  1,591        

local school district under Chapter 3317. of the Revised Code      1,592        

and, if necessary, sections 321.14 and 323.156 of the Revised      1,593        

Code, the department of education shall annually subtract all of   1,594        

the following:                                                                  

      (1)  An amount equal to the sum of the amounts obtained      1,596        

when, for each community school where the district's students are  1,597        

enrolled, the number of the district's students reported under     1,598        

division DIVISIONS (B)(2)(a) AND (b) of this section who are       1,599        

enrolled in grades one through twelve, and one-half the number of  1,600        

STUDENTS REPORTED UNDER THOSE DIVISIONS WHO ARE ENROLLED IN        1,601        

kindergarten students, in that community school and are not        1,603        

receiving special education and related services pursuant to an    1,604        

IEP is multiplied by the base formula amount of that community     1,605        

school as adjusted by the school district's                        1,606        

cost-of-doing-business factor.                                                  

      (2)  The sum PRODUCT of the average county costs for all     1,608        

NUMBER OF district students reported under division (B)(2)(c) of   1,611        

this section AS ENROLLED IN GRADES ONE THROUGH TWELVE, AND         1,612        

ONE-HALF OF THE NUMBER OF DISTRICT STUDENTS REPORTED UNDER THAT    1,613        

DIVISION AS ENROLLED IN KINDERGARTEN, who are to be receiving      1,615        

special education and related services pursuant to an IEP in       1,616        

their respective community schools, less the sum of the prorated   1,618        

share for each such student of any amounts received from state     1,619        

                                                          36     


                                                                 
preschool handicapped unit funding or from federal funds to        1,620        

provide special education and related services to students in the  1,621        

respective community schools.  This prorated share of state or     1,622        

federal funds received for each such student shall be determined   1,623        

on the basis of all such funds received by a community school for  1,624        

students receiving similar services, as calculated in a manner     1,625        

acceptable to the superintendent of public instruction. FOR A      1,627        

HANDICAP DESCRIBED IN DIVISION (A) OR (B) OF SECTION 3317.013 OR   1,629        

DIVISION (F)(3) OF SECTION 3317.02 OF THE REVISED CODE,            1,631        

MULTIPLIED BY THE TOTAL SPECIAL EDUCATION WEIGHT;                  1,632        

      (3)  An amount equal to the sum of the amounts obtained      1,634        

when, for each community school where the district's students are  1,635        

enrolled, the number of the district's students enrolled in that   1,636        

community school and residing in the district in a family          1,637        

participating in Ohio works first under Chapter 5107. of the       1,638        

Revised Code is multiplied by the per pupil amount of                           

disadvantaged pupil impact aid the school district receives that   1,639        

year pursuant to division (B) or divisions (C) and (E) of section  1,640        

3317.029 of the Revised Code, as adjusted by any DPIA reduction    1,642        

factor of that community school.  IF THE DISTRICT RECEIVES         1,643        

DISADVANTAGED PUPIL IMPACT AID UNDER DIVISION (B) OF THAT          1,644        

SECTION, THE PER PUPIL AMOUNT OF THAT AID IS THE QUOTIENT OF THE   1,645        

AMOUNT THE DISTRICT RECEIVED UNDER THAT DIVISION DIVIDED BY THE    1,646        

NUMBER OF CHILDREN AGES FIVE THROUGH SEVENTEEN RESIDING IN THE     1,647        

DISTRICT AND LIVING IN A FAMILY PARTICIPATING IN OHIO WORKS        1,648        

FIRST, AS MOST RECENTLY REPORTED UNDER SECTION 3317.10 OF THE      1,649        

REVISED CODE.  IF THE DISTRICT RECEIVES DISADVANTAGED PUPIL        1,651        

IMPACT AID UNDER DIVISION (C) OF SECTION 3317.029 OF THE REVISED   1,652        

CODE, THE PER PUPIL AMOUNT OF THAT AID IS THE PER PUPIL DOLLAR     1,654        

AMOUNT PRESCRIBED FOR THE DISTRICT IN DIVISION (C)(1) OR (2) OF    1,655        

THAT SECTION.                                                                   

      (4)  AN AMOUNT EQUAL TO THE SUM OF THE AMOUNTS OBTAINED      1,657        

WHEN, FOR EACH COMMUNITY SCHOOL WHERE THE DISTRICT'S STUDENTS ARE  1,658        

ENROLLED, THE DISTRICT'S PER PUPIL AMOUNT OF AID RECEIVED UNDER    1,659        

                                                          37     


                                                                 
DIVISION (E) OF SECTION 3317.029 OF THE REVISED CODE, AS ADJUSTED  1,660        

BY ANY DPIA REDUCTION FACTOR OF THE COMMUNITY SCHOOL, IS           1,662        

MULTIPLIED BY THE SUM OF THE FOLLOWING:                            1,663        

      (a)  THE NUMBER OF THE DISTRICT'S STUDENTS REPORTED UNDER    1,665        

DIVISION (B)(2)(a) OF THIS SECTION WHO ARE ENROLLED IN GRADES ONE  1,667        

TO THREE IN THAT COMMUNITY SCHOOL AND WHO ARE NOT RECEIVING        1,670        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP;         1,672        

      (b)  ONE-HALF OF THE DISTRICT'S STUDENTS WHO ARE ENROLLED    1,674        

IN ALL-DAY OR ANY OTHER KINDERGARTEN CLASS IN THAT COMMUNITY       1,675        

SCHOOL AND WHO ARE NOT RECEIVING SPECIAL EDUCATION AND RELATED     1,676        

SERVICES PURSUANT TO AN IEP;                                       1,677        

      (c)  ONE-HALF OF THE DISTRICT'S STUDENTS WHO ARE ENROLLED    1,679        

IN ALL-DAY KINDERGARTEN IN THAT COMMUNITY SCHOOL AND WHO ARE NOT   1,680        

RECEIVING SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN    1,681        

IEP.                                                                            

      THE DISTRICT'S PER PUPIL AMOUNT OF AID UNDER DIVISION (E)    1,683        

OF SECTION 3317.029 OF THE REVISED CODE IS THE QUOTIENT OF THE     1,684        

AMOUNT THE DISTRICT RECEIVED UNDER THAT DIVISION DIVIDED BY THE    1,686        

DISTRICT'S KINDERGARTEN THROUGH THIRD GRADE ADM, AS DEFINED IN     1,687        

THAT SECTION.                                                      1,688        

      (D)  The department shall annually pay to a community        1,690        

school established under this chapter all of the following:        1,691        

      (1)  An amount equal to the sum of the amounts obtained      1,693        

when the number of students enrolled in grades one through         1,694        

twelve, plus one-half of the kindergarten students in the school   1,695        

as, reported under division DIVISIONS (B)(2)(a) AND (b) of this    1,698        

section who are not receiving special education and related        1,699        

services pursuant to an IEP FOR A HANDICAP DESCRIBED IN DIVISION   1,700        

(A) OR (B) OF SECTION 3317.013 OR DIVISION (F)(3) OF SECTION       1,701        

3317.02 OF THE REVISED CODE is multiplied by the community         1,702        

school's base formula amount, as adjusted by the                   1,703        

cost-of-doing-business factor of the school district in which the  1,704        

school STUDENT is located ENTITLED TO ATTEND SCHOOL;               1,705        

      (2)  For THE GREATER OF THE FOLLOWING:                       1,708        

                                                          38     


                                                                 
      (a)  THE AGGREGATE AMOUNT THAT THE DEPARTMENT PAID TO THE    1,710        

COMMUNITY SCHOOL IN FISCAL YEAR 1999 FOR STUDENTS RECEIVING        1,711        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO IEPs,           1,713        

EXCLUDING FEDERAL FUNDS AND STATE DISADVANTAGED PUPIL IMPACT AID   1,715        

FUNDS;                                                                          

      (b)  THE SUM OF THE AMOUNTS CALCULATED UNDER DIVISIONS       1,718        

(D)(2)(b)(i) AND (ii) OF THIS SECTION:                             1,719        

      (i)  FOR each student REPORTED UNDER DIVISION (B)(2)(c) OF   1,723        

THIS SECTION AS enrolled in the school IN GRADES ONE THROUGH       1,724        

TWELVE AND receiving special education and related services        1,725        

pursuant to an IEP, an amount equal to the average county cost     1,726        

for such student, less a prorated share for the student of any     1,727        

FOR A HANDICAP DESCRIBED IN DIVISION (A) OR (B) OF SECTION         1,729        

3317.013 OR DIVISION (F)(3) OF SECTION 3317.02 OF THE REVISED      1,732        

CODE, THE FOLLOWING AMOUNT:                                                     

        (THE COMMUNITY SCHOOL'S BASE FORMULA AMOUNT X THE          1,734        

 COST-OF-DOING-BUSINESS FACTOR OF THE DISTRICT WHERE THE STUDENT   1,735        

     IS ENTITLED TO ATTEND SCHOOL) + (THE APPLICABLE WEIGHT        1,736        

         X THE COMMUNITY SCHOOL'S BASE FORMULA AMOUNT);            1,737        

      (ii)  FOR EACH STUDENT REPORTED UNDER DIVISION (B)(2)(c) OF  1,741        

THIS SECTION AS ENROLLED IN KINDERGARTEN AND RECEIVING SPECIAL                  

EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP FOR A HANDICAP   1,743        

DESCRIBED IN DIVISION (A) OR (B) OF SECTION 3317.013 OR DIVISION   1,745        

(F)(3) OF SECTION 3317.02 OF THE REVISED CODE, ONE-HALF OF THE     1,747        

AMOUNT CALCULATED UNDER THE FORMULA PRESCRIBED IN DIVISION         1,748        

(D)(2)(b)(i) OF THIS SECTION.                                                   

      (3)  AN amount received from state preschool handicapped     1,751        

unit funding or federal funds to provide special education and     1,752        

related services to students in the community school.  This        1,753        

prorated share shall be, AS determined as described under          1,754        

division (C)(2) of this section BY THE SUPERINTENDENT OF PUBLIC    1,756        

INSTRUCTION.                                                                    

      (3)(4)  An amount equal to the SUM OF THE AMOUNTS OBTAINED   1,758        

WHEN, FOR EACH SCHOOL DISTRICT WHERE THE COMMUNITY SCHOOL'S        1,760        

                                                          39     


                                                                 
STUDENTS ARE ENTITLED TO ATTEND SCHOOL, THE number of THAT         1,762        

DISTRICT'S students enrolled in the community school and residing  1,763        

in the school district in a family participating in Ohio works     1,765        

first IS multiplied by the per pupil amount of disadvantaged                    

pupil impact aid that school district receives that year pursuant  1,767        

to division (B) or divisions (C) and (E) of section 3317.029 of    1,769        

the Revised Code, as adjusted by any DPIA reduction factor of the  1,770        

community school.  THE PER PUPIL AMOUNT OF AID SHALL BE            1,772        

DETERMINED AS DESCRIBED IN DIVISION (C)(3) OF THIS SECTION.        1,773        

      (5)  AN AMOUNT EQUAL TO THE SUM OF THE AMOUNTS OBTAINED      1,775        

WHEN, FOR EACH SCHOOL DISTRICT WHERE THE COMMUNITY SCHOOL'S        1,776        

STUDENTS ARE ENTITLED TO ATTEND SCHOOL, THE DISTRICT'S PER PUPIL   1,777        

AMOUNT OF AID RECEIVED UNDER DIVISION (E) OF SECTION 3317.029 OF   1,778        

THE REVISED CODE, AS ADJUSTED BY ANY DPIA REDUCTION FACTOR OF THE  1,781        

COMMUNITY SCHOOL, IS MULTIPLIED BY THE SUM OF THE FOLLOWING:       1,782        

      (a)  THE NUMBER OF THE DISTRICT'S STUDENTS REPORTED UNDER    1,784        

DIVISION (B)(2)(a) OF THIS SECTION WHO ARE ENROLLED IN GRADES ONE  1,786        

TO THREE IN THAT COMMUNITY SCHOOL AND WHO ARE NOT RECEIVING        1,789        

SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN IEP;         1,791        

      (b)  ONE-HALF OF THE DISTRICT'S STUDENTS WHO ARE ENROLLED    1,793        

IN ALL-DAY OR ANY OTHER KINDERGARTEN CLASS IN THAT COMMUNITY       1,794        

SCHOOL AND WHO ARE NOT RECEIVING SPECIAL EDUCATION AND RELATED     1,795        

SERVICES PURSUANT TO AN IEP;                                       1,796        

      (c)  ONE-HALF OF THE DISTRICT'S STUDENTS WHO ARE ENROLLED    1,798        

IN ALL-DAY KINDERGARTEN IN THAT COMMUNITY SCHOOL AND WHO ARE NOT   1,799        

RECEIVING SPECIAL EDUCATION AND RELATED SERVICES PURSUANT TO AN    1,800        

IEP.                                                                            

      THE DISTRICT'S PER PUPIL AMOUNT OF AID UNDER DIVISION (E)    1,802        

OF SECTION 3317.029 OF THE REVISED CODE SHALL BE DETERMINED AS     1,803        

DESCRIBED IN DIVISION (C)(4) OF THIS SECTION.                      1,804        

      (E)  IF A COMMUNITY SCHOOL'S COSTS FOR A FISCAL YEAR FOR A   1,806        

STUDENT RECEIVING SPECIAL EDUCATION AND RELATED SERVICES PURSUANT  1,807        

TO AN IEP FOR A HANDICAP DESCRIBED IN DIVISION (F)(3) OF SECTION   1,809        

3317.02 OF THE REVISED CODE ARE TWENTY-FIVE THOUSAND DOLLARS OR    1,811        

                                                          40     


                                                                 
MORE, THE SCHOOL MAY SUBMIT TO THE SUPERINTENDENT OF PUBLIC        1,812        

INSTRUCTION DOCUMENTATION, AS PRESCRIBED BY THE SUPERINTENDENT,    1,813        

OF ALL ITS COSTS FOR THAT STUDENT.  UPON SUBMISSION OF             1,814        

DOCUMENTATION FOR A STUDENT OF THE TYPE AND IN THE MANNER          1,815        

PRESCRIBED, THE DEPARTMENT SHALL PAY TO THE DISTRICT AN AMOUNT     1,816        

EQUAL TO THE SCHOOL'S COSTS FOR THE STUDENT IN EXCESS OF           1,817        

TWENTY-FIVE THOUSAND DOLLARS.                                                   

      (F)  A community school may apply to the department of       1,819        

education for preschool handicapped or gifted unit funding the     1,820        

school would receive if it were a school district.  Upon request   1,821        

of its governing authority, a community school that received unit  1,823        

funding as a school district-operated school before it became a                 

community school shall retain any units awarded to it as a school  1,824        

district-operated school provided the school continues to meet     1,825        

eligibility standards for the unit.                                1,826        

      A community school shall be considered a school district     1,828        

and its governing authority shall be considered a board of         1,829        

education for the purpose of applying to any state or federal      1,830        

agency for grants that a school district may receive under         1,831        

federal or state law or any appropriations act of the general      1,832        

assembly.  The governing authority of a community school may       1,833        

apply to any private entity for additional funds.                  1,834        

      (F)(G)  A board of education sponsoring a community school   1,836        

may utilize local funds to make enhancement grants to the school   1,837        

or may agree, either as part of the contract or separately, to     1,838        

provide any specific services to the community school at no cost   1,839        

to the school.                                                                  

      (G)(H)  A community school may not levy taxes or issue       1,841        

bonds secured by tax revenues.                                     1,842        

      (H)(I)  No community school shall charge tuition for the     1,844        

enrollment of any student.                                         1,845        

      (I)(J)  A community school may borrow money to pay any       1,847        

necessary and actual expenses of the school in anticipation of     1,849        

the receipt of any portion of the payments to be received by the   1,850        

                                                          41     


                                                                 
school pursuant to division (D) of this section.  The school may   1,851        

issue notes to evidence such borrowing to mature no later than     1,852        

the end of the fiscal year in which such money was borrowed.  The               

proceeds of the notes shall be used only for the purposes for      1,853        

which the anticipated receipts may be lawfully expended by the     1,854        

school.                                                                         

      (J)(K)  For purposes of determining the number of students   1,857        

for which division DIVISIONS (D)(3)(4) AND (5) of this section     1,858        

applies in any school year, a community school may submit to the   1,860        

state department of human services, no later than the first day                 

of March, a list of the students enrolled in the school.  For      1,862        

each student on the list, the community school shall indicate the               

student's name, address, and date of birth and the school          1,863        

district where the student is entitled to attend school under      1,864        

section 3313.64 or 3313.65 of the Revised Code.  Upon receipt of   1,866        

a list under this division, the department of human services       1,868        

shall determine, for each school district where one or more        1,869        

students on the list is entitled to attend school under section    1,870        

3313.64 or 3313.65 of the Revised Code, the number of students     1,873        

residing in that school district who were included in the                       

department's report under section 3317.10 of the Revised Code.     1,875        

The department shall make this determination on the basis of       1,876        

information readily available to it.  Upon making this             1,877        

determination and no later than ninety days after submission of    1,878        

the list by the community school, the department shall report to   1,879        

the state department of education the number of students on the    1,880        

list who reside in each school district who were included in the   1,881        

department's report under section 3317.10 of the Revised Code.     1,882        

In complying with this division, the department of human services  1,883        

shall not report to the state department of education any          1,884        

personally identifiable information on any student.                             

      (K)(L)  The department of education shall adjust the         1,886        

amounts subtracted and paid under divisions (C) and (D) of this    1,887        

section to reflect any enrollment of students in community         1,888        

                                                          42     


                                                                 
schools for less than the equivalent of a full school year.        1,889        

      Sec. 3314.09.  The AS USED IN THIS SECTION, "NATIVE          1,898        

STUDENT" MEANS A STUDENT ENTITLED TO ATTEND SCHOOL IN THE SCHOOL   1,899        

DISTRICT UNDER SECTION 3313.64 OR 3313.65 OF THE REVISED CODE.     1,900        

      THE board of education of the EACH city, local, or AND       1,903        

exempted village school district in which a community school is    1,905        

located shall provide transportation to AND FROM SCHOOL FOR ITS    1,906        

DISTRICT'S NATIVE students enrolled in the A community school,     1,907        

except that the board shall be required to pick up and drop off a  1,908        

nonhandicapped student only at a regular school bus stop           1,909        

designated in accordance with the board's transportation policy    1,910        

LOCATED IN THAT DISTRICT OR ANOTHER DISTRICT ON THE SAME BASIS                  

THAT IT PROVIDES TRANSPORTATION FOR ITS NATIVE STUDENTS ENROLLED   1,912        

IN SCHOOLS TO WHICH THEY ARE ASSIGNED BY THE BOARD OF EDUCATION    1,913        

AT THE SAME GRADE LEVEL AND WHO LIVE THE SAME DISTANCE FROM        1,914        

SCHOOL EXCEPT WHEN, IN THE JUDGMENT OF THE BOARD, CONFIRMED BY     1,915        

THE STATE BOARD OF EDUCATION, THE TRANSPORTATION IS UNNECESSARY    1,916        

OR UNREASONABLE.  A BOARD SHALL NOT BE REQUIRED TO TRANSPORT       1,917        

NONHANDICAPPED STUDENTS TO AND FROM A COMMUNITY SCHOOL LOCATED IN  1,918        

ANOTHER SCHOOL DISTRICT IF THE TRANSPORTATION WOULD REQUIRE MORE   1,919        

THAN THIRTY MINUTES OF DIRECT TRAVEL TIME AS MEASURED BY SCHOOL    1,920        

BUS FROM THE COLLECTION POINT DESIGNATED BY THE DISTRICT'S         1,921        

COORDINATOR OF SCHOOL TRANSPORTATION.                                           

      WHERE IT IS IMPRACTICAL TO TRANSPORT A PUPIL TO AND FROM A   1,924        

COMMUNITY SCHOOL BY SCHOOL CONVEYANCE, A BOARD MAY, IN LIEU OF                  

PROVIDING THE TRANSPORTATION, PAY A PARENT, GUARDIAN, OR OTHER     1,925        

PERSON IN CHARGE OF THE CHILD, BUT ONLY WITH THE CONSENT OF THE    1,926        

PARENT, GUARDIAN, OR OTHER PERSON.  THE AMOUNT PAID PER PUPIL      1,927        

SHALL IN NO EVENT EXCEED THE AVERAGE TRANSPORTATION COST PER       1,928        

PUPIL, WHICH SHALL BE BASED ON THE COST OF TRANSPORTATION OF       1,929        

CHILDREN BY ALL BOARDS OF EDUCATION IN THIS STATE DURING THE NEXT  1,930        

PRECEDING YEAR.                                                    1,931        

      Sec. 3314.11.  The department of education shall establish   1,940        

a THE state community school commission OFFICE OF SCHOOL OPTIONS   1,942        

                                                          43     


                                                                 
TO PROVIDE ADVICE AND SERVICES FOR THE COMMUNITY SCHOOLS PROGRAM,  1,943        

ESTABLISHED PURSUANT TO CHAPTER 3314. OF THE REVISED CODE, AND     1,944        

THE PILOT PROJECT SCHOLARSHIP PROGRAM, ESTABLISHED PURSUANT TO     1,945        

SECTIONS 3313.974 TO 3313.979 OF THE REVISED CODE.  The                         

commission OFFICE shall provide SERVICES THAT FACILITATE THE       1,946        

MANAGEMENT OF THE COMMUNITY SCHOOLS PROGRAM AND THE PILOT PROJECT  1,947        

SCHOLARSHIP PROGRAM, INCLUDING PROVIDING TECHNICAL assistance and  1,948        

information to persons or groups considering proposing a           1,949        

community school, to governing authorities of community schools,   1,950        

and to school district boards PUBLIC ENTITIES sponsoring or        1,952        

considering sponsoring a community school.                                      

      Sec. 3314.12.  The legislative office of education           1,961        

oversight shall produce and issue an annual composite              1,962        

informational report on community schools established under this   1,963        

chapter or under Section 50.52 of Amended Substitute House Bill    1,964        

No. 215 of the 122nd general assembly to the speaker of the house  1,966        

of representatives, the president of the senate, and the                        

governor.  The report shall include the number of schools in       1,967        

operation, the size and characteristics of enrollment for the      1,968        

schools, the academic performance of the schools, the financial    1,969        

status of the schools, and any other pertinent information.        1,970        

      Sec. 3314.13.  (A)  As used in this section:                 1,979        

      (1)  "All-day kindergarten" and "DPIA index" have HAS the    1,982        

same meanings MEANING as in section 3317.029 of the Revised Code.  1,984        

      (2)  "Formula amount" has the same meaning as in section     1,986        

3317.02 of the Revised Code.                                       1,987        

      (B)  The department of education annually shall pay each     1,989        

community school established under this chapter or under Section   1,990        

50.52 of Amended Substitute House Bill No. 215 of the 122nd        1,991        

general assembly one-half of the formula amount for each student   1,992        

who TO WHOM BOTH OF THE FOLLOWING APPLY:                                        

      (1)  THE STUDENT is entitled to attend school under section  1,994        

3313.64 or 3313.65 of the Revised Code in a school district with   1,995        

a DPIA index of one or greater and who is THAT IS ELIGIBLE TO      1,997        

                                                          44     


                                                                 
RECEIVE A PAYMENT UNDER DIVISION (D) OF SECTION 3317.029 OF THE    1,998        

REVISED CODE IF IT PROVIDES ALL-DAY KINDERGARTEN;                               

      (2) THE STUDENT IS reported by the community school UNDER    2,000        

DIVISION (B)(3) OF SECTION 3314.08 OF THE REVISED CODE as          2,001        

enrolled in all-day kindergarten at the community school.  If      2,002        

      (C)  IF  a student for whom payment is made under DIVISION   2,005        

(B) OF this section is entitled to attend school in a district     2,006        

that receives any payment for all-day kindergarten under division  2,007        

(D) of section 3317.029 of the Revised Code, the department shall  2,008        

deduct the payment to the community school under this section      2,009        

from the amount paid that school district under that division.     2,010        

If that school district does not receive payment for all-day       2,011        

kindergarten under that division BECAUSE IT DOES NOT PROVIDE       2,012        

ALL-DAY KINDERGARTEN, the department shall pay the community       2,013        

school from state funds appropriated generally for disadvantaged   2,014        

pupil impact aid.                                                               

      (C)(D)  The department shall adjust the amounts deducted     2,017        

from school districts and paid to community schools under this     2,018        

section to reflect any enrollments of students in all-day          2,019        

kindergarten in community schools for less than the equivalent of  2,020        

a full school year.                                                             

      Sec. 3314.15.  (A)  EACH COMMUNITY SCHOOL LOCATED IN THE     2,022        

PILOT PROJECT AREA, OR IN A COUNTY CONTIGUOUS TO THE PILOT         2,023        

PROJECT AREA, THAT IS IN EXISTENCE ON THE EFFECTIVE DATE OF THIS   2,024        

SECTION PURSUANT TO A CONTRACT ENTERED INTO WITH ITS SPONSOR       2,025        

PRIOR TO THAT DATE UNDER FORMER SECTION 50.52.4 OF AM. SUB. H.B.   2,030        

NO. 215 OF THE 122nd GENERAL ASSEMBLY, IS SUBJECT TO THIS CHAPTER  2,032        

AND SHALL BE CONSIDERED FOR ALL PURPOSES OF THE REVISED CODE TO    2,033        

BE ESTABLISHED UNDER THIS CHAPTER.  HOWEVER, UNTIL THAT CONTRACT   2,034        

EXPIRES, BUT NOT LATER THAN JUNE 30, 2003, THE COMMUNITY SCHOOL    2,035        

MAY CONTINUE TO OPERATE IN ACCORDANCE WITH THAT CONTRACT TO THE    2,036        

EXTENT IT DOES NOT CONFLICT WITH THE PROVISIONS OF SECTION 50.52   2,037        

OF THAT ACT IN EFFECT IMMEDIATELY PRIOR TO THE EFFECTIVE DATE OF   2,038        

THIS SECTION.  THE SCHOOL IS SUBJECT TO ANY PROVISIONS OF THIS     2,039        

                                                          45     


                                                                 
CHAPTER THAT DO NOT CONFLICT WITH THAT CONTRACT.  IF THE                        

GOVERNING AUTHORITY OF SUCH A COMMUNITY SCHOOL RENEWS THE          2,040        

CONTRACT WITH A SPONSOR, THE RENEWED CONTRACT SHALL COMPLY WITH    2,041        

THIS CHAPTER.                                                                   

      (B)  A PRELIMINARY AGREEMENT FOR A COMMUNITY SCHOOL ENTERED  2,043        

INTO PRIOR TO THE EFFECTIVE DATE OF THIS SECTION UNDER FORMER      2,044        

SECTION 50.52.4 OF AM. SUB. H.B. NO. 215 OF THE 122nd GENERAL      2,048        

ASSEMBLY REMAINS VALID ON AND AFTER THAT DATE FOR AS LONG AS THE   2,049        

PROPOSED GOVERNING AUTHORITY AND PROPOSED SPONSOR OF THE           2,050        

COMMUNITY SCHOOL CONTINUE THE AGREEMENT.  IF THEY AGREE TO         2,051        

PROCEED TO ENTER INTO A CONTRACT FOR THE COMMUNITY SCHOOL, THE     2,052        

CONTRACT SHALL BE ENTERED INTO UNDER SECTION 3314.02 AND SHALL     2,053        

COMPLY WITH SECTION 3314.03 OF THE REVISED CODE.                   2,054        

      (C)  A COMMUNITY SCHOOL DESCRIBED IN DIVISION (A) OF THIS    2,056        

SECTION THAT IS LOCATED IN A COUNTY CONTIGUOUS TO THE PILOT        2,058        

PROJECT AREA MAY CONTINUE IN EXISTENCE AS LONG AS THERE IS A       2,059        

VALID CONTRACT BETWEEN THE SCHOOL AND A SPONSOR.  ANY SUCH         2,060        

CONTRACT ENTERED INTO AFTER THE EFFECTIVE DATE OF THIS SECTION     2,061        

SHALL BE SUBJECT TO THIS CHAPTER.  ANY PUBLIC ENTITY LISTED IN     2,062        

DIVISION (C)(1) OF SECTION 3314.02 OF THE REVISED CODE MAY BE A    2,064        

SPONSOR FOR THE COMMUNITY SCHOOL AS IF IT WERE LOCATED IN THE      2,065        

PILOT PROJECT AREA.                                                2,066        

      Sec. 3315.17.  (A)  The board of education of each city,     2,076        

exempted village, local, and joint vocational school district      2,077        

shall establish a textbook and instructional materials fund and    2,078        

shall deposit into that fund four per cent, or another percentage  2,079        

if established in rules adopted under division (B)(C) of this      2,081        

section, of all revenues received by the district for operating    2,082        

expenses.  Money in the fund shall be used solely for textbooks,   2,083        

instructional software, and instructional materials, supplies,     2,084        

and equipment.  Any money in the fund that is not used in any      2,085        

fiscal year shall carry forward to the next fiscal year.           2,086        

      (B)  NOTWITHSTANDING DIVISION (A) OF THIS SECTION, IF IN A   2,088        

FISCAL YEAR A DISTRICT BOARD DEPOSITS IN THE TEXTBOOK AND          2,090        

                                                          46     


                                                                 
INSTRUCTIONAL MATERIALS FUND AN AMOUNT OF MONEY GREATER THAN THE   2,091        

AMOUNT REQUIRED TO BE DEPOSITED BY THIS SECTION OR THE RULES       2,092        

ADOPTED UNDER DIVISION (C) OF THIS SECTION, THE BOARD MAY DEDUCT   2,093        

THE EXCESS AMOUNT OF MONEY FROM THE AMOUNT OF MONEY REQUIRED TO    2,094        

BE DEPOSITED IN SUCCEEDING FISCAL YEARS.                           2,095        

      (C)  The state superintendent of public instruction and the  2,098        

auditor of state jointly shall adopt rules in accordance with      2,099        

Chapter 119. of the Revised Code defining what constitutes         2,101        

textbooks, instructional software, and instructional materials,    2,102        

supplies, and equipment for which money in a school district's     2,103        

textbook and instructional materials fund may be used.  The        2,104        

jointly adopted rules also may designate a percentage, other than  2,106        

four per cent, of district operating revenues that must be                      

deposited into the fund.  The auditor of state shall adopt rules   2,108        

under section 117.20 of the Revised Code authorizing up to a       2,110        

three-year phase-in period for district boards to meet the                      

percentage requirements of division (A) of this section, AND       2,112        

SPECIFYING THE MANNER IN WHICH DISTRICT BOARDS MAY DEDUCT FROM A   2,113        

REQUIRED DEPOSIT AN EXCESS AMOUNT DEPOSITED INTO THE TEXTBOOK AND  2,114        

INSTRUCTIONAL MATERIALS FUND IN A PRIOR FISCAL YEAR.                            

      (C)(D)  Notwithstanding division (A) of this section, a      2,117        

district board of education in any fiscal year may appropriate     2,118        

money in the district textbook and instructional materials fund    2,119        

for purposes other than those permitted by that division if both   2,120        

of the following occur during that fiscal year:                    2,121        

      (1)  All of the following certify to the district board in   2,123        

writing that the district has sufficient textbooks, instructional  2,124        

software, and instructional materials, supplies, and equipment to  2,126        

ensure a thorough and efficient education within the district:     2,127        

      (a)  The district superintendent;                            2,129        

      (b)  In districts required to have a business advisory       2,131        

council, a person designated by vote of the business advisory      2,132        

council;                                                                        

      (c)  If the district teachers are represented by an          2,134        

                                                          47     


                                                                 
exclusive bargaining representative for purposes of Chapter 4117.  2,136        

of the Revised Code, the president of that organization or the     2,139        

president's designee.                                                           

      (2)  The district board adopts, by unanimous vote of all     2,141        

members of the board, a resolution stating that the district has   2,142        

sufficient textbooks, instructional software, and instructional    2,143        

materials, supplies, and equipment to ensure a thorough and        2,144        

efficient education within the district.                           2,145        

      (D)(E)  Notwithstanding any provision to the contrary in     2,147        

Chapter 4117. of the Revised Code, the requirements of this        2,148        

section prevail over any conflicting provisions of agreements      2,150        

between employee organizations and public employers entered into   2,151        

on or after the effective date of this section NOVEMBER 21, 1997.  2,152        

      Sec. 3316.05.  (A)  Pursuant to the powers of the general    2,161        

assembly and for the purposes of this chapter, upon the            2,162        

declaration of a fiscal emergency in any school district pursuant  2,164        

to division (B) of section 3316.03 of the Revised Code, there is   2,165        

established, with respect to that school district, a body both                  

corporate and politic constituting an agency and instrumentality   2,166        

of the state and performing essential governmental functions of    2,167        

the state to be known as the "financial planning and supervision   2,168        

commission for ........ (name of school district)," which, in      2,169        

that name, may exercise all authority vested in such a commission  2,170        

by this chapter.  A separate commission is established with        2,171        

respect to each school district as to which there is a fiscal      2,172        

emergency as determined under this chapter.                        2,173        

      (B)  A commission APPOINTED AFTER JULY 1, 1999, shall        2,175        

consist of seven FIVE voting members, including women and at       2,177        

least one Hispanic or African American if Hispanic and African     2,178        

Americans together constitute at least twenty per cent of the      2,179        

student population of the district, as follows:                                 

      (1)  Four TWO ex officio members:  the director of budget    2,182        

and management, OR A DESIGNEE OF THE DIRECTOR, AND the             2,183        

superintendent of public instruction, OR A DESIGNEE OF the         2,184        

                                                          48     


                                                                 
superintendent of the school district, and the mayor of the        2,185        

municipal corporation with the largest number of residents living  2,186        

within the school district, except that if more than fifty per     2,187        

cent of the residents of the district reside outside the           2,188        

municipal corporation containing the greatest number of district   2,189        

residents or if there is no municipal corporation located in the   2,190        

school district, the county auditor of the county with the                      

largest number of residents living within the school district      2,191        

shall be a member of the commission in lieu of a mayor.            2,192        

      The director of budget and management may designate an       2,194        

individual within the office of budget and management; the mayor   2,196        

may designate a responsible official within his office or the      2,197        

fiscal officer of the municipal corporation; the superintendent    2,198        

of public instruction may designate an employee within the         2,199        

department of education; and the superintendent of the school                   

district may designate an employee of the school district to       2,200        

attend the meetings of the commission when the ex officio member   2,202        

making the designation is absent or unable for any reason to       2,203        

attend.  A designee, when present, shall be counted in             2,205        

determining whether a quorum is present at any meeting of the      2,206        

commission and may vote and participate in all proceedings and     2,207        

actions of the commission.  The designations shall be in writing,  2,208        

executed by the member making the designation, and filed with the  2,209        

secretary of the commission.  The designations may be changed      2,210        

from time to time in like manner, but due regard shall be given    2,211        

to the need for continuity.                                                     

      (2)  Three appointed members, who shall be appointed within  2,213        

fifteen days after the declaration of the fiscal emergency, one    2,215        

by the governor, one by the superintendent of public instruction,  2,216        

and one by the mayor or county auditor who is a member of the      2,217        

commission OF THE MUNICIPAL CORPORATION WITH THE LARGEST NUMBER    2,218        

OF RESIDENTS LIVING WITHIN THE SCHOOL DISTRICT, EXCEPT THAT IF     2,219        

MORE THAN FIFTY PER CENT OF THE RESIDENTS OF THE DISTRICT RESIDE   2,220        

OUTSIDE THE MUNICIPAL CORPORATION CONTAINING THE GREATEST NUMBER   2,221        

                                                          49     


                                                                 
OF DISTRICT RESIDENTS OR IF THERE IS NO MUNICIPAL CORPORATION      2,222        

LOCATED IN THE SCHOOL DISTRICT, THE COUNTY AUDITOR OF THE COUNTY                

WITH THE LARGEST NUMBER OF RESIDENTS LIVING WITHIN THE SCHOOL      2,223        

DISTRICT SHALL MAKE THE APPOINTMENT IN LIEU OF A MAYOR.  All of    2,224        

the appointed members shall serve at the pleasure of the           2,225        

appointing authority during the life of the commission.  In the    2,226        

event of the death, resignation, incapacity, removal, or           2,227        

ineligibility to serve of an appointed member, the appointing      2,228        

authority shall appoint a successor within fifteen days after the  2,229        

vacancy occurs.                                                                 

      (a)  The member appointed by the governor and the member     2,231        

appointed by the mayor or county auditor shall be an individual:   2,232        

      (i)  Who has knowledge and experience in financial matters,  2,234        

financial management, or business organization or operations,      2,235        

including at least five years of experience in the public or       2,236        

private sector in the management of business or financial          2,237        

enterprise, or in management consulting, public accounting, or     2,238        

other similar professional activity;                               2,239        

      (ii)  Whose residency, office, or principal place of         2,241        

professional or business activity is situated within the school    2,243        

district.                                                                       

      (b)  The member appointed by the superintendent of public    2,245        

instruction shall be a parent of a child currently enrolled in a   2,246        

public school within the district.                                 2,247        

      (C)  Immediately after appointment of the initial appointed  2,249        

members of the commission, the superintendent of public            2,250        

instruction shall call the first meeting of the commission and     2,251        

shall cause written notice of the time, date, and place of the     2,252        

first meeting to be given to each member of the commission at      2,253        

least forty-eight hours in advance of the meeting.                 2,254        

      (D)  The superintendent of public instruction shall serve    2,256        

as the commission's chairperson and the commission shall elect     2,257        

one of its members as vice-chairperson and may appoint a           2,258        

secretary and any other officers, who need not be members of the   2,259        

                                                          50     


                                                                 
commission, AS it considers necessary.                             2,260        

      (E)  The commission may adopt and alter bylaws and rules,    2,262        

which shall not be subject to section 111.15 or Chapter 119. of    2,263        

the Revised Code, for the conduct of its affairs and for the       2,264        

manner, subject to this chapter, in which its powers and           2,265        

functions shall be exercised and embodied.                                      

      (F)  Four THREE members of the commission constitute a       2,267        

quorum of the commission.  The affirmative vote of four THREE      2,268        

members of the commission is necessary for any action taken by     2,270        

vote of the commission.  No vacancy in the membership of the       2,271        

commission shall impair the rights of a quorum by such vote to     2,272        

exercise all the rights and perform all the duties of the          2,273        

commission.  Members of the commission, and their designees, are   2,274        

not disqualified from voting by reason of the functions of the     2,275        

other office they hold and are not disqualified from exercising    2,276        

the functions of the other office with respect to the school       2,277        

district, its officers, or the commission.                         2,278        

      (G)  THE AUDITOR OF STATE SHALL ACT AS THE FINANCIAL         2,280        

SUPERVISOR FOR THE SCHOOL DISTRICT UNDER CONTRACT WITH THE         2,281        

COMMISSION UNLESS THE AUDITOR OF STATE ELECTS TO CONTRACT FOR      2,282        

THAT SERVICE.  At the request of the commission the auditor of     2,283        

state shall designate employees of the auditor of state's office   2,284        

to assist the commission and to coordinate the work of the         2,285        

auditor of state's office.  Upon the declaration of a fiscal       2,286        

emergency in any school district, the school district shall        2,288        

provide the commission with such reasonable office space in the    2,289        

principal building housing the administrative offices of the       2,290        

school district, where feasible, as the commission determines is                

necessary to carry out its duties under this chapter.              2,291        

      The attorney general shall serve as the legal counsel for    2,293        

the commission.                                                                 

      (H)  The members of the commission, the superintendent of    2,296        

public instruction, the auditor of state, and any person           2,297        

authorized to act on behalf of or assist them shall not be                      

                                                          51     


                                                                 
personally liable or subject to any suit, judgment, or claim for   2,298        

damages resulting from the exercise of or failure to exercise the  2,299        

powers, duties, and functions granted to them in regard to their   2,300        

functioning under this chapter, but the commission, the            2,301        

superintendent of public instruction, the auditor of state, and    2,302        

such other persons shall be subject to mandamus proceedings to     2,303        

compel performance of their duties under this chapter.             2,304        

      (I)  At the request of the commission the administrative     2,306        

head of any state agency shall temporarily assign personnel        2,307        

skilled in accounting and budgeting procedures to assist the       2,308        

commission in its duties.                                          2,309        

      (J)  The appointed members of the commission are not         2,311        

subject to section 102.02 of the Revised Code, each appointed      2,312        

member of the commission shall file with the commission a signed   2,313        

written statement setting forth the general nature of sales of     2,314        

goods, property, or services or of loans to the school district    2,315        

with respect to which that commission is established, in which     2,316        

the appointed member has a pecuniary interest or in which any      2,317        

member of the appointed member's immediate family, as defined in   2,318        

section 102.01 of the Revised Code, or any corporation,            2,319        

partnership, or enterprise of which the appointed member is an                  

officer, director, or partner, or of which the appointed member    2,320        

or a member of the appointed member's immediate family, as so      2,321        

defined, owns more than a five per cent interest, has a pecuniary  2,323        

interest, and of which sale, loan, or interest such member has     2,324        

knowledge.  The statement shall be supplemented from time to time  2,325        

to reflect changes in the general nature of any such sales or      2,326        

loans.                                                                          

      (K)  Meetings of the commission shall be subject to section  2,328        

121.22 of the Revised Code except that division (C) of such        2,329        

section requiring members to be physically present to be part of   2,330        

a quorum or vote does not apply if the commission holds a meeting  2,331        

by teleconference and if provisions are made for public            2,332        

attendance at any location involved in such teleconference.                     

                                                          52     


                                                                 
      Sec. 3316.06.  (A)  Within sixty ONE HUNDRED TWENTY days     2,345        

after the first meeting of a school district financial planning    2,347        

and supervision commission, the commission shall adopt a           2,348        

financial recovery plan regarding the school district for which    2,349        

the commission was created.  During the formulation of the plan,   2,350        

the commission shall seek appropriate input from the school                     

district board and from the community.  This plan shall contain    2,351        

the following:                                                                  

      (1)  Actions to be taken to:                                 2,353        

      (a)  Eliminate all fiscal emergency conditions declared to   2,356        

exist pursuant to division (B) of section 3316.03 of the Revised                

Code;                                                                           

      (b)  Satisfy any judgments, past-due accounts payable, and   2,358        

all past-due and payable payroll and fringe benefits;              2,359        

      (c)  Eliminate the deficits in all deficit funds;            2,361        

      (d)  Restore to special funds any moneys from such funds     2,363        

that were used for purposes not within the purposes of such        2,365        

funds, or borrowed from such funds by the purchase of debt         2,366        

obligations of the school district with the moneys of such funds,  2,367        

or missing from the special funds and not accounted for, if any;   2,368        

      (e)  Balance the budget, avoid future deficits in any        2,370        

funds, and maintain on a current basis payments of payroll,        2,371        

fringe benefits, and all accounts;                                 2,372        

      (f)  Avoid any fiscal emergency condition in the future;     2,374        

      (g)  Restore the ability of the school district to market    2,376        

long-term general obligation bonds under provisions of law         2,377        

applicable to school districts generally.                          2,378        

      (2)  The management structure that will enable the school    2,380        

district to take the actions enumerated in division (A)(1) of      2,381        

this section.  The plan shall specify the level of fiscal and      2,382        

management control that the commission will exercise within the    2,383        

school district during the period of fiscal emergency, and shall   2,384        

enumerate respectively, the powers and duties of the commission    2,385        

and the powers and duties of the school board during that period.  2,386        

                                                          53     


                                                                 
The commission may elect to assume any of the powers and duties                 

of the school board it considers necessary, including all powers   2,387        

related to personnel, curriculum, and legal issues in order to     2,388        

successfully implement the actions described in division (A)(1)    2,389        

of this section.                                                                

      (3)  The target dates for the commencement, progress upon,   2,392        

and completion of the actions enumerated in division (A)(1) of     2,393        

this section and a reasonable period of time expected to be        2,394        

required to implement the plan.  The commission shall prepare a                 

reasonable time schedule for progress toward and achievement of    2,396        

the requirements for the plan, and the plan shall be consistent    2,397        

with that time schedule.                                                        

      (4)  The amount and purpose of any issue of debt             2,399        

obligations that will be issued, together with assurances that     2,400        

any such debt obligations that will be issued will not exceed      2,401        

debt limits supported by appropriate certifications by the fiscal  2,402        

officer of the school district and the county auditor.  Debt       2,403        

obligations issued pursuant to section 133.301 of the Revised      2,404        

Code shall include assurances that such debt shall be in an        2,405        

amount not to exceed the amount certified under division (B) of    2,406        

such section.  If the commission considers it necessary in order   2,409        

to maintain or improve educational opportunities of pupils in the  2,410        

school district, the plan may include a proposal to restructure                 

or refinance outstanding debt obligations incurred by the board    2,411        

under section 3313.483 of the Revised Code contingent upon the     2,413        

approval, during the period of the fiscal emergency, by district                

voters of a tax levied under section 718.09, 718.10, 5705.194,     2,414        

5705.21, 5748.02, or 5748.08 of the Revised Code, that is not a    2,416        

renewal or replacement levy and that will provide new operating    2,417        

revenue.  Notwithstanding any provision of Chapter 133. or         2,419        

sections 3313.483 through TO 3313.4811 of the Revised Code,                     

following the required approval of the district voters and with    2,421        

the approval of the commission, the school district may issue      2,422        

securities to evidence the restructuring or refinancing.  Those    2,423        

                                                          54     


                                                                 
securities may extend the original period for repayment, not to    2,424        

exceed ten years, and may alter the frequency and amount of        2,426        

repayments, interest or other financing charges, and other terms   2,427        

of agreements under which the debt originally was contracted, at   2,428        

the discretion of the commission, provided that any loans          2,429        

received pursuant to section 3313.483 of the Revised Code shall                 

be paid from funds the district would otherwise receive under      2,430        

sections 3317.022 to 3317.025 of the Revised Code, as required     2,431        

under division (E)(3) of section 3313.483 of the Revised Code.     2,432        

The securities issued for the purpose of restructuring or          2,433        

refinancing the debt shall be repaid in equal payments and at                   

equal intervals over the term of the debt and are not eligible to  2,434        

be included in any subsequent proposal for the purpose of          2,435        

restructuring or refinancing debt under this section.              2,436        

      (B)  Any financial recovery plan may be amended subsequent   2,438        

to its adoption.  Each financial recovery plan shall be updated    2,439        

annually.                                                                       

      Sec. 3317.01.  As used in this section and section 3317.011  2,448        

of the Revised Code, "school district," unless otherwise           2,449        

specified, means any city, local, exempted village, joint          2,450        

vocational, or cooperative education school district and any       2,452        

educational service center.                                                     

      This chapter shall be administered by the state board of     2,454        

education.  The superintendent of public instruction shall         2,455        

calculate the amounts payable to each school district and shall    2,456        

certify the amounts payable to each eligible district to the       2,457        

treasurer of the district as provided by this chapter.  No moneys  2,458        

shall be distributed pursuant to this chapter without the          2,459        

approval of the controlling board.                                 2,460        

      The state board of education shall, in accordance with       2,462        

appropriations made by the general assembly, meet the financial    2,463        

obligations of this chapter, except that moneys to meet the        2,464        

financial obligations of section 3301.17 of the Revised Code       2,465        

shall be supplemented from funds available to the state from the   2,466        

                                                          55     


                                                                 
United States or any agency or department thereof for a driver     2,467        

education course of instruction.                                   2,468        

      Annually, the department of education shall calculate and    2,470        

report to each school district the district's total state and      2,471        

local funds for providing an adequate basic education to the       2,472        

district's nonhandicapped students, utilizing the determination    2,473        

in section 3317.012 of the Revised Code.  In addition, the                      

department shall calculate and report separately for each school   2,474        

district the district's total state and local funds for providng   2,475        

an adequate education for its handicapped students, utilizing the  2,476        

determinations in both sections 3317.012 and 3317.013 of the       2,477        

Revised Code.                                                                   

      NOT LATER THAN THE THIRTY-FIRST DAY OF AUGUST OF EACH        2,479        

FISCAL YEAR, THE DEPARTMENT OF EDUCATION SHALL PROVIDE TO EACH     2,480        

SCHOOL DISTRICT AND MR/DD BOARD A PRELIMINARY ESTIMATE OF THE      2,481        

AMOUNT OF FUNDING THAT THE DEPARTMENT CALCULATES THE DISTRICT      2,482        

WILL RECEIVE UNDER EACH OF DIVISIONS (C)(1) AND (5) OF SECTION     2,483        

3317.022 OF THE REVISED CODE.  NO LATER THAN THE FIRST DAY OF      2,484        

DECEMBER OF EACH FISCAL YEAR, THE DEPARTMENT SHALL UPDATE THAT                  

PRELIMINARY ESTIMATE.                                              2,485        

      Moneys distributed pursuant to this chapter shall be         2,487        

calculated and paid on a fiscal year basis, beginning with the     2,488        

first day of July and extending through the thirtieth day of       2,489        

June.  The moneys appropriated for each fiscal year shall be       2,490        

distributed at least monthly to each school district unless        2,491        

otherwise provided for.  The state board shall submit a yearly     2,492        

distribution plan to the controlling board at its first meeting    2,494        

in July.  The state board shall submit any proposed midyear                     

revision of the plan to the controlling board in January.  Any     2,496        

year-end revision of the plan shall be submitted to the            2,497        

controlling board in June.  If moneys appropriated for each                     

fiscal year are distributed other than monthly, such distribution  2,498        

shall be on the same basis for each school district.               2,499        

      The total amounts paid each month shall constitute, as       2,501        

                                                          56     


                                                                 
nearly as possible, one-twelfth of the total amount payable for    2,502        

the entire year.  Payments made during the first six months of     2,503        

the fiscal year may be based on an estimate of the amounts         2,504        

payable for the entire year.  Payments made in the last six        2,505        

months shall be based on the final calculation of the amounts      2,506        

payable to each school district for that fiscal year.  Payments    2,507        

made in the last six months may be adjusted, if necessary, to      2,508        

correct the amounts distributed in the first six months, and to    2,509        

reflect enrollment increases when such are at least three per      2,510        

cent.  Except as otherwise provided, payments under this chapter   2,511        

shall be made only to those school districts in which:             2,512        

      (A)  The school district, except for any educational         2,515        

service center and any joint vocational or cooperative education   2,516        

school district, levies for current operating expenses at least    2,517        

twenty mills.  Levies for joint vocational or cooperative          2,519        

education school districts or county school financing districts,   2,520        

limited to or to the extent apportioned to current expenses,       2,521        

shall be included in this qualification requirement.  School       2,522        

district income tax levies under Chapter 5748. of the Revised      2,523        

Code, limited to or to the extent apportioned to current           2,524        

operating expenses, shall be included in this qualification        2,525        

requirement to the extent determined by the tax commissioner       2,526        

under division (C) of section 3317.021 of the Revised Code.        2,527        

      (B)  The school year next preceding the fiscal year for      2,529        

which such payments are authorized meets the requirement of        2,530        

section 3313.48 or 3313.481 of the Revised Code, with regard to    2,531        

the minimum number of days or hours school must be open for        2,532        

instruction with pupils in attendance, for individualized          2,533        

parent-teacher conference and reporting periods, and for           2,534        

professional meetings of teachers.  This requirement shall be      2,535        

waived by the superintendent of public instruction if it had been  2,536        

necessary for a school to be closed because of disease epidemic,   2,537        

hazardous weather conditions, inoperability of school buses or     2,538        

other equipment necessary to the school's operation, damage to a   2,539        

                                                          57     


                                                                 
school building, or other temporary circumstances due to utility   2,540        

failure rendering the school building unfit for school use,        2,541        

provided that for those school districts operating pursuant to     2,542        

section 3313.48 of the Revised Code the number of days the school  2,543        

was actually open for instruction with pupils in attendance and    2,544        

for individualized parent-teacher conference and reporting         2,545        

periods is not less than one hundred seventy-five, or for those    2,546        

school districts operating on a trimester plan the number of days  2,547        

the school was actually open for instruction with pupils in        2,548        

attendance not less than seventy-nine days in any trimester, for   2,549        

those school districts operating on a quarterly plan the number    2,550        

of days the school was actually open for instruction with pupils   2,551        

in attendance not less than fifty-nine days in any quarter, or     2,552        

for those school districts operating on a pentamester plan the     2,553        

number of days the school was actually open for instruction with   2,554        

pupils in attendance not less than forty-four days in any          2,555        

pentamester.                                                                    

      A school district shall not be considered to have failed to  2,557        

comply with this division or section 3313.481 of the Revised Code  2,558        

because schools were open for instruction but either twelfth       2,559        

grade students were excused from attendance for up to three days   2,560        

or only a portion of the kindergarten students were in attendance  2,561        

for up to three days in order to allow for the gradual             2,562        

orientation to school of such students.                            2,563        

      The superintendent of public instruction shall waive the     2,565        

requirements of this section with reference to the minimum number  2,566        

of days or hours school must be in session with pupils in          2,567        

attendance for the school year succeeding the school year in       2,568        

which a board of education initiates a plan of operation pursuant  2,569        

to section 3313.481 of the Revised Code.  The minimum              2,570        

requirements of this section shall again be applicable to such a   2,571        

district beginning with the school year commencing the second      2,572        

July succeeding the initiation of one such plan, and for each      2,573        

school year thereafter.                                            2,574        

                                                          58     


                                                                 
      A school district shall not be considered to have failed to  2,576        

comply with this division or section 3313.48 or 3313.481 of the    2,577        

Revised Code because schools were open for instruction but the     2,578        

length of the regularly scheduled school day, for any number of    2,579        

days during the school year, was reduced by not more than two      2,580        

hours due to hazardous weather conditions.                                      

      (C)  The school district has on file, and is paying in       2,582        

accordance with, a teachers' salary schedule which complies with   2,584        

section 3317.13 of the Revised Code.                                            

      A board of education or governing board of an educational    2,586        

service center which has not conformed with other law and the      2,588        

rules pursuant thereto, shall not participate in the distribution  2,589        

of funds authorized by sections 3317.022 to 3317.0211, 3317.11,    2,590        

3317.16, 3317.17, and 3317.19 of the Revised Code, except for      2,591        

good and sufficient reason established to the satisfaction of the  2,592        

state board of education and the state controlling board.          2,593        

      All funds allocated to school districts under this chapter,  2,595        

except those specifically allocated for other purposes, shall be   2,596        

used to pay current operating expenses only.                       2,597        

      Sec. 3317.014.  THE AVERAGE VOCATIONAL EDUCATION ADDITIONAL  2,599        

COST PER PUPIL CAN BE EXPRESSED AS A MULTIPLE OF THE BASE COST     2,600        

PER PUPIL CALCULATED UNDER SECTION 3317.012 OF THE REVISED CODE.   2,601        

THE MULTIPLES FOR THE FOLLOWING CATEGORIES OF VOCATIONAL           2,602        

EDUCATION PROGRAMS ARE AS FOLLOWS:                                 2,603        

      (A)  A MULTIPLE OF 0.60 FOR STUDENTS ENROLLED IN VOCATIONAL  2,605        

EDUCATION JOB-TRAINING AND WORKFORCE DEVELOPMENT PROGRAMS          2,606        

APPROVED BY THE DEPARTMENT OF EDUCATION IN ACCORDANCE WITH RULES   2,607        

ADOPTED UNDER SECTION 3313.90 OF THE REVISED CODE.                 2,608        

      (B)  A MULTIPLE OF 0.30 FOR STUDENTS ENROLLED IN VOCATIONAL  2,610        

EDUCATION CLASSES OTHER THAN JOB-TRAINING AND WORKFORCE            2,611        

DEVELOPMENT PROGRAMS DESIGNATED BY THE DEPARTMENT OF EDUCATION AS  2,612        

CATEGORY TWO VOCATIONAL EDUCATION SERVICES.                        2,613        

      VOCATIONAL EDUCATION ASSOCIATED SERVICES COSTS CAN BE        2,615        

EXPRESSED AS A MULTIPLE OF 0.05 OF THE BASE COST PER PUPIL         2,616        

                                                          59     


                                                                 
CALCULATED UNDER SECTION 3317.012 OF THE REVISED CODE.             2,617        

      Sec. 3317.02.  As used in this chapter:                      2,626        

      (A)  Unless otherwise specified, "school district" means     2,628        

city, local, and exempted village school districts.                2,629        

      (B)  "Formula amount" means the base cost for the fiscal     2,631        

year specified in section 3317.012 of the Revised Code, except     2,633        

that to allow for the orderly phase-in of the increased funding    2,634        

specified in that section, the formula amount for fiscal year      2,635        

1999 shall be $3,851; the formula amount for fiscal year 2000      2,636        

shall be $4,038 4,052; and the formula amount for fiscal year      2,638        

2001 shall be $4,226 4,276.  Thereafter, the formula amount shall  2,640        

be as specified in that section.                                                

      (C)  "FTE basis" means a count of students based on          2,643        

full-time equivalency, in accordance with rules adopted by the     2,644        

department of education pursuant to section 3317.03 of the         2,645        

Revised Code.  In adopting its rules under this division, the      2,646        

department shall provide for counting any student in a district's  2,647        

category one, two, or three special education ADM OR IN CATEGORY   2,649        

ONE OR TWO VOCATIONAL EDUCATION ADM in the same proportion the     2,650        

student is counted in formula ADM.                                 2,651        

      (D)(1)  "Formula ADM" means, FOR A CITY, LOCAL, OR EXEMPTED  2,654        

VILLAGE SCHOOL DISTRICT, the number reported pursuant to division  2,656        

(A) of section 3317.03 of the Revised Code, AND FOR A JOINT                     

VOCATIONAL SCHOOL DISTRICT, THE NUMBER REPORTED PURSUANT TO        2,657        

DIVISION (D) OF THAT SECTION.                                      2,658        

      (2)  "Three-year average formula ADM" means the average of   2,660        

a school district's formula ADMs for the current and preceding     2,662        

two fiscal years.  However, as applicable in fiscal years 1999     2,663        

and 2000, the three-year average FOR CITY, LOCAL, AND EXEMPTED     2,664        

VILLAGE SCHOOL DISTRICTS shall be determined utilizing the FY      2,665        

1997 ADM or FY 1998 ADM in lieu of formula ADM for fiscal year     2,666        

1997 or 1998.  IN FISCAL YEARS 2000 AND 2001, THE THREE-YEAR       2,667        

AVERAGE FOR JOINT VOCATIONAL SCHOOL DISTRICTS SHALL BE DETERMINED  2,669        

UTILIZING THE AVERAGE DAILY MEMBERSHIP REPORTED IN FISCAL YEARS                 

                                                          60     


                                                                 
1998 AND 1999 UNDER DIVISION (D) OF SECTION 3317.03 OF THE         2,670        

REVISED CODE IN LIEU OF FORMULA ADM FOR FISCAL YEARS 1998 AND      2,671        

1999.                                                                           

      (E)  "FY 1997 ADM" or "FY 1998 ADM" means the SCHOOL         2,674        

district's average daily membership reported for the applicable    2,675        

fiscal year under the version of division (A) of section 3317.03   2,676        

of the Revised Code in effect during that fiscal year, adjusted    2,678        

as follows:                                                                     

      (1)  Minus the average daily membership of handicapped       2,681        

preschool children;                                                             

      (2)  Minus one-half of the average daily membership          2,684        

attending kindergarten;                                                         

      (3)  Minus three-fourths of the average daily membership     2,687        

attending a joint vocational school district;                      2,688        

      (4)  Plus the average daily membership entitled under        2,690        

section 3313.64 or 3313.65 of the Revised Code to attend school    2,692        

in the district but receiving educational services in approved     2,693        

units from an educational service center or another school         2,694        

district under a compact or a cooperative education agreement, as  2,695        

determined by the department;                                                   

      (5)  Minus the average daily membership receiving            2,697        

educational services from the district in approved units but       2,698        

entitled under section 3313.64 or 3313.65 of the Revised Code to   2,699        

attend school in another school district, as determined by the     2,700        

department.                                                                     

      (F)(1)  "Category one special education ADM" means the       2,704        

average daily membership of handicapped children receiving                      

special education services for those handicaps specified in        2,706        

division (A) of section 3317.013 of the Revised Code and reported  2,707        

under division (B)(5) OR (D)(2)(b) of section 3317.03 of the       2,710        

Revised Code.                                                                   

      (2)  "Category two special education ADM" means the average  2,714        

daily membership of handicapped children receiving special         2,715        

education services for those handicaps specified in division (B)   2,716        

                                                          61     


                                                                 
of section 3317.013 of the Revised Code and reported under                      

division (B)(6) OR (D)(2)(c) of section 3317.03 of the Revised     2,718        

Code.                                                              2,719        

      (3)  "Category three special education ADM" means the        2,723        

average daily membership of students receiving special education   2,724        

services for students identified as autistic, having traumatic                  

brain injuries, or as both visually and hearing disabled as these  2,725        

terms are defined pursuant to Chapter 3323. of the Revised Code,   2,726        

and reported under division (B)(7) OR (D)(2)(d) of section         2,727        

3317.03 of the Revised Code.                                       2,728        

      (4)  "CATEGORY ONE VOCATIONAL EDUCATION ADM" MEANS THE       2,731        

AVERAGE DAILY MEMBERSHIP OF STUDENTS RECEIVING VOCATIONAL                       

EDUCATION SERVICES DESCRIBED IN DIVISION (A) OF SECTION 3317.014   2,732        

OF THE REVISED CODE AND REPORTED UNDER DIVISION (B)(8) OR          2,733        

(D)(2)(e) OF SECTION 3317.03 OF THE REVISED CODE.                  2,734        

      (5)  "CATEGORY TWO VOCATIONAL EDUCATION ADM" MEANS THE       2,736        

AVERAGE DAILY MEMBERSHIP OF STUDENTS RECEIVING VOCATIONAL          2,737        

EDUCATION SERVICES DESCRIBED IN DIVISION (B) OF SECTION 3317.014   2,738        

OF THE REVISED CODE AND REPORTED UNDER DIVISION (B)(9) OR          2,739        

(D)(2)(f) OF SECTION 3317.03 OF THE REVISED CODE.                  2,740        

      (6)  "CATEGORY THREE VOCATIONAL EDUCATION ADM" MEANS THE     2,742        

AVERAGE DAILY MEMBERSHIP OF STUDENTS RECEIVING OTHER VOCATIONAL    2,743        

EDUCATION PROGRAMS OR SERVICES DESIGNATED AS CATEGORY THREE        2,744        

VOCATIONAL EDUCATION SERVICES BY THE DEPARTMENT OF EDUCATION AND   2,745        

REPORTED UNDER DIVISION (B)(10) OR (D)(2)(g) OF SECTION 3317.03    2,747        

OF THE REVISED CODE.                                                            

      (G)  "Handicapped preschool child" means a handicapped       2,750        

child, as defined in section 3323.01 of the Revised Code, who is   2,751        

at least age three but is not of compulsory school age, as         2,752        

defined in section 3321.01 of the Revised Code, and who has not    2,753        

entered kindergarten.                                                           

      (H)  "County MR/DD board" means a county board of mental     2,756        

retardation and developmental disabilities.                        2,757        

      (I)  "Recognized valuation" means the amount calculated for  2,760        

                                                          62     


                                                                 
a school district pursuant to section 3317.015 of the Revised      2,761        

Code.                                                                           

      (J)  "Transportation ADM" means the number of children       2,764        

reported under division (B)(9)(11) of section 3317.03 of the       2,765        

Revised Code.                                                                   

      (K)  "Most AVERAGE efficient transportation use cost per     2,767        

transported student" for a SCHOOL district means a statistical     2,769        

representation of transportation costs as calculated under         2,771        

division (D)(4)(3) of section 3317.022 of the Revised Code.        2,772        

      (L)  "Taxes charged and payable" means the taxes charged     2,774        

and payable against real and public utility property after making  2,775        

the reduction required by section 319.301 of the Revised Code,     2,776        

plus the taxes levied against tangible personal property.          2,777        

      (M)  "Total taxable value" means the sum of the amounts      2,780        

certified for a city, local, exempted village, or joint            2,781        

vocational school district under divisions (A)(1) and (2) of       2,782        

section 3317.021 of the Revised Code.                                           

      (N)(1)  "Cost-of-doing-business factor" means the amount     2,784        

indicated in this division for the county in which the A CITY,     2,785        

LOCAL, EXEMPTED VILLAGE, OR JOINT VOCATIONAL SCHOOL district is    2,786        

located, adjusted in accordance with division (N)(2) of this       2,788        

section.  If the A CITY, LOCAL, OR EXEMPTED VILLAGE SCHOOL                      

district is located in more than one county, the factor is the     2,790        

amount indicated for the county to which the district is assigned  2,791        

by the state department of education.  IF A JOINT VOCATIONAL       2,792        

SCHOOL DISTRICT IS LOCATED IN MORE THAN ONE COUNTY, THE FACTOR IS               

THE AMOUNT INDICATED FOR THE COUNTY IN WHICH THE JOINT VOCATIONAL  2,793        

SCHOOL WITH THE GREATEST FORMULA ADM OPERATED BY THE DISTRICT IS   2,794        

LOCATED.                                                           2,795        

                                       COST-OF-DOING-BUSINESS      2,797        

            COUNTY                         FACTOR AMOUNT           2,798        

            Adams                           1.0100 1.0074          2,799        

            Allen                           1.0272 1.0217          2,800        

           Ashland                          1.0362 1.0322          2,801        

                                                          63     


                                                                 
          Ashtabula                         1.0540 1.0480          2,802        

            Athens                          1.0040 1.0046          2,803        

           Auglaize                         1.0300 1.0255          2,804        

           Belmont                          1.0101 1.0078          2,805        

            Brown                           1.0218 1.0194          2,806        

            Butler                          1.0662 1.0650          2,807        

           Carroll                          1.0180 1.0166          2,808        

          Champaign                         1.0432 1.0292          2,809        

            Clark                           1.0489 1.0462          2,810        

           Clermont                         1.0498 1.0510          2,811        

           Clinton                          1.0287 1.0293          2,812        

          Columbiana                        1.0320 1.0300          2,813        

          Coshocton                         1.0224 1.0205          2,814        

           Crawford                         1.0174 1.0152          2,815        

           Cuyahoga                         1.0725 1.0697          2,816        

            Darke                           1.0360 1.0340          2,817        

           Defiance                         1.0214 1.0177          2,818        

           Delaware                         1.0512 1.0339          2,819        

             Erie                           1.0414 1.0391          2,820        

          Fairfield                         1.0383 1.0358          2,821        

           Fayette                          1.0281 1.0266          2,822        

           Franklin                         1.0548 1.0389          2,823        

            Fulton                          1.0382 1.0355          2,824        

            Gallia                          1.0000                 2,825        

            Geauga                          1.0608 1.0568          2,826        

            Greene                          1.0418 1.0406          2,827        

           Guernsey                         1.0091 1.0072          2,828        

           Hamilton                         1.0750                 2,829        

           Hancock                          1.0270 1.0224          2,830        

            Hardin                          1.0384 1.0219          2,831        

           Harrison                         1.0111 1.0098          2,832        

            Henry                           1.0389 1.0347          2,833        

           Highland                         1.0177 1.0139          2,834        

           Hocking                          1.0164 1.0149          2,835        

                                                          64     


                                                                 
            Holmes                          1.0275 1.0237          2,836        

            Huron                           1.0348 1.0317          2,837        

           Jackson                          1.0176 1.0132          2,838        

          Jefferson                         1.0090 1.0084          2,839        

             Knox                           1.0276 1.0251          2,840        

             Lake                           1.0627 1.0596          2,841        

           Lawrence                         1.0154 1.0128          2,842        

           Licking                          1.0418 1.0381          2,843        

            Logan                           1.0376 1.0188          2,844        

            Lorain                          1.0573 1.0535          2,845        

            Lucas                           1.0449 1.0413          2,846        

           Madison                          1.0475 1.0342          2,847        

           Mahoning                         1.0465 1.0426          2,848        

            Marion                          1.0289 1.0121          2,849        

            Medina                          1.0656 1.0608          2,850        

            Meigs                           1.0016 1.0031          2,851        

            Mercer                          1.0209 1.0177          2,852        

            Miami                           1.0456 1.0425          2,853        

            Monroe                          1.0152 1.0118          2,854        

          Montgomery                        1.0484 1.0482          2,855        

            Morgan                          1.0168 1.0140          2,856        

            Morrow                          1.0293 1.0268          2,857        

          Muskingum                         1.0194 1.0167          2,858        

            Noble                           1.0150 1.0129          2,859        

            Ottawa                          1.0529 1.0510          2,860        

           Paulding                         1.0216 1.0156          2,861        

            Perry                           1.0185 1.0175          2,862        

           Pickaway                         1.0350 1.0338          2,863        

             Pike                           1.0146 1.0103          2,864        

           Portage                          1.0595 1.0556          2,865        

            Preble                          1.0523 1.0486          2,866        

            Putnam                          1.0308 1.0253          2,867        

           Richland                         1.0232 1.0205          2,868        

             Ross                           1.0111 1.0089          2,869        

                                                          65     


                                                                 
           Sandusky                         1.0361 1.0336          2,870        

            Scioto                          1.0082 1.0044          2,871        

            Seneca                          1.0265 1.0240          2,872        

            Shelby                          1.0274 1.0257          2,873        

            Stark                           1.0330 1.0313          2,874        

            Summit                          1.0642 1.0616          2,875        

           Trumbull                         1.0465 1.0425          2,876        

          Tuscarawas                        1.0109 1.0099          2,877        

            Union                           1.0488 1.0330          2,878        

           Van Wert                         1.0181 1.0126          2,879        

            Vinton                          1.0065 1.0068          2,880        

            Warren                          1.0678 1.0651          2,881        

          Washington                        1.0124 1.0110          2,882        

            Wayne                           1.0446 1.0406          2,883        

           Williams                         1.0316 1.0268          2,884        

             Wood                           1.0431 1.0405          2,885        

           Wyandot                          1.0227 1.0191          2,886        

      (2)  As used in this division, "multiplier" means the        2,891        

number for the corresponding fiscal year as follows:               2,892        

      FISCAL YEAR OF THE                                           2,894        

          COMPUTATION                  MULTIPLIER                  2,895        

             1998                       9.6/7.5                    2,897        

             1999                       11.0/7.5                   2,898        

             2000                       12.4/7.5                   2,899        

             2001                       13.8/7.5                   2,900        

             2002                       15.2/7.5                   2,901        

             2003                       16.6/7.5                   2,902        

      2004 and thereafter               18.0/7.5                   2,903        

      Beginning in fiscal year 1998, the department shall          2,906        

annually adjust the cost-of-doing-business factor for each county  2,908        

in accordance with the following formula:                          2,909        

       [(The cost-of-doing-business factor specified under         2,911        

     division (N)(1) of this section - 1) X (the multiplier        2,912        

          for the fiscal year of the calculation)< + 1             2,913        

                                                          66     


                                                                 
      The result of such formula shall be the adjusted             2,915        

cost-of-doing-business factor for that fiscal year.                2,916        

      (O)  "Tax exempt value" of a school district means the       2,918        

amount certified for a school district under division (A)(4) of    2,919        

section 3317.021 of the Revised Code.                              2,920        

      (P)  "Potential value" of a school district means the        2,922        

adjusted total taxable value of a school district plus the tax     2,924        

exempt value of the district.                                      2,925        

      (Q)  "District median income" means the median Ohio          2,927        

adjusted gross income certified for a school district.  On or      2,928        

before the first day of July of each year, the tax commissioner    2,929        

shall certify to the department of education for each city,        2,930        

exempted village, and local school district the median Ohio        2,931        

adjusted gross income of the residents of the school district      2,932        

determined on the basis of tax returns filed for the second        2,933        

preceding tax year by the residents of the district.                            

      (R)  "Statewide median income" means the median district     2,935        

median income of all city, exempted village, and local school      2,937        

districts in the state.                                                         

      (S)  "Income factor" for a city, exempted village, or local  2,939        

school district means the quotient obtained by dividing that       2,940        

district's median income by the statewide median income.           2,941        

      (T)  Except as provided in division (B)(3) of section        2,944        

3317.012 of the Revised Code, "valuation per pupil" for a city,                 

exempted village, or local school district means the district's    2,946        

recognized valuation divided by the greater of the district's      2,947        

formula ADM or three-year average formula ADM.                     2,948        

      (U)  Except as provided in section 3317.0213 of the Revised  2,951        

Code, "adjusted valuation per pupil" means the amount calculated   2,952        

in accordance with the following formula:                          2,953        

            District valuation per pupil - [$60,000 X              2,955        

                  (1 - district income factor)<                    2,956        

      If the result of such formula is negative, the adjusted      2,958        

valuation per pupil shall be zero.                                 2,959        

                                                          67     


                                                                 
      (V)  "Income adjusted valuation" means the product obtained  2,961        

by multiplying the SCHOOL district's adjusted valuation per pupil  2,962        

by the greater of the district's formula ADM or three-year         2,965        

average formula ADM.                                                            

      (W)  Except as provided in division (A)(2) of section        2,968        

3317.022 of the Revised Code, "adjusted total taxable value"                    

means one of the following:                                        2,969        

      (1)  In any fiscal year that a SCHOOL district's income      2,971        

factor is less than or equal to one, the amount calculated under   2,973        

the following formula:                                                          

               (Income adjusted valuation X 1/5) +                 2,974        

                  (recognized valuation X 4/5)                     2,975        

      (2)  In fiscal year 1999, if a SCHOOL district's income      2,978        

factor is greater than one, the amount calculated under the        2,979        

following formula:                                                 2,980        

               (Income adjusted valuation X 1/15)                  2,981        

                + (recognized valuation X 14/15)                   2,982        

      Thereafter, the adjusted total taxable value of a district   2,984        

with an income factor greater than one shall be its recognized     2,986        

valuation.                                                                      

      Sec. 3317.022.  (A)(1)  The department of education shall    2,995        

compute and distribute state basic aid BASE COST FUNDING to each   2,997        

school district for the fiscal year in accordance with the                      

following formula, using adjusted total taxable value as defined   2,999        

under division (W) of IN section 3317.02 of the Revised Code or    3,000        

division (A)(2) of this section and the information obtained       3,002        

under section 3317.021 of the Revised Code in the calendar year    3,003        

in which the fiscal year begins.                                                

      Compute the following for each eligible district:            3,005        

                [cost-of-doing-business factor X                   3,006        

        the formula amount X (the greater of formula ADM           3,007        

              or three-year average formula ADM)< -                3,008        

              (.023 X adjusted total taxable value)                3,009        

      If the difference obtained is a negative number, the         3,011        

                                                          68     


                                                                 
district's computation shall be zero.                              3,012        

      (2)(a)  For each school district for which the tax exempt    3,014        

value of the district equals or exceeds twenty-five per cent of    3,015        

the potential value of the district, the department of education   3,016        

shall calculate the difference between the district's tax exempt   3,017        

value and twenty-five per cent of the district's potential value.  3,018        

      (b)  For each school district to which division (A)(2)(a)    3,021        

of this section applies, the adjusted total taxable value used in  3,022        

the calculation under division (A)(1) of this section shall be     3,023        

the adjusted total taxable value modified by subtracting the       3,024        

amount calculated under division (A)(2)(a) of this section.        3,025        

      (B)  As used in division (C) of this section:                3,027        

      (1)  The "total special education weight" for a district     3,029        

means the sum of the following amounts:                            3,030        

      (a)  The district's category one special education ADM       3,032        

multiplied by the multiple specified under division (A) of         3,035        

section 3317.013 of the Revised Code;                                           

      (b)  The sum of the district's category two and category     3,037        

three special education ADMs multiplied by the multiple specified  3,039        

under division (B) of section 3317.013 of the Revised Code.        3,040        

      (2)  "State share percentage" means the percentage           3,042        

calculated for a district as follows:                              3,043        

      (a)  Calculate the basic aid STATE BASE COST FUNDING amount  3,045        

for the district for the fiscal year under division (A) of this    3,047        

section.  If the district would not receive any state basic aid    3,048        

BASE COST FUNDING for that year under that division, the           3,050        

district's state share percentage is zero.                                      

      (b)  If the district would receive basic aid STATE BASE      3,052        

COST FUNDING under that division, divide that basic aid amount by  3,054        

an amount equal to the following:                                  3,055        

                 Cost-of-doing-business factor X                   3,057        

          the formula amount X (the greater of formula             3,058        

             ADM or three-year average formula ADM)                3,059        

      The resultant number is the district's state share           3,061        

                                                          69     


                                                                 
percentage.                                                        3,062        

      (3)  "Related services" includes:                            3,064        

      (a)  Child study, special education supervisors and          3,066        

coordinators, speech and hearing services, adaptive physical       3,067        

development services, occupational or physical therapy, teacher    3,069        

assistants for handicapped children whose handicaps are described  3,070        

in division (B) of section 3317.013 or division (F)(3) of section  3,071        

3317.02 of the Revised Code, behavioral intervention, interpreter  3,073        

services, work study, nursing services, and specialized            3,074        

integrative services as those terms are defined by the                          

department;                                                                     

      (b)  Speech and language services provided to any student    3,077        

with a handicap, including any student whose primary or only       3,078        

handicap is a speech and language handicap;                                     

      (c)  Any related service not specifically covered by other   3,081        

state funds but specified in federal law, including but not        3,082        

limited to, audiology and school psychological services;                        

      (d)  Any service included in units funded under former       3,085        

division (O)(1) of section 3317.023 of the Revised Code;           3,086        

      (e)  Any other related service needed by handicapped         3,089        

children in accordance with their individualized education plans.  3,090        

      (4)  THE "TOTAL VOCATIONAL EDUCATION WEIGHT" FOR A DISTRICT  3,092        

MEANS THE SUM OF THE FOLLOWING AMOUNTS:                            3,093        

      (a)  THE DISTRICT'S CATEGORY ONE VOCATIONAL EDUCATION ADM    3,095        

MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION (A) OF SECTION    3,096        

3317.014 OF THE REVISED CODE;                                      3,097        

      (b)  THE DISTRICT'S CATEGORY TWO VOCATIONAL EDUCATION ADM    3,099        

MULTIPLIED BY THE MULTIPLE SPECIFIED IN DIVISION (B) OF SECTION    3,100        

3317.014 OF THE REVISED CODE.                                      3,101        

      (C)(1)  The department shall compute and distribute state    3,103        

special education and related services additional weighted costs   3,104        

funds to each school district in accordance with the following     3,105        

formula:                                                                        

              The district's state share percentage                3,107        

                                                          70     


                                                                 
                X the formula amount for the year                  3,108        

                 for which the aid is calculated                   3,109        

         X the district's total special education weight           3,110        

      (2)  In any fiscal year, a school district receiving funds   3,112        

under division (C)(1) of this section shall spend on related       3,114        

services the lesser of the following:                              3,115        

      (a)  The amount the district spent on related services in    3,118        

the preceding fiscal year;                                                      

      (b)  1/8 X §[cost-of-doing-business factor X the formula     3,121        

amount X (the category one special education ADM + category two    3,122        

special education ADM + category three special education ADM)< +   3,124        

the amount calculated for the fiscal year under division (C)(1)    3,126        

of this section + the local share of special education and         3,127        

related services additional weighted costs                         3,128        

      (3)  The local share of special education and related        3,130        

services additional weighted costs equals:                         3,131        

          (1 - the district's state share percentage) X            3,133        

         the district's total special education weight X           3,134        

                       the formula amount                          3,135        

      (4)  The department shall compute and pay in accordance      3,138        

with this division additional state aid to school districts for    3,139        

students in category three special education ADM.  If a            3,140        

district's costs for the fiscal year for a student in its          3,141        

category three special education ADM are twenty-five thousand      3,143        

dollars or more, the district may submit to the superintendent of  3,144        

public instruction documentation, as prescribed by the             3,145        

superintendent, of all its costs for that student.  Upon           3,146        

submission of documentation for a student of the type and in the   3,147        

manner prescribed, the department shall pay to the district an     3,148        

amount equal to the district's costs for the student in excess of  3,149        

twenty-five thousand dollars multiplied by the district's state    3,150        

share percentage.                                                               

      (5)(a)  AS USED IN THIS DIVISION, THE "PERSONNEL ALLOWANCE"  3,152        

MEANS TWENTY THOUSAND DOLLARS IN FISCAL YEAR 2000 AND TWENTY-FIVE  3,153        

                                                          71     


                                                                 
THOUSAND DOLLARS IN FISCAL YEAR 2001.                              3,154        

      (b)  FOR THE PROVISION OF SPEECH SERVICES TO STUDENTS AND    3,156        

FOR NO OTHER PURPOSE, THE DEPARTMENT OF EDUCATION SHALL PAY EACH   3,157        

SCHOOL DISTRICT AN AMOUNT CALCULATED UNDER THE FOLLOWING FORMULA:  3,158        

          (FORMULA ADM DIVIDED BY 2000) X THE PERSONNEL            3,161        

             ALLOWANCE X THE STATE SHARE PERCENTAGE                3,162        

      (6)  IN ANY FISCAL YEAR, A SCHOOL DISTRICT RECEIVING FUNDS   3,164        

UNDER DIVISION (C)(1) OF THIS SECTION SHALL SPEND THOSE FUNDS      3,165        

ONLY FOR THE PURPOSES THAT THE DEPARTMENT DESIGNATES AS APPROVED   3,166        

FOR SPECIAL EDUCATION EXPENSES.                                    3,167        

      (D)(1)  As used in this division, "log density" means the    3,169        

logarithmic calculation (base 10) of each district's               3,170        

transportation ADM per linear mile:                                3,171        

      (a)  "DAILY BUS MILES PER STUDENT" EQUALS THE NUMBER OF BUS  3,173        

MILES TRAVELED PER DAY, DIVIDED BY TRANSPORTATION BASE.            3,174        

      (b)  "TRANSPORTATION BASE" EQUALS TOTAL STUDENT COUNT AS     3,176        

DEFINED IN SECTION 3301.011 OF THE REVISED CODE, MINUS THE NUMBER  3,177        

OF STUDENTS ENROLLED IN PRESCHOOL HANDICAPPED UNITS, PLUS THE      3,178        

NUMBER OF NONPUBLIC SCHOOL STUDENTS INCLUDED IN TRANSPORTATION     3,179        

ADM.                                                                            

      (c)  "TRANSPORTED STUDENT PERCENTAGE" EQUALS TRANSPORTATION  3,181        

ADM DIVIDED BY TRANSPORTATION BASE.                                3,182        

      (2)  ANALYSIS OF STUDENT TRANSPORTATION COST DATA HAS        3,184        

RESULTED IN A FINDING THAT AN AVERAGE EFFICIENT TRANSPORTATION     3,185        

USE COST PER STUDENT CAN BE CALCULATED BY MEANS OF A REGRESSION    3,186        

FORMULA THAT HAS AS ITS TWO INDEPENDENT VARIABLES THE NUMBER OF    3,187        

DAILY BUS MILES PER STUDENT AND THE TRANSPORTED STUDENT            3,188        

PERCENTAGE.  FOR FISCAL YEAR 1997 TRANSPORTATION COST DATA, THE    3,189        

AVERAGE EFFICIENT TRANSPORTATION USE COST PER STUDENT IS           3,190        

EXPRESSED AS FOLLOWS:                                                           

     50.67477 + (140.94357 X DAILY BUS MILES PER STUDENT) +        3,192        

          (108.36864 X TRANSPORTED STUDENT PERCENTAGE)             3,193        

      (3)  In addition to funds paid under divisions (A) and,      3,196        

(C), (E), AND (F) of this section, each district WITH A            3,197        

                                                          72     


                                                                 
TRANSPORTED STUDENT PERCENTAGE GREATER THAN ZERO shall receive a   3,198        

payment equal to sixty per cent A PERCENTAGE of THE PRODUCT OF     3,199        

the district's transportation ADM BASE times the district's most   3,200        

AVERAGE efficient transportation use cost per transported          3,201        

student.  THAT PERCENTAGE SHALL BE THE FOLLOWING PERCENTAGE        3,202        

SPECIFIED FOR                                                                   

      (3)  In fiscal years 1999 through 2002, notwithstanding the  3,204        

amount calculated for each district under division (D)(2) of this  3,205        

section, each district shall receive in the corresponding fiscal   3,206        

year the following percentage of the district's transportation     3,208        

ADM times the district's most efficient transportation use cost    3,209        

per transported student:                                                        

         FISCAL YEAR                        PERCENTAGE             3,211        

         1999                               50%                    3,212        

         2000                               52.5%                  3,213        

         2001                               55%                    3,214        

         2002                               57.5%                  3,215        

         2003 AND THEREAFTER                60%                    3,216        

      (4)  For purposes of funding the student transportation      3,220        

portion, the THE department of education shall ANNUALLY determine  3,221        

the most AVERAGE efficient transportation use cost per             3,223        

transported student for each school district.  This cost per       3,224        

student shall be an amount equal to the number ten to a power      3,225        

calculated in accordance with the following formula:               3,226        

              (-0.413148 X log density) + 2.493129                 3,227        

      (5)  The department of education shall annually update the   3,230        

most efficient transportation use cost per transported student     3,231        

for each district in accordance with the PRINCIPLES STATED IN      3,232        

DIVISION (D)(2) OF THIS SECTION, UPDATING THE INTERCEPT AND        3,233        

REGRESSION COEFFICIENTS OF THE REGRESSION formula MODELED in THAT  3,234        

division (D)(4) of this section, including the figures and log     3,236        

density component of that formula, based on an annual statewide    3,237        

analysis of each district's transportation ADM per linear mile     3,239        

DAILY BUS MILES PER STUDENT, TRANSPORTED STUDENT PERCENTAGE, and   3,240        

                                                          73     


                                                                 
TRANSPORTATION COST DATA.  THE DEPARTMENT shall notify the office               

of budget and management of such update by September of every      3,242        

year.                                                                           

      The department of education shall use the most recent        3,244        

available PRIOR FISCAL YEAR'S data as of the first day of July of  3,245        

each year to complete the annual update.  The department shall     3,246        

AND apply a 2.8 per cent inflation cost adjustment factor for      3,247        

each fiscal year since the fiscal year for which the data applies  3,249        

to adjust the amount calculated for each district under division   3,250        

(D)(2) or (3) of this section to the current fiscal year level.    3,251        

      (4)  NOTWITHSTANDING DIVISIONS (D)(2) AND (3) OF THIS        3,253        

SECTION, IN FISCAL YEAR 2000, EACH SCHOOL DISTRICT SHALL RECEIVE   3,255        

THE GREATER OF THE AMOUNT CALCULATED FOR IT UNDER THOSE DIVISIONS  3,256        

OR THE AMOUNT THE DISTRICT RECEIVED IN FISCAL YEAR 1999 UNDER      3,257        

DIVISIONS (D)(2) TO (4) OF THE VERSION OF THIS SECTION IN EFFECT   3,258        

FOR THAT FISCAL YEAR AND DIVISION (B) OF SECTION 20 OF AM. SUB.    3,260        

H.B. 650 OF THE 122nd GENERAL ASSEMBLY.                            3,262        

      (5)  IN ADDITION TO FUNDS PAID UNDER DIVISIONS (D)(2) TO     3,264        

(4) OF THIS SECTION, A SCHOOL DISTRICT SHALL RECEIVE A ROUGH ROAD  3,265        

SUBSIDY IF BOTH OF THE FOLLOWING APPLY:                            3,266        

      (a)  ITS COUNTY ROUGH ROAD PERCENTAGE IS HIGHER THAN THE     3,268        

STATEWIDE ROUGH ROAD PERCENTAGE, AS THOSE TERMS ARE DEFINED IN     3,269        

DIVISION (D)(6) OF THIS SECTION;                                   3,270        

      (b)  ITS DISTRICT STUDENT DENSITY IS LOWER THAN THE          3,273        

STATEWIDE STUDENT DENSITY, AS THOSE TERMS ARE DEFINED IN THAT      3,274        

DIVISION.                                                                       

      (6)  THE ROUGH ROAD SUBSIDY PAID TO EACH DISTRICT MEETING    3,276        

THE QUALIFICATIONS OF DIVISION (D)(5) OF THIS SECTION SHALL BE     3,277        

CALCULATED IN ACCORDANCE WITH THE FOLLOWING FORMULA:               3,278        

       (PER ROUGH MILE SUBSIDY X TOTAL ROUGH ROAD MILES) X         3,281        

                       DENSITY MULTIPLIER                          3,282        

      WHERE:                                                       3,284        

      (a)  "PER ROUGH MILE SUBSIDY" EQUALS THE AMOUNT CALCULATED   3,286        

IN ACCORDANCE WITH THE FOLLOWING FORMULA:                          3,287        

                                                          74     


                                                                 
     0.75 - §0.75 X [(MAXIMUM ROUGH ROAD PERCENTAGE - COUNTY       3,290        

     ROUGH ROAD PERCENTAGE)/(MAXIMUM ROUGH ROAD PERCENTAGE -       3,291        

               STATEWIDE ROUGH ROAD PERCENTAGE)<                   3,292        

      (i)  "MAXIMUM ROUGH ROAD PERCENTAGE" MEANS THE HIGHEST       3,294        

COUNTY ROUGH ROAD PERCENTAGE IN THE STATE.                         3,295        

      (ii)  "COUNTY ROUGH ROAD PERCENTAGE" EQUALS THE PERCENTAGE   3,297        

OF THE MILEAGE OF STATE, MUNICIPAL, COUNTY, AND TOWNSHIP ROADS     3,298        

THAT IS RATED BY THE DEPARTMENT OF TRANSPORTATION AS TYPE A, B,    3,300        

C, E2, OR F IN THE COUNTY IN WHICH THE SCHOOL DISTRICT IS LOCATED  3,301        

OR, IF THE DISTRICT IS LOCATED IN MORE THAN ONE COUNTY, THE        3,302        

COUNTY TO WHICH IT IS ASSIGNED FOR PURPOSES OF DETERMINING ITS     3,303        

COST-OF-DOING-BUSINESS FACTOR.                                     3,304        

      (iii)  "STATEWIDE ROUGH ROAD PERCENTAGE" MEANS THE           3,306        

PERCENTAGE OF THE STATEWIDE TOTAL MILEAGE OF STATE, MUNICIPAL,     3,307        

COUNTY, AND TOWNSHIP ROADS THAT IS RATED AS TYPE A, B, C, E2, OR   3,308        

F BY THE DEPARTMENT OF TRANSPORTATION.                             3,309        

      (b)  "TOTAL ROUGH ROAD MILES" MEANS A SCHOOL DISTRICT'S      3,311        

TOTAL BUS MILES TRAVELED IN ONE YEAR TIMES ITS COUNTY ROUGH ROAD   3,312        

PERCENTAGE.                                                                     

      (c)  "DENSITY MULTIPLIER" MEANS A FIGURE CALCULATED IN       3,314        

ACCORDANCE WITH THE FOLLOWING FORMULA:                             3,315        

        1 - [(MINIMUM STUDENT DENSITY - DISTRICT STUDENT           3,317        

               DENSITY)/(MINIMUM STUDENT DENSITY -                 3,318        

                   STATEWIDE STUDENT DENSITY)<                     3,319        

      (i)  "MINIMUM STUDENT DENSITY" MEANS THE LOWEST DISTRICT     3,321        

STUDENT DENSITY IN THE STATE.                                      3,322        

      (ii)  "DISTRICT STUDENT DENSITY" MEANS A SCHOOL DISTRICT'S   3,324        

TRANSPORTATION BASE DIVIDED BY THE NUMBER OF SQUARE MILES IN THE   3,325        

DISTRICT.                                                          3,326        

      (iii)  "STATEWIDE STUDENT DENSITY" MEANS THE SUM OF THE      3,328        

TRANSPORTATION BASES FOR ALL SCHOOL DISTRICTS DIVIDED BY THE SUM   3,329        

OF THE SQUARE MILES IN ALL SCHOOL DISTRICTS.                       3,330        

      (7)  In addition to funds paid under division DIVISIONS      3,332        

(D)(2) or (3) TO (6) of this section, each district shall receive  3,334        

                                                          75     


                                                                 
in accordance with rules adopted by the state board of education                

a payment for students transported by means other than             3,336        

board-owned or contractor-operated buses and whose transportation  3,337        

is not funded under division (J) of section 3317.024 of the        3,338        

Revised Code.  The rules shall include provisions for school       3,339        

district reporting of such students.                                            

      (E)(1)  THE DEPARTMENT SHALL COMPUTE AND DISTRIBUTE STATE    3,341        

VOCATIONAL EDUCATION ADDITIONAL WEIGHTED COSTS FUNDS TO EACH       3,343        

SCHOOL DISTRICT IN ACCORDANCE WITH THE FOLLOWING FORMULA:          3,344        

                    STATE SHARE PERCENTAGE X                       3,345        

                      THE FORMULA AMOUNT X                         3,346        

                TOTAL VOCATIONAL EDUCATION WEIGHT                  3,347        

      IN ANY FISCAL YEAR, A SCHOOL DISTRICT RECEIVING FUNDS UNDER  3,349        

DIVISION (E)(1) OF THIS SECTION SHALL SPEND THOSE FUNDS ONLY FOR   3,350        

THE PURPOSES THAT THE DEPARTMENT DESIGNATES AS APPROVED FOR        3,351        

VOCATIONAL EDUCATION EXPENSES.                                     3,352        

      (2)  THE DEPARTMENT SHALL COMPUTE AND DISTRIBUTE TO EACH     3,354        

SCHOOL DISTRICT STATE FUNDS FOR VOCATIONAL EDUCATION ASSOCIATED    3,355        

SERVICES IN ACCORDANCE WITH THE FOLLOWING FORMULA:                 3,356        

 STATE SHARE PERCENTAGE X .05 X THE FORMULA AMOUNT X THE SUM OF    3,359        

     CATEGORIES ONE, TWO, AND THREE VOCATIONAL EDUCATION ADM       3,362        

      IN ANY FISCAL YEAR, A SCHOOL DISTRICT RECEIVING FUNDS UNDER  3,364        

DIVISION (E)(2) OF THIS SECTION SHALL SPEND THOSE FUNDS ONLY FOR   3,365        

THE PURPOSES THAT THE DEPARTMENT DESIGNATES AS APPROVED FOR        3,366        

VOCATIONAL EDUCATION ASSOCIATED SERVICES EXPENSES, WHICH MAY       3,367        

INCLUDE SUCH PURPOSES AS APPRENTICESHIP COORDINATORS,              3,368        

COORDINATORS FOR OTHER VOCATIONAL EDUCATION SERVICES, VOCATIONAL   3,369        

EVALUATION, AND OTHER PURPOSES DESIGNATED BY THE DEPARTMENT.  THE  3,370        

DEPARTMENT MAY DENY PAYMENT UNDER DIVISION (E)(2) OF THIS SECTION  3,371        

TO ANY DISTRICT THAT THE DEPARTMENT DETERMINES IS NOT OPERATING    3,372        

THOSE SERVICES OR IS USING FUNDS PAID UNDER DIVISION (E)(2) OF     3,374        

THIS SECTION FOR OTHER PURPOSES.                                                

      Sec. 3317.023.  (A)  Notwithstanding section 3317.022 of     3,383        

the Revised Code, the amounts required to be paid to a district    3,384        

                                                          76     


                                                                 
under this chapter shall be adjusted by the amount of the          3,386        

computations made under divisions (B) to (K) of this section.      3,387        

      As used in this section:                                     3,389        

      (1)  "Classroom teacher" means a licensed employee who       3,391        

provides direct instruction to pupils, excluding teachers funded   3,392        

from money paid to the district from federal sources; educational  3,393        

service personnel; and vocational and special education teachers.  3,394        

      (2)  "Educational service personnel" shall not include such  3,396        

specialists funded from money paid to the district from federal    3,397        

sources or assigned full-time to vocational or special education   3,398        

students and classes and may only include those persons employed   3,399        

in the eight specialist areas in a pattern approved by the         3,400        

department of education under guidelines established by the state  3,401        

board of education.                                                3,402        

      (3)  "Annual salary" means the annual base salary stated in  3,404        

the state minimum salary schedule for the performance of the       3,405        

teacher's regular teaching duties that the teacher earns for       3,406        

services rendered for the first full week of October of the        3,407        

fiscal year for which the adjustment is made under division (C)    3,409        

of this section.  It shall not include any salary payments for                  

supplemental teachers contracts.                                   3,410        

      (4)  "Regular student population" means the formula ADM      3,412        

plus the number of students reported as enrolled in the district   3,413        

pursuant to division (A)(1) of section 3313.981 of the Revised     3,414        

Code; minus the number of students reported under disvision        3,416        

DIVISION (A)(2) of section 3317.03 of the Revised Code; minus the  3,417        

FTE of students reported under division (B)(5), (6), (7), or (8),  3,418        

OR (9) of that section who are enrolled in a vocational education  3,420        

class or receiving special education; and minus one-fourth of the  3,421        

students enrolled concurrently in a joint vocational school        3,422        

district.                                                                       

      (B)  If the district employs less than one full-time         3,424        

equivalent classroom teacher for each twenty-five pupils in the    3,426        

regular student population in any school district, deduct the sum               

                                                          77     


                                                                 
of the amounts obtained from the following computations:           3,428        

      (1)  Divide the number of the district's full-time           3,430        

equivalent classroom teachers employed by one twenty-fifth;        3,431        

      (2)  Subtract the quotient in (1) from the district's        3,433        

regular student population;                                        3,434        

      (3)  Multiply the difference in (2) by seven hundred         3,436        

fifty-two dollars.                                                 3,437        

      (C)  If a positive amount, add one-half of the amount        3,439        

obtained by multiplying the number of full-time equivalent         3,440        

classroom teachers by:                                             3,441        

      (1)  The mean annual salary of all full-time equivalent      3,443        

classroom teachers employed by the district at their respective    3,444        

training and experience levels minus;                              3,445        

      (2)  The mean annual salary of all such teachers at their    3,447        

respective levels in all school districts receiving payments       3,448        

under this section.                                                3,449        

      The number of full-time equivalent classroom teachers used   3,451        

in this computation shall not exceed one twenty-fifth of the       3,452        

district's regular student population.  In calculating the         3,454        

district's mean salary under this division, those full-time        3,455        

equivalent classroom teachers with the highest training level      3,456        

shall be counted first, those with the next highest training       3,457        

level second, and so on, in descending order.  Within the          3,458        

respective training levels, teachers with the highest years of     3,459        

service shall be counted first, the next highest years of service  3,460        

second, and so on, in descending order.                                         

      (D)  This division does not apply to a school district that  3,462        

has entered into an agreement under division (A) of section        3,463        

3313.42 of the Revised Code.  Deduct the amount obtained from the  3,464        

following computations if the district employs fewer than five     3,465        

full-time equivalent educational service personnel, including      3,466        

elementary school art, music, and physical education teachers,     3,467        

counselors, librarians, visiting teachers, school social workers,  3,468        

and school nurses for each one thousand pupils in the regular      3,470        

                                                          78     


                                                                 
student population:                                                3,471        

      (1)  Divide the number of full-time equivalent educational   3,473        

service personnel employed by the district by five                 3,474        

one-thousandths;                                                   3,475        

      (2)  Subtract the quotient in (1) from the district's        3,477        

regular student population;                                        3,478        

      (3)  Multiply the difference in (2) by ninety-four dollars.  3,480        

      (E)  If a local school district, or a city or exempted       3,482        

village school district to which a governing board of an           3,484        

educational service center provides services pursuant to section   3,485        

3313.843 of the Revised Code, deduct the amount of the payment     3,486        

required for the reimbursement of the governing board under        3,487        

section 3317.11 of the Revised Code.                               3,488        

      (F)(1)  If the district is required to pay to or entitled    3,490        

to receive tuition from another school district under division     3,491        

(C)(2) or (3) of section 3313.64 or section 3313.65 of the         3,492        

Revised Code, or if the superintendent of public instruction is    3,493        

required to determine the correct amount of tuition and make a     3,494        

deduction or credit under section 3317.08 of the Revised Code,     3,495        

deduct and credit such amounts as provided in division (I) of      3,496        

section 3313.64 or section 3317.08 of the Revised Code.            3,497        

      (2)  For each child for whom the district is responsible     3,499        

for tuition or payment under division (A)(1) of section 3317.082   3,500        

or section 3323.091 of the Revised Code, deduct the amount of      3,502        

tuition or payment for which the district is responsible.                       

