As Passed by the House 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-TIBERI-STAPLETON-GRENDELL-CORBIN-EVANS-CAREY- 11
WILSON-BRADING-BENDER-PATTON-WIDENER-WILLAMOWSKI-ASLANIDES-MEAD- 12
BARRETT 13
_________________________________________________________________ 14
A B I L L
To amend sections 3317.01, 3317.021, 3317.025, 16
5709.61, 5727.08, 5727.47, and 5727.471 of the 17
Revised Code to require public utilities to pay 20
only the undisputed portion of property taxes if
the utility disputes the Tax Commissioner's 21
valuation, to provide for notification of any 22
disputes to be given to county auditors and
affected taxing districts, and to allow 23
electricity generation plants and equipment to be 24
exempted from taxation under the enterprise zone 25
law even if they operate during nonpeak periods
and for more than one-half of a year. 26
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 28
Section 1. That sections 3317.01, 3317.021, 3317.025, 30
5709.61, 5727.08, 5727.47, and 5727.471 of the Revised Code be 31
amended to read as follows: 32
Sec. 3317.01. As used in this section and section 3317.011 41
of the Revised Code, "school district," unless otherwise 42
specified, means any city, local, exempted village, joint 43
vocational, or cooperative education school district and any 45
educational service center.
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This chapter shall be administered by the state board of 47
education. The superintendent of public instruction shall 48
calculate the amounts payable to each school district and shall 49
certify the amounts payable to each eligible district to the 50
treasurer of the district as provided by this chapter. No moneys 51
shall be distributed pursuant to this chapter without the 52
approval of the controlling board. 53
The state board of education shall, in accordance with 55
appropriations made by the general assembly, meet the financial 56
obligations of this chapter. 57
Annually, the department of education shall calculate and 59
report to each school district the district's total state and 60
local funds for providing an adequate basic education to the 61
district's nonhandicapped students, utilizing the determination 62
in section 3317.012 of the Revised Code. In addition, the
department shall calculate and report separately for each school 64
district the district's total state and local funds for providng 65
PROVIDING an adequate education for its handicapped students, 67
utilizing the determinations in both sections 3317.012 and
3317.013 of the Revised Code. 68
Not later than the thirty-first day of August of each 70
fiscal year, the department of education shall provide to each 71
school district and county MR/DD board a preliminary estimate of 72
the amount of funding that the department calculates the district 73
will receive under each of divisions (C)(1) and (5) of section 74
3317.022 of the Revised Code. No later than the first day of 75
December of each fiscal year, the department shall update that 76
preliminary estimate.
Moneys distributed pursuant to this chapter shall be 78
calculated and paid on a fiscal year basis, beginning with the 79
first day of July and extending through the thirtieth day of 80
June. The moneys appropriated for each fiscal year shall be 81
distributed at least monthly to each school district unless 82
otherwise provided for. The state board shall submit a yearly 83
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distribution plan to the controlling board at its first meeting 85
in July. The state board shall submit any proposed midyear
revision of the plan to the controlling board in January. Any 87
year-end revision of the plan shall be submitted to the 88
controlling board in June. If moneys appropriated for each
fiscal year are distributed other than monthly, such distribution 89
shall be on the same basis for each school district. 90
The total amounts paid each month shall constitute, as 92
nearly as possible, one-twelfth of the total amount payable for 93
the entire year. Payments made during the first six months of 94
the fiscal year may be based on an estimate of the amounts 95
payable for the entire year. Payments made in the last six 96
months shall be based on the final calculation of the amounts 97
payable to each school district for that fiscal year. Payments 98
made in the last six months may be adjusted, if necessary, to 99
correct the amounts distributed in the first six months, and to 100
reflect enrollment increases when such are at least three per 101
cent. Except as otherwise provided, payments under this chapter 102
shall be made only to those school districts in which: 103
(A) The school district, except for any educational 106
service center and any joint vocational or cooperative education 107
school district, levies for current operating expenses at least 108
twenty mills. Levies for joint vocational or cooperative 110
education school districts or county school financing districts, 111
limited to or to the extent apportioned to current expenses, 112
shall be included in this qualification requirement. School 113
district income tax levies under Chapter 5748. of the Revised 114
Code, limited to or to the extent apportioned to current 115
operating expenses, shall be included in this qualification 116
requirement to the extent determined by the tax commissioner 117
under division (C)(D) of section 3317.021 of the Revised Code. 119
(B) The school year next preceding the fiscal year for 121
which such payments are authorized meets the requirement of 122
section 3313.48 or 3313.481 of the Revised Code, with regard to 123
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the minimum number of days or hours school must be open for 124
instruction with pupils in attendance, for individualized 125
parent-teacher conference and reporting periods, and for 126
professional meetings of teachers. This requirement shall be 127
waived by the superintendent of public instruction if it had been 128
necessary for a school to be closed because of disease epidemic, 129
hazardous weather conditions, inoperability of school buses or 130
other equipment necessary to the school's operation, damage to a 131
school building, or other temporary circumstances due to utility 132
failure rendering the school building unfit for school use, 133
provided that for those school districts operating pursuant to 134
section 3313.48 of the Revised Code the number of days the school 135
was actually open for instruction with pupils in attendance and 136
for individualized parent-teacher conference and reporting 137
periods is not less than one hundred seventy-five, or for those 138
school districts operating on a trimester plan the number of days 139
the school was actually open for instruction with pupils in 140
attendance not less than seventy-nine days in any trimester, for 141
those school districts operating on a quarterly plan the number 142
of days the school was actually open for instruction with pupils 143
in attendance not less than fifty-nine days in any quarter, or 144
for those school districts operating on a pentamester plan the 145
number of days the school was actually open for instruction with 146
pupils in attendance not less than forty-four days in any 147
pentamester.
A school district shall not be considered to have failed to 149
comply with this division or section 3313.481 of the Revised Code 150
because schools were open for instruction but either twelfth 151
grade students were excused from attendance for up to three days 152
or only a portion of the kindergarten students were in attendance 153
for up to three days in order to allow for the gradual 154
orientation to school of such students. 155
The superintendent of public instruction shall waive the 157
requirements of this section with reference to the minimum number 158
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of days or hours school must be in session with pupils in 159
attendance for the school year succeeding the school year in 160
which a board of education initiates a plan of operation pursuant 161
to section 3313.481 of the Revised Code. The minimum 162
requirements of this section shall again be applicable to such a 163
district beginning with the school year commencing the second 164
July succeeding the initiation of one such plan, and for each 165
school year thereafter. 166
A school district shall not be considered to have failed to 168
comply with this division or section 3313.48 or 3313.481 of the 169
Revised Code because schools were open for instruction but the 170
length of the regularly scheduled school day, for any number of 171
days during the school year, was reduced by not more than two 172
hours due to hazardous weather conditions.
