As Introduced

124th General Assembly
Regular Session
2001-2002
H. B. No. 94


REPRESENTATIVE Carey



A BILL
To amend sections 133.07, 3301.075, 3301.80, 3313.37, 3313.608, 3314.08, 3317.012, 3317.013, 3317.02, 3317.022, 3317.023, 3317.029, 3317.0212, 3317.03, 3317.05, 3317.051, 3317.11, 3317.16, 3317.161, 3317.162, 3317.20, 3318.31, 3319.19, 3323.09, 3323.091, 3333.02, 3333.03, 3333.12, 3333.13, 3770.02, 3770.03, 3770.06, 5126.05, and 5126.12; to amend, for the purpose of adopting new section numbers as indicated in parentheses, sections 3317.161 (3317.052) and 3317.162 (3317.053); and to repeal section 307.031 of the Revised Code and to amend Section 18 of Am. Sub. H.B. 650 of the 122nd General Assembly, as subsequently amended, and Section 17 of Am. Sub. H.B. 282 of the 123rd General Assembly, as subsequently amended, to make appropriations for education programs for the biennium beginning July 1, 2001, and ending June 30, 2003, and to provide authorization and conditions for the operation of education programs.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 133.07, 3301.075, 3301.80, 3313.37, 3313.608, 3314.08, 3317.012, 3317.013, 3317.02, 3317.022, 3317.023, 3317.029, 3317.0212, 3317.03, 3317.05, 3317.051, 3317.11, 3317.16, 3317.161, 3317.162, 3317.20, 3318.31, 3319.19, 3323.09, 3323.091, 3333.02, 3333.03, 3333.12, 3333.13, 3770.02, 3770.03, 3770.06, 5126.05, and 5126.12 be amended and sections 3317.161 (3317.052) and 3317.162 (3317.053) be amended for the purpose of adopting new section numbers as indicated in parentheses, to read as follows:
Sec. 133.07.  (A) A county shall not incur, without a vote of the electors, either of the following:
(1) Net indebtedness for all purposes that exceeds an amount equal to one per cent of its tax valuation;
(2) Net indebtedness for the purpose of paying the county's share of the cost of the construction, improvement, maintenance, or repair of state highways that exceeds an amount equal to one-half of one per cent of its tax valuation.
(B) A county shall not incur total net indebtedness that exceeds an amount equal to one of the following limitations that applies to the county:
(1) A county with a valuation not exceeding one hundred million dollars, three per cent of that tax valuation;
(2) A county with a tax valuation exceeding one hundred million dollars but not exceeding three hundred million dollars, three million dollars plus one and one-half per cent of that tax valuation in excess of one hundred million dollars;
(3) A county with a tax valuation exceeding three hundred million dollars, six million dollars plus two and one-half per cent of that tax valuation in excess of three hundred million dollars.
(C) In calculating the net indebtedness of a county, none of the following securities shall be considered:
(1) Securities described in section 307.201 of the Revised Code;
(2) Self-supporting securities issued for any purposes, including, but not limited to, any of the following general purposes:
(a) Water systems or facilities;
(b) Sanitary sewerage systems or facilities, or surface and storm water drainage and sewerage systems or facilities, or a combination of those systems or facilities;
(c) County or joint county scrap tire collection, storage, monocell, monofill, or recovery facilities, or any combination of those facilities;
(d) Off-street parking lots, facilities, or buildings, or on-street parking facilities, or any combination of off-street and on-street parking facilities;
(e) Facilities for the care or treatment of the sick or infirm, and for housing the persons providing that care or treatment and their families;
(f) Recreational, sports, convention, auditorium, museum, trade show, and other public attraction facilities;
(g) Facilities for natural resources exploration, development, recovery, use, and sale;
(h) Correctional and detention facilities and related rehabilitation facilities.
(3) Securities issued for the purpose of purchasing, constructing, improving, or extending water or sanitary or surface and storm water sewerage systems or facilities, or a combination of those systems or facilities, to the extent that an agreement entered into with another subdivision requires the other subdivision to pay to the county amounts equivalent to debt charges on the securities;
(4) Voted general obligation securities issued for the purpose of permanent improvements for sanitary sewerage or water systems or facilities to the extent that the total principal amount of voted securities outstanding for the purpose does not exceed an amount equal to two per cent of the county's tax valuation;
(5) Securities issued for permanent improvements to house agencies, departments, boards, or commissions of the county or of any municipal corporation located, in whole or in part, in the county, to the extent that the revenues, other than revenues from unvoted county property taxes, derived from leases or other agreements between the county and those agencies, departments, boards, commissions, or municipal corporations relating to the use of the permanent improvements are sufficient to cover the cost of all operating expenses of the permanent improvements paid by the county and debt charges on the securities;
(6) Securities issued pursuant to section 133.08 of the Revised Code;
(7) Securities issued for the purpose of acquiring or constructing roads, highways, bridges, or viaducts, for the purpose of acquiring or making other highway permanent improvements, or for the purpose of procuring and maintaining computer systems for the office of the clerk of any county-operated municipal court, for the office of the clerk of the court of common pleas, or for the office of the clerk of the probate, juvenile, or domestic relations division of the court of common pleas to the extent that the legislation authorizing the issuance of the securities includes a covenant to appropriate from moneys distributed to the county pursuant to division (B) of section 2101.162, 2151.541, 2153.081, 2301.031, or 2303.201 or Chapter 4501., 4503., 4504., or 5735. of the Revised Code a sufficient amount to cover debt charges on and financing costs relating to the securities as they become due;
(8) Securities issued for the purpose of acquiring, constructing, improving, and equipping a county, multicounty, or multicounty-municipal jail, workhouse, juvenile detention facility, or correctional facility;
(9) Securities issued for the acquisition, construction, equipping, or repair of any permanent improvement or any class or group of permanent improvements enumerated in a resolution adopted pursuant to division (D) of section 5739.026 of the Revised Code to the extent that the legislation authorizing the issuance of the securities includes a covenant to appropriate from moneys received from the taxes authorized under section 5739.023 and division (A)(5) of section 5739.026 of the Revised Code an amount sufficient to pay debt charges on the securities and those moneys shall be pledged for that purpose;
(10) Securities issued for county or joint county solid waste or hazardous waste collection, transfer, or disposal facilities, or resource recovery and solid or hazardous waste recycling facilities, or any combination of those facilities;
(11) Securities issued for the acquisition, construction, and equipping of a port authority educational and cultural facility under section 307.671 of the Revised Code;
(12) Securities issued for the acquisition, construction, equipping, and improving of a municipal educational and cultural facility under division (B)(1) of section 307.672 of the Revised Code;
(13) Securities issued for energy conservation measures under section 307.041 of the Revised Code;
(14) Securities issued for the acquisition, construction, equipping, improving, or repair of a sports facility, including obligations issued to pay costs of a sports facility under section 307.673 of the Revised Code;
(15) Securities issued under section 755.17 of the Revised Code if the legislation authorizing issuance of the securities includes a covenant to appropriate from revenue received from a tax authorized under division (A)(5) of section 5739.026 and section 5741.023 of the Revised Code an amount sufficient to pay debt charges on the securities, and the board of county commissioners pledges that revenue for that purpose, pursuant to section 755.171 of the Revised Code;
(16) Sales tax supported bonds issued pursuant to section 133.081 of the Revised Code for the purpose of acquiring, constructing, improving, or equipping any permanent improvement to the extent that the legislation authorizing the issuance of the sales tax supported bonds pledges county sales taxes to the payment of debt charges on the sales tax supported bonds and contains a covenant to appropriate from county sales taxes a sufficient amount to cover debt charges or the financing costs related to the sales tax supported bonds as they become due.;
(17) Bonds or notes issued under section 133.60 of the Revised Code if the legislation authorizing issuance of the bonds or notes includes a covenant to appropriate from revenue received from a tax authorized under division (A)(9) of section 5739.026 and section 5741.023 of the Revised Code an amount sufficient to pay the debt charges on the bonds or notes, and the board of county commissioners pledges that revenue for that purpose.;
(18) Securities issued under section 3707.55 of the Revised Code for the acquisition of real property by a general health district;
(19) Securities issued under division (A)(3) of section 3313.37 of the Revised Code for the acquisition of real and personal property by an educational service center.
(D) In calculating the net indebtedness of a county, no obligation incurred under division (D) of section 339.06 of the Revised Code shall be considered.
Sec. 3301.075.  The state board of education shall adopt rules governing the purchasing and leasing of data processing services and equipment for all local, exempted village, city, and joint vocational school districts and all educational service centers. Such rules shall include provisions for the establishment of an Ohio education computer network under procedures, guidelines, and specifications of the department of education.
The department shall administer funds appropriated for the Ohio education computer network to ensure its efficient and economical operation and shall approve no more than twenty-seven data acquisition sites to operate concurrently. Such sites shall be approved for funding in accordance with rules of the state board adopted under this section that shall provide for the superintendent of public instruction to require the membership of each data acquisition site to be composed of combinations of school districts and educational service centers from contiguous counties having sufficient students to support an efficient, economical comprehensive program of computer services to member districts and educational service centers. Each data acquisition site, other than sites organized under Chapter 167. of the Revised Code prior to the effective date of this section, shall be organized in accordance with section 3313.92 or Chapter 167. of the Revised Code.
The department of education may contract with an independent for profit or nonprofit entity to provide current and historical information on Ohio government through the Ohio education computer network to school district libraries operating in accordance with section 3375.14 of the Revised Code in order to assist school teachers in social studies course instruction and support student research projects. Any such contract shall be awarded in accordance with Chapter 125. of the Revised Code.
Sec. 3301.80.  (A) There is hereby created the Ohio SchoolNet commission as an independent agency. The commission shall administer programs to provide financial and other assistance to school districts and other educational institutions for the acquisition and utilization of educational technology.
The commission is a body corporate and politic, an agency of the state performing essential governmental functions of the state.
(B)(1) The commission shall consist of eleven members, seven of whom are voting members. Of the voting members, one shall be appointed by the speaker of the house of representatives and one shall be appointed by the president of the senate. The members appointed by the speaker of the house and the president of the senate shall not be members of the general assembly. The state superintendent of public instruction or a designee of the superintendent, the director of budget and management or a designee of the director, the director of administrative services or a designee of the director, the chairperson of the public utilities commission or a designee of the chairperson, and the director of the Ohio educational telecommunications network commission or a designee of the director shall serve on the commission as ex officio voting members. Of the nonvoting members, two shall be members of the house of representatives appointed by the speaker of the house and two shall be members of the senate appointed by the president of the senate. The members appointed from each house shall not be members of the same political party. The superintendent of public instruction or the superintendent's designee shall be the chairperson of the commission.
(2) The members shall serve without compensation. The voting members appointed by the speaker of the house of representatives and the president of the senate shall be reimbursed, pursuant to office of budget and management guidelines, for necessary expenses incurred in the performance of official duties.
(3) The terms of office for the members appointed by the speaker of the house and the president of the senate shall be for two years, with each term ending on the same day of the same month as did the term that it succeeds. The members appointed by the speaker of the house and the president of the senate may be reappointed. Any member appointed from the house of representatives or senate who ceases to be a member of the legislative house from which the member was appointed shall cease to be a member of the commission. Vacancies among appointed members shall be filled in the manner provided for original appointments. Any member appointed to fill a vacancy occurring prior to the expiration date of the term for which a predecessor was appointed shall hold office as a member for the remainder of that term. The members appointed by the speaker of the house and the president of the senate shall continue in office subsequent to the expiration date of that member's term until a successor takes office or until a period of sixty days has elapsed, whichever occurs first.
(C)(1) The commission shall be under the supervision of an executive director who shall be appointed by the commission. The executive director shall serve at the pleasure of the commission and shall direct commission employees in the administration of all programs for the provision of financial and other assistance to school districts and other educational institutions for the acquisition and utilization of educational technology.
(2) The employees of the Ohio SchoolNet commission shall be placed in the unclassified service. The commission shall fix the compensation of the executive director. The executive director shall employ and fix the compensation for such employees as necessary to facilitate the activities and purposes of the commission. The employees shall serve at the pleasure of the executive director.
(3) The employees of the Ohio SchoolNet commission shall be exempt from Chapter 4117. of the Revised Code and shall not be public employees as defined in section 4117.01 of the Revised Code.
(D) The Ohio SchoolNet commission shall do all of the following:
(1) Make grants to institutions and other organizations as prescribed by the general assembly for the provision of technical assistance, professional development, and other support services to enable school districts, community schools established under Chapter 3314. of the Revised Code, and other educational institutions to utilize educational technology;
(2) Contract with the department of education, state institutions of higher education, private nonprofit institutions of higher education holding certificates of authorization under section 1713.02 of the Revised Code, and such other public or private entities as the executive director deems necessary for the administration and implementation of the programs under the commission's jurisdiction;
(3) Establish a reporting system to which school districts, community schools established under Chapter 3314. of the Revised Code, and other educational institutions receiving financial assistance pursuant to this section for the acquisition of educational technology report information as to the manner in which such assistance was expended, the manner in which the equipment or services purchased with the assistance is being utilized, the results or outcome of this utilization, and other information as may be required by the commission;
(4) Establish necessary guidelines governing purchasing and procurement by participants in programs administered by the commission that facilitate the timely and effective implementation of such programs;
(5) Take into consideration the efficiency and cost savings of statewide procurement prior to allocating and releasing funds for any programs under its administration.
(E)(1) The executive director shall implement policies and directives issued by the Ohio SchoolNet commission.
(2) The Ohio SchoolNet commission may establish a systems support network to facilitate the timely implementation of the programs, projects, or activities for which it provides assistance.
(3) Chapters 123., 124., 125., and 153., and sections 9.331, 9.332, and 9.333 of the Revised Code do not apply to contracts, programs, projects, or activities of the Ohio SchoolNet commission.
Sec. 3313.37.  (A)(1) The board of education of any city, local, or exempted village school district may build, enlarge, repair, and furnish the necessary schoolhouses, purchase or lease sites therefor, or rights-of-way thereto, or purchase or lease real estate to be used as playgrounds for children or rent suitable schoolrooms, either within or without the district, and provide the necessary apparatus and make all other necessary provisions for the schools under its control. The governing board of any educational service center may build, enlarge, repair, and furnish the necessary facilities for conducting special education programs and driver education courses, purchase or lease sites therefor, or rights-of-way thereto, or purchase or lease real estate or rent suitable facilities to be used for such purposes and provide the necessary apparatus and make all other necessary provisions for such facilities as are under its control.
(2) A governing board of an educational service center may acquire, lease, or enter into a contract to purchase, lease, or sell real and personal property and may construct, enlarge, repair, renovate, furnish, or equip facilities, buildings, or structures for the educational service center's purposes. The board may enter into loan agreements, including mortgages, for the acquisition of such property. If a governing board exercises any of these powers to acquire office or classroom space, the board of county commissioners has no obligation to provide and equip offices and to provide heat, light, water, and janitorial services for the use of the service center pursuant to section 3319.19 of the Revised Code, unless there is a contract as provided by division (D) of that section.
(3) A board of county commissioners may issue securities of the county pursuant to Chapter 133. of the Revised Code for the acquisition of real and personal property or for the construction, enlargement, repair, or renovation of facilities, buildings, or structures by an educational service center, but only if the county has a contract under division (D) of section 3319.19 of the Revised Code with the educational service center whereby the educational service center agrees to pay the county an amount equal to the debt charges on the issued securities on or before the date those charges fall due. For the purposes of this section, "debt charges" and "securities" have the same meanings as in section 133.01 of the Revised Code.
(B)(1) Boards of education of city, local, and exempted village school districts may acquire land by gift or devise, by purchase, or by appropriation. Lands purchased may be purchased for cash, by installment payments, with or without a mortgage, by entering into lease-purchase agreements, or by lease with an option to purchase, provided that if the purchase price is to be paid over a period of time, such payments shall not extend for a period of more than five years. A special tax levy may be authorized by the voters of the school district in accordance with section 5705.21 of the Revised Code to provide a special fund to meet the future time payments.
(2) For the purposes of section 5705.21 of the Revised Code, acquisition of land under the provisions of this division shall be considered a necessary requirement of the school district.
(3) Boards of education of city, local, and exempted village school districts may acquire federal land at a discount by a lease-purchase agreement for use as a site for the construction of educational facilities or for other related purposes. External administrative and other costs pertaining to the acquisition of federal land at a discount may be paid from funds available to the school district for operating purposes. Such boards of education may also acquire federal land by lease-purchase agreements, by negotiation, or otherwise.
(4) As used in this division:
(a) "Office equipment" includes but is not limited to typewriters, copying and duplicating equipment, and computer and data processing equipment.
(b) "Software for instructional purposes" includes computer programs usable for computer assisted instruction, computer managed instruction, drill and practice, and problem simulations.
A board of education or governing board of an educational service center may acquire the necessary office equipment, and computer hardware and software for instructional purposes, for the schools under its control by purchase, by lease, by installment payments, by entering into lease-purchase agreements, or by lease with an option to purchase. In the case of a city, exempted village, or local school district, if the purchase price is to be paid over a period of time, the contract setting forth the terms of such purchase shall be considered a continuing contract pursuant to section 5705.41 of the Revised Code. Payments shall not extend for a period of more than five years. Costs relating to the acquisition of necessary apparatus may be paid from funds available to the school district or educational service center for operating purposes.
(5) A board of education or governing board of an educational service center may acquire the necessary equipment for the maintenance or physical upkeep of facilities and land under its control by entering into lease-purchase agreements. If payments under the lease-purchase agreement are to be made over a period of time, the agreement shall be considered a continuing contract pursuant to section 5705.41 of the Revised Code, and such payments shall not extend for a period of more than five years.
Sec. 3313.608.  (A) Beginning with students who enter fourth grade in the school year that starts July 1, 2001, no city, exempted village, or local school district shall promote to fifth grade any student who fails to attain the score designated under division (A)(1) of section 3301.0710 of the Revised Code on the test prescribed under that division to measure skill in reading, unless either of the following applies:
(1) The pupil was excused from taking the test under division (C)(1) of section 3301.0711 of the Revised Code;
(2) The pupil's principal and reading teacher agree that the pupil is academically prepared, as determined pursuant to the district policy adopted under section 3313.609 of the Revised Code, to be promoted to fifth grade.
(B)(1) To assist students in meeting this fourth grade guarantee established by this section, each city, exempted village, and local school district shall adopt policies and procedures with which it shall, beginning in the school year that starts July 1, 1998, annually assess the reading skills of each student at the end of kindergarten, first, second, and third grade and identify students who are reading below their grade level. The
(2) The policy and procedures shall require the students' classroom teachers to be involved in the assessment and the identification of students reading below grade level. The district shall notify the parent or guardian of each student whose reading skills are below grade level and, in accordance with division (C) of this section, provide intervention services to each student reading below grade level.
(2) For each student identified as reading below grade level at the end of third grade, the district shall offer intense remediation services during the summer following third grade.
(3) For each student entering fourth grade after July 1, 2001, who does not attain by the end of the fourth grade the score designated under division (A)(1) of section 3301.0710 of the Revised Code on the test prescribed under that division to measure skill in reading, the district also shall offer intense remediation intervention services, and another opportunity to take that test, during the summer following fourth grade.
(C) For each student required to be offered remediation intervention services under this section, the district shall involve the student's parent or guardian and classroom teacher in developing the intervention strategy, and shall offer to the parent or guardian the opportunity to be involved in the intervention services.
(D) Beginning in the summer of 1999, in addition to the remediation intervention requirements of divisions (B) and (C) of this section, every city, exempted village, or local school district shall offer intervention services during the summer remediation and, if needed, during the following school year to any student who has failed to attain the designated scores on three or more of the five tests described by division (A)(1) or (2) of section 3301.0710 of the Revised Code.
(E) Any summer remediation intervention services funded in whole or in part by the state and offered by school districts to students under this section shall meet the following conditions:
(1) The remediation intervention methods are based on reliable educational research.
(2) The school districts conduct testing before and after assess students participate in the program to facilitate monitoring results of the remediation who receive the intervention services.
(3) The parents of participating students are involved in programming decisions.
(4) The services are conducted in a school building or community center and not on an at-home basis.
Sec. 3314.08.  (A) As used in this section:
(1) "Base formula amount" means the amount specified as such in a community school's financial plan for a school year pursuant to division (A)(15) of section 3314.03 of the Revised Code.
(2) "Cost-of-doing-business factor" has the same meaning as in section 3317.02 of the Revised Code.
(3) "IEP" means an individualized education program as defined in section 3323.01 of the Revised Code.
(4) "Applicable weight" means:
(a) For a student receiving special education and related services pursuant to an IEP for a handicap described in division (A) of section 3317.013 of the Revised Code, the multiple specified in that division;
(b) For a student receiving special education and related services pursuant to an IEP for a handicap described in division (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, the multiple specified in division (B) of section 3317.013 of the Revised Code.
(5) "Total special education weight" means the sum of the following:
(a) The number of students reported under division (B)(2)(c) of this section who are entitled to attend school in the district, are enrolled in grades one through twelve in a community school, and are receiving from their community school special education and related services pursuant to an IEP for a handicap described in division (A) of section 3317.013 of the Revised Code, multiplied by the multiple specified in division (A) of section 3317.013 of the Revised Code;
(b) One-half the number of students reported under division (B)(2)(c) of this section who are entitled to attend school in the district, are enrolled in kindergarten in a community school, and are receiving from their community school special education and related services pursuant to an IEP for a handicap described in division (A) of section 3317.013 of the Revised Code, multiplied by the multiple specified in division (A) of section 3317.013 of the Revised Code;
(c) The number of students reported under division (B)(2)(c) of this section who are entitled to attend school in the district, are enrolled in grades one through twelve in a community school, and are receiving from their community school special education and related services pursuant to an IEP for a handicap described in division (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, multiplied by the multiple specified in division (B) of section 3317.013 of the Revised Code;
(d) One-half the number of students reported under division (B)(2)(c) of this section who are entitled to attend school in the district, are enrolled in kindergarten in a community school, and are receiving from their community school special education and related services pursuant to an IEP for a handicap described in division (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, multiplied by the multiple specified in division (B) of section 3317.013 of the Revised Code.
(6) "Entitled to attend school" means entitled to attend school in a district under section 3313.64 or 3313.65 of the Revised Code.
(7) "DPIA reduction factor" means the percentage figure, if any, for reducing the per pupil amount of disadvantaged pupil impact aid a community school is entitled to receive pursuant to divisions (D)(4) and (5) of this section in any year, as specified in the school's financial plan for the year pursuant to division (A)(15) of section 3314.03 of the Revised Code.
(8) "All-day kindergarten" has the same meaning as in section 3317.029 of the Revised Code.
(B) The state board of education shall adopt rules requiring both of the following:
(1) The board of education of each city, exempted village, and local school district to annually report the number of students entitled to attend school in the district who are enrolled in grades one through twelve in a community school established under this chapter, the number of students entitled to attend school in the district who are enrolled in kindergarten in a community school, the number of those kindergartners who are enrolled in all-day kindergarten in their community school, and for each child, the community school in which the child is enrolled.
(2) The governing authority of each community school established under this chapter to annually report all of the following:
(a) The number of students enrolled in grades one through twelve and the number of students enrolled in kindergarten in the school who are not receiving special education and related services pursuant to an IEP;
(b) The number of enrolled students in grades one through twelve and the number of enrolled students in kindergarten, who are receiving special education and related services pursuant to an IEP;
(c) The number of students reported under division (B)(2)(b) of this section receiving special education and related services pursuant to an IEP for a handicap described in each of divisions (A) and (B) of section 3317.013 and division (F)(3) of section 3317.02 of the Revised Code;
(d) The number of enrolled preschool handicapped students receiving special education services in a state-funded unit;
(e) The community school's base formula amount;
(f) For each student, the city, exempted village, or local school district in which the student is entitled to attend school;
(g) Any DPIA reduction factor that applies to a school year.
(C) From the payments made to a city, exempted village, or local school district under Chapter 3317. of the Revised Code and, if necessary, sections 321.14 and 323.156 of the Revised Code, the department of education shall annually subtract all of the following:
(1) An amount equal to the sum of the amounts obtained when, for each community school where the district's students are enrolled, the number of the district's students reported under divisions (B)(2)(a) and (b) of this section who are enrolled in grades one through twelve, and one-half the number of students reported under those divisions who are enrolled in kindergarten, in that community school is multiplied by the base formula amount of that community school as adjusted by the school district's cost-of-doing-business factor.
(2) The product of the number of district students reported under division (B)(2)(c) of this section as enrolled in grades one through twelve, and one-half of the number of district students reported under that division as enrolled in kindergarten, who are receiving special education and related services pursuant to an IEP in their respective community schools for a handicap described in division (A) or (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, multiplied by the total special education weight times the community school's base formula amount;
(3) An amount equal to the sum of the amounts obtained when, for each community school where the district's students are enrolled, the number of the district's students enrolled in that community school and residing in the district in a family participating in Ohio works first under Chapter 5107. of the Revised Code is multiplied by the per pupil amount of disadvantaged pupil impact aid the school district receives that year pursuant to division (B) or (C) of section 3317.029 of the Revised Code, as adjusted by any DPIA reduction factor of that community school. If the district receives disadvantaged pupil impact aid under division (B) of that section, the per pupil amount of that aid is the quotient of the amount the district received under that division divided by the number of children ages five through seventeen residing in the district and living in a family participating in Ohio works first, as most recently reported under section 3317.10 of the Revised Code. If the district receives disadvantaged pupil impact aid under division (C) of section 3317.029 of the Revised Code, the per pupil amount of that aid is the per pupil dollar amount prescribed for the district in division (C)(1) or (2) of that section.
(4) An amount equal to the sum of the amounts obtained when, for each community school where the district's students are enrolled, the district's per pupil amount of aid received under division (E) of section 3317.029 of the Revised Code, as adjusted by any DPIA reduction factor of the community school, is multiplied by the sum of the following:
(a) The number of the district's students reported under division (B)(2)(a) of this section who are enrolled in grades one to three in that community school and who are not receiving special education and related services pursuant to an IEP;
(b) One-half of the district's students who are enrolled in all-day or any other kindergarten class in that community school and who are not receiving special education and related services pursuant to an IEP;
(c) One-half of the district's students who are enrolled in all-day kindergarten in that community school and who are not receiving special education and related services pursuant to an IEP.
The district's per pupil amount of aid under division (E) of section 3317.029 of the Revised Code is the quotient of the amount the district received under that division divided by the district's kindergarten through third grade ADM, as defined in that section.
(D) The department shall annually pay to a community school established under this chapter all of the following:
(1) An amount equal to the sum of the amounts obtained when the number of students enrolled in grades one through twelve, plus one-half of the kindergarten students in the school, reported under divisions (B)(2)(a) and (b) of this section who are not receiving special education and related services pursuant to an IEP for a handicap described in division (A) or (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code is multiplied by the community school's base formula amount, as adjusted by the cost-of-doing-business factor of the school district in which the student is entitled to attend school;
(2) The greater of the following:
(a) The aggregate amount that the department paid to the community school in fiscal year 1999 for students receiving special education and related services pursuant to IEPs, excluding federal funds and state disadvantaged pupil impact aid funds;
(b) The sum of the amounts calculated under divisions (D)(2)(b)(i) and (ii) of this section:
(i) For each student reported under division (B)(2)(c) of this section as enrolled in the school in grades one through twelve and receiving special education and related services pursuant to an IEP for a handicap described in division (A) or (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, the following amount:
(the community school's base formula amount X the
cost-of-doing-business factor of the district where the student
is entitled to attend school) + (the applicable weight
X the community school's base formula amount);
(ii) For each student reported under division (B)(2)(c) of this section as enrolled in kindergarten and receiving special education and related services pursuant to an IEP for a handicap described in division (A) or (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, one-half of the amount calculated under the formula prescribed in division (D)(2)(b)(i) of this section.
(3) An amount received from federal funds to provide special education and related services to students in the community school, as determined by the superintendent of public instruction.
(4) An amount equal to the sum of the amounts obtained when, for each school district where the community school's students are entitled to attend school, the number of that district's students enrolled in the community school and participating in Ohio works first is multiplied by the per pupil amount of disadvantaged pupil impact aid that school district receives that year pursuant to division (B) or (C) of section 3317.029 of the Revised Code, as adjusted by any DPIA reduction factor of the community school. The per pupil amount of aid shall be determined as described in division (C)(3) of this section.
(5) An amount equal to the sum of the amounts obtained when, for each school district where the community school's students are entitled to attend school, the district's per pupil amount of aid received under division (E) of section 3317.029 of the Revised Code, as adjusted by any DPIA reduction factor of the community school, is multiplied by the sum of the following:
(a) The number of the district's students reported under division (B)(2)(a) of this section who are enrolled in grades one to three in that community school and who are not receiving special education and related services pursuant to an IEP;
(b) One-half of the district's students who are enrolled in all-day or any other kindergarten class in that community school and who are not receiving special education and related services pursuant to an IEP;
(c) One-half of the district's students who are enrolled in all-day kindergarten in that community school and who are not receiving special education and related services pursuant to an IEP.
The district's per pupil amount of aid under division (E) of section 3317.029 of the Revised Code shall be determined as described in division (C)(4) of this section.
(E) If a community school's costs for a fiscal year for a student receiving special education and related services pursuant to an IEP for a handicap described in section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code are twenty-five thousand dollars or more, the school may submit to the superintendent of public instruction documentation, as prescribed by the superintendent, of all its costs for that student. Upon submission of documentation for a student of the type and in the manner prescribed, the department shall pay to the community school an amount equal to the school's costs for the student in excess of twenty-five thousand dollars.
The community school shall only report, and the department shall only pay for, the costs of educational expenses and the related services provided to the student in accordance with the student's individualized education program. Any legal fees, court costs, or other costs associated with any cause of action relating to the student may not be included in the amount.
(F) A community school may apply to the department of education for preschool handicapped or gifted unit funding the school would receive if it were a school district. Upon request of its governing authority, a community school that received unit funding as a school district-operated school before it became a community school shall retain any units awarded to it as a school district-operated school provided the school continues to meet eligibility standards for the unit.
A community school shall be considered a school district and its governing authority shall be considered a board of education for the purpose of applying to any state or federal agency for grants that a school district may receive under federal or state law or any appropriations act of the general assembly. The governing authority of a community school may apply to any private entity for additional funds.
(G) A board of education sponsoring a community school may utilize local funds to make enhancement grants to the school or may agree, either as part of the contract or separately, to provide any specific services to the community school at no cost to the school.
(H) A community school may not levy taxes or issue bonds secured by tax revenues.
(I) No community school shall charge tuition for the enrollment of any student.
(J) A community school may borrow money to pay any necessary and actual expenses of the school in anticipation of the receipt of any portion of the payments to be received by the school pursuant to division (D) of this section. The school may issue notes to evidence such borrowing to mature no later than the end of the fiscal year in which such money was borrowed. The proceeds of the notes shall be used only for the purposes for which the anticipated receipts may be lawfully expended by the school.
(K) For purposes of determining the number of students for which divisions (D)(4) and (5) of this section applies in any school year, a community school may submit to the department of job and family services, no later than the first day of March, a list of the students enrolled in the school. For each student on the list, the community school shall indicate the student's name, address, and date of birth and the school district where the student is entitled to attend school. Upon receipt of a list under this division, the department of job and family services shall determine, for each school district where one or more students on the list is entitled to attend school, the number of students residing in that school district who were included in the department's report under section 3317.10 of the Revised Code. The department shall make this determination on the basis of information readily available to it. Upon making this determination and no later than ninety days after submission of the list by the community school, the department shall report to the state department of education the number of students on the list who reside in each school district who were included in the department's report under section 3317.10 of the Revised Code. In complying with this division, the department of job and family services shall not report to the state department of education any personally identifiable information on any student.
(L) The department of education shall adjust the amounts subtracted and paid under divisions (C) and (D) of this section to reflect any enrollment of students in community schools for less than the equivalent of a full school year. For purposes of this section, a student shall be considered enrolled in the community school for any portion of the school year the student is participating at a college under Chapter 3365. of the Revised Code.
(M) The department of education shall reduce the amounts paid under division (D) of this section to reflect payments made to colleges under division (B) of section 3365.07 of the Revised Code.
Sec. 3317.012.  (A)(1) The general assembly, having analyzed school district expenditure and cost data for fiscal year 1996 1999, performed the calculation described in division (B) of this section, and adjusted the results for inflation, and added the amounts described in division (A)(2) of this section, hereby determines that the base cost of an adequate education per pupil for the fiscal year beginning July 1, 1998 2001, is $4,063 $4,909. For the five following fiscal years, the base cost per pupil for each of those years, reflecting an annual rate of inflation of two and eight-tenths per cent, is $4,177 $5,047 for fiscal year 2000 2003, $4,294 $5,189 for fiscal year 2001 2004, $4,414 $5,335 for fiscal year 2002 2005, $4,538 $5,484 for fiscal year 2003 2006, and $4,665 $5,638 for fiscal year 2004 2007.
(2) The base cost per pupil amounts specified in division (A)(1) of this section include amounts to reflect the cost to school districts of increasing the minimum number of high school academic units required for graduation beginning September 15, 2001, under section 3313.603 of the Revised Code. These amounts were added after the calculation described in division (B) of this section and the adjustments for inflation. The per pupil amounts included for this purpose in the base cost specified in division (A)(1) of this section are: $24 for fiscal year 2002, $25 for fiscal year 2003, $26 for fiscal year 2004, $27 for fiscal year 2005, $28 for fiscal year 2006, and $29 for fiscal year 2007.
(B) In determining the base cost stated in division (A) of this section, capital and debt costs, costs paid for by federal funds, and costs covered by funds provided pursuant to sections 3317.023 and 3317.024 of the Revised Code as they existed prior to July 1, 1998, for disadvantaged pupil impact aid and transportation were excluded, as were the effects on the districts' state funds of the application of the cost-of-doing-business factors, assuming an eighteen per cent variance.
The base cost for fiscal year 1996 1999 was calculated as the unweighted average cost per student, on a school district basis, of educating students who were not receiving vocational education or services pursuant to Chapter 3323. of the Revised Code and who were enrolled in a city, exempted village, or local school district that in fiscal year 1994 1999 met all of the following criteria:
(1) The district met at least all but one twenty of the following twenty-seven performance standards:
(a) A three ninety per cent or lower dropout higher graduation rate;
(b) At least seventy-five per cent of fourth graders proficient on the mathematics test prescribed under division (A)(1) of section 3301.0710 of the Revised Code;
(c) At least seventy-five per cent of fourth graders proficient on the reading test prescribed under division (A)(1) of section 3301.0710 of the Revised Code;
(d) At least seventy-five per cent of fourth graders proficient on the writing test prescribed under division (A)(1) of section 3301.0710 of the Revised Code;
(e) At least seventy-five per cent of fourth graders proficient on the citizenship test prescribed under division (A)(1) of section 3301.0710 of the Revised Code;
(f) At least seventy-five per cent of fourth graders proficient on the science test prescribed under division (A)(1) of section 3301.0710 of the Revised Code;
(g) At least seventy-five per cent of sixth graders proficient on the mathematics test prescribed under division (A)(2) of section 3301.0710 of the Revised Code;
(h) At least seventy-five per cent of sixth graders proficient on the reading test prescribed under division (A)(2) of section 3301.0710 of the Revised Code;
(i) At least seventy-five per cent of sixth graders proficient on the writing test prescribed under division (A)(2) of section 3301.0710 of the Revised Code;
(j) At least seventy-five per cent of sixth graders proficient on the citizenship test prescribed under division (A)(2) of section 3301.0710 of the Revised Code;
(k) At least seventy-five per cent of sixth graders proficient on the science test prescribed under division (A)(2) of section 3301.0710 of the Revised Code;
(l) At least seventy-five per cent of ninth graders proficient on the mathematics test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(g)(m) At least seventy-five per cent of ninth graders proficient on the reading test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(h)(n) At least seventy-five per cent of ninth graders proficient on the writing test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(i)(o) At least seventy-five per cent of ninth graders proficient on the citizenship test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(j)(p) At least seventy-five per cent of ninth graders proficient on the science test prescribed under Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(q) At least eighty-five per cent of tenth graders proficient on the mathematics test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(k)(r) At least eighty-five per cent of tenth graders proficient on the reading test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(l)(s) At least eighty-five per cent of tenth graders proficient on the writing test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(m)(t) At least eighty-five per cent of tenth graders proficient on the citizenship test prescribed under former division (B) of section 3301.0710 of the Revised Code Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(n)(u) At least eighty-five per cent of tenth graders proficient on the science test prescribed under Section 4 of Am. Sub. S.B. 55 of the 122nd general assembly;
(v) At least sixty per cent of twelfth graders proficient on the mathematics test prescribed under division (A)(3) of section 3301.0710 of the Revised Code;
(o)(w) At least sixty per cent of twelfth graders proficient on the reading test prescribed under division (A)(3) of section 3301.0710 of the Revised Code;
(p)(x) At least sixty per cent of twelfth graders proficient on the writing test prescribed under division (A)(3) of section 3301.0710 of the Revised Code;
(q)(y) At least sixty per cent of twelfth graders proficient on the citizenship test prescribed under division (A)(3) of section 3301.0710 of the Revised Code;
(r)(z) At least sixty per cent of twelfth graders proficient on the science test prescribed under division (A)(3) of section 3301.0710 of the Revised Code;
(aa) An attendance rate for the year of at least ninety-three per cent as defined in section 3302.01 of the Revised Code.
(2) The district provided an average pupil-to-teacher ratio in kindergarten through twelfth grade not exceeding twenty-one to one;
(3) At least eighty per cent of the district's teachers had at least five years of experience;
(4) The district offered at least one advanced placement course;
(5) The district was not among the ten five per cent of all districts with the highest income factors, as defined in section 3317.02 of the Revised Code, nor among the ten five per cent of all districts with the lowest income factors.
(3)(6) The district was not among the five per cent of all districts with the highest valuation per pupil in ADM, as reported under division (A) of section 3317.03 of the Revised Code as it existed prior to July 1, 1998, nor among the five per cent of all districts with the lowest valuation per pupil.
(C) In July of 2000 2005, and in July of every six years thereafter, the speaker of the house of representatives and the president of the senate shall each appoint three members to a committee to reexamine the cost of an adequate education. No more than two members from any political party shall represent each house. The director of budget and management and the superintendent of public instruction shall serve as nonvoting ex officio members of the committee.
The committee shall select a rational methodology for calculating the costs of an adequate education system for the ensuing six-year period, and shall report the methodology and the resulting costs to the general assembly. In performing its function, the committee is not bound by any method used by previous general assemblies to examine and calculate costs and instead may utilize any rational method it deems suitable and reasonable given the educational needs and requirements of the state at that time.
The methodology for determining the cost of an adequate education system shall take into account the basic educational costs that all districts incur in educating regular students, the unique needs of special categories of students, and significant special conditions encountered by certain classifications of school districts.
Any committee appointed pursuant to this section shall make its report to the office of budget and management and the general assembly within six months one year of its appointment so that the information is available for use by the office and the general assembly in preparing the next biennial appropriations act.
Sec. 3317.013.  This section does not apply to handicapped preschool students.
Analysis of special education cost data has resulted in a finding that the average special education additional cost per pupil, including the costs of related services, can be expressed as a multiple of the base cost per pupil calculated under section 3317.012 of the Revised Code. The multiples for the following categories of special education programs, as these programs are defined for purposes of Chapter 3323. of the Revised Code, are as follows:
(A) A multiple of 0.22 for students identified as specific learning disabled, other health handicapped, or developmentally handicapped, as these terms are defined pursuant to Chapter 3323. of the Revised Code;
(B) A multiple of 3.01 for students identified as hearing handicapped, orthopedically handicapped, vision impaired, multihandicapped, and severe behavior handicapped, as these terms are defined pursuant to Chapter 3323. of the Revised Code.
Further analysis indicates that approximately one-eighth of the total costs of serving special education students consists of the furnishing of the related services specified in division (B)(3)(4) of section 3317.022 of the Revised Code.
Sec. 3317.02.  As used in this chapter:
(A) Unless otherwise specified, "school district" means city, local, and exempted village school districts.
(B) "Formula amount" means the base cost for the fiscal year specified in section 3317.012 of the Revised Code, except that to allow for the orderly phase-in of the increased funding specified in that section, the formula amount for fiscal year 1999 2002 shall be $3,851 $4,490, and the formula amount for fiscal year 2000 2003 shall be $4,052 $4,670, the formula amount for fiscal year 2004 shall be $4,926, and the formula amount for fiscal year 2005 shall be $5,197. Thereafter, the formula amount shall be as specified in that section. The formula amounts phased in for fiscal years 2002 through 2005 include, for the increased graduation requirements of section 3313.603 of the Revised Code, $24 for fiscal year 2002, $25 for fiscal year 2003, $26 for fiscal year 2004, and $27 for fiscal year 2005.
(C) "FTE basis" means a count of students based on full-time equivalency, in accordance with rules adopted by the department of education pursuant to section 3317.03 of the Revised Code. In adopting its rules under this division, the department shall provide for counting any student in category one, two, or three special education ADM or in category one or two vocational education ADM in the same proportion the student is counted in formula ADM.
(D)(1) "Formula ADM" means, for a city, local, or exempted village school district, the number reported pursuant to division (A) of section 3317.03 of the Revised Code, and for a joint vocational school district, the number reported pursuant to division (D) of that section.
(2) "Three-year average formula ADM" means the average of formula ADMs for the current and preceding two fiscal years. However, as applicable in fiscal years 1999 and 2000, the three-year average for city, local, and exempted village school districts shall be determined utilizing the FY 1997 ADM or FY 1998 ADM in lieu of formula ADM for fiscal year 1997 or 1998. In fiscal years 2000 and 2001, the three-year average for joint vocational school districts shall be determined utilizing the average daily membership reported in fiscal years 1998 and 1999 under division (D) of section 3317.03 of the Revised Code in lieu of formula ADM for fiscal years 1998 and 1999.
(E) "FY 1997 ADM" or "FY 1998 ADM" means the school district's average daily membership reported for the applicable fiscal year under the version of division (A) of section 3317.03 of the Revised Code in effect during that fiscal year, adjusted as follows:
(1) Minus the average daily membership of handicapped preschool children;
(2) Minus one-half of the average daily membership attending kindergarten;
(3) Minus three-fourths of the average daily membership attending a joint vocational school district;
(4) Plus the average daily membership entitled under section 3313.64 or 3313.65 of the Revised Code to attend school in the district but receiving educational services in approved units from an educational service center or another school district under a compact or a cooperative education agreement, as determined by the department;
(5) Minus the average daily membership receiving educational services from the district in approved units but entitled under section 3313.64 or 3313.65 of the Revised Code to attend school in another school district, as determined by the department.
(F)(1) "Category one special education ADM" means the average daily membership of handicapped children receiving special education services for those handicaps specified in division (A) of section 3317.013 of the Revised Code and reported under division (B)(5) or (D)(2)(b) of section 3317.03 of the Revised Code.
(2) "Category two special education ADM" means the average daily membership of handicapped children receiving special education services for those handicaps specified in division (B) of section 3317.013 of the Revised Code and reported under division (B)(6) or (D)(2)(c) of section 3317.03 of the Revised Code.
(3) "Category three special education ADM" means the average daily membership of students receiving special education services for students identified as autistic, having traumatic brain injuries, or as both visually and hearing disabled as these terms are defined pursuant to Chapter 3323. of the Revised Code, and reported under division (B)(7) or (D)(2)(d) of section 3317.03 of the Revised Code.
(4) "Category one vocational education ADM" means the average daily membership of students receiving vocational education services described in division (A) of section 3317.014 of the Revised Code and reported under division (B)(8) or (D)(2)(e) of section 3317.03 of the Revised Code.
(5) "Category two vocational education ADM" means the average daily membership of students receiving vocational education services described in division (B) of section 3317.014 of the Revised Code and reported under division (B)(9) or (D)(2)(f) of section 3317.03 of the Revised Code.
(G) "Handicapped preschool child" means a handicapped child, as defined in section 3323.01 of the Revised Code, who is at least age three but is not of compulsory school age, as defined in section 3321.01 of the Revised Code, and who is not currently enrolled in kindergarten.
(H) "County MR/DD board" means a county board of mental retardation and developmental disabilities.
(I) "Recognized valuation" means the amount calculated for a school district pursuant to section 3317.015 of the Revised Code.
(J) "Transportation ADM" means the number of children reported under division (B)(10) of section 3317.03 of the Revised Code.
(K) "Average efficient transportation use cost per student" means a statistical representation of transportation costs as calculated under division (D)(2) of section 3317.022 of the Revised Code.
(L) "Taxes charged and payable" means the taxes charged and payable against real and public utility property after making the reduction required by section 319.301 of the Revised Code, plus the taxes levied against tangible personal property.
(M) "Total taxable value" means the sum of the amounts certified for a city, local, exempted village, or joint vocational school district under divisions (A)(1) and (2) of section 3317.021 of the Revised Code.
(N)(1) "Cost-of-doing-business factor" means the amount indicated in this division for the county in which a city, local, exempted village, or joint vocational school district is located, adjusted in accordance with division (N)(2) of this section. If a city, local, or exempted village school district is located in more than one county, the factor is the amount indicated for the county to which the district is assigned by the state department of education. If a joint vocational school district is located in more than one county, the factor is the amount indicated for the county in which the joint vocational school with the greatest formula ADM operated by the district is located.
COST-OF-DOING-BUSINESS
COUNTYFACTOR AMOUNT
Adams 1.0074 1.0061
Allen 1.0217 1.0236
Ashland 1.0322 1.0331
Ashtabula 1.0480 1.0431
Athens 1.0046 1.0038
Auglaize 1.0255 1.0272
Belmont 1.0078 1.0043
Brown 1.0194 1.0207
Butler 1.0650 1.0663
Carroll 1.0166 1.0148
Champaign 1.0292 1.0413
Clark 1.0462 1.0443
Clermont 1.0510 1.0532
Clinton 1.0293 1.0296
Columbiana 1.0300 1.0262
Coshocton 1.0205 1.0200
Crawford 1.0152 1.0140
Cuyahoga 1.0697 1.0672
Darke 1.0340 1.0343
Defiance 1.0177 1.0165
Delaware 1.0339 1.0479
Erie 1.0391 1.0372
Fairfield 1.0358 1.0354
Fayette 1.0266 1.0258
Franklin 1.0389 1.0519
Fulton 1.0355 1.0361
Gallia 1.0000
Geauga 1.0568 1.0528
Greene 1.0406 1.0407
Guernsey 1.0072 1.0064
Hamilton 1.0750
Hancock 1.0224 1.0215
Hardin 1.0219 1.0348
Harrison 1.0098 1.0081
Henry 1.0347 1.0338
Highland 1.0139 1.0129
Hocking 1.0149 1.0151
Holmes 1.0237 1.0238
Huron 1.0317 1.0305
Jackson 1.0132 1.0118
Jefferson 1.0084 1.0067
Knox 1.0251 1.0258
Lake 1.0596 1.0556
Lawrence 1.0128 1.0122
Licking 1.0381 1.0375
Logan 1.0188 1.0362
Lorain 1.0535 1.0521
Lucas 1.0413 1.0406
Madison 1.0342 1.0437
Mahoning 1.0426 1.0384
Marion 1.0121 1.0263
Medina 1.0608 1.0595
Meigs 1.0031 1.0018
Mercer 1.0177 1.0199
Miami 1.0425 1.0415
Monroe 1.0118 1.0097
Montgomery 1.0482 1.0476
Morgan 1.0140 1.0128
Morrow 1.0268 1.0276
Muskingum 1.0167 1.0145
Noble 1.0129 1.0103
Ottawa 1.0510 1.0468
Paulding 1.0156 1.0140
Perry 1.0175 1.0154
Pickaway 1.0338 1.0326
Pike 1.0103 1.0094
Portage 1.0556 1.0516
Preble 1.0486 1.0476
Putnam 1.0253 1.0243
Richland 1.0205 1.0213
Ross 1.0089 1.0085
Sandusky 1.0336 1.0307
Scioto 1.0044 1.0029
Seneca 1.0240 1.0223
Shelby 1.0257 1.0263
Stark 1.0313 1.0300
Summit 1.0616 1.0598
Trumbull 1.0425 1.0381
Tuscarawas 1.0099 1.0097
Union 1.0330 1.0446
Van Wert 1.0126 1.0133
Vinton 1.0068 1.0070
Warren 1.0651 1.0659
Washington 1.0110 1.0075
Wayne 1.0406 1.0404
Williams 1.0268 1.0284
Wood 1.0405 1.0382
Wyandot 1.0191 1.0188

(2) As used in this division, "multiplier" means the number for the corresponding fiscal year as follows:
FISCAL YEAR OF THE
COMPUTATIONMULTIPLIER

19989.6/7.5
199911.0/7.5
200012.4/7.5
200113.8/7.5
200215.2/7.5
200316.6/7.5
2004 and thereafter18.0/7.5

