As Reported by House Ways and Means Committee 1
123rd General Assembly 4
Regular Session Sub. H. B. No. 589 5
1999-2000 6
REPRESENTATIVES HOOPS-HOUSEHOLDER-HARRIS-MOTTLEY-OLMAN- 8
DAMSCHRODER-HARTNETT-VESPER-TERWILLEGER-KRUPINSKI-CALLENDER- 9
PETERSON-JOLIVETTE-LOGAN-METELSKY-A. CORE-BUEHRER-HOLLISTER- 10
AMSTUTZ-METTLER 11
_________________________________________________________________ 12
A B I L L
To amend sections 3317.01, 3317.021, 3317.025, 14
5709.61, 5727.08, 5727.47, and 5727.471 of the 15
Revised Code to require public utilities to pay 18
only the undisputed portion of property taxes if
the utility disputes the Tax Commissioner's 19
valuation, to provide for notification of any 20
disputes to be given to county auditors and
affected taxing districts, and to allow 21
electricity generation plants and equipment to be 22
exempted from taxation under the enterprise zone 23
law even if they operate during nonpeak periods
and for more than one-half of a year. 24
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 26
Section 1. That sections 3317.01, 3317.021, 3317.025, 28
5709.61, 5727.08, 5727.47, and 5727.471 of the Revised Code be 29
amended to read as follows: 30
Sec. 3317.01. As used in this section and section 3317.011 39
of the Revised Code, "school district," unless otherwise 40
specified, means any city, local, exempted village, joint 41
vocational, or cooperative education school district and any 43
educational service center.
This chapter shall be administered by the state board of 45
education. The superintendent of public instruction shall 46
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calculate the amounts payable to each school district and shall 47
certify the amounts payable to each eligible district to the 48
treasurer of the district as provided by this chapter. No moneys 49
shall be distributed pursuant to this chapter without the 50
approval of the controlling board. 51
The state board of education shall, in accordance with 53
appropriations made by the general assembly, meet the financial 54
obligations of this chapter. 55
Annually, the department of education shall calculate and 57
report to each school district the district's total state and 58
local funds for providing an adequate basic education to the 59
district's nonhandicapped students, utilizing the determination 60
in section 3317.012 of the Revised Code. In addition, the
department shall calculate and report separately for each school 62
district the district's total state and local funds for providng 63
PROVIDING an adequate education for its handicapped students, 65
utilizing the determinations in both sections 3317.012 and
3317.013 of the Revised Code. 66
Not later than the thirty-first day of August of each 68
fiscal year, the department of education shall provide to each 69
school district and county MR/DD board a preliminary estimate of 70
the amount of funding that the department calculates the district 71
will receive under each of divisions (C)(1) and (5) of section 72
3317.022 of the Revised Code. No later than the first day of 73
December of each fiscal year, the department shall update that 74
preliminary estimate.
Moneys distributed pursuant to this chapter shall be 76
calculated and paid on a fiscal year basis, beginning with the 77
first day of July and extending through the thirtieth day of 78
June. The moneys appropriated for each fiscal year shall be 79
distributed at least monthly to each school district unless 80
otherwise provided for. The state board shall submit a yearly 81
distribution plan to the controlling board at its first meeting 83
in July. The state board shall submit any proposed midyear
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revision of the plan to the controlling board in January. Any 85
year-end revision of the plan shall be submitted to the 86
controlling board in June. If moneys appropriated for each
fiscal year are distributed other than monthly, such distribution 87
shall be on the same basis for each school district. 88
The total amounts paid each month shall constitute, as 90
nearly as possible, one-twelfth of the total amount payable for 91
the entire year. Payments made during the first six months of 92
the fiscal year may be based on an estimate of the amounts 93
payable for the entire year. Payments made in the last six 94
months shall be based on the final calculation of the amounts 95
payable to each school district for that fiscal year. Payments 96
made in the last six months may be adjusted, if necessary, to 97
correct the amounts distributed in the first six months, and to 98
reflect enrollment increases when such are at least three per 99
cent. Except as otherwise provided, payments under this chapter 100
shall be made only to those school districts in which: 101
(A) The school district, except for any educational 104
service center and any joint vocational or cooperative education 105
school district, levies for current operating expenses at least 106
twenty mills. Levies for joint vocational or cooperative 108
education school districts or county school financing districts, 109
limited to or to the extent apportioned to current expenses, 110
shall be included in this qualification requirement. School 111
district income tax levies under Chapter 5748. of the Revised 112
Code, limited to or to the extent apportioned to current 113
operating expenses, shall be included in this qualification 114
requirement to the extent determined by the tax commissioner 115
under division (C)(D) of section 3317.021 of the Revised Code. 117
(B) The school year next preceding the fiscal year for 119
which such payments are authorized meets the requirement of 120
section 3313.48 or 3313.481 of the Revised Code, with regard to 121
the minimum number of days or hours school must be open for 122
instruction with pupils in attendance, for individualized 123
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parent-teacher conference and reporting periods, and for 124
professional meetings of teachers. This requirement shall be 125
waived by the superintendent of public instruction if it had been 126
necessary for a school to be closed because of disease epidemic, 127
hazardous weather conditions, inoperability of school buses or 128
other equipment necessary to the school's operation, damage to a 129
school building, or other temporary circumstances due to utility 130
failure rendering the school building unfit for school use, 131
provided that for those school districts operating pursuant to 132
section 3313.48 of the Revised Code the number of days the school 133
was actually open for instruction with pupils in attendance and 134
for individualized parent-teacher conference and reporting 135
periods is not less than one hundred seventy-five, or for those 136
school districts operating on a trimester plan the number of days 137
the school was actually open for instruction with pupils in 138
attendance not less than seventy-nine days in any trimester, for 139
those school districts operating on a quarterly plan the number 140
of days the school was actually open for instruction with pupils 141
in attendance not less than fifty-nine days in any quarter, or 142
for those school districts operating on a pentamester plan the 143
number of days the school was actually open for instruction with 144
pupils in attendance not less than forty-four days in any 145
pentamester.
A school district shall not be considered to have failed to 147
comply with this division or section 3313.481 of the Revised Code 148
because schools were open for instruction but either twelfth 149
grade students were excused from attendance for up to three days 150
or only a portion of the kindergarten students were in attendance 151
for up to three days in order to allow for the gradual 152
orientation to school of such students. 153
The superintendent of public instruction shall waive the 155
requirements of this section with reference to the minimum number 156
of days or hours school must be in session with pupils in 157
attendance for the school year succeeding the school year in 158
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which a board of education initiates a plan of operation pursuant 159
to section 3313.481 of the Revised Code. The minimum 160
requirements of this section shall again be applicable to such a 161
district beginning with the school year commencing the second 162
July succeeding the initiation of one such plan, and for each 163
school year thereafter. 164
A school district shall not be considered to have failed to 166
comply with this division or section 3313.48 or 3313.481 of the 167
Revised Code because schools were open for instruction but the 168
length of the regularly scheduled school day, for any number of 169
days during the school year, was reduced by not more than two 170
hours due to hazardous weather conditions.