(C) The school district has on file, and is paying in 174
accordance with, a teachers' salary schedule which complies with 176
section 3317.13 of the Revised Code.
A board of education or governing board of an educational 178
service center which has not conformed with other law and the 180
rules pursuant thereto, shall not participate in the distribution 181
of funds authorized by sections 3317.022 to 3317.0211, 3317.11, 182
3317.16, 3317.17, and 3317.19 of the Revised Code, except for 183
good and sufficient reason established to the satisfaction of the 184
state board of education and the state controlling board. 185
All funds allocated to school districts under this chapter, 187
except those specifically allocated for other purposes, shall be 188
used to pay current operating expenses only. 189
Sec. 3317.021. (A) On or before the first day of June of 198
each year, the tax commissioner shall certify to the department 199
of education the following information for each city, exempted 200
village, and local school district and the information required 201
by divisions (A)(1) and (2) of this section for each joint 202
vocational school district, and it shall be used, along with the 203
information certified under division (B) of this section, in 204
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making the computations for the district under section 3317.022 205
or 3317.16 of the Revised Code: 206
(1) The taxable value of real and public utility real 208
property in the school district subject to taxation in the 209
preceding tax year, by class and by county of location; 210
(2) The taxable value of tangible personal property, 212
including public utility personal property, subject to taxation 213
by the district for the preceding tax year; 214
(3)(a) The total property tax rate and total taxes charged 216
and payable for the current expenses for the preceding tax year 217
and the total property tax rate and the total taxes charged and 218
payable to a joint vocational district for the preceding tax year 219
that are limited to or to the extent apportioned to current 220
expenses; 221
(b) The portion of the amount of taxes charged and payable 223
reported for each city, local, and exempted village school 224
district under division (A)(3)(a) of this section attributable to 225
a joint vocational school district. 226
(4) The value of all real and public utility real property 228
in the school district exempted from taxation minus both of the 229
following: 230
(a) The value of real and public utility real property in 232
the district owned by the United States government and used 233
exclusively for a public purpose; 234
(b) The value of real and public utility real property in 236
the district exempted from taxation under Chapter 725. or 1728. 237
or section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632, 238
5709.73, or 5709.78 of the Revised Code. 239
(5) The total effective operating tax rate for the 241
district in the tax year for which the most recent data are 242
available.
(B) On or before the first day of May each year, the tax 244
commissioner shall certify to the department of education the 245
total taxable real property value of railroads and, separately, 246
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the total taxable tangible personal property value of all public 247
utilities for the preceding tax year, by school district and by 248
county of location. 249
(C) IF A PUBLIC UTILITY HAS PROPERLY AND TIMELY FILED A 251
PETITION FOR REASSESSMENT UNDER SECTION 5727.47 OF THE REVISED 252
CODE WITH RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 253
OF THE REVISED CODE AFFECTING TAXABLE PROPERTY APPORTIONED BY THE
TAX COMMISSIONER TO A SCHOOL DISTRICT, THE TAXABLE VALUE OF 254
PUBLIC UTILITY TANGIBLE PERSONAL PROPERTY INCLUDED IN THE 256
CERTIFICATION UNDER DIVISIONS (A)(2) AND (B) OF THIS SECTION FOR 258
THE SCHOOL DISTRICT SHALL INCLUDE ONLY THE AMOUNT OF TAXABLE
VALUE ON THE BASIS OF WHICH THE PUBLIC UTILITY PAID TAX FOR THE 260
PRECEDING YEAR AS PROVIDED IN DIVISION (B)(1) OR (2) OF SECTION 262
5727.47 OF THE REVISED CODE.
(D) If on the basis of the information certified under 264
division (A) of this section, the department determines that any 265
district fails in any year to meet the qualification requirement 266
specified in division (A) of section 3317.01 of the Revised Code, 267
the department shall immediately request the tax commissioner to 268
determine the extent to which any school district income tax 269
levied by the district under Chapter 5748. of the Revised Code 270
shall be included in meeting that requirement. Within five days 271
of receiving such a request from the department, the tax 272
commissioner shall make the determination required by this 273
division and report the quotient obtained under division 275
(C)(D)(3) of this section to the department. This quotient 276
represents the number of mills that the department shall include 277
in determining whether the district meets the qualification 278
requirement of division (A) of section 3317.01 of the Revised 279
Code.
The tax commissioner shall make the determination required 281
by this division as follows: 282
(1) Multiply one mill times the total taxable value of the 284
district as determined in divisions (A)(1) and (2) of this 285
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section; 286
(2) Estimate the total amount of tax liability for the 288
current tax year under taxes levied by Chapter 5748. of the 289
Revised Code that are apportioned to current operating expenses 290
of the district; 291
(3) Divide the amount estimated under division (C)(D)(2) 293
of this section by the product obtained under division (C)(D)(1) 294
of this section. 296
(D)(E) As used in this section: 298
(1) "Class I taxes charged and payable for current 301
expenses" means taxes charged and payable for current expenses on
land and improvements classified as residential/agricultural real 302
property under section 5713.041 of the Revised Code. 304
(2) "Class I taxable value" means the taxable value of 307
land and improvements classified as residential/agricultural real 308
property under section 5713.041 of the Revised Code. 309
(3) "Class I effective operating tax rate" of a school 312
district means the quotient obtained by dividing the school 313
district's Class I taxes charged and payable for current expenses 314
by the district's Class I taxable value.
(4) "Income tax equivalent tax rate" of a school district 316
means the quotient obtained by dividing the income tax revenue 318
disbursed during the current fiscal year under any tax levied 320
pursuant to Chapter 5748. of the Revised Code by total taxable 321
value of the district to the extent the revenue from the tax is 322
allocated or apportioned to current expenses. 323
(5) "Total effective operating tax rate" means the sum of 326
the Class I effective operating tax rate and the income tax 328
equivalent tax rate.