Beginning in fiscal year 1998, the department shall annually adjust the cost-of-doing-business factor for each county in accordance with the following formula:
[(The cost-of-doing-business factor specified under
division (N)(1) of this section - 1) X (the multiplier
for the fiscal year of the calculation)] + 1
The result of such formula shall be the adjusted cost-of-doing-business factor for that fiscal year.
(O) "Tax exempt value" of a school district means the amount certified for a school district under division (A)(4) of section 3317.021 of the Revised Code.
(P) "Potential value" of a school district means the adjusted total taxable value of a school district plus the tax exempt value of the district.
(Q) "District median income" means the median Ohio adjusted gross income certified for a school district. On or before the first day of July of each year, the tax commissioner shall certify to the department of education for each city, exempted village, and local school district the median Ohio adjusted gross income of the residents of the school district determined on the basis of tax returns filed for the second preceding tax year by the residents of the district.
(R) "Statewide median income" means the median district median income of all city, exempted village, and local school districts in the state.
(S) "Income factor" for a city, exempted village, or local school district means the quotient obtained by dividing that district's median income by the statewide median income.
(T) Except as provided in division (B)(3)(6) of section 3317.012 of the Revised Code, "valuation per pupil" for a city, exempted village, or local school district means the district's recognized valuation divided by the greater of the district's formula ADM or three-year average formula ADM.
(U) Except as provided in section 3317.0213 of the Revised Code, "adjusted valuation per pupil" means the amount calculated in accordance with the following formula:
District valuation per pupil - [$60,000 X
(1 - district income factor)]
If the result of such formula is negative, the adjusted valuation per pupil shall be zero.
(V) "Income adjusted valuation" means the product obtained by multiplying the school district's adjusted valuation per pupil by the greater of the district's formula ADM or three-year average formula ADM.
(W) Except as provided in division (A)(2) of section 3317.022 of the Revised Code, "adjusted total taxable value" means one of the following:
(1) In any fiscal year that a school district's income factor is less than or equal to one, the amount calculated under the following formula:
(Income adjusted valuation X multiple) +
[recognized valuation X (1-multiple)]
Where "multiple" means the number for the corresponding fiscal year as follows:
FISCAL YEAR OF THE
COMPUTATIONMULTIPLE

20001/5
2001 and thereafter4/15

(2) In fiscal year 1999, if a school district's income factor is greater than one, the amount calculated under the following formula:
(Income adjusted valuation X 1/15)
+ (recognized valuation X 14/15)
Thereafter, the adjusted total taxable value of a district with an income factor greater than one shall be its recognized valuation.
Sec. 3317.022.  (A)(1) The department of education shall compute and distribute state base cost funding to each school district for the fiscal year in accordance with the following formula, using adjusted total taxable value as defined in section 3317.02 of the Revised Code or division (A)(2) of this section and the information obtained under section 3317.021 of the Revised Code in the calendar year in which the fiscal year begins.
Compute the following for each eligible district:
[cost-of-doing-business factor X
the formula amount X (the greater of formula ADM
or three-year average formula ADM)] -
(.023 X adjusted total taxable value)
If the difference obtained is a negative number, the district's computation shall be zero.
(2)(a) For each school district for which the tax exempt value of the district equals or exceeds twenty-five per cent of the potential value of the district, the department of education shall calculate the difference between the district's tax exempt value and twenty-five per cent of the district's potential value.
(b) For each school district to which division (A)(2)(a) of this section applies, the adjusted total taxable value used in the calculation under division (A)(1) of this section shall be the adjusted total taxable value modified by subtracting the amount calculated under division (A)(2)(a) of this section.
(B) As used in this section:
(1) The "total special education weight" for a district means the sum of the following amounts:
(a) The district's category one special education ADM multiplied by the multiple specified under division (A) of section 3317.013 of the Revised Code;
(b) The sum of the district's category two and category three special education ADMs multiplied by the multiple specified under division (B) of section 3317.013 of the Revised Code.
(2) "State share percentage" means the percentage calculated for a district as follows:
(a) Calculate the state base cost funding amount for the district for the fiscal year under division (A) of this section. If the district would not receive any state base cost funding for that year under that division, the district's state share percentage is zero.
(b) If the district would receive state base cost funding under that division, divide that amount by an amount equal to the following:
Cost-of-doing-business factor X
the formula amount X (the greater of formula
ADM or three-year average formula ADM)
The resultant number is the district's state share percentage.
(3) "Adjusted state share percentage" means:
(a) For fiscal years prior to fiscal year 2003, the same percentage calculated under division (B)(2) of this section;
(b) Beginning in fiscal year 2003, the percentage calculated under division (B)(2) of this section plus five percentage points.
Beginning in fiscal year 2003, no school district shall have an adjusted state share percentage that is less than five per cent or greater than one hundred per cent.
(4) "Related services" includes:
(a) Child study, special education supervisors and coordinators, speech and hearing services, adaptive physical development services, occupational or physical therapy, teacher assistants for handicapped children whose handicaps are described in division (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, behavioral intervention, interpreter services, work study, nursing services, and specialized integrative services as those terms are defined by the department;
(b) Speech and language services provided to any student with a handicap, including any student whose primary or only handicap is a speech and language handicap;
(c) Any related service not specifically covered by other state funds but specified in federal law, including but not limited to, audiology and school psychological services;
(d) Any service included in units funded under former division (O)(1) of section 3317.023 of the Revised Code;
(e) Any other related service needed by handicapped children in accordance with their individualized education plans.
(4)(5) The "total vocational education weight" for a district means the sum of the following amounts:
(a) The district's category one vocational education ADM multiplied by the multiple specified in division (A) of section 3317.014 of the Revised Code;
(b) The district's category two vocational education ADM multiplied by the multiple specified in division (B) of section 3317.014 of the Revised Code.
(C)(1) The department shall compute and distribute state special education and related services additional weighted costs funds to each school district in accordance with the following formula:
The district's adjusted state share percentage
X the formula amount for the year
for which the aid is calculated
X the district's total special education weight
(2) In any fiscal year, a school district receiving funds under division (C)(1) of this section shall spend on related services the lesser of the following:
(a) The amount the district spent on related services in the preceding fiscal year;
(b) 1/8 X {[cost-of-doing-business factor X the formula amount X (the category one special education ADM + category two special education ADM + category three special education ADM)] + the amount calculated for the fiscal year under division (C)(1) of this section + the local share of special education and related services additional weighted costs}.
(3) The local share of special education and related services additional weighted costs equals:
(1 - the district's adjusted state share percentage) X
the district's total special education weight X
the formula amount
(4) The department shall compute and pay in accordance with this division additional state aid to school districts for students in category one, two, or three special education ADM. If a district's costs for the fiscal year for a student in its category one, two, or three special education ADM are twenty-five thousand dollars or more, the district may submit to the superintendent of public instruction documentation, as prescribed by the superintendent, of all its costs for that student. Upon submission of documentation for a student of the type and in the manner prescribed, the department shall pay to the district an amount equal to the sum of the following:
(a) One-half of the district's costs for the student in excess of twenty-five thousand dollars;
(b) The product of one-half of the district's costs for the student in excess of twenty-five thousand dollars multiplied by the district's adjusted state share percentage.
The district shall only report, and the department shall only pay for, the costs of educational expenses and the related services provided to the student in accordance with the student's individualized education program. Any legal fees, court costs, or other costs associated with any cause of action relating to the student may not be included in the amount.
(5)(a) As used in this division, the "personnel allowance" means twenty-five thousand dollars in fiscal year 2000 and thirty thousand dollars in fiscal year 2001 years 2002 and 2003.
(b) For the provision of speech services to students and for no other purpose, the department of education shall pay each school district an amount calculated under the following formula:
(formula ADM divided by 2000) X the personnel
allowance X the adjusted state share percentage
(6) In any fiscal year, a school district receiving funds under division (C)(1) of this section shall spend those funds only for the purposes that the department designates as approved for special education expenses.
(D)(1) As used in this division:
(a) "Daily bus miles per student" equals the number of bus miles traveled per day, divided by transportation base.
(b) "Transportation base" equals total student count as defined in section 3301.011 of the Revised Code, minus the number of students enrolled in preschool handicapped units, plus the number of nonpublic school students included in transportation ADM.
(c) "Transported student percentage" equals transportation ADM divided by transportation base.
(d) "Transportation cost per student" equals total operating costs for board-owned or contractor-operated school buses divided by transportation base.
(2) Analysis of student transportation cost data has resulted in a finding that an average efficient transportation use cost per student can be calculated by means of a regression formula that has as its two independent variables the number of daily bus miles per student and the transported student percentage. For fiscal year 1998 transportation cost data, the average efficient transportation use cost per student is expressed as follows:
51.79027 + (139.62626 X daily bus miles per student) +
(116.25573 X transported student percentage)
The department of education shall annually determine the average efficient transportation use cost per student in accordance with the principles stated in division (D)(2) of this section, updating the intercept and regression coefficients of the regression formula modeled in this division, based on an annual statewide analysis of each school district's daily bus miles per student, transported student percentage, and transportation cost per student data. The department shall conduct the annual update using data, including daily bus miles per student, transported student percentage, and transportation cost per student data, from the prior fiscal year. The department shall notify the office of budget and management of such update by the fifteenth day of February of each year.
(3) In addition to funds paid under divisions (A), (C), and (E) of this section, each district with a transported student percentage greater than zero shall receive a payment equal to a percentage of the product of the district's transportation base from the prior fiscal year times the annually updated average efficient transportation use cost per student, times an inflation factor of two and eight tenths per cent to account for the one-year difference between the data used in updating the formula and calculating the payment and the year in which the payment is made. The percentage shall be the following percentage of that product specified for the corresponding fiscal year:
FISCAL YEARPERCENTAGE
200052.5%
200155%
200257.5%
2003 and thereafter60%

The payments made under division (D)(3) of this section each year shall be calculated based on all of the same prior year's data used to update the formula.
(4) In addition to funds paid under divisions (D)(2) and (3) of this section, a school district shall receive a rough road subsidy if both of the following apply:
(a) Its county rough road percentage is higher than the statewide rough road percentage, as those terms are defined in division (D)(5) of this section;
(b) Its district student density is lower than the statewide student density, as those terms are defined in that division.
(5) The rough road subsidy paid to each district meeting the qualifications of division (D)(4) of this section shall be calculated in accordance with the following formula:
(per rough mile subsidy X total rough road miles) X
density multiplier
where:
(a) "Per rough mile subsidy" equals the amount calculated in accordance with the following formula:
0.75 - {0.75 X [(maximum rough road percentage -
county rough road percentage)/(maximum rough road percentage -
statewide rough road percentage)]}
(i) "Maximum rough road percentage" means the highest county rough road percentage in the state.
(ii) "County rough road percentage" equals the percentage of the mileage of state, municipal, county, and township roads that is rated by the department of transportation as type A, B, C, E2, or F in the county in which the school district is located or, if the district is located in more than one county, the county to which it is assigned for purposes of determining its cost-of-doing-business factor.
(iii) "Statewide rough road percentage" means the percentage of the statewide total mileage of state, municipal, county, and township roads that is rated as type A, B, C, E2, or F by the department of transportation.
(b) "Total rough road miles" means a school district's total bus miles traveled in one year times its county rough road percentage.
(c) "Density multiplier" means a figure calculated in accordance with the following formula:
1 - [(minimum student density - district student
density)/(minimum student density -
statewide student density)]
(i) "Minimum student density" means the lowest district student density in the state.
(ii) "District student density" means a school district's transportation base divided by the number of square miles in the district.
(iii) "Statewide student density" means the sum of the transportation bases for all school districts divided by the sum of the square miles in all school districts.
(6) In addition to funds paid under divisions (D)(2) to (5) of this section, each district shall receive in accordance with rules adopted by the state board of education a payment for students transported by means other than board-owned or contractor-operated buses and whose transportation is not funded under division (J) of section 3317.024 of the Revised Code. The rules shall include provisions for school district reporting of such students.
(7) Notwithstanding divisions (D)(1) to (6) of this section, in fiscal year 2000 only, each school district shall receive the greater of the total amount calculated for it under those divisions and division (J) of section 3317.024 of the Revised Code or the total amount calculated for it for types one through six student transportation operating funds in fiscal year 1999. For purposes of division (D)(7) of this section, the fiscal year 1999 guaranteed total amount does not include subsidies for school bus purchases.
(E)(1) The department shall compute and distribute state vocational education additional weighted costs funds to each school district in accordance with the following formula:
state share percentage X
the formula amount X
total vocational education weight
In any fiscal year, a school district receiving funds under division (E)(1) of this section shall spend those funds only for the purposes that the department designates as approved for vocational education expenses.
(2) The department shall compute for each school district state funds for vocational education associated services in accordance with the following formula:
state share percentage X .05 X
the formula amount X the sum of categories one and two
vocational education ADM
In any fiscal year, a school district receiving funds under division (E)(2) of this section, or through a transfer of funds pursuant to division (L) of section 3317.023 of the Revised Code, shall spend those funds only for the purposes that the department designates as approved for vocational education associated services expenses, which may include such purposes as apprenticeship coordinators, coordinators for other vocational education services, vocational evaluation, and other purposes designated by the department. The department may deny payment under division (E)(2) of this section to any district that the department determines is not operating those services or is using funds paid under division (E)(2) of this section, or through a transfer of funds pursuant to division (L) of section 3317.023 of the Revised Code, for other purposes.
In fiscal years 2000 and 2001, each school district shall continue to offer the same number of the vocational education programs that the district offered in fiscal year 1999, unless the department of education expressly agrees that the district may offer fewer programs in either fiscal year 2000 or 2001 or both.
Sec. 3317.023.  (A) Notwithstanding section 3317.022 of the Revised Code, the amounts required to be paid to a district under this chapter shall be adjusted by the amount of the computations made under divisions (B) to (K)(L) of this section.
As used in this section:
(1) "Classroom teacher" means a licensed employee who provides direct instruction to pupils, excluding teachers funded from money paid to the district from federal sources; educational service personnel; and vocational and special education teachers.
(2) "Educational service personnel" shall not include such specialists funded from money paid to the district from federal sources or assigned full-time to vocational or special education students and classes and may only include those persons employed in the eight specialist areas in a pattern approved by the department of education under guidelines established by the state board of education.
(3) "Annual salary" means the annual base salary stated in the state minimum salary schedule for the performance of the teacher's regular teaching duties that the teacher earns for services rendered for the first full week of October of the fiscal year for which the adjustment is made under division (C) of this section. It shall not include any salary payments for supplemental teachers contracts.
(4) "Regular student population" means the formula ADM plus the number of students reported as enrolled in the district pursuant to division (A)(1) of section 3313.981 of the Revised Code; minus the number of students reported under division (A)(2) of section 3317.03 of the Revised Code; minus the FTE of students reported under division (B)(5), (6), (7), (8), or (9) of that section who are enrolled in a vocational education class or receiving special education; and minus one-fourth of the students enrolled concurrently in a joint vocational school district.
(5) "State share percentage" has and "adjusted state share percentage" have the same meaning meanings as in section 3317.022 of the Revised Code.
(6) "VEPD" means a school district or group of school districts designated by the department of education as being responsible for the planning for and provision of vocational education services to students within the district or group.
(7) "Lead district" means a school district, including a joint vocational school district, designated by the department as a VEPD, or designated to provide primary vocational education leadership within a VEPD composed of a group of districts.
(B) If the district employs less than one full-time equivalent classroom teacher for each twenty-five pupils in the regular student population in any school district, deduct the sum of the amounts obtained from the following computations:
(1) Divide the number of the district's full-time equivalent classroom teachers employed by one twenty-fifth;
(2) Subtract the quotient in (1) from the district's regular student population;
(3) Multiply the difference in (2) by seven hundred fifty-two dollars.
(C) If a positive amount, add one-half of the amount obtained by multiplying the number of full-time equivalent classroom teachers by:
(1) The mean annual salary of all full-time equivalent classroom teachers employed by the district at their respective training and experience levels minus;
(2) The mean annual salary of all such teachers at their respective levels in all school districts receiving payments under this section.
The number of full-time equivalent classroom teachers used in this computation shall not exceed one twenty-fifth of the district's regular student population. In calculating the district's mean salary under this division, those full-time equivalent classroom teachers with the highest training level shall be counted first, those with the next highest training level second, and so on, in descending order. Within the respective training levels, teachers with the highest years of service shall be counted first, the next highest years of service second, and so on, in descending order.
(D) This division does not apply to a school district that has entered into an agreement under division (A) of section 3313.42 of the Revised Code. Deduct the amount obtained from the following computations if the district employs fewer than five full-time equivalent educational service personnel, including elementary school art, music, and physical education teachers, counselors, librarians, visiting teachers, school social workers, and school nurses for each one thousand pupils in the regular student population:
(1) Divide the number of full-time equivalent educational service personnel employed by the district by five one-thousandths;
(2) Subtract the quotient in (1) from the district's regular student population;
(3) Multiply the difference in (2) by ninety-four dollars.
(E) If a local school district, or a city or exempted village school district to which a governing board of an educational service center provides services pursuant to section 3313.843 of the Revised Code, deduct the amount of the payment required for the reimbursement of the governing board under section 3317.11 of the Revised Code.
(F)(1) If the district is required to pay to or entitled to receive tuition from another school district under division (C)(2) or (3) of section 3313.64 or section 3313.65 of the Revised Code, or if the superintendent of public instruction is required to determine the correct amount of tuition and make a deduction or credit under section 3317.08 of the Revised Code, deduct and credit such amounts as provided in division (I) of section 3313.64 or section 3317.08 of the Revised Code.
(2) For each child for whom the district is responsible for tuition or payment under division (A)(1) of section 3317.082 or section 3323.091 of the Revised Code, deduct the amount of tuition or payment for which the district is responsible.
(G) If the district has been certified by the superintendent of public instruction under section 3313.90 of the Revised Code as not in compliance with the requirements of that section, deduct an amount equal to ten per cent of the amount computed for the district under section 3317.022 of the Revised Code.
(H) If the district has received a loan from a commercial lending institution for which payments are made by the superintendent of public instruction pursuant to division (E)(3) of section 3313.483 of the Revised Code, deduct an amount equal to such payments.
(I)(1) If the district is a party to an agreement entered into under division (D), (E), or (F) of section 3311.06 or division (B) of section 3311.24 of the Revised Code and is obligated to make payments to another district under such an agreement, deduct an amount equal to such payments if the district school board notifies the department in writing that it wishes to have such payments deducted.
(2) If the district is entitled to receive payments from another district that has notified the department to deduct such payments under division (I)(1) of this section, add the amount of such payments.
(J) If the district is required to pay an amount of funds to a cooperative education district pursuant to a provision described by division (B)(4) of section 3311.52 or division (B)(8) of section 3311.521 of the Revised Code, deduct such amounts as provided under that provision and credit those amounts to the cooperative education district for payment to the district under division (B)(1) of section 3317.19 of the Revised Code.
(K)(1) If a district is educating a student entitled to attend school in another district pursuant to a shared education contract, compact, or cooperative education agreement other than an agreement entered into pursuant to section 3313.842 of the Revised Code, credit to that educating district on an FTE basis both all of the following:
(a) An amount equal to the formula amount times the cost of doing business factor of the school district where the student is entitled to attend school pursuant to section 3313.64 or 3313.65 of the Revised Code;
(b) An amount equal to the formula amount times the adjusted state share percentage times any multiple applicable to the student pursuant to section 3317.013 of the Revised Code;
(c) An amount equal to the formula amount times the state share percentage times any multiple applicable to the student pursuant to section 3317.013 or 3317.014 of the Revised Code.
(2) Deduct any amount credited pursuant to division (K)(1) of this section from amounts paid to the school district in which the student is entitled to attend school pursuant to section 3313.64 or 3313.65 of the Revised Code.
(3) If the district is required by a shared education contract, compact, or cooperative education agreement to make payments to an educational service center, deduct the amounts from payments to the district and add them to the amounts paid to the service center pursuant to section 3317.11 of the Revised Code.
(L)(1) If a district, including a joint vocational school district, is a lead district of a VEPD, credit to that district the amounts calculated for all the school districts within that VEPD pursuant to division (E)(2) of section 3317.022 of the Revised Code.
(2) Deduct from each appropriate district that is not a lead district, the amount attributable to that district that is credited to a lead district under division (L)(1) of this section.
Sec. 3317.029.  (A) As used in this section:
(1) "DPIA percentage" means the quotient obtained by dividing the five-year average number of children ages five to seventeen residing in the school district and living in a family receiving family assistance, as certified or adjusted under section 3317.10 of the Revised Code, by the district's three-year average formula ADM.
(2) "Family assistance" means assistance received under the Ohio works first program or, for the purpose of determining the five-year average number of recipients of family assistance in fiscal years 1999 through 2002, assistance received under an antecedent program known as TANF or ADC.
(3) "Statewide DPIA percentage" means the five-year average of the total number of children ages five to seventeen years residing in the state and receiving family assistance, divided by the sum of the three-year average formula ADMs for all school districts in the state.
(4) "DPIA index" means the quotient obtained by dividing the school district's DPIA percentage by the statewide DPIA percentage.
(5) "Kindergarten ADM" means the number of students reported under section 3317.03 of the Revised Code as enrolled in kindergarten.
(6) "Kindergarten through third grade ADM" means the amount calculated as follows:
(a) Multiply the kindergarten ADM by the sum of one plus the all-day kindergarten percentage;
(b) Add the number of students in grades one through three;
(c) Subtract from the sum calculated under division (A)(6)(b) of this section the number of special education students in grades kindergarten through three.
(7) "Statewide average teacher salary" means forty forty-two thousand one four hundred eighty-seven sixty-nine dollars in fiscal year 2000 2002, and forty-one forty-three thousand three six hundred twelve fifty-eight dollars in fiscal year 2001 2003, which includes an amount for the value of fringe benefits.
(8) "All-day kindergarten" means a kindergarten class that is in session five days per week for not less than the same number of clock hours each day as for pupils in grades one through six.
(9) "All-day kindergarten percentage" means the percentage of a district's actual total number of students enrolled in kindergarten who are enrolled in all-day kindergarten.
(10) "Buildings with the highest concentration of need" means the school buildings in a district with percentages of students receiving family assistance in grades kindergarten through three at least as high as the district-wide percentage of students receiving family assistance. If, however, the information provided by the department of job and family services under section 3317.10 of the Revised Code is insufficient to determine the family assistance percentage in each building, "buildings with the highest concentration of need" has the meaning given in rules that the department of education shall adopt. The rules shall base the definition of "buildings with the highest concentration of need" on family income of students in grades kindergarten through three in a manner that, to the extent possible with available data, approximates the intent of this division and division (G) of this section to designate buildings where the family assistance percentage in those grades equals or exceeds the district-wide family assistance percentage.
(B) In addition to the amounts required to be paid to a school district under section 3317.022 of the Revised Code, a school district shall receive the greater of the amount the district received in fiscal year 1998 pursuant to division (B) of section 3317.023 of the Revised Code as it existed at that time or the sum of the computations made under divisions (C) to (E) of this section.
(C) A supplemental payment that may be utilized for measures related to safety and security and for remediation or similar programs, calculated as follows:
(1) If the DPIA index of the school district is greater than or equal to thirty-five-hundredths, but less than one, an amount obtained by multiplying the five-year average number of pupils in a district receiving family assistance by two hundred thirty dollars;
(2) If the DPIA index of the school district is greater than or equal to one, an amount obtained by multiplying the DPIA index by two hundred thirty dollars and multiplying that product by the five-year average number of pupils in a district receiving family assistance.
Except as otherwise provided in division (F) of this section, beginning with the school year that starts July 1, 2002, each school district annually shall use at least twenty per cent of the funds calculated for the district under this division for intervention services required by section 3313.608 of the Revised Code.
(D) A payment for all-day kindergarten if any of the following apply:
(1) For purposes of making payment in fiscal years prior to fiscal year 2003, the DPIA index of the school district is greater than or equal to one or if the;
(2) For purposes of making payment in fiscal year 2003 and thereafter, the DPIA index of the school district is greater than or equal to six-tenths;
(3) The district's three-year average formula ADM exceeded seventeen thousand five hundred,;
(4) The district qualified for and received a payment for all-day kindergarten under this division in a previous fiscal year.
The payment under this division shall be calculated by multiplying the all-day kindergarten percentage by the kindergarten ADM and multiplying that product by the formula amount.
(E) A class-size reduction payment based on calculating the number of new teachers necessary to achieve a lower student-teacher ratio, as follows:
(1) Determine or calculate a formula number of teachers per one thousand students based on the DPIA index of the school district as follows:
(a) If the DPIA index of the school district is less than six-tenths, the formula number of teachers is 43.478, which is the number of teachers per one thousand students at a student-teacher ratio of twenty-three to one;
(b) If the DPIA index of the school district is greater than or equal to six-tenths, but less than two and one-half, the formula number of teachers is calculated as follows:
43.478 + {[(DPIA index-0.6)/ 1.9] X 23.188}
Where 43.478 is the number of teachers per one thousand students at a student-teacher ratio of twenty-three to one; 1.9 is the interval from a DPIA index of six-tenths to a DPIA index of two and one-half; and 23.188 is the difference in the number of teachers per one thousand students at a student-teacher ratio of fifteen to one and the number of teachers per one thousand students at a student-teacher ratio of twenty-three to one.
(c) If the DPIA index of the school district is greater than or equal to two and one-half, the formula number of teachers is 66.667, which is the number of teachers per one thousand students at a student-teacher ratio of fifteen to one.
(2) Multiply the formula number of teachers determined or calculated in division (E)(1) of this section by the kindergarten through third grade ADM for the district and divide that product by one thousand;
(3) Calculate the number of new teachers as follows:
(a) Multiply the kindergarten through third grade ADM by 43.478, which is the number of teachers per one thousand students at a student-teacher ratio of twenty-three to one, and divide that product by one thousand;
(b) Subtract the quotient obtained in division (E)(3)(a) of this section from the product in division (E)(2) of this section.
(4) Multiply the greater of the difference obtained under division (E)(3) of this section or zero by the statewide average teachers salary.
(F) This division applies only to school districts whose DPIA index is one or greater.
(1) Each school district subject to this division shall first utilize funds received under this section so that, when combined with other funds of the district, sufficient funds exist to provide all-day kindergarten to at least the number of children in the district's all-day kindergarten percentage.
(2) Up to an amount equal to the district's DPIA index multiplied by the five-year average number of pupils in a district receiving family assistance multiplied by two hundred thirty dollars of the money distributed under this section may be utilized for one or both of the following:
(a) Programs designed to ensure that schools are free of drugs and violence and have a disciplined environment conducive to learning;
(b) Remediation for students who have failed or are in danger of failing any of the proficiency tests administered pursuant to section 3301.0710 of the Revised Code.
Beginning with the school year that starts on July 1, 2002, each school district shall use at least twenty per cent of the funds set aside for the purposes of divisions (F)(2)(a) and (b) of this section to provide intervention services required by section 3313.608 of the Revised Code.
(3) Except as otherwise required by division (G) or permitted under division (K) of this section, all other funds distributed under this section to districts subject to this division shall be utilized for the purpose of the third grade guarantee. The third grade guarantee consists of increasing the amount of instructional attention received per pupil in kindergarten through third grade, either by reducing the ratio of students to instructional personnel or by increasing the amount of instruction and curriculum-related activities by extending the length of the school day or the school year.
School districts may implement a reduction of the ratio of students to instructional personnel through any or all of the following methods:
(a) Reducing the number of students in a classroom taught by a single teacher;
(b) Employing full-time educational aides or educational paraprofessionals issued a permit or license under section 3319.088 of the Revised Code;
(c) Instituting a team-teaching method that will result in a lower student-teacher ratio in a classroom.
Districts may extend the school day either by increasing the amount of time allocated for each class, increasing the number of classes provided per day, offering optional academic-related after-school programs, providing curriculum-related extra curricular activities, or establishing tutoring or remedial services for students who have demonstrated an educational need. In accordance with section 3319.089 of the Revised Code, a district extending the school day pursuant to this division may utilize a participant of the work experience program who has a child enrolled in a public school in that district and who is fulfilling the work requirements of that program by volunteering or working in that public school. If the work experience program participant is compensated, the school district may use the funds distributed under this section for all or part of the compensation.
Districts may extend the school year either through adding regular days of instruction to the school calendar or by providing summer programs.
(G) Each district subject to division (F) of this section shall not expend any funds received under division (E) of this section in any school buildings that are not buildings with the highest concentration of need, unless there is a ratio of instructional personnel to students of no more than fifteen to one in each kindergarten and first grade class in all buildings with the highest concentration of need. This division does not require that the funds used in buildings with the highest concentration of need be spent solely to reduce the ratio of instructional personnel to students in kindergarten and first grade. A school district may spend the funds in those buildings in any manner permitted by division (F)(3) of this section, but may not spend the money in other buildings unless the fifteen-to-one ratio required by this division is attained.
(H)(1) By the first day of August of each fiscal year, each school district wishing to receive any funds under division (D) of this section shall submit to the department of education an estimate of its all-day kindergarten percentage. Each district shall update its estimate throughout the fiscal year in the form and manner required by the department, and the department shall adjust payments under this section to reflect the updates.
(2) Annually by the end of December, the department of education, utilizing data from the information system established under section 3301.0714 of the Revised Code and after consultation with the legislative office of education oversight, shall determine for each school district subject to division (F) of this section whether in the preceding fiscal year the district's ratio of instructional personnel to students and its number of kindergarten students receiving all-day kindergarten appear reasonable, given the amounts of money the district received for that fiscal year pursuant to divisions (D) and (E) of this section. If the department is unable to verify from the data available that students are receiving reasonable amounts of instructional attention and all-day kindergarten, given the funds the district has received under this section and that class-size reduction funds are being used in school buildings with the highest concentration of need as required by division (G) of this section, the department shall conduct a more intensive investigation to ensure that funds have been expended as required by this section. The department shall file an annual report of its findings under this division with the chairpersons of the committees in each house of the general assembly dealing with finance and education.
(I) Any school district with a DPIA index less than one and a three-year average formula ADM exceeding seventeen thousand five hundred that receives payment for all-day kindergarten under division (D) of this section shall first utilize funds received under this section so that, when combined with other funds of the district, sufficient funds exist to provide all-day kindergarten to at least the number of children in the district's all-day kindergarten percentage. Such a district shall expend at least seventy per cent of the remaining funds received under this section, and any every other district with a DPIA index less than one shall expend at least seventy per cent of all funds received under this section, for any of the following purposes:
(1) The purchase of technology for instructional purposes;
(2) All-day kindergarten;
(3) Reduction of class sizes;
(4) Summer school remediation;
(5) Dropout prevention programs;
(6) Guaranteeing that all third graders are ready to progress to more advanced work;
(7) Summer education and work programs;
(8) Adolescent pregnancy programs;
(9) Head start or preschool programs;
(10) Reading improvement programs described by the department of education;
(11) Programs designed to ensure that schools are free of drugs and violence and have a disciplined environment conducive to learning;
(12) Furnishing, free of charge, materials used in courses of instruction, except for the necessary textbooks or electronic textbooks required to be furnished without charge pursuant to section 3329.06 of the Revised Code, to pupils living in families participating in Ohio works first in accordance with section 3313.642 of the Revised Code;
(13) School breakfasts provided pursuant to section 3313.813 of the Revised Code.
Each district shall submit to the department, in such format and at such time as the department shall specify, a report on the programs for which it expended funds under this division.
(J) If at any time the superintendent of public instruction determines that a school district receiving funds under division (D) of this section has enrolled less than the all-day kindergarten percentage reported for that fiscal year, the superintendent shall withhold from the funds otherwise due the district under this section a proportional amount as determined by the difference in the certified all-day kindergarten percentage and the percentage actually enrolled in all-day kindergarten.
The superintendent shall also withhold an appropriate amount of funds otherwise due a district for any other misuse of funds not in accordance with this section.
(K)(1) A district may use a portion of the funds calculated for it under division (D) of this section to modify or purchase classroom space to provide all-day kindergarten, if both of the following conditions are met:
(a) The district certifies to the department, in a manner acceptable to the department, that it has a shortage of space for providing all-day kindergarten.
(b) The district provides all-day kindergarten to the number of children in the all-day kindergarten percentage it certified under this section.
(2) A district may use a portion of the funds described in division (F)(3) of this section to modify or purchase classroom space to enable it to further reduce class size in grades kindergarten through two with a goal of attaining class sizes of fifteen students per licensed teacher. To do so, the district must certify its need for additional space to the department, in a manner satisfactory to the department.
Sec. 3317.0212.  Divisions (B) and (C) of this section do not apply to a school district with a formula ADM of one hundred fifty or less.
(A) As used in this section:
(1) "Fundamental FY 1997 state aid" or "fundamental FY 1998 state aid" for a district means the total amount of state money received by the district for the applicable fiscal year as reported on the department of education's form "SF-12," adjusted as follows:
(a) Minus the amount for transportation;
(b) Minus any amounts for approved preschool handicapped units;
(c) Minus any additional amount attributable to the reappraisal guarantee of division (C) of section 3317.04 of the Revised Code;
(d) Plus the amount deducted for payments to an educational service center;
(e) Plus an estimated portion of the state money distributed in the applicable fiscal year to other school districts or educational service centers for approved units, other than preschool handicapped or gifted education units, attributable to the costs of providing services in those units to students entitled to attend school in the district;
(f) Minus an estimated portion of the state money distributed to the school district in the applicable fiscal year for approved units, other than preschool handicapped units or gifted education units, attributable to the costs of providing services in those units to students entitled to attend school in another school district;
(g) Plus any additional amount paid in the applicable fiscal year pursuant to the vocational education recomputation required by Section 45.12 of Amended Substitute House Bill No. 117 of the 121st general assembly or former Section 50.22 of Amended Substitute House Bill No. 215 of the 122nd general assembly;
(h) Plus any additional amount paid in the applicable fiscal year pursuant to the special education recomputation required by former division (I) of section 3317.023 of the Revised Code;
(i) Plus any amount paid for equity aid in the applicable fiscal year under section 3317.0213 of the Revised Code;
(j) Plus any amount received for the applicable fiscal year pursuant to section 3317.027 of the Revised Code;
(k) Plus any amount received for the applicable fiscal year resulting from a recomputation made under division (B) of section 3317.022 of the Revised Code, as that section existed in the applicable fiscal year.
(2) "State basic aid" for a district for any fiscal year after fiscal year 1999 means the sum of the following:
(a) The amount computed for the district for base cost funding, special education funding, and vocational education funding under divisions (A), (C)(1) and (5), and (E) of section 3317.022 and sections 3317.025 and 3317.027 of the Revised Code and DPIA aid under section 3317.029 of the Revised Code in the current fiscal year before any deduction or credit required by division (B), (D), (E), (F), (G), (H), (I), (J), (K), or (L) of section 3317.023 or division (J) of section 3317.029 of the Revised Code;
(b) Any amounts for which the district is eligible pursuant to division (C) of section 3317.023, divisions (G), (P), and (R) of section 3317.024, and the supplemental unit allowance paid for gifted units under division (B) of section 3317.162 3317.053 of the Revised Code;
(c) Any equity aid for which the district is eligible under section 3317.0213 of the Revised Code.
(3) "Adjusted FY 1999 actual aid" has the same meaning as in Section 18 of Am. Sub. H.B. 650 of the 122nd general assembly, as amended.
(4) "Vocational education set-aside" means the up to $24,193,118 earmarked for additional school district vocational education grants under appropriation item 200-545, vocational education enhancements, in Am. Sub. H.B. 770 of the 122nd general assembly.
(B) Upon request of the department of education, the treasurer of any school district or educational service center shall furnish data needed to calculate the amounts specified in divisions (A)(1)(e) and (f) of this section. The department shall compute and pay the state basic aid guarantee for each school district for the fiscal year as follows:
(1) Subtract the amount of state basic aid from the amount of fundamental FY 1998 state aid. If a negative number, this computation shall be deemed to be zero.
(2) Pay the district any positive amount calculated under division (B)(1) of this section.
(C) In fiscal year 2000, the department shall calculate for each district the sum of the district's state basic aid for that fiscal year, plus any amount calculated under division (B)(1) of this section, plus the transportation portion of state aid computed for the district for that fiscal year under division (D) of the version of section 3317.022 of the Revised Code in effect that fiscal year. If a district's adjusted FY 1999 actual aid is greater than that sum, then the department shall pay the district in that fiscal year one hundred per cent of the difference.
(D)(1) The state basic aid guarantee in any fiscal year for a school district with a formula ADM of one hundred fifty or less shall be the greatest of the following amounts:
(a) The district's state basic aid for the fiscal year;
(b) The district's fundamental FY 1998 state aid;
(c) The district's fundamental FY 1997 state aid.
(2) If in any fiscal year the state basic aid for a school district with a formula ADM of one hundred fifty or less is less than the guarantee amount determined for the district under division (D)(C)(1) of this section, the department of education shall pay the district the amount of the difference.
Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1), and (C) of this section, any student enrolled in kindergarten more than half time shall be reported as one-half student under this section.
(A) The superintendent of each city and exempted village school district and of each educational service center shall, for the schools under the superintendent's supervision, certify to the state board of education on or before the fifteenth day of October in each year for the first full school week in October the formula ADM, which shall consist of the average daily membership during such week of the sum of the following:
(1) On an FTE basis, the number of students in grades kindergarten through twelve receiving any educational services from the district, except that the following categories of students shall not be included in the determination:
(a) Students enrolled in adult education classes;
(b) Adjacent or other district students enrolled in the district under an open enrollment policy pursuant to section 3313.98 of the Revised Code;
(c) Students receiving services in the district pursuant to a compact, cooperative education agreement, or a contract, but who are entitled to attend school in another district pursuant to section 3313.64 or 3313.65 of the Revised Code;
(d) Students for whom tuition is payable pursuant to sections 3317.081 and 3323.141 of the Revised Code.
(2) On an FTE basis, the number of students entitled to attend school in the district pursuant to section 3313.64 or 3313.65 of the Revised Code, but receiving educational services in grades kindergarten through twelve from one or more of the following entities:
(a) A community school pursuant to Chapter 3314. of the Revised Code, including any participation in a college pursuant to Chapter 3365. of the Revised Code while enrolled in such community school;
(b) An alternative school pursuant to sections 3313.974 to 3313.979 of the Revised Code as described in division (I)(2)(a) or (b) of this section;
(c) A college pursuant to Chapter 3365. of the Revised Code, except when the student is enrolled in the college while also enrolled in a community school pursuant to Chapter 3314. of the Revised Code;
(d) An adjacent or other school district under an open enrollment policy adopted pursuant to section 3313.98 of the Revised Code;
(e) An educational service center or cooperative education district;
(f) Another school district under a cooperative education agreement, compact, or contract.
(3) One-fourth of the number of students enrolled in a joint vocational school district or under a vocational education compact, excluding any students entitled to attend school in the district under section 3313.64 or 3313.65 of the Revised Code who are enrolled in another school district through an open enrollment policy as reported under division (A)(2)(d) of this section and then enroll in a joint vocational school district or under a vocational education compact;
(4) The number of handicapped children, other than handicapped preschool children, entitled to attend school in the district pursuant to section 3313.64 or 3313.65 of the Revised Code who are placed with a county MR/DD board, minus the number of such children placed with a county MR/DD board in fiscal year 1998. If this calculation produces a negative number, the number reported under division (A)(4) of this section shall be zero.
(B) To enable the department of education to obtain the data needed to complete the calculation of payments pursuant to this chapter, in addition to the formula ADM, each superintendent shall report separately the following student counts:
(1) The total average daily membership in regular day classes included in the report under division (A)(1) or (2) of this section for kindergarten, and each of grades one through twelve in schools under the superintendent's supervision;
(2) The number of all handicapped preschool children enrolled as of the first day of December in classes in the district that are eligible for approval by the state board of education under division (B) of section 3317.05 of the Revised Code and the number of those classes, which shall be reported not later than the fifteenth day of December, in accordance with rules adopted under that section;
(3) The number of children entitled to attend school in the district pursuant to section 3313.64 or 3313.65 of the Revised Code who are participating in a pilot project scholarship program established under sections 3313.974 to 3313.979 of the Revised Code as described in division (I)(2)(a) or (b) of this section, are enrolled in a college under Chapter 3365. of the Revised Code, except when the student is enrolled in the college while also enrolled in a community school pursuant to Chapter 3314. of the Revised Code, are enrolled in an adjacent or other school district under section 3313.98 of the Revised Code, are enrolled in a community school established under Chapter 3314. of the Revised Code, including any participation in a college pursuant to Chapter 3365. of the Revised Code while enrolled in such community school, or are participating in a program operated by a county MR/DD board or a state institution;
(4) The number of pupils enrolled in joint vocational schools;
(5) The average daily membership of handicapped children reported under division (A)(1) or (2) of this section receiving category one special education services, described in division (A) of section 3317.013 of the Revised Code;
(6) The average daily membership of handicapped children reported under division (A)(1) or (2) of this section receiving category two special education services, described in division (B) of section 3317.013 of the Revised Code;
(7) The average daily membership of handicapped children reported under division (A)(1) or (2) of this section identified as having any of the handicaps specified in division (F)(3) of section 3317.02 of the Revised Code;
(8) The average daily membership of pupils reported under division (A)(1) or (2) of this section enrolled in category one vocational education programs or classes, described in division (A) of section 3317.014 of the Revised Code, operated by the school district or by another district, other than a joint vocational school district, or by an educational service center;
(9) The average daily membership of pupils reported under division (A)(1) or (2) of this section enrolled in category two vocational education programs or services, described in division (B) of section 3317.014 of the Revised Code, operated by the school district or another school district, other than a joint vocational school district, or by an educational service center;
(10) The average number of children transported by the school district on board-owned or contractor-owned and -operated buses, reported in accordance with rules adopted by the department of education;
(11)(a) The number of children, other than handicapped preschool children, the district placed with a county MR/DD board in fiscal year 1998;
(b) The number of handicapped children, other than handicapped preschool children, placed with a county MR/DD board in the current fiscal year to receive category one special education services, described in division (A) of section 3317.013 of the Revised Code;
(c) The number of handicapped children, other than handicapped preschool children, placed with a county MR/DD board in the current fiscal year to receive category two special education services, described in division (B) of section 3317.013 of the Revised Code;
(d) The number of handicapped children, other than handicapped preschool children, placed with a county MR/DD board in the current fiscal year to receive category three special education services, described in division (F)(3) of section 3317.02 of the Revised Code.
(C) Except as otherwise provided in this section for kindergarten students, the average daily membership in divisions (B)(1) to (9) of this section shall be based upon the number of full-time equivalent students. The state board of education shall adopt rules defining full-time equivalent students and for determining the average daily membership therefrom for the purposes of divisions (A), (B), and (D) of this section. No child shall be counted as more than a total of one child in the sum of the average daily memberships of a school district under division (A), divisions (B)(1) to (9), or division (D) of this section, except as follows:
(1) A child with a handicap described in section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code may be counted both in formula ADM and in category one, two, or three special education ADM and, if applicable, in category one or two vocational education ADM. As provided in division (C) of section 3317.02 of the Revised Code, such a child shall be counted in category one, two, or three special education ADM in the same proportion that the child is counted in formula ADM.
(2) A child enrolled in vocational education programs or classes described in section 3314.014 of the Revised Code may be counted both in formula ADM and category one or two vocational education ADM and, if applicable, in category one, two, or three special education ADM. Such a child shall be counted in category one or two vocational education ADM in the same proportion as the percentage of time that the child spends in the vocational education programs or classes.
Based on the information reported under this section, the department of education shall determine the total student count, as defined in section 3301.011 of the Revised Code, for each school district.
(D)(1) The superintendent of each joint vocational school district shall certify to the superintendent of public instruction on or before the fifteenth day of October in each year for the first full school week in October the formula ADM, which shall consist of the average daily membership during such week, on an FTE basis, of the number of students receiving any educational services from the district, except that the following categories of students shall not be included in the determination:
(a) Students enrolled in adult education classes;
(b) Adjacent or other district joint vocational students enrolled in the district under an open enrollment policy pursuant to section 3313.98 of the Revised Code;
(c) Students receiving services in the district pursuant to a compact, cooperative education agreement, or a contract, but who are entitled to attend school in a city, local, or exempted village school district whose territory is not part of the territory of the joint vocational district;
(d) Students for whom tuition is payable pursuant to sections 3317.081 and 3323.141 of the Revised Code.
(2) To enable the department of education to obtain the data needed to complete the calculation of payments pursuant to this chapter, in addition to the formula ADM, each superintendent shall report separately the average daily membership included in the report under division (D)(1) of this section for each of the following categories of students:
(a) Students enrolled in each grade included in the joint vocational district schools;
(b) Handicapped children receiving category one special education services, described in division (A) of section 3317.013 of the Revised Code;
(c) Handicapped children receiving category two special education services, described in division (B) of section 3317.013 of the Revised Code;
(d) Handicapped children identified as having any of the handicaps specified in division (F)(3) of section 3317.02 of the Revised Code;
(e) Students receiving category one vocational education services, described in division (A) of section 3317.014 of the Revised Code;
(f) Students receiving category two vocational education services, described in division (B) of section 3317.014 of the Revised Code.
The superintendent of each joint vocational school district shall also indicate the city, local, or exempted village school district in which each joint vocational district pupil is entitled to attend school pursuant to section 3313.64 or 3313.65 of the Revised Code.
(E) In each school of each city, local, exempted village, joint vocational, and cooperative education school district there shall be maintained a record of school membership, which record shall accurately show, for each day the school is in session, the actual membership enrolled in regular day classes. For the purpose of determining average daily membership, the membership figure of any school shall not include any pupils except those pupils described by division (A) of this section. The record of membership for each school shall be maintained in such manner that no pupil shall be counted as in membership prior to the actual date of entry in the school and also in such manner that where for any cause a pupil permanently withdraws from the school that pupil shall not be counted as in membership from and after the date of such withdrawal. There shall not be included in the membership of any school any of the following:
(1) Any pupil who has graduated from the twelfth grade of a public high school;
(2) Any pupil who is not a resident of the state;
(3) Any pupil who was enrolled in the schools of the district during the previous school year when tests were administered under section 3301.0711 of the Revised Code but did not take one or more of the tests required by that section and was not excused pursuant to division (C)(1) of that section;
(4) Any pupil who has attained the age of twenty-two years, except for veterans of the armed services whose attendance was interrupted before completing the recognized twelve-year course of the public schools by reason of induction or enlistment in the armed forces and who apply for reenrollment in the public school system of their residence not later than four years after termination of war or their honorable discharge.
If, however, any veteran described by division (E)(4)(b) of this section elects to enroll in special courses organized for veterans for whom tuition is paid under the provisions of federal laws, or otherwise, that veteran shall not be included in average daily membership.
Notwithstanding division (E)(3) of this section, the membership of any school may include a pupil who did not take a test required by section 3301.0711 of the Revised Code if the superintendent of public instruction grants a waiver from the requirement to take the test to the specific pupil. The superintendent may grant such a waiver only for good cause in accordance with rules adopted by the state board of education.
Except as provided in division (B)(2) of this section, the average daily membership figure of any local, city, exempted village, or joint vocational school district shall be determined by dividing the figure representing the sum of the number of pupils enrolled during each day the school of attendance is actually open for instruction during the first full school week in October by the total number of days the school was actually open for instruction during that week. For purposes of state funding, "enrolled" persons are only those pupils who are attending school, those who have attended school during the current school year and are absent for authorized reasons, and those handicapped children currently receiving home instruction.
The average daily membership figure of any cooperative education school district shall be determined in accordance with rules adopted by the state board of education.
(F)(1) If the formula ADM for the first full school week in February is at least three per cent greater than that certified for the first full school week in the preceding October, the superintendent of schools of any city, exempted village, or joint vocational school district or educational service center shall certify such increase to the superintendent of public instruction. Such certification shall be submitted no later than the fifteenth day of February. For the balance of the fiscal year, beginning with the February payments, the superintendent of public instruction shall use the increased formula ADM in calculating or recalculating the amounts to be allocated in accordance with section 3317.022 or 3317.16 of the Revised Code. In no event shall the superintendent use an increased membership certified to the superintendent after the fifteenth day of February.
(2) If on the first school day of April the total number of classes or units for handicapped preschool children that are eligible for approval under division (B) of section 3317.05 of the Revised Code exceeds the number of units that have been approved for the year under that division, the superintendent of schools of any city, exempted village, or cooperative education school district or educational service center shall make the certifications required by this section for that day. If the state board of education determines additional units can be approved for the fiscal year within any limitations set forth in the acts appropriating moneys for the funding of such units, the board shall approve additional units for the fiscal year on the basis of such average daily membership. For each unit so approved, the department of education shall pay an amount computed in the manner prescribed in section 3317.161 3317.052 or 3317.19 and section 3317.162 3317.053 of the Revised Code.
(G)(1)(a) The superintendent of an institution operating a special education program pursuant to section 3323.091 of the Revised Code shall, for the programs under such superintendent's supervision, certify to the state board of education the average daily membership of all handicapped children in classes or programs approved annually by the state board of education, in the manner prescribed by the superintendent of public instruction.
(b) The superintendent of an institution with vocational education units approved under division (A) of section 3317.05 of the Revised Code shall, for the units under the superintendent's supervision, certify to the state board of education the average daily membership in those units, in the manner prescribed by the superintendent of public instruction.
(2) The superintendent of each county MR/DD board that maintains special education classes under section 3317.20 of the Revised Code or units approved by the state board of education pursuant to section 3317.05 of the Revised Code shall do both of the following:
(a) Certify to the state board, in the manner prescribed by the board, the average daily membership in classes and units approved under division (D)(1) of under section 3317.05 3317.20 of the Revised Code for each school district that has placed children in the classes or units;
(b) Certify to the state board, in the manner prescribed by the board, the number of all handicapped preschool children enrolled as of the first day of December in classes eligible for approval under division (B) of section 3317.05 of the Revised Code, and the number of those classes.
(3)(a) If during the first full school week in February the average daily membership of the classes or units maintained by the county MR/DD board that are eligible for approval under division (D)(1) of section 3317.05 of the Revised Code is greater than the average daily membership for the preceding October, the superintendent of the board shall make the certifications required by this section for such week.
(b) If on the first school day of April the number of classes or units maintained for handicapped preschool children by the county MR/DD board that are eligible for approval under division (B) of section 3317.05 of the Revised Code is greater than the number of units approved for the year under that division, the superintendent shall make the certification required by this section for that day.
(c)(b) If the state board determines that additional classes or units can be approved for the fiscal year within any limitations set forth in the acts appropriating moneys for the funding of the classes and units described in division (G)(3)(a) or (b) of this section, the board shall approve and fund additional units for the fiscal year on the basis of such average daily membership. For each unit so approved, the department of education shall pay an amount computed in the manner prescribed in sections 3317.161 3317.052 and 3317.162 3317.053 of the Revised Code.
(H) Except as provided in division (I) of this section, when any city, local, or exempted village school district provides instruction for a nonresident pupil whose attendance is unauthorized attendance as defined in section 3327.06 of the Revised Code, that pupil's membership shall not be included in that district's membership figure used in the calculation of that district's formula ADM or included in the determination of any unit approved for the district under section 3317.05 of the Revised Code. The reporting official shall report separately the average daily membership of all pupils whose attendance in the district is unauthorized attendance, and the membership of each such pupil shall be credited to the school district in which the pupil is entitled to attend school under division (B) of section 3313.64 or section 3313.65 of the Revised Code as determined by the department of education.
(I)(1) A city, local, exempted village, or joint vocational school district admitting a scholarship student of a pilot project district pursuant to division (C) of section 3313.976 of the Revised Code may count such student in its average daily membership.
(2) In any year for which funds are appropriated for pilot project scholarship programs, a school district implementing a state-sponsored pilot project scholarship program that year pursuant to sections 3313.974 through 3313.979 of the Revised Code may count in average daily membership:
(a) All children residing in the district and utilizing a scholarship to attend kindergarten in any alternative school, as defined in section 3313.974 of the Revised Code;
(b) All children who were enrolled in the district in the preceding year who are utilizing a scholarship to attend any such alternative school.
(J) The superintendent of each cooperative education school district shall certify to the superintendent of public instruction, in a manner prescribed by the state board of education, the applicable average daily memberships for all students in the cooperative education district, also indicating the city, local, or exempted village district where each pupil is entitled to attend school under section 3313.64 or 3313.65 of the Revised Code.
Sec. 3317.05.  (A) For the purpose of calculating payments under sections 3317.161 3317.052 and 3317.162 3317.053 of the Revised Code, the state board of education shall determine for each institution, by the last day of January of each year and based on information certified under section 3317.03 of the Revised Code, the number of vocational education units or fractions of units approved by the state board on the basis of standards and rules adopted by the state board. As used in this division, "institution" means an institution operated by a department specified in section 3323.091 of the Revised Code and that provides vocational education programs under the supervision of the division of vocational education of the department of education that meet the standards and rules for these programs, including licensure of professional staff involved in the programs, as established by the state board of education.
(B) For the purpose of calculating payments under sections 3317.052, 3317.053, 3317.11, 3317.161, 3317.162, and 3317.19 of the Revised Code, the state board shall determine, based on information certified under section 3317.03 of the Revised Code, the following by the last day of January of each year for each educational service center, for each school district, including each cooperative education school district, for each institution eligible for payment under section 3323.091 of the Revised Code, and for each county MR/DD board: the number of classes operated by the school district, service center, institution, or county MR/DD board for handicapped preschool children, or fraction thereof, including in the case of a district or service center that is a funding agent, classes taught by a licensed teacher employed by that district or service center under section 3313.841 of the Revised Code, approved annually by the state board on the basis of standards and rules adopted by the state board.
(C) For the purpose of calculating payments under sections 3317.052, 3317.053, 3317.11, 3317.161, 3317.162, and 3317.19 of the Revised Code, the state board shall determine, based on information certified under section 3317.03 of the Revised Code, the following by the last day of January of each year for each school district, including each cooperative education school district, for each institution eligible for payment under section 3323.091 of the Revised Code, and for each county MR/DD board: the number of preschool handicapped related services units for child study, occupational, physical, or speech and hearing therapy, special education supervisors, and special education coordinators approved annually by the state board on the basis of standards and rules adopted by the state board.
(D) For the purpose of calculating payments under sections 3317.161 3317.052 and 3317.162 3317.053 of the Revised Code, the state board shall determine, based on information certified under section 3317.03 of the Revised Code, the following by the last day of January of each year for each institution eligible for payment under section 3323.091 of the Revised Code, and for each county MR/DD board:
(1) The number of classes operated by an institution or county MR/DD board for handicapped children other than handicapped preschool children, or fraction thereof, approved annually by the state board on the basis of standards and rules adopted by the state board;
(2) The number of related services units for children other than handicapped preschool children for child study, occupational, physical, or speech and hearing therapy, special education supervisors, and special education coordinators approved annually by the state board on the basis of standards and rules adopted by the state board.
(E) All of the arithmetical calculations made under this section shall be carried to the second decimal place. The total number of units for school districts, service centers, and institutions approved annually by the state board under this section shall not exceed the number of units included in the state board's estimate of cost for these units and appropriations made for them by the general assembly.
In the case of units described in division (D)(1) of this section operated by county MR/DD boards and institutions eligible for payment under section 3323.091 of the Revised Code, the state board shall approve only units for persons who are under age twenty-two on the first day of the academic year, but not less than six years of age on the thirtieth day of September of that year, except that such a unit may include one or more children who are under six years of age on the thirtieth day of September if such children have been admitted to the unit pursuant to rules of the state board. In the case of handicapped preschool units described in division (B) of this section operated by county MR/DD boards and institutions eligible for payment under section 3323.091 of the Revised Code, the state board shall approve only preschool units for children who are under age six but not less than age three on the thirtieth day of September of the academic year, except that such a unit may include one or more children who are under age three or are age six or over on the thirtieth day of September if such children have been admitted to the unit pursuant to rules of the state board of education. The number of units for county MR/DD boards and institutions eligible for payment under section 3323.091 of the Revised Code approved by the state board under this section shall not exceed the number that can be funded with appropriations made for such purposes by the general assembly.
No unit shall be approved under divisions (B) to (D) of this section unless a plan has been submitted and approved under Chapter 3323. of the Revised Code.
(F) The department shall approve units or fractions thereof for gifted children on the basis of standards and rules adopted by the board.
Sec. 3317.051.  (A)(1) Notwithstanding sections 3317.05 and 3317.11 of the Revised Code, a unit funded pursuant to division (P) of section 3317.024 or division (A)(2) of section 3317.161 3317.052 of the Revised Code shall not be approved for state funding in one school district, including any cooperative education school district or any educational service center, to the extent that such unit provides programs in or services to another district which receives payment pursuant to section 3317.04 of the Revised Code.
(2) Any city, local, exempted village, or cooperative education school district or any educational service center may combine partial unit eligibility for handicapped preschool programs pursuant to section 3317.05 of the Revised Code, and such combined partial units may be approved for state funding in one school district or service center.
(B) After units have been initially approved for any fiscal year under section 3317.05 of the Revised Code, no unit shall be subsequently transferred from a school district or educational service center to another city, exempted village, local, or cooperative education school district or educational service center or to an institution or county MR/DD board solely for the purpose of reducing the financial obligations of the school district in a fiscal year it receives payment pursuant to section 3317.04 of the Revised Code.
Sec. 3317.161 3317.052 As used in this section, "institution" means an institution operated by a department specified in section 3323.091 of the Revised Code.
(A)(1) The department of education shall pay each school district, educational service center, institution eligible for payment under section 3323.091 of the Revised Code, or county MR/DD board an amount for the total of all classroom units for handicapped preschool children approved under division (B) of section 3317.05 of the Revised Code. For each unit, the amount shall be the sum of the minimum salary for the teacher of the unit, calculated on the basis of the teacher's training level and years of experience pursuant to section 3317.13 of the Revised Code, plus fifteen per cent of that minimum salary amount, and eight thousand twenty-three dollars.
(2) The department shall pay each school district, educational service center, institution eligible for payment under section 3323.091 of the Revised Code, or county MR/DD board an amount for the total of all related services units for handicapped preschool children approved under division (C) of section 3317.05 of the Revised Code. For each such unit, the amount shall be the sum of the minimum salary for the teacher of the unit calculated on the basis of the teacher's training level and years of experience pursuant to section 3317.13 of the Revised Code, fifteen per cent of that minimum salary amount, and two thousand one hundred thirty-two dollars.
(B) If a school district or, educational service center has had additional handicapped preschool units approved for the year under division (F)(2) of section 3317.03 of the Revised Code, or if a county MR/DD board has had additional handicapped preschool units approved for the year under division (F)(2) or (G)(3) of section 3317.03 of the Revised Code, the district, educational service center, or board shall receive an additional amount during the last half of the fiscal year. For each district, center, or board, the additional amount for each unit shall equal fifty per cent of the amounts computed for the unit in the manner prescribed by division (A) of this section and division (C) of section 3317.162 3317.053 of the Revised Code.
(C)(1) The department shall pay each institution eligible for payment under section 3323.091 of the Revised Code or county MR/DD board an amount for the total of all special education units approved under division (D)(1) of section 3317.05 of the Revised Code. The amount for each unit shall be the sum of the minimum salary for the teacher of the unit, calculated on the basis of the teacher's training level and years of experience pursuant to section 3317.13 of the Revised Code, plus fifteen per cent of that minimum salary amount, and eight thousand twenty-three dollars.
(2) The department shall pay each institution eligible for payment under section 3323.091 of the Revised Code or county MR/DD board an amount for the total of all related services units approved under division (D)(2) of section 3317.05 of the Revised Code. The amount for each unit shall be the sum of the minimum salary for the teacher of the unit, calculated on the basis of the teacher's training level and years of experience pursuant to section 3317.13 of the Revised Code, plus fifteen per cent of that minimum salary amount, and two thousand one hundred thirty-two dollars.
(3) If a county MR/DD board has had additional units for handicapped children other than handicapped preschool children approved under division (G)(3) of section 3317.03 of the Revised Code, the board shall receive an additional amount during the last half of the fiscal year. For each board, the additional amount for each unit shall equal fifty per cent of the amount computed for the unit in the manner prescribed by division (C)(1) of this section and division (C) of section 3317.162 of the Revised Code.
(D) The department shall pay each institution approved for vocational education units under division (A) of section 3317.05 of the Revised Code an amount for the total of all the units approved under that division. The amount for each unit shall be the sum of the minimum salary for the teacher of the unit, calculated on the basis of the teacher's training level and years of experience pursuant to section 3317.13 of the Revised Code, plus fifteen per cent of that minimum salary amount, and nine thousand five hundred ten dollars.
Sec. 3317.162 3317.053 (A) As used in this section:
(1) "State share percentage" has the same meaning as in section 3317.022 of the Revised Code.
(2) "Dollar amount" means the amount shown in the following table for the corresponding type of unit and the appropriate fiscal year:
DOLLAR AMOUNT