      (G)  If the district has been certified by the               3,504        

superintendent of public instruction under section 3313.90 of the  3,505        

Revised Code as not in compliance with the requirements of that    3,506        

section, deduct an amount equal to ten per cent of the amount      3,507        

computed for the district under section 3317.022 of the Revised    3,508        

Code.                                                              3,509        

      (H)  If the district has received a loan from a commercial   3,512        

lending institution for which payments are made by the             3,513        

superintendent of public instruction pursuant to division (E)(3)   3,514        

                                                          79     


                                                                 
of section 3313.483 of the Revised Code, deduct an amount equal    3,515        

to such payments.                                                  3,516        

      (I)(1)  If the district is a party to an agreement entered   3,518        

into under division (D), (E), or (F) of section 3311.06 or         3,519        

division (B) of section 3311.24 of the Revised Code and is         3,520        

obligated to make payments to another district under such an       3,521        

agreement, deduct an amount equal to such payments if the          3,522        

district school board notifies the department in writing that it   3,523        

wishes to have such payments deducted.                             3,524        

      (2)  If the district is entitled to receive payments from    3,526        

another district that has notified the department to deduct such   3,527        

payments under division (I)(1) of this section, add the amount of  3,529        

such payments.                                                     3,530        

      (J)  If the district is required to pay an amount of funds   3,532        

to a cooperative education district pursuant to a provision        3,533        

described by division (B)(4) of section 3311.52 or division        3,534        

(B)(8) of section 3311.521 of the Revised Code, deduct such        3,535        

amounts as provided under that provision and credit those amounts  3,536        

to the cooperative education district for payment to the district  3,537        

under division (B)(1) of section 3317.19 of the Revised Code.      3,538        

      (K)(1)  If a district is educating a student entitled to     3,540        

attend school in another district pursuant to a shared education   3,541        

contract, compact, or cooperative education agreement other than   3,542        

an agreement entered into pursuant to section 3313.842 of the      3,543        

Revised Code, credit to that educating district on an FTE basis    3,544        

both of the following:                                                          

      (a)  An amount equal to the formula amount times the cost    3,546        

of doing business factor of the school district where the student  3,547        

is entitled to attend school pursuant to section 3313.64 or        3,548        

3313.65 of the Revised Code;                                       3,549        

      (b)  An amount equal to the formula amount times the state   3,551        

share percentage times any multiple applicable to the student      3,552        

pursuant to section 3317.013 of the Revised Code.                  3,553        

      (2)  Deduct any amount credited pursuant to division (K)(1)  3,555        

                                                          80     


                                                                 
of this section from amounts paid to the school district in which  3,556        

the student is entitled to attend school pursuant to section       3,557        

3313.64 or 3313.65 of the Revised Code.                            3,558        

      (3)  If the district is required by a shared education       3,560        

contract, compact, or cooperative education agreement to make      3,561        

payments to an educational service center, deduct the amounts      3,562        

from payments to the district and add them to the amounts paid to  3,563        

the service center pursuant to section 3317.11 of the Revised                   

Code.                                                              3,564        

      Sec. 3317.024.  In addition to the moneys paid to eligible   3,573        

school districts pursuant to section 3317.022 of the Revised       3,575        

Code, moneys appropriated for the education programs in divisions  3,576        

(A) to (L), (O), and (P) of this section shall be distributed to   3,578        

school districts meeting the requirements of section 3317.01 of    3,579        

the Revised Code; in the case of divisions (I) and, (J), and, in   3,580        

fiscal year 1999 only, division (P)(1) of this section, to         3,582        

educational service centers as provided in section 3317.11 of the  3,583        

Revised Code; in the case of divisions (E), (M), and (N) of this   3,584        

section, to county MR/DD boards; in the case of division (I) of    3,585        

this section, to joint vocational and cooperative education        3,586        

school districts; in the case of division (K) of this section, to  3,587        

cooperative education school districts; and in the case of         3,590        

division (Q) of this section, to the institutions defined under    3,591        

section 3317.082 of the Revised Code providing elementary or       3,592        

secondary education programs to children other than children       3,593        

receiving special education under section 3323.091 of the Revised  3,594        

Code.  The following shall be distributed monthly, quarterly, or   3,595        

annually as may be determined by the state board of education:     3,596        

      (A)  A per pupil amount to each school district that         3,598        

establishes a summer school remediation program that complies      3,599        

with rules of the state board of education.                        3,600        

      (B)  An amount for each island school district and each      3,602        

joint state school district for the operation of each high school  3,603        

and each elementary school maintained within such district and     3,604        

                                                          81     


                                                                 
for capital improvements for such schools.  Such amounts shall be  3,605        

determined on the basis of standards adopted by the state board    3,606        

of education.                                                      3,607        

      (C)  An amount for each school district operating classes    3,609        

for children of migrant workers who are unable to be in            3,610        

attendance in an Ohio school during the entire regular school      3,611        

year.  The amounts shall be determined on the basis of standards   3,612        

adopted by the state board of education, except that payment       3,613        

shall be made only for subjects regularly offered by the school    3,614        

district providing the classes.                                    3,615        

      (D)  An amount for each school district with guidance,       3,617        

testing, and counseling programs approved by the state board of    3,618        

education.  The amount shall be determined on the basis of         3,619        

standards adopted by the state board of education.                 3,620        

      (E)  An amount for the emergency purchase of school buses    3,622        

as provided for in section 3317.07 of the Revised Code;            3,623        

      (F)  An amount for each school district required to pay      3,625        

tuition for a child in an institution maintained by the            3,626        

department of youth services pursuant to section 3317.082 of the   3,627        

Revised Code, provided the child was not included in the           3,629        

calculation of the district's average daily membership for the     3,630        

preceding school year.                                                          

      (G)  An IN FISCAL YEAR 2000 ONLY, AN amount to each school   3,632        

district for supplemental salary allowances for each licensed      3,633        

employee except those licensees serving as superintendents,        3,634        

assistant superintendents, principals, or assistant principals,    3,635        

whose term of service in any year is extended beyond the term of   3,636        

service of regular classroom teachers, as described in section     3,637        

3301.0725 of the Revised Code;                                     3,638        

      (H)  An amount for adult basic literacy education for each   3,640        

district participating in programs approved by the state board of  3,641        

education.  The amount shall be determined on the basis of         3,642        

standards adopted by the state board of education.                 3,643        

      (I)  Notwithstanding section 3317.01 of the Revised Code,    3,645        

                                                          82     


                                                                 
to each city, local, and exempted village school district, an      3,646        

amount pursuant to section 3301.17 of the Revised Code for         3,647        

conducting driver education courses at high schools for which the  3,648        

state board of education prescribes minimum standards and to       3,649        

joint vocational and cooperative education school districts and    3,651        

educational service centers, an amount pursuant to such section    3,652        

for conducting driver education courses to pupils enrolled in a    3,653        

high school for which the state board prescribes minimum           3,654        

standards;                                                                      

      (J)  An amount for the approved cost of transporting         3,656        

developmentally handicapped pupils whom it is impossible or        3,657        

impractical to transport by regular school bus in the course of    3,658        

regular route transportation provided by the district or service   3,659        

center.  No district or service center is eligible to receive a    3,660        

payment under this division for the cost of transporting any       3,662        

pupil whom it transports by regular school bus and who is          3,663        

included in the district's transportation ADM.  The state board    3,664        

of education shall establish standards and guidelines for use by   3,665        

the department of education in determining the approved cost of    3,666        

such transportation for each district or service center.           3,667        

      (K)  An amount to each school district, including each       3,669        

cooperative education school district, pursuant to section         3,670        

3313.81 of the Revised Code to assist in providing free lunches    3,671        

to needy children and an amount to assist needy school districts   3,672        

in purchasing necessary equipment for food preparation.  The       3,673        

amounts shall be determined on the basis of rules adopted by the   3,674        

state board of education.                                          3,675        

      (L)  An amount to each school district, for each pupil       3,677        

attending a chartered nonpublic elementary or high school within   3,678        

the district.  The amount shall equal the amount appropriated for  3,679        

the implementation of section 3317.06 of the Revised Code divided  3,680        

by the average daily membership in grades kindergarten through     3,681        

twelve in nonpublic elementary and high schools within the state   3,682        

as determined during the first full week in October of each        3,683        

                                                          83     


                                                                 
school year.                                                       3,684        

      (M)  An amount for each county MR/DD board, distributed on   3,687        

the basis of standards adopted by the state board of education,    3,688        

for the approved cost of transportation required for children      3,689        

attending special education programs operated by the county MR/DD  3,690        

board under section 3323.09 of the Revised Code;                   3,691        

      (N)  An amount for each county MR/DD board, distributed on   3,694        

the basis of standards adopted by the state board of education,    3,695        

for supportive home services for preschool children;               3,696        

      (O)  An amount for each school district that establishes a   3,698        

mentor teacher program that complies with rules of the state       3,699        

board of education.  No school district shall be required to       3,700        

establish or maintain such a program in any year unless            3,701        

sufficient funds are appropriated to cover the district's total    3,702        

costs for the program.                                                          

      (P)(1)  For fiscal year 1999 only, an AN amount to each      3,705        

school district or educational service center for the total        3,706        

number of gifted units approved pursuant to section 3317.05 of     3,707        

the Revised Code.  The amount for each such unit shall be the sum  3,708        

of the minimum salary for the teacher of the unit, calculated on   3,709        

the basis of the teacher's training level and years of experience  3,710        

pursuant to section 3317.13 of the Revised Code, plus fifteen per  3,711        

cent of that minimum salary amount, plus two thousand six hundred  3,712        

seventy-eight dollars.                                             3,713        

      (2)  The general assembly intends to begin a review and      3,715        

revision of the funding formula for gifted education services in   3,717        

1999.  The analysis and any resulting calculations shall be based  3,719        

upon a rational methodology for calculating the cost of adequate                

gifted education services.  The analysis shall use data generated  3,720        

by a study funded through the department of education.             3,721        

      (Q)  An amount to each institution defined under section     3,724        

3317.082 of the Revised Code providing elementary or secondary     3,726        

education to children other than children receiving special        3,727        

education under section 3323.091 of the Revised Code.  This        3,728        

                                                          84     


                                                                 
amount for any institution in any fiscal year shall equal the      3,729        

total of all tuition amounts required to be paid to the            3,730        

institution under division (A)(1) of section 3317.082 of the       3,732        

Revised Code.                                                                   

      The state board of education or any other board of           3,734        

education or governing board may provide for any resident of a     3,735        

district or educational service center territory any educational   3,737        

service for which funds are made available to the board by the     3,738        

United States under the authority of public law, whether such      3,739        

funds come directly or indirectly from the United States or any    3,740        

agency or department thereof or through the state or any agency,   3,741        

department, or political subdivision thereof.                                   

      Sec. 3317.029.  (A)  As used in this section:                3,750        

      (1)  "DPIA percentage" means the quotient obtained by        3,753        

dividing the five-year average number of children ages five to     3,754        

seventeen residing in the school district and living in a family   3,755        

receiving family assistance, as certified or adjusted under        3,756        

section 3317.10 of the Revised Code, by the district's three-year  3,757        

average formula ADM.                                                            

      (2)  "Family assistance" means assistance received under     3,759        

the Ohio works first program or, for the purpose of determining    3,761        

the five-year average number of recipients of family assistance    3,762        

in fiscal years 1999 through 2002, assistance received under an    3,763        

antecedent program known as TANF or ADC.                           3,764        

      (3)  "Statewide DPIA percentage" means the five-year         3,767        

average of the total number of children ages five to seventeen     3,768        

years residing in the state and receiving family assistance,       3,769        

divided by the sum of the three-year average formula ADMs for all  3,771        

school districts in the state.                                                  

      (4)  "DPIA index" means the quotient obtained by dividing    3,774        

the school district's DPIA percentage by the statewide DPIA        3,776        

percentage.                                                                     

      (5)  "Kindergarten ADM" means the number of students         3,779        

reported under section 3317.03 of the Revised Code as enrolled in  3,780        

                                                          85     


                                                                 
kindergarten.                                                      3,781        

      (6)  "Kindergarten through third grade ADM" means the        3,784        

amount calculated as follows:                                                   

      (a)  Multiply the kindergarten ADM by the sum of one plus    3,787        

the all-day kindergarten percentage;                               3,788        

      (b)  Add the number of students in grades one through        3,790        

three;                                                                          

      (d)(c)  Subtract from the sum calculated under division      3,792        

(A)(6)(c)(b) of this section the number of special education       3,794        

students in grades kindergarten through three.                     3,795        

      (7)  "Statewide average teacher salary" means thirty-nine    3,797        

thousand ninety-two FORTY THOUSAND ONE HUNDRED EIGHTY-SEVEN        3,798        

DOLLARS IN FISCAL YEAR 2000, AND FORTY-ONE THOUSAND THREE HUNDRED  3,799        

TWELVE dollars IN FISCAL YEAR 2001, which includes an amount for   3,800        

the value of fringe benefits.                                      3,801        

      (8)  "All-day kindergarten" means a kindergarten class that  3,804        

is in session five days per week for not less than the same        3,805        

number of clock hours each day as for pupils in grades one         3,806        

through six.                                                                    

      (9)  "All-day kindergarten percentage" means the percentage  3,808        

of a district's actual total number of students enrolled in        3,809        

kindergarten who are enrolled in all-day kindergarten.             3,810        

      (10)  "Buildings with the highest concentration of need"     3,812        

means the school buildings in a district with percentages of       3,814        

students receiving family assistance in grades kindergarten        3,815        

through three at least as high as the district-wide percentage of  3,816        

students receiving family assistance.  If, however, the            3,817        

information provided by the department of human services under     3,818        

section 3317.10 of the Revised Code is insufficient to determine   3,821        

the family assistance percentage in each building, "buildings      3,822        

with the highest concentration of need" has the meaning given in   3,823        

rules that the department of education shall adopt.  The rules     3,824        

shall base the definition of "buildings with the highest           3,825        

concentration of need" on family income of students in grades      3,826        

                                                          86     


                                                                 
kindergarten through three in a manner that, to the extent                      

possible with available data, approximates the intent of this      3,827        

division and division (G) of this section to designate buildings   3,829        

where the family assistance percentage in those grades equals or   3,830        

exceeds the district-wide family assistance percentage.            3,831        

      (B)  In addition to the amounts required to be paid to a     3,834        

school district under section 3317.022 of the Revised Code, a      3,835        

school district shall receive the greater of the amount the        3,836        

district received in fiscal year 1998 pursuant to division (B) of  3,837        

section 3317.023 of the Revised Code as it existed at that time    3,839        

or the sum of the computations made under divisions (C) to (E) of  3,840        

this section.                                                                   

      (C)  A supplemental payment that may be utilized for         3,842        

measures related to safety and security and for remediation or     3,843        

similar programs, calculated as follows:                           3,844        

      (1)  If the DPIA index of the school district is greater     3,847        

than or equal to thirty-five-hundredths, but less than one, an     3,848        

amount obtained by multiplying the five-year average number of     3,849        

pupils in a district receiving family assistance by two hundred    3,850        

thirty dollars;                                                    3,851        

      (2)  If the DPIA index of the school district is greater     3,854        

than or equal to one, an amount obtained by multiplying the DPIA   3,856        

index by two hundred thirty dollars and multiplying that product   3,857        

by the five-year average number of pupils in a district receiving  3,858        

family assistance.                                                 3,859        

      (D)  A payment for all-day kindergarten if the DPIA index    3,862        

of the school district is greater than or equal to one or if the   3,863        

district's three-year average formula ADM exceeded seventeen       3,864        

thousand five hundred, calculated by multiplying the all-day       3,865        

kindergarten percentage by the kindergarten ADM and multiplying    3,866        

that product by the formula amount.                                3,867        

      (E)  A class-size reduction payment based on calculating     3,870        

the number of new teachers necessary to achieve a lower            3,871        

student-teacher ratio, as follows:                                 3,872        

                                                          87     


                                                                 
      (1)  Determine or calculate a formula number of teachers     3,874        

per one thousand students based on the DPIA index of the school    3,876        

district as follows:                                               3,877        

      (a)  If the DPIA index of the school district is less than   3,880        

six-tenths, the formula number of teachers is 43.478, which is     3,881        

the number of teachers per one thousand students at a              3,882        

student-teacher ratio of twenty-three to one;                      3,883        

      (b)  If the DPIA index of the school district is greater     3,886        

than or equal to six-tenths, but less than two and one-half, the   3,887        

formula number of teachers is calculated as follows:               3,888        

           43.478 + §[(DPIA index-0.6)/1.9< X 23.188               3,890        

      Where 43.478 is the number of teachers per one thousand      3,892        

students at a student-teacher ratio of twenty-three to one; 1.9    3,893        

is the interval from a DPIA index of six-tenths to a DPIA index    3,896        

of two and one-half; and 23.188 is the difference in the number    3,897        

of teachers per one thousand students at a student-teacher ratio   3,898        

of fifteen to one and the number of teachers per one thousand      3,899        

students at a student-teacher ratio of twenty-three to one.        3,901        

      (c)  If the DPIA index of the school district is greater     3,904        

than or equal to two and one-half, the formula number of teachers  3,905        

is 66.667, which is the number of teachers per one thousand        3,906        

students at a student-teacher ratio of fifteen to one.             3,907        

      (2)  Multiply the formula number of teachers determined or   3,909        

calculated in division (E)(1) of this section by the kindergarten  3,911        

through third grade ADM for the district and divide that product   3,912        

by one thousand;                                                                

      (3)  Calculate the number of new teachers as follows:        3,914        

      (a)  Multiply the kindergarten through third grade ADM by    3,917        

43.478, which is the number of teachers per one thousand students  3,918        

at a student-teacher ratio of twenty-three to one, and divide      3,919        

that product by one thousand;                                                   

      (b)  Subtract the quotient obtained in division (E)(3)(a)    3,922        

of this section from the product in division (E)(2) of this        3,923        

section.                                                                        

                                                          88     


                                                                 
      (4)  Multiply the greater of the difference obtained under   3,925        

division (E)(3) of this section or zero by the statewide average   3,927        

teachers salary.                                                                

      (F)  This division applies only to school districts whose    3,929        

DPIA index is one or greater.                                      3,930        

      (1)  Each school district subject to this division shall     3,932        

first utilize funds received under this section so that, when      3,933        

combined with other funds of the district, sufficient funds exist  3,934        

to provide all-day kindergarten to at least the number of          3,935        

children in the district's all-day kindergarten percentage.        3,936        

      (2)  Up to an amount equal to the district's DPIA index      3,938        

multiplied by the five-year average number of pupils in a          3,939        

district receiving family assistance multiplied by two hundred     3,940        

thirty dollars of the money distributed under this section may be  3,942        

utilized for one or both of the following:                         3,943        

      (a)  Programs designed to ensure that schools are free of    3,946        

drugs and violence and have a disciplined environment conducive    3,947        

to learning;                                                                    

      (b)  Remediation for students who have failed or are in      3,950        

danger of failing any of the proficiency tests administered        3,951        

pursuant to section 3301.0710 of the Revised Code.                              

      (3)  Except as otherwise required by division (G) of this    3,953        

section, all other funds distributed under this section to         3,954        

districts subject to this division shall be utilized for the       3,955        

purpose of the third grade guarantee.  The third grade guarantee   3,956        

consists of increasing the amount of instructional attention       3,958        

received per pupil in kindergarten through third grade, either by  3,959        

reducing the ratio of students to instructional personnel or by    3,960        

increasing the amount of instruction and curriculum-related        3,961        

activities by extending the length of the school day or the        3,962        

school year.                                                                    

      School districts may implement a reduction of the ratio of   3,964        

students to instructional personnel through any or all of the      3,965        

following methods:                                                 3,966        

                                                          89     


                                                                 
      (a)  Reducing the number of students in a classroom taught   3,969        

by a single teacher;                                                            

      (b)  Employing full-time educational aides or educational    3,972        

paraprofessionals issued a permit or license under section         3,973        

3319.088 of the Revised Code;                                                   

      (c)  Instituting a team-teaching method that will result in  3,976        

a lower student-teacher ratio in a classroom.                                   

      Districts may extend the school day either by increasing     3,978        

the amount of time allocated for each class, increasing the        3,979        

number of classes provided per day, offering optional              3,980        

academic-related after-school programs, providing                  3,981        

curriculum-related extra curricular activities, or establishing    3,982        

tutoring or remedial services for students who have demonstrated   3,983        

an educational need.  In accordance with section 3319.089 of the   3,984        

Revised Code, a district extending the school day pursuant to      3,986        

this division may utilize a participant of the work experience     3,987        

program who has a child enrolled in a public school in that        3,988        

district and who is fulfilling the work requirements of that                    

program by volunteering or working in that public school.  If the  3,989        

work experience program participant is compensated, the school     3,990        

district may use the funds distributed under this section for all  3,991        

or part of the compensation.                                                    

      Districts may extend the school year either through adding   3,993        

regular days of instruction to the school calendar or by           3,994        

providing summer programs.                                         3,995        

      (G)  Each district subject to division (F) of this section   3,998        

shall not expend any funds received under division (E) of this     3,999        

section in any school buildings that are not buildings with the    4,000        

highest concentration of need, unless there is a ratio of          4,001        

instructional personnel to students of no more than fifteen to     4,002        

one in each kindergarten and first grade class in all buildings    4,003        

with the highest concentration of need.  This division does not    4,005        

require that the funds used in buildings with the highest          4,006        

concentration of need be spent solely to reduce the ratio of       4,007        

                                                          90     


                                                                 
instructional personnel to students in kindergarten and first      4,008        

grade.  A school district may spend the funds in those buildings   4,009        

in any manner permitted by division (F)(3) of this section, but    4,010        

may not spend the money in other buildings unless the              4,011        

fifteen-to-one ratio required by this division is attained.        4,012        

      (H)(1)  By the first day of August of each fiscal year,      4,014        

each school district wishing to receive any funds under division   4,015        

(D) of this section shall submit to the department of education    4,017        

an estimate of its all-day kindergarten percentage.  Each          4,019        

district shall update its estimate throughout the fiscal year in   4,020        

the form and manner required by the department, and the            4,021        

department shall adjust payments under this section to reflect     4,022        

the updates.                                                                    

      (2)  Annually by the end of December, the department of      4,024        

education, utilizing data from the information system established  4,026        

under section 3301.0714 of the Revised Code and after              4,027        

consultation with the legislative office of education oversight,   4,028        

shall determine for each school district subject to division (F)   4,029        

of this section whether in the preceding fiscal year the           4,030        

district's ratio of instructional personnel to students; and its   4,031        

number of kindergarten students receiving all-day kindergarten     4,032        

appear reasonable, given the amounts of money the district         4,033        

received for that fiscal year pursuant to divisions (D) and (E)    4,034        

of this section.  If the department is unable to verify from the   4,035        

data available that students are receiving reasonable amounts of   4,036        

instructional attention and all-day kindergarten, given the funds  4,037        

the district has received under this section and that class-size   4,039        

reduction funds are being used in school buildings with the        4,040        

highest concentration of need as required by division (G) of this  4,041        

section, the department shall conduct a more intensive             4,042        

investigation to ensure that funds have been expended as required  4,043        

by this section.  The department shall file an annual report of    4,044        

its findings under this division with the chairpersons of the      4,045        

committees in each house of the general assembly dealing with      4,046        

                                                          91     


                                                                 
finance and education.                                                          

      (I)  Any school district with a DPIA index less than one     4,048        

and a three-year average formula ADM exceeding seventeen thousand  4,051        

five hundred shall first utilize funds received under this         4,052        

section so that, when combined with other funds of the district,                

sufficient funds exist to provide all-day kindergarten to at       4,053        

least the number of children in the district's all-day             4,054        

kindergarten percentage.  Such a district shall expend at least    4,055        

seventy per cent of the remaining funds received under this        4,056        

section, and any other district with a DPIA index less than one    4,058        

shall expend at least seventy per cent of all funds received       4,059        

under this section, for any of the following purposes:             4,060        

      (1)  The purchase of technology for instructional purposes;  4,063        

      (2)  All-day kindergarten;                                   4,065        

      (3)  Reduction of class sizes;                               4,067        

      (4)  Summer school remediation;                              4,069        

      (5)  Dropout prevention programs;                            4,071        

      (6)  Guaranteeing that all third graders are ready to        4,074        

progress to more advanced work;                                                 

      (7)  Summer education and work programs;                     4,076        

      (8)  Adolescent pregnancy programs;                          4,078        

      (9)  Head start or preschool programs;                       4,080        

      (10)  Reading improvement programs described by the          4,083        

department of education;                                                        

      (11)  Programs designed to ensure that schools are free of   4,086        

drugs and violence and have a disciplined environment conducive    4,087        

to learning;                                                                    

      (12)  Furnishing, free of charge, materials used in courses  4,090        

of instruction, except for the necessary textbooks required to be  4,091        

furnished without charge pursuant to section 3329.06 of the        4,092        

Revised Code, to pupils living in families participating in Ohio   4,093        

works first in accordance with section 3313.642 of the Revised     4,094        

Code;                                                                           

      (13)  School breakfasts provided pursuant to section         4,096        

                                                          92     


                                                                 
3313.813 of the Revised Code.                                      4,097        

      Each district shall submit to the department, in such        4,099        

format and at such time as the department shall specify, a report  4,100        

on the programs for which it expended funds under this division.   4,101        

      (J)  If at any time the superintendent of public             4,103        

instruction determines that a school district receiving funds      4,104        

under division (D) of this section has enrolled less than the      4,105        

all-day kindergarten percentage reported for that fiscal year,     4,107        

the superintendent shall withhold from the funds otherwise due     4,108        

the district under this section a proportional amount as           4,109        

determined by the difference in the certified all-day              4,110        

kindergarten percentage and the percentage actually enrolled in    4,111        

all-day kindergarten.                                              4,112        

      The superintendent shall also withhold an appropriate        4,114        

amount of funds otherwise due a district for any other misuse of   4,115        

funds not in accordance with this section.                         4,116        

      Sec. 3317.0212.  Divisions (B) and (C) of this section do    4,125        

not apply to a school district with a formula ADM of one hundred   4,127        

fifty or less.                                                                  

      (A)  As used in this section:                                4,129        

      (1)  "Fundamental FY 1997 state aid" or "fundamental FY      4,132        

1998 state aid" for a district means the total amount of state     4,133        

money received by the district for the applicable fiscal year as   4,135        

reported on the department of education's form "SF-12," adjusted   4,136        

as follows:                                                        4,137        

      (a)  Minus the amount for transportation;                    4,139        

      (b)  Minus any amounts for approved preschool handicapped    4,142        

units;                                                                          

      (c)  Minus any additional amount attributable to the         4,145        

reappraisal guarantee of division (C) of section 3317.04 of the    4,146        

Revised Code;                                                      4,147        

      (d)  Plus the amount deducted for payments to an             4,149        

educational service center;                                        4,150        

      (e)  Plus an estimated portion of the state money            4,152        

                                                          93     


                                                                 
distributed in the applicable fiscal year to other school          4,153        

districts or educational service centers for approved units,       4,154        

other than preschool handicapped or gifted education units,        4,155        

attributable to the costs of providing services in those units to  4,157        

students entitled to attend school in the district;                             

      (f)  Minus an estimated portion of the state money           4,159        

distributed to the school district in the applicable fiscal year   4,160        

for approved units, other than preschool handicapped units or      4,161        

gifted education units, attributable to the costs of providing     4,162        

services in those units to students entitled to attend school in   4,163        

another school district;                                           4,164        

      (g)  Plus any additional amount paid in the applicable       4,167        

fiscal year pursuant to the vocational education recomputation     4,168        

required by Section 45.12 of Amended Substitute House Bill No.                  

117 of the 121st general assembly or former Section 50.22 of       4,169        

Amended Substitute House Bill No. 215 of the 122nd general         4,170        

assembly;                                                                       

      (h)  Plus any additional amount paid in the applicable       4,173        

fiscal year pursuant to the special education recomputation        4,174        

required by former division (I) of section 3317.023 of the                      

Revised Code;                                                      4,175        

      (i)  Plus any amount paid for equity aid in the applicable   4,178        

fiscal year under section 3317.0213 of the Revised Code;           4,180        

      (j)  Plus any amount received for the applicable fiscal      4,182        

year pursuant to section 3317.027 of the Revised Code;             4,184        

      (k)  Plus any amount received for the applicable fiscal      4,186        

year resulting from a recomputation made under division (B) of     4,187        

section 3317.022 of the Revised Code.                              4,188        

      (2)  "Enhanced FY 1998 1999 state aid" for a district means  4,191        

its fundamental FY 1998 state BASIC aid FOR FISCAL YEAR 1999,      4,193        

plus any amounts for which the district was eligible pursuant to   4,194        

division (K) (D) of THE VERSION OF section 3317.024 3317.022 of    4,195        

the Revised Code, as that division existed in EFFECT THAT fiscal   4,196        

year 1998.                                                         4,197        

                                                          94     


                                                                 
      (3)  "State basic aid" for a district for any fiscal year    4,199        

after fiscal year 1998 1999 means the sum of the following:        4,201        

      (a)  The amount computed for the district for basic formula  4,203        

aid and BASE COST FUNDING, special education funding, AND          4,205        

VOCATIONAL EDUCATION FUNDING under divisions (A), (B), and (C)(1)  4,207        

AND (5), AND (E) of section 3317.022 and sections 3317.025 and     4,208        

3317.027 of the Revised Code and DPIA aid under section 3317.029   4,209        

of the Revised Code in the current fiscal year before any          4,211        

deduction or credit required by division (B), (D), (E), (F), (G),  4,213        

(H), (I), (J), or (K) of section 3317.023 or division (J) of       4,214        

section 3317.029 of the Revised Code;                              4,215        

      (b)  Any amounts for which the district is eligible          4,217        

pursuant to division (C) of section 3317.023, divisions (G) and    4,218        

(P) of section 3317.024, and THE SUPPLEMENTAL UNIT ALLOWANCE PAID  4,219        

FOR GIFTED UNITS UNDER division (B) of section 3317.162 of the     4,220        

Revised Code;                                                      4,221        

      (c)  Any equity aid for which the district is eligible       4,224        

under section 3317.0213 of the Revised Code.                                    

      (4)  "STATE BASIC AID FOR FISCAL YEAR 1999" MEANS A          4,226        

DISTRICT'S "STATE BASIC AID" FOR THAT YEAR, AS DEFINED IN THE      4,227        

VERSION OF THIS SECTION IN EFFECT IN FISCAL YEAR 1999, PLUS AN     4,228        

APPROPRIATE PROPORTION, AS DETERMINED BY THE DEPARTMENT OF         4,229        

EDUCATION, OF THE AMOUNT RECEIVED BY THE SCHOOL DISTRICT IN                     

FISCAL YEAR 1999 FROM THE VOCATIONAL EDUCATION SET-ASIDE AND       4,230        

ATTRIBUTABLE TO THE DISTRICT'S STUDENTS.                           4,231        

      (5)  "VOCATIONAL EDUCATION SET-ASIDE" MEANS THE UP TO        4,233        

$24,193,118 EARMARKED FOR ADDITIONAL SCHOOL DISTRICT VOCATIONAL    4,234        

EDUCATION GRANTS UNDER APPROPRIATION ITEM 200-545, VOCATIONAL      4,235        

EDUCATION ENHANCEMENTS, IN AM. SUB. H.B. 770 OF THE 122nd GENERAL  4,236        

ASSEMBLY.                                                                       

      (B)  Upon request of the department of education, the        4,238        

treasurer of any school district or educational service center     4,239        

shall furnish data needed to calculate the amounts specified in    4,240        

divisions (A)(1)(e) and (f) of this section.  The department       4,241        

                                                          95     


                                                                 
shall compute AND PAY the state basic aid guarantee for each       4,242        

school district for the fiscal year as follows:                    4,243        

      (1)  Subtract the amount of state basic aid from the amount  4,246        

of fundamental FY 1998 state aid.  If a negative number, this      4,247        

computation shall be deemed to be zero.                            4,248        

      (2)  Compute the following amounts:                          4,250        

      (a)  Formula ADM X (state basic aid/formula ADM);            4,253        

      (b)  The greater of formula ADM or three-year average        4,256        

formula ADM X (fundamental FY 1998 state aid/FY 1998 ADM).         4,257        

      (3)  If the amount computed under division (B)(2)(b) of      4,260        

this section is greater than the amount computed under division                 

(B)(2)(a) of this section, determine the amount by which it is     4,262        

greater.  If the amount computed under division (B)(2)(b) of this  4,263        

section is not greater than the amount computed under division     4,264        

(B)(2)(a) of this section, this computation shall be deemed to be  4,265        

zero.                                                                           

      (4)  Except as provided in division (C) of this section,     4,268        

the department shall determine for each district the lesser of     4,269        

the amounts computed in divisions (B)(1) and (3) of this section   4,271        

and, if greater than zero, pay PAY the district that ANY POSITIVE  4,273        

amount CALCULATED UNDER DIVISION (B)(1) OF THIS SECTION.           4,274        

      (C)  In fiscal year 1999 2000, the department shall          4,277        

calculate for each district the sum of the district's state basic  4,278        

aid for THAT fiscal year 1999, plus ANY AMOUNT CALCULATED UNDER    4,279        

DIVISION (B)(1) OF THIS SECTION, PLUS the transportation portion   4,280        

of state aid computed FOR THE DISTRICT FOR THAT FISCAL YEAR under  4,282        

division (D) of THE VERSION OF section 3317.022 of the Revised     4,284        

Code for the district for IN EFFECT THAT fiscal year 1999.  If a   4,285        

district's enhanced FY 1998 1999 state aid is greater than that    4,286        

sum, then the department shall pay the district in THAT fiscal     4,288        

year 1999 one hundred per cent of the difference or the amount     4,289        

required by division (B)(4) of this section, whichever is          4,290        

greater.                                                                        

      (D)(1)  The state basic aid guarantee in any fiscal year     4,292        

                                                          96     


                                                                 
for a school district with a formula ADM of one hundred fifty or   4,293        

less shall be the greatest of the following amounts:               4,294        

      (a)  The district's state basic aid for the fiscal year;     4,296        

      (b)  The district's fundamental FY 1998 state aid;           4,298        

      (c)  The district's fundamental FY 1997 state aid.           4,300        

      (2)  If in any fiscal year the state basic aid for a school  4,302        

district with a formula ADM of one hundred fifty or less is less   4,303        

than the guarantee amount determined for the district under        4,304        

division (D)(1) of this section, the department of education       4,305        

shall pay the district the amount of the difference.               4,306        

      Sec. 3317.0213.  No money shall be distributed under this    4,315        

section after fiscal year 2001 2002.                               4,316        

      (A)  As used in this section:                                4,318        

      (1)  "ADM" for any school district means:                    4,320        

      (a)  In fiscal year 1999, the FY 1998 ADM;                   4,323        

      (b)  In fiscal years 2000 and 2001 THROUGH 2002, the         4,325        

formula ADM reported for the previous fiscal year.                 4,326        

      (2)  "Average taxable value" means the average of the        4,329        

amounts certified for a district in the second, third, and fourth  4,330        

preceding fiscal years under divisions (A)(1) and (2) of section   4,331        

3317.021 of the Revised Code.                                                   

      (3)  "Valuation per pupil" for a district means:             4,333        

      (a)  In fiscal year 1999, the district's average taxable     4,336        

value, divided by the district's FY 1998 ADM;                      4,339        

      (b)  In a fiscal year that occurs after fiscal year 1999,    4,342        

the district's average taxable value, divided by the district's    4,344        

formula ADM for the preceding fiscal year.                         4,345        

      (4)  "Threshold valuation" means:                            4,347        

      (a)  In fiscal year 1999, the adjusted valuation per pupil   4,350        

of the school district with the two hundred twenty-ninth lowest    4,351        

adjusted valuation per pupil in the state, according to data       4,353        

available at the time of the computation under division (B) of     4,354        

this section;                                                                   

      (b)  In fiscal year 2000, the adjusted valuation per pupil   4,356        

                                                          97     


                                                                 
of the district with the one hundred sixty-third NINETY-SIXTH      4,357        

lowest such valuation in the state;                                4,358        

      (c)  In fiscal year 2001, the adjusted valuation per pupil   4,360        

of the district with the one hundred eighteenth SIXTY-THIRD        4,361        

lowest such valuation in the state;                                4,362        

      (d)  IN FISCAL YEAR 2002, THE ADJUSTED VALUATION PER PUPIL   4,364        

OF THE DISTRICT WITH THE ONE-HUNDRED-EIGHTEENTH LOWEST SUCH        4,365        

VALUATION IN THE STATE.                                                         

      (5)  "Adjusted valuation per pupil" for a district means an  4,367        

amount calculated in accordance with the following formula:        4,368        

 The district's valuation per pupil - ($30,000 X (one minus the    4,371        

                   district's income factor))                                   

      (6)  "Millage rate" means .012 in fiscal year 1999, .011 in  4,373        

fiscal year 2000, and .010 in fiscal year YEARS 2001 AND 2002.     4,375        

      (B)  Beginning in fiscal year 1993, during August of each    4,377        

fiscal year, the department of education shall distribute to each  4,378        

school district meeting the requirements of section 3317.01 of     4,379        

the Revised Code whose adjusted valuation per pupil is less than   4,380        

the threshold valuation, an amount calculated in accordance with   4,381        

the following formula:                                             4,382        

(The threshold valuation - the district's adjusted valuation per   4,385        

                   pupil) X millage rate X ADM                     4,386        

      Sec. 3317.0216.  (A)  As used in this section:               4,395        

      (1)  "Total taxes charged and payable for current expenses"  4,398        

means the sum of the taxes charged and payable as certified under  4,399        

division (A)(3) of section 3317.021 of the Revised Code, and the   4,401        

tax liability for the preceding year under any school district     4,402        

income tax levied by the district pursuant to Chapter 5748. of     4,403        

the Revised Code to the extent the revenue from the income tax is  4,404        

allocated or apportioned to current expenses.                      4,405        

      (2)  "State equalization enhancement payments" means any     4,407        

payment made to a school district pursuant to section 3317.0215    4,408        

of the Revised Code for the preceding fiscal year.                 4,409        

      (3)  "Charge-off amount" means the product obtained by       4,411        

                                                          98     


                                                                 
multiplying two and three-tenths per cent by adjusted total        4,412        

taxable value.                                                     4,413        

      (4)  "Total receipts available for current expenses" of a    4,416        

school district means the sum of total taxes charged and payable   4,417        

for current expenses and the district's state equalization                      

enhancement payments.                                              4,418        

      (5)  "Local share of special education and related services  4,420        

additional weighted costs" has the same meaning as in division     4,423        

(C)(3) of section 3317.022 of the Revised Code.                                 

      (6)  "LOCAL SHARE OF VOCATIONAL EDUCATION AND ASSOCIATED     4,425        

SERVICES ADDITIONAL WEIGHTED COSTS" FOR EACH SCHOOL DISTRICT       4,426        

MEANS THE AMOUNT DETERMINED AS FOLLOWS:                            4,427        

        (1 - STATE SHARE PERCENTAGE AS DEFINED IN SECTION          4,428        

       3317.022 OF THE REVISED CODE) X [(TOTAL VOCATIONAL          4,429        

          EDUCATION WEIGHT AS DEFINED IN THAT SECTION X            4,431        

   THE FORMULA AMOUNT) + THE DISTRICT'S PAYMENT UNDER DIVISION     4,433        

         (E)(2) OF SECTION 3317.02 OF THE REVISED CODE<                         

      (B)  Upon receiving the certifications under section         4,435        

3317.021 of the Revised Code, the department of education shall    4,436        

determine for each city, local, and exempted village school        4,438        

district whether the district's charge-off amount is greater than  4,439        

the district's total receipts available for current expenses, and  4,440        

if it is, shall pay the district the amount of the difference.  A  4,441        

payment shall not be made to any school district for which the     4,442        

computation under division (A) of section 3317.022 of the Revised  4,443        

Code equals zero.                                                  4,444        

      (C)(1)  If a district's charge-off amount is equal to or     4,446        

greater than its total receipts available for current expenses,    4,447        

the department shall, in addition to the payment required under    4,448        

division (B) of this section, pay the district the amount of the   4,449        

local share of special education expenses AND RELATED SERVICES     4,450        

ADDITIONAL WEIGHTED COSTS AND THE AMOUNT OF THE LOCAL SHARE OF     4,451        

VOCATIONAL EDUCATION AND ASSOCIATED SERVICES ADDITIONAL WEIGHTED   4,452        

COSTS.                                                                          

                                                          99     


                                                                 
      (2)  If a district's charge-off amount is less than its      4,454        

total receipts available for current expenses, the department      4,455        

shall pay the district any amount by which THE SUM OF its local    4,458        

share of special education and related services additional         4,459        

weighted costs PLUS ITS LOCAL SHARE OF VOCATIONAL EDUCATION AND    4,460        

ASSOCIATED SERVICES ADDITIONAL WEIGHTED COSTS exceeds its total    4,462        

receipts available for current expenses minus its charge-off                    

amount.                                                                         

      Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1),     4,472        

and (C) of this section, any student enrolled in kindergarten      4,473        

more than half time shall be reported as one-half student under    4,474        

this section.                                                                   

      (A)  The superintendent of each city and exempted village    4,477        

school district and of each educational service center shall, for  4,478        

the schools under the superintendent's supervision, certify to     4,479        

the state board of education on or before the fifteenth day of     4,480        

October in each year for the first full school week in October     4,481        

the formula ADM, which shall consist of the average daily          4,482        

membership during such week of the sum of the following:           4,483        

      (1)  On an FTE basis, the number of students in grades       4,486        

kindergarten through twelve receiving any educational services     4,487        

from the district, except that the following categories of         4,488        

students shall not be included in the determination:               4,489        

      (a)  Students enrolled in adult education classes;           4,491        

      (b)  Adjacent or other district students enrolled in the     4,493        

district under an open enrollment policy pursuant to section       4,494        

3313.98 of the Revised Code;                                       4,495        

      (c)  Students receiving services in the district pursuant    4,497        

to a compact, cooperative education agreement, or a contract, but  4,498        

who are entitled to attend school in another district pursuant to  4,499        

section 3313.64 or 3313.65 of the Revised Code;                    4,500        

      (d)  Students for whom tuition is payable pursuant to        4,503        

sections 3317.081 and 3323.141 of the Revised Code.                4,504        

      (2)  On an FTE basis, the number of students entitled to     4,507        

                                                          100    


                                                                 
attend school in the district pursuant to section 3313.64 or       4,508        

3313.65 of the Revised Code, but receiving educational services    4,510        

in grades kindergarten through twelve from one or more of the                   

following entities:                                                4,511        

      (a)  A community school pursuant to Chapter 3314. of the     4,514        

Revised Code or Section 50.52 of Amended Substitute House Bill     4,515        

No. 215 of the 122nd general assembly;                                          

      (b)  An alternative school pursuant to sections 3313.974 to  4,517        

3313.979 of the Revised Code as described in division (I)(2)(a)    4,519        

or (b) of this section;                                                         

      (c)  A college pursuant to Chapter 3365. of the Revised      4,521        

Code;                                                                           

      (d)  An adjacent or other school district under an open      4,524        

enrollment policy adopted pursuant to section 3313.98 of the       4,525        

Revised Code;                                                      4,526        

      (e)  An educational service center or cooperative education  4,529        

district;                                                                       

      (f)  Another school district under a cooperative education   4,532        

agreement, compact, or contract.                                                

      (3)  One-fourth of the number of students enrolled in a      4,534        

joint vocational school district or under a vocational education   4,535        

compact;                                                                        

      (4)  The number of handicapped children, other than          4,537        

handicapped preschool children, entitled to attend school in the   4,538        

district pursuant to section 3313.64 or 3313.65 of the Revised     4,540        

Code who are placed with a county MR/DD board, minus the number    4,543        

of such children placed with a county MR/DD board in fiscal year   4,544        

1998.  If this calculation produces a negative number, the number  4,546        

reported under division (A)(4) of this section shall be zero.      4,548        

      (B)  To enable the department of education to obtain the     4,551        

data needed to complete the calculation of payments pursuant to    4,552        

this chapter, in addition to the formula ADM, each superintendent  4,554        

shall report separately the following student counts:              4,555        

      (1)  The total average daily membership in regular day       4,557        

                                                          101    


                                                                 
classes included in the report under division (A)(1) or (2) of     4,558        

this section for kindergarten, and each of grades one through      4,559        

twelve in schools under the superintendent's supervision;          4,561        

      (2)  The average daily membership of all handicapped         4,563        

preschool children included in a unit approved for the district    4,564        

under section 3317.05 of the Revised Code, in accordance with      4,565        

rules adopted under that section;                                  4,566        

      (3)  The number of children entitled to attend school in     4,568        

the district pursuant to section 3313.64 or 3313.65 of the         4,569        

Revised Code who are participating in a pilot project scholarship  4,571        

program established under sections 3313.974 to 3313.979 of the     4,572        

Revised Code as described in division (I)(2)(a) or (b) of this     4,574        

section, are enrolled in a college under Chapter 3365. of the      4,575        

Revised Code, are enrolled in an adjacent or other school          4,576        

district under section 3313.98 of the Revised Code, are enrolled   4,577        

in a community school established under Chapter 3314. of the       4,579        

Revised Code or Section 50.52 of Amended Substitute House Bill     4,580        

No. 215 of the 122nd general assembly, or are participating in a   4,581        

program operated by a county MR/DD board or a state institution;   4,583        

      (4)  The number of pupils enrolled in joint vocational       4,585        

schools;                                                           4,586        

      (5)  The average daily membership of handicapped children    4,589        

reported under division (A)(1) or (2) of this section receiving    4,590        

category one special education services, described in division     4,591        

(A) of section 3317.013 of the Revised Code;                       4,592        

      (6)  The average daily membership of handicapped children    4,594        

reported under division (A)(1) or (2) of this section receiving    4,595        

category two special education services, described in division     4,596        

(B) of section 3317.013 of the Revised Code;                       4,597        

      (7)  The average daily membership of handicapped children    4,599        

reported under division (A)(1) or (2) of this section identified   4,601        

as having any of the handicaps specified in division (F)(3) of     4,602        

section 3317.02 of the Revised Code;                                            

      (8)  The average daily membership of pupils reported under   4,604        

                                                          102    


                                                                 
division (A)(1) or (2) of this section enrolled in CATEGORY ONE    4,605        

vocational education programs or classes, DESCRIBED IN DIVISION    4,607        

(A) OF SECTION 3317.014 OF THE REVISED CODE, operated by the                    

school district or by another district, other than a joint         4,608        

vocational school district, or by an educational service center;   4,609        

      (9)  THE AVERAGE DAILY MEMBERSHIP OF PUPILS REPORTED UNDER   4,611        

DIVISION (A)(1) OR (2) OF THIS SECTION ENROLLED IN CATEGORY TWO    4,612        

VOCATIONAL EDUCATION PROGRAMS OR SERVICES, DESCRIBED IN DIVISION   4,613        

(B) OF SECTION 3317.014 OF THE REVISED CODE, OPERATED BY THE       4,614        

SCHOOL DISTRICT OR ANOTHER SCHOOL DISTRICT, OTHER THAN A JOINT     4,615        

VOCATIONAL SCHOOL DISTRICT, OR BY AN EDUCATIONAL SERVICE CENTER;   4,616        

      (10)  THE AVERAGE DAILY MEMBERSHIP OF PUPILS REPORTED UNDER  4,618        

DIVISION (A)(1) OR (2) OF THIS SECTION ENROLLED IN CATEGORY THREE  4,619        

VOCATIONAL EDUCATION PROGRAMS OR SERVICES, AS DESIGNATED BY THE    4,620        

DEPARTMENT OF EDUCATION, THAT ARE OPERATED BY THE SCHOOL DISTRICT  4,622        

OR BY ANOTHER SCHOOL DISTRICT, OTHER THAN A JOINT VOCATIONAL       4,623        

SCHOOL DISTRICT, OR BY AN EDUCATIONAL SERVICE CENTER;                           

      (11)  The average number of children transported by the      4,626        

school district on board-owned or contractor-owned and -operated   4,627        

buses, reported in accordance with rules adopted by the            4,629        

department of education;                                                        

      (10)(12)(a)  The number of children, other than handicapped  4,632        

preschool children, the district placed with a county MR/DD board  4,633        

in fiscal year 1998;                                               4,634        

      (b)  The number of handicapped children, other than          4,636        

handicapped preschool children, placed with a county MR/DD board   4,638        

in the current fiscal year to receive category one special         4,639        

education services, described in division (A) of section 3317.013  4,641        

of the Revised Code;                                               4,642        

      (c)  The number of handicapped children, other than          4,644        

handicapped preschool children, placed with a county MR/DD board   4,646        

in the current fiscal year to receive category two special         4,647        

education services, described in division (B) of section 3317.013  4,649        

of the Revised Code;                                               4,650        

                                                          103    


                                                                 
      (d)  The number of handicapped children, other than          4,652        

handicapped preschool children, placed with a county MR/DD board   4,654        

in the current fiscal year to receive category three special       4,655        

education services, described in division (F)(3) of section        4,657        

3317.02 of the Revised Code.                                       4,659        

      (C)  Except as otherwise provided in this section for        4,661        

kindergarten students, the average daily membership in divisions   4,662        

(B)(1) to (8)(10) of this section shall be based upon the number   4,664        

of full-time equivalent students.  The state board of education    4,665        

shall adopt rules defining full-time equivalent students and for   4,666        

determining the average daily membership therefrom for the         4,668        

purposes of divisions (A) and, (B), AND (D) of this section.  No   4,669        

child shall be counted as more than a total of one child in the    4,670        

sum of the average daily memberships of a school district under    4,672        

division (A) or under, divisions (B)(1) to (8)(10), OR DIVISION    4,673        

(D) of this section.  Based on the information reported under      4,675        

this section, the department of education shall determine the                   

total student count, as defined in section 3301.011 of the         4,676        

Revised Code, for each school district.                            4,677        

      (D)(1)  The superintendent of each joint vocational and      4,679        

cooperative education school district shall certify to the         4,681        

superintendent of public instruction, in a manner prescribed by                 

the state board of education, the applicable ON OR BEFORE THE      4,682        

FIFTEENTH DAY OF OCTOBER IN EACH YEAR FOR THE FIRST FULL SCHOOL    4,683        

WEEK IN OCTOBER THE FORMULA ADM, WHICH SHALL CONSIST OF THE        4,685        

average daily memberships for all students in the joint            4,686        

vocational or cooperative education school district, MEMBERSHIP    4,688        

DURING SUCH WEEK, ON AN FTE BASIS, OF THE NUMBER OF STUDENTS       4,690        

RECEIVING ANY EDUCATIONAL SERVICES FROM THE DISTRICT, EXCEPT THAT  4,691        

THE FOLLOWING CATEGORIES OF STUDENTS SHALL NOT BE INCLUDED IN THE  4,692        

DETERMINATION:                                                                  

      (a)  STUDENTS ENROLLED IN ADULT EDUCATION CLASSES;           4,694        

      (b)  ADJACENT OR OTHER DISTRICT JOINT VOCATIONAL STUDENTS    4,696        

ENROLLED IN THE DISTRICT UNDER AN OPEN ENROLLMENT POLICY PURSUANT  4,698        

                                                          104    


                                                                 
TO SECTION 3313.98 OF THE REVISED CODE;                            4,699        

      (c)  STUDENTS RECEIVING SERVICES IN THE DISTRICT PURSUANT    4,701        

TO A COMPACT, COOPERATIVE EDUCATION AGREEMENT, OR A CONTRACT, BUT  4,702        

WHO ARE ENTITLED TO ATTEND SCHOOL IN A CITY, LOCAL, OR EXEMPTED    4,704        

VILLAGE SCHOOL DISTRICT WHOSE TERRITORY IS NOT PART OF THE         4,705        

TERRITORY OF THE JOINT VOCATIONAL DISTRICT;                                     

      (d)  STUDENTS FOR WHOM TUITION IS PAYABLE PURSUANT TO        4,707        

SECTIONS 3317.081 AND 3323.141 OF THE REVISED CODE.                4,708        

      (2)  TO ENABLE THE DEPARTMENT OF EDUCATION TO OBTAIN THE     4,710        

DATA NEEDED TO COMPLETE THE CALCULATION OF PAYMENTS PURSUANT TO    4,711        

THIS CHAPTER, IN ADDITION TO THE FORMULA ADM, EACH SUPERINTENDENT  4,712        

SHALL REPORT SEPARATELY THE AVERAGE DAILY MEMBERSHIP INCLUDED IN   4,713        

THE REPORT UNDER DIVISION (D)(1) OF THIS SECTION FOR EACH OF THE   4,714        

FOLLOWING CATEGORIES OF STUDENTS:                                  4,715        

      (a)  STUDENTS ENROLLED IN EACH GRADE INCLUDED IN THE JOINT   4,717        

VOCATIONAL DISTRICT SCHOOLS;                                       4,718        

      (b)  HANDICAPPED CHILDREN RECEIVING CATEGORY ONE SPECIAL     4,720        

EDUCATION SERVICES, DESCRIBED IN DIVISION (A) OF SECTION 3317.013  4,722        

OF THE REVISED CODE;                                                            

      (c)  HANDICAPPED CHILDREN RECEIVING CATEGORY TWO SPECIAL     4,724        

EDUCATION SERVICES, DESCRIBED IN DIVISION (B) OF SECTION 3317.013  4,726        

OF THE REVISED CODE;                                                            

      (d)  HANDICAPPED CHILDREN IDENTIFIED AS HAVING ANY OF THE    4,728        

HANDICAPS SPECIFIED IN DIVISION (F)(3) OF SECTION 3317.02 OF THE   4,730        

REVISED CODE;                                                                   

      (e)  STUDENTS RECEIVING CATEGORY ONE VOCATIONAL EDUCATION    4,732        

SERVICES, DESCRIBED IN DIVISION (A) OF SECTION 3317.014 OF THE     4,733        

REVISED CODE;                                                                   

      (f)  STUDENTS RECEIVING CATEGORY TWO VOCATIONAL EDUCATION    4,735        

SERVICES, DESCRIBED IN DIVISION (B) OF SECTION 3317.014 OF THE     4,736        

REVISED CODE;                                                                   

      (g)  STUDENTS RECEIVING CATEGORY THREE VOCATIONAL EDUCATION  4,738        

SERVICES, AS DESIGNATED BY THE DEPARTMENT.                         4,739        

      THE SUPERINTENDENT OF EACH JOINT VOCATIONAL SCHOOL DISTRICT  4,741        

                                                          105    


                                                                 
SHALL also indicating INDICATE the city, local, or exempted        4,743        

village school district of residence for IN WHICH each JOINT       4,744        

VOCATIONAL DISTRICT pupil IS ENTITLED TO ATTEND SCHOOL PURSUANT    4,745        

TO SECTION 3313.64 OR 3313.65 OF THE REVISED CODE.                              

      (E)  In each school of each city, local, exempted village,   4,747        

joint vocational, and cooperative education school district there  4,748        

shall be maintained a record of school membership, which record    4,749        

shall accurately show, for each day the school is in session, the  4,750        

actual membership enrolled in regular day classes.  For the        4,751        

purpose of determining average daily membership, the membership    4,752        

figure of any school shall not include any pupils except those     4,753        

pupils described by division (A) of this section.  The record of   4,755        

membership for each school shall be maintained in such manner      4,756        

that no pupil shall be counted as in membership prior to the       4,757        

actual date of entry in the school and also in such manner that    4,758        

where for any cause a pupil permanently withdraws from the school  4,759        

that pupil shall not be counted as in membership from and after    4,761        

the date of such withdrawal.  There shall not be included in the   4,762        

membership of any school any of the following:                                  

      (1)  Any pupil who has graduated from the twelfth grade of   4,765        

a public high school;                                                           

      (2)  Any pupil who is not a resident of the state;           4,767        

      (3)  Any pupil who was enrolled in the schools of the        4,770        

district during the previous school year when tests were                        

administered under section 3301.0711 of the Revised Code but did   4,771        

not take one or more of the tests required by that section and     4,772        

was not excused pursuant to division (C)(1) of that section;       4,773        

      (4)  Any pupil who has attained the age of twenty-two        4,775        

years, except for the following:                                   4,776        

      (a)  Persons suffering from tuberculosis and receiving       4,778        

treatment in any approved state, county, district, or municipal    4,779        

tuberculosis hospital who have not graduated from the twelfth      4,780        

grade of a public high school;                                     4,781        

      (b)  Veterans of the armed services whose attendance was     4,783        

                                                          106    


                                                                 
interrupted before completing the recognized twelve-year course    4,784        

of the public schools by reason of induction or enlistment in the  4,785        

armed forces and who apply for reenrollment in the public school   4,786        

system of their residence not later than four years after          4,787        

termination of war or their honorable discharge.                   4,788        

      If, however, any veteran described by division (E)(4)(b) of  4,791        

this section elects to enroll in special courses organized for     4,792        

veterans for whom tuition is paid under the provisions of federal  4,793        

laws, or otherwise, that veteran shall not be included in average  4,795        

daily membership.                                                               

      Notwithstanding division (E)(3) of this section, the         4,797        

membership of any school may include a pupil who did not take a    4,798        

test required by section 3301.0711 of the Revised Code if the      4,799        

superintendent of public instruction grants a waiver from the      4,800        

requirement to take the test to the specific pupil.  The           4,801        

superintendent may grant such a waiver only for good cause in      4,802        

accordance with rules adopted by the state board of education.     4,803        

      The average daily membership figure of any local, city, or   4,805        

exempted village, OR JOINT VOCATIONAL school district shall be     4,806        

determined by dividing the figure representing the sum of the      4,808        

number of pupils enrolled during each day the school of            4,809        

attendance is actually open for instruction during the first full  4,810        

school week in October by the total number of days the school was  4,811        

actually open for instruction during that week.  For purposes of   4,812        

state funding, "enrolled" persons are only those pupils who are    4,813        

attending school, those who have attended school during the        4,814        

current school year and are absent for authorized reasons, and     4,815        

those handicapped children currently receiving home instruction.   4,816        

      The average daily membership figure of any joint vocational  4,818        

or cooperative education school district shall be determined in    4,819        

accordance with rules adopted by the state board of education.     4,820        

      (F)(1)  If the formula ADM for the first full school week    4,823        

in February is at least three per cent greater than that           4,824        

certified for the first full school week in the preceding          4,825        

                                                          107    


                                                                 
October, the superintendent of schools of any city or, exempted    4,826        

village, OR JOINT VOCATIONAL school district or educational        4,828        

service center shall certify such increase to the superintendent   4,829        

of public instruction.  Such certification shall be submitted no   4,830        

later than the fifteenth day of February.  For the balance of the  4,831        

fiscal year, beginning with the February payments, the             4,832        

superintendent of public instruction shall use the increased       4,833        

formula ADM in calculating or recalculating the amounts to be      4,834        

allocated in accordance with section 3317.022 OR 3317.16 of the    4,836        

Revised Code.  In no event shall the superintendent use an         4,837        

increased membership certified to the superintendent after the     4,838        

fifteenth day of February.                                         4,839        

      (2)  If during the first full school week in February the    4,841        

total number of units for handicapped preschool children that are  4,844        

eligible for approval under division (B) of section 3317.05 of     4,845        

the Revised Code exceeds the number of such units that have been   4,846        

approved for the year under such division, the superintendent of   4,847        

schools of any city, exempted village, or cooperative education    4,848        

school district or educational service center shall make the       4,849        

certifications required by this section for such week.  If the     4,850        

state board of education determines additional units can be        4,851        

approved for the fiscal year within any limitations set forth in   4,852        

the acts appropriating moneys for the funding of such units, the   4,854        

board shall approve additional units for the fiscal year on the    4,855        

basis of such average daily membership.  For each unit so                       

approved, the department of education shall pay an amount          4,856        

computed in the manner prescribed in section 3317.161 or 3317.19   4,858        

and section 3317.162 of the Revised Code.                                       

      (3)  If during the first full school week in February the    4,860        

total number of special education units that are eligible for      4,861        

approval under division (D)(1) of section 3317.05 of the Revised   4,862        

Code for a joint vocational school district exceeds the number of  4,863        

those units that have been approved for the year under that        4,864        

division, the superintendent of the district shall make the                     

                                                          108    


                                                                 
certifications required by this section for that week.  If the     4,865        

state board of education determines additional units can be        4,866        

approved for the fiscal year within any limitations set forth in   4,867        

the acts appropriating moneys for the funding of such units, the   4,868        

state board shall approve additional units for the fiscal year on  4,869        

the basis of the average daily membership certified.  For each                  

unit approved, the department of education shall pay an amount     4,870        

computed in the manner prescribed by section 3317.16 of the        4,871        

Revised Code.                                                                   

      (G)(1)(a)  The superintendent of an institution operating a  4,873        

special education program pursuant to section 3323.091 of the      4,874        

Revised Code shall, for the programs under such superintendent's   4,876        

supervision, certify to the state board of education the average   4,877        

daily membership of all handicapped children in classes or         4,878        

programs approved annually by the state board of education, in     4,879        

the manner prescribed by the superintendent of public              4,880        

instruction.                                                                    

      (b)  The superintendent of an institution with vocational    4,883        

education units approved under division (A) of section 3317.05 of  4,884        

the Revised Code shall, for the units under the superintendent's   4,886        

supervision, certify to the state board of education the average   4,887        

daily membership in those units, in the manner prescribed by the   4,888        

superintendent of public instruction.                              4,889        

      (2)  The superintendent of each county MR/DD board that      4,891        

maintains special education classes or units approved by the       4,892        

state board of education pursuant to section 3317.05 of the        4,894        

Revised Code shall do both of the following:                       4,895        

      (a)  Certify to the state board, in the manner prescribed    4,898        

by the board, the average daily membership in classes and units    4,899        

approved under division (D)(1) of section 3317.05 of the Revised   4,900        

Code for each school district that has placed children in the      4,901        

classes or units;                                                               

      (b)  Certify to the state board, in the manner prescribed    4,903        

by the board, the average daily membership in preschool            4,905        

                                                          109    


                                                                 
handicapped units approved under division (B) of section 3317.05   4,907        

of the Revised Code.                                                            

      (3)  If during the first full school week in February the    4,909        

average daily membership of the classes or units maintained by     4,910        

the county MR/DD board that are eligible for approval under        4,911        

division (D)(1) of section 3317.05 of the Revised Code is greater  4,913        

than the average daily membership for the preceding October, the   4,914        

superintendent of the board shall make the certifications          4,915        

required by this section for such week and, if during the first    4,917        

full school week in February the average daily membership of the   4,918        

units maintained by the county MR/DD board that are eligible for   4,919        

approval under division (B) of section 3317.05 of the Revised      4,920        

Code is greater than the average daily membership for the          4,921        

preceding October, the superintendent shall certify the average    4,922        

daily membership for the first full school week in February for    4,923        

such units to the state board of education.  If the state board    4,924        

determines that additional classes or units can be approved for    4,925        

the fiscal year within any limitations set forth in the acts       4,926        

appropriating moneys for the funding of such classes and units,    4,927        

the board shall approve and fund additional units for the fiscal   4,928        

year on the basis of such average daily membership.  For each                   

unit so approved, the department of education shall pay an amount  4,929        

computed in the manner prescribed in sections 3317.161 and         4,931        

3317.162 of the Revised Code.                                                   

      (H)  Except as provided in division (I) of this section,     4,934        

when any city, local, or exempted village school district          4,935        

provides instruction for a nonresident pupil whose attendance is   4,936        

unauthorized attendance as defined in section 3327.06 of the       4,937        

Revised Code, that pupil's membership shall not be included in     4,938        

that district's membership figure used in the calculation of that  4,939        

district's formula ADM or included in the determination of any     4,940        

unit approved for the district under section 3317.05 of the        4,941        

Revised Code.  The reporting official shall report separately the  4,942        

average daily membership of all pupils whose attendance in the     4,943        

                                                          110    


                                                                 
district is unauthorized attendance, and the membership of each    4,944        

such pupil shall be credited to the school district in which the   4,945        

pupil is entitled to attend school under division (B) of section   4,946        

3313.64 or section 3313.65 of the Revised Code as determined by    4,947        

the department of education.                                       4,948        

      (I)(1)  A CITY, LOCAL, EXEMPTED VILLAGE, OR JOINT            4,950        

VOCATIONAL school district admitting a scholarship student of a    4,953        

pilot project district pursuant to division (C) of section                      

3313.976 of the Revised Code may count such student in its         4,954        

average daily membership.                                                       

      (2)  In any year for which funds are appropriated for pilot  4,956        

project scholarship programs, a school district implementing a     4,957        

state-sponsored pilot project scholarship program that year        4,958        

pursuant to sections 3313.974 through 3313.979 of the Revised      4,960        

Code may count in average daily membership:                                     

      (a)  All children residing in the district and utilizing a   4,962        

scholarship to attend kindergarten in any alternative school, as   4,963        

defined in division (A)(9) of section 3313.974 of the Revised      4,964        

Code;                                                                           

      (b)  All children who were enrolled in the district in the   4,966        

preceding year who are utilizing a scholarship to attend any such  4,967        

alternative school.                                                4,968        

      (J)  THE SUPERINTENDENT OF EACH COOPERATIVE EDUCATION        4,970        

SCHOOL DISTRICT SHALL CERTIFY TO THE SUPERINTENDENT OF PUBLIC      4,971        

INSTRUCTION, IN A MANNER PRESCRIBED BY THE STATE BOARD OF          4,972        

EDUCATION, THE APPLICABLE AVERAGE DAILY MEMBERSHIPS FOR ALL        4,973        

STUDENTS IN THE COOPERATIVE EDUCATION DISTRICT, ALSO INDICATING    4,974        

THE CITY, LOCAL, OR EXEMPTED VILLAGE DISTRICT WHERE EACH PUPIL IS               

ENTITLED TO ATTEND SCHOOL UNDER SECTION 3313.64 OR 3313.65 OF THE  4,975        

REVISED CODE.                                                                   

      Sec. 3317.033.  In accordance with rules which the state     4,984        

board of education shall adopt, each joint vocational school       4,986        

district shall do both of the following:                                        

      (A)  Maintain a record of district membership of any         4,989        

                                                          111    


                                                                 
persons who are not eligible to be included in the average daily   4,990        

membership determined under division (D) of section 3317.03 of     4,992        

the Revised Code and who are participating in a program funded     4,994        

with a secondary vocational education job-training unit approved   4,995        

under division (A) of section 3317.05 of the Revised Code;                      

      (B)  Annually certify to the state board of education the    4,997        

number of persons for whom a record is maintained under division   4,998        

(A) of this section.  These numbers shall be reported for each     4,999        

unit and on a full-time equivalent basis.                          5,000        

      Sec. 3317.05.  (A)  For the purpose of calculating payments  5,010        

under sections 3317.16, 3317.161, and 3317.162 of the Revised      5,012        

Code, the state board of education shall determine for each joint  5,013        

vocational school district and institution, by the last day of     5,014        

January of each year and based on information certified under      5,015        

section 3317.03 of the Revised Code, the number of vocational      5,017        

education units or fractions of units approved by the state board  5,018        

on the basis of standards and rules adopted by the state board.    5,019        

As used in this division, "institution" means an institution       5,020        

operated by a department specified in section 3323.091 of the      5,021        

Revised Code and that provides vocational education programs       5,022        

under the supervision of the division of vocational education of   5,023        

the department of education that meet the standards and rules for  5,024        

these programs, including licensure of professional staff          5,025        

involved in the programs, as established by the state board of     5,026        

education.                                                                      

      (B)  For the purpose of calculating payments under sections  5,029        

3317.11, 3317.161, 3317.162, and 3317.19 of the Revised Code, the  5,030        

state board shall determine, based on information certified under  5,032        

section 3317.03 of the Revised Code, the following by the last     5,033        

day of January of each year for each educational service center,   5,035        

for each school district, including each cooperative education     5,036        

school district, for each institution eligible for payment under   5,037        

section 3323.091 of the Revised Code, and for each county MR/DD    5,038        

board:  the number of classes operated by the school district,     5,039        

                                                          112    


                                                                 
service center, institution, or county MR/DD board for             5,040        

handicapped preschool children, or fraction thereof, including in  5,042        

the case of a district or service center that is a funding agent,  5,043        

classes taught by a licensed teacher employed by that district or  5,044        

service center under section 3313.841 of the Revised Code,         5,045        

approved annually by the state board on the basis of standards     5,046        

and rules adopted by the state board.                              5,047        

      (C)  For the purpose of calculating payments under sections  5,049        

3317.11, 3317.161, 3317.162, and 3317.19 of the Revised Code, the  5,052        

state board shall determine, based on information certified under  5,053        

section 3317.03 of the Revised Code, the following by the last     5,054        

day of January of each year for each school district, including    5,056        

each cooperative education school district, for each institution   5,057        

eligible for payment under section 3323.091 of the Revised Code,   5,058        

and for each county MR/DD board:  the number of preschool          5,060        

handicapped related services units for child study, occupational,  5,061        

physical, or speech and hearing therapy, special education         5,062        

supervisors, and special education coordinators approved annually  5,063        

by the state board on the basis of standards and rules adopted by  5,064        

the state board.                                                                

      (D)  For the purpose of calculating payments under sections  5,067        

3317.16, 3317.161, and 3317.162 of the Revised Code, the state     5,069        

board shall determine, based on information certified under        5,070        

section 3317.03 of the Revised Code, the following by the last     5,071        

day of January of each year for each joint vocational school       5,072        

district, for each institution eligible for payment under section  5,073        

3323.091 of the Revised Code, and for each county MR/DD board:     5,074        

      (1)  The number of classes operated by a joint vocational    5,076        

school district, AN institution, or county MR/DD board for         5,078        

handicapped children other than handicapped preschool children,    5,079        

or fraction thereof, approved annually by the state board on the   5,081        

basis of standards and rules adopted by the state board;                        

      (2)  The number of related services units for children       5,083        

other than handicapped preschool children for child study,         5,084        

                                                          113    


                                                                 
occupational, physical, or speech and hearing therapy, special     5,085        

education supervisors, and special education coordinators          5,086        

approved annually by the state board on the basis of standards     5,088        

and rules adopted by the state board.                                           

      (E)  All of the arithmetical calculations made under this    5,090        

section shall be carried to the second decimal place.  The total   5,091        

number of units for school districts, service centers, and         5,093        

institutions approved annually by the state board under this       5,094        

section shall not exceed the number of units included in the       5,095        

state board's estimate of cost for these units and appropriations  5,097        

made for them by the general assembly.                             5,098        

      In the case of units described in division (D)(1) of this    5,101        

section operated by county MR/DD boards and institutions eligible  5,103        

for payment under section 3323.091 of the Revised Code, the state  5,104        

board shall approve only units for persons who are under age       5,105        

twenty-two on the first day of the academic year, but not less     5,106        

than six years of age on the thirtieth day of September of that    5,107        

year, except that such a unit may include one or more children     5,108        

who are under six years of age on the thirtieth day of September   5,109        

if such children have been admitted to the unit pursuant to rules  5,110        

of the state board.  In the case of handicapped preschool units    5,111        

described in division (B) of this section operated by county       5,113        

MR/DD boards and institutions eligible for payment under section   5,114        

3323.091 of the Revised Code, the state board shall approve only   5,115        

preschool units for children who are under age six but not less    5,116        

than age three on the thirtieth day of September of the academic   5,117        

year, except that such a unit may include one or more children     5,118        

who are under age three or are age six or over on the thirtieth    5,119        

day of September if such children have been admitted to the unit   5,120        

pursuant to rules of the state board of education.  The number of  5,121        

units for county MR/DD boards and institutions eligible for        5,123        

payment under section 3323.091 of the Revised Code approved by     5,124        

the state board under this section shall not exceed the number                  

that can be funded with appropriations made for such purposes by   5,125        

                                                          114    


                                                                 
the general assembly.                                              5,126        

      No unit shall be approved under divisions (B) to (D) of      5,129        

this section unless a plan has been submitted and approved under   5,130        

Chapter 3323. of the Revised Code.                                              

      (F)  For fiscal year 1999 only, the THE department shall     5,132        

approve units or fractions thereof for gifted children on the      5,133        

basis of standards and rules adopted by the board.                 5,134        

      Sec. 3317.051.  (A)(1)  Notwithstanding sections 3317.05     5,143        

and 3317.11 of the Revised Code, a unit funded pursuant to         5,144        

division (P)(1) of section 3317.024 or division (A)(2) of section  5,146        

3317.161 of the Revised Code shall not be approved for state       5,147        

funding in one school district, including any joint vocational or  5,148        

cooperative education school district or any educational service   5,149        

center, to the extent that such unit provides programs in or       5,150        

services to another district which receives payment pursuant to    5,151        

section 3317.04 of the Revised Code.                               5,152        

      (2)  Any city, local, exempted village, or cooperative       5,155        

education school district or any educational service center may    5,156        

combine partial unit eligibility for handicapped preschool         5,157        

programs pursuant to section 3317.05 of the Revised Code, and      5,158        

such combined partial units may be approved for state funding in   5,160        

one school district or service center.                             5,161        

      (B)  After units have been initially approved for any        5,163        

fiscal year under section 3317.05 of the Revised Code, no unit     5,165        

shall be subsequently transferred from a school district or        5,167        

educational service center to another city, exempted village,      5,168        

local, joint vocational, or cooperative education school district  5,169        

or educational service center or to an institution or county       5,172        

MR/DD board solely for the purpose of reducing the financial                    

obligations of the school district in a fiscal year it receives    5,173        

payment pursuant to section 3317.04 of the Revised Code.           5,174        

      Sec. 3317.06.  Moneys paid to school districts under         5,183        

division (L) of section 3317.024 of the Revised Code shall be      5,185        

used for the following independent and fully severable purposes:                

                                                          115    


                                                                 
      (A)  To purchase such secular textbooks OR ELECTRONIC        5,187        

TEXTBOOKS as have been approved by the superintendent of public    5,189        

instruction for use in public schools in the state and to loan     5,190        

such textbooks OR ELECTRONIC TEXTBOOKS to pupils attending         5,192        

nonpublic schools within the district or to their parents and to   5,193        

hire clerical personnel to administer such lending program.  Such  5,194        

loans shall be based upon individual requests submitted by such    5,195        

nonpublic school pupils or parents.  Such requests shall be        5,196        

submitted to the school district in which the nonpublic school is  5,197        

located.  Such individual requests for the loan of textbooks OR    5,198        

ELECTRONIC TEXTBOOKS shall, for administrative convenience, be     5,199        

submitted by the nonpublic school pupil or the pupil's parent to   5,201        

the nonpublic school, which shall prepare and submit collective    5,202        

summaries of the individual requests to the school district.  As   5,203        

used in this section, "textbook:                                   5,204        

      (1)  "TEXTBOOK" means any book or book substitute which      5,207        

THAT a pupil uses as a CONSUMABLE OR NONCONSUMABLE text or, text   5,208        

substitute, OR TEXT SUPPLEMENT in a particular class or program    5,210        

in the school the pupil regularly attends.                         5,211        

      (2)  "ELECTRONIC TEXTBOOK" MEANS COMPUTER SOFTWARE,          5,213        

INTERACTIVE VIDEODISC, MAGNETIC MEDIA, CD-ROM, COMPUTER            5,214        

COURSEWARE, LOCAL AND REMOTE COMPUTER-ASSISTED INSTRUCTION,        5,215        

ON-LINE SERVICE, ELECTRONIC MEDIUM, OR OTHER MEANS OF CONVEYING    5,216        

INFORMATION TO THE STUDENT OR OTHERWISE CONTRIBUTING TO THE        5,217        

LEARNING PROCESS THROUGH ELECTRONIC MEANS.                                      

      (B)  To provide speech and hearing diagnostic services to    5,219        

pupils attending nonpublic schools within the district.  Such      5,220        

service shall be provided in the nonpublic school attended by the  5,221        

pupil receiving the service.                                       5,222        

      (C)  To provide physician, nursing, dental, and optometric   5,224        

services to pupils attending nonpublic schools within the          5,225        

district.  Such services shall be provided in the school attended  5,226        

by the nonpublic school pupil receiving the service.               5,227        

      (D)  To provide diagnostic psychological services to pupils  5,229        

                                                          116    


                                                                 
attending nonpublic schools within the district.  Such services    5,230        

shall be provided in the school attended by the pupil receiving    5,231        

the service.                                                       5,232        

      (E)  To provide therapeutic psychological and speech and     5,234        

hearing services to pupils attending nonpublic schools within the  5,235        

district.  Such services shall be provided in the public school,   5,236        

in nonpublic schools, in public centers, or in mobile units        5,237        

located on or off of the nonpublic premises.  If such services     5,238        

are provided in the public school or in public centers,            5,239        

transportation to and from such facilities shall be provided by    5,240        

the school district in which the nonpublic school is located.      5,241        

      (F)  To provide guidance and counseling services to pupils   5,243        

attending nonpublic schools within the district.  Such services    5,244        

shall be provided in the public school, in nonpublic schools, in   5,245        

public centers, or in mobile units located on or off of the        5,247        

nonpublic premises.  If such services are provided in the public   5,248        

school or in public centers, transportation to and from such       5,249        

facilities shall be provided by the school district in which the   5,250        

nonpublic school is located.                                                    

      (G)  To provide remedial services to pupils attending        5,252        

nonpublic schools within the district.  Such services shall be     5,253        

provided in the public school, in nonpublic schools, in public     5,254        

centers, or in mobile units located on or off of the nonpublic     5,255        

premises.  If such services are provided in the public school or   5,257        

in public centers, transportation to and from such facilities      5,258        

shall be provided by the school district in which the nonpublic    5,259        

school is located.                                                              

      (H)  To supply for use by pupils attending nonpublic         5,261        

schools within the district such standardized tests and scoring    5,262        

services as are in use in the public schools of the state;         5,263        

      (I)  To provide programs for children who attend nonpublic   5,265        

schools within the district and are handicapped children as        5,266        

defined in division (A) of section 3323.01 of the Revised Code or  5,267        

gifted children.  Such programs shall be provided in the public    5,268        

                                                          117    


                                                                 
school, in nonpublic schools, in public centers, or in mobile      5,269        

units located on or off of the nonpublic premises.  If such        5,272        

programs are provided in the public school or in public centers,   5,273        

transportation to and from such facilities shall be provided by    5,274        

the school district in which the nonpublic school is located.      5,275        

      (J)  To hire clerical personnel to assist in the             5,277        

administration of programs pursuant to divisions (B), (C), (D),    5,278        

(E), (F), (G), and (I) of this section and to hire supervisory     5,279        

personnel to supervise the providing of services and textbooks     5,280        

pursuant to this section.;                                         5,281        

      (K)  To purchase any secular, neutral, and nonideological    5,283        

computer software (INCLUDING SITE-LICENSING), prerecorded video    5,285        

laserdiscs, DIGITAL VIDEO ON DEMAND (DVD), compact discs, and      5,286        

video cassette cartridges and, WIDE AREA CONNECTIVITY AND RELATED  5,288        

TECHNOLOGY AS IT RELATES TO INTERNET ACCESS, mathematics or                     

science equipment and materials, INSTRUCTIONAL MATERIALS, AND      5,291        

SCHOOL LIBRARY MATERIALS that are in general use in the public     5,292        

schools of the state and loan such computer software, prerecorded  5,293        

video laserdiscs, compact discs, and video cassette cartridges,    5,295        

equipment, and materials ITEMS to pupils attending nonpublic       5,297        

schools within the district or to their parents, and to hire       5,298        

clerical personnel to administer the lending program.  Only        5,299        

computer software, prerecorded video laserdiscs, compact discs,    5,301        

and video cassette cartridges, equipment, and materials SUCH       5,303        

ITEMS that are incapable of diversion to religious use and that    5,305        

are susceptible of loan to individual pupils and are furnished     5,306        

for the use of individual pupils shall be purchased and loaned     5,307        

under this division.  AS USED IN THIS SECTION, "INSTRUCTIONAL                   

MATERIALS" MEANS PREPARED LEARNING MATERIALS THAT ARE SECULAR,     5,308        

NEUTRAL, AND NONIDEOLOGICAL IN CHARACTER AND ARE OF BENEFIT TO     5,309        

THE INSTRUCTION OF SCHOOL CHILDREN, AND MAY INCLUDE EDUCATIONAL    5,310        

RESOURCES AND SERVICES DEVELOPED BY THE OHIO SCHOOLNET             5,311        

COMMISSION.                                                                     

      (L)  To purchase instructional equipment, including          5,313        

                                                          118    


                                                                 
computer hardware, for use by pupils attending nonpublic schools   5,315        

within the district, if such usage only occurs when these pupils   5,317        

are being provided the secular remedial, diagnostic, or            5,318        

therapeutic services pursuant to division (B), (D), (E), (F),      5,320        

(G), or (I) of this section.;                                                   

      (M)  To purchase mobile units to be used for the provision   5,323        

of services pursuant to divisions (E), (F), (G), and (I) of this   5,326        

section and to pay for necessary repairs and operating costs       5,327        

associated with these units.                                       5,328        

      Clerical and supervisory personnel hired pursuant to         5,330        

division (J) of this section shall perform their services in the   5,331        

public schools, in nonpublic schools, public centers, or mobile    5,332        

units where the services are provided to the nonpublic school      5,334        

pupil, except that such personnel may accompany pupils to and      5,335        

from the service sites when necessary to ensure the safety of the  5,336        

children receiving the services.                                   5,337        

      Health services provided pursuant to divisions (B), (C),     5,339        

(D), and (E) of this section may be provided under contract with   5,340        

the department of health, city or general health districts, or     5,341        

private agencies whose personnel are properly licensed by an       5,342        

appropriate state board or agency.                                 5,343        

      Transportation of pupils provided pursuant to divisions      5,345        

(E), (F), (G), and (I) of this section shall be provided by the    5,346        

school district from its general funds and not from moneys paid    5,347        

to it under division (L) of section 3317.024 of the Revised Code   5,349        

unless a special transportation request is submitted by the                     

parent of the child receiving service pursuant to such divisions.  5,350        

If such an application is presented to the school district, it     5,351        

may pay for the transportation from moneys paid to it under        5,352        

division (L) of section 3317.024 of the Revised Code.              5,353        

      No school district shall provide health or remedial          5,355        

services to nonpublic school pupils as authorized by this section  5,356        

unless such services are available to pupils attending the public  5,357        

schools within the district.                                       5,358        

                                                          119    


                                                                 
      Materials, equipment, computer software, textbooks,          5,360        

ELECTRONIC TEXTBOOKS, and health and remedial services provided    5,362        

for the benefit of nonpublic school pupils pursuant to this        5,363        

section and the admission of pupils to such nonpublic schools      5,364        

shall be provided without distinction as to race, creed, color,    5,365        

or national origin of such pupils or of their teachers.            5,366        

      No school district shall provide services for use in         5,368        

religious courses, devotional exercises, religious training, or    5,369        

any other religious activity.                                      5,370        

      As used in this section, "parent" includes a person          5,372        

standing in loco parentis to a child.                              5,373        

      Notwithstanding section 3317.01 of the Revised Code,         5,375        

payments shall be made under this section to any city, local, or   5,376        

exempted village school district within which is located one or    5,377        

more nonpublic elementary or high schools.                         5,378        

      The allocation of payments for materials, equipment,         5,380        

textbooks, ELECTRONIC TEXTBOOKS, health services, and remedial     5,381        

services to city, local, and exempted village school districts     5,383        

shall be on the basis of the state board of education's estimated  5,384        

annual average daily membership in nonpublic elementary and high   5,385        

schools located in the district.                                   5,386        

      Payments made to city, local, and exempted village school    5,388        

districts under this section shall be equal to specific            5,389        

appropriations made for the purpose.  All interest earned by a     5,390        

school district on such payments shall be used by the district     5,391        

for the same purposes and in the same manner as the payments may   5,392        

be used.                                                           5,393        

      The department of education shall adopt guidelines and       5,395        

procedures under which such programs and services shall be         5,396        

provided, under which districts shall be reimbursed for            5,397        

administrative costs incurred in providing such programs and       5,398        

services, and under which any unexpended balance of the amounts    5,399        

appropriated by the general assembly to implement this section     5,400        

may be transferred to the auxiliary services personnel             5,401        

                                                          120    


                                                                 
unemployment compensation fund established pursuant to section     5,402        

4141.47 of the Revised Code.  The department shall also adopt      5,403        

guidelines and procedures limiting the purchase and loan of        5,404        

computer software, equipment, and materials under THE ITEMS        5,405        

DESCRIBED IN division (K) of this section to items that are in     5,407        

general use in the public schools of the state, that are           5,408        

incapable of diversion to religious use, and that are susceptible  5,409        

to individual use rather than classroom use.  Within thirty days   5,410        

after the end of each biennium, each board of education shall      5,411        

remit to the department all moneys paid to it under division (L)   5,412        

of section 3317.024 of the Revised Code and any interest earned    5,413        

on those moneys that are not required to pay expenses incurred     5,414        

under this section during the biennium for which the money was     5,415        

appropriated and during which the interest was earned.  If a       5,416        

board of education subsequently determines that the remittal of    5,417        

moneys leaves the board with insufficient money to pay all valid   5,418        

expenses incurred under this section during the biennium for       5,419        

which the remitted money was appropriated, the board may apply to  5,420        

the department of education for a refund of money, not to exceed   5,421        

the amount of the insufficiency.  If the department determines     5,422        

the expenses were lawfully incurred and would have been lawful     5,423        

expenditures of the refunded money, it shall certify its           5,424        

determination and the amount of the refund to be made to the       5,425        

administrator of the bureau of employment services who shall make  5,426        

a refund as provided in section 4141.47 of the Revised Code.       5,427        

      Sec. 3317.16.  (A)  AS USED IN THIS SECTION:                 5,429        

      (1)  "STATE SHARE PERCENTAGE" MEANS THE PERCENTAGE           5,431        

CALCULATED FOR A JOINT VOCATIONAL SCHOOL DISTRICT AS FOLLOWS:      5,432        

      (a)  CALCULATE THE STATE BASE COST FUNDING AMOUNT FOR THE    5,434        

DISTRICT UNDER DIVISION (B) OF THIS SECTION.  IF THE DISTRICT      5,436        

WOULD NOT RECEIVE ANY BASE COST FUNDING FOR THAT YEAR UNDER THAT   5,437        

DIVISION, THE DISTRICT'S STATE SHARE PERCENTAGE IS ZERO.           5,438        

      (b)  IF THE DISTRICT WOULD RECEIVE BASE COST FUNDING UNDER   5,440        

THAT DIVISION, DIVIDE THAT BASE COST AMOUNT BY AN AMOUNT EQUAL TO  5,442        

                                                          121    


                                                                 
THE FOLLOWING:                                                                  

                 COST-OF-DOING-BUSINESS FACTOR X                   5,444        

                      THE FORMULA AMOUNT X                         5,445        

                  THE GREATER OF FORMULA ADM OR                    5,446        

                 THREE-YEAR AVERAGE FORMULA ADM                    5,447        

      THE RESULTANT NUMBER IS THE DISTRICT'S STATE SHARE           5,449        

PERCENTAGE.                                                                     

      (2)  THE "TOTAL SPECIAL EDUCATION WEIGHT" FOR A JOINT        5,451        

VOCATIONAL SCHOOL DISTRICT SHALL BE CALCULATED IN THE SAME MANNER  5,452        

AS PRESCRIBED IN DIVISION (B)(1) OF SECTION 3317.022 OF THE        5,453        

REVISED CODE.                                                      5,454        

      (3)  THE "TOTAL VOCATIONAL EDUCATION WEIGHT" FOR A JOINT     5,456        

VOCATIONAL SCHOOL DISTRICT SHALL BE CALCULATED IN THE SAME MANNER  5,457        

AS PRESCRIBED IN DIVISION (B)(4) OF SECTION 3317.022 OF THE        5,459        

REVISED CODE.                                                                   

      (4)  THE "ADJUSTED TOTAL TAXABLE VALUE" OF A JOINT           5,461        

VOCATIONAL SCHOOL DISTRICT SHALL BE DETERMINED BY ADDING THE       5,462        

ADJUSTED TOTAL TAXABLE VALUES OF ALL ITS CONSTITUENT SCHOOL        5,463        

DISTRICTS FOR THE APPLICABLE FISCAL YEAR.                          5,464        

      (B)  THE DEPARTMENT OF EDUCATION SHALL COMPUTE AND           5,466        

DISTRIBUTE STATE BASE COST FUNDING TO EACH JOINT VOCATIONAL        5,467        

SCHOOL DISTRICT FOR THE FISCAL YEAR IN ACCORDANCE WITH THE         5,468        

FOLLOWING FORMULA:                                                              

                (COST-OF-DOING-BUSINESS FACTOR X                   5,470        

             FORMULA AMOUNT X THE GREATER OF FORMULA               5,471        

            ADM OR THREE-YEAR AVERAGE FORMULA ADM) -               5,472        

             (.0005 X ADJUSTED TOTAL TAXABLE VALUE)                5,473        

      IF THE DIFFERENCE OBTAINED UNDER THIS DIVISION IS A          5,475        

NEGATIVE NUMBER, THE DISTRICT'S COMPUTATION SHALL BE ZERO.         5,476        

      (C)(1)  THE DEPARTMENT SHALL COMPUTE AND DISTRIBUTE STATE    5,478        

VOCATIONAL EDUCATION ADDITIONAL WEIGHTED COSTS FUNDS TO EACH       5,479        

JOINT VOCATIONAL SCHOOL DISTRICT IN ACCORDANCE WITH THE FOLLOWING  5,480        

FORMULA:                                                                        

            STATE SHARE PERCENTAGE X FORMULA AMOUNT X              5,482        

                                                          122    


                                                                 
                TOTAL VOCATIONAL EDUCATION WEIGHT                  5,483        

      (2)  THE DEPARTMENT SHALL COMPUTE AND DISTRIBUTE TO EACH     5,485        

JOINT VOCATIONAL SCHOOL DISTRICT STATE FUNDS FOR VOCATIONAL        5,486        

EDUCATION ASSOCIATED SERVICES COSTS IN ACCORDANCE WITH THE         5,487        

FOLLOWING FORMULA:                                                 5,488        

                 STATE SHARE PERCENTAGE X .05 X                    5,490        

                 THE FORMULA AMOUNT X THE SUM OF                   5,491        

            CATEGORIES ONE, TWO, AND THREE VOCATIONAL              5,492        

                          EDUCATION ADM                            5,493        

      IN ANY FISCAL YEAR, A JOINT VOCATIONAL SCHOOL DISTRICT       5,495        

RECEIVING FUNDS UNDER DIVISION (C)(2) OF THIS SECTION SHALL SPEND  5,496        

THOSE FUNDS ONLY FOR THE PURPOSES THAT THE DEPARTMENT DESIGNATES   5,497        

AS APPROVED FOR VOCATIONAL EDUCATION ASSOCIATED SERVICES           5,498        

EXPENSES, WHICH MAY INCLUDE SUCH PURPOSES AS APPRENTICESHIP        5,499        

COORDINATORS, COORDINATORS FOR OTHER VOCATIONAL EDUCATION          5,500        

SERVICES, VOCATIONAL EVALUATION, AND OTHER PURPOSES DESIGNATED BY  5,501        

THE DEPARTMENT.  THE DEPARTMENT MAY DENY PAYMENT UNDER DIVISION    5,502        

(C)(2) OF THIS SECTION TO ANY DISTRICT THAT THE DEPARTMENT         5,503        

DETERMINES IS NOT OPERATING THOSE SERVICES OR IS USING FUNDS PAID  5,504        

UNDER DIVISION (C)(2) OF THIS SECTION FOR OTHER PURPOSES.          5,505        

      (D)  THE DEPARTMENT SHALL COMPUTE AND DISTRIBUTE STATE       5,507        

SPECIAL EDUCATION AND RELATED SERVICES ADDITIONAL WEIGHTED COSTS   5,508        

FUNDS TO EACH JOINT VOCATIONAL SCHOOL DISTRICT IN ACCORDANCE WITH  5,509        

THE FOLLOWING FORMULA:                                             5,510        

            STATE SHARE PERCENTAGE X FORMULA AMOUNT X              5,512        

                 TOTAL SPECIAL EDUCATION WEIGHT                    5,513        

      (E)  EACH FISCAL YEAR, THE DEPARTMENT SHALL PAY EACH JOINT   5,515        

VOCATIONAL SCHOOL DISTRICT AN AMOUNT FOR ADULT TECHNICAL AND       5,516        

VOCATIONAL EDUCATION AND SPECIALIZED CONSULTANTS.                  5,518        

      (F)(1)  IN ANY FISCAL YEAR, A JOINT VOCATIONAL SCHOOL        5,520        

DISTRICT RECEIVING FUNDS UNDER DIVISION (D) OF THIS SECTION SHALL  5,521        

SPEND ON THE RELATED SERVICES SPECIFIED IN DIVISION (B)(3) OF      5,523        

SECTION 3317.022 OF THE REVISED CODE AT LEAST THE LESSER OF THE    5,524        

FOLLOWING:                                                                      

                                                          123    


                                                                 
      (a)  THE AMOUNT THE DISTRICT SPENT ON THOSE RELATED          5,526        

SERVICES IN THE PRECEDING FISCAL YEAR;                             5,527        

      (b)  1/8 X §[COST-OF-DOING-BUSINESS FACTOR X THE FORMULA     5,531        

AMOUNT X (THE CATEGORY ONE SPECIAL EDUCATION ADM + CATEGORY TWO    5,532        

SPECIAL EDUCATION ADM + CATEGORY THREE SPECIAL EDUCATION ADM)< +   5,534        

THE AMOUNT CALCULATED FOR THE FISCAL YEAR UNDER DIVISION (D) OF    5,535        

THIS SECTION + THE LOCAL SHARE OF SPECIAL EDUCATION AND RELATED    5,536        

SERVICES ADDITIONAL WEIGHTED COSTS .                               5,537        

      (2)  A JOINT VOCATIONAL SCHOOL DISTRICT'S LOCAL SHARE OF     5,539        

SPECIAL EDUCATION AND RELATED SERVICES ADDITIONAL WEIGHTED COSTS   5,540        

EQUALS:                                                                         

                 (1 - STATE SHARE PERCENTAGE) X                    5,542        

                TOTAL SPECIAL EDUCATION WEIGHT X                   5,543        

                       THE FORMULA AMOUNT                          5,544        

      (G)  IN ANY FISCAL YEAR, IF THE TOTAL OF ALL PAYMENTS MADE   5,546        

TO A JOINT VOCATIONAL SCHOOL DISTRICT UNDER DIVISIONS (B) TO (D)   5,547        

OF THIS SECTION IS LESS THAN THE AMOUNT THAT DISTRICT RECEIVED IN  5,549        

FISCAL YEAR 1999 UNDER THE VERSION OF THIS SECTION IN EFFECT THAT  5,550        

YEAR, PLUS THE AMOUNT THAT DISTRICT RECEIVED UNDER THE VERSION OF               

SECTION 3317.162 OF THE REVISED CODE IN EFFECT THAT YEAR AND       5,551        

MINUS THE AMOUNTS RECEIVED THAT YEAR FOR DRIVER EDUCATION AND      5,552        

ADULT EDUCATION, THE DEPARTMENT SHALL PAY THE DISTRICT AN          5,553        

ADDITIONAL AMOUNT EQUAL TO THE DIFFERENCE BETWEEN THOSE TWO                     

AMOUNTS.                                                           5,554        

      Sec. 3317.162.  (A)  As used in this section:                5,563        

      (1)  "State share percentage" has the same meaning as in     5,565        

section 3317.022 of the Revised Code.                              5,566        

      (2)  "Dollar amount" means the amount shown in the           5,568        

following table for the corresponding type of unit and the         5,569        

appropriate fiscal year:                                           5,570        

                                            DOLLAR AMOUNT          5,572        

      TYPE OF UNIT                      FY 1999                    5,575        

                                        FY 2000     FY 2001        5,576        

                                                          124    


                                                                 
      Division (B) of section 3317.05                              5,577        

         of the Revised Code             $8,334     $8,334         5,578        

      Division (C) of that section       $3,234     $3,234         5,579        

      Division (F) of that section       $3,550                    5,580        

                                         $4,550     $5,550         5,581        

      (3)  "Average unit amount" means the amount shown in the     5,584        

following table for the corresponding type of unit and the         5,585        

appropriate fiscal year:                                           5,586        

                                            AVERAGE UNIT AMOUNT    5,588        

      TYPE OF UNIT                      FY 1999                    5,591        

                                        FY 2000     FY 2001        5,592        

      Division (B) of section 3317.05                              5,593        

         of the Revised Code             $7,799     $7,799         5,594        

      Division (C) of that section       $2,966     $2,966         5,595        

      Division (F) of that section       $3,251                    5,596        

                                         $4,251     $5,251         5,597        

      (B)  In the case of each unit described in division (B),     5,600        

(C), or (F) of section 3317.05 of the Revised Code and allocated   5,602        

to a city, local, or exempted village school district, the         5,603        

department of education, in addition to the amounts specified in   5,605        

division (P)(1) of section 3317.024 and sections 3317.16,          5,606        

3317.161, and 3317.19 of the Revised Code, shall pay a             5,608        

supplemental unit allowance equal to the sum of the following      5,609        

amounts:                                                                        

      (1)  An amount equal to 50% of the average unit amount for   5,611        

the unit;                                                                       

      (2)  An amount equal to the percentage of the dollar amount  5,613        

for the unit that equals the district's state share percentage.    5,614        

      If, prior to the fifteenth day of May of a fiscal year, a    5,616        

school district's aid computed under section 3317.022 of the       5,617        

Revised Code is recomputed pursuant to section 3317.027 or         5,618        

3317.028 of the Revised Code, the department shall also recompute  5,619        

the district's entitlement to payment under this section           5,620        

utilizing a new state share percentage.  Such new state share      5,621        

                                                          125    


                                                                 
percentage shall be determined using the district's recomputed     5,622        

basic aid amount pursuant to section 3317.027 or 3317.028 of the   5,623        

Revised Code.  During the last six months of the fiscal year, the  5,624        

department shall pay the district a sum equal to one-half of the   5,625        

recomputed payment in lieu of one-half the payment otherwise                    

calculated under this section.                                     5,626        

      (C)(1)  In the case of each unit allocated to a joint        5,628        

vocational school district or AN institution pursuant to division  5,629        

(A) of section 3317.05 of the Revised Code, the department, in     5,631        

addition to the amount specified in section 3317.16 or 3317.161    5,632        

of the Revised Code, shall pay a supplemental unit allowance of    5,633        

$7,227 in fiscal year 1999.                                        5,634        

      (2)  In the case of each unit described in division (B) or   5,636        

(D)(1) of section 3317.05 of the Revised Code that is allocated    5,638        

to any entity other than a city, exempted village, or local        5,639        

school district, the department, in addition to the amount         5,640        

specified in section 3317.161 of the Revised Code, shall pay a                  

supplemental unit allowance of $7,799 in fiscal year 1999.         5,641        

      (3)  In the case of each unit described in division (C) or   5,644        

(D)(2) of section 3317.05 of the Revised Code and allocated to     5,645        

any entity other than a city, exempted village, or local school    5,646        

district, the department, in addition to the amounts specified in  5,647        

section 3317.161 of the Revised Code, shall pay a supplemental     5,648        

unit allowance of $2,966 in fiscal year 1999.                                   