(C) The school district has on file, and is paying in 172
accordance with, a teachers' salary schedule which complies with 174
section 3317.13 of the Revised Code.
A board of education or governing board of an educational 176
service center which has not conformed with other law and the 178
rules pursuant thereto, shall not participate in the distribution 179
of funds authorized by sections 3317.022 to 3317.0211, 3317.11, 180
3317.16, 3317.17, and 3317.19 of the Revised Code, except for 181
good and sufficient reason established to the satisfaction of the 182
state board of education and the state controlling board. 183
All funds allocated to school districts under this chapter, 185
except those specifically allocated for other purposes, shall be 186
used to pay current operating expenses only. 187
Sec. 3317.021. (A) On or before the first day of June of 196
each year, the tax commissioner shall certify to the department 197
of education the following information for each city, exempted 198
village, and local school district and the information required 199
by divisions (A)(1) and (2) of this section for each joint 200
vocational school district, and it shall be used, along with the 201
information certified under division (B) of this section, in 202
making the computations for the district under section 3317.022 203
or 3317.16 of the Revised Code: 204
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(1) The taxable value of real and public utility real 206
property in the school district subject to taxation in the 207
preceding tax year, by class and by county of location; 208
(2) The taxable value of tangible personal property, 210
including public utility personal property, subject to taxation 211
by the district for the preceding tax year; 212
(3)(a) The total property tax rate and total taxes charged 214
and payable for the current expenses for the preceding tax year 215
and the total property tax rate and the total taxes charged and 216
payable to a joint vocational district for the preceding tax year 217
that are limited to or to the extent apportioned to current 218
expenses; 219
(b) The portion of the amount of taxes charged and payable 221
reported for each city, local, and exempted village school 222
district under division (A)(3)(a) of this section attributable to 223
a joint vocational school district. 224
(4) The value of all real and public utility real property 226
in the school district exempted from taxation minus both of the 227
following: 228
(a) The value of real and public utility real property in 230
the district owned by the United States government and used 231
exclusively for a public purpose; 232
(b) The value of real and public utility real property in 234
the district exempted from taxation under Chapter 725. or 1728. 235
or section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632, 236
5709.73, or 5709.78 of the Revised Code. 237
(5) The total effective operating tax rate for the 239
district in the tax year for which the most recent data are 240
available.
(B) On or before the first day of May each year, the tax 242
commissioner shall certify to the department of education the 243
total taxable real property value of railroads and, separately, 244
the total taxable tangible personal property value of all public 245
utilities for the preceding tax year, by school district and by 246
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county of location. 247
(C) IF A PUBLIC UTILITY HAS PROPERLY AND TIMELY FILED A 249
PETITION FOR REASSESSMENT UNDER SECTION 5727.47 OF THE REVISED 250
CODE WITH RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 251
OF THE REVISED CODE AFFECTING TAXABLE PROPERTY APPORTIONED BY THE
TAX COMMISSIONER TO A SCHOOL DISTRICT, THE TAXABLE VALUE OF 252
PUBLIC UTILITY TANGIBLE PERSONAL PROPERTY INCLUDED IN THE 254
CERTIFICATION UNDER DIVISIONS (A)(2) AND (B) OF THIS SECTION FOR 256
THE SCHOOL DISTRICT SHALL INCLUDE ONLY THE AMOUNT OF TAXABLE
VALUE ON THE BASIS OF WHICH THE PUBLIC UTILITY PAID TAX FOR THE 258
PRECEDING YEAR AS PROVIDED IN DIVISION (B)(1) OR (2) OF SECTION 260
5727.47 OF THE REVISED CODE.
(D) If on the basis of the information certified under 262
division (A) of this section, the department determines that any 263
district fails in any year to meet the qualification requirement 264
specified in division (A) of section 3317.01 of the Revised Code, 265
the department shall immediately request the tax commissioner to 266
determine the extent to which any school district income tax 267
levied by the district under Chapter 5748. of the Revised Code 268
shall be included in meeting that requirement. Within five days 269
of receiving such a request from the department, the tax 270
commissioner shall make the determination required by this 271
division and report the quotient obtained under division 273
(C)(D)(3) of this section to the department. This quotient 274
represents the number of mills that the department shall include 275
in determining whether the district meets the qualification 276
requirement of division (A) of section 3317.01 of the Revised 277
Code.
The tax commissioner shall make the determination required 279
by this division as follows: 280
(1) Multiply one mill times the total taxable value of the 282
district as determined in divisions (A)(1) and (2) of this 283
section; 284
(2) Estimate the total amount of tax liability for the 286
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current tax year under taxes levied by Chapter 5748. of the 287
Revised Code that are apportioned to current operating expenses 288
of the district; 289
(3) Divide the amount estimated under division (C)(D)(2) 291
of this section by the product obtained under division (C)(D)(1) 292
of this section. 294
(D)(E) As used in this section: 296
(1) "Class I taxes charged and payable for current 299
expenses" means taxes charged and payable for current expenses on
land and improvements classified as residential/agricultural real 300
property under section 5713.041 of the Revised Code. 302
(2) "Class I taxable value" means the taxable value of 305
land and improvements classified as residential/agricultural real 306
property under section 5713.041 of the Revised Code. 307
(3) "Class I effective operating tax rate" of a school 310
district means the quotient obtained by dividing the school 311
district's Class I taxes charged and payable for current expenses 312
by the district's Class I taxable value.
(4) "Income tax equivalent tax rate" of a school district 314
means the quotient obtained by dividing the income tax revenue 316
disbursed during the current fiscal year under any tax levied 318
pursuant to Chapter 5748. of the Revised Code by total taxable 319
value of the district to the extent the revenue from the tax is 320
allocated or apportioned to current expenses. 321
(5) "Total effective operating tax rate" means the sum of 324
the Class I effective operating tax rate and the income tax 326
equivalent tax rate.