TYPE OF UNITFY 2000FY 2001
Division (B) of section 3317.05 of the Revised Code$8,334$8,334
Division (C) of that section$3,234$3,234
Division (F) of that section$4,550$5,550

(3) "Average unit amount" means the amount shown in the following table for the corresponding type of unit:
AVERAGE UNIT AMOUNT

TYPE OF UNITFY 2000FY 2001
Division (B) of section 3317.05 of the Revised Code$7,799$7,799
Division (C) of that section$2,966$2,966
Division (F) of that section$4,251$5,251

(B) In the case of each unit described in division (B), (C), or (F) of section 3317.05 of the Revised Code and allocated to a city, local, or exempted village school district, the department of education, in addition to the amounts specified in division (P) of section 3317.024 and sections 3317.161 3317.052 and 3317.19 of the Revised Code, shall pay a supplemental unit allowance equal to the sum of the following amounts:
(1) An amount equal to 50% of the average unit amount for the unit;
(2) An amount equal to the percentage of the dollar amount for the unit that equals the district's state share percentage.
If, prior to the fifteenth day of May of a fiscal year, a school district's aid computed under section 3317.022 of the Revised Code is recomputed pursuant to section 3317.027 or 3317.028 of the Revised Code, the department shall also recompute the district's entitlement to payment under this section utilizing a new state share percentage. Such new state share percentage shall be determined using the district's recomputed basic aid amount pursuant to section 3317.027 or 3317.028 of the Revised Code. During the last six months of the fiscal year, the department shall pay the district a sum equal to one-half of the recomputed payment in lieu of one-half the payment otherwise calculated under this section.
(C)(1) In the case of each unit allocated to an institution pursuant to division (A) of section 3317.05 of the Revised Code, the department, in addition to the amount specified in section 3317.161 3317.052 of the Revised Code, shall pay a supplemental unit allowance of $7,227.
(2) In the case of each unit described in division (B) or (D)(1) of section 3317.05 of the Revised Code that is allocated to any entity other than a city, exempted village, or local school district, the department, in addition to the amount specified in section 3317.161 3317.052 of the Revised Code, shall pay a supplemental unit allowance of $7,799.
(3) In the case of each unit described in division (C) or (D)(2) of section 3317.05 of the Revised Code and allocated to any entity other than a city, exempted village, or local school district, the department, in addition to the amounts specified in section 3317.161 3317.052 of the Revised Code, shall pay a supplemental unit allowance of $2,966.
(4) In the case of each unit described in division (F) of section 3317.05 of the Revised Code and allocated to an educational service center, the department, in addition to the amounts specified in division (P) of section 3317.024 of the Revised Code, shall pay a supplemental unit allowance of $4,251 in fiscal year 2000 and $5,251 in fiscal year 2001.
Sec. 3317.11.  (A) Annually, on or before a date designated by the state board of education, each educational service center governing board shall prepare a budget of operating expenses for the ensuing year for the service center on forms prepared and furnished by the state board of education and shall certify the budget to the state board of education, together with such other information as the board may require. Such budget shall consist of two parts. Part (A) shall include the cost of the salaries, employers retirement contributions, and travel expenses of supervisory teachers approved by the state board of education. The amount derived from the calculation for such units in part (A) of the governing board budget shall be the sum of:
(1) The sum of the minimum salaries calculated, pursuant to section 3317.13 of the Revised Code, for each approved licensed employee of the governing board;
(2) An additional salary allowance proportional to the length of the extended term of service not to exceed three months for each supervisory and child study teacher whose term of service in any year is extended beyond the terms of service of regular classroom teachers;
(3) An allowance equal to fifteen per cent of the amount computed under division (A)(1) of this section;
(4) An allowance for necessary travel expenses, for each of the personnel approved in part (A) of the budget, limited to two hundred twenty-three dollars and sixteen cents per month, or two thousand six hundred seventy-eight dollars per year per person employed, whichever is the lesser.
Part (B) shall include the cost of all other lawful expenditures of the governing board. The state board of education shall review such budget and may approve, increase, or decrease such budget.
The governing board shall be reimbursed by the state board of education from state funds for the cost of part (A) of the budget. The governing board shall be reimbursed by the state board of education, from state funds for the cost of part (B) of the approved budget that is in excess of six dollars and fifty cents times the service center ADM. If the governing board provides services to city or exempted village school districts pursuant to section 3313.843 of the Revised Code, the governing board shall be reimbursed from state funds for the cost of part (B) of the budget that is in excess of six dollars and fifty cents times the sum of the service center ADM and the client ADMs of the city or exempted village districts to which such services are provided. The cost of part (B) not in excess of six dollars and fifty cents times the number of such ADM shall be apportioned by the state board of education among the local school districts in the territory of the service center, or among all districts to which the governing board provides services, on the basis of the total number of pupils in each school district.
If part (B) of the budget is in excess of that approved by the state board of education, the excess cost shall be apportioned by the state board of education among the local school districts in the territory of the service center on the basis of the total number of such pupils in each such school district, provided that a majority of the boards of education of such local school districts approve such apportionment. The state board of education shall initiate and supervise the procedure by which the local boards shall approve or disapprove such apportionment.
The amounts so apportioned shall be certified to the treasurers of the various school districts. In the case of each district such amount shall be deducted by the state board of education from funds allocated to the district pursuant to division (E) of section 3317.023 of the Revised Code.
The state board of education shall certify to the director of budget and management for payment the total of the deductions, whereupon the amount shall be paid to the governing board of each service center, to be deposited to the credit of a separate fund, hereby created, to be known as the educational service center governing board fund.
An educational service center may provide special education to students in its local districts or in client districts. A service center is eligible for funding under division (J) of section 3317.024 of the Revised Code and eligible for state subsidies for the purchase of school buses under section 3317.07 of the Revised Code. Special education units for gifted children may be operated by a governing board. Vocational education may be provided by a governing board. A governing board may conduct driver education for pupils enrolled in a high school for which the state board of education prescribes minimum standards.
Every local school district shall be provided supervisory services by its governing board as approved by the state board of education. A city or exempted village school district shall be considered to be provided supervisory services by a governing board if it has entered into an agreement for the governing board to provide any services under section 3313.843 of the Revised Code. Supervisory services shall not exceed one supervisory teacher for the first fifty classroom teachers employed in all districts that are provided supervisory services calculated under section 3317.023 of the Revised Code and one supervisory teacher for every additional one hundred such classroom teachers so calculated. Reimbursement for such supervisory services shall be a deduction by the state board of education from the payment to the school district pursuant to division (E) of section 3317.023 of the Revised Code. Deductions for all supervisory services and extended services for supervisory and child study shall be apportioned among local school districts within the territory of the service center and any city or exempted village districts that have entered into agreements with a service center pursuant to section 3313.843 of the Revised Code by the state board of education on the basis of the total number of pupils in each school district, except that where such services are provided to districts other than local school districts within the service center territory and city or exempted village districts having agreements with the service center, such charges shall be apportioned among all participating districts on the basis of the total number of pupils in each school district. All deductions from state funding to school districts required for reimbursement of governing boards by division (E) of section 3317.023 of the Revised Code shall be made from the total of the payment computed for the district under this chapter, after making any other adjustments in that payment required by law.
(B)(1) In addition to the payments made under division (A) of this section, except as otherwise provided in division (C) of this section, the department of education shall pay each governing board the amount in the following schedule for the specified fiscal year, thirty-seven dollars times the sum of the service center ADM and the sum of the client ADMs of all its client districts:
(a) In fiscal year 2000, thirty-six dollars;
(b) In in fiscal year 2001, thirty-seven dollars years 2002 and 2003.
(2) In addition to other payments under this section, the department shall pay each educational service center the amounts due to it from school districts pursuant to contracts, compacts, or agreements under which the service center furnishes services to the districts or their students. In order to receive payment under this division, an educational service center shall furnish either a copy of the applicable contract, compact, or agreement clearly indicating the amounts of the payments, or a written statement of the payments owed signed by the superintendent or treasurer of the responsible school district.
The amounts paid to service centers under division (B)(2) of this section shall be deducted from payments to school districts pursuant to division (K)(2) of section 3317.023 of the Revised Code.
(C) Each multicounty service center shall receive a payment each fiscal year equal to forty dollars and fifty-two cents times the sum of the service center ADM and the client ADMs of all its client districts.
(D) Each city, exempted village, local, joint vocational, or cooperative education school district shall pay to the governing board of an educational service center any amounts agreed to for each child enrolled in the district who receives special education and related services or vocational education from the educational service center.
(E) As used in this section:
(1) "Service center ADM" means the total of each of the following for all local school districts within the limits of an educational service center's territory:
(a) The formula ADM;
(b) The kindergarten average daily membership included in the formula ADM;
(c) Three-quarters of the number of students reported under division (B)(4) of section 3317.03 of the Revised Code;
(d) The average daily membership of handicapped preschool children reported under division (B)(2) of section 3317.03 of the Revised Code;
(e) The number of preschool students certified under division (B) of section 3317.032 of the Revised Code.
(2) "Client ADM" means the total of each number described under divisions (E)(1)(a) to (e) of this section for a client district.
(3) "Client district" means a city or exempted village school district that has entered into an agreement to receive services from a service center pursuant to section 3313.843 of the Revised Code.
(4) "Multicounty service center" means a service center that includes territory that formerly was included in the territory of at least three former service centers or county school districts, which former centers or districts engaged in one or more mergers pursuant to section 3311.053 of the Revised Code to form the present center.
Sec. 3317.16.  (A) As used in this section:
(1) "State share percentage" means the percentage calculated for a joint vocational school district as follows:
(a) Calculate the state base cost funding amount for the district under division (B) of this section. If the district would not receive any base cost funding for that year under that division, the district's state share percentage is zero.
(b) If the district would receive base cost funding under that division, divide that base cost amount by an amount equal to the following:
cost-of-doing-business factor X
the formula amount X
the greater of formula ADM or
three-year average formula ADM
The resultant number is the district's state share percentage.
(2) The "total special education weight" for a joint vocational school district shall be calculated in the same manner as prescribed in division (B)(1) of section 3317.022 of the Revised Code.
(3) The "total vocational education weight" for a joint vocational school district shall be calculated in the same manner as prescribed in division (B)(4)(5) of section 3317.022 of the Revised Code.
(4) The "adjusted total taxable value" of a joint vocational school district shall be determined by adding the adjusted total taxable values of all its constituent school districts for the applicable fiscal year.
(B) The department of education shall compute and distribute state base cost funding to each joint vocational school district for the fiscal year in accordance with the following formula:
(cost-of-doing-business factor X
formula amount X the greater of formula
ADM or three-year average formula ADM) -
(.0005 X adjusted total taxable value)
If the difference obtained under this division is a negative number, the district's computation shall be zero.
(C)(1) The department shall compute and distribute state vocational education additional weighted costs funds to each joint vocational school district in accordance with the following formula:
state share percentage X formula amount X
total vocational education weight
(2) The department shall compute for each joint vocational school district state funds for vocational education associated services costs in accordance with the following formula:
state share percentage X .05 X
the formula amount X the sum of
categories one and two vocational
education ADM
In any fiscal year, a joint vocational school district receiving funds under division (C)(2) of this section, or through a transfer of funds pursuant to division (L) of section 3317.023 of the Revised Code, shall spend those funds only for the purposes that the department designates as approved for vocational education associated services expenses, which may include such purposes as apprenticeship coordinators, coordinators for other vocational education services, vocational evaluation, and other purposes designated by the department. The department may deny payment under division (C)(2) of this section to any district that the department determines is not operating those services or is using funds paid under division (C)(2) of this section, or through a transfer of funds pursuant to division (L) of section 3317.023 of the Revised Code, for other purposes.
(D)(1) The department shall compute and distribute state special education and related services additional weighted costs funds to each joint vocational school district in accordance with the following formula:
state share percentage X formula amount X
total special education weight
(2)(a) As used in this division, the "personnel allowance" means twenty-five thousand dollars in fiscal year 2000 and thirty thousand dollars in fiscal year 2001 years 2002 and 2003.
(b) For the provision of speech services to students and for no other purpose, the department shall pay each joint vocational school district an amount calculated under the following formula:
(formula ADM divided by 2000) X the personnel
allowance X state share percentage
(E) If a joint vocational school district's costs for a fiscal year for a student in its category one, two, or three special education ADM are twenty-five thousand dollars or more, the district may submit to the superintendent of public instruction documentation, as prescribed by the superintendent, of all of its costs for that student. Upon submission of documentation for a student of the type and in the manner prescribed, the department shall pay to the district an amount equal to the sum of the following:
(1) One-half of the district's costs for the student in excess of twenty-five thousand dollars;
(2) The product of one-half of the district's costs for the student in excess of twenty-five thousand dollars multiplied by the district's state share percentage.
The district shall only report, and the department shall only pay for, the costs of educational expenses and the related services provided to the student in accordance with the student's individualized education program. Any legal fees, court costs, or other costs associated with any cause of action relating to the student may not be included in the amount.
(F) Each fiscal year, the department shall pay each joint vocational school district an amount for adult technical and vocational education and specialized consultants.
(G)(1) In any fiscal year, a joint vocational school district receiving funds under division (D) of this section shall spend on the related services specified in division (B)(3)(4) of section 3317.022 of the Revised Code at least the lesser of the following:
(a) The amount the district spent on those related services in the preceding fiscal year;
(b) 1/8 X {[cost-of-doing-business factor X the formula amount X (the category one special education ADM + category two special education ADM + category three special education ADM)] + the amount calculated for the fiscal year under division (D)(1) of this section + the local share of special education and related services additional weighted costs}.
(2) A joint vocational school district's local share of special education and related services additional weighted costs equals:
(1 - state share percentage) X
Total special education weight X
the formula amount
(H) In any fiscal year, if the total of all payments made to a joint vocational school district under divisions (B) to (D) of this section and division (R) of section 3317.024 of the Revised Code is less than the amount that district received in fiscal year 1999 under the version of this section in effect that year, plus the amount that district received under the version of section 3317.162 of the Revised Code in effect that year and minus the amounts received that year for driver education and adult education, the department shall pay the district an additional amount equal to the difference between those two amounts.
(I) In fiscal years 2000 and 2001, each joint vocational school district shall continue to offer the same number of the vocational education programs that the district offered in fiscal year 1999, unless the department of education expressly agrees that the district may offer fewer programs in either or both fiscal year 2000 or 2001.
Sec. 3317.20.  This section does not apply to handicapped preschool children.
(A) As used in this section:
(1) "Applicable weight" means:
(a) For a handicapped child receiving special education services for a handicap specified in division (A) of section 3317.013 of the Revised Code, the multiple specified in that division;
(b) For a handicapped child receiving special education services for a handicap specified in division (B) of section 3317.013 or division (F)(3) of section 3317.02 of the Revised Code, the multiple specified in division (B) of section 3317.013 of the Revised Code.
(2) "Child's school district" means the school district in which a child is entitled to attend school pursuant to section 3313.64 or 3313.65 of the Revised Code.
(3) "State share percentage" means the state share percentage of the child's school district as defined in section 3317.022 of the Revised Code.
(B) Notwithstanding sections 3317.03, 3317.05, 3317.161, and 3317.162 of the Revised Code, the department of education shall not approve special education and related services units, other than for handicapped preschool children, in county MR/DD boards in fiscal years 1999, 2000, and 2001. During those fiscal years, state funding for special education and related services provided to school-age children by county MR/DD boards shall be provided under divisions (C) to (E) of this section.
(C) Except as provided in division (D)(C) of this section, the department shall annually pay each county MR/DD board an amount calculated under the following formula for each handicapped child, other than a handicapped preschool child, for whom the county MR/DD board provides special education and related services:
(formula amount X the cost-of-doing-business factor
for the child's school district) +
(state share percentage X formula amount X
the applicable weight)
(D)(C) If any school district places with a county MR/DD board more handicapped children than it had placed with a county MR/DD board in fiscal year 1998, the department shall not make a payment under division (C)(B) of this section for the number of children exceeding the number placed in fiscal year 1998. The department instead shall deduct from the district's payments under this chapter, and pay to the county MR/DD board, an amount calculated in accordance with the formula prescribed in division (C)(B) of this section for each child over the number of children placed in fiscal year 1998.
(E)(D) The department shall calculate for each county MR/DD board receiving payments under divisions (C)(B) and (D)(C) of this section the following amounts:
(1) The amount received by the county MR/DD board for approved special education and related services units, other than preschool handicapped units, in fiscal year 1998, divided by the total number of children served in the units that year;
(2) The product of the quotient calculated under division (E)(D)(1) of this section times the number of children for whom payments are made under divisions (C)(B) and (D)(C) of this section.
If the amount calculated under division (E)(D)(2) of this section is greater than the total amount calculated under divisions (C)(B) and (D)(C) of this section, the department shall pay the county MR/DD board one hundred per cent of the difference in addition to the payments under divisions (C)(B) and (D)(C) of this section.
Sec. 3318.31.  (A) The Ohio school facilities commission may perform any act and ensure the performance of any function necessary or appropriate to carry out the purposes of, and exercise the powers granted under, Chapter 3318. of the Revised Code, including any of the following:
(1) Employ and fix the compensation of such employees as will facilitate the activities and purposes of the commission, and who shall serve at the pleasure of the commission.
(2) Adopt, amend, and rescind, pursuant to section 111.15 of the Revised Code, rules for the administration of programs authorized under Chapter 3318. of the Revised Code.
(3)(2) Contract with, retain the services of, or designate, and fix the compensation of, such agents, accountants, consultants, advisers, and other independent contractors as may be necessary or desirable to carry out the programs authorized under Chapter 3318. of the Revised Code.
(4)(3) Receive and accept any gifts, grants, donations, and pledges, and receipts therefrom, to be used for the programs authorized under Chapter 3318. of the Revised Code.
(5)(4) Make and enter into all contracts, commitments, and agreements, and execute all instruments, necessary or incidental to the performance of its duties and the execution of its rights and powers under Chapter 3318. of the Revised Code.
(B) The commission shall appoint and fix the compensation of an executive director who shall serve at the pleasure of the commission. The executive director shall supervise the operations of the commission. The executive director also shall employ and fix the compensation of such employees as will facilitate the activities and purposes of the commission, who shall serve at the pleasure of the executive director.
(C) The attorney general shall serve as the legal representative for the commission and may appoint other counsel as necessary for that purpose in accordance with section 109.07 of the Revised Code.
Sec. 3319.19.  (A) Upon Except as provided in division (D) of this section or division (A)(2) of section 3313.37 of the Revised Code, upon request, the board of county commissioners shall provide and equip offices in the county for the use of the superintendent of an educational service center, and shall provide heat, light, water, and janitorial services for such offices. Such offices shall be the permanent headquarters of the superintendent and shall be used by the governing board of the service center when it is in session. Except as provided in division (B) of this section, such offices shall be located in the county seat or, upon the approval of the governing board, may be located outside of the county seat.
(B) In the case of a service center formed under section 3311.053 of the Revised Code, the governing board shall designate the site of its offices. The Except as provided in division (D) of this section or division (A)(2) of section 3313.37 of the Revised Code, the board of county commissioners of the county in which the designated site is located shall provide and equip the offices as under division (A) of this section, but the costs of such offices and equipment not covered by funds received under section 307.031 of the Revised Code shall be apportioned among the boards of county commissioners of all counties having any territory in the area under the control of the governing board, according to the proportion of local school district pupils under the supervision of such board residing in the respective counties. Where there is a dispute as to the amount any board of county commissioners is required to pay, the probate judge of the county in which the greatest number of pupils under the supervision of the governing board reside shall apportion such costs among the boards of county commissioners and notify each such board of its share of the costs.
(C) By the first day of March of each year, the superintendent of public instruction shall certify to the tax commissioner the ADM and the number of full-time licensed employees of each educational service center for the purposes of the distribution of funds to boards of county commissioners required under division (B) of section 307.031 of the Revised Code. As used in this section, "ADM" means the formula ADMs of all the local districts having territory in the service center, as certified in October of the previous year by the service center superintendent to the state board of education under section 3317.03 of the Revised Code. As used in this division, "licensed employee" has the same meaning as in section 307.031 of the Revised Code.
(D) The superintendent of a service center may annually submit a proposal approved by the board of county commissioners to the state superintendent of public instruction, in such manner and by such date as specified by the state board of education, for a grant for the board of county commissioners to do one of the following:
(1) To improve or enhance the offices and equipment provided under division (A) or (B) of this section or section 3301.0712 of the Revised Code;
(2) If funds received under division (B) of section 307.031 of the Revised Code are insufficient to provide for the actual cost of meeting the requirements of division (A) or (B) of section 3319.19 and division (A)(2) of section 3301.0712 of the Revised Code, to provide funds to meet such costs.
Any service center superintendent intending to submit a proposal shall submit it to the board of county commissioners that provides and equips the office of the superintendent for approval at least twenty days before the date of submission to the superintendent of public instruction. The superintendent of public instruction shall evaluate the proposals and select those that will most benefit the local districts supervised by the governing boards under standards adopted by the state board. For each proposal selected for a grant, the superintendent of public instruction shall determine the grant amount and, with the approval of the superintendent and the board of county commissioners, may modify a grant proposal to reflect the amount of money available for the grant. The superintendent of public instruction shall notify the board of county commissioners and the tax commissioner of the selection of the proposal as submitted or modified and the amount of the grant. If, pursuant to division (C) of section 307.031 of the Revised Code, the board of county commissioners accepts the proposal and grant, it shall expend the funds as specified in the grant proposal. If the board of county commissioners rejects the proposal and grant, the superintendent of public instruction may select another proposal from among the district proposals that initially failed to be selected for a grant.
The state board of education shall adopt rules to implement the requirements of this section Not later than the thirty-first day of March of 2002, 2003, and 2004, a board of county commissioners required to provide or equip offices pursuant to division (A) or (B) of this section shall make a written estimate of the total cost it will incur for the ensuing fiscal year to provide and equip the offices and to provide heat, light, water, and janitorial services for such offices. The total estimate of cost shall include:
(1) The total square feet of space to be utilized by the educational service center;
(2) The total square feet of any common areas that should be reasonably allocated to the center and the methodology for making this allocation;
(3) The actual cost per square foot for both the space utilized by and the common area allocated to the center;
(4) An explanation of the methodology used to determine the per square foot cost;
(5) The estimated cost of providing heat, light, and water, including an explanation of how these costs were determined;
(6) The estimated cost of providing janitorial services including an explanation of the methodology used to determine this cost;
(7) Any other estimated costs that the board anticipates it will occur and a detailed explanation of the costs and the rationale used to determine such costs.
A copy of the total estimate of costs under this division shall be sent to the superintendent of the educational service center not later than the fifth day of April. The superintendent shall review the total estimate and shall notify the board of county commissioners not later than twenty days after receipt of the estimate of either agreement with the estimate or any specific objections to the estimates and the reasons for the objections. If the superintendent agrees with the estimate, it shall become the final total estimate of cost. Failure of the superintendent to make objections to the estimate by the twentieth day after receipt of it shall be deemed to mean that the superintendent is in agreement with the estimate.
If the superintendent provides specific objections to the board of county commissioners, the board shall review the objections and may modify the original estimate and shall send a revised total estimate to the superintendent within ten days after the receipt of the superintendent's objections. The superintendent shall respond to the revised estimate within ten days after its receipt. If the superintendent agrees with it, it shall become the final total estimated cost. If the superintendent fails to respond within the required time, the superintendent shall be deemed to have agreed with the revised estimate. If the superintendent disagrees with the revised estimate, the superintendent shall send specific objections to the county commissioners.
If a superintendent has sent specific objections to the revised estimate within the required time, the probate judge of the county which has the greatest number of resident local school district pupils under the supervision of the educational service center shall determine the final estimated cost and certify this amount to the superintendent and the board of county commissioners prior to the first day of July.
(D)(1) A board of county commissioners shall be responsible for the following percentages of the final total estimated cost established by division (C) of this section:
(a) Seventy-five per cent for fiscal year 2003;
(b) Fifty per cent for fiscal year 2004;
(c) Twenty-five per cent for fiscal year 2005.
In fiscal years 2003, 2004, and 2005, the educational service center shall be responsible for the remainder of any costs in excess of the amounts specified in division (D)(1)(a),(b), or (c) of this section, as applicable, associated with the provision and equipment of offices for the educational service center and for provision of heat, light, water, and janitorial services for such offices, including any unanticipated or unexpected increases in the costs beyond the final estimated cost amount.
Beginning in fiscal year 2006, no board of county commissioners shall have any obligation to provide and equip offices for an educational service center or to provide heat, light, water, or janitorial services for such offices.
(2) Nothing in this section shall prohibit the board of county commissioners and the governing board of an educational service center from entering into a contract for providing and equipping offices for the use of an educational service center and for providing heat, light, water, and janitorial services for such offices. The term of any such contract shall not exceed a period of four years and may be renewed for additional periods not to exceed four years. Any such contract shall supersede the provisions of division (D)(1) of this section.
(3) No contract entered into under division (D)(2) of this section for any year prior to fiscal year 2006 between an educational service center formed under section 3311.053 of the Revised Code and the educational service center required to provide and equip its office pursuant to division (B) of this section shall take effect unless the boards of county commissioners of all other counties required to participate in the funding for such offices pursuant to division (B) of this section adopt resolutions approving the contract.
Sec. 3323.09.  (A) As used in this section:
(1) "Home" has the meaning given in section 3313.64 of the Revised Code;
(2) "Preschool child" means a child who is at least age three but under age six on the thirtieth day of September of an academic year.
(B) Each county MR/DD board shall establish special education programs for all handicapped children who in accordance with section 3323.04 of the Revised Code have been placed in special education programs operated by the county board and for preschool children who are developmentally delayed or at risk of being developmentally delayed. The board annually shall submit to the department of education a plan for the provision of these programs and, if applicable, a request for approval of units under section 3317.05 of the Revised Code. The superintendent of public instruction shall review the plan and approve or modify it in accordance with rules adopted by the state board of education under section 3301.07 of the Revised Code. The superintendent of public instruction shall compile the plans submitted by county boards and shall submit a comprehensive plan to the state board of education.
A county MR/DD board may combine transportation for children enrolled in classes funded under section 3317.20 or units approved under section 3317.05 with transportation for children and adults enrolled in programs and services offered by the board under section 5126.12 of the Revised Code.
(C) A county MR/DD board that during the school year provided special education pursuant to this section for any mentally handicapped child under twenty-two years of age shall prepare and submit the following reports and statements:
(1) The board shall prepare a statement for each child who at the time of receiving such special education was a resident of a home and was not in the legal or permanent custody of an Ohio resident or a government agency in this state, and whose parents are not known to have been residents of this state subsequent to the child's birth. The statement shall contain the child's name, the name of his the child's school district of residence, the name of the county board providing the special education, and the number of months, including any fraction of a month, it was provided. Not later than the thirtieth day of June, the board shall forward a certified copy of such statement to both the director of mental retardation and developmental disabilities and to the home.
Within thirty days after its receipt of a statement, the home shall pay tuition to the county board computed in the manner prescribed by section 3323.141 of the Revised Code.
(2) The board shall prepare a report for each school district that is the school district of residence of one or more of such children for whom statements are not required by division (C)(1) of this section. The report shall contain the name of the county board providing special education, the name of each child receiving special education, the number of months, including fractions of a month, that he the child received it, and the name of the child's school district of residence. Not later than the thirtieth day of June, the board shall forward certified copies of each report to the school district named in the report, the superintendent of public instruction, and the director of mental retardation and developmental disabilities.
Sec. 3323.091.  (A) The department of mental health, the department of mental retardation and developmental disabilities, the department of youth services, and the department of rehabilitation and correction shall establish and maintain special education programs for handicapped children in institutions under their jurisdiction according to standards adopted by the state board of education. The superintendent of each institution providing special education under this chapter may apply to the state department of education for unit funding, which shall be paid in accordance with sections 3317.161 3317.052 and 3317.162 3317.053 of the Revised Code.
(B) On or before the thirtieth day of June of each year, the superintendent of each institution that during the school year provided special education pursuant to this section shall prepare a statement for each handicapped child under twenty-two years of age who has received special education. The statement shall contain the child's name and the name of the child's school district of residence. Within sixty days after receipt of such statement, the department of education shall perform one of the following:
(1) For any child except a handicapped preschool child described in division (B)(2) of this section, pay to the institution submitting the statement an amount equal to the tuition calculated under division (A) of section 3317.08 of the Revised Code for the period covered by the statement, and deduct the same from the amount of state funds, if any, payable under sections 3317.022 and 3317.023 of the Revised Code, to the child's school district of residence or, if the amount of such state funds is insufficient, require the child's school district of residence to pay the institution submitting the statement an amount equal to the amount determined under this division.
(2) For any handicapped preschool child not included in a unit approved under division (B) of section 3317.05 of the Revised Code, perform the following:
(a) Pay to the institution submitting the statement an amount equal to the tuition calculated under division (B) of section 3317.08 of the Revised Code for the period covered by the statement, except that in calculating the tuition under that section the operating expenses of the institution submitting the statement under this section shall be used instead of the operating expenses of the school district of residence;
(b) Deduct from the amount of state funds, if any, payable under sections 3317.022 and 3317.023 of the Revised Code to the child's school district of residence an amount equal to the amount paid under division (B)(2)(a) of this section.
Sec. 3333.02.  The Ohio board of regents shall hold its first meeting at the call of the governor, within three months after all members have been appointed and qualified. Meetings thereafter shall be called in such manner and at such times as prescribed by rules adopted by the board, but the board shall meet at least four times annually. A majority of the board constitutes a quorum. At its first meeting, the board shall organize by selecting a chairman chairperson, a vice-chairman vice-chairperson, and a secretary, and such other officers as it deems necessary. The board shall adopt rules for the conduct of its business, and to provide for the term and election of officers, and shall establish an office in Columbus. The rules shall permit the formation of a quorum and the taking of votes at meetings conducted by interactive video teleconference if provisions are made for public attendance at any location involved in such a teleconference.
A record shall be kept of board proceedings, which shall be open for public inspection. The board shall adopt a seal to be affixed to official documents. Each member of the board, before entering on his official duties and after qualifying for office, shall take and subscribe to an oath of office, to uphold the constitution and laws of the United States and this state, and to perform the duties of his office honestly, faithfully, and impartially.
Sec. 3333.03.  (A) The Ohio board of regents shall appoint a chancellor to serve at its pleasure and shall prescribe his the chancellor's duties. The board shall fix the compensation for the chancellor and for all other professional, administrative, and clerical employees necessary to assist the board and the chancellor in the performance of their duties.
(B) The chancellor is the administrative officer of the board, and is responsible for appointing and fixing the compensation of all professional, administrative, and clerical employees and staff members, subject to board approval, who necessary to assist the board and the chancellor in the performance of their duties. All employees and staff shall serve under his the chancellor's direction and control. The chancellor shall be a person qualified by training and experience to understand the problems and needs of the state in the field of higher education and to devise programs, plans, and methods of solving the problems and meeting the needs.
(C) Neither the chancellor nor any staff member or employee of the board shall be a trustee, officer, or employee of any public or private college or university while serving on the board.
Sec. 3333.12.  (A) As used in this section:
(1) "Eligible student" means an undergraduate student who is:
(a) An Ohio resident;
(b) Enrolled in either of the following:
(i) An accredited institution of higher education in this state that meets the requirements of Title VI of the Civil Rights Act of 1964 and is state-assisted, is nonprofit and has a certificate of authorization from the Ohio board of regents pursuant to Chapter 1713. of the Revised Code, or has a certificate of registration from the state board of proprietary school registration and program authorization to award an associate or bachelor's degree. Students who attend an institution that holds a certificate of registration shall be enrolled in a program leading to an associate or bachelor's degree for which associate or bachelor's degree program the institution has program authorization issued under section 3332.05 of the Revised Code.
(ii) A technical education program of at least two years duration sponsored by a private institution of higher education in this state that meets the requirements of Title VI of the Civil Rights Act of 1964.
(c) Enrolled as a full-time student or enrolled as a less than full-time student for the term expected to be the student's final term of enrollment and is enrolled for the number of credit hours necessary to complete the requirements of the program in which the student is enrolled.
(2) "Gross income" includes all taxable and nontaxable income of the parents, the student, and the student's spouse, except income derived from an Ohio academic scholarship, income earned by the student between the last day of the spring term and the first day of the fall term, and other income exclusions designated by the board. Gross income may be verified to the board by the institution in which the student is enrolled using the federal financial aid eligibility verification process or by other means satisfactory to the board.
(3) "Resident," "full-time student," "dependent," "financially independent," and "accredited" shall be defined by rules adopted by the board.
(B) The Ohio board of regents shall establish and administer an instructional grant program and may adopt rules to carry out this section. The general assembly shall support the instructional grant program by such sums and in such manner as it may provide, but the board may also receive funds from other sources to support the program. If the amounts available for support of the program are inadequate to provide grants to all eligible students, preference in the payment of grants shall be given in terms of income, beginning with the lowest income category of gross income and proceeding upward by category to the highest gross income category.
An instructional grant shall be paid to an eligible student through the institution in which the student is enrolled, except that no instructional grant shall be paid to any person serving a term of imprisonment. Applications for such grants shall be made as prescribed by the board, and such applications may be made in conjunction with and upon the basis of information provided in conjunction with student assistance programs funded by agencies of the United States government or from financial resources of the institution of higher education. The institution shall certify that the student applicant meets the requirements set forth in divisions (A)(1)(b) and (c) of this section. Instructional grants shall be provided to an eligible student only as long as the student is making appropriate progress toward a nursing diploma or an associate or bachelor's degree. No student shall be eligible to receive a grant for more than ten semesters, fifteen quarters, or the equivalent of five academic years. A grant made to an eligible student on the basis of less than full-time enrollment shall be based on the number of credit hours for which the student is enrolled and shall be computed in accordance with a formula adopted by the board. No student shall receive more than one grant on the basis of less than full-time enrollment.
An instructional grant shall not exceed the total instructional and general charges of the institution.
(C) The tables in this division prescribe the maximum grant amounts covering two semesters, three quarters, or a comparable portion of one academic year. Grant amounts for additional terms in the same academic year shall be determined under division (D) of this section.
For a full-time student who is a dependent and enrolled in a nonprofit educational institution that is not a state-assisted institution and that has a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Table of Grants
Maximum Grant $4,872
Gross IncomeNumber of Dependents

12345 or more

Under $13,001$4,872$4,872$4,872$4,872$4,872
$13,001 - $14,000 4,386 4,872 4,872 4,872 4,872
$14,001 - $15,000 3,888 4,386 4,872 4,872 4,872
$15,001 - $16,000 3,408 3,888 4,386 4,872 4,872
$16,001 - $17,000 2,928 3,408 3,888 4,386 4,872
$17,001 - $20,000 2,442 2,928 3,408 3,888 4,386
$20,001 - $23,000 1,944 2,442 2,928 3,408 3,888
$23,001 - $26,000 1,452 1,944 2,442 2,928 3,408
$26,001 - $29,000 1,200 1,452 1,944 2,442 2,928
$29,001 - $30,000 966 1,200 1,452 1,944 2,442
$30,001 - $31,000 882 966 1,200 1,452 1,944
$31,001 - $32,000 792 882 966 1,200 1,452
$32,001 - $33,000 396 792 882 966 1,200
$33,001 - $34,000 -0- 396 792 882 966
$34,001 - $35,000 -0- -0- 396 792 882
$35,001 - $36,000 -0- -0- -0- 396 792
$36,001 - $37,000 -0- -0- -0- -0- 396
Over $37,000 -0- -0- -0- -0- -0-

Private Institution
Table of Grants
Maximum Grant $5,466
Gross IncomeNumber of Dependents

12345 or more

$0 - $15,000$5,466$5,466$5,466$5,466$5,466
$15,001 - $16,000 4,9205,4665,466 5,466 5,466
$16,001 - $17,000 4,3624,9205,466 5,466 5,466
$17,001 - $18,000 3,8284,3624,9205,4665,466
$18,001 - $19,000 3,2883,8284,3624,9205,466
$19,001 - $22,0002,7363,2883,8284,3624,920
$22,001 - $25,0002,1782,7363,2883,8284,362
$25,001 - $28,0001,6262,1782,7363,2883,828
$28,001 - $31,0001,3441,6262,1782,7363,288
$31,001 - $32,0001,0801,3441,6262,1782,736
$32,001 - $33,0009841,0801,3441,6262,178
$33,001 - $34,000888 9841,0801,3441,626
$34,001 - $35,000 4448889841,0801,344
$35,001 - $36,000--4448889841,080
$36,001 - $37,000----444888984
$37,001 - $38,000------444888
$38,001 - $39,000--------444

For a full-time student who is financially independent and enrolled in a nonprofit educational institution that is not a state-assisted institution and that has a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Table of Grants
Maximum Grant $4,872
Gross IncomeNumber of Dependents

012345 or more

Under $4,201$4,872$4,872$4,872$4,872$4,872$4,872
$4,201 - $4,800 4,386 4,872 4,872 4,872 4,872 4,872
$4,801 - $5,300 3,888 4,386 4,872 4,872 4,872 4,872
$5,301 - $5,800 3,408 3,888 4,386 4,872 4,872 4,872
$5,801 - $6,300 2,928 3,408 3,888 4,386 4,872 4,872
$6,301 - $6,800 2,442 2,928 3,408 3,888 4,386 4,872
$6,801 - $7,800 1,944 2,442 2,928 3,408 3,888 4,386
$7,801 - $8,800 1,452 1,944 2,442 2,928 3,408 3,888
$8,801 - $9,800 1,200 1,452 1,944 2,442 2,928 3,408
$9,801 - $11,300 966 1,200 1,452 1,944 2,442 2,928
$11,301 - $12,800 882 966 1,200 1,452 1,944 2,442
$12,801 - $14,300 792 882 966 1,200 1,452 1,944
$14,301 - $15,800 396 792 882 966 1,200 1,452
$15,801 - $18,800 -0- 396 792 882 966 1,200
$18,801 - $21,800 -0- -0- 396 792 882 966
$21,801 - $24,800 -0- -0- -0- 396 792 882
$24,801 - $29,500 -0- -0- -0- -0- 396 792
$29,501 - $34,500 -0- -0- -0- -0- -0- 396
Over $34,500 -0- -0- -0- -0- -0- -0-

