As Reported by the Senate Finance and Financial 1
Institutions Committee 2
123rd General Assembly 5
Regular Session Am. S. B. No. 53 6
1999-2000 7
SENATORS CARNES-GARDNER-KEARNS 9
_________________________________________________________________ 11
A B I L L
To amend sections 3345.01, 3354.09, 3355.06, and 13
3357.09 and to enact section 3333.32 of the 14
Revised Code and to amend Section 99.01 of Am. 15
Sub. H.B. 215 of the 122nd General Assembly to 16
grant in-state tuition rates and subsidies at
certain public institutions of higher education 17
to residents of contiguous states who are 18
employed in Ohio and whose employers contract to 19
pay their tuition and fees.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 21
Section 1. That sections 3345.01, 3354.09, 3355.06, and 23
3357.09 be amended and section 3333.32 of the Revised Code be 24
enacted to read as follows:
Sec. 3333.32. FOR PURPOSES OF STATE SUBSIDY AND TUITION 26
AND FEE SURCHARGES, A STUDENT ATTENDING A STATE UNIVERSITY LISTED 28
IN SECTION 3345.011 OF THE REVISED CODE, A COMMUNITY COLLEGE, A 30
TECHNICAL COLLEGE, A UNIVERSITY BRANCH, OR A STATE COMMUNITY 31
COLLEGE HAS RESIDENT STATUS IF ALL OF THE FOLLOWING CONDITIONS 32
APPLY:
(A) THE STUDENT RESIDES IN A CONTIGUOUS STATE. 35
(B) THE STUDENT IS EMPLOYED IN OHIO BY A BUSINESS, 38
ORGANIZATION, OR GOVERNMENT AGENCY LOCATED IN OHIO. 40
(C) THE EMPLOYER ENTERS INTO A CONTRACT WITH THE 43
INSTITUTION OF HIGHER EDUCATION UNDER WHICH THE EMPLOYER PAYS ALL 44
OF THE STUDENT'S TUITION AND FEES DIRECTLY TO THE INSTITUTION AND 45
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AGREES NOT TO CHARGE OR SEEK REIMBURSEMENT FROM THE STUDENT IN 46
ANY MANNER FOR ANY PART OF THE TUITION AND FEES. 47
THE CONTRACT MAY INCLUDE ANY ADDITIONAL PROVISIONS TO WHICH 50
THE INSTITUTION AND THE EMPLOYER AGREE, SO LONG AS THOSE
PROVISIONS DO NOT CONFLICT WITH DIVISION (C) OF THIS SECTION. 52
A CONTRACT UNDER THIS SECTION MAY PERMIT THE EMPLOYER TO 54
PAY TUITION AND FEES FOR EMPLOYEES WHO RESIDE IN OHIO AND 55
CONTIGUOUS STATES IN ONE FIXED, GROUP RATE. IN THE CASE OF 56
COURSES IN WHICH ONLY STUDENTS WHO ARE COVERED BY THE CONTRACT 57
ARE ENROLLED, THAT RATE MAY BE LESS THAN THE SUM THAT WOULD 58
OTHERWISE BE CALCULATED BY CHARGING EACH EMPLOYEE COVERED BY THE 59
CONTRACT THE RESIDENT TUITION AND FEES. IN THE CASE OF COURSES 60
IN WHICH STUDENTS WHO ARE NOT COVERED BY THE CONTRACT AS WELL AS 61
STUDENTS WHO ARE COVERED BY THE CONTRACT ARE ENROLLED, THAT RATE 62
SHALL NOT BE LESS THAN THE SUM THAT WOULD OTHERWISE BE CALCULATED 63
BY CHARGING EACH EMPLOYEE COVERED BY THE CONTRACT THE RESIDENT
TUITION AND FEES. 64
Sec. 3345.01. Except as provided in section SECTIONS 73
3333.17 AND 3333.32 of the Revised Code, the board of trustees of 75
a state university or college, as defined in section 3345.12 of 76
the Revised Code, may charge reasonable tuition for the
attendance of pupils who are nonresidents of Ohio. 77
Sec. 3354.09. The board of trustees of a community college 86
district may: 87
(A) Own and operate a community college, pursuant to an 89
official plan prepared and approved in accordance with section 90
3354.07 of the Revised Code, or enter into a contract with a 91
generally accredited public university or college for operation 92
of such community college by such university or college pursuant 93
to an official plan prepared and approved in accordance with 94
section 3354.07 of the Revised Code; 95
(B) Hold, encumber, control, acquire by donation, 97
purchase, or condemnation, construct, own, lease, use, and sell 98
real and personal property as is necessary for the conduct of the 99
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program of the community college on whatever terms and for 100
whatever consideration may be appropriate for the purpose of the 101
college; 102
(C) Accept gifts, grants, bequests, and devises absolutely 104
or in trust for support of the college during the existence of 105
the college; 106
(D) Appoint the administrative officers, faculty, and 108
staff, necessary and proper for such community college, and fix 109
their compensation except in instances in which the board of 110
trustees has delegated such powers to a college or university 111
operating such community college pursuant to a contract entered 112
into by the board of trustees of the district; 113
(E) Provide for a community college necessary lands, 115
buildings or other structures, equipment, means, and appliances; 116
(F) Develop and adopt, pursuant to the official plan, the 118
curricular programs identified in section 3354.01 of the Revised 119
Code as arts and sciences programs and technical programs, or 120
either. Such programs may include adult-education programs. 121
(G) Except as provided in section SECTIONS 3333.17 AND 123
3333.32 of the Revised Code, establish schedules of fees and 125
tuition for students who are residents of the district, residents 126
of Ohio but not of the district, and students who are 127
nonresidents of Ohio. The establishment of rules governing the 128