Sec. 3317.025. On or before the first day of June of each 335
year, the tax commissioner shall certify the following 336
information to the department of education, for each school 337
district in which the value of the property described under 338
division (A) of this section exceeds one per cent of the taxable 339
value of all real and tangible personal property in the district 340
or in which is located tangible personal property designed for 341
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use or used in strip mining operations, whose taxable value 342
exceeds five million dollars, and the taxes upon which the 343
district is precluded from collecting by virtue of legal 344
proceedings to determine the value of such property: 345
(A) The total taxable value of all property in the 347
district owned by a public utility or railroad that has filed a 348
petition for reorganization under the "Bankruptcy Act," 47 Stat. 349
1474 (1898), 11 U.S.C. 205, as amended, and all tangible personal 350
property in the district designed for use or used in strip mining 351
operations whose taxable value exceeds five million dollars upon 352
which have not been paid in full on or before the first day of 353
April of that calendar year all real and tangible personal 354
property taxes levied for the preceding calendar year and which 355
the district was precluded from collecting by virtue of 356
proceedings under section 205 of said act or by virtue of legal 357
proceedings to determine the tax liability of such strip mining 358
equipment; 359
(B) The percentage of the total operating taxes charged 361
and payable for school district purposes levied against such 362
valuation for the preceding calendar year which have not been 363
paid by such date; 364
(C) The product obtained by multiplying the value 366
certified under division (A) of this section by the percentage 367
certified under division (B) of this section. If the value 369
certified under division (A) of this section includes taxable 370
property owned by a public utility or railroad that has filed a 371
petition for reorganization under the bankruptcy act, the amount 372
used in making the calculation under this division shall be 373
reduced by one per cent of the total value of all real and 374
tangible personal property in the district or the value of the 375
utility's or railroad's property, whichever is less. 376
Upon receipt of the certification, the department shall 378
recompute the payments required under section 3317.022 of the 380
Revised Code in the manner the payments would have been computed 381
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if:
(1) The amount certified under division (C) of this 383
section was not subject to taxation by the district and was not 384
included in the certification made under division (A)(1), (A)(2), 385
or (C)(D) of section 3317.021 of the Revised Code. 386
(2) The amount of taxes charged and payable and unpaid and 388
used to make the computation under division (B) of this section 389
had not been levied and had not been used in the computation 390
required by division (B) of section 3317.021 of the Revised Code. 391
The department shall pay the district that amount in the ensuing 392
fiscal year in lieu of the amounts computed under section 394
3317.022 of the Revised Code. 395
Sec. 5709.61. As used in sections 5709.61 to 5709.69 of 404
the Revised Code: 405
(A) "Enterprise zone" or "zone" means any of the 407
following: 408
(1) An area with a single continuous boundary designated 410
in the manner set forth in section 5709.62 or 5709.63 of the 411
Revised Code and certified by the director of development as 412
having a population of at least four thousand according to the 413
best and most recent data available to the director and having at 414
least two of the following characteristics: 415
(a) It is located in a municipal corporation defined by 417
the United States office of management and budget as a central 418
city of a metropolitan statistical area; 419
(b) It is located in a county designated as being in the 421
"Appalachian region" under the "Appalachian Regional Development 422
Act of 1965," 79 Stat. 5, 40 App. U.S.C.A. 403, as amended; 423
(c) Its average rate of unemployment, during the most 425
recent twelve-month period for which data are available, is equal 426
to at least one hundred twenty-five per cent of the average rate 427
of unemployment for the state of Ohio for the same period; 428
(d) There is a prevalence of commercial or industrial 430
structures in the area that are vacant or demolished, or are 431
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vacant and the taxes charged thereon are delinquent, and 432
certification of the area as an enterprise zone would likely 433
result in the reduction of the rate of vacant or demolished 434
structures or the rate of tax delinquency in the area; 435
(e) The population of all census tracts in the area, 437
according to the federal census of 1990, decreased by at least 438
ten per cent between the years 1970 and 1990; 439
(f) At least fifty-one per cent of the residents of the 441
area have incomes of less than eighty per cent of the median 442
income of residents of the municipal corporation or municipal 443
corporations in which the area is located, as determined in the 444
same manner specified under section 119(b) of the "Housing and 445
Community Development Act of 1974," 88 Stat. 633, 42 U.S.C. 5318, 446
as amended; 447
(g) The area contains structures previously used for 449
industrial purposes but currently not so used due to age, 450
obsolescence, deterioration, relocation of the former occupant's 451
operations, or cessation of operations resulting from unfavorable 452
economic conditions either generally or in a specific economic 453
sector; 454
(h) It is located within one or more adjacent city, local, 457
or exempted village school districts, the income-weighted tax 458
capacity of each of which is less than seventy per cent of the 459
average of the income-weighted tax capacity of all city, local, 460
or exempted village school districts in the state according to 461
the most recent data available to the director from the 462
department of taxation.
The director of development shall adopt rules in accordance 464
with Chapter 119. of the Revised Code establishing conditions 465
constituting the characteristics described in divisions 466
(A)(1)(d), (g), and (h) of this section. 467
If an area could not be certified as an enterprise zone 469
unless it satisfied division (A)(1)(g) of this section, the 470
legislative authority may enter into agreements in that zone 471
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under section 5709.62, 5709.63, or 5709.632 of the Revised Code 472
only if such agreements result in the development of the 473
facilities described in that division, the parcel of land on 474
which such facilities are situated, or adjacent parcels. The 475
director of development annually shall review all agreements in 476
such zones to determine whether the agreements have resulted in 477
such development; if the director determines that the agreements 478
have not resulted in such development, the director immediately 479
shall revoke certification of the zone and notify the legislative 480
authority of such revocation. Any agreements entered into prior 481
to revocation under this paragraph shall continue in effect for 482
the period provided in the agreement. 483
(2) An area with a single continuous boundary designated 485
in the manner set forth in section 5709.63 of the Revised Code 486
and certified by the director of development as: 487
(a) Being located within a county that contains a 489
population of three hundred thousand or less; 490
(b) Having a population of at least one thousand according 492
to the best and most recent data available to the director; 493
(c) Having at least two of the characteristics described 495
in divisions (A)(1)(b) to (h) of this section. 496
(3) An area with a single continuous boundary designated 498
in the manner set forth under division (A)(1) of section 5709.632 499
of the Revised Code and certified by the director of development 500
as having a population of at least four thousand, or under 501
division (A)(2) of that section and certified as having a 502
population of at least one thousand, according to the best and 503
most recent data available to the director. 504
(B) "Enterprise" means any form of business organization 506
including, but not limited to, any partnership, sole 507
proprietorship, or corporation, including an S corporation as 508
defined in section 1361 of the Internal Revenue Code and any 509
corporation that is majority work-owned either directly through 510
the ownership of stock or indirectly through participation in an 511
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employee stock ownership plan. 512
(C) "Facility" means an enterprise's place of business in 514
a zone, including land, buildings, machinery, equipment, and 515
other materials, except inventory, used in business. "Facility" 516
includes land, buildings, machinery, production and station 517
equipment, other equipment, and other materials, except 519
inventory, used in business to generate electricity that is 520
designed and intended to operate during peak load periods and to
generate electricity during no more than four thousand three 521
hundred fifty hours in a calendar year, provided that, for 522
purposes of sections 5709.61 to 5709.69 of the Revised Code, the 523
value of the property at such a facility shall be reduced by the 525
value, if any, that is not apportioned under section 5727.15 of 526
the Revised Code to the taxing district in which the facility is 527
physically located. In the case of such a facility that is 528