      (4)  In the case of each unit described in division (F) of   5,651        

section 3317.05 of the Revised Code and allocated to any entity    5,652        

other than a city, exempted village, or local school district AN   5,653        

EDUCATIONAL SERVICE CENTER, the department, in addition to the     5,654        

amounts specified in DIVISION (P) OF section 3317.161 3317.024 of  5,656        

the Revised Code, shall pay a supplemental unit allowance of       5,657        

$3,251 4,251 in fiscal year 1999 2000 AND $5,251 IN FISCAL YEAR    5,658        

2001.                                                                           

      Sec. 3317.51.  (A)  The distance learning fund is hereby     5,667        

created in the state treasury.  The fund shall consist of moneys   5,668        

                                                          126    


                                                                 
paid to the information, learning, and technology authority OHIO   5,669        

SCHOOLNET COMMISSION by any telephone company as a part of a       5,671        

settlement agreement between such company and the public           5,672        

utilities commission in fiscal year 1995 in part to establish      5,673        

distance learning throughout the state.  The authority shall       5,674        

administer the fund and expend moneys from it to finance           5,675        

technology grants to eligible schools chartered by the state       5,676        

board of education to establish distance learning in those         5,677        

schools.  Chartered schools are eligible for funds if they are     5,678        

within the service area of the telephone company.  Investment      5,679        

earnings of the fund shall be credited to the fund.                             

      (B)  For purposes of this section, "distance learning"       5,681        

means the creation of a learning environment involving a school    5,682        

setting and at least one other location outside of the school      5,683        

which allows for information available at one site to be accessed  5,684        

at the other through the use of such educational applications as   5,685        

one-way or two-way transmission of data, voice, and video,                      

singularly or in appropriate combinations.                         5,686        

      Sec. 3318.01.  As used in sections 3318.01 to 3318.20 of     5,695        

the Revised Code:                                                  5,696        

      (A)  "Ohio school facilities commission" means the           5,699        

commission created pursuant to section 3318.30 of the Revised      5,700        

Code.                                                                           

      (B)  "Classroom facilities" means rooms in which pupils      5,702        

regularly assemble in public school buildings to receive           5,703        

instruction and education and such facilities and building         5,704        

improvements for the operation and use of such rooms as may be     5,705        

needed in order to provide a complete educational program, and     5,706        

may include space within which a child day-care facility or a      5,707        

community resource center is housed.                               5,708        

      (C)  "Project" means a project to construct or acquire       5,710        

classroom facilities, or to reconstruct or make additions to       5,712        

existing classroom facilities, to be used for housing the          5,713        

applicable school district and its functions.                                   

                                                          127    


                                                                 
      (D)  "School district" means a local, exempted village, or   5,715        

city school district as such districts are defined in Chapter      5,716        

3311. of the Revised Code, acting as an agency of state            5,717        

government, performing essential governmental functions of state   5,718        

government pursuant to sections 3318.01 and 3318.20 of the         5,719        

Revised Code.                                                                   

      (E)  "School district board" means the board of education    5,721        

of a school district.                                              5,722        

      (F)  "Net bonded indebtedness" means the difference between  5,724        

the sum of the par value of all outstanding and unpaid bonds and   5,725        

notes which a school district board is obligated to pay, any       5,727        

amounts the school district is obligated to pay under              5,728        

lease-purchase agreements entered into under section 3313.375 of   5,729        

the Revised Code, and the par value of bonds authorized by the     5,730        

electors but not yet issued, the proceeds of which can lawfully    5,731        

be used for the project, and the amount held in the sinking fund   5,732        

and other indebtedness retirement funds for their redemption.      5,733        

Notes issued for school buses in accordance with section 3327.08   5,734        

of the Revised Code, notes issued in anticipation of the           5,735        

collection of current revenues, and bonds issued to pay final      5,736        

judgments shall not be considered in calculating the net bonded    5,737        

indebtedness.                                                                   

      "Net bonded indebtedness" does not include indebtedness      5,739        

arising from the acquisition of land to provide a site for         5,740        

classroom facilities constructed, acquired, or added to pursuant   5,741        

to sections 3318.01 to 3318.20 of the Revised Code.                5,742        

      (G)  "Board of elections" means the board of elections of    5,744        

the county containing the most populous portion of the school      5,745        

district.                                                          5,746        

      (H)  "County auditor" means the auditor of the county in     5,748        

which the greatest value of taxable property of such school        5,749        

district is located.                                               5,750        

      (I)  "Tax duplicates" means the general tax lists and        5,752        

duplicates prescribed by sections 319.28 and 319.29 of the         5,753        

                                                          128    


                                                                 
Revised Code.                                                      5,754        

      (J)  "Required level of indebtedness" means:                 5,756        

      (1)  In the case of districts in the first percentile, five  5,759        

per cent of THE DISTRICT'S valuation FOR THE YEAR PRECEDING THE    5,760        

YEAR IN WHICH THE CONTROLLING BOARD APPROVED THE PROJECT UNDER     5,761        

SECTION 3318.04 OF THE REVISED CODE.                                            

      (2)  In the case of districts ranked in a subsequent         5,763        

percentile, five per cent of THE DISTRICT'S valuation FOR THE      5,764        

YEAR PRECEDING THE YEAR IN WHICH THE CONTROLLING BOARD APPROVED    5,765        

THE PROJECT UNDER SECTION 3318.04 OF THE REVISED CODE, plus [two   5,766        

one-hundredths of one per cent multiplied by (the percentile in    5,767        

which the district ranks minus one)<.                                           

      (K)  "Required percentage of the basic project costs" means  5,769        

one per cent of the basic project costs times the percentile in    5,771        

which the district ranks.                                                       

      (L)  "Basic project cost" means a cost amount determined in  5,773        

accordance with rules adopted under section 111.15 of the Revised  5,774        

Code by the Ohio school facilities commission.  The basic project  5,777        

cost calculation shall take into consideration the square footage               

and cost per square foot necessary for the grade levels to be      5,778        

housed in the classroom facilities, the variation across the       5,779        

state in construction and related costs, the cost of the           5,780        

installation of site utilities and site preparation, the cost of   5,781        

insuring the project until it is completed, and the professional   5,783        

planning, administration, and design fees that a district may                   

have to pay to undertake a classroom facilities project.           5,784        

      (M)  A "SCHOOL DISTRICT'S PORTION OF THE BASIC PROJECT       5,787        

COST" MEANS THE AMOUNT DETERMINED UNDER SECTION 3318.032 OF THE    5,788        

REVISED CODE.                                                      5,789        

      (N)  "Child day-care facility" means space within a          5,792        

classroom facility in which the needs of infants, toddlers,        5,793        

preschool children, and school children are provided for by        5,794        

persons other than the parent or guardian of such children for     5,795        

any part of the day, including persons not employed by the school               

                                                          129    


                                                                 
district operating such classroom facility.                        5,796        

      (N)(O)  "Community resource center" means space within a     5,799        

classroom facility in which comprehensive services that support    5,800        

the needs of families and children are provided by                 5,801        

community-based social service providers.                          5,802        

      (O)(P)  "Valuation" means the total value of all property    5,804        

in the district as listed and assessed for taxation on the tax     5,806        

duplicates.                                                                     

      (P)(Q)  "Percentile" means the percentile in which the       5,808        

district is ranked pursuant to division (C)(D) of section          5,810        

3318.011 of the Revised Code.                                      5,811        

      (Q)(R)  "Installation of site utilities" means the           5,813        

installation of a site domestic water system, site fire            5,815        

protection system, site gas distribution system, site sanitary     5,816        

system, site storm drainage system, and site telephone and data    5,817        

system.                                                                         

      (R)(S)  "Site preparation" means the earthwork necessary     5,820        

for preparation of the building foundation system, the paved       5,821        

pedestrian and vehicular circulation system, playgrounds on the    5,822        

project site, and lawn and planting on the project site.           5,823        

      Sec. 3318.011.  For purposes of providing assistance under   5,832        

sections 3318.01 to 3318.20 of the Revised Code, the department    5,833        

of education shall annually do all of the following:               5,834        

      (A)  Calculate the adjusted valuation per pupil of each      5,836        

city, local, and exempted village school district according to     5,837        

the FOLLOWING formula set forth in section 3317.0213 of the        5,838        

Revised Code;:                                                     5,839        

              THE DISTRICT'S VALUATION PER PUPIL -                 5,840        

         [$30,000 X (1 - THE DISTRICT'S INCOME FACTOR)<.           5,842        

      FOR PURPOSES OF THIS CALCULATION:                            5,844        

      (1)  "VALUATION PER PUPIL" FOR A DISTRICT MEANS ITS AVERAGE  5,846        

TAXABLE VALUE, DIVIDED BY ITS FORMULA ADM REPORTED UNDER SECTION   5,847        

3317.03 OF THE REVISED CODE FOR THE PREVIOUS FISCAL YEAR.          5,849        

      (2)  "AVERAGE TAXABLE VALUE" MEANS THE AVERAGE OF THE        5,851        

                                                          130    


                                                                 
AMOUNTS CERTIFIED FOR A DISTRICT IN THE SECOND, THIRD, AND FOURTH  5,852        

PRECEDING FISCAL YEARS UNDER DIVISIONS (A)(1) AND (2) OF SECTION   5,853        

3317.021 OF THE REVISED CODE.                                      5,854        

      (3)  "INCOME FACTOR" HAS THE SAME MEANING AS IN SECTION      5,856        

3317.02 OF THE REVISED CODE.                                       5,857        

      (B)  CALCULATE THE THREE-YEAR AVERAGE ADJUSTED VALUATION     5,859        

PER PUPIL OF EACH CITY, LOCAL, AND EXEMPTED VILLAGE SCHOOL         5,860        

DISTRICT FOR THE PRECEDING THREE FISCAL YEARS;                     5,861        

      (C)  Rank all such districts in order of adjusted valuation  5,863        

per pupil from the district with the lowest THREE-YEAR AVERAGE     5,864        

adjusted valuation per pupil to the district with the highest      5,866        

THREE-YEAR AVERAGE adjusted valuation per pupil;                   5,868        

      (C)(D)  Divide such ranking into percentiles with the first  5,871        

percentile containing the one per cent of school districts having  5,872        

the lowest THREE-YEAR AVERAGE adjusted valuation VALUATIONS per    5,873        

pupil and the one-hundredth percentile containing the one per      5,874        

cent of school districts having the highest THREE-YEAR AVERAGE     5,875        

adjusted valuation VALUATIONS per pupil;                           5,876        

      (D)(E)  Determine the school districts that have an          5,878        

THREE-YEAR AVERAGE adjusted valuation VALUATIONS per pupil that    5,880        

is ARE greater than the median THREE-YEAR AVERAGE adjusted         5,881        

valuation per pupil for all school districts in the state;         5,882        

      (E)(F)  Certify the information described in divisions (A)   5,884        

to (D)(E) of this section to the Ohio school facilities            5,885        

commission.                                                        5,886        

      Sec. 3318.021.  NOTWITHSTANDING SECTION 3318.02 OF THE       5,888        

REVISED CODE, THE OHIO SCHOOL FACILITIES COMMISSION ANNUALLY MAY   5,889        

CONDUCT ON-SITE VISITS TO NO MORE THAN FIVE SCHOOL DISTRICTS IN    5,890        

THE TWENTIETH TO FORTIETH PERCENTILES AS DETERMINED UNDER SECTION  5,891        

3318.011 OF THE REVISED CODE, IF A DISTRICT BOARD ADOPTS A         5,893        

RESOLUTION CERTIFYING TO THE COMMISSION THE BOARD'S INTENT TO      5,894        

PARTICIPATE IN THE SCHOOL BUILDING ASSISTANCE EXPEDITED LOCAL      5,895        

PARTNERSHIP PROGRAM UNDER SECTION 3318.36 OF THE REVISED CODE.     5,897        

      Sec. 3318.032.  THE PORTION OF THE BASIC PROJECT COST        5,899        

                                                          131    


                                                                 
SUPPLIED BY THE SCHOOL DISTRICT SHALL BE THE GREATER OF:           5,900        

      (A)  THE REQUIRED PERCENTAGE OF THE BASIC PROJECT COSTS,     5,902        

DETERMINED BASED ON THE DISTRICT'S PERCENTILE RANKING AT THE TIME  5,903        

THE CONTROLLING BOARD APPROVED THE PROJECT UNDER SECTION 3318.04   5,905        

OF THE REVISED CODE;                                                            

      (B)  AN AMOUNT NECESSARY TO RAISE THE SCHOOL DISTRICT'S NET  5,907        

BONDED INDEBTEDNESS, AS OF THE DATE THE CONTROLLING BOARD          5,908        

APPROVED THE PROJECT, TO WITHIN FIVE THOUSAND DOLLARS OF THE                    

REQUIRED LEVEL OF INDEBTEDNESS.                                    5,909        

      THE AMOUNT OF THE DISTRICT'S SHARE DETERMINED UNDER THIS     5,911        

SECTION SHALL BE CALCULATED ONLY AS OF THE DATE THE CONTROLLING    5,912        

BOARD APPROVED THE PROJECT, AND THAT AMOUNT APPLIES THROUGHOUT     5,913        

THE ONE-YEAR PERIOD PERMITTED UNDER SECTION 3318.05 OF THE         5,914        

REVISED CODE FOR THE DISTRICT'S ELECTORS TO APPROVE THE            5,915        

PROPOSITIONS DESCRIBED IN THAT SECTION.  IF THE AMOUNT RESERVED    5,916        

AND ENCUMBERED FOR A PROJECT IS RELEASED BECAUSE THE ELECTORS DO   5,917        

NOT APPROVE THOSE PROPOSITIONS WITHIN THAT YEAR, AND THE SCHOOL    5,918        

DISTRICT LATER RECEIVES THE CONTROLLING BOARD'S APPROVAL FOR THE   5,919        

PROJECT, THE DISTRICT'S PORTION SHALL BE RECALCULATED IN           5,920        

ACCORDANCE WITH THIS SECTION AS OF THE DATE OF THE CONTROLLING     5,921        

BOARD'S SUBSEQUENT APPROVAL.                                                    

      Sec. 3318.05.  The conditional approval of the Ohio school   5,930        

facilities commission for a project shall lapse and the amount     5,932        

reserved and encumbered for such project shall be released unless  5,933        

the school district board accepts such conditional approval        5,934        

within one hundred twenty days following the date of               5,935        

certification of the conditional approval to the school district   5,936        

board and the electors of the school district vote favorably on    5,938        

both of the propositions described in divisions (A) and (B) of     5,939        

this section within one year of the date of such certification.    5,940        

The propositions described in divisions (A) and (B) of this        5,941        

section shall be combined in a single proposal.  If the district   5,943        

board or the district's electors fail to meet such requirements                 

and the amount reserved and encumbered for the district's project  5,944        

                                                          132    


                                                                 
is released, the district shall be given first priority for        5,945        

project funding as such funds become available.                    5,946        

      (A)  On the question of issuing bonds of the school          5,948        

district board, for the school district's portion of the basic     5,949        

project cost, in either whatever amount may be necessary to raise  5,950        

the net bonded indebtedness of the school district to within five  5,952        

thousand dollars of the required level of indebtedness calculated  5,953        

for the year preceding the year in which the resolution declaring  5,954        

the necessity of the election is adopted, or an amount equal to    5,957        

the required percentage SCHOOL DISTRICT'S PORTION of the basic     5,959        

project costs, whichever is greater COST; and                                   

      (B)  On the question of levying a tax the proceeds of which  5,962        

shall be used to pay the cost of maintaining the classroom         5,963        

facilities included in the project, except that in any year the                 

district's THREE-YEAR AVERAGE adjusted valuation per pupil is      5,964        

greater than the state-wide median THREE-YEAR AVERAGE adjusted     5,967        

valuation per pupil, one-half of the proceeds of the tax shall be  5,968        

used for such maintenance and one-half of such proceeds shall be   5,969        

used to pay the cost of the purchase of the classroom facilities   5,970        

from PAID TO the state under the provisions of sections 3318.01    5,972        

to 3318.20 of the Revised Code.  Such tax shall be at the rate of  5,973        

one-half mill for each dollar of valuation until the purchase      5,974        

price THE STATE is paid AN AMOUNT NOT TO EXCEED THE AMOUNT OF THE  5,975        

PROJECT COST SUPPLIED BY THE STATE, but in no case longer than     5,978        

twenty-three years.  Proceeds of the tax to be used for                         

maintenance of the classroom facilities shall be deposited into a  5,979        

separate fund established by the school district for such          5,980        

purpose.                                                                        

      Sec. 3318.06.  After receipt of the conditional approval of  5,989        

the Ohio school facilities commission, the school district board   5,991        

by a majority of all of its members shall, if it desires to        5,992        

proceed with the project, declare all of the following by          5,993        

resolution:                                                                     

      (A)  That with a net bonded indebtedness of within five      5,995        

                                                          133    


                                                                 
thousand dollars of the required level of indebtedness or by       5,996        

issuing bonds in an amount equal to the required percentage        5,997        

SCHOOL DISTRICT'S PORTION of the BASIC project costs COST, the     5,999        

district is unable to provide adequate classroom facilities        6,001        

without assistance from the state;                                              

      (B)  That to qualify for such state assistance it is         6,003        

necessary to levy a tax outside the ten-mill limitation the        6,004        

proceeds of which shall be used to pay the cost of maintaining     6,006        

the classroom facilities included in the project, except that in                

any year the district's THREE-YEAR AVERAGE adjusted valuation per  6,007        

pupil is greater than the state-wide STATEWIDE median THREE-YEAR   6,009        

AVERAGE adjusted valuation per pupil, one-half of the proceeds of  6,011        

the tax shall be used for such maintenance and one-half of such    6,012        

proceeds shall be used to pay the cost of the purchase of the      6,014        

classroom facilities from PAID TO the state;                       6,015        

      (C)  That the question of such tax levy shall be submitted   6,017        

to the electors of the school district at the next general or      6,018        

primary election, if there be a general or primary election not    6,019        

less than seventy-five and not more than ninety-five days after    6,020        

the day of the adoption of such resolution or, if not, at a        6,021        

special election to be held at a time specified in the resolution  6,022        

which shall be not less than seventy-five days after the day of    6,023        

the adoption of the resolution and which shall be in accordance    6,024        

with the requirements of section 3501.01 of the Revised Code.      6,025        

      Such resolution shall also state that the question of        6,028        

issuing bonds of the board shall be combined in a single proposal  6,029        

with the question of such tax levy.  More than one election under  6,030        

this section may be held in any one calendar year.  Such           6,031        

resolution shall specify both of the following:                                 

      (1)  That the rate which it is necessary to levy shall be    6,033        

at the rate of one-half mill for each one dollar of valuation,     6,034        

and that such tax shall be levied until the purchase price is      6,036        

paid IT GENERATES AN AMOUNT NOT TO EXCEED THE AMOUNT OF THE        6,038        

PROJECT COST SUPPLIED BY THE STATE, but in no case longer than     6,040        

                                                          134    


                                                                 
twenty-three years;                                                             

      (2)  That the proceeds of the tax shall be used to pay the   6,042        

cost of maintaining the classroom facilities included in the       6,043        

project, except in any year the district's THREE-YEAR AVERAGE      6,044        

adjusted valuation per pupil is greater than the statewide median  6,046        

THREE-YEAR AVERAGE adjusted valuation per pupil, one-half of the   6,047        

proceeds of the tax shall be used for such maintenance and         6,048        

one-half of the proceeds of the tax shall be used to pay the cost  6,049        

of the purchase of the classroom facilities from PAID TO the       6,050        

state under sections 3318.01 to 3318.20 of the Revised Code.       6,051        

      A copy of such resolution shall after its passage and not    6,053        

less than seventy-five days prior to the date set therein for the  6,054        

election be certified to the county board of elections.            6,055        

      The resolution of the school district board, in addition to  6,059        

meeting other applicable requirements of section 133.18 of the     6,060        

Revised Code, shall state that the amount of bonds to be issued    6,061        

will be either whatever amount may be necessary to raise the net   6,062        

bonded indebtedness of the school district to within five          6,063        

thousand dollars of the required level of indebtedness calculated  6,064        

for the year preceding the year in which such resolution is        6,065        

adopted or an amount equal to the required percentage SCHOOL       6,067        

DISTRICT'S PORTION of the basic project costs COST, whichever is   6,068        

greater and state that the maximum maturity of the bonds which,    6,069        

notwithstanding section 133.20 of the Revised Code, may be any     6,070        

number of years not exceeding twenty-three as determined by the    6,071        

board.  In estimating the amount of bonds to be issued, the board  6,072        

shall take into consideration the amount of moneys then in the     6,073        

bond retirement fund and the amount of moneys to be collected for  6,074        

and disbursed from the bond retirement fund during the remainder   6,075        

of the year in which the resolution of necessity is adopted.       6,076        

      Notice of the election shall include the fact that the tax   6,078        

levy shall be at the rate of one-half mill for each one dollar of  6,079        

valuation, that the levy shall be made until the purchase price    6,081        

is paid IT GENERATES AN AMOUNT NOT TO EXCEED THE AMOUNT OF THE     6,082        

                                                          135    


                                                                 
PROJECT COST SUPPLIED BY THE STATE, but in no case longer than     6,085        

twenty-three years, and that the proceeds of the tax shall be      6,086        

used to pay the cost of maintaining the classroom facilities       6,087        

included in the project, except in any year the district's         6,088        

THREE-YEAR AVERAGE adjusted valuation per pupil is greater than    6,089        

the statewide median THREE-YEAR AVERAGE adjusted valuation per     6,090        

pupil, one-half of the proceeds of the tax shall be used for such  6,092        

maintenance and one-half of the proceeds of the tax shall be used  6,093        

to pay the cost of the purchase of the classroom facilities from                

PAID TO the state under sections 3318.01 to 3318.20 of the         6,095        

Revised Code.                                                                   

      The form of the ballot to be used at such election shall     6,097        

be:                                                                6,098        

      "A majority affirmative vote is necessary for passage.       6,100        

      Shall bonds be issued by the Board of Education of the       6,102        

............ (here insert name of school district) for the         6,103        

purpose of ............ (here insert purpose of bond issue) in     6,104        

either an amount sufficient to raise the net indebtedness of the   6,105        

school district to within five thousand dollars of ............    6,106        

(here insert five, six, or seven per cent depending on the         6,107        

district's required level of indebtedness) of the total value of   6,108        

all property in the school district as listed and assessed for     6,109        

taxation on the tax duplicate for the year ............ (here      6,110        

insert the year preceding the year in which the resolution         6,111        

declaring the necessity of the election was adopted) or an amount  6,113        

equal to ............ (here insert the required percentage of the  6,114        

basic project costs), whichever is greater, and a levy of taxes    6,115        

be made outside of the ten-mill limitation for a maximum period    6,116        

of ............ (here insert longest maturity) years to pay the    6,117        

principal and interest of such bonds, the amount of such bonds     6,118        

being estimated to be ............ (here insert estimated amount   6,119        

of bond issue) for which the levy of taxes is estimated by the     6,120        

county auditor to average ............ (here insert number of      6,121        

mills) mills for each one dollar of valuation, which amounts to    6,122        

                                                          136    


                                                                 
............ (here insert rate expressed in dollars and cents)     6,123        

for each one hundred dollars of valuation SCHOOL DISTRICT TO PAY   6,125        

THE LOCAL SHARE OF SCHOOL CONSTRUCTION UNDER THE STATE OF OHIO     6,126        

CLASSROOM FACILITIES ASSISTANCE PROGRAM IN THE PRINCIPAL AMOUNT    6,128        

OF ............ (HERE INSERT PRINCIPAL AMOUNT OF THE BOND ISSUE),  6,129        

TO BE REPAID ANNUALLY OVER A MAXIMUM PERIOD OF ............ (HERE  6,130        

INSERT THE MAXIMUM NUMBER OF YEARS OVER WHICH THE PRINCIPAL OF     6,131        

THE BONDS MAY BE PAID) YEARS, AND AN ANNUAL LEVY OF PROPERTY       6,132        

TAXES BE MADE OUTSIDE THE TEN-MILL LIMITATION, ESTIMATED BY THE    6,133        

COUNTY AUDITOR TO AVERAGE OVER THE REPAYMENT PERIOD OF THE BOND    6,134        

ISSUE ............ (HERE INSERT THE NUMBER OF MILLS ESTIMATED)     6,135        

MILLS FOR EACH ONE DOLLAR OF TAX VALUATION, WHICH AMOUNTS TO       6,136        

............ (RATE EXPRESSED IN CENTS OR DOLLARS AND CENTS, SUCH   6,137        

AS "THIRTY-SIX CENTS" OR "$0.36") FOR EACH ONE HUNDRED DOLLARS OF  6,138        

TAX VALUATION TO PAY THE ANNUAL DEBT CHARGES ON THE BONDS AND TO   6,139        

PAY DEBT CHARGES ON ANY NOTES ISSUED IN ANTICIPATION OF THE        6,140        

BONDS?"                                                                         

                               and                                 6,141        

      "Shall an additional levy of taxes be made for the A PERIOD  6,143        

NOT TO EXCEED TWENTY-THREE YEARS TO benefit of the ............    6,144        

(HERE INSERT name of school district) SCHOOL DISTRICT, the         6,145        

proceeds of which shall be used to pay the cost of maintaining     6,148        

the classroom facilities included in the project, except that in                

any year the district's THREE-YEAR AVERAGE adjusted valuation per  6,149        

pupil is greater than the state-wide STATEWIDE median THREE-YEAR   6,151        

AVERAGE adjusted valuation per pupil, one-half of the proceeds of  6,153        

the tax shall be used for such maintenance and one-half of such    6,154        

proceeds shall be used to pay the cost of the purchase of          6,155        

classroom facilities from PAID TO the state, at the rate of        6,157        

one-half mill for each one dollar of valuation until the purchase  6,158        

price is paid but in no case longer than twenty-three years?       6,159        

                                                          137    


                                                                 
         _______________________________________________           6,161        

                 FOR THE BOND ISSUE AND TAX LEVY                   6,162        

         _______________________________________________           6,163        

                 AGAINST THE BOND ISSUE AND TAX LEVY               6,164        

         _______________________________________________   "       6,165        

      (D)  If it is necessary for the school district to acquire   6,168        

a site for the classroom facilities to be acquired pursuant to     6,169        

sections 3318.01 to 3318.20 of the Revised Code, the district      6,170        

board may propose either to issue bonds of the board or to levy a  6,171        

tax to pay for the acquisition of such site, and may combine the   6,172        

question of doing so with the questions specified in division (C)               

of this section.  Bonds issued under this division for the         6,173        

purpose of acquiring a site are a general obligation of the        6,174        

school district and are Chapter 133. securities.                   6,175        

      The form of that portion of the ballot to include the        6,177        

question of either issuing bonds or levying a tax for site         6,178        

acquisition purposes shall be one of the following:                6,179        

      (1)  "Shall bonds be issued by the board of education of     6,181        

the ............ (HERE INSERT name of the school district) for     6,182        

the purpose of .......... (purpose of the bond issue, which shall  6,184        

be for the purpose SCHOOL DISTRICT TO PAY COSTS of acquiring a     6,185        

site for classroom facilities) UNDER THE STATE OF OHIO CLASSROOM   6,186        

FACILITIES ASSISTANCE PROGRAM in the principal amount of           6,188        

.......... (HERE INSERT principal amount of the bond issue), to    6,189        

be repaid annually over a maximum period of .......... (HERE       6,190        

INSERT maximum number of years over which the principal of the     6,191        

bonds may be paid) years, and an annual levy of property taxes be  6,192        

made outside the ten-mill limitation, estimated by the county      6,193        

auditor to average over the repayment period of the bond issue     6,194        

.......... (HERE INSERT number of mills) mills for each one                     

dollar of tax valuation, which amount to .......... (HERE INSERT   6,195        

rate expressed in CENTS OR dollars and cents, SUCH AS "THIRTY-SIX  6,196        

CENTS" OR "$0.36") for each one hundred dollars of valuation TO    6,198        

PAY THE ANNUAL DEBT CHARGES ON THE BONDS AND TO PAY DEBT CHARGES                

                                                          138    


                                                                 
ON ANY NOTES ISSUED IN ANTICIPATION OF THE BONDS?"                 6,199        

      (2)  "Shall an additional levy of taxes OUTSIDE THE          6,201        

TEN-MILL LIMITATION be made for the benefit of the ..........      6,202        

(HERE INSERT name of the school district) .......... SCHOOL        6,203        

DISTRICT for the purpose ......... (purpose of the levy, which     6,204        

shall be for the purpose of acquiring a site for classroom         6,205        

facilities) in the sum of ......... (HERE INSERT annual amount     6,206        

the levy is to produce) and a levy of taxes to be made outside of  6,207        

the ten-mill limitation estimated by the county auditor to         6,208        

average ........ (HERE INSERT number of mills) mills for each one  6,209        

hundred dollars of valuation, for a period of ......... (HERE      6,211        

INSERT number of years the millage is to be imposed) years?"       6,212        

      Where it is necessary to combine the question of issuing     6,214        

bonds of the school district and levying a tax as described in     6,215        

division (C) of this section with the question of issuing bonds    6,216        

of the school district for acquisition of a site, the question     6,217        

specified in division (C) of this section to be voted on shall be  6,218        

"For the Bond Issues and the Tax Levy" and "Against the Bond                    

Issues and the Tax Levy."                                          6,219        

      Where it is necessary to combine the question of issuing     6,221        

bonds of the school district and levying a tax as described in     6,222        

division (C) of this section with the question of levying a tax    6,223        

for the acquisition of a site, the question specified in division  6,224        

(C) of this section to be voted on shall be "For the Bond Issue    6,225        

and the Tax Levies" and "Against the Bond Issue and the Tax                     

Levies."                                                           6,226        

      If a majority of those voting upon a proposition hereunder   6,228        

which includes the question of issuing bonds vote in favor         6,229        

thereof, and if the agreement provided for by section 3318.08 of   6,230        

the Revised Code has been entered into, the school district board  6,231        

may proceed under Chapter 133. of the Revised Code, with the       6,232        

issuance of bonds or bond anticipation notes in accordance with    6,233        

the terms of the agreement.                                        6,234        

      Sec. 3318.08.  If the requisite favorable vote on the        6,243        

                                                          139    


                                                                 
election is obtained, the Ohio school facilities commission, upon  6,245        

certification of the results of the election to it, shall enter    6,246        

into a written agreement with the school district board for the    6,247        

construction and sale of the project, which agreement shall        6,248        

include, but need not be limited to, the following provisions:     6,249        

      (A)  The sale and issuance of bonds or notes in              6,251        

anticipation thereof, as soon as practicable after the execution   6,252        

of the agreement, in either an amount which will raise the net     6,254        

bonded indebtedness of the school district, as of the date of the  6,255        

resolution authorizing the issuance of such bonds or notes, to     6,257        

within five thousand dollars of the required level of              6,258        

indebtedness calculated for the year preceding the year in which   6,259        

the resolution declaring the necessity of the election was         6,261        

adopted or an amount equal to the required percentage SCHOOL       6,263        

DISTRICT'S PORTION of the basic project costs, whichever is        6,264        

greater COST; provided, that if at that time the county treasurer  6,265        

of each county in which the school district is located has not     6,267        

commenced the collection of taxes on the general duplicate of      6,268        

real and public utility property for such THE year IN WHICH THE    6,269        

CONTROLLING BOARD APPROVED THE PROJECT, the school district board  6,270        

shall authorize the issuance of a first installment of bond        6,271        

anticipation notes in an amount specified by the agreement, which  6,272        

amount shall not exceed an amount necessary to raise the net       6,273        

bonded indebtedness of the school district as to OF the date of    6,274        

such authorizing resolution THE CONTROLLING BOARD'S APPROVAL to    6,276        

within five thousand dollars of the required level of              6,278        

indebtedness for the preceding year.  In the event that a first    6,279        

installment of bond anticipation notes is issued, the school       6,280        

district board shall, as soon as practicable after the county      6,281        

treasurer of each county in which the school district is located   6,282        

has commenced the collection of taxes on the general duplicate of  6,283        

real and public utility property for the year in which the         6,284        

resolution declaring the necessity of the election was adopted     6,285        

CONTROLLING BOARD APPROVED THE PROJECT, authorize the issuance of  6,286        

                                                          140    


                                                                 
a second and final installment of bond anticipation notes or a     6,287        

first and final issue of bonds.  The                               6,288        

      THE combined value of the first and second installment of    6,291        

bond anticipation notes or the value of the first and final issue  6,292        

of bonds shall be equal to either an amount which will raise the   6,293        

net indebtedness of the school district as of the date of such     6,294        

authorizing resolution to within five thousand dollars of the      6,296        

required level of indebtedness, or an amount equal to the          6,298        

required percentage SCHOOL DISTRICT'S PORTION of the BASIC         6,299        

project costs, whichever is greater COST.  The proceeds of any     6,300        

such bonds shall be used first to retire any bond anticipation     6,302        

notes.  Otherwise, the proceeds of such bonds and of any bond      6,303        

anticipation notes, except the premium and accrued interest        6,304        

thereon, shall be deposited in the school district's project       6,305        

construction fund.  In determining the amount of net BONDED        6,306        

indebtedness for the purpose of fixing the amount of an issue of   6,307        

either bonds or bond anticipation notes, gross indebtedness shall  6,308        

be reduced by moneys in the bond retirement fund only to the       6,309        

extent of the moneys therein on the first day of the year          6,310        

preceding the year in which the resolution authorizing such bonds  6,311        

or notes is adopted CONTROLLING BOARD APPROVED THE PROJECT.        6,312        

Should there be a decrease in the tax valuation of the school      6,314        

district so that the amount of indebtedness which THAT can be      6,316        

incurred on the tax duplicates for the year in which the                        

resolution declaring the necessity of the election was adopted     6,317        

CONTROLLING BOARD APPROVED THE PROJECT is less than the amount of  6,319        

the first installment of bond anticipation notes, there shall be   6,320        

paid from the school district's project construction fund to the   6,321        

school district's bond retirement fund to be applied against such  6,323        

notes an amount sufficient to cause the net BONDED indebtedness    6,324        

of the school district, as of the first day of the year following  6,325        

the year in which the resolution declaring the necessity of the    6,326        

election was adopted CONTROLLING BOARD APPROVED THE PROJECT, to    6,328        

be within five thousand dollars of the required level of                        

                                                          141    


                                                                 
indebtedness for the year in which that resolution was adopted     6,329        

THE CONTROLLING BOARD APPROVED THE PROJECT.  The maximum amount    6,332        

of indebtedness to be incurred by any school district board as     6,333        

its share of the cost of the project is either an amount which     6,334        

THAT will cause its net BONDED indebtedness, as of the first day   6,336        

of the year following the year in which the resolution declaring   6,337        

the necessity of the bond issue was adopted CONTROLLING BOARD                   

APPROVED THE PROJECT, to be within five thousand dollars of the    6,339        

required level of indebtedness calculated for the year preceding   6,340        

the year in which that resolution was adopted, or an amount equal  6,343        

to the required percentage of the basic project costs, whichever   6,344        

is greater.  All bonds and bond anticipation notes shall be        6,345        

issued in accordance with Chapter 133. of the Revised Code, and    6,346        

notes may be renewed as provided in section 133.22 of the Revised  6,347        

Code.                                                                           

      (B)  The transfer of such funds of the school district       6,349        

board available for the project, together with the proceeds of     6,350        

the sale of the bonds or notes, except premium, accrued interest,  6,351        

and interest included in the amount of the issue, to the school    6,352        

district's project construction fund;                              6,353        

      (C)  The levy of the tax authorized at the election for the  6,355        

payment of maintenance costs or the cost of purchasing the         6,357        

classroom facilities PAYMENTS TO THE STATE, AS SPECIFIED IN                     

DIVISION (B) OF SECTION 3318.05 OF THE REVISED CODE;               6,359        

      (D)  Ownership of OR INTEREST IN the project during the      6,361        

period of construction, which shall be divided between the         6,362        

commission and the school district board in proportion to their    6,364        

respective contributions to the school district's project          6,365        

construction fund;                                                 6,366        

      (E)  The transfer MAINTENANCE of the state's interest in     6,368        

the project to the school district upon completion of the project  6,370        

UNTIL ANY OBLIGATIONS ISSUED FOR THE PROJECT UNDER SECTION         6,371        

3318.26 OF THE REVISED CODE ARE NO LONGER OUTSTANDING;             6,372        

      (F)  The insurance of the project by the school district     6,374        

                                                          142    


                                                                 
from the time there is an insurable interest therein and so long   6,375        

as any part of the purchase price remains unpaid THE STATE         6,376        

RETAINS ANY OWNERSHIP OR INTEREST IN THE PROJECT PURSUANT TO       6,377        

DIVISION (D) OF THIS SECTION, in such amounts and against such     6,380        

risks as the commission shall require; provided, that the cost of  6,382        

any required insurance until the project is completed shall be a   6,383        

part of the basic project cost;                                                 

      (G)  The certification by the director of budget and         6,385        

management that funds are available and have been set aside to     6,386        

meet the state's share of the basic project cost as approved by    6,388        

the controlling board pursuant to section 3318.04 of the Revised   6,389        

Code;                                                                           

      (H)  Authorization of the school district board to           6,391        

advertise for and receive construction bids for the project, for   6,392        

and on behalf of the commission, and to award contracts in the     6,394        

name of the state subject to approval by the commission;           6,395        

      (I)  Provisions for the disbursement of moneys from the      6,397        

school district's project account upon issuance by the commission  6,399        

or the commission's designated representative of vouchers for      6,400        

work done to be certified to the commission by the treasurer of    6,403        

the school district board;                                         6,404        

      (J)  Disposal of any balance left in the school district's   6,406        

project construction fund upon completion of the project;          6,408        

      (K)  Prohibition against alienation of any interest in the   6,410        

project by the school district board or its successor in interest  6,411        

without the consent of the commission so long as any part of the   6,413        

purchase price of the project remains unpaid, but in no case       6,414        

longer than twenty-three years;                                    6,415        

      (L)  Limitations upon use of the project or any part of it   6,417        

so long as any part of the purchase price of the project remains   6,418        

unpaid, but in no case longer than twenty-three years OBLIGATIONS  6,419        

ISSUED TO FINANCE THE PROJECT UNDER SECTION 3318.26 OF THE         6,420        

REVISED CODE ARE OUTSTANDING;                                      6,421        

      (M)(L)  Provision for vesting absolute THE STATE'S interest  6,424        

                                                          143    


                                                                 
in the project in TO the school district board when the purchase   6,425        

price has been paid or at the expiration of the period of          6,427        

twenty-three years OBLIGATIONS ISSUED TO FINANCE THE PROJECT       6,428        

UNDER SECTION 3318.26 OF THE REVISED CODE ARE OUTSTANDING;         6,429        

      (N)(M)  Provision for deposit of an executed copy of the     6,431        

agreement in the office of the commission and the office of the    6,433        

county recorder of the county or counties in which the project is  6,434        

situated;                                                          6,435        

      (O)(N)  Provision for termination of the contract and        6,437        

release of the funds encumbered at the time of the conditional     6,438        

approval, if the proceeds of the sale of the bonds of the school   6,439        

district board are not paid into the school district's project     6,440        

construction fund and if bids for the construction of the project  6,442        

have not been taken within such period after the execution of the  6,443        

agreement as may be fixed by the commission;                       6,444        

      (P)(O)  Provision for the school district to maintain the    6,446        

project in accordance with a plan approved by the commission;      6,448        

      (Q)(P)  Provision that all state funds reserved and          6,451        

encumbered to pay the state share of the cost of the project       6,452        

pursuant to section 3318.03 of the Revised Code be spent on the    6,453        

construction or acquisition of the project prior to the            6,454        

expenditure of any funds provided by the school district to pay    6,455        

for its share of the project cost, unless the school district      6,456        

certifies to the commission that expenditure by the school         6,457        

district is necessary to maintain the tax-exempt status of notes   6,458        

or bonds issued by the school district to pay for its share of     6,459        

the project cost in which case, the school district may commit to  6,460        

spend, or spend, a portion of the funds it provides;               6,461        

      (Q)  A PROVISION STIPULATING THAT THE COMMISSION MAY         6,463        

PROHIBIT THE DISTRICT FROM PROCEEDING WITH ANY PROJECT IF THE      6,464        

COMMISSION DETERMINES THAT THE SITE IS NOT SUITABLE FOR            6,465        

CONSTRUCTION PURPOSES.  THE COMMISSION MAY PERFORM SOIL TESTS IN   6,466        

ITS DETERMINATION OF WHETHER A SITE IS APPROPRIATE FOR                          

CONSTRUCTION PURPOSES.                                             6,467        

                                                          144    


                                                                 
      Sec. 3318.081.  If the board of education of a school        6,476        

district authorized to impose a tax pursuant to section 3318.06    6,477        

of the Revised Code determines that taxable value of property      6,478        

subject to the tax has increased to the extent it will not be      6,479        

necessary to impose such tax for twenty-three years in order to    6,480        

pay the purchase price GENERATE AN AMOUNT EQUAL TO THE AMOUNT OF   6,481        

THE PROJECT COST SUPPLIED BY THE STATE, it may request the county  6,482        

auditor to determine the amount of the purchase price remaining    6,483        

to be paid and the estimated rate of taxation required each year   6,484        

to repay PAY such remainder in equal installments over the         6,486        

maximum number of remaining years the tax may be in effect.  The   6,487        

auditor shall make such determination upon request and certify     6,488        

the results thereof to the board of education.                     6,489        

      Upon receipt of the auditor's determination, the board of    6,491        

education may request the Ohio school facilities commission to     6,493        

enter into a supplemental agreement under which the district may   6,494        

repay PAY the remainder of the purchase price AMOUNT in annual     6,496        

amounts equal to the quotient obtained by dividing the amount      6,498        

remaining to be paid by the maximum number of remaining years the  6,499        

tax may be in effect. If such an agreement is entered into, the    6,500        

commission shall certify a copy thereof to the county auditor and  6,502        

the tax authorized by section 3318.06 of the Revised Code          6,503        

thereafter shall be levied at the rate required to make the        6,504        

annual payments required by the supplemental agreement rather      6,505        

than the rate required by such section.                            6,506        

      Sec. 3318.082.  The board of education of any school         6,515        

district imposing a tax for the purpose of paying the cost of the  6,516        

purchase of classroom facilities from the state pursuant to        6,518        

section 3318.06 of the Revised Code prior to the effective date    6,519        

of the amendments to that section by Amended Substitute House      6,521        

Bill No. 748 of the 121st General Assembly, may enter into a       6,522        

supplemental agreement with the Ohio school facilities commission  6,523        

under which the proceeds of such tax shall be distributed in       6,525        

accordance with the requirements of section 3318.06 of the                      

                                                          145    


                                                                 
Revised Code, as amended by Amended Substitute House Bill No. 748  6,528        

of the 121st general assembly.                                     6,529        

      Sec. 3318.083.  IF, AFTER THE OHIO SCHOOL FACILITIES         6,531        

COMMISSION AND A SCHOOL DISTRICT ENTER INTO A WRITTEN AGREEMENT    6,532        

UNDER SECTION 3318.08 OF THE REVISED CODE FOR THE CONSTRUCTION OF  6,533        

A CLASSROOM FACILITIES PROJECT, THE COMMISSION APPROVES AN         6,534        

INCREASE IN THE BASIC PROJECT COST ABOVE THE AMOUNT BUDGETED PLUS  6,535        

ANY INTEREST EARNED AND AVAILABLE IN THE PROJECT CONSTRUCTION      6,536        

FUND, THE STATE AND THE SCHOOL DISTRICT SHALL SHARE THE INCREASED  6,538        

COST IN PROPORTION TO THEIR RESPECTIVE CONTRIBUTIONS TO THE        6,539        

DISTRICT'S PROJECT CONSTRUCTION FUND.                                           

      Sec. 3318.13.  Notwithstanding any provision of sections     6,548        

5705.27 to 5705.50 of the Revised Code, the tax to be levied on    6,549        

all taxable property within a school district for the purpose of   6,550        

paying the cost of maintaining the classroom facilities included   6,551        

in the project or for paying the purchase price of the project to  6,552        

the state under the agreement provided in section 3318.08 of the   6,553        

Revised Code or the supplemental agreement provided in section     6,554        

3318.081 of the Revised Code shall be included in the budget of    6,555        

the school district for each year upon the certification to the    6,556        

county budget commission or commissions of the county or counties  6,557        

in which said school district is located, by the Ohio school       6,558        

facilities commission of the balance due the state under said      6,560        

agreement or supplemental agreement.  Such certification shall be  6,561        

made on or before the fifteenth day of July in each year.          6,562        

Thereafter, the respective county budget commissions shall treat   6,563        

such certification as an additional item on the tax budget for     6,564        

the school district as to which such certification has been made   6,565        

and shall provide for the levy therefor in the manner provided in  6,566        

sections 5705.27 to 5705.50 of the Revised Code for tax levies     6,567        

included directly in the budgets of the subdivisions.              6,568        

      The levy of taxes shall be included in the next annual tax   6,570        

budget that is certified to the county budget commission after     6,571        

the execution of the agreement for the project.                    6,572        

                                                          146    


                                                                 
      Sec. 3318.14.  Notwithstanding the provision of section      6,581        

321.31 of the Revised Code, immediately after each settlement      6,582        

with the county auditor, on presentation of the warrant of the     6,583        

county auditor therefor, the county treasurer shall pay to the     6,584        

school district the proceeds of the tax levy provided in section   6,585        

3318.13 of the Revised Code to be used to pay the cost of                       

maintaining the classroom facilities included in the project and   6,587        

pay to the Ohio school facilities commission any proceeds of the   6,589        

tax levy provided in section 3318.13 of the Revised Code to be     6,590        

applied to the unpaid purchase price of the project PAID TO THE    6,591        

STATE.                                                                          

      Sec. 3318.15.  There is hereby created the public school     6,600        

building fund within the state treasury consisting of all moneys   6,601        

received from the sale of classroom facilities pursuant to         6,602        

sections 3318.01 to 3318.20 PAYMENTS TO THE STATE PURSUANT TO      6,603        

DIVISION (C) OF SECTION 3318.08 of the Revised Code, any moneys    6,604        

transferred or appropriated to the fund by the general assembly,   6,605        

and any grants, gifts, or contributions received by the Ohio       6,606        

school facilities commission to be used for the purposes of the    6,607        

fund.  All investment earnings of the fund shall be credited to    6,608        

the fund.                                                                       

      Moneys transferred or appropriated to the fund by the        6,610        

general assembly and moneys in the fund from grants, gifts, and    6,611        

contributions shall be used to acquire classroom facilities for    6,612        

sale to school districts pursuant to THE PURPOSES OF sections      6,615        

3318.01 to 3318.20 of the Revised Code.  The moneys in the fund                 

received from the sale of classroom facilities PAYMENTS TO THE     6,617        

STATE PURSUANT TO DIVISION (C) OF SECTION 3318.08 OF THE REVISED   6,618        

CODE shall be held in a separate account in the fund.  Such        6,619        

moneys may be used partially to acquire additional classroom       6,620        

facilities for sale to school districts pursuant to THE PURPOSES   6,621        

OF sections 3318.01 to 3318.20 OF THE REVISED CODE and partially   6,623        

to pay bond service charges as defined in division (C) of section  6,624        

3318.21 of the Revised Code on obligations, the proceeds of which  6,625        

                                                          147    


                                                                 
are deposited into the school districts facilities fund created    6,626        

in section 3318.23 of the Revised Code.                            6,627        

      Sec. 3318.16.  Title to interests THE OHIO SCHOOL            6,636        

FACILITIES COMMISSION SHALL HAVE AN INTEREST in real property      6,637        

purchased with moneys in the school district's project             6,639        

construction fund shall be taken in the name of the state of       6,640        

Ohio.  Upon completion of the project, the title to such interest  6,641        

in real property shall be conveyed to the school district board    6,642        

and the Ohio school facilities commission shall execute and                     

deliver deeds to complete the transfer of such interests.          6,643        

      Upon completion of the project, the interest of the state    6,645        

in the project shall be transferred to the school district board,  6,647        

which interest is equal to that portion of the final cost of the   6,648        

project represented by funds contributed by the state for the      6,649        

project.  The purchase price to be paid by the school district     6,650        

board for the state's interest in the project shall be the total                

amount of funds contributed by the state for the project.          6,651        

      ONCE OBLIGATIONS ISSUED TO FINANCE A PROJECT UNDER SECTION   6,653        

3318.26 OF THE REVISED CODE ARE NO LONGER OUTSTANDING, ANY         6,654        

INTEREST HELD BY THE COMMISSION SHALL BE TRANSFERRED TO THE        6,655        

SCHOOL DISTRICT.                                                                

      Sec. 3318.17.  A (A)  EXCEPT AS PROVIDED IN DIVISION (B) OF  6,665        

THIS SECTION, WHEN A school district board may purchase RECEIVES   6,666        

classroom facilities ASSISTANCE from the state from time to time   6,667        

under the procedure set forth in sections 3318.01 to 3318.12 of    6,669        

the Revised Code.  The, THE levy of taxes required by section      6,670        

SECTIONS 3318.13 AND 3318.14 of the Revised Code shall be at the   6,672        

rate of one-half mill for each one dollar of valuation and shall   6,673        

be for a maximum period of twenty-three years after the last       6,675        

purchase, except that in those years in which a supplemental       6,677        

agreement authorized by section 3318.081 of the Revised Code is    6,678        

in effect, the rate shall be as prescribed for such section for    6,679        

the period during which such agreement is in effect.  Where a      6,680        

school district has purchased classroom facilities from the state  6,681        

                                                          148    


                                                                 
on which any portion of the purchase price remains unpaid and it   6,682        

desires to purchase additional classroom facilities, the notice    6,683        

of election and form of ballot set forth in section 3318.06 of     6,684        

the Revised Code shall provide that the levy is an extension of    6,685        

an existing levy for a maximum period of twenty-three years.       6,686        

Where there has been more than one purchase of classroom           6,687        

facilities from the state, any proceeds of the tax to be used to   6,688        

pay the purchase price of such facilities shall be applied to the  6,689        

unpaid purchase price of the projects in the order in which they   6,690        

were purchased.                                                                 

      (B)  WHEN A SCHOOL DISTRICT LEVIES A TAX UNDER SECTIONS      6,692        

3318.13 AND 3318.14 OF THE REVISED CODE AFTER THE EFFECTIVE DATE   6,694        

OF THIS AMENDMENT, THE LEVY SHALL:                                              

      (1)  BE AN ADDITIONAL LEVY OF ONE-HALF MILL FOR EACH DOLLAR  6,696        

OF VALUATION;                                                                   

      (2)  CONTINUE FOR THE LESSER OF THE NUMBER OF YEARS          6,698        

REQUIRED TO GENERATE REVENUE EQUAL TO THE AMOUNT OF MONEY          6,699        

SUPPLIED BY THE STATE FOR A CLASSROOM FACILITIES PROJECT OR        6,700        

TWENTY-THREE YEARS;                                                             

      (3)  NOT REDUCE THE NUMBER OF YEARS REMAINING ON ANY OTHER   6,702        

LEVY PASSED UNDER SECTIONS 3318.13 AND 3318.14 OF THE REVISED      6,703        

CODE PRIOR TO OR AFTER THE EFFECTIVE DATE OF THIS AMENDMENT.       6,704        

      THE NOTICE OF ELECTION AND FORM OF THE BALLOT REQUIRED BY    6,706        

SECTION 3318.06 OF THE REVISED CODE SHALL PROVIDE THAT A LEVY      6,707        

UNDER THIS DIVISION IS AN ADDITIONAL LEVY FOR THE SPECIFIED        6,708        

CLASSROOM FACILITIES PROJECT.                                                   

      Sec. 3318.18.  The unpaid purchase price of a project MONEY  6,717        

TO BE PAID TO THE STATE PURSUANT TO DIVISION (B) OF SECTION        6,718        

3318.05 OF THE REVISED CODE shall constitute an indebtedness of    6,720        

the school district but shall not be included in the calculation   6,721        

of indebtedness under sections 133.04 and 133.06 of the Revised    6,722        

Code.  In the event all or a portion of the territory comprising   6,723        

a school district, which THAT has outstanding an indebtedness to   6,725        

the state representing the unpaid purchase price of TAX LEVY       6,727        

                                                          149    


                                                                 
MONEY RESULTING FROM a project or projects, is transferred to      6,728        

another school district, or, if a new school district is created   6,729        

to include all or a portion of such school district, the           6,730        

outstanding indebtedness for MONEY OWED AS A RESULT OF each        6,731        

project shall be apportioned between the acquiring school          6,733        

district and the original school district in the ratio, as of the  6,734        

effective date of the transfer, which the assessed valuation of    6,735        

the territory transferred to the acquiring school district bears   6,736        

to the assessed valuation of the original school district.         6,737        

      The amount of the indebtedness so assumed, OR PARTIALLY      6,739        

ASSUMED, by the new school district or acquiring school district   6,741        

shall be equal to one-half mill multiplied by the total value of   6,742        

all property as listed and assessed for taxation in the original   6,743        

school district or territory transferred for each of the years     6,744        

YEAR OF THE ORIGINAL TWENTY-THREE OR FEWER YEARS remaining AS      6,745        

SPECIFIED in the PORTION OF THE agreement for payment of purchase  6,746        

price between the original school district and the state board of  6,748        

education CONTAINED IN DIVISION (C) OF SECTION 3318.08 OF THE      6,749        

REVISED CODE.  On or before the first day of July of each year,    6,750        

the department of taxation shall certify to the Ohio school        6,751        

facilities commission the amount of the tax duplicate of the       6,753        

original school district or territory transferred for the          6,754        

calendar year ending on the thirty-first day of December           6,755        

immediately preceding.  This tax duplicate shall be used in the    6,756        

calculation of the indebtedness so assumed.                                     

      The acquiring school district shall levy a tax outside the   6,758        

ten-mill limitation upon all property in the acquiring school      6,759        

district to pay the indebtedness so assumed until the              6,760        

indebtedness so assumed has been discharged but not longer than    6,761        

twenty-three years after the original incurrence of the            6,762        

indebtedness, provided, that the levy in the acquiring school      6,763        

district in any year shall not exceed the levy in the original     6,764        

school district to pay the purchase price of projects acquired     6,765        

from MAKE PAYMENTS TO the state.  The proceeds of the aforesaid    6,766        

                                                          150    


                                                                 
tax levy in the acquiring school district shall be applied to the  6,768        

discharge of indebtedness first incurred in point of time whether  6,769        

or not it be an indebtedness assumed from another school           6,770        

district.                                                                       

      Sec. 3318.21.  As used in sections 3318.21 to 3318.29 of     6,779        

the Revised Code:                                                  6,780        

      (A)  "Allowable costs" means all or part of the costs of a   6,782        

permanent improvement that may be financed with, and paid from     6,783        

the proceeds of, securities issued pursuant to section 133.15 of   6,784        

the Revised Code.                                                  6,785        

      (B)  "Bond proceedings" means the resolution, order, trust   6,787        

agreement, indenture, loan agreement, lease agreement, and other   6,788        

agreements, amendments and supplements to the foregoing, or any    6,789        

one or more or combination thereof, authorizing or providing for   6,790        

the terms and conditions applicable to, or providing for the       6,791        

security or liquidity of, obligations issued pursuant to section   6,792        

3318.26 of the Revised Code, and the provisions contained in the   6,793        

obligations.                                                       6,794        

      (C)  "Bond service charges" means principal, including       6,796        

mandatory sinking fund requirements for retirement of              6,797        

obligations, and interest, and redemption premium, if any,         6,798        

required to be paid by the state on obligations, and, if provided  6,799        

in the applicable bond proceedings, may include any corresponding  6,800        

lease or sublease payments to be made with respect thereto to the  6,801        

issuing authority by the state or any agency of state government.  6,802        

      (D)  "Bond service fund" means the applicable fund and       6,804        

accounts therein created for and pledged to the payment of bond    6,805        

service charges, which may be, or may be part of, either the       6,806        

school building program bond service fund created by division (R)  6,807        

of section 3318.26 of the Revised Code or the school facilities    6,808        

bond service fund created by division (S) of section 3318.26 of    6,809        

the Revised Code, including all moneys and investments, and        6,810        

earnings from investments, credited and to be credited thereto.    6,811        

      (E)  "Issuing authority" means the treasurer of state, or    6,813        

                                                          151    


                                                                 
the officer who by law performs the functions of such officer.     6,814        

      (F)  "Obligations" means bonds, notes, or other evidence of  6,816        

obligation including interest coupons pertaining thereto, issued   6,817        

pursuant to section 3318.26 of the Revised Code.                   6,818        

      (G)  "Permanent improvement" or "improvement" means a        6,820        

permanent improvement or improvement as defined under division     6,821        

(CC) of section 133.01 of the Revised Code to be used for housing  6,822        

agencies of state government, including classroom facilities as    6,823        

defined in division (B) of section 3318.01 of the Revised Code.    6,824        

      (H)  "Pledged receipts," in the case of obligations issued   6,826        

to provide moneys for the school building program assistance fund  6,827        

created in section 3318.25 of the Revised Code, means any or all   6,828        

of the following:                                                  6,829        

      (1)  Moneys in the lottery profits education fund created    6,831        

in section 3770.06 of the Revised Code appropriated by the         6,832        

general assembly and pledged for the purpose of paying bond        6,833        

service charges on one or more issuances of such obligations;      6,834        

      (2)  Accrued interest received from the sale of              6,836        

obligations;                                                       6,837        

      (3)  Income from the investment of the special funds;        6,839        

      (4)  Any gifts, grants, donations, and pledges, and          6,841        

receipts therefrom, available for the payment of bond service      6,842        

charges.                                                           6,843        

      (I)  "Pledged receipts," in the case of obligations issued   6,845        

to provide moneys for the school districts facilities fund         6,846        

created in section 3318.23 of the Revised Code, means any or all   6,847        

of the following:                                                  6,848        

      (1)  Moneys from the sale of classroom facilities accruing   6,850        

in the public school building fund created in section 3318.15 of   6,851        

the Revised Code, which moneys are pledged for the purpose of      6,852        

paying bond service charges on one or more issuances of such       6,853        

obligations.                                                       6,854        

      (2)  Moneys accruing to the state from the repayment,        6,856        

including interest, of loans from the school districts facilities  6,857        

                                                          152    


                                                                 
fund made pursuant to section 3318.24 of the Revised Code;         6,858        

      (3)  Accrued interest received from the sale of              6,860        

obligations;                                                       6,861        

      (4)  Income from the investment of the special funds;        6,863        

      (5)  Any gifts, grants, donations, and pledges, and          6,865        

receipts therefrom, available for the payment of bond service      6,866        

charges.                                                           6,867        

      (J)  "School district" means a school district as defined    6,869        

under division (D) of section 3318.01 of the Revised Code, acting  6,870        

as an agency of state government, performing essential             6,871        

governmental functions of state government pursuant to sections    6,872        

3318.21 to 3318.29 of the Revised Code.                                         

      (K)(J)  "Securities" means securities as defined under       6,874        

division (KK) in section 133.01 of the Revised Code.               6,875        

      (L)(K)  "Special funds" or "funds" means, except where the   6,877        

context does not permit, the bond service fund, and any other      6,878        

funds, including reserve funds, created under the bond             6,879        

proceedings, and either the school building program bond service   6,880        

fund created by division (R) of section 3318.26 of the Revised     6,881        

Code or the school facilities bond service fund created by         6,882        

division (S) of section 3318.26 of the Revised Code to the extent  6,883        

provided in the bond proceedings, including all moneys and         6,884        

investments, and earnings from investment, credited and to be      6,885        

credited thereto.                                                  6,886        

      Sec. 3318.25.  There is hereby created in the state          6,895        

treasury the school building program assistance fund.  The fund    6,896        

shall consist of the proceeds of obligations issued for the        6,897        

purposes of such fund pursuant to section 3318.26 of the Revised   6,898        

Code that are payable from moneys in the lottery profits           6,899        

education fund created in section 3770.06 of the Revised Code.     6,900        

All investment earnings of the fund shall be credited to the       6,901        

fund.  Moneys in the fund shall be used as directed by the Ohio    6,902        

school facilities commission for the cost to the state of          6,904        

acquiring CONSTRUCTING classroom facilities for sale to school     6,905        

                                                          153    


                                                                 
districts pursuant to UNDER sections 3318.01 to 3318.20 of the     6,906        

Revised Code.                                                      6,908        

      Sec. 3318.26.  (A)  Subject to the limitations provided in   6,917        

section 3318.29 of the Revised Code, the issuing authority, upon   6,918        

the certification by the Ohio school facilities commission to the  6,920        

issuing authority of the amount of moneys or additional moneys     6,921        

needed in the school districts facilities fund for the purpose of  6,922        

making loans for allowable costs from such fund or in the school   6,923        

building program assistance fund for the purposes of sections      6,924        

3318.01 to 3318.20 of the Revised Code, or needed for capitalized  6,925        

interest, for funding reserves, and for paying costs and expenses  6,926        

incurred in connection with the issuance, carrying, securing,      6,927        

paying, redeeming, or retirement of the obligations or any         6,928        

obligations refunded thereby, including payment of costs and       6,929        

expenses relating to letters of credit, lines of credit,           6,930        

insurance, put agreements, standby purchase agreements, indexing,  6,931        

marketing, remarketing and administrative arrangements, interest   6,932        

swap or hedging agreements, and any other credit enhancement,      6,933        

liquidity, remarketing, renewal, or refunding arrangements, all    6,934        

of which are authorized by this section, shall issue obligations   6,935        

of the state under this section in the required amount.  The       6,936        

proceeds of such obligations, except for obligations issued to     6,938        

provide moneys for the school building program assistance fund or  6,939        

except for such portion to be deposited in special funds,          6,940        

including reserve funds, as may be provided in the bond            6,941        

proceedings, shall as provided in the bond proceedings be          6,942        

deposited by the treasurer of state to the school districts        6,943        

facilities fund.  The issuing authority may appoint trustees,      6,944        

paying agents, and transfer agents and may retain the services of  6,945        

financial advisors and accounting experts and retain or contract   6,946        

for the services of marketing, remarketing, indexing, and          6,947        

administrative agents, other consultants, and independent          6,948        

contractors, including printing services, as are necessary in the  6,949        

issuing authority's judgment to carry out this section.  The       6,950        

                                                          154    


                                                                 
costs of such services are payable from the school districts       6,951        

facilities fund, the school building program assistance fund, or   6,952        

any special fund determined by the issuing authority.              6,953        

      (B)  The holders or owners of such obligations shall have    6,955        

no right to have moneys raised by taxation obligated or pledged,   6,956        

and moneys raised by taxation shall not be obligated or pledged,   6,957        

for the payment of bond service charges.  Such holders or owners   6,958        

shall have no rights to payment of bond service charges from any   6,959        

money or property received by the commission, treasurer of state,  6,962        

or the state, or from any other use of the proceeds of the sale    6,963        

of the obligations, and no such moneys may be used for the         6,964        

payment of bond service charges, except for accrued interest,      6,965        

capitalized interest, and reserves funded from proceeds received   6,966        

upon the sale of the obligations and except as otherwise           6,967        

expressly provided in the applicable bond proceedings pursuant to  6,968        

written directions by the treasurer of state.  The right of such   6,969        

holders and owners to payment of bond service charges shall be     6,970        

limited to all or that portion of the pledged receipts and those   6,971        

special funds pledged thereto pursuant to the bond proceedings in  6,972        

accordance with this section, and each such obligation shall bear  6,973        

on its face a statement to that effect.                                         

      (C)  Obligations shall be authorized by resolution or order  6,975        

of the issuing authority and the bond proceedings shall provide    6,976        

for the purpose thereof and the principal amount or amounts, and   6,977        

shall provide for or authorize the manner or agency for            6,978        

determining the principal maturity or maturities, not exceeding    6,979        

the limits specified in section 3318.29 of the Revised Code, the   6,980        

interest rate or rates or the maximum interest rate, the date of   6,981        

the obligations and the dates of payment of interest thereon,      6,982        

their denomination, and the establishment within or without the    6,983        

state of a place or places of payment of bond service charges.     6,984        

Sections 9.98 to 9.983 of the Revised Code are applicable to       6,985        

obligations issued under this section, subject to any applicable   6,986        

limitation under section 3318.29 of the Revised Code.  The         6,987        

                                                          155    


                                                                 
purpose of such obligations may be stated in the bond proceedings  6,988        

in terms describing the general purpose or purposes to be served.  6,989        

The bond proceedings shall also provide, subject to the            6,990        

provisions of any other applicable bond proceedings, for the       6,991        

pledge of all, or such part as the issuing authority may           6,992        

determine, of the pledged receipts and the applicable special      6,993        

fund or funds to the payment of bond service charges, which        6,994        

pledges may be made either prior or subordinate to other           6,995        

expenses, claims, or payments, and may be made to secure the       6,996        

obligations on a parity with obligations theretofore or            6,997        

thereafter issued, if and to the extent provided in the bond       6,998        

proceedings.  The pledged receipts and special funds so pledged    6,999        

and thereafter received by the state are immediately subject to    7,000        

the lien of such pledge without any physical delivery thereof or   7,001        

further act, and the lien of any such pledges is valid and         7,002        

binding against all parties having claims of any kind against the  7,003        

state or any governmental agency of the state, irrespective of     7,004        

whether such parties have notice thereof, and shall create a       7,005        

perfected security interest for all purposes of Chapter 1309. of   7,006        

the Revised Code, without the necessity for separation or          7,007        

delivery of funds or for the filing or recording of the bond       7,008        

proceedings by which such pledge is created or any certificate,    7,009        

statement or other document with respect thereto; and the pledge   7,010        

of such pledged receipts and special funds is effective and the    7,011        

money therefrom and thereof may be applied to the purposes for     7,012        

which pledged without necessity for any act of appropriation,      7,013        

except as required by section 3770.06 of the Revised Code.  Every  7,014        

pledge, and every covenant and agreement made with respect         7,015        

thereto, made in the bond proceedings may therein be extended to   7,016        

the benefit of the owners and holders of obligations authorized    7,017        

by this section, and to any trustee therefor, for the further      7,018        

security of the payment of the bond service charges.               7,019        

      (D)  The bond proceedings may contain additional provisions  7,021        

as to:                                                             7,022        

                                                          156    


                                                                 
      (1)  The redemption of obligations prior to maturity at the  7,024        

option of the issuing authority at such price or prices and under  7,025        

such terms and conditions as are provided in the bond              7,026        

proceedings;                                                       7,027        

      (2)  Other terms of the obligations;                         7,029        

      (3)  Limitations on the issuance of additional obligations;  7,031        

      (4)  The terms of any trust agreement or indenture securing  7,033        

the obligations or under which the same may be issued;             7,034        

      (5)  The deposit, investment and application of special      7,036        

funds, and the safeguarding of moneys on hand or on deposit,       7,037        

without regard to Chapter 131., 133., or 135. of the Revised       7,038        

Code, but subject to any special provisions of sections 3318.21    7,039        

to 3318.29 of the Revised Code, with respect to particular funds   7,040        

or moneys, provided that any bank or trust company that acts as    7,041        

depository of any moneys in the special funds may furnish such     7,042        

indemnifying bonds or may pledge such securities as required by    7,043        

the issuing authority;                                             7,044        

      (6)  Any or every provision of the bond proceedings being    7,046        

binding upon such officer, board, commission, authority, agency,   7,047        

department, or other person or body as may from time to time have  7,048        

the authority under law to take such actions as may be necessary   7,049        

to perform all or any part of the duty required by such            7,050        

provision;                                                         7,051        

      (7)  Any provision that may be made in a trust agreement or  7,054        

indenture;                                                                      

      (8)  The lease or sublease of any interest of the school     7,056        

district or the state in one or more projects as defined in        7,057        

division (C) of section 3318.01 of the Revised Code, or in one or  7,058        

more permanent improvements, to or from the issuing authority, as  7,059        

provided in one or more lease or sublease agreements between the                

school or the state and the issuing authority;                     7,060        

      (9)  Any other or additional agreements with the holders of  7,062        

the obligations, or the trustee therefor, relating to the          7,063        

obligations or the security therefor, including in the case of     7,064        

                                                          157    


                                                                 
obligations issued to provide moneys for the school district       7,065        

facilities fund the assignment of security obtained or to be       7,066        

obtained for loans under section 3318.24 of the Revised Code.      7,067        

      (E)  The obligations may have the great seal of the state    7,069        

or a facsimile thereof affixed thereto or printed thereon.  The    7,070        

obligations and any coupons pertaining to obligations shall be     7,071        

signed or bear the facsimile signature of the issuing authority.   7,072        

Any obligations or coupons may be executed by the person who, on   7,073        

the date of execution, is the proper issuing authority although    7,074        

on the date of such bonds or coupons such person was not the       7,075        

issuing authority.  In case the issuing authority whose signature  7,076        

or a facsimile of whose signature appears on any such obligation   7,077        

or coupon ceases to be the issuing authority before delivery       7,078        

thereof, such signature or facsimile is nevertheless valid and     7,079        

sufficient for all purposes as if the issuing authority had        7,080        

remained the issuing authority until such delivery; and in case    7,082        

the seal to be affixed to obligations has been changed after a     7,083        

facsimile of the seal has been imprinted on such obligations,      7,084        

such facsimile seal shall continue to be sufficient as to such     7,085        

obligations and obligations issued in substitution or exchange     7,086        

therefor.                                                                       

      (F)  All obligations are negotiable instruments and          7,088        

securities under Chapter 1308. of the Revised Code, subject to     7,089        

the provisions of the bond proceedings as to registration.  The    7,090        

obligations may be issued in coupon or in registered form, or      7,091        

both, as the issuing authority determines.  Provision may be made  7,092        

for the registration of any obligations with coupons attached      7,093        

thereto as to principal alone or as to both principal and          7,094        

interest, their exchange for obligations so registered, and for    7,095        

the conversion or reconversion into obligations with coupons       7,096        

attached thereto of any obligations registered as to both          7,097        

principal and interest, and for reasonable charges for such        7,098        

registration, exchange, conversion, and reconversion.              7,099        

      (G)  Obligations may be sold at public sale or at private    7,101        

                                                          158    


                                                                 
sale, as determined in the bond proceedings.                       7,102        

      (H)  Pending preparation of definitive obligations, the      7,104        

issuing authority may issue interim receipts or certificates       7,105        

which shall be exchanged for such definitive obligations.          7,106        

      (I)  In the discretion of the issuing authority,             7,108        

obligations may be secured additionally by a trust agreement or    7,109        

indenture between the issuing authority and a corporate trustee    7,110        

which may be any trust company or bank having its principal place  7,111        

of business within the state.  Any such agreement or indenture     7,112        

may contain the resolution or order authorizing the issuance of    7,113        

the obligations, any provisions that may be contained in any bond  7,114        

proceedings, and other provisions that are customary or            7,115        

appropriate in an agreement or indenture of such type, including,  7,116        

but not limited to:                                                7,117        

      (1)  Maintenance of each pledge, trust agreement,            7,119        

indenture, or other instrument comprising part of the bond         7,120        

proceedings until the state has fully paid the bond service        7,121        

charges on the obligations secured thereby, or provision therefor  7,122        

has been made;                                                     7,123        

      (2)  In the event of default in any payments required to be  7,125        

made by the bond proceedings, or any other agreement of the        7,126        

issuing authority made as a part of the contract under which the   7,127        

obligations were issued, enforcement of such payments or           7,128        

agreement by mandamus, the appointment of a receiver, suit in      7,129        

equity, action at law, or any combination of the foregoing;        7,130        

      (3)  The rights and remedies of the holders of obligations   7,132        

and of the trustee, and provisions for protecting and enforcing    7,133        

them, including limitations on rights of individual holders of     7,134        

obligations;                                                       7,135        

      (4)  The replacement of any obligations that become          7,137        

mutilated or are destroyed, lost, or stolen;                       7,138        

      (5)  Such other provisions as the trustee and the issuing    7,140        

authority agree upon, including limitations, conditions, or        7,141        

qualifications relating to any of the foregoing.                   7,142        

                                                          159    


                                                                 
      (J)  Any holder of obligations or a trustee under the bond   7,144        

proceedings, except to the extent that the holder's or trustee's   7,146        

rights are restricted by the bond proceedings, may by any          7,147        

suitable form of legal proceedings, protect and enforce any        7,148        

rights under the laws of this state or granted by such bond        7,149        

proceedings.  Such rights include the right to compel the          7,150        

performance of all duties of the issuing authority, the            7,151        

commission, or the director of budget and management required by   7,153        

sections 3318.21 to 3318.29 of the Revised Code or the bond        7,154        

proceedings; to enjoin unlawful activities; and in the event of    7,155        

default with respect to the payment of any bond service charges    7,156        

on any obligations or in the performance of any covenant or        7,157        

agreement on the part of the issuing authority, the commission,    7,158        

or the director of budget and management in the bond proceedings,  7,160        

to apply to a court having jurisdiction of the cause to appoint a  7,161        

receiver to receive and administer the pledged receipts and        7,162        

special funds, other than those in the custody of the treasurer    7,163        

of state or the commission, which are pledged to the payment of    7,165        

the bond service charges on such obligations or which are the      7,166        

subject of the covenant or agreement, with full power to pay, and  7,167        

to provide for payment of bond service charges on, such            7,168        

obligations, and with such powers, subject to the direction of     7,169        

the court, as are accorded receivers in general equity cases,      7,170        

excluding any power to pledge additional revenues or receipts or   7,171        

other income or moneys of the issuing authority or the state or    7,172        

governmental agencies of the state to the payment of such          7,173        

principal and interest and excluding the power to take possession  7,174        

of, mortgage, or cause the sale or otherwise dispose of any        7,175        

permanent improvement.                                             7,176        

      Each duty of the issuing authority and the issuing           7,178        

authority's officers and employees, and of each governmental       7,179        

agency and its officers, members, or employees, undertaken         7,180        

pursuant to the bond proceedings or any agreement or loan made     7,181        

under authority of sections 3318.21 to 3318.29 of the Revised      7,182        

                                                          160    


                                                                 
Code, and in every agreement by or with the issuing authority, is  7,183        

hereby established as a duty of the issuing authority, and of      7,184        

each such officer, member, or employee having authority to         7,185        

perform such duty, specifically enjoined by the law resulting      7,186        

from an office, trust, or station within the meaning of section    7,187        

2731.01 of the Revised Code.                                       7,188        

      The person who is at the time the issuing authority, or the  7,190        

issuing authority's officers or employees, are not liable in       7,191        

their personal capacities on any obligations issued by the         7,192        

issuing authority or any agreements of or with the issuing         7,193        

authority.                                                         7,194        

      (K)  The issuing authority may authorize and issue           7,196        

obligations for the refunding, including funding and retirement,   7,197        

and advance refunding with or without payment or redemption prior  7,198        

to maturity, of any obligations previously issued by the issuing   7,199        

authority.  Such obligations may be issued in amounts sufficient   7,200        

for payment of the principal amount of the prior obligations, any  7,201        

redemption premiums thereon, principal maturities of any such      7,202        

obligations maturing prior to the redemption of the remaining      7,203        

obligations on a parity therewith, interest accrued or to accrue   7,204        

to the maturity dates or dates of redemption of such obligations,  7,205        

and any allowable costs including expenses incurred or to be       7,206        

incurred in connection with such issuance and such refunding,      7,207        

funding, and retirement.  Subject to the bond proceedings          7,208        

therefor, the portion of proceeds of the sale of obligations       7,209        

issued under this division to be applied to bond service charges   7,210        

on the prior obligations shall be credited to an appropriate       7,211        

account held by the trustee for such prior or new obligations or   7,212        

to the appropriate account in the bond service fund for such       7,213        

obligations.  Obligations authorized under this division shall be  7,214        

deemed to be issued for those purposes for which such prior        7,215        

obligations were issued and are subject to the provisions of this  7,216        

section pertaining to other obligations, except as otherwise       7,217        

provided in this section; provided that, unless otherwise          7,218        

                                                          161    


                                                                 
authorized by the general assembly, any limitations imposed by     7,219        

the general assembly pursuant to this section with respect to      7,220        

bond service charges applicable to the prior obligations shall be  7,221        

applicable to the obligations issued under this division to        7,222        

refund, fund, advance refund or retire such prior obligations.     7,223        

      (L)  The authority to issue obligations under this section   7,225        

includes authority to refund or refinance any obligations          7,226        

previously issued by the state under sections 3318.21 to 3318.29   7,227        

of the Revised Code.                                               7,228        

      The authority to issue obligations under this section also   7,230        

includes authority to issue obligations in the form of bond        7,231        

anticipation notes and to renew the same from time to time by the  7,232        

issuance of new notes.  The holders of such notes or interest      7,233        

coupons pertaining thereto shall have a right to be paid solely    7,234        

from the pledged receipts and special funds that may be pledged    7,235        

to the payment of the bonds anticipated, or from the proceeds of   7,236        

such bonds or renewal notes, or both, as the issuing authority     7,237        

provides in the resolution or order authorizing such notes.  Such  7,238        

notes may be additionally secured by covenants of the issuing      7,239        

authority to the effect that the issuing authority and the state   7,240        

will do such or all things necessary for the issuance of such      7,241        

bonds or renewal notes in appropriate amount, and apply the        7,242        

proceeds thereof to the extent necessary, to make full payment of  7,243        

the principal of and interest on such notes at the time or times   7,244        

contemplated, as provided in such resolution or order.  For such   7,245        

purpose, the issuing authority may issue bonds or renewal notes    7,246        

in such principal amount and upon such terms as may be necessary   7,247        

to provide funds to pay when required the principal of and         7,248        

interest on such notes, notwithstanding any limitations            7,249        

prescribed by or for purposes of this section.  Subject to this    7,250        

division, all provisions for and references to obligations in      7,251        

this section are applicable to notes authorized under this         7,252        

division.                                                          7,253        

      The issuing authority in the bond proceedings authorizing    7,255        

                                                          162    


                                                                 
the issuance of bond anticipation notes shall set forth for such   7,256        

bonds an estimated interest rate and a schedule of principal       7,257        

payments for such bonds and the annual maturity dates thereof,     7,258        

and for purposes of any limitation on bond service charges         7,259        

prescribed under section 3318.29 of the Revised Code, the amount   7,260        

of bond service charges on such bond anticipation notes shall be   7,261        

deemed to be the bond service charges for the bonds anticipated    7,262        

thereby as set forth in the bond proceedings applicable to such    7,263        

notes, but this provision does not modify any authority in this    7,264        

section to pledge pledged receipts and special funds to, and       7,265        

covenant to issue bonds to fund, the payment of principal of and   7,266        

interest and any premium on such notes.                            7,267        

      (M)  Obligations issued under this section are lawful        7,269        

investments for banks, societies for savings, savings and loan     7,270        

associations, deposit guarantee associations, trust companies,     7,271        

trustees, fiduciaries, insurance companies, including domestic     7,272        

for life and domestic not for life, trustees or other officers     7,273        

having charge of sinking and bond retirement or other special      7,274        

funds of political subdivisions and taxing districts of this       7,275        

state, the commissioners of the sinking fund of the state, the     7,276        

administrator of workers' compensation, the state teachers         7,278        

retirement system, the public employees retirement system, the     7,279        

school employees retirement system, and the police and firemen's   7,280        

disability and pension fund, notwithstanding any other provisions  7,281        

of the Revised Code or rules adopted pursuant thereto by any       7,282        

governmental agency of the state with respect to investments by    7,283        

them, and also are acceptable as security for the deposit of       7,284        

public moneys.                                                                  

      (N)  Unless otherwise provided in any applicable bond        7,286        

proceedings, moneys to the credit of or in the special funds       7,287        

established by or pursuant to this section may be invested by or   7,288        

on behalf of the issuing authority only in notes, bonds, or other  7,289        

obligations of the United States, or of any agency or              7,290        

instrumentality of the United States, obligations guaranteed as    7,292        

                                                          163    


                                                                 
to principal and interest by the United States, obligations of     7,293        

this state or any political subdivision of this state, and         7,294        

certificates of deposit of any national bank located in this       7,296        

state and any bank, as defined in section 1101.01 of the Revised   7,297        

Code, subject to inspection by the superintendent of financial     7,298        

institutions.  If the law or the instrument creating a trust       7,300        

pursuant to division (I) of this section expressly permits         7,301        

investment in direct obligations of the United States or an        7,302        

agency of the United States, unless expressly prohibited by the    7,303        

instrument, such moneys also may be invested in no front end load  7,304        

money market mutual funds consisting exclusively of obligations    7,305        

of the United States or an agency of the United States and in      7,306        

repurchase agreements, including those issued by the fiduciary     7,307        

itself, secured by obligations of the United States or an agency   7,308        

of the United States; and in collective investment funds           7,309        

established in accordance with section 1111.14 of the Revised      7,311        

Code and consisting exclusively of any such securities,            7,312        

notwithstanding division (A)(1)(c) of that section.  The income    7,314        

from such investments shall be credited to such funds as the       7,316        

issuing authority determines, and such investments may be sold at  7,317        

such times as the issuing authority determines or authorizes.      7,318        

      (O)  Provision may be made in the applicable bond            7,320        

proceedings for the establishment of separate accounts in the      7,321        

bond service fund and for the application of such accounts only    7,322        

to the specified bond service charges on obligations pertinent to  7,323        

such accounts and bond service fund and for other accounts         7,324        

therein within the general purposes of such fund.  Unless          7,325        

otherwise provided in any applicable bond proceedings, moneys to   7,326        

the credit of or in the several special funds established          7,327        

pursuant to this section shall be disbursed on the order of the    7,328        

treasurer of state, provided that no such order is required for    7,329        

the payment from the bond service fund when due of bond service    7,330        

charges on obligations.                                            7,331        

      (P)  The issuing authority may pledge all, or such portion   7,333        

                                                          164    


                                                                 
as the issuing authority determines, of the pledged receipts to    7,334        

the payment of bond service charges on obligations issued under    7,335        

this section, and for the establishment and maintenance of any     7,336        

reserves, as provided in the bond proceedings, and make other      7,337        

provisions therein with respect to pledged receipts as authorized  7,338        

by this chapter, which provisions shall be controlling             7,339        

notwithstanding any other provisions of law pertaining thereto.    7,340        

      (Q)  The issuing authority may covenant in the bond          7,342        

proceedings, and any such covenants shall be controlling           7,343        

notwithstanding any other provision of law, that the state and     7,344        

applicable officers and governmental agencies of the state,        7,345        

including the general assembly, so long as any obligations are     7,347        

outstanding, shall:                                                             

      (1)  Maintain statutory authority for and cause to be        7,349        

operated the state lottery, including the transfers to and from    7,350        

the lottery profits education fund created in section 3770.06 of   7,351        

the Revised Code so that the pledged receipts shall be sufficient  7,352        

in amount to meet bond service charges, and the establishment and  7,353        

maintenance of any reserves and other requirements provided for    7,354        

in the bond proceedings;                                           7,355        

      (2)  Take or permit no action, by statute or otherwise,      7,357        

that would impair the exclusion from gross income for federal      7,358        

income tax purposes of the interest on any obligations designated  7,359        

by the bond proceeding as tax-exempt obligations.                  7,360        

      (R)  There is hereby created the school building program     7,362        

bond service fund, which shall be in the custody of the treasurer  7,363        

of state but shall be separate and apart from and not a part of    7,364        

the state treasury.  All moneys received by or on account of the   7,365        

issuing authority or state agencies and required by the            7,366        

applicable bond proceedings, consistent with this section, to be   7,367        

deposited, transferred, or credited to the school building         7,368        

program bond service fund, and all other moneys transferred or     7,369        

allocated to or received for the purposes of the fund, shall be    7,370        

deposited and credited to such fund and to any separate accounts   7,371        

                                                          165    


                                                                 
therein, subject to applicable provisions of the bond              7,372        

proceedings, but without necessity for any act of appropriation,   7,373        

except as required by section 3770.06 of the Revised Code.         7,374        

During the period beginning with the date of the first issuance    7,375        

of obligations and continuing during such time as any such         7,376        

obligations are outstanding, and so long as moneys in the school   7,377        

building program bond service fund are insufficient to pay all     7,378        

bond service charges on such obligations becoming due in each      7,379        

year, a sufficient amount of the moneys from the lottery profits   7,380        

education fund included in pledged receipts, subject to            7,381        

appropriation for such purpose as provided in section 3770.06 of   7,382        

the Revised Code, are committed and shall be paid to the school    7,383        

building program bond service fund in each year for the purpose    7,384        

of paying the bond service charges becoming due in that year.      7,385        

The school building program bond service fund is a trust fund and  7,386        

is hereby pledged to the payment of bond service charges solely    7,387        

on obligations issued to provide moneys for the school building    7,388        

program assistance fund to the extent provided in the applicable   7,389        

bond proceedings, and payment thereof from such fund shall be      7,390        

made or provided for by the treasurer of state in accordance with  7,391        

such bond proceedings without necessity for any act of             7,392        

appropriation except as required by section 3770.06 of the         7,393        

Revised Code.                                                      7,394        

      (S)  There is hereby created the school facilities bond      7,396        

service fund, which shall be in the custody of the treasurer of    7,397        

state but shall be separate and apart from and not a part of the   7,398        

state treasury.  All moneys received by or on account of the       7,399        

issuing authority or state agencies and required by the            7,400        

applicable bond proceedings, consistent with this section, to be   7,401        

deposited, transferred, or credited to the school facilities bond  7,402        

service fund, and all other moneys transferred or allocated to or  7,403        

received for the purposes of the fund, shall be deposited and      7,404        

credited to such fund and to any separate accounts therein,        7,405        

subject to applicable provisions of the bond proceedings, but      7,406        

                                                          166    


                                                                 
without necessity for any act of appropriation.  During the        7,407        

period beginning with the date of the first issuance of            7,408        

obligations and continuing during such time as any such            7,409        

obligations are outstanding, and so long as moneys in the school   7,410        

facilities bond service fund are insufficient to pay all bond      7,411        

service charges on such obligations becoming due in each year, a   7,412        

sufficient amount of the moneys from the public school building    7,413        

fund included in pledged receipts are committed and shall be paid  7,414        

to the bond service fund in each year for the purpose of paying    7,415        

the bond service charges becoming due in that year.  The school    7,416        

facilities bond service fund is a trust fund and is hereby         7,417        

pledged to the payment of bond service charges on obligations      7,418        

issued to provide moneys for the school districts facilities fund  7,419        

to the extent provided in the applicable bond proceedings, and     7,420        

payment thereof from such fund shall be made or provided for by    7,421        

the treasurer of state in accordance with such bond proceedings    7,422        

without necessity for any act or appropriation.                    7,423        

      (T)  The obligations, the transfer thereof, and the income   7,425        

therefrom, including any profit made on the sale thereof, at all   7,427        

times shall be free from taxation within the state.                             

      Sec. 3318.29.  The maximum maturity of any obligations       7,436        

issued pursuant to section 3318.26 of the Revised Code to provide  7,437        

moneys for the school building program assistance fund shall be    7,438        

ten years.  The terms of the obligations shall be such that in     7,439        

any fiscal year the aggregate amount of moneys from the lottery    7,440        

profits education fund, and not from other sources, that are       7,441        

pledged to pay bond service charges on obligations issued to       7,442        

provide moneys for the school building program assistance fund     7,443        

shall not exceed ten million dollars.                              7,444        

      As used in this section, "other sources" includes the        7,446        

annual investment income on special funds to the extent the        7,447        

income will be available for payment of any bond service charges   7,448        

in lieu of use of moneys from the lottery profits education fund.  7,449        

The annual investment income shall be estimated on the basis of    7,450        

                                                          167    


                                                                 
the expected funding of those special funds and assumed            7,451        

investment earnings thereon at a rate equal to the weighted        7,452        

average yield on investments of those special funds determined as  7,453        

of any date within sixty days immediately preceding the date of    7,454        

issuance of the bonds in respect of which the determination is     7,455        

being made.                                                        7,456        

      The determinations required by this section shall be made    7,458        

by the treasurer of state at the time of issuance of an issue of   7,459        

obligations and shall be conclusive for purposes of such issuance  7,460        

of obligations from and after their issuance and delivery.         7,461        

      The maximum maturity of obligations issued pursuant to       7,463        

section 3318.26 of the Revised Code to provide moneys for the      7,464        

school district facilities fund shall not exceed the maximum       7,465        

maturity of the loan made from such fund pursuant to section       7,466        

3318.24 of the Revised Code utilizing the proceeds of such         7,467        

obligations or ten years, whichever is less.  The terms of the     7,468        

obligations shall be such that in any fiscal year the aggregate    7,469        

amount of moneys from the public school building fund that are     7,470        

pledged to pay bond service charges on obligations issued to       7,471        

provide moneys for the school districts facilities fund shall not  7,472        

exceed an amount which shall be established by the Ohio school     7,473        

facilities commission.                                             7,474        

      Sec. 3318.31.  (A)  The Ohio school facilities commission    7,485        

may perform any act and ensure the performance of any function     7,486        

necessary or appropriate to carry out the purposes of, and         7,487        

exercise the powers granted under, sections 3318.01 to 3318.33     7,488        

AND SECTION 3318.36 of the Revised Code, including any of the      7,489        

following:                                                         7,490        

      (1)  Employ and fix the compensation of such employees as    7,494        

will facilitate the activities and purposes of the commission,     7,495        

and who shall serve at the pleasure of the commission.                          

      (2)  Adopt, amend, and rescind, pursuant to section 111.15   7,498        

of the Revised Code, rules for the administration of sections      7,500        

3318.01 to 3318.33 AND SECTION 3318.36 of the Revised Code.        7,502        

                                                          168    


                                                                 
      (3)  Contract with, retain the services of, or designate,    7,505        

and fix the compensation of, such agents, accountants,             7,506        

consultants, advisers, and other independent contractors as may    7,507        

be necessary or desirable to carry out the purposes of sections    7,508        

3318.01 to 3318.33 AND SECTION 3318.36 of the Revised Code.        7,509        

      (4)  Receive and accept any gifts, grants, donations, and    7,512        

pledges, and receipts therefrom, to be used for the purposes of    7,513        

sections 3318.01 to 3318.33 AND SECTION 3318.36 of the Revised     7,514        

Code.                                                                           

      (5)  Make and enter into all contracts, commitments, and     7,517        

agreements, and execute all instruments, necessary or incidental   7,518        

to the performance of its duties and the execution of its rights   7,519        

and powers under sections 3318.01 to 3318.33 AND SECTION 3318.36   7,520        

of the Revised Code.                                               7,521        

      (B)  The attorney general shall serve as the legal           7,524        

representative for the commission and may appoint other counsel                 

as necessary for that purpose in accordance with section 109.07    7,526        

of the Revised Code.                                               7,527        

      Sec. 3318.33.  (A)  THERE IS HEREBY CREATED IN THE STATE     7,529        

TREASURY THE OHIO SCHOOL FACILITIES COMMISSION FUND, WHICH SHALL   7,530        

CONSIST OF TRANSFERS OF MONEYS AUTHORIZED BY THE GENERAL ASSEMBLY  7,531        

AND REVENUES RECEIVED BY THE OHIO SCHOOL FACILITIES COMMISSION     7,532        

UNDER SECTION 3318.31 OF THE REVISED CODE.  INVESTMENT EARNINGS    7,534        

ON MONEYS IN THE FUND SHALL BE CREDITED TO THE FUND.  MONEYS IN                 

THE FUND MAY BE USED BY THE COMMISSION TO PAY PERSONNEL AND OTHER  7,536        

ADMINISTRATIVE EXPENSES, TO PAY THE COST OF CONDUCTING                          

EVALUATIONS OF CLASSROOM FACILITIES, TO PAY THE COST OF PREPARING  7,537        

BUILDING DESIGN SPECIFICATIONS, TO PAY THE COST OF PROVIDING       7,538        

PROJECT MANAGEMENT SERVICES, AND FOR OTHER PURPOSES DETERMINED BY  7,539        

THE COMMISSION TO BE NECESSARY TO FULFILL ITS DUTIES UNDER         7,540        

CHAPTER 3318. OF THE REVISED CODE.                                 7,541        

      (B)  THE DIRECTOR OF BUDGET AND MANAGEMENT MAY TRANSFER TO   7,543        

THE OHIO SCHOOL FACILITIES COMMISSION FUND THE INVESTMENT          7,544        

EARNINGS ON THE PUBLIC SCHOOL BUILDING FUND, CREATED IN SECTION    7,545        

                                                          169    


                                                                 
3318.15 OF THE REVISED CODE.  THE DIRECTOR OF BUDGET AND           7,546        

MANAGEMENT MAY TRANSFER TO THE OHIO SCHOOL FACILITIES COMMISSION   7,547        

FUND THE INVESTMENT EARNINGS ON THE SCHOOL BUILDING PROGRAM        7,548        

ASSISTANCE FUND, CREATED UNDER SECTION 3318.25 OF THE REVISED      7,549        

CODE, IN EXCESS OF THE AMOUNTS NEEDED TO MEET ESTIMATED FEDERAL    7,550        

ARBITRAGE REBATE REQUIREMENTS.                                                  

      Sec. 3318.35.  (A)  As used in this section:                 7,559        

      (1)  "Adjusted valuation per pupil" has MEANS the same       7,561        

meaning as in AMOUNT CALCULATED FOR A DISTRICT BY THE DEPARTMENT   7,562        

OF EDUCATION UNDER DIVISION (A) OF section 3317.0213 3318.011 of   7,564        

the Revised Code.                                                               

      (2)  "Ohio school facilities commission" has the same        7,567        

meaning as in section 3318.01 of the Revised Code.                 7,568        

      (B)  The Ohio school facilities commission shall establish   7,571        

and administer the emergency school building repair program.       7,572        

Under the program, the commission shall distribute moneys          7,573        

appropriated by the general assembly for such purpose to school    7,574        

districts, beginning with those districts with an A CURRENT,       7,575        

ONE-YEAR adjusted valuation per pupil less than the CURRENT,       7,577        

ONE-YEAR adjusted valuation per pupil of the school district with  7,578        

the two hundred ninety-third lowest adjusted valuation per pupil   7,579        

in the state.  The commission shall submit to the controlling      7,581        

board for its approval or disapproval requests for allocations of  7,583        

lump sums of money from which the commission may disburse funds    7,584        

to school districts upon determining that the districts qualify    7,585        

for emergency building repair assistance.  Any school district     7,587        

that receives moneys under this section shall expend them only to  7,588        

repair the following:                                                           

      (1)  Heating systems;                                        7,590        

      (2)  Floors, roofs, and exterior doors;                      7,592        

      (3)  Air ducts and other air ventilation devices;            7,595        

      (4)  Emergency exit or egress passageway lighting;           7,597        

      (5)  Fire alarm systems;                                     7,599        

      (6)  Handicapped access needs;                               7,601        

                                                          170    


                                                                 
      (7)  Sewage systems;                                         7,603        

      (8)  Water supplies;                                         7,605        

      (9)  Asbestos removal; and                                   7,607        

      (10)  Any other repairs to a school building that meet the   7,610        

requirements of the life safety code, as interpreted by the        7,611        

commission.                                                                     

      (C)  The Ohio school facilities commission shall adopt       7,614        

rules in accordance with Chapter 119. of the Revised Code          7,615        

necessary to carry out its duties and responsibilities under this  7,616        

section.                                                                        

      Sec. 3318.36.  (A)  AS USED IN THIS SECTION:                 7,618        

      (1)  "OHIO SCHOOL FACILITIES COMMISSION," "CLASSROOM         7,620        

FACILITIES," "SCHOOL DISTRICT," "SCHOOL DISTRICT BOARD," "NET      7,621        

BONDED INDEBTEDNESS," "REQUIRED PERCENTAGE OF THE BASIC PROJECT    7,622        

COSTS," "BASIC PROJECT COST," "VALUATION," AND "PERCENTILE" HAVE   7,623        

THE SAME MEANINGS AS IN SECTION 3318.01 OF THE REVISED CODE.       7,624        

      (2)  "REQUIRED LEVEL OF INDEBTEDNESS" MEANS FIVE PER CENT    7,626        

OF THE SCHOOL DISTRICT'S VALUATION FOR THE YEAR PRECEDING THE      7,627        

YEAR IN WHICH THE COMMISSION AND SCHOOL DISTRICT ENTER INTO AN     7,628        

AGREEMENT UNDER DIVISION (B) OF THIS SECTION, PLUS [TWO            7,630        

ONE-HUNDREDTHS OF ONE PER CENT MULTIPLIED BY (THE PERCENTILE IN    7,631        

WHICH THE DISTRICT RANKS IN THE FISCAL YEAR THE COMMISSION AND     7,632        

THE SCHOOL DISTRICT ENTER INTO SUCH AGREEMENT MINUS ONE)<.         7,633        

      (B)  THERE IS HEREBY ESTABLISHED THE SCHOOL BUILDING         7,635        

ASSISTANCE EXPEDITED LOCAL PARTNERSHIP PROGRAM.  UNDER THE         7,636        

PROGRAM, THE OHIO SCHOOL FACILITIES COMMISSION MAY ENTER INTO AN   7,637        

AGREEMENT WITH THE SCHOOL DISTRICT BOARD OF ANY SCHOOL DISTRICT    7,639        

RANKED IN THE TWENTIETH TO FORTIETH PERCENTILES, AS DETERMINED                  

UNDER SECTION 3318.011 OF THE REVISED CODE IN THE FISCAL YEAR      7,641        

THAT THE COMMISSION AND SCHOOL DISTRICT BOARD ENTER INTO SUCH      7,643        

AGREEMENT.  UNDER THE AGREEMENT, THE SCHOOL DISTRICT BOARD MAY     7,644        

PROCEED WITH THE NEW CONSTRUCTION OR MAJOR REPAIRS OF A PART OF    7,645        

THE SCHOOL DISTRICT'S CLASSROOM FACILITIES NEEDS, AS DETERMINED    7,646        

UNDER SECTIONS 3318.01 TO 3318.20 OF THE REVISED CODE, THROUGH     7,647        

                                                          171    


                                                                 
THE EXPENDITURE OF LOCAL RESOURCES PRIOR TO THE SCHOOL DISTRICT'S  7,648        

ELIGIBILITY FOR STATE ASSISTANCE UNDER SECTIONS 3318.01 TO         7,649        

3318.20 OF THE REVISED CODE AND MAY APPLY THAT EXPENDITURE TOWARD  7,650        

MEETING THE SCHOOL DISTRICT'S PORTION OF THE BASIC PROJECT COST    7,651        

OF THE TOTAL OF THE SCHOOL DISTRICT'S CLASSROOM FACILITIES NEEDS,  7,653        

AS DETERMINED UNDER SECTIONS 3318.01 TO 3318.20 OF THE REVISED     7,654        

CODE AND AS RECALCULATED UNDER DIVISION (E) OF THIS SECTION, THAT  7,655        

ARE ELIGIBLE FOR STATE ASSISTANCE UNDER SECTIONS 3318.01 TO        7,656        

3318.20 OF THE REVISED CODE WHEN THE SCHOOL DISTRICT BECOMES       7,658        

ELIGIBLE FOR SUCH STATE ASSISTANCE.                                             

      THE COMMISSION MAY ENTER INTO AN AGREEMENT UNDER THIS        7,660        

SECTION WITH NO MORE THAN FIVE SCHOOL DISTRICTS EACH YEAR.         7,661        

      TO PARTICIPATE IN THE PROGRAM, A SCHOOL DISTRICT BOARD       7,663        

SHALL FIRST ADOPT A RESOLUTION CERTIFYING TO THE COMMISSION THE    7,664        

BOARD'S INTENT TO PARTICIPATE IN THE PROGRAM.                      7,665        

      THE COMMISSION SHALL CONSIDER SCHOOL DISTRICTS FOR           7,667        

PARTICIPATION IN THE PROGRAM UNDER THIS SECTION EACH YEAR IN THE   7,668        

ORDER IN WHICH THEY ADOPT THE RESOLUTIONS REQUIRED UNDER THIS      7,669        

SECTION AND SUBMIT THEM TO THE COMMISSION.                                      

      ANY PROJECT UNDER THIS SECTION SHALL COMPLY WITH SECTION     7,671        

3318.03 OF THE REVISED CODE AND WITH ANY SPECIFICATIONS FOR PLANS  7,672        

AND MATERIALS FOR CLASSROOM FACILITIES ADOPTED BY THE COMMISSION   7,674        

UNDER SECTION 3318.04 OF THE REVISED CODE.                         7,675        

      (C)  IF THE COMMISSION AND A SCHOOL DISTRICT BOARD ENTER     7,677        

INTO AN AGREEMENT AUTHORIZED UNDER DIVISION (B) OF THIS SECTION,   7,678        

THE COMMISSION SHALL CONDUCT ON-SITE VISITS TO THE SCHOOL          7,679        

DISTRICT AND SHALL CONDUCT AN ASSESSMENT OF THE SCHOOL DISTRICT'S  7,681        

CLASSROOM FACILITIES NEEDS AS AUTHORIZED IN SECTION 3318.021 OF    7,682        

THE REVISED CODE WITHIN SIX MONTHS OF THE EXECUTION OF THE         7,683        

AGREEMENT.  BASED ON THE RESULTS OF THE ON-SITE VISITS AND         7,684        

ASSESSMENT, THE COMMISSION SHALL DETERMINE THE BASIC PROJECT COST  7,685        

OF THE SCHOOL DISTRICT'S CLASSROOM FACILITIES NEEDS.  THE          7,686        

COMMISSION SHALL DETERMINE THE SCHOOL DISTRICT'S PORTION OF SUCH   7,687        

BASIC PROJECT COST, WHICH SHALL BE THE GREATER OF:                 7,688        

                                                          172    


                                                                 
      (1)  THE REQUIRED PERCENTAGE OF THE BASIC PROJECT COSTS,     7,690        

DETERMINED BASED ON THE SCHOOL DISTRICT'S PERCENTILE RANKING IN    7,691        

THE FISCAL YEAR THE COMMISSION AND THE SCHOOL DISTRICT ENTER INTO  7,692        

THE AGREEMENT UNDER DIVISION (B) OF THIS SECTION;                  7,693        

      (2)  AN AMOUNT NECESSARY TO RAISE THE SCHOOL DISTRICT'S NET  7,695        

BONDED INDEBTEDNESS, AS OF THE FISCAL YEAR THE COMMISSION AND THE  7,696        

SCHOOL DISTRICT ENTER INTO THE AGREEMENT UNDER DIVISION (B) OF     7,697        

THIS SECTION, TO WITHIN FIVE THOUSAND DOLLARS OF THE REQUIRED      7,698        

LEVEL OF INDEBTEDNESS.                                                          

      (D)(1)  WHEN THE COMMISSION DETERMINES THE BASIC PROJECT     7,700        

COST OF THE CLASSROOM FACILITIES NEEDS OF A SCHOOL DISTRICT AND    7,701        

THE SCHOOL DISTRICT'S PORTION OF THAT BASIC PROJECT COST UNDER     7,703        

DIVISION (C) OF THIS SECTION, THE PROJECT SHALL BE CONDITIONALLY   7,704        

APPROVED. SUCH CONDITIONAL APPROVAL SHALL BE SUBMITTED TO THE      7,705        

CONTROLLING BOARD FOR APPROVAL THEREOF.  THE CONTROLLING BOARD     7,706        

SHALL FORTHWITH APPROVE OR REJECT THE COMMISSION'S DETERMINATION,  7,707        

CONDITIONAL APPROVAL, AND THE AMOUNT OF THE STATE'S PORTION OF     7,708        

THE BASIC PROJECT COST; HOWEVER, NO STATE FUNDS SHALL BE           7,709        

ENCUMBERED UNDER THIS SECTION.  UPON APPROVAL BY THE CONTROLLING   7,710        

BOARD, THE SCHOOL DISTRICT BOARD MAY IDENTIFY A DISCRETE PART OF   7,712        

ITS CLASSROOM FACILITIES NEEDS, WHICH SHALL INCLUDE ONLY NEW       7,713        

CONSTRUCTION OF OR ADDITIONS OR MAJOR REPAIRS TO A PARTICULAR      7,714        

BUILDING, TO ADDRESS WITH LOCAL RESOURCES.  UPON IDENTIFYING A     7,716        

PART OF THE SCHOOL DISTRICT'S BASIC PROJECT COST TO ADDRESS WITH   7,717        

LOCAL RESOURCES, THE SCHOOL DISTRICT BOARD MAY ALLOCATE ANY        7,718        

AVAILABLE SCHOOL DISTRICT MONEYS TO PAY THE COST OF THAT           7,719        

IDENTIFIED PART, INCLUDING THE PROCEEDS OF AN ISSUANCE OF BONDS                 

IF APPROVED BY THE ELECTORS OF THE SCHOOL DISTRICT.                7,721        

      ALL LOCAL RESOURCES UTILIZED UNDER THIS DIVISION SHALL       7,723        

FIRST BE DEPOSITED IN THE PROJECT CONSTRUCTION ACCOUNT REQUIRED    7,724        

UNDER SECTION 3318.08 OF THE REVISED CODE.                                      

      (2)  FOR A SCHOOL DISTRICT TO QUALIFY FOR PARTICIPATION IN   7,726        

THE PROGRAM AUTHORIZED UNDER THIS SECTION, THE ELECTORS OF THE     7,727        

SCHOOL DISTRICT BY A MAJORITY VOTE SHALL APPROVE THE LEVY OF       7,728        

                                                          173    


                                                                 
TAXES OUTSIDE THE TEN-MILL LIMITATION FOR A PERIOD NOT TO EXCEED   7,729        

TWENTY-THREE YEARS AT THE RATE OF ONE-HALF MILL FOR EACH DOLLAR    7,730        

OF VALUATION TO BE USED TO PAY THE COST OF MAINTAINING THE         7,731        

CLASSROOM FACILITIES INCLUDED IN THE BASIC PROJECT COST AS         7,732        

DETERMINED BY THE COMMISSION.  THE FORM OF THE BALLOT TO BE USED   7,733        

TO SUBMIT THE QUESTION WHETHER TO APPROVE THE TAX REQUIRED UNDER   7,734        

THIS DIVISION TO THE ELECTORS OF THE SCHOOL DISTRICT SHALL BE THE  7,735        

FORM FOR AN ADDITIONAL LEVY OF TAXES PRESCRIBED IN DIVISION (C)    7,736        

OF SECTION 3318.06 OF THE REVISED CODE.  PROCEEDS OF THIS          7,737        

ADDITIONAL LEVY OF TAXES SHALL BE DEPOSITED INTO A SEPARATE FUND   7,738        

AS SPECIFIED IN DIVISION (B) OF SECTION 3318.05 OF THE REVISED     7,739        

CODE.                                                                           

      (E)  IF THE SCHOOL DISTRICT BECOMES ELIGIBLE FOR STATE       7,741        

ASSISTANCE UNDER SECTIONS 3318.01 TO 3318.20 OF THE REVISED CODE   7,743        

BASED ON ITS PERCENTILE RANKING AS DETERMINED UNDER DIVISION (B)   7,744        

OF THIS SECTION, THE COMMISSION SHALL CONDUCT A NEW ASSESSMENT OF  7,745        

THE SCHOOL DISTRICT'S CLASSROOM FACILITIES NEEDS AND SHALL         7,746        

RECALCULATE THE BASIC PROJECT COST BASED ON THIS NEW ASSESSMENT.   7,747        

THE BASIC PROJECT COST RECALCULATED UNDER THIS DIVISION SHALL      7,748        

INCLUDE THE AMOUNT OF EXPENDITURES MADE BY THE SCHOOL DISTRICT     7,749        

BOARD UNDER DIVISION (D)(1) OF THIS SECTION.  THE COMMISSION                    

SHALL THEN RECALCULATE THE SCHOOL DISTRICT'S PORTION OF THE NEW    7,750        

BASIC PROJECT COST BY UTILIZING THE PROPORTION OF THE ORIGINAL     7,751        

BASIC PROJECT COST ASSIGNED TO THE SCHOOL DISTRICT AS ITS PORTION  7,752        

UNDER DIVISION (C) OF THIS SECTION.  THE COMMISSION SHALL DEDUCT   7,753        

THE EXPENDITURE OF SCHOOL DISTRICT MONEYS MADE UNDER DIVISION      7,754        

(D)(1) OF THIS SECTION FROM THE SCHOOL DISTRICT'S PORTION OF THE   7,755        

BASIC PROJECT COST AS RECALCULATED UNDER THIS DIVISION.  IF THE    7,756        

AMOUNT OF SCHOOL DISTRICT RESOURCES APPLIED BY THE SCHOOL          7,757        

DISTRICT BOARD TO THE SCHOOL DISTRICT'S PORTION OF THE BASIC       7,759        

PROJECT COST UNDER THIS SECTION IS LESS THAN THE TOTAL AMOUNT OF   7,760        

SUCH PORTION AS RECALCULATED UNDER THIS DIVISION, THE SCHOOL                    

DISTRICT BOARD BY A MAJORITY VOTE OF ALL OF ITS MEMBERS SHALL, IF  7,761        

IT DESIRES TO SEEK STATE ASSISTANCE UNDER SECTIONS 3318.01 TO      7,762        

                                                          174    


                                                                 
3318.20 OF THE REVISED CODE, ADOPT A RESOLUTION AS SPECIFIED IN    7,764        

SECTION 3318.06 OF THE REVISED CODE TO SUBMIT TO THE ELECTORS OF   7,766        

THE SCHOOL DISTRICT THE QUESTION OF APPROVAL OF A BOND ISSUE IN    7,767        

ORDER TO PAY ANY ADDITIONAL AMOUNT OF SCHOOL DISTRICT PORTION      7,768        

REQUIRED FOR STATE ASSISTANCE.  THE TAX LEVY APPROVED UNDER        7,769        

DIVISION (D)(2) OF THIS SECTION SHALL SATISFY THE REQUIREMENTS TO  7,770        

LEVY THE ONE-HALF MILL ADDITIONAL TAX UNDER SECTION 3318.06 OF     7,771        

THE REVISED CODE.                                                               

      IF THE AMOUNT OF SCHOOL DISTRICT RESOURCES APPLIED BY THE    7,773        

SCHOOL DISTRICT BOARD TO THE SCHOOL DISTRICT'S PORTION OF THE      7,774        

BASIC PROJECT COST UNDER THIS SECTION IS MORE THAN THE TOTAL       7,775        

AMOUNT OF SUCH PORTION AS RECALCULATED UNDER THIS DIVISION, THE    7,776        

COMMISSION MAY REIMBURSE TO THE SCHOOL DISTRICT THE DIFFERENCE     7,777        

BETWEEN THE TWO CALCULATED PORTIONS, BUT AT NO TIME SHALL THE      7,778        

COMMISSION EXPEND ANY STATE FUNDS ON A PROJECT IN AN AMOUNT        7,779        

GREATER THAN THE STATE'S PORTION OF THE BASIC PROJECT COST AS      7,780        

RECALCULATED UNDER THIS DIVISION.                                  7,781        

      Sec. 3319.22.  (A)  The state board of education shall       7,790        

adopt rules establishing the standards and requirements for        7,791        

obtaining temporary, associate, provisional, and professional      7,792        

educator licenses of any categories, types, and levels the board   7,793        

elects to provide.  However, no educator license shall be          7,794        

required for teaching children two years old or younger.                        