determination of residence shall be subject to approval of the 129
Ohio board of regents. Students who are nonresidents of Ohio 130
shall be required to pay higher rates of fees and tuition than 131
the rates required of students who are residents of Ohio but not 132
of the district, and students who are residents of the district 133
shall pay a smaller tuition and fee rate than the rate for either 134
category of nonresident students. 135
(H) Authorize, approve, ratify, or confirm any agreement 137
relating to any such community college with the United States 138
government, acting through any agency of such government 139
designated or created to aid in the financing of such projects, 140
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or with any person or agency offering grants in aid in financing 141
such educational facilities or the operation of such facilities 142
except as prohibited in division (K) of this section. 143
Such agreement may include a provision for repayment of 145
advances, grants, or loans made to any community college district 146
from funds which may become available to it. 147
When the United States government or its agent makes a 149
grant of money to any community college district to aid in paying 150
the cost of any projects of such district, or enters into an 151
agreement with the community college district for the making of 152
any such grant of money, the amount thereof is deemed 153
appropriated for such purpose by the community college district 154
and is deemed in process of collection within the meaning of 155
section 5705.41 of the Revised Code. 156
(I) Grant appropriate certificates of achievement to 158
students successfully completing the community college programs; 159
(J) Prescribe rules for the effective operation of a 161
community college and exercise such other powers as are necessary 162
for the efficient management of such college; 163
(K) Receive and expend gifts or grants from the state for 165
the payment of operating costs, for the acquisition, 166
construction, or improvement of buildings or other structures, or 167
for the acquisition or use of land. In no event shall state 168
gifts or grants be expended for the support of adult-education 169
programs. Gifts or grants from the state for operating costs 170
shall not in any biennium exceed the amount recommended by the 171
Ohio board of regents to the governor as provided in Chapter 172
3333. of the Revised Code. Such gifts or grants shall be 173
distributed to such districts in equal quarter-annual payments, 174
unless otherwise provided or authorized in any act appropriating 175
moneys for such purposes, on or before the last day of February, 176
May, August, and November in each year. 177
(L) Retain consultants in the fields of education, 179
planning, architecture, law, engineering, or other fields of 180
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professional skill; 181
(M) Purchase: 183
(1) A policy or policies of insurance insuring the 185
district against loss of or damage to property, whether real, 186
personal, or mixed, which is owned by the district or leased by 187
it as lessee or which is in the process of construction by or for 188
the district; 189
(2) A policy or policies of fidelity insurance in such 191
amounts and covering such trustees, officers, and employees of 192
the district as it considers necessary or desirable; 193
(3) A policy or policies of liability insurance from an 195
insurer or insurers licensed to do business in this state 196
insuring its members, officers, and employees against all civil 197
liability arising from an act or omission by the member, officer, 198
or employee when the member, officer, or employee is not acting 199
manifestly outside the scope of his employment or official 200
responsibilities with the institution, with malicious purpose or 201
bad faith, or in a wanton or reckless manner, or may otherwise 202
provide for the indemnification of such persons against such 203
liability. All or any portion of the cost, premium, or charge 204
for such a policy or policies or indemnification payment may be 205
paid from any funds under the institution's control. The policy 206
or policies of liability insurance or the indemnification policy 207
of the institution may cover any risks including, but not limited 208
to, damages resulting from injury to property or person, 209
professional liability, and other special risks, including legal 210
fees and expenses incurred in the defense or settlement of claims 211
for such damages. 212
(4) A policy or policies of insurance insuring the 214
district against any liabilities to which it may be subject on 215
account of damage or injury to persons or property, including 216
liability for wrongful death. 217
(N) Designate one or more employees of the institution as 219
state university law enforcement officers, to serve and have 220
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duties as prescribed in section 3345.04 of the Revised Code. 221