physically located in two adjacent taxing districts, the property 529
located in each taxing district constitutes a separate facility. 531
"Facility" does not include any portion of an enterprise's 533
place of business used primarily for making retail sales unless 535
the place of business is located in an impacted city as defined 536
in section 1728.01 of the Revised Code. 537
(D) "Vacant facility" means a facility that has been 539
vacant for at least ninety days immediately preceding the date on 540
which an agreement is entered into under section 5709.62 or 541
5709.63 of the Revised Code. 542
(E) "Expand" means to make expenditures to add land, 544
buildings, machinery, equipment, or other materials, except 545
inventory, to a facility that equal at least ten per cent of the 546
market value of the facility prior to such expenditures, as 547
determined for the purposes of local property taxation. 548
(F) "Renovate" means to make expenditures to alter or 550
repair a facility that equal at least fifty per cent of the 551
market value of the facility prior to such expenditures, as 552
determined for the purposes of local property taxation. 553
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(G) "Occupy" means to make expenditures to alter or repair 555
a vacant facility equal to at least twenty per cent of the market 556
value of the facility prior to such expenditures, as determined 557
for the purposes of local property taxation. 558
(H) "Project site" means all or any part of a facility 560
that is newly constructed, expanded, renovated, or occupied by an 561
enterprise. 562
(I) "Project" means any undertaking by an enterprise to 564
establish a facility or to improve a project site by expansion, 565
renovation, or occupancy. 566
(J) "Position" means the position of one full-time 568
employee performing a particular set of tasks and duties. 569
(K) "Full-time employee" means an individual who is 571
employed for consideration by an enterprise for at least 572
thirty-five hours a week, or who renders any other standard of 573
service generally accepted by custom or specified by contract as 574
full-time employment. 575
(L) "New employee" means a full-time employee first 577
employed by an enterprise at a facility that is a project site 578
after the enterprise enters an agreement under section 5709.62 or 579
5709.63 of the Revised Code. "New employee" does not include an 580
employee if, immediately prior to being employed by the 581
enterprise, the employee was employed by an enterprise that is a 582
related member or predecessor enterprise of that enterprise. 583
(M) "Unemployed person" means any person who is totally 585
unemployed in this state, as that term is defined in division (M) 586
of section 4141.01 of the Revised Code, for at least ten 587
consecutive weeks immediately preceding that person's employment 589
at a facility that is a project site, or who is so unemployed for 590
at least twenty-six of the fifty-two weeks immediately preceding 591
that person's employment at such a facility. 593
(N) "JTPA eligible employee" means any individual who is 595
eligible for employment or training under the "Job Training 596
Partnership Act," 96 Stat. 1324 (1982), 29 U.S.C. 1501, as 597
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amended.
(O) "First used in business" means that the property 599
referred to has not been used in business in this state by the 600
enterprise that owns it, or by an enterprise that is a related 601
member or predecessor enterprise of such an enterprise, other 602
than as inventory, prior to being used in business at a facility 603
as the result of a project. 604
(P) "Training program" means any noncredit training 606
program or course of study that is offered by any state college 607
or university; university branch district; community college; 608
technical college; nonprofit college or university certified 609
under section 1713.02 of the Revised Code; school district; joint 610
vocational school district; school registered and authorized to 611
offer programs under section 3332.05 of the Revised Code; an 612
entity administering any federal, state, or local adult education 613
and training program; or any enterprise; and that meets all of 614
the following requirements: 615
(1) It is approved by the director of development; 617
(2) It is established or operated to satisfy the need of a 619
particular industry or enterprise for skilled or semi-skilled 620
employees; 621
(3) An individual is required to complete the course or 623
program before filling a position at a project site. 624
(Q) "Development" means to engage in the process of 626
clearing and grading land, making, installing, or constructing 627
water distribution systems, sewers, sewage collection systems, 628
steam, gas, and electric lines, roads, curbs, gutters, sidewalks, 629
storm drainage facilities, and construction of other facilities 630
or buildings equal to at least fifty per cent of the market value 631
of the facility prior to the expenditures, as determined for the 632
purposes of local property taxation. 633
(R) "Large manufacturing facility" means a single Ohio 635
facility that employed an average of at least one thousand 636
individuals during the five calendar years preceding an agreement 638
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authorized under division (C)(3) of section 5709.62 or division 639
(B)(2) of section 5709.63 of the Revised Code. For purposes of
this division, both of the following apply: 640
(1) A single Ohio manufacturing facility employed an 643
average of at least one thousand individuals during the five 644
calendar years preceding entering into such an agreement if 645
one-fifth of the sum of the number of employees employed on the 646
highest employment day during each of the five calendar years 647
equals or exceeds one thousand. 648
(2) The highest employment day is the day or days during a 651
calendar year on which the number of employees employed at a
single Ohio manufacturing facility was greater than on any other 653
day during the calendar year.
(S) "Business cycle" means the cycle of business activity 655
usually regarded as passing through alternating stages of 656
prosperity and depression. 657
(T) "Making retail sales" means the effecting of 659
transactions wherein one party is obligated to pay the price and 660
the other party is obligated to provide a service or to transfer 661
title to or possession of the item sold. 662
(U) "Environmentally contaminated" means that hazardous 664
substances exist at a facility under conditions that have caused 665
or would cause the facility to be identified as contaminated by 666
the state or federal environmental protection agency. These may 667
include facilities located at sites identified in the master 668
sites list or similar database maintained by the state 669
environmental protection agency if the sites have been 670
investigated by the agency and found to be contaminated. 671
(V) "Remediate" means to make expenditures to clean up an 673
environmentally contaminated facility so that it is no longer 674
environmentally contaminated that equal at least ten per cent of 675
the real property market value of the facility prior to such 676
expenditures as determined for the purposes of property taxation. 677
(W) "Related member" has the same meaning as defined in 679
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section 5733.042 of the Revised Code without regard to division 680
(B) of that section, except that it is used with respect to an 681
enterprise rather than a taxpayer. 682
(X) "Predecessor enterprise" means an enterprise from 684
which the assets or equity of another enterprise has been 685
transferred, which transfer resulted in the full or partial 686
nonrecognition of gain or loss, or resulted in a carryover basis, 687
both as determined by rule adopted by the tax commissioner. 688
(Y) "Successor enterprise" means an enterprise to which 690
the assets or equity of another enterprise has been transferred, 691
which transfer resulted in the full or partial nonrecognition of 692
gain or loss, or resulted in a carryover basis, both as 693
determined by rule adopted by the tax commissioner. 694
Sec. 5727.08. On or before the first day of March, 703
annually, each public utility shall file a report with the tax 704
commissioner, on a form prescribed by him THE TAX COMMISSIONER. 705
The report shall include such information as the TAX commissioner 707
requires to enable him THE TAX COMMISSIONER to make any 709
assessment or apportionment required under this chapter. 711
Such THE report shall be signed by either the owner of the 713
public utility or the president, secretary, treasurer, or another 714
duly authorized person. 715
If a public utility fails to file the report on or before 717
the first day of March, or the date it is due under an extension 718
allowed pursuant to section 5727.48 of the Revised Code, or fails 719
to accurately report all taxable property, the TAX commissioner 721
shall MAY impose a penalty of up to fifty per cent of the taxable 722
value of the property that was not timely or accurately reported. 725
However, if such THE public utility files, within sixty days 726
after the first day of March or the extended due date, the report 727
or an amended report and discloses all items of taxable property 728
that are required by this chapter to be reported, the penalty 730
shall be up to NOT BE MORE THAN five per cent of the taxable 731
value that was not timely or accurately reported. The penalty 734
18
shall be added to and considered a part of the total taxable 736
value of the property that was not timely or accurately reported, 737
and may be abated in whole or in part by the tax commissioner 739
pursuant to a petition for reassessment filed under section 740
5727.47 of the Revised Code.