      (B)  Any rules the state board of education adopts, amends,  7,796        

or rescinds for educator licenses under this section, division     7,797        

(D) of section 3301.07 of the Revised Code, or any other law       7,798        

shall be adopted, amended, or rescinded under Chapter 119. of the  7,799        

Revised Code except as follows:                                    7,800        

      (1)  Notwithstanding division (D) of section 119.03 and      7,803        

division (A)(1) of section 119.04 of the Revised Code, the         7,804        

effective date of any rules, or amendment or rescission of any     7,805        

rules, shall not be as prescribed in division (D) of section       7,806        

119.03 and division (A)(1) of section 119.04 of the Revised Code.  7,807        

Instead, the rules or amendment or rescission of the rules shall   7,808        

                                                          175    


                                                                 
take effect only after the rules or amendment or rescission of     7,809        

the rules are filed with the chairpersons of the committees of     7,810        

the house of representatives and of the senate that are primarily  7,811        

responsible for consideration of education legislation and only    7,812        

after approval by the general assembly through adoption of a       7,813        

concurrent resolution by a majority of the members of both the                  

house of representatives and the senate.  The effective date of    7,814        

the rules shall be the later of the date on which the concurrent   7,815        

resolution is adopted by the second house or the date prescribed   7,816        

by section 3319.23 of the Revised Code.                                         

      (2)  Notwithstanding the authority to adopt, amend, or       7,818        

rescind emergency rules in division (F) of section 119.03 of the   7,819        

Revised Code, this authority shall not apply to the state board    7,820        

of education with regard to rules for educator licenses.           7,821        

      (C)(1)  The rules adopted under this section establishing    7,823        

standards requiring additional coursework for the renewal of any   7,824        

educator license shall require a school district and a chartered   7,825        

nonpublic school to establish local professional development       7,826        

committees.  In a nonpublic school, the chief administrative       7,827        

officer shall establish the committees in any manner acceptable                 

to such officer.  The committees established under this division   7,828        

shall determine whether coursework that a district or chartered    7,829        

nonpublic school teacher proposes to complete meets the            7,830        

requirement of the rules.  The rules shall establish a procedure   7,831        

by which a teacher may appeal the decision of a local              7,832        

professional development committee.                                             

      (2)  In any school district in which there is no exclusive   7,834        

representative established under Chapter 4117. of the Revised      7,835        

Code, the professional development committees shall be             7,836        

established as described in division (C)(2) of this section.       7,837        

      Not later than the effective date of the rules adopted       7,839        

under this section, the board of education of each school          7,840        

district shall establish the structure for one or more local       7,841        

professional development committees to be operated by such school  7,842        

                                                          176    


                                                                 
district.  The committee structure so established by a district                 

board shall remain in effect unless within thirty days prior to    7,843        

an anniversary of the date upon which the current committee        7,844        

structure was established, the board provides notice to all        7,845        

affected district employees that the committee structure is to be  7,846        

modified.  Professional development committees may have a                       

district-level or building-level scope of operations, and may be   7,847        

established with regard to particular grade or age levels for      7,849        

which an educator license is designated.                           7,850        

      Each professional development committee shall consist of at  7,852        

least three classroom teachers employed by the district, one       7,853        

principal employed by the district, and one other employee of the  7,854        

district appointed by the district superintendent.  For            7,855        

committees with a building-level scope, the teacher and principal  7,857        

members shall be assigned to that building, and the teacher                     

members shall be elected by majority vote of the classroom         7,858        

teachers assigned to that building.  For committees with a         7,859        

district-level scope, the teacher members shall be elected by      7,861        

majority vote of the classroom teachers of the district, and the   7,862        

principal member shall be elected by a majority vote of the                     

principals of the district, unless there are two or fewer          7,863        

principals employed by the district, in which case the one or two  7,864        

principals employed shall serve on the committee.  If a committee  7,865        

has a particular grade or age level scope, the teacher members     7,866        

shall be licensed to teach such grade or age levels, and shall be  7,867        

elected by majority vote of the classroom teachers holding such a               

license and the principal shall be elected by all principals       7,868        

serving in buildings where any such teachers serve.  The district  7,869        

superintendent shall appoint a replacement to fill any vacancy     7,870        

that occurs on a professional development committee, except in     7,871        

the case of vacancies among the elected classroom teacher                       

members, which shall be filled by vote of the remaining members    7,872        

of the committee so selected.                                      7,873        

      Terms of office on professional development committees       7,875        

                                                          177    


                                                                 
shall be prescribed by the district board establishing the         7,876        

committees.  The conduct of elections for members of professional  7,877        

development committees shall be prescribed by the district board   7,878        

establishing the committees.  A professional development                        

committee may include additional members, except that the          7,879        

majority of members on each such committee shall be classroom      7,880        

teachers employed by the district.  Any member appointed to fill   7,881        

a vacancy occurring prior to the expiration date of the term for   7,882        

which a predecessor was appointed shall hold office as a member    7,883        

for the remainder of that term.                                                 

      The initial meeting of any professional development          7,885        

committee, upon election and appointment of all committee          7,886        

members, shall be called by a member designated by the district    7,887        

superintendent.  At this initial meeting, the committee shall      7,888        

select a chairperson and such other officers the committee deems   7,889        

necessary, and shall adopt rules for the conduct of its meetings.               

Thereafter, the committee shall meet at the call of the            7,890        

chairperson or upon the filing of a petition with the district     7,891        

superintendent signed by a majority of the committee members       7,892        

calling for the committee to meet.                                              

      (3)  In the case of a school district in which an exclusive  7,894        

representative has been established pursuant to Chapter 4117. of   7,895        

the Revised Code, professional development committees shall be     7,896        

established in accordance with any collective bargaining           7,897        

agreement in effect in the district that includes provisions for                

such committees.                                                   7,898        

      If the collective bargaining agreement does not specify a    7,900        

different method for the selection of teacher members of the       7,901        

committees, the exclusive representative of the district's         7,902        

teachers shall select the teacher members.                                      

      If the collective bargaining agreement does not specify a    7,904        

different structure for the committees, the board of education of  7,905        

the school district shall establish the structure, including the   7,906        

number of committees and the number of teacher and administrative  7,907        

                                                          178    


                                                                 
members on each committee; the specific administrative members to  7,908        

be part of each committee; whether the scope of the committees     7,909        

will be district levels, building level LEVELS, or by type of      7,910        

grade or age levels for which educator licenses are designated;    7,911        

the lengths of terms for members; the manner of filling vacancies  7,912        

on the committees; and the frequency and time and place of         7,913        

meetings.  However, in all cases, except as provided in division   7,914        

(C)(4) of this section, there shall be a majority of teacher       7,915        

members of any professional development committee, there shall be  7,916        

at least five total members of any professional development                     

committee, and the exclusive representative shall designate        7,917        

replacement members in the case of vacancies among teacher         7,918        

members, unless the collective bargaining agreement specifies a    7,919        

different method of selecting such replacements.                   7,920        

      (4)  Whenever an administrator's coursework plan is being    7,923        

discussed or voted upon, the local professional development        7,924        

committee shall, at the request of one of its administrative       7,925        

members, cause a majority of the committee to consist of           7,926        

administrative members by reducing the number of teacher members   7,927        

voting on the plan.                                                7,928        

      (5)  A PUBLIC INSTITUTION OR AGENCY THAT PROVIDES            7,930        

EDUCATIONAL SERVICES AND EMPLOYS OR CONTRACTS FOR SERVICES OF      7,931        

LICENSED EDUCATORS MAY ESTABLISH A LOCAL PROFESSIONAL DEVELOPMENT  7,932        

COMMITTEE.  THE LOCAL PROFESSIONAL DEVELOPMENT COMMITTEE MAY       7,933        

DETERMINE WHETHER THE COURSEWORK THOSE EDUCATORS PROPOSE TO        7,934        

COMPLETE MEETS THE REQUIREMENT OF THE RULES ADOPTED UNDER THIS                  

SECTION FOR RENEWAL OF THEIR EDUCATOR LICENSES IF THE COMMITTEE'S  7,935        

STRUCTURE AND MEMBERSHIP IS APPROVED BY THE DEPARTMENT OF          7,936        

EDUCATION.  THE DEPARTMENT SHALL ISSUE GUIDELINES FOR THE          7,937        

STRUCTURE OF LOCAL PROFESSIONAL DEVELOPMENT COMMITTEES             7,938        

ESTABLISHED BY PUBLIC INSTITUTIONS OR AGENCIES.                                 

      Sec. 3319.235.  (A)  The standards for the preparation of    7,947        

teachers adopted under section 3319.23 of the Revised Code shall   7,948        

require any institution that provides a course of study for the    7,949        

                                                          179    


                                                                 
training of teachers to ensure that graduates of such course of    7,950        

study are skilled at integrating educational technology in the     7,951        

instruction of children, as evidenced by the graduate having                    

either demonstrated proficiency in such skills in a manner         7,952        

prescribed by the department of education or completed a course    7,953        

that includes training in such skills.                             7,954        

      (B)  The office of information, learning, and technology     7,957        

OHIO SCHOOLNET COMMISSION, established in division (B) of          7,958        

PURSUANT TO section 3301.80 of the Revised Code, shall establish   7,960        

model professional development programs to assist teachers who                  

completed their teacher preparation prior to the effective date    7,962        

of division (A) of this section to become skilled at integrating   7,963        

educational technology in the instruction of children.  The        7,964        

office COMMISSION shall provide technical assistance to school     7,966        

districts wishing to establish such programs.                                   

      Sec. 3324.01.  AS USED IN THIS SECTION AND SECTIONS 3324.02  7,968        

THROUGH 3324.06 OF THE REVISED CODE:                               7,969        

      (A)  "APPROVED" MEANS APPROVED BY THE DEPARTMENT OF          7,971        

EDUCATION AND INCLUDED ON THE LIST COMPILED BY THE DEPARTMENT      7,972        

UNDER SECTION 3324.02 OF THE REVISED CODE.                         7,973        

      (B)  "GIFTED" MEANS STUDENTS WHO PERFORM OR SHOW POTENTIAL   7,976        

FOR PERFORMING AT REMARKABLY HIGH LEVELS OF ACCOMPLISHMENT WHEN                 

COMPARED TO OTHERS OF THEIR AGE, EXPERIENCE, OR ENVIRONMENT AND    7,978        

WHO ARE IDENTIFIED UNDER DIVISION (A), (B), (C), OR (D) OF         7,979        

SECTION 3324.03 OF THE REVISED CODE.                               7,981        

      (C)  "SCHOOL DISTRICT" DOES NOT INCLUDE A JOINT VOCATIONAL   7,983        

SCHOOL DISTRICT.                                                   7,984        

      (D)  "SPECIFIC ACADEMIC ABILITY FIELD" MEANS ONE OR MORE OF  7,986        

THE FOLLOWING AREAS OF INSTRUCTION:                                7,987        

      (1)  MATHEMATICS;                                            7,989        

      (2)  SCIENCE;                                                7,991        

      (3)  READING, WRITING, OR A COMBINATION OF THESE SKILLS;     7,993        

      (4)  SOCIAL STUDIES.                                         7,995        

      Sec. 3324.02.  (A)  THE DEPARTMENT OF EDUCATION SHALL        7,997        

                                                          180    


                                                                 
CONSTRUCT LISTS OF EXISTING ASSESSMENT INSTRUMENTS IT APPROVES     7,998        

FOR USE BY SCHOOL DISTRICTS, AND MAY INCLUDE ON THE LISTS AND      7,999        

MAKE AVAILABLE TO SCHOOL DISTRICTS ADDITIONAL ASSESSMENT                        

INSTRUMENTS DEVELOPED BY THE DEPARTMENT.  WHEREVER POSSIBLE, THE   8,000        

DEPARTMENT SHALL APPROVE ASSESSMENT INSTRUMENTS THAT UTILIZE       8,001        

NATIONALLY RECOGNIZED STANDARDS FOR SCORING OR ARE NATIONALLY      8,002        

NORMED.  THE LISTS OF INSTRUMENTS SHALL INCLUDE:                   8,003        

      (1)  INITIAL SCREENING INSTRUMENTS FOR USE IN SELECTING      8,005        

POTENTIALLY GIFTED STUDENTS FOR FURTHER ASSESSMENT;                8,006        

      (2)  INSTRUMENTS FOR IDENTIFYING GIFTED STUDENTS UNDER       8,009        

SECTION 3324.03 OF THE REVISED CODE.                                            

      (B)  THE DEPARTMENT SHALL ALSO ADOPT RULES FOR THE           8,011        

ADMINISTRATION OF ANY TESTS OR ASSESSMENT INSTRUMENTS IT APPROVES  8,012        

ON THE LIST REQUIRED BY DIVISION (A) OF THIS SECTION AND FOR       8,013        

ESTABLISHING THE SCORES OR PERFORMANCE LEVELS REQUIRED UNDER       8,014        

SECTION 3324.03 OF THE REVISED CODE.                               8,015        

      (C)  THE DEPARTMENT SHALL ENSURE THAT THE APPROVED LIST OF   8,017        

ASSESSMENT INSTRUMENTS UNDER THIS SECTION INCLUDES INSTRUMENTS     8,018        

THAT ALLOW FOR APPROPRIATE SCREENING AND IDENTIFICATION OF GIFTED  8,019        

MINORITY AND DISADVANTAGED STUDENTS, CHILDREN WITH DISABILITIES,   8,021        

AND STUDENTS FOR WHOM ENGLISH IS A SECOND LANGUAGE.                             

      (D)  DISTRICTS SHALL SELECT SCREENING AND IDENTIFICATION     8,023        

INSTRUMENTS  FROM THE APPROVED LISTS FOR INCLUSION IN THEIR        8,024        

DISTRICT POLICIES.                                                 8,025        

      (E)  THE DEPARTMENT SHALL MAKE INITIAL LISTS OF APPROVED     8,027        

ASSESSMENT INSTRUMENTS AND THE RULES FOR THE ADMINISTRATION OF     8,028        

THE INSTRUMENTS AVAILABLE BY SEPTEMBER 1, 1999.                    8,029        

      Sec. 3324.03.  THE BOARD OF EDUCATION OF EACH SCHOOL         8,031        

DISTRICT SHALL IDENTIFY GIFTED STUDENTS IN GRADES KINDERGARTEN     8,032        

THROUGH TWELVE AS FOLLOWS:                                         8,033        

      (A)  A STUDENT SHALL BE IDENTIFIED AS EXHIBITING "SUPERIOR   8,035        

COGNITIVE ABILITY" IF THE STUDENT DID EITHER OF THE FOLLOWING      8,036        

WITHIN THE PRECEDING TWENTY-FOUR MONTHS:                           8,037        

      (1)  SCORED TWO STANDARD DEVIATIONS ABOVE THE MEAN, MINUS    8,039        

                                                          181    


                                                                 
THE STANDARD ERROR OF MEASUREMENT, ON AN APPROVED INDIVIDUAL       8,040        

STANDARDIZED INTELLIGENCE TEST ADMINISTERED BY A LICENSED          8,041        

PSYCHOLOGIST;                                                                   

      (2)  ACCOMPLISHED ANY ONE OF THE FOLLOWING:                  8,043        

      (a)  SCORED AT LEAST TWO STANDARD DEVIATIONS ABOVE THE       8,045        

MEAN, MINUS THE STANDARD ERROR OF MEASUREMENT, ON AN APPROVED      8,046        

STANDARDIZED GROUP INTELLIGENCE TEST;                              8,047        

      (b)  PERFORMED AT OR ABOVE THE NINETY-FIFTH PERCENTILE ON    8,049        

AN APPROVED INDIVIDUAL OR GROUP STANDARDIZED BASIC OR COMPOSITE    8,050        

BATTERY OF A NATIONALLY NORMED ACHIEVEMENT TEST;                   8,051        

      (c)  ATTAINED AN APPROVED SCORE ON ONE OR MORE ABOVE-GRADE   8,053        

LEVEL STANDARDIZED, NATIONALLY NORMED APPROVED TESTS.              8,054        

      (B)  A STUDENT SHALL BE IDENTIFIED AS EXHIBITING "SPECIFIC   8,056        

ACADEMIC ABILITY" SUPERIOR TO THAT OF CHILDREN OF SIMILAR AGE IN   8,057        

A SPECIFIC ACADEMIC ABILITY FIELD IF WITHIN THE PRECEDING          8,059        

TWENTY-FOUR MONTHS THE STUDENT PERFORMS AT OR ABOVE THE                         

NINETY-FIFTH PERCENTILE AT THE NATIONAL LEVEL ON AN APPROVED       8,061        

INDIVIDUAL OR GROUP STANDARDIZED ACHIEVEMENT TEST OF SPECIFIC      8,062        

ACADEMIC ABILITY IN THAT FIELD.  A STUDENT MAY BE IDENTIFIED AS    8,063        

GIFTED IN MORE THAN ONE SPECIFIC ACADEMIC ABILITY FIELD.           8,064        

      (C)  A STUDENT SHALL BE IDENTIFIED AS EXHIBITING "CREATIVE   8,066        

THINKING ABILITY" SUPERIOR TO CHILDREN OF A SIMILAR AGE, IF        8,067        

WITHIN THE PREVIOUS TWENTY-FOUR MONTHS,  THE STUDENT SCORED ONE    8,068        

STANDARD DEVIATION ABOVE THE MEAN, MINUS THE STANDARD ERROR OF     8,069        

MEASUREMENT, ON AN APPROVED INDIVIDUAL OR GROUP INTELLIGENCE TEST  8,070        

AND ALSO DID EITHER OF THE FOLLOWING:                              8,071        

      (1)  ATTAINED A SUFFICIENT SCORE, AS ESTABLISHED BY THE      8,073        

DEPARTMENT OF EDUCATION, ON AN APPROVED INDIVIDUAL OR GROUP TEST   8,074        

OF CREATIVE ABILITY;                                               8,075        

      (2)  EXHIBITED SUFFICIENT PERFORMANCE, AS ESTABLISHED BY     8,077        

THE DEPARTMENT OF EDUCATION, ON AN APPROVED CHECKLIST OF CREATIVE  8,078        

BEHAVIORS.                                                         8,079        

      (D)  A STUDENT SHALL BE IDENTIFIED AS EXHIBITING  "VISUAL    8,081        

OR PERFORMING ARTS ABILITY" SUPERIOR TO THAT OF CHILDREN OF        8,082        

                                                          182    


                                                                 
SIMILAR AGE IF THE STUDENT HAS DONE BOTH OF THE FOLLOWING:         8,083        

      (1)  DEMONSTRATED THROUGH A DISPLAY OF WORK, AN AUDITION,    8,085        

OR OTHER PERFORMANCE OR EXHIBITION, SUPERIOR ABILITY IN A VISUAL   8,086        

OR PERFORMING ARTS AREA;                                           8,087        

      (2)  EXHIBITED SUFFICIENT PERFORMANCE, AS ESTABLISHED BY     8,089        

THE DEPARTMENT OF EDUCATION, ON AN APPROVED CHECKLIST OF           8,090        

BEHAVIORS RELATED TO A SPECIFIC ARTS AREA.                         8,091        

      Sec. 3324.04.  THE BOARD OF EDUCATION OF EACH SCHOOL         8,093        

DISTRICT SHALL ADOPT A PLAN BY JANUARY 1, 2000, FOR IDENTIFYING    8,094        

GIFTED STUDENTS.  THE PLAN SHALL BE SUBMITTED TO THE DEPARTMENT    8,095        

OF EDUCATION FOR APPROVAL.  THE DEPARTMENT SHALL APPROVE THE PLAN  8,097        

WITHIN SIXTY DAYS IF IT CONTAINS ALL OF THE FOLLOWING:                          

      (A)  A DESCRIPTION OF THE  ASSESSMENT INSTRUMENTS FROM THE   8,099        

LIST ADOPTED BY THE DEPARTMENT THAT THE DISTRICT WILL USE TO       8,100        

SCREEN AND IDENTIFY GIFTED STUDENTS;                               8,101        

      (B)  ACCEPTABLE SCHEDULING PROCEDURES FOR SCREENING AND FOR  8,103        

ADMINISTERING ASSESSMENT INSTRUMENTS FOR IDENTIFYING GIFTED        8,104        

STUDENTS.  THESE PROCEDURES SHALL PROVIDE:                         8,106        

      (1)  AT LEAST TWO OPPORTUNITIES A YEAR FOR ASSESSMENT IN     8,108        

THE CASE OF STUDENTS REQUESTING ASSESSMENT OR RECOMMENDED FOR      8,109        

ASSESSMENT BY TEACHERS, PARENTS, OR OTHER STUDENTS;                8,110        

      (2)  ASSURANCE OF INCLUSION IN SCREENING AND ASSESSMENT      8,112        

PROCEDURES FOR MINORITY AND DISADVANTAGED STUDENTS, CHILDREN WITH  8,113        

DISABILITIES, AND STUDENTS FOR WHOM ENGLISH IS A SECOND LANGUAGE;  8,114        

      (3)  ASSURANCE THAT ANY STUDENT TRANSFERRING INTO THE        8,116        

DISTRICT WILL BE ASSESSED WITHIN NINETY DAYS OF THE TRANSFER AT    8,117        

THE REQUEST OF A PARENT.                                           8,118        

      (C)  PROCEDURES FOR NOTIFICATION OF PARENTS WITHIN THIRTY    8,120        

DAYS ABOUT THE RESULTS OF ANY SCREENING PROCEDURE OR ASSESSMENT    8,121        

INSTRUMENT AND THE PROVISION OF AN OPPORTUNITY FOR PARENTS TO      8,122        

APPEAL ANY DECISION ABOUT THE RESULTS OF ANY SCREENING PROCEDURE   8,123        

OR ASSESSMENT, THE SCHEDULING OF CHILDREN FOR ASSESSMENT, OR THE   8,124        

PLACEMENT OF A STUDENT IN ANY PROGRAM OR FOR RECEIPT OF SERVICES;  8,125        

      (D)  A COMMITMENT THAT THE DISTRICT WILL ACCEPT SCORES ON    8,127        

                                                          183    


                                                                 
ASSESSMENT INSTRUMENTS PROVIDED BY OTHER SCHOOL DISTRICTS OR       8,128        

TRAINED PERSONNEL OUTSIDE THE SCHOOL DISTRICT, PROVIDED THE        8,129        

ASSESSMENT INSTRUMENTS ARE ON THE LIST APPROVED BY THE DEPARTMENT  8,130        

OF EDUCATION UNDER SECTION 3324.02 OF THE REVISED CODE.            8,131        

      THE DISTRICT'S PLAN MAY PROVIDE FOR THE DISTRICT TO          8,133        

CONTRACT WITH ANY QUALIFIED PUBLIC OR PRIVATE SERVICE PROVIDER TO  8,134        

PROVIDE SCREENING OR ASSESSMENT SERVICES UNDER THE PLAN.           8,135        

      THE DEPARTMENT SHALL ASSIST ANY DISTRICT WHOSE PLAN IT       8,137        

DISAPPROVES UNDER THIS SECTION TO AMEND THE PLAN SO THAT IT MEETS  8,138        

THE REQUIREMENTS OF THIS SECTION.                                  8,139        

      Sec. 3324.05.  (A)  EACH SCHOOL DISTRICT SHALL SUBMIT AN     8,141        

ANNUAL REPORT TO THE DEPARTMENT OF EDUCATION SPECIFYING THE        8,142        

NUMBER OF STUDENTS IN EACH OF GRADES KINDERGARTEN THROUGH TWELFTH  8,143        

SCREENED, THE NUMBER ASSESSED, AND THE NUMBER IDENTIFIED AS        8,144        

GIFTED IN EACH CATEGORY SPECIFIED IN SECTION 3324.03 OF THE        8,145        

REVISED CODE.                                                                   

      (B)  THE DEPARTMENT OF EDUCATION SHALL AUDIT EACH SCHOOL     8,147        

DISTRICT'S IDENTIFICATION NUMBERS AT LEAST ONCE EVERY THREE YEARS  8,148        

AND MAY SELECT ANY DISTRICT AT RANDOM OR UPON COMPLAINT OR         8,150        

SUSPICION OF NONCOMPLIANCE FOR A FURTHER AUDIT TO DETERMINE                     

COMPLIANCE WITH SECTIONS 3324.03  TO 3324.06 OF THE REVISED CODE.  8,152        

      (C)  THE DEPARTMENT SHALL PROVIDE TECHNICAL ASSISTANCE TO    8,154        

ANY DISTRICT FOUND IN NONCOMPLIANCE UNDER DIVISION (B) OF THIS     8,155        

SECTION.  THE DEPARTMENT MAY REDUCE FUNDS RECEIVED BY THE          8,156        

DISTRICT UNDER CHAPTER 3317. OF THE REVISED CODE BY ANY AMOUNT IF  8,157        

THE DISTRICT CONTINUES TO BE NONCOMPLIANT.                         8,159        

      Sec. 3324.06.   THE BOARD OF EDUCATION OF EACH SCHOOL        8,161        

DISTRICT SHALL ADOPT A STATEMENT OF ITS POLICY FOR THE SCREENING   8,162        

AND IDENTIFICATION OF GIFTED STUDENTS AND SHALL DISTRIBUTE THE     8,163        

POLICY STATEMENT TO PARENTS.  THE POLICY STATEMENT SHALL SPECIFY:  8,164        

      (A)  THE CRITERIA AND METHODS THE DISTRICT USES TO SCREEN    8,166        

STUDENTS AND TO SELECT STUDENTS FOR FURTHER ASSESSMENT WHO         8,167        

PERFORM OR SHOW POTENTIAL FOR PERFORMING AT REMARKABLY HIGH        8,168        

LEVELS OF ACCOMPLISHMENT IN ONE OF THE GIFTED AREAS SPECIFIED IN   8,170        

                                                          184    


                                                                 
SECTION 3324.03 OF THE REVISED CODE;                                            

      (B)  THE SOURCES OF ASSESSMENT DATA THE DISTRICT USES TO     8,172        

SELECT STUDENTS FOR FURTHER TESTING AND AN EXPLANATION FOR         8,173        

PARENTS OF THE MULTIPLE ASSESSMENT INSTRUMENTS REQUIRED TO         8,175        

IDENTIFY GIFTED STUDENTS UNDER SECTION 3324.03 OF THE REVISED      8,176        

CODE;                                                                           

      (C)  AN EXPLANATION FOR PARENTS OF THE METHODS THE DISTRICT  8,178        

USES TO ENSURE EQUAL ACCESS TO SCREENING AND FURTHER ASSESSMENT    8,179        

BY ALL DISTRICT STUDENTS, INCLUDING MINORITY OR DISADVANTAGED      8,181        

STUDENTS, CHILDREN WITH DISABILITIES,  AND STUDENTS FOR WHOM       8,182        

ENGLISH IS A SECOND LANGUAGE;                                                   

      (D)  PROVISIONS TO ENSURE EQUAL OPPORTUNITY FOR ALL          8,184        

DISTRICT STUDENTS IDENTIFIED AS GIFTED TO RECEIVE ANY SERVICES     8,185        

OFFERED BY THE DISTRICT;                                           8,186        

      (E)  PROVISIONS FOR STUDENTS TO WITHDRAW FROM GIFTED         8,188        

PROGRAMS OR SERVICES, FOR REASSESSMENT OF STUDENTS, AND FOR        8,189        

ASSESSMENT OF STUDENTS TRANSFERRING INTO THE DISTRICT;             8,190        

      (F)  METHODS FOR RESOLVING DISAGREEMENTS BETWEEN PARENTS     8,192        

AND THE DISTRICT CONCERNING IDENTIFICATION AND PLACEMENT           8,193        

DECISIONS.                                                                      

      A COPY OF THE DISTRICT'S POLICY ADOPTED UNDER THIS SECTION   8,195        

SHALL ACCOMPANY THE DISTRICT'S PLAN SUBMITTED TO THE DEPARTMENT    8,196        

OF EDUCATION UNDER SECTION 3324.04 OF THE REVISED CODE.            8,197        

      Sec. 3332.05.  (A)  The state board of proprietary school    8,206        

registration shall issue a certificate of registration to an       8,207        

applicant of good reputation seeking to offer one or more          8,208        

programs upon receipt of the fee established in accordance with    8,209        

section 3332.07 of the Revised Code and upon determining the       8,210        

applicant has the facilities, resources, and faculty to provide    8,211        

students with the kind of instruction that it proposes to offer    8,212        

and meets the minimum standards of the board.  A certificate of    8,213        

registration shall be granted or denied within one hundred twenty  8,214        

days of the receipt of the application therefor by the board.  A   8,215        

person shall obtain a separate certificate for each location at    8,216        

                                                          185    


                                                                 
which he THE PERSON offers programs.  A THE FIRST certificate of   8,218        

registration ISSUED ON OR AFTER THE EFFECTIVE DATE OF THIS         8,219        

AMENDMENT FOR EACH NEW LOCATION IS VALID FOR ONE YEAR, UNLESS      8,220        

EARLIER REVOKED FOR CAUSE BY THE BOARD UNDER SECTION 3332.09 OF    8,221        

THE REVISED CODE.  ANY OTHER CERTIFICATE OF REGISTRATION is valid  8,222        

for two years, unless earlier revoked for cause by the board       8,223        

UNDER THAT SECTION.                                                8,224        

      (B)  The board shall issue program authorization for an      8,226        

associate degree, certificate, or diploma program to an applicant  8,227        

holding a certificate of registration issued pursuant to division  8,228        

(A) of this section upon receipt of the fee established in         8,229        

accordance with section 3332.07 of the Revised Code and upon       8,230        

determining the applicant has the facilities, resources, and       8,231        

faculty to provide students the kind of program it proposes to     8,232        

offer and meets the minimum standards of the state board.          8,233        

      The state board shall promptly furnish the Ohio board of     8,235        

regents a copy of all applications for issuance or renewal of      8,236        

program authorization to offer any associate degree program.       8,237        

Prior to the issuance or renewal of such program authorization     8,238        

the state board shall conduct an on-site visit of the school       8,239        

proposing the program.  A representative of the board of regents   8,240        

shall participate in the visit.  Within twenty-one days of the     8,241        

on-site visit the representative of the board of regents shall     8,242        

provide the state board with a written statement recommending      8,243        

approval or disapproval of the application.                        8,244        

      Any program authorization issued by the board under this     8,246        

division is valid only for the specified program at the location   8,247        

for which it is issued and does not cover any other program        8,248        

offered at the school or at other schools operated by the owner.   8,249        

Program authorization is valid for the period of time specified    8,250        

by the board, unless earlier suspended or revoked for cause by     8,251        

the board UNDER SECTION 3332.09 OF THE REVISED CODE.               8,252        

      (C)  The state board shall accept and review all             8,254        

applications for program authorization for baccalaureate,          8,255        

                                                          186    


                                                                 
master's, and doctoral degree programs only from schools holding   8,256        

certificates of registration issued by the board that have held    8,257        

such certificates for the ten previous consecutive years.  After   8,258        

review the board shall refer any application it finds valid to     8,259        

the Ohio board of regents for approval.  The board of regents      8,260        

shall review, and approve or disapprove, such degree programs and  8,261        

if so approved, issue certificates of authorization to such        8,262        

schools to offer such degree programs pursuant to Chapter 1713.    8,263        

of the Revised Code.  The board of regents shall notify the state  8,264        

board of proprietary school registration of each school            8,265        

registered with the state board that receives a certificate of     8,266        

authorization and the approval to offer any degree program.  Upon  8,267        

receipt of such notification and the fee established in            8,268        

accordance with section 3332.07 of the Revised Code, the state     8,269        

board shall review, and may issue program authorization to offer,  8,270        

such a degree program.  Any program authorization issued by the    8,271        

board under this division is valid only for the specified program  8,272        

at the location for which it is issued and does not cover any      8,273        

other program offered at the school or at other schools operated   8,274        

by the owner.  Program authorization is valid for the period of    8,275        

time specified by the board, unless earlier suspended or revoked   8,276        

for cause by the board UNDER SECTION 3332.09 OF THE REVISED CODE.  8,277        

The state board shall not issue such program authorization unless  8,279        

the degree program has been approved by the board of regents.      8,280        

      (D)  The board may cause an investigation to be made into    8,282        

the correctness of the information submitted in any application    8,283        

received under this section.  If the board believes that false,    8,284        

misleading, or incomplete information has been submitted to it in  8,285        

connection with any application, the board shall conduct a         8,286        

hearing on the matter pursuant to Chapter 119. of the Revised      8,287        

Code, and may withhold a certificate of registration or program    8,288        

authorization upon finding that the applicant has failed to meet   8,289        

the standards for such certificate or program authorization or     8,290        

has submitted false, misleading, or incomplete information to the  8,291        

                                                          187    


                                                                 
board.  Application for a certificate of registration or program   8,292        

authorization shall be made in writing to the board on forms       8,293        

furnished by the board.   A certificate of registration or         8,294        

program authorization is not transferable and shall be             8,295        

prominently displayed on the premises of an institution.           8,296        

      The board shall assign registration numbers to all schools   8,298        

registered with it.  Schools shall display their registration      8,299        

numbers on all school publications and on all advertisements       8,300        

bearing the name of the school.                                    8,301        

      Notwithstanding the requirements of this section for         8,303        

issuance of certificates of registration and program               8,304        

authorization, the board may, in accordance with rules adopted by  8,305        

it, grant certificates of registration and program authorization   8,306        

to schools, colleges, institutes, or universities that have been   8,307        

approved by the state department of education pursuant to the      8,308        

"Act of March 3, 1966," 80 Stat. 20, 38 U.S.C.A. 1771.             8,309        

      Sec. 3332.07.  (A)  Each application for issuance and        8,318        

renewal of a certificate of registration, for the issuance and     8,319        

renewal of program authorization, for issuance and renewal of      8,320        

agent's permits, and for any other service specified by the state  8,321        

board of proprietary school registration shall be accompanied by   8,322        

the required fee.  Fees submitted under this section are not       8,323        

returnable even if approval or renewal is denied.                  8,324        

      (B)  Fee schedules for the issuance and renewal of           8,326        

certificates of registration, for the issuance and renewal of      8,327        

program authorization, for issuance and renewal of agent's         8,328        

permits, and for any other service specified by the board shall    8,329        

be established by rule adopted by the state board.  THE FEE FOR A  8,330        

ONE-YEAR CERTIFICATE OF REGISTRATION SHALL BE ONE-HALF THE FEE     8,331        

FOR A TWO-YEAR CERTIFICATE.                                        8,332        

      (C)  If in any fiscal year the amount received in fees       8,334        

under this section does not equal or exceed fifty per cent of      8,335        

board expenditures for the fiscal year, the board shall increase   8,336        

fees for the ensuing fiscal year by an amount estimated to be      8,337        

                                                          188    


                                                                 
sufficient to produce revenues equal to fifty per cent of          8,338        

estimated expenditures for that ensuing fiscal year.               8,339        

      Sec. 3333.04.  The Ohio board of regents shall:              8,348        

      (A)  Make studies of state policy in the field of higher     8,350        

education and formulate a master plan for higher education for     8,351        

the state, considering the needs of the people, the needs of the   8,352        

state, and the role of individual public and private institutions  8,353        

within the state in fulfilling these needs;                        8,354        

      (B)(1)  Report annually to the governor and the general      8,356        

assembly on the findings from its studies and the master plan for  8,357        

higher education for the state;                                    8,358        

      (2)  Report at least semiannually to the general assembly    8,360        

and the governor the enrollment numbers at each state-assisted     8,361        

institution of higher education.                                   8,362        

      (C)  Approve or disapprove the establishment of new          8,364        

branches or academic centers of state colleges and universities;   8,365        

      (D)  Approve or disapprove the establishment of state        8,367        

technical colleges or any other state institution of higher        8,368        

education;                                                         8,369        

      (E)  Recommend the nature of the programs, undergraduate,    8,371        

graduate, professional, state-financed research, and public        8,372        

services which should be offered by the state colleges,            8,373        

universities, and other state-assisted institutions of higher      8,374        

education in order to utilize to the best advantage their          8,375        

facilities and personnel;                                          8,376        

      (F)  Recommend to the state colleges, universities, and      8,378        

other state-assisted institutions of higher education graduate or  8,379        

professional programs, including, but not limited to, doctor of    8,380        

philosophy, doctor of education, and juris doctor programs, that   8,381        

could be eliminated because they constitute unnecessary            8,382        

duplication, as shall be determined using the process developed    8,383        

pursuant to this section, or for other good and sufficient cause.  8,384        

For purposes of determining the amounts of any state               8,385        

instructional subsidies paid to these colleges, universities, and  8,386        

                                                          189    


                                                                 
institutions, the board may exclude students enrolled in any       8,387        

program that the board has recommended for elimination pursuant    8,388        

to this division except that the board shall not exclude any such  8,389        

student who enrolled in the program prior to the date on which     8,390        

the board initially commences to exclude students under this       8,391        

division.  The board of regents and these colleges, universities,  8,392        

and institutions shall jointly develop a process for determining   8,393        

which existing graduate or professional programs constitute        8,394        

unnecessary duplication.                                           8,395        

      (G)  Recommend to the state colleges, universities, and      8,397        

other state-assisted institutions of higher education programs     8,398        

which should be added to their present programs;                   8,399        

      (H)  Conduct studies for the state colleges, universities,   8,401        

and other state-assisted institutions of higher education to       8,402        

assist them in making the best and most efficient use of their     8,403        

existing facilities and personnel;                                 8,404        

      (I)  Make recommendations to the governor and general        8,406        

assembly concerning the development of state-financed capital      8,407        

plans for higher education; the establishment of new state         8,408        

colleges, universities, and other state-assisted institutions of   8,409        

higher education; and the establishment of new programs at the     8,410        

existing state colleges, universities, and other institutions of   8,411        

higher education;                                                  8,412        

      (J)  Review the appropriation requests of the public         8,414        

community colleges and the state colleges and universities and     8,415        

submit to the office of budget and management and to the           8,416        

chairpersons of the finance committees of the house of             8,417        

representatives and of the senate its recommendations in regard    8,418        

to the biennial higher education appropriation for the state,      8,419        

including appropriations for the individual state colleges and     8,420        

universities and public community colleges.  For the purpose of    8,421        

determining the amounts of instructional subsidies to be paid to   8,422        

state-assisted colleges and universities, the board shall define   8,423        

"full-time equivalent student" by program per academic year.  The  8,424        

                                                          190    


                                                                 
definition may take into account the establishment of minimum      8,425        

enrollment levels in technical education programs below which      8,426        

support allowances will not be paid.  Except as otherwise          8,427        

provided in this section, the board shall make no change in the    8,428        

definition of "full-time equivalent student" in effect on          8,429        

November 15, 1981, which would increase or decrease the number of  8,430        

subsidy-eligible full-time equivalent students, without first      8,431        

submitting a fiscal impact statement to the president of the       8,432        

senate, the speaker of the house of representatives, the           8,433        

legislative budget office of the legislative service commission,   8,434        

and the director of budget and management.  The board shall work   8,435        

in close cooperation with the director of budget and management    8,436        

in this respect and in all other matters concerning the            8,437        

expenditures of appropriated funds by state colleges,              8,438        

universities, and other institutions of higher education.          8,439        

      (K)  Seek the cooperation and advice of the officers and     8,441        

trustees of both public and private colleges, universities, and    8,442        

other institutions of higher education in the state in performing  8,443        

its duties and making its plans, studies, and recommendations;     8,444        

      (L)  Appoint advisory committees consisting of persons       8,446        

associated with public or private secondary schools, members of    8,447        

the state board of education, or personnel of the state            8,448        

department of education;                                           8,449        

      (M)  Appoint advisory committees consisting of college and   8,451        

university personnel, or other persons knowledgeable in the field  8,452        

of higher education, or both, in order to obtain their advice and  8,453        

assistance in defining and suggesting solutions for the problems   8,454        

and needs of higher education in this state;                       8,455        

      (N)  Approve or disapprove all new degrees and new degree    8,457        

programs at all state colleges, universities, and other            8,458        

state-assisted institutions of higher education;                   8,459        

      (O)  Adopt such rules as are necessary to carry out its      8,461        

duties and responsibilities;                                       8,462        

      (P)  Establish and submit to the governor and the general    8,464        

                                                          191    


                                                                 
assembly a clear and measurable set of goals and timetables for    8,465        

their achievement for each program under the supervision of the    8,466        

board that is designed to accomplish any of the following:         8,467        

      (1)  Increased access to higher education;                   8,469        

      (2)  Job training;                                           8,471        

      (3)  Adult literacy;                                         8,473        

      (4)  Research;                                               8,475        

      (5)  Excellence in higher education;                         8,477        

      (6)  Reduction in the number of graduate programs within     8,479        

the same subject area.                                             8,480        

      In July of each odd-numbered year, the board of regents      8,482        

shall submit to the governor and the general assembly a report on  8,483        

progress made toward these goals.                                  8,484        

      (Q)  Make recommendations to the governor and the general    8,486        

assembly regarding the design and funding of the student           8,487        

financial aid programs specified in sections 3333.12, 3333.21 to   8,488        

3333.27, and 5910.02 of the Revised Code;                          8,489        

      (R)  Participate in education-related state or federal       8,491        

programs on behalf of the state and assume responsibility for the  8,492        

administration of such programs in accordance with applicable      8,493        

state or federal law;                                              8,494        

      (S)  Adopt rules for student financial aid programs as       8,497        

required by sections 3333.12, 3333.21 to 3333.27, 3333.28,         8,498        

3333.29, and 5910.02 of the Revised Code, and perform any other    8,499        

administrative functions assigned to the board by those sections;  8,501        

      (T)  Administer contracts under sections 3702.74 and         8,504        

3702.75 of the Revised Code in accordance with rules adopted by    8,506        

the director of health under section 3702.79 of the Revised Code;  8,507        

      (U)  REGULARLY MONITOR THE OCCUPANCY RATES OF STATE          8,509        

UNIVERSITIES' DORMITORY SYSTEMS FOR THE PURPOSE OF RECOGNIZING     8,510        

CIRCUMSTANCES IN WHICH THE FINANCIAL STABILITY OF THOSE            8,512        

INSTITUTIONS IS THREATENED BY THE UNAVOIDABLE COSTS OF DEBT                     

SERVICE AND PLANT MAINTENANCE.  IN CONJUNCTION WITH THE            8,513        

DEVELOPMENT OF BIENNIAL APPROPRIATION RECOMMENDATIONS, THE BOARD   8,514        

                                                          192    


                                                                 
SHALL REPORT TO THE GENERAL ASSEMBLY AND THE LEGISLATIVE SERVICE   8,515        

COMMISSION ITS RECOMMENDATIONS FOR FINANCIAL ASSISTANCE TO STATE   8,516        

UNIVERSITIES WHOSE DORMITORY OCCUPANCY RATES ARE LESS THAN         8,517        

SEVENTY-FIVE PER CENT OF DESIGNED CAPACITY AND WHOSE ABILITY TO    8,518        

MAINTAIN REQUIRED DEBT PAYMENTS AND REQUIRED PLANT MAINTENANCE     8,519        

MAY BE JEOPARDIZED.                                                8,520        

      (V)  CONDUCT ENROLLMENT AUDITS OF STATE-SUPPORTED            8,522        

INSTITUTIONS OF HIGHER EDUCATION;                                  8,523        

      (W)  APPOINT CONSORTIUMS OF COLLEGE AND UNIVERSITY           8,525        

PERSONNEL TO PARTICIPATE IN THE DEVELOPMENT AND OPERATION OF       8,526        

STATEWIDE COLLABORATIVE EFFORTS, INCLUDING THE OHIO SUPERCOMPUTER  8,527        

CENTER, THE OHIO ACADEMIC RESOURCES NETWORK, OHIOLINK, AND THE     8,529        

OHIO LEARNING NETWORK.  FOR EACH CONSORTIUM, THE BOARD SHALL       8,530        

DESIGNATE A COLLEGE OR UNIVERSITY TO SERVE AS THAT CONSORTIUM'S    8,531        

FISCAL AGENT, FINANCIAL OFFICER, AND EMPLOYER.  ANY FUNDS          8,532        

APPROPRIATED TO THE BOARD FOR CONSORTIUMS SHALL BE DISTRIBUTED TO  8,533        

THE FISCAL AGENTS FOR THE OPERATION OF THE CONSORTIUMS.  A         8,534        

CONSORTIUM SHALL FOLLOW THE RULES OF THE COLLEGE OR UNIVERSITY     8,535        

THAT SERVES AS ITS FISCAL AGENT.                                   8,536        

      Sec. 3333.12.  (A)  As used in this section:                 8,545        

      (1)  "Eligible student" means an undergraduate student who   8,547        

is:                                                                8,548        

      (a)  An Ohio resident;                                       8,550        

      (b)  Enrolled in either of the following:                    8,552        

      (i)  An accredited institution of higher education in this   8,554        

state that meets the requirements of Title VI of the Civil Rights  8,555        

Act of 1964 and is state-assisted, is nonprofit and has a          8,556        

certificate of authorization from the Ohio board of regents        8,557        

pursuant to Chapter 1713. of the Revised Code, or has a            8,558        

certificate of registration from the state board of proprietary    8,559        

school registration and program authorization to award an          8,560        

associate or bachelor's degree.  Students who attend an            8,561        

institution that holds a certificate of registration shall be      8,562        

enrolled in a program leading to an associate or bachelor's        8,563        

                                                          193    


                                                                 
degree for which associate or bachelor's degree program the        8,564        

institution has program authorization issued under section         8,565        

3332.05 of the Revised Code.                                       8,566        

      (ii)  A technical education program of at least two years    8,568        

duration sponsored by a private institution of higher education    8,569        

in this state that meets the requirements of Title VI of the       8,570        

Civil Rights Act of 1964.                                          8,571        

      (c)  Enrolled as a full-time student or enrolled as a less   8,573        

than full-time student for the term expected to be the student's   8,575        

final term of enrollment and is enrolled for the number of credit  8,576        

hours necessary to complete the requirements of the program in     8,577        

which the student is enrolled.                                     8,578        

      (2)  "Gross income" includes all taxable and nontaxable      8,580        

income of the parents, the student, and the student's spouse,      8,581        

except income derived from an Ohio academic scholarship and,       8,582        

income earned by the student between the last day of the spring    8,583        

term and the first day of the fall term, as published by the       8,584        

institution in which the student is enrolled.  In the case of      8,585        

self-employed persons, business expenses as defined by the Ohio    8,586        

board of regents shall be subtracted from taxable and nontaxable   8,588        

income.  Where no gross income or inadequate gross income as       8,589        

determined by the board is reported, the board shall establish a   8,590        

formula for determining the means by which the family maintained   8,591        

itself and translate the data into gross income for Ohio           8,592        

instructional grant purposes.  Family income may be verified by    8,593        

supplying to the board a copy of the federal government tax        8,594        

return, by authorizing access to the family federal government     8,595        

income tax return, AND OTHER INCOME EXCLUSIONS DESIGNATED BY THE   8,596        

BOARD.  GROSS INCOME MAY BE VERIFIED TO THE BOARD BY THE           8,597        

INSTITUTION IN WHICH THE STUDENT IS ENROLLED USING THE FEDERAL     8,598        

FINANCIAL AID ELIGIBILITY VERIFICATION PROCESS or by other means   8,600        

satisfactory to the board.                                                      

      (3)  "Resident," "full-time student," "dependent,"           8,602        

"financially independent," and "accredited" shall be defined by    8,603        

                                                          194    


                                                                 
rules adopted by the board.                                        8,604        

      (4)  "Federal law" means the "Higher Education Amendments    8,606        

of 1986," 101 Stat. 1278, 1408, 20 U.S.C.A. 1085, as amended.      8,607        

      (5)  "Default rate" means the cohort default rate            8,609        

determined by the United States secretary of education pursuant    8,610        

to federal law.                                                    8,611        

      (6)  "School year" means the twelve months that begin on     8,613        

the first day of August of a calendar year and end on the          8,614        

thirty-first day of July of the following calendar year.           8,615        

      (B)  The Ohio board of regents shall establish and           8,617        

administer an instructional grant program and may adopt rules to   8,618        

carry out this section.  The general assembly shall support the    8,619        

instructional grant program by such sums and in such manner as it  8,620        

may provide, but the board may also receive funds from other       8,621        

sources to support the program.  If the amounts available for      8,622        

support of the program are inadequate to provide grants to all     8,623        

eligible students, preference in the payment of grants shall be    8,624        

given in terms of income, beginning with the lowest income         8,625        

category of gross income and proceeding upward by category to the  8,626        

highest gross income category.                                     8,627        

      An instructional grant shall be paid to an eligible student  8,629        

through the institution in which the student is enrolled, except   8,631        

that no instructional grant shall be paid to any person serving a  8,632        

term of imprisonment.  Applications for such grants shall be made  8,634        

as prescribed by the board, and such applications may be made in   8,635        

conjunction with and upon the basis of information provided in     8,636        

conjunction with student assistance programs funded by agencies    8,637        

of the United States government or from financial resources of     8,638        

the institution of higher education.  The institution shall        8,639        

certify that the student applicant meets the requirements set      8,640        

forth in divisions (A)(1)(b) and (c) of this section.              8,641        

Instructional grants shall be provided to an eligible student      8,642        

only as long as the student is making appropriate progress toward  8,643        

a nursing diploma or an associate or bachelor's degree.  The       8,644        

                                                          195    


                                                                 
grant shall cover any two semesters, three quarters, or the        8,645        

equivalent of one academic year.  No student shall be eligible to  8,646        

receive a grant for more than ten semesters, fifteen quarters, or  8,647        

the equivalent of five academic years.  A grant made to an         8,648        

eligible student on the basis of less than full-time enrollment    8,649        

shall be based on the number of credit hours for which the         8,650        

student is enrolled and shall be computed in accordance with a     8,651        

formula adopted by the board.  No student shall receive more than  8,652        

one grant on the basis of less than full-time enrollment.          8,653        

      An instructional grant shall not exceed the total            8,655        

instructional and general charges of the institution.              8,656        

      (C)  For THE TABLES IN THIS DIVISION PRESCRIBE THE MAXIMUM   8,659        

GRANT AMOUNTS COVERING TWO SEMESTERS, THREE QUARTERS, OR A         8,660        

COMPARABLE PORTION OF ONE ACADEMIC YEAR.  GRANT AMOUNTS FOR        8,661        

ADDITIONAL TERMS IN THE SAME ACADEMIC YEAR SHALL BE DETERMINED     8,662        

UNDER DIVISION (D) OF THIS SECTION.                                8,663        

      FOR a full-time student who is a dependent and enrolled in   8,667        

a nonprofit educational institution that is not a state-assisted   8,668        

institution and that has a certificate of authorization issued     8,669        

pursuant to Chapter 1713. of the Revised Code, the amount of the   8,670        

instructional grant for TWO SEMESTERS, THREE QUARTERS, OR A        8,671        

COMPARABLE PORTION OF the academic year shall be determined in     8,673        

accordance with the following table:                                            

                         Table of Grants                           8,675        

                                   Maximum Grant $4,428 4,872      8,677        

Gross Income                       Number of Dependents            8,678        

                       1        2        3        4       5 or     8,685        

                                                          more                  

Under $11,001        $4,428   $4,428   $4,428   $4,428   $4,428    8,689        

$11,001 - $12,000     3,984    4,428    4,428    4,428    4,428    8,694        

$12,001 - $13,000     3,534    3,984    4,428    4,428    4,428    8,699        

$13,001 - $14,000     3,096    3,534    3,984    4,428    4,428    8,704        

$14,001 - $15,000     2,658    3,096    3,534    3,984    4,428    8,709        

$15,001 - $16,000     2,220    2,658    3,096    3,534    3,984    8,714        

                                                          196    


                                                                 
$16,001 - $17,000     1,770    2,220    2,658    3,096    3,534    8,720        

$17,001 - $20,000     1,320    1,770    2,220    2,658    3,096    8,726        

$20,001 - $23,000     1,092    1,320    1,770    2,220    2,658    8,732        

$23,001 - $26,000       882    1,092    1,320    1,770    2,220    8,737        

$26,001 - $29,000       804      882    1,092    1,320    1,770    8,742        

$29,001 - $31,000       720      804      882    1,092    1,320    8,747        

Over $31,000            -0-      -0-      -0-      -0-      -0-    8,748        

UNDER $13,001        $4,872   $4,872   $4,872   $4,872    $4,872   8,756        

$13,001 - $14,000     4,386    4,872    4,872    4,872     4,872   8,762        

$14,001 - $15,000     3,888    4,386    4,872    4,872     4,872   8,768        

$15,001 - $16,000     3,408    3,888    4,386    4,872     4,872   8,774        

$16,001 - $17,000     2,928    3,408    3,888    4,386     4,872   8,780        

$17,001 - $20,000     2,442    2,928    3,408    3,888     4,386   8,786        

$20,001 - $23,000     1,944    2,442    2,928    3,408     3,888   8,792        

$23,001 - $26,000     1,452    1,944    2,442    2,928     3,408   8,798        

$26,001 - $29,000     1,200    1,452    1,944    2,442     2,928   8,804        

$29,001 - $30,000       966    1,200    1,452    1,944     2,442   8,810        

$30,001 - $31,000       882      966    1,200    1,452     1,944   8,816        

$31,001 - $32,000       792      882      966    1,200     1,452   8,822        

$32,001 - $33,000       396      792      882      966     1,200   8,828        

$33,001 - $34,000       -0-      396      792      882       966   8,834        

$34,001 - $35,000       -0-      -0-      396      792       882   8,840        

$35,001 - $36,000       -0-      -0-      -0-      396       792   8,846        

$36,001 - $37,000       -0-      -0-      -0-      -0-       396   8,852        

OVER $37,000            -0-      -0-      -0-      -0-       -0-   8,858        

      For a full-time student who is financially independent and   8,861        

enrolled in a nonprofit educational institution that is not a      8,862        

state-assisted institution and that has a certificate of           8,863        

authorization issued pursuant to Chapter 1713. of the Revised      8,864        

Code, the amount of the instructional grant for TWO SEMESTERS,     8,866        

THREE QUARTERS, OR A COMPARABLE PORTION OF the academic year       8,867        

shall be determined in accordance with the following table:        8,868        

                         Table of Grants                           8,870        

                                   Maximum Grant $4,428 4,872      8,871        

                                                          197    


                                                                 
Gross Income                       Number of Dependents            8,872        

                     0       1       2      3      4      5 or     8,879        

                                                          more                  

Under $3,601       $4,428  $4,428  $4,428 $4,428 $4,428  $4,428    8,884        

$3,601 - $4,200     3,984   4,428   4,428  4,428  4,428   4,428    8,890        

$4,201 - $4,700     3,534   3,984   4,428  4,428  4,428   4,428    8,896        

$4,701 - $5,200     3,096   3,534   3,984  4,428  4,428   4,428    8,902        

$5,201 - $5,700     2,658   3,096   3,534  3,984  4,428   4,428    8,908        

$5,701 - $6,200 $   2,220   2,658   3,096  3,534  3,984   4,428    8,914        

$6,201 - $7,200     1,770   2,220   2,658  3,096  3,534   3,984    8,920        

$7,201 - $8,200     1,320   1,770   2,220  2,658  3,096   3,534    8,926        

$8,201 - $9,200     1,092   1,320   1,770  2,220  2,658   3,096    8,932        

$9,201 - $10,700      882   1,092   1,320  1,770  2,220   2,658    8,938        

$10,701 - $12,200     804     882   1,092  1,320  1,770   2,220    8,944        

$12,201 - $13,700     720     804     882  1,092  1,320   1,770    8,950        

$13,701 - $15,200     -0-     720     804    882  1,092   1,320    8,955        

$15,201 - $18,200     -0-     -0-     720    804    882   1,092    8,960        

$18,201 - $21,200     -0-     -0-     -0-    720    804     882    8,965        

$21,201 - $24,200     -0-     -0-     -0-    -0-    720     804    8,969        

$24,201 - $28,900     -0-     -0-     -0-    -0-    -0-     720    8,973        

Over $28,900          -0-     -0-     -0-    -0-    -0-     -0-    8,975        

UNDER $4,201       $4,872  $4,872  $4,872 $4,872 $4,872  $4,872    8,984        

$4,201 - $4,800     4,386   4,872   4,872  4,872  4,872   4,872    8,991        

$4,801 - $5,300     3,888   4,386   4,872  4,872  4,872   4,872    8,998        

$5,301 - $5,800     3,408   3,888   4,386  4,872  4,872   4,872    9,005        

$5,801 - $6,300     2,928   3,408   3,888  4,386  4,872   4,872    9,012        

$6,301 - $6,800     2,442   2,928   3,408  3,888  4,386   4,872    9,019        

$6,801 - $7,800     1,944   2,442   2,928  3,408  3,888   4,386    9,026        

$7,801 - $8,800     1,452   1,944   2,442  2,928  3,408   3,888    9,033        

$8,801 - $9,800     1,200   1,452   1,944  2,442  2,928   3,408    9,040        

$9,801 - $11,300      966   1,200   1,452  1,944  2,442   2,928    9,047        

$11,301 - $12,800     882     966   1,200  1,452  1,944   2,442    9,054        

$12,801 - $14,300     792     882     966  1,200  1,452   1,944    9,061        

$14,301 - $15,800     396     792     882    966  1,200   1,452    9,068        

                                                          198    


                                                                 
$15,801 - $18,800     -0-     396     792    882    966   1,200    9,075        

$18,801 - $21,800     -0-     -0-     396    792    882     966    9,082        

$21,801 - $24,800     -0-     -0-     -0-    396    792     882    9,089        

$24,801 - $29,500     -0-     -0-     -0-    -0-    396     792    9,096        

$29,501 - $34,500     -0-     -0-     -0-    -0-    -0-     396    9,103        

OVER $34,500          -0-     -0-     -0-    -0-    -0-     -0-    9,110        

      For a full-time student who is a dependent and enrolled in   9,113        

an educational institution that holds a certificate of             9,114        

registration from the state board of proprietary school            9,115        

registration, the amount of the instructional grant for TWO        9,117        

SEMESTERS, THREE QUARTERS, OR A COMPARABLE PORTION OF the          9,118        

academic year shall be determined in accordance with the                        

following table:                                                   9,119        

                         Table of Grants                           9,121        

                                   Maximum Grant $3,750 4,128      9,123        

Gross Income                       Number of Dependents            9,124        

                       1        2        3        4       5 or     9,132        

                                                          more                  

Under $11,001        $3,750   $3,750   $3,750   $3,750   $3,750    9,139        

$11,001 - $12,000     3,384    3,750    3,750    3,750    3,750    9,144        

$12,001 - $13,000     2,988    3,384    3,750    3,750    3,750    9,149        

$13,001 - $14,000     2,616    2,988    3,384    3,750    3,750    9,154        

$14,001 - $15,000     2,268    2,616    2,988    3,384    3,750    9,159        

$15,001 - $16,000     1,860    2,268    2,616    2,988    3,384    9,164        

$16,001 - $17,000     1,506    1,860    2,268    2,616    2,988    9,169        

$17,001 - $20,000     1,152    1,506    1,860    2,268    2,616    9,174        

$20,001 - $23,000       924    1,152    1,506    1,860    2,268    9,179        

$23,001 - $26,000       738      924    1,152    1,506    1,860    9,184        

$26,001 - $29,000       696      738      924    1,152    1,506    9,189        

$29,001 - $31,000       612      696      738      924    1,152    9,194        

Over $31,000            -0-      -0-      -0-      -0-      -0-    9,195        

UNDER $13,001        $4,128   $4,128   $4,128   $4,128   $4,128    9,203        

$13,001 - $14,000     3,726    4,128    4,128    4,128    4,128    9,209        

$14,001 - $15,000     3,288    3,726    4,128    4,128    4,128    9,215        

                                                          199    


                                                                 
$15,001 - $16,000     2,874    3,288    3,726    4,128    4,128    9,221        

$16,001 - $17,000     2,490    2,874    3,288    3,726    4,128    9,227        

$17,001 - $20,000     2,046    2,490    2,874    3,288    3,726    9,233        

$20,001 - $23,000     1,656    2,046    2,490    2,874    3,288    9,239        

$23,001 - $26,000     1,266    1,656    2,046    2,490    2,874    9,245        

$26,001 - $29,000     1,014    1,266    1,656    2,046    2,490    9,251        

$29,001 - $30,000       810    1,014    1,266    1,656    2,046    9,257        

$30,001 - $31,000       762      810    1,014    1,266    1,656    9,263        

$31,001 - $32,000       672      762      810    1,014    1,266    9,269        

$32,001 - $33,000       336      672      762      810    1,014    9,275        

$33,001 - $34,000       -0-      336      672      762      810    9,281        

$34,001 - $35,000       -0-      -0-      336      672      762    9,287        

$35,001 - $36,000       -0-      -0-      -0-      336      672    9,293        

$36,001 - $37,000       -0-      -0-      -0-      -0-      336    9,299        

OVER $37,000            -0-      -0-      -0-      -0-      -0-    9,305        

      For a full-time student who is financially independent and   9,308        

enrolled in an educational institution that holds a certificate    9,309        

of registration from the state board of proprietary school         9,310        

registration, the amount of the instructional grant for TWO        9,312        

SEMESTERS, THREE QUARTERS, OR A COMPARABLE PORTION OF the          9,313        

academic year shall be determined in accordance with the                        

following table:                                                   9,314        

                         Table of Grants                           9,316        

                                   Maximum Grant $3,750 4,128      9,317        

Gross Income                       Number of Dependents            9,318        

                     0       1       2      3      4      5 or     9,326        

                                                          more                  

Under $3,601        $3,750  $3,750  $3,750 $3,750 $3,750  $3,750   9,333        

$3,601 - $4,200      3,384   3,750   3,750  3,750  3,750   3,750   9,338        

$4,201 - $4,700      2,988   3,384   3,750  3,750  3,750   3,750   9,344        

$4,701 - $5,200      2,616   2,988   3,384  3,750  3,750   3,750   9,348        

$5,201 - $5,700      2,268   2,616   2,988  3,384  3,750   3,750   9,353        

$5,701 - $6,200      1,860   2,268   2,616  2,988  3,384   3,750   9,358        

$6,201 - $7,200      1,506   1,860   2,268  2,616  2,988   3,384   9,363        

                                                          200    


                                                                 
$7,201 - $8,200      1,152   1,506   1,860  2,268  2,616   2,988   9,369        

$8,201 - $9,200        924   1,152   1,506  1,860  2,268   2,616   9,373        

$9,201 - $10,700       738     924   1,152  1,506  1,860   2,268   9,378        

$10,701 - $12,200      696     738     924  1,152  1,506   1,860   9,383        

$12,201 - $13,700      612     696     738    924  1,152   1,506   9,388        

$13,701 - $15,200      -0-     612     696    738    924   1,152   9,393        

$15,201 - $18,200      -0-     -0-     612    696    738     924   9,398        

$18,201 - $21,200      -0-     -0-     -0-    612    696     738   9,403        

$21,201 - $24,200      -0-     -0-     -0-    -0-    612     696   9,407        

$24,201 - $28,900      -0-     -0-     -0-    -0-    -0-     612   9,411        

Over $28,900           -0-     -0-     -0-    -0-    -0-     -0-   9,412        

UNDER $4,201        $4,128  $4,128  $4,128 $4,128 $4,128  $4,128   9,421        

$4,201 - $4,800      3,726   4,128   4,128  4,128  4,128   4,128   9,428        

$4,801 - $5,300      3,288   3,726   4,128  4,128  4,128   4,128   9,435        

$5,301 - $5,800      2,874   3,288   3,726  4,128  4,128   4,128   9,442        

$5,801 - $6,300      2,490   2,874   3,288  3,726  4,128   4,128   9,449        

$6,301 - $6,800      2,046   2,490   2,874  3,288  3,726   4,128   9,456        

$6,801 - $7,800      1,656   2,046   2,490  2,874  3,288   3,726   9,463        

$7,801 - $8,800      1,266   1,656   2,046  2,490  2,874   3,288   9,470        

$8,801 - $9,800      1,014   1,266   1,656  2,046  2,490   2,874   9,477        

$9,801 - $11,300       810   1,014   1,266  1,656  2,046   2,490   9,484        

$11,301 - $12,800      762     810   1,014  1,266  1,656   2,046   9,491        

$12,801 - $14,300      672     762     810  1,014  1,266   1,656   9,498        

$14,301 - $15,800      336     672     762    810  1,014   1,266   9,505        

$15,801 - $18,800      -0-     336     672    762    810   1,014   9,512        

$18,801 - $21,800      -0-     -0-     336    672    762     810   9,519        

$21,801 - $24,800      -0-     -0-     -0-    336    672     762   9,526        

$24,801 - $29,500      -0-     -0-     -0-    -0-    336     672   9,533        

$29,501 - $34,500      -0-     -0-     -0-    -0-    -0-     336   9,540        

OVER $34,500           -0-     -0-     -0-    -0-    -0-     -0-   9,547        

      For a full-time student who is a dependent and enrolled in   9,550        

a state-assisted educational institution, the amount of the        9,551        

instructional grant for TWO SEMESTERS, THREE QUARTERS, OR A        9,553        

COMPARABLE PORTION OF the academic year shall be determined in     9,554        

                                                          201    


                                                                 
accordance with the following table:                               9,555        

                         Table of Grants                           9,557        

                                   Maximum Grant $1,782 1,956      9,558        

Gross Income                       Number of Dependents            9,559        

                       1        2        3        4       5 or     9,563        

                                                          more                  

Under $11,001        $1,782   $1,782   $1,782   $1,782   $1,782    9,567        

$11,001 - $12,000     1,602    1,782    1,782    1,782    1,782    9,572        

$12,001 - $13,000     1,416    1,602    1,782    1,782    1,782    9,577        

$13,001 - $14,000     1,254    1,416    1,602    1,782    1,782    9,582        

$14,001 - $15,000     1,074    1,254    1,416    1,602    1,782    9,587        

$15,001 - $16,000       882    1,074    1,254    1,416    1,602    9,592        

$16,001 - $17,000       708      882    1,074    1,254    1,416    9,597        

$17,001 - $20,000       534      708      882    1,074    1,254    9,602        

$20,001 - $23,000       432      534      708      882    1,074    9,607        

$23,001 - $26,000       348      432      534      708      882    9,612        

$26,001 - $29,000       324      348      432      534      708    9,617        

$29,001 - $31,000       294      324      348      432      534    9,622        

Over $31,000            -0-      -0-      -0-      -0-      -0-    9,624        

UNDER $13,001        $1,956   $1,956   $1,956   $1,956   $1,956    9,632        

$13,001 - $14,000     1,764    1,956    1,956    1,956    1,956    9,638        

$14,001 - $15,000     1,554    1,764    1,956    1,956    1,956    9,644        

$15,001 - $16,000     1,380    1,554    1,764    1,956    1,956    9,650        

$16,001 - $17,000     1,182    1,380    1,554    1,764    1,956    9,656        

$17,001 - $20,000       966    1,182    1,380    1,554    1,764    9,662        

$20,001 - $23,000       774      966    1,182    1,380    1,554    9,668        

$23,001 - $26,000       582      774      966    1,182    1,380    9,674        

$26,001 - $29,000       468      582      774      966    1,182    9,680        

$29,001 - $30,000       378      468      582      774      966    9,686        

$30,001 - $31,000       348      378      468      582      774    9,692        

$31,001 - $32,000       318      348      378      468      582    9,698        

$32,001 - $33,000       162      318      348      378      468    9,704        

$33,001 - $34,000       -0-      162      318      348      378    9,710        

$34,001 - $35,000       -0-      -0-      162      318      348    9,716        

                                                          202    


                                                                 
$35,001 - $36,000       -0-      -0-      -0-      162      318    9,722        

$36,001 - $37,000       -0-      -0-      -0-      -0-      162    9,728        

OVER $37,000            -0-      -0-      -0-      -0-      -0-    9,734        

      For a full-time student who is financially independent and   9,737        

enrolled in a state-assisted educational institution, the amount   9,738        

of the instructional grant for TWO SEMESTERS, THREE QUARTERS, OR   9,740        

A COMPARABLE PORTION OF the academic year shall be determined in   9,742        

accordance with the following table:                                            

                         Table of Grants                           9,744        

                                   Maximum Grant $1,782 1,956      9,745        

Gross Income                       Number of Dependents            9,746        

                     0       1       2      3      4      5 or     9,754        

                                                          more                  

Under $3,601       $1,782  $1,782  $1,782 $1,782 $1,782  $1,782    9,762        

$3,601 - $4,200     1,602   1,782   1,782  1,782  1,782   1,782    9,768        

$4,201 - $4,700     1,416   1,602   1,782  1,782  1,782   1,782    9,774        

$4,701 - $5,200     1,254   1,416   1,602  1,782  1,782   1,782    9,780        

$5,201 - $5,700     1,074   1,254   1,416  1,602  1,782   1,782    9,786        

$5,701 - $6,200       882   1,074   1,254  1,416  1,602   1,782    9,792        

$6,201 - $7,200       708     882   1,074  1,254  1,416   1,602    9,798        

$7,201 - $8,200       534     708     882  1,074  1,254   1,416    9,804        

$8,201 - $9,200       432     534     708    882  1,074   1,254    9,810        

$9,201 - $10,700      348     432     534    708    882   1,074    9,816        

$10,701 - $12,200     324     348     432    534    708     882    9,822        

$12,201 - $13,700     294     324     348    432    534     708    9,828        

$13,701 - $15,200     -0-     294     324    348    432     534    9,834        

$15,201 - $18,200     -0-     -0-     294    324    348     432    9,840        

$18,201 - $21,200     -0-     -0-     -0-    294    324     348    9,846        

$21,201 - $24,200     -0-     -0-     -0-    -0-    294     324    9,852        

$24,201 - $28,900     -0-     -0-     -0-    -0-    -0-     294    9,858        

Over $28,900          -0-     -0-     -0-    -0-    -0-     -0-    9,861        

UNDER $4,201       $1,956  $1,956  $1,956 $1,956 $1,956  $1,956    9,870        

 4,201 - $4,800     1,764   1,956   1,956  1,956  1,956   1,956    9,877        

$4,801 - $5,300     1,554   1,764   1,956  1,956  1,956   1,956    9,884        

                                                          203    


                                                                 
$5,301 - $5,800     1,380   1,554   1,764  1,956  1,956   1,956    9,891        

$5,801 - $6,300     1,182   1,380   1,554  1,764  1,956   1,956    9,898        

$6,301 - $6,800       966   1,182   1,380  1,554  1,764   1,956    9,905        

$6,801 - $7,800       774     966   1,182  1,380  1,554   1,764    9,912        

$7,801 - $8,800       582     774     966  1,182  1,380   1,554    9,919        

$8,801 - $9,800       468     582     774    966  1,182   1,380    9,926        

$9,801 - $11,300      378     468     582    774    966   1,182    9,933        

$11,301 - $12,800     348     378     468    582    774     966    9,940        

$12,801 - $14,300     318     348     378    468    582     774    9,947        

$14,301 - $15,800     162     318     348    378    468     582    9,954        

$15,801 - $18,800     -0-     162     318    348    378     468    9,961        

$18,801 - $21,800     -0-     -0-     162    318    348     378    9,968        

$21,801 - $24,800     -0-     -0-     -0-    162    318     348    9,975        

$24,801 - $29,500     -0-     -0-     -0-    -0-    162     318    9,982        

$29,501 - $34,500     -0-     -0-     -0-    -0-    -0-     162    9,989        

OVER $34,500          -0-     -0-     -0-    -0-    -0-     -0-    9,996        

      (D)  FOR A FULL-TIME STUDENT ENROLLED IN AN ELIGIBLE         9,999        

INSTITUTION FOR A SEMESTER OR QUARTER IN ADDITION TO THE PORTION   10,000       

OF THE ACADEMIC YEAR COVERED BY A GRANT DETERMINED UNDER DIVISION  10,001       

(C) OF THIS SECTION, THE MAXIMUM GRANT AMOUNT SHALL BE A           10,003       

PERCENTAGE OF THE MAXIMUM PRESCRIBED IN THE APPLICABLE TABLE OF    10,004       

THAT DIVISION.  THE MAXIMUM GRANT FOR A FOURTH QUARTER SHALL BE    10,005       

ONE-THIRD OF THE MAXIMUM AMOUNT PRESCRIBED UNDER THAT DIVISION.    10,006       

THE MAXIMUM GRANT FOR A THIRD SEMESTER SHALL BE ONE-HALF OF THE    10,007       

MAXIMUM AMOUNT PRESCRIBED UNDER THAT DIVISION.                     10,008       

      (E)  No grant shall be made to any student in a course of    10,010       

study in theology, religion, or other field of preparation for a   10,011       

religious profession unless such course of study leads to an       10,012       

accredited bachelor of arts, bachelor of science, or associate of  10,013       

arts degree.                                                       10,014       

      (E)(F)(1)  Except as provided in division (E)(F)(2) of this  10,017       

section, no grant shall be made to any student for enrollment      10,018       

during a school FISCAL year in an institution with a COHORT        10,020       

default rate DETERMINED BY THE UNITED STATES SECRETARY OF          10,022       

                                                          204    


                                                                 
EDUCATION PURSUANT TO THE "HIGHER EDUCATION AMENDMENTS OF 1986,"   10,025       

100 STAT. 1278, 1408, 20 U.S.C.A. 1085, AS AMENDED, as of the      10,028       

fifteenth day of June preceding such school THE FISCAL year,                    

equal to or greater than thirty per cent for each of the           10,029       

preceding two FISCAL years.                                        10,030       

      (2)  Division (E)(F)(1) of this section does not apply to    10,032       

the following:                                                     10,033       

      (a)  Any student enrolled in an institution that under THE   10,035       

federal law appeals its loss of eligibility for federal financial  10,036       

aid and the United States secretary of education determines its    10,037       

COHORT default rate after recalculation is lower than the rate     10,038       

specified in division (E)(F)(1) of this section or the secretary   10,040       

determines due to mitigating circumstances the institution may     10,041       

continue to participate in federal financial aid programs.  The    10,042       

board shall adopt rules requiring institutions to provide          10,043       

information regarding an appeal to the board.                      10,044       

      (b)  Any student who has previously received a grant under   10,046       

this section who meets all other requirements of this section.     10,047       

      (3)  The board shall adopt rules for the notification of     10,050       

all institutions whose students will be ineligible to participate  10,051       

in the grant program pursuant to division (E)(F)(1) of this        10,052       

section.                                                                        

      (4)  A student's attendance at an institution whose          10,054       

students lose eligibility for grants under division (E)(F)(1) of   10,056       

this section shall not affect that student's eligibility to                     

receive a grant when enrolled in another institution.              10,057       

      (F)(G)  Institutions of higher education that enroll         10,059       

students receiving instructional grants under this section shall   10,060       

report to the board all students who have received instructional   10,061       

grants but are no longer eligible for all or part of such grants   10,062       

and shall refund any moneys due the state within thirty days       10,063       

after the beginning of the quarter or term immediately following   10,064       

the quarter or term in which the student was no longer eligible    10,065       

to receive all or part of the student's grant.  There shall be an  10,067       

                                                          205    


                                                                 
interest charge of one per cent per month on all moneys due and    10,068       

payable after such thirty-day period.  The board shall             10,069       

immediately notify the office of budget and management and the     10,070       

legislative budget office of the legislative service commission    10,071       

of all refunds so received.                                        10,072       

      Sec. 3333.27.  As used in this section:                      10,081       

      (A)  "Eligible institution" means a nonprofit Ohio           10,083       

institution of higher education that holds a certificate of        10,084       

authorization issued under section 1713.02 of the Revised Code     10,085       

and meets the requirements of Title VI of the Civil Rights Act of  10,086       

1964.                                                              10,087       

      (B)  "Resident" and "full-time student" have the meanings    10,089       

established for purposes of this section by rule of the Ohio       10,090       

board of regents.                                                  10,091       

      The board shall establish and administer a student choice    10,094       

grant program and shall adopt rules for the administration of the  10,095       

program.                                                                        

      The board may make a grant to any resident of this state     10,098       

who is enrolled as a full-time student in a bachelor's degree      10,099       

program at an eligible institution and maintains an academic       10,100       

record that meets or exceeds the standard established pursuant to  10,101       

this section by rule of the board, except that no grant shall be   10,102       

made to any individual who was enrolled as a student in an         10,103       

institution of higher education on or before July 1, 1984, or is   10,104       

serving a term of imprisonment.  The grant shall not exceed the    10,105       

lesser of the total instructional and general charges of the       10,106       

institution in which the student is enrolled, or an amount equal   10,107       

to one-fourth of the total of any state instructional subsidy      10,108       

amount distributed by the board in the second fiscal year of the   10,109       

preceding biennium for all full-time students enrolled in          10,110       

bachelor's degree programs at four-year state-assisted             10,111       

institutions of higher education divided by the sum of the actual  10,112       

number of full-time students enrolled in bachelor's degree         10,113       

programs at four-year state-assisted institutions of higher        10,114       

                                                          206    


                                                                 
education reported to the board for such year by the institutions  10,115       

to which the subsidy was distributed.                              10,116       

      The board shall prescribe the form and manner of             10,118       

application for grants including the manner of certification by    10,119       

eligible institutions that each applicant from such institution    10,120       

is enrolled in a bachelor's degree program as a full-time student  10,121       

and has an academic record that meets or exceeds the standard      10,122       

established by the board.                                          10,123       

      A grant awarded to an eligible student shall be paid to the  10,125       

institution in which the student is enrolled, and the institution  10,126       

shall reduce the student's instructional and general charges by    10,127       

the amount of the grant.  Each grant awarded shall be prorated     10,128       

and paid in equal installments at the time of enrollment for each  10,129       

term of the academic year for which the grant is awarded.  No      10,130       

student shall be eligible to receive a grant for more than ten     10,131       

semesters, fifteen quarters, or the equivalent of five academic    10,132       

years.                                                             10,133       

      The receipt of an Ohio student choice grant shall not        10,135       

affect a student's eligibility for assistance, or the amount of    10,136       

such assistance, granted under section 3315.33, 3333.12, 3333.22,  10,137       

3333.26, 5910.03, 5910.032, or 5919.34 of the Revised Code.  If a  10,138       

student receives assistance under one or more of such sections,    10,139       

the student choice grant made to the student shall not exceed the  10,141       

difference between the amount of assistance received under such    10,142       

sections and the total instructional and general charges of the    10,143       

institution in which the student is enrolled.                      10,144       

      The general assembly shall support the student choice grant  10,146       

program by such sums and in such manner as it may provide, but     10,147       

the board may also receive funds from other sources to support     10,149       

the program.                                                                    

      No grant shall be made to any student enrolled in a course   10,151       

of study leading to a degree in theology, religion, or other       10,152       

field of preparation for a religious profession UNLESS THE COURSE  10,153       

OF STUDY LEADS TO AN ACCREDITED BACHELOR OF ARTS OR BACHELOR OF    10,154       

                                                          207    


                                                                 
SCIENCE DEGREE.                                                                 

      Institutions of higher education that enroll students        10,156       

receiving grants under this section shall report to the board the  10,158       

name of each student who has received such a grant but who is no   10,159       

longer eligible for all or part of such grant and shall refund     10,160       

all moneys due to the state within thirty days after the           10,161       

beginning of the term immediately following the term in which the  10,162       

student was no longer eligible to receive all or part of the                    

grant.  There shall be an interest charge of one per cent per      10,163       

month on all moneys due and payable after such thirty-day period.  10,164       

The board shall immediately notify the office of budget and        10,166       

management and the legislative budget office of the legislative                 

service commission of all refunds received.                        10,167       

      Sec. 3345.22.  (A)  A student, faculty or staff member, or   10,176       

employee of a college or university which THAT receives any state  10,178       

funds in support thereof, arrested for any offense covered by      10,179       

division (D) of section 3345.23 of the Revised Code shall be       10,180       

afforded a hearing, as provided in this section, to determine      10,181       

whether he THE PERSON shall be immediately suspended from such     10,183       

THE college or university.  Such THE hearing shall be held within  10,184       

not more than five days after his THE PERSON'S arrest, subject to  10,186       

reasonable continuances for good cause shown, which continuances   10,189       

shall not exceed a total of ten days.                              10,190       

      (B)  The arresting authority shall immediately notify the    10,192       

president of the college or university of the arrest of a          10,193       

student, faculty or staff member, or employee of such THE college  10,195       

or university for any offense covered by division (D) of section   10,196       

3345.23 of the Revised Code, and the president shall immediately   10,197       

notify the chancellor of the Ohio board of regents of such         10,199       

arrest.  The hearing to determine whether the person shall be                   

immediately suspended shall be held in the county where the        10,200       

college or university is located, before a referee appointed by    10,201       

the board of regents PRESIDENT.  Such THE referee shall be an      10,203       

attorney admitted to the practice of law in Ohio, but he THE       10,204       

                                                          208    


                                                                 
REFEREE shall not be attorney for, or a faculty or staff member    10,205       

or employee of, any college or university.  Immediate notice of    10,206       

the time and place of such THE hearing shall be given or sent to   10,207       

such THE person.                                                                

      (C)  The referee may administer oaths, issue subpoenas to    10,209       

compel the attendance of witnesses and the production of           10,210       

evidence, and enforce such THE subpoenas, as well as preserve the  10,212       

order and decorum of the proceedings over which he THE REFEREE     10,213       

presides, by means of contempt proceedings in the court of common  10,214       

pleas as provided by law.                                          10,215       

      (D)  The hearing shall be adversary in nature, and shall be  10,217       

conducted fairly and impartially, but the formalities of the       10,218       

criminal process are not required.  A person whose suspension is   10,219       

being considered has the right to be represented by counsel, but   10,220       

counsel need not be furnished for him THE PERSON.  Such THE        10,222       

person also has the right to cross-examine witnesses against him   10,223       

THE PERSON, to testify, and to present the testimony of witnesses  10,224       

and other evidence in his THE PERSON'S behalf.  In the absence of  10,225       

a waiver of the right against compulsory self-incrimination, the   10,226       

testimony of a person whose suspension is being considered, given  10,227       

at such THE hearing, shall not subsequently be used in any         10,229       

criminal proceeding against him THE PERSON.  The referee may       10,230       

require the separation of witnesses, and may bar from the          10,233       

proceedings any person whose presence is not essential to such     10,234       

THE proceedings, except that members of the news media shall not   10,235       

be barred from such THE proceedings.                               10,236       

      (E)  Upon hearing, if the referee finds by a preponderance   10,238       

of the evidence that the person whose suspension is being          10,239       

considered committed any offense covered by division (D) of        10,240       

section 3345.23 of the Revised Code, he THE REFEREE shall order    10,241       

the person suspended, except that when the good order and          10,242       

discipline of a college or university will not be prejudiced or    10,243       

compromised thereby, the referee may permit the person to return   10,244       

to the college or university on terms of strict disciplinary       10,245       

                                                          209    


                                                                 
probation.  Subsequent violation of the terms of the probation     10,246       

automatically effects a suspension.  A person suspended under      10,247       

this section may be readmitted pursuant to division (A) of         10,248       

section 3345.23 of the Revised Code.  A suspension under this      10,249       

section is in effect until the person is acquitted or convicted    10,250       

of the crime for which he THE PERSON was arrested.  If convicted,  10,251       

he THE PERSON is dismissed pursuant to section 3345.23 of the      10,252       

Revised Code.                                                                   

      (F)  Upon acquittal, or upon any final judicial              10,254       

determination not resulting in conviction, of the charges for      10,255       

which a person is suspended pursuant to this section, such THE     10,256       

suspension automatically terminates, and the person suspended      10,257       

shall be reinstated and the record of the suspension expunged      10,258       

from his THE PERSON'S college or university record.                10,259       

      (G)  An order of a referee pursuant to this section may be   10,261       

appealed on questions of law and fact to the court of common       10,262       

pleas of the county in which the college or university is          10,263       

located, within twenty days after the date of the order.  If the   10,264       

court to which such AN appeal is taken determines that the good    10,265       

order and discipline of a college or university will not be        10,266       

prejudiced thereby, it may permit the person suspended to return   10,267       

to the college or university on terms of strict disciplinary       10,268       

probation.                                                         10,269       

      (H)  A person afforded a hearing pursuant to this section    10,271       

who does not appear at the hearing shall be declared suspended by  10,272       

the hearing officer.                                               10,273       

      Sec. 3770.01.  (A)  There is hereby created the state        10,282       

lottery commission consisting of nine members appointed by the     10,283       

governor with the advice and consent of the senate.  No more than  10,284       

five members of the commission shall be members of the same        10,285       

political party.  Of the additional and new appointments made to   10,286       

the commission pursuant to the amendment of August 1, 1980, three  10,287       

shall be for terms ending August 1, 1981, three shall be for       10,288       

terms ending August 1, 1982, and three shall be for terms ending   10,289       

                                                          210    


                                                                 
August 1, 1983.  Thereafter, terms of office shall be for three    10,290       

years, each term ending on the same day of the same month of the   10,291       

year as did the term which it succeeds.  Each                      10,292       

      (B)  EACH member shall hold office from the date of          10,295       

appointment until the end of the term for which the member was     10,296       

appointed.  The members of the commission shall represent the      10,298       

various geographic regions of the state.  Any member appointed to  10,299       

fill a vacancy occurring prior to the expiration of the term for   10,300       

which the member's predecessor was appointed shall hold office     10,302       

for the remainder of such THAT term.  Any member shall continue    10,304       

in office subsequent to the expiration date of the member's term   10,306       

until the member's successor takes office, or until a period of    10,307       

sixty days has elapsed, whichever occurs first.                    10,309       

      (C)  All members of the commission shall be citizens of the  10,311       

United States and residents of this state.  THE MEMBERS OF THE     10,312       

COMMISSION SHALL REPRESENT THE VARIOUS GEOGRAPHIC REGIONS OF THE   10,313       

STATE.  No member OF THE COMMISSION shall have any pecuniary       10,315       

interest in any contract or license awarded by the commission.     10,316       

ONE PERSON APPOINTED AS A MEMBER OF THE COMMISSION SHALL                        

REPRESENT AN ORGANIZATION THAT DEALS WITH PROBLEM GAMBLING AND     10,317       

ASSISTS RECOVERING GAMBLING ADDICTS.  Each person appointed as a   10,318       

member of the commission, EXCEPT THE MEMBER APPOINTED AS A         10,320       

REPRESENTATIVE OF AN ORGANIZATION THAT DEALS WITH PROBLEM          10,321       

GAMBLING AND ASSISTS RECOVERING GAMBLING ADDICTS, shall have       10,323       

prior experience or education in business administration,          10,324       

management, sales, marketing, or advertising.                                   