Sec. 3355.06. The managing authority of the university 230
branch district shall adopt its own rules governing proceedings, 231
designate the permanent place of business of the district, and 232
keep a record of all its proceedings. Such record shall be open 233
for public inspection during regular business hours at the 234
permanent place of business of the district. 235
The managing authority may: 237
(A) Enter into a contract for a period of not less than 239
four nor more than ten years with a state or municipal university 240
for the operation of a university branch by such university on 241
the campus provided in accordance with sections 3355.01 to 242
3355.14 of the Revised Code. Except as provided in section 243
SECTIONS 3333.17 AND 3333.32 of the Revised Code, the contract 245
shall establish schedules of fees and tuition for: students who 247
are residents of the district; residents of Ohio but not of the 248
district; and students who are nonresidents of Ohio. Students 249
who are nonresidents of Ohio shall be required to pay higher 250
rates of fees and tuition than the rates required of students who 251
are residents of Ohio but not of the district, and students who 252
are residents of the district shall pay A smaller tuition and fee 253
rate than the rate for either category of nonresident students. 254
(B) Hold, encumber, control, acquire by donation, 256
purchase, or condemnation, construct, own, lease, use, and sell 257
real and personal property as is necessary for the creation and 258
maintenance of the university branch campus, on whatever terms 259
and for whatever consideration may be appropriate for the 260
purposes of the facility; 261
(C) Accept gifts, grants, bequests, and devises absolutely 263
or in trust for support of the university branch campus during 264
the existence of said branch; 265
(D) Receive an appropriation from any municipality or 267
county that is a part of the university branch district for the 268
purpose of providing funds for support of the university branch 269
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campus; 270
(E) Receive and expend gifts or grants from the state for 272
the payment of operating costs, for the acquisition, 273
construction, or improvement of buildings or other structures, or 274
for the acquisition or use of land. 275
(F) Prescribe rules for the effective operation of a 277
university branch district college and exercise such other powers 278
as are necessary for the efficient management of such university 279
and are not in conflict with any contract entered into under 280
division (A) of this section. 281
Sec. 3357.09. The board of trustees of a technical college 290
district may: 291
(A) Own and operate a technical college, pursuant to an 293
official plan prepared and approved in accordance with section 294
3357.07 of the Revised Code; 295
(B) Hold, encumber, control, acquire by donation, 297
purchase, or condemnation, construct, own, lease, use, and sell, 298
real and personal property as necessary for the conduct of the 299
program of the technical college on whatever terms and for 300
whatever consideration may be appropriate for the purposes of the 301
institution; 302
(C) Accept gifts, grants, bequests, and devises absolutely 304
or in trust for support of the technical college; 305
(D) Appoint the president, faculty, and such other 307
employees as necessary and proper for such technical college, and 308
fix their compensation; 309
(E) Provide for a technical college necessary lands, 311
buildings or other structures, equipment, means, and appliances; 312
(F) Develop and adopt, pursuant to the official plan, any 314
one or more of the curricular programs identified in section 315
3357.01 of the Revised Code as technical-college programs, or 316
adult-education technical programs; 317
(G) Except as provided in section SECTIONS 3333.17 AND 319
3333.32 of the Revised Code, establish schedules of fees and 321
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tuition for: students who are residents of the district; 322
students who are residents of Ohio but not of the district; 323
students who are nonresidents of Ohio. The establishment of 324
rules governing the determination of residence shall be subject 325
to approval of the Ohio board of regents. Students who are 326
nonresidents of Ohio shall be required to pay higher rates of 327
fees and tuition than the rates required of students who are 328
residents of Ohio but not of the district, and students who are 329
residents of the district shall pay smaller tuition and fee rates 330
than the rates for either of the above categories of nonresident 331
students, except that students who are residents of Ohio but not 332
of the district shall be required to pay higher fees and tuition 333
than students who are residents of the district only when a 334
district tax levy has been adopted and is in effect under the 335
authority of section 3357.11, 5705.19, or 5705.191 of the Revised 336
Code.