Private Institution
Table of Grants
Maximum Grant $5,466
Gross IncomeNumber of Dependents

012345 or more

$0 - $4,800$5,466$5,466$5,466$5,466$5,466$5,466
$4,801 - $5,300 4,920 5,466 5,466 5,466 5,466 5,466
$5,301 - $5,800 4,362 4,920 5,466 5,466 5,466 5,466
$5,801 - $6,300 3,828 4,362 4,920 5,466 5,466 5,466
$6,301 - $6,800 3,288 3,828 4,362 4,920 5,466 5,466
$6,801 - $7,300 2,736 3,288 3,828 4,362 4,920 5,466
$7,301 - $8,300 2,178 2,736 3,288 3,828 4,362 4,920
$8,301 - $9,300 1,626 2,178 2,736 3,288 3,828 4,362
$9,301 - $10,300 1,344 1,626 2,178 2,736 3,288 3,828
$10,301 - $11,800 1,080 1,344 1,626 2,178 2,736 3,288
$11,801 - $13,300 984 1,080 1,344 1,626 2,178 2,736
$13,301 - $14,800 888 984 1,080 1,344 1,626 2,178
$14,801 - $16,300 444 888 984 1,080 1,344 1,626
$16,301 - $19,300 -- 444 888 984 1,080 1,344
$19,301 - $22,300 -- -- 444 888 984 1,080
$22,301 - $25,300 -- -- -- 444 888 984
$25,301 - $30,300 -- -- -- -- 444 888
$30,301 - $35,300 -- -- -- -- -- 444

For a full-time student who is a dependent and enrolled in an educational institution that holds a certificate of registration from the state board of proprietary school registration, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Table of Grants
Maximum Grant $4,128
Gross IncomeNumber of Dependents

12345 or more

Under $13,001$4,128$4,128$4,128$4,128$4,128
$13,001 - $14,000 3,726 4,128 4,128 4,128 4,128
$14,001 - $15,000 3,288 3,726 4,128 4,128 4,128
$15,001 - $16,000 2,874 3,288 3,726 4,128 4,128
$16,001 - $17,000 2,490 2,874 3,288 3,726 4,128
$17,001 - $20,000 2,046 2,490 2,874 3,288 3,726
$20,001 - $23,000 1,656 2,046 2,490 2,874 3,288
$23,001 - $26,000 1,266 1,656 2,046 2,490 2,874
$26,001 - $29,000 1,014 1,266 1,656 2,046 2,490
$29,001 - $30,000 810 1,014 1,266 1,656 2,046
$30,001 - $31,000 762 810 1,014 1,266 1,656
$31,001 - $32,000 672 762 810 1,014 1,266
$32,001 - $33,000 336 672 762 810 1,014
$33,001 - $34,000 -0- 336 672 762 810
$34,001 - $35,000 -0- -0- 336 672 762
$35,001 - $36,000 -0- -0- -0- 336 672
$36,001 - $37,000 -0- -0- -0- -0- 336
Over $37,000 -0- -0- -0- -0- -0-

Proprietary Institution
Table of Grants
Maximum Grant $4,632
Gross IncomeNumber of Dependents

12345 or more

$0 - $15,000$4,632$4,632$4,632$4,632$4,632
$15,001 - $16,000 4,182 4,632 4,632 4,632 4,632
$16,001 - $17,000 3,684 4,182 4,632 4,632 4,632
$17,001 - $18,000 3,222 3,684 4,182 4,632 4,632
$18,001 - $19,000 2,790 3,222 3,684 4,182 4,632
$19,001 - $22,000 2,292 2,790 3,222 3,684 4,182
$22,001 - $25,000 1,854 2,292 2,790 3,222 3,684
$25,001 - $28,000 1,416 1,854 2,292 2,790 3,222
$28,001 - $31,000 1,134 1,416 1,854 2,292 2,790
$31,001 - $32,000 906 1,134 1,416 1,854 2,292
$32,001 - $33,000 852 906 1,134 1,416 1,854
$33,001 - $34,000 750 852 906 1,134 1,416
$34,001 - $35,000 372 750 852 906 1,134
$35,001 - $36,000 -- 372 750 852 906
$36,001 - $37,000 -- -- 372 750 852
$37,001 - $38,000 -- -- -- 372 750
$38,001 - $39,000 -- -- -- -- 372

For a full-time student who is financially independent and enrolled in an educational institution that holds a certificate of registration from the state board of proprietary school registration, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Table of Grants
Maximum Grant $4,128
Gross IncomeNumber of Dependents

012345 or more

Under $4,201$4,128$4,128$4,128$4,128$4,128$4,128
$4,201 - $4,800 3,726 4,128 4,128 4,128 4,128 4,128
$4,801 - $5,300 3,288 3,726 4,128 4,128 4,128 4,128
$5,301 - $5,800 2,874 3,288 3,726 4,128 4,128 4,128
$5,801 - $6,300 2,490 2,874 3,288 3,726 4,128 4,128
$6,301 - $6,800 2,046 2,490 2,874 3,288 3,726 4,128
$6,801 - $7,800 1,656 2,046 2,490 2,874 3,288 3,726
$7,801 - $8,800 1,266 1,656 2,046 2,490 2,874 3,288
$8,801 - $9,800 1,014 1,266 1,656 2,046 2,490 2,874
$9,801 - $11,300 810 1,014 1,266 1,656 2,046 2,490
$11,301 - $12,800 762 810 1,014 1,266 1,656 2,046
$12,801 - $14,300 672 762 810 1,014 1,266 1,656
$14,301 - $15,800 336 672 762 810 1,014 1,266
$15,801 - $18,800 -0- 336 672 762 810 1,014
$18,801 - $21,800 -0- -0- 336 672 762 810
$21,801 - $24,800 -0- -0- -0- 336 672 762
$24,801 - $29,500 -0- -0- -0- -0- 336 672
$29,501 - $34,500 -0- -0- -0- -0- -0- 336
Over $34,500 -0- -0- -0- -0- -0- -0-

Proprietary Institution
Table of Grants
Maximum Grant $4,632
Gross IncomeNumber of Dependents

012345 or more

$0 - $4,800$4,632$4,632$4,632$4,632$4,632$4,632
$4,801 - $5,300 4,182 4,632 4,632 4,632 4,632 4,632
$5,301 - $5,800 3,684 4,182 4,632 4,632 4,632 4,632
$5,801 - $6,300 3,222 3,684 4,182 4,632 4,632 4,632
$6,301 - $6,800 2,790 3,222 3,684 4,182 4,632 4,632
$6,801 - $7,300 2,292 2,790 3,222 3,684 4,182 4,632
$7,301 - $8,300 1,854 2,292 2,790 3,222 3,684 4,182
$8,301 - $9,300 1,416 1,854 2,292 2,790 3,222 3,684
$9,301 - $10,300 1,134 1,416 1,854 2,292 2,790 3,222
$10,301 - $11,800 906 1,134 1,416 1,854 2,292 2,790
$11,801 - $13,300 852 906 1,134 1,416 1,854 2,292
$13,301 - $14,800 750 852 906 1,134 1,416 1,854
$14,801 - $16,300 372 750 852 906 1,134 1,416
$16,301 - $19,300 -- 372 750 852 906 1,134
$19,301 - $22,300 -- -- 372 750 852 906
$22,301 - $25,300 -- -- -- 372 750 852
$25,301 - $30,300 -- -- -- -- 372 750
$30,301 - $35,300 -- -- -- -- -- 372

For a full-time student who is a dependent and enrolled in a state-assisted educational institution, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Maximum Grant $1,956
Gross IncomeNumber of Dependents

Table of Grants
12345 or more

Under $13,001$1,956$1,956$1,956$1,956$1,956
$13,001 - $14,000 1,764 1,956 1,956 1,956 1,956
$14,001 - $15,000 1,554 1,764 1,956 1,956 1,956
$15,001 - $16,000 1,380 1,554 1,764 1,956 1,956
$16,001 - $17,000 1,182 1,380 1,554 1,764 1,956
$17,001 - $20,000 966 1,182 1,380 1,554 1,764
$20,001 - $23,000 774 966 1,182 1,380 1,554
$23,001 - $26,000 582 774 966 1,182 1,380
$26,001 - $29,000 468 582 774 966 1,182
$29,001 - $30,000 378 468 582 774 966
$30,001 - $31,000 348 378 468 582 774
$31,001 - $32,000 318 348 378 468 582
$32,001 - $33,000 162 318 348 378 468
$33,001 - $34,000 -0- 162 318 348 378
$34,001 - $35,000 -0- -0- 162 318 348
$35,001 - $36,000 -0- -0- -0- 162 318
$36,001 - $37,000 -0- -0- -0- -0- 162
Over $37,000 -0- -0- -0- -0- -0-

Public Institution
Table of Grants
Maximum Grant $2,190
Gross IncomeNumber of Dependents

12345 or more

$0 - $15,000$2,190$2,190$2,190$2,190$2,190
$15,001 - $16,000 1,974 2,190 2,190 2,190 2,190
$16,001 - $17,000 1,740 1,974 2,190 2,190 2,190
$17,001 - $18,000 1,542 1,740 1,974 2,190 2,190
$18,001 - $19,000 1,320 1,542 1,740 1,974 2,190
$19,001 - $22,000 1,080 1,320 1,542 1,740 1,974
$22,001 - $25,000 864 1,080 1,320 1,542 1,740
$25,001 - $28,000 648 864 1,080 1,320 1,542
$28,001 - $31,000 522 648 864 1,080 1,320
$31,001 - $32,000 420 522 648 864 1,080
$32,001 - $33,000 384 420 522 648 864
$33,001 - $34,000 354 384 420 522 648
$34,001 - $35,000 174 354 384 420 522
$35,001 - $36,000 -- 174 354 384 420
$36,001 - $37,000 -- -- 174 354 384
$37,001 - $38,000 -- -- -- 174 354
$38,001 - $39,000 -- -- -- -- 174

For a full-time student who is financially independent and enrolled in a state-assisted educational institution, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Table of Grants
Maximum Grant $1,956
Gross IncomeNumber of Dependents

012345 or more

Under $4,201$1,956$1,956$1,956$1,956$1,956$1,956
4,201 - $4,800 1,764 1,956 1,956 1,956 1,956 1,956
$4,801 - $5,300 1,554 1,764 1,956 1,956 1,956 1,956
$5,301 - $5,800 1,380 1,554 1,764 1,956 1,956 1,956
$5,801 - $6,300 1,182 1,380 1,554 1,764 1,956 1,956
$6,301 - $6,800 966 1,182 1,380 1,554 1,764 1,956
$6,801 - $7,800 774 966 1,182 1,380 1,554 1,764
$7,801 - $8,800 582 774 966 1,182 1,380 1,554
$8,801 - $9,800 468 582 774 966 1,182 1,380
$9,801 - $11,300 378 468 582 774 966 1,182
$11,301 - $12,800 348 378 468 582 774 966
$12,801 - $14,300 318 348 378 468 582 774
$14,301 - $15,800 162 318 348 378 468 582
$15,801 - $18,800 -0- 162 318 348 378 468
$18,801 - $21,800 -0- -0- 162 318 348 378
$21,801 - $24,800 -0- -0- -0- 162 318 348
$24,801 - $29,500 -0- -0- -0- -0- 162 318
$29,501 - $34,500 -0- -0- -0- -0- -0- 162
Over $34,500 -0- -0- -0- -0- -0- -0-

Public Institution
Table of Grants
Maximum Grant $2,190
Gross IncomeNumber of Dependents

012345 or more

$0 - $4,800$2,190$2,190$2,190$2,190$2,190$2,190
$4,801 - $5,300 1,974 2,190 2,190 2,190 2,190 2,190
$5,301 - $5,800 1,740 1,974 2,190 2,190 2,190 2,190
$5,801 - $6,300 1,542 1,740 1,974 2,190 2,190 2,190
$6,301 - $6,800 1,320 1,542 1,740 1,974 2,190 2,190
$6,801 - $7,300 1,080 1,320 1,542 1,740 1,974 2,190
$7,301 - $8,300 864 1,080 1,320 1,542 1,740 1,974
$8,301 - $9,300 648 864 1,080 1,320 1,542 1,740
$9,301 - $10,300 522 648 864 1,080 1,320 1,542
$10,301 - $11,800 420 522 648 864 1,080 1,320
$11,801 - $13,300 384 420 522 648 864 1,080
$13,301 - $14,800 354 384 420 522 648 864
$14,801 - $16,300 174 354 384 420 522 648
$16,301 - $19,300 -- 174 354 384 420 522
$19,301 - $22,300 -- -- 174 354 384 420
$22,301 - $25,300 -- -- -- 174 354 384
$25,301 - $30,300 -- -- -- -- 174 354
$30,301 - $35,300 -- -- -- -- -- 174

(D) For a full-time student enrolled in an eligible institution for a semester or quarter in addition to the portion of the academic year covered by a grant determined under division (C) of this section, the maximum grant amount shall be a percentage of the maximum prescribed in the applicable table of that division. The maximum grant for a fourth quarter shall be one-third of the maximum amount prescribed under that division. The maximum grant for a third semester shall be one-half of the maximum amount prescribed under that division.
(E) No grant shall be made to any student in a course of study in theology, religion, or other field of preparation for a religious profession unless such course of study leads to an accredited bachelor of arts, bachelor of science, associate of arts, or associate of science degree.
(F)(1) Except as provided in division (F)(2) of this section, no grant shall be made to any student for enrollment during a fiscal year in an institution with a cohort default rate determined by the United States secretary of education pursuant to the "Higher Education Amendments of 1986," 100 Stat. 1278, 1408, 20 U.S.C.A. 1085, as amended, as of the fifteenth day of June preceding the fiscal year, equal to or greater than thirty per cent for each of the preceding two fiscal years.
(2) Division (F)(1) of this section does not apply to the following:
(a) Any student enrolled in an institution that under the federal law appeals its loss of eligibility for federal financial aid and the United States secretary of education determines its cohort default rate after recalculation is lower than the rate specified in division (F)(1) of this section or the secretary determines due to mitigating circumstances the institution may continue to participate in federal financial aid programs. The board shall adopt rules requiring institutions to provide information regarding an appeal to the board.
(b) Any student who has previously received a grant under this section who meets all other requirements of this section.
(3) The board shall adopt rules for the notification of all institutions whose students will be ineligible to participate in the grant program pursuant to division (F)(1) of this section.
(4) A student's attendance at an institution whose students lose eligibility for grants under division (F)(1) of this section shall not affect that student's eligibility to receive a grant when enrolled in another institution.
(G) Institutions of higher education that enroll students receiving instructional grants under this section shall report to the board all students who have received instructional grants but are no longer eligible for all or part of such grants and shall refund any moneys due the state within thirty days after the beginning of the quarter or term immediately following the quarter or term in which the student was no longer eligible to receive all or part of the student's grant. There shall be an interest charge of one per cent per month on all moneys due and payable after such thirty-day period. The board shall immediately notify the office of budget and management and the legislative budget office of the legislative service commission of all refunds so received.
Sec. 3333.13.  (A) Money appropriated to state supported and state assisted institutions of higher education and to the Ohio board of regents for the purposes of this division shall be paid at the times and in the amounts necessary to meet all payments required to be made by such institutions and by the board to the Ohio public facilities commission or treasurer of state pursuant to leases or agreements made by them under division (B) of section 154.21 of the Revised Code, as certified under division (C) of this section, including supplements to such certifications.
(B) Each such institution of higher education and the The board shall include in its estimate of proposed expenses submitted pursuant to section 126.02 of the Revised Code the estimated amounts of all such payments to be made by it. The board shall include the estimated amounts of all such payments to be made by each such institution and of such payments to be made by it in recommendations for appropriation required by division (J) of section 3333.04 of the Revised Code. The director of budget and management shall include in the state budget estimates provided for in section 126.02 of the Revised Code the estimated amount of all such payments to be made during the next biennium, and this amount shall be included in the state budget to be submitted by the governor to the general assembly pursuant to section 107.03 of the Revised Code.
(C) On the first day of July of each year, or as soon thereafter as is practicable, the chancellor or a vice-chancellor of the board shall certify to the director the payments contracted to be made, during the period of the then current appropriations made for the purposes of division (A) of this section, to the commission or treasurer of state by each state supported and state assisted institution of higher education and by the board pursuant to leases and agreements made under division (B) of section 154.21 of the Revised Code. The certification shall state the amounts and dates of payment required therefor as to each such institution of higher education and the board, and the amounts to be credited pursuant to such leases and agreements to the higher education bond service trust fund and other special funds established pursuant to section 151.04 or Chapter 154. of the Revised Code. If the director finds such certification to be correct, the director shall promptly add the director's certification thereto and submit it to the treasurer of state. Such annual certification shall be supplemented in similar manner upon the execution of each new lease or agreement, any supplement to an existing lease or agreement, or any amendment thereof, affecting the amounts of those payments.
Sec. 3770.02.  (A) Subject to the advice and consent of the senate, the governor shall appoint a director of the state lottery commission who shall serve at the pleasure of the governor. The director shall devote full time to the duties of the office and shall hold no other office or employment. The director shall meet all requirements for appointment as a member of the commission and shall by experience and training possess such management skills as that would equip the director to administer an enterprise of the nature of a state lottery. The director shall receive an annual salary in accordance with pay range 48 of section 124.152 of the Revised Code.
(B)(1) The director shall attend all meetings of the commission and shall act as its secretary. The director shall keep a record of all commission proceedings and shall keep such the commission's records, files, and documents at the commission's principal office. All records of the commission's meetings shall be available for inspection by any member of the public, upon a showing of good cause and prior notification to the director.
(2) The director shall be the commission's executive officer and shall be responsible for keeping all commission records and supervising and administering the state lottery in accordance with this chapter, and carrying out all commission rules adopted under section 3770.03 of the Revised Code.
(C)(1) The director shall appoint an assistant director and deputy directors of marketing, operations, sales, finance, public relations, security, and administration, and as many regional managers as are required. The director may also appoint such professional, technical, and clerical assistants as are necessary. All such officers and employees shall be appointed and compensated pursuant to Chapter 124. of the Revised Code. Regional and assistant regional managers, sales representatives, and any lottery executive account representatives shall remain in the unclassified service.
(2) The director, in consultation with the director of administrative services, may establish standards of proficiency and productivity for commission field representatives.
(D) The director shall request the bureau of criminal identification and investigation, the department of public safety, or any other state, local, or federal agency, to supply the director with the criminal records of any job applicant and may periodically request such the criminal records of commission employees. At or prior to the time of making such a request, the director shall require a job applicant or commission employee to obtain fingerprint cards prescribed by the superintendent of the bureau of criminal identification and investigation at a qualified law enforcement agency, and the director shall cause these fingerprint cards to be forwarded to the bureau of criminal identification and investigation and the federal bureau of investigation. The commission shall assume the cost of obtaining the fingerprint cards and shall pay to each agency supplying such criminal records for each investigation under this division a reasonable fee, as determined by the agency.
(E) The director shall license lottery sales agents pursuant to section 3770.05 of the Revised Code, and, when it is considered necessary, may revoke or suspend the license of any lottery sales agent when such action is considered necessary.
(F) The director shall confer at least once each month with the commission at which time the director shall advise it of regarding the operation and administration of the lottery. The director shall make available at the request of the commission all documents, files, and other records pertaining to the operation and administration of the lottery. The director shall prepare and make available to the commission each month a complete and accurate accounting of lottery revenues, prize money disbursements and the cost of goods and services awarded as prizes, operating expenses, and all other relevant financial information, including an accounting of all transfers made from any lottery funds in the custody of the treasurer of state to benefit education.
(G) The director may enter into contracts for the operation or promotion of the lottery pursuant to Chapter 125. of the Revised Code. The director may enter into agreements to assist organizations that deal with problem gambling.
(H)(1) Pursuant to rules adopted by the commission under section 3770.03 of the Revised Code, the director shall require any lottery sales agents to either mail directly to the state lottery commission or to deposit to the credit of the state lottery fund, in banking institutions designated by the treasurer of state, net proceeds due the lottery commission as determined by the director, and to file with the director or the director's designee reports of their receipts and transactions in the sale of lottery tickets in such the form as required by the director.
(2) Pursuant to rules adopted by the commission under Chapter 119. of the Revised Code, the director may impose penalties for the failure of a sales agent to transfer funds to the commission in a timely manner. Penalties may include monetary penalties, immediate suspension or revocation of a license, or any other penalty the commission adopts by rule.
(I) The director may arrange for any person, or any banking institution, to perform such functions and services in connection with the operation of the lottery as the director may consider necessary to carry out this chapter.
(J)(1) As used in this chapter, "statewide joint lottery game" means a lottery game that the commission sells solely within this state under an agreement with other lottery jurisdictions to sell the same lottery game solely within their statewide or jurisdictional boundaries.
(2) The director may enter into an agreement with other lottery jurisdictions to conduct statewide joint lottery games and, if the governor signs the agreement personally or by means of an authenticating officer pursuant to section 107.15 of the Revised Code, may conduct statewide joint lottery games under the agreement.
(3) The entire net proceeds from any statewide joint lottery games shall be used to fund elementary, secondary, vocational, and special education programs in this state.
(4) The commission shall conduct any statewide joint lottery games in accordance with rules it adopts under division (B)(5) of section 3770.03 of the Revised Code.
Sec. 3770.03.  (A) The state lottery commission shall promulgate rules under which a statewide lottery may be conducted. The rules shall be promulgated pursuant to Chapter 119. of the Revised Code, except that rules pertaining to instant game rules shall be promulgated pursuant to section 111.15 of the Revised Code but are not subject to division (D) of that section. Subjects covered in such these rules shall include, but need not be limited to, the following:
(1) The type of lottery to be conducted;
(2) The prices of tickets in the lottery;
(3) The number, nature, and value of prize awards, the manner and frequency of prize drawings, and the manner in which prizes shall be awarded to holders of winning tickets.
(B) The commission shall promulgate further rules, in addition to those described in division (A) of this section, pursuant to Chapter 119. of the Revised Code under which a statewide lottery and statewide joint lottery games may be conducted. Subjects covered in these rules shall include, but not be limited to, the following:
(1) The locations at which lottery tickets may be sold and the manner in which they are to be sold. Such These rules may authorize the sale of lottery tickets by commission personnel or other licensed individuals from traveling show wagons at the state fair, and at any other expositions the director of the commission considers acceptable. Such These rules shall prohibit commission personnel or other licensed individuals from soliciting from an exposition the right to sell lottery tickets at that exposition, but shall allow commission personnel or other licensed individuals to sell lottery tickets at an exposition if the exposition requests commission personnel or licensed individuals to do so. Such These rules may also address the accessibility of sales agent locations to commission products in accordance with the "Americans with Disabilities Act of 1990," 104 Stat. 327, 42 U.S.C.A. 12101 et seq.
(2) The manner in which lottery sales revenues are to be collected, including authorization for the director to impose penalties for failure by lottery sales agents to transfer revenues to the commission in a timely manner;
(3) The amount of compensation to be paid licensed lottery sales agents;
(4) The substantive criteria for the licensing of lottery sales agents consistent with section 3770.05 of the Revised Code, and procedures for revoking or suspending such their licenses consistent with Chapter 119. of the Revised Code. If circumstances, such as the nonpayment of funds owed by a lottery sales agent, or other circumstances related to the public safety, convenience, or trust, require immediate action, the director may suspend a license without affording an opportunity for a prior hearing under section 119.07 of the Revised Code.
(5) Special game rules to implement any agreements the director enters into with other lottery jurisdictions under division (J) of section 3770.02 of the Revised Code to conduct statewide joint lottery games. The rules shall require that the entire net proceeds of those games that remain, after associated operating expenses, prize disbursements, lottery sales agent bonuses, commissions, and reimbursements, and any other expenses necessary to comply with the agreements or the rules are deducted from the gross proceeds of those games, be transferred to the lottery profits education fund under division (B) of section 3770.06 of the Revised Code.
(C)(1) The state lottery commission shall meet with the director of the commission at least once each month and shall convene other meetings at the request of the chairman chairperson or any five of the members. No action taken by the commission shall be binding unless at least five of the members present vote in favor thereof of the action. A written record shall be made of the proceedings of each meeting and shall be transmitted forthwith to the governor, the president of the senate, the senate minority leader, the speaker of the house of representatives, and the house minority leader.
(2) The director shall present to the commission a report each month, showing the total revenues, prize disbursements, and operating expenses of the state lottery for the preceding month. As soon as practicable after the end of each fiscal year, the commission shall prepare and transmit to the governor and the general assembly a report of lottery revenues, prize disbursements, and operating expenses for the preceding fiscal year and any recommendations for legislation considered necessary by the commission.
Sec. 3770.06.  (A) There is hereby created the state lottery gross revenue fund, which shall be in the custody of the treasurer of state but shall not be part of the state treasury. All gross revenues received from sales of lottery tickets, fines, fees, and related proceeds in connection with the statewide lottery and all gross proceeds from statewide joint lottery games shall be deposited into the fund. The treasurer of state shall invest any portion of the fund not needed for immediate use in the same manner as, and subject to all provisions of law with respect to the investment of, state funds. The treasurer of state shall disburse money from the fund on order of the director of the state lottery commission or the director's designee. All
Except for gross proceeds from statewide joint lottery games, all revenues of the state lottery gross revenue fund that are not paid to holders of winning lottery tickets, that are not required to meet short-term prize liabilities, that are not paid to lottery sales agents in the form of agent bonuses, commissions, or reimbursements, and that are not paid to financial institutions to reimburse such those institutions for sales agent nonsufficient funds shall be transferred to the state lottery fund, which is hereby created in the state treasury. In addition, all revenues of the state lottery gross revenue fund that represent the gross proceeds from the statewide joint lottery games and that are not paid to holders of winning lottery tickets, that are not required to meet short-term prize liabilities, that are not paid to lottery sales agents in the form of bonuses, commissions, or reimbursements, and that are not necessary to cover operating expenses associated with those games or to otherwise comply with the agreements the director enters into under division (J) of section 3770.02 of the Revised Code or the rules the commission adopts under division (B)(5) of section 3770.03 of the Revised Code shall be transferred to the state lottery fund. All investment earnings of the fund shall be credited to the fund. Moneys shall be disbursed from the state lottery fund pursuant to vouchers approved by the director of the state lottery commission. Total disbursements for monetary prize awards to holders of winning lottery tickets and purchases of goods and services awarded as prizes to holders of winning lottery tickets in connection with the statewide lottery shall be of an amount equal to at least fifty per cent of the total revenue accruing from the sale of lottery tickets.
(B) Pursuant to Section 6 of Article XV, Ohio Constitution, there is hereby established in the state treasury the lottery profits education fund. Whenever, in the judgment of the director of budget and management, the amount to the credit of the state lottery fund that does not represent proceeds from statewide joint lottery games is in excess of that needed to meet the maturing obligations of the commission and as working capital for its further operations, the director shall transfer the excess to the lottery profits education fund, provided that the amount to be transferred into the lottery profits education fund shall equal no less than thirty per cent of the total revenue accruing from the sale of lottery tickets. Investment earnings of the lottery profits education fund shall be credited to the fund. In addition, whenever, in the judgment of the director of budget and management, the amount to the credit of the state lottery fund that represents proceeds from statewide joint lottery games equals the entire net proceeds of those games as described in division (B)(5) of section 3770.03 of the Revised Code and the rules adopted under that division, the director shall transfer those proceeds to the lottery profits education fund. There shall also be credited to the fund any repayments of moneys loaned from the educational excellence investment fund. The Investment earnings of the lottery profits education fund shall be credited to the fund.
The lottery profits education fund shall be used solely for the support of elementary, secondary, vocational, and special education programs as determined in appropriations made by the general assembly, or as provided in applicable bond proceedings for the payment of debt service on obligations issued to pay costs of capital facilities, including those for a system of common schools throughout the state pursuant to section 2n of Article VIII, Ohio Constitution. When determining the availability of money in the lottery profits education fund, the director of budget and management may consider all balances and estimated revenues of the fund.
From the amounts that the director of budget and management transfers in any fiscal year from the state lottery fund to the lottery profits education fund, the director shall transfer the initial ten million dollars of such those amounts from the lottery profits education fund to the school building program bond service fund created in division (Q) of section 3318.26 of the Revised Code to be pledged for the purpose of paying bond service charges as defined in division (C) of section 3318.21 of the Revised Code on one or more issuances of obligations, which obligations are issued to provide moneys for the school building program assistance fund created in section 3318.25 of the Revised Code.
(C) There is hereby established in the state treasury the deferred prizes trust fund. With the approval of the director of budget and management, an amount sufficient to fund annuity prizes shall be transferred from the state lottery fund and credited to the trust fund. The treasurer of state shall credit all earnings arising from investments purchased under this division to the fund. Within sixty days after the end of each fiscal year, the director of budget and management shall certify the amount of investment earnings necessary to have been credited to the trust fund during the fiscal year just ending to provide for continued funding of deferred prizes. Any earnings credited in excess of this certified amount shall be transferred to the lottery profits education fund. To provide all or a part of the amounts necessary to fund deferred prizes awarded by the commission, the treasurer of state, in consultation with the commission, may invest moneys contained in the deferred prizes trust fund in obligations of the type permitted for the investment of state funds but whose maturities are thirty years or less. Investments of the deferred prizes trust fund are not subject to the provisions of division (A)(10) of section 135.143 of the Revised Code limiting to five per cent the amount of the state's total average portfolio that may be invested in debt interests and limiting to one-half of one per cent the amount that may be invested in debt interests of a single issuer.
All purchases made under this division shall be effected on a delivery versus payment method and shall be in the custody of the treasurer of state.
The treasurer of state may retain an investment advisor, if necessary. The commission shall pay any costs incurred by the treasurer of state in retaining an investment advisor.
(D) The auditor of state shall conduct annual audits of all funds and such any other audits as the auditor of state or the general assembly considers necessary. The auditor of state may examine all records, files, and other documents of the commission, and such records of lottery sales agents as that pertain to their activities as agents, for purposes of conducting authorized audits.
The state lottery commission shall establish an internal audit program before the beginning of each fiscal year, subject to the approval of the auditor of state. At the end of each fiscal year, the commission shall prepare and submit an annual report to the auditor of state for the auditor of state's review and approval, specifying the internal audit work completed by the end of that fiscal year and reporting on compliance with the annual internal audit program. The form and content of the report shall be prescribed by the auditor of state under division (C) of section 117.20 of the Revised Code.
(E) Whenever, in the judgment of the director of budget and management, an amount of net state lottery proceeds is necessary to be applied to the payment of debt service on obligations, all as defined in sections 151.01 and 151.03 of the Revised Code, the director shall transfer that amount directly from the state lottery fund or from the lottery profits education fund to the bond service fund defined in those sections. The provisions of this division (E) of this section are subject to any prior pledges or obligation of those amounts to the payment of bond service charges as defined in division (C) of section 3318.21 of the Revised Code, as referred to in division (B) of this section.
Sec. 5126.05.  (A) Subject to the rules established by the director of mental retardation and developmental disabilities pursuant to Chapter 119. of the Revised Code for programs and services offered pursuant to this chapter, and subject to the rules established by the state board of education pursuant to Chapter 119. of the Revised Code for programs and services offered pursuant to Chapter 3323. of the Revised Code, the county board of mental retardation and developmental disabilities shall:
(1) Administer and operate facilities, programs, and services as provided by this chapter and Chapter 3323. of the Revised Code and establish policies for their administration and operation;
(2) Coordinate, monitor, and evaluate existing services and facilities available to individuals with mental retardation and developmental disabilities;
(3) Provide early childhood services, supportive home services, and adult services, according to the plan and priorities developed under section 5126.04 of the Revised Code;
(4) Provide or contract for special education services pursuant to Chapters 3317. and 3323. of the Revised Code and ensure that related services, as defined in section 3323.01 of the Revised Code, are available according to the plan and priorities developed under section 5126.04 of the Revised Code;
(5) Adopt a budget, authorize expenditures for the purposes specified in this chapter and do so in accordance with section 319.16 of the Revised Code, approve attendance of board members and employees at professional meetings and approve expenditures for attendance, and exercise such powers and duties as are prescribed by the director;
(6) Submit annual reports of its work and expenditures, pursuant to sections 3323.09 and 5126.12 of the Revised Code, to the director, the superintendent of public instruction, and the board of county commissioners at the close of the fiscal year and at such other times as may reasonably be requested;
(7) Authorize all positions of employment, establish compensation, including but not limited to salary schedules and fringe benefits for all board employees, approve contracts of employment for management employees that are for a term of more than one year, employ legal counsel under section 309.10 of the Revised Code, and contract for employee benefits;
(8) Provide case management services, as defined in rules adopted by the director of mental retardation and developmental disabilities, in accordance with section 5126.15 of the Revised Code;
(9) Certify respite care homes pursuant to rules adopted under section 5123.171 of the Revised Code by the director of mental retardation and developmental disabilities.
(B) To the extent that rules adopted under this section apply to the identification and placement of handicapped children under Chapter 3323. of the Revised Code, they shall be consistent with the standards and procedures established under sections 3323.03 to 3323.05 of the Revised Code.
(C) Any county board may enter into contracts with other such boards and with public or private, nonprofit, or profit-making agencies or organizations of the same or another county, to provide the facilities, programs, and services authorized or required, upon such terms as may be agreeable, and in accordance with this chapter and Chapter 3323. of the Revised Code and rules adopted thereunder and in accordance with sections 307.86 and 5126.071 of the Revised Code.
(D) A county board may combine transportation for children and adults enrolled in programs and services offered under section 5126.12 with transportation for children enrolled in classes funded under section 3317.20 or units approved under section 3317.05 of the Revised Code.
(E) A county board may purchase all necessary insurance policies, may purchase equipment and supplies through the department of administrative services or from other sources, and may enter into agreements with public agencies or nonprofit organizations for cooperative purchasing arrangements.
(F) A county board may receive by gift, grant, devise, or bequest any moneys, lands, or property for the benefit of the purposes for which the board is established and hold, apply, and dispose of the moneys, lands, and property according to the terms of the gift, grant, devise, or bequest. All money received by gift, grant, bequest, or disposition of lands or property received by gift, grant, devise, or bequest shall be deposited in the county treasury to the credit of such board and shall be available for use by the board for purposes determined or stated by the donor or grantor, but may not be used for personal expenses of the board members. Any interest or earnings accruing from such gift, grant, devise, or bequest shall be treated in the same manner and subject to the same provisions as such gift, grant, devise, or bequest.
(G) The board of county commissioners shall levy taxes and make appropriations sufficient to enable the county board of mental retardation and developmental disabilities to perform its functions and duties, and may utilize any available local, state, and federal funds for such purpose.
Sec. 5126.12.  (A) As used in this section:
(1) "Approved school age unit class" means a class or unit operated by a county board of mental retardation and developmental disabilities and approved funded by the state board department of education under division (D) of section 3317.05 3317.20 of the Revised Code.
(2) "Approved preschool unit" means a class or unit operated by a county board of mental retardation and developmental disabilities and approved by the state board of education under division (B) of section 3317.05 of the Revised Code.
(3) "Active treatment" means a continuous treatment program, which includes aggressive, consistent implementation of a program of specialized and generic training, treatment, health services, and related services, that is directed toward the acquisition of behaviors necessary for an individual with mental retardation or other developmental disability to function with as much self-determination and independence as possible and toward the prevention of deceleration, regression, or loss of current optimal functional status.
(4) "Eligible for active treatment" means that an individual with mental retardation or other developmental disability resides in an intermediate care facility for the mentally retarded certified under Title XIX of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended; resides in a state institution operated by the department of mental retardation and developmental disabilities; or is enrolled in a home and community-based services waiver program administered by the department of mental retardation and developmental disabilities as part of the medical assistance program established under section 5111.01 of the Revised Code.
(5) "Community alternative funding system" means the program under which habilitation services are reimbursed under the medical assistance program pursuant to section 5111.041 of the Revised Code and rules adopted under that section.
(6) "Community employment program" means community employment services provided outside of a sheltered workshop setting under which the person earns competitive wages for the performance of work.
(7) "Traditional adult services" means vocational and nonvocational activities conducted within a sheltered workshop or adult activity center or supportive home services.
(B) Each county board of mental retardation and developmental disabilities shall certify to the director of mental retardation and developmental disabilities all of the following:
(1) On or before the fifteenth day of October, the average daily membership for the first full week of programs and services during October receiving:
(a) Early childhood services provided pursuant to section 5126.05 of the Revised Code for children who are less than three years of age on the thirtieth day of September of the academic year;
(b) Special education for handicapped children in approved school age units classes;
(c) Adult services for persons sixteen years of age and older operated pursuant to section 5126.05 and division (B) of section 5126.051 of the Revised Code. Separate counts shall be made for the following:
(i) Persons enrolled in traditional adult services who are eligible for but not enrolled in active treatment under the community alternative funding system;
(ii) Persons enrolled in traditional adult services who are eligible for and enrolled in active treatment under the community alternative funding system;
(iii) Persons enrolled in traditional adult services but who are not eligible for active treatment under the community alternative funding system;
(iv) Persons participating in community employment services. To be counted as participating in community employment services, a person must have spent an average of no less than ten hours per week in that employment during the preceding six months.
(d) Other programs in the county for individuals with mental retardation and developmental disabilities that have been approved for payment of subsidy by the department of mental retardation and developmental disabilities.
The membership in each such program and service in the county shall be reported on forms prescribed by the department of mental retardation and developmental disabilities.
The department of mental retardation and developmental disabilities shall adopt rules defining full-time equivalent enrollees and for determining the average daily membership therefrom, except that certification of average daily membership in approved school age units classes shall be in accordance with rules adopted by the state board of education. The average daily membership figure shall be determined by dividing the amount representing the sum of the number of enrollees in each program or service in the week for which the certification is made by the number of days the program or service was offered in that week. No enrollee may be counted in average daily membership for more than one program or service.
(2) By the fifteenth day of December, the number of children enrolled in approved preschool units on the first day of December;
(3) On or before the thirtieth day of March, an itemized report of all income and operating expenditures for the immediately preceding calendar year, in the format specified by the department of mental retardation and developmental disabilities;
(4) By the fifteenth day of February, a report of the total annual cost per enrollee for operation of programs and services in the preceding calendar year. The report shall include a grand total of all programs operated, the cost of the individual programs, and the sources of funds applied to each program.
(5) That each required certification and report is in accordance with rules established by the department of mental retardation and developmental disabilities and the state board of education for the operation and subsidization of the programs and services.
(C) To compute payments under this section to the board for the fiscal year, the department of mental retardation and developmental disabilities shall use the certification of average daily membership required by division (B)(1) of this section exclusive of the average daily membership in any approved school age unit class and the number in any approved preschool unit.
(D) The department shall pay each county board for each fiscal year an amount equal to nine hundred fifty dollars times the certified number of persons who on the first day of December of the academic year are under three years of age and are not in an approved preschool unit. For persons who are at least age sixteen and are not in an approved school age unit class, the department shall pay each county board for each fiscal year the following amounts:
(1) One thousand dollars times the certified average daily membership of persons enrolled in traditional adult services who are eligible for but not enrolled in active treatment under the community alternative funding system;
(2) One thousand two hundred dollars times the certified average daily membership of persons enrolled in traditional adult services who are eligible for and enrolled in active treatment under the community alternative funding system;
(3) No less than one thousand five hundred dollars times the certified average daily membership of persons enrolled in traditional adult services but who are not eligible for active treatment under the community alternative funding system;
(4) No less than one thousand five hundred dollars times the certified average daily membership of persons participating in community employment services.
(E) The department shall distribute this subsidy to county boards in semiannual installments of equal amounts. The installments shall be made not later than the thirty-first day of August and the thirty-first day of January.
(F) The director of mental retardation and developmental disabilities shall make efforts to obtain increases in the subsidies for early childhood services and adult services so that the amount of the subsidies is equal to at least fifty per cent of the statewide average cost of those services minus any applicable federal reimbursements for those services. The director shall advise the director of budget and management of the need for any such increases when submitting the biennial appropriations request for the department.
(G) In determining the reimbursement of a county board for the provision of case management and family support services and other services required or approved by the director for which children three through twenty-one years of age are eligible, the department shall include the average daily membership in approved school age or preschool units. The department, in accordance with this section and upon receipt and approval of the certification required by this section and any other information it requires to enable it to determine a board's payments, shall pay the agency providing the specialized training the amounts payable under this section.
Section 2. That existing sections 133.07, 3301.075, 3301.80, 3313.37, 3313.608, 3314.08, 3317.012, 3317.013, 3317.02, 3317.022, 3317.023, 3317.029, 3317.0212, 3317.03, 3317.05, 3317.051, 3317.11, 3317.16, 3317.161, 3317.162, 3317.20, 3318.31, 3319.19, 3323.09, 3323.091, 3333.02, 3333.03, 3333.12, 3333.13, 3770.02, 3770.03, 3770.06, 5126.05, and 5126.12 and section 307.031 of the Revised Code are hereby repealed.
Section 3.  Except as otherwise provided, all appropriation items (AI) in this act are appropriated out of any moneys in the state treasury to the credit of the designated fund, which are not otherwise appropriated. For all appropriations made in this act, the amounts in the first column are for fiscal year 2002 and the amounts in the second column are for fiscal year 2003.
FNDAIAI TITLEFY 2002FY 2003

Section 4.  EDU DEPARTMENT OF EDUCATION
General Revenue Fund
GRF200-100Personal Services$12,061,049$12,361,049
GRF200-320Maintenance and Equipment$5,155,986$5,290,868
GRF200-406Head Start$102,860,702$104,917,916
GRF200-408Public Preschool$19,896,330$20,294,257
GRF200-410Professional Development$33,453,542$45,050,292
GRF200-411Family and Children First$13,890,000$13,940,000
GRF200-416Vocational Education Match$2,429,373$2,477,960
GRF200-420Technical Systems Development$6,000,000$6,500,000
GRF200-421Alternative Education Programs$22,336,697$25,511,384
GRF200-422School Management Assistance$1,515,995$1,603,285
GRF200-424Policy Analysis$1,669,538$1,703,015
GRF200-425Tech Prep Administration$2,479,632$2,529,225
GRF200-426Ohio Educational Computer Network$42,845,336$44,886,075
GRF200-427Academic Standards$8,474,999$8,862,500
GRF200-431School Improvement Initiatives$18,716,637$19,740,742
GRF200-432School Conflict Management$652,600$685,230
GRF200-433Reading/Writing Improvement$26,773,904$33,600,723
GRF200-437Student Assessment$23,692,045$25,942,045
GRF200-438Safe Schools$2,050,000$2,050,000
GRF200-441American Sign Language$241,743$246,578
GRF200-442Child Care Licensing$1,548,726$1,579,701
GRF200-444Professional Recruitment$2,900,000$2,460,000
GRF200-445OhioReads Admin/Volunteer Support$5,714,000$5,714,000
GRF200-446Education Management Information System$15,479,636$17,673,430
GRF200-447GED Testing/Adult High School$2,123,623$2,166,095
GRF200-455Community Schools$4,728,935$4,824,517
GRF200-500School Finance Equity$22,661,968$0
GRF200-501Base Cost Funding$3,983,645,394$4,237,604,123
GRF200-502Pupil Transportation$304,355,027$323,222,648
GRF200-503Bus Purchase Allowance$39,828,415$40,624,984
GRF200-505School Lunch Match$9,639,000$9,831,780
GRF200-509Adult Literacy Education$9,778,384$9,973,952
GRF200-511Auxiliary Services$122,782,475$127,650,709
GRF200-513Student Intervention Services$31,900,000$38,280,000
GRF200-514Post-Secondary/Adult Vocational Education$25,730,243$25,730,243
GRF200-520Disadvantaged Pupil Impact Aid$375,053,686$404,513,876
GRF200-521Gifted Pupil Program$45,930,131$47,893,138
GRF200-524Educational Excellence and Competency$2,699,500$2,960,900
GRF200-532Nonpublic Administrative Cost Reimbursement$53,533,703$55,675,051
GRF200-534Desegregation Costs$500,000$500,000
GRF200-540Special Education Enhancements$144,006,701$146,950,428
GRF200-545Vocational Education Enhancements$37,397,564$41,347,564
GRF200-546Charge-Off Supplement$18,944,145$22,774,635
GRF200-547Power Equalization$43,009,250$44,098,359
GRF200-552County MR/DD Boards Vehicle Purchases$1,666,204$1,666,204
GRF200-553County MR/DD Boards Transportation Operating$9,575,910$9,575,910
GRF200-558Emergency Loan Interest Subsidy$4,500,000$3,300,000
GRF200-566OhioReads Grants$28,800,000$28,800,000
GRF200-570School Improvement Incentive Grants$10,000,000$12,000,000
GRF200-573Character Education$1,050,000$1,050,000
GRF200-574Substance Abuse Prevention$2,420,000$2,420,000
GRF200-901Property Tax Allocation - Education$707,700,000$743,000,000
GRF200-906Tangible Tax Exemption - Education$73,500,000$75,700,000
TOTAL GRF General Revenue Fund$6,490,298,728$6,869,755,391

General Services Fund Group
138200-606Computer Services$6,629,469$6,761,034
4D1200-602Ohio Prevention/Education Resource Center$345,000$345,000
4L2200-681Teacher Certification and Licensure$4,684,143$4,856,290
452200-638Miscellaneous Revenue$1,045,000$1,045,000
5H3200-687School District Solvency Assistance$24,000,000$24,000,000
596200-656Ohio Career Information System$743,217$769,230
TOTAL GSF General Services
Fund Group$37,446,829$37,776,554

Federal Special Revenue Fund Group
3C5200-661Federal Dependent Care Programs$18,189,907$18,233,488
3D1200-664Drug Free Schools$20,621,375$20,660,570
3D2200-667Honors Scholarship Program$2,454,688$2,540,602
3H9200-605Head Start Collaboration Project$250,000$250,000
3M0200-623ESEA Chapter One$320,505,063$330,172,277
3M1200-678ESEA Chapter Two$13,595,978$14,059,555
3M2200-680Ind W/Disab Education Act$186,000,000$206,000,000
3L6200-617Federal School Lunch$175,274,000$180,181,672
3L7200-618Federal School Breakfast$45,746,000$47,026,888
3L8200-619Child and Adult Care Programs$60,257,639$61,966,125
3L9200-621Vocational Education Basic Grant$43,613,582$45,142,330
3T4200-613Public Charter Schools$4,887,260$5,055,185
3T6200-611Class Size Reduction$32,289,281$33,903,747
3U2200-662Teacher Quality Enhancement Grants$1,300,501$1,352,000
3U3200-665Reading Excellence Grant Program$10,018,756$0
3U6200-675Provision 2 & 3 Grant$191,050$0
309200-601Educationally Disadvantaged$20,759,222$21,425,345
366200-604Adult Basic Education$17,527,286$18,140,740
367200-607School Food Services$10,089,884$10,408,199
368200-614Veterans' Training$648,514$671,212
369200-616Vocational Education$8,000,000$8,000,000
370200-624Education of All Handicapped Children$1,364,246$1,410,908
371200-631EEO Title IV$1,155,361$1,213,894
374200-647E.S.E.A. Consolidated$110,094$110,094
378200-660Math/Science Technology Investments$12,696,055$13,036,530
TOTAL FED Federal Special
Revenue Fund Group$1,007,545,742$1,040,961,361

State Special Revenue Fund Group
4R7200-695Indirect Cost Recovery$3,942,779$4,168,947
4V7200-633Interagency Vocational Support$695,197$731,674
454200-610Guidance and Testing$940,636$956,761
455200-608Commodity Foods$10,000,000$11,000,000
598200-659Auxiliary Services Mobile Units$1,328,910$1,328,910
620200-615Educational Grants$1,525,000$1,525,000
TOTAL SSR State Special Revenue
Fund Group$18,432,522$19,711,292

Lottery Profits Education Fund Group
017200-612Base Cost Funding$615,000,000$640,000,000
017200-682Lease Rental Payment Reimbursement$29,722,100$25,722,600
TOTAL LPE Lottery Profits
Education Fund Group$644,722,100$665,722,600
TOTAL ALL BUDGET FUND GROUPS$8,198,445,921$8,633,927,198