      (D)  The commission shall elect annually one of its members  10,326       

to serve as chairperson for a term of one year.  Election as       10,328       

chairperson shall not extend a member's appointive term.  Each     10,329       

member of the commission shall receive an annual salary of five    10,330       

thousand dollars, payable in monthly installments.  Each member    10,331       

OF THE COMMISSION ALSO shall also receive THE MEMBER'S actual and  10,333       

necessary expenses incurred in the discharge of THE MEMBER'S                    

official duties.                                                   10,334       

                                                          211    


                                                                 
      (E)  Each member of the commission, before entering upon     10,336       

the discharge of THE MEMBER'S official duties, shall give a bond,  10,337       

payable to the treasurer of state, in the sum of ten thousand      10,340       

dollars with sufficient sureties to be approved by the treasurer   10,341       

of state, which bond shall be filed with the secretary of state.   10,342       

      (F)  The governor may remove any member of the commission    10,344       

for malfeasance, misfeasance, or nonfeasance in office, giving     10,345       

such THE member a copy of the charges against the member and       10,347       

affording the member an opportunity to be publicly heard in        10,349       

person or by counsel in the member's own defense upon not less     10,351       

than ten days' notice.  If such THE member is removed, the         10,353       

governor shall file in the office of the secretary of state a      10,354       

complete statement of all charges made against the member and the  10,355       

governor's finding thereon ON THE CHARGES, together with a         10,357       

complete report of the proceedings, and the governor's decision    10,358       

thereon ON THE CHARGES is final.                                                

      (G)  The commission shall maintain offices at locations in   10,360       

the state as it may deem CONSIDER necessary for the efficient      10,361       

performance of its functions.  The director shall maintain an      10,363       

office in Columbus to coordinate the activities of the state       10,364       

lottery commission with other state departments.                   10,365       

      Sec. 3770.06.  (A)  There is hereby created the state        10,374       

lottery gross revenue fund, which shall be in the custody of the   10,375       

treasurer of state but shall not be part of the state treasury.    10,376       

All gross revenues received from sales of lottery tickets, fines,  10,377       

fees, and related proceeds shall be deposited into the fund.  The  10,378       

treasurer of state shall invest any portion of the fund not        10,379       

needed for immediate use in the same manner as, and subject to     10,380       

all provisions of law with respect to the investment of, state     10,381       

funds.  The treasurer of state shall disburse money from the fund  10,382       

on order of the director of the state lottery commission or the    10,383       

director's designee.  All revenues of the state lottery gross      10,384       

revenue fund that are not paid to holders of winning lottery       10,385       

tickets, that are not required to meet short-term prize            10,386       

                                                          212    


                                                                 
liabilities, that are not paid to lottery sales agents in the      10,387       

form of agent bonuses, commissions, or reimbursements, and that    10,388       

are not paid to financial institutions to reimburse such           10,389       

institutions for sales agent nonsufficient funds shall be          10,390       

transferred to the state lottery fund, which is hereby created in  10,391       

the state treasury.  All investment earnings of the fund shall be  10,392       

credited to the fund.  Moneys shall be disbursed from the state    10,393       

lottery fund pursuant to vouchers approved by the director of the  10,394       

state lottery commission.  Total disbursements for monetary prize  10,395       

awards to holders of winning lottery tickets and purchases of      10,396       

goods and services awarded as prizes to holders of winning         10,397       

lottery tickets shall be of an amount equal to at least fifty per  10,398       

cent of the total revenue accruing from the sale of lottery        10,399       

tickets.                                                                        

      (B)  Pursuant to Section 6 of Article XV, Ohio               10,401       

Constitution, there is hereby established in the state treasury    10,402       

the lottery profits education fund.  Whenever, in the judgment of  10,403       

the director of budget and management, the amount to the credit    10,404       

of the state lottery fund is in excess of that needed to meet the  10,405       

maturing obligations of the commission and as working capital for  10,406       

its further operations, the director shall transfer the excess to  10,408       

the lottery profits education fund, provided that the amount to                 

be transferred into the lottery profits education fund shall       10,409       

equal no less than thirty per cent of the total revenue accruing   10,410       

from the sale of lottery tickets.  Investment earnings of the      10,411       

lottery profits education fund shall be credited to the fund.      10,412       

There shall also be credited to the fund any repayments of moneys  10,413       

loaned from the educational excellence investment fund.  The       10,414       

lottery profits education fund shall be used solely for the        10,415       

support of elementary, secondary, vocational, and special          10,416       

education programs as determined in appropriations made by the     10,417       

general assembly.  When determining the availability of money in   10,418       

the lottery profits education fund, the director of budget and     10,419       

management may consider all balances and estimated revenues of     10,420       

                                                          213    


                                                                 
the fund.                                                          10,421       

      From the amounts that the director of budget and management  10,423       

transfers in any fiscal year from the state lottery fund to the    10,424       

lottery profits education fund, the director shall transfer the    10,426       

initial ten million dollars of such amounts from the lottery                    

profits education fund to the school building program bond         10,427       

service fund created in division (R) of section 3318.26 of the     10,428       

Revised Code to be pledged for the purpose of paying bond service  10,429       

charges as defined in division (C) of section 3318.21 of the       10,430       

Revised Code on one or more issuances of obligations, which        10,431       

obligations are issued to provide moneys for the school building   10,432       

program assistance fund created in section 3318.25 of the Revised  10,433       

Code.                                                                           

      (C)  There is hereby established in the state treasury the   10,435       

deferred prizes trust fund.  With the approval of the director of  10,436       

budget and management, an amount sufficient to fund annuity        10,437       

prizes shall be transferred from the state lottery fund and        10,438       

credited to the trust fund.  The treasurer of state shall credit   10,440       

all earnings arising from investments purchased under this                      

division to the fund.  Within sixty days after the end of each     10,441       

fiscal year, the director of budget and management shall certify   10,442       

the amount of investment earnings necessary to have been credited  10,443       

to the trust fund during the fiscal year just ending to provide    10,444       

for continued funding of deferred prizes.  Any earnings credited   10,445       

in excess of this certified amount shall be transferred to the     10,446       

lottery profits education fund.  To provide all or a part of the   10,447       

amounts necessary to fund deferred prizes awarded by the           10,448       

commission, the treasurer of state, in consultation with the       10,449       

commission, may invest moneys contained in the deferred prizes     10,450       

trust fund in accordance with section 135.143 of the Revised Code  10,452       

OBLIGATIONS OF THE TYPE PERMITTED FOR THE INVESTMENT OF STATE                   

FUNDS BUT WHOSE MATURITIES ARE THIRTY YEARS OR LESS.  INVESTMENTS  10,453       

OF THE DEFERRED PRIZES TRUST FUND ARE NOT SUBJECT TO THE           10,454       

PROVISIONS OF DIVISION (A)(10) OF SECTION 135.143 OF THE REVISED   10,455       

                                                          214    


                                                                 
CODE LIMITING TO FIVE PER CENT THE AMOUNT OF THE STATE'S TOTAL     10,456       

AVERAGE PORTFOLIO THAT MAY BE INVESTED IN DEBT INTERESTS AND       10,457       

LIMITING TO ONE HALF OF ONE PER CENT THE AMOUNT THAT MAY BE                     

INVESTED IN DEBT INTERESTS OF A SINGLE ISSUER.                     10,458       

      All purchases made under this division shall be effected on  10,460       

a delivery versus payment method and shall be in the custody of    10,461       

the treasurer of state.                                            10,462       

      The treasurer of state may retain an investment advisor, if  10,464       

necessary.  The commission shall pay any costs incurred by the     10,465       

treasurer of state in retaining an investment advisor.             10,466       

      (D)  The auditor of state shall conduct annual audits of     10,469       

all funds and such other audits as the auditor of state or the     10,470       

general assembly considers necessary.  The auditor of state may                 

examine all records, files, and other documents of the             10,471       

commission, and such records of lottery sales agents as pertain    10,472       

to their activities as agents, for purposes of conducting          10,473       

authorized audits.                                                              

      The state lottery commission shall establish an internal     10,475       

audit program before the beginning of each fiscal year, subject    10,476       

to the approval of the auditor of state.  At the end of each       10,477       

fiscal year, the commission shall prepare and submit an annual     10,478       

report to the auditor of state for the auditor of state's review   10,479       

and approval, specifying the internal audit work completed by the  10,480       

end of that fiscal year and reporting on compliance with the                    

annual internal audit program.  The form and content of the        10,481       

report shall be prescribed by the auditor of state under division  10,482       

(C) of section 117.20 of the Revised Code.                         10,483       

      Sec. 4117.101.  Notwithstanding sections 4117.08 and         10,492       

4117.10 of the Revised Code, no agreement entered into under this  10,493       

chapter may contain any provision that in any way limits the       10,494       

effect or operation of Chapter 3314. of the Revised Code or        10,495       

limits the authority of a school district board of education, OR   10,496       

THE GOVERNING BOARD OF AN EDUCATIONAL SERVICE CENTER DESCRIBED IN               

DIVISION (C)(1)(e) OF SECTION 3314.02 OF THE REVISED CODE, to      10,498       

                                                          215    


                                                                 
enter into a contract with a community school under that chapter.  10,499       

However, nothing in this section shall be construed to prohibit    10,500       

an agreement entered into under this chapter from containing       10,501       

requirements and procedures governing the reassignment of          10,502       

teachers who are employed in a school at the time it is converted  10,503       

to a community school pursuant to Chapter 3314. of the Revised     10,504       

Code and who do not choose or are not chosen to teach in that      10,506       

community school.                                                               

      Sec. 5705.29.  The tax budget shall present the following    10,515       

information in such detail as is prescribed by the auditor of      10,516       

state, unless an alternative form of the budget is permitted       10,517       

under section 5705.281 of the Revised Code:                        10,518       

      (A)(1)  A statement of the necessary current operating       10,520       

expenses for the ensuing fiscal year for each department and       10,521       

division of the subdivision, classified as to personal services    10,522       

and other expenses, and the fund from which such expenditures are  10,523       

to be made.  Except in the case of a school district, this         10,524       

estimate may include a contingent expense not designated for any   10,525       

particular purpose, and not to exceed three per cent of the total  10,526       

amount of appropriations for current expenses.  In the case of a   10,527       

school district, this estimate may include a contingent expense    10,528       

not designated for any particular purpose and not to exceed        10,529       

thirteen per cent of the total amount of appropriations for        10,530       

current expenses.                                                  10,531       

      (2)  A statement of the expenditures for the ensuing fiscal  10,533       

year necessary for permanent improvements, exclusive of any        10,534       

expense to be paid from bond issues, classified as to the          10,535       

improvements contemplated by the subdivision and the fund from     10,536       

which such expenditures are to be made;                            10,537       

      (3)  The amounts required for the payment of final           10,539       

judgments;                                                         10,540       

      (4)  A statement of expenditures for the ensuing fiscal      10,542       

year necessary for any purpose for which a special levy is         10,543       

authorized, and the fund from which such expenditures are to be    10,544       

                                                          216    


                                                                 
made;                                                              10,545       

      (5)  Comparative statements, so far as possible, in          10,547       

parallel columns of corresponding items of expenditures for the    10,548       

current fiscal year and the two preceding fiscal years.            10,549       

      (B)(1)  An estimate of receipts from other sources than the  10,551       

general property tax during the ensuing fiscal year, which shall   10,552       

include an estimate of unencumbered balances at the end of the     10,553       

current fiscal year, and the funds to which such estimated         10,554       

receipts are credited;                                             10,555       

      (2)  The amount each fund requires from the general          10,557       

property tax, which shall be the difference between the            10,558       

contemplated expenditure from the fund and the estimated           10,559       

receipts, as provided in this section.  The section of the         10,560       

Revised Code under which the tax is authorized shall be set        10,561       

forth.                                                             10,562       

      (3)  Comparative statements, so far as possible, in          10,564       

parallel columns of taxes and other revenues for the current       10,565       

fiscal year and the two preceding fiscal years.                    10,566       

      (C)(1)  The amount required for debt charges;                10,568       

      (2)  The estimated receipts from sources other than the tax  10,570       

levy for payment of such debt charges, including the proceeds of   10,571       

refunding bonds to be issued to refund bonds maturing in the next  10,572       

succeeding fiscal year;                                            10,573       

      (3)  The net amount for which a tax levy shall be made,      10,575       

classified as to bonds authorized and issued prior to January 1,   10,576       

1922, and those authorized and issued subsequent to such date,     10,577       

and as to what portion of the levy will be within and what in      10,578       

excess of the ten-mill limitation.                                 10,579       

      (D)  An estimate of amounts from taxes authorized to be      10,581       

levied in excess of the ten-mill limitation on the tax rate, and   10,582       

the fund to which such amounts will be credited, together with     10,583       

the sections of the Revised Code under which each such tax is      10,584       

exempted from all limitations on the tax rate.                     10,585       

      (E)(1)  A board of education may include in its budget for   10,587       

                                                          217    


                                                                 
the fiscal year in which a levy proposed under section 5705.194,   10,588       

5705.21, or 5705.213, or the original levy under section 5705.212  10,589       

of the Revised Code is first extended on the tax list and          10,590       

duplicate an estimate of expenditures to be known as a voluntary   10,591       

contingency reserve balance, which shall not be greater than       10,592       

twenty-five per cent of the total amount of the levy estimated to  10,593       

be available for appropriation in such year.                       10,594       

      (2)  A board of education may include in its budget for the  10,596       

fiscal year following the year in which a levy proposed under      10,597       

section 5705.194, 5705.21, or 5705.213, or the original levy       10,598       

under section 5705.212 of the Revised Code is first extended on    10,599       

the tax list and duplicate an estimate of expenditures to be       10,600       

known as a voluntary contingency reserve balance, which shall not  10,601       

be greater than twenty per cent of the amount of the levy          10,602       

estimated to be available for appropriation in such year.          10,603       

      (3)  Except as provided in division (E)(4) of this section,  10,605       

the full amount of any reserve balance the board includes in its   10,606       

budget shall be retained by the county auditor and county          10,607       

treasurer out of the first semiannual settlement of taxes until    10,608       

the beginning of the next succeeding fiscal year, and thereupon,   10,609       

with the depository interest apportioned thereto, it shall be      10,610       

turned over to the board of education, to be used for the          10,611       

purposes of such fiscal year.                                      10,612       

      (4)  A board of education, by a two-thirds vote of all       10,614       

members of the board, may appropriate any amount withheld as a     10,615       

voluntary contingency reserve balance during the fiscal year for   10,616       

any lawful purpose, provided that prior to such appropriation the  10,617       

board of education has authorized the expenditure of all amounts   10,618       

appropriated for contingencies under section 5705.40 of the        10,619       

Revised Code.  Upon request by the board of education, the county  10,620       

auditor shall draw a warrant on the district's account in the      10,621       

county treasury payable to the district in the amount requested.   10,622       

      (F)(1)  A board of education may include a spending reserve  10,624       

in its budget for fiscal years ending on or before June 30, 2002.  10,626       

                                                          218    


                                                                 
The spending reserve shall consist of an estimate of expenditures  10,627       

not to exceed the district's spending reserve balance.  A          10,628       

district's spending reserve balance is the amount by which the     10,629       

designated percentage of the district's estimated personal         10,630       

property taxes to be settled during the calendar year in which     10,631       

the fiscal year ends exceeds the estimated amount of personal      10,632       

property taxes to be so settled and received by the district       10,633       

during that fiscal year.  Moneys from a spending reserve shall be  10,634       

appropriated in accordance with section 133.301 of the Revised     10,635       

Code.                                                              10,636       

      (2)  For the purposes of computing a school district's       10,638       

spending reserve balance for a fiscal year, the designated         10,639       

percentage shall be as follows:                                    10,640       

    Fiscal year ending in:             Designated percentage       10,643       

             1998                               50%                10,645       

             1999                               40%                10,646       

             2000                               30%                10,647       

             2001                               20%                10,648       

             2002                               10%                10,649       

      (G)  Except as otherwise provided in this division, the      10,652       

county budget commission shall not reduce the taxing authority of  10,653       

a subdivision as a result of the creation of a reserve balance     10,654       

account.  Except as otherwise provided in this division, the       10,655       

county budget commission shall not consider the amount in a        10,656       

reserve balance account of a township, county, or municipal        10,657       

corporation as an unencumbered balance or as revenue for the       10,658       

purposes of division (E)(3) or (4) of section 5747.51 or division  10,659       

(E)(3) or (4) of section 5747.62 of the Revised Code.  The county  10,660       

budget commission may require documentation of the reasonableness  10,661       

of the reserve balance held in any reserve balance account.  The   10,662       

commission shall consider any amount in a reserve balance account  10,663       

that it determines to be unreasonable as unencumbered and as       10,664       

revenue for the purposes of sections 5747.51 and 5747.62 of the                 

Revised Code and may take such amounts into consideration when     10,666       

                                                          219    


                                                                 
determining whether to reduce the taxing authority of a                         

subdivision.                                                                    

      (H)(1)  Each board of education shall include in its tax     10,668       

budget and shall establish a reserve balance account to            10,670       

accumulate currently available resources to stabilize the school                

district's budget against cyclical changes in revenues and         10,671       

expenditures.  The balance in the reserve balance account shall    10,672       

not at any time be less than five per cent of general fund         10,674       

revenues for the most recently concluded fiscal year, except as    10,675       

provided in division (H)(2) or (3) of this section, and except     10,676       

for deficiencies arising from the appropriation of money from the  10,677       

account for unanticipated deficiencies in revenue or other         10,679       

emergencies pursuant to a resolution adopted by two-thirds of the  10,680       

membership of the board of education specifying the reason for     10,681       

the appropriation.  The auditor of state and the superintendent                 

of public instruction jointly shall adopt rules governing          10,682       

conditions that constitute unanticipated deficiencies in revenue   10,683       

or emergencies for which appropriations may be made from a         10,684       

reserve balance account.  The rules also shall provide that a      10,685       

board of education that borrows against its spending reserve       10,687       

established in its tax budget for a fiscal year under division     10,688       

(F) of this section is not subject to division (H)(2) of this      10,689       

section for that fiscal year.  A board of education shall not      10,690       

appropriate money from a reserve balance account without filing a  10,692       

schedule for replenishing the account with the superintendent of   10,693       

public instruction and receiving approval of the schedule from     10,694       

the superintendent of public instruction.                          10,695       

      (2)(a)  Beginning with the fiscal year ending in 1999 and    10,697       

continuing each fiscal year until the balance in the reserve       10,698       

balance account equals five per cent of the district's revenues    10,700       

received for current expenses for the preceding fiscal year, if    10,701       

the growth in a district's total revenues received for current                  

expenses from one fiscal year to the next is AT LEAST three per    10,702       

cent or more, the board of education shall credit to its reserve   10,704       

                                                          220    


                                                                 
balance account, from the general fund or from other sources that  10,706       

may lawfully be credited to the general fund, an amount not less   10,707       

than one per cent of the revenue received for current expenses     10,708       

for the fiscal year, at which time the balance in the reserve      10,709       

balance account shall be maintained THAT, WHEN ADDED TO THE        10,710       

ACCOUNT BALANCE, IS NOT LESS THAN:                                 10,711       

      (i)  ONE PER CENT OF REVENUES RECEIVED FOR CURRENT EXPENSES  10,713       

FOR THE PRIOR FISCAL YEAR; PLUS                                    10,714       

      (ii)  THE SUM OF THE AMOUNTS CREDITED UNDER THIS SECTION     10,716       

FOR ALL FISCAL YEARS THAT AMOUNTS WERE REQUIRED TO BE CREDITED     10,717       

UNDER THIS SECTION.                                                             

      EACH BOARD SHALL MAINTAIN THE BALANCE IN THE DISTRICT'S      10,719       

RESERVE BALANCE ACCOUNT AT NOT LESS THAN FIVE PER CENT OF THE      10,720       

DISTRICT'S REVENUES RECEIVED FOR CURRENT EXPENSES FOR THE          10,721       

PRECEDING FISCAL YEAR, EXCEPT as otherwise required AUTHORIZED     10,722       

under division (H)(1) of this section.                             10,723       

      (b)  NOTWITHSTANDING DIVISION (H)(2)(a) OF THIS SECTION, IN  10,726       

NO YEAR SHALL A BOARD BE REQUIRED TO CREDIT TO ITS RESERVE         10,727       

BALANCE ACCOUNT MORE THAN ONE PER CENT OF REVENUES RECEIVED FOR                 

CURRENT EXPENSES FOR THE PRIOR FISCAL YEAR.                        10,728       

      (3)  The balance in the reserve balance account of a school  10,731       

district may be less than five per cent of the general fund        10,732       

revenue for the most recently concluded fiscal year in any fiscal  10,733       

year in which the school district is in a state of fiscal watch    10,734       

or fiscal emergency pursuant to section 3316.03 of the Revised     10,735       

Code.                                                                           

      (4)  Notwithstanding any provision to the contrary in        10,737       

Chapter 4117. of the Revised Code, the requirements of division    10,738       

(H) of this section prevail over any conflicting provisions of     10,740       

agreements between employee organizations and public employers     10,741       

entered into after November 21, 1997.                              10,742       

      (5)  Notwithstanding division (H)(2) of this section, a      10,744       

school district may, pursuant to rules adopted by the auditor of   10,745       

state, credit less than one per cent of its prior year's revenue   10,746       

                                                          221    


                                                                 
received for current expenses into its reserve balance account.    10,747       

      (6)  A SCHOOL DISTRICT BOARD MAY APPLY TO THE STATE          10,756       

SUPERINTENDENT OF PUBLIC INSTRUCTION FOR A ONE-TIME WAIVER OF THE  10,757       

DEPOSIT REQUIREMENTS OF DIVISION (H)(2) OF THIS SECTION WHEN IT    10,759       

DETERMINES THAT MEETING THE REQUIREMENTS IN THE CURRENT OR NEXT    10,760       

FISCAL YEAR WOULD CAUSE THE DISTRICT TO REDUCE OR ELIMINATE        10,761       

IMPORTANT EDUCATIONAL SERVICES.  THE DISTRICT SHALL APPLY IN THE   10,762       

FORM AND MANNER REQUIRED BY THE STATE SUPERINTENDENT, AND THE                   

APPLICATION MAY REQUEST A WAIVER OF ALL OR PART OF THE DEPOSIT     10,763       

REQUIRED FOR THE CURRENT OR NEXT FISCAL YEAR.  THE STATE           10,764       

SUPERINTENDENT MAY GRANT A WAIVER IF THE STATE SUPERINTENDENT AND  10,765       

THE AUDITOR OF STATE DETERMINE THAT MEETING THE REQUIREMENT IN     10,766       

THE CURRENT OR NEXT FISCAL YEAR WOULD CAUSE THE SCHOOL DISTRICT    10,767       

TO REDUCE OR ELIMINATE IMPORTANT EDUCATIONAL SERVICES.  A WAIVER   10,768       

MAY ENTIRELY EXEMPT THE DISTRICT FROM MAKING ANY DEPOSIT INTO ITS  10,770       

RESERVE BALANCE ACCOUNT DURING THE CURRENT OR NEXT FISCAL YEAR                  

OR, REGARDLESS OF WHETHER THE DISTRICT BOARD APPLIED FOR A WAIVER  10,771       

OF THE ENTIRE DEPOSIT, MAY SIMPLY REDUCE THE AMOUNT OF THE         10,772       

DEPOSIT OTHERWISE REQUIRED DURING THE CURRENT OR NEXT FISCAL YEAR  10,773       

BY DIVISION (H)(2) OF THIS SECTION.  A WAIVER IS VALID FOR ONE     10,774       

FISCAL YEAR:  EITHER THE FISCAL YEAR IN WHICH THE DISTRICT BOARD   10,775       

APPLIED FOR IT OR THE IMMEDIATELY FOLLOWING FISCAL YEAR.  A                     

DISTRICT BOARD MAY RECEIVE ONLY ONE WAIVER UNDER DIVISION (H)(6)   10,776       

OF THIS SECTION. SEC. 5705.412.  NOTWITHSTANDING SECTION 5705.41   10,778       

OF THE REVISED CODE, NO SCHOOL DISTRICT SHALL ADOPT ANY            10,779       

APPROPRIATION MEASURE, MAKE ANY CONTRACT, GIVE ANY ORDER           10,780       

INVOLVING THE EXPENDITURE OF MONEY, OR INCREASE DURING ANY SCHOOL  10,781       

YEAR ANY WAGE OR SALARY SCHEDULE UNLESS THERE IS ATTACHED THERETO  10,782       

A CERTIFICATE SIGNED BY THE TREASURER AND PRESIDENT OF THE BOARD   10,783       

OF EDUCATION AND THE SUPERINTENDENT THAT THE SCHOOL DISTRICT HAS   10,784       

IN EFFECT FOR THE REMAINDER OF THE FISCAL YEAR AND THE SUCCEEDING  10,785       

FISCAL YEAR THE AUTHORIZATION TO LEVY TAXES INCLUDING THE RENEWAL  10,786       

OR REPLACEMENT OF EXISTING LEVIES WHICH, WHEN COMBINED WITH THE    10,787       

ESTIMATED REVENUE FROM ALL OTHER SOURCES AVAILABLE TO THE          10,788       

                                                          222    


                                                                 
DISTRICT AT THE TIME OF CERTIFICATION, ARE SUFFICIENT TO PROVIDE   10,789       

THE OPERATING REVENUES NECESSARY TO ENABLE THE DISTRICT TO         10,790       

MAINTAIN ALL PERSONNEL, PROGRAMS, AND SERVICES ESSENTIAL TO THE    10,792       

PROVISION OF AN ADEQUATE EDUCATIONAL PROGRAM FOR ALL THE DAYS SET               

FORTH IN ITS ADOPTED SCHOOL CALENDARS FOR THE CURRENT FISCAL YEAR  10,793       

AND FOR A NUMBER OF DAYS IN THE SUCCEEDING FISCAL YEAR EQUAL TO    10,794       

THE NUMBER OF DAYS INSTRUCTION WAS HELD OR IS SCHEDULED FOR THE    10,795       

CURRENT FISCAL YEAR.  HOWEVER, A CERTIFICATE ATTACHED TO AN        10,797       

APPROPRIATION MEASURE UNDER THIS SECTION SHALL COVER ONLY THE      10,798       

FISCAL YEAR IN WHICH THE APPROPRIATION MEASURE IS EFFECTIVE AND    10,799       

SHALL NOT CONSIDER THE RENEWAL OR REPLACEMENT OF AN EXISTING LEVY  10,800       

AS THE AUTHORITY TO LEVY TAXES THAT ARE SUBJECT TO APPROPRIATION   10,801       

IN THE CURRENT FISCAL YEAR UNLESS THE RENEWAL OR REPLACEMENT LEVY  10,802       

HAS BEEN APPROVED BY THE ELECTORS AND IS SUBJECT TO APPROPRIATION  10,803       

IN THE CURRENT FISCAL YEAR.  IN ADDITION, A CERTIFICATE ATTACHED,  10,805       

IN ACCORDANCE WITH THIS SECTION, TO ANY CONTRACT SHALL COVER THE   10,806       

TERM OF THE CONTRACT OR THE CURRENT FISCAL YEAR PLUS THE TWO       10,807       

IMMEDIATELY SUCCEEDING FISCAL YEARS, WHICHEVER PERIOD OF YEARS IS  10,808       

GREATER.  IF THE BOARD OF EDUCATION HAS NOT ADOPTED A SCHOOL       10,810       

CALENDAR FOR THE SCHOOL YEAR BEGINNING ON THE FIRST DAY OF THE     10,811       

FISCAL YEAR IN WHICH A CERTIFICATE IS REQUIRED, THE CERTIFICATE    10,812       

ATTACHED TO AN APPROPRIATION MEASURE SHALL INCLUDE THE NUMBER OF   10,813       

DAYS ON WHICH INSTRUCTION WAS HELD IN THE PRECEDING FISCAL YEAR    10,814       

AND OTHER CERTIFICATES REQUIRED UNDER THIS SECTION SHALL INCLUDE   10,815       

THAT NUMBER OF DAYS FOR THE FISCAL YEAR IN WHICH THE CERTIFICATE   10,816       

IS REQUIRED AND THE SUCCEEDING FISCAL YEAR.  EVERY CONTRACT MADE,  10,817       

ORDER GIVEN, OR SCHEDULE ADOPTED OR PUT INTO EFFECT WITHOUT SUCH   10,818       

A CERTIFICATE SHALL BE VOID, AND NO PAYMENT OF ANY AMOUNT DUE      10,819       

THEREON SHALL BE MADE.  THE DEPARTMENT OF EDUCATION AND THE        10,820       

AUDITOR OF STATE JOINTLY SHALL DEVELOP RULES GOVERNING THE         10,821       

METHODS BY WHICH TREASURERS, PRESIDENTS OF BOARDS OF EDUCATION,    10,822       

AND SUPERINTENDENTS SHALL ESTIMATE REVENUE AND DETERMINE WHETHER   10,823       

SUCH REVENUE IS SUFFICIENT TO PROVIDE NECESSARY OPERATING REVENUE  10,825       

FOR THE PURPOSE OF MAKING CERTIFICATIONS REQUIRED BY THIS          10,826       

                                                          223    


                                                                 
SECTION.                                                                        

      The auditor of state shall be responsible for determining    10,829       

whether school districts are in compliance with this section.  At  10,831       

the time a school district is audited pursuant to section 117.11   10,832       

of the Revised Code, the auditor of state shall review each        10,833       

certificate issued under this section since the district's last    10,834       

audit, and the appropriation measure, contract, order, or wage     10,835       

and salary schedule to which such certificate was attached.  This  10,836       

provision shall not preclude any court from making a               10,837       

determination regarding compliance with this section.  If          10,838       

noncompliance is determined, the provisions of section 117.28 of   10,839       

the Revised Code shall have effect.                                10,840       

      The treasurer shall forward a copy of each certificate of    10,842       

available resources required under this section to the auditor of  10,843       

any county in which a part of the district is located.  The        10,844       

county auditor shall not distribute property taxes or any payment  10,845       

under Chapter 3317. of the Revised Code to a school district that  10,846       

has not forwarded copies of all such certificates.  If a county    10,847       

auditor determines that a copy of a certificate has not been       10,848       

forwarded as required, or has reason to believe that a             10,849       

certificate for which a copy has been forwarded contains false     10,850       

statements or that a certificate has not been signed and attached  10,851       

to an appropriation measure, contract, order, or wage and salary   10,852       

schedule as required by this section, the auditor shall provide    10,853       

immediate written notification to the superintendent of public     10,854       

instruction.  In the case of a certificate which the auditor has   10,855       

reason to believe contains false information or the failure to     10,856       

sign and attach a certificate as required, the auditor shall also  10,857       

provide immediate written notification to the auditor of state     10,858       

and the county prosecuting attorney, city director of law, or      10,859       

other chief law officer of the district.                           10,860       

      This section does not apply to any contract, order, or       10,862       

increase in any wage or salary schedule that is necessary in       10,863       

order to enable a board of education to comply with division (B)   10,864       

                                                          224    


                                                                 
of section 3317.13 of the Revised Code, provided the contract,     10,865       

order, or increase does not exceed the amount required to be paid  10,866       

to be in compliance with such division.                            10,867       

      Any officer, employee, or other person who knowingly         10,869       

expends or authorizes the expenditure of any public funds or       10,870       

knowingly authorizes or executes any contract, order, or schedule  10,871       

contrary to this section, knowingly expends or authorizes the      10,872       

expenditure of any public funds on the void contract, order, or    10,873       

schedule, or knowingly issues a certificate under this section     10,874       

which contains any false statements is liable to the school        10,875       

district for the full amount paid from the district's funds on     10,876       

the contract, order, or schedule.  The officer, employee, or       10,877       

other person is jointly and severally liable in person and upon    10,878       

any official bond that the officer, employee, or other person has  10,880       

given to the school district to the extent of any payments on the  10,881       

void claim, not to exceed twenty thousand dollars.  However, no    10,882       

officer, employee, or other person shall be liable for a mistaken  10,883       

estimate of available resources made in good faith and based upon  10,884       

reasonable grounds.  If an officer, employee, or other person is   10,885       

found to have complied with rules adopted by the department of     10,886       

education under this section governing methods by which revenue    10,887       

shall be estimated and determined sufficient to provide necessary  10,888       

operating revenue for the purpose of making certifications         10,889       

required by this section, the officer, employee, or other person   10,890       

shall not be liable under this section if the estimates and        10,891       

determinations made according to those rules do not, in fact,      10,892       

conform with actual revenue.  The prosecuting attorney of the      10,894       

county, the city director of law, or other chief law officer of    10,895       

the district shall enforce this liability by civil action brought  10,896       

in any court of appropriate jurisdiction in the name of and on     10,897       

behalf of the school district.  If the prosecuting attorney, city  10,898       

director of law, or other chief law officer of the district        10,899       

fails, upon the written request of any taxpayer, to institute      10,900       

action for the enforcement of the liability, the taxpayer may      10,901       

                                                          225    


                                                                 
institute the action in the taxpayer's own name in behalf of the   10,903       

subdivision.                                                                    

      This section does not require the attachment of an           10,905       

additional certificate beyond that required by section 5705.41 of  10,906       

the Revised Code for any purchase order, for current payrolls of,  10,907       

or contracts of employment with, regular employees or officers.    10,908       

      This section does not require the attachment of a            10,910       

certificate to a temporary appropriation measure if all of the     10,911       

following apply:                                                   10,912       

      (A)  The amount appropriated does not exceed twenty-five     10,914       

per cent of the total amount from all sources available for        10,915       

expenditure from any fund during the preceding fiscal year;        10,916       

      (B)  The measure will not be in effect on or after the       10,918       

thirtieth day following the earliest date on which the district    10,919       

may pass an annual appropriation measure;                          10,920       

      (C)  An amended official certificate of estimated resources  10,922       

for the current year, if required, has not been certified to the   10,923       

board of education under division (B) of section 5705.36 of the    10,924       

Revised Code.                                                      10,925       

      Sec. 5747.01.  Except as otherwise expressly provided or     10,934       

clearly appearing from the context, any term used in this chapter  10,935       

has the same meaning as when used in a comparable context in the   10,936       

Internal Revenue Code, and all other statutes of the United        10,937       

States relating to federal income taxes.                           10,938       

      As used in this chapter:                                     10,940       

      (A)  "Adjusted gross income" or "Ohio adjusted gross         10,942       

income" means adjusted gross income as defined and used in the     10,943       

Internal Revenue Code, adjusted as provided in divisions (A)(1)    10,945       

to (17) of this section:                                                        

      (1)  Add interest or dividends on obligations or securities  10,947       

of any state or of any political subdivision or authority of any   10,948       

state, other than this state and its subdivisions and              10,949       

authorities.                                                                    

      (2)  Add interest or dividends on obligations of any         10,951       

                                                          226    


                                                                 
authority, commission, instrumentality, territory, or possession   10,952       

of the United States that are exempt from federal income taxes     10,953       

but not from state income taxes.                                   10,954       

      (3)  Deduct interest or dividends on obligations of the      10,956       

United States and its territories and possessions or of any        10,957       

authority, commission, or instrumentality of the United States to  10,958       

the extent included in federal adjusted gross income but exempt    10,959       

from state income taxes under the laws of the United States.       10,960       

      (4)  Deduct disability and survivor's benefits to the        10,962       

extent included in federal adjusted gross income.                  10,963       

      (5)  Deduct benefits under Title II of the Social Security   10,965       

Act and tier 1 railroad retirement benefits to the extent          10,966       

included in federal adjusted gross income under section 86 of the  10,967       

Internal Revenue Code.                                             10,968       

      (6)  Add, in the case of a taxpayer who is a beneficiary of  10,970       

a trust that makes an accumulation distribution as defined in      10,971       

section 665 of the Internal Revenue Code, the portion, if any, of  10,972       

such distribution that does not exceed the undistributed net       10,973       

income of the trust for the three taxable years preceding the      10,974       

taxable year in which the distribution is made.  "Undistributed    10,975       

net income of a trust" means the taxable income of the trust       10,976       

increased by (a)(i) the additions to adjusted gross income         10,977       

required under division (A) of this section and (ii) the personal  10,978       

exemptions allowed to the trust pursuant to section 642(b) of the  10,979       

Internal Revenue Code, and decreased by (b)(i) the deductions to   10,980       

adjusted gross income required under division (A) of this          10,981       

section, (ii) the amount of federal income taxes attributable to   10,982       

such income, and (iii) the amount of taxable income that has been  10,983       

included in the adjusted gross income of a beneficiary by reason   10,984       

of a prior accumulation distribution.  Any undistributed net       10,985       

income included in the adjusted gross income of a beneficiary      10,986       

shall reduce the undistributed net income of the trust commencing  10,987       

with the earliest years of the accumulation period.                10,988       

      (7)  Deduct the amount of wages and salaries, if any, not    10,990       

                                                          227    


                                                                 
otherwise allowable as a deduction but that would have been        10,991       

allowable as a deduction in computing federal adjusted gross       10,992       

income for the taxable year, had the targeted jobs credit allowed  10,993       

and determined under sections 38, 51, and 52 of the Internal       10,994       

Revenue Code not been in effect.                                   10,995       

      (8)  Deduct any interest or interest equivalent on public    10,997       

obligations and purchase obligations to the extent included in     10,998       

federal adjusted gross income.                                     10,999       

      (9)  Add any loss or deduct any gain resulting from the      11,001       

sale, exchange, or other disposition of public obligations to the  11,002       

extent included in federal adjusted gross income.                  11,003       

      (10)  Regarding tuition credits purchased under Chapter      11,005       

3334. of the Revised Code:                                         11,006       

      (a)  Deduct the following:                                   11,008       

      (i)  For credits that as of the end of the taxable year      11,011       

have not been refunded pursuant to the termination of a tuition                 

payment contract under section 3334.10 of the Revised Code, the    11,013       

amount of income related to the credits, to the extent included    11,014       

in federal adjusted gross income;                                               

      (ii)  For credits that during the taxable year have been     11,017       

refunded pursuant to the termination of a tuition payment                       

contract under section 3334.10 of the Revised Code, the excess of  11,018       

the total purchase price of the tuition credits refunded over the  11,019       

amount of refund, to the extent the amount of the excess was not   11,020       

deducted in determining federal adjusted gross income;.            11,021       

      (b)  Add the following:                                      11,023       

      (i)  For credits that as of the end of the taxable year      11,026       

have not been refunded pursuant to the termination of a tuition                 

payment contract under section 3334.10 of the Revised Code, the    11,027       

amount of loss related to the credits, to the extent the amount    11,028       

of the loss was deducted in determining federal adjusted gross     11,029       

income;                                                                         

      (ii)  For credits that during the taxable year have been     11,032       

refunded pursuant to the termination of a tuition payment                       

                                                          228    


                                                                 
contract under section 3334.10 of the Revised Code, the excess of  11,034       

the amount of refund over the purchase price of each tuition       11,035       

credit refunded, to the extent not included in federal adjusted    11,036       

gross income.                                                                   

      (11)  Deduct, in the case of a self-employed individual as   11,038       

defined in section 401(c)(1) of the Internal Revenue Code and to   11,039       

the extent not otherwise allowable as a deduction in computing     11,040       

federal adjusted gross income for the taxable year, the amount     11,041       

paid during the taxable year for insurance that constitutes        11,043       

medical care for the taxpayer, the taxpayer's spouse, and                       

dependents.  No deduction under division (A)(11) of this section   11,045       

shall be allowed to any taxpayer who is eligible to participate    11,046       

in any subsidized health plan maintained by any employer of the    11,047       

taxpayer or of the spouse of the taxpayer.  No deduction under     11,048       

division (A)(11) of this section shall be allowed to the extent    11,049       

that the sum of such deduction and any related deduction           11,050       

allowable in computing federal adjusted gross income for the       11,051       

taxable year exceeds the taxpayer's earned income, within the      11,052       

meaning of section 401(c) of the Internal Revenue Code, derived    11,053       

by the taxpayer from the trade or business with respect to which   11,054       

the plan providing the medical coverage is established.            11,055       

      (12)  Deduct any amount included in federal adjusted gross   11,057       

income solely because the amount represents a reimbursement or     11,058       

refund of expenses that in a previous year the taxpayer had        11,059       

deducted as an itemized deduction pursuant to section 63 of the    11,060       

Internal Revenue Code and applicable United States department of   11,062       

the treasury regulations.                                                       

      (13)  Deduct any portion of the deduction described in       11,064       

section 1341(a)(2) of the Internal Revenue Code, for repaying      11,065       

previously reported income received under a claim of right, that   11,066       

meets both of the following requirements:                          11,067       

      (a)  It is allowable for repayment of an item that was       11,069       

included in the taxpayer's adjusted gross income for a prior       11,070       

taxable year and did not qualify for a credit under division (A)   11,071       

                                                          229    


                                                                 
or (B) of section 5747.05 of the Revised Code for that year;       11,072       

      (b)  It does not otherwise reduce the taxpayer's adjusted    11,074       

gross income for the current or any other taxable year.            11,075       

      (14)  Deduct an amount equal to the deposits made to, and    11,077       

net investment earnings of, a medical savings account during the   11,078       

taxable year, in accordance with section 3924.66 of the Revised    11,079       

Code.  The deduction allowed by division (A)(14) of this section   11,080       

does not apply to medical savings account deposits and earnings    11,081       

otherwise deducted or excluded for the current or any other        11,082       

taxable year from the taxpayer's federal adjusted gross income.    11,083       

      (15)(a)  Add an amount equal to the funds withdrawn from a   11,085       

medical savings account during the taxable year, and the net       11,086       

investment earnings on those funds, when the funds withdrawn were  11,087       

used for any purpose other than to reimburse an account holder     11,088       

for, or to pay, eligible medical expenses, in accordance with      11,089       

section 3924.66 of the Revised Code;                                            

      (b)  Add the amounts distributed from a medical savings      11,091       

account under division (A)(2) of section 3924.68 of the Revised    11,092       

Code during the taxable year.                                      11,093       

      (16)  Add any amount claimed as a credit under section       11,095       

5747.059 of the Revised Code to the extent that such amount        11,096       

satisfies either of the following:                                              

      (a)  The amount was deducted or excluded from the            11,098       

computation of the taxpayer's federal adjusted gross income as     11,099       

required to be reported for the taxpayer's taxable year under the  11,100       

Internal Revenue Code;                                                          

      (b)  The amount resulted in a reduction of the taxpayer's    11,102       

federal adjusted gross income as required to be reported for any   11,103       

of the taxpayer's taxable years under the Internal Revenue Code.   11,104       

      (17)  Deduct the amount contributed by the taxpayer to an    11,106       

individual development account program established by a county     11,107       

department of human services pursuant to sections 329.11 to        11,108       

329.14 of the Revised Code for the purpose of matching funds       11,109       

deposited by program participants.  On request of the tax          11,110       

                                                          230    


                                                                 
commissioner, the taxpayer shall provide any information that, in               

the tax commissioner's opinion, is necessary to establish the      11,111       

amount deducted under division (A)(17) of this section.            11,112       

      (18)  BEGINNING IN TAXABLE YEAR 2001, IF THE TAXPAYER IS     11,114       

MARRIED AND FILES A JOINT RETURN AND THE COMBINED FEDERAL          11,116       

ADJUSTED GROSS INCOME OF THE TAXPAYER AND THE TAXPAYER'S SPOUSE    11,117       

FOR THE TAXABLE YEAR DOES NOT EXCEED ONE HUNDRED THOUSAND                       

DOLLARS, OR IF THE TAXPAYER IS SINGLE AND HAS A FEDERAL ADJUSTED   11,119       

GROSS INCOME FOR THE TAXABLE YEAR NOT EXCEEDING FIFTY THOUSAND     11,120       

DOLLARS, DEDUCT AMOUNTS PAID DURING THE TAXABLE YEAR FOR           11,121       

QUALIFIED TUITION AND FEES PAID TO AN ELIGIBLE INSTITUTION FOR     11,122       

THE TAXPAYER, THE TAXPAYER'S SPOUSE, OR ANY DEPENDENT OF THE       11,123       

TAXPAYER, WHO IS A RESIDENT OF THIS STATE AND IS ENROLLED IN OR    11,125       

ATTENDING A PROGRAM THAT CULMINATES IN A DEGREE OR DIPLOMA AT AN   11,126       

ELIGIBLE INSTITUTION.  THE DEDUCTION MAY BE CLAIMED ONLY TO THE    11,127       

EXTENT THAT QUALIFIED TUITION AND FEES ARE NOT OTHERWISE DEDUCTED  11,128       

OR EXCLUDED FOR ANY TAXABLE YEAR FROM FEDERAL OR OHIO ADJUSTED     11,129       

GROSS INCOME.  THE DEDUCTION MAY NOT BE CLAIMED FOR EDUCATIONAL    11,130       

EXPENSES FOR WHICH THE TAXPAYER CLAIMS A CREDIT UNDER SECTION      11,131       

5747.27 OF THE REVISED CODE.                                                    

      (19)  ADD ANY REIMBURSEMENT RECEIVED DURING THE TAXABLE      11,133       

YEAR OF ANY AMOUNT THE TAXPAYER DEDUCTED UNDER DIVISION (A)(18)    11,134       

OF THIS SECTION IN ANY PREVIOUS TAXABLE YEAR TO THE EXTENT THE     11,135       

AMOUNT IS NOT OTHERWISE INCLUDED IN OHIO ADJUSTED GROSS INCOME.    11,136       

      (B)  "Business income" means income arising from             11,138       

transactions, activities, and sources in the regular course of a   11,139       

trade or business and includes income from tangible and            11,140       

intangible property if the acquisition, rental, management, and    11,141       

disposition of the property constitute integral parts of the       11,142       

regular course of a trade or business operation.                   11,143       

      (C)  "Nonbusiness income" means all income other than        11,145       

business income and may include, but is not limited to,            11,146       

compensation, rents and royalties from real or tangible personal   11,147       

property, capital gains, interest, dividends and distributions,    11,148       

                                                          231    


                                                                 
patent or copyright royalties, or lottery winnings, prizes, and    11,149       

awards.                                                            11,150       

      (D)  "Compensation" means any form of remuneration paid to   11,152       

an employee for personal services.                                 11,153       

      (E)  "Fiduciary" means a guardian, trustee, executor,        11,155       

administrator, receiver, conservator, or any other person acting   11,156       

in any fiduciary capacity for any individual, trust, or estate.    11,157       

      (F)  "Fiscal year" means an accounting period of twelve      11,159       

months ending on the last day of any month other than December.    11,160       

      (G)  "Individual" means any natural person.                  11,162       

      (H)  "Internal Revenue Code" means the "Internal Revenue     11,164       

Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.          11,165       

      (I)  "Resident" means:                                       11,167       

      (1)  An individual who is domiciled in this state, subject   11,169       

to section 5747.24 of the Revised Code;                            11,170       

      (2)  The estate of a decedent who at the time of death was   11,173       

domiciled in this state.  The domicile tests of section 5747.24    11,174       

of the Revised Code and any election under section 5747.25 of the  11,175       

Revised Code are not controlling for purposes of division (I)(2)   11,176       

of this section.                                                                

      (J)  "Nonresident" means an individual or estate that is     11,178       

not a resident.  An individual who is a resident for only part of  11,179       

a taxable year is a nonresident for the remainder of that taxable  11,180       

year.                                                              11,181       

      (K)  "Pass-through entity" has the same meaning as in        11,183       

section 5733.04 of the Revised Code.                               11,184       

      (L)  "Return" means the notifications and reports required   11,186       

to be filed pursuant to this chapter for the purpose of reporting  11,187       

the tax due and includes declarations of estimated tax when so     11,188       

required.                                                          11,189       

      (M)  "Taxable year" means the calendar year or the           11,191       

taxpayer's fiscal year ending during the calendar year, or         11,192       

fractional part thereof, upon which the adjusted gross income is   11,193       

calculated pursuant to this chapter.                               11,194       

                                                          232    


                                                                 
      (N)  "Taxpayer" means any person subject to the tax imposed  11,196       

by section 5747.02 of the Revised Code or any pass-through entity  11,197       

that makes the election under division (D) of section 5747.08 of   11,198       

the Revised Code.                                                               

      (O)  "Dependents" means dependents as defined in the         11,200       

Internal Revenue Code and as claimed in the taxpayer's federal     11,201       

income tax return for the taxable year or which the taxpayer       11,202       

would have been permitted to claim had the taxpayer filed a        11,203       

federal income tax return.                                         11,205       

      (P)  "Principal county of employment" means, in the case of  11,207       

a nonresident, the county within the state in which a taxpayer     11,208       

performs services for an employer or, if those services are        11,209       

performed in more than one county, the county in which the major   11,210       

portion of the services are performed.                             11,211       

      (Q)  As used in sections 5747.50 to 5747.55 of the Revised   11,213       

Code:                                                                           

      (1)  "Subdivision" means any county, municipal corporation,  11,215       

park district, or township.                                        11,216       

      (2)  "Essential local government purposes" includes all      11,218       

functions that any subdivision is required by general law to       11,219       

exercise, including like functions that are exercised under a      11,220       

charter adopted pursuant to the Ohio Constitution.                 11,221       

      (R)  "Overpayment" means any amount already paid that        11,223       

exceeds the figure determined to be the correct amount of the      11,224       

tax.                                                               11,225       

      (S)  "Taxable income" applies to estates only and means      11,227       

taxable income as defined and used in the Internal Revenue Code    11,228       

adjusted as follows:                                               11,229       

      (1)  Add interest or dividends on obligations or securities  11,231       

of any state or of any political subdivision or authority of any   11,232       

state, other than this state and its subdivisions and              11,233       

authorities;                                                       11,234       

      (2)  Add interest or dividends on obligations of any         11,236       

authority, commission, instrumentality, territory, or possession   11,237       

                                                          233    


                                                                 
of the United States that are exempt from federal income taxes     11,238       

but not from state income taxes;                                   11,239       

      (3)  Add the amount of personal exemption allowed to the     11,241       

estate pursuant to section 642(b) of the Internal Revenue Code;    11,242       

      (4)  Deduct interest or dividends on obligations of the      11,244       

United States and its territories and possessions or of any        11,245       

authority, commission, or instrumentality of the United States     11,246       

that are exempt from state taxes under the laws of the United      11,247       

States;                                                            11,248       

      (5)  Deduct the amount of wages and salaries, if any, not    11,250       

otherwise allowable as a deduction but that would have been        11,251       

allowable as a deduction in computing federal taxable income for   11,252       

the taxable year, had the targeted jobs credit allowed under       11,253       

sections 38, 51, and 52 of the Internal Revenue Code not been in   11,254       

effect;                                                            11,255       

      (6)  Deduct any interest or interest equivalent on public    11,257       

obligations and purchase obligations to the extent included in     11,258       

federal taxable income;                                            11,259       

      (7)  Add any loss or deduct any gain resulting from sale,    11,261       

exchange, or other disposition of public obligations to the        11,262       

extent included in federal taxable income;                         11,263       

      (8)  Except in the case of the final return of an estate,    11,265       

add any amount deducted by the taxpayer on both its Ohio estate    11,266       

tax return pursuant to section 5731.14 of the Revised Code, and    11,267       

on its federal income tax return in determining either federal     11,268       

adjusted gross income or federal taxable income;                   11,269       

      (9)  Deduct any amount included in federal taxable income    11,271       

solely because the amount represents a reimbursement or refund of  11,272       

expenses that in a previous year the decedent had deducted as an   11,273       

itemized deduction pursuant to section 63 of the Internal Revenue  11,274       

Code and applicable treasury regulations;                          11,275       

      (10)  Deduct any portion of the deduction described in       11,277       

section 1341(a)(2) of the Internal Revenue Code, for repaying      11,278       

previously reported income received under a claim of right, that   11,279       

                                                          234    


                                                                 
meets both of the following requirements:                          11,280       

      (a)  It is allowable for repayment of an item that was       11,282       

included in the taxpayer's taxable income or the decedent's        11,283       

adjusted gross income for a prior taxable year and did not         11,284       

qualify for a credit under division (A) or (B) of section 5747.05  11,285       

of the Revised Code for that year.                                 11,286       

      (b)  It does not otherwise reduce the taxpayer's taxable     11,288       

income or the decedent's adjusted gross income for the current or  11,289       

any other taxable year.                                            11,290       

      (11)  Add any amount claimed as a credit under section       11,292       

5747.059 of the Revised Code to the extent that the amount         11,293       

satisfies either of the following:                                 11,294       

      (a)  The amount was deducted or excluded from the            11,296       

computation of the taxpayer's federal taxable income as required   11,297       

to be reported for the taxpayer's taxable year under the Internal  11,298       

Revenue Code;                                                                   

      (b)  The amount resulted in a reduction in the taxpayer's    11,300       

federal taxable income as required to be reported for any of the   11,301       

taxpayer's taxable years under the Internal Revenue Code.          11,302       

      (T)  "School district income" and "school district income    11,304       

tax" have the same meanings as in section 5748.01 of the Revised   11,305       

Code.                                                              11,306       

      (U)  As used in divisions (A)(8), (A)(9), (S)(6), and        11,308       

(S)(7) of this section, "public obligations," "purchase            11,309       

obligations," and "interest or interest equivalent" have the same  11,310       

meanings as in section 5709.76 of the Revised Code.                11,311       

      (V)  "Limited liability company" means any limited           11,313       

liability company formed under Chapter 1705. of the Revised Code   11,314       

or under the laws of any other state.                              11,315       

      (W)  "Pass-through entity investor" means any person who,    11,317       

during any portion of a taxable year of a pass-through entity, is  11,318       

a partner, member, shareholder, or investor in that pass-through   11,319       

entity.                                                                         

      (X)  "Banking day" has the same meaning as in section        11,321       

                                                          235    


                                                                 
1304.01 of the Revised Code.                                       11,322       

      (Y)  "Month" means a calendar month.                         11,324       

      (Z)  "Quarter" means the first three months, the second      11,326       

three months, the third three months, or the last three months of  11,327       

the taxpayer's taxable year.                                                    

      (AA)(1)  "ELIGIBLE INSTITUTION" MEANS A STATE UNIVERSITY OR  11,329       

STATE INSTITUTION OF HIGHER EDUCATION AS DEFINED IN SECTION        11,330       

3345.011 OF THE REVISED CODE, OR A PRIVATE, NONPROFIT COLLEGE,     11,331       

UNIVERSITY, OR OTHER POST-SECONDARY INSTITUTION LOCATED IN THIS    11,332       

STATE THAT POSSESSES A CERTIFICATE OF AUTHORIZATION ISSUED BY THE  11,333       

OHIO BOARD OF REGENTS PURSUANT TO CHAPTER 1713. OF THE REVISED                  

CODE OR A CERTIFICATE OF REGISTRATION ISSUED BY THE STATE BOARD    11,334       

OF PROPRIETARY SCHOOL REGISTRATION UNDER CHAPTER 3332. OF THE      11,335       

REVISED CODE.                                                                   

      (2)  "QUALIFIED TUITION AND FEES" MEANS TUITION AND FEES     11,337       

IMPOSED BY AN ELIGIBLE INSTITUTION AS A CONDITION OF ENROLLMENT    11,338       

OR ATTENDANCE, NOT EXCEEDING TWO THOUSAND FIVE HUNDRED DOLLARS IN  11,339       

EACH OF THE INDIVIDUAL'S FIRST TWO YEARS OF POST-SECONDARY         11,340       

EDUCATION.  IF THE INDIVIDUAL IS A PART-TIME STUDENT, "QUALIFIED   11,341       

TUITION AND FEES" INCLUDES TUITION AND FEES PAID FOR THE ACADEMIC               

EQUIVALENT OF THE FIRST TWO YEARS OF POST-SECONDARY EDUCATION      11,342       

DURING A MAXIMUM OF FIVE TAXABLE YEARS, NOT EXCEEDING A TOTAL OF   11,343       

FIVE THOUSAND DOLLARS.  "QUALIFIED TUITION AND FEES" DOES NOT      11,344       

INCLUDE:                                                                        

      (a)  EXPENSES FOR ANY COURSE OR ACTIVITY INVOLVING SPORTS,   11,346       

GAMES, OR HOBBIES UNLESS THE COURSE OR ACTIVITY IS PART OF THE     11,347       

INDIVIDUAL'S DEGREE OR DIPLOMA PROGRAM;                            11,348       

      (b)  THE COST OF BOOKS, ROOM AND BOARD, STUDENT ACTIVITY     11,350       

FEES, ATHLETIC FEES, INSURANCE EXPENSES, OR OTHER EXPENSES         11,351       

UNRELATED TO THE INDIVIDUAL'S ACADEMIC COURSE OF INSTRUCTION;      11,352       

      (c)  TUITION, FEES, OR OTHER EXPENSES PAID OR REIMBURSED     11,354       

THROUGH AN EMPLOYER, SCHOLARSHIP, GRANT IN AID, OR OTHER           11,355       

EDUCATIONAL BENEFIT PROGRAM.                                                    

      (BB)  Any term used in this chapter that is not otherwise    11,357       

                                                          236    


                                                                 
defined in this section and that is not used in a comparable       11,359       

context in the Internal Revenue Code and other statutes of the     11,360       

United States relating to federal income taxes has the same        11,361       

meaning as in section 5733.40 of the Revised Code.                 11,362       

      Sec. 5910.032.  (A)  A war orphans scholarship, as provided  11,371       

under sections 5910.01 to 5910.06 of the Revised Code, shall be    11,372       

granted to the child of any person who, in the course of           11,373       

honorable service in the armed services of the United States, was  11,374       

declared by the United States department of defense to be a                     

prisoner of war or missing in action as a result of the United     11,375       

States' participation in armed conflict on or after January 1,     11,377       

1960, and who IF EITHER OF THE FOLLOWING APPLY:                    11,378       

      (1)  THE PARENT, at the time of entry into the armed         11,380       

services of the United States, or at the time the person PARENT    11,382       

was declared to be a prisoner of war or missing in action, was a   11,383       

resident of Ohio;                                                               

      (2)  IF THE PARENT DID NOT ENTER THE ARMED SERVICES AS A     11,385       

RESIDENT OF OHIO AND WAS NOT A RESIDENT OF OHIO WHEN DECLARED A    11,386       

PRISONER OF WAR OR MISSING IN ACTION, THE CHILD HAS RESIDED IN     11,387       

OHIO FOR THE YEAR IMMEDIATELY PRECEDING THE YEAR IN WHICH THE      11,388       

APPLICATION FOR THE SCHOLARSHIP IS MADE AND ANY FOUR OF THE LAST   11,389       

TEN YEARS.  Such                                                                

      THE scholarships shall be in addition to the total number    11,391       

of scholarships provided under section 5910.05 of the Revised      11,392       

Code.  Notwithstanding section 5910.03 of the Revised Code,        11,393       

scholarships provided under this section shall be made to any      11,394       

such child who, at the time of application, has attained the       11,395       

sixteenth, but not the twenty-first, birthday.  The termination    11,397       

of a child's parent or guardian's status as a prisoner of war or   11,398       

being missing in action does not affect such child's eligibility                

for the benefit provided by this section.                          11,399       

      (B)  Scholarships provided under this section shall consist  11,401       

of either of the following:                                        11,402       

      (1)  A scholarship of the type described in division (A) of  11,404       

                                                          237    


                                                                 
section 5910.04 of the Revised Code together with reasonable and   11,405       

necessary expenses for room, board, books, and laboratory fees.    11,406       

The additional amount for such expenses shall be paid from moneys  11,407       

appropriated by the general assembly for such purpose.             11,408       

      (2)  A scholarship of the type described in division (B) of  11,410       

section 5910.04 of the Revised Code together with an additional    11,411       

grant equal to the average value of the reasonable and necessary   11,412       

expenses granted under division (B)(1) of this section during the  11,413       

preceding year for room, board, books, and laboratory fees.  The   11,414       

additional grant shall be paid from moneys appropriated by the                  

general assembly for such purpose, and shall be paid to the child  11,416       

through the institution in which the child is enrolled.  In no     11,417       

case shall the additional grant exceed the amount actually         11,419       

expended by the child for room, board, books, and laboratory       11,420       

fees.                                                                           

      Sec. 5919.34.  (A)  As used in this section:                 11,429       

      (1)  "ACADEMIC TERM" MEANS ANY ONE OF THE FOLLOWING:         11,431       

      (a)  FALL TERM, WHICH CONSISTS OF FALL SEMESTER OR FALL      11,433       

QUARTER, AS APPROPRIATE;                                           11,434       

      (b)  WINTER TERM, WHICH CONSISTS OF WINTER SEMESTER, WINTER  11,436       

QUARTER, OR SPRING SEMESTER, AS APPROPRIATE;                       11,437       

      (c)  SPRING TERM, WHICH CONSISTS OF SPRING QUARTER;          11,439       

      (d)  SUMMER TERM, WHICH CONSISTS OF SUMMER SEMESTER OR       11,441       

SUMMER QUARTER, AS APPROPRIATE.                                    11,442       

      (2)  "Eligible applicant" means any individual to whom all   11,444       

of the following apply:                                            11,445       

      (a)  The individual does not possess a baccalaureate         11,447       

degree;.                                                                        

      (b)  The individual has enlisted, re-enlisted, or extended   11,450       

current enlistment in the Ohio national guard;.                    11,451       

      (c)  The individual is actively enrolled as a full-time or   11,454       

part-time student for at least six credit hours of course work in  11,455       

a semester or quarter in a two-year or four-year degree-granting   11,456       

program at an institution of higher education or in a              11,457       

                                                          238    


                                                                 
diploma-granting program at an institution of higher education     11,459       

that is a school of nursing;.                                      11,460       

      (d)  The individual has not accumulated ninety-six           11,462       

eligibility units under division (E) of this section.              11,463       

      (2)(3)  "Institution of higher education" means an Ohio      11,466       

institution of higher education that is state-assisted, that is    11,467       

nonprofit and has received a certificate of authorization from     11,468       

the Ohio board of regents pursuant to Chapter 1713. of the         11,470       

Revised Code, or that holds a certificate of registration and      11,473       

program authorization issued by the state board of proprietary     11,474       

school registration pursuant to section 3332.05 of the Revised     11,475       

Code.                                                              11,476       

      (3)(4)  "State university" has the same meaning as in        11,478       

section 3345.011 of the Revised Code.                              11,480       

      (B)  There is hereby created an instructional grant program  11,483       

to be known as the Ohio national guard tuition grant program.      11,485       

The FOR THE FISCAL YEAR 2000, THE number of participants in the    11,486       

program FOR THE FALL TERM IS LIMITED TO TWO THOUSAND FIVE          11,489       

HUNDRED; THE NUMBER OF PARTICIPANTS IN THE PROGRAM FOR THE WINTER  11,490       

TERM IS LIMITED TO TWO THOUSAND FIVE HUNDRED; THE NUMBER OF        11,491       

PARTICIPANTS IN THE PROGRAM FOR THE SPRING TERM IS LIMITED TO ONE  11,493       

THOUSAND SIX HUNDRED SEVENTY-FIVE; AND THE NUMBER OF PARTICIPANTS  11,494       

IN THE PROGRAM FOR THE SUMMER TERM IS LIMITED TO SIX HUNDRED.      11,495       

FOR THE FISCAL YEAR 2001 AND SUCCEEDING FISCAL YEARS, THE NUMBER   11,496       

OF PARTICIPANTS IN THE PROGRAM FOR THE FALL TERM IS LIMITED TO     11,497       

THREE THOUSAND FIVE HUNDRED; THE NUMBER OF PARTICIPANTS IN THE     11,498       

PROGRAM FOR THE WINTER TERM IS LIMITED TO THREE THOUSAND FIVE      11,499       

HUNDRED; THE NUMBER OF PARTICIPANTS IN THE PROGRAM FOR THE SPRING  11,500       

TERM IS LIMITED TO TWO THOUSAND THREE HUNDRED FORTY-FIVE; AND THE  11,501       

NUMBER OF PARTICIPANTS IN THE PROGRAM FOR THE SUMMER TERM is       11,503       

limited to four thousand per academic term EIGHT HUNDRED.  NO      11,505       

MEMBER OF THE NATIONAL GUARD MAY RECEIVE AN INSTRUCTIONAL GRANT    11,506       

UNDER THE OHIO NATIONAL GUARD TUITION GRANT PROGRAM UNLESS THE     11,507       

MEMBER APPLIES FOR AND ACCEPTS ALL AVAILABLE GRANTS,               11,508       

                                                          239    


                                                                 
SCHOLARSHIPS, AND OTHER FINANCIAL AID OTHER THAN BENEFITS          11,509       

AVAILABLE UNDER "THE MONTGOMERY G.I. BILL ACT OF 1984," PUB. L.    11,511       

NO. 98-525, 98 STAT. 2553 (1984).  THE ADJUTANT GENERAL SHALL      11,513       

REDUCE ANY INSTRUCTIONAL GRANTS A MEMBER RECEIVES BY THE AMOUNT    11,514       

OF OTHER GRANTS, SCHOLARSHIPS, AND FINANCIAL AID, OTHER THAN                    

BENEFITS RECEIVED UNDER "THE MONTGOMERY G.I. BILL ACT OF 1984,"    11,517       

PUB. L. NO. 98-525, 98 STAT. 2553 (1984), THE MEMBER RECEIVES.     11,519       

      (C)  If the adjutant general estimates that appropriations   11,521       

for all instructional grants applied for under this section and    11,523       

likely to be used during a AN ACADEMIC term are inadequate for     11,524       

all eligible applicants for that ACADEMIC term to receive grants,  11,526       

the adjutant general shall promptly inform all applicants not      11,529       

receiving grants for that ACADEMIC term of the next ACADEMIC term  11,530       

that appropriations will be adequate for the grants.  Any such     11,531       

eligible applicant may again apply for grants beginning that       11,533       

ACADEMIC term if the applicant is in compliance with all           11,534       

requirements established by this section and the adjutant general  11,535       

for the program.  The adjutant general shall process all           11,537       

applications for instructional grants for each ACADEMIC term in    11,538       

the order in which they are received.  The grants shall be made    11,540       

without regard to financial need.  At no time shall one person be  11,541       

placed in priority over another because of sex, race, or           11,542       

religion.                                                                       

      (D)  For each ACADEMIC term that an eligible applicant is    11,544       

approved for an instructional grant under this section and         11,546       

remains a current member in good standing of the Ohio national     11,548       

guard, the institution of higher education in which the applicant  11,549       

is enrolled shall, if the applicant's enlistment obligation        11,551       

extends beyond the end of that ACADEMIC term, be paid on the       11,552       

applicant's behalf the applicable one of the following amounts:    11,553       

      (1)  If the institution is state-assisted, an amount equal   11,555       

to sixty ONE HUNDRED per cent of the institution's tuition         11,558       

charges;                                                           11,559       

      (2)  If the institution is a nonprofit private institution,  11,561       

                                                          240    


                                                                 
an amount equal to sixty ONE HUNDRED per cent of the average       11,562       

tuition charges of all state universities;                         11,563       

      (3)  If the institution is an institution that holds a       11,565       

certificate of registration from the state board of proprietary    11,566       

school registration, the lesser of the following:                  11,567       

      (a)  An amount equal to sixty ONE HUNDRED per cent of the    11,570       

total instructional and general charges of the institution;                     

      (b)  An amount equal to sixty ONE HUNDRED per cent of the    11,572       

average tuition charges of all state universities.                 11,575       

      (E)  A grant recipient under this section shall be entitled  11,578       

to receive instructional grants under this section for the number  11,579       

of quarters or semesters it takes the recipient to accumulate      11,580       

ninety-six eligibility units as determined under divisions (E)(1)  11,582       

to (3) of this section.                                                         

      (1)  To determine the maximum number of semesters or         11,585       

quarters for which a recipient is entitled to grants under this    11,586       

section, the adjutant general shall convert a recipient's credit   11,587       

hours of enrollment for each ACADEMIC term into eligibility units  11,588       

in accordance with the following table:                                         

Number of                   The                    The             11,596       

credit                      following              following                    

hours of                    number of              number of                    

enrollment                  eligibility            eligibility                  

in a AN                     units if               units if        11,597       

ACADEMIC                    a                      a quarter                    

term          equals        semester      or                                    

                                                                   11,597       

12 or more hours            12 units               8 units         11,602       

9 but less than 12          9 units                6 units         11,603       

6 but less than 9           6 units                4 units         11,604       

      (2)  A grant recipient under this section may continue to    11,607       

apply for grants under this section until the recipient has        11,608       

accumulated ninety-six eligibility units.                          11,609       

      (3)  If a grant recipient withdraws from courses prior to    11,611       

                                                          241    


                                                                 
the end of a AN ACADEMIC term so that the recipient's enrollment   11,612       

for that ACADEMIC term is less than six credit hours, no grant     11,614       

shall be paid on behalf of that person for that ACADEMIC term      11,615       

except that, if a grant has already been paid on behalf of the     11,617       

person for that ACADEMIC term, the adjutant general shall add to   11,618       

that person's accumulated eligibility units the number of          11,619       

eligibility units for which the grant was paid.                    11,620       

      (F)  A grant recipient under this section who fails to       11,623       

complete the term of enlistment, re-enlistment, or extension of    11,625       

current enlistment the recipient was serving at the time an                     

instructional grant was paid on behalf of the recipient under      11,627       

this section is liable to the state for repayment of a percentage  11,628       

of all instructional grants paid on behalf of the recipient under  11,630       

this section, plus interest at the rate of ten per cent per annum  11,632       

calculated from the dates the grants were paid.  This percentage   11,634       

shall equal the percentage of the current term of enlistment,      11,636       

re-enlistment, or extension of enlistment a recipient has not      11,637       

completed as of the date the recipient is discharged from the                   

Ohio national guard.                                               11,638       

      The attorney general may commence a civil action on behalf   11,640       

of the adjutant general to recover the amount of the grants and    11,641       

the interest provided for in this division and the expenses        11,642       

incurred in prosecuting the action, including court costs and      11,644       

reasonable attorney's fees.  A grant recipient is not liable       11,646       

under this division if the recipient's failure to complete the     11,647       

term of enlistment being served at the time an instructional       11,650       

grant was paid on behalf of the recipient under this section is    11,651       

due to the recipient's death; discharge from the national guard    11,653       

due to disability; or the recipient's enlistment, for a term not   11,655       

less than the recipient's remaining term in the national guard,    11,657       

in the active COMPONENT OF THE UNITED STATES ARMED FORCES or THE   11,658       

ACTIVE reserve forces COMPONENT of the United States armed         11,659       

forces.                                                                         

      (G)  On or before the first day of each ACADEMIC term, the   11,661       

                                                          242    


                                                                 
adjutant general shall provide an eligibility roster to each       11,662       

institution of higher education at which one or more               11,663       

instructional grant recipients have applied for enrollment.  The   11,666       

institution shall use the roster to certify the actual full-time   11,667       

or part-time enrollment of each instructional grant recipient      11,669       

listed as enrolled at the institution and return the roster to     11,671       

the adjutant general within thirty days after the first day of     11,672       

the ACADEMIC term.  THE ADJUTANT GENERAL SHALL REPORT TO THE OHIO  11,673       

BOARD OF REGENTS THE NUMBER OF STUDENTS IN THE GRANT PROGRAM AT    11,674       

EACH INSTITUTION OF HIGHER EDUCATION, AND THE ADJUTANT GENERAL     11,675       

AND THE OHIO BOARD OF REGENTS SHALL PROVIDE FOR PAYMENT OF THE     11,676       

APPROPRIATE NUMBER AND AMOUNT OF INSTRUCTIONAL GRANTS TO EACH      11,677       

INSTITUTION OF HIGHER EDUCATION PURSUANT TO DIVISION (D) OF THIS   11,678       

SECTION.  Within thirty days after the adjutant general receives   11,679       

all the rosters, he THE ADJUTANT GENERAL shall report to the       11,680       

director of budget and management, the speaker of the house of     11,682       

representatives, and the president of the senate the number of     11,683       

students in the tuition grant program and a projection of the      11,684       

cost of the program for the remainder of the biennium.             11,685       

      Section 2.  That existing sections 9.90, 125.05, 3301.80,    11,687       

3301.801, 3302.01, 3302.02, 3302.07, 3311.213, 3313.603,           11,689       

3313.608, 3314.02, 3314.03, 3314.05, 3314.06, 3314.08, 3314.09,    11,690       

3314.11, 3314.12, 3314.13, 3315.17, 3316.05, 3316.06, 3317.01,     11,691       

3317.02, 3317.022, 3317.023, 3317.024, 3317.029, 3317.0212,        11,692       

3317.0213, 3317.0216, 3317.03, 3317.033, 3317.05, 3317.051,        11,693       

3317.06, 3317.162, 3317.51, 3318.01, 3318.011, 3318.05, 3318.06,   11,694       

3318.08, 3318.081, 3318.082, 3318.13, 3318.14, 3318.15, 3318.16,   11,695       

3318.17, 3318.18, 3318.21, 3318.25, 3318.26, 3318.29, 3318.31,     11,696       

3318.35, 3319.22, 3319.235, 3332.05, 3332.07, 3333.04, 3333.12,    11,697       

3333.27, 3345.22, 3770.01, 3770.06, 4117.101, 5705.29, 5705.412,   11,698       

5747.01, 5910.032, and 5919.34 and sections 3313.21, 3317.0214,    11,699       

3317.053, 3317.16, 3318.23, 3318.24, and 3318.27 of the Revised    11,700       

Code are hereby repealed.                                                       

      Section 3.  Except as otherwise provided, all appropriation  11,702       

                                                          243    


                                                                 
line items (ALI) in this act are hereby appropriated out of any    11,703       

moneys in the state treasury to the credit of the designated       11,704       

fund, which are not otherwise appropriated.  For all               11,705       

appropriations made in this act, those amounts in the first        11,706       

column are for fiscal year 2000 and those amounts in the second                 

column are for fiscal year 2001.                                   11,707       

FND ALI     ALI TITLE                    FY 2000        FY 2001    11,708       

      Section 4.  EDU  DEPARTMENT OF EDUCATION                     11,711       

General Revenue Fund                                               11,713       

GRF 200-100 Personal Services     $   11,940,600 $   12,265,000    11,718       

GRF 200-320 Maintenance and                                        11,720       

            Equipment             $    9,293,979 $    4,943,979    11,722       

GRF 200-406 Head Start            $   97,992,016 $  101,843,825    11,726       

GRF 200-408 Public Preschool      $   18,316,606 $   18,756,205    11,730       

GRF 200-410 Professional                                           11,732       

            Development           $   26,593,834 $   27,418,834    11,734       

GRF 200-411 Family and Children                                    11,736       

            First                 $   10,642,188 $   10,642,188    11,738       

GRF 200-416 Vocational Education                                   11,740       

            Match                 $    2,325,916 $    2,381,738    11,742       

GRF 200-420 Technical Systems                                      11,744       

            Development           $    3,450,000 $    2,350,000    11,746       

GRF 200-422 School Management                                      11,748       

            Assistance            $    1,387,186 $    1,440,836    11,750       

GRF 200-424 Policy Analysis       $      505,354 $      637,655    11,754       

GRF 200-426 Ohio Educational                                       11,756       

            Computer Network      $   25,089,772 $   37,004,086    11,758       

GRF 200-431 School Improvement                                     11,760       

            Models                $   25,100,000 $   24,975,000    11,762       

GRF 200-432 School Conflict                                        11,764       

            Management            $      411,645 $      421,524    11,766       

GRF 200-437 Student Proficiency   $   16,097,983 $   15,692,045    11,770       

GRF 200-441 American Sign                                          11,772       

            Language              $      231,449 $      237,003    11,774       

                                                          244    


                                                                 
GRF 200-442 Child Care Licensing  $    1,477,003 $    1,518,359    11,778       

GRF 200-445 OhioReads                                              11,780       

            Admin/Volunteer                                                     

            Support               $    5,000,000 $    5,000,000    11,782       

GRF 200-446 Education Management                                   11,784       

            Information System    $   13,799,674 $   12,649,674    11,786       

GRF 200-447 GED Testing/Adult                                      11,788       

            High School           $    2,033,187 $    2,081,983    11,790       

GRF 200-455 Community Schools     $    3,500,000 $    3,500,000    11,794       

GRF 200-500 School Finance Equity $   47,042,224 $   33,378,557    11,798       

GRF 200-501 Base Cost Funding     $3,449,393,212 $3,733,621,495    11,802       

GRF 200-502 Pupil Transportation  $  265,946,768 $  291,182,101    11,806       

GRF 200-503 Bus Purchase                                           11,808       

            Allowance             $   38,132,291 $   39,047,466    11,810       

GRF 200-505 School Lunch Match    $    9,450,000 $    9,450,000    11,814       

GRF 200-509 Adult Literacy                                         11,816       

            Education             $    9,361,964 $    9,586,651    11,818       

GRF 200-511 Auxiliary Services    $  110,255,190 $  118,083,309    11,822       

GRF 200-513 Summer Intervention   $   15,000,000 $   15,000,000    11,826       

GRF 200-514 Post-Secondary/Adult                                   11,828       

            Vocational Education  $   21,171,866 $   21,679,991    11,830       

GRF 200-520 Disadvantaged Pupil                                    11,832       

            Impact Aid            $  391,208,953 $  391,208,954    11,834       

GRF 200-521 Gifted Pupil Program  $   40,923,510 $   42,081,624    11,838       

GRF 200-524 Educational                                            11,840       

            Excellence and                                                      

            Competency            $   10,445,999 $    9,703,001    11,842       

GRF 200-532 Nonpublic                                              11,844       

            Administrative Cost                                                 

            Reimbursement         $   48,062,292 $   51,474,714    11,846       

GRF 200-533 School-Age Child Care $    1,070,720 $    1,096,417    11,850       

GRF 200-534 Desegregation Costs   $   12,000,000 $   11,700,000    11,854       

GRF 200-540 Special Education                                      11,856       

            Enhancements          $  126,826,848 $  137,220,164    11,858       

                                                          245    


                                                                 
GRF 200-545 Vocational Education                                   11,860       

            Enhancements          $   30,393,259 $   32,662,107    11,862       

GRF 200-546 Charge-Off Supplement $   10,000,000 $   20,000,000    11,866       

GRF 200-547 Power Equalization    $   21,900,000 $   34,700,000    11,870       

GRF 200-551 Reading Improvement   $    1,704,454 $    1,745,361    11,874       

GRF 200-552 County MR/DD Boards                                    11,876       

            Vehicle Purchases     $    1,627,152 $    1,666,204    11,878       

GRF 200-553 County MR/DD Boards                                    11,880       

            Transportation                                                      

            Operating             $    8,006,400 $    9,895,910    11,882       

GRF 200-558 Emergency Loan                                         11,884       

            Interest Subsidy      $    6,940,447 $    5,470,150    11,886       

GRF 200-566 OhioReads Grants      $   25,000,000 $   25,000,000    11,890       

GRF 200-570 School Improvement                                     11,892       

            Incentive Grants      $   10,000,000 $   10,000,000    11,894       

GRF 200-572 Teacher Incentive                                      11,896       

            Grants                $    5,000,000 $            0    11,898       

GRF 200-573 Character Education   $    1,050,000 $    1,050,000    11,902       

GRF 200-574 Substance Abuse                                        11,904       

            Prevention            $    2,300,000 $    2,420,000    11,906       

GRF 200-575 12th Grade                                             11,908       

            Proficiency Stipend   $   17,500,000 $   17,500,000    11,910       

GRF 200-901 Property Tax                                           11,912       

            Allocation -                                                        

            Education             $  636,200,000 $  673,960,000    11,914       

GRF 200-906 Tangible Tax                                           11,916       

            Exemption - Education $   69,000,000 $   71,000,000    11,918       

TOTAL GRF General Revenue Fund    $5,718,101,941 $6,108,344,109    11,921       

General Services Fund Group                                        11,924       

138 200-606 Computer Services     $    4,255,067 $    4,374,209    11,929       

4D1 200-602 Ohio                                                   11,931       

            Prevention/Education                                                

            Resource Center       $      293,321 $      301,534    11,933       

                                                          246    


                                                                 
4L2 200-681 Teacher Certification                                  11,935       

            and Licensure         $    3,774,544 $    3,880,232    11,937       

452 200-638 Miscellaneous Revenue $      295,000 $      295,000    11,941       

5H3 200-687 School District                                        11,943       

            Solvency Assistance   $   30,000,000 $   30,000,000    11,945       

596 200-656 Ohio Career                                            11,947       

            Information System    $      699,399 $      718,084    11,949       

TOTAL GSF General Services                                         11,950       

   Fund Group                     $   39,317,331 $   39,569,059    11,953       

Federal Special Revenue Fund Group                                 11,956       

309 200-601 Educationally                                          11,959       

            Disadvantaged         $    8,560,567 $    8,988,595    11,961       

366 200-604 Adult Basic Education $   14,901,137 $   14,901,137    11,965       

3H9 200-605 Head Start                                             11,967       

            Collaboration Project $      250,000 $      250,000    11,969       

367 200-607 School Food Services  $    9,492,000 $    9,783,000    11,973       

3T4 200-613 Public Charter                                         11,975       

            Schools               $    3,157,895 $    4,725,000    11,977       

368 200-614 Veterans' Training    $      609,517 $      626,584    11,981       

369 200-616 Vocational Education  $    7,500,000 $    8,000,000    11,985       

3L6 200-617 Federal School Lunch  $  163,500,000 $  170,500,000    11,989       

3L7 200-618 Federal School                                         11,991       

            Breakfast             $   40,500,000 $   44,500,000    11,993       

3L8 200-619 Child and Adult Care                                   11,995       

            Programs              $   58,600,000 $   58,600,000    11,997       

3L9 200-621 Vocational Education                                   11,999       

            Basic Grant           $   55,583,418 $   57,139,754    12,001       

3M0 200-623 ESEA Chapter One      $  375,633,666 $  394,415,350    12,005       

370 200-624 Education of All                                       12,007       

            Handicapped Children  $      274,949 $            0    12,009       

3T5 200-625 Coordinated School                                     12,011       

            Health                $      536,437 $      536,437    12,013       

3N7 200-627 School-to-Work        $   13,864,500 $   14,252,706    12,017       

371 200-631 EEO Title IV          $      488,052 $      508,917    12,021       

                                                          247    


                                                                 
374 200-647 E.S.E.A. Consolidated                                  12,023       

            Grants                $      107,096 $      110,094    12,025       

376 200-653 J.T.P.A.              $    5,123,365 $    5,266,819    12,029       

3R3 200-654 Goals 2000            $   19,453,001 $   20,425,651    12,033       

378 200-660 Math/Science                                           12,035       

            Technology                                                          

            Investments           $   11,686,926 $   12,271,272    12,037       

3C5 200-661 Federal Dependent                                      12,039       

            Care Programs         $   17,996,709 $   17,996,709    12,041       

3D1 200-664 Drug Free Schools     $   20,026,500 $   20,587,242    12,045       

3D2 200-667 Honors Scholarship                                     12,047       

            Program               $    1,976,400 $    2,371,680    12,049       

3E2 200-668 AIDS Education                                         12,051       

            Project               $      620,774 $      620,774    12,053       

3S7 200-673 Child Care School Age $    5,135,000 $    5,278,000    12,057       

3M1 200-678 ESEA Chapter Two      $   61,901,429 $   16,591,501    12,061       

3M2 200-680 Ind W/Disab Education                                  12,063       

            Act                   $  143,000,000 $  162,000,000    12,065       

3P9 200-686 SRRC/FRC Evaluation                                    12,067       

            Project               $       51,350 $       52,788    12,069       

TOTAL FED Federal Special                                          12,070       

   Revenue Fund Group             $1,040,530,688 $1,051,300,010    12,073       

State Special Revenue Fund Group                                   12,076       

4M4 200-637 Emergency Service                                      12,079       

            Telecommunication                                                   

            Training              $      762,548 $      783,899    12,081       

4R7 200-695 Indirect Cost                                          12,083       

            Recovery              $    2,868,561 $    2,948,881    12,085       

4V7 200-633 Interagency                                            12,087       

            Vocational Support    $      645,359 $      663,429    12,089       

454 200-610 Guidance and Testing  $      503,912 $      516,484    12,093       

455 200-608 Commodity Foods       $    8,000,000 $    8,000,000    12,097       

598 200-659 Auxiliary Services                                     12,099       

            Mobile Units          $    1,292,714 $    1,328,910    12,101       

                                                          248    


                                                                 
620 200-615 Educational Grants    $    1,500,000 $    1,500,000    12,105       

TOTAL SSR State Special Revenue                                    12,106       

   Fund Group                     $   15,573,094 $   15,741,603    12,109       

Lottery Profits Education Fund Group                               12,112       

017 200-612 Base Cost Funding     $  656,247,000 $  660,467,000    12,117       

017 200-682 Lease Rental Payment                                   12,119       

            Reimbursement         $   29,753,000 $   29,733,000    12,121       

TOTAL LPE Lottery Profits                                          12,122       

   Education Fund Group           $  686,000,000 $  690,200,000    12,125       

TOTAL ALL BUDGET FUND GROUPS      $7,499,523,054 $7,905,154,781    12,128       

      Section 4.01.  Personal Services                             12,131       

      Of the foregoing appropriation item 200-100, Personal        12,133       

Services, $120,000 in each fiscal year shall be used to support    12,134       

the salary and fringe benefits of a teacher in residence and       12,135       

support staff at the Governor's Office.                                         

      Maintenance and Equipment                                    12,137       

      Of the foregoing appropriation item 200-320, Maintenance     12,139       

and Equipment, up to $25,000 may be expended in each year of the   12,140       

biennium for State Board of Education out-of-state travel.         12,141       

      Of the foregoing appropriation item 200-320, Maintenance     12,143       

and Equipment, $4,000,000 in fiscal year 2000 shall be reserved    12,144       

to fund expenses associated with the Department of Education's     12,145       

move from the Ohio Departments Building.  The unencumbered         12,146       

balance of the appropriation at the end of fiscal year 2000 is     12,147       

hereby transferred to fiscal year 2001 to pay the cost of the                   

move of the Department of Education from the Ohio Departments      12,148       

Building.                                                                       

      Of the foregoing appropriation item 200-320, Maintenance     12,150       

and Equipment, $30,000 in each fiscal year shall be used to fund   12,151       

the travel expenses and administrative overhead of the Teacher in  12,152       

Residence and support staff at the Governor's Office.              12,153       

      Section 4.02.  Head Start                                    12,155       

      The foregoing appropriation item 200-406, Head Start, shall  12,157       

be distributed by the Department of Education to Head Start        12,158       

                                                          249    


                                                                 
agencies.  A "Head Start agency" means an entity that has been     12,159       

approved to be an agency in accordance with Section 641 [42        12,161       

U.S.C. 9836< of the Head Start Act and amendments thereto, or an   12,162       

entity designated for state Head Start funding under this          12,164       

section.  Participation in state funded Head Start programs is                  

voluntary.                                                                      

      Moneys distributed under this heading shall not be used to   12,166       

reduce expenditures from funds received by a Head Start agency     12,167       

from any other sources.  Section 3301.31 of the Revised Code does  12,168       

not apply to funds distributed under this heading.  In lieu of     12,169       

section 3301.31 of the Revised Code, distribution of moneys under  12,170       

this heading shall be as follows:                                               

      (A)  In fiscal years 2000 and 2001, up to two per cent of    12,172       

the total appropriation may be used by the Department for          12,173       

administrative costs of complying with this section; developing    12,174       

program capacity; and assisting programs with facilities           12,176       

planning, construction, renovation, or lease agreements in                      

combination with the Community Development Finance Fund (CDFF).    12,177       

Up to $3,000,000 in fiscal year 2000 and $1,500,000 in fiscal      12,178       

year 2001 may be used for training in early literacy for Head      12,179       

Start classroom teachers and administrators to support the         12,180       

OhioReads Initiative.                                                           

      (B)  The department shall provide an annual report to the    12,182       

Governor, the Speaker of the House of Representatives, the         12,183       

President of the Senate, the State Board of Education, Head Start  12,184       

grantees, and other interested parties.  The report shall include  12,185       

the following:                                                                  

      (1)  The number and per cent of eligible children by county  12,187       

and by grantee;                                                                 

      (2)  The amount of state funds requested for continuation    12,189       

per grantee;                                                       12,190       

      (3)  The amount of state funds received for continuation     12,192       

per grantee;                                                       12,193       

      (4)  A summary of program performance on the state critical  12,195       

                                                          250    


                                                                 
performance indicators;                                            12,196       

      (5)  A summary of developmental progress of children         12,198       

participating in the state funded Head Start program;              12,199       

      (6)  Any other data reflecting the performance of Head       12,201       

Start that the department considers pertinent.                     12,202       

      (C)  For purposes of this section, "eligible child" means a  12,204       

child who is at least three years of age and not of compulsory     12,205       

school age whose family earns no more than 100 per cent of the     12,206       

federal poverty level.                                                          

      The Department of Education, in consultation with the        12,208       

Department of Human Services, interested parties, and Head Start   12,209       

agencies shall formulate a method for determining an estimate of   12,210       

the number of eligible children and the per cent served by         12,211       

grantee(s) in each county.                                                      

      (D)  After setting aside amounts to make any payments due    12,213       

from the prior fiscal year, in fiscal years 2000 and 2001, funds   12,214       

shall first be distributed to recipients of Head Start funds       12,216       

during the preceding fiscal year.  Awards under this division may  12,218       

be reduced by the amount received in that year for one-time                     

start-up costs and may be adjusted for actual months of program    12,219       

operation or enrollment as reported during the first full week of  12,220       

December, and may be increased by a reasonable percentage for      12,221       

inflation to be determined by the Department of Education and in   12,222       

accordance with this section.  The Department may redistribute     12,223       

dollars to programs demonstrating an unmet need based on updated   12,224       

assessments of family needs and community resources, with special  12,225       

attention to the projected impact of welfare reform.  In fiscal                 

years 2000 and 2001, the department may authorize recipients to    12,226       

carry over funds to the subsequent fiscal year.                    12,227       

      The Department may reallocate unobligated or unspent money   12,229       

to participating Head Start agencies for purposes of program       12,230       

expansion, improvement, or special projects to promote excellence  12,231       

and innovation.                                                                 

      (E)  Costs for developing and administering a Head Start     12,233       

                                                          251    


                                                                 
program may not exceed fifteen per cent of the total approved      12,234       

costs of the program.                                                           

      All recipients of funds shall maintain such fiscal control   12,236       

and accounting procedures as may be necessary to ensure the        12,237       

disbursement of, and accounting for, these funds.  The control of  12,238       

funds provided in this program, and title to property obtained     12,239       

therefrom, shall be under the authority of the approved recipient  12,240       

for purposes provided in the program.  The approved recipient      12,241       

shall administer and use such property and funds for the purposes  12,242       

specified.                                                         12,243       

      Each recipient shall furnish the department an annual audit  12,245       

that includes the review of state funds received under this        12,246       

section.                                                                        

      (F)  The department shall prescribe target levels for        12,250       

critical performance indicators for the purpose of assessing Head  12,251       

Start programs.  On-site reviews and follow-up visits shall be                  

based on grantee progress in meeting the prescribed target         12,252       

levels.                                                                         

      The department may audit a Head Start agency's financial     12,254       

and program records.  Head Start agencies that have financial      12,255       

practices not in accordance with standard accounting principles,   12,256       

that fail to substantially meet the Head Start performance         12,257       

standards, or that exhibit below-average performance shall be      12,258       

subject to an on-site review.                                      12,259       

      The department shall require corrective plans of action for  12,261       

programs not achieving target levels or financial and program      12,262       

standards.  Action plans shall include activities to be conducted  12,264       

by the grantee and timelines for activities to be completed and                 

timelines for additional data submission to the department         12,265       

demonstrating targets have been met.  The Policy Council           12,266       

chairperson and the appropriate grantee board official shall sign  12,267       

the corrective plans of action.                                                 

      Programs not meeting performance targets in accordance with  12,270       

the plan of action and prescribed timelines may have their                      

                                                          252    


                                                                 
continuation funding reduced, be disqualified for expansion        12,271       

consideration until targets are met, or have all state funds       12,272       

withdrawn and a new grantee established.                                        

      The department shall require school districts to collect     12,274       

"preschool" information by program type.  All data shall be        12,275       

reported via the Education Management Information System (EMIS).   12,276       

      (G)  The Department shall require Head Start grantees to     12,278       

document child progress, using a common instrument prescribed by   12,279       

the department, and report results annually.  The department       12,280       

shall determine the dates for documenting and reporting.           12,281       

      The State Board of Education shall adopt rules addressing    12,283       

the use of screening and assessment data, including, but not       12,284       

limited to, all the following:                                     12,285       

      (1)  Protection of the identity of individual children       12,287       

through assignment of a unique but not personally identifiable     12,288       

code;                                                                           

      (2)  Parents' rights;                                        12,290       

      (3)  Use of the data by school personnel as it relates to    12,292       

kindergarten entrance.                                             12,293       

      (H)  New agencies may be designated for state Head Start     12,295       

funding if a Head Start agency voluntarily waives its right for    12,296       

funding or is de-funded based on performance.                      12,297       

      When such a condition exists, the department shall conduct   12,299       

a competitive bidding process to select a new agency to provide    12,300       

state funded continuation and/or expansion services.  The bidding  12,301       

process shall include notices of competitive bidding mailed to     12,302       

delegate agencies in the affected area and to newspapers in the    12,303       

Head Start service area.                                                        

      Section 3313.646 of the Revised Code does not apply to       12,305       

funds distributed under this section.                              12,306       

      (I)  It is the intent of the General Assembly that           12,308       

appropriations for appropriation items 200-406, Head Start, and    12,309       

200-408, Public Preschool, be available for transfer between Head  12,310       

Start and public preschool programs so that unallocated funds may  12,311       

                                                          253    


                                                                 
be used between the two programs.                                  12,312       

      Section 4.03.  Public Preschool                              12,314       

      The Department of Education shall distribute the foregoing   12,316       

appropriation item 200-408, Public Preschool, to pay the costs of  12,318       

comprehensive preschool programs.  As used in this section,        12,319       

"school district" means a city, local, exempted village, or joint  12,320       

vocational school district, or an educational service center.      12,322       

      (A)  In fiscal years 2000 and 2001, up to two per cent of    12,324       

the total appropriation may be used by the department for          12,325       

administrative costs of complying with this section; developing    12,326       

program capacity; and assisting programs with facilities           12,328       

planning, construction, renovation, or lease agreements in         12,329       

conjunction with the Community Development Finance Fund (CDFF).                 

      (B)  The department shall provide an annual report to the    12,332       

Governor, the Speaker of the House of Representatives, the         12,333       

President of the Senate, the State Board of Education, Head Start  12,334       

grantees, and other interested parties.  The report shall          12,335       

include:                                                           12,336       

      (1)  The number and per cent of eligible children by county  12,338       

and by school district;                                            12,339       

      (2)  The amount of state funds requested for continuation    12,341       

per school district;                                                            

      (3)  The amount of state funds received for continuation     12,343       

per school district;                                                            

      (4)  A summary of program performance on the state critical  12,345       

performance indicators in the public preschool program;            12,346       

      (5)  A summary of developmental progress of children         12,348       

participating in the state funded public preschool program;        12,349       

      (6)  Any other data reflecting the performance of public     12,351       

preschool programs that the department considers pertinent.        12,353       

      (C)  For purposes of this section "eligible child" means a   12,355       

child who is at least three years of age whose family earns no     12,357       

more than 185 per cent of the federal poverty level.                            

      The Department of Education, in consultation with the        12,359       

                                                          254    


                                                                 
Department of Human Services, interested parties, and Head Start   12,360       

agencies shall formulate a method for determining an estimate of   12,361       

the number of eligible children and the percentage served by       12,362       

grantees in each county.                                           12,363       

      (D)  After setting aside amounts to make any payments due    12,365       

from the prior fiscal year, in fiscal years 2000 and 2001, funds   12,367       

shall first be distributed to recipients of funds during the       12,369       

preceding fiscal year.  Awards under this division may be reduced  12,370       

by the amount received in that fiscal year for one-time start-up   12,371       

costs and may be adjusted for actual months of program operation   12,372       

or enrollment as reported during the first full week of December,  12,373       

and may be increased by a reasonable percentage to be determined   12,374       

by the Department of Education.  The department may redistribute   12,375       

dollars to programs demonstrating an unmet need based on updated   12,376       

assessments of family needs and community resources, with special  12,377       

attention to the projected impact of welfare reform.  In fiscal    12,378       

years 2000 and 2001, the department may authorize recipients to    12,380       

carry over funds to the subsequent fiscal year.                                 

      The department may reallocate unobligated or unspent money   12,382       

to participating school districts for purposes of program          12,383       

expansion, improvement, or special projects to promote excellence  12,384       

and innovation.                                                    12,385       

      (E)  Costs for developing and administering a preschool      12,387       

program may not exceed fifteen per cent of the total approved      12,388       

costs of the program.                                              12,389       

      All recipients of funds shall maintain such fiscal control   12,391       

and accounting procedures as may be necessary to ensure the        12,392       

disbursement of, and accounting for, these funds.  The control of  12,393       

funds provided in this program, and title to property obtained     12,394       

therefrom, shall be under the authority of the approved recipient  12,395       

for purposes provided in the program.  The approved recipient      12,396       

shall administer and use such property and funds for the purposes  12,397       

specified.                                                         12,398       

      (F)  The department shall prescribe target levels for        12,400       

                                                          255    


                                                                 
critical performance indicators for the purpose of assessing       12,401       

public preschool programs.  On-site reviews and follow-up visits   12,402       

shall be based on progress in meeting the prescribed target        12,403       

levels.                                                                         

      The department may audit a school district's preschool       12,405       

financial and program records.  School districts that have         12,406       

financial practices not in accordance with standard accounting     12,407       

principles, that operate preschool programs that fail to           12,408       

substantially meet the Head Start performance standards, or that   12,409       

exhibit below-average performance shall be subject to an on-site   12,410       

review.                                                                         

      The department shall require corrective plans of action for  12,412       

programs not achieving target levels or financial and program      12,413       

standards.  Action plans shall include activities to be conducted  12,414       

by the grantee and timelines for activities to be completed and    12,415       

timelines for additional data submission to the department         12,416       

demonstrating that targets have been met.  The appropriate school  12,417       

board official shall sign the corrective plans of action.          12,418       

      Public preschool programs not meeting performance targets    12,420       

in accordance with the plan of action and prescribed timelines     12,421       

may have their continuation funding reduced, be disqualified for   12,422       

expansion consideration until targets are met, or have all state   12,423       

funds withdrawn and a new program established.                     12,424       

      (G)  The department shall require public preschool programs  12,426       

to document child progress, using a common instrument prescribed   12,427       

by the department, and report results annually.  The department    12,428       

shall determine the dates for documenting and reporting.           12,429       

      The State Board of Education shall adopt rules addressing    12,431       

the use of screening and assessment data, including, but not       12,432       

limited to, all of the following:                                  12,433       

      (1)  Protection of the identity of individual children       12,435       

through assignment of a unique but not personally identifiable     12,436       

code;                                                                           

      (2)  Parents' rights;                                        12,438       

                                                          256    


                                                                 
      (3)  Use of the data by school personnel as it relates to    12,440       

kindergarten entrance.                                             12,441       

      (H)  Each school district shall develop a sliding fee scale  12,443       

based on the family incomes in the district and shall charge       12,445       

families who earn more than the federal poverty level for          12,446       

preschool.                                                                      

      (I)  It is the intent of the General Assembly that           12,448       

appropriations for line item 200-406, Head Start, and 200-408,     12,449       

Public Preschool, be available for transfer between Head Start     12,450       

and Public Preschool programs so that unallocated funds may be     12,451       

used between the two programs.                                     12,452       

      Section 4.04.  Professional Development                      12,454       

      Of the foregoing appropriation item 200-410, Professional    12,456       

Development, $5,997,829 in each fiscal year shall be used by the   12,457       

Department of Education to develop a statewide comprehensive       12,459       

system of twelve professional development centers that support     12,460       

local educators' ability to foster academic achievement in the     12,461       

students they serve.  The centers shall include training teachers  12,463       

on site-based management concepts to encourage teachers to become  12,464       

involved in the management of their schools.                       12,465       

      Of the foregoing appropriation item 200-410, Professional    12,467       

Development, $1,321,292 in each fiscal year shall be used by the   12,468       

Department of Education to establish programs targeted at          12,469       

recruiting under-represented populations into the teaching         12,470       

profession.  In each year, the appropriation item shall be used    12,471       

by the department to include, but not be limited to, alternative   12,472       

teacher licensure or certification programs emphasizing the        12,473       

recruitment of highly qualified minority candidates into           12,474       

teaching, including emphasizing the recruitment of highly          12,475       

qualified minority candidates into teaching positions in schools   12,476       

which have a high percentage of minority students.  The                         

recruitment programs shall also target recruiting qualified        12,478       

candidates available as a result of downsizing of the military     12,479       

and business sectors.  Funding shall also be targeted to           12,480       

                                                          257    


                                                                 
statewide, regional, and local programs that are competitively                  

selected as promising programs demonstrating the potential of      12,481       

significantly increasing Ohio's minority teaching force.           12,482       

      Of the foregoing appropriation item 200-410, Professional    12,484       

Development, $9,659,713 in each fiscal year shall be distributed   12,485       

on a per teacher basis to all school districts and joint           12,486       

vocational school districts for locally developed teacher          12,487       

training and professional development and for the establishment    12,489       

of local professional development committees in all school         12,490       

districts and chartered nonpublic schools.  School districts and   12,491       

joint vocational school districts shall not be precluded from      12,492       

using these funds for cooperative activities on a county or        12,493       

regional basis.  School districts with pass rates of less than 75  12,494       

per cent on the fourth grade reading proficiency test shall                     

allocate no less than 40 per cent of these funds for professional  12,495       

development for teachers in elementary literacy skills.            12,496       

      Of the foregoing appropriation item 200-410, Professional    12,498       

Development, $115,000 in each fiscal year shall be used to fund    12,499       

public institutions or agencies that provide educational services  12,500       

and employ or contract the services of licensed educators for      12,501       

establishing local professional development committees pursuant    12,502       

to division (C)(5) of section 3319.22 of the Revised Code.                      