(H) Authorize, approve, ratify, or confirm, with approval 338
of the Ohio board of regents, any agreement with the United 339
States government, acting through any agency designated to aid in 340
the financing of technical college projects, or with any person, 341
organization, or agency offering grants-in-aid for technical 342
college facilities or operation; 343
(I) Receive assistance for the cost of equipment and for 345
the operation of such technical colleges from moneys appropriated 346
for technical education or for matching of Title VIII of the 347
"National Defense Education Act," 72 Stat. 1597 (1958), 20 348
U.S.C.A. 15a-15e. Moneys shall be distributed by the Ohio board 349
of regents in accordance with rules which the board shall 350
establish governing its allocations to technical colleges 351
chartered under section 3357.07 of the Revised Code. 352
(J) Grant appropriate associate degrees to students 354
successfully completing the technical college programs and 355
certificates of achievement to those students who complete other 356
programs; 357
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(K) Prescribe rules for the effective operation of a 359
technical college, and exercise such other powers as are 360
necessary for the efficient management of such college; 361
(L) Enter into contracts and conduct technical college 363
programs or technical courses outside the technical college 364
district; 365
(M) Enter into contracts with the board of education of 367
any local, exempted village, or city school district or the 369
governing board of any educational service center to permit the
school district or service center to use the facilities of the 370
technical college district; 371
(N) Designate one or more employees of the institution as 373
state university law enforcement officers, to serve and have 374
duties as prescribed in section 3345.04 of the Revised Code; 375
(O) Subject to the approval of the Ohio board of regents, 377
offer technical college programs or technical courses for credit 378
at locations outside the technical college district. For 379
purposes of computing state aid, students enrolled in such 380
courses shall be deemed to be students enrolled in programs and 381
courses at off-campus locations in the district. 382
(P) Purchase a policy or policies of liability insurance 384
from an insurer or insurers licensed to do business in this state 385
insuring its members, officers, and employees against all civil 386
liability arising from an act or omission by the member, officer, 387
or employee, when the member, officer, or employee is not acting 388
manifestly outside the scope of his THE MEMBER'S, OFFICER'S, OR 389
EMPLOYEE'S employment or official responsibilities with the 391
institution, with malicious purpose or bad faith, or in a wanton 392
or reckless manner, or may otherwise provide for the 393
indemnification of such persons against such liability. All or 394
any portion of the cost, premium, or charge for such a policy or 395
policies or indemnification payment may be paid from any funds 396
under the institution's control. The policy or policies of 397
liability insurance or the indemnification policy of the 398
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institution may cover any risks including, but not limited to, 399
damages resulting from injury to property or person, professional 400
liability, and other special risks, including legal fees and 401
expenses incurred in the defense or settlement of claims for such 402
damages.