Sec. 3317.025. On or before the first day of June of each 337
year, the tax commissioner shall certify the following 338
information to the department of education, for each school 339
district in which the value of the property described under 340
division (A) of this section exceeds one per cent of the taxable 341
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value of all real and tangible personal property in the district 342
or in which is located tangible personal property designed for 343
use or used in strip mining operations, whose taxable value 344
exceeds five million dollars, and the taxes upon which the 345
district is precluded from collecting by virtue of legal 346
proceedings to determine the value of such property: 347
(A) The total taxable value of all property in the 349
district owned by a public utility or railroad that has filed a 350
petition for reorganization under the "Bankruptcy Act," 47 Stat. 351
1474 (1898), 11 U.S.C. 205, as amended, and all tangible personal 352
property in the district designed for use or used in strip mining 353
operations whose taxable value exceeds five million dollars upon 354
which have not been paid in full on or before the first day of 355
April of that calendar year all real and tangible personal 356
property taxes levied for the preceding calendar year and which 357
the district was precluded from collecting by virtue of 358
proceedings under section 205 of said act or by virtue of legal 359
proceedings to determine the tax liability of such strip mining 360
equipment; 361
(B) The percentage of the total operating taxes charged 363
and payable for school district purposes levied against such 364
valuation for the preceding calendar year which have not been 365
paid by such date; 366
(C) The product obtained by multiplying the value 368
certified under division (A) of this section by the percentage 369
certified under division (B) of this section. If the value 371
certified under division (A) of this section includes taxable 372
property owned by a public utility or railroad that has filed a 373
petition for reorganization under the bankruptcy act, the amount 374
used in making the calculation under this division shall be 375
reduced by one per cent of the total value of all real and 376
tangible personal property in the district or the value of the 377
utility's or railroad's property, whichever is less. 378
Upon receipt of the certification, the department shall 380
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recompute the payments required under section 3317.022 of the 382
Revised Code in the manner the payments would have been computed 383
if:
(1) The amount certified under division (C) of this 385
section was not subject to taxation by the district and was not 386
included in the certification made under division (A)(1), (A)(2), 387
or (C)(D) of section 3317.021 of the Revised Code. 388
(2) The amount of taxes charged and payable and unpaid and 390
used to make the computation under division (B) of this section 391
had not been levied and had not been used in the computation 392
required by division (B) of section 3317.021 of the Revised Code. 393
The department shall pay the district that amount in the ensuing 394
fiscal year in lieu of the amounts computed under section 396
3317.022 of the Revised Code. 397
Sec. 5709.61. As used in sections 5709.61 to 5709.69 of 406
the Revised Code: 407
(A) "Enterprise zone" or "zone" means any of the 409
following: 410
(1) An area with a single continuous boundary designated 412
in the manner set forth in section 5709.62 or 5709.63 of the 413
Revised Code and certified by the director of development as 414
having a population of at least four thousand according to the 415
best and most recent data available to the director and having at 416
least two of the following characteristics: 417
(a) It is located in a municipal corporation defined by 419
the United States office of management and budget as a central 420
city of a metropolitan statistical area; 421
(b) It is located in a county designated as being in the 423
"Appalachian region" under the "Appalachian Regional Development 424
Act of 1965," 79 Stat. 5, 40 App. U.S.C.A. 403, as amended; 425
(c) Its average rate of unemployment, during the most 427
recent twelve-month period for which data are available, is equal 428
to at least one hundred twenty-five per cent of the average rate 429
of unemployment for the state of Ohio for the same period; 430
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(d) There is a prevalence of commercial or industrial 432
structures in the area that are vacant or demolished, or are 433
vacant and the taxes charged thereon are delinquent, and 434
certification of the area as an enterprise zone would likely 435
result in the reduction of the rate of vacant or demolished 436
structures or the rate of tax delinquency in the area; 437
(e) The population of all census tracts in the area, 439
according to the federal census of 1990, decreased by at least 440
ten per cent between the years 1970 and 1990; 441
(f) At least fifty-one per cent of the residents of the 443
area have incomes of less than eighty per cent of the median 444
income of residents of the municipal corporation or municipal 445
corporations in which the area is located, as determined in the 446
same manner specified under section 119(b) of the "Housing and 447
Community Development Act of 1974," 88 Stat. 633, 42 U.S.C. 5318, 448
as amended; 449
(g) The area contains structures previously used for 451
industrial purposes but currently not so used due to age, 452
obsolescence, deterioration, relocation of the former occupant's 453
operations, or cessation of operations resulting from unfavorable 454
economic conditions either generally or in a specific economic 455
sector; 456
(h) It is located within one or more adjacent city, local, 459
or exempted village school districts, the income-weighted tax 460
capacity of each of which is less than seventy per cent of the 461
average of the income-weighted tax capacity of all city, local, 462
or exempted village school districts in the state according to 463
the most recent data available to the director from the 464
department of taxation.
The director of development shall adopt rules in accordance 466
with Chapter 119. of the Revised Code establishing conditions 467
constituting the characteristics described in divisions 468
(A)(1)(d), (g), and (h) of this section. 469
If an area could not be certified as an enterprise zone 471
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unless it satisfied division (A)(1)(g) of this section, the 472
legislative authority may enter into agreements in that zone 473
under section 5709.62, 5709.63, or 5709.632 of the Revised Code 474
only if such agreements result in the development of the 475
facilities described in that division, the parcel of land on 476
which such facilities are situated, or adjacent parcels. The 477
director of development annually shall review all agreements in 478
such zones to determine whether the agreements have resulted in 479
such development; if the director determines that the agreements 480
have not resulted in such development, the director immediately 481
shall revoke certification of the zone and notify the legislative 482
authority of such revocation. Any agreements entered into prior 483
to revocation under this paragraph shall continue in effect for 484
the period provided in the agreement. 485
(2) An area with a single continuous boundary designated 487
in the manner set forth in section 5709.63 of the Revised Code 488
and certified by the director of development as: 489
(a) Being located within a county that contains a 491
population of three hundred thousand or less; 492
(b) Having a population of at least one thousand according 494
to the best and most recent data available to the director; 495
(c) Having at least two of the characteristics described 497
in divisions (A)(1)(b) to (h) of this section. 498
(3) An area with a single continuous boundary designated 500
in the manner set forth under division (A)(1) of section 5709.632 501
of the Revised Code and certified by the director of development 502
as having a population of at least four thousand, or under 503
division (A)(2) of that section and certified as having a 504
population of at least one thousand, according to the best and 505
most recent data available to the director. 506
(B) "Enterprise" means any form of business organization 508
including, but not limited to, any partnership, sole 509
proprietorship, or corporation, including an S corporation as 510
defined in section 1361 of the Internal Revenue Code and any 511
13
corporation that is majority work-owned either directly through 512
the ownership of stock or indirectly through participation in an 513
employee stock ownership plan. 514
(C) "Facility" means an enterprise's place of business in 516
a zone, including land, buildings, machinery, equipment, and 517
other materials, except inventory, used in business. "Facility" 518
includes land, buildings, machinery, production and station 519
equipment, other equipment, and other materials, except 521
inventory, used in business to generate electricity that is 522
designed and intended to operate during peak load periods and to
generate electricity during no more than four thousand three 523
hundred fifty hours in a calendar year, provided that, for 524
purposes of sections 5709.61 to 5709.69 of the Revised Code, the 525
value of the property at such a facility shall be reduced by the 527
value, if any, that is not apportioned under section 5727.15 of 528
the Revised Code to the taxing district in which the facility is 529
physically located. In the case of such a facility that is 530