      Of the foregoing appropriation item 200-410, Professional    12,504       

Development, $2,125,000 in fiscal year 2000 and $2,950,000 in      12,505       

fiscal year 2001 shall be used by the Department of Education to   12,507       

pay the application fee for teachers from public and chartered     12,508       

nonpublic schools applying to the National Board for Professional  12,509       

Teaching Standards for professional teaching certificates or       12,512       

licenses that the board offers, and to provide grants in each      12,513       

fiscal year to recognize and reward teachers who become certified  12,514       

by the board pursuant to section 3319.55 of the Revised Code.      12,515       

      These moneys shall be used to pay for the first 500          12,518       

applications in fiscal year 2000 and the first 600 applications    12,519       

in fiscal year 2001 received by the department.  Each prospective  12,520       

                                                          258    


                                                                 
applicant for certification or licensure shall submit an           12,521       

application to the Department of Education.  When the department   12,522       

has collected a group of applications, but no later than 30 days   12,523       

after receipt of the first application in a group, it shall send                

the applications to the National Board for Professional Teaching   12,525       

Standards along with a check to cover the cost of the application  12,526       

fee for all applicants in that group.                              12,527       

      Of the foregoing appropriation item 200-410, Professional    12,529       

Development, up to $300,000 shall be used each fiscal year by the  12,530       

Department of Education to support the connection of teacher       12,531       

applicants to university programs that enhance applicant learning  12,533       

and professional development during the National Board             12,534       

Certification process.                                                          

      Of the foregoing appropriation item 200-410, Professional    12,535       

Development, up to $1,875,000 in each fiscal year shall be         12,536       

allocated for entry year programs.  Each fiscal year, up to        12,537       

$1,250,000 shall be used for mentors and assessor training, and    12,538       

up to $1,475,000 for peer review.  The Department of Education                  

shall select eligible beginning teachers to participate in a       12,539       

year-long entry year program that provides guidance and coaching   12,540       

by experienced school district and university faculty and regular  12,541       

teacher performance assessment.  The program is designed to        12,542       

assess each beginning teacher with the Education Testing           12,543       

Service's Praxis III examination.  These funds shall be used to                 

support the supervisory, teaching, and assessment services         12,544       

associated with the pilot residency program in urban, suburban,    12,545       

and rural sites.                                                                

      Of the foregoing appropriation item 200-410, Professional    12,547       

Development, up to $650,000 in each fiscal year shall be used to   12,548       

continue Ohio leadership academies to develop and train            12,549       

superintendents, principals, other administrators, and school      12,550       

board members in new leadership and management practices to        12,551       

support high performance schools.  This training shall be                       

coordinated with other locally administered leadership programs.   12,552       

                                                          259    


                                                                 
      Of the foregoing appropriation item 200-410, Professional    12,554       

Development, up to $850,000 in each fiscal year shall be used to   12,555       

support a two-year Principal's Leadership Academy that will serve  12,556       

principals and their staff teams.  An advisory panel comprised of  12,557       

national business and education experts shall advise the Ohio      12,558       

Department of Education on content and delivery of curriculum and  12,559       

instruction.                                                                    

      Of the foregoing appropriation item 200-410, Professional    12,561       

Development, up to $975,000 in each fiscal year shall be used to   12,562       

establish an entry year program for principals. Grants shall be    12,563       

issued to pilot sites that shall develop prototypes of the         12,564       

program in a variety of contexts.  These sites shall also pilot    12,565       

the School Leaders Licensure Assessment, which was developed by                 

the Educational Testing Service at a cost of $450 per assessment.  12,566       

      Section 4.05.  Family and Children First                     12,568       

      (A)  Of the foregoing appropriation item 200-411, Family     12,570       

and Children First, the Department of Education shall transfer up  12,571       

to $3,677,188 in each fiscal year by intrastate transfer voucher   12,573       

to the Department of Mental Retardation and Developmental          12,574       

Disabilities.  These funds shall be spent on direct grants to      12,575       

county family and children first councils created under section    12,578       

121.37 of the Revised Code.  The funds shall be used as partial    12,579       

support payment and reimbursement for the maintenance and          12,580       

treatment costs of multi-need children that come to the attention  12,581       

of the Family and Children First Cabinet Council pursuant to       12,582       

section 121.37 of the Revised Code.  The Department of Mental      12,583       

Retardation and Developmental Disabilities shall administer the    12,584       

distribution of the direct grants to the county councils.  The     12,586       

Department of Mental Retardation and Developmental Disabilities    12,588       

may use up to five per cent of this amount for administrative      12,589       

expenses associated with the distribution of funds to the county   12,590       

councils.                                                                       

      (B)  Of the funds appropriated in this item, up to           12,592       

$1,775,000 in each fiscal year shall be used as administrative     12,593       

                                                          260    


                                                                 
grants to county family and children first councils to provide a   12,595       

portion of the salary and fringe benefits necessary to fund        12,596       

county council coordinators, administrative support, training, or  12,598       

parental involvement.  The total initial grant under this          12,599       

provision to any county family and children first council shall    12,600       

not exceed $20,000.  In the event that not all counties in the     12,602       

state have established a county council, at the beginning of the   12,603       

fourth quarter of a fiscal year, any remaining funds to be used                 

as administrative grants may be redirected by the Family and       12,604       

Children First Cabinet Council to other priorities and             12,605       

activities.  Of the funds appropriated in this item, up to         12,607       

$15,000 shall be used by the Family and Children First Cabinet     12,608       

Council for administrative costs, including stipends to family     12,609       

representatives participating in approved activities of the        12,610       

initiative, educational and informational forums, and technical    12,611       

assistance to local family and children first councils.            12,612       

      (C)  Of the foregoing appropriation item 200-411, Family     12,614       

and Children First, up to $5,190,000 in each fiscal year shall be  12,616       

used to fund school-based or school-linked school readiness        12,617       

resource centers in school districts where there is a              12,618       

concentration of risk factors to school readiness and success,     12,619       

including indicators of poverty, health, and family stability.     12,620       

The purpose of these centers is to assist in providing services    12,621       

to families of school-age children who want and need support.      12,622       

      School readiness resource centers shall be located in each   12,624       

of the state's 21 urban school districts as defined in division    12,625       

(O) of section 3317.02 of the Revised Code, as that section        12,627       

existed prior to July 1, 1998.  The Ohio Family and Children       12,629       

First Cabinet Council, in consultation with the Department of      12,630       

Education and school districts, shall identify individual schools  12,631       

based on quantitative and qualitative factors that reflect both    12,632       

the need for school readiness resource centers and the local       12,633       

capacity for redesigning, as necessary, a delivery system of       12,634       

family support services.  The council and the Department of        12,635       

                                                          261    


                                                                 
Education shall organize and provide technical assistance to the   12,636       

school districts and communities in planning, developing, and      12,637       

implementing the centers.  The council shall also negotiate a                   

performance agreement that details required program                12,638       

characteristics, service options, and expected results.            12,639       

      Each urban school district and community may receive up to   12,641       

$240,000 to maintain three school readiness resource centers that  12,642       

are located in or linked to elementary, middle, and high school    12,643       

sites that are connected by student assignment patterns within     12,644       

the school districts.  Each school district shall work with a      12,645       

representative of the local family and children first council and  12,647       

a representative cross-section of families and community leaders   12,648       

in the district to operate the school readiness resource centers   12,649       

based upon conditions agreed to in the performance agreement       12,650       

negotiated with the state council.                                 12,651       

      Up to $50,000 in each fiscal year may be used by the Ohio    12,653       

Family and Children First Cabinet Council for an evaluation of     12,654       

the effectiveness of the school readiness resource centers.  Up    12,655       

to $100,000 in each fiscal year may be used by the cabinet         12,656       

council to approve technical assistance and oversee the            12,657       

implementation of the centers.  The administration and management  12,658       

of the school readiness resource centers may be contracted out     12,659       

through a competitive bidding process established by the cabinet   12,660       

council in consultation with the Department of Education.          12,661       

      Section 4.06.  Vocational Education Match                    12,663       

      The foregoing appropriation item 200-416, Vocational         12,665       

Education Match, shall be used by the Department of Education to   12,666       

provide vocational administration matching funds pursuant to 20    12,667       

U.S.C. 2311.                                                       12,668       

      Technical Systems Development                                12,670       

      The foregoing appropriation item 200-420, Technical Systems  12,672       

Development, shall be used to support several information system   12,673       

development projects that are designed to improve the performance  12,674       

and customer service of the Ohio Department of Education.          12,675       

                                                          262    


                                                                 
Implementation of these systems shall allow the department to      12,676       

provide greater levels of assistance and more timely information   12,677       

to school districts, administrators, and legislators.              12,678       

      Up to $2,500,000 in fiscal year 2000 shall be used for       12,680       

development and testing of the school administration software of   12,681       

EMIS. Up to $250,000 in fiscal year 2000 shall be used for the     12,682       

construction plans of the EMIS redesign.                           12,683       

      In fiscal year 2000, up to $300,000 may be used for the      12,685       

Department's maintenance contract for database management          12,686       

software; up to $100,000 shall be used for Phase I of the          12,687       

Department's data warehouse software purchase and maintenance      12,688       

fees; and up to $300,000 shall be used for Phase II of the data    12,689       

warehouse project.                                                 12,690       

      In fiscal year 2001, up to $1,800,000 shall be used for      12,692       

EMIS conversion, including district support and technical          12,693       

assistance; up to $350,000 may be used for the Department's        12,694       

annual maintenance contract for database management software; and  12,695       

up to $200,000 shall be used to support the data warehouse         12,696       

project.                                                                        

      School Management Assistance                                 12,698       

      The foregoing appropriation item 200-422, School Management  12,700       

Assistance, shall be used by the Department of Education to        12,701       

provide fiscal technical assistance and inservice education for    12,702       

school district management personnel and to administer, monitor,   12,704       

and implement the fiscal watch and fiscal emergency provisions     12,705       

under Chapter 3316. of the Revised Code.                                        

      Policy Analysis                                              12,707       

      The foregoing appropriation item 200-424, Policy Analysis,   12,709       

shall be used by the Department of Education to develop software   12,711       

and other computer assistance to maintain and enhance a system of  12,712       

administrative, statistical, and legislative education                          

information to be used for policy analysis.  The data base shall   12,713       

be kept current at all times.  Such a system will be used to       12,714       

supply information and analysis of data to the General Assembly    12,715       

                                                          263    


                                                                 
and other state policy makers, including the Office of Budget and  12,716       

Management and the Legislative Budget Office of the Legislative    12,717       

Service Commission.                                                12,718       

      The Department of Education may use funding from this line   12,720       

item to purchase or contract for the development of software       12,721       

systems or contract for policy studies that will assist in the     12,723       

provision and analysis of policy-related information.                           

      Ohio Educational Computer Network                            12,725       

      The foregoing appropriation item 200-426, Ohio Educational   12,727       

Computer Network, shall be used by the Department of Education to  12,728       

maintain a system of information technology throughout Ohio and    12,729       

to provide technical assistance for such a system in support of    12,730       

the State Education Technology Plan pursuant to section 3301.07    12,731       

of the Revised Code.                                               12,732       

      This system shall support the development, maintenance, and  12,734       

operation of a network of uniform and compatible computer-based    12,735       

information and instructional systems.  The technical assistance   12,736       

shall include, but not be restricted to, the development and       12,737       

maintenance of adequate computer software systems to support       12,738       

network activities.  Program funds may be used, through a formula  12,739       

and guidelines devised by the department, to subsidize the         12,740       

activities of not more than twenty-four designated data            12,741       

acquisition sites, as defined by State Board of Education rules,   12,742       

to provide to school districts and chartered nonpublic schools     12,743       

computer-based student and teacher instructional and               12,745       

administrative information services, including approved            12,746       

computerized financial accounting, to assure the effective         12,747       

operation of local automated administrative and instructional      12,748       

systems.                                                                        

      In order to broaden the scope of the use of technology for   12,750       

education, the department may use up to $250,000 in each fiscal    12,751       

year to coordinate the activities of the computer network with     12,753       

other agencies funded by the department or the state.  In order    12,754       

to improve the efficiency of network activities, the department    12,755       

                                                          264    


                                                                 
and data acquisition sites may jointly purchase equipment,         12,756       

materials, and services from funds provided under this             12,757       

appropriation for use by the network and, when considered          12,758       

practical by the department, may utilize the services of           12,759       

appropriate state purchasing agencies.                             12,760       

      Of the foregoing appropriation item 200-426, Ohio            12,762       

Educational Computer Network, up to $10,260,000 in fiscal year     12,763       

2000 and $19,000,000 in fiscal year 2001 shall be used by the      12,764       

Department of Education to support connections of all public       12,765       

school buildings to the Ohio Education Computer Network.  In each               

fiscal year the Department of Education shall use these funds to   12,766       

help reimburse data acquisition sites or school districts for the  12,767       

operational costs associated with using the Ohio Education         12,768       

Computer Network.  The Department of Education shall develop a     12,769       

formula and guidelines for the distribution of these funds to the  12,770       

data acquisition sites or individual school districts.                          

      For fiscal year 2000, the Department of Education shall use  12,772       

up to $1,939,772 to continue to manage and develop the statewide   12,773       

union catalog and InfOhio Network of library resources that will   12,774       

be accessible to all school districts through the Ohio Education   12,775       

Computer Network up to $1,994,086 in fiscal year 2001 shall be     12,776       

used for the Union Catalog and InfOhio Network.                                 

      The Department of Education shall use up to $2,430,000 in    12,779       

fiscal year 2000 and up to $4,500,000 in fiscal year 2001 to       12,780       

assist designated data acquisition sites with operational costs    12,781       

associated with the increased use of the Ohio Education Computer   12,783       

Network by chartered nonpublic schools.  The Department of         12,784       

Education shall develop a formula and guidelines for distribution  12,786       

of these funds to designated data acquisition sites.                            

      Section 4.07.  School Improvement Models                     12,788       

      The foregoing appropriation item 200-431, School             12,790       

Improvement Models, shall be used by the Department of Education   12,791       

to continue to support the creation of a statewide network of      12,792       

school improvement sites by providing competitive venture capital  12,793       

                                                          265    


                                                                 
grants to schools that demonstrate the capacity to invent or       12,794       

adapt school improvement models.  The department shall showcase    12,795       

projects of exceptional merit and shall promote the networking of               

venture schools with both venture and nonventure schools so that   12,796       

administrators and teachers outside the district can benefit from  12,798       

the knowledge gained at these sites.  Up to $8,850,000 in fiscal                

year 2000 shall be used to provide grants of $25,000 to 354        12,799       

schools and up to $6,225,000 in fiscal year 2001 shall be used to  12,800       

provide grants of $25,000 to 249 schools.                          12,801       

      The Superintendent of Public Instruction shall assess        12,804       

individual school district responses to the performance audits                  

conducted by the Auditor of State as required by Am. Sub. H.B.     12,805       

215 of the 122nd General Assembly.  These assessments shall be     12,807       

compiled into a report to the Speaker of the House of              12,808       

Representatives, the President of the Senate, and the chairs and                

ranking minority members of the House and Senate committees on     12,809       

education and finance.                                             12,810       

      Of the foregoing appropriation item 200-431, School          12,812       

Improvement Models, $5,000,000 shall be used in each fiscal year   12,814       

for the development and distribution of school report cards                     

pursuant to section 3302.03 of the Revised Code and the            12,815       

development of core competencies for the proficiency tests.        12,816       

      Of the foregoing appropriation item 200-431, School          12,818       

Improvement Models, $250,000 in each fiscal year shall be used     12,820       

for the development and operation of a Safe Schools Center.  The   12,821       

Department of Education shall oversee the creation of a center     12,822       

that provides resources to school district personnel, parents,                  

juvenile justice representatives, and law enforcement that         12,823       

identify effective strategies for improving school safety and      12,824       

reducing threats to the security of students and school            12,825       

personnel.                                                                      

      Of the foregoing appropriation item 200-431, School          12,827       

Improvement Models, $5,850,000 in fiscal year 2000 and $5,300,000  12,828       

in fiscal year 2001 shall be used to provide technical assistance  12,829       

                                                          266    


                                                                 
for comprehensive school improvement.                                           

      Of the foregoing appropriation item 200-431, School          12,831       

Improvement Models, $5,150,000 in fiscal year 2000 and $8,200,000  12,832       

in fiscal year 2001 shall be used for professional development in  12,833       

literacy for classroom teachers, administrators, and literacy      12,834       

specialists to support the OhioReads initiative.                                

      School Conflict Management                                   12,836       

      Of the foregoing appropriation item 200-432, School          12,838       

Conflict Management, amounts shall be used by the Department of    12,839       

Education for the purpose of providing dispute resolution and      12,840       

conflict management training, consultation, and materials for      12,841       

school districts, and for the purpose of providing competitive     12,842       

school conflict management grants to school districts.             12,843       

      The Department of Education shall assist the Commission on   12,845       

Dispute Resolution and Conflict Management in the development and  12,846       

dissemination of the school conflict management program.           12,848       

      Student Proficiency                                          12,850       

      The foregoing appropriation item 200-437, Student            12,852       

Proficiency, shall be used to develop, field test, print,          12,853       

distribute, score, and report results from the tests required      12,854       

under sections 3301.0710 and 3301.0711 of the Revised Code and     12,856       

for similar purposes as required by section 3301.27 of the         12,857       

Revised Code.                                                                   

      American Sign Language                                       12,859       

      Of the foregoing appropriation item 200-441, American Sign   12,861       

Language, up to $150,000 in each fiscal year shall be used to      12,863       

implement pilot projects for the integration of American Sign      12,864       

Language deaf language into the kindergarten through               12,865       

twelfth-grade curriculum.                                                       

      The remainder of the appropriation shall be used by the      12,867       

Department of Education to provide supervision and consultation    12,868       

to school districts in dealing with parents of handicapped         12,869       

children who are deaf or hard of hearing, in integrating American  12,870       

Sign Language as a foreign language, and in obtaining              12,871       

                                                          267    


                                                                 
interpreters and improving their skills.                           12,872       

      Child Care Licensing                                         12,874       

      The foregoing appropriation item 200-442, Child Care         12,876       

Licensing, shall be used by the Department of Education to         12,877       

license and to inspect preschool and school-age child care         12,878       

programs in accordance with sections 3301.52 to 3301.59 of the     12,879       

Revised Code.                                                                   

      OhioReads Administration/Volunteer Support                   12,881       

      The foregoing appropriation item 200-445, OhioReads          12,883       

Admin/Volunteer Support, may be allocated by the OhioReads         12,884       

Council for volunteer coordinators in public school buildings, to  12,885       

educational service centers for costs associated with volunteer    12,886       

coordination, for background checks for volunteers, to evaluate                 

the OhioReads Program, and for operating expenses associated with  12,887       

administering the program.                                         12,889       

      Section 4.08.  Education Management Information System       12,891       

      The foregoing appropriation item 200-446, Education          12,893       

Management Information System, shall be used to provide school     12,894       

districts with the means to implement local automated information  12,895       

systems, to implement the common student information management    12,896       

software developed by the Department of Education, and to          12,897       

implement, develop, and improve the Education Management           12,898       

Information System (EMIS).                                         12,899       

      Up to $1,000,000 in each fiscal year shall be used by the    12,902       

Department of Education to assist designated data acquisition      12,903       

sites or school districts with deployment of the common student                 

information management software, and for hardware, personnel,      12,905       

equipment, staff development, software, and forms modification,    12,906       

as well as to support EMIS special report activities in the        12,907       

department that are designed to use the data collected by the      12,908       

system.                                                                         

      Up to $2,714,234 in fiscal year 2000 and $2,782,090 in       12,910       

fiscal year 2001 shall be distributed to designated data           12,911       

acquisition sites for costs relating to the processing, storing,   12,912       

                                                          268    


                                                                 
and transfer of data for the effective operation of the EMIS.      12,914       

These costs may include, but are not limited to, personnel,        12,915       

hardware, software development, communications connectivity,       12,916       

professional development and support services, and to provide      12,917       

services to participate in the State Education Technology Plan     12,918       

pursuant to section 3301.07 of the Revised Code.                                

      Up to $6,023,718 in fiscal year 2000 and $6,174,310 in       12,920       

fiscal year 2001 shall be distributed to school districts and      12,921       

joint vocational school districts on a per-pupil basis.  From      12,922       

this money, each school district with enrollment greater than 100  12,923       

students and each vocational school district shall receive a       12,924       

minimum of $5,000 for each year of the biennium.  Each school      12,925       

district with enrollment between one and one hundred and each      12,926       

county office of education shall receive $3,000 for each year of   12,927       

the biennium.  This money shall be used for costs associated with  12,928       

the development and operation of local automated record based      12,929       

information systems that provide data as required by the           12,930       

education management information system, and facilitate local      12,931       

district, school, and classroom management activities.             12,932       

      GED Testing/Adult High School                                12,934       

      The foregoing appropriation item 200-447, GED Testing/Adult  12,936       

High School, shall be used to provide General Educational          12,937       

Development (GED) testing at no cost to first time applicants,     12,938       

pursuant to rules adopted by the State Board of Education.  Of     12,939       

the foregoing appropriation item 200-447, GED Testing/Adult High   12,940       

School, up to $250,000 in each fiscal year shall be used by the    12,941       

department to reimburse local shool districts for a portion of     12,943       

the costs incurred in providing summer instructional or                         

intervention services to students who have not graduated due to    12,944       

their inability to pass one or more parts of the state's ninth     12,945       

grade proficiency test.  School districts may provide these        12,946       

services to students directly or contract with post-secondary or   12,947       

nonprofit community-based institutions in providing instruction.   12,948       

The remainder of the appropriation shall be used for state         12,949       

                                                          269    


                                                                 
reimbursement to school districts for adult high school                         

continuing education programs pursuant to section 3313.531 of the  12,950       

Revised Code or for costs associated with awarding adult high      12,951       

school diplomas under section 3313.611 of the Revised Code.        12,952       

      Community Schools                                            12,954       

      Of the foregoing appropriation item 200-455, Community       12,956       

Schools, up to $100,000 in each fiscal year may be used by the     12,957       

Lucas County Educational Service Center to pay for additional      12,958       

services provided to community schools, subject to the reporting   12,959       

by the service center of actual expenses incurred to the           12,960       

Department of Education.  In each fiscal year, up to $400,000 may  12,961       

be used by the Office of School Options in the Department of       12,962       

Education for additional services and responsibilities under       12,963       

section 3314.11 of the Revised Code.                               12,964       

      The remaining appropriation may be used by the Department    12,966       

of Education and the Lucas County Educational Service Center to    12,967       

make grants of up to $50,000 to each proposing group with a        12,968       

preliminary agreement obtained under division (C)(2) of section    12,969       

3314.02 of the Revised Code in order to defray planning and        12,972       

initial start-up costs.  In the first year of operation of a                    

community school, the Department of Education and the Lucas        12,973       

County Educational Service Center may make a grant of no more      12,974       

than $100,000 to the governing authority of the school to          12,975       

partially defray additional start-up costs.  The amount of the     12,976       

grant shall be based on a thorough examination of the needs of     12,977       

the community school.  The Department of Education and the Lucas   12,978       

County Educational Service Center shall not utilize moneys         12,979       

received under this section for any other purpose other than       12,980       

those specified under this section.  The department shall          12,981       

allocate an amount to the Lucas County Educational Service Center  12,982       

for grants to schools in the Lucas County pilot project area       12,983       

under this paragraph.                                                           

      A community school awarded start-up grants from              12,985       

appropriation item 200-613, Public Charter Schools (Fund 3T4),     12,986       

                                                          270    


                                                                 
shall not be eligible for grants under this section.               12,987       

      Section 4.09.  School Finance Equity                         12,989       

      The foregoing appropriation item 200-500, School Finance     12,991       

Equity, shall be distributed to school districts based on the      12,992       

formula specified in section 3317.0213 of the Revised Code.        12,993       

      Section 4.10.   Base Cost Funding                            12,995       

      Of the foregoing appropriation item 200-501, Base Cost       12,997       

Funding, up to $3,000,000 in fiscal year 2000 shall be expended    12,999       

by the State Board of Education for the extended service           13,000       

allowance which shall be the teachers' salaries pursuant to the    13,001       

schedule contained in section 3317.13 of the Revised Code, plus    13,002       

fifteen per cent for retirement and sick leave; up to $425,000     13,004       

shall be expended in each year of the biennium for court payments  13,005       

pursuant to section 2151.357 of the Revised Code; an amount shall  13,006       

be available each year of the biennium for the cost of the         13,007       

reappraisal guarantee pursuant to section 3317.04 of the Revised   13,008       

Code; an amount shall be available in each year of the biennium    13,009       

to make payments to school districts pursuant to division (A)(2)   13,010       

of section 3317.022 of the Revised Code; up to $15,000,000 in      13,011       

each year of the biennium shall be reserved for payments pursuant  13,012       

to sections 3317.026, 3317.027, and 3317.028 of the Revised Code   13,013       

except that the Controlling Board may increase the $15,000,000     13,014       

amount if presented with such a request from the Department of     13,015       

Education.  Of the foregoing appropriation item 200-501, Base      13,016       

Cost Funding, up to $14,000,000 shall be used in each fiscal year  13,017       

to provide additional state aid to school districts for students   13,018       

in category three special education ADM pursuant to division       13,019       

(C)(4) of section 3317.022 of the Revised Code; up to $2,000,000   13,020       

in each year of the biennium shall be reserved for Youth Services  13,021       

tuition payments pursuant to section 3317.024 of the Revised       13,022       

Code; up to $50,000,000 in fiscal year 2000 and up to $52,000,000  13,024       

in fiscal year 2001 shall be reserved to fund the state            13,025       

reimbursement of educational service centers pursuant to section   13,026       

3317.11 of the Revised Code.                                                    

                                                          271    


                                                                 
      Of the foregoing appropriation item 200-501, Base Cost       13,028       

Funding, up to $1,000,000 in each fiscal year shall be used by     13,030       

the Department of Education for a pilot program to pay for         13,031       

educational services for youth who have been assigned by a                      

juvenile court or other authorized agency to any of the            13,032       

facilities described in division (A) of the section titled         13,033       

"Private Treatment Facility Pilot Project."                        13,034       

      Of the foregoing appropriation item 200-501, Base Cost       13,036       

Funding, up to $100,000 in each fiscal year shall be used by the   13,037       

Department of Education to provide awards to teachers, school      13,038       

buildings, or school districts that promote parental involvement   13,039       

in outstanding ways.  The practices, methods, and lessons learned  13,040       

from the award winners shall be shared with all school districts   13,041       

by the Department of Education.                                    13,042       

      Of the foregoing appropriation item 200-501, Base Cost       13,044       

Funding, up to $2,000,000 in each fiscal year shall be used for a  13,045       

safe-school help line program for students, parents, and the       13,046       

community to report threats to the safety of students or school    13,047       

personnel.  Criteria for the distribution of these moneys shall    13,048       

be established by the Department of Education.                                  

      The remaining portion of this appropriation item shall be    13,050       

expended for the public schools of city, local, exempted village,  13,053       

and joint vocational school districts, including base cost         13,054       

funding, special education weight funding, special education       13,055       

speech service enhancement funding, vocational education weight    13,056       

funding, vocational education associated service funding,          13,057       

guarantee funding, and teacher training and experience funding     13,058       

pursuant to sections 3317.022, 3317.023, 3317.0212, and 3317.16    13,059       

of the Revised Code.                                               13,060       

      Notwithstanding section 3301.17, division (I) of section     13,062       

3317.024, and division (B)(3) of section 3317.19 of the Revised    13,063       

Code, the Department of Education shall not pay in fiscal years    13,064       

2000 and 2001 the driver education subsidy to school districts     13,065       

and commercial driver training schools.                                         

                                                          272    


                                                                 
      Section 4.11.  Pupil Transportation                          13,067       

      Of the foregoing appropriation item 200-502, Pupil           13,069       

Transportation, up to $755,000 may be used by the Department of    13,070       

Education each year for training prospective and experienced       13,071       

school bus drivers in accordance with training programs            13,072       

prescribed by the department; up to $38,175,000 in fiscal year     13,074       

2000 and $50,490,000 in fiscal year 2001 shall be used for         13,075       

handicapped transportation; up to $300,000 in fiscal year 2000     13,077       

shall be used by the Department of Education to pay driver         13,078       

education vouchers issued prior to June 8, 1999; and the           13,079       

remainder shall be used for the state reimbursement of public      13,080       

school districts' costs in transporting pupils to and from the     13,081       

school to which they attend in accordance with the district's                   

policy, State Board of Education standards, and the Revised Code.  13,082       

      Bus Purchase Allowance                                       13,084       

      The foregoing appropriation item 200-503, Bus Purchase       13,086       

Allowance, shall be distributed to school districts and            13,087       

educational service centers pursuant to rules adopted under        13,089       

section 3317.07 of the Revised Code.  Up to 25 per cent of the     13,090       

amount appropriated may be used to reimburse school districts and  13,091       

educational service centers for the purchase of buses to                        

transport handicapped and nonpublic school students.               13,093       

      School Lunch                                                 13,095       

      The foregoing appropriation item 200-505, School Lunch       13,097       

Match, shall be used to provide matching funds to obtain federal   13,098       

funds for the school lunch program.                                13,099       

      Section 4.12.  Adult Literacy Education                      13,101       

      The foregoing appropriation item 200-509, Adult Literacy     13,103       

Education, shall be used to support adult basic and literacy       13,104       

education instructional programs, the State Literacy Resource      13,105       

Center Program, and the State Advisory Council on Adult Education  13,106       

and Literacy.                                                      13,107       

      Of the foregoing appropriation item 200-509, Adult Literacy  13,110       

Education, up to $520,000 in fiscal year 2000 and $532,500 in      13,111       

                                                          273    


                                                                 
fiscal year 2001 shall be used for the support and operation of    13,113       

the State Literacy Resource Center and the State Advisory Council  13,114       

on Adult Education and Literacy.                                                

      The remainder shall be used to continue to satisfy the       13,116       

state match and maintenance of effort requirements for the         13,117       

support and operation of the Ohio Department of Education          13,119       

administered instructional grant program for Adult Basic and       13,120       

Literacy Education in accordance with the department's state plan  13,121       

for Adult Basic and Literacy Education as approved by the State    13,122       

Board of Education and the Secretary of the United States          13,123       

Department of Education.                                                        

      Auxiliary Services                                           13,125       

      The foregoing appropriation item 200-511, Auxiliary          13,127       

Services, shall be used by the State Board of Education for the    13,128       

purpose of implementing section 3317.06 of the Revised Code.  Of   13,129       

the appropriation, up to $1,000,000 in each fiscal year of the     13,130       

biennium may be used for payment of the Post-Secondary Enrollment  13,131       

Options Program for nonpublic students pursuant to section         13,132       

3365.10 of the Revised Code.                                       13,133       

      Summer Intervention                                          13,135       

      Of the foregoing appropriation item 200-513, Summer          13,137       

Intervention, up to $15,000,000 in each fiscal year shall be used  13,138       

to provide intervention services to students in danger of not      13,139       

advancing to the fifth grade as a result of a failure to attain    13,140       

the score designated under division (A)(1) of section 3301.0710    13,141       

of the Revised Code on the test to measure skill in reading.       13,142       

These moneys shall be used to provide equalized reimbursement      13,143       

payments using the state aid ratio to school districts providing   13,144       

summer intervention services satisfying criteria defined in        13,145       

division (E) of section 3313.608 of the Revised Code.  The         13,146       

Department of Education shall establish guidelines for the use     13,147       

and distribution of these moneys.                                               

      Post-Secondary/Adult Vocational Education                    13,149       

      The foregoing appropriation item 200-514,                    13,151       

                                                          274    


                                                                 
Post-Secondary/Adult Vocational Education, shall be used by the    13,152       

State Board of Education to provide post-secondary/adult           13,153       

vocational education pursuant to sections 3313.52 and 3313.53 of   13,154       

the Revised Code.                                                  13,155       

      Of the foregoing appropriation item 200-514,                 13,157       

Post-Secondary/Adult Vocational Education, up to $500,000 in each  13,159       

fiscal year shall be allocated for the Ohio Career Information     13,160       

System (OCIS) and used for the dissemination of career             13,161       

information data to public schools, libraries, rehabilitation      13,162       

centers, two- and four-year colleges and universities, and other   13,163       

governmental units.                                                13,164       

      Of the foregoing appropriation item 200-514,                 13,166       

Post-Secondary/Adult Vocational Education, up to $30,000 in each   13,167       

fiscal year shall be used for the statewide coordination of the    13,168       

activities of the Ohio Young Farmers.                                           

      The Governor's Workforce Development Board shall examine     13,170       

the sites statewide participating in the Orientation to            13,171       

Nontraditional Occupations for Women Program and consider making   13,172       

recommendations for funding the program under the proposed         13,173       

Department of Job and Family Services.  In the event that the      13,174       

Department of Job and Family Services is not created through the   13,175       

merger of the Department of Human Services and Bureau of           13,176       

Employment Services in fiscal year 2001, the Workforce                          

Development Board shall make any recommendations for funding the   13,177       

program to the individual agencies.                                13,178       

      Disadvantaged Pupil Impact Aid                               13,180       

      The foregoing appropriation item 200-520, Disadvantaged      13,182       

Pupil Impact Aid, shall be distributed to school districts         13,183       

according to the provisions of section 3317.029 of the Revised     13,185       

Code.  However, no money shall be distributed for all-day          13,187       

kindergarten to any school district whose three-year average       13,188       

formula ADM exceeds 17,500 but whose DPIA index is not at least    13,189       

equal to 1.00, unless the Department of Education certifies that   13,190       

sufficient funds exist in this appropriation to make all other     13,192       

                                                          275    


                                                                 
payments required by section 3317.029 of the Revised Code.         13,193       

      The Department of Education shall pay all-day, everyday      13,195       

kindergarten funding to all school districts in fiscal year 2000   13,196       

and fiscal year 2001 that qualified for and provided the service   13,197       

in a preceding fiscal year pursuant to section 3317.029 of the     13,199       

Revised Code, regardless of changes to such districts' DPIA                     

indexes in fiscal year 2000 and fiscal year 2001.                  13,200       

      The Department of Education shall pay to community schools   13,203       

an amount for all-day kindergarten if the school district in                    

which the student is entitled to attend school is eligible but     13,204       

does not receive a payment for all-day kindergarten, pursuant to   13,205       

division (B) of section 3314.13 of the Revised Code, and the       13,206       

student is reported by the community school as enrolled in         13,207       

all-day kindergarten at the community school.                      13,208       

      Of the foregoing appropriation item 200-520, Disadvantaged   13,210       

Pupil Impact Aid, up to $3,000,000 in each year of the biennium    13,211       

shall be used for school breakfast programs.  Of the $3,000,000,   13,212       

up to $500,000 shall be used each year by the Department of        13,214       

Education to provide start-up grants to rural school districts     13,215       

and to school districts with less than 1,500 ADM that start        13,216       

school breakfast programs.  The remainder of the $3,000,000 shall  13,217       

be used to:  (1) partially reimburse school buildings within       13,218       

school districts that are required to have a school breakfast      13,219       

program pursuant to section 3313.813 of the Revised Code, at a     13,220       

rate decided upon by the department, for each breakfast served to               

any pupil enrolled in the district; (2) partially reimburse        13,221       

districts participating in the National School Lunch Program that  13,222       

have at least 20 per cent of students who are eligible for free    13,223       

and reduced meals according to federal standards, at a rate        13,224       

decided upon by the department; and (3) to partially reimburse                  

districts participating in the National School Lunch Program for   13,225       

breakfast served to children eligible for free and reduced meals   13,226       

enrolled in the district, at a rate decided upon by the            13,227       

department.                                                                     

                                                          276    


                                                                 
      Of the portion of the funds distributed to the Cleveland     13,229       

City School District under section 3317.029 of the Revised Code    13,230       

calculated under division (F)(2) of that section, up to            13,231       

$11,217,000 in fiscal year 2000 and up to $13,866,000 in fiscal    13,232       

year 2001 shall be used to operate the pilot school choice         13,234       

program in the Cleveland City School District pursuant to                       

sections 3313.974 to 3313.979 of the Revised Code.                 13,235       

      Of the foregoing appropriation item 200-520, Disadvantaged   13,237       

Pupil Impact Aid, $900,000 in fiscal year 2000 and $1,154,915 in   13,238       

fiscal year 2001 shall be used to support dropout recovery         13,239       

programs administered by the Department of Education, Jobs for     13,240       

Ohio's Graduates program.                                          13,241       

      Of the foregoing appropriation item 200-520, Disadvantaged   13,244       

Pupil Impact Aid, up to $500,000 in each fiscal year shall be      13,245       

used by the Department of Education to encourage school districts  13,246       

to set high academic standards and provide a helping hand for      13,247       

students striving to meet them.   A Summer Proficiency Academy                  

shall be any school district's summer school program that is       13,249       

conducted for students who have been enrolled in the fourth and    13,250       

sixth grades, whether district-wide, in several school buildings   13,251       

or within a cluster of school buildings, that addresses the needs  13,253       

of students who did not pass at least three of the five parts of   13,254       

either the fourth-grade or sixth-grade proficiency test, that is   13,255       

of at least six weeks' duration, and that provides an innovative,  13,256       

enriching educational experience.  The department shall use the    13,257       

funds indicated in this paragraph to make grants to those school   13,258       

districts that conduct such Summer Proficiency Academies and that  13,259       

have valuation per pupil less than 150 per cent of the statewide   13,260       

average valuation per pupil, to defray 75 per cent of the costs    13,261       

of conducting such academies.  The amount of each grant shall not  13,262       

exceed $150,000 and each school district shall be eligible for up  13,263       

to four grants in each fiscal year.  Grants shall be made to       13,264       

school districts based on the percentage of students failing       13,265       

three or more tests, with first priority given to districts with   13,266       

                                                          277    


                                                                 
the highest failure rates.  As used in this paragraph, "valuation  13,267       

per pupil" has the same meaning as in division (A)(4) of section   13,269       

3317.0212 of the Revised Code as it existed prior to July 1,       13,270       

1998.                                                                           

      There is hereby created the Alternative Education Advisory   13,272       

Council which shall consist of one representative from each of     13,273       

the following agencies:  The Ohio Department of Education, the     13,274       

Department of Youth Services, the Ohio Department of Alcohol and   13,275       

Drug Addiction Services, the Department of Mental Health, the                   

Office of the Governor or at the Governor's discretion the Office  13,277       

of the Lieutenant Governor, and the Office of the Attorney         13,278       

General.  The Alternative Education Advisory Council shall cease   13,279       

to exist on June 30, 2001.                                                      

      Of the foregoing appropriation item 200-520, Disadvantaged   13,281       

Pupil Impact Aid, $10,000,000 in each fiscal year shall be used    13,282       

for matching grants to the 21 urban school districts as defined    13,283       

in division (O) of section 3317.02 of the Revised Code as it       13,284       

existed prior to July 1, 1998, and $10,000,000 in each fiscal      13,285       

year shall be used for matching grants to rural and suburban                    

school districts for alternative educational programs for          13,286       

existing and new at-risk and delinquent youth in grades six        13,288       

through twelve.  Programs shall be focused on youth in one or      13,289       

more of the following categories:  those who have been expelled                 

or suspended, those at risk of dropping out of school, those who   13,290       

are habitually truant or disruptive, or those on probation or on   13,291       

parole from a Department of Youth Service's facility.  The         13,292       

Alternative Education Advisory Council shall develop criteria for  13,293       

the awarding of grants for alternative educational programs to     13,294       

school districts.  The grants shall be administered by the Ohio                 

Department of Education.                                           13,295       

      Section 4.13.  Gifted Pupil Program                          13,297       

      The foregoing appropriation item 200-521, Gifted Pupil       13,299       

Program, shall be used for gifted education units not to exceed    13,300       

950 in each fiscal year of the biennium pursuant to division (P)   13,301       

                                                          278    


                                                                 
of section 3317.024 and division (F) of section 3317.025 of the    13,303       

Revised Code.                                                                   

      Of the foregoing appropriation item 200-521, Gifted Pupil    13,305       

Program, up to $5,000,000 in each fiscal year of the biennium may  13,306       

be used as an additional supplement for identifying gifted         13,307       

students pursuant to Chapter 3324. of the Revised Code.            13,308       

      Of the foregoing appropriation item 200-521, Gifted Pupil    13,309       

Program, the Department of Education may expend up to $1,000,000   13,310       

each year for the Summer Honors Institute for gifted freshmen and  13,312       

sophomore high school students.  Up to $600,000 in each fiscal     13,313       

year shall be used for research and demonstration projects.                     

      Section 4.14.  Educational Excellence and Competency         13,315       

      Of the foregoing appropriation item 200-524, Educational     13,317       

Excellence and Competency, up to $35,000 in each fiscal year       13,318       

shall be reserved for the Ohio Science Olympiad and up to $25,000  13,319       

in each fiscal year shall be reserved for the International        13,321       

Science and Engineering Fair.  Up to $250,000 in each fiscal year  13,323       

shall be reserved for a Math and Science Initiative to enhance     13,325       

math and science education for elementary students in a            13,326       

county-wide collaborative.                                         13,327       

      Of the foregoing appropriation item 200-524, Educational     13,329       

Excellence and Competency, up to $100,000 may be used in fiscal    13,330       

year 2001 by the Girl Scouts of Central Ohio.                      13,331       

      Of the foregoing appropriation item 200-524, Educational     13,333       

Excellence and Competency, up to $100,000 in each fiscal year      13,334       

shall be used for the EQUIP Program.  Up to $50,000 in each        13,335       

fiscal year shall be used for the Cincinnati Central Clinic.  Up   13,336       

to $150,000 in fiscal year 2000 and $125,000 in fiscal year 2001   13,337       

shall be distributed to the Franklin County Educational Council    13,338       

to operate the Magellan Program.  Up to $50,000 in each fiscal     13,339       

year shall be used for the Findlay-Hancock Summer Academic Camp.   13,340       

      Of the foregoing appropriation item 200-524, Educational     13,342       

Excellence and Competency, up to $90,000 in fiscal year 2000 and   13,343       

$80,000 in fiscal year 2001 shall be used for the Cleveland        13,344       

                                                          279    


                                                                 
Language Project; up to $20,000 in each fiscal year shall be used  13,345       

for the Cincinnati Language Project; up to $20,000 in fiscal year  13,346       

2000 and $30,000 in fiscal year 2001 shall be used for the         13,347       

Columbus Language Project; and up to $20,000 in each fiscal year   13,348       

shall be used for the Dayton Language Project;                                  

      Of the foregoing appropriation item 200-524, Educational     13,350       

Excellence and Competency, up to $50,000 in each year of the       13,351       

biennium may be used by the Springfield School District to         13,352       

support the Aid for College Opportunity Program.                   13,353       

      The Department of Education shall distribute $150,000 in     13,355       

fiscal year 2000 and $100,000 in fiscal year 2001 to the           13,356       

Christopher Project.  The department shall distribute $80,000 in   13,357       

fiscal year 2000 and $40,000 in fiscal year 2001 to the Regional   13,359       

District/University Consortium to Validate At-Risk Programs for    13,360       

Rural School Districts.  The Department shall distribute $75,000                

in each fiscal year to the Cincinnati Artworks Project.  In each   13,361       

fiscal year of the biennium, $100,000 shall be used for Ledgemont  13,363       

Education Excellency.  In addition, the department shall                        

distribute $275,000 in each fiscal year to the Summit County       13,364       

Technology Project.                                                13,365       

      Of the foregoing appropriation item 200-524, Educational     13,367       

Excellence and Competency, $48,333 in fiscal year 2000 and         13,368       

$36,667 in fiscal year 2001 shall be distributed to the Ohio       13,369       

Geographical Alliance at such time as matching funds are provided  13,370       

by the National Geographical Society.  These moneys shall be used               

by the Ohio Geographical Alliance to provide geography training    13,371       

to public school teachers.                                         13,372       

      In each fiscal year, $300,000 shall be used for a pilot      13,374       

project for the integration and implementation of distance         13,375       

learning, virtual reality, and computer technology to prepare      13,376       

students for careers in industry.  Of this amount, $65,000 in      13,377       

each fiscal year shall be distributed to the Math, Science and     13,378       

Industrial Technology Institute at Kent State University-Trumbull  13,379       

Campus for purposes of this pilot project and $235,000 in each     13,380       

                                                          280    


                                                                 
fiscal year shall be distributed to the Trumbull County            13,381       

Educational Service Center for the Industrial Technology Career    13,382       

Academy pilot project.  In each fiscal year, $140,000 shall be     13,383       

used for the Crouse School Readiness Program.                      13,384       

      Of the foregoing appropriation item 200-524, Educational     13,387       

Excellence and Competency, $850,000 in fiscal year 2000 and        13,388       

$850,000 in fiscal year 2001 shall be used to assist local school  13,389       

districts in the implementation of financial literacy programs as  13,390       

part of the school curriculum in kindergarten through grade six.   13,391       

The funds shall be used to purchase financial literacy             13,392       

instructional materials, including student books, hands-on         13,393       

material, and supporting teacher guides, which promote economic    13,394       

awareness by addressing fundamental life skills such as earning                 

money, saving money, and spending money wisely.  The financial     13,395       

literacy curriculum shall also introduce students to the concepts  13,396       

of economic interdependence, profit, loss, investment, and supply  13,397       

and demand.  In fiscal year 2001, each school district shall be    13,398       

eligible for one $1,000 grant for each kindergarten through sixth  13,399       

grade level in each school building.  A school building with five  13,401       

or more classes per grade level may receive up to $2,000 for that  13,402       

grade level.                                                                    

      The remainder of the appropriation shall be used by the      13,404       

Department of Education to fund programs each year as follows:     13,406       

                                              FY 2000     FY 2001  13,408       

      Earn and Learn                       $  686,667  $  343,333  13,409       

      Trumbull County "Make Learning                               13,410       

        Fun"                               $   50,000  $   25,000  13,411       

      LEAF                                 $   65,000  $   65,000  13,412       

      Coventry                             $   16,667  $    8,333  13,413       

      Columbus Youth Corp                  $   33,333  $   16,667  13,414       

      Montgomery County Summer Math                                13,415       

        program                            $  143,333  $   71,667  13,416       

      Columbus City District's "I Know I                           13,417       

        Can"                               $  645,000  $  645,000  13,418       

                                                          281    


                                                                 
      Dayton-Montgomery County Scholarship                         13,419       

        Program                            $  600,000  $  600,000  13,420       

      Cleveland Scholarship                $  500,000  $  500,000  13,421       

      Cleveland Initiative for Education   $  240,000  $  120,000  13,422       

      Cincinnati Scholarship Foundation    $  600,000  $  600,000  13,423       

      Improved Solutions for Urban Systems                         13,424       

        (ISUS)                             $  100,000  $  100,000  13,425       

      Lorain County Access                 $  150,000  $  150,000  13,426       

      Amer-I-Can                           $  850,000  $  850,000  13,427       

      London Learns                        $  100,000  $  100,000  13,428       

      Project Succeed                      $1,000,000  $1,000,000  13,429       

      Toledo Tech Academy                  $  300,000  $  300,000  13,430       

      Toledo International Language                                13,431       

        Center                             $  133,333  $   66,667  13,432       

      Greater Toledo School-To-Work                                13,433       

        Consortium                         $  100,000  $  100,000  13,434       

      Muskingum Valley Services Center     $  100,000  $  100,000  13,435       

      O.U. Leadership                      $   75,000  $   75,000  13,436       

      For the Cleveland Initiative in Education program, the       13,438       

grant shall support its mentoring and advocacy program.            13,439       

      Of the foregoing appropriation item 200-524, Educational     13,441       

Excellence and Competency, $83,000 in fiscal year 2000 and         13,442       

$83,000 in fiscal year 2001 shall be used for the Shaker Heights   13,443       

Educational Mobility program.                                      13,444       

      Of the foregoing appropriation item 200-524, Educational     13,446       

Excellence and Competency, up to $100,000 in fiscal year 2000 and  13,447       

$150,000 in fiscal year 2001 shall be used for grants to Ohio      13,448       

school districts for the JASON Project, a specially designed       13,449       

interactive science and mathematics curriculum for middle school   13,450       

students.  Grants may provide up to 75 per cent of a school                     

district's total cost of participation and may be used to          13,451       

purchase curriculum materials, supplemental videos, and            13,452       

professional development materials.  Grants may also include       13,453       

miscellaneous costs such as technology equipment and service                    

                                                          282    


                                                                 
fees.                                                                           

      Of the foregoing appropriation item 200-524, Educational     13,455       

Excellence and Competency, up to $133,333 in fiscal year 2000 and  13,456       

$66,667 in fiscal year 2001 shall be used for the W.E.B. Dubois    13,457       

Talented Tenth Teacher Training Academy.  The program will         13,458       

provide a summer honors program to promising minority students     13,459       

identified by their school districts as potential future                        

teachers.                                                                       

      Of the foregoing appropriation item 200-524, Educational     13,461       

Excellence and Competency, up to $100,000 in each fiscal year      13,462       

shall be used for the Parenting Healthy Children Initiative of     13,463       

the Manuel D. and Rhoda Mayerson Foundation.                       13,464       

      Of the foregoing appropriation item 200-524, Educational     13,466       

Excellence and Competency, up to $200,000 in each fiscal year      13,467       

shall be used for the Tuscarawas County Innovative Remediation     13,468       

Program to provide grants to school districts within Tuscarawas    13,469       

County.                                                            13,470       

      Of the foregoing appropriation item 200-524, Educational     13,472       

Excellence and Competency, up to $5,000 in each fiscal year shall  13,473       

be used for the Buckeye Ranch Animal Therapy Program.              13,474       

      Each program or entity that receives funds under the         13,476       

foregoing appropriation item 200-524, Educational Excellence and   13,478       

Competency, shall submit annually to the chairpersons of the       13,479       

education committees of the House of Representatives and the       13,480       

Senate and to the Department of Education a report that includes   13,481       

a description of the services supported by the funds, a            13,482       

description of the results achieved by those services, an          13,483       

analysis of the effectiveness of the program, and an opinion as    13,484       

to the program's applicability to other school districts.  No      13,485       

funds shall be provided by the Department of Education to a        13,486       

district for a fiscal year until its report for the prior fiscal   13,488       

year has been submitted.                                                        

      Of the foregoing appropriation item 200-524, Educational     13,490       

Excellence and Competency, $40,000 in each fiscal year shall be    13,491       

                                                          283    


                                                                 
used for the Health Education Center of The Greater Cincinnati     13,492       

Scholarship Fund to provide scholarships to students in Hamilton,  13,493       

Butler, Clermont, and Warren Counties to attend health education   13,494       

programming provided by the center.  Eligibility for scholarships  13,495       

shall be restricted to students currently attending school         13,496       

districts receiving funding under Title I of the Elementary and    13,497       

Secondary Education Act of 1965.                                   13,498       

      Nonpublic Administrative Cost Reimbursement                  13,500       

      The foregoing appropriation item 200-532, Nonpublic          13,502       

Administrative Cost Reimbursement, shall be used by the State      13,503       

Board of Education for the purpose of implementing section         13,504       

3317.063 of the Revised Code.                                      13,505       

      School-Age Child Care                                        13,507       

      Of the foregoing appropriation item 200-533, School-Age      13,509       

Child Care, up to $200,000 in each fiscal year shall be used for   13,510       

the "Training Ohio's Parents for Success" Program.  Up to          13,511       

$500,000 in each fiscal year shall be used for the "Parents as     13,513       

Teachers" Program.                                                              

      Of the foregoing appropriation item 200-533, School-Age      13,515       

Child Care, up to $62,500 in each fiscal year shall be used by     13,516       

the Cincinnati YWCA for its Home Instruction Program for           13,517       

Preschool Youngsters (HIPPY).                                                   

      As used under this heading "school-age child care" means a   13,519       

program of child care conducted outside of regular school hours    13,520       

for school age children.                                           13,521       

      The remainder of the foregoing appropriation item 200-533,   13,523       

School-Age Child Care, shall be used by the Department of          13,524       

Education to provide grants to city, local, and exempted village   13,525       

school districts and educational service centers for school-age    13,526       

child care programs.  In each fiscal year, the department shall    13,527       

make grants.  All grants shall be awarded by the department on     13,529       

the basis of project proposals submitted by school district        13,530       

boards of education or educational service center governing                     

boards.  The board of education of each district or governing      13,532       

                                                          284    


                                                                 
board of each educational service center that receives a grant     13,533       

shall keep a record of how the grant is used, and issue a report   13,534       

at the end of the school year for which the grant was made         13,535       

explaining the goals and objectives determined, the activities     13,536       

implemented, and the progress made toward achieving goals and      13,537       

objectives.                                                                     

      Desegregation Costs                                          13,539       

      The foregoing appropriation item 200-534, Desegregation      13,541       

Costs, shall be used to pay desegregation costs.                   13,542       

      (A)  Notwithstanding any section of law to the contrary, if  13,545       

in each fiscal year, due to federal court order, the Department    13,546       

of Education is obligated to pay for desegregation costs in any    13,547       

school district, the costs shall be paid from the foregoing        13,548       

appropriation item 200-534, Desegregation Costs.                   13,549       

      Of the foregoing appropriation item 200-534, Desegregation   13,551       

Costs, in fiscal year 2000 or in fiscal year 2001 any unobligated  13,552       

balances may be used to cover the legal fees associated with       13,555       

desegregation cases brought against the state.                                  

      By the first day of May of each year, the Department of      13,557       

Education shall determine if the appropriation exceeds the         13,558       

state's obligation for desegregation costs.  Any appropriations    13,559       

in excess of the state's obligation shall be transferred to        13,560       

appropriation item 200-406, Head Start, by the Director of Budget  13,561       

and Management.                                                                 

      (B)  As part of managing state desegregation costs, any      13,563       

board of education of a school district subject to a federal       13,564       

court desegregation order that requires the district board to bus  13,565       

students for the purpose of racial balance shall, within one year  13,566       

of the effective date of this section:                             13,567       

      (1)  Update its plan required under Am. Sub. H.B. 298 of     13,569       

the 119th General Assembly designed to satisfy the court so as to  13,570       

obtain release from the court's desegregation order; and           13,571       

      (2)  Submit an updated copy of the plan to the State Board   13,573       

of Education.                                                      13,574       

                                                          285    


                                                                 
Upon request of the district board, the State Board shall provide  13,577       

technical assistance to the school district board in developing a  13,578       

plan.                                                                           

      Within ninety days of the date on which the plan is          13,580       

submitted to the State Board of Education, the district board, or  13,581       

the district board and the State Board of Education jointly if     13,583       

both are parties to the desegregation case, shall submit the plan  13,585       

to the court and apply for release from the court's desegregation  13,586       

order.                                                                          

      Of the foregoing appropriation item 200-534, Desegregation   13,588       

Costs, Dayton City Schools shall receive at least $9,000,000 in    13,589       

each of fiscal year 2000 and fiscal year 2001.                     13,590       

      Section 4.15.  Special Education Enhancements                13,592       

      Of the foregoing appropriation item 200-540, Special         13,594       

Education Enhancements, up to $44,000,000 in fiscal year 2000 and  13,596       

up to $48,400,000 in fiscal year 2001 shall be used to fund        13,597       

special education and related services at MR/DD boards for         13,598       

eligible students under section 3317.20 of the Revised Code.  Up   13,599       

to $2,500,000 of these amounts shall be used in each fiscal year   13,600       

to fund up to 57 special education classroom and related services  13,601       

units at institutions.                                             13,602       

      Of the foregoing appropriation item 200-540, Special         13,604       

Education Enhancements, up to $3,081,000 in fiscal year 2000 and   13,606       

$3,167,268 in fiscal year 2001 shall be used for home instruction  13,607       

for handicapped children; up to $1,500,000 in each fiscal year     13,609       

shall be used for parent mentoring programs; and up to $2,567,000  13,612       

in fiscal year 2000 and $2,639,390 in fiscal year 2001 may be                   

used for school psychology interns.                                13,613       

      Of the foregoing appropriation item 200-540, Special         13,615       

Education Enhancements, $2,550,800 in fiscal year 2000 and         13,616       

$3,704,000 in fiscal year 2001 shall be used by the Department of  13,618       

Education to assist school districts in funding aides pursuant to  13,619       

paragraph (A)(3)(c)(i)(b) of rule 3301-51-04 of the                13,621       

Administrative Code.                                                            

                                                          286    


                                                                 
      Of the foregoing appropriation item 200-540, Special         13,623       

Education Enhancements, $71,934,548 in fiscal year 2000 and        13,624       

$76,623,506 in fiscal year 2001 shall be distributed by the        13,626       

Department of Education to county boards of mental retardation     13,627       

and developmental disabilities, educational service centers, and   13,628       

school districts for preschool special education units and         13,629       

preschool supervisory units in accordance with section 3317.161    13,630       

of the Revised Code.  The department may reimburse county boards   13,631       

of mental retardation and developmental disabilities, educational  13,632       

service centers, and school districts for related services as      13,633       

defined in rule 3301-31-05 of the Ohio Administrative Code, for    13,634       

preschool occupational and physical therapy services provided by   13,635       

a physical therapy assistant and certified occupational therapy    13,636       

assistant, and for an instructional assistant.  To the greatest    13,637       

extent possible, the Department of Education shall allocate these  13,638       

units to school districts and educational service centers.  The    13,639       

Controlling Board may approve the transfer of unallocated funds    13,640       

from appropriation item 200-501, Base Cost Funding, to             13,641       

appropriation item 200-540, Special Education Enhancements, to     13,643       

fully fund existing units as necessary or to fully fund            13,644       

additional units.  The Controlling Board may approve the transfer  13,645       

of unallocated funds from appropriation item 200-540, Special      13,647       

Education Enhancements, to appropriation item 200-501, Base Cost   13,648       

Funding, to fully fund existing units, as necessary, or to fully   13,650       

fund additional units.                                                          

      The Department of Education shall require school districts,  13,652       

educational service centers, and county MR/DD boards serving       13,653       

preschool children with disabilities to document child progress    13,654       

using a common instrument prescribed by the department and report  13,655       

results annually.  The reporting dates and methodology shall be    13,656       

determined by the department.                                      13,657       

      The department shall adopt rules addressing the use of       13,659       

screening and assessment data including, but not limited to:       13,660       

      (1)  Protection of the identity of individual children       13,663       

                                                          287    


                                                                 
through assignment of a unique, but not personally identifiable,   13,664       

code;                                                                           

      (2)  Parents' rights; and                                    13,666       

      (3)  Use of the child data by school personnel as it         13,668       

relates to kindergarten entrance.                                  13,669       

      Of the foregoing appropriation item 200-540, Special         13,671       

Education Enhancements, up to $800,000 in each fiscal year shall   13,672       

be allocated to provide grants to research-based reading           13,673       

mentoring programs for students with disabilities in kindergarten  13,674       

through fourth grade.  Priority shall be given to mentoring        13,675       

programs that have been recognized by the Education Commission of  13,676       

the States as promising educational practices for accelerating     13,677       

student achievement, are easily replicated, have strong            13,678       

evaluative components, and goals aligned to the Ohio Proficiency   13,679       

Test.  Programs may be implemented at times deemed most            13,680       

appropriate.  Certified staff shall administer these programs and  13,681       

testing of participants shall be required prior to, during, and    13,682       

after participation in these programs.  The results of such tests  13,683       

shall be reported to the Governor, Superintendent of Public        13,684       

Instruction, and General Assembly.                                 13,685       

      Of the foregoing appropriation item 200-540, Special         13,687       

Education Enhancements, up to $93,000 in fiscal year 2000 and up   13,688       

to $86,000 in fiscal year 2001 shall be used to conduct a          13,689       

collaborative pilot program to provide educational services and    13,690       

develop best educational practices for autistic children.  The     13,691       

pilot program shall include, but not be limited to, the            13,692       

involvement of the Wood County Board of Mental Retardation and     13,693       

Developmental Disabilities, Wood County Educational Services       13,694       

Center, Children's Resource Center of Wood County, and the Family  13,695       

and Children First Council of Wood County.                         13,696       

      Of the foregoing appropriation item 200-540, Special         13,698       

Education Enhancements, up to $16,000 in fiscal year 2000 may be   13,699       

used by the Broadmore School to fund the Autistic Children         13,700       

Rehabilitation Program.                                                         

                                                          288    


                                                                 
      Of the foregoing appropriation item 200-540, Special         13,702       

Education Enhancements, up to $300,000 in each fiscal year shall   13,703       

be expended to conduct a demonstration project involving language  13,704       

and literacy intervention teams supporting student acquisition of  13,705       

language and literacy skills.  The demonstration project shall     13,706       

demonstrate improvement of language and literacy skills of         13,707       

at-risk learners under the instruction of certified speech         13,708       

language pathologists and educators.  Baseline data shall be       13,709       

collected and comparison data for fiscal year 2000 and fiscal      13,710       

year 2001 shall be collected and reported to the Governor,         13,711       

OhioReads Council, Department of Education, and the General        13,712       

Assembly.                                                                       

      Section 4.16.  Vocational Education Enhancements             13,714       

      Of the foregoing appropriation item 200-545, Vocational      13,716       

Education Enhancements, up to $2,500,000 in fiscal year 2000 and   13,717       

$2,616,000 in fiscal year 2001 shall be used to fund up to 51      13,719       

vocational education units at institutions.  Up to $9,975,000 in   13,721       

fiscal year 2000 and up to $10,972,500 in fiscal year 2001 shall                

be used to fund the Jobs for Ohio Graduates (JOG) program, up to   13,723       

$2,315,200 in fiscal year 2000 and up to $2,431,012 in fiscal      13,724       

year 2001 may be used to support tech prep consortia.              13,725       

      Of the foregoing appropriation item 200-545, Vocational      13,727       

Education Enhancements, up to $4,270,030 in fiscal year 2000 and   13,728       

up to $4,483,531 in fiscal year 2001 shall be used by the          13,729       

Department of Education to fund competitive grants to tech prep    13,730       

consortia that expand the number of students enrolled in tech      13,731       

prep programs.  Such grant funds shall be used to directly                      

support expanded tech prep programs provided to students enrolled  13,732       

in school districts, including joint vocational school districts.  13,733       

      If federal funds for vocational education cannot be used     13,736       

for local school district leadership without being matched by      13,737       

state funds, then an amount as determined by the Superintendent    13,738       

of Public Instruction shall be made available from state funds     13,740       

appropriated for vocational education.  If any state funds are     13,741       

                                                          289    


                                                                 
used for this purpose, federal funds in an equal amount shall be   13,742       

distributed for vocational education in accordance with                         

authorization of the state plan for vocational education for Ohio  13,743       

as approved by the Secretary of the United States Department of    13,745       

Education.                                                                      

      Of the foregoing appropriation item 200-545, Vocational      13,747       

Education Enhancements, $6,144,277 in fiscal year 2000 and         13,749       

$6,451,490 in fiscal year 2001 shall be used to enable students                 

to develop career plans, to identify initial educational and       13,751       

career goals, and to develop a career passport which provides a    13,752       

clear understanding of the student's knowledge, skills, and        13,753       

credentials to present to future employers, universities, and      13,754       

other training institutes.  The amount shall be allocated to                    

school districts pursuant to guidelines developed by the           13,757       

Department of Education for programs described in section          13,758       

3313.607 of the Revised Code for children in the kindergarten      13,760       

through twelfth grades.  Funds so allocated shall be used for                   

educational materials, services, career information, curriculum    13,761       

development, staff development, mentorships, career exploration,   13,762       

and career assessment instruments as needed to develop             13,763       

individualized career plans and passports.                                      

      Of the foregoing appropriation item 200-545, Vocational      13,765       

Education Enhancements, $5,188,703 in fiscal year 2000 and         13,766       

$5,707,573 in fiscal year 2001 shall be used to provide an amount  13,768       

to each eligible school district for the replacement or updating   13,769       

of equipment essential for the instruction of students in job      13,770       

skills taught as part of a vocational program or programs                       

approved for such instruction by the State Board of Education.     13,772       

School districts replacing or updating vocational education        13,773       

equipment may purchase or lease such equipment.  The Department    13,774       

of Education shall review and approve all equipment requests and   13,775       

may allot appropriated funds to eligible school districts on the   13,777       

basis of the number of units of vocational education in all        13,778       

eligible districts making application for funds.                   13,779       

                                                          290    


                                                                 
      The State Board of Education may adopt standards of need     13,782       

for equipment allocation.  Pursuant to the adoption of any such                 

standards of need by the State Board of Education, appropriated    13,784       

funds may be allotted to eligible districts according to such                   

standards.  Equipment funds allotted under either process shall    13,785       

be provided to a school district on a 40, 50, or 60 per cent of    13,786       

cost on the basis of a district vocational priority index rating   13,787       

developed by the Department of Education for all districts each    13,789       

year.  The vocational priority index shall give preference to                   

districts with a large percentage of disadvantaged students and    13,790       

shall include other socio-economic factors as determined by the    13,791       

State Board of Education.                                          13,792       

      Section 4.17.  Charge-Off Supplement                         13,794       

      The foregoing appropriation item 200-546, Charge-Off         13,796       

Supplement, shall be used by the Department of Education to make   13,797       

payments pursuant to section 3317.0216 of the Revised Code.        13,798       

      Power Equalization                                           13,800       

      The foregoing appropriation item 200-547, Power              13,802       

Equalization, shall be used by the Department of Education to      13,803       

make payments pursuant to section 3317.0215 of the Revised Code.   13,804       

      Reading Improvement                                          13,806       

      The foregoing appropriation item 200-551, Reading            13,808       

Improvement, shall be used by the Department of Education to fund  13,809       

the Reading Recovery Training Network, to cover the cost of        13,810       

release time for the teacher trainers, and to provide grants to    13,811       

districts to implement other reading improvement programs on a     13,813       

pilot basis.  Funds for this appropriation item may also be used   13,815       

to conduct evaluations of the impact and effectiveness of Reading  13,816       

Recovery and other reading improvement programs.                   13,817       

      In addition, the Department of Education shall report to     13,819       

the General Assembly and the Governor each fiscal year on the      13,820       

progress that has been made in implementing these programs,        13,821       

including an evaluation of the effectiveness of the programs.      13,822       

      Twenty per cent of the foregoing appropriation item          13,824       

                                                          291    


                                                                 
200-551, Reading Improvement, shall be used for the continuation   13,825       

of a phonics demonstration project as described in Sub. H.B. 81    13,826       

of the 121st General Assembly.  The Department of Education may    13,828       

make a portion of the funds for the demonstration project          13,829       

available to additional school districts that want to participate  13,830       

in the program that did not receive funding under the original     13,831       

project authorized in Sub. H.B. 81 of the 121st General Assembly.  13,832       

      County MR/DD Boards-Vehicle Purchases                        13,834       

      The foregoing appropriation item 200-552, County MR/DD       13,836       

Boards Vehicle Purchases, shall be used to provide financial       13,837       

assistance to MR/DD boards for the purchase of vehicles as         13,838       

permitted in section 3317.07 of the Revised Code.                  13,839       

      The foregoing appropriation item 200-553, County MR/DD       13,841       

Boards Transportation Operating, shall be used to provide          13,842       

financial assistance for transportation operating costs as         13,843       

provided in section 3317.024 of the Revised Code.                  13,844       

      Emergency Loan Interest Subsidy                              13,846       

      The foregoing appropriation item 200-558, Emergency Loan     13,848       

Interest Subsidy, shall be used to provide a subsidy to school     13,850       

districts receiving emergency school loans pursuant to section                  

3313.484 of the Revised Code.  The subsidy shall be used to pay    13,851       

these districts the difference between the amount of interest the  13,853       

district is paying on an emergency loan, and the interest that     13,854       

the district would have paid if the interest rate on the loan had  13,855       

been two per cent.                                                              

      Section 4.18.  OhioReads Grants                              13,857       

      Of the foregoing appropriation item 200-566, OhioReads       13,859       

Grants, $20,000,000 each year shall be disbursed by the OhioReads  13,861       

Office in the Department of Education at the direction of the      13,862       

OhioReads Council, to provide classroom grants to public schools   13,863       

in city, local, and exempted village school districts; community   13,864       

schools; and educational service centers serving kindergarten      13,865       

through fourth grade students.                                     13,866       

      Of the foregoing appropriation item 200-566, OhioReads       13,868       

                                                          292    


                                                                 
Grants, $5,000,000 each year shall be disbursed by the OhioReads   13,869       

Office in the Department of Education at the direction of the      13,870       

OhioReads Council, to provide community matching grants to         13,872       

community organizations and associations, libraries, and others                 

for tutoring, tutor recruitment and training, and parental         13,873       

involvement.                                                                    

      Grants awarded by the OhioReads Council are intended to      13,875       

improve reading outcomes, especially on the fourth grade reading   13,876       

proficiency test.                                                               

      School Improvement Incentive Grants                          13,878       

      Of the foregoing appropriation item 200-570, School          13,880       

Improvement Incentive Grants, $2,000,000 in each fiscal year       13,881       

shall be used to provide grants of $25,000 per building for        13,883       

improvements in reading performance based on selection criteria    13,884       

developed by the OhioReads Council.                                             

      Of the foregoing appropriation items 200-570, School         13,886       

Improvement Incentive Grants, $6,500,000 in each fiscal year       13,887       

shall be used to provide grants of $25,000 each to elementary      13,889       

schools and $50,000 each to middle schools, junior high schools,   13,890       

and high schools that demonstrate significant improvement on                    

proficiency tests, attendance rates, and graduation rates based    13,891       

on standards developed by the Department of Education.             13,892       

      Of the foregoing appropriation item 200-570, School          13,894       

Improvement Incentive Grants, $500,000 in each fiscal year shall   13,895       

be used to provide grants of $50,000 each to educational service   13,897       

centers and joint vocational school districts for exemplary        13,898       

programs or that demonstrate significant improvement on                         

proficiency tests, attendance rates, and graduation rates based    13,899       

on standards developed by the Department of Education.             13,900       

      Of the foregoing appropriation item 200-570, School          13,902       

Improvement Incentive Grants, $1,000,000 in each fiscal year       13,903       

shall be used to provide grants of $25,000 each to schools         13,905       

selected for superior performance by BEST, Building Excellent                   

Schools for Today and the 21st Century.                            13,906       

                                                          293    


                                                                 
      Teacher Incentive Grants                                     13,908       

      The foregoing appropriation item 200-572, Teacher Incentive  13,910       

Grants, shall be used by the Department of Education to pay        13,911       

one-time stipends to qualified teachers of reading, mathematics,   13,912       

and science.  To be eligible, teacher applicants must hold a       13,913       

valid teaching certificate; be employed by a city, local,          13,914       

exempted village, or joint vocational school district; and be                   

certified by the district as necessary to meet an existing need    13,915       

for teachers with a reading, mathematics, or science credential.   13,916       

      Individuals with an elementary school teaching certificate   13,918       

that successfully complete a program for a reading endorsement,    13,919       

and who successfully complete the examination prescribed by the    13,920       

State Board of Education, shall be paid a stipend of $1,000.       13,921       

Individuals with a high school teaching certificate that                        

successfully complete a program required to add mathematics or     13,922       

science to that certificate, and who successfully complete the     13,923       

mathematics or science examination prescribed by the State Board   13,924       

of Education, shall be paid a stipend of $1,500.  The variance in  13,925       

stipend amounts reflects the variance in requirements to secure    13,926       

the different credentials.                                                      

      Character Education                                          13,928       

      Of the foregoing appropriation item 200-573, Character       13,930       

Education, up to $50,000 in each fiscal year shall be used to      13,931       

develop, produce, or otherwise obtain a distance learning          13,932       

program, a video presentation, or other method of offering         13,933       

instruction in character education to multiple school districts.   13,934       

The program, presentation, or other method of instruction shall    13,935       

be made available to all school districts.                         13,936       

      The remainder of appropriation item 200-573, Character       13,938       

Education, shall be used by the Department of Education to         13,940       

provide matching grants of up to $50,000 each to school districts  13,941       

to develop pilot character education programs.                                  

      Substance Abuse Prevention                                   13,943       

      Of the foregoing appropriation item 200-574, Substance       13,945       

                                                          294    


                                                                 
Abuse Prevention, up to $2,000,000 in fiscal year 2000 and up to   13,946       

$2,120,000 in fiscal year 2001 shall be used for the Substance     13,947       

Abuse Coordinators Program.  Of the foregoing appropriation item   13,948       

200-574, Substance Abuse Prevention, up to $300,000 in each                     

fiscal year of the biennium shall be used for the Substance Abuse  13,949       

Prevention Student Assistance Program.                             13,950       

      12th Grade Proficiency Stipend                               13,952       

      The foregoing appropriation item 200-575, 12th Grade         13,954       

Proficiency Stipend, shall be used to fund a $500 scholarship to   13,955       

each student who meets the requirements of section 3365.15 of the  13,956       

Revised Code.                                                                   

      Within thirty days of the effective date of this section,    13,958       

the Director of Budget and Management shall transfer the           13,959       

appropriation for this program to the Ohio Board of Regents for    13,960       

its administration.                                                             

      Auxiliary Services Mobile Repair                             13,962       

      Notwithstanding section 3317.064 of the Revised Code, if     13,964       

the unobligated cash balance is sufficient, the Treasurer of       13,965       

State shall transfer $1,500,000 in fiscal year 2000 within thirty  13,966       

days of the effective date of this section and $1,500,000 in       13,967       

fiscal year 2001 by August 1, 2000, from the Auxiliary Services    13,968       

Personnel Unemployment Compensation Fund to the Department of      13,969       

Education's Auxiliary Services Mobile Repair Fund (Fund 598).      13,970       

      Within 30 days after the effective date of this section,     13,972       

the Superintendent of Public Instruction shall certify to the      13,973       

Director of Budget and Management the amount of cash to be         13,974       

transferred from the Miscellaneous Revenue Fund, Fund 452, to the  13,975       

Educational Grants Fund, Fund 620.                                              

      Coordinated School Health and AIDS Education                 13,977       

      The Department of Education shall not commit or spend any    13,979       

moneys from appropriation item 200-625, Coordinated School         13,980       

Health, or appropriation item 200-668, AIDS Education, for         13,981       

activities in preparation for or during the 1999-2000 school year  13,982       

or for the 2000-2001 school year until the General Assembly has    13,983       

                                                          295    


                                                                 
approved program plans for these purposes through the adoption of               

a concurrent resolution.  Before the House of Representatives or   13,984       

the Senate votes on a concurrent resolution approving program      13,985       

plans, its standing committee having principal jurisdiction over   13,986       

primary and secondary education legislation shall conduct at       13,987       

least one public hearing on the program plans.  Tobacco use        13,988       

prevention programs and dental health programs are exempt from                  

these requirements.                                                13,989       

      Section 4.19.  Lottery Profits Education Fund                13,992       

      Appropriation item fund 017 200-612, Base Cost Funding,      13,995       

shall be used in conjunction with GRF appropriation item 200-501,  13,996       

Base Cost Funding, to provide payments to school districts                      

pursuant to Chapter 3317. of the Revised Code.                     13,998       

      Of the foregoing appropriation item fund 017 200-612, Base   14,001       

Cost Funding, $25,000,000 in each fiscal year shall be used from   14,002       

the funds transferred from the Unclaimed Prizes Trust Fund         14,003       

pursuant to the section entitled "Transfers from the Unclaimed     14,004       

Prizes Fund" of this act.                                                       

      The Department of Education, with the approval of the        14,006       

Director of Budget and Management, shall determine the monthly     14,007       

distribution schedules of the GRF appropriation item 200-501 and   14,008       

fund 017 appropriation item 200-610.  If adjustments to the        14,009       

monthly distribution schedule are necessary, the Department of     14,011       

Education shall make such adjustments with the approval of the     14,012       

Director of Budget and Management.                                 14,013       

      The Director of Budget and Management shall transfer the     14,015       

amount appropriated under the Lottery Profits Education Fund for   14,016       

appropriation item 200-682, Lease Rental Payment Reimbursement,    14,017       

to the General Revenue Fund on a schedule determined by the        14,018       

director.  These funds shall support the GRF appropriation item    14,019       

230-428, Lease Rental Payments, of the School Facilities           14,020       

Commission.                                                        14,021       

      Lottery Profits Transfers*                                   14,023       

      On 15th day of May of each fiscal year, the Director of      14,025       

                                                          296    


                                                                 
Budget and Management shall determine if lottery profits           14,026       

transfers will meet the appropriation amounts from the Lottery     14,027       

Profits Education Fund.                                            14,028       

      On or after the date specified in each fiscal year, if the   14,030       

director determines that lottery profits will not meet             14,031       

appropriations and if other funds are not available to meet the    14,032       

shortfall, the Superintendent of Public Instruction shall take     14,033       

the actions specified under the "Reallocation of Funds" section    14,035       

of this act.                                                                    

      Transfers from the Unclaimed Prizes Fund                     14,037       

      By January 15 of fiscal year 2000 and by January 15 of       14,039       

fiscal year 2001, the Director of Budget and Management shall      14,041       

transfer $25,000,000 from the State Lottery Commission's           14,042       

Unclaimed Prizes Fund to the Lottery Profits Education Fund, to                 

be used solely for purposes specified in the Department of         14,043       

Education's budget.  Transfers of unclaimed prizes under this      14,044       

provision shall not count as lottery profits in the determination  14,045       

made concerning excess profits titled "Lottery Profits" under the  14,047       

Department of Education in this act.                                            

      Teacher Certification and Licensure                          14,049       

      The foregoing appropriation item 200-681, Teacher            14,051       

Certification and Licensure, shall be used by the Department of    14,052       

Education in each year of the biennium to administer teacher       14,053       

certification and licensure functions pursuant to sections         14,054       

3301.071, 3301.074, 3301.50, 3301.51, 3319.088, 3319.22, 3319.24   14,055       

to 3319.28, 3319.281, 3319.282, 3319.29, 3319.301, 3319.31, and    14,056       

3319.51 of the Revised Code.                                       14,057       

      Section 4.20.  Property Tax Allocation                       14,059       

      The Superintendent of Public Instruction shall not request   14,061       

and the Controlling Board shall not approve the transfer of funds  14,062       

from appropriation item 200-901, Property Tax                      14,063       

Allocation-Education, to any other appropriation line item.        14,064       

      School District Solvency Assistance                          14,066       

      The foregoing appropriation item 200-687, School District    14,068       

                                                          297    


                                                                 
Solvency Assistance, shall be used to make advancements to school  14,070       

districts to enable them to remain solvent pursuant to section                  

3316.20 of the Revised Code.  Advancements shall be subject to     14,071       

approval by the Controlling Board.  Reimbursements from school     14,073       

districts for any amounts advanced shall be made to the School     14,074       

District Solvency Assistance Fund.                                 14,075       

      Section 4.21.  Distribution Formulas*                        14,077       

      The Department of Education shall report the following to    14,079       

the Director of Budget and Management, the Legislative Office of   14,080       

Education Oversight, and the Legislative Budget Officer of the     14,081       

Legislative Service Commission:                                    14,082       

      (A)  Changes in formulas for distributing state              14,084       

appropriations, including administratively defined formula         14,085       

factors;                                                           14,086       

      (B)  Discretionary changes in formulas for distributing      14,088       

federal appropriations;                                            14,089       

      (C)  Federally mandated changes in formulas for              14,091       

distributing federal appropriations.                               14,092       

      Any such changes shall be reported two weeks prior to the    14,094       

effective date of the change.                                      14,095       

      Section 4.22.  Educational Service Centers Funding           14,097       

      Notwithstanding division (B) of section 3317.11 of the       14,099       

Revised Code, no funds shall be provided to an educational         14,100       

service center in either fiscal year for any pupils of a city or   14,101       

exempted village school district unless an agreement to provide    14,102       

services under section 3313.843 of the Revised Code was entered                 

into by January 1, 1997, except that funds shall be provided to    14,103       

an educational service center for any pupils of a city school      14,104       

district if the agreement to provide services was entered into     14,105       

within one year of the date upon which such district changed from  14,106       

a local school district to a city school district.  If                          

insufficient funds are appropriated in fiscal year 2000 for the    14,107       

purposes of division (B) of section 3317.11 of the Revised Code,   14,108       

the department shall first distribute to each educational service  14,109       

                                                          298    


                                                                 
center $32 per pupil in its service center ADM, as defined in      14,110       

that section.  The remaining funds in the fiscal year shall be     14,111       

distributed to each educational service center at a rate of $32    14,112       

per pupil in its client ADM, as defined in that section, that is                

attributable to each city and exempted village school district     14,113       

that had entered into an agreement with an educational service     14,114       

center for that fiscal year under section 3313.843 of the Revised  14,115       

Code by January 1, 1997, in order of the dates on which such       14,116       

agreements were entered into, beginning with the earliest such     14,117       

date; except that any service center that received funds for the                

pupils of a city or exempted village school district in fiscal     14,118       

year 1999 shall receive funds for the pupils of such district in   14,119       

fiscal year 2000 if such district has entered into an agreement    14,120       

with that educational service center for that fiscal year.  If     14,121       

insufficient funds are appropriated in fiscal year 2001 for the    14,122       

purposes of division (B) of section 3317.11 of the Revised Code,   14,123       

the department shall first distribute to each educational service  14,124       

center $32 per pupil in its service center ADM.  The remaining     14,125       

funds in the fiscal year shall be distributed to each educational  14,126       

service center at a rate of $32 per pupil in its client ADM        14,128       

attributable to each city and exempted village school district                  

that had entered into an agreement with an educational service     14,129       

center for that fiscal year under section 3313.843 of the Revised  14,130       

Code by January 1, 1997, in order of the dates on which such       14,131       

agreements were entered into, beginning with the earliest such     14,132       

date; except that any educational service center that received     14,133       

funds for the pupils in the ADM of a city or exempted village                   

school district in both fiscal years 1999 and 2000 shall receive   14,134       

funds for the pupils of such district in fiscal year 2001 if such  14,135       

district has entered into an agreement with that educational       14,136       

service center for that fiscal year.                                            

      Section 4.23.  Distribution-School District Subsidy          14,138       

Payments                                                           14,139       

      The provisions of this section shall not take effect unless  14,142       

                                                          299    


                                                                 
the Director of Budget and Management adopts an order putting      14,143       

them into effect and certifies a copy of the order to the          14,144       

Superintendent of Public Instruction and the Controlling Board.    14,145       

      Notwithstanding any other provision of the Revised Code,     14,147       

the monthly distribution of payments made to school districts and  14,148       

educational service centers pursuant to section 3317.01 of the     14,149       

Revised Code for the first six months of each fiscal year shall    14,151       

equal, as nearly as possible, six and two-thirds per cent of the   14,152       

estimate of the amounts payable for each fiscal year.  The         14,153       

monthly distribution of payments for the last six months of each   14,154       

fiscal year shall equal, as nearly as possible, ten per cent of    14,155       

the final calculation of the amounts payable to each school        14,156       

district for that fiscal year.                                                  

      The treasurer of each school district or educational         14,158       

service center may accrue, in addition to the payments defined in  14,160       

this section, to the accounts of the calendar years that end       14,161       

during each fiscal year, the difference between the sum of the     14,162       

first six months' payments in each fiscal year and the amounts     14,163       

the district would have received had the payments been made in,    14,164       

as nearly as possible in each fiscal year, twelve equal monthly    14,165       

payments.                                                                       

      Notwithstanding the limitations on the amount of borrowing   14,167       

and time of payment provided for in section 133.10 of the Revised  14,168       

Code but subject to the provisions of sections 133.26 and 133.30   14,169       

of the Revised Code, a board of education of a school district     14,170       

may at any time between July 1, 1999, and December 31, 1999, or    14,171       

at any time between July 1, 2000, and December 31, 2000, borrow    14,172       

money to pay any necessary and actual expenses of the school       14,173       

district during the last six months of calendar years 1999 and     14,174       

2000 and in anticipation of the receipt of any portion of the      14,175       

payments to be received by that district in the first six months   14,176       

of calendar years 2000 and 2001 representing the respective        14,177       

amounts accrued pursuant to the preceding paragraph, and issue     14,178       

notes to evidence that borrowing to mature no later than the       14,179       

                                                          300    


                                                                 
thirtieth day of June of the calendar year following the calendar  14,180       

year in which such amount was borrowed.  The principal amount      14,181       

borrowed in the last six months of calendar years 1999 or 2000     14,182       

under this paragraph may not exceed the entire amount accrued or   14,183       

to be accrued by the district treasurer in those calendar years    14,184       

pursuant to the preceding paragraph.  The proceeds of the notes    14,185       

shall be used only for the purposes for which the anticipated      14,186       

receipts are lawfully appropriated by the board of education.  No  14,187       

board of education shall be required to use the authority granted  14,188       

by this paragraph.  The receipts so anticipated, and additional    14,189       

amounts from distributions to the districts in the first six       14,190       

months of calendar years 2000 and 2001 pursuant to Chapter 3317.   14,191       

of the Revised Code needed to pay the interest on the notes,       14,192       

shall be deemed appropriated by the board of education to the      14,193       

extent necessary for the payment of the principal of and interest  14,194       

on the notes at maturity, and the amounts necessary to make those  14,195       

monthly distributions are hereby appropriated from the General     14,196       

Revenue Fund.  For the purpose of better ensuring the prompt       14,197       

payment of principal of and interest on the notes when due, the    14,198       

resolution of the board of education authorizing the notes may     14,199       

direct that the amount of the receipts anticipated, together with  14,200       

those additional amounts needed to pay the interest on the         14,201       

borrowed amounts, shall be deposited and segregated, in trust or   14,202       

otherwise, to the extent, at the time or times, and in the manner  14,203       

provided in that resolution.  The borrowing authorized by this     14,204       

section shall not constitute debt for purposes of section 133.04   14,205       

of the Revised Code.  School districts shall be reimbursed by the  14,206       

state for all necessary and actual costs to districts arising      14,207       

from this provision, including, without limitation, the interest   14,208       

paid on the notes while the notes are outstanding.  The            14,209       

Department of Education shall adopt rules that are not             14,210       

inconsistent with this section for school district eligibility     14,211       

and application for reimbursement of such costs.  Payments of      14,212       

these costs shall be made out of any anticipated balances in       14,213       

                                                          301    


                                                                 
appropriation items distributed under Chapter 3317. of the         14,214       

Revised Code.  The department shall submit all requests for        14,215       

reimbursement under these provisions to the Controlling Board for  14,216       

approval.                                                          14,217       

      During the last six months of each calendar year, instead    14,219       

of deducting the amount the Superintendent of Public Instruction   14,220       

would otherwise deduct from a school district's or educational     14,222       

service center's state aid payments in accordance with the         14,223       

certifications made for such year pursuant to sections 3307.56     14,224       

and 3309.51 of the Revised Code, the superintendent shall deduct   14,226       

an amount equal to forty per cent of the amount so certified.      14,227       

The secretaries of the retirement systems shall compute the        14,228       

certifications for the ensuing year under such sections as if the  14,229       

entire amounts certified as due in the calendar year ending the    14,230       

current fiscal year, but not deducted pursuant to this paragraph,  14,231       

had been deducted and paid in that calendar year.  During the      14,232       

first six months of the ensuing calendar year, in addition to      14,233       

deducting the amounts the Superintendent of Public Instruction is  14,234       

required to deduct under such sections during such period, the     14,235       

superintendent shall deduct from a district's or educational       14,236       

service center's state aid payments an additional amount equal to  14,238       

the amount that was certified as due from the district for the     14,239       

calendar year that ends during the fiscal year, but that was not   14,240       

deducted because of this paragraph.  The superintendent's          14,241       

certifications to the Director of Budget and Management during     14,242       

the first six months of the calendar year shall reflect such       14,243       

additional deduction.                                                           

      Section 4.24.  Reallocation of Funds                         14,245       

      (A)  As used in this section:                                14,247       

      (1)  "Basic aid" means the amount calculated for the school  14,250       

district received for the fiscal year under divisions (A) and (C)  14,251       

of section 3317.022 and sections 3317.023, 3317.025 to 3317.029,   14,253       

3317.0212, and 3317.0213 of the Revised Code and the amount        14,254       

computed for a joint vocational school district under section      14,255       

                                                          302    


                                                                 
3317.16 of the Revised Code.                                                    

      (2)  "Nonbasic aid" means the amount computed for a school   14,258       

district for fiscal year 2000 or fiscal year 2001 under Chapter    14,259       

3317. of the Revised Code and this act, excluding the district's   14,260       

basic aid and the amount computed under such chapter and acts for  14,261       

educational service centers, MR/DD boards, and institutions.       14,262       

      (B)  If in either fiscal year of the biennium the Governor   14,264       

issues an order under section 126.05 of the Revised Code to        14,265       

reduce expenditures and incurred obligations and the order         14,266       

requires the superintendent to reduce such state education         14,267       

payments, or if lottery profits transfers are insufficient to      14,269       

meet the amounts appropriated from the Lottery Profits Education   14,270       

Fund for base cost funding, and if other funds are not sufficient  14,271       

to offset the shortfall, the superintendent shall reduce nonbasic  14,273       

aid payments so that the total amount expended in the fiscal year  14,274       

will not exceed the amount available for expenditure pursuant to   14,275       

the Governor's order.  Subject to Controlling Board approval, the  14,276       

superintendent shall reallocate appropriations not yet expended    14,277       

from one program to another.                                       14,278       

      (C)(1)  If further reductions in nonbasic aid are necessary  14,281       

following the reallocations implemented pursuant to division (B)   14,282       

of this section, the superintendent shall request the Controlling  14,283       

Board to approve the use of the money appropriated by this         14,284       

division.  The superintendent shall include with the               14,285       

superintendent's request a report listing the amount of                         

reductions that each school district will receive if the request   14,286       

is not approved, and also the amount of the reduction, if any,     14,287       

that will still be required if the use of the money appropriated   14,288       

by this section is approved.                                                    

      (2)  In accordance with division (C)(1) of this section,     14,290       

there is hereby appropriated to the Department of Education from   14,291       

the unobligated balance remaining in the Lottery Profits           14,292       

Education Fund at the end of fiscal year 1999 the lesser of:  the  14,293       

unobligated balance in the fund, or the amount needed to preclude  14,295       

                                                          303    


                                                                 
a reallocation pursuant to this section.  The money appropriated   14,296       

by this division may be spent or distributed by the department     14,297       

only with the approval of the Controlling Board.                   14,298       

      (D)  If reductions in nonbasic aid are still necessary       14,301       

following the actions taken pursuant to divisions (B) and (C) of   14,302       

this section, the superintendent shall determine by what           14,303       

percentage expenditures for nonbasic aid must be reduced for the   14,304       

remainder of the fiscal year to make the total amount distributed  14,305       

for the year equal the amount appropriated or available for        14,306       

distribution.  The superintendent shall reduce by that percentage  14,307       

the amount to be paid in nonbasic aid to each city, exempted       14,308       

village, local, and joint vocational school district, to each      14,309       

educational service center, to each county board of mental         14,310       

retardation and developmental disabilities, and to each            14,311       

institution providing special education programs under section     14,312       

3323.091 of the Revised Code for the remainder of the fiscal       14,313       

year.                                                                           

      Section 4.25.  Lottery Profits                               14,315       

      (A)  There is hereby created the Lottery Profits Education   14,317       

Reserve Fund (Fund 018) in the State Treasury.  At no time shall   14,318       

the amount to the credit of the fund exceed $75,000,000.           14,319       

Investment earnings of the Lottery Profits Education Reserve Fund  14,320       

shall be credited to the fund.  Notwithstanding any provisions of  14,321       

law to the contrary, for fiscal years 2000 and 2001, there is      14,322       

hereby appropriated to the Department of Education, from the       14,323       

Lottery Profits Education Reserve Fund, an amount necessary to     14,324       

make loans authorized by sections 3317.0210, 3317.0211, and        14,325       

3317.62 of the Revised Code.  All loan repayments from loans made  14,326       

in fiscal years 1992, 1993, 1994, 1995, 1996, 1997, 1998, or 1999  14,327       

shall be deposited into the credit of the Lottery Profits          14,328       

Education Reserve Fund.                                                         

      (B)(1)  On or before July 15, 1999, the Director of Budget   14,330       

and Management shall determine the amount by which lottery profit  14,331       

transfers received by the Lottery Profits Education Fund for       14,332       

                                                          304    


                                                                 
fiscal year 1999 exceed $688,873,028.  The amount so certified     14,334       

shall be distributed in fiscal year 2000 pursuant to divisions     14,336       

(C) and (D) of this section.                                                    

      (2)  On or before July 15, 2000, the Director of Budget and  14,338       

Management shall determine the amount by which lottery profit      14,339       

transfers received by the Lottery Profits Education Fund for       14,340       

fiscal year 2000 exceed $661,000,000.  The amount so determined    14,341       

shall be distributed in fiscal year 2001 pursuant to divisions     14,342       

(E) and (F) of this section.                                       14,343       

      The Director of Budget and Management shall annually         14,345       

certify the amounts determined pursuant to this section to the     14,346       

Speaker of the House of Representatives and the President of the   14,347       

Senate.                                                                         

      (C)  Not later than June 15, 2000, the Department of         14,349       

Education, in consultation with the Director of Budget and         14,350       

Management, shall determine, based upon estimates, if a            14,351       

reallocation of funds as described in the section of this act      14,352       

titled "Reallocation of Funds" is required.                        14,353       

      If a reallocation of funds is required, then the             14,355       

Superintendent of Public Instruction shall request Controlling     14,356       

Board approval for a release of any balances in the Lottery        14,357       

Profits Education Fund available for the purpose of this division  14,358       

and pursuant to divisions (C)(1) and (2) of the section of this    14,359       

act titled "Reallocation of Funds."  Any moneys so released are    14,360       

hereby appropriated.                                               14,361       

      (D)  In fiscal year 2000, if the Department of Education     14,363       

does not determine that a reallocation of funds is necessary by    14,364       

the fifteenth day of June, as provided in division (C) of this     14,366       

section, or if there is a balance in the Lottery Profits           14,367       

Education Fund after the release of any amount needed to preclude  14,368       

a reallocation of funds as provided in division (C) of this        14,369       

section, the moneys in the Lottery Profits Education Fund shall    14,370       

be allocated as provided in this division.  Any amounts so         14,371       

allocated are hereby appropriated.                                              

                                                          305    


                                                                 
      An amount equal to five per cent of the estimated lottery    14,373       

profits of $688,873,028 in fiscal year 1999 or the amount          14,374       

remaining in the fund, whichever is the lesser amount, shall be    14,375       

transferred to the Lottery Profits Education Reserve Fund within   14,376       

the limitations specified in division (A) of this section and be   14,377       

reserved and shall not be available for allocation or              14,378       

distribution during fiscal year 2000.  Any amounts exceeding       14,379       

$75,000,000 shall be distributed pursuant to division (G) of this  14,380       

section.                                                           14,381       

      (E)  Not later than June 15, 2001, the Department of         14,383       

Education, in consultation with the Director of Budget and         14,384       

Management, shall determine, based upon estimates, if a            14,385       

reallocation of funds as described in the section of this act      14,386       

titled "Reallocation of Funds" is required.                        14,387       

      If a reallocation of funds is required, then the             14,389       

Superintendent of Public Instruction shall request Controlling     14,390       

Board approval for a release of any balances in the Lottery        14,391       

Profits Education Fund available for the purpose of this division  14,392       

and pursuant to divisions (C)(1) and (2) of the section of this    14,393       

act titled "Reallocation of Funds."  Any moneys so released are    14,394       

hereby appropriated.                                               14,395       

      (F)  In fiscal year 2001, if the Department of Education     14,397       

does not determine that a reallocation of funds is necessary by    14,398       

the fifteenth day of June, as provided in division (E) of this     14,400       

section, or if there is a balance in the Lottery Profits           14,401       

Education Fund after the release of any amount needed to preclude  14,402       

a reallocation of funds as provided in division (E) of this        14,403       

section, the moneys in the Lottery Profits Education Fund shall    14,404       

be allocated as provided in this division.  Any amounts so         14,405       

allocated are hereby appropriated.                                              

      An amount equal to five per cent of the estimated lottery    14,407       

profits transfers of $661,000,000 in fiscal year 2000 or the       14,408       

amount remaining in the fund, whichever is the lesser amount,      14,409       

shall be transferred to the Lottery Profits Education Reserve      14,410       

                                                          306    


                                                                 
Fund within the limitations specified in division (A) of this      14,411       

section and be reserved and shall not be available for allocation  14,412       

or distribution during fiscal year 2001.  Any amounts exceeding    14,413       

$75,000,000 shall be distributed pursuant to division (G) of this  14,415       

section.                                                                        

      (G)  In the appropriate fiscal year, any remaining amounts   14,417       

after the operations required by division (D) or (F) of this       14,418       

section, respectively, shall be available for distribution in      14,419       

accordance with this division.                                     14,420       

      (1)  As used in this division:                               14,422       

      (a)  "State basic aid" means:                                14,424       

      (i)  In the case of a city, local, or exempted village       14,426       

school district, the amount computed for a district under          14,427       

sections 3317.022, 3317.023, and 3317.025 to 3317.028 of the       14,428       

Revised Code, plus any amount computed for the district under      14,429       

section 3317.0212 of the Revised Code;                             14,430       

      (ii)  In the case of a joint vocational school district,     14,432       

the amount calculated under section 3317.16 of the Revised Code.   14,433       

      (b)  "ADM" means:                                            14,435       

      (i)  In the case of a city, local, or exempted village       14,437       

school district, the district's formula ADM as defined in section  14,438       

3317.02 of the Revised Code, minus the portion of ADM computed     14,439       

under division (A)(3) of section 3317.03 of the Revised Code for   14,440       

students that are enrolled in a joint vocational school district;  14,441       

      (ii)  In the case of a joint vocational school district,     14,443       

the district's formula ADM as defined in that section.             14,444       

      (2)  Ninety-seven and forty-three one-hundredths per cent    14,446       

of the amount made available for distribution under this division  14,447       

in each fiscal year shall be distributed to city, local, joint     14,448       

vocational, and exempted village school districts eligible to      14,449       

receive funds pursuant to Chapter 3317. of the Revised Code in     14,450       

proportion to the percentage that the ADM of each such district    14,451       

is of the ADM of all districts and shall be for the use of the     14,452       

public schools of the district.  Two and fifty-seven               14,453       

                                                          307    


                                                                 
one-hundredths per cent of such amount made available for          14,454       

distribution under this division in each fiscal year shall be      14,455       

distributed to nonpublic schools for the purposes of section       14,456       

3317.063 of the Revised Code.  Not later than the first day of     14,457       

March of each fiscal year, the Department of Education shall       14,458       

compute each school district's share for that year of the amount   14,459       

to be distributed under this division and shall, subject to        14,460       

Controlling Board approval, distribute the shares so determined.   14,461       

      Amounts distributed to school districts pursuant to this     14,463       

division shall be used solely to purchase textbooks and            14,464       

equipment.  If funds have been appropriated by a board for any     14,465       

purposes permitted under this section, the amounts distributed to  14,466       

the district or educational service center under this division     14,467       

shall be used for additional expenditures for such purposes and    14,468       

shall not be substituted for funds previously appropriated by the  14,469       

board.                                                                          