Section 2. That existing sections 3345.01, 3354.09, 404
3355.06, and 3357.09 of the Revised Code are hereby repealed. 405
Section 3. That Section 99.01 of Am. Sub. H.B. 215 of the 407
122nd General Assembly be amended to read as follows: 408
"Sec. 99.01. Instructional Subsidy Formula 410
As soon as practicable during each fiscal year of the 412
1997-1999 biennium in accordance with instructions of the Ohio 413
Board of Regents, each state-assisted institution of higher 414
education shall report its actual enrollment to the Ohio Board of 415
Regents. 416
The Ohio Board of Regents shall establish procedures 418
required by the system of formulas set out below and for the 419
assignment of individual institutions to categories described in 420
the formulas. The system of formulas establishes the manner in 421
which aggregate expenditure requirements shall be determined for 422
each of the three components of institutional operations. In 423
addition to other adjustments and calculations described below, 424
the subsidy entitlement of an institution shall be determined by 425
subtracting from the institution's aggregate expenditure 426
requirements income to be derived from the local contributions 427
assumed in calculating the subsidy entitlements. The local 428
contributions for purposes of determining subsidy support shall 429
not limit the authority of the individual boards of trustees to 430
establish fee levels. 431
The General Studies and Technical models shall be adjusted 433
by the Board of Regents so that the share of state subsidy earned 434
by those models is not altered by changes in the overall local 435
share. A lower-division fee differential shall be used to 436
maintain the relationship that would have occurred between these 437
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models and the Baccalaureate models had an assumed share of 37 438
per cent been funded. 439
In defining the number of full-time equivalent students for 441
state subsidy purposes, the Ohio Board of Regents shall exclude 442
all undergraduate students who are not residents of Ohio, except 443
those charged in-state fees in accordance with reciprocity 444
agreements made pursuant to section 3333.17 OR EMPLOYER CONTRACTS 445
ENTERED INTO PURSUANT TO SECTION 3333.32 of the Revised Code. 446
(A) Aggregate Expenditure Per Full-Time Equivalent Student 448
(1) Instruction and Support Services 450
Model FY 1998 FY 1999 455
General Studies I $ 3,468 $ 3,598 457
General Studies II $ 3,689 $ 3,827 459
General Studies III $ 4,844 $ 5,026 461
Technical I $ 4,248 $ 4,407 463
Technical III $ 7,436 $ 7,715 465
Baccalaureate I $ 5,787 $ 6,004 467
Baccalaureate II $ 6,751 $ 7,004 469
Baccalaureate III $ 9,887 $ 10,258 471
Masters and Professional I $ 10,889 $ 11,297 473
Masters and Professional II $ 15,901 $ 16,497 475
Masters and Professional III $ 21,904 $ 22,725 477
Doctoral I $ 18,629 $ 19,328 479
Doctoral II $ 23,436 $ 24,315 481
Medical I $ 25,821 $ 26,789 483
Medical II $ 35,968 $ 37,317 485
(2) Student Services 488
For this purpose full-time equivalent counts shall be 490
weighted to reflect differences among institutions in the numbers 491
of students enrolled on a part-time basis. 492
FY 1998 FY 1999 494
All Expenditure Models $ 501 $ 520 495
(B) Plant Operation and Maintenance (POM) 497
(1) Determination of the Square-Foot Based POM Subsidy 499
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Space undergoing renovation shall be funded at the rate 501
allowed for storage space; 502
In the calculation of square footage for each campus, 504
square footage shall be weighted to reflect differences in space 505
utilization;
The space inventories for each campus shall be those 507
determined in the fiscal year 1997 instructional subsidy, 508
adjusted for changes attributable to the construction or 509
renovation of facilities for which state appropriations were made 510
or local commitments were made prior to January 1, 1995;
Only fifty per cent of the space permanently taken out of 512
operation in fiscal year 1998 or fiscal year 1999 that is not 513
otherwise replaced by a campus shall be deleted from the fiscal 515
year 1997 inventory.
The square-foot based plant operation and maintenance 517
subsidy for each campus shall be determined as follows: 518
(a) For each standard room type category shown below, the 520
subsidy-eligible net assignable square feet (NASF) for each 521
campus shall be multiplied by the following rates, and the 522
amounts summed for each campus to determine the total gross 523
square-foot based POM expenditure requirement:
FY 1998 FY 1999 526
Classrooms $4.85 $5.03 527
Laboratories $6.04 $6.27 528
Offices $4.85 $5.03 529
Audio Visual Data Processing $6.04 $6.27 530
Storage $2.15 $2.23 531
Circulation $6.12 $6.35 532
Other $4.85 $5.03 533
(b) The total gross square-foot POM expenditure 535
requirement shall be allocated to models in proportion to 536
full-time equivalent (FTE) enrollments as reported in enrollment 537
data.