Sec. 5727.47. (A) A copy of each assessment certified 749
pursuant to section 5727.23 or 5727.38 of the Revised Code shall 751
be mailed to the public utility, and its mailing shall be
prima-facie evidence of its receipt by the public utility to 752
which it is addressed. If a public utility objects to any 753
assessment certified to it pursuant to such sections, it may file 754
a petition for reassessment with the tax commissioner. The 755
petition must be made in writing, signed by the authorized agent 756
of the utility having knowledge of the facts, and filed with the 757
TAX commissioner, in person or by certified mail, within thirty 758
days from the date that the assessment was mailed. If the 760
petition is filed by certified mail, the date of the United 761
States postmark placed on the sender's receipt by the postal 762
employee to whom the petition is presented shall be treated as 763
the date of filing. A true copy of the assessment objected to 764
shall be attached to the petition and shall be incorporated by 765
reference into the petition, but the failure to attach a copy of 766
the assessment and incorporate it by reference does not 767
invalidate the petition. The petition also shall indicate the 768
utility's objections, but additional objections may be raised in 769
writing if received prior to the date shown on the final 770
determination by the commissioner.
Notwithstanding the fact that a petition has been filed, IN 773
THE CASE OF A PETITION SEEKING A REDUCTION IN TAXABLE VALUE FILED
WITH RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 774
REVISED CODE, THE PETITIONER SHALL STATE IN THE PETITION THE 776
TOTAL AMOUNT OF REDUCTION IN TAXABLE VALUE SOUGHT BY THE 777
PETITIONER. IF THE PETITIONER OBJECTS TO THE PERCENTAGE OF TRUE 778
VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED BY THE TAX 779
19
COMMISSIONER, THE PETITIONER SHALL STATE IN THE PETITION THE
TOTAL AMOUNT OF REDUCTION IN TAXABLE VALUE SOUGHT BOTH WITH AND 781
WITHOUT REGARD TO THE OBJECTION PERTAINING TO THE PERCENTAGE OF 782
TRUE VALUE AT WHICH ITS TAXABLE PROPERTY IS ASSESSED. IF A 784
PETITIONER OBJECTS TO THE TAX COMMISSIONER'S APPORTIONMENT OF THE 785
TAXABLE VALUE OF THE PETITIONER'S TAXABLE PROPERTY, THE 786
PETITIONER SHALL DISTINCTLY STATE IN THE PETITION THAT THE 787
PETITIONER OBJECTS TO THE TAX COMMISSIONER'S APPORTIONMENT, AND, 788
WITHIN FORTY-FIVE DAYS AFTER FILING THE PETITION FOR 789
REASSESSMENT, SHALL SUBMIT THE PETITIONER'S PROPOSED 790
APPORTIONMENT OF THE TAXABLE VALUE OF ITS TAXABLE PROPERTY AMONG 791
TAXING DISTRICTS. IF A PETITIONER THAT OBJECTS TO THE TAX 792
COMMISSIONER'S APPORTIONMENT FAILS TO STATE ITS OBJECTIONS TO 793
THAT APPORTIONMENT IN ITS PETITION FOR REASSESSMENT OR FAILS TO 794
SUBMIT ITS PROPOSED APPORTIONMENT WITHIN FORTY-FIVE DAYS AFTER 795
FILING THE PETITION FOR REASSESSMENT, THE TAX COMMISSIONER SHALL 796
DISMISS THE PETITIONER'S OBJECTION TO THE TAX COMMISSIONER'S 797
APPORTIONMENT, AND THE TAXABLE VALUE OF THE PETITIONER'S TAXABLE 798
PROPERTY, SUBJECT TO ANY ADJUSTMENT TO TAXABLE VALUE PURSUANT TO 799
THE PETITION OR APPEAL, SHALL BE APPORTIONED IN THE MANNER USED 800
BY THE TAX COMMISSIONER IN THE PRELIMINARY OR AMENDED PRELIMINARY 801
ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE REVISED CODE. 802
IF AN ADDITIONAL OBJECTION SEEKING A REDUCTION IN TAXABLE 804
VALUE IN EXCESS OF THE REDUCTION STATED IN THE ORIGINAL PETITION 805
IS PROPERLY AND TIMELY RAISED WITH RESPECT TO AN ASSESSMENT 806
ISSUED UNDER SECTION 5727.23 OF THE REVISED CODE, THE PETITIONER 807
SHALL STATE THE TOTAL AMOUNT OF THE REDUCTION IN TAXABLE VALUE 808
SOUGHT IN THE ADDITIONAL OBJECTION BOTH WITH AND WITHOUT REGARD 809
TO ANY REDUCTION IN TAXABLE VALUE PERTAINING TO THE PERCENTAGE OF 811
TRUE VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED. IF A 812
PETITIONER FAILS TO STATE THE REDUCTION IN TAXABLE VALUE SOUGHT 813
IN THE ORIGINAL PETITION OR IN ADDITIONAL OBJECTIONS PROPERLY 814
RAISED AFTER THE PETITION IS FILED, THE TAX COMMISSIONER SHALL 815
NOTIFY THE PETITIONER OF THE FAILURE BY CERTIFIED MAIL. IF THE 816
20
PETITIONER FAILS TO NOTIFY THE TAX COMMISSIONER IN WRITING OF THE 817
REDUCTION IN TAXABLE VALUE SOUGHT IN THE PETITION OR IN AN 818
ADDITIONAL OBJECTION WITHIN THIRTY DAYS AFTER RECEIVING THE TAX 819
COMMISSIONER'S NOTICE, THE TAX COMMISSIONER SHALL DISMISS THE 820
PETITION OR THE ADDITIONAL OBJECTION IN WHICH THAT REDUCTION IS 821
SOUGHT.