Section 4.01. MAINTENANCE AND EQUIPMENT
Of the foregoing appropriation item 200-320, Maintenance and Equipment, up to $25,000 may be expended in each year of the biennium for State Board of Education out-of-state travel.
Section 4.02.  HEAD START
The foregoing appropriation item 200-406, Head Start, shall be distributed by the Department of Education to Head Start agencies. A "Head Start agency" means an entity that has been approved to be an agency in accordance with Section 641 (42 U.S.C. 9836) of the Head Start Act and amendments thereto, or an entity designated for state Head Start funding under this section. Participation in state-funded Head Start programs is voluntary.
Moneys distributed under this heading shall not be used to reduce expenditures from funds received by a Head Start agency from any other sources. Section 3301.31 of the Revised Code does not apply to funds distributed under this heading. In lieu of section 3301.31 of the Revised Code, distribution of moneys under this heading shall be as follows:
(A) In fiscal years 2002 and 2003, up to two per cent of the appropriation may be used by the department for administrative costs of complying with this section; developing program capacity; and assisting programs with facilities planning, construction, renovation, or lease agreements in combination with the Community Development Finance Fund (CDFF). Up to $1,530,000 in fiscal year 2002 and up to $1,560,600 in fiscal year 2003 may be used for training in early literacy for Head Start classroom teachers and administrators to support the OhioReads Initiative.
(B) The department shall provide an annual report to the Governor, the Speaker of the House of Representatives, the President of the Senate, the State Board of Education, Head Start grantees, and other interested parties. The report shall include the following:
(1) The number and per cent of eligible children by county and by grantee;
(2) The amount of state funds requested for continuation per grantee;
(3) The amount of state funds received for continuation per grantee;
(4) A summary of program performance on the state critical performance indicators;
(5) A summary of developmental progress of children participating in the state-funded Head Start program;
(6) Any other data reflecting the performance of Head Start that the department considers pertinent.
(C) For purposes of this section, "eligible child" means a child who is at least three years of age and not of compulsory school age whose family earns no more than 100 per cent of the federal poverty level, except as otherwise provided in this division.
The Department of Education, in consultation with Head Start grantees or their designated representatives, shall establish criteria under which individual Head Start grantees may apply to the department for a waiver to include as "eligible children" those children from families earning up to 125 per cent of the federal poverty level when the children otherwise qualify as "eligible children" under this division.
The Department of Education, in consultation with the Department of Job and Family Services, interested parties, and Head Start agencies shall formulate a method for determining an estimate of the number of eligible children and the per cent served by grantee(s) in each county.
(D) After setting aside amounts to make any payments due from the prior fiscal year, in fiscal years 2002 and 2003, funds shall first be distributed to recipients of Head Start funds during the preceding fiscal year. Awards under this division may be reduced by the amount received in that year for one-time start-up costs and may be adjusted for actual months of program operation or enrollment as reported during the first full week of December, and may be increased by a reasonable percentage for inflation to be determined by the Department of Education and in accordance with this section. The department may redistribute dollars to programs demonstrating an unmet need based on updated assessments of family needs and community resources, with special attention to the projected impact of welfare reform. In fiscal years 2002 and 2003, the department may authorize recipients to carry over funds to the subsequent fiscal year.
The department may reallocate unobligated or unspent money to participating Head Start agencies for purposes of program expansion, improvement, or special projects to promote excellence and innovation.
(E) Costs for developing and administering a Head Start program may not exceed fifteen per cent of the total approved costs of the program.
All recipients of funds shall maintain such fiscal control and accounting procedures as may be necessary to ensure the disbursement of, and accounting for, these funds. The control of funds provided in this program, and title to property obtained therefrom, shall be under the authority of the approved recipient for purposes provided in the program. The approved recipient shall administer and use such property and funds for the purposes specified.
Each recipient shall furnish the department an annual audit that includes the review of state funds received under this section.
(F) The department shall prescribe target levels for critical performance indicators for the purpose of assessing Head Start programs. On-site reviews and follow-up visits shall be based on grantee progress in meeting the prescribed target levels.
The department may audit a Head Start agency's financial and program records. Head Start agencies that have financial practices not in accordance with standard accounting principles, that fail to substantially meet the Head Start performance standards, or that exhibit below-average performance shall be subject to an on-site review.
The department shall require corrective plans of action for programs not achieving target levels or financial and program standards. Action plans shall include activities to be conducted by the grantee and timelines for activities to be completed and timelines for additional data submission to the department demonstrating targets have been met. The Policy Council chairperson and the appropriate grantee board official shall sign the corrective plans of action.
Programs not meeting performance targets in accordance with the plan of action and prescribed timelines may have their continuation funding reduced, be disqualified for expansion consideration until targets are met, or have all state funds withdrawn and a new grantee established.
The department shall require school districts to collect "preschool" information by program type. All data shall be reported via the Education Management Information System (EMIS).
(G) The department shall require Head Start grantees to document child progress, using a common instrument prescribed by the department, and report results annually. The department shall determine the dates for documenting and reporting.
The State Board of Education shall adopt rules addressing the use of screening and assessment data, including, but not limited to, all the following:
(1) Protection of the identity of individual children through assignment of a unique but not personally identifiable code;
(2) Parents' rights;
(3) Use of the data by school personnel as it relates to kindergarten entrance.
(H) New agencies may be designated for state Head Start funding if a Head Start agency voluntarily waives its right for funding or is de-funded based on performance.
When such a condition exists, the department shall conduct a competitive bidding process to select a new agency to provide state funded continuation or expansion services. The bidding process shall include notices of competitive bidding mailed to delegate agencies in the affected area and to newspapers in the Head Start service area.
Section 3313.646 of the Revised Code does not apply to funds distributed under this section.
(I) It is the intent of the General Assembly that appropriations for appropriation items 200-406, Head Start, and 200-408, Public Preschool, be available for transfer between Head Start and public preschool programs so that unallocated funds may be used between the two programs.
Section 4.03. PUBLIC PRESCHOOL
The Department of Education shall distribute the foregoing appropriation item 200-408, Public Preschool, to pay the costs of comprehensive preschool programs. As used in this section, "school district" means a city, local, exempted village, or joint vocational school district, or an educational service center.
(A) In fiscal years 2002 and 2003, up to two per cent of the total appropriation may be used by the department for administrative costs of complying with this section; developing program capacity; and assisting programs with facilities planning, construction, renovation, or lease agreements in conjunction with the Community Development Finance Fund (CDFF).
(B) The department shall provide an annual report to the Governor, the Speaker of the House of Representatives, the President of the Senate, the State Board of Education, Head Start grantees, and other interested parties. The report shall include:
(1) The number and per cent of eligible children by county and by school district;
(2) The amount of state funds requested for continuation per school district;
(3) The amount of state funds received for continuation per school district;
(4) A summary of program performance on the state critical performance indicators in the public preschool program;
(5) A summary of developmental progress of children participating in the state-funded public preschool program;
(6) Any other data reflecting the performance of public preschool programs that the department considers pertinent.
(C) For purposes of this section, "eligible child" means a child who is at least three years of age whose family earns no more than 185 per cent of the federal poverty level.
The Department of Education, in consultation with the Department of Job and Family Services, interested parties, and Head Start agencies shall formulate a method for determining an estimate of the number of eligible children and the percentage served by grantees in each county.
(D) After setting aside amounts to make any payments due from the prior fiscal year, in fiscal years 2002 and 2003, funds shall first be distributed to recipients of funds during the preceding fiscal year. Awards under this division may be reduced by the amount received in that fiscal year for one-time start-up costs and may be adjusted for actual months of program operation or enrollment as reported during the first full week of December, and may be increased by a reasonable percentage to be determined by the Department of Education. The department may redistribute dollars to programs demonstrating an unmet need based on updated assessments of family needs and community resources, with special attention to the projected impact of welfare reform. In fiscal years 2002 and 2003, the department may authorize recipients to carry over funds to the subsequent fiscal year.
The department may reallocate unobligated or unspent money to participating school districts for purposes of program expansion, improvement, or special projects to promote excellence and innovation.
(E) Costs for developing and administering a preschool program may not exceed fifteen per cent of the total approved costs of the program.
All recipients of funds shall maintain such fiscal control and accounting procedures as may be necessary to ensure the disbursement of, and accounting for, these funds. The control of funds provided in this program, and title to property obtained therefrom, shall be under the authority of the approved recipient for purposes provided in the program. The approved recipient shall administer and use such property and funds for the purposes specified.
(F) The department shall prescribe target levels for critical performance indicators for the purpose of assessing public preschool programs. On-site reviews and follow-up visits shall be based on progress in meeting the prescribed target levels.
The department may audit a school district's preschool financial and program records. School districts that have financial practices not in accordance with standard accounting principles, that operate preschool programs that fail to substantially meet the Head Start performance standards, or that exhibit below-average performance shall be subject to an on-site review.
The department shall require corrective plans of action for programs not achieving target levels or financial and program standards. Action plans shall include activities to be conducted by the grantee and timelines for activities to be completed and timelines for additional data submission to the department demonstrating that targets have been met. The appropriate school board official shall sign the corrective plans of action.
Public preschool programs not meeting performance targets in accordance with the plan of action and prescribed timelines may have their continuation funding reduced, be disqualified for expansion consideration until targets are met, or have all state funds withdrawn and a new program established.
(G) The department shall require public preschool programs to document child progress, using a common instrument prescribed by the department, and report results annually. The department shall determine the dates for documenting and reporting.
The State Board of Education shall adopt rules addressing the use of screening and assessment data, including, but not limited to, all of the following:
(1) Protection of the identity of individual children through assignment of a unique but not personally identifiable code;
(2) Parents' rights;
(3) Use of the data by school personnel as it relates to kindergarten entrance.
(H) Each school district shall develop a sliding fee scale based on family incomes in the district and shall charge families who earn more than the federal poverty level for preschool.
(I) It is the intent of the General Assembly that appropriations for appropriation items 200-406, Head Start, and 200-408, Public Preschool, be available for transfer between Head Start and Public Preschool programs so that unallocated funds may be used between the two programs.
Section 4.04. PROFESSIONAL DEVELOPMENT
Of the foregoing appropriation item 200-410, Professional Development, $5,997,829 in each fiscal year shall be used by the Department of Education to develop a statewide comprehensive system of twelve professional development centers that support local educators' ability to foster academic achievement in the students they serve. The centers shall include training teachers on site-based management concepts to encourage teachers to become involved in the management of their schools.
Of the foregoing appropriation item 200-410, Professional Development, $9,659,713 in each fiscal year shall be distributed on a per teacher basis to all school districts and joint vocational school districts for locally developed teacher training and professional development and for the establishment of local professional development committees in all school districts and chartered nonpublic schools. School districts and joint vocational school districts shall not be precluded from using these funds for cooperative activities on a county or regional basis. School districts with pass rates of less than 75 per cent on the fourth grade reading proficiency test shall allocate not less than 40 per cent of these funds for professional development for teachers in elementary literacy skills.
Of the foregoing appropriation item 200-410, Professional Development, $5,845,000 in fiscal year 2002 and $6,000,000 in fiscal year 2003 shall be used by the Department of Education to pay the application fee for teachers from public and chartered nonpublic schools applying to the National Board for Professional Teaching Standards for professional teaching certificates or licenses that the board offers, and to provide grants in each fiscal year to recognize and reward teachers who become certified by the board pursuant to section 3319.55 of the Revised Code.
These moneys shall be used to pay for the first 900 applications in fiscal year 2002 and up to the first 550 applications in fiscal year 2003 received by the department. Each prospective applicant for certification or licensure shall submit an application to the Department of Education. When the department has collected a group of applications, but not later than 30 days after receipt of the first application in a group, it shall send the applications to the National Board for Professional Teaching Standards along with a check to cover the cost of the application fee for all applicants in that group.
Of the foregoing appropriation item 200-410, Professional Development, up to $8,296,000 in fiscal year 2002 and up to $19,387,750 in fiscal year 2003 shall be allocated for entry year programs. These funds shall be used to support mentoring services of beginning teachers. In fiscal year 2002, the Department of Education shall select eligible beginning teachers to participate in a year-long entry year program that provides mentoring by experienced school district and university faculty and Praxis III teacher performance assessment. In fiscal year 2003, the program shall also include the assessment of all beginning teachers with the Education Testing Service's Praxis III examination.
Of the foregoing appropriation item 200-410, Professional Development, up to $730,000 in each fiscal year shall be used to continue Ohio leadership academies to develop and train superintendents in new leadership and management practices to support high performance schools. This training shall be coordinated with other locally administered leadership programs.
Of the foregoing appropriation item 200-410, Professional Development, up to $1,000,000 in fiscal year 2002 and up to $1,250,000 in fiscal year 2003 shall be used to support the Ohio Principal's Leadership Academy that will serve principals and their staff teams. An advisory panel comprised of national business and education experts shall advise the Department of Education on content and delivery of curriculum and instruction.
Of the foregoing appropriation item 200-410, Professional Development, up to $1,000,000 in each fiscal year shall be used to establish an entry year program for principals. Grants in fiscal year 2002 shall be issued to pilot sites that shall develop prototypes of the program in a variety of contexts. These sites also shall pilot the School Leaders Licensure Assessment, which was developed by the Educational Testing Service at a cost of $450 per assessment. Funds in fiscal year 2003 shall be used to implement an entry year program for principals.
Of the foregoing appropriation item 200-410, Professional Development, up to $575,000 in each fiscal year shall be used by the Rural Appalachian Initiative to create professional development academies for teachers, principals, and superintendents in the Appalachian region. No funding shall be released prior to the Department of Education receiving a satisfactory report of the activities conducted by these professional development academies during the previous year.
Of the foregoing appropriation item 200-410, Professional Development, up to $250,000 in fiscal year 2002 and up to $350,000 in fiscal year 2003 shall be used to support a Teacher Recognition Program. Funds awarded shall be used to recognize exemplary performance and support the professional development of educators across the educator life-cycle continuum, and may also be used to support the implementation of an educator-in-residence program.
Of the foregoing appropriation item 200-410, Professional Development, up to $25,000 in each fiscal year shall be used by the Ohio Teacher Education and Certification Commission to carry out the responsibilities of the 21-member Ohio Teacher Education and Certification Advisory Commission. The advisory commission is charged by the State Board of Education with considering all matters related to educator preparation and licensure, including standards for educator preparation and licensure, approval of institutions and programs, and recommending consideration of decisions to the State Board.
Of the foregoing appropriation item 200-410, Professional Development, up to $75,000 in each fiscal year shall be used to support the Ohio University Leadership Program.
Section 4.05.  FAMILY AND CHILDREN FIRST
(A) Of the foregoing appropriation item 200-411, Family and Children First, the Department of Education shall transfer up to $5,000,000 in each fiscal year by intrastate transfer voucher to the Department of Mental Retardation and Developmental Disabilities. These funds shall be spent on direct grants to county family and children first councils created under section 121.37 of the Revised Code. The funds shall be used as partial support payment and reimbursement for locally coordinated treatment plans for multineeds children that come to the attention of the Family and Children First Cabinet Council pursuant to section 121.37 of the Revised Code. The treatment plans shall include strategies to address each child's academic achievement. The Department of Mental Retardation and Developmental Disabilities shall administer the distribution of the direct grants to the county councils. The Department of Mental Retardation and Developmental Disabilities may use up to five per cent of this amount for administrative expenses associated with the distribution of funds to the county councils.
(B) Of the foregoing appropriation item 200-411, Family and Children First, up to $3,550,000 in each fiscal year shall be used as administrative grants to county family and children first councils to provide a portion of the salary and fringe benefits necessary to fund county council coordinators, administrative support, training, or parental involvement. The total initial grant under this provision to any county family and children first council shall not exceed $40,000. In the event that not all counties in the state have established a county council, at the beginning of the fourth quarter of a fiscal year, any remaining funds to be used as administrative grants may be redirected by the Family and Children First Cabinet Council to other priorities and activities. Up to $30,000 of the $3,550,000 in each fiscal year shall be used by the Family and Children First Cabinet Council for administrative costs, including stipends to family representatives participating in approved activities of the initiative, educational and informational forums, and technical assistance to local family and children first councils.
(C) Of the foregoing appropriation item 200-411, Family and Children First, up to $5,190,000 in each fiscal year shall be used to fund school-based or school-linked school readiness resource centers in school districts where there is a concentration of risk factors to school readiness and success, including indicators of poverty, health, and family stability. The purpose of these centers is to assist in providing services to families of school-age children who want and need support.
School readiness resource centers shall be located in each of the state's 21 urban school districts as defined in division (O) of section 3317.02 of the Revised Code, as that section existed prior to July 1, 1998. The Ohio Family and Children First Cabinet Council, in consultation with the Department of Education and school districts, shall identify individual schools based on quantitative and qualitative factors that reflect both the need for school readiness resource centers and the local capacity for redesigning, as necessary, a delivery system of family support services. The council and the Department of Education shall organize and provide technical assistance to the school districts and communities in planning, developing, and implementing the centers. The council shall also negotiate a performance agreement that details required program characteristics, service options, and expected results.
Each urban school district and community may receive up to $240,000 to maintain three school readiness resource centers that are located in or linked to elementary, middle, and high school sites that are connected by student assignment patterns within the school districts. Each school district shall work with a representative of the local family and children first council and a representative cross-section of families and community leaders in the district to operate the school readiness resource centers based upon conditions agreed to in the performance agreement negotiated with the cabinet council.
Up to $50,000 in each fiscal year may be used by the Ohio Family and Children First Cabinet Council for an evaluation of the effectiveness of the school readiness resource centers. Up to $100,000 in each fiscal year may be used by the cabinet council to approve technical assistance and oversee the implementation of the centers. The administration and management of the school readiness resource centers may be contracted out through a competitive bidding process established by the cabinet council in consultation with the Department of Education.
Section 4.06. VOCATIONAL EDUCATION MATCH
The foregoing appropriation item 200-416, Vocational Education Match, shall be used by the Department of Education to provide vocational administration matching funds pursuant to 20 U.S.C. 2311.
TECHNICAL SYSTEMS DEVELOPMENT
The foregoing appropriation item 200-420, Technical Systems Development, shall be used to support the development and implementation of information technology solutions designed to improve the performance and customer service of the Department of Education. Funds may be used for personnel, maintenance, and equipment costs related to the development and implementation of these technical system projects. Implementation of these systems shall allow the department to provide greater levels of assistance to school districts and to provide more timely information to the public, including school districts, administrators, and legislators.
In each fiscal year, up to $2,000,000 shall be used for EMIS conversion, including district support and technical assistance; up to $350,000 in each year may be used for the department's annual maintenance contract for database management software; and up to $200,000 in each year shall be used to support the data warehouse project.
ALTERNATIVE EDUCATION PROGRAMS
There is hereby created the Alternative Education Advisory Council, which shall consist of one representative from each of the following agencies: the Ohio Department of Education; the Department of Youth Services; the Ohio Department of Alcohol and Drug Addiction Services; the Department of Mental Health; the Office of the Governor or, at the Governor's discretion, the Office of the Lieutenant Governor; and the Office of the Attorney General.
Of the foregoing appropriation item 200-421, Alternative Education Programs, not less than $10,275,000 in fiscal year 2002 and not less than $11,842,500 in fiscal year 2003 shall be used for the renewal of successful implementation grants and for competitive matching grants to the 21 urban school districts as defined in division (O) of section 3317.02 of the Revised Code as it existed prior to July 1, 1998, and not less than $10,275,000 in fiscal year 2002 and not less than $11,842,500 in fiscal year 2003 shall be used for the renewal of successful implementation of grants and for competitive matching grants to rural and suburban school districts for alternative educational programs for existing and new at-risk and delinquent youth. Programs shall be focused on youth in one or more of the following categories: those who have been expelled or suspended, those who have dropped out of school or who are at risk of dropping out of school, those who are habitually truant or disruptive, or those on probation or on parole from a Department of Youth Services facility. Grants shall be awarded according to the criteria established by the Alternative Education Advisory Council in 1999. Grants shall be awarded only to programs where the grant would not serve as the program's primary source of funding. These grants shall be administered by the Department of Education.
The Department of Education may waive compliance with any minimum education standard established under section 3301.07 of the Revised Code for any alternative school that receives a grant under this section on the grounds that the waiver will enable the program to more effectively educate students enrolled in the alternative school.
Of the foregoing appropriation item 200-421, Alternative Education Programs, up to $536,697 in fiscal year 2002 and up to $576,384 in fiscal year 2003 may be used for program administration, monitoring, technical assistance, support, research, and evaluation. Any unexpended balance may be used to provide additional matching grants to urban, suburban, or rural school districts as outlined above.
Of the foregoing appropriation item 200-421, Alternative Education Programs, $350,000 in each fiscal year shall be used to contract with the Center for Learning Excellence at The Ohio State University to provide technical support for the project and the completion of formative and summative evaluation of the grants.
Of the foregoing appropriation item 200-421, Alternative Education Programs, up to $900,000 in each fiscal year shall be used to support Amer-I-Can.
SCHOOL MANAGEMENT ASSISTANCE
The foregoing appropriation item 200-422, School Management Assistance, shall be used by the Department of Education to provide fiscal technical assistance and inservice education for school district management personnel and to administer, monitor, and implement the fiscal watch and fiscal emergency provisions under Chapter 3316. of the Revised Code.
POLICY ANALYSIS
The foregoing appropriation item 200-424, Policy Analysis, shall be used by the Department of Education to support a system of administrative, statistical, and legislative education information to be used for policy analysis. Staff supported by this appropriation shall administer the development of reports, analyses, and briefings to inform education policymakers of current trends in education practice, efficient and effective use of resources, and evaluation of programs to improve education results. The database shall be kept current at all times. These research efforts shall be used to supply information and analysis of data to the General Assembly and other state policymakers, including the Office of Budget and Management and the Legislative Service Commission.
The Department of Education may use funding from this appropriation item to purchase or contract for the development of software systems or contract for policy studies that will assist in the provision and analysis of policy-related information. Funding from this appropriation item also may be used to monitor and enhance quality assurance for research-based policy analysis and program evaluation to enhance the effective use of education information to inform education policymakers.
Of the foregoing appropriation item 200-424, Policy Analysis, up to $1,000,000 in each fiscal year may be used for the cost of an independent evaluation of programs that have been funded to improve public instruction. Specific programs to be evaluated shall be determined by the Department of Education in consultation with the Office of Budget and Management.
TECH PREP ADMINISTRATION
The foregoing appropriation item 200-425, Tech Prep Administration, shall be used by the Department of Education to support state-level activities designed to support, promote, and expand tech prep programs. Use of these funds shall include, but not be limited to, administration of grants, program evaluation, professional development, curriculum development, assessment development, program promotion, communications, and statewide coordination of tech prep consortia.
OHIO EDUCATIONAL COMPUTER NETWORK
The foregoing appropriation item 200-426, Ohio Educational Computer Network, shall be used by the Department of Education to maintain a system of information technology throughout Ohio and to provide technical assistance for such a system in support of the State Education Technology Plan pursuant to section 3301.07 of the Revised Code.
Of the foregoing appropriation item 200-426, Ohio Educational Computer Network, up to $20,571,198 in fiscal year 2002 and up to $21,188,334 in fiscal year 2003 shall be used by the Department of Education to support connection of all public school buildings to the state's education network, to each other, and to the Internet. In each fiscal year the Department of Education shall use these funds to help reimburse data acquisition sites or school districts for the operational costs associated with this connectivity. The Department of Education shall develop a formula and guidelines for the distribution of these funds to the data acquisition sites or individual school districts. As used in this section, "public school building" means a school building of any city, local, exempted village, or joint vocational school district, or any community school established under Chapter 3314. of the Revised Code, or any educational service center building used for instructional purposes.
Of the foregoing appropriation item 200-426, Ohio Educational Computer Network, up to $2,043,938 in fiscal year 2002 and up to $2,095,037 in fiscal year 2003 shall be used for the Union Catalog and InfOhio Network.
The Department of Education shall use up to $4,590,000 in fiscal year 2002 and up to $4,727,700 in fiscal year 2003 to assist designated data acquisition sites with operational costs associated with the increased use of the state's education network by chartered nonpublic schools. The Department of Education shall develop a formula and guidelines for distribution of these funds to designated data acquisition sites.
Of the foregoing appropriation item 200-426, Ohio Educational Computer Network, $1,200,000 in each fiscal year shall be used by the Department of Education to fund a grant to RISE, Inc., as support to train preschool staff members and parents.
It is the intent of the General Assembly that the department, in conjunction with RISE, Inc., shall develop a program that may be conducted in conjunction with state-supported technology programs including, but not limited to, SchoolNet Commission appropriation item 228-406, Technical and Instructional Professional Development, and appropriation item 228-539, Education Technology, designed to educate preschool staff members and providers on developmentally appropriate teaching methods and to involve parents more closely in the education and development of their children. The project shall include an interactive instructional program, which shall be distributed to program participants at up to 26 locations throughout the state. The interactive instructional program shall be developed to enhance the professional development, training, and performance of preschool staff members; the education and care-giving skills of the parents of preschool children; and the preparation of preschool-aged children for learning.
The project shall utilize the grant to continue a direct-service program that shall include at least three teleconferences to be distributed by Ohio-based public television utilizing satellite or microwave technology in a manner designed to promote interactive communications between the program participants located at sub-sites within the Ohio Educational Broadcast Network or as determined by the commission. Program participants shall communicate with trainers and participants at other program sites through telecommunications and facsimile and on-line computer technology. As much as possible, the project shall utilize systems currently available in state-supported technology programs and conduct the program in a manner that promotes innovative, interactive communications between program participants at all the sites. Parent support groups and teacher training sessions shall supplement the teleconferences and shall occur on a local basis.
RISE, Inc., may subcontract components of the project.
Individuals eligible to participate in the program include those children, their parents, custodians, or guardians, and preschool staff members who are eligible to participate in a preschool program as defined in division (A) of section 3301.52 and section 5104.02 of the Revised Code.
(A) Up to $600,000 of the $1,200,000 in each fiscal year may be used by RISE, Inc., to enter into a competitively bid contract with a not-for-profit entity or entities to conduct a series of training programs for adult volunteers who work with adolescent youth in afterschool mentoring programs, including youth-serving organizations such as Boy Scouts, Girl Scouts, Big Brothers, Big Sisters, 4-H, and public school mentor programs. The series of programs shall be designed to:
(1) Improve the quality and effectiveness of adult volunteers so that they sustain their involvement with youth over time. Specifically, the adult volunteers improve their ability to motivate, supervise, and communicate with young people.
(2) Improve the quality and effectiveness of adult volunteers so that the children they mentor, coach, teach, or befriend sustain their involvement with youth-serving organizations over time;
(3) Encourage collaboration between all Ohio youth-serving organizations, including Boy Scouts, Girls Scouts, Big Brothers, Big Sisters, 4-H, and others;
(4) Provide cost-efficient, sustainable distance learning to both rural and urban sites.
(B) In order to be eligible for the contract with RISE, Inc., program participants shall be able to demonstrate that leading national experts in adolescent development intervention programs will be utilized and that the program will use a variety of media to engage participants and help them learn the goals of the program. The program shall be designed to focus on the adult volunteers who assist in youth development. Training content shall focus on:
(1) Development issues for youth;
(2) Best practices to motivate, guide, and communicate with these young people;
(3) Strategies for successful adult-to-adult interpersonal relationships that are necessary for ongoing learning and support.
The program may include: two three-hour broadcast seminars from a central up-link station, distributed in up to 88 counties; corporate settings and extension offices with on-site facilitated discussion and exercises; high production-value video sought in various locations; and direct interactive adult learning activities. The program shall develop program workbooks and involve at least three small group-facilitated follow-up discussion workshops and development and distribution of at least two home videos. The program shall also provide Internet access, interactive lines, bulletin board, and CD-ROM.
Upon completion of each of the school years for which the grant was made, RISE, Inc., shall issue a report to the commission and the members of the General Assembly explaining the goals and objectives determined, the activities implemented, the progress made toward the achievement of the goals and objectives, and the outcome of the project.
The remainder in each fiscal year of appropriation item 200-426, Ohio Educational Computer Network, shall be used to support development, maintenance, and operation of a network of uniform and compatible computer-based information and instructional systems. The technical assistance shall include, but not be restricted to, development and maintenance of adequate computer software systems to support network activities. Program funds may be used, through a formula and guidelines devised by the department, to subsidize the activities of not more than 24 designated data acquisition sites, as defined by State Board of Education rules, to provide school districts and chartered nonpublic schools with computer-based student and teacher instructional and administrative information services, including approved computerized financial accounting, and to ensure the effective operation of local automated administrative and instructional systems. To broaden the scope of the use of technology for education, the department may use up to $250,000 in each fiscal year to coordinate the activities of the computer network with other agencies funded by the department or the state. In order to improve the efficiency of network activities, the department and data acquisition sites may jointly purchase equipment, materials, and services from funds provided under this appropriation for use by the network and, when considered practical by the department, may utilize the services of appropriate state purchasing agencies.
ACADEMIC STANDARDS
The foregoing appropriation item 200-427, Academic Standards, shall be used by the Department of Education to develop and disseminate academic content standards. These funds shall be used to develop academic content standards and curriculum models and to fund communication of expectations to teachers, school districts, parents, and communities.
Section 4.07.  SCHOOL IMPROVEMENT INITIATIVES
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $3,700,000 in fiscal year 2002 shall be used to continue previously awarded venture capital grants of $25,000 to 148 schools and up to $975,000 in fiscal year 2003 shall be used to continue previously awarded venture capital grants of $25,000 to 39 schools.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, $4,500,000 in fiscal year 2002 and $5,000,000 in fiscal year 2003 shall be used for the development and distribution of school report cards pursuant to section 3302.03 of the Revised Code, for the development of core competencies for the proficiency tests, and to support the recommendations of the Governor's Commission for Student Success.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, $7,500,000 in fiscal year 2002 and $8,500,000 in fiscal year 2003 shall be used to provide technical assistance to school districts that are declared to be in a state of academic watch or academic emergency under section 3302.03 of the Revised Code to develop their continuous improvement plans as required in section 3302.04 of the Revised Code.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $152,998 in fiscal year 2002 and up to $156,441 in fiscal year 2003 shall be used to support a teacher-in-residence at the Governor's office and related support staff, travel expenses, and administrative overhead.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $250,000 in fiscal year 2002 and up to $300,000 in fiscal year 2003 shall be used to implement the Criteria for Performance Excellence with the Department of Education and selected school districts. Up to $25,000 in fiscal year 2002 and up to $30,000 in fiscal year 2003 may be allocated for evaluation and administration. The remainder of the appropriation shall be used to provide district grants of up to $2,250 each in fiscal year 2002 and up to $2,700 each in fiscal year 2003 to 100 school districts.
Funds shall support the integrated management system of performance excellence through continuous improvement to support state school standards, ongoing professional development, and quality tools; to encourage and reward knowledge and skill; and to create and implement print and electronic knowledge sharing to improve student achievement.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $1,500,000 in fiscal year 2002 and up to $3,500,000 in fiscal year 2003 shall be used to support initiatives related to increasing access to advanced placement courses on the Internet.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $600,000 in fiscal year 2002 and up to $780,000 in fiscal year 2003 shall be used to ensure that school operating standards are developed and communicated.
Of the foregoing appropriation item 200-431, School Improvement Initiatives, up to $513,639 in fiscal year 2002 and up to $529,301 in fiscal year 2003 shall be used to support the Department of Education's customer response system.
SCHOOL CONFLICT MANAGEMENT
Of the foregoing appropriation item 200-432, School Conflict Management, amounts shall be used by the Department of Education for the purpose of providing dispute resolution and conflict management training, consultation, and materials for school districts, and for the purpose of providing competitive school conflict management grants to school districts.
The Department of Education shall assist the Commission on Dispute Resolution and Conflict Management in the development and dissemination of the school conflict management program. The assistance provided by the Department of Education shall include the assignment of a full-time employee of the department to the Commission on Dispute Resolution and Conflict Management to provide technical and administrative support to maximize the quality of dispute resolution and conflict management programs and services provided to school districts.
READING/WRITING IMPROVEMENT
Of the foregoing appropriation item 200-433, Reading/Writing Improvement, up to $12,396,970 in each fiscal year shall be used for professional development in literacy for classroom teachers, administrators, and literacy specialists.
Of the foregoing appropriation item 200-433, Reading/Writing Improvement, up to $6,500,000 in fiscal year 2002 and up to $13,000,000 in fiscal year 2003 shall be used to support half-time literacy specialists in eligible elementary school buildings. The Department of Education shall develop guidelines for the allocation of these funds and provide equalized state share funding to identified eligible districts.
Of the foregoing appropriation item 200-433, Reading/Writing Improvement, up to $1,780,268 in fiscal year 2002 and up to $1,815,874 in fiscal year 2003 shall be used by the Department of Education to fund the Reading Recovery Training Network, to cover the cost of release time for the teacher trainers, and to provide grants to districts to implement other reading improvement programs on a pilot basis. Funds for this appropriation item may also be used to conduct evaluations of the impact and effectiveness of Reading Recovery and other reading improvement programs.
The remainder of appropriation item 200-433, Reading/Writing Improvement, shall be used by the Department of Education to develop and support reading and writing improvement programs by providing a common assessment/profile instrument for elementary school buildings, literacy specialist support and training programs, and incentives for teachers to complete professional development programs.
STUDENT ASSESSMENT
The foregoing appropriation item 200-437, Student Assessment, shall be used to develop, field test, print, distribute, score, and report results from the tests required under sections 3301.0710 and 3301.0711 of the Revised Code and for similar purposes as required by section 3301.27 of the Revised Code.
SAFE SCHOOLS
Of the foregoing appropriation item 200-438, Safe Schools, $250,000 in each fiscal year shall be used for the development and operation of a Safe Schools Center. The Department of Education shall oversee the creation of a center to serve as a coordinating entity to assist school district personnel, parents, juvenile justice representatives, and law enforcement in identifying effective strategies and services for improving school safety and reducing threats to the security of students and school personnel.
Of the foregoing appropriation item 200-438, Safe Schools, up to $1,800,000 in each fiscal year shall be used for a safe-school help line program for students, parents, and the community to report threats to the safety of students or school personnel. The Department of Education shall establish criteria to distribute these funds to school districts whose superintendents indicate the program would be a meaningful aid to school security.
AMERICAN SIGN LANGUAGE
Of the foregoing appropriation item 200-441, American Sign Language, up to $153,000 in fiscal year 2002 and up to $156,060 in fiscal year 2003 shall be used to implement pilot projects for the integration of American Sign Language deaf language into the kindergarten through twelfth-grade curriculum.
The remainder of the appropriation shall be used by the Department of Education to provide supervision and consultation to school districts in dealing with parents of handicapped children who are deaf or hard of hearing, in integrating American Sign Language as a foreign language, and in obtaining interpreters and improving their skills.
CHILD CARE LICENSING
The foregoing appropriation item 200-442, Child Care Licensing, shall be used by the Department of Education to license and to inspect preschool and school-age child care programs in accordance with sections 3301.52 to 3301.59 of the Revised Code.
PROFESSIONAL RECRUITMENT
Of the foregoing appropriation item 200-444, Professional Recruitment, $1,300,000 in each fiscal year shall be used by the Department of Education to establish programs targeted at recruiting underrepresented populations into the teaching profession. In each year, the recruitment programs shall include, but not be limited to, alternative teacher licensure or certification programs emphasizing the recruitment of highly qualified minority candidates into teaching, including emphasizing the recruitment of highly qualified minority candidates into teaching positions in schools that have a high percentage of minority students. The recruitment programs also shall target recruiting qualified candidates available as a result of downsizing of the military and business sectors. Funding also shall be targeted to statewide, regional, and local programs that are competitively selected as promising programs demonstrating the potential of significantly increasing Ohio's minority teaching force.
The remainder of appropriation item 200-444 shall be used by the Department of Education for recruitment programs targeting special needs areas: recruiting prospective mathematics and science teachers, recruiting special educators, recruiting principals, developing a web-based placement bureau, establishing a pre-collegiate program to target future teachers, and piloting paraeducators-to-teacher programs.
OHIOREADS ADMIN/VOLUNTEER SUPPORT
The foregoing appropriation item 200-445, OhioReads Admin/Volunteer Support, may be allocated by the OhioReads Council for volunteer coordinators in public school buildings, to educational service centers for costs associated with volunteer coordination, for background checks for volunteers, to evaluate the OhioReads Program, and for operating expenses associated with administering the program.
Section 4.08.  EDUCATION MANAGEMENT INFORMATION SYSTEM
The foregoing appropriation item 200-446, Education Management Information System, shall be used by the Department of Education to provide school districts with the means to implement local automated information systems and to implement, develop, and improve the Education Management Information System (EMIS) for the common student information management software developed by the Department of Education.
Of the foregoing appropriation item 200-446, Education Management Information System, up to $1,100,000 in fiscal year 2003 may be used by the Department of Education to assist designated data acquisition sites or school districts with deployment and implementation of the common student management record system software, and for hardware, personnel, equipment, staff development, software, and forms modification, as well as to support EMIS special report activities in the department.
Of the foregoing appropriation item 200-446, Education Management Information System, up to $2,213,639 in fiscal year 2002 and up to $1,476,760 in fiscal year 2003 shall be distributed to designated data acquisition sites for costs relating to processing, storing, and transferring data for the effective operation of the EMIS. These costs may include, but are not limited to, personnel, hardware, software development, communications connectivity, professional development, and support services, and to provide services to participate in the State Education Technology Plan pursuant to section 3301.07 of the Revised Code.
Of the foregoing appropriation item 200-446, Education Management Information System, up to $7,763,297 in fiscal year 2002 and up to $8,999,708 in fiscal year 2003 shall be distributed to school districts, community schools established under Chapter 3314. of the Revised Code, education service centers, and joint vocational school districts on a per-pupil basis. From this funding, each school district or community school established under Chapter 3314. of the Revised Code with enrollment greater than 100 students and each vocational school district shall receive a minimum of $5,000 for each year of the biennium. Each school district or community school established under Chapter 3314. of the Revised Code with enrollment between one and one hundred and each education service center and each county board of MR/DD that submits data through EMIS shall receive $3,000 for each year of the biennium. This money shall be used for costs associated with the development and operation of local automated record-based information systems that provide data as required by the education management information system, and facilitate local district, school, and classroom management activities.
GED TESTING/ADULT HIGH SCHOOL
The foregoing appropriation item 200-447, GED Testing/Adult High School, shall be used to provide General Educational Development (GED) testing at no cost to applicants, pursuant to rules adopted by the State Board of Education. The Department of Education shall reimburse school districts and community schools, created in accordance with Chapter 3314. of the Revised Code, for a portion of the costs incurred in providing summer instructional or intervention services to students who have not graduated due to their inability to pass one or more parts of the state's ninth grade proficiency test. School districts shall also provide such services to students who are residents of the district pursuant to section 3313.64 of the Revised Code, but who are enrolled in chartered, nonpublic schools. The services shall be provided in the public school, in nonpublic schools, in public centers, or in mobile units located on or off the nonpublic school premises. No school district shall provide summer instructional or intervention services to nonpublic school students as authorized by this section unless such services are available to students attending the public schools within the district. No school district shall provide services for use in religious courses, devotional exercises, religious training, or any other religious activity. Chartered, nonpublic schools shall pay for any unreimbursed costs incurred by school districts for providing summer costs incurred by school districts for providing summer instruction or intervention services to students enrolled in chartered, nonpublic schools. School districts may provide these services to students directly or contract with postsecondary or nonprofit community-based institutions in providing instruction. The appropriation also shall be used for state reimbursement to school districts for adult high school continuing education programs pursuant to section 3313.531 of the Revised Code or for costs associated with awarding adult high school diplomas under section 3313.611 of the Revised Code.
COMMUNITY SCHOOLS
Of the foregoing appropriation item 200-455, Community Schools, up to $100,000 in each fiscal year may be used by the Lucas County Educational Service Center to pay for additional services provided to community schools, subject to the reporting by the service center of actual expenses incurred to the Department of Education. Up to $1,628,935 in fiscal year 2002 and up to $1,724,517 in fiscal year 2003 may be used by the Office of School Options in the Department of Education for additional services and responsibilities under section 3314.11 of the Revised Code.
The remaining appropriation may be used by the Department of Education and the Lucas County Educational Service Center to make grants of up to $50,000 to each proposing group with a preliminary agreement obtained under division (C)(2) of section 3314.02 of the Revised Code in order to defray planning and initial start-up costs. In the first year of operation of a community school, the Department of Education and the Lucas County Educational Service Center may make a grant of no more than $100,000 to the governing authority of the school to partially defray additional start-up costs. The amount of the grant shall be based on a thorough examination of the needs of the community school. The Department of Education and the Lucas County Educational Service Center shall not utilize moneys received under this section for any other purpose other than those specified under this section. The department shall allocate an amount to the Lucas County Educational Service Center for grants to schools in the Lucas County area under this paragraph.
A community school awarded start-up grants from appropriation item 200-613, Public Charter Schools (Fund 3T4), shall not be eligible for grants under this section.
Section 4.09.  SCHOOL FINANCE EQUITY
The foregoing appropriation item 200-500, School Finance Equity, shall be distributed to school districts in fiscal year 2002 based on the formula specified in section 3317.0213 of the Revised Code.
Section 4.10.  BASE COST FUNDING
Of the foregoing appropriation item 200-501, Base Cost Funding, up to $425,000 shall be expended in each year of the biennium for court payments pursuant to section 2151.357 of the Revised Code; an amount shall be available each year of the biennium for the cost of the reappraisal guarantee pursuant to section 3317.04 of the Revised Code; an amount shall be available in each year of the biennium to fund up to 225 full-time equivalent approved GRADS teacher grants pursuant to division (R) of section 3317.024 of the Revised Code; an amount shall be available in each year of the biennium to make payments to school districts pursuant to division (A)(2) of section 3317.022 of the Revised Code; and up to $15,000,000 in each year of the biennium shall be reserved for payments pursuant to sections 3317.026, 3317.027, and 3317.028 of the Revised Code except that the Controlling Board may increase the $15,000,000 amount if presented with such a request from the Department of Education. Of the foregoing appropriation item 200-501, Base Cost Funding, up to $14,000,000 shall be used in each fiscal year to provide additional state aid to school districts for special education students pursuant to division (C)(4) of section 3317.022 of the Revised Code; up to $2,000,000 in each year of the biennium shall be reserved for Youth Services tuition payments pursuant to section 3317.024 of the Revised Code; and up to $52,000,000 in each fiscal year shall be reserved to fund the state reimbursement of educational service centers pursuant to section 3317.11 of the Revised Code.
Of the foregoing appropriation item 200-501, Base Cost Funding, up to $10,000,000 in fiscal year 2003 shall be expended by the Department of Education to provide temporary transitional aid to school districts with an exceptionally high dependence on inventory generated tangible personal property tax revenues. Distribution of these funds shall be based on criteria and a formula developed by the Office of Budget and Management and the Department of Taxation.
Of the foregoing appropriation item 200-501, Base Cost Funding, up to $1,000,000 in each fiscal year shall be used by the Department of Education for a pilot program to pay for educational services for youth who have been assigned by a juvenile court or other authorized agency to any of the facilities described in division (A) of the section titled "Private Treatment Facility Pilot Project."
The remaining portion of appropriation item 200-501, Base Cost Funding, shall be expended for the public schools of city, local, exempted village, and joint vocational school districts, including base cost funding, special education weight funding, special education speech service enhancement funding, vocational education weight funding, vocational education associated service funding, guarantee funding, and teacher training and experience funding pursuant to sections 3317.022, 3317.023, 3317.0212, and 3317.16 of the Revised Code.
Section 4.11.  PUPIL TRANSPORTATION
Of the foregoing appropriation item 200-502, Pupil Transportation, up to $800,000 in fiscal year 2002 and up to $822,400 in fiscal year 2003 may be used by the Department of Education for training prospective and experienced school bus drivers in accordance with training programs prescribed by the department; an amount shall be available in each year of the biennium to be used for special education transportation reimbursements. The reimbursement rate in each year shall be based on the rate defined in division (D) of section 3317.022 of the Revised Code. The remainder of appropriation item 200-502, Pupil Transportation, shall be used for the state reimbursement of public school districts' costs in transporting pupils to and from the school they attend in accordance with the district's policy, State Board of Education standards, and the Revised Code.
BUS PURCHASE ALLOWANCE
The foregoing appropriation item 200-503, Bus Purchase Allowance, shall be distributed to school districts and educational service centers pursuant to rules adopted under section 3317.07 of the Revised Code. Up to 25 per cent of the amount appropriated may be used to reimburse school districts and educational service centers for the purchase of buses to transport handicapped and nonpublic school students.
SCHOOL LUNCH
The foregoing appropriation item 200-505, School Lunch Match, shall be used to provide matching funds to obtain federal funds for the school lunch program.
Section 4.12.  ADULT LITERACY EDUCATION
The foregoing appropriation item 200-509, Adult Literacy Education, shall be used to support adult basic and literacy education instructional programs and the State Literacy Resource Center Program.
Of the foregoing appropriation item 200-509, Adult Literacy Education, up to $543,150 in fiscal year 2002 and up to $554,013 in fiscal year 2003 shall be used for the support and operation of the State Literacy Resource Center.
The remainder shall be used to continue to satisfy the state match and maintenance of effort requirements for the support and operation of the Department of Education-administered instructional grant program for adult basic and literacy education in accordance with the department's state plan for adult basic and literacy education as approved by the State Board of Education and the Secretary of the United States Department of Education.
AUXILIARY SERVICES
The foregoing appropriation item 200-511, Auxiliary Services, shall be used by the State Board of Education for the purpose of implementing section 3317.06 of the Revised Code. Of the appropriation, up to $1,250,000 in fiscal year 2002 and up to $1,500,000 in fiscal year 2003 may be used for payment of the Post-Secondary Enrollment Options Program for nonpublic students pursuant to section 3365.10 of the Revised Code.
STUDENT INTERVENTION SERVICES
The foregoing appropriation item 200-513, Student Intervention Services, shall be used to assist districts providing the intervention services specified in section 3313.608 of the Revised Code. The Department of Education shall establish guidelines for the use and distribution of these moneys. School districts receiving funds from this appropriation shall report to the Department of Education on how funds were used.
POST-SECONDARY/ADULT VOCATIONAL EDUCATION
The foregoing appropriation item 200-514, Post-Secondary/Adult Vocational Education, shall be used by the State Board of Education to provide post-secondary/adult vocational education under sections 3313.52 and 3313.53 of the Revised Code.
Of the foregoing appropriation item 200-514, Post-Secondary/Adult Vocational Education, up to $500,000 in each fiscal year shall be allocated for the Ohio Career Information System (OCIS) and used for the dissemination of career information data to public schools, libraries, rehabilitation centers, two- and four-year colleges and universities, and other governmental units.
Of the foregoing appropriation item 200-514, Post-Secondary/Adult Vocational Education, up to $30,000 in each fiscal year shall be used for the statewide coordination of the activities of the Ohio Young Farmers.
Of the foregoing appropriation item 200-514, Post-Secondary/Adult Vocational Education, $2,500,000 in each fiscal year shall be allocated as an incentive to support local EnterpriseOhio Network campus/adult workforce education center partnerships. The purpose of the partnerships is to promote and deliver coordinated, comprehensive training to local employers. Each partnership shall include a formal agreement between one or more EnterpriseOhio Network campus and one or more adult workforce education center for the delivery of training services. The Department of Education and Board of Regents shall jointly award funds to certified EnterpriseOhio Network campus/adult workforce education center partnerships to offer training grants to eligible companies. A certified EnterpriseOhio Network campus/adult workforce education center partnership is one that has been documented and approved by the Board of Regents and the Department of Education according to partnership criteria established jointly by the two agencies. An eligible company is one that meets the funding criteria of the Targeted Industries Training Grant Program. The amount set aside for the partnerships is designed to match an equal appropriation in the Board of Regents appropriation item 235-415, Jobs Challenge. The Board of Regents appropriation also serves as a partnership building incentive by allocating funds to local EnterpriseOhio Network campus/adult workforce education center partnerships.
DISADVANTAGED PUPIL IMPACT AID
The foregoing appropriation item 200-520, Disadvantaged Pupil Impact Aid, shall be distributed to school districts according to section 3317.029 of the Revised Code. However, no money shall be distributed for all-day kindergarten to any school district whose three-year average formula ADM exceeds 17,500 but whose DPIA index is not at least equal to 1.00 in fiscal year 2002 or 0.6 in fiscal year 2003, unless the Department of Education certifies that sufficient funds exist in this appropriation to make all other payments required by section 3317.029 of the Revised Code.
The Department of Education shall pay all-day, everyday kindergarten funding to all school districts in fiscal year 2002 and fiscal year 2003 that qualified for and provided the service in a preceding fiscal year pursuant to section 3317.029 of the Revised Code, regardless of changes to such districts' DPIA indexes in fiscal year 2002 and fiscal year 2003.
The Department of Education shall pay to community schools an amount for all-day kindergarten if the school district in which the student is entitled to attend school is eligible but does not receive a payment for all-day kindergarten, pursuant to division (B) of section 3314.13 of the Revised Code, and the student is reported by the community school as enrolled in all-day kindergarten at the community school.
Of the foregoing appropriation item 200-520, Disadvantaged Pupil Impact Aid, up to $3,200,000 in fiscal year 2002 and up to $3,300,000 in fiscal year 2003 shall be used for school breakfast programs. Of these amounts, up to $500,000 shall be used each year by the Department of Education to provide start-up grants to rural school districts and to school districts with less than 1,500 ADM that start school breakfast programs. The remainder of the appropriation shall be used to: (1) partially reimburse school buildings within school districts that are required to have a school breakfast program pursuant to section 3313.813 of the Revised Code, at a rate decided by the department, for each breakfast served to any pupil enrolled in the district; (2) partially reimburse districts participating in the National School Lunch Program that have at least 20 per cent of students who are eligible for free and reduced meals according to federal standards, at a rate decided by the department; and (3) to partially reimburse districts participating in the National School Lunch Program for breakfast served to children eligible for free and reduced meals enrolled in the district, at a rate decided by the department.
Of the portion of the funds distributed to the Cleveland City School District under section 3317.029 of the Revised Code calculated under division (F)(2) of that section, up to $14,903,943 in fiscal year 2002 and up to $18,066,820 in fiscal year 2003 shall be used to operate the pilot school choice program in the Cleveland City School District pursuant to sections 3313.974 to 3313.979 of the Revised Code.
Of the foregoing appropriation item 200-520, Disadvantaged Pupil Impact Aid, $1,000,000 in each fiscal year shall be used to support dropout recovery programs administered by the Department of Education, Jobs for Ohio's Graduates Program.
Section 4.13.  GIFTED PUPIL PROGRAM
The foregoing appropriation item 200-521, Gifted Pupil Program, shall be used for gifted education units not to exceed 1,050 in fiscal year 2002 and 1,100 in fiscal year 2003 pursuant to division (P) of section 3317.024 and division (F) of section 3317.05 of the Revised Code.
Of the foregoing appropriation item 200-521, Gifted Pupil Program, up to $5,000,000 in each fiscal year of the biennium may be used as an additional supplement for identifying gifted students pursuant to Chapter 3324. of the Revised Code.
Of the foregoing appropriation item 200-521, Gifted Pupil Program, the Department of Education may expend up to $1,000,000 each year for the Summer Honors Institute for gifted freshman and sophomore high school students. Up to $600,000 in each fiscal year shall be used for research and demonstration projects. Up to $70,000 in each year shall be used for the Ohio Summer School for the Gifted (Martin Essex Program).
Section 4.14.  EDUCATIONAL EXCELLENCE AND COMPETENCY
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, up to $125,000 in each year of the biennium may be used to support the Aid for College Opportunities Program.
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, $25,000 in each fiscal year shall be used to support the purchase of the "I Know I Can" book and supporting materials for second grade students in school districts in which at least fifty per cent of elementary school students receive free or reduced lunch.
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, up to $645,000 in each fiscal year shall be used to support the Columbus City District's "I Know I Can" Program.
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, up to $645,000 in fiscal year 2002 and up to $780,450 in fiscal year 2003 shall be used to support the Dayton-Montgomery County Scholarship Program.
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, up to $550,000 in fiscal year 2002 and up to $605,000 in fiscal year 2003 shall be used to support the Cleveland Scholarship Program.
Of the foregoing appropriation item 200-524, Educational Excellence and Competency, up to $709,500 in fiscal year 2002 and up to $780,450 in fiscal year 2003 shall be used to support the Cincinnati Scholarship Foundation.
NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT
The foregoing appropriation item 200-532, Nonpublic Administrative Cost Reimbursement, shall be used by the State Board of Education for the purpose of implementing section 3317.063 of the Revised Code.
DESEGREGATION COSTS
The foregoing appropriation item 200-534, Desegregation Costs, shall be used to pay the legal fees associated with desegregation cases brought against the state.
As part of managing state desegregation costs, any board of education of a school district subject to a federal court desegregation order that requires the district board to bus students for the purpose of racial balance shall, within one year after the effective date of this section:
(1) Update its plan required under Am. Sub. H.B. 298 of the 119th General Assembly designed to satisfy the court so as to obtain release from the court's desegregation order; and
(2) Submit an updated copy of the plan to the State Board of Education.
Upon request of the district board, the State Board shall provide technical assistance to the school district board in developing a plan.
Within ninety days after the date on which the plan is submitted to the State Board of Education, the district board, or the district board and the State Board of Education jointly if both are parties to the desegregation case, shall submit the plan to the court and apply for release from the court's desegregation order.
Section 4.15. SPECIAL EDUCATION ENHANCEMENTS
Of the foregoing appropriation item 200-540, Special Education Enhancements, up to $50,295,000 in fiscal year 2002 and up to $52,809,750 in fiscal year 2003 shall be used to fund special education and related services at county boards of mental retardation and developmental disabilities for eligible students under section 3317.20 of the Revised Code. Up to $2,500,000 shall be used in each fiscal year to fund up to 57 special education classroom and related services units at institutions.
Of the foregoing appropriation item 200-540, Special Education Enhancements, up to $3,293,959 in fiscal year 2002 and up to $3,425,717 in fiscal year 2003 shall be used for home instruction for handicapped children; up to $1,500,000 in each fiscal year shall be used for parent mentoring programs; and up to $2,744,966 in fiscal year 2002 and up to $2,854,764 in fiscal year 2003 may be used for school psychology interns.
Of the foregoing appropriation item 200-540, Special Education Enhancements, $3,852,160 in fiscal year 2002 and up to $4,006,246 in fiscal year 2003 shall be used by the Department of Education to assist school districts in funding aides pursuant to paragraph (A)(3)(c)(i)(b) of rule 3301-51-04 of the Administrative Code.
Of the foregoing appropriation item 200-540, Special Education Enhancements, $78,623,506 in each fiscal year shall be distributed by the Department of Education to county boards of mental retardation and developmental disabilities, educational service centers, and school districts for preschool special education units and preschool supervisory units in accordance with section 3317.161 of the Revised Code. The department may reimburse county boards of mental retardation and developmental disabilities, educational service centers, and school districts for related services as defined in rule 3301-31-05 of the Administrative Code, for preschool occupational and physical therapy services provided by a physical therapy assistant and certified occupational therapy assistant, and for an instructional assistant. To the greatest extent possible, the Department of Education shall allocate these units to school districts and educational service centers. The Controlling Board may approve the transfer of unallocated funds from appropriation item 200-501, Base Cost Funding, to appropriation item 200-540, Special Education Enhancements, to fully fund existing units as necessary or to fully fund additional units. The Controlling Board may approve the transfer of unallocated funds from appropriation item 200-540, Special Education Enhancements, to appropriation item 200-501, Base Cost Funding, to fully fund the special education weight cost funding.
The Department of Education shall require school districts, educational service centers, and county MR/DD boards serving preschool children with disabilities to document child progress using a common instrument prescribed by the department and report results annually. The reporting dates and methodology shall be determined by the department.
The department shall adopt rules addressing the use of screening and assessment data including, but not limited to:
(1) Protection of the identity of individual children through assignment of a unique, but not personally identifiable, code;
(2) Parents' rights; and
(3) Use of the child data by school personnel as it relates to kindergarten entrance.
Of the foregoing appropriation item 200-540, Special Education Enhancements, up to $808,081 in fiscal year 2002 and up to $832,323 in fiscal year 2003 shall be allocated to provide grants to research-based reading mentoring programs for students with disabilities in kindergarten through fourth grade. Priority shall be given to mentoring programs that have been recognized by the Education Commission of the States as promising educational practices for accelerating student achievement, are easily replicated, have strong evaluative components, and have goals aligned to the Ohio Proficiency Test. Programs may be implemented at times deemed most appropriate. Certified staff shall administer these programs and testing of participants shall be required prior to, during, and after participation in these programs. The results of the tests shall be reported to the Governor, Superintendent of Public Instruction, and General Assembly.
Of the foregoing appropriation item 200-540, Special Education Enhancements, up to $86,000 in each fiscal year shall be used to conduct a collaborative pilot program to provide educational services and develop best educational practices for autistic children. The pilot program shall include, but not be limited to, the involvement of the Wood County Board of Mental Retardation and Developmental Disabilities, Wood County Educational Services Center, Children's Resource Center of Wood County, and the Family and Children First Council of Wood County.
Of the foregoing appropriation item 200-540, Special Education Enhancements, up to $303,030 in fiscal year 2002 and up to $312,121 in fiscal year 2003 shall be expended to conduct a demonstration project involving language and literacy intervention teams supporting student acquisition of language and literacy skills. The demonstration project shall demonstrate improvement of language and literacy skills of at-risk learners under the instruction of certified speech language pathologists and educators. Baseline data shall be collected and comparison data for fiscal year 2002 and fiscal year 2003 shall be collected and reported to the Governor, OhioReads Council, Department of Education, and the General Assembly.
Section 4.16. VOCATIONAL EDUCATION ENHANCEMENTS
Of the foregoing appropriation item 200-545, Vocational Education Enhancements, up to $2,616,001 in each fiscal year shall be used to fund vocational education units at institutions. Up to $10,972,500 in each fiscal year shall be used to fund the Jobs for Ohio Graduates (JOG) program.
Of the foregoing appropriation item 200-545, Vocational Education Enhancements, up to $5,250,000 in fiscal year 2002 and up to $6,000,000 in fiscal year 2003 shall be used by the Department of Education to fund competitive grants to tech prep consortia that expand the number of students enrolled in tech prep programs. These grant funds shall be used to directly support expanded tech prep programs provided to students enrolled in school districts, including joint vocational school districts, and affiliated higher education institutions.
If federal funds for vocational education cannot be used for local school district leadership without being matched by state funds, then an amount as determined by the Superintendent of Public Instruction shall be made available from state funds appropriated for vocational education. If any state funds are used for this purpose, federal funds in an equal amount shall be distributed for vocational education in accordance with authorization of the state plan for vocational education for Ohio as approved by the Secretary of the United States Department of Education.
Of the foregoing appropriation item 200-545, Vocational Education Enhancements, $6,451,490 in each fiscal year shall be used to enable students to develop career plans, to identify initial educational and career goals, and to develop a career passport that provides a clear understanding of the student's knowledge, skills, and credentials to present to future employers, universities, and other training institutes. The amount shall be allocated to school districts pursuant to guidelines developed by the Department of Education for programs described in section 3313.607 of the Revised Code for children in the kindergarten through twelfth grades. Funds so allocated shall be used for educational materials, services, career information, curriculum development, staff development, mentorships, career exploration, and career assessment instruments as needed to develop individualized career plans and passports.
Of the foregoing appropriation item 200-545, Vocational Education Enhancements, $5,707,573 in each fiscal year shall be used to provide an amount to each eligible school district for the replacement or updating of equipment essential for the instruction of students in job skills taught as part of a vocational program or programs approved for such instruction by the State Board of Education. School districts replacing or updating vocational education equipment may purchase or lease such equipment. The Department of Education shall review and approve all equipment requests and may allot appropriated funds to eligible school districts on the basis of the number of full-time equivalent workforce development teachers in all eligible districts making application for funds.
The State Board of Education may adopt standards of need for equipment allocation. Pursuant to the adoption of any such standards of need by the State Board of Education, appropriated funds may be allotted to eligible districts according to such standards. Equipment funds allotted under either process shall be provided to a school district on a 30, 40, or 50 per cent of cost on the basis of a district vocational priority index rating developed by the Department of Education for all districts each year. The vocational priority index shall give preference to districts with a large percentage of disadvantaged students and shall include other socio-economic factors as determined by the State Board of Education.
Of the foregoing appropriation item 200-545, Vocational Education Enhancements, up to $6,400,000 in fiscal year 2002 and up to $9,600,000 in fiscal year 2003 shall be used to support existing High Schools That Work (HSTW) sites, develop new sites, fund technical assistance, and support regional centers and middle school programs. The purpose of HSTW is to combine challenging academic courses and modern vocational and technical studies to raise the academic achievement of students. It provides intensive technical assistance, focused staff development, targeted assessment services, and ongoing communications and networking opportunities.
Section 4.17.  CHARGE-OFF SUPPLEMENT
The foregoing appropriation item 200-546, Charge-Off Supplement, shall be used by the Department of Education to make payments pursuant to section 3317.0216 of the Revised Code.
POWER EQUALIZATION
The foregoing appropriation item 200-547, Power Equalization, shall be used by the Department of Education to make payments pursuant to section 3317.0215 of the Revised Code.
COUNTY MR/DD BOARDS - VEHICLE PURCHASES
The foregoing appropriation item 200-552, County MR/DD Boards Vehicle Purchases, shall be used to provide financial assistance to MR/DD boards for the purchase of vehicles as permitted in section 3317.07 of the Revised Code.
COUNTY MR/DD BOARDS - TRANSPORTATION
The foregoing appropriation item 200-553, County MR/DD Boards Transportation Operating, shall be used to provide financial assistance for transportation operating costs as provided in division (M) of section 3317.024 of the Revised Code.
EMERGENCY LOAN INTEREST SUBSIDY
The foregoing appropriation item 200-558, Emergency Loan Interest Subsidy, shall be used to provide a subsidy to school districts receiving emergency school loans pursuant to section 3313.484 of the Revised Code. The subsidy shall be used to pay these districts the difference between the amount of interest the district is paying on an emergency loan, and the interest that the district would have paid if the interest rate on the loan had been two per cent.
Section 4.18.  OHIOREADS GRANTS
Of the foregoing appropriation item 200-566, OhioReads Grants, $23,800,000 each year shall be disbursed by the OhioReads Office in the Department of Education at the direction of the OhioReads Council to provide classroom grants to public schools in city, local, and exempted village school districts; community schools; and educational service centers serving kindergarten through fourth grade students.
Of the foregoing appropriation item 200-566, OhioReads Grants, $5,000,000 each year shall be disbursed by the OhioReads Office in the Department of Education at the direction of the OhioReads Council to provide community matching grants to community organizations and associations, libraries, and others for tutoring, tutor recruitment and training, and parental involvement.
Grants awarded by the OhioReads Council are intended to improve reading outcomes, especially on the fourth grade reading proficiency test.
SCHOOL IMPROVEMENT INCENTIVE GRANTS
Of the foregoing appropriation item 200-570, School Improvement Incentive Grants, $2,000,000 in fiscal year 2002 and $2,500,000 in fiscal 2003 shall be used to provide grants of $25,000 per building for improvements in reading performance based on selection criteria developed by the OhioReads Council.
Of the foregoing appropriation item 200-570, School Improvement Incentive Grants, $6,500,000 in fiscal year 2002 and $7,750,000 in fiscal year 2003 shall be used to provide grants of $25,000 each to elementary schools and $50,000 each to middle schools, junior high schools, and high schools that demonstrate significant improvement on proficiency tests, attendance rates, and graduation rates based on standards developed by the Department of Education.
Of the foregoing appropriation item 200-570, School Improvement Incentive Grants, $500,000 in fiscal year 2002 and $750,000 in fiscal year 2003 shall be used to provide grants of $50,000 each to educational service centers and joint vocational school districts for exemplary programs or that demonstrate significant improvement on proficiency tests, attendance rates, and graduation rates based on standards developed by the Department of Education.
Of the foregoing appropriation item 200-570, School Improvement Incentive Grants, $1,000,000 in each fiscal year shall be used to provide grants of up to $50,000 each to educational best practices award winners selected for superior performance by BEST, Building Excellent Schools for Today and the 21st Century.
Any grants awarded from the foregoing appropriation item 200-570, School Improvement Incentive Grants, shall be awarded to individual school buildings, educational service centers, or joint vocational school districts, as appropriate. Grant awards shall be expended for staff development, classroom equipment, materials, and books. The principal or administrator of each grantee shall decide how best to use the grant award, with input from staff members.
CHARACTER EDUCATION
The foregoing appropriation item 200-573, Character Education, shall be used by the Department of Education to provide matching grants of up to $50,000 each to school districts to develop pilot character education programs.
SUBSTANCE ABUSE PREVENTION
Of the foregoing appropriation item 200-574, Substance Abuse Prevention, up to $2,120,000 in each fiscal year shall be used for the Safe and Drug Free Schools Coordinators Program. Of the foregoing appropriation item 200-574, Substance Abuse Prevention, up to $300,000 in each fiscal year of the biennium shall be used for the Substance Abuse Prevention Student Assistance Program. The Department of Education and the Department of Alcohol and Drug Addiction Services shall jointly develop and approve a plan for the expenditure of these funds including, but not limited to, the development of position descriptions and training specifications for safe and drug free schools coordinators. Safe and drug free schools coordinators shall possess or be in the process of obtaining credentials issued by the Ohio Credentialing Board for Chemical Dependency Professionals or other credentials recognized by that board.
AUXILIARY SERVICES MOBILE REPAIR
Notwithstanding section 3317.064 of the Revised Code, if the unobligated cash balance is sufficient, the Treasurer of State shall transfer $1,500,000 in fiscal year 2002 within thirty days after the effective date of this section and $1,500,000 in fiscal year 2003 by August 1, 2002, from the Auxiliary Services Personnel Unemployment Compensation Fund to the Department of Education's Auxiliary Services Mobile Repair Fund (Fund 598).
Section 4.19.  LOTTERY PROFITS EDUCATION FUND
Appropriation item 200-612, Base Cost Funding (Fund 017), shall be used in conjunction with appropriation item 200-501, Base Cost Funding (GRF), to provide payments to school districts pursuant to Chapter 3317. of the Revised Code.
Of the foregoing appropriation item 200-612, Base Cost Funding (Fund 017), $25,000,000 in each fiscal year shall be used from the funds transferred from the Unclaimed Prizes Trust Fund pursuant to the section entitled "Transfers from the Unclaimed Prizes Fund" of this act.
The Department of Education, with the approval of the Director of Budget and Management, shall determine the monthly distribution schedules of appropriation item 200-501, Base Cost Funding (GRF), and appropriation item 200-612, Base Cost Funding (Fund 017). If adjustments to the monthly distribution schedule are necessary, the Department of Education shall make such adjustments with the approval of the Director of Budget and Management.
The Director of Budget and Management shall transfer via intrastate transfer voucher the amount appropriated under the Lottery Profits Education Fund for appropriation item 200-682, Lease Rental Payment Reimbursement, to the General Revenue Fund on a schedule determined by the director. These funds shall support the appropriation item 230-428, Lease Rental Payments (GRF), of the School Facilities Commission.
LOTTERY PROFITS TRANSFERS*
On the fifteenth day of May of each fiscal year, the Director of Budget and Management shall determine if lottery profits transfers will meet the appropriation amounts from the Lottery Profits Education Fund.
On or after the date specified in each fiscal year, if the director determines that lottery profits will not meet appropriations and if other funds are not available to meet the shortfall, the Superintendent of Public Instruction shall take the actions specified under the "Reallocation of Funds" section of this act.
TRANSFERS FROM THE UNCLAIMED PRIZES FUND
By the fifteenth day of January of fiscal year 2002 and fiscal year 2003, the Director of Budget and Management shall transfer $25,000,000 from the State Lottery Commission's Unclaimed Prizes Fund to the Lottery Profits Education Fund, to be used solely for purposes specified in the Department of Education's budget. Transfers of unclaimed prizes under this provision shall not count as lottery profits in the determination made concerning excess profits titled "Lottery Profits" under the Department of Education in this act.
TEACHER CERTIFICATION AND LICENSURE
The foregoing appropriation item 200-681, Teacher Certification and Licensure, shall be used by the Department of Education in each year of the biennium to administer teacher certification and licensure functions pursuant to sections 3301.071, 3301.074, 3301.50, 3301.51, 3319.088, 3319.22, 3319.24 to 3319.28, 3319.281, 3319.282, 3319.29, 3319.301, 3319.31, and 3319.51 of the Revised Code.
Section 4.20.  LOTTERY PROFITS
(A) There is hereby created the Lottery Profits Education Reserve Fund (Fund 018) in the State Treasury. At no time shall the amount to the credit of the fund exceed $75,000,000. Investment earnings of the Lottery Profits Education Reserve Fund shall be credited to the fund. Notwithstanding any provisions of law to the contrary, for fiscal years 2002 and 2003, there is appropriated to the Department of Education, from the Lottery Profits Education Reserve Fund, an amount necessary to make loans authorized by sections 3317.0210, 3317.0211, and 3317.62 of the Revised Code. All loan repayments from loans made in fiscal years 1992, 1993, 1994, 1995, 1996, 1997, 1998, or 1999 shall be deposited into the credit of the Lottery Profits Education Reserve Fund.
(B)(1) On or before July 15, 2001, the Director of Budget and Management shall determine the amount by which lottery profit transfers received by the Lottery Profits Education Fund for fiscal year 2001 exceed $665,200,000. The amount so certified shall be distributed in fiscal year 2002 pursuant to divisions (C) and (D) of this section.
(2) On or before July 15, 2002, the Director of Budget and Management shall determine the amount by which lottery profit transfers received by the Lottery Profits Education Fund for fiscal year 2002 exceed $619,722,100. The amount so determined shall be distributed in fiscal year 2003 pursuant to divisions (E) and (F) of this section.
The Director of Budget and Management shall annually certify the amounts determined pursuant to this section to the Speaker of the House of Representatives and the President of the Senate.
(C) Not later than June 15, 2002, the Department of Education, in consultation with the Director of Budget and Management, shall determine, based upon estimates, if a reallocation of funds as described in the section of this act titled "Reallocation of Funds" is required.
If a reallocation of funds is required, then the Superintendent of Public Instruction shall request Controlling Board approval for a release of any balances in the Lottery Profits Education Fund available for the purpose of this division and pursuant to divisions (C)(1) and (2) of the section of this act titled "Reallocation of Funds." Any moneys so released are appropriated.
(D) In fiscal year 2002, if the Department of Education does not determine that a reallocation of funds is necessary by the fifteenth day of June, as provided in division (C) of this section, or if there is a balance in the Lottery Profits Education Fund after the release of any amount needed to preclude a reallocation of funds as provided in division (C) of this section, the moneys in the Lottery Profits Education Fund shall be allocated as provided in this division. Any amounts so allocated are appropriated.
An amount equal to five per cent of the estimated lottery profits of $665,200,000 in fiscal year 2001 or the amount remaining in the fund, whichever is the lesser amount, shall be transferred to the Lottery Profits Education Reserve Fund within the limitations specified in division (A) of this section and be reserved and shall not be available for allocation or distribution during fiscal year 2002. Any amounts exceeding $75,000,000 shall be distributed pursuant to division (G) of this section.
(E) Not later than June 15, 2003, the Department of Education, in consultation with the Director of Budget and Management, shall determine, based upon estimates, if a reallocation of funds as described in the section of this act titled "Reallocation of Funds" is required.
If a reallocation of funds is required, then the Superintendent of Public Instruction shall request Controlling Board approval for a release of any balances in the Lottery Profits Education Fund available for the purpose of this division and pursuant to divisions (C)(1) and (2) of the section of this act titled "Reallocation of Funds." Any moneys so released are appropriated.
(F) In fiscal year 2003, if the Department of Education does not determine that a reallocation of funds is necessary by the fifteenth day of June, as provided in division (E) of this section, or if there is a balance in the Lottery Profits Education Fund after the release of any amount needed to preclude a reallocation of funds as provided in division (E) of this section, the moneys in the Lottery Profits Education Fund shall be allocated as provided in this division. Any amounts so allocated are appropriated.
An amount equal to five per cent of the estimated lottery profits transfers of $619,722,100 in fiscal year 2002 or the amount remaining in the fund, whichever is the lesser amount, shall be transferred to the Lottery Profits Education Reserve Fund within the limitations specified in division (A) of this section and be reserved and shall not be available for allocation or distribution during fiscal year 2003. Any amounts exceeding $75,000,000 shall be distributed pursuant to division (G) of this section.
(G) In the appropriate fiscal year, any remaining amounts after the operations required by division (D) or (F) of this section, respectively, shall be transferred to the Public School Building Fund (Fund 021) and such amount is appropriated to appropriation item CAP-622, Public School Buildings, in the School Facilities Commission.
Section 4.21. PROPERTY TAX ALLOCATION
The Superintendent of Public Instruction shall not request, and the Controlling Board shall not approve, the transfer of funds from appropriation item 200-901, Property Tax Allocation-Education, to any other appropriation item.
SCHOOL DISTRICT SOLVENCY ASSISTANCE
Of the foregoing appropriation item 200-687, School District Solvency Assistance, $12,000,000 in each fiscal year shall be allocated to the School District Shared Resource Account and $12,000,000 in each fiscal year shall be allocated to the Catastrophic Expenditures Account. These funds shall be used to provide assistance and grants to school districts to enable them to remain solvent pursuant to section 3316.20 of the Revised Code. Assistance and grants shall be subject to approval by the Controlling Board. Any required reimbursements from school districts for solvency assistance shall be made to the appropriate account in the School District Solvency Assistance Fund.
Section 4.22.  PROPERTY TAX ALLOCATION - EDUCATION
The appropriation item 200-901, Property Tax Allocation - Education, is appropriated to pay for the state's costs incurred due to the homestead exemption and the property tax rollback. In cooperation with the Department of Taxation, the Department of Education shall distribute these funds directly to the appropriate school districts of the state, notwithstanding sections 321.24 and 323.156 of the Revised Code, which provide for payment of the homestead exemption and property tax rollback by the Tax Commissioner to the appropriate county treasurer and the subsequent redistribution of these funds to the appropriate local taxing districts by the county auditor.
Appropriation item 200-906, Tangible Tax Exemption - Education is appropriated to pay for the state's costs incurred due to the tangible personal property tax exemption required by division (C)(3) of section 5709.01 of the Revised Code. In cooperation with the Department of Taxation, the Department of Education shall distribute to each county treasurer the total amount certified by the county treasurer pursuant to section 319.311 of the Revised Code, for all school districts located in the county, notwithstanding the provision in section 319.311 of the Revised Code which provides for payment of the $10,000 tangible personal property tax exemption by the Tax Commissioner to the appropriate county treasurer for all local taxing districts located in the county. Pursuant to division (G) of section 321.24 of the Revised Code, the county auditor shall distribute the amount paid by the Department of Education among the appropriate school districts.
Upon receipt of these amounts, each school district shall distribute the amount among the proper funds as if it had been paid as real or tangible personal property taxes. Payments for the costs of administration shall continue to be paid to the county treasurer and county auditor as provided for in sections 319.54, 321.26, and 323.156 of the Revised Code.
Any sums, in addition to the amounts specifically appropriated in appropriation items 200-901, Property Tax Allocation - Education, for the homestead exemption and the property tax rollback payments, and 200-906, Tangible Tax Exemption - Education, for the $10,000 tangible personal property tax exemption payments, which are determined to be necessary for these purposes, are appropriated.
Section 4.23.  DISTRIBUTION FORMULAS*
The Department of Education shall report the following to the Director of Budget and Management, the Legislative Office of Education Oversight, and the Legislative Service Commission:
(A) Changes in formulas for distributing state appropriations, including administratively defined formula factors;
(B) Discretionary changes in formulas for distributing federal appropriations;
(C) Federally mandated changes in formulas for distributing federal appropriations.
Any such changes shall be reported two weeks prior to the effective date of the change.
Section 4.24.  DISTRIBUTION - SCHOOL DISTRICT SUBSIDY PAYMENTS
This section shall not take effect unless the Director of Budget and Management adopts an order putting it into effect and certifies a copy of the order to the Superintendent of Public Instruction and the Controlling Board.
Notwithstanding any other provision of the Revised Code, the monthly distribution of payments made to school districts and educational service centers pursuant to section 3317.01 of the Revised Code for the first six months of each fiscal year shall equal, as nearly as possible, six and two-thirds per cent of the estimate of the amounts payable for each fiscal year. The monthly distribution of payments for the last six months of each fiscal year shall equal, as nearly as possible, ten per cent of the final calculation of the amounts payable to each school district for that fiscal year.
The treasurer of each school district or educational service center may accrue, in addition to the payments defined in this section, to the accounts of the calendar years that end during each fiscal year, the difference between the sum of the first six months' payments in each fiscal year and the amounts the district would have received had the payments been made in, as nearly as possible in each fiscal year, twelve equal monthly payments.
Notwithstanding the limitations on the amount of borrowing and time of payment provided for in section 133.10 of the Revised Code but subject to sections 133.26 and 133.30 of the Revised Code, a board of education of a school district may at any time between July 1, 2001, and December 31, 2001, or at any time between July 1, 2002, and December 31, 2002, borrow money to pay any necessary and actual expenses of the school district during the last six months of calendar years 2001 and 2002 and in anticipation of the receipt of any portion of the payments to be received by that district in the first six months of calendar years 2002 and 2003 representing the respective amounts accrued pursuant to the preceding paragraph, and issue notes to evidence that borrowing to mature no later than the thirtieth day of June of the calendar year following the calendar year in which such amount was borrowed. The principal amount borrowed in the last six months of calendar years 2001 or 2002 under this paragraph may not exceed the entire amount accrued or to be accrued by the district treasurer in those calendar years pursuant to the preceding paragraph. The proceeds of the notes shall be used only for the purposes for which the anticipated receipts are lawfully appropriated by the board of education. No board of education shall be required to use the authority granted by this paragraph. The receipts so anticipated, and additional amounts from distributions to the districts in the first six months of calendar years 2002 and 2003 pursuant to Chapter 3317. of the Revised Code needed to pay the interest on the notes, shall be deemed appropriated by the board of education to the extent necessary for the payment of the principal of and interest on the notes at maturity, and the amounts necessary to make those monthly distributions are appropriated from the General Revenue Fund. For the purpose of better ensuring the prompt payment of principal of and interest on the notes when due, the resolution of the board of education authorizing the notes may direct that the amount of the receipts anticipated, together with those additional amounts needed to pay the interest on the borrowed amounts, shall be deposited and segregated, in trust or otherwise, to the extent, at the time or times, and in the manner provided in that resolution. The borrowing authorized by this section does not constitute debt for purposes of section 133.04 of the Revised Code. School districts shall be reimbursed by the state for all necessary and actual costs to districts arising from this provision, including, without limitation, the interest paid on the notes while the notes are outstanding. The Department of Education shall adopt rules that are not inconsistent with this section for school district eligibility and application for reimbursement of such costs. Payments of these costs shall be made out of any anticipated balances in appropriation items distributed under Chapter 3317. of the Revised Code. The department shall submit all requests for reimbursement under these provisions to the Controlling Board for approval.
During the last six months of each calendar year, instead of deducting the amount the Superintendent of Public Instruction would otherwise deduct from a school district's or educational service center's state aid payments in accordance with the certifications made for such year pursuant to sections 3307.56 and 3309.51 of the Revised Code, the superintendent shall deduct an amount equal to forty per cent of the amount so certified. The secretaries of the retirement systems shall compute the certifications for the ensuing year under such sections as if the entire amounts certified as due in the calendar year ending the current fiscal year, but not deducted pursuant to this paragraph, had been deducted and paid in that calendar year. During the first six months of the ensuing calendar year, in addition to deducting the amounts the Superintendent of Public Instruction is required to deduct under such sections during such period, the superintendent shall deduct from a district's or educational service center's state aid payments an additional amount equal to the amount that was certified as due from the district for the calendar year that ends during the fiscal year, but that was not deducted because of this paragraph. The superintendent's certifications to the Director of Budget and Management during the first six months of the calendar year shall reflect such additional deduction.
Section 4.25.  REALLOCATION OF FUNDS
(A) As used in this section:
(1) "Basic aid" means the amount calculated for the school district received for the fiscal year under divisions (A) and (C) of section 3317.022 and sections 3317.023, 3317.025 to 3317.029, 3317.0212, and 3317.0213 of the Revised Code and the amount computed for a joint vocational school district under section 3317.16 of the Revised Code.
(2) "Nonbasic aid" means the amount computed for a school district for fiscal year 2002 or fiscal year 2003 under Chapter 3317. of the Revised Code and this act, excluding the district's basic aid and the amount computed under such chapter and acts for educational service centers, MR/DD boards, and institutions.
(B) If in either fiscal year of the biennium the Governor issues an order under section 126.05 of the Revised Code to reduce expenditures and incurred obligations and the order requires the superintendent to reduce such state education payments, or if lottery profits transfers are insufficient to meet the amounts appropriated from the Lottery Profits Education Fund for base cost funding, and if other funds are not sufficient to offset the shortfall, the superintendent shall reduce nonbasic aid payments so that the total amount expended in the fiscal year will not exceed the amount available for expenditure pursuant to the Governor's order. Subject to Controlling Board approval, the superintendent shall reallocate appropriations not yet expended from one program to another.
(C)(1) If further reductions in nonbasic aid are necessary following the reallocations implemented pursuant to division (B) of this section, the superintendent shall request the Controlling Board to approve the use of the money appropriated by this division. The superintendent shall include with the superintendent's request a report listing the amount of reductions that each school district will receive if the request is not approved, and also the amount of the reduction, if any, that will still be required if the use of the money appropriated by this section is approved.
(2) In accordance with division (C)(1) of this section, there is appropriated to the Department of Education from the unobligated balance remaining in the Lottery Profits Education Fund at the end of fiscal year 2001 the lesser of: the unobligated balance in the fund, or the amount needed to preclude a reallocation pursuant to this section. The money appropriated by this division may be spent or distributed by the department only with the approval of the Controlling Board.
(D) If reductions in nonbasic aid are still necessary following the actions taken pursuant to divisions (B) and (C) of this section, the superintendent shall determine by what percentage expenditures for nonbasic aid must be reduced for the remainder of the fiscal year to make the total amount distributed for the year equal the amount appropriated or available for distribution. The superintendent shall reduce by that percentage the amount to be paid in nonbasic aid to each city, exempted village, local, and joint vocational school district, to each educational service center, to each county board of mental retardation and developmental disabilities, and to each institution providing special education programs under section 3323.091 of the Revised Code for the remainder of the fiscal year.
Section 4.26.  EDUCATIONAL SERVICE CENTERS FUNDING
Notwithstanding division (B) of section 3317.11 of the Revised Code, no funds shall be provided to an educational service center in either fiscal year for any pupils of a city or exempted village school district unless an agreement to provide services under section 3313.843 of the Revised Code was entered into by January 1, 1997, except that funds shall be provided to an educational service center for any pupils of a city school district if the agreement to provide services was entered into within one year of the date upon which such district changed from a local school district to a city school district. If insufficient funds are appropriated in fiscal year 2002 or fiscal year 2003 for the purposes of division (B) of section 3317.11 of the Revised Code, the department shall first distribute to each educational service center $37 per pupil in its service center ADM, as defined in that section. The remaining funds in each fiscal year shall be distributed proportionally, on a per-student basis, to each educational service center for its client ADM, as defined in that section, that is attributable to each city and exempted village school district that had entered into an agreement with an educational service center for that fiscal year under section 3313.843 of the Revised Code by January 1, 1997.
Section 4.27. * For the school year commencing July 1, 2001, or the school year commencing July 1, 2002, or both, the Superintendent of Public Instruction may waive for the board of education of any school district the ratio of teachers to pupils in kindergarten through fourth grade required under paragraph (A)(3) of rule 3301-35-03 of the Administrative Code if the following conditions apply:
(A) The board of education requests the waiver.
(B) After the Department of Education conducts an on-site evaluation of the district related to meeting the required ratio, the board of education demonstrates to the satisfaction of the Superintendent of Public Instruction that providing the facilities necessary to meet the required ratio during the district's regular school hours with pupils in attendance would impose an extreme hardship on the district.
(C) The board of education provides assurances that are satisfactory to the Superintendent of Public Instruction that the board will act in good faith to meet the required ratio as soon as possible.
Section 4.28.  PRIVATE TREATMENT FACILITY PILOT PROJECT
(A) As used in this section:
(1) The following are "participating residential treatment centers":
(a) Private residential treatment facilities that have entered into a contract with the Department of Youth Services to provide services to children placed at the facility by the department and which, in fiscal year 2002 or 2003 or both, the department pays through appropriation item 470-401, Care and Custody;
(b) Abraxas, in Shelby;
(c) Paint Creek, in Bainbridge;
(d) Act One, in Akron;
(e) Friars Club, in Cincinnati.
(2) "Education program" means an elementary or secondary education program or a special education program and related services.
(3) "Served child" means any child receiving an education program pursuant to division (B) of this section.
(4) "School district responsible for tuition" means a city, exempted village, or local school district that, if tuition payment for a child by a school district is required under law that existed in fiscal year 1998, is the school district required to pay that tuition.
(5) "Residential child" means a child who resides in a participating residential treatment center and who is receiving an educational program under division (B) of this section.
(B) A youth who is a resident of the state and has been assigned by a juvenile court or other authorized agency to a residential treatment facility specified in division (A) of this section shall be enrolled in an approved educational program located in or near the facility. Approval of the educational program shall be contingent upon compliance with the criteria established for such programs by the Department of Education. The educational program shall be provided by a school district or educational service center, or by the residential facility itself. Maximum flexibility shall be given to the residential treatment facility to determine the provider. In the event that a voluntary agreement cannot be reached and the residential facility does not choose to provide the educational program, the educational service center in the county in which the facility is located shall provide the educational program at the treatment center to children under twenty-two years of age residing in the treatment center.
(C) Any school district responsible for tuition for a residential child shall, notwithstanding any conflicting provision of the Revised Code regarding tuition payment, pay tuition for the child for fiscal years 2002 and 2003 to the education program provider and in the amount specified in this division. If there is no school district responsible for tuition for a residential child and if the participating residential treatment center to which the child is assigned is located in the city, exempted village, or local school district that, if the child were not a resident of that treatment center, would be the school district where the child is entitled to attend school under sections 3313.64 and 3313.65 of the Revised Code, that school district shall, notwithstanding any conflicting provision of the Revised Code, pay tuition for the child for fiscal years 2002 and 2003 under this division unless that school district is providing the educational program to the child under division (B) of this section.
A tuition payment under this division shall be made to the school district, educational service center, or residential treatment facility providing the educational program to the child.
The amount of tuition paid shall be:
(1) The amount of tuition determined for the district under division (A) of section 3317.08 of the Revised Code;
(2) In addition, for any student receiving special education pursuant to an individualized education program as defined in section 3323.01 of the Revised Code, a payment for excess costs. This payment shall equal the actual cost to the school district, educational service center, or residential treatment facility of providing special education and related services to the student pursuant to the student's individualized education program, minus the tuition paid for the child under division (C)(1) of this section.
A school district paying tuition under this division shall not include the child for whom tuition is paid in the district's average daily membership certified under division (A) of section 3317.03 of the Revised Code.
(D) In each of fiscal years 2002 and 2003, the Department of Education shall reimburse, from appropriations made for the purpose, a school district, educational service center, or residential treatment facility, whichever is providing the service, that has demonstrated that it is in compliance with the funding criteria for each served child for whom a school district must pay tuition under division (C) of this section. The amount of the reimbursement in either fiscal year shall be the formula amount specified in section 3317.022 of the Revised Code, except that the department shall proportionately reduce this reimbursement if sufficient funds are not available to pay this amount to all qualified providers.
(E) Funds provided to a school district, educational service center, or residential treatment facility under this section shall be used to supplement, not supplant, funds from other public sources for which the school district, service center, or residential treatment facility is entitled or eligible.
(F) The Department of Education shall track the utilization of funds provided to school districts, educational service centers, and residential treatment facilities under this section and monitor the effect of the funding on the educational programs they provide in participating residential treatment facilities. The department shall monitor the programs for educational accountability.
Section 4.29.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL ASSESSMENT OF EDUCATION PROGRESS
The General Assembly intends for the Superintendent of Public Instruction to provide for school district participation in the administration of the National Assessment of Education Progress in fiscal years 2002 and 2003 in accordance with section 3301.27 of the Revised Code.
Section 4.30.  Notwithstanding Chapter 3318. of the Revised Code, for purposes of complying with the local share and repayment tax requirements of section 3318.05 of the Revised Code, any school district given conditional approval for classroom facilities assistance under section 3318.04 of the Revised Code as of January 1, 1993, that approved a replacement permanent improvement levy at the November 5, 1996, election shall be permitted to use the proceeds of such levy, and any notes issued or to be issued in anticipation thereof, as available funds, within the meaning specified under section 3318.03 of the Revised Code, to pay the local share of the cost of the approved classroom facilities project. Notwithstanding the local share as previously determined for purposes of the conditional approval of the project, the local share shall be equal to the amount of proceeds to be obtained by the district under such replacement permanent improvement levy. Such school districts shall not be required to obtain approval of either of the propositions described in division (A) or (B) of section 3318.051 of the Revised Code. The agreement required under section 3318.08 of the Revised Code for the construction and sale of the project shall include provisions for the transfer of the proceeds of the replacement permanent improvement levy, and any notes issued in anticipation thereof, to the school district's project construction account, and for the levy of the replacement permanent improvement levy.
Section 4.31.  The Superintendent of Public Instruction shall contract with an independent research entity to evaluate the pilot project approved pursuant to section 3313.975 of the Revised Code. The evaluation shall study the impact of scholarships on student attendance, conduct, commitment to education, and standardized test scores; parental involvement; the school district's ability to provide services to district students; and the availability of alternative educational opportunities. The evaluation shall also study the economic impact of scholarships on the school district.
Section 4.32.  Notwithstanding division (C)(1) of section 3313.975 of the Revised Code, in addition to students in kindergarten through third grade, initial scholarships may be awarded to fourth, fifth, sixth, seventh, and eighth grade students in fiscal year 2002 and in fiscal year 2003.
Section 4.33.  (A) As used in this section, "pilot project area" means the school districts included in the territory of the former community school pilot project established by former Section 50.52 of Am. Sub. H.B. 215 of the 122nd General Assembly.
(B) Any teacher or nonteaching employee of a school district in the pilot project area who, on the effective date of this section, is taking a leave of absence from the district pursuant to a policy adopted under former Section 50.52.13 of that act to work at a community school established under the pilot project and located in another school district may continue the leave under the terms of that policy and former section. Upon termination of the leave, the district shall return the teacher or nonteaching employee to a position, salary, and level of seniority as required by that former section.
Section 4.34. As required by Section 50.52.2 of Am. Sub. H.B. 215 of the 122nd General Assembly, as subsequently amended, the Legislative Office of Education Oversight shall complete, by June 1, 2003, its final report on community schools with recommendations as to the future of community schools in Ohio. Copies of the report shall be delivered to the President of the Senate and the Speaker of the House of Representatives.
Section 5.  HEF HIGHER EDUCATIONAL FACILITY COMMISSION
Agency Fund Group
461372-601Operating Expenses$12,000$12,000
TOTAL AGY Agency Fund Group$12,000$12,000
TOTAL ALL BUDGET FUND GROUPS$12,000$12,000