physically located in two adjacent taxing districts, the property 531
located in each taxing district constitutes a separate facility. 533
"Facility" does not include any portion of an enterprise's 535
place of business used primarily for making retail sales unless 537
the place of business is located in an impacted city as defined 538
in section 1728.01 of the Revised Code. 539
(D) "Vacant facility" means a facility that has been 541
vacant for at least ninety days immediately preceding the date on 542
which an agreement is entered into under section 5709.62 or 543
5709.63 of the Revised Code. 544
(E) "Expand" means to make expenditures to add land, 546
buildings, machinery, equipment, or other materials, except 547
inventory, to a facility that equal at least ten per cent of the 548
market value of the facility prior to such expenditures, as 549
determined for the purposes of local property taxation. 550
(F) "Renovate" means to make expenditures to alter or 552
repair a facility that equal at least fifty per cent of the 553
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market value of the facility prior to such expenditures, as 554
determined for the purposes of local property taxation. 555
(G) "Occupy" means to make expenditures to alter or repair 557
a vacant facility equal to at least twenty per cent of the market 558
value of the facility prior to such expenditures, as determined 559
for the purposes of local property taxation. 560
(H) "Project site" means all or any part of a facility 562
that is newly constructed, expanded, renovated, or occupied by an 563
enterprise. 564
(I) "Project" means any undertaking by an enterprise to 566
establish a facility or to improve a project site by expansion, 567
renovation, or occupancy. 568
(J) "Position" means the position of one full-time 570
employee performing a particular set of tasks and duties. 571
(K) "Full-time employee" means an individual who is 573
employed for consideration by an enterprise for at least 574
thirty-five hours a week, or who renders any other standard of 575
service generally accepted by custom or specified by contract as 576
full-time employment. 577
(L) "New employee" means a full-time employee first 579
employed by an enterprise at a facility that is a project site 580
after the enterprise enters an agreement under section 5709.62 or 581
5709.63 of the Revised Code. "New employee" does not include an 582
employee if, immediately prior to being employed by the 583
enterprise, the employee was employed by an enterprise that is a 584
related member or predecessor enterprise of that enterprise. 585
(M) "Unemployed person" means any person who is totally 587
unemployed in this state, as that term is defined in division (M) 588
of section 4141.01 of the Revised Code, for at least ten 589
consecutive weeks immediately preceding that person's employment 591
at a facility that is a project site, or who is so unemployed for 592
at least twenty-six of the fifty-two weeks immediately preceding 593
that person's employment at such a facility. 595
(N) "JTPA eligible employee" means any individual who is 597
15
eligible for employment or training under the "Job Training 598
Partnership Act," 96 Stat. 1324 (1982), 29 U.S.C. 1501, as 599
amended.
(O) "First used in business" means that the property 601
referred to has not been used in business in this state by the 602
enterprise that owns it, or by an enterprise that is a related 603
member or predecessor enterprise of such an enterprise, other 604
than as inventory, prior to being used in business at a facility 605
as the result of a project. 606
(P) "Training program" means any noncredit training 608
program or course of study that is offered by any state college 609
or university; university branch district; community college; 610
technical college; nonprofit college or university certified 611
under section 1713.02 of the Revised Code; school district; joint 612
vocational school district; school registered and authorized to 613
offer programs under section 3332.05 of the Revised Code; an 614
entity administering any federal, state, or local adult education 615
and training program; or any enterprise; and that meets all of 616
the following requirements: 617
(1) It is approved by the director of development; 619
(2) It is established or operated to satisfy the need of a 621
particular industry or enterprise for skilled or semi-skilled 622
employees; 623
(3) An individual is required to complete the course or 625
program before filling a position at a project site. 626
(Q) "Development" means to engage in the process of 628
clearing and grading land, making, installing, or constructing 629
water distribution systems, sewers, sewage collection systems, 630
steam, gas, and electric lines, roads, curbs, gutters, sidewalks, 631
storm drainage facilities, and construction of other facilities 632
or buildings equal to at least fifty per cent of the market value 633
of the facility prior to the expenditures, as determined for the 634
purposes of local property taxation. 635
(R) "Large manufacturing facility" means a single Ohio 637
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facility that employed an average of at least one thousand 638
individuals during the five calendar years preceding an agreement 640
authorized under division (C)(3) of section 5709.62 or division 641
(B)(2) of section 5709.63 of the Revised Code. For purposes of
this division, both of the following apply: 642
(1) A single Ohio manufacturing facility employed an 645
average of at least one thousand individuals during the five 646
calendar years preceding entering into such an agreement if 647
one-fifth of the sum of the number of employees employed on the 648
highest employment day during each of the five calendar years 649
equals or exceeds one thousand. 650
(2) The highest employment day is the day or days during a 653
calendar year on which the number of employees employed at a
single Ohio manufacturing facility was greater than on any other 655
day during the calendar year.
(S) "Business cycle" means the cycle of business activity 657
usually regarded as passing through alternating stages of 658
prosperity and depression. 659
(T) "Making retail sales" means the effecting of 661
transactions wherein one party is obligated to pay the price and 662
the other party is obligated to provide a service or to transfer 663
title to or possession of the item sold. 664
(U) "Environmentally contaminated" means that hazardous 666
substances exist at a facility under conditions that have caused 667
or would cause the facility to be identified as contaminated by 668
the state or federal environmental protection agency. These may 669
include facilities located at sites identified in the master 670
sites list or similar database maintained by the state 671
environmental protection agency if the sites have been 672
investigated by the agency and found to be contaminated. 673
(V) "Remediate" means to make expenditures to clean up an 675
environmentally contaminated facility so that it is no longer 676
environmentally contaminated that equal at least ten per cent of 677
the real property market value of the facility prior to such 678
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expenditures as determined for the purposes of property taxation. 679
(W) "Related member" has the same meaning as defined in 681
section 5733.042 of the Revised Code without regard to division 682
(B) of that section, except that it is used with respect to an 683
enterprise rather than a taxpayer. 684
(X) "Predecessor enterprise" means an enterprise from 686
which the assets or equity of another enterprise has been 687
transferred, which transfer resulted in the full or partial 688
nonrecognition of gain or loss, or resulted in a carryover basis, 689
both as determined by rule adopted by the tax commissioner. 690
(Y) "Successor enterprise" means an enterprise to which 692
the assets or equity of another enterprise has been transferred, 693
which transfer resulted in the full or partial nonrecognition of 694
gain or loss, or resulted in a carryover basis, both as 695
determined by rule adopted by the tax commissioner. 696
Sec. 5727.08. On or before the first day of March, 705
annually, each public utility shall file a report with the tax 706
commissioner, on a form prescribed by him THE TAX COMMISSIONER. 707
The report shall include such information as the TAX commissioner 709
requires to enable him THE TAX COMMISSIONER to make any 711
assessment or apportionment required under this chapter. 713
Such THE report shall be signed by either the owner of the 715
public utility or the president, secretary, treasurer, or another 716
duly authorized person. 717
If a public utility fails to file the report on or before 719
the first day of March, or the date it is due under an extension 720
allowed pursuant to section 5727.48 of the Revised Code, or fails 721
to accurately report all taxable property, the TAX commissioner 723
shall MAY impose a penalty of up to fifty per cent of the taxable 724
value of the property that was not timely or accurately reported. 727
However, if such THE public utility files, within sixty days 728
after the first day of March or the extended due date, the report 729
or an amended report and discloses all items of taxable property 730
that are required by this chapter to be reported, the penalty 732
18
shall be up to NOT BE MORE THAN five per cent of the taxable 733
value that was not timely or accurately reported. The penalty 736
shall be added to and considered a part of the total taxable 738
value of the property that was not timely or accurately reported, 739
and may be abated in whole or in part by the tax commissioner 741
pursuant to a petition for reassessment filed under section 742
5727.47 of the Revised Code.