(B)(1) SUBJECT TO DIVISIONS (B)(2) AND (3) OF THIS 823
SECTION, A PUBLIC UTILITY FILING A PETITION FOR REASSESSMENT 825
REGARDING AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OR 5727.38 826
OF THE REVISED CODE SHALL PAY the tax with respect to the 827
assessment objected to shall be paid as required by law. The 828
acceptance of the ANY tax payment by the treasurer of state or 830
any county treasurer shall not prejudice any claim for taxes on 831
final determination by the TAX commissioner or final decision by 832
the board of tax appeals or any court.
(2) IF A PUBLIC UTILITY PROPERLY AND TIMELY FILES A 834
PETITION FOR REASSESSMENT REGARDING AN ASSESSMENT ISSUED UNDER 835
SECTION 5727.23 OF THE REVISED CODE, THE PETITIONER SHALL PAY THE 836
TAX AS PRESCRIBED BY DIVISIONS (B)(2)(a), (b), AND (c) OF THIS 838
SECTION:
(a) IF THE PETITIONER DOES NOT OBJECT TO THE TAX 840
COMMISSIONER'S APPORTIONMENT OF THE TAXABLE VALUE OF THE 842
PETITIONER'S TAXABLE PROPERTY, THE PETITIONER IS NOT REQUIRED TO 844
PAY THE PART OF THE TAX OTHERWISE DUE ON THE TAXABLE VALUE THAT 845
THE PETITIONER SEEKS TO HAVE REDUCED, SUBJECT TO DIVISION 846
(B)(2)(c) OF THIS SECTION.
(b) IF THE PETITIONER OBJECTS TO THE TAX COMMISSIONER'S 848
APPORTIONMENT OF THE TAXABLE VALUE OF THE PETITIONER'S TAXABLE 849
PROPERTY, THE PETITIONER IS NOT REQUIRED TO PAY THE TAX OTHERWISE 851
DUE ON THE PART OF THE TAXABLE VALUE APPORTIONED TO ANY TAXING 852
DISTRICT THAT THE PETITIONER OBJECTS TO, SUBJECT TO DIVISION 853
(B)(2)(c) OF THIS SECTION. IF, PURSUANT TO DIVISION (A) OF THIS 854
SECTION, THE PETITIONER HAS, IN A PROPER AND TIMELY MANNER, 855
APPORTIONED TAXABLE VALUE TO A TAXING DISTRICT TO WHICH THE TAX 856
21
COMMISSIONER DID NOT APPORTION THE PETITIONER'S TAXABLE VALUE, 857
THE PETITIONER SHALL PAY THE TAX DUE ON THE TAXABLE VALUE THAT 858
THE PETITIONER HAS APPORTIONED TO THE TAXING DISTRICT, SUBJECT TO 859
DIVISION (B)(2)(c) OF THIS SECTION. 860
(c) IF A PETITIONER OBJECTS TO THE PERCENTAGE OF TRUE 862
VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED BY THE TAX 863
COMMISSIONER, THE PETITIONER SHALL PAY THE TAX DUE ON THE BASIS 865
OF THE PERCENTAGE OF TRUE VALUE AT WHICH THE PUBLIC UTILITY'S
TAXABLE PROPERTY IS ASSESSED BY THE TAX COMMISSIONER. IN ANY 867
CASE, THE PETITIONER'S PAYMENT OF TAX SHALL NOT BE LESS THAN THE 868
AMOUNT OF TAX DUE BASED ON THE TAXABLE VALUE REFLECTED ON THE
LAST APPEAL NOTICE ISSUED BY THE TAX COMMISSIONER UNDER DIVISION 869
(C) OF THIS SECTION. UNTIL THE COUNTY AUDITOR RECEIVES 871
NOTIFICATION UNDER DIVISION (E) OF THIS SECTION AND PROCEEDS 872
UNDER SECTION 5727.471 OF THE REVISED CODE TO ISSUE ANY REFUND
THAT IS FOUND TO BE DUE, THE COUNTY AUDITOR SHALL NOT ISSUE A 873
REFUND FOR ANY INCREASE IN THE REDUCTION IN TAXABLE VALUE THAT IS 874
SOUGHT BY A PETITIONER LATER THAN FORTY-FIVE DAYS AFTER THE 875
PETITIONER FILES THE ORIGINAL PETITION AS REQUIRED UNDER DIVISION 876
(A) OF THIS SECTION. 877
(3) ANY PART OF THE TAX THAT, UNDER DIVISION (B)(2)(a) OR 880
(b) OF THIS SECTION, IS NOT PAID SHALL BE COLLECTED UPON RECEIPT 883
OF THE NOTIFICATION AS PROVIDED IN SECTION 5727.471 OF THE
REVISED CODE WITH INTEREST THEREON COMPUTED IN THE SAME MANNER AS 884
INTEREST IS COMPUTED UNDER DIVISION (E) OF SECTION 5715.19 OF THE 885
REVISED CODE, SUBJECT TO ANY CORRECTION OF THE ASSESSMENT BY THE 888
TAX COMMISSIONER UNDER DIVISION (E) OF THIS SECTION OR THE FINAL 889
JUDGMENT OF THE BOARD OF TAX APPEALS OR A COURT TO WHICH THE 890
BOARD'S FINAL JUDGMENT IS APPEALED. THE PENALTY IMPOSED UNDER 892
SECTION 323.121 OF THE REVISED CODE SHALL APPLY ONLY TO THE 893
UNPAID PORTION OF THE TAX IF THE PETITIONER'S TAX PAYMENT IS LESS 894
THAN THE AMOUNT OF TAX DUE BASED ON THE TAXABLE VALUE REFLECTED 895
ON THE LAST APPEAL NOTICE ISSUED BY THE TAX COMMISSIONER UNDER 896
DIVISION (C) OF THIS SECTION. 897
22
(C) Upon receipt of a properly filed petition FOR 899
REASSESSMENT, the TAX commissioner shall notify the treasurer of 901
state or the auditor of each county to which the assessment 902
objected to has been certified. IN THE CASE OF A PETITION WITH 903
RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 904
REVISED CODE, THE TAX COMMISSIONER SHALL ISSUE AN APPEAL NOTICE 905
WITHIN THIRTY DAYS AFTER RECEIVING THE AMOUNT OF THE TAXABLE 906
VALUE REDUCTION AND APPORTIONMENT CHANGES SOUGHT BY THE 907
PETITIONER IN THE ORIGINAL PETITION OR IN ANY ADDITIONAL 908
OBJECTIONS PROPERLY AND TIMELY RAISED BY THE PETITIONER. THE 909
APPEAL NOTICE SHALL INDICATE THE AMOUNT OF THE REDUCTION IN 911
TAXABLE VALUE SOUGHT IN THE PETITION OR IN THE ADDITIONAL 912
OBJECTIONS AND THE EXTENT TO WHICH THE REDUCTION IN TAXABLE VALUE 913