Section 6.  LOT STATE LOTTERY COMMISSION
State Lottery Fund Group
044950-100Personal Services$23,990,502$25,164,204
044950-200Maintenance$24,167,162$24,698,840
044950-300Equipment$4,131,719$3,664,576
044950-402Game and Advertising Contracts$64,913,869$64,624,331
044950-601Prizes, Bonuses, and Commissions$136,371,980$132,532,125
871950-602Annuity Prizes$185,454,636$188,275,991
872950-603Unclaimed Prize Awards$13,093,114$13,354,976
TOTAL SLF State Lottery Fund
Group$452,122,982$452,315,043
TOTAL ALL BUDGET FUND GROUPS$452,122,982$452,315,043

OPERATING EXPENSES
The foregoing appropriation items include all amounts necessary for the purchase and printing of tickets, consultant services, and advertising. The Controlling Board may, at the request of the State Lottery Commission, authorize additional appropriations for operating expenses of the State Lottery Commission from the State Lottery Fund up to a maximum of 15 per cent of anticipated total revenue accruing from the sale of lottery tickets.
PRIZES, BONUSES, AND COMMISSIONS
Any amounts, in addition to the amounts appropriated in appropriation item 950-601, Prizes, Bonuses, and Commissions, that are determined by the Director of the State Lottery Commission to be necessary to fund prizes, bonuses, and commissions are appropriated.
ANNUITY PRIZES
With the approval of the Office of Budget and Management, the State Lottery Commission shall transfer cash from the State Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund (Fund 871) in an amount sufficient to fund deferred prizes. The Treasurer of State, from time to time, shall credit the Deferred Prizes Trust Fund (Fund 871) the pro rata share of interest earned by the Treasurer of State on invested balances.
Any amounts, in addition to the amounts appropriated in appropriation item 950-602, Annuity Prizes, that are determined by the Director of the State Lottery Commission to be necessary to fund deferred prizes and interest earnings are appropriated.
Section 7.  BOR BOARD OF REGENTS
General Revenue Fund
GRF235-321Operating Expenses$3,265,450$3,330,759
GRF235-401Lease-Rental Payments$295,058,500$268,910,500
GRF235-402Sea Grants$299,940$299,940
GRF235-403Math/Science Teaching Improvement$1,734,000$1,768,680
GRF235-404College Readiness Initiatives$3,127,361$3,189,908
GRF235-406Articulation and Transfer$1,000,000$1,000,000
GRF235-408Midwest Higher Education Compact$82,500$82,500
GRF235-409Information System$1,417,615$1,445,968
GRF235-414State Grants and Scholarship Administration$1,429,478$1,458,068
GRF235-415Jobs Challenge$13,548,125$14,891,302
GRF235-417Ohio Learning Network$4,000,000$4,000,000
GRF235-418Access Challenge$77,268,000$90,268,000
GRF235-420Success Challenge$53,615,100$58,976,610
GRF235-426The Ohio Plan$10,000,000$30,000,000
GRF235-428Appalachian New Economy Partnership$1,000,000$1,500,000
GRF235-451Eminent Scholars$0$5,200,000
GRF235-454Research Challenge$23,725,284$26,097,812
GRF235-455Productivity Improvement Challenge$1,729,538$1,764,128
GRF235-474AHEC Program Support$2,136,456$2,179,185
GRF235-477Access Improvement Projects$1,110,879$1,110,879
GRF235-501State Share of Instruction$1,681,450,071$1,715,288,155
GRF235-502Student Support Services$1,000,000$1,000,000
GRF235-503Ohio Instructional Grants$101,000,000$114,500,000
GRF235-504War Orphans Scholarships$4,652,548$4,792,124
GRF235-507OhioLINK$7,822,106$7,978,548
GRF235-508Air Force Institute of Technology$3,500,000$3,500,000
GRF235-509Displaced Homemakers$244,996$244,996
GRF235-510Ohio Supercomputer Center$4,932,218$4,932,218
GRF235-511Cooperative Extension Service$28,262,696$28,827,949
GRF235-513OU Voinovich Center$375,000$375,000
GRF235-514Central State Supplement$12,044,956$12,044,956
GRF235-515CWRU School of Medicine$4,367,575$4,454,926
GRF235-518Capitol Scholarship Programs$250,000$250,000
GRF235-519Family Practice$6,671,909$6,805,347
GRF235-520Shawnee State Supplement$2,767,520$2,712,170
GRF235-521OSU Glenn Institute$375,000$375,000
GRF235-523Center for Labor Research$95,000$95,000
GRF235-524Police and Fire Protection$244,996$244,996
GRF235-525Geriatric Medicine$1,109,383$1,131,570
GRF235-526Primary Care Residencies$3,230,784$3,295,399
GRF235-527Ohio Aerospace Institute$2,431,973$2,431,973
GRF235-530Academic Scholarships$8,400,000$8,820,000
GRF235-531Student Choice Grants$52,428,000$53,476,560
GRF235-535Agricultural Research and Development Center$39,505,502$40,295,612
GRF235-536Ohio State University Clinical Teaching$16,316,207$16,642,531
GRF235-537University of Cincinnati Clinical Teaching$13,419,858$13,688,256
GRF235-538Medical College of Ohio at Toledo Clinical Teaching$10,460,052$10,669,253
GRF235-539Wright State University Clinical Teaching$5,081,698$5,183,332
GRF235-540Ohio University Clinical Teaching$4,912,631$5,010,884
GRF235-541Northeastern Ohio Universities College of Medicine Clinical Teaching$5,052,636$5,153,689
GRF235-543OCPM Clinical Subsidy$510,000$520,200
GRF235-547School of International Business$1,743,637$1,743,637
GRF235-549Part-time Student Instructional Grants$13,311,638$13,977,219
GRF235-552Capital Component$14,537,639$14,537,639
GRF235-553Dayton Area Graduate Studies Institute$3,856,212$3,856,212
GRF235-554Computer Science Graduate Education$3,553,437$3,553,437
GRF235-555Library Depositories$2,040,000$2,080,800
GRF235-556Ohio Academic Resource Network$3,582,426$3,654,074
GRF235-558Long-term Care Research$318,371$318,371
GRF235-561BGSU Canadian Studies Center$167,642$167,642
GRF235-572Ohio State University Clinic Support$2,102,361$2,144,408
GRF235-583Urban University Programs$6,636,285$6,636,285
GRF235-585Ohio University Innovation Center$49,745$49,745
GRF235-587Rural University Projects$1,403,624$1,403,624
GRF235-588Ohio Resource Center for Mathematics, Science, and Reading$1,000,000$1,000,000
GRF235-595International Center for Water Resources Development$189,381$189,381
GRF235-596Hazardous Materials Program$244,996$244,996
GRF235-599National Guard Scholarship Program$12,293,986$12,293,986
GRF235-909Higher Education General Obligation Debt Service$50,055,100$74,344,100
TOTAL GRF General Revenue Fund$2,635,550,021$2,734,410,439

General Services Fund Group
456235-603Publications$43,050$44,342
456235-613Job Preparation Initiative$144,383$144,383
TOTAL GSF General Services
Fund Group$187,433$188,725

Federal Special Revenue Fund Group
3H2235-608Human Services Project$1,000,000$1,000,000
3N6235-605State Student Incentive Grants$2,000,000$2,000,000
3T0235-610NHSC Ohio Loan Repayment$100,000$100,000
312235-609Tech Prep$183,852$183,852
312235-611Gear-up Grant$1,590,986$1,690,434
312235-612Carl D. Perkins Grant/Plan Administration$112,960$112,960
312235-631Federal Grants$2,055,511$0
TOTAL FED Federal Special Revenue
Fund Group$7,043,309$5,087,246