Sec. 5727.47. (A) A copy of each assessment certified 751
pursuant to section 5727.23 or 5727.38 of the Revised Code shall 753
be mailed to the public utility, and its mailing shall be
prima-facie evidence of its receipt by the public utility to 754
which it is addressed. If a public utility objects to any 755
assessment certified to it pursuant to such sections, it may file 756
a petition for reassessment with the tax commissioner. The 757
petition must be made in writing, signed by the authorized agent 758
of the utility having knowledge of the facts, and filed with the 759
TAX commissioner, in person or by certified mail, within thirty 760
days from the date that the assessment was mailed. If the 762
petition is filed by certified mail, the date of the United 763
States postmark placed on the sender's receipt by the postal 764
employee to whom the petition is presented shall be treated as 765
the date of filing. A true copy of the assessment objected to 766
shall be attached to the petition and shall be incorporated by 767
reference into the petition, but the failure to attach a copy of 768
the assessment and incorporate it by reference does not 769
invalidate the petition. The petition also shall indicate the 770
utility's objections, but additional objections may be raised in 771
writing if received prior to the date shown on the final 772
determination by the commissioner.
Notwithstanding the fact that a petition has been filed, IN 775
THE CASE OF A PETITION SEEKING A REDUCTION IN TAXABLE VALUE FILED
WITH RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 776
REVISED CODE, THE PETITIONER SHALL STATE IN THE PETITION THE 778
TOTAL AMOUNT OF REDUCTION IN TAXABLE VALUE SOUGHT BY THE 779
19
PETITIONER. IF THE PETITIONER OBJECTS TO THE PERCENTAGE OF TRUE 780
VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED BY THE TAX 781
COMMISSIONER, THE PETITIONER SHALL STATE IN THE PETITION THE
TOTAL AMOUNT OF REDUCTION IN TAXABLE VALUE SOUGHT BOTH WITH AND 783
WITHOUT REGARD TO THE OBJECTION PERTAINING TO THE PERCENTAGE OF 784
TRUE VALUE AT WHICH ITS TAXABLE PROPERTY IS ASSESSED. IF A 786
PETITIONER OBJECTS TO THE TAX COMMISSIONER'S APPORTIONMENT OF THE 787
TAXABLE VALUE OF THE PETITIONER'S TAXABLE PROPERTY, THE 788
PETITIONER SHALL DISTINCTLY STATE IN THE PETITION THAT THE 789
PETITIONER OBJECTS TO THE TAX COMMISSIONER'S APPORTIONMENT, AND, 790
WITHIN FORTY-FIVE DAYS AFTER FILING THE PETITION FOR 791
REASSESSMENT, SHALL SUBMIT THE PETITIONER'S PROPOSED 792
APPORTIONMENT OF THE TAXABLE VALUE OF ITS TAXABLE PROPERTY AMONG 793
TAXING DISTRICTS. IF A PETITIONER THAT OBJECTS TO THE TAX 794
COMMISSIONER'S APPORTIONMENT FAILS TO STATE ITS OBJECTIONS TO 795
THAT APPORTIONMENT IN ITS PETITION FOR REASSESSMENT OR FAILS TO 796
SUBMIT ITS PROPOSED APPORTIONMENT WITHIN FORTY-FIVE DAYS AFTER 797
FILING THE PETITION FOR REASSESSMENT, THE TAX COMMISSIONER SHALL 798
DISMISS THE PETITIONER'S OBJECTION TO THE TAX COMMISSIONER'S 799
APPORTIONMENT, AND THE TAXABLE VALUE OF THE PETITIONER'S TAXABLE 800
PROPERTY, SUBJECT TO ANY ADJUSTMENT TO TAXABLE VALUE PURSUANT TO 801
THE PETITION OR APPEAL, SHALL BE APPORTIONED IN THE MANNER USED 802
BY THE TAX COMMISSIONER IN THE PRELIMINARY OR AMENDED PRELIMINARY 803
ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE REVISED CODE. 804
IF AN ADDITIONAL OBJECTION SEEKING A REDUCTION IN TAXABLE 806
VALUE IN EXCESS OF THE REDUCTION STATED IN THE ORIGINAL PETITION 807
IS PROPERLY AND TIMELY RAISED WITH RESPECT TO AN ASSESSMENT 808
ISSUED UNDER SECTION 5727.23 OF THE REVISED CODE, THE PETITIONER 809
SHALL STATE THE TOTAL AMOUNT OF THE REDUCTION IN TAXABLE VALUE 810
SOUGHT IN THE ADDITIONAL OBJECTION BOTH WITH AND WITHOUT REGARD 811
TO ANY REDUCTION IN TAXABLE VALUE PERTAINING TO THE PERCENTAGE OF 813
TRUE VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED. IF A 814
PETITIONER FAILS TO STATE THE REDUCTION IN TAXABLE VALUE SOUGHT 815
IN THE ORIGINAL PETITION OR IN ADDITIONAL OBJECTIONS PROPERLY 816
20
RAISED AFTER THE PETITION IS FILED, THE TAX COMMISSIONER SHALL 817
NOTIFY THE PETITIONER OF THE FAILURE BY CERTIFIED MAIL. IF THE 818
PETITIONER FAILS TO NOTIFY THE TAX COMMISSIONER IN WRITING OF THE 819
REDUCTION IN TAXABLE VALUE SOUGHT IN THE PETITION OR IN AN 820
ADDITIONAL OBJECTION WITHIN THIRTY DAYS AFTER RECEIVING THE TAX 821
COMMISSIONER'S NOTICE, THE TAX COMMISSIONER SHALL DISMISS THE 822
PETITION OR THE ADDITIONAL OBJECTION IN WHICH THAT REDUCTION IS 823
SOUGHT.