      (3)  Districts and nonpublic schools shall report to the     14,471       

Department of Education no later than the last day of May of each  14,472       

fiscal year on the usage of funds received under this division.    14,473       

The Department shall compile district data and report on the       14,474       

usage of all funds distributed under this division to the          14,475       

Controlling Board by the last day of June of each fiscal year.     14,476       

If the Department determines that a district used funds            14,477       

distributed pursuant to this division for purposes not permitted,  14,478       

it shall reduce the district's state basic aid payments for the    14,479       

ensuing fiscal year by the amount improperly used.                 14,480       

      It is the intent of the General Assembly that moneys         14,482       

distributed pursuant to this section shall not be included in any  14,483       

spending base calculations when appropriations for the 2001-2002   14,484       

biennium are being considered.                                     14,485       

      Section 4.26.*  For the school year commencing July 1,       14,487       

1999, or the school year commencing July 1, 2000, or both, the     14,488       

Superintendent of Public Instruction may waive for the board of    14,489       

education of any school district the ratio of teachers to pupils   14,490       

                                                          308    


                                                                 
in kindergarten through fourth grade required under paragraph      14,491       

(A)(3) of rule 3301-35-03 of the Administrative Code if the        14,492       

following conditions apply:                                        14,493       

      (A)  The board of education requests the waiver;             14,495       

      (B)  After the Department of Education conducts an on-site   14,497       

evaluation of the district related to meeting the required ratio,  14,498       

the board of education demonstrates to the satisfaction of the     14,499       

Superintendent of Public Instruction that providing the            14,501       

facilities necessary to meet the required ratio during the         14,502       

district's regular school hours with pupils in attendance would    14,503       

impose an extreme hardship on the district;                        14,504       

      (C)  The board of education provides assurances that are     14,506       

satisfactory to the Superintendent of Public Instruction that the  14,507       

board will act in good faith to meet the required ratio as soon    14,508       

as possible.                                                       14,509       

      Section 4.27.*  Teacher and Nonteacher Salary Schedules      14,511       

      (A)  As used under this heading:                             14,513       

      (1)  "Teachers' salary schedule" means the salary schedule   14,516       

adopted pursuant to section 3317.14 of the Revised Code, except    14,517       

that it does not include any separate salary level for teachers    14,518       

with twelve or more years of service or for any separate level of  14,519       

training and experience except those levels separately set forth   14,520       

in the salary schedule in section 3317.13 of the Revised Code.     14,521       

      (2)  "Nonteaching salary schedule" means the salary          14,524       

schedule adopted pursuant to section 3317.12 of the Revised Code.  14,525       

      (B)  If the salary for any number of years' service at any   14,527       

level of training and experience in a board of education's         14,528       

teachers' salary schedule that was in effect on June 30, 1994,     14,529       

was less than the amount required for that number of years'        14,530       

service at that level in order to be in compliance with the        14,531       

minimum salary requirements imposed by this act for the 1994-1995  14,532       

school year, that board shall increase the salaries for each       14,533       

position classification and level of service in the nonteaching    14,534       

salary schedule for the 1994-1995 school year as follows:          14,535       

                                                          309    


                                                                 
      (1)  Add the salaries at each level of training and          14,537       

experience in the teachers' salary schedule that was in effect on  14,538       

June 30, 1994.                                                     14,539       

      (2)  At each level of training and experience, increase the  14,541       

salary in the June 30, 1994, teachers' salary schedule if an       14,542       

increase is required for the 1994-1995 school year in order to     14,543       

bring that schedule into compliance with this act, but do not      14,544       

increase the salary to more than the minimum amount required to    14,545       

be in compliance.                                                  14,546       

      (3)  Recompute division (B)(1) under this heading,           14,548       

substituting the increased salaries included in division (B)(2)    14,549       

under this heading.                                                14,550       

      (4)  Divide the sum obtained in division (B)(3) under this   14,552       

heading by the sum obtained in division (B)(1) under this          14,553       

heading.                                                           14,554       

      (5)  Multiply the salary for each position classification    14,556       

and level of service included in the nonteaching salary schedule   14,557       

by the quotient obtained in division (B)(4) under this heading.    14,558       

      No school district affected by this division shall pay any   14,560       

nonteaching school employee for the 1994-1995 school year at a     14,561       

rate that is less than that to which the employee would be         14,562       

entitled if the employee were paid under the adjusted nonteaching  14,564       

salary schedule computed under division (B)(5) of this heading.    14,565       

      Section 4.28.*  Notwithstanding any provision of division    14,567       

(F) of section 3311.06 of the Revised Code limiting interdistrict  14,570       

payments under annexation agreements to amounts certified under    14,571       

former section 3317.029 of the Revised Code, a party to an         14,572       

annexation agreement entered into prior to the effective date of   14,573       

this section which contains an agreement to pay, in respect of                  

its territory which is annexed territory, an amount which exceeds  14,574       

or exceeded the amount certified under former section 3317.029 of  14,575       

the Revised Code may pay such agreed amount, if the agreement      14,576       

expressly states the intention of the parties not to be bound by   14,577       

such limitation if so permitted by law.                            14,578       

                                                          310    


                                                                 
      Section 4.29.  Private Treatment Facility Pilot Project      14,580       

      (A)  As used in this section:                                14,582       

      (1)  The following are "participating residential treatment  14,584       

centers":                                                                       

      (a)  Private residential treatment facilities which have     14,586       

entered into a contract with the Ohio Department of Youth          14,587       

Services to provide services to children placed at the facility    14,588       

by the department and which, in fiscal year 2000 or 2001 or both,  14,590       

the department pays through appropriation item 470-401, Care and   14,591       

Custody.                                                                        

      (b)  Abraxas, in Shelby;                                     14,593       

      (c)  Paint Creek, in Bainbridge;                             14,595       

      (d)  Act One, in Akron;                                      14,597       

      (e)  Friars Club, in Cincinnati.                             14,599       

      (2)  "Education program" means an elementary or secondary    14,601       

education program or a special education program and related       14,602       

services.                                                          14,603       

      (3)  "Served child" means any child receiving an education   14,605       

program pursuant to division (B) of this section.                  14,606       

      (4)  "School district responsible for tuition" means a       14,608       

city, exempted village, or local school district that, if tuition  14,609       

payment for a child by a school district is required under law     14,610       

that existed in fiscal year 1998, is the school district required  14,612       

to pay that tuition.                                                            

      (5)  "Residential child" means a child who resides in a      14,614       

participating residential treatment center and who is receiving    14,615       

an educational program under division (B) of this section.         14,616       

      (B)  A youth who is a resident of the state and has been     14,619       

assigned by a juvenile court or other authorized agency to a       14,620       

residential treatment facility specified in division (A) of this   14,621       

section shall be enrolled in an approved educational program                    

located in or near the facility.  Approval of the educational      14,623       

program shall be contingent upon compliance with the criteria      14,624       

established for such programs by the Department of Education.      14,625       

                                                          311    


                                                                 
The educational program shall be provided by a school district or  14,627       

educational service center, or by the residential facility         14,628       

itself.  Maximum flexibility shall be given to the residential     14,629       

treatment facility to determine the provider.  In the event that   14,630       

a voluntary agreement cannot be reached and the residential        14,631       

facility does not choose to provide the educational program, the   14,632       

educational service center in the county in which the facility is  14,633       

located shall provide the educational program at the treatment     14,634       

center to children under the age of twenty-two years residing in   14,635       

the treatment center.                                                           

      (C)  Any school district responsible for tuition for a       14,638       

residential child shall, notwithstanding any conflicting           14,639       

provision of the Revised Code regarding tuition payment, pay       14,640       

tuition for the child for fiscal years 2000 and 2001 to the        14,641       

education program provider and in the amount specified in this     14,642       

division.  If there is no school district responsible for tuition  14,643       

for a residential child and if the participating residential       14,644       

treatment center to which the child is assigned is located in the  14,645       

city, exempted village, or local school district that, if the      14,646       

child were not a resident of that treatment center, would be the   14,647       

school district where the child is entitled to attend school       14,648       

under sections 3313.64 and 3313.65 of the Revised Code, that       14,649       

school district shall, notwithstanding any conflicting provision   14,650       

of the Revised Code, pay tuition for the child for fiscal years    14,651       

2000 and 2001 under this division unless that school district is   14,652       

providing the educational program to the child under division (B)  14,653       

of this section.                                                                

      A tuition payment under this division shall be made to the   14,655       

school district, educational service center, or residential        14,656       

treatment facility providing the educational program to the        14,657       

child.                                                             14,658       

      The amount of tuition paid shall be:                         14,660       

      (1)  The amount of tuition determined for the district       14,662       

under division (A) of section 3317.08 of the Revised Code;         14,663       

                                                          312    


                                                                 
      (2)  In addition, for any student receiving special          14,665       

education pursuant to an individualized education program as       14,666       

defined in section 3323.01 of the Revised Code, a payment for      14,667       

excess costs.  This payment shall equal the actual cost to the     14,668       

school district, educational service center, or residential                     

treatment facility of providing special education and related      14,669       

services to the student pursuant to the student's individualized   14,670       

education program, minus the tuition paid for the child under      14,671       

division (C)(1) of this section.                                   14,672       

      A school district paying tuition under this division shall   14,674       

not include the child for whom tuition is paid in the district's   14,675       

average daily membership certified under division (A) of section   14,676       

3317.03 of the Revised Code.                                                    

      (D)  In each of fiscal years 2000 and 2001, the Department   14,678       

of Education shall reimburse, from appropriations made for the     14,679       

purpose, a school district, educational service center, or         14,680       

residential treatment facility, whichever is providing the         14,681       

service, which has demonstrated that it is in compliance with the  14,682       

funding criteria for each served child for whom a school district  14,683       

must pay tuition under division (C) of this section.  The amount   14,684       

of this reimbursement in either fiscal year shall be the formula   14,686       

amount specified in section 3317.022 of the Revised Code except    14,687       

that the department shall proportionately reduce this              14,688       

reimbursement if sufficient funds are not available to pay this    14,689       

amount to all qualified providers.                                              

      (E)  Funds provided to a school district, educational        14,691       

service center, or residential treatment facility under this       14,692       

section shall be used to supplement, not supplant, funds from      14,693       

other public sources for which the school district, service        14,695       

center, or residential treatment facility is entitled or           14,696       

eligible.                                                                       

      (F)  The Department of Education shall track the             14,698       

utilization of funds provided to school districts, educational     14,700       

service centers, and residential treatment facilities under this   14,701       

                                                          313    


                                                                 
section and monitor the effect of the funding on the educational   14,702       

programs they provide in participating residential treatment       14,703       

facilities.  The department shall monitor the programs for                      

educational accountability.                                        14,704       

      Section 4.30.  The Superintendent of Public Instruction      14,706       

shall contract with an independent research entity to develop a    14,707       

methodology and research design for an evaluation of the pilot     14,709       

project approved pursuant to section 3313.975 of the Revised       14,710       

Code.  The independent research entity shall consult with the      14,711       

Legislative Office of Education Oversight in the development of                 

the methodology and research for the evaluation.  The evaluation   14,712       

shall consist of two parts.  The first part shall be a formative   14,713       

evaluation examining the implementation of the program, which      14,714       

shall be completed by December 31, 1997.  The second part shall    14,715       

be a comprehensive evaluation of the results of the program,       14,716       

which shall be completed by September 1, 1999.  The comprehensive  14,718       

evaluation shall include at a minimum a study of the impact of                  

scholarships on student attendance, conduct, commitment to         14,719       

education, and standardized test scores; parental involvement;     14,720       

the school district's ability to provide services to district      14,721       

students; and the availability of alternative educational          14,722       

opportunities.  The evaluation shall also study the economic       14,723       

impact of scholarships on the school district.                     14,724       

      Section 4.31.  Notwithstanding division (C)(1) of section    14,726       

3313.975 of the Revised Code, in addition to students in           14,728       

kindergarten through third grade, initial scholarships may be      14,729       

awarded to fourth, fifth, and sixth grade students in fiscal year  14,731       

2000 and to fourth, fifth, sixth, and seventh grade students in                 

fiscal year 2001.                                                  14,732       

      Section 4.32.  Notwithstanding Chapter 3318. of the Revised  14,735       

Code, for purposes of complying with the local share and                        

repayment tax requirements of section 3318.05 of the Revised       14,736       

Code, any school district given conditional approval for           14,737       

classroom facilities assistance under section 3318.04 of the       14,738       

                                                          314    


                                                                 
Revised Code as of January 1, 1993, that approved a replacement    14,739       

permanent improvement levy at the November 5, 1996, election       14,740       

shall be permitted to use the proceeds of such levy, and any       14,741       

notes issued or to be issued in anticipation thereof, as           14,742       

available funds, within the meaning specified under section        14,743       

3318.03 of the Revised Code, to pay the local share of the cost    14,744       

of the approved classroom facilities project.  Notwithstanding     14,745       

the local share as previously determined for purposes of the       14,746       

conditional approval of the project, the local share shall be      14,747       

equal to the amount of proceeds to be obtained by the district     14,748       

under such replacement permanent improvement levy.  Such school    14,749       

districts shall not be required to obtain approval of either of    14,750       

the propositions described in divisions (A) or (B) of section      14,751       

3318.051 of the Revised Code.  The agreement required under        14,752       

section 3318.08 of the Revised Code for the construction and sale  14,754       

of the project shall include provisions for the transfer of the    14,755       

proceeds of the replacement permanent improvement levy, and any    14,756       

notes issued in anticipation thereof, to the school district's     14,757       

project construction account, and for the levy of the replacement  14,758       

permanent improvement levy.                                                     

      Section 4.33.  Statewide Study of Teacher Salaries           14,761       

      The Legislative Office of Education Oversight shall conduct  14,763       

a statewide assessment of teachers' salaries in the state.  The    14,764       

assessment shall include, but not be limited to, the following:    14,765       

      (A)  An evaluation of the effect that the minimum teacher    14,767       

salary schedule prescribed in section 3317.13 of the Revised Code  14,768       

has on the salary schedules used by school districts across the    14,769       

state;                                                                          

      (B)  A determination of which school districts use the       14,771       

minimum salary schedule prescribed in section 3317.13 of the       14,772       

Revised Code;                                                                   

      (C)  An evaluation of how district salary schedules compare  14,774       

with the minimum salary schedule prescribed in section 3317.13 of  14,775       

the Revised Code;                                                  14,776       

                                                          315    


                                                                 
      (D)  An evaluation of the effect that teacher salaries have  14,778       

on the ability of school districts to hire and retain teachers,    14,779       

particularly analyzing any difficulty that school districts        14,780       

experience when attempting to hire teachers at the low end of the  14,781       

salary schedule;                                                   14,782       

      (E)  An evaluation of the effect teacher salaries have on    14,784       

the number of college-age students choosing primary and secondary  14,785       

teaching as a career;                                              14,786       

      (F)  A review of the salary schedules of all school          14,788       

districts in the state and a breakdown within each district and    14,789       

statewide as to the percentage of teachers in each level of        14,790       

compensation.                                                                   

      The study shall be completed and presented to the General    14,792       

Assembly and the Governor not later than December 31, 2000.        14,793       

      Section 4.34.  Statewide Study of Professional Development   14,796       

Delivery                                                                        

      The Legislative Office of Education Oversight shall conduct  14,798       

a statewide assessment of professional development in the state.   14,799       

The assessment shall include, but not be limited to, the           14,800       

following:                                                                      

      (A)  An examination of how professional development funds    14,802       

are spent;                                                                      

      (B)   A study of the types of professional development       14,804       

programs funded with state moneys;                                 14,806       

      (C)  A study of the role of local professional development   14,808       

committees, established under section 3319.22 of the Revised       14,809       

Code, in determining the expenditure of professional development   14,810       

moneys;                                                                         

      (D)  A study of the affect of professional development       14,812       

programs on student achievement.                                   14,813       

      The study shall encompass all facets of professional         14,815       

development, including the role of higher education in preparing   14,817       

educators and assisting with in-service training for veteran       14,818       

educators.                                                                      

                                                          316    


                                                                 
      The study shall be completed and presented to the General    14,820       

Assembly and the Governor not later than November 15, 2000.        14,821       

      Section 5.  HEF  HIGHER EDUCATIONAL FACILITY COMMISSION      14,823       

Agency Fund Group                                                  14,825       

461 372-601 Operating Expenses    $       12,000 $       12,000    14,830       

TOTAL AGY Agency Fund Group       $       12,000 $       12,000    14,833       

TOTAL ALL BUDGET FUND GROUPS      $       12,000 $       12,000    14,836       

      Section 6.  LOT  STATE LOTTERY COMMISSION                    14,839       

State Lottery Fund Group                                           14,841       

044 950-100 Personal Services     $   22,754,332 $   23,095,613    14,846       

044 950-200 Maintenance           $   24,644,625 $   25,296,625    14,850       

044 950-300 Equipment             $    3,841,880 $    3,274,320    14,854       

044 950-402 Game and Advertising                                   14,856       

            Contracts             $   63,542,098 $   64,378,735    14,858       

044 950-601 Prizes, Bonuses, and                                   14,860       

            Commissions           $  173,555,000 $  172,025,000    14,862       

871 950-602 Annuity Prizes        $  180,660,880 $  190,243,265    14,866       

872 950-603 Unclaimed Prize                                        14,868       

            Awards                $   14,500,000 $   10,700,000    14,870       

TOTAL SLF State Lottery Fund                                       14,871       

   Group                          $  483,498,815 $  489,013,558    14,874       

TOTAL ALL BUDGET FUND GROUPS      $  483,498,815 $  489,013,558    14,877       

      Operating Expenses                                           14,880       

      The foregoing appropriation items include all amounts        14,882       

necessary for the purchase and printing of tickets, consultant     14,883       

services, and advertising.  The Controlling Board may, at the      14,884       

request of the State Lottery Commission, authorize additional      14,885       

appropriations for operating expenses of the State Lottery         14,886       

Commission from the State Lottery Fund up to a maximum of 15 per   14,887       

cent of anticipated total revenue accruing from the sale of        14,888       

lottery tickets.  Amounts authorized by the Controlling Board are  14,889       

hereby appropriated.                                               14,890       

      Prizes, Bonuses, and Commissions                             14,892       

      Any amounts, in addition to the amounts appropriated in      14,895       

                                                          317    


                                                                 
appropriation item 950-601, Prizes, Bonuses, and Commissions,      14,896       

which are determined by the director of the State Lottery                       

Commission to be necessary to fund prizes, bonuses, and            14,898       

commissions are hereby appropriated.                                            

      Annuity Prizes                                               14,900       

      With the approval of the Office of Budget and Management,    14,902       

the State Lottery Commission shall transfer cash from the State    14,903       

Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund    14,904       

(Fund 871), in an amount sufficient to fund deferred prizes.  The  14,905       

Treasurer of State shall, from time to time, credit the Deferred   14,906       

Prizes Trust Fund (Fund 871) the pro rata share of interest        14,907       

earned by the Treasurer of State on invested balances.             14,908       

      Any amounts, in addition to the amounts appropriated in      14,911       

appropriation item 950-602, Annuity Prizes, which are determined   14,912       

by the director of the State Lottery Commission to be necessary    14,913       

to fund deferred prizes and interest earnings are hereby           14,915       

appropriated.                                                                   

      Public Sector Gaming Study                                   14,917       

      If the Director of the State Lottery Commission deems it in  14,919       

the best interest of the Ohio Lottery, the director is authorized  14,920       

to contribute up to $10,000 to help fund research projects         14,921       

concerning public sector gaming.                                   14,922       

      Section 7.  BOR  BOARD OF REGENTS                            14,924       

General Revenue Fund                                               14,926       

GRF 235-321 Operating Expenses    $    3,106,261 $    3,201,422    14,931       

GRF 235-401 Rental Payments to                                     14,933       

            the Ohio Public                                                     

            Facilities Commission $  365,552,000 $  377,490,000    14,935       

GRF 235-402 Sea Grants            $      299,940 $      299,940    14,939       

GRF 235-403 Math/Science Teaching                                  14,941       

            Improvement           $    2,200,000 $    1,700,000    14,943       

GRF 235-404 College Readiness                                      14,945       

            Initiatives           $    2,650,000 $    2,564,000    14,947       

                                                          318    


                                                                 
GRF 235-406 Articulation and                                       14,949       

            Transfer              $    1,000,000 $    1,000,000    14,951       

GRF 235-408 Midwest Higher                                         14,953       

            Education Compact     $       75,000 $       75,000    14,955       

GRF 235-409 Information System    $    1,389,819 $    1,389,819    14,959       

GRF 235-414 State Grants and                                       14,961       

            Scholarship                                                         

            Administration        $    1,360,630 $    1,401,449    14,963       

GRF 235-415 Jobs Challenge        $    8,743,864 $   10,979,694    14,967       

GRF 235-417 Technology            $    4,000,000 $    4,000,000    14,971       

GRF 235-418 Access Challenge      $   35,313,691 $   65,268,000    14,975       

GRF 235-420 Success Challenge     $   20,068,104 $   48,741,000    14,979       

GRF 235-451 Eminent Scholars      $            0 $    5,200,000    14,983       

GRF 235-454 Research Challenge    $   19,436,382 $   21,568,440    14,987       

GRF 235-455 Productivity                                           14,989       

            Improvement Challenge $    1,655,884 $    1,695,625    14,991       

GRF 235-474 AHEC Program Support  $    2,094,566 $    2,094,565    14,995       

GRF 235-477 Access Improvement                                     14,997       

            Projects              $    1,084,842 $    1,110,879    14,999       

GRF 235-501 Instructional Subsidy $1,586,259,165 $1,633,846,940    15,003       

GRF 235-502 Student Support                                        15,005       

            Services              $    1,033,059 $    1,057,853    15,007       

GRF 235-503 Ohio Instructional                                     15,009       

            Grants                $   88,550,000 $   98,881,000    15,011       

GRF 235-504 War Orphans'                                           15,013       

            Scholarships          $    4,152,934 $    4,517,037    15,015       

GRF 235-507 OhioLINK              $    6,947,761 $    7,668,731    15,019       

GRF 235-508 Air Force Institute                                    15,021       

            of Technology         $    3,500,000 $    3,500,000    15,023       

GRF 235-509 Displaced Homemakers  $      244,996 $      244,996    15,027       

GRF 235-510 Ohio Supercomputer                                     15,029       

            Center                $    4,834,416 $    4,932,218    15,031       

GRF 235-511 Cooperative Extension                                  15,033       

            Service               $   25,543,306 $   26,608,525    15,035       

                                                          319    


                                                                 
GRF 235-513 OU Voinovich Center   $      375,000 $      375,000    15,039       

GRF 235-514 Central State                                          15,041       

            Supplement            $    9,744,956 $    9,744,956    15,043       

GRF 235-515 CWRU School of                                         15,045       

            Medicine              $    4,181,578 $    4,281,936    15,047       

GRF 235-518 Capitol Scholarship                                    15,049       

            Programs              $      250,000 $      250,000    15,051       

GRF 235-519 Family Practice       $    6,229,607 $    6,541,087    15,055       

GRF 235-520 Shawnee State                                          15,057       

            Supplement            $    2,969,965 $    2,824,000    15,059       

GRF 235-521 OSU Glenn Institute   $      375,000 $      375,000    15,063       

GRF 235-523 Center for Labor                                       15,065       

            Research              $      200,000 $      200,000    15,067       

GRF 235-524 Police and Fire                                        15,069       

            Protection            $      244,996 $      244,996    15,071       

GRF 235-525 Geriatric Medicine    $    1,062,139 $    1,087,630    15,075       

GRF 235-526 Primary Care                                           15,077       

            Residencies           $    3,016,605 $    3,167,435    15,079       

GRF 235-527 Ohio Aerospace                                         15,081       

            Institute             $    2,374,973 $    2,431,973    15,083       

GRF 235-530 Academic Scholarships $    8,000,000 $    8,000,000    15,087       

GRF 235-531 Student Choice Grants $   43,025,389 $   49,150,000    15,091       

GRF 235-535 Agricultural Research                                  15,093       

            and Development                                                     

            Center                $   34,623,910 $   36,180,884    15,095       

GRF 235-536 Ohio State University                                  15,097       

            Clinical Teaching     $   15,621,369 $   15,996,281    15,099       

GRF 235-537 University of                                          15,101       

            Cincinnati Clinical                                                 

            Teaching              $   12,848,363 $   13,156,724    15,103       

GRF 235-538 Medical College of                                     15,105       

            Ohio at Toledo                                                      

            Clinical Teaching     $   10,014,602 $   10,254,953    15,107       

                                                          320    


                                                                 
GRF 235-539 Wright State                                           15,109       

            University Clinical                                                 

            Teaching              $    4,865,290 $    4,982,057    15,111       

GRF 235-540 Ohio University                                        15,113       

            Clinical Teaching     $    4,703,423 $    4,816,305    15,115       

GRF 235-541 Northeastern Ohio                                      15,117       

            Universities College                                                

            of Medicine Clinical                                   15,118       

            Teaching              $    4,837,466 $    4,953,565    15,120       

GRF 235-543 OCPM Clinical Subsidy $      235,000 $      235,000    15,124       

GRF 235-547 School of                                              15,126       

            International                                                       

            Business              $    1,493,637 $    1,493,637    15,128       

GRF 235-549 Part-time Student                                      15,130       

            Instructional Grants  $   12,308,500 $   12,677,750    15,132       

GRF 235-552 Capital Component     $    9,863,295 $    9,863,295    15,136       

GRF 235-553 Dayton Area Graduate                                   15,138       

            Studies Institute     $    3,765,832 $    3,856,212    15,140       

GRF 235-554 Priorities in                                          15,142       

            Graduate Education    $    3,464,704 $    3,553,437    15,144       

GRF 235-555 Library Depositories  $    2,400,000 $    2,000,000    15,148       

GRF 235-556 Ohio Academic                                          15,150       

            Resource Network      $    3,227,819 $    3,512,182    15,152       

GRF 235-558 Long-term Care                                         15,154       

            Research              $      318,371 $      318,371    15,156       

GRF 235-561 BGSU Canadian Studies                                  15,158       

            Center                $      167,642 $      167,642    15,160       

GRF 235-572 Ohio State University                                  15,162       

            Clinic Support        $    1,702,378 $    1,820,188    15,164       

GRF 235-583 Urban University                                       15,166       

            Programs              $    5,448,911 $    5,521,285    15,168       

GRF 235-585 Ohio University                                        15,170       

            Innovation Center     $       49,745 $       49,745    15,172       

                                                          321    


                                                                 
GRF 235-587 Rural University                                       15,174       

            Projects              $    1,298,070 $    1,403,624    15,176       

GRF 235-588 Ohio Resource Center                                   15,178       

            for Mathematics,                                                    

            Science, and Reading  $      500,000 $    1,000,000    15,180       

GRF 235-595 International Center                                   15,182       

            for Water Resources                                                 

            Development           $      189,381 $      189,381    15,184       

GRF 235-596 Hazardous Materials                                    15,186       

            Program               $      244,996 $      244,996    15,188       

GRF 235-599 National Guard                                         15,190       

            Tuition Grant Program $    9,539,575 $   13,842,740    15,192       

TOTAL GRF General Revenue Fund    $2,416,879,107 $2,571,801,400    15,195       

General Services Fund Group                                        15,198       

456 235-603 Publications          $       35,000 $       35,000    15,203       

TOTAL GSF General Services                                         15,204       

   Fund Group                     $       35,000 $       35,000    15,207       

Federal Special Revenue Fund Group                                 15,210       

3H2 235-608 Human Services                                         15,213       

            Project               $      974,506 $      761,000    15,215       

3N6 235-605 State Student                                          15,217       

            Incentive Grants      $    2,000,000 $    2,000,000    15,219       

3T0 235-610 NHSC Ohio Loan                                         15,221       

            Repayment             $      100,000 $      100,000    15,223       

312 235-609 Tech Prep             $      192,224 $      211,450    15,227       

312 235-631 Federal Grants        $    2,645,077 $    2,645,077    15,231       

TOTAL FED Federal Special Revenue                                  15,232       

   Fund Group                     $    5,911,807 $    5,717,527    15,235       

State Special Revenue Fund Group                                   15,238       

4E8 235-602 HEFC Administration   $       12,000 $       12,000    15,243       

4P4 235-604 Physician Loan                                         15,245       

            Repayment             $      396,255 $      396,255    15,247       

649 235-607 Ohio State University                                  15,249       

            Highway/Transportation                                 15,249       

                                                          322    


                                                                 
            Research              $      500,000 $      500,000    15,252       

682 235-606 Nursing Loan Program  $      603,406 $      618,241    15,256       

TOTAL SSR State Special Revenue                                    15,257       

   Fund Group                     $    1,511,661 $    1,526,496    15,260       

TOTAL ALL BUDGET FUND GROUPS      $2,424,337,575 $2,579,080,423    15,263       

      Section 7.01.  Instructional Subsidy Formula                 15,266       

      As soon as practicable during each fiscal year of the        15,268       

1999-2001 biennium in accordance with instructions of the Ohio     15,269       

Board of Regents, each state-assisted institution of higher        15,270       

education shall report its actual enrollment to the Ohio Board of  15,271       

Regents.                                                           15,272       

      The Ohio Board of Regents shall establish procedures         15,274       

required by the system of formulas set out below and for the       15,275       

assignment of individual institutions to categories described in   15,276       

the formulas.   The system of formulas establishes the manner in   15,277       

which aggregate expenditure requirements shall be determined for   15,278       

each of the three components of institutional operations.  In      15,279       

addition to other adjustments and calculations described below,    15,280       

the subsidy entitlement of an institution shall be determined by   15,281       

subtracting from the institution's aggregate expenditure           15,282       

requirements income to be derived from the local contributions     15,283       

assumed in calculating the subsidy entitlements.  The local        15,284       

contributions for purposes of determining subsidy support shall    15,285       

not limit the authority of the individual boards of trustees to    15,286       

establish fee levels.                                              15,287       

      The General Studies and Technical models shall be adjusted   15,289       

by the Board of Regents so that the share of state subsidy earned  15,290       

by those models is not altered by changes in the overall local     15,291       

share.   A lower-division fee differential shall be used to        15,292       

maintain the relationship that would have occurred between these   15,293       

models and the Baccalaureate models had an assumed share of 37     15,294       

per cent been funded.                                              15,295       

      In defining the number of full-time equivalent students for  15,297       

state subsidy purposes, the Ohio Board of Regents shall exclude    15,298       

                                                          323    


                                                                 
all undergraduate students who are not residents of Ohio, except   15,299       

those charged in-state fees in accordance with reciprocity         15,300       

agreements made pursuant to section 3333.17 of the Revised Code.   15,301       

      (A)  Aggregate Expenditure Per Full-Time Equivalent Student  15,303       

      (1)  Instruction and Support Services                        15,305       

Model                                     FY 2000       FY 2001    15,308       

General Studies I                        $  3,680      $  3,762    15,310       

General Studies II                       $  4,060      $  4,305    15,312       

General Studies III                      $  5,141      $  5,259    15,314       

Technical I                              $  4,702      $  5,012    15,316       

Technical III                            $  8,088      $  8,477    15,318       

Baccalaureate I                          $  6,301      $  6,611    15,320       

Baccalaureate II                         $  7,287      $  7,582    15,322       

Baccalaureate III                        $ 10,417      $ 10,574    15,324       

Masters and Professional I               $ 11,788      $ 12,300    15,326       

Masters and Professional II              $ 17,020      $ 17,558    15,328       

Masters and Professional III             $ 22,976      $ 23,214    15,330       

Doctoral I                               $ 19,495      $ 19,647    15,332       

Doctoral II                              $ 25,066      $ 25,840    15,334       

Medical I                                $ 27,250      $ 27,709    15,336       

Medical II                               $ 38,309      $ 39,323    15,338       

      (2)  Student Services                                        15,341       

      For this purpose full-time equivalent counts shall be        15,343       

weighted to reflect differences among institutions in the numbers  15,344       

of students enrolled on a part-time basis.                         15,345       

                                          FY 2000   FY 2001        15,347       

All Expenditure Models                      $ 556     $ 594        15,348       

      (B)  Plant Operation and Maintenance (POM)                   15,350       

      (1)  Determination of the Square-Foot Based POM Subsidy      15,352       

      Space undergoing renovation shall be funded at the rate      15,354       

allowed for storage space.                                         15,355       

      In the calculation of square footage for each campus,        15,357       

square footage shall be weighted to reflect differences in space   15,358       

utilization.                                                                    

                                                          324    


                                                                 
      The space inventories for each campus shall be those         15,360       

determined in the fiscal year 1997 instructional subsidy,          15,361       

adjusted for changes attributable to the construction or           15,362       

renovation of facilities for which state appropriations were made  15,363       

or local commitments were made prior to January 1, 1995.                        

      Only fifty per cent of the space permanently taken out of    15,365       

operation in fiscal year 2000 or fiscal year 2001 that is not      15,366       

otherwise replaced by a campus shall be deleted from the fiscal    15,367       

year 1997 inventory.                                                            

      The square-foot based plant operation and maintenance        15,369       

subsidy for each campus shall be determined as follows:            15,370       

      (a)  For each standard room type category shown below, the   15,372       

subsidy-eligible net assignable square feet (NASF) for each        15,373       

campus shall be multiplied by the following rates, and the         15,374       

amounts summed for each campus to determine the total gross        15,375       

square-foot based POM expenditure requirement:                                  

                                          FY 2000   FY 2001        15,377       

Classrooms                                  $5.18     $5.33        15,378       

Laboratories                                $6.45     $6.64        15,379       

Offices                                     $5.18     $5.33        15,380       

Audio Visual Data Processing                $6.45     $6.64        15,381       

Storage                                     $2.30     $2.36        15,382       

Circulation                                 $6.53     $6.72        15,383       

Other                                       $5.18     $5.33        15,384       

      (b)  The total gross square-foot POM expenditure             15,387       

requirement shall be allocated to models in proportion to          15,388       

full-time equivalent (FTE) enrollments as reported in enrollment   15,389       

data for all models except Doctoral I and Doctoral II.                          

      (c)  The amounts allocated to models in division (B)(1)(b)   15,391       

above shall be multiplied by the ratio of subsidy-eligible FTE     15,393       

students to total FTE students reported in each model, and the     15,394       

amounts summed for all models.  To this total amount shall be      15,395       

added an amount to support roads and grounds expenditures to                    

produce the total square-foot based POM subsidy.                   15,396       

                                                          325    


                                                                 
      (2)  Determination of the Activity-Based POM Subsidy         15,398       

      (a)  The number of subsidy-eligible FTE students in each     15,400       

model shall be multiplied by the following rates for each campus   15,401       

for each fiscal year.                                                           

                                          FY 2000   FY 2001        15,404       

General Studies I                          $  488    $  488        15,406       

General Studies II                         $  563    $  584        15,408       

General Studies III                        $1,237    $1,217        15,410       

Technical I                                $  555    $  553        15,412       

Technical II                               $1,128    $1,175        15,414       

Baccalaureate I                            $  641    $  655        15,416       

Baccalaureate II                           $1,067    $1,109        15,418       

Baccalaureate III                          $1,578    $1,598        15,420       

Masters & Professional I                   $  995    $1,022        15,422       

Masters & Professional II                  $1,742    $1,895        15,424       

Masters & Professional III                 $2,620    $2,614        15,426       

Doctoral I                                 $1,433    $1,382        15,428       

Doctoral II                                $2,502    $2,613        15,430       

Medical I                                  $2,389    $2,485        15,432       

Medical II                                 $3,458    $3,362        15,434       

      (b)  The sum of the products for each campus determined in   15,437       

division (B)(2)(a) for each fiscal year shall be weighted by a     15,439       

factor to reflect sponsored research activity and job-training     15,440       

related public services expenditures to determine the total        15,441       

activity-based POM subsidy.                                                     

      (C)  Calculation of Core Subsidy Entitlements and            15,443       

Adjustments                                                                     

      (1)  Calculation of Core Subsidy Entitlements                15,445       

      The calculation of the core subsidy entitlement shall        15,447       

consist of the following components:                               15,448       

      (a)  For each campus and for each fiscal year, the core      15,450       

subsidy entitlement shall be determined by multiplying the         15,451       

amounts listed above in divisions (A)(1) and (2) and (B)(2) less   15,453       

assumed local contributions, by (i) average subsidy-eligible       15,454       

                                                          326    


                                                                 
full-time equivalents for the two-year period ending in the prior  15,455       

year for all models except Doctoral I and Doctoral II; and (ii)                 

average subsidy-eligible full-time equivalents for the five-year   15,457       

period ending in the prior year for all models except Doctoral I   15,458       

and Doctoral II.                                                                

      (b)  In calculating the core subsidy entitlements for        15,460       

Medical II models only, the board shall use the following count    15,461       

of full-time equivalent students in place of the two-year average  15,462       

and five-year average of subsidy-eligible students.                15,464       

      (i)  For those medical schools whose current year            15,466       

enrollment is below the base enrollment, the Medical II full-time  15,467       

equivalent enrollment shall equal:  65 per cent of the base        15,468       

enrollment plus 35 per cent of the current year enrollment, where  15,469       

the base enrollment is:                                            15,470       

      Ohio State University                       1010             15,472       

      University of Cincinnati                     833             15,473       

      Medical College of Ohio at                                   15,474       

         Toledo                                    650                          

      Wright State University                      433             15,475       

      Ohio University                              433             15,476       

      Northeastern Ohio Universities                               15,477       

         College of Medicine                       433                          

      (ii)  For those medical schools whose current year           15,480       

enrollment is equal to or greater than the base enrollment, the    15,481       

Medical II full-time equivalent enrollment shall equal the         15,482       

current enrollment.                                                15,483       

      (c)  For all FTE-based subsidy calculations involving        15,485       

all-terms FTE data, FTE-based allowances shall be converted from   15,486       

annualized to annual rates to ensure equity and consistency of     15,487       

subsidy determination.                                                          

      (d)  The Board of Regents shall compute the sum of the two   15,490       

calculations listed in division (C)(1)(a) above and use the                     

greater sum as the core subsidy entitlement.                       15,491       

      The POM subsidy for each campus shall equal the greater of   15,493       

                                                          327    


                                                                 
the square-foot-based subsidy or the activity-based POM subsidy    15,494       

component of the core subsidy entitlement, except that the total   15,495       

activity-based POM subsidy shall not exceed 161% of the            15,496       

square-foot based POM subsidy in fiscal year 2000 and shall not    15,497       

exceed 177% of the square-foot-based subsidy in fiscal year 2001.  15,498       

      (e)  In fiscal year 2000, no more than 10.94% of the total   15,500       

instructional subsidy shall be reserved to implement the           15,501       

recommendations of the Graduate Funding Commission.  In fiscal     15,502       

year 2001, no more than 10.75% of the total instructional subsidy  15,503       

shall be reserved for this same purpose.  It is the intent of the  15,504       

General Assembly that the doctoral reserve be reduced 0.25                      

percentage points each year thereafter until no more than 10.0%    15,505       

of the total instructional subsidy is reserved to implement the    15,506       

recommendations of the Graduate Funding Commission.  In fiscal     15,507       

year 2001, the Board of Regents shall reallocate 2% of the         15,508       

reserve among the state-assisted universities on the basis of a    15,509       

quality review as specified in the recommendations of the          15,510       

Graduate Funding Commission.                                                    

      The amount so reserved shall be allocated to universities    15,512       

in proportion to their share of the total number of Doctoral I     15,513       

equivalent FTEs as calculated on an institutional basis using      15,514       

fiscal year 1998 annualized FTEs as adjusted to reflect the        15,515       

effects of doctoral review.  For the purposes of this                           

calculation, a doctoral equivalent FTE shall equal one Doctoral I  15,516       

FTE, or 1.5 Doctoral II FTEs.                                      15,517       

      (2)  Annual Hold Harmless Provision                          15,519       

      In addition to and after the other adjustments noted above,  15,521       

in fiscal year 2000 each campus shall have its subsidy adjusted    15,522       

to the extent necessary to provide an amount that is not less      15,523       

than 100% of the instructional subsidy received by the campus in   15,524       

fiscal year 1999.  In fiscal year 2001 each campus shall have its  15,526       

subsidy adjusted to the extent necessary to provide an amount                   

that is not less than 100% of the instructional subsidy received   15,527       

by the campus in fiscal year 2000.                                 15,528       

                                                          328    


                                                                 
      (3)  Capital Component Deduction                             15,530       

      After all other adjustments have been made, instructional    15,532       

subsidy earnings shall be reduced for each campus by the amount,   15,533       

if any, by which debt service charged in Am. H.B. 748 of the       15,534       

121st General Assembly and Am. Sub. H.B. 850 of the 122nd General  15,535       

Assembly for that campus exceeds that campus' capital component    15,536       

earnings.                                                                       

      (D)  Reductions in Earnings                                  15,538       

      If total systemwide instructional subsidy earnings in any    15,540       

fiscal year exceed total appropriations available for such         15,541       

purposes, the Board of Regents shall proportionately reduce the    15,542       

instructional subsidy earnings for all campuses by a uniform       15,543       

percentage so that the systemwide sum equals available             15,544       

appropriations.                                                                 

      (E)  Exceptional Circumstances                               15,546       

      Adjustments may be made to instructional subsidy payments    15,548       

and other subsidies distributed by the Ohio Board of Regents to    15,549       

state-assisted colleges and universities for exceptional           15,550       

circumstances.  No adjustments for exceptional circumstances may   15,551       

be made without the recommendation of the chancellor and the       15,552       

approval of the Controlling Board.                                 15,553       

      Distribution of Instructional Subsidy                        15,555       

      The instructional subsidy payments to the institutions       15,557       

shall be in substantially equal monthly amounts during the fiscal  15,558       

year, unless otherwise determined by the Director of Budget and    15,559       

Management pursuant to the provisions of section 126.09 of the     15,560       

Revised Code.  Payments during the first six months of the fiscal  15,561       

year shall be based upon the instructional subsidy appropriation   15,562       

estimates made for the various institutions of higher education    15,563       

according to the Ohio Board of Regents enrollment estimates.       15,564       

Payments during the last six months of the fiscal year shall be    15,565       

distributed after approval of the Controlling Board upon the       15,566       

request of the Ohio Board of Regents.                              15,567       

      Law School Subsidy                                           15,569       

                                                          329    


                                                                 
      The instructional subsidy to state supported universities    15,571       

for students enrolled in law schools in fiscal year 2000 and       15,572       

fiscal year 2001 shall be calculated by using the number of        15,573       

subsidy eligible full-time equivalent law school students funded   15,574       

by state subsidy in fiscal year 1995 or the actual number of       15,575       

subsidy eligible full-time equivalent law school students at the                

institution in the fiscal year, whichever is less.                 15,576       

      Section 7.02.  Mission-Based Core Funding for Higher         15,578       

Education                                                                       

      Jobs Challenge                                               15,580       

      Funds appropriated to appropriation item 235-415, Jobs       15,582       

Challenge, shall be distributed to state-assisted community and    15,583       

technical colleges, regional campuses of state-assisted            15,584       

universities, and other organizationally distinct and              15,585       

identifiable member campuses of the EnterpriseOhio Network in      15,586       

support of noncredit job-related training.  In fiscal years 2000   15,588       

and 2001, $3,543,864 and $4,000,000, respectively, shall be                     

distributed to campuses in proportion to each campus' share of     15,590       

noncredit job-related training revenues received by all campuses   15,591       

for the previous fiscal year.  It is the intent of the General     15,592       

Assembly that this workforce develoment incentive component of     15,593       

the Jobs Challenge Program reward campus noncredit job-related     15,594       

training efforts in the same manner that the Research Challenge    15,595       

Program rewards campuses for their ability to obtain sponsored     15,596       

research revenues.                                                 15,597       

      In fiscal years 2000 and 2001, $2,700,000 and $2,781,000,    15,599       

respectively, shall be distributed equally to these same           15,600       

EnterpriseOhio Network campuses to fulfill a performance contract  15,601       

with the Ohio Board of Regents demonstrating their capability to   15,602       

provide accessible and affordable training services to Ohio        15,603       

companies, and particularly to improve the business performance    15,604       

of smaller firms.                                                               

      In fiscal years 2000 and 2001, $2,500,000 and $4,198,694,    15,606       

respectively, shall be allocated to attract, develop, and retain   15,607       

                                                          330    


                                                                 
companies strategically important to the state's economy through   15,608       

training and assessment services provided by EnterpriseOhio        15,609       

Network campuses.  These funds shall be used in conjunction with   15,610       

funds appropriated to the Department of Development in H.B. 283    15,611       

of the 123rd General Assembly for the purpose of attracting,       15,612       

developing, and retaining companies strategically important to     15,613       

the state's economy.  Strategically related industries and         15,614       

companies shall be selected by the Ohio Board of Regents and the   15,615       

Ohio Department of Development.                                    15,616       

      Access Challenge                                             15,618       

      In each fiscal year, the foregoing appropriation item        15,620       

235-418, Access Challenge, shall be distributed to Ohio's          15,621       

state-assisted access colleges and universities in proportion to   15,622       

each campus' share of full-time equivalent enrollments at the      15,623       

General Studies level as determined in the subsidy calculation     15,624       

process in the previous fiscal year.  For the purposes of this                  

allocation, "access campuses" includes state-assisted community    15,625       

colleges, state community colleges, technical colleges, Shawnee    15,626       

State University, Central State University, Cleveland State        15,627       

University, the regional campuses of state-assisted universities,  15,628       

and, where they are organizationally distinct and identifiable,    15,630       

the community-technical colleges located at the University of                   

Toledo, the University of Cincinnati, Youngstown State             15,631       

University, and the University of Akron.                           15,632       

      For the purposes of this calculation, Cleveland State        15,634       

University's share of full-time equivalent subsidy-eligible        15,635       

General Studies students shall equal its total full-time           15,636       

equivalent subsidy-eligible General Studies students multiplied    15,637       

by the ratio of the sum of full-time equivalent subsidy-eligible                

General Studies students enrolled in the community-technical       15,638       

colleges at the University of Toledo, the University of            15,639       

Cincinnati, Youngstown State University, and the University of     15,640       

Akron divided by the sum of full-time equivalent subsidy-eligible  15,641       

General Studies students enrolled at those same four               15,642       

                                                          331    


                                                                 
universities.  However, Cleveland State University shall not                    

receive less in each year of the 1999-2001 biennium than the       15,643       

amount received in fiscal year 1999.                               15,644       

      (A)  Of the total appropriation item 235-418, Access         15,646       

Challenge, $2,500,000 in fiscal year 2000 and $17,943,665 in       15,648       

fiscal year 2001 shall be used solely to restrain the growth of    15,649       

or reduce in-state undergraduate tuition and fees.                 15,650       

      (B)  Of the remaining appropriation of $32,813,691 in        15,652       

fiscal year 2000 and $47,324,335 in fiscal year 2001, 50 per cent  15,653       

of all new subsidies received by each campus in each fiscal year   15,654       

shall be used in combination with campus shares of the amounts     15,655       

determined in paragraph (A) above to restrain the growth of or     15,656       

reduce in-state undergraduate tuition and fees.  For the purposes  15,657       

of this distribution, "new subsidies" in fiscal year 2000 shall    15,658       

equal a campus's share of the $32,813,691 allocation for fiscal    15,659       

year 2000 minus the campus's share of the $20,000,000 allocation   15,660       

distributed for this purpose by the Board of Regents from          15,661       

appropriations in Am. Sub. H.B. 215 of the 122nd General           15,662       

Assembly.  In fiscal year 2001, "new subsidies" shall equal a      15,663       

campus's share of the $47,324,335 allocation for fiscal year 2001  15,664       

minus the campus's share of the $32,813,691 allocation for fiscal  15,665       

year 2000.  In both fiscal years, negative differences between     15,666       

the current and previous year shall default to zero.               15,667       

      (C)  In each fiscal year, the statewide average fee          15,669       

restraint or reduction percentage shall be applied uniformly to    15,670       

all campuses receiving Access Challenge appropriations according   15,671       

to a methodology to be determined by the Board of Regents.  The    15,672       

approach determined by the Board of Regents shall restrain         15,673       

tuition increases to zero per cent in fiscal year 2000 and         15,675       

achieve tuition reductions of five per cent in fiscal year 2001.   15,676       

      Success Challenge                                            15,678       

      The foregoing appropriation item 235-420, Success            15,680       

Challenge, shall be used by the Ohio Board of Regents to promote   15,681       

degree completion by students enrolled at a main campus of a       15,682       

                                                          332    


                                                                 
state-assisted university.                                         15,683       

      In each fiscal year, two-thirds of the appropriations shall  15,685       

be distributed to state-assisted university main campuses in       15,686       

proportion to each campus' share of the total statewide            15,687       

bachelor's degrees granted by university main campuses to                       

"at-risk" students.  In fiscal year 2000 and fiscal year 2001, an  15,688       

"at-risk" student shall be defined to mean any undergraduate       15,689       

student who had received an Ohio Instructional Grant during the    15,690       

past ten years.  An eligible institution shall not receive its     15,691       

share of this distribution until it has submitted a plan that      15,692       

addresses how the subsidy will be used to better serve at-risk     15,693       

students and increase their likelihood of successful completion    15,694       

of a bachelor's degree program.  The Board of Regents shall        15,695       

disseminate to all state-supported institutions of higher          15,696       

education all such plans submitted by institutions that received   15,697       

Success Challenge funds.                                                        

      In each fiscal year, one-third of the appropriations shall   15,699       

be distributed to university main campuses in proportion to each   15,700       

campus' share of the total bachelor's degrees granted by           15,701       

university main campuses to undergraduate students who completed   15,702       

their bachelor's degrees in a "timely manner" in the previous      15,703       

fiscal year.  For the purposes of this section, "timely manner"                 

shall mean the normal time it would take for a full-time           15,704       

degree-seeking undergraduate student to complete the student's     15,706       

degree.  Generally, for such students pursuing a bachelor's        15,707       

degree, "timely manner" shall mean four years.  Exceptions to      15,708       

this general rule shall be permitted for students enrolled in      15,709       

programs specifically designed to be completed in a longer time                 

period.  The Board of Regents shall collect base-line data         15,710       

beginning with the 1998-99 academic year to assess the timely      15,711       

completion statistics by university main campuses.                 15,712       

      Eminent Scholars Program                                     15,714       

      The foregoing appropriation item 235-451, Eminent Scholars,  15,716       

shall be used by the Ohio Board of Regents to establish an Ohio    15,718       

                                                          333    


                                                                 
Eminent Scholars Program, the purpose of which is to invest        15,719       

educational resources to address problems that are of vital                     

statewide significance while fostering the growth in eminence of   15,720       

Ohio's academic programs.  Endowment grants of $750,000 to state   15,721       

colleges and universities to match endowment gifts from nonstate   15,722       

sources may be made in accordance with a plan established by the   15,723       

Ohio Board of Regents.  Matching gifts in science and technology   15,724       

programs shall be $750,000, and in all other program areas,        15,725       

$500,000.  The grants shall have as their purpose attracting and   15,726       

sustaining in Ohio scholar-leaders of national or international    15,727       

prominence who will assist the state in one of the following       15,728       

three areas:  (1) improving the state's economic development; (2)  15,729       

strengthening the state's system of K-12 education; or (3)         15,730       

improving public health and safety.  Such scholar-leaders shall,   15,731       

among their duties, share broadly the benefits and knowledge       15,732       

unique to their field of scholarship to the betterment of Ohio     15,733       

and its people.                                                                 

      Research Challenge                                           15,735       

      The foregoing appropriation item 235-454, Research           15,737       

Challenge, shall be used to enhance the basic research             15,738       

capabilities of public colleges and universities and accredited    15,739       

Ohio institutions of higher education holding certificates of      15,740       

authorization issued pursuant to section 1713.02 of the Revised    15,741       

Code, in order to strengthen the academic research for pursuing    15,742       

Ohio's economic redevelopment goals.  The Ohio Board of Regents,   15,743       

in consultation with the colleges and universities, shall          15,744       

administer the Research Challenge Program and utilize a means of   15,745       

matching, on a fractional basis, external funds attracted in the   15,746       

previous year by institutions for basic research.  The program     15,747       

may include incentives for increasing the amount of external       15,748       

research funds coming to such eligible institutions and for        15,749       

focusing research efforts upon critical state needs.  Colleges     15,750       

and universities shall submit for review and approval to the Ohio  15,751       

Board of Regents plans for the institutional allocation of state   15,752       

                                                          334    


                                                                 
dollars received through this program.  Such institutional plans   15,753       

shall provide the rationale for the allocation in terms of the     15,754       

strategic targeting of funds for academic and state purposes, for  15,755       

strengthening research programs, and for increasing the amount of  15,756       

external research funds, and shall include an evaluation process   15,757       

to provide results of the increased support.  It is the intent of  15,758       

the General Assembly that increases in funding for appropriation   15,759       

item 235-454, Research Challenge, in the 1999-2001 biennium, over  15,760       

the 1993-1995 biennium levels, be used by campuses as              15,761       

unrestricted funding for research, in the same way that            15,762       

Instructional Subsidy allocations are used.                        15,763       

      The Ohio Board of Regents shall submit a biennial report of  15,765       

progress to the General Assembly.                                  15,766       

      Priorities in Graduate Education                             15,768       

      The foregoing appropriation item 235-554, Priorities in      15,770       

Graduate Education, shall be used by the Ohio Board of Regents to  15,771       

support improvements in graduate programs in computer science at   15,772       

state-assisted universities.  In each fiscal year, up to $200,000  15,773       

may be used to support collaborative efforts in graduate                        

education in this program area.  In fiscal year 2001, $1,000,000   15,774       

shall be used by the Board of Regents to support improvements in   15,775       

graduate programs in the life sciences at state-assisted           15,776       

universities.                                                                   

      Section 7.03.  Higher Education--Board of Trustees           15,778       

      Funds appropriated for instructional subsidies at colleges   15,780       

and universities may be used to provide such branch or other       15,781       

off-campus undergraduate courses of study and such master's        15,782       

degree courses of study as may be approved by the Ohio Board of    15,783       

Regents.                                                           15,784       

      In providing instructional and other services to students,   15,786       

boards of trustees of state-assisted institutions of higher        15,787       

education shall supplement state subsidies by income from charges  15,788       

to students.  Each board shall establish the fees to be charged    15,789       

to all students, including an instructional fee for educational    15,790       

                                                          335    


                                                                 
and associated operational support of the institution and a                     

general fee for noninstructional services, including locally       15,791       

financed student services facilities used for the benefit of       15,792       

enrolled students.  The instructional fee and the general fee      15,793       

shall encompass all charges for services assessed uniformly to     15,794       

all enrolled students.  Each board may also establish special      15,795       

purpose fees, service charges, and fines as required; such                      

special purpose fees and service charges shall be for services or  15,796       

benefits furnished individual students or specific categories of   15,797       

students and shall not be applied uniformly to all enrolled        15,798       

students.  A tuition surcharge shall be paid by all students who   15,799       

are not residents of Ohio.                                                      

      Boards of trustees of individual state-assisted              15,801       

universities shall limit combined university main campus in-state  15,802       

undergraduate instructional and general fee increases for an       15,804       

academic year over the amounts charged in the prior academic year  15,805       

to no more than six per cent.  The boards of trustees of           15,806       

individual state-assisted universities shall not authorize         15,807       

combined university main campus in-state undergraduate                          

instructional and general fee increases of more than four per      15,810       

cent in a single vote.  Boards of trustees of individual                        

state-assisted university branch campuses, community colleges,     15,811       

and technical colleges shall limit combined in-state               15,812       

undergraduate instructional and general fee increases for an       15,813       

academic year over the amounts charged in the prior academic year  15,814       

to no more than three per cent.  These fee increase limitations                 

apply even if an institutional board of trustees has, prior to     15,815       

the effective date of this section, voted to assess a higher fee   15,816       

for the 1999-2000 academic year.  These limitations shall not      15,817       

apply to increases required to comply with institutional           15,818       

covenants related to their obligations or to meet unfunded legal   15,819       

mandates or legally binding obligations incurred or commitments    15,820       

made prior to the effective date of this act with respect to       15,821       

which the institution had identified such fee increases as the     15,822       

                                                          336    


                                                                 
source of funds.  Any increase required by such covenants and any  15,823       

such mandates, obligations, or commitments shall be reported by    15,824       

the Board of Regents to the Controlling Board.   These             15,825       

limitations may also be modified by the Ohio Board of Regents,     15,826       

with the approval of the Controlling Board, to respond to          15,827       

exceptional circumstances as identified by the Ohio Board of                    

Regents.                                                           15,828       

      The board of trustees of a state-assisted institution of     15,830       

higher education shall not authorize a waiver or nonpayment of     15,831       

instructional fees nor general fees for any particular student or  15,832       

any class of students other than waivers specifically authorized   15,833       

by law or approved by the chancellor.  This prohibition is not     15,834       

intended to limit the authority of boards of trustees to provide   15,835       

for payments to students for services rendered the institution,    15,836       

nor to prohibit the budgeting of income for staff benefits or for  15,837       

student assistance in the form of payment of such instructional    15,838       

and general fees.                                                  15,839       

      Each state-assisted institution of higher education in its   15,841       

statement of charges to students shall separately identify the     15,842       

instructional fee, the general fee, the tuition charge, and the    15,843       

tuition surcharge.  Fee charges to students for instruction shall  15,844       

not be considered to be a price of service but shall be            15,845       

considered to be an integral part of the state government          15,846       

financing program in support of higher educational opportunity     15,847       

for students.                                                      15,848       

      In providing the appropriations in support of instructional  15,850       

services at state-assisted institutions of higher education and    15,851       

the appropriations for other instruction it is the intent of the   15,852       

General Assembly that faculty members shall devote a proper and    15,853       

judicious part of their work week to the actual instruction of     15,854       

students.  Total class credit hours of production per quarter per  15,855       

full-time faculty member is expected to meet the standards set     15,856       

forth in the budget data submitted by the Ohio Board of Regents.   15,857       

      No state-assisted college or university shall contract       15,859       

                                                          337    


                                                                 
additional debt to finance additional student housing or permit    15,860       

the construction of additional student housing on land owned or    15,861       

leased by such institution without the approval of the Board of    15,862       

Regents.  In granting or denying approval, the board shall         15,863       

consider demographic projections and established service           15,864       

districts, as well as the current strength of enrollment patterns  15,865       

throughout the state and in the public and private institutions    15,866       

that have historically drawn students from the same markets as     15,867       

the institution requesting additional housing.  The board shall    15,868       

also consider statewide dormitory occupancy patterns and any debt  15,869       

burden that would be incurred by the institution.   The board      15,870       

shall monitor demographic trends and shall recommend that the      15,871       

General Assembly modify this section when there is no longer a     15,872       

significant risk of future enrollment decline.                     15,873       

      The board shall have no authority to prohibit the            15,875       

construction of privately financed housing constructed on land     15,876       

that is not owned or leased by the institution, even if the        15,877       

institution has entered or intends to enter into some type of      15,878       

contractual agreement with the developers or owners of such        15,879       

housing.                                                           15,880       

      The authority of government vested by law in the boards of   15,882       

trustees of state-assisted institutions of higher education shall  15,883       

in fact be exercised by those boards.  Boards of trustees may      15,884       

consult extensively with appropriate student and faculty groups.   15,886       

Administrative decisions about the utilization of available        15,887       

resources, about organizational structure, about disciplinary      15,888       

procedure, about the operation and staffing of all auxiliary       15,889       

facilities, and about administrative personnel shall be the        15,890       

exclusive prerogative of boards of trustees.  Any delegation of    15,891       

authority by a board of trustees in other areas of responsibility  15,892       

shall be accompanied by appropriate standards of guidance          15,893       

concerning expected objectives in the exercise of such delegated   15,894       

authority and shall be accompanied by periodic review of the       15,895       

exercise of this delegated authority to the end that the public    15,896       

                                                          338    


                                                                 
interest, in contrast to any institutional or special interest,    15,897       

shall be served.                                                                

      Section 7.04.  Medical School Subsidies                      15,899       

      The foregoing appropriation item 235-515, CWRU School of     15,901       

Medicine, shall be disbursed to Case Western Reserve University    15,902       

through the Ohio Board of Regents in accordance with agreements    15,903       

entered into as provided for by section 3333.10 of the Revised     15,904       

Code, provided that the state support per full-time medical        15,905       

student shall not exceed that provided to full-time medical        15,906       

students at state universities.                                    15,907       

      The foregoing appropriation items 235-536, Ohio State        15,909       

University Clinical Teaching; 235-537, University of Cincinnati    15,911       

Clinical Teaching; 235-538, Medical College of Ohio at Toledo      15,912       

Clinical Teaching; 235-539, Wright State University Clinical       15,913       

Teaching; 235-540, Ohio University Clinical Teaching; and          15,914       

235-541, Northeastern Ohio Universities College of Medicine        15,915       

Clinical Teaching, shall be distributed through the Ohio Board of  15,916       

Regents.                                                                        

      The foregoing appropriation item 235-572, OSU Clinic         15,918       

Support, shall be distributed through the Ohio Board of Regents    15,919       

to the Ohio State University for support of dental and veterinary  15,920       

medicine clinics.                                                  15,921       

      The Ohio Board of Regents shall develop plans consistent     15,923       

with existing criteria and guidelines as may be required for the   15,924       

distribution of appropriation items 235-519, Family Practice,      15,925       

235-525, Geriatric Medicine, and 235-526, Primary Care             15,926       

Residencies.                                                       15,927       

      Of the foregoing appropriation item 235-539, Wright State    15,929       

University Clinical Teaching, $160,000 in each fiscal year shall   15,931       

be for the use of Wright State University's Ellis Institute for    15,932       

Clinical Teaching Studies to operate the clinical facility to      15,933       

serve the Greater Dayton area.                                     15,934       

      Performance Standards for Medical Education                  15,936       

      The Ohio Board of Regents, in consultation with the          15,938       

                                                          339    


                                                                 
state-assisted medical colleges, shall develop performance         15,940       

standards for medical education.  Special emphasis in the          15,942       

standards shall be placed on attempting to ensure that at least    15,943       

50 per cent of the aggregate number of students enrolled in        15,944       

state-assisted medical colleges continue to enter residency as     15,945       

primary care physicians.  Primary care physicians are defined as   15,947       

general family practice physicians, general internal medicine      15,950       

practitioners, and general pediatric care physicians.  The Board   15,953       

of Regents shall be responsible for monitoring medical school      15,954       

performance in relation to their plans for reaching the 50 per     15,955       

cent systemwide standard for primary care physicians.              15,956       

      The foregoing appropriation item 235-526, Primary Care       15,958       

Residencies, shall be distributed in each fiscal year of the       15,959       

biennium based on whether the institution has submitted and        15,961       

gained approval for a plan.  If the institution does not have an                

approved plan then it shall receive five per cent less funding     15,962       

per student than it would have received from its annual            15,963       

allocation.  The remaining funding shall be distributed among      15,964       

those institutions that meet or exceed their targets.              15,965       

      Area Health Education Centers                                15,967       

      The foregoing appropriation item 235-474, AHEC Program       15,969       

Support, shall be used by the Ohio Board of Regents to support     15,970       

the medical school regional AHECs' educational programs for the    15,971       

continued support of medical and other health professions          15,972       

education and for support of the Area Health Education Center      15,973       

program.                                                           15,974       

      Of the foregoing appropriation item 235-474, AHEC Program    15,976       

Support, $200,000 in each fiscal year shall be disbursed to the    15,977       

Ohio University College of Osteopathic Medicine for the            15,978       

establishment of a mobile health care unit to serve the            15,979       

southeastern area of the state.  Of the foregoing appropriation    15,980       

item 235-474, AHEC Program Support, $150,000 in each fiscal year   15,981       

shall be used to support the Ohio Valley Community Health          15,982       

Information Network (OVCHIN) pilot project.                        15,983       

                                                          340    


                                                                 
      Section 7.05.  Midwest Higher Education Compact              15,985       

      The foregoing appropriation item 235-408, Midwest Higher     15,987       

Education Compact, shall be distributed by the Ohio Board of       15,988       

Regents pursuant to section 3333.40 of the Revised Code.           15,989       

      College Readiness Initiatives                                15,991       

      Appropriation item 235-404, College Readiness Initiatives,   15,993       

shall be used by the Board of Regents in support of programs       15,995       

designed to improve the ability of high school students to enroll  15,997       

and succeed in higher education.  These programs shall include,    15,998       

but not be limited to, the following:  the continued                            

administration of the Early English Composition Assessment         15,999       

portion of the postsecondary readiness testing program, the        16,000       

implementation of the State Higher Education Remediation Advisory  16,001       

Commission report, and the creation of a statewide outreach        16,002       

effort to promote the availability, need, and affordability of a   16,003       

college education.                                                              

      Mathematics and Science Teaching Improvement                 16,005       

      Appropriation item 235-403, Math/Science Teaching            16,007       

Improvement, shall be used by the Board of Regents in support of   16,009       

programs designed to raise the quality of mathematics and science  16,010       

teaching in primary and secondary education.  Of these amounts,    16,011       

$200,000 in each fiscal year shall be reserved for the Early Math               

Placement Test, and $2,000,000 in fiscal year 2000 and $1,500,000  16,012       

in fiscal year 2001 shall be reserved for Project Discovery.       16,013       

      Technology                                                   16,015       

      Appropriation item 235-417, Technology, shall be used by     16,017       

the Board of Regents to support the continued implementation of    16,018       

the Ohio Learning Network, a statewide electronic collaborative    16,019       

effort designed to promote degree completion of students,          16,020       

workforce training of employees, and professional development      16,021       

through the use of advanced telecommunications and distance                     

education initiatives.                                             16,022       

      Displaced Homemakers                                         16,024       

      Of the foregoing appropriation item 235-509, Displaced       16,026       

                                                          341    


                                                                 
Homemakers, the Ohio Board of Regents shall continue funding       16,027       

pilot projects authorized in Am. Sub. H.B. 291 of the 115th        16,028       

General Assembly for the following centers:  Cuyahoga Community    16,029       

College, University of Toledo, Southern State Community College,   16,030       

and Stark Technical College.  The amount of $30,000 in each        16,031       

fiscal year shall be used for the Baldwin-Wallace Single Parents   16,032       

Reaching Out for Unassisted Tomorrows program.                     16,033       

      Ohio Aerospace Institute                                     16,035       

      The foregoing appropriation item 235-527, Ohio Aerospace     16,037       

Institute, shall be distributed by the Ohio Board of Regents       16,038       

pursuant to section 3333.042 of the Revised Code.                  16,039       

      Productivity Improvement Challenge                           16,041       

      The foregoing appropriation item 235-455, Productivity       16,043       

Improvement Challenge, shall be allocated by the Ohio Board of     16,044       

Regents to continue increasing the capabilities of Business and    16,046       

Industry Training Centers at Ohio's two-year college and           16,047       

university regional campuses to meet the varied training needs of               

Ohio enterprises.  Funds shall be available for capacity building  16,048       

projects and activities developed through the Enterprise Ohio      16,049       

Network of Business and Industry Training Centers.  The Regents    16,050       

Advisory Committee for Workforce Development, in its advisory      16,051       

role, shall assist in the development of plans and activities.     16,053       

      Of the foregoing appropriation item 235-455, Productivity    16,055       

Improvement Challenge, $208,000 in each fiscal year shall be used  16,057       

by the Dayton Business/Sinclair College Jobs Profiling Program.                 

      Access Improvement Projects                                  16,059       

      The foregoing appropriation item 235-477, Access             16,061       

Improvement Projects, shall be used by the Ohio Board of Regents   16,062       

to develop innovative statewide strategies to increase student     16,063       

access and retention for specialized populations, and to provide   16,064       

for pilot projects that will contribute to improving access to     16,065       

higher education by specialized populations.  The funds may be     16,066       

used for projects that improve access for nonpublic secondary      16,067       

students.                                                          16,068       

                                                          342    


                                                                 
      Of the foregoing appropriation item 235-477, Access          16,070       

Improvement Projects, $740,000 in each fiscal year shall be        16,071       

distributed to the Appalachian Center for Higher Education at      16,072       

Shawnee State University.  The Board of Directors of the center    16,073       

shall be comprised of the presidents of Shawnee State University,  16,074       

Ohio University, Belmont Technical College, Hocking Technical      16,075       

College, Jefferson Technical College, Muskingum Area Technical     16,076       

College, Rio Grande Community College, Southern State Community    16,077       

College, Washington State Community College, the dean of either    16,078       

the Salem or East Liverpool regional campuses of Kent State        16,079       

University, as designated by the President of Kent State           16,080       

University, and a representative of the Board of Regents           16,081       

designated by the chancellor.                                      16,082       

      Ohio Supercomputer Center                                    16,084       

      The foregoing appropriation item 235-510, Ohio               16,086       

Supercomputer Center, shall be used by the Ohio Board of Regents   16,087       

to support the operation of the center, located at The Ohio State  16,088       

University, as a statewide resource available to Ohio research     16,090       

universities both public and private.  It is also intended that    16,091       

the center be made accessible to private industry as appropriate.  16,092       

Policies of the center shall be established by a governance        16,093       

committee, representative of Ohio's research universities and      16,094       

private industry, to be appointed by the Chancellor of the Ohio    16,095       

Board of Regents and established for this purpose.                 16,096       

      Ohio Academic Resources Network (OARNet)                     16,098       

      The foregoing appropriation item 235-556, Ohio Academic      16,100       

Resource Network, shall be used to support the operations of the   16,102       

Ohio Academic Resources Network, which shall include support for   16,103       

Ohio's state-assisted colleges and universities in maintaining                  

and enhancing network connections.                                 16,104       

      Section 7.06.  Pledge of Fees*                               16,106       

      Any new pledge of fees, or new agreement for adjustment of   16,108       

fees, made in the 1999-2001 biennium to secure bonds or notes of   16,109       

a state-assisted institution of higher education for a project     16,110       

                                                          343    


                                                                 
for which bonds or notes were not outstanding on the effective     16,111       

date of this section shall be effective only after approval by     16,112       

the Ohio Board of Regents, unless approved in a previous           16,113       

biennium.                                                                       

      Rental Payments to the Ohio Public Facilities Commission     16,116       

      The appropriations to the Ohio Board of Regents from the     16,118       

General Revenue Fund for the purposes of division (A) of section   16,119       

3333.13 of the Revised Code include the amounts necessary to meet  16,121       

all payments at the times required to be made during the period    16,122       

from July 1, 1999, to June 30, 2001, by the Ohio Board of Regents  16,123       

to the Ohio Public Facilities Commission pursuant to leases and    16,124       

agreements made under section 154.21 of the Revised Code, as       16,125       

certified under division (C) of section 3333.13 of the Revised     16,126       

Code, but limited to the aggregate amount of $743,042,000                       

provided in appropriation item 235-401, Rental Payments to the     16,127       

Ohio Public Facilities Commission.  Nothing in this section shall  16,128       

be deemed to contravene the obligation of the state to pay,        16,129       

without necessity for further appropriation, from the source       16,130       

pledged thereto, the bond service charges on obligations issued    16,131       

pursuant to section 154.21 of the Revised Code.                    16,132       

      Section 7.07.  Ohio Instructional Grants                     16,134       

      Notwithstanding section 3333.12 of the Revised Code, in      16,136       

lieu of the tables in that section, instructional grants for all   16,137       

full-time students shall be made for fiscal year 2000 using the    16,138       

tables under this heading.                                         16,139       

      The tables under this heading prescribe the maximum grant    16,141       

amounts covering two semesters, three quarters, or a comparable    16,142       

portion of one academic year.  The grant amount for a full-time    16,143       

student enrolled in an eligible institution for a semester or      16,144       

quarter in addition to the portion of the academic year covered    16,145       

by a grant determined under these tables shall be a percentage of  16,146       

the maximum prescribed in the applicable table.  The maximum       16,147       

grant for a fourth quarter shall be one-third of the maximum       16,148       

amount prescribed under the table.  The maximum grant for a third  16,149       

                                                          344    


                                                                 
semester shall be one-half of the maximum amount prescribed under  16,150       

the table.                                                                      

      For a full-time student who is a dependent and enrolled in   16,153       

a nonprofit educational institution that is not a state-assisted   16,154       

institution and that has a certificate of authorization issued     16,155       

pursuant to Chapter 1713. of the Revised Code, the amount of the   16,156       

instructional grant for two semesters, three quarters, or a        16,157       

comparable portion of the academic year shall be determined in     16,159       

accordance with the following table:                                            

                    OHIO INSTRUCTIONAL GRANTS                      16,160       

               Private Institution Table of Grants                 16,161       

                                   Maximum Grant $4,644            16,163       

Gross Income                       Number of Dependents            16,164       

                       1        2        3        4       5 or     16,171       

                                                          more                  

Under $12,001        $4,644   $4,644   $4,644   $4,644   $4,644    16,179       

$12,001 - $13,000     4,182    4,644    4,644    4,644    4,644    16,185       

$13,001 - $14,000     3,708    4,182    4,644    4,644    4,644    16,191       

$14,001 - $15,000     3,246    3,708    4,182    4,644    4,644    16,197       

$15,001 - $16,000     2,790    3,246    3,708    4,182    4,644    16,203       

$16,001 - $17,000     2,328    2,790    3,246    3,708    4,182    16,209       

$17,001 - $20,000     1,854    2,328    2,790    3,246    3,708    16,215       

$20,001 - $23,000     1,368    1,854    2,328    2,790    3,246    16,221       

$23,001 - $26,000     1,146    1,368    1,854    2,328    2,790    16,227       

$26,001 - $29,000       924    1,146    1,368    1,854    2,328    16,233       

$29,001 - $30,000       840      924    1,146    1,368    1,854    16,239       

$30,001 - $31,000       756      840      924    1,146    1,368    16,245       

$31,001 - $32,000       378      756      840      924    1,146    16,251       

$32,001 - $33,000       -0-      378      756      840      924    16,257       

$33,001 - $34,000       -0-      -0-      378      756      840    16,263       

$34,001 - $35,000       -0-      -0-      -0-      378      756    16,269       

$35,001 - $36,000       -0-      -0-      -0-      -0-      378    16,275       

Over $36,000            -0-      -0-      -0-      -0-      -0-    16,281       

      For a full-time student who is financially independent and   16,284       

                                                          345    


                                                                 
enrolled in a nonprofit educational institution that is not a      16,285       

state-assisted institution and that has a certificate of           16,286       

authorization issued pursuant to Chapter 1713. of the Revised      16,287       

Code, the amount of the instructional grant for two semesters,     16,289       

three quarters, or a comparable portion of the academic year       16,290       

shall be determined in accordance with the following table:        16,291       

               Private Institution Table of Grants                 16,292       

                                   Maximum Grant $4,644            16,293       

Gross Income                       Number of Dependents            16,294       

                     0       1       2      3      4      5 or     16,301       

                                                          more                  

Under $3,901       $4,644  $4,644  $4,644 $4,644 $4,644   $4,644   16,310       

$3,901 - $4,500     4,182   4,644   4,644  4,644  4,644    4,644   16,317       

$4,501 - $5,000     3,708   4,182   4,644  4,644  4,644    4,644   16,324       

$5,001 - $5,500     3,246   3,708   4,182  4,644  4,644    4,644   16,331       

$5,501 - $6,000     2,790   3,246   3,708  4,182  4,644    4,644   16,338       

$6,001 - $6,500     2,328   2,790   3,246  3,708  4,182    4,644   16,345       

$6,501 - $7,500     1,854   2,328   2,790  3,246  3,708    4,182   16,352       

$7,501 - $8,500     1,368   1,854   2,328  2,790  3,246    3,708   16,359       

$8,501 - $9,500     1,146   1,368   1,854  2,328  2,790    3,246   16,366       

$9,501 - $11,000      924   1,146   1,368  1,854  2,328    2,790   16,373       

$11,001 - $12,500     840     924   1,146  1,368  1,854    2,328   16,380       

$12,501 - $14,000     756     840     924  1,146  1,368    1,854   16,387       

$14,001 - $15,500     378     756     840    924  1,146    1,368   16,394       

$15,501 - $18,500     -0-     378     756    840    924    1,146   16,401       

$18,501 - $21,500     -0-     -0-     378    756    840      924   16,408       

$21,501 - $24,500     -0-     -0-     -0-    378    756      840   16,415       

$24,501 - $29,200     -0-     -0-     -0-    -0-    378      756   16,422       

$29,201 - $33,900     -0-     -0-     -0-    -0-    -0-      378   16,429       

Over $33,900          -0-     -0-     -0-    -0-    -0-      -0-   16,436       

      For a full-time student who is a dependent and enrolled in   16,439       

an educational institution that holds a certificate of             16,440       

registration from the State Board of Proprietary School            16,441       

Registration, the amount of the instructional grant for two        16,443       

                                                          346    


                                                                 
semesters, three quarters, or a comparable portion of the          16,444       

academic year shall be determined in accordance with the                        

following table:                                                   16,445       

             Proprietary Institution Table of Grants               16,446       

                                   Maximum Grant $3,936            16,448       

Gross Income                       Number of Dependents            16,449       

                       1        2        3        4       5 or     16,457       

                                                          more                  

Under $12,001        $3,936   $3,936   $3,936   $3,936   $3,936    16,465       

$12,001 - $13,000     3,552    3,936    3,936    3,936    3,936    16,471       

$13,001 - $14,000     3,132    3,552    3,936    3,936    3,936    16,477       

$14,001 - $15,000     2,742    3,132    3,552    3,936    3,936    16,483       

$15,001 - $16,000     2,376    2,742    3,132    3,552    3,936    16,489       

$16,001 - $17,000     1,950    2,376    2,742    3,132    3,552    16,495       

$17,001 - $20,000     1,578    1,950    2,376    2,742    3,132    16,501       

$20,001 - $23,000     1,206    1,578    1,950    2,376    2,742    16,507       

$23,001 - $26,000       966    1,206    1,578    1,950    2,376    16,513       

$26,001 - $29,000       774      966    1,206    1,578    1,950    16,519       

$29,001 - $30,000       726      774      966    1,206    1,578    16,525       

$30,001 - $31,000       642      726      774      966    1,206    16,531       

$31,001 - $32,000       324      642      726      774      966    16,537       

$32,001 - $33,000       -0-      324      642      726      774    16,543       

$33,001 - $34,000       -0-      -0-      324      642      726    16,549       

$34,001 - $35,000       -0-      -0-      -0-      324      642    16,555       

$35,001 - $36,000       -0-      -0-      -0-      -0-      324    16,561       

Over $36,000            -0-      -0-      -0-      -0-      -0-    16,567       

      For a full-time student who is financially independent and   16,570       

enrolled in an educational institution that holds a certificate    16,571       

of registration from the State Board of Proprietary School         16,572       

Registration, the amount of the instructional grant for two        16,574       

semesters, three quarters, or a comparable portion of the                       

academic year shall be determined in accordance with the           16,575       

following table:                                                   16,576       

             Proprietary Institution Table of Grants               16,577       

                                                          347    


                                                                 
                                   Maximum Grant $3,936            16,578       

Gross Income                       Number of Dependents            16,579       

                     0       1       2      3      4      5 or     16,586       

                                                          more                  

Under $3,901       $3,936  $3,936  $3,936 $3,936 $3,936   $3,936   16,595       

$3,901 - $4,500     3,552   3,936   3,936  3,936  3,936    3,936   16,602       

$4,501 - $5,000     3,132   3,552   3,936  3,936  3,936    3,936   16,609       

$5,001 - $5,500     2,742   3,132   3,552  3,936  3,936    3,936   16,616       

$5,501 - $6,000     2,376   2,742   3,132  3,552  3,936    3,936   16,623       

$6,001 - $6,500     1,950   2,376   2,742  3,132  3,552    3,936   16,630       

$6,501 - $7,500     1,578   1,950   2,376  2,742  3,132    3,552   16,637       

$7,501 - $8,500     1,206   1,578   1,950  2,376  2,742    3,132   16,644       

$8,501 - $9,500       966   1,206   1,578  1,950  2,376    2,742   16,651       

$9,501 - $11,000      774     966   1,206  1,578  1,950    2,376   16,658       

$11,001 - $12,500     726     774     966  1,206  1,578    1,950   16,665       

$12,501 - $14,000     642     726     774    966  1,206    1,578   16,672       

$14,001 - $15,500     324     642     726    774    966    1,206   16,679       

$15,501 - $18,500     -0-     324     642    726    774      966   16,686       

$18,501 - $21,500     -0-     -0-     324    642    726      774   16,693       

$21,501 - $24,500     -0-     -0-     -0-    324    642      726   16,700       

$24,501 - $29,200     -0-     -0-     -0-    -0-    324      642   16,707       

$29,201 - $33,900     -0-     -0-     -0-    -0-    -0-      324   16,714       

Over $33,900          -0-     -0-     -0-    -0-    -0-      -0-   16,721       

      For a full-time student who is a dependent and enrolled in   16,724       

a state-assisted educational institution, the amount of the        16,725       

instructional grant for two semesters, three quarters, or a        16,727       

comparable portion of the academic year shall be determined in     16,728       

accordance with the following table:                               16,729       

               Public Institution Table of Grants                  16,730       

                                   Maximum Grant $1,866            16,731       

Gross Income                       Number of Dependents            16,732       

                       1        2        3        4       5 or     16,738       

                                                          more                  

Under $12,001        $1,866   $1,866   $1,866   $1,866   $1,866    16,746       

                                                          348    


                                                                 
$12,001 - $13,000     1,680    1,866    1,866    1,866    1,866    16,752       

$13,001 - $14,000     1,482    1,680    1,866    1,866    1,866    16,758       

$14,001 - $15,000     1,314    1,482    1,680    1,866    1,866    16,764       

$15,001 - $16,000     1,128    1,314    1,482    1,680    1,866    16,770       

$16,001 - $17,000       924    1,128    1,314    1,482    1,680    16,776       

$17,001 - $20,000       738      924    1,128    1,314    1,482    16,782       

$20,001 - $23,000       558      738      924    1,128    1,314    16,788       

$23,001 - $26,000       450      558      738      924    1,128    16,794       

$26,001 - $29,000       360      450      558      738      924    16,800       

$29,001 - $30,000       336      360      450      558      738    16,806       

$30,001 - $31,000       306      336      360      450      558    16,812       

$31,001 - $32,000       156      306      336      360      450    16,818       

$32,001 - $33,000       -0-      156      306      336      360    16,824       

$33,001 - $34,000       -0-      -0-      156      306      336    16,830       

$34,001 - $35,000       -0-      -0-      -0-      156      306    16,836       

$35,001 - $36,000       -0-      -0-      -0-      -0-      156    16,842       

Over $36,000            -0-      -0-      -0-      -0-      -0-    16,848       

      For a full-time student who is financially independent and   16,851       

enrolled in a state-assisted educational institution, the amount   16,852       

of the instructional grant for two semesters, three quarters, or   16,854       

a comparable portion of the academic year shall be determined in   16,856       

accordance with the following table:                                            

               Public Institution Table of Grants                  16,857       

                                   Maximum Grant $1,866            16,858       

Gross Income                       Number of Dependents            16,859       

                     0       1       2      3      4      5 or     16,867       

                                                          more                  

Under $3,901       $1,866  $1,866  $1,866 $1,866 $1,866   $1,866   16,876       

$3,901 - $4,500     1,680   1,866   1,866  1,866  1,866    1,866   16,883       

$4,501 - $5,000     1,482   1,680   1,866  1,866  1,866    1,866   16,890       

$5,001 - $5,500     1,314   1,482   1,680  1,866  1,866    1,866   16,897       

$5,501 - $6,000     1,128   1,314   1,482  1,680  1,866    1,866   16,904       

$6,001 - $6,500       924   1,128   1,314  1,482  1,680    1,866   16,911       

$6,501 - $7,500       738     924   1,128  1,314  1,482    1,680   16,918       

                                                          349    


                                                                 
$7,501 - $8,500       558     738     924  1,128  1,314    1,482   16,925       

$8,501 - $9,500       450     558     738    924  1,128    1,314   16,932       

$9,501 - $11,000      360     450     558    738    924    1,128   16,939       

$11,001 - $12,500     336     360     450    558    738      924   16,946       

$12,501 - $14,000     306     336     360    450    558      738   16,953       

$14,001 - $15,500     156     306     336    360    450      558   16,960       

$15,501 - $18,500     -0-     156     306    336    360      450   16,967       

$18,501 - $21,500     -0-     -0-     156    306    336      360   16,974       

$21,501 - $24,500     -0-     -0-     -0-    156    306      336   16,981       

$24,501 - $29,200     -0-     -0-     -0-    -0-    156      306   16,988       

$29,201 - $33,900     -0-     -0-     -0-    -0-    -0-      156   16,995       

Over $33,900          -0-     -0-     -0-    -0-    -0-      -0-   17,002       

      The foregoing appropriation item, 235-503, Ohio              17,005       

Instructional Grants, shall be used to make the payments           17,006       

authorized by division (C) of section 3333.26 of the Revised Code  17,007       

to the institutions described in that division.  In addition,      17,008       

this appropriation shall be used to reimburse the institutions     17,009       

described in division (B) of section 3333.26 of the Revised Code   17,010       

for the cost of the waivers required by that division.             17,011       

      War Orphans' Scholarships                                    17,013       

      The foregoing appropriation item 235-504, War Orphans'       17,015       

Scholarships, shall be used to reimburse state-assisted            17,016       

institutions of higher education for waivers of instructional      17,017       

fees and general fees provided by them, and to provide grants to   17,018       

institutions that have received a certificate of authorization     17,019       

from the Ohio Board of Regents under Chapter 1713. of the Revised  17,020       

Code, in accordance with the provisions of section 5910.04 of the  17,021       

Revised Code, and to fund additional scholarship benefits          17,022       

provided by section 5910.032 of the Revised Code.                  17,023       

      Part-time Student Instructional Grants                       17,025       

      The foregoing appropriation item 235-549, Part-time Student  17,027       

Instructional Grants, shall be used to support a grant program     17,028       

for part-time undergraduate students who are Ohio residents and    17,029       

who are enrolled in degree granting programs.                      17,030       

                                                          350    


                                                                 
      Eligibility for participation in the program shall include   17,033       

degree granting educational institutions that hold a certificate   17,034       

of registration from the State Board of Proprietary School         17,035       

Registration, and nonprofit institutions that have a certificate   17,036       

of authorization issued pursuant to Chapter 1713. of the Revised   17,037       

Code, as well as state-assisted colleges and universities.         17,038       

Grants shall be given to students on the basis of need, as         17,039       

determined by the college, which will, in making these                          

determinations, give special consideration to single-parent        17,040       

heads-of-household and displaced homemakers who enroll in an       17,041       

educational degree program that prepares the individual for a      17,042       

career.  In determining need, the college also shall consider the  17,043       

availability of educational assistance from a student's employer.  17,045       

It is the intent of the General Assembly that these grants not     17,046       

supplant such assistance.                                                       

      Section 7.08.  Capitol Scholarship Programs                  17,048       

      The foregoing appropriation item 235-518, Capitol            17,050       

Scholarship Programs, shall be used to provide one hundred         17,051       

scholarships in each fiscal year in the amount of $2,000 each for  17,053       

students enrolled in Ohio's public and private institutions of                  

higher education to participate in the Washington Center           17,054       

Internship Program.  The scholarships shall be matched by the      17,055       

Washington Center's scholarship funds.                             17,056       

      Student Choice Grants                                        17,058       

      The foregoing appropriation item 235-531, Student Choice     17,060       

Grants, shall be used to support the Student Choice Grant Program  17,061       

created by section 3333.27 of the Revised Code.                    17,062       

      Academic Scholarships                                        17,064       

      Notwithstanding the provision in section 3333.22 of the      17,066       

Revised Code requiring the annual amount of a scholarship for a    17,067       

scholar to be $2,000, in lieu of that amount the annual            17,068       

scholarship amount awarded to any scholar who received a           17,069       

scholarship for the 1994-1995 academic year shall be $1,000 for    17,070       

any academic year for which the scholar is eligible for a          17,071       

                                                          351    


                                                                 
scholarship under section 3333.22 of the Revised Code.             17,072       

      Physician Loan Repayment                                     17,074       

      The foregoing appropriation item 235-604, Physician Loan     17,076       

Repayment, shall be used in accordance with sections 3702.71 to    17,078       

3702.81 of the Revised Code.                                                    

      Nursing Loan Program                                         17,080       

      The foregoing appropriation item 235-606, Nursing Loan       17,082       

Program, shall be used to administer the nurse education           17,083       

assistance program.  Up to $148,000 in fiscal year 2000 and        17,084       

$152,000 in fiscal year 2001 may be used for operating expenses    17,085       

associated with the program.  Any additional funds needed for the  17,086       

administration of the program are subject to Controlling Board     17,087       

approval.                                                          17,088       

      Section 7.09.  Cooperative Extension Service                 17,090       

      Of the foregoing appropriation item 235-511, Cooperative     17,092       

Extension Service, $210,000 in each fiscal year shall be used for  17,094       

additional staffing for county agents for expanded 4-H             17,095       

activities.  Of the foregoing appropriation item 235-511,          17,096       

Cooperative Extension Service, $210,000 in each fiscal year shall  17,098       

be used by the Cooperative Extension Service, through the                       

Enterprise Center for Economic Development in cooperation with     17,099       

other agencies, for a public-private effort to create and operate  17,100       

a small business economic development program to enhance the       17,101       

development of alternatives to the growing of tobacco, and         17,102       

implement through applied research and demonstration, the          17,103       

production and marketing of other high value crops and             17,104       

value-added products.  Of the foregoing appropriation item         17,105       

235-511, Cooperative Extension Service, $65,000 in each fiscal     17,106       

year shall be used for farm labor mediation and education          17,107       

programs.  Of the foregoing appropriation item 235-511,            17,108       

Cooperative Extension Service, $215,000 in each fiscal year shall  17,109       

be used to support the Ohio State University Marion Enterprise     17,110       

Center.                                                                         

      Of the foregoing appropriation item 235-511, Cooperative     17,112       

                                                          352    


                                                                 
Extension Service, $680,000 in fiscal year 2000 and $910,500 in    17,113       

fiscal year 2001 shall be used to support the Ohio Watersheds      17,114       

Initiative.                                                                     

      Agricultural Research and Development Center                 17,116       

      Of the foregoing appropriation item 235-535, Agricultural    17,118       

Research and Development Center, $950,000 in each fiscal year      17,119       

shall be distributed to the Piketon Agricultural Research and      17,121       

Extension Center.                                                               

      Of the foregoing appropriation item 235-535, Agricultural    17,123       

Research and Development Center, $250,000 in each fiscal year      17,124       

shall be distributed to the Raspberry/Strawberry-Ellagic Acid      17,125       

Research program at the Ohio State University Medical College in   17,126       

cooperation with the Ohio State University College of              17,127       

Agriculture.                                                                    

      Of the foregoing appropriation item 235-535, Agricultural    17,129       

Research and Development Center, $100,000 in each fiscal year      17,130       

shall be used for the development of agricultural crops and        17,131       

products not currently in widespread production in Ohio, in order  17,132       

to increase the income and viability of family farmers.            17,133       

      Cooperative Extension Service and Agricultural Research and  17,136       

Development Center                                                              

      The foregoing appropriation items 235-511, Cooperative       17,138       

Extension Service, and 235-535, Agricultural Research and          17,139       

Development Center, shall be disbursed through the Ohio Board of   17,140       

Regents to the Ohio State University in monthly payments, unless   17,141       

otherwise determined by the Director of Budget and Management      17,142       

pursuant to the provisions of section 126.09 of the Revised Code.  17,144       

Of the foregoing appropriation item 235-535, Agricultural                       

Research and Development Center, $540,000 in each fiscal year      17,145       

shall be used to purchase equipment.                               17,146       

      The Ohio Agricultural Research and Development Center shall  17,148       

not be required to remit payment to The Ohio State University      17,149       

during the 1999-2001 biennium for cost reallocation assessments.   17,151       

The cost reallocation assessments include, but are not limited     17,152       

                                                          353    


                                                                 
to, any assessment on state appropriations to the center.          17,153       

      Section 7.10.  Sea Grants                                    17,155       

      The foregoing appropriation item 235-402, Sea Grants, shall  17,157       

be disbursed to The Ohio State University.  The funds from this    17,158       

appropriation item shall be used to conduct research on fish in    17,159       

Lake Erie.                                                                      

      Information System                                           17,161       

      The foregoing appropriation item 235-409, Information        17,163       

System, shall be used by the Board of Regents to revise the        17,164       

higher education data system known as the Uniform Information      17,165       

System.                                                                         

      Student Services                                             17,167       

      The foregoing appropriation item 235-502, Student Support    17,169       

Services, shall be distributed by the Board of Regents to Ohio's   17,170       

state-assisted colleges and universities that incur                17,171       

disproportionate costs in the provision of support services to     17,172       

disabled students.                                                              

      Shawnee State Supplement                                     17,174       

      The foregoing appropriation item 235-520, Shawnee State      17,176       

Supplement, shall be used by Shawnee State University as detailed  17,177       

by both of the following:                                          17,178       

      (A)  To allow Shawnee State University to keep its           17,180       

undergraduate fees below the statewide average, consistent with    17,181       

its mission of service to an economically depressed Appalachian    17,182       

region;                                                                         

      (B)  To allow Shawnee State University to employ new         17,184       

faculty to develop and teach in new degree programs that meet the  17,185       

needs of Appalachians.                                                          

      Police and Fire Protection                                   17,187       

      The foregoing appropriation item 235-524, Police and Fire    17,189       

Protection, shall be used for police and fire services in the      17,190       

municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,   17,191       

Portsmouth, Xenia Township (Greene County), and Rootstown          17,192       

Township, which may be used to assist these local governments in                

                                                          354    


                                                                 
providing police and fire protection for the central campus of     17,193       

the state-affiliated university located therein.  Each             17,194       

participating municipality and township shall receive at least     17,195       

five thousand dollars per year.  Funds shall be distributed by     17,196       

the Ohio Board of Regents.                                                      

      School of International Business                             17,198       

      Of the foregoing appropriation item 235-547, School of       17,200       

International Business, $1,243,637 in each fiscal year shall be    17,201       

used for the continued development and support of the School of    17,202       

International Business of the state universities of northeast      17,203       

Ohio.  The money shall go to the University of Akron.  These       17,204       

funds shall be used by the university to establish a School of     17,205       

International Business located at the University of Akron.  It     17,206       

may confer with the Kent State University, Youngstown State        17,207       

University, and Cleveland State University as to the curriculum    17,208       

and other matters regarding the school.                                         

      Of the foregoing appropriation item 235-547, School of       17,210       

International Business, $250,000 in each fiscal year shall be      17,211       

used to support the University of Toledo School of Business.       17,212       

      Capital Component                                            17,214       

      The foregoing appropriation item 235-552, Capital            17,216       

Component, shall be used by the Ohio Board of Regents to           17,217       

implement the capital funding policy for state-assisted colleges   17,218       

and universities established in Am. H.B. 748 of the 121st General  17,219       

Assembly.  Appropriations from this item shall be distributed to                

all campuses for which the estimated campus debt service           17,220       

attributable to new qualifying capital projects is less than the   17,222       

campus' formula-determined capital component allocation.  Campus                

allocations shall be determined by subtracting the estimated       17,223       

campus debt service attributable to new qualifying capital         17,224       

projects from campus formula-determined capital component          17,225       

allocation.  Moneys distributed from this appropriation item       17,226       

shall be restricted to capital-related purposes.                   17,227       

      Dayton Area Graduate Studies Institute                       17,229       

                                                          355    


                                                                 
      The foregoing appropriation item 235-553, Dayton Area        17,231       

Graduate Studies Institute, shall be used by the Ohio Board of     17,232       

Regents to support the Dayton Area Graduate Studies Institute, an  17,233       

engineering graduate consortium of three universities in the       17,234       

Dayton area - Wright State University, The University of Dayton,   17,235       

and the Air Force Institute of Technology - with the                            

participation of the University of Cincinnati and The Ohio State   17,236       

University.                                                                     

      Long-Term Care Research                                      17,238       

      The foregoing appropriation item 235-558, Long-term Care     17,240       

Research, shall be disbursed to Miami University for long-term     17,241       

care research.                                                                  

      BGSU Canadian Studies Center                                 17,243       

      The foregoing appropriation item 235-561, BGSU Canadian      17,245       

Studies Center, shall be used by the Canadian Studies Center at    17,246       

Bowling Green State University to study opportunities for Ohio     17,248       

and Ohio businesses to benefit from the Free Trade Agreement       17,249       

between the United States and Canada.                                           

      Urban University Programs                                    17,251       

      Of the foregoing appropriation item 235-583, Urban           17,253       

University Programs, universities receiving funds which are used   17,255       

to support an ongoing university unit must certify periodically    17,256       

in a manner approved by the Ohio Board of Regents that program     17,257       

funds are being matched on a one-to-one basis with equivalent      17,258       

resources.  Overhead support may not be used to meet this          17,259       

requirement.  Where Urban University Program funds are being used  17,260       

to support an ongoing university unit, matching funds must come    17,261       

from continuing rather than one-time sources.  At each             17,262       

participating state-assisted institution of higher education,      17,263       

matching funds must be within the substantial control of the       17,264       

individual designated by the institution's president as the Urban  17,265       

University Program representative.                                 17,266       

      Of the foregoing appropriation item 235-583, Urban           17,268       

University Programs, $380,000 in each fiscal year shall be used    17,269       

                                                          356    


                                                                 
to support a public communication outreach program (WCPN). The     17,271       

primary purpose of the program shall be to develop a relationship  17,272       

between Cleveland State University and nonprofit communications                 

entities.                                                          17,273       

      Of the foregoing appropriation item 235-583, Urban           17,275       

University Programs, $180,000 in each fiscal year shall be used    17,276       

to support the Center for the Interdisciplinary Study of           17,277       

Education and the Urban Child at Cleveland State University.       17,279       

These funds shall be distributed according to rules adopted by     17,280       

the Ohio Board of Regents and shall be used by the center for      17,281       

interdisciplinary activities targeted toward increasing the        17,282       

chance of lifetime success of the urban child, including           17,283       

interventions beginning with the prenatal period.  The primary     17,284       

purpose of the center is to study issues in urban education and    17,285       

to systematically map directions for new approaches and new        17,286       

solutions by bringing together a cadre of researchers, scholars,   17,287       

and professionals representing the social, behavioral, education,  17,288       

and health disciplines.                                                         

      Of the foregoing appropriation item 235-583, Urban           17,291       

University Programs, $260,000 in each fiscal year shall be used    17,292       

to support the Kent State University Learning and Technology       17,293       

Project.  This project is a kindergarten through university        17,294       

collaboration between schools surrounding Kent's eight campuses    17,295       

in northeast Ohio, and corporate partners who will assist in       17,296       

development and delivery.                                          17,297       

      The Kent State University Project shall provide a faculty    17,299       

member who has a full-time role in the development of              17,300       

collaborative activities and teacher instructional programming     17,301       

between Kent and the K-12th grade schools that surround its eight  17,302       

campuses; appropriate student support staff to facilitate these    17,303       

programs and joint activities; and hardware and software to        17,304       

schools that will make possible the delivery of instruction to     17,305       

pre-service and in-service teachers, and their students, in their  17,306       

own classrooms or school buildings.  This shall involve the        17,307       

                                                          357    


                                                                 
delivery of low-bandwidth streaming video and web-based            17,308       

technologies in a distributed instructional model.                 17,309       

      Of the foregoing appropriation item 235-583, Urban           17,311       

University Programs, $100,000 in each fiscal year shall be used    17,312       

to support the Ameritech Classroom/Center for Research at Kent     17,313       

State University.                                                  17,314       

      Of the foregoing appropriation item 235-583, Urban           17,316       

University Programs, $150,000 in each fiscal year shall be used    17,317       

to support the Polymer Distance Learning Project at the            17,318       

University of Akron.                                                            

      Of the foregoing appropriation item 235-583, Urban           17,320       

University Programs, $50,000 in fiscal year 2000 shall be used to  17,321       

support general arts programming at the University of Akron.       17,322       

      Of the foregoing appropriation item 235-583, Urban           17,324       

University Programs, $50,000 in each fiscal year shall be          17,325       

distributed to the Kent State University/Cleveland Design Center   17,326       

program.                                                                        

      Of the remainder of the appropriation, 50 per cent of the    17,328       

total in each fiscal year shall be distributed by the Ohio Board   17,329       

of Regents to Cleveland State University in support of the Urban   17,330       

Center of the College of Urban Affairs.  The balance of the        17,331       

appropriation shall be distributed to the Northeast Ohio           17,333       

Interinstitutional Research Program, the Urban Linkages Program,   17,334       

and the Urban Research Technical Assistance Grant Program.         17,335       

      International Center for Water Resources Development         17,337       

      The foregoing appropriation item 235-595, International      17,339       

Center for Water Resources Development, shall be used to support   17,340       

the International Center for Water Resources Development at        17,341       

Central State University.  This center shall develop methods to    17,342       

improve the management of water resources for Ohio and for         17,343       

emerging nations.                                                               

      Rural University Projects                                    17,345       

      Of the foregoing appropriation item 235-587, Rural           17,347       

University Projects, Bowling Green State University shall receive  17,348       

                                                          358    


                                                                 
$211,330 in fiscal year 2000 and $216,400 in fiscal year 2001.     17,349       

Miami University shall receive $323,365 in fiscal year 2000 and    17,350       

$331,125 in fiscal year 2001.  Ohio University shall receive       17,351       

$738,375 in fiscal year 2000 and $756,099 in fiscal year 2001.                  