AND ANY CHANGE IN APPORTIONMENT REQUESTED BY THE PETITIONER WOULD 915
AFFECT THE TAX COMMISSIONER'S APPORTIONMENT OF THE TAXABLE VALUE 916
AMONG TAXING DISTRICTS IN THE COUNTY AS SHOWN IN THE ASSESSMENT. 917
IF A PETITIONER IS SEEKING A REDUCTION IN TAXABLE VALUE ON THE 918
BASIS OF A LOWER PERCENTAGE OF TRUE VALUE THAN THE PERCENTAGE AT 919
WHICH THE TAX COMMISSIONER ASSESSED THE PETITIONER'S TAXABLE 920
PROPERTY, THE APPEAL NOTICE SHALL INDICATE THE REDUCTION IN 921
TAXABLE VALUE SOUGHT BY THE PETITIONER WITHOUT REGARD TO THE 922
REDUCTION SOUGHT ON THE BASIS OF THE LOWER PERCENTAGE AND SHALL 923
INDICATE THAT THE PETITIONER IS REQUIRED TO PAY TAX ON THE 924
REDUCED TAXABLE VALUE DETERMINED WITHOUT REGARD TO THE REDUCTION 925
SOUGHT ON THE BASIS OF A LOWER PERCENTAGE OF TRUE VALUE, AS 926
PROVIDED UNDER DIVISION (B)(2)(c) OF THIS SECTION. THE APPEAL 928
NOTICE SHALL INCLUDE A STATEMENT THAT THE REDUCED TAXABLE VALUE 929
AND THE APPORTIONMENT INDICATED IN THE NOTICE ARE NOT FINAL AND 930
ARE SUBJECT TO ADJUSTMENT BY THE TAX COMMISSIONER OR BY THE BOARD 931
OF TAX APPEALS OR A COURT ON APPEAL. IF THE TAX COMMISSIONER 933
FINDS AN ERROR IN THE APPEAL NOTICE, THE TAX COMMISSIONER MAY 934
AMEND THE NOTICE, BUT THE NOTICE IS ONLY FOR INFORMATIONAL AND 935
TAX PAYMENT PURPOSES; THE NOTICE IS NOT SUBJECT TO APPEAL BY ANY 936
PERSON. THE TAX COMMISSIONER ALSO SHALL MAIL A COPY OF THE 937
23
APPEAL NOTICE TO THE PETITIONER. UPON THE REQUEST OF A TAXING
AUTHORITY, THE COUNTY AUDITOR MAY DISCLOSE TO THE TAXING 939
AUTHORITY THE EXTENT TO WHICH A REDUCTION IN TAXABLE VALUE SOUGHT 940
BY A PETITIONER WOULD AFFECT THE APPORTIONMENT OF TAXABLE VALUE 941
TO THE TAXING DISTRICT OR DISTRICTS UNDER THE TAXING AUTHORITY'S 942
JURISDICTION, BUT SUCH A DISCLOSURE DOES NOT CONSTITUTE A NOTICE 943
REQUIRED BY LAW TO BE GIVEN FOR THE PURPOSE OF SECTION 5717.02 OF 944
THE REVISED CODE.
(D) Unless the petitioner waives a hearing, the 946
commissioner shall assign a time and place for the hearing on the 947
petition and notify the petitioner of the time and place of the 948
hearing by personal service or certified mail, but the 949
commissioner may continue the hearing from time to time if 950
necessary.
(E) The TAX commissioner may make such correction to the 952
assessment as the TAX commissioner finds proper. The TAX 954
commissioner shall serve a copy of the commissioner's final 957
determination on the petitioner by personal service or certified 958
mail, and the TAX commissioner's decision in the matter shall be 959
final, subject to appeal as provided in section 5717.02 of the 960
Revised Code. The TAX commissioner also shall transmit a copy of 961
the final determination to the treasurer of state or applicable 963
county auditor. In the absence of any further appeal, or when a 964
decision of the board of tax appeals or of any court to which the 965
decision has been appealed becomes final, the TAX commissioner 966
shall notify the public utility and, as appropriate, the 967
treasurer of state who shall proceed under section 5727.42 of the 968
Revised Code, or the applicable county auditor who shall proceed 969
under section 5727.471 of the Revised Code. The IN ANY 971
NOTIFICATION REGARDING AN ASSESSMENT ISSUED UNDER SECTION 5727.23 972
OF THE REVISED CODE, THE TAX COMMISSIONER SHALL INCLUDE A NOTICE 973
OF THE AMOUNT OF ANY STATE BASIC AID OVERPAYMENT, AS DEFINED IN 974
SECTION 5727.471 OF THE REVISED CODE, TO A SCHOOL DISTRICT 975
AFFECTED BY THE NOTIFICATION. UPON THE TAX COMMISSIONER'S 976
24
REQUEST, THE DEPARTMENT OF EDUCATION SHALL CERTIFY TO THE TAX 977
COMMISSIONER THE AMOUNT OF ANY STATE BASIC AID OVERPAYMENT TO A 978
SCHOOL DISTRICT.
THE notification MADE UNDER THIS DIVISION is not subject to 981
further appeal.
(F) ON APPEAL, NO ADJUSTMENT SHALL BE MADE IN THE TAX 983
COMMISSIONER'S ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 984
REVISED CODE THAT REDUCES THE TAXABLE VALUE OF A PETITIONER'S 985
TAXABLE PROPERTY BY AN AMOUNT THAT EXCEEDS THE REDUCTION SOUGHT 986
BY THE PETITIONER IN ITS PETITION FOR REASSESSMENT OR IN ANY 987
ADDITIONAL OBJECTIONS PROPERLY AND TIMELY RAISED AFTER THE 988
PETITION IS FILED WITH THE TAX COMMISSIONER. 989
Sec. 5727.471. (A) As used in this section, 999
"notification:
(1) "NOTIFICATION" means notification required by section 1,001
5727.47 of the Revised Code to be sent by the tax commissioner to 1,002
the county auditor as to the disposition of a petition for 1,003
reassessment, or of a decision of the board of tax appeals or any 1,004
court with respect to an assessment of public utility property 1,005
taxes.