(B)(1) SUBJECT TO DIVISIONS (B)(2) AND (3) OF THIS 825
SECTION, A PUBLIC UTILITY FILING A PETITION FOR REASSESSMENT 827
REGARDING AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OR 5727.38 828
OF THE REVISED CODE SHALL PAY the tax with respect to the 829
assessment objected to shall be paid as required by law. The 830
acceptance of the ANY tax payment by the treasurer of state or 832
any county treasurer shall not prejudice any claim for taxes on 833
final determination by the TAX commissioner or final decision by 834
the board of tax appeals or any court.
(2) IF A PUBLIC UTILITY PROPERLY AND TIMELY FILES A 836
PETITION FOR REASSESSMENT REGARDING AN ASSESSMENT ISSUED UNDER 837
SECTION 5727.23 OF THE REVISED CODE, THE PETITIONER SHALL PAY THE 838
TAX AS PRESCRIBED BY DIVISIONS (B)(2)(a), (b), AND (c) OF THIS 840
SECTION:
(a) IF THE PETITIONER DOES NOT OBJECT TO THE TAX 842
COMMISSIONER'S APPORTIONMENT OF THE TAXABLE VALUE OF THE 844
PETITIONER'S TAXABLE PROPERTY, THE PETITIONER IS NOT REQUIRED TO 846
PAY THE PART OF THE TAX OTHERWISE DUE ON THE TAXABLE VALUE THAT 847
THE PETITIONER SEEKS TO HAVE REDUCED, SUBJECT TO DIVISION 848
(B)(2)(c) OF THIS SECTION.
(b) IF THE PETITIONER OBJECTS TO THE TAX COMMISSIONER'S 850
APPORTIONMENT OF THE TAXABLE VALUE OF THE PETITIONER'S TAXABLE 851
PROPERTY, THE PETITIONER IS NOT REQUIRED TO PAY THE TAX OTHERWISE 853
DUE ON THE PART OF THE TAXABLE VALUE APPORTIONED TO ANY TAXING 854
DISTRICT THAT THE PETITIONER OBJECTS TO, SUBJECT TO DIVISION 855
(B)(2)(c) OF THIS SECTION. IF, PURSUANT TO DIVISION (A) OF THIS 856
21
SECTION, THE PETITIONER HAS, IN A PROPER AND TIMELY MANNER, 857
APPORTIONED TAXABLE VALUE TO A TAXING DISTRICT TO WHICH THE TAX 858
COMMISSIONER DID NOT APPORTION THE PETITIONER'S TAXABLE VALUE, 859
THE PETITIONER SHALL PAY THE TAX DUE ON THE TAXABLE VALUE THAT 860
THE PETITIONER HAS APPORTIONED TO THE TAXING DISTRICT, SUBJECT TO 861
DIVISION (B)(2)(c) OF THIS SECTION. 862
(c) IF A PETITIONER OBJECTS TO THE PERCENTAGE OF TRUE 864
VALUE AT WHICH TAXABLE PROPERTY IS ASSESSED BY THE TAX 865
COMMISSIONER, THE PETITIONER SHALL PAY THE TAX DUE ON THE BASIS 867
OF THE PERCENTAGE OF TRUE VALUE AT WHICH THE PUBLIC UTILITY'S
TAXABLE PROPERTY IS ASSESSED BY THE TAX COMMISSIONER. IN ANY 869
CASE, THE PETITIONER'S PAYMENT OF TAX SHALL NOT BE LESS THAN THE 870
AMOUNT OF TAX DUE BASED ON THE TAXABLE VALUE REFLECTED ON THE
LAST APPEAL NOTICE ISSUED BY THE TAX COMMISSIONER UNDER DIVISION 871
(C) OF THIS SECTION. UNTIL THE COUNTY AUDITOR RECEIVES 873
NOTIFICATION UNDER DIVISION (E) OF THIS SECTION AND PROCEEDS 874
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 875
REFUND FOR ANY INCREASE IN THE REDUCTION IN TAXABLE VALUE THAT IS 876
SOUGHT BY A PETITIONER LATER THAN FORTY-FIVE DAYS AFTER THE 877
PETITIONER FILES THE ORIGINAL PETITION AS REQUIRED UNDER DIVISION 878
(A) OF THIS SECTION. 879
(3) ANY PART OF THE TAX THAT, UNDER DIVISION (B)(2)(a) OR 882
(b) OF THIS SECTION, IS NOT PAID SHALL BE COLLECTED UPON RECEIPT 885
OF THE NOTIFICATION AS PROVIDED IN SECTION 5727.471 OF THE
REVISED CODE WITH INTEREST THEREON COMPUTED IN THE SAME MANNER AS 886
INTEREST IS COMPUTED UNDER DIVISION (E) OF SECTION 5715.19 OF THE 887
REVISED CODE, SUBJECT TO ANY CORRECTION OF THE ASSESSMENT BY THE 890
TAX COMMISSIONER UNDER DIVISION (E) OF THIS SECTION OR THE FINAL 891
JUDGMENT OF THE BOARD OF TAX APPEALS OR A COURT TO WHICH THE 892
BOARD'S FINAL JUDGMENT IS APPEALED. THE PENALTY IMPOSED UNDER 894
SECTION 323.121 OF THE REVISED CODE SHALL APPLY ONLY TO THE 895
UNPAID PORTION OF THE TAX IF THE PETITIONER'S TAX PAYMENT IS LESS 896
THAN THE AMOUNT OF TAX DUE BASED ON THE TAXABLE VALUE REFLECTED 897
22
ON THE LAST APPEAL NOTICE ISSUED BY THE TAX COMMISSIONER UNDER 898
DIVISION (C) OF THIS SECTION. 899
(C) Upon receipt of a properly filed petition FOR 901
REASSESSMENT, the TAX commissioner shall notify the treasurer of 903
state or the auditor of each county to which the assessment 904
objected to has been certified. IN THE CASE OF A PETITION WITH 905
RESPECT TO AN ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 906
REVISED CODE, THE TAX COMMISSIONER SHALL ISSUE AN APPEAL NOTICE 907
WITHIN THIRTY DAYS AFTER RECEIVING THE AMOUNT OF THE TAXABLE 908
VALUE REDUCTION AND APPORTIONMENT CHANGES SOUGHT BY THE 909
PETITIONER IN THE ORIGINAL PETITION OR IN ANY ADDITIONAL 910
OBJECTIONS PROPERLY AND TIMELY RAISED BY THE PETITIONER. THE 911
APPEAL NOTICE SHALL INDICATE THE AMOUNT OF THE REDUCTION IN 913
TAXABLE VALUE SOUGHT IN THE PETITION OR IN THE ADDITIONAL 914
OBJECTIONS AND THE EXTENT TO WHICH THE REDUCTION IN TAXABLE VALUE 915