(c) The amounts allocated to models in (B)(1)(b) above 539
13
shall be multiplied by the ratio of subsidy-eligible FTE students 540
to total FTE students reported in each model, and the amounts 542
summed for all models. To this total amount shall be added an 543
amount to support roads and grounds expenditures to produce the 544
total square-foot based POM subsidy.
(2) Determination of the Activity-Based POM Subsidy 546
(a) The number of subsidy-eligible FTE students in each 548
model shall be multiplied by the following rates for each campus 549
for each fiscal year.
FY 1998 FY 1999 552
General Studies I $ 469 $ 487 554
General Studies II $ 522 $ 542 556
General Studies III $1,208 $1,253 558
Technical I $ 536 $ 556 560
Technical II $1,044 $1,083 562
Baccalaureate I $ 604 $ 627 564
Baccalaureate II $ 990 $1,027 566
Baccalaureate III $1,502 $1,558 568
Masters & Professional I $ 934 $ 969 570
Masters & Professional II $1,540 $1,598 572
Masters & Professional III $2,527 $2,622 574
Doctoral I $1,425 $1,478 576
Doctoral II $2,308 $2,395 578
Medical I $2,214 $2,297 580
Medical II $3,415 $3,543 582
(b) The sum of the products for each campus determined in 585
(B)(2)(a) for each fiscal year shall be weighted by a factor to 586
reflect sponsored research activity and job-training related 587
public services expenditures to determine the total 588
activity-based POM subsidy.
(C) Calculation of Core Subsidy Entitlements and 590
Adjustments 591
(1) Calculation of Core Subsidy Entitlements 593
The calculation of the core subsidy entitlement shall 595
14
consist of the following components: 596
(a) For each campus and for each fiscal year, the core 598
subsidy entitlement shall be determined by multiplying the 599
amounts listed above in divisions (A)(1) and (2) and (B)(2) less 601
assumed local contributions, by (i) average subsidy-eligible 602
full-time equivalents for the two-year period ending in the prior 603
year; and (ii) average subsidy-eligible full-time equivalents for 604
the five-year period ending in the prior year. 605
(b) In calculating the core subsidy entitlements for 607
Medical II models only, the board shall use the following count 608
of full-time equivalent students in place of the two-year average 609
and five-year average of subsidy-eligible students. 611
(i) For those medical schools whose current year 613
enrollment is below the base enrollment, the Medical II full-time 614
equivalent enrollment shall equal: 65 per cent of the base 615
enrollment plus 35 per cent of the current year enrollment, where 616
the base enrollment is: 617
Ohio State University 1010 619
University of Cincinnati 833 620
Medical College of Ohio at 621
Toledo 650
Wright State University 433 622
Ohio University 433 623
Northeastern Ohio Universities 624
College of Medicine 433
(ii) For those medical schools whose current year 627
enrollment is equal to or greater than the base enrollment, the 628
Medical II full-time equivalent enrollment shall equal the 629
current enrollment. 630
(c) For all FTE-based subsidy calculations involving 632
all-terms FTE data, FTE-based allowances shall be converted from 633
annualized to annual rates to ensure equity and consistency of 635
subsidy determination.
(d) The Board of Regents shall compute the sum of the two 638
15
calculations listed in division (C)(1)(a) above and use the
greater sum as the core subsidy entitlement. 639
The POM subsidy for each campus shall equal the greater of 641
the square-foot-based subsidy or the activity-based POM subsidy 642
component of the core subsidy entitlement, except that the total 643
activity-based POM subsidy shall not exceed 133.1% of the 644
square-foot based POM subsidy in fiscal year 1998 and shall not 646
exceed 146.4% of the square-foot-based subsidy in fiscal year 647
1999.
(2) Fiscal Year 1993 Adjustment 649
In order to provide an orderly phase-in of a simplified 651
instructional subsidy formula, the Board of Regents shall 652
calculate a fiscal year 1993 guarantee for each campus. The 653
board shall calculate the amount of protected or buffered subsidy 654
distributed to each campus in fiscal year 1993, less amounts for 655
plant operation and maintenance and Academic Challenge. 656
In fiscal year 1998, for each campus for which the board 658
calculates protected subsidy was distributed in fiscal year 1993, 659
an adjustment shall be added to the core subsidy entitlement 660
which shall consist of the following: the estimated amount of 661
the protected fiscal year 1993 subsidy less the greater of 7.5 662
per cent of the actual fiscal year 1993 subsidy (less plant 663
operation and maintenance and Academic Challenge) or 664
five-sevenths of the protected fiscal year 1993 subsidy. If the 665
deducted amount exceeds the amount of the protected fiscal year 666
1993 subsidy, the adjustment shall be zero. 667
In fiscal year 1999, the deducted proportions shall 669
increase arithmetically, to 9.0 per cent or six-sevenths and so 670
on until the year 2000, or until the fiscal year 1993 guarantee 672
is eliminated.
(3) Annual Hold Harmless Provision 674
In addition to and after the other adjustments noted above, 676
in fiscal year 1998 each campus shall have its subsidy adjusted 677
to the extent necessary to provide an amount that is not less 678
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than one hundred three per cent of the instructional subsidy 679
received by the campus in fiscal year 1997. In fiscal year 1999 680
each campus shall have its subsidy adjusted to the extent 681
necessary to provide an amount that is not less than one hundred 682
one per cent of the instructional subsidy received by the campus 683
in fiscal year 1998.
(4) Capital Component Deduction 685
After all other adjustments have been made, instructional 687
subsidy earnings shall be reduced for each campus by the amount, 688
if any, by which debt service charged in Am. H.B. 748 of the 689
121st General Assembly for that campus exceeds that campus' 690
capital component earnings.
(D) Reductions in Earnings 692
If total systemwide instructional subsidy earnings in any 694
fiscal year exceed total appropriations available for such 695
purposes, the Board of Regents shall proportionately reduce the 696
instructional subsidy earnings for all campuses by a uniform 697
percentage so that the systemwide sum equals available 698
appropriations.
(E) Exceptional Circumstances 700
Adjustments may be made to instructional subsidy payments 702
and other subsidies distributed by the Ohio Board of Regents to 703
state-assisted colleges and universities for exceptional 704
circumstances. No adjustments for exceptional circumstances may 705
be made without the recommendation of the Chancellor and the 706
approval of the Controlling Board. 707
Distribution of Instructional Subsidy 709
The instructional subsidy payments to the institutions 711
shall be in substantially equal monthly amounts during the fiscal 712
year, unless otherwise determined by the Director of Budget and 713
Management pursuant to the provisions of section 126.09 of the 714
Revised Code. Payments during the first six months of the fiscal 715
year shall be based upon the instructional subsidy appropriation 716
estimates made for the various institutions of higher education 717
17
according to the Ohio Board of Regents enrollment estimates. 718
Payments during the last six months of the fiscal year shall be 719
distributed after approval of the Controlling Board upon the 720
request of the Ohio Board of Regents. 721
Law School Subsidy 723
The instructional subsidy to state supported universities 725
for students enrolled in law schools in fiscal year 1998 and 726
fiscal year 1999 shall be calculated by using the number of 727
subsidy eligible full-time equivalent law school students funded 728
by state subsidy in fiscal year 1995 or the actual number of 729
subsidy eligible full-time equivalent law school students at the
institution in the fiscal year, whichever is less. 730
Limitations on State Subsidies for Doctoral Students 732
The Ohio Board of Regents is authorized to limit the number 734
of subsidy-eligible full-time equivalent (FTE) doctoral students 735
at all state-assisted universities in fiscal year 1998 and fiscal 736
year 1999. The limitation shall be established by university and 737
by doctoral subsidy level. In establishing the caps, the Board 738
of Regents shall consider:
(1) Recent and historical trends in subsidy-eligible 740
doctoral enrollments;
(2) Recommendations related to the Regents' review of 742
doctoral programs;
(3) Contributions that doctoral education and research 744
make to the economy and well-being of regions and the state." 745
Section 4. That existing Section 99.01 of Am. Sub. H.B. 747
215 of the 122nd General Assembly is hereby repealed. 748