(2) "STATE BASIC AID OVERPAYMENT" FOR A SCHOOL DISTRICT 1,007
MEANS THE AMOUNT BY WHICH THE PAYMENT COMPUTED FOR A FISCAL YEAR 1,008
UNDER SECTION 3317.022 OF THE REVISED CODE EXCEEDS THE AMOUNT 1,009
THAT WOULD HAVE BEEN COMPUTED FOR THAT FISCAL YEAR IF THE TAXABLE 1,010
VALUE CERTIFIED UNDER DIVISION (A)(2) AND (B) OF SECTION 3317.021 1,011
OF THE REVISED CODE FOR THE TAX YEAR PRECEDING THAT FISCAL YEAR 1,012
HAD BEEN THE TAXABLE VALUE SHOWN IN THE NOTIFICATION FOR THAT TAX 1,013
YEAR.
(B) On receipt of the notification, the auditor shall 1,015
determine whether there has been an underpayment or overpayment 1,016
of taxes by the public utility. In the case of an underpayment 1,017
of taxes, the auditor shall notify the county treasurer of the 1,018
amount, and the treasurer shall proceed to collect the 1,019
underpayment as required by law. In FROM THE PROCEEDS OF THE 1,021
25
UNDERPAYMENT SO COLLECTED THAT ARE OTHERWISE PAYABLE TO A CITY, 1,022
LOCAL, OR EXEMPTED VILLAGE SCHOOL DISTRICT, THE COUNTY TREASURER 1,023
SHALL DEDUCT AND WITHHOLD AN AMOUNT EQUAL TO THE STATE BASIC AID 1,024
OVERPAYMENT, IF ANY, TO THE SCHOOL DISTRICT, PLUS INTEREST ON 1,025
THAT AMOUNT AT THE RATE PRESCRIBED BY SECTION 5703.47 OF THE 1,026
REVISED CODE FROM THE LAST DAY OF THE FISCAL YEAR FOR WHICH THE 1,027
STATE BASIC AID PAYMENT WAS MADE TO THE DAY THE UNDERPAYMENT IS
COLLECTED. THE COUNTY TREASURER SHALL PAY THE AMOUNT DEDUCTED 1,028
AND WITHHELD TO THE TREASURER OF STATE, WHO SHALL CREDIT THE 1,029
PAYMENT TO THE GENERAL REVENUE FUND. IF THE STATE BASIC AID 1,030
OVERPAYMENT AND INTEREST EXCEEDS THE AMOUNT OF THE TAX 1,031
UNDERPAYMENT COLLECTED THAT IS OTHERWISE PAYABLE TO THE SCHOOL 1,032
DISTRICT, THE COUNTY TREASURER SHALL COLLECT THE DIFFERENCE FROM 1,033
THE SCHOOL DISTRICT OR DEDUCT AND WITHHOLD THE DIFFERENCE FROM 1,034
THE NEXT DISTRIBUTION OR ADVANCE PAYMENT OF PROPERTY TAXES TO THE 1,035
DISTRICT, AND SHALL PAY THAT DIFFERENCE TO THE TREASURER OF 1,036
STATE, WHO SHALL CREDIT THE PAYMENT TO THE GENERAL REVENUE FUND. 1,037
IN the case of an overpayment of taxes, the auditor shall 1,040
do any one of the following:
(1) Refund the full amount of the overpayment; 1,042
(2) Refund a portion of the overpayment and prorate the 1,044
remaining balance as a credit against future taxes that may be 1,045
charged to the public utility; 1,046
(3) Prorate the full amount of the overpayment as a credit 1,048
against future taxes that may be charged to the public utility. 1,049
(C)(1) The auditor shall have discretion as to which 1,051
method to use and shall advise the public utility of his THE 1,052
AUDITOR'S decision within sixty days after receipt of the 1,054
notification. The auditor shall make payment of any refund under 1,055
division (B)(1) or (2) of this section within ninety days after 1,056
receipt of the notification. Except as otherwise provided in 1,057
division (C)(2) of this section, any amount to be credited under 1,058
division (B)(2) or (3) of this section shall be applied to all or 1,059
a part of the taxes otherwise due from the public utility on real 1,060
26
and public utility property tax installment due dates after the 1,061
date on which the notification was received, but shall not be 1,062
spread over more than the next ten ensuing installment due dates. 1,063
If any portion of the overpayment has not been refunded or 1,064
credited by the tenth such tax installment due date after the 1,065
date on which the notification was received, the auditor 1,066
immediately shall refund that portion. 1,067
(2) The tax commissioner may certify to a county auditor, 1,069
in writing, that a public utility is no longer required to file a 1,070
report under section 5727.08 of the Revised Code. Within ninety 1,071
days of the date of such certification, the auditor shall refund 1,072
to the utility, with applicable interest, the portion of any 1,073
overpayment that has not been refunded or credited to the utility 1,074
under this section. 1,075
(D) The auditor shall add interest to the amount of any 1,077
overpayment of taxes at the rate per calendar month, rounded to 1,078
the nearest one-hundredth of one per cent, equal to one-twelfth 1,079
of the rate per annum prescribed by section 5703.47 of the 1,080
Revised Code. The interest shall begin to accrue from the first 1,081
day of the month following the date of the overpayment until the 1,082
last day of the month preceding the date the overpayment or 1,083
portion of the overpayment is refunded or credited, and shall be 1,084
computed separately on each amount actually refunded or credited. 1,085
In computing interest on credits, when an overpayment is credited 1,086
against an installment of current taxes due from the utility 1,087
pursuant to this section, the overpayment shall be considered to 1,088
have been credited on the last date on which those taxes may be 1,089
paid without penalty. 1,090
(E) The refund and crediting of any overpayment, including 1,092
interest, shall be paid from or credited against the fund or 1,093
funds and the taxing districts to which the overpayment 1,094
originally was paid, in proportion to the amount of the 1,095
overpayment received. The auditor shall correct his THE 1,096
AUDITOR'S tax lists in accordance with the refund or credit, and 1,098
27
shall certify corrections in the tax duplicates to the county 1,099
treasurer. At each settlement affected by a refund or credit 1,100
under this section, the amount of the refund or credit shall be 1,101
deducted from the amount of any taxes or assessments 1,102
distributable to the county or any taxing unit in the county that 1,103
has received the benefit of the taxes or assessment previously 1,104
overpaid, in proportion to the overpayment previously received. 1,105
Section 2. That existing sections 3317.01, 3317.021, 1,107
3317.025, 5709.61, 5727.08, 5727.47, and 5727.471 of the Revised 1,108
Code are hereby repealed. 1,109
Section 3. The amendment by this act of sections 5727.08 1,111
and 5727.47 of the Revised Code applies to tax years 2001 and 1,112
thereafter.