AND ANY CHANGE IN APPORTIONMENT REQUESTED BY THE PETITIONER WOULD 917
AFFECT THE TAX COMMISSIONER'S APPORTIONMENT OF THE TAXABLE VALUE 918
AMONG TAXING DISTRICTS IN THE COUNTY AS SHOWN IN THE ASSESSMENT. 919
IF A PETITIONER IS SEEKING A REDUCTION IN TAXABLE VALUE ON THE 920
BASIS OF A LOWER PERCENTAGE OF TRUE VALUE THAN THE PERCENTAGE AT 921
WHICH THE TAX COMMISSIONER ASSESSED THE PETITIONER'S TAXABLE 922
PROPERTY, THE APPEAL NOTICE SHALL INDICATE THE REDUCTION IN 923
TAXABLE VALUE SOUGHT BY THE PETITIONER WITHOUT REGARD TO THE 924
REDUCTION SOUGHT ON THE BASIS OF THE LOWER PERCENTAGE AND SHALL 925
INDICATE THAT THE PETITIONER IS REQUIRED TO PAY TAX ON THE 926
REDUCED TAXABLE VALUE DETERMINED WITHOUT REGARD TO THE REDUCTION 927
SOUGHT ON THE BASIS OF A LOWER PERCENTAGE OF TRUE VALUE, AS 928
PROVIDED UNDER DIVISION (B)(2)(c) OF THIS SECTION. THE APPEAL 930
NOTICE SHALL INCLUDE A STATEMENT THAT THE REDUCED TAXABLE VALUE 931
AND THE APPORTIONMENT INDICATED IN THE NOTICE ARE NOT FINAL AND 932
ARE SUBJECT TO ADJUSTMENT BY THE TAX COMMISSIONER OR BY THE BOARD 933
OF TAX APPEALS OR A COURT ON APPEAL. IF THE TAX COMMISSIONER 935
FINDS AN ERROR IN THE APPEAL NOTICE, THE TAX COMMISSIONER MAY 936
AMEND THE NOTICE, BUT THE NOTICE IS ONLY FOR INFORMATIONAL AND 937
23
TAX PAYMENT PURPOSES; THE NOTICE IS NOT SUBJECT TO APPEAL BY ANY 938
PERSON. THE TAX COMMISSIONER ALSO SHALL MAIL A COPY OF THE 939
APPEAL NOTICE TO THE PETITIONER. UPON THE REQUEST OF A TAXING
AUTHORITY, THE COUNTY AUDITOR MAY DISCLOSE TO THE TAXING 941
AUTHORITY THE EXTENT TO WHICH A REDUCTION IN TAXABLE VALUE SOUGHT 942
BY A PETITIONER WOULD AFFECT THE APPORTIONMENT OF TAXABLE VALUE 943
TO THE TAXING DISTRICT OR DISTRICTS UNDER THE TAXING AUTHORITY'S 944
JURISDICTION, BUT SUCH A DISCLOSURE DOES NOT CONSTITUTE A NOTICE 945
REQUIRED BY LAW TO BE GIVEN FOR THE PURPOSE OF SECTION 5717.02 OF 946
THE REVISED CODE.
(D) Unless the petitioner waives a hearing, the 948
commissioner shall assign a time and place for the hearing on the 949
petition and notify the petitioner of the time and place of the 950
hearing by personal service or certified mail, but the 951
commissioner may continue the hearing from time to time if 952
necessary.
(E) The TAX commissioner may make such correction to the 954
assessment as the TAX commissioner finds proper. The TAX 956
commissioner shall serve a copy of the commissioner's final 959
determination on the petitioner by personal service or certified 960
mail, and the TAX commissioner's decision in the matter shall be 961
final, subject to appeal as provided in section 5717.02 of the 962
Revised Code. The TAX commissioner also shall transmit a copy of 963
the final determination to the treasurer of state or applicable 965
county auditor. In the absence of any further appeal, or when a 966
decision of the board of tax appeals or of any court to which the 967
decision has been appealed becomes final, the TAX commissioner 968
shall notify the public utility and, as appropriate, the 969
treasurer of state who shall proceed under section 5727.42 of the 970
Revised Code, or the applicable county auditor who shall proceed 971
under section 5727.471 of the Revised Code. The IN ANY 973
NOTIFICATION REGARDING AN ASSESSMENT ISSUED UNDER SECTION 5727.23 974
OF THE REVISED CODE, THE TAX COMMISSIONER SHALL INCLUDE A NOTICE 975
OF THE AMOUNT OF ANY STATE BASIC AID OVERPAYMENT, AS DEFINED IN 976
24
SECTION 5727.471 OF THE REVISED CODE, TO A SCHOOL DISTRICT 977
AFFECTED BY THE NOTIFICATION. UPON THE TAX COMMISSIONER'S 978
REQUEST, THE DEPARTMENT OF EDUCATION SHALL CERTIFY TO THE TAX 979
COMMISSIONER THE AMOUNT OF ANY STATE BASIC AID OVERPAYMENT TO A 980
SCHOOL DISTRICT.
THE notification MADE UNDER THIS DIVISION is not subject to 983
further appeal.
(F) ON APPEAL, NO ADJUSTMENT SHALL BE MADE IN THE TAX 985
COMMISSIONER'S ASSESSMENT ISSUED UNDER SECTION 5727.23 OF THE 986
REVISED CODE THAT REDUCES THE TAXABLE VALUE OF A PETITIONER'S 987
TAXABLE PROPERTY BY AN AMOUNT THAT EXCEEDS THE REDUCTION SOUGHT 988
BY THE PETITIONER IN ITS PETITION FOR REASSESSMENT OR IN ANY 989
ADDITIONAL OBJECTIONS PROPERLY AND TIMELY RAISED AFTER THE 990
PETITION IS FILED WITH THE TAX COMMISSIONER. 991
Sec. 5727.471. (A) As used in this section, 1,001
"notification:
(1) "NOTIFICATION" means notification required by section 1,003
5727.47 of the Revised Code to be sent by the tax commissioner to 1,004
the county auditor as to the disposition of a petition for 1,005
reassessment, or of a decision of the board of tax appeals or any 1,006
court with respect to an assessment of public utility property 1,007
taxes.