These funds shall be used to support the Institute for Local       17,353       

Government Administration and Rural Development at Ohio                         

University, the Center for Public Management and Regional Affairs  17,354       

at Miami University, and the public administration program at      17,355       

Bowling Green State University.                                    17,356       

      Of the foregoing appropriation item 235-587, Rural           17,358       

University Projects, $25,000 in each fiscal year shall be used to  17,359       

support the Washington State Community College day care center.    17,360       

      Of the foregoing appropriation item 235-587, Rural           17,362       

University Projects, $75,000 in fiscal year 2001 shall be used to  17,363       

support the COAD/ILGARD/GOA Appalachian Leadership Initiative.     17,364       

      A small portion of the funds provided to Ohio University     17,367       

shall be used to establish a satellite office of the Institute     17,368       

for Local Government Administration and Rural Development at       17,369       

Shawnee State University.  A small portion of the funds provided   17,370       

to Ohio University shall also be used for the Institute for Local  17,371       

Government Administration and Rural Development State and Rural    17,372       

Policy Partnership with the Governor's Office of Appalachia and                 

the Appalachian delegation of the General Assembly.                17,373       

      Ohio Resource Center for Math, Science, and Reading          17,375       

      The foregoing appropriation item 235-588, Ohio Resource      17,377       

Center for Math, Science, and Reading, shall be used to support a  17,378       

resource center for mathematics, science, and reading to be        17,379       

located at a state-assisted university for the purpose of          17,380       

identifying best educational practices in primary and secondary    17,381       

schools and establishing methods for communicating them to                      

colleges of education and school districts.                        17,382       

      Prior to December 31, 1999, the Governor, the                17,384       

Superintendent of Public Instruction, and the Chancellor of the    17,385       

Ohio Board of Regents shall conduct a search for the best          17,386       

                                                          359    


                                                                 
location for the establishment of the Ohio Resource Center for     17,387       

Mathematics, Science, and Reading.  The location selected shall                 

be on the campus of one of the state universities named in         17,388       

section 3345.011 of the Revised Code.  The university selected     17,389       

shall be chosen on a competitive basis from among those            17,390       

universities that apply to the Board of Regents.                                

      Hazardous Materials Program                                  17,392       

      The foregoing appropriation item 235-596, Hazardous          17,394       

Materials Program, shall be disbursed to Cleveland State           17,395       

University for the operation of a program to certify firefighters  17,396       

for the handling of hazardous materials.  Training shall be        17,397       

available to all Ohio firefighters.                                             

      National Guard Tuition Grant Program                         17,399       

      The Board of Regents shall disburse funds from               17,401       

appropriation item 235-599, National Guard Tuition Grant Program,  17,402       

at the direction of the Adjutant General.                          17,403       

      Ohio Higher Educational Facility Commission Support          17,405       

      The foregoing appropriation item 235-602, HEFC               17,407       

Administration, shall be used by the Board of Regents for          17,408       

operating expenses related to the Board of Regents' support of     17,409       

the activities of the Ohio Higher Educational Facility             17,410       

Commission.  Upon the request of the chancellor, the Director of   17,411       

Budget and Management shall transfer up to $12,000 cash from Fund  17,412       

461 to Fund 4E8 in each fiscal year of the biennium.               17,413       

      Reading Recovery Program*                                    17,415       

      Notwithstanding section 3319.23 of the Revised Code, all     17,417       

state-assisted colleges and universities with teacher education    17,418       

programs shall provide instruction in the Reading Recovery         17,419       

Program.                                                           17,420       

      Section 7.11.  Repayment of Research Facility Investment     17,422       

Fund Moneys                                                                     

      Notwithstanding any provision of law to the contrary, all    17,424       

repayments of Research Facility Investment Fund loans shall be     17,425       

made to the Bond Service Trust Fund.  All Research Facility        17,427       

                                                          360    


                                                                 
Investment Fund loan repayments made prior to the effective date   17,428       

of this section shall be transferred by the Director of Budget                  

and Management to the Bond Service Trust Fund within sixty days    17,430       

of the effective date of this section.                             17,431       

      Campuses are required to make timely repayments of Research  17,433       

Facility Investment Fund loans, according to the schedule          17,434       

established by the Board of Regents.  In the case of late          17,435       

payments, the Board of Regents is authorized to deduct from an     17,436       

institution's periodic subsidy distribution an amount equal to                  

the amount of the overdue payment for that institution, transfer   17,437       

such amount to the Bond Service Trust Fund, and credit the         17,438       

appropriate institution for the repayment.                         17,439       

      Veterans' Preference                                         17,441       

      The Board of Regents shall work with the Governor's Office   17,443       

of Veterans' Affairs to develop specific veterans' preference      17,444       

guidelines for higher education institutions.  These guidelines    17,445       

shall ensure that the institutions' hiring practices are in        17,446       

accordance with the intent of Ohio's veterans' preference laws.    17,447       

      Section 7.12.  Central State University                      17,449       

      (A)  Notwithstanding sections 3345.72, 3345.74, 3345.75,     17,451       

and 3345.76 of the Revised Code and 126:3-1-01 of the Ohio         17,452       

Administrative Code, Central State University shall adhere to the  17,453       

following fiscal standards:                                                     

      (1)  Maintenance of a balanced budget and filing of          17,455       

quarterly reports on an annualized budget with the Board of        17,456       

Regents, comparing the budget to actual spending and revenues      17,457       

with projected expenditures and revenues for the remainder of the  17,458       

year.  Such reports shall include narrative explanations as                     

appropriate and be filed within 30 days of the end of the          17,459       

quarter.                                                                        

      (2)  Timely and accurate assessment of the current and       17,461       

projected cash flow of university funds, by fund type;             17,462       

      (3)  Timely reconciliation of all university cash and        17,464       

general ledger accounts, by fund;                                  17,465       

                                                          361    


                                                                 
      (4)  Submission to the Auditor of State financial            17,467       

statements consistent with audit requirements prescribed by the    17,468       

Auditor of State within four months after the end of the fiscal    17,469       

year.                                                                           

      The Director of Budget and Management shall provide          17,471       

clarification to the university on these fiscal standards as       17,472       

deemed necessary.  The director may also take such actions as are  17,473       

necessary to ensure that the university adheres to these           17,474       

standards and other fiscal standards consistent with generally                  

accepted accounting principles and the requirements of external    17,475       

entities providing funding to the university.  Such actions may    17,476       

include the appointment of a financial consultant to assist        17,477       

Central State University in the continuous process of design and   17,478       

implementation of responsible systems of financial management and  17,479       

accounting.                                                                     

      (B)  The director's fiscal oversight shall continue until    17,481       

such time as the university meets the same criteria as those       17,482       

created in 126:3-1-01(F) of the Ohio Administrative Code for the   17,484       

termination of a fiscal watch.  At that time Central State         17,485       

University shall be relieved of the requirements of this section                

and subject to the requirements of sections 3345.72, 3345.74,      17,486       

3345.75, and 3345.76 of the Revised Code.                          17,487       

      Section 7.13.  Technical College District Refinancing of     17,489       

Leases for Housing and Dining Facilities                           17,490       

      Notwithstanding section 3357.112 of the Revised Code, a      17,492       

technical college district established under Chapter 3357. of the  17,493       

Revised Code that is the lessee of housing and dining facilities   17,494       

under a lease entered into prior to September 17, 1996, may enter  17,495       

into an amendment to that lease and may acquire, by purchase,      17,496       

lease-purchase, lease with option to purchase, or otherwise,       17,497       

those housing and dining facilities that are the subject of that   17,498       

lease.  To pay all or part of the costs of acquiring those         17,499       

housing and dining facilities, and to refund obligations           17,500       

previously issued for such purpose, a technical college district   17,501       

                                                          362    


                                                                 
may issue obligations in the manner provided by and subject to     17,502       

the applicable provisions of section 3345.12 of the Revised Code   17,503       

and Sections 99.03 and 99.06 of Am. Sub. H.B. 215 of the 122nd     17,504       

General Assembly.                                                               

      Section 7.14. Non-Profit Research Capital Support            17,506       

      Notwithstanding Section 30.06 of H.B. 850 of the 122nd       17,508       

General Assembly, of the appropriation item CAP-063, Non-Profit    17,509       

Research Capital Support, $6,300,000 shall be assigned to          17,510       

Cleveland State University to be used to award a grant to a        17,511       

capital project at the Cleveland Clinic Foundation to advance      17,512       

biomedical research.                                               17,513       

      Section 8.  OSB  OHIO STATE SCHOOL FOR THE BLIND             17,515       

General Revenue Fund                                               17,517       

GRF 226-100 Personal Services     $    5,540,996 $    5,631,645    17,522       

GRF 226-200 Maintenance           $      676,533 $      714,732    17,526       

GRF 226-300 Equipment             $       69,534 $      101,203    17,530       

TOTAL GRF General Revenue Fund    $    6,287,063 $    6,447,580    17,533       

General Services Fund Group                                        17,535       

4H8 226-602 Education Reform                                       17,538       

            Grants                $       29,900 $       29,900    17,540       

TOTAL GSF General Services                                         17,541       

   Fund Group                     $       29,900 $       29,900    17,544       

State Special Revenue Fund Group                                   17,546       

4M5 226-601 Work Study &                                           17,549       

            Technology                                                          

            Investments           $       40,083 $       40,924    17,551       

TOTAL SSR State Special Revenue                                    17,552       

   Fund Group                     $       40,083 $       40,924    17,555       

Federal Special Revenue Fund Group                                 17,557       

3P5 226-643 Medicaid Professional                                  17,560       

            Services                                                            

            Reimbursement         $      125,000 $      125,000    17,562       

310 226-626 Coordinating Unit     $    1,173,036 $    1,195,850    17,566       

TOTAL FED Federal Special                                          17,567       

                                                          363    


                                                                 
   Revenue Fund Group             $    1,298,036 $    1,320,850    17,570       

TOTAL ALL BUDGET FUND GROUPS      $    7,655,082 $    7,839,254    17,573       

      Maintenance                                                  17,576       

      Of the foregoing appropriation item 226-200, Maintenance,    17,578       

up to $21,962 in fiscal year 2001 shall be used to purchase        17,579       

Braille and large-print textbooks in the areas of reading,         17,580       

mathematics, and spelling for grades kindergarten through six.     17,581       

      Equipment                                                    17,583       

      Of the foregoing appropriation item 226-300, Equipment,      17,585       

$30,000 in fiscal year 2001 shall be used to purchase a van        17,586       

equipped with a hydraulic lift for wheelchairs.                    17,587       

      Section 9.  OSD  OHIO STATE SCHOOL FOR THE DEAF              17,589       

General Revenue Fund                                               17,591       

GRF 221-100 Personal Services     $    6,928,679 $    7,132,058    17,596       

GRF 221-200 Maintenance           $      944,938 $      998,596    17,600       

GRF 221-300 Equipment             $      180,715 $      190,975    17,604       

TOTAL GRF General Revenue Fund    $    8,054,332 $    8,321,629    17,607       

General Services Fund Group                                        17,609       

4M1 221-602 Education Reform                                       17,612       

            Grants                $       64,867 $       65,210    17,614       

TOTAL GSF General Services                                         17,615       

   Fund Group                     $       64,867 $       65,210    17,618       

State Special Revenue Fund Group                                   17,620       

4M0 221-601 Educational Program                                    17,623       

            Expenses              $       16,890 $       17,363    17,625       

TOTAL SSR State Special Revenue                                    17,626       

   Fund Group                     $       16,890 $       17,363    17,629       

Federal Special Revenue Fund Group                                 17,631       

3R0 221-684 Medicaid Professional                                  17,634       

            Services                                                            

            Reimbursement         $       80,000 $       82,240    17,636       

311 221-625 Coordinating Unit     $      848,780 $      871,271    17,640       

TOTAL FED Federal Special                                          17,641       

   Revenue Fund Group             $      928,780 $      953,511    17,644       

                                                          364    


                                                                 
TOTAL ALL BUDGET FUND GROUPS      $    9,064,869 $    9,357,713    17,647       

      Maintenance                                                  17,650       

      Of the foregoing appropriation item 221-200, Maintenance,    17,652       

$30,979 in fiscal year 2001 shall be used to renovate classrooms.  17,653       

      Equipment                                                    17,655       

      Of the foregoing appropriation item 221-300, Equipment,      17,657       

$5,923 in fiscal year 2001 shall be used to purchase security      17,658       

equipment, including steel doors, computerized locks, and          17,659       

television surveillance equipment.                                              

      Section 10.  SFC  SCHOOL FACILITIES COMMISSION               17,661       

General Revenue Fund                                               17,663       

GRF 230-428 Lease Rental Payments $   55,400,000 $   70,300,000    17,668       

TOTAL GRF General Revenue Fund    $   55,400,000 $   70,300,000    17,671       

State Special Revenue Fund Group                                   17,674       

5E3 230-644 Operating Expenses    $    2,609,726 $    2,738,277    17,679       

TOTAL SSR State Special Revenue                                    17,680       

   Fund Group                     $    2,609,726 $    2,738,277    17,683       

TOTAL ALL BUDGET FUND GROUPS      $   58,009,726 $   73,038,277    17,686       

      Lease Rental Payments                                        17,689       

      The foregoing appropriation item 230-428, Lease Rental       17,691       

Payments, shall be used by the School Facilities Commission to     17,692       

pay bond service charges on obligations issued pursuant to         17,693       

Chapter 3318. of the Revised Code.                                              

      Operating Expenses                                           17,695       

      The foregoing appropriation item 230-644, Operating          17,697       

Expenses, shall be used by the Ohio School Facilities Commission   17,698       

to carry out its responsibilities pursuant to this section and     17,699       

Chapter 3318. of the Revised Code.                                 17,700       

      Within ten days after the effective date of this section,    17,702       

or as soon as possible thereafter, the Executive Director of the   17,703       

Ohio School Facilities Commission shall certify to the Director    17,704       

of Budget and Management the amount of cash to be transferred      17,705       

from the School Building Assistance Fund (Fund 032) or the Public  17,706       

School Building Fund (Fund 021) to the Ohio School Facilities                   

                                                          365    


                                                                 
Commission Fund (Fund 5E3).                                        17,707       

      By July 10, 2000, the Executive Director of the Ohio School  17,709       

Facilities Commission shall certify to the Director of Budget and  17,710       

Management the amount of cash to be transferred from the School    17,711       

Building Assistance Fund (Fund 032) or the Public School Building  17,712       

Fund (Fund 021) to the Ohio School Facilities Commission Fund      17,713       

(Fund 5E3).                                                                     

      Prior Year Encumbrances                                      17,715       

      At the request of the Director of the Ohio School            17,717       

Facilities Commission, the Director of Budget and Management may   17,718       

cancel encumbrances from fiscal years 1998 and 1999 in CAP-770,    17,719       

School Building Program Assistance, and reestablish such           17,720       

encumbrances or parts of encumbrances to CAP-622, Public School                 

Buildings, for fiscal years 2000 and 2001.  Appropriations to      17,721       

CAP-622 shall not be increased as a result of reestablishing such  17,722       

encumbrances.  An amount equal to the canceled encumbrances in     17,723       

CAP-770 shall be appropriated to CAP-775.                          17,724       

      Disability Access Projects                                   17,726       

      The unencumbered and unallotted balances as of June 30,      17,728       

1999, in appropriation item 230-649, Disability Access Project,    17,729       

are hereby reappropriated.  The unencumbered and unallotted        17,731       

balances of the appropriation at the end of fiscal year 2000 are   17,732       

hereby reappropriated in fiscal year 2001 to fund capital          17,733       

projects pursuant to this section.                                 17,734       

      (A)  As used in this section:                                17,736       

      (1)  "Percentile" means the percentile in which a school     17,738       

district is ranked according to the fiscal year 1998 ranking of    17,739       

school districts with regard to income and property wealth under   17,740       

division (B) of section 3318.011 of the Revised Code.              17,741       

      (2)  "School district" means a city, local, or exempted      17,743       

village school district, but excluding a school district that is   17,744       

one of the state's 21 urban school districts as defined in         17,745       

division (O) of section 3317.02 of the Revised Code, as that       17,746       

section existed prior to July 1, 1998.                             17,747       

                                                          366    


                                                                 
      (3)  "Valuation per pupil" means a district's total taxable  17,750       

value as defined in section 3317.02 of the Revised Code divided    17,751       

by the district's ADM as defined in division (A) of section                     

3317.02 of the Revised Code as that section existed prior to July  17,752       

1, 1998.                                                                        

      (B)  The School Facilities Commission shall adopt rules for  17,754       

awarding grants to school districts with a valuation per pupil of  17,756       

less than $200,000, to be used for construction, reconstruction,                

or renovation projects in classroom facilities, the purpose of     17,757       

which is to improve access to such facilities by physically        17,758       

handicapped persons.  The rules shall include application          17,759       

procedures.  No school district shall be awarded a grant under     17,760       

this section in excess of $100,000.  In addition, any school       17,761       

district shall be required to pay a percentage of the cost of the  17,762       

project for which the grant is being awarded equal to the          17,763       

percentile in which the district is ranked.                        17,764       

      Section 10.01. Short-Term Loans                              17,766       

      The School Facilities Commission may make loans to school    17,768       

districts for a period of up to three years for emergency          17,769       

replacement of school facilities as a result of faulty             17,770       

construction and for which the school district is engaged in       17,771       

legal action with the contractor.  The interest rate of any loan   17,772       

issued under this section shall be determined by the School        17,773       

Facilities Commission and any interest gained under any            17,774       

settlement regarding faulty construction shall be received by the  17,775       

commission.  No moneys provided in the form of short term loans    17,776       

may be used to support the legal fees of the school district.      17,777       

      Section 10.02. Extreme Environmental Contamination of        17,779       

School Facilities                                                  17,780       

      Notwithstanding the provisions of Section 26 of Am. Sub.     17,782       

H.B. 850 of the 122nd General Assembly regarding eligibility for   17,783       

the Exceptional Needs Pilot Program, the School Facilities         17,785       

Commission may provide assistance to any school district and not   17,786       

exclusively a school district in the lowest 50 per cent of         17,787       

                                                          367    


                                                                 
adjusted valuation per pupil on the fiscal year 1999 ranking of    17,788       

school districts established pursuant to section 3317.02 of the    17,789       

Revised Code, for the purpose of the relocation or replacement of  17,790       

school facilities required as a result of extreme environmental    17,791       

contamination.  In order to provide assistance as a result of      17,792       

extreme environmental contamination, the necessity of relocation   17,793       

or replacement of school facilities shall be certified by the      17,794       

Environmental Protection Agency.                                                

      Section 11.  NET  OHIO SCHOOLNET COMMISSION                  17,796       

General Revenue Fund                                               17,798       

GRF 228-404 Operating Expenses    $    5,703,175 $    5,483,910    17,803       

GRF 228-406 Technical &                                            17,805       

            Instructional                                                       

            Professional                                                        

            Development           $   12,408,453 $   12,706,256    17,807       

GRF 228-539 Education Technology  $    6,707,421 $    6,733,475    17,811       

GRF 228-559 RISE - Interactive                                     17,813       

            Parenting Program     $    1,200,000 $    1,200,000    17,815       

Total GRF General Revenue Fund    $   26,019,049 $   26,123,641    17,818       

General Services Fund Group                                        17,820       

5D4 228-640 Conference/Special                                     17,823       

            Purpose Expenses      $      500,000 $      500,000    17,825       

TOTAL GSF General Services                                         17,826       

   Fund Group                     $      500,000 $      500,000    17,829       

State Special Revenue Fund Group                                   17,832       

4W9 228-630 Ohio SchoolNet                                         17,835       

            Telecommunity Fund    $    3,389,447 $       52,813    17,837       

4X1 228-634 Distance Learning     $    3,174,718 $    3,263,413    17,841       

4Y4 228-698 SchoolNet Plus        $   90,000,000 $            0    17,845       

TOTAL SSR State Special Revenue                                    17,846       

   Fund Group                     $   96,564,165 $    3,316,226    17,849       

Federal Special Revenue Fund Group                                 17,852       

3S3 228-655 Technology Literacy                                    17,855       

            Challenge             $   16,650,418 $   16,650,418    17,857       

                                                          368    


                                                                 
TOTAL FED Federal Special Revenue                                  17,858       

   Fund Group                     $   16,650,418 $   16,650,418    17,861       

TOTAL ALL BUDGET FUND GROUPS      $  139,733,632 $   46,590,285    17,864       

      SchoolNet Plus Program                                       17,867       

      (A)  The foregoing appropriation item 228-698, SchoolNet     17,869       

Plus, shall be used as follows:                                    17,870       

      (1)  Up to $20,000,000 to purchase network                   17,872       

telecommunications equipment for each public elementary school     17,873       

building in Ohio to provide classroom and building access to       17,874       

existing and potential statewide voice, video, and data                         

telecommunication services.  As used in this section, "public      17,876       

elementary school building" means an elementary school building    17,877       

of any city, local, or exempted village school district or any     17,878       

community school established under Chapter 3314. of the Revised    17,879       

Code.  The Ohio SchoolNet Commission, in consultation with the     17,881       

Department of Education and the Ohio Education Computer Network,                

shall define the standards and equipment configurations necessary  17,882       

to maximize the efficient use of the existing and potential        17,883       

statewide voice, video, and data telecommunication services.       17,884       

      (2)  Up to $70,000,000 to establish and equip at least one   17,886       

interactive computer workstation for each five children enrolled   17,887       

in the fifth grade based on the number of children each            17,888       

qualifying school district has enrolled in the fifth grade as      17,889       

reported in October 1999 pursuant to division (A) of section                    

3317.03 of the Revised Code.                                       17,890       

      To the extent the Ohio SchoolNet Commission can reduce the   17,892       

purchase cost of an interactive computer workstation through       17,893       

efficient purchasing methods, the commission may utilize any cost  17,894       

savings to begin a subsequent round of funding to provide          17,895       

interactive computer workstations to qualifying school districts.  17,896       

The commission may select qualifying school districts to receive   17,897       

the proceeds of any savings based on district readiness to         17,898       

utilize interactive computer workstations.  The Commission may     17,899       

determine readiness on either a district-wide or individual        17,900       

                                                          369    


                                                                 
classroom or grade-level basis or by such other criteria deemed    17,901       

appropriate by the commission.                                     17,902       

      (3)  To pay for the cost of an independent review of all     17,904       

the agencies in Ohio that deliver education technology, as called  17,905       

for in Recommendation One of the Report of the Ohio School         17,906       

Technology Implementation Task Force.                                           

      (4)  To pay for the cost of a statewide educational          17,908       

technology strategic planning process as called for in             17,909       

Recommendation Two of the Report of the Ohio Schools Technology    17,910       

Implementation Task Force.                                                      

      (B)  Not later than November 30, 1999, the Executive         17,912       

Director of the Ohio SchoolNet Commission shall allocate to        17,913       

school districts the amount to be used pursuant to division        17,914       

(A)(2) of this section.  A school district's allocation shall      17,915       

remain available until the district is ready to use it, and the                 

school district may use its allocation in phases.  A school        17,916       

district may use a portion of its allocation for training and      17,917       

staff development related to the project if approved by the Ohio   17,918       

SchoolNet Commission under division (C) of this section.           17,919       

      (C)  The Ohio SchoolNet Commission shall adopt procedures    17,921       

for the administration and implementation of the SchoolNet Plus    17,922       

Program.  The procedures shall include application procedures,     17,923       

specification for education technology, and terms and conditions   17,924       

for participation in the program.  The commission shall not        17,925       

approve any application for participation in the program unless    17,926       

it has determined that the applicant can effectively and           17,927       

efficiently integrate the requested education technology into      17,928       

schools or the selected schools or classrooms for the phase of     17,929       

the program.                                                                    

      (D)  Educational technology made available to school         17,931       

districts under division (B) of this section shall be used as an   17,932       

integrated part of the curriculum in fifth grade classrooms.       17,933       

However, if the commission determines that a school district       17,934       

already has at least one interactive computer workstation for                   

                                                          370    


                                                                 
each five children enrolled in the fifth grade, and the district   17,935       

meets other minimum requirements that may be established by the    17,936       

commission concerning staff training and other education           17,937       

technology for such grades, the commission may permit the school   17,938       

district to use educational technology made available to it        17,939       

through the SchoolNet Plus Program for children in grades six                   

through twelve.                                                    17,940       

      (E)  As used in this section:                                17,942       

      (1)  "Qualifying school district" means all school           17,944       

districts, including any community school established under        17,946       

Chapter 3314. of the Revised Code.                                 17,947       

      (2)  "Educational technology" includes, but is not limited   17,949       

to, computer hardware, equipment, training, and services;          17,950       

equipment used for two-way audio or video; software; and           17,951       

textbooks.                                                                      

      (F)  All appropriations that are unencumbered and            17,953       

unallotted in appropriation item 228-698, SchoolNet Plus, as of    17,954       

June 30, 2000, are hereby appropriated for the same purpose in     17,955       

fiscal year 2001 upon the request of the Executive Director of     17,956       

the Ohio SchoolNet Commission and the approval of the Director of               

Budget and Management.                                             17,957       

      Section 11.01.  Technical and Instructional Professional     17,959       

Development                                                                     

      The foregoing appropriation item 228-406, Technical and      17,961       

Instructional Professional Development, shall be used by the Ohio  17,963       

SchoolNet Commission, to make grants to qualifying schools,                     

including the State School for the Blind and the Ohio School for   17,965       

the Deaf for the provision of hardware, software,                  17,966       

telecommunications services, and staff development to support      17,967       

educational uses of technology in the classroom.                   17,968       

      The Ohio SchoolNet Commission shall consider the             17,970       

professional development needs associated with the OhioReads       17,971       

Program when making funding allocations and program decisions.     17,972       

      The Ohio Educational Telecommunications Network Commission,  17,974       

                                                          371    


                                                                 
with the advice of the Ohio SchoolNet Commission, shall make       17,975       

grants totaling up to $1,400,000 in each year of the biennium for  17,977       

research development and production of interactive instructional   17,978       

programming series and teleconferences to support SchoolNet.  Up   17,979       

to $50,000 of this amount shall be used in each year of the        17,980       

biennium to provide for the administration of these activities by  17,981       

the Ohio Educational Telecommunications Network Commission.  The   17,982       

programming shall be targeted to the needs of the poorest 200      17,983       

school districts as determined by the district's adjusted          17,984       

valuation per pupil as defined in section 3317.0213 of the         17,985       

Revised Code.                                                                   

      Of the foregoing appropriation item 228-406, Technical and   17,987       

Instructional Professional Development, $3,300,000 in each fiscal  17,988       

year shall be distributed by the Ohio SchoolNet Commission to      17,990       

low-wealth districts or consortia including low-wealth school      17,991       

districts, as determined by the district's adjusted valuation per  17,993       

pupil as defined in section 3317.0213 of the Revised Code, or the  17,994       

State School for the Blind or the Ohio School for the Deaf.        17,995       

      The remaining appropriation allocated under this section     17,997       

shall be used by the Ohio SchoolNet Commission for professional    17,998       

development for teachers and administrators for the use of         17,999       

educational technology.  The commission shall make grants to       18,000       

provide technical assistance and professional development on the   18,001       

use of educational technology to school districts.                 18,002       

      Eligible recipients of grants include regional training      18,004       

centers, county offices of education, data collection sites,       18,005       

instructional technology centers, institutions of higher           18,006       

education, public television stations, special education resource  18,008       

centers, area media centers, or other nonprofit educational        18,009       

organizations.  Services provided through these grants may         18,010       

include use of private entities subcontracting through the grant   18,011       

recipient.                                                                      

      Grants shall be made to entities on a contractual basis      18,013       

with the Ohio SchoolNet Commission.  Contracts shall include       18,015       

                                                          372    


                                                                 
provisions that demonstrate how services will benefit technology   18,016       

use in the schools, and in particular will support SchoolNet       18,017       

efforts to support technology in the schools.  Contracts shall     18,018       

specify the scope of assistance being offered and the potential    18,019       

number of professionals who will be served.  Contracting entities  18,020       

may be awarded more than one grant at a time.                      18,021       

      Grants shall be awarded in a manner consistent with the      18,023       

goals of SchoolNet.  Special emphasis in the award of grants       18,024       

shall be placed on collaborative efforts among service providers.  18,025       

      Application for grants from this appropriation shall be      18,027       

consistent with a school district's technology plan that shall     18,028       

meet the minimum specifications for school district technology     18,029       

plans as prescribed by the Ohio SchoolNet Commission.  Funds       18,030       

allocated through these grants may be combined with funds          18,031       

received through other state or federal grants for technology as   18,032       

long as the school district's technology plan specifies the use    18,033       

of these funds.  The commission may combine the application for    18,034       

these grants with the SchoolNet application process authorized in  18,036       

Am. Sub. H.B. 790 of the 120th General Assembly.                                

      Education Technology                                         18,038       

      The foregoing appropriation item 228-539, Education          18,040       

Technology, shall be used to provide funding to suppliers of       18,041       

information services to school districts for the provision of      18,042       

hardware, software, and staff development in support of            18,043       

educational uses of technology in the classroom as prescribed by   18,044       

the State Plan for Technology pursuant to section 3301.07 of the   18,045       

Revised Code, and to support assistive technology for children     18,046       

and youth with disabilities.                                       18,047       

      Up to $5,776,929 in each fiscal year shall be used by the    18,049       

Ohio SchoolNet Commission to contract with instructional           18,050       

television and $930,492 in fiscal year 2000 and $956,546 in        18,052       

fiscal year 2001 shall be used by the commission to contract with  18,053       

education media centers to provide Ohio schools with               18,054       

instructional resources and services.                              18,055       

                                                          373    


                                                                 
      Resources may include, but not be limited to, the            18,057       

following:  pre-recorded video materials (including videotape,     18,058       

laser discs, and CD-ROM discs); computer software for student use  18,060       

and/or student access to electronic communication, databases,      18,061       

spreadsheet, and word processing capability; live student courses  18,062       

or courses delivered electronically; automated media systems; and  18,063       

instructional and professional development materials for           18,064       

teachers.  The commission shall cooperate with such agencies in    18,065       

the acquisition, development, and delivery of such educational     18,066       

resources to ensure high-quality and educational soundness at the  18,067       

lowest possible cost.  Delivery of such resources may utilize a    18,068       

variety of technologies, with preference given to a high-speed     18,069       

integrated information network that can transport video, voice,    18,070       

data, and graphics simultaneously.                                              

      Services shall include presentations and technical           18,072       

assistance that will help students and teachers integrate          18,073       

educational materials that support curriculum objectives, match    18,074       

specific learning styles, and are appropriate for individual       18,075       

interests and ability levels.                                      18,076       

      Such instructional resources and services shall be made      18,078       

available for purchase by chartered nonpublic schools or by        18,079       

public school districts for the benefit of pupils attending        18,080       

chartered nonpublic schools.                                                    

      Section 11.02.  Interactive Parenting Program                18,082       

      The foregoing appropriation item 228-559, Interactive        18,084       

Parenting Program, shall be used by the Ohio SchoolNet Commission  18,085       

to fund a grant to RISE, Inc. as partial support to train          18,087       

preschool staff members and parents.                                            

      It is the intent of the General Assembly that the            18,089       

commission, in conjunction with RISE, Inc., shall develop a        18,090       

program which may be conducted in conjunction with state           18,091       

supported technology programs including, but not limited to,       18,092       

SchoolNet appropriation item 228-406, and Education Technology     18,093       

appropriation item 228-539, designed to educate preschool staff    18,094       

                                                          374    


                                                                 
members and providers on developmentally appropriate teaching      18,095       

methods and to involve parents more closely in the education and   18,096       

development of their children.  The project shall include an       18,097       

interactive instructional program, which shall be distributed to   18,098       

program participants at up to twenty-six locations throughout the  18,099       

state.  The interactive instructional program shall be developed   18,100       

to enhance the professional development, training, and             18,101       

performance of preschool staff members; the education and          18,102       

care-giving skills of the parents of preschool children; and the   18,103       

preparation of preschool aged children for learning.               18,104       

      The project shall utilize the grant and matching nonpublic   18,106       

funds to continue a direct-service program that shall include at   18,107       

least three teleconferences to be distributed by Ohio-based        18,108       

public television utilizing satellite or microwave technology in   18,109       

a manner designed to promote interactive communications between    18,110       

the program participants located at sub-sites within the Ohio      18,111       

Educational Broadcast Network or as determined by the commission.  18,112       

Program participants shall communicate with trainers and           18,113       

participants at other program sites through telecommunications     18,114       

and facsimile and on-line computer technology.  To the maximum     18,115       

extent possible, the project shall utilize systems currently       18,116       

available in state supported technology programs and conduct the   18,117       

program in a manner that promotes innovative, interactive          18,118       

communications between the program participants at all the sites.  18,120       

Parent support groups and teacher training sessions shall                       

supplement the teleconferences, and shall occur on a local basis.  18,121       

      RISE, Inc., may subcontract components of the project.       18,123       

      Individuals eligible to participate in the program shall     18,125       

include those children, their parents, custodians, or guardians,   18,126       

and preschool staff members who are eligible to participate in a   18,127       

preschool program as defined in division (A) of section 3301.52    18,128       

and section 5104.02 of the Revised Code.                           18,129       

      (A)  In addition to the foregoing, up to $400,000 each       18,131       

fiscal year may be used by RISE, Inc., to enter into a             18,132       

                                                          375    


                                                                 
competitively bid contract with a not-for-profit entity or         18,133       

entities to conduct a series of training programs for adult        18,134       

volunteers who work with adolescent youths in after school         18,135       

mentoring programs, including youth-serving organizations such as  18,136       

Boy Scouts, Girl Scouts, Big Brothers, Big Sisters, 4-H, and       18,137       

public school mentor programs. The series of programs shall be     18,138       

designed to:                                                                    

      (1)  Improve the quality and effectiveness of adult          18,140       

volunteers so that they would sustain their involvement with       18,141       

youths over time. Specifically, they would improve their ability   18,142       

to motivate, supervise, and communicate with young people.         18,143       

      (2)  Improve the quality and effectiveness of adult          18,145       

volunteers so that the children they mentor, coach, teach, or      18,146       

befriend would sustain their involvement with youth-serving        18,147       

organizations over time.                                           18,148       

      (3)  Encourage collaboration between all Ohio youth-serving  18,151       

organizations, including: 4-H, Boy Scouts, Girls Scouts, Big       18,152       

Brothers, Big Sisters, and others.                                              

      (4)  Provide cost-efficient, sustainable distance learning   18,155       

to both rural and urban sites.                                                  

      (B)  In order to be eligible for the contract with RISE,     18,157       

Inc., the program participants shall be able to demonstrate that   18,158       

leading national experts in adolescent development intervention    18,159       

programs will be utilized and that such program will make use of   18,160       

a variety of media to engage participants and assist them in       18,161       

learning the goals of the program.  The program shall be designed  18,162       

to focus on the adult volunteers who assist in youth development.  18,164       

Training content shall focus on:                                                

      (1)  Development issues for youth;                           18,166       

      (2)  Best practices to motivate, guide, and communicate      18,169       

with these youths;                                                              

      (3)  Strategies for successful adult-to-adult interpersonal  18,172       

relationships that are necessary for on-going learning and         18,173       

support.                                                                        

                                                          376    


                                                                 
      The program may include: two broadcast seminars of three     18,175       

hours in length from a central up-link station, distributed in up  18,176       

to 88 counties; corporate settings and extension offices with      18,177       

on-site facilitated discussion and exercises; high                 18,178       

production-value video sought in various locations; and direct     18,179       

interactive adult learning activities.  The program shall develop  18,180       

program workbooks.  The program shall also involve at least three  18,181       

small group facilitated follow-up discussion workshops and         18,182       

development and distribution of at least two home videos.  The     18,183       

program shall also provide Internet access, interactive lines,     18,184       

bulletin board, and CD-ROM.                                        18,185       

      Private sector supporters or RISE, Inc., subcontractors      18,187       

shall match 50 per cent of the contract amount awarded under this  18,188       

program.  Upon completion of the program, a study and report       18,189       

shall be made by The Ohio State University with measurable         18,190       

outcome variables.                                                              

      Upon completion of each of the school years for which the    18,192       

grant was made, RISE, Inc., shall issue a report to the            18,193       

commission and the members of the General Assembly explaining the  18,194       

goals and objectives determined, the activities implemented, the   18,195       

progress made toward the achievement of the goals and objectives,  18,196       

and the outcome of the project.                                    18,197       

      Distance Learning                                            18,199       

      Appropriation item 228-634, Distance Learning, shall be      18,201       

distributed by the Ohio SchoolNet Commission on a grant basis to   18,202       

eligible school districts to establish "distance learning" in the  18,203       

school district.  Per the agreement with Ameritech, school         18,204       

districts are eligible for funds if they are within an Ameritech   18,205       

service area.  Funds to administer the program shall be expended   18,206       

by the commission up to the amount specified in the agreement      18,207       

with Ameritech.                                                    18,208       

      Within 30 days of the effective date of this section, the    18,210       

Director of Budget and Management shall transfer from fund 4XI in  18,212       

the State Special Revenue Fund Group any investment earnings from  18,213       

                                                          377    


                                                                 
moneys paid to the office or to the SchoolNet Commission by any    18,214       

telephone company as part of a settlement agreement between the    18,215       

company and the Public Utilities Commission in fiscal year 1995.   18,216       

      Section 12.  SCR  STATE BOARD OF PROPRIETARY SCHOOL          18,218       

                          REGISTRATION                             18,219       

General Revenue Fund                                               18,221       

GRF 233-100 Personal Services     $      377,366 $      386,822    18,226       

GRF 233-200 Maintenance           $      104,158 $      107,075    18,230       

GRF 233-300 Equipment             $        5,000 $        5,000    18,234       

TOTAL GRF General Revenue Fund    $      486,524 $      498,897    18,237       

TOTAL ALL BUDGET FUND GROUPS      $      486,524 $      498,897    18,240       

      Section 13.  TTA  OHIO TUITION TRUST AUTHORITY               18,243       

State Special Revenue Fund Group                                   18,245       

645 095-601 Operating Expenses    $    3,856,585 $    4,126,546    18,250       

TOTAL SSR State Special Revenue                                    18,251       

   Fund Group                     $    3,856,585 $    4,126,546    18,254       

TOTAL ALL BUDGET FUND GROUPS      $    3,856,585 $    4,126,546    18,257       

      Operating Expenses                                           18,260       

      The foregoing appropriation item 095-601, Operating          18,262       

Expenses, shall be used to pay the operating expenses of the Ohio  18,263       

Tuition Trust Authority.                                           18,264       

      Of the foregoing appropriation item 095-601, Operating       18,266       

Expenses, up to $30,000 over the biennium shall be used by the     18,267       

Auditor of State to complete a performance audit of the Tuition    18,268       

Trust Authority.                                                                

      Section 14.  Property Tax Allocation - Education             18,270       

      The appropriation item 200-901, Property Tax Allocation -    18,271       

Education, made to the Department of Education, is appropriated    18,272       

to pay for the state's costs incurred due to the homestead         18,273       

exemption and the property tax rollback.  In cooperation with the  18,274       

Department of Taxation, the Department of Education shall                       

distribute these funds directly to the appropriate school          18,275       

districts of the state, notwithstanding the provisions in          18,276       

sections 321.24 and 323.156 of the Revised Code, which provide     18,277       

                                                          378    


                                                                 
for payment of the homestead exemption and property tax rollback   18,278       

by the Tax Commissioner to the appropriate county treasurer and    18,279       

the subsequent redistribution of these funds to the appropriate                 

local taxing districts by the county auditor.                      18,280       

      The appropriation item 200-906, Tangible Tax Exemption -     18,282       

Education, made to the Department of Education, is appropriated    18,283       

to pay for the state's costs incurred due to the tangible          18,284       

personal property tax exemption required by division (C)(3) of     18,285       

section 5709.01 of the Revised Code.  In cooperation with the      18,286       

Department of Taxation, the Department of Education shall                       

distribute to each county treasurer the total amount certified by  18,287       

the county treasurer pursuant to section 319.311 of the Revised    18,288       

Code, for all school districts located in the county,              18,289       

notwithstanding the provision in section 319.311 of the Revised    18,290       

Code which provides for payment of the $10,000 tangible personal   18,291       

property tax exemption by the Tax Commissioner to the appropriate  18,292       

county treasurer for all local taxing districts located in the     18,293       

county.  Pursuant to division (G) of section 321.24 of the         18,294       

Revised Code, the county auditor shall distribute the amount paid               

by the Department of Education among the appropriate school        18,296       

districts.                                                                      

      Upon receipt of these amounts, each school district shall    18,298       

distribute the amount among the proper funds as if it had been     18,299       

paid as real or tangible personal property taxes.  Payments for    18,300       

the costs of administration shall continue to be paid to the       18,301       

county treasurer and county auditor as provided for in sections    18,302       

319.54, 321.26, and 323.156 of the Revised Code.                                

      Any sums, in addition to the amounts specifically            18,304       

appropriated in appropriation items 200-901, Property Tax          18,306       

Allocation - Education, for the homestead exemption and the        18,307       

property tax rollback payments, and 200-906, Tangible Tax                       

Exemption - Education, for the $10,000 tangible personal property  18,308       

tax exemption payments, which are determined to be necessary for   18,309       

these purposes, are hereby appropriated.                           18,310       

                                                          379    


                                                                 
      Section 15.  Personal Service Expenses                       18,312       

      Unless otherwise prohibited by law, each appropriation in    18,314       

this act from which personal service expenses are paid shall bear  18,315       

the employer's share of public employees' retirement, workers'     18,316       

compensation, disabled workers' relief, and all group insurance    18,317       

programs; the costs of centralized accounting, centralized         18,318       

payroll processing, and related personnel reports and services;    18,319       

the cost of the Office of Collective Bargaining; the cost of the   18,320       

Personnel Board of Review; the cost of the Employee Assistance     18,321       

Program; the cost of the Equal Opportunity Center; the costs of    18,322       

interagency management infrastructure and the cost of              18,324       

administering the state employee merit system as required by                    

section 124.07 of the Revised Code.  Such costs shall be           18,325       

determined in conformity with appropriate sections of law and      18,326       

paid in accordance with procedures specified by the Office of      18,327       

Budget and Management.                                             18,328       

      Section 16.  Satisfaction of Judgments and Settlements       18,330       

Against the State                                                  18,331       

      An appropriation contained in this act may be used for the   18,333       

purpose of satisfying judgments or settlements in connection with  18,334       

civil actions against the state in federal court not barred by     18,335       

sovereign immunity or the Eleventh Amendment to the Constitution   18,336       

of the United States, or for the purpose of satisfying judgments,  18,337       

settlements, or administrative awards ordered or approved by the   18,338       

Court of Claims in connection with civil actions against the                    

state, pursuant to section 2743.15, 2743.19, or 2743.191 of the    18,339       

Revised Code.  This authorization shall not apply to               18,340       

appropriations to be applied to or used for payment of guarantees  18,341       

by or on behalf of the state, for or relating to lease payments    18,342       

or debt service on bonds, notes, or similar obligations and those  18,343       

from the School Building Program Assistance Fund (Fund 032), and                

any other fund into which proceeds of obligations are deposited.   18,345       

Nothing contained in this section is intended to subject the                    

state to suit in any forum in which it is not otherwise subject    18,346       

                                                          380    


                                                                 
to suit, nor is it intended to waive or compromise any defense or  18,347       

right available to the state in any suit against it.               18,348       

      Section 17.  (A)  As used in this section:                   18,350       

      (1)  "FY 1999 state aid" means the total amount of state     18,352       

money received by a joint vocational school district under the     18,353       

version of sections 3317.16 and 3317.162 of the Revised Code in    18,354       

effect for that fiscal year, minus the amounts paid for driver     18,355       

education and adult education.                                                  

      (2)  "FY 2000 state aid," "FY 2001 state aid," and "FY 2002  18,358       

state aid" mean the total amount of state money received by a      18,359       

joint vocational school district in the applicable fiscal year     18,360       

under divisions (B) to (D) of the version of section 3317.16 of    18,362       

the Revised Code in effect for the applicable fiscal year.         18,363       

      (3)  "FY 2000 actual aid" and "FY 2001 actual aid" mean the  18,366       

amount of state aid described in division (A)(2) of this section   18,367       

that was actually paid to a joint vocational school district in    18,368       

the applicable fiscal year after the application of division (B)   18,369       

or (C) of this section.                                            18,370       

      (4)  "Formula ADM" has the same meaning as in section        18,372       

3317.02 of the Revised Code.                                       18,373       

      (5)  "FY 1999 ADM" means the average daily membership        18,375       

certified by the joint vocational school district for fiscal year  18,377       

1999 under division (D) of the version of section 3317.03 of the   18,378       

Revised Code in effect for that year.                              18,379       

      (B)  In fiscal year 2000, notwithstanding any provision of   18,381       

law to the contrary, no joint vocational school district shall     18,382       

receive FY 2000 state aid that is more than the greater of the     18,383       

following:                                                                      

      (1)  110% of its FY 1999 state aid;                          18,385       

      (2)  [1.08 X (FY 1999 state aid/FY 1999 ADM)< X fiscal year  18,389       

2000 formula ADM.                                                  18,390       

      If a joint vocational school district's projected FY 2000    18,392       

state aid is more than the greater of division (B)(1) or (2) of    18,393       

this section, the district shall receive only the greater of       18,394       

                                                          381    


                                                                 
division (B)(1) or (2) of this section in fiscal year 2000.        18,395       

      (C)  In fiscal year 2001, notwithstanding any provision of   18,397       

law to the contrary, no joint vocational school district shall     18,398       

receive FY 2001 state aid that is more than the greater of the     18,399       

following:                                                                      

      (1)  110% of its FY 2000 actual aid;                         18,401       

      (2)  [1.08 X (FY 2000 actual aid/fiscal year 2000 formula    18,403       

ADM)< X fiscal year 2001 formula ADM.                              18,405       

      If a joint vocational school district's projected FY 2001    18,407       

state aid is more than the greater of division (C)(1) or (2) of    18,408       

this section, the district shall receive only the greater of       18,409       

division (C)(1) or (2) of this section in fiscal year 2001.        18,410       

      (D)  In fiscal year 2002, notwithstanding any provision of   18,412       

law to the contrary, no joint vocational school district shall     18,413       

receive FY 2002 state aid that is more than the greater of the     18,414       

following:                                                                      

      (1)  110% of its FY 2001 state aid;                          18,416       

      (2)  [1.08 X (FY 2001 actual aid/fiscal year 2001 formula    18,418       

ADM)< X fiscal year 2002 formula ADM.                              18,420       

      If a joint vocational school district's projected FY 2002    18,422       

state aid is more than the greater of division (D)(1) or (2) of    18,423       

this section, the district shall receive only the greater of       18,424       

division (D)(1) or (2) of this section in fiscal year 2002.        18,425       

      Section 18.  Lease Payments to OPFC, OBA, and Treasurer      18,427       

      Certain appropriations are in this act for the purpose of    18,429       

lease payments to the Ohio Public Facilities Commission, to the    18,431       

Ohio Building Authority, and to the Treasurer of State for the                  

purpose of paying principal and interest on bonds or notes issued  18,434       

by the Ohio Public Facilities Commission, the Ohio Building        18,435       

Authority, or the Treasurer of State pursuant to the Ohio          18,438       

Constitution and acts of the General Assembly.  If it is                        

determined that additional appropriations are necessary for this   18,439       

purpose, such amounts are hereby appropriated.                     18,440       

      Section 19.  That Section 45.32 of Am. Sub. H.B. 117 of the  18,442       

                                                          382    


                                                                 
121st General Assembly, as amended by Am. Sub. H.B. 215 and Am.    18,443       

Sub. H.B. 770 of the 122nd General Assembly, be amended to read    18,445       

as follows:                                                                     

      "Sec. 45.32.  (A)  As used in this section:                  18,447       

      (1)  A "client district" of an educational service center    18,449       

means a city or exempted village school district that has entered  18,450       

into an agreement with that service center pursuant to section     18,451       

3313.843 of the Revised Code.                                      18,452       

      "CLIENT DISTRICT" ALSO INCLUDES ANY CITY OR EXEMPTED         18,454       

VILLAGE SCHOOL DISTRICT THAT HAS ENTERED INTO AN AGREEMENT WITH    18,456       

THE EDUCATIONAL SERVICE CENTER UNDER SECTION 3313.843 OF THE       18,457       

REVISED CODE AND REIMBURSES THE EDUCATIONAL SERVICE CENTER UNDER                

SECTION 3317.11 OF THE REVISED CODE EVEN THOUGH SUCH AGREEMENT     18,458       

WAS EXECUTED AFTER JANUARY 1, 1997, AND THE EDUCATIONAL SERVICE    18,459       

CENTER DOES NOT RECEIVE ANY STATE FUNDING UNDER DIVISION (B)(1)    18,460       

OR (C) OF SECTION 3317.11 OF THE REVISED CODE.                     18,461       

      (2)  "ADM" means the combined ADM of the local school        18,463       

districts having territory in a service center and the ADM of      18,465       

each client district of such center.                               18,466       

      (B)  By June 1, 1997, in the case of any educational         18,468       

service centers that are serving only one local district pursuant  18,470       

to section 3311.051 of the Revised Code; except as otherwise                    

provided in division (C) of this section, by June 1, 1999, in the  18,472       

case of any service centers with ADMs of less than 8,000 that      18,473       

serve fewer than six local or client school districts; and by                   

June 1, 2000, in the case of any educational service centers with  18,475       

ADMs of less than 8,000 that serve six or more local or client     18,476       

school districts, the superintendents of such service centers      18,477       

shall notify the Superintendent of Public Instruction of the name  18,479       

of one or more adjacent educational service centers with which     18,480       

such service centers will merge to form joint service centers.                  

If the Superintendent does not receive such notification from a    18,481       

center serving only one local district or serving an ADM of less   18,482       

than 8,000 by the required date, the Superintendent shall          18,483       

                                                          383    


                                                                 
determine one or more suitable adjacent centers for such merger    18,484       

and shall notify the superintendents and governing boards of all   18,485       

centers involved of the determination.  The centers named in the   18,486       

notification required by this section or determined by the         18,487       

Superintendent of Public Instruction pursuant to this section      18,488       

shall form a joint center pursuant to section 3311.053 of the      18,489       

Revised Code, which shall be effective on the first day of July    18,490       

immediately following notification by the service center, or by    18,491       

the Superintendent of Public Instruction, whichever applies.       18,492       

      (C)  Any educational service center created on or before     18,495       

July 1, 1997, under a merger of two educational service centers    18,496       

pursuant to Section 45.32 of Am. Sub. H.B. 117 of the 121st        18,497       

General Assembly, which service centers each contained only one    18,498       

local school district at the time of the merger shall comply with  18,500       

division (B) of this section by June 1, 2000."                     18,501       

      Section 20.  That existing Section 45.32 of Am. Sub. H.B.    18,503       

117 of the 121st General Assembly, as amended by Am. Sub. H.B.     18,504       

215 and Am. Sub. H.B. 770 of the 122nd General Assembly, is        18,505       

hereby repealed.                                                   18,506       

      Section 21.  That Section 50.52.2 of Am. Sub. H.B. 215 of    18,508       

the 122nd General Assembly be amended to read as follows:          18,509       

      "Sec. 50.52.2.  (A)  As used in this section:                18,511       

      (1)  "Lucas County area" includes the entire territory of    18,514       

any school district having the majority of its territory in Lucas  18,515       

County.                                                                         

      (2)  "Start-up school" means a community school other than   18,517       

one created by converting all or part of an existing public        18,518       

school, as designated in the school's contract pursuant to         18,519       

division (P) of Subsection 5 of this section.                      18,520       

      (B)  The General Assembly finds that the establishment of    18,522       

independent community schools throughout the state has potential   18,523       

desirable effects, including providing parents a choice of         18,524       

academic environments for their children and providing the         18,525       

education community with the opportunity to establish limited      18,526       

                                                          384    


                                                                 
experimental educational programs in a deregulated setting.        18,527       

However, the potential effects of a statewide system of community  18,529       

schools could also generate some adverse results.  Therefore, the  18,530       

General Assembly finds it advisable to establish a pilot project   18,531       

in the Lucas County area which will permit the operation of        18,532       

community schools in a limited area of the state in order to       18,533       

provide for the evaluation and measurement of the effects of       18,534       

these schools.                                                                  

      No more than twenty start-up school contracts may be in      18,537       

effect at any time under this section.  The Superintendent of the  18,539       

Lucas County Educational Service Center shall be responsible for   18,540       

ensuring that the twenty start-up schools represent diverse                     

educational missions, are intended to serve a number of different  18,542       

grade levels, and will appeal to students with a variety of        18,543       

interests or characteristics in order to provide for a range of    18,544       

educational experiments within the pilot project schools.  Upon    18,545       

entering into a preliminary agreement pursuant to Subsection 4 of  18,546       

this section, the potential sponsor of a community school shall    18,547       

file a copy of the preliminary agreement with the Superintendent   18,548       

of the Lucas County Educational Service Center.  Within            18,549       

twenty-four hours of receipt of the preliminary agreement for a    18,550       

start-up school, the Superintendent shall determine whether the    18,551       

proposed school will add to the diversity of the pilot project     18,552       

schools through offering a unique educational mission, serving     18,553       

grade levels of students or students with certain characteristics  18,554       

or interests not yet being served by other community schools, or   18,555       

offering innovative instructional methods.  If the school will     18,556       

not add to the diversity of the pilot project schools and would    18,557       

be overserving students of a certain type or grade level, the      18,558       

Superintendent may reject the school's preliminary agreement and   18,559       

shall immediately notify the sponsor and the proposing group or    18,560       

individual.  Upon entering into a community school contract, the   18,562       

sponsor shall file a copy of the approved contract with that       18,563       

Superintendent.  Within twenty-four hours of the filing of the     18,564       

                                                          385    


                                                                 
contract, the Superintendent shall notify the sponsor whether      18,565       

twenty start-up school contracts were already in effect at the     18,566       

time of the filing.  If twenty such contracts were in effect, the  18,567       

contract filed by the sponsor shall be voided.                     18,568       

      Within twenty-four hours of a request of any person, the     18,570       

Superintendent shall indicate the number of preliminary            18,571       

agreements for start-up schools currently outstanding and the      18,572       

number of contracts currently in effect.                           18,573       

      (C)  No start-up or converted community school shall begin   18,575       

operation under this section after June 30, 2000.                  18,576       

      (D)  Not later than September 28, 1997, the Director of the  18,578       

Legislative Office of Education Oversight, in consultation with    18,579       

the Superintendent of the Lucas County Educational Service         18,580       

Center, a classroom teacher appointed by the board of the Ohio     18,581       

Education Association, a classroom teacher appointed by the board  18,582       

of the Ohio Federation of Teachers, and a classroom teacher who    18,583       

is a member of neither of these organizations selected by that     18,584       

Superintendent, shall develop a study design for the evaluation    18,585       

of the pilot project COMMUNITY schools and the overall effects of  18,587       

the community school pilot project SCHOOLS.  The study design      18,588       

shall include the criteria that the Office will use to determine   18,589       

the positive and negative effects of the project SCHOOLS overall,  18,590       

and the success or failure of individual community schools.  The   18,592       

design shall include a description of the data that must be        18,593       

collected by the Superintendent and by each community school and   18,594       

sponsor and a timeline for the collection of the data.  The        18,595       

director shall adapt the study design prepared under this          18,596       

subsection for use in evaluating community schools established     18,597       

under Chapter 3314. of the Revised Code, as well as the Lucas      18,598       

County pilot project community schools.  The office shall notify   18,599       

each community school of the data that must be collected and the   18,600       

timeline for collection of the data.  Data shall be collected at   18,601       

regular intervals, but no evaluation of the results of data        18,602       

collected shall be made by the Office prior to June 2001.  A       18,603       

                                                          386    


                                                                 
preliminary report, together with any recommendations to improve   18,604       

community schools, shall be issued to the Speaker of the House of  18,605       

Representatives and the President of the Senate by June 30, 2001.  18,606       

A final report, with recommendations as to the future of           18,607       

community schools in Ohio, shall be made to the Speaker and        18,608       

President by June 1, 2003."                                                     

      Section 22.  That existing Section 50.52.2 of Am. Sub. H.B.  18,610       

215 of the 122nd General Assembly is hereby repealed.              18,611       

      Section 23.  That Section 18 of Am. Sub. H.B. 650 of the     18,613       

122nd General Assembly, as most recently amended by Am. Sub. H.B.  18,614       

850 of the 122nd General Assembly, be amended to read as follows:  18,615       

      "Sec. 18.  (A)  As used in this section:                     18,617       

      (1)  "FY 1998 state aid" means the total amount of state     18,619       

money received by a school district for fiscal year 1998 as        18,621       

reported on the Department of Education's form "SF-12," adjusted   18,622       

as follows:                                                        18,623       

      (a)  Minus any amounts for approved preschool handicapped    18,626       

units;                                                                          

      (b)  Minus any additional amount attributable to the         18,629       

reappraisal guarantee of division (C) of section 3317.04 of the    18,630       

Revised Code;                                                                   

      (c)  Plus the amount deducted for payments to an             18,632       

educational service center;                                        18,633       

      (d)  Plus an estimated portion of the state money            18,635       

distributed in fiscal year 1998 to other school districts or       18,636       

educational service centers for approved units, other than         18,637       

preschool handicapped or gifted education units, attributable to   18,638       

the costs of providing services in those units to students         18,639       

entitled to attend school in the district;                         18,640       

      (e)  Minus an estimated portion of the state money           18,642       

distributed to the school district in fiscal year 1998 for         18,643       

approved units, other than preschool handicapped units or gifted   18,644       

education units, attributable to the costs of providing services   18,645       

in those units to students entitled to attend school in another    18,646       

                                                          387    


                                                                 
school district;                                                   18,647       

      (f)  Plus any additional amount paid pursuant to the         18,650       

vocational education recomputation required by former Section      18,651       

50.22 of Am. Sub. H.B. No. 215 of the 122nd General Assembly;      18,653       

      (g)  Plus any additional amount paid pursuant to the         18,656       

special education recomputation required by former division (I)    18,657       

of section 3317.023 of the Revised Code;                           18,658       

      (h)  Plus any amount paid for equity aid under section       18,661       

3317.0213 of the Revised Code;                                                  

      (i)  Plus any amount received for that year pursuant to      18,663       

section 3317.027 of the Revised Code;                              18,664       

      (j)  Plus any amount received for that year pursuant to a    18,666       

recomputation made under division (B) of section 3317.022 of the   18,667       

Revised Code.                                                                   

      (2)  "FY 1999 state aid," MEANS "FY 1999 STATE AID" AS       18,670       

DEFINED IN THE VERSION OF THIS SECTION IN EFFECT FOR FISCAL YEAR                

1999.                                                                           

      (3)  "FY 2000 state aid," "FY 2001 state aid," and "FY 2002  18,675       

state aid" mean the total amount of state money a school district  18,676       

is eligible to receive for the applicable fiscal year under        18,677       

divisions (A), (B), (C)(1) AND (5), and (D), AND (E) of section    18,679       

3317.022 and sections 3317.025, 3317.027, 3317.029, 3317.0212,     18,681       

and 3317.0213 of the Revised Code, plus any amount for which the   18,682       

district is eligible pursuant to division (C) of section           18,684       

3317.023, divisions (G) and (P) of section 3317.024, and THE       18,686       

SUPPLEMENTAL UNIT ALLOWANCE PAID FOR GIFTED UNITS UNDER division   18,687       

(B) of section 3317.162 of the Revised Code, and prior to any      18,688       

deductions or credits required by division (B), (D), (E), (F),     18,689       

(G), (H), (I), (J), or (K) of section 3317.023 or division (J) of  18,691       

section 3317.029 of the Revised Code.                              18,692       

      (3)(4)  "ADJUSTED FY 1999 actual aid," MEANS FY 1999 STATE   18,695       

AID THAT WAS ACTUALLY PAID TO A SCHOOL DISTRICT AFTER THE          18,696       

APPLICATION OF DIVISION (B) OF THIS SECTION, PLUS AN APPROPRIATE   18,697       

PROPORTION, AS DETERMINED BY THE DEPARTMENT OF EDUCATION, OF THE   18,698       

                                                          388    


                                                                 
AMOUNT RECEIVED BY THE SCHOOL DISTRICT IN FISCAL YEAR 1999 FROM                 

THE VOCATIONAL EDUCATION SET-ASIDE, AS DEFINED IN SECTION          18,699       

3317.0212 OF THE REVISED CODE AND ATRTIBUTABLE TO THE DISTRICT'S   18,700       

STUDENTS.                                                                       

      (5)  "FY 2000 actual aid," AND "FY 2001 actual aid," and     18,705       

"FY 2002 actual aid" means MEAN the amount of the state aid        18,706       

described in division (A)(2)(3) of this section that was actually  18,708       

paid to a school district in the applicable fiscal year after the  18,710       

application of divisions (B)(C) to (E) of this section.                         

      (4)(6)  "FY 1998 ADM," "formula ADM," and "three-year        18,713       

average formula ADM" have the meanings prescribed in section       18,714       

3317.02 of the Revised Code.                                       18,715       

      (5)(7)  "All-day kindergarten" has the meaning prescribed    18,717       

in section 3317.029 of the Revised Code.                           18,718       

      (8)  "SCHOOL DISTRICT" MEANS A CITY, LOCAL, OR EXEMPTED      18,720       

VILLAGE SCHOOL DISTRICT.                                           18,721       

      (B)  In fiscal year 1999, notwithstanding any provision of   18,724       

law to the contrary, no school district shall receive FY 1999                   

state aid that is more than the greater of the following:          18,726       

      (1)  110 per cent of FY 1998 state aid;                      18,728       

      (2)  [1.06 X (FY 1998 state aid/FY 1998 ADM)< X the greater  18,731       

of fiscal year 1999 formula ADM or three-year average formula      18,732       

ADM.                                                                            

      If a district's projected FY 1999 state aid is more than     18,734       

the greater of division (B)(1) or (2) of this section, such        18,736       

district shall receive only the greater of division (B)(1) or (2)  18,738       

of this section in fiscal year 1999.                               18,739       

      (C)  In fiscal year 2000, notwithstanding any provision of   18,742       

law to the contrary, no school district shall receive FY 2000                   

state aid that is more than the greater of the following:          18,743       

      (1)  110 per cent of ADJUSTED FY 1999 actual aid;            18,745       

      (2)  [1.06 1.08 X (ADJUSTED FY 1999 actual aid/fiscal year   18,748       

1999 formula ADM)< X the greater of fiscal year 2000 formula ADM   18,751       

or three-year average formula ADM.                                              

                                                          389    


                                                                 
      If a district's projected FY 2000 state aid is more than     18,753       

the greater of division (C)(1) or (2) of this section, such        18,754       

district shall receive only the greater of division (C)(1) or (2)  18,756       

of this section in fiscal year 2000.                               18,757       

      (D)  In fiscal year 2001, notwithstanding any provision of   18,760       

law to the contrary, no school district shall receive FY 2001                   

state aid that is more than the greater of the following:          18,761       

      (1)  110 per cent of FY 2000 actual aid;                     18,764       

      (2)  [1.06 1.08 X (FY 2000 actual aid/fiscal year 2000       18,767       

formula ADM)< X the greater of fiscal year 2001 formula ADM or     18,769       

three-year average formula ADM.                                                 

      If a district's projected FY 2001 state aid is more than     18,771       

the greater of division (D)(1) or (2) of this section, such        18,773       

district shall receive only the greater of division (D)(1) or (2)  18,776       

of this section in fiscal year 2001.                                            

      (E)  In fiscal year 2002, notwithstanding any provision of   18,779       

law to the contrary, no school district shall receive FY 2002                   

state aid that is more than the greater of the following:          18,780       

      (1)  110 per cent of FY 2001 actual aid;                     18,783       

      (2)  [1.06 1.08 X (FY 2001 actual aid/fiscal year 2001       18,786       

formula ADM)< X the greater of fiscal year 2002 formula ADM or     18,788       

three-year average formula ADM.                                                 

      If a district's projected FY 2002 state aid is more than     18,790       

the greater of division (E)(1) or (2) of this section, such        18,792       

district shall receive only the greater of division (E)(1) or (2)  18,794       

of this section in fiscal year 2002.                               18,795       

      (F)  This division and division (G) of this section apply    18,797       

only to districts subject to division (F) of section 3317.029 of   18,798       

the Revised Code.  As used in this division and division (G) of    18,800       

this section:                                                                   

      (1)  "Capped district" means a district that pursuant to     18,802       

division (B), (C), (D), or (E) of this section will not receive    18,804       

the full amount of FY 1999, FY 2000, FY 2001, or FY 2002 state     18,805       

aid.                                                                            

                                                          390    


                                                                 
      (2)  "DPIA funds" means:                                     18,807       

      (a)  In FY 1998, the amount calculated for the district      18,809       

pursuant to division (B) of section 3317.023 of the Revised Code   18,810       

as it existed in that fiscal year;                                 18,811       

      (b)  In any fiscal year after FY 1998, the total amount      18,813       

calculated for the district for that fiscal year pursuant to       18,814       

section 3317.029 of the Revised Code.                              18,815       

      (3)  "Exempt DPIA portion" means:                            18,817       

      (a)  In the case of any district other than a capped         18,819       

district, an amount equal to zero;                                 18,820       

      (b)  In the case of a capped district, the amount resulting  18,822       

from the application of the following formula:                     18,823       

              (The district's DPIA funds for the year of           18,825       

         the calculation minus the district's DPIA funds for       18,826       

        FY 1998) minus (the district's actual aid for the year     18,827       

      of the calculation minus the district's FY 1998 state aid)   18,828       

      However, if this formula produces a negative number, the     18,830       

district's exempt DPIA portion is zero.                            18,831       

      (4)  "Required all-day kindergarten" for a district means    18,833       

the provision of all-day kindergarten to the number of students    18,834       

in the district's kindergarten percentage specified pursuant to    18,835       

division (H)(1) of section 3317.029 of the Revised Code.           18,836       

      (G)  Notwithstanding any provision of law to the contrary:   18,838       

      (1)  In the case of any district, the district's DPIA funds  18,840       

are hereby deemed to first consist of any disadvantaged pupil      18,841       

impact aid calculated for the district for all-day kindergarten    18,842       

under division (D) of section 3317.029 of the Revised Code, and    18,843       

to next consist of any disadvantaged pupil impact aid calculated   18,844       

for the district under divisions (C) and (E) of section 3317.029   18,845       

of the Revised Code.  Each district shall expend whatever funds    18,846       

necessary to ensure provision of its required all-day                           

kindergarten.                                                      18,847       

      (2)  In FY 1999, a district shall expend for the purposes    18,849       

of section 3317.029 of the Revised Code an amount equal to at      18,850       

                                                          391    


                                                                 
least twenty-five per cent of the resultant derived from           18,851       

subtracting the district's exempt DPIA portion from the amount     18,852       

calculated for the district under divisions (C) and (E) of         18,853       

section 3317.029 of the Revised Code.                                           

      (3)  In FY 2000, a district shall expend for the purposes    18,855       

of section 3317.029 of the Revised Code an amount equal to at      18,856       

least fifty per cent of the resultant derived from subtracting     18,857       

the district's exempt DPIA portion from the amount calculated for  18,858       

the district under divisions (C) and (E) of section 3317.029 of    18,859       

the Revised Code.                                                               

      (4)  In FY 2001, a district shall expend for the purposes    18,861       

of section 3317.029 of the Revised Code an amount equal to at      18,862       

least seventy-five per cent of the resultant derived from          18,863       

subtracting the district's exempt DPIA portion from the amount     18,864       

calculated for the district under divisions (C) and (E) of         18,865       

section 3317.029 of the Revised Code.                                           

      (5)  In FY 2002 and thereafter, a district shall expend one  18,867       

hundred per cent of its DPIA funds for the purposes of section     18,868       

3317.029 of the Revised Code.                                      18,869       

      (6)  Districts shall comply with the requirements of         18,871       

division (G) of section 3317.029 of the Revised Code."             18,872       

      Section 24.  That existing Section 18 of Am. Sub. H.B. 650   18,874       

of the 122nd General Assembly, as most recently amended by Am.     18,875       

Sub. H.B. 850 of the 122nd General Assembly, is hereby repealed.   18,876       

      Section 25.  That Sections 6, 30.07, 30.10, 30.43, and 31    18,878       

of Am. Sub. H.B. 850 of the 122nd General Assembly be amended to   18,881       

read as follows:                                                                

      "Sec. 6.  The items set forth in this section are hereby     18,883       

appropriated out of any moneys in the state treasury to the        18,884       

credit of the Public School Building Fund (Fund 021), which are    18,885       

not otherwise appropriated.  Appropriations                        18,886       

                                                   APPROPRIATIONS  18,887       

                SFC  SCHOOL FACILITIES COMMISSION                  18,888       

CAP-622  Public School Buildings                $  145,000,000     18,891       

                                                          392    


                                                                 
CAP-777  Disability Access Projects             $    5,000,000     18,893       

Total School Facilities Commission              $  150,000,000     18,895       

Total Public School Building Fund               $  150,000,000     18,897       

      DISABILITY ACCESS PROJECTS                                   18,901       

      THE FOREGOING APPROPRIATION ITEM CAP-777, DISABILITY ACCESS  18,904       

PROJECTS, SHALL BE USED TO FUND CAPITAL PROJECTS PURSUANT TO THIS  18,905       

SECTION THAT MAKE BUILDINGS MORE ACCESSIBLE TO STUDENTS WITH                    

DISABILITIES.                                                      18,906       

      (A)  AS USED IN THIS SECTION:                                18,908       

      (1)  "PERCENTILE" MEANS THE PERCENTILE IN WHICH A SCHOOL     18,910       

DISTRICT IS RANKED ACCORDING TO THE FISCAL YEAR 1998 RANKING OF    18,911       

SCHOOL DISTRICTS WITH REGARD TO INCOME AND PROPERTY WEALTH UNDER   18,912       

DIVISION (B) OF SECTION 3318.011 OF THE REVISED CODE.              18,913       

      (2)  "SCHOOL DISTRICT" MEANS A CITY, LOCAL, OR EXEMPTED      18,915       

VILLAGE SCHOOL DISTRICT, BUT EXCLUDING A SCHOOL DISTRICT THAT IS   18,916       

ONE OF THE STATE'S 21 URBAN SCHOOL DISTRICTS AS DEFINED IN         18,917       

DIVISION (O) OF SECTION 3317.02 OF THE REVISED CODE, AS THAT       18,918       

SECTION EXISTED PRIOR TO JULY 1, 1998.                                          

      (3)  "VALUATION PER PUPIL" MEANS A DISTRICT'S TOTAL TAXABLE  18,920       

VALUE AS DEFINED IN SECTION 3317.02 OF THE REVISED CODE DIVIDED    18,921       

BY THE DISTRICT'S ADM AS DEFINED IN DIVISION (A) OF SECTION        18,922       

3317.02 OF THE REVISED CODE AS THAT SECTION EXISTED PRIOR TO JULY  18,923       

1, 1998.                                                                        

      (B)  THE SCHOOL FACILITIES COMMISSION SHALL ADOPT RULES FOR  18,926       

AWARDING GRANTS TO SCHOOL DISTRICTS WITH A VALUATION PER PUPIL     18,927       

LESS THAN $200,000, TO BE USED FOR CONSTRUCTION, RECONSTRUCTION,                

OR RENOVATION PROJECTS IN CLASSROOM FACILITIES, THE PURPOSE OF     18,928       

WHICH IS TO IMPROVE ACCESS TO SUCH FACILITIES BY PHYSICALLY        18,929       

HANDICAPPED PERSONS.  THE RULES SHALL INCLUDE APPLICATION          18,930       

PROCEDURES.  NO SCHOOL DISTRICT SHALL BE AWARDED A GRANT UNDER     18,931       

THIS SECTION IN EXCESS OF $100,000.  IN ADDITION, ANY SCHOOL       18,932       

DISTRICT SHALL BE REQUIRED TO PAY A PERCENTAGE OF THE COST OF THE  18,933       

PROJECT FOR WHICH THE GRANT IS BEING AWARDED EQUAL TO THE          18,934       

PERCENTILE IN WHICH THE DISTRICT IS SO RANKED.                                  

                                                          393    


                                                                 
      Sec. 30.07.  Reimbursements for Project Costs                18,936       

      Appropriations made in Sections 30.02 to 30.06 30.45 of      18,938       

this act AM. SUB. H.B. 850 OF THE 122nd GENERAL ASSEMBLY for       18,942       

purposes of costs of capital facilities for the interim financing  18,943       

of which the particular institution has previously issued its own  18,944       

obligations anticipating the possibility of future state           18,945       

appropriations to pay all or a portion of such costs, as           18,946       

contemplated in division (B) of section 3345.12 of the Revised                  

Code, shall be paid directly to the institution or the paying      18,947       

agent for those outstanding obligations in the full principal      18,948       

amount of those obligations then to be paid from the anticipated   18,949       

appropriation, and shall be timely applied to the retirement of a  18,950       

like principal amount of the institutional obligations.                         

      Appropriations made in Sections 30.02 to 30.06 30.45 of      18,952       

this act AM. SUB. H.B. 850 OF THE 122nd GENERAL ASSEMBLY for       18,956       

purposes of costs of capital facilities, all or a portion of       18,957       

which costs the particular institution has paid from the           18,958       

institution's moneys that were temporarily available and which     18,959       

payments were reasonably expected to be reimbursed from the        18,960       

proceeds of obligations issued by the state, shall be directly                  

paid to the institution in the full amounts of those payments,     18,962       

and shall be timely applied to the reimbursement of those          18,963       

temporarily available moneys.                                                   

      Sec. 30.10.  CSU  CENTRAL STATE UNIVERSITY                   18,965       

CAP-022  Basic Renovations                      $      804,400     18,968       

CAP-083  Master Plan/Supplemental Renovations   $    2,449,400     18,970       

CAP-084  College of Education Facility -                           18,971       

         Planning                               $    1,000,000     18,972       

Total Central State University                  $    4,253,800     18,974       

      College of Education Facility - Planning                     18,977       

      The foregoing appropriation item CAP-084, College of         18,979       

Education Facility - Planning, shall not be released by the        18,981       

Controlling Board or the Director of Budget and Management until   18,982       

Central State University has satisfactorily completed a            18,983       

                                                          394    


                                                                 
Campus-wide Master Plan, and has made progress satisfactory to                  

the Board of Regents and the Office of Budget and Management in    18,985       

completing the correction of its outstanding adjudication orders   18,986       

as issued by the Department of Commerce.  Such progress shall      18,987       

include the development of a plan to comply with all remaining     18,988       

adjudication orders by the end of fiscal year 2000.  This                       

appropriation shall not be included in the calculation of Central  18,989       

State University's debt service obligation until fiscal year       18,990       

2002.                                                                           

      Sec. 30.43.  MAT  MUSKINGUM AREA TECHNICAL COLLEGE           18,992       

CAP-007  Basic Renovations                      $      203,491     18,995       

CAP-014  REGIONAL TECHNOLOGY TRAINING CENTER    $    1,961,290     18,999       

Total Muskingum Area Technical College          $      203,491     19,001       

                                                     2,164,781     19,002       

      Sec. 31.  Debt Service Formula Allocation                    19,005       

      Based on the foregoing appropriations in Sections 30 and     19,007       

30.01 to 30.45 of this act AM. SUB. H.B. 850 OF THE 122nd GENERAL  19,009       

ASSEMBLY, from Fund 034, Higher Education Improvement Fund, the    19,010       

following higher education institutions shall be responsible for   19,011       

the specified amounts as part of the debt service component of     19,013       

the instructional subsidy beginning in fiscal year 2000:                        

     Institution                                        Amount     19,015       

University of Akron                                  $10,800,000   19,016       

University of Akron - Wayne                          $   675,000   19,017       

Bowling Green State University                       $14,013,310   19,018       

Bowling Green State University - Firelands           $ 2,056,440   19,019       

Central State University                             $ 2,449,400   19,020       

University of Cincinnati                             $39,386,650   19,021       

University of Cincinnati - Walters                   $ 3,445,212   19,022       

Cleveland State University                           $16,719,670   19,023       

Kent State University                                $17,644,310   19,024       

Kent State University - Ashtabula                    $   575,000   19,025       

Kent State University - East Liverpool               $   570,980   19,026       

Kent State University - Geauga                       $    60,000   19,027       

                                                          395    


                                                                 
Kent State University - Salem                        $   288,310   19,028       

Kent State University - Stark                        $ 1,743,360   19,029       

Kent State University - Trumbull                     $   175,000   19,030       

Kent State University - Tuscarawas                   $    75,000   19,031       

Miami University                                     $18,400,000   19,032       

                                                      17,400,000   19,033       

Miami University - Hamilton                          $   969,540   19,034       

Miami University - Middletown                        $ 1,568,330   19,035       

Ohio State University                                $80,760,310   19,036       

                                                      77,760,310   19,037       

Ohio State University - Lima                          $2,152,620   19,038       

                                                       1,118,330   19,039       

Ohio State University - Mansfield                    $   850,000   19,040       

Ohio State University - Marion                       $   408,000   19,041       

Ohio State University - ATI                          $ 1,560,000   19,042       

Ohio University                                      $26,700,280   19,043       

                                                      21,700,280   19,044       

Ohio University - Eastern                            $   398,040   19,045       

Ohio University - Chillicothe                        $   953,030   19,046       

Ohio University - Lancaster                          $ 1,116,760   19,047       

Ohio University - Zanesville                         $ 1,136,920   19,048       

Shawnee State University                             $ 1,751,500   19,049       

University of Toledo                                 $19,800,000   19,050       

Wright State University                              $11,300,000   19,051       

Youngstown State University                          $ 9,200,000   19,052       

Medical College of Ohio                              $ 5,442,150   19,053       

Northeastern Ohio Universities College of Medicine    $3,425,580   19,055       

                                                       3,443,313   19,056       

Cincinnati State Technical and Community College     $ 1,036,000   19,057       

Columbus State Community College                     $ 1,500,000   19,058       

Cuyahoga Community College                           $ 6,800,000   19,059       

Edison State Community College                       $    50,000   19,060       

Jefferson Community College                          $   817,165   19,061       

Lakeland Community College                           $ 3,165,340   19,062       

                                                          396    


                                                                 
Lorain Community College                             $   100,000   19,063       

Owens Community College                              $ 3,747,260   19,064       

Rio Grande Community College                         $   636,000   19,065       

Hocking Technical College                            $ 2,924,325   19,066       

Lima Technical College                               $   900,000   19,067       

Marion Technical College                             $    52,700   19,068       

MUSKINGUM AREA TECHNICAL COLLEGE                     $   196,129   19,070       

North Central Technical College                      $   750,000   19,071       

Stark Technical College                              $ 1,253,252   19,072       

      Institutions not listed above shall not have a debt service  19,075       

obligation as a result of these appropriations.                    19,076       

      Within sixty days after the effective date of this section   19,078       

NOT LATER THAN MAY 17, 1999, any institution of higher education   19,080       

may notify the Board of Regents of its intention not to proceed    19,081       

with any project appropriated in this act AM. SUB. H.B. OF THE     19,082       

122nd GENERAL ASSEMBLY.  Upon receiving such notification, the     19,084       

Board of Regents may release the institution from its debt                      

service obligation for the specific project."                      19,085       

      Section 26.  That existing Sections 6, 30.07, 30.10, 30.43,  19,087       

and 31 of Am. Sub. H.B. 850 of the 122nd General Assembly are      19,090       

hereby repealed.                                                                

      Section 27.*  That Section 26 of Am. Sub. H.B. 850 of the    19,092       

122nd General Assembly be amended to read as follows:              19,094       

      "Sec. 26.  (A)  All items set forth in this section are      19,096       

hereby appropriated out of any moneys in the state treasury to     19,097       

the credit of the School Building Program Assistance Fund (Fund    19,098       

032) created under section 3318.25 of the Revised Code, derived    19,099       

from the proceeds of obligations heretofore and herein authorized  19,100       

to pay the cost to the state of acquiring classroom facilities     19,101       

for sale to school districts pursuant to sections 3318.01 to       19,102       

3318.20 of the Revised Code.                                       19,103       

                                                   Appropriations  19,105       

                SFC  SCHOOL FACILITIES COMMISSION                  19,106       

CAP-737  School Building Program Assistance     $  355,000,000     19,109       

                                                          397    


                                                                 
Total School Facilities Commission              $  355,000,000     19,111       

Total School Building Program Assistance Fund   $  355,000,000     19,113       

      School Building Program Assistance                           19,116       

      The foregoing appropriation item CAP-737, School Building    19,118       

Program Assistance, shall be used by the School Facilities         19,119       

Commission to provide funding to school districts that receive     19,120       

conditional approval from the Commission pursuant to Chapter       19,121       

3318. of the Revised Code.                                                      

      Commitments by the School Facilities Commission              19,123       

      The School Facilities Commission shall not commit at least   19,125       

$300 million of the combined amounts of the foregoing              19,126       

appropriations items CAP-622, Public School Buildings (Fund 021),  19,127       

and CAP-737, Public School Building Assistance (Fund 032), until   19,128       

after June 30, 1999.                                                            

      (B)(1)  As used in this division:                            19,130       

      (a)  "Low wealth school district" means a school district    19,132       

in the lowest fifty per cent of adjusted valuation per pupil on    19,133       

the fiscal year 1999 ranking of school districts, established      19,134       

pursuant to section 3317.02 3317.0213 of the Revised Code.         19,135       

      (b)  A "school district with an exceptional need for         19,137       

immediate CLASSROOM facility assistance" means a school district   19,139       

with an exceptional need for new facilities in order to protect    19,140       

the health and safety of all or a portion of its students.         19,141       

School districts reasonably expected to be served by the                        

Classroom Facilities Assistance Program prior to June 30, 2002,    19,143       

in THE order provided under divisions (C)(1) and (2) of section    19,145       

3318.06 3318.02 of the Revised Code, are excluded from             19,147       

participating in this exceptional needs pilot program.             19,148       

      (2)  Of the $300,000,000 the School Facilities Commission    19,150       

shall not commit until after June 30, 1999, the School Facilities  19,151       

Commission may set aside up to ten per cent for the pilot program  19,153       

for low wealth school districts with exceptional needs for         19,154       

immediate classroom facility assistance.                                        

      (3)(a)  After consulting with education and construction     19,156       

                                                          398    


                                                                 
experts, the School Facilities Commission shall adopt guidelines   19,157       

for identifying school districts with an exceptional need for      19,158       

immediate classroom facility assistance.                           19,159       

      (b)  The guidelines shall include application forms and      19,161       

instructions for school districts that believe they have an        19,162       

exceptional need for immediate classroom facility assistance.      19,163       

      (4)  The School Facilities Commission shall evaluate the     19,165       

classroom facilities, and the need for replacement classroom       19,166       

facilities from the applications received under this section.      19,167       

The School Facilities Commission, utilizing the guidelines         19,168       

adopted pursuant to division (B)(3) of this section, shall                      

prioritize the school districts to be assessed.                    19,169       

      In accordance with division (C)(3) of NOTWITHSTANDING        19,171       

section 3318.02 of the Revised Code, the School Facilities         19,173       

Commission may conduct on-site evaluation of the school districts  19,174       

prioritized under this section and approve and award funds until                

such time as all funds set aside pursuant to division (B)(2) of    19,176       

this section have been encumbered pursuant to section 3318.04 of   19,177       

the Revised Code.                                                               

      (5)  NOTWITHSTANDING DIVISION (A) OF SECTION 3318.05 OF THE  19,180       

REVISED CODE, THE PORTION OF THE BASIC PROJECT COSTS THAT SHALL                 

BE PAID BY A DISTRICT RECEIVING STATE FUNDS UNDER THE PILOT        19,181       

PROGRAM SHALL BE THE "REQUIRED PERCENTAGE OF THE BASIC PROJECT     19,182       

COSTS," AS DEFINED IN DIVISION (K) OF SECTION 3318.01 OF THE       19,183       

REVISED CODE."                                                                  

      Section 28.*  That existing Section 26 of Am. Sub. H.B. 850  19,185       

of the 122nd General Assembly is hereby repealed.                  19,186       

      Section 29.  (A)  That Sections 50.52.1, 50.52.3, 50.52.6,   19,188       

50.52.8, 50.52.11, and 50.52.13 of Am. Sub. H.B. 215 of the 122nd  19,189       

General Assembly are hereby repealed.                              19,190       

      (B)  That Sections 50.52.4, 50.52.7, and 50.52.9 of Am.      19,192       

Sub. H.B. 215 of the 122nd General Assembly, as amended by Am.     19,193       

Sub. H.B. 770 of the 122nd General Assembly, are hereby repealed.  19,194       

      (C)  That Sections 50.52.5 and 50.52.10 of Am. Sub. H.B.     19,196       

                                                          399    


                                                                 
215 of the 122nd General Assembly, as amended by Am. Sub. H.B.     19,197       

650 and Am. Sub. H.B. 770 of the 122nd General Assembly, are       19,198       

hereby repealed.                                                   19,199       

      Section 30.  (A)  As used in this section, "pilot project    19,201       

area" means the school districts included in the territory of the  19,202       

former community school pilot project established by former        19,203       

Section 50.52 of Am. Sub. H.B. 215 of the 122nd General Assembly.  19,204       

      (B)  Any teacher or nonteaching employee of a school         19,206       

district in the pilot project area who, on the effective date of   19,207       

this section, is taking a leave of absence from the district       19,208       

pursuant to a policy adopted under former Section 50.52.13 of      19,209       

that act to work at a community school established under the       19,210       

pilot project and located in another school district may continue  19,211       

the leave under the terms of that policy and former section.       19,212       

Upon termination of the leave, the district shall return the       19,213       

teacher or nonteaching employee to a position, salary, and level   19,214       

of seniority as required by that former section.                   19,215       

      (C)  During the first year of operation of a community       19,217       

school in the pilot project area, the Department of Education      19,218       

shall pay each school district in the pilot project area, for      19,219       

each student enrolled in the community school who is otherwise     19,221       

entitled to attend school in the district under section 3313.64    19,222       

or 3313.65 of the Revised Code, 50 per cent of the district's per  19,223       

pupil state funds.  For this purpose, "per pupil state funds"      19,224       

means the sum of the amounts computed for the district under       19,225       

divisions (A), (C)(1), (E), and (F) of section 3313.022 of the     19,226       

Revised Code plus any payments received under section 3317.0212    19,227       

of the Revised Code, divided by the district's formula ADM         19,228       

certified under section 3317.03 of the Revised Code.  The          19,229       

payments made under this division are in addition to all other                  

payments made under Chapter 3317. of the Revised Code to any       19,230       

school district in the pilot project area.  This division applies  19,231       

only in fiscal years 2000 and 2001.                                19,232       

      Section 31.  Every school district shall identify by         19,234       

                                                          400    


                                                                 
November 15, 2000, any gifted student enrolled as of January 1,    19,235       

2000, in grades kindergarten through eleven in the district.       19,236       

      Section 32.  (A)  The Ohio School Facilities Commission may  19,238       

commit up to thirty-five million dollars to the Canton City        19,239       

School District for construction of a facility described in this   19,241       

section, in lieu of a high school that would otherwise be          19,242       

authorized under Chapter 3318. of the Revised Code.  The                        

commission shall not commit funds under this section unless all    19,243       

of the following conditions are met:                               19,244       

      (1)  The district has entered into a cooperative agreement   19,246       

with a state-assisted technical college;                           19,247       

      (2)  The district has received an irrevocable commitment of  19,249       

additional funding from nonpublic sources;                         19,250       

      (3)  The facility is intended to serve both secondary and    19,252       

postsecondary instructional purposes.                              19,253       

      (B)  The commission shall enter into an agreement with the   19,255       

district for the construction of the facility authorized under     19,256       

this section that is separate from and in addition to the          19,257       

agreement required for the district's participation in the         19,258       

Classroom Facilities Assistance Program under section 3318.08 of   19,259       

the Revised Code.  Notwithstanding that section and sections       19,260       

3318.03, 3318.04, and 3318.083 of the Revised Code, the            19,262       

additional agreement shall provide but not be limited to the       19,263       

following:                                                                      

      (1)  The commission shall not have any oversight             19,265       

responsibilities over the construction of the facility;            19,266       

      (2)  The facility need not comply with the specifications    19,268       

for plans and materials for high schools adopted by the            19,269       

commission;                                                                     

      (3)  The commission may decrease the basic project cost      19,271       

that would otherwise be calculated for a high school under         19,273       

Chapter 3318. of the Revised Code;                                              

      (4)  The state shall not share in any increases in the       19,275       

basic project cost for the facility above the amount authorized    19,276       

                                                          401    


                                                                 
under this section.                                                             

      All other provisions of Chapter 3318. of the Revised Code    19,278       

apply to the approval and construction of a facility authorized    19,280       

under this section.                                                             

      The state funds committed to the facility authorized by      19,282       

this section shall be part of the total amount the state commits   19,283       

to the Canton City School District under Chapter 3318. of the      19,284       

Revised Code.  All additional state funds committed to the Canton  19,285       

City School District for classroom facilities assistance shall be  19,286       

subject to all provisions of Chapter 3318. of the Revised Code.    19,287       

      Section 33.*  Not later than four years after the effective  19,289       

date of this section, the Board of Regents shall determine the     19,290       

cost of upgrading facilities at public universities in this state  19,291       

that likely would be used if the City of Cincinnati were awarded   19,292       

the summer olympic games.  Upon completion of the cost             19,293       

determination, the board shall submit a written report of its      19,294       

findings to the Governor, the President of the Senate, the         19,295       

Speaker of the House of Representatives, and to each member of     19,296       

the legislative authority of the City of Cincinnati.               19,297       

      Section 34.  The Governor shall fill the first vacancy       19,299       

occurring on the State Lottery Commission on or after the          19,300       

effective date of section 3770.01 of the Revised Code, as amended  19,301       

by this act, with a person who represents an organization that     19,302       

deals with problem gambling and assists recovering gambling        19,303       

addicts.                                                                        

      Section 35.*  On the effective date of this section, the     19,305       

Ohio SchoolNet Office is abolished and all of its functions, and   19,306       

assets and liabilities, are transferred to the Ohio SchoolNet      19,307       

Commission.  The Ohio SchoolNet Commission is thereupon and        19,308       

thereafter successor to, assumes the obligations of, and           19,309       

otherwise constitutes the continuation of the Ohio SchoolNet       19,310       

Office.                                                                         

      Any business commenced but not completed by the Ohio         19,312       

SchoolNet Office or its director on the effective date of this     19,313       

                                                          402    


                                                                 
section shall be completed by the Ohio SchoolNet Commission or     19,314       

its executive director in the same manner, and with the same       19,315       

effect, as if completed by the Ohio SchoolNet Office or its        19,316       

director.  No validation, cure, right, privilege, remedy,          19,317       

obligation, or liability is lost or impaired by reason of the      19,318       

transfer required by this section and shall be administered by     19,319       

the Ohio SchoolNet Commission.  All of the Ohio SchoolNet          19,320       

Office's rules, orders, and determinations continue in effect as   19,321       

rules, orders, and determinations of the Ohio SchoolNet            19,322       

Commission, until modified or rescinded by the Ohio SchoolNet      19,323       

Commission.  If necessary to ensure the integrity of the           19,324       

numbering of the Administrative Code the Director of the           19,325       

Legislative Service Commission shall renumber the Ohio SchoolNet   19,326       

Office's rules to reflect their transfer to the Ohio SchoolNet     19,327       

Commission.                                                                     

      Subject to the lay-off provisions of sections 124.321 to     19,329       

124.328 of the Revised Code, all of the employees of the Ohio      19,330       

SchoolNet Office are transferred to the Ohio SchoolNet Commission  19,331       

and retain their positions and all of the benefits accruing        19,332       

thereto.                                                                        

      Whenever the Ohio SchoolNet Office or its director is        19,334       

referred to in any law, contract, or other document, the           19,335       

reference shall be deemed to refer to the Ohio SchoolNet           19,336       

Commission or its executive director, whichever is appropriate.    19,337       

      No action or proceeding pending on the effective date of     19,339       

this section is affected by the transfer, and shall be prosecuted  19,340       

or defended in the name of the Ohio SchoolNet Commission or its    19,341       

executive director.  In all such actions and proceedings, the      19,342       

Ohio SchoolNet Commission or its executive director upon           19,343       

application to the court shall be substituted as a party.          19,344       

      Section 36.  Except as otherwise specifically provided in    19,346       

this act, the codified sections of law amended or enacted in this  19,347       

act, and the items of law of which the codified sections of law    19,348       

amended or enacted in this act are composed, are subject to the    19,349       

                                                          403    


                                                                 
referendum.  Therefore, under Ohio Constitution, Article II,       19,350       

Section 1c and section 1.471 of the Revised Code, the codified     19,351       

sections of law amended or enacted by this act, and the items of   19,352       

law of which the codified sections of law as amended or enacted    19,353       

by this act are composed, take effect on the ninety-first day      19,354       

after this act is filed with the Secretary of State.  If,          19,355       

however, a referendum petition is filed against any such codified  19,356       

section of law as amended or enacted by this act, or against any   19,357       

item of law of which any such codified section of law as amended   19,358       

or enacted by this act is composed, the codified section of law    19,359       

as amended or enacted, or item of law, unless rejected at the      19,360       

referendum, takes effect at the earliest time permitted by law.    19,361       

      Section 37.  Except as otherwise specifically provided in    19,363       

this act, the repeal by this act of a codified section of law is   19,364       

subject to the referendum.  Therefore, under Ohio Constitution,    19,365       

Article II, Section 1c and section 1.471 of the Revised Code, the  19,366       

repeal by this act of a codified section of law takes effect on    19,367       

the ninety-first day after this act is filed with the Secretary    19,368       

of State.  If, however, a referendum petition is filed against     19,369       

any such repeal, the repeal, unless rejected at the referendum,    19,370       

takes effect at the earliest time permitted by law.                19,371       

      Section 38.  Sections 3302.01, 3302.02, 3314.03, 3314.05,    19,373       

3314.06, 3314.071, 3314.08, 3314.09, 3314.11, 3314.12, 3314.13,    19,375       

3314.15, 3316.05, 3316.06, 3317.014, 3317.02, 3317.022, 3317.023,  19,377       

3317.024, 3317.029, 3317.0212, 3317.0213, 3317.0216, 3317.03,                   

3317.033, 3317.05, 3317.051, 3317.16, 3317.162, 3318.33, 3332.05,  19,380       

3332.07, 3333.12, 3333.27, 4117.101, and 5910.032 of the Revised                

Code as amended or enacted by this act, and the items of law of    19,381       

which such sections as amended or enacted by this act are          19,382       

composed, are not subject to the referendum.  Therefore, under     19,383       

Ohio Constitution, Article II, Section 1d and section 1.471 of     19,384       

the Revised Code, such sections as amended or enacted by this      19,385       

act, and the items of law of which such sections as amended or     19,386       

enacted by this act are composed, go into immediate effect when    19,387       

                                                          404    


                                                                 
this act becomes law.                                              19,388       

      Section 39.  The repeal by this act of sections 3317.053     19,390       

and 3317.16 of the Revised Code is not subject to the referendum.  19,391       

Therefore, under Ohio Constitution, Article II, Section 1d and     19,392       

section 1.471 of the Revised Code, the repeals go into immediate   19,393       

effect when this act becomes law.                                  19,394       

      Section 40.  (A)  The amendments by this act to division     19,396       

(F) of section 5919.34 of the Revised Code constitute an item of   19,397       

law that is subject to the referendum.  Therefore, under Ohio      19,398       

Constitution, Article II, Section 1c and section 1.471 of the      19,399       

Revised Code, this item of law takes effect on the ninety-first    19,400       

day after this act is filed with the Secretary of State.  If,      19,401       

however, a referendum petition is filed against the item of law,   19,402       

the item of law, unless rejected at the referendum, takes effect   19,403       

at the earliest time permitted by law.                             19,404       

      (B)  The amendments by this act to section 5919.34 of the    19,406       

Revised Code, except for the amendments to division (F) of the     19,407       

section, constitute an item of law that is not subject to the      19,408       

referendum.  Therefore, under Ohio Constitution, Article II,       19,409       

Section 1d and section 1.471 of the Revised Code, this item of     19,410       

law goes into immediate effect when this act becomes law.          19,411       

      Section 41.  Except as otherwise specifically provided in    19,413       

this act, the uncodified sections of law amended or enacted in     19,414       

this act, and the items of law of which the uncodified sections    19,415       

of law amended or enacted in this act are composed, are not        19,416       

subject to the referendum.  Therefore, under Ohio Constitution,    19,417       

Article II, Section 1d and section 1.471 of the Revised Code, the  19,418       

uncodified sections of law amended or enacted in this act, and     19,419       

the items of law of which the uncodified sections of law amended   19,420       

or enacted in this act are composed, go into immediate effect      19,421       

when this act becomes law.                                         19,422       

      Section 42.  Uncodified sections of law amended or enacted   19,424       

in this act, and items of law contained within the uncodified      19,425       

sections of law amended or enacted in this act, that are marked    19,426       

                                                          405    


                                                                 
with an asterisk are subject to the referendum.  Therefore, under  19,427       

Ohio Constitution, Article II, Section 1c and section 1.471 of     19,428       

the Revised Code, the uncodified sections and items of law marked  19,429       

with an asterisk take effect on the ninety-first day after this    19,430       

act is filed with the Secretary of State.  If, however, a          19,431       

referendum petition is filed against an uncodified section or      19,432       

item of law marked with an asterisk, the uncodified section or     19,433       

item of law marked with an asterisk, unless rejected at the        19,434       

referendum, takes effect at the earliest time permitted by law.    19,435       

      If the amending and existing repeal clauses commanding an    19,437       

amendment of an uncodified section of law are both marked with     19,438       

asterisks, the uncodified section as amended is deemed also to     19,440       

have been marked with an asterisk.                                              

      An asterisk marking an uncodified section or item of law     19,442       

has the form *.                                                    19,443       

      This section defines the meaning and form of, but is not     19,445       

itself to be considered marked with, an asterisk.                  19,446       

      Section 43.  If the amendment or enactment in this act of a  19,448       

codified or uncodified section of law is subject to the            19,449       

referendum, the corresponding indications in the amending,         19,450       

enacting, or existing repeal clauses commanding the amendment or   19,451       

enactment also are subject to the referendum, along with the       19,452       

amendment or enactment.  If the amendment or enactment by this     19,453       

act of a codified or uncodified section of law is not subject to   19,454       

the referendum, the corresponding indications in the amending,     19,455       

enacting, or existing repeal clauses commanding the amendment or   19,456       

enactment also are not subject to the referendum, the same as the  19,457       

amendment or enactment.                                            19,458       

      Section 44.  An item, other than an amending, enacting, or   19,460       

repealing clause, that composes the whole or part of an            19,461       

uncodified section contained in this act has no effect after June  19,462       

30, 2001, unless its context clearly indicates otherwise.          19,463       

      Section 45.  Section 3316.06 of the Revised Code is          19,465       

presented in this act as a composite of the section as amended by  19,466       

                                                          406    


                                                                 
both Am. Sub. H.B. 56 and Am. Sub. S.B. 17 of the 122nd General    19,467       

Assembly, with the new language of neither of the acts shown in    19,469       

capital letters.  This is in recognition of the principle stated   19,470       

in division (B) of section 1.52 of the Revised Code that such      19,471       

amendments are to be harmonized where not substantively            19,472       

irreconcilable and constitutes a legislative finding that such is  19,473       

the resulting version in effect prior to the effective date of     19,474       

this act.                                                                       

      Section 46.  If any item of law that constitutes the whole   19,476       

or part of a codified or uncodified section of law contained in    19,477       

this act, or if any application of any item of law that            19,478       

constitutes the whole or part of a codified or uncodified section  19,479       

of law contained in this act, is held invalid, the invalidity      19,480       

does not affect other items of law or applications of item of law  19,481       

that can be given effect without the invalid item of law or                     

application.  To this end, the items of law of which the codified  19,482       

and uncodified sections contained in this act are composed, and    19,483       

their applications, are independent and severable.                 19,484