State Special Revenue Fund Group
4E8235-602HEFC Administration$12,000$12,000
4P4235-604Physician Loan Repayment$416,067$436,870
649235-607Ohio State University Highway/Transportation Research$511,000$523,775
682235-606Nursing Loan Program$870,000$893,000
TOTAL SSR State Special Revenue
Fund Group$1,809,067$1,865,645
TOTAL ALL BUDGET FUND GROUPS$2,644,589,830$2,741,552,055

Section 7.01.  STATE SHARE OF INSTRUCTION
As soon as practicable during each fiscal year of the 2001-2003 biennium in accordance with instructions of the Board of Regents, each state-assisted institution of higher education shall report its actual enrollment to the Board of Regents.
The Board of Regents shall establish procedures required by the system of formulas set out below and for the assignment of individual institutions to categories described in the formulas. The system of formulas establishes the manner in which aggregate expenditure requirements shall be determined for each of the three components of institutional operations. In addition to other adjustments and calculations described below, the subsidy entitlement of an institution shall be determined by subtracting from the institution's aggregate expenditure requirements income to be derived from the local contributions assumed in calculating the subsidy entitlements. The local contributions for purposes of determining subsidy support shall not limit the authority of the individual boards of trustees to establish fee levels.
The General Studies and Technical models shall be adjusted by the Board of Regents so that the share of state subsidy earned by those models is not altered by changes in the overall local share. A lower-division fee differential shall be used to maintain the relationship that would have occurred between these models and the baccalaureate models had an assumed share of thirty-seven per cent been funded.
In defining the number of full-time equivalent (FTE) students for state subsidy purposes, the Board of Regents shall exclude all undergraduate students who are not residents of Ohio, except those charged in-state fees in accordance with reciprocity agreements made pursuant to section 3333.17 or employer contracts entered into pursuant to section 3333.32 of the Revised Code.
(A) AGGREGATE EXPENDITURE PER FULL-TIME EQUIVALENT STUDENT
(1) INSTRUCTION AND SUPPORT SERVICES
MODELFY 2002FY 2003
General Studies I$ 4,481$ 4,904
General Studies II$ 5,046$ 5,299
General Studies III$ 6,101$ 6,652
Technical I$ 5,353$ 5,696
Technical III$ 8,854$ 9,044
Baccalaureate I$ 7,031$ 7,517
Baccalaureate II$ 7,875$ 8,310
Baccalaureate III$ 11,480$ 12,193
Masters and Professional I$ 13,338$ 13,875
Masters and Professional II$ 19,084$ 19,652
Masters and Professional III$ 25,869$ 26,577
Medical I$ 28,800$ 29,934
Medical II$ 40,152$ 40,981
Blended MPD I$ 14,163 $ 14,877

(2) STUDENT SERVICES
For this purpose, FTE counts shall be weighted to reflect differences among institutions in the numbers of students enrolled on a part-time basis.
MODELFY 2002FY 2003
General Studies I$ 694$ 747
General Studies II$ 704$ 747
General Studies III$ 687$ 747
Technical I$ 669$ 747
Technical III$ 675$ 747
Baccalaureate I$ 666$ 747
Baccalaureate II$ 663$ 747
Baccalaureate III$ 675$ 747
Masters and Professional I$ 680$ 747
Masters and Professional II$ 685$ 747
Masters and Professional III$ 694$ 747
Medical I$ 668$ 747
Medical II$ 668$ 747
Blended MPD I$ 668 $ 747

(B) PLANT OPERATION AND MAINTENANCE (POM)
(1) DETERMINATION OF THE SQUARE-FOOT-BASED POM SUBSIDY
Space undergoing renovation shall be funded at the rate allowed for storage space.
In the calculation of square footage for each campus, square footage shall be weighted to reflect differences in space utilization.
The space inventories for each campus shall be those determined in the fiscal year 1999 instructional subsidy, adjusted for changes attributable to the construction or renovation of facilities for which state appropriations were made or local commitments were made prior to January 1, 1995.
Only 50 per cent of the space permanently taken out of operation in fiscal year 2002 or fiscal year 2003 that is not otherwise replaced by a campus shall be deleted from the fiscal year 1997 inventory.
The square-foot-based plant operation and maintenance subsidy for each campus shall be determined as follows:
(a) For each standard room type category shown below, the subsidy-eligible net assignable square feet (NASF) for each campus shall be multiplied by the following rates, and the amounts summed for each campus to determine the total gross square-foot-based POM expenditure requirement:
FY 2002FY 2003
Classrooms$5.33$5.56
Laboratories$6.65$6.93
Offices$5.33$5.56
Audio Visual Data Processing$6.65$6.93
Storage$2.36$2.46
Circulation$6.73$7.01
Other$5.33$5.56

(b) The total gross square-foot POM expenditure requirement shall be allocated to models in proportion to FTE enrollments as reported in enrollment data for all models except Doctoral I and Doctoral II.
(c) The amounts allocated to models in division (B)(1)(b) of this section shall be multiplied by the ratio of subsidy-eligible FTE students to total FTE students reported in each model, and the amounts summed for all models. To this total amount shall be added an amount to support roads and grounds expenditures to produce the total square-foot-based POM subsidy.
(2) DETERMINATION OF THE ACTIVITY-BASED POM SUBSIDY
(a) The number of subsidy-eligible FTE students in each model shall be multiplied by the following rates for each campus for each fiscal year.
FY 2002FY 2003
General Studies I$ 537$ 543
General Studies II$ 669$ 686
General Studies III$1,424$1,565
Technical I$ 649$ 750
Technical II$1,315$1,436
Baccalaureate I$ 671$ 692
Baccalaureate II$1,175$1,263
Baccalaureate III$1,606$1,674
Masters and Professional I$1,138$1,217
Masters and Professional II$2,447$2,928
Masters and Professional III$3,363$3,932
Medical I$2,568$2,653
Medical II$3,470$3,581
Blended MPD I$1,135$1,192

(b) The sum of the products for each campus determined in division (B)(2)(a) of this section for all models except Doctoral I and Doctoral II for each fiscal year shall be weighted by a factor to reflect sponsored research activity and job training-related public services expenditures to determine the total activity-based POM subsidy.
(C) CALCULATION OF CORE SUBSIDY ENTITLEMENTS AND ADJUSTMENTS
(1) CALCULATION OF CORE SUBSIDY ENTITLEMENTS
The calculation of the core subsidy entitlement shall consist of the following components:
(a) For each campus and for each fiscal year, the core subsidy entitlement shall be determined by multiplying the amounts listed above in divisions (A)(1) and (2) and (B)(2) of this section less assumed local contributions, by (i) average subsidy-eligible FTEs for the two-year period ending in the prior year for all models except Doctoral I and Doctoral II; and (ii) average subsidy-eligible FTEs for the five-year period ending in the prior year for all models except Doctoral I and Doctoral II.
(b) In calculating the core subsidy entitlements for Medical II models only, the Board of Regents shall use the following count of FTE students in place of the two-year average and five-year average of subsidy-eligible students:
(i) For those medical schools whose current year enrollment is below the base enrollment, the Medical II FTE enrollment shall equal: 65 per cent of the base enrollment plus 35 per cent of the current year enrollment, where the base enrollment is:
The Ohio State University1010
University of Cincinnati833
Medical College of Ohio at Toledo650
Wright State University433
Ohio University433
Northeastern Ohio Universities College of Medicine433

(ii) For those medical schools whose current year enrollment is equal to or greater than the base enrollment, the Medical II FTE enrollment shall equal the current enrollment.
(c) For all FTE-based subsidy calculations involving annualized FTE data, FTE-based allowances shall be converted from annualized to all-terms rates to ensure equity and consistency of subsidy determination.
(d) The Board of Regents shall compute the sum of the two calculations listed in division (C)(1)(a) of this section and use the greater sum as the core subsidy entitlement.
The POM subsidy for each campus shall equal the greater of the square-foot-based subsidy or the activity-based POM subsidy component of the core subsidy entitlement.
(e) The state share of instruction provided for doctoral students shall be based on a fixed percentage of the total appropriation. In fiscal year 2002, not more than 10.34 per cent of the total state share of instruction shall be reserved to implement the recommendations of the Graduate Funding Commission. In fiscal year 2003, not more than 10.25 per cent of the total state share of instruction shall be reserved for the same purpose. It is the intent of the General Assembly that the doctoral reserve be reduced 0.25 percentage points each year thereafter until no more than 10.0 per cent of the total state share of instruction is reserved to implement the recommendations of the Graduate Funding Commission. The Board of Regents shall reallocate 4 per cent in fiscal year 2002 and 5 per cent in fiscal year 2003 of the reserve among the state-assisted universities on the basis of a quality review as specified in the recommendations of the Graduate Funding Commission.
The amount so reserved shall be allocated to universities in proportion to their share of the total number of Doctoral I equivalent FTEs as calculated on an institutional basis using the greater of the two-year or five-year FTEs for the period fiscal year 1994 through fiscal year 1998 with annualized FTEs for fiscal years 1994 through 1997 and all-term FTEs for fiscal year 1998 as adjusted to reflect the effects of doctoral review. For the purposes of this calculation, Doctoral I equivalent FTEs shall equal the sum of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.
(2) ANNUAL HOLD HARMLESS PROVISION
In addition to and after the other adjustment noted above, in fiscal year 2002 each campus shall have its state share of instruction adjusted to the extent necessary to provide an amount that is not less than 100 per cent of the state share of instruction received by the campus in fiscal year 2001. In fiscal year 2003, each campus shall have its state share of instruction adjusted to the extent necessary to provide an amount that is not less than 100 per cent of the state share of instruction received by the campus in fiscal year 2002.
(3) CAPITAL COMPONENT DEDUCTION
After all other adjustments have been made, instructional subsidy earnings shall be reduced for each campus by the amount, if any, by which debt service charged in Am. H.B. No. 748 of the 121st General Assembly, Am. Sub. H.B. No. 850 of the 122nd General Assembly, and Am. H.B. No. 640 of the 123rd General Assembly for that campus exceeds that campus's capital component earnings.
(D) REDUCTIONS IN EARNINGS
If the total state share of instruction earnings in any fiscal year exceed the total appropriations available for such purposes, the Board of Regents shall proportionately reduce the state share of instruction earnings for all campuses by a uniform percentage so that the systemwide sum equals available appropriations.
(E) EXCEPTIONAL CIRCUMSTANCES
Adjustments may be made to the state share of instruction payments and other subsidies distributed by the Board of Regents to state-assisted colleges and universities for exceptional circumstances. No adjustments for exceptional circumstances may be made without the recommendation of the Chancellor and the approval of the Controlling Board.
DISTRIBUTION OF STATE SHARE OF INSTRUCTION
The state share of instruction payments to the institutions shall be in substantially equal monthly amounts during the fiscal year, unless otherwise determined by the Director of Budget and Management pursuant to section 126.09 of the Revised Code. Payments during the first six months of the fiscal year shall be based upon the state share of instruction appropriation estimates made for the various institutions of higher education according to Board of Regents enrollment estimates. Payments during the last six months of the fiscal year shall be distributed after approval of the Controlling Board upon the request of the Board of Regents.
LAW SCHOOL SUBSIDY
The state share of instruction to state-supported universities for students enrolled in law schools in fiscal year 2002 and fiscal year 2003 shall be calculated by using the number of subsidy-eligible FTE law school students funded by state subsidy in fiscal year 1995 or the actual number of subsidy-eligible FTE law school students at the institution in the fiscal year, whichever is less.
Section 7.02. MISSION-BASED CORE FUNDING FOR HIGHER EDUCATION
JOBS CHALLENGE
Funds appropriated to appropriation item 235-415, Jobs Challenge, shall be distributed to state-assisted community and technical colleges, regional campuses of state-assisted universities, and other organizationally distinct and identifiable member campuses of the EnterpriseOhio Network in support of job of noncredit job-related training. In fiscal years 2002 and 2003, $2,836,620 and $2,893,352, respectively, shall be distributed as performance grants to EnterpriseOhio Network campuses based upon each campus's documented performance according to criteria established by the Board of Regents for increasing training and related services to businesses, industries, and public sector organizations.
Of the foregoing appropriation item 235-415, Jobs Challenge, $4,198,694 in each fiscal year shall be allocated to the Targeted Industries Training Grant Program to attract, develop, and retain business and industry strategically important to the state's economy.
Also, in fiscal years 2002 and 2003, $4,012,812 and $5,299,255, respectively, shall be allocated to the Non-credit Incentives Grant Program to reward two-year campuses for increasing the amount of non-credit skill upgrading services provided to Ohio employers and employees. The funds shall be distributed to campuses in proportion to each campus's share of noncredit job-related training revenues received by all campuses for the previous fiscal year. It is the intent of the General Assembly that this workforce development incentive component of the Jobs Challenge Program reward campus noncredit job-related training efforts in the same manner that the Research Challenge Program rewards campuses for their ability to obtain sponsored research revenues.
Of the foregoing appropriation item 235-415, Jobs Challenge, $2,500,000 in each fiscal year shall be allocated as an incentive to support local EnterpriseOhio Network Campus/Adult Workforce Education Center Partnerships. The purpose of the partnerships is to promote and deliver coordinated, comprehensive training to local employers. Each partnership shall include a formal agreement between one or more EnterpriseOhio Network campus and one or more adult workforce education center for the delivery of training services. The Department of Education and Board of Regents shall jointly award funds to certified EnterpriseOhio campus/adult workforce education center partnerships to offer training grants to eligible companies. A certified EnterpriseOhio Network/adult workforce education center partnership is one that has been documented and approved by the Board of Regents and the Department of Education according to partnership criteria established jointly by those agencies. An eligible company is one that meets the funding criteria of the Targeted Industries Training Grant Program. The amount set aside for the partnerships is designed to match an equal appropriation in the Department of Education's appropriation item 200-514, Post-Secondary/Adult Vocational Education. The Department of Education's appropriation also serves as a partnership-building incentive by allocating funds to local EnterpriseOhio Network campus/adult workforce education center partnerships.
ACCESS CHALLENGE
In each fiscal year, the foregoing appropriation item 235-418, Access Challenge, shall be distributed to Ohio's state-assisted access colleges and universities to freeze instructional and general fees for resident lower-division undergraduates at their fiscal year 2001 levels. For the purposes of this allocation, "access campuses" includes state-assisted community colleges, state community colleges, technical colleges, Shawnee State University, Central State University, Cleveland State University, the regional campuses of state-assisted universities, and, where they are organizationally distinct and identifiable, the community-technical colleges located at the University of Cincinnati, Youngstown State University, and the University of Akron.
In each year of the biennium, Access Challenge appropriations shall be allocated to eligible campuses according to the following methodology:
(A) Each campus shall receive an amount equal to four per cent of the product of its subsidy-eligible lower-division FTE student enrollments for the prior fiscal year multiplied by the unweighted average of in-state undergraduate instructional and general fees for community colleges, state community colleges, technical colleges, and regional campuses in fiscal year 2001.
(B) All remaining appropriations shall be allocated to each campus proportionate to its share of the sum of FTEs used in the distribution of access funds in the prior fiscal year updated with the most recent FTE data available.
For the purposes of this calculation, Cleveland State University's share of full-time equivalent (FTE) subsidy-eligible General Studies students shall equal its total FTE subsidy-eligible General Studies students multiplied by the ratio of the sum of FTE subsidy-eligible General Studies students enrolled in the community-technical colleges at the University of Toledo, the University of Cincinnati, Youngstown State University, and the University of Akron divided by the sum of FTE subsidy-eligible General Studies students enrolled at those same four universities. However, Cleveland State University shall not receive less in each year of the 2001-2003 biennium than the amount received in fiscal year 2001.
For the purposes of this calculation, Youngstown State University's enrollments shall be adjusted by the ratio of the sum of subsidy-eligible lower-division FTE student enrollments eligible for access funding to the sum of subsidy-eligible General Studies FTE student enrollments at Central State University and Shawnee State University, and for the following universities and their regional campuses: Ohio State University, Ohio University, Kent State University, Bowling Green State University, Miami University, the University of Cincinnati, the University of Akron, and Wright State University.
The tuition restraint required by these appropriations shall apply to resident lower-division undergraduate students enrolled at university regional campuses. Notwithstanding any other provision of law to the contrary, the annual increase in in-state undergraduate instructional and general fees for upper-division undergraduates enrolled at university regional campuses shall not exceed the maximum rate of increase authorized by law for in-state resident undergraduates enrolled at university main campuses.
For Central State University and Shawnee State University, the methodology shall consider the combined effects of Access Challenge appropriations and each institution's supplement when determining each institution's tuition restraint requirements in each year of the biennium. No such determination shall be made without the approval of the Office of Budget and Management. The fee restraint provisions shall not apply to campuses that do not receive an increase in Access Challenge allocations from one fiscal year to the next. The tuition restraint or reduction percentage shall not apply or be applied in the case of a particular access campus, if and to the extent such application would impair compliance with institutional covenants related to payment of debt charges on its bonds or notes issued prior to July 1, 2001, or on bonds or notes for which a pledge of fees, or new agreement for adjustment of fees, was approved prior to that date by the Board of Regents as referred to in this act.
SUCCESS CHALLENGE
The foregoing appropriation item 235-420, Success Challenge, shall be used by the Board of Regents to promote degree completion by students enrolled at a main campus of a state-assisted university.
In each fiscal year, two-thirds of the appropriations shall be distributed to state-assisted university main campuses in proportion to each campus's share of the total statewide bachelor's degrees granted by university main campuses to "at-risk" students. In fiscal years 2002 and 2003, an "at-risk" student means any undergraduate student who has received an Ohio Instructional Grant during the past ten years. An eligible institution shall not receive its share of this distribution until it has submitted a plan that addresses how the subsidy will be used to better serve at-risk students and increase their likelihood of successful completion of a bachelor's degree program. The Board of Regents shall disseminate to all state-supported institutions of higher education all such plans submitted by institutions that received Success Challenge funds.
In each fiscal year, one-third of the appropriations shall be distributed to university main campuses in proportion to each campus's share of the total bachelor's degrees granted by university main campuses to undergraduate students who completed their bachelor's degrees in a "timely manner" in the previous fiscal year. For the purposes of this section, "timely manner" means the normal time it would take for a full-time degree-seeking undergraduate student to complete the student's degree. Generally, for such students pursuing a bachelor's degree, "timely manner" means four years. Exceptions to this general rule shall be permitted for students enrolled in programs specifically designed to be completed in a longer time period. The Board of Regents shall collect base-line data beginning with the 1998-99 academic year to assess the timely completion statistics by university main campuses.
EMINENT SCHOLARS PROGRAM
The foregoing appropriation item 235-451, Eminent Scholars, shall be used by the Board of Regents to continue the Ohio Eminent Scholars Program, the purpose of which is to invest educational resources to address problems that are of vital statewide significance while fostering the growth in eminence of Ohio's academic programs. Endowment grants of $750,000 to state colleges and universities and nonprofit Ohio institutions of higher education holding certificates of authorization issued under section 1713.02 of the Revised Code to match endowment gifts from nonstate sources may be made in accordance with a plan established by the Board of Regents. Matching gifts in science and technology programs shall be $750,000, and in all other program areas, $500,000. The grants shall have as their purpose attracting and sustaining in Ohio scholar-leaders of national or international prominence who will assist the state in one of the following three areas: (1) improving the state's economic development; (2) strengthening the state's system of K-12 education; or (3) improving public health and safety. Such scholar-leaders shall, among their duties, share broadly the benefits and knowledge unique to their field of scholarship to the betterment of Ohio and its people.
RESEARCH CHALLENGE
The foregoing appropriation item 235-454, Research Challenge, shall be used to enhance the basic research capabilities of public colleges and universities and accredited Ohio institutions of higher education holding certificates of authorization issued pursuant to section 1713.02 of the Revised Code, in order to strengthen academic research for pursuing Ohio's economic redevelopment goals. The Board of Regents, in consultation with the colleges and universities, shall administer the Research Challenge Program and utilize a means of matching, on a fractional basis, external funds attracted in the previous year by institutions for basic research. The program may include incentives for increasing the amount of external research funds coming to eligible institutions and for focusing research efforts upon critical state needs. Colleges and universities shall submit for review and approval to the Board of Regents plans for the institutional allocation of state dollars received through the program. The institutional plans shall provide the rationale for the allocation in terms of the strategic targeting of funds for academic and state purposes, for strengthening research programs, and for increasing the amount of external research funds, and shall include an evaluation process to provide results of the increased support.
The Board of Regents shall submit a biennial report of progress to the General Assembly.
COMPUTER SCIENCE GRADUATE EDUCATION
The foregoing appropriation item 235-554, Computer Science Graduate Education, shall be used by the Board of Regents to support improvements in graduate programs in computer science at state-assisted universities. In each fiscal year, up to $200,000 may be used to support collaborative efforts in graduate education in this program area.
Section 7.03.  HIGHER EDUCATION - BOARD OF TRUSTEES
Funds appropriated for instructional subsidies at colleges and universities may be used to provide such branch or other off-campus undergraduate courses of study and such master's degree courses of study as may be approved by the Board of Regents.
In providing instructional and other services to students, boards of trustees of state-assisted institutions of higher education shall supplement state subsidies by income from charges to students. Each board shall establish the fees to be charged to all students, including an instructional fee for educational and associated operational support of the institution and a general fee for noninstructional services, including locally financed student services facilities used for the benefit of enrolled students. The instructional fee and the general fee shall encompass all charges for services assessed uniformly to all enrolled students. Each board may also establish special purpose fees, service charges, and fines as required; such special purpose fees and service charges shall be for services or benefits furnished individual students or specific categories of students and shall not be applied uniformly to all enrolled students. A tuition surcharge shall be paid by all students who are not residents of Ohio.
Boards of trustees of individual state-assisted universities shall limit combined university main campus in-state undergraduate instructional and general fee increases for an academic year over the amounts charged in the prior academic year to no more than six per cent. The boards of trustees of individual state-assisted universities shall not authorize combined university main campus in-state undergraduate instructional and general fee increases of more than four per cent in a single vote. These fee increase limitations apply even if an institutional board of trustees has, prior to the effective date of this section, voted to assess a higher fee for the 2001-2002 academic year. These limitations shall not apply to increases required to comply with institutional covenants related to their obligations or to meet unfunded legal mandates or legally binding obligations incurred or commitments made prior to the effective date of this section with respect to which the institution had identified such fee increases as the source of funds. Any increase required by such covenants and any such mandates, obligations, or commitments shall be reported by the Board of Regents to the Controlling Board. These limitations may also be modified by the Board of Regents, with the approval of the Controlling Board, to respond to exceptional circumstances as identified by the Board of Regents.
The board of trustees of a state-assisted institution of higher education shall not authorize a waiver or nonpayment of instructional fees or general fees for any particular student or any class of students other than waivers specifically authorized by law or approved by the Chancellor. This prohibition is not intended to limit the authority of boards of trustees to provide for payments to students for services rendered the institution, nor to prohibit the budgeting of income for staff benefits or for student assistance in the form of payment of such instructional and general fees.
Each state-assisted institution of higher education in its statement of charges to students shall separately identify the instructional fee, the general fee, the tuition charge, and the tuition surcharge. Fee charges to students for instruction shall not be considered to be a price of service but shall be considered to be an integral part of the state government financing program in support of higher educational opportunity for students.
In providing the appropriations in support of instructional services at state-assisted institutions of higher education and the appropriations for other instruction it is the intent of the General Assembly that faculty members shall devote a proper and judicious part of their work week to the actual instruction of students. Total class credit hours of production per quarter per full-time faculty member is expected to meet the standards set forth in the budget data submitted by the Board of Regents.
The authority of government vested by law in the boards of trustees of state-assisted institutions of higher education shall in fact be exercised by those boards. Boards of trustees may consult extensively with appropriate student and faculty groups. Administrative decisions about the utilization of available resources, about organizational structure, about disciplinary procedure, about the operation and staffing of all auxiliary facilities, and about administrative personnel shall be the exclusive prerogative of boards of trustees. Any delegation of authority by a board of trustees in other areas of responsibility shall be accompanied by appropriate standards of guidance concerning expected objectives in the exercise of such delegated authority and shall be accompanied by periodic review of the exercise of this delegated authority to the end that the public interest, in contrast to any institutional or special interest, shall be served.
OSU LIMITED TUITION CAP EXEMPTION
In addition to the six per cent main campus in-state undergraduate instructional and general fee increase limit established in this section, the board of trustees of The Ohio State University may authorize an additional university main campus in-state undergraduate instructional and general fee increase for academic years 2002 and 2003 over the amounts charged in the prior academic years of no more than a $4 per credit hour per quarter increase, or $144 for a full-time student for an academic year.
The amount of this increase above the six per cent main campus in-state undergraduate instructional and graduate fee increase limit established in this section shall be used exclusively to enhance undergraduate education. Areas of enhancement shall include increased financial aid for undergraduate students and improvements in academic programming and support services for undergraduate students pursuant to a plan approved by the board of trustees of The Ohio State University. The Ohio State University shall ensure that the additional increases above the six per cent main campus in-state undergraduate instructional and graduate fee do not limit access to academically qualified financial aid-eligible students.
By December 30, 2002, The Ohio State University shall provide a report to the Board of Regents that indicates how the additional funds have been utilized to enhance undergraduate education during that period.
Section 7.04.  MEDICAL SCHOOL SUBSIDIES
The foregoing appropriation item 235-515, CWRU School of Medicine, shall be disbursed to Case Western Reserve University through the Board of Regents in accordance with agreements entered into as provided for by section 3333.10 of the Revised Code, provided that the state support per full-time medical student shall not exceed that provided to full-time medical students at state universities.
The foregoing appropriation items 235-536, Ohio State University Clinical Teaching; 235-537, University of Cincinnati Clinical Teaching; 235-538, Medical College of Ohio at Toledo Clinical Teaching; 235-539, Wright State University Clinical Teaching; 235-540, Ohio University Clinical Teaching; and 235-541, Northeastern Ohio Universities College of Medicine Clinical Teaching, shall be distributed through the Board of Regents.
The foregoing appropriation item 235-572, Ohio State University Clinic Support, shall be distributed through the Board of Regents to The Ohio State University for support of dental and veterinary medicine clinics.
The Board of Regents shall develop plans consistent with existing criteria and guidelines as may be required for the distribution of appropriation items 235-519, Family Practice, 235-525, Geriatric Medicine, and 235-526, Primary Care Residencies.
Of the foregoing appropriation item 235-539, Wright State University Clinical Teaching, $160,000 in each fiscal year shall be for the use of Wright State University's Ellis Institute for Clinical Teaching Studies to operate the clinical facility to serve the Greater Dayton area.
PERFORMANCE STANDARDS FOR MEDICAL EDUCATION
The Board of Regents, in consultation with the state-assisted medical colleges, shall develop performance standards for medical education. Special emphasis in the standards shall be placed on attempting to ensure that at least 50 per cent of the aggregate number of students enrolled in state-assisted medical colleges continue to enter residency as primary care physicians. Primary care physicians are general family practice physicians, general internal medicine practitioners, and general pediatric care physicians. The Board of Regents shall monitor medical school performance in relation to their plans for reaching the 50 per cent systemwide standard for primary care physicians.
The foregoing appropriation item 235-526, Primary Care Residencies, shall be distributed in each fiscal year of the biennium, based on whether the institution has submitted and gained approval for a plan. If the institution does not have an approved plan, it shall receive five per cent less funding per student than it would have received from its annual allocation. The remaining funding shall be distributed among those institutions that meet or exceed their targets.
AREA HEALTH EDUCATION CENTERS
The foregoing appropriation item 235-474, AHEC Program Support, shall be used by the Board of Regents to support the medical school regional area health education centers' educational programs for the continued support of medical and other health professions education and for support of the Area Health Education Center Program.
Of the foregoing appropriation item 235-474, AHEC Program Support, $200,000 in each fiscal year shall be disbursed to the Ohio University College of Osteopathic Medicine for the establishment of a mobile health care unit to serve the southeastern area of the state. Of the foregoing appropriation item 235-474, AHEC Program Support, $150,000 in each fiscal year shall be used to support the Ohio Valley Community Health Information Network (OVCHIN) project.
Section 7.05. MIDWEST HIGHER EDUCATION COMPACT
The foregoing appropriation item 235-408, Midwest Higher Education Compact, shall be distributed by the Board of Regents pursuant to section 3333.40 of the Revised Code.
COLLEGE READINESS INITIATIVES
Appropriation item 235-404, College Readiness Initiatives, shall be used by the Board of Regents to support programs designed to improve the ability of high school students to enroll and succeed in higher education.
MATHEMATICS AND SCIENCE TEACHING IMPROVEMENT
Appropriation item 235-403, Math/Science Teaching Improvement, shall be used by the Board of Regents to support programs designed to raise the quality of mathematics and science teaching in primary and secondary education.
OHIO LEARNING NETWORK
Appropriation item 235-417, Ohio Learning Network, shall be used by the Board of Regents to support the continued implementation of the Ohio Learning Network, a statewide electronic collaborative effort designed to promote degree completion of students, workforce training of employees, and professional development through the use of advanced telecommunications and distance education initiatives.
DISPLACED HOMEMAKERS
Out of the foregoing appropriation item 235-509, Displaced Homemakers, the Board of Regents shall continue funding pilot projects authorized in Am. Sub. H.B. No. 291 of the 115th General Assembly for the following centers: Cuyahoga Community College, University of Toledo, Southern State Community College, and Stark Technical College. The amount of $30,000 in each fiscal year shall be used for the Baldwin-Wallace Single Parents Reaching Out for Unassisted Tomorrows program.
OHIO AEROSPACE INSTITUTE
The foregoing appropriation item 235-527, Ohio Aerospace Institute, shall be distributed by the Board of Regents under section 3333.042 of the Revised Code.
PRODUCTIVITY IMPROVEMENT CHALLENGE
The foregoing appropriation item 235-455, Productivity Improvement Challenge, shall be allocated by the Board of Regents to continue increasing the capabilities of the EnterpriseOhio Network to meet the ongoing training needs of Ohio employers. Funds shall support multicampus collaboration, best practice dissemination, and capacity building projects. The Regents Advisory Committee for Workforce Development, in its advisory role, shall advise in the development of plans and activities.
Of the foregoing appropriation item 235-455, Productivity Improvement Challenge, $208,000 in each fiscal year shall be used by the Dayton Business/Sinclair College Jobs Profiling Program.
ACCESS IMPROVEMENT PROJECTS
The foregoing appropriation item 235-477, Access Improvement Projects, shall be used by the Board of Regents to develop innovative statewide strategies to increase student access and retention for specialized populations, and to provide for pilot projects that will contribute to improving access to higher education by specialized populations. The funds may be used for projects that improve access for nonpublic secondary students.
Of the foregoing appropriation item 235-477, Access Improvement Projects, $740,000 in each fiscal year shall be distributed to the Appalachian Center for Higher Education at Shawnee State University. The board of directors of the center shall consist of the presidents of Shawnee State University, Ohio University, Belmont Technical College, Hocking Technical College, Jefferson Technical College, Muskingum Area Technical College, Rio Grande Community College, Southern State Community College, and Washington State Community College; the dean of either the Salem or East Liverpool regional campus of Kent State University, as designated by the president of Kent State University; a representative of the Board of Regents designated by the Chancellor; and other members as may be determined by the Board of Regents.
OHIO SUPERCOMPUTER CENTER
The foregoing appropriation item 235-510, Ohio Supercomputer Center, shall be used by the Board of Regents to support the operation of the center, located at The Ohio State University, as a statewide resource available to Ohio research universities both public and private. It is also intended that the center be made accessible to private industry as appropriate. Policies of the center shall be established by a governance committee, representative of Ohio's research universities and private industry, to be appointed by the Chancellor of the Board of Regents and established for this purpose.
OHIO ACADEMIC RESOURCES NETWORK (OARNET)
The foregoing appropriation item 235-556, Ohio Academic Resource Network, shall be used to support the operations of the Ohio Academic Resource Network, which shall include support for Ohio's state-assisted colleges and universities in maintaining and enhancing network connections.
Section 7.06. PLEDGE OF FEES*
Any new pledge of fees, or new agreement for adjustment of fees, made in the 2001-2003 biennium to secure bonds or notes of a state-assisted institution of higher education for a project for which bonds or notes were not outstanding on the effective date of this section shall be effective only after approval by the Board of Regents, unless approved in a previous biennium.
HIGHER EDUCATION GENERAL OBLIGATION DEBT SERVICE
The foregoing appropriation item 235-909, Higher Education General Obligation Debt Service, shall be used to pay all debt service and financing costs at the times they are required to be made pursuant to sections 151.01 and 151.04 of the Revised Code during the period from July 1, 2001, to June 30, 2003. The Office of the Sinking Fund or the Director of Budget and Management shall effectuate the required payments by an interstate transfer voucher.
LEASE-RENTAL PAYMENTS
The foregoing appropriation item 235-401, Lease-Rental Payments, shall be used to meet all payments at the times they are required to be made during the period from July 1, 2001, to June 30, 2003, by the Board of Regents pursuant to leases and agreements made under section 154.21 of the Revised Code, but limited to the aggregate amount of $563,969,000. Nothing in this act shall be deemed to contravene the obligation of the state to pay, without necessity for further appropriation, from the sources pledged thereto, the bond service charges on obligations issued pursuant to section 154.21 of the Revised Code.
Section 7.07. OHIO INSTRUCTIONAL GRANTS
Notwithstanding section 3333.12 of the Revised Code, in lieu of the tables in that section, instructional grants for all full-time students shall be made for fiscal year 2002 using the tables under this heading.
The tables under this heading prescribe the maximum grant amounts covering two semesters, three quarters, or a comparable portion of one academic year. The grant amount for a full-time student enrolled in an eligible institution for a semester or quarter in addition to the portion of the academic year covered by a grant determined under these tables shall be a percentage of the maximum prescribed in the applicable table. The maximum grant for a fourth quarter shall be one-third of the maximum amount prescribed under the table. The maximum grant for a third semester shall be one-half of the maximum amount prescribed under the table.
For a full-time student who is a dependent and enrolled in a nonprofit educational institution that is not a state-assisted institution and that has a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Private Institution
Table of Grants
Maximum Grant $5,160
Gross IncomeNumber of Dependents

12345 or more

Under $14,000$5,160$5,160$5,160$5,160$5,160
$14,001 - $15,000 4,6445,1605,160 5,160 5,160
$15,001 - $16,0004,1164,6445,160 5,160 5,160
$16,001 - $17,0003,6124,1164,6445,1605,160
$17,001 - $18,0003,1023,6124,1164,6445,160
$18,001 - $21,0002,5863,1023,6124,1164,644
$21,001 - $24,0002,0582,5863,1023,6124,116
$24,001 - $27,0001,5362,0582,5863,1023,612
$27,001 - $30,0001,2721,5362,0582,5863,102
$30,001 - $31,0001,0201,2721,5362,0582,586
$31,001 - $32,0009301,0201,2721,5362,058
$32,001 - $33,0008409301,0201,2721,536
$33,001 - $34,0004208409301,0201,272
$34,001 - $35,000--4208409301,020
$35,001 - $36,000----420840930
$36,001 - $37,000------420840
$37,001 - $38,000--------420

For a full-time student who is financially independent and enrolled in a nonprofit educational institution that is not a state-assisted institution and that has a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Private Institution
Table of Grants
Maximum Grant $5,160
Gross IncomeNumber of Dependents

012345 or more

Under $4,500$5,160$5,160$5,160$5,160$5,160$5,160
$4,501 - $5,000 4,644 5,160 5,160 5,160 5,160 5,160
$5,001 - $5,500 4,1164,644 5,160 5,160 5,160 5,160
$5,501 - $6,000 3,6124,1164,644 5,160 5,160 5,160
$6,001 - $6,5003,1023,6124,1164,6445,1605,160
$6,501 - $7,000 2,5863,1023,6124,1164,644 5,160
$7,001 - $8,000 2,0582,5863,1023,6124,1164,644
$8,001 - $9,000 1,5362,0582,5863,1023,6124,116
$9,001 - $10,000 1,2721,5362,0582,5863,1023,612
$10,001 - $11,500 1,0201,2721,5362,0582,5863,102
$11,501 - $13,000 9301,0201,2721,5362,0582,586
$13,001 - $14,500 8409301,0201,2721,5362,058
$14,501 - $16,000 4208409301,0201,2721,536
$16,001 - $19,000 -- 4208409301,0201,272
$19,001 - $22,000 -- -- 4208409301,020
$22,001 - $25,000 -- -- -- 420840930
$25,001 - $30,000 -- -- -- -- 420840
$30,001 - $35,000 -- -- -- -- -- 420

For a full-time student who is a dependent and enrolled in an educational institution that holds a certificate of registration from the state board of proprietary school registration, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Proprietary Institution
Table of Grants
Maximum Grant $4,374
Gross IncomeNumber of Dependents

12345 or more

Under $14,000$4,374$4,374$4,374$4,374$4,374
$14,001 - $15,000 3,9484,3744,3744,3744,374
$15,001 - $16,0003,4803,9484,3744,3744,374
$16,001 - $17,0003,0423,4803,9484,3744,374
$17,001 - $18,0002,6343,0423,4803,9484,374
$18,001 - $21,0002,1662,6343,0423,4803,948
$21,001 - $24,0001,7522,1662,6343,0423,480
$24,001 - $27,0001,3381,7522,1662,6343,042
$27,001 - $30,0001,0741,3381,7522,1662,634
$30,001 - $31,0008581,0741,3381,7522,166
$31,001 - $32,0008048581,0741,3381,752
$32,001 - $33,0007088048581,0741,338
$33,001 - $34,0003547088048581,074
$34,001 - $35,000--354708804858
$35,001 - $36,000----354708804
$36,001 - $37,000------354708
$37,001 - $38,000--------354

For a full-time student who is financially independent and enrolled in an educational institution that holds a certificate of registration from the state board of proprietary school registration, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Proprietary Institution
Table of Grants
Maximum Grant $4,374
Gross IncomeNumber of Dependents

012345 or more

Under $4,500$4,374$4,374$4,374$4,374$4,374$4,374
$4,501 - $5,000 3,9484,3744,374 4,3744,3744,374
$5,001 - $5,500 3,4803,9484,374 4,3744,3744,374
$5,501 - $6,000 3,0423,4803,9484,3744,3744,374
$6,001 - $6,500 2,6343,0423,4803,9484,3744,374
$6,501 - $7,000 2,1662,6343,0423,4803,9484,374
$7,001 - $8,000 1,7522,1662,6343,0423,4803,948
$8,001 - $9,000 1,3381,7522,1662,6343,0423,480
$9,001 - $10,000 1,0741,3381,7522,1662,6343,042
$10,001 - $11,500 8581,0741,3381,7522,1662,634
$11,501 - $13,000 8048581,0741,3381,7522,166
$13,001 - $14,500 7088048581,0741,3381,752
$14,501 - $16,000 3547088048581,0741,338
$16,001 - $19,000 -- 3547088048581,074
$19,001 - $22,000 -- -- 354708804858
$22,001 - $25,000 -- -- -- 354708804
$25,001 - $30,000 -- -- -- -- 354708
$30,001 - $35,000 -- -- -- -- -- 354

For a full-time student who is a dependent and enrolled in a state-assisted educational institution, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Public Institution
Table of Grants
Maximum Grant $2,070
Gross IncomeNumber of Dependents

12345 or more

Under $14,000$2,070$2,070$2,070$2,070$2,070
$14,001 - $15,000 1,8662,0702,0702,0702,070
$15,001 - $16,0001,6441,8662,0702,0702,070
$16,001 - $17,0001,4581,6441,8662,0702,070
$17,001 - $18,0001,2481,4581,6441,8662,070
$18,001 - $21,0001,0201,2481,4581,6441,866
$21,001 - $24,0008161,0201,2481,4581,644
$24,001 - $27,0006128161,0201,2481,458
$27,001 - $30,0004926128161,0201,248
$30,001 - $31,0003964926128161,020
$31,001 - $32,000366396492612816
$32,001 - $33,000336366396492612
$33,001 - $34,000168336366396492
$34,001 - $35,000--168336366396
$35,001 - $36,000----168336366
$36,001 - $37,000------168336
$37,001 - $38,000--------168

For a full-time student who is financially independent and enrolled in a state-assisted educational institution, the amount of the instructional grant for two semesters, three quarters, or a comparable portion of the academic year shall be determined in accordance with the following table:
Public Institution
Table of Grants
Maximum Grant $2,070
Gross IncomeNumber of Dependents

12345 or more

Under $14,000$2,070$2,070$2,070$2,070$2,070
$14,001 - $15,000 1,8662,0702,0702,0702,070
$15,001 - $16,0001,6441,8662,0702,0702,070
$16,001 - $17,0001,4581,6441,8662,0702,070
$17,001 - $18,0001,2481,4581,6441,8662,070
$18,001 - $21,0001,0201,2481,4581,6441,866
$21,001 - $24,0008161,0201,2481,4581,644
$24,001 - $27,0006128161,0201,2481,458
$27,001 - $30,0004926128161,0201,248
$30,001 - $31,0003964926128161,020
$31,001 - $32,000366396492612816
$32,001 - $33,000336366396492612
$33,001 - $34,000168336366396492
$34,001 - $35,000--168336366396
$35,001 - $36,000----168336366
$36,001 - $37,000------168336
$37,001 - $38,000--------168