(2) "STATE BASIC AID OVERPAYMENT" FOR A SCHOOL DISTRICT 1,009
MEANS THE AMOUNT BY WHICH THE PAYMENT COMPUTED FOR A FISCAL YEAR 1,010
UNDER SECTION 3317.022 OF THE REVISED CODE EXCEEDS THE AMOUNT 1,011
THAT WOULD HAVE BEEN COMPUTED FOR THAT FISCAL YEAR IF THE TAXABLE 1,012
VALUE CERTIFIED UNDER DIVISION (A)(2) AND (B) OF SECTION 3317.021 1,013
OF THE REVISED CODE FOR THE TAX YEAR PRECEDING THAT FISCAL YEAR 1,014
HAD BEEN THE TAXABLE VALUE SHOWN IN THE NOTIFICATION FOR THAT TAX 1,015
YEAR.
(B) On receipt of the notification, the auditor shall 1,017
determine whether there has been an underpayment or overpayment 1,018
of taxes by the public utility. In the case of an underpayment 1,019
of taxes, the auditor shall notify the county treasurer of the 1,020
25
amount, and the treasurer shall proceed to collect the 1,021
underpayment as required by law. In FROM THE PROCEEDS OF THE 1,023
UNDERPAYMENT SO COLLECTED THAT ARE OTHERWISE PAYABLE TO A CITY, 1,024
LOCAL, OR EXEMPTED VILLAGE SCHOOL DISTRICT, THE COUNTY TREASURER 1,025
SHALL DEDUCT AND WITHHOLD AN AMOUNT EQUAL TO THE STATE BASIC AID 1,026
OVERPAYMENT, IF ANY, TO THE SCHOOL DISTRICT, PLUS INTEREST ON 1,027
THAT AMOUNT AT THE RATE PRESCRIBED BY SECTION 5703.47 OF THE 1,028
REVISED CODE FROM THE LAST DAY OF THE FISCAL YEAR FOR WHICH THE 1,029
STATE BASIC AID PAYMENT WAS MADE TO THE DAY THE UNDERPAYMENT IS
COLLECTED. THE COUNTY TREASURER SHALL PAY THE AMOUNT DEDUCTED 1,030
AND WITHHELD TO THE TREASURER OF STATE, WHO SHALL CREDIT THE 1,031
PAYMENT TO THE GENERAL REVENUE FUND. IF THE STATE BASIC AID 1,032
OVERPAYMENT AND INTEREST EXCEEDS THE AMOUNT OF THE TAX 1,033
UNDERPAYMENT COLLECTED THAT IS OTHERWISE PAYABLE TO THE SCHOOL 1,034
DISTRICT, THE COUNTY TREASURER SHALL COLLECT THE DIFFERENCE FROM 1,035
THE SCHOOL DISTRICT OR DEDUCT AND WITHHOLD THE DIFFERENCE FROM 1,036
THE NEXT DISTRIBUTION OR ADVANCE PAYMENT OF PROPERTY TAXES TO THE 1,037
DISTRICT, AND SHALL PAY THAT DIFFERENCE TO THE TREASURER OF 1,038
STATE, WHO SHALL CREDIT THE PAYMENT TO THE GENERAL REVENUE FUND. 1,039
IN the case of an overpayment of taxes, the auditor shall 1,042
do any one of the following:
(1) Refund the full amount of the overpayment; 1,044
(2) Refund a portion of the overpayment and prorate the 1,046
remaining balance as a credit against future taxes that may be 1,047
charged to the public utility; 1,048
(3) Prorate the full amount of the overpayment as a credit 1,050
against future taxes that may be charged to the public utility. 1,051
(C)(1) The auditor shall have discretion as to which 1,053
method to use and shall advise the public utility of his THE 1,054
AUDITOR'S decision within sixty days after receipt of the 1,056
notification. The auditor shall make payment of any refund under 1,057
division (B)(1) or (2) of this section within ninety days after 1,058
receipt of the notification. Except as otherwise provided in 1,059
division (C)(2) of this section, any amount to be credited under 1,060
26
division (B)(2) or (3) of this section shall be applied to all or 1,061
a part of the taxes otherwise due from the public utility on real 1,062
and public utility property tax installment due dates after the 1,063
date on which the notification was received, but shall not be 1,064
spread over more than the next ten ensuing installment due dates. 1,065
If any portion of the overpayment has not been refunded or 1,066
credited by the tenth such tax installment due date after the 1,067
date on which the notification was received, the auditor 1,068
immediately shall refund that portion. 1,069
(2) The tax commissioner may certify to a county auditor, 1,071
in writing, that a public utility is no longer required to file a 1,072
report under section 5727.08 of the Revised Code. Within ninety 1,073
days of the date of such certification, the auditor shall refund 1,074
to the utility, with applicable interest, the portion of any 1,075
overpayment that has not been refunded or credited to the utility 1,076
under this section. 1,077
(D) The auditor shall add interest to the amount of any 1,079
overpayment of taxes at the rate per calendar month, rounded to 1,080
the nearest one-hundredth of one per cent, equal to one-twelfth 1,081
of the rate per annum prescribed by section 5703.47 of the 1,082
Revised Code. The interest shall begin to accrue from the first 1,083
day of the month following the date of the overpayment until the 1,084
last day of the month preceding the date the overpayment or 1,085
portion of the overpayment is refunded or credited, and shall be 1,086
computed separately on each amount actually refunded or credited. 1,087
In computing interest on credits, when an overpayment is credited 1,088
against an installment of current taxes due from the utility 1,089
pursuant to this section, the overpayment shall be considered to 1,090
have been credited on the last date on which those taxes may be 1,091
paid without penalty. 1,092
(E) The refund and crediting of any overpayment, including 1,094
interest, shall be paid from or credited against the fund or 1,095
funds and the taxing districts to which the overpayment 1,096
originally was paid, in proportion to the amount of the 1,097
27
overpayment received. The auditor shall correct his THE 1,098
AUDITOR'S tax lists in accordance with the refund or credit, and 1,100
shall certify corrections in the tax duplicates to the county 1,101
treasurer. At each settlement affected by a refund or credit 1,102
under this section, the amount of the refund or credit shall be 1,103
deducted from the amount of any taxes or assessments 1,104
distributable to the county or any taxing unit in the county that 1,105
has received the benefit of the taxes or assessment previously 1,106
overpaid, in proportion to the overpayment previously received. 1,107
Section 2. That existing sections 3317.01, 3317.021, 1,109
3317.025, 5709.61, 5727.08, 5727.47, and 5727.471 of the Revised 1,110
Code are hereby repealed. 1,111
Section 3. The amendment by this act of sections 5727.08 1,113
and 5727.47 of the Revised Code applies to tax years 2001 and 1,114
thereafter.