The foregoing appropriation item 235-503, Ohio Instructional Grants, shall be used to make the payments authorized by division (C) of section 3333.26 of the Revised Code to the institutions described in that division. In addition, this appropriation shall be used to reimburse the institutions described in division (B) of section 3333.26 of the Revised Code for the cost of the waivers required by that division.
WAR ORPHANS SCHOLARSHIPS
The foregoing appropriation item 235-504, War Orphans Scholarships, shall be used to reimburse state-assisted institutions of higher education for waivers of instructional fees and general fees provided by them, to provide grants to institutions that have received a certificate of authorization from the Ohio Board of Regents under Chapter 1713. of the Revised Code, in accordance with the provisions of section 5910.04 of the Revised Code, and to fund additional scholarship benefits provided by section 5910.032 of the Revised Code.
PART-TIME STUDENT INSTRUCTIONAL GRANTS
The foregoing appropriation item 235-549, Part-time Student Instructional Grants, shall be used to support a grant program for part-time undergraduate students who are Ohio residents and who are enrolled in degree granting programs.
Eligibility for participation in the program shall include degree granting educational institutions that hold a certificate of registration from the State Board of Proprietary School Registration, and nonprofit institutions that have a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code, as well as state-assisted colleges and universities. Grants shall be given to students on the basis of need, as determined by the college, which, in making these determinations, shall give special consideration to single-parent heads-of-household and displaced homemakers who enroll in an educational degree program that prepares the individual for a career. In determining need, the college also shall consider the availability of educational assistance from a student's employer. It is the intent of the General Assembly that these grants not supplant such assistance.
Section 7.08. CAPITOL SCHOLARSHIP PROGRAMS
The foregoing appropriation item 235-518, Capitol Scholarship Programs, shall be used to provide 125 scholarships in each fiscal year in the amount of $2,000 each for students enrolled in Ohio's public and private institutions of higher education to participate in the Washington Center Internship Program. The scholarships shall be matched by the Washington Center's scholarship funds.
STUDENT CHOICE GRANTS
The foregoing appropriation item 235-531, Student Choice Grants, shall be used to support the Student Choice Grant Program created by section 3333.27 of the Revised Code.
ACADEMIC SCHOLARSHIPS
The foregoing appropriation item 235-530, Academic Scholarships, shall be used to provide academic scholarships to students under section 3333.22 of the Revised Code. The annual scholarship amount awarded to any student who receives a scholarship for the 2001-2002 and 2002-2003 academic years shall be $2,000.
PHYSICIAN LOAN REPAYMENT
The foregoing appropriation item 235-604, Physician Loan Repayment, shall be used in accordance with sections 3702.71 to 3702.81 of the Revised Code.
NURSING LOAN PROGRAM
The foregoing appropriation item 235-606, Nursing Loan Program, shall be used to administer the nurse education assistance program. Up to $159,600 in fiscal year 2002 and $167,580 in fiscal year 2003 may be used for operating expenses associated with the program. Any additional funds needed for the administration of the program are subject to Controlling Board approval.
Section 7.09. COOPERATIVE EXTENSION SERVICE
Of the foregoing appropriation item 235-511, Cooperative Extension Service, $210,000 in each fiscal year shall be used for additional staffing for county agents for expanded 4-H activities. Of the foregoing appropriation item 235-511, Cooperative Extension Service, $210,000 in each fiscal year shall be used by the Cooperative Extension Service, through the Enterprise Center for Economic Development in cooperation with other agencies, for a public-private effort to create and operate a small business economic development program to enhance the development of alternatives to the growing of tobacco, and implement, through applied research and demonstration, the production and marketing of other high-value crops and value-added products. Of the foregoing appropriation item 235-511, Cooperative Extension Service, $65,000 in each fiscal year shall be used for farm labor mediation and education programs. Of the foregoing appropriation item 235-511, Cooperative Extension Service, $215,000 in each fiscal year shall be used to support the Ohio State University Marion Enterprise Center.
Of the foregoing appropriation item 235-511, Cooperative Extension Service, $910,500 in each fiscal year shall be used to support the Ohio Watersheds Initiative.
AGRICULTURAL RESEARCH AND DEVELOPMENT CENTER
Of the foregoing appropriation item 235-535, Agricultural Research and Development Center, $950,000 in each fiscal year shall be distributed to the Piketon Agricultural Research and Extension Center.
Of the foregoing appropriation item 235-535, Agricultural Research and Development Center, $250,000 in each fiscal year shall be distributed to the Raspberry/Strawberry-Ellagic Acid Research program at the Ohio State University Medical College in cooperation with the Ohio State University College of Agriculture.
Of the foregoing appropriation item 235-535, Agricultural Research and Development Center, $50,000 in each fiscal year shall be used to support the Ohio Berry Administrator.
Of the foregoing appropriation item 235-535, Agricultural Research and Development Center, $100,000 in each fiscal year shall be used for the development of agricultural crops and products not currently in widespread production in Ohio, in order to increase the income and viability of family farmers.
COOPERATIVE EXTENSION SERVICE AND AGRICULTURAL RESEARCH AND DEVELOPMENT CENTER
The foregoing appropriation items 235-511, Cooperative Extension Service, and 235-535, Agricultural Research and Development Center, shall be disbursed through the Board of Regents to The Ohio State University in monthly payments, unless otherwise determined by the Director of Budget and Management pursuant to section 126.09 of the Revised Code. Of the foregoing appropriation item 235-535, Agricultural Research and Development Center, $540,000 in each fiscal year shall be used to purchase equipment.
The Ohio Agricultural Research and Development Center shall not be required to remit payment to The Ohio State University during the 2001-2003 biennium for cost reallocation assessments. The cost reallocation assessments include, but are not limited to, any assessment on state appropriations to the center.
Section 7.10.  SEA GRANTS
The foregoing appropriation item 235-402, Sea Grants, shall be disbursed to The Ohio State University and shall be used to conduct research on fish in Lake Erie.
INFORMATION SYSTEM
The foregoing appropriation item 235-409, Information System, shall be used by the Board of Regents to operate the higher education information data system known as the Higher Education Information System.
STUDENT SUPPORT SERVICES
The foregoing appropriation item 235-502, Student Support Services, shall be distributed by the Board of Regents to Ohio's state-assisted colleges and universities that incur disproportionate costs in the provision of support services to disabled students.
CENTRAL STATE SUPPLEMENT
The foregoing appropriation item 235-514, Central State Supplement, shall be used by Central State University to keep undergraduate fees below the statewide average, consistent with its mission of service to many first-generation college students from groups historically underrepresented in higher education and from families with limited incomes.
SHAWNEE STATE SUPPLEMENT
The foregoing appropriation item 235-520, Shawnee State Supplement, shall be used by Shawnee State University as detailed by both of the following:
(A) To allow Shawnee State University to keep its undergraduate fees below the statewide average, consistent with its mission of service to an economically depressed Appalachian region;
(B) To allow Shawnee State University to employ new faculty to develop and teach in new degree programs that meet the needs of Appalachians.
POLICE AND FIRE PROTECTION
The foregoing appropriation item 235-524, Police and Fire Protection, shall be used for police and fire services in the municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green, Portsmouth, Xenia Township (Greene County), and Rootstown Township, which may be used to assist these local governments in providing police and fire protection for the central campus of the state-affiliated university located therein. Each participating municipality and township shall receive at least five thousand dollars per year. Funds shall be distributed by the Board of Regents.
SCHOOL OF INTERNATIONAL BUSINESS
Of the foregoing appropriation item 235-547, School of International Business, $1,243,637 in each fiscal year shall be used for the continued development and support of the School of International Business of the state universities of northeast Ohio. The money shall go to the University of Akron. These funds shall be used by the university to establish a School of International Business located at the University of Akron. It may confer with Kent State University, Youngstown State University, and Cleveland State University as to the curriculum and other matters regarding the school.
Of the foregoing appropriation item 235-547, School of International Business, $250,000 in each fiscal year shall be used to support the University of Toledo International Business Institute.
Of the foregoing appropriation item 235-547, School of International Business, $250,000 in each fiscal year shall be used to support the Ohio State University MUCIA program.
CAPITAL COMPONENT
The foregoing appropriation item 235-552, Capital Component, shall be used by the Board of Regents to implement the capital funding policy for state-assisted colleges and universities established in Am. H.B. No. 748 of the 121st General Assembly. Appropriations from this item shall be distributed to all campuses for which the estimated campus debt service attributable to new qualifying capital projects is less than the campus's formula-determined capital component allocation. Campus allocations shall be determined by subtracting the estimated campus debt service attributable to new qualifying capital projects from the campus formula-determined capital component allocation. Moneys distributed from this appropriation item shall be restricted to capital-related purposes.
DAYTON AREA GRADUATE STUDIES INSTITUTE
The foregoing appropriation item 235-553, Dayton Area Graduate Studies Institute, shall be used by the Board of Regents to support the Dayton Area Graduate Studies Institute, an engineering graduate consortium of three universities in the Dayton area: Wright State University, the University of Dayton, and the Air Force Institute of Technology, with the participation of the University of Cincinnati and The Ohio State University.
LONG-TERM CARE RESEARCH
The foregoing appropriation item 235-558, Long-term Care Research, shall be disbursed to Miami University for long-term care research.
BGSU CANADIAN STUDIES CENTER
The foregoing appropriation item 235-561, BGSU Canadian Studies Center, shall be used by the Canadian Studies Center at Bowling Green State University to study opportunities for Ohio and Ohio businesses to benefit from the Free Trade Agreement between the United States and Canada.
URBAN UNIVERSITY PROGRAMS
Of the foregoing appropriation item 235-583, Urban University Programs, universities receiving funds that are used to support an ongoing university unit shall certify periodically in a manner approved by the Board of Regents that program funds are being matched on a one-to-one basis with equivalent resources. Overhead support may not be used to meet this requirement. Where Urban University Program funds are being used to support an ongoing university unit, matching funds must come from continuing rather than one-time sources. At each participating state-assisted institution of higher education, matching funds must be within the substantial control of the individual designated by the institution's president as the Urban University Program representative.
Of the foregoing appropriation item 235-583, Urban University Programs, $380,000 in each fiscal year shall be used to support a public communication outreach program (WCPN). The primary purpose of the program shall be to develop a relationship between Cleveland State University and nonprofit communications entities.
Of the foregoing appropriation item 235-583, Urban University Programs, $180,000 in each fiscal year shall be used to support the Center for the Interdisciplinary Study of Education and the Urban Child at Cleveland State University. These funds shall be distributed according to rules adopted by the Board of Regents and shall be used by the center for interdisciplinary activities targeted toward increasing the chance of lifetime success of the urban child, including interventions beginning with the prenatal period. The primary purpose of the center is to study issues in urban education and to systematically map directions for new approaches and new solutions by bringing together a cadre of researchers, scholars, and professionals representing the social, behavioral, education, and health disciplines.
Of the foregoing appropriation item 235-583, Urban University Programs, $260,000 in each fiscal year shall be used to support the Kent State University Learning and Technology Project. This project is a kindergarten through university collaboration between schools surrounding Kent's eight campuses in northeast Ohio, and corporate partners who will assist in development and delivery.
The Kent State University Project shall provide a faculty member who has a full-time role in the development of collaborative activities and teacher instructional programming between Kent and the K-12th grade schools that surround its eight campuses; appropriate student support staff to facilitate these programs and joint activities; and hardware and software to schools that will make possible the delivery of instruction to pre-service and in-service teachers, and their students, in their own classrooms or school buildings. This shall involve the delivery of low-bandwidth streaming video and web-based technologies in a distributed instructional model.
Of the foregoing appropriation item 235-583, Urban University Programs, $100,000 in each fiscal year shall be used to support the Ameritech Classroom/Center for Research at Kent State University.
Of the foregoing appropriation item 235-583, Urban University Programs, $1,000,000 in each fiscal year shall be used to support the Polymer Distance Learning Project at the University of Akron.
Of the foregoing appropriation item 235-583, Urban University Programs, $50,000 in each fiscal year shall be distributed to the Kent State University/Cleveland Design Center program.
Of the foregoing appropriation item 235-583, Urban University Programs, $250,000 in each fiscal year shall be used to support the Bliss Institute of Applied Politics at the University of Akron.
Of the foregoing appropriation item 235-583, Urban University Programs, $15,000 in each fiscal year shall be used for the Advancing-Up Program at the University of Akron.
Of the foregoing appropriation item 235-583, Urban University Programs, in each fiscal year $2,200,643 shall be distributed by the Board of Regents to Cleveland State University in support of the Maxine Goodman Levin College of Urban Affairs.
Of the foregoing appropriation item 235-583, Urban University Programs, in each fiscal year $2,200,643 shall be distributed to the Northeast Ohio Research Consortium, the Urban Linkages Program, and the Urban Research Technical Assistance Grant Program. The distribution among the three programs shall be determined by the chair of the Urban University Program.
INTERNATIONAL CENTER FOR WATER RESOURCES DEVELOPMENT
The foregoing appropriation item 235-595, International Center for Water Resources Development, shall be used to support the International Center for Water Resources Development at Central State University. The center shall develop methods to improve the management of water resources for Ohio and for emerging nations.
RURAL UNIVERSITY PROJECTS
Of the foregoing appropriation item 235-587, Rural University Projects, Bowling Green State University shall receive $216,400 in each fiscal year, Miami University shall receive $331,125 in each fiscal year, and Ohio University shall receive $756,099 in each fiscal year. These funds shall be used to support the Institute for Local Government Administration and Rural Development at Ohio University, the Center for Public Management and Regional Affairs at Miami University, and the Center for Policy Analysis and Public Service at Bowling Green State University.
Of the foregoing appropriation item 235-587, Rural University Projects, $25,000 in each fiscal year shall be used to support the Washington State Community College day care center.
Of the foregoing appropriation item 235-587, Rural University Projects, $75,000 in fiscal year 2001 shall be used to support the COAD/ILGARD/GOA Appalachian Leadership Initiative.
A small portion of the funds provided to Ohio University shall also be used for the Institute for Local Government Administration and Rural Development State and Rural Policy Partnership with the Governor's Office of Appalachia and the Appalachian delegation of the General Assembly.
OHIO RESOURCE CENTER FOR MATHEMATICS, SCIENCE, AND READING
The foregoing appropriation item 235-588, Ohio Resource Center for Mathematics, Science, and Reading, shall be used to support a resource center for mathematics, science, and reading to be located at a state-assisted university for the purpose of identifying best educational practices in primary and secondary schools and establishing methods for communicating them to colleges of education and school districts.
HAZARDOUS MATERIALS PROGRAM
The foregoing appropriation item 235-596, Hazardous Materials Program, shall be disbursed to Cleveland State University for the operation of a program to certify firefighters for the handling of hazardous materials. Training shall be available to all Ohio firefighters.
NATIONAL GUARD SCHOLARSHIP PROGRAM
The Board of Regents shall disburse funds from appropriation item 235-599, National Guard Scholarship Program, at the direction of the Adjutant General.
OHIO HIGHER EDUCATIONAL FACILITY COMMISSION SUPPORT
The foregoing appropriation item 235-602, HEFC Administration, shall be used by the Board of Regents for operating expenses related to the Board of Regents' support of the activities of the Ohio Higher Educational Facility Commission. Upon the request of the chancellor, the Director of Budget and Management shall transfer up to $12,000 cash from Fund 461 to Fund 4E8 in each fiscal year of the biennium.
Section 7.11. BREAKTHROUGH INVESTMENTS
THE OHIO PLAN
The foregoing appropriation item 235-426, The Ohio Plan, shall be used by the Board of Regents to promote economic growth through research, development, and commercialization initiatives. The Board of Regents shall award funds on a competitive basis to universities and consortia of universities and industry in the areas of biotechnology, nanotechnology, and information technology. Proposals shall be evaluated on the basis of quality in terms of national and international standards of scientific merit, relevance to private sector commercial opportunities, and a demonstration of private sector involvement and substantial funding match from local and external sources in a process to continuously evaluate commercialization opportunities. Additionally, the Board of Regents shall work in close collaboration with the Technology Action Board in the administration of this program to ensure implementation of a coherent state strategy with respect to science and technology investments.
APPALACHIAN NEW ECONOMY PARTNERSHIP
The foregoing appropriation item 235-428, Appalachian New Economy Partnership, shall be used by the Board of Regents to begin a multicampus and multiagency coordinated effort to link Appalachia to the new economy. Funds shall be distributed to Ohio University to provide leadership in the development and implementation of initiatives in the areas of entrepreneurship, technology, education, and management.
Section 7.12.  REPAYMENT OF RESEARCH FACILITY INVESTMENT FUND MONEYS
Notwithstanding any provision of law to the contrary, all repayments of Research Facility Investment Fund loans shall be made to the Bond Service Trust Fund. All Research Facility Investment Fund loan repayments made prior to the effective date of this section shall be transferred by the Director of Budget and Management to the Bond Service Trust Fund within sixty days of the effective date of this section.
Campuses shall make timely repayments of Research Facility Investment Fund loans, according to the schedule established by the Board of Regents. In the case of late payments, the Board of Regents may deduct from an institution's periodic subsidy distribution an amount equal to the amount of the overdue payment for that institution, transfer such amount to the Bond Service Trust Fund, and credit the appropriate institution for the repayment.
VETERANS' PREFERENCES
The Board of Regents shall work with the Governor's Office of Veterans' Affairs to develop specific veterans' preference guidelines for higher education institutions. These guidelines shall ensure that the institutions' hiring practices are in accordance with the intent of Ohio's veterans' preference laws.
Section 7.13.  CENTRAL STATE UNIVERSITY
(A) Notwithstanding sections 3345.72, 3345.74, 3345.75, and 3345.76 of the Revised Code and rule 126:3-1-01 of the Administrative Code, Central State University shall adhere to the following fiscal standards:
(1) Maintenance of a balanced budget and filing of quarterly reports on an annualized budget with the Board of Regents, comparing the budget to actual spending and revenues with projected expenditures and revenues for the remainder of the year. Such reports shall include narrative explanations as appropriate and be filed within 30 days of the end of the quarter.
(2) Timely and accurate assessment of the current and projected cash flow of university funds, by fund type;
(3) Timely reconciliation of all university cash and general ledger accounts, by fund;
(4) Submission to the Auditor of State of financial statements consistent with audit requirements prescribed by the Auditor of State within four months after the end of the fiscal year;
(5) Completion of an audit within six months after the end of the fiscal year.
The Director of Budget and Management shall provide clarification to the university on these fiscal standards as deemed necessary. The director also may take such actions as are necessary to ensure that the university adheres to these standards and other fiscal standards consistent with generally accepted accounting principles and the requirements of external entities providing funding to the university. Such actions may include the appointment of a financial consultant to assist Central State University in the continuous process of design and implementation of responsible systems of financial management and accounting.
(B) The director's fiscal oversight shall continue until such time as the university meets the same criteria as those created in paragraph (F) of rule 126:3-1-01 of the Administrative Code for the termination of a fiscal watch. At that time Central State University shall be relieved of the requirements of this section and subject to the requirements of sections 3345.72, 3345.74, 3345.75, and 3345.76 of the Revised Code.
Any encumbered funds remaining from appropriation item 042-407, Central State Deficit, as appropriated in Am. Sub. S.B. 6 of the 122nd General Assembly shall be released during the 2001-2003 biennium for nonrecurring expenses contingent upon the approval of the Director of Budget and Management.
Section 8.  OSB OHIO STATE SCHOOL FOR THE BLIND
General Revenue Fund
GRF226-100Personal Services$5,880,065$6,157,563
GRF226-200Maintenance$700,437$717,948
GRF226-300Equipment$139,288$142,770
TOTAL GRF General Revenue Fund$6,719,790$7,018,281

General Services Fund Group
4H8226-602Education Reform Grants$30,652$31,476
TOTAL GSF General Services
Fund Group$30,652$31,476

State Special Revenue Fund Group
4M5226-601Work Study & Technology Investments$41,854$42,919
TOTAL SSR State Special Revenue
Fund Group$41,854$42,919

Federal Special Revenue Fund Group
3P5226-643Medicaid Professional Services Reimbursement$125,000$125,000
310226-626Coordinating Unit$1,274,274$1,278,475
TOTAL FED Federal Special
Revenue Fund Group$1,399,274$1,403,475
TOTAL ALL BUDGET FUND GROUPS$8,191,570$8,496,151

Section 9.  OSD OHIO STATE SCHOOL FOR THE DEAF
General Revenue Fund
GRF221-100Personal Services$7,662,763$8,022,913
GRF221-200Maintenance$998,197$1,018,160
GRF221-300Equipment$270,867$276,284
TOTAL GRF General Revenue Fund$8,931,827$9,317,357

General Services Fund Group
4M1221-602Education Reform Grants$68,107$70,701
TOTAL GSF General Services
Fund Group$68,107$70,701

State Special Revenue Fund Group
4M0221-601Educational Program $35,320$33,188
Expenses
5H6221-609Even Start Fees & Gifts$157,723$122,989
TOTAL SSR State Special Revenue
Fund Group$193,043$156,177

Federal Special Revenue Fund Group
3R0221-684Medicaid Professional $90,464$111,377
Services Reimbursement
3U4221-603Even Start$125,000$104,625
311221-625Coordinating Unit$910,000$933,400
TOTAL FED Federal Special
Revenue Fund Group$1,125,464$1,149,402
TOTAL ALL BUDGET FUND GROUPS$10,318,441$10,693,637

Section 10.  SFC SCHOOL FACILITIES COMMISSION
General Revenue Fund
GRF230-428Lease Rental Payments$41,645,300$37,654,300
GRF230-908Common Schools General Obligation Debt Service$36,418,800$55,336,300
TOTAL GRF General Revenue Fund$78,064,100$92,990,600

State Special Revenue Fund Group
5E3230-644Operating Expenses$6,096,521$6,409,766
TOTAL SSR State Special Revenue
Fund Group$6,096,521$6,409,766
TOTAL ALL BUDGET FUND GROUPS$84,160,621$99,400,366

LEASE RENTAL PAYMENTS
The foregoing appropriation item 230-428, Lease Rental Payments, shall be used to meet all payments at the times they are required to be made during the period from July 1, 2001, to June 30, 2003, by the School Facilities Commission pursuant to leases and agreements made under section 3318.26 of the Revised Code, but limited to the aggregate amount of $79,299,600. Nothing in this act shall be deemed to contravene the obligation of the state to pay, without necessity for further appropriation, from the sources pledged thereto, the bond service charges on obligations issued pursuant to Chapter 3318. of the Revised Code.
COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE
The foregoing appropriation item 230-908, Common Schools General Obligation Debt Service, shall be used to pay all debt service and financing costs at the times they are required to be made pursuant to sections 151.01 and 151.03 of the Revised Code during the period from July 1, 2001, to June 30, 2003. The Office of the Sinking Fund or the Director of Budget and Management shall effectuate the required payments by an intrastate transfer voucher.
OPERATING EXPENSES
The foregoing appropriation item 230-644, Operating Expenses, shall be used by the Ohio School Facilities Commission to carry out its responsibilities pursuant to this section and Chapter 3318. of the Revised Code.
Within ten days after the effective date of this section, or as soon as possible thereafter, the Executive Director of the Ohio School Facilities Commission shall certify to the Director of Budget and Management the amount of cash to be transferred from the School Building Assistance Fund (Fund 032) or the Public School Building Fund (Fund 021) to the Ohio School Facilities Commission Fund (Fund 5E3).
By July 10, 2002, the Executive Director of the Ohio School Facilities Commission shall certify to the Director of Budget and Management the amount of cash to be transferred from the School Building Assistance Fund (Fund 032) or the Public School Building Fund (Fund 021) to the Ohio School Facilities Commission Fund (Fund 5E3).
SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION
At the request of the Executive Director of the Ohio School Facilities Commission, the Director of Budget and Management may cancel encumbrances for school district projects from a previous biennium if the district has not raised its local share of project costs within one year of receiving Controlling Board approval in accordance with section 3318.05 of the Revised Code. The Executive Director of the Ohio School Facilities Commission shall certify the amounts of these canceled encumbrances to the Director of Budget and Management on a quarterly basis. The amounts of the canceled encumbrances are appropriated.
DISABILITY ACCESS PROJECTS
The unencumbered and unallotted balances as of June 30, 2001, in appropriation item 230-649, Disability Access Project, are hereby reappropriated. The unencumbered and unallotted balances of the appropriation at the end of fiscal year 2002 are hereby reappropriated in fiscal year 2003 to fund capital projects pursuant to this section.
(A) As used in this section:
(1) "Percentile" means the percentile in which a school district is ranked according to the fiscal year 1998 ranking of school districts with regard to income and property wealth under division (B) of section 3318.011 of the Revised Code.
(2) "School district" means a city, local, or exempted village school district, but excluding a school district that is one of the state's 21 urban school districts as defined in division (O) of section 3317.02 of the Revised Code, as that section existed prior to July 1, 1998.
(3) "Valuation per pupil" means a district's total taxable value as defined in section 3317.02 of the Revised Code divided by the district's ADM as defined in division (A) of section 3317.02 of the Revised Code as that section existed prior to July 1, 1998.
(B) The School Facilities Commission shall adopt rules for awarding grants to school districts with a valuation per pupil of less than $200,000, to be used for construction, reconstruction, or renovation projects in classroom facilities, the purpose of which is to improve access to such facilities by physically handicapped persons. The rules shall include application procedures. No school district shall be awarded a grant under this section in excess of $100,000. In addition, any school district shall be required to pay a percentage of the cost of the project or which the grant is being awarded equal to the percentile in which the district is ranked.
(C) The School Facilities Commission is hereby authorized to transfer a portion of appropriation item CAP-622, Public School Buildings, contained in Am. Sub. H.B. No. 283 of the 123rd General Assembly, to CAP-777, Disability Access Projects, to provide funds to make payments resulting from the approval of applications for disability access grants received prior to January 1, 1999. The amounts transferred are appropriated.
Section 10.01.  EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL FACILITIES
Notwithstanding any other provisions of law to the contrary, the School Facilities Commission may provide assistance under the Exceptional Needs Pilot Program to any school district and not exclusively a school district in the lowest 50 per cent of adjusted valuation per pupil on the fiscal year 1999 ranking of school districts established pursuant to section 3317.02 of the Revised Code, for the purpose of the relocation or replacement of school facilities required as a result of extreme environmental contamination. If in the assessment of the school district's classroom facilities needs conducted under the Exceptional Needs Pilot Program pursuant to Section 26 of Am. Sub. H.B. 850 of the 122nd General Assembly, the commission determines that all the school district's classroom facilities ultimately will require replacement under sections 3318.01 to 3318.20 of the Revised Code, then the commission may undertake a district-wide project under sections 3318.01 to 3318.20 of the Revised Code.
The School Facilities Commission shall contract with an independent environmental consultant to conduct a study and to report to the commission as to the seriousness of the environmental contamination, whether the contamination violates applicable state and federal standards, and whether the facilities are no longer suitable for use as school facilities. The commission then shall make a determination regarding funding for the relocation or replacement of the school facilities. If the federal government or other public or private entity provides funds for restitution of costs incurred by the state or school district in the relocation or replacement of the school facilities, the school district shall use such funds in excess of the school district's share to refund the state for the state's contribution to the environmental contamination portion of the project. The school district may apply an amount of such restitution funds up to an amount equal to the school district's portion of the project, as defined by the commission, toward paying its portion of that project to reduce the amount of bonds the school district otherwise must issue to receive state assistance under sections 3318.01 to 3318.20 of the Revised Code.
Section 10.02.  (A) The Ohio School Facilities Commission may commit up to thirty-five million dollars to the Canton City School District for construction of a facility described in this section, in lieu of a high school that would otherwise be authorized under Chapter 3318. of the Revised Code. The commission shall not commit funds under this section unless all of the following conditions are met:
(1) The district has entered into a cooperative agreement with a state-assisted technical college.
(2) The district has received an irrevocable commitment of additional funding from nonpublic sources.
(3) The facility is intended to serve both secondary and postsecondary instructional purposes.
(B) The commission shall enter into an agreement with the district for the construction of the facility authorized under this section that is separate from and in addition to the agreement required for the district's participation in the Classroom Facilities Assistance Program under section 3318.08 of the Revised Code. Notwithstanding that section and sections 3318.03, 3318.04, and 3318.083 of the Revised Code, the additional agreement shall provide, but not be limited to, the following:
(1) The commission shall not have any oversight responsibilities over the construction of the facility.
(2) The facility need not comply with the specifications for plans and materials for high schools adopted by the commission.
(3) The commission may decrease the basic project cost that would otherwise be calculated for a high school under Chapter 3318. of the Revised Code.
(4) The state shall not share in any increases in the basic project cost for the facility above the amount authorized under this section.
All other provisions of Chapter 3318. of the Revised Code apply to the approval and construction of a facility authorized under this section.
The state funds committed to the facility authorized by this section shall be part of the total amount the state commits to the Canton City School District under Chapter 3318. of the Revised Code. All additional state funds committed to the Canton City School District for classroom facilities assistance shall be subject to all provisions of Chapter 3318. of the Revised Code.
Section 11.  NET OHIO SCHOOLNET COMMISSION
General Revenue Fund
GRF228-404Operating Expenses$6,770,127$6,608,426
GRF228-406Technical and Instructional Professional Development$10,475,898$10,172,630
GRF228-539Education Technology$6,161,096$5,910,596
Total GRF General Revenue Fund$23,407,121$22,691,652

General Services Fund Group
5D4228-640Conference/Special Purpose Expenses$510,700$521,382
TOTAL GSF General Services
Fund Group$510,700$521,382

State Special Revenue Fund Group
4W9228-630Ohio SchoolNet Telecommunity Fund$547,615$447,615
4X1228-634Distance Learning$2,930,000$2,930,000
TOTAL SSR State Special Revenue
Fund Group$3,477,615$3,377,615

Federal Special Revenue Fund Group
3S3228-655Technology Literacy Challenge$15,918,780$15,918,780
TOTAL FED Federal Special Revenue
Fund Group$15,918,780$15,918,780
TOTAL ALL BUDGET FUND GROUPS$43,314,216$42,509,429

INTERACTIVE VIDEO DISTANCE LEARNING PROGRAM
The unencumbered and unalloted balances as of June 30, 2001, in appropriation item 228-690, SchoolNet Electrical Infrastructure, are reappropriated to fund projects pursuant to this section. The foregoing appropriation item 228-650, Interactive Distance Learning shall be used to extend the Interactive Video Distance Learning Program in accordance with the statewide educational technology strategic plan. The commission shall adopt procedures for the administration and implementation of the Interactive Video Distance Learning Program, which shall include application procedures, specifications for distance learning technology, and terms and conditions for participation in the program. The commission shall not approve any application for participation unless it determines that the applicant can effectively and efficiently integrate the proposed distance learning technology into schools or the selected schools or classrooms for the phase of the program. The commission shall consider the Interactive Video Distance Learning Pilot established in Am. Sub. H.B. 215 of the 122nd General Assembly, and the Ohio SchoolNet Telecommunity program in Am. Sub. H. B. 627 of the 121st General Assembly, in developing application procedures and criteria for the Interactive Video Distance Learning Program. The commission shall give preference to lower wealth districts or consortia of such districts that do not have existing video teleconferencing technology.
SCHOOLNET PLUS PROGRAM
All appropriations that are unencumbered and unallotted in appropriation item 228-698, SchoolNet Plus, as of June 30, 2001, are hereby reappropriated for the same purpose in fiscal year 2002 upon the request of the Executive Director of the Ohio SchoolNet Commission and the approval of the Director of Budget and Management.
TECHNICAL AND INSTRUCTIONAL PROFESSIONAL DEVELOPMENT
The foregoing appropriation item 228-406, Technical and Instructional Professional Development, shall be used by the Ohio SchoolNet Commission to make grants to qualifying schools, including the State School for the Blind and the Ohio School for the Deaf, for the provision of hardware, software, telecommunications services, and staff development to support educational uses of technology in the classroom.
The Ohio SchoolNet Commission shall consider the professional development needs associated with the OhioReads Program when making funding allocations and program decisions.
The Ohio Educational Telecommunications Network Commission, with the advice of the Ohio SchoolNet Commission, shall make grants totaling up to $1,400,000 in each year of the biennium for research development and production of interactive instructional programming series and teleconferences to support SchoolNet. Up to $55,000 of this amount shall be used in each year of the biennium to provide for the administration of these activities by the Ohio Educational Telecommunications Network Commission. The programming shall be targeted to the needs of the poorest 200 school districts as determined by the district's adjusted valuation per pupil as defined in section 3317.0213 of the Revised Code.
Of the foregoing appropriation item 228-406, Technical and Instructional Professional Development, $2,900,000 in each fiscal year shall be distributed by the Ohio SchoolNet Commission to low-wealth districts or consortia including low-wealth school districts, as determined by the district's adjusted valuation per pupil as defined in section 3317.0213 of the Revised Code, or the State School for the Blind or the Ohio School for the Deaf.
The remaining appropriation allocated in appropriation item 228-406, Technical and Instructional Professional Development, shall be used by the Ohio SchoolNet Commission for professional development for teachers and administrators for the use of educational technology. The commission shall make grants to provide technical assistance and professional development on the use of educational technology to school districts.
Eligible recipients of grants include regional training centers, county offices of education, data collection sites, instructional technology centers, institutions of higher education, public television stations, special education resource centers, area media centers, or other nonprofit educational organizations. Services provided through these grants may include use of private entities subcontracting through the grant recipient.
Grants shall be made to entities on a contractual basis with the Ohio SchoolNet Commission. Contracts shall include provisions that demonstrate how services will benefit technology use in the schools, and in particular will support SchoolNet efforts to support technology in the schools. Contracts shall specify the scope of assistance being offered and the potential number of professionals who will be served. Contracting entities may be awarded more than one grant at a time.
Grants shall be awarded in a manner consistent with the goals of SchoolNet. Special emphasis in the award of grants shall be placed on collaborative efforts among service providers.
Application for grants from this appropriation in appropriation item 228-406, Technical and Instructional Professional Development, shall be consistent with a school district's technology plan that shall meet the minimum specifications for school district technology plans as prescribed by the Ohio SchoolNet Commission. Funds allocated through these grants may be combined with funds received through other state or federal grants for technology so long as the school district's technology plan specifies the use of these funds. The commission may combine the application for these grants with the SchoolNet application process authorized in Am. Sub. H.B. 790 of the 120th General Assembly.
EDUCATION TECHNOLOGY
The foregoing appropriation item 228-539, Education Technology, shall be used to provide funding to suppliers of information services to school districts for the provision of hardware, software, and staff development in support of educational uses of technology in the classroom as prescribed by the State Plan for Technology pursuant to section 3301.07 of the Revised Code, and to support assistive technology for children and youth with disabilities.
Up to $5,200,000 in each fiscal year shall be used by the Ohio SchoolNet Commission to contract with instructional television, and $850,000 in fiscal year 2002, and $840,000 in fiscal year 2003 shall be used by the commission to contract with education media centers to provide Ohio schools with instructional resources and services.
Resources may include, but not be limited to, the following: pre-recorded video materials (including videotape, laser discs, and CD-ROM discs); computer software for student use or student access to electronic communication, databases, spreadsheet, and word processing capability; live student courses or courses delivered electronically; automated media systems; and instructional and professional development materials for teachers. The commission shall cooperate with education technology agencies in the acquisition, development, and delivery of such educational resources to ensure high-quality and educational soundness at the lowest possible cost. Delivery of such resources may utilize a variety of technologies, with preference given to a high-speed integrated information network that can transport video, voice, data, and graphics simultaneously.
Services shall include presentations and technical assistance that will help students and teachers integrate educational materials that support curriculum objectives, match specific learning styles, and are appropriate for individual interests and ability levels.
Such instructional resources and services shall be made available for purchase by chartered nonpublic schools or by public school districts for the benefit of pupils attending chartered nonpublic schools.
DISTANCE LEARNING
Appropriation item 228-634, Distance Learning, shall be distributed by the Ohio SchoolNet Commission on a grant basis to eligible school districts to establish "distance learning" in the school district. Per the agreement with Ameritech, school districts are eligible for funds if they are within an Ameritech service area. Funds to administer the program shall be expended by the commission up to the amount specified in the agreement with Ameritech.
Within 30 days after the effective date of this section, the Director of Budget and Management shall transfer to fund 4X1 in the State Special Revenue Fund Group any investment earnings from moneys paid to the office or to the SchoolNet Commission by any telephone company as part of a settlement agreement between the company and the Public Utilities Commission in fiscal year 1995.
ELECTRICAL INFRASTRUCTURE
The unencumbered and unallotted balances of June 30, 2001, in appropriation item 228-690, SchoolNet Electrical Infrastructure, are reappropriated to fund projects pursuant to this section. The foregoing appropriation item may be distributed by the Ohio SchoolNet Commission for use by school districts to renovate existing buildings with sufficient electrical service to safely operate educational technology consistent with their SchoolNet and SchoolNet Plus technology plans. The Executive Director of the Ohio SchoolNet Commission shall review grant proposals from school districts for the use of these funds. In evaluating grant proposals, the executive director shall consider the ability and commitment of school districts to contribute local public and private resources to upgrade their electrical service and shall give consideration to consortia of school districts that have formed to optimize resources to upgrade electrical service. In no case shall grant awards exceed $1,000,000 for a single school district. Funding recommendations for this appropriation made by the executive director are subject to the review of the Ohio SchoolNet Commission.
Section 12.  SCR STATE BOARD OF PROPRIETARY SCHOOL
REGISTRATION
General Revenue Fund
GRF233-100Personal Services$340,000$347,322
GRF233-200Maintenance$81,000$82,058
GRF233-300Equipment$4,465$4,457
TOTAL GRF General Revenue Fund$425,465$433,837
TOTAL ALL BUDGET FUND GROUPS$425,465$433,837

Section 13.  TTA OHIO TUITION TRUST AUTHORITY
State Special Revenue Fund Group
645095-601Operating Expenses$4,437,885$4,611,050
TOTAL SSR State Special Revenue
Fund Group$4,437,885$4,611,050
TOTAL ALL BUDGET FUND GROUPS$4,437,885$4,611,050

Section 14. That Section 18 of Am. Sub. H.B. 650 of the 122nd General Assembly, as most recently amended by Sub. S.B. 245 of the 123rd General Assembly, be amended to read as follows:
" Sec. 18.  (A) As used in this section:
(1) "FY 1998 state aid" means the total amount of state money received by a school district for fiscal year 1998 as reported on the Department of Education's form "SF-12," adjusted as follows:
(a) Minus any amounts for approved preschool handicapped units;
(b) Minus any additional amount attributable to the reappraisal guarantee of division (C) of section 3317.04 of the Revised Code;
(c) Plus the amount deducted for payments to an educational service center;
(d) Plus an estimated portion of the state money distributed in fiscal year 1998 to other school districts or educational service centers for approved units, other than preschool handicapped or gifted education units, attributable to the costs of providing services in those units to students entitled to attend school in the district;
(e) Minus an estimated portion of the state money distributed to the school district in fiscal year 1998 for approved units, other than preschool handicapped units or gifted education units, attributable to the costs of providing services in those units to students entitled to attend school in another school district;
(f) Plus any additional amount paid pursuant to the vocational education recomputation required by former Section 50.22 of Am. Sub. H.B. No. 215 of the 122nd General Assembly;
(g) Plus any additional amount paid pursuant to the special education recomputation required by former division (I) of section 3317.023 of the Revised Code;
(h) Plus any amount paid for equity aid under section 3317.0213 of the Revised Code;
(i) Plus any amount received for that year pursuant to section 3317.027 of the Revised Code;
(j) Plus any amount received for that year pursuant to a recomputation made under division (B) of section 3317.022 of the Revised Code, as that section existed in that year.
(2) "FY 1999 state aid" means "FY 1999 state aid" as defined in the version of this section in effect for fiscal year 1999.
(3) "FY 2000 state aid," "FY 2001 state aid," and "FY 2002 state aid" mean the total amount of state money a school district is eligible to receive for the applicable fiscal year under divisions (A), (C)(1) and (5), (D), and (E) of section 3317.022 and sections 3317.025, 3317.027, 3317.029, 3317.0212, and 3317.0213 of the Revised Code, plus any amount for which the district is eligible pursuant to division (C) of section 3317.023, divisions (G), (P), and (R) of section 3317.024, and the supplemental unit allowance paid for gifted units under division (B) of section 3317.162 3317.053 of the Revised Code, and prior to any deductions or credits required by division (B), (D), (E), (F), (G), (H), (I), (J), (K), or (L) of section 3317.023 or division (J) of section 3317.029 of the Revised Code.
(4) "Adjusted FY 1999 actual aid" means FY 1999 state aid that was actually paid to a school district after the application of division (B) of this section, plus an appropriate proportion, as determined by the department of education, of the amount received by the school district in fiscal year 1999 from the vocational education set-aside, as defined in the version of section 3317.0212 of the Revised Code in effect prior to the effective date of this amendment, and attributable to the district's students.
(5) "FY 2000 actual aid," and "FY 2001 actual aid" mean the amount of the state aid described in division (A)(3) of this section that was actually paid to a school district in the applicable fiscal year after the application of divisions (C) to (E) of this section.
(6) "FY 1998 ADM," "formula ADM," and "three-year average formula ADM" have the meanings prescribed in section 3317.02 of the Revised Code.
(7) "All-day kindergarten" has the meaning prescribed in section 3317.029 of the Revised Code.
(8) "School district" means a city, local, or exempted village school district.
(B) In fiscal year 1999, notwithstanding any provision of law to the contrary, no school district shall receive FY 1999 state aid that is more than the greater of the following:
(1) 110 per cent of FY 1998 state aid;
(2) [1.06 X (FY 1998 state aid/FY 1998 ADM)] X the greater of fiscal year 1999 formula ADM or three-year average formula ADM.
If a district's projected FY 1999 state aid is more than the greater of division (B)(1) or (2) of this section, such district shall receive only the greater of division (B)(1) or (2) of this section in fiscal year 1999.
(C) In fiscal year 2000, notwithstanding any provision of law to the contrary, no school district shall receive FY 2000 state aid that is more than the greater of the following:
(1) 111.5 per cent of adjusted FY 1999 actual aid;
(2) [1.095 X (adjusted FY 1999 actual aid/fiscal year 1999 formula ADM)] X the greater of fiscal year 2000 formula ADM or three-year average formula ADM.
If a district's projected FY 2000 state aid is more than the greater of division (C)(1) or (2) of this section, such district shall receive only the greater of division (C)(1) or (2) of this section in fiscal year 2000.
(D) In fiscal year 2001, notwithstanding any provision of law to the contrary, no school district shall receive FY 2001 state aid that is more than the greater of the following:
(1) 112 per cent of FY 2000 actual aid;
(2) [1.10 X (FY 2000 actual aid/fiscal year 2000 formula ADM)] X the greater of fiscal year 2001 formula ADM or three-year average formula ADM.
If a district's projected FY 2001 state aid is more than the greater of division (D)(1) or (2) of this section, such district shall receive only the greater of division (D)(1) or (2) of this section in fiscal year 2001.
(E) In fiscal year 2002, notwithstanding any provision of law to the contrary, no school district shall receive FY 2002 state aid that is more than the greater of the following:
(1) 112 per cent of FY 2001 actual aid;
(2) [1.10 X (FY 2001 actual aid/fiscal year 2001 formula ADM)] X the greater of fiscal year 2002 formula ADM or three-year average formula ADM.
If a district's projected FY 2002 state aid is more than the greater of division (E)(1) or (2) of this section, such district shall receive only the greater of division (E)(1) or (2) of this section in fiscal year 2002.
(F) This division and division (G) of this section apply only to districts subject to division (F) of section 3317.029 of the Revised Code and only until July 1, 2002. As used in this division and division (G) of this section:
(1) "Capped district" means a district that pursuant to division (B), (C), (D), or (E) of this section will not receive the full amount of FY 1999, FY 2000, FY 2001, or FY 2002 state aid.
(2) "DPIA funds" means:
(a) In FY 1998, the amount calculated for the district pursuant to division (B) of section 3317.023 of the Revised Code as it existed in that fiscal year;
(b) In any fiscal year after FY 1998, the total amount calculated for the district for that fiscal year pursuant to section 3317.029 of the Revised Code.
(3) "Exempt DPIA portion" means:
(a) In the case of any district other than a capped district, an amount equal to zero;
(b) In the case of a capped district, the amount resulting from the application of the following formula:
(The district's DPIA funds for the year of the calculation minus the district's DPIA funds for FY 1998) minus (the district's actual aid for the year of the calculation minus the district's FY 1998 state aid)

However, if this formula produces a negative number, the district's exempt DPIA portion is zero.
(4) "Required all-day kindergarten" for a district means the provision of all-day kindergarten to the number of students in the district's kindergarten percentage specified pursuant to division (H)(1) of section 3317.029 of the Revised Code.
(G) Notwithstanding any provision of law to the contrary:
(1)(a) In the case of any district, the district's DPIA funds are hereby deemed to first consist of any disadvantaged pupil impact aid calculated for the district for all-day kindergarten under division (D) of section 3317.029 of the Revised Code, and to next consist of any disadvantaged pupil impact aid calculated for the district under divisions (C) and (E) of section 3317.029 of the Revised Code. Except as provided in division (G)(1)(b) of this section, each district shall expend whatever funds necessary to ensure provision of its required all-day kindergarten.
(b) Notwithstanding divisions (F)(1), (H), and (J) of section 3317.029 of the Revised Code, a district may serve a lesser percentage of students than the number initially certified in its all-day kindergarten percentage as of the first day of August of the fiscal year and may retain and spend the DPIA funds it would have used to serve the difference between the initial certified percentage and such lesser percentage solely for the purpose of modifying or purchasing additional classroom space necessary to provide all-day kindergarten. A district may only reduce its certified all-day kindergarten percentage and spend the resultant funds on modification and purchase of space with the approval of the department of education. The department shall only approve such use of all-day kindergarten funds and the corresponding reduction of the district's certified all-day kindergarten percentage if it determines that the district cannot reasonably provide all-day kindergarten to its initially certified percentage without additional space.
(2) In FY 1999, a district shall expend for the purposes of section 3317.029 of the Revised Code an amount equal to at least twenty-five per cent of the resultant derived from subtracting the district's exempt DPIA portion from the amount calculated for the district under divisions (C) and (E) of section 3317.029 of the Revised Code.
(3) In FY 2000, a district shall expend for the purposes of section 3317.029 of the Revised Code an amount equal to at least fifty per cent of the resultant derived from subtracting the district's exempt DPIA portion from the amount calculated for the district under divisions (C) and (E) of section 3317.029 of the Revised Code. Of that amount:
(a) The percentage that the district spends for the purposes of division (F)(2) of section 3317.029 of the Revised Code shall equal the percentage that its original calculation under division (C) of that section, before the application of this section, is of the total of the amounts originally calculated under divisions (C) and (E) of section 3317.029 of the Revised Code.
(b) The percentage that the district spends for the purposes of division (F)(3) of section 3317.029 of the Revised Code shall equal the percentage that its original calculation under division (E) of that section, before the application of this section, is of the total of the amounts originally calculated under divisions (C) and (E) of section 3317.029 of the Revised Code.
(4) In FY 2001, a district shall expend for the purposes of section 3317.029 of the Revised Code an amount equal to at least seventy-five per cent of the resultant derived from subtracting the district's exempt DPIA portion from the amount calculated for the district under divisions (C) and (E) of section 3317.029 of the Revised Code. Of that amount:
(a) The percentage that the district spends for the purposes of division (F)(2) of section 3317.029 of the Revised Code shall equal the percentage that its original calculation under division (C) of that section, before the application of this section, is of the total of the amounts originally calculated under divisions (C) and (E) of section 3317.029 of the Revised Code.
(b) The percentage that the district spends for the purposes of division (F)(3) of section 3317.029 of the Revised Code shall equal the percentage that its original calculation under division (E) of that section, before the application of this section, is of the total of the amounts originally calculated under divisions (C) and (E) of section 3317.029 of the Revised Code.
(5) In FY 2002, a district shall expend one hundred per cent of its DPIA funds for the purposes of section 3317.029 of the Revised Code.
(6) Districts In each fiscal year, districts shall comply with the requirements of division (G) of section 3317.029 of the Revised Code."
Section 15. That existing Section 18 of Am. Sub. H.B. 650 of the 122nd General Assembly, as most recently amended by Sub. S.B. 245 of the 123rd General Assembly, is hereby repealed.
Section 16. That Section 17 of Am. Sub. H.B. 282 of the 123rd General Assembly, as most recently amended by Sub. S.B. 245 of the 123rd General Assembly, be amended to read as follows:
" Sec. 17.  (A) As used in this section:
(1) "FY 1999 state aid" means the total amount of state money received by a joint vocational school district under the version of sections 3317.16 and 3317.162 of the Revised Code in effect for that fiscal year, minus the amounts paid for driver education and adult education.
(2) "FY 2000 state aid," "FY 2001 state aid," and "FY 2002 state aid" mean the total amount of state money received by a joint vocational school district in the applicable fiscal year under divisions (B) to (D) of the version of section 3317.16 of the Revised Code in effect for the applicable fiscal year and division (R) of the version of section 3317.024 of the Revised Code in effect for the applicable fiscal year.
(3) "FY 2000 actual aid" and "FY 2001 actual aid" mean the amount of state aid described in division (A)(2) of this section that was actually paid to a joint vocational school district in the applicable fiscal year after the application of division (B) or (C) of this section.
(4) "Formula ADM" has the same meaning as in section 3317.02 of the Revised Code.
(5) "FY 1999 ADM" means the average daily membership certified by the joint vocational school district for fiscal year 1999 under division (D) of the version of section 3317.03 of the Revised Code in effect for that year.
(B) In fiscal year 2000, notwithstanding any provision of law to the contrary, no joint vocational school district shall receive FY 2000 state aid that is more than the greater of the following:
(1) 111.5 % per cent of its FY 1999 state aid;
(2) [1.095 X (FY 1999 state aid/FY 1999 ADM)] X fiscal year 2000 formula ADM.
If a joint vocational school district's projected FY 2000 state aid is more than the greater of division (B)(1) or (2) of this section, the district shall receive only the greater of division (B)(1) or (2) of this section in fiscal year 2000.
(C) In fiscal year 2001, notwithstanding any provision of law to the contrary, no joint vocational school district shall receive FY 2001 state aid that is more than the greater of the following:
(1) 112% per cent of its FY 2000 actual aid;
(2) [1.10 X (FY 2000 actual aid/fiscal year 2000 formula ADM)] X fiscal year 2001 formula ADM.
If a joint vocational school district's projected FY 2001 state aid is more than the greater of division (C)(1) or (2) of this section, the district shall receive only the greater of division (C)(1) or (2) of this section in fiscal year 2001.
(D) In fiscal year 2002, notwithstanding any provision of law to the contrary, no joint vocational school district shall receive FY 2002 state aid that is more than the greater of the following:
(1) 112% per cent of its FY 2001 state aid;
(2) [1.10 X (FY 2001 actual aid/fiscal year 2001 formula ADM)] X fiscal year 2002 formula ADM.
If a joint vocational school district's projected FY 2002 state aid is more than the greater of division (D)(1) or (2) of this section, the district shall receive only the greater of division (D)(1) or (2) of this section in fiscal year 2002."
Section 17. That existing Section 17 of Am. Sub. H.B. 282 of the 123rd General Assembly, as most recently amended by Sub. S.B. 245 of the 123rd General Assembly, is hereby repealed.
Section 18.  LEASE PAYMENTS TO OPFC, OBA, AND TREASUER
Certain appropriations are in this act for the purpose of making lease payments pursuant to leases and agreements relating to bonds or notes issued by the Ohio Building Authority or the Treasurer of State, or previously by the Ohio Public Facilities Commission, pursuant to the Ohio Constitution and acts of the General Assembly. If it is determined that additional appropriations are necessary for this purpose, such amounts are appropriated.
Section 19. GENERAL OBLIGATION DEBT SERVICE PAYMENTS
Certain appropriations are in this act for the purpose of paying debt service and financing costs on general obligation bonds or notes of the state issued pursuant to the Ohio Constitution and Acts of the General Assembly. If it is determined that additional appropriations are necessary for this purpose, such amounts are appropriated.
Section 20.  Except as otherwise specifically provided in this act, the codified sections of law amended or enacted in this act, and the items of law of which the codified sections of law amended or enacted in this act are composed, are subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1c and section 1.471 of the Revised Code, the codified sections of law amended or enacted by this act, and the items of law of which the codified sections of law as amended or enacted by this act are composed, take effect on the ninety-first day after this act is filed with the Secretary of State. If, however, a referendum petition is filed against any such codified section of law as amended or enacted by this act, or against any item of law of which any such codified section of law as amended or enacted by this act is composed, the codified section of law as amended or enacted, or item of law, unless rejected at the referendum, takes effect at the earliest time permitted by law.
Section 21.  The repeal by this act of section 307.031 of the Revised Code is subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1c and section 1.471 of the Revised Code, the repeal by this act of section 307.031 of the Revised Code takes effect on the ninety-first day after this act is filed with the Secretary of State. If, however, a referendum petition is filed against the repeal, the repeal, unless rejected at the referendum, takes effect at the earliest time permitted by law.
Section 22. Sections 3314.08, 3317.012, 3317.013, 3317.02, 3317.022, 3317.023, 3317.029, 3317.0212, 3317.03, 3317.05, 3317.051, 3317.161 (3317.052), 3317.162 (3317.053), 3317.11, 3317.16, 3317.20, 3323.09, 3323.091, 5126.05, and 5126.12 of the Revised Code as amended or enacted by this act, and the items of law of which such sections as amended or enacted by this act are composed, are not subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1d and section 1.471 of the Revised Code, such sections as amended or enacted by this act, and the items of law of which such sections as amended or enacted by this act are composed, go into immediate effect when this act becomes law.
Section 23.  Except as otherwise specifically provided in this act, the uncodified sections of law amended or enacted in this act, and the items of law of which the uncodified sections of law amended or enacted in this act are composed, are not subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1d and section 1.471 of the Revised Code, the uncodified sections of law amended or enacted in this act, and the items of law of which the uncodified sections of law amended or enacted in this act are composed, go into immediate effect when this act becomes law.
Section 24. The amendment by this act of Section 18 of Am. Sub. H.B. 650 of the 122nd General Assembly is not subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1d and section 1.471 of the Revised Code, the amendment goes into immediate effect when this act becomes law.
Section 25.  Uncodified sections of law amended or enacted in this act, and items of law contained within the uncodified sections of law amended or enacted in this act, that are marked with an asterisk are subject to the referendum. Therefore, under Ohio Constitution, Article II, Section 1c and section 1.471 of the Revised Code, the uncodified sections and items of law marked with an asterisk take effect on the ninety-first day after this act is filed with the Secretary of State. If, however, a referendum petition is filed against an uncodified section or item of law marked with an asterisk, the uncodified section or item of law marked with an asterisk, unless rejected at the referendum, takes effect at the earliest time permitted by law.
If the amending and existing repeal clauses commanding an amendment of an uncodified section of law are both marked with asterisks, the uncodified section as amended is deemed also to have been marked with an asterisk.
An asterisk marking an uncodified section or item of law has the form *.
This section defines the meaning and form of, but is not itself to be considered marked with, an asterisk.
Section 26.  If the amendment or enactment in this act of a codified or uncodified section of law is subject to the referendum, the corresponding indications in the amending, enacting, or existing repeal clauses commanding the amendment or enactment also are subject to the referendum, along with the amendment or enactment. If the amendment or enactment by this act of a codified or uncodified section of law is not subject to the referendum, the corresponding indications in the amending, enacting, or existing repeal clauses commanding the amendment or enactment also are not subject to the referendum, the same as the amendment or enactment.
Section 27.  An item, other than an amending, enacting, or repealing clause, that composes the whole or part of an uncodified section contained in this act has no effect after June 30, 2003, unless its context clearly indicates otherwise.
Section 28.  Section 3317.03 of the Revised Code is presented in this act as a composite of the section as amended by both Am. Sub. H.B. 640 and Sub. S.B. 173 of the 123rd General Assembly. The General Assembly, applying the principle stated in division (B) of section 1.52 of the Revised Code that amendments are to be harmonized if reasonably capable of simultaneous operation, finds that the composite is the resulting version of the section in effect prior to the effective date of the section as presented in this act.
This section is not subject to the referendum because of its relationship to section 3317.03 of the Revised Code and therefore goes into immediate effect when this act becomes law.
Section 29.  If any item of law that constitutes the whole or part of a codified or uncodified section of law contained in this act, or if any application of any item of law that constitutes the whole or part of a codified or uncodified section of law contained in this act, is held invalid, the invalidity does not affect other items of law or applications of item of law that can be given effect without the invalid item of law or application. To this end, the items of law of which the codified and uncodified sections contained in this act are composed, and their applications, are independent